SHAREHOLDERS' EQUITY (Tables)

9 Months Ended

Jun. 30, 2023

Equity [Abstract]

Schedule of Stock by Class

The following table details the shares outstanding, carrying value, and aggregate liquidation preference of our preferred stock. For further details regarding our preferred stock see Note 20 of our 2022 Form 10-K.

$ in millions, except share count	June 30, 2023		September 30, 2022
6.75% Fixed-to-Floating Rate Series A Non-Cumulative Perpetual Preferred Stock (“Series A Preferred Stock”):
Shares outstanding	—		40,250
Carrying value	$	—	$	41
Aggregate liquidation preference	$	—	$	40
6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock (“Series B Preferred Stock”):
Shares outstanding	80,500		80,500
Carrying value	$	79	$	79
Aggregate liquidation preference	$	81	$	81

Dividends Declared and Paid

The following table details dividends declared and dividends paid on our Series A and Series B preferred stock for the three and nine months ended June 30, 2023.

	Dividends declared				Dividends paid
$ in millions, except per share amounts	Total dividends		Per preferred share amount		Total dividends		Per preferred share amount
Three months ended June 30, 2023
Series A Preferred Stock (1)	$	—	$	—	$	1	$	16.88
Series B Preferred Stock	1		$	15.94	1		$	15.94
Total preferred stock dividends (1)	$	1			$	2
Nine Months Ended June 30, 2023
Series A Preferred Stock (1)	$	2	$	33.76	$	3	$	50.64
Series B Preferred Stock	3		$	47.82	3		$	47.82
Total preferred stock dividends (1)	$	5			$	6
Three months ended June 30, 2022
Series A Preferred Stock	$	1	$	16.88	$	—	$	—
Series B Preferred Stock	1		$	15.94	—		$	—
Total preferred stock dividends	$	2			$	—
Nine months ended June 30, 2022
Series A Preferred Stock	$	1	$	16.88			$	—
Series B Preferred Stock	1		$	15.94	—		$	—
Total preferred stock dividends	$	2			$	—

(1) Preferred stock dividends on our Condensed Consolidated Statements of Income and Comprehensive Income for the three and nine months ended June 30, 2023 included dividends declared during the periods, as well as the $1 million excess of the carrying value of our Series A Preferred Stock over the redemption value, which was reported as an offset to preferred dividends and increased net income available to common shareholders.

Dividends per common share declared and paid are detailed in the following table for each respective period.

	Three months ended June 30,				Nine months ended June 30,
	2023		2022		2023		2022
Dividends per common share - declared	$	0.42	$	0.34	$	1.26	$	1.02
Dividends per common share - paid	$	0.42	$	0.34	$	1.18	$	0.94

Our dividend payout ratio is detailed in the following table for each respective period and is computed by dividing dividends declared per common share by earnings per diluted common share.

	Three months ended June 30,				Nine months ended June 30,
	2023		2022		2023		2022
Dividend payout ratio	24.6	%	24.6	%	21.2	%	20.4	%

Schedule of AOCI

The following table presents the net change in AOCI as well as the changes, and the related tax effects, of each component of AOCI.

$ in millions	Net investment hedges		Currency translations		Subtotal: net investment hedges and currency translations		Available- for-sale securities		Cash flow hedges		Total
Three months ended June 30, 2023
AOCI as of beginning of period	$	136	$	(206)	$	(70)	$	(758)	$	30	$	(798)
OCI:
OCI before reclassifications and taxes	(22)		36		14		(102)		26		(62)
Amounts reclassified from AOCI, before tax	—		—		—		—		(9)		(9)
Pre-tax net OCI	(22)		36		14		(102)		17		(71)
Income tax effect	6		—		6		26		(5)		27
OCI for the period, net of tax	(16)		36		20		(76)		12		(44)
AOCI as of end of period	$	120	$	(170)	$	(50)	$	(834)	$	42	$	(842)
Nine months ended June 30, 2023
AOCI as of beginning of period	$	153	$	(276)	$	(123)	$	(902)	$	43	$	(982)
OCI:
OCI before reclassifications and taxes	(45)		107		62		109		21		192
Amounts reclassified from AOCI, before tax	—		—		—		—		(22)		(22)
Pre-tax net OCI	(45)		107		62		109		(1)		170
Income tax effect	12		(1)		11		(41)		—		(30)
OCI for the period, net of tax	(33)		106		73		68		(1)		140
AOCI as of end of period	$	120	$	(170)	$	(50)	$	(834)	$	42	$	(842)
Three months ended June 30, 2022
AOCI as of beginning of period	$	71	$	(91)	$	(20)	$	(380)	$	11	$	(389)
OCI:
OCI before reclassifications and taxes	32		(64)		(32)		(206)		12		(226)
Amounts reclassified from AOCI, before tax	—		—		—		—		2		2
Pre-tax net OCI	32		(64)		(32)		(206)		14		(224)
Income tax effect	(8)		—		(8)		49		(4)		37
OCI for the period, net of tax	24		(64)		(40)		(157)		10		(187)
AOCI as of end of period	$	95	$	(155)	$	(60)	$	(537)	$	21	$	(576)
Nine months ended June 30, 2022
AOCI as of beginning of period	$	81	$	(90)	$	(9)	$	(5)	$	(27)	$	(41)
OCI:
OCI before reclassifications and taxes	18		(65)		(47)		(711)		55		(703)
Amounts reclassified from AOCI, before tax	—		—		—		—		10		10
Pre-tax net OCI	18		(65)		(47)		(711)		65		(693)
Income tax effect	(4)		—		(4)		179		(17)		158
OCI for the period, net of tax	14		(65)		(51)		(532)		48		(535)
AOCI as of end of period	$	95	$	(155)	$	(60)	$	(537)	$	21	$	(576)