Northern Trust Corporation (Corporation only)

12 Months Ended

Dec. 31, 2021

Condensed Financial Information Disclosure [Abstract]

Northern Trust Corporation (Corporation only)

Condensed financial information is presented in the following tables. Investments in wholly-owned subsidiaries are carried on the equity method of accounting.

TABLE 140: CONDENSED BALANCE SHEETS


	DECEMBER 31,
(In Millions)	2021		2020
ASSETS
Cash on Deposit with Subsidiary Bank	$	1,731.7	$	2,516.0
Advances to Wholly-Owned Subsidiaries – Banks	2,810.0		2,670.0
Investments in Wholly-Owned Subsidiaries – Banks	11,120.9		10,799.9
– Nonbank	185.3		172.8
Other Assets	890.2		900.9
Total Assets	$	16,738.1	$	17,059.6
LIABILITIES
Senior Notes	$	2,505.5	$	3,122.4
Long-Term Debt	1,145.7		1,189.3
Floating Rate Capital Debt	—		277.8
Other Liabilities	1,070.1		781.8
Total Liabilities	4,721.3		5,371.3
STOCKHOLDERS’ EQUITY
Preferred Stock	884.9		884.9
Common Stock	408.6		408.6
Additional Paid-in Capital	939.3		963.6
Retained Earnings	13,117.3		12,207.7
Accumulated Other Comprehensive Income (Loss)	(35.6)		428.0
Treasury Stock	(3,297.7)		(3,204.5)
Total Stockholders’ Equity	12,016.8		11,688.3
Total Liabilities and Stockholders’ Equity	$	16,738.1	$	17,059.6

TABLE 141: CONDENSED STATEMENTS OF INCOME


	FOR THE YEAR ENDED DECEMBER 31,
(In Millions)	2021		2020		2019
OPERATING INCOME
Dividends – Bank Subsidiaries	$	751.1	$	900.0	$	2,024.1
– Nonbank Subsidiaries	8.3		—		0.4
Intercompany Interest and Other Charges	20.1		46.5		115.1
Interest and Other Income	32.3		19.1		20.2
Total Operating Income	811.8		965.6		2,159.8
OPERATING EXPENSES
Interest Expense	71.3		104.2		121.6
Other Operating Expenses	36.7		26.2		28.6
Total Operating Expenses	108.0		130.4		150.2
Income before Income Taxes and Equity in Undistributed Net Income of Subsidiaries	703.8		835.2		2,009.6
Benefit for Income Taxes	25.7		28.2		24.3
Income before Equity in Undistributed Net Income of Subsidiaries	729.5		863.4		2,033.9
Equity in Undistributed Net Income of Subsidiaries – Banks	803.3		326.0		(559.9)
– Nonbank	12.5		19.9		18.2
Net Income	$	1,545.3	$	1,209.3	$	1,492.2
Preferred Stock Dividends	41.8		56.2		46.4
Net Income Applicable to Common Stock	$	1,503.5	$	1,153.1	$	1,445.8

TABLE 142: CONDENSED STATEMENTS OF CASH FLOWS


	FOR THE YEAR ENDED DECEMBER 31,
(In Millions)	2021		2020		2019
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income	$	1,545.3	$	1,209.3	$	1,492.2
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities
Equity in Undistributed Net Income of Subsidiaries	(815.8)		(345.9)		541.7
Change in Prepaid Expenses	0.1		398.5		(400.4)
Change in Accrued Income Taxes	2.2		3.7		114.1
Other Operating Activities, net	236.6		300.3		141.9
Net Cash Provided by Operating Activities	968.4		1,565.9		1,889.5
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from Sale, Maturity and Redemption of Available for Sale Debt Securities	—		—		—
Investments in and Advances to Subsidiaries, net	(140.0)		(800.0)		540.0
Acquisition of a Business, Net of Cash Received	—		—		—
Other Investing Activities, net	5.1		1.8		3.7
Net Cash (Used in) Provided by Investing Activities	(134.9)		(798.2)		543.7
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from Senior Notes	—		993.2		498.0
Repayments of Senior Notes	(500.0)		(508.6)		—
Repayment of Floating Rate Capital Debt	(278.8)		—		—
Redemption of Preferred Stock - Series C	—		(400.0)		—
Proceeds from Issuance of Preferred Stock - Series E	—		—		392.5
Treasury Stock Purchased	(267.6)		(299.8)		(1,100.2)
Net Proceeds from Stock Options	53.8		19.5		44.0
Cash Dividends Paid on Common Stock	(583.3)		(584.6)		(529.7)
Cash Dividends Paid on Preferred Stock	(41.8)		(45.9)		(46.4)
Other Financing Activities, net	(0.1)		15.4		0.9
Net Cash Used In Financing Activities	(1,617.8)		(810.8)		(740.9)
Net Change in Cash on Deposit with Subsidiary Bank	(784.3)		(43.1)		1,692.3
Cash on Deposit with Subsidiary Bank at Beginning of Year	2,516.0		2,559.1		866.8
Cash on Deposit with Subsidiary Bank at End of Year	$	1,731.7	$	2,516.0	$	2,559.1