PARENT COMPANY ONLY FINANCIALS

12 Months Ended

Dec. 31, 2016

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

PARENT COMPANY ONLY FINANCIALS

PARENT COMPANY ONLY FINANCIALS

CFG Parent Company

Condensed Statements of Operations

	Year Ended December 31,
(in millions)	2016			2015			2014
OPERATING INCOME:
Income from consolidated subsidiaries and excluding equity in undistributed earnings:
Dividends from banking subsidiaries		$555			$345			$595
Interest	53			54			29
Management and service fees	26			20			21
Equity securities gains	3			3			—
All other operating income	7			4			5
Total operating income	644			426			650
OPERATING EXPENSE:
Salaries and employee benefits	37			15			63
Interest expense	99			108			80
All other expenses	15			38			123
Total operating expense	151			161			266
Income before taxes and undistributed income	493			265			384
Income taxes	(26		)	(29		)	(77		)
Income before undistributed earnings of subsidiaries	519			294			461
Equity in undistributed earnings of subsidiaries:
Bank	522			543			402
Nonbank	4			3			2
Net income		$1,045			$840			$865
Other comprehensive (loss) income, net of income taxes:
Net pension plan activity arising during the period		($2	)		$1			$8
Net unrealized derivative instrument (losses) gains arising during the period	(8		)	2			—
Net unrealized securities (losses) gains arising during the period	—			(2		)	1
Other comprehensive (loss) income activity of the Parent Company, net of income taxes	(10		)	1			9
Other comprehensive (loss) income activity of Bank subsidiaries, net of income taxes	(271		)	(16		)	267
Total other comprehensive (loss) income, net of income taxes	(281		)	(15		)	276
Total comprehensive income		$764			$825			$1,141

In accordance with federal and state banking regulations, dividends paid by the Company’s banking subsidiaries to the Company itself are generally limited to the retained earnings of the respective banking subsidiaries unless specifically approved by the appropriate bank regulator. The Company declared and paid total common stock dividends of $241 million in 2016, $214 million in 2015, and $806 million in 2014. The Company also declared and paid preferred stock dividends of $14 million in 2016 and $7 million in 2015.

CFG Parent Company

Condensed Balance Sheets

(in millions)	December 31, 2016		December 31, 2015
ASSETS:
Cash and due from banks		$671		$531
Loans and advances to:
Bank subsidiaries	1,156		1,725
Nonbank subsidiaries	20		—
Investments in subsidiaries:
Bank subsidiaries	20,116		19,865
Nonbank subsidiaries	50		54
Other assets	128		160
TOTAL ASSETS		$22,141		$22,335
LIABILITIES:
Long-term borrowed funds due to:
Unaffiliated companies		$2,318		$2,595
Balances due to nonbank subsidiaries	—		1
Other liabilities	76		93
TOTAL LIABILITIES	2,394		2,689
TOTAL STOCKHOLDERS’ EQUITY	19,747		19,646
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY		$22,141		$22,335

CFG Parent Company

Condensed Cash Flow Statements

	Year Ended December 31,
(in millions)	2016			2015			2014
OPERATING ACTIVITIES
Net income		$1,045			$840			$865
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred income taxes	5			49			27
Gain on sales of assets	(3		)	(3		)	—
Equity in undistributed earnings of subsidiaries	(526		)	(546		)	(404		)
(Decrease) increase in other liabilities	(19		)	(48		)	18
(Increase) decrease in other assets	35			(16		)	(74		)
Other operating, net	(4		)	3			17
Total adjustments	(512		)	(561		)	(416		)
Net cash provided by operating activities	533			279			449
INVESTING ACTIVITIES
Proceeds from sales of securities available for sale	—			8			—
Investments in and advances to subsidiaries	(40		)	(215		)	(1,470		)
Repayment of investments in and advances to subsidiaries	588			376			945
Other investing, net	(2		)	—			(11		)
Net cash provided (used) by investing activities	546			169			(536		)
FINANCING ACTIVITIES
Proceeds from issuance of long-term borrowed funds	349			1,000			1,000
Repayments of long-term borrowed funds	(625		)	(750		)	—
Proceeds from issuance of common stock	22			27			13
Treasury stock purchased	(430		)	(500		)	(334		)
Net proceeds from issuance of preferred stock	—			247			—
Dividends declared and paid to common stockholders	(241		)	(214		)	(806		)
Dividends declared and paid to preferred stockholders	(14		)	(7		)	—
Net cash used by financing activities	(939		)	(197		)	(127		)
Increase (decrease) in cash and due from banks	140			251			(214		)
Cash and due from banks at beginning of year	531			280			494
Cash and due from banks at end of year		$671			$531			$280