ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME (Tables)

9 Months Ended

Sep. 30, 2024

The following table details the components of AOCI as of September 30, 2024 and December 31, 2023:

Components of Accumulated Other Comprehensive (Loss) Income


dollars in millions	September 30, 2024						December 31, 2023
	Pretax		Income Taxes		Net of Income Taxes		Pretax		Income Taxes		Net of Income Taxes
Unrealized loss on securities available for sale	$	(312)	$	60	$	(252)	$	(752)	$	175	$	(577)
Unrealized loss on securities available for sale transferred to held to maturity	(6)		2		(4)		(7)		2		(5)
Defined benefit pension items	112		(29)		83		122		(31)		91

Unrealized gain on cash flow hedge derivatives	19		(5)		14		—		—		—
Total accumulated other comprehensive loss	$	(187)	$	28	$	(159)	$	(637)	$	146	$	(491)

The following table details the changes in the components of AOCI, net of income taxes:

Changes in Accumulated Other Comprehensive (Loss) Income by Component


dollars in millions	Unrealized loss on securities available for sale		Unrealized loss on securities available for sale transferred to held to maturity		Defined benefit pension items		Unrealized gain on cash flow hedge derivatives		Total accumulated other comprehensive loss
Balance as of December 31, 2023	$	(577)	$	(5)	$	91	$	—	$	(491)
AOCI activity before reclassifications	325		—		(8)		12		329
Amounts reclassified from AOCI to earnings	—		1		—		2		3
Other comprehensive income (loss) for the period	325		1		(8)		14		332
Balance as of September 30, 2024	$	(252)	$	(4)	$	83	$	14	$	(159)

Balance as of December 31, 2022	$	(739)	$	(6)	$	10	$	—	$	(735)
AOCI activity before reclassifications	(169)		—		4		—		(165)
Amounts reclassified from AOCI to earnings	19		1		—		—		20
Other comprehensive (loss) income for the period	(150)		1		4		—		(145)
Balance as of September 30, 2023	$	(889)	$	(5)	$	14	$	—	$	(880)

The following table presents the pretax and after tax components of other comprehensive income:

Other Comprehensive Income (Loss) by Component


dollars in millions	Three Months Ended September 30,
	2024						2023
	Pretax		Income Taxes		Net of Income Taxes		Pretax		Income Taxes		Net of Income Taxes		Income Statement Line Items
Unrealized loss on securities available for sale:
AOCI activity before reclassifications	$	594	$	(156)	$	438	$	(155)	$	40	$	(115)
Amounts reclassified from AOCI to earnings	—		—		—		9		(2)		7		$12 realized loss on sales of investment securities available for sale, net; $(3) provision for credit losses
Other comprehensive income (loss) on securities available for sale	$	594	$	(156)	$	438	$	(146)	$	38	$	(108)

Unrealized loss on securities available for sale transferred to held to maturity:

Amounts reclassified from AOCI to earnings	$	1	$	—	$	1	$	—	$	—	$	—	Interest on investment securities
Other comprehensive income on securities available for sale transferred to held to maturity	$	1	$	—	$	1	$	—	$	—	$	—











Unrealized gain on cash flow hedge derivatives:
AOCI activity before reclassifications	$	14	$	(4)	$	10	$	—	$	—	$	—
Amounts reclassified from AOCI to earnings	2		—		2		—		—		—		Interest and fees on loans
Other comprehensive income on cash flow hedge derivatives	$	16	$	(4)	$	12	$	—	$	—	$	—
Total other comprehensive income (loss)	$	611	$	(160)	$	451	$	(146)	$	38	$	(108)


dollars in millions	Nine Months Ended September 30,
	2024						2023
	Pretax		Income Taxes		Net of Income Taxes		Pretax		Income Taxes		Net of Income Taxes		Income Statement Line Items
Unrealized loss on securities available for sale:
AOCI activity before reclassifications	$	440	$	(115)	$	325	$	(229)	$	60	$	(169)
Amounts reclassified from AOCI to earnings	—		—		—		26		(7)		19		Realized loss on sale of investment securities, net
Other comprehensive income (loss) on securities available for sale	$	440	$	(115)	$	325	$	(203)	$	53	$	(150)

Unrealized loss on securities available for sale transferred to held to maturity:

Amounts reclassified from AOCI to earnings	$	1	$	—	$	1	$	1	$	—	$	1	Interest on investment securities
Other comprehensive income on securities available for sale transferred to held to maturity	$	1	$	—	$	1	$	1	$	—	$	1

Defined benefit pension items:


Other comprehensive (loss) income for defined benefit pension items	$	(10)	$	2	$	(8)	$	5	$	(1)	$	4






Unrealized gain on cash flow hedge derivatives:
AOCI activity before reclassifications	$	17	$	(5)	$	12	$	—	$	—	$	—
Amounts reclassified from AOCI to earnings	2		—		2		—		—		—		Interest and fees on loans
Other comprehensive income on cash flow hedge derivatives	$	19	$	(5)	$	14	$	—	$	—	$	—
Total other comprehensive income (loss)	$	450	$	(118)	$	332	$	(197)	$	52	$	(145)