XML 72 R34.htm IDEA: XBRL DOCUMENT v3.10.0.1
Asset Quality (Tables)
 6 Months Ended
Jun. 30, 2018
Receivables [Abstract]  
Financing Receivable Credit Quality Indicators Commercial Credit Exposure — Excluding PCI
Credit Risk Profile by Creditworthiness Category (a), (b) 
 
Commercial and industrial
RE — Commercial
RE — Construction
Commercial lease
Total
in millions
June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

RATING
2018

2017

2018

2017

2018

2017

2018

2017

2018

2017

Pass
$
42,517

$
39,833

$
13,368

$
13,328

$
1,682

$
1,894

$
4,420

$
4,730

$
61,987

$
59,785

Criticized (Accruing)
1,817

1,790

540

482

49

38

68

90

2,474

2,400

Criticized (Nonaccruing)
178

153

42

30

2

2

21

6

243

191

Total
$
44,512

$
41,776

$
13,950

$
13,840

$
1,733

$
1,934

$
4,509

$
4,826

$
64,704

$
62,376

 
 
 
 
 
 
 
 
 
 
 
(a)
Credit quality indicators are updated on an ongoing basis and reflect credit quality information as of the dates indicated.
(b)
The term criticized refers to those loans that are internally classified by Key as special mention or worse, which are asset quality categories defined by regulatory authorities. These assets have an elevated level of risk and may have a high probability of default or total loss. Pass rated refers to all loans not classified as criticized.

Consumer Credit Exposure — Excluding PCI
Non-PCI Loans by Refreshed FICO Score (a) 
 
Residential — Prime
Consumer direct loans
Credit cards
Consumer indirect loans
Total
in millions
June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

FICO SCORE
2018

2017

2018

2017

2018

2017

2018

2017

2018

2017

750 and above
$
10,004

$
10,226

$
517

$
519

$
482

$
477

$
1,493

$
1,472

$
12,496

$
12,694

660 to 749
4,871

5,181

673

690

502

508

1,181

1,184

7,227

7,563

Less than 660
1,564

1,519

211

225

110

121

503

529

2,388

2,394

No Score
179

208

380

356

—

—

219

76

778

640

Total
$
16,618

$
17,134

$
1,781

$
1,790

$
1,094

$
1,106

$
3,396

$
3,261

$
22,889

$
23,291

 
 
 
 
 
 
 
 
 
 
 
(a)
Borrower FICO scores provide information about the credit quality of our consumer loan portfolio as they provide an indication as to the likelihood that a debtor will repay its debts. The scores are obtained from a nationally recognized consumer rating agency and are presented in the above table at the dates indicated.

Commercial Credit Exposure — PCI
Credit Risk Profile by Creditworthiness Category (a), (b) 
 
Commercial and Industrial
RE — Commercial
RE — Construction
Commercial Lease
Total
in millions
June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

RATING
2018

2017

2018

2017

2018

2017

2018

2017

2018

2017

Pass
$
25

$
41

$
140

$
153

$
3

$
26

—

—

$
168

$
220

Criticized
32

42

72

95

—

—

—

—

104

137

Total
$
57

$
83

$
212

$
248

$
3

$
26

—

—

$
272

$
357

 
 
 
 
 
 
 
 
 
 
 
(a)
Credit quality indicators are updated on an ongoing basis and reflect credit quality information as of the dates indicated.
(b)
The term “criticized” refers to those loans that are internally classified by Key as special mention or worse, which are asset quality categories defined by regulatory authorities. These assets have an elevated level of risk and may have a high probability of default or total loss. Pass rated refers to all loans not classified as criticized.

Consumer Credit Exposure — PCI
PCI Loans by Refreshed FICO Score (a) 
 
Residential — Prime
Consumer direct loans
Credit cards
Consumer indirect loans
Total
in millions
June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

June 30,

December 31,

FICO SCORE
2018

2017

2018

2017

2018

2017

2018

2017

2018

2017

750 and above
$
142

$
149

$
1

—

—

—

—

—

$
143

$
149

660 to 749
102

117

1

$
2

—

—

—

—

103

119

Less than 660
107

105

2

2

—

—

—

—

109

107

No Score 
2

6

—

—

—

—

—

—

2

6

Total
$
353

$
377

$
4

$
4

—

—

—

—

$
357

$
381

 
 
 
 
 
 
 
 
 
 
 
(a)
Borrower FICO scores provide information about the credit quality of our consumer loan portfolio as they provide an indication as to the likelihood that a debtor will repay its debts. The scores are obtained from a nationally recognized consumer rating agency and are presented in the above table at the dates indicated.
Past Due Loans Including Current Loans The following aging analysis of past due and current loans as of June 30, 2018, and December 31, 2017, provides further information regarding Key’s credit exposure.

Aging Analysis of Loan Portfolio (a) 
June 30, 2018
Current
30-59
Days Past
Due (b)
60-89
Days Past
Due (b)
90 and
Greater
Days Past
Due (b)
Non-performing
Loans
Total Past
Due and
Non-performing
Loans
Purchased
Credit
Impaired
Total
Loans (c), (d)
in millions
LOAN TYPE
 
 
 
 
 
 
 
 
Commercial and industrial
$
44,137

$
129

$
40

$
28

$
178

$
375

$
57

$
44,569

Commercial real estate:
 
 
 
 
 
 
 
 
Commercial mortgage
13,740

38

100

30

42

210

212

14,162

Construction
1,719

2

1

9

2

14

3

1,736

Total commercial real estate loans
15,459

40

101

39

44

224

215

15,898

Commercial lease financing
4,467

15

2

4

21

42

—

4,509

Total commercial loans
$
64,063

$
184

$
143

$
71

$
243

$
641

$
272

$
64,976

Real estate — residential mortgage
$
5,039

$
11

$
8

$
6

$
55

$
80

$
333

$
5,452

Home equity loans
11,235

25

9

8

222

264

20

11,519

Consumer direct loans
1,759

8

4

6

4

22

4

1,785

Credit cards
1,073

5

4

10

2

21

—

1,094

Consumer indirect loans
3,347

23

5

2

19

49

—

3,396

Total consumer loans
$
22,453

$
72

$
30

$
32

$
302

$
436

$
357

$
23,246

Total loans
$
86,516

$
256

$
173

$
103

$
545

$
1,077

$
629

$
88,222

 
 
 
 
 
 
 
 
 
(a)
Amounts in table represent recorded investment and exclude loans held for sale. Recorded investment represents the face amount of the loan increased or decreased by applicable accrued interest, net deferred loan fees and costs, and unamortized premium or discount, and reflects direct charge-offs.
(b)
Past due loan amounts exclude PCI, even if contractually past due (or if we do not expect to collect principal or interest in full based on the original contractual terms), as we are currently accreting income over the remaining term of the loans.
(c)
Net of unearned income, net deferred loan fees and costs, and unamortized discounts and premiums.
(d)
Future accretable yield related to PCI loans is not included in the analysis of the loan portfolio.
December 31, 2017
Current
30-59
Days Past
Due (b)
60-89
Days Past
Due (b)
90 and
Greater
Days Past
Due (b)
Non-performing
Loans
Total Past
Due and
Non-performing
Loans
Purchased
Credit
Impaired
Total
Loans (c), (d)
in millions
LOAN TYPE
 
 
 
 
 
 
 
 
Commercial and industrial
$
41,444

$
111

$
34

$
34

$
153

$
332

83

$
41,859

Commercial real estate:
 
 
 
 
 
 
 
 
Commercial mortgage
13,750

26

13

21

30

90

248

14,088

Construction
1,919

4

9

—

2

15

26

1,960

Total commercial real estate loans
15,669

30

22

21

32

105

274

16,048

Commercial lease financing
4,791

23

4

2

6

35

—

4,826

Total commercial loans
$
61,904

$
164

$
60

$
57

$
191

$
472

357

$
62,733

Real estate — residential mortgage
$
5,043

$
16

$
7

$
4

$
58

$
85

$
355

$
5,483

Home equity loans
11,721

32

15

9

229

285

22

12,028

Consumer direct loans
1,768

9

4

5

4

22

4

1,794

Credit cards
1,081

7

5

11

2

25

—

1,106

Consumer indirect loans
3,199

33

7

3

19

62

—

3,261

Total consumer loans
$
22,812

$
97

$
38

$
32

$
312

$
479

$
381

$
23,672

Total loans
$
84,716

$
261

$
98

$
89

$
503

$
951

$
738

$
86,405

 
 
 
 
 
 
 
 
 
(a)
Amounts in table represent recorded investment and exclude loans held for sale. Recorded investment represents the face amount of the loan increased or decreased by applicable accrued interest, net deferred loan fees and costs, and unamortized premium or discount, and reflects direct charge-offs.
(b)
Past due loan amounts exclude PCI, even if contractually past due (or if we do not expect to collect principal or interest in full based on the original contractual terms), as we are currently accreting income over the remaining term of the loans.
(c)
Net of unearned income, net deferred loan fees and costs, and unamortized discounts and premiums.
(d)
Future accretable yield related to purchased credit impaired loans is not included in the analysis of the loan portfolio.
Breakdown of Individually Impaired Loans The following tables set forth a further breakdown of individually impaired loans as of June 30, 2018, and December 31, 2017: 

 
June 30, 2018
 
December 31, 2017
 
Recorded
Investment (a)
Unpaid Principal Balance (b)
Specific
Allowance
 
Recorded
Investment (a)
Unpaid Principal Balance (b)
Specific
Allowance
in millions
With no related allowance recorded:
 
 
 
 
 
 
 
Commercial and industrial
$
123

$
154

—

 
$
126

$
153

—

Commercial real estate:
 
 
 
 
 
 
 
Commercial mortgage
20

25

—

 
12

18

—

Total commercial real estate loans
20

25

—

 
12

18

—

Total commercial loans
143

179

—

 
138

171

—

Real estate — residential mortgage
16

24

—

 
17

17

—

Home equity loans
51

59

—

 
56

56

—

Consumer indirect loans
2

4

—

 
2

2

—

Total consumer loans
69

87

—

 
75

75

—

Total loans with no related allowance recorded
212

266

—

 
213

246

—

With an allowance recorded:
 
 
 
 
 
 
 
Commercial and industrial
64

94

$
7

 
10

28

$
6

Total commercial loans
64

94

7

 
10

28

6

Real estate — residential mortgage
32

52

4

 
32

32

5

Home equity loans
74

80

10

 
61

61

9

Consumer direct loans
4

4

—

 
4

4

—

Credit cards
3

3

—

 
2

2

—

Consumer indirect loans
33

33

3

 
32

32

3

Total consumer loans
146

172

17

 
131

131

17

Total loans with an allowance recorded
210

266

24

 
141

159

23

Total
$
422

$
532

$
24

 
$
354

$
405

$
23

 
 
 
 
 
 
 
 
(a)
The Recorded Investment represents the face amount of the loan increased or decreased by applicable accrued interest, net deferred loan fees and costs, and unamortized premium or discount, and reflects direct charge-offs. This amount is a component of total loans on our Consolidated Balance Sheet.
(b)
The Unpaid Principal Balance represents the customer’s legal obligation to us.

The following table sets forth a further breakdown of the average individually impaired loans reported by Key:
Average Recorded Investment (a)
Three Months Ended June 30,
Six Months Ended June 30,
in millions
2018

2017

2018

2017

Commercial and industrial
$
178

$
201

$
161

$
225

Commercial real estate:
 
 
 
 
Commercial mortgage
16

15

16

10

Construction
—

—

—

—

Total commercial real estate loans
16

15

16

10

Total commercial loans
194

216

177

235

Real estate — residential mortgage
49

50

49

50

Home equity loans
124

122

121

122

Consumer direct loans
4

3

4

3

Credit cards
3

3

3

3

Consumer indirect loans
35

34

34

32

Total consumer loans
215

212

211

210

Total
$
409

$
428

$
388

$
445

 
 
 
 
 
(a)
The Recorded Investment represents the face amount of the loan increased or decreased by applicable accrued interest, net deferred loan fees and costs, and unamortized premium or discount, and reflects direct charge-offs. This amount is a component of total loans on our Consolidated Balance Sheet.
Post-Modification Outstanding Recorded Investment by Concession Type for Our Commercial Accruing and Nonaccruing TDRs The following table shows the post-modification outstanding recorded investment by concession type for our commercial and consumer accruing and nonaccruing TDRs that occurred during the periods indicated:
 
Three Months Ended June 30,
Six Months Ended June 30,
in millions
2018
2017
2018
2017
Commercial loans:
 
 
 
 
Forgiveness of principal
$
5

—

$
5

—

Extension of Maturity Date
14

$
15

15

$
17

Payment or Covenant Modification/Deferment
20

11

20

35

Bankruptcy Plan Modification
7

29

7

29

Total
$
46

$
55

$
47

$
81

Consumer loans:
 
 
 
 
Interest rate reduction
$
10

$
4

$
18

$
7

Forgiveness of principal
—

—

—

—

Other
9

4

21

17

Total
$
19

$
8

$
39

$
24

Total commercial and consumer TDRs
$
65

$
63

$
86

$
105
Summary Of Post-Modification Outstanding Recorded Investment, Accruing And Nonaccruing TDRs The following table summarizes the change in the post-modification outstanding recorded investment of our accruing and nonaccruing TDRs during the periods indicated:
 
Three Months Ended June 30,
Six Months Ended June 30,
in millions
2018
2017
2018
2017
Balance at beginning of the period
$
317

$
302

$
317

$
280

Additions
54

67

75

114

Payments
(22
)
(33
)
(41
)
(47
)
Charge-offs
(2
)
(3
)
(4
)
(14
)
Balance at end of period (a)
$
347

$
333

$
347

$
333

 
 
 
 
 
Breakdown of Nonperforming TDRs by Loans Category A further breakdown of TDRs included in nonperforming loans by loan category for the periods indicated are as follows:
 
June 30, 2018
 
December 31, 2017
 
Number of
Loans
Pre-modification
Outstanding
Recorded
Investment
Post-modification
Outstanding
Recorded
Investment
 
Number of
Loans
Pre-modification
Outstanding
Recorded
Investment
Post-modification
Outstanding
Recorded
Investment
dollars in millions
LOAN TYPE
 
 
 
 
 
 
 
Nonperforming:
 
 
 
 
 
 
 
Commercial and industrial
44

$
106

$
86

 
20

$
109

$
86

Commercial real estate:
 
 
 
 
 
 
 
Commercial mortgage
6

13

9

 
8

16

12

Total commercial real estate loans
6

13

9

 
8

16

12

Total commercial loans
50

119

95

 
28

125

98

Real estate — residential mortgage
264

18

17

 
308

18

18

Home equity loans
1,072

60

57

 
1,025

64

57

Consumer direct loans
119

2

2

 
114

2

2

Credit cards
252

1

1

 
322

2

1

Consumer indirect loans
878

16

12

 
825

16

13

Total consumer loans
2,585

97

89

 
2,594

102

91

Total nonperforming TDRs
2,635

216

184

 
2,622

227

189

Prior-year accruing:(a)
 
 
 
 
 
 
 
Commercial and industrial
18

54

37

 
4

30

13

Commercial real estate
 
 
 
 
 
 
 
Commercial mortgage
—

—

—

 
—

—

—

Total commercial real estate loans
—

—

—

 
—

—

—

Total commercial loans
18

54

37

 
4

30

13

Real estate — residential mortgage
517

37

32

 
484

31

31

Home equity loans
1,440

85

68

 
1,276

75

59

Consumer direct loans
82

4

3

 
48

3

2

Credit cards
513

3

1

 
430

1

1

Consumer indirect loans
501

35

22

 
320

31

22

Total consumer loans
3,053

164

126

 
2,558

141

115

Total prior-year accruing TDRs
3,071

218

163

 
2,562

171

128

Total TDRs
5,706

$
434

$
347

 
5,184

$
398

$
317

 
 
 
 
 
 
 
 
(a)
All TDRs that were restructured prior to January 1, 2018, and January 1, 2017, and are fully accruing.
Changes in Allowance for Loan and Lease Losses by Loan Category The changes in the ALLL by loan category for the periods indicated are as follows:

Three months ended June 30, 2018:
in millions
March 31, 2018
Provision
 
Charge-offs
Recoveries
June 30, 2018
Commercial and Industrial
$
533

$
41

 
$
(39
)
$
7

$
542

Commercial real estate:
 
 
 
 
 
 
Real estate — commercial mortgage
136

4

 
(2
)
1

139

Real estate — construction
33

(5
)
 
—

—

28

Total commercial real estate loans
169

(1
)
 
(2
)
1

167

Commercial lease financing
40

4

 
(4
)
—

40

Total commercial loans
742

44

 
(45
)
8

749

Real estate — residential mortgage
9

1

 
—

—

10

Home equity loans
38

2

 
(6
)
3

37

Consumer direct loans
27

6

 
(9
)
2

26

Credit cards
45

11

 
(12
)
2

46

Consumer indirect loans
20

2

 
(7
)
4

19

Total consumer loans
139

22

 
(34
)
11

138

Total ALLL — continuing operations
881

66

(a) 
(79
)
19

887

Discontinued operations
16

—

 
(3
)
1

14

Total ALLL — including discontinued operations
$
897

$
66

 
$
(82
)
$
20

$
901

 
 
 
 
 
 
 
(a)
Excludes a credit for losses on lending-related commitments of $2 million.

Three months ended June 30, 2017:
in millions
March 31, 2017
Provision
 
Charge-offs
Recoveries
June 30, 2017
Commercial and Industrial
$
512

$
54

 
$
(40
)
$
2

$
528

Commercial real estate:
 
 
 
 
 
 
Real estate — commercial mortgage
146

1

 
(3
)
—

144

Real estate — construction
29

(1
)
 
—

—

28

Total commercial real estate loans
175

—

 
(3
)
—

172

Commercial lease financing
40

1

 
(1
)
—

40

Total commercial loans
727

55

 
(44
)
2

740

Real estate — residential mortgage
18

(6
)
 
(4
)
1

9

Home equity loans
53

(7
)
 
(9
)
5

42

Consumer direct loans
24

7

 
(8
)
2

25

Credit cards
38

16

 
(12
)
2

44

Consumer indirect loans
10

1

 
(5
)
4

10

Total consumer loans
143

11

 
(38
)
14

130

Total ALLL — continuing operations
870

66

 
(82
)
16

870

Discontinued operations
23

—

 
(4
)
2

21

Total ALLL — including discontinued operations
$
893

$
66

 
$
(86
)
$
18

$
891

 
 
 
 
 
 
 


Six months ended June 30, 2018:
in millions
December 31, 2017
Provision
 
Charge-offs
Recoveries
June 30, 2018
Commercial and Industrial
529

$
76

 
$
(76
)
$
13

$
542

Commercial real estate:
 
 
 
 
 
 
Real estate — commercial mortgage
133

8

 
(3
)
1

139

Real estate — construction
30

(3
)
 
—

1

28

Total commercial real estate loans
163

5

 
(3
)
2

167

Commercial lease financing
43

1

 
(5
)
1

40

Total commercial loans
735

82

 
(84
)
16

749

Real estate — residential mortgage
7

4

 
(1
)
—

10

Home equity loans
43

(2
)
 
(10
)
6

37

Consumer direct loans
28

11

 
(17
)
4

26

Credit cards
44

23

 
(24
)
3

46

Consumer indirect loans
20

6

 
(15
)
8

19

Total consumer loans
142

42

 
(67
)
21

138

Total ALLL — continuing operations
877

124

(a) 
(151
)
37

887

Discontinued operations
16

2

 
(7
)
3

14

Total ALLL — including discontinued operations
$
893

$
126

 
$
(158
)
$
40

$
901

 
 
 
 
 
 
 
(a)
Excludes a provision for losses on lending-related commitments of $1 million.

Six months ended June 30, 2017:
in millions
December 31, 2016
Provision
 
Charge-offs
Recoveries
June 30, 2017
Commercial and Industrial
$
508

$
85

 
$
(72
)
$
7

$
528

Commercial real estate:
 
 
 
 
 
 
Real estate — commercial mortgage
144

3

 
(3
)
—

144

Real estate — construction
22

5

 
—

1

28

Total commercial real estate loans
166

8

 
(3
)
1

172

Commercial lease financing
42

4

 
(8
)
2

40

Total commercial loans
716

97

 
(83
)
10

740

Real estate — residential mortgage
17

(9
)
 
(2
)
3

9

Home equity loans
54

(3
)
 
(17
)
8

42

Consumer direct loans
24

16

 
(18
)
3

25

Credit cards
38

26

 
(23
)
3

44

Consumer indirect loans
9

9

 
(16
)
8

10

Total consumer loans
142

39

 
(76
)
25

130

Total ALLL — continuing operations
858

136

(a) 
(159
)
35

870

Discontinued operations
24

3

 
(10
)
4

21

Total ALLL — including discontinued operations
$
882

$
139

 
$
(169
)
$
39

$
891

 
 
 
 
 
 
 
(a)
Excludes a credit for losses on lending-related commitments of $7 million.
Allowance for Loan and Lease Losses and Corresponding Loan Balances A breakdown of the individual and collective ALLL and the corresponding loan balances as of June 30, 2018, follows:
 
Allowance
 
Outstanding
June 30, 2018
Individually
Evaluated  for
Impairment
Collectively
Evaluated  for
Impairment
Purchased
Credit
Impaired
 
Loans
 
Individually
Evaluated  for
Impairment
Collectively
Evaluated  for
Impairment
 
Purchased
Credit
Impaired
in millions
 
 
Commercial and industrial
$
7

$
533

$
2

 
$
44,569

  
$
187

$
44,325

  
$
57

Commercial real estate:
 
 
 
 
 
 
 
 
 
 
Commercial mortgage
—

136

3

 
14,162

  
20

13,930

  
212

Construction
—

28

—

 
1,736

  
—

1,733

  
3

Total commercial real estate loans
—

164

3

 
15,898

  
20

15,663

  
215

Commercial lease financing
—

40

—

 
4,509

  
—

4,509

  
—

Total commercial loans 
7

737

5

 
64,976

  
207

64,497

  
272

Real estate — residential mortgage
4

5

1

 
5,452

  
48

5,071

  
333

Home equity loans
10

26

1

 
11,519

  
125

11,374

  
20

Consumer direct loans
—

26

—

 
1,785

  
4

1,777

  
4

Credit cards
—

46

—

 
1,094

  
3

1,091

  
—

Consumer indirect loans
3

16

—

 
3,396

  
35

3,361

  
—

Total consumer loans
17

119

2

 
23,246

  
215

22,674

  
357

Total ALLL — continuing operations
24

856

7

 
88,222

  
422

87,171

  
629

Discontinued operations
3

11

—

 
1,194

(a)  
21

1,173

(a)  
—

Total ALLL — including discontinued operations
$
27

$
867

$
7

 
$
89,416

  
$
443

$
88,344

  
$
629

 
 
 
 
 
 
 
 
 
 
 
(a)
Amount includes $2 million of loans carried at fair value that are excluded from ALLL consideration.

A breakdown of the individual and collective ALLL and the corresponding loan balances as of December 31, 2017, follows:
 
Allowance
 
Outstanding
December 31, 2017
Individually
Evaluated  for
Impairment
Collectively
Evaluated  for
Impairment
Purchased
Credit
Impaired
 
Loans
 
Individually
Evaluated  for
Impairment
Collectively
Evaluated  for
Impairment
 
Purchased
Credit
Impaired
in millions
 
 
Commercial and Industrial
$
6

$
520

$
3

 
$
41,859

  
$
136

$
41,640

  
$
83

Commercial real estate:
 
 
 
 
 
 
 
 
 
 
Commercial mortgage
—

131

2

 
14,088

  
12

13,828

  
248

Construction
—

30

—

 
1,960

  
—

1,934

  
26

Total commercial real estate loans
—

161

2

 
16,048

  
12

15,762

  
274

Commercial lease financing
—

43

—

 
4,826

  
—

4,826

  
—

Total commercial loans
6

724

5

 
62,733

  
148

62,228

  
357

Real estate — residential mortgage
5

2

—

 
5,483

  
49

5,079

  
355

Home equity loans
9

33

1

 
12,028

  
117

11,889

  
22

Consumer direct loans
—

28

—

 
1,794

  
4

1,786

  
4

Credit cards
—

44

—

 
1,106

  
2

1,104

  
—

Consumer indirect loans
3

17

—

 
3,261

  
34

3,227

  
—

Total consumer loans
17

124

1

 
23,672

  
206

23,085

  
381

Total ALLL — continuing operations
23

848

6

 
86,405

  
354

85,313

  
738

Discontinued operations
3

13

—

 
1,314

(a)  
21

1,293

(a) 
—

Total ALLL — including discontinued operations
$
26

$
861

$
6

 
$
87,719

  
$
375

$
86,606

  
$
738

 
 
 
 
 
 
 
 
 
 
 
(a)
Amount includes $2 million of loans carried at fair value that are excluded from ALLL consideration.
Changes in Liability for Credit Losses on Lending Related Commitments Changes in the liability for credit losses on unfunded lending-related commitments are summarized as follows:
 
Three months ended June 30,
Six months ended June 30,
in millions
2018
2017
2018
2017
Balance at beginning of period
$
60

$
48

$
57

$
55

Provision (credit) for losses on lending-related commitments
(2
)
—

1

(7
)
Balance at end of period
$
58

$
48

$
58

$
48

 
 
 
 
 
Schedule of Changes in Outstanding Unpaid Principal Balance, Carrying Amount, and Accretable Yield for PCI Loans The following tables present the roll-forward of the accretable yield and the beginning and ending outstanding unpaid principal balance and carrying amount of all PCI loans for the three and six months ended June 30, 2018, and the twelve months ended December 31, 2017.
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2018
 
2018
in millions
Accretable Yield
Carrying Amount
Outstanding Unpaid Principal Balance
 
Accretable Yield
Carrying Amount
Outstanding Unpaid Principal Balance
Balance at beginning of period
$
132

$
812

$
930

 
$
131

$
738

$
803

Additions
—

 
 
 
—

 
 
Accretion
(11
)
 
 
 
(23
)
 
 
Net reclassifications from nonaccretable to accretable
6

 
 
 
28

 
 
Payments received, net
(6
)
 
 
 
(15
)
 
 
Disposals
—

 
 
 
—

 
 
Balance at end of period
$
121

$
622

$
669

 
$
121

$
622

$
669

 
 
 
 
 
 
 
 
 
 
 
Twelve Months Ended December 31,
 
 
 
2017
in millions
 
 
 
 
Accretable Yield
Carrying Amount
Outstanding Unpaid Principal Balance
Balance at beginning of period
 
 
 
 
$
197

$
865

$
1,002

Additions
 
 
 
 
(32
)
 
 
Accretion
 
 
 
 
(44
)
 
 
Net reclassifications from nonaccretable to accretable
 
 
 
 
15

 
 
Payments received, net
 
 
 
 
(4
)
 
 
Disposals
 
 
 
 
(1
)
 
 
Balance at end of period
 
 
 
 
$
131

$
738

$
803