Divestiture and Discontinued Operations (Tables)

9 Months Ended

Sep. 30, 2011

Divestiture and Discontinued Operations (Tables) [Abstract]

Components of Income (Loss) from Discontinued Operations, Net of Taxes, of Education Lending Business

	Three months ended September 30,					Nine months ended September 30,
in millions	2011			2010		2011			2010
Net interest income	$	35		$	40	$	106		$	119
Provision for loan and lease losses		37			18		99			56
Net interest income (expense) after provision for loan and lease losses		(2	)		22		7			63
Noninterest income		(16	)		15		(37	)		(41	)
Noninterest expense		10			11		30			36
Income (loss) before income taxes		(28	)		26		(60	)		(14	)
Income taxes		(10	)		10		(22	)		(5	)
Income (loss) from discontinued operations, net of taxes (a)	$	(18	)	$	16	$	(38	)	$	(9	)

(a) Includes after-tax charges of $12 million and $15 million for the three-month periods ended September 30, 2011 and 2010, respectively, and $37 million and $45 million for the nine-month periods ended September 30, 2011 and 2010, respectively, determined by applying a matched funds transfer pricing methodology to the liabilities assumed necessary to support the discontinued operations.

Components of Assets and Liabilities of Education Lending Business

in millions	September 30, 2011		December 31, 2010		September 30, 2010
Trust loans at fair value	$	2,829	$	3,125	$	3,247
Portfolio loans at fair value		75		—		—
Loans, net of unearned income of $1, $1 and $1		3,080		3,326		3,389
Less: Allowance for loan and lease losses		115		114		123
Net loans		5,869		6,337		6,513
Loans held for sale		—		15		15
Trust accrued income and other assets at fair value		132		169		189
Total assets	$	6,001	$	6,521	$	6,717
Trust accrued expense and other liabilities at fair value	$	28	$	31	$	43
Trust securities at fair value		2,623		2,966		3,080
Total liabilities	$	2,651	$	2,997	$	3,123

Assumptions used to measure fair value of assets and liabilities

September 30, 2011
Weighted-average life (years)	1.4 - 6.0
PREPAYMENT SPEED ASSUMPTIONS (ANNUAL RATE)	4.00% - 26.00	%
EXPECTED CREDIT LOSSES	2.00% - 80.00	%
LOAN DISCOUNT RATES (ANNUAL RATE)	2.45% - 10.80	%
SECURITY DISCOUNT RATES (ANNUAL RATE)	2.15% - 9.80	%
EXPECTED DEFAULTS (STATIC RATE)	3.75% - 40.00	%

Consolidated trusts' assets and liabilities at fair value and contractual values

September 30, 2011	Contractual Amount		Fair Value
in millions
ASSETS
Portfolio loans	$	75	$	75
Trust loans		3,001		2,829
Trust other assets		31		31
LIABILITIES
Trust securities	$	3,080	$	2,623
Trust other liabilities		28		28

Assets and liabilities at fair value on a recurring basis

September 30, 2011
in millions	Level 1		Level 2		Level 3		Total
ASSETS MEASURED ON A RECURRING BASIS
Portfolio loans		—		—	$	75	$	75
Trust loans		—		—		2,829		2,829
Trust other assets		—		—		31		31
Total assets on a recurring basis at fair value		—		—	$	2,935	$	2,935
LIABILITIES MEASURED ON A RECURRING BASIS
Trust securities		—		—	$	2,623	$	2,623
Trust other liabilities		—		—		28		28
Total liabilities on a recurring basis at fair value		—		—	$	2,651	$	2,651

Change in the fair values of the Level 3 consolidated education loan securitization trusts and the portfolio loans

in millions	Portfolio Student Loans		Trust Student Loans			Trust Other Assets			Trust Securities			Trust Other Liabilities
Balance at January 1, 2011		—	$	3,125		$	45		$	2,966		$	31
Gains (losses) recognized in earnings (a)		—		49			—			83			—
Purchases	$	75		—			—			—			—
Sales		—		(75	)		—			—			—
Issuances		—		—			—			—			—
Settlements		—		(270	)		(14	)		(426	)		(3	)
Balance at September 30, 2011	$	75	$	2,829		$	31		$	2,623		$	28

(a) Gains (losses) on the Trust Student Loans and Trust Securities were driven primarily by fair value adjustments.

Components of Income (Loss) from Discontinued Operations, Net of Taxes, of Austin Capital Management

	Three months ended September 30,						Nine months ended September 30,
in millions	2011			2010			2011			2010
Noninterest income		—			—		$	1		$	4
Other noninterest expense		—		$	1			1			5
Income (loss) before income taxes		—			(1	)		—			(1	)
Income taxes	$	(1	)		—			(1	)		—
Income (loss) from discontinued operations, net of taxes	$	1		$	(1	)	$	1		$	(1	)

Components of Assets and Liabilities of Austin Capital Management

in millions	September 30, 2011		December 31, 2010		September 30, 2010
Cash and due from banks	$	31	$	33	$	32
Net loans		1		—		—
Other intangible assets		—		—		1
Total assets	$	32	$	33	$	33
Accrued expense and other liabilities		—	$	1	$	1
Total liabilities		—	$	1	$	1

Combined Results of Discontinued Operations

	Three months ended September 30,					Nine months ended September 30,
in millions	2011			2010		2011			2010
Net interest income	$	35		$	40	$	106		$	119
Provision for loan and lease losses		37			18		99			56
Net interest income (expense) after provision for loan and lease losses		(2	)		22		7			63
Noninterest income		(16	)		15		(36	)		(37	)
Noninterest expense		10			12		31			41
Income (loss) before income taxes		(28	)		25		(60	)		(15	)
Income taxes		(11	)		10		(23	)		(5	)
Income (loss) from discontinued operations, net of taxes (a)	$	(17	)	$	15	$	(37	)	$	(10	)

(a) Includes after-tax charges of $12 million and $15 million for the three-month periods ended September 30, 2011 and 2010, respectively, and $37 million and $45 million for the nine-month periods ended September 30, 2011 and 2010, respectively, determined by applying a matched funds transfer pricing methodology to the liabilities assumed necessary to support the discontinued operations.

Combined Assets and Liabilities of Discontinued Operations

in millions	September 30, 2011		December 31, 2010		September 30, 2010
Cash and due from banks	$	31	$	33	$	32
Trust loans at fair value		2,829		3,125		3,247
Portfolio loans at fair value		75		—		—
Loans, net of unearned income of $1, $1 and $1		3,081		3,326		3,389
Less: Allowance for loan and lease losses		115		114		123
Net loans		5,870		6,337		6,513
Loans held for sale		—		15		15
Other intangible assets		—		—		1
Trust accrued income and other assets at fair value		132		169		189
Total assets	$	6,033	$	6,554	$	6,750
Trust accrued expense and other liabilities at fair value	$	28	$	31	$	43
Accrued expense and other liabilities		—		1		1
Trust securities at fair value		2,623		2,966		3,080
Total liabilities	$	2,651	$	2,998	$	3,124