Stockholders' Equity (Tables)

6 Months Ended

Jun. 30, 2024

Equity [Abstract]

Schedule of Preferred Stock

The following table summarizes our preferred stock outstanding as of June 30, 2024 and December 31, 2023.

Table 10.1: Preferred Stock Outstanding(1)

			Redeemable by Issuer Beginning	Per Annum Dividend Rate	Dividend Frequency	Liquidation Preference per Share		Total Shares Outstanding as of June 30, 2024	Carrying Value (in millions)
Series	Description	Issuance Date							June 30, 2024		December 31, 2023
Series I	5.000% Non-Cumulative	September 11, 2019	December 1, 2024	5.000%	Quarterly	$	1,000	1,500,000	$	1,462	$	1,462
Series J	4.800% Non-Cumulative	January 31,  2020	June 1, 2025	4.800	Quarterly	1,000		1,250,000	1,209		1,209
Series K	4.625% Non-Cumulative	September 17, 2020	December 1, 2025	4.625	Quarterly	1,000		125,000	122		122
Series L	4.375% Non-Cumulative	May 4, 2021	September 1, 2026	4.375	Quarterly	1,000		675,000	652		652
Series M	3.950% Fixed Rate Reset Non-Cumulative	June 10, 2021	September 1, 2026	3.950% through 8/31/2026; resets 9/1/2026 and every subsequent 5 year anniversary at 5-Year Treasury Rate +3.157%	Quarterly	1,000		1,000,000	988		988
Series N	4.250% Non-Cumulative	July 29, 2021	September 1, 2026	4.250%	Quarterly	1,000		425,000	412		412
Total									$	4,845	$	4,845

__________

(1)Except for Series M, ownership is held in the form of depositary shares, each representing a 1/40th interest in a share of fixed-rate non-cumulative perpetual preferred stock.

Change in AOCI Gain (Loss) by Component (Net of Tax)

The following table presents the changes in AOCI by component for the three and six months ended June 30, 2024 and 2023.

Table 10.2: AOCI

	Three Months Ended June 30, 2024
(Dollars in millions)	Securities Available for Sale		Hedging Relationships(1)		Foreign Currency Translation Adjustments(2)		Other		Total
AOCI as of March 31, 2024	$	(7,613)	$	(1,903)	$	13	$	(31)	$	(9,534)
Other comprehensive income (loss) before reclassifications	(184)		(225)		(1)		0		(410)
Amounts reclassified from AOCI into earnings	0		243		0		0		243
Other comprehensive income (loss), net of tax	(184)		18		(1)		0		(167)
AOCI as of June 30, 2024	$	(7,797)	$	(1,885)	$	12	$	(31)	$	(9,701)

	Six Months Ended June 30, 2024
(Dollars in millions)	Securities Available for Sale		Hedging Relationships(1)		Foreign Currency Translation Adjustments(2)		Other		Total
AOCI as of December 31, 2023	$	(6,769)	$	(1,493)	$	26	$	(32)	$	(8,268)
Other comprehensive income (loss) before reclassifications	(1,028)		(812)		(14)		1		(1,853)
Amounts reclassified from AOCI into earnings	0		420		0		0		420
Other comprehensive income (loss), net of tax	(1,028)		(392)		(14)		1		(1,433)
AOCI as of June 30, 2024	$	(7,797)	$	(1,885)	$	12	$	(31)	$	(9,701)

	Three Months Ended June 30, 2023
(Dollars in millions)	Securities Available for Sale		Hedging Relationships(1)		Foreign Currency Translation Adjustments(2)		Other		Total
AOCI as of March 31, 2023	$	(6,714)	$	(1,781)	$	(7)	$	(38)	$	(8,540)
Other comprehensive income (loss) before reclassifications	(888)		(664)		34		0		(1,518)
Amounts reclassified from AOCI into earnings	0		240		0		0		240
Other comprehensive income (loss), net of tax	(888)		(424)		34		0		(1,278)
AOCI as of June 30, 2023	$	(7,602)	$	(2,205)	$	27	$	(38)	$	(9,818)

	Six Months Ended June 30, 2023
(Dollars in millions)	Securities Available for Sale		Hedging Relationships(1)		Foreign Currency Translation Adjustments(2)		Other		Total
AOCI as of December 31, 2022	$	(7,676)	$	(2,182)	$	(20)	$	(38)	$	(9,916)
Other comprehensive income (loss) before reclassifications	74		(466)		47		0		(345)
Amounts reclassified from AOCI into earnings	0		443		0		0		443
Other comprehensive income (loss), net of tax	74		(23)		47		0		98
AOCI as of June 30, 2023	$	(7,602)	$	(2,205)	$	27	$	(38)	$	(9,818)

__________

(1)Includes amounts related to cash flow hedges as well as the excluded component of cross-currency swaps designated as fair value hedges.

(2)Includes other comprehensive gains of $13 million and $62 million for the three and six months ended June 30, 2024, respectively, and other comprehensive losses of $78 million and $116 million for the three and six months ended June 30, 2023, respectively, from hedging instruments designated as net investment hedges.

Reclassifications from AOCI

The following table presents amounts reclassified from each component of AOCI to our consolidated statements of income for the three and six months ended June 30, 2024 and 2023.

Table 10.3: Reclassifications from AOCI

(Dollars in millions)		Three Months Ended June 30,				Six Months Ended June 30,
AOCI Components	Affected Income Statement Line Item	2024		2023		2024		2023
Securities available for sale:
	Non-interest income (expense)	$	0	$	0	$	0	$	0
	Income tax provision (benefit)	0		0		0		0
	Net income (loss)	0		0		0		0
Hedging relationships:
Interest rate contracts:	Interest income (expense)	(313)		(297)		(622)		(559)
Foreign exchange contracts:	Interest income	3		3		5		6
	Interest expense	8		0		7		(1)
	Non-interest income (expense)	(19)		(22)		55		(30)
	Income (Loss) from continuing operations before income taxes	(321)		(316)		(555)		(584)
	Income tax provision (benefit)	(78)		(76)		(135)		(141)
	Net income (loss)	(243)		(240)		(420)		(443)
Other:
	Non-interest income and non-interest expense	0		0		0		0
	Income tax provision (benefit)	0		0		0		0
	Net income (loss)	0		0		0		0
Total reclassifications		$	(243)	$	(240)	$	(420)	$	(443)

Components of Other Comprehensive Income (Loss) and Related Tax Impact

The table below summarizes other comprehensive income (loss) activity and the related tax impact for the three and six months ended June 30, 2024 and 2023.

Table 10.4: Other Comprehensive Income (Loss)

	Three Months Ended June 30,
	2024						2023
(Dollars in millions)	Before Tax		Provision (Benefit)		After Tax		Before Tax		Provision (Benefit)		After Tax
Other comprehensive income (loss):
Net unrealized losses on securities available for sale	$	(244)	$	(60)	$	(184)	$	(1,171)	$	(283)	$	(888)
Net unrealized gains (losses) on hedging relationships	24		6		18		(558)		(134)		(424)
Foreign currency translation adjustments(1)	3		4		(1)		9		(25)		34
Other	0		0		0		0		0		0
Other comprehensive loss	$	(217)	$	(50)	$	(167)	$	(1,720)	$	(442)	$	(1,278)

	Six Months Ended June 30,
	2024						2023
(Dollars in millions)	Before Tax		Provision (Benefit)		After Tax		Before Tax		Provision (Benefit)		After Tax
Other comprehensive income (loss):
Net unrealized gains (losses) on securities available for sale	$	(1,359)	$	(331)	$	(1,028)	$	96	$	22	$	74
Net unrealized losses on hedging relationships	(518)		(126)		(392)		(30)		(7)		(23)
Foreign currency translation adjustments(1)	6		20		(14)		10		(37)		47
Other	1		0		1		0		0		0
Other comprehensive income (loss)	$	(1,870)	$	(437)	$	(1,433)	$	76	$	(22)	$	98

__________

(1)Includes the impact of hedging instruments designated as net investment hedges.