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Shareholders' Equity
 12 Months Ended
Dec. 31, 2019
Equity [Abstract]  
Shareholders' Equity Shareholders' Equity
Preferred Stock
The following table summarizes selected terms of each of the series of the preferred stock issued and outstanding as of December 31, 2019:
Preferred Stock(2):
Issuance Date
 
Depositary Shares Issued
 
Ownership Interest Per Depositary Share
 
Liquidation Preference Per Share
 
Liquidation Preference Per Depositary Share
 
Per Annum Dividend Rate
 
Dividend Payment Frequency
 
Carrying Value as of December 31, 2019
(In millions)
 
Redemption Date(1)
Series C
August 2012
 
20,000,000
 
1/4,000th
 
$
100,000

 
$
25

 
5.25%
 
Quarterly
 
$
491

 
September 15, 2017
Series D
February 2014
 
30,000,000
 
1/4,000th
 
100,000

 
25

 
5.90% to but excluding March 15, 2024, then a floating rate equal to the three-month LIBOR plus 3.108%
 
Quarterly
 
742

 
March 15, 2024
Series F
May 2015
 
750,000
 
1/100th
 
100,000

 
1,000

 
5.25% to but excluding September 15, 2020, then a floating rate equal to the three-month LIBOR plus 3.597%
 
Semi-annually
 
742

 
September 15, 2020
Series G
April 2016
 
20,000,000
 
1/4,000th
 
100,000

 
25

 
5.35% to but excluding March 15, 2026, then a floating rate equal to the three-month LIBOR plus 3.709%
 
Quarterly
 
493

 
March 15, 2026
Series H
September 2018
 
500,000
 
1/100th
 
100,000

 
1,000

 
5.625% to but excluding December 15, 2023, then a floating rate equal to the three-month LIBOR plus 2.539%
 
Semi-annually
 
494

 
December 15, 2023
 
 
 
 
(1) On the redemption date, or any dividend payment date thereafter, the preferred stock and corresponding depositary shares may be redeemed by us, in whole or in part, at the liquidation price per share and liquidation price per depositary share plus any declared and unpaid dividends, without accumulation of any undeclared dividends.
(2) The preferred stock and corresponding depositary shares may be redeemed at our option in whole, but not in part, prior to the redemption date upon the occurrence of a regulatory capital treatment event, as defined in the certificate of designation, at a redemption price equal to the liquidation price per share and liquidation price per depositary share plus any declared and unpaid dividends, without accumulation of any undeclared dividends.
We redeemed all outstanding Series E non-cumulative perpetual preferred stock as of December 15, 2019 at a redemption price of $750 million ($100,000 per share equivalent to $25.00 per depositary share) plus accrued and unpaid dividends. The difference of $22 million between the redemption value and the net carrying value resulted in an EPS impact of approximately ($0.06) per share in 2019.
On February 12, 2020, we announced that we will redeem all 5,000 of our outstanding shares of our non-cumulative perpetual preferred stock, Series C, for cash at a redemption price of $100,000 per share (equivalent to $25.00 per depositary share) plus all declared and unpaid dividends. The redemption price will be payable on March 16, 2020, and this redemption will be reflected in our first quarter 2020 results of operations.
The following table presents the dividends declared for each of the series of preferred stock issued and outstanding for the periods indicated:
 
Years Ended December 31,
 
2019
 
2018
(Dollars in millions, except per share amounts)
Dividends Declared per Share
 
Dividends Declared per Depositary Share
 
Total
 
Dividends Declared per Share
 
Dividends Declared per Depositary Share
 
Total
Preferred Stock:
 
 
 
 
 
 
 
 
 
 
 
Series C
$
5,250

 
$
1.32

 
$
26

 
$
5,250

 
$
1.32

 
$
26

Series D
5,900

 
1.48

 
44

 
5,900

 
1.48

 
44

Series E
6,000

 
1.52

 
45

 
6,000

 
1.52

 
45

Series F
5,250

 
52.50

 
40

 
5,250

 
52.50

 
40

Series G
5,352

 
1.32

 
27

 
5,352

 
1.32

 
27

Series H
5,625

 
56.25

 
28

 
1,219

 
12.18

 
6

Total
 
 
 
 
$
210

 
 
 
 
 
$
188


In February 2020, we declared dividends on our series D, F and G preferred stock of approximately $1,475, $2,625 and $1,338, respectively, per share, or approximately $0.37, $26.25 and $0.33, respectively, per depositary share. These dividends total approximately $11 million, $20 million and $7 million on our series D, F and G preferred stock, respectively, which will be paid in March 2020. We also announced dividends on our series C preferred stock of approximately $1,313, per share, or approximately $0.33 per depositary share, totaling approximately $6 million, which will be paid in March 2020.
Common Stock
In June 2019, our Board approved a common stock purchase program authorizing the purchase of up to $2.0 billion of our common stock from July 1, 2019 through June 30, 2020 (the 2019 Program). We repurchased $500 million of our common stock in each of the third and fourth quarters of 2019 under the 2019 Program.
In June 2018, our Board approved a common stock purchase program authorizing the purchase of up to $1.2 billion of our common stock through June 30, 2019 (the 2018 Program). We repurchased $300 million of our common stock in each of the first and second quarters of 2019 under the 2018 Program.
The table below presents the activity under our common stock purchase program during the year ended December 31, 2019:
 
Year Ended December 31, 2019
 
Shares Acquired
(In millions)
 
Average Cost per Share
 
Total Acquired
(In millions)
2018 Program
8.8

 
$
67.97

 
$
600

2019 Program
16.1

 
62.28

 
1,000

Total
24.9

 
64.30

 
$
1,600


The table below presents the dividends declared on common stock for the periods indicated:
 
Years Ended December 31,
 
2019
 
2018
 
Dividends Declared per Share
 
Total
(In millions)
 
Dividends Declared per Share
 
Total
(In millions)
Common Stock
$
1.98

 
$
728

 
$
1.78

 
$
665


Accumulated Other Comprehensive Income (Loss)
The following table presents the after-tax components of AOCI as of the dates indicated:
 
Years Ended December 31,
(In millions)
2019
 
2018
 
2017
Net unrealized (losses) on cash flow hedges
$
(70
)
 
$
(89
)
 
$
(56
)
Net unrealized gains (losses) on available-for-sale securities portfolio
426

 
(193
)
 
148

Net unrealized gains related to reclassified available-for-sale securities
19

 
58

 
19

Net unrealized gains (losses) on available-for-sale securities
445

 
(135
)
 
167

Net unrealized (losses) on available-for-sale securities designated in fair value hedges
(36
)
 
(40
)
 
(64
)
Net unrealized gains on hedges of net investments in non-U.S. subsidiaries
46

 
16

 
(65
)
Other-than-temporary impairment on held-to-maturity securities related to factors other than credit
(2
)
 
(2
)
 
(6
)
Net unrealized (losses) on retirement plans
(187
)
 
(143
)
 
(170
)
Foreign currency translation
(1,072
)
 
(963
)
 
(815
)
Total
$
(876
)
 
$
(1,356
)
 
$
(1,009
)

The following table presents changes in AOCI by component, net of related taxes, for the periods indicated:
(In millions)
Net Unrealized Gains (Losses) on Cash Flow Hedges
 
Net Unrealized Gains (Losses) on Available-for-Sale Securities
 
Net Unrealized Gains (Losses) on Hedges of Net Investments in Non-U.S. Subsidiaries
 
Other-Than-Temporary Impairment on Held-to-Maturity Securities
 
Net Unrealized Losses on Retirement Plans
 
Foreign Currency Translation
 
Total
Balance as of December 31, 2017
$
(56
)
 
$
103

 
$
(65
)
 
$
(6
)
 
$
(170
)
 
$
(815
)
 
$
(1,009
)
Other comprehensive income (loss) before reclassifications
(52
)
 
(285
)
 
81

 
6

 
—

 
(148
)
 
(398
)
Amounts reclassified into (out of) earnings
19

 
7

 
—

 
(2
)
 
27

 
—

 
51

Other comprehensive income (loss)
(33
)
 
(278
)
 
81

 
4

 
27

 
(148
)
 
(347
)
Balance as of December 31, 2018
$
(89
)
 
$
(175
)
 
$
16

 
$
(2
)
 
$
(143
)
 
$
(963
)
 
$
(1,356
)
Other comprehensive income (loss) before reclassifications
13

 
563

 
33

 
2

 
—

 
(42
)
 
569

Reclassification of certain tax effects(1)
(6
)
 
21

 
(3
)
 
(1
)
 
(28
)
 
(67
)
 
(84
)
Amounts reclassified into (out of) earnings
12

 
—

 
—

 
(1
)
 
(16
)
 
—

 
(5
)
Other comprehensive income (loss)
19

 
584

 
30

 
—

 
(44
)
 
(109
)
 
480

Balance as of December 31, 2019
$
(70
)
 
$
409

 
$
46

 
$
(2
)
 
$
(187
)
 
$
(1,072
)
 
$
(876
)
 
 
 
 
 

(1) Represents the reclassification from accumulated other comprehensive income into retained earnings as a result of our adoption of ASU 2018-02 - Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income in the first quarter of 2019.
The following table presents after-tax reclassifications into earnings for the periods indicated:
 
Years Ended December 31,
 
 
 
2019
 
2018
 
 
(In millions)
Amounts Reclassified into
(out of) Earnings
 
Affected Line Item in Consolidated Statement of Income
Available-for-sale securities:
 
 
 
 
 
Net realized gains (losses) from sales of available-for-sale securities, net of related taxes of zero and ($2), respectively
$
—

 
$
7

 
Net gains (losses) from sales of available-for-sale securities
Held-to-maturity securities:
 
 
 
 
 
Other-than-temporary impairment on held-to-maturity securities related to factors other than credit, net of related taxes of zero and $1, respectively
(1
)
 
(2
)
 
Losses reclassified (from) to other comprehensive income
Cash flow hedges:
 
 
 
 
 
Gain reclassified from accumulated other comprehensive income into Income, net of related taxes of $5 and $7
12

 
19

 
Net interest income reclassified from other comprehensive income
Retirement plans:
 
 
 
 
 
Amortization of actuarial losses, net of related taxes of ($8) and $8, respectively
(16
)
 
27

 
Compensation and employee benefits expenses
Total reclassifications (into) out of Accumulated other comprehensive loss
$
(5
)
 
$
51