XML 301 R21.htm IDEA: XBRL DOCUMENT v3.24.2.u1
Shareholders' Equity
 6 Months Ended
Jun. 30, 2024
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 June 30, 2024:
Preferred Stock(1):
Issuance DateDepositary Shares IssuedAmount outstanding (in millions)
Ownership Interest Per Depositary Share
Liquidation Preference Per ShareLiquidation Preference Per Depositary Share
Per Annum Dividend Rate
Dividend Payment Frequency
Carrying Value as of June 30, 2024
(In millions)
Redemption Date(2)
Series GApril 201620,000,000 $500 1/4,000th100,000 25 
5.35%(3)
Quarterly$493 March 15, 2026
Series HSeptember 2018500,000 500 1/100th100,000 1,000 
Floating rate equal to the three-month CME term SOFR plus 2.801%, or 8.185% effective December 15, 2023
Semi-annually494 December 15, 2023
Series IJanuary 20241,500,000 1,500 1/100th100,000 1,000 
6.700% through March 14, 2029; resets March 15, 2029 and every subsequent five year anniversary at the five-year U.S. Treasury rate plus 2.613%
Quarterly1,481 March 15, 2029
(1) 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.
(2) 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.
(3) The dividend rate for the floating rate period of the Series G preferred stock that begins on March 15, 2026 and all subsequent floating rate periods will remain at the current fixed rate in accordance with the LIBOR Act and the contractual terms of the Series G preferred stock.
On January 31, 2024, we issued 1.5 million depositary shares, each representing a 1/100th ownership interest in a share of fixed rate reset, non-cumulative perpetual preferred stock, Series I, without par value per share, with a liquidation preference of $100,000 per share (equivalent to $1,000 per depositary share), in a public offering. The aggregate proceeds, net of underwriting discounts, commissions and other issuance costs, were approximately $1.5 billion.
On March 15, 2024, we redeemed an aggregate $1.0 billion, or all 7,500 outstanding shares, of our non-cumulative perpetual preferred stock, Series D (represented by 30,000,000 depository shares), for a cash redemption price of $100,000 per share (equivalent to $25 per depository share), plus all declared and unpaid dividends and all 2,500 of the outstanding shares of our noncumulative perpetual preferred stock, Series F (represented by 250,000 depository shares), for a cash redemption price of $100,000 per share (equivalent to $1,000 per depositary share) plus all declared and unpaid dividends.
On July 24, 2024, we issued 850 thousand depositary shares, each representing 1/100th ownership interest in shares of fixed rate reset, non-cumulative perpetual preferred stock, Series J, without par value per share, with a liquidation preference of $100,000 per share (equivalent to $1,000 per depositary share), in a public offering. The aggregate proceeds, net of underwriting discounts, commissions and other issuance costs, were approximately $842 million. Dividends on the Series J Preferred Stock will be payable quarterly at an initial rate of 6.700% per annum commencing on December 15, 2024, with the first dividend payable on a pro-rata basis. Our preferred stock
dividends, including the declaration, timing and amount thereof, are subject to consideration and approval by the Board at the relevant times.
The following tables present the dividends declared for each of the series of preferred stock issued and outstanding for the periods indicated:
Three Months Ended June 30,
20242023
(Dollars in millions, except per share amounts)Dividends Declared per ShareDividends Declared per Depositary ShareTotalDividends Declared per ShareDividends Declared per Depositary ShareTotal
Preferred Stock:
Series D$— $— $— $1,475 $0.37 $11 
Series F— — — 2,163 21.63 5 
Series G1,338 0.33 6 1,338 0.33 7 
Series H2,145 21.45 11 2,813 28.13 14 
Series I2,513 25.13 38 — — — 
Total$55 $37 
Six Months Ended June 30,
20242023
(Dollars in millions, except per share amounts)Dividends Declared per ShareDividends Declared per Depositary ShareTotalDividends Declared per ShareDividends Declared per Depositary ShareTotal
Preferred Stock:
Series D
$1,475 $0.37 $11 $2,950 $0.74 $22 
Series F
2,336 23.36 6 4,254 42.54 11 
Series G
2,675 0.67 13 2,675 0.66 13 
Series H
4,214 42.14 21 2,813 28.13 14 
Series I2,513 25.13 38 — — — 
Total
$89 $60 
In July 2024, we declared dividends on our series G, H, and I preferred stock of approximately $1,338, $2,036, and $1,675, respectively, per share, or approximately $0.33, $20.36, and $16.75, respectively, per depositary share. These dividends total approximately $7 million, $10 million, and $25 million on our series G, H, and I preferred stock, respectively, which will be paid in September 2024.
Common Stock
On January 19, 2024, we announced a new common share repurchase program, approved by our Board and superseding all prior programs, authorizing the purchase of up to $5.0 billion of our common stock beginning in the first quarter of 2024. This new program has no set expiration date and is not expected to be executed in full during 2024. We repurchased $200 million of our common stock in the second quarter of 2024 under our 2024 share repurchase authorization.
The table below presents the activity under our common share repurchase program for the period indicated:
Three Months Ended June 30,
20242023
Shares Acquired
(In millions)
Average Cost per Share
Total Acquired
(In millions)
Shares Acquired (In millions)Average Cost per ShareTotal Acquired (In millions)
2024 Program2.7 $74.52 $200 — $— $— 
2023 Program— — — 14.8 71.08 1,050 
Six Months Ended June 30,
20242023
Shares Acquired
(In millions)
Average Cost per Share
Total Acquired
(In millions)
Shares Acquired (In millions)Average Cost per ShareTotal Acquired (In millions)
2024 Program4.0 $74.09 $300 — $— $— 
2023 Program— — — 28.4 80.93 2,300 
    
The tables below present the dividends declared on common stock for the periods indicated:
Three Months Ended June 30,
20242023
Dividends Declared per ShareTotal (In millions)Dividends Declared per ShareTotal (In millions)
Common Stock$0.69 $207 $0.63 $203 
Six Months Ended June 30,
20242023
Dividends Declared per ShareTotal (In millions)Dividends Declared per ShareTotal (In millions)
Common Stock$1.38 $415 $1.26 $415 
Accumulated Other Comprehensive Income (Loss)
The following table presents the after-tax components of AOCI and changes for the periods indicated, net of related taxes:
(In millions)Net Unrealized Gains (Losses) on Cash Flow Hedges
Net Unrealized Gains (Losses) on Investment Securities(1)
Net Unrealized Losses on Retirement PlansForeign Currency TranslationNet Unrealized Gains (Losses) on Hedges of Net Investments in Non-U.S. SubsidiariesTotal
Balance as of December 31, 2022$(359)$(1,817)$(143)$(1,751)$359 $(3,711)
Other comprehensive income (loss) before reclassifications58 44 — 207 (49)260 
Increase (decrease) due to amounts reclassified from accumulated other comprehensive income75 106 12 — — 193 
Other comprehensive income (loss)133 150 12 207 (49)453 
Balance as of June 30, 2023$(226)$(1,667)$(131)$(1,544)$310 $(3,258)
Balance as of December 31, 2023$(131)$(947)$(145)$(1,400)$269 $(2,354)
Other comprehensive income (loss) before reclassifications30 (45)6 (358)243 (124)
Increase (decrease) due to amounts reclassified from accumulated other comprehensive income(107)270 1 — — 164 
Other comprehensive income (loss)(77)225 7 (358)243 40 
Balance as of June 30, 2024$(208)$(722)$(138)$(1,758)$512 $(2,314)
(1) Includes after-tax net unamortized unrealized gains (losses) of ($454) million and ($530) million as of June 30, 2024 and December 31, 2023, respectively, related to AFS investment securities previously transferred to HTM.
The following tables present after-tax reclassifications into earnings for the periods indicated:
Three Months Ended June 30,
20242023
(In millions)Amounts Reclassified into EarningsAffected Line Item in Consolidated Statement of Income
Investment securities:
Losses reclassified from accumulated other comprehensive
income into income, net of related taxes of $15 and $20, respectively
$42 $54 Net interest income
Cash flow hedges:
Losses (gains) reclassified from accumulated other comprehensive income into income, net of related taxes of $14 and $14, respectively
40 38 Net interest income
Total amounts reclassified from accumulated other comprehensive income$82 $92 
Six Months Ended June 30,
20242023
(In millions)Amounts Reclassified into EarningsAffected Line Item in Consolidated Statement of Income
Investment securities:
Losses reclassified from accumulated other comprehensive
income into income, net of related taxes of $98 and $39, respectively
$270 $106 Net interest income
Cash flow hedges:
Losses (gains) reclassified from accumulated other comprehensive income into income, net of related taxes of ($38) and $27, respectively
(107)75 Net interest income
Retirement plans:
Amortization of actuarial losses, net of related taxes of $0 and $5, respectively
1 12 Compensation and employee benefits expenses
Total amounts reclassified from accumulated other comprehensive income$164 $193