XML 28 R17.htm IDEA: XBRL DOCUMENT v3.19.2
Accumulated Other Comprehensive Income
 6 Months Ended
Jun. 30, 2019
Equity [Abstract]  
Accumulated Other Comprehensive Income
Accumulated Other Comprehensive Income
The following tables present the change in each of the components of accumulated other comprehensive income and the related tax effect of the change allocated to each component for the three and six months ended June 30, 2019 and 2018.
 
 
 
 
 
 
 
(Dollars in millions)
 
Before
Tax
Amount
 
Tax
Effect
 
Net of
Tax
For the Three Months Ended June 30, 2019
 
 
 
 
 

Cash flow hedge activities:
 
 
 
 
 

Unrealized net gains (losses) on hedges arising during the period
 
$
55

 
$
(14
)
 
$
41

Reclassification adjustment for net (gains) losses on hedges included in interest income for loans and interest expense on long-term debt           
 
21

 
(6
)
 
15

Net change
 
76

 
(20
)
 
56

Securities:
 
 
 
 
 

Unrealized holding gains (losses) arising during the period on securities available for sale
 
214

 
(57
)
 
157

Reclassification adjustment for net (gains) losses on securities available for sale included in securities gains, net
 
(22
)
 
6

 
(16
)
Amortization of net unrealized (gains) losses on held to maturity securities
 
6

 
(1
)
 
5

Net change
 
198

 
(52
)
 
146

Foreign currency translation adjustment
 
—

 
—

 
—

Pension and other benefits:
 
 
 
 
 

   Amortization of prior service credit(1)
 
(10
)
 
2

 
(8
)
   Recognized net actuarial (gain) loss(1)
 
19

 
(5
)
 
14

Net change
 
9

 
(3
)
 
6

Other
 
(1
)
 
1

 
—

Net change in AOCI
 
$
282

 
$
(74
)
 
$
208


 
 
 
 
 
 
 
(Dollars in millions)
 
Before
Tax
Amount
 
Tax
Effect
 
Net of
Tax
For the Three Months Ended June 30, 2018
 
 
 
 
 
 
Cash flow hedge activities:
 
 
 
 
 
 
Unrealized net gains (losses) on hedges arising during the period
 
$
(19
)
 
$
5

 
$
(14
)
Reclassification adjustment for net (gains) losses on hedges included in interest income for loans and interest expense on long-term debt           
 
8

 
(2
)
 
6

Net change
 
(11
)
 
3

 
(8
)
Securities:
 
 
 
 
 
 
Unrealized holding gains (losses) arising during the period on securities available for sale
 
(60
)
 
15

 
(45
)
Reclassification adjustment for net (gains) losses on securities available for sale included in securities gains, net
 
(3
)
 
1

 
(2
)
Amortization of net unrealized (gains) losses on held to maturity securities
 
8

 
(2
)
 
6

Net change
 
(55
)
 
14

 
(41
)
Pension and other benefits:
 
 
 
 
 
 
     Amortization of prior service credit(1)
 
(11
)
 
4

 
(7
)
     Recognized net actuarial (gain) loss(1)
 
24

 
(7
)
 
17

Net change
 
13

 
(3
)
 
10

Net change in AOCI
 
$
(53
)
 
$
14

 
$
(39
)

(Dollars in millions)
 
Before
Tax
Amount
 
Tax
Effect
 
Net of
Tax
For the Six Months Ended June 30, 2019
 
 
 
 
 
 
Cash flow hedge activities:
 
 
 
 
 
 
Unrealized net gains (losses) on hedges arising during the period
 
$
69

 
$
(18
)
 
$
51

Reclassification adjustment for net (gains) losses on hedges included in interest income for loans and interest expense on long-term debt           
 
40

 
(11
)
 
29

Net change
 
109

 
(29
)
 
80

Securities:
 
 
 
 
 
 
Unrealized holding gains (losses) arising during the period on securities available for sale
 
414

 
(109
)
 
305

Reclassification adjustment for net (gains) losses on securities available for sale included in securities gains, net
 
(23
)
 
6

 
(17
)
Amortization of net unrealized (gains) losses on held to maturity securities
 
13

 
(3
)
 
10

Net change
 
404

 
(106
)
 
298

Foreign currency translation adjustment
 
—

 
—

 
—

Pension and other benefits:
 
 
 
 
 
 
Amortization of prior service credit(1)
 
(20
)
 
5

 
(15
)
Recognized net actuarial (gain) loss(1)
 
37

 
(10
)
 
27

Net change
 
17

 
(5
)
 
12

Other
 
1

 
—

 
1

Net change in AOCI
 
$
531

 
$
(140
)
 
$
391


 
 
(1)
These amounts are included in the computation of net periodic pension cost. For additional information, see Note 11 "Employee Pension and Other Postretirement Benefits" to these Consolidated Financial Statements.
 
 
 
 
 
 
 
(Dollars in millions)
 
Before
Tax
Amount
 
Tax
Effect
 
Net of
Tax
For the Six Months Ended June 30, 2018
 
 
 
 
 
 
Cash flow hedge activities:
 
 
 
 
 
 
Unrealized net gains (losses) on hedges arising during the period
 
$
(98
)
 
$
26

 
$
(72
)
Reclassification adjustment for net (gains) losses on hedges included in interest income for loans and interest expense on long-term debt           
 
8

 
(2
)
 
6

Net change
 
(90
)
 
24

 
(66
)
Securities:
 
 
 
 
 
 
Unrealized holding gains (losses) arising during the period on securities available for sale
 
(322
)
 
84

 
(238
)
Reclassification adjustment for net (gains) losses on securities available for sale included in securities gains, net
 
(3
)
 
1

 
(2
)
Amortization of net unrealized (gains) losses on held to maturity securities
 
12

 
(3
)
 
9

Net change
 
(313
)
 
82

 
(231
)
Foreign currency translation adjustment
 
(3
)
 
1

 
(2
)
Pension and other benefits:
 
 
 
 
 
 
Amortization of prior service credit (1)
 
(21
)
 
6

 
(15
)
Recognized net actuarial (gain) loss(1)
 
48

 
(13
)
 
35

Net change
 
27

 
(7
)
 
20

Other
 
(1
)
 
—

 
(1
)
Net change in AOCI
 
$
(380
)
 
$
100

 
$
(280
)

 
 

(1)
These amounts are included in the computation of net periodic pension cost. For additional information, see Note 11 "Employee Pension and Other Postretirement Benefits" to these Consolidated Financial Statements.

The following tables present the change in accumulated other comprehensive loss balances.
 
 
 
 
 
 
 
 
 
 
 
 
 
For the Three Months Ended June 30, 2018 and 2019:
 
 
Net Unrealized
Gains (Losses) on Cash Flow Hedges
 
Net
Unrealized
Gains (Losses)
on Securities
 
Foreign
Currency
Translation
Adjustment
 
Pension and
Other Postretirement
Benefits
Adjustment
 
Other
 
Accumulated
Other
Comprehensive
Income (Loss)
(Dollars in millions)
 
 
 
 
 
 
Balance, March 31, 2018
 
$
(232
)
 
$
(423
)
 
$
—

 
$
(590
)
 
$
(1
)
 
$
(1,246
)
Other comprehensive income (loss) before reclassifications
 
(14
)
 
(45
)
 
—

 
—

 
—

 
(59
)
Amounts reclassified from AOCI
 
6

 
4

 
—

 
10

 
—

 
20

Balance, June 30, 2018
 
$
(240
)
 
$
(464
)
 
$
—

 
$
(580
)
 
$
(1
)
 
$
(1,285
)
Balance, March 31, 2019
 
$
(196
)
 
$
(221
)
 
$
—

 
$
(724
)
 
$
—

 
$
(1,141
)
Other comprehensive income (loss) before reclassifications
 
41

 
157

 
—

 
—

 
—

 
198

Amounts reclassified from AOCI
 
15

 
(11
)
 
—

 
6

 
—

 
10

Balance, June 30, 2019
 
$
(140
)
 
$
(75
)
 
$
—

 
$
(718
)
 
$
—

 
$
(933
)

 
 
 
 
 
 
 
 
 
 
 
 
 
For the Six Months Ended June 30, 2018 and 2019
 
 
Net Unrealized
Gains (Losses) on Cash Flow Hedges
 
Net
Unrealized
Gains (Losses)
on Securities
 
Foreign
Currency
Translation
Adjustment
 
Pension and
Other Postretirement
Benefits
Adjustment
 
Other
 
Accumulated
Other
Comprehensive
Income (Loss)
(Dollars in millions)
 
 
 
 
 
 
Balance, December 31, 2017
 
$
(174
)
 
$
(233
)
 
$
(19
)
 
$
(600
)
 
$
—

 
$
(1,026
)
Other comprehensive income (loss) before reclassifications
 
(72
)
 
(238
)
 
(2
)
 
—

 
(1
)
 
(313
)
Amounts reclassified from AOCI
 
6

 
7

 
—

 
20

 
—

 
33

Transfer to additional paid-in capital(1)
 
—

 
—

 
21

 
—

 
—

 
21

Balance, June 30, 2018
 
$
(240
)
 
$
(464
)
 
$
—

 
$
(580
)
 
$
(1
)
 
$
(1,285
)
Balance, December 31, 2018
 
$
(220
)
 
$
(373
)
 
$
—

 
$
(730
)
 
$
(1
)
 
$
(1,324
)
Other comprehensive income (loss) before reclassifications
 
51

 
305

 
—

 
—

 
1

 
357

Amounts reclassified from AOCI
 
29

 
(7
)
 
—

 
12

 
—

 
34

Balance, June 30, 2019
 
$
(140
)
 
$
(75
)
 
$
—

 
$
(718
)
 
$
—

 
$
(933
)

(1)
Transfer of accumulated foreign currency translation to additional paid-in capital resulted from the transfer of the Company's investment in a Canadian entity to MUFG Bank, Ltd. during the first quarter of 2018.