Income Taxes And Tax-Related Items Income Taxes And Tax-Related Items (Tables)

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Current and Deferred Components of the Provision for Income Taxes

The current and deferred components of the provision for income taxes were as follows:

(in millions)
December 31	2014		2013			2012
Current:
Federal	$	127	$	242		$	59
Foreign	6		6			6
State and local	14		17			18
Total current	147		265			83
Deferred:
Federal	123		(20		)	152
State and local	7		—			6
Total deferred	130		(20		)	158
Total	$	277	$	245		$	241

Reconciliation of Expected Income Tax Expense at the Federal Statutory Rate to the Provision for Income Taxes

A reconciliation of expected income tax expense at the federal statutory rate to the Corporation’s provision for income taxes and effective tax rate follows:

(dollar amounts in millions)	2014					2013					2012
Years Ended December 31	Amount			Rate		Amount			Rate		Amount			Rate
Tax based on federal statutory rate	$	305		35.0	%	$	275		35.0	%	$	267		35.0	%
State income taxes	13			1.5		11			1.4		14			1.9
Affordable housing and historic credits	(24		)	(2.8	)	(21		)	(2.6	)	(22		)	(2.9	)
Bank-owned life insurance	(15		)	(1.7	)	(15		)	(1.9	)	(15		)	(2.0	)
Other changes in unrecognized tax benefits	2			0.2		(2		)	(0.2	)	1			0.2
Tax-related interest and penalties	(3		)	(0.3	)	(1		)	(0.1	)	—			—
Other	(1		)	(0.1	)	(2		)	(0.4	)	(4		)	(0.6	)
Provision for income taxes	$	277		31.8	%	$	245		31.2	%	$	241		31.6	%

Reconciliation of Beginning and Ending Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of net unrecognized tax benefits follows:

(in millions)	2014		2013			2012
Balance at January 1	$	11	$	42		$	20
Increases as a result of tax positions taken during a prior period	3		—			33
Decrease related to settlements with tax authorities	—		(31		)	(11		)
Balance at December 31	$	14	$	11		$	42

Tax Years Remaining Open for Examination for Significant Tax Jurisdictions

The following tax years for significant jurisdictions remain subject to examination as of December 31, 2014:

Jurisdiction	Tax Years
Federal	2010-2013
California	2002-2013

Principal Components of Deferred Tax Assets and Liabilities

The principal components of deferred tax assets and liabilities were as follows:

(in millions)
December 31	2014			2013
Deferred tax assets:
Allowance for loan losses	$	208		$	209
Deferred compensation	123			131
Defined benefit plans	—			2
Loan purchase accounting adjustments	5			17
Deferred loan origination fees and costs	28			28
Net unrealized losses on investment securities available-for-sale	—			39
Other temporary differences, net	44			75
Total deferred tax assets	408			501
Deferred tax liabilities:
Lease financing transactions	(206		)	(226		)
Defined benefit plans	(38		)	—
Net unrealized gains on investment securities available-for-sale	(21		)	—
Allowance for depreciation	(13		)	(18		)
Total deferred tax liabilities	(278		)	(244		)
Net deferred tax asset	$	130		$	257