Accumulated Other Comprehensive Income

9 Months Ended

Sep. 30, 2016

Accumulated Other Comprehensive Income

Accumulated Other Comprehensive Income

20. Accumulated Other Comprehensive Income

The tables below present the activity of the components of OCI and AOCI for the three months ended:
			Total Other			Total Accumulated Other
			Comprehensive Income			Comprehensive Income
			Pretax	Tax	Net	Beginning	Net	Ending
September 30, 2016 ($ in millions)			Activity	Effect	Activity	Balance	Activity	Balance
Unrealized holding losses on available-for-sale securities arising
	during period	$	(149)	36	(113)
Reclassification adjustment for net gains on available-for-sale
	securities included in net income		(2)	1	(1)
Net unrealized gains on available-for-sale securities			(151)	37	(114)	879	(114)	765
Unrealized holding losses on cash flow hedge derivatives arising
	during period		(23)	8	(15)
Reclassification adjustment for net gains on cash flow hedge
	derivatives included in net income		(11)	4	(7)
Net unrealized gains on cash flow hedge derivatives			(34)	12	(22)	70	(22)	48
Net actuarial loss arising during the period			(5)	2	(3)
Reclassification of amounts to net periodic benefit costs			8	(3)	5
Defined benefit pension plans, net			3	(1)	2	(60)	2	(58)
Total		$	(182)	48	(134)	889	(134)	755

			Total Other			Total Accumulated Other
			Comprehensive Income			Comprehensive Income
			Pretax	Tax	Net	Beginning	Net	Ending
September 30, 2015 ($ in millions)			Activity	Effect	Activity	Balance	Activity	Balance
Unrealized holding gains on available-for-sale securities arising
	during period	$	319	(111)	208
Reclassification adjustment for net gains on available-for-sale
	securities included in net income		(10)	3	(7)
Net unrealized gains on available-for-sale securities			309	(108)	201	327	201	528
Unrealized holding gains on cash flow hedge derivatives arising
	during period		65	(23)	42
Reclassification adjustment for net gains on cash flow hedge
	derivatives included in net income		(20)	7	(13)
Net unrealized gains on cash flow hedge derivatives			45	(16)	29	29	29	58
Net actuarial loss arising during the period			(1)	-	(1)
Reclassification of amounts to net periodic benefit costs			3	(1)	2
Defined benefit pension plans, net			2	(1)	1	(65)	1	(64)
Total		$	356	(125)	231	291	231	522

The tables below present the activity of the components of OCI and AOCI for the nine months ended:
			Total Other			Total Accumulated Other
			Comprehensive Income			Comprehensive Income
			Pretax	Tax	Net	Beginning	Net	Ending
September 30, 2016 ($ in millions)			Activity	Effect	Activity	Balance	Activity	Balance
Unrealized holding gains on available-for-sale securities arising
	during period	$	855	(317)	538
Reclassification adjustment for net gains on available-for-sale
	securities included in net income		(18)	7	(11)
Net unrealized gains on available-for-sale securities			837	(310)	527	238	527	765
Unrealized holding gains on cash flow hedge derivatives arising
	during period		77	(28)	49
Reclassification adjustment for net gains on cash flow hedge
	derivatives included in net income		(37)	14	(23)
Net unrealized gains on cash flow hedge derivatives			40	(14)	26	22	26	48
Net actuarial loss arising during the period			(5)	2	(3)
Reclassification of amounts to net periodic benefit costs			12	(4)	8
Defined benefit pension plans, net			7	(2)	5	(63)	5	(58)
Total		$	884	(326)	558	197	558	755

			Total Other			Total Accumulated Other
			Comprehensive Income			Comprehensive Income
			Pretax	Tax	Net	Beginning	Net	Ending
September 30, 2015 ($ in millions)			Activity	Effect	Activity	Balance	Activity	Balance
Unrealized holding gains on available-for-sale securities arising
	during period	$	98	(34)	64
Reclassification adjustment for net gains on available-for-sale
	securities included in net income		(16)	5	(11)
Net unrealized gains on available-for-sale securities			82	(29)	53	475	53	528
Unrealized holding gains on cash flow hedge derivatives arising
	during period		109	(38)	71
Reclassification adjustment for net gains on cash flow hedge
	derivatives included in net income		(55)	19	(36)
Net unrealized gains on cash flow hedge derivatives			54	(19)	35	23	35	58
Net actuarial loss arising during the period			(4)	1	(3)
Reclassification of amounts to net periodic benefit costs			12	(4)	8
Defined benefit pension plans, net			8	(3)	5	(69)	5	(64)
Total		$	144	(51)	93	429	93	522

The table below presents reclassifications out of AOCI:
	Affected Line Item		For the three months		For the nine months
	in the Condensed Consolidated		ended September 30,		ended September 30,
Components of AOCI: ($ in millions)	Statements of Income		2016	2015	2016	2015
Net unrealized gains on available-for-sale securities:(b)
Net gains included in net income	Securities gains, net	$	2	10	18	16
	Income before income taxes		2	10	18	16
	Applicable income tax expense		(1)	(3)	(7)	(5)
	Net income		1	7	11	11
Net unrealized gains on cash flow hedge derivatives:(b)
Interest rate contracts related to C&I loans	Interest and fees on loans and leases		11	20	37	55
	Income before income taxes		11	20	37	55
	Applicable income tax expense		(4)	(7)	(14)	(19)
	Net income		7	13	23	36
Net periodic benefit costs:(b)
Amortization of net actuarial loss	Employee benefits expense(a)		(2)	(2)	(7)	(7)
Settlements	Employee benefits expense(a)		(6)	(1)	(5)	(5)
	Income before income taxes		(8)	(3)	(12)	(12)
	Applicable income tax expense		3	1	4	4
	Net income		(5)	(2)	(8)	(8)
Total reclassifications for the period	Net income	$	3	18	26	39

• This AOCI component is included in the computation of net periodic benefit cost. Refer to Note 21 in the Bancorp’s Annual Report on Form 10-K for the year ended December 31, 2015 for information on the computation of net periodic benefit cost.
• Amounts in parentheses indicate reductions to net income.