Parent Company Financial Statements (Tables)

12 Months Ended

Dec. 31, 2016

Condensed Statements of Income (Parent Company Only)

Condensed Statements of Income (Parent Company Only)
For the years ended December 31 ($ in millions)			2016	2015	2014
Income
Dividends from subsidiaries:
	Consolidated nonbank subsidiaries^(a)	$	1,886	1,040	1,094
Interest on loans to subsidiaries			18	15	14
Total income			1,904	1,055	1,108
Expenses
Interest			171	178	163
Other			18	22	17
Total expenses			189	200	180
Income Before Income Taxes and Change in Undistributed Earnings of Subsidiaries			1,715	855	928
Applicable income tax benefit			63	69	62
Income Before Change in Undistributed Earnings of Subsidiaries			1,778	924	990
Change in undistributed earnings			(214)	788	491
Net Income		$	1,564	1,712	1,481
Other Comprehensive Income			-	-	-
Comprehensive Income Attributable to Bancorp		$	1,564	1,712	1,481

(a) The Bancorp’s indirect banking subsidiary paid dividends to the Bancorp’s direct nonbank subsidiary holding company of $1.9 billion, $1.0 billion and $1.1 billion for the years ended December 31, 2016, 2015 and 2014, respectively.

Condensed Balance Sheets (Parent Company Only)


Condensed Balance Sheets (Parent Company Only)
As of December 31 ($ in millions)			2016	2015
Assets
Cash		$	130	128
Short-term investments			3,074	3,728
Loans to subsidiaries:
	Nonbank subsidiaries		969	982
Total loans to subsidiaries			969	982
Investment in subsidiaries:
	Nonbank subsidiaries		17,588	17,831
Total investment in subsidiaries			17,588	17,831
Goodwill			80	80
Other assets			366	414	^(a)
Total Assets		$	22,207	23,163	^(a)
Liabilities
Other short-term borrowings		$	344	404
Accrued expenses and other liabilities			461	433
Long-term debt (external)			5,170	6,456	^(a)
Total Liabilities		$	5,975	7,293	^(a)
Shareholders' Equity
Common stock		$	2,051	2,051
Preferred stock			1,331	1,331
Capital surplus			2,756	2,666
Retained earnings			13,441	12,358
Accumulated other comprehensive income			59	197
Treasury stock			(3,433)	(2,764)
Noncontrolling interests			27	31
Total Equity			16,232	15,870
Total Liabilities and Equity		$	22,207	23,163	^(a)

(a) Upon adoption of ASU 2015-03 on January 1, 2016, the December 31, 2015 Condensed Balance Sheet was adjusted to reflect the reclassification of $17 of debt issuance costs from other assets to long-term debt. For further information refer to Note 1.

Condensed Statements of Cash Flows (Parent Company Only)


Condensed Statements of Cash Flows (Parent Company Only)
For the years ended December 31 ($ in millions)			2016	2015	2014
Operating Activities
Net income		$	1,564	1,712	1,481
Adjustments to reconcile net income to net cash provided by operating activities:
	Benefit from deferred income taxes		-	(4)	(1)
	Net change in undistributed earnings		214	(788)	(491)
Net change in:
	Other assets		14	(18)	9
	Accrued expenses and other liabilities		(35)	31	(41)
Net Cash Provided by Operating Activities			1,757	933	957
Investing Activities
Net change in:
	Short-term investments		654	(539)	(684)
	Loans to subsidiaries		13	2	(10)
Net Cash Provided by (Used in) Investing Activities			667	(537)	(694)
Financing Activities
Net change in other short-term borrowings			(60)	(22)	115
Proceeds from issuance of long-term debt			-	1,099	499
Repayment of long-term debt			(1,250)	-	-
Dividends paid on common stock			(402)	(422)	(423)
Dividends paid on preferred stock			(52)	(75)	(67)
Issuance of preferred stock			-	-	297
Repurchase of treasury stock and related forward contract			(661)	(850)	(654)
Other, net			3	2	(30)
Net Cash Used in Financing Activities			(2,422)	(268)	(263)
Increase in Cash			2	128	-
Cash at Beginning of Period			128	-	-
Cash at End of Period		$	130	128	-