Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Mar. 31, 2014

Reconciliation of Transactions Affecting Accumulated Other Comprehensive Income (Loss) Included in Shareholders' Equity

The reconciliation of the transactions affecting accumulated other comprehensive income (loss) included in shareholders’ equity for the three months ended March 31, is as follows:


(Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For-Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For- Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	(77	)	$	70		$	(261	)	$	(743	)	$	(60	)	$	(1,071	)
Changes in unrealized gains and losses		301			–			(11	)		–			–			290
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		–			–			–			–			–			–
Foreign currency translation adjustment		–			–			–			–			(4	)		(4	)
Reclassification to earnings of realized gains and losses		(5	)		(7	)		49			36			–			73
Applicable income taxes		(113	)		3			(15	)		(14	)		1			(138	)
Balance at end of period	$	106		$	66		$	(238	)	$	(721	)	$	(63	)	$	(850	)
2013
Balance at beginning of period	$	679		$	107		$	(404	)	$	(1,265	)	$	(40	)	$	(923	)
Changes in unrealized gains and losses		(120	)		–			(3	)		(1	)		–			(124	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		6			–			–			–			–			6
Foreign currency translation adjustment		–			–			–			–			(10	)		(10	)
Reclassification to earnings of realized gains and losses		(5	)		(20	)		54			62			–			91
Applicable income taxes		43			7			(18	)		(17	)		4			19
Balance at end of period	$	603		$	94		$	(371	)	$	(1,221	)	$	(46	)	$	(941	)

Impact to Net Income for Items Reclassified out of Accumulated Other Comprehensive Income and into Earnings

Additional detail about the impact to net income for items reclassified out of accumulated other comprehensive income and into earnings for the three months ended March 31, is as follows:


	Impact to Net Income
(Dollars in Millions)	2014			2013			Affected Line Item in the Consolidated Statement of Income
Unrealized gains (losses) on securities available-for-sale
Realized gains (losses) on sale of securities	$	5		$	12		Total securities gains (losses), net
Other-than-temporary impairment recognized in earnings		–			(7	)

		5			5		Total before tax
		(2	)		(2	)	Applicable income taxes

		3			3		Net-of-tax
Unrealized gains (losses) on securities transferred from available-for-sale to held-to-maturity
Amortization of unrealized gains		7			20		Interest income
		(3	)		(7	)	Applicable income taxes

		4			13		Net-of-tax
Unrealized gains (losses) on derivative hedges
Realized gains (losses) on derivative hedges		(49	)		(54	)	Net interest income
		19			21		Applicable income taxes

		(30	)		(33	)	Net-of-tax
Unrealized gains (losses) on retirement plans
Actuarial gains (losses), prior service cost (credit) and transition obligation (asset) amortization		(36	)		(62	)	Employee benefits expense
		14			24		Applicable income taxes

		(22	)		(38	)	Net-of-tax

Total impact to net income	$	(45	)	$	(55	)