Derivative Instruments (Tables)

3 Months Ended

Mar. 31, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Asset and Liability Management Derivative Positions of Company

The following table summarizes the asset and liability management derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
March 31, 2015
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	3,050	$	95		5.19	$	–	$	–		–
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		92		–		7.59		5,888		285		1.88
Net investment hedges
Foreign exchange forward contracts		–		–		–		908		14		.04
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		6,550		62		.08		223		3		.06
Sell		892		18		.09		7,993		61		.10
Options
Purchased		2,800		–		.07		–		–		–
Written		3,690		64		.08		5		–		.13
Receive fixed/pay floating swaps		4,115		74		10.22		–		–		–
Foreign exchange forward contracts		1,434		5		.02		5,965		60		.01
Equity contracts		21		–		.22		68		–		.39
Credit contracts		1,246		3		2.89		2,390		5		2.65
Other (a)		297		2		.03		668		48		1.96
Total	$	24,187	$	323			$	24,108	$	476
December 31, 2014
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	2,750	$	65		5.69	$	–	$	–		–
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		272		6		7.76		5,748		315		1.94
Receive fixed/pay floating swaps		250		–		.16		–		–		–
Net investment hedges
Foreign exchange forward contracts		1,047		31		.04		–		–		–
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		4,839		45		.07		60		–		.08
Sell		448		10		.13		6,713		62		.09
Options
Purchased		2,500		–		.06		–		–		–
Written		2,643		31		.08		4		–		.11
Receive fixed/pay floating swaps		3,552		14		10.22		250		1		10.22
Pay fixed/receive floating swaps		15		–		10.22		–		–		–
Foreign exchange forward contracts		510		3		.03		6,176		41		.02
Equity contracts		86		3		.60		–		–		–
Credit contracts		1,247		3		3.29		2,282		5		2.85
Other (a)		58		4		.03		390		48		3.20
Total	$	20,217	$	215			$	21,623	$	472

(a) Includes short-term underwriting purchase and sale commitments with total asset and liability notional values of $297 million and $58 million at March 31, 2015 and December 31, 2014, respectively, and derivative liability swap agreements related to the sale of a portion of the Company’s Class B common shares of Visa Inc. The Visa swap agreements had a total notional value, fair value and weighted average remaining maturity of $371 million, $46 million and 3.51 years at March 31, 2015, respectively, compared to $332 million, $44 million and 3.75 years at December 31, 2014, respectively.

Customer-Related Derivative Positions of Company

The following table summarizes the customer-related derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
March 31, 2015
Interest rate contracts
Receive fixed/pay floating swaps	$	29,287	$	1,140		5.66	$	3,634	$	10		5.44
Pay fixed/receive floating swaps		2,773		8		4.97		27,960		1,166		5.71
Options
Purchased		4,114		8		3.91		23		–		2.17
Written		23		–		2.17		4,080		7		3.91
Futures
Buy		1,796		–		.25		–		–		–
Sell		–		–		–		807		–		1.24
Foreign exchange rate contracts
Forwards, spots and swaps		17,250		1,327		.68		16,920		1,208		.69
Options
Purchased		1,452		91		1.02		–		–		–
Written		–		–		–		1,452		91		1.02
Total	$	56,695	$	2,574			$	54,876	$	2,482
December 31, 2014
Interest rate contracts
Receive fixed/pay floating swaps	$	21,724	$	888		6.09	$	5,880	$	24		3.79
Pay fixed/receive floating swaps		4,622		26		3.27		21,821		892		6.08
Options
Purchased		4,409		10		3.79		24		–		2.42
Written		24		–		2.42		4,375		10		3.79
Futures
Buy		1,811		–		.22		226		–		.45
Sell		152		–		1.08		46		–		1.73
Foreign exchange rate contracts
Forwards, spots and swaps		17,062		890		.52		14,645		752		.59
Options
Purchased		976		39		.44		–		–		–
Written		–		–		–		976		39		.44
Total	$	50,780	$	1,853			$	47,993	$	1,717

Summary of Effective Portion of Gains (Losses) Recognized in Other Comprehensive Income (Loss) and Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings

The table below shows the effective portion of the gains (losses) recognized in other comprehensive income (loss) and the gains (losses) reclassified from other comprehensive income (loss) into earnings (net-of-tax) for the three months ended March 31:

	Gains (Losses) Recognized in Other Comprehensive Income (Loss)						Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings
(Dollars in Millions)	2015			2014			2015			2014
Asset and Liability Management Positions
Cash flow hedges
Interest rate contracts (a)	$	(17	)	$	(7	)	$	(31	)	$	(30	)
Net investment hedges
Foreign exchange forward contracts		115			–			–			–

Note: Ineffectiveness on cash flow and net investment hedges was not material for the three months ended March 31, 2015 and 2014.

(a) Gains (Losses) reclassified from other comprehensive income (loss) into interest income on loans and interest expense on long-term debt.

Summary of Gains (Losses) Recognized in Earnings for Fair Value Hedges, Other Economic Hedges and Customer-Related Positions

The table below shows the gains (losses) recognized in earnings for fair value hedges, other economic hedges and the customer-related positions for the three months ended March 31:

(Dollars in Millions)	Location of Gains (Losses) Recognized in Earnings		2015			2014
Asset and Liability Management Positions
Fair value hedges (a)
Interest rate contracts		Other noninterest income	$	34		$	(2	)
Other economic hedges
Interest rate contracts
Futures and forwards		Mortgage banking revenue		41			(49	)
Purchased and written options		Mortgage banking revenue		59			66
Receive fixed/pay floating swaps		Mortgage banking revenue		115			109
Foreign exchange forward contracts		Commercial products revenue		20			(5	)
Customer-Related Positions
Interest rate contracts
Receive fixed/pay floating swaps		Other noninterest income		358			134
Pay fixed/receive floating swaps		Other noninterest income		(350	)		(129	)
Foreign exchange rate contracts
Forwards, spots and swaps		Commercial products revenue		20			16
Purchased and written options		Commercial products revenue		1			–

(a) Gains (Losses) on items hedged by interest rate contracts included in noninterest income (expense), were $(33) million and $2 million for the three months ended March 31, 2015 and 2014, respectively. The ineffective portion was immaterial for the three months ended March 31, 2015 and 2014.