Loans and Allowance for Credit Losses (Tables)

12 Months Ended

Dec. 31, 2017

Receivables [Abstract]

Composition of Loan Portfolio

The composition of the loan portfolio at December 31, disaggregated by class and underlying specific portfolio type, was as follows:

(Dollars in Millions)	2017		2016
Commercial
Commercial	$	91,958	$	87,928
Lease financing		5,603		5,458
Total commercial		97,561		93,386
Commercial Real Estate
Commercial mortgages		29,367		31,592
Construction and development		11,096		11,506
Total commercial real estate		40,463		43,098
Residential Mortgages
Residential mortgages		46,685		43,632
Home equity loans, first liens		13,098		13,642
Total residential mortgages		59,783		57,274
Credit Card		22,180		21,749
Other Retail
Retail leasing		7,988		6,316
Home equity and second mortgages		16,327		16,369
Revolving credit		3,183		3,282
Installment		8,989		8,087
Automobile		18,934		17,571
Student		1,903		2,239
Total other retail		57,324		53,864
Total loans, excluding covered loans		277,311		269,371
Covered Loans		3,121		3,836
Total loans	$	280,432	$	273,207

Changes in Accretable Balance for Purchased Impaired Loans

Changes in the accretable balance for purchased impaired loans for the years ended December 31, were as follows:

(Dollars in Millions)	2017			2016			2015
Balance at beginning of period	$	698		$	957		$	1,309
Accretion		(386	)		(392	)		(382	)
Disposals		(83	)		(110	)		(132	)
Reclassifications from nonaccretable difference(a)		129			244			163
Other		(8	)		(1	)		(1	)
Balance at end of period	$	350		$	698		$	957

(a) Primarily relates to changes in expected credit performance.

Activity in Allowance for Credit Losses by Portfolio Class

Activity in the allowance for credit losses by portfolio class was as follows:

(Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
Balance at December 31, 2016	$	1,450		$	812		$	510		$	934		$	617		$	4,323		$	34		$	4,357
Add
Provision for credit losses		186			19			(24	)		908			304			1,393			(3	)		1,390
Deduct
Loans charged-off		414			30			65			887			355			1,751			–			1,751
Less recoveries of loans charged-off		(150	)		(30	)		(28	)		(101	)		(112	)		(421	)		–			(421	)
Net loans charged-off		264			–			37			786			243			1,330			–			1,330
Other changes(a)		–			–			–			–			–			–			–			–
Balance at December 31, 2017	$	1,372		$	831		$	449		$	1,056		$	678		$	4,386		$	31		$	4,417
Balance at December 31, 2015	$	1,287		$	724		$	631		$	883		$	743		$	4,268		$	38		$	4,306
Add
Provision for credit losses		488			75			(61	)		728			95			1,325			(1	)		1,324
Deduct
Loans charged-off		417			22			85			759			332			1,615			–			1,615
Less recoveries of loans charged-off		(92	)		(35	)		(25	)		(83	)		(111	)		(346	)		–			(346	)
Net loans charged-off		325			(13	)		60			676			221			1,269			–			1,269
Other changes(a)		–			–			–			(1	)		–			(1	)		(3	)		(4	)
Balance at December 31, 2016	$	1,450		$	812		$	510		$	934		$	617		$	4,323		$	34		$	4,357
Balance at December 31, 2014	$	1,146		$	726		$	787		$	880		$	771		$	4,310		$	65		$	4,375
Add
Provision for credit losses		361			(30	)		(47	)		654			193			1,131			1			1,132
Deduct
Loans charged-off		314			22			135			726			319			1,516			–			1,516
Less recoveries of loans charged-off		(95	)		(50	)		(26	)		(75	)		(98	)		(344	)		–			(344	)
Net loans charged-off		219			(28	)		109			651			221			1,172			–			1,172
Other changes(a)		(1	)		–			–			–			–			(1	)		(28	)		(29	)
Balance at December 31, 2015	$	1,287		$	724		$	631		$	883		$	743		$	4,268		$	38		$	4,306

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

Additional Detail of Allowance for Credit Losses and Related Loan Balances by Portfolio Class

Additional detail of the allowance for credit losses by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans		Total Loans
Allowance Balance at December 31, 2017 Related to
Loans individually evaluated for impairment(a)	$	23	$	4	$	–	$	–	$	–	$	27	$	–	$	27
TDRs collectively evaluated for impairment		14		4		139		60		19		236		1		237
Other loans collectively evaluated for impairment		1,335		818		310		996		659		4,118		–		4,118
Loans acquired with deteriorated credit quality		–		5		–		–		–		5		30		35
Total allowance for credit losses	$	1,372	$	831	$	449	$	1,056	$	678	$	4,386	$	31	$	4,417
Allowance Balance at December 31, 2016 Related to
Loans individually evaluated for impairment(a)	$	50	$	4	$	–	$	–	$	–	$	54	$	–	$	54
TDRs collectively evaluated for impairment		12		4		180		65		20		281		1		282
Other loans collectively evaluated for impairment		1,388		798		330		869		597		3,982		–		3,982
Loans acquired with deteriorated credit quality		–		6		–		–		–		6		33		39
Total allowance for credit losses	$	1,450	$	812	$	510	$	934	$	617	$	4,323	$	34	$	4,357

(a) Represents the allowance for credit losses related to loans greater than $5 million classified as nonperforming or TDRs.

Additional detail of loan balances by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans(b)		Total Loans
December 31, 2017
Loans individually evaluated for impairment(a)	$	337	$	71	$	–	$	–	$	–	$	408	$	–	$	408
TDRs collectively evaluated for impairment		148		145		3,524		230		186		4,233		36		4,269
Other loans collectively evaluated for impairment		97,076		40,174		56,258		21,950		57,138		272,596		1,073		273,669
Loans acquired with deteriorated credit quality		–		73		1		–		–		74		2,012		2,086
Total loans	$	97,561	$	40,463	$	59,783	$	22,180	$	57,324	$	277,311	$	3,121	$	280,432
December 31, 2016
Loans individually evaluated for impairment(a)	$	623	$	70	$	–	$	–	$	–	$	693	$	–	$	693
TDRs collectively evaluated for impairment		145		146		3,678		222		173		4,364		35		4,399
Other loans collectively evaluated for impairment		92,611		42,751		53,595		21,527		53,691		264,175		1,553		265,728
Loans acquired with deteriorated credit quality		7		131		1		–		–		139		2,248		2,387
Total loans	$	93,386	$	43,098	$	57,274	$	21,749	$	53,864	$	269,371	$	3,836	$	273,207

(a) Represents loans greater than $5 million classified as nonperforming or TDRs.

(b) Includes expected reimbursements from the FDIC under loss sharing agreements.

Summary of Loans by Portfolio Class, Including Delinquency Status of those that Continue to Accrue Interest and are Nonperforming

The following table provides a summary of loans by portfolio class, including the delinquency status of those that continue to accrue interest, and those that are nonperforming:

	Accruing
(Dollars in Millions)	Current		30-89 Days Past Due		90 Days or More Past Due		Nonperforming		Total
December 31, 2017
Commercial	$	97,005	$	250	$	57	$	249	$	97,561
Commercial real estate		40,279		36		6		142		40,463
Residential mortgages(a)		59,013		198		130		442		59,783
Credit card		21,593		302		284		1		22,180
Other retail		56,685		376		95		168		57,324
Total loans, excluding covered loans		274,575		1,162		572		1,002		277,311
Covered loans		2,917		50		148		6		3,121
Total loans	$	277,492	$	1,212	$	720	$	1,008	$	280,432
December 31, 2016
Commercial	$	92,588	$	263	$	52	$	483	$	93,386
Commercial real estate		42,922		44		8		124		43,098
Residential mortgages(a)		56,372		151		156		595		57,274
Credit card		21,209		284		253		3		21,749
Other retail		53,340		284		83		157		53,864
Total loans, excluding covered loans		266,431		1,026		552		1,362		269,371
Covered loans		3,563		55		212		6		3,836
Total loans	$	269,994	$	1,081	$	764	$	1,368	$	273,207

(a) At December 31, 2017, $385 million of loans 30–89 days past due and $1.9 billion of loans 90 days or more past due purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $273 million and $2.5 billion at December 31, 2016, respectively.

Summary of Loans by Portfolio Class and Company's Internal Credit Quality Rating

The following table provides a summary of loans by portfolio class and the Company’s internal credit quality rating:

			Criticized
(Dollars in Millions)	Pass		Special Mention		Classified(a)		Total Criticized		Total
December 31, 2017
Commercial	$	95,297	$	1,130	$	1,134	$	2,264	$	97,561
Commercial real estate		39,162		648		653		1,301		40,463
Residential mortgages(b)		59,141		16		626		642		59,783
Credit card		21,895		–		285		285		22,180
Other retail		57,009		6		309		315		57,324
Total loans, excluding covered loans		272,504		1,800		3,007		4,807		277,311
Covered loans		3,072		–		49		49		3,121
Total loans	$	275,576	$	1,800	$	3,056	$	4,856	$	280,432
Total outstanding commitments	$	584,072	$	3,142	$	3,987	$	7,129	$	591,201
December 31, 2016
Commercial	$	89,739	$	1,721	$	1,926	$	3,647	$	93,386
Commercial real estate		41,634		663		801		1,464		43,098
Residential mortgages(b)		56,457		10		807		817		57,274
Credit card		21,493		–		256		256		21,749
Other retail		53,576		6		282		288		53,864
Total loans, excluding covered loans		262,899		2,400		4,072		6,472		269,371
Covered loans		3,766		–		70		70		3,836
Total loans	$	266,665	$	2,400	$	4,142	$	6,542	$	273,207
Total outstanding commitments	$	562,704	$	4,920	$	5,629	$	10,549	$	573,253

(a) Classified rating on consumer loans primarily based on delinquency status.

(b) At December 31, 2017, $1.9 billion of GNMA loans 90 days or more past due and $1.7 billion of restructured GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs were classified with a pass rating, compared with $2.5 billion and $1.6 billion at December 31, 2016, respectively.

Summary of Impaired Loans, which Include Nonaccrual and TDR Loans, by Portfolio Class

 A summary of impaired loans, which include all nonaccrual and TDR loans, by portfolio class was as follows:

(Dollars in Millions)	Period-end Recorded Investment(a)		Unpaid Principal Balance		Valuation Allowance		Commitments to Lend Additional Funds
December 31, 2017
Commercial	$	550	$	915	$	44	$	199
Commercial real estate		280		596		11		–
Residential mortgages		1,946		2,339		116		1
Credit card		230		230		60		–
Other retail		302		400		22		4
Total loans, excluding GNMA and covered loans		3,308		4,480		253		204
Loans purchased from GNMA mortgage pools		1,681		1,681		25		–
Covered loans		38		44		1		–
Total	$	5,027	$	6,205	$	279	$	204
December 31, 2016
Commercial	$	849	$	1,364	$	68	$	284
Commercial real estate		293		697		10		–
Residential mortgages		2,274		2,847		153		–
Credit card		222		222		64		–
Other retail		281		456		22		4
Total loans, excluding GNMA and covered loans		3,919		5,586		317		288
Loans purchased from GNMA mortgage pools		1,574		1,574		28		–
Covered loans		36		42		1		1
Total	$	5,529	$	7,202	$	346	$	289

(a) Substantially all loans classified as impaired at December 31, 2017 and 2016, had an associated allowance for credit losses. The total amount of interest income recognized during 2017 on loans classified as impaired at December 31, 2017, excluding those acquired with deteriorated credit quality, was $204 million, compared to what would have been recognized at the original contractual terms of the loans of $265 million.

Impaired Loans Average Recorded Investment and Interest Income Recognized

Additional information on impaired loans for the years ended December 31 follows:

(Dollars in Millions)	Average Recorded Investment		Interest Income Recognized
2017
Commercial	$	683	$	7
Commercial real estate		273		11
Residential mortgages		2,135		103
Credit card		229		3
Other retail		287		14
Total loans, excluding GNMA and covered loans		3,607		138
Loans purchased from GNMA mortgage pools		1,672		65
Covered loans		37		1
Total	$	5,316	$	204
2016
Commercial	$	799	$	9
Commercial real estate		324		15
Residential mortgages		2,422		124
Credit card		214		4
Other retail		293		13
Total loans, excluding GNMA and covered loans		4,052		165
Loans purchased from GNMA mortgage pools		1,620		71
Covered loans		38		1
Total	$	5,710	$	237
2015
Commercial	$	383	$	13
Commercial real estate		433		16
Residential mortgages		2,666		131
Credit card		221		4
Other retail		336		14
Total loans, excluding GNMA and covered loans		4,039		178
Loans purchased from GNMA mortgage pools		2,079		95
Covered loans		42		1
Total	$	6,160	$	274

Summary of Loans Modified as TDRs

The following table provides a summary of loans modified as TDRs for the years ended December 31, by portfolio class:

(Dollars in Millions)	Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance
2017
Commercial		2,758	$	380	$	328
Commercial real estate		128		82		78
Residential mortgages		800		90		88
Credit card		33,615		161		162
Other retail		3,881		79		68
Total loans, excluding GNMA and covered loans		41,182		792		724
Loans purchased from GNMA mortgage pools		6,791		881		867
Covered loans		11		2		2
Total loans		47,984	$	1,675	$	1,593
2016
Commercial		2,352	$	844	$	699
Commercial real estate		102		259		256
Residential mortgages		1,576		168		178
Credit card		31,394		151		153
Other retail		2,235		41		40
Total loans, excluding GNMA and covered loans		37,659		1,463		1,326
Loans purchased from GNMA mortgage pools		11,260		1,274		1,267
Covered loans		39		6		7
Total loans		48,958	$	2,743	$	2,600
2015
Commercial		1,607	$	385	$	396
Commercial real estate		108		78		76
Residential mortgages		2,080		260		258
Credit card		26,772		133		134
Other retail		2,530		54		54
Total loans, excluding GNMA and covered loans		33,097		910		918
Loans purchased from GNMA mortgage pools		8,199		864		862
Covered loans		16		5		5
Total loans		41,312	$	1,779	$	1,785

Summary of Loans Modified as TDRs in the Past Twelve Months that have Subsequently Defaulted

The following table provides a summary of TDR loans that defaulted (fully or partially charged-off or became 90 days or more past due) for the years ended December 31, that were modified as TDRs within 12 months previous to default:

(Dollars in Millions)	Number of Loans		Amount Defaulted
2017
Commercial		724	$	53
Commercial real estate		36		9
Residential mortgages		374		41
Credit card		8,372		36
Other retail		415		5
Total loans, excluding GNMA and covered loans		9,921		144
Loans purchased from GNMA mortgage pools		1,369		177
Covered loans		4		–
Total loans		11,294	$	321
2016
Commercial		531	$	24
Commercial real estate		27		12
Residential mortgages		132		17
Credit card		6,827		30
Other retail		434		9
Total loans, excluding GNMA and covered loans		7,951		92
Loans purchased from GNMA mortgage pools		202		25
Covered loans		4		1
Total loans		8,157	$	118
2015
Commercial		494	$	21
Commercial real estate		18		8
Residential mortgages		273		36
Credit card		6,286		29
Other retail		636		12
Total loans, excluding GNMA and covered loans		7,707		106
Loans purchased from GNMA mortgage pools		598		75
Covered loans		5		1
Total loans		8,310	$	182

Carrying Amount of Covered Assets

The carrying amount of the covered assets at December 31, consisted of purchased impaired loans, purchased nonimpaired loans and other assets as shown in the following table:

	2017								2016
(Dollars in Millions)	Purchased Impaired Loans		Purchased Nonimpaired Loans		Other		Total		Purchased Impaired Loans		Purchased Nonimpaired Loans		Other		Total
Residential mortgage loans	$	2,012	$	400	$	–	$	2,412	$	2,248	$	506	$	–	$	2,754
Other retail loans		–		151		–		151		–		278		–		278
Losses reimbursable by the FDIC(a)		–		–		320		320		–		–		381		381
Unamortized changes in FDIC asset(b)		–		–		238		238		–		–		423		423
Covered loans		2,012		551		558		3,121		2,248		784		804		3,836
Foreclosed real estate		–		–		21		21		–		–		26		26
Total covered assets	$	2,012	$	551	$	579	$	3,142	$	2,248	$	784	$	830	$	3,862

(a) Relates to loss sharing agreements with remaining terms up through the fourth quarter of 2019.

(b) Represents decreases in expected reimbursements by the FDIC as a result of decreases in expected losses on the covered loans. These amounts are amortized as a reduction in interest income on covered loans over the shorter of the expected life of the respective covered loans or the remaining contractual term of the indemnification agreements.

Commercial Loans by Industry Group and Geography Excluding Covered Loans

  TABLE 7   Commercial Loans by Industry Group and Geography

	2017					2016
At December 31 (Dollars in Millions)	Loans		Percent			Loans		Percent
Industry Group
Manufacturing	$	14,710		15.1	%	$	13,779		14.8	%
Real estate, rental and leasing		12,461		12.8			10,553		11.3
Retail trade		8,952		9.2			7,573		8.1
Finance and insurance		8,639		8.8			8,728		9.3
Wholesale trade		7,383		7.6			7,552		8.1
Healthcare and social assistance		6,517		6.7			6,345		6.8
Public administration		5,116		5.2			4,546		4.9
Arts, entertainment and recreation		3,853		3.9			3,340		3.6
Professional, scientific and technical services		3,499		3.6			3,744		4.0
Educational services		3,414		3.5			3,167		3.4
Information		3,403		3.5			3,597		3.8
Transport and storage		3,198		3.3			3,561		3.8
Utilities		1,933		2.0			1,747		1.9
Other services		1,698		1.7			1,625		1.7
Mining		1,590		1.6			1,645		1.8
Agriculture, forestry, fishing and hunting		1,429		1.5			1,449		1.5
Other		9,766		10.0			10,435		11.2
Total	$	97,561		100.0	%	$	93,386		100.0	%
Geography
California	$	14,086		14.4	%	$	12,677		13.6	%
Colorado		3,979		4.1			4,362		4.7
Illinois		5,245		5.4			4,636		5.0
Minnesota		7,406		7.6			7,093		7.6
Missouri		3,525		3.6			3,536		3.8
Ohio		4,330		4.5			4,270		4.6
Oregon		2,044		2.1			2,090		2.2
Washington		3,699		3.8			3,447		3.7
Wisconsin		3,539		3.6			3,512		3.8
Iowa, Kansas, Nebraska, North Dakota, South Dakota		4,806		4.9			4,900		5.2
Arkansas, Indiana, Kentucky, Tennessee		5,206		5.3			5,168		5.5
Idaho, Montana, Wyoming		1,225		1.3			1,251		1.3
Arizona, Nevada, New Mexico, Utah		3,836		3.9			3,487		3.7
Total banking region		62,926		64.5			60,429		64.7
Florida, Michigan, New York, Pennsylvania, Texas		16,408		16.8			15,467		16.6
All other states		18,227		18.7			17,490		18.7
Total outside Company’s banking region		34,635		35.5			32,957		35.3
Total	$	97,561		100.0	%	$	93,386		100.0	%

Commercial Real Estate Loans by Property Type and Geography Excluding Covered Loans

  TABLE 8   Commercial Real Estate Loans by Property Type and Geography

 

	2017					2016
At December 31 (Dollars in Millions)	Loans		Percent			Loans		Percent
Property Type
Business owner occupied	$	10,205		25.2	%	$	10,899		25.3	%
Commercial property
Industrial		1,580		3.9			1,631		3.8
Office		5,023		12.4			5,536		12.8
Retail		4,502		11.1			4,997		11.6
Other commercial		3,757		9.3			4,064		9.4
Multi-family		8,922		22.0			9,607		22.3
Hotel/motel		3,719		9.2			3,791		8.8
Residential homebuilders		2,489		6.2			2,311		5.4
Healthcare facilities		266		.7			262		.6
Total	$	40,463		100.0	%	$	43,098		100.0	%
Geography
California	$	9,558		23.6	%	$	10,734		24.9	%
Colorado		1,764		4.4			1,819		4.2
Illinois		1,605		4.0			1,678		3.9
Minnesota		2,031		5.0			2,177		5.0
Missouri		1,359		3.3			1,372		3.2
Ohio		1,445		3.6			1,462		3.4
Oregon		1,847		4.6			2,094		4.9
Washington		3,499		8.6			3,435		8.0
Wisconsin		2,036		5.0			2,161		5.0
Iowa, Kansas, Nebraska, North Dakota, South Dakota		2,210		5.5			2,312		5.4
Arkansas, Indiana, Kentucky, Tennessee		1,889		4.7			1,810		4.2
Idaho, Montana, Wyoming		1,163		2.9			1,271		2.9
Arizona, Nevada, New Mexico, Utah		3,134		7.7			3,257		7.6
Total banking region		33,540		82.9			35,582		82.6
Florida, Michigan, New York, Pennsylvania, Texas		3,688		9.1			3,829		8.9
All other states		3,235		8.0			3,687		8.5
Total outside Company’s banking region		6,923		17.1			7,516		17.4
Total	$	40,463		100.0	%	$	43,098		100.0	%

Summary of Nonperforming Assets

  TABLE 16   Nonperforming Assets^(a)

At December 31 (Dollars in Millions)	2017			2016			2015			2014			2013
Commercial
Commercial	$	225		$	443		$	160		$	99		$	122
Lease financing		24			40			14			13			12
Total commercial		249			483			174			112			134
Commercial Real Estate
Commercial mortgages		108			87			92			175			182
Construction and development		34			37			35			84			121
Total commercial real estate		142			124			127			259			303
Residential Mortgages(b)		442			595			712			864			770
Credit Card		1			3			9			30			78
Other Retail
Retail leasing		8			2			3			1			1
Home equity and second mortgages		126			128			136			170			167
Other		34			27			23			16			23
Total other retail		168			157			162			187			191
Total nonperforming loans, excluding covered loans		1,002			1,362			1,184			1,452			1,476
Covered Loans		6			6			8			14			127
Total nonperforming loans		1,008			1,368			1,192			1,466			1,603
Other Real Estate(c)(d)		141			186			280			288			327
Covered Other Real Estate(d)		21			26			32			37			97
Other Assets		30			23			19			17			10
Total nonperforming assets	$	1,200		$	1,603		$	1,523		$	1,808		$	2,037
Total nonperforming assets, excluding covered assets	$	1,173		$	1,571		$	1,483		$	1,757		$	1,813
Excluding covered assets
Accruing loans 90 days or more past due(b)	$	572		$	552		$	541		$	550		$	713
Nonperforming loans to total loans		.36	%		.51	%		.46	%		.60	%		.65	%
Nonperforming assets to total loans plus other real estate(c)		.42	%		.58	%		.58	%		.72	%		.80	%
Including covered assets
Accruing loans 90 days or more past due(b)	$	720		$	764		$	831		$	945		$	1,189
Nonperforming loans to total loans		.36	%		.50	%		.46	%		.59	%		.68	%
Nonperforming assets to total loans plus other real estate(c)		.43	%		.59	%		.58	%		.73	%		.86	%

Changes in Nonperforming Assets

(Dollars in Millions)	Commercial and Commercial Real Estate			Residential Mortgages, Credit Card and Other Retail			Covered Assets			Total
Balance December 31, 2016	$	623		$	948		$	32		$	1,603
Additions to nonperforming assets
New nonaccrual loans and foreclosed properties		559			392			22			973
Advances on loans		28			1			–			29
Total additions		587			393			22			1,002
Reductions in nonperforming assets
Paydowns, payoffs		(415	)		(210	)		(8	)		(633	)
Net sales		(50	)		(172	)		(19	)		(241	)
Return to performing status		(43	)		(142	)		–			(185	)
Charge-offs(e)		(298	)		(48	)		–			(346	)
Total reductions		(806	)		(572	)		(27	)		(1,405	)
Net additions to (reductions in) nonperforming assets		(219	)		(179	)		(5	)		(403	)
Balance December 31, 2017	$	404		$	769		$	27		$	1,200

(a) Throughout this document, nonperforming assets and related ratios do not include accruing loans 90 days or more past due.

(b) Excludes $1.9 billion, $2.5 billion, $2.9 billion, $3.1 billion and $3.7 billion at December 31, 2017, 2016, 2015, 2014 and 2013, respectively, of loans purchased from GNMA mortgage pools that are 90 days or more past due that continue to accrue interest, as their repayments are primarily insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs.

(c) Foreclosed GNMA loans of $267 million, $373 million, $535 million, $641 million and $527 million at December 31, 2017, 2016, 2015, 2014 and 2013, respectively, continue to accrue interest and are recorded as other assets and excluded from nonperforming assets because they are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs.

(d) Includes equity investments in entities whose principal assets are other real estate owned.

(e) Charge-offs exclude actions for certain card products and loan sales that were not classified as nonperforming at the time the charge-off occurred.