XML 41 R28.htm IDEA: XBRL DOCUMENT v3.22.1
Investment Securities (Tables)
 3 Months Ended
Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Available-for-Sale and Held-to-Maturity
The amortized cost, gross unrealized holding gains and losses, and fair value of
held-to-maturity
and
available-for-sale
investment securities were as follows:
 
 
 
March 31, 2022
 
  
December 31, 2021
 
(Dollars in Millions)
 
Amortized
Cost
 
  
Unrealized
Gains
 
  
Unrealized
Losses
 
 
Fair
Value
 
  
Amortized
Cost
 
  
Unrealized
Gains
 
  
Unrealized
Losses
 
 
Fair
Value
 
Held-to-maturity
                                                                     
Residential agency mortgage-backed securities
   $ 43,654      $ –      $ (3,082 )    $ 40,572      $ 41,858      $ 2      $ (48 )    $ 41,812  
Total
held-to-maturity
   $ 43,654      $ –      $ (3,082 )    $ 40,572      $ 41,858      $ 2      $ (48 )    $ 41,812  
Available-for-sale
                                                                     
U.S. Treasury and agencies
   $ 27,653      $ 28      $ (1,331 )    $ 26,350      $ 36,648      $ 205      $ (244 )    $ 36,609  
Mortgage-backed securities
                                                                     
Residential agency
     82,508        70        (3,586 )      78,992        76,761        665        (347 )      77,079  
Commercial agency
     8,769        –        (806 )      7,963        8,633        53        (201 )      8,485  
Asset-backed securities
     4        3        –       7        62        4        –       66  
Obligations of state and political subdivisions
     10,701        148        (575 )      10,274        10,130        607        (20 )      10,717  
Other
     7        –        –       7        7        –        –       7  
Total
available-for-sale
   $ 129,642      $ 249      $ (6,298 )    $ 123,593      $ 132,241      $ 1,534      $ (812 )    $ 132,963  
Amount of Interest Income from Taxable and Non-Taxable Investment Securities
The following table provides information about the amount of interest income from taxable and
non-taxable
investment securities:
 
    Three Months Ended
March 31		  
(Dollars in Millions)           2022              2021  
Taxable
   $ 646      $ 455  
Non-taxable
     71        62  
Total interest income from investment securities
   $ 717      $ 517  
Amount of Gross Gains and Losses Realized through Sales of Available-for-Sale Investment Securities
The following table provides information about the amount of gross gains and losses realized through the sales of
available-for-sale
investment securities:
 
    Three Months Ended
March 31		  
(Dollars in Millions)           2022             2021  
Realized gains
   $ 242     $ 25  
Realized losses
     (224 )      –  
Net realized gains
   $ 18     $ 25  
Income tax on net realized gains
   $ 4     $ 6  
Gross Unrealized Losses and Fair Value of Company's Investment Securities The following table shows the gross unrealized losses and fair value of the Company’s
available-for-sale
investment securities with unrealized losses, aggregated by investment category and length of time the individual investment securities have been in continuous unrealized loss positions, at March 31, 2022:
    Less Than 12 Months      12 Months or Greater      Total  
(Dollars in Millions)  
Fair
Value
      Unrealized
Losses		     
Fair
Value
      Unrealized
Losses		     
Fair
Value
      Unrealized
Losses		  
U.S. Treasury and agencies
   $ 18,851      $ (982 )     $ 3,784              $ (349 )     $ 22,635      $ (1,331 ) 
Residential agency mortgage-backed securities
     66,323        (3,181 )       5,090        (405 )       71,413        (3,586 ) 
Commercial agency mortgage-backed securities
     5,105        (414 )       2,856        (392 )       7,961        (806 ) 
Asset-backed securities
     –        –        2        –        2        –  
Obligations of state and political subdivisions
     4,378        (514 )       222        (61 )       4,600        (575 ) 
Other
     4        –        –        –        4        –  
Total investment securities
   $ 94,661      $ (5,091 )     $ 11,954              $ (1,207 )     $ 106,615      $ (6,298 ) 
Investment Securities
The following table provides information about the amortized cost, fair value and yield by maturity date of the investment securities outstanding at March 31, 2022:
 
(Dollars in Millions)   Amortized
Cost		     
Fair
Value
      Weighted-
Average
Maturity in
Years		      Weighted-
Average
Yield (e)		  
Held-to-maturity
                                   
Mortgage-Backed Securities (a)
                                   
Maturing in one year or less
   $ –      $ –        –        – % 
Maturing after one year through five years
     –        –        –        –  
Maturing after five years through ten years
     30,703        28,569        9.5        1.58  
Maturing after ten years
     12,951        12,003        10.3        1.78  
Total
   $ 43,654      $ 40,572        9.7        1.64 % 
Total
held-to-maturity
(d)
   $ 43,654      $ 40,572        9.7        1.64 % 
Available-for-sale
                                   
U.S. Treasury and Agencies
                                   
Maturing in one year or less
   $ 2,226      $ 2,236        .5        1.97 % 
Maturing after one year through five years
     3,246        3,086        4.7        1.36  
Maturing after five years through ten years
     19,476        18,644        7.7        1.88  
Maturing after ten years
     2,705        2,384        12.0        1.99  
Total
   $ 27,653      $ 26,350        7.2        1.83 % 
Mortgage-Backed Securities (a)
                                   
Maturing in one year or less
   $ 64      $ 65        .7        2.19 % 
Maturing after one year through five years
     15,629        15,395        3.3        1.89  
Maturing after five years through ten years
     69,960        66,155        8.0        1.76  
Maturing after ten years
     5,624        5,340        10.4        2.09  
Total
   $ 91,277      $ 86,955        7.3        1.80 % 
Asset-Backed Securities (a)
                                   
Maturing in one year or less
   $ –      $ –        .5        2.69 % 
Maturing after one year through five years
     2        3        3.0        1.91  
Maturing after five years through ten years
     2        2        6.0        2.13  
Maturing after ten years
     –        2        13.0        2.41  
Total
   $ 4      $ 7        4.1        2.00 % 
Obligations of State and Political Subdivisions (b) (c)
                                   
Maturing in one year or less
   $ 409      $ 412        .4        4.74 % 
Maturing after one year through five years
     3,046        3,120        4.0        4.34  
Maturing after five years through ten years
     3,326        3,335        6.5        3.83  
Maturing after ten years
     3,920        3,407        17.1        2.82  
Total
   $ 10,701      $ 10,274        9.5        3.64 % 
Other
                                   
Maturing in one year or less
   $ 7      $ 7        .1        2.07 % 
Maturing after one year through five years
     –        –        –        –  
Maturing after five years through ten years
     –        –        –        –  
Maturing after ten years
     –        –        –        –  
Total
   $ 7      $ 7        .1        2.07 % 
Total
available-for-sale
(d)
   $ 129,642      $ 123,593        7.5        1.96 % 
 
(a)
Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments.
(b)
Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, and yield to maturity if the security is purchased at par or a discount.
(c)
Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and the contractual maturity date for securities with a fair value equal to or below par.
(d)
The weighted-average maturity of total
held-to-maturity
investment securities was 7.4 years at December 31, 2021, with a corresponding weighted-average yield of 1.45 percent. The weighted-average maturity of total
available-for-sale
investment securities was 5.5 years at December 31, 2021, with a corresponding weighted-average yield of 1.73 percent.
(e)
Weighted-average yields for obligations of state and political subdivisions are presented on a fully-taxable equivalent basis based on a federal income tax rate of 21 percent. Yields on investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from
available-for-sale
to
held-to-maturity.