Accumulated Other Comprehensive Income (Loss) (Tables)

9 Months Ended

Sep. 30, 2023

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


Three Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Investment Securities Available-For- Sale			Unrealized Gains (Losses) on Investment 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
2023
Balance at beginning of period	$	(5,716	)	$	(3,737	)	$	(294	)	$	(941	)	$	(30	)	$	(10,718	)
Changes in unrealized gains (losses)		(1,881	)		—			(349	)		(1	)		—			(2,231	)
Foreign currency translation adjustment (a)		—			—			—			—			3			3
Reclassification to earnings of realized (gains) losses		—			144			28			(2	)		—			170
Applicable income taxes		474			(37	)		82			2			—			521
Balance at end of period	$	(7,123	)	$	(3,630	)	$	(533	)	$	(942	)	$	(27	)	$	(12,255	)
2022
Balance at beginning of period	$	(7,058	)	$	(1,890	)	$	4		$	(1,378	)	$	(39	)	$	(10,361	)
Changes in unrealized gains (losses)		(2,810	)		—			(232	)		—			—			(3,042	)
Transfer of securities from available-for-sale to held-to-maturity		3,032			(3,032	)		—			—			—			—
Foreign currency translation adjustment (a)		—			—			—			—			(8	)		(8	)
Reclassification to earnings of realized (gains) losses		(1	)		147			8			32			—			186
Applicable income taxes		(56	)		730			57			(8	)		2			725
Balance at end of period	$	(6,893	)	$	(4,045	)	$	(163	)	$	(1,354	)	$	(45	)	$	(12,500	)

(a)	Represents the impact of changes in foreign currency exchange rates on the Company’s investment in foreign operations and related hedges.


Nine Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Investment Securities Available-For- Sale			Unrealized Gains (Losses) on Investment 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
2023
Balance at beginning of period	$	(6,378	)	$	(3,933	)	$	(114	)	$	(939	)	$	(43	)	$	(11,407	)
Changes in unrealized gains (losses)		(1,036	)		—			(610	)		—			—			(1,646	)
Foreign currency translation adjustment (a)		—			—			—			—			21			21
Reclassification to earnings of realized (gains) losses		29			406			46			(6	)		—			475
Applicable income taxes		262			(103	)		145			3			(5	)		302
Balance at end of period	$	(7,123	)	$	(3,630	)	$	(533	)	$	(942	)	$	(27	)	$	(12,255	)
2022
Balance at beginning of period	$	540		$	(935	)	$	(85	)	$	(1,426	)	$	(37	)	$	(1,943	)
Changes in unrealized gains (losses)		(14,325	)		—			(134	)		—			—			(14,459	)
Transfer of securities from available-for-sale to held-to-maturity		4,413			(4,413	)		—			—			—			—
Foreign currency translation adjustment (a)		—			—			—			—			(11	)		(11	)
Reclassification to earnings of realized (gains) losses		(38	)		250			29			96			—			337
Applicable income taxes		2,517			1,053			27			(24	)		3			3,576
Balance at end of period	$	(6,893	)	$	(4,045	)	$	(163	)	$	(1,354	)	$	(45	)	$	(12,500	)

(a)	Represents the impact of changes in foreign currency exchange rates on the Company’s investment in foreign operations and related hedges.

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 (loss) and into earnings is as follows:


	Impact to Net Income
	Three Months Ended September 30						Nine Months Ended September 30						Affected Line Item in the Consolidated Statement of Income
(Dollars in Millions)	2023			2022			2023			2022			Affected Line Item in the Consolidated Statement of Income
Unrealized gains (losses) on investment securities available-for-sale
Realized gains (losses) on sale of investment securities	$	—		$	1		$	(29	)	$	38		Securities gains (losses), net
		—			—			7			(9	)	Applicable income taxes
		—			1			(22)			29		Net-of-tax
Unrealized gains (losses) on investment securities transferred from available-for-sale to held-to-maturity
Amortization of unrealized gains (losses)		(144	)		(147	)		(406	)		(250	)	Interest income
		37			37			103			63		Applicable income taxes
		(107	)		(110	)		(303	)		(187	)	Net-of-tax
Unrealized gains (losses) on derivative hedges
Realized gains (losses) on derivative hedges		(28	)		(8	)		(46	)		(29	)	Net interest income
		8			2			12			7		Applicable income taxes
		(20	)		(6	)		(34	)		(22	)	Net-of-tax
Unrealized gains (losses) on retirement plans
Actuarial gains (losses) and prior service cost (credit) amortization		2			(32	)		6			(96	)	Other noninterest expense
		(1)			8			(2	)		24		Applicable income taxes
		1			(24	)		4			(72	)	Net-of-tax
Total impact to net income	$	(126	)	$	(139	)	$	(355	)	$	(252	)