Acquisition and divestitures (Tables)

12 Months Ended

Dec. 31, 2023

Business Combinations [Abstract]

Summary of Identifiable Assets Acquired, Liabilities Assumed and Preferred Stock Exchanged as of Acquisition

The consideration paid for People’s United common equity and the preliminary amounts of identifiable assets acquired, liabilities assumed and preferred stock converted as of the acquisition date follows.

(Dollars in millions)
Consideration:
Common stock issued (50,325,004 shares)	$	8,286
Common stock awards converted		105
Cash		2
Total consideration		8,393
Net assets acquired:
Identifiable assets:
Cash and due from banks		396
Interest-bearing deposits at banks		9,193
Investment securities		11,575
Loans and leases		35,841
Core deposit and other intangible assets		261
Other assets		2,979
Total identifiable assets acquired		60,245
Liabilities and preferred stock:
Deposits		52,968
Borrowings		1,389
Other liabilities		1,142
Total liabilities assumed		55,499
Preferred stock		261
Total liabilities and preferred stock		55,760
Net assets acquired		4,485
Goodwill	$	3,908

Summary of Unpaid Principal Balance to Fair Value of Loans and Leases by Portfolio Segment

The following table reconciles the unpaid principal balance to the fair value of loans and leases at April 1, 2022:

(Dollars in millions)	PCD				Non-PCD
Unpaid principal balance	$	3,411		(a)	$	32,896
Allowance for credit losses at acquisition		(99	)	(a)		—
Other discount		(107	)			(260	)	(b)
Fair value	$	3,205			$	32,636

(a)The unpaid principal balance and allowance for credit losses at acquisition is net of charge-offs of $33 million recognized on the PCD loans.

(b)Includes approximately $242 million of principal balances not expected to be collected.

Summary of Acquisition, Pro Forma Information

The following table presents certain pro forma information as if People’s United had been acquired on January 1, 2021.

	Pro forma (Unaudited)
(Dollars in millions)	2022		2021
Total revenues (a)	$	8,631	$	8,076
Net income		2,158		2,391

(a)Represents the total of net interest income and other income.

Summary of Merger Related Expenses

A summary of merger-related expenses included in the Consolidated Statement of Income in 2022 and 2021 follows.

(Dollars in millions)	2022		2021
Salaries and employee benefits	$	102	$	—
Equipment and net occupancy		7		—
Outside data processing software		5		1
Professional and other services		72		37
Advertising and marketing		9		1
Other cost of operations		143		5
Other expense	$	338	$	44