10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2014

or

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number 1-9861

M&T BANK CORPORATION

(Exact name of registrant as specified in its charter)

New York	16-0968385
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
One M & T Plaza Buffalo, New York	14203
(Address of principal executive offices)	(Zip Code)

(716) 842-5445

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    x  Yes    ¨  No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    x  Yes    ¨  No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	x	Accelerated filer	¨
Non-accelerated filer	¨  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    ¨  Yes    x  No

Number of shares of the registrant’s Common Stock, $0.50 par value, outstanding as of the close of business on April 30, 2014: 131,488,635 shares.

M&T BANK CORPORATION

FORM 10-Q

For the Quarterly Period Ended March 31, 2014

Table of Contents of Information Required in Report		Page
Part I. FINANCIAL INFORMATION
Item 1.	Financial Statements.
	CONSOLIDATED BALANCE SHEET - March 31, 2014 and December 31, 2013		3
	CONSOLIDATED STATEMENT OF INCOME - Three months ended March 31, 2014 and 2013		4
	CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME – Three months ended March 31, 2014 and 2013		5
	CONSOLIDATED STATEMENT OF CASH FLOWS - Three months ended March 31, 2014 and 2013		6
	CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY - Three months ended March 31, 2014 and 2013		7
	NOTES TO FINANCIAL STATEMENTS		8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.		51
Item 3.	Quantitative and Qualitative Disclosures About Market Risk.		90
Item 4.	Controls and Procedures.		90
Part II. OTHER INFORMATION
Item 1.	Legal Proceedings.		90
Item 1A.	Risk Factors.		91
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.		92
Item 3.	Defaults Upon Senior Securities.		92
Item 4.	Mine Safety Disclosures.		92
Item 5.	Other Information.		92
Item 6.	Exhibits.		93
SIGNATURES			94
EXHIBIT INDEX			94

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PART I. FINANCIAL INFORMATION

Item 1. Financial Statements.

M&T BANK CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEET (Unaudited)

		March 31,			December 31,
Dollars in thousands, except per share		2014			2013
Assets	Cash and due from banks	$	1,671,052			1,573,361
	Interest-bearing deposits at banks		3,299,185			1,651,138
	Federal funds sold		92,066			99,573
	Trading account		314,807			376,131
	Investment securities (includes pledged securities that can be sold or repledged of $1,657,883 at March 31, 2014; $1,696,438 at December 31, 2013)
	Available for sale (cost: $6,042,063 at March 31, 2014; $4,444,365 at December 31, 2013)		6,191,571			4,531,786
	Held to maturity (fair value: $3,814,766 at March 31, 2014; $3,860,127 at December 31, 2013)		3,873,985			3,966,130
	Other (fair value: $298,693 at March 31, 2014; $298,581 at December 31, 2013)		298,693			298,581
	Total investment securities		10,364,249			8,796,497
	Loans and leases		64,378,511			64,325,783
	Unearned discount		(243,433	)		(252,624	)
	Loans and leases, net of unearned discount		64,135,078			64,073,159
	Allowance for credit losses		(916,768	)		(916,676	)
	Loans and leases, net		63,218,310			63,156,483
	Premises and equipment		627,966			633,520
	Goodwill		3,524,625			3,524,625
	Core deposit and other intangible assets		58,789			68,851
	Accrued interest and other assets		5,359,311			5,282,212
	Total assets	$	88,530,360			85,162,391
Liabilities	Noninterest-bearing deposits	$	25,244,200			24,661,007
	NOW accounts		1,917,763			1,989,441
	Savings deposits		37,887,008			36,621,580
	Time deposits		3,402,515			3,523,838
	Deposits at Cayman Islands office		247,880			322,746
	Total deposits		68,699,366			67,118,612
	Federal funds purchased and agreements to repurchase securities		230,209			260,455
	Accrued interest and other liabilities		1,462,725			1,368,922
	Long-term borrowings		6,251,197			5,108,870
	Total liabilities		76,643,497			73,856,859
Shareholders’ equity	Preferred stock, $1.00 par, 1,000,000 shares authorized; Issued and outstanding: Liquidation preference of $1,000 per share: 731,500 shares at March 31, 2014; 381,500 shares at December 31, 2013; Liquidation preference of $10,000 per share: 50,000 shares at March 31, 2014 and December 31, 2013		1,231,500			881,500
	Common stock, $.50 par, 250,000,000 shares authorized, 131,388,585 shares issued at March 31, 2014; 130,516,364 shares issued at December 31, 2013		65,694			65,258
	Common stock issuable, 42,100 shares at March 31, 2014; 47,231 shares at December 31, 2013		2,616			2,915
	Additional paid-in capital		3,302,402			3,232,014
	Retained earnings		7,309,912			7,188,004
	Accumulated other comprehensive income (loss), net		(25,261	)		(64,159	)
	Total shareholders’ equity		11,886,863			11,305,532
	Total liabilities and shareholders’ equity	$	88,530,360			85,162,391

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M&T BANK CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF INCOME (Unaudited)

		Three months ended March 31
In thousands, except per share		2014			2013
Interest income	Loans and leases, including fees	$	645,222			682,455
	Deposits at banks		1,884			267
	Federal funds sold		16			17
	Agreements to resell securities		—			9
	Trading account		427			638
	Investment securities
	Fully taxable		73,899			44,760
	Exempt from federal taxes		1,504			1,829
	Total interest income		722,952			729,975
Interest expense	NOW accounts		297			322
	Savings deposits		11,601			14,037
	Time deposits		3,940			8,196
	Deposits at Cayman Islands office		208			388
	Short-term borrowings		32			231
	Long-term borrowings		50,441			50,751
	Total interest expense		66,519			73,925
	Net interest income		656,433			656,050
	Provision for credit losses		32,000			38,000
	Net interest income after provision for credit losses		624,433			618,050
Other income	Mortgage banking revenues		80,049			93,103
	Service charges on deposit accounts		104,198			110,949
	Trust income		121,252			121,603
	Brokerage services income		16,500			15,711
	Trading account and foreign exchange gains		6,447			8,927
	Total other-than-temporary impairment (“OTTI”) losses		—			(1,884	)
	Portion of OTTI losses recognized in other comprehensive income (before taxes)		—			(7,916	)
	Net OTTI losses recognized in earnings		—			(9,800	)
	Equity in earnings of Bayview Lending Group LLC		(4,454	)		(3,656	)
	Other revenues from operations		96,115			96,045
	Total other income		420,107			432,882
Other expense	Salaries and employee benefits		371,326			356,551
	Equipment and net occupancy		71,167			65,159
	Printing, postage and supplies		10,956			10,699
	Amortization of core deposit and other intangible assets		10,062			13,343
	FDIC assessments		15,488			19,438
	Other costs of operations		223,272			170,406
	Total other expense		702,271			635,596
	Income before taxes		342,269			415,336
	Income taxes		113,252			141,223
	Net income	$	229,017			274,113
	Net income available to common shareholders
	Basic	$	211,720			255,079
	Diluted		211,731			255,096
	Net income per common share
	Basic	$	1.63			2.00
	Diluted		1.61			1.98
	Cash dividends per common share	$	.70			.70
	Average common shares outstanding
	Basic		130,212			127,669
	Diluted		131,126			128,636

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M&T BANK CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited)

	Three months ended March 31
In thousands	2014			2013
Net income	$	229,017			274,113
Other comprehensive income, net of tax and reclassification adjustments:
Net unrealized gains on investment securities		38,214			10,079
Foreign currency translation adjustment		(136	)		(932	)
Defined benefit plans liability adjustment		820			5,164
Total other comprehensive income		38,898			14,311
Total comprehensive income	$	267,915			288,424

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M&T BANK CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited)

		Three months ended March 31
In thousands		2014			2013
Cash flows from operating activities	Net income	$	229,017			274,113
	Adjustments to reconcile net income to net cash provided by operating activities
	Provision for credit losses		32,000			38,000
	Depreciation and amortization of premises and equipment		24,708			22,027
	Amortization of capitalized servicing rights		17,792			15,208
	Amortization of core deposit and other intangible assets		10,062			13,343
	Provision for deferred income taxes		42,256			19,253
	Asset write-downs		1,117			13,558
	Net gain on sales of assets		(852	)		(2,676	)
	Net change in accrued interest receivable, payable		(3,185	)		(2,872	)
	Net change in other accrued income and expense		57,884			80,645
	Net change in loans originated for sale		122,406			205,643
	Net change in trading account assets and liabilities		27,893			22,156
	Net cash provided by operating activities		561,098			698,398
Cash flows from investing activities	Proceeds from sales of investment securities
	Other		146			2,032
	Proceeds from maturities of investment securities
	Available for sale		166,324			353,305
	Held to maturity		92,305			79,164
	Purchases of investment securities
	Available for sale		(1,709,847	)		(14,597	)
	Held to maturity		(3,238	)		(6,010	)
	Other		(258	)		(274	)
	Net (increase) decrease in loans and leases		(220,551	)		404,142
	Net increase in interest-bearing deposits at banks		(1,648,047	)		(1,174,825	)
	Capital expenditures, net		(16,725	)		(16,671	)
	Net increase in loan servicing advances		(122,910	)		(9,054	)
	Other, net		21,763			11,015
	Net cash used by investing activities		(3,441,038	)		(371,773	)
Cash flows from financing activities	Net increase (decrease) in deposits		1,581,705			(519,555	)
	Net decrease in short-term borrowings		(30,246	)		(699,889	)
	Proceeds from long-term borrowings		1,498,688			799,760
	Payments on long-term borrowings		(352,245	)		(3,460	)
	Proceeds from issuance of preferred stock		346,500			—
	Dividends paid - common		(92,406	)		(90,788	)
	Dividends paid - preferred		(6,080	)		(4,769	)
	Other, net		24,208			31,528
	Net cash provided (used) by financing activities		2,970,124			(487,173	)
	Net increase (decrease) in cash and cash equivalents		90,184			(160,548	)
	Cash and cash equivalents at beginning of period		1,672,934			1,986,615
	Cash and cash equivalents at end of period	$	1,763,118			1,826,067
Supplemental disclosure of cash flow information	Interest received during the period Interest paid during the period Income taxes paid during the period	$	695,653 61,841 4,789			718,296 72,106 9,545
Supplemental schedule of noncash investing and financing activities	Securitization of residential mortgage loans allocated to Available-for-sale investment securities Capitalized servicing rights	$	29,785 372			—   —
	Real estate acquired in settlement of loans		8,886			8,244

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M&T BANK CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY (Unaudited)

In thousands, except per share	Preferred stock		Common stock		Common stock issuable			Additional paid-in capital			Retained earnings			Accumulated other comprehensive income (loss), net			Total
2013
Balance - January 1, 2013	$	872,500		64,088		3,473			3,025,520			6,477,276			(240,264	)		10,202,593
Total comprehensive income		—		—		—			—			274,113			14,311			288,424
Preferred stock cash dividends		—		—		—			—			(13,363	)		—			(13,363	)
Amortization of preferred stock discount		2,127		—		—			—			(2,127	)		—			—
Exercise of 407,542 Series C stock warrants into 186,589 shares of common stock		—		93		—			(93	)		—			—			—
Stock-based compensation plans:
Compensation expense, net		—		160		—			12,911			—			—			13,071
Exercises of stock options, net		—		126		—			21,444			—			—			21,570
Directors’ stock plan		—		4		—			772			—			—			776
Deferred compensation plans, net, including dividend equivalents		—		5		(644	)		563			(32	)		—			(108	)
Other		—		—		—			666			—			—			666
Common stock cash dividends - $.70 per share		—		—		—			—			(90,672	)		—			(90,672	)
Balance - March 31, 2013	$	874,627		64,476		2,829			3,061,783			6,645,195			(225,953	)		10,422,957
2014
Balance - January 1, 2014	$	881,500		65,258		2,915			3,232,014			7,188,004			(64,159	)		11,305,532
Total comprehensive income		—		—		—			—			229,017			38,898			267,915
Preferred stock cash dividends		—		—		—			—			(14,674	)		—			(14,674	)
Issuance of Series E preferred stock		350,000		—		—			(3,500	)		—			—			346,500
Stock-based compensation plans:
Compensation expense, net		—		123		—			13,999			—			—			14,122
Exercises of stock options, net		—		266		—			49,228			—			—			49,494
Stock purchase plan		—		43		—			9,545			—			—			9,588
Directors’ stock plan		—		2		—			439			—			—			441
Deferred compensation plans, net, including dividend equivalents		—		2		(299	)		265			(29	)		—			(61	)
Other		—		—		—			412			—			—			412
Common stock cash dividends - $.70 per share		—		—		—			—			(92,406	)		—			(92,406	)
Balance - March 31, 2014	$	1,231,500		65,694		2,616			3,302,402			7,309,912			(25,261	)		11,886,863

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NOTES TO FINANCIAL STATEMENTS

1. Significant accounting policies

The consolidated financial statements of M&T Bank Corporation (“M&T”) and subsidiaries (“the Company”) were compiled in accordance with generally accepted accounting principles (“GAAP”) using the accounting policies set forth in note 1 of Notes to Financial Statements included in the 2013 Annual Report. In the opinion of management, all adjustments necessary for a fair presentation have been made and were all of a normal recurring nature.

2. Acquisitions

On August 27, 2012, M&T announced that it had entered into a definitive agreement with Hudson City Bancorp, Inc. (“Hudson City”), headquartered in Paramus, New Jersey, under which Hudson City will be acquired by M&T. Pursuant to the terms of the agreement, Hudson City shareholders will receive consideration for each common share of Hudson City in an amount valued at .08403 of an M&T share in the form of either M&T common stock or cash, based on the election of each Hudson City shareholder, subject to proration as specified in the merger agreement (which provides for an aggregate split of total consideration of 60% common stock of M&T and 40% cash). As of March 31, 2014 total consideration to be paid was valued at approximately $5.2 billion.

At March 31, 2014, Hudson City had $38.2 billion of assets, including $23.8 billion of loans and $8.5 billion of investment securities, and $33.4 billion of liabilities, including $21.1 billion of deposits. The merger has received the approval of the common shareholders of M&T and Hudson City. However, the merger is subject to a number of other conditions, including regulatory approvals.

On June 17, 2013, M&T and Manufacturers and Traders Trust Company (“M&T Bank”), M&T’s principal banking subsidiary, entered into a written agreement with the Federal Reserve Bank of New York (“Federal Reserve Bank”). Under the terms of the agreement, M&T and M&T Bank are required to submit to the Federal Reserve Bank a revised compliance risk management program designed to ensure compliance with the Bank Secrecy Act and anti-money-laundering laws and regulations and to take certain other steps to enhance their compliance practices. The Company has commenced a major initiative, including the hiring of outside consulting firms, intended to fully address the Federal Reserve Bank’s concerns. In view of the timeframe required to implement this initiative, demonstrate its efficacy to the satisfaction of the Federal Reserve Bank and otherwise meet any other regulatory requirements that may be imposed in connection with these matters, M&T and Hudson City extended the date after which either party may elect to terminate the merger agreement if the merger has not yet been completed to December 31, 2014. Nevertheless, there can be no assurances that the merger will be completed by that date.

In connection with the pending acquisition, the Company incurred merger-related expenses related to preparing for systems conversions and other costs of integrating and conforming acquired operations with and into the Company. Those expenses consisted largely of professional services and other temporary help fees associated with planning for the conversion of systems and/or integration of operations; initial marketing and promotion expenses designed to introduce M&T Bank to its new customers; travel costs; and printing, postage, supplies and other costs of planning for the transaction and commencing operations in new markets and offices.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

2. Acquisitions, continued

A summary of merger-related expenses in the first quarter of 2013 associated with the pending Hudson City acquisition included in the consolidated statement of income is presented below. There were no merger-related expenses during the three-month period ended March 31, 2014.

	Three months ended March 31, 2013
	(in thousands)
Salaries and employee benefits	$	536
Equipment and net occupancy		201
Printing, postage and supplies		827
Other cost of operations		3,168
	$	4,732

3. Investment securities

The amortized cost and estimated fair value of investment securities were as follows:

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
	(in thousands)
March 31, 2014
Investment securities available for sale:
U.S. Treasury and federal agencies	$	42,415		291		59	$	42,647
Obligations of states and political subdivisions		10,148		306		71		10,383
Mortgage-backed securities:
Government issued or guaranteed		5,722,948		85,193		7,050		5,801,091
Privately issued		235		466		5		696
Collateralized debt obligations		38,451		23,623		306		61,768
Other debt securities		138,197		1,859		17,807		122,249
Equity securities		89,669		63,431		363		152,737
		6,042,063		175,169		25,661		6,191,571
Investment securities held to maturity:
Obligations of states and political subdivisions		162,894		3,280		194		165,980
Mortgage-backed securities:
Government issued or guaranteed		3,486,786		26,847		37,718		3,475,915
Privately issued		215,649		—		51,434		164,215
Other debt securities		8,656		—		—		8,656
		3,873,985		30,127		89,346		3,814,766
Other securities		298,693		—		—		298,693
Total	$	10,214,741		205,296		115,007	$	10,305,030

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

3. Investment securities, continued

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
	(in thousands)
December 31, 2013
Investment securities available for sale:
U.S. Treasury and federal agencies	$	37,396		382		2	$	37,776
Obligations of states and political subdivisions		10,484		333		6		10,811
Mortgage-backed securities:
Government issued or guaranteed		4,123,435		61,001		19,350		4,165,086
Privately issued		1,468		387		5		1,850
Collateralized debt obligations		42,274		21,666		857		63,083
Other debt securities		137,828		1,722		19,465		120,085
Equity securities		91,480		41,842		227		133,095
		4,444,365		127,333		39,912		4,531,786
Investment securities held to maturity:
Obligations of states and political subdivisions		169,684		3,744		135		173,293
Mortgage-backed securities:
Government issued or guaranteed		3,567,905		16,160		65,149		3,518,916
Privately issued		219,628		—		60,623		159,005
Other debt securities		8,913		—		—		8,913
		3,966,130		19,904		125,907		3,860,127
Other securities		298,581		—		—		298,581
Total	$	8,709,076		147,237		165,819	$	8,690,494

There were no gross realized gains or losses from sales of investment securities for the quarters ended March 31, 2014 and 2013. The Company recognized $10 million of pre-tax other-than-temporary impairment (“OTTI”) losses during the quarter ended March 31, 2013 related to privately issued mortgage-backed securities. The impairment charges were recognized in light of deterioration of real estate values and a rise in delinquencies and charge-offs of underlying mortgage loans collateralizing those securities. The OTTI losses represented management’s estimate of credit losses inherent in the debt securities considering projected cash flows using assumptions for delinquency rates, loss severities, and other estimates of future collateral performance. There were no OTTI losses during the first quarter of 2014.

Changes in credit losses associated with debt securities for which OTTI losses have been recognized in earnings for the three months ended March 31, 2013 follows:

	Three months ended March 31, 2013
	(in thousands)
Beginning balance	$	197,809
Additions for credit losses not previously recognized		9,800
Reductions for realized losses		(20,495	)
Ending balance	$	187,114

There were no significant credit losses associated with debt securities held by the Company as of March 31, 2014 or December 31, 2013.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

3. Investment securities, continued

At March 31, 2014, the amortized cost and estimated fair value of debt securities by contractual maturity were as follows:

	Amortized cost		Estimated fair value
	(in thousands)
Debt securities available for sale:
Due in one year or less	$	9,830		9,957
Due after one year through five years		43,459		44,086
Due after five years through ten years		5,328		5,442
Due after ten years		170,594		177,562
		229,211		237,047
Mortgage-backed securities available for sale		5,723,183		5,801,787
	$	5,952,394		6,038,834
Debt securities held to maturity:
Due in one year or less	$	17,944		18,049
Due after one year through five years		74,928		76,540
Due after five years through ten years		70,022		71,391
Due after ten years		8,656		8,656
		171,550		174,636
Mortgage-backed securities held to maturity		3,702,435		3,640,130
	$	3,873,985		3,814,766

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

3. Investment securities, continued

A summary of investment securities that as of March 31, 2014 and December 31, 2013 had been in a continuous unrealized loss position for less than twelve months and those that had been in a continuous unrealized loss position for twelve months or longer follows:

	Less than 12 months					12 months or more
	Fair value		Unrealized losses			Fair value		Unrealized losses
	(in thousands)
March 31, 2014
Investment securities available for sale:
U.S. Treasury and federal agencies	$	29,346		(59	)		—		—
Obligations of states and political subdivisions		1,930		(68	)		439		(3	)
Mortgage-backed securities:
Government issued or guaranteed		1,725,859		(6,919	)		5,215		(131	)
Privately issued		—		—			91		(5	)
Collateralized debt obligations		—		—			6,097		(306	)
Other debt securities		927		(10	)		105,418		(17,797	)
Equity securities		2,307		(363	)		—		—
		1,760,369		(7,419	)		117,260		(18,242	)
Investment securities held to maturity:
Obligations of states and political subdivisions		17,490		(155	)		2,658		(39	)
Mortgage-backed securities:
Government issued or guaranteed		1,715,149		(37,718	)		—		—
Privately issued		—		—			164,215		(51,434	)
		1,732,639		(37,873	)		166,873		(51,473	)
Total	$	3,493,008		(45,292	)		284,133		(69,715	)
December 31, 2013
Investment securities available for sale:
U.S. Treasury and federal agencies	$	745		(2	)		—		—
Obligations of states and political subdivisions		—		—			558		(6	)
Mortgage-backed securities:
Government issued or guaranteed		1,697,094		(19,225	)		5,815		(125	)
Privately issued		—		—			98		(5	)
Collateralized debt obligations		—		—			6,257		(857	)
Other debt securities		1,428		(4	)		103,602		(19,461	)
Equity securities		159		(227	)		—		—
		1,699,426		(19,458	)		116,330		(20,454	)
Investment securities held to maturity:
Obligations of states and political subdivisions		13,517		(120	)		1,558		(15	)
Mortgage-backed securities:
Government issued or guaranteed		2,629,950		(65,149	)		—		—
Privately issued		—		—			159,005		(60,623	)
		2,643,467		(65,269	)		160,563		(60,638	)
Total	$	4,342,893		(84,727	)		276,893		(81,092	)

- 12 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

3. Investment securities, continued

The Company owned 392 individual investment securities with aggregate gross unrealized losses of $115 million at March 31, 2014. Based on a review of each of the securities in the investment securities portfolio at March 31, 2014, the Company concluded that it expected to recover the amortized cost basis of its investment. As of March 31, 2014, the Company does not intend to sell nor is it anticipated that it would be required to sell any of its impaired investment securities at a loss. At March 31, 2014, the Company has not identified events or changes in circumstances which may have a significant adverse effect on the fair value of the $299 million of cost method investment securities.

4. Loans and leases and the allowance for credit losses

The outstanding principal balance and the carrying amount of acquired loans that were recorded at fair value at the acquisition date that is included in the consolidated balance sheet were as follows:

	March 31, 2014		December 31, 2013
	(in thousands)
Outstanding principal balance	$	4,302,336		4,656,811
Carrying amount:
Commercial, financial, leasing, etc.		474,612		580,685
Commercial real estate		1,412,397		1,541,368
Residential real estate		551,698		576,473
Consumer		1,258,875		1,308,926
	$	3,697,582		4,007,452

Purchased impaired loans included in the table above totaled $303 million at March 31, 2014 and $331 million at December 31, 2013, representing less than 1% of the Company’s assets as of each date. A summary of changes in the accretable yield for acquired loans for the three months ended March 31, 2014 and 2013 follows:

	Three months ended March 31, 2014
	Purchased impaired			Other acquired			Total
	(in thousands)
Balance at beginning of period	$	37,230			538,633			575,863
Interest income		(6,328	)		(52,633	)		(58,961	)
Reclassifications from nonaccretable balance, net		37			—			37
Other (a)		—			(838	)		(838	)
Balance at end of period	$	30,939			485,162			516,101

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

	Three months ended March 31, 2013
	Purchased impaired			Other acquired			Total
	(in thousands)
Balance at beginning of period	$	42,252			638,272			680,524
Interest income		(8,704	)		(61,747	)		(70,451	)
Reclassifications from nonaccretable balance, net		180			10,817			10,997
Other (a)		—			(9,733	)		(9,733	)
Balance at end of period	$	33,728			577,609			611,337

(a) Other changes in expected cash flows including changes in interest rates and prepayment assumptions.

A summary of current, past due and nonaccrual loans as of March 31, 2014 and December 31, 2013 were as follows:

	Current		30-89 Days past due		90 Days or more past due and accruing				Purchased impaired (b)		Nonaccrual		Total
					Non- acquired		Acquired (a)
	(in thousands)
March 31, 2014
Commercial, financial, leasing, etc.	$	18,686,680		43,019		8,245		4,295		15,560		138,271		18,896,070
Real estate:
Commercial		21,309,518		158,281		7,870		33,560		91,312		175,984		21,776,525
Residential builder and developer		1,073,532		3,613		—		8,812		122,757		89,563		1,298,277
Other commercial construction		2,915,804		41,861		—		2,381		44,175		25,063		3,029,284
Residential		7,530,046		254,376		285,478		45,733		26,986		259,678		8,402,297
Residential Alt-A		272,463		20,815		—		—		—		78,520		371,798
Consumer:
Home equity lines and loans		5,914,788		36,440		—		26,039		2,598		82,555		6,062,420
Automobile		1,454,199		20,441		—		176		—		16,351		1,491,167
Other		2,744,821		32,087		5,424		—		—		24,908		2,807,240
Total	$	61,901,851		610,933		307,017		120,996		303,388		890,893		64,135,078

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

	Current		30-89 Days past due		90 Days or more past due and accruing				Purchased impaired (b)		Nonaccrual		Total
					Non- acquired		Acquired (a)
	(in thousands)
December 31, 2013
Commercial, financial, leasing, etc.	$	18,489,474		77,538		4,981		6,778		15,706		110,739		18,705,216
Real estate:
Commercial		21,236,071		145,749		63,353		35,603		88,034		173,048		21,741,858
Residential builder and developer		1,025,984		8,486		141		7,930		137,544		96,427		1,276,512
Other commercial construction		2,986,598		42,234		—		8,031		57,707		35,268		3,129,838
Residential		7,630,368		295,131		294,649		43,700		29,184		252,805		8,545,837
Residential Alt-A		283,253		18,009		—		—		—		81,122		382,384
Consumer:
Home equity lines and loans		5,972,365		40,537		—		27,754		2,617		78,516		6,121,789
Automobile		1,314,246		29,144		—		366		—		21,144		1,364,900
Other		2,726,522		47,830		5,386		—		—		25,087		2,804,825
Total	$	61,664,881		704,658		368,510		130,162		330,792		874,156		64,073,159

(a) Acquired loans that were recorded at fair value at acquisition date. This category does not include purchased impaired loans that are presented separately.

(b) Accruing loans that were impaired at acquisition date and were recorded at fair value.

One-to-four family residential mortgage loans held for sale were $292 million and $401 million at March 31, 2014 and December 31, 2013, respectively. Commercial mortgage loans held for sale were $38 million at March 31, 2014 and $68 million at December 31, 2013.

Changes in the allowance for credit losses for the three months ended March 31, 2014 were as follows:

	Commercial, Financial, Leasing, etc.			Real Estate
				Commercial			Residential			Consumer			Unallocated		Total
	(in thousands)
Beginning balance	$	273,383			324,978			78,656			164,644			75,015		916,676
Provision for credit losses		12,598			116			4,228			14,141			917		32,000
Net charge-offs
Charge-offs		(14,809	)		(3,486	)		(7,453	)		(21,691	)		—		(47,439	)
Recoveries		5,663			3,197			1,631			5,040			—		15,531
Net charge-offs		(9,146	)		(289	)		(5,822	)		(16,651	)		—		(31,908	)
Ending balance	$	276,835			324,805			77,062			162,134			75,932		916,768

- 15 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

Changes in the allowance for credit losses for the three months ended March 31, 2013 were as follows:

	Commercial, Financial, Leasing, etc.			Real Estate
				Commercial			Residential			Consumer			Unallocated		Total
	(in thousands)
Beginning balance	$	246,759			337,101			88,807			179,418			73,775		925,860
Provision for credit losses		17,880			(312	)		5,036			14,836			560		38,000
Net charge-offs
Charge-offs		(9,544	)		(9,588	)		(8,171	)		(21,645	)		—		(48,948	)
Recoveries		2,756			815			4,450			4,184			—		12,205
Net charge-offs		(6,788	)		(8,773	)		(3,721	)		(17,461	)		—		(36,743	)
Ending balance	$	257,851			328,016			90,122			176,793			74,335		927,117

Despite the above allocation, the allowance for credit losses is general in nature and is available to absorb losses from any loan or lease type.

In establishing the allowance for credit losses, the Company estimates losses attributable to specific troubled credits identified through both normal and detailed or intensified credit review processes and also estimates losses inherent in other loans and leases on a collective basis. For purposes of determining the level of the allowance for credit losses, the Company evaluates its loan and lease portfolio by loan type. The amounts of loss components in the Company’s loan and lease portfolios are determined through a loan by loan analysis of larger balance commercial and commercial real estate loans that are in nonaccrual status and by applying loss factors to groups of loan balances based on loan type and management’s classification of such loans under the Company’s loan grading system. Measurement of the specific loss components is typically based on expected future cash flows, collateral values and other factors that may impact the borrower’s ability to pay. In determining the allowance for credit losses, the Company utilizes a loan grading system which is applied to commercial and commercial real estate credits on an individual loan basis. Loan officers are responsible for continually assigning grades to these loans based on standards outlined in the Company’s Credit Policy. Internal loan grades are also monitored by the Company’s loan review department to ensure consistency and strict adherence to the prescribed standards. Loan grades are assigned loss component factors that reflect the Company’s loss estimate for each group of loans and leases. Factors considered in assigning loan grades and loss component factors include borrower-specific information related to expected future cash flows and operating results, collateral values, geographic location, financial condition and performance, payment status, and other information; levels of and trends in portfolio charge-offs and recoveries; levels of and trends in portfolio delinquencies and impaired loans; changes in the risk profile of specific portfolios; trends in volume and terms of loans; effects of changes in credit concentrations; and observed trends and practices in the banking industry. As updated appraisals are obtained on individual loans or other events in the market place indicate that collateral values have significantly changed, individual loan grades are adjusted as appropriate. Changes in other factors cited may also lead to loan grade changes at any time. Except for consumer and residential mortgage loans that are considered smaller balance homogenous loans and acquired loans that are evaluated on an aggregated basis, the Company considers a loan to be impaired for purposes of applying GAAP when, based on current information and events, it is probable that the Company will be unable to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days. Regardless of loan type, the Company considers a loan to be impaired if it qualifies as a troubled debt

- 16 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

restructuring. Modified loans, including smaller balance homogenous loans, that are considered to be troubled debt restructurings are evaluated for impairment giving consideration to the impact of the modified loan terms on the present value of the loan’s expected cash flows.

The following tables provide information with respect to loans and leases that were considered impaired as of March 31, 2014 and December 31, 2013 and for the three month periods ended March 31, 2014 and 2013.

	March 31, 2014						December 31, 2013
	Recorded investment		Unpaid principal balance		Related allowance		Recorded investment		Unpaid principal balance		Related allowance
	(in thousands)
With an allowance recorded:
Commercial, financial, leasing, etc.	$	104,878		130,132		21,578		90,293		112,092		24,614
Real estate:
Commercial		102,898		120,165		15,811		113,570		132,325		19,520
Residential builder and developer		31,314		45,625		4,746		33,311		55,122		4,379
Other commercial construction		77,054		81,296		5,933		86,260		90,515		4,022
Residential		93,029		112,025		5,262		96,508		114,521		7,146
Residential Alt-A		109,986		124,319		13,000		111,911		124,528		14,000
Consumer:
Home equity lines and loans		17,522		18,592		5,225		13,672		14,796		3,312
Automobile		38,068		38,068		10,120		40,441		40,441		11,074
Other		17,832		17,832		4,780		17,660		17,660		4,541
		592,581		688,054		86,455		603,626		702,000		92,608
With no related allowance recorded:
Commercial, financial, leasing, etc.		40,542		42,948		—		28,093		33,095		—
Real estate:
Commercial		83,194		104,359		—		65,271		84,333		—
Residential builder and developer		68,487		101,354		—		72,366		104,768		—
Other commercial construction		5,801		9,400		—		7,369		11,493		—
Residential		84,328		94,408		—		84,144		95,358		—
Residential Alt-A		28,047		51,001		—		28,357		52,211		—
		310,399		403,470		—		285,600		381,258		—
Total:
Commercial, financial, leasing, etc.		145,420		173,080		21,578		118,386		145,187		24,614
Real estate:
Commercial		186,092		224,524		15,811		178,841		216,658		19,520
Residential builder and developer		99,801		146,979		4,746		105,677		159,890		4,379
Other commercial construction		82,855		90,696		5,933		93,629		102,008		4,022
Residential		177,357		206,433		5,262		180,652		209,879		7,146
Residential Alt-A		138,033		175,320		13,000		140,268		176,739		14,000
Consumer:
Home equity lines and loans		17,522		18,592		5,225		13,672		14,796		3,312
Automobile		38,068		38,068		10,120		40,441		40,441		11,074
Other		17,832		17,832		4,780		17,660		17,660		4,541
Total	$	902,980		1,091,524		86,455		889,226		1,083,258		92,608

- 17 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

	Three months ended March 31, 2014						Three months ended March 31, 2013
			Interest income recognized						Interest income recognized
	Average recorded investment		Total		Cash basis		Average recorded investment		Total		Cash basis
	(in thousands)
Commercial, financial, leasing, etc.	$	134,306		548		548		167,793		2,434		2,434
Real estate:
Commercial		185,425		926		926		194,446		303		303
Residential builder and developer		101,253		74		74		183,853		140		65
Other commercial construction		87,292		1,087		1,087		98,318		635		635
Residential		174,168		1,400		902		188,075		1,470		922
Residential Alt-A		139,651		1,626		559		156,971		1,740		591
Consumer:
Home equity lines and loans		15,676		121		29		12,454		167		39
Automobile		39,383		625		87		47,606		776		146
Other		17,700		174		52		14,930		151		54
Total	$	894,854		6,581		4,264		1,064,446		7,816		5,189

In accordance with the previously described policies, the Company utilizes a loan grading system that is applied to all commercial loans and commercial real estate loans. Loan grades are utilized to differentiate risk within the portfolio and consider the expectations of default for each loan. Commercial loans and commercial real estate loans with a lower expectation of default are assigned one of ten possible “pass” loan grades and are generally ascribed lower loss factors when determining the allowance for credit losses. Loans with an elevated level of credit risk are classified as “criticized” and are ascribed a higher loss factor when determining the allowance for credit losses. Criticized loans may be classified as “nonaccrual” if the Company no longer expects to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days or more. All larger balance criticized commercial and commercial real estate loans are individually reviewed by centralized loan review personnel each quarter to determine the appropriateness of the assigned loan grade, including whether the loan should be reported as accruing or nonaccruing. Smaller balance criticized loans are analyzed by business line risk management areas to ensure proper loan grade classification. Furthermore, criticized nonaccrual commercial loans and commercial real estate loans are considered impaired and, as a result, specific loss allowances on such loans are established within the allowance for credit losses to the extent appropriate in each individual instance. The following table summarizes the loan grades applied to the various classes of the Company’s commercial and commercial real estate loans.

- 18 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

			Real Estate
	Commercial, Financial, Leasing, etc.		Commercial		Residential Builder and Developer		Other Commercial Construction
	(in thousands)
March 31, 2014
Pass	$	18,022,241		21,053,068		1,151,202		2,946,152
Criticized accrual		735,558		547,473		57,512		58,069
Criticized nonaccrual		138,271		175,984		89,563		25,063
Total	$	18,896,070		21,776,525		1,298,277		3,029,284
December 31, 2013
Pass	$	17,894,592		20,972,257		1,107,144		3,040,106
Criticized accrual		699,885		596,553		72,941		54,464
Criticized nonaccrual		110,739		173,048		96,427		35,268
Total	$	18,705,216		21,741,858		1,276,512		3,129,838

In determining the allowance for credit losses, residential real estate loans and consumer loans are generally evaluated collectively after considering such factors as payment performance and recent loss experience and trends, which are mainly driven by current collateral values in the market place as well as the amount of loan defaults. Loss rates on such loans are determined by reference to recent charge-off history and are evaluated (and adjusted if deemed appropriate) through consideration of other factors including near-term forecasted loss estimates developed by the Company’s Credit Department. In arriving at such forecasts, the Company considers the current estimated fair value of its collateral based on geographical adjustments for home price depreciation/appreciation and overall borrower repayment performance. With regard to collateral values, the realizability of such values by the Company contemplates repayment of the original balance of any first lien position prior to recovering amounts on a second lien position. However, residential real estate loans and outstanding balances of home equity loans and lines of credit that are more than 150 days past due are generally evaluated for collectibility on a loan-by-loan basis giving consideration to estimated collateral values.

The Company also measures additional losses for purchased impaired loans when it is probable that the Company will be unable to collect all cash flows expected at acquisition plus additional cash flows expected to be collected arising from changes in estimates after acquisition. The determination of the allocated portion of the allowance for credit losses is very subjective. Given that inherent subjectivity and potential imprecision involved in determining the allocated portion of the allowance for credit losses, the Company also provides an inherent unallocated portion of the allowance. The unallocated portion of the allowance is intended to recognize probable losses that are not otherwise identifiable and includes management’s subjective determination of amounts necessary to provide for the possible use of imprecise estimates in determining the allocated portion of the allowance. Therefore, the level of the unallocated portion of the allowance is primarily reflective of the inherent imprecision in the various calculations used in determining the allocated portion of the allowance for credit losses. Other factors that could also lead to changes in the unallocated portion include the effects of expansion into new markets for which the Company does not have the same degree of familiarity and experience regarding portfolio performance in changing market conditions, the introduction of new loan and lease product types, and other risks associated with the Company’s loan portfolio that may not be specifically identifiable.

- 19 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

The allocation of the allowance for credit losses summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(in thousands)
March 31, 2014
Individually evaluated for impairment	$	21,578		26,157		18,243		20,125	$	86,103
Collectively evaluated for impairment		249,499		298,048		56,797		140,409		744,753
Purchased impaired		5,758		600		2,022		1,600		9,980
Allocated	$	276,835		324,805		77,062		162,134		840,836
Unallocated										75,932
Total									$	916,768
December 31, 2013
Individually evaluated for impairment	$	24,614		27,563		21,127		18,927	$	92,231
Collectively evaluated for impairment		246,096		296,781		55,864		144,210		742,951
Purchased impaired		2,673		634		1,665		1,507		6,479
Allocated	$	273,383		324,978		78,656		164,644		841,661
Unallocated										75,015
Total									$	916,676

The recorded investment in loans and leases summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(in thousands)
March 31, 2014
Individually evaluated for impairment	$	145,420		367,183		314,829		73,422	$	900,854
Collectively evaluated for impairment		18,735,090		25,478,659		8,432,280		10,284,807		62,930,836
Purchased impaired		15,560		258,244		26,986		2,598		303,388
Total	$	18,896,070		26,104,086		8,774,095		10,360,827	$	64,135,078
December 31, 2013
Individually evaluated for impairment	$	118,386		376,339		320,360		71,773	$	886,858
Collectively evaluated for impairment		18,571,124		25,488,584		8,578,677		10,217,124		62,855,509
Purchased impaired		15,706		283,285		29,184		2,617		330,792
Total	$	18,705,216		26,148,208		8,928,221		10,291,514	$	64,073,159

During the normal course of business, the Company modifies loans to maximize recovery efforts. If the borrower is experiencing financial difficulty and a concession is granted, the Company considers such modifications as troubled debt restructurings and classifies those loans as either nonaccrual loans or renegotiated

- 20 -

NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

loans. The types of concessions that the Company grants typically include principal deferrals and interest rate concessions, but may also include other types of concessions.

The tables below summarize the Company’s loan modification activities that were considered troubled debt restructurings for the three months ended March 31, 2014 and 2013:

			Recorded investment				Financial effects of modification
Three months ended March 31, 2014	Number		Pre- modifica- tion		Post- modifica- tion		Recorded investment (a)			Interest (b)
			(dollars in thousands)
Commercial, financial, leasing, etc.
Principal deferral		30	$	14,954	$	14,848	$	(106	)	$	—
Combination of concession types		2		41		39		(2	)		(4	)
Real estate:
Commercial
Principal deferral		13		7,044		7,002		(42	)		—
Combination of concession types		1		346		401		55			(104	)
Other commercial construction
Principal deferral		1		151		151		—			—
Residential
Principal deferral		13		1,602		1,663		61			—
Interest rate reduction		1		98		104		6			(32	)
Other		1		188		188		—			—
Combination of concession types		14		2,188		2,160		(28	)		(282	)
Residential Alt-A
Principal deferral		2		166		202		36			—
Combination of concession types		10		1,746		1,736		(10	)		(61	)
Consumer:
Home equity lines and loans
Principal deferral		3		280		280		—			—
Combination of concession types		15		1,856		1,856		—			(172	)
Automobile
Principal deferral		80		993		993		—			—
Other		11		61		61		—			—
Combination of concession types		23		250		250		—			(26	)
Other
Principal deferral		8		55		55		—			—
Other		1		45		45		—			—
Combination of concession types		14		466		466		—			(188	)
Total		243	$	32,530	$	32,500	$	(30	)	$	(869	)

(a) Financial effects impacting the recorded investment included principal payments or advances, charge-offs and capitalized escrow arrearages.

(b) Represents the present value of interest rate concessions discounted at the effective rate of the original loan.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

4. Loans and leases and the allowance for credit losses, continued

			Recorded investment				Financial effects of modification
Three months ended March 31, 2013	Number		Pre- modifica- tion		Post- modifica- tion		Recorded investment (a)			Interest (b)
			(dollars in thousands)
Commercial, financial, leasing, etc.
Principal deferral		24	$	2,006	$	1,982	$	(24	)	$	—
Other		1		47,200		47,200		—			—
Combination of concession types		1		342		342		—			—
Real estate:
Commercial
Principal deferral		8		18,478		18,363		(115	)		—
Combination of concession types		2		582		581		(1	)		(56	)
Residential builder and developer
Principal deferral		8		1,357		1,340		(17	)		—
Combination of concession types		1		1,701		1,691		(10	)		—
Residential
Principal deferral		7		566		607		41			—
Other		1		195		195		—			—
Combination of concession types		20		2,449		2,536		87			(371	)
Residential Alt-A
Combination of concession types		5		907		925		18			(110	)
Consumer:
Home equity lines and loans
Principal deferral		2		79		79		—			—
Combination of concession types		2		211		211		—			(33	)
Automobile
Principal deferral		121		1,586		1,586		—			—
Interest rate reduction		2		36		36		—			(5	)
Other		17		159		159		—			—
Combination of concession types		61		553		553		—			(42	)
Other
Principal deferral		6		45		45		—			—
Other		1		12		12		—			—
Combination of concession types		42		1,217		1,217		—			(267	)
Total		332	$	79,681	$	79,660	$	(21	)	$	(884	)

(a) Financial effects impacting the recorded investment included principal payments or advances, charge-offs and capitalized escrow arrearages.

(b) Represents the present value of interest rate concessions discounted at the effective rate of the original loan.

Troubled debt restructurings are considered to be impaired loans and for purposes of establishing the allowance for credit losses are evaluated for impairment giving consideration to the impact of the modified loan terms on the present value of the loan’s expected cash flows. Impairment of troubled debt restructurings that have subsequently defaulted may also be measured based on the loan’s observable market price or the fair value of collateral if the loan is collateral-dependent. Charge-offs may also be recognized on troubled debt restructurings that have subsequently defaulted. Loans that were modified as troubled debt restructurings during the twelve months ended March 31, 2014 and 2013 and for which there was a subsequent payment default during the three-month periods ended March 31, 2014 and 2013, respectively, were not material.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

5. Borrowings

M&T had $834 million of fixed and floating rate junior subordinated deferrable interest debentures (“Junior Subordinated Debentures”) outstanding at March 31, 2014 that are held by various trusts and were issued in connection with the issuance by those trusts of preferred capital securities (“Capital Securities”) and common securities (“Common Securities”). The proceeds from the issuances of the Capital Securities and the Common Securities were used by the trusts to purchase the Junior Subordinated Debentures. The Common Securities of each of those trusts are wholly owned by M&T and are the only class of each trust’s securities possessing general voting powers. The Capital Securities represent preferred undivided interests in the assets of the corresponding trust.

Under the Federal Reserve Board’s current risk-based capital guidelines, the Capital Securities are includable in M&T’s Tier 1 capital. However, in July 2013, the Federal Reserve Board, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation issued a final rule to comprehensively revise the capital framework for the U.S. banking sector. Under that rule, trust preferred capital securities will be phased out from inclusion in Tier 1 capital such that in 2015 only 25% of then-outstanding securities will be included in Tier 1 capital and beginning in 2016 none of the securities will be included in Tier 1 capital.

Holders of the Capital Securities receive preferential cumulative cash distributions unless M&T exercises its right to extend the payment of interest on the Junior Subordinated Debentures as allowed by the terms of each such debenture, in which case payment of distributions on the respective Capital Securities will be deferred for comparable periods. During an extended interest period, M&T may not pay dividends or distributions on, or repurchase, redeem or acquire any shares of its capital stock. In general, the agreements governing the Capital Securities, in the aggregate, provide a full, irrevocable and unconditional guarantee by M&T of the payment of distributions on, the redemption of, and any liquidation distribution with respect to the Capital Securities. The obligations under such guarantee and the Capital Securities are subordinate and junior in right of payment to all senior indebtedness of M&T.

The Capital Securities will remain outstanding until the Junior Subordinated Debentures are repaid at maturity, are redeemed prior to maturity or are distributed in liquidation to the Trusts. The Capital Securities are mandatorily redeemable in whole, but not in part, upon repayment at the stated maturity dates (ranging from 2027 to 2033) of the Junior Subordinated Debentures or the earlier redemption of the Junior Subordinated Debentures in whole upon the occurrence of one or more events set forth in the indentures relating to the Capital Securities, and in whole or in part at any time after an optional redemption prior to contractual maturity contemporaneously with the optional redemption of the related Junior Subordinated Debentures in whole or in part, subject to possible regulatory approval.

On February 27, 2014, M&T redeemed all of the issued and outstanding 8.5% $350 million trust preferred securities issued by M&T Capital Trust IV and the related junior subordinated debentures held by M&T Capital Trust IV.

Also included in long-term borrowings are agreements to repurchase securities of $1.4 billion at each of March 31, 2014 and December 31, 2013. The agreements are subject to master netting arrangements, however the Company has not offset any amounts related to these agreements in its consolidated financial statements. The Company posted collateral of $1.6 billion at each of March 31, 2014 and December 31, 2013.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

6. Shareholders’ equity

M&T is authorized to issue 1,000,000 shares of preferred stock with a $1.00 par value per share. Preferred shares outstanding rank senior to common shares both as to dividends and liquidation preference, but have no general voting rights.

Issued and outstanding preferred stock of M&T is presented below:

	Shares issued and outstanding		Carrying value March 31, 2014		Carrying value December 31, 2013
			(dollars in thousands)
Series A (a)
Fixed Rate Cumulative Perpetual Preferred Stock, Series A, $1,000 liquidation preference per share		230,000	$	230,000	$	230,000
Series C (a)
Fixed Rate Cumulative Perpetual Preferred Stock, Series C, $1,000 liquidation preference per share		151,500		151,500		151,500
Series D (b)
Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series D, $10,000 liquidation preference per share		50,000		500,000		500,000
Series E (c)
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series E, $1,000 liquidation preference per share		350,000		350,000		—

(a) Dividends, if declared, were paid quarterly at a rate of 5% per year through November 14, 2013 and are paid at 6.375% thereafter. M&T has agreed to not redeem the preferred shares until on or after November 15, 2018. Warrants to purchase M&T common stock were issued in connection with the Series A and C preferred stock (Series A – 1,218,522 common shares at $73.86 per share; Series C – 407,542 common shares at $55.76 per share). In March 2013, the Series C warrants were exercised in a “cashless” exercise, resulting in the issuance of 186,589 common shares. During 2013, 69,127 of the Series A warrants were exercised in “cashless” exercises, resulting in the issuance of 25,427 common shares. Remaining outstanding Series A warrants that expire in 2018 were 1,149,395 at March 31, 2014.

(b) Dividends, if declared, will be paid semi-annually at a rate of 6.875% per year. The shares are redeemable in whole or in part on or after June 15, 2016. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

6. Shareholders’ equity, continued

(c) Dividends, if declared, will be paid semi-annually at a rate of 6.45% through February 14, 2024 and thereafter will be paid quarterly at a rate of the three-month London Interbank Offered Rate plus 361 basis points (hundredths of one percent). The shares are redeemable in whole or in part on or after February 15, 2024. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence.

In addition to the Series A and Series C warrants mentioned in (a) above, a warrant to purchase 95,383 shares of M&T common stock at $518.96 per share was outstanding at March 31, 2014 and December 31, 2013. The obligation under that warrant was assumed by M&T in an acquisition.

7. Pension plans and other postretirement benefits

The Company provides defined benefit pension and other postretirement benefits (including health care and life insurance benefits) to qualified retired employees. Net periodic benefit cost for defined benefit plans consisted of the following:

	Pension benefits						Other postretirement benefits
	Three months ended March 31
	2014			2013			2014			2013
	(in thousands)
Service cost	$	5,100			6,050			150			200
Interest cost on projected benefit obligation		17,250			15,126			675			675
Expected return on plan assets		(22,925	)		(21,875	)		—			—
Amortization of prior service credit		(1,650	)		(1,650	)		(350	)		(350	)
Amortization of net actuarial loss		3,350			10,400			—			100
Net periodic benefit cost	$	1,125			8,051			475			625

Expense incurred in connection with the Company’s defined contribution pension and retirement savings plans totaled $15,732,000 and $15,755,000 for the three months ended March 31, 2014 and 2013, respectively.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

8. Earnings per common share

The computations of basic earnings per common share follow:

	Three months ended March 31
	2014			2013
	(in thousands, except per share)
Income available to common shareholders:
Net income	$	229,017			274,113
Less: Preferred stock dividends (a)		(14,674	)		(13,363	)
Amortization of preferred stock discount (a)		—			(2,147	)
Net income available to common equity		214,343			258,603
Less: Income attributable to unvested stock-based compensation awards		(2,623	)		(3,524	)
Net income available to common shareholders	$	211,720			255,079
Weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards		131,800			129,449
Less: Unvested stock-based compensation awards		(1,588	)		(1,780	)
Weighted-average shares outstanding		130,212			127,669
Basic earnings per common share	$	1.63			2.00

(a) Including impact of not as yet declared cumulative dividends.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

8. Earnings per common share, continued

The computations of diluted earnings per common share follow:

	Three months ended March 31
	2014			2013
	(in thousands, except per share)
Net income available to common equity	$	214,343			258,603
Less: Income attributable to unvested stock-based compensation awards		(2,612	)		(3,507	)
Net income available to common shareholders	$	211,731			255,096
Adjusted weighted-average shares outstanding:
Common and unvested stock-based compensation awards		131,800			129,449
Less: Unvested stock-based compensation awards		(1,588	)		(1,780	)
Plus: Incremental shares from assumed conversion of stock-based compensation awards		914			967
Adjusted weighted-average shares outstanding		131,126			128,636
Diluted earnings per common share	$	1.61			1.98

GAAP defines unvested share-based awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) as participating securities that shall be included in the computation of earnings per common share pursuant to the two-class method. The Company has issued stock-based compensation awards in the form of restricted stock and restricted stock units, which, in accordance with GAAP, are considered participating securities.

Stock-based compensation awards and warrants to purchase common stock of M&T representing approximately 3.0 million and 4.7 million common shares during the three-month periods ended March 31, 2014 and 2013, respectively, were not included in the computations of diluted earnings per common share because the effect on those periods would have been antidilutive.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

9. Comprehensive income

The following tables display the components of other comprehensive income (loss) and amounts reclassified from accumulated other comprehensive income (loss) to net income:

	Investment Securities
	With OTTI		All other		Defined benefit plans			Other			Total amount before tax			Income tax			Net
	(in thousands)
Balance – January 1, 2014	$	37,255		18,450		(161,617	)		115		$	(105,797	)		41,638		$	(64,159	)
Other comprehensive income before reclassifications:
Unrealized holding gains, net		19,968		42,119		—			—			62,087			(24,374	)		37,713
Foreign currency translation adjustment		—		—		—			(234	)		(234	)		98			(136	)
Total other comprehensive income before reclassifications		19,968		42,119		—			(234	)		61,853			(24,276	)		37,577
Amounts reclassified from accumulated other comprehensive income that (increase) decrease net income:
Accretion of unrealized holding losses on held-to-maturity (“HTM”) securities		2		823		—			—			825	(a)		(324	)		501
Amortization of prior service credit		—		—		(2,000	)		—			(2,000	)(c)		785			(1,215	)
Amortization of actuarial losses		—		—		3,350			—			3,350			(1,315	)		2,035
Total reclassifications		2		823		1,350			—			2,175			(854	)		1,321
Total gain (loss) during the period		19,970		42,942		1,350			(234	)		64,028			(25,130	)		38,898
Balance – March 31, 2014	$	57,225		61,392		(160,267	)		(119	)	$	(41,769	)		16,508		$	(25,261	)

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

9. Comprehensive income, continued

	Investment Securities
	With OTTI			All other			Defined benefit plans			Other			Total amount before tax			Income tax			Net
	(in thousands)
Balance – January 1, 2013	$	(91,835	)		152,199			(455,590	)		(431	)	$	(395,657	)		155,393		$	(240,264	)
Other comprehensive income before reclassifications:
Unrealized holding gains (losses), net		24,540			(18,959	)		—			—			5,581			(2,181	)		3,400
Foreign currency translation adjustment		—			—			—			(1,452	)		(1,452	)		520			(932	)
Total other comprehensive income before reclassifications		24,540			(18,959	)		—			(1,452	)		4,129			(1,661	)		2,468
Amounts reclassified from accumulated other comprehensive income that (increase) decrease net income:
Accretion of unrealized holding losses on HTM securities		49			1,146			—			—			1,195	(a)		(469	)		726
OTTI charges recognized in net income		9,800			—			—			—			9,800	(b)		(3,847	)		5,953
Amortization of prior service credit		—			—			(2,000	)		—			(2,000	)(c)		785			(1,215	)
Amortization of actuarial losses		—			—			10,500			—			10,500	(c)		(4,121	)		6,379
Total reclassifications		9,849			1,146			8,500			—			19,495			(7,652	)		11,843
Total gain (loss) during the period		34,389			(17,813	)		8,500			(1,452	)		23,624			(9,313	)		14,311
Balance – March 31, 2013	$	(57,446	)		134,386			(447,090	)		(1,883	)	$	(372,033	)		146,080		$	(225,953	)

(a) Included in interest income

(b) Included in OTTI losses recognized in earnings

(c) Included in salaries and employee benefits expense

Accumulated other comprehensive income (loss), net consisted of the following:

					Defined
	Investment securities				benefit
	With OTTI		All other		plans			Other			Total
Balance – December 31, 2013	$	22,632		11,294		(98,182	)		97			(64,159	)
Net gain (loss) during period		12,132		26,082		820			(136	)		38,898
Balance – March 31, 2014	$	34,764		37,376		(97,362	)		(39	)		(25,261	)

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

10. Derivative financial instruments

As part of managing interest rate risk, the Company enters into interest rate swap agreements to modify the repricing characteristics of certain portions of the Company’s portfolios of earning assets and interest-bearing liabilities. The Company designates interest rate swap agreements utilized in the management of interest rate risk as either fair value hedges or cash flow hedges. Interest rate swap agreements are generally entered into with counterparties that meet established credit standards and most contain master netting and collateral provisions protecting the at-risk party. Based on adherence to the Company’s credit standards and the presence of the netting and collateral provisions, the Company believes that the credit risk inherent in these contracts is not significant as of March 31, 2014.

The net effect of interest rate swap agreements was to increase net interest income by $11 million and $10 million for the three months ended March 31, 2014 and 2013, respectively.

Information about interest rate swap agreements entered into for interest rate risk management purposes summarized by type of financial instrument the swap agreements were intended to hedge follows:

					Weighted-
	Notional amount		Average maturity		average rate
					Fixed			Variable
	(in thousands)		(in years)
March 31, 2014
Fair value hedges:
Fixed rate long-term borrowings (a)	$	1,400,000		3.4		4.42	%		1.19	%
December 31, 2013
Fair value hedges:
Fixed rate long-term borrowings (a)	$	1,400,000		3.7		4.42	%		1.20	%

(a) Under the terms of these agreements, the Company receives settlement amounts at a fixed rate and pays at a variable rate.

The Company utilizes commitments to sell residential and commercial real estate loans to hedge the exposure to changes in the fair value of real estate loans held for sale. Such commitments have generally been designated as fair value hedges. The Company also utilizes commitments to sell real estate loans to offset the exposure to changes in fair value of certain commitments to originate real estate loans for sale.

Derivative financial instruments used for trading purposes included interest rate contracts, foreign exchange and other option contracts, foreign exchange forward and spot contracts, and financial futures. Interest rate contracts entered into for trading purposes had notional values of $17.1 billion and $17.4 billion at March 31, 2014 and December 31, 2013, respectively. The notional amounts of foreign currency and other option and futures contracts entered into for trading purposes aggregated $1.0 billion and $1.4 billion at March 31, 2014 and December 31, 2013, respectively.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

10. Derivative financial instruments, continued

Information about the fair values of derivative instruments in the Company’s consolidated balance sheet and consolidated statement of income follows:

	Asset derivatives				Liability derivatives
	Fair value				Fair value
	March 31, 2014		December 31, 2013		March 31, 2014		December 31, 2013
	(in thousands)
Derivatives designated and qualifying as hedging instruments
Fair value hedges:
Interest rate swap agreements (a)	$	94,716		102,875	$	—		—
Commitments to sell real estate loans (a)		1,303		6,957		1,160		487
		96,019		109,832		1,160		487
Derivatives not designated and qualifying as hedging instruments
Mortgage-related commitments to originate real estate loans for sale (a)		13,878		7,616		1,289		3,675
Commitments to sell real estate loans (a)		2,807		6,120		1,895		230
Trading:
Interest rate contracts (b)		246,284		274,864		207,179		234,455
Foreign exchange and other option and futures contracts (b)		8,963		15,831		9,187		15,342
		271,932		304,431		219,550		253,702
Total derivatives	$	367,951		414,263	$	220,710		254,189

(a) Asset derivatives are reported in other assets and liability derivatives are reported in other liabilities.

(b) Asset derivatives are reported in trading account assets and liability derivatives are reported in other liabilities.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

10. Derivative financial instruments, continued

	Amount of unrealized gain (loss) recognized
	Three months ended March 31, 2014					Three months ended March 31, 2013
	Derivative			Hedged item		Derivative			Hedged item
	(in thousands)
Derivatives in fair value hedging relationships
Interest rate swap agreements:
Fixed rate long-term borrowings (a)	$	(8,160	)		7,920	$	(8,873	)		8,900
Derivatives not designated as hedging instruments
Trading:
Interest rate contracts (b)	$	(302	)			$	968
Foreign exchange and other option and futures contracts (b)		(5,030	)				(381	)
Total	$	(5,332	)			$	587

(a) Reported as other revenues from operations.

(b) Reported as trading account and foreign exchange gains.

In addition, the Company also has commitments to sell and commitments to originate residential and commercial real estate loans that are considered derivatives. The Company designates certain of the commitments to sell real estate loans as fair value hedges of real estate loans held for sale. The Company also utilizes commitments to sell real estate loans to offset the exposure to changes in the fair value of certain commitments to originate real estate loans for sale. As a result of these activities, net unrealized pre-tax gains related to hedged loans held for sale, commitments to originate loans for sale and commitments to sell loans were approximately $23 million at each of March 31, 2014 and December 31, 2013. Changes in unrealized gains and losses are included in mortgage banking revenues and, in general, are realized in subsequent periods as the related loans are sold and commitments satisfied.

The Company does not offset derivative asset and liability positions in its consolidated financial statements. The Company’s exposure to credit risk by entering into derivative contracts is mitigated through master netting agreements and collateral posting requirements. Master netting agreements covering interest rate and foreign exchange contracts with the same party include a right to set-off that becomes enforceable in the event of default, early termination or under other specific conditions.

The aggregate fair value of derivative financial instruments in a liability position, which are subject to enforceable master netting arrangements, was $175 million and $194 million at March 31, 2014 and December 31, 2013, respectively. After consideration of such netting arrangements, the net liability positions with counterparties aggregated $101 million and $107 million at March 31, 2014 and December 31, 2013, respectively. The Company was required to post collateral relating to those positions of $93 million and $95 million, at March 31, 2014 and December 31, 2013, respectively. Certain of the Company’s derivative financial instruments contain provisions that require the Company to maintain specific credit ratings from credit rating agencies to avoid higher collateral posting requirements. If the Company’s debt rating were to fall below specified ratings,

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

10. Derivative financial instruments, continued

the counterparties of the derivative financial instruments could demand immediate incremental collateralization on those instruments in a net liability position. The aggregate fair value of all derivative financial instruments with such credit-risk-related contingent features in a net liability position on March 31, 2014 was $32 million for which the Company had posted collateral of $22 million in the normal course of business. If the credit-risk-related contingent features had been triggered on March 31, 2014, the maximum amount of additional collateral the Company would have been required to post with counterparties was $10 million.

The aggregate fair value of derivative financial instruments in an asset position, which are subject to an enforceable master netting arrangement, was $167 million and $183 million at March 31, 2014 and December 31, 2013, respectively. After consideration of such netting arrangements, the net asset positions with counterparties aggregated $94 million and $95 million at March 31, 2014 and December 31, 2013, respectively. Counterparties posted collateral relating to those positions of $92 million and $93 million at March 31, 2014 and December 31, 2013, respectively. Trading account interest rate swap agreements entered into with customers are subject to the Company’s credit risk standards and often contain collateral provisions.

11. Variable interest entities and asset securitizations

In accordance with GAAP, the Company determined that it was the primary beneficiary of a residential mortgage loan securitization trust considering its role as servicer and its retained subordinated interests in the trust. As a result, the Company has included the one-to-four family residential mortgage loans that were included in the trust in its consolidated financial statements. At March 31, 2014 and December 31, 2013, the carrying values of the loans in the securitization trust were $117 million and $121 million, respectively. The outstanding principal amount of mortgage-backed securities issued by the qualified special purpose trust that was held by parties unrelated to M&T at March 31, 2014 and December 31, 2013 was $18 million. Because the transaction was non-recourse, the Company’s maximum exposure to loss as a result of its association with the trust at March 31, 2014 is limited to realizing the carrying value of the loans less the amount of the mortgage-backed securities held by third parties.

As described in note 5, M&T has issued junior subordinated debentures payable to various trusts that have issued Capital Securities. M&T owns the common securities of those trust entities. The Company is not considered to be the primary beneficiary of those entities and, accordingly, the trusts are not included in the Company’s consolidated financial statements. At March 31, 2014 and December 31, 2013, the Company included the junior subordinated debentures as “long-term borrowings” in its consolidated balance sheet. The Company has recognized $34 million in other assets for its “investment” in the common securities of the trusts that will be concomitantly repaid to M&T by the respective trust from the proceeds of M&T’s repayment of the junior subordinated debentures associated with preferred capital securities described in note 5.

The Company has invested as a limited partner in various partnerships that collectively had total assets of approximately $1.3 billion at March 31, 2014 and December 31, 2013. Those partnerships generally construct or acquire properties for which the investing partners are eligible to receive certain federal income tax credits in accordance with government guidelines. Such investments may also provide tax deductible losses to the partners. The partnership investments also assist the Company in achieving its community reinvestment initiatives. As a limited partner, there is no recourse to the Company by creditors of the partnerships. However, the tax credits that result from the Company’s investments

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

11. Variable interest entities and asset securitizations, continued

in such partnerships are generally subject to recapture should a partnership fail to comply with the respective government regulations. The Company’s maximum exposure to loss of its investments in such partnerships was $250 million, including $57 million of unfunded commitments, at March 31, 2014 and $236 million, including $45 million of unfunded commitments, at December 31, 2013. The Company has not provided financial or other support to the partnerships that was not contractually required. Management currently estimates that no material losses are probable as a result of the Company’s involvement with such entities. The Company, in its position as limited partner, does not direct the activities that most significantly impact the economic performance of the partnerships and, therefore, in accordance with the accounting provisions for variable interest entities, the partnership entities are not included in the Company’s consolidated financial statements.

12. Fair value measurements

GAAP permits an entity to choose to measure eligible financial instruments and other items at fair value. The Company has not made any fair value elections at March 31, 2014.

Pursuant to GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three-level hierarchy exists in GAAP for fair value measurements based upon the inputs to the valuation of an asset or liability.

• Level 1 — Valuation is based on quoted prices in active markets for identical assets and liabilities.

• Level 2 — Valuation is determined from quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar instruments in markets that are not active or by model-based techniques in which all significant inputs are observable in the market.

• Level 3 — Valuation is derived from model-based and other techniques in which at least one significant input is unobservable and which may be based on the Company’s own estimates about the assumptions that market participants would use to value the asset or liability.

When available, the Company attempts to use quoted market prices in active markets to determine fair value and classifies such items as Level 1 or Level 2. If quoted market prices in active markets are not available, fair value is often determined using model-based techniques incorporating various assumptions including interest rates, prepayment speeds and credit losses. Assets and liabilities valued using model-based techniques are classified as either Level 2 or Level 3, depending on the lowest level classification of an input that is considered significant to the overall valuation. The following is a description of the valuation methodologies used for the Company’s assets and liabilities that are measured on a recurring basis at estimated fair value.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

Trading account assets and liabilities

Trading account assets and liabilities consist primarily of interest rate swap agreements and foreign exchange contracts with customers who require such services with offsetting positions with third parties to minimize the Company’s risk with respect to such transactions. The Company generally determines the fair value of its derivative trading account assets and liabilities using externally developed pricing models based on market observable inputs and, therefore, classifies such valuations as Level 2. Mutual funds held in connection with deferred compensation arrangements have been classified as Level 1 valuations. Valuations of investments in municipal and other bonds can generally be obtained through reference to quoted prices in less active markets for the same or similar securities or through model-based techniques in which all significant inputs are observable and, therefore, such valuations have been classified as Level 2.

Investment securities available for sale

The majority of the Company’s available-for-sale investment securities have been valued by reference to prices for similar securities or through model-based techniques in which all significant inputs are observable and, therefore, such valuations have been classified as Level 2. Certain investments in mutual funds and equity securities are actively traded and, therefore, have been classified as Level 1 valuations.

The Company sold substantially all of its privately issued mortgage-backed securities classified as available for sale during the second quarter of 2013. In prior periods, the Company generally used model-based techniques to value such securities because the Company was significantly restricted in the level of market observable assumptions that could be relied upon. Specifically, market assumptions regarding credit adjusted cash flows and liquidity influences on discount rates were difficult to observe at the individual bond level. Because of the inactivity in the markets and the lack of observable valuation inputs, the Company classified the valuation of privately issued mortgage-backed securities as Level 3.

Included in collateralized debt obligations are securities backed by trust preferred securities issued by financial institutions and other entities. The Company could not obtain pricing indications for many of these securities from its two primary independent pricing sources. The Company, therefore, performed internal modeling to estimate the cash flows and fair value of its portfolio of securities backed by trust preferred securities at March 31, 2014 and December 31, 2013. The modeling techniques included estimating cash flows using bond-specific assumptions about future collateral defaults and related loss severities. The resulting cash flows were then discounted by reference to market yields observed in the single-name trust preferred securities market. In determining a market yield applicable to the estimated cash flows, a margin over LIBOR, ranging from 4% to 11% with a weighted-average of 7% was used. Significant unobservable inputs used in the determination of estimated fair value of collateralized debt obligations are included in the accompanying table of significant unobservable inputs to Level 3 measurements. At March 31, 2014, the total amortized cost and fair value of securities backed by trust preferred securities issued by financial institutions and other entities were $38 million and $62 million, respectively, and at December 31, 2013 were $42 million and $63 million, respectively. Privately issued mortgage-backed securities and securities backed by trust preferred securities issued by financial institutions and other entities constituted all of the available-for-sale investment securities classified as Level 3 valuations.

The Company ensures an appropriate control framework is in place over the valuation processes and techniques used for Level 3 fair value measurements. Internal pricing models used for significant valuation measurements have generally been subjected to validation procedures including testing of mathematical constructs, review of valuation methodology and significant assumptions used.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

Real estate loans held for sale

The Company utilizes commitments to sell real estate loans to hedge the exposure to changes in fair value of real estate loans held for sale. The carrying value of hedged real estate loans held for sale includes changes in estimated fair value during the hedge period. Typically, the Company attempts to hedge real estate loans held for sale from the date of close through the sale date. The fair value of hedged real estate loans held for sale is generally calculated by reference to quoted prices in secondary markets for commitments to sell real estate loans with similar characteristics and, accordingly, such loans have been classified as a Level 2 valuation.

Commitments to originate real estate loans for sale and commitments to sell real estate loans

The Company enters into various commitments to originate real estate loans for sale and commitments to sell real estate loans. Such commitments are considered to be derivative financial instruments and, therefore, are carried at estimated fair value on the consolidated balance sheet. The estimated fair values of such commitments were generally calculated by reference to quoted prices in secondary markets for commitments to sell real estate loans to certain government-sponsored entities and other parties. The fair valuations of commitments to sell real estate loans generally result in a Level 2 classification. The estimated fair value of commitments to originate real estate loans for sale are adjusted to reflect the Company’s anticipated commitment expirations. The estimated commitment expirations are considered significant unobservable inputs contributing to the Level 3 classification of commitments to originate real estate loans for sale. Significant unobservable inputs used in the determination of estimated fair value of commitments to originate real estate loans for sale are included in the accompanying table of significant unobservable inputs to Level 3 measurements.

Interest rate swap agreements used for interest rate risk management

The Company utilizes interest rate swap agreements as part of the management of interest rate risk to modify the repricing characteristics of certain portions of its portfolios of earning assets and interest-bearing liabilities. The Company generally determines the fair value of its interest rate swap agreements using externally developed pricing models based on market observable inputs and, therefore, classifies such valuations as Level 2. The Company has considered counterparty credit risk in the valuation of its interest rate swap agreement assets and has considered its own credit risk in the valuation of its interest rate swap agreement liabilities.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

The following tables present assets and liabilities at March 31, 2014 and December 31, 2013 measured at estimated fair value on a recurring basis:

	Fair value measurements at March 31, 2014		Level 1 (a)		Level 2 (a)		Level 3
	(in thousands)
Trading account assets	$	314,807		49,473		265,334		—
Investment securities available for sale:
U.S. Treasury and federal agencies		42,647		—		42,647		—
Obligations of states and political subdivisions		10,383		—		10,383		—
Mortgage-backed securities:
Government issued or guaranteed		5,801,091		—		5,801,091		—
Privately issued		696		—		—		696
Collateralized debt obligations		61,768		—		—		61,768
Other debt securities		122,249		—		122,249		—
Equity securities		152,737		80,580		72,157		—
		6,191,571		80,580		6,048,527		62,464
Real estate loans held for sale		330,004		—		330,004		—
Other assets (b)		112,704		—		98,826		13,878
Total assets	$	6,949,086		130,053		6,742,691		76,342
Trading account liabilities	$	216,366		—		216,366		—
Other liabilities (b)		4,344		—		3,055		1,289
Total liabilities	$	220,710		—		219,421		1,289

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

	Fair value measurements at December 31, 2013		Level 1 (a)		Level 2 (a)		Level 3
	(in thousands)
Trading account assets	$	376,131		51,386		324,745		—
Investment securities available for sale:
U.S. Treasury and federal agencies		37,776		—		37,776		—
Obligations of states and political subdivisions		10,811		—		10,811		—
Mortgage-backed securities:
Government issued or guaranteed		4,165,086		—		4,165,086		—
Privately issued		1,850		—		—		1,850
Collateralized debt obligations		63,083		—		—		63,083
Other debt securities		120,085		—		120,085		—
Equity securities		133,095		82,450		50,645		—
		4,531,786		82,450		4,384,403		64,933
Real estate loans held for sale		468,650		—		468,650		—
Other assets (b)		123,568		—		115,952		7,616
Total assets	$	5,500,135		133,836		5,293,750		72,549
Trading account liabilities	$	249,797		—		249,797		—
Other liabilities (b)		4,392		—		717		3,675
Total liabilities	$	254,189		—		250,514		3,675

(a) There were no significant transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2014 and the year ended December 31, 2013.

(b) Comprised predominantly of interest rate swap agreements used for interest rate risk management (Level 2), commitments to sell real estate loans (Level 2) and commitments to originate real estate loans to be held for sale (Level 3).

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

The changes in Level 3 assets and liabilities measured at estimated fair value on a recurring basis during the three months ended March 31, 2014 were as follows:

	Investment securities available for sale
	Privately issued mortgage-backed securities			Collateralized debt obligations			Other assets and other liabilities
	(in thousands)
Balance – January 1, 2014	$	1,850		$	63,083		$	3,941
Total gains (losses) realized/unrealized:
Included in earnings		—			—			22,383	(b)
Included in other comprehensive income		67	(e)		4,646	(e)		—
Settlements		(1,221	)		(5,961	)		—
Transfers in and/or out of Level 3 (c)		—			—			(13,735	)(d)
Balance – March 31, 2014	$	696		$	61,768		$	12,589
Changes in unrealized gains included in earnings related to assets still held at March 31, 2014	$	—		$	—		$	15,050	(b)

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

The changes in Level 3 assets and liabilities measured at estimated fair value on a recurring basis during the three months ended March 31, 2013 were as follows:

	Investment securities available for sale
	Privately issued mortgage-backed securities			Collateralized debt obligations			Other assets and other liabilities
	(in thousands)
Balance – January 1, 2013	$	1,023,886		$	61,869		$	47,859
Total gains (losses) realized/unrealized:
Included in earnings		(9,800	)(a)		—			43,312	(b)
Included in other comprehensive income		26,381	(e)		740	(e)		—
Settlements		(47,220	)		(891	)		—
Transfers in and/or out of Level 3 (c)		—			—			(55,052	)(d)
Balance – March 31, 2013	$	993,247		$	61,718		$	36,119
Changes in unrealized gains (losses) included in earnings related to assets still held at March 31, 2013	$	(9,800	)(a)	$	—		$	31,398	(b)

(a) Reported as an other-than-temporary impairment loss in the consolidated statement of income.

(b) Reported as mortgage banking revenues in the consolidated statement of income and includes the fair value of commitment issuances and expirations.

(c) The Company’s policy for transfers between fair value levels is to recognize the transfer as of the actual date of the event or change in circumstances that caused the transfer.

(d) Transfers out of Level 3 consist of interest rate locks transferred to closed loans.

(e) Reported as net unrealized gains on investment securities in the consolidated statement of comprehensive income.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

The Company is required, on a nonrecurring basis, to adjust the carrying value of certain assets or provide valuation allowances related to certain assets using fair value measurements. The more significant of those assets follow.

Loans

Loans are generally not recorded at fair value on a recurring basis. Periodically, the Company records nonrecurring adjustments to the carrying value of loans based on fair value measurements for partial charge-offs of the uncollectible portions of those loans. Nonrecurring adjustments also include certain impairment amounts for collateral-dependent loans when establishing the allowance for credit losses. Such amounts are generally based on the fair value of the underlying collateral supporting the loan and, as a result, the carrying value of the loan less the calculated valuation amount does not necessarily represent the fair value of the loan. Real estate collateral is typically valued using appraisals or other indications of value based on recent comparable sales of similar properties or assumptions generally observable in the marketplace and the related nonrecurring fair value measurement adjustments have generally been classified as Level 2, unless significant adjustments have been made to the valuation that are not readily observable by market participants. Non-real estate collateral supporting commercial loans generally consists of business assets such as receivables, inventory and equipment. Fair value estimations are typically determined by discounting recorded values of those assets to reflect estimated net realizable value considering specific borrower facts and circumstances and the experience of credit personnel in their dealings with similar borrower collateral liquidations. Such discounts were generally in the range of 20% to 75% at March 31, 2014. As these discounts are not readily observable and are considered significant, the valuations have been classified as Level 3. Loans subject to nonrecurring fair value measurement were $161 million at March 31, 2014 ($100 million and $61 million of which were classified as Level 2 and Level 3, respectively), $222 million at December 31, 2013 ($173 million and $49 million of which were classified as Level 2 and Level 3, respectively) and $227 million at March 31, 2013 ($158 million and $69 million of which were classified as Level 2 and Level 3, respectively). Changes in fair value recognized for partial charge-offs of loans and loan impairment reserves on loans held by the Company on March 31, 2014 and 2013 were decreases of $15 million for each of the three month periods ended March 31, 2014 and 2013.

Assets taken in foreclosure of defaulted loans

Assets taken in foreclosure of defaulted loans are primarily comprised of commercial and residential real property and are generally measured at the lower of cost or fair value less costs to sell. The fair value of the real property is generally determined using appraisals or other indications of value based on recent comparable sales of similar properties or assumptions generally observable in the marketplace, and the related nonrecurring fair value measurement adjustments have generally been classified as Level 2. Assets taken in foreclosure of defaulted loans subject to nonrecurring fair value measurement were $11 million and $19 million at March 31, 2014 and March 31, 2013 respectively. Changes in fair value recognized for those foreclosed assets held by the Company were not material during the three months ended March 31, 2014 or 2013.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

Significant unobservable inputs to Level 3 measurements

The following tables present quantitative information about the significant unobservable inputs used in the fair value measurements for Level 3 assets and liabilities at March 31, 2014 and December 31, 2013:

	Fair value at March 31, 2014		Valuation technique	Unobservable input/assumptions	Range (weighted- average)
Recurring fair value measurements
Privately issued mortgage–backed securities	$	696	Two independent pricing quotes	—		—
Collateralized debt obligations		61,768	Discounted cash flow	Probability of default		16%-54% (37	%)
				Loss severity		100%
Net other assets (liabilities) (a)		12,589	Discounted cash flow	Commitment expirations		0%-90% (17	%)

	Fair value at December 31, 2013		Valuation technique	Unobservable input/assumptions	Range (weighted- average)
Recurring fair value measurements
Privately issued mortgage–backed securities	$	1,850	Two independent pricing quotes	—		—
Collateralized debt obligations		63,083	Discounted cash flow	Probability of default		17%-55% (39	%)
				Loss severity		100%
Net other assets (liabilities) (a)		3,941	Discounted cash flow	Commitment expirations		0%-90% (20	%)

(a) Other Level 3 assets (liabilities) consist of commitments to originate real estate loans.

Sensitivity of fair value measurements to changes in unobservable inputs

An increase (decrease) in the probability of default and loss severity for mortgage-backed securities and collateralized debt obligations would generally result in a lower (higher) fair value measurement.

An increase (decrease) in the estimate of expirations for commitments to originate real estate loans would generally result in a lower (higher) fair value measurement. Estimated commitment expirations are derived considering loan type, changes in interest rates and remaining length of time until closing.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

Disclosures of fair value of financial instruments

With the exception of marketable securities, certain off-balance sheet financial instruments and one-to-four family residential mortgage loans originated for sale, the Company’s financial instruments are not readily marketable and market prices do not exist. The Company, in attempting to comply with the provisions of GAAP that require disclosures of fair value of financial instruments, has not attempted to market its financial instruments to potential buyers, if any exist. Since negotiated prices in illiquid markets depend greatly upon the then present motivations of the buyer and seller, it is reasonable to assume that actual sales prices could vary widely from any estimate of fair value made without the benefit of negotiations. Additionally, changes in market interest rates can dramatically impact the value of financial instruments in a short period of time. Additional information about the assumptions and calculations utilized follows.

The carrying amounts and estimated fair value for financial instrument assets (liabilities) are presented in the following table:

	March 31, 2014
	Carrying amount			Estimated fair value			Level 1		Level 2			Level 3
	(in thousands)
Financial assets:
Cash and cash equivalents	$	1,763,118		$	1,763,118		$	1,689,900	$	73,218		$	—
Interest-bearing deposits at banks		3,299,185			3,299,185			—		3,299,185			—
Trading account assets		314,807			314,807			49,473		265,334			—
Investment securities		10,364,249			10,305,030			80,580		9,997,771			226,679
Loans and leases:
Commercial loans and leases		18,896,070			18,584,218			—		—			18,584,218
Commercial real estate loans		26,104,086			25,970,001			—		38,305			25,931,696
Residential real estate loans		8,774,095			8,733,704			—		5,285,649			3,448,055
Consumer loans		10,360,827			10,271,804			—		—			10,271,804
Allowance for credit losses		(916,768	)		—			—		—			—
Loans and leases, net		63,218,310			63,559,727			—		5,323,954			58,235,773
Accrued interest receivable		242,009			242,009			—		242,009			—
Financial liabilities:
Noninterest-bearing deposits	$	(25,244,200	)	$	(25,244,200	)	$	—	$	(25,244,200	)	$	—
Savings deposits and NOW accounts		(39,804,771	)		(39,804,771	)		—		(39,804,771	)		—
Time deposits		(3,402,515	)		(3,420,917	)		—		(3,420,917	)		—
Deposits at Cayman Islands office		(247,880	)		(247,880	)		—		(247,880	)		—
Short-term borrowings		(230,209	)		(230,209	)		—		(230,209	)		—
Long-term borrowings		(6,251,197	)		(6,388,067	)		—		(6,388,067	)		—
Accrued interest payable		(59,685	)		(59,685	)		—		(59,685	)		—
Trading account liabilities		(216,366	)		(216,366	)		—		(216,366	)		—
Other financial instruments:
Commitments to originate real estate loans for sale	$	12,589		$	12,589		$	—	$	—		$	12,589
Commitments to sell real estate loans		1,055			1,055			—		1,055			—
Other credit-related commitments		(114,641	)		(114,641	)		—		—			(114,641	)
Interest rate swap agreements used for interest rate risk management		94,716			94,716			—		94,716			—

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

	December 31, 2013
	Carrying amount			Estimated fair value			Level 1		Level 2			Level 3
	(in thousands)
Financial assets:
Cash and cash equivalents	$	1,672,934		$	1,672,934		$	1,596,877	$	76,057		$	—
Interest-bearing deposits at banks		1,651,138			1,651,138			—		1,651,138			—
Trading account assets		376,131			376,131			51,386		324,745			—
Investment securities		8,796,497			8,690,494			82,450		8,384,106			223,938
Loans and leases:
Commercial loans and leases		18,705,216			18,457,288			—		—			18,457,288
Commercial real estate loans		26,148,208			26,018,195			—		67,505			25,950,690
Residential real estate loans		8,928,221			8,867,872			—		5,432,207			3,435,665
Consumer loans		10,291,514			10,201,087			—		—			10,201,087
Allowance for credit losses		(916,676	)		—			—		—			—
Loans and leases, net		63,156,483			63,544,442			—		5,499,712			58,044,730
Accrued interest receivable		222,558			222,558			—		222,558			—
Financial liabilities:
Noninterest-bearing deposits	$	(24,661,007	)	$	(24,661,007	)	$	—	$	(24,661,007	)	$	—
Savings deposits and NOW accounts		(38,611,021	)		(38,611,021	)		—		(38,611,021	)		—
Time deposits		(3,523,838	)		(3,542,789	)		—		(3,542,789	)		—
Deposits at Cayman Islands office		(322,746	)		(322,746	)		—		(322,746	)		—
Short-term borrowings		(260,455	)		(260,455	)		—		(260,455	)		—
Long-term borrowings		(5,108,870	)		(5,244,902	)		—		(5,244,902	)		—
Accrued interest payable		(43,419	)		(43,419	)		—		(43,419	)		—
Trading account liabilities		(249,797	)		(249,797	)		—		(249,797	)		—
Other financial instruments:
Commitments to originate real estate loans for sale	$	3,941		$	3,941		$	—	$	—		$	3,941
Commitments to sell real estate loans		12,360			12,360			—		12,360			—
Other credit-related commitments		(118,886	)		(118,886	)		—		—			(118,886	)
Interest rate swap agreements used for interest rate risk management		102,875			102,875			—		102,875			—

The following assumptions, methods and calculations were used in determining the estimated fair value of financial instruments not measured at fair value in the consolidated balance sheet.

Cash and cash equivalents, interest-bearing deposits at banks, deposits at Cayman Islands office, short-term borrowings, accrued interest receivable and accrued interest payable

Due to the nature of cash and cash equivalents and the near maturity of interest-bearing deposits at banks, deposits at Cayman Islands office, short-term borrowings, accrued interest receivable and accrued interest payable, the Company estimated that the carrying amount of such instruments approximated estimated fair value.

Investment securities

Estimated fair values of investments in readily marketable securities were generally based on quoted market prices. Investment securities that were not readily marketable were assigned amounts based on estimates provided by outside parties or modeling techniques that relied upon discounted calculations of projected cash flows or, in the case of other investment securities, which include capital stock of the Federal Reserve Bank of New York and the Federal Home Loan Bank of New York, at an amount equal to the carrying amount.

Loans and leases

In general, discount rates used to calculate values for loan products were based on the Company’s pricing at the respective period end. A higher discount rate was assumed with respect to estimated cash flows associated with nonaccrual loans. Projected loan cash flows were adjusted for estimated credit losses.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

12. Fair value measurements, continued

However, such estimates made by the Company may not be indicative of assumptions and adjustments that a purchaser of the Company’s loans and leases would seek.

Deposits

Pursuant to GAAP, the estimated fair value ascribed to noninterest-bearing deposits, savings deposits and NOW accounts must be established at carrying value because of the customers’ ability to withdraw funds immediately. Time deposit accounts are required to be revalued based upon prevailing market interest rates for similar maturity instruments. As a result, amounts assigned to time deposits were based on discounted cash flow calculations using prevailing market interest rates based on the Company’s pricing at the respective date for deposits with comparable remaining terms to maturity.

The Company believes that deposit accounts have a value greater than that prescribed by GAAP. The Company feels, however, that the value associated with these deposits is greatly influenced by characteristics of the buyer, such as the ability to reduce the costs of servicing the deposits and deposit attrition which often occurs following an acquisition.

Long-term borrowings

The amounts assigned to long-term borrowings were based on quoted market prices, when available, or were based on discounted cash flow calculations using prevailing market interest rates for borrowings of similar terms and credit risk.

Other commitments and contingencies

As described in note 13, in the normal course of business, various commitments and contingent liabilities are outstanding, such as loan commitments, credit guarantees and letters of credit. The Company’s pricing of such financial instruments is based largely on credit quality and relationship, probability of funding and other requirements. Loan commitments often have fixed expiration dates and contain termination and other clauses which provide for relief from funding in the event of significant deterioration in the credit quality of the customer. The rates and terms of the Company’s loan commitments, credit guarantees and letters of credit are competitive with other financial institutions operating in markets served by the Company. The Company believes that the carrying amounts, which are included in other liabilities, are reasonable estimates of the fair value of these financial instruments.

The Company does not believe that the estimated information presented herein is representative of the earnings power or value of the Company. The preceding analysis, which is inherently limited in depicting fair value, also does not consider any value associated with existing customer relationships nor the ability of the Company to create value through loan origination, deposit gathering or fee generating activities.

Many of the estimates presented herein are based upon the use of highly subjective information and assumptions and, accordingly, the results may not be precise. Management believes that fair value estimates may not be comparable between financial institutions due to the wide range of permitted valuation techniques and numerous estimates which must be made. Furthermore, because the disclosed fair value amounts were estimated as of the balance sheet date, the amounts actually realized or paid upon maturity or settlement of the various financial instruments could be significantly different.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

13. Commitments and contingencies

In the normal course of business, various commitments and contingent liabilities are outstanding. The following table presents the Company’s significant commitments. Certain of these commitments are not included in the Company’s consolidated balance sheet.

	March 31, 2014		December 31, 2013
	(in thousands)
Commitments to extend credit
Home equity lines of credit	$	6,260,931		6,218,823
Commercial real estate loans to be sold		151,989		62,386
Other commercial real estate and construction		4,055,951		3,919,545
Residential real estate loans to be sold		521,869		469,869
Other residential real estate		368,055		384,617
Commercial and other		10,781,231		10,419,545
Standby letters of credit		3,531,586		3,600,528
Commercial letters of credit		39,197		53,284
Financial guarantees and indemnification contracts		2,842,506		2,457,633
Commitments to sell real estate loans		845,549		854,656

Commitments to extend credit are agreements to lend to customers, generally having fixed expiration dates or other termination clauses that may require payment of a fee. Standby and commercial letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. Standby letters of credit generally are contingent upon the failure of the customer to perform according to the terms of the underlying contract with the third party, whereas commercial letters of credit are issued to facilitate commerce and typically result in the commitment being funded when the underlying transaction is consummated between the customer and a third party. The credit risk associated with commitments to extend credit and standby and commercial letters of credit is essentially the same as that involved with extending loans to customers and is subject to normal credit policies. Collateral may be obtained based on management’s assessment of the customer’s creditworthiness.

Financial guarantees and indemnification contracts are oftentimes similar to standby letters of credit and include mandatory purchase agreements issued to ensure that customer obligations are fulfilled, recourse obligations associated with sold loans, and other guarantees of customer performance or compliance with designated rules and regulations. Included in financial guarantees and indemnification contracts are loan principal amounts sold with recourse in conjunction with the Company’s involvement in the Fannie Mae Delegated Underwriting and Servicing program. The Company’s maximum credit risk for recourse associated with loans sold under this program totaled approximately $2.3 billion at each of March 31, 2014 and December 31, 2013.

Since many loan commitments, standby letters of credit, and guarantees and indemnification contracts expire without being funded in whole or in part, the contract amounts are not necessarily indicative of future cash flows.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

13. Commitments and contingencies, continued

The Company utilizes commitments to sell real estate loans to hedge exposure to changes in the fair value of real estate loans held for sale. Such commitments are considered derivatives and along with commitments to originate real estate loans to be held for sale are generally recorded in the consolidated balance sheet at estimated fair market value.

The Company has an agreement with the Baltimore Ravens of the National Football League whereby the Company obtained the naming rights to a football stadium in Baltimore, Maryland. Under the agreement, the Company is obligated to pay $6 million per year from 2014 through 2017.

The Company also has commitments under long-term operating leases.

The Company reinsures credit life and accident and health insurance purchased by consumer loan customers. The Company also enters into reinsurance contracts with third party insurance companies who insure against the risk of a mortgage borrower’s payment default in connection with certain mortgage loans originated by the Company. When providing reinsurance coverage, the Company receives a premium in exchange for accepting a portion of the insurer’s risk of loss. The outstanding loan principal balances reinsured by the Company were approximately $14 million at March 31, 2014. Assets of subsidiaries providing reinsurance that are available to satisfy claims totaled approximately $35 million at March 31, 2014. The amounts noted above are not necessarily indicative of losses which may ultimately be incurred. Such losses are expected to be substantially less because most loans are repaid by borrowers in accordance with the original loan terms. Management believes that any reinsurance losses that may be payable by the Company will not be material to the Company’s consolidated financial position.

The Company is contractually obligated to repurchase previously sold residential real estate loans that do not ultimately meet investor sale criteria related to underwriting procedures or loan documentation. When required to do so, the Company may reimburse loan purchasers for losses incurred or may repurchase certain loans. The Company reduces residential mortgage banking revenues by an estimate for losses related to its obligations to loan purchasers. The amount of those charges is based on the volume of loans sold, the level of reimbursement requests received from loan purchasers and estimates of losses that may be associated with previously sold loans. At March 31, 2014, management believes that any further liability arising out of the Company’s obligation to loan purchasers is not material to the Company’s consolidated financial position.

M&T and its subsidiaries are subject in the normal course of business to various pending and threatened legal proceedings in which claims for monetary damages are asserted. On an on-going basis the Company assesses its liabilities and contingencies in connection with such legal proceedings. For those matters where it is probable that the Company will incur losses and the amounts of the losses can be reasonably estimated, the Company records an expense and corresponding liability in its consolidated financial statements. To the extent the pending or threatened litigation could result in exposure in excess of that liability, the amount of such excess is not currently estimable. Although not considered probable, the range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, was between $0 and $50 million. Although the Company does not believe that the outcome of pending litigations will be material to the Company’s consolidated financial position, it cannot rule out the possibility that such outcomes will be material to the consolidated results of operations for a particular reporting period in the future.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

14. Segment information

Reportable segments have been determined based upon the Company’s internal profitability reporting system, which is organized by strategic business unit. Certain strategic business units have been combined for segment information reporting purposes where the nature of the products and services, the type of customer and the distribution of those products and services are similar. The reportable segments are Business Banking, Commercial Banking, Commercial Real Estate, Discretionary Portfolio, Residential Mortgage Banking and Retail Banking.

The financial information of the Company’s segments was compiled utilizing the accounting policies described in note 22 to the Company’s consolidated financial statements as of and for the year ended December 31, 2013. The management accounting policies and processes utilized in compiling segment financial information are highly subjective and, unlike financial accounting, are not based on authoritative guidance similar to GAAP. As a result, the financial information of the reported segments is not necessarily comparable with similar information reported by other financial institutions. As also described in note 22 to the Company’s 2013 consolidated financial statements, neither goodwill nor core deposit and other intangible assets (and the amortization charges associated with such assets) resulting from acquisitions of financial institutions have been allocated to the Company’s reportable segments, but are included in the “All Other” category. The Company does, however, assign such intangible assets to business units for purposes of testing for impairment.

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

14. Segment information, continued

Information about the Company’s segments is presented in the following table:

	Three months ended March 31
	2014								2013
	Total revenues(a)		Inter- segment revenues			Net income (loss)			Total revenues(a)		Inter- segment revenues			Net income (loss)
	(in thousands)
Business Banking	$	102,299		1,057			28,598		$	105,418		1,194			32,561
Commercial Banking		248,586		1,197			99,765			249,850		1,350			107,387
Commercial Real Estate		158,360		348			74,561			165,293		1,552			76,508
Discretionary Portfolio		24,657		(5,039	)		11,279			12,041		(8,601	)		1,846
Residential Mortgage Banking		94,588		9,748			19,411			119,899		18,698			34,361
Retail Banking		261,888		3,505			29,711			291,185		3,257			52,350
All Other		186,162		(10,816	)		(34,308	)		145,246		(17,450	)		(30,900	)
Total	$	1,076,540		—			229,017		$	1,088,932		—			274,113

	Average total assets
	Three months ended March 31				Year ended December 31
	2014		2013		2013
	(in millions)
Business Banking	$	5,242		4,980		5,080
Commercial Banking		22,523		21,272		21,655
Commercial Real Estate		16,937		17,054		17,150
Discretionary Portfolio		18,581		16,585		16,480
Residential Mortgage Banking		3,157		2,847		2,858
Retail Banking		10,155		11,391		10,997
All Other		10,070		7,784		9,442
Total	$	86,665		81,913		83,662

(a) Total revenues are comprised of net interest income and other income. Net interest income is the difference between taxable-equivalent interest earned on assets and interest paid on liabilities owed by a segment and a funding charge (credit) based on the Company’s internal funds transfer pricing and allocation methodology. Segments are charged a cost to fund any assets (e.g. loans) and are paid a funding credit for any funds provided

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NOTES TO FINANCIAL STATEMENTS, CONTINUED

14. Segment information, continued

(e.g. deposits). The taxable-equivalent adjustment aggregated $5,945,000 and $6,450,000 for the three-month periods ended March 31, 2014 and 2013, respectively, and is eliminated in “All Other” total revenues. Intersegment revenues are included in total revenues of the reportable segments. The elimination of intersegment revenues is included in the determination of “All Other” total revenues.

15. Relationship with Bayview Lending Group LLC and Bayview Financial Holdings, L.P.

M&T holds a 20% minority interest in Bayview Lending Group LLC (“BLG”), a privately-held commercial mortgage company. M&T recognizes income or loss from BLG using the equity method of accounting. The carrying value of that investment was $60 million at March 31, 2014.

Bayview Financial Holdings, L.P. (together with its affiliates, “Bayview Financial”), a privately-held specialty mortgage finance company, is BLG’s majority investor. In addition to their common investment in BLG, the Company and Bayview Financial conduct other business activities with each other. The Company has obtained loan servicing rights for mortgage loans from BLG and Bayview Financial having outstanding principal balances of $5.4 billion and $5.5 billion at March 31, 2014 and December 31, 2013, respectively. Revenues from those servicing rights were $7 million and $8 million during the three-month periods ended March 31, 2014 and 2013, respectively. The Company sub-services residential mortgage loans for Bayview Financial having outstanding principal balances totaling $46.5 billion and $45.6 billion at March 31, 2014 and December 31, 2013, respectively. Revenues earned for sub-servicing loans for Bayview Financial were $26 million and $2 million for the three-month periods ended March 31, 2014 and 2013, respectively. In addition, the Company held $216 million and $220 million of mortgage-backed securities in its held-to-maturity portfolio at March 31, 2014 and December 31, 2013, respectively, that were securitized by Bayview Financial.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Overview

M&T Bank Corporation (“M&T”) recorded net income in the first quarter of 2014 of $229 million or $1.61 of diluted earnings per common share, compared with $274 million or $1.98 of diluted earnings per common share in the initial 2013 quarter. During the fourth quarter of 2013, net income totaled $221 million or $1.56 of diluted earnings per common share. Basic earnings per common share were $1.63 in the initial 2014 quarter, compared with $2.00 and $1.57 in the first and fourth quarters of 2013, respectively. The annualized rate of return on average total assets for M&T and its consolidated subsidiaries (“the Company”) in the recent quarter was 1.07%, compared with 1.36% in the year-earlier quarter and 1.03% in the fourth quarter of 2013. The annualized rate of return on average common shareholders’ equity was 8.22% in the first three months of 2014, compared with 11.10% and 7.99% in the first and fourth quarters of 2013, respectively.

On March 27, 2014, M&T announced that the Federal Reserve did not object to M&T’s proposed 2014 Capital Plan. Accordingly, M&T may maintain a quarterly common stock dividend of $.70 per share; pay dividends and interest on other equity and debt instruments included in regulatory capital, including preferred stock, trust preferred securities and subordinated debt that were outstanding at December 31, 2013, consistent with the contractual terms of those instruments; and redeem or repurchase up to $50 million of subordinated debt. Common and preferred dividends are subject to approval by M&T’s Board of Directors in the ordinary course of business.

On August 27, 2012, M&T announced that it had entered into a definitive agreement with Hudson City Bancorp, Inc. (“Hudson City”), headquartered in Paramus, New Jersey, under which Hudson City would be acquired by M&T. Pursuant to the terms of the agreement, Hudson City common shareholders will receive consideration for each common share of Hudson City in an amount valued at .08403 of an M&T share in the form of either M&T common stock or cash, based on the election of each Hudson City shareholder, subject to proration as specified in the merger agreement (which provides for an aggregate split of total consideration of 60% common stock of M&T and 40% cash). The estimated purchase price considering the closing price of M&T’s common stock of $121.30 on March 31, 2014 was $5.2 billion.

As of March 31, 2014, Hudson City reported $38.2 billion of assets, including $23.8 billion of loans (predominantly residential real estate loans) and $8.5 billion of investment securities, and $33.4 billion of liabilities, including $21.1 billion of deposits. The merger has received the approval of the common shareholders of M&T and Hudson City. However, the merger is subject to a number of conditions, including regulatory approvals.

On June 17, 2013, M&T and M&T Bank entered into a written agreement with the Federal Reserve Bank of New York. Under the terms of the agreement, M&T and M&T Bank are required to submit to the Federal Reserve Bank of New York a revised compliance risk management program designed to ensure compliance with the Bank Secrecy Act and anti-money laundering laws and regulations (“BSA/AML”) and to take certain other steps to enhance their compliance practices. The Company commenced a major initiative, including the hiring of outside consulting firms, intended to fully address those regulator concerns. M&T and M&T Bank continue to make progress towards completing this initiative. In view of the timeframe required to implement this initiative, demonstrate its efficacy to the satisfaction of the regulators and otherwise meet any other regulatory requirements that may be imposed in connection with these matters, the timeframe for closing the transaction between M&T and Hudson City has extended beyond the date previously expected. Accordingly, M&T and Hudson City extended the date after which either party may elect to terminate the merger

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agreement if the merger has not yet been completed to December 31, 2014. Nevertheless, M&T’s pending acquisition of Hudson City remains subject to regulatory approval, including approval by the Federal Reserve, and certain other closing conditions and, as a result, there can be no assurances that the merger will be completed by that date.

Recent Legislative Developments

As discussed in M&T’s Form 10-K for the year ended December 31, 2013, the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank Act”) that was signed into law on July 21, 2010 has and will continue to significantly change the bank regulatory structure and affect the lending, deposit, investment, trading and operating activities of financial institutions and their holding companies, and the system of regulatory oversight of the Company. The Dodd-Frank Act requires various federal agencies to adopt a broad range of new implementing rules and regulations, and to prepare numerous studies and reports for Congress, many of which are not yet completed or implemented. The Dodd-Frank Act could have a material adverse impact on the financial services industry as a whole, as well as on M&T’s business, results of operations, financial condition and liquidity.

A discussion of the provisions of the Dodd-Frank Act is included in Part I, Item 1 of M&T’s Form 10-K for the year ended December 31, 2013.

On July 31, 2013, the U.S. District Court for the District of Columbia issued an order granting summary judgment to the plaintiffs in a case challenging certain provisions of the Federal Reserve Board’s rule concerning electronic debit card transaction fees and network exclusivity arrangements (the “Current Rule”) that were adopted to implement Section 1075 of the Dodd-Frank Act — the so-called “Durbin Amendment.” The Court held that, in adopting the Current Rule, the Federal Reserve Board violated the Durbin Amendment’s provisions concerning which costs are allowed to be taken into account for purposes of setting fees that are “reasonable and proportional to the costs incurred by the issuer” and therefore the Current Rule’s maximum permissible fees were too high. In addition, the Court held that the Current Rule’s network non-exclusivity provisions concerning unaffiliated payment networks for debit cards also violated the Durbin Amendment. The Court vacated the Current Rule. The Court’s judgment was stayed in September 2013 pending appeal by the Federal Reserve Board. In March 2014, a panel of the United States Court of Appeals for the District of Columbia overturned the U.S. District Court’s ruling almost in its entirety, remanding to the Federal Reserve Board for further consideration or explanation of the issue of its treatment of transactions-monitoring costs.

In July 2013, the Federal Reserve Board, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation approved final rules (the “New Capital Rules”) establishing a new comprehensive capital framework for U.S. banking organizations. The New Capital Rules generally implement the Basel Committee on Banking Supervision’s (the “Basel Committee”) December 2010 final capital framework referred to as “Basel III” for strengthening international capital standards. The New Capital Rules substantially revise the risk-based capital requirements applicable to bank holding companies and their depository institution subsidiaries, including M&T and M&T Bank, as compared to the current U.S. general risk-based capital rules.

The New Capital Rules preclude certain hybrid securities, such as trust preferred securities, from inclusion in bank holding companies’ Tier 1 capital, subject to phase-out in the case of bank holding companies, such as M&T, that had $15 billion or more in total consolidated assets as of December 31, 2009. As a result, beginning in 2015 25% of M&T’s trust preferred securities will be includable in Tier 1 capital, and in 2016 and thereafter,

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none of M&T’s trust preferred securities will be includable in Tier 1 capital. Trust preferred securities no longer included in M&T’s Tier 1 capital may nonetheless be included as a component of Tier 2 capital on a permanent basis without phase-out and irrespective of whether such securities otherwise meet the revised definition of Tier 2 capital set forth in the New Capital Rules. In the first quarter of 2014, M&T redeemed $350 million of 8.50% junior subordinated debentures associated with the trust preferred capital securities of M&T Capital Trust IV and issued a like amount of 6.45% preferred stock that qualifies as Tier 1 regulatory capital. A detailed discussion of the New Capital Rules is included in Part I, Item 1 of M&T’s Form 10-K for the year ended December 31, 2013 under the heading “Capital Requirements.”

Management believes that the Company will be able to comply with the revised capital adequacy requirements upon their implementation. More specifically, management estimates that the Company’s ratio of Common Equity Tier 1 (“CET1”) to risk-weighted assets under the New Capital Rules (and as defined therein) on a fully phased-in basis was approximately 9.22% as of March 31, 2014, reflecting a good faith estimate of the computation of CET1 and the Company’s risk-weighted assets under the methodologies set forth in the New Capital Rules.

On December 10, 2013, the Federal Reserve Board, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation and the Securities and Exchange Commission adopted the final version of the Volcker Rule, which was mandated under Dodd-Frank. The Volcker Rule is intended to effectively reduce risks posed to banking entities from proprietary trading activities and investments in or relationships with covered funds. Banking entities are generally prohibited from engaging in proprietary trading. The Company does not believe that it engages in any significant amount of “proprietary trading” as defined in the Volcker Rule and that any impact would be minimal. In addition, a review of the Company’s investments was undertaken to determine if any meet the Volcker Rule’s definition of “covered funds.” Based on that review, the Company believes that any impact related to investments considered to be covered funds would not have a significant effect on the Company’s financial condition or its results of operations. Nevertheless, the Company may be required to divest certain investments subject to the Volcker Rule by mid-2015.

On October 24, 2013, the Federal Reserve Board and other banking regulators issued an interagency proposal for the U.S. version of the Basel Committee’s Liquidity Coverage Ratio (“LCR”). The LCR requires a banking organization to maintain a minimum amount of liquid assets to withstand a 30-day standardized supervisory liquidity stress scenario. The proposed effective date is January 1, 2015, subject to a two-year phase-in period. The period for commenting on the interagency proposal closed on January 31, 2014.

Supplemental Reporting of Non-GAAP Results of Operations

M&T consistently provides supplemental reporting of its results on a “net operating” or “tangible” basis, from which M&T excludes the after-tax effect of amortization of core deposit and other intangible assets (and the related goodwill, core deposit intangible and other intangible asset balances, net of applicable deferred tax amounts) and gains and expenses associated with merging acquired operations into the Company, since such items are considered by management to be “nonoperating” in nature. As a result of business combinations and other acquisitions, the Company had intangible assets consisting of goodwill and core deposit and other intangible assets totaling $3.6 billion at each of March 31, 2014, March 31, 2013 and December 31, 2013. Included in such intangible assets was goodwill of $3.5 billion at each of those dates. Amortization of core deposit and other intangible assets, after

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tax effect, was $6 million during each of quarters ended March 31, 2014 and December 31, 2013 ($.05 per diluted common share), compared with $8 million ($.06 per diluted common share) during the first quarter of 2013. The after-tax impact of merger-related expenses was $3 million ($5 million pre-tax), or $.02 of basic and diluted earnings per common share in the first quarter of 2013. There were no merger-related expenses in the recent quarter or in the final quarter of 2013. The merger-related expenses in 2013’s initial quarter were associated with M&T’s pending acquisition of Hudson City. Although “net operating income” as defined by M&T is not a GAAP measure, M&T’s management believes that this information helps investors understand the effect of acquisition activity in reported results.

Net operating income totaled $235 million in the first quarter of 2014, compared with $285 million in the year-earlier quarter. Diluted net operating earnings per common share for the recent quarter were $1.66, compared with $2.06 in the initial quarter of 2013. Net operating income and diluted net operating earnings per common share were $228 million and $1.61, respectively, in the fourth quarter of 2013.

Net operating income in the recent quarter expressed as an annualized rate of return on average tangible assets was 1.15%, compared with 1.48% and 1.11% in the first and fourth quarters of 2013, respectively. Net operating income represented an annualized return on average tangible common equity of 12.76% in the initial quarter of 2014, compared with 18.71% in the year-earlier quarter and 12.67% in the final quarter of 2013.

Reconciliations of GAAP amounts with corresponding non-GAAP amounts are presented in table 2.

Taxable-equivalent Net Interest Income

Taxable-equivalent net interest income totaled $662 million in the first quarter of 2014, nearly unchanged from the year-earlier period. The impact of higher average earning assets, which rose $3.9 billion, or 5%, to $76.3 billion from $72.3 billion in the first quarter of 2013, was offset by a 19 basis point (hundredths of one percent) narrowing of the Company’s net interest margin, or taxable-equivalent net interest income expressed as an annualized percentage of average earning assets. The increase in average earning assets was attributable to a $3.5 billion rise in average balances of investment securities and a $2.6 billion increase in lower yielding average interest-bearing deposits at the Federal Reserve Bank of New York, partially offset by a $2.1 billion decline in average loans outstanding. The decline in average loans reflects the impact of securitization activities in 2013 whereby the Company (i) securitized approximately $1.3 billion of one-to-four family residential real estate loans from its loan portfolio into guaranteed mortgage securitizations with Ginnie Mae (and largely retained the resulting securities in the investment securities portfolio) and (ii) securitized and sold approximately $1.4 billion of automobile loans. The increase in investment securities reflects M&T’s loan securitization activities in 2013 as well as purchases of Ginnie Mae and Fannie Mae mortgage-backed securities. Taxable-equivalent net interest income in the recent quarter was below the $673 million recorded in the fourth quarter of 2013, reflecting two less days in the recent quarter.

Average loans and leases declined $2.1 billion or 3% to $63.8 billion in the recent quarter from $65.9 billion in the first quarter of 2013. Commercial loans and leases averaged $18.5 billion in the initial 2014 quarter, up $1.1 billion or 7% from $17.3 billion in the year-earlier quarter. Average commercial real estate loans rose $228 million to $26.1 billion in the recent quarter from $25.9 billion in the first quarter of 2013. Average residential real estate loans outstanding decreased $2.3 billion to $8.8 billion in the first quarter of 2014 from $11.1 billion in the similar quarter of 2013.

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Included in that portfolio were loans held for sale, which averaged $329 million in the recent quarter, compared with $1.1 billion in the first quarter of 2013. The further decrease in residential real estate loans was largely due to the above-noted securitization activity during the second and third quarters of 2013. During the second quarter of 2013, the Company securitized approximately $296 million of residential real estate loans and during the third quarter of 2013 approximately $1.0 billion of residential real estate loans were securitized. The residential real estate loans were guaranteed by the Federal Housing Administration (“FHA”) and a substantial majority of the resulting Ginnie Mae mortgage-backed investment securities have been retained by the Company in the investment securities portfolio. Average consumer loans and leases totaled $10.3 billion in the recent quarter, $1.2 billion or 10% lower than $11.5 billion in 2013’s first quarter. That decline was largely due to lower average balances of automobile loans. In September 2013, the Company securitized and sold approximately $1.4 billion of automobile loans held in its loan portfolio. The Company has securitized loans to improve its regulatory capital ratios and strengthen its liquidity and risk profile, including the ability to pledge any of the retained assets, as a result of changing regulatory requirements.

Average loan balances in the recent quarter increased $213 million from the fourth quarter of 2013. Average outstanding commercial loan and lease balances rose $380 million, or 2%, average balances of commercial real estate loans decreased $88 million and average residential real estate loan balances were down $146 million. Average outstanding consumer loans increased $68 million from 2013’s final quarter. The accompanying table summarizes quarterly changes in the major components of the loan and lease portfolio.

AVERAGE LOANS AND LEASES

(net of unearned discount)

Dollars in millions

			Percent increase (decrease) from
	1st Qtr. 2014		1st Qtr. 2013			4th Qtr. 2013
Commercial, financial, etc.	$	18,476		7	%		2	%
Real estate – commercial		26,143		1			—
Real estate – consumer		8,844		(21	)		(2	)
Consumer
Automobile		1,433		(43	)		12
Home equity lines		5,735		(1	)		(1	)
Home equity loans		345		(25	)		(6	)
Other		2,787		3			(1	)
Total consumer		10,300		(10	)		1
Total	$	63,763		(3	)%		—	%

The investment securities portfolio averaged $9.3 billion in the recent quarter, up $3.5 billion or 60% from $5.8 billion in the initial quarter of 2013 and $911 million above the $8.4 billion averaged in the fourth quarter of 2013. The increase from the year-earlier quarter reflects the net effect of purchases, sales and securitizations during 2013 and the first quarter of 2014, partially offset by maturities and paydowns of mortgage-backed securities. Beginning in the second quarter of 2013, the Company undertook certain actions to improve its regulatory capital and liquidity positions in response to evolving regulatory requirements. As a result, in the second quarter of 2013 approximately $1.0 billion of privately issued mortgage-backed securities held in the available-for-sale portfolio were sold, as were the Company’s holdings of Visa and MasterCard common stock. In the second and third quarters of 2013, the Company securitized approximately $1.3 billion of residential real estate loans held in its loan portfolio guaranteed by the FHA. A substantial majority of the Ginnie Mae securities resulting from those securitizations were retained by the Company. During the second quarter of 2013, the Company also began originating FHA residential real estate loans for purposes of securitizing such loans into

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Ginnie Mae mortgage-backed securities to be retained in the Company’s investment securities portfolio. Approximately $1.6 billion of such loans were originated and securitized during 2013. Finally, beginning in May the Company purchased approximately $1.9 billion of Ginnie Mae securities and $250 million of Fannie Mae securities that were added to the investment securities portfolio during 2013, and another $1.7 billion of Fannie Mae securities were purchased during the first quarter of 2014. The recent quarter increase in average investment securities balances as compared with the final 2013 quarter reflects the noted first quarter purchases of Fannie Mae securities. The Company has increased its holdings of investment securities in response to changing regulatory requirements.

The investment securities portfolio is largely comprised of residential mortgage-backed securities, debt securities issued by municipalities, trust preferred securities issued by certain financial institutions, and shorter-term U.S. Treasury and federal agency notes. When purchasing investment securities, the Company considers its overall interest-rate risk profile as well as the adequacy of expected returns relative to risks assumed, including prepayments. In managing its investment securities portfolio, the Company occasionally sells investment securities as a result of changes in interest rates and spreads, actual or anticipated prepayments, credit risk associated with a particular security, or as a result of restructuring its investment securities portfolio in connection with a business combination.

The Company regularly reviews its investment securities for declines in value below amortized cost that might be characterized as “other than temporary.” Nevertheless, there were no other-than-temporary impairment charges recognized in either the first quarter of 2014 or the final 2013 quarter. Other-than-temporary impairment charges recognized during the quarter ended March 31, 2013 were $10 million. That impairment charge related to certain privately issued mortgage-backed securities. Persistently high unemployment, loan delinquencies and foreclosures that led to a backlog of homes held for sale by financial institutions and others were significant factors contributing to the recognition of the other-than-temporary impairment charges related to those securities. Substantially all of the privately issued mortgage-backed securities held in the available-for-sale investment securities portfolio were sold late in the second quarter of 2013. The impairment charge in the first quarter of 2013 related to a subset of those securities. Additional information about the investment securities portfolio is included in notes 3 and 12 of Notes to Financial Statements.

Other earning assets include interest-earning deposits at the Federal Reserve Bank of New York and other banks, trading account assets, federal funds sold and agreements to resell securities. Those other earning assets in the aggregate averaged $3.3 billion in the recently completed quarter, compared with $684 million and $3.1 billion in the first and fourth quarters of 2013, respectively. Interest-bearing deposits at banks averaged $3.1 billion, $527 million and $2.9 billion during the three-month periods ended March 31, 2014, March 31, 2013 and December 31, 2013, respectively. The rise in average interest-bearing deposits at banks in the fourth quarter of 2013 and the initial 2014 quarter as compared with the first quarter of 2013 was largely due to higher deposits held at the Federal Reserve Bank of New York. The amounts of investment securities and other earning assets held by the Company are influenced by such factors as demand for loans, which generally yield more than investment securities and other earning assets, ongoing repayments, the levels of deposits, and management of balance sheet size and resulting capital ratios.

As a result of the changes described herein, average earning assets aggregated $76.3 billion in the first quarter of 2014, compared with $72.3 billion in the year-earlier quarter and $75.0 billion in the final quarter of 2013.

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The most significant source of funding for the Company is core deposits. The Company considers noninterest-bearing deposits, interest-bearing transaction accounts, savings deposits and time deposits of $250,000 or less as core deposits. The Company’s branch network is its principal source of core deposits, which generally carry lower interest rates than wholesale funds of comparable maturities. Core deposits averaged $65.6 billion in the initial 2014 quarter, compared with $61.9 billion in the year-earlier quarter and $65.3 billion in the final quarter of 2013. The growth in core deposits since the first quarter of 2013 was due, in part, to the lack of attractive alternative investments available to the Company’s customers resulting from lower interest rates and from the economic environment in the U.S. The low interest rate environment has resulted in a shift in customer savings trends, as average time deposits have continued to decline, while average noninterest-bearing deposits and savings deposits have generally increased. The following table provides an analysis of quarterly changes in the components of average core deposits.

AVERAGE CORE DEPOSITS

Dollars in millions

			Percent increase (decrease) from
	1st Qtr. 2014		1st Qtr. 2013			4th Qtr. 2013
NOW accounts	$	965		11	%		6	%
Savings deposits		37,391		9			1
Time deposits $250,000 or less		3,081		(16	)		(5	)
Noninterest-bearing deposits		24,141		5			—
Total	$	65,578		6	%		—	%

Additional funding sources for the Company included branch-related time deposits over $250,000, deposits associated with the Company’s Cayman Islands office, and brokered deposits. Time deposits over $250,000, excluding brokered certificates of deposit, averaged $371 million in the first quarter of 2014, compared with $329 million and $320 million in the first and fourth quarters of 2013, respectively. Cayman Islands office deposits averaged $380 million, $858 million and $414 million for the three-month periods ended March 31, 2014, March 31, 2013 and December 31, 2013, respectively. Average brokered time deposits totaled $9 million during the recently completed quarter, compared with $431 million and $67 million in the first and fourth quarters of 2013, respectively. The Company also had brokered NOW and brokered money-market deposit accounts, which in the aggregate averaged approximately $1.0 billion in each of the first quarters of 2014 and 2013 and $1.1 billion in the fourth quarter of 2013. The levels of brokered NOW and brokered money-market deposit accounts reflect the demand for such deposits, largely resulting from the desire of brokerage firms to earn reasonable yields while ensuring that customer deposits are fully insured. The level of Cayman Islands office deposits and brokered deposits are also reflective of customer demand. Additional amounts of such deposits may be added in the future depending on market conditions, including demand by customers and other investors for those deposits, and the cost of funds available from alternative sources at the time.

The Company also uses borrowings from banks, securities dealers, various Federal Home Loan Banks, the Federal Reserve Bank of New York and others as sources of funding. Short-term borrowings averaged $264 million in the recent quarter, compared with $637 million in the first quarter of 2013 and $287 million in the final 2013 quarter. Included in short-term borrowings were unsecured federal funds borrowings, which generally mature on the next business day, that averaged $183 million in 2014’s initial quarter, compared with $500 million and $195 million in the first and fourth quarters of 2013, respectively. Overnight federal funds borrowings represented the largest component of short-term borrowings and totaled $180 million and $248 million at March 31, 2014 and 2013, respectively, and $169 million at December 31, 2013.

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Long-term borrowings averaged $5.9 billion in the first quarter of 2014, compared with $4.7 billion in the corresponding 2013 quarter and $5.0 billion in the final 2013 quarter. Included in average long-term borrowings were subordinated capital notes of $1.6 billion in each of the two most recent quarters and $1.8 billion in the first quarter of 2013. On April 15, 2013, $250 million of 4.875% subordinated notes of the Company matured and were redeemed. Junior subordinated debentures associated with trust preferred securities that were included in average long-term borrowings were $1.1 billion in the initial 2014 quarter and $1.2 billion in each of the quarters ended March 31, 2013 and December 31, 2013. On February 27, 2014, M&T redeemed $350 million of 8.50% Enhanced Trust Preferred Securities and the associated junior subordinated debentures. Additional information regarding junior subordinated debentures is provided in note 5 of Notes to Financial Statements. Also included in long-term borrowings were agreements to repurchase securities, which averaged $1.4 billion during each of the first quarters of 2014 and 2013 and the fourth quarter of 2013. The agreements have various repurchase dates through 2017, however, the contractual maturities of the underlying securities extend beyond such repurchase dates. During the first quarter of 2013, M&T Bank, initiated a Bank Note Program whereby M&T Bank may offer up to $5 billion of unsecured senior and subordinated notes. During March 2013, three-year floating rate senior notes due March 2016 were issued for $300 million and five-year 1.45% fixed rate senior notes due March 2018 were issued for $500 million. In January 2014, M&T Bank issued $1.5 billion of senior notes as follows: $250 million of three-year floating rate notes due January 2017; $500 million of three-year 1.25% fixed rate notes due January 2017; and $750 million of five-year 2.30% fixed rate notes due January 2019. The proceeds of the issuances have been or will be predominantly utilized to purchase additional liquid investment securities that will meet the regulatory liquidity requirements. The Company has utilized interest rate swap agreements to modify the repricing characteristics of certain components of long-term debt. As of March 31, 2014, interest rate swap agreements were used to hedge approximately $1.4 billion of fixed rate long-term borrowings. Further information on interest rate swap agreements is provided in note 10 of Notes to Financial Statements.

Changes in the composition of the Company’s earning assets and interest-bearing liabilities, as discussed herein, as well as changes in interest rates and spreads, can impact net interest income. Net interest spread, or the difference between the taxable-equivalent yield on earning assets and the rate paid on interest-bearing liabilities, was 3.32% in the first quarter of 2014 and 3.49% in the year-earlier quarter. The yield on earning assets during the recent quarter was 3.87%, down 26 basis points from 4.13% in the first quarter of 2013, while the rate paid on interest-bearing liabilities decreased 9 basis points to .55% from .64%. In 2013’s fourth quarter, the net interest spread was 3.36%, the yield on earning assets was 3.92% and the rate paid on interest-bearing liabilities was .56%. The narrowing of the net interest spread in the recent quarter as compared with the first quarter of 2013 reflects the higher level of deposits held at the Federal Reserve Bank of New York, higher average balances of investment securities and the ongoing impact of the low interest rate environment on loan yields.

Net interest-free funds consist largely of noninterest-bearing demand deposits and shareholders’ equity, partially offset by bank owned life insurance and non-earning assets, including goodwill and core deposit and other intangible assets. Net interest-free funds averaged $26.9 billion in the first quarter of 2014, compared with $25.4 billion and $26.7 billion in the first and fourth quarters of 2013, respectively. The increases in average net interest-free funds in the two most recent quarters as compared with the first quarter of 2013 were predominantly the result of higher average balances of noninterest-bearing deposits. Such deposits averaged $24.1 billion in the recent quarter, compared with $23.0 billion and $24.2 billion in the first and fourth quarters of 2013, respectively. Goodwill and core deposit and other intangible assets averaged $3.6 billion during each of the quarters ended March 31, 2014, March 31, 2013 and December 31, 2013. The cash surrender value of

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bank owned life insurance averaged $1.7 billion in the first three months of 2014, compared with $1.6 billion in each of the three-month periods ended March 31, 2013 and December 31, 2013. Increases in the cash surrender value of bank owned life insurance and benefits received are not included in interest income, but rather are recorded in “other revenues from operations.” The contribution of net interest-free funds to net interest margin was .20% in the two most recent quarters, compared with .22% in the first quarter of 2013.

Reflecting the changes to the net interest spread and the contribution of interest-free funds as described herein, the Company’s net interest margin was 3.52% in the first quarter of 2014, compared with 3.71% in the year-earlier quarter and 3.56% in the fourth quarter of 2013. Future changes in market interest rates or spreads, as well as changes in the composition of the Company’s portfolios of earning assets and interest-bearing liabilities that result in reductions in spreads, could adversely impact the Company’s net interest income and net interest margin. In particular, the relatively low interest rate environment continues to exert downward pressure on yields on loans, investment securities and other earning assets.

Management assesses the potential impact of future changes in interest rates and spreads by projecting net interest income under several interest rate scenarios. In managing interest rate risk, the Company has utilized interest rate swap agreements to modify the repricing characteristics of certain portions of its portfolios of earning assets and interest-bearing liabilities. Periodic settlement amounts arising from these agreements are generally reflected in either the yields earned on assets or the rates paid on interest-bearing liabilities. The notional amount of interest rate swap agreements entered into for interest rate risk management purposes was $1.4 billion at each of March 31, 2014 and December 31, 2013, and $900 million at March 31, 2013. Under the terms of those swap agreements, the Company received payments based on the outstanding notional amount at fixed rates and made payments at variable rates. Those swap agreements were designated as fair value hedges of certain fixed rate long-term borrowings. There were no interest rate swap agreements designated as cash flow hedges at those respective dates.

In a fair value hedge, the fair value of the derivative (the interest rate swap agreement) and changes in the fair value of the hedged item are recorded in the Company’s consolidated balance sheet with the corresponding gain or loss recognized in current earnings. The difference between changes in the fair value of the interest rate swap agreements and the hedged items represents hedge ineffectiveness and is recorded in “other revenues from operations” in the Company’s consolidated statement of income. The amounts of hedge ineffectiveness recognized during the quarters ended March 31, 2014 and 2013 and the quarter ended December 31, 2013 were not material to the Company’s results of operations. The estimated aggregate fair value of interest rate swap agreements designated as fair value hedges represented gains of approximately $95 million at March 31, 2014, $134 million at March 31, 2013 and $103 million at December 31, 2013. The fair values of such swap agreements were substantially offset by changes in the fair values of the hedged items. The changes in the fair values of the interest rate swap agreements and the hedged items primarily result from the effects of changing interest rates and spreads. The Company’s credit exposure as of March 31, 2014 with respect to the estimated fair value of interest rate swap agreements used for managing interest rate risk has been substantially mitigated through master netting arrangements with trading account interest rate contracts with the same counterparty as well as counterparty postings of $89 million of collateral with the Company.

The weighted-average rates to be received and paid under interest rate swap agreements currently in effect were 4.42% and 1.19%, respectively, at March 31, 2014. The average notional amounts of interest rate swap agreements entered into for interest rate risk management purposes, the related effect on net interest income and margin, and the weighted-average rates paid or received on

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those swap agreements are presented in the accompanying table. Additional information about the Company’s use of interest rate swap agreements and other derivatives is included in note 10 of Notes to Financial Statements.

INTEREST RATE SWAP AGREEMENTS

Dollars in thousands

	Three months ended March 31
	2014						2013
	Amount			Rate (a)			Amount			Rate (a)
Increase (decrease) in:
Interest income	$	—			—	%	$	—			—	%
Interest expense		(11,292	)		(.09	)		(9,514	)		(.08	)
Net interest income/margin	$	11,292			.06	%	$	9,514			.05	%
Average notional amount	$	1,400,000					$	900,000
Rate received (b)					4.42	%					6.16	%
Rate paid (b)					1.19	%					1.87	%

(a) Computed as an annualized percentage of average earning assets or interest-bearing liabilities.

(b) Weighted-average rate paid or received on interest rate swap agreements in effect during the period.

As a financial intermediary, the Company is exposed to various risks, including liquidity and market risk. Liquidity refers to the Company’s ability to ensure that sufficient cash flow and liquid assets are available to satisfy current and future obligations, including demands for loans and deposit withdrawals, funding operating costs, and other corporate purposes. Liquidity risk arises whenever the maturities of financial instruments included in assets and liabilities differ. M&T’s banking subsidiaries have access to additional funding sources through borrowings from the FHLB of New York, lines of credit with the Federal Reserve Bank of New York, the previously noted Bank Note Program, and other available borrowing facilities. The Company has, from time to time, issued subordinated capital notes to provide liquidity and enhance regulatory capital ratios. Such notes generally qualify under Federal Reserve Board’s current risk-based capital guidelines for inclusion in the Company’s capital. However, pursuant to the Dodd-Frank Act, junior subordinated debentures associated with trust preferred securities will be phased-out of the definition of Tier 1 capital. Effective January 1, 2015, 75% of such junior subordinated debentures will be excluded from the Company’s Tier 1 capital, and beginning January 1, 2016, 100% will be excluded. The amounts excluded from Tier 1 capital will be includable in total capital.

The Company has informal and sometimes reciprocal sources of funding available through various arrangements for unsecured short-term borrowings from a wide group of banks and other financial institutions. Short-term federal funds borrowings were $180 million at March 31, 2014, $248 million at March 31, 2013 and $169 million at December 31, 2013. In general, those borrowings were unsecured and matured on the next business day. In addition to satisfying customer demand, Cayman Islands office deposits and brokered certificates of deposit may be used by the Company as an alternative to short-term borrowings. Cayman Islands office deposits totaled $248 million, $266 million and $323 million at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. Outstanding brokered time deposits at March 31, 2014, March 31, 2013 and December 31, 2013 were $5 million, $422 million and $26 million, respectively. At March 31, 2014, the weighted-average remaining term to maturity of brokered time deposits was 3 months. The Company also had brokered NOW and brokered money-market deposit accounts which aggregated $974 million at March 31, 2014, compared with $942 million at March 31, 2013 and $1.0 billion at December 31, 2013.

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The Company’s ability to obtain funding from these or other sources could be negatively impacted should the Company experience a substantial deterioration in its financial condition or its debt ratings, or should the availability of short-term funding become restricted due to a disruption in the financial markets. The Company attempts to quantify such credit-event risk by modeling scenarios that estimate the liquidity impact resulting from a short-term ratings downgrade over various grading levels. Such impact is estimated by attempting to measure the effect on available unsecured lines of credit, available capacity from secured borrowing sources and securitizable assets. In addition to deposits and borrowings, other sources of liquidity include maturities of investment securities and other earning assets, repayments of loans and investment securities, and cash generated from operations, such as fees collected for services.

Certain customers of the Company obtain financing through the issuance of variable rate demand bonds (“VRDBs”). The VRDBs are generally enhanced by letters of credit provided by M&T Bank. M&T Bank oftentimes acts as remarketing agent for the VRDBs and, at its discretion, may from time-to-time own some of the VRDBs while such instruments are remarketed. When this occurs, the VRDBs are classified as trading assets in the Company’s consolidated balance sheet. Nevertheless, M&T Bank is not contractually obligated to purchase the VRDBs. The value of VRDBs in the Company’s trading account totaled $4 million at each of March 31, 2014 and 2013, and $25 million at December 31, 2013. The total amount of VRDBs outstanding backed by M&T Bank letters of credit was $1.7 billion at each of March 31, 2014 and December 31, 2013, compared with $2.1 billion at March 31, 2013. M&T Bank also serves as remarketing agent for most of those bonds.

The Company enters into contractual obligations in the normal course of business which require future cash payments. Such obligations include, among others, payments related to deposits, borrowings, leases, and other contractual commitments. Off-balance sheet commitments to customers may impact liquidity, including commitments to extend credit, standby letters of credit, commercial letters of credit, financial guarantees and indemnification contracts, and commitments to sell real estate loans. Because many of these commitments or contracts expire without being funded in whole or in part, the contract amounts are not necessarily indicative of future cash flows. Further discussion of these commitments is provided in note 13 of Notes to Financial Statements.

M&T’s primary source of funds to pay for operating expenses, shareholder dividends and treasury stock repurchases has historically been the receipt of dividends from its banking subsidiaries, which are subject to various regulatory limitations. Dividends from any banking subsidiary to M&T are limited by the amount of earnings of the banking subsidiary in the current year and the two preceding years. For purposes of that test, at March 31, 2014 approximately $958 million was available for payment of dividends to M&T from banking subsidiaries. These historic sources of cash flow have been augmented in the past by the issuance of trust preferred securities and senior notes payable. Information regarding trust preferred securities and the related junior subordinated debentures is included in note 5 of Notes to Financial Statements. M&T also maintains a $30 million line of credit with an unaffiliated commercial bank, on which there were no borrowings outstanding at March 31, 2014 or at December 31, 2013.

Management closely monitors the Company’s liquidity position on an ongoing basis for compliance with internal policies and believes that available sources of liquidity are adequate to meet funding needs anticipated in the normal course of business. Management does not anticipate engaging in any activities, either currently or in the long-term, for which adequate funding would not be available and would therefore result in a significant strain on liquidity at either M&T or its subsidiary banks. Banking regulators have proposed rules requiring a banking company to maintain a minimum amount of liquid assets to withstand a 30-day standardized

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supervisory liquidity stress scenario. The proposed effective date is January 1, 2015, subject to a two year phase-in period. The Company has taken steps as noted herein to enhance its liquidity and will take further action, as necessary, to comply with the final regulations when they take effect.

Market risk is the risk of loss from adverse changes in the market prices and/or interest rates of the Company’s financial instruments. The primary market risk the Company is exposed to is interest rate risk. Interest rate risk arises from the Company’s core banking activities of lending and deposit-taking, because assets and liabilities reprice at different times and by different amounts as interest rates change. As a result, net interest income earned by the Company is subject to the effects of changing interest rates. The Company measures interest rate risk by calculating the variability of net interest income in future periods under various interest rate scenarios using projected balances for earning assets, interest-bearing liabilities and derivatives used to hedge interest rate risk. Management’s philosophy toward interest rate risk management is to limit the variability of net interest income. The balances of financial instruments used in the projections are based on expected growth from forecasted business opportunities, anticipated prepayments of loans and investment securities, and expected maturities of investment securities, loans and deposits. Management uses a “value of equity” model to supplement the modeling technique described above. Those supplemental analyses are based on discounted cash flows associated with on- and off-balance sheet financial instruments. Such analyses are modeled to reflect changes in interest rates and provide management with a long-term interest rate risk metric.

The Company’s Risk Management Committee, which includes members of senior management, monitors the sensitivity of the Company’s net interest income to changes in interest rates with the aid of a computer model that forecasts net interest income under different interest rate scenarios. In modeling changing interest rates, the Company considers different yield curve shapes that consider both parallel (that is, simultaneous changes in interest rates at each point on the yield curve) and non-parallel (that is, allowing interest rates at points on the yield curve to vary by different amounts) shifts in the yield curve. In utilizing the model, market-implied forward interest rates over the subsequent twelve months are generally used to determine a base interest rate scenario for the net interest income simulation. That calculated base net interest income is then compared to the income calculated under the varying interest rate scenarios. The model considers the impact of ongoing lending and deposit-gathering activities, as well as interrelationships in the magnitude and timing of the repricing of financial instruments, including the effect of changing interest rates on expected prepayments and maturities. When deemed prudent, management has taken actions to mitigate exposure to interest rate risk through the use of on- or off-balance sheet financial instruments and intends to do so in the future. Possible actions include, but are not limited to, changes in the pricing of loan and deposit products, modifying the composition of earning assets and interest-bearing liabilities, and adding to, modifying or terminating existing interest rate swap agreements or other financial instruments used for interest rate risk management purposes.

The accompanying table as of March 31, 2014 and December 31, 2013 displays the estimated impact on net interest income from non-trading financial instruments in the base scenario described above resulting from parallel changes in interest rates across repricing categories during the first modeling year.

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SENSITIVITY OF NET INTEREST INCOME

TO CHANGES IN INTEREST RATES

Dollars in thousands

	Calculated increase (decrease) in projected net interest income
Changes in interest rates	March 31, 2014			December 31, 2013
+200 basis points	$	230,372			245,089
+100 basis points		125,018			134,188
-100 basis points		(69,727	)		(72,755	)
-200 basis points		(95,139	)		(100,543	)

The Company utilized many assumptions to calculate the impact that changes in interest rates may have on net interest income. The more significant of those assumptions included the rate of prepayments of mortgage-related assets, cash flows from derivative and other financial instruments held for non-trading purposes, loan and deposit volumes and pricing, and deposit maturities. In the scenarios presented, the Company also assumed gradual changes in rates during a twelve-month period of 100 and 200 basis points, as compared with the assumed base scenario. In the event that a 100 or 200 basis point rate change cannot be achieved, the applicable rate changes are limited to lesser amounts such that interest rates cannot be less than zero. The assumptions used in interest rate sensitivity modeling are inherently uncertain and, as a result, the Company cannot precisely predict the impact of changes in interest rates on net interest income. Actual results may differ significantly from those presented due to the timing, magnitude and frequency of changes in interest rates and changes in market conditions and interest rate differentials (spreads) between maturity/repricing categories, as well as any actions, such as those previously described, which management may take to counter such changes.

Changes in fair value of the Company’s financial instruments can also result from a lack of trading activity for similar instruments in the financial markets. That impact can affect the values assigned to the Company’s investment securities. Information about the fair valuation of such securities is presented herein under the heading “Capital” and in notes 3 and 12 of Notes to Financial Statements.

The Company engages in trading activities to meet the financial needs of customers and to fund the Company’s obligations under certain deferred compensation plans. Financial instruments utilized in trading activities consist predominantly of interest rate contracts, such as swap agreements, and forward and futures contracts related to foreign currencies. The Company generally mitigates the foreign currency and interest rate risk associated with trading activities by entering into offsetting trading positions. The fair values of the offsetting trading positions associated with interest rate contracts and foreign currency and other option and futures contracts are presented in note 10 of Notes to Financial Statements. The amounts of gross and net trading positions, as well as the type of trading activities conducted by the Company, are subject to a well-defined series of potential loss exposure limits established by management and approved by M&T’s Board of Directors. However, as with any non-government guaranteed financial instrument, the Company is exposed to credit risk associated with counterparties to the Company’s trading activities.

The notional amounts of interest rate contracts entered into for trading purposes aggregated $17.1 billion at March 31, 2014, compared with $15.2 billion at March 31, 2013 and $17.4 billion at December 31, 2013. The notional amounts of foreign currency and other option and futures contracts entered into for trading purposes totaled $1.0 billion at March 31, 2014, compared with $921 million and $1.4 billion at March 31 and December 31, 2013, respectively. Although the notional amounts of these trading contracts are not recorded in the consolidated balance sheet, the fair values of all financial instruments used for trading activities are recorded in the consolidated balance sheet. The fair values of all trading account assets and

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liabilities were $315 million and $216 million, respectively, at March 31, 2014, $420 million and $328 million, respectively, at March 31, 2013, and $376 million and $250 million, respectively, at December 31, 2013. Included in trading account assets were assets related to deferred compensation plans totaling $26 million at each of March 31, 2014 and 2013, compared with $29 million at December 31, 2013. Changes in the fair value of such assets are recorded as “trading account and foreign exchange gains” in the consolidated statement of income. Included in “other liabilities” in the consolidated balance sheet at each of March 31, 2014 and 2013 were $30 million of liabilities related to deferred compensation plans, compared with $31 million at December 31, 2013. Changes in the balances of such liabilities due to the valuation of allocated investment options to which the liabilities are indexed are recorded in “other costs of operations” in the consolidated statement of income.

Given the Company’s policies, limits and positions, management believes that the potential loss exposure to the Company resulting from market risk associated with trading activities was not material, however, as previously noted, the Company is exposed to credit risk associated with counterparties to transactions associated with the Company’s trading activities. Additional information about the Company’s use of derivative financial instruments in its trading activities is included in note 10 of Notes to Financial Statements.

Provision for Credit Losses

The Company maintains an allowance for credit losses that in management’s judgment appropriately reflects losses inherent in the loan and lease portfolio. A provision for credit losses is recorded to adjust the level of the allowance as deemed necessary by management. The provision for credit losses in the first quarter of 2014 was $32 million, compared with $38 million in the first quarter of 2013 and $42 million in the final 2013 quarter. Net loan charge-offs were also $32 million in the recent quarter, compared with $37 million and $42 million during the three-month periods ended March 31, 2013 and December 31, 2013, respectively. Net charge-offs as an annualized percentage of average loans and leases were .20% in the initial 2014 quarter, compared with .23% and .26% in the first and fourth quarters of 2013, respectively. A summary of net charge-offs by loan type follows.

NET CHARGE-OFFS

BY LOAN/LEASE TYPE

In thousands

	First Quarter 2014		First Quarter 2013		Fourth Quarter 2013
Commercial, financial, leasing, etc.	$	9,146		6,788		20,356
Real estate:
Commercial		289		8,773		7,836
Residential		5,822		3,721		3,285
Consumer		16,651		17,461		10,217
	$	31,908		36,743		41,694

Included in net charge-offs of commercial real estate loans were net recoveries of $1 million and $2 million in the first quarter of 2014 and the final 2013 quarter, respectively, of loans to residential homebuilders and developers, compared with net charge-offs of $2 million in the first quarter of 2013. Reflected in net charge-offs of residential real estate loans were net charge-offs of Alt-A first mortgage loans of $2 million in the recent quarter, compared with $4 million and $1 million in the quarters ended March 31, 2013 and December 31, 2013, respectively. Included in net charge-offs of consumer loans and leases were net charge-offs during the quarters ended March 31, 2014, March 31, 2013 and December 31, 2013, respectively, of: automobile loans of $4 million, $3 million and $3 million; recreational vehicle loans of $4 million at each respective date; and home equity loans and lines of credit, including Alt-

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A second lien loans, of $4 million, $6 million and net recoveries of $4 million. Reflected in net charge-offs of home equity loans and lines of credit in 2013’s fourth quarter were $9 million of recoveries of previously charged-off loans related to a portfolio of loans acquired in 2007. Alt-A loans represent loans secured by residential real estate that at origination typically included some form of limited borrower documentation requirements as compared with more traditional loans. Loans in the Company’s Alt-A portfolio were originated by the Company prior to 2008.

Loans acquired in connection with acquisition transactions subsequent to 2008 were recorded at fair value with no carry-over of any previously recorded allowance for credit losses. Determining the fair value of the acquired loans required estimating cash flows expected to be collected on the loans and discounting those cash flows at then-current interest rates. The excess of expected cash flows over the carrying value of the loans is recognized as interest income over the lives of loans. The difference between contractually required payments and the cash flows expected to be collected is referred to as the nonaccretable balance and is not recorded on the consolidated balance sheet. The nonaccretable balance reflects estimated future credit losses and other contractually required payments that the Company does not expect to collect. The Company regularly evaluates the reasonableness of its cash flow projections. Any decreases to the expected cash flows require the Company to evaluate the need for an additional allowance for credit losses and could lead to charge-offs of acquired loan balances. Any significant increases in expected cash flows result in additional interest income to be recognized over the then-remaining lives of the loans. The carrying amount of loans obtained in acquisitions subsequent to 2008 was $3.7 billion, $5.3 billion and $4.0 billion at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. The portion of the nonaccretable balance related to remaining principal losses as well as life-to-date losses charged against the nonaccretable balance as of March 31, 2014 and December 31, 2013 are presented in the accompanying table.

	Nonaccretable balance - principal
	Remaining balance				Life-to-date charges
	March 31, 2014		December 31, 2013		March 31, 2014		December 31, 2013
	(in thousands)
Commercial, financing, leasing, etc.	$	29,332		31,931		72,364		69,772
Commercial real estate		108,790		110,984		279,356		277,222
Residential real estate		22,200		23,201		55,103		54,177
Consumer		32,137		33,989		75,901		74,039
Total	$	192,459		200,105		482,724		475,210

Nonaccrual loans totaled $891 million or 1.39% of total loans and leases outstanding at March 31, 2014, compared with $1.05 billion or 1.60% a year earlier and $874 million or 1.36% at December 31, 2013. The declines in nonaccrual loans at the two most recent quarter-ends as compared with March 31, 2013 were largely due to lower commercial loans and commercial real estate loans in nonaccrual status.

Accruing loans past due 90 days or more (excluding acquired loans) were $307 million or .48% of total loans and leases at March 31, 2014, compared with $331 million or .50% at March 31, 2013 and $369 million or .58% at December 31, 2013. Those loans included loans guaranteed by government-related entities of $291 million, $312 million and $298 million at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. Such guaranteed loans included one-to-four family residential mortgage loans serviced by the Company that were repurchased to reduce associated servicing costs, including a requirement to advance principal and interest payments that had not been received from individual mortgagors. Despite the loans being purchased by

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the Company, the insurance or guarantee by the applicable government-related entity remains in force. The outstanding principal balances of the repurchased loans that are guaranteed by government-related entities totaled $251 million, $284 million and $255 million at March 31, 2014, March 31, 2013 and December 31, 2013, respectively.

Purchased impaired loans are loans obtained in acquisition transactions subsequent to 2008 that as of the acquisition date were specifically identified as displaying signs of credit deterioration and for which the Company did not expect to collect all outstanding principal and contractually required interest payments. Those loans were impaired at the date of acquisition, were recorded at estimated fair value and were generally delinquent in payments, but, in accordance with GAAP, the Company continues to accrue interest income on such loans based on the estimated expected cash flows associated with the loans. The carrying amount of such loans was $303 million at March 31, 2014, or less than 1% of total loans. Purchased impaired loans totaled $425 million and $331 million at March 31 and December 31, 2013, respectively. The decline in such loans from March 31, 2013 was predominantly the result of payments received from customers.

Accruing loans past due 90 days or more are loans that could not be specifically identified as impaired as of the acquisition date, but were recorded at estimated fair value as of such date. Such loans totaled $121 million at March 31, 2014, compared with $157 million at March 31, 2013 and $130 million at December 31, 2013.

In an effort to assist borrowers, the Company modified the terms of select loans. If the borrower was experiencing financial difficulty and a concession was granted, the Company considers such modifications as troubled debt restructurings. Loan modifications included such actions as the extension of loan maturity dates and the lowering of interest rates and monthly payments. The objective of the modifications was to increase loan repayments by customers and thereby reduce net charge-offs. In accordance with GAAP, the modified loans are included in impaired loans for purposes of determining the level of the allowance for credit losses. Information about modifications of loans that are considered troubled debt restructurings is included in note 4 of Notes to Financial Statements.

Residential real estate loans modified under specified loss mitigation programs prescribed by government guarantors have not been included in renegotiated loans because the loan guarantee remains in full force and, accordingly, the Company has not granted a concession with respect to the ultimate collection of the original loan balance. Such loans aggregated $224 million, $190 million and $206 million at March 31, 2014, March 31, 2013 and December 31, 2013, respectively.

Nonaccrual commercial loans and leases aggregated $138 million at March 31, 2014, $204 million at March 31, 2013 and $111 million at December 31, 2013. The decrease in commercial loans classified as nonaccrual at the two most recent quarter-ends as compared with March 31, 2013 reflects the charge-off during 2013 of $49 million associated with a relationship with a motor vehicle-related wholesaler that had been classified as nonaccrual. Commercial real estate loans classified as nonaccrual totaled $291 million at March 31, 2014, $393 million at March 31, 2013 and $305 million at December 31, 2013. The decrease in such loans from March 31, 2013 to the two most recent quarter-ends was largely attributable to lower nonaccrual loans to residential homebuilders and developers. Loans to residential homebuilders and developers in nonaccrual status aggregated $90 million and $167 million at March 31, 2014 and 2013, respectively, and $96 million at December 31, 2013. Information about the location of nonaccrual and charged-off loans to residential real estate builders and developers as of and for the three-month period ended March 31, 2014 is presented in the accompanying table.

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RESIDENTIAL BUILDER AND DEVELOPER LOANS, NET OF UNEARNED DISCOUNT

	March 31, 2014							Quarter ended March 31, 2014
			Nonaccrual					Net charge-offs (recoveries)
	Outstanding balances(a)		Balances		Percent of outstanding balances			Balances			Annualized percent of average outstanding balances
	(dollars in thousands)
New York	$	443,503	$	6,181		1.39	%	$	(3	)		—	%
Pennsylvania		124,821		46,999		37.65			33			.11
Mid-Atlantic		495,472		36,978		7.46			(944	)		(.77	)
Other		262,362		838		.32			(144	)		(.23)
Total	$	1,326,158	$	90,996		6.86	%	$	(1,058	)		(.33	)%

(a) Includes approximately $28 million of loans not secured by real estate, of which approximately $1 million are in nonaccrual status.

Residential real estate loans classified as nonaccrual were $338 million at March 31, 2014, compared with $341 million at March 31, 2013 and $334 million at December 31, 2013. Depressed real estate values and high levels of delinquencies have contributed to the higher than historical levels of residential real estate loans classified as nonaccrual. Included in residential real estate loans classified as nonaccrual were Alt-A loans of $79 million, $88 million and $81 million at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. Residential real estate loans past due 90 days or more and accruing interest (excluding acquired loans) totaled $285 million at March 31, 2014, compared with $309 million a year earlier and $295 million at December 31, 2013. A substantial portion of such amounts related to guaranteed loans repurchased from government-related entities. Information about the location of nonaccrual and charged-off residential real estate loans as of and for the quarter ended March 31, 2014 is presented in the accompanying table.

Nonaccrual consumer loans aggregated $124 million at March 31, 2014, compared with $114 million at March 31, 2013 and $125 million at December 31, 2013. Included in nonaccrual consumer loans at March 31, 2014, March 31, 2013 and December 31, 2013 were: automobile loans of $16 million, $20 million and $21 million, respectively; recreational vehicle loans of $11 million, $11 million and $12 million, respectively; and outstanding balances of home equity loans and lines of credit, including junior lien Alt-A loans, of $83 million, $72 million and $79 million, respectively. Information about the location of nonaccrual and charged-off home equity loans and lines of credit as of and for the quarter-ended March 31, 2014 is presented in the accompanying table.

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SELECTED RESIDENTIAL REAL ESTATE-RELATED LOAN DATA

	March 31, 2014							Quarter ended March 31, 2014
			Nonaccrual					Net charge-offs (recoveries)
	Outstanding balances		Balances		Percent of outstanding balances			Balances			Annualized percent of average outstanding balances
	(dollars in thousands)
Residential mortgages:
New York	$	3,570,229	$	68,086		1.91	%	$	2,348			.26	%
Pennsylvania		1,169,821		20,503		1.75			644			.22
Mid-Atlantic		2,128,664		35,097		1.65			771			.15
Other		1,500,201		133,300		8.89			130			.03
Total	$	8,368,915	$	256,986		3.07	%	$	3,893			.19	%
Residential construction loans:
New York	$	6,725	$	458		6.81	%	$	2			.12	%
Pennsylvania		1,777		746		41.98			122			28.42
Mid-Atlantic		7,708		166		2.15			—			—
Other		17,172		1,322		7.70			54			1.25
Total	$	33,382	$	2,692		8.06	%	$	178			2.13	%
Alt-A first mortgages:
New York	$	61,681	$	17,574		28.49	%	$	310			2.01	%
Pennsylvania		11,397		3,006		26.38			24			.83
Mid-Atlantic		72,002		11,085		15.40			649			3.60
Other		226,718		46,855		20.67			768			1.35
Total	$	371,798	$	78,520		21.12	%	$	1,751			1.88	%
Alt-A junior lien:
New York	$	1,260	$	154		12.22	%	$	145			42.67	%
Pennsylvania		415		35		8.43			—			—
Mid-Atlantic		3,389		229		6.76			(48	)		(5.63	)
Other		7,851		735		9.36			293			14.67
Total	$	12,915	$	1,153		8.93	%	$	390			11.87	%
First lien home equity loans:
New York	$	23,111	$	2,470		10.69	%	$	55			.93	%
Pennsylvania		74,037		3,063		4.14			79			.42
Mid-Atlantic		93,573		698		.75			173			.72
Other		2,969		84		2.83			—			—
Total	$	193,690	$	6,315		3.26	%	$	307			.62	%
First lien home equity lines:
New York	$	1,378,340	$	12,142		.88	%	$	357			.10	%
Pennsylvania		839,582		5,988		.71			44			.02
Mid-Atlantic		875,837		3,782		.43			63			.03
Other		32,010		1,481		4.63			—			—
Total	$	3,125,769	$	23,393		.75	%	$	464			.06	%
Junior lien home equity loans:
New York	$	18,457	$	5,216		28.26	%	$	170			3.59	%
Pennsylvania		22,836		1,129		4.94			(75	)		(1.29	)
Mid-Atlantic		75,721		1,408		1.86			133			.69
Other		9,077		814		8.97			17			.73
Total	$	126,091	$	8,567		6.79	%	$	245			0.76	%
Junior lien home equity lines:
New York	$	954,658	$	29,507		3.09	%	$	1,334			.57	%
Pennsylvania		391,970		3,497		.89			442			.46
Mid-Atlantic		1,187,804		7,887		.66			779			.27
Other		69,523		2,236		3.22			56			.32
Total	$	2,603,955	$	43,127		1.66	%	$	2,611			.41	%

Real estate and other foreclosed assets totaled $59 million and $96 million at March 31, 2014 and March 31, 2013, respectively, and $67 million at December 31, 2013. The decline in real estate and other foreclosed assets

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since March 31, 2013 reflects sales of such assets. No significant gains or losses occurred as a result of those sales. At March 31, 2014, the Company’s holding of residential real estate-related properties comprised 79% of foreclosed assets.

A comparative summary of nonperforming assets and certain past due loan data and credit quality ratios as of the end of the periods indicated is presented in the accompanying table.

NONPERFORMING ASSET AND PAST DUE, RENEGOTIATED AND IMPAIRED LOAN DATA

Dollars in thousands

	2014			2013 Quarters
	First Quarter			Fourth			Third			Second			First
Nonaccrual loans	$	890,893			874,156			915,871			964,906			1,052,794
Real estate and other foreclosed assets		59,407			66,875			89,203			82,088			95,680
Total nonperforming assets	$	950,300			941,031			1,005,074			1,046,994			1,148,474
Accruing loans past due 90 days or more(a)	$	307,017			368,510			339,792			340,467			331,283
Government guaranteed loans included in totals above:
Nonaccrual loans	$	75,959			63,647			68,519			69,508			63,385
Accruing loans past due 90 days or more		291,418			297,918			320,732			315,281			311,579
Renegotiated loans	$	257,889			257,092			259,301			263,351			272,285
Acquired accruing loans past due 90 days or more(b)	$	120,996			130,162			153,585			155,686			157,068
Purchased impaired loans(c):
Outstanding customer balance	$	534,331			579,975			648,118			725,196			790,048
Carrying amount		303,388			330,792			357,337			394,697			425,232
Nonaccrual loans to total loans and leases, net of unearned discount		1.39	%		1.36	%		1.44	%		1.46	%		1.60	%
Nonperforming assets to total net loans and leases and real estate and other foreclosed assets		1.48	%		1.47	%		1.58	%		1.59	%		1.74	%
Accruing loans past due 90 days or more (a) to total loans and leases, net of unearned discount		.48	%		.58	%		.53	%		.52	%		.50	%

(a) Excludes acquired loans. Predominantly residential mortgage loans.

(b) Acquired loans that were recorded at fair value at acquisition date. This category does not include purchased impaired loans that are presented separately.

(c) Accruing loans that were impaired at acquisition date and recorded at fair value.

Management determined the allowance for credit losses by performing ongoing evaluations of the loan and lease portfolio, including such factors as the differing economic risks associated with each loan category, the financial condition of specific borrowers, the economic environment in which borrowers operate, the level of delinquent loans, the value of any collateral and, where applicable, the existence of any guarantees or indemnifications.

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Management evaluated the impact of changes in interest rates and overall economic conditions on the ability of borrowers to meet repayment obligations when quantifying the Company’s exposure to credit losses and the allowance for such losses as of each reporting date. Factors also considered by management when performing its assessment, in addition to general economic conditions and the other factors described above, included, but were not limited to: (i) the impact of residential real estate values on the Company’s portfolio of loans to residential real estate builders and developers and other loans secured by residential real estate; (ii) the concentrations of commercial real estate loans in the Company’s loan portfolio; (iii) the amount of commercial and industrial loans to businesses in areas of New York State outside of the New York City metropolitan area and in central Pennsylvania that have historically experienced less economic growth and vitality than the vast majority of other regions of the country; (iv) the repayment performance associated with the Company’s first and second lien loans secured by residential real estate; and (v) the size of the Company’s portfolio of loans to individual consumers, which historically have experienced higher net charge-offs as a percentage of loans outstanding than other loan types. The level of the allowance is adjusted based on the results of management’s analysis.

Management cautiously and conservatively evaluated the allowance for credit losses as of March 31, 2014 in light of: (i) residential real estate values and the level of delinquencies of loans secured by residential real estate; (ii) economic conditions in the markets served by the Company; (iii) continuing weakness in industrial employment in upstate New York and central Pennsylvania; (iv) the significant subjectivity involved in commercial real estate valuations for properties located in areas with stagnant or low growth economies; and (v) the amount of loan growth experienced by the Company. While there has been general improvement in economic conditions, concerns continue to exist about the strength and sustainability of such improvements; the slowly strengthening housing market; the troubled state of financial and credit markets; Federal Reserve positioning of monetary policy; high levels of unemployment; and continued stagnant population growth in the upstate New York and central Pennsylvania regions (approximately 60% of the Company’s loans are to customers in New York State and Pennsylvania).

The Company utilizes a loan grading system which is applied to all commercial and commercial real estate loans. Loan grades are utilized to differentiate risk within the portfolio and consider the expectations of default for each loan. Commercial loans and commercial real estate loans with a lower expectation of default are assigned one of ten possible “pass” loan grades and are generally ascribed lower loss factors when determining the allowance for credit losses. Loans with an elevated level of credit risk are classified as “criticized” and are ascribed a higher loss factor when determining the allowance for credit losses. Criticized loans may be classified as “nonaccrual” if the Company no longer expects to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days or more. Criticized commercial loans and commercial real estate loans were $1.8 billion at each of March 31, 2014 and December 31, 2013, compared with $2.3 billion at March 31, 2013. Loan officers with the support of loan review personnel in different geographic locations are responsible to continuously review and reassign loan grades to pass and criticized loans based on their detailed knowledge of individual borrowers and their judgment of the impact on such borrowers resulting from changing conditions in their respective geographic regions. On a quarterly basis, the Company’s centralized loan review department reviews all criticized commercial and commercial real estate loans greater than $1 million to determine the appropriateness of the assigned loan grade, including whether the loan should be reported as accruing or nonaccruing. For criticized nonaccrual loans, additional meetings are held with loan officers and their managers, workout specialists and senior management to discuss each of the relationships. In analyzing criticized loans, borrower-specific information

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is reviewed, including operating results, future cash flows, recent developments and the borrower’s outlook, and other pertinent data. The timing and extent of potential losses, considering collateral valuation and other factors, and the Company’s potential courses of action are reviewed. To the extent that these loans are collateral-dependent, they are evaluated based on the fair value of the loan’s collateral as estimated at or near the financial statement date. As the quality of a loan deteriorates to the point of classifying the loan as “criticized,” the process of obtaining updated collateral valuation information is usually initiated, unless it is not considered warranted given factors such as the relative size of the loan, the characteristics of the collateral or the age of the last valuation. In those cases where current appraisals may not yet be available, prior appraisals are utilized with adjustments, as deemed necessary, for estimates of subsequent declines in value as determined by line of business and/or loan workout personnel in the respective geographic regions. Those adjustments are reviewed and assessed for reasonableness by the Company’s loan review department. Accordingly, for real estate collateral securing larger commercial and commercial real estate loans, estimated collateral values are based on current appraisals and estimates of value. For non-real estate loans, collateral is assigned a discounted estimated liquidation value and, depending on the nature of the collateral, is verified through field exams or other procedures. In assessing collateral, real estate and non-real estate values are reduced by an estimate of selling costs. With regard to residential real estate loans, the Company’s loss identification and estimation techniques make reference to loan performance and house price data in specific areas of the country where collateral that was securing the Company’s residential real estate loans was located. For residential real estate-related loans, including home equity loans and lines of credit, the excess of the loan balance over the net realizable value of the property collateralizing the loan is charged-off when the loan becomes 150 days delinquent. That charge-off is based on recent indications of value from external parties that are generally obtained shortly after a loan becomes nonaccrual. At March 31, 2014, approximately 55% of the Company’s home equity portfolio consisted of first lien loans and lines of credit. Of the remaining junior lien loans in the portfolio, approximately 75% (or approximately 34% of the aggregate home equity portfolio) consisted of junior lien loans that were behind a first lien mortgage loan that was not owned or serviced by the Company. To the extent known by the Company, if a senior lien loan would be on nonaccrual status because of payment delinquency, even if such senior lien loan was not owned by the Company, the junior lien loan or line that is owned by the Company is placed on nonaccrual status. At each of March 31, 2014 and December 31, 2013, the balance of junior lien loans and lines that were in nonaccrual status solely as a result of first lien loan performance was $30 million, compared with $24 million at March 31, 2013. In monitoring the credit quality of its home equity portfolio for purposes of determining the allowance for credit losses, the Company reviews delinquency and nonaccrual information and considers recent charge-off experience. Additionally, the Company generally evaluates home equity loans and lines of credit that are more than 150 days past due for collectibility on a loan-by-loan basis and the excess of the loan balance over the net realizable value of the property collateralizing the loan is charged-off at that time. In determining the amount of such charge-offs, if the Company does not know the amount of the remaining first lien mortgage loan (typically because the Company does not own or service the first lien loan), the Company assumes that the first lien mortgage loan has had no principal amortization since the origination of the junior lien loan. Similarly, data used in estimating incurred losses for purposes of determining the allowance for credit losses also assumes no reductions in outstanding principal of first lien loans since the origination of the junior lien loan. Home equity line of credit terms vary but such lines are generally originated with an open draw period of ten years followed by an amortization period of up to twenty years. At March 31, 2014, approximately 95% of all outstanding balances of home equity lines of credit related to lines that were still in the draw period, the weighted-

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average remaining draw periods were approximately five years, and approximately 23% were making contractually allowed payments that do not include repayment of principal.

Factors that influence the Company’s credit loss experience include overall economic conditions affecting businesses and consumers, generally, but also residential and commercial real estate valuations, in particular, given the size of the Company’s real estate loan portfolios. Commercial real estate valuations can be highly subjective, as they are based upon many assumptions. Such valuations can be significantly affected over relatively short periods of time by changes in business climate, economic conditions, interest rates and, in many cases, the results of operations of businesses and other occupants of the real property. Similarly, residential real estate valuations can be impacted by housing trends, the availability of financing at reasonable interest rates, and general economic conditions affecting consumers.

In determining the allowance for credit losses, the Company estimates losses attributable to specific troubled credits identified through both normal and detailed or intensified credit review processes and also estimates losses inherent in other loans and leases. In quantifying incurred losses, the Company considers the factors and uses the techniques described herein and in note 4 of Notes to Financial Statements. For purposes of determining the level of the allowance for credit losses, the Company segments its loan and lease portfolio by loan type. The amount of specific loss components in the Company’s loan and lease portfolios is determined through a loan-by-loan analysis of commercial loans and commercial real estate loans in nonaccrual status. Measurement of the specific loss components is typically based on expected future cash flows, collateral values or other factors that may impact the borrower’s ability to pay. Losses associated with residential real estate loans and consumer loans are generally determined by reference to recent charge-off history and are evaluated (and adjusted if deemed appropriate) through consideration of other factors including near-term forecasted loss estimates developed by the Company’s credit department. These forecasts give consideration to overall borrower repayment performance and current geographic region changes in collateral values using third party published historical price indices or automated valuation methodologies. With regard to collateral values, the realizability of such values by the Company contemplates repayment of any first lien position prior to recovering amounts on a junior lien position. Approximately 45% of the Company’s home equity portfolio consists of junior lien loans and lines of credit. The Company generally evaluates residential real estate loans and home equity loans and lines of credit that are more than 150 days past due for collectibility on a loan-by-loan basis and the excess of the loan balance over the net realizable value of the property collateralizing the loan is charged-off at that time. Except for consumer loans and residential real estate loans that are considered smaller balance homogeneous loans and are evaluated collectively and loans obtained in acquisition transactions, the Company considers a loan to be impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days or more and has been placed in nonaccrual status. Those impaired loans are evaluated for specific loss components. Modified loans, including smaller balance homogenous loans, that are considered to be troubled debt restructurings are evaluated for impairment giving consideration to the impact of the modified loan terms on the present value of the loan’s expected cash flows. Loans less than 90 days delinquent are deemed to have a minimal delay in payment and are generally not considered to be impaired. Loans acquired in connection with acquisition transactions subsequent to 2008 were recorded at fair value with no carry-over of any previously recorded allowance for credit losses. Determining the fair value of the acquired loans required estimating cash flows expected to be collected on the loans and discounting those cash flows at then-current interest rates. The impact of estimated future credit losses represents the predominant difference between contractually required payments at acquisition and the cash flows expected to be collected at acquisition. Subsequent decreases to those

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expected cash flows require the Company to evaluate the need for an additional allowance for credit losses and could lead to charge-offs of acquired loan balances. Additional information regarding the Company’s process for determining the allowance for credit losses is included in note 4 of Notes to Financial Statements.

Management believes that the allowance for credit losses at March 31, 2014 appropriately reflected credit losses inherent in the portfolio as of that date. The allowance for credit losses was $917 million, or 1.43% of total loans and leases at each of March 31, 2014 and December 31, 2013, compared with $927 million or 1.41% at March 31, 2013. The ratio of the allowance to total loans and leases at each respective date reflects the impact of loans obtained in acquisition transactions subsequent to 2008 that have been recorded at estimated fair value based on estimated future cash flows expected to be received on those loans. Those cash flows reflect the impact of expected defaults on customer repayment performance. As noted earlier, GAAP prohibits any carry-over of an allowance for credit losses for acquired loans recorded at fair value. The level of the allowance reflects management’s evaluation of the loan and lease portfolio using the methodology and considering the factors as described herein. Should the various credit factors considered by management in establishing the allowance for credit losses change and should management’s assessment of losses inherent in the loan portfolios also change, the level of the allowance as a percentage of loans could increase or decrease in future periods. The ratio of the allowance for credit losses to nonaccrual loans was 103% at March 31, 2014, compared with 88% a year earlier and 105% at December 31, 2013. Given the Company’s general position as a secured lender and its practice of charging off loan balances when collection is deemed doubtful, that ratio and changes in that ratio are generally not an indicative measure of the adequacy of the Company’s allowance for credit losses, nor does management rely upon that ratio in determining the allowance. The level of the allowance reflects management’s evaluation of the loan and lease portfolio as of each respective date.

Other Income

Other income totaled $420 million in the first quarter of 2014, compared with $433 million in the year-earlier quarter and $446 million in the fourth quarter of 2013. The recent quarter total reflected a slowdown in customer activity across most income categories. The largest factor contributing to the decline from the first quarter of 2013 was a $13 million decrease in mortgage banking revenues. As compared with the fourth quarter of 2013, the leading factors for the decline in other income were lower levels of trading account and foreign exchange gains, service charges on deposit accounts and trust income.

Mortgage banking revenues totaled $80 million in the recent quarter, compared with $93 million in the year-earlier quarter, and $82 million in the fourth quarter of 2013. Mortgage banking revenues are comprised of both residential and commercial mortgage banking activities. The Company’s involvement in commercial mortgage banking activities includes the origination, sales and servicing of loans under the multi-family loan programs of Fannie Mae, Freddie Mac and the U.S. Department of Housing and Urban Development.

Residential mortgage banking revenues, consisting of realized gains from sales of residential real estate loans and loan servicing rights, unrealized gains and losses on residential real estate loans held for sale and related commitments, residential real estate loan servicing fees, and other residential real estate loan-related fees and income, were $65 million in the initial 2014 quarter, compared with $76 million in the year-earlier quarter and $60 million in the final 2013 quarter. The decline in residential mortgage banking revenues from the first quarter of 2013 to the recent quarter resulted

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from lower volumes of loans originated for sale. The lower volumes in the recent quarter reflected decreased refinancing activity by consumers in light of a higher interest rate environment. Residential real estate loans originated for sale reflect the Company’s involvement in the U.S. government’s Home Affordable Refinance Program (“HARP 2.0”), which allows homeowners to refinance their Fannie Mae or Freddie Mac mortgages when the value of their home has fallen such that they have little or no equity. The HARP 2.0 program was set to expire December 31, 2013, but was extended and will now be available to borrowers through December 31, 2015. As compared with the final quarter of 2013, the recent quarter’s increase in residential mortgage banking revenues reflects higher servicing revenues largely associated with the Company’s sub-servicing activities.

New commitments to originate residential real estate loans to be sold were approximately $728 million in the recent quarter, compared with $1.9 billion in the initial quarter of 2013 and $807 million in the fourth quarter of 2013. Included in those commitments to originate residential real estate loans to be sold were HARP 2.0 commitments of $95 million, $480 million and $100 million during the quarters ended March 31, 2014, March 31, 2013 and December 31, 2013, respectively. Realized gains from sales of residential real estate loans and loan servicing rights and recognized net unrealized gains or losses attributable to residential real estate loans held for sale, commitments to originate loans for sale and commitments to sell loans totaled to gains of $15 million in each of the first quarter of 2014 and the fourth quarter of 2013, compared with gains of $50 million in the first quarter of 2013.

The Company is contractually obligated to repurchase previously sold loans that do not ultimately meet investor sale criteria related to underwriting procedures or loan documentation. When required to do so, the Company may reimburse purchasers for losses incurred or may repurchase certain loans. The Company reduces residential mortgage banking revenues for losses related to its obligations to loan purchasers. The amount of those charges varies based on the volume of loans sold, the level of reimbursement requests received from loan purchasers and estimates of losses that may be associated with previously sold loans. Residential mortgage banking revenues during the three-month period ended March 31, 2014 were reduced by less than $1 million, compared with similar reductions of $5 million and $4 million during the three-month periods ended March 31 and December 31, 2013, respectively, related to the actual or anticipated settlement of repurchase obligations.

Loans held for sale that are secured by residential real estate totaled $292 million and $1.1 billion at March 31, 2014 and 2013, respectively, and $401 million at December 31, 2013. Commitments to sell residential real estate loans and commitments to originate residential real estate loans for sale at pre-determined rates were $655 million and $522 million, respectively, at March 31, 2014, compared with $2.0 billion and $1.3 billion, respectively, at March 31, 2013, and $725 million and $470 million, respectively, at December 31, 2013. Net unrealized gains on residential real estate loans held for sale, commitments to sell loans, and commitments to originate loans for sale were $17 million and $57 million at March 31, 2014 and March 31, 2013, respectively, and $20 million at December 31, 2013. Changes in such net unrealized gains and losses are recorded in mortgage banking revenues and resulted in net decreases in revenue of $2 million in each of the two most recent quarters, compared with a net decrease in revenue of $26 million in the first quarter of 2013.

Revenues from servicing residential real estate loans for others were $50 million in the recent quarter, compared with $25 million and $46 million during the quarters ended March 31, 2013 and December 31, 2013, respectively. Residential real estate loans serviced for others totaled $73.0 billion at March 31, 2014, $35.8 billion at March 31, 2013 and $72.4 billion at December 31, 2013, including certain small-balance commercial real estate loans of approximately $3.1 billion at March 31, 2014, $3.7 billion at March 31, 2013

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and $3.2 billion at December 31, 2013. Reflected in residential real estate loans serviced for others were loans sub-serviced for others of $47.4 billion, $11.9 billion and $46.6 billion at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. Included in residential real estate loans sub-serviced for others were loans subserviced for affiliates of Bayview Lending Group LLC (“BLG”) of $46.5 billion, $10.9 billion and $45.6 billion at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. During the third quarter of 2013, the Company added approximately $35 billion of residential real estate loans to its portfolio of loans sub-serviced for affiliates of BLG. Revenues earned for sub-servicing loans were $26 million and $3 million for the three-month periods ended March 31, 2014 and 2013, respectively, and $22 million for the three-month period ended December 31, 2013.

Capitalized servicing rights consist largely of servicing associated with loans sold by the Company. Capitalized residential mortgage loan servicing assets, net of any applicable valuation allowance for possible impairment, totaled $123 million at March 31, 2014, compared with $111 million at March 31, 2013 and $129 million at December 31, 2013.

Commercial mortgage banking revenues were $15 million in the recent quarter, compared with $17 million and $22 million in the first and fourth quarters of 2013, respectively. Included in such amounts were revenues from loan origination and sales activities of $7 million and $10 million in the quarters ended March 31, 2014 and 2013, respectively, and $13 million in the final quarter of 2013. Commercial real estate loans originated for sale to other investors totaled approximately $136 million in the first quarter of 2014, compared with $408 million and $510 million in the first and fourth quarters of 2013, respectively. Loan servicing revenues were $8 million in the recent quarter, compared with $7 million and $9 million in the initial quarter of 2013 and the fourth quarter of 2013, respectively. Capitalized commercial mortgage servicing assets aggregated $71 million at March 31, 2014, $63 million at March 31, 2013 and $72 million at December 31, 2013. Commercial real estate loans serviced for other investors totaled $11.2 billion, $10.9 billion and $11.4 billion at March 31, 2014, March 31, 2013 and December 31, 2013, respectively, and included $2.3 billion, $2.1 billion and $2.3 billion, respectively, of loan balances for which investors had recourse to the Company if such balances are ultimately uncollectible. Commitments to sell commercial real estate loans and commitments to originate commercial real estate loans for sale were $190 million and $152 million, respectively, at March 31, 2014, $185 million and $106 million, respectively, at March 31, 2013 and $130 million and $62 million, respectively, at December 31, 2013. Commercial real estate loans held for sale at March 31, 2014, March 31, 2013 and December 31, 2013 were $38 million, $79 million, and $68 million, respectively.

Service charges on deposit accounts totaled $104 million in the first quarter of 2014, compared with $111 million in the year-earlier quarter and $110 million in the final 2013 quarter. The recent quarter’s decline as compared with the earlier periods was largely due to lower consumer service fees. Trust income includes fees related to two significant businesses. The Institutional Client Services (“ICS”) business provides a variety of trustee, agency, investment management and administrative services for corporations and institutions, investment bankers, corporate tax, finance and legal executives, and other institutional clients who: (i) use capital markets financing structures; (ii) use independent trustees to hold retirement plan and other assets; and (iii) need investment and cash management services. The Wealth Advisory Services (“WAS”) business helps high net worth clients grow their wealth, protect it, and transfer it to their heirs. A comprehensive array of wealth management services are offered, including asset management, fiduciary services and family office services. Revenues associated with the ICS business were approximately $57 million, $59 million and $60 million during the quarters ended March 31, 2014, March 31, 2013 and December 31, 2013, respectively.

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Revenues attributable to WAS were approximately $53 million for each of the three-month periods ended March 31, 2014 and December 31, 2013, respectively, and $51 million for the three-month period ended March 31, 2013. In total, trust income aggregated $121 million in the recent quarter, compared with $122 million and $126 million in the first and fourth quarters of 2013. Total trust assets, which include assets under management and assets under administration, aggregated $270.5 billion at March 31, 2014, compared with $263.5 billion and $266.1 billion at March 31, 2013 and December 31, 2013, respectively. Trust assets under management were $65.9 billion, $63.3 billion and $65.1 billion at March 31, 2014, March 31, 2013 and December 31, 2013, respectively. The Company’s proprietary mutual funds had assets of $13.0 billion, $13.3 billion and $12.7 billion at March 31, 2014, March 31, 2013 and December 31, 2013, respectively.

Brokerage services income, which includes revenues from the sale of mutual funds and annuities and securities brokerage fees, totaled $17 million in the recent quarter, compared with $16 million in each of the first and fourth quarters of 2013. Gains from trading account and foreign exchange activity totaled $6 million during the recent quarter, compared with $9 million and $14 million in the first and fourth quarters of 2013, respectively. The decline in such gains in the recent quarter as compared with the immediately preceding quarter was largely due to lower new volumes of interest rate swap agreement transactions executed on behalf of commercial customers. Information about the notional amount of interest rate, foreign exchange and other contracts entered into by the Company for trading account purposes is included in note 10 of Notes to Financial Statements and herein under the heading “Taxable-equivalent Net Interest Income.”

During the first quarter of 2013, the Company recognized net losses on investment securities of $10 million. Those net losses were the result of the other-than-temporary impairment of certain of the Company’s privately issued mortgage-backed securities. There were no net gains or losses on investment securities during the two most recent quarters. Additional information about other-than-temporary impairment losses is included herein under the heading “Capital.”

M&T’s share of the operating losses of BLG in each of the recent quarter and the first quarter of 2013 was $4 million, compared with $6 million in the fourth quarter of 2013. The operating losses of BLG in the respective quarters reflect provisions for losses associated with securitized loans and other loans held by BLG and loan servicing and other administrative costs. Under GAAP, losses on securitized loans are required to be recognized by BLG despite the fact that the losses will ultimately be borne by the underlying third party bond-holders. As these loan losses are realized through later foreclosure and still later sale of real estate collateral, the underlying bonds will ultimately be charged-down leading to BLG’s future recognition of debt extinguishment gains. The timing of such debt extinguishment is difficult to predict and given ongoing loan loss provisioning, it is not possible to project when BLG will return to profitability. As a result of credit and liquidity disruptions, BLG ceased its originations of small-balance commercial real estate loans in 2008. However, as a result of past securitization activities, BLG is entitled to cash flows from mortgage assets that it owns or that are owned by its affiliates and is also entitled to receive distributions from affiliates that provide asset management and other services. Accordingly, the Company believes that BLG is capable of realizing positive cash flows that could be available for distribution to its owners, including M&T, despite a lack of positive GAAP-earnings from its core mortgage activities. To this point, BLG’s affiliates have largely reinvested their earnings to generate additional servicing and asset management activities, further contributing to the value of those affiliates. Information about the Company’s relationship with BLG and its affiliates is included in note 15 of Notes to Financial Statements.

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Other revenues from operations totaled $96 million in each of the first quarters of 2014 and 2013, compared with $104 million in the fourth quarter of 2013. The recent quarter’s decline as compared with the final 2013 quarter was largely attributable to lower fees for providing loan syndication, underwriting and advisory services. Included in other revenues from operations were the following significant components. Letter of credit and other credit-related fees totaled $32 million in each of the recent quarter and the first quarter of 2013, compared with $34 million in the fourth quarter of 2013. Tax-exempt income from bank owned life insurance, which includes increases in the cash surrender value of life insurance policies and benefits received, totaled $12 million during the two most recent quarters, compared with $13 million in the initial quarter of 2013. Revenues from merchant discount and credit card fees were $22 million in each of the two most recent quarters, compared with $20 million in the quarter ended March 31, 2013. Insurance-related sales commissions and other revenues totaled $12 million in the initial quarter of 2014, compared with $13 million in the year-earlier quarter and $10 million in the fourth quarter of 2013.

Other Expense

Other expense totaled $702 million in the first quarter of 2014, compared with $636 million in the year-earlier quarter and $743 million in the final quarter of 2013. Included in those amounts are expenses considered by management to be “nonoperating” in nature consisting of amortization of core deposit and other intangible assets of $10 million in each of the two most recent quarters and $13 million in the first quarter of 2013, and merger-related expenses of $5 million in the three-month period ended March 31, 2013. There were no merger-related expenses in the initial 2014 quarter or in the fourth quarter of 2013. The merger-related expenses in the initial 2013 quarter were incurred in connection with the pending Hudson City acquisition. Those expenses consisted largely of professional services and other temporary help fees associated with the planned conversion of systems and/or integration of operations; initial marketing and promotion expenses designed to introduce M&T Bank to its new customers; travel costs; and printing, postage, supplies and other costs. Exclusive of these nonoperating expenses, noninterest operating expenses totaled $692 million in the recent quarter, compared with $618 million and $733 million in the first and fourth quarters of 2013, respectively. The most significant factors for the higher level of expenses in the first three months of 2014 as compared with the year-earlier period were higher costs for professional services and salaries associated with BSA/AML compliance, capital planning and stress testing, risk management and other operational initiatives. The decline in noninterest operating expenses from the fourth quarter of 2013 was largely due to the impact of a $40 million litigation-related accrual in 2013 and lower professional services costs in 2014 that were partially offset by seasonally higher stock-based compensation and employee benefits expenses. Table 2 provides a reconciliation of other expense to noninterest operating expense.

Salaries and employee benefits expense totaled $371 million in 2014’s initial quarter, compared with $357 million in the year-earlier quarter and $336 million in the fourth quarter of 2013. As compared with the year-earlier quarter, the recent quarter reflects higher costs associated with BSA/AML compliance, capital planning and stress testing, risk management and other operational initiatives. Contributing to the rise in such expenses in the recent quarter as compared with the fourth quarter of 2013 were seasonally higher stock-based compensation, unemployment insurance, payroll-related taxes and the Company’s contributions for retirement savings plan benefits related to annual incentive compensation payments. The Company, in accordance with GAAP, has accelerated the recognition of compensation costs for stock-based awards granted to retirement-eligible employees and employees

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who will become retirement-eligible prior to full vesting of the award. As a result, stock-based compensation expense during the first quarters of 2014 and 2013 included $16 million and $17 million, respectively, that would have been recognized over the normal vesting period if not for the accelerated expense recognition provisions of GAAP. That acceleration had no effect on the value of stock-based compensation awarded to employees. Salaries and employee benefits expense included stock-based compensation of $30 million and $28 million in the quarters ended March 31, 2014 and March 31, 2013, respectively, and $8 million in the quarter ended December 31, 2013. The number of full-time equivalent employees was 15,316 at March 31, 2014, compared with 14,576 and 15,368 at March 31, 2013 and December 31, 2013, respectively.

Excluding the nonoperating expenses described earlier from each quarter, nonpersonnel operating expenses were $321 million and $262 million in the quarters ended March 31, 2014 and March 31, 2013, respectively, and $396 million in the fourth quarter of 2013. The higher level of such expenses in the recent quarter as compared with the year-earlier quarter was due largely to the higher professional services noted associated with BSA/AML compliance, capital planning and stress testing, risk management and other operational initiatives. As compared with the fourth quarter of 2013, the decrease in nonpersonnel operating expenses in the initial 2014 quarter was largely due to the impact of the $40 million litigation-related accrual in the fourth quarter of 2013 and lower professional services expenses. The efficiency ratio measures the relationship of noninterest operating expenses to revenues. The Company’s efficiency ratio was 63.9% in the first quarter of 2014, compared with 55.9% in the year-earlier period and 65.5% in the fourth quarter of 2013.

Income Taxes

The provision for income taxes for the first quarter of 2014 was $113 million, compared with $141 million in the year-earlier quarter and $106 million in the fourth quarter of 2013. The effective tax rates were 33.1%, 34.0% and 32.4% for the quarters ended March 31, 2014, March 31, 2013 and December 31, 2013, respectively. The effective tax rate is affected by the level of income earned that is exempt from tax relative to the overall level of pre-tax income, the level of income allocated to the various state and local jurisdictions where the Company operates, because tax rates differ among such jurisdictions, and the impact of any large but infrequently occurring items.

The Company’s effective tax rate in future periods will be affected by the results of operations allocated to the various tax jurisdictions within which the Company operates, any change in income tax laws or regulations within those jurisdictions, and interpretations of income tax regulations that differ from the Company’s interpretations by any of various tax authorities that may examine tax returns filed by M&T or any of its subsidiaries.

Capital

Shareholders’ equity was $11.9 billion at March 31, 2014, representing 13.43% of total assets, compared with $10.4 billion or 12.59% at March 31, 2013 and $11.3 billion or 13.28% at December 31, 2013.

Included in shareholders’ equity was preferred stock with financial statement carrying values of $1.2 billion at March 31, 2014, $875 million at March 31, 2013 and $882 million at December 31, 2013, respectively. On February 11, 2014, M&T issued 350,000 shares of Series E Perpetual Fixed-to-Floating Rate Non-Cumulative Preferred Stock, par value $1.00 per share and liquidation preference of $1,000 per share. Dividends, if declared, will be paid semi-annually at a rate of 6.45% through February 14, 2024 and

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thereafter will be paid quarterly at a rate of the three-month London Interbank Offered Rate plus 361 basis points. The shares are redeemable in whole or in part on or after February 15, 2024. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence. Further information concerning M&T preferred stock can be found in note 6 on Notes to Financial Statements.

Common shareholders’ equity aggregated $10.6 billion, or $81.05 per share, at March 31, 2014, compared with $9.5 billion, or $73.99 per share, at March 31, 2013 and $10.4 billion, or $79.81 per share, at December 31, 2013. Tangible equity per common share, which excludes goodwill and core deposit and other intangible assets and applicable deferred tax balances, was $53.92 at March 31, 2014, $46.11 at March 31, 2013 and $52.45 at December 31, 2013. The Company’s ratio of tangible common equity to tangible assets was 8.34% at March 31, 2014, compared with 7.51% a year earlier and 8.39% at December 31, 2013. Reconciliations of total common shareholders’ equity and tangible common equity and total assets and tangible assets as of each of those respective dates are presented in table 2.

Shareholders’ equity reflects accumulated other comprehensive income or loss, which includes the net after-tax impact of unrealized gains or losses on investment securities classified as available for sale, unrealized losses on held-to-maturity securities for which an other-than-temporary impairment charge has been recognized, gains or losses associated with interest rate swap agreements designated as cash flow hedges, foreign currency translation adjustments and adjustments to reflect the funded status of defined benefit pension and other postretirement plans. Net unrealized gains on investment securities, net of applicable tax effect, were $72 million, or $.55 per common share, at March 31, 2014, compared with net unrealized gains of $47 million, or $.36 per common share, at March 31, 2013 and $34 million, or $.26 per common share, at December 31, 2013. Information about unrealized gains and losses as of March 31, 2014 and December 31, 2013 is included in note 3 of Notes to Financial Statements.

Reflected in net unrealized gains at March 31, 2014 were pre-tax effect unrealized losses of $26 million on available-for-sale investment securities with an amortized cost of $1.9 billion and pre-tax effect unrealized gains of $175 million on securities with an amortized cost of $4.1 billion. The pre-tax effect unrealized losses reflect $18 million of losses on trust preferred securities issued by financial institutions having an amortized cost of $123 million and an estimated fair value of $105 million (generally considered Level 2 valuations). Further information concerning the Company’s valuations of available-for-sale investment securities is provided in note 12 of Notes to Financial Statements.

The Company assesses impairment losses on privately issued mortgage-backed securities in the held-to-maturity portfolio by performing internal modeling to estimate bond-specific cash flows that reflect the placement of the bond in the overall securitization structure and the remaining subordination levels. As a result, the Company did not recognize any other-than-temporary impairment charge related to mortgage-backed securities in the held-to-maturity portfolio during the initial quarter of 2014. In total, at March 31, 2014 and December 31, 2013, the Company had in its held-to-maturity portfolio privately issued mortgage-backed securities with an amortized cost basis of $216 million and $220 million, respectively, and a fair value of $164 million and $159 million, respectively. At March 31, 2014, 90% of the mortgage-backed securities were in the most senior tranche of the securitization structure with 33% being independently rated as investment grade. The mortgage-backed securities had a weighted-average credit enhancement of 20% at March 31, 2014, calculated by dividing the remaining unpaid principal balance of bonds subordinate to the bonds owned by the Company plus any overcollateralization remaining in the securitization structure by the remaining unpaid principal balance of all bonds in the

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securitization structure. All mortgage-backed securities in the held-to-maturity portfolio had a current payment status as of March 31, 2014.

During the first quarter of 2013, the Company recognized $10 million (pre-tax) of other-than-temporary impairment losses related to privately issued mortgage-backed securities held in the available-for-sale portfolio. In assessing impairment losses for debt securities, the Company performed internal modeling to estimate bond-specific cash flows, which considered the placement of the bond in the overall securitization structure and the remaining levels of subordination.

As of March 31, 2014, based on a review of each of the remaining securities in the investment securities portfolio, the Company concluded that the declines in the values of any securities containing an unrealized loss were temporary and that any additional other-than-temporary impairment charges were not appropriate. It is possible that the Company may be required to sell certain of its collateralized debt obligations backed by trust preferred securities held in the available-for-sale portfolio to comply with the provisions of the Volcker Rule. However, the amortized cost and fair value of those collateralized debt obligations were $33 million and $45 million, respectively, at March 31, 2014 and the Company did not expect that it would realize any material losses if it ultimately was required to sell such securities. As of that date, the Company did not intend to sell nor is it anticipated that it would be required to sell any of its other impaired securities, that is, where fair value is less than the cost basis of the security. The Company intends to continue to closely monitor the performance of its securities because changes in their underlying credit performance or other events could cause the cost basis of those securities to become other-than-temporarily impaired. However, because the unrealized losses on available-for-sale investment securities have generally already been reflected in the financial statement values for investment securities and shareholders’ equity, any recognition of an other-than-temporary decline in value of those investment securities would not have a material effect on the Company’s consolidated financial condition. Any other-than-temporary impairment charge related to held-to-maturity securities would result in reductions in the financial statement values for investment securities and shareholders’ equity. Additional information concerning fair value measurements and the Company’s approach to the classification of such measurements is included in note 12 of the Notes to Financial Statements.

Adjustments to reflect the funded status of defined benefit pension and other postretirement plans, net of applicable tax effect, reduced accumulated other comprehensive income by $97 million, or $.74 per common share, at March 31, 2014, $98 million, or $.75 per common share, at December 31, 2013, and $272 million, or $2.11 per common share, at March 31, 2013.

Cash dividends declared on M&T’s common stock during the quarters ended March 31, 2014 and December 31, 2013 totaled $92 million, compared with $91 million in the quarter ended March 31, 2013, and represented a quarterly dividend payment of $.70 per common share in each of those three quarters.

Cash dividends declared on preferred stock are detailed below. There were no cash dividends declared in the first quarter of 2014 on the Series E Preferred Stock issued in February 2014.

	First Quarter		First Quarter		Fourth Quarter
	2014		2013		2013
	(in thousands)
Series A	$	3,666		2,875		2,875
Series C		2,414		1,894		1,894
Series D		8,594		8,594		8,594
Total	$	14,674		13,363		13,363

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The Company did not repurchase any shares of its common stock during 2013 or the first quarter of 2014.

Federal regulators generally require banking institutions under the current Basel I rules to maintain “Tier 1 capital” and “total capital” ratios of at least 4% and 8%, respectively, of risk-adjusted total assets. In addition to the risk-based measures, Federal bank regulators have also implemented a minimum “leverage” ratio guideline of 3% of the quarterly average of total assets. As of March 31, 2014, Tier 1 capital included trust preferred securities of $804 million as described in note 5 of Notes to Financial Statements and total capital further included subordinated capital notes of $1.4 billion. As previously noted, pursuant to the Dodd-Frank Act, trust preferred securities will be phased-out of the definition of Tier 1 capital of bank holding companies beginning in 2015. On February 27, 2014, M&T redeemed $350 million of 8.50% Enhanced Trust Preferred Securities and the associated junior subordinated debentures.

The regulatory capital ratios of the Company, M&T Bank and Wilmington Trust, N.A. as of March 31, 2014 are presented in the accompanying table.

REGULATORY CAPITAL RATIOS

March 31, 2014

	M&T		M&T		Wilmington
	(Consolidated)		Bank		Trust, N.A.
Tier 1 capital		12.22%		10.20%		57.72%
Total capital		15.30%		13.10%		58.36%
Tier 1 leverage		10.85%		9.10%		20.77%

On March 27, 2014, M&T announced that the Federal Reserve did not object to M&T’s proposed 2014 Capital Plan. Accordingly, M&T may maintain a quarterly common stock dividend of $.70 per share; pay dividends and interest on other equity and debt instruments included in regulatory capital, including preferred stock, trust preferred securities and subordinated debt that were outstanding at December 31, 2013, consistent with the contractual terms of those instruments; and redeem or repurchase up to $50 million of subordinated debt. Common and preferred dividends are subject to approval by M&T’s Board of Directors in the ordinary course of business.

Segment Information

As required by GAAP, the Company’s reportable segments have been determined based upon its internal profitability reporting system, which is organized by strategic business unit. Financial information about the Company’s segments is presented in note 14 of Notes to Financial Statements.

The Business Banking segment’s net income aggregated $29 million in the first quarter of 2014, down 12% from the $33 million earned in the first three months of 2013, but 34% above the $21 million recorded in 2013’s fourth quarter. The decline from the year-earlier quarter reflects lower net interest income of $3 million and increased costs associated with the allocation of expenses related to BSA/AML compliance, risk management, and other operational initiatives across the Company. The decline in net interest income reflects a 33 basis point narrowing of the net interest margin on deposits, partially offset by increases in average outstanding deposit and loan balances of $429 million (predominantly noninterest-bearing) and $259 million, respectively. As compared with the fourth quarter of 2013, the improvement in net income reflects a decreased allocation of expenses regarding the above noted Company-wide initiatives, primarily in connection with BSA/AML consulting expenses, and a decrease in the provision for credit losses of $3 million, the result of lower net charge-offs. Those favorable

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factors were partially offset by lower net interest income of $6 million, the result of a 16 basis point narrowing of the net interest margin on deposits and a decrease in average outstanding deposit balances.

Net income earned by the Commercial Banking segment totaled $100 million in each of the two most recent quarters, compared with $107 million recorded in the first quarter of 2013. The main factor contributing to the recent quarter’s decline in net income as compared with 2013’s first quarter was an increase in the provision for credit losses of $12 million, largely the result of increased net charge-offs. As compared with the final 2013 quarter, decreased costs during the recent quarter that reflect the allocation of expenses related to operational initiatives across the Company were largely offset by a decline in net interest income of $4 million and a decrease in trading account and foreign exchange gains of $8 million. The lower net interest income was attributable to the narrowing of the net interest margin on deposits of 17 basis points, partially offset by an increase in average outstanding loan balances of $473 million and a 4 basis point widening of the net interest margin on loans. The lower trading account and foreign exchange gains resulted from lower volumes of interest rate swap agreements initiated on behalf of customers.

The Commercial Real Estate segment contributed net income of $75 million during the quarter ended March 31, 2014, compared with $77 million in the year-earlier quarter and $76 million in the fourth quarter of 2013. The modest decline in the recent quarter’s net income as compared with the initial 2013 quarter reflects a $3 million decrease in net interest income, attributable to a 38 basis point narrowing of the net interest margin on deposits and lower average outstanding loan balances of $93 million partially offset by an increase of $526 million of average outstanding deposits, and a $2 million decrease in commercial mortgage banking revenues, the result of lower volumes of commercial real estate loans originated for sale. Those unfavorable factors were partially offset by a $4 million decrease in the provision for credit losses, the result of lower net charge-offs. The unfavorable factors that contributed to the 2% decline in net income as compared with the final 2013 quarter were a $9 million decrease in net interest income, the result of a narrowing of the net interest margin on loans and deposits of 4 basis points and 22 basis points, respectively, combined with lower average outstanding loan balances of $227 million, and a $7 million decrease in commercial mortgage banking revenues resulting from lower volumes of loans originated for sale. Those factors were offset, in part, by a $6 million decrease in the provision for credit losses, due to lower net charge-offs, and an overall decrease in expenses associated with the allocation of expenses related to BSA/AML compliance, risk management, and other operational initiatives across the Company.

The Discretionary Portfolio segment earned net income of $11 million in each of the two most recent quarters, compared with $2 million in the first quarter of 2013. Included in the results of the year-earlier quarter was a pre-tax other-than-temporary impairment charge (relating to certain privately issued mortgage-backed securities) of $10 million. In addition to that impairment charge, the favorable performance in the recent quarter as compared with the year-earlier quarter reflects a $3 million reduction in the provision for credit losses, the result of lower net charge-offs. The recent quarter’s net income was relatively unchanged as compared with the fourth quarter of 2013. A $3 million increase in net interest income, largely the result of a 9 basis point widening of the net interest margin and $418 million increase in average outstanding loan balances, was largely offset by a $2 million increase in the provision for credit losses.

Net contribution from the Residential Mortgage Banking segment totaled $19 million in the recent quarter, down 44% from $34 million in the year-earlier quarter, but 7% higher than the $18 million recorded in the fourth quarter of 2013. The following unfavorable factors were the main

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contributors to the recent quarter’s decline as compared with the year-earlier quarter: a $35 million decrease in revenues from residential mortgage origination and sales activities (including intersegment revenues), due to lower origination volumes; a $3 million decrease in net interest income, largely from lower average outstanding loans; and increased personnel and professional services costs associated with residential mortgage loan sub-servicing activities. Those factors were partially offset by a $13 million rise in revenues from servicing residential real estate loans predominantly the result of the increased sub-servicing activities. Comparing the recent quarter’s results with 2013’s fourth quarter, decreased personnel costs and other operating expenses were largely offset by a $5 million decrease in net interest income, resulting from lower average outstanding loans and deposits of $147 million and $264 million, respectively, along with a 33 basis point narrowing of the net interest margin on loans.

Net income earned by the Retail Banking segment totaled $30 million in 2014’s initial quarter, down 43% from the $52 million earned in the three-month period ended March 31, 2013, but 20% higher than the $25 million earned in the fourth quarter of 2013. Factors contributing to the recent quarter’s decline in net income as compared with the first quarter of 2013 included: a $25 million decline in net interest income, which reflected a 27 basis point narrowing of the net interest margin on deposits and a decrease in average outstanding loans of $1.2 billion; a $7 million reduction in fees earned for providing deposit account services, primarily due to lower volumes of consumer service charges and debit card activity; and higher noninterest operating expenses, including allocated costs related to BSA/AML compliance, risk management, and other operational initiatives. The recent quarter’s favorable performance as compared with the immediately preceding quarter was largely attributable to a decrease in the noninterest operating expenses, largely related to professional services which reflected the front-end spending in 2013 tied to the BSA/AML, capital planning and stress testing and other initiatives. That factor was partially offset by a $13 million decline in net interest income, resulting from a 16 basis point narrowing of the net interest margin on deposits partially offset by higher average deposit balances of $319 million, a $9 million reduction in fees earned for providing deposit account services, and an increase in the provision for credit losses of $5 million, due to higher net charge-offs.

The “All Other” category reflects other activities of the Company that are not directly attributable to the reported segments. Reflected in this category are the amortization of core deposit and other intangible assets resulting from the acquisitions of financial institutions, M&T’s share of the operating losses of BLG, merger-related gains and expenses related to acquisitions of financial institutions and the net impact of the Company’s allocation methodologies for internal transfers for funding charges and credits associated with the earning assets and interest-bearing liabilities of the Company’s reportable segments and the provision for credit losses. The “All Other” category also includes the trust activities of the Company. The various components of the “All Other” category resulted in net losses totaling $34 million for the quarter ended March 31, 2014, $31 million in the first quarter of 2013, and $29 million in the fourth quarter 2013. The declined performance in the recent quarter as compared with the year-earlier period was attributable to higher personnel-related and professional services costs that were partially offset by the favorable impact from the Company’s allocation methodologies for internal transfers for funding charges and credits associated with the earning assets and interest-bearing liabilities of the Company’s reportable segments and the provision for credit losses. The $40 million litigation accrual that was recorded in the final 2013 quarter was largely offset by higher personnel costs in the first quarters of 2014 and 2013 that were related to seasonally higher stock-based compensation, payroll-related taxes, unemployment insurance and employer contributions for retirement savings plan benefits related to incentive compensation payments.

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Recent Accounting Developments

In January 2014, the Financial Accounting Standards Board (“FASB”) issued amended accounting and disclosure guidance for reclassification of residential real estate collateralized consumer mortgage loans upon foreclosure. The amended guidance clarifies that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. The amended guidance also requires interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. This guidance is effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. This guidance should be applied using a prospective transition method or a modified retrospective transition method. The Company does not expect the guidance to have a material impact on its financial position or results of operations.

In January 2014, the FASB issued amended accounting guidance permitting an accounting policy election to account for investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense. The decision to apply the proportional amortization method of accounting is an accounting policy election that should be applied consistently to all qualifying affordable housing project investments. This guidance is effective for annual periods, and interim reporting periods within those annual periods, beginning after December 15, 2014. This guidance should be applied retrospectively to all periods presented. The Company is still evaluating the impact the guidance could have on its consolidated financial statements.

Forward-Looking Statements

Management’s Discussion and Analysis of Financial Condition and Results of Operations and other sections of this quarterly report contain forward-looking statements that are based on current expectations, estimates and projections about the Company’s business, management’s beliefs and assumptions made by management. Forward-looking statements are typically identified by words such as “believe,” “expect,” “anticipate,” “intend,” “target,” “estimate,” “continue,” “positions,” “prospects” or “potential,” by future conditional verbs such as “will,” “would,” “should,” “could,” or “may,” or by variations of such words or by similar expressions. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions (“Future Factors”) which are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. Forward-looking statements speak only as of the date they are made and the Company assumes no duty to update forward-looking statements.

Future Factors include changes in interest rates, spreads on earning assets and interest-bearing liabilities, and interest rate sensitivity; prepayment speeds, loan originations, credit losses and market values of loans, collateral securing loans and other assets; sources of liquidity; common shares outstanding; common stock price volatility; fair value of and

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number of stock-based compensation awards to be issued in future periods; the impact of changes in market values on trust-related revenues; legislation and/or regulation affecting the financial services industry as a whole, and M&T and its subsidiaries individually or collectively, including tax legislation or regulation; regulatory supervision and oversight, including monetary policy and capital requirements; changes in accounting policies or procedures as may be required by the FASB or other regulatory agencies; increasing price and product/service competition by competitors, including new entrants; rapid technological developments and changes; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; the mix of products/services; containing costs and expenses; governmental and public policy changes; protection and validity of intellectual property rights; reliance on large customers; technological, implementation and cost/financial risks in large, multi-year contracts; the outcome of pending and future litigation and governmental proceedings, including tax-related examinations and other matters; continued availability of financing; financial resources in the amounts, at the times and on the terms required to support M&T and its subsidiaries’ future businesses; and material differences in the actual financial results of merger, acquisition and investment activities compared with M&T’s initial expectations, including the full realization of anticipated cost savings and revenue enhancements.

These are representative of the Future Factors that could affect the outcome of the forward-looking statements. In addition, such statements could be affected by general industry and market conditions and growth rates, general economic and political conditions, either nationally or in the states in which M&T and its subsidiaries do business, including interest rate and currency exchange rate fluctuations, changes and trends in the securities markets, and other Future Factors.

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M&T BANK CORPORATION AND SUBSIDIARIES

Table 1

QUARTERLY TRENDS

	2014			2013 Quarters
	First Quarter			Fourth			Third			Second			First
Earnings and dividends
Amounts in thousands, except per share
Interest income (taxable-equivalent basis)	$	728,897			740,665			748,791			756,424			736,425
Interest expense		66,519			67,982			69,578			72,620			73,925
Net interest income		662,378			672,683			679,213			683,804			662,500
Less: provision for credit losses		32,000			42,000			48,000			57,000			38,000
Other income		420,107			446,246			477,388			508,689			432,882
Less: other expense		702,271			743,072			658,626			598,591			635,596
Income before income taxes		348,214			333,857			449,975			536,902			421,786
Applicable income taxes		113,252			106,236			149,391			182,219			141,223
Taxable-equivalent adjustment		5,945			6,199			6,105			6,217			6,450
Net income	$	229,017			221,422			294,479			348,466			274,113
Net income available to common shareholders-diluted	$	211,731			203,451			275,356			328,557			255,096
Per common share data
Basic earnings	$	1.63			1.57			2.13			2.56			2.00
Diluted earnings		1.61			1.56			2.11			2.55			1.98
Cash dividends	$	.70			.70			.70			.70			.70
Average common shares outstanding
Basic		130,212			129,497			129,171			128,252			127,669
Diluted		131,126			130,464			130,265			129,017			128,636
Performance ratios, annualized
Return on
Average assets		1.07	%		1.03	%		1.39	%		1.68	%		1.36	%
Average common shareholders’ equity		8.22	%		7.99	%		11.06	%		13.78	%		11.10	%
Net interest margin on average earning assets (taxable-equivalent basis)		3.52	%		3.56	%		3.61	%		3.71	%		3.71	%
Nonaccrual loans to total loans and leases, net of unearned discount		1.39	%		1.36	%		1.44	%		1.46	%		1.60	%
Net operating (tangible) results (a)
Net operating income (in thousands)	$	235,162			227,797			300,968			360,734			285,136
Diluted net operating income per common share		1.66			1.61			2.16			2.65			2.06
Annualized return on
Average tangible assets		1.15	%		1.11	%		1.48	%		1.81	%		1.48	%
Average tangible common shareholders’ equity		12.76	%		12.67	%		17.64	%		22.72	%		18.71	%
Efficiency ratio (b)		63.95	%		65.48	%		56.03	%		50.92	%		55.88	%
Balance sheet data
In millions, except per share
Average balances
Total assets (c)	$	86,665			85,330			84,011			83,352			81,913
Total tangible assets (c)		83,096			81,754			80,427			79,760			78,311
Earning assets		76,288			75,049			74,667			73,960			72,339
Investment securities		9,265			8,354			6,979			5,293			5,803
Loans and leases, net of unearned discount		63,763			63,550			64,858			65,979			65,852
Deposits		67,327			67,212			66,232			65,680			64,540
Common shareholders’ equity (c)		10,576			10,228			10,003			9,687			9,448
Tangible common shareholders’ equity (c)		7,007			6,652			6,419			6,095			5,846
At end of quarter
Total assets (c)	$	88,530			85,162			84,427			83,229			82,812
Total tangible assets (c)		84,965			81,589			80,847			79,641			79,215
Earning assets		77,950			74,706			74,085			73,927			73,543
Investment securities		10,364			8,796			8,310			5,211			5,661
Loans and leases, net of unearned discount		64,135			64,073			63,659			65,972			65,924
Deposits		68,699			67,119			66,552			65,661			65,090
Common shareholders’ equity, net of undeclared cumulative preferred dividends (c)		10,652			10,421			10,133			9,836			9,545
Tangible common shareholders’ equity (c)		7,087			6,848			6,553			6,248			5,948
Equity per common share		81.05			79.81			77.81			75.98			73.99
Tangible equity per common share		53.92			52.45			50.32			48.26			46.11
Market price per common share
High	$	123.04			117.29			119.54			112.01			105.90
Low		109.16			109.23			109.47			95.68			99.59
Closing		121.30			116.42			111.92			111.75			103.16

(a) Excludes amortization and balances related to goodwill and core deposit and other intangible assets and merger-related gains and expenses which, except in the calculation of the efficiency ratio, are net of applicable income tax effects. A reconciliation of net income and net operating income appears in Table 2.

(b) Excludes impact of merger-related gains and expenses and net securities transactions.

(c) The difference between total assets and total tangible assets, and common shareholders’ equity and tangible common shareholders’ equity, represents goodwill, core deposit and other intangible assets, net of applicable deferred tax balances. A reconciliation of such balances appears in Table 2.

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M&T BANK CORPORATION AND SUBSIDIARIES

Table 2

RECONCILIATION OF QUARTERLY GAAP TO NON-GAAP MEASURES

	2014			2013 Quarters
	First Quarter			Fourth			Third			Second			First
Income statement data
In thousands, except per share
Net income
Net income	$	229,017			221,422			294,479			348,466			274,113
Amortization of core deposit and other intangible assets (a)		6,145			6,375			6,489			7,632			8,148
Merger-related expenses (a)		—			—			—			4,636			2,875
Net operating income	$	235,162			227,797			300,968			360,734			285,136
Earnings per common share
Diluted earnings per common share	$	1.61			1.56			2.11			2.55			1.98
Amortization of core deposit and other intangible assets (a)		.05			.05			.05			.06			.06
Merger-related expenses (a)		—			—			—			.04			.02
Diluted net operating earnings per common share	$	1.66			1.61			2.16			2.65			2.06
Other expense
Other expense	$	702,271			743,072			658,626			598,591			635,596
Amortization of core deposit and other intangible assets		(10,062	)		(10,439	)		(10,628	)		(12,502	)		(13,343	)
Merger-related expenses		—			—			—			(7,632	)		(4,732	)
Noninterest operating expense	$	692,209			732,633			647,998			578,457			617,521
Merger-related expenses
Salaries and employee benefits	$	—			—			—			300			536
Equipment and net occupancy		—			—			—			489			201
Printing, postage and supplies		—			—			—			998			827
Other costs of operations		—			—			—			5,845			3,168
Total	$	—			—			—			7,632			4,732
Efficiency ratio
Noninterest operating expense (numerator)	$	692,209			732,633			647,998			578,457			617,521
Taxable-equivalent net interest income		662,378			672,683			679,213			683,804			662,500
Other income		420,107			446,246			477,388			508,689			432,882
Less: Gain on bank investment securities		—			—			—			56,457			—
Net OTTI losses recognized in earnings		—			—			—			—			(9,800	)
Denominator	$	1,082,485			1,118,929			1,156,601			1,136,036			1,105,182
Efficiency ratio		63.95	%		65.48	%		56.03	%		50.92	%		55.88	%
Balance sheet data
In millions
Average assets
Average assets	$	86,665			85,330			84,011			83,352			81,913
Goodwill		(3,525	)		(3,525	)		(3,525	)		(3,525	)		(3,525	)
Core deposit and other intangible assets		(64	)		(74	)		(84	)		(95	)		(109	)
Deferred taxes		20			23			25			28			32
Average tangible assets	$	83,096			81,754			80,427			79,760			78,311
Average common equity
Average total equity	$	11,648			11,109			10,881			10,563			10,322
Preferred stock		(1,072	)		(881	)		(878	)		(876	)		(874	)
Average common equity		10,576			10,228			10,003			9,687			9,448
Goodwill		(3,525	)		(3,525	)		(3,525	)		(3,525	)		(3,525	)
Core deposit and other intangible assets		(64	)		(74	)		(84	)		(95	)		(109	)
Deferred taxes		20			23			25			28			32
Average tangible common equity	$	7,007			6,652			6,419			6,095			5,846
At end of quarter
Total assets
Total assets	$	88,530			85,162			84,427			83,229			82,812
Goodwill		(3,525	)		(3,525	)		(3,525	)		(3,525	)		(3,525	)
Core deposit and other intangible assets		(59	)		(69	)		(79	)		(90	)		(102	)
Deferred taxes		19			21			24			27			30
Total tangible assets	$	84,965			81,589			80,847			79,641			79,215
Total common equity
Total equity	$	11,887			11,306			11,016			10,716			10,423
Preferred stock		(1,232	)		(882	)		(879	)		(877	)		(875	)
Undeclared dividends - cumulative preferred stock		(3	)		(3	)		(4	)		(3	)		(3	)
Common equity, net of undeclared cumulative preferred dividends		10,652			10,421			10,133			9,836			9,545
Goodwill		(3,525	)		(3,525	)		(3,525	)		(3,525	)		(3,525	)
Core deposit and other intangible assets		(59	)		(69	)		(79	)		(90	)		(102	)
Deferred taxes		19			21			24			27			30
Total tangible common equity	$	7,087			6,848			6,553			6,248			5,948

(a) After any related tax effect.

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M&T BANK CORPORATION AND SUBSIDIARIES

Table 3

AVERAGE BALANCE SHEETS AND ANNUALIZED TAXABLE-EQUIVALENT RATES

	2014 First Quarter								2013 Fourth Quarter								2013 Third Quarter
	Average					Average			Average					Average			Average					Average
Average balance in millions; interest in thousands	Balance			Interest		Rate			Balance			Interest		Rate			Balance			Interest		Rate
Assets
Earning assets
Loans and leases, net of unearned discount*
Commercial, financial, etc.	$	18,476		$	153,529		3.37	%		18,096			155,396		3.41	%		17,798			156,915		3.50	%
Real estate - commercial		26,143			287,584		4.40			26,231			300,225		4.48			26,129			301,178		4.51
Real estate - consumer		8,844			92,533		4.19			8,990			94,436		4.20			9,636			100,364		4.17
Consumer		10,300			116,631		4.59			10,233			118,554		4.60			11,295			130,179		4.57
Total loans and leases, net		63,763			650,277		4.14			63,550			668,611		4.17			64,858			688,636		4.21
Interest-bearing deposits at banks		3,089			1,884		.25			2,948			1,829		.25			2,646			1,650		.25
Federal funds sold and agreements to resell securities		100			16		.07			115			20		.07			117			22		.08
Trading account		71			477		2.68			82			280		1.36			67			211		1.27
Investment securities**
U.S. Treasury and federal agencies		8,286			64,814		3.17			7,349			60,150		3.25			5,948			48,406		3.23
Obligations of states and political subdivisions		177			2,269		5.20			186			2,436		5.20			193			2,460		5.07
Other		802			9,160		4.63			819			7,339		3.56			838			7,406		3.51
Total investment securities		9,265			76,243		3.34			8,354			69,925		3.32			6,979			58,272		3.31
Total earning assets		76,288			728,897		3.87			75,049			740,665		3.92			74,667			748,791		3.98
Allowance for credit losses		(923	)							(925	)							(935	)
Cash and due from banks		1,322								1,417								1,374
Other assets		9,978								9,789								8,905
Total assets	$	86,665								85,330								84,011
Liabilities and shareholders’ equity
Interest-bearing liabilities
Interest-bearing deposits
NOW accounts	$	988			297		.12			933			311		.13			924			333		.14
Savings deposits		38,358			11,601		.12			38,079			13,388		.14			36,990			13,733		.15
Time deposits		3,460			3,940		.46			3,617			4,630		.51			3,928			6,129		.62
Deposits at Cayman Islands office		380			208		.22			414			217		.21			392			213		.22
Total interest-bearing deposits		43,186			16,046		.15			43,043			18,546		.17			42,234			20,408		.19
Short-term borrowings		264			32		.05			287			45		.06			299			58		.08
Long-term borrowings		5,897			50,441		3.47			5,009			49,391		3.91			5,010			49,112		3.89
Total interest-bearing liabilities		49,347			66,519		.55			48,339			67,982		.56			47,543			69,578		.58
Noninterest-bearing deposits		24,141								24,169								23,998
Other liabilities		1,529								1,713								1,589
Total liabilities		75,017								74,221								73,130
Shareholders’ equity		11,648								11,109								10,881
Total liabilities and shareholders’ equity	$	86,665								85,330								84,011
Net interest spread							3.32								3.36								3.40
Contribution of interest-free funds							.20								.20								.21
Net interest income/margin on earning assets				$	662,378		3.52	%					672,683		3.56	%					679,213		3.61	%

*       Includes nonaccrual loans.	(continued)
**     Includes available-for-sale securities at amortized cost.

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M&T BANK CORPORATION AND SUBSIDIARIES

Table 3 (continued)

AVERAGE BALANCE SHEETS AND ANNUALIZED TAXABLE-EQUIVALENT RATES (continued)

	2013 Second Quarter								2013 First Quarter
	Average					Average			Average					Average
Average balance in millions; interest in thousands	Balance			Interest		Rate			Balance			Interest		Rate
Assets
Earning assets
Loans and leases, net of unearned discount*
Commercial, financial, etc.	$	17,713		$	159,639		3.61	%		17,328			156,204		3.66	%
Real estate - commercial		26,051			311,111		4.72			25,915			285,886		4.41
Real estate - consumer		10,806			109,356		4.05			11,142			113,939		4.09
Consumer		11,409			130,418		4.58			11,467			131,811		4.66
Total loans and leases, net		65,979			710,524		4.32			65,852			687,840		4.24
Interest-bearing deposits at banks		2,403			1,455		.24			527			267		.21
Federal funds sold and agreements to resell securities		199			46		.09			81			26		.13
Trading account		86			309		1.43			76			682		3.60
Investment securities**
U.S. Treasury and federal agencies		3,522			28,454		3.24			3,623			28,869		3.23
Obligations of states and political subdivisions		197			2,530		5.14			200			2,573		5.21
Other		1,574			13,106		3.34			1,980			16,168		3.31
Total investment securities		5,293			44,090		3.34			5,803			47,610		3.33
Total earning assets		73,960			756,424		4.10			72,339			736,425		4.13
Allowance for credit losses		(937	)							(932	)
Cash and due from banks		1,326								1,403
Other assets		9,003								9,103
Total assets	$	83,352								81,913
Liabilities and shareholders’ equity
Interest-bearing liabilities
Interest-bearing deposits
NOW accounts	$	941			321		.14			893			322		.15
Savings deposits		36,459			13,790		.15			35,394			14,037		.16
Time deposits		4,210			7,484		.71			4,438			8,196		.75
Deposits at Cayman Islands office		326			200		.25			859			388		.18
Total interest-bearing deposits		41,936			21,795		.21			41,584			22,943		.22
Short-term borrowings		343			96		.11			637			231		.15
Long-term borrowings		5,051			50,729		4.03			4,688			50,751		4.39
Total interest-bearing liabilities		47,330			72,620		.62			46,909			73,925		.64
Noninterest-bearing deposits		23,744								22,956
Other liabilities		1,715								1,726
Total liabilities		72,789								71,591
Shareholders’ equity		10,563								10,322
Total liabilities and shareholders’ equity	$	83,352								81,913
Net interest spread							3.48								3.49
Contribution of interest-free funds							.23								.22
Net interest income/margin on earning assets				$	683,804		3.71	%					662,500		3.71	%

* Includes nonaccrual loans.

** Includes available-for-sale securities at amortized cost.

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Item 3. Quantitative and Qualitative Disclosures About Market Risk.

Incorporated by reference to the discussion contained under the caption “Taxable-equivalent Net Interest Income” in Part I, Item 2, “Management’s Discussion and Analysis of Financial Condition and Results of Operations.”

Item 4. Controls and Procedures.

(a) Evaluation of disclosure controls and procedures. Based upon their evaluation of the effectiveness of M&T’s disclosure controls and procedures (as defined in Exchange Act rules 13a-15(e) and 15d-15(e)), Robert G. Wilmers, Chairman of the Board and Chief Executive Officer, and René F. Jones, Executive Vice President and Chief Financial Officer, concluded that M&T’s disclosure controls and procedures were effective as of March 31, 2014.

(b) Changes in internal control over financial reporting. M&T regularly assesses the adequacy of its internal control over financial reporting and enhances its controls in response to internal control assessments and internal and external audit and regulatory recommendations. No changes in internal control over financial reporting have been identified in connection with the evaluation of disclosure controls and procedures during the quarter ended March 31, 2014 that have materially affected, or are reasonably likely to materially affect, M&T’s internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings.

M&T and its subsidiaries are subject in the normal course of business to various pending and threatened legal proceedings in which claims for monetary damages are asserted. On an on-going basis management, after consultation with legal counsel, assesses the Company’s liabilities and contingencies in connection with such legal proceedings. For those matters where it is probable that the Company will incur losses and the amounts of the losses can be reasonably estimated, the Company records an expense and corresponding liability in its consolidated financial statements. To the extent the pending or threatened litigation could result in exposure in excess of that liability, the amount of such excess is not currently estimable. Although not considered probable, the range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, was between $0 and $50 million. Although the Company does not believe that the outcome of pending litigations will be material to the Company’s consolidated financial position, it cannot rule out the possibility that such outcomes will be material to the consolidated results of operations for a particular reporting period in the future.

Wilmington Trust Corporation Investigative and Litigation Matters

M&T’s Wilmington Trust Corporation (“Wilmington Trust”) subsidiary is the subject of certain governmental investigations arising from actions undertaken by Wilmington Trust prior to M&T’s acquisition of Wilmington Trust and its subsidiaries, as set forth below.

SEC Investigation: Prior to M&T’s acquisition of Wilmington Trust, the Securities and Exchange Commission (“SEC”) commenced an investigation of Wilmington Trust, relating to the financial reporting and securities filings of Wilmington Trust prior to its acquisition by M&T. Counsel for Wilmington Trust has met with the SEC to discuss the investigation and its possible resolution. On August 5, 2013, the SEC issued a Wells Notice to Wilmington Trust. On September 20, 2013, Wilmington Trust filed a Wells submission. The SEC investigation is ongoing.

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DOJ Investigation: Prior to M&T’s acquisition of Wilmington Trust, the Department of Justice (“DOJ”) also commenced an investigation of Wilmington Trust, relating to Wilmington Trust’s financial reporting and securities filings, as well as certain commercial real estate lending relationships involving its subsidiary bank, Wilmington Trust Company, all of which relate to filings and activities occurring prior to the acquisition of Wilmington Trust by M&T. Counsel for Wilmington Trust has met with the DOJ to discuss the DOJ investigation. The DOJ investigation is ongoing.

Either of these investigations could lead to administrative or legal proceedings resulting in potential civil and/or criminal remedies, or settlements, including, among other things, enforcement actions, fines, penalties, restitution or additional costs and expenses.

In Re Wilmington Trust Securities Litigation (U.S. Districts Court, District of Delaware, Case No. 10-CV-0990-SLR): Beginning on November 18, 2010, a series of parties, purporting to be class representatives, commenced a putative class action lawsuit against Wilmington Trust, alleging that Wilmington Trust’s financial reporting and securities filings were in violation of securities laws. The cases were consolidated and Wilmington Trust moved to dismiss. On March 29, 2012, the Court granted Wilmington Trust’s motion to dismiss in its entirety, but allowed plaintiffs to re-file their Complaint. Plaintiffs subsequently filed a Second Amended Complaint and a Third Amended Complaint. On June 11, 2013, plaintiffs filed a motion to serve a Fourth Amended Complaint, which was granted, and the Fourth Amended Complaint was filed. On July 17, 2013, Wilmington Trust filed a motion to dismiss the Fourth Amended Complaint. The Court issued an order denying Wilmington Trust’s motion to dismiss on March 20, 2014. The case will proceed with discovery.

Due to their complex nature, it is difficult to estimate when litigation and investigatory matters such as these may be resolved. As set forth in the introductory paragraph to this Item 1 – Legal Proceedings, current litigation and regulatory matters which the Company is subject to, including those involving Wilmington Trust-related entities, although not currently considered probable, are within a range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, and are included in the range of reasonably possible losses set forth above.

Item 1A. Risk Factors.

There have been no material changes in risk factors relating to M&T to those disclosed in response to Item 1A. to Part I of Form 10-K for the year ended December 31, 2013.

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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

(a) – (b) Not applicable.

(c)

Issuer Purchases of Equity Securities
							(d) Maximum
					(c) Total		Number (or
					Number of		Approximate
					Shares		Dollar Value)
					(or Units)		of Shares
					Purchased		(or Units)
	(a) Total		(b) Average		as Part of		that may yet
	Number				Publicly		be Purchased
	of Shares		Price Paid		Announced		Under the
	(or Units)		per Share		Plans or		Plans or
Period	Purchased (1)		(or Unit)		Programs		Programs (2)
January 1 – January 31, 2014		180,753	$	111.79		—		2,181,500
February 1 – February 28, 2014		5,784		115.59		—		2,181,500
March 1 – March 31, 2014		2,635		118.33		—		2,181,500
Total		189,172	$	111.99		—

(1) The total number of shares purchased during the periods indicated reflects shares deemed to have been received from employees who exercised stock options by attesting to previously acquired common shares in satisfaction of the exercise price or shares received from employees upon the vesting of restricted stock awards in satisfaction of applicable tax withholding obligations, as is permitted under M&T’s stock-based compensation plans.

(2) On February 22, 2007, M&T announced a program to purchase up to 5,000,000 shares of its common stock. No shares were purchased under such program during the periods indicated.

Item 3. Defaults Upon Senior Securities.

(Not applicable.)

Item 4. Mine Safety Disclosures.

(None.)

Item 5. Other Information.

(None.)

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Item 6. Exhibits.

The following exhibits are filed as a part of this report.

Exhibit No.
10.1	M&T Bank Corporation Form of Performance-Vested Restricted Stock Unit Award Agreement (for named executive officers (“NEOs”) subject to Section 162 (m) of the Internal Revenue Code of 1986, as amended from time to time). Filed herewith.
31.1	Certification of Chief Executive Officer under Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
31.2	Certification of Chief Financial Officer under Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
32.1	Certification of Chief Executive Officer under 18 U.S.C. §1350 pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
32.2	Certification of Chief Financial Officer under 18 U.S.C. §1350 pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
101.INS	XBRL Instance Document. Filed herewith.
101.SCH	XBRL Taxonomy Extension Schema. Filed herewith.
101.CAL	XBRL Taxonomy Extension Calculation Linkbase. Filed herewith.
101.LAB	XBRL Taxonomy Extension Label Linkbase. Filed herewith.
101.PRE	XBRL Taxonomy Extension Presentation Linkbase. Filed herewith.
101.DEF	XBRL Taxonomy Definition Linkbase. Filed herewith.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	M&T BANK CORPORATION
Date: May 7, 2014	By:	/s/ René F. Jones
		René F. Jones Executive Vice President and Chief Financial Officer

EXHIBIT INDEX

Exhibit No.
10.1	M&T Bank Corporation Form of Performance-Vested Restricted Stock Unit Award Agreement (for named executive officers (“NEOs”) subject to Section 162 (m) of the Internal Revenue Code of 1986, as amended from time to time). Filed herewith.
31.1	Certification of Chief Executive Officer under Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
31.2	Certification of Chief Financial Officer under Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
32.1	Certification of Chief Executive Officer under 18 U.S.C. §1350 pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
32.2	Certification of Chief Financial Officer under 18 U.S.C. §1350 pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
101.INS	XBRL Instance Document. Filed herewith.
101.SCH	XBRL Taxonomy Extension Schema. Filed herewith.
101.CAL	XBRL Taxonomy Extension Calculation Linkbase. Filed herewith.
101.LAB	XBRL Taxonomy Extension Label Linkbase. Filed herewith.
101.PRE	XBRL Taxonomy Extension Presentation Linkbase. Filed herewith.
101.DEF	XBRL Taxonomy Definition Linkbase. Filed herewith.

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EX-10.1

Exhibit 10.1

M&T BANK CORPORATION

2009 EQUITY INCENTIVE COMPENSATION PLAN

*     *     *

PERFORMANCE-VESTED RESTRICTED STOCK UNIT AWARD AGREEMENT

GRANTEE: <Participant Name>

DATE OF GRANT: <Grant Date>

RESTRICTED STOCK UNITS: <Shares Granted>

M&T Bank Corporation (the “Company”) hereby grants to the Grantee a Performance-Vested Restricted Stock Unit Award. This grant is made pursuant to the M&T Bank Corporation 2009 Equity Incentive Compensation Plan (the “Plan”) and is subject to the terms and conditions of the Plan and this Agreement. As used herein, the term “Agreement” shall mean, collectively, this cover page, the related Terms and Conditions of Performance-Vested Restricted Stock Unit Award delivered to the Grantee with this cover page (the “Terms and Conditions”), and the Policy for Alignment of Incentive Compensation with Risk (the “Forfeiture Policy”). As used herein, the term “vest” shall mean the lapsing of the restrictions and the satisfaction of the conditions described herein and in the Plan with respect to one or more Performance-Vested Restricted Stock Units but shall not mean the actual settlement of the Award. Capitalized terms used in this Agreement without definition shall have the meanings assigned to them in the Plan. A copy of the Plan and the Forfeiture Policy can be viewed and downloaded from the Company’s Intranet under the Human Resources page.

Subject to the terms of the Plan, the Forfeiture Policy, and this Agreement, including without limitation, the Grantee’s fulfillment of the employment requirements in Paragraph 3(b) of the Terms and Conditions, and except as otherwise provided in Paragraph 3(f) of the Terms and Conditions, the Restricted Stock Units awarded hereunder shall vest on the dates (the “Vesting Dates”) indicated on the following vesting schedule, subject to the applicable provisions of the Plan and this Agreement, provided that the performance requirements in Paragraph 3(c) of the Terms and Conditions are satisfied:

[Insert vesting schedule, if any, as determined by the Committee.]

There shall be no proportionate or partial vesting in the periods prior to each Vesting Date and, except as provided in the Terms and Conditions, all vesting shall occur only on the occurrence of applicable Vesting Date.

The unvested portion of the Grantee’s Restricted Stock Units is subject to forfeiture under Paragraph 3(b) of the Terms and Conditions and the Forfeiture Policy. The foregoing vesting schedule (but not necessarily the actual settlement of the Award) may be accelerated under the circumstances described in the Terms and Conditions.

IN WITNESS WHEREOF, the Company has caused this Agreement to be signed on its behalf effective as of the Date of Grant.

ATTEST:	M&T BANK CORPORATION
	By:

M&T BANK CORPORATION

2009 EQUITY INCENTIVE COMPENSATION PLAN

*     *     *

TERMS AND CONDITIONS

OF

PERFORMANCE-VESTED RESTRICTED STOCK UNIT AWARD

1. Definitions. In this Agreement, except where the context otherwise indicates, the following definitions apply. Capitalized terms used herein without definition shall have the meanings assigned to them in the Plan.

(a) “Date of Grant” means the date set forth as the “Date of Grant” on the cover page of this Agreement.

(b) “Grantee” means the person identified as the “Grantee” on the cover page of this Agreement.

(c) “Performance Period” means the full one calendar year (i.e., January 1 to December 31) immediately preceding a given Vesting Date.

(d) “Performance-Vested Restricted Stock Unit” means an Award denominated in Common Stock that will be settled in Common Stock.

(e) “Performance-Vested Restricted Stock Unit Award” means the Award of Restricted Stock Units granted to the Grantee on the cover page of this Agreement.

(f) “Specified Employee” means an individual who is a “specified employee,” as defined under Section 409A of the Code, as determined by the Company in accordance with its uniform policy with respect to all arrangements subject to Section 409A of the Code.

(g) “Termination of Employment” means the termination of the Grantee’s employment with the Company and its Affiliates that constitutes a “separation from service,” as defined under Section 409A of the Code.

(h) “Vesting Dates” means the vesting dates designated in the schedule on the cover page of this Agreement.

2. Grant of Performance-Vested Restricted Stock Unit Award. The Performance-Vested Restricted Stock Unit Award granted hereby is granted in accordance with the cover page of this Agreement.

3. Terms of the Performance-Vested Restricted Stock Unit Award.

(a) Nature of Performance-Vested Restricted Stock Unit Award. Performance-Vested Restricted Stock Units are not actual shares of Common Stock. The Grantee’s interest in Performance-Vested Restricted Stock Units shall make the Grantee only a general, unsecured creditor of the Company until the Performance-Vested Restricted Stock Units become vested and settled.

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(b) Employment Requirement; Forfeiture. Except as provided herein, the Grantee must remain continuously employed by the Company or one of its Affiliates from the Date of Grant and until the Performance-Vested Restricted Stock Unit Award (or a portion thereof) has vested in order to be entitled to receive shares of Common Stock in settlement of such Performance-Vested Performance-Vested Restricted Stock Unit Award (or portion thereof, as the case may be). Upon the Grantee’s Termination of Employment for any reason, including for Cause or as a result of the Grantee’s Resignation (other than due to death, Retirement or Disability), before the Grantee’s Performance-Vested Restricted Stock Units have fully vested, the Grantee will forfeit that portion of the Performance-Vested Restricted Stock Units that have not vested as of the date of the Grantee’s Termination of Employment.

(c) Performance Requirement. [Insert performance metric approved by the Committee, defined as the “Performance Requirement”] If the Performance Requirement is not satisfied for a given Performance Period, the Performance-Vested Restricted Stock Units scheduled to vest on the Vesting Date immediately following that Performance Period will not vest and will be forfeited unless otherwise determined by the Committee or as provided in this Agreement.

(d) Calculation of [Insert Performance metric approved by the Committee].

[Insert description of the performance metric approved by the Committee.]

(e) Acceleration of Vesting upon Change in Control, Death or Disability. Notwithstanding the above provisions of Paragraphs 3(b) and 3(c) and the vesting schedule on the cover page of this Agreement, the unvested portion of the Performance-Vested Restricted Stock Unit Award shall vest in full and become nonforfeitable (i) on the date a Change in Control occurs or (ii) upon the Grantee’s Termination of Employment due to the Grantee’s death, or as a result of the Grantee’s Disability.

(f) Vesting Upon Retirement. Notwithstanding the above provisions of Paragraph 3(b) and the vesting schedule on the cover page of this Agreement, the entire unvested portion of the Performance-Vested Restricted Stock Unit Award shall vest in full and become nonforfeitable on the Vesting Date immediately following the Performance Period during which the Termination of Employment of the Grantee occurs due to the Grantee’s Retirement (“Retirement Vesting Date”) if the [Insert Performance metric approved by the Committee] for the Performance Period in which Retirement occurs (“Retirement Performance Period”) satifies the Performance Requirement set forth in Paragraph 3(c) for the Retirement Performance Period. If the Performance Requirement for the Retirement Performance Period is not satisfied:

(i) The number of Performance-Vested Restricted Stock Units scheduled to vest on the Retirement Vesting Date pursuant to the vesting schedule on the cover page of this Agreement will not vest and will be forfeited unless otherwise determined by the Committee; and

(ii) For any Performance Period subsequent to the Retirement Performance Period (“Subsequent Performance Period”), if the [Insert Performance metric approved by the Committee] for such Subsequent Performance Period satifies the Performance Requirement set forth in Paragraph 3(c), the remaining number of unvested Performance-Vested Restricted Stock Units scheduled to vest on the Vesting Date immediately following that Subsequent Performance Period pursuant to the vesting schedule on the cover page of this Agreement shall vest in full and become nonforfeitable on such Vesting Date. If such Performance Requirement is not satisfied, such

- 2 -

Performance-Vested Restricted Stock Units will not vest and will be forfeited unless otherwise determined by the Committee.

(g) Settlement. With respect to each Performance-Vested Restricted Stock Unit that becomes vested and nonforfeitable, subject to the satisfaction of all tax obligations as provided in Paragraph 6, the Performance-Vested Restricted Stock Unit shall be settled and the Company shall deliver to the Grantee one share of Common Stock for each such vested Performance-Vested Restricted Stock Unit at the earliest of:

(i) Within ten business days of the Grantee’s Termination of Employment due to the Grantee’s death or as a result of the Grantee’s Disability;

(ii) Within thirty business days of the applicable Vesting Date, provided that the Vesting Requirement for the applicable Performance Period has been satisfied; and

(iii) Within ten business days of a Change in Control.

Notwithstanding the foregoing, if a Performance-Vested Restricted Stock Unit constitutes a “nonqualified deferred compensation arrangement” subject to Section 409A of the Code, then (1) the settlement of such Performance-Vested Restricted Stock Unit upon the Grantee’s Termination of Employment, other than due to the Grantee’s death, shall be delayed if the Grantee is a “Specified Employee” until the earlier of (A) the first day of the seventh month following the Grantee’s Termination of Employment and (B) the Grantee’s death; and (2) in the event that a Change in Control does not constitute a “change in control event” within the meaning of Section 409A of the Code and the regulations thereunder, the Performance-Vested Restricted Stock Units shall be settled upon the first to occur of the events or dates set forth in clauses (i) and (ii) of this Paragraph 3(g) (but shall not be subject to the forfeiture provisions of Paragraph 3(b) following such Change in Control).

(h) Stock Certificates. The Grantee hereby (i) acknowledges that the Common Stock issued with respect to a vested Performance-Vested Restricted Stock Unit upon its settlement may be held in book entry form on the books of Registrar and Transfer Company (or another institution specified by the Company), and (ii) agrees to sign such other powers and take such other actions as the Company may reasonably request to accomplish the transfer.

(i) Nontransferability. Performance-Vested Restricted Stock Units may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated other than by will or by the laws of descent and distribution.

(j) Dividends. If on any date the Company pays any dividend with respect to its Common Stock (the “Payment Date”), then, within 60 days following the Payment Date, the Company shall pay, or cause an Affiliate to pay, to the Grantee an amount equal to: (i) the product of (x) the number of the Grantee’s Performance-Vested Restricted Stock Units as of the Payment Date and (y) the per share cash amount of such dividend (or, in the case of a dividend payable in shares of Common Stock or in property other than cash, the per share equivalent fair market value of such dividend, as determined in good faith by the Committee). Notwithstanding the foregoing, dividends and distributions other than regular cash dividends, if any, may result in an adjustment pursuant to Paragraph 6, rather than under this Paragraph 3.

4. Rights as a Stockholder. The Grantee acknowledges and agrees that, with respect to the Performance-Vested Restricted Stock Units, he or she has no voting rights with respect to the

- 3 -

Company unless and until such Performance-Vested Restricted Stock Units are settled in Common Stock pursuant to Paragraph 3(g). Upon and following the settlement of a Performance-Vested Restricted Stock Unit, the Grantee shall be the record owner of the Common Stock issued to him or her unless and until such shares are sold or otherwise disposed of, and as record owner shall be entitled to all rights of a stockholder of the Company holding such Common Stock, including, without limitation, voting rights, if any, with respect to such Common Stock. Prior to the Settlement Date, the Grantee shall not be deemed for any purpose to be the owner of any Common Stock denominated by the Performance-Vested Restricted Stock Unit Award.

5. Capital Adjustments. The number of Performance-Vested Restricted Stock Units is subject to adjustment, in accordance with Section 4.2 of the Plan, on an equitable and proportionate basis in the manner deemed appropriate by the Committee.

6. Taxes. The Grantee expressly acknowledges that: (a) the Grantee’s Performance-Vested Restricted Stock Units will constitute wages under the Federal Insurance Contributions Act (FICA) and Federal Unemployment Tax Act (FUTA) that are subject to tax withholding by the Company or its Affiliate upon becoming vested and (b) the Common Stock delivered to a Grantee upon the settlement of his or her Performance-Vested Restricted Stock Units will constitute wages for purposes of federal and all other employment taxes, subject to tax withholding by the Company or its Affiliate. The Company’s obligation to issue or deliver shares of Common Stock with respect to the settlement of Performance-Vested Restricted Stock Units shall be subject to the satisfaction of any applicable federal, state, local or foreign tax withholding requirements (including the Grantee’s FICA and FUTA obligation). To the extent permitted by law, the Company and its Affiliates shall have the right to deduct any such taxes from any payment otherwise due to the Grantee (or his or her beneficiary). The Committee may establish such procedures as it deems appropriate, including making irrevocable elections, for the settlement of withholding obligations with Common Stock having a Fair Market Value on the date of withholding equal to the minimum amount (and not any greater amount) required to be withheld for tax purposes.

7. Restriction on Issuance of Common Stock. Notwithstanding any other provision of this Agreement, the Grantee agrees, for himself or herself and his or her successors, that Common Stock will not be issued at any time that the Company does not have in effect a registration statement under the Securities Act of 1933, as amended, relating to the offer of Common Stock to the Grantee under the Plan, unless the Company agrees to permit such issuance. The Grantee further agrees, for himself or herself and his or her successors, that, upon the issuance of any Common Stock, he or she will, upon the request of the Company, agree in writing that he or she is acquiring such shares for investment only and not with a view to resale, and that he or she will not sell, pledge or otherwise dispose of such shares so issued unless and until (a) the Company is furnished with an opinion of counsel to the effect that registration of such shares pursuant to the Securities Act of 1933, as amended, is not required by that Act and the rules and regulations thereunder; (b) the staff of the Securities and Exchange Commission has issued a “no-action” letter with respect to such disposition; or (c) such registration or notification as is, in the opinion of counsel for the Company, required for the lawful disposition of such shares has been filed by the Company and has become effective; provided, however, that the Company is not obligated hereby to file any such registration or notification. The Grantee further agrees that the Company may place a legend embodying such restriction on the certificates evidencing such shares.

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8. Employment. Neither the Performance-Vested Restricted Stock Unit Award evidenced by this Agreement nor any term or provision of this Agreement shall constitute or be evidence of any understanding, express or implied, on the part of the Company or any of its Affiliates to employ the Grantee for any period. Whenever reference is made in this Agreement to the employment of the Grantee, it means employment by the Company or an Affiliate.

9. Beneficiary. The Committee may permit the Grantee to file with the Company a written designation of a beneficiary on such form as may be prescribed by the Committee and may, from time to time, amend or revoke such designation. In the absence of any such designation or if all designated beneficiaries predecease the Grantee, the Grantee’s estate shall be deemed to be the Grantee’s beneficiary.

10. Subject to the Plan. The Performance-Vested Restricted Stock Unit Award evidenced by this Agreement is subject to the terms and conditions of the Plan, which are incorporated herein by reference and made a part hereof, but the terms of the Plan shall not be considered an enlargement of any benefits under this Agreement. In addition, the Performance-Vested Restricted Stock Unit Award is subject to any rules and regulations promulgated by the Committee.

11. Section 409A. The Performance-Vested Restricted Stock Unit Award is intended to comply with the requirements of Section 409A of the Code or an exemption or exclusion therefrom and shall in all respects be administered in accordance with Section 409A of the Code. If a Performance-Vested Restricted Stock Unit does not constitute a “nonqualified deferred compensation arrangement” subject to Section 409A of the Code, then the Performance-Vested Restricted Stock Unit shall be settled no later than the March 15th following the calendar year in which it became vested.

12. Governing Law. The validity, construction, interpretation and enforceability of this Agreement shall be determined and governed by the laws of the State of New York without giving effect to the principles of conflicts of laws.

13. Headings. The headings of the sections hereof are provided for convenience only and are not to serve as a basis for interpretation or construction, and shall not constitute a part, of this Agreement.

- 5 -

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, Robert G. Wilmers, certify that:

1. I have reviewed this quarterly report on Form 10-Q of M&T Bank Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 7, 2014

By:	/s/ Robert G. Wilmers
	Robert G. Wilmers
	Chairman of the Board and
	Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, René F. Jones, certify that:

1. I have reviewed this quarterly report on Form 10-Q of M&T Bank Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 7, 2014

By:	/s/ René F. Jones
	René F. Jones
	Executive Vice President and Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER UNDER 18 U.S.C. §1350

I, Robert G. Wilmers, Chairman of the Board and Chief Executive Officer of M&T Bank Corporation, certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that:

(1) the Quarterly Report on Form 10-Q of M&T Bank Corporation for the quarterly period ended March 31, 2014 (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of M&T Bank Corporation.

The foregoing certification is being furnished solely pursuant to 18 U.S.C. §1350 and is not being filed as part of the Report or as a separate disclosure document.

/s/ Robert G. Wilmers

Robert G. Wilmers

May 7, 2014

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to M&T Bank Corporation and will be retained by M&T Bank Corporation and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

CERTIFICATION OF CHIEF FINANCIAL OFFICER UNDER 18 U.S.C. §1350

I, René F. Jones, Executive Vice President and Chief Financial Officer of M&T Bank Corporation, certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that:

(1) the Quarterly Report on Form 10-Q of M&T Bank Corporation for the quarterly period ended March 31, 2014 (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of M&T Bank Corporation.

The foregoing certification is being furnished solely pursuant to 18 U.S.C. §1350 and is not being filed as part of the Report or as a separate disclosure document.

/s/ René F. Jones

René F. Jones

May 7, 2014

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to M&T Bank Corporation and will be retained by M&T Bank Corporation and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Investment Securities - Additional Information (Detail) (USD $)	3 Months Ended
	Mar. 31, 2014 Investment	Mar. 31, 2013	Dec. 31, 2013	Dec. 31, 2012
Investment Holdings [Line Items]
Gross realized gain or loss on sale of Investment Securities	$ 0	$ 0
Other-than-temporary impairment losses	0
Credit losses associated with debt securities	0	187,114,000	0	197,809,000
Number of investment securities with aggregate gross unrealized losses	392
Unrealized losses on individual investment securities	115,007,000		165,819,000
Cost method investment securities	299,000,000
Privately Issued Mortgage-Backed Securities [Member]
Investment Holdings [Line Items]
Pre-tax other-than-temporary impairment losses		$ 10,000,000

XML

Borrowings - Additional Information (Detail) (USD $)	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Feb. 27, 2014
Schedule Of Borrowings [Line Items]
Junior subordinated debentures	$ 834,000,000
Debt Maturity, Start Year	Jan. 01, 2027
Debt Maturity, End Year	Dec. 31, 2033
Interest rate of debt instrument			8.50%
Agreements to repurchase securities	1,400,000,000	1,400,000,000
Collateral posted	1,600,000,000	1,600,000,000
Trust Preferred Securities Subject to Mandatory Redemption [Member]
Schedule Of Borrowings [Line Items]
Junior subordinated debentures			$ 350,000,000
2015 [Member]
Schedule Of Borrowings [Line Items]
Trust preferred capital securities	25.00%
2016 [Member]
Schedule Of Borrowings [Line Items]
Trust preferred capital securities	0.00%

XML

Loans and Leases and the Allowance for Credit Losses - Impaired Loans and Leases (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Schedule Of Financial Receivables [Line Items]
Recorded investment	$ 902,980	$ 889,226
Unpaid principal balance	1,091,524	1,083,258
Related allowance	86,455	92,608
Commercial, Financial, Leasing, etc. [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	145,420	118,386
Unpaid principal balance	173,080	145,187
Related allowance	21,578	24,614
Commercial Real Estate [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	186,092	178,841
Unpaid principal balance	224,524	216,658
Related allowance	15,811	19,520
Residential Builder and Developer [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	99,801	105,677
Unpaid principal balance	146,979	159,890
Related allowance	4,746	4,379
Other commercial construction [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	82,855	93,629
Unpaid principal balance	90,696	102,008
Related allowance	5,933	4,022
Residential [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	177,357	180,652
Unpaid principal balance	206,433	209,879
Related allowance	5,262	7,146
Residential Alt-A [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	138,033	140,268
Unpaid principal balance	175,320	176,739
Related allowance	13,000	14,000
Home equity lines and loans [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	17,522	13,672
Unpaid principal balance	18,592	14,796
Related allowance	5,225	3,312
Automobile [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	38,068	40,441
Unpaid principal balance	38,068	40,441
Related allowance	10,120	11,074
Other [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	17,832	17,660
Unpaid principal balance	17,832	17,660
Related allowance	4,780	4,541
Impaired Financing Receivable With Related Allowance [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	592,581	603,626
Unpaid principal balance	688,054	702,000
Related allowance	86,455	92,608
Impaired Financing Receivable With Related Allowance [Member] | Commercial, Financial, Leasing, etc. [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	104,878	90,293
Unpaid principal balance	130,132	112,092
Related allowance	21,578	24,614
Impaired Financing Receivable With Related Allowance [Member] | Commercial Real Estate [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	102,898	113,570
Unpaid principal balance	120,165	132,325
Related allowance	15,811	19,520
Impaired Financing Receivable With Related Allowance [Member] | Residential Builder and Developer [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	31,314	33,311
Unpaid principal balance	45,625	55,122
Related allowance	4,746	4,379
Impaired Financing Receivable With Related Allowance [Member] | Other commercial construction [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	77,054	86,260
Unpaid principal balance	81,296	90,515
Related allowance	5,933	4,022
Impaired Financing Receivable With Related Allowance [Member] | Residential [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	93,029	96,508
Unpaid principal balance	112,025	114,521
Related allowance	5,262	7,146
Impaired Financing Receivable With Related Allowance [Member] | Residential Alt-A [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	109,986	111,911
Unpaid principal balance	124,319	124,528
Related allowance	13,000	14,000
Impaired Financing Receivable With Related Allowance [Member] | Home equity lines and loans [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	17,522	13,672
Unpaid principal balance	18,592	14,796
Related allowance	5,225	3,312
Impaired Financing Receivable With Related Allowance [Member] | Automobile [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	38,068	40,441
Unpaid principal balance	38,068	40,441
Related allowance	10,120	11,074
Impaired Financing Receivable With Related Allowance [Member] | Other [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	17,832	17,660
Unpaid principal balance	17,832	17,660
Related allowance	4,780	4,541
Impaired Financing Receivable with No Related Allowance [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	310,399	285,600
Unpaid principal balance	403,470	381,258
Impaired Financing Receivable with No Related Allowance [Member] | Commercial, Financial, Leasing, etc. [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	40,542	28,093
Unpaid principal balance	42,948	33,095
Impaired Financing Receivable with No Related Allowance [Member] | Commercial Real Estate [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	83,194	65,271
Unpaid principal balance	104,359	84,333
Impaired Financing Receivable with No Related Allowance [Member] | Residential Builder and Developer [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	68,487	72,366
Unpaid principal balance	101,354	104,768
Impaired Financing Receivable with No Related Allowance [Member] | Other commercial construction [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	5,801	7,369
Unpaid principal balance	9,400	11,493
Impaired Financing Receivable with No Related Allowance [Member] | Residential [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	84,328	84,144
Unpaid principal balance	94,408	95,358
Impaired Financing Receivable with No Related Allowance [Member] | Residential Alt-A [Member]
Schedule Of Financial Receivables [Line Items]
Recorded investment	28,047	28,357
Unpaid principal balance	$ 51,001	$ 52,211

XML

Fair Value Measurements - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Weighted average discount margin over LIBOR	7.00%
Securities issued by financial institutions and other entities backed by trust preferred securities at cost	$ 38		$ 42
Fair value of securities issued by financial institutions and other entities backed by trust preferred securities	62		63
Loans measured at fair value on nonrecurring basis	161	227	222
Change in fair value of nonrecurring fair value measured loans for charge-offs and impairment reserves	15	15
Assets taken in foreclosure of defaulted loans measured at fair value on a nonrecurring basis	11	19
Significant Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans measured at fair value on nonrecurring basis	100	158	173
Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans measured at fair value on nonrecurring basis	$ 61	$ 69	$ 49
Minimum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Discount margin over LIBOR	4.00%
Discount rates for fair value estimations	20.00%
Maximum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Discount margin over LIBOR	11.00%
Discount rates for fair value estimations	75.00%

XML

Shareholders' equity - Additional Information (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Class of Stock [Line Items]
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, par value	$ 1.00	$ 1.00
Warrant [Member] | Series D Fixed Rate Non-Cumulative Perpetual Preferred Stock [Member]
Class of Stock [Line Items]
Exercise price of each class of warrants or rights outstanding	$ 518.96	$ 518.96
Warrant to purchase common stock	95,383	95,383

XML

Segment information - Summary of Segment Information (Detail) (USD $) In Millions, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013
Sales Information [Line Items]
Average Assets	$ 86,665	$ 83,662	$ 81,913
Business Banking [Member]
Sales Information [Line Items]
Average Assets	5,242	5,080	4,980
Commercial Banking [Member]
Sales Information [Line Items]
Average Assets	22,523	21,655	21,272
Commercial Real Estate [Member]
Sales Information [Line Items]
Average Assets	16,937	17,150	17,054
Discretionary Portfolio [Member]
Sales Information [Line Items]
Average Assets	18,581	16,480	16,585
Residential Mortgage Banking [Member]
Sales Information [Line Items]
Average Assets	3,157	2,858	2,847
Retail Banking [Member]
Sales Information [Line Items]
Average Assets	10,155	10,997	11,391
All Other [Member]
Sales Information [Line Items]
Average Assets	$ 10,070	$ 9,442	$ 7,784

XML

Loans and Leases and the Allowance for Credit Losses - Summary of Current, Past Due and Nonaccrual Loans (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	$ 61,901,851	$ 61,664,881
30-89 Days Past Due	610,933	704,658
Purchased Impaired	303,388	330,792
Nonaccrual	890,893	874,156
Total	64,135,078	64,073,159
Commercial, Financial, Leasing, etc. [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	18,686,680	18,489,474
30-89 Days Past Due	43,019	77,538
Purchased Impaired	15,560	15,706
Nonaccrual	138,271	110,739
Total	18,896,070	18,705,216
Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	21,309,518	21,236,071
30-89 Days Past Due	158,281	145,749
Purchased Impaired	91,312	88,034
Nonaccrual	175,984	173,048
Total	21,776,525	21,741,858
Residential Builder and Developer [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	1,073,532	1,025,984
30-89 Days Past Due	3,613	8,486
Purchased Impaired	122,757	137,544
Nonaccrual	89,563	96,427
Total	1,298,277	1,276,512
Other commercial construction [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	2,915,804	2,986,598
30-89 Days Past Due	41,861	42,234
Purchased Impaired	44,175	57,707
Nonaccrual	25,063	35,268
Total	3,029,284	3,129,838
Residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	7,530,046	7,630,368
30-89 Days Past Due	254,376	295,131
Purchased Impaired	26,986	29,184
Nonaccrual	259,678	252,805
Total	8,402,297	8,545,837
Residential Alt-A [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	272,463	283,253
30-89 Days Past Due	20,815	18,009
Purchased Impaired
Nonaccrual	78,520	81,122
Total	371,798	382,384
Home equity lines and loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	5,914,788	5,972,365
30-89 Days Past Due	36,440	40,537
Purchased Impaired	2,598	2,617
Nonaccrual	82,555	78,516
Total	6,062,420	6,121,789
Automobile [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	1,454,199	1,314,246
30-89 Days Past Due	20,441	29,144
Purchased Impaired
Nonaccrual	16,351	21,144
Total	1,491,167	1,364,900
Other [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Current	2,744,821	2,726,522
30-89 Days Past Due	32,087	47,830
Purchased Impaired
Nonaccrual	24,908	25,087
Total	2,807,240	2,804,825
Non-Acquired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	307,017	368,510
Non-Acquired [Member] | Commercial, Financial, Leasing, etc. [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	8,245	4,981
Non-Acquired [Member] | Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	7,870	63,353
Non-Acquired [Member] | Residential Builder and Developer [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired		141
Non-Acquired [Member] | Other commercial construction [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired
Non-Acquired [Member] | Residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	285,478	294,649
Non-Acquired [Member] | Residential Alt-A [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired
Non-Acquired [Member] | Home equity lines and loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired
Non-Acquired [Member] | Automobile [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired
Non-Acquired [Member] | Other [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	5,424	5,386
Acquired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	120,996	130,162
Acquired [Member] | Commercial, Financial, Leasing, etc. [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	4,295	6,778
Acquired [Member] | Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	33,560	35,603
Acquired [Member] | Residential Builder and Developer [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	8,812	7,930
Acquired [Member] | Other commercial construction [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	2,381	8,031
Acquired [Member] | Residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	45,733	43,700
Acquired [Member] | Residential Alt-A [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired
Acquired [Member] | Home equity lines and loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	26,039	27,754
Acquired [Member] | Automobile [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired	176	366
Acquired [Member] | Other [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
90 Days Or More Past Due And Accruing - Non-Acquired

XML

Fair value measurements (Tables)

3 Months Ended

Mar. 31, 2014

Fair Value Disclosures [Abstract]

Assets and Liabilities Measured at Estimated Fair Value on Recurring Basis

The following tables present assets and liabilities at March 31, 2014 and December 31, 2013 measured at estimated fair value on a recurring basis:

	Fair value measurements at March 31, 2014		Level 1 (a)		Level 2 (a)		Level 3
	(in thousands)
Trading account assets	$	314,807		49,473		265,334		—
Investment securities available for sale:
U.S. Treasury and federal agencies		42,647		—		42,647		—
Obligations of states and political subdivisions		10,383		—		10,383		—
Mortgage-backed securities:
Government issued or guaranteed		5,801,091		—		5,801,091		—
Privately issued		696		—		—		696
Collateralized debt obligations		61,768		—		—		61,768
Other debt securities		122,249		—		122,249		—
Equity securities		152,737		80,580		72,157		—
		6,191,571		80,580		6,048,527		62,464
Real estate loans held for sale		330,004		—		330,004		—
Other assets (b)		112,704		—		98,826		13,878
Total assets	$	6,949,086		130,053		6,742,691		76,342
Trading account liabilities	$	216,366		—		216,366		—
Other liabilities (b)		4,344		—		3,055		1,289
Total liabilities	$	220,710		—		219,421		1,289

	Fair value measurements at December 31, 2013		Level 1 (a)		Level 2 (a)		Level 3
	(in thousands)
Trading account assets	$	376,131		51,386		324,745		—
Investment securities available for sale:
U.S. Treasury and federal agencies		37,776		—		37,776		—
Obligations of states and political subdivisions		10,811		—		10,811		—
Mortgage-backed securities:
Government issued or guaranteed		4,165,086		—		4,165,086		—
Privately issued		1,850		—		—		1,850
Collateralized debt obligations		63,083		—		—		63,083
Other debt securities		120,085		—		120,085		—
Equity securities		133,095		82,450		50,645		—
		4,531,786		82,450		4,384,403		64,933
Real estate loans held for sale		468,650		—		468,650		—
Other assets (b)		123,568		—		115,952		7,616
Total assets	$	5,500,135		133,836		5,293,750		72,549
Trading account liabilities	$	249,797		—		249,797		—
Other liabilities (b)		4,392		—		717		3,675
Total liabilities	$	254,189		—		250,514		3,675

(a) There were no significant transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2014 and the year ended December 31, 2013.

(b) Comprised predominantly of interest rate swap agreements used for interest rate risk management (Level 2), commitments to sell real estate loans (Level 2) and commitments to originate real estate loans to be held for sale (Level 3).

Changes in Level 3 Assets and Liabilities Measured at Estimated Fair Value on Recurring Basis

The changes in Level 3 assets and liabilities measured at estimated fair value on a recurring basis during the three months ended March 31, 2014 were as follows:

	Investment securities available for sale
	Privately issued mortgage-backed securities			Collateralized debt obligations			Other assets and other liabilities
	(in thousands)
Balance – January 1, 2014	$	1,850		$	63,083		$	3,941
Total gains (losses) realized/unrealized:
Included in earnings		—			—			22,383	(b)
Included in other comprehensive income		67	(e)		4,646	(e)		—
Settlements		(1,221	)		(5,961	)		—
Transfers in and/or out of Level 3 (c)		—			—			(13,735	)(d)
Balance – March 31, 2014	$	696		$	61,768		$	12,589
Changes in unrealized gains included in earnings related to assets still held at March 31, 2014	$	—		$	—		$	15,050	(b)

The changes in Level 3 assets and liabilities measured at estimated fair value on a recurring basis during the three months ended March 31, 2013 were as follows:

	Investment securities available for sale
	Privately issued mortgage-backed securities			Collateralized debt obligations			Other assets and other liabilities
	(in thousands)
Balance – January 1, 2013	$	1,023,886		$	61,869		$	47,859
Total gains (losses) realized/unrealized:
Included in earnings		(9,800	)(a)		—			43,312	(b)
Included in other comprehensive income		26,381	(e)		740	(e)		—
Settlements		(47,220	)		(891	)		—
Transfers in and/or out of Level 3 (c)		—			—			(55,052	)(d)
Balance – March 31, 2013	$	993,247		$	61,718		$	36,119
Changes in unrealized gains (losses) included in earnings related to assets still held at March 31, 2013	$	(9,800	)(a)	$	—		$	31,398	(b)

(a) Reported as an other-than-temporary impairment loss in the consolidated statement of income.

(b) Reported as mortgage banking revenues in the consolidated statement of income and includes the fair value of commitment issuances and expirations.

(c) The Company’s policy for transfers between fair value levels is to recognize the transfer as of the actual date of the event or change in circumstances that caused the transfer.

(d) Transfers out of Level 3 consist of interest rate locks transferred to closed loans.

(e) Reported as net unrealized gains on investment securities in the consolidated statement of comprehensive income.

Quantitative Information Related to Significant Unobservable Inputs

The following tables present quantitative information about the significant unobservable inputs used in the fair value measurements for Level 3 assets and liabilities at March 31, 2014 and December 31, 2013:

	Fair value at March 31, 2014		Valuation technique	Unobservable input/assumptions	Range (weighted- average)
Recurring fair value measurements
Privately issued mortgage–backed securities	$	696	Two independent pricing quotes	—		—
Collateralized debt obligations		61,768	Discounted cash flow	Probability of default		16%-54% (37	%)
				Loss severity		100%
Net other assets (liabilities) (a)		12,589	Discounted cash flow	Commitment expirations		0%-90% (17	%)

	Fair value at December 31, 2013		Valuation technique	Unobservable input/assumptions	Range (weighted- average)
Recurring fair value measurements
Privately issued mortgage–backed securities	$	1,850	Two independent pricing quotes	—		—
Collateralized debt obligations		63,083	Discounted cash flow	Probability of default		17%-55% (39	%)
				Loss severity		100%
Net other assets (liabilities) (a)		3,941	Discounted cash flow	Commitment expirations		0%-90% (20	%)

(a) Other Level 3 assets (liabilities) consist of commitments to originate real estate loans.

Carrying Amounts and Estimated Fair Value for Financial Instrument Assets (Liabilities)

The carrying amounts and estimated fair value for financial instrument assets (liabilities) are presented in the following table:

	March 31, 2014
	Carrying amount			Estimated fair value			Level 1		Level 2			Level 3
	(in thousands)
Financial assets:
Cash and cash equivalents	$	1,763,118		$	1,763,118		$	1,689,900	$	73,218		$	—
Interest-bearing deposits at banks		3,299,185			3,299,185			—		3,299,185			—
Trading account assets		314,807			314,807			49,473		265,334			—
Investment securities		10,364,249			10,305,030			80,580		9,997,771			226,679
Loans and leases:
Commercial loans and leases		18,896,070			18,584,218			—		—			18,584,218
Commercial real estate loans		26,104,086			25,970,001			—		38,305			25,931,696
Residential real estate loans		8,774,095			8,733,704			—		5,285,649			3,448,055
Consumer loans		10,360,827			10,271,804			—		—			10,271,804
Allowance for credit losses		(916,768	)		—			—		—			—
Loans and leases, net		63,218,310			63,559,727			—		5,323,954			58,235,773
Accrued interest receivable		242,009			242,009			—		242,009			—
Financial liabilities:
Noninterest-bearing deposits	$	(25,244,200	)	$	(25,244,200	)	$	—	$	(25,244,200	)	$	—
Savings deposits and NOW accounts		(39,804,771	)		(39,804,771	)		—		(39,804,771	)		—
Time deposits		(3,402,515	)		(3,420,917	)		—		(3,420,917	)		—
Deposits at Cayman Islands office		(247,880	)		(247,880	)		—		(247,880	)		—
Short-term borrowings		(230,209	)		(230,209	)		—		(230,209	)		—
Long-term borrowings		(6,251,197	)		(6,388,067	)		—		(6,388,067	)		—
Accrued interest payable		(59,685	)		(59,685	)		—		(59,685	)		—
Trading account liabilities		(216,366	)		(216,366	)		—		(216,366	)		—
Other financial instruments:
Commitments to originate real estate loans for sale	$	12,589		$	12,589		$	—	$	—		$	12,589
Commitments to sell real estate loans		1,055			1,055			—		1,055			—
Other credit-related commitments		(114,641	)		(114,641	)		—		—			(114,641	)
Interest rate swap agreements used for interest rate risk management		94,716			94,716			—		94,716			—

	December 31, 2013
	Carrying amount			Estimated fair value			Level 1		Level 2			Level 3
	(in thousands)
Financial assets:
Cash and cash equivalents	$	1,672,934		$	1,672,934		$	1,596,877	$	76,057		$	—
Interest-bearing deposits at banks		1,651,138			1,651,138			—		1,651,138			—
Trading account assets		376,131			376,131			51,386		324,745			—
Investment securities		8,796,497			8,690,494			82,450		8,384,106			223,938
Loans and leases:
Commercial loans and leases		18,705,216			18,457,288			—		—			18,457,288
Commercial real estate loans		26,148,208			26,018,195			—		67,505			25,950,690
Residential real estate loans		8,928,221			8,867,872			—		5,432,207			3,435,665
Consumer loans		10,291,514			10,201,087			—		—			10,201,087
Allowance for credit losses		(916,676	)		—			—		—			—
Loans and leases, net		63,156,483			63,544,442			—		5,499,712			58,044,730
Accrued interest receivable		222,558			222,558			—		222,558			—
Financial liabilities:
Noninterest-bearing deposits	$	(24,661,007	)	$	(24,661,007	)	$	—	$	(24,661,007	)	$	—
Savings deposits and NOW accounts		(38,611,021	)		(38,611,021	)		—		(38,611,021	)		—
Time deposits		(3,523,838	)		(3,542,789	)		—		(3,542,789	)		—
Deposits at Cayman Islands office		(322,746	)		(322,746	)		—		(322,746	)		—
Short-term borrowings		(260,455	)		(260,455	)		—		(260,455	)		—
Long-term borrowings		(5,108,870	)		(5,244,902	)		—		(5,244,902	)		—
Accrued interest payable		(43,419	)		(43,419	)		—		(43,419	)		—
Trading account liabilities		(249,797	)		(249,797	)		—		(249,797	)		—
Other financial instruments:
Commitments to originate real estate loans for sale	$	3,941		$	3,941		$	—	$	—		$	3,941
Commitments to sell real estate loans		12,360			12,360			—		12,360			—
Other credit-related commitments		(118,886	)		(118,886	)		—		—			(118,886	)
Interest rate swap agreements used for interest rate risk management		102,875			102,875			—		102,875			—

XML

Segment information - Summary of Segment Information (Parenthetical) (Detail) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Segment Reporting [Abstract]
Taxable-equivalent adjustment	$ 5,945,000	$ 6,450,000

XML

Fair Value Measurements - Quantitative Information Related to Significant Unobservable Inputs (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013	Dec. 31, 2012
Mortgage-backed Securities, Privately issued [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Investments	$ 696	$ 1,850	$ 993,247	$ 1,023,886
Valuation technique	Two independent pricing quotes	Two independent pricing quotes
Unobservable inputs/ assumptions
Mortgage-backed Securities, Privately issued [Member] | Weighted Average [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Probability of default
Mortgage-backed Securities, Privately issued [Member] | Minimum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Probability of default
Mortgage-backed Securities, Privately issued [Member] | Maximum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Probability of default
Collateralized Debt Obligations [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Investments	61,768	63,083	61,718	61,869
Valuation technique	Discounted cash flow	Discounted cash flow
Unobservable inputs/ assumptions	Probability of default Loss severity	Probability of default Loss severity
Collateralized Debt Obligations [Member] | Weighted Average [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Probability of default	37.00%	39.00%
Loss severity
Collateralized Debt Obligations [Member] | Minimum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Probability of default	16.00%	17.00%
Loss severity
Collateralized Debt Obligations [Member] | Maximum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Probability of default	54.00%	55.00%
Loss severity	100.00%	100.00%
Other Assets and Other Liabilities [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Investments	$ 12,589	$ 3,941	$ 36,119	$ 47,859
Valuation technique	Discounted cash flow	Discounted cash flow
Unobservable inputs/ assumptions	Commitment expirations	Commitment expirations
Other Assets and Other Liabilities [Member] | Weighted Average [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Commitment expirations weighted-average	17.00%	20.00%
Other Assets and Other Liabilities [Member] | Minimum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Commitment expirations	0.00%	0.00%
Other Assets and Other Liabilities [Member] | Maximum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Commitment expirations	90.00%	90.00%

XML

Shareholders' equity - Issued and Outstanding Preferred Stock (Parenthetical) (Detail) (USD $)	3 Months Ended		3 Months Ended		3 Months Ended		3 Months Ended		3 Months Ended					1 Months Ended	12 Months Ended
	Mar. 31, 2014 Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Dec. 31, 2013 Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Series C Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Dec. 31, 2013 Series C Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Series D Fixed Rate Non-Cumulative Perpetual Preferred Stock [Member]	Dec. 31, 2013 Series D Fixed Rate Non-Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Series E Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock [Member]	Dec. 31, 2013 Series E Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Dividend Paid Rate Up To November Fourteen Two Thousand And Thirteen [Member] Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Dividend Paid Rate Up To November Fourteen Two Thousand And Thirteen [Member] Series C Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Dividend Paid Rate Thereafter November Fourteen Two Thousand And Thirteen [Member] Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Dividend Paid Rate Thereafter November Fourteen Two Thousand And Thirteen [Member] Series C Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2014 Warrant [Member] Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Mar. 31, 2013 Warrant [Member] Series C Fixed Rate Cumulative Perpetual Preferred Stock [Member]	Dec. 31, 2013 Cash Less Exercise [Member] Warrant [Member] Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]
Class of Stock [Line Items]
Liquidation preference	$ 1,000	$ 1,000	$ 1,000	$ 1,000	$ 10,000	$ 10,000	$ 1,000	$ 1,000
Cashless warrants exercised	1,218,522		407,542												69,127
Exercise price of each class of warrants or rights outstanding	$ 73.86		$ 55.76
Preferred stock dividend rate					6.875%		6.45%		5.00%	5.00%	6.375%	6.375%
Date of change in the dividend rate	Nov. 14, 2013		Nov. 14, 2013				Feb. 14, 2024
Preferred shares redemption date	Nov. 15, 2018		Nov. 15, 2018		Jun. 15, 2016		Feb. 15, 2024
Issuance of common shares														186,589	25,427
Warrants and rights outstanding													1,149,395
Warrants, year of expiration													2018
Preferred Stock, Redemption Feature, Redemption Term					90 days		90 days
London Interbank offered rate plus basis points							3.61%

XML

Commitments and Contingencies - Additional Information (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Significant Commitments [Line Items]
Maximum credit risk for recourse associated with loans sold under Federal National Mortgage Association Delegated Underwriting and Servicing program	$ 2,300,000,000	$ 2,300,000,000
Outstanding loan principal balances reinsured	14,000,000
Assets of subsidiaries providing reinsurance to satisfy claims	35,000,000
Range of reasonably possible losses, minimum	0
Range of reasonably possible losses, maximum	50,000,000
2014 - 2017 [Member]
Significant Commitments [Line Items]
Naming rights of football stadium per year	$ 6,000,000

XML

Segment Information - Information about Company's Segments (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Segment Reporting Information [Line Items]
Net income (loss)	$ 229,017	$ 274,113
Business Banking [Member]
Segment Reporting Information [Line Items]
Net income (loss)	28,598	32,561
Commercial Banking [Member]
Segment Reporting Information [Line Items]
Net income (loss)	99,765	107,387
Commercial Real Estate [Member]
Segment Reporting Information [Line Items]
Net income (loss)	74,561	76,508
Discretionary Portfolio [Member]
Segment Reporting Information [Line Items]
Net income (loss)	11,279	1,846
Residential Mortgage Banking [Member]
Segment Reporting Information [Line Items]
Net income (loss)	19,411	34,361
Retail Banking [Member]
Segment Reporting Information [Line Items]
Net income (loss)	29,711	52,350
All Other [Member]
Segment Reporting Information [Line Items]
Net income (loss)	(34,308)	(30,900)
Operating Segments [Member]
Segment Reporting Information [Line Items]
Total revenues	1,076,540	1,088,932
Operating Segments [Member] | Business Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	102,299	105,418
Operating Segments [Member] | Commercial Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	248,586	249,850
Operating Segments [Member] | Commercial Real Estate [Member]
Segment Reporting Information [Line Items]
Total revenues	158,360	165,293
Operating Segments [Member] | Discretionary Portfolio [Member]
Segment Reporting Information [Line Items]
Total revenues	24,657	12,041
Operating Segments [Member] | Residential Mortgage Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	94,588	119,899
Operating Segments [Member] | Retail Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	261,888	291,185
Operating Segments [Member] | All Other [Member]
Segment Reporting Information [Line Items]
Total revenues	186,162	145,246
Intersegment activity eliminated in consolidated totals [Member]
Segment Reporting Information [Line Items]
Total revenues
Intersegment activity eliminated in consolidated totals [Member] | Business Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	1,057	1,194
Intersegment activity eliminated in consolidated totals [Member] | Commercial Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	1,197	1,350
Intersegment activity eliminated in consolidated totals [Member] | Commercial Real Estate [Member]
Segment Reporting Information [Line Items]
Total revenues	348	1,552
Intersegment activity eliminated in consolidated totals [Member] | Discretionary Portfolio [Member]
Segment Reporting Information [Line Items]
Total revenues	(5,039)	(8,601)
Intersegment activity eliminated in consolidated totals [Member] | Residential Mortgage Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	9,748	18,698
Intersegment activity eliminated in consolidated totals [Member] | Retail Banking [Member]
Segment Reporting Information [Line Items]
Total revenues	3,505	3,257
Intersegment activity eliminated in consolidated totals [Member] | All Other [Member]
Segment Reporting Information [Line Items]
Total revenues	$ (10,816)	$ (17,450)

XML

Fair Value Measurements - Assets and Liabilities Measured at Estimated Fair Value on Recurring Basis (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Trading account assets	$ 314,807	$ 376,131
Investment securities	6,191,571	4,531,786
Real estate loans held for sale	330,004	468,650
Other assets	112,704	123,568
Total assets	6,949,086	5,500,135
Trading account liabilities	216,366	249,797
Other liabilities	4,344	4,392
Total liabilities	220,710	254,189
U.S. Treasury and Federal Agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	42,647	37,776
Obligations of States and Political Subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	10,383	10,811
Government Issued or Guaranteed [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	5,801,091	4,165,086
Privately Issued Mortgage-Backed Securities [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	696	1,850
Collateralized Debt Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	61,768	63,083
Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	122,249	120,085
Equity Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	152,737	133,095
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Trading account assets	49,473	51,386
Investment securities	80,580	82,450
Real estate loans held for sale
Other assets
Total assets	130,053	133,836
Trading account liabilities
Other liabilities
Total liabilities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Treasury and Federal Agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Obligations of States and Political Subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Government Issued or Guaranteed [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Privately Issued Mortgage-Backed Securities [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Collateralized Debt Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Equity Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	80,580	82,450
Significant Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Trading account assets	265,334	324,745
Investment securities	6,048,527	4,384,403
Real estate loans held for sale	330,004	468,650
Other assets	98,826	115,952
Total assets	6,742,691	5,293,750
Trading account liabilities	216,366	249,797
Other liabilities	3,055	717
Total liabilities	219,421	250,514
Significant Observable Inputs (Level 2) [Member] | U.S. Treasury and Federal Agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	42,647	37,776
Significant Observable Inputs (Level 2) [Member] | Obligations of States and Political Subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	10,383	10,811
Significant Observable Inputs (Level 2) [Member] | Government Issued or Guaranteed [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	5,801,091	4,165,086
Significant Observable Inputs (Level 2) [Member] | Privately Issued Mortgage-Backed Securities [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Significant Observable Inputs (Level 2) [Member] | Collateralized Debt Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Significant Observable Inputs (Level 2) [Member] | Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	122,249	120,085
Significant Observable Inputs (Level 2) [Member] | Equity Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	72,157	50,645
Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Trading account assets
Investment securities	62,464	64,933
Real estate loans held for sale
Other assets	13,878	7,616
Total assets	76,342	72,549
Trading account liabilities
Other liabilities	1,289	3,675
Total liabilities	1,289	3,675
Significant Unobservable Inputs (Level 3) [Member] | U.S. Treasury and Federal Agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Significant Unobservable Inputs (Level 3) [Member] | Obligations of States and Political Subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Significant Unobservable Inputs (Level 3) [Member] | Government Issued or Guaranteed [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Significant Unobservable Inputs (Level 3) [Member] | Privately Issued Mortgage-Backed Securities [Member] | Mortgage-backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	696	1,850
Significant Unobservable Inputs (Level 3) [Member] | Collateralized Debt Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities	61,768	63,083
Significant Unobservable Inputs (Level 3) [Member] | Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities
Significant Unobservable Inputs (Level 3) [Member] | Equity Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities

XML

Acquisitions (Tables)

3 Months Ended

Mar. 31, 2014

Business Combinations [Abstract]

Summary of Merger-Related Expenses

A summary of merger-related expenses in the first quarter of 2013 associated with the pending Hudson City acquisition included in the consolidated statement of income is presented below. There were no merger-related expenses during the three-month period ended March 31, 2014.

	Three months ended March 31, 2013
	(in thousands)
Salaries and employee benefits	$	536
Equipment and net occupancy		201
Printing, postage and supplies		827
Other cost of operations		3,168
	$	4,732

XML

Loans and Leases and the Allowance for Credit Losses - Summary of Loan Grades (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	$ 64,135,078	$ 64,073,159
Commercial, Financial, Leasing, etc. [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	18,896,070	18,705,216
Commercial, Financial, Leasing, etc. [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	18,022,241	17,894,592
Commercial, Financial, Leasing, etc. [Member] | Criticized Accrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	735,558	699,885
Commercial, Financial, Leasing, etc. [Member] | Criticized Nonaccrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	138,271	110,739
Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	21,776,525	21,741,858
Commercial [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	21,053,068	20,972,257
Commercial [Member] | Criticized Accrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	547,473	596,553
Commercial [Member] | Criticized Nonaccrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	175,984	173,048
Residential Builder and Developer [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	1,298,277	1,276,512
Residential Builder and Developer [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	1,151,202	1,107,144
Residential Builder and Developer [Member] | Criticized Accrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	57,512	72,941
Residential Builder and Developer [Member] | Criticized Nonaccrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	89,563	96,427
Other commercial construction [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	3,029,284	3,129,838
Other commercial construction [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	2,946,152	3,040,106
Other commercial construction [Member] | Criticized Accrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	58,069	54,464
Other commercial construction [Member] | Criticized Nonaccrual [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	$ 25,063	$ 35,268

XML

Investment Securities - Investment Securities in Continuous Unrealized Loss Position (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months	$ 1,760,369	$ 1,699,426
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses	(7,419)	(19,458)
Estimated fair value, 12 months or more	117,260	116,330
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses	(18,242)	(20,454)
Held to maturity, Estimated fair value, Less than 12 months	1,732,639	2,643,467
Held To Maturity Securities Continuous Unrealized Loss Position Less Than12 Months Aggregate Losses	(37,873)	(65,269)
Held to maturity, Estimated fair value, 12 months or more	166,873	160,563
Held To Maturity Securities Continuous Unrealized Loss Position12 Months Or Longer Aggregate Losses	(51,473)	(60,638)
Total investment securities, fair value less than 12 months	3,493,008	4,342,893
Investment Securities Continuous Unrealized Loss Position Less Than Twelve Months Aggregate Losses	(45,292)	(84,727)
Total of investment securities, fair value, 12 Months or More	284,133	276,893
Investment Securities Continuous Unrealized Loss Position Twelve Months or Longer Aggregate Losses	(69,715)	(81,092)
Government Issued or Guaranteed [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months	1,725,859	1,697,094
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses	(6,919)	(19,225)
Estimated fair value, 12 months or more	5,215	5,815
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses	(131)	(125)
Held to maturity, Estimated fair value, Less than 12 months	1,715,149	2,629,950
Held To Maturity Securities Continuous Unrealized Loss Position Less Than12 Months Aggregate Losses	(37,718)	(65,149)
Held to maturity, Estimated fair value, 12 months or more
Held To Maturity Securities Continuous Unrealized Loss Position12 Months Or Longer Aggregate Losses
Privately Issued Mortgage-Backed Securities [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Held to maturity, Estimated fair value, Less than 12 months
Held To Maturity Securities Continuous Unrealized Loss Position Less Than12 Months Aggregate Losses
Held to maturity, Estimated fair value, 12 months or more	164,215	159,005
Held To Maturity Securities Continuous Unrealized Loss Position12 Months Or Longer Aggregate Losses	(51,434)	(60,623)
Privately Issued Mortgage-Backed Securities [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses
Estimated fair value, 12 months or more	91	98
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses	(5)	(5)
Obligations of States and Political Subdivisions [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months	1,930
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses	(68)
Estimated fair value, 12 months or more	439	558
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses	(3)	(6)
Held to maturity, Estimated fair value, Less than 12 months	17,490	13,517
Held To Maturity Securities Continuous Unrealized Loss Position Less Than12 Months Aggregate Losses	(155)	(120)
Held to maturity, Estimated fair value, 12 months or more	2,658	1,558
Held To Maturity Securities Continuous Unrealized Loss Position12 Months Or Longer Aggregate Losses	(39)	(15)
U.S. Treasury and federal agencies [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months	29,346	745
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses	(59)	(2)
Estimated fair value, 12 months or more
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses
Collateralized Debt Obligations [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses
Estimated fair value, 12 months or more	6,097	6,257
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses	(306)	(857)
Other Debt Securities [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months	927	1,428
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses	(10)	(4)
Estimated fair value, 12 months or more	105,418	103,602
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses	(17,797)	(19,461)
Equity Securities [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Estimated fair value, Less than 12 months	2,307	159
Available For Sale Securities Continuous Unrealized Losses Position Less Than Twelve Months Aggregate Losses	(363)	(227)
Estimated fair value, 12 months or more
Available For Sale Securities Continuous Unrealized Loss Position Twelve Months Or More Aggregate Losses

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Commitments and Contingencies - Company's Significant Commitments (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Commitments to extend credit
Home equity lines of credit	$ 6,260,931	$ 6,218,823
Commercial real estate loans to be sold	151,989	62,386
Other commercial real estate and construction	4,055,951	3,919,545
Residential real estate loans to be sold	521,869	469,869
Other residential real estate	368,055	384,617
Commercial and other	10,781,231	10,419,545
Standby letters of credit	3,531,586	3,600,528
Commercial letters of credit	39,197	53,284
Financial guarantees and indemnification contracts	2,842,506	2,457,633
Commitments to sell real estate loans	$ 845,549	$ 854,656

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Acquisitions - Summary of Merger-Related Expenses (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Summary of merger-related expenses
Salaries and employee benefits	$ 371,326	$ 356,551
Equipment and net occupancy	71,167	65,159
Printing, postage and supplies	10,956	10,699
Other costs of operations	223,272	170,406
Hudson City [Member]
Summary of merger-related expenses
Salaries and employee benefits		536
Equipment and net occupancy		201
Printing, postage and supplies		827
Other costs of operations		3,168
Total merger-related expenses	$ 0	$ 4,732

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Loans and Leases and the Allowance for Credit Losses - Recorded Investment in Loans and Leases on Basis of Company's Impairment Methodology (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	$ 64,135,078	$ 64,073,159
Individually Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	900,854	886,858
Collectively Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	62,930,836	62,855,509
Purchased Impaired [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	303,388	330,792
Commercial, Financial, Leasing, etc. [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	18,896,070	18,705,216
Commercial, Financial, Leasing, etc. [Member] | Individually Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	145,420	118,386
Commercial, Financial, Leasing, etc. [Member] | Collectively Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	18,735,090	18,571,124
Commercial, Financial, Leasing, etc. [Member] | Purchased Impaired [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	15,560	15,706
Commercial Real Estate [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	26,104,086	26,148,208
Commercial Real Estate [Member] | Individually Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	367,183	376,339
Commercial Real Estate [Member] | Collectively Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	25,478,659	25,488,584
Commercial Real Estate [Member] | Purchased Impaired [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	258,244	283,285
Residential Real Estate [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	8,774,095	8,928,221
Residential Real Estate [Member] | Individually Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	314,829	320,360
Residential Real Estate [Member] | Collectively Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	8,432,280	8,578,677
Residential Real Estate [Member] | Purchased Impaired [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	26,986	29,184
Consumer loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	10,360,827	10,291,514
Consumer loans [Member] | Individually Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	73,422	71,773
Consumer loans [Member] | Collectively Evaluated for Impairment [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	10,284,807	10,217,124
Consumer loans [Member] | Purchased Impaired [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases, net of unearned discount	$ 2,598	$ 2,617

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Derivative Financial Instruments - Information about Fair Values of Derivative Instruments in Consolidated Balance Sheet (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	$ 367,951	$ 414,263
Liability derivatives, Fair value	220,710	254,189
Derivatives designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	96,019	109,832
Liability derivatives, Fair value	1,160	487
Derivatives not designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	271,932	304,431
Liability derivatives, Fair value	219,550	253,702
Interest rate swap agreements [Member] | Derivatives designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	94,716	102,875
Commitments to sell real estate loans [Member] | Derivatives designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	1,303	6,957
Liability derivatives, Fair value	1,160	487
Commitments to sell real estate loans [Member] | Derivatives not designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	2,807	6,120
Liability derivatives, Fair value	1,895	230
Mortgage-related commitments to originate real estate loans for sale [Member] | Derivatives not designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	13,878	7,616
Liability derivatives, Fair value	1,289	3,675
Interest rate contracts [Member] | Derivatives not designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	246,284	274,864
Liability derivatives, Fair value	207,179	234,455
Foreign exchange and other option and futures contracts [Member] | Derivatives not designated and qualifying as hedging instruments [Member]
Derivatives, Fair Value [Line Items]
Asset derivatives, Fair value	8,963	15,831
Liability derivatives, Fair value	$ 9,187	$ 15,342

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Earnings Per Common Share - Computations of Diluted Earnings Per Common Share (Detail) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Earnings Per Share [Abstract]
Net income available to common equity	$ 214,343	$ 258,603
Less: Income attributable to unvested stock-based compensation awards	(2,612)	(3,507)
Net income available to common shareholders	$ 211,731	$ 255,096
Adjusted weighted-average shares outstanding:
Common and unvested stock-based compensation awards	131,800	129,449
Less: Unvested stock-based compensation awards	(1,588)	(1,780)
Plus: Incremental shares from assumed conversion of stock-based compensation awards	914	967
Adjusted weighted-average shares outstanding	131,126	128,636
Diluted earnings per common share	$ 1.61	$ 1.98

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Loans and Leases and the Allowance for Credit Losses - Changes in Allowance for Credit Losses (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance	$ 916,676	$ 925,860
Provision for credit losses	32,000	38,000
Net charge-offs
Charge-offs	(47,439)	(48,948)
Recoveries	15,531	12,205
Net charge-offs	(31,908)	(36,743)
Ending balance	916,768	927,117
Commercial, Financial, Leasing, etc. [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance	273,383	246,759
Provision for credit losses	12,598	17,880
Net charge-offs
Charge-offs	(14,809)	(9,544)
Recoveries	5,663	2,756
Net charge-offs	(9,146)	(6,788)
Ending balance	276,835	257,851
Real Estate Commercial [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance	324,978	337,101
Provision for credit losses	116	(312)
Net charge-offs
Charge-offs	(3,486)	(9,588)
Recoveries	3,197	815
Net charge-offs	(289)	(8,773)
Ending balance	324,805	328,016
Residential Real Estate [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance	78,656	88,807
Provision for credit losses	4,228	5,036
Net charge-offs
Charge-offs	(7,453)	(8,171)
Recoveries	1,631	4,450
Net charge-offs	(5,822)	(3,721)
Ending balance	77,062	90,122
Consumer [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance	164,644	179,418
Provision for credit losses	14,141	14,836
Net charge-offs
Charge-offs	(21,691)	(21,645)
Recoveries	5,040	4,184
Net charge-offs	(16,651)	(17,461)
Ending balance	162,134	176,793
Unallocated [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning balance	75,015	73,775
Provision for credit losses	917	560
Net charge-offs
Charge-offs
Recoveries
Net charge-offs
Ending balance	$ 75,932	$ 74,335

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Significant accounting policies

3 Months Ended

Mar. 31, 2014

Accounting Policies [Abstract]

Significant accounting policies

1. Significant accounting policies

The consolidated financial statements of M&T Bank Corporation (“M&T”) and subsidiaries (“the Company”) were compiled in accordance with generally accepted accounting principles (“GAAP”) using the accounting policies set forth in note 1 of Notes to Financial Statements included in the 2013 Annual Report. In the opinion of management, all adjustments necessary for a fair presentation have been made and were all of a normal recurring nature.

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Earnings Per Common Share - Additional Information (Detail) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of earnings per share	3.0	4.7

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Loans and Leases and the Allowance for Credit Losses - Outstanding Principal Balance and Carrying Amount of Loans that is Included in Consolidated Balance Sheet (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Outstanding principal and carrying value of acquired loans recorded at fair value
Outstanding principal balance	$ 4,302,336	$ 4,656,811
Carrying amount	3,697,582	4,007,452
Commercial, Financial, Leasing, etc. [Member]
Outstanding principal and carrying value of acquired loans recorded at fair value
Carrying amount	474,612	580,685
Real Estate Commercial [Member]
Outstanding principal and carrying value of acquired loans recorded at fair value
Carrying amount	1,412,397	1,541,368
Residential Real Estate [Member]
Outstanding principal and carrying value of acquired loans recorded at fair value
Carrying amount	551,698	576,473
Consumer [Member]
Outstanding principal and carrying value of acquired loans recorded at fair value
Carrying amount	$ 1,258,875	$ 1,308,926

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Pension plans and other postretirement benefits (Tables)

3 Months Ended

Mar. 31, 2014

Compensation And Retirement Disclosure [Abstract]

Net Periodic Pension Expense for Defined Benefit Plans

Net periodic benefit cost for defined benefit plans consisted of the following:

	Pension benefits						Other postretirement benefits
	Three months ended March 31
	2014			2013			2014			2013
	(in thousands)
Service cost	$	5,100			6,050			150			200
Interest cost on projected benefit obligation		17,250			15,126			675			675
Expected return on plan assets		(22,925	)		(21,875	)		—			—
Amortization of prior service credit		(1,650	)		(1,650	)		(350	)		(350	)
Amortization of net actuarial loss		3,350			10,400			—			100
Net periodic benefit cost	$	1,125			8,051			475			625

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Shareholders' equity (Tables)

3 Months Ended

Mar. 31, 2014

Equity [Abstract]

Issued and Outstanding Preferred Stock

Issued and outstanding preferred stock of M&T is presented below:

	Shares issued and outstanding		Carrying value March 31, 2014		Carrying value December 31, 2013
			(dollars in thousands)
Series A (a)
Fixed Rate Cumulative Perpetual Preferred Stock, Series A, $1,000 liquidation preference per share		230,000	$	230,000	$	230,000
Series C (a)
Fixed Rate Cumulative Perpetual Preferred Stock, Series C, $1,000 liquidation preference per share		151,500		151,500		151,500
Series D (b)
Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series D, $10,000 liquidation preference per share		50,000		500,000		500,000
Series E (c)
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series E, $1,000 liquidation preference per share		350,000		350,000		—

(a) Dividends, if declared, were paid quarterly at a rate of 5% per year through November 14, 2013 and are paid at 6.375% thereafter. M&T has agreed to not redeem the preferred shares until on or after November 15, 2018. Warrants to purchase M&T common stock were issued in connection with the Series A and C preferred stock (Series A – 1,218,522 common shares at $73.86 per share; Series C – 407,542 common shares at $55.76 per share). In March 2013, the Series C warrants were exercised in a “cashless” exercise, resulting in the issuance of 186,589 common shares. During 2013, 69,127 of the Series A warrants were exercised in “cashless” exercises, resulting in the issuance of 25,427 common shares. Remaining outstanding Series A warrants that expire in 2018 were 1,149,395 at March 31, 2014.

(b) Dividends, if declared, will be paid semi-annually at a rate of 6.875% per year. The shares are redeemable in whole or in part on or after June 15, 2016. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence.

(c) Dividends, if declared, will be paid semi-annually at a rate of 6.45% through February 14, 2024 and thereafter will be paid quarterly at a rate of the three-month London Interbank Offered Rate plus 361 basis points (hundredths of one percent). The shares are redeemable in whole or in part on or after February 15, 2024. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence.

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Shareholders' equity - Issued and Outstanding Preferred Stock (Detail) (USD $) In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Class of Stock [Line Items]
Carrying value	$ 1,231,500	$ 881,500
Series A Fixed Rate Cumulative Perpetual Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares issued	230,000
Preferred stock, shares outstanding	230,000
Carrying value	230,000	230,000
Series C Fixed Rate Cumulative Perpetual Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares issued	151,500
Preferred stock, shares outstanding	151,500
Carrying value	151,500	151,500
Series D Fixed Rate Non-Cumulative Perpetual Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares issued	50,000
Preferred stock, shares outstanding	50,000
Carrying value	500,000	500,000
Series E Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares issued	350,000
Preferred stock, shares outstanding	350,000
Carrying value	$ 350,000

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Loans and Leases and the Allowance for Credit Losses - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Contractual principal and interest payments	$ 303	$ 331
Purchased impaired loans as a percentage of total assets	Less than 1% of the Company's assets	Less than 1% of the Company's assets
Loan delinquent period	90 days
Delinquency period for loan level collectability analysis consumer mortgage	More than 150 days
Residential Mortgage Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Mortgage loans held for sale	292	401
Real Estate Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Commercial mortgage loans held for sale	$ 38	$ 68

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Earnings per common share (Tables)

3 Months Ended

Mar. 31, 2014

Earnings Per Share [Abstract]

Computations of Basic Earnings Per Common Share

The computations of basic earnings per common share follow:

	Three months ended March 31
	2014			2013
	(in thousands, except per share)
Income available to common shareholders:
Net income	$	229,017			274,113
Less: Preferred stock dividends (a)		(14,674	)		(13,363	)
Amortization of preferred stock discount (a)		—			(2,147	)
Net income available to common equity		214,343			258,603
Less: Income attributable to unvested stock-based compensation awards		(2,623	)		(3,524	)
Net income available to common shareholders	$	211,720			255,079
Weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards		131,800			129,449
Less: Unvested stock-based compensation awards		(1,588	)		(1,780	)
Weighted-average shares outstanding		130,212			127,669
Basic earnings per common share	$	1.63			2.00

(a) Including impact of not as yet declared cumulative dividends.

Computations of Diluted Earnings Per Common Share

The computations of diluted earnings per common share follow:

	Three months ended March 31
	2014			2013
	(in thousands, except per share)
Net income available to common equity	$	214,343			258,603
Less: Income attributable to unvested stock-based compensation awards		(2,612	)		(3,507	)
Net income available to common shareholders	$	211,731			255,096
Adjusted weighted-average shares outstanding:
Common and unvested stock-based compensation awards		131,800			129,449
Less: Unvested stock-based compensation awards		(1,588	)		(1,780	)
Plus: Incremental shares from assumed conversion of stock-based compensation awards		914			967
Adjusted weighted-average shares outstanding		131,126			128,636
Diluted earnings per common share	$	1.61			1.98

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Comprehensive income (Tables)

3 Months Ended

Mar. 31, 2014

Equity [Abstract]

Components of Other Comprehensive Income (Loss) and Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) to Net Income

The following tables display the components of other comprehensive income (loss) and amounts reclassified from accumulated other comprehensive income (loss) to net income:

	Investment Securities
	With OTTI		All other		Defined benefit plans			Other			Total amount before tax			Income tax			Net
	(in thousands)
Balance – January 1, 2014	$	37,255		18,450		(161,617	)		115		$	(105,797	)		41,638		$	(64,159	)
Other comprehensive income before reclassifications:
Unrealized holding gains, net		19,968		42,119		—			—			62,087			(24,374	)		37,713
Foreign currency translation adjustment		—		—		—			(234	)		(234	)		98			(136	)
Total other comprehensive income before reclassifications		19,968		42,119		—			(234	)		61,853			(24,276	)		37,577
Amounts reclassified from accumulated other comprehensive income that (increase)decrease net income:
Accretion of unrealized holding losses on held-to-maturity (“HTM”) securities		2		823		—			—			825	(a)		(324	)		501
Amortization of prior service credit		—		—		(2,000	)		—			(2,000	)(c)		785			(1,215	)
Amortization of actuarial losses		—		—		3,350			—			3,350			(1,315	)		2,035
Total reclassifications		2		823		1,350			—			2,175			(854	)		1,321
Total gain (loss) during the period		19,970		42,942		1,350			(234	)		64,028			(25,130	)		38,898
Balance – March 31, 2014	$	57,225		61,392		(160,267	)		(119	)	$	(41,769	)		16,508		$	(25,261	)

	Investment Securities
	With OTTI			All other			Defined benefit plans			Other			Total amount before tax			Income tax			Net
	(in thousands)
Balance – January 1, 2013	$	(91,835	)		152,199			(455,590	)		(431	)	$	(395,657	)		155,393		$	(240,264	)
Other comprehensive income before reclassifications:
Unrealized holding gains (losses), net		24,540			(18,959	)		—			—			5,581			(2,181	)		3,400
Foreign currency translation adjustment		—			—			—			(1,452	)		(1,452	)		520			(932	)
Total other comprehensive income before reclassifications		24,540			(18,959	)		—			(1,452	)		4,129			(1,661	)		2,468
Amounts reclassified from accumulated other comprehensive income that (increase) decrease net income:
Accretion of unrealized holding losses on HTM securities		49			1,146			—			—			1,195	(a)		(469	)		726
OTTI charges recognized in net income		9,800			—			—			—			9,800	(b)		(3,847	)		5,953
Amortization of prior service credit		—			—			(2,000	)		—			(2,000	)(c)		785			(1,215	)
Amortization of actuarial losses		—			—			10,500			—			10,500	(c)		(4,121	)		6,379
Total reclassifications		9,849			1,146			8,500			—			19,495			(7,652	)		11,843
Total gain (loss) during the period		34,389			(17,813	)		8,500			(1,452	)		23,624			(9,313	)		14,311
Balance – March 31, 2013	$	(57,446	)		134,386			(447,090	)		(1,883	)	$	(372,033	)		146,080		$	(225,953	)

(a) Included in interest income

(b) Included in OTTI losses recognized in earnings

(c) Included in salaries and employee benefits expense

Accumulated Other Comprehensive Income (Loss), Net

Accumulated other comprehensive income (loss), net consisted of the following:

					Defined
	Investment securities				benefit
	With OTTI		All other		plans			Other			Total
Balance – December 31, 2013	$	22,632		11,294		(98,182	)		97			(64,159	)
Net gain (loss) during period		12,132		26,082		820			(136	)		38,898
Balance – March 31, 2014	$	34,764		37,376		(97,362	)		(39	)		(25,261	)

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CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) (Parenthetical) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Common stock per share dividend amount	$ 0.70	$ 0.70
Retained earnings [Member]
Common stock per share dividend amount	$ 0.7	$ 0.7
Series C stock warrants [Member]
Exercise of warrants into shares of common stock		407,542
Series C stock warrants [Member] | Common stock [Member]
Exercise of warrants into shares of common stock		186,589

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Derivative financial instruments (Tables)

3 Months Ended

Mar. 31, 2014

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Information About Interest Rate Swap Agreements

Information about interest rate swap agreements entered into for interest rate risk management purposes summarized by type of financial instrument the swap agreements were intended to hedge follows:

					Weighted-
	Notional amount		Average maturity		average rate
					Fixed			Variable
	(in thousands)		(in years)
March 31, 2014
Fair value hedges:
Fixed rate long-term borrowings (a)	$	1,400,000		3.4		4.42	%		1.19	%
December 31, 2013
Fair value hedges:
Fixed rate long-term borrowings (a)	$	1,400,000		3.7		4.42	%		1.20	%

(a) Under the terms of these agreements, the Company receives settlement amounts at a fixed rate and pays at a variable rate.

Information About Fair Values of Derivative Instruments in Consolidated Balance Sheet

Information about the fair values of derivative instruments in the Company’s consolidated balance sheet and consolidated statement of income follows:

	Asset derivatives				Liability derivatives
	Fair value				Fair value
	March 31, 2014		December 31, 2013		March 31, 2014		December 31, 2013
	(in thousands)
Derivatives designated and qualifying as hedging instruments
Fair value hedges:
Interest rate swap agreements (a)	$	94,716		102,875	$	—		—
Commitments to sell real estate loans (a)		1,303		6,957		1,160		487
		96,019		109,832		1,160		487
Derivatives not designated and qualifying as hedging instruments
Mortgage-related commitments to originate real estate loans for sale (a)		13,878		7,616		1,289		3,675
Commitments to sell real estate loans (a)		2,807		6,120		1,895		230
Trading:
Interest rate contracts (b)		246,284		274,864		207,179		234,455
Foreign exchange and other option and futures contracts (b)		8,963		15,831		9,187		15,342
		271,932		304,431		219,550		253,702
Total derivatives	$	367,951		414,263	$	220,710		254,189

(a) Asset derivatives are reported in other assets and liability derivatives are reported in other liabilities.

(b) Asset derivatives are reported in trading account assets and liability derivatives are reported in other liabilities.

Information About Fair Values of Derivative Instruments in Consolidated Statement of Income

	Amount of unrealized gain (loss) recognized
	Three months ended March 31, 2014					Three months ended March 31, 2013
	Derivative			Hedged item		Derivative			Hedged item
	(in thousands)
Derivatives in fair value hedging relationships
Interest rate swap agreements:
Fixed rate long-term borrowings (a)	$	(8,160	)		7,920	$	(8,873	)		8,900
Derivatives not designated as hedging instruments
Trading:
Interest rate contracts (b)	$	(302	)			$	968
Foreign exchange and other option and futures contracts (b)		(5,030	)				(381	)
Total	$	(5,332	)			$	587

(a) Reported as other revenues from operations.

(b) Reported as trading account and foreign exchange gains.

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Investment Securities - Changes in Credit Losses Associated with Debt Securities for Which OTTI Losses (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2014	Dec. 31, 2013
Investments Debt And Equity Securities [Abstract]
Estimated credit losses - beginning balance	$ 197,809	$ 0	$ 0
Additions for credit losses not previously recognized	9,800
Reductions for realized losses	(20,495)
Estimated credit losses - ending balance	$ 187,114	$ 0	$ 0

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Loans and Leases and the Allowance for Credit Losses - Loan Modification Activities that were Considered Troubled Debt Restructurings (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014 Modification	Mar. 31, 2013 Modification
Financing Receivable, Modifications [Line Items]
Number of modifications	243	332
Pre-modification, Recorded investment	$ 32,530	$ 79,681
Post-modification, Recorded investment	32,500	79,660
Financial effects of modification, Recorded investment	(30)	(21)
Financial effects of modification, Interest	(869)	(884)
Principal deferral [Member] | Commercial, Financial, Leasing, etc. [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	30	24
Pre-modification, Recorded investment	14,954	2,006
Post-modification, Recorded investment	14,848	1,982
Financial effects of modification, Recorded investment	(106)	(24)
Financial effects of modification, Interest
Principal deferral [Member] | Commercial Real Estate [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	13	8
Pre-modification, Recorded investment	7,044	18,478
Post-modification, Recorded investment	7,002	18,363
Financial effects of modification, Recorded investment	(42)	(115)
Financial effects of modification, Interest
Principal deferral [Member] | Residential Builder and Developer [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications		8
Pre-modification, Recorded investment		1,357
Post-modification, Recorded investment		1,340
Financial effects of modification, Recorded investment		(17)
Financial effects of modification, Interest
Principal deferral [Member] | Residential [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	13	7
Pre-modification, Recorded investment	1,602	566
Post-modification, Recorded investment	1,663	607
Financial effects of modification, Recorded investment	61	41
Financial effects of modification, Interest
Principal deferral [Member] | Residential Alt-A [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	2
Pre-modification, Recorded investment	166
Post-modification, Recorded investment	202
Financial effects of modification, Recorded investment	36
Financial effects of modification, Interest
Principal deferral [Member] | Other commercial construction [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	1
Pre-modification, Recorded investment	151
Post-modification, Recorded investment	151
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Principal deferral [Member] | Home equity lines and loans [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	3	2
Pre-modification, Recorded investment	280	79
Post-modification, Recorded investment	280	79
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Principal deferral [Member] | Automobile [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	80	121
Pre-modification, Recorded investment	993	1,586
Post-modification, Recorded investment	993	1,586
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Principal deferral [Member] | Other [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	8	6
Pre-modification, Recorded investment	55	45
Post-modification, Recorded investment	55	45
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Other [Member] | Commercial, Financial, Leasing, etc. [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications		1
Pre-modification, Recorded investment		47,200
Post-modification, Recorded investment		47,200
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Other [Member] | Residential [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	1	1
Pre-modification, Recorded investment	188	195
Post-modification, Recorded investment	188	195
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Other [Member] | Automobile [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	11	17
Pre-modification, Recorded investment	61	159
Post-modification, Recorded investment	61	159
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Other [Member] | Other [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	1	1
Pre-modification, Recorded investment	45	12
Post-modification, Recorded investment	45	12
Financial effects of modification, Recorded investment
Financial effects of modification, Interest
Combination of concession types [Member] | Commercial, Financial, Leasing, etc. [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	2	1
Pre-modification, Recorded investment	41	342
Post-modification, Recorded investment	39	342
Financial effects of modification, Recorded investment	(2)
Financial effects of modification, Interest	(4)
Combination of concession types [Member] | Commercial Real Estate [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	1	2
Pre-modification, Recorded investment	346	582
Post-modification, Recorded investment	401	581
Financial effects of modification, Recorded investment	55	(1)
Financial effects of modification, Interest	(104)	(56)
Combination of concession types [Member] | Residential Builder and Developer [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications		1
Pre-modification, Recorded investment		1,701
Post-modification, Recorded investment		1,691
Financial effects of modification, Recorded investment		(10)
Financial effects of modification, Interest
Combination of concession types [Member] | Residential [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	14	20
Pre-modification, Recorded investment	2,188	2,449
Post-modification, Recorded investment	2,160	2,536
Financial effects of modification, Recorded investment	(28)	87
Financial effects of modification, Interest	(282)	(371)
Combination of concession types [Member] | Residential Alt-A [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	10	5
Pre-modification, Recorded investment	1,746	907
Post-modification, Recorded investment	1,736	925
Financial effects of modification, Recorded investment	(10)	18
Financial effects of modification, Interest	(61)	(110)
Combination of concession types [Member] | Home equity lines and loans [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	15	2
Pre-modification, Recorded investment	1,856	211
Post-modification, Recorded investment	1,856	211
Financial effects of modification, Recorded investment
Financial effects of modification, Interest	(172)	(33)
Combination of concession types [Member] | Automobile [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	23	61
Pre-modification, Recorded investment	250	553
Post-modification, Recorded investment	250	553
Financial effects of modification, Recorded investment
Financial effects of modification, Interest	(26)	(42)
Combination of concession types [Member] | Other [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	14	42
Pre-modification, Recorded investment	466	1,217
Post-modification, Recorded investment	466	1,217
Financial effects of modification, Recorded investment
Financial effects of modification, Interest	(188)	(267)
Interest rate reduction [Member] | Residential [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications	1
Pre-modification, Recorded investment	98
Post-modification, Recorded investment	104
Financial effects of modification, Recorded investment	6
Financial effects of modification, Interest	(32)
Interest rate reduction [Member] | Automobile [Member]
Financing Receivable, Modifications [Line Items]
Number of modifications		2
Pre-modification, Recorded investment		36
Post-modification, Recorded investment		36
Financial effects of modification, Recorded investment
Financial effects of modification, Interest		$ (5)

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Fair Value Measurements - Changes in Level 3 Assets and Liabilities Measured at Estimated Fair Value on Recurring Basis (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Other Assets and Other Liabilities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning Balance	$ 3,941	$ 47,859
Total gains (losses) realized/unrealized:
Included in earnings	22,383	43,312
Included in other comprehensive income
Settlements
Transfers in and/or out of Level 3	(13,735)	(55,052)
Ending Balance	12,589	36,119
Changes in unrealized gains (losses) included in earnings related to assets still held at end of period	15,050	31,398
Mortgage-backed Securities, Privately issued [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning Balance	1,850	1,023,886
Total gains (losses) realized/unrealized:
Included in earnings		(9,800)
Included in other comprehensive income	67	26,381
Settlements	(1,221)	(47,220)
Transfers in and/or out of Level 3
Ending Balance	696	993,247
Changes in unrealized gains (losses) included in earnings related to assets still held at end of period		(9,800)
Collateralized Debt Obligations [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning Balance	63,083	61,869
Total gains (losses) realized/unrealized:
Included in earnings
Included in other comprehensive income	4,646	740
Settlements	(5,961)	(891)
Transfers in and/or out of Level 3
Ending Balance	61,768	61,718
Changes in unrealized gains (losses) included in earnings related to assets still held at end of period

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CONSOLIDATED BALANCE SHEET (Unaudited) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Assets
Cash and due from banks	$ 1,671,052	$ 1,573,361
Interest-bearing deposits at banks	3,299,185	1,651,138
Federal funds sold	92,066	99,573
Trading account	314,807	376,131
Investment securities (includes pledged securities that can be sold or repledged of $1,657,883 at March 31, 2014; $1,696,438 at December 31, 2013)
Available for sale (cost: $6,042,063 at March 31, 2014; $4,444,365 at December 31, 2013)	6,191,571	4,531,786
Held to maturity (fair value: $3,814,766 at March 31, 2014; $3,860,127 at December 31, 2013)	3,873,985	3,966,130
Other (fair value: $298,693 at March 31, 2014; $298,581 at December 31, 2013)	298,693	298,581
Total investment securities	10,364,249	8,796,497
Loans and leases	64,378,511	64,325,783
Unearned discount	(243,433)	(252,624)
Loans and leases, net of unearned discount	64,135,078	64,073,159
Allowance for credit losses	(916,768)	(916,676)
Loans and leases, net	63,218,310	63,156,483
Premises and equipment	627,966	633,520
Goodwill	3,524,625	3,524,625
Core deposit and other intangible assets	58,789	68,851
Accrued interest and other assets	5,359,311	5,282,212
Total assets	88,530,360	85,162,391
Liabilities
Noninterest-bearing deposits	25,244,200	24,661,007
NOW accounts	1,917,763	1,989,441
Savings deposits	37,887,008	36,621,580
Time deposits	3,402,515	3,523,838
Deposits at Cayman Islands office	247,880	322,746
Total deposits	68,699,366	67,118,612
Federal funds purchased and agreements to repurchase securities	230,209	260,455
Accrued interest and other liabilities	1,462,725	1,368,922
Long-term borrowings	6,251,197	5,108,870
Total liabilities	76,643,497	73,856,859
Shareholders' equity
Preferred stock, $1.00 par, 1,000,000 shares authorized; Issued and outstanding: Liquidation preference of $1,000 per share: 731,500 shares at March 31, 2014; 381,500 shares at December 31, 2013; Liquidation preference of $10,000 per share: 50,000 shares at March 31, 2014 and December 31, 2013	1,231,500	881,500
Common stock, $.50 par, 250,000,000 shares authorized, 131,388,585 shares issued at March 31, 2014; 130,516,364 shares issued at December 31, 2013	65,694	65,258
Common stock issuable, 42,100 shares at March 31, 2014; 47,231 shares at December 31, 2013	2,616	2,915
Additional paid-in capital	3,302,402	3,232,014
Retained earnings	7,309,912	7,188,004
Accumulated other comprehensive income (loss), net	(25,261)	(64,159)
Total shareholders' equity	11,886,863	11,305,532
Total liabilities and shareholders' equity	$ 88,530,360	$ 85,162,391

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Loans and Leases and the Allowance for Credit Losses - Summary of Changes in Accretable Yield for Acquired Loans (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Summary of changes in Accretable Yield for acquired loans
Balance at beginning of period	$ 575,863	$ 680,524
Interest income	(58,961)	(70,451)
Reclassifications from nonaccretable balance, net	37	10,997
Other	(838)	(9,733)
Balance at end of period	516,101	611,337
Purchased impaired [Member]
Summary of changes in Accretable Yield for acquired loans
Balance at beginning of period	37,230	42,252
Interest income	(6,328)	(8,704)
Reclassifications from nonaccretable balance, net	37	180
Other
Balance at end of period	30,939	33,728
Other [Member]
Summary of changes in Accretable Yield for acquired loans
Balance at beginning of period	538,633	638,272
Interest income	(52,633)	(61,747)
Reclassifications from nonaccretable balance, net		10,817
Other	(838)	(9,733)
Balance at end of period	$ 485,162	$ 577,609

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CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities
Net income	$ 229,017	$ 274,113
Adjustments to reconcile net income to net cash provided by operating activities
Provision for credit losses	32,000	38,000
Depreciation and amortization of premises and equipment	24,708	22,027
Amortization of capitalized servicing rights	17,792	15,208
Amortization of core deposit and other intangible assets	10,062	13,343
Provision for deferred income taxes	42,256	19,253
Asset write-downs	1,117	13,558
Net gain on sales of assets	(852)	(2,676)
Net change in accrued interest receivable, payable	(3,185)	(2,872)
Net change in other accrued income and expense	57,884	80,645
Net change in loans originated for sale	122,406	205,643
Net change in trading account assets and liabilities	27,893	22,156
Net cash provided by operating activities	561,098	698,398
Cash flows from investing activities
Proceeds from sales of investment securities Other	146	2,032
Proceeds from maturities of investment securities Available for sale	166,324	353,305
Proceeds from maturities of investment securities Held to maturity	92,305	79,164
Purchases of investment securities Available for sale	(1,709,847)	(14,597)
Purchases of investment securities Held to maturity	(3,238)	(6,010)
Purchases of investment securities Other	(258)	(274)
Net (increase) decrease in loans and leases	(220,551)	404,142
Net increase in interest-bearing deposits at banks	(1,648,047)	(1,174,825)
Capital expenditures, net	(16,725)	(16,671)
Net increase in loan servicing advances	(122,910)	(9,054)
Other, net	21,763	11,015
Net cash used by investing activities	(3,441,038)	(371,773)
Cash flows from financing activities
Net increase in deposits	1,581,705	(519,555)
Net decrease in short-term borrowings	(30,246)	(699,889)
Proceeds from long-term borrowings	1,498,688	799,760
Payments on long-term borrowings	(352,245)	(3,460)
Proceeds from issuance of preferred stock	346,500
Dividends paid - common	(92,406)	(90,788)
Dividends paid - preferred	(6,080)	(4,769)
Other, net	24,208	31,528
Net cash provided (used) by financing activities	2,970,124	(487,173)
Net increase (decrease) in cash and cash equivalents	90,184	(160,548)
Cash and cash equivalents at beginning of period	1,672,934	1,986,615
Cash and cash equivalents at end of period	1,763,118	1,826,067
Supplemental disclosure of cash flow information
Interest received during the period	695,653	718,296
Interest paid during the period	61,841	72,106
Income taxes paid during the period	4,789	9,545
Supplemental schedule of noncash investing and financing activities
Available for sale investment securities	29,785
Capitalized servicing rights	372
Real estate acquired in settlement of loans	$ 8,886	$ 8,244

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Pension Plans and Other Postretirement Benefits - Additional Information (Detail) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Compensation And Retirement Disclosure [Abstract]
Defined contribution pension and retirement savings plans total expense	$ 15,732,000	$ 15,755,000

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Segment information (Tables)

3 Months Ended

Mar. 31, 2014

Segment Reporting [Abstract]

Information about Company's Segments

Information about the Company’s segments is presented in the following table:

	Three months ended March 31
	2014								2013
	Total revenues(a)		Inter- segment revenues			Net income (loss)			Total revenues(a)		Inter- segment revenues			Net income (loss)
	(in thousands)
Business Banking	$	102,299		1,057			28,598		$	105,418		1,194			32,561
Commercial Banking		248,586		1,197			99,765			249,850		1,350			107,387
Commercial Real Estate		158,360		348			74,561			165,293		1,552			76,508
Discretionary Portfolio		24,657		(5,039	)		11,279			12,041		(8,601	)		1,846
Residential Mortgage Banking		94,588		9,748			19,411			119,899		18,698			34,361
Retail Banking		261,888		3,505			29,711			291,185		3,257			52,350
All Other		186,162		(10,816	)		(34,308	)		145,246		(17,450	)		(30,900	)
Total	$	1,076,540		—			229,017		$	1,088,932		—			274,113

Summary of Segment Information

	Average total assets
	Three months ended March 31				Year ended December 31
	2014		2013		2013
	(in millions)
Business Banking	$	5,242		4,980		5,080
Commercial Banking		22,523		21,272		21,655
Commercial Real Estate		16,937		17,054		17,150
Discretionary Portfolio		18,581		16,585		16,480
Residential Mortgage Banking		3,157		2,847		2,858
Retail Banking		10,155		11,391		10,997
All Other		10,070		7,784		9,442
Total	$	86,665		81,913		83,662

(a) Total revenues are comprised of net interest income and other income. Net interest income is the difference between taxable-equivalent interest earned on assets and interest paid on liabilities owed by a segment and a funding charge (credit) based on the Company’s internal funds transfer pricing and allocation methodology. Segments are charged a cost to fund any assets (e.g. loans) and are paid a funding credit for any funds provided (e.g. deposits). The taxable-equivalent adjustment aggregated $5,945,000 and $6,450,000 for the three-month periods ended March 31, 2014 and 2013, respectively, and is eliminated in “All Other” total revenues. Intersegment revenues are included in total revenues of the reportable segments. The elimination of intersegment revenues is included in the determination of “All Other” total revenues.

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Derivative Financial Instruments - Additional Information (Detail) (USD $)				3 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014 Credit Risk Derivative [Member]	Mar. 31, 2014 Interest rate swap agreements [Member]	Mar. 31, 2013 Interest rate swap agreements [Member]	Mar. 31, 2014 Interest rate contracts [Member]	Dec. 31, 2013 Interest rate contracts [Member]	Mar. 31, 2014 Foreign Currency And Other Option And Futures Contracts [Member]	Dec. 31, 2013 Foreign Currency And Other Option And Futures Contracts [Member]
Derivative [Line Items]
Increase in net interest income due to interest rate swap agreements				$ 11,000,000	$ 10,000,000
Notional value of interest rate contracts entered into trading purposes						17,100,000,000	17,400,000,000	1,000,000,000	1,400,000,000
Net unrealized pre-tax gains related to hedged loans held for sale, commitments to originate loans for sale and commitments to sell loans	23,000,000	23,000,000
Aggregate fair value of derivative financial instruments in a liability position	175,000,000	194,000,000
Net liability positions with counterparties	101,000,000	107,000,000
Post collateral requirements relating to positions	93,000,000	95,000,000
Aggregate fair value of derivative financial instruments in a net liability position			32,000,000
Fair value of collateral already posted for derivative financial instruments			22,000,000
Fair value of additional collateral to be posted for derivative financial instruments			10,000,000
Aggregate fair value of derivative financial instruments in asset position	167,000,000	183,000,000
Net asset positions with counterparties	94,000,000	95,000,000
Counterparties posted collateral relating to positions	$ 92,000,000	$ 93,000,000

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Segment information

3 Months Ended

Mar. 31, 2014

Segment Reporting [Abstract]

Segment information

14. Segment information

Reportable segments have been determined based upon the Company’s internal profitability reporting system, which is organized by strategic business unit. Certain strategic business units have been combined for segment information reporting purposes where the nature of the products and services, the type of customer and the distribution of those products and services are similar. The reportable segments are Business Banking, Commercial Banking, Commercial Real Estate, Discretionary Portfolio, Residential Mortgage Banking and Retail Banking.

The financial information of the Company’s segments was compiled utilizing the accounting policies described in note 22 to the Company’s consolidated financial statements as of and for the year ended December 31, 2013. The management accounting policies and processes utilized in compiling segment financial information are highly subjective and, unlike financial accounting, are not based on authoritative guidance similar to GAAP. As a result, the financial information of the reported segments is not necessarily comparable with similar information reported by other financial institutions. As also described in note 22 to the Company’s 2013 consolidated financial statements, neither goodwill nor core deposit and other intangible assets (and the amortization charges associated with such assets) resulting from acquisitions of financial institutions have been allocated to the Company’s reportable segments, but are included in the “All Other” category. The Company does, however, assign such intangible assets to business units for purposes of testing for impairment.

Information about the Company’s segments is presented in the following table:

	Three months ended March 31
	2014								2013
	Total revenues(a)		Inter- segment revenues			Net income (loss)			Total revenues(a)		Inter- segment revenues			Net income (loss)
	(in thousands)
Business Banking	$	102,299		1,057			28,598		$	105,418		1,194			32,561
Commercial Banking		248,586		1,197			99,765			249,850		1,350			107,387
Commercial Real Estate		158,360		348			74,561			165,293		1,552			76,508
Discretionary Portfolio		24,657		(5,039	)		11,279			12,041		(8,601	)		1,846
Residential Mortgage Banking		94,588		9,748			19,411			119,899		18,698			34,361
Retail Banking		261,888		3,505			29,711			291,185		3,257			52,350
All Other		186,162		(10,816	)		(34,308	)		145,246		(17,450	)		(30,900	)
Total	$	1,076,540		—			229,017		$	1,088,932		—			274,113

	Average total assets
	Three months ended March 31				Year ended December 31
	2014		2013		2013
	(in millions)
Business Banking	$	5,242		4,980		5,080
Commercial Banking		22,523		21,272		21,655
Commercial Real Estate		16,937		17,054		17,150
Discretionary Portfolio		18,581		16,585		16,480
Residential Mortgage Banking		3,157		2,847		2,858
Retail Banking		10,155		11,391		10,997
All Other		10,070		7,784		9,442
Total	$	86,665		81,913		83,662

(a) Total revenues are comprised of net interest income and other income. Net interest income is the difference between taxable-equivalent interest earned on assets and interest paid on liabilities owed by a segment and a funding charge (credit) based on the Company’s internal funds transfer pricing and allocation methodology. Segments are charged a cost to fund any assets (e.g. loans) and are paid a funding credit for any funds provided (e.g. deposits). The taxable-equivalent adjustment aggregated $5,945,000 and $6,450,000 for the three-month periods ended March 31, 2014 and 2013, respectively, and is eliminated in “All Other” total revenues. Intersegment revenues are included in total revenues of the reportable segments. The elimination of intersegment revenues is included in the determination of “All Other” total revenues.

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Acquisitions - Additional Information (Detail) (USD $)				3 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Aug. 27, 2012	Mar. 31, 2014 Hudson City [Member]	Mar. 31, 2013 Hudson City [Member]	Aug. 27, 2012 Common stock [Member]	Aug. 27, 2012 Cash [Member]
Business Acquisition [Line Items]
Purchase consideration per common share			$ 0.08403
Percentage of total consideration						60.00%	40.00%
Total consideration to be paid	$ 5,200,000,000
Assets	88,530,360,000	85,162,391,000		38,200,000,000
Loans				23,800,000,000
Investment securities	10,364,249,000	8,796,497,000		8,500,000,000
Liabilities	76,643,497,000	73,856,859,000		33,400,000,000
Deposits	68,699,366,000	67,118,612,000		21,100,000,000
Merger-related expenses				$ 0	$ 4,732,000

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Significant accounting policies (Policies)

3 Months Ended

Mar. 31, 2014

Accounting Policies [Abstract]

Consolidation

The consolidated financial statements of M&T Bank Corporation (“M&T”) and subsidiaries (“the Company”) were compiled in accordance with generally accepted accounting principles (“GAAP”) using the accounting policies set forth in note 1 of Notes to Financial Statements included in the 2013 Annual Report. In the opinion of management, all adjustments necessary for a fair presentation have been made and were all of a normal recurring nature.

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Derivative Financial Instruments - Information about Fair Values of Derivative Instruments in Consolidated Statement of Income (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives not designated as hedging instruments, Derivatives	$ (5,332)	$ 587
Interest rate contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives not designated as hedging instruments, Derivatives	(302)	968
Foreign exchange and other option and futures contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives not designated as hedging instruments, Derivatives	(5,030)	(381)
Interest rate swap agreements [Member] | Fixed rate long-term borrowings [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives in fair value hedging relationships, Derivatives	(8,160)	(8,873)
Derivatives in fair value hedging relationships, Hedged item	$ 7,920	$ 8,900

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CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) (USD $) In Thousands, unless otherwise specified	Total	Preferred stock [Member]	Common stock [Member]	Common stock issuable [Member]	Additional paid-in capital [Member]	Retained earnings [Member]	Accumulated other comprehensive income (loss), net [Member]
Beginning Balance at Dec. 31, 2012	$ 10,202,593	$ 872,500	$ 64,088	$ 3,473	$ 3,025,520	$ 6,477,276	$ (240,264)
Total comprehensive income	288,424					274,113	14,311
Preferred stock cash dividends	(13,363)					(13,363)
Amortization of preferred stock discount		2,127				(2,127)
Exercise of stock warrants into common stock			93		(93)
Stock-based compensation plans:
Compensation expense, net	13,071		160		12,911
Exercises of stock options, net	21,570		126		21,444
Directors' stock plan	776		4		772
Deferred compensation plans, net, including dividend equivalents	(108)		5	(644)	563	(32)
Other	666				666
Common stock cash dividends - $.70 per share	(90,672)					(90,672)
Ending Balance at Mar. 31, 2013	10,422,957	874,627	64,476	2,829	3,061,783	6,645,195	(225,953)
Beginning Balance at Dec. 31, 2013	11,305,532	881,500	65,258	2,915	3,232,014	7,188,004	(64,159)
Total comprehensive income	267,915					229,017	38,898
Preferred stock cash dividends	(14,674)					(14,674)
Issuance of Series E preferred stock	346,500	350,000			(3,500)
Stock-based compensation plans:
Compensation expense, net	14,122		123		13,999
Exercises of stock options, net	49,494		266		49,228
Stock purchase plan	9,588		43		9,545
Directors' stock plan	441		2		439
Deferred compensation plans, net, including dividend equivalents	(61)		2	(299)	265	(29)
Other	412				412
Common stock cash dividends - $.70 per share	(92,406)					(92,406)
Ending Balance at Mar. 31, 2014	$ 11,886,863	$ 1,231,500	$ 65,694	$ 2,616	$ 3,302,402	$ 7,309,912	$ (25,261)

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CONSOLIDATED BALANCE SHEET (Unaudited) (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Pledged securities that can be sold or repledged	$ 1,657,883	$ 1,696,438
Investment securities, available for sale, amortized cost	6,042,063	4,444,365
Investment securities, held to maturity, fair value	3,814,766	3,860,127
Other, fair value	$ 298,693	$ 298,581
Preferred stock, par value	$ 1.00	$ 1.00
Preferred stock, shares authorized	1,000,000	1,000,000
Common stock, par value	$ 0.50	$ 0.50
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	131,388,585	130,516,364
Common stock issuable, shares	42,100	47,231
Series A And Series C [Member]
Preferred stock, shares issued	731,500	381,500
Preferred stock, shares outstanding	731,500	381,500
Preferred stock, liquidation preference per share	$ 1,000	$ 1,000
Series D Preferred Stock [Member]
Preferred stock, shares issued	50,000	50,000
Preferred stock, shares outstanding	50,000	50,000
Preferred stock, liquidation preference per share	$ 10,000	$ 10,000

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Comprehensive income

3 Months Ended

Mar. 31, 2014

Equity [Abstract]

Comprehensive income

9. Comprehensive income

The following tables display the components of other comprehensive income (loss) and amounts reclassified from accumulated other comprehensive income (loss) to net income:

	Investment Securities
	With OTTI		All other		Defined benefit plans			Other			Total amount before tax			Income tax			Net
	(in thousands)
Balance – January 1, 2014	$	37,255		18,450		(161,617	)		115		$	(105,797	)		41,638		$	(64,159	)
Other comprehensive income before reclassifications:
Unrealized holding gains, net		19,968		42,119		—			—			62,087			(24,374	)		37,713
Foreign currency translation adjustment		—		—		—			(234	)		(234	)		98			(136	)
Total other comprehensive income before reclassifications		19,968		42,119		—			(234	)		61,853			(24,276	)		37,577
Amounts reclassified from accumulated other comprehensive income that (increase)decrease net income:
Accretion of unrealized holding losses on held-to-maturity (“HTM”) securities		2		823		—			—			825	(a)		(324	)		501
Amortization of prior service credit		—		—		(2,000	)		—			(2,000	)(c)		785			(1,215	)
Amortization of actuarial losses		—		—		3,350			—			3,350			(1,315	)		2,035
Total reclassifications		2		823		1,350			—			2,175			(854	)		1,321
Total gain (loss) during the period		19,970		42,942		1,350			(234	)		64,028			(25,130	)		38,898
Balance – March 31, 2014	$	57,225		61,392		(160,267	)		(119	)	$	(41,769	)		16,508		$	(25,261	)

	Investment Securities
	With OTTI			All other			Defined benefit plans			Other			Total amount before tax			Income tax			Net
	(in thousands)
Balance – January 1, 2013	$	(91,835	)		152,199			(455,590	)		(431	)	$	(395,657	)		155,393		$	(240,264	)
Other comprehensive income before reclassifications:
Unrealized holding gains (losses), net		24,540			(18,959	)		—			—			5,581			(2,181	)		3,400
Foreign currency translation adjustment		—			—			—			(1,452	)		(1,452	)		520			(932	)
Total other comprehensive income before reclassifications		24,540			(18,959	)		—			(1,452	)		4,129			(1,661	)		2,468
Amounts reclassified from accumulated other comprehensive income that (increase) decrease net income:
Accretion of unrealized holding losses on HTM securities		49			1,146			—			—			1,195	(a)		(469	)		726
OTTI charges recognized in net income		9,800			—			—			—			9,800	(b)		(3,847	)		5,953
Amortization of prior service credit		—			—			(2,000	)		—			(2,000	)(c)		785			(1,215	)
Amortization of actuarial losses		—			—			10,500			—			10,500	(c)		(4,121	)		6,379
Total reclassifications		9,849			1,146			8,500			—			19,495			(7,652	)		11,843
Total gain (loss) during the period		34,389			(17,813	)		8,500			(1,452	)		23,624			(9,313	)		14,311
Balance – March 31, 2013	$	(57,446	)		134,386			(447,090	)		(1,883	)	$	(372,033	)		146,080		$	(225,953	)

(a) Included in interest income

(b) Included in OTTI losses recognized in earnings

(c) Included in salaries and employee benefits expense

Accumulated other comprehensive income (loss), net consisted of the following:

					Defined
	Investment securities				benefit
	With OTTI		All other		plans			Other			Total
Balance – December 31, 2013	$	22,632		11,294		(98,182	)		97			(64,159	)
Net gain (loss) during period		12,132		26,082		820			(136	)		38,898
Balance – March 31, 2014	$	34,764		37,376		(97,362	)		(39	)		(25,261	)

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Document and Entity Information	3 Months Ended
	Mar. 31, 2014	Apr. 30, 2014
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2014
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q1
Entity Registrant Name	M&T BANK CORP
Entity Central Index Key	0000036270
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		131,488,635

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Derivative financial instruments

3 Months Ended

Mar. 31, 2014

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative financial instruments

10. Derivative financial instruments

As part of managing interest rate risk, the Company enters into interest rate swap agreements to modify the repricing characteristics of certain portions of the Company’s portfolios of earning assets and interest-bearing liabilities. The Company designates interest rate swap agreements utilized in the management of interest rate risk as either fair value hedges or cash flow hedges. Interest rate swap agreements are generally entered into with counterparties that meet established credit standards and most contain master netting and collateral provisions protecting the at-risk party. Based on adherence to the Company’s credit standards and the presence of the netting and collateral provisions, the Company believes that the credit risk inherent in these contracts is not significant as of March 31, 2014.

The net effect of interest rate swap agreements was to increase net interest income by $11 million and $10 million for the three months ended March 31, 2014 and 2013, respectively.

Information about interest rate swap agreements entered into for interest rate risk management purposes summarized by type of financial instrument the swap agreements were intended to hedge follows:

					Weighted-
	Notional amount		Average maturity		average rate
					Fixed			Variable
	(in thousands)		(in years)
March 31, 2014
Fair value hedges:
Fixed rate long-term borrowings (a)	$	1,400,000		3.4		4.42	%		1.19	%
December 31, 2013
Fair value hedges:
Fixed rate long-term borrowings (a)	$	1,400,000		3.7		4.42	%		1.20	%

(a) Under the terms of these agreements, the Company receives settlement amounts at a fixed rate and pays at a variable rate.

The Company utilizes commitments to sell residential and commercial real estate loans to hedge the exposure to changes in the fair value of real estate loans held for sale. Such commitments have generally been designated as fair value hedges. The Company also utilizes commitments to sell real estate loans to offset the exposure to changes in fair value of certain commitments to originate real estate loans for sale.

Derivative financial instruments used for trading purposes included interest rate contracts, foreign exchange and other option contracts, foreign exchange forward and spot contracts, and financial futures. Interest rate contracts entered into for trading purposes had notional values of $17.1 billion and $17.4 billion at March 31, 2014 and December 31, 2013, respectively. The notional amounts of foreign currency and other option and futures contracts entered into for trading purposes aggregated $1.0 billion and $1.4 billion at March 31, 2014 and December 31, 2013, respectively.

Information about the fair values of derivative instruments in the Company’s consolidated balance sheet and consolidated statement of income follows:

	Asset derivatives				Liability derivatives
	Fair value				Fair value
	March 31, 2014		December 31, 2013		March 31, 2014		December 31, 2013
	(in thousands)
Derivatives designated and qualifying as hedging instruments
Fair value hedges:
Interest rate swap agreements (a)	$	94,716		102,875	$	—		—
Commitments to sell real estate loans (a)		1,303		6,957		1,160		487
		96,019		109,832		1,160		487
Derivatives not designated and qualifying as hedging instruments
Mortgage-related commitments to originate real estate loans for sale (a)		13,878		7,616		1,289		3,675
Commitments to sell real estate loans (a)		2,807		6,120		1,895		230
Trading:
Interest rate contracts (b)		246,284		274,864		207,179		234,455
Foreign exchange and other option and futures contracts (b)		8,963		15,831		9,187		15,342
		271,932		304,431		219,550		253,702
Total derivatives	$	367,951		414,263	$	220,710		254,189

(a) Asset derivatives are reported in other assets and liability derivatives are reported in other liabilities.

(b) Asset derivatives are reported in trading account assets and liability derivatives are reported in other liabilities.

	Amount of unrealized gain (loss) recognized
	Three months ended March 31, 2014					Three months ended March 31, 2013
	Derivative			Hedged item		Derivative			Hedged item
	(in thousands)
Derivatives in fair value hedging relationships
Interest rate swap agreements:
Fixed rate long-term borrowings (a)	$	(8,160	)		7,920	$	(8,873	)		8,900
Derivatives not designated as hedging instruments
Trading:
Interest rate contracts (b)	$	(302	)			$	968
Foreign exchange and other option and futures contracts (b)		(5,030	)				(381	)
Total	$	(5,332	)			$	587

(a) Reported as other revenues from operations.

(b) Reported as trading account and foreign exchange gains.

In addition, the Company also has commitments to sell and commitments to originate residential and commercial real estate loans that are considered derivatives. The Company designates certain of the commitments to sell real estate loans as fair value hedges of real estate loans held for sale. The Company also utilizes commitments to sell real estate loans to offset the exposure to changes in the fair value of certain commitments to originate real estate loans for sale. As a result of these activities, net unrealized pre-tax gains related to hedged loans held for sale, commitments to originate loans for sale and commitments to sell loans were approximately $23 million at each of March 31, 2014 and December 31, 2013. Changes in unrealized gains and losses are included in mortgage banking revenues and, in general, are realized in subsequent periods as the related loans are sold and commitments satisfied.

The Company does not offset derivative asset and liability positions in its consolidated financial statements. The Company’s exposure to credit risk by entering into derivative contracts is mitigated through master netting agreements and collateral posting requirements. Master netting agreements covering interest rate and foreign exchange contracts with the same party include a right to set-off that becomes enforceable in the event of default, early termination or under other specific conditions.

The aggregate fair value of derivative financial instruments in a liability position, which are subject to enforceable master netting arrangements, was $175 million and $194 million at March 31, 2014 and December 31, 2013, respectively. After consideration of such netting arrangements, the net liability positions with counterparties aggregated $101 million and $107 million at March 31, 2014 and December 31, 2013, respectively. The Company was required to post collateral relating to those positions of $93 million and $95 million, at March 31, 2014 and December 31, 2013, respectively. Certain of the Company’s derivative financial instruments contain provisions that require the Company to maintain specific credit ratings from credit rating agencies to avoid higher collateral posting requirements. If the Company’s debt rating were to fall below specified ratings, the counterparties of the derivative financial instruments could demand immediate incremental collateralization on those instruments in a net liability position. The aggregate fair value of all derivative financial instruments with such credit-risk-related contingent features in a net liability position on March 31, 2014 was $32 million for which the Company had posted collateral of $22 million in the normal course of business. If the credit-risk-related contingent features had been triggered on March 31, 2014, the maximum amount of additional collateral the Company would have been required to post with counterparties was $10 million.

The aggregate fair value of derivative financial instruments in an asset position, which are subject to an enforceable master netting arrangement, was $167 million and $183 million at March 31, 2014 and December 31, 2013, respectively. After consideration of such netting arrangements, the net asset positions with counterparties aggregated $94 million and $95 million at March 31, 2014 and December 31, 2013, respectively. Counterparties posted collateral relating to those positions of $92 million and $93 million at March 31, 2014 and December 31, 2013, respectively. Trading account interest rate swap agreements entered into with customers are subject to the Company’s credit risk standards and often contain collateral provisions.

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Relationship with Bayview Lending Group LLC and Bayview Financial Holdings, L.P. - Additional Information (Detail) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Bayview Lending Group And Bayview Financial [Member]
Schedule of Equity Method Investments [Line Items]
Outstanding principal balances of mortgage servicing rights	$ 5,400,000,000		$ 5,500,000,000
Revenues from servicing	7,000,000	8,000,000
Bayview Lending Group [Member]
Schedule of Equity Method Investments [Line Items]
Minority interest in Bayview Lending Group LLC	20.00%
Carrying value of minority interest investment in Bayview Lending Group LLC	60,000,000
Bayview Financial [Member]
Schedule of Equity Method Investments [Line Items]
Revenues from servicing	26,000,000	2,000,000
Outstanding principal balances of residential mortgage loans from Bayview Financial	46,500,000,000		45,600,000,000
Investment securities in held-to-maturity portfolio securitized by Bayview Financial	$ 216,000,000		$ 220,000,000

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CONSOLIDATED STATEMENT OF INCOME (Unaudited) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Interest income
Loans and leases, including fees	$ 645,222	$ 682,455
Deposits at banks	1,884	267
Federal funds sold	16	17
Agreements to resell securities		9
Trading account	427	638
Investment securities
Fully taxable	73,899	44,760
Exempt from federal taxes	1,504	1,829
Total interest income	722,952	729,975
Interest expense
NOW accounts	297	322
Savings deposits	11,601	14,037
Time deposits	3,940	8,196
Deposits at Cayman Islands office	208	388
Short-term borrowings	32	231
Long-term borrowings	50,441	50,751
Total interest expense	66,519	73,925
Net interest income	656,433	656,050
Provision for credit losses	32,000	38,000
Net interest income after provision for credit losses	624,433	618,050
Other income
Mortgage banking revenues	80,049	93,103
Service charges on deposit accounts	104,198	110,949
Trust income	121,252	121,603
Brokerage services income	16,500	15,711
Trading account and foreign exchange gains	6,447	8,927
Total other-than-temporary impairment ("OTTI") losses		(1,884)
Portion of OTTI losses recognized in other comprehensive income (before taxes)		(7,916)
Net OTTI losses recognized in earnings		(9,800)
Equity in earnings of Bayview Lending Group LLC	(4,454)	(3,656)
Other revenues from operations	96,115	96,045
Total other income	420,107	432,882
Other expense
Salaries and employee benefits	371,326	356,551
Equipment and net occupancy	71,167	65,159
Printing, postage and supplies	10,956	10,699
Amortization of core deposit and other intangible assets	10,062	13,343
FDIC assessments	15,488	19,438
Other costs of operations	223,272	170,406
Total other expense	702,271	635,596
Income before taxes	342,269	415,336
Income taxes	113,252	141,223
Net income	229,017	274,113
Net income available to common shareholders
Basic	211,720	255,079
Diluted	$ 211,731	$ 255,096
Net income per common share
Basic	$ 1.63	$ 2.00
Diluted	$ 1.61	$ 1.98
Cash dividends per common share	$ 0.70	$ 0.70
Average common shares outstanding
Basic	130,212	127,669
Diluted	131,126	128,636

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Loans and leases and the allowance for credit losses

3 Months Ended

Mar. 31, 2014

Receivables [Abstract]

Loans and leases and the allowance for credit losses

4. Loans and leases and the allowance for credit losses

The outstanding principal balance and the carrying amount of acquired loans that were recorded at fair value at the acquisition date that is included in the consolidated balance sheet were as follows:

	March 31, 2014		December 31, 2013
	(in thousands)
Outstanding principal balance	$	4,302,336		4,656,811
Carrying amount:
Commercial, financial, leasing, etc.		474,612		580,685
Commercial real estate		1,412,397		1,541,368
Residential real estate		551,698		576,473
Consumer		1,258,875		1,308,926
	$	3,697,582		4,007,452

Purchased impaired loans included in the table above totaled $303 million at March 31, 2014 and $331 million at December 31, 2013, representing less than 1% of the Company’s assets as of each date. A summary of changes in the accretable yield for acquired loans for the three months ended March 31, 2014 and 2013 follows:

	Three months ended March 31, 2014
	Purchased impaired			Other acquired			Total
	(in thousands)
Balance at beginning of period	$	37,230			538,633			575,863
Interest income		(6,328	)		(52,633	)		(58,961	)
Reclassifications from nonaccretable balance, net		37			—			37
Other (a)		—			(838	)		(838	)
Balance at end of period	$	30,939			485,162			516,101

	Three months ended March 31, 2013
	Purchased impaired			Other acquired			Total
	(in thousands)
Balance at beginning of period	$	42,252			638,272			680,524
Interest income		(8,704	)		(61,747	)		(70,451	)
Reclassifications from nonaccretable balance, net		180			10,817			10,997
Other (a)		—			(9,733	)		(9,733	)
Balance at end of period	$	33,728			577,609			611,337

(a) Other changes in expected cash flows including changes in interest rates and prepayment assumptions.

A summary of current, past due and nonaccrual loans as of March 31, 2014 and December 31, 2013 were as follows:

	Current		30-89 Days past due		90 Days or more past due and accruing				Purchased impaired (b)		Nonaccrual		Total
					Non- acquired		Acquired (a)
	(in thousands)
March 31, 2014
Commercial, financial, leasing, etc.	$	18,686,680		43,019		8,245		4,295		15,560		138,271		18,896,070
Real estate:
Commercial		21,309,518		158,281		7,870		33,560		91,312		175,984		21,776,525
Residential builder and developer		1,073,532		3,613		—		8,812		122,757		89,563		1,298,277
Other commercial construction		2,915,804		41,861		—		2,381		44,175		25,063		3,029,284
Residential		7,530,046		254,376		285,478		45,733		26,986		259,678		8,402,297
Residential Alt-A		272,463		20,815		—		—		—		78,520		371,798
Consumer:
Home equity lines and loans		5,914,788		36,440		—		26,039		2,598		82,555		6,062,420
Automobile		1,454,199		20,441		—		176		—		16,351		1,491,167
Other		2,744,821		32,087		5,424		—		—		24,908		2,807,240
Total	$	61,901,851		610,933		307,017		120,996		303,388		890,893		64,135,078

	Current		30-89 Days past due		90 Days or more past due and accruing				Purchased impaired (b)		Nonaccrual		Total
					Non- acquired		Acquired (a)
	(in thousands)
December 31, 2013
Commercial, financial, leasing, etc.	$	18,489,474		77,538		4,981		6,778		15,706		110,739		18,705,216
Real estate:
Commercial		21,236,071		145,749		63,353		35,603		88,034		173,048		21,741,858
Residential builder and developer		1,025,984		8,486		141		7,930		137,544		96,427		1,276,512
Other commercial construction		2,986,598		42,234		—		8,031		57,707		35,268		3,129,838
Residential		7,630,368		295,131		294,649		43,700		29,184		252,805		8,545,837
Residential Alt-A		283,253		18,009		—		—		—		81,122		382,384
Consumer:
Home equity lines and loans		5,972,365		40,537		—		27,754		2,617		78,516		6,121,789
Automobile		1,314,246		29,144		—		366		—		21,144		1,364,900
Other		2,726,522		47,830		5,386		—		—		25,087		2,804,825
Total	$	61,664,881		704,658		368,510		130,162		330,792		874,156		64,073,159

(a) Acquired loans that were recorded at fair value at acquisition date. This category does not include purchased impaired loans that are presented separately.

(b) Accruing loans that were impaired at acquisition date and were recorded at fair value.

One-to-four family residential mortgage loans held for sale were $292 million and $401 million at March 31, 2014 and December 31, 2013, respectively. Commercial mortgage loans held for sale were $38 million at March 31, 2014 and $68 million at December 31, 2013.

Changes in the allowance for credit losses for the three months ended March 31, 2014 were as follows:

	Commercial, Financial, Leasing, etc.			Real Estate
				Commercial			Residential			Consumer			Unallocated		Total
	(in thousands)
Beginning balance	$	273,383			324,978			78,656			164,644			75,015		916,676
Provision for credit losses		12,598			116			4,228			14,141			917		32,000
Net charge-offs
Charge-offs		(14,809	)		(3,486	)		(7,453	)		(21,691	)		—		(47,439	)
Recoveries		5,663			3,197			1,631			5,040			—		15,531
Net charge-offs		(9,146	)		(289	)		(5,822	)		(16,651	)		—		(31,908	)
Ending balance	$	276,835			324,805			77,062			162,134			75,932		916,768

Changes in the allowance for credit losses for the three months ended March 31, 2013 were as follows:

	Commercial, Financial, Leasing, etc.			Real Estate
				Commercial			Residential			Consumer			Unallocated		Total
	(in thousands)
Beginning balance	$	246,759			337,101			88,807			179,418			73,775		925,860
Provision for credit losses		17,880			(312	)		5,036			14,836			560		38,000
Net charge-offs
Charge-offs		(9,544	)		(9,588	)		(8,171	)		(21,645	)		—		(48,948	)
Recoveries		2,756			815			4,450			4,184			—		12,205
Net charge-offs		(6,788	)		(8,773	)		(3,721	)		(17,461	)		—		(36,743	)
Ending balance	$	257,851			328,016			90,122			176,793			74,335		927,117

Despite the above allocation, the allowance for credit losses is general in nature and is available to absorb losses from any loan or lease type.

In establishing the allowance for credit losses, the Company estimates losses attributable to specific troubled credits identified through both normal and detailed or intensified credit review processes and also estimates losses inherent in other loans and leases on a collective basis. For purposes of determining the level of the allowance for credit losses, the Company evaluates its loan and lease portfolio by loan type. The amounts of loss components in the Company’s loan and lease portfolios are determined through a loan by loan analysis of larger balance commercial and commercial real estate loans that are in nonaccrual status and by applying loss factors to groups of loan balances based on loan type and management’s classification of such loans under the Company’s loan grading system. Measurement of the specific loss components is typically based on expected future cash flows, collateral values and other factors that may impact the borrower’s ability to pay. In determining the allowance for credit losses, the Company utilizes a loan grading system which is applied to commercial and commercial real estate credits on an individual loan basis. Loan officers are responsible for continually assigning grades to these loans based on standards outlined in the Company’s Credit Policy. Internal loan grades are also monitored by the Company’s loan review department to ensure consistency and strict adherence to the prescribed standards. Loan grades are assigned loss component factors that reflect the Company’s loss estimate for each group of loans and leases. Factors considered in assigning loan grades and loss component factors include borrower-specific information related to expected future cash flows and operating results, collateral values, geographic location, financial condition and performance, payment status, and other information; levels of and trends in portfolio charge-offs and recoveries; levels of and trends in portfolio delinquencies and impaired loans; changes in the risk profile of specific portfolios; trends in volume and terms of loans; effects of changes in credit concentrations; and observed trends and practices in the banking industry. As updated appraisals are obtained on individual loans or other events in the market place indicate that collateral values have significantly changed, individual loan grades are adjusted as appropriate. Changes in other factors cited may also lead to loan grade changes at any time. Except for consumer and residential mortgage loans that are considered smaller balance homogenous loans and acquired loans that are evaluated on an aggregated basis, the Company considers a loan to be impaired for purposes of applying GAAP when, based on current information and events, it is probable that the Company will be unable to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days. Regardless of loan type, the Company considers a loan to be impaired if it qualifies as a troubled debt

restructuring. Modified loans, including smaller balance homogenous loans, that are considered to be troubled debt restructurings are evaluated for impairment giving consideration to the impact of the modified loan terms on the present value of the loan’s expected cash flows.

The following tables provide information with respect to loans and leases that were considered impaired as of March 31, 2014 and December 31, 2013 and for the three month periods ended March 31, 2014 and 2013.

	March 31, 2014						December 31, 2013
	Recorded investment		Unpaid principal balance		Related allowance		Recorded investment		Unpaid principal balance		Related allowance
	(in thousands)
With an allowance recorded:
Commercial, financial, leasing, etc.	$	104,878		130,132		21,578		90,293		112,092		24,614
Real estate:
Commercial		102,898		120,165		15,811		113,570		132,325		19,520
Residential builder and developer		31,314		45,625		4,746		33,311		55,122		4,379
Other commercial construction		77,054		81,296		5,933		86,260		90,515		4,022
Residential		93,029		112,025		5,262		96,508		114,521		7,146
Residential Alt-A		109,986		124,319		13,000		111,911		124,528		14,000
Consumer:
Home equity lines and loans		17,522		18,592		5,225		13,672		14,796		3,312
Automobile		38,068		38,068		10,120		40,441		40,441		11,074
Other		17,832		17,832		4,780		17,660		17,660		4,541
		592,581		688,054		86,455		603,626		702,000		92,608
With no related allowance recorded:
Commercial, financial, leasing, etc.		40,542		42,948		—		28,093		33,095		—
Real estate:
Commercial		83,194		104,359		—		65,271		84,333		—
Residential builder and developer		68,487		101,354		—		72,366		104,768		—
Other commercial construction		5,801		9,400		—		7,369		11,493		—
Residential		84,328		94,408		—		84,144		95,358		—
Residential Alt-A		28,047		51,001		—		28,357		52,211		—
		310,399		403,470		—		285,600		381,258		—
Total:
Commercial, financial, leasing, etc.		145,420		173,080		21,578		118,386		145,187		24,614
Real estate:
Commercial		186,092		224,524		15,811		178,841		216,658		19,520
Residential builder and developer		99,801		146,979		4,746		105,677		159,890		4,379
Other commercial construction		82,855		90,696		5,933		93,629		102,008		4,022
Residential		177,357		206,433		5,262		180,652		209,879		7,146
Residential Alt-A		138,033		175,320		13,000		140,268		176,739		14,000
Consumer:
Home equity lines and loans		17,522		18,592		5,225		13,672		14,796		3,312
Automobile		38,068		38,068		10,120		40,441		40,441		11,074
Other		17,832		17,832		4,780		17,660		17,660		4,541
Total	$	902,980		1,091,524		86,455		889,226		1,083,258		92,608

	Three months ended March 31, 2014						Three months ended March 31, 2013
			Interest income recognized						Interest income recognized
	Average recorded investment		Total		Cash basis		Average recorded investment		Total		Cash basis
	(in thousands)
Commercial, financial, leasing, etc.	$	134,306		548		548		167,793		2,434		2,434
Real estate:
Commercial		185,425		926		926		194,446		303		303
Residential builder and developer		101,253		74		74		183,853		140		65
Other commercial construction		87,292		1,087		1,087		98,318		635		635
Residential		174,168		1,400		902		188,075		1,470		922
Residential Alt-A		139,651		1,626		559		156,971		1,740		591
Consumer:
Home equity lines and loans		15,676		121		29		12,454		167		39
Automobile		39,383		625		87		47,606		776		146
Other		17,700		174		52		14,930		151		54
Total	$	894,854		6,581		4,264		1,064,446		7,816		5,189

In accordance with the previously described policies, the Company utilizes a loan grading system that is applied to all commercial loans and commercial real estate loans. Loan grades are utilized to differentiate risk within the portfolio and consider the expectations of default for each loan. Commercial loans and commercial real estate loans with a lower expectation of default are assigned one of ten possible “pass” loan grades and are generally ascribed lower loss factors when determining the allowance for credit losses. Loans with an elevated level of credit risk are classified as “criticized” and are ascribed a higher loss factor when determining the allowance for credit losses. Criticized loans may be classified as “nonaccrual” if the Company no longer expects to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days or more. All larger balance criticized commercial and commercial real estate loans are individually reviewed by centralized loan review personnel each quarter to determine the appropriateness of the assigned loan grade, including whether the loan should be reported as accruing or nonaccruing. Smaller balance criticized loans are analyzed by business line risk management areas to ensure proper loan grade classification. Furthermore, criticized nonaccrual commercial loans and commercial real estate loans are considered impaired and, as a result, specific loss allowances on such loans are established within the allowance for credit losses to the extent appropriate in each individual instance. The following table summarizes the loan grades applied to the various classes of the Company’s commercial and commercial real estate loans.

			Real Estate
	Commercial, Financial, Leasing, etc.		Commercial		Residential Builder and Developer		Other Commercial Construction
	(in thousands)
March 31, 2014
Pass	$	18,022,241		21,053,068		1,151,202		2,946,152
Criticized accrual		735,558		547,473		57,512		58,069
Criticized nonaccrual		138,271		175,984		89,563		25,063
Total	$	18,896,070		21,776,525		1,298,277		3,029,284
December 31, 2013
Pass	$	17,894,592		20,972,257		1,107,144		3,040,106
Criticized accrual		699,885		596,553		72,941		54,464
Criticized nonaccrual		110,739		173,048		96,427		35,268
Total	$	18,705,216		21,741,858		1,276,512		3,129,838

In determining the allowance for credit losses, residential real estate loans and consumer loans are generally evaluated collectively after considering such factors as payment performance and recent loss experience and trends, which are mainly driven by current collateral values in the market place as well as the amount of loan defaults. Loss rates on such loans are determined by reference to recent charge-off history and are evaluated (and adjusted if deemed appropriate) through consideration of other factors including near-term forecasted loss estimates developed by the Company’s Credit Department. In arriving at such forecasts, the Company considers the current estimated fair value of its collateral based on geographical adjustments for home price depreciation/appreciation and overall borrower repayment performance. With regard to collateral values, the realizability of such values by the Company contemplates repayment of the original balance of any first lien position prior to recovering amounts on a second lien position. However, residential real estate loans and outstanding balances of home equity loans and lines of credit that are more than 150 days past due are generally evaluated for collectibility on a loan-by-loan basis giving consideration to estimated collateral values.

The Company also measures additional losses for purchased impaired loans when it is probable that the Company will be unable to collect all cash flows expected at acquisition plus additional cash flows expected to be collected arising from changes in estimates after acquisition. The determination of the allocated portion of the allowance for credit losses is very subjective. Given that inherent subjectivity and potential imprecision involved in determining the allocated portion of the allowance for credit losses, the Company also provides an inherent unallocated portion of the allowance. The unallocated portion of the allowance is intended to recognize probable losses that are not otherwise identifiable and includes management’s subjective determination of amounts necessary to provide for the possible use of imprecise estimates in determining the allocated portion of the allowance. Therefore, the level of the unallocated portion of the allowance is primarily reflective of the inherent imprecision in the various calculations used in determining the allocated portion of the allowance for credit losses. Other factors that could also lead to changes in the unallocated portion include the effects of expansion into new markets for which the Company does not have the same degree of familiarity and experience regarding portfolio performance in changing market conditions, the introduction of new loan and lease product types, and other risks associated with the Company’s loan portfolio that may not be specifically identifiable.

The allocation of the allowance for credit losses summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(in thousands)
March 31, 2014
Individually evaluated for impairment	$	21,578		26,157		18,243		20,125	$	86,103
Collectively evaluated for impairment		249,499		298,048		56,797		140,409		744,753
Purchased impaired		5,758		600		2,022		1,600		9,980
Allocated	$	276,835		324,805		77,062		162,134		840,836
Unallocated										75,932
Total									$	916,768
December 31, 2013
Individually evaluated for impairment	$	24,614		27,563		21,127		18,927	$	92,231
Collectively evaluated for impairment		246,096		296,781		55,864		144,210		742,951
Purchased impaired		2,673		634		1,665		1,507		6,479
Allocated	$	273,383		324,978		78,656		164,644		841,661
Unallocated										75,015
Total									$	916,676

The recorded investment in loans and leases summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(in thousands)
March 31, 2014
Individually evaluated for impairment	$	145,420		367,183		314,829		73,422	$	900,854
Collectively evaluated for impairment		18,735,090		25,478,659		8,432,280		10,284,807		62,930,836
Purchased impaired		15,560		258,244		26,986		2,598		303,388
Total	$	18,896,070		26,104,086		8,774,095		10,360,827	$	64,135,078
December 31, 2013
Individually evaluated for impairment	$	118,386		376,339		320,360		71,773	$	886,858
Collectively evaluated for impairment		18,571,124		25,488,584		8,578,677		10,217,124		62,855,509
Purchased impaired		15,706		283,285		29,184		2,617		330,792
Total	$	18,705,216		26,148,208		8,928,221		10,291,514	$	64,073,159

During the normal course of business, the Company modifies loans to maximize recovery efforts. If the borrower is experiencing financial difficulty and a concession is granted, the Company considers such modifications as troubled debt restructurings and classifies those loans as either nonaccrual loans or renegotiated loans. The types of concessions that the Company grants typically include principal deferrals and interest rate concessions, but may also include other types of concessions.

The tables below summarize the Company’s loan modification activities that were considered troubled debt restructurings for the three months ended March 31, 2014 and 2013:

			Recorded investment				Financial effects of modification
Three months ended March 31, 2014	Number		Pre- modifica- tion		Post- modifica- tion		Recorded investment (a)			Interest (b)
			(dollars in thousands)
Commercial, financial, leasing, etc.
Principal deferral		30	$	14,954	$	14,848	$	(106	)	$	—
Combination of concession types		2		41		39		(2	)		(4	)
Real estate:
Commercial
Principal deferral		13		7,044		7,002		(42	)		—
Combination of concession types		1		346		401		55			(104	)
Other commercial construction
Principal deferral		1		151		151		—			—
Residential
Principal deferral		13		1,602		1,663		61			—
Interest rate reduction		1		98		104		6			(32	)
Other		1		188		188		—			—
Combination of concession types		14		2,188		2,160		(28	)		(282	)
Residential Alt-A
Principal deferral		2		166		202		36			—
Combination of concession types		10		1,746		1,736		(10	)		(61	)
Consumer:
Home equity lines and loans
Principal deferral		3		280		280		—			—
Combination of concession types		15		1,856		1,856		—			(172	)
Automobile
Principal deferral		80		993		993		—			—
Other		11		61		61		—			—
Combination of concession types		23		250		250		—			(26	)
Other
Principal deferral		8		55		55		—			—
Other		1		45		45		—			—
Combination of concession types		14		466		466		—			(188	)
Total		243	$	32,530	$	32,500	$	(30	)	$	(869	)

(a) Financial effects impacting the recorded investment included principal payments or advances, charge-offs and capitalized escrow arrearages.

(b) Represents the present value of interest rate concessions discounted at the effective rate of the original loan.

			Recorded investment				Financial effects of modification
Three months ended March 31, 2013	Number		Pre- modifica- tion		Post- modifica- tion		Recorded investment (a)			Interest (b)
			(dollars in thousands)
Commercial, financial, leasing, etc.
Principal deferral		24	$	2,006	$	1,982	$	(24	)	$	—
Other		1		47,200		47,200		—			—
Combination of concession types		1		342		342		—			—
Real estate:
Commercial
Principal deferral		8		18,478		18,363		(115	)		—
Combination of concession types		2		582		581		(1	)		(56	)
Residential builder and developer
Principal deferral		8		1,357		1,340		(17	)		—
Combination of concession types		1		1,701		1,691		(10	)		—
Residential
Principal deferral		7		566		607		41			—
Other		1		195		195		—			—
Combination of concession types		20		2,449		2,536		87			(371	)
Residential Alt-A
Combination of concession types		5		907		925		18			(110	)
Consumer:
Home equity lines and loans
Principal deferral		2		79		79		—			—
Combination of concession types		2		211		211		—			(33	)
Automobile
Principal deferral		121		1,586		1,586		—			—
Interest rate reduction		2		36		36		—			(5	)
Other		17		159		159		—			—
Combination of concession types		61		553		553		—			(42	)
Other
Principal deferral		6		45		45		—			—
Other		1		12		12		—			—
Combination of concession types		42		1,217		1,217		—			(267	)
Total		332	$	79,681	$	79,660	$	(21	)	$	(884	)

(a) Financial effects impacting the recorded investment included principal payments or advances, charge-offs and capitalized escrow arrearages.

(b) Represents the present value of interest rate concessions discounted at the effective rate of the original loan.

Troubled debt restructurings are considered to be impaired loans and for purposes of establishing the allowance for credit losses are evaluated for impairment giving consideration to the impact of the modified loan terms on the present value of the loan’s expected cash flows. Impairment of troubled debt restructurings that have subsequently defaulted may also be measured based on the loan’s observable market price or the fair value of collateral if the loan is collateral-dependent. Charge-offs may also be recognized on troubled debt restructurings that have subsequently defaulted. Loans that were modified as troubled debt restructurings during the twelve months ended March 31, 2014 and 2013 and for which there was a subsequent payment default during the three-month periods ended March 31, 2014 and 2013, respectively, were not material.

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Investment securities

3 Months Ended

Mar. 31, 2014

Investments Debt And Equity Securities [Abstract]

Investment securities

3. Investment securities

The amortized cost and estimated fair value of investment securities were as follows:

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
	(in thousands)
March 31, 2014
Investment securities available for sale:
U.S. Treasury and federal agencies	$	42,415		291		59	$	42,647
Obligations of states and political subdivisions		10,148		306		71		10,383
Mortgage-backed securities:
Government issued or guaranteed		5,722,948		85,193		7,050		5,801,091
Privately issued		235		466		5		696
Collateralized debt obligations		38,451		23,623		306		61,768
Other debt securities		138,197		1,859		17,807		122,249
Equity securities		89,669		63,431		363		152,737
		6,042,063		175,169		25,661		6,191,571
Investment securities held to maturity:
Obligations of states and political subdivisions		162,894		3,280		194		165,980
Mortgage-backed securities:
Government issued or guaranteed		3,486,786		26,847		37,718		3,475,915
Privately issued		215,649		—		51,434		164,215
Other debt securities		8,656		—		—		8,656
		3,873,985		30,127		89,346		3,814,766
Other securities		298,693		—		—		298,693
Total	$	10,214,741		205,296		115,007	$	10,305,030

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
	(in thousands)
December 31, 2013
Investment securities available for sale:
U.S. Treasury and federal agencies	$	37,396		382		2	$	37,776
Obligations of states and political subdivisions		10,484		333		6		10,811
Mortgage-backed securities:
Government issued or guaranteed		4,123,435		61,001		19,350		4,165,086
Privately issued		1,468		387		5		1,850
Collateralized debt obligations		42,274		21,666		857		63,083
Other debt securities		137,828		1,722		19,465		120,085
Equity securities		91,480		41,842		227		133,095
		4,444,365		127,333		39,912		4,531,786
Investment securities held to maturity:
Obligations of states and political subdivisions		169,684		3,744		135		173,293
Mortgage-backed securities:
Government issued or guaranteed		3,567,905		16,160		65,149		3,518,916
Privately issued		219,628		—		60,623		159,005
Other debt securities		8,913		—		—		8,913
		3,966,130		19,904		125,907		3,860,127
Other securities		298,581		—		—		298,581
Total	$	8,709,076		147,237		165,819	$	8,690,494

There were no gross realized gains or losses from sales of investment securities for the quarters ended March 31, 2014 and 2013. The Company recognized $10 million of pre-tax other-than-temporary impairment (“OTTI”) losses during the quarter ended March 31, 2013 related to privately issued mortgage-backed securities. The impairment charges were recognized in light of deterioration of real estate values and a rise in delinquencies and charge-offs of underlying mortgage loans collateralizing those securities. The OTTI losses represented management’s estimate of credit losses inherent in the debt securities considering projected cash flows using assumptions for delinquency rates, loss severities, and other estimates of future collateral performance. There were no OTTI losses during the first quarter of 2014.

Changes in credit losses associated with debt securities for which OTTI losses have been recognized in earnings for the three months ended March 31, 2013 follows:

	Three months ended March 31, 2013
	(in thousands)
Beginning balance	$	197,809
Additions for credit losses not previously recognized		9,800
Reductions for realized losses		(20,495	)
Ending balance	$	187,114

There were no significant credit losses associated with debt securities held by the Company as of March 31, 2014 or December 31, 2013.

At March 31, 2014, the amortized cost and estimated fair value of debt securities by contractual maturity were as follows:

	Amortized cost		Estimated fair value
	(in thousands)
Debt securities available for sale:
Due in one year or less	$	9,830		9,957
Due after one year through five years		43,459		44,086
Due after five years through ten years		5,328		5,442
Due after ten years		170,594		177,562
		229,211		237,047
Mortgage-backed securities available for sale		5,723,183		5,801,787
	$	5,952,394		6,038,834
Debt securities held to maturity:
Due in one year or less	$	17,944		18,049
Due after one year through five years		74,928		76,540
Due after five years through ten years		70,022		71,391
Due after ten years		8,656		8,656
		171,550		174,636
Mortgage-backed securities held to maturity		3,702,435		3,640,130
	$	3,873,985		3,814,766

A summary of investment securities that as of March 31, 2014 and December 31, 2013 had been in a continuous unrealized loss position for less than twelve months and those that had been in a continuous unrealized loss position for twelve months or longer follows:

	Less than 12 months					12 months or more
	Fair value		Unrealized losses			Fair value		Unrealized losses
	(in thousands)
March 31, 2014
Investment securities available for sale:
U.S. Treasury and federal agencies	$	29,346		(59	)		—		—
Obligations of states and political subdivisions		1,930		(68	)		439		(3	)
Mortgage-backed securities:
Government issued or guaranteed		1,725,859		(6,919	)		5,215		(131	)
Privately issued		—		—			91		(5	)
Collateralized debt obligations		—		—			6,097		(306	)
Other debt securities		927		(10	)		105,418		(17,797	)
Equity securities		2,307		(363	)		—		—
		1,760,369		(7,419	)		117,260		(18,242	)
Investment securities held to maturity:
Obligations of states and political subdivisions		17,490		(155	)		2,658		(39	)
Mortgage-backed securities:
Government issued or guaranteed		1,715,149		(37,718	)		—		—
Privately issued		—		—			164,215		(51,434	)
		1,732,639		(37,873	)		166,873		(51,473	)
Total	$	3,493,008		(45,292	)		284,133		(69,715	)
December 31, 2013
Investment securities available for sale:
U.S. Treasury and federal agencies	$	745		(2	)		—		—
Obligations of states and political subdivisions		—		—			558		(6	)
Mortgage-backed securities:
Government issued or guaranteed		1,697,094		(19,225	)		5,815		(125	)
Privately issued		—		—			98		(5	)
Collateralized debt obligations		—		—			6,257		(857	)
Other debt securities		1,428		(4	)		103,602		(19,461	)
Equity securities		159		(227	)		—		—
		1,699,426		(19,458	)		116,330		(20,454	)
Investment securities held to maturity:
Obligations of states and political subdivisions		13,517		(120	)		1,558		(15	)
Mortgage-backed securities:
Government issued or guaranteed		2,629,950		(65,149	)		—		—
Privately issued		—		—			159,005		(60,623	)
		2,643,467		(65,269	)		160,563		(60,638	)
Total	$	4,342,893		(84,727	)		276,893		(81,092	)

The Company owned 392 individual investment securities with aggregate gross unrealized losses of $115 million at March 31, 2014. Based on a review of each of the securities in the investment securities portfolio at March 31, 2014, the Company concluded that it expected to recover the amortized cost basis of its investment. As of March 31, 2014, the Company does not intend to sell nor is it anticipated that it would be required to sell any of its impaired investment securities at a loss. At March 31, 2014, the Company has not identified events or changes in circumstances which may have a significant adverse effect on the fair value of the $299 million of cost method investment securities.

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Relationship with Bayview Lending Group LLC and Bayview Financial Holdings, L.P.

3 Months Ended

Mar. 31, 2014

Text Block [Abstract]

Relationship with Bayview Lending Group LLC and Bayview Financial Holdings, L.P.

15. Relationship with Bayview Lending Group LLC and Bayview Financial Holdings, L.P.

M&T holds a 20% minority interest in Bayview Lending Group LLC (“BLG”), a privately-held commercial mortgage company. M&T recognizes income or loss from BLG using the equity method of accounting. The carrying value of that investment was $60 million at March 31, 2014.

Bayview Financial Holdings, L.P. (together with its affiliates, “Bayview Financial”), a privately-held specialty mortgage finance company, is BLG’s majority investor. In addition to their common investment in BLG, the Company and Bayview Financial conduct other business activities with each other. The Company has obtained loan servicing rights for mortgage loans from BLG and Bayview Financial having outstanding principal balances of $5.4 billion and $5.5 billion at March 31, 2014 and December 31, 2013, respectively. Revenues from those servicing rights were $7 million and $8 million during the three-month periods ended March 31, 2014 and 2013, respectively. The Company sub-services residential mortgage loans for Bayview Financial having outstanding principal balances totaling $46.5 billion and $45.6 billion at March 31, 2014 and December 31, 2013, respectively. Revenues earned for sub-servicing loans for Bayview Financial were $26 million and $2 million for the three-month periods ended March 31, 2014 and 2013, respectively. In addition, the Company held $216 million and $220 million of mortgage-backed securities in its held-to-maturity portfolio at March 31, 2014 and December 31, 2013, respectively, that were securitized by Bayview Financial.

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Variable interest entities and asset securitizations

3 Months Ended

Mar. 31, 2014

Text Block [Abstract]

Variable interest entities and asset securitizations

11. Variable interest entities and asset securitizations

In accordance with GAAP, the Company determined that it was the primary beneficiary of a residential mortgage loan securitization trust considering its role as servicer and its retained subordinated interests in the trust. As a result, the Company has included the one-to-four family residential mortgage loans that were included in the trust in its consolidated financial statements. At March 31, 2014 and December 31, 2013, the carrying values of the loans in the securitization trust were $117 million and $121 million, respectively. The outstanding principal amount of mortgage-backed securities issued by the qualified special purpose trust that was held by parties unrelated to M&T at March 31, 2014 and December 31, 2013 was $18 million. Because the transaction was non-recourse, the Company’s maximum exposure to loss as a result of its association with the trust at March 31, 2014 is limited to realizing the carrying value of the loans less the amount of the mortgage-backed securities held by third parties.

As described in note 5, M&T has issued junior subordinated debentures payable to various trusts that have issued Capital Securities. M&T owns the common securities of those trust entities. The Company is not considered to be the primary beneficiary of those entities and, accordingly, the trusts are not included in the Company’s consolidated financial statements. At March 31, 2014 and December 31, 2013, the Company included the junior subordinated debentures as “long-term borrowings” in its consolidated balance sheet. The Company has recognized $34 million in other assets for its “investment” in the common securities of the trusts that will be concomitantly repaid to M&T by the respective trust from the proceeds of M&T’s repayment of the junior subordinated debentures associated with preferred capital securities described in note 5.

The Company has invested as a limited partner in various partnerships that collectively had total assets of approximately $1.3 billion at March 31, 2014 and December 31, 2013. Those partnerships generally construct or acquire properties for which the investing partners are eligible to receive certain federal income tax credits in accordance with government guidelines. Such investments may also provide tax deductible losses to the partners. The partnership investments also assist the Company in achieving its community reinvestment initiatives. As a limited partner, there is no recourse to the Company by creditors of the partnerships. However, the tax credits that result from the Company’s investments in such partnerships are generally subject to recapture should a partnership fail to comply with the respective government regulations. The Company’s maximum exposure to loss of its investments in such partnerships was $250 million, including $57 million of unfunded commitments, at March 31, 2014 and $236 million, including $45 million of unfunded commitments, at December 31, 2013. The Company has not provided financial or other support to the partnerships that was not contractually required. Management currently estimates that no material losses are probable as a result of the Company’s involvement with such entities. The Company, in its position as limited partner, does not direct the activities that most significantly impact the economic performance of the partnerships and, therefore, in accordance with the accounting provisions for variable interest entities, the partnership entities are not included in the Company’s consolidated financial statements.

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Pension plans and other postretirement benefits

3 Months Ended

Mar. 31, 2014

Compensation And Retirement Disclosure [Abstract]

Pension plans and other postretirement benefits

7. Pension plans and other postretirement benefits

The Company provides defined benefit pension and other postretirement benefits (including health care and life insurance benefits) to qualified retired employees. Net periodic benefit cost for defined benefit plans consisted of the following:

	Pension benefits						Other postretirement benefits
	Three months ended March 31
	2014			2013			2014			2013
	(in thousands)
Service cost	$	5,100			6,050			150			200
Interest cost on projected benefit obligation		17,250			15,126			675			675
Expected return on plan assets		(22,925	)		(21,875	)		—			—
Amortization of prior service credit		(1,650	)		(1,650	)		(350	)		(350	)
Amortization of net actuarial loss		3,350			10,400			—			100
Net periodic benefit cost	$	1,125			8,051			475			625

Expense incurred in connection with the Company’s defined contribution pension and retirement savings plans totaled $15,732,000 and $15,755,000 for the three months ended March 31, 2014 and 2013, respectively.

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Earnings Per Common Share - Computations of Basic Earnings Per Common Share (Detail) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Income available to common shareholders:
Net income	$ 229,017	$ 274,113
Less: Preferred stock dividends	(14,674)	(13,363)
Amortization of preferred stock discount		(2,147)
Net income available to common equity	214,343	258,603
Less: Income attributable to unvested stock-based compensation awards	(2,623)	(3,524)
Net income available to common shareholders	$ 211,720	$ 255,079
Weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards	131,800	129,449
Less: Unvested stock-based compensation awards	(1,588)	(1,780)
Weighted-average shares outstanding	130,212	127,669
Basic earnings per common share	$ 1.63	$ 2.00

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Borrowings

3 Months Ended

Mar. 31, 2014

Debt Disclosure [Abstract]

Borrowings

5. Borrowings

M&T had $834 million of fixed and floating rate junior subordinated deferrable interest debentures (“Junior Subordinated Debentures”) outstanding at March 31, 2014 that are held by various trusts and were issued in connection with the issuance by those trusts of preferred capital securities (“Capital Securities”) and common securities (“Common Securities”). The proceeds from the issuances of the Capital Securities and the Common Securities were used by the trusts to purchase the Junior Subordinated Debentures. The Common Securities of each of those trusts are wholly owned by M&T and are the only class of each trust’s securities possessing general voting powers. The Capital Securities represent preferred undivided interests in the assets of the corresponding trust.

Under the Federal Reserve Board’s current risk-based capital guidelines, the Capital Securities are includable in M&T’s Tier 1 capital. However, in July 2013, the Federal Reserve Board, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation issued a final rule to comprehensively revise the capital framework for the U.S. banking sector. Under that rule, trust preferred capital securities will be phased out from inclusion in Tier 1 capital such that in 2015 only 25% of then-outstanding securities will be included in Tier 1 capital and beginning in 2016 none of the securities will be included in Tier 1 capital.

Holders of the Capital Securities receive preferential cumulative cash distributions unless M&T exercises its right to extend the payment of interest on the Junior Subordinated Debentures as allowed by the terms of each such debenture, in which case payment of distributions on the respective Capital Securities will be deferred for comparable periods. During an extended interest period, M&T may not pay dividends or distributions on, or repurchase, redeem or acquire any shares of its capital stock. In general, the agreements governing the Capital Securities, in the aggregate, provide a full, irrevocable and unconditional guarantee by M&T of the payment of distributions on, the redemption of, and any liquidation distribution with respect to the Capital Securities. The obligations under such guarantee and the Capital Securities are subordinate and junior in right of payment to all senior indebtedness of M&T.

The Capital Securities will remain outstanding until the Junior Subordinated Debentures are repaid at maturity, are redeemed prior to maturity or are distributed in liquidation to the Trusts. The Capital Securities are mandatorily redeemable in whole, but not in part, upon repayment at the stated maturity dates (ranging from 2027 to 2033) of the Junior Subordinated Debentures or the earlier redemption of the Junior Subordinated Debentures in whole upon the occurrence of one or more events set forth in the indentures relating to the Capital Securities, and in whole or in part at any time after an optional redemption prior to contractual maturity contemporaneously with the optional redemption of the related Junior Subordinated Debentures in whole or in part, subject to possible regulatory approval.

On February 27, 2014, M&T redeemed all of the issued and outstanding 8.5% $350 million trust preferred securities issued by M&T Capital Trust IV and the related junior subordinated debentures held by M&T Capital Trust IV.

Also included in long-term borrowings are agreements to repurchase securities of $1.4 billion at each of March 31, 2014 and December 31, 2013. The agreements are subject to master netting arrangements, however the Company has not offset any amounts related to these agreements in its consolidated financial statements. The Company posted collateral of $1.6 billion at each of March 31, 2014 and December 31, 2013.

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Shareholders' equity

3 Months Ended

Mar. 31, 2014

Equity [Abstract]

Shareholders' equity

6. Shareholders’ equity

M&T is authorized to issue 1,000,000 shares of preferred stock with a $1.00 par value per share. Preferred shares outstanding rank senior to common shares both as to dividends and liquidation preference, but have no general voting rights.

Issued and outstanding preferred stock of M&T is presented below:

	Shares issued and outstanding		Carrying value March 31, 2014		Carrying value December 31, 2013
			(dollars in thousands)
Series A (a)
Fixed Rate Cumulative Perpetual Preferred Stock, Series A, $1,000 liquidation preference per share		230,000	$	230,000	$	230,000
Series C (a)
Fixed Rate Cumulative Perpetual Preferred Stock, Series C, $1,000 liquidation preference per share		151,500		151,500		151,500
Series D (b)
Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series D, $10,000 liquidation preference per share		50,000		500,000		500,000
Series E (c)
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series E, $1,000 liquidation preference per share		350,000		350,000		—

(a) Dividends, if declared, were paid quarterly at a rate of 5% per year through November 14, 2013 and are paid at 6.375% thereafter. M&T has agreed to not redeem the preferred shares until on or after November 15, 2018. Warrants to purchase M&T common stock were issued in connection with the Series A and C preferred stock (Series A – 1,218,522 common shares at $73.86 per share; Series C – 407,542 common shares at $55.76 per share). In March 2013, the Series C warrants were exercised in a “cashless” exercise, resulting in the issuance of 186,589 common shares. During 2013, 69,127 of the Series A warrants were exercised in “cashless” exercises, resulting in the issuance of 25,427 common shares. Remaining outstanding Series A warrants that expire in 2018 were 1,149,395 at March 31, 2014.

(b) Dividends, if declared, will be paid semi-annually at a rate of 6.875% per year. The shares are redeemable in whole or in part on or after June 15, 2016. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence.

(c) Dividends, if declared, will be paid semi-annually at a rate of 6.45% through February 14, 2024 and thereafter will be paid quarterly at a rate of the three-month London Interbank Offered Rate plus 361 basis points (hundredths of one percent). The shares are redeemable in whole or in part on or after February 15, 2024. Notwithstanding M&T’s option to redeem the shares, if an event occurs such that the shares no longer qualify as Tier 1 capital, M&T may redeem all of the shares within 90 days following that occurrence.

In addition to the Series A and Series C warrants mentioned in (a) above, a warrant to purchase 95,383 shares of M&T common stock at $518.96 per share was outstanding at March 31, 2014 and December 31, 2013. The obligation under that warrant was assumed by M&T in an acquisition.

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Earnings per common share

3 Months Ended

Mar. 31, 2014

Earnings Per Share [Abstract]

Earnings per common share

8. Earnings per common share

The computations of basic earnings per common share follow:

	Three months ended March 31
	2014			2013
	(in thousands, except per share)
Income available to common shareholders:
Net income	$	229,017			274,113
Less: Preferred stock dividends (a)		(14,674	)		(13,363	)
Amortization of preferred stock discount (a)		—			(2,147	)
Net income available to common equity		214,343			258,603
Less: Income attributable to unvested stock-based compensation awards		(2,623	)		(3,524	)
Net income available to common shareholders	$	211,720			255,079
Weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards		131,800			129,449
Less: Unvested stock-based compensation awards		(1,588	)		(1,780	)
Weighted-average shares outstanding		130,212			127,669
Basic earnings per common share	$	1.63			2.00

(a) Including impact of not as yet declared cumulative dividends.

The computations of diluted earnings per common share follow:

	Three months ended March 31
	2014			2013
	(in thousands, except per share)
Net income available to common equity	$	214,343			258,603
Less: Income attributable to unvested stock-based compensation awards		(2,612	)		(3,507	)
Net income available to common shareholders	$	211,731			255,096
Adjusted weighted-average shares outstanding:
Common and unvested stock-based compensation awards		131,800			129,449
Less: Unvested stock-based compensation awards		(1,588	)		(1,780	)
Plus: Incremental shares from assumed conversion of stock-based compensation awards		914			967
Adjusted weighted-average shares outstanding		131,126			128,636
Diluted earnings per common share	$	1.61			1.98

GAAP defines unvested share-based awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) as participating securities that shall be included in the computation of earnings per common share pursuant to the two-class method. The Company has issued stock-based compensation awards in the form of restricted stock and restricted stock units, which, in accordance with GAAP, are considered participating securities.

Stock-based compensation awards and warrants to purchase common stock of M&T representing approximately 3.0 million and 4.7 million common shares during the three-month periods ended March 31, 2014 and 2013, respectively, were not included in the computations of diluted earnings per common share because the effect on those periods would have been antidilutive.

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Comprehensive Income - Accumulated Other Comprehensive Income (Loss), Net Consisted of Unrealized Gains (Losses) (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ (64,159)	$ (240,264)
Net gain (loss) during period	38,898	14,311
Ending Balance	(25,261)	(225,953)
Defined Benefit Plans [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(98,182)
Net gain (loss) during period	820
Ending Balance	(97,362)
Accumulated Other Adjustment [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	97
Net gain (loss) during period	(136)
Ending Balance	(39)
Investment Securities [Member] | Investment Securities With OTTI [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	22,632
Net gain (loss) during period	12,132
Ending Balance	34,764
Investment Securities [Member] | Investment Securities All Other [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	11,294
Net gain (loss) during period	26,082
Ending Balance	$ 37,376

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Derivative Financial Instruments - Information about Interest Rate Swap Agreements (Detail) (Fixed rate long-term borrowings [Member], Fair Value Hedges [Member], USD $) In Thousands, unless otherwise specified	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013
Fixed rate long-term borrowings [Member] | Fair Value Hedges [Member]
Derivative [Line Items]
Notional Amount	$ 1,400,000	$ 1,400,000
Average Maturity (in years)	3 years 4 months 24 days	3 years 8 months 12 days
Weighted-Average Rate, Fixed	4.42%	4.42%
Weighted-Average Rate, Variable	1.19%	1.20%

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Comprehensive Income - Components of Other Comprehensive Income (Loss) and Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) to Net Income (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Components Of Comprehensive Income [Line Items]
Beginning balance	$ (105,797)	$ (395,657)
Unrealized holding gains (losses), net	62,087	5,581
Foreign currency translation adjustment	(234)	(1,452)
Total other comprehensive income before reclassifications	61,853	4,129
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities	825	1,195
OTTI charges recognized in net income		9,800
Amortization of prior service credit	(2,000)	(2,000)
Amortization of actuarial losses	3,350	10,500
Total reclassifications	2,175	19,495
Total gain (loss) during the period	64,028	23,624
Ending balance	(41,769)	(372,033)
Beginning balance	41,638	155,393
Unrealized holding gains (losses), net	(24,374)	(2,181)
Foreign currency translation adjustment	98	520
Total other comprehensive income before reclassifications	(24,276)	(1,661)
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities	(324)	(469)
OTTI charges recognized in net income		(3,847)
Amortization of prior service credit	785	785
Amortization of actuarial losses	(1,315)	(4,121)
Total reclassifications	(854)	(7,652)
Total gain (loss) during the period	(25,130)	(9,313)
Ending balance	16,508	146,080
Beginning balance	(64,159)	(240,264)
Unrealized holding gains (losses), net	37,713	3,400
Foreign currency translation adjustment	(136)	(932)
Total other comprehensive income before reclassifications	37,577	2,468
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities	501	726
OTTI charges recognized in net income		5,953
Amortization of prior service credit	(1,215)	(1,215)
Amortization of actuarial losses	2,035	6,379
Total reclassifications	1,321	11,843
Total gain (loss) during the period	38,898	14,311
Ending Balance	(25,261)	(225,953)
Investment Securities With OTTI [Member]
Components Of Comprehensive Income [Line Items]
Beginning balance	37,255	(91,835)
Unrealized holding gains (losses), net	19,968	24,540
Foreign currency translation adjustment
Total other comprehensive income before reclassifications	19,968	24,540
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities	2	49
OTTI charges recognized in net income		9,800
Amortization of prior service credit
Amortization of actuarial losses
Total reclassifications	2	9,849
Total gain (loss) during the period	19,970	34,389
Ending balance	57,225	(57,446)
Investment Securities All Other [Member]
Components Of Comprehensive Income [Line Items]
Beginning balance	18,450	152,199
Unrealized holding gains (losses), net	42,119	(18,959)
Foreign currency translation adjustment
Total other comprehensive income before reclassifications	42,119	(18,959)
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities	823	1,146
OTTI charges recognized in net income
Amortization of prior service credit
Amortization of actuarial losses
Total reclassifications	823	1,146
Total gain (loss) during the period	42,942	(17,813)
Ending balance	61,392	134,386
Defined Benefit Plans [Member]
Components Of Comprehensive Income [Line Items]
Beginning balance	(161,617)	(455,590)
Unrealized holding gains (losses), net
Foreign currency translation adjustment
Total other comprehensive income before reclassifications
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities
OTTI charges recognized in net income
Amortization of prior service credit	(2,000)	(2,000)
Amortization of actuarial losses	3,350	10,500
Total reclassifications	1,350	8,500
Total gain (loss) during the period	1,350	8,500
Ending balance	(160,267)	(447,090)
Beginning balance	(98,182)
Total gain (loss) during the period	820
Ending Balance	(97,362)
Other [Member]
Components Of Comprehensive Income [Line Items]
Beginning balance	115	(431)
Unrealized holding gains (losses), net
Foreign currency translation adjustment	(234)	(1,452)
Total other comprehensive income before reclassifications	(234)	(1,452)
Accretion of unrealized holding losses on held-to-maturity ("HTM") securities
OTTI charges recognized in net income
Amortization of prior service credit
Amortization of actuarial losses
Total reclassifications
Total gain (loss) during the period	(234)	(1,452)
Ending balance	$ (119)	$ (1,883)

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Commitments and contingencies (Tables)

3 Months Ended

Mar. 31, 2014

Commitments And Contingencies Disclosure [Abstract]

Company's Significant Commitments

The following table presents the Company’s significant commitments. Certain of these commitments are not included in the Company’s consolidated balance sheet.

	March 31, 2014		December 31, 2013
	(in thousands)
Commitments to extend credit
Home equity lines of credit	$	6,260,931		6,218,823
Commercial real estate loans to be sold		151,989		62,386
Other commercial real estate and construction		4,055,951		3,919,545
Residential real estate loans to be sold		521,869		469,869
Other residential real estate		368,055		384,617
Commercial and other		10,781,231		10,419,545
Standby letters of credit		3,531,586		3,600,528
Commercial letters of credit		39,197		53,284
Financial guarantees and indemnification contracts		2,842,506		2,457,633
Commitments to sell real estate loans		845,549		854,656

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Loans and Leases and the Allowance for Credit Losses - Allocation of Allowance for Credit Losses on Basis of Company's Impairment Methodology (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013	Dec. 31, 2012
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	$ 86,103	$ 92,231
Allowance for credit losses	744,753	742,951
Allowance for credit losses	916,768	916,676	927,117	925,860
Purchased Impaired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	9,980	6,479
Allocated [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	840,836	841,661
Unallocated [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	75,932	75,015
Commercial, Financial, Leasing, etc. [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	21,578	24,614
Allowance for credit losses	249,499	246,096
Commercial, Financial, Leasing, etc. [Member] | Purchased Impaired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	5,758	2,673
Commercial, Financial, Leasing, etc. [Member] | Allocated [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	276,835	273,383
Commercial Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	26,157	27,563
Allowance for credit losses	298,048	296,781
Commercial Real Estate [Member] | Purchased Impaired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	600	634
Commercial Real Estate [Member] | Allocated [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	324,805	324,978
Residential Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	18,243	21,127
Allowance for credit losses	56,797	55,864
Residential Real Estate [Member] | Purchased Impaired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	2,022	1,665
Residential Real Estate [Member] | Allocated [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	77,062	78,656
Consumer loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	20,125	18,927
Allowance for credit losses	140,409	144,210
Consumer loans [Member] | Purchased Impaired [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	1,600	1,507
Consumer loans [Member] | Allocated [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	$ 162,134	$ 164,644

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Commitments and contingencies

3 Months Ended

Mar. 31, 2014

Commitments And Contingencies Disclosure [Abstract]

Commitments and contingencies

13. Commitments and contingencies

In the normal course of business, various commitments and contingent liabilities are outstanding. The following table presents the Company’s significant commitments. Certain of these commitments are not included in the Company’s consolidated balance sheet.

	March 31, 2014		December 31, 2013
	(in thousands)
Commitments to extend credit
Home equity lines of credit	$	6,260,931		6,218,823
Commercial real estate loans to be sold		151,989		62,386
Other commercial real estate and construction		4,055,951		3,919,545
Residential real estate loans to be sold		521,869		469,869
Other residential real estate		368,055		384,617
Commercial and other		10,781,231		10,419,545
Standby letters of credit		3,531,586		3,600,528
Commercial letters of credit		39,197		53,284
Financial guarantees and indemnification contracts		2,842,506		2,457,633
Commitments to sell real estate loans		845,549		854,656

Commitments to extend credit are agreements to lend to customers, generally having fixed expiration dates or other termination clauses that may require payment of a fee. Standby and commercial letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. Standby letters of credit generally are contingent upon the failure of the customer to perform according to the terms of the underlying contract with the third party, whereas commercial letters of credit are issued to facilitate commerce and typically result in the commitment being funded when the underlying transaction is consummated between the customer and a third party. The credit risk associated with commitments to extend credit and standby and commercial letters of credit is essentially the same as that involved with extending loans to customers and is subject to normal credit policies. Collateral may be obtained based on management’s assessment of the customer’s creditworthiness.

Financial guarantees and indemnification contracts are oftentimes similar to standby letters of credit and include mandatory purchase agreements issued to ensure that customer obligations are fulfilled, recourse obligations associated with sold loans, and other guarantees of customer performance or compliance with designated rules and regulations. Included in financial guarantees and indemnification contracts are loan principal amounts sold with recourse in conjunction with the Company’s involvement in the Fannie Mae Delegated Underwriting and Servicing program. The Company’s maximum credit risk for recourse associated with loans sold under this program totaled approximately $2.3 billion at each of March 31, 2014 and December 31, 2013.

Since many loan commitments, standby letters of credit, and guarantees and indemnification contracts expire without being funded in whole or in part, the contract amounts are not necessarily indicative of future cash flows.

The Company utilizes commitments to sell real estate loans to hedge exposure to changes in the fair value of real estate loans held for sale. Such commitments are considered derivatives and along with commitments to originate real estate loans to be held for sale are generally recorded in the consolidated balance sheet at estimated fair market value.

The Company has an agreement with the Baltimore Ravens of the National Football League whereby the Company obtained the naming rights to a football stadium in Baltimore, Maryland. Under the agreement, the Company is obligated to pay $6 million per year from 2014 through 2017.

The Company also has commitments under long-term operating leases.

The Company reinsures credit life and accident and health insurance purchased by consumer loan customers. The Company also enters into reinsurance contracts with third party insurance companies who insure against the risk of a mortgage borrower’s payment default in connection with certain mortgage loans originated by the Company. When providing reinsurance coverage, the Company receives a premium in exchange for accepting a portion of the insurer’s risk of loss. The outstanding loan principal balances reinsured by the Company were approximately $14 million at March 31, 2014. Assets of subsidiaries providing reinsurance that are available to satisfy claims totaled approximately $35 million at March 31, 2014. The amounts noted above are not necessarily indicative of losses which may ultimately be incurred. Such losses are expected to be substantially less because most loans are repaid by borrowers in accordance with the original loan terms. Management believes that any reinsurance losses that may be payable by the Company will not be material to the Company’s consolidated financial position.

The Company is contractually obligated to repurchase previously sold residential real estate loans that do not ultimately meet investor sale criteria related to underwriting procedures or loan documentation. When required to do so, the Company may reimburse loan purchasers for losses incurred or may repurchase certain loans. The Company reduces residential mortgage banking revenues by an estimate for losses related to its obligations to loan purchasers. The amount of those charges is based on the volume of loans sold, the level of reimbursement requests received from loan purchasers and estimates of losses that may be associated with previously sold loans. At March 31, 2014, management believes that any further liability arising out of the Company’s obligation to loan purchasers is not material to the Company’s consolidated financial position.

M&T and its subsidiaries are subject in the normal course of business to various pending and threatened legal proceedings in which claims for monetary damages are asserted. On an on-going basis the Company assesses its liabilities and contingencies in connection with such legal proceedings. For those matters where it is probable that the Company will incur losses and the amounts of the losses can be reasonably estimated, the Company records an expense and corresponding liability in its consolidated financial statements. To the extent the pending or threatened litigation could result in exposure in excess of that liability, the amount of such excess is not currently estimable. Although not considered probable, the range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, was between $0 and $50 million. Although the Company does not believe that the outcome of pending litigations will be material to the Company’s consolidated financial position, it cannot rule out the possibility that such outcomes will be material to the consolidated results of operations for a particular reporting period in the future.

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Investment securities (Tables)

3 Months Ended

Mar. 31, 2014

Investments Debt And Equity Securities [Abstract]

Amortized Cost and Estimated Fair Value of Investment Securities

The amortized cost and estimated fair value of investment securities were as follows:

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
	(in thousands)
March 31, 2014
Investment securities available for sale:
U.S. Treasury and federal agencies	$	42,415		291		59	$	42,647
Obligations of states and political subdivisions		10,148		306		71		10,383
Mortgage-backed securities:
Government issued or guaranteed		5,722,948		85,193		7,050		5,801,091
Privately issued		235		466		5		696
Collateralized debt obligations		38,451		23,623		306		61,768
Other debt securities		138,197		1,859		17,807		122,249
Equity securities		89,669		63,431		363		152,737
		6,042,063		175,169		25,661		6,191,571
Investment securities held to maturity:
Obligations of states and political subdivisions		162,894		3,280		194		165,980
Mortgage-backed securities:
Government issued or guaranteed		3,486,786		26,847		37,718		3,475,915
Privately issued		215,649		—		51,434		164,215
Other debt securities		8,656		—		—		8,656
		3,873,985		30,127		89,346		3,814,766
Other securities		298,693		—		—		298,693
Total	$	10,214,741		205,296		115,007	$	10,305,030

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
	(in thousands)
December 31, 2013
Investment securities available for sale:
U.S. Treasury and federal agencies	$	37,396		382		2	$	37,776
Obligations of states and political subdivisions		10,484		333		6		10,811
Mortgage-backed securities:
Government issued or guaranteed		4,123,435		61,001		19,350		4,165,086
Privately issued		1,468		387		5		1,850
Collateralized debt obligations		42,274		21,666		857		63,083
Other debt securities		137,828		1,722		19,465		120,085
Equity securities		91,480		41,842		227		133,095
		4,444,365		127,333		39,912		4,531,786
Investment securities held to maturity:
Obligations of states and political subdivisions		169,684		3,744		135		173,293
Mortgage-backed securities:
Government issued or guaranteed		3,567,905		16,160		65,149		3,518,916
Privately issued		219,628		—		60,623		159,005
Other debt securities		8,913		—		—		8,913
		3,966,130		19,904		125,907		3,860,127
Other securities		298,581		—		—		298,581
Total	$	8,709,076		147,237		165,819	$	8,690,494

Changes in Credit Losses Associated with Debt Securities for Which OTTI Losses

Changes in credit losses associated with debt securities for which OTTI losses have been recognized in earnings for the three months ended March 31, 2013 follows:

	Three months ended March 31, 2013
	(in thousands)
Beginning balance	$	197,809
Additions for credit losses not previously recognized		9,800
Reductions for realized losses		(20,495	)
Ending balance	$	187,114

Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity

At March 31, 2014, the amortized cost and estimated fair value of debt securities by contractual maturity were as follows:

	Amortized cost		Estimated fair value
	(in thousands)
Debt securities available for sale:
Due in one year or less	$	9,830		9,957
Due after one year through five years		43,459		44,086
Due after five years through ten years		5,328		5,442
Due after ten years		170,594		177,562
		229,211		237,047
Mortgage-backed securities available for sale		5,723,183		5,801,787
	$	5,952,394		6,038,834
Debt securities held to maturity:
Due in one year or less	$	17,944		18,049
Due after one year through five years		74,928		76,540
Due after five years through ten years		70,022		71,391
Due after ten years		8,656		8,656
		171,550		174,636
Mortgage-backed securities held to maturity		3,702,435		3,640,130
	$	3,873,985		3,814,766

Investment Securities in Continuous Unrealized Loss Position

A summary of investment securities that as of March 31, 2014 and December 31, 2013 had been in a continuous unrealized loss position for less than twelve months and those that had been in a continuous unrealized loss position for twelve months or longer follows:

	Less than 12 months					12 months or more
	Fair value		Unrealized losses			Fair value		Unrealized losses
	(in thousands)
March 31, 2014
Investment securities available for sale:
U.S. Treasury and federal agencies	$	29,346		(59	)		—		—
Obligations of states and political subdivisions		1,930		(68	)		439		(3	)
Mortgage-backed securities:
Government issued or guaranteed		1,725,859		(6,919	)		5,215		(131	)
Privately issued		—		—			91		(5	)
Collateralized debt obligations		—		—			6,097		(306	)
Other debt securities		927		(10	)		105,418		(17,797	)
Equity securities		2,307		(363	)		—		—
		1,760,369		(7,419	)		117,260		(18,242	)
Investment securities held to maturity:
Obligations of states and political subdivisions		17,490		(155	)		2,658		(39	)
Mortgage-backed securities:
Government issued or guaranteed		1,715,149		(37,718	)		—		—
Privately issued		—		—			164,215		(51,434	)
		1,732,639		(37,873	)		166,873		(51,473	)
Total	$	3,493,008		(45,292	)		284,133		(69,715	)
December 31, 2013
Investment securities available for sale:
U.S. Treasury and federal agencies	$	745		(2	)		—		—
Obligations of states and political subdivisions		—		—			558		(6	)
Mortgage-backed securities:
Government issued or guaranteed		1,697,094		(19,225	)		5,815		(125	)
Privately issued		—		—			98		(5	)
Collateralized debt obligations		—		—			6,257		(857	)
Other debt securities		1,428		(4	)		103,602		(19,461	)
Equity securities		159		(227	)		—		—
		1,699,426		(19,458	)		116,330		(20,454	)
Investment securities held to maturity:
Obligations of states and political subdivisions		13,517		(120	)		1,558		(15	)
Mortgage-backed securities:
Government issued or guaranteed		2,629,950		(65,149	)		—		—
Privately issued		—		—			159,005		(60,623	)
		2,643,467		(65,269	)		160,563		(60,638	)
Total	$	4,342,893		(84,727	)		276,893		(81,092	)

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Loans and Leases and the Allowance for Credit Losses - Interest Income Recognized on Loans (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	$ 894,854	$ 1,064,446
Interest income recognized, Total	6,581	7,816
Interest income recognized, Cash basis	4,264	5,189
Commercial, Financial, Leasing, etc. [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	134,306	167,793
Interest income recognized, Total	548	2,434
Interest income recognized, Cash basis	548	2,434
Commercial Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	185,425	194,446
Interest income recognized, Total	926	303
Interest income recognized, Cash basis	926	303
Residential Builder and Developer [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	101,253	183,853
Interest income recognized, Total	74	140
Interest income recognized, Cash basis	74	65
Other commercial construction [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	87,292	98,318
Interest income recognized, Total	1,087	635
Interest income recognized, Cash basis	1,087	635
Residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	174,168	188,075
Interest income recognized, Total	1,400	1,470
Interest income recognized, Cash basis	902	922
Residential Alt-A [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	139,651	156,971
Interest income recognized, Total	1,626	1,740
Interest income recognized, Cash basis	559	591
Home equity lines and loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	15,676	12,454
Interest income recognized, Total	121	167
Interest income recognized, Cash basis	29	39
Automobile [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	39,383	47,606
Interest income recognized, Total	625	776
Interest income recognized, Cash basis	87	146
Other [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average recorded investment	17,700	14,930
Interest income recognized, Total	174	151
Interest income recognized, Cash basis	$ 52	$ 54

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Investment Securities - Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Debt securities available for sale:
Due in one year or less	$ 9,830
Due after one year through five years	43,459
Due after five years through ten years	5,328
Due after ten years	170,594
Total available for sale (amortized cost)	229,211
Mortgage-backed securities available for sale	5,723,183
Total	5,952,394
Debt securities held to maturity:
Due in one year or less	17,944
Due after one year through five years	74,928
Due after five years through ten years	70,022
Due after ten years	8,656
Total available for held to maturity (amortized cost)	171,550
Mortgage-backed securities held to maturity	3,702,435
Total	3,873,985	3,966,130
Debt securities available for sale:
Due in one year or less	9,957
Due after one year through five years	44,086
Due after five years through ten years	5,442
Due after ten years	177,562
Total available for sale (fair value)	237,047
Mortgage-backed securities available for sale	5,801,787
Total	6,038,834
Debt securities held to maturity:
Due in one year or less	18,049
Due after one year through five years	76,540
Due after five years through ten years	71,391
Due after ten years	8,656
Total available for held to maturity (fair value)	174,636
Mortgage-backed securities held to maturity	3,640,130
Estimated fair value for held to maturity	$ 3,814,766	$ 3,860,127

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CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Statement Of Partners Capital [Abstract]
Net income	$ 229,017	$ 274,113
Other comprehensive income, net of tax and reclassification adjustments:
Net unrealized gains on investment securities	38,214	10,079
Foreign currency translation adjustment	(136)	(932)
Defined benefit plans liability adjustment	820	5,164
Total other comprehensive income	38,898	14,311
Total comprehensive income	$ 267,915	$ 288,424

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Acquisitions

3 Months Ended

Mar. 31, 2014

Business Combinations [Abstract]

Acquisitions

2. Acquisitions

On August 27, 2012, M&T announced that it had entered into a definitive agreement with Hudson City Bancorp, Inc. (“Hudson City”), headquartered in Paramus, New Jersey, under which Hudson City will be acquired by M&T. Pursuant to the terms of the agreement, Hudson City shareholders will receive consideration for each common share of Hudson City in an amount valued at .08403 of an M&T share in the form of either M&T common stock or cash, based on the election of each Hudson City shareholder, subject to proration as specified in the merger agreement (which provides for an aggregate split of total consideration of 60% common stock of M&T and 40% cash). As of March 31, 2014 total consideration to be paid was valued at approximately $5.2 billion.

At March 31, 2014, Hudson City had $38.2 billion of assets, including $23.8 billion of loans and $8.5 billion of investment securities, and $33.4 billion of liabilities, including $21.1 billion of deposits. The merger has received the approval of the common shareholders of M&T and Hudson City. However, the merger is subject to a number of other conditions, including regulatory approvals.

On June 17, 2013, M&T and Manufacturers and Traders Trust Company (“M&T Bank”), M&T’s principal banking subsidiary, entered into a written agreement with the Federal Reserve Bank of New York (“Federal Reserve Bank”). Under the terms of the agreement, M&T and M&T Bank are required to submit to the Federal Reserve Bank a revised compliance risk management program designed to ensure compliance with the Bank Secrecy Act and anti-money-laundering laws and regulations and to take certain other steps to enhance their compliance practices. The Company has commenced a major initiative, including the hiring of outside consulting firms, intended to fully address the Federal Reserve Bank’s concerns. In view of the timeframe required to implement this initiative, demonstrate its efficacy to the satisfaction of the Federal Reserve Bank and otherwise meet any other regulatory requirements that may be imposed in connection with these matters, M&T and Hudson City extended the date after which either party may elect to terminate the merger agreement if the merger has not yet been completed to December 31, 2014. Nevertheless, there can be no assurances that the merger will be completed by that date.

In connection with the pending acquisition, the Company incurred merger-related expenses related to preparing for systems conversions and other costs of integrating and conforming acquired operations with and into the Company. Those expenses consisted largely of professional services and other temporary help fees associated with planning for the conversion of systems and/or integration of operations; initial marketing and promotion expenses designed to introduce M&T Bank to its new customers; travel costs; and printing, postage, supplies and other costs of planning for the transaction and commencing operations in new markets and offices.

A summary of merger-related expenses in the first quarter of 2013 associated with the pending Hudson City acquisition included in the consolidated statement of income is presented below. There were no merger-related expenses during the three-month period ended March 31, 2014.

	Three months ended March 31, 2013
	(in thousands)
Salaries and employee benefits	$	536
Equipment and net occupancy		201
Printing, postage and supplies		827
Other cost of operations		3,168
	$	4,732

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Pension Plans and Other Postretirement Benefits - Net Periodic Benefit Cost for Defined Benefit Plans (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 5,100	$ 6,050
Interest cost on projected benefit obligation	17,250	15,126
Expected return on plan assets	(22,925)	(21,875)
Amortization of prior service cost (credit)	(1,650)	(1,650)
Amortization of net actuarial loss	3,350	10,400
Net periodic benefit cost	1,125	8,051
Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	150	200
Interest cost on projected benefit obligation	675	675
Expected return on plan assets
Amortization of prior service cost (credit)	(350)	(350)
Amortization of net actuarial loss		100
Net periodic benefit cost	$ 475	$ 625

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Variable Interest Entities and Asset Securitizations - Additional Information (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Variable Interest Entity Disclosure [Abstract]
Carrying value of loans in the Securitization trusts	$ 117,000,000	$ 121,000,000
Combined outstanding principal amount of mortgage-backed securities issued by qualified special purpose trust held by unrelated parties	18,000,000	18,000,000
Other assets for its "investment" in the common securities recognized by the company of various trusts	34,000,000	34,000,000
Total assets of real estate partnerships in which the company invested	1,300,000,000	1,300,000,000
Maximum exposure to loss of investments in real estate partnerships	250,000,000	236,000,000
Unfunded commitments included in company's maximum exposure to loss of investments in real estate partnerships	$ 57,000,000	$ 45,000,000

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Loans and leases and the allowance for credit losses (Tables)

3 Months Ended

Mar. 31, 2014

Receivables [Abstract]

Outstanding Principal Balance and Carrying Amount of Loans that is Included in Consolidated Balance Sheet

The outstanding principal balance and the carrying amount of acquired loans that were recorded at fair value at the acquisition date that is included in the consolidated balance sheet were as follows:

	March 31, 2014		December 31, 2013
	(in thousands)
Outstanding principal balance	$	4,302,336		4,656,811
Carrying amount:
Commercial, financial, leasing, etc.		474,612		580,685
Commercial real estate		1,412,397		1,541,368
Residential real estate		551,698		576,473
Consumer		1,258,875		1,308,926
	$	3,697,582		4,007,452

Summary of Changes in Accretable Yield for Acquired Loans

A summary of changes in the accretable yield for acquired loans for the three months ended March 31, 2014 and 2013 follows:

	Three months ended March 31, 2014
	Purchased impaired			Other acquired			Total
	(in thousands)
Balance at beginning of period	$	37,230			538,633			575,863
Interest income		(6,328	)		(52,633	)		(58,961	)
Reclassifications from nonaccretable balance, net		37			—			37
Other (a)		—			(838	)		(838	)
Balance at end of period	$	30,939			485,162			516,101

	Three months ended March 31, 2013
	Purchased impaired			Other acquired			Total
	(in thousands)
Balance at beginning of period	$	42,252			638,272			680,524
Interest income		(8,704	)		(61,747	)		(70,451	)
Reclassifications from nonaccretable balance, net		180			10,817			10,997
Other (a)		—			(9,733	)		(9,733	)
Balance at end of period	$	33,728			577,609			611,337

(a) Other changes in expected cash flows including changes in interest rates and prepayment assumptions.

Summary of Current, Past Due and Nonaccrual Loans

A summary of current, past due and nonaccrual loans as of March 31, 2014 and December 31, 2013 were as follows:

	Current		30-89 Days past due		90 Days or more past due and accruing				Purchased impaired (b)		Nonaccrual		Total
					Non- acquired		Acquired (a)
	(in thousands)
March 31, 2014
Commercial, financial, leasing, etc.	$	18,686,680		43,019		8,245		4,295		15,560		138,271		18,896,070
Real estate:
Commercial		21,309,518		158,281		7,870		33,560		91,312		175,984		21,776,525
Residential builder and developer		1,073,532		3,613		—		8,812		122,757		89,563		1,298,277
Other commercial construction		2,915,804		41,861		—		2,381		44,175		25,063		3,029,284
Residential		7,530,046		254,376		285,478		45,733		26,986		259,678		8,402,297
Residential Alt-A		272,463		20,815		—		—		—		78,520		371,798
Consumer:
Home equity lines and loans		5,914,788		36,440		—		26,039		2,598		82,555		6,062,420
Automobile		1,454,199		20,441		—		176		—		16,351		1,491,167
Other		2,744,821		32,087		5,424		—		—		24,908		2,807,240
Total	$	61,901,851		610,933		307,017		120,996		303,388		890,893		64,135,078

	Current		30-89 Days past due		90 Days or more past due and accruing				Purchased impaired (b)		Nonaccrual		Total
					Non- acquired		Acquired (a)
	(in thousands)
December 31, 2013
Commercial, financial, leasing, etc.	$	18,489,474		77,538		4,981		6,778		15,706		110,739		18,705,216
Real estate:
Commercial		21,236,071		145,749		63,353		35,603		88,034		173,048		21,741,858
Residential builder and developer		1,025,984		8,486		141		7,930		137,544		96,427		1,276,512
Other commercial construction		2,986,598		42,234		—		8,031		57,707		35,268		3,129,838
Residential		7,630,368		295,131		294,649		43,700		29,184		252,805		8,545,837
Residential Alt-A		283,253		18,009		—		—		—		81,122		382,384
Consumer:
Home equity lines and loans		5,972,365		40,537		—		27,754		2,617		78,516		6,121,789
Automobile		1,314,246		29,144		—		366		—		21,144		1,364,900
Other		2,726,522		47,830		5,386		—		—		25,087		2,804,825
Total	$	61,664,881		704,658		368,510		130,162		330,792		874,156		64,073,159

(a) Acquired loans that were recorded at fair value at acquisition date. This category does not include purchased impaired loans that are presented separately.

(b) Accruing loans that were impaired at acquisition date and were recorded at fair value.

Changes in Allowance for Credit Losses

Changes in the allowance for credit losses for the three months ended March 31, 2014 were as follows:

	Commercial, Financial, Leasing, etc.			Real Estate
				Commercial			Residential			Consumer			Unallocated		Total
	(in thousands)
Beginning balance	$	273,383			324,978			78,656			164,644			75,015		916,676
Provision for credit losses		12,598			116			4,228			14,141			917		32,000
Net charge-offs
Charge-offs		(14,809	)		(3,486	)		(7,453	)		(21,691	)		—		(47,439	)
Recoveries		5,663			3,197			1,631			5,040			—		15,531
Net charge-offs		(9,146	)		(289	)		(5,822	)		(16,651	)		—		(31,908	)
Ending balance	$	276,835			324,805			77,062			162,134			75,932		916,768

Changes in the allowance for credit losses for the three months ended March 31, 2013 were as follows:

	Commercial, Financial, Leasing, etc.			Real Estate
				Commercial			Residential			Consumer			Unallocated		Total
	(in thousands)
Beginning balance	$	246,759			337,101			88,807			179,418			73,775		925,860
Provision for credit losses		17,880			(312	)		5,036			14,836			560		38,000
Net charge-offs
Charge-offs		(9,544	)		(9,588	)		(8,171	)		(21,645	)		—		(48,948	)
Recoveries		2,756			815			4,450			4,184			—		12,205
Net charge-offs		(6,788	)		(8,773	)		(3,721	)		(17,461	)		—		(36,743	)
Ending balance	$	257,851			328,016			90,122			176,793			74,335		927,117

Impaired Loans and Leases

The following tables provide information with respect to loans and leases that were considered impaired as of March 31, 2014 and December 31, 2013 and for the three month periods ended March 31, 2014 and 2013.

	March 31, 2014						December 31, 2013
	Recorded investment		Unpaid principal balance		Related allowance		Recorded investment		Unpaid principal balance		Related allowance
	(in thousands)
With an allowance recorded:
Commercial, financial, leasing, etc.	$	104,878		130,132		21,578		90,293		112,092		24,614
Real estate:
Commercial		102,898		120,165		15,811		113,570		132,325		19,520
Residential builder and developer		31,314		45,625		4,746		33,311		55,122		4,379
Other commercial construction		77,054		81,296		5,933		86,260		90,515		4,022
Residential		93,029		112,025		5,262		96,508		114,521		7,146
Residential Alt-A		109,986		124,319		13,000		111,911		124,528		14,000
Consumer:
Home equity lines and loans		17,522		18,592		5,225		13,672		14,796		3,312
Automobile		38,068		38,068		10,120		40,441		40,441		11,074
Other		17,832		17,832		4,780		17,660		17,660		4,541
		592,581		688,054		86,455		603,626		702,000		92,608
With no related allowance recorded:
Commercial, financial, leasing, etc.		40,542		42,948		—		28,093		33,095		—
Real estate:
Commercial		83,194		104,359		—		65,271		84,333		—
Residential builder and developer		68,487		101,354		—		72,366		104,768		—
Other commercial construction		5,801		9,400		—		7,369		11,493		—
Residential		84,328		94,408		—		84,144		95,358		—
Residential Alt-A		28,047		51,001		—		28,357		52,211		—
		310,399		403,470		—		285,600		381,258		—
Total:
Commercial, financial, leasing, etc.		145,420		173,080		21,578		118,386		145,187		24,614
Real estate:
Commercial		186,092		224,524		15,811		178,841		216,658		19,520
Residential builder and developer		99,801		146,979		4,746		105,677		159,890		4,379
Other commercial construction		82,855		90,696		5,933		93,629		102,008		4,022
Residential		177,357		206,433		5,262		180,652		209,879		7,146
Residential Alt-A		138,033		175,320		13,000		140,268		176,739		14,000
Consumer:
Home equity lines and loans		17,522		18,592		5,225		13,672		14,796		3,312
Automobile		38,068		38,068		10,120		40,441		40,441		11,074
Other		17,832		17,832		4,780		17,660		17,660		4,541
Total	$	902,980		1,091,524		86,455		889,226		1,083,258		92,608

Interest Income Recognized on Loans

	Three months ended March 31, 2014						Three months ended March 31, 2013
			Interest income recognized						Interest income recognized
	Average recorded investment		Total		Cash basis		Average recorded investment		Total		Cash basis
	(in thousands)
Commercial, financial, leasing, etc.	$	134,306		548		548		167,793		2,434		2,434
Real estate:
Commercial		185,425		926		926		194,446		303		303
Residential builder and developer		101,253		74		74		183,853		140		65
Other commercial construction		87,292		1,087		1,087		98,318		635		635
Residential		174,168		1,400		902		188,075		1,470		922
Residential Alt-A		139,651		1,626		559		156,971		1,740		591
Consumer:
Home equity lines and loans		15,676		121		29		12,454		167		39
Automobile		39,383		625		87		47,606		776		146
Other		17,700		174		52		14,930		151		54
Total	$	894,854		6,581		4,264		1,064,446		7,816		5,189

Summary of Loan Grades

The following table summarizes the loan grades applied to the various classes of the Company’s commercial and commercial real estate loans.

			Real Estate
	Commercial, Financial, Leasing, etc.		Commercial		Residential Builder and Developer		Other Commercial Construction
	(in thousands)
March 31, 2014
Pass	$	18,022,241		21,053,068		1,151,202		2,946,152
Criticized accrual		735,558		547,473		57,512		58,069
Criticized nonaccrual		138,271		175,984		89,563		25,063
Total	$	18,896,070		21,776,525		1,298,277		3,029,284
December 31, 2013
Pass	$	17,894,592		20,972,257		1,107,144		3,040,106
Criticized accrual		699,885		596,553		72,941		54,464
Criticized nonaccrual		110,739		173,048		96,427		35,268
Total	$	18,705,216		21,741,858		1,276,512		3,129,838

Allocation of Allowance for Credit Losses on Basis of Company's Impairment Methodology

The allocation of the allowance for credit losses summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(in thousands)
March 31, 2014
Individually evaluated for impairment	$	21,578		26,157		18,243		20,125	$	86,103
Collectively evaluated for impairment		249,499		298,048		56,797		140,409		744,753
Purchased impaired		5,758		600		2,022		1,600		9,980
Allocated	$	276,835		324,805		77,062		162,134		840,836
Unallocated										75,932
Total									$	916,768
December 31, 2013
Individually evaluated for impairment	$	24,614		27,563		21,127		18,927	$	92,231
Collectively evaluated for impairment		246,096		296,781		55,864		144,210		742,951
Purchased impaired		2,673		634		1,665		1,507		6,479
Allocated	$	273,383		324,978		78,656		164,644		841,661
Unallocated										75,015
Total									$	916,676

Recorded Investment in Loans and Leases on Basis of Company's Impairment Methodology

The recorded investment in loans and leases summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(in thousands)
March 31, 2014
Individually evaluated for impairment	$	145,420		367,183		314,829		73,422	$	900,854
Collectively evaluated for impairment		18,735,090		25,478,659		8,432,280		10,284,807		62,930,836
Purchased impaired		15,560		258,244		26,986		2,598		303,388
Total	$	18,896,070		26,104,086		8,774,095		10,360,827	$	64,135,078
December 31, 2013
Individually evaluated for impairment	$	118,386		376,339		320,360		71,773	$	886,858
Collectively evaluated for impairment		18,571,124		25,488,584		8,578,677		10,217,124		62,855,509
Purchased impaired		15,706		283,285		29,184		2,617		330,792
Total	$	18,705,216		26,148,208		8,928,221		10,291,514	$	64,073,159

Loan Modification Activities that were Considered Troubled Debt Restructurings

The tables below summarize the Company’s loan modification activities that were considered troubled debt restructurings for the three months ended March 31, 2014 and 2013:

			Recorded investment				Financial effects of modification
Three months ended March 31, 2014	Number		Pre- modifica- tion		Post- modifica- tion		Recorded investment (a)			Interest (b)
			(dollars in thousands)
Commercial, financial, leasing, etc.
Principal deferral		30	$	14,954	$	14,848	$	(106	)	$	—
Combination of concession types		2		41		39		(2	)		(4	)
Real estate:
Commercial
Principal deferral		13		7,044		7,002		(42	)		—
Combination of concession types		1		346		401		55			(104	)
Other commercial construction
Principal deferral		1		151		151		—			—
Residential
Principal deferral		13		1,602		1,663		61			—
Interest rate reduction		1		98		104		6			(32	)
Other		1		188		188		—			—
Combination of concession types		14		2,188		2,160		(28	)		(282	)
Residential Alt-A
Principal deferral		2		166		202		36			—
Combination of concession types		10		1,746		1,736		(10	)		(61	)
Consumer:
Home equity lines and loans
Principal deferral		3		280		280		—			—
Combination of concession types		15		1,856		1,856		—			(172	)
Automobile
Principal deferral		80		993		993		—			—
Other		11		61		61		—			—
Combination of concession types		23		250		250		—			(26	)
Other
Principal deferral		8		55		55		—			—
Other		1		45		45		—			—
Combination of concession types		14		466		466		—			(188	)
Total		243	$	32,530	$	32,500	$	(30	)	$	(869	)

(a) Financial effects impacting the recorded investment included principal payments or advances, charge-offs and capitalized escrow arrearages.

(b) Represents the present value of interest rate concessions discounted at the effective rate of the original loan.

			Recorded investment				Financial effects of modification
Three months ended March 31, 2013	Number		Pre- modifica- tion		Post- modifica- tion		Recorded investment (a)			Interest (b)
			(dollars in thousands)
Commercial, financial, leasing, etc.
Principal deferral		24	$	2,006	$	1,982	$	(24	)	$	—
Other		1		47,200		47,200		—			—
Combination of concession types		1		342		342		—			—
Real estate:
Commercial
Principal deferral		8		18,478		18,363		(115	)		—
Combination of concession types		2		582		581		(1	)		(56	)
Residential builder and developer
Principal deferral		8		1,357		1,340		(17	)		—
Combination of concession types		1		1,701		1,691		(10	)		—
Residential
Principal deferral		7		566		607		41			—
Other		1		195		195		—			—
Combination of concession types		20		2,449		2,536		87			(371	)
Residential Alt-A
Combination of concession types		5		907		925		18			(110	)
Consumer:
Home equity lines and loans
Principal deferral		2		79		79		—			—
Combination of concession types		2		211		211		—			(33	)
Automobile
Principal deferral		121		1,586		1,586		—			—
Interest rate reduction		2		36		36		—			(5	)
Other		17		159		159		—			—
Combination of concession types		61		553		553		—			(42	)
Other
Principal deferral		6		45		45		—			—
Other		1		12		12		—			—
Combination of concession types		42		1,217		1,217		—			(267	)
Total		332	$	79,681	$	79,660	$	(21	)	$	(884	)

(a) Financial effects impacting the recorded investment included principal payments or advances, charge-offs and capitalized escrow arrearages.

(b) Represents the present value of interest rate concessions discounted at the effective rate of the original loan.

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Fair Value Measurements - Carrying Amounts and Estimated Fair Value for Financial Instrument Assets (Liabilities) (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013	Dec. 31, 2012
Financial assets:
Cash and cash equivalents	$ 1,763,118	$ 1,672,934	$ 1,826,067	$ 1,986,615
Interest-bearing deposits at banks	3,299,185	1,651,138
Trading account assets	314,807	376,131
Loans and leases:
Allowance for credit losses	(916,768)	(916,676)	(927,117)	(925,860)
Loans and leases, net	63,218,310	63,156,483
Financial liabilities:
Noninterest-bearing deposits	(25,244,200)	(24,661,007)
Time deposits	(3,402,515)	(3,523,838)
Deposits at Cayman Islands office	(247,880)	(322,746)
Long-term borrowings	(6,251,197)	(5,108,870)
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Financial assets:
Cash and cash equivalents	1,689,900	1,596,877
Interest-bearing deposits at banks
Trading account assets	49,473	51,386
Investment securities	80,580	82,450
Loans and leases:
Commercial loans and leases
Commercial real estate loans
Residential real estate loans
Consumer loans
Allowance for credit losses
Loans and leases, net
Accrued interest receivable
Financial liabilities:
Noninterest-bearing deposits
Savings deposits and NOW accounts
Time deposits
Deposits at Cayman Islands office
Short-term borrowings
Long-term borrowings
Accrued interest payable
Trading account liabilities
Other financial instruments:
Commitments to originate real estate loans for sale
Commitments to sell real estate loans
Other credit-related commitments
Interest rate swap agreements used for interest rate risk management
Significant Observable Inputs (Level 2) [Member]
Financial assets:
Cash and cash equivalents	73,218	76,057
Interest-bearing deposits at banks	3,299,185	1,651,138
Trading account assets	265,334	324,745
Investment securities	9,997,771	8,384,106
Loans and leases:
Commercial loans and leases
Commercial real estate loans	38,305	67,505
Residential real estate loans	5,285,649	5,432,207
Consumer loans
Allowance for credit losses
Loans and leases, net	5,323,954	5,499,712
Accrued interest receivable	242,009	222,558
Financial liabilities:
Noninterest-bearing deposits	(25,244,200)	(24,661,007)
Savings deposits and NOW accounts	(39,804,771)	(38,611,021)
Time deposits	(3,420,917)	(3,542,789)
Deposits at Cayman Islands office	(247,880)	(322,746)
Short-term borrowings	(230,209)	(260,455)
Long-term borrowings	(6,388,067)	(5,244,902)
Accrued interest payable	(59,685)	(43,419)
Trading account liabilities	(216,366)	(249,797)
Other financial instruments:
Commitments to originate real estate loans for sale
Commitments to sell real estate loans	1,055	12,360
Other credit-related commitments
Interest rate swap agreements used for interest rate risk management	94,716	102,875
Significant Unobservable Inputs (Level 3) [Member]
Financial assets:
Cash and cash equivalents
Interest-bearing deposits at banks
Trading account assets
Investment securities	226,679	223,938
Loans and leases:
Commercial loans and leases	18,584,218	18,457,288
Commercial real estate loans	25,931,696	25,950,690
Residential real estate loans	3,448,055	3,435,665
Consumer loans	10,271,804	10,201,087
Allowance for credit losses
Loans and leases, net	58,235,773	58,044,730
Accrued interest receivable
Financial liabilities:
Noninterest-bearing deposits
Savings deposits and NOW accounts
Time deposits
Deposits at Cayman Islands office
Short-term borrowings
Long-term borrowings
Accrued interest payable
Trading account liabilities
Other financial instruments:
Commitments to originate real estate loans for sale	12,589	3,941
Commitments to sell real estate loans
Other credit-related commitments	(114,641)	(118,886)
Interest rate swap agreements used for interest rate risk management
Carrying Amount [Member]
Financial assets:
Cash and cash equivalents	1,763,118	1,672,934
Interest-bearing deposits at banks	3,299,185	1,651,138
Trading account assets	314,807	376,131
Investment securities	10,364,249	8,796,497
Loans and leases:
Commercial loans and leases	18,896,070	18,705,216
Commercial real estate loans	26,104,086	26,148,208
Residential real estate loans	8,774,095	8,928,221
Consumer loans	10,360,827	10,291,514
Allowance for credit losses	(916,768)	(916,676)
Loans and leases, net	63,218,310	63,156,483
Accrued interest receivable	242,009	222,558
Financial liabilities:
Noninterest-bearing deposits	(25,244,200)	(24,661,007)
Savings deposits and NOW accounts	(39,804,771)	(38,611,021)
Time deposits	(3,402,515)	(3,523,838)
Deposits at Cayman Islands office	(247,880)	(322,746)
Short-term borrowings	(230,209)	(260,455)
Long-term borrowings	(6,251,197)	(5,108,870)
Accrued interest payable	(59,685)	(43,419)
Trading account liabilities	(216,366)	(249,797)
Other financial instruments:
Commitments to originate real estate loans for sale	12,589	3,941
Commitments to sell real estate loans	1,055	12,360
Other credit-related commitments	(114,641)	(118,886)
Interest rate swap agreements used for interest rate risk management	94,716	102,875
Estimate Fair Value [Member]
Financial assets:
Cash and cash equivalents	1,763,118	1,672,934
Interest-bearing deposits at banks	3,299,185	1,651,138
Trading account assets	314,807	376,131
Investment securities	10,305,030	8,690,494
Loans and leases:
Commercial loans and leases	18,584,218	18,457,288
Commercial real estate loans	25,970,001	26,018,195
Residential real estate loans	8,733,704	8,867,872
Consumer loans	10,271,804	10,201,087
Allowance for credit losses
Loans and leases, net	63,559,727	63,544,442
Accrued interest receivable	242,009	222,558
Financial liabilities:
Noninterest-bearing deposits	(25,244,200)	(24,661,007)
Savings deposits and NOW accounts	(39,804,771)	(38,611,021)
Time deposits	(3,420,917)	(3,542,789)
Deposits at Cayman Islands office	(247,880)	(322,746)
Short-term borrowings	(230,209)	(260,455)
Long-term borrowings	(6,388,067)	(5,244,902)
Accrued interest payable	(59,685)	(43,419)
Trading account liabilities	(216,366)	(249,797)
Other financial instruments:
Commitments to originate real estate loans for sale	12,589	3,941
Commitments to sell real estate loans	1,055	12,360
Other credit-related commitments	(114,641)	(118,886)
Interest rate swap agreements used for interest rate risk management	$ 94,716	$ 102,875

XML

Investment Securities - Amortized Cost and Estimated Fair Value of Investment Securities (Detail) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Other securities, Amortized cost	$ 298,693	$ 298,581
Other securities, Gross unrealized gains
Other securities, Gross unrealized losses
Other securities, Estimated fair value	298,693	298,581
Investment securities, available for sale, amortized cost	6,042,063	4,444,365
Gross unrealized gains	175,169	127,333
Gross unrealized losses	25,661	39,912
Estimated fair value	6,191,571	4,531,786
Amortized cost for held to maturity	3,873,985	3,966,130
Gross unrealized gains for held to maturity	30,127	19,904
Gross unrealized losses for held to maturity	89,346	125,907
Estimated fair value for held to maturity	3,814,766	3,860,127
Total Amortized cost	10,214,741	8,709,076
Total for Gross unrealized gains	205,296	147,237
Total for Gross unrealized losses	115,007	165,819
Total for Estimated fair value	10,305,030	8,690,494
Government Issued or Guaranteed [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	5,722,948	4,123,435
Gross unrealized gains	85,193	61,001
Gross unrealized losses	7,050	19,350
Estimated fair value	5,801,091	4,165,086
Amortized cost for held to maturity	3,486,786	3,567,905
Gross unrealized gains for held to maturity	26,847	16,160
Gross unrealized losses for held to maturity	37,718	65,149
Estimated fair value for held to maturity	3,475,915	3,518,916
Privately issued [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	235	1,468
Gross unrealized gains	466	387
Gross unrealized losses	5	5
Estimated fair value	696	1,850
Amortized cost for held to maturity	215,649	219,628
Gross unrealized gains for held to maturity
Gross unrealized losses for held to maturity	51,434	60,623
Estimated fair value for held to maturity	164,215	159,005
Collateralized Debt Obligations [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	38,451	42,274
Gross unrealized gains	23,623	21,666
Gross unrealized losses	306	857
Estimated fair value	61,768	63,083
Obligations of States and Political Subdivisions [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	10,148	10,484
Gross unrealized gains	306	333
Gross unrealized losses	71	6
Estimated fair value	10,383	10,811
Amortized cost for held to maturity	162,894	169,684
Gross unrealized gains for held to maturity	3,280	3,744
Gross unrealized losses for held to maturity	194	135
Estimated fair value for held to maturity	165,980	173,293
Other Debt Securities [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	138,197	137,828
Gross unrealized gains	1,859	1,722
Gross unrealized losses	17,807	19,465
Estimated fair value	122,249	120,085
Amortized cost for held to maturity	8,656	8,913
Gross unrealized gains for held to maturity
Gross unrealized losses for held to maturity
Estimated fair value for held to maturity	8,656	8,913
U.S. Treasury and Federal Agencies [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	42,415	37,396
Gross unrealized gains	291	382
Gross unrealized losses	59	2
Estimated fair value	42,647	37,776
Equity Securities [Member]
Schedule Of Available For Sale Securities And Held To Maturity [Line Items]
Investment securities, available for sale, amortized cost	89,669	91,480
Gross unrealized gains	63,431	41,842
Gross unrealized losses	363	227
Estimated fair value	$ 152,737	$ 133,095

XML

Fair value measurements

3 Months Ended

Mar. 31, 2014

Fair Value Disclosures [Abstract]

Fair value measurements

12. Fair value measurements

GAAP permits an entity to choose to measure eligible financial instruments and other items at fair value. The Company has not made any fair value elections at March 31, 2014.

Pursuant to GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three-level hierarchy exists in GAAP for fair value measurements based upon the inputs to the valuation of an asset or liability.

• Level 1 — Valuation is based on quoted prices in active markets for identical assets and liabilities.

• Level 2 — Valuation is determined from quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar instruments in markets that are not active or by model-based techniques in which all significant inputs are observable in the market.

• Level 3 — Valuation is derived from model-based and other techniques in which at least one significant input is unobservable and which may be based on the Company’s own estimates about the assumptions that market participants would use to value the asset or liability.

When available, the Company attempts to use quoted market prices in active markets to determine fair value and classifies such items as Level 1 or Level 2. If quoted market prices in active markets are not available, fair value is often determined using model-based techniques incorporating various assumptions including interest rates, prepayment speeds and credit losses. Assets and liabilities valued using model-based techniques are classified as either Level 2 or Level 3, depending on the lowest level classification of an input that is considered significant to the overall valuation. The following is a description of the valuation methodologies used for the Company’s assets and liabilities that are measured on a recurring basis at estimated fair value.

Trading account assets and liabilities

Trading account assets and liabilities consist primarily of interest rate swap agreements and foreign exchange contracts with customers who require such services with offsetting positions with third parties to minimize the Company’s risk with respect to such transactions. The Company generally determines the fair value of its derivative trading account assets and liabilities using externally developed pricing models based on market observable inputs and, therefore, classifies such valuations as Level 2. Mutual funds held in connection with deferred compensation arrangements have been classified as Level 1 valuations. Valuations of investments in municipal and other bonds can generally be obtained through reference to quoted prices in less active markets for the same or similar securities or through model-based techniques in which all significant inputs are observable and, therefore, such valuations have been classified as Level 2.

Investment securities available for sale

The majority of the Company’s available-for-sale investment securities have been valued by reference to prices for similar securities or through model-based techniques in which all significant inputs are observable and, therefore, such valuations have been classified as Level 2. Certain investments in mutual funds and equity securities are actively traded and, therefore, have been classified as Level 1 valuations.

The Company sold substantially all of its privately issued mortgage-backed securities classified as available for sale during the second quarter of 2013. In prior periods, the Company generally used model-based techniques to value such securities because the Company was significantly restricted in the level of market observable assumptions that could be relied upon. Specifically, market assumptions regarding credit adjusted cash flows and liquidity influences on discount rates were difficult to observe at the individual bond level. Because of the inactivity in the markets and the lack of observable valuation inputs, the Company classified the valuation of privately issued mortgage-backed securities as Level 3.

Included in collateralized debt obligations are securities backed by trust preferred securities issued by financial institutions and other entities. The Company could not obtain pricing indications for many of these securities from its two primary independent pricing sources. The Company, therefore, performed internal modeling to estimate the cash flows and fair value of its portfolio of securities backed by trust preferred securities at March 31, 2014 and December 31, 2013. The modeling techniques included estimating cash flows using bond-specific assumptions about future collateral defaults and related loss severities. The resulting cash flows were then discounted by reference to market yields observed in the single-name trust preferred securities market. In determining a market yield applicable to the estimated cash flows, a margin over LIBOR, ranging from 4% to 11% with a weighted-average of 7% was used. Significant unobservable inputs used in the determination of estimated fair value of collateralized debt obligations are included in the accompanying table of significant unobservable inputs to Level 3 measurements. At March 31, 2014, the total amortized cost and fair value of securities backed by trust preferred securities issued by financial institutions and other entities were $38 million and $62 million, respectively, and at December 31, 2013 were $42 million and $63 million, respectively. Privately issued mortgage-backed securities and securities backed by trust preferred securities issued by financial institutions and other entities constituted all of the available-for-sale investment securities classified as Level 3 valuations.

The Company ensures an appropriate control framework is in place over the valuation processes and techniques used for Level 3 fair value measurements. Internal pricing models used for significant valuation measurements have generally been subjected to validation procedures including testing of mathematical constructs, review of valuation methodology and significant assumptions used.

Real estate loans held for sale

The Company utilizes commitments to sell real estate loans to hedge the exposure to changes in fair value of real estate loans held for sale. The carrying value of hedged real estate loans held for sale includes changes in estimated fair value during the hedge period. Typically, the Company attempts to hedge real estate loans held for sale from the date of close through the sale date. The fair value of hedged real estate loans held for sale is generally calculated by reference to quoted prices in secondary markets for commitments to sell real estate loans with similar characteristics and, accordingly, such loans have been classified as a Level 2 valuation.

Commitments to originate real estate loans for sale and commitments to sell real estate loans

The Company enters into various commitments to originate real estate loans for sale and commitments to sell real estate loans. Such commitments are considered to be derivative financial instruments and, therefore, are carried at estimated fair value on the consolidated balance sheet. The estimated fair values of such commitments were generally calculated by reference to quoted prices in secondary markets for commitments to sell real estate loans to certain government-sponsored entities and other parties. The fair valuations of commitments to sell real estate loans generally result in a Level 2 classification. The estimated fair value of commitments to originate real estate loans for sale are adjusted to reflect the Company’s anticipated commitment expirations. The estimated commitment expirations are considered significant unobservable inputs contributing to the Level 3 classification of commitments to originate real estate loans for sale. Significant unobservable inputs used in the determination of estimated fair value of commitments to originate real estate loans for sale are included in the accompanying table of significant unobservable inputs to Level 3 measurements.

Interest rate swap agreements used for interest rate risk management

The Company utilizes interest rate swap agreements as part of the management of interest rate risk to modify the repricing characteristics of certain portions of its portfolios of earning assets and interest-bearing liabilities. The Company generally determines the fair value of its interest rate swap agreements using externally developed pricing models based on market observable inputs and, therefore, classifies such valuations as Level 2. The Company has considered counterparty credit risk in the valuation of its interest rate swap agreement assets and has considered its own credit risk in the valuation of its interest rate swap agreement liabilities.

The following tables present assets and liabilities at March 31, 2014 and December 31, 2013 measured at estimated fair value on a recurring basis:

	Fair value measurements at March 31, 2014		Level 1 (a)		Level 2 (a)		Level 3
	(in thousands)
Trading account assets	$	314,807		49,473		265,334		—
Investment securities available for sale:
U.S. Treasury and federal agencies		42,647		—		42,647		—
Obligations of states and political subdivisions		10,383		—		10,383		—
Mortgage-backed securities:
Government issued or guaranteed		5,801,091		—		5,801,091		—
Privately issued		696		—		—		696
Collateralized debt obligations		61,768		—		—		61,768
Other debt securities		122,249		—		122,249		—
Equity securities		152,737		80,580		72,157		—
		6,191,571		80,580		6,048,527		62,464
Real estate loans held for sale		330,004		—		330,004		—
Other assets (b)		112,704		—		98,826		13,878
Total assets	$	6,949,086		130,053		6,742,691		76,342
Trading account liabilities	$	216,366		—		216,366		—
Other liabilities (b)		4,344		—		3,055		1,289
Total liabilities	$	220,710		—		219,421		1,289

	Fair value measurements at December 31, 2013		Level 1 (a)		Level 2 (a)		Level 3
	(in thousands)
Trading account assets	$	376,131		51,386		324,745		—
Investment securities available for sale:
U.S. Treasury and federal agencies		37,776		—		37,776		—
Obligations of states and political subdivisions		10,811		—		10,811		—
Mortgage-backed securities:
Government issued or guaranteed		4,165,086		—		4,165,086		—
Privately issued		1,850		—		—		1,850
Collateralized debt obligations		63,083		—		—		63,083
Other debt securities		120,085		—		120,085		—
Equity securities		133,095		82,450		50,645		—
		4,531,786		82,450		4,384,403		64,933
Real estate loans held for sale		468,650		—		468,650		—
Other assets (b)		123,568		—		115,952		7,616
Total assets	$	5,500,135		133,836		5,293,750		72,549
Trading account liabilities	$	249,797		—		249,797		—
Other liabilities (b)		4,392		—		717		3,675
Total liabilities	$	254,189		—		250,514		3,675

(a) There were no significant transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2014 and the year ended December 31, 2013.

(b) Comprised predominantly of interest rate swap agreements used for interest rate risk management (Level 2), commitments to sell real estate loans (Level 2) and commitments to originate real estate loans to be held for sale (Level 3).

The changes in Level 3 assets and liabilities measured at estimated fair value on a recurring basis during the three months ended March 31, 2014 were as follows:

	Investment securities available for sale
	Privately issued mortgage-backed securities			Collateralized debt obligations			Other assets and other liabilities
	(in thousands)
Balance – January 1, 2014	$	1,850		$	63,083		$	3,941
Total gains (losses) realized/unrealized:
Included in earnings		—			—			22,383	(b)
Included in other comprehensive income		67	(e)		4,646	(e)		—
Settlements		(1,221	)		(5,961	)		—
Transfers in and/or out of Level 3 (c)		—			—			(13,735	)(d)
Balance – March 31, 2014	$	696		$	61,768		$	12,589
Changes in unrealized gains included in earnings related to assets still held at March 31, 2014	$	—		$	—		$	15,050	(b)

The changes in Level 3 assets and liabilities measured at estimated fair value on a recurring basis during the three months ended March 31, 2013 were as follows:

	Investment securities available for sale
	Privately issued mortgage-backed securities			Collateralized debt obligations			Other assets and other liabilities
	(in thousands)
Balance – January 1, 2013	$	1,023,886		$	61,869		$	47,859
Total gains (losses) realized/unrealized:
Included in earnings		(9,800	)(a)		—			43,312	(b)
Included in other comprehensive income		26,381	(e)		740	(e)		—
Settlements		(47,220	)		(891	)		—
Transfers in and/or out of Level 3 (c)		—			—			(55,052	)(d)
Balance – March 31, 2013	$	993,247		$	61,718		$	36,119
Changes in unrealized gains (losses) included in earnings related to assets still held at March 31, 2013	$	(9,800	)(a)	$	—		$	31,398	(b)

(a) Reported as an other-than-temporary impairment loss in the consolidated statement of income.

(b) Reported as mortgage banking revenues in the consolidated statement of income and includes the fair value of commitment issuances and expirations.

(c) The Company’s policy for transfers between fair value levels is to recognize the transfer as of the actual date of the event or change in circumstances that caused the transfer.

(d) Transfers out of Level 3 consist of interest rate locks transferred to closed loans.

(e) Reported as net unrealized gains on investment securities in the consolidated statement of comprehensive income.

The Company is required, on a nonrecurring basis, to adjust the carrying value of certain assets or provide valuation allowances related to certain assets using fair value measurements. The more significant of those assets follow.

Loans

Loans are generally not recorded at fair value on a recurring basis. Periodically, the Company records nonrecurring adjustments to the carrying value of loans based on fair value measurements for partial charge-offs of the uncollectible portions of those loans. Nonrecurring adjustments also include certain impairment amounts for collateral-dependent loans when establishing the allowance for credit losses. Such amounts are generally based on the fair value of the underlying collateral supporting the loan and, as a result, the carrying value of the loan less the calculated valuation amount does not necessarily represent the fair value of the loan. Real estate collateral is typically valued using appraisals or other indications of value based on recent comparable sales of similar properties or assumptions generally observable in the marketplace and the related nonrecurring fair value measurement adjustments have generally been classified as Level 2, unless significant adjustments have been made to the valuation that are not readily observable by market participants. Non-real estate collateral supporting commercial loans generally consists of business assets such as receivables, inventory and equipment. Fair value estimations are typically determined by discounting recorded values of those assets to reflect estimated net realizable value considering specific borrower facts and circumstances and the experience of credit personnel in their dealings with similar borrower collateral liquidations. Such discounts were generally in the range of 20% to 75% at March 31, 2014. As these discounts are not readily observable and are considered significant, the valuations have been classified as Level 3. Loans subject to nonrecurring fair value measurement were $161 million at March 31, 2014 ($100 million and $61 million of which were classified as Level 2 and Level 3, respectively), $222 million at December 31, 2013 ($173 million and $49 million of which were classified as Level 2 and Level 3, respectively) and $227 million at March 31, 2013 ($158 million and $69 million of which were classified as Level 2 and Level 3, respectively). Changes in fair value recognized for partial charge-offs of loans and loan impairment reserves on loans held by the Company on March 31, 2014 and 2013 were decreases of $15 million for each of the three month periods ended March 31, 2014 and 2013.

Assets taken in foreclosure of defaulted loans

Assets taken in foreclosure of defaulted loans are primarily comprised of commercial and residential real property and are generally measured at the lower of cost or fair value less costs to sell. The fair value of the real property is generally determined using appraisals or other indications of value based on recent comparable sales of similar properties or assumptions generally observable in the marketplace, and the related nonrecurring fair value measurement adjustments have generally been classified as Level 2. Assets taken in foreclosure of defaulted loans subject to nonrecurring fair value measurement were $11 million and $19 million at March 31, 2014 and March 31, 2013 respectively. Changes in fair value recognized for those foreclosed assets held by the Company were not material during the three months ended March 31, 2014 or 2013.

Significant unobservable inputs to Level 3 measurements

The following tables present quantitative information about the significant unobservable inputs used in the fair value measurements for Level 3 assets and liabilities at March 31, 2014 and December 31, 2013:

	Fair value at March 31, 2014		Valuation technique	Unobservable input/assumptions	Range (weighted- average)
Recurring fair value measurements
Privately issued mortgage–backed securities	$	696	Two independent pricing quotes	—		—
Collateralized debt obligations		61,768	Discounted cash flow	Probability of default		16%-54% (37	%)
				Loss severity		100%
Net other assets (liabilities) (a)		12,589	Discounted cash flow	Commitment expirations		0%-90% (17	%)

	Fair value at December 31, 2013		Valuation technique	Unobservable input/assumptions	Range (weighted- average)
Recurring fair value measurements
Privately issued mortgage–backed securities	$	1,850	Two independent pricing quotes	—		—
Collateralized debt obligations		63,083	Discounted cash flow	Probability of default		17%-55% (39	%)
				Loss severity		100%
Net other assets (liabilities) (a)		3,941	Discounted cash flow	Commitment expirations		0%-90% (20	%)

(a) Other Level 3 assets (liabilities) consist of commitments to originate real estate loans.

Sensitivity of fair value measurements to changes in unobservable inputs

An increase (decrease) in the probability of default and loss severity for mortgage-backed securities and collateralized debt obligations would generally result in a lower (higher) fair value measurement.

An increase (decrease) in the estimate of expirations for commitments to originate real estate loans would generally result in a lower (higher) fair value measurement. Estimated commitment expirations are derived considering loan type, changes in interest rates and remaining length of time until closing.

Disclosures of fair value of financial instruments

With the exception of marketable securities, certain off-balance sheet financial instruments and one-to-four family residential mortgage loans originated for sale, the Company’s financial instruments are not readily marketable and market prices do not exist. The Company, in attempting to comply with the provisions of GAAP that require disclosures of fair value of financial instruments, has not attempted to market its financial instruments to potential buyers, if any exist. Since negotiated prices in illiquid markets depend greatly upon the then present motivations of the buyer and seller, it is reasonable to assume that actual sales prices could vary widely from any estimate of fair value made without the benefit of negotiations. Additionally, changes in market interest rates can dramatically impact the value of financial instruments in a short period of time. Additional information about the assumptions and calculations utilized follows.

The carrying amounts and estimated fair value for financial instrument assets (liabilities) are presented in the following table:

	March 31, 2014
	Carrying amount			Estimated fair value			Level 1		Level 2			Level 3
	(in thousands)
Financial assets:
Cash and cash equivalents	$	1,763,118		$	1,763,118		$	1,689,900	$	73,218		$	—
Interest-bearing deposits at banks		3,299,185			3,299,185			—		3,299,185			—
Trading account assets		314,807			314,807			49,473		265,334			—
Investment securities		10,364,249			10,305,030			80,580		9,997,771			226,679
Loans and leases:
Commercial loans and leases		18,896,070			18,584,218			—		—			18,584,218
Commercial real estate loans		26,104,086			25,970,001			—		38,305			25,931,696
Residential real estate loans		8,774,095			8,733,704			—		5,285,649			3,448,055
Consumer loans		10,360,827			10,271,804			—		—			10,271,804
Allowance for credit losses		(916,768	)		—			—		—			—
Loans and leases, net		63,218,310			63,559,727			—		5,323,954			58,235,773
Accrued interest receivable		242,009			242,009			—		242,009			—
Financial liabilities:
Noninterest-bearing deposits	$	(25,244,200	)	$	(25,244,200	)	$	—	$	(25,244,200	)	$	—
Savings deposits and NOW accounts		(39,804,771	)		(39,804,771	)		—		(39,804,771	)		—
Time deposits		(3,402,515	)		(3,420,917	)		—		(3,420,917	)		—
Deposits at Cayman Islands office		(247,880	)		(247,880	)		—		(247,880	)		—
Short-term borrowings		(230,209	)		(230,209	)		—		(230,209	)		—
Long-term borrowings		(6,251,197	)		(6,388,067	)		—		(6,388,067	)		—
Accrued interest payable		(59,685	)		(59,685	)		—		(59,685	)		—
Trading account liabilities		(216,366	)		(216,366	)		—		(216,366	)		—
Other financial instruments:
Commitments to originate real estate loans for sale	$	12,589		$	12,589		$	—	$	—		$	12,589
Commitments to sell real estate loans		1,055			1,055			—		1,055			—
Other credit-related commitments		(114,641	)		(114,641	)		—		—			(114,641	)
Interest rate swap agreements used for interest rate risk management		94,716			94,716			—		94,716			—

	December 31, 2013
	Carrying amount			Estimated fair value			Level 1		Level 2			Level 3
	(in thousands)
Financial assets:
Cash and cash equivalents	$	1,672,934		$	1,672,934		$	1,596,877	$	76,057		$	—
Interest-bearing deposits at banks		1,651,138			1,651,138			—		1,651,138			—
Trading account assets		376,131			376,131			51,386		324,745			—
Investment securities		8,796,497			8,690,494			82,450		8,384,106			223,938
Loans and leases:
Commercial loans and leases		18,705,216			18,457,288			—		—			18,457,288
Commercial real estate loans		26,148,208			26,018,195			—		67,505			25,950,690
Residential real estate loans		8,928,221			8,867,872			—		5,432,207			3,435,665
Consumer loans		10,291,514			10,201,087			—		—			10,201,087
Allowance for credit losses		(916,676	)		—			—		—			—
Loans and leases, net		63,156,483			63,544,442			—		5,499,712			58,044,730
Accrued interest receivable		222,558			222,558			—		222,558			—
Financial liabilities:
Noninterest-bearing deposits	$	(24,661,007	)	$	(24,661,007	)	$	—	$	(24,661,007	)	$	—
Savings deposits and NOW accounts		(38,611,021	)		(38,611,021	)		—		(38,611,021	)		—
Time deposits		(3,523,838	)		(3,542,789	)		—		(3,542,789	)		—
Deposits at Cayman Islands office		(322,746	)		(322,746	)		—		(322,746	)		—
Short-term borrowings		(260,455	)		(260,455	)		—		(260,455	)		—
Long-term borrowings		(5,108,870	)		(5,244,902	)		—		(5,244,902	)		—
Accrued interest payable		(43,419	)		(43,419	)		—		(43,419	)		—
Trading account liabilities		(249,797	)		(249,797	)		—		(249,797	)		—
Other financial instruments:
Commitments to originate real estate loans for sale	$	3,941		$	3,941		$	—	$	—		$	3,941
Commitments to sell real estate loans		12,360			12,360			—		12,360			—
Other credit-related commitments		(118,886	)		(118,886	)		—		—			(118,886	)
Interest rate swap agreements used for interest rate risk management		102,875			102,875			—		102,875			—

The following assumptions, methods and calculations were used in determining the estimated fair value of financial instruments not measured at fair value in the consolidated balance sheet.

Cash and cash equivalents, interest-bearing deposits at banks, deposits at Cayman Islands office, short-term borrowings, accrued interest receivable and accrued interest payable

Due to the nature of cash and cash equivalents and the near maturity of interest-bearing deposits at banks, deposits at Cayman Islands office, short-term borrowings, accrued interest receivable and accrued interest payable, the Company estimated that the carrying amount of such instruments approximated estimated fair value.

Investment securities

Estimated fair values of investments in readily marketable securities were generally based on quoted market prices. Investment securities that were not readily marketable were assigned amounts based on estimates provided by outside parties or modeling techniques that relied upon discounted calculations of projected cash flows or, in the case of other investment securities, which include capital stock of the Federal Reserve Bank of New York and the Federal Home Loan Bank of New York, at an amount equal to the carrying amount.

Loans and leases

In general, discount rates used to calculate values for loan products were based on the Company’s pricing at the respective period end. A higher discount rate was assumed with respect to estimated cash flows associated with nonaccrual loans. Projected loan cash flows were adjusted for estimated credit losses.

However, such estimates made by the Company may not be indicative of assumptions and adjustments that a purchaser of the Company’s loans and leases would seek.

Deposits

Pursuant to GAAP, the estimated fair value ascribed to noninterest-bearing deposits, savings deposits and NOW accounts must be established at carrying value because of the customers’ ability to withdraw funds immediately. Time deposit accounts are required to be revalued based upon prevailing market interest rates for similar maturity instruments. As a result, amounts assigned to time deposits were based on discounted cash flow calculations using prevailing market interest rates based on the Company’s pricing at the respective date for deposits with comparable remaining terms to maturity.

The Company believes that deposit accounts have a value greater than that prescribed by GAAP. The Company feels, however, that the value associated with these deposits is greatly influenced by characteristics of the buyer, such as the ability to reduce the costs of servicing the deposits and deposit attrition which often occurs following an acquisition.

Long-term borrowings

The amounts assigned to long-term borrowings were based on quoted market prices, when available, or were based on discounted cash flow calculations using prevailing market interest rates for borrowings of similar terms and credit risk.

Other commitments and contingencies

As described in note 13, in the normal course of business, various commitments and contingent liabilities are outstanding, such as loan commitments, credit guarantees and letters of credit. The Company’s pricing of such financial instruments is based largely on credit quality and relationship, probability of funding and other requirements. Loan commitments often have fixed expiration dates and contain termination and other clauses which provide for relief from funding in the event of significant deterioration in the credit quality of the customer. The rates and terms of the Company’s loan commitments, credit guarantees and letters of credit are competitive with other financial institutions operating in markets served by the Company. The Company believes that the carrying amounts, which are included in other liabilities, are reasonable estimates of the fair value of these financial instruments.

The Company does not believe that the estimated information presented herein is representative of the earnings power or value of the Company. The preceding analysis, which is inherently limited in depicting fair value, also does not consider any value associated with existing customer relationships nor the ability of the Company to create value through loan origination, deposit gathering or fee generating activities.

Many of the estimates presented herein are based upon the use of highly subjective information and assumptions and, accordingly, the results may not be precise. Management believes that fair value estimates may not be comparable between financial institutions due to the wide range of permitted valuation techniques and numerous estimates which must be made. Furthermore, because the disclosed fair value amounts were estimated as of the balance sheet date, the amounts actually realized or paid upon maturity or settlement of the various financial instruments could be significantly different.