Restructuring, Repositioning, and Efficiency

12 Months Ended

Dec. 31, 2021

Restructuring and Related Activities [Abstract]

Restructuring, Repositioning, and Efficiency

Beginning in 2019, FHN initiated a company-wide review of business practices with the goal of optimizing its expense base to improve profitability and create capacity to reinvest savings into technology and revenue production activities. Restructuring, repositioning, and efficiency charges related to these corporate-driven actions were not significant in 2021 and 2020 and were $40 million in 2019. These expenses are included in the Corporate segment. Significant expenses resulted from the following actions:

•Severance and other employee costs primarily related to efficiency initiatives within corporate and bank services functions which are classified as personnel expense within noninterest expense.

•Expense largely related to the identification of efficiency opportunities within the organization which is reflected in legal and professional fees.

•Expense related to costs associated with asset impairments which is reflected in other expense.

Settlement of the obligations arising from current initiatives will be funded from operating cash flows.

Total expense recognized for the year ended December 31, 2019 is presented in the table below:

Table 8.25.1

RESTRUCTURING, REPOSITIONING, & EFFICIENCY EXPENSES


(Dollars in millions)	Year Ended December 31, 2019
Personnel expense	$	11
Legal and professional fees	16
Net occupancy expense	1
Other	12
Total restructuring, repositioning, and efficiency charges	$	40