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Loans, Allowance for Loan Losses and Allowance for Unfunded Credit Commitments (Tables)
 6 Months Ended
Jun. 30, 2021
Receivables [Abstract]  
Loans and Allowance for Loan Losses
The composition of loans at amortized cost basis broken out by risk-based segment at June 30, 2021 and December 31, 2020 is presented in the following table:
(Dollars in millions)June 30, 2021December 31, 2020
Global fund banking$30,630 $25,543 
Investor dependent:
Early stage1,565 1,486 
Mid stage1,708 1,565 
Later stage2,055 1,921 
Total investor dependent5,328 4,972 
Cash flow dependent:
Sponsor led buyout1,917 1,989 
Other2,926 2,945 
Total cash flow dependent4,843 4,934 
Private bank (4)5,297 4,901 
Balance sheet dependent2,804 2,191 
Premium wine (4)1,002 1,053 
Other (4)7 28 
SBA loans843 1,559 
Total loans (1) (2) (3)$50,754 $45,181 
ACL(396)(448)
Net loans$50,358 $44,733 
(1)    Total loans at amortized cost is net of unearned income of $248 million and $226 million at June 30, 2021 and December 31, 2020, respectively.
(2)     Included within our total loan portfolio are credit card loans of $509 million and $400 million at June 30, 2021 and December 31, 2020, respectively.
(3)     Included within our total loan portfolio are construction loans of $84 million and $118 million at June 30, 2021 and December 31, 2020, respectively.
(4)     Of our total loans, the table below includes those secured by real estate at amortized cost at June 30, 2021 and December 31, 2020 and were comprised of the following:
(Dollars in millions)June 30, 2021December 31, 2020
Real estate secured loans:
Private bank:
Loans for personal residence$3,773 $3,392 
Loans to eligible employees447 481 
Home equity lines of credit61 43 
Other131 143 
Total private bank loans secured by real estate$4,412 $4,059 
Premium wine807 824 
Other34 57 
Total real estate secured loans$5,253 $4,940 
Credit Quality Indicators, Broken out by Portfolio Segment and Class of Financing Receivables
The following tables summarize the credit quality indicators, broken out by risk-based segment and vintage year, as of June 30, 2021 and December 31, 2020:
Term Loans by Origination Year
June 30, 2021 (Dollars in millions)20212020201920182017PriorRevolving LoansRevolving Loans Converted to Term LoansUnallocated (1)Total
Global fund banking:
Risk rating:
Pass $567 $165 $42 $55 $20 $7 $29,766 $1 $— $30,623 
Criticized— — — — — — 5 2 — 7 
Nonperforming— — — — — — — — — — 
Total global fund banking$567 $165 $42 $55 $20 $7 $29,771 $3 $— $30,630 
Investor dependent:
Early stage:
Risk rating:
Pass $392 $520 $237 $53 $10 $— $144 $1 $— $1,357 
Criticized8 93 51 14 2 5 24 — — 197 
Nonperforming— 1 5 4 — — 1 — — 11 
Total early stage$400 $614 $293 $71 $12 $5 $169 $1 $— $1,565 
Mid stage:
Risk rating:
Pass $505 $654 $215 $106 $16 $2 $100 $5 $— $1,603 
Criticized8 49 9 13 3 — 18 — — 100 
Nonperforming— — 2 3 — — — — — 5 
Total mid stage$513 $703 $226 $122 $19 $2 $118 $5 $— $1,708 
Later stage:
Risk rating:
Pass $576 $829 $290 $63 $10 $2 $195 $— $— $1,965 
Criticized6 29 16 3 2 — 13 — — 69 
Nonperforming— 15 — — — — 6 — — 21 
Total later stage$582 $873 $306 $66 $12 $2 $214 $— $— $2,055 
Total investor dependent$1,495 $2,190 $825 $259 $43 $9 $501 $6 $— $5,328 
Cash flow dependent:
Sponsor led buyout:
Risk rating:
Pass $588 $548 $341 $141 $120 $4 $44 $— $— $1,786 
Criticized— 14 15 40 10 13 5 — — 97 
Nonperforming— — 12 10 7 — 5 — — 34 
Total sponsor led buyout$588 $562 $368 $191 $137 $17 $54 $— $— $1,917 
Other
Risk rating:
Pass $540 $720 $332 $137 $108 $— $868 $— $— $2,705 
Criticized— 10 35 37 — — 138 — — 220 
Nonperforming— — — — — — 1 — — 1 
Total other$540 $730 $367 $174 $108 $— $1,007 $— $— $2,926 
Total cash flow dependent$1,128 $1,292 $735 $365 $245 $17 $1,061 $— $— $4,843 
Private bank:
Risk rating:
Pass $1,047 $1,748 $980 $321 $243 $513 $406 $1 $— $5,259 
Criticized— 1 8 3 4 11 4 — — 31 
Nonperforming— — — 6 — 1 — — — 7 
Total private bank$1,047 $1,749 $988 $330 $247 $525 $410 $1 $— $5,297 
Balance sheet dependent:
Risk rating:
Pass $657 $728 $130 $158 $31 $— $928 $— $— $2,632 
Criticized— 65 42 — — — 64 1 — 172 
Nonperforming— — — — — — — — — — 
Total balance sheet dependent$657 $793 $172 $158 $31 $— $992 $1 $— $2,804 
Premium wine:
Risk rating:
Pass $52 $128 $195 $72 $74 $210 $112 $36 $— $879 
Criticized2 15 12 16 10 47 21 — — 123 
Nonperforming— — — — — — — — — — 
Total Premium wine$54 $143 $207 $88 $84 $257 $133 $36 $— $1,002 
Other:
Risk rating:
Pass $— $17 $13 $— $1 $— $3 $— $(27)$7 
Criticized— — — — — — — — — — 
Nonperforming— — — — — — — — — — 
Total other$— $17 $13 $— $1 $— $3 $— $(27)$7 
SBA loans:
Risk rating:
Pass $401 $368 $— $— $— $— $— $— $— $769 
Criticized46 28 — — — — — — — 74 
Nonperforming— — — — — — — — — — 
Total SBA loans$447 $396 $— $— $— $— $— $— $— $843 
Total loans$5,395 $6,745 $2,982 $1,255 $671 $815 $32,871 $47 $(27)$50,754 
(1)    These amounts consist of fees and clearing items that have not yet been allocated at the loan level.
Term Loans by Origination Year
December 31, 2020 (Dollars in millions)20202019201820172016PriorRevolving LoansRevolving Loans Converted to Term LoansTotal
Global fund banking:
Risk rating:
Pass $440 $48 $69 $23 $2 $6 $24,947 $2 $25,537 
Criticized—————— — 6 6 
Nonperforming—————— — — — 
Total global fund banking$440 $48 $69 $23 $2 $6 $24,947 $8 $25,543 
Investor dependent:
Early stage:
Risk rating:
Pass $667 $370 $121 $32 $1 $1 $96 $1 $1,289 
Criticized47 73 26 10 4 — 19 — 179 
Nonperforming2 9 5 1 — — 1 — 18 
Total early stage$716 $452 $152 $43 $5 $1 $116 $1 $1,486 
Mid stage:
Risk rating:
Pass $840 $302 $146 $23 $5 $1 $101 $3 $1,421 
Criticized43 48 26 8 — 5 10 — 140 
Nonperforming— 1 — 3 — — — — 4 
Total mid stage$883 $351 $172 $34 $5 $6 $111 $3 $1,565 
Later stage:
Risk rating:
Pass $906 $394 $170 $38 $— $8 $224 $5 $1,745 
Criticized22 55 30 1 — 2 37 — 147 
Nonperforming17 2 4 — — — 6 — 29 
Total later stage$945 $451 $204 $39 $— $10 $267 $5 $1,921 
Total investor dependent$2,544 $1,254 $528 $116 $10 $17 $494 $9 $4,972 
Cash flow dependent:
Sponsor led buyout:
Risk rating:
Pass $791 $452 $274 $167 $37 $— $75 $— $1,796 
Criticized— 70 39 22 13 — 9 — 153 
Nonperforming— 12 16 7 — — 5 — 40 
Total sponsor led buyout
$791 $534 $329 $196 $50 $— $89 $— $1,989 
Other
Risk rating:
Pass $880 $513 $179 $133 $39 $— $933 $— $2,677 
Criticized19 68 34 4 — — 137 — 262 
Nonperforming— — 5 — — — 1 — 6 
Total other$899 $581 $218 $137 $39 $— $1,071 $— $2,945 
Total cash flow dependent$1,690 $1,115 $547 $333 $89 $— $1,160 $— $4,934 
Private bank:
Risk rating:
Pass $1,878 $1,153 $394 $353 $295 $406 $382 $1 $4,862 
Criticized3 10 5 1 5 8 1 — 33 
Nonperforming— — 3 — — 2 1 — 6 
Total private bank$1,881 $1,163 $402 $354 $300 $416 $384 $1 $4,901 
Balance sheet dependent:
Risk rating:
Pass $838 $190 $199 $19 $— $— $858 $1 $2,105 
Criticized56 4 — — — — 26 — 86 
Nonperforming— — — — — — — — — 
Total balance sheet dependent
$894 $194 $199 $19 $— $— $884 $1 $2,191 
Premium wine:
Risk rating:
Pass $127 $194 $71 $79 $115 $154 $135 $36 $911 
Criticized18 24 36 10 13 6 34 — 141 
Nonperforming— — — — 1 — — — 1 
Total Premium wine$145 $218 $107 $89 $129 $160 $169 $36 $1,053 
Other:
Risk rating:
Pass $— $16 $11 $— $— $1 $— $— $28 
Criticized— — — — — — — — — 
Nonperforming— — — — — — — — — 
Total other
$— $16 $11 $— $— $1 $— $— $28 
SBA loans:
Risk rating:
Pass $1,456 $— $— $— $— $— $— $— $1,456 
Criticized103 — — — — — — — 103 
Nonperforming— — — — — — — — — 
Total SBA loans
$1,559 $— $— $— $— $— $— $— $1,559 
Total loans$9,153 $4,008 $1,863 $934 $530 $600 $28,038 $55 $45,181 
Activity in Allowance for Loan Losses Broken out by Portfolio Segment
The following tables summarize the activity relating to our ACL for loans for the three and six months ended June 30, 2021 and 2020, broken out by portfolio segment:
Three months ended June 30, 2021Beginning Balance March 31, 2021Charge-offsRecoveriesProvision (Reduction) for Credit LossesEnding Balance June 30, 2021
(Dollars in millions)
Global fund banking$60 $— $— $6 $66 
Investor dependent:
Early stage62 (5)2 (4)55 
Growth stage106 (1)1 (3)103 
Total investor dependent168 (6)3 (7)158 
Cash flow and balance sheet dependent112 (7)— 14 119 
Private bank44 (2)— 5 47 
Premium wine and other8 — — (2)6 
Total ACL$392 $(15)$3 $16 $396 
Three months ended June 30, 2020Beginning Balance March 31, 2020Charge-offsRecoveriesProvision (Reduction) for Credit LossesEnding Balance June 30, 2020
(Dollars in millions)
Global fund banking$57 $— $— $(3)$54 
Investor dependent:
Early stage127 (2)3 20 148 
Growth stage149 (4)1 (2)144 
Total investor dependent276 (6)4 18 292 
Cash flow and balance sheet dependent104 (8)— 27 123 
Private bank88 (1)— 4 91 
Premium wine and other24 — — 2 26 
SBA loans— — — 4 4 
Total ACL$549 $(15)$4 $52 $590 
Six months ended June 30, 2021Beginning Balance December 31, 2020Charge-offsRecoveriesProvision (Reduction) for Credit LossesEnding Balance June 30, 2021
(Dollars in millions)
Global fund banking$46 $(80)$— $100 $66 
Investor dependent:
Early stage86 (19)3 (15)55 
Growth stage127 (1)5 (28)103 
Total investor dependent213 (20)8 (43)158 
Cash flow and balance sheet dependent125 (7)— 1 119 
Private bank53 (2)— (4)47 
Premium wine and other9 (1)— (2)6 
SBA loans2 — — (2)— 
Total ACL$448 $(110)$8 $50 $396 

Six months ended June 30, 2020Beginning Balance December 31, 2019Impact of adopting ASC 326Charge-offsRecoveriesProvision for Credit LossesForeign Currency Translation AdjustmentsEnding Balance June 30, 2020
(Dollars in millions)
Global fund banking$107 $(70)$— $— $17 $— $54 
Investor dependent:
Early stage26 40 (12)4 91 (1)148 
Growth stage56 32 (27)5 79 (1)144 
Total investor dependent82 72 (39)9 170 (2)292 
Cash flow and balance sheet dependent81 (1)(11)3 51 — 123 
Private bank22 12 (2)— 59 — 91 
Premium wine and other13 12 — — — 1 26 
SBA loans— — — — 4 — 4 
Total ACL$305 $25 $(52)$12 $301 $(1)$590 
The following table summarizes the activity relating to our ACL for unfunded credit commitments for the three and six months ended June 30, 2021 and 2020:
 Three months ended June 30, Six months ended June 30,
(Dollars in millions)2021202020212020
ACL: unfunded credit commitments, beginning balance$105 $85 $121 $67 
Impact of adopting ASC 326— — — 23 
Provision of credit losses15 14 (1)9 
ACL: unfunded credit commitments, ending balance (1)$120 $99 $120 $99 
(1)The “ACL: unfunded credit commitments” is included as a component of “other liabilities” on our unaudited interim consolidated balance sheets. See Note 13 — “Off-Balance Sheet Arrangements, Guarantees and Other Commitments” of the “Notes to Interim Consolidated Financial Statements (unaudited)” under Part I, Item 1 of this report for additional disclosures related to our commitments to extend credit.
Financing Receivable, Past Due
The following table summarizes the aging of our loans broken out by risk-based segment as of June 30, 2021 and December 31, 2020:
(Dollars in millions)30 - 59
  Days Past  
Due		60 - 89
  Days Past  
Due		Equal to or Greater
Than 90
  Days Past  
Due		  Total Past  
Due		Current  Total   Loans Past Due
90 Days or
More Still
Accruing
Interest
June 30, 2021:
Global fund banking$— $— $— $— $30,630 $30,630 $— 
Investor dependent:
Early stage1 — 1 2 1,563 1,565 — 
Mid stage— 2 — 2 1,706 1,708 — 
Later stage1 — — 1 2,054 2,055 — 
Total investor dependent2 2 1 5 5,323 5,328 — 
Cash flow dependent:
Sponsor led buyout— — — — 1,917 1,917 — 
Other5 — — 5 2,921 2,926 — 
Total cash flow dependent5 — — 5 4,838 4,843 — 
Private bank— — 2 2 5,295 5,297 2 
Balance sheet dependent1 3 — 4 2,800 2,804 — 
Premium wine2 — — 2 1,000 1,002 — 
Other— — — — 7 7 — 
SBA loans— 1 1 2 841 843 1 
Total loans$10 $6 $4 $20 $50,734 $50,754 $3 
December 31, 2020:
Global fund banking$28 $— $— $28 $25,515 $25,543 $— 
Investor dependent:
Early stage6 2 — 8 1,478 1,486 — 
Mid stage6 — 1 7 1,558 1,565 — 
Later stage5 — — 5 1,916 1,921 — 
Total investor dependent17 2 1 20 4,952 4,972 — 
Cash flow dependent
Sponsor led buyout— — — — 1,989 1,989 — 
Other6 — — 6 2,939 2,945 — 
Total cash flow dependent6 — — 6 4,928 4,934 — 
Private bank4 4 — 8 4,893 4,901 — 
Balance sheet dependent1 1 — 2 2,189 2,191 — 
Premium wine3 — 1 4 1,049 1,053 — 
Other— — — — 28 28 — 
SBA loans— — — — 1,559 1,559 — 
Total loans$59 $7 $2 $68 $45,113 $45,181 $— 
Financing Receivable, Nonaccrual
The following table summarizes our nonaccrual loans with no allowance for credit loss at June 30, 2021 and December 31, 2020:
June 30, 2021December 31, 2020
(Dollars in millions)Nonaccrual LoansNonaccrual Loans with no Allowance for Credit LossNonaccrual Loans Nonaccrual Loans with no Allowance for Credit Loss
Investor dependent:
Early stage$11 $3 $18 $— 
Mid stage5 — 4 3 
Later stage21 — 29 — 
Total investor dependent37 3 51 3 
Cash flow dependent:
Sponsor led buyout34 — 40 — 
Other1 1 6 1 
Total cash flow dependent35 1 46 1 
Private bank7 2 6 3 
Premium wine— — 1 1 
Total nonaccrual loans$79 $6 $104 $8 
Summary of Loans Modified in Troubled Debt Restructurings ("TDRs") by Risk-based Segment
The following table summarizes our loans modified in TDRs, broken out by risk-based segment, at June 30, 2021 and December 31, 2020:
(Dollars in millions)June 30, 2021December 31, 2020
Loans modified in TDRs:
Investor dependent:
Early stage$1 $7 
Mid stage5 4 
Later stage15 25 
Total investor dependent21 36 
Cash flow dependent:
Sponsor led buyout34 22 
Other1 1 
Total cash flow dependent35 23 
Private bank3 — 
Premium wine2 2 
Total loans modified in TDRs$61 $61 
Recorded Investment in Loans Modified in TDRs
The following table summarizes the recorded investment in loans modified in TDRs, broken out by risk-based segment, for modifications made during the three and six months ended June 30, 2021 and 2020:
 Three months ended June 30, Six months ended June 30,
(Dollars in millions)2021202020212020
Loans modified in TDRs during the period:
Investor dependent:
Early stage$1 $— $1 $— 
Mid stage— 5 — 11 
Later stage— 4 — 7 
Total investor dependent1 9 1 18 
Cash flow dependent:
Sponsor led buyout— — 13 — 
Other— 4 — 4 
Total cash flow dependent— 4 13 4 
Private bank1 — 3 — 
Premium wine— 1 — 1 
Total loans modified in TDRs during the period (1)$2 $14 $17 $23 
(1)There were $6 million and $7 million of partial charge-offs for the three and six months ended June 30, 2021, respectively, and $5 million and $18 million of partial charge-offs for the three and six months ended June 30, 2020, respectively.
Troubled Debt Restructurings On Financing Receivables Subsequently Defaulted Table
The following table summarizes the recorded investment in loans modified in TDRs within the previous 12 months that subsequently defaulted during the three and six months ended June 30, 2021 and June 30, 2020:
 Three months ended June 30, Six months ended June 30,
(Dollars in millions)2021202020212020
TDRs modified within the previous 12 months that defaulted during the period:
Cash flow dependent:
Sponsor led buyout$— $10 $— $10 
Total cash flow dependent— 10 — 10 
Total TDRs modified within the previous 12 months that defaulted in the period$— $10 $— $10