EX-99.3 4 l30834aexv99w3.htm EX-99.3 EX-99.3
 

Exhibit 99.3(1 of 2)
KeyCorp
April 17, 2008
Consolidated Balance Sheets
(dollars in millions)
                         
    3-31-08     12-31-07     3-31-07  
Assets
                       
Loans
  $ 76,444     $ 70,823     $ 65,711  
Loans held for sale
    1,674       4,736       4,175  
Securities available for sale
    8,419       7,860       7,789  
Held-to-maturity securities
    29       28       38  
Trading account assets
    1,015       1,056       671  
Short-term investments
    577       516       1,313  
Other investments
    1,561       1,538       1,466  
 
           
Total earning assets
    89,719       86,557       81,163  
Allowance for loan losses
    (1,298 )     (1,200 )     (944 )
Cash and due from banks
    1,730       1,814       2,052  
Premises and equipment
    712       681       590  
Operating lease assets
    1,070       1,128       1,074  
Goodwill
    1,599       1,252       1,202  
Other intangible assets
    164       123       115  
Corporate-owned life insurance
    2,894       2,872       2,805  
Derivative assets
    1,508       879       413  
Accrued income and other assets
    3,394       4,122       3,786  
 
           
Total assets
  $ 101,492     $ 98,228     $ 92,256  
 
                 
 
                       
Liabilities
                       
Deposits in domestic offices:
                       
NOW and money market deposit accounts
  $ 26,527     $ 27,635     $ 23,317  
Savings deposits
    1,826       1,513       1,654  
Certificates of deposit ($100,000 or more)
    8,330       6,982       6,094  
Other time deposits
    12,933       11,615       12,086  
 
           
Total interest-bearing deposits
    49,616       47,745       43,151  
Noninterest-bearing deposits
    10,896       11,028       13,473  
Deposits in foreign office — interest-bearing
    4,190       4,326       3,149  
 
           
Total deposits
    64,702       63,099       59,773  
Federal funds purchased and securities sold under repurchase agreements
    3,503       3,927       5,770  
Bank notes and other short-term borrowings
    5,464       5,861       922  
Derivative liabilities
    465       252       173  
Accrued expense and other liabilities
    4,429       5,386       4,838  
Long-term debt
    14,337       11,957       13,061  
 
             
Total liabilities
    92,900       90,482       84,537  
 
                       
Shareholders’ equity
                       
Preferred stock
                 
Common shares
    492       492       492  
Capital surplus
    1,659       1,623       1,614  
Retained earnings
    8,737       8,522       8,528  
Treasury stock, at cost
    (2,689 )     (3,021 )     (2,801 )
Accumulated other comprehensive income (loss)
    393       130       (114 )
 
           
Total shareholders’ equity
    8,592       7,746       7,719  
 
                       
 
           
Total liabilities and shareholders’ equity
  $ 101,492     $ 98,228     $ 92,256  
 
                 
 
                       
Common shares outstanding (000)
    400,071       388,793       394,483  
 
           


 

Exhibit 99.3(2 of 2)
KeyCorp
April 17, 2008
Consolidated Statements of Income
(dollars in millions, except per share amounts)
                         
    Three months ended  
    3-31-08     12-31-07     3-31-07  
Interest income
                       
Loans
  $ 1,123     $ 1,205     $ 1,161  
Loans held for sale
    87       89       75  
Securities available for sale
    109       115       100  
Held-to-maturity securities
    1       1       1  
Trading account assets
    13       12       7  
Short-term investments
    9       13       11  
Other investments
    12       12       13  
 
           
Total interest income
    1,354       1,447       1,368  
 
                       
Interest expense
                       
Deposits
    428       483       433  
Federal funds purchased and securities sold under repurchase agreements
    28       45       49  
Bank notes and other short-term borrowings
    39       45       11  
Long-term debt
    146       164       196  
 
           
Total interest expense
    641       737       689  
 
                       
 
           
Net interest income
    713       710       679  
Provision for loan losses
    187       363       44  
 
           
Net interest income after provision for loan losses
    526       347       635  
 
                       
Noninterest income
                       
Trust and investment services income
    129       131       125  
Service charges on deposit accounts
    88       90       75  
Investment banking and capital markets income
    8       12       44  
Operating lease income
    69       72       64  
Letter of credit and loan fees
    37       58       38  
Corporate-owned life insurance income
    28       37       25  
Electronic banking fees
    24       25       24  
Net (losses) gains from loan securitizations and sales
    (101 )     (6 )     9  
Net securities gains (losses)
    3       6       (47 )
Net gains from principal investing
    9       6       29  
Gain from redemption of Visa Inc. shares
    165              
Gain from sale of McDonald Investments branch network
                171  
Other income
    69       57       97  
 
           
Total noninterest income
    528       488       654  
 
                       
Noninterest expense
                       
Personnel
    409       399       428  
Net occupancy
    66       64       63  
Computer processing
    47       52       51  
Operating lease expense
    58       59       52  
Professional fees
    23       38       26  
Equipment
    24       25       25  
Marketing
    14       16       19  
Other expense
    91       243       120  
 
           
Total noninterest expense
    732       896       784  
 
           
Income (loss) from continuing operations before income taxes
    322       (61 )     505  
Income taxes
    104       (83 )     147  
 
           
Income from continuing operations
    218       22       358  
Income (loss) from discontinued operations, net of taxes
          3       (8 )
 
           
Net income
  $   218     $    25     $   350  
 
                 
 
                       
Per common share:
                       
Income from continuing operations
  $ .55     $ .06     $ .90  
Net income
    .55       .06       .88  
 
                       
Per common share — assuming dilution:
                       
Income from continuing operations
  $ .54     $ .06     $ .89  
Net income
    .54       .06       .87  
 
                       
Cash dividends declared per common share
        $ .74     $ .365  
 
                       
Weighted-average common shares outstanding (000)
    399,121       388,841       397,875  
Weighted-average common shares and potential common shares outstanding (000)
    399,769       389,911       403,478