8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): August 2, 2011

(Exact name of registrant as specified in charter)

001-11302

(Commission File Number)

OHIO	34-6542451
(State or other jurisdiction of incorporation)	(I.R.S. Employer Identification No.)

127 Public Square

Cleveland, Ohio 44114-1306

(Address of principal executive offices and zip code)

(216) 689-3000

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8 – Other Events

Item 8.01 Other Events

On August 2, 2011, KeyCorp issued a press release announcing that it will fully redeem approximately $361 million of trust preferred securities issued by the following trusts: KeyCorp Capital V, KeyCorp Capital VI, KeyCorp Capital VIII, and Union State Capital Trust I. A copy of the press release is attached as Exhibit 99.1 and is incorporated herein by reference.

Item 9 – Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit 99.1 Press Release, dated August 2, 2011

SIGNATURE

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.

	KEYCORP
	(Registrant)
Date: August 2, 2011	/s/ William J. Blake
	By:	William J. Blake
		Vice President and Assistant Secretary

EX-99.1

Exhibit 99.1

News
	KeyCorp
	127 Public Square
	Cleveland, OH 44114

CONTACTS:	ANALYSTS	MEDIA
	Vernon L. Patterson	David Reavis
	216.689.0520	216.471.2886
	Vernon_Patterson@KeyBank.com	David_Reavis@KeyBank.com
	Christopher F. Sikora
	216.689.3133
	Chris_F_Sikora@KeyBank.com

INVESTOR	KEY MEDIA
RELATIONS: www.key.com/ir	NEWSROOM: www.key.com/newsroom

FOR IMMEDIATE RELEASE

KEYCORP TO REDEEM TRUST PREFERRED SECURITIES

CLEVELAND, Aug. 2 – KeyCorp (NYSE: KEY) announced today that it has submitted a redemption notice to the property trustee for each trust listed below, which will result in the redemption of the trust preferred securities identified below on the redemption date specified for each security.

These redemptions are consistent with an updated capital plan submitted to the Board of Governors of the Federal Reserve System (the “Federal Reserve”) on June 10, 2011, which provided for one additional capital action related to the redemption of certain trust preferred securities. On August 1, 2011, the Federal Reserve informed us that it had no objection to our updated capital plan. The redemptions will be funded with existing available cash.

Trust	Security	Principal Amount		CUSIP		Redemption Date
KeyCorp Capital V	5.875% Trust Preferred Securities	$	115,454,125		49327J200		9/1/2011
KeyCorp Capital VI	6.125% Trust Preferred Securities	$	54,591,475		49327K207		9/1/2011
KeyCorp Capital VIII	7% Enhanced Trust Preferred Securities	$	171,063,250		49327C205		9/1/2011
Union State Capital Trust I	9.580% Capital Securities	$	20,000,000		908470AC1		9/1/2011

The holders of trust preferred securities for Union State Capital Trust I will receive 102.874% of the principal amount.

“The action we are announcing today to redeem certain trust preferred securities is part of our overall capital and liability management strategy, “ said Chairman and Chief Executive Officer Beth Mooney. “Key’s strong tier 1 common capital and the changing treatment of trust preferred securities as qualifying tier 1 capital under Dodd-Frank and the Basel III proposals make this decision appropriate at this time.”

Mooney continued: “All of the securities called for redemption today were callable under their existing arrangements. We will continue to evaluate other securities for redemption when appropriate.”

About KeyCorp

Cleveland-based KeyCorp (NYSE: KEY) is one of the nation’s largest bank-based financial services companies, with assets of approximately $89 billion. Key companies provide investment management, retail and commercial banking, consumer finance, and investment banking products and services to individuals and companies throughout the United States and, for certain businesses, internationally. For more information, visit https://www.key.com/aboutkey.

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This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not historical facts but instead represent only management’s current expectations and forecasts regarding future events, many of which, by their nature, are inherently uncertain and outside of Key’s control. Key’s actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Factors that could cause Key’s actual results to differ materially from those described in the forward-looking statements can be found in Key’s Annual Report on Form 10-K for the year ended December 31, 2010 and Quarterly Report on Form 10-Q for the period ended March 31, 2011, each of which has been filed with the SEC and are available on Key’s website at www.Key.com/IR and on the SEC’s website at www.sec.gov. Forward-looking statements are not guarantees of future performance and should not be relied upon as representing management’s views as of any subsequent date. Key does not undertake any obligation to update the forward-looking statements to reflect the impact of circumstances or events that may arise after the date of the forward-looking statements.