Asset Quality (Tables)

12 Months Ended

Dec. 31, 2011

Asset Quality (Tables) [Abstract]

Nonperforming assets and past due loans

December 31,
in millions	2011		2010
Total nonperforming loans	$	727	$	1,068
Nonperforming loans held for sale		46		106
OREO		65		129
Other nonperforming assets		21		35
Total nonperforming assets	$	859	$	1,338
Restructured loans included in nonperforming loans (a)	$	191	$	202
Restructured loans with a specifically allocated allowance (b)		50		57
Specifically allocated allowance for restructured loans (c)		10		18
Accruing loans past due 90 days or more	$	164	$	239
Accruing loans past due 30 through 89 days		441		476

(a) A loan is “restructured” (i.e., troubled debt restructurings), for reasons related to the borrower’s financial difficulties, and we grant a concession that we would not otherwise have considered. To improve the collectability of the loan, typical concessions include reducing the interest rate, extending the maturity date or reducing the principal balance.

(b) Included in impaired loans with a specifically allocated allowance.

(c) Included in specifically allocated allowance for impaired loans.

Impaired loans evaluated for specific reserves

December 31, 2011 in millions	Recorded   Investment		(a)	Unpaid   Principal   Balance		(b)	Specific   Allowance		Average   Recorded   Investment
With no related allowance recorded:
Commercial, financial and agricultural	$	88		$	195			—	$	75
Commercial real estate:
Commercial mortgage		100			240			—		131
Construction		30			113			—		98
Total commercial real estate loans		130			353			—		229
Commercial lease financing		—			—			—		—
Total commercial loans with no related allowance recorded		218			548			—		304
With an allowance recorded:
Commercial, financial and agricultural		62			70		$	26		75
Commercial real estate:
Commercial mortgage		96			115			21		91
Construction		12			18			4		29
Total commercial real estate loans		108			133			25		120
Commercial lease financing		—			—			—		6
Total commercial loans with an allowance recorded		170			203			51		201
Total	$	388		$	751		$	51	$	505

(a) The Recorded Investment in impaired loans represents the face amount of the loan increased or decreased by applicable accrued interest, net deferred loan fees and costs, unamortized premium or discount, and reflects direct charge-offs. This amount is a component of total loans on our consolidated balance sheet.

(b) The Unpaid Principal Balance represents the customer’s legal obligation to us.

December 31, 2010 in millions	Recorded   Investment		(a)	Unpaid   Principal   Balance		(b)	Specific   Allowance		Average Recorded Investment
With no related allowance recorded:
Commercial, financial and agricultural	$	61		$	133			—	$	66
Commercial real estate:
Commercial mortgage		162			310			—		166
Construction		166			404			—		219
Total commercial real estate loans		328			714			—		385
Commercial lease financing		—			—			—		—
Total commercial loans		389			847			—		451
Real estate — residential mortgage		—			—			—		2
Total loans with no related allowance recorded		389			847			—		453
With an allowance recorded:
Commercial, financial and agricultural		89			133		$	26		237
Commercial real estate:
Commercial mortgage		86			130			18		237
Construction		45			85			7		184
Total commercial real estate loans		131			215			25		421
Commercial lease financing		12			18			7		17
Total commercial loans		232			366			58		675
Real estate — residential mortgage		—			—			—		3
Consumer other:
Other		—			—			—		3
Total consumer — indirect loans		—			—			—		3
Total loans with an allowance recorded		232			366			58		681
Total	$	621		$	1,213		$	58	$	1,134

(a) The Recorded Investement in impaired loans represents the face amount of the loan increased or decreased by applicable accrued interest, net deferred loan fees and costs, unamortized premium or discount, and reflects direct charge-offs. This amount is a component of total loans on our consolidated balance sheet.

(b) The Unpaid Principal Balance represents the customer’s legal obligation to us.

Breakdown of nonperforming TDRs by loans category

December 31, 2011 dollars in millions	Number   of loans		Pre-modification   Outstanding   Recorded   Investment		Post-modification   Outstanding   Recorded   Investment
LOAN TYPE
Nonperforming:
Commercial, financial and agricultural		13	$	71	$	39
Commercial real estate:
Real estate — commercial mortgage		15		120		91
Real estate — construction		5		24		11
Total commercial real estate loans		20		144		102
Commercial lease financing		147		18		7
Total commercial loans		180		233		148
Real estate — residential mortgage		90		12		11
Home equity:
Key Community Bank		41		5		5
Other		40		1		1
Total home equity loans		81		6		6
Consumer other — Key Community Bank		7		—		—
Consumer other:
Marine		57		27		26
Other		22		—		—
Total consumer other		79		27		26
Total consumer loans		257		45		43
Total nonperforming TDRs		437		278		191
Prior-year accruing:(a)
Commercial, financial and agricultural		1		8		4
Commercial real estate:
Real estate — commercial mortgage		3		31		22
Real estate — construction		3		39		19
Total commercial real estate loans		6		70		41
Commercial lease financing		159		17		13
Total commercial loans		166		95		58
Real estate — residential mortgage		54		6		6
Home equity:
Key Community Bank		62		6		6
Other		71		3		2
Total home equity loans		133		9		8
Consumer other — Key Community Bank		14		—		—
Consumer other:
Marine		102		12		11
Other		31		2		2
Total consumer other		133		14		13
Total consumer loans		334		29		27
Total prior-year accruing TDRs		500		124		85
Total TDRs		937	$	402	$	276

(a) All TDRs that were restructured prior to January 1, 2011 and are fully accruing.

Concession types for our commercial accruing and nonaccruing TDRs

December 31, dollars in millions	2011			2010
Interest rate reduction	$	177		$	188
Forgiveness of principal		23			38
Other modification of loan terms		8			14
Total	$	208		$	240
Total commercial and consumer TDRs	$	276		$	297
Total commercial TDRs to total commercial loans		.60	%		.70	%
Total commercial TDRs to total loans		.42			.48
Total commercial loans	$	34,782		$	34,520
Total loans		49,575			50,107

Past due loans including current loans

December 31, 2011 in millions	Current		30-59 Days Past Due		60-89 Days Past Due		90 and Greater Days Past Due		Nonperforming Loans		Total Past Due and Nonperforming Loans		Total Loans
LOAN TYPE
Commercial, financial and agricultural	$	19,136	$	25	$	17	$	12	$	188	$	242	$	19,378
Commercial real estate:
Commercial mortgage		7,680		57		18		64		218		357		8,037
Construction		1,225		6		1		26		54		87		1,312
Total commercial real estate loans		8,905		63		19		90		272		444		9,349
Commercial lease financing		5,920		71		21		16		27		135		6,055
Total commercial loans	$	33,961	$	159	$	57	$	118	$	487	$	821	$	34,782
Real estate — residential mortgage	$	1,816	$	21	$	13	$	9	$	87	$	130	$	1,946
Home equity:
Key Community Bank		9,004		64		34		19		108		225		9,229
Other		497		14		8		4		12		38		535
Total home equity loans		9,501		78		42		23		120		263		9,764
Consumer other — Key Community Bank		1,168		9		6		8		1		24		1,192
Consumer other:
Marine		1,678		37		15		5		31		88		1,766
Other		119		2		2		1		1		6		125
Total consumer other		1,797		39		17		6		32		94		1,891
Total consumer loans	$	14,282	$	147	$	78	$	46	$	240	$	511	$	14,793
Total loans	$	48,243	$	306	$	135	$	164	$	727	$	1,332	$	49,575

December 31, 2010 in millions	Current		30-59 Days Past Due		60-89 Days Past Due		90 and Greater Days Past Due		Nonperforming Loans		Total Past Due and Nonperforming Loans		Total Loans
LOAN TYPE
Commercial, financial and agricultural	$	16,049	$	35	$	22	$	93	$	242	$	392	$	16,441
Commercial real estate:
Commercial mortgage		9,158		33		16		40		255		344		9,502
Construction		1,796		27		4		38		241		310		2,106
Total commercial real estate loans		10,954		60		20		78		496		654		11,608
Commercial lease financing		6,316		64		17		10		64		155		6,471
Total commercial loans	$	33,319	$	159	$	59	$	181	$	802	$	1,201	$	34,520
Real estate — residential mortgage	$	1,698	$	25	$	12	$	11	$	98	$	146	$	1,844
Home equity:
Key Community Bank		9,282		69		37		24		102		232		9,514
Other		615		17		10		6		18		51		666
Total home equity loans		9,897		86		47		30		120		283		10,180
Consumer other — Key Community Bank		1,139		9		6		9		4		28		1,167
Consumer other:
Marine		2,117		48		20		7		42		117		2,234
Other		154		3		2		1		2		8		162
Total consumer other		2,271		51		22		8		44		125		2,396
Total consumer loans	$	15,005	$	171	$	87	$	58	$	266	$	582	$	15,587
Total loans	$	48,324	$	330	$	146	$	239	$	1,068	$	1,783	$	50,107

Financing Receivable Credit Quality Indicators

December 31, in millions
	Commercial, financial and agricultural				RE — Commercial				RE — Construction				Commercial Lease				Total
RATING (b)		2011		2010		2011		2010		2011		2010		2011		2010		2011		2010
AAA — AA	$	121	$	99	$	3	$	2	$	3		—	$	650	$	658	$	777	$	759
A		885		704		61		85		3	$	4		1,159		1,245		2,108		2,038
BBB — BB		16,347		12,386		6,061		6,125		784		829		3,812		3,796		27,004		23,136
B		803		1,282		622		1,349		185		383		252		395		1,862		3,409
CCC — C		1,222		1,970		1,290		1,941		337		890		182		377		3,031		5,178
Total	$	19,378	$	16,441	$	8,037	$	9,502	$	1,312	$	2,106	$	6,055	$	6,471	$	34,782	$	34,520

(a) Credit quality indicators are updated on an ongoing basis and reflect credit quality information as of the dates indicated.

(b) Our bond rating to internal loan grade conversion system is as follows: AAA - AA = 1, A = 2, BBB - BB = 3 - 13, B = 14 - 16, and CCC - C = 17 - 20.

Consumer Credit Exposure

Credit Risk Profile by Regulatory Classifications ^(a)

December 31, in millions
	Residential —Prime
GRADE		2011		2010
Pass	$	11,471	$	11,765
Special Mention		—		—
Substandard		239		259
Total	$	11,710	$	12,024

Credit Risk Profile Based on Payment Activity ^(a)

December 31, in millions	Consumer — Key Community Bank				Consumer — Marine				Consumer — Other				Total
		2011		2010		2011		2010		2011		2010		2011		2010
Performing	$	1,191	$	1,163	$	1,735	$	2,192	$	124	$	160	$	3,050	$	3,515
Nonperforming		1		4		31		42		1		2		33		48
Total	$	1,192	$	1,167	$	1,766	$	2,234	$	125	$	162	$	3,083	$	3,563

(a) Credit quality indicators are updated on an ongoing basis and reflect credit quality information as of the dates indicated.

Summary of the allowance for loan and lease losses

Year ended December 31,
in millions	2011			2010			2009
Balance at beginning of period — continuing operations	$	1,604		$	2,534		$	1,629
Charge-offs		(715	)		(1,822	)		(2,396	)
Recoveries		174			252			139
Net loans charged off		(541	)		(1,570	)		(2,257	)
Provision for loan and lease losses from continuing operations		(60	)		638			3,159
Foreign currency translation adjustment		1			2			3
Balance at end of period — continuing operations	$	1,004		$	1,604		$	2,534

Changes in allowance for loan and lease losses by loan category

	December 31,										December 31,
in millions	2010		Provision			Charge-offs			Recoveries		2011
Commercial, financial and agricultural	$	485	$	(32	)	$	(169	)	$	50	$	334
Real estate — commercial mortgage		416		(41	)		(113	)		10		272
Real estate — construction		145		(26	)		(83	)		27		63
Commercial lease financing		175		(80	)		(42	)		25		78
Total commercial loans		1,221		(179	)		(407	)		112		747
Real estate — residential mortgage		49		14			(29	)		3		37
Home equity:
Key Community Bank		120		72			(100	)		11		103
Other		57		13			(45	)		4		29
Total home equity loans		177		85			(145	)		15		132
Consumer other — Key Community Bank		57		21			(45	)		8		41
Consumer other:
Marine		89		5			(80	)		32		46
Other		11		(5	)		(9	)		4		1
Total consumer other:		100		—			(89	)		36		47
Total consumer loans		383		120			(308	)		62		257
Total ALLL — continuing operations		1,604		(59	) (a)		(715	)		174		1,004
Discontinued operations		114		113			(138	)		15		104
Total ALLL — including discontinued operations	$	1,718	$	54		$	(853	)	$	189	$	1,108

(a) Includes $1 million of foreign currency translation adjustment.

	December 31,										December 31,
in millions	2009		Provision			Charge-offs			Recoveries		2010
Commercial, financial and agricultural	$	796	$	167		$	(565	)	$	87	$	485
Real estate — commercial mortgage		578		168			(360	)		30		416
Real estate — construction		418		63			(380	)		44		145
Commercial lease financing		280		(42	)		(88	)		25		175
Total commercial loans		2,072		356			(1,393	)		186		1,221
Real estate — residential mortgage		30		53			(36	)		2		49
Home equity:
Key Community Bank		130		106			(123	)		7		120
Other		78		38			(62	)		3		57
Total home equity loans		208		144			(185	)		10		177
Consumer other — Key Community Bank		73		41			(64	)		7		57
Consumer other:
Marine		140		35			(129	)		43		89
Other		11		11			(15	)		4		11
Total consumer other:		151		46			(144	)		47		100
Total consumer loans		462		284			(429	)		66		383
Total ALLL — continuing operations		2,534		640	(a)		(1,822	)		252		1,604
Discontinued operations		157		78			(129	)		8		114
Total ALLL — including discontinued operations	$	2,691	$	718		$	(1,951	)	$	260	$	1,718

(a) Includes $2 million of foreign currency translation adjustment.

Allowance for loan and lease losses and the corresponding loan balances

	Allowance(a)				Outstanding(a)
December 31, 2011 in millions	Individually Evaluated for Impairment		Collectively Evaluated for Impairment		Loans		Individually Evaluated for Impairment		Collectively Evaluated for Impairment
Commercial, financial and agricultural	$	26	$	308	$	19,378	$	150	$	19,228
Commercial real estate:
Commercial mortgage		21		251		8,037		196		7,841
Construction		4		59		1,312		42		1,270
Total commercial real estate loans		25		310		9,349		238		9,111
Commercial lease financing		—		78		6,055		—		6,055
Total commercial loans		51		696		34,782		388		34,394
Real estate — residential mortgage		—		37		1,946		—		1,946
Home equity:
Key Community Bank		—		103		9,229		—		9,229
Other		—		29		535		—		535
Total home equity loans		—		132		9,764		—		9,764
Consumer other — Key Community Bank		—		41		1,192		—		1,192
Consumer other:
Marine		—		46		1,766		—		1,766
Other		—		1		125		—		125
Total consumer other		—		47		1,891		—		1,891
Total consumer loans		—		257		14,793		—		14,793
Total ALLL — continuing operations		51		953		49,575		388		49,187
Discontinued operations		—		104		5,812		—		5,812
Total ALLL — including discontinued operations	$	51	$	1,057	$	55,387	$	388	$	54,999

(a) There were no loans acquired with deteriorated credit quality at December 31, 2011.

	Allowance(a)				Outstanding(a)
December 31, 2010 in millions	Individually Evaluated for Impairment		Collectively Evaluated for Impairment		Loans		Individually Evaluated for Impairment		Collectively Evaluated for Impairment
Commercial, financial and agricultural	$	26	$	459	$	16,441	$	150	$	16,291
Commercial real estate:
Commercial mortgage		18		398		9,502		248		9,254
Construction		7		138		2,106		211		1,895
Total commercial real estate loans		25		536		11,608		459		11,149
Commercial lease financing		7		168		6,471		12		6,459
Total commercial loans		58		1,163		34,520		621		33,899
Real estate — residential mortgage		—		49		1,844		—		1,844
Home equity:
Key Community Bank		—		120		9,514		—		9,514
Other		—		57		666		—		666
Total home equity loans		—		177		10,180		—		10,180
Consumer other — Key Community Bank		—		57		1,167		—		1,167
Consumer other:
Marine		—		89		2,234		—		2,234
Other		—		11		162		—		162
Total consumer other		—		100		2,396		—		2,396
Total consumer loans		—		383		15,587		—		15,587
Total ALLL — continuing operations		58		1,546		50,107		621		49,486
Discontinued operations		—		114		6,451		—		6,451
Total ALLL — including discontinued operations	$	58	$	1,660	$	56,558	$	621	$	55,937

(a) There were no loans acquired with deteriorated credit quality at December 31, 2010.

Changes in Liability for Credit Losses on Lending Related Commitments

in millions	2011			2010			2009
Balance at beginning of year	$	73		$	121		$	54
Provision (credit) for losses on lending-related commitments		(28	)		(48	)		67
Balance at end of year	$	45		$	73		$	121