Condensed Financial Information of the Parent Company (Tables)

12 Months Ended

Dec. 31, 2011

Condensed Financial Information of Parent Company (Tables) [Abstract]

Condensed Balance Sheets

CONDENSED BALANCE SHEETS

December 31, in millions	2011		2010
ASSETS
Cash and due from banks and interest-bearing deposits	$	2,114	$	3,293
Loans and advances to nonbank subsidiaries		713		1,669
Investment in subsidiaries:
Banks		10,114		9,388
Nonbank subsidiaries		689		629
Total investment in subsidiaries		10,803		10,017
Accrued income and other assets		1,153		940
Total assets	$	14,783	$	15,919
LIABILITIES
Accrued expense and other liabilities	$	579	$	621
Long-term debt due to:
Subsidiaries		1,225		1,948
Unaffiliated companies		3,074		2,233
Total long-term debt		4,299		4,181
Total liabilities		4,878		4,802
SHAREHOLDERS’ EQUITY (a)		9,905		11,117
Total liabilities and shareholders’ equity	$	14,783	$	15,919

(a) See Key’s Consolidated Statements of Changes in Equity.

Condensed Statements of Income

CONDENSED STATEMENTS OF INCOME

Year ended December 31,

in millions	2011		2010			2009
INCOME
Dividends from subsidiaries:
Nonbank subsidiaries	$	345	$	25		$	1
Interest income from subsidiaries		67		99			114
Other income		18		32			89
Total income		430		156			204
EXPENSE
Interest on long-term debt with subsidiary trusts		53		54			77
Interest on other borrowed funds		89		67			67
Personnel and other expense		178		121			172
Total expense		320		242			316
Income (loss) before income taxes and equity in net income (loss) less dividends from subsidiaries		110		(86	)		(112	)
Income tax benefit		73		38			38
Income (loss) before equity in net income (loss) less dividends from subsidiaries		183		(48	)		(74	)
Equity in net income (loss) less dividends from subsidiaries (a)		749		632			(1,237	)
NET INCOME (LOSS)		932		584			(1,311	)
Less: Net income attributable to noncontrolling interests		12		30			24
NET INCOME (LOSS) ATTRIBUTABLE TO KEY	$	920	$	554		$	(1,335	)

(a) Includes results of discontinued operations described in Note 13 (“Acquisition, Divestiture and Discontinued Operations”).

Condensed Statements of Cash Flows

CONDENSED STATEMENTS OF CASH FLOWS

Year ended December 31,

in millions	2011			2010			2009
OPERATING ACTIVITIES
Net income (loss) attributable to Key	$	920		$	554			$      (1,335	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Gain related to exchange of common shares for capital securities		—			—			(78	)
Deferred income taxes		(39	)		(23	)		11
Equity in net (income) loss less dividends from subsidiaries(a)		(749	)		(632	)		1,237
Net increase in other assets		(130	)		(186	)		(96	)
Net increase (decrease) in other liabilities		(43	)		(27	)		(274	)
Other operating activities, net		83			93			157
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES		42			(221	)		(378	)
INVESTING ACTIVITIES
Net (increase) decrease in interest-bearing deposits(b)		3,207			163			1,303
Purchases of securities available for sale		(18	)		(31	)		(18	)
Proceeds from sales, prepayments and maturities of securities available for sale		32			32			20
Net decrease in loans and advances to subsidiaries		939			170			69
Net (increase) decrease in investments in subsidiaries		2			(77	)		(1,200	)
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES		4,162			257			174
FINANCING ACTIVITIES
Net proceeds from issuance of long-term debt		1,000			750			436
Payments on long-term debt		(1,043	)		(602	)		(1,000	)
Series B Prefeered Stock - TARP redemption		(2,500	)		—			—
Repurchase of common stock warrant		(70	)		—			—
Net proceeds from the issuance of common shares and preferred stock		604			—			986
Cash dividends paid		(164	)		(184	)		(213	)
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES		(2,173	)		(36	)		204
NET INCREASE (DECREASE) IN CASH AND DUE FROM BANKS(b)		2,031			—			—
CASH AND DUE FROM BANKS AT BEGINNING OF YEAR		—			—			—
CASH AND DUE FROM BANKS AT END OF YEAR		2,031			—			—

(a) Includes results of discontinued operations described in Note 13.

(b) During 2011, we shut down the Eurosweep (interest bearing) deposit account and moved the deposits to an interest bearing account within the parent company.