Acquisition and Discontinued Operations (Tables)

6 Months Ended

Jun. 30, 2012

Acquisition and Discontinued Operations [Abstract]

Components of Income (Loss) from Discontinued Operations, Net of Taxes, of Education Lending Business

		Three months ended June 30,					Six months ended June 30,
in millions		2012		2011			2012		2011
Net interest income	$		30	$	35	$		61	$	71
Provision for loan and lease losses			2		30			6		62
Net interest income (expense) after provision for loan and lease losses			28		5			55		9
Noninterest income			(2)		(11)			(20)		(21)
Noninterest expense			9		9			18		20
Income (loss) before income taxes			17		(15)			17		(32)
Income taxes			6		(6)			6		(12)
Income (loss) from discontinued operations, net of taxes (a)	$		11	$	(9)	$		11	$	(20)

(a) Includes after-tax charges of $12 million and $12 million for the three-month periods ended June 30, 2012 and 2011, respectively, and $26 million and $25 million for the six-month periods ended June 30, 2012 and June 30, 2011, respectively, determined by applying a matched funds transfer pricing methodology to the liabilities assumed necessary to support the discontinued operations.

Components of Assets and Liabilities of Education Lending Business

in millions	June 30,  2012		December 31,  2011		June 30,  2011
Trust loans at fair value	$	2,580	$	2,726	$	3,100
Portfolio loans at fair value		73		76		—
Loans, net of unearned income of ($2), ($2) and $1		2,830		3,010		3,161
Less: Allowance for loan and lease losses		79		104		109
Net loans		5,404		5,708		6,152
Trust accrued income and other assets at fair value		31		34		34
Accrued income and other assets		76		87		110
Total assets	$	5,511	$	5,829	$	6,296
Trust accrued expense and other liabilities at fair value	$	28	$	28	$	30
Trust securities at fair value		2,373		2,522		2,919
Total liabilities	$	2,401	$	2,550	$	2,949

Quantitative Information about Level 3 Fair Value Measurements

June 30, 2012 dollars in millions	Fair Value of Level 3         Assets and  Liabilities		Valuation    Technique	Significant Unobservable Input	Range (Weighted-Average)
Trust loans and	$	2,653	Discounted cash flow	Prepayment speed		4.00 - 26.00% (10.22%)
portfolio loans				Expected credit losses		2.00 - 80.00% (52.34%)
accounted for at fair				Discount rate		3.00 - 8.10% (5.30%)
value				Expected defaults		8.00 - 20.64% (12.40%)
Trust securities		2,373	Discounted cash flow	Discount rate		2.10 - 6.90% (4.80%)

Consolidated trusts' assets and liabilities at fair value and contractual values

June 30, 2012 in millions	Contractual Amount		Fair Value
ASSETS
Portfolio loans	$	70	$	73
Trust loans		2,712		2,580
Trust other assets		31		31
LIABILITIES
Trust securities	$	2,772	$	2,373
Trust other liabilities		28		28

Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]

Consolidated assets and liabilities at fair value on a recurring basis

June 30, 2012
in millions	Level 1		Level 2		Level 3		Total
ASSETS MEASURED ON A RECURRING BASIS
Short-term investments:
Securities purchased under resale agreements		—	$	338		—	$	338
Trading account assets:
U.S. Treasury, agencies and corporations		—		438		—		438
States and political subdivisions		—		27	$	57		84
Collateralized mortgage obligations		—		16		—		16
Other mortgage-backed securities		—		100		1		101
Other securities	$	3		37		—		40
Total trading account securities		3		618		58		679
Commercial loans		—		—		—		—
Total trading account assets		3		618		58		679
Securities available for sale:
States and political subdivisions		—	$	56		—	$	56
Collateralized mortgage obligations		—		12,477		—		12,477
Other mortgage-backed securities		—		652		—		652
Other securities	$	20		—		—		20
Total securities available for sale		20		13,185		—		13,205
Other investments:
Principal investments:
Direct	$	11		—	$	231	$	242
Indirect		—		—		482		482
Total principal investments		11		—		713		724
Equity and mezzanine investments:
Direct		—		—	$	18	$	18
Indirect		—		—		43		43
Total equity and mezzanine investments		—		—		61		61
Total other investments		11		—		774		785
Derivative assets:
Interest rate		—	$	1,824	$	35	$	1,859
Foreign exchange	$	81		26		—		107
Energy and commodity		—		209		—		209
Credit		—		19		6		25
Equity		—		—		—		—
Derivative assets		81		2,078		41		2,200
Netting adjustments(a)		—		—		—		(1,382)
Total derivative assets		81		2,078		41		818
Accrued income and other assets		2		134		—		136
Total assets on a recurring basis at fair value	$	117	$	16,353	$	873	$	15,961
LIABILITIES MEASURED ON A RECURRING BASIS
Federal funds purchased and securities sold under repurchase agreements:
Securities sold under repurchase agreements		—	$	481		—	$	481
Bank notes and other short-term borrowings:
Short positions	$	3		360		—		363
Derivative liabilities:
Interest rate		—		1,310		—		1,310
Foreign exchange		81		24		—		105
Energy and commodity		—		203	$	1		204
Credit		—		23		1		24
Equity		—		—		—		—
Derivative liabilities		81		1,560		2		1,643
Netting adjustments(a)		—		—		—		(880)
Total derivative liabilities		81		1,560		2		763
Accrued expense and other liabilities		—		4		—		4
Total liabilities on a recurring basis at fair value	$	84	$	2,405	$	2	$	1,611

(a) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with applicable accounting guidance. The net basis takes into account the impact of bilateral collateral and master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related collateral. Total derivative assets and liabilities include these netting adjustments.

December 31, 2011
in millions	Level 1		Level 2		Level 3		Total
ASSETS MEASURED ON A RECURRING BASIS
Short term investments:
Securities purchased under resale agreements		—	$	236		—	$	236
Trading account assets:
U.S. Treasury, agencies and corporations		—		353		—		353
States and political subdivisions		—		81		—		81
Collateralized mortgage obligations		—		19		—		19
Other mortgage-backed securities		—		27	$	35		62
Other securities	$	79		29		—		108
Total trading account securities		79		509		35		623
Commercial loans		—		—		—		—
Total trading account assets		79		509		35		623
Securities available for sale:
States and political subdivisions		—		63		—		63
Collateralized mortgage obligations		—		15,162		—		15,162
Other mortgage-backed securities		—		778		—		778
Other securities		9		—		—		9
Total securities available for sale		9		16,003		—		16,012
Other investments:
Principal investments:
Direct		11		—		225		236
Indirect		—		—		473		473
Total principal investments		11		—		698		709
Equity and mezzanine investments:
Direct		—		—		15		15
Indirect		—		—		36		36
Total equity and mezzanine investments		—		—		51		51
Total other investments		11		—		749		760
Derivative assets:
Interest rate		—		1,915		38		1,953
Foreign exchange		86		65		—		151
Energy and commodity		—		253		—		253
Credit		—		30		7		37
Equity		—		3		—		3
Derivative assets		86		2,266		45		2,397
Netting adjustments (a)		—		—		—		(1,452)
Total derivative assets		86		2,266		45		945
Accrued income and other assets		7		105		—		112
Total assets on a recurring basis at fair value	$	192	$	19,119	$	829	$	18,688
LIABILITIES MEASURED ON A RECURRING BASIS
Federal funds purchased and securities sold under repurchase agreements:
Securities sold under repurchase agreements		—	$	292		—	$	292
Bank notes and other short-term borrowings:
Short positions		—		337		—		337
Derivative liabilities:
Interest rate		—		1,398		—		1,398
Foreign exchange	$	79		209		—		288
Energy and commodity		—		252	$	1		253
Credit		—		34		28		62
Equity		—		3		—		3
Derivative liabilities		79		1,896		29		2,004
Netting adjustments (a)		—		—		—		(978)
Total derivative liabilities		79		1,896		29		1,026
Accrued expense and other liabilities		23		22		—		45
Total liabilities on a recurring basis at fair value	$	102	$	2,547	$	29	$	1,700

(a) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with applicable accounting guidance. The net basis takes into account the impact of bilateral collateral and master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related collateral. Total derivative assets and liabilities include these netting adjustments.

Change in the fair values of the Level 3 consolidated education loan securitization trusts and the portfolio loans

in millions	Portfolio   Student   Loans		Trust   Student   Loans		Trust   Other   Assets		Trust   Securities		Trust Other Liabilities
Balance at January 1, 2012	$	76	$	2,726	$	34	$	2,522	$	28
Gains (losses) recognized in earnings (a)		(1)		39		—		59		—
Purchases		—		—		—		—		—
Sales		—		—		—		—		—
Issuances		—		—		—		—		—
Settlements		(2)		(185)		(3)		(208)		—
Balance at June 30, 2012	$	73	$	2,580	$	31	$	2,373	$	28

(a) Gains (losses) on the Trust Student Loans and Trust Securities were driven primarily by fair value adjustments.

Components of Income (Loss) from Discontinued Operations, Net of Taxes, of Austin Capital Management

	Three months ended June 30,				Six months ended June 30,
in millions	2012		2011		2012		2011
Noninterest income		—		—		—	$	1
Noninterest expense	$	1		—	$	9		1
Income (loss) before income taxes		(1)		—		(9)		—
Income taxes		—		—		(3)		—
Income (loss) from discontinued operations, net of taxes	$	(1)		—	$	(6)		—

Components of Assets and Liabilities of Austin Capital Management

in millions	June 30,   2012		December 31,   2011		June 30,  2011
Cash and due from banks	$	22	$	31	$	32
Total assets	$	22	$	31	$	32
Accrued expense and other liabilities		—		—	$	1
Total liabilities		—		—	$	1

Combined Results of Discontinued Operations

	Three months ended June 30,				Six months ended June 30,
in millions	2012		2011		2012		2011
Net interest income	$	30	$	35	$	61	$	71
Provision for loan and lease losses		2		30		6		62
Net interest income (expense) after provision for loan and lease losses		28		5		55		9
Noninterest income		(2)		(11)		(20)		(20)
Noninterest expense		10		9		27		21
Income (loss) before income taxes		16		(15)		8		(32)
Income taxes		6		(6)		3		(12)
Income (loss) from discontinued operations, net of taxes (a)	$	10	$	(9)	$	5	$	(20)

(a) Includes after-tax charges of $12 million and $12 million for the three-month periods ended June 30, 2012 and 2011, respectively, and $26 million and $25 million for the six-month periods ended June 30, 2012 and 2011, respectively, determined by applying a matched funds transfer pricing methodology to the liabilities assumed necessary to support the discontinued operations.

Combined Assets and Liabilities of Discontinued Operations

in millions	June 30,  2012		December 31,  2011		June 30,  2011
Cash and due from banks	$	22	$	31	$	32
Trust loans at fair value		2,580		2,726		3,100
Portfolio loans at fair value		73		76		—
Loans, net of unearned income of ($2), ($2) and $1		2,830		3,010		3,161
Less: Allowance for loan and lease losses		79		104		109
Net loans		5,404		5,708		6,152
Trust accrued income and other assets at fair value		31		34		34
Accrued income and other assets		76		87		110
Total assets	$	5,533	$	5,860	$	6,328
Trust accrued expense and other liabilities at fair value	$	28	$	28	$	31
Trust securities at fair value		2,373		2,522		2,919
Total liabilities	$	2,401	$	2,550	$	2,950

Trust [Member]

Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]

Consolidated assets and liabilities at fair value on a recurring basis

June 30, 2012 in millions	Level 1		Level 2		Level 3		Total
ASSETS MEASURED ON A RECURRING BASIS
Portfolio loans		—		—	$	73	$	73
Trust loans		—		—		2,580		2,580
Trust other assets		—		—		31		31
Total assets on a recurring basis at fair value		—		—	$	2,684	$	2,684
LIABILITIES MEASURED ON A RECURRING BASIS
Trust securities		—		—	$	2,373	$	2,373
Trust other liabilities		—		—		28		28
Total liabilities on a recurring basis at fair value		—		—	$	2,401	$	2,401