Parent Company Financial Information



Parent Company - Condensed Balance Sheets (Dollars in millions)	December 31,
	2018		2017
Assets:
Cash and due from banks	$	130	$	13
Interest-bearing deposits with banks	7,029		6,301
Restricted Cash	73		64
AFS securities at fair value	132		133
HTM securities at amortized cost	—		1
Advances to / receivables from subsidiaries:
Banking	2,608		2,454
Nonbank	4,489		3,664
Total advances to / receivables from subsidiaries	7,097		6,118
Investment in subsidiaries:
Banking	28,070		27,846
Nonbank	1,497		1,373
Total investment in subsidiaries	29,567		29,219
Other assets	52		66
Total assets	$	44,080	$	41,915

Liabilities and Shareholders' Equity:
Short-term borrowings	$	2	$	7
Long-term debt	13,709		12,042
Accounts payable and other liabilities	191		171
Total liabilities	13,902		12,220
Total shareholders' equity	30,178		29,695
Total liabilities and shareholders' equity	$	44,080	$	41,915



Parent Company - Condensed Income and Comprehensive Income Statements (Dollars in millions)	Year Ended December 31,
	2018			2017			2016
Income:
Dividends from subsidiaries:
Banking	$	2,825		$	1,950		$	1,350
Nonbank	147			40			6
Total dividends from subsidiaries	2,972			1,990			1,356
Interest and other income from subsidiaries	164			112			73
Other income	7			2			3
Total income	3,143			2,104			1,432
Expenses:
Interest expense	364			227			160
Other expenses	82			83			56
Total expenses	446			310			216
Income before income taxes and equity in undistributed earnings of subsidiaries	2,697			1,794			1,216
Income tax benefit	52			63			38
Income before equity in undistributed earnings of subsidiaries	2,749			1,857			1,254
Equity in undistributed earnings of subsidiaries in excess of dividends from subsidiaries	508			558			1,188
Net income	3,257			2,415			2,442
Total OCI	(248		)	(88		)	(104		)
Total comprehensive income	$	3,009		$	2,327		$	2,338



Parent Company - Statements of Cash Flows (Dollars in millions)	Year Ended December 31,
	2018			2017			2016
Cash Flows From Operating Activities:
Net income	$	3,257		$	2,415		$	2,442
Adjustments to reconcile net income to net cash from operating activities:
Equity in earnings of subsidiaries in excess of dividends from subsidiaries	(508		)	(558		)	(1,188		)
Other, net	(28		)	—			(14		)
Net cash from operating activities	2,721			1,857			1,240
Cash Flows From Investing Activities:
Proceeds from maturities, calls, paydowns and sales of AFS securities	33			29			27
Purchases of AFS securities	(28		)	(29		)	(31		)
Proceeds from maturities, calls and paydowns of HTM securities	—			—			2
Investment in subsidiaries	—			1,100			(85		)
Advances to subsidiaries	(4,639		)	(6,958		)	(7,719		)
Proceeds from repayment of advances to subsidiaries	3,665			4,671			6,975
Net cash from acquisitions and divestitures	—			—			(254		)
Other, net	(4		)	1			—
Net cash from investing activities	(973		)	(1,186		)	(1,085		)
Cash Flows From Financing Activities:
Net change in short-term borrowings	(5		)	(39		)	(60		)
Net change in long-term debt	1,746			1,319			465
Repurchase of common stock	(1,205		)	(1,613		)	(520		)
Net proceeds from preferred stock issued	—			—			450
Cash dividends paid on common and preferred stock	(1,378		)	(1,179		)	(1,092		)
Other, net	(52		)	104			225
Net cash from financing activities	(894		)	(1,408		)	(532		)
Net Change in Cash, Cash Equivalents and Restricted Cash	854			(737		)	(377		)
Cash, Cash Equivalents and Restricted Cash at Beginning of Period	6,378			7,115			7,492
Cash, Cash Equivalents and Restricted Cash at End of Period	$	7,232		$	6,378		$	7,115

The transfer of funds in the form of dividends, loans or advances from bank subsidiaries to the Parent Company is restricted. Federal law requires loans to the Parent Company or its affiliates to be secured and at market terms and generally limits loans to the Parent Company or an individual affiliate to 10% of Branch Bank's unimpaired capital and surplus. In the aggregate, loans to the Parent Company and all affiliates cannot exceed 20% of the bank's unimpaired capital and surplus.

Dividend payments to the Parent Company by Branch Bank are subject to regulatory review and statutory limitations and, in some instances, regulatory approval. In general, dividends from Branch Bank to the Parent Company are limited by rules which compare dividends to net income for regulatory-defined periods. Furthermore, dividends are restricted by regulatory minimum capital constraints.