Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - KEYCORP /NEW/ | d78590d8k.htm |
| EX-99.2 - EX-99.2 - KEYCORP /NEW/ | d78590dex992.htm |
| EX-99.1 - EX-99.1 - KEYCORP /NEW/ | d78590dex991.htm |
Exhibit 99.3
Consolidated Balance Sheets
(dollars in millions)
| 12-31-15 | 9-30-15 | 12-31-14 | ||||||||||
| Assets |
||||||||||||
| Loans |
$ | 59,876 | $ | 60,085 | $ | 57,381 | ||||||
| Loans held for sale |
639 | 916 | 734 | |||||||||
| Securities available for sale |
14,218 | 14,376 | 13,360 | |||||||||
| Held-to-maturity securities |
4,897 | 4,936 | 5,015 | |||||||||
| Trading account assets |
788 | 811 | 750 | |||||||||
| Short-term investments |
2,707 | 1,964 | 4,269 | |||||||||
| Other investments |
655 | 691 | 760 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total earning assets |
83,780 | 83,779 | 82,269 | |||||||||
| Allowance for loan and lease losses |
(796 | ) | (790 | ) | (794 | ) | ||||||
| Cash and due from banks |
607 | 470 | 653 | |||||||||
| Premises and equipment |
779 | 771 | 841 | |||||||||
| Operating lease assets |
340 | 315 | 330 | |||||||||
| Goodwill |
1,060 | 1,060 | 1,057 | |||||||||
| Other intangible assets |
65 | 74 | 101 | |||||||||
| Corporate-owned life insurance |
3,541 | 3,516 | 3,479 | |||||||||
| Derivative assets |
619 | 793 | 609 | |||||||||
| Accrued income and other assets |
3,292 | 3,348 | 2,952 | |||||||||
| Discontinued assets |
1,846 | 2,086 | 2,324 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total assets |
$ | 95,133 | $ | 95,422 | $ | 93,821 | ||||||
|
|
|
|
|
|
|
|||||||
| Liabilities |
||||||||||||
| Deposits in domestic offices: |
||||||||||||
| NOW and money market deposit accounts |
$ | 37,089 | $ | 37,301 | $ | 34,536 | ||||||
| Savings deposits |
2,341 | 2,338 | 2,371 | |||||||||
| Certificates of deposit ($100,000 or more) |
2,392 | 2,001 | 2,040 | |||||||||
| Other time deposits |
3,127 | 3,020 | 3,259 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total interest-bearing deposits |
44,949 | 44,660 | 42,206 | |||||||||
| Noninterest-bearing deposits |
26,097 | 25,985 | 29,228 | |||||||||
| Deposits in foreign office — interest-bearing |
— | 428 | 564 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total deposits |
71,046 | 71,073 | 71,998 | |||||||||
| Federal funds purchased and securities sold under repurchase agreements |
372 | 407 | 575 | |||||||||
| Bank notes and other short-term borrowings |
533 | 677 | 423 | |||||||||
| Derivative liabilities |
632 | 676 | 784 | |||||||||
| Accrued expense and other liabilities |
1,605 | 1,562 | 1,621 | |||||||||
| Long-term debt |
10,186 | 10,310 | 7,875 | |||||||||
| Discontinued liabilities |
— | — | 3 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total liabilities |
84,374 | 84,705 | 83,279 | |||||||||
| Equity |
||||||||||||
| Preferred stock, Series A |
290 | 290 | 291 | |||||||||
| Common shares |
1,017 | 1,017 | 1,017 | |||||||||
| Capital surplus |
3,922 | 3,914 | 3,986 | |||||||||
| Retained earnings |
8,922 | 8,764 | 8,273 | |||||||||
| Treasury stock, at cost |
(3,000 | ) | (3,008 | ) | (2,681 | ) | ||||||
| Accumulated other comprehensive income (loss) |
(405 | ) | (272 | ) | (356 | ) | ||||||
|
|
|
|
|
|
|
|||||||
| Key shareholders’ equity |
10,746 | 10,705 | 10,530 | |||||||||
| Noncontrolling interests |
13 | 12 | 12 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total equity |
10,759 | 10,717 | 10,542 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total liabilities and equity |
$ | 95,133 | $ | 95,422 | $ | 93,821 | ||||||
|
|
|
|
|
|
|
|||||||
| Common shares outstanding (000) |
835,751 | 835,285 | 859,403 | |||||||||
Consolidated Statements of Income
(dollars in millions, except per share amounts)
| Three months ended | Twelve months ended | |||||||||||||||||||
| 12-31-15 | 9-30-15 | 12-31-14 | 12-31-15 | 12-31-14 | ||||||||||||||||
| Interest income |
||||||||||||||||||||
| Loans |
$ | 552 | $ | 542 | $ | 534 | $ | 2,149 | $ | 2,110 | ||||||||||
| Loans held for sale |
8 | 10 | 8 | 37 | 21 | |||||||||||||||
| Securities available for sale |
76 | 75 | 67 | 293 | 277 | |||||||||||||||
| Held-to-maturity securities |
24 | 24 | 23 | 96 | 93 | |||||||||||||||
| Trading account assets |
6 | 5 | 6 | 21 | 25 | |||||||||||||||
| Short-term investments |
3 | 1 | 2 | 8 | 6 | |||||||||||||||
| Other investments |
4 | 4 | 6 | 18 | 22 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total interest income |
673 | 661 | 646 | 2,622 | 2,554 | |||||||||||||||
| Interest expense |
||||||||||||||||||||
| Deposits |
26 | 27 | 26 | 105 | 117 | |||||||||||||||
| Federal funds purchased and securities sold under repurchase agreements |
— | — | — | — | 2 | |||||||||||||||
| Bank notes and other short-term borrowings |
3 | 2 | 3 | 9 | 9 | |||||||||||||||
| Long-term debt |
42 | 41 | 35 | 160 | 133 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total interest expense |
71 | 70 | 64 | 274 | 261 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net interest income |
602 | 591 | 582 | 2,348 | 2,293 | |||||||||||||||
| Provision for credit losses |
45 | 45 | 22 | 166 | 57 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net interest income after provision for credit losses |
557 | 546 | 560 | 2,182 | 2,236 | |||||||||||||||
| Noninterest income |
||||||||||||||||||||
| Trust and investment services income |
105 | 108 | 112 | 433 | 403 | |||||||||||||||
| Investment banking and debt placement fees |
127 | 109 | 126 | 445 | 397 | |||||||||||||||
| Service charges on deposit accounts |
64 | 68 | 64 | 256 | 261 | |||||||||||||||
| Operating lease income and other leasing gains |
15 | 15 | 15 | 73 | 96 | |||||||||||||||
| Corporate services income |
55 | 57 | 53 | 198 | 178 | |||||||||||||||
| Cards and payments income |
47 | 47 | 43 | 183 | 166 | |||||||||||||||
| Corporate-owned life insurance income |
36 | 30 | 38 | 127 | 118 | |||||||||||||||
| Consumer mortgage income |
2 | 3 | 3 | 12 | 10 | |||||||||||||||
| Mortgage servicing fees |
15 | 11 | 11 | 48 | 46 | |||||||||||||||
| Net gains (losses) from principal investing |
— | 11 | 18 | 51 | 78 | |||||||||||||||
| Other income (a), (b) |
19 | 11 | 7 | 54 | 44 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total noninterest income |
485 | 470 | 490 | 1,880 | 1,797 | |||||||||||||||
| Noninterest expense |
||||||||||||||||||||
| Personnel |
429 | 426 | 409 | 1,652 | 1,591 | |||||||||||||||
| Net occupancy |
64 | 60 | 63 | 255 | 261 | |||||||||||||||
| Computer processing |
43 | 41 | 40 | 164 | 158 | |||||||||||||||
| Business services and professional fees |
44 | 40 | 38 | 159 | 156 | |||||||||||||||
| Equipment |
22 | 22 | 23 | 88 | 96 | |||||||||||||||
| Operating lease expense |
13 | 11 | 11 | 47 | 42 | |||||||||||||||
| Marketing |
17 | 17 | 16 | 57 | 49 | |||||||||||||||
| FDIC assessment |
8 | 8 | 9 | 32 | 30 | |||||||||||||||
| Intangible asset amortization |
9 | 9 | 10 | 36 | 39 | |||||||||||||||
| OREO expense, net |
1 | 2 | 2 | 6 | 5 | |||||||||||||||
| Other expense |
86 | 88 | 83 | 344 | 334 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total noninterest expense |
736 | 724 | 704 | 2,840 | 2,761 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Income (loss) from continuing operations before income taxes |
306 | 292 | 346 | 1,222 | 1,272 | |||||||||||||||
| Income taxes |
73 | 72 | 94 | 303 | 326 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Income (loss) from continuing operations |
233 | 220 | 252 | 919 | 946 | |||||||||||||||
| Income (loss) from discontinued operations, net of taxes |
(4 | ) | (3 | ) | 2 | 1 | (39 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net income (loss) |
229 | 217 | 254 | 920 | 907 | |||||||||||||||
| Less: Net income (loss) attributable to noncontrolling interests |
3 | (2 | ) | 1 | 4 | 7 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net income (loss) attributable to Key |
$ | 226 | $ | 219 | $ | 253 | $ | 916 | $ | 900 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Income (loss) from continuing operations attributable to Key common shareholders |
$ | 224 | $ | 216 | $ | 246 | $ | 892 | $ | 917 | ||||||||||
| Net income (loss) attributable to Key common shareholders |
220 | 213 | 248 | 893 | 878 | |||||||||||||||
| Per common share |
||||||||||||||||||||
| Income (loss) from continuing operations attributable to Key common shareholders |
$ | .27 | $ | .26 | $ | .29 | $ | 1.06 | $ | 1.05 | ||||||||||
| Income (loss) from discontinued operations, net of taxes |
(.01 | ) | — | — | — | (.04 | ) | |||||||||||||
| Net income (loss) attributable to Key common shareholders (c) |
.27 | .26 | .29 | 1.06 | 1.01 | |||||||||||||||
| Per common share — assuming dilution |
||||||||||||||||||||
| Income (loss) from continuing operations attributable to Key common shareholders |
$ | .27 | $ | .26 | $ | .28 | $ | 1.05 | $ | 1.04 | ||||||||||
| Income (loss) from discontinued operations, net of taxes |
(.01 | ) | — | — | — | (.04 | ) | |||||||||||||
| Net income (loss) attributable to Key common shareholders (c) |
.26 | .25 | .28 | 1.05 | .99 | |||||||||||||||
| Cash dividends declared per common share |
$ | .075 | $ | .075 | $ | .065 | $ | .290 | $ | .25 | ||||||||||
| Weighted-average common shares outstanding (000) |
828,206 | 831,430 | 858,811 | 836,846 | 871,464 | |||||||||||||||
| Weighted-average common shares and potential common shares outstanding (000) (d) |
835,939 | 838,880 | 886,186 | 844,489 | 878,199 | |||||||||||||||
| (a) | For the three months ended December 31, 2015, net securities gains (losses) totaled $1 million. For the three months ended September 30, 2015, and December 31, 2014, net securities gains (losses) totaled less than $1 million. For the three months ended December 31, 2015, September 30, 2015, and December 31, 2014, Key did not have any impairment losses related to securities. |
| (b) | For the twelve months ended December 31, 2015, and December 31, 2014, net securities gains (losses) totaled less than $1 million. For the twelve months ended December 31, 2015, and December 31, 2014, Key did not have any impairment losses related to securities. |
| (c) | Earnings per share may not foot due to rounding. |
| (d) | Assumes conversion of common share options and other stock awards and/or convertible preferred stock, as applicable. |