Attached files
| file | filename |
|---|---|
| EX-99.2 - EXHIBIT 99.2 - KEYCORP /NEW/ | key3q17confcallslidesvf.htm |
| EX-99.1 - EXHIBIT 99.1 - KEYCORP /NEW/ | keycorp3q17earningsrelease.htm |
| 8-K - 8-K - KEYCORP /NEW/ | keycorp3q17er8-k.htm |
Exhibit 99.3
Consolidated Balance Sheets | |||||||||||
(dollars in millions) | |||||||||||
9/30/2017 | 6/30/2017 | 9/30/2016 | |||||||||
Assets | |||||||||||
Loans | $ | 86,492 | $ | 86,503 | $ | 85,528 | |||||
Loans held for sale | 1,341 | 1,743 | 1,137 | ||||||||
Securities available for sale | 19,012 | 18,024 | 20,540 | ||||||||
Held-to-maturity securities | 10,276 | 10,638 | 8,995 | ||||||||
Trading account assets | 783 | 1,081 | 926 | ||||||||
Short-term investments | 3,993 | 2,522 | 3,216 | ||||||||
Other investments | 728 | 732 | 747 | ||||||||
Total earning assets | 122,625 | 121,243 | 121,089 | ||||||||
Allowance for loan and lease losses | (880 | ) | (870 | ) | (865 | ) | |||||
Cash and due from banks | 562 | 677 | 749 | ||||||||
Premises and equipment | 916 | 919 | 1,023 | ||||||||
Operating lease assets | 736 | 691 | 430 | ||||||||
Goodwill | 2,487 | 2,464 | 2,480 | ||||||||
Other intangible assets | 412 | 435 | 426 | ||||||||
Corporate-owned life insurance | 4,113 | 4,100 | 4,035 | ||||||||
Derivative assets | 622 | 636 | 1,304 | ||||||||
Accrued income and other assets | 3,744 | 4,147 | 3,480 | ||||||||
Discontinued assets | 1,396 | 1,458 | 1,654 | ||||||||
Total assets | $ | 136,733 | $ | 135,824 | $ | 135,805 | |||||
Liabilities | |||||||||||
Deposits in domestic offices: | |||||||||||
NOW and money market deposit accounts | $ | 53,734 | $ | 53,342 | $ | 56,432 | |||||
Savings deposits | 6,366 | 7,056 | 5,335 | ||||||||
Certificates of deposit ($100,000 or more) | 6,519 | 6,286 | 4,601 | ||||||||
Other time deposits | 4,720 | 4,605 | 5,793 | ||||||||
Total interest-bearing deposits | 71,339 | 71,289 | 72,161 | ||||||||
Noninterest-bearing deposits | 32,107 | 31,532 | 32,024 | ||||||||
Total deposits | 103,446 | 102,821 | 104,185 | ||||||||
Federal funds purchased and securities sold under repurchase agreements | 372 | 1,780 | 602 | ||||||||
Bank notes and other short-term borrowings | 616 | 924 | 809 | ||||||||
Derivative liabilities | 232 | 308 | 850 | ||||||||
Accrued expense and other liabilities | 1,717 | 1,475 | 1,739 | ||||||||
Long-term debt | 15,100 | 13,261 | 12,622 | ||||||||
Total liabilities | 121,483 | 120,569 | 120,807 | ||||||||
Equity | |||||||||||
Preferred stock | 1,025 | 1,025 | 1,165 | ||||||||
Common shares | 1,257 | 1,257 | 1,257 | ||||||||
Capital surplus | 6,310 | 6,310 | 6,359 | ||||||||
Retained earnings | 10,125 | 9,878 | 9,260 | ||||||||
Treasury stock, at cost | (2,962 | ) | (2,711 | ) | (2,863 | ) | |||||
Accumulated other comprehensive income (loss) | (506 | ) | (506 | ) | (182 | ) | |||||
Key shareholders’ equity | 15,249 | 15,253 | 14,996 | ||||||||
Noncontrolling interests | 1 | 2 | 2 | ||||||||
Total equity | 15,250 | 15,255 | 14,998 | ||||||||
Total liabilities and equity | $ | 136,733 | $ | 135,824 | $ | 135,805 | |||||
Common shares outstanding (000) | 1,079,039 | 1,092,739 | 1,082,055 | ||||||||
Consolidated Statements of Income | ||||||||||||||||||
(dollars in millions, except per share amounts) | ||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||
9/30/2017 | 6/30/2017 | 9/30/2016 | 9/30/2017 | 9/30/2016 | ||||||||||||||
Interest income | ||||||||||||||||||
Loans | $ | 928 | $ | 948 | $ | 746 | $ | 2,753 | $ | 1,875 | ||||||||
Loans held for sale | 17 | 9 | 10 | 39 | 23 | |||||||||||||
Securities available for sale | 91 | 90 | 88 | 276 | 237 | |||||||||||||
Held-to-maturity securities | 55 | 55 | 30 | 161 | 78 | |||||||||||||
Trading account assets | 7 | 7 | 4 | 21 | 17 | |||||||||||||
Short-term investments | 6 | 5 | 7 | 14 | 17 | |||||||||||||
Other investments | 5 | 3 | 5 | 12 | 10 | |||||||||||||
Total interest income | 1,109 | 1,117 | 890 | 3,276 | 2,257 | |||||||||||||
Interest expense | ||||||||||||||||||
Deposits | 72 | 66 | 49 | 196 | 114 | |||||||||||||
Federal funds purchased and securities sold under repurchase agreements | — | — | — | 1 | — | |||||||||||||
Bank notes and other short-term borrowings | 3 | 4 | 2 | 12 | 7 | |||||||||||||
Long-term debt | 86 | 74 | 59 | 228 | 155 | |||||||||||||
Total interest expense | 161 | 144 | 110 | 437 | 276 | |||||||||||||
Net interest income | 948 | 973 | 780 | 2,839 | 1,981 | |||||||||||||
Provision for credit losses | 51 | 66 | 59 | 180 | 200 | |||||||||||||
Net interest income after provision for credit losses | 897 | 907 | 721 | 2,659 | 1,781 | |||||||||||||
Noninterest income | ||||||||||||||||||
Trust and investment services income | 135 | 134 | 122 | 404 | 341 | |||||||||||||
Investment banking and debt placement fees | 141 | 135 | 156 | 403 | 325 | |||||||||||||
Service charges on deposit accounts | 91 | 90 | 85 | 268 | 218 | |||||||||||||
Operating lease income and other leasing gains | 16 | 30 | 6 | 69 | 41 | |||||||||||||
Corporate services income | 54 | 55 | 51 | 163 | 154 | |||||||||||||
Cards and payments income | 75 | 70 | 66 | 210 | 164 | |||||||||||||
Corporate-owned life insurance income | 31 | 33 | 29 | 94 | 85 | |||||||||||||
Consumer mortgage income | 7 | 6 | 6 | 19 | 11 | |||||||||||||
Mortgage servicing fees | 21 | 15 | 15 | 54 | 37 | |||||||||||||
Net gains (losses) from principal investing | 3 | — | 5 | 4 | 16 | |||||||||||||
Other income (a) | 18 | 85 | 8 | 134 | 61 | |||||||||||||
Total noninterest income | 592 | 653 | 549 | 1,822 | 1,453 | |||||||||||||
Noninterest expense | ||||||||||||||||||
Personnel | 558 | 551 | 594 | 1,665 | 1,425 | |||||||||||||
Net occupancy | 74 | 78 | 73 | 239 | 193 | |||||||||||||
Computer processing | 56 | 55 | 70 | 171 | 158 | |||||||||||||
Business services and professional fees | 49 | 45 | 76 | 140 | 157 | |||||||||||||
Equipment | 29 | 27 | 26 | 83 | 68 | |||||||||||||
Operating lease expense | 24 | 21 | 15 | 64 | 42 | |||||||||||||
Marketing | 34 | 30 | 32 | 85 | 66 | |||||||||||||
FDIC assessment | 21 | 21 | 21 | 62 | 38 | |||||||||||||
Intangible asset amortization | 25 | 22 | 13 | 69 | 28 | |||||||||||||
OREO expense, net | 3 | 3 | 3 | 8 | 6 | |||||||||||||
Other expense | 119 | 142 | 159 | 414 | 355 | |||||||||||||
Total noninterest expense | 992 | 995 | 1,082 | 3,000 | 2,536 | |||||||||||||
Income (loss) from continuing operations before income taxes | 497 | 565 | 188 | 1,481 | 698 | |||||||||||||
Income taxes | 134 | 158 | 16 | 386 | 141 | |||||||||||||
Income (loss) from continuing operations | 363 | 407 | 172 | 1,095 | 557 | |||||||||||||
Income (loss) from discontinued operations, net of taxes | 1 | 5 | 1 | 6 | 5 | |||||||||||||
Net income (loss) | 364 | 412 | 173 | 1,101 | 562 | |||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | — | — | 1 | 1 | — | |||||||||||||
Net income (loss) attributable to Key | $ | 364 | $ | 412 | $ | 172 | $ | 1,100 | $ | 562 | ||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | 349 | $ | 393 | $ | 165 | $ | 1,038 | $ | 540 | ||||||||
Net income (loss) attributable to Key common shareholders | 350 | 398 | 166 | 1,044 | 545 | |||||||||||||
Per common share | ||||||||||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .32 | $ | .36 | $ | .17 | $ | .96 | $ | .61 | ||||||||
Income (loss) from discontinued operations, net of taxes | — | — | — | .01 | .01 | |||||||||||||
Net income (loss) attributable to Key common shareholders (b) | .32 | .37 | .17 | .97 | .62 | |||||||||||||
Per common share — assuming dilution | ||||||||||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .32 | $ | .36 | $ | .16 | $ | .95 | $ | .6 | ||||||||
Income (loss) from discontinued operations, net of taxes | — | — | — | .01 | .01 | |||||||||||||
Net income (loss) attributable to Key common shareholders (b) | .32 | .36 | .17 | .96 | .61 | |||||||||||||
Cash dividends declared per common share | $ | .095 | $ | .095 | $ | .085 | $ | .275 | $ | .245 | ||||||||
Weighted-average common shares outstanding (000) | 1,073,390 | 1,076,203 | 982,080 | 1,075,296 | 880,824 | |||||||||||||
Effect of common share options and other stock awards | 15,451 | 16,836 | 12,580 | 16,359 | 8,965 | |||||||||||||
Weighted-average common shares and potential common shares outstanding (000) (c) | 1,088,841 | 1,093,039 | 994,660 | 1,091,655 | 889,789 | |||||||||||||
(a) | For the three months ended September 30, 2017, net securities gains (losses) totaled less than $1 million. For the three months ended June 30, 2017, net securities gains (losses) totaled $1 million. For the three months ended September 30, 2016, net securities gains (losses) totaled less than $1 million. For the three months ended September 30, 2017, June 30, 2017, and September 30, 2016, Key did not have any impairment losses related to securities. |
(b) | Earnings per share may not foot due to rounding. |
(c) | Assumes conversion of common share options and other stock awards and/or convertible preferred stock, as applicable. |