Attached files
| file | filename |
|---|---|
| 8-K - 8-K - KEYCORP /NEW/ | a1q18er8-k.htm |
| EX-99.1 - KEYCORP /NEW/ | a1q18earningsrelease.htm |
| EX-99.2 - KEYCORP /NEW/ | key1q18confcallslidesvf.htm |
Exhibit 99.3
Consolidated Balance Sheets | |||||||||||
(dollars in millions) | |||||||||||
3/31/2018 | 12/31/2017 | 3/31/2017 | |||||||||
Assets | |||||||||||
Loans | $ | 88,089 | $ | 86,405 | $ | 86,125 | |||||
Loans held for sale | 1,667 | 1,107 | 1,384 | ||||||||
Securities available for sale | 17,888 | 18,139 | 18,431 | ||||||||
Held-to-maturity securities | 12,189 | 11,830 | 10,186 | ||||||||
Trading account assets | 769 | 836 | 921 | ||||||||
Short-term investments | 1,644 | 4,447 | 2,525 | ||||||||
Other investments | 715 | 726 | 689 | ||||||||
Total earning assets | 122,961 | 123,490 | 120,261 | ||||||||
Allowance for loan and lease losses | (881 | ) | (877 | ) | (870 | ) | |||||
Cash and due from banks | 643 | 671 | 549 | ||||||||
Premises and equipment | 916 | 930 | 935 | ||||||||
Operating lease assets | 838 | 821 | 563 | ||||||||
Goodwill | 2,538 | 2,538 | 2,427 | ||||||||
Other intangible assets | 387 | 416 | 362 | ||||||||
Corporate-owned life insurance | 4,142 | 4,132 | 4,087 | ||||||||
Accrued income and other assets | 4,216 | 4,237 | 4,642 | ||||||||
Discontinued assets | 1,289 | 1,340 | 1,520 | ||||||||
Total assets | $ | 137,049 | $ | 137,698 | $ | 134,476 | |||||
Liabilities | |||||||||||
Deposits in domestic offices: | |||||||||||
NOW and money market deposit accounts | $ | 54,606 | $ | 53,627 | $ | 55,095 | |||||
Savings deposits | 6,321 | 6,296 | 6,306 | ||||||||
Certificates of deposit ($100,000 or more) | 7,295 | 6,849 | 5,859 | ||||||||
Other time deposits | 4,928 | 4,798 | 4,694 | ||||||||
Total interest-bearing deposits | 73,150 | 71,570 | 71,954 | ||||||||
Noninterest-bearing deposits | 31,601 | 33,665 | 32,028 | ||||||||
Total deposits | 104,751 | 105,235 | 103,982 | ||||||||
Federal funds purchased and securities sold under repurchase agreements | 616 | 377 | 442 | ||||||||
Bank notes and other short-term borrowings | 1,133 | 634 | 943 | ||||||||
Accrued expense and other liabilities | 1,854 | 2,094 | 1,807 | ||||||||
Long-term debt | 13,749 | 14,333 | 12,324 | ||||||||
Total liabilities | 122,103 | 122,673 | 119,498 | ||||||||
Equity | |||||||||||
Preferred stock | 1,025 | 1,025 | 1,025 | ||||||||
Common shares | 1,257 | 1,257 | 1,257 | ||||||||
Capital surplus | 6,289 | 6,335 | 6,287 | ||||||||
Retained earnings | 10,624 | 10,335 | 9,584 | ||||||||
Treasury stock, at cost | (3,260 | ) | (3,150 | ) | (2,623 | ) | |||||
Accumulated other comprehensive income (loss) | (991 | ) | (779 | ) | (554 | ) | |||||
Key shareholders’ equity | 14,944 | 15,023 | 14,976 | ||||||||
Noncontrolling interests | 2 | 2 | 2 | ||||||||
Total equity | 14,946 | 15,025 | 14,978 | ||||||||
Total liabilities and equity | $ | 137,049 | $ | 137,698 | $ | 134,476 | |||||
Common shares outstanding (000) | 1,064,939 | 1,069,084 | 1,097,479 | ||||||||
Consolidated Statements of Income | |||||||||||
(dollars in millions, except per share amounts) | |||||||||||
Three months ended | |||||||||||
3/31/2018 | 12/31/2017 | 3/31/2017 | |||||||||
Interest income | |||||||||||
Loans | $ | 940 | $ | 924 | $ | 877 | |||||
Loans held for sale | 12 | 13 | 13 | ||||||||
Securities available for sale | 95 | 93 | 95 | ||||||||
Held-to-maturity securities | 69 | 61 | 51 | ||||||||
Trading account assets | 7 | 6 | 7 | ||||||||
Short-term investments | 8 | 12 | 3 | ||||||||
Other investments | 6 | 5 | 4 | ||||||||
Total interest income | 1,137 | 1,114 | 1,050 | ||||||||
Interest expense | |||||||||||
Deposits | 91 | 82 | 58 | ||||||||
Federal funds purchased and securities sold under repurchase agreements | 4 | — | 1 | ||||||||
Bank notes and other short-term borrowings | 6 | 3 | 5 | ||||||||
Long-term debt | 92 | 91 | 68 | ||||||||
Total interest expense | 193 | 176 | 132 | ||||||||
Net interest income | 944 | 938 | 918 | ||||||||
Provision for credit losses | 61 | 49 | 63 | ||||||||
Net interest income after provision for credit losses | 883 | 889 | 855 | ||||||||
Noninterest income | |||||||||||
Trust and investment services income | 133 | 131 | 135 | ||||||||
Investment banking and debt placement fees | 143 | 200 | 127 | ||||||||
Service charges on deposit accounts | 89 | 89 | 87 | ||||||||
Operating lease income and other leasing gains | 32 | 27 | 23 | ||||||||
Corporate services income | 62 | 56 | 54 | ||||||||
Cards and payments income | 62 | 77 | 65 | ||||||||
Corporate-owned life insurance income | 32 | 37 | 30 | ||||||||
Consumer mortgage income | 7 | 7 | 6 | ||||||||
Mortgage servicing fees | 20 | 17 | 18 | ||||||||
Other income (a) | 21 | 15 | 32 | ||||||||
Total noninterest income | 601 | 656 | 577 | ||||||||
Noninterest expense | |||||||||||
Personnel | 594 | 608 | 556 | ||||||||
Net occupancy | 78 | 92 | 87 | ||||||||
Computer processing | 52 | 54 | 60 | ||||||||
Business services and professional fees | 41 | 52 | 46 | ||||||||
Equipment | 26 | 31 | 27 | ||||||||
Operating lease expense | 27 | 28 | 19 | ||||||||
Marketing | 25 | 35 | 21 | ||||||||
FDIC assessment | 21 | 20 | 20 | ||||||||
Intangible asset amortization | 29 | 26 | 22 | ||||||||
OREO expense, net | 2 | 3 | 2 | ||||||||
Other expense | 111 | 149 | 153 | ||||||||
Total noninterest expense | 1,006 | 1,098 | 1,013 | ||||||||
Income (loss) from continuing operations before income taxes | 478 | 447 | 419 | ||||||||
Income taxes | 62 | 251 | 94 | ||||||||
Income (loss) from continuing operations | 416 | 196 | 325 | ||||||||
Income (loss) from discontinued operations, net of taxes | 2 | 1 | — | ||||||||
Net income (loss) | 418 | 197 | 325 | ||||||||
Less: Net income (loss) attributable to noncontrolling interests | — | 1 | 1 | ||||||||
Net income (loss) attributable to Key | $ | 418 | $ | 196 | $ | 324 | |||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | 402 | $ | 181 | $ | 296 | |||||
Net income (loss) attributable to Key common shareholders | 404 | 182 | 296 | ||||||||
Per common share | |||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .38 | $ | .17 | $ | .28 | |||||
Income (loss) from discontinued operations, net of taxes | — | — | — | ||||||||
Net income (loss) attributable to Key common shareholders (b) | .38 | .17 | .28 | ||||||||
Per common share — assuming dilution | |||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .38 | $ | .17 | $ | .27 | |||||
Income (loss) from discontinued operations, net of taxes | — | — | — | ||||||||
Net income (loss) attributable to Key common shareholders (b) | .38 | .17 | .27 | ||||||||
Cash dividends declared per common share | $ | .105 | $ | .105 | $ | .085 | |||||
Weighted-average common shares outstanding (000) | 1,056,037 | 1,062,348 | 1,068,609 | ||||||||
Effect of common share options and other stock awards | 15,749 | 16,982 | 17,931 | ||||||||
Weighted-average common shares and potential common shares outstanding (000) (c) | 1,071,786 | 1,079,330 | 1,086,540 | ||||||||
(a) | For the three months ended March 31, 2018 and December 31, 2017 net securities gains (losses) totaled less than $1 million. For the three months ended March 31, 2017, net securities gains totaled $1 million. For the three months ended March 31, 2018, December 31, 2017, and March 31, 2017, 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. |