Attached files
| file | filename |
|---|---|
| EX-99.2 - EXHIBIT 99.2 - KEYCORP /NEW/ | key1q17confcallslidesvf.htm |
| EX-99.1 - EXHIBIT 99.1 - KEYCORP /NEW/ | keycorp1q17earningsrelease.htm |
| 8-K - 8-K - KEYCORP /NEW/ | keycorp1q17er8-k.htm |
Exhibit 99.3
Consolidated Balance Sheets | |||||||||||
(dollars in millions) | |||||||||||
3/31/2017 | 12/31/2016 | 3/31/2016 | |||||||||
Assets | |||||||||||
Loans | $ | 86,125 | $ | 86,038 | $ | 60,438 | |||||
Loans held for sale | 1,384 | 1,104 | 684 | ||||||||
Securities available for sale | 18,431 | 20,212 | 14,304 | ||||||||
Held-to-maturity securities | 10,186 | 10,232 | 5,003 | ||||||||
Trading account assets | 921 | 867 | 765 | ||||||||
Short-term investments | 2,525 | 2,775 | 5,436 | ||||||||
Other investments | 689 | 738 | 643 | ||||||||
Total earning assets | 120,261 | 121,966 | 87,273 | ||||||||
Allowance for loan and lease losses | (870 | ) | (858 | ) | (826 | ) | |||||
Cash and due from banks | 549 | 677 | 474 | ||||||||
Premises and equipment | 935 | 978 | 750 | ||||||||
Operating lease assets | 563 | 540 | 362 | ||||||||
Goodwill | 2,427 | 2,446 | 1,060 | ||||||||
Other intangible assets | 362 | 384 | 57 | ||||||||
Corporate-owned life insurance | 4,087 | 4,068 | 3,557 | ||||||||
Derivative assets | 578 | 803 | 1,065 | ||||||||
Accrued income and other assets | 4,064 | 3,864 | 2,849 | ||||||||
Discontinued assets | 1,520 | 1,585 | 1,781 | ||||||||
Total assets | $ | 134,476 | $ | 136,453 | $ | 98,402 | |||||
Liabilities | |||||||||||
Deposits in domestic offices: | |||||||||||
NOW and money market deposit accounts | $ | 55,095 | $ | 54,590 | $ | 38,946 | |||||
Savings deposits | 6,306 | 6,491 | 2,385 | ||||||||
Certificates of deposit ($100,000 or more) | 5,859 | 5,483 | 3,095 | ||||||||
Other time deposits | 4,694 | 4,698 | 3,259 | ||||||||
Total interest-bearing deposits | 71,954 | 71,262 | 47,685 | ||||||||
Noninterest-bearing deposits | 32,028 | 32,825 | 25,697 | ||||||||
Deposits in foreign office — interest-bearing | — | — | — | ||||||||
Total deposits | 103,982 | 104,087 | 73,382 | ||||||||
Federal funds purchased and securities sold under repurchase agreements | 442 | 1,502 | 374 | ||||||||
Bank notes and other short-term borrowings | 943 | 808 | 615 | ||||||||
Derivative liabilities | 255 | 636 | 790 | ||||||||
Accrued expense and other liabilities | 1,552 | 1,796 | 1,410 | ||||||||
Long-term debt | 12,324 | 12,384 | 10,760 | ||||||||
Total liabilities | 119,498 | 121,213 | 87,331 | ||||||||
Equity | |||||||||||
Preferred stock | 1,025 | 1,665 | 290 | ||||||||
Common shares | 1,257 | 1,257 | 1,017 | ||||||||
Capital surplus | 6,287 | 6,385 | 3,818 | ||||||||
Retained earnings | 9,584 | 9,378 | 9,042 | ||||||||
Treasury stock, at cost | (2,623 | ) | (2,904 | ) | (2,888 | ) | |||||
Accumulated other comprehensive income (loss) | (554 | ) | (541 | ) | (213 | ) | |||||
Key shareholders’ equity | 14,976 | 15,240 | 11,066 | ||||||||
Noncontrolling interests | 2 | 0 | 5 | ||||||||
Total equity | 14,978 | 15,240 | 11,071 | ||||||||
Total liabilities and equity | $ | 134,476 | $ | 136,453 | $ | 98,402 | |||||
Common shares outstanding (000) | 1,097,479 | 1,079,314 | 842,290 | ||||||||
Consolidated Statements of Income | |||||||||||
(dollars in millions, except per share amounts) | |||||||||||
Three months ended | |||||||||||
3/31/2017 | 12/31/2016 | 3/31/2016 | |||||||||
Interest income | |||||||||||
Loans | $ | 877 | $ | 898 | $ | 562 | |||||
Loans held for sale | 13 | 11 | 8 | ||||||||
Securities available for sale | 95 | 92 | 75 | ||||||||
Held-to-maturity securities | 51 | 44 | 24 | ||||||||
Trading account assets | 7 | 6 | 7 | ||||||||
Short-term investments | 3 | 5 | 4 | ||||||||
Other investments | 4 | 6 | 3 | ||||||||
Total interest income | 1,050 | 1,062 | 683 | ||||||||
Interest expense | |||||||||||
Deposits | 58 | 57 | 31 | ||||||||
Federal funds purchased and securities sold under repurchase agreements | 1 | 1 | — | ||||||||
Bank notes and other short-term borrowings | 5 | 3 | 2 | ||||||||
Long-term debt | 68 | 63 | 46 | ||||||||
Total interest expense | 132 | 124 | 79 | ||||||||
Net interest income | 918 | 938 | 604 | ||||||||
Provision for credit losses | 63 | 66 | 89 | ||||||||
Net interest income after provision for credit losses | 855 | 872 | 515 | ||||||||
Noninterest income | |||||||||||
Trust and investment services income | 135 | 123 | 109 | ||||||||
Investment banking and debt placement fees | 127 | 157 | 71 | ||||||||
Service charges on deposit accounts | 87 | 84 | 65 | ||||||||
Operating lease income and other leasing gains | 23 | 21 | 17 | ||||||||
Corporate services income | 54 | 61 | 50 | ||||||||
Cards and payments income | 65 | 69 | 46 | ||||||||
Corporate-owned life insurance income | 30 | 40 | 28 | ||||||||
Consumer mortgage income | 6 | 6 | 2 | ||||||||
Mortgage servicing fees | 18 | 20 | 12 | ||||||||
Net gains (losses) from principal investing | 1 | 4 | — | ||||||||
Other income (a) | 31 | 33 | 31 | ||||||||
Total noninterest income | 577 | 618 | 431 | ||||||||
Noninterest expense | |||||||||||
Personnel | 556 | 648 | 404 | ||||||||
Net occupancy | 87 | 112 | 61 | ||||||||
Computer processing | 60 | 97 | 43 | ||||||||
Business services and professional fees | 46 | 78 | 41 | ||||||||
Equipment | 27 | 30 | 21 | ||||||||
Operating lease expense | 19 | 17 | 13 | ||||||||
Marketing | 21 | 35 | 12 | ||||||||
FDIC assessment | 20 | 23 | 9 | ||||||||
Intangible asset amortization | 22 | 27 | 8 | ||||||||
OREO expense, net | 2 | 3 | 1 | ||||||||
Other expense | 153 | 150 | 90 | ||||||||
Total noninterest expense | 1,013 | 1,220 | 703 | ||||||||
Income (loss) from continuing operations before income taxes | 419 | 270 | 243 | ||||||||
Income taxes | 94 | 38 | 56 | ||||||||
Income (loss) from continuing operations | 325 | 232 | 187 | ||||||||
Income (loss) from discontinued operations, net of taxes | — | (4 | ) | 1 | |||||||
Net income (loss) | 325 | 228 | 188 | ||||||||
Less: Net income (loss) attributable to noncontrolling interests | 1 | (1 | ) | — | |||||||
Net income (loss) attributable to Key | $ | 324 | $ | 229 | $ | 188 | |||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | 296 | $ | 213 | $ | 182 | |||||
Net income (loss) attributable to Key common shareholders | 296 | 209 | 183 | ||||||||
Per common share | |||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .28 | $ | .2 | $ | .22 | |||||
Income (loss) from discontinued operations, net of taxes | — | — | — | ||||||||
Net income (loss) attributable to Key common shareholders (b) | .28 | .2 | .22 | ||||||||
Per common share — assuming dilution | |||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .27 | $ | .2 | $ | .22 | |||||
Income (loss) from discontinued operations, net of taxes | — | — | — | ||||||||
Net income (loss) attributable to Key common shareholders (b) | .27 | .19 | .22 | ||||||||
Cash dividends declared per common share | $ | .085 | $ | .085 | $ | .075 | |||||
Weighted-average common shares outstanding (000) | 1,068,609 | 1,067,771 | 827,381 | ||||||||
Effect of common share options and other stock awards | 17,931 | 15,946 | 7,733 | ||||||||
Weighted-average common shares and potential common shares outstanding (000) (c) | 1,086,540 | 1,083,717 | 835,060 | ||||||||
(a) | For the three months ended March 31, 2017, net securities gains (losses) totaled $1 million. For the three months ended December 31, 2016, net securities gains (losses) totaled $6 million. For the three months ended March 31, 2016, net securities gains (losses) totaled less than $1 million. For the three months ended March 31, 2017, December 31, 2016, and March 31, 2016, Key did not have any impairment losses related to securities. | ||||||||||
(b) | For the twelve months ended December 31, 2016 and December 31, 2015, net securities gains (losses) totaled less than $1 million. For the twelve months ended December 31, 2016, and December 31,2015, 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. | ||||||||||