Exhibit 99.3
Consolidated Balance Sheets | |||||||||||||||||
(dollars in millions) | |||||||||||||||||
12/31/2020 | 9/30/2020 | 12/31/2019 | |||||||||||||||
Assets | |||||||||||||||||
Loans | $ | 101,185 | $ | 103,081 | $ | 94,646 | |||||||||||
Loans held for sale | 1,583 | 1,724 | 1,334 | ||||||||||||||
Securities available for sale | 27,556 | 26,895 | 21,843 | ||||||||||||||
Held-to-maturity securities | 7,595 | 8,384 | 10,067 | ||||||||||||||
Trading account assets | 735 | 733 | 1,040 | ||||||||||||||
Short-term investments | 16,194 | 14,148 | 1,272 | ||||||||||||||
Other investments | 621 | 620 | 605 | ||||||||||||||
Total earning assets | 155,469 | 155,585 | 130,807 | ||||||||||||||
Allowance for loan and lease losses | (1,626) | (1,730) | (900) | ||||||||||||||
Cash and due from banks | 1,091 | 956 | 732 | ||||||||||||||
Premises and equipment | 753 | 765 | 814 | ||||||||||||||
Goodwill | 2,664 | 2,664 | 2,664 | ||||||||||||||
Other intangible assets | 188 | 203 | 253 | ||||||||||||||
Corporate-owned life insurance | 4,286 | 4,274 | 4,233 | ||||||||||||||
Accrued income and other assets | 6,812 | 7,084 | 5,494 | ||||||||||||||
Discontinued assets | 699 | 739 | 891 | ||||||||||||||
Total assets | $ | 170,336 | $ | 170,540 | $ | 144,988 | |||||||||||
Liabilities | |||||||||||||||||
Deposits in domestic offices: | |||||||||||||||||
NOW and money market deposit accounts | $ | 80,427 | $ | 80,791 | $ | 66,714 | |||||||||||
Savings deposits | 5,913 | 5,585 | 4,651 | ||||||||||||||
Certificates of deposit ($100,000 or more) | 2,733 | 3,345 | 6,598 | ||||||||||||||
Other time deposits | 3,010 | 3,450 | 5,054 | ||||||||||||||
Total interest-bearing deposits | 92,083 | 93,171 | 83,017 | ||||||||||||||
Noninterest-bearing deposits | 43,199 | 43,575 | 28,853 | ||||||||||||||
Total deposits | 135,282 | 136,746 | 111,870 | ||||||||||||||
Federal funds purchased and securities sold under repurchase agreements | 220 | 213 | 387 | ||||||||||||||
Bank notes and other short-term borrowings | 759 | 818 | 705 | ||||||||||||||
Accrued expense and other liabilities | 2,385 | 2,356 | 2,540 | ||||||||||||||
Long-term debt | 13,709 | 12,685 | 12,448 | ||||||||||||||
Total liabilities | 152,355 | 152,818 | 127,950 | ||||||||||||||
Equity | |||||||||||||||||
Preferred stock | 1,900 | 1,900 | 1,900 | ||||||||||||||
Common shares | 1,257 | 1,257 | 1,257 | ||||||||||||||
Capital surplus | 6,281 | 6,263 | 6,295 | ||||||||||||||
Retained earnings | 12,751 | 12,375 | 12,469 | ||||||||||||||
Treasury stock, at cost | (4,946) | (4,940) | (4,909) | ||||||||||||||
Accumulated other comprehensive income (loss) | 738 | 867 | 26 | ||||||||||||||
Key shareholders’ equity | 17,981 | 17,722 | 17,038 | ||||||||||||||
Noncontrolling interests | — | — | — | ||||||||||||||
Total equity | 17,981 | 17,722 | 17,038 | ||||||||||||||
Total liabilities and equity | $ | 170,336 | $ | 170,540 | $ | 144,988 | |||||||||||
Common shares outstanding (000) | 975,773 | 976,205 | 977,189 |
Consolidated Statements of Income | ||||||||||||||||||||||||||
(dollars in millions, except per share amounts) | ||||||||||||||||||||||||||
Three months ended | Twelve months ended | |||||||||||||||||||||||||
12/31/2020 | 9/30/2020 | 12/31/2019 | 12/31/2020 | 12/31/2019 | ||||||||||||||||||||||
Interest income | ||||||||||||||||||||||||||
Loans | $ | 933 | $ | 927 | $ | 1,046 | $ | 3,866 | $ | 4,267 | ||||||||||||||||
Loans held for sale | 11 | 18 | 17 | 69 | 63 | |||||||||||||||||||||
Securities available for sale | 119 | 115 | 137 | 484 | 537 | |||||||||||||||||||||
Held-to-maturity securities | 51 | 53 | 63 | 222 | 262 | |||||||||||||||||||||
Trading account assets | 4 | 3 | 8 | 20 | 32 | |||||||||||||||||||||
Short-term investments | 4 | 1 | 12 | 18 | 61 | |||||||||||||||||||||
Other investments | 3 | 2 | 2 | 6 | 13 | |||||||||||||||||||||
Total interest income | 1,125 | 1,119 | 1,285 | 4,685 | 5,235 | |||||||||||||||||||||
Interest expense | ||||||||||||||||||||||||||
Deposits | 28 | 54 | 201 | 347 | 853 | |||||||||||||||||||||
Federal funds purchased and securities sold under repurchase agreements | — | — | 1 | 6 | 2 | |||||||||||||||||||||
Bank notes and other short-term borrowings | 1 | 1 | 4 | 12 | 17 | |||||||||||||||||||||
Long-term debt | 61 | 64 | 100 | 286 | 454 | |||||||||||||||||||||
Total interest expense | 90 | 119 | 306 | 651 | 1,326 | |||||||||||||||||||||
Net interest income | 1,035 | 1,000 | 979 | 4,034 | 3,909 | |||||||||||||||||||||
Provision for credit losses | 20 | 160 | 109 | 1,021 | 445 | |||||||||||||||||||||
Net interest income after provision for credit losses | 1,015 | 840 | 870 | 3,013 | 3,464 | |||||||||||||||||||||
Noninterest income | ||||||||||||||||||||||||||
Trust and investment services income | 123 | 128 | 120 | 507 | 475 | |||||||||||||||||||||
Investment banking and debt placement fees | 243 | 146 | 181 | 661 | 630 | |||||||||||||||||||||
Service charges on deposit accounts | 82 | 77 | 86 | 311 | 337 | |||||||||||||||||||||
Operating lease income and other leasing gains | 39 | 38 | 39 | 167 | 162 | |||||||||||||||||||||
Corporate services income | 63 | 51 | 65 | 228 | 236 | |||||||||||||||||||||
Cards and payments income | 97 | 114 | 67 | 368 | 275 | |||||||||||||||||||||
Corporate-owned life insurance income | 38 | 30 | 39 | 139 | 136 | |||||||||||||||||||||
Consumer mortgage income | 43 | 51 | 21 | 176 | 63 | |||||||||||||||||||||
Commercial mortgage servicing fees | 32 | 18 | 19 | 80 | 77 | |||||||||||||||||||||
Other income | 42 | 28 | 14 | 15 | 68 | |||||||||||||||||||||
Total noninterest income | 802 | 681 | 651 | 2,652 | 2,459 | |||||||||||||||||||||
Noninterest expense | ||||||||||||||||||||||||||
Personnel | 661 | 588 | 551 | 2,336 | 2,250 | |||||||||||||||||||||
Net occupancy | 75 | 76 | 76 | 298 | 293 | |||||||||||||||||||||
Computer processing | 62 | 59 | 51 | 232 | 214 | |||||||||||||||||||||
Business services and professional fees | 54 | 49 | 54 | 196 | 186 | |||||||||||||||||||||
Equipment | 26 | 25 | 25 | 100 | 100 | |||||||||||||||||||||
Operating lease expense | 35 | 33 | 32 | 138 | 123 | |||||||||||||||||||||
Marketing | 30 | 22 | 27 | 97 | 96 | |||||||||||||||||||||
FDIC assessment | 9 | 6 | 8 | 32 | 31 | |||||||||||||||||||||
Intangible asset amortization | 15 | 15 | 19 | 65 | 89 | |||||||||||||||||||||
OREO expense, net | — | (1) | 3 | 8 | 13 | |||||||||||||||||||||
Other expense | 161 | 165 | 134 | 607 | 506 | |||||||||||||||||||||
Total noninterest expense | 1,128 | 1,037 | 980 | 4,109 | 3,901 | |||||||||||||||||||||
Income (loss) from continuing operations before income taxes | 689 | 484 | 541 | 1,556 | 2,022 | |||||||||||||||||||||
Income taxes | 114 | 60 | 75 | 227 | 314 | |||||||||||||||||||||
Income (loss) from continuing operations | 575 | 424 | 466 | 1,329 | 1,708 | |||||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 7 | 4 | 3 | 14 | 9 | |||||||||||||||||||||
Net income (loss) | 582 | 428 | 469 | 1,343 | 1,717 | |||||||||||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | — | — | — | — | — | |||||||||||||||||||||
Net income (loss) attributable to Key | $ | 582 | $ | 428 | $ | 469 | $ | 1,343 | $ | 1,717 | ||||||||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | 549 | $ | 397 | $ | 439 | $ | 1,223 | $ | 1,611 | ||||||||||||||||
Net income (loss) attributable to Key common shareholders | 556 | 401 | 442 | 1,237 | 1,620 | |||||||||||||||||||||
Per common share | ||||||||||||||||||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .57 | $ | .41 | $ | .45 | $ | 1.26 | $ | 1.62 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | .01 | — | — | .01 | .01 | |||||||||||||||||||||
Net income (loss) attributable to Key common shareholders (a) | .57 | .41 | .45 | 1.28 | 1.63 | |||||||||||||||||||||
Per common share — assuming dilution | ||||||||||||||||||||||||||
Income (loss) from continuing operations attributable to Key common shareholders | $ | .56 | $ | .41 | $ | .45 | $ | 1.26 | $ | 1.61 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | .01 | — | — | .01 | .01 | |||||||||||||||||||||
Net income (loss) attributable to Key common shareholders (a) | .57 | .41 | $ | .45 | 1.27 | 1.62 | ||||||||||||||||||||
Cash dividends declared per common share | $ | .185 | $ | .185 | $ | .185 | $ | .74 | $ | .71 | ||||||||||||||||
Weighted-average common shares outstanding (000) | 967,987 | 967,804 | 973,450 | 967,783 | 992,091 | |||||||||||||||||||||
Effect of common share options and other stock awards | 8,473 | 6,184 | 10,911 | 7,024 | 10,163 | |||||||||||||||||||||
Weighted-average common shares and potential common shares outstanding (000) (b) | 976,460 | 973,988 | 984,361 | 974,807 | 1,002,254 | |||||||||||||||||||||
(a)Earnings per share may not foot due to rounding.
(b)Assumes conversion of common share options and other stock awards and/or convertible preferred stock, as applicable.