KeyCorp (KEY) 8-K Keycorp Reports Second Quarter 2010 Profit

Exhibit 99.3

Consolidated Balance Sheets
(dollars in millions)

	6-30-10			3-31-10			6-30-09
Assets
Loans	$	53,334		$	55,913		$	67,167
Loans held for sale		699			556			761
Securities available for sale		19,773			16,553			11,988
Held-to-maturity securities		19			22			25
Trading account assets		1,014			1,034			771
Short-term investments		1,984			4,345			3,487
Other investments		1,415			1,525			1,450
Total earning assets		78,238			79,948			85,649
Allowance for loan losses		(2,219	)		(2,425	)		(2,339	)
Cash and due from banks		591			619			706
Premises and equipment		872			872			858
Operating lease assets		589			652			842
Goodwill		917			917			917
Other intangible assets		42			46			104
Corporate-owned life insurance		3,109			3,087			3,016
Derivative assets		1,153			1,063			1,182
Accrued income and other assets		4,061			4,150			2,775
Discontinued assets		6,814			6,374			4,082
Total assets	$	94,167		$	95,303		$	97,792
Liabilities
Deposits in domestic offices:
NOW and money market deposit accounts	$	25,526		$	25,068		$	23,939
Savings deposits		1,883			1,873			1,795
Certificates of deposit ($100,000 or more)		8,476			10,188			13,486
Other time deposits		10,430			12,010			15,055
Total interest-bearing deposits		46,315			49,139			54,275
Noninterest-bearing deposits		15,226			15,364			12,873
Deposits in foreign office — interest-bearing		834			646			632
Total deposits		62,375			65,149			67,780
Federal funds purchased and securities sold under repurchase agreements		2,836			1,927			1,530
Bank notes and other short-term borrowings		819			446			1,710
Derivative liabilities		1,321			1,103			528
Accrued expense and other liabilities		2,154			2,089			1,600
Long-term debt		10,451			11,177			13,462
Discontinued liabilities		3,139			2,490			122
Total liabilities		83,095			84,381			86,732
Equity
Preferred stock, Series A		291			291			291
Preferred stock, Series B		2,438			2,434			2,422
Common shares		946			946			865
Common stock warrant		87			87			87
Capital surplus		3,701			3,724			3,292
Retained earnings		5,118			5,098			5,878
Treasury stock, at cost		(1,914	)		(1,958	)		(1,984	)
Accumulated other comprehensive income (loss)		153			19			—
Key shareholders’ equity		10,820			10,641			10,851
Noncontrolling interests		252			281			209
Total equity		11,072			10,922			11,060
Total liabilities and equity	$	94,167		$	95,303		$	97,792
Common shares outstanding (000)		880,515			879,052			797,246

Consolidated Statements of Income
(dollars in millions, except per share amounts)

	Three months ended									Six months ended
	6-30-10			3-31-10			6-30-09			6-30-10			6-30-09
Interest income
Loans	$	677		$	710		$	819		$	1,387		$	1,659
Loans held for sale		5			4			8			9			16
Securities available for sale		154			150			89			304			189
Held-to-maturity securities		—			1			—			1			1
Trading account assets		10			11			13			21			26
Short-term investments		2			2			3			4			6
Other investments		13			14			13			27			25
Total interest income		861			892			945			1,753			1,922
Interest expense
Deposits		188			212			296			400			596
Federal funds purchased and securities sold under repurchase agreements		2			1			1			3			2
Bank notes and other short-term borrowings		4			3			4			7			10
Long-term debt		50			51			75			101			156
Total interest expense		244			267			376			511			764
Net interest income		617			625			569			1,242			1,158
Provision for loan losses		228			413			823			641			1,670
Net interest income (expense) after provision for loan losses		389			212			(254	)		601			(512	)
Noninterest income
Trust and investment services income		112			114			119			226			229
Service charges on deposit accounts		80			76			83			156			165
Operating lease income		43			47			59			90			120
Letter of credit and loan fees		42			40			44			82			82
Corporate-owned life insurance income		28			28			25			56			52
Net securities gains (losses)		(2	)(a)		3	(a)		125			1			111
Electronic banking fees		29			27			27			56			51
Gains on leased equipment		2			8			36			10			62
Insurance income		19			18			16			37			34
Net gains (losses) from loan sales		25			4			(3	)		29			4
Net gains (losses) from principal investing		17			37			(6	)		54			(78	)
Investment banking and capital markets income (loss)		31			9			14			40			31
Gain from sale/redemption of Visa Inc. shares		—			—			—			—			105
Gain (loss) related to exchange of common shares for capital securities		—			—			95			—			95
Other income		66			39			72			105			121
Total noninterest income		492			450			706			942			1,184
Noninterest expense
Personnel		385			362			375			747			734
Net occupancy		64			66			63			130			129
Operating lease expense		35			39			49			74			99
Computer processing		47			47			48			94			95
Professional fees		41			38			46			79			80
FDIC assessment		33			37			70			70			100
OREO expense, net		22			32			15			54			21
Equipment		26			24			25			50			47
Marketing		16			13			17			29			31
Provision (credit) for losses on lending-related commitments		(10	)		(2	)		11			(12	)		11
Intangible assets impairment		—			—			—			—			196
Other expense		110			129			136			239			239
Total noninterest expense		769			785			855			1,554			1,782
Income (loss) from continuing operations before income taxes		112			(123	)		(403	)		(11	)		(1,110	)
Income taxes		11			(82	)		(176	)		(71	)		(414	)
Income (loss) from continuing operations		101			(41	)		(227	)		60			(696	)
Income (loss) from discontinued operations, net of taxes		(27	)		2			4			(25	)		(25	)
Net income (loss)		74			(39	)		(223	)		35			(721	)
Less: Net income (loss) attributable to noncontrolling interests		4			16			3			20			(7	)
Net income (loss) attributable to Key	$	70		$	(55	)	$	(226	)	$	15		$	(714	)
Income (loss) from continuing operations attributable to Key common shareholders	$	56		$	(98	)	$	(394	)	$	(42	)	$	(901	)
Net income (loss) attributable to Key common shareholders		29			(96	)		(390	)		(67	)		(926	)
Per common share
Income (loss) from continuing operations attributable to Key common shareholders	$	.06		$	(.11	)	$	(.68	)	$	(.05	)	$	(1.68	)
Income (loss) from discontinued operations, net of taxes		(.03	)		—			.01			(.03	)		(.05	)
Net income (loss) attributable to Key common shareholders		.03			(.11	)		(.68	)		(.08	)		(1.73	)
Per common share — assuming dilution
Income (loss) from continuing operations attributable to Key common shareholders	$	.06		$	(.11	)	$	(.68	)	$	(.05	)	$	(1.68	)
Income (loss) from discontinued operations, net of taxes		(.03	)		—			.01			(.03	)		(.05	)
Net income (loss) attributable to Key common shareholders		.03			(.11	)		(.68	)		(.08	)		(1.73	)
Cash dividends declared per common share	$	.01		$	.01		$	.01		$	.02		$	.0725
Weighted-average common shares outstanding (000)		874,664			874,386			576,883			874,526			535,080
Weighted-average common shares and potential common shares outstanding (000)		874,664			874,386			576,883			874,526			535,080

(a) For the three months ended June 30, 2010, Key had $4 million in impairment losses related to securities while for the three months ended March 31, 2010, Key did not have impairment losses related to securities.