KeyCorp (KEY) 8-K Keycorp Reports Third Quarter 2015

Exhibit 99.3

Consolidated Balance Sheets

(dollars in millions)

	9-30-15			6-30-15			9-30-14
Assets
Loans	$	60,085		$	58,264		$	56,155
Loans held for sale		916			835			784
Securities available for sale		14,376			14,244			12,245
Held-to-maturity securities		4,936			5,022			4,997
Trading account assets		811			674			965
Short-term investments		1,964			3,222			2,342
Other investments		691			703			822
Total earning assets		83,779			82,964			78,310
Allowance for loan and lease losses		(790	)		(796	)		(804	)
Cash and due from banks		470			693			651
Premises and equipment		771			788			832
Operating lease assets		315			296			304
Goodwill		1,060			1,057			1,051
Other intangible assets		74			83			126
Corporate-owned life insurance		3,516			3,502			3,456
Derivative assets		793			536			413
Accrued income and other assets		3,348			3,314			3,024
Discontinued assets		2,086			2,169			2,421
Total assets	$	95,422		$	94,606		$	89,784
Liabilities
Deposits in domestic offices:
NOW and money market deposit accounts	$	37,301		$	36,024		$	33,941
Savings deposits		2,338			2,370			2,390
Certificates of deposit ($100,000 or more)		2,001			2,032			2,533
Other time deposits		3,020			3,105			3,338
Total interest-bearing deposits		44,660			43,531			42,202
Noninterest-bearing deposits		25,985			26,640			25,697
Deposits in foreign office — interest-bearing		428			498			557
Total deposits		71,073			70,669			68,456
Federal funds purchased and securities sold under repurchase agreements		407			444			657
Bank notes and other short-term borrowings		677			528			996
Derivative liabilities		676			560			384
Accrued expense and other liabilities		1,562			1,537			1,613
Long-term debt		10,310			10,267			7,172
Discontinued liabilities		—			—			3
Total liabilities		84,705			84,005			79,281
Equity
Preferred stock, Series A		290			290			291
Common shares		1,017			1,017			1,017
Capital surplus		3,914			3,898			3,984
Retained earnings		8,764			8,614			8,082
Treasury stock, at cost		(3,008	)		(2,884	)		(2,563	)
Accumulated other comprehensive income (loss)		(272	)		(345	)		(325	)
Key shareholders’ equity		10,705			10,590			10,486
Noncontrolling interests		12			11			17
Total equity		10,717			10,601			10,503
Total liabilities and equity	$	95,422		$	94,606		$	89,784
Common shares outstanding (000)		835,285			843,608			868,477

Consolidated Statements of Income

(dollars in millions, except per share amounts)

	Three months ended								Nine months ended
	9-30-15			6-30-15		9-30-14			9-30-15		9-30-14
Interest income
Loans	$	542		$	532	$	531		$	1,597	$	1,576
Loans held for sale		10			12		4			29		13
Securities available for sale		75			72		67			217		210
Held-to-maturity securities		24			24		25			72		70
Trading account assets		5			5		6			15		19
Short-term investments		1			2		2			5		4
Other investments		4			5		4			14		16
Total interest income		661			652		639			1,949		1,908
Interest expense
Deposits		27			26		28			79		91
Federal funds purchased and securities sold under repurchase agreements		—			—		1			—		2
Bank notes and other short-term borrowings		2			2		2			6		6
Long-term debt		41			40		33			118		98
Total interest expense		70			68		64			203		197
Net interest income		591			584		575			1,746		1,711
Provision for credit losses		45			41		19			121		35
Net interest income after provision for credit losses		546			543		556			1,625		1,676
Noninterest income
Trust and investment services income		108			111		99			328		291
Investment banking and debt placement fees		109			141		88			318		271
Service charges on deposit accounts		68			63		68			192		197
Operating lease income and other leasing gains		15			24		17			58		81
Corporate services income		57			43		42			143		125
Cards and payments income		47			47		42			136		123
Corporate-owned life insurance income		30			30		26			91		80
Consumer mortgage income		3			4		3			10		7
Mortgage servicing fees		11			9		9			33		35
Net gains (losses) from principal investing		11			11		9			51		60
Other income (a)		11			5		14			35		37
Total noninterest income		470			488		417			1,395		1,307
Noninterest expense
Personnel		426			408		405			1,223		1,182
Net occupancy		60			66		66			191		198
Computer processing		41			42		39			121		118
Business services and professional fees		40			42		36			115		118
Equipment		22			22		25			66		73
Operating lease expense		11			12		11			34		31
Marketing		17			15		15			40		33
FDIC assessment		8			8		9			24		21
Intangible asset amortization		9			9		10			27		29
OREO expense, net		2			1		1			5		3
Other expense		88			86		89			258		251
Total noninterest expense		724			711		706			2,104		2,057
Income (loss) from continuing operations before income taxes		292			320		267			916		926
Income taxes		72			84		64			230		232
Income (loss) from continuing operations		220			236		203			686		694
Income (loss) from discontinued operations, net of taxes		(3	)		3		(17	)		5		(41	)
Net income (loss)		217			239		186			691		653
Less: Net income (loss) attributable to noncontrolling interests		(2	)		1		—			1		6
Net income (loss) attributable to Key	$	219		$	238	$	186		$	690	$	647
Income (loss) from continuing operations attributable to Key common shareholders	$	216		$	230	$	197		$	668	$	671
Net income (loss) attributable to Key common shareholders		213			233		180			673		630
Per common share
Income (loss) from continuing operations attributable to Key common shareholders	$	.26		$	.27	$	.23		$	.79	$	.77
Income (loss) from discontinued operations, net of taxes		—			—		(.02	)		.01		(.05	)
Net income (loss) attributable to Key common shareholders (b)		.26			.28		.21			.80		.72
Per common share — assuming dilution
Income (loss) from continuing operations attributable to Key common shareholders	$	.26		$	.27	$	.23		$	.78	$	.76
Income (loss) from discontinued operations, net of taxes		—			—		(.02	)		.01		(.05	)
Net income (loss) attributable to Key common shareholders (b)		.25			.27		.21			.79		.71
Cash dividends declared per common share	$	.075		$	.075	$	.065		$	.215	$	.185
Weighted-average common shares outstanding (000)		831,430			839,454		867,350			839,758		875,728
Weighted-average common shares and potential common shares outstanding (000) (c)		838,880			846,312		874,122			847,371		882,451

(a) For each of the three months ended September 30, 2015, June 30, 2015, and September 30, 2014, net securities gains (losses) totaled less than $1 million. For the three months ended September 30, 2015, June 30, 2015, and September 30, 2014, 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.