everyone. morning, Bill, Thank Great. and you, good
we For reported share. or billion the of $X.X quarter, net GAAP a per loss $X.XX
million of impacted Those a of top noted, $XXX the million. goodwill X. a of and special As several tax Slide by a FDIC Bill assessment were benefit $X.X earnings noncash detailed impairment reported share items of per include discrete at charge billion, $XXX
per was $X.XX or income adjusted items, share. billion $X.X X these Excluding net
In another addition, our to and impacted charges, primarily restructuring saves related branch cost EPS negatively consolidation $X.XX. severance initiatives, associated and merger-related with by
do this test charge details underlying our on financial provide quarter's occurred on on impairment further additional Before background resulted billion. want goodwill goodwill October some test X. This that We an in performance, year's for I quarter. providing during of annually impairment the the to impairment $X.X
industry discount primarily continued The share rates of higher impact by impairment was prices, Truist driven sustained and decline and the including in share higher price. a interest rates banking
dividend his in of our remarks, capital liquidity, ability clients. needs noted impact to our the serve is a ratios, and noncash our has stock Bill our pay our this as regulatory Importantly, impact to on on no charge opening no or common
expected. for due the expenses or revenue Moving to results Total more in interest basis excluding on modest XX to quarter. if X.X%, increased the income X.X% costs. the of than points net a impact TIH readiness declined Adjusted sequentially independence decline
X.XX% improved quarter. Our basis points to X during the margin net interest
points light basis ratio the of added quarter uncertainty. capital ongoing our increased economic XX We CETX ALLL basis points and of in in by X
value available-for-sale Finally, increased the impact basis share linked our our book on XX% interest value portfolio. quarter a on of of due the rates investment per tangible lower primarily to
Average balances loans sheet due primarily to decreased client X.X% optimization cover we'll to lower demand. loans commercial a X.X%, loans balance X.X% to demand. reflecting decreased weaker due Average leases. client sequentially, primarily ongoing our efforts Next, in Page and C&I to overall and turn X decrease
deemphasizing further in expect shift return portfolio, balances auto modestly Overall, portfolios mortgage. lower consumer due average loans average our the decreased relationships, X.X% commercial primarily reductions indirect decline and deeper our to client in of quarter driven continued toward mix uncertainty. and the In effects by we consumer economic and first ongoing
in XX. on Noninterest-bearing time than deposits market decreased total sequentially more quarter of noninterest-bearing compared XX% decreased trends deposits fourth the interest quarter and deposit growth XXXX. as Moving and now XX% offset X.X% Average X.X% checking and balances. to third the to of deposits Slide in deposits in declines and was money by represented in XX%
quarter, points consumers to a resulted deposit XX quarter, X.XX%, total basis our the sequentially in higher periods. total XXX increased seek relative down a rate to point just to continued alternatives, an in deposit the basis prior recent at slower Typically, which XX%. increase cumulative costs which albeit to beta deposit increase basis increase drove pace a point from to costs, in X During
costs increase to point XX a points quarter, XX basis point to total prior sequentially XXX down cumulative in a increased from increase X.XX%, deposit interest-bearing basis the in our basis beta deposit which XX%. Similarly, interest-bearing also resulted to
the to to value a Going we pay. will client maximize add balanced forward, and maintain staying to attentive approach, needs relationships, can of we to striving rate core outside relationships continue on focusing
and Slide margin interest to net interest Moving XX. net income on
net interest on on For due income. and to improved the net offset basis higher X by linked-quarter Reported hedge basis decreased income by equivalent quarter. taxable average a assets earning lower favorable linked paid interest deposits partially quarter, rate points margin X.X%
expanded the first margin each in partially in interest X quarters, quarter an rate improvement to of last and increase in in continued contract offset due we spreads net deposits, paid it on by new on renewed the loans. to While expect
were the the primarily third Fee increase $XX service million Slide which by was client The quarter noninterest fourth up XX. in quarter. of income charges income on the $XX impacted million million $XX deposits, refunds. relative X.X% to increased due to third Turning or primarily quarter, on to higher attributable linked-quarter being to
and down gains, were service and to $XX due income. lower leasing deposit trading, declined insurance $XX other Lending-related income charges, fees. and related was banking like-quarter and higher linked-quarter equity due with lower as income X.X% mortgage partially on offset basis a investment increased fees Fee million to lending-related higher other million fees banking higher income
$XXX expenses impairment expense, $X.X in linked-quarter mentioned a offset on noninterest to GAAP Slide goodwill due million the $XXX charge, in a million Next, assessment primarily $X.X of and special increase I'll increased the restructuring by and expense FDIC cover $XX.X $XXX costs. XX. personnel partially merger-related previously billion billion decline million billion
readiness amortization, the expense intangible or and impact items impact $XX costs. these of the of declined of million X.X% independence sequentially Excluding X.X% excluding noninterest TIH adjusted
cost The decrease partially as was expenses in resulting XXXX. of reflect personnel essentially a reductions expenses. performance headcount due like-quarter compensation on offset outside in program, well expense Adjusted adjusted execution flat the as by and basis. improvements our with processing savings were were incentive our to higher in expense noninterest lower These to professional lower driven
with September. we As we've pleased progress initiative announced the savings we that cost in on Bill that the are mentioned, made
in avoid to or million eliminate The was Our X%. XX- of flat of our expense to a underway period, a lines. a savings X% down reduction growth in are We've plan from expenses the to first elimination help the of and the with spans and force, our would of the December certain us original functions assessment which of XX here. manage made approximately June XX-month company-wide largest driven over restructuring final in of XX, in category set FTEs to redundant goal progress up reductions was of by layers targeted quarter. business management, significant to $XXX XXXX
driven opportunities second The category rightsizing staffing. be Examples included go-to-market our highlighted CRE, simplifying and savings reimagining that we and our simplification. network include programs by organizational strategy benefits branch cost related in our will
part size the branch during of reducing of the half nearly efforts, of we by XXXX. X% anticipate our first As these footprint
In rationalized, this addition have we XX% related reexamined initiative investment goal. delayed We $XXX to million of our we be of to technology process, or start lowering headcount million spend. costs $XXX simplifying our approximately areas. our number restructuring primarily organization, in the also rescoped of projects noncore or initial and a to Through estimated this
in program, incurred We bulk expect recognize first have reductions facilities-related remaining we the around mostly the charges far, to the of million driven in decisions. by in costs would So of related to the force $XXX quarter. the
here will It's we confident is clear feel to continue the up and to we we X% done, achieve target that manage work assertively for But our XXXX. to flat that costs. never state expense
Okay.
XX. asset Moving on on to quality Slide
of Nonperforming XX-day Asset an linked-quarter, quality our the is due data basis to X% X.X% appendix while XX and increased C&I increase our on XX- in loans. early-stage represents to Included manageable. to continued fourth in portfolio, delinquencies in past loans. overall, metrics due but office total an quarter points which declined sequentially updated remain normalize loans consumer
that pleased linked-quarter, decreased on classified modestly and We we XX portfolio from increased X.X% while loans at to September reserve nonperforming at this X.X% criticized are office and the year-end.
ratio our increases quarter increased C&I consumer, to portfolios, charge-off lending quarter, points. by basis the in lower partially and the increase net our offset losses. in net for CRE points XX The basis other indirect reflects charge-offs X auto During
charge-offs net build We expense reserves million. continue to as exceeded provision by $XXX
select we've areas, ratio basis X.XX%, through-the-cycle high-quality, tightened ALLL credit risk to in our sequentially increased points maintain approach long-term quarter, Our normalization greater our Consistent with our though appetite clients. basis and economic XX to year-over-year, up ongoing last and -- points uncertainty. X we commentary due remain for supportive
the by Slide CETX XX. this through to management capital RWA capital XX of of a quarter's generation, basis organic points offset and well assessment. October quarter requirement CETX XX.X%, now in combination X.X% disciplined of capitalized X. the With Truist to added became capital our on partially ratio benefit, Turning tax relative a fourth of that special Truist FDIC on effective regulatory minimum remains
and the term. to repurchase near do We not plans shares capital building to over remain committed have
open We continue our disciplined management strategy to less though to been clients. have core balance clear RWA be to our certain allocate as sheet with businesses, that remains we capital we
the quarterly priorities Our of needs capital dividend. well are supporting core $X.XX as financial of per new primary existing clients share as the and payment our
a is ownership to to basis provides estimate continue In distinctive points of with options strategic Truist's our to evaluate capital that XXX flexibility, than flexibility We and XX% residual we additional respect advantage. Holdings Insurance addition, greater believe continue with that stake we our TIH. capital Truist
the table at our an analysis The year-end. slide AOCI center the in updated provides of of
the $X.X of During is decline in quarter essentially at which curve, or quarter from the to fourth due AOCI flows end $X.X quarter, the by the throughout or improved when $XX.X compared that static Based to to billion, we in the long-term billion AOCI decline XXXX. $X XXXX by pension during to approximately billion billion today's to the XXXX level attributable securities will billion $XX.X to fourth component would to flat interest the related to AOCI end the finished billion remain $XX.X attributable billion our on expect declined by XX%. rates to $X.X securities and plan XXXX. year-end component cash of from from of estimated a forward of
We rules. phase-in build meet ability our capital proposed continue assessment to capital under of and proposed the the based feel requirements on our confident to the periods in
now the risk-weighted our have impact a a to expect refined increase estimate We previous estimate and risk-weighted mid-single-digit increase. under assets single-digit in to compared of for our high Basel III assets
through during it to long-term the level a and Finally, approximately We at proposed binding $XX we the is normal debt as constraint at both rules that and requirement level remain for bank we relates requirement, that to shortfall debt phase-in the confident billion. that will the period. able Truist's bank company meet the is the the estimate proposed issuance be holding
long-term plan, issued As part we of our regular the during way fourth funding XXXX. quarter of $X.XX of billion debt
turn to our XX now review Page I'll updated guidance. right. All to
quarter, or into revenue likely Net Looking GAAP interest balance expect the to is sheet the XXXX, on less first X% X% to decline of XXXX first primarily is some we interest be quarter by more quarter experienced X% and in XQ $X.X by the smaller driven we net X billion. revenues to down remain in income our due than fourth of margin day, flat a rate pressure paid. from to which
income, other and banking partially fee insurance trading and income. linked-quarter expect income by in investment lending-related offset due We higher to improvement noninterest and lower
due by normal to to seasonal related of incentive expenses billion increase expected $X.X to higher and X% payroll are increases taxes accruals. Adjusted
full revenues to For X%. XXXX, X% by year we the decrease expect to
sheet rate to balance be positioned line relatively long-term and is continues as our interest neutral, Our in which goal. with sensitivity
coming reductions forecast that of stable, assumes with and the in the first X first interest Our troughs reduction funds XXXX. net income relatively Fed XXXX the rate, then in remains in assuming half May
high assume and single-digit benefit trading addition, rate, to a while recovery in that In insurance markets. from grow should banking we continues capital at investment
includes independence to year over increase anticipate TIH seasonal X% billion, expected expenses Although or the expenses XXXX costs. of still are flat adjusted expenses $XX remain full quarter in XXXX readiness due which rising adjusted X% we to first to adjusted factors,
guidance $XX up independence readiness XXXX also to costs. flat TIH of X% of Our expense million includes
strategy of proactive asset points, portfolios. a loss consumer declining In denominator terms our expect quality, our about and across of of a risk XX higher to basis loan wholesale and normalization reflecting balances be we from portfolios, resolving net rates charge-offs loan in lower continued
effective a taxable XX% basis. approximate Finally, rate our tax XX% to or we on expect equivalent
turn for some it back final I'll now remarks. to Bill
