Quarterly report pursuant to Section 13 or 15(d)

Accumulated Other Comprehensive Income (Loss) (Tables)

v3.10.0.1
Accumulated Other Comprehensive Income (Loss) (Tables)
 9 Months Ended
Sep. 30, 2018
Equity [Abstract]  
Schedule of Accumulated OCI
The table below presents the changes in accumulated OCI after-tax for the nine months ended September 30, 2018 and 2017.
 
 
 
 
 
 
 
 
 
 
 
 
(Dollars in millions)
Debt and
Equity Securities
 
Debit Valuation Adjustments
 
Derivatives
 
Employee
Benefit Plans
 
Foreign
Currency
 
Total
Balance, December 31, 2016
$
(1,267
)
 
$
(767
)
 
$
(895
)
 
$
(3,480
)
 
$
(879
)
 
$
(7,288
)
Net change
931

 
(149
)
 
156

 
80

 
102

 
1,120

Balance, September 30, 2017
$
(336
)
 
$
(916
)
 
$
(739
)
 
$
(3,400
)
 
$
(777
)
 
$
(6,168
)
 
 
 
 
 
 
 
 
 
 
 
 
Balance, December 31, 2017
$
(1,206
)
 
$
(1,060
)
 
$
(831
)
 
$
(3,192
)
 
$
(793
)
 
$
(7,082
)
Accounting change related to certain tax effects (1)
(393
)
 
(220
)
 
(189
)
 
(707
)
 
239

 
(1,270
)
Cumulative adjustment for hedge accounting change (2)
—

 
—

 
57

 
—

 
—

 
57

Net change
(6,166
)
 
183

 
(346
)
 
91

 
(303
)
 
(6,541
)
Balance, September 30, 2018
$
(7,765
)
 
$
(1,097
)
 
$
(1,309
)
 
$
(3,808
)
 
$
(857
)
 
$
(14,836
)
Schedule of Amounts Recognized in Other Comprehensive Income (Loss)
The table below presents the net change in fair value recorded in accumulated OCI, net realized gains and losses reclassified into earnings and other changes for each component of OCI pre- and after-tax for the nine months ended September 30, 2018 and 2017.
 
 
 
 
 
 
 
 
 
 
 
 
Changes in OCI Components Pre- and After-tax
 
 
 
 
 
 
 
 
 
 
 
Pretax
 
Tax
effect
 
After-
tax
 
Pretax
 
Tax
effect
 
After-
tax
 
Nine Months Ended September 30
(Dollars in millions)
2018
 
2017
Debt and equity securities:
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
$
(8,198
)
 
$
2,075

 
$
(6,123
)
 
$
1,802

 
$
(674
)
 
$
1,128

Net realized (gains) reclassified into earnings (3)
(55
)
 
12

 
(43
)
 
(312
)
 
115

 
(197
)
Net change
(8,253
)
 
2,087

 
(6,166
)
 
1,490

 
(559
)
 
931

Debit valuation adjustments:
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
220

 
(52
)
 
168

 
(255
)
 
96

 
(159
)
Net realized losses reclassified into earnings (3)
20

 
(5
)
 
15

 
30

 
(20
)
 
10

Net change
240

 
(57
)
 
183

 
(225
)
 
76

 
(149
)
Derivatives:
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
(601
)
 
174

 
(427
)
 
79

 
(30
)
 
49

Reclassifications into earnings:
 
 
 
 
 
 
 
 
 
 
 
Net interest income
134

 
(33
)
 
101

 
274

 
(103
)
 
171

Personnel expense
(27
)
 
7

 
(20
)
 
(103
)
 
39

 
(64
)
Net realized losses reclassified into earnings
107

 
(26
)
 
81

 
171

 
(64
)
 
107

Net change
(494
)
 
148

 
(346
)
 
250

 
(94
)
 
156

Employee benefit plans:
 
 
 
 
 
 
 
 
 
 
 
Reclassifications into earnings:
 
 
 
 
 
 
 
 
 
 
 
Net actuarial losses and other
119

 
(28
)
 
91

 
128

 
(48
)
 
80

Net realized losses reclassified into earnings (4)
119

 
(28
)
 
91

 
128

 
(48
)
 
80

Net change
119

 
(28
)
 
91

 
128

 
(48
)
 
80

Foreign currency:
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
(87
)
 
(165
)
 
(252
)
 
(454
)
 
462

 
8

Net realized (gains) losses reclassified into earnings (3)
(143
)
 
92

 
(51
)
 
(608
)
 
702

 
94

Net change
(230
)
 
(73
)
 
(303
)
 
(1,062
)
 
1,164

 
102

Total other comprehensive income (loss)
$
(8,618
)
 
$
2,077

 
$
(6,541
)
 
$
581

 
$
539

 
$
1,120

(1) 
Effective January 1, 2018, the Corporation adopted the accounting standard on tax effects in accumulated OCI related to the Tax Act. Accordingly, certain tax effects were reclassified from accumulated OCI to retained earnings. For additional information, see Note 1 – Summary of Significant Accounting Principles.
(2) 
Reflects the Corporation’s adoption of the hedge accounting standard. For additional information, see Note 1 – Summary of Significant Accounting Principles.
(3) 
Reclassifications of pretax debt and equity securities, DVA and foreign currency (gains) losses are recorded in other income in the Consolidated Statement of Income.
(4) 
Reclassifications of pretax employee benefit plan costs are recorded in other general operating expense in the Consolidated Statement of Income.