For additional information on our EPS calculation methodologies, refer to pages 170 to 171 in Note 23 to the consolidated financial statements included under Item 8, Financial Statements and Supplementary Data, in our 2024 Form 10-K.


	Three Months Ended June 30,				Six Months Ended June 30,
(Dollars in millions, except per share amounts)	2025		2024		2025		2024
Net income	$	693	$	711	$	1,337	$	1,174
Less:
Preferred stock dividends	(63)		(55)		(109)		(100)
Dividends and undistributed earnings allocated to participating securities(1)	—		(1)		(1)		(1)
Net income available to common shareholders	$	630	$	655	$	1,227	$	1,073
Average common shares outstanding (In thousands):
Basic average common shares	286,281		300,564		287,415		301,278
Effect of dilutive securities: equity-based awards	4,209		4,201		4,181		4,076
Diluted average common shares	290,490		304,765		291,596		305,354
Anti-dilutive securities(2)	—		948		—		1,151
Earnings per common share:
Basic	$	2.20	$	2.18	$	4.27	$	3.56
Diluted(3)	2.17		2.15		4.21		3.52

(1) Represents the portion of net income available to common equity allocated to participating securities, composed of unvested and fully vested SERP shares and fully vested deferred director stock awards, which are equity-based awards that contain non-forfeitable rights to dividends, and are considered to participate with the common stock in undistributed earnings.

(2) Represents equity-based awards outstanding, but not included in the computation of diluted average common shares because their effect was anti-dilutive. Additional information about equity-based awards is provided on pages 165 to 167 in Note 18 to the consolidated financial statements included under Item 8, Financial Statements and Supplementary Data, in our 2024 Form 10-K.

(3) Calculations reflect allocation of earnings to participating securities using the two-class method, as this computation is more dilutive than the treasury stock method.