The Company’s securitization activities include securitizing loans originated for sale into government-issued or guaranteed mortgage-backed securities. Additionally, M&T Bank and its subsidiaries have issued asset-backed notes secured by either equipment finance loans and leases or by automobile loans. Those loans and leases were sold into special purpose trusts which in turn issued asset-backed notes to investors. The loans and leases continue to be serviced by the Company. The senior-most notes in those securitizations were purchased by third parties whereas the residual interests of the trusts were retained by the Company. As a result of the retention of the residual interests and its continued role as servicer of the loans and leases, the Company is considered to be the primary beneficiary of the securitization trusts and, accordingly, the trusts have been included in the Company's consolidated financial statements. Assets held in each special purpose trust may only be used to settle the respective obligations of the asset-backed notes issued by that trust and the holders of the asset-backed notes have no recourse to the Company. The outstanding balances of those asset-backed notes issued to third party investors are included in Long-term borrowings in the Company's Consolidated Balance Sheet. Information about the asset-backed notes issued to investors and the respective special purpose trust at June 30, 2025 and December 31, 2024 are included in the following table.


(Dollars in millions)		June 30, 2025							December 31, 2024
Issue Date	Collateral Type	Remaining Loan Collateral Balance		Asset-Backed Notes to Investors		Weighted-Average Life	Weighted-Average Rate		Remaining Loan Collateral Balance		Asset-Backed Notes to Investors
August 2023	Equipment finance loans and leases	$	324	$	214	0.8	5.74	%	$	416	$	297
March 2024	Automobile loans	314		302		1.3	5.28		383		371
August 2024	Equipment finance loans and leases	588		478		1.3	4.88		691		561
February 2025	Automobile loans	641		627		1.7	4.76		—		—
May 2025	Equipment finance loans and leases	636		520		2.0	4.74		—		—
				$	2,141						$	1,229

M&T has issued Junior Subordinated Debentures payable to various trusts that have issued Preferred Capital Securities and Common Securities. M&T owns the Common Securities of those trust entities. The Company is not considered to be the primary beneficiary of those entities and, accordingly, the trusts are not included in the Company’s consolidated financial statements. At each of June 30, 2025 and December 31, 2024, the Company included the Junior Subordinated Debentures as Long-term borrowings in the Company's Consolidated Balance Sheet and included $16 million and $17 million, respectively, in Accrued interest and other assets for its “investment” in the Common Securities of the trusts that will be concomitantly repaid to M&T by the respective trust from the proceeds of M&T’s repayment of the Junior Subordinated Debentures associated with the Preferred Capital Securities.

The Company has invested as a limited partner in various partnerships that collectively had total assets of approximately $10.7 billion and $10.5 billion at June 30, 2025 and December 31, 2024, respectively. Those partnerships generally construct or acquire properties, including properties and facilities that produce renewable energy, for which the investing partners are eligible to receive certain federal income tax credits in accordance with government guidelines. Such investments may also provide tax deductible losses to the partners. The partnership investments also assist the Company in achieving its community reinvestment initiatives. The Company, in its position as a limited partner, does not direct the activities that most significantly impact the economic performance of the partnerships and, therefore, the partnership entities are not included in the Company's consolidated financial statements. The Company’s investments in qualified affordable housing projects are accounted for using the proportional amortization method whereby those investments are amortized to Income taxes in the Company's Consolidated Statement of Income as tax credits and other tax benefits resulting from deductible losses associated with the projects are received. The Company has elected to apply the proportional amortization method to eligible renewable energy and certain other tax credit investments in addition to the low income housing tax credit investments for which the proportional amortization method had previously been applied. Information on the


(Dollars in millions)	June 30, 2025		December 31, 2024
Affordable housing projects:
Carrying amount (a)	$	1,527	$	1,384
Amount of future funding commitments included in carrying amount (b)	596		467
Contingent commitments	83		69
Renewable energy:
Carrying amount (a)	104		135
Amount of future funding commitments included in carrying amount (b)	101		46
Other:
Carrying amount (a)	35		37
Amount of future funding commitments included in carrying amount	—		—

__________________________________________________________________________________

The reduction to income tax expense recognized from the Company's investments in partnerships accounted for using the proportional amortization method was $10 million (net of $45 million of investment amortization) and $8 million (net of $45 million of investment amortization) for the three months ended June 30, 2025 and 2024, respectively, and $20 million (net of $89 million of investment amortization) and $15 million (net of $88 million of investment amortization) for the six months ended June 30, 2025 and 2024, respectively. The net reduction to income tax expense has been reported in Net change in other accrued income and expense in the Company's Consolidated Statement of Cash Flows. While the Company has elected to apply the proportional amortization method for renewable energy credit investments, at June 30, 2025 no such investments met the eligibility criteria for application of that method. The reduction to income tax expense recognized from renewable energy credit investments was $6 million and $12 million for the three-month and six-month periods ended June 30, 2025, respectively, and $9 million and $20 million for the three-month and six-month periods ended June 30, 2024, respectively. As a limited partner, there is no recourse to the Company by creditors of the partnerships. However, the tax credits that result from the Company’s investments in such partnerships are generally subject to recapture should a partnership fail to comply with the respective government regulations. The Company has not provided financial or other support to the partnerships that was not contractually required. Although the Company currently estimates that no material losses are probable, its maximum exposure to loss from its investments in such partnerships as of June 30, 2025 was $2.1 billion, including possible recapture of certain tax credits.