v3.26.1
Allowance for Credit Losses (Tables)
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Economic forecast Model Variables
The Bank opted to use Moody's Analytics' February 2026 consensus economic forecast for estimating the ACL as of March 31, 2026. The forecast used to calculate the ACL as of March 31, 2026 is projecting higher GDP growth, higher unemployment rates, and average federal funds rates trending lower. This is compared to the December 31, 2025 ACL calculation, which used Moody’s Analytics’ November 2025 consensus economic forecast to forecast the variables used in the models.

In the consensus scenario, the probability that the economy will perform better than this consensus is equal to the probability that it will perform worse and includes the following variables:
2026202720282029
U.S. real GDP average annualized growth2.8 %2.0 %2.0 %2.0 %
U.S. unemployment rate average4.5 %4.3 %4.2 %4.1 %
Forecasted average federal funds rate3.4 %3.2 %3.3 %3.2 %

The Bank uses an additional scenario with the same economic variables, but with varying severity, to assess ACL sensitivity and inform qualitative adjustments. For this analysis, the Bank selected Moody's Analytics' February 2026 S2 scenario (the "S2 Scenario"), which predicts a 75% probability of better economic performance and a 25% probability of worse performance. The S2 Scenario includes the following variables:
2026202720282029
U.S. real GDP average annualized growth1.6 %0.5 %2.4 %2.5 %
U.S. unemployment rate average5.9 %6.6 %4.6 %4.5 %
Forecasted average federal funds rate3.1 %2.2 %2.2 %3.1 %
Activity In The Non-Covered Allowance For Loan And Lease Losses
The following tables summarize activity related to the ACL by portfolio segment for the periods indicated:
Three Months Ended March 31, 2026
(in millions)Commercial Real EstateCommercialResidentialConsumer & OtherTotal
Allowance for credit losses on loans and leases
Balance, beginning of period$198 $226 $34 $8 $466 
Provision (recapture) for credit losses on loans and leases
14 17 (1)(2)28 
Charge-offs— (39)— (1)(40)
Recoveries— 4 — 1 5 
Net charge-offs— (35)— — (35)
Balance, end of period$212 $208 $33 $6 $459 
Reserve for unfunded commitments
Balance, beginning of period$10 $7 $1 $1 $19 
Provision (recapture) for credit losses on unfunded commitments1 (1)— — — 
Balance, end of period11 6 1 1 19 
Total allowance for credit losses$223 $214 $34 $7 $478 

Three Months Ended March 31, 2025
(in millions)Commercial Real EstateCommercialResidentialConsumer & OtherTotal
Allowance for credit losses on loans and leases
Balance, beginning of period$154 $219 $45 $7 $425 
Provision (recapture) for credit losses on loans and leases
14 24 (12)— 26 
Charge-offs— (33)(1)(1)(35)
Recoveries— 4 — 1 5 
Net charge-offs— (29)(1)— (30)
Balance, end of period$168 $214 $32 $7 $421 
Reserve for unfunded commitments
Balance, beginning of period$6 $7 $2 $1 $16 
Provision (recapture) for credit losses on unfunded commitments2 — (1)— 1 
Balance, end of period8 7 1 1 17 
Total allowance for credit losses$176 $221 $33 $8 $438 
Loans and Leases Past Due and Non-Accrual Loans and Leases
The following tables present the carrying value of the loans and leases past due, by loan and lease class, as of the dates presented:
March 31, 2026
(in millions)Greater than 30 to 59 Days Past Due60 to 89 Days Past Due
 90 Days or More and Accruing (2)
Total Past Due
Non-Accrual (2)
Current and OtherTotal Loans and Leases
Commercial real estate
Non-owner occupied term$9 $3 $— $12 $40 $8,061 $8,113 
Owner occupied term5 12 3 20 51 7,187 7,258 
Multifamily5 6 — 11 — 10,162 10,173 
Construction & development38 — — 38 — 1,632 1,670 
Residential development— — — — — 373 373 
Commercial
Term5 6 1 12 30 6,845 6,887 
Lines of credit & other8 2 1 11 47 3,746 3,804 
Leases & equipment finance22 11 — 33 19 1,567 1,619 
Residential
Mortgage (1)
14 9 63 86 — 5,397 5,483 
Home equity loans & lines7 3 10 20 — 2,127 2,147 
Consumer & other3 — — 3 — 167 170 
Total, net of deferred fees and costs$116 $52 $78 $246 $187 $47,264 $47,697 
(1) Includes government guaranteed mortgage loans that the Bank has the right but not the obligation to repurchase that are past due 90 days or more, totaling $4 million at March 31, 2026.
(2) Includes government guaranteed portion of $48 million and $40 million for 90 days or more and non-accrual loans, respectively.
December 31, 2025
(in millions)
Greater than 30 to 59 Days Past Due60 to 89 Days Past Due
90 Days or More and Accruing (2)
Total Past Due
Non-Accrual (2)
Current and OtherTotal Loans and Leases
Commercial real estate
Non-owner occupied term$2 $— $— $2 $29 $8,175 $8,206 
Owner occupied term6 5 1 12 21 7,281 7,314 
Multifamily— 1 1 2 — 10,279 10,281 
Construction & development— — — — — 1,707 1,707 
Residential development— — — — — 362 362 
Commercial
Term2 7 2 11 25 6,677 6,713 
Lines of credit & other4 3 1 8 22 3,613 3,643 
Leases & equipment finance17 18 5 40 19 1,540 1,599 
Residential
Mortgage (1)
— 16 66 82 — 5,542 5,624 
Home equity loans & lines8 5 9 22 — 2,127 2,149 
Consumer & other— — — — — 178 178 
Total, net of deferred fees and costs$39 $55 $85 $179 $116 $47,481 $47,776 
(1) Includes government guaranteed mortgage loans the Bank has the right but not the obligation to repurchase that are past due 90 days or more, totaling $3 million at December 31, 2025.
(2) Includes government guaranteed portion of $41 million and $38 million for 90 days or more and non-accrual loans, respectively.
Collateral Dependent Loans and Leases The following tables summarize the amortized cost basis of the collateral-dependent loans and leases by the type of collateral securing the assets as of the periods indicated:
March 31, 2026
(in millions)Residential Real EstateCommercial Real Estate General Business AssetsTotal
Commercial real estate
Non-owner occupied term$— $38 $— $38 
Owner occupied term— 46 — 46 
Commercial
Term— 3 18 21 
Lines of credit & other— 1 45 46 
Leases & equipment finance— — 19 19 
Residential
Mortgage
76 — — 76 
Home equity loans & lines2 — — 2 
Total, net of deferred fees and costs$78 $88 $82 $248 
December 31, 2025
(in millions)Residential Real EstateCommercial Real Estate General Business AssetsTotal
Commercial real estate
Non-owner occupied term$— $26 $— $26 
Owner occupied term— 17 — 17 
Multifamily— 6 — 6 
Commercial
Term— 1 16 17 
Lines of credit & other— 1 19 20 
Leases & equipment finance— — 19 19 
Residential
Mortgage
70 — — 70 
Home equity loans & lines2 — — 2 
Total, net of deferred fees and costs$72 $51 $54 $177 
Loan and Lease Modifications Made to Borrowers Experiencing Financial Difficulty
The following tables present the amortized cost basis of loans and leases that were both experiencing financial difficulty and modified during the three months ended March 31, 2026 and 2025, by class and type of modification. The percentage of the amortized cost basis of loans and leases to borrowers in financial distress that were modified as compared to the amortized cost basis of each class of financing receivable is also presented below.
Three Months Ended March 31, 2026
(in millions)Interest Rate ReductionTerm ExtensionOther -Than-Insignificant Payment Delay
Combo - Term Extension and Other-Than- Insignificant Payment Delay
Total
% of Total Class of Financing Receivable
Commercial real estate
Non-owner occupied term$14 $— $— $— $14 0.17 %
Owner occupied term— — 28 — 28 0.39 %
Construction & development— 3 — — 3 0.18 %
Commercial
Term5 1 — — 6 0.09 %
Lines of credit & other— 18 30 — 48 1.26 %
Leases & equipment finance— 1 — — 1 0.06 %
Residential
Mortgage
— — 5 3 8 0.15 %
Total modified loans and leases experiencing financial difficulty$19 $23 $63 $3 $108 0.23 %
Three Months Ended March 31, 2025
(in millions)Interest Rate ReductionTerm ExtensionOther -Than-Insignificant Payment Delay
Combo - Term Extension and Other-Than-Insignificant Payment Delay
Total
% of Total Class of Financing Receivable
Commercial real estate
Owner occupied term$— $1 $1 $— $2 0.03 %
Commercial
Term— — 12 — 12 0.22 %
Lines of credit & other11 17 3 — 31 1.12 %
Leases & equipment finance— 1 — — 1 0.06 %
Residential
Mortgage
— — 7 1 8 0.14 %
Total modified loans and leases experiencing financial difficulty$11 $19 $23 $1 $54 0.14 %

The following tables present the financial effect of loan modifications made to borrowers experiencing financial difficulty during the periods presented:
Three Months Ended March 31, 2026
Interest Rate ModificationTerm ExtensionOther-Than-Insignificant Payment Delay
(in millions)
Weighted-Average Interest Rate ReductionWeighted-Average Term ExtensionDeferral Amount
Commercial real estate
Non-owner occupied term6.41 %— — 
Owner occupied term— — $28 
Construction & development— 7 months— 
Commercial
Term4.45 %6 months— 
Lines of credit & other— 7 months$30 
Leases & equipment finance— 11 months— 
Residential
Mortgage
— 12.6 years— 
Three Months Ended March 31, 2025
Interest Rate ModificationTerm ExtensionOther-Than-Insignificant Payment Delay
(in millions)
Weighted-Average Interest Rate ReductionWeighted-Average Term ExtensionDeferral Amount
Commercial real estate
Owner occupied term— 6 months$1 
Commercial
Term0.50 %— — 
Lines of credit & other0.26 %1.0 year$3 
Leases & equipment finance— 1.1 years— 
Residential
Mortgage
0.50 %7.1 years$1 

The Company closely monitors the performance of loans and leases to borrowers experiencing financial difficulty that are modified to understand the effectiveness of its modification efforts. Loans and leases are considered to be in payment default at 90 or more days past due. The following tables present the amortized cost basis of modified loans that, within twelve months of the modification date, experienced a subsequent default during the periods presented:
Three Months Ended March 31, 2026
(in millions)Term ExtensionOther-Than-Insignificant Payment DelayCombo - Term Extension and Other-than-Insignificant Payment DelayTotal
Commercial real estate
Owner occupied term$2 $— $— $2 
Commercial
Lines of credit & other3 — — 3 
Residential
Mortgage
— 6 1 7 
Total loans and leases experiencing financial difficulty with a subsequent default$5 $6 $1 $12 

Three Months Ended March 31, 2025
(in millions)Term ExtensionOther-Than-Insignificant Payment DelayTotal
Commercial real estate
Owner occupied term$— $1 $1 
Commercial
Lines of credit & other2 1 3 
Total loans and leases experiencing financial difficulty with a subsequent default$2 $2 $4 
The following tables present an age analysis of loans and leases as of March 31, 2026 and 2025 that have been modified within the prior twelve months:
 March 31, 2026
(in millions)CurrentGreater than 30 to 59 Days Past Due60 to 89 Days Past Due90 Days or Greater Past DueNonaccrualTotal
Commercial real estate
Non-owner occupied term$21 $— $— $— $14 $35 
Owner occupied term6 — — — 29 35 
Construction & development3 38 — — — 41 
Commercial
Term35 1 — — 1 37 
Lines of credit & other25 3 — — 33 61 
Leases & equipment finance1 1 — — — 2 
Residential
Mortgage
19 1 2 7 — 29 
Total loans and leases modified$110 $44 $2 $7 $77 $240 

 March 31, 2025
(in millions)CurrentGreater than 30 to 59 Days Past Due60 to 89 Days Past Due90 Days or Greater Past DueNonaccrualTotal
Commercial real estate
Owner occupied term$2 $— $— $— $3 $5 
Construction & development2 — — — — 2 
Commercial
Term16 — 1 — 5 22 
Lines of credit & other36 2 3 — 5 46 
Leases & equipment finance2 1 — — — 3 
Residential
Mortgage
22 1 1 4 — 28 
Total loans and leases modified
$80 $4 $5 $4 $13 $106 
Internal Risk Rating By Loan Class
The following tables present the amortized cost basis of the loans and leases by credit classification and vintage year by loan and lease class of financing receivable, as well as gross charge-offs for the dates presented:
(in millions)Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving to Non-Revolving Loans Amortized Cost
March 31, 202620262025202420232022PriorTotal
Commercial real estate:
Non-owner occupied term
Credit quality indicator:
Pass/Watch$61 $813 $273 $513 $1,738 $4,486 $40 $— $7,924 
Special mention— 8 6 — 9 60 — — 83 
Substandard26 23 — — 4 51 — — 104 
Doubtful— — — — — 1 — — 1 
Loss— — — — — 1 — — 1 
Total non-owner occupied term$87 $844 $279 $513 $1,751 $4,599 $40 $— $8,113 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Owner occupied term
Credit quality indicator:
Pass/Watch$160 $915 $511 $544 $1,341 $3,463 $27 $1 $6,962 
Special mention— 12 27 6 44 42 — — 131 
Substandard— 32 5 2 13 105 — — 157 
Doubtful— — 3 — 3 — — — 6 
Loss— — — — — 2 — — 2 
Total owner occupied term$160 $959 $546 $552 $1,401 $3,612 $27 $1 $7,258 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Multifamily
Credit quality indicator:
Pass/Watch$81 $437 $350 $378 $2,791 $5,957 $121 $— $10,115 
Special mention— — — 16 3 27 — — 46 
Substandard— — — — 9 3 — — 12 
Total multifamily$81 $437 $350 $394 $2,803 $5,987 $121 $— $10,173 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Construction & development
Credit quality indicator:
Pass/Watch$18 $423 $369 $396 $238 $112 $13 $— $1,569 
Special mention— 9 — — 8 — 11 — 28 
Substandard35 38 — — — — — — 73 
Total construction & development$53 $470 $369 $396 $246 $112 $24 $— $1,670 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Residential development
Credit quality indicator:
Pass/Watch$23 $100 $57 $2 $7 $— $183 $1 $373 
Total residential development$23 $100 $57 $2 $7 $— $183 $1 $373 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Total commercial real estate$404 $2,810 $1,601 $1,857 $6,208 $14,310 $395 $2 $27,587 
(in millions)Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving to Non-Revolving Loans Amortized Cost
March 31, 202620262025202420232022PriorTotal
Commercial:
Term
Credit quality indicator:
Pass/Watch$536 $1,197 $932 $365 $758 $1,526 $1,368 $1 $6,683 
Special mention— 1 21 48 24 24 — — 118 
Substandard10 24 18 4 8 7 3 1 75 
Doubtful— — — — 4 3 — — 7 
Loss— — — — — 4 — — 4 
Total term$546 $1,222 $971 $417 $794 $1,564 $1,371 $2 $6,887 
Current YTD period:
Gross charge-offs$— $2 $— $— $2 $— $— $— $4 
Lines of credit & other
Credit quality indicator:
Pass/Watch$36 $97 $68 $39 $77 $46 $3,213 $12 $3,588 
Special mention— 1 1 — — — 63 14 79 
Substandard— 7 11 1 17 1 96 2 135 
Loss— — 1 — — — 1 — 2 
Total lines of credit & other$36 $105 $81 $40 $94 $47 $3,373 $28 $3,804 
Current YTD period:
Gross charge-offs$— $— $4 $— $— $— $12 $1 $17 
Leases & equipment finance
Credit quality indicator:
Pass/Watch$196 $530 $359 $234 $133 $53 $— $— $1,505 
Special mention— 6 17 9 4 1 — — 37 
Substandard1 5 5 29 6 1 — — 47 
Doubtful— 6 9 7 5 1 — — 28 
Loss— 1 1 — — — — — 2 
Total leases & equipment finance$197 $548 $391 $279 $148 $56 $— $— $1,619 
Current YTD period:
Gross charge-offs$— $3 $6 $5 $3 $1 $— $— $18 
Total commercial$779 $1,875 $1,443 $736 $1,036 $1,667 $4,744 $30 $12,310 
Residential:
Mortgage
Credit quality indicator:
Pass/Watch$65 $221 $213 $169 $1,590 $3,141 $— $— $5,399 
Special mention— 4 1 1 7 11 — — 24 
Substandard— — — 1 4 8 — — 13 
Loss— 10 6 4 6 21 — — 47 
Total mortgage$65 $235 $220 $175 $1,607 $3,181 $— $— $5,483 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
(in millions)Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving to Non-Revolving Loans Amortized Cost
March 31, 202620262025202420232022PriorTotal
Home equity loans & lines
Credit quality indicator:
Pass/Watch$— $— $2 $7 $11 $72 $2,026 $9 $2,127 
Special mention— — — — 1 2 7 1 11 
Substandard— — — — — — 3 — 3 
Loss— — 2 — 1 1 1 1 6 
Total home equity loans & lines$— $— $4 $7 $13 $75 $2,037 $11 $2,147 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Total residential$65 $235 $224 $182 $1,620 $3,256 $2,037 $11 $7,630 
Consumer & other:
Credit quality indicator:
Pass/Watch$14 $7 $6 $8 $5 $8 $119 $2 $169 
Special mention— — — — — — 1 — 1 
Total consumer & other$14 $7 $6 $8 $5 $8 $120 $2 $170 
Current YTD period:
Gross charge-offs$— $— $— $— $— $— $1 $— $1 
Grand total$1,262 $4,927 $3,274 $2,783 $8,869 $19,241 $7,296 $45 $47,697 
(in millions)Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving to Non-Revolving Loans Amortized Cost
December 31, 202520252024202320222021PriorTotal
Commercial real estate:
Non-owner occupied term
Credit quality indicator:
Pass/Watch$815 $280 $506 $1,694 $1,603 $3,033 $35 $13 $7,979 
Special mention2 6 — 10 20 71 — — 109 
Substandard27 — — 22 12 55 — — 116 
Loss— — — — 1 1 — — 2 
Total non-owner occupied term$844 $286 $506 $1,726 $1,636 $3,160 $35 $13 $8,206 
Prior Year End period:
Gross charge-offs$— $— $1 $— $— $9 $— $— $10 
Owner occupied term
Credit quality indicator:
Pass/Watch$921 $510 $466 $1,326 $1,325 $2,363 $24 $51 $6,986 
Special mention20 32 6 55 22 41 — — 176 
Substandard4 29 2 12 41 46 — 9 143 
Doubtful— 3 — 3 — — — — 6 
Loss— — — — 1 2 — — 3 
Total owner occupied term$945 $574 $474 $1,396 $1,389 $2,452 $24 $60 $7,314 
Prior Year End period:
Gross charge-offs$— $— $— $1 $— $— $— $— $1 
Multifamily
Credit quality indicator:
Pass/Watch$455 $348 $367 $2,787 $3,195 $2,958 $118 $— $10,228 
Special mention— — 14 9 — 22 — — 45 
Substandard— — — 3 2 3 — — 8 
Total multifamily$455 $348 $381 $2,799 $3,197 $2,983 $118 $— $10,281 
Prior Year End period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Construction & development
Credit quality indicator:
Pass/Watch$345 $407 $391 $241 $98 $92 $28 $2 $1,604 
Special mention12 12 32 1 — — — 8 65 
Substandard38 — — — — — — — 38 
Total construction & development$395 $419 $423 $242 $98 $92 $28 $10 $1,707 
Prior Year End period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Residential development
Credit quality indicator:
Pass/Watch$99 $57 $2 $8 $— $— $194 $2 $362 
Total residential development$99 $57 $2 $8 $— $— $194 $2 $362 
Prior Year End period:
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Total commercial real estate$2,738 $1,684 $1,786 $6,171 $6,320 $8,687 $399 $85 $27,870 
(in millions)Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving to Non-Revolving Loans Amortized Cost
December 31, 202520252024202320222021PriorTotal
Commercial:
Term
Credit quality indicator:
Pass/Watch$1,571 $701 $395 $800 $763 $851 $1,328 $21 $6,430 
Special mention13 22 49 53 23 2 11 — 173 
Substandard25 12 2 43 5 4 3 2 96 
Doubtful2 — — 4 1 2 — — 9 
Loss— — — — 2 3 — — 5 
Total term$1,611 $735 $446 $900 $794 $862 $1,342 $23 $6,713 
Prior Year End period:
Gross charge-offs$— $1 $1 $1 $1 $2 $— $— $6 
Lines of credit & other
Credit quality indicator:
Pass/Watch$119 $70 $28 $42 $10 $18 $3,052 $106 $3,445 
Special mention1 — — — — — 74 5 80 
Substandard4 15 — 1 — — 80 15 115 
Doubtful— — — — — — — 1 1 
Loss— — — — — — 1 1 2 
Total lines of credit & other$124 $85 $28 $43 $10 $18 $3,207 $128 $3,643 
Prior Year End period:
Gross charge-offs$— $17 $— $1 $— $1 $8 $5 $32 
Leases & equipment finance
Credit quality indicator:
Pass/Watch$585 $399 $268 $160 $35 $34 $— $— $1,481 
Special mention3 16 8 3 1 — — — 31 
Substandard6 7 32 7 1 — — — 53 
Doubtful5 9 9 7 2 — — — 32 
Loss— 1 1 — — — — — 2 
Total leases & equipment finance$599 $432 $318 $177 $39 $34 $— $— $1,599 
Prior Year End period:
Gross charge-offs$2 $16 $22 $22 $8 $3 $— $— $73 
Total commercial$2,334 $1,252 $792 $1,120 $843 $914 $4,549 $151 $11,955 
Residential:
Mortgage
Credit quality indicator:
Pass/Watch$242 $230 $174 $1,645 $1,828 $1,425 $— $— $5,544 
Special mention3 — 2 3 3 5 — — 16 
Substandard2 2 1 5 8 8 — — 26 
Loss6 6 3 4 7 12 — — 38 
Total mortgage$253 $238 $180 $1,657 $1,846 $1,450 $— $— $5,624 
Prior Year End period:
Gross charge-offs$— $— $— $— $1 $— $— $— $1 
(in millions)Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving to Non-Revolving Loans Amortized Cost
December 31, 202520252024202320222021PriorTotal
Home equity loans & lines
Credit quality indicator:
Pass/Watch$1 $1 $2 $6 $2 $45 $2,032 $39 $2,128 
Special mention— — — — — 2 8 2 12 
Substandard— — — — — — 1 1 2 
Loss— — — 1 — 1 1 4 7 
Total home equity loans & lines$1 $1 $2 $7 $2 $48 $2,042 $46 $2,149 
Prior Year End period:
Gross charge-offs$— $— $— $1 $— $— $— $— $1 
Total residential$254 $239 $182 $1,664 $1,848 $1,498 $2,042 $46 $7,773 
Consumer & other:
Credit quality indicator:
Pass/Watch$18 $6 $10 $6 $3 $6 $128 $— $177 
Special mention— — — — — — 1 — 1 
Total consumer & other$18 $6 $10 $6 $3 $6 $129 $— $178 
Prior Year End period:
Gross charge-offs$2 $1 $— $— $— $— $2 $— $5 
Grand total$5,344 $3,181 $2,770 $8,961 $9,014 $11,105 $7,119 $282 $47,776