Variable Interest Entities

3 Months Ended

Mar. 31, 2026

Disclosure Variable Interest Entities Schedule Of Equity Method Investments [Abstract]

NOTE 2. VARIABLE INTEREST ENTITIES

Regions is involved in various entities that are considered to be VIEs, as defined by authoritative accounting literature. Generally, a VIE is a corporation, partnership, trust or other legal structure that either does not have equity investors with substantive voting rights or has equity investors that do not provide sufficient financial resources for the entity to support its activities. The following discusses the VIEs in which Regions has a significant interest.

Regions periodically invests in various limited partnerships that sponsor affordable housing projects and economic development projects, which then provide tax credits to Regions. These investments are funded through a combination of debt and equity. These partnerships meet the definition of a VIE and are collectively referred to as tax credit investments in the table below. Due to the nature of the management activities of the general partner, Regions is not the primary beneficiary of these partnerships. Refer to Note 1 "Summary of Significant Accounting Policies" in the Annual Report on Form 10-K for the year ended December 31, 2025 for additional details. Additionally, Regions has loans or letters of credit commitments with certain limited partnerships. The funded portion of the loans and letters of credit are classified as commercial and industrial loans or investor real estate loans as applicable in Note 4 .

A summary of Regions’ tax credit investments and related loans and letters of credit, representing Regions’ maximum exposure to loss, is as follows:


	March 31, 2026		December 31, 2025
	(In millions)
Tax credit investments included in other assets	$	1,677	$	1,608
Unfunded tax credit commitments included in other liabilities	635		567
Loans and letters of credit commitments	756		643
Funded portion of loans and letters of credit commitments	427		328


	Three Months Ended March 31
	2026		2025
	(In millions)
Tax credits and other tax benefits recognized (1)	$	62	$	54
Tax credit amortization expense included in income tax expense (1)	51		47

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(1) Included within income tax expense on the consolidated statements of income and within operating activities on the consolidated statements of cash flows.