| Securities |
NOTE 3. DEBT SECURITIES The amortized cost basis, gross unrealized gains and losses, and estimated fair value of debt securities held to maturity and debt securities available for sale are as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | March 31, 2026 | | | | Recognized in OCI (1) | | | | Not recognized in OCI | | | | | Amortized
Cost Basis | | Gross Unrealized Gains | | Gross Unrealized Losses | | Carrying Value | | Gross
Unrealized
Gains | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | | (In millions) | | Debt securities held to maturity: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Mortgage-backed securities: | | | | | | | | | | | | | | | Residential agency | $ | 5,972 | | | $ | — | | | $ | (843) | | | $ | 5,129 | | | $ | 13 | | | $ | (68) | | | $ | 5,074 | | | Commercial agency | 305 | | | — | | | — | | | 305 | | | — | | | (5) | | | 300 | | | $ | 6,277 | | | $ | — | | | $ | (843) | | | $ | 5,434 | | | $ | 13 | | | $ | (73) | | | $ | 5,374 | | | | | | | | | | | | | | | | | Debt securities available for sale: | | | | | | | | | | | | | | | U.S. Treasury securities | $ | 2,386 | | | $ | 8 | | | $ | (49) | | | $ | 2,345 | | | | | | | $ | 2,345 | | | Federal agency securities | 541 | | | 4 | | | (8) | | | 537 | | | | | | | 537 | | | Obligations of states and political subdivisions | 1 | | | — | | | — | | | 1 | | | | | | | 1 | | | Mortgage-backed securities: | | | | | | | | | | | | | | | Residential agency | 18,172 | | | 164 | | | (702) | | | 17,634 | | | | | | | 17,634 | | | | | | | | | | | | | | | | | Commercial agency | 6,474 | | | 17 | | | (151) | | | 6,340 | | | | | | | 6,340 | | | Commercial non-agency | 90 | | | — | | | (8) | | | 82 | | | | | | | 82 | | | Corporate and other debt securities | 481 | | | 3 | | | (4) | | | 480 | | | | | | | 480 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 28,145 | | | $ | 196 | | | $ | (922) | | | $ | 27,419 | | | | | | | $ | 27,419 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | | | Recognized in OCI (1) | | | | Not recognized in OCI | | | | | Amortized
Cost Basis | | Gross Unrealized Gains | | Gross Unrealized Losses | | Carrying Value | | Gross
Unrealized
Gains | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | | (In millions) | | Debt securities held to maturity: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Mortgage-backed securities: | | | | | | | | | | | | | | | Residential agency | $ | 6,103 | | | $ | — | | | $ | (866) | | | $ | 5,237 | | | $ | 37 | | | $ | (53) | | | $ | 5,221 | | | Commercial agency | 370 | | | — | | | (1) | | | 369 | | | — | | | (6) | | | 363 | | | $ | 6,473 | | | $ | — | | | $ | (867) | | | $ | 5,606 | | | $ | 37 | | | $ | (59) | | | $ | 5,584 | | | | | | | | | | | | | | | | | Debt securities available for sale: | | | | | | | | | | | | | | | U.S. Treasury securities | $ | 2,313 | | | $ | 10 | | | $ | (47) | | | $ | 2,276 | | | | | | | $ | 2,276 | | | Federal agency securities | 544 | | | 6 | | | (7) | | | 543 | | | | | | | 543 | | | Obligations of states and political subdivisions | 2 | | | — | | | — | | | 2 | | | | | | | 2 | | | Mortgage-backed securities: | | | | | | | | | | | | | | | Residential agency | 18,820 | | | 244 | | | (677) | | | 18,387 | | | | | | | 18,387 | | | | | | | | | | | | | | | | | Commercial agency | 5,925 | | | 34 | | | (130) | | | 5,829 | | | | | | | 5,829 | | | Commercial non-agency | 91 | | | — | | | (9) | | | 82 | | | | | | | 82 | | | Corporate and other debt securities | 439 | | | 5 | | | (3) | | | 441 | | | | | | | 441 | | | $ | 28,134 | | | $ | 299 | | | $ | (873) | | | $ | 27,560 | | | | | | | $ | 27,560 | |
_________ (1)Debt securities held to maturity gross unrealized losses recognized in OCI resulted from transfers of securities available for sale. The Company utilizes interest rate swap agreements to manage interest rate exposure on certain of the Company's fixed-rate prepayable and non-prepayable debt securities available for sale. See Note 9 for additional information. Debt securities with carrying values of $21.6 billion at March 31, 2026 and $20.9 billion at December 31, 2025, respectively, were pledged to secure public funds, trust deposits and other borrowing arrangements. The amortized cost basis and estimated fair value of debt securities held to maturity and debt securities available for sale at March 31, 2026, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. | | | | | | | | | | | | | Amortized
Cost Basis | | Estimated
Fair Value | | | (In millions) | | Debt securities held to maturity: | | | | | Mortgage-backed securities: | | | | | Residential agency | $ | 5,972 | | | $ | 5,074 | | | Commercial agency | 305 | | | 300 | | | $ | 6,277 | | | $ | 5,374 | | | Debt securities available for sale: | | | | | Due in one year or less | $ | 324 | | | $ | 321 | | | Due after one year through five years | 1,844 | | | 1,817 | | | Due after five years through ten years | 1,171 | | | 1,157 | | | Due after ten years | 70 | | | 68 | | | Mortgage-backed securities: | | | | | Residential agency | 18,172 | | | 17,634 | | | | | | | Commercial agency | 6,474 | | | 6,340 | | | Commercial non-agency | 90 | | | 82 | | | $ | 28,145 | | | $ | 27,419 | |
The following tables present gross unrealized losses and the related estimated fair value of debt securities available for sale at March 31, 2026 and December 31, 2025. All debt securities in an unrealized position are segregated between investments that have been in a continuous unrealized loss position for less than twelve months and for twelve months or more. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | March 31, 2026 | | | Less Than Twelve Months | | Twelve Months or More | | Total | | | Estimated
Fair
Value | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | Gross
Unrealized
Losses | | | (In millions) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Debt securities available for sale: | | | | | | | | | | | | | U.S Treasury securities | $ | 701 | | | $ | (5) | | | $ | 1,064 | | | $ | (44) | | | $ | 1,765 | | | $ | (49) | | | Federal agency securities | 251 | | | (1) | | | 54 | | | (7) | | | 305 | | | (8) | | | Mortgage-backed securities: | | | | | | | | | | | | | Residential agency | 1,773 | | | (18) | | | 7,335 | | | (684) | | | 9,108 | | | (702) | | | | | | | | | | | | | | | Commercial agency | 2,626 | | | (19) | | | 2,267 | | | (132) | | | 4,893 | | | (151) | | | Commercial non-agency | — | | | — | | | 82 | | | (8) | | | 82 | | | (8) | | | Corporate and other debt securities | 139 | | | (2) | | | 117 | | | (2) | | | 256 | | | (4) | | | $ | 5,490 | | | $ | (45) | | | $ | 10,919 | | | $ | (877) | | | $ | 16,409 | | | $ | (922) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | | Less Than Twelve Months | | Twelve Months or More | | Total | | | Estimated
Fair
Value | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | Gross
Unrealized
Losses | | | (In millions) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Debt securities available for sale: | | | | | | | | | | | | | U.S. Treasury securities | $ | 203 | | | $ | (1) | | | $ | 1,197 | | | $ | (46) | | | $ | 1,400 | | | $ | (47) | | | Federal agency securities | — | | | — | | | 57 | | | (7) | | | 57 | | | (7) | | | Mortgage-backed securities: | | | | | | | | | | | | | Residential agency | — | | | — | | | 8,498 | | | (677) | | | 8,498 | | | (677) | | | | | | | | | | | | | | | Commercial agency | 754 | | | (3) | | | 2,430 | | | (127) | | | 3,184 | | | (130) | | | | | | | | | | | | | | | Commercial non-agency | — | | | — | | | 82 | | | (9) | | | 82 | | | (9) | | | Corporate and other debt securities | — | | | — | | | 169 | | | (3) | | | 169 | | | (3) | | | $ | 957 | | | $ | (4) | | | $ | 12,433 | | | $ | (869) | | | $ | 13,390 | | | $ | (873) | |
The number of individual debt security positions in an unrealized loss position in the tables above increased to 1,132 at March 31, 2026 from 1,058 at December 31, 2025. The increase in the total amount of unrealized losses was impacted by changes in market interest rates. In instances where an unrealized loss existed, there was no indication of an adverse change in credit on the underlying positions in the tables above. As it relates to these positions, management believes no individual unrealized loss represented credit impairment as of those dates. At March 31, 2026, the Company does not intend to sell, and it is not more likely than not that the Company will be required to sell, the positions before the recovery of their amortized cost bases, which may be at maturity. The following table presents gross realized gains and gross realized losses on sales of debt securities available for sale:
| | | | | | | | | | | | | | | | | | | | | Three Months Ended March 31 | | | | | 2026 | | 2025 | | | | | | | (In millions) | | Gross realized gains | | $ | 2 | | | $ | 1 | | | | | | | Gross realized losses | | (5) | | | (26) | | | | | | | Securities gains (losses), net | | $ | (3) | | | $ | (25) | | | | | |
The cost of debt securities sold is based on the specific identification method. As part of the Company's normal process for evaluating impairment, including credit-related impairment, impairment identified by management was immaterial for three months ended March 31, 2026 and 2025.
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