v3.26.1
Shareholders' Equity and Accumulated Other Comprehensive Income (Loss)
 6 Months Ended
Jun. 30, 2026
Equity [Abstract]  
Shareholders' Equity and Accumulated Other Comprehensive Income (Loss)
NOTE 6. SHAREHOLDERS' EQUITY AND ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
PREFERRED STOCK
The following table presents a summary of the non-cumulative perpetual preferred stock:
June 30, 2026December 31, 2025
Issuance DateEarliest Redemption Date
Dividend Rate (1)
Liquidation AmountLiquidation preference per ShareLiquidation preference per Depositary ShareOwnership Interest per Depositary ShareShares Issued and OutstandingCarrying AmountCarrying Amount
(Dollars in millions, except for share and per share amounts)
Series C4/30/20195/15/20295.700 %
(2)
$500 1,000 25 1/40th500,000$490 $490 
Series E5/4/20216/15/20264.450 %400 1,000 25 1/40th400,000390 390 
Series F7/29/20249/15/20296.950 %
(3)
500 1,000 25 1/40th500,000 489 489 
$1,400 1,400,000 $1,369 $1,369 
_________
(1)Dividends on all series of preferred stock, if declared, accrue and are payable quarterly in arrears.
(2)Dividends, if declared, will be paid quarterly at an annual rate equal to (i) for each period beginning prior to August 15, 2029, 5.700%, and (ii) for each period beginning on or after August 15, 2029, three-month CME Term SOFR plus 3.410% which includes a 0.262% spread adjustment for the transition to SOFR in accordance with ISDA protocols.
(3)Dividends, if declared, will be paid quarterly at an annual rate equal to (i) for each period beginning on September 15, 2024, 6.950% and (ii) for each period beginning on or after September 15, 2029, the five-year Treasury rate as of the most recent reset dividend determination date plus 2.771%.
All series of preferred stock have no stated maturity and redemption is solely at Regions' option, subject to regulatory approval, in whole, or in part, after the earliest redemption date or in whole, but not in part, at any time following a regulatory capital treatment event for the Series C, Series E, and Series F preferred stock.
The Board declared a total of $41 million and $50 million in cash dividends on preferred stock in the six months ended June 30, 2026 and 2025, respectively.
In the event Series C, Series E or Series F preferred shares are redeemed in full at their respective liquidation amounts, $10 million, $10 million, or $11 million in excess of the redemption amount over the carrying amount will be recognized, respectively. These excess amounts represent issuance costs that were recorded as reductions to preferred stock, including related surplus, and will be recorded as reductions to net income available to common shareholders.
COMMON STOCK
The Company's SCB is floored at 2.5 percent from the fourth quarter of 2025 through the third quarter of 2026. In the second quarter of 2026, the FRB released the results of its annual stress test, which indicated that Regions exceeded all minimum capital requirements. However, the FRB will not update SCB requirements based on the 2026 stress testing cycle due to outstanding regulatory proposals intended to enhance the transparency and public accountability of its annual stress tests and related models. Accordingly, Regions' SCB will remain floored at 2.5 percent through the third quarter of 2027.
On December 10, 2025, the Board authorized the repurchase of up to $3.0 billion of the Company's common stock for the period beginning January 1, 2026 and extending through December 31, 2027. As of June 30, 2026, Regions had repurchased approximately 16 million shares of common stock at a total cost of $460 million under this plan. All of these shares were immediately retired upon repurchase and therefore were not included in treasury stock.
Regions declared $0.265 per common share in cash dividends for both the first and second quarter of 2026, totaling $0.53 per common share for the first six months of 2026 as compared to $0.25 per common share for first and second quarter of 2025 totaling $0.50 per common share for the first six months of 2025.
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
The following tables present the balances and activity in AOCI on a pre-tax and net of tax basis for the three and six months ended June 30, 2026 and 2025:
Three Months Ended June 30, 2026
Pre-tax AOCI Activity
Tax Effect (1)
Net AOCI Activity
(In millions)
Total accumulated other comprehensive income (loss), beginning of period$(2,302)$584 $(1,718)
Unrealized losses on securities transferred to held to maturity:
Beginning balance$(843)$213 $(630)
Reclassification adjustments for amortization on unrealized losses on securities transferred to held for maturity (2)
26 (7)19 
Ending balance$(817)$206 $(611)
Unrealized gains (losses) on securities available for sale:
Beginning balance$(726)$184 $(542)
Unrealized gains (losses) arising during the period(94)24 (70)
Reclassification adjustments for securities (gains) losses realized in net income (3)
41 (10)31 
Change in AOCI from securities available for sale activity in the period(53)14 (39)
Ending balance$(779)$198 $(581)
Unrealized gains (losses) on derivative instruments designated as cash flow hedges:
Beginning balance$(213)$54 $(159)
Unrealized gains (losses) on derivative instruments arising during the period
(284)72 (212)
Reclassification adjustments for (gains) losses on derivative instruments realized in net income (2)
34 (9)25 
Change in AOCI from derivative activity in the period(250)63 (187)
Ending balance$(463)$117 $(346)
Defined benefit pension plans and other post employment benefit plans:
Beginning balance$(520)$133 $(387)
Reclassification adjustments for amortization of actuarial (gains) losses and settlements realized in net income (4)
5 (2)3 
Ending balance$(515)$131 $(384)
Total other comprehensive income (loss)(272)68 (204)
Total accumulated other comprehensive income (loss), end of period$(2,574)$652 $(1,922)
Three Months Ended June 30, 2025
Pre-tax AOCI Activity
Tax Effect (1)
Net AOCI Activity
(In millions)
Total accumulated other comprehensive income (loss), beginning of period$(3,053)$770 $(2,283)
Unrealized losses on securities transferred to held to maturity:
Beginning balance$(875)$219 $(656)
Unrealized gains (losses) on securities transferred from available for sale during the period(74)19 (55)
Reclassification adjustments for amortization on unrealized losses on securities transferred to held for maturity (2)
43 (11)32 
Change in AOCI from securities held to maturity activity in the period(31)8 (23)
Ending balance$(906)$227 $(679)
Unrealized gains (losses) on securities available for sale:
Beginning balance$(1,322)$333 $(989)
Unrealized (gains) losses on securities transferred to held to maturity during the period74 (19)55 
Unrealized gains (losses) arising during the period170 (43)127 
Reclassification adjustments for securities (gains) losses realized in net income (3)
1 — 1 
Change in AOCI from securities available for sale activity in the period245 (62)183 
Ending balance$(1,077)$271 $(806)
Unrealized gains (losses) on derivative instruments designated as cash flow hedges:
Beginning balance$(323)$82 $(241)
Unrealized gains (losses) on derivative instruments arising during the period
142 (36)106 
Reclassification adjustments for (gains) losses on derivative instruments realized in net income (2)
60 (15)45 
Change in AOCI from derivative activity in the period202 (51)151 
Ending balance$(121)$31 $(90)
Defined benefit pension plans and other post employment benefit plans:
Beginning balance$(542)$136 $(406)
Reclassification adjustments for amortization of actuarial (gains) losses and settlements realized in net income (4)
6 (1)5 
Ending balance$(536)$135 $(401)
Total other comprehensive income (loss)422 (106)316 
Total accumulated other comprehensive income (loss), end of period$(2,631)$664 $(1,967)
Six Months Ended June 30, 2026
Pre-tax AOCI Activity
Tax Effect and Other (1)
Net AOCI Activity
(In millions)
Total accumulated other comprehensive income (loss), beginning of period$(2,057)$522 $(1,535)
Unrealized losses on securities transferred to held to maturity:
Beginning balance$(867)$219 $(648)
Reclassification adjustments for amortization on unrealized losses on securities transferred to held for maturity (2)
50 (13)37 
Ending balance$(817)$206 $(611)
Unrealized gains (losses) on securities available for sale:
Beginning balance$(574)$146 $(428)
Unrealized gains (losses) arising during the period(249)63 (186)
Reclassification adjustments for securities (gains) losses realized in net income (3)
44 (11)33 
Change in AOCI from securities available for sale activity in the period(205)52 (153)
Ending balance$(779)$198 $(581)
Unrealized gains (losses) on derivative instruments designated as cash flow hedges:
Beginning balance$(91)$23 $(68)
Unrealized gains (losses) on derivative instruments arising during the period
(442)112 (330)
Reclassification adjustments for (gains) losses on derivative instruments realized in net income (2)
70 (18)52 
Change in AOCI from derivative activity in the period(372)94 (278)
Ending balance$(463)$117 $(346)
Defined benefit pension plans and other post employment benefit plans:
Beginning balance$(525)$134 $(391)
Reclassification adjustments for amortization of actuarial (gains) losses and settlements realized in net income (4)
10 (3)7 
Ending balance$(515)$131 $(384)
Total other comprehensive income (loss)(517)130 (387)
Total accumulated other comprehensive income (loss), end of period$(2,574)$652 $(1,922)
Six Months Ended June 30, 2025
Pre-tax AOCI Activity
Tax Effect (1)
Net AOCI Activity
(In millions)
Total accumulated other comprehensive income (loss), beginning of period$(3,912)$984 $(2,928)
​
Unrealized losses on securities transferred to held to maturity:
Beginning balance$(744)$188 $(556)
Unrealized gains (losses) on securities transferred from available for sale during the period(227)57 (170)
Reclassification adjustments for amortization on unrealized losses on securities transferred to held for maturity (2)
65 (18)47 
Change in AOCI from securities held to maturity activity in the period(162)39 (123)
Ending balance$(906)$227 $(679)
Unrealized gains (losses) on securities available for sale:
Beginning balance$(1,958)$490 $(1,468)
Unrealized (gains) losses on securities transferred to held to maturity during the period227 (57)170 
Unrealized gains (losses) arising during the period628 (156)472 
Reclassification adjustments for securities (gains) losses realized in net income (3)
26 (6)20 
Change in AOCI from securities available for sale activity in the period881 (219)662 
Ending balance$(1,077)$271 $(806)
Unrealized gains (losses) on derivative instruments designated as cash flow hedges:
Beginning balance$(662)$168 $(494)
Unrealized gains (losses) on derivative instruments arising during the period
414 (105)309 
Reclassification adjustments for (gains) losses on derivative instruments realized in net income (2)
127 (32)95 
Change in AOCI from derivative activity in the period541 (137)404 
Ending balance$(121)$31 $(90)
Defined benefit pension plans and other post employment benefit plans:
Beginning balance$(548)$138 $(410)
Reclassification adjustments for amortization of actuarial (gains) losses and settlements realized in net income (4)
12 (3)9 
Ending balance$(536)$135 $(401)
Total other comprehensive income (loss)1,272 (320)952 
Other9— 9 
Total accumulated other comprehensive income (loss), end of period$(2,631)$664 $(1,967)
____
(1)The impact of all AOCI activity is shown net of the related tax impact, calculated using a nominal tax rate of approximately 25 percent.
(2)Reclassification amount is recognized in net interest income in the consolidated statements of income.
(3)Reclassification amount is recognized in securities gains (losses), net in the consolidated statements of income.
(4)Reclassification amount is recognized in other non-interest expense in the consolidated statements of income. Additionally, these accumulated other comprehensive income (loss) components are included in the computation of net periodic pension cost (see Note 8 for additional details).