v3.26.3
LEASES (Tables)
 9 Months Ended
Sep. 30, 2026
Leases [Abstract]  
Schedule of Operating and Finance Lease Assets and Liabilities
The following table presents supplemental balance sheet information and remaining weighted average lease terms and discount rates:

Supplemental Lease Information
dollars in millionsClassificationSeptember 30, 2026December 31, 2025
Lease assets:
Operating lease ROU assetsOther assets$301 $294 
Finance leasesPremises and equipment80 71 
Total lease assets$381 $365 
Lease liabilities:
Operating leasesOther liabilities$333 $329 
Finance leasesOther borrowings81 72 
Total lease liabilities$414 $401 
Weighted-average remaining lease terms:
Operating leases6.8 years7.2 years
Finance leases7.9 years7.7 years
Weighted-average discount rate:
Operating leases3.30 %3.10 %
Finance leases4.30 4.20 
Schedule of Net Lease Cost
The following table presents components of lease cost:

Components of Net Lease Cost
dollars in millionsThree Months Ended September 30,Nine Months Ended September 30,
Classification2026202520262025
Operating lease cost
Occupancy expense$18 $18 $53 $54 
Finance lease ROU asset amortizationEquipment expense3 3 9 6 
Interest on lease liabilitiesInterest expense - other borrowings1 1 3 2 
Variable lease cost (1)
Occupancy expense5 4 14 16 
Sublease income Occupancy expense(2)(1)(4)(4)
Net lease cost (1)
$25 $25 $75 $74 
(1) Includes short-term lease cost.
Schedule of Supplemental Cash Flow Information
The following table presents supplemental cash flow information related to leases:

Supplemental Cash Flow Information
dollars in millionsNine Months Ended September 30,
20262025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$56 $58 
Operating cash flows from finance leases2 2 
Financing cash flows from finance leases8 5 
ROU assets obtained in exchange for new operating lease liabilities56 44 
ROU assets obtained in exchange for new finance lease liabilities18 55 
Schedule of Operating Lease Income
The following table presents lease income related to BancShares’ equipment leases:

Lease Income
dollars in millionsThree Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Lease income – operating leases$273 $261 $808 $772 
Variable lease income – operating leases (1)
15 12 41 43 
Rental income on operating leases288 273 849 815 
Interest income – sales type and direct financing leases42 44 127 131 
Variable lease income included in other noninterest income (2)
12 14 40 44 
Interest income – leveraged leases— 1 1 3 
Total lease income$342 $332 $1,017 $993 
(1) Primarily includes per diem railcar operating lease rental income earned on a time or mileage usage basis.
(2) Includes revenue related to insurance coverage on leased equipment and leased equipment property tax reimbursements due from customers.