Company: CMA
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0000028412-25-000154
Chunk: 10

Company: COMERICA INC
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 2
Chunk 10
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arch 31, 2024(in millions)(Decrease) Increase Due to Rate (a)Decrease Due to Volume (a)Net (Decrease) IncreaseInterest income:Loans $(28)$(21)$(49)Investment securities16 (9)7 Interest-bearing deposits with banks(20)(32)(52)Other short-term investments(1)— (1)Total interest income(33)(62)(95)Interest expense:Interest-bearing deposits(39)(26)(65)Short-term borrowings(7)(28)(35)Medium- and long-term debt(17)(5)(22)Total interest expense(63)(59)(122)Net interest income$30 $(3)$27 

(a)Impact of additional days, other portfolio dynamics and interest rate swaps reflected as part of rate impact, rate/volume variances are allocated to variances due to volume.

Net interest income for the three months ended March 31, 2025 increased $27 million compared to the three months ended March 31, 2024, and net interest margin increased 38 basis points for the same period, driven by lower rates, a $2.6 billion decrease in short-term FHLB advances and a $2.9 billion decline in higher-cost brokered deposits, partially offset by decreases of $2.9 billion in deposits held with the FRB, $1.2 billion in loans and $1.3 billion in investment securities. For further discussion of the effects of market rates on net interest income, refer to the "Market and Liquidity Risk" section of this financial review.

Provision for Credit Losses

The provision for credit losses increased $6 million to $20 million for the three months ended March 31, 2025, compared to $14 million for the three months ended March 31, 2024, reflecting the impact of changes in the Corporation's portfolio composition, a decline in the Corporation's loan portfolio and relatively stable macroeconomic variables, as well as a rise in economic uncertainty. Net loan charge-offs were $26 million for the three months ended March 31, 2025, an increase of $12 million compared to $14 million for the three months ended March 31, 2024, mostly driven by Commercial Real Estate net charge-offs. An analysis of the allowance for credit losses and nonperforming assets is presented under the "Credit Risk" subheading in the "Risk Management" section of this financial review.

Noninterest Income