Company: CMA
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0000028412-25-000235
Chunk: 179

Company: COMERICA INC
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 8
Chunk 179
---
 loans for which the accrual of interest has not been discontinued and nonaccrual loans. Special mention loans have potential credit weaknesses that deserve management’s close attention, such as loans to borrowers who may be experiencing financial difficulties that may result in deterioration of repayment prospects from the borrower at some future date. Accruing substandard loans have a well-defined weakness, or weaknesses, such as loans to borrowers who may be experiencing losses from operations or inadequate liquidity of a degree and duration that jeopardizes the orderly repayment of the loan. Substandard loans are also distinguished by the distinct possibility of loss in the future if these weaknesses are not corrected. Nonaccrual loans are loans for which the accrual 14

Table of ContentsNotes to Consolidated Financial Statements (unaudited)Comerica Incorporated and Subsidiariesof interest has been discontinued. For further information regarding nonaccrual loans, refer to the Nonperforming Assets subheading in Note 1 - Basis of Presentation and Accounting Policies on page F-52 in the Corporation's 2024 Annual Report. These categories are generally consistent with the "special mention" and "substandard" categories as defined by regulatory authorities. A minority of nonaccrual loans are consistent with the "doubtful" category.Loan interest receivable totaled $257 million and $266 million at September 30, 2025 and December 31, 2024, respectively, and was included in accrued income and other assets on the Consolidated Balance Sheets.Allowance for Credit LossesThe following table details the changes in the allowance for credit losses. 20252024(in millions)Business LoansRetail LoansTotalBusiness LoansRetail LoansTotalThree Months Ended September 30Balance at beginning of period:Allowance for loan losses$654 $44 $698 $620 $66 $686 Allowance for credit losses on lending-related commitments26 11 37 23 8 31 Allowance for credit losses680 55 735 643 74 717 Loan charge-offs(44)(1)(45)(23)— (23)Recoveries on loans previously charged-off13 — 13 12 — 12 Net loan charge-offs(31)(1)(32)(11)— (11)Provision for credit losses:Provision for loan losses18 2 20 9 2 11 Provision for credit losses on lending-related commitments2 — 2 3 — 3 Pro