Company: MTB-PJ
Filing Date: 2025-05-05
Form Type: 10-Q
Source: 0001628280-25-022036
Chunk: 154

Company: M&T BANK CORP
Filing Date: 2025-05-05
Form: 10-Q
Item: Part I, Item 8
Chunk 154
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31, 2024, respectively. Those partnerships generally construct or acquire properties, including properties and facilities that produce renewable energy, for which the investing partners are eligible to receive certain federal income tax credits in accordance with government guidelines. Such investments may also provide tax deductible losses to the partners. The partnership investments also assist the Company in achieving its community reinvestment initiatives. The Company, in its position as a limited partner, does not direct the activities that most significantly impact the economic performance of the partnerships and, therefore, the partnership entities are not included in the Company's consolidated financial statements. The Company’s investments in qualified affordable housing projects are accounted for using the proportional amortization method whereby those investments are amortized to Income taxes in the Consolidated Statement of Income as tax credits and other tax benefits resulting from deductible losses associated with the projects are received. The Company has elected to apply the proportional amortization method to eligible renewable energy and certain other tax credit investments in addition to the low income housing tax credit investments for which the proportional amortization method had previously been applied. Information on the Company's carrying amount of its investments in tax equity partnerships and its related future funding commitments are presented in the following table:(Dollars in millions)March 31, 2025December 31, 2024Affordable housing projects:Carrying amount (a)$1,398 $1,384 Amount of future funding commitments included in carrying amount (b)476 467 Contingent commitments72 69 Renewable energy:Carrying amount (a)92 135 Amount of future funding commitments included in carrying amount (b)66 46 Other:Carrying amount (a)36 37 Amount of future funding commitments included in carrying amount— — __________________________________________________________________________________(a)Included in Accrued interest and other assets in the Consolidated Balance Sheet.(b)Included in Accrued interest and other liabilities in the Consolidated Balance Sheet.

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11. Variable interest entities and asset securitizations, continued

The reduction to income tax expense recognized from the Company's investments in partnerships accounted for using the proportional amortization method was $9 million (net of $44 million of investment amortization) and $7 million (net of $43 million of investment amortization) for the three months ended March 31, 2025 and 2024, respectively. The net reduction to income tax expense has been reported in Net change in other accrued income and expense in the Consolidated Statement of Cash