Company: FCNCB
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000798941-25-000024
Chunk: 11

Company: FIRST CITIZENS BANCSHARES INC /DE/
Filing Date: 2025-05-09
Form: 10-Q
Item: Item 1
Chunk 11
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 trading days immediately prior to the date on which the Value Appreciation Instrument is exercised exceeds $582.55; provided that the settlement amount does not exceed $500 million. The FDIC exercised its right under the Value Appreciation Instrument on March 28, 2023 and a $500 million payment was made on April 4, 2023.

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The following table provides the final purchase price allocation, including Measurement Period Adjustments, to the identifiable assets acquired and liabilities assumed at their estimated fair values as of the SVBB Acquisition Date. Fair Value Purchase Price Allocationdollars in millionsFair Value Purchase Price Allocation as of March 27, 2023Purchase price considerationPurchase Money Note (1)$35,808Value Appreciation Instrument500Purchase price consideration$36,308AssetsCash and due from banks$1,310 Interest-earning deposits at banks34,001 Investment securities available for sale385 Loans and leases, net of the initial PCD ALLL68,468 Affordable housing tax credit and other unconsolidated investments1,273 Premises and equipment308 Core deposit intangibles230 Other assets1,564 Total assets acquired$107,539 LiabilitiesDeposits$56,014 Borrowings10 Deferred tax liabilities3,364 Other liabilities2,035 Total liabilities assumed$61,423 Fair value of net assets acquired46,116 Gain on acquisition, after income taxes (2)$9,808 Gain on acquisition, before income taxes (2)$13,172 (1) The principal amount of the Purchase Money Note is the carrying value of net assets acquired of approximately $52.52 billion less the asset discount of $16.45 billion pursuant to the SVBB Purchase Agreement. The $35.81 billion above is net of a fair value discount of approximately $264 million.(2) The difference between the gain on acquisition before and after taxes reflects the deferred tax liabilities of $3.36 billion recorded in the SVBB Acquisition. The gain on acquisition of $9.81 billion, net of income taxes of $3.36 billion, was recorded in noninterest income during the year ended December 31, 2023, and represents the excess of the fair value of net assets acquired over the purchase price. Purchase Money NoteThe fair value of the Purchase Money Note was estimated based on the income approach, which includes: (i)