Company: CMA
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0000028412-25-000235
Chunk: 82

Company: COMERICA INC
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 1
Chunk 82
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 $8 million for the three-month periods ended September 30, 2025 and 2024, respectively, and $16 million and $38 million for the nine-month periods ended September 30, 2025 and 2024.Customer-Initiated and OtherThe Corporation enters into derivative transactions at the request of customers and generally takes offsetting positions with dealer counterparties to help mitigate the inherent market risk. Income primarily results from the spread between the customer derivative and the offsetting dealer position.For customer-initiated foreign exchange contracts where offsetting positions have not been taken, the Corporation manages the remaining inherent market risk through individual foreign currency position limits and aggregate value-at-risk limits. These limits are established annually and monitored at least monthly. 

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Table of ContentsNotes to Consolidated Financial Statements (unaudited)Comerica Incorporated and Subsidiaries

Fair values of customer-initiated and other derivative instruments represent the net unrealized gains or losses on such contracts and are recorded on the Consolidated Balance Sheets. Changes in fair value are recognized on the Consolidated Statements of Comprehensive Income. The net gains recognized in income on customer-initiated derivative instruments, net of the impact of offsetting positions included in capital markets income, were as follows:Three Months Ended September 30,Nine Months Ended September 30,(in millions)2025202420252024Interest rate contracts$5 $7 $15 $15 Energy contracts3 5 13 13 Foreign exchange contracts13 11 38 35 Total$21 $23 $66 $63 Credit-Related Financial InstrumentsThe Corporation issues off-balance sheet financial instruments in connection with commercial and consumer lending activities. The Corporation’s credit risk associated with these instruments is represented by the contractual amounts indicated in the following table.(in millions)September 30, 2025December 31, 2024Unused commitments to extend credit:Commercial and other$25,144 $24,342 Bankcard, revolving credit and home equity loan commitments3,982 4,055 Total unused commitments to extend credit$29,126 $28,397 Standby letters of credit$4,261 $4,138 Commercial letters of credit2 12 The Corporation maintains an allowance to cover current expected credit losses inherent in lending-related commitments, including unused commitments to extend credit, letters of credit and financial guarantees. The allowance for credit losses on lending-related commitments, included in accrued expenses and other liabilities on the Consolidated