Company: KEY-PI
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0000091576-25-000058
Chunk: 104

Company: KEYCORP /NEW/
Filing Date: 2025-05-06
Form: 10-Q
Item: Item 2
Chunk 104
---
, respectively, which is comprised of $(25) million and $24 million in active hedging relationships and $16 million and $17 million for discontinued hedging relationships.Cash flow hedges. During the three-month period ended March 31, 2025, we did not exclude any portion of cash flow hedging instruments from the assessment of hedge effectiveness.Considering the interest rates, yield curves, and notional amounts as of March 31, 2025, we expect to reclassify an estimated $187 million of after-tax net losses on derivative instruments designated as cash flow hedges from AOCI to income during the next 12 months. In addition, we expect to reclassify approximately $3 million of net losses related to terminated cash flow hedges from AOCI to income during the next 12 months. These reclassified amounts could differ from actual amounts recognized due to changes in interest rates, hedge de-designations and the addition of other hedges subsequent to March 31, 2025. As of March 31, 2025, the maximum length of time over which we hedge forecasted transactions is 4.43 years.The following tables summarize the effect of fair value and cash flow hedge accounting on the income statement for the three-month periods ended March 31, 2025, and March 31, 2024.Location and amount of net gains (losses) recognized in income on fair value and cash flow hedging relationshipsDollars in millionsInterest expense – long-term debtInterest income – loansInterest Income - securitiesInvestment banking and debt placement feesThree months ended March 31, 2025Total amounts presented in the consolidated statement of income$(193)$1,401 $392 $175 Net gains (losses) on fair value hedging relationshipsInterest contractsRecognized on hedged items$(153)$— $78 $— Recognized on derivatives designated as hedging instruments108 — (71)— Net income (expense) recognized on fair value hedges$(45)$— $7 $— Net gain (loss) on cash flow hedging relationshipsInterest contractsRealized gains (losses) (pre-tax) reclassified from AOCI into net income$(1)$(93)$— $— Net income (expense) recognized on cash flow hedges$(1)$(93)$— $— Three months ended March 31, 2024Total amounts presented in the consolidated statement of income$(328)$1