Company: KEY-PI
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0000091576-25-000110
Chunk: 83

Company: KEYCORP /NEW/
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 2
Chunk 83
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ination, verified by credit risk management, and periodically re-evaluated thereafter. This risk rating methodology blends our judgment with quantitative modeling. Commercial loans generally are assigned two internal risk ratings. The first rating reflects the probability that the borrower will default on an obligation; the second rating reflects expected recovery rates on the credit facility. Default probability is determined based on, among other factors, the financial strength of the borrower, an assessment of the borrower’s management, the borrower’s competitive position within its industry sector, and our view of industry risk in the context of the general economic outlook. Types of exposure, transaction structure, and collateral, including credit risk mitigants, affect the expected recovery assessment. 

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Commercial Credit ExposureCredit Risk Profile by Creditworthiness Category and Vintage (a)(b)As of June 30, 2025Term LoansRevolving Loans Amortized Cost BasisRevolving Loans Converted to Term Loans Amortized Cost BasisAmortized Cost Basis by Origination Year and Internal Risk RatingDollars in millions20252024202320222021PriorTotalCommercial and IndustrialRisk Rating:Pass$4,402 $6,236 $2,660 $6,040 $3,321 $4,645 $24,596 $197 $52,097 Criticized (Accruing)23 176 225 707 321 608 1,615 6 3,681 Criticized (Nonaccruing)5 24 27 28 25 9 160 2 280 Total commercial and industrial4,430 6,436 2,912 6,775 3,667 5,262 26,371 205 56,058 Current year gross write-offs7 3 8 14 8 16 100 — 156 Real estate — commercial mortgageRisk Rating:Pass1,563 1,028 628 2,522 1,837 3,539 1,285 37 12,439 Criticized (Accruing)15 4 127 475 229 320 16 11 1,197 Criticized (Nonaccruing)— — — 133 50 39 4 — 226 Total real estate — commercial mortgage1,578 1,032 755 3,130 2,116 3,898 1,305