Company: CFG-PE
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000759944-25-000070
Chunk: 24

Company: CITIZENS FINANCIAL GROUP INC/RI
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 8
Chunk 24
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 leases3,313 3,843 Other assets21 21 Total assets$3,531 $4,073 Liabilities:Long-term borrowed funds$2,885 $3,375 Other liabilities7 8 Total liabilities$2,892 $3,383 

Citizens Financial Group, Inc. | 53

Secured BorrowingsThe Company utilizes a portion of its auto loan portfolio to support certain secured borrowing arrangements, which provide a source of funding for the Company and involves the transfer of auto loans to bankruptcy remote special purpose entities (“SPEs”). These SPEs then issue asset-backed notes to third parties collateralized by the transferred loans.The assets of a particular VIE are the primary source of funds to settle its obligations. Creditors of these VIEs do not have recourse to the general credit of the Company. The performance of the loans transferred to the SPEs is the most significant driver impacting the economic performance of the VIEs.Unconsolidated VIEsThe Company is involved with various VIEs that are not consolidated including lending to special purpose entities, investments in asset-backed securities and investments in entities that sponsor affordable housing, renewable energy and economic development projects. The Company’s maximum exposure to loss resulting from its involvement with these entities is limited to the balance sheet carrying amount of its investments, unfunded commitments, and the outstanding principal balance of loans to special purpose entities.A summary of these investments is presented below:(dollars in millions)March 31, 2025December 31, 2024Lending to special purpose entities included in loans and leases$4,221 $4,215 LIHTC investments included in other assets2,685 2,631 LIHTC unfunded commitments included in other liabilities1,142 1,109 Asset-backed investments included in HTM securities 392 412 Renewable energy investments included in other assets256 269 NMTC investments included in other assets2 2 Lending to Special Purpose EntitiesThe Company provides lending facilities to third-party sponsored special purpose entities. As of March 31, 2025 and December 31, 2024, the lending facilities had undrawn commitments to extend credit of $2.9 billion and $2.8 billion, respectively. For more information on commitments to extend credit see Note 11.Asset-backed securitiesThe Company’s investments in asset-backed securities are collateralized by education loans sold to a third-party sponsored VIE. The Company acts