Company: CMA
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000028412-25-000108
Chunk: 296

Company: COMERICA INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1
Chunk 296
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808 11.60 Total risk-based10,363 14.21 10,263 13.52 Leverage9,061 11.08 8,808 10.06 Risk-weighted assets72,903 75,901 

(a) See Supplemental Financial Data section for reconciliations of non-GAAP financial measures and regulatory ratios.

At December 31, 2024, the Corporation and its U.S. banking subsidiaries exceeded the capital ratios required for an institution to be considered “well capitalized” by the standards developed under the Federal Deposit Insurance Corporation Improvement Act of 1991. Refer to Note 20 to the consolidated financial statements for further discussion of regulatory capital requirements, capital ratio calculations and restrictions on the ability of the Corporation's banking subsidiaries to transfer assets to the Corporation. 

Common shareholders' equity included $3.2 billion in accumulated other comprehensive losses, with approximately $2.4 billion of such losses relating to balances recorded in total assets, comprised of valuation adjustments to available-for-sale securities and pension assets, as well as related deferred tax assets. These amounts impacted the common shareholders' equity ratio by 365 basis points; the impact on the tangible common equity ratio using the same calculation method was 370 basis points. Average common shareholders' equity and return on average common shareholders' equity for the year ended December 31, 2024 was $6.0 billion and 11.23%, respectively, compared to $5.2 billion and 16.50%, respectively, for the year ended December 31, 2023.

Total shareholders' equity included $394 million of fixed-rate reset non-cumulative perpetual preferred stock at both December 31, 2024 and December 31, 2023, which was issued in May 2020. The dividend rate is scheduled to reset on any outstanding shares of preferred stock in October 2025. See Note 13 to the consolidated financial statements for further information about the terms of preferred stock. 

Basel III Endgame Framework

On July 27, 2023, the federal banking agencies issued a notice of proposed rulemaking, commonly referred to as Basel III Endgame (the Capital Proposal) that would significantly increase the capital requirements applicable to large banking organizations with total assets of $100 billion or more. The Capital Proposal would align the regulatory capital calculation and the calculation of risk-weighted assets across large banking organizations subject to the Capital Proposal and require Category III and IV banking organizations to include most components of A