Company: CMA
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000028412-25-000108
Chunk: 90

Company: COMERICA INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1
Chunk 90
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(b) Consists of approximately 26,000 shares purchased related to deferred compensation plans during the year ended December 31, 2024 and is not considered part of the Corporation's repurchase program.

In October 2024, the Corporation resumed repurchasing its common shares under its previously established share repurchase plan by entering an accelerated share repurchase agreement to repurchase $100 million of its common stock, which was completed in the fourth quarter of 2024. In January 2025, the Corporation announced that it intended to repurchase $50 million of common stock during the first quarter of 2025, and on February 3, 2025, the Corporation entered into an Accelerated Share Repurchase transaction (ASR) to repurchase $50 million of common stock. Under the terms of the ASR agreement, the Corporation received an initial delivery of common shares representing approximately 80% of the expected total to be repurchased. Subject to certain adjustments pursuant to the ASR agreement, the final number of shares repurchased and delivered under the ASR agreement will be based on the volume weighted average share price of Comerica’s common stock during the term of the transaction, which is expected to be completed in the first quarter of 2025.

Since the inception of the share repurchase program in 2010, a total of 107.2 million shares have been authorized for repurchase. There is no expiration date for the share repurchase program, which may be effectuated through open market repurchases, privately negotiated transactions, structured repurchase agreements with third parties and/or otherwise, including utilizing Rule 10b5-1 plans. The timing and actual amount of additional share repurchases are subject to various factors, including the Corporation's earnings generation, capital needs to fund future loan growth and market conditions.

The Corporation has a long-term CET1 capital ratio target of approximately 10 percent with capital deployment. At December 31, 2024, the Corporation's CET1 capital ratio was 11.89 percent, an increase of 80 basis points compared to December 31, 2023. 

The Corporation is subject to the capital adequacy standards under the Basel III regulatory framework (Basel III). This regulatory framework establishes comprehensive methodologies for calculating regulatory capital and risk-weighted assets (RWA). Basel III also requires compliance with set minimum capital ratios as well as compliance with overall capital adequacy standards.

Under Basel III, regulatory capital comprises CET1 capital, additional Tier 1 capital and Tier 2 capital