Company: CMA
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000028412-25-000108
Chunk: 82

Company: COMERICA INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1
Chunk 82
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Selected average balances:Loans$5,050$5,232$(182)(3)%Deposits 3,8944,130(236)(6)

Average loans decreased $182 million while average deposits decreased $236 million, primarily reflecting a decrease in noninterest-bearing deposits. Wealth Management's net income decreased $10 million to $80 million. Net interest income decreased $21 million to $187 million, primarily due to higher interest expense on deposits, partially offset by a decrease in allocated net FTP charges and lower interest income on loans. Noninterest income decreased $20 million to $287 million, primarily driven by lower investment fees and insurance commissions, while noninterest expenses decreased $29 million, reflecting lower salaries and benefits expense, which reflected the November 2023 change in presentation consistent with contractual terms with a new investment program partner, resulting in a net decrease to commission costs, with the offset recorded in noninterest income. Additionally, lower litigation-related expenses were partially offset by higher operational losses and outside processing fee expense.

Finance & Other

Years Ended December 31,PercentChange(dollar amounts in millions)20242023ChangeEarnings summary:Net interest expense$(679)$(591)$(88)15 %Provision for credit losses22—42 Noninterest income63491427 Noninterest expenses1781235544 Benefit for income taxes(176)(166)(10)6 Net loss$(620)$(501)$(119)24 %Selected average balances:Loans$10$2$8n/mDeposits 3,4514,506(1,055)(23)

n/m - not meaningful

Average deposits, which primarily consist of centrally-managed brokered time deposits fully insured by the FDIC, decreased $1.1 billion. Net loss for the Finance and Other category increased $119 million to $620 million. Net interest expense increased $88 million to $679 million, reflecting the impact of interest rate swaps (which are centrally managed) as well as increased balances from higher-cost funding sources. Noninterest income increased $14 million to $63 million, primarily due to an increase in risk management hedging income (BSBY cessation), partially offset by a loss related to securities repositioning and a decrease in FHLB stock dividends. Noninterest expenses increased $55 million, reflecting higher salaries and benefits expense and a decrease in gains on the sale of real estate, partially offset by a decrease in non-salary pension expense.

F-12

The