Company: FCNCB
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000798941-25-000024
Chunk: 91

Company: FIRST CITIZENS BANCSHARES INC /DE/
Filing Date: 2025-05-09
Form: 10-Q
Item: Item 1
Chunk 91
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 and Prior Year Quarter, as well as the dollar and percentage increases or decreases for the Current Quarter compared to the Linked Quarter. 

Noninterest expense for the Current Quarter was $1.49 billion, a decrease of $24 million or 2% from $1.52 billion for the Linked Quarter, mainly due to the following:

•The decrease in other noninterest expense of $32 million reflected declines in capitalized software impairment, state related non-income taxes, and charitable donations to support relief efforts for recent natural disasters. 

•The decrease in acquisition-related expenses of $20 million is summarized in the table below.

•The increase in personnel cost of $17 million was mainly due to merit-based compensation increases, net staff additions, and seasonal increases in employee benefits and payroll taxes.

•The increase in marketing expense of $8 million was primarily due to marketing for Direct Bank deposits.

•The increase in third-party processing fees of $6 million was largely a result of higher transaction volume and additional services.

•The decrease in professional fees of $5 million was mostly related to lower consulting costs.

•The increase in FDIC insurance expense of $5 million was largely due to a higher FDIC insurance rate and an increase in average assets. 

•The decrease in depreciation on operating lease equipment of $3 million is discussed in the Commercial Bank and Rail segments in the section entitled “Results by Segment” of this MD&A. 

•The increase in maintenance and other operating lease expenses of $3 million is discussed in the Rail segment in the section entitled “Results by Segment” of this MD&A. 

68

The following table presents the major components of acquisition-related expenses:

Table 12

Acquisition-related Expenses

dollars in millionsThree Months EndedMarch 31, 2025December 31, 2024March 31, 2024Personnel cost$15 $21 $29 Professional fees26 32 26 Asset impairment— 7 — Other acquisition-related expense1 2 3 Total acquisition-related expense$42 $62 $58 

Acquisition-related personnel cost primarily includes severance and retention costs for employees associated with business combinations. These amounts are recognized over the requisite service period, if any.

Acquisition-related professional fees mainly include consulting, legal and accounting costs associated with business combinations and the related integration, optimization, and business process reengineering, including enhancements to technology. These amounts are expensed as incurred. 

Income