Company: KEY-PI
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0000091576-25-000110
Chunk: 181

Company: KEYCORP /NEW/
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 1
Chunk 181
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 We have elected to measure these securities at cost less impairment plus or minus adjustments due to observable orderly transactions. Impairment is recorded when there is evidence that the expected fair value of the investment has declined to below the recorded cost. At each reporting period, we assess if these investments continue to qualify for this measurement alternative. At June 30, 2025, and December 31, 2024, the carrying amount of equity investments under this method was $423 million and $394 million, respectively. We had no adjustments or impairments for the three months ended June 30, 2025 and less than $1 million of impairment for the six months ended June 30, 2025.Quantitative Information about Level 3 Fair Value MeasurementsThe range and weighted-average of the significant unobservable inputs used to measure the fair value of our material Level 3 recurring and nonrecurring assets at June 30, 2025, and December 31, 2024, along with the valuation techniques used, are shown in the following table:Level 3 Asset (Liability) Valuation TechniqueSignificantUnobservable InputRange (Weighted-Average) (a), (b)Dollars in millionsJune 30, 2025December 31, 2024June 30, 2025December 31, 2024Recurring    Loans, net of unearned income (residential)$11 $10 Market comparable pricingComparability factor76.61 - 99.00% (84.65%)68.00-95.00% (77.48%)Derivative instruments:Interest rate2 (4)Discounted cash flowsProbability of default.02 - 100% (4.70%).02 - 100% (5.00%)Loss given default0 - 1 (.484)0 - 1 (.500)Insignificant level 3 assets, net of liabilities(c)5 2 Nonrecurring   Collateral-dependent loans129 152 Fair value of collateralCredit and liquidity discount0  - 100.00% (49.00%)0  - 100.00% (33.00%)Loans held for sale19 — Market comparable pricingComparability factorN/MN/AAccrued income and other assets: (d)OREO and other Level 3 assets9 14 Appraised valueAppraised valueN/MN/M(a)The weighted average of significant un