Company: CMA
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000028412-25-000108
Chunk: 316

Company: COMERICA INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1
Chunk 316
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 amounts in millions)20242023December 31Amount%Amount%Change in Interest Rates:Change in Interest Rates:Rising 100 basis points$(26)(1)%Rising 100 basis points$(36)(2)%(50 basis points on average)(50 basis points on average)Declining 100 basis points12 1 Declining 100 basis points23 1 (50 basis points on average)(50 basis points on average)Rising 200 basis points(67)(3)Rising 200 basis points(87)(4)(100 basis points on average)(100 basis points on average)Declining 200 basis points12 1 Declining 200 basis points33 1 (100 basis points on average)(100 basis points on average)

Sensitivity to both rising and declining interest rates decreased slightly from December 31, 2023 to December 31, 2024 due to changes in balance sheet mix dynamics.

At December 31, 2024, additional sensitivity scenarios applied the rising and declining 100 basis point scenario assumptions with a 60% incremental deposit beta relative to the base case scenario to assess the impact of the Corporation's deposit beta assumptions. In these rising and declining scenarios, net interest income decreased by $56 million and increased by $35 million, respectively, due to a more rapid repricing pace compared to the standard model assumptions.

F-29

Sensitivity of Economic Value of Equity to Changes in Interest Rates

In addition to the simulation analysis on net interest income, an economic value of equity analysis provides an alternative view of the interest rate risk position. The economic value of equity is the difference between the estimate of the economic value of the Corporation's financial assets, liabilities and off-balance sheet instruments, derived through discounting cash flows based on actual rates at the end of the period, and the estimated economic value after applying the estimated impact of rate movements. The Corporation primarily monitors the percentage change on the base-case economic value of equity. The economic value of equity analysis is based on an immediate parallel 100 or 200 basis point shock with a floor of zero percent.

The table below, as of December 31, 2024 and December 31, 2023, displays the estimated impact on the economic value of equity from the interest rate scenario described above.

(dollar amounts in millions)20242023December 31Amount%Amount%Change in Interest Rates:Change in Interest Rates:Rising 100 basis points$(503)(4)%Rising