Company: CMA
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0000028412-25-000235
Chunk: 30

Company: COMERICA INC
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 2
Chunk 30
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 total criticized loans. Criticized loans increased $127 million during the nine months ended September 30, 2025.

Concentrations of Credit Risk

Concentrations of credit risk may exist when a number of borrowers are engaged in similar activities, or activities in the same geographic region, and have similar economic characteristics that would cause them to be similarly impacted by changes in economic or other conditions. The Corporation has concentrations of credit risk within the commercial real estate and automotive industries. All other industry concentrations, as defined by management, individually represented less than 10% of total loans at September 30, 2025.

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Commercial Real Estate Lending

At September 30, 2025, the Corporation's commercial real estate portfolio represented 35% of total loans. The following table summarizes the Corporation's commercial real estate loan portfolio by loan category.

September 30, 2025December 31, 2024(in millions)Commercial Real Estate business line (a)Other (b)TotalCommercial Real Estate business line (a)Other (b)TotalReal estate construction loans$2,545 $304 $2,849 $3,358 $322 $3,680 Commercial mortgage loans6,766 8,424 15,190 6,044 8,449 14,493 Total commercial real estate$9,311 $8,728 $18,039 $9,402 $8,771 $18,173 

(a)Primarily loans to real estate developers.

(b)Primarily loans secured by owner-occupied real estate.

The Corporation limits risk inherent in its commercial real estate lending activities by monitoring borrowers directly involved in the commercial real estate markets and adhering to conservative policies on loan-to-value ratios for such loans, which are based on third-party appraisals that are performed at the time of origination in accordance with regulatory requirements as well as generally at the time of renewal. Per Interagency guidelines, the Corporation may also require an updated appraisal or valuation when economic, financial or market conditions may have resulted in deterioration of the prior appraisal's property value conclusions. Commercial real estate loans, consisting of real estate construction and commercial mortgage loans, totaled $18.0 billion at September 30, 2025. Commercial real estate loans made to borrowers in the Commercial Real Estate business line, which includes loans to real estate developers, totaled $9.3 billion, or 52% of total commercial real estate loans, a