Company: MTB-PJ
Filing Date: 2025-08-04
Form Type: 10-Q
Source: 0000036270-25-000011
Chunk: 212

Company: M&T BANK CORP
Filing Date: 2025-08-04
Form: 10-Q
Item: Part I, Item 8
Chunk 212
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 economic scenario:National unemployment rate 7.0 %8.1 %Real GDP growth/decline rate -2.5 1.4 -1.1 %Commercial real estate price index decline rate-14.5 -7.6 -21.0 Home price index growth/decline rate -9.1 2.2 -7.1 Potential upside economic scenario:National unemployment rate 3.7 3.9 Real GDP growth rate 3.1 2.1 5.2 Commercial real estate price index growth rate2.5 2.9 5.4 Home price index growth rate 4.3 3.9 8.4 

(Dollars in millions)Impact to Modeled Credit Losses Increase (Decrease)Potential downside economic scenario$235 Potential upside economic scenario(109)

These examples are only a few of the numerous possible economic scenarios that could be utilized in assessing the sensitivity of expected credit losses. The estimated impacts on credit losses in such scenarios pertain only to modeled credit losses and do not include consideration of other factors the Company may evaluate when determining its allowance for loan losses. As a result, it is possible that the Company may, at another point in time, reach different conclusions regarding credit loss estimates. The Company’s process for determining the allowance for loan losses undergoes quarterly and periodic evaluations by independent risk management personnel, which among many other considerations, evaluate the reasonableness of management’s methodology and significant assumptions. Further information about the Company’s methodology to estimate expected credit losses is included in note 4 of Notes to Financial Statements. 

Management has assessed that the allowance for loan losses at June 30, 2025 appropriately reflected expected credit losses in the portfolio as of that date. The allowance for loan losses totaled $2.2 billion at each of June 30, 2025, March 31, 2025 and December 31, 2024. As a percent of loans outstanding, the allowance for loan losses was 1.61% at each of June 30, 2025 and December 31, 2024, compared with 1.63% at March 31, 2025. The decrease in the allowance for loan losses as a percent of loans outstanding from March 31, 2025 reflects lower levels of criticized commercial real estate loans. Included in the allocation of the allowance for loan losses were reserves for loans secured by office properties