BANK OF AMERICA CORP DE

(1)Estimated at the segment level only.

(2)In segments and businesses where the total of liabilities and equity exceeds assets, we allocate assets from All Other to match the segments’ and businesses’ liabilities and allocated shareholders’ equity. As a result, total earning assets and total assets of the businesses may not equal total Consumer Banking.

See page 10 for footnotes.

Consumer Banking, comprised of Deposits and Consumer Lending, offers a diversified range of credit, banking and investment products and services to consumers and small businesses. For more information about Consumer Banking, see Business Segment Operations in the MD&A of the Corporation’s 2023 Annual Report on Form 10-K.

Consumer Banking Results

Net income for Consumer Banking decreased $258 million to $2.6 billion primarilydue to lower revenue. Net interest income decreased$319 million to $8.1 billion primarily driven by lower deposit balances, partially offset by higher loan balances. Noninterest income was $2.1 billion, largely unchanged from the same period a year ago.

The provision for credit losses was $1.3 billion, relatively unchanged from the same period a year ago. Noninterest expense was $5.5 billion, relatively unchanged from the same period a year ago.

The return on average allocated capital was 24 percent, down from 27 percent, due to an increase in allocated capital and lower net income. For information on capital allocated to the business segments, see Business Segment Operations on page 10.

Net income for Consumer Banking decreased $710 million to$5.3 billion primarily due to lower revenue. Net interest income decreased $715 million to $16.3 billion primarily due to the same factors as described in the three-month discussion. Noninterest income decreased $143 million to $4.1 billion, primarily due to lower other income driven by the allocation of asset and liability management (ALM) results.

The provision for credit losses increased $75 million to $2.4 billion primarily driven by credit card loans. Noninterest expense was $10.9 billion, relatively unchanged from the same period a year ago.

The return on average allocated capital was 24 percent, down from 29 percent, primarily due to an increase in allocated capital and lower net income.

11 Bank of America

Deposits

Net income for Deposits decreased $326 million to$1.8 billion primarily due to lower revenue. Net interest income decreased$513 million to$5.2 billion primarily driven by lower deposit balances. Noninterest income was$699 million, relatively unchanged from the same period a year ago.

Noninterest expense was $3.4 billion, relatively unchanged from the same period a year ago.

Average deposits decreased $56.9 billion to $944.4 billion primarily due to net outflows of $60.9 billion in money market savings and $26.1 billion in checking, partially offset by growth in time deposits of $40.1 billion.

Net income for Deposits decreased$715 million to $3.7 billion primarily due to lower revenue. Net interest income decreased$1.1 billion to$10.5 billion primarily due to the same factor as described in the three-month discussion. Noninterest income decreased$108 million to$1.4 billion primarily driven by the allocation of ALM results.

Average deposits decreased$65.2 billion to$946.1 billion primarily due to net outflows of $67.2 billion in money market savings and $29.1 billion in checking, partially offset by growth in time deposits of $41.8 billion.

The table below provides key performance indicators for Deposits. Management uses these metrics, and we believe they are useful to investors because they provide additional information to evaluate our deposit profitability and digital/mobile trends.

(1)Includes deposits held in Consumer Lending.

(2)Includes client brokerage assets, deposit sweep balances, Bank of America, N.A. brokered CDs and AUM in Consumer Banking.

(3)Represents mobile and/or online active users over the past 90 days.

(4)Represents mobile active users over the past 90 days.

Consumer investment assets increased $89.4 billion from June 30, 2023 to $476.1 billion at June 30, 2024 driven by market performance and positive net client flows. Active mobile banking users increased approximately two million, reflecting continuing changes in our clients’ banking preferences. Since June 30, 2023, we have had a net decrease of 101 financial centers and 363 ATMs as we continue to optimize our consumer banking network.

Consumer Lending

Net income for Consumer Lending increased$68 million to$751 million primarily due to higher revenue. Net interest income increased $194 million to $2.9 billion primarily due to higher loan balances. Noninterest income was $1.4 billion, relatively unchanged from the same period a year ago.

The provision for credit losses was$1.2 billion, relatively unchanged from the same period a year ago. Noninterest expense increased$54 millionto$2.1 billion, relatively unchanged from the same period a year ago.

Average loans increased$5.4 billion to$308.0 billion primarily driven by an increase in credit card loans.

Net income for Consumer Lending was$1.5 billion, relatively unchanged from the same period a year ago. Net interest income increased$345 million to $5.8 billion primarily due to the same factor as described in the three-month discussion. Noninterest income was $2.7 billion, relatively unchanged from the same period a year ago.

The provision for credit losses increased$211 million to$2.3 billion primarily driven by credit card loans. Noninterest expense increased$92 million to$4.2 billion, relatively unchanged from the same period a year ago.

Average loans increased$7.3 billion to$308.4 billion primarily driven by the same factor as described in the three-month discussion.

The following table provides key performance indicators for Consumer Lending. Management uses these metrics, and we believe they are useful to investors because they provide additional information about loan growth and profitability.

(1)Includes GWIM's credit card portfolio.

(2)Calculated as the effective annual percentage rate divided by average loans.

(3)Calculated as the difference between total revenue, net of interest expense, and net credit losses divided by average loans.

During the three and six months ended June 30, 2024, the total risk-adjusted margin decreased 108 bps and 147 bps primarily driven by higher net credit losses and lower net fee income, partially offset by higher interest margin. During the

three and six months ended June 30, 2024, total credit card purchase volumes increased $193 million and $1.7 billion, and debit card purchase volumes increased $7.4 billion and $15.4 billion, reflecting higher levels of consumer spending.

(1)The loan production amounts represent the unpaid principal balance of loans and, in the case of home equity, the principal amount of the total line of credit.

(2)In addition to loan production in Consumer Banking, there is also first mortgage and home equity loan production in GWIM.

First mortgage loan originations for Consumer Banking and the total Corporation decreased$193 million and$212 million during the three months ended June 30, 2024 primarily driven by lower demand. During the six months ended June 30, 2024, first mortgage loan originations for Consumer Bankingand the total Corporation decreased$461 million and$706 million primarily driven by lower demand.

Home equity production in Consumer Bankingand the total Corporation decreased $144 million and $149 million during the three months ended June 30, 2024 primarily driven by lower demand. During the six months ended June 30, 2024, home equity production in Consumer Banking and the total Corporation decreased $727 million and $854 million primarily driven by lower demand.

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