KEYCORP /NEW/

As shown in Figure 6, noninterest expense was $1.1 billion for the first quarter of 2025, compared to $1.1 billion for the first quarter of 2024.

The following discussion explains the composition of certain elements of our noninterest expense and the factors that caused those elements to change.

Figure 6. Noninterest Expense

(a)Other noninterest expense includes equipment, operating lease expense, marketing, and other expense. See the "Consolidated Statements of Income" in Item 1. Financial Statements of this report.

Personnel

Personnel expense, the largest category of our noninterest expense, increased by $6 million, or .9%, for the three months ended March 31, 2025, compared to the same period one year ago. The increase reflects higher general salary expense stemming from increased head count slightly offset by a decrease in deferred savings plan benefit costs.

Nonpersonnel expense

Nonpersonnel expense includes net occupancy, computer processing, business services and professional fees, equipment, operating lease expense, marketing, and other miscellaneous expense categories. Nonpersonnel expense for the three months ended March 31, 2025, decreased $18 million, or 3.8%, from the year-ago quarter, driven by a decrease in other expense due to a FDIC special assessment charge in the first quarter of 2024, slightly offset by increases in technology-related investments.