KEYCORP /NEW/
For the period ended Mar 31, 2026. Filed May 5, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 5, 2026
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Loans and loans held for sale
Figure 8. Composition of Loans at March 31, 2026
| March 31, 2026 | December 31, 2025 | |||
|---|---|---|---|---|
| Dollars in millions | Amount | Percent of Total | Amount | Percent of Total |
| COMMERCIAL | ||||
| Commercial and industrial (a) | $60,651 | 55.5% | $57,688 | 54.1% |
| Commercial real estate: | ||||
| Commercial mortgage | 14,144 | 12.9 | 13,707 | 12.9 |
| Construction | 2,801 | 2.6 | 2,844 | 2.7 |
| Total commercial real estate loans | 16,945 | 15.5 | 16,551 | 15.6 |
| Commercial lease financing | 2,200 | 2.0 | 2,270 | 2.1 |
| Total commercial loans | 79,796 | 73.0 | 76,509 | 71.8 |
| CONSUMER | ||||
| Real estate — residential mortgage | 18,483 | 16.9 | 18,732 | 17.6 |
| Home equity loans | 5,528 | 5.1 | 5,703 | 5.3 |
| Other consumer loans | 4,477 | 4.1 | 4,644 | 4.4 |
| Credit cards | 906 | 0.9 | 953 | 0.9 |
| Total consumer loans | 29,394 | 27.0 | 30,032 | 28.2 |
| Total loans (b) | $109,190 | 100.0% | $106,541 | 100.0% |
(a)Loan balances include $207 million and $218 million of commercial credit card balances at December 31, 2026, and March 31, 2025, respectively.
(b)Total loans exclude loans of $194 million at December 31, 2026, and $205 million at March 31, 2025, related to the discontinued operations of the education lending business.
At March 31, 2026, total loans outstanding from continuing operations were $109.2 billion, compared to $106.5 billion at December 31, 2025. For more information on balance sheet carrying value, see Note 1 (“Summary of Significant Accounting Policies”) under the headings “Loans” and “Loans Held for Sale” starting on page 108 of our 2025 Form 10-K.
Commercial loan portfolio
Commercial loans outstanding were $79.8 billion at March 31, 2026, an increase of $3.3 billion, or 4.3%, comparedto December 31, 2025, primarily driven by growth in the commercial and industrial loan portfolios.
Figure 9 provides our commercial loan portfolios by industry classification at March 31, 2026, and December 31, 2025.
Figure 9. Commercial Loans by Industry
| March 31, 2026 | Commercial and industrial | Commercialreal estate | Commerciallease financing | Total commercialloans | Percent oftotal |
|---|---|---|---|---|---|
| Dollars in millions | |||||
| Industry classification: | |||||
| Agriculture | $947 | $121 | $75 | $1,143 | 1.4% |
| Automotive | 2,384 | 644 | — | 3,028 | 3.8 |
| Business services | 3,236 | 247 | 110 | 3,593 | 4.5 |
| Commercial real estate | 8,551 | 12,147 | 1 | 20,699 | 25.9 |
| Construction materials and contractors | 2,244 | 274 | 136 | 2,654 | 3.3 |
| Consumer goods | 3,872 | 584 | 211 | 4,667 | 5.8 |
| Consumer services | 4,309 | 795 | 242 | 5,346 | 6.7 |
| Equipment | 1,674 | 148 | 40 | 1,862 | 2.3 |
| Finance | 13,460 | 99 | 166 | 13,725 | 17.3 |
| Healthcare | 2,474 | 1,431 | 112 | 4,017 | 5.0 |
| Materials and extraction | 2,190 | 217 | 99 | 2,506 | 3.1 |
| Oil and gas | 2,015 | 55 | 12 | 2,082 | 2.6 |
| Public exposure | 1,740 | 7 | 286 | 2,033 | 2.5 |
| Technology | 1,173 | 16 | 75 | 1,264 | 1.7 |
| Transportation | 990 | 132 | 288 | 1,410 | 1.8 |
| Utilities | 9,056 | — | 340 | 9,396 | 11.8 |
| Other | 336 | 28 | 7 | 371 | 0.5 |
| Total | $60,651 | $16,945 | $2,200 | $79,796 | 100.0% |
| December 31, 2025 | Commercial and industrial | Commercialreal estate | Commerciallease financing | Total commercialloans | Percent oftotal |
| Dollars in millions | |||||
| Industry classification: | |||||
| Agriculture | $908 | $110 | $76 | $1,094 | 1.4% |
| Automotive | 2,475 | 610 | — | 3,085 | 4.0 |
| Business services | 3,228 | 227 | 85 | 3,540 | 4.6 |
| Commercial real estate | 8,124 | 12,045 | 1 | 20,170 | 26.4 |
| Construction materials and contractors | 1,978 | 238 | 153 | 2,369 | 3.1 |
| Consumer goods | 3,541 | 547 | 213 | 4,301 | 5.6 |
| Consumer services | 4,081 | 799 | 251 | 5,131 | 6.7 |
| Equipment | 1,586 | 153 | 45 | 1,784 | 2.3 |
| Finance | 12,165 | 96 | 167 | 12,428 | 16.3 |
| Healthcare | 2,714 | 1,334 | 133 | 4,181 | 5.5 |
| Materials and extraction | 2,105 | 177 | 104 | 2,386 | 3.1 |
| Oil and gas | 2,051 | 28 | 13 | 2,092 | 2.7 |
| Public exposure | 1,654 | 7 | 306 | 1,967 | 2.6 |
| Technology | 1,009 | 17 | 82 | 1,108 | 1.5 |
| Transportation | 1,022 | 121 | 276 | 1,419 | 1.9 |
| Utilities | 8,686 | — | 358 | 9,044 | 11.8 |
| Other | 361 | 42 | 7 | 410 | 0.5 |
| Total | $57,688 | $16,551 | $2,270 | $76,509 | 100.0% |
Commercial and industrial. Commercial and industrial loans are the largest component of our loan portfolio, representing 56% of our total loan portfolio at March 31, 2026, and 54% at December 31, 2025. This portfolio is approxima tely 92%variable rate and consists of loans originated primarily to large corporate, middle market, and small business clients.
Commercial and industrial loans totaled $60.7 billion at March 31, 2026, an increase of $3.0 billion, or 5.1%, compared to December 31, 2025. The increase was driven by loans to the Finance industry, which primarily includes finance, insurance, and leasing companies.
Commercial real estate loans. Our commercial real estate portfolio includes project loans primarily focused in market-rate and affordable multi-family housing loans, owner-occupied commercial and industrial operating company buildings, and community center grocer-anchored retail centers. These three commercial real estate segments make up 70% of our commercial real estate portfolio. Our non-owner-occupied portfolio is focused on operators of commercial real estate who not only utilize our loan products, but also utilize our broader industry-focused products and services and provide consistent pipelines into our agency, CMBS, and other long-term market take out products. This focus ensures our relationship clients foster and build portfolios with stable, recurring cash flows, with adequate, balanced cash reserves to support our balance sheet exposures through the economic cycle.
At March 31, 2026, commercial real estate loans totaled $16.9 billion, which includes $14.1 billion of mortgage loans and $2.8 billion of construction loans. Compared to December 31, 2025, this portfolio increased $394 million, or 2.4%. Nonowner-occupied properties, generally properties for which at least 50% of the debt service is provided by rental income from nonaffiliated third parties, represented 81% of total commercial real estate loans outstanding at March 31, 2026.
Our overall construction loans constitute 17% of commercial real estate loans as of March 31, 2026 and December 31, 2025, respectively. Construction loans provide a stream of funding for properties not fully leased at origination to support debt service payments over the term of the contract or project. As of March 31, 2026, 75% of our construction portfolio are multi-family project loans. Our office exposure only represents 4% of commercial real estate loans at period end.
As shown in Figure 10, our commercial real estate loan portfolio includes various property types and geographic locations of the underlying collateral. These loans include commercial mortgage and construction loans in both Consumer Bank and Commercial Bank.
Figure 10. Commercial Real Estate Loans
| Geographic Region · Total · Percent ofTotal · Construction · CommercialMortgage | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dollars in millions · West · Southwest · Central · Midwest · Southeast · Northeast · National | |||||||||||||
| Nonowner-occupied: | |||||||||||||
| Data Center | $— | $— | $18 | $— | $34 | $— | $618 | $670 | 4.0% | $296 | $375 | ||
| Diversified | 1 | — | — | 29 | — | 8 | 190 | 228 | 1.3 | — | 228 | ||
| Industrial | 38 | 1 | 85 | 154 | 223 | 163 | 255 | 919 | 5.4 | 67 | 852 | ||
| Land & Residential | 9 | 5 | 10 | 4 | 6 | 19 | — | 53 | 0.3 | 35 | 18 | ||
| Lodging | 1 | — | 8 | 4 | 19 | 65 | 66 | 163 | 1.0 | — | 163 | ||
| Medical Office | 35 | — | 30 | 1 | 20 | 66 | 43 | 195 | 1.2 | 11 | 184 | ||
| Multifamily | 1,202 | 288 | 1,389 | 1,263 | 1,721 | 1,250 | 478 | 7,591 | 44.8 | 2,107 | 5,484 | ||
| Office | 78 | — | 82 | 70 | 84 | 200 | 115 | 629 | 3.7 | — | 629 | ||
| Retail | 68 | 40 | 117 | 217 | 94 | 183 | 252 | 971 | 5.7 | 18 | 953 | ||
| Self Storage | 27 | — | 15 | 6 | 37 | 16 | 157 | 258 | 1.5 | 7 | 251 | ||
| Senior Housing | 96 | 95 | 35 | 102 | 181 | 80 | 187 | 776 | 4.6 | 94 | 682 | ||
| Skilled Nursing | — | — | — | — | 159 | 224 | 363 | 746 | 4.4 | — | 746 | ||
| Student Housing | 62 | 6 | 13 | 47 | — | — | — | 128 | 0.8 | — | 128 | ||
| Other | 5 | 9 | 99 | 28 | 52 | 28 | 130 | 351 | 2.1 | — | 350 | ||
| Total nonowner-occupied | 1,622 | 444 | 1,901 | 1,925 | 2,630 | 2,302 | 2,854 | 13,678 | 80.7 | 2,635 | 11,043 | ||
| Owner-occupied | 1,032 | — | 352 | 549 | 164 | 988 | 182 | 3,267 | 19.3 | 166 | 3,101 | ||
| Total | $2,654 | $444 | $2,253 | $2,474 | $2,794 | $3,290 | $3,036 | $16,945 | 100.0% | $2,801 | $14,144 | ||
| Nonperforming loans | $7 | $— | $25 | $103 | $47 | $7 | $1 | $190 | N/M | $— | $190 | ||
| Accruing loans past due 90 days or more | — | — | 1 | — | 83 | 5 | — | 89 | N/M | 1 | 88 | ||
| Accruing loans past due 30 through 89 days | 2 | — | — | 2 | — | 1 | — | 5 | N/M | — | 5 | ||
| Geographic Region · Total · Percent ofTotal · Construction · CommercialMortgage | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dollars in millions · West · Southwest · Central · Midwest · Southeast · Northeast · National | |||||||||||||
| Nonowner-occupied: | |||||||||||||
| Data Center | $— | $— | $— | $— | $24 | $— | $671 | $695 | 4.2% | $272 | $423 | ||
| Diversified | 1 | — | — | 29 | — | 10 | 176 | 216 | 1.3 | — | 216 | ||
| Industrial | 37 | 1 | 77 | 154 | 262 | 166 | 211 | 908 | 5.5 | 72 | 836 | ||
| Land & Residential | 9 | 6 | 13 | 3 | 6 | 19 | — | 56 | 0.3 | 38 | 18 | ||
| Lodging | 1 | — | 8 | 4 | 33 | 40 | 60 | 146 | 0.9 | — | 146 | ||
| Medical Office | 35 | — | 31 | 1 | 20 | 63 | 43 | 193 | 1.2 | 9 | 184 | ||
| Multifamily | 1,303 | 356 | 1,328 | 1,201 | 1,762 | 1,228 | 404 | 7,582 | 45.8 | 2,150 | 5,432 | ||
| Office | 79 | 1 | 90 | 70 | 84 | 200 | 114 | 638 | 3.9 | — | 638 | ||
| Retail | 90 | 40 | 91 | 226 | 87 | 185 | 230 | 949 | 5.7 | 20 | 929 | ||
| Self Storage | 36 | — | 15 | 6 | 50 | 16 | 157 | 280 | 1.7 | 20 | 260 | ||
| Senior Housing | 90 | 95 | 35 | 103 | 181 | 81 | 192 | 777 | 4.7 | 94 | 683 | ||
| Skilled Nursing | — | — | — | — | 181 | 220 | 242 | 643 | 3.9 | — | 643 | ||
| Student Housing | 73 | 6 | 13 | 46 | — | — | — | 138 | 0.8 | — | 138 | ||
| Other | 5 | 8 | 12 | 27 | 47 | 31 | 129 | 259 | 1.6 | — | 259 | ||
| Total nonowner-occupied | 1,759 | 513 | 1,713 | 1,870 | 2,737 | 2,259 | 2,629 | 13,480 | 81.4 | 2,675 | 10,805 | ||
| Owner-occupied | 1,026 | — | 316 | 519 | 124 | 929 | 157 | 3,071 | 18.6 | 169 | 2,902 | ||
| Total | $2,785 | $513 | $2,029 | $2,389 | $2,861 | $3,188 | $2,786 | $16,551 | 100.0% | $2,844 | $13,707 | ||
| Nonperforming loans | $8 | $— | $25 | $68 | $48 | $7 | $1 | $157 | N/M | $— | $157 | ||
| Accruing loans past due 90 days or more | — | — | 2 | 1 | 26 | 5 | — | 34 | N/M | 1 | 33 | ||
| Accruing loans past due 30 through 89 days | 1 | — | 1 | 1 | 56 | 8 | — | 67 | N/M | — | 67 | ||
| West – | Alaska, California, Hawaii, Idaho, Montana, Oregon, Washington, and Wyoming |
|---|---|
| Southwest – | Arizona, Nevada, and New Mexico |
| Central – | Arkansas, Colorado, Oklahoma, Texas, and Utah |
| Midwest – | Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin |
| Southeast – | Alabama, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, North Carolina, South Carolina, Tennessee, Virginia, Washington D.C., and West Virginia |
| Northeast – | Connecticut, Maine, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, and Vermont |
| National – | Accounts in three or more regions |
N/M = not meaningful
Consumer loan portfolio
Consumer loans outstanding as of March 31, 2026, totaled $29.4 billion, a decrease of $638 million, or 2.1%, from December 31, 2025. The decrease was driven by declines across all consumer loan categories reflective of the intentional run-off of low-yielding loans.
The residential mortgage portfolio is comprised of loans originated by our Consumer Bank and is the largest segment of our consumer loan portfolio as of March 31, 2026, represen ting 63% of consumer loans outstanding. This is followed by our home equity portfolio representing 19% of consumer loans outstanding at March 31, 2026.
We held the first lien position for approxim ately 63% of the home equity portfolio at March 31, 2026 and December 31, 2025, respectively. For loans with real estate collateral, we track borrower performance monthly. Regardless of the lien position, credit metrics are refreshed quarterly, including recent FICO scores as well as updated loan-to-value ratios. This information is used in establishing the ALLL. Our methodology is described in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Allowance for Loan and Lease Losses” of our 2025 Form 10-K.
Figure 11 presents our consumer loans by geography.
Figure 11. Consumer Loans by State
| Dollars in millions | Real estate — residential mortgage | Home equity loans | Other consumer loans | Credit cards | Total |
|---|---|---|---|---|---|
| Washington | $3,952 | $822 | $195 | $82 | $5,051 |
| Ohio | 2,617 | 723 | 63 | 181 | 3,584 |
| New York | 598 | 1,549 | 686 | 309 | 3,142 |
| Colorado | 2,750 | 231 | 112 | 29 | 3,122 |
| California | 2,047 | 13 | 383 | 3 | 2,446 |
| Oregon | 1,120 | 474 | 82 | 40 | 1,716 |
| Pennsylvania | 370 | 382 | 287 | 60 | 1,099 |
| Florida | 664 | 36 | 327 | 12 | 1,039 |
| Utah | 745 | 205 | 50 | 16 | 1,016 |
| Connecticut | 607 | 193 | 97 | 28 | 925 |
| Other | 3,013 | 900 | 2,195 | 146 | 6,254 |
| Total | $18,483 | $5,528 | $4,477 | $906 | $29,394 |
| Washington | $4,030 | $844 | $202 | $85 | $5,161 |
| Ohio | 2,613 | 758 | 66 | 195 | 3,632 |
| New York | 626 | 1,587 | 702 | 326 | 3,241 |
| Colorado | 2,769 | 236 | 118 | 29 | 3,152 |
| California | 2,056 | 13 | 399 | 3 | 2,471 |
| Oregon | 1,145 | 487 | 85 | 41 | 1,758 |
| Pennsylvania | 378 | 395 | 296 | 62 | 1,131 |
| Florida | 675 | 36 | 343 | 13 | 1,067 |
| Utah | 759 | 215 | 53 | 17 | 1,044 |
| Connecticut | 618 | 200 | 100 | 29 | 947 |
| Other | 3,063 | 932 | 2,280 | 153 | 6,428 |
| Total | $18,732 | $5,703 | $4,644 | $953 | $30,032 |
Figure 12 summarizes our loan sales for the three months ended March 31, 2026, and all of 2025.
Figure 12. Loans Sold (Including Loans Held for Sale)
| Dollars in millions | Commercial | CommercialReal Estate | Commercial Lease Financing | ResidentialReal Estate | Total |
|---|---|---|---|---|---|
| First quarter | $36 | $1,667 | $122 | $411 | $2,236 |
| Total | $36 | $1,667 | $122 | $411 | $2,236 |
| Fourth quarter | $81 | $2,804 | $50 | $331 | $3,266 |
| Third quarter | 79 | 2,513 | 61 | 359 | 3,012 |
| Second quarter | 239 | 1,465 | — | 338 | 2,042 |
| First quarter | 89 | 1,355 | 27 | 260 | 1,731 |
| Total | $488 | $8,137 | $138 | $1,288 | $10,051 |
Figure 13 shows loans that are either administered or serviced by us, but not recorded on the balance sheet; this includes loans that were sold.
Figure 13. Loans Administered or Serviced
| Dollars in millions | March 31, 2026 | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 |
|---|---|---|---|---|---|
| Commercial real estate loans | $580,860 | $566,567 | $569,430 | $576,703 | $572,449 |
| Residential mortgage | 11,488 | 11,419 | 11,440 | 11,383 | 11,352 |
| Education loans | 143 | 152 | 161 | 170 | 179 |
| Commercial lease financing | 1,639 | 1,719 | 1,815 | 1,815 | 1,868 |
| Commercial loans | 572 | 576 | 585 | 589 | 596 |
| Consumer direct | 242 | 258 | 273 | 290 | 307 |
| Consumer indirect | 53 | 83 | 122 | 174 | 239 |
| Total | $594,997 | $580,774 | $583,826 | $591,124 | $586,990 |
In the event of default by a borrower, we are subject to recourse with respect to approx imately$8.2 billion of the$595.0 billion of loans administered or serviced at March 31, 2026. These are primarily associated with commercial real estate loans administered or serviced. Additional information about this recourse arrangement is included in Note 14 (“Contingent Liabilities and Guarantees”) under the heading “Recourse agreement with FNMA.”
We derive income from several sources when retaining the right to administer or service loans that are sold. We earn noninterest income (recorded as “Consumer mortgage income” and “Commercial mortgage servicing fees”) from fees for servicing or administering loans. This fee income is reduced by the amortization of related servicing assets. In addition, we earn interest income from investing funds generated by escrow deposits collected in connection with the servicing loans. Additional information about our mortgage servicing assets is included in Note 8 (“Mortgage Servicing Assets”).
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.