12 unchanged sentences
While the future effects of rising rates on deposit balances cannot be known, the Company maintains a practice of running multiple rate scenarios to better understand interest rate risk and its effect on the Company’s performance.
−Removed: Simulation A September 30, 2021 June 30, 2021
+Added: Simulation A March 31, 2022 December 31, 2021
(Dollars in millions)
4 unchanged sentences
100 basis points rising 31.5 3.86 — 39.5 5.42 —
−Removed: Simulation B September 30, 2021 June 30, 2021
+Added: Simulation B March 31, 2022 December 31, 2021
(Dollars in millions)
4 unchanged sentences
100 basis points rising 12.9 1.58 (673.4) 33.5 4.59 (263.6)
−Removed: Under Simulation A, in the three rising rate scenarios, interest rate risk is slightly more asset sensitive than the previous quarter, which primarily resulted from an increase in securities purchased under agreements to resell.
+Added: Under Simulation A, in the three rising rate scenarios, interest rate risk is less asset sensitive than the previous quarter, which is primarily due to a decrease in interest earning balances at the Federal Reserve coupled with an increase in interest rates.
Deposit attrition was removed from the simulation in both the current and previous quarters.
1 unchanged sentence
In Simulation B, the assumed levels of deposit attrition were modeled to capture the results of a shrinking balance sheet.
−Removed: Under this Simulation, in the three rising rate scenarios, interest rate risk is slightly more asset sensitive than the previous quarter, which primarily resulted from an increase in securities purchased under agreements to resell.
+Added: Under this Simulation, in the three rising rate scenarios, interest rate risk is less asset sensitive than the previous quarter, also primarily due to a decrease in interest earning balances at the Federal Reserve coupled with an increase in interest rates.
Projecting deposit activity in a period of historically low interest rates is difficult, and the Company cannot predict how deposits will actually react to shifting rates.
2 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.