DALLAS, June 29, 2016 /PRNewswire/ -- Comerica
Incorporated (NYSE: CMA) today announced that the Federal Reserve
has completed its 2016 Comprehensive Capital Analysis and Review
("CCAR") and did not object to the Comerica capital plan and
capital distributions contemplated in the plan. The plan
includes equity repurchases of up to $440
million for the four-quarter period commencing in the third
quarter 2016 and ending in the second quarter 2017. The
timing and ultimate amount of equity repurchases will be subject to
various factors, including the Company's capital position,
financial performance and market conditions, including interest
rates.
In addition, at its meeting on July 26,
2016, the Board will consider increasing the Company's
quarterly dividend to $0.23 per
common share, a 4.5 percent increase over the current dividend
rate.
"We are pleased that the Federal Reserve did not object to
Comerica's 2016 capital plan, including an increase in equity
repurchases, which we believe is a reflection of the strength of
our franchise," said Ralph W. Babb
Jr., chairman and chief executive officer. "Returning
capital to shareholders is a key element of Comerica's strategic
priorities - along with tightly managing expenses, maximizing
growth opportunities, and maintaining a strong balance sheet - and
this plan will allow us to continue to execute against those
priorities and drive long-term value for our shareholders."
Shares reacquired pursuant to the equity repurchase program will
be held as treasury shares and may be used for various corporate
purposes, including to offset issuances of common shares under
Comerica's compensation plans.
Comerica Incorporated is a financial services company
headquartered in Dallas, Texas,
and strategically aligned by three business segments: The Business
Bank, The Retail Bank, and Wealth Management. Comerica focuses on
relationships, and helping people and businesses be successful. In
addition to Texas, Comerica Bank
locations can be found in Arizona,
California, Florida and Michigan, with select businesses operating in
several other states, as well as in Canada and Mexico. Comerica reported total assets of
$69 billion at March 31, 2016.
Forward Looking Statements
Any statements in this news release that are not historical
facts are forward-looking statements as defined in the Private
Securities Litigation Reform Act of 1995. Words such as
"anticipates," "believes," "contemplates," "feels," "expects,"
"estimates," "seeks," "strives," "plans," "intends," "outlook,"
"forecast," "position," "target," "mission," "assume,"
"achievable," "potential," "strategy," "goal," "aspiration,"
"opportunity," "initiative," "outcome," "continue," "remain,"
"maintain," "on course," "trend," "objective," "looks forward,"
"projects," "models" and variations of such words and similar
expressions, or future or conditional verbs such as "will,"
"would," "should," "could," "might," "can," "may" or similar
expressions, as they relate to Comerica or its management, are
intended to identify forward-looking statements. These
forward-looking statements are predicated on the beliefs and
assumptions of Comerica's management based on information known to
Comerica's management as of the date of this news release and do
not purport to speak as of any other date. Forward-looking
statements may include descriptions of plans and objectives of
Comerica's management for future or past operations, products or
services, and forecasts of Comerica's revenue, earnings or other
measures of economic performance, including statements of
profitability, business segments and subsidiaries, estimates of
credit trends and global stability. Such statements reflect the
view of Comerica's management as of this date with respect to
future events and are subject to risks and uncertainties. Should
one or more of these risks materialize or should underlying beliefs
or assumptions prove incorrect, Comerica's actual results could
differ materially from those discussed. Factors that could cause or
contribute to such differences are changes in general economic,
political or industry conditions; changes in monetary and fiscal
policies, including changes in interest rates; changes in
regulation or oversight; Comerica's ability to maintain adequate
sources of funding and liquidity; the effects of more stringent
capital or liquidity requirements; declines or other changes in the
businesses or industries of Comerica's customers, in particular the
energy industry; unfavorable developments concerning credit
quality; operational difficulties, failure of technology
infrastructure or information security incidents; reliance on other
companies to provide certain key components of business
infrastructure; factors impacting noninterest expenses which are
beyond Comerica's control; changes in the financial markets,
including fluctuations in interest rates and their impact on
deposit pricing; reductions in Comerica's credit rating; whether
Comerica may achieve opportunities for revenue enhancements and
efficiency improvements; the interdependence of financial service
companies; the implementation of Comerica's strategies and business
initiatives; damage to Comerica's reputation; Comerica's ability to
utilize technology to efficiently and effectively develop, market
and deliver new products and services; competitive product and
pricing pressures among financial institutions within Comerica's
markets; changes in customer behavior; any future strategic
acquisitions or divestitures; management's ability to maintain and
expand customer relationships; management's ability to retain key
officers and employees; the impact of legal and regulatory
proceedings or determinations; the effectiveness of methods of
reducing risk exposures; the effects of terrorist activities and
other hostilities; the effects of catastrophic events including,
but not limited to, hurricanes, tornadoes, earthquakes, fires,
droughts and floods; changes in accounting standards and the
critical nature of Comerica's accounting policies. Comerica
cautions that the foregoing list of factors is not exclusive. For
discussion of factors that may cause actual results to differ from
expectations, please refer to our filings with the Securities and
Exchange Commission. In particular, please refer to "Item 1A. Risk
Factors" beginning on page 12 of Comerica's Annual Report on Form
10-K for the year ended December 31,
2015 and "Item 1A. Risk Factors" beginning on page 54 of
Comerica's Quarterly Report on Form 10-Q for the quarter ended
March 31, 2016. Forward-looking
statements speak only as of the date they are made. Comerica does
not undertake to update forward-looking statements to reflect
facts, circumstances, assumptions or events that occur after the
date the forward-looking statements are made. For any
forward-looking statements made in this news release or in any
documents, Comerica claims the protection of the safe harbor for
forward-looking statements contained in the Private Securities
Litigation Reform Act of 1995.
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SOURCE Comerica Incorporated