Form 8-K COMERICA INC /NEW/ For: Apr 21

April 21, 2020 6:34 AM

Dallas, TX/April 21, 2020

FIRST QUARTER 2020 NET LOSS OF $65 MILLION

Comerica is Well-Positioned to Navigate These Challenging Times

Well-Capitalized, Strong Liquidity Base and Solid Operating Leverage

Record $53.5 Billion in Period-End Loans, up $3.1 Billion to Support Customers' Needs

Allowance for Loan Losses of $916 Million, or 1.71% of Total Loans

Provision Reflects Stress on Energy Loans and Expected Recessionary Environment

"The well-being of our customers, employees and communities is our priority during this challenging time," said Curt C. Farmer, Comerica Chairman, President and Chief Executive Officer. "Comerica has quickly adapted to the COVID-19 crisis. I am proud of the work our team has done to ensure we continue to deliver products and services. During times of stress, our conservative approach to banking, including liquidity and capital management, serves us well. Over our 170-year history, we have managed through many economic cycles, demonstrating our resiliency and our ability to work cohesively and leverage our ingenuity and entrepreneurial spirit. Helping our customers navigate changing environments by providing our expertise, products and services is at the heart of Comerica’s relationship banking strategy.

“Our first quarter results reflect a large increase in our credit reserves and, to a much lesser degree, the net impact of the decline in interest rates. We prudently increased our credit reserves in light of the economic outlook, particularly as it relates to Energy. Loans increased over $3 billion in the latter half of March to a record level, as we appropriately supported customers' borrowing needs. Relative to the first quarter last year, average deposits were up $2.8 billion, or 5 percent. Compared to the previous quarter, noninterest income included a decline in noncustomer-related activity as well as lower loan syndication volume. Expenses were well controlled and resulted in an efficiency ratio of under 57 percent. We have suspended our share repurchase program and remain focused on deploying our capital to meet our customers' financing requirements.”



(dollar amounts in millions, except per share data)	1st Qtr '20			4th Qtr '19			1st Qtr '19
FINANCIAL RESULTS
Net interest income	$	513		$	544		$	606
Provision for credit losses	411			8			(13		)
Noninterest income	237			266			238
Noninterest expenses	425			451			433
Pre-tax (loss) income	(86		)	351			424
(Benefit) provision for income taxes	(21		)	82			85
Net (loss) income	$	(65	)	$	269		$	339
Diluted (losses) earnings per common share	$	(0.46	)	$	1.85		$	2.11
Period-end loans	53,458			50,369			50,302
Period-end deposits	57,366			57,295			54,091
Average loans	49,604			50,505			49,677
Average deposits	56,768			57,178			53,996
Efficiency ratio (a)	56.57		%	55.46		%	50.81		%
Net interest margin	3.06			3.20			3.79
Common equity Tier 1 capital ratio (b)	9.51			10.13			10.78
Common equity ratio	9.70			9.98			10.48
Common shareholders' equity per share of common stock	$	53.24		$	51.57		$	47.67
Tangible common equity per share of common stock (c)	48.65			47.07			43.55


(a)	Noninterest expenses as a percentage of net interest income and noninterest income excluding net gains (losses) from securities and a derivative contract tied to the conversion rate of Visa Class B shares.


(b)	Estimated for March 31, 2020, reflects deferral of CECL model impact as calculated per regulatory guidance.


(c)	See Reconciliation of Non-GAAP Financial Measures.

First Quarter 2020 Compared to Fourth Quarter 2019 Overview

Balance sheet items discussed in terms of average balances unless otherwise noted.

Loans decreased $901 million to $49.6 billion.


•	An increase in Commercial Real Estate was more than offset by a decrease in Mortgage Banker Finance from higher seasonal activity and refinance volumes in the prior quarter, as well as decreases in National Dealer Services and Energy.


•	The average yield on loans decreased 24 basis points to 4.19 percent, reflecting the lower interest rate environment.


•	Period-end loans increased $3.1 billion to a record $53.5 billion.


◦	Reflected a $747 million increase in Mortgage Banker Finance due to higher refinance volume in the latter half of March as rates declined, as well as a combined increase of $2.1 billion in Corporate Banking, Commercial Real Estate, General Middle Market and Technology and Life Sciences as customer draws increased to meet liquidity needs.

Deposits relatively stable at $56.8 billion.


•	An increase in relationship-based interest-bearing deposits was offset by decreases in other time (consisting of brokered deposits) and noninterest-bearing deposits.


•	The average cost of interest-bearing deposits decreased 16 basis points to 76 basis points, reflecting prudent management of relationship pricing in a falling rate environment.


•	Period-end deposits were also stable at $57.4 billion, reflecting higher relationship-based deposits, offset by lower other time deposits (consisting of brokered deposits).

Net interest income decreased $31 million to $513 million.


•	Reflected the net impact of lower interest rates including deposit pricing ($15 million), and, to a lesser extent, lower average loan balances and one less day in the quarter.

Provision for credit losses increased to $411 million.


•	The allowance for loan losses, calculated using the current expected credit loss (CECL) model, increased $279 million to $916 million, or 1.71 percent of total loans, reflecting the forecasted impact of the COVID-19 pandemic, including the economic impacts of social distancing, and continued pressures on Energy.


•	Net credit-related charge-offs totaled $84 million, or 0.68 percent of average loans. Excluding Energy, net charge-offs totaled $17 million, or 0.13 percent of average loans.

Noninterest income decreased $29 million to $237 million.


•	Excluding a decline in noncustomer activity due to a $7 million decrease in deferred compensation asset returns (offset in noninterest expenses) and a $6 million gain on the sale of Comerica's Health Savings Account business in fourth quarter 2019, noninterest income decreased $16 million.


•	Reflected decreases of $8 million in commercial lending fees (primarily syndication agent fees), $4 million in customer derivative income and $3 million in card fees.


◦	Record level of customer derivative income was more than offset by a $16 million change in credit valuation adjustment.

Noninterest expenses decreased $26 million to $425 million.

Results include a $7 million reduction to outside processing expense with a corresponding increase to software expense from a change in accounting classification during first quarter 2020.


•	The decrease in noninterest expenses included declines of $15 million in salaries and benefits expense, $6 million in outside processing fee expense (net of classification change), $4 million in occupancy expense and $3 million in advertising expense.

◦

Salaries and benefits expense included a $7 million decrease in deferred compensation expense (offset in noninterest income), a net decrease of $5 million in incentive and annual stock-based compensation, as well as a $5 million decrease in technology-related contingent labor costs and a $4 million seasonal decrease in staff health insurance costs, partially offset by an $8 million seasonal increase in payroll taxes.

Provision for income taxes was a benefit of $21 million.

Capital position remained solid with a common equity Tier 1 capital ratio of 9.51 percent.


•	Comerica joined other U.S. financial institutions in suspending its share repurchase program through the end of the second quarter of 2020, with a focus on deploying capital to meet customers' growing financing requirements.


•	Returned a total of $283 million to shareholders, including an increase in the dividend to 68 cents per share and the repurchase of $189 million of common stock (3.2 million shares) prior to the suspension of the repurchase plan.


•	Newly issued regulatory relief to defer the impact of adopting the CECL model for measuring credit losses expected to provide a benefit of approximately 10 basis points to the estimated common equity Tier 1 capital ratio.

First Quarter 2020 Compared to First Quarter 2019 Overview

Balance sheet items discussed in terms of average balances unless otherwise noted.

Loans were relatively stable, reflecting increases in Commercial Real Estate and Mortgage Banker Finance, offset by a decline in National Dealer Services. The average yield on loans declined 88 basis points, consistent with the lower interest rate environment.


•	Period-end loans increased $3.2 billion to $53.5 billion, reflecting a $1.8 billion increase in Mortgage Banker Finance, as well as a combined increase of $1.8 billion in Commercial Real Estate and Corporate Banking as customers met their liquidity needs, partially offset by decreases in National Dealer Services and Energy.

Deposits increased $2.8 billion, reflecting an increase in relationship-based interest-bearing deposits, partially offset by decreases in other time (consisting of brokered deposits) and noninterest-bearing deposits. The average cost of interest-bearing deposits was relatively stable, declining 2 basis points to 76 basis points.


•	Period-end deposits increased $3.3 billion to $57.4 billion, reflecting higher relationship-based deposits, partially offset by lower other time deposits (consisting of brokered deposits).

Net interest income decreased $93 million, reflecting the impact of lower short-term rates on loans.

Provision for credit losses, calculated using the CECL model effective first quarter 2020, increased $424 million, reflecting the forecasted impact of the COVID-19 pandemic, including the economic impacts of social distancing, and continued pressures on Energy.

Noninterest income was stable at $237 million, including a reduction in net securities losses (primarily due to a repositioning loss recorded in first quarter 2019), as well as increased fiduciary income, offset by decreases in commercial lending fees, deferred compensation asset returns (offset in noninterest expenses) and card fees.

Noninterest expenses decreased $8 million, reflecting decreases in salaries and benefits expense, partially offset by increases in operational losses, FDIC insurance expense and advertising expense.

Results include a $7 million reduction to outside processing expense with a corresponding increase to software expense from a change in accounting classification during first quarter 2020.

Net Interest Income

Balance sheet items presented and discussed in terms of average balances.



(dollar amounts in millions)	1st Qtr '20			4th Qtr '19			1st Qtr '19
Net interest income	$	513		$	544		$	606
Net interest margin	3.06		%	3.20		%	3.79		%
Selected balances:
Total earning assets	$	67,496		$	67,710		$	64,618
Total loans	49,604			50,505			49,677
Total investment securities	12,331			12,225			11,955
Federal Reserve Bank deposits	5,147			4,597			2,642

Total deposits	56,768			57,178			53,996
Total noninterest-bearing deposits	26,761			26,966			26,872
Short-term borrowings	157			60			221
Medium- and long-term debt	7,324			7,305			6,694

Net interest income decreased $31 million, and net interest margin decreased 14 basis points, compared to fourth quarter 2019.

•

Interest income on loans decreased $47 million and reduced net interest margin by 21 basis points, due to lower short-term rates (-$27 million, -16 basis points), lower loan balances (-$8 million, -2 basis points), one less day in the quarter (-$6 million), lower loan fees (-$2 million, -1 basis point) as well as the impact of nonaccrual loans and other portfolio dynamics (-$4 million, -2 basis points).


•	Interest income on short-term investments decreased $2 million and reduced net interest margin by 4 basis points, primarily reflecting lower rates (-$4 million, -2 basis points), partially offset by an increase in lower-yielding deposits with the Federal Reserve Bank (+$2 million, -2 basis points).


•	Interest expense on deposits decreased $14 million and improved net interest margin by 8 basis points, primarily due to lower deposit costs (+$12 million, +7 basis points), as well as lower deposit balances and one less day in the quarter.


•	Interest expense on debt decreased $5 million and increased net interest margin by 3 basis points, primarily due to lower rates.

The net impact of lower rates, including deposit pricing, to the first quarter net interest income was a reduction of $15 million and 8 basis points to the net interest margin.

Credit Quality

“The path of the emerging recession remains uncertain, as we have just begun to see the economic impacts of the COVID-19 health crisis, and the fiscal and monetary policy response has been unprecedented and massive," said Farmer. "The Energy sector has been under pressure for the past several quarters, and the situation has eroded further with significant supply and demand imbalances. Therefore, we prudently increased our credit reserves to over $900 million, or 1.71 percent of total loans. This included an increase in the allocation of reserves to Energy loans to over 10 percent. We are proactively reaching out to customers and closely monitoring our portfolio for the impacts of social distancing as well as volatile energy prices. We believe that our reserves are appropriate, and that we are well positioned. Our consistent, conservative underwriting standards have served us well through economic cycles, as demonstrated by our superior credit performance through the Great Recession.”



(dollar amounts in millions)	1st Qtr '20			4th Qtr '19			1st Qtr '19
Credit-related charge-offs	$	89		$	27		$	20
Recoveries	5			6			9
Net credit-related charge-offs	84			21			11
Net credit-related charge-offs/Average total loans	0.68		%	0.16		%	0.08		%
Provision for credit losses	$	411		$	8		$	(13	)

Nonperforming loans	239			204			198
Nonperforming assets (NPAs)	250			215			199
NPAs/Total loans and foreclosed property	0.47		%	0.43		%	0.40		%
Loans past due 90 days or more and still accruing	$	64		$	26		$	24
Allowance for loan losses	916			637			647
Allowance for credit losses on lending-related commitments (a)	62			31			30
Total allowance for credit losses	978			668			677
Allowance for loan losses/Period-end total loans	1.71		%	1.27		%	1.29		%
Allowance for loan losses/Nonperforming loans	3.8x			3.1x			3.3x


(a)	Included in accrued expenses and other liabilities on the Consolidated Balance Sheets.

Adoption of the CECL model in first quarter 2020 resulted in a $17 million decrease to the allowance for credit losses as of January 1, 2020.


•	The allowance for loan losses increased $279 million to $916 million, or 1.71 percent of total loans, reflecting the forecasted impact of the COVID-19 pandemic, including the economic impacts of social distancing, and continued pressures on Energy.


◦	Energy loans totaled $2.1 billion, or 4 percent of total loans at March 31, 2020. The allocation of reserves for Energy loans increased to over 10 percent in response to the imbalance in supply and demand of oil markets as well as reduced capital market activity.


•	Criticized loans increased $337 million to $2.5 billion, less than 5 percent of total loans. Criticized loans are generally consistent with the Special Mention, Substandard and Doubtful categories defined by regulatory authorities.


◦	Criticized Energy loans increased $127 million to $493 million, or 20 percent of total criticized loans.


◦	Also included $321 million of criticized Technology and Life Sciences loans, which increased $106 million to 13 percent of total criticized loans.


•	Net charge-offs were $84 million, or 0.68 percent of average loans.


◦	Energy net charge-offs were $67 million compared to $19 million in fourth quarter 2019. Excluding Energy, net charge-offs totaled $17 million, or 0.13 percent of average loans.


•	Nonperforming assets increased $35 million to $250 million. Nonperforming assets as a percentage of total loans and foreclosed property increased to 0.47 percent compared to 0.43 percent in fourth quarter 2019.


◦	Nonperforming Energy loans increased $22 million to $65 million.

Outlook for Second Quarter 2020 Compared to First Quarter 2020

Based on management expectations for recessionary conditions:


•	Growth in average loans, reflecting an increase in Mortgage Banker Finance and support of customers' liquidity needs, including through the Paycheck Protection Program, partly offset by customers' reduced working capital and capital expenditure needs.


•	Growth in average deposits as customers conserve liquidity and receive benefits of economic stimulus programs, partly offset by customers using cash to meet operating needs.


•	Decrease in net interest income due to the net impact of lower interest rates, partially offset by loan growth.


◦	Estimated $55 million net reduction from lower interest rates.


•	Provision for credit losses highly uncertain, reflective of economic environment, including the effects resulting from the duration and severity of the COVID-19 pandemic. Current reserve is appropriate based on expected recessionary conditions as of March 31, 2020.


•	Stable noninterest income with increase in card fees offset by reduced economic activity and lower market-based fees.


•	Increase in noninterest expenses from higher outside processing expenses and costs related to the COVID-19 pandemic as well as the impact of merit increases, partially offset by continued expense discipline.


•	Capital to reflect suspension of share repurchase program and focus on supporting customers' financing needs as well as providing an attractive dividend.

Business Segments

Comerica's operations are strategically aligned into three major business segments: the Business Bank, the Retail Bank and Wealth Management. The Finance Division is also reported as a segment. Comerica also provides market segment results for three primary geographic markets: Michigan, California and Texas. In addition to the three primary geographic markets, Other Markets is also reported as a market segment. Other Markets includes Florida, Arizona, the International Finance division and businesses that have a significant presence outside of the three primary geographic markets. For a summary of business segment and geographic market quarterly results, see the Business Segment Financial Results and Market Segment Financial Results tables included later in this report. From time to time, Comerica may make reclassifications among the segments to reflect management's current view of the segments, and methodologies may be modified as the management accounting system is enhanced and changes occur in the organizational structure and/or product lines. The financial results provided are based on the internal business unit and geographic market structures of Comerica and methodologies in effect at March 31, 2020. A discussion of business segment and geographic market year-to-date results will be included in Comerica's First Quarter 2020 Form 10-Q.

Conference Call and Webcast

Comerica will host a conference call to review first quarter 2020 financial results at 7 a.m. CT Tuesday, April 21, 2020. Interested parties may access the conference call by calling (800) 309-2262 or (706) 679-5261 (Event ID No. 3289618). The call and supplemental financial information can also be accessed via Comerica's "Investor Relations" page at www.comerica.com. A replay of the Webcast can be accessed via Comerica's “Investor Relations” page at www.comerica.com.

Comerica Incorporated is a financial services company headquartered in Dallas, Texas, and strategically aligned by three major 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.

This press release contains both financial measures based on accounting principles generally accepted in the United States (GAAP) and non-GAAP based financial measures, which are used where management believes it to be helpful in understanding Comerica's results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as a reconciliation to the comparable GAAP financial measure, can be found in this press release. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

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 track,” “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 as well as 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 include credit risks (unfavorable developments concerning credit quality; declines or other changes in the businesses or industries of Comerica's customers, in particular the energy industry; and changes in customer behavior); market risks (changes in monetary and fiscal policies; fluctuations in interest rates and their impact on deposit pricing; and transitions away from LIBOR towards new interest rate benchmarks); liquidity risks (Comerica's ability to maintain adequate sources of funding and liquidity; reductions in Comerica's credit rating; and the interdependence of financial service companies); technology risks (cybersecurity risks and heightened legislative and regulatory focus on cybersecurity and data privacy); operational risks (operational, systems or infrastructure failures; reliance on other companies to provide certain key components of business infrastructure; the impact of legal and regulatory proceedings or determinations; losses due to fraud; and controls and procedures failures); compliance risks (changes in regulation or oversight; the effects of stringent capital requirements; and the impacts of future legislative, administrative or judicial changes to tax regulations); financial reporting risks (changes in accounting standards and the critical nature of Comerica's accounting policies); strategic risks (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; the implementation of Comerica's strategies and business initiatives; management's ability to maintain and expand customer relationships; management's ability to retain key officers and employees; and any future strategic acquisitions or divestitures); and other general risks (changes in general economic, political or industry conditions; the effectiveness of methods of reducing risk exposures; the effects of catastrophic events, including the Covid-19 global pandemic; and the volatility of Comerica’s stock price). Comerica cautions that the foregoing list of factors is not all-inclusive. 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, 2019. 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.



Media Contacts:	Investor Contacts:
Wendy Bridges	Darlene P. Persons
(214) 462-4443	(214) 462-6831

Louis H. Mora	Amanda Perkins
(214) 462-6669	(214) 462-6731



CONSOLIDATED FINANCIAL HIGHLIGHTS (unaudited)
Comerica Incorporated and Subsidiaries

	Three Months Ended
	March 31,			December 31,			March 31,
(in millions, except per share data)	2020			2019			2019
PER COMMON SHARE AND COMMON STOCK DATA
Diluted (losses) earnings per common share	$	(0.46	)	$	1.85		$	2.11
Cash dividends declared	0.68			0.67			0.67
Average diluted shares (in thousands)	140,554			144,566			159,518
PERFORMANCE RATIOS
Return on average common shareholders' equity	(3.49		)%	14.74		%	18.44		%
Return on average assets	(0.35		)	1.46			1.97
Efficiency ratio (a)	56.57			55.46			50.81
CAPITAL
Common equity tier 1 capital (b)	$	6,654		$	6,919		$	7,277
Risk-weighted assets (b)	69,996			68,273			67,532
Common equity tier 1 and tier 1 risk-based capital ratio (b)	9.51		%	10.13		%	10.78		%
Total risk-based capital ratio (b)	11.83			12.13			12.80
Leverage ratio (b)	9.13			9.51			10.40
Common shareholders' equity per share of common stock	53.24			51.57			47.67
Tangible common equity per share of common stock (c)	48.65			47.07			43.55
Common equity ratio	9.70			9.98			10.48
Tangible common equity ratio (c)	8.93			9.19			9.66
AVERAGE BALANCES
Commercial loans	$	30,697		$	31,808		$	31,461
Real estate construction loans	3,564			3,398			3,238
Commercial mortgage loans	9,638			9,356			8,997
Lease financing	582			586			519
International loans	1,004			1,030			1,014
Residential mortgage loans	1,855			1,887			1,965
Consumer loans	2,264			2,440			2,483
Total loans	49,604			50,505			49,677
Earning assets	67,496			67,710			64,618
Total assets	73,265			73,151			69,771
Noninterest-bearing deposits	26,761			26,966			26,872
Interest-bearing deposits	30,007			30,212			27,124
Total deposits	56,768			57,178			53,996
Common shareholders' equity	7,438			7,237			7,459
NET INTEREST INCOME
Net interest income	$	513		$	544		$	606
Net interest margin	3.06		%	3.20		%	3.79		%
CREDIT QUALITY
Total nonperforming assets	$	250		$	215		$	199
Loans past due 90 days or more and still accruing	64			26			24
Net credit-related charge-offs	84			21			11
Allowance for loan losses	916			637			647
Allowance for credit losses on lending-related commitments	62			31			30
Total allowance for credit losses (d)	978			668			677
Allowance for loan losses as a percentage of total loans	1.71		%	1.27		%	1.29		%
Net credit-related charge-offs as a percentage of average total loans	0.68			0.16			0.08
Nonperforming assets as a percentage of total loans and foreclosed property	0.47			0.43			0.40
Allowance for loan losses as a percentage of total nonperforming loans	3.8x			3.1x			3.3x
OTHER KEY INFORMATION
Number of banking centers	436			436			436
Number of employees - full time equivalent	7,753			7,747			7,675


(a)	Noninterest expenses as a percentage of the sum of net interest income and noninterest income excluding net (losses) gains from securities and a derivative contract tied to the conversion rate of Visa Class B shares.


(b)	Estimated for March 31, 2020, reflects deferral of CECL model impact as calculated per regulatory guidance.


(c)	See Reconciliation of Non-GAAP Financial Measures.


(d)	Allowance for credit losses for March 31, 2020 calculated using the CECL model effective first quarter 2020.



CONSOLIDATED BALANCE SHEETS
Comerica Incorporated and Subsidiaries

	March 31,			December 31,			March 31,
(in millions, except share data)	2020			2019			2019
	(unaudited)						(unaudited)
ASSETS
Cash and due from banks	$	848		$	973		$	1,063
Interest-bearing deposits with banks	4,007			4,845			2,418
Other short-term investments	138			155			136
Investment securities available-for-sale	13,041			12,398			12,212
Commercial loans	34,249			31,473			32,007
Real estate construction loans	3,756			3,455			3,291
Commercial mortgage loans	9,698			9,559			8,989
Lease financing	584			588			535
International loans	1,035			1,009			1,040
Residential mortgage loans	1,821			1,845			1,949
Consumer loans	2,315			2,440			2,491
Total loans	53,458			50,369			50,302
Less allowance for loan losses	(916		)	(637		)	(647		)
Net loans	52,542			49,732			49,655
Premises and equipment	454			457			474
Accrued income and other assets	5,307			4,842			4,732
Total assets	$	76,337		$	73,402		$	70,690
LIABILITIES AND SHAREHOLDERS' EQUITY
Noninterest-bearing deposits	$	27,646		$	27,382		$	26,242
Money market and interest-bearing checking deposits	24,475			24,527			22,889
Savings deposits	2,258			2,184			2,175
Customer certificates of deposit	2,958			2,978			2,258
Other time deposits	—			133			518
Foreign office time deposits	29			91			9
Total interest-bearing deposits	29,720			29,913			27,849
Total deposits	57,366			57,295			54,091
Short-term borrowings	2,263			71			935
Accrued expenses and other liabilities	1,872			1,440			1,407
Medium- and long-term debt	7,434			7,269			6,848
Total liabilities	68,935			66,075			63,281
Common stock - $5 par value:
Authorized - 325,000,000 shares
Issued - 228,164,824 shares	1,141			1,141			1,141
Capital surplus	2,168			2,174			2,159
Accumulated other comprehensive income (loss)	174			(235		)	(513		)
Retained earnings	9,389			9,538			8,979
Less cost of common stock in treasury - 89,127,359 shares at 3/31/2020, 86,069,234 shares at 12/31/2019 and 72,747,011 shares at 3/31/2019	(5,470		)	(5,291		)	(4,357		)
Total shareholders' equity	7,402			7,327			7,409
Total liabilities and shareholders' equity	$	76,337		$	73,402		$	70,690



CONSOLIDATED QUARTERLY STATEMENTS OF COMPREHENSIVE INCOME (unaudited)
Comerica Incorporated and Subsidiaries

	First			Fourth		Third		Second		First			First Quarter 2020 Compared to:
	Quarter			Quarter		Quarter		Quarter		Quarter			Fourth Quarter 2019					First Quarter 2019
(in millions, except per share data)	2020			2019		2019		2019		2019			Amount			Percent		Amount			Percent
INTEREST INCOME
Interest and fees on loans	$	517		$	564	$	619	$	635	$	621		$	(47	)	(8	)%	$	(104	)	(17	)%
Interest on investment securities	74			75		75		75		72			(1		)	(1	)	2			2
Interest on short-term investments	18			20		17		17		17			(2		)	(9	)	1			7
Total interest income	609			659		711		727		710			(50		)	(8	)	(101		)	(14	)
INTEREST EXPENSE
Interest on deposits	56			70		73		67		52			(14		)	(20	)	4			9
Interest on short-term borrowings	—			—		2		6		1			—			—		(1		)	n/m
Interest on medium- and long-term debt	40			45		50		51		51			(5		)	(12	)	(11		)	(23	)
Total interest expense	96			115		125		124		104			(19		)	(17	)	(8		)	(8	)
Net interest income	513			544		586		603		606			(31		)	(6	)	(93		)	(15	)
Provision for credit losses	411			8		35		44		(13		)	403			n/m		424			n/m
Net interest income after provision for credit losses	102			536		551		559		619			(434		)	(81	)	(517		)	(83	)
NONINTEREST INCOME
Card fees	59			62		67		65		63			(3		)	(6	)	(4		)	(8	)
Fiduciary income	54			52		53		52		49			2			4		5			10
Service charges on deposit accounts	49			50		51		51		51			(1		)	(3	)	(2		)	(3	)
Commercial lending fees	17			25		23		21		22			(8		)	(30	)	(5		)	(22	)
Foreign exchange income	11			11		11		11		11			—			—		—			—
Bank-owned life insurance	12			10		11		11		9			2			13		3			25
Letter of credit fees	9			9		10		10		9			—			—		—			—
Brokerage fees	7			7		7		7		7			—			—		—			—
Net securities (losses) gains	(1		)	1		—		—		(8		)	(2		)	n/m		7			(93	)
Other noninterest income	20			39		23		22		25			(19		)	(47	)	(5		)	(16	)
Total noninterest income	237			266		256		250		238			(29		)	(11	)	(1		)	(1	)
NONINTEREST EXPENSES
Salaries and benefits expense	242			257		253		245		265			(15		)	(6	)	(23		)	(9	)
Outside processing fee expense	57			70		66		65		63			(13		)	(18	)	(6		)	(9	)
Occupancy expense	37			41		39		37		37			(4		)	(9	)	—			—
Software expense	37			30		30		28		29			7			27		8			28
Equipment expense	12			13		13		12		12			(1		)	(12	)	—			—
Advertising expense	7			10		10		9		5			(3		)	(33	)	2			34
FDIC insurance expense	8			6		6		6		5			2			32		3			63
Other noninterest expenses	25			24		18		22		17			1			6		8			47
Total noninterest expenses	425			451		435		424		433			(26		)	(6	)	(8		)	(2	)
(Loss) income before income taxes	(86		)	351		372		385		424			(437		)	n/m		(510		)	n/m
(Benefit) provision for income taxes	(21		)	82		80		87		85			(103		)	n/m		(106		)	n/m
NET (LOSS) INCOME	(65		)	269		292		298		339			(334		)	n/m		(404		)	n/m
Less income allocated to participating securities	—			2		2		1		2			(2		)	n/m		(2		)	n/m
Net (loss) income attributable to common shares	$	(65	)	$	267	$	290	$	297	$	337		$	(332	)	n/m		$	(402	)	n/m
(Losses) earnings per common share:
Basic	$	(0.46	)	$	1.87	$	1.98	$	1.95	$	2.14		$	(2.33	)	n/m		$	(2.60	)	n/m
Diluted	(0.46		)	1.85		1.96		1.94		2.11			(2.31		)	n/m		(2.57		)	n/m
Comprehensive income	344			370		338		429		435			(26		)	(7	)	(91		)	(21	)
Cash dividends declared on common stock	94			96		97		100		105			(2		)	(2	)	(11		)	(10	)
Cash dividends declared per common share	0.68			0.67		0.67		0.67		0.67			0.01			1		0.01			1

n/m - not meaningful



ANALYSIS OF THE ALLOWANCE FOR LOAN LOSSES (unaudited)
Comerica Incorporated and Subsidiaries

	2020			2019
(in millions)	1st Qtr			4th Qtr			3rd Qtr			2nd Qtr			1st Qtr
Balance at beginning of period	$	637		$	652		$	657		$	647		$	671
Cumulative effect of change in accounting principle	(17		)	—			—			—			—
Loan charge-offs:
Commercial	87			24			59			42			18
Commercial mortgage	—			2			—			—			1
International	—			—			—			1			—
Residential mortgage	—			—			1			—			—
Consumer	2			1			1			1			1
Total loan charge-offs	89			27			61			44			20
Recoveries on loans previously charged-off:
Commercial	3			3			17			7			8
Commercial mortgage	2			1			—			3			—
International	—			1			—			—			—
Residential mortgage	—			—			1			—			—
Consumer	—			1			1			1			1
Total recoveries	5			6			19			11			9
Net loan charge-offs	84			21			42			33			11
Provision for loan losses	380			6			37			43			(13		)
Balance at end of period	$	916		$	637		$	652		$	657		$	647
Allowance for loan losses as a percentage of total loans	1.71		%	1.27		%	1.27		%	1.27		%	1.29		%
Net loan charge-offs as a percentage of average total loans	0.68			0.16			0.33			0.26			0.08



ANALYSIS OF THE ALLOWANCE FOR CREDIT LOSSES ON LENDING-RELATED COMMITMENTS (unaudited)
Comerica Incorporated and Subsidiaries
	2020		2019
(in millions)	1st Qtr		4th Qtr		3rd Qtr			2nd Qtr		1st Qtr
Balance at beginning of period	$	31	$	29	$	31		$	30	$	30
Add: Provision for credit losses on lending-related commitments	31		2		(2		)	1		—
Balance at end of period	$	62	$	31	$	29		$	31	$	30



NONPERFORMING ASSETS (unaudited)
Comerica Incorporated and Subsidiaries

	2020			2019
(in millions)	1st Qtr			4th Qtr			3rd Qtr			2nd Qtr			1st Qtr

SUMMARY OF NONPERFORMING ASSETS AND PAST DUE LOANS
Nonaccrual loans:
Business loans:
Commercial	$	173		$	148		$	152		$	155		$	114
Commercial mortgage	19			14			13			12			16
Lease financing	1			—			—			1			2
International	—			—			2			3			3
Total nonaccrual business loans	193			162			167			171			135
Retail loans:
Residential mortgage	20			20			36			35			37
Consumer:
Home equity	22			17			17			18			19
Total nonaccrual retail loans	42			37			53			53			56
Total nonaccrual loans	235			199			220			224			191
Reduced-rate loans	4			5			6			6			7
Total nonperforming loans	239			204			226			230			198
Foreclosed property	11			11			3			3			1
Total nonperforming assets	$	250		$	215		$	229		$	233		$	199
Nonperforming loans as a percentage of total loans	0.45		%	0.40		%	0.44		%	0.44		%	0.39		%
Nonperforming assets as a percentage of total loans and foreclosed property	0.47			0.43			0.44			0.45			0.40
Allowance for loan losses as a multiple of total nonperforming loans	3.8x			3.1x			2.9x			2.9x			3.3x
Loans past due 90 days or more and still accruing	$	64		$	26		$	31		$	17		$	24
ANALYSIS OF NONACCRUAL LOANS
Nonaccrual loans at beginning of period	$	199		$	220		$	224		$	191		$	221
Loans transferred to nonaccrual (a)	137			48			85			93			4
Nonaccrual loan gross charge-offs	(89		)	(27		)	(61		)	(44		)	(20		)
Loans transferred to accrual status (a)	—			(7		)	—			—			—
Nonaccrual loans sold	—			(10		)	—			(5		)	—
Payments/Other (b)	(12		)	(25		)	(28		)	(11		)	(14		)
Nonaccrual loans at end of period	$	235		$	199		$	220		$	224		$	191
(a) Based on an analysis of nonaccrual loans with book balances greater than $2 million.
(b) Includes net changes related to nonaccrual loans with balances less than $2 million, payments on nonaccrual loans with book balances greater than $2 million and transfers of nonaccrual loans to foreclosed property.



ANALYSIS OF NET INTEREST INCOME (unaudited)
Comerica Incorporated and Subsidiaries

	Three Months Ended
	March 31, 2020							December 31, 2019							March 31, 2019
	Average					Average		Average					Average		Average					Average
(dollar amounts in millions)	Balance			Interest		Rate		Balance			Interest		Rate		Balance			Interest		Rate

Commercial loans	$	30,697		$	314	4.07	%	$	31,808		$	353	4.37	%	$	31,461		$	394	5.07	%
Real estate construction loans	3,564			43		4.85		3,398			44		5.16		3,238			46		5.74
Commercial mortgage loans	9,638			101		4.21		9,356			105		4.45		8,997			114		5.14
Lease financing	582			5		3.63		586			5		3.72		519			5		3.87
International loans	1,004			11		4.48		1,030			12		4.73		1,014			13		5.37
Residential mortgage loans	1,855			17		3.67		1,887			18		3.79		1,965			19		3.85
Consumer loans	2,264			26		4.60		2,440			27		4.48		2,483			30		4.98
Total loans	49,604			517		4.19		50,505			564		4.43		49,677			621		5.07

Mortgage-backed securities	9,514			57		2.42		9,431			58		2.45		9,225			56		2.41
Other investment securities	2,817			17		2.48		2,794			17		2.46		2,730			16		2.32
Total investment securities	12,331			74		2.43		12,225			75		2.45		11,955			72		2.39

Interest-bearing deposits with banks	5,407			18		1.34		4,828			20		1.64		2,852			17		2.40
Other short-term investments	154			—		1.09		152			—		1.11		134			—		1.33
Total earning assets	67,496			609		3.64		67,710			659		3.87		64,618			710		4.44

Cash and due from banks	838							861							925
Allowance for loan losses	(693		)					(663		)					(672		)
Accrued income and other assets	5,624							5,243							4,900
Total assets	$	73,265						$	73,151						$	69,771

Money market and interest-bearing checking deposits	$	24,654		45		0.73		$	24,629		57		0.91		$	22,612		47		0.83
Savings deposits	2,202			—		0.06		2,169			—		0.06		2,170			—		0.04
Customer certificates of deposit	2,999			11		1.42		2,935			11		1.42		2,170			4		0.81
Other time deposits	70			—		2.00		410			2		2.33		160			1		2.34
Foreign office time deposits	82			—		1.30		69			—		1.33		12			—		1.55
Total interest-bearing deposits	30,007			56		0.76		30,212			70		0.92		27,124			52		0.78
Short-term borrowings	157			—		0.82		60			—		1.60		221			1		2.39
Medium- and long-term debt	7,324			40		2.15		7,305			45		2.41		6,694			51		3.06
Total interest-bearing sources	37,488			96		1.03		37,577			115		1.21		34,039			104		1.23
Noninterest-bearing deposits	26,761							26,966							26,872
Accrued expenses and other liabilities	1,578							1,371							1,401
Total shareholders' equity	7,438							7,237							7,459
Total liabilities and shareholders' equity	$	73,265						$	73,151						$	69,771
Net interest income/rate spread				$	513	2.61					$	544	2.66					$	606	3.21
Impact of net noninterest-bearing sources of funds						0.45							0.54							0.58
Net interest margin (as a percentage of average earning assets)						3.06	%						3.20	%						3.79	%



CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (unaudited)
Comerica Incorporated and Subsidiaries

								Accumulated
	Common Stock							Other									Total
	Shares				Capital			Comprehensive			Retained			Treasury			Shareholders'
(in millions, except per share data)	Outstanding		Amount		Surplus			Income (Loss)			Earnings			Stock			Equity
BALANCE AT DECEMBER 31, 2018	160.1		$	1,141	$	2,148		$	(609	)	$	8,781		$	(3,954	)	$	7,507
Cumulative effect of change in accounting principle	—		—		—			—			(14		)	—			(14		)
Net income	—		—		—			—			339			—			339
Other comprehensive income, net of tax	—		—		—			96			—			—			96
Cash dividends declared on common stock ($0.67 per share)	—		—		—			—			(105		)	—			(105		)
Purchase of common stock	(5.2	)	—		—			—			—			(434		)	(434		)
Net issuance of common stock under employee stock plans	0.5		—		(13		)	—			(22		)	31			(4		)
Share-based compensation	—		—		24			—			—			—			24
BALANCE AT MARCH 31, 2019	155.4		$	1,141	$	2,159		$	(513	)	$	8,979		$	(4,357	)	$	7,409
BALANCE AT DECEMBER 31, 2019	142.1		$	1,141	$	2,174		$	(235	)	$	9,538		$	(5,291	)	$	7,327
Cumulative effect of change in accounting principle	—		—		—			—			13			—			13
Net loss	—		—		—			—			(65		)	—			(65		)
Other comprehensive income, net of tax	—		—		—			409			—			—			409
Cash dividends declared on common stock ($0.68 per share)	—		—		—			—			(94		)	—			(94		)
Purchase of common stock	(3.4	)	—		—			—			—			(195		)	(195		)
Net issuance of common stock under employee stock plans	0.3		—		(14		)	—			(3		)	16			(1		)
Share-based compensation	—		—		8			—			—			—			8
BALANCE AT MARCH 31, 2020	139.0		$	1,141	$	2,168		$	174		$	9,389		$	(5,470	)	$	7,402



BUSINESS SEGMENT FINANCIAL RESULTS (unaudited)
Comerica Incorporated and Subsidiaries


(dollar amounts in millions)	Business			Retail			Wealth
Three Months Ended March 31, 2020	Bank			Bank			Management			Finance			Other				Total
Earnings summary:
Net interest income (expense)	$	380		$	125		$	41		$	(44	)	$	11			$	513
Provision for credit losses	396			3			12			—			—				411
Noninterest income	127			28			70			14			(2		)		237
Noninterest expenses	194			149			72			—			10				425
(Benefit) provision for income taxes	(20		)	—			6			(8		)	1			(a)	(21		)
Net (loss) income	$	(63	)	$	1		$	21		$	(22	)	$	(2	)		$	(65	)
Net credit-related charge-offs	$	83		$	1		$	—		$	—		$	—			$	84

Selected average balances:
Assets	$	44,254		$	2,864		$	5,078		$	14,285		$	6,784			$	73,265
Loans	42,593			2,075			4,936			—			—				49,604
Deposits	30,230			21,195			4,025			1,136			182				56,768

Statistical data:
Return on average assets (b)	(0.58		)%	0.03		%	1.69		%	n/m			n/m				(0.35		)%
Efficiency ratio (c)	38.47			96.03			64.28			n/m			n/m				56.57

	Business			Retail			Wealth
Three Months Ended December 31, 2019	Bank			Bank			Management			Finance			Other				Total
Earnings summary:
Net interest income (expense)	$	403		$	134		$	43		$	(48	)	$	12			$	544
Provision for credit losses	3			1			(1		)	—			5				8
Noninterest income	143			37			69			13			4				266
Noninterest expenses	203			156			75			—			17				451
Provision (benefit) for income taxes	79			3			9			(10		)	1			(a)	82
Net income (loss)	$	261		$	11		$	29		$	(25	)	$	(7	)		$	269
Net credit-related charge-offs	$	21		$	—		$	—		$	—		$	—			$	21

Selected average balances:
Assets	$	45,075		$	2,883		$	5,057		$	14,054		$	6,082			$	73,151
Loans	43,521			2,090			4,894			—			—				50,505
Deposits	30,535			21,084			4,015			1,332			212				57,178

Statistical data:
Return on average assets (b)	2.31		%	0.19		%	2.26		%	n/m			n/m				1.46		%
Efficiency ratio (c)	37.03			89.99			66.71			n/m			n/m				55.46

	Business			Retail			Wealth
Three Months Ended March 31, 2019	Bank			Bank			Management			Finance			Other				Total
Earnings summary:
Net interest income (expense)	$	412		$	146		$	48		$	(15	)	$	15			$	606
Provision for credit losses	(6		)	(4		)	(5		)	—			2				(13		)
Noninterest income	136			31			64			3			4				238
Noninterest expenses	198			145			72			—			18				433
Provision (benefit) for income taxes	82			8			11			(4		)	(12		)	(a)	85
Net income (loss)	$	274		$	28		$	34		$	(8	)	$	11			$	339
Net credit-related charge-offs (recoveries)	$	12		$	—		$	(1	)	$	—		$	—			$	11

Selected average balances:
Assets	$	43,909		$	2,812		$	5,174		$	13,585		$	4,291			$	69,771
Loans	42,538			2,103			5,036			—			—				49,677
Deposits	28,463			20,470			3,801			1,130			132				53,996

Statistical data:
Return on average assets (b)	2.53		%	0.54		%	2.67		%	n/m			n/m				1.97		%
Efficiency ratio (c)	36.24			81.34			64.42			n/m			n/m				50.81


(a)	Included discrete tax benefits of $3 million, $1 million and $11 million for the three months ended March 31, 2020, December 31, 2019 and March 31, 2019, respectively.


(b)	Return on average assets is calculated based on the greater of average assets or average liabilities and attributed equity.


(c)	Noninterest expenses as a percentage of the sum of net interest income and noninterest income excluding net (losses) gains from securities and a derivative contract tied to the conversion rate of Visa Class B shares.

n/m - not meaningful



MARKET SEGMENT FINANCIAL RESULTS (unaudited)
Comerica Incorporated and Subsidiaries


(dollar amounts in millions)										Other			Finance
Three Months Ended March 31, 2020	Michigan			California			Texas			Markets			& Other				Total
Earnings summary:
Net interest income (expense)	$	163		$	182		$	115		$	86		$	(33	)		$	513
Provision for credit losses	24			51			290			46			—				411
Noninterest income	72			36			30			87			12				237
Noninterest expenses	140			98			84			93			10				425
Provision (benefit) for income taxes	15			17			(50		)	4			(7		)	(a)	(21		)
Net income (loss)	$	56		$	52		$	(179	)	$	30		$	(24	)		$	(65	)
Net credit-related charge-offs	$	3		$	11		$	70		$	—		$	—			$	84

Selected average balances:
Assets	$	12,899		$	18,377		$	11,154		$	9,766		$	21,069			$	73,265
Loans	12,191			18,027			10,566			8,820			—				49,604
Deposits	20,748			17,466			9,204			8,032			1,318				56,768

Statistical data:
Return on average assets (b)	1.05		%	1.12		%	(6.45		)%	1.24		%	n/m				(0.35		)%
Efficiency ratio (c)	58.91			44.99			58.25			53.76			n/m				56.57

										Other			Finance
Three Months Ended December 31, 2019	Michigan			California			Texas			Markets			& Other				Total
Earnings summary:
Net interest income (expense)	$	172		$	194		$	121		$	93		$	(36	)		$	544
Provision for credit losses	(5		)	(22		)	31			(1		)	5				8
Noninterest income	73			52			31			93			17				266
Noninterest expenses	142			105			90			97			17				451
Provision (benefit) for income taxes	25			42			7			17			(9		)	(a)	82
Net income (loss)	$	83		$	121		$	24		$	73		$	(32	)		$	269
Net credit-related charge-offs (recoveries)	$	1		$	(1	)	$	20		$	1		$	—			$	21

Selected average balances:
Assets	$	13,098		$	18,295		$	11,353		$	10,269		$	20,136			$	73,151
Loans	12,399			17,943			10,708			9,455			—				50,505
Deposits	20,443			18,107			9,045			8,039			1,544				57,178

Statistical data:
Return on average assets (b)	1.55		%	2.51		%	0.84		%	2.84		%	n/m				1.46		%
Efficiency ratio (c)	57.22			42.45			59.43			51.95			n/m				55.46

										Other			Finance
Three Months Ended March 31, 2019	Michigan			California			Texas			Markets			& Other				Total
Earnings summary:
Net interest income	$	187		$	205		$	122		$	92		$	—			$	606
Provision for credit losses	5			(1		)	(11		)	(8		)	2				(13		)
Noninterest income	72			40			32			87			7				238
Noninterest expenses	139			100			84			92			18				433
Provision (benefit) for income taxes	26			37			19			19			(16		)	(a)	85
Net income	$	89		$	109		$	62		$	76		$	3			$	339
Net credit-related charge-offs (recoveries)	$	4		$	(3	)	$	13		$	(3	)	$	—			$	11

Selected average balances:
Assets	$	13,075		$	18,934		$	10,911		$	8,975		$	17,876			$	69,771
Loans	12,557			18,652			10,262			8,206			—				49,677
Deposits	19,893			16,238			8,697			7,906			1,262				53,996

Statistical data:
Return on average assets (b)	1.76		%	2.33		%	2.31		%	3.41		%	n/m				1.97		%
Efficiency ratio (c)	53.66			40.91			54.62			51.28			n/m				50.81


(a)	Included discrete tax benefits of $3 million, $1 million and $11 million for the three months ended March 31, 2020, December 31, 2019 and March 31, 2019, respectively.


(b)	Return on average assets is calculated based on the greater of average assets or average liabilities and attributed equity.


(c)	Noninterest expenses as a percentage of the sum of net interest income and noninterest income excluding net (losses) gains from securities and a derivative contract tied to the conversion rate of Visa Class B shares.

n/m - not meaningful



RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (unaudited)
Comerica Incorporated and Subsidiaries

Comerica believes non-GAAP measures are meaningful because they reflect adjustments commonly made by management, investors, regulators and analysts to evaluate the adequacy of common equity and our performance trends. Tangible common equity is used by Comerica to measure the quality of capital and the return relative to balance sheet risk.



	March 31,			December 31,			March 31,
(dollar amounts in millions)	2020			2019			2019

Tangible Common Equity Ratio:
Common shareholders' equity	$	7,402		$	7,327		$	7,409
Less:
Goodwill	635			635			635
Other intangible assets	3			4			5
Tangible common equity	$	6,764		$	6,688		$	6,769

Total assets	$	76,337		$	73,402		$	70,690
Less:
Goodwill	635			635			635
Other intangible assets	3			4			5
Tangible assets	$	75,699		$	72,763		$	70,050

Common equity ratio	9.70		%	9.98		%	10.48		%
Tangible common equity ratio	8.93			9.19			9.66

Tangible Common Equity per Share of Common Stock:
Common shareholders' equity	$	7,402		$	7,327		$	7,409
Tangible common equity	6,764			6,688			6,769

Shares of common stock outstanding (in millions)	139			142			155

Common shareholders' equity per share of common stock	$	53.24		$	51.57		$	47.67
Tangible common equity per share of common stock	48.65			47.07			43.55

The tangible common equity ratio removes the effect of intangible assets from capital and total assets. Tangible common equity per share of common stock removes the effect of intangible assets from common shareholders' equity per share of common stock.

&RPHULFD,QFRUSRUDWHG )LUVW4XDUWHU )LQDQFLDO5HYLHZ $SULO 6DIH+DUERU6WDWHPHQW Any statements in this presentation 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 track,” “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 presentation 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 as well as 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 include credit risks (unfavorable developments concerning credit quality; declines or other changes in the businesses or industries of Comerica's customers, in particular the energy industry; and changes in customer behavior); market risks (changes in monetary and fiscal policies; fluctuations in interest rates and their impact on deposit pricing; and transitions away from LIBOR towards new interest rate benchmarks); liquidity risks (Comerica's ability to maintain adequate sources of funding and liquidity; reductions in Comerica's credit rating; and the interdependence of financial service companies); technology risks (cybersecurity risks and heightened legislative and regulatory focus on cybersecurity and data privacy); operational risks (operational, systems or infrastructure failures; reliance on other companies to provide certain key components of business infrastructure; the impact of legal and regulatory proceedings or determinations; losses due to fraud; and controls and procedures failures); compliance risks (changes in regulation or oversight; the effects of stringent capital requirements; and the impacts of future legislative, administrative or judicial changes to tax regulations); financial reporting risks (changes in accounting standards and the critical nature of Comerica's accounting policies); strategic risks (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; the implementation of Comerica's strategies and business initiatives; management's ability to maintain and expand customer relationships; management's ability to retain key officers and employees; and any future strategic acquisitions or divestitures); and other general risks (changes in general economic, political or industry conditions; the effectiveness of methods of reducing risk exposures; the effects of catastrophic events, including the COVID-19 global pandemic; and the volatility of Comerica’s stock price). Comerica cautions that the foregoing list of factors is not all-inclusive. 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, 2019. 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 presentation 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. 2

6HUYLQJ2XU&XVWRPHUV(PSOR\HHV &RPPXQLW\ Building enduring relationships Helping our customers & communities navigate challenging times is at the heart of Comerica’s relationship banking strategy EMPLOYEES >65% of colleagues are working from home Monetary assistance with dependent/elder care Promise Pay: Colleagues who cannot work remotely receive up to an extra $175/week Fully cover cost of COVID-19 testing & online healthcare visits Hardship relief assistance, including consideration of: ƒ Fee waivers for overdraft, check order, ATM, late payment, credit card over limit, CD early CUSTOMERS withdrawal & HELOC subordination requests ƒ Waive overdraft balances to ensure customers receive full amount of consumer stimulus payment ƒ Disaster Assistance for Consumer loan & HELOC customers ƒ Loan deferrals & amendments As a SBA preferred lender, assisted customers in accessing Paycheck Protection Program ƒ $1.8B loans approved ƒ >5,000 applications received Banking Center drive-throughs remain open / lobby hours by appointment COMMUNITY Investing $4MM1 to support community programming & businesses ƒ Community Development Financial Institutions: support needs of small & micro businesses ƒ Community service organizations: provide services to youth, seniors and other vulnerable populations (particularly organizations addressing food insecurities & access to health care) ƒ Expediting $500,000 of planned funding to several local United Way organizations 4/21/20 Ⴠ 1Support from Comerica Bank & Comerica Charitable Foundation 3 45HVXOWV Increased allowance for loan losses ratio to 1.71% to reflect economic outlook &KDQJH)URP .H\3HUIRUPDQFH'ULYHUV PLOOLRQVH[FHSWSHUVKDUHGDWD 4 4 4 4 4 4FRPSDUHGWR4 Average loans $49,604 $50,505 $49,677 $(901) $(73) ƒ $YHUDJHORDQVUHIOHFW Period-end loans 53,458 50,369 50,302 3,089 3,156 GHFUHDVHVLQ0RUWJDJH%DQNHU 1DWLRQDO'HDOHU3HULRGHQG Average deposits 56,768 57,178 53,996 (410) 2,772 ORDQVUHDFKHGUHFRUGOHYHO Period-end deposits 57,366 57,295 54,091 71 3,275 ƒ 'HSRVLWVUHODWLYHO\VWDEOH Net interest income $513 $544 $606 $(31) $(93) ƒ 1HWLQWHUHVWLQFRPHLPSDFWHG Provision for credit losses 411 8 (13) 403 424 E\ORZHULQWHUHVWUDWHV Noninterest income1 237 266 238 (29) (1) ƒ 3URYLVLRQLQFOXGHVVWUHVVLQ Noninterest expenses 425 451 433 (26) (8) (QHUJ\ H[SHFWHG UHFHVVLRQDU\HQYLURQPHQW Provision for income tax (21) 82 85 (103) (106) Net income (65) 269 339 (334) (404) ƒ 1RQLQWHUHVWLQFRPHLQFOXGHV 00GHFOLQHLQ 2 Earnings per share $(0.46) $1.85 $2.11 $(2.31) $(2.57) QRQFXVWRPHUUHODWHGDFWLYLW\ Average diluted shares 140.6 144.6 159.5 (4.0) (18.9) ƒ ([SHQVHVZHOOFRQWUROOHG Efficiency ratio3 56.57% 55.46% 50.81% ƒ &DSLWDOUHPDLQVVWURQJ CET14 9.51 10.13 10.78 1Includes gain(loss) related to deferred comp plan of $2MM 1Q19, $3MM 4Q19 & ($3MM) 1Q20 (offset in noninterest expense) Ⴠ 2Diluted earnings per common share Ⴠ 3Noninterest expenses as a percentage of net interest income & noninterest income excluding net gains (losses) from securities & derivative contract tied to conversion rate of Visa Class B shares Ⴠ 41Q20 Common Equity Tier 1 capital ratio estimated 4

/RDQV Appropriately supporting customers’ liquidity needs $YHUDJH/RDQV $YHUDJHORDQVGHFUHDVH00 LQELOOLRQV 00&RPPHUFLDO5HDO(VWDWH Loan Yields t 000RUWJDJH%DQNHU 53.5 t 001DWLRQDO'HDOHU6HUYLFHV 51.0 50.9 t 00(QHUJ\ 50.5 50.4 49.7 49.6 3HULRGHQGORDQVLQFUHDVH% 00&RUSRUDWH%DQNLQJ 000RUWJDJH%DQNHU 00&RPPHUFLDO5HDO(VWDWH 5.07 5.00 00*HQHUDO0LGGOH0DUNHW 4.83 4.43 007HFKQRORJ\ /LIH6FLHQFHV 4.19 ƒ 6HHVOLGHIRUGHWDLOVRQOLQHRIFUHGLWXWLOL]DWLRQ 3URDFWLYHO\PDQDJLQJSRUWIROLR ƒ /RQJWHQXUHGH[SHULHQFHGWHDPZLWKGHHS H[SHUWLVHSURYLGLQJFXVWRPHUVXSSRUW ƒ )UHTXHQWFXVWRPHUFRQWDFWWRGHWHUPLQH ILQDQFLDOQHHGV ƒ 5LJKWVL]LQJFRPPLWPHQWVDGGUHVVLQJORDQ 1Q19 2Q19 3Q19 4Q19 1Q20 4Q19 1Q20 VSUHDGV XQXVHGIHHVIRUKLJKHUULVN $YHUDJH%DODQFHV 3HULRGHQG ORDQV 1Q20 compared to 4Q19 5 'HSRVLWV Deposit rates decreased 16 basis points as prudently adjust pricing $YHUDJH'HSRVLWV $YHUDJHGHSRVLWVUHODWLYHO\VWDEOH LQELOOLRQV ƒ 6HDVRQDOLW\SDUWO\RIIVHWE\FXVWRPHUV Deposit Rates1 LQFUHDVLQJOLTXLGLW\ t 00RWKHUWLPHEURNHUHG 57.2 57.3 57.4 55.7 56.8 t 00QRQLQWHUHVWEHDULQJ 54.0 55.0 0000,$ LQWHUHVWFKHFNLQJ 00FXVWRPHU&'V 5HODWLYHWR4DYHUDJHJURZWKRI% %00,$ LQWHUHVWFKHFNLQJ 00FXVWRPHU&'V /RDQWRGHSRVLWUDWLR 0.94 0.99 0.92 0.78 0.76 /RZFRVWRIIXQGVRIESV UHIOHFW EHQHILFLDOGHSRVLWPL[ ƒ QRQLQWHUHVWEHDULQJRIZKLFKLV &RPPHUFLDO 1Q19 2Q19 3Q19 4Q19 1Q20 4Q19 1Q20 ƒ LQWHUHVWEHDULQJRIZKLFKLV $YHUDJH%DODQFHV 3HULRGHQG 5HWDLO 1Q20 compared to 4Q19 Ⴠ 1Interest costs on interest-bearing deposits Ⴠ 2At 3/31/2020 Ⴠ 3Interest incurred on liabilities as a percent of average noninterest–bearing deposits and interest-bearing liabilities 6

6HFXULWLHV3RUWIROLR Yields stable 6HFXULWLHV3RUWIROLR LQELOOLRQV$YHUDJH Treasury Securities Mortgage-backed Securities (MBS) Securities Yields 'XUDWLRQRI\HDUV 13.0 12.3 12.4 12.0 12.1 12.2 12.2 ƒ ([WHQGVWR\HDUVXQGHUDESV LQVWDQWDQHRXVUDWHLQFUHDVH 1HWXQUHDOL]HGSUHWD[JDLQRI00 10.2 9.5 9.6 1HWXQDPRUWL]HGSUHPLXPRI00 9.2 9.3 9.4 9.4 ([SHFWWRPDLQWDLQSRUWIROLRDWf% ƒ 3UHSXUFKDVHGDSRUWLRQ4H[SHFWHG SD\PHQWVDWDWWUDFWLYH\LHOGV 2.45 2.45 2.45 2.39 2.43 1Q19 2Q19 3Q19 4Q19 1Q20 4Q19 1Q20 $YHUDJH%DODQFHV 3HULRGHQG 3/31/20 Ɣ 1Estimated as of 3/31/20 Ɣ 2Net unamortized premium on the MBS portfolio Ɣ 3Outlook as of 4/21/20 7 1HW,QWHUHVW,QFRPH Impacted by lower interest rates 1HW,QWHUHVW,QFRPH $544MM 4Q19 3.20% LQPLOOLRQV - 47MM Loans: - 0.21 Net Interest Margin - 27MM Lower rates -0.16 606 603 586 - 8MM Lower balances -0.02 544 - 6MM One less day --- 513 - 2MM Loan Fees -0.01 - 4MM Nonaccrual/Other -0.02 - 1MM Securities --- - 1MM Lower rates --- - 2MM Fed Deposits: -0.04 - 4MM Lower yield -0.02 3.79 3.67 3.52 + 2MM Higher balances -0.02 3.20 3.06 + 14MM Deposits: + 0.08 + 12MM Lower rates + 0.07 + 1MM Lower balances + 0.01 + 1MM One less day --- + 5MM Wholesale funding: + 0.03 + 5MM Lower rates +0.03 1Q19 2Q19 3Q19 4Q19 1Q20 $513MM 1Q20 3.06% 1Q20 compared to 4Q19 8

&UHGLW Provision reflects increase in reserves for Energy & COVID-19 related stress &(&/PRGHOLQJ ƒ ESVRIQHWFKDUJHRIIV ƒ ESVH[(QHUJ\ ƒ 8VHGHFRQRPLFIRUHFDVWVXSWR WRKHOSLQIRUPRXUPRGHOV ƒ $OORZDQFHLQFUHDVHG00 ƒ 4XDQWLWDWLYHIRUHFDVWFHQWHUHGRQ ƒ $///ORDQV VLJQLILFDQWHFRQRPLFGHWHULRUDWLRQ ƒ [$///QRQSHUIRUPLQJORDQV UHFHVVLRQIROORZHGE\SDUWLDO UHFRYHU\ $ in millions Energy Ex-Energy Total ƒ 4XDOLWDWLYHDGMXVWPHQWVEDVHGRQ Total PE loans $2,114 $51,344 $53,458 PRUHEHQLJQRUVHYHUHIRUHFDVWVIRU % of total 4% 96% 100% FHUWDLQVHFWRUV Criticized1 493 1,964 2,457 ƒ &RQVLGHUHGPRUHVHYHUH DVVXPSWLRQVIRU Ratio 23.34% 3.83% 4.60% ƒ (QHUJ\ Nonperforming loans 65 174 239 ƒ &29,'UHODWHGVRFLDOGLVWDQFLQJ Ratio 3.09% 0.34% 0.45% ƒ $XWRSURGXFWLRQ ƒ /HYHUDJHGORDQV 2 Net charge-offs 67 17 84 ƒ (FRQRPLFWURXJKGHSHQGVRQVHFWRU Allowance Ratio 10.5% 1.3% 1.7% ƒ %HWZHHQ *'3 ƒ 9 8VKDSHGUHFRYHULHV 3/31/20 Ɣ 1Criticized loans are consistent with regulatory defined Special Mention, Substandard, & Doubtful categories Ɣ 2Net credit-related charge-offs 9 (QHUJ\/LQHRI%XVLQHVV The allocation of reserves for Energy loans increased to >10% 3HULRGHQG/RDQV ƒ \HDUVRILQGXVWU\H[SHULHQFH LQPLOOLRQV ServicesServices ƒ fFXVWRPHUVIRFXVRQODUJHU 3,559 Midstream VRSKLVWLFDWHG( 3FRPSDQLHV Exploration & Production ƒ ([SRVXUH%XWLOL]DWLRQ 566 3,070 ƒ 6SULQJUHGHWHUPLQDWLRQVFRPSOHWH 480 454 ƒ +HGJHGRUPRUHRISURGXFWLRQMixed ƒ $WOHDVWRQH\HDURIFXVWRPHUV18% 2,250 2,221 2,163 2,114 ƒ $WOHDVWWZR\HDUVRIFXVWRPHUV 479 48 289 94 55 1,836 ƒ ORDQVLQEDQNUXSWF\ 298 432 364 374 195 ([SORUDWLRQ 3URGXFWLRQ 295 LQPLOOLRQV43HULRGHQG 2,539 2,111 Oil 1,771 1,741 1,587 1,695 60% 1,346 Oil/Gas Total 23% 1,695 2014 2015 2016 2017 2018 2019 1Q20 Gas 3/31/20 17% 10

&UHGLW Exposure to “at risk” industries well reserved 3HULRG RIWRWDO &DWHJRU\ &DWHJRU\ &RPPHQWV HQGORDQV ORDQV FULWLFL]HG Hotels/Casinos $736 1.4% 1.4% Strong liquidity; Well capitalized Retail CRE $560 1.0% 0.0% Well capitalized developers (low LTV) Arts / Recreation $377 0.7% 1.7% Larger, well-established entities Retail goods & services $357 0.7% 9.3% Granular portfolio Sports franchises $320 0.6% 0.2% Primarily professional league teams Total all Other2 $1,320 2.5% 6.1% 13 distinct categories Social Distancing Total $3,670 6.9% 3.6% Energy $2,114 4.0% 23.2% See Energy slide 10 Auto Production3 $1,278 2.4% 16.5% Primarily Tier 1 & Tier 2 suppliers; $9MM nonaccrual loans Leveraged Loans4 $2,107 3.9% 10.5% 83% are middle market companies $UHDVZLWKYHU\OLWWOHRUQRH[SRVXUH 7DNLQJDFWLRQ ƒ 5HVWDXUDQWIUDQFKLVHOHQGLQJ ƒ 3URDFWLYHIUHTXHQWFXVWRPHUGLDORJXH ƒ &RQVXPHUFUHGLWFDUG ƒ &ORVHO\PRQLWRULQJPRVWYXOQHUDEOHFXVWRPHUV ƒ 6WXGHQWORDQV ƒ 5HYLHZOLTXLGLW\ FDVKIORZIRUHFDVWV ƒ ,QGLUHFWDXWR ƒ 7UDFNUHFHLYDEOH LQYHQWRU\OHYHOV ƒ 0DVVPDUNHWUHVLGHQWLDOPRUWJDJHV ƒ :RUNLQJZLWKFXVWRPHUVDVZDUUDQWHG ƒ $JULFXOWXUDO ƒ 3D\PHQWGHIHUUDOV RWKHUDFFRPPRGDWLRQV ƒ 9HU\KLJKO\OHYHUDJHGFRYHQDQWOLWHGHDOV ƒ )LQDQFLDOVXSSRUWLQFOXGLQJ333ORDQV 3/31/20; in millions categories Ⴠ 1Period-end category criticized loans / category loans Ⴠ 2Includes airlines, restaurants/bars, childcare, coffee shops, cruise lines, education, gasoline/C stores, religious organizations, senior living, freight, travel arrangement, wineries/breweries 3Auto production is as of 2/29/20 4Higher-risk commercial & industry total $2.5B, eliminated overlap with other categories Ⴠ Ⴠ 11 1RQLQWHUHVW,QFRPH Impacted by noncustomer-related activity 1RQLQWHUHVW,QFRPH LQPLOOLRQV t 00&RPPHUFLDOOHQGLQJIHHVV\QGLFDWLRQ 266 t 00&DUG 256 00)LGXFLDU\ 250 238 237 t 002WKHUQRQLQWHUHVWLQFRPH t 00'HIHUUHGFRPSRIIVHWLQ QRQLQWHUHVWH[SHQVH t 004JDLQRQVDOHRI+6$EXVLQHVV t 00FXVWRPHUGHULYDWLYHLQFRPH 5HFRUGFXVWRPHUGHULYDWLYHDFWLYLW\ PRUHWKDQRIIVHWE\00GHFOLQHLQ FUHGLWYDOXDWLRQDGMXVWPHQW 1Q19 2Q19 3Q19 4Q19 1Q20 1Q20 compared to 4Q19 Ɣ 1Losses related to repositioning of securities portfolio of $(8)MM in 2Q19 12

1RQLQWHUHVW([SHQVH Declined $26MM with careful control of expenses 1RQLQWHUHVW([SHQVH LQPLOOLRQV t 006DODULHV EHQHILWV 00'HIHUUHGFRPSRIIVHWLQQRQLQWHUHVW Efficiency Ratio1 LQFRPH 451 t 00,QFHQWLYHFRPSQHWRIDQQXDO VKDUHEDVHGFRPS 433 435 t 007HFKQRORJ\UHODWHGFRQWLQJHQWODERU 424 425 t 006WDIILQVXUDQFHVHDVRQDO 003D\UROOWD[HVVHDVRQDO t 002XWVLGHSURFHVVLQJ t 00VRIWZDUHH[SHQVH UHFODVVLILFDWLRQ 55.5% 56.6% t 004YHQGRUWUDQVLWLRQIHH 50.8% 49.7% 51.5% t 002FFXSDQF\ t 000DUNHWLQJ 006RIWZDUH UHFODVVLILFDWLRQ 1Q19 2Q19 3Q19 4Q19 1Q20 1Q20 compared to 4Q19 Ⴠ 1Noninterest expenses as a percentage of net interest income & noninterest income excluding net gains (losses) from securities & derivative contract tied to conversion rate of Visa Class B shares Ⴠ 2Reclassification from Outside Processing to Software for certain costs related to hosting arrangements (new accounting standard) 13 /LTXLGLW\0DQDJHPHQW Multiple funding sources /RDQWR'HSRVLW5DWLR Available Liquidity Sources (in billions; Period-end) 43HULRGHQG 130%30% Federal Reserve Deposit $ 3.8 120%120% 120% FHLB Unused Funding Capacity1 9.9 110% Unpledged Investment Securities (of $13B portfolio) 6.9 100% 93% Discount Window Borrowing Capacity (undrawn) 17.2 90% Total $37.8 80% 70% ƒ ,QDGGLWLRQUHDG\DFFHVVWREURNHUHGGHSRVLWV 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 XQVHFXUHGGHEWPDUNHW 1Q20 'HEW0DWXULWLHV 3ULPDULO\)XQGHGZLWK5HODWLRQVKLS'HSRVLWV ([FOXGHVVKRUWWHUPERUURZLQJ RI% LQPLOOLRQV43HULRGHQG LQPLOOLRQV43HULRGHQG Senior Notes Interest- Subordinated Notes bearing FHLB Advance Equity, Total Deposits, 3,800 10% Liabilities 39% & Equity $76,337 Other Noninterest 876 Liabilities -bearing 675 917 524 642 & Debt, Deposits, 36% 2020 2021 2022 2023 2024 2025+ 15% 3/31/20 Ⴠ 1$4.6B drawn at Federal Home Loan Bank Ⴠ 2FHLB Advance & Overnight Fed Funds 14

&DSLWDO0DQDJHPHQW Maintain solid capital base through recessionary environment ($ in millions) CET1/ Tier 1 RWA % &DSLWDOPDQDJHPHQWREMHFWLYHV 4Q19 Tier 1 Capital 6,919 68,273 10.13 ƒ 6XSSRUWLQJFXVWRPHUVORDQVWRPLGGOH Net loss (65) (0.10) PDUNHWVPDOOEXVLQHVVHV FRQVXPHUV CECL adjustment3 69 0.10 ƒ 0DLQWDLQDWWUDFWLYHGLYLGHQG Dividends (94) (0.14) ƒ 004SD\RXW 1 ƒ 00+ROGFRFDVKWRVXSSRUW Share Repurchase Program (189) (0.28) GLYLGHQG Other2 14 0.03 ƒ 6XVSHQGHGVKDUHEX\EDFNSURJUDP Risk Weighted Asset Growth3 1,723 (0.23) 3 ƒ +LJKTXDOLW\RIFDSLWDOFRPPRQHTXLW\ 1Q20 Tier 1 Capital 6,654 69,996 9.51 ƒ 6WURQJGHEWUDWLQJVIRU+ROGFR &DSLWDO5DWLRV ƒ 0RRG\bV$ Regulatory Minimum + Capital Conservation Buffer ƒ 6 3%%% 11.8% ƒ )LWFK$ 9.5% 9.5% 10.5% ƒ &(&/GHIHUUHGSRUWLRQRIWUDQVLWLRQDOLPSDFW 8.5% SURYLGHGDESVEHQHILWWR&(7 7.0% ƒ /RQJHUWHUPWDUJHWRI&(7f CET1 Tier 1 Capital Total Capital 3/31/20 Ⴠ Outlook as of 4/21/20 Ⴠ 1Shares repurchased under the share repurchase program Ⴠ 2Includes $13MM from CECL Day 1 adoption Ⴠ 3Estimates 15 0DQDJHPHQW2XWORRN 2Q20 expectation based on recessionary conditions Loan + Mortgage Banker, supporting customer liquidity needs, funding Paycheck Protection Program Growth - Partly offset by reduced working capital & capex needs Deposit + Customers conserving liquidity, economic stimulus programs Growth - Partly offset by customers meeting operating needs Net Interest - 2Q20 net impact of lower rates ~$55MM (assumes average 1-Month LIBOR of 78 bps)1 Income + Partly offset by loan growth Credit • Reflective of environment: duration/severity of COVID-19 & resulting economic effects Quality • Current reserve is appropriate based on expected recessionary conditions as of 3/31/20 Noninterest + Higher card fees Income2 - Reduced economic activity1, lower market based fees Noninterest + Outside processing, COVID–19 related costs & merit Expenses2 - Partly offset by continued expense discipline • Share repurchase program suspended Capital • Focus on supporting customers & providing attractive dividend Outlook as of 4/21/20 Ɣ 2Q20 outlook compared to 1Q20; Comerica is withdrawing its full year financial outlook for fiscal 2020 Ɣ 1Source: Comerica economic forecast as of 4/14/20 Ɣ 2Assumes no deferred comp asset returns (1Q20 -$3MM) 16

:HOOSRVLWLRQHGWRQDYLJDWHWKHVHFKDOOHQJLQJWLPHV &86720(5)2&86(' ',9(56,),(' &5(',7',6&,3/,1( ƒ /RQJWHQXUHGH[SHULHQFHG ƒ 'LYHUVHJHRJUDSKLF' KL ƒ &RQVHUYDWLYHXQGHUZULWLQJ WHDPZLWKGHHSH[SHUWLVH IRRWSULQW VWDQGDUGV ƒ 6XSSRUWLQJFXVWRPHUVb ƒ %DODQFHGH[SRVXUHWRD ƒ 6XSHULRUFUHGLW ILQDQFLDOQHHGVIRU\HDUV ZLGHYDULHW\RILQGXVWULHV SHUIRUPDQFHWKURXJKODVW UHFHVVLRQ :(//&$3,7$/,=(' 52%867/,48,',7< 67521*'(%75$7,1*6 A3 ƒ &(75DWLR ƒ %DYDLODEOHOLTXLGLW\ 0DLQWDLQVWURQJUDWLQJV ƒ %7RWDO&DSLWDO VRXUFHV ƒ 0RRG\bV$ ƒ /RDQ'HSRVLW5DWLR ƒ 6 3%%% ƒ 3HUIRUPPRQWKO\OLTXLGLW\ ƒ )LWFK$ VWUHVVWHVWLQJ 3/31/20 Ⴠ 1Estimates Ⴠ 2Holding company debt ratings as of 4/15/20; Debt Ratings are not a recommendation to buy, sell, or hold securities 17 $SSHQGL[

4XDUWHUO\$YHUDJH/RDQVE\%XVLQHVVDQG0DUNHW %\/LQHRI%XVLQHVV 4 4 4 %\0DUNHW 4 4 4 Middle Market Michigan $12.2 $12.4 $12.6 General $12.0 $12.0 $12.0 Energy 2.2 2.5 2.3 California 18.0 17.9 18.7 National Dealer Services 6.8 7.3 7.8 Texas 10.6 10.7 10.3 Entertainment 0.7 0.7 0.8 Tech. & Life Sciences 1.2 1.2 1.3 Other Markets1 8.8 9.5 8.2 Equity Fund Services 2.6 2.5 2.6 TOTAL $49.6 $50.5 $49.7 Environmental Services 1.3 1.3 1.2 Total Middle Market $26.7 $27.4 $28.0 Corporate Banking /RDQ3RUWIROLR US Banking 3.0 2.9 3.0 LQELOOLRQV43HULRGHQG International 1.2 1.3 1.3 Commercial Real Estate 6.2 5.9 5.3 Fixed Rate2 Mortgage Banker Finance 2.0 2.7 1.3 18% Prime- Small Business 3.4 3.4 3.5 based BUSINESS BANK $42.6 $43.5 $42.5 6% Total 30-Day 60-Day+ Retail Banking 2.1 2.1 2.1 $53.5 LIBOR LIBOR RETAIL BANK $2.1 $2.1 $2.1 70% 6% Private Banking 4.9 4.9 5.0 WEALTH MANAGEMENT $4.9 $4.9 $5.0 TOTAL $49.6 $50.5 $49.7 $ in billions Ⴠ Totals shown above may not foot due to rounding Ⴠ 1Other Markets includes Florida, Arizona, the International Finance Division and businesses that have a significant presence outside of the three primary geographic markets Ⴠ 2Fixed rate loans include $5.55B receive fixed / pay floating (30-day LIBOR) interest rate swaps 19 /LQHRI&UHGLW8WLOL]DWLRQ Business requirements vs. building liquidity %0DUFKOLQHGUDZVYV &RPPLWWHG/LQH8WLOL]DWLRQ 0086%DQNLQJOLTXLGLW\GUDZV 5656.7%7% 000RUWJDJH%DQNHUZDUHKRXVH 52.7% 53.1% 001DWLRQDO'HDOHULQYHQWRU\IXQGLQJ 52.4% 51.6% 00&RPPHUFLDO5HDO(VWDWH FRQVWUXFWLRQIXQGLQJ OLTXLGLW\GUDZV RIFRPPHUFLDOORDQVKDYHVHFXULW\ 'UDZVRQFUHGLWUHYROYHUVW\SLFDOO\ 3/31/19 6/30/19 9/30/19 12/31/19 3/31/20 OLPLWHGE\ERUURZLQJEDVHVDQGRU ILQDQFLDOFRYHQDQWV &RPPLWPHQWV 8WLOL]DWLRQ LQPLOOLRQV ,QJHQHUDOUHYROYHUGUDZVFDQQRWH[FHHG $ Commitments $ Outstandings % Utilization ƒ 0LGGOH0DUNHWDFFRXQWVUHFHLYDEOH 70,000 -$16.7B LQYHQWRU\RQDPDUJLQHGEDVLV 60,000 70% PRQWKO\ZHHNO\UHSRUWLQJ 50,000 60% ƒ 1DWLRQDO'HDOHUIORRUSODQDXWRLQYHQWRU\ 40,000 50% 30,000 ƒ 0RUWJDJH%DQNHUFRQVXPHUPRUWJDJHV 40% ZDUHKRXVHG 20,000 10,000 30% ƒ &RPPHUFLDO5HDO(VWDWH&RQVWUXFWLRQ FRVWV -$10.4B LQFXUUHGRIFRPSOHWLRQ - 20% 1Q08 1Q09 1Q10 1Q11 1Q12 1Q13 1Q14 1Q15 1Q16 1Q17 1Q18 1Q19 1Q20 3/31/20 20

4XDUWHUO\$YHUDJH'HSRVLWVE\%XVLQHVVDQG0DUNHW %\/LQHRI%XVLQHVV 4 4 4 %\0DUNHW 4 4 4 Middle Market Michigan $20.7 $20.4 $19.9 General $14.3 $14.1 $13.3 Energy 0.5 0.4 0.5 California 17.5 18.1 16.2 National Dealer Services 0.3 0.3 0.3 Texas 9.2 9.0 8.7 Entertainment 0.1 0.1 0.1 Other Markets1 8.0 8.0 7.9 Tech. & Life Sciences 5.1 5.1 5.0 Finance/Other2 1.3 1.5 1.3 Equity Fund Services 0.9 0.8 0.8 TOTAL $56.8 $57.2 $54.0 Environmental Services 0.1 0.1 0.2 Total Middle Market $21.4 $21.1 $20.1 Corporate Banking US Banking 2.0 2.3 1.8 International 1.5 1.6 1.6 %HQHILFLDO'HSRVLW0L[ LQELOOLRQV4$YHUDJH Commercial Real Estate 1.7 1.8 1.5 Mortgage Banker Finance 0.6 0.7 0.6 Retail Commercial Small Business 3.0 3.1 2.9 Noninterest- Noninterest- BUSINESS BANK $30.2 $30.5 $28.5 bearing bearing 8% 39% Retail Banking 21.2 21.1 20.5 Total Commercial RETAIL BANK $21.2 $21.1 $20.5 $56.8 Retail Interest- Private Banking 3.7 3.7 3.5 Interest- bearing WEALTH MANAGEMENT $4.0 $4.0 $3.8 bearing 23% 30% Finance/Other2 1.3 1.5 1.3 TOTAL $56.8 $57.2 $54.0 $ in billions Ⴠ Totals shown above may not foot due to rounding Ⴠ 1Other Markets includes Florida, Arizona, the International Finance Division and businesses that have a significant presence outside of the three primary geographic markets Ⴠ 2Finance/Other includes items not directly associated with the geographic markets or the three major business segments 21 0RUWJDJH%DQNHU)LQDQFH 55+ years experience with reputation for consistent, reliable approach $YHUDJH/RDQV LQPLOOLRQV Actual MBA Mortgage Origination Volumes ƒ 3URYLGHZDUHKRXVHILQDQFLQJEULGJHIURP UHVLGHQWLDOPRUWJDJHRULJLQDWLRQWRVDOHWR 600 HQGPDUNHW 500 400 ƒ ([WHQVLYHEDFNURRPSURYLGHVFROODWHUDO 300 2,681 2,544 2,521 2,352 200 2,145 2,044 2,042 1,974 1,961 PRQLWRULQJDQGFXVWRPHUVHUYLFH 1,861 1,784 1,780 1,677 1,674 1,450 1,435 100 1,335 ƒ )RFXVRQIXOOEDQNLQJUHODWLRQVKLSV 0 ƒ *UDQXODUSRUWIROLRZLWKfUHODWLRQVKLSV 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 $VRI4 0%$0RUWJDJH2ULJLQDWLRQV)RUHFDVW ƒ &RPHULFDfSXUFKDVH LQELOOLRQV Purchase Refinance ƒ ,QGXVWU\SXUFKDVH 768 ƒ 6WURQJFUHGLWTXDOLW\ 563 600 495 ƒ 1RFKDUJHRIIVVLQFH 420 ƒ 3HULRGHQGORDQV% 1Q20 2Q20 3Q20 4Q20 1Q21 3/31/20 Ɣ 1Source: Mortgage Bankers Association (MBA) Mortgage Finance Forecast as of 4/2/20; estimated 22

&RPPHUFLDO5HDO(VWDWH/LQHRI%XVLQHVV Long history of working with well established, proven developers &5(E\3URSHUW\7\SH &5(E\0DUNHW LQPLOOLRQV3HULRGHQG LQPLOOLRQV3HULRGHQGEDVHGRQORFDWLRQRISURSHUW\ Single Office Michigan Family Other Retail 8% 5% 5% 5% 10% Land Carry 4% Other Industrial / 19% Storage Total Multi use Total California 19% $5,525 3% $5,525 44% Texas Multifamily 32% 46% &UHGLW4XDOLW\ LQPLOOLRQV3HULRGHQG 4 4 4 ƒ !RIQHZFRPPLWPHQWVIURPH[LVWLQJ Criticized2 $84 $87 $87 FXVWRPHUV Ratio 1.5% 1.4% 1.3% ƒ 6XEVWDQWLDOXSIURQWHTXLW\UHTXLUHG Nonaccrual $2 $2 $3 ƒ RISRUWIROLR LVFRQVWUXFWLRQ LQFOXGHV Ratio 0.04% 0.03% 0.04% UREXVWPRQLWRULQJ ƒ 1RVLJQLILFDQWQHWFKDUJHRIIVVLQFH Net charge-offs -0- -0- -0- 3/31/20 Ⴠ 1Excludes CRE line of business loans not secured by real estate Ⴠ 2Criticized loans are consistent with regulatory defined Special Mention, Substandard & Doubtful categories Ⴠ 3Period-end loans 23 1DWLRQDO'HDOHU6HUYLFHV 70+ years of floor plan lending )UDQFKLVH'LVWULEXWLRQ ƒ 7RSWLHUVWUDWHJ\ %DVHGRQSHULRGHQGORDQRXWVWDQGLQJV Honda/Acura ƒ )RFXVRQn0HJD'HDOHU|ILYHRUPRUH 16% GHDOHUVKLSVLQJURXS Toyota/Lexus ƒ 6WURQJFUHGLWTXDOLW\ 15% Ford 10% ƒ 5REXVWPRQLWRULQJRIFRPSDQ\LQYHQWRU\ DQGSHUIRUPDQFH Total GM Other 1 7% 10% $7.2B $YHUDJH/RDQV Fiat/Chrysler LQELOOLRQV 10% Floor Plan 7.9 7.8 Mercedes 7.5 7.4 7.4 7.3 7.3 7.1 7.1 Other Asian 7.0 6.9 6.8 6.8 6.6 3% 6.5 6.3 13% 6.2 Nissan/ Infiniti Other European 5% 11% *HRJUDSKLF'LVSHUVLRQ 4.5 4.4 4.3 4.2 4.1 4.1 4.1 4.1 4.0 4.0 4.0 4.0 3.9 3.8 3.8 3.7 California 55% Texas 8% 3.6 Michigan 27% Other 10% 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 3/31/20 Ɣ 1Other includes obligations where a primary franchise is indeterminable (rental car and leasing companies, heavy truck, recreational vehicles, and non-floor plan loans) 24

7HFKQRORJ\ /LIH6FLHQFHV Deep expertise & strong relationships with top-tier investors $YHUDJH/RDQV $YHUDJH'HSRVLWV LQPLOOLRQV LQPLOOLRQV 4,992 55,149149 55,126 126 4,652 4,637 1,323 1,305 1,251 1,181 1,193 1Q19 2Q19 3Q19 4Q19 1Q20 1Q19 2Q19 3Q19 4Q19 1Q20 &XVWRPHU6HJPHQW2YHUYLHZ ƒ fFXVWRPHUV $SSUR[LPDWH43HULRGHQGORDQV ƒ 0DQDJHFRQFHQWUDWLRQWRQXPHURXV YHUWLFDOVWRHQVXUHZLGHO\GLYHUVLILHG Growth SRUWIROLR 49% Late Stage ƒ &ORVHO\PRQLWRUFDVKEDODQFHV 14% Total $1.5B PDLQWDLQUREXVWEDFNURRPRSHUDWLRQ Leveraged Finance ƒ RIILFHVWKURXJKRXW86 &DQDGD Early Stage 17% 20% 3/31/20 25 (TXLW\)XQG6HUYLFHV Deep expertise & strong relationships with top-tier investors $YHUDJH/RDQV LQPLOOLRQV ƒ &XVWRPL]HGFUHGLWWUHDVXU\PDQDJHPHQW LQYHVWPHQWVROXWLRQVIRUYHQWXUHFDSLWDO 2,606 SULYDWHHTXLW\ILUPV 2,570 2,408 ƒ 1DWLRQDOVFRSHZLWKFXVWRPHUVLQ VWDWHV &DQDGD ƒ fFXVWRPHUV 1,782 ƒ 'ULYHFRQQHFWLYLW\ZLWKRWKHUWHDPV ƒ (QHUJ\ 1,421 ƒ 0LGGOH0DUNHW ƒ 7/6 1,094 ƒ (QYLURQPHQWDO6HUYLFHV ƒ 3ULYDWH%DQNLQJ ƒ 6WURQJFUHGLWSURILOH ƒ 1RFKDUJHRIIV ƒ 1RFULWLFL]HGORDQV 2015 2016 2017 2018 2019 1Q20 3/31/20 26

+ROGLQJ&RPSDQ\'HEW5DWLQJ 6HQLRU8QVHFXUHG/RQJ7HUP,VVXHU5DWLQJ 0RRG\bV 6 3 )LWFK Cullen Frost A3 A- - M&T Bank A3 A- A Comerica A3 BBB+ A BOK Financial A3 BBB+ A Fifth Third Baa1 BBB+ A- Huntington Baa1 BBB+ A- KeyCorp Baa1 BBB+ A- Regions Financial Baa2 BBB+ BBB+ 3HHU%DQNV Zions Bancorporation Baa2 BBB+ BBB+ First Horizon National Corp Baa3 BBB- BBB Citizens Financial Group - BBB+ BBB+ Synovus Financial - BBB- BBB U.S. Bancorp A1 A+ AA- Bank of America A2 A- A+ Wells Fargo & Company A2 A- A+ JP Morgan A2 A- AA- PNC Financial Services Group, Inc. A3 A- A+ /DUJH%DQNV Truist Financial Corp A3 A- A+ As of 4/15/20 Ⴠ Source: S&P Global Market Intelligence Ⴠ Debt Ratings are not a recommendation to buy, sell, or hold securities 27

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Form 8-K COMERICA INC /NEW/ For: Apr 21

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