v3.24.0.1
Borrowings
 12 Months Ended
Dec. 31, 2023
Long-term Borrowings [Abstract]  
Debt Disclosure
NOTE 11. BORROWED FUNDS
LONG-TERM BORROWINGS
Long-term borrowings at December 31 consist of the following:
20232022
 (In millions)
Regions Financial Corporation (Parent):
2.25% senior notes due May 2025
$747 $747 
1.80% senior notes due August 2028
646 646
7.75% subordinated notes due September 2024
100 100 
6.75% subordinated debentures due November 2025
153 153 
7.375% subordinated notes due December 2037
298 298 
Valuation adjustments on hedged long-term debt(112)(158)
1,832 1,786 
Regions Bank:
6.45% subordinated notes due June 2037
496 496 
Other long-term debt2 2 
498 498 
$2,330 $2,284 
As disclosed above, Regions and Regions Bank had subordinated notes outstanding at December 31, 2023, which are by definition, subordinated and subject in right of payment of both principal and interest to the prior payment in full of all senior indebtedness of the Company, which is generally defined as all indebtedness and other obligations of the Company to its creditors, except subordinated indebtedness. Payment of the principal of the notes may be accelerated only in the case of certain events involving bankruptcy, insolvency proceedings or reorganization of the Company. The subordinated notes described above qualify as Tier 2 capital under Federal Reserve guidelines, subject to diminishing credit as the respective maturity dates
approach and subject to certain transition provisions. None of the subordinated notes are redeemable prior to maturity, unless there is an occurrence of a qualifying capital event.
Regions Bank utilized long-term FHLB advances during 2023, but redeemed the advances prior to December 31, 2023 and recorded a $4 million pre-tax gain on the extinguishment. In 2022, neither Regions nor Regions Bank issued or redeemed any debt.
Regions uses derivative instruments, primarily interest rate swaps, to manage interest rate risk by converting a portion of its fixed-rate debt to a variable-rate. The effective rate adjustments related to these hedges are included in interest expense on long-term borrowings. The weighted-average interest rate on total long-term debt, including the effect of derivative instruments, was 6.5 percent, 5.1 percent, and 3.6 percent for the years ended December 31, 2023, 2022 and 2021, respectively. Further discussion of derivative instruments is included in Note 20.
The aggregate amount of contractual maturities of all long-term debt in each of the next five years and thereafter is as follows:
 Year Ended December 31
 Regions
Financial
Corporation
(Parent)		Regions
Bank
 (In millions)
2024$100 $— 
2025859 — 
2026— — 
2027— — 
2028575 — 
Thereafter298 498 
$1,832 $498 
On February 24, 2022, Regions filed a shelf registration statement with the SEC. This shelf registration does not have a capacity limit and can be utilized by Regions to issue various debt and/or equity securities. The registration statement will expire in February 2025.
Regions Bank may issue bank notes from time to time, either as part of a bank note program or as stand-alone issuances.  Notes issued by Regions Bank may be senior or subordinated notes.  Notes issued by Regions Bank are not deposits and are not insured or guaranteed by the FDIC.
Regions may, from time to time, consider opportunistically retiring outstanding issued securities, including subordinated debt in privately negotiated or open market transactions. Regulatory approval would be required for retirement of some securities.