ntrs-20230119
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 
 
FORM
8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) January 19, 2023

NORTHERN TRUST CORPORATION

(Exact name of registrant as specified in its charter)
Delaware001-36609 36-2723087
(State or other jurisdiction of incorporation)(Commission File Number) (IRS Employer Identification No.)
50 South LaSalle Street 60603
Chicago,Illinois(Zip Code)
(Address of principal executive offices) 
Registrant’s telephone number, including area code (312) 630-6000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common Stock, $1.66 2/3 Par ValueNTRSThe NASDAQ Stock Market LLC
Depositary Shares, each representing 1/1,000th interest in a share of Series E Non-Cumulative Perpetual Preferred Stock
NTRSOThe NASDAQ Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02.    Results of Operations and Financial Condition

The information contained in the registrant’s January 19, 2023 press release, reporting on the registrant’s earnings for the three and twelve months ended December 31, 2022, a copy of which is attached as Exhibit 99.1 hereto, is incorporated herein by reference.

Item 7.01. Regulation FD Disclosure

On January 19, 2023, the Corporation will hold a live conference call and webcast to discuss financial results for the three and twelve months ended December 31, 2022 and other matters relating to the Corporation. In connection therewith, the Corporation has also made available on its website presentation materials containing certain information relating to the Corporation (the “Presentation Materials”) and materials that contain additional information about the Corporation’s financial results for the three and twelve months ended December 31, 2022 (the “Financial Trends”), copies of which are attached as Exhibits 99.2 and 99.3 hereto, and are incorporated herein by reference.

Item 9.01.    Financial Statements and Exhibits

The information provided in this Current Report on Form 8-K, including Exhibits 99.1, 99.2 and 99.3, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference in any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as otherwise stated in such filing.    

(d) Exhibits:
Exhibit NumberDescription
104The cover page from this Current Report on Form 8-K, formatted in Inline XBRL.


SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
NORTHERN TRUST CORPORATION
(Registrant)
Dated:January 19, 2023By:/s/ Jason J. Tyler
Jason J. Tyler
Executive Vice President and Chief Financial Officer

Exhibit 99.1
NEWS RELEASE
ntrs_logoxwhite.jpg
www.northerntrust.com
INVESTOR CONTACT: Jennifer Childe | 312-444-3290 | [email protected] MEDIA CONTACT: Doug Holt | 312-662-8315 | [email protected]



NORTHERN TRUST CORPORATION REPORTS FOURTH QUARTER
NET INCOME OF $155.7 MILLION, EARNINGS PER DILUTED COMMON SHARE OF $0.71
CHICAGO, JANUARY 19, 2023 — Northern Trust Corporation today reported fourth quarter net income per diluted common share of $0.71, compared to $1.80 in the third quarter of 2022 and $1.91 in the fourth quarter of 2021. Net income was $155.7 million, compared to $394.8 million in the prior quarter and $406.4 million in the prior-year quarter.
Fourth quarter 2022 results included the following:
•$213.0 million of pre-tax available for sale security losses recognized in conjunction with an intent to sell (after-tax $159.4 million).
•$32.0 million of pre-tax severance-related charges (after-tax $24.0 million).
•$14.0 million of pre-tax occupancy charges (after-tax $10.5 million) related to early lease exits.
•$6.8 million of pre-tax pension settlement charge (after-tax $5.1 million).
MICHAEL O’GRADY, CHAIRMAN AND CHIEF EXECUTIVE OFFICER:
“Northern Trust’s fourth quarter results reflected strong year-over-year growth in net interest income, which more than offset lower trust fees. Expense levels remained elevated as we continued to invest in people and technology to enhance our resiliency and support growth in the business. Reported results included $266 million in charges related to a repositioning of our securities portfolio and, in part, steps we are taking to optimize our cost base and drive greater efficiencies throughout the company. These actions underscore our commitment to improving our profitability. As we look ahead, we are focused on driving organic growth, improving our productivity and further strengthening our foundation.”
FINANCIAL SUMMARY & KEY METRICS
% Change Q4 2022 vs.
($ In Millions except per share data)Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Trust, Investment and Other Servicing Fees$1,042.1 $1,078.7 $1,111.0 (3)%(6)%
Other Noninterest Income (Loss)(57.6)163.1 195.4 (135)(129)
Net Interest Income (FTE*)550.0 525.3 370.6 5 48 
Total Revenue (FTE*)$1,534.5 $1,767.1 $1,677.0 (13)%(8)%
Noninterest Expense$1,323.6 $1,229.8 $1,168.9 8 %13 %
Provision for Credit Losses5.0 0.5 (11.5)N/MN/M
Provision for Income Taxes34.7 129.7 103.2 (73)(66)
FTE Adjustment*15.5 12.3 10.0 26 55 
Net Income$155.7 $394.8 $406.4 (61)%(62)%
Earnings Allocated to Common and
Potential Common Shares		$148.7 $375.4 $398.7 (60)%(63)%
Diluted Earnings per Common Share$0.71 $1.80 $1.91 (61)%(63)%
Return on Average Common Equity5.9 %14.9 %14.5 %
Return on Average Assets0.42 %1.07 %1.00 %
Average Assets$147,803.6 $146,402.2 $161,353.8 1 %(8)%
N/M - Not meaningful
(*)     Net interest income and total revenue presented on a fully taxable equivalent (FTE) basis are non-generally accepted accounting principle financial measures that facilitate the analysis of asset yields. Please refer to the Reconciliation to Fully Taxable Equivalent section for further detail.

NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
ACCOUNTING RECLASSIFICATION
Beginning in the first quarter of 2022, Trust, Investment and Other Servicing fees were impacted by the change in classification of certain fees that were previously recorded in Other Operating Income or as a reduction of Other Operating Expense but resulted in no impact to net income. The accounting reclassification increased Trust, Investment and Other Servicing fees in the fourth quarter of 2022 by $14.2 million, with a $5.6 million decrease in Other Operating Income and an $8.6 million increase in Other Operating Expense. The classification changes are deemed to be a better representation of the underlying nature of the business as they are directly tied to client asset levels and the related services are more akin to our core service offerings. Prior-year amounts have not been reclassified.
CLIENT ASSETS
Assets under custody/administration (AUC/A) and assets under management are a driver of the Corporation’s trust, investment and other servicing fees, the largest component of noninterest income.
As of
% Change December 31, 2022 vs.
($ In Billions)December 31, 2022*September 30, 2022December 31, 2021September 30, 2022December 31, 2021
Assets Under Custody/Administration
Asset Servicing$12,705.5 $11,954.0 $15,183.2 6 %(16)%
   Wealth Management898.5 868.0 1,065.6 4 (16)
     Total Assets Under Custody/Administration$13,604.0 $12,822.0 $16,248.8 6 %(16)%
Assets Under Custody(1)
Asset Servicing$9,712.3 $9,125.5 $11,554.8 6 %(16)%
   Wealth Management892.3 860.8 1,057.5 4 (16)
     Total Assets Under Custody$10,604.6 $9,986.3 $12,612.3 6 %(16)%
Assets Under Management
Asset Servicing$898.1 $873.7 $1,191.0 3 %(25)%
   Wealth Management351.4 336.2 416.1 5 (16)
     Total Assets Under Management$1,249.5 $1,209.9 $1,607.1 3 %(22)%
(1) Assets Under Custody are a component of Assets Under Custody/Administration.
(*) Client assets for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission.
TRUST, INVESTMENT AND OTHER SERVICING FEES
% Change Q4 2022 vs.
($ In Millions)Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Asset Servicing Trust, Investment and Other Servicing Fees
Custody and Fund Administration$406.3 $407.3 $457.7 — %(11)%
Investment Management123.8 136.0 113.3 (9)9 
Securities Lending19.3 21.7 18.8 (11)2 
Other38.6 38.2 35.3 1 9 
Total Asset Servicing$588.0 $603.2 $625.1 (3)%(6)%
Wealth Management Trust, Investment and Other Servicing Fees
Central$162.2 $171.3 $181.4 (5)%(11)%
East117.8 124.1 132.9 (5)(11)
West89.5 92.5 98.6 (3)(9)
Global Family Office (GFO)84.6 87.6 73.0 (3)16 
Total Wealth Management$454.1 $475.5 $485.9 (5)%(7)%
Total Consolidated Trust, Investment and Other Servicing Fees$1,042.1 $1,078.7 $1,111.0 (3)%(6)%
Asset Servicing and Wealth Management trust, investment and other servicing fees are impacted by both one-month and one-quarter lagged asset values.
Total Asset Servicing trust, investment and other servicing fees decreased sequentially and from the prior-year quarter.
▪Custody and fund administration fees decreased from the prior-year quarter primarily due to unfavorable markets and unfavorable currency translation, partially offset by new business.
▪Investment management fees decreased sequentially primarily due to asset outflows and unfavorable markets. Investment management fees increased from the prior-year quarter primarily due to lower money market fund fee waivers, partially offset by asset outflows and unfavorable markets.
▪Other trust, investment and other servicing fees increased from the prior-year quarter primarily due to the accounting reclassification discussed above.
2
NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
Total Wealth Management trust, investment and other servicing fees decreased sequentially and from the prior-year quarter.
•Fees in the regions (Central, East and West) decreased sequentially primarily due to unfavorable markets and asset outflows. Fees in the regions decreased from the prior-year quarter primarily due to unfavorable markets and asset outflows, partially offset by lower money market fund fee waivers.
•Fees in GFO decreased sequentially primarily due to asset outflows and unfavorable markets. Fees in GFO increased from the prior-year quarter primarily due to lower money market fund fee waivers and new business, partially offset by unfavorable markets.
OTHER NONINTEREST INCOME
% Change Q4 2022 vs.
($ In Millions)Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Other Noninterest Income
     Foreign Exchange Trading Income$65.4 $64.7 $76.9 1 %(15)%
     Treasury Management Fees8.3 9.3 10.6 (9)(21)
     Security Commissions and Trading Income35.1 32.1 35.9 9 (2)
     Other Operating Income47.3 57.3 72.3 (18)(35)
     Investment Security Gains (Losses), net(213.7)(0.3)(0.3)N/MN/M
Total Other Noninterest Income (Loss)$(57.6)$163.1 $195.4 (135)%(129)%
N/M - Not meaningful
Foreign exchange trading income decreased compared to the prior-year quarter primarily driven by decreased foreign exchange swap activity in Treasury and lower client volumes.
Security commissions and trading income increased sequentially primarily due to higher core brokerage activity.
Other operating income decreased sequentially primarily due to higher expenses related to existing swap agreements related to historical sales of Visa Inc. Class B common shares. Other operating income decreased compared to the prior-year quarter primarily driven by gains from property sales in the prior-year quarter and the accounting reclassification.
Investment security gains (losses), net decreased sequentially and compared to the prior-year quarter primarily due to a $213.0 million loss arising from an intent to sell available for sale debt securities, which were sold in January 2023.
NET INTEREST INCOME
% Change Q4 2022 vs.
($ In Millions)Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Net Interest Income
     Interest Income (FTE*)$1,185.6 $811.6 $372.2 46 %219 %
     Interest Expense635.6 286.3 1.6 122N/M
Net Interest Income (FTE*)$550.0 $525.3 $370.6 5 %48 %
Average Earning Assets$133,789 $132,147 $148,834 1%(10 %)
Net Interest Margin (FTE*)1.63 %1.58 %0.99 %5 bps64 bps
(*) Interest income, net interest income and net interest margin presented on an FTE basis are non-generally accepted accounting principle financial measures that facilitate the analysis of asset yields. Please refer to the Reconciliation to Fully Taxable Equivalent section for further detail.
bps - basis points
Net interest income on an FTE basis increased sequentially and compared to the prior-year quarter primarily due to higher average interest rates, partially offset by an unfavorable balance sheet mix shift.
The net interest margin on an FTE basis increased sequentially primarily due to higher average interest rates, partially offset by an unfavorable balance sheet mix shift. The net interest margin on an FTE basis increased from the prior-year quarter primarily due to higher average interest rates.
Average earning assets decreased from the prior-year quarter primarily due to lower level of securities and short-term interest-bearing deposits with banks, partially offset by higher level of loans. The decrease in the size of the average balance sheet was primarily due to lower levels of client deposits, partially offset by higher short-term borrowing activity.
3
NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
PROVISION FOR CREDIT LOSSES
As of and for the three-months ended,
% Change December 31, 2022 vs.
($ In Millions)December 31, 2022September 30, 2022December 31, 2021September 30, 2022December 31, 2021
Allowance for Credit Losses
Beginning Allowance for Credit Losses$195.9 $199.9 $195.1 (2)%— %
Provision for Credit Losses5.0 0.5 (11.5)N/MN/M
Net Recoveries (Charge-Offs) — (4.5)1.1 N/MN/M
Ending Allowance for Credit Losses$200.9 $195.9 $184.7 3 %9 %
Allowance assigned to:
Loans and Leases$144.3 $138.7 $138.4 4 %4 %
Undrawn Loan Commitments and
Standby Letters of Credit		38.5 40.7 34.1 (5)13 
Debt Securities and Other Financial Assets18.1 16.5 12.2 8 47 
Ending Allowance for Credit Losses$200.9 $195.9 $184.7 3 %9 %
N/M - Not meaningful
Q4 2022
The provision in the current quarter was primarily due to an increase in the reserve evaluated on a collective basis, driven by growth in the commercial and institutional and commercial real estate portfolios and further deterioration in the macroeconomic outlook, partially offset by improvement in portfolio quality for the commercial and institutional segment. The reserve evaluated on a collective basis relates to pooled financial assets sharing similar risk characteristics.
Q3 2022
The provision in the prior quarter was primarily due to an increase in the reserve evaluated on a collective basis, driven by a weaker macroeconomic outlook at the time as compared to the previous period, partially offset by improvements in credit quality mainly within the commercial and institutional portfolio.
Q4 2021
The release of credit reserves in the prior-year quarter was primarily due to a decrease in the reserve evaluated on a collective basis, driven by improvements in projected economic conditions at the time and portfolio credit quality, partially offset by portfolio growth. Decreases in the collective basis reserve were primarily in the commercial and institutional and commercial real estate portfolios, partially offset by an increase in the private client portfolio.
4
NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
NONINTEREST EXPENSE
% Change Q4 2022 vs.
($ In Millions)Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Noninterest Expense
Compensation$584.3 $553.3 $510.2 6 %15 %
Employee Benefits103.6 109.9 107.9 (6)(4)
Outside Services232.9 220.9 224.2 5 4 
Equipment and Software229.4 212.4 196.1 8 17 
Occupancy65.7 51.3 51.8 28 27 
Other Operating Expense107.7 82.0 78.7 31 37 
Total Noninterest Expense$1,323.6 $1,229.8 $1,168.9 8 %13 %
End of Period Full-Time Equivalent Staff23,600 23,100 21,100 2 %12 %
Compensation expense increased sequentially primarily due to $30.4 million of severance-related charges and higher salary expense, partially offset by lower incentives. Compensation expense increased compared to the prior-year quarter primarily due to higher salary expense and $30.4 million of severance-related charges, partially offset by favorable currency translation.
Employee benefits expense decreased sequentially primarily due to a decline in pension-related expense, inclusive of a $6.8 million pension settlement charge in the current quarter as compared to a $17.0 million charge in the prior quarter, partially offset by higher medical costs. Employee benefits expense decreased compared to the prior-year quarter primarily due to lower ongoing pension expense associated with a plan remeasurement, partially offset by higher medical costs.
Outside services expense increased sequentially primarily due to higher technical services costs and legal services, partially offset by lower subcustodian expense and consulting services. Outside services expense increased compared to the prior-year quarter primarily due to higher technical services costs, legal services, and consulting services, partially offset by lower third-party advisory fees and subcustodian expense.
Equipment and software expense increased sequentially and compared to the prior-year quarter primarily due to higher software costs driven by continued technology investments as well as amortization.
Occupancy expense increased sequentially and compared to the prior-year quarter primarily due to $14.0 million of charges related to early lease exits.
Other operating expense increased sequentially primarily due to higher business promotion, supplemental compensation plan expense and miscellaneous expense. Other operating expense increased compared to the prior-year quarter primarily due to higher staff-related expense, business promotion and miscellaneous expense.
PROVISION FOR INCOME TAX
% Change Q4 2022 vs.
($ In Millions)Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Net Income
Income before Income Taxes$190.4 $524.5 $509.6 (64)%(63)%
Provision for Income Taxes34.7 129.7 103.2 (73)(66)
Net Income$155.7 $394.8 $406.4 (61)%(62)%
Effective Tax Rate18.2 %24.7 %20.2 %(650)bps(200)bps
bps - basis points
The effective tax rate decreased sequentially and from the prior-year quarter primarily due to the significant decrease in pretax earnings while tax benefits from tax-credit investments and tax-exempt income were constant or slightly increased. The decrease in the prior-year quarter was partially offset by a higher net impact from international operations, including limitations on the U.S. foreign tax credit.
5
NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
CAPITAL ACTIONS
The Corporation returned approximately $158.9 million to common shareholders in the current quarter through dividends and the repurchase of shares. During the current quarter, the Corporation declared cash dividends totaling $158.8 million to common stockholders. The Corporation repurchased 2,202 shares of common stock, all of which were withheld related to share-based compensation, at a total cost of $0.1 million ($87.02 average price per share). The Corporation also declared cash dividends totaling $4.7 million to preferred stockholders during the current quarter.
CAPITAL RATIOS
The capital ratios of Northern Trust Corporation and its principal subsidiary, The Northern Trust Company, remained strong at December 31, 2022, exceeding the minimum requirements for classification as “well-capitalized” under applicable U.S. regulatory requirements.
The table below provides capital ratios, as well as the required minimum capital ratios, for Northern Trust Corporation and The Northern Trust Company determined by Basel III phased-in requirements.

December 31, 2022*September 30, 2022December 31, 2021
Capital Ratios -
Northern Trust Corporation		Standardized ApproachAdvanced ApproachStandardized ApproachAdvanced ApproachStandardized ApproachAdvanced ApproachWell-Capitalized RatiosMinimum Capital Ratios
Common Equity Tier 1 Capital10.8 %11.5 %10.1 %11.4 %11.9 %13.2 %N/A4.5 %
Tier 1 Capital11.8 12.5 11.1 12.5 12.9 14.3 6.06.0 
Total Capital13.9 14.5 12.2 13.5 14.1 15.3 10.08.0 
Tier 1 Leverage7.1 7.1 7.0 7.0 6.9 6.9 N/A4.0 
Supplementary LeverageN/A7.9 N/A7.7 N/A8.2 N/A3.0 
December 31, 2022*September 30, 2022December 31, 2021
Capital Ratios -
The Northern Trust Company		Standardized ApproachAdvanced ApproachStandardized ApproachAdvanced ApproachStandardized ApproachAdvanced ApproachWell-Capitalized RatiosMinimum Capital Ratios
Common Equity Tier 1 Capital11.6 %12.4 %10.7 %12.2 %12.0 %13.5 %6.5 %4.5 %
Tier 1 Capital11.6 12.4 10.7 12.2 12.0 13.5 8.0 6.0 
Total Capital13.5 14.2 11.6 13.0 13.0 14.4 10.0 8.0 
Tier 1 Leverage6.9 6.9 6.7 6.7 6.4 6.4 5.0 4.0 
Supplementary LeverageN/A7.7 N/A7.4 N/A7.6 3.0 3.0 
(*) Capital ratios for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission.
6
NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
RECONCILIATION TO FULLY TAXABLE EQUIVALENT
The following table presents a reconciliation of interest income, net interest income, net interest margin, and total revenue prepared in accordance with generally accepted accounting principles to such measures on an FTE basis, which are non-generally accepted accounting financial measures. Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets. Management believes this presentation provides a clearer indication of these financial measures for comparative purposes. When adjusted to an FTE basis, yields on taxable, nontaxable and partially taxable assets are comparable; however, the adjustment to an FTE basis has no impact on net income.
QUARTERS
20222021
($ in Millions)FOURTHTHIRDSECONDFIRSTFOURTH
Net Interest Income
Interest Income - GAAP$1,170.1 $799.3 $524.8 $383.5 $362.2 
Add: FTE Adjustment15.5 12.3 11.1 6.7 10.0 
Interest Income (FTE) - Non-GAAP$1,185.6 $811.6 $535.9 $390.2 $372.2 
Net Interest Income - GAAP$534.5 $513.0 $458.7 $381.0 $360.6 
Add: FTE Adjustment15.5 12.3 11.1 6.7 10.0 
Net Interest Income (FTE) - Non-GAAP$550.0 $525.3 $469.8 $387.7 $370.6 
Net Interest Margin - GAAP1.58 %1.54 %1.31 %1.03 %0.96 %
Net Interest Margin (FTE) - Non-GAAP1.63 %1.58 %1.35 %1.05 %0.99 %
Total Revenue
Total Revenue - GAAP$1,519.0 $1,754.8 $1,768.7 $1,718.7 $1,667.0 
Add: FTE Adjustment15.5 12.3 11.1 6.7 10.0 
Total Revenue (FTE) - Non-GAAP$1,534.5 $1,767.1 $1,779.8 $1,725.4 $1,677.0 

7
NORTHERN TRUST CORPORATION FOURTH QUARTER 2022 RESULTS
FORWARD LOOKING STATEMENTS
This release may include statements which constitute “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are identified typically by words or phrases such as “believe,” “expect,” “anticipate,” “intend,” “estimate,” “project,” “likely,” “plan,” “goal,” “target,” “strategy,” and similar expressions or future or conditional verbs such as “may,” “will,” “should,” “would,” and “could.” Forward-looking statements include statements, other than those related to historical facts, that relate to Northern Trust’s financial results and outlook, capital adequacy, dividend policy and share repurchase program, accounting estimates and assumptions, credit quality including allowance levels, future pension plan contributions, effective tax rate, anticipated expense levels, contingent liabilities, acquisitions, strategies, market and industry trends, and expectations regarding the impact of accounting pronouncements and legislation. These statements are based on Northern Trust’s current beliefs and expectations of future events or future results, and involve risks and uncertainties that are difficult to predict and subject to change. These statements are also based on assumptions about many important factors, including the factors discussed in Northern Trust’s most recent annual report on Form 10-K and other filings with the U.S. Securities and Exchange Commission, all of which are available on Northern Trust’s website. We caution you not to place undue reliance on any forward-looking statement as actual results may differ materially from those expressed or implied by forward-looking statements. Northern Trust assumes no obligation to update its forward-looking statements.
WEBCAST OF FOURTH QUARTER EARNINGS CONFERENCE CALL
Northern Trust’s fourth quarter earnings conference call will be webcast on January 19, 2023.
The live call will be conducted at 8:00 a.m. CT and is accessible on Northern Trust’s website at:
https://www.northerntrust.com/about-us/investor-relations
A recording of the live call will be available on Northern Trust’s website following the live event, for approximately four weeks. Participants will need Windows Media or Adobe Flash software. This earnings release can also be accessed at Northern Trust’s website.
About Northern Trust
Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of wealth management, asset servicing, asset management and banking to corporations, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has a global presence with offices in 25 U.S. states and Washington, D.C., and across 23 locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of December 31, 2022, Northern Trust had assets under custody/administration of US$13.6 trillion, and assets under management of US$1.2 trillion. For more than 130 years, Northern Trust has earned distinction as an industry leader for exceptional service, financial expertise, integrity and innovation. Visit us on northerntrust.com. Follow us on Twitter @NorthernTrust or Northern Trust Corporation on LinkedIn.
Northern Trust Corporation, Head Office: 50 South La Salle Street, Chicago, Illinois 60603 U.S.A., incorporated with limited liability in the U.S. Global legal and regulatory information can be found at https://www.northerntrust.com/terms-and-conditions.

8
NORTHERN TRUST CORPORATION
(Supplemental Consolidated Financial Information)
STATEMENT OF INCOME DATA 
% Change(1)
($ In Millions Except Per Share Data)
 Q4 2022 vs.
Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Noninterest Income
     Trust, Investment and Other Servicing Fees$1,042.1 $1,078.7 $1,111.0 (3)%(6)%
     Foreign Exchange Trading Income65.4 64.7 76.9 1 (15)
     Treasury Management Fees8.3 9.3 10.6 (9)(21)
     Security Commissions and Trading Income35.1 32.1 35.9 9 (2)
     Other Operating Income47.3 57.3 72.3 (18)(35)
     Investment Security Gains (Losses), net(213.7)(0.3)(0.3)N/MN/M
Total Noninterest Income984.5 1,241.8 1,306.4 (21)(25)
Net Interest Income
      Interest Income1,170.1 799.3 362.2 46 N/M
      Interest Expense635.6 286.3 1.6 122 N/M
Net Interest Income534.5 513.0 360.6 4 48 
Total Revenue1,519.0 1,754.8 1,667.0 (13)(9)
Provision for Credit Losses5.0 0.5 (11.5)N/MN/M
Noninterest Expense
     Compensation584.3 553.3 510.2 6 15 
     Employee Benefits103.6 109.9 107.9 (6)(4)
     Outside Services232.9 220.9 224.2 5 4 
     Equipment and Software229.4 212.4 196.1 8 17 
     Occupancy65.7 51.3 51.8 28 27 
     Other Operating Expense107.7 82.0 78.7 31 37 
Total Noninterest Expense1,323.6 1,229.8 1,168.9 8 13 
Income before Income Taxes190.4 524.5 509.6 (64)(63)
Provision for Income Taxes34.7 129.7 103.2 (73)(66)
NET INCOME$155.7 $394.8 $406.4 (61)%(62)%
Preferred Stock Dividends4.7 16.2 4.7 (71)—
NET INCOME APPLICABLE TO COMMON STOCK$151.0 $378.6 $401.7 (60)%(62)%
Earnings Allocated to Participating Securities2.3 3.2 3.0 (29)(26)
Earnings Allocated to Common and Potential Common Shares$148.7 $375.4 $398.7 (60)(63)
Per Common Share
Net Income
     Basic$0.71 $1.80 $1.92 (61)%(63)%
     Diluted0.71 1.80 1.91 (61)(63)
Average Common Equity$10,094.5 $10,050.7 $10,956.7 — %(8)%
Return on Average Common Equity5.9 %14.9 %14.5 %
Return on Average Assets0.42 %1.07 %1.00 %
Cash Dividends Declared per Common Share$0.75 $0.75 $0.70 — %7 %
Average Common Shares Outstanding (000s)
     Basic208,423 208,400207,708
     Diluted208,894 208,889208,593
Common Shares Outstanding (EOP) (000s)208,428 208,416207,762
(1) Percentage calculations are based on actual balances rather than the rounded amounts presented in the Supplemental Consolidated Financial Information.
N/M - Not meaningful
EOP - End of period
9
NORTHERN TRUST CORPORATION
(Supplemental Consolidated Financial Information)
STATEMENT OF INCOME DATA
($ In Millions Except Per Share Data)TWELVE MONTHS
20222021
% Change(1)
Noninterest Income
     Trust, Investment and Other Servicing Fees$4,432.6 $4,361.1 2 %
     Foreign Exchange Trading Income288.6 292.6 (1)
     Treasury Management Fees39.3 44.3 (11)
     Security Commissions and Trading Income136.2 140.2 (3)
     Other Operating Income191.3 243.9 (22)
     Investment Security Gains (Losses), net(214.0)(0.3)N/M
Total Noninterest Income4,874.0 5,081.8 (4)
Net Interest Income
       Interest Income2,877.7 1,406.5 105 
       Interest Expense990.5 23.8 N/M
Net Interest Income1,887.2 1,382.7 36 
Total Revenue6,761.2 6,464.5 5 
Provision for Credit Losses12.0 (81.5)N/M
Noninterest Expense
     Compensation2,248.0 2,011.0 12 
     Employee Benefits437.4 431.4 1 
     Outside Services880.3 849.4 4 
     Equipment and Software838.8 736.3 14 
     Occupancy219.1 208.7 5 
     Other Operating Expense359.3 299.1 20 
Total Noninterest Expense4,982.9 4,535.9 10 
Income before Income Taxes1,766.3 2,010.1 (12)
Provision for Income Taxes430.3 464.8 (7)
NET INCOME$1,336.0 $1,545.3 (14)%
Preferred Stock Dividends
41.8 41.8 — 
NET INCOME APPLICABLE TO COMMON STOCK$1,294.2 $1,503.5 (14)%
Earnings Allocated to Participating Securities11.8 12.9 (9)
Earnings Allocated to Common and Potential Common Shares$1,282.4 $1,490.6 (14)%
Per Common Share
Net Income
     Basic$6.16 $7.16 (14)%
     Diluted6.14 7.14 (14)
Average Common Equity$10,196.6 $10,812.1 (6)%
Return on Average Common Equity12.7 %13.9 %
Return on Average Assets0.88 %0.99 %
Cash Dividends Declared per Common Share$2.90 $2.80 4 %
Average Common Shares Outstanding (000s)
     Basic208,309 208,076 
     Diluted208,867 208,899 
Common Shares Outstanding (EOP) (000s)208,428 207,762 
(1)Percentage calculations are based on actual balances rather than the rounded amounts presented in the Supplemental Consolidated Financial Information.
N/M - Not meaningful
EOP - End of period
10
NORTHERN TRUST CORPORATION
(Supplemental Consolidated Financial Information)
BALANCE SHEET
($ In Millions) 
% Change(1)
December 31, 2022 vs.
December 31, 2022September 30, 2022December 31, 2021September 30, 2022December 31, 2021
Assets
Federal Reserve and Other Central Bank Deposits$39,961.9 $39,582.4 $64,495.1 1 %(38)%
Interest-Bearing Due from and Deposits with Banks(2)
4,926.6 4,097.4 3,849.2 20 28 
Federal Funds Sold32.0 30.1 — 6 N/M
Securities Purchased under Agreements to Resell1,070.3 1,166.2 686.4 (8)56 
Debt Securities
Available for Sale26,699.9 26,979.3 38,010.5 (1)(30)
Held to Maturity25,036.1 25,249.8 23,564.5 (1)6 
Trading Account95.2 0.1 0.3 N/MN/M
Total Debt Securities51,831.2 52,229.2 61,575.3 (1)(16)
Loans and Leases42,893.3 43,991.9 40,480.6 (2)6 
Other Interest-Earning Assets(3)
1,769.4 1,641.3 1,189.4 8 49 
Total Earning Assets142,484.7 142,738.5 172,276.0 — (17)
Allowance for Credit Losses(161.1)(154.4)(150.6)4 7 
Cash and Due from Banks and Other Central Bank Deposits(4)
1,737.2 2,000.3 1,244.1 (13)40 
Buildings and Equipment500.5 469.2 488.7 7 2 
Client Security Settlement Receivables1,698.3 3,077.3 1,941.2 (45)(13)
Goodwill691.3 679.0 706.2 2 (2)
Other Assets8,085.8 11,029.7 7,384.2 (27)10 
Total Assets$155,036.7 $159,839.6 $183,889.8 (3)%(16)%
Liabilities and Stockholders’ Equity
Interest-Bearing Deposits
       Savings, Money Market and Other$31,128.6 $30,968.5 $35,003.1 1 %(11)%
       Savings Certificates and Other Time1,981.3 1,217.1 842.7 63 135 
       Non-U.S. Offices - Interest-Bearing65,481.9 68,503.7 75,767.1 (4)(14)
Total Interest-Bearing Deposits98,591.8 100,689.3 111,612.9 (2)(12)
Federal Funds Purchased1,896.9 4,364.8 0.2 (57)N/M
Securities Sold under Agreements to Repurchase567.2 561.4 531.9 1 7 
Other Borrowings7,592.3 7,153.6 3,583.8 6 112 
Senior Notes2,724.2 2,707.4 2,505.5 1 9 
Long-Term Debt2,066.2 1,068.3 1,145.7 93 80 
Total Interest-Related Funds113,438.6 116,544.8 119,380.0 (3)(5)
Demand and Other Noninterest-Bearing Deposits25,340.3 27,858.1 48,315.5 (9)(48)
Other Liabilities4,998.3 4,406.3 4,177.5 13 20 
Total Liabilities143,777.2 148,809.2 171,873.0 (3)(16)
Common Equity10,374.6 10,145.5 11,131.9 2 (7)
Preferred Equity884.9 884.9 884.9 — — 
Total Equity11,259.5 11,030.4 12,016.8 2 (6)
Total Liabilities and Stockholders’ Equity$155,036.7 $159,839.6 $183,889.8 (3)%(16)%
(1)    Percentage calculations are based on actual balances rather than the rounded amounts presented in the Supplemental Consolidated Financial Information.
(2)    Interest-Bearing Due from and Deposits with Banks includes the interest-bearing component of Cash and Due from Banks and Interest-Bearing Deposits with Banks as presented on the consolidated balance sheets in our periodic filings with the SEC.
(3)    Other Interest-Earning Assets include certain community development investments, collateral deposits with certain securities depositories and clearing houses, and Federal Home Loan Bank and Federal Reserve stock, which are classified in Other Assets on the consolidated balance sheets in our periodic filings with the SEC.
(4)    Cash and Due from Banks and Other Central Bank Deposits includes the noninterest-bearing component of Federal Reserve and Other Central Bank Deposits as presented on the consolidated balance sheets in our periodic filings with the SEC.
11
NORTHERN TRUST CORPORATION
(Supplemental Consolidated Financial Information)
AVERAGE BALANCE SHEET
($ In Millions)
% Change(1)
 Q4 2022 vs.
Q4 2022Q3 2022Q4 2021Q3 2022Q4 2021
Assets
Federal Reserve and Other Central Bank Deposits$32,755.2 $30,548.7 $40,986.0 7 %(20)%
Interest-Bearing Due from and Deposits with Banks(2)
4,186.1 3,976.8 4,777.6 5 (12)
Federal Funds Sold14.0 5.1 0.1 175 N/M
Securities Purchased under Agreements to Resell1,165.5 1,270.9 876.0 (8)33 
Debt Securities
       Available for Sale26,742.4 28,482.8 38,216.1 (6)(30)
Held to Maturity25,135.3 25,126.6 22,960.0 — 9 
       Trading Account46.4 0.4 0.5 N/MN/M
Total Debt Securities51,924.1 53,609.8 61,176.6 (3)(15)
Loans and Leases42,329.4 41,466.4 39,860.4 2 6 
Other Interest-Earning Assets(3)
1,414.2 1,268.8 1,157.3 11 22 %
Total Earning Assets133,788.5 132,146.5 148,834.0 1 (10)
Allowance for Credit Losses(154.6)(154.1)(155.8)— (1)
Cash and Due from Banks and Other Central Bank Deposits(4)
1,773.7 1,903.1 2,123.6 (7)(16)
Buildings and Equipment491.0 481.2 497.1 2 (1)
Client Security Settlement Receivables1,809.9 1,667.1 1,638.5 9 10 
Goodwill685.8 685.5 705.4 — (3)
Other Assets9,409.3 9,672.9 7,711.0 (3)22 
Total Assets$147,803.6 $146,402.2 $161,353.8 1 %(8)%
Liabilities and Stockholders’ Equity
Interest-Bearing Deposits
       Savings, Money Market and Other$28,488.7 $29,089.3 $30,676.1 (2)%(7)%
       Savings Certificates and Other Time1,610.5 986.0 856.5 63 88 
       Non-U.S. Offices - Interest-Bearing64,024.0 64,057.3 71,098.6 — (10)
Total Interest-Bearing Deposits94,123.2 94,132.6 102,631.2 — (8)
Federal Funds Purchased2,704.7 1,967.5 0.2 37 N/M
Securities Sold under Agreements to Repurchase392.4 489.6 313.5 (20)25 
Other Borrowings7,933.2 5,991.1 4,788.9 32 66 
Senior Notes2,721.5 2,969.6 2,510.3 (8)8 
Long-Term Debt1,718.6 1,087.6 1,150.8 58 49 
Floating Rate Capital Debt— — 42.3 N/M(100)
Total Interest-Related Funds109,593.6 106,638.0 111,437.2 3 (2)
Demand and Other Noninterest-Bearing Deposits22,186.3 24,355.5 33,389.6 (9)(34)
Other Liabilities5,044.3 4,473.1 4,685.4 13 8 
Total Liabilities136,824.2 135,466.6 149,512.2 1 (8)
Common Equity10,094.5 10,050.7 10,956.7 — (8)
Preferred Equity884.9 884.9 884.9 — — 
Total Equity10,979.4 10,935.6 11,841.6 — (7)
Total Liabilities and Stockholders’ Equity$147,803.6 $146,402.2 $161,353.8 1 %(8)%
(1)    Percentage calculations are based on actual balances rather than the rounded amounts presented in the Supplemental Consolidated Financial Information.
(2)    Interest-Bearing Due from and Deposits with Banks includes the interest-bearing component of Cash and Due from Banks and Interest-Bearing Deposits with Banks as presented on the consolidated balance sheets in our periodic filings with the SEC.
(3)     Other Interest-Earning Assets include certain community development investments, collateral deposits with certain securities depositories and clearing houses, and Federal Home Loan Bank and Federal Reserve stock, which are classified in Other Assets on the consolidated balance sheets in our periodic filings with the SEC.
(4)    Cash and Due from Banks and Other Central Bank Deposits includes the noninterest-bearing component of Federal Reserve and Other Central Bank Deposits as presented on the consolidated balance sheets in our periodic filings with the SEC.
12
NORTHERN TRUST CORPORATION
(Supplemental Consolidated Financial Information)
QUARTERLY TREND DATA QUARTERS
($ In Millions Except Per Share Data)20222021
FOURTHTHIRDSECONDFIRSTFOURTH
Net Income Summary
   Trust, Investment and Other Servicing Fees $1,042.1 $1,078.7 $1,143.4 $1,168.4 $1,111.0 
   Other Noninterest Income(57.6)163.1 166.6 169.3 195.4 
   Net Interest Income 534.5 513.0 458.7 381.0 360.6 
     Total Revenue 1,519.0 1,754.8 1,768.7 1,718.7 1,667.0 
   Provision for Credit Losses 5.0 0.5 4.5 2.0 (11.5)
   Noninterest Expense1,323.6 1,229.8 1,223.6 1,205.9 1,168.9 
     Income before Income Taxes190.4 524.5 540.6 510.8 509.6 
   Provision for Income Taxes34.7 129.7 144.4 121.5 103.2 
     Net Income $155.7 $394.8 $396.2 $389.3 $406.4 
Per Common Share
   Net Income - Basic$0.71 $1.80 $1.86 $1.78 $1.92 
                      - Diluted0.71 1.80 1.86 1.77 1.91 
   Cash Dividends Declared per Common Share0.75 0.75 0.70 0.70 0.70 
   Book Value (EOP)49.78 48.68 48.87 50.51 53.58 
   Market Value (EOP)88.49 85.56 96.48 116.45 119.61 
Financial Ratios
   Return on Average Common Equity5.9 %14.9 %15.7 %14.2 %14.5 %
   Return on Average Assets0.42 1.07 1.03 0.97 1.00 
   Net Interest Margin (GAAP)1.58 1.54 1.31 1.03 0.96 
   Net Interest Margin (FTE*)1.63 1.58 1.35 1.05 0.99 
Assets Under Custody / Administration ($ in Billions) - End Of Period
Asset Servicing$12,705.5 $11,954.0 $12,812.2 $14,513.0 $15,183.2 
   Wealth Management898.5 868.0 921.5 1,031.1 1,065.6 
     Total Assets Under Custody / Administration$13,604.0 $12,822.0 $13,733.7 $15,544.1 $16,248.8 
Assets Under Custody ($ In Billions) - End Of Period
Asset Servicing$9,712.3 $9,125.5 $9,771.2 $10,987.5 $11,554.8 
   Wealth Management892.3 860.8 913.0 1,022.9 1,057.5 
     Total Assets Under Custody$10,604.6 $9,986.3 $10,684.2 $12,010.4 $12,612.3 
Assets Under Management ($ In Billions) - End Of Period
Asset Servicing$898.1 $873.7 $950.0 $1,091.6 $1,191.0 
   Wealth Management351.4 336.2 352.8 396.2 416.1 
     Total Assets Under Management$1,249.5 $1,209.9 $1,302.8 $1,487.8 $1,607.1 
Asset Quality ($ In Millions) - End Of Period
   Nonaccrual Loans and Leases$45.9 $76.4 $89.7 $100.8 $122.3 
   Other Real Estate Owned (OREO)— — 0.1 0.2 3.0 
     Total Nonaccrual Assets$45.9 $76.4 $89.8 $101.0 $125.3 
   Nonaccrual Assets / Loans and Leases and OREO0.11 %0.17 %0.22 %0.26 %0.31 %
   Gross Charge-offs$(0.5)$(5.4)$— $(0.1)$(0.3)
Gross Recoveries 0.5 0.9 5.5 3.3 1.4 
     Net Recoveries (Charge-offs)$— $(4.5)$5.5 $3.2 $1.1 
   Annualized Net Recoveries (Charge-offs) to Avg Loans and Leases— %(0.04)%0.05 %0.03 %0.01 %
   Allowance for Credit Losses Assigned to:
     Loans and Leases$144.3 $138.7 $138.2 $136.3 $138.4 
Undrawn Loan Commitments and Standby Letters of Credit38.5 40.7 43.5 37.5 34.1 
Debt Securities and Other Financial Assets18.1 16.5 18.2 16.1 12.2 
   Loans and Leases Allowance / Nonaccrual Loans and Leases3.1 x1.8 x1.5 x1.4 x1.1 x
(*)    Net interest margin presented on an FTE basis is a non-generally accepted accounting principle financial measure that facilitates the analysis of asset yields. Please refer to the Reconciliation to Fully Taxable Equivalent section for further detail.
13
1northerntrust.com | © 2023 Northern Trustnortherntrust.co | 2023 orthern Northern Trust Corporation .Fourth Quarter 2022 Quarterly Earnings Review . January 19, 2023 Exhibit 99.2

 
2northerntrust.com | © 2023 Northern Trust 2Q22 End of Period Month Lag1 Quarter Lag2 YoY Seq YoY Seq YoY Seq S&P 500 (19.4)% 7.1% (14.4)% (2.8)% (16.8)% (5.3)% MSCI EAFE Local (9.5)% 8.4% (9.0)% (1.3)% (13.5)% (4.3)% 1 month Libor (Avg) 381 bps 144 bps 3 month Libor (Avg) 434 bps 151 bps EXECUTIVE SUMMARY 1 Month Lag YoY represents the average month-ends of Sept. 2022 - Nov. 2022 vs. Sept. 2021 - Nov. 2021. Month Lag Seq represents the average month-ends of Sept. 2022 - Nov. 2022 vs. Jun. 2022 - Aug. 2022. 2 Quarter Lag YoY represents quarter-end Sept. 2022 vs. Sept. 2021. Quarter Lag Seq represents quarter-end Sept. 2022 vs. Jun. 2022. Key Macroeconomic Factors  Net income of $155.7 million, earnings per diluted common share of $0.71, return on average common equity of 5.9%  Results reflect the inclusion of $265.8 million in pre-tax charges reflecting $199.1 million in net income impacts and $0.94 in earnings per share impacts.  The current quarter included:  $213.0 million pre-tax investment security losses related to the intent to sell certain available-for-sale debt securities  $32.0 million pre-tax severance-related charges  $14.0 million pre-tax occupancy charges  $6.8 million pre-tax pension settlement charge  Results for the quarter included the impact of certain accounting reclassifications implemented at the start of 2022 which impact the year-over-year comparisons. For the current quarter, this resulted in a $14.2 million increase to Trust, Investment and Other Servicing Fees, with:  $5.6 million ($2.9 million in Other Asset Servicing fees and $2.7 million in Wealth Management) related to amounts previously recorded in Other Operating Income in the prior year  $8.6 million related to amounts previously recorded as a reduction in Other Operating Expense in the prior year now reported in Asset Servicing Investment Management fees.

 
3northerntrust.com | © 2023 Northern Trust SUMMARY RESULTS & KEY METRICS $ in millions (except EPS and as noted) % Change Vs. 4Q 2022 4Q 2021 3Q 2022 Revenue (FTE1) $1,534.5 (8)% (13)% Noninterest Expense 1,323.6 13% 8% Provision for Credit Losses 5.0 N/M N/M Net Income $155.7 (62)% (61)% Diluted Earnings per Share $0.71 (63)% (61)% Return on Average Common Equity2 5.9% 14.5% 14.9% Pre-Tax Margin1,2 13.4% 31.0% 30.4% Expense to Trust Fee Ratio2 127% 105% 114% Assets under Custody / Administration3 (in billions) $13,604 (16)% +6% Assets under Custody3 (in billions) $10,605 (16)% +6% Assets under Management3 (in billions) $1,250 (22)% +3% 1 Revenue and pre-tax margin stated on a fully taxable equivalent (FTE) basis are non-GAAP financial measures. A reconciliation to reported revenue and reported pre-tax margin prepared in accordance with U.S. generally accepted accounting principles (GAAP) is included in the Appendix on page 12. 2 Actual numbers for all periods, not % change. 3 Client assets for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission. N/M - Not meaningful Results include impact of charges highlighted on page 2

 
4northerntrust.com | © 2023 Northern Trust TOTAL REVENUE $ in millions Total Revenue (FTE1) $1,111 $1,168 $1,143 $1,079 $1,042 $77 $81 $78 $65 $65 $119 $88 $89 $98 $(123) $371 $388 $470 $525 $550 $1,677 $1,725 $1,780 $1,767 $1,535 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 -8% -13% Trust, Investment and Other Servicing Fees FX Trading Income Other Noninterest Income2 Net Interest Income (FTE1)  Trust, Investment & Other Servicing Fees were down 6% year-over-year and down 3% sequentially.  Foreign Exchange Trading Income was down 15% year-over-year and up 1% sequentially.  Other Noninterest Income was a loss of $123.0 million, which included $213.0 million of investment security losses.  Net Interest Income (FTE1) was up 48% year-over-year and up 5% sequentially. Categories may not sum due to rounding. 1 Net interest income and total revenue stated on an FTE basis are non-GAAP financial measures. A reconciliation of these measures to reported results prepared in accordance with U.S. GAAP is included in the Appendix on page 12. 2 Other Noninterest Income includes Security Commissions and Trading Income, Treasury Management Fees, Other Operating Income, and Investment Security Gains (Losses), net. Results include impact of charges highlighted on page 2

 
5northerntrust.com | © 2023 Northern Trust TRUST, INVESTMENT & OTHER SERVICING FEES $ in millions (except as noted) % Change Vs. Trust, Investment & Other Servicing Fees 4Q 2022 4Q 2021 3Q 2022 Custody & Fund Administration $406.3 (11)% – % Investment Management 123.8 +9% (9)% Securities Lending 19.3 +2% (11)% Other 38.6 +9% +1% Total Asset Servicing $588.0 (6)% (3)% Central $162.2 (11)% (5)% East 117.8 (11)% (5)% West 89.5 (9)% (3)% Global Family Office (GFO) 84.6 +16% (3)% Total Wealth Management $454.1 (7)% (5)% Client Assets1 (in billions): Asset Servicing AUC/A $12,706 (16)% +6% Asset Servicing AUC $9,712 (16)% +6% Asset Servicing AUM $898 (25)% +3% Securities Lending Collateral $148 (24)% (9)% Wealth Management AUC/A $899 (16)% +4% Wealth Management AUC $892 (16)% +4% Wealth Management AUM $351 (16)% +5%  Asset Servicing Trust, Investment & Other Servicing Fees were down 6% year-over-year and down 3% sequentially.  Custody and fund administration fees decreased from the prior-year quarter primarily due to unfavorable markets and unfavorable currency translation, partially offset by new business. Custody and fund administration fees were flat sequentially.  Investment management fees increased from the prior-year quarter primarily due to lower money market fund fee waivers, partially offset by asset outflows and unfavorable markets. Investment management fees decreased sequentially primarily due to asset outflows and unfavorable markets.  Other trust, investment and other servicing fees increased from the prior-year quarter primarily due to the accounting reclassification previously discussed.  Wealth Management Trust, Investment & Other Servicing Fees were down 7% year-over-year and down 5% sequentially.  Fees in the regions (Central, East and West) decreased from the prior-year quarter primarily due to unfavorable markets and asset outflows, partially offset by lower money market fund fee waivers. Fees in the regions decreased sequentially primarily due to unfavorable markets and asset outflows.  Fees in GFO increased from the prior-year quarter primarily due to lower money market fund fee waivers and new business, partially offset by unfavorable markets. Fees in GFO decreased sequentially primarily due to asset outflows and unfavorable markets. 1 Client assets for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission. Results include impact of charges highlighted on page 2

 
6northerntrust.com | © 2023 Northern Trust NET INTEREST INCOME Average Earning Assets ($ in billions) $148.8 $149.8 $139.9 $132.1 $133.8 0.99% 1.05% 1.35% 1.58% 1.63% 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 NII (FTE1) in millions $ 550.0 Loans & Leases Securities Deposits w/ Banks Fed Deposits & Other NIM (FTE1)  Net Interest Income (FTE1) was up 48% year-over- year and up 5% sequentially. Net interest margin (FTE1) was 1.63%.  Average Earning Assets were down 10% year-over- year and up 1% sequentially.  Average Total Deposits were down 14% year-over- year and down 2% sequentially.  Net Interest Margin (FTE1) increased 64 basis points from the prior-year quarter and increased 5 basis points sequentially. The increase relative to the prior-year quarter was primarily due to higher average interest rates. The sequential increase was primarily due to higher average interest rates, partially offset by an unfavorable balance sheet mix shift. 1 Net interest income and net interest margin stated on an FTE basis are non-GAAP financial measures. A reconciliation of these measures to reported results prepared in accordance with U.S. GAAP is included in the Appendix on page 12. $ 525.3$ 370.6 $ 387.7 $469.8

 
7northerntrust.com | © 2023 Northern Trust NONINTEREST EXPENSE $ in millions Total Noninterest Expense $618 $668 $666 $663 $688 $224 $213 $213 $221 $233 $196 $194 $204 $212 $229 $52 $51 $51 $51 $66 $79 $80 $90 $82 $108 $1,169 $1,206 $1,224 $1,230 $1,324 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 +13% +8% Compensation & Benefits Outside Services Equipment & Software Occupancy Other  Expenses totaled $1.3 billion in the fourth quarter, up 13% year-over-year and up 8% sequentially.  The year-over-year growth in expenses was primarily driven by increases in compensation, equipment and software related costs, other operating expense, occupancy, and outside services, partially offset by decreases in employee benefits.  The sequential expense increase was driven by increases in compensation, other operating expense, equipment and software, occupancy, and outside services, partially offset by decreases in employee benefits.  Expenses included the following: Severance-related charges of $32.0 million in 4Q22 and $6.1 million in 4Q21. Occupancy charges of $14.0 million in 4Q22. Pension settlement charge of $6.8 million in 4Q22 and $3.4 million in 4Q21 Categories may not sum due to rounding. Results include impact of charges highlighted on page 2

 
8northerntrust.com | © 2023 Northern Trust 1 Revenue and pre-tax margin stated on an FTE basis is a non-GAAP financial measure. A reconciliation of these measures to reported results prepared in accordance with U.S. GAAP is included in the Appendix on page 12. 2 Actual numbers for all periods, not % change. 3 Client assets for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission. $ in millions (except EPS and as noted) RESULTS & KEY METRICS: FULL YEAR 2022 % Change Vs. FY 2022 FY 2021 Revenue (FTE1) $6,806.8 +5% Noninterest Expense 4,982.9 +10% Provision for Credit Losses 12.0 N/M Net Income $1,336.0 (14)% Diluted Earnings per Share $6.14 (14)% Return on Equity2 12.7% 13.9% Pre-Tax Margin1,2 26.6% 31.5% Expense to Trust Fee Ratio2 112% 104% Assets under Custody / Administration3 (in billions) $13,604 (16)% Assets under Custody3 (in billions) $10,605 (16)% Global Custody Assets3 (in billions) $6,907 (16)% Assets under Management3 (in billions) $1,250 (22)%  Revenue includes the following items:  FY 2022 includes $213.0 million pre-tax investment securities losses related to the intent to sell certain available-for-sale debt securities.  FY 2021 includes $13.0 million pre-tax gain relating to property sales recorded in Other Operating Income.  FY 2022 Implementation of certain accounting reclassification changes resulting in a $65.6 million increase to Trust, Investment and Other Servicing fees in FY 2022, with $25.6 million relating to amounts previously recorded in Other Operating Income, and $40.0 million related to amounts previously recorded as a reduction in Other Operating Expense.  Noninterest Expenses includes the following, all pre-tax:  Pension settlement charges of $44.1 million in FY 2022, $27.9 million in FY 2021.  Severance-related charges of $32.0 million in FY 2022, $8.5 million in FY 2021.  Occupancy charges of $14.0 million in FY 2022. Results include impact of charges highlighted on page 2

 
9northerntrust.com | © 2023 Northern Trust 1 Net interest income and total revenue on an FTE basis are non-GAAP financial measures. A reconciliation of these measures to reported results prepared in accordance with U.S. GAAP is included in the Appendix on page 12. $ in millions REVENUE AND EXPENSE: ANNUAL TRENDS $3,995 $4,361 $4,433 $290 $293 $289 $372 $428 $153 $1,478 $1,418 $1,933 $6,135 $6,500 $6,807 2020 2021 2022 +6% -4% +15% +1% +9% +5% +36% -64% -1% +2% Trust, Investment and Other Servicing Fees FX Trading Income Other Noninterest Income Net Interest Income (FTE1) Total Revenue (FTE1) Total Noninterest Expense $2,335 $2,442 $2,685 $763 $849 $880 $674 $736 $839 $230 $209 $219 $347 $299 $359 $4,348 $4,536 $4,983 1 2 3 +10% +5% +14% +4% +10% +20%+4% -9% +9% +11% +5% -14% Equipment & Software Outside Services Compensation & Benefits Occupancy Other Results include impact of charges highlighted on page 2

 
10northerntrust.com | © 2023 Northern Trust CAPITAL Northern Trust Corporation Capital Ratios Advanced Approach Common Equity Tier 1 11.5% Tier 1 12.5% Total 14.5% Tier 1 Leverage 7.1% Supplementary Leverage 7.9% Standardized Approach Common Equity Tier 1 10.8% Tier 1 11.8% Total 13.9% Tier 1 Leverage 7.1% Capital Return  Declared $158.8 million in common stock dividends and $4.7 million in preferred stock dividends in 4Q 2022.  Repurchased $0.1 million of common stock in 4Q 2022.  Accumulated other comprehensive income (loss) was ($1.6 billion) as of December 31, 2022, a change of $0.2 billion during the fourth quarter.  Completed the sale of $2.1 billion of non- high-quality liquid assets (HQLA) available- for-sale debt securities in early 2023. As of December 31, 2022, capital ratios for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission.  Stress Capital Buffer requirement of 2.5%; resulting in minimum Common Equity Tier 1 requirement of 7%.

 
11northerntrust.com | © 2023 Northern Trustnortherntrust.co | 2023 orthern Appendix

 
12northerntrust.com | © 2023 Northern Trust RECONCILIATION OF NON-GAAP FINANCIAL MEASURES The following table presents a reconciliation of total revenue, net interest income, net interest margin and pre-tax margin prepared in accordance with GAAP to such measures on a fully taxable equivalent (FTE) basis, which are non-GAAP financial measures. Management believes this presentation provides a clearer indication of these financial measures for comparative purposes. 4Q22 3Q22 2Q22 1Q22 4Q21 FY 2022 FY 2021 Reported 1,519.0$ 1,754.8$ 1,768.7$ 1,718.7$ 1,667.0$ 6,761.2$ 6,464.5$ FTE Adj. 15.5$ 12.3$ 11.1$ 6.7$ 10.0$ 45.6$ 35.6$ FTE 1,534.5$ 1,767.1$ 1,779.8$ 1,725.4$ 1,677.0$ 6,806.8$ 6,500.1$ 4Q22 3Q22 2Q22 1Q22 4Q21 FY 2022 FY 2021 Reported 534.5$ 513.0$ 458.7$ 381.0$ 360.6$ 1,887.2$ 1,382.7$ FTE Adj. 15.5$ 12.3$ 11.1$ 6.7$ 10.0$ 45.6$ 35.6$ FTE 550.0$ 525.3$ 469.8$ 387.7$ 370.6$ 1,932.8$ 1,418.3$ NIM - Reported 1.58% 1.54% 1.31% 1.03% 0.96% NIM - FTE 1.63% 1.58% 1.35% 1.05% 0.99% 4Q22 3Q22 4Q21 FY 2022 FY 2021 Revenue - Reported 1,519.0$ 1,754.8$ 1,667.0$ 6,761.2$ 6,464.5$ Pre-Tax Income - Reported 190.4$ 524.5$ 509.6$ 1,766.3$ 2,010.1$ FTE Adj.* 15.5$ 12.3$ 10.0$ 45.6$ 35.6$ Revenue - FTE 1,534.5$ 1,767.1$ 1,677.0$ 6,806.8$ 6,500.1$ Pre-Tax Income - FTE 205.9$ 536.8$ 519.6$ 1,811.9$ 2,045.7$ Pre-Tax Margin - Reported 12.5% 29.9% 30.6% 26.1% 31.1% Pre-Tax Margin - FTE 13.4% 30.4% 31.0% 26.6% 31.5% * FTE Adjustment applies to both revenue and pre-tax income Revenue Net Interest Income Pre-Tax Margin

 
13northerntrust.com | © 2023 Northern Trust FORWARD-LOOKING STATEMENTS This presentation may include statements which constitute “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward- looking statements are identified typically by words or phrases such as “believe,” “expect,” “anticipate,” “intend,” “estimate,” “project,” “likely,” “plan,” “goal,” “target,” “strategy,” and similar expressions or future or conditional verbs such as “may,” “will,” “should,” “would,” and “could.” Forward-looking statements include statements, other than those related to historical facts, that relate to Northern Trust’s financial results and outlook, capital adequacy, dividend policy and share repurchase program, accounting estimates and assumptions, credit quality including allowance levels, future pension plan contributions, effective tax rate, anticipated expense levels, contingent liabilities, acquisitions, strategies, market and industry trends, and expectations regarding the impact of accounting pronouncements and legislation. These statements are based on Northern Trust’s current beliefs and expectations of future events or future results, and involve risks and uncertainties that are difficult to predict and subject to change. These statements are also based on assumptions about many important factors, including the factors discussed in Northern Trust’s most recent annual report on Form 10-K and other filings with the U.S. Securities and Exchange Commission, all of which are available on Northern Trust’s website. We caution you not to place undue reliance on any forward-looking statement as actual results may differ materially from those expressed or implied by forward-looking statements. Northern Trust assumes no obligation to update its forward-looking statements. This presentation should be reviewed together with Northern Trust Corporation’s Fourth Quarter 2022 earnings press release, which is available at: www.northerntrust.com/about-us/investor-relations

 
Exhibit 99.3
reportsa29.jpg



Financial Trends
Fourth Quarter 2022
January 19, 2023



Please direct inquiries to:
Jennifer Childe
Senior Vice President, Director of Investor Relations
(312) 444-3290 or [email protected]
Briar Rose
Vice President, Investor Relations
(312) 557-5297 or [email protected]



The historical financial results and trends reflected in this report are not indicative of future financial results and trends for Northern Trust Corporation. This report should be read in conjunction with the Corporation's Fourth Quarter 2022 earnings press release and periodic reports to the Securities and Exchange Commission, all of which contain additional information about factors that could affect the Corporation's future financial results and trends. The Corporation assumes no obligation to update this report.



TABLE OF CONTENTS
17
Financial SummaryBalance Sheet Mix Trends
28
Income StatementInterest Rate Trends
39
Net Income TrendsAsset Quality
410
Fee DetailTrust Assets
511
Balance Sheet (EOP)Reconciliation to FTE
612
Balance Sheet TrendsReconciliation to FTE (Ratios)


Northern Trust Corporation
FINANCIAL SUMMARY
($ in Millions except per share information)
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
Profitability:
$1,556.4 $1,492.2 $1,209.3 $1,545.3 $1,336.0 Net Income$375.1 $368.1 $395.7 $406.4 $389.3 $396.2 $394.8 $155.7 
1,489.9 1,428.9 1,141.0 1,490.6 1,282.4 Earnings Allocated to Common and Potential355.2 360.2 376.5 398.7 370.0 388.3 375.4 148.7 
  Common Shares
$6.68 $6.66 $5.48 $7.16 $6.16 Basic Earnings Per Share$1.71 $1.73 $1.81 $1.92 $1.78 $1.86 $1.80 $0.71 
6.64 6.63 5.46 7.14 6.14 Diluted Earnings Per Share1.70 1.72 1.80 1.91 1.77 1.86 1.80 0.71 
35 %— %(18 %)31 %(14 %)Diluted EPS Growth over Previous Year10 %18 %36 %70 %4 %8 %— %(63 %)
16.2 %14.9 %11.2 %13.9 %12.7 %Return on Average Common Equity13.7 %13.7 %13.7 %14.5 %14.2 %15.7 %14.9 %5.9 %
1.27 %1.27 %0.88 %0.99 %0.88 %Return on Average Assets0.99 %0.96 %1.00 %1.00 %0.97 %1.03 %1.07 %0.42 %
33.3 %32.4 %27.1 %31.5 %26.6 %
Profit Margin (pre-tax) (FTE)(1)
31.6 %31.1 %32.2 %31.0 %30.0 %31.0 %30.4 %13.4 %
25.9 %24.4 %19.7 %23.8 %19.6 %
Profit Margin (after-tax) (FTE)(1)
23.6 %23.2 %24.1 %24.2 %22.6 %22.3 %22.3 %10.1 %
72.3 %72.0 %75.9 %78.2 %71.6 %
Noninterest Income to Total Revenue (FTE)(1)
78.2 %78.4 %78.3 %77.9 %77.5 %73.6 %70.3 %64.2 %
62.5 %63.1 %65.1 %67.1 %65.1 %
Trust Fees to Total Revenue (FTE)(1)
66.9 %67.7 %67.6 %66.2 %67.7 %64.2 %61.0 %67.9 %
20.5 %23.2 %25.7 %23.1 %24.4 %Effective Tax Rate (US GAAP)24.4 %24.3 %23.6 %20.2 %23.8 %26.7 %24.7 %18.2 %
22.1 %24.5 %27.2 %24.5 %26.3 %
Effective Tax Rate (FTE)(1)
25.4 %25.6 %25.2 %21.8 %24.8 %28.2 %26.4 %24.4 %
Capital Ratios:(2)
Standardized Approach
12.9 %12.7 %12.8 %11.9 %10.8 %Common Equity Tier 1 Capital12.0 %12.0 %11.9 %11.9 %11.4 %10.5 %10.1 %10.8 %
14.1 %14.5 %13.9 %12.9 %11.8 %Tier 1 Capital13.0 %13.1 %12.9 %12.9 %12.4 %11.5 %11.1 %11.8 %
16.1 %16.3 %15.6 %14.1 %13.9 %Total Capital14.5 %14.5 %14.3 %14.1 %13.6 %12.6 %12.2 %13.9 %
8.0 %8.7 %7.6 %6.9 %7.1 %Tier 1 Leverage6.9 %7.1 %7.1 %6.9 %6.5 %6.7 %7.0 %7.1 %
Advanced Approach
13.7 %13.2 %13.4 %13.2 %11.5 %Common Equity Tier 1 Capital12.8 %13.1 %13.0 %13.2 %12.1 %11.6 %11.4 %11.5 %
15.0 %15.0 %14.5 %14.3 %12.5 %Tier 1 Capital14.0 %14.2 %14.1 %14.3 %13.2 %12.7 %12.5 %12.5 %
16.9 %16.8 %15.9 %15.3 %14.5 %Total Capital15.2 %15.5 %15.4 %15.3 %14.2 %13.7 %13.5 %14.5 %
8.0 %8.7 %7.6 %6.9 %7.1 %Tier 1 Leverage6.9 %7.1 %7.1 %6.9 %6.5 %6.7 %7.0 %7.1 %
7.0 %7.6 %8.6 %8.2 %7.9 %
Supplementary Leverage (3) (4)
8.1 %8.2 %8.4 %8.2 %7.9 %7.6 %7.7 %7.9 %
Per Share Information / Ratios:
$1.94 $2.60 $2.80 $2.80 $2.90 Cash Dividends Declared Per Common Share$0.70 $0.70 $0.70 $0.70 $0.70 $0.70 $0.75 $0.75 
29 %39 %51 %39 %47 %Dividend Payout Ratio41 %41 %39 %37 %40 %38 %42 %106 %
$83.59 $106.24 $93.14 $119.61 $88.49 Market Value Per Share (End of Period)$105.11 $115.62 $107.81 $119.61 $116.45 $96.48 $85.56 $88.49 
12.6 16.0 17.1 16.8 14.4 Stock Price Multiple of Earnings18.8 19.7 17.0 16.8 16.2 13.1 11.7 14.4 
(based on trailing 4 quarters of diluted EPS)
$43.95 $46.82 $51.87 $53.58 $49.78 Book Value Per Common Share (End of Period)$50.80 $52.49 $53.04 $53.58 $50.51 $48.87 $48.68 $49.78 
(1)
Fully taxable equivalent (FTE). Presentation on an FTE basis is a non-generally accepted accounting principle financial measure. Please refer to the Reconciliation to Fully Taxable Equivalent - Ratios on page 12 for further detail.
(2)
Capital ratios for the current quarter are considered preliminary until the Form 10-K is filed with the Securities and Exchange Commission.
(3)
Effective January 1, 2018, the Corporation and Bank are subject to a minimum supplementary leverage ratio of 3 percent.
(4)
From April 1, 2020, through April 1, 2021, the Federal Reserve issued temporary Supplementary Leverage Ratio (SLR) relief that required Northern Trust to exclude U.S. Treasury balances from the SLR. Please see the Northern Trust Corporation Pillar 3 disclosures for further SLR discussion.
1

Northern Trust Corporation
INCOME STATEMENT
($ in Millions except per share information)
TWELVE MONTHSCHANGEFOURTH QUARTERCHANGE
20222021$%20222021$%
$2,496.3 $2,487.3 $9.0 — %Asset Servicing Trust, Investment and Other Servicing Fees$588.0 $625.1 $(37.1)(6)%
1,936.3 1,873.8 62.5 3 %WM Trust, Investment and Other Servicing Fees 454.1 485.9 (31.8)(7)%
4,432.6 4,361.1 71.5 2 %     Total Fees1,042.1 1,111.0 (68.9)(6)%
288.6 292.6 (4.0)(1)%Foreign Exchange Trading Income65.4 76.9 (11.5)(15)%
39.3 44.3 (5.0)(11)%Treasury Management Fees8.3 10.6 (2.3)(21)%
136.2 140.2 (4.0)(3)%Security Commissions and Trading Income35.1 35.9 (0.8)(2)%
191.3 243.9 (52.6)(22)%Other Operating Income47.3 72.3 (25.0)(35)%
(214.0)(0.3)(213.7)N/MInvestment Security Gains (Losses), net(213.7)(0.3)(213.4)N/M
4,874.0 5,081.8 (207.8)(4)%     Total Noninterest Income984.5 1,306.4 (321.9)(25)%
2,923.3 1,442.1 1,481.2 103 %Interest Income (FTE*)1,185.6 372.2 813.4 N/M
990.5 23.8 966.7 N/MInterest Expense635.6 1.6 634.0 N/M
1,932.8 1,418.3 514.5 36 %Net Interest Income (FTE*)550.0 370.6 179.4 48 %
6,806.8 6,500.1 306.7 5 %     Total Revenue (FTE*)1,534.5 1,677.0 (142.5)(8)%
12.0 (81.5)93.5 N/MProvision for Credit Losses5.0 (11.5)16.5 N/M
2,248.0 2,011.0 237.0 12 %Compensation584.3 510.2 74.1 15 %
437.4 431.4 6.0 1 %Employee Benefits103.6 107.9 (4.3)(4)%
880.3 849.4 30.9 4 %Outside Services 232.9 224.2 8.7 4 %
838.8 736.3 102.5 14 %Equipment and Software229.4 196.1 33.3 17 %
219.1 208.7 10.4 5 %Occupancy65.7 51.8 13.9 27 %
359.3 299.1 60.2 20 %Other Operating Expense107.7 78.7 29.0 37 %
4,982.9 4,535.9 447.0 10 %     Total Noninterest Expense1,323.6 1,168.9 154.7 13 %
1,811.9 2,045.7 (233.8)(11)%     Income before Income Taxes (FTE*)205.9 519.6 (313.7)(60)%
430.3 464.8 (34.5)(7)%Provision for Income Taxes34.7 103.2 (68.5)(66)%
45.6 35.6 10.0 28 %Taxable Equivalent Adjustment15.5 10.0 5.5 55 %
475.9 500.4 (24.5)(5)%     Total Taxes (FTE*)50.2 113.2 (63.0)(56)%
$1,336.0 $1,545.3 $(209.3)(14)%     Net Income$155.7 $406.4 $(250.7)(62)%
$41.8 $41.8 $— — %Dividends on Preferred Stock$4.7 $4.7 $— — %
11.8 12.9 (1.1)(9)%Earnings Allocated to Participating Securities2.3 3.0 (0.7)(26)%
1,282.4 1,490.6 (208.2)(14)%Earnings Allocated to Common and Potential Common Shares148.7 398.7 (250.0)(63)%
$6.16 $7.16 $(1.00)(14)%Earnings Per Share - Basic$0.71 $1.92 $(1.21)(63)%
$6.14 $7.14 $(1.00)(14)%Earnings Per Share - Diluted$0.71 $1.91 $(1.20)(63)%
208,309 208,076 Average Basic Shares (000s)208,423 207,708 
208,867 208,899 Average Diluted Shares (000s)208,894 208,593 
208,428 207,762 End of Period Shares Outstanding (000s)208,428 207,762 
N/M - Not meaningful
* Fully taxable equivalent (FTE). Presentation on an FTE basis is a non-generally accepted accounting principle financial measure. Please refer to the Reconciliation to Fully Taxable Equivalent on page 11 for further detail.
2

Northern Trust Corporation
NET INCOME TRENDS
($ in Millions except per share information)
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
2,173.1 2,211.5 2,321.6 2,487.3 2,496.3 Asset Servicing Trust, Investment and Other Servicing Fees620.5 611.5 630.2 625.1 662.4 642.7 603.2 588.0 
1,580.6 1,640.6 1,673.4 1,873.8 1,936.3 WM Trust, Investment and Other Servicing Fees443.2 463.9 480.8 485.9 506.0 500.7 475.5 454.1 
3,753.7 3,852.1 3,995.0 4,361.1 4,432.6      Total Fees1,063.7 1,075.4 1,111.0 1,111.0 1,168.4 1,143.4 1,078.7 1,042.1 
307.2 250.9 290.4 292.6 288.6 Foreign Exchange Trading Income78.7 70.6 66.4 76.9 80.9 77.6 64.7 65.4 
51.8 44.5 45.4 44.3 39.3 Treasury Management Fees11.2 11.3 11.2 10.6 11.1 10.6 9.3 8.3 
98.3 103.6 133.2 140.2 136.2 Security Commissions and Trading Income34.8 33.0 36.5 35.9 36.2 32.8 32.1 35.1 
127.5 145.5 194.0 243.9 191.3 Other Operating Income54.9 54.4 62.3 72.3 41.1 45.6 57.3 47.3 
(1.0)(1.4)(0.4)(0.3)(214.0)Investment Security Gains (Losses), net— — — (0.3)— — (0.3)(213.7)
4,337.5 4,395.2 4,657.6 5,081.8 4,874.0      Total Noninterest Income1,243.3 1,244.7 1,287.4 1,306.4 1,337.7 1,310.0 1,241.8 984.5 
1,663.9 1,710.7 1,477.6 1,418.3 1,932.8 Net Interest Income (FTE*)346.7 343.9 357.1 370.6 387.7 469.8 525.3 550.0 
6,001.4 6,105.9 6,135.2 6,500.1 6,806.8      Total Revenue (FTE*)1,590.0 1,588.6 1,644.5 1,677.0 1,725.4 1,779.8 1,767.1 1,534.5 
(14.5)(14.5)125.0 (81.5)12.0 Provision for Credit Losses(30.0)(27.0)(13.0)(11.5)2.0 4.5 0.5 5.0 
1,806.9 1,859.0 1,947.1 2,011.0 2,248.0 Compensation518.5 486.3 496.0 510.2 563.9 546.5 553.3 584.3 
356.7 355.2 387.7 431.4 437.4 Employee Benefits103.4 118.4 101.7 107.9 104.3 119.6 109.9 103.6 
739.4 774.5 763.1 849.4 880.3 Outside Services196.4 218.1 210.7 224.2 213.4 213.1 220.9 232.9 
582.2 612.1 673.5 736.3 838.8 Equipment and Software176.7 178.3 185.2 196.1 193.5 203.5 212.4 229.4 
201.1 212.9 230.1 208.7 219.1 Occupancy50.8 52.2 53.9 51.8 51.1 51.0 51.3 65.7 
330.6 329.8 346.7 299.1 359.3 Other Operating Expense71.7 67.5 81.2 78.7 79.7 89.9 82.0 107.7 
4,016.9 4,143.5 4,348.2 4,535.9 4,982.9      Total Noninterest Expense1,117.5 1,120.8 1,128.7 1,168.9 1,205.9 1,223.6 1,229.8 1,323.6 
1,999.0 1,976.9 1,662.0 2,045.7 1,811.9      Income before Income Taxes (FTE*)502.5 494.8 528.8 519.6 517.5 551.7 536.8 205.9 
401.4 451.9 418.3 464.8 430.3 Provision for Income Taxes120.8 118.4 122.4 103.2 121.5 144.4 129.7 34.7 
41.2 32.8 34.4 35.6 45.6 Taxable Equivalent Adjustment6.6 8.3 10.7 10.0 6.7 11.1 12.3 15.5 
442.6 484.7 452.7 500.4 475.9      Total Taxes (FTE*)127.4 126.7 133.1 113.2 128.2 155.5 142.0 50.2 
$1,556.4 $1,492.2 $1,209.3 $1,545.3 $1,336.0      Net Income$375.1 $368.1 $395.7 $406.4 $389.3 $396.2 394.8 $155.7 
$6.68 $6.66 $5.48 $7.16 $6.16 Earnings Per Share - Basic$1.71 $1.73 $1.81 $1.92 $1.78 $1.86 $1.80 $0.71 
6.64 6.63 5.46 7.14 6.14 Earnings Per Share - Diluted1.70 1.72 1.80 1.91 1.77 1.86 1.80 0.71 
224,488 215,601 209,008 208,899 208,867 Average Diluted Shares (000s)208,946 209,138 208,923 208,593 208,809 208,878 208,889 208,894 
$46.4 $46.4 $56.2 $41.8 $41.8 Preferred Dividends**$16.2 $4.7 $16.2 $4.7 $16.2 $4.7 $16.2 $4.7 
* Fully taxable equivalent (FTE). Presentation on an FTE basis is a non-generally accepted accounting principle financial measure. Please refer to the Reconciliation to Fully Taxable Equivalent on page 11 for further detail.
** Dividends on Preferred Stock in 2020 includes $11.5 million related to the difference between the redemption amount of the Corporation's Series C Non-Cumulative Perpetual Preferred Stock, which was redeemed in the first quarter of 2020, and its carrying value.
3

Northern Trust Corporation
TRUST, INVESTMENT AND OTHER SERVICING FEES DETAIL
($ in Millions)
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
Asset Servicing
$1,501.1 $1,549.3 $1,586.1 $1,818.8 $1,700.1 Custody & Fund Administration$446.0 $454.9 $460.2 $457.7 $452.7 $433.8 $407.3 $406.3 
436.8 445.7 511.1 443.5 555.1 Investment Management115.9 100.7 113.6 113.3 146.9 148.4 136.0 123.8 
102.0 87.2 88.0 76.7 81.4 Securities Lending18.2 19.5 20.2 18.8 18.8 21.6 21.7 19.3 
133.2 129.3 136.4 148.3 159.7 Other40.4 36.4 36.2 35.3 44.0 38.9 38.2 38.6 
$2,173.1 $2,211.5 $2,321.6 $2,487.3 $2,496.3 Total Asset Servicing Trust, Investment and Other Servicing Fees$620.5 $611.5 $630.2 $625.1 $662.4 $642.7 $603.2 $588.0 
Wealth Management
$607.8 $619.3 $607.3 $698.7 $692.6 Central$164.2 $174.3 $178.8 $181.4 $181.7 $177.4 $171.3 $162.2 
401.7 422.2 442.1 509.3 504.0 East119.0 127.2 130.2 132.9 134.0 128.1 124.1 117.8 
320.0 330.9 337.7 380.2 382.1 West90.8 93.8 97.0 98.6 101.4 98.7 92.5 89.5 
251.1 268.2 286.3 285.6 357.6 Global Family Office69.2 68.6 74.8 73.0 88.9 96.5 87.6 84.6 
$1,580.6 $1,640.6 $1,673.4 $1,873.8 $1,936.3 Total WM Trust, Investment and Other Servicing Fees$443.2 $463.9 $480.8 $485.9 $506.0 $500.7 $475.5 $454.1 

4

Northern Trust Corporation
BALANCE SHEET
END OF PERIOD
($ in Millions)
CHANGE
Assets12/31/202212/31/2021$%
Federal Reserve and Other Central Bank Deposits$39,961.9 $64,495.1 $(24,533.2)(38)%
Interest-Bearing Due from and Deposits with Banks(1)
4,926.6 3,849.2 1,077.4 28 %
Federal Funds Sold32.0 — 32.0 N/M
Securities Purchased under Agreements to Resell1,070.3 686.4 383.9 56 %
Debt Securities:
Available For Sale26,699.9 38,010.5 (11,310.6)(30)%
Held To Maturity25,036.1 23,564.5 1,471.6 6 %
Trading Account95.2 0.3 94.9 N/M
   Total Debt Securities51,831.2 61,575.3 (9,744.1)(16)%
Loans and Leases42,893.3 40,480.6 2,412.7 6 %
Other Interest-Earning Assets(2)
1,769.4 1,189.4 580.0 49 %
Total Earning Assets142,484.7 172,276.0 (29,791.3)(17)%
Allowance for Credit Losses(161.1)(150.6)(10.5)7 %
Cash and Due From Banks and Other Central Bank Deposits(3)
1,737.2 1,244.1 493.1 40 %
Buildings and Equipment500.5 488.7 11.8 2 %
Client Security Settlement Receivables1,698.3 1,941.2 (242.9)(13)%
Goodwill691.3 706.2 (14.9)(2)%
Other Assets8,085.8 7,384.2 701.6 10 %
Total Assets$155,036.7 $183,889.8 $(28,853.1)(16)%
Liabilities and Stockholders' Equity
Savings, Money Market and Other$31,128.6 $35,003.1 $(3,874.5)(11)%
Savings Certificates and Other Time1,981.3 842.7 1,138.6 135 %
Non- U.S. Offices - Interest-Bearing65,481.9 75,767.1 (10,285.2)(14)%
Total Interest-Bearing Deposits98,591.8 111,612.9 (13,021.1)(12)%
Federal Funds Purchased1,896.9 0.2 1,896.7 N/M
Securities Sold under Agreements to Repurchase567.2 531.9 35.3 7 %
Other Borrowings7,592.3 3,583.8 4,008.5 112 %
Senior Notes2,724.2 2,505.5 218.7 9 %
Long-Term Debt2,066.2 1,145.7 920.5 80 %
Total Interest-Related Funds113,438.6 119,380.0 (5,941.4)(5)%
Demand and Other Noninterest-Bearing Deposits25,340.3 48,315.5 (22,975.2)(48)%
Other Liabilities4,998.3 4,177.5 820.8 20 %
Total Liabilities143,777.2 171,873.0 (28,095.8)(16)%
Common Equity10,374.6 11,131.9 (757.3)(7)%
Preferred Equity884.9 884.9 — — %
Total Stockholders' Equity11,259.5 12,016.8 (757.3)(6)%
Total Liabilities and Stockholders' Equity$155,036.7 $183,889.8 $(28,853.1)(16)%
(1)
Interest-Bearing Due from and Deposits with Banks includes the interest-bearing component of Cash and Due from Banks and Interest-Bearing Deposits with Banks as presented on the consolidated balance sheets in our periodic filings with the SEC.
(2)
Other Interest-Earning Assets include certain community development investments, collateral deposits with certain securities depositories and clearing houses, and Federal Home Loan Bank and Federal Reserve stock, which are classified in Other Assets on the consolidated balance sheets in our periodic filings with the SEC.
(3)
Cash and Due from Banks and Other Central Bank Deposits includes the noninterest-bearing component of Federal Reserve and Other Central Bank Deposits as presented on the consolidated balance sheets in our periodic filings with the SEC.
5

Northern Trust Corporation
BALANCE SHEET TRENDS
  PERIOD AVERAGES(1)
($ in Millions)
20212022
20182019202020212022Assets1st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
$23,899 $18,511 $27,904 $39,028 $36,249 Federal Reserve and Other Central Bank Deposits$37,130 $37,415 $40,523 $40,986 $45,200 $36,691 $30,549 $32,755 
6,023 5,997 5,401 5,780 4,193 
Interest-Bearing Due from and Deposits with Banks(2)
6,464 6,737 5,165 4,778 4,384 4,228 3,977 4,186 
21 13 2 — 6 Federal Funds Sold— — — — 1 2 5 14 
1,478 835 1,253 1,067 1,071 Securities Purchased under Agreements to Resell1,551 1,012 841 876 692 1,149 1,271 1,166 
Debt Securities:
35,240 38,016 40,643 38,987 32,060 Available For Sale42,664 37,618 37,515 38,216 37,496 35,677 28,483 26,742 
14,258 11,650 14,353 20,617 22,970 Held To Maturity17,352 21,798 20,300 22,960 21,308 20,244 25,127 25,135 
1 1 1 1 12 Trading Account— 1 1 1 1 — — 46 
49,499 49,667 54,997 59,605 55,042    Total Debt Securities60,017 59,416 57,816 61,177 58,805 55,921 53,610 51,924 
32,029 31,053 33,499 37,208 41,031 Loans and Leases34,201 36,282 38,411 39,860 39,544 40,747 41,466 42,329 
783 1,034 1,077 1,186 1,248 
Other Interest-Earning Assets(3)
1,225 1,163 1,198 1,157 1,143 1,163 1,269 1,414 
113,731 107,109 124,133 143,873 138,839 Total Earning Assets140,589 142,024 143,953 148,834 149,768 139,902 132,147 133,789 
(126)(111)(178)(173)(154)Allowance for Credit Losses(199)(177)(161)(156)(152)(156)(154)(155)
2,534 2,394 2,603 2,286 2,070 
Cash and Due From Banks and Other Central Bank Deposits(4)
2,615 2,403 2,012 2,124 2,047 2,559 1,903 1,774 
439 426 509 503 489 Buildings and Equipment509 505 500 497 495 488 481 491 
1,002 1,070 1,358 1,530 1,722 Client Security Settlement Receivables1,669 1,533 1,284 1,639 1,826 1,588 1,667 1,810 
643 683 695 707 692 Goodwill707 708 709 705 704 694 686 686 
4,725 5,981 7,691 7,637 8,894 Other Assets7,367 7,305 8,156 7,711 7,455 9,010 9,673 9,409 
$122,947 $117,551 $136,811 $156,363 $152,552 Total Assets$153,256 $154,300 $156,453 $161,354 $162,143 $154,084 $146,402 $147,804 
Liabilities and Stockholders' Equity
$15,149 $16,578 $23,396 $28,339 $30,205 Savings, Money Market and Other$26,736 $27,427 $28,472 $30,676 $32,329 $30,968 $29,089 $28,489 
871 868 1,266 887 1,060 Savings Certificates and Other Time924 899 871 857 842 792 986 1,611 
58,557 54,885 60,486 69,713 65,031 Non- U.S. Offices - Interest-Bearing68,306 69,202 70,211 71,099 68,200 63,901 64,057 64,024 
74,577 72,331 85,149 98,940 96,296 Total Interest-Bearing Deposits95,965 97,528 99,554 102,631 101,371 95,661 94,133 94,123 
2,763 1,267 981 191 1,408 Federal Funds Purchased406 195 166 — — 923 1,968 2,705 
525 339 218 232 434 Securities Sold under Agreements to Repurchase90 229 293 314 254 597 490 392 
7,496 7,753 6,401 5,050 5,464 Other Borrowings4,681 5,196 5,527 4,789 3,691 4,187 5,991 7,933 
1,704 2,389 3,234 2,856 2,756 Senior Notes3,058 3,023 2,841 2,510 2,442 2,885 2,970 2,722 
1,297 1,139 1,189 1,166 1,259 Long-Term Debt1,179 1,169 1,166 1,151 1,128 1,096 1,088 1,719 
278 278 278 218 — Floating Rate Capital Debt278 278 278 42 — — — — 
88,638 85,495 97,450 108,653 107,616 Total Interest-Related Funds105,656 107,617 109,824 111,437 108,886 105,348 106,638 109,594 
20,527 17,456 23,362 31,144 29,296 Demand and Other Noninterest-Bearing Deposits30,451 30,469 30,241 33,390 37,129 33,733 24,356 22,186 
3,553 3,952 4,806 4,870 4,558 Other Liabilities5,611 4,663 4,534 4,685 4,616 4,096 4,473 5,044 
112,718 106,903 125,618 144,666 141,471 Total Liabilities141,718 142,749 144,600 149,512 150,632 143,177 135,467 136,824 
9,347 9,705 10,307 10,812 10,197 Common Equity10,653 10,666 10,968 10,957 10,626 10,022 10,051 10,095 
882 943 886 885 885 Preferred Equity885 885 885 885 885 885 885 885 
10,229 10,648 11,193 11,697 11,081 Total Stockholders' Equity11,537 11,551 11,853 11,842 11,511 10,907 10,936 10,979 
$122,947 $117,551 $136,811 $156,363 $152,552 Total Liabilities and Stockholders' Equity$153,256 $154,300 $156,453 $161,354 $162,143 $154,084 $146,402 $147,804 
(1)
Summations may not equal due to rounding
(2)
Interest-Bearing Due from and Deposits with Banks includes the interest-bearing component of Cash and Due from Banks and Interest-Bearing Deposits with Banks as presented on the consolidated balance sheets in our periodic filings with the SEC.
(3)
Other Interest-Earning Assets include certain community development investments, collateral deposits with certain securities depositories and clearing houses, and Federal Home Loan Bank and Federal Reserve stock, which are classified in Other Assets on the consolidated balance sheets in our periodic filings with the SEC.
(4)
Cash and Due from Banks and Other Central Bank Deposits includes the noninterest-bearing component of Federal Reserve and Other Central Bank Deposits as presented on the consolidated balance sheets in our periodic filings with the SEC.
6

Northern Trust Corporation
BALANCE SHEET MIX TRENDS
PERIOD AVERAGES(1)
20212022
20182019202020212022Assets1st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
19.4 %15.7 %20.4 %25.0 %23.8 %Federal Reserve and Other Central Bank Deposits24.2 %24.2 %25.9 %25.4 %27.9 %23.8 %20.9 %22.2 %
4.9 5.1 3.9 3.7 2.7 
Interest-Bearing Due from and Deposits with Banks(2)
4.2 4.4 3.3 3.0 2.7 2.7 2.7 2.8 
— — — — — Federal Funds Sold— — — — — — — — 
1.2 0.7 0.9 0.7 0.7 Securities Purchased under Agreements to Resell1.0 0.7 0.5 0.5 0.4 0.7 0.9 0.8 
Debt Securities:
28.7 32.3 29.7 24.9 21.0 Available For Sale27.8 24.4 37.0 23.7 23.1 23.2 19.5 18.1 
11.6 9.9 10.5 13.2 15.1 Held To Maturity11.3 14.1 13.0 14.2 13.1 13.1 17.2 17.0 
— — — — — Trading Account— — — — — — — — 
40.3 42.3 40.2 38.1 36.1    Total Debt Securities39.2 38.5 37.0 37.9 36.3 36.3 36.6 35.1 
26.1 26.4 24.5 23.8 26.9 Loans and Leases22.3 23.5 24.6 24.7 24.4 26.4 28.3 28.6 
0.6 0.9 0.8 0.8 0.8 
Other Interest-Earning Assets(3)
0.8 0.8 0.8 0.7 0.7 0.8 0.9 1.0 
92.5 91.1 90.7 92.0 91.0 Total Earning Assets91.7 92.0 92.0 92.2 92.4 90.8 90.3 90.5 
(0.1)(0.1)(0.1)(0.1)(0.1)Allowance for Credit Losses(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)
2.1 2.0 1.9 1.5 1.4 
Cash and Due From Banks and Other Central Bank Deposits(4)
1.7 1.6 1.3 1.3 1.3 1.7 1.3 1.2 
0.4 0.4 0.4 0.3 0.3 Buildings and Equipment0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 
0.8 0.9 1.0 1.0 1.1 Client Security Settlement Receivables1.1 1.0 0.8 1.0 1.1 1.0 1.1 1.2 
0.5 0.6 0.5 0.5 0.5 Goodwill0.5 0.5 0.5 0.4 0.4 0.5 0.5 0.5 
3.8 5.1 5.6 4.9 5.8 Other Assets4.8 4.7 5.2 4.8 4.6 5.8 6.6 6.4 
100.0 %100.0 %100.0 %100.0 %100.0 %Total Assets100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %
Liabilities and Stockholders' Equity
12.3 %14.1 %17.1 %18.1 %19.8 %Savings, Money Market and Other17.4 %17.8 %18.2 %19.0 %19.9 %20.1 %19.9 %19.3 %
0.7 0.7 0.9 0.6 0.7 Savings Certificates and Other Time0.6 0.6 0.6 0.5 0.5 0.5 0.7 1.1 
47.6 46.7 44.2 44.6 42.6 Non- U.S. Offices - Interest-Bearing44.6 44.8 44.9 44.1 42.1 41.5 43.8 43.3 
60.7 61.5 62.2 63.3 63.1 Total Interest-Bearing Deposits62.6 63.2 63.6 63.6 62.5 62.1 64.3 63.7 
2.2 1.1 0.7 0.1 0.9 Federal Funds Purchased0.3 0.1 0.1 — — 0.6 1.3 1.8 
0.4 0.3 0.2 0.1 0.3 Securities Sold under Agreements to Repurchase0.1 0.1 0.2 0.2 0.2 0.4 0.3 0.3 
6.1 6.6 4.7 3.2 3.6 Other Borrowings3.1 3.4 3.5 3.0 2.3 2.7 4.1 5.4 
1.4 2.0 2.4 1.8 1.8 Senior Notes2.0 2.0 1.8 1.6 1.5 1.9 2.0 1.8 
1.1 1.0 0.9 0.7 0.8 Long-Term Debt0.8 0.8 0.7 0.7 0.7 0.7 0.7 1.2 
0.2 0.2 0.2 0.1 — Floating Rate Capital Debt0.2 0.2 0.2 — — — — — 
72.1 72.7 71.2 69.5 70.5 Total Interest-Related Funds68.9 69.7 70.2 69.1 67.2 68.4 72.8 74.1 
16.7 14.8 17.1 19.9 19.2 Demand and Other Noninterest-Bearing Deposits19.9 19.7 19.3 20.7 22.9 21.9 16.6 15.0 
2.9 3.4 3.5 3.1 3.0 Other Liabilities3.7 3.0 2.9 2.9 2.8 2.7 3.1 3.4 
91.7 90.9 91.8 92.5 92.7 Total Liabilities92.5 92.5 92.4 92.7 92.9 92.9 92.5 92.6 
7.6 8.3 7.5 6.9 6.7 Common Equity7.0 6.9 7.0 6.8 6.6 6.5 6.9 6.8 
0.7 0.8 0.6 0.6 0.6 Preferred Equity0.6 0.6 0.6 0.5 0.5 0.6 0.6 0.6 
8.3 9.1 8.2 7.5 7.3 Total Stockholders' Equity7.5 7.5 7.6 7.3 7.1 7.1 7.5 7.4 
100.0 %100.0 %100.0 %100.0 %100.0 %Total Liabilities and Stockholders' Equity100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %
(1)
Summations may not equal due to rounding
(2)
Interest-Bearing Due from and Deposits with Banks includes the interest-bearing component of Cash and Due from Banks and Interest-Bearing Deposits with Banks as presented on the consolidated balance sheets in our periodic filings with the SEC.
(3)
Other Interest-Earning Assets include certain community development investments, collateral deposits with certain securities depositories and clearing houses, and Federal Home Loan Bank and Federal Reserve stock, which are classified in Other Assets on the consolidated balance sheets in our periodic filings with the SEC.
(4)
Cash and Due from Banks and Other Central Bank Deposits includes the noninterest-bearing component of Federal Reserve and Other Central Bank Deposits as presented on the consolidated balance sheets in our periodic filings with the SEC.

7

Northern Trust Corporation
INTEREST RATE TRENDS (FTE(1) Basis)
PERIOD AVERAGES
Net Interest Income (FTE Adjusted), a non-GAAP financial measure, includes adjustments to a fully taxable equivalent basis for loans and securities. A reconciliation of net interest income, net interest margin, and net interest spread on a GAAP basis to net interest income, net interest margin, and net interest spread on an FTE basis, respectively, (each of which is a non-GAAP financial measure) is provided on pages 11 and 12. Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets. Net interest spread is calculated as the difference between the interest rate earned (annualized interest income divided by average interest-earning assets) and the interest rate incurred (annualized interest expense divided by average interest-related funds).
20212022
20182019202020212022Earnings Assets1st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
0.87 %0.98 %0.10 %0.03 %1.30 %Federal Reserve and Other Central Bank Deposits— %0.01 %0.04 %0.06 %0.16 %0.65 %1.76 %3.15 %
1.16 %1.21 %0.41 %0.16 %1.11 %
Interest-Bearing Due from and Deposits with Banks(2)
0.15 %0.16 %0.15 %0.18 %0.24 %0.62 %1.45 %2.18 %
2.18 %2.73 %1.37 %0.41 %3.22 %Federal Funds Sold0.41 %0.41 %0.41 %0.41 %0.45 %0.75 %2.79 %3.91 %
2.22 %2.10 %0.31 %0.33 %9.68 %
Securities Purchased under Agreements to Resell(4)
0.27 %0.34 %0.38 %0.38 %0.50 %2.47 %9.51 %22.24 %
Debt Securities:
2.13 %2.51 %1.77 %1.28 %1.91 %Available for Sale1.45 %1.25 %1.18 %1.20 %1.30 %1.55 %2.10 %3.02 %
1.08 %0.94 %0.59 %0.80 %1.26 %Held to Maturity0.59 %0.86 %0.97 %0.84 %0.94 %1.11 %1.38 %1.54 %
6.19 %3.29 %3.27 %1.59 %3.84 %Trading Account6.55 %0.87 %0.32 %0.12 %10.09 %5.40 %23.60 %3.54 %
1.83 %2.14 %1.46 %1.11 %1.64 %   Total Debt Securities1.16 %1.11 %1.11 %1.06 %1.17 %1.39 %1.76 %2.30 %
3.45 %3.74 %2.32 %1.92 %3.28 %Loans and Leases2.05 %1.91 %1.87 %1.88 %1.97 %2.53 %3.64 %4.86 %
5.01 %3.56 %3.63 %3.43 %4.03 %
Other Interest-Earning Assets(3)
2.65 %3.27 %3.92 %3.88 %2.69 %4.07 %3.92 %5.14 %
2.08 %2.36 %1.35 %1.00 %2.11 %Total Earning Assets1.03 %0.99 %1.00 %0.99 %1.06 %1.54 %2.44 %3.52 %
Interest-Bearing Funds
0.54 %0.97 %0.20 %0.05 %0.74 %Savings, Money Market and Other0.06 %0.04 %0.04 %0.04 %0.04 %0.24 %0.94 %1.83 %
0.90 %1.86 %1.30 %0.55 %1.68 %Savings Certificates and Other Time0.67 %0.49 %0.53 %0.49 %0.51 %0.58 %1.61 %2.86 %
0.50 %0.57 %(0.03)%(0.11)%0.56 %Non- U.S. Offices - Interest-Bearing(0.11)%(0.11)%(0.12)%(0.12)%(0.12)%0.02 %0.65 %1.70 %
0.52 %0.68 %0.06 %(0.06)%0.63 %Total Interest-Bearing Deposits(0.06)%(0.06)%(0.07)%(0.06)%(0.06)%0.10 %0.75 %1.76 %
1.82 %2.05 %0.22 %(0.19)%2.43 %Federal Funds Purchased0.06 %(0.95)%0.09 %— %0.05 %1.22 %2.00 %3.14 %
1.48 %1.89 %0.47 %0.07 %20.94 %
Securities Sold under Agreements to Repurchase(4)
0.07 %0.03 %0.06 %0.11 %0.49 %4.01 %20.72 %59.59 %
2.00 %2.34 %0.71 %0.28 %2.31 %Other Borrowings0.30 %0.25 %0.26 %0.32 %0.35 %0.80 %2.36 %3.95 %
3.13 %3.04 %2.24 %1.69 %3.36 %Senior Notes1.82 %1.82 %1.64 %1.44 %1.59 %2.65 %3.79 %5.18 %
3.47 %3.36 %2.24 %1.81 %3.49 %Long-Term Debt1.83 %1.83 %1.79 %1.80 %1.94 %2.47 %3.41 %5.19 %
2.72 %2.98 %1.52 %0.78 %— %Floating Rate Capital Debt0.81 %0.76 %0.75 %0.86 %— %— %— %— %
0.79 %0.96 %0.21 %0.02 %0.92 %Total Interest-Related Funds0.04 %0.03 %0.02 %0.01 %0.01 %0.25 %1.07 %2.30 %
1.29 %1.40 %1.14 %0.98 %1.19 %Net Interest Spread0.99 %0.96 %0.98 %0.98 %1.05 %1.29 %1.37 %1.22 %
1.46 %1.60 %1.19 %0.99 %1.39 %Net Interest Margin1.00 %0.97 %0.98 %0.99 %1.05 %1.35 %1.58 %1.63 %
(1)
Fully taxable equivalent. FTE adjustments are based on a federal income tax rate of 21%, where the rate is adjusted for applicable state income taxes, net of related federal tax benefit.
(2)
Interest-Bearing Due from and Deposits with Banks includes the interest-bearing component of Cash and Due from Banks and Interest-Bearing Deposits with Banks as presented on the consolidated balance sheets in our periodic filings with the SEC.
(3)
Other Interest-Earning Assets include certain community development investments, collateral deposits with certain securities depositories and clearing houses, and Federal Home Loan Bank and Federal Reserve stock, which are classified in Other Assets on the consolidated balance sheets in our periodic filings with the SEC.
(4)
Includes the impact of balance sheet netting under master netting arrangements of approximately $6.0 billion for the three months ended December 31, 2022 and $3.6 for the twelve months ended December 31, 2022 . Excluding the impact of netting, the average interest rate on Securities Purchased under Agreements to Resell would be approximately 3.64% for the three months ended December 31, 2022 and 2.23% for the twelve months ended December 31, 2022. Excluding the impact of netting, the average interest rate on Securities Sold under Agreements to Repurchase would be approximately 3.68% for the three months ended December 31, 2022 and 2.27% for the twelve months ended December 31, 2022.
8

Northern Trust Corporation
ASSET QUALITY
END OF PERIOD
($ in Millions)
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
$153.8 $138.2 $124.4 $259.9 $184.7 Beginning Allowance for Credit Losses$259.9 $230.8 $207.0 $195.1 $184.7 $189.9 $199.9 $195.9 
— — 13.7 — — Cumulative Effect Adjustment*— — — — — — — — 
(14.5)(14.5)125.0 (81.5)12.0 Provision for Credit Losses(30.0)(27.0)(13.0)(11.5)2.0 4.5 0.5 5.0 
(Charge-offs) Recoveries
(10.1)(6.5)(9.7)(0.7)(6.0)Charge-offs(0.4)— — (0.3)(0.1)— (5.4)(0.5)
9.0 7.2 6.5 7.0 10.2 Recoveries1.3 3.2 1.1 1.4 3.3 5.5 0.9 0.5 
(1.1)0.7 (3.2)6.3 4.2 Net (Charge-offs) Recoveries0.9 3.2 1.1 1.1 3.2 5.5 (4.5)— 
$138.2 $124.4 $259.9 $184.7 $200.9 Ending Allowance for Credit Losses$230.8 $207.0 $195.1 $184.7 $189.9 $199.9 $195.9 $200.9 
$112.6 $104.5 $190.7 $138.4 $144.3 Allowance for Credit Losses Assigned to:$165.4 $148.8 $143.9 $138.4 $136.3 $138.2 $138.7 $144.3 
Loans and Leases
25.6 19.9 61.1 34.1 38.5 Undrawn Loan Commitments and Standby Letters of Credit55.1 46.5 39.8 34.1 37.5 43.5 40.7 38.5 
— — 8.1 12.2 18.1 Debt Securities and Other Financial Assets10.3 11.7 11.4 12.2 16.1 18.2 16.5 18.1 
$138.2 $124.4 $259.9 $184.7 $200.9 Total Allowance for Credit Losses$230.8 $207.0 $195.1 $184.7 $189.9 $199.9 $195.9 $200.9 
$32,029 $31,053 $33,499 $37,208 $41,031 Average Loans and Leases Outstanding$34,201 $36,282 $38,411 $39,860 $39,544 $40,747 $41,466 $42,329 
— %— %(0.01)%0.02 %0.01 %Annualized Loan-Related Net (Charge-offs) Recoveries to 0.01 %0.04 %0.01 %0.01 %0.03 %0.05 %(0.04)%— %
Average Loans and Leases
$32,490 $31,410 $33,760 $40,481 $42,893 End of Period Loans and Leases Outstanding$34,344 $37,407 $39,457 $40,481 $39,239 $41,208 $43,992 $42,893 
0.35 %0.33 %0.56 %0.34 %0.34 %Allowance for Credit Losses Assigned to Loans0.48 %0.40 %0.36 %0.34 %0.35 %0.34 %0.32 %0.34 %
and Leases to Total Loans and Leases
Nonaccrual Assets
$109.3 $83.6 $131.7 $122.3 $45.9 Nonaccrual Loans and Leases$123.8 $106.5 $141.0 $122.3 $100.8 $89.7 $76.4 $45.9 
8.4 3.2 0.7 3.0 — Other Real Estate Owned (OREO)1.5 0.2 0.2 3.0 0.2 0.1 — — 
$117.7 $86.8 $132.4 $125.3 $45.9 Total Nonaccrual Assets$125.3 $106.7 $141.2 $125.3 $101.0 $89.8 $76.4 $45.9 
0.36 %0.28 %0.39 %0.31 %0.11 %Nonaccrual Assets to Loans and Leases and OREO0.36 %0.29 %0.36 %0.31 %0.26 %0.22 %0.17 %0.11 %
Loans and Leases Allowance to Nonaccrual
1.0x1.3x1.4x1.1x3.1xLoans and Leases1.3x1.4x1.0x1.1x1.4x1.5x1.8x3.1x
*Upon the January 1, 2020 adoption of ASU 2016-13, Northern Trust increased the allowance for credit losses by $13.7 million, with a corresponding cumulative effect adjustment to decrease retained earnings $10.1 million, net of tax.
9

Northern Trust Corporation
ASSETS UNDER MANAGEMENT AND CUSTODY
END OF PERIOD
($ in Billions)
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
Assets Under Management
$790.8 $917.5 $1,057.5 $1,191.0 $898.1 Asset Servicing$1,093.7 $1,168.3 $1,159.5 $1,191.0 $1,091.6 $950.0 $873.7 $898.1 
Asset allocation:
403.3 483.8 551.7 626.6 485.0 Equities573.5 616.0 594.9 626.6 582.8 479.1 444.1 485.0 
105.3 114.6 120.1 132.6 107.1 Fixed Income Securities117.1 132.6 127.9 132.6 122.8 114.8 103.1 107.1 
132.4 156.1 198.8 236.2 157.7 Cash and Other Assets201.9 220.4 228.6 236.2 208.8 186.8 164.4 157.7 
149.8 163.0 186.9 195.6 148.3 Securities Lending Collateral201.2 199.3 208.1 195.6 177.2 169.3 162.1 148.3 
$278.6 $313.8 $347.8 $416.1 $351.4 Wealth Management$355.4 $371.1 $372.9 $416.1 $396.2 $352.8 $336.2 $351.4 
Asset allocation:
130.9 167.0 182.0 229.9 186.3 Equities196.1 211.8 211.5 229.9 218.1 185.0 171.0 186.3 
73.0 79.2 84.7 83.5 79.4 Fixed Income Securities81.8 82.3 82.7 83.5 81.6 80.1 79.5 79.4 
74.6 67.5 81.1 102.7 85.7 Cash and Other Assets77.5 77.0 78.7 102.7 96.5 87.7 85.7 85.7 
0.1 0.1 — — — Securities Lending Collateral— — — — — — — — 
$1,069.4 $1,231.3 $1,405.3 $1,607.1 $1,249.5 Total Assets Under Management$1,449.1 $1,539.4 $1,532.4 $1,607.1 $1,487.8 $1,302.8 $1,209.9 $1,249.5 
Asset allocation:
$534.2 $650.8 $733.7 $856.5 $671.3 Equities$769.6 $827.8 $806.4 $856.5 $800.9 $664.1 $615.1 $671.3 
178.3 193.8 204.8 216.1 186.5 Fixed Income Securities198.9 214.9 210.6 216.1 204.4 194.9 182.6 186.5 
207.0 223.6 279.9 338.9 243.4 Cash and Other Assets279.4 297.4 307.3 338.9 305.3 274.5 250.1 243.4 
149.9 163.1 186.9 195.6 148.3 Securities Lending Collateral201.2 199.3 208.1 195.6 177.2 169.3 162.1 148.3 
Assets Under Custody / Administration
$9,490.5 $11,311.6 $13,653.1 $15,183.2 $12,705.5 Asset Servicing$13,876.3 $14,754.1 $14,800.2 $15,183.2 $14,513.0 $12,812.2 $11,954.0 $12,705.5 
634.8 738.8 879.4 1,065.6 898.5 Wealth Management918.8 973.0 976.0 1,065.6 1,031.1 921.5 868.0 898.5 
$10,125.3 $12,050.4 $14,532.5 $16,248.8 $13,604.0 Total Assets Under Custody / Administration$14,795.1 $15,727.1 $15,776.2 $16,248.8 $15,544.1 $13,733.7 $12,822.0 $13,604.0 
Assets Under Custody
$6,971.0 $8,497.8 $10,387.7 $11,554.8 $9,712.3 Asset Servicing$10,618.0 $11,260.8 $11,283.6 $11,554.8 $10,987.5 $9,771.2 $9,125.5 $9,712.3 
Asset allocation:
3,043.0 3,866.6 4,751.0 5,404.3 4,312.8 Equities5,005.7 5,334.8 5,298.8 5,404.3 5,062.5 4,272.7 3,939.7 4,312.8 
2,700.2 3,102.3 3,742.6 3,997.5 3,252.1 Fixed Income Securities3,688.4 3,892.9 3,908.3 3,997.5 3,768.9 3,378.8 3,157.1 3,252.1 
1,078.0 1,365.9 1,707.2 1,957.4 1,999.1 Cash and Other Assets1,722.7 1,833.8 1,868.4 1,957.4 1,978.9 1,950.4 1,866.6 1,999.1 
149.8 163.0 186.9 195.6 148.3 Securities Lending Collateral201.2 199.3 208.1 195.6 177.2 169.3 162.1 148.3 
$622.9 $735.7 $875.1 $1,057.5 $892.3 Wealth Management$916.2 $967.8 $962.9 $1,057.5 $1,022.9 $913.0 $860.8 $892.3 
Asset allocation:
336.5 432.0 542.9 644.8 497.9 Equities575.0 616.3 600.7 644.8 615.2 512.8 469.3 497.9 
122.2 134.3 128.3 142.1 134.0 Fixed Income Securities130.3 136.7 138.2 142.1 140.5 135.0 131.6 134.0 
164.1 169.3 203.9 270.6 260.4 Cash and Other Assets210.9 214.8 224.0 270.6 267.2 265.2 259.9 260.4 
0.1 0.1 — — — Securities Lending Collateral— — — — — — — — 
$7,593.9 $9,233.5 $11,262.8 $12,612.3 $10,604.6 Total Assets Under Custody$11,534.2 $12,228.6 $12,246.5 $12,612.3 $12,010.4 $10,684.2 $9,986.3 $10,604.6 
Asset allocation:
$3,379.5 $4,298.6 $5,293.9 $6,049.1 $4,810.7 Equities$5,580.7 $5,951.0 $5,899.5 $6,049.1 $5,677.7 $4,785.5 $4,409.0 $4,810.7 
2,822.4 3,236.6 3,870.9 4,139.6 3,386.1 Fixed Income Securities3,818.7 4,029.6 4,046.5 4,139.6 3,909.4 3,513.8 3,288.7 3,386.1 
1,242.1 1,535.2 1,911.1 2,228.0 2,259.5 Cash and Other Assets1,933.6 2,048.7 2,092.4 2,228.0 2,246.1 2,215.6 2,126.5 2,259.5 
149.9 163.1 186.9 195.6 148.3 Securities Lending Collateral201.2 199.3 208.1 195.6 177.2 169.3 162.1 148.3 
Memo
$83.5 $94.2 $114.0 $144.9 $119.9 WM Global Family Office AUM$114.3 $119.7 $120.4 $144.9 $136.6 $121.9 $117.1 $119.9 
405.5 474.1 600.7 742.6 614.9 WM Global Family Office AUC635.2 675.4 668.9 742.6 720.8 642.2 598.4 614.9 
10

Northern Trust Corporation
RECONCILIATION TO FULLY TAXABLE EQUIVALENT
($ in Millions)
Northern Trust presents certain financial measures on a fully taxable equivalent (FTE) basis, which is a non-generally accepted accounting principle (GAAP). Management believes an FTE presentation provides a clearer indication of these financial measures for comparative purposes.

Net interest income (FTE) – Non-GAAP and net interest margin (FTE) – Non-GAAP and other FTE measures include the tax equivalent adjustments on tax-exempt income, consistent with industry practice. The adjustments are based on the federal income tax rate, where the rate is adjusted for applicable state income taxes, net of related federal tax benefit. When adjusted to an FTE basis, yields on taxable, nontaxable, and partially taxable assets are comparable; however, the adjustment to an FTE basis has no impact on net income. Below is a reconciliation of the financial measures presented on an FTE basis.
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
$2,321.4 $2,499.9 $1,643.5 $1,406.5 $2,877.7 Interest Income - GAAP$349.9 $343.1 $351.3 $362.2 $383.5 $524.8 $799.3 $1,170.1 
41.2 32.8 34.4 35.6 45.6 Add: FTE Adjustment6.68.310.710.06.711.112.315.5
2,362.6 2,532.7 1,677.9 1,442.1 2,923.3 Interest Income (FTE) - Non-GAAP356.5351.4362.0372.2390.2535.9811.61,185.6 
1,622.7 1,677.9 1,443.2 1,382.7 1,887.2 Net Interest Income - GAAP340.1335.6346.4360.6381.0458.7513.0534.5
41.2 32.8 34.4 35.6 45.6 Add: FTE Adjustment6.68.310.710.06.711.112.315.5
1,663.9 1,710.7 1,477.6 1,418.3 1,932.8 Net Interest Income (FTE) - Non-GAAP346.7343.9357.1370.6387.7469.8525.3550.0
5,960.2 6,073.1 6,100.8 6,464.5 6,761.2 Total Revenue - GAAP1,583.4 1,580.3 1,633.8 1,667.0 1,718.7 1,768.7 1,754.8 1,519.0 
41.2 32.8 34.4 35.6 45.6 Add: FTE Adjustment6.68.310.710.06.711.112.315.5
6,001.4 6,105.9 6,135.2 6,500.1 6,806.8 Total Revenue (FTE) - Non-GAAP1,590.0 1,588.6 1,644.5 1,677.0 1,725.4 1,779.8 1,767.1 1,534.5 
1,957.8 1,944.1 1,627.6 2,010.1 1,766.3 Income before Income Taxes - GAAP495.9486.5518.1509.6510.8540.6524.5190.4
41.2 32.8 34.4 35.6 45.6 Add: FTE Adjustment6.68.310.710.06.711.112.315.5
1,999.0 1,976.9 1,662.0 2,045.7 1,811.9 Income before Income Taxes (FTE) - Non-GAAP502.5494.8528.8519.6517.5551.7536.8205.9
401.4 451.9 418.3 464.8 430.3 Provision for Income Taxes - GAAP120.8118.4122.4103.2121.5144.4129.734.7
41.2 32.8 34.4 35.6 45.6 Add: FTE Adjustment6.68.310.710.06.711.112.315.5
442.6 484.7 452.7 500.4 475.9 Provision for Income Taxes (FTE) - Non-GAAP127.4126.7133.1113.2128.2155.5142.050.2
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Northern Trust Corporation
RECONCILIATION TO FULLY TAXABLE EQUIVALENT
RATIOS
Northern Trust presents certain financial measures on a fully taxable equivalent (FTE) basis, which is a non-generally accepted accounting principle (GAAP). Management believes an FTE presentation provides a clearer indication of these financial measures for comparative purposes.

Net interest income (FTE) – Non-GAAP and net interest margin (FTE) – Non-GAAP and other FTE measures include the tax equivalent adjustments on tax-exempt income, consistent with industry practice. The adjustments are based on the federal income tax rate, where the rate is adjusted for applicable state income taxes, net of related federal tax benefit. When adjusted to an FTE basis, yields on taxable, nontaxable, and partially taxable assets are comparable; however, the adjustment to an FTE basis has no impact on net income. Below is a reconciliation of the financial ratios presented on an FTE basis.
20212022
201820192020202120221st Qtr2nd Qtr3rd Qtr4th Qtr1st Qtr2nd Qtr3rd Qtr4th Qtr
32.8 %32.0 %26.7 %31.1 %26.1 %
Profit Margin (pre-tax) - GAAP (1)
31.3 %30.8 %31.7 %30.6 %29.7 %30.6 %29.9 %12.5 %
33.3 %32.4 %27.1 %31.5 %26.6 %
Profit Margin (pre-tax) (FTE) - Non-GAAP (1)
31.6 %31.1 %32.2 %31.0 %30.0 %31.0 %30.4 %13.4 %
26.1 %24.6 %19.8 %23.9 %19.8 %
Profit Margin (after-tax) - GAAP (2)
23.7 %23.3 %24.2 %24.4 %22.7 %22.4 %22.5 %10.2 %
25.9 %24.4 %19.7 %23.8 %19.6 %
Profit Margin (after-tax) (FTE) - Non-GAAP (2)
23.6 %23.2 %24.1 %24.2 %22.6 %22.3 %22.3 %10.1 %
20.5 %23.2 %25.7 %23.1 %24.4 %
Effective Tax Rate - GAAP (3)
24.4 %24.3 %23.6 %20.2 %23.8 %26.7 %24.7 %18.2 %
22.1 %24.5 %27.2 %24.5 %26.3 %
Effective Tax Rate (FTE) - Non-GAAP (3)
25.4 %25.6 %25.2 %21.8 %24.8 %28.2 %26.4 %24.4 %
72.8 %72.4 %76.3 %78.6 %72.1 %
Noninterest Income to Total Revenue - GAAP (4)
78.5 %78.8 %78.8 %78.4 %77.8 %74.1 %70.8 %64.8 %
72.3 %72.0 %75.9 %78.2 %71.6 %
Noninterest Income to Total Revenue (FTE) - Non-GAAP (4)
78.2 %78.4 %78.3 %77.9 %77.5 %73.6 %70.3 %64.2 %
63.0 %63.4 %65.5 %67.5 %65.6 %
Trust Fees to Total Revenue - GAAP (5)
67.2 %68.1 %68.0 %66.6 %68.0 %64.6 %61.5 %68.6 %
62.5 %63.1 %65.1 %67.1 %65.1 %
Trust Fees to Total Revenue (FTE) - Non-GAAP (5)
66.9 %67.7 %67.6 %66.2 %67.7 %64.2 %61.0 %67.9 %
1.25 %1.37 %1.11 %0.96 %1.15 %
Net Interest Spread - GAAP (6)
0.97 %0.94 %0.95 %0.96 %1.03 %1.25 %1.33 %1.17 %
1.29 %1.40 %1.14 %0.98 %1.19 %
Net Interest Spread (FTE) - Non-GAAP (6)
0.99 %0.96 %0.98 %0.98 %1.05 %1.29 %1.37 %1.22 %
1.43 %1.57 %1.16 %0.96 %1.36 %
Net Interest Margin - GAAP (7)
0.98 %0.95 %0.95 %0.96 %1.03 %1.31 %1.54 %1.58 %
1.46 %1.60 %1.19 %0.99 %1.39 %
Net Interest Margin (FTE) - Non-GAAP (7)
1.00 %0.97 %0.98 %0.99 %1.05 %1.35 %1.58 %1.63 %
(1)
Profit margin (pre-tax) is calculated by dividing income before income taxes by total revenue. Profit margin (pre-tax) on an FTE basis is calculated by dividing income before income taxes on an FTE basis by total revenue on an FTE basis.
(2)
Profit margin (after-tax) is calculated by dividing net income by total revenue. Profit margin (after-tax) on an FTE basis is calculated by dividing net income by total revenue on an FTE basis.
(3)
Effective tax rate is calculated by dividing the provision for income taxes by income before income taxes. Effective tax rate on an FTE basis is calculated by dividing the provision for income taxes on an FTE basis by income before income taxes on an FTE basis.
(4)
Noninterest income to total revenue is calculated by dividing noninterest income by total revenue. Noninterest income to total revenue on an FTE basis is calculated by dividing noninterest income by total revenue on an FTE basis.
(5)
Trust fees to total revenue is calculated by dividing total trust, investment and other servicing fees by total revenue. Trust fees to total revenue on an FTE basis is calculated by dividing total trust, investment and other servicing fees by total revenue on an FTE basis.
(6)
Net interest spread is calculated as the difference between the interest rate earned (annualized interest income divided by average interest-earning assets) and the interest rate incurred (annualized interest expense divided by average interest-related funds). Net interest spread on an FTE basis is calculated as the difference between the interest rate earned (annualized interest income on an FTE basis divided by average interest-earning assets) and the interest rate incurred (annualized interest expense divided by average interest-related funds).
(7)
Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets. Net interest margin on an FTE basis is calculated by dividing annualized net interest income on an FTE basis by average interest-earning assets.
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