This Management's Discussion and Analysis of Financial Condition and Results of Operations should be read in conjunction with the consolidated financial statements and other information included in this Quarterly Report on Form 10-Q as well as with M&T's 2025 Annual Report. Information regarding the Company's business, its supervision and regulation and potential risks and uncertainties that may affect the Company's business, financial condition, liquidity and results of operations are also included in the 2025 Annual Report. In conjunction with the implementation of a new general ledger platform during the second quarter of 2026, the Company modified its methodology for calculating annualized taxable-equivalent rates for certain earning assets and interest-bearing liabilities, including certain average deposit balances. Previously reported amounts have been adjusted to conform to the current presentation. Financial Overview A summary of financial results for the Company is provided below. SUMMARY OF FINANCIAL RESULTS Three Months Ended Change Six Months Ended Change (Dollars in millions, except per share) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Net interest income $ 1,792 $ 1,752 $ 40 2 % $ 3,544 $ 3,408 $ 136 4 % Taxable-equivalent adjustment (a) 12 11 1 1 23 21 2 12 Net interest income (taxable-equivalent basis) (a) 1,804 1,763 41 2 3,567 3,429 138 4 Provision for credit losses 120 140 (20) -14 260 255 5 2 Other income 740 689 51 8 1,429 1,294 135 10 Other expense 1,349 1,438 (89) -6 2,787 2,751 36 1 Net income 818 664 154 23 1,482 1,300 182 14 Per common share data: Basic earnings 5.35 4.16 1.19 29 9.49 7.58 1.91 25 Diluted earnings 5.32 4.13 1.19 29 9.44 7.55 1.89 25 Performance ratios, annualized Return on: Average assets 1.51 % 1.26 % 1.39 % 1.25 % Average common shareholders’ equity 12.30 9.67 10.98 9.37 Net interest margin 3.70 3.70 3.70 3.64 __________________________________________________________________________________ (a)Net interest income data are presented on a taxable-equivalent basis which is a non-GAAP measure. The taxable-equivalent adjustment represents additional income taxes that would be due if all interest income were subject to income taxes. This adjustment, which is related to interest received on qualified municipal securities, industrial revenue financings and preferred equity securities, is based on the statutory federal income tax rate. Effective January 1, 2026, the Company elected to prospectively measure its residential mortgage loan servicing right assets at fair value with changes in fair value reflected in mortgage banking revenues. As a result, amortization associated with residential mortgage loan servicing right assets previously recognized in other costs of operations is no longer recorded. Instead, beginning in 2026, fair value changes in the mortgage loan servicing right assets, inclusive of the realization of expected net servicing revenues over time, are included in mortgage banking revenues. On December 31, 2025, the Company began economically hedging the risk of fair value changes in these assets through the use of various interest rate and other derivative contracts, for which changes in fair value are also reflected in mortgage banking revenues. As a result of the Company's election on January 1, 2026 to prospectively measure residential mortgage loan servicing right assets at fair value, the Company recorded an increase in capitalized servicing assets included in accrued interest and other assets of $263 million and a corresponding after-tax increase to retained earnings of $197 million, representing an 8 basis-point increase to the CET1 capital ratio on the election date. - 46 - The increase in net income in the recent quarter as compared with the first quarter of 2026 resulted from the following: •Net interest income on a taxable-equivalent basis increased $41 million reflecting an additional calendar day in the recent quarter, higher interest income on nonaccrual loans and growth in average earning assets. The Company's net interest margin was unchanged. •The provision for credit losses decreased $20 million reflecting a decrease in the level of criticized loans in the recent quarter and a provision for unfunded credit commitments in the first quarter of 2026, partially offset by loan growth in the second quarter of 2026. •Noninterest income increased $51 million resulting from a higher distribution from M&T's investment in BLG in the recent quarter and increases in trust income and revenues from interest rate swap agreements entered into for commercial customers. •Noninterest expense declined $89 million reflecting seasonal salaries and employee benefits expense in the first quarter of 2026. The increase in net income in the six months ended June 30, 2026 as compared with the same 2025 period reflected the following: •Net interest income on a taxable-equivalent basis increased $138 million reflecting higher average earning assets and a 6 basis-point expansion of the net interest margin as reductions in deposit and borrowing costs outpaced a decline in yields received on earning assets. •The provision for credit losses rose modestly as loan growth and the potential negative impact of global conflicts on economic forecasts was largely offset by a decline in the level of criticized loans. •Noninterest income increased $135 million reflecting distributions of $80 million from M&T's investment in BLG in the first half of 2026, higher trust income and an increase in revenues from interest rate swap agreements entered into for commercial customers. Mortgage banking revenues in the first half of 2026 reflected the impact of the Company's accounting election described herein. •Noninterest expense increased $36 million reflecting higher levels of salaries and employee benefits expense, outside data processing and software costs and professional and other services expense, partially offset by lower other costs of operations. Other costs of operations in the first half of 2025 included amortization of residential mortgage loan servicing right assets of $51 million. The Company's effective income tax rate was 23.1% for each of the second quarter of 2026 and the six months ended June 30, 2026, compared with 23.0% and 23.3% for the first quarter of 2026 and the six months ended June 30, 2025, respectively. Under programs authorized by the Board of Directors, M&T repurchased 2.1 million shares of its common stock during the recent quarter at a total cost of $465 million, compared with 5.5 million shares at a total cost of $1.25 billion in the first quarter of 2026. During the six months ended June 30, 2026, M&T repurchased 7.6 million shares of its common stock at a total cost of $1.71 billion, compared with 9.5 million shares at a total cost of $1.74 billion during the first six months of 2025. - 47 - Supplemental Reporting of Non-GAAP Results of Operations M&T consistently provides supplemental reporting of its results on a “net operating” or “tangible” basis, from which M&T excludes the after-tax effect of amortization of core deposit and other intangible assets (and the related goodwill, core deposit intangible and other intangible asset balances, net of applicable deferred tax amounts) and gains (when realized) and expenses (when incurred) associated with merging acquired or to be acquired operations into the Company, since such items are considered by management to be “nonoperating” in nature. Although “net operating income” as defined by M&T is not a GAAP measure, M&T’s management believes that this information helps investors understand the effect of acquisition activity in reported results. SUPPLEMENTAL REPORTING OF NON-GAAP RESULTS OF OPERATIONS Three Months Ended Change Six Months Ended Change (Dollars in millions, except per share) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Net operating income $ 823 $ 671 $ 152 23 % $ 1,494 $ 1,318 $ 176 13 % Diluted net operating earnings per share 5.35 4.18 1.17 28 9.52 7.66 1.86 24 Annualized return on: Average tangible assets 1.59 % 1.33 % 1.46 % 1.32 % Average tangible common equity 18.57 14.51 16.52 14.03 Efficiency ratio 52.8 58.3 55.5 57.8 Tangible equity per common share (a) $ 117.41 $ 115.96 1.45 1 $ 117.41 $ 112.48 4.93 4 __________________________________________________________________________________ (a)At the period end. The efficiency ratio measures the relationship of noninterest operating expenses, which exclude expenses M&T considers to be "nonoperating" in nature consisting of amortization of core deposit and other intangible assets and merger-related expenses, to revenues. The calculations of the Company’s efficiency ratio, or noninterest operating expenses divided by the sum of taxable-equivalent net interest income and noninterest income (exclusive of gains and losses from bank investment securities), and reconciliations of GAAP amounts with corresponding non-GAAP amounts are presented in Table 2. - 48 - Taxable-equivalent Net Interest Income Interest income earned on certain of the Company's assets is exempt from federal income tax. Taxable-equivalent net interest income is a non-GAAP measure that adjusts income earned on a tax-exempt asset to present it on an equivalent basis to interest income earned on a fully taxable asset. The Company's average balance sheets accompanied by the taxable-equivalent interest income and expense and the annualized average rate on the Company's earning assets and interest-bearing liabilities are presented as follows. AVERAGE BALANCE SHEETS AND ANNUALIZED TAXABLE-EQUIVALENT RATES Three Months Ended June 30, 2026 March 31, 2026 (Dollars in millions) Average Balance Interest Average Rate Average Balance Interest Average Rate Assets Earning assets: Loans (a): Commercial and industrial $ 66,069 $ 988 6.00 % $ 63,804 $ 944 6.00 % Real estate - commercial 23,553 368 6.27 23,496 354 6.11 Real estate - residential 25,086 291 4.64 24,817 283 4.56 Consumer 26,719 431 6.46 26,306 420 6.48 Total loans 141,427 2,078 5.89 138,423 2,001 5.85 Interest-bearing deposits at banks 15,061 139 3.72 16,231 149 3.71 Investment securities (b): U.S. Treasury 3,624 36 3.98 5,795 59 4.12 Mortgage-backed securities (c) 31,763 345 4.35 28,756 308 4.30 State and political subdivisions 2,057 19 3.56 2,104 18 3.52 Other 1,284 15 4.76 1,190 12 3.91 Total investment securities 38,728 415 4.29 37,845 397 4.22 Other — — — 95 — 3.49 Total earning assets 195,216 2,632 5.40 192,594 2,547 5.35 Goodwill 8,465 8,465 Core deposit and other intangible assets 51 59 Other assets 12,800 12,710 Total assets $ 216,532 $ 213,828 Liabilities and shareholders’ equity Interest-bearing liabilities: Interest-bearing deposits: Savings and interest-checking deposits $ 105,752 $ 477 1.81 % $ 106,570 $ 483 1.84 % Time deposits 13,808 104 3.02 13,059 97 3.02 Total interest-bearing deposits 119,560 581 1.95 119,629 580 1.97 Short-term borrowings 8,016 77 3.86 5,695 54 3.86 Long-term borrowings 12,778 170 5.33 11,064 150 5.41 Total interest-bearing liabilities 140,354 828 2.36 136,388 784 2.32 Noninterest-bearing deposits 43,964 44,547 Other liabilities 4,275 4,245 Total liabilities 188,593 185,180 Shareholders’ equity 27,939 28,648 Total liabilities and shareholders’ equity $ 216,532 $ 213,828 Net interest spread 3.04 3.03 Contribution of interest-free funds .66 .67 Net interest income/margin on earning assets $ 1,804 3.70 % $ 1,763 3.70 % Total deposits $ 163,524 $ 581 1.42 % $ 164,176 $ 580 1.43 % __________________________________________________________________________________ (a)Includes nonaccrual loans. (b)Includes available-for-sale securities at amortized cost. (c)Primarily government issued or guaranteed. - 49 - AVERAGE BALANCE SHEETS AND ANNUALIZED TAXABLE-EQUIVALENT RATES (continued) Six Months Ended June 30, 2026 June 30, 2025 (Dollars in millions) Average Balance Interest Average Rate Average Balance Interest Average Rate Assets Earning assets: Loans (a): Commercial and industrial $ 64,942 $ 1,932 6.00 % $ 61,046 $ 1,932 6.38 % Real estate- commercial 23,525 722 6.19 25,794 809 6.32 Real estate - residential 24,952 574 4.60 23,431 525 4.48 Consumer 26,514 851 6.47 24,856 809 6.57 Total loans 139,933 4,079 5.87 135,127 4,075 6.08 Interest-bearing deposits at banks 15,642 288 3.72 19,697 437 4.48 Investment securities (b): U.S. Treasury 4,704 95 4.07 8,521 165 3.90 Mortgage-backed securities (c) 30,268 653 4.33 23,021 463 4.03 State and political subdivisions (d) 2,080 37 3.54 2,293 19 1.63 Other 1,237 27 4.36 1,074 29 5.38 Total investment securities 38,289 812 4.25 34,909 676 3.88 Other 47 — — 96 2 3.47 Total earning assets 193,911 5,179 5.38 189,829 5,190 5.51 Goodwill 8,465 8,465 Core deposit and other intangible assets 55 90 Other assets 12,755 10,912 Total assets $ 215,186 $ 209,296 Liabilities and shareholders’ equity Interest-bearing liabilities: Interest-bearing deposits: Savings and interest-checking deposits $ 106,159 $ 960 1.82 % $ 102,741 $ 1,131 2.22 % Time deposits 13,435 201 3.02 14,140 247 3.52 Total interest-bearing deposits 119,594 1,161 1.96 116,881 1,378 2.38 Short-term borrowings 6,862 131 3.86 3,100 69 4.51 Long-term borrowings 11,926 320 5.37 11,109 314 5.64 Total interest-bearing liabilities 138,382 1,612 2.35 131,090 1,761 2.70 Noninterest-bearing deposits 44,254 45,294 Other liabilities 4,259 4,081 Total liabilities 186,895 180,465 Shareholders’ equity 28,291 28,831 Total liabilities and shareholders’ equity $ 215,186 $ 209,296 Net interest spread 3.03 2.81 Contribution of interest-free funds .67 .83 Net interest income/margin on earning assets $ 3,567 3.70 % $ 3,429 3.64 % Total deposits $ 163,848 $ 1,161 1.43 % $ 162,175 $ 1,378 1.71 % __________________________________________________________________________________ (a)Includes nonaccrual loans. (b)Includes available-for-sale securities at amortized cost. (c)Primarily government issued or guaranteed. (d)The yield on state and political subdivision investment securities for the six-month period ended June 30, 2025 reflects $18 million of lower taxable-equivalent interest income resulting from an alignment of amortization periods for certain municipal bonds obtained from the acquisition of People's United Financial, Inc. - 50 - Taxable-equivalent net interest income can be impacted by changes in the composition of the Company's earning assets and interest-bearing liabilities, as discussed herein, as well as changes in interest rates and spreads. The FOMC lowered its federal funds target interest rate by a total of 75 basis points in the last four months of 2025 and maintained its target through the second quarter of 2026. Taxable-equivalent net interest income increased $41 million in the recent quarter as compared with the first quarter of 2026 reflective of an additional calendar day in the recent quarter, an increase in interest income on nonaccrual loans and higher average earning assets. The net interest margin remained unchanged at 3.70% reflecting a 5 basis-point increase in yields received on earning assets offset by a 4 basis-point increase in rates paid on interest-bearing liabilities and a 1 basis-point decrease in the contribution of interest-free funds. Taxable-equivalent net interest income for the first six months of 2026 increased $138 million as compared with the same 2025 period. That increase reflects a 6 basis-point widening of the net interest margin driven by a 35 basis-point decrease in the cost of interest-bearing liabilities, partially offset by a 13 basis-point decline in yields received on earning assets. Contributing to those changes was the aforementioned FOMC interest rate reductions in 2025. The yields received on earning assets in the first six months of 2026 reflect a comparatively favorable impact from interest rate swap agreements entered into for interest rate risk purposes on yields received on commercial and industrial and commercial real estate loans. Partially offsetting the overall decline in yields received on earning assets was an increase in the yields received on investment securities from the deployment of liquidity into fixed rate investment securities throughout 2025 and the first six months of 2026 that yielded higher rates than investment securities that matured or were sold. The 22 basis-point increase in net interest spread was partially offset by a 16 basis-point reduction in the contribution of interest-free funds, reflecting a lower rate environment. Future changes in market interest rates or spreads, as well as changes in the composition of the Company’s portfolios of earning assets and interest-bearing liabilities that result in changes to spreads, could impact the Company’s net interest income and net interest margin. Future changes in the levels of net interest-free funds and the interest rates used to value such funds could also impact the Company's net interest margin. Interest rate swap agreements Management assesses the potential impact of future changes in interest rates and spreads by projecting net interest income under several interest rate scenarios. In managing interest rate risk, the Company has utilized interest rate swap agreements to modify the repricing characteristics of certain portions of its earning assets and interest-bearing liabilities. Under the terms of those interest rate swap agreements, the Company generally received payments based on the outstanding notional amount at fixed rates and made payments at variable rates. Periodic settlement amounts arising from these agreements are reflected in either the yields received on earning assets or the rates paid on interest-bearing liabilities. The Company enters into forward-starting interest rate swap agreements predominantly to hedge interest rate exposures expected in future periods. The following table summarizes information about interest rate swap agreements entered into for interest rate risk management purposes at June 30, 2026 and December 31, 2025. - 51 - INTEREST RATE SWAP AGREEMENTS - DESIGNATED AS HEDGES Notional Amount Weighted-Average Maturity (In years) Weighted-Average Rate (Dollars in millions) Fixed Variable June 30, 2026 Fair value hedges: Fixed rate long-term borrowings — active $ 6,100 4.3 3.56 % 3.79 % Total fair value hedges 6,100 4.3 Cash flow hedges: Variable rate commercial real estate and commercial and industrial loans: Active 16,000 0.7 3.82 3.63 Forward-starting 10,200 1.8 3.52 3.62 Total cash flow hedges 26,200 1.1 Total $ 32,300 1.7 December 31, 2025 Fair value hedges: Fixed rate long-term borrowings — active $ 4,350 3.9 3.52 % 4.09 % Fixed rate long-term borrowings — forward-starting 1,750 7.1 3.68 3.84 Total fair value hedges 6,100 4.8 Cash flow hedges: Variable rate commercial real estate and commercial and industrial loans: Active 15,200 0.7 3.81 3.78 Forward-starting 9,700 2.0 3.37 3.84 Total cash flow hedges 24,900 1.3 Total $ 31,000 2.0 Information regarding the fair value of interest rate swap agreements designated as fair value hedges and cash flow hedges is presented in note 11 of Notes to Financial Statements. The average notional amounts of interest rate swap agreements entered into for interest rate risk management purposes (excluding forward-starting interest rate swap agreements not in effect during the quarter), the related effect on net interest income and margin, and the weighted-average interest rates received or paid on those swap agreements are presented in the table that follows. INTEREST RATE SWAP AGREEMENTS - EFFECT ON NET INTEREST INCOME Three Months Ended Six Months Ended June 30, 2026 March 31, 2026 June 30, 2026 June 30, 2025 (Dollars in millions) Amount Rate (a) Amount Rate (a) Amount Rate (a) Amount Rate (a) Increase (decrease) in: Interest income $ 8 .02 % $ 5 .01 % $ 13 .01 % $ (86) -.09 % Interest expense 3 .01 4 .01 7 .01 20 .03 Net interest income/margin $ 5 .01 % $ 1 — % $ 6 .01 % $ (106) -.11 % Average notional amount (b) $ 21,265 $ 20,926 $ 21,096 $ 22,072 Rate received (c) 3.75 % 3.76 % 3.76 % 3.42 % Rate paid (c) 3.68 3.74 3.71 4.38 __________________________________________________________________________________ (a)Computed as an annualized percentage of average earning assets or interest-bearing liabilities. (b)Excludes forward-starting interest rate swap agreements not in effect during the period. (c)Weighted-average rate received or paid on interest rate swap agreements in effect during the period. - 52 - Lending activities The following table summarizes changes in the components of average loans. AVERAGE LOANS Three Months Ended Six Months Ended (Dollars in millions) June 30, 2026 March 31, 2026 Percentage Change June 30, 2026 June 30, 2025 Percentage Change Commercial and industrial $ 66,069 $ 63,804 4 % $ 64,942 $ 61,046 6 % Real estate - commercial 23,553 23,496 — 23,525 25,794 -9 Real estate - residential 25,086 24,817 1 24,952 23,431 6 Consumer: Home equity lines and loans 4,846 4,792 1 4,819 4,582 5 Recreational finance 14,483 14,075 3 14,280 12,991 10 Automobile 4,992 5,084 -2 5,038 5,061 — Other 2,398 2,355 2 2,377 2,222 7 Total consumer 26,719 26,306 2 26,514 24,856 7 Total $ 141,427 $ 138,423 2 % $ 139,933 $ 135,127 4 % Average loans totaled $141.4 billion in the second quarter of 2026, up $3.0 billion from the first quarter of 2026. •Average commercial and industrial loans increased $2.3 billion reflecting growth that spanned most industry types. •Commercial real estate loans increased $57 million, reflecting an increase of $243 million in average permanent commercial real estate loans, partially offset by a reduction of $186 million in average construction commercial real estate loans. •Average residential real estate loans increased $269 million reflecting purchases in the second quarter of 2026 and the retention of originated residential mortgage loans. •Average consumer loans increased $413 million reflecting higher average balances of recreational finance loans of $408 million. In the first six months of 2026, average loans increased $4.8 billion from the corresponding 2025 period. •Average commercial and industrial loans increased $3.9 billion reflecting growth that spanned most industry types. •Average commercial real estate loans declined $2.3 billion as the Company executed various strategies to reduce its relative concentration of such loans designated as criticized. Average permanent and construction commercial real estate loans decreased by $134 million and $2.1 billion, respectively. The decline in average commercial real estate construction loans reflects the sale of $661 million of out-of-footprint residential builder and developer loans in June 2025. •Average residential real estate loans increased $1.5 billion reflecting the retention of originated residential mortgage loans and purchases. •Average consumer loans increased $1.7 billion reflecting growth in average recreational finance loans of $1.3 billion and home equity loans and lines of credit of $237 million. - 53 - Commercial and industrial borrowers in the financial and insurance industry include real estate investment trusts and other specialty lending businesses including fund banking companies and mortgage warehouse lending businesses. At June 30, 2026 and December 31, 2025, approximately 91% and 89% of loans to the financial and insurance industry, respectively, and 7% of loans to the services industry, at each of those dates, were designated as loans to NDFIs as prescribed in regulatory guidance applicable to the Company. The following table presents commercial and industrial commitments and outstanding balances of loans to NDFIs at June 30, 2026 and December 31, 2025. COMMERCIAL AND INDUSTRIAL COMMITMENTS AND LOANS TO NDFIs June 30, 2026 December 31, 2025 (Dollars in millions) Commitment Amount Outstanding Balance Commitment Amount Outstanding Balance Mortgage credit intermediaries (a) $ 12,204 $ 6,555 $ 10,216 $ 5,610 Private equity funds (b) 5,912 3,537 5,981 3,287 Business credit intermediaries (c) 3,883 2,127 3,288 1,770 Consumer credit intermediaries (d) 935 521 1,145 731 Other 2,646 941 3,269 1,139 Total $ 25,580 $ 13,681 $ 23,899 $ 12,537 __________________________________________________________________________________ (a)Includes real estate investment trust credit facilities, residential mortgage warehouse lines of credit and mortgage loan servicing rights secured financing. (b)Primarily subscription credit facilities. (c)Includes credit facilities to wholesale lender finance and leasing companies and business development companies. (d)Includes credit facilities to consumer lender finance and leasing companies. Investing activities The Company's investment securities portfolio is primarily comprised of government-issued or guaranteed residential and commercial mortgage-backed securities and U.S. Treasury securities, but also includes municipal and other securities. When purchasing investment securities, the Company considers its liquidity position and its overall interest rate risk profile as well as the adequacy of expected returns relative to risks assumed, including prepayments. The Company may occasionally sell investment securities as a result of movements in interest rates and spreads, changes in liquidity needs, actual or anticipated prepayments, credit risk associated with a particular security, or as a result of restructuring its investment securities portfolio. The amounts of investment securities held by the Company are influenced by such factors as available yield in comparison with alternative investments, demand for loans, which generally yield more than investment securities, ongoing repayments, the levels of deposits, and management of liquidity and balance sheet size and resulting capital ratios. Information about the Company's average investment securities portfolio is presented in the following table. AVERAGE INVESTMENT SECURITIES Three Months Ended Six Months Ended (Dollars in millions) June 30, 2026 March 31, 2026 Percentage Change June 30, 2026 June 30, 2025 Percentage Change Investment securities available for sale: U.S. Treasury $ 3,227 $ 5,391 -40 % $ 4,303 $ 7,980 -46 % Mortgage-backed securities (a) 22,213 18,995 17 20,613 12,395 66 Other 1 1 — 1 3 -69 Total available for sale 25,441 24,387 4 24,917 20,378 22 Investment securities held to maturity: U.S. Treasury 397 404 -2 401 541 -26 Mortgage-backed securities (a) 9,550 9,761 -2 9,655 10,626 -9 State and political subdivisions 2,057 2,104 -2 2,080 2,293 -9 Other 1 1 -3 1 1 -13 Total held to maturity 12,005 12,270 -2 12,137 13,461 -10 Equity and other securities 1,282 1,188 8 1,235 1,070 15 Total investment securities $ 38,728 $ 37,845 2 % $ 38,289 $ 34,909 10 % __________________________________________________________________________________ (a)Primarily government issued or guaranteed. - 54 - The investment securities portfolio averaged $38.7 billion in the second quarter of 2026, up $883 million from the first quarter of 2026, and $38.3 billion for the six months ended June 30, 2026, an increase of $3.4 billion from the similar 2025 period. Those increases reflect the Company's deployment of liquidity into primarily fixed-rate mortgage-backed investment securities classified as available for sale. In the first quarter of 2026 the Company sold $2.5 billion of U.S. Treasury securities, all of which had maturity dates in 2026. There were no significant sales of debt investment securities in the second quarter of 2026. As a result of the purchases of higher-yielding securities and sales, paydowns and maturities of lower-yielding securities, the weighted-average current yield for total investment securities available for sale increased to 4.73% and 4.71% at June 30, 2026 and March 31, 2026, respectively, from 4.50% at June 30, 2025. The weighted-average duration of that portfolio was 3.1 years at each of June 30, 2026 and March 31, 2026 as compared with 2.6 years at June 30, 2025. The increase in the weighted-average duration from June 30, 2025 reflects the sale of U.S. Treasury securities near maturity and purchase of fixed-rate mortgage-backed investment securities with longer maturity dates. In July 2026, the Company transferred $8.3 billion of residential mortgage-backed securities from the available-for-sale portfolio to the held-to-maturity portfolio with gross unrealized gains of $32 million and gross unrealized losses of $24 million at the time of transfer. The Company routinely adjusts its holdings of capital stock of the FHLB of New York and the FRB of New York based on amounts of outstanding borrowings and available lines of credit with those entities. The Company regularly reviews its debt investment securities for declines in value below amortized cost that might be indicative of credit-related losses. There were no credit-related losses on debt investment securities recognized in each of the six months ended June 30, 2026 and June 30, 2025. Additional information about the investment securities portfolio is included in notes 3 and 13 of Notes to Financial Statements. Other earning assets are comprised primarily of interest-bearing deposits at banks. Other earning assets averaged $15.1 billion and $16.3 billion during the three months ended June 30, 2026 and March 31, 2026, respectively, and $15.7 billion and $19.8 billion during the six months ended June 30, 2026 and 2025, respectively. The amounts of other earning assets at those respective dates were primarily comprised of deposits held at the FRB of New York. The Company considers such deposits to be an immediate source of funds in its liquidity management processes. In general, the levels of those deposits often fluctuate due to changes in deposits of retail and commercial customers, trust-related deposits and brokered deposits, lending activities and additions to or maturities of investment securities or borrowings. Funding activities - deposits The most significant source of funding for the Company is core deposits from its customer base. The Company considers noninterest-bearing deposits, savings and interest-checking deposits and time deposits of $250,000 or less as core deposits. The Company’s domestic banking network is its principal source of core deposits, which generally carry lower interest rates than wholesale funds of comparable maturities. Average core deposits represented 79% of average earning assets for each of the quarters ended June 30, 2026 and March 31, 2026 and for the six months ended June 30, 2026 and 78% for the six months ended June 30, 2025. The Company also utilizes brokered deposits as a component of its wholesale funding strategy. Depending on market conditions, including demand by customers and other investors, and the cost of funds available from alternative sources, the Company may change the amount or composition of brokered deposits in the future. The following table provides an analysis of changes in the components of average deposits. - 55 - AVERAGE DEPOSITS Three Months Ended Six Months Ended (Dollars in millions) June 30, 2026 March 31, 2026 Percentage Change June 30, 2026 June 30, 2025 Percentage Change Noninterest-bearing deposits $ 43,964 $ 44,547 -1 % $ 44,254 $ 45,294 -2 % Savings and interest-checking deposits (a) 100,243 97,066 3 98,664 92,791 6 Time deposits of $250,000 or less 9,967 9,951 — 9,959 10,463 -5 Total core deposits (a) 154,174 151,564 2 152,877 148,548 3 Time deposits greater than $250,000 2,865 2,814 2 2,839 3,005 -5 Brokered savings and interest-checking deposits (a) 5,509 9,504 -42 7,495 9,950 -25 Brokered time deposits 976 294 233 637 672 -5 Total deposits $ 163,524 $ 164,176 — % $ 163,848 $ 162,175 1 % __________________________________________________________________________________ (a)During the second quarter of 2026, certain savings and interest-checking deposit arrangements were redesignated as core deposits consistent with regulatory presentation. The resulting increase in average core deposits and decrease in average brokered deposits was $3.5 billion for the quarter ended June 30, 2026 and $1.8 billion for the six months ended June 30, 2026. Total deposits averaged $163.5 billion in the recent quarter, down $652 million from the first quarter of 2026. Lower average noninterest-bearing deposits of $583 million and average brokered savings and interest-checking deposits were partially offset by an increase in average brokered time deposits of $682 million. In the first six months of 2026, total average deposits increased $1.7 billion from the corresponding 2025 period. Average core deposits increased $4.3 billion reflecting growth in average savings and interest-checking deposits from commercial customers and the redesignation of certain deposit arrangements in the second quarter of 2026. Partially offsetting that increase was lower average noninterest-bearing deposits predominantly from commercial customers. The accompanying table summarizes the components of average total deposits by reportable segment for the three months ended June 30, 2026 and March 31, 2026 and the six months ended June 30, 2026 and 2025. AVERAGE DEPOSITS BY REPORTABLE SEGMENT (Dollars in millions) Commercial Bank Retail Bank Institutional Services and Wealth Management All Other Total Three Months Ended June 30, 2026 Noninterest-bearing deposits $ 9,689 $ 24,843 $ 8,766 $ 666 $ 43,964 Savings and interest-checking deposits 38,555 52,402 9,882 4,913 105,752 Time deposits 330 12,444 57 977 13,808 Total $ 48,574 $ 89,689 $ 18,705 $ 6,556 $ 163,524 Three Months Ended March 31, 2026 Noninterest-bearing deposits $ 10,247 $ 24,249 $ 9,518 $ 533 $ 44,547 Savings and interest-checking deposits 38,906 52,174 10,102 5,388 106,570 Time deposits 294 12,422 49 294 13,059 Total $ 49,447 $ 88,845 $ 19,669 $ 6,215 $ 164,176 Six Months Ended June 30, 2026 Noninterest-bearing deposits $ 9,967 $ 24,547 $ 9,140 $ 600 $ 44,254 Savings and interest-checking deposits 38,730 52,289 9,991 5,149 106,159 Time deposits 312 12,433 53 637 13,435 Total $ 49,009 $ 89,269 $ 19,184 $ 6,386 $ 163,848 Six Months Ended June 30, 2025 Noninterest-bearing deposits $ 11,320 $ 24,335 $ 9,118 $ 521 $ 45,294 Savings and interest-checking deposits 34,053 52,244 9,714 6,730 102,741 Time deposits 329 13,103 34 674 14,140 Total $ 45,702 $ 89,682 $ 18,866 $ 7,925 $ 162,175 - 56 - Funding activities - borrowings The following table summarizes the average balances utilized from the Company's short-term and long-term borrowing facilities and note programs. AVERAGE BORROWINGS Three Months Ended Six Months Ended (Dollars in millions) June 30, 2026 March 31, 2026 June 30, 2026 June 30, 2025 Short-term borrowings: Federal funds purchased and repurchase agreements $ 470 $ 205 $ 338 $ 143 FHLB advances 7,546 5,490 6,524 2,957 Total short-term borrowings 8,016 5,695 6,862 3,100 Long-term borrowings: Senior notes 8,427 7,534 7,983 8,100 FHLB advances 3 3 3 335 Subordinated notes 1,641 1,247 1,446 500 Junior subordinated debentures 403 403 403 406 Asset-backed notes 2,294 1,867 2,081 1,758 Other 10 10 10 10 Total long-term borrowings 12,778 11,064 11,926 11,109 Total borrowings $ 20,794 $ 16,759 $ 18,788 $ 14,209 The Company uses borrowing capacity from banks, the FHLBs, the FRB of New York and others as sources of funding. Short-term borrowings represent arrangements that at the time they were entered into had a contractual maturity of one year or less. The higher levels of short-term borrowings in the second quarter of 2026 as compared with the first quarter of 2026, as well as for the six months ended June 30, 2026 as compared with the similar 2025 period reflect the Company's management of liquidity and growth in its earning assets. The levels of long-term borrowings reflect the Company's strategies to diversify its wholesale funding sources to provide long-term funding stabilization. The following table provides a summary of the Company's issuances, maturities and redemptions of long-term borrowings in the recent quarter as well as for the six months ended June 30, 2026. LONG-TERM BORROWING ISSUANCES, MATURITIES AND REDEMPTIONS (Dollars in millions) Three Months Ended June 30, 2026 Six Months Ended June 30, 2026 Issuances (a): Senior notes of M&T Bank $ 1,200 $ 1,200 Subordinated notes of M&T 500 500 Asset-backed notes 1,006 1,517 Maturities/Redemptions (b): __________________________________________________________________________________ (a)At par value. (b)Excludes paydowns of asset-backed notes. There were no significant maturities or redemptions of long-term borrowings in the first six months of 2026. Additional information regarding borrowings is provided in notes 5 and 12 of Notes to Financial Statements. - 57 - Provision for Credit Losses A provision for credit losses is recorded to adjust the level of the allowance to reflect expected credit losses that are based on economic forecasts as of each reporting date. A provision for credit losses of $120 million was recorded in the second quarter of 2026, compared with $140 million in the first quarter of 2026. The provision for credit losses included $15 million of provision for unfunded credit commitments in the first quarter of 2026. There was no provision for unfunded credit commitments in the recent quarter. The lower provision for credit losses in the second quarter of 2026 as compared with the first quarter of 2026 reflects improved performance of loans to commercial customers. For the six months ended June 30, 2026 and 2025, the Company recorded a provision for credit losses of $260 million and $255 million, respectively. A summary of the Company's net charge-offs by loan type and as an annualized percent of such average loans is presented in the table that follows. NET CHARGE-OFF (RECOVERY) INFORMATION Three Months Ended June 30, 2026 March 31, 2026 (Dollars in millions) Net Charge-Offs (Recoveries) Annualized Percent of Average Loans Net Charge-Offs (Recoveries) Annualized Percent of Average Loans Commercial and industrial $ 20 .12 % $ 25 .16 % Real estate: Commercial 6 .13 17 .34 Residential builder and developer — — — — Other commercial construction — — — — Residential — — (1) -.01 Consumer: Home equity lines and loans — — — — Recreational finance 26 .71 34 .98 Automobile 5 .36 6 .49 Other 23 3.85 24 4.14 Total $ 80 .23 % $ 105 .31 % Six Months Ended June 30, 2026 June 30, 2025 (Dollars in millions) Net Charge-Offs (Recoveries) Annualized Percent of Average Loans Net Charge-Offs (Recoveries) Annualized Percent of Average Loans Commercial and industrial $ 45 .14 % $ 67 .22 % Real estate: Commercial 23 .23 40 .40 Residential builder and developer — — — — Other commercial construction — — 2 .08 Residential (1) -.01 — — Consumer: Home equity lines and loans — — (1) -.04 Recreational finance 60 .85 52 .80 Automobile 11 .42 10 .39 Other 47 3.99 52 4.76 Total $ 185 .27 % $ 222 .33 % - 58 - Asset quality A summary of nonperforming assets and certain past due loan data and credit quality ratios is presented in the accompanying table. NONPERFORMING ASSET AND PAST DUE LOAN DATA (Dollars in millions) June 30, 2026 March 31, 2026 December 31, 2025 June 30, 2025 Nonaccrual loans $ 1,208 $ 1,240 $ 1,252 $ 1,573 Real estate and other foreclosed assets 23 27 35 30 Total nonperforming assets $ 1,231 $ 1,267 $ 1,287 $ 1,603 Accruing loans past due 90 days or more $ 603 $ 646 $ 561 $ 496 Government-guaranteed loans included in totals above: Nonaccrual loans 78 85 83 75 Accruing loans past due 90 days or more (a) 586 634 543 450 Loans 30-89 days past due 1,450 1,334 1,753 1,368 Nonaccrual loans as a percent of total loans .84 % .89 % .90 % 1.16 % Nonperforming assets as a percent of total loans and real estate and other foreclosed assets .86 .91 .93 1.18 Accruing loans past due 90 days or more as a percent of total loans .42 .46 .40 .36 Loans 30-89 days past due as a percent of total loans 1.01 .95 1.26 1.00 __________________________________________________________________________________ (a)Primarily government-guaranteed residential real estate loans. Nonaccrual loans at June 30, 2026 decreased modestly from March 31, 2026 and $365 million from June 30, 2025, primarily driven by a $217 million reduction in commercial and industrial nonaccrual loans and a $148 million reduction in commercial real estate nonaccrual loans. Approximately 56% of nonaccrual commercial and industrial and commercial real estate loans were considered current with respect to their payment status at June 30, 2026. Government-guaranteed loans designated as accruing loans past due 90 days or more included one-to-four family residential mortgage loans serviced by the Company that were repurchased to reduce associated servicing costs, including a requirement to advance principal and interest payments that had not been received from individual mortgagors. Despite the loans being purchased by the Company, the insurance or guarantee by the applicable government-related entity remains in force. The outstanding principal balances of the repurchased loans that are guaranteed by government-related entities included in accruing loans past due 90 days or more totaled $489 million at June 30, 2026, $537 million at March 31, 2026, $459 million at December 31, 2025 and $377 million at June 30, 2025. Accruing loans past due 90 days or more not guaranteed by government-related entities were loans considered to be with creditworthy borrowers that were in the process of collection or renewal. Additional information about past due and nonaccrual loans is included in note 4 of Notes to Financial Statements. The Company utilizes a loan grading system to differentiate risk amongst its commercial and industrial loans and commercial real estate loans. Loans with a lower expectation of default are assigned one of ten possible "pass" loan grades while specific loans determined to have an elevated level of credit risk are designated as "criticized." A criticized loan may be designated as "nonaccrual" if the Company no longer expects to collect all amounts owed under the terms of the loan agreement or the loan is delinquent 90 days or more. Targeted reviews are periodically performed over segments of loan portfolios that may be experiencing heightened credit risk due to current or anticipated economic conditions. The intention of such reviews is to identify trends across such portfolios and inform portfolio risk limits and loss mitigation strategies. In the recent quarter, the Company continued to monitor commercial borrowers in certain industry sectors that may be affected by higher energy and transportation costs, international trade policy changes, such as tariffs, including retail and wholesale trade, manufacturing, packaging and engineering companies. The Company has considered the information gathered in such reviews in the assignment of loan grades. - 59 - The Company continues to monitor its commercial real estate loan portfolio. The primary source of repayment of these loans is typically tenant lease payments to the investor/borrower. Elevated vacancies impacting some property types have contributed to lower current and anticipated future debt service coverage ratios, which have and may continue to influence the ability of borrowers to make existing loan payments. Lower debt service coverage ratios and reduced commercial real estate values also impact the ability of borrowers to refinance their obligations at loan maturity. Despite these challenges, the ability of borrowers to service loans secured by investor-owned real estate has generally improved in recent quarters. The LTV ratio is one of many factors considered in assessing overall portfolio risks and loss mitigation strategies for the investor-owned commercial real estate portfolio. In determining the LTV ratio, the Company considers cross-collateralization of all exposures secured by the supporting collateral and the estimated value of such collateral. Subsequent to the origination of commercial real estate loans, updated appraisals are obtained in the normal course of business for renewals, extensions and modifications to commitment levels. As the quality of a loan deteriorates to the point of designating the loan as "criticized nonaccrual," the process of obtaining updated collateral valuation information is usually initiated, unless it is not considered warranted given factors such as the relative size of the loan or the age of the last valuation. In those cases where current appraisals may not yet be available, prior appraisals are utilized with adjustments, as deemed necessary, for estimates of subsequent declines in values as determined by line of business and/or loan workout personnel. Those adjustments are reviewed and assessed for reasonableness by the Company’s credit risk personnel. Accordingly, for real estate collateral securing larger nonaccrual commercial and industrial loans and commercial real estate loans, estimated collateral values are generally based on current estimates of value. The Company monitors its concentration of commercial real estate lending as a percent of its Tier 1 capital plus its allowable allowance for credit losses, consistent with a metric utilized to differentiate such concentrations amongst regulated financial institutions. This metric, as prescribed in supervisory guidance, excludes loans secured by commercial real estate considered to be owner-occupied, but includes certain other loans, such as loans to real estate investment trusts, that are classified as commercial and industrial loans. The Company's commercial real estate loan concentration approximated 134% of Tier 1 capital plus its allowable allowance for credit losses at June 30, 2026, compared with 124% at December 31, 2025 and 129% at June 30, 2025. The Company executed various strategies to reduce the amount of criticized loans in this category throughout 2025. The accompanying tables summarize the outstanding balances, and associated criticized balances, of commercial and industrial loans by industry and commercial real estate loans by property type, respectively, at June 30, 2026 and December 31, 2025. - 60 - CRITICIZED COMMERCIAL AND INDUSTRIAL LOANS June 30, 2026 December 31, 2025 (Dollars in millions) Outstanding Criticized Accrual Criticized Nonaccrual Total Criticized Outstanding Criticized Accrual Criticized Nonaccrual Total Criticized Commercial and industrial excluding owner-occupied real estate by industry: Financial and insurance $ 13,852 $ 87 $ 7 $ 94 $ 12,794 $ 200 $ 4 $ 204 Services 8,559 264 60 324 7,910 271 74 345 Motor vehicle and recreational finance dealers 6,972 437 5 442 7,191 541 10 551 Manufacturing 6,407 352 67 419 6,112 344 52 396 Wholesale 4,343 227 37 264 4,386 276 57 333 Transportation, communications, utilities 4,208 140 59 199 3,890 196 51 247 Retail 3,330 273 70 343 3,098 213 25 238 Construction 2,450 169 35 204 2,265 211 39 250 Health services 1,712 41 23 64 1,822 56 35 91 Real estate investors 1,526 180 5 185 1,579 202 6 208 Other 1,400 100 79 179 1,303 110 41 151 Total commercial and industrial excluding owner-occupied real estate 54,759 2,270 447 2,717 52,350 2,620 394 3,014 Owner-occupied real estate by industry: Services 2,362 91 33 124 2,368 84 32 116 Motor vehicle and recreational finance dealers 2,180 136 1 137 2,234 164 1 165 Retail 1,926 73 14 87 1,893 24 15 39 Health services 1,464 54 20 74 1,268 122 47 169 Wholesale 1,035 45 21 66 978 95 3 98 Manufacturing 712 43 8 51 791 79 12 91 Real estate investors 607 42 12 54 616 31 8 39 Other 1,098 64 14 78 1,050 58 15 73 Total owner-occupied real estate 11,384 548 123 671 11,198 657 133 790 Total $ 66,143 $ 2,818 $ 570 $ 3,388 $ 63,548 $ 3,277 $ 527 $ 3,804 Criticized loans as a percent of total commercial and industrial loans 5.1 % 6.0 % CRITICIZED COMMERCIAL REAL ESTATE LOANS June 30, 2026 December 31, 2025 (Dollars in millions) Outstanding Criticized Accrual Criticized Nonaccrual Total Criticized Outstanding Criticized Accrual Criticized Nonaccrual Total Criticized Permanent finance by property type: Apartments/Multifamily $ 7,124 $ 135 $ 25 $ 160 $ 6,837 $ 431 $ 45 $ 476 Retail/Service 4,259 395 46 441 4,164 546 70 616 Industrial/Warehouse 3,276 100 1 101 2,297 77 8 85 Office 3,147 633 104 737 3,423 644 121 765 Hotel 1,665 197 18 215 1,743 173 19 192 Health services 1,583 91 21 112 1,548 150 56 206 Other 180 19 1 20 180 20 1 21 Total permanent 21,234 1,570 216 1,786 20,192 2,041 320 2,361 Construction/Development 3,258 642 36 678 3,627 1,080 13 1,093 Total $ 24,492 $ 2,212 $ 252 $ 2,464 $ 23,819 $ 3,121 $ 333 $ 3,454 Criticized loans as a percent of total commercial real estate loans 10.1 % 14.5 % Commercial real estate loans weighted-average LTV ratio 56 56 Commercial real estate criticized loans weighted-average LTV ratio 65 67 - 61 - The $416 million reduction in commercial and industrial criticized loans from December 31, 2025 to June 30, 2026 spanned most industry types. The $990 million decline in commercial real estate criticized loans from December 31, 2025 to June 30, 2026 predominantly reflected a decline in criticized construction and development loans and permanent loans secured by multifamily and retail properties. At June 30, 2026, approximately 94% of criticized accrual loans and 56% of criticized nonaccrual loans were considered current with respect to their payment status. For loans secured by residential real estate the Company’s loss identification and estimation techniques make reference to loan performance and house price data in specific areas of the country where collateral securing those loans is located. For loans secured by residential real estate, including home equity loans and lines of credit, the excess of the loan balance over the net realizable value of the property collateralizing the loan is charged-off when the loan becomes 150 days delinquent. Information about the location of nonaccrual loans secured by residential real estate at June 30, 2026 and December 31, 2025 is presented in the following table. NONACCRUAL LOANS SECURED BY RESIDENTIAL REAL ESTATE June 30, 2026 December 31, 2025 Nonaccrual Nonaccrual (Dollars in millions) Outstanding Balances Balances Percent of Outstanding Balances Outstanding Balances Balances Percent of Outstanding Balances Residential mortgage loans (a): New York $ 6,779 $ 101 1.48 % $ 6,904 $ 109 1.59 % Mid-Atlantic 8,161 82 1.00 7,874 86 1.09 New England 6,820 46 .68 6,613 39 .59 Other 3,624 33 .92 3,483 30 .87 Total $ 25,384 $ 262 1.03 % $ 24,874 $ 264 1.06 % First lien home equity loans and lines of credit: New York $ 739 $ 15 1.98 % $ 740 $ 14 1.96 % Mid-Atlantic 872 15 1.65 875 17 1.92 New England 445 4 .92 426 4 .95 Other 20 — 1.61 20 3 13.94 Total $ 2,076 $ 34 1.61 % $ 2,061 $ 38 1.85 % Junior lien home equity loans and lines of credit: New York $ 937 $ 19 2.02 % $ 920 $ 19 2.03 % Mid-Atlantic 1,152 18 1.54 1,120 19 1.70 New England 697 6 .90 675 6 .88 Other 29 — .99 31 — 1.20 Total $ 2,815 $ 43 1.53 % $ 2,746 $ 44 1.60 % __________________________________________________________________________________ (a)Includes $625 million and $673 million of limited documentation first lien mortgage loans with nonaccrual loan balances totaling $41 million and $50 million at June 30, 2026 and December 31, 2025, respectively. Factors that influence the Company’s credit loss experience include overall economic conditions affecting businesses and consumers, generally, but also residential and commercial real estate valuations, in particular, given the size of the Company’s real estate loan portfolios. Commercial real estate valuations can be highly subjective, as they are based upon many assumptions. Such valuations can be significantly affected over relatively short periods of time by changes in business climate, economic conditions, interest rates and, in many cases, the results of operations of businesses and other occupants of the real property. Similarly, residential real estate valuations can be impacted by housing trends, the availability of financing at reasonable interest rates and general economic conditions affecting consumers. - 62 - Consumer loans not secured by residential real estate are generally charged-off when the loans are 91 to 180 days past due, depending on whether the loan is collateralized and the status of repossession activities with respect to such collateral. The Company primarily originates recreational finance loans and automobile loans indirectly through dealerships across the U.S. At June 30, 2026, the percent of recreational finance loans and automobile loans with FICO scores of 700 or greater at origination date was 99% and 84%, respectively. A comparative summary of nonaccrual consumer loan balances and the respective percent of outstanding balances of each consumer loan product at June 30, 2026 and December 31, 2025 is presented in the following table. NONACCRUAL CONSUMER LOANS June 30, 2026 December 31, 2025 (Dollars in millions) Nonaccrual Loans Percent of Outstanding Balances Nonaccrual Loans Percent of Outstanding Balances Home equity lines and loans $ 77 1.57 % $ 82 1.71 % Recreational finance 33 .22 30 .21 Automobile 10 .21 11 .21 Other 4 .18 5 .19 Total $ 124 .46 % $ 128 .48 % Allowance for loan losses Management determines the allowance for loan losses under accounting guidance that requires estimating the amount of current expected credit losses over the remaining contractual term of the loan portfolio. A description of the methodologies used by the Company to estimate its allowance for loan losses can be found in note 4 of Notes to Financial Statements. At the time of the Company’s analysis regarding the determination of the allowance for loan losses as of June 30, 2026 uncertainties existed about the impact of inflationary pressures and potential increases in unemployment on the discretionary income and purchasing power of consumers, which could impact their ability to service existing debt obligations; the volatile nature of global markets and international economic conditions that could impact the U.S. economy, including the effect of international trade policies and recent military conflicts on domestic businesses and consumers; uncertainty related to Federal Reserve positioning of monetary policy and the potential impacts on future economic growth; shifts in immigration policies and enforcement; changes to government funding and reductions in the federal workforce; downward pressures on commercial real estate values, including office properties, and the impacts on the ability of commercial borrowers to refinance maturing debt obligations; and the extent to which borrowers may be negatively affected by general economic conditions. In establishing the allowance for loan losses, the Company estimates losses attributable to specific troubled credits identified through both normal and targeted credit review processes and also estimates losses for other loans with similar risk characteristics on a collective basis, generally through the use of statistically developed credit models, which are required to achieve a satisfactory independent validation by the Company's Model Risk Management Department, or other quantitative methodologies. In determining the allowance for loan losses, the Company may adjust forecasted loss estimates for inherent limitations or biases in the models as well as for other factors that may not be adequately considered in its quantitative methodologies including the impact of portfolio concentrations, imprecision in economic forecasts, geopolitical conditions and other risk factors that influence the loss estimation process. At each of June 30, 2026, March 31, 2026 and December 31, 2025, the Company qualitatively adjusted credit loss estimates for inherent limitations in the ability to assess real-time changes in commercial borrower performance and for environmental influences affecting certain loan portfolios. Qualitative adjustments at June 30, 2026 and December 31, 2025, primarily related to portfolio exposures to certain commercial and industrial borrowers, commercial real estate loans and consumer loans, were generally similar although such qualitative adjustments at March 31, 2026 were elevated reflective of the potential negative impact of global conflicts on economic forecasts utilized at that date. - 63 - Forward-looking estimates of certain macroeconomic variables are determined by the M&T Scenario Review Committee, which is comprised of senior management business leaders and economists. The weighted-average of macroeconomic assumptions utilized as of June 30, 2026, March 31, 2026 and December 31, 2025 are presented in the following table and were based on information available at or near the time the Company was preparing its estimate of expected credit losses as of those dates. ALLOWANCE FOR LOAN LOSSES MACROECONOMIC ASSUMPTIONS June 30, 2026 March 31, 2026 December 31, 2025 Year 1 Year 2 Cumulative Year 1 Year 2 Cumulative Year 1 Year 2 Cumulative National unemployment rate 4.8 % 5.1 % 4.9 % 5.1 % 5.0 % 5.2 % Real GDP growth rate 1.3 1.9 3.2 % 1.4 1.7 3.1 % 1.6 1.8 3.4 % Commercial real estate price index growth/decline rate -.6 1.7 1.3 -2.7 .7 -1.8 -2.8 1.0 -1.6 Home price index growth rate .2 3.0 3.2 .4 3.0 3.4 .2 2.7 2.9 With respect to economic forecasts, the Company assessed the likelihood of alternative economic scenarios during the two-year reasonable and supportable forecast period. Generally, an increase in unemployment rate or a decrease in any of the rate of change in GDP, commercial real estate prices or home prices could have an adverse impact on expected credit losses and may result in an increase to the allowance for loan losses. Forward-looking economic forecasts are subject to inherent imprecision and future outcomes may differ materially from forecasted events. In consideration of such uncertainty, the alternative economic scenarios shown in the following table were considered to estimate the possible impact on modeled credit losses. ALLOWANCE FOR LOAN LOSSES SENSITIVITIES June 30, 2026 Year 1 Year 2 Cumulative Potential downside economic scenario: National unemployment rate 7.0 % 8.3 % Real GDP growth/decline rate -2.5 1.4 -1.1 % Commercial real estate price index decline rate -12.9 -5.6 -17.8 Home price index growth/decline rate -9.1 2.8 -6.5 Potential upside economic scenario: National unemployment rate 3.7 3.7 Real GDP growth rate 3.2 2.3 5.6 Commercial real estate price index growth rate 4.5 5.0 9.7 Home price index growth rate 4.9 4.9 10.0 (Dollars in millions) Impact to Modeled Credit Losses Increase (Decrease) Potential downside economic scenario $ 252 Potential upside economic scenario (108) These examples are only a few of the numerous possible economic scenarios that could be utilized in assessing the sensitivity of expected credit losses. The estimated impacts on credit losses in such scenarios pertain only to modeled credit losses and do not include consideration of other factors the Company may evaluate when determining its allowance for loan losses. As a result, it is possible that the Company may, at another point in time, reach different conclusions regarding credit loss estimates. The Company’s process for determining the allowance for loan losses undergoes quarterly and periodic evaluations by independent risk management personnel, which among many other considerations, evaluate the reasonableness of management’s methodology and significant assumptions. - 64 - A comparative summary of the Company's allowance for loan losses by loan type and the reserve for unfunded credit commitments is presented in the following table. ALLOWANCE FOR LOAN LOSSES AND RESERVE FOR UNFUNDED CREDIT COMMITMENTS (Dollars in millions) June 30, 2026 March 31, 2026 December 31, 2025 Allowance for loan losses: Commercial and industrial $ 832 $ 817 $ 771 Real estate - commercial (a) 408 421 472 Real estate - residential 100 99 100 Consumer 836 799 773 Total $ 2,176 $ 2,136 $ 2,116 Allowance for loan losses as a percent of loans: Commercial and industrial 1.26 % 1.25 % 1.21 % Real estate - commercial (a) 1.67 1.80 1.98 Real estate - residential .39 .40 .40 Consumer 3.08 3.03 2.92 Total 1.52 1.53 1.53 Allowance for loan losses as a percent of total nonaccrual loans (b) 180 172 169 Reserve for unfunded credit commitments (c) $ 95 $ 95 $ 80 __________________________________________________________________________________ (a)Included in the allowance for loan losses were reserves allocated as a percent of commercial real estate loans secured by office properties of 3.91% at June 30, 2026, 4.54% at March 31, 2026 and 4.65% at December 31, 2025. (b)Given the Company’s general position as a secured lender and its practice of charging off loan balances when collection is deemed doubtful, this ratio and changes in the ratio are generally not an indicative measure of the adequacy of the Company’s allowance for loan losses, nor does management rely upon this ratio in assessing the adequacy of the Company’s allowance for loan losses. (c)Included in Accrued interest and other liabilities in the Consolidated Balance Sheet. Management has assessed that the allowance for loan losses at June 30, 2026 appropriately reflected expected credit losses in the portfolio as of that date. The lower ratio of the allowance for loan losses as a percent of total loans outstanding at June 30, 2026 as compared with March 31, 2026 and December 31, 2025 reflects lower levels of criticized commercial and industrial loans and commercial real estate loans, partially offset by loan growth. The level of the allowance reflects management’s evaluation of the loan portfolio as of each respective date using the methodology and considering the factors as described herein. Should the various economic forecasts and credit factors considered by management in establishing the allowance for loan losses change and should management’s assessment of losses in the loan portfolio also change, the level of the allowance as a percent of loans could increase or decrease in future periods. - 65 - Other Income The components of other income are presented in the accompanying table. OTHER INCOME Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Mortgage banking revenues $ 127 $ 127 $ — — % $ 254 $ 248 $ 6 2 % Service charges on deposit accounts 144 139 5 4 283 270 13 5 Trust income 197 183 14 8 380 359 21 6 Brokerage services income 35 35 — 2 70 63 7 11 Trading account and other non-hedging derivative gains 22 14 8 61 36 21 15 74 Gain (loss) on bank investment securities 2 4 (2) -57 6 — 6 — Other revenues from operations 213 187 26 14 400 333 67 20 Total other income $ 740 $ 689 $ 51 8 % $ 1,429 $ 1,294 $ 135 10 % Mortgage banking revenues Mortgage banking revenues are comprised of both residential and commercial mortgage banking activities, which consist of realized gains and losses from sales of real estate loans and loan servicing rights, unrealized gains and losses on real estate loans held for sale and related commitments, real estate loan servicing fees, and other real estate loan related fees and income. The Company's involvement in commercial mortgage banking activities includes the origination, sales and servicing of loans under the multifamily loan programs of Fannie Mae, Freddie Mac and the U.S. Department of Housing and Urban Development. RESIDENTIAL MORTGAGE BANKING ACTIVITIES Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Residential mortgage banking revenues Gains on loans originated for sale $ 7 $ 8 $ (1) -9 % $ 15 $ 14 $ 1 5 % Loan servicing: Loan servicing fees 33 32 1 2 65 70 (5) -6 Changes in fair value of mortgage loan servicing right assets, net of hedging activities (11) (13) 2 15 (24) — (24) — Loan sub-servicing and other fees 67 62 5 9 129 95 34 35 Total loan servicing 89 81 8 10 170 165 5 3 Total residential mortgage banking revenues $ 96 $ 89 $ 7 8 % $ 185 $ 179 $ 6 3 % New commitments to originate loans for sale $ 411 $ 400 $ 11 3 % $ 811 $ 612 $ 199 33 % (Dollars in millions) June 30, 2026 March 31, 2026 December 31, 2025 June 30, 2025 Balances at period end Loans held for sale $ 256 $ 327 $ 441 $ 222 Commitments to originate loans for sale 258 222 224 248 Commitments to sell loans 467 544 645 407 Capitalized mortgage loan servicing assets 540 542 287 326 Loans serviced for others 35,253 35,586 35,873 36,952 Loans sub-serviced for others (a) 183,599 123,968 156,938 157,608 Total loans serviced for others $ 218,852 $ 159,554 $ 192,811 $ 194,560 __________________________________________________________________________________ (a)The contractual servicing rights associated with residential mortgage loans sub-serviced by the Company were primarily held by affiliates of BLG. Information about the Company’s relationship with BLG and its affiliates is included in note 16 of Notes to Financial Statements. - 66 - Effective January 1, 2026, the Company elected to prospectively measure its residential mortgage loan servicing right assets at fair value with changes in fair value reflected in mortgage banking revenues. As a result, fair value changes in the mortgage loan servicing right assets, inclusive of the realization of expected net servicing revenues over time, are included in mortgage banking revenues. On December 31, 2025, the Company began economically hedging the risk of fair value changes in these assets through the use of various interest rate and other derivative contracts, for which changes in fair value are also reflected in mortgage banking revenues. In February 2025 and June 2026 the Company began sub-servicing $51.7 billion and $62.9 billion, respectively, of additional residential mortgage loans with contractual servicing rights held by Bayview Financial. In March 2026, servicing functions for $30.1 billion of residential mortgage loans were returned to Bayview Financial as contractual holder of those servicing rights. The higher residential mortgage banking revenues for the three and six months ended June 30, 2026 as compared with the first quarter of 2026 and six months ended June 30, 2025, respectively, reflect increased sub-servicing revenues due to the net addition of sub-serviced loans. Partially offsetting the increase in residential mortgage banking revenues in the first half of 2026 as compared with the similar 2025 period was the impact of the Company's accounting election described herein. COMMERCIAL MORTGAGE BANKING ACTIVITIES Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Commercial mortgage banking revenues Gains on loans originated for sale $ 13 $ 18 $ (5) -28 % $ 31 $ 30 $ 1 3 % Loan servicing fees and other 18 20 (2) -11 38 39 (1) — Total commercial mortgage banking revenues $ 31 $ 38 $ (7) -19 % $ 69 $ 69 $ — 1 % Loans originated for sale to other investors $ 746 $ 1,135 $ (389) -34 % $ 1,881 $ 2,087 $ (206) -10 % (Dollars in millions) June 30, 2026 March 31, 2026 December 31, 2025 June 30, 2025 Balances at period end Loans held for sale $ 259 $ 359 $ 484 $ 361 Commitments to originate loans for sale 485 529 773 659 Commitments to sell loans 740 903 1,253 1,017 Capitalized mortgage loan servicing assets 136 138 132 124 Loans serviced for others (a) 31,368 30,934 30,309 28,416 Loans sub-serviced for others 4,072 4,194 4,231 4,209 Total loans serviced for others $ 35,440 $ 35,128 $ 34,540 $ 32,625 __________________________________________________________________________________ (a)Includes $4.7 billion of loan balances at each of June 30, 2026 and March 31, 2026 and $4.6 billion and $4.3 billion at December 31, 2025 and June 30, 2025, respectively, for which investors had recourse to the Company if such balances are ultimately uncollectable. The lower gains on commercial mortgage loans originated for sale in the recent quarter as compared with the first quarter of 2026 reflects decreased volume of new commitments to originate commercial real estate loans for sale. Service charges on deposit accounts Service charges on deposit accounts increased $5 million in the recent quarter as compared with the first quarter of 2026 reflecting higher consumer service charges. Service charges on deposit accounts for the first six months of 2026 increased $13 million as compared with the first six months of 2025 reflecting higher commercial service charges that resulted from pricing changes and increased customer usage of sweep products, and higher consumer service charges. - 67 - Trust income Trust income primarily includes revenues from two significant businesses managed within the Company's Institutional Services and Wealth Management segment. The Institutional Services business provides a variety of trustee, agency, investment management and administrative services for corporations and institutions, investment bankers, corporate tax, finance and legal executives, and other institutional clients who: (i) use capital markets financing structures; (ii) use independent trustees to hold assets; and (iii) need investment and cash management services. The Wealth Management business offers personal trust, planning and advisory, fiduciary, asset management, family office and other services designed to help high net worth individuals and families grow, preserve and transfer wealth. TRUST INCOME AND ASSETS UNDER MANAGEMENT Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Trust income Institutional Services $ 104 $ 96 $ 8 8 % $ 200 $ 190 $ 10 5 % Wealth Management 92 86 6 8 178 167 11 6 Commercial 1 1 — -4 2 2 — 12 Total trust income $ 197 $ 183 $ 14 8 % $ 380 $ 359 $ 21 6 % (Dollars in millions) June 30, 2026 March 31, 2026 December 31, 2025 June 30, 2025 Assets under management at period end Trust assets under management (excluding proprietary funds) (a) $ 84,705 $ 68,298 $ 68,104 $ 66,199 Proprietary mutual funds 15,216 16,169 16,075 14,543 Total assets under management $ 99,921 $ 84,467 $ 84,179 $ 80,742 __________________________________________________________________________________ (a)The increase in trust assets under management from March 31, 2026 to June 30, 2026 predominantly reflects managed assets related to a single customer construction project. Trust income increased $14 million in the recent quarter as compared with the first quarter of 2026. Institutional Services trust income increased $8 million reflecting higher sales and fund management fees and Wealth Management trust income rose $6 million reflecting annual tax service fees received in the recent quarter and comparatively favorable market performance associated with managed assets. For the six months ended June 30, 2026 trust income increased $21 million as compared with the similar 2025 period. Institutional Services trust income rose $10 million reflecting higher sales and fund management fees and Wealth Management trust income increased $11 million reflecting comparatively higher assets under management and favorable market performance associated with those assets. Trading account and other non-hedging derivative gains The Company enters into interest rate swap agreements and foreign exchange contracts with customers who need such services and concomitantly enters into offsetting trading positions with third parties to minimize the risks involved with these types of transactions. Information about the notional amount of interest rate, foreign exchange and other non-hedging contracts entered into by the Company is included in note 11 of Notes to Financial Statements and herein under the heading "Market Risk and Interest Rate Sensitivity." The $8 million and $15 million increase in trading account and other non-hedging derivative gains in the three and six months ended June 30, 2026 as compared with the first quarter of 2026 and first half of 2025, respectively, reflects higher revenues from interest rate swap transactions with commercial customers. - 68 - Other revenues from operations The components of other revenues from operations are presented in the accompanying table. OTHER REVENUES FROM OPERATIONS Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Letter of credit and other credit-related fees $ 55 $ 54 $ 1 — % $ 109 $ 107 $ 2 2 % Merchant discount and credit card fees 47 41 6 17 88 89 (1) -2 Bank owned life insurance revenue 20 18 2 5 38 35 3 8 Equipment operating lease income 11 11 — 1 22 25 (3) -12 BLG income (a) 47 33 14 43 80 — 80 — Other 33 30 3 11 63 77 (14) -17 Total other revenues from operations $ 213 $ 187 $ 26 14 % $ 400 $ 333 $ 67 20 % __________________________________________________________________________________ (a)During 2017, the operating losses of BLG resulted in M&T reducing the carrying value of its investment in BLG to zero. Subsequently, M&T has received cash distributions from BLG each year that resulted in the recognition of income by M&T. M&T expects cash distributions from BLG in the future, but the timing and amount of those distributions are not within M&T's control. BLG is entitled to receive distributions from its affiliates that provide asset management and other services that are available for distribution to M&T. Information about the Company’s relationship with BLG and its affiliates is included in note 16 of Notes to Financial Statements. Other revenues from operations increased $26 million in the second quarter of 2026 as compared with the first quarter of 2026 reflecting a $47 million distribution from M&T's investment in BLG in the recent quarter as compared with a $33 million distribution in the first quarter of 2026 and a rise in merchant discount and credit card fees. Higher other revenues from operations in the first half of 2026 as compared with the first six months of 2025 reflected $80 million in distributions received from M&T's investment in BLG in the first six months of 2026, partially offset by gains on the sales of an out-of-footprint residential builder and developer loan portfolio of $15 million and a subsidiary that specialized in institutional services of $10 million in the first half of 2025. Other Expense The components of other expense are presented in the accompanying table. OTHER EXPENSE Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Salaries and employee benefits $ 826 $ 914 $ (88) -10 % $ 1,740 $ 1,700 $ 40 2 % Equipment and net occupancy 129 133 (4) -2 262 262 — — Outside data processing and software 154 144 10 8 298 274 24 9 Professional and other services 89 93 (4) -5 182 170 12 7 FDIC assessments 18 23 (5) -27 41 45 (4) -10 Advertising and marketing 27 21 6 31 48 47 1 1 Amortization of core deposit and other intangible assets 7 9 (2) -26 16 22 (6) -27 Other costs of operations 99 101 (2) -2 200 231 (31) -13 Total other expense $ 1,349 $ 1,438 $ (89) -6 % $ 2,787 $ 2,751 $ 36 1 % Average full-time equivalent employees 21,686 21,990 (304) -1 % 21,815 22,316 (501) -2 % Full-time equivalent employees at period end 21,662 21,866 (204) -1 21,662 22,590 (928) -4 - 69 - Salaries and employee benefits Salaries and employee benefits expense decreased $88 million in the recent quarter as compared with the first quarter of 2026 reflecting seasonally higher stock-based compensation, payroll-related taxes and other employee benefits expense in the first quarter of 2026 and lower average staffing levels in the recent quarter, partially offset by the full-quarter impact of annual merit increases awarded in the first quarter of 2026 and an additional working day in the recent quarter. Salaries and employee benefits expense increased $40 million in the six months ended June 30, 2026 as compared with the year-earlier period reflecting higher salaries expense from annual merit and other increases and an increase in stock-based incentive compensation. Also contributing to the increase was higher employee benefits expense, reflecting a rise in medical benefits expense and retirement savings plan expense. A decline in average staffing levels partially offset those salaries and employee benefits expenses. Nonpersonnel expenses Nonpersonnel expenses of $523 million in the recent quarter declined nominally from $524 million in the first quarter of 2026 as lower FDIC assessments, professional and other services expense and equipment and net occupancy costs were largely offset by an increase in outside data processing and software expense related to enhancements to the Company's technology infrastructure, cybersecurity and financial recordkeeping and reporting systems. Nonpersonnel expenses aggregated $1.05 billion in each of the six months ended June 30, 2026 and 2025, declining nominally and reflecting lower other costs of operations of $31 million driven by amortization associated with residential mortgage loan servicing right assets of $51 million in the first half of 2025, partially offset by higher costs associated with the Company's supplemental executive retirement savings plan in the first six months of 2026 due to market performance. Largely offsetting the lower other costs of operations was a rise in outside data processing and software costs of $24 million reflecting enhancements to the Company's technology infrastructure, cybersecurity and financial recordkeeping and reporting systems, and higher professional and other services expense of $12 million, reflecting higher legal and review costs. Income Taxes The Company's effective income tax rate was 23.1% for each of the second quarter of 2026 and the six months ended June 30, 2026 compared with 23.0% for the first quarter of 2026 and 23.3% for the six months ended June 30, 2025. The Company's effective tax rate is affected by the level of income earned that is exempt from tax relative to the overall level of pre-tax income, the amount of income allocated to the various state and local jurisdictions where the Company operates, because tax rates differ among such jurisdictions, and the impact of any large discrete or infrequently occurring items. The Company’s effective tax rate in future periods may also be affected by any change in income tax laws or regulations and interpretations of income tax regulations that differ from the Company’s interpretations by any of the various tax authorities that may examine tax returns filed by M&T or any of its subsidiaries. Liquidity Risk As a financial intermediary, the Company is exposed to various risks, including liquidity and market risk. Liquidity refers to the Company’s ability to ensure that sufficient cash flow and liquid assets are available to satisfy current and future obligations, including demands for loans and deposit withdrawals, funding operating costs and other corporate purposes. Liquidity risk arises whenever the cash flows associated with financial instruments included in assets and liabilities differ. The most significant source of funding for the Company is core deposits, which are generated from a large base of consumer, corporate and institutional customers. That customer base has become more geographically diverse as a result of expansion of the Company’s businesses over time. Nevertheless, the Company faces competition in offering products and services from a large array of financial market participants, including banks, thrifts, mutual funds, securities dealers and others. Core deposits totaled $158.6 billion at June 30, 2026, up from $153.3 billion at December 31, 2025. The higher level of core deposits at June 30, 2026 reflects an increase in savings and interest- - 70 - checking deposits, inclusive of the redesignation of certain brokered deposit arrangements that totaled $4.0 billion at March 31, 2026 as core deposits consistent with regulatory presentation, and growth of noninterest-bearing deposits. The Company supplements funding provided through core deposits with various short-term and long-term wholesale borrowings, including overnight federal funds purchases, repurchase agreements, advances from the FHLBs, brokered deposits and longer-term borrowings. M&T Bank has access to additional funding sources through secured borrowings from the FHLB of New York and the FRB of New York. M&T Bank is also a counterparty to the FRB of New York standing repurchase agreement facility, which allows it to enter into overnight repurchase transactions using eligible investment securities. At June 30, 2026 and December 31, 2025, long-term borrowings aggregated $13.6 billion and $10.9 billion, respectively, and short-term borrowings aggregated $4.6 billion and $2.1 billion, respectively. The higher balance of short-term borrowings at June 30, 2026 reflects the Company's wholesale funding strategy and liquidity considerations. Information about the Company's borrowings is included in note 5 of Notes to Financial Statements. The Company's wholesale funding sources include the placement of brokered deposits. Such deposits were comprised of savings and interest-checking and time deposit accounts that totaled 4% of the Company's total deposit base at June 30, 2026, compared with 7% at December 31, 2025. The lower level of brokered deposits reflects the redesignation of certain savings and interest-checking deposit arrangements as core deposits consistent with regulatory presentation, partially offset by higher brokered time deposits. The Company actively adjusts its wholesale funding sources in consideration of the competitive landscape for customer deposits and maintenance of its liquidity profile. Total uninsured deposits were estimated to be $78.6 billion at June 30, 2026 and $78.9 billion at December 31, 2025. Approximately $9.6 billion and $9.0 billion of those uninsured deposits were collateralized by the Company at June 30, 2026 and December 31, 2025, respectively. The Company maintains available liquidity sources, which at June 30, 2026 represented approximately 124% of uninsured deposits that were not collateralized by the Company. In addition to deposits and borrowings, other sources of liquidity include maturities and repayments of investment securities, loans and other earning assets, as well as cash generated from operations, such as fees collected for services. The Company also has the ability to securitize or sell certain financial assets, including various loan types, to provide other liquidity alternatives. U.S. Treasury and government-issued or guaranteed mortgage-backed securities comprised 94% of the Company's debt securities portfolio at June 30, 2026. The weighted-average durations of debt investment securities available for sale and held to maturity at June 30, 2026 were 3.1 years and 4.6 years, respectively. The Company’s ability to obtain funding from these sources could be negatively impacted should the Company experience a substantial deterioration in its financial condition or its debt ratings or should the availability of funding become restricted due to a disruption in the financial markets. The Company attempts to quantify such risks by conducting scenario analyses that estimate the liquidity impact resulting from a debt ratings downgrade and other market events. Such impact is estimated by attempting to measure the effect on available unsecured lines of credit, available capacity from secured borrowing sources and securitizable assets. On May 12, 2026, Fitch upgraded its ratings of M&T Bank's long-term deposits from A+ to AA- and short-term deposits from F1 to F1+. The Company enters into contractual obligations in the normal course of business that require future cash payments. Such obligations include, among others, payments related to deposits, borrowings, leases and other contractual commitments. Off-balance sheet commitments to customers may impact liquidity, including commitments to extend credit, standby letters of credit, commercial letters of credit, financial guarantees and indemnification contracts and commitments to sell real estate loans. Because many of these commitments or contracts expire without being funded in whole or in part, the contract amounts are not necessarily indicative of future cash flows. Further discussion of these commitments is provided in note 14 of Notes to Financial Statements. M&T’s primary source of funds to pay for operating expenses, shareholder dividends and treasury stock repurchases has historically been the receipt of dividends from its bank subsidiaries, which are subject to various regulatory limitations. Dividends from any bank subsidiary to M&T are limited by the amount of earnings of the subsidiary in the current year and the two preceding years. For purposes of that test, at June 30, 2026 approximately $1.65 billion was available for payment of dividends to M&T from bank subsidiaries. M&T may also obtain funding through - 71 - long-term borrowings and the repayment of advances to subsidiaries. Further information about the long-term outstanding borrowings of M&T is provided in note 5 of Notes to Financial Statements. As a bank holding company, M&T is obligated to serve as a managerial and financial source of strength to its bank subsidiaries as described in Part I, Item 1, "Business" of M&T's 2025 Annual Report and may provide advances to those subsidiaries. As its ability to access the capital markets may be affected by market disruptions, M&T maintains sufficient resources at its parent company to satisfy projected cash outflows for an extended period without reliance on dividends from subsidiaries or external financing. As of June 30, 2026, M&T's parent company liquidity, inclusive of the projected repayment of notes receivable from bank subsidiaries, covered projected cash outflows for 29 months, including dividends on common and preferred stock, debt service and scheduled debt maturities. The Company's Executive ALCO Committee closely monitors the Company’s liquidity position on an ongoing basis for compliance with internal policies and regulatory expectations. As a Category IV institution, the Company adheres to enhanced liquidity standards which require the performance of internal liquidity stress testing. The stress testing is designed to ensure the Company has sufficient liquidity to withstand both institution-specific and market-wide stress scenarios. For each scenario, the Company applies liquidity stress which may include deposit run-off, increased draws on unfunded loan commitments, increased collateral need for margin calls, increased haircuts on investment security-based funding and reductions in unsecured and secured borrowing capacity. Stress scenarios are measured over various time frames ranging from overnight to twelve months. As required by regulation, the Company maintains a liquidity buffer comprised of cash and highly liquid unencumbered securities to cover a 30-day stress horizon. Liquidity stress events occurring over longer time horizons can be mitigated by the availability of secured funding sources at the FHLB of New York and FRB of New York. As described in Part I, Item 1, "Liquidity" of M&T's 2025 Annual Report, the Federal Reserve and other federal banking regulators established the LCR as a uniform measure to ensure banking organizations hold sufficient amounts of cash and unencumbered high-quality liquid assets to cover net cash outflows over a 30-day liquidity stress period. As a Category IV institution with less than a $50 billion balance of weighted short-term wholesale funding, M&T is not subject to the LCR. M&T, however, estimates that its LCR on June 30, 2026 was 106%, exceeding the regulatory minimum standards that would be applicable if it were a Category III institution subject to the Category III reduced LCR requirements. The table that follows is a summary of the Company's available sources of liquidity as of June 30, 2026 and December 31, 2025. AVAILABLE LIQUIDITY SOURCES (Dollars in millions) June 30, 2026 December 31, 2025 Deposits at the FRB of New York $ 15,408 $ 16,966 Unused secured borrowing facilities: FRB of New York 26,094 25,443 FHLB of New York 15,403 18,302 Unencumbered investment securities (after estimated haircuts) 28,633 27,241 Total $ 85,538 $ 87,952 Management continuously evaluates the use and mix of its various available funding alternatives, including short-term borrowings, issuances of long-term debt, the placement of brokered deposits and the securitization of certain loan products. Management does not anticipate engaging in any activities, either currently or in the long term, for which adequate funding would not be available and would therefore result in a significant strain on liquidity at either M&T or its subsidiary banks. In accordance with liquidity regulations, the Company maintains a contingency funding plan to facilitate on-going liquidity management in times of liquidity stress. The plan outlines various funding options available during a liquidity stress event and establishes a clear escalation protocol to be followed within the Company's Enterprise Risk Framework. The plan sets forth funding strategies and procedures that management can quickly leverage to assist in decision-making and specifies roles and responsibilities for departments impacted by a potential liquidity stress event. - 72 - Market Risk and Interest Rate Sensitivity Market risk is the risk of loss from adverse changes in the market prices and/or interest rates of the Company’s financial instruments. A primary market risk the Company is exposed to is interest rate risk. Interest rate risk arises from the Company’s core banking activities of lending and deposit-taking, because assets and liabilities reprice at different times and by different amounts as interest rates change. As a result, net interest income earned by the Company is subject to the effects of changing interest rates. The Company measures interest rate risk by calculating the variability of net interest income in future periods under various interest rate scenarios using projected balances for earning assets, interest-bearing liabilities and derivatives used to hedge interest rate risk. Management’s philosophy toward interest rate risk management is to limit the variability of net interest income. The Company’s Executive ALCO Committee monitors the sensitivity of the Company’s net interest income to changes in interest rates with the aid of a computer model that forecasts net interest income under different interest rate scenarios. In modeling changing interest rates, the Company considers different yield curve shapes that contemplate both parallel (that is, when interest rates at each point of the yield curve change by the same magnitude) and non-parallel (that is, allowing interest rates at points on the yield curve to change by different amounts) shifts in the yield curve. The Company also contemplates instantaneous and gradual shifts in the yield curve over the scenario time horizon. In utilizing the model, market-implied forward interest rates over the subsequent twelve months are generally used to determine a base interest rate scenario for the net interest income simulation. That calculated base net interest income is then compared with the income calculated under the varying interest rate scenarios. The model considers the impact of ongoing lending and deposit-gathering activities, as well as interrelationships in the magnitude and timing of the repricing of financial instruments, including the effect of changing interest rates on expected prepayments and maturities. Management has taken actions to mitigate exposure to interest rate risk through the use of on- and off-balance sheet financial instruments and intends to do so in the future. Possible actions include, but are not limited to, changes in the pricing of loan and deposit products, modifying the composition of earning assets and interest-bearing liabilities, and adding to, modifying or terminating existing interest rate swap agreements or other financial instruments used for interest rate risk management purposes. At June 30, 2026, the aggregate notional amount of interest rate swap agreements entered into for interest rate risk management purposes that were currently in effect was $22.1 billion. In addition, the Company has entered into $10.2 billion of forward-starting interest rate swap agreements designated for hedging purposes. Information about interest rate swap agreements entered into for interest rate risk management purposes is included herein under the heading “Taxable-equivalent Net Interest Income” and in note 11 of Notes to Financial Statements. The accompanying table as of June 30, 2026 and December 31, 2025 displays the estimated impact on projected net interest income in the base scenarios described above resulting from changes in market interest rates. The scenarios presented in the table below assume a gradual and parallel change in interest rates across repricing categories during the first modeling year. SENSITIVITY OF NET INTEREST INCOME TO CHANGES IN INTEREST RATES Calculated Percentage Change in Projected Net Interest Income June 30, 2026 December 31, 2025 Changes in interest rates +200 basis points -.64 % -.54 % +100 basis points -.18 -.12 -100 basis points .03 .04 -200 basis points -.12 -.27 - 73 - The Company utilized many assumptions to calculate the impact that changes in interest rates may have on net interest income. The more significant of those assumptions included the rate of prepayments of mortgage-related assets, cash flows from derivative and other financial instruments, loan and deposit volumes, mix and pricing, and deposit maturities. Variations in amounts presented since December 31, 2025 reflect changes in the composition of the Company's earning assets and interest-bearing liabilities, as well as the level of market-implied forward interest rates and hedging actions taken by the Company. M&T's cumulative upward deposit pricing beta, which is the change in deposit pricing in response to a change in market interest rates, approximated 55% amidst a rising interest rate environment from the first quarter of 2022 through the second quarter of 2024. Reflecting the first cuts of the federal funds target interest rate since March 2020, the FOMC decreased that rate by 100 basis points during the last four months of 2024 and by an additional 75 basis points during the last four months of 2025. M&T's cumulative downward deposit pricing beta beginning in the third quarter of 2024 through the second quarter of 2026 approximated 56%. The assumptions used in interest rate sensitivity modeling are inherently uncertain and, as a result, the Company cannot precisely predict the impact of changes in interest rates on net interest income. Actual results may differ significantly from those presented due to the timing, magnitude and frequency of changes in interest rates and changes in market conditions and interest rate differentials (spreads) between maturity/repricing categories, as well as any actions, such as those previously described, which management may take to counter such changes. Management also uses an EVE model to supplement the modeling technique described above and provide a long-term interest rate risk metric. EVE is a point-in-time analysis of the economic sensitivity of existing assets, liabilities and off-balance sheet positions that incorporates all cash flows over their estimated remaining lives. The EVE reflects the present value of cash flows from existing assets, liabilities and off-balance sheet financial instruments, but does not incorporate any assumptions for future originations, renewals or issuances. Management measures the impact of changes in market values due to interest rates under a number of scenarios, including immediate shifts of the yield curve. The percentage impact to the EVE resulting from a 100 basis-point increase and a 100 basis-point decrease in market interest rates was -2.0% and -0.5%, respectively, at June 30, 2026, and -5.1% and 2.2%, respectively, at December 31, 2025. The reduced EVE sensitivity at June 30, 2026 reflects the incorporation of updated data into the EVE model and other refinements in the recent quarter. In addition to the effect of interest rates, changes in fair value of the Company’s financial instruments can also result from a lack of trading activity for similar instruments in the financial markets. Information about the fair valuation of financial instruments is presented in note 13 of Notes to Financial Statements. The Company enters into interest rate and foreign exchange contracts to meet the financial needs of customers that it includes in its consolidated financial statements as other non-hedging derivatives within other assets and other liabilities. Financial instruments utilized for such activities consist primarily of interest rate swap agreements and forward and futures contracts related to foreign currencies. The Company generally mitigates the interest rate and foreign currency risk associated with customer activities by entering into offsetting positions with third parties that are also included in other assets and other liabilities. The fair values of non-hedging derivative positions associated with interest rate contracts and foreign currency and other option and futures contracts are presented in note 11 of Notes to Financial Statements. As with any non-government guaranteed financial instrument, the Company is exposed to credit risk associated with counterparties to its non-hedging derivative activities. Although the notional amounts of these contracts are not recorded in the Consolidated Balance Sheet, the unsettled fair values of such financial instruments are recorded in the Consolidated Balance Sheet. The fair values of such non-hedging derivative assets and liabilities recognized in the Consolidated Balance Sheet were $218 million and $476 million, respectively, at June 30, 2026 and $190 million and $409 million, respectively, at December 31, 2025. The amounts recorded in the Consolidated Balance Sheet associated with the Company's non-hedging derivative activities at June 30, 2026 and December 31, 2025 predominantly reflect changes in values associated with interest rate swap agreements entered into with commercial customers and financial institutions that are not subject to periodic variation margin settlement payments. Given the Company's policies and positions, management believes that the potential loss exposure to the Company resulting from market risk associated with other non-hedging derivative activities was not material at June 30, 2026, however, as previously noted, the Company is exposed to credit risk associated with counterparties to such activities. Information about the Company’s use of derivative financial instruments is included in note 11 of Notes to Financial Statements. - 74 - Capital The following table presents components related to shareholders' equity and dividends. SHAREHOLDERS' EQUITY, DIVIDENDS AND SELECT RATIOS (Dollars in millions, except per share) June 30, 2026 December 31, 2025 June 30, 2025 Preferred stock $ 2,434 $ 2,834 $ 2,394 Common shareholders' equity 25,512 26,343 26,131 Total shareholders' equity $ 27,946 $ 29,177 $ 28,525 Per share: Common shareholders’ equity $ 176.03 $ 173.49 $ 166.94 Tangible common shareholders’ equity (a) 117.41 117.45 112.48 Ratios: Total shareholders' equity to total assets 12.75 % 13.67 % 13.48 % Common shareholders' equity to total assets 11.64 12.34 12.35 Tangible common shareholders' equity to tangible assets (a) 8.07 8.70 8.67 Cash dividends declared for quarter ended: Common stock (b) $ 220 $ 230 $ 214 Common stock per share 1.50 1.50 1.35 Preferred stock (b) 35 39 35 __________________________________________________________________________________ (a)Reconciliations of total common shareholders’ equity and tangible common equity and total assets and tangible assets as of each of those dates are presented in Table 2. (b)Cash dividends on common stock were $443 million and $436 million and preferred stock dividends were $78 million and $71 million for the six months ended June 30, 2026 and 2025, respectively. On March 30, 2026, M&T's Board of Directors authorized a program under which $5.0 billion of common shares may be repurchased. That authorization replaced and terminated the previous authorized share repurchase program effective as of the same date. M&T repurchased 2.1 million shares of its common stock in the recent quarter at a total cost of $465 million and 5.5 million shares of its common stock at a total cost of $1.25 billion in the first quarter of 2026. During the first six months of 2026 and 2025, M&T repurchased 7.6 million and 9.5 million shares of its common stock at a total cost of $1.71 billion and $1.74 billion, respectively. Discretion as to the amount and timing of authorized share repurchases in a given period has been delegated, through the authorization of the Board of Directors, to management and can be influenced by capital and liquidity requirements, including funding of future loan growth and other balance sheet management activities, as well as market and economic conditions. On February 1, 2026, M&T redeemed all 40,000 outstanding shares of its Perpetual Fixed Rate Reset Non-cumulative Preferred Stock, Series G, for $400 million. In July 2026, M&T issued 60,000 shares of Perpetual Fixed Rate Non-cumulative Preferred Stock, Series L, with a liquidation preference of $10,000 per share. Shareholders’ equity reflects accumulated other comprehensive income or loss, which includes the net after-tax impact of unrealized gains or losses on investment securities classified as available for sale, gains or losses associated with interest rate swap agreements designated as cash flow hedges and adjustments to reflect the funded status of defined benefit pension and other postretirement plans. The components of accumulated other comprehensive income (loss) are presented in the following table. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - NET OF INCOME TAX (Dollars in millions, except per share) June 30, 2026 December 31, 2025 June 30, 2025 Investment securities unrealized gains (losses), net (a) $ (93) $ 155 $ 61 Cash flow hedges unrealized gains (losses), net (b) (51) 67 63 Defined benefit plans adjustments, net (c) 59 61 95 Other, net (7) (6) (4) Accumulated other comprehensive income (loss), net $ (92) $ 277 $ 215 Accumulated other comprehensive income (loss), net, per common share $ (0.64) $ 1.83 $ 1.37 __________________________________________________________________________________ (a)Refer to note 3 of Notes to Financial Statements. (b)Refer to note 11 of Notes to Financial Statements. (c)Refer to note 8 of Notes to Financial Statements. - 75 - M&T and its subsidiary banks are required to comply with applicable Capital Rules which prescribe minimum capital ratios. Capital Rules require buffers in addition to these minimum risk-based capital ratios. M&T is subject to an SCB requirement that is determined through the Federal Reserve’s supervisory stress tests and M&T’s bank subsidiaries are subject to a 2.5% capital conservation buffer requirement. The buffer requirement must be composed entirely of CET1 capital. In June 2026, the Federal Reserve released the results of its most recent supervisory stress tests, which would imply a reduction of M&T's SCB to the 2.5% minimum. In February 2026, however, the Federal Reserve announced that the previous SCB requirements would continue in effect through 2027. Accordingly, M&T's SCB remains 2.7%. The regulatory capital ratios of the Company and its bank subsidiaries, M&T Bank and Wilmington Trust, N.A., as of June 30, 2026 are presented in the accompanying table. REGULATORY CAPITAL RATIOS (Dollars in millions) Regulatory Minimum (a) M&T (Consolidated) M&T Bank Wilmington Trust, N.A. CET1 capital 4.50 % 10.19 % 11.81 % 274.44 % Tier 1 capital 6.00 11.64 11.81 274.44 Total capital 8.00 13.73 13.87 274.58 Tier 1 leverage 4.00 9.39 9.51 86.89 RWA $ 167,830 $ 167,243 $ 248 __________________________________________________________________________________ (a)Exclusive of required buffers as applicable. As a result of the accounting election on January 1, 2026 to prospectively measure residential mortgage loan servicing right assets at fair value, the Company recorded an increase in capitalized servicing assets included in accrued interest and other assets of $263 million and a corresponding after-tax increase to retained earnings of $197 million, representing an 8 basis-point increase to the CET1 capital ratio on the election date. Capital Rules generally require the deduction of goodwill and core deposit and other intangible assets, net of applicable deferred taxes, from the calculation of capital in the determination of the minimum capital ratios. As a result of previous business acquisitions, the Company recorded goodwill of $8.5 billion and core deposit and other intangible assets of $48 million at June 30, 2026. Goodwill, as required by GAAP, is not amortized, but rather is tested for impairment at least annually at the business reporting unit level. The Company completed its annual goodwill impairment test in the fourth quarter of 2025 and concluded the amount of goodwill was not impaired at the testing date. The Company has not identified events or circumstances that would more likely than not reduce the fair value of a business reporting unit below its carrying amount at June 30, 2026. Should a business reporting unit with assigned goodwill experience declines in revenue, increased credit losses or expenses, or other adverse developments due to economic, regulatory, competition or other factors, that would be material to that reporting unit, an impairment of goodwill could occur in a future period that could be material to the Company's Consolidated Balance Sheet and its Consolidated Statement of Income. Although a goodwill impairment charge would not have a significant impact on the Company's regulatory tangible capital ratios, it would reduce the capacity of its bank subsidiary, M&T Bank, to dividend earnings to M&T. As described herein under the heading "Liquidity Risk," M&T's parent company liquidity at June 30, 2026, inclusive of the projected repayment of notes receivables from bank subsidiaries, covered projected cash outflows for 29 months, including dividends on common and preferred stock, debt service and scheduled debt maturities. The Company is subject to the comprehensive regulatory framework applicable to bank and financial holding companies and their subsidiaries, which includes examinations by a number of regulators. Regulation of financial institutions such as M&T and its subsidiaries is intended primarily for the protection of depositors, the Deposit Insurance Fund of the FDIC and the banking and financial system as a whole, and generally is not intended for the protection of shareholders, investors or creditors other than insured depositors. Changes in laws, regulations and regulatory policies applicable to the Company’s operations can increase or decrease the cost of doing business, limit or expand permissible activities or affect the competitive environment in which the Company operates, all of which could have a material effect on the business, financial condition or results of operations of the Company and on M&T’s ability to pay dividends. For additional information concerning this comprehensive regulatory framework, refer to Part I, Item 1, "Supervision and Regulation of the Company" of M&T's 2025 Annual Report. - 76 - As described in Part I, Item 1, "Capital Requirements" of M&T's 2025 Annual Report, in July 2023 the federal banking agencies issued a notice of proposed rulemaking to modify the regulatory capital requirements applicable to large banking organizations with total assets exceeding $100 billion, like the Company. In March 2026, the federal banking agencies issued a reproposal of those requirements. Under the reproposed requirements, the Company would have the option of calculating its RWA using either a standardized approach or an ERBA. The reproposal would also require the Company to include certain components of accumulated other comprehensive income (loss) in its calculation of capital over a five-year transition period. Management continues to evaluate the impact of the reproposed rules on the regulatory capital requirements of M&T and its subsidiary banks. The Company estimates that its CET1 capital ratio of 10.33% at March 31, 2026 would have increased approximately 90 basis points under the standardized approach and an additional 10 to 20 basis points under the ERBA, excluding the impact of accumulated other comprehensive income (loss). At June 30, 2026, the inclusion of accumulated other comprehensive income (loss) components related to investment securities available for sale and defined benefit plan liability adjustments would have decreased the Company's CET1 capital ratio by 2 basis points. Segment Information Reportable segments have been determined based upon the Company's organizational structure which is primarily arranged around the delivery of products and services to similar customer types. Financial information about the Company's reportable segments is presented in note 15 of Notes to Financial Statements. The Company's reportable segments are Commercial Bank, Retail Bank and Institutional Services and Wealth Management. All other business activities that are not included in the three reportable segment results have been included in the "All Other" category. NET INCOME (LOSS) BY REPORTABLE SEGMENT Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Net income (loss) Commercial Bank $ 271 $ 250 $ 21 8 % $ 521 $ 462 $ 59 13 % Retail Bank 360 344 16 5 704 722 (18) -3 Institutional Services and Wealth Management 120 112 8 7 232 249 (17) -7 All Other 67 (42) 109 — 25 (133) 158 — Total net income $ 818 $ 664 $ 154 23 % $ 1,482 $ 1,300 $ 182 14 % - 77 - Commercial Bank The Commercial Bank segment provides a wide range of credit products and banking services to middle-market and large commercial customers, mainly within the markets served by the Company. Services provided by this segment include commercial lending and leasing, credit facilities which are secured by various types of commercial real estate, letters of credit, deposit products and cash management services. Commercial real estate loans may be secured by multifamily residential buildings, hotels, office, retail and industrial space or other types of collateral. Activities of this segment include the origination, sales and servicing of commercial real estate loans through the Fannie Mae DUS program and other programs. Commercial real estate loans held for sale are included in this segment. COMMERCIAL BANK SEGMENT FINANCIAL SUMMARY Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Income statement Net interest income $ 559 $ 535 $ 24 5 % $ 1,094 $ 1,060 $ 34 3 % Noninterest income 193 193 — — 386 378 8 2 Total revenue 752 728 24 3 1,480 1,438 42 3 Provision for credit losses 23 29 (6) -24 52 96 (44) -46 Noninterest expense 363 360 3 1 723 714 9 1 Income before taxes 366 339 27 8 705 628 77 12 Income tax expense 95 89 6 8 184 166 18 11 Net income $ 271 $ 250 $ 21 8 % $ 521 $ 462 $ 59 13 % Average balance sheet Loans: Commercial and industrial $ 57,855 $ 55,730 $ 2,125 4 % $ 56,798 $ 53,558 $ 3,240 6 % Real estate - commercial 21,827 21,795 32 — 21,811 24,102 (2,291) -10 Real estate - residential 402 398 4 1 400 405 (5) -1 Consumer 17 24 (7) -28 21 19 2 8 Total loans $ 80,101 $ 77,947 $ 2,154 3 % $ 79,030 $ 78,084 $ 946 1 % Deposits: Noninterest-bearing $ 9,689 $ 10,247 $ (558) -5 % $ 9,967 $ 11,320 $ (1,353) -12 % Interest-bearing 38,885 39,200 (315) -1 39,042 34,382 4,660 14 Total deposits $ 48,574 $ 49,447 $ (873) -2 % $ 49,009 $ 45,702 $ 3,307 7 % The Commercial Bank segment’s net income in the second quarter of 2026 increased $21 million from the first quarter of 2026. •Net interest income increased $24 million reflecting one additional calendar day, a 9 basis-point expansion of the net interest margin on loans and higher average loan balances. Those factors were partially offset by a 4 basis-point narrowing of the net interest margin on deposits and lower average balances of those deposits. •Noninterest income remained flat reflecting higher fees from interest rate swap transactions with commercial customers largely offset by a decline in commercial mortgage banking revenues predominantly from lower gains on commercial mortgage loans originated for sale. •Average loans rose $2.2 billion driven by higher average balances of commercial and industrial loans reflecting growth that spanned most industry types. •Average deposits declined $873 million reflecting lower average noninterest-bearing and savings and interest-checking deposit balances. - 78 - Net income for the Commercial Bank segment increased $59 million in the first six months of 2026 as compared with the similar 2025 period. •Net interest income increased $34 million reflecting higher average deposits of $3.3 billion, partially offset by a 5 basis-point narrowing of the net interest margin on those deposits. •Noninterest income increased $8 million reflecting higher revenues from interest rate swap agreements with customers and increased service charges on commercial deposit accounts, partially offset by a $15 million gain on the sale of an out-of-footprint residential builder and developer loan portfolio in the 2025 period. •The provision for credit losses decreased $44 million reflecting lower net charge-offs of commercial real estate and commercial and industrial loans. •Noninterest expense increased $9 million driven by an increase in centrally-allocated costs associated with technology, operations, risk management, finance, human resources and other support services provided to the Commercial Bank segment and other costs of operations, partially offset by a decline in personnel expenses. •Average loans increased $946 million driven by higher average commercial and industrial loans reflecting growth that spanned most industry types, partially offset by a decrease in average commercial real estate loans as the Company reduced its exposure to such loans designated as criticized. •Average deposits grew $3.3 billion reflecting growth in average savings and interest-checking deposits, partially offset by lower average noninterest-bearing deposits. Retail Bank The Retail Bank segment provides a wide range of services to consumers and small businesses through the Company’s branch network and several other delivery channels such as digital banking, telephone banking and ATMs. The Company has domestic banking offices primarily in the Northeastern and Mid-Atlantic regions of the U.S. including the District of Columbia. The segment offers to its customers deposit products, including demand, savings and time accounts, and other services. Credit services offered by this segment include automobile and recreational finance loans (primarily originated indirectly through dealers), home equity loans and lines of credit, credit cards and other loan products. This segment also originates and services residential mortgage loans and either sells those loans in the secondary market to investors or retains them for investment purposes. Residential mortgage loans are also originated and serviced on behalf of the Institutional Services and Wealth Management segment. The Company periodically purchases the rights to service residential real estate loans that have been originated by other entities and also sub-services residential real estate loans for others. Residential real estate loans held for sale are included in this segment. This segment also provides various business loans, including loans guaranteed by the Small Business Administration, business credit cards, deposit products and services such as cash management, payroll and direct deposit, merchant credit card and letters of credit to small businesses and professionals through the Company's branch network and other delivery channels. - 79 - RETAIL BANK SEGMENT FINANCIAL SUMMARY Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Income statement Net interest income $ 974 $ 950 $ 24 2 % $ 1,924 $ 1,960 $ (36) -2 % Noninterest income 236 217 19 9 453 442 11 2 Total revenue 1,210 1,167 43 4 2,377 2,402 (25) -1 Provision for credit losses 70 82 (12) -15 152 150 2 1 Noninterest expense 657 625 32 5 1,282 1,284 (2) — Income before taxes 483 460 23 5 943 968 (25) -3 Income tax expense 123 116 7 5 239 246 (7) -2 Net income $ 360 $ 344 $ 16 5 % $ 704 $ 722 $ (18) -3 % Average balance sheet Loans: Commercial and industrial $ 6,815 $ 6,670 $ 145 2 % $ 6,743 $ 6,325 $ 418 7 % Real estate - commercial 1,699 1,676 23 1 1,688 1,660 28 2 Real estate - residential 22,234 21,971 263 1 22,103 20,776 1,327 6 Consumer 25,823 25,444 379 1 25,635 24,042 1,593 7 Total loans $ 56,571 $ 55,761 $ 810 1 % $ 56,169 $ 52,803 $ 3,366 6 % Deposits: Noninterest-bearing $ 24,843 $ 24,249 $ 594 2 % $ 24,547 $ 24,335 $ 212 1 % Interest-bearing 64,846 64,596 250 — 64,722 65,347 (625) -1 Total deposits $ 89,689 $ 88,845 $ 844 1 % $ 89,269 $ 89,682 $ (413) — % The Retail Bank segment’s net income in the second quarter of 2026 increased $16 million from the first quarter of 2026. •Net interest income increased $24 million reflecting the impact of one additional calendar day in the recent quarter and higher average balances of deposits. The segment's net interest margin declined by 1 basis point. •Noninterest income increased $19 million reflecting higher residential mortgage loan sub-servicing fee revenue, service charges on deposit accounts and merchant discount and credit card fees. •Provision for credit losses decreased $12 million reflective of lower net charge-offs in the recent quarter. •Noninterest expense increased $32 million reflecting higher centrally-allocated costs associated with technology, operations, risk management, finance, human resources and other support services provided to the Retail Bank segment. •Average deposits increased $844 million reflecting an increase in average savings and interest-checking deposits and noninterest-bearing deposits. Net income for the Retail Bank segment declined $18 million in the first six months of 2026 as compared with the similar 2025 period. •Net interest income declined $36 million reflecting an 11 basis-point and 4 basis-point narrowing of the net interest margin on deposits and loans, respectively, partially offset by higher average loan balances of $3.4 billion. •Noninterest income increased $11 million reflecting higher service charges on deposit products and residential mortgage banking revenues. •Noninterest expense decreased $2 million reflecting the impact of the Company's accounting election described herein on other costs of operations, driven by amortization associated with residential mortgage loan servicing right assets in the first half of 2025, largely offset by higher centrally-allocated costs associated with technology, operations, risk management, finance, human resources and other support services provided to the Retail Bank segment. - 80 - •Average loans rose $3.4 billion reflecting an increase in average consumer loans that resulted from growth in average recreational finance loans and home equity loans and lines of credit. Also contributing to that increase was higher average residential real estate loans reflecting the retention of originated residential mortgage loans and purchases. Institutional Services & Wealth Management The Institutional Services and Wealth Management segment provides a variety of trustee, agency, investment management and administrative services for corporations and institutions, investment bankers, corporate tax, finance and legal executives, and other institutional clients, as well as personal trust, planning and advisory, fiduciary, asset management, family office, and other services designed to help high net worth individuals and families grow, preserve and transfer wealth. This segment also provides investment products, including mutual funds and annuities and other services to customers. INSTITUTIONAL SERVICES & WEALTH MANAGEMENT SEGMENT FINANCIAL SUMMARY Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Income statement Net interest income $ 149 $ 156 $ (7) -5 % $ 305 $ 337 $ (32) -10 % Noninterest income 235 221 14 7 456 434 22 5 Total revenue 384 377 7 2 761 771 (10) -1 Provision for credit losses — — — — — 5 (5) — Noninterest expense 223 226 (3) -2 449 432 17 4 Income before taxes 161 151 10 7 312 334 (22) -7 Income tax expense 41 39 2 7 80 85 (5) -6 Net income $ 120 $ 112 $ 8 7 % $ 232 $ 249 $ (17) -7 % Average balance sheet Loans: Commercial and industrial $ 1,155 $ 1,217 $ (62) -5 % $ 1,185 $ 939 $ 246 26 % Real estate - commercial 27 25 2 11 26 31 (5) -15 Real estate - residential 2,450 2,448 2 — 2,449 2,250 199 9 Consumer 879 838 41 5 858 795 63 8 Total loans $ 4,511 $ 4,528 $ (17) — % $ 4,518 $ 4,015 $ 503 13 % Deposits: Noninterest-bearing $ 8,766 $ 9,518 $ (752) -8 % $ 9,140 $ 9,118 $ 22 — % Interest-bearing 9,939 10,151 (212) -2 10,044 9,748 296 3 Total deposits $ 18,705 $ 19,669 $ (964) -5 % $ 19,184 $ 18,866 $ 318 2 % The Institutional Services and Wealth Management segment’s net income increased $8 million to $120 million in the second quarter of 2026 from $112 million in the first quarter of 2026. •Net interest income decreased $7 million reflecting a $964 million decrease in average deposits and a 6 basis-point narrowing of the net interest margin on those deposits. •Noninterest income increased $14 million reflecting higher sales and fund management fees from the segment's Institutional Services business and increased fee income from its Wealth Management business, reflecting market performance associated with managed assets and seasonal tax service fee income. - 81 - Net income for the Institutional Services and Wealth Management segment decreased $17 million for the six months ended June 30, 2026 as compared with the similar 2025 period. •Net interest income decreased $32 million predominantly due to a 45 basis-point narrowing of the net interest margin on deposits, partially offset by higher average balances of those deposits and an increase in average loans. •Noninterest income increased $22 million reflecting higher trust income resulting from higher sales and fund management fees from the segment's Institutional Services business and increased fee income from its Wealth Management business, reflecting favorable market performance associated with managed assets, partially offset by a $10 million gain on the sale of a subsidiary that specialized in institutional services in the second quarter of 2025. •Noninterest expense rose $17 million reflecting a rise in professional and other services expense driven by higher legal and review costs and an increase in personnel-related expenses. All Other The "All Other" category reflects other activities of the Company that are not directly attributable to the reported segments. Reflected in this category are the difference between the provision for credit losses and the calculated provision allocated to the reportable segments; goodwill and core deposit and other intangible assets resulting from the acquisitions of financial institutions; merger-related gains and expenses related to acquisitions; the net impact of the Company’s internal funds transfer pricing methodology; eliminations of transactions between reportable segments; certain non-recurring transactions; and the residual effects of unallocated support systems and general and administrative expenses. The Company’s investment securities portfolio, certain brokered deposits and short-term and long-term borrowings are generally included in the "All Other" category. In its management of interest rate risk, the Company utilizes interest rate swap agreements to modify the repricing characteristics of certain portfolios of earning assets and interest-bearing liabilities. The results of such activities are captured in the "All Other" category. ALL OTHER CATEGORY FINANCIAL SUMMARY Three Months Ended Change Six Months Ended Change (Dollars in millions) June 30, 2026 March 31, 2026 Amount % June 30, 2026 June 30, 2025 Amount % Income statement Net interest income $ 110 $ 111 $ (1) — % $ 221 $ 51 $ 170 330 % Noninterest income 76 58 18 32 134 40 94 236 Total revenue 186 169 17 11 355 91 264 289 Provision for credit losses 27 29 (2) -3 56 4 52 — Noninterest expense 106 227 (121) -53 333 321 12 4 Income (loss) before taxes 53 (87) 140 — (34) (234) 200 — Income tax benefit (14) (45) 31 70 (59) (101) 42 — Net income (loss) $ 67 $ (42) $ 109 — % $ 25 $ (133) $ 158 — % The “All Other” category net income was $67 million in the second quarter of 2026 as compared with a net loss of $42 million in the first quarter of 2026. •Noninterest income rose $18 million reflecting a $47 million distribution from M&T's investment in BLG in the recent quarter as compared with a $33 million distribution from that investment in the first quarter of 2026. •Noninterest expense decreased $121 million reflecting seasonal stock-based compensation, payroll-related taxes and other employee benefits expense in the first quarter of 2026. - 82 - The net income recorded for the "All Other" category was $25 million for the first six months of 2026 as compared with a net loss of $133 million in the similar 2025 period. •Net interest income increased $170 million reflecting the comparatively favorable impact from each of interest rate swap agreements entered into for interest rate risk purposes and the Company’s allocation methodologies for internal transfers related to funding charges and credits associated with earning assets and interest-bearing liabilities of the Company’s reportable segments. •Noninterest income increased $94 million reflecting $80 million of distributions from M&T's investment in BLG in the first six months of 2026. •The provision for credit losses increased $52 million reflecting the net impact of the allocation of the provision to the reportable segments. Critical Accounting Estimates and Recent Accounting Developments A discussion of the Company's critical accounting estimates and significant accounting policies can be found in M&T's 2025 Annual Report. A summary of recent accounting developments is included in note 1 of Notes to Financial Statements, including the Company's election on January 1, 2026 to prospectively measure its residential mortgage loan servicing right assets at fair value, which the Company considers to be a critical accounting estimate. As residential mortgage loan servicing rights generally do not trade in an active market, the Company utilizes a model to estimate fair value which considers the present value of expected future cash flows associated with servicing rights using assumptions that market participants would consider in estimating future servicing income and expenses. Such assumptions include prepayment speeds, servicing costs, loan default rates and an appropriate discount rate representing an OAS over market implied forward SOFR. Significant assumptions and the resulting fair values are subject to independent review and challenge by the Company's Treasury Product Control Department through comparisons to available data including recent market activity, independent third-party valuations and industry trade information and surveys. The results of such independent review and challenge are reported to the Company's Executive ALCO Committee. Further information on the fair value of residential mortgage loan servicing right assets and the sensitivity of such value to changes in assumptions is included in note 13 of Notes to Financial Statements. Forward-Looking Statements "Management’s Discussion and Analysis of Financial Condition and Results of Operations" and other sections of this quarterly report contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the rules and regulations of the SEC. Any statement that does not describe historical or current facts is a forward-looking statement, including statements based on current expectations, estimates and projections about the Company’s business, and management's beliefs and assumptions. Statements regarding the potential effects of events or factors specific to the Company and/or the financial industry as a whole, as well as national and global events generally, on the Company's business, financial condition, liquidity and results of operations may constitute forward-looking statements. Such statements are subject to the risk that the actual effects may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond the Company's control. Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "target," "estimate," "continue," or "potential," by future conditional verbs such as "will," "would," "should," "could," or "may," or by variations of such words or by similar expressions. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions which are difficult to predict and may cause actual outcomes to differ materially from what is expressed or forecasted. - 83 - While there can be no assurance that any list of risks and uncertainties is complete, important factors that could cause actual outcomes and results to differ materially from those contemplated by forward-looking statements include the following, without limitation, as well as risks more fully discussed in Part I, Item 1A "Risk Factors" in the Company's 2025 Annual Report: economic conditions and growth rates, including inflation and market volatility; events, developments, and current conditions in the financial services industry, including trust, brokerage and investment management businesses; changes in interest rates, spreads on earning assets and interest-bearing liabilities, and interest rate sensitivity; prepayment speeds, loan originations, loan concentrations by type and industry, credit losses and market values on loans, collateral securing loans, and other assets; sources of liquidity; levels of client deposits; ability to contain costs and expenses; changes in the Company's credit ratings; domestic or international political developments and other geopolitical events, including trade and tariff policies and international conflicts and hostilities; changes and trends in the securities markets; common shares outstanding and common stock price volatility; fair value of and number of stock-based compensation awards to be issued in future periods; the impact of changes in market values on trust-, brokerage-, and investment management-related revenues; federal, state or local legislation and/or regulations affecting the financial services industry, or M&T and its subsidiaries individually or collectively, including tax policy; regulatory supervision and oversight, including monetary policy and capital requirements; governmental and public policy changes; political conditions, either nationally or in the states in which M&T and its subsidiaries do business; the initiation and outcome of potential, pending and future litigation, investigations and governmental proceedings, including tax-related examinations and other matters; operational risk events, including loss resulting from fraud by employees or persons outside M&T and breaches in data and cybersecurity; changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board, regulatory agencies or legislation; increasing price, product and service competition by competitors, including new entrants; technological developments and changes; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; the mix of products and services; protection and validity of intellectual property rights; reliance on large customers; technological, implementation and cost/financial risks in large, multi-year contracts; continued availability of financing; financial resources in the amounts, at the times and on the terms required to support M&T and its subsidiaries' future businesses; and material differences in the actual financial results of merger, acquisition, divestment and investment activities compared with M&T's initial expectations, including the full realization of anticipated cost savings and revenue enhancements. These are representative of the factors that could affect the outcome of the forward-looking statements. In addition, as noted, such statements could be affected by general industry and market conditions and growth rates, general economic and political conditions, either nationally or in the states in which the Company does business, and other factors. The Company provides further detail regarding these risks and uncertainties in its 2025 Annual Report, including in the Risk Factors section of such report, as well as in other SEC filings. Forward-looking statements speak only as of the date they are made, and the Company assumes no duty and does not undertake to update forward-looking statements. - 84 - M&T Bank Corporation and Subsidiaries Table 1 QUARTERLY TRENDS 2026 Quarters 2025 Quarters Second First Fourth Third Second First (Dollars in millions, except per share) Earnings and dividends Interest income (taxable-equivalent basis) $ 2,632 $ 2,547 $ 2,648 $ 2,692 $ 2,618 $ 2,572 Interest expense 828 784 858 919 896 865 Net interest income 1,804 1,763 1,790 1,773 1,722 1,707 Less: Provision for credit losses 120 140 125 125 125 130 Other income 740 689 696 752 683 611 Less: Other expense 1,349 1,438 1,379 1,363 1,336 1,415 Income before income taxes 1,075 874 982 1,037 944 773 Applicable income taxes 245 199 212 233 219 177 Taxable-equivalent adjustment 12 11 11 12 9 12 Net income $ 818 $ 664 $ 759 $ 792 $ 716 $ 584 Net income available to common shareholders — diluted $ 781 $ 620 $ 718 $ 754 $ 679 $ 547 Per common share data: Basic earnings 5.35 4.16 4.71 4.85 4.26 3.33 Diluted earnings 5.32 4.13 4.67 4.82 4.24 3.32 Cash dividends 1.50 1.50 1.50 1.50 1.35 1.35 Average common shares outstanding: Basic 145,891 149,225 152,666 155,558 159,221 164,209 Diluted 146,758 150,109 153,712 156,553 160,005 165,047 Performance ratios Annualized return on: Average assets 1.51 % 1.26 % 1.41 % 1.49 % 1.37 % 1.14 % Average common shareholders’ equity 12.30 9.67 10.87 11.45 10.39 8.36 Net interest margin on average earning assets (taxable-equivalent basis) 3.70 3.70 3.70 3.69 3.62 3.65 Nonaccrual loans to total loans .84 .89 .90 1.10 1.16 1.14 Net operating (tangible) results (a) Net operating income $ 823 $ 671 $ 767 $ 798 $ 724 $ 594 Diluted net operating income per common share 5.35 4.18 4.72 4.87 4.28 3.38 Annualized return on: Average tangible assets 1.59 % 1.33 % 1.49 % 1.56 % 1.44 % 1.21 % Average tangible common shareholders’ equity 18.57 14.51 16.24 17.13 15.54 12.53 Efficiency ratio (b) 52.8 58.3 55.1 53.6 55.2 60.5 Balance sheet data Average balances: Total assets (c) $ 216,532 $ 213,828 $ 212,891 $ 211,053 $ 210,261 $ 208,321 Total tangible assets (c) 208,033 205,323 204,379 202,533 201,733 199,791 Earning assets 195,216 192,594 192,366 190,920 190,535 189,116 Investment securities 38,728 37,845 36,705 36,559 35,335 34,480 Loans 141,427 138,423 137,600 136,527 135,407 134,844 Deposits 163,524 164,176 164,940 162,576 163,258 161,080 Borrowings 20,794 16,759 14,619 15,633 14,263 14,154 Common shareholders’ equity (c) 25,505 26,072 26,279 26,189 26,272 26,604 Tangible common shareholders’ equity (c) 17,006 17,567 17,767 17,669 17,744 18,074 At end of quarter: Total assets (c) 219,261 214,736 213,510 211,277 211,584 210,321 Total tangible assets (c) 210,765 206,234 205,001 202,761 203,060 201,789 Earning assets 197,066 193,072 192,516 190,684 191,074 190,463 Investment securities 38,374 38,621 36,649 36,864 35,568 35,137 Loans 143,193 139,914 138,702 136,974 136,116 134,574 Deposits 168,885 163,741 166,909 163,426 164,453 165,409 Borrowings 18,182 19,026 13,060 14,987 14,451 12,069 Common shareholders’ equity (c) 25,512 25,538 26,343 26,334 26,131 26,597 Tangible common shareholders’ equity (c) 17,016 17,036 17,834 17,818 17,607 18,065 Equity per common share 176.03 173.82 173.49 170.43 166.94 163.62 Tangible equity per common share 117.41 115.96 117.45 115.31 112.48 111.13 __________________________________________________________________________________ (a)Excludes amortization and balances related to goodwill and core deposit and other intangible assets and merger-related expenses (when incurred) which, except in the calculation of the efficiency ratio, are net of applicable income tax effects. A reconciliation of net income and net operating income appears in Table 2. (b)Excludes impact of merger-related expenses (when incurred) and net securities transactions. (c)The difference between total assets and total tangible assets, and common shareholders’ equity and tangible common shareholders’ equity, represents goodwill, core deposit and other intangible assets, net of applicable deferred tax balances. A reconciliation of such balances appears in Table 2. - 85 - M&T Bank Corporation and Subsidiaries Table 2 RECONCILIATION OF QUARTERLY GAAP TO NON-GAAP MEASURES 2026 Quarters 2025 Quarters (Dollars in millions, except per share) Second First Fourth Third Second First Income statement data Net income Net income $ 818 $ 664 $ 759 $ 792 $ 716 $ 584 Amortization of core deposit and other intangible assets (a) 5 7 8 6 8 10 Net operating income $ 823 $ 671 $ 767 $ 798 $ 724 $ 594 Earnings per common share Diluted earnings per common share $ 5.32 $ 4.13 $ 4.67 $ 4.82 $ 4.24 $ 3.32 Amortization of core deposit and other intangible assets (a) .03 .05 .05 .05 .04 .06 Diluted net operating earnings per common share $ 5.35 $ 4.18 $ 4.72 $ 4.87 $ 4.28 $ 3.38 Other expense Other expense $ 1,349 $ 1,438 $ 1,379 $ 1,363 $ 1,336 $ 1,415 Amortization of core deposit and other intangible assets (7) (9) (10) (10) (9) (13) Noninterest operating expense $ 1,342 $ 1,429 $ 1,369 $ 1,353 $ 1,327 $ 1,402 Efficiency ratio Noninterest operating expense (numerator) $ 1,342 $ 1,429 $ 1,369 $ 1,353 $ 1,327 $ 1,402 Taxable-equivalent net interest income $ 1,804 $ 1,763 $ 1,790 $ 1,773 $ 1,722 $ 1,707 Other income 740 689 696 752 683 611 Less: Gain (loss) on bank investment securities 2 4 1 1 — — Denominator $ 2,542 $ 2,448 $ 2,485 $ 2,524 $ 2,405 $ 2,318 Efficiency ratio 52.8 % 58.3 % 55.1 % 53.6 % 55.2 % 60.5 % Balance sheet data Average assets Average assets $ 216,532 $ 213,828 $ 212,891 $ 211,053 $ 210,261 $ 208,321 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (51) (59) (69) (79) (89) (92) Deferred taxes 17 19 22 24 26 27 Average tangible assets $ 208,033 $ 205,323 $ 204,379 $ 202,533 $ 201,733 $ 199,791 Average common equity Average total equity $ 27,939 $ 28,648 $ 28,970 $ 28,583 $ 28,666 $ 28,998 Preferred stock (2,434) (2,576) (2,691) (2,394) (2,394) (2,394) Average common equity 25,505 26,072 26,279 26,189 26,272 26,604 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (51) (59) (69) (79) (89) (92) Deferred taxes 17 19 22 24 26 27 Average tangible common equity $ 17,006 $ 17,567 $ 17,767 $ 17,669 $ 17,744 $ 18,074 At end of quarter Total assets Total assets $ 219,261 $ 214,736 $ 213,510 $ 211,277 $ 211,584 $ 210,321 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (48) (55) (64) (74) (84) (93) Deferred taxes 17 18 20 23 25 26 Total tangible assets $ 210,765 $ 206,234 $ 205,001 $ 202,761 $ 203,060 $ 201,789 Total common equity Total equity $ 27,946 $ 27,972 $ 29,177 $ 28,728 $ 28,525 $ 28,991 Preferred stock (2,434) (2,434) (2,834) (2,394) (2,394) (2,394) Common equity 25,512 25,538 26,343 26,334 26,131 26,597 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (48) (55) (64) (74) (84) (93) Deferred taxes 17 18 20 23 25 26 Total tangible common equity $ 17,016 $ 17,036 $ 17,834 $ 17,818 $ 17,607 $ 18,065 __________________________________________________________________________________ (a)After any related tax effect. - 86 -