Comerica Reports Third Quarter 2011 Net Income of $98 Million

Acquisition of Sterling Bancshares, Inc. (Sterling) Expands Growth in Texas

Commercial Loans and Texas Drive Period-End Legacy Comerica Growth

Share Repurchases Increase

PR Newswire

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DALLAS, Oct. 19, 2011 /PRNewswire/ -- Comerica Incorporated (NYSE: CMA) today reported third quarter 2011 net income of $98 million, an increase of $2 million compared to $96 million for the second quarter 2011. Third quarter 2011 included merger and restructuring charges of $33 million ($21 million, after tax; $0.11 per diluted share) associated with the acquisition of Sterling, completed on July 28, 2011, compared to $5 million ($3 million, after tax; $0.02 per diluted share) in the second quarter 2011.

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    (dollar amounts in
     millions, except per         3rd Qtr            2nd Qtr      3rd Qtr
     share data)                    '11                    '11            '10
    ---------------------         -------           -------     -------
    Net interest income           $423               $391       $404
    Provision for loan losses       38                 47        122
    Noninterest income             201                202        186
    Noninterest expenses (a)       460                409        402
    Provision for income
     taxes                          28                 41          7

    Net income                      98                 96         59

    Net income attributable
     to common shares               97                 95         59

    Diluted income per common
     share                        0.51               0.53       0.33

    Average diluted shares
     (in millions)                 192                178        178

    Tier 1 common capital
     ratio (c)                   10.57%      (b)    10.53%      9.96%
    Tangible common equity
     ratio (c)                   10.43              10.90      10.39

    Net interest margin (d)       3.18               3.14       3.23


    (a) Included restructuring expenses of $33 million and $5
     million in the third and second quarters of 2011,
     respectively, associated with the acquisition of
     Sterling on July 28, 2011.
    ---------------------------------------------------------
    (b) September 30, 2011 ratio is estimated.
    ------------------------------------------
    (c) See Reconciliation of Non-GAAP Financial Measures.
    ------------------------------------------------------
    (d) Excess liquidity reduced the net interest margin by
     29 basis points, 21 basis points and 19 basis points in
     the 3rd quarter 2011, 2nd quarter 2011 and 3rd quarter
     2010, respectively.
    --------------------------------------------------------

"Our third quarter results reflect our acquisition of Sterling, which expands our growth in Texas, a state expected to outperform the national economy again this year," said Ralph W. Babb Jr., chairman and chief executive officer. "Systems integrations are on track and expected to be completed by year-end. We plan to capitalize on revenue synergies, including opportunities to leverage distribution channels to increase commercial lending and cross-sales of cash management and other services, as well as wealth management products. In short, the Sterling acquisition provides an exceptional growth opportunity in one of the most attractive markets in the U.S.

"The Sterling acquisition primarily drove our $2 billion increase in period-end loans in the third quarter. Comerica legacy loans reflected increases in Texas, as well as in commercial loans, primarily in Specialty Businesses, including Mortgage Banker Finance, Technology and Life Sciences and Energy Lending; offset by decreases in National Dealer Services, Global Corporate Banking and Small Business Banking."

"With the uncertain national and global economies, we have heightened our focus on revenue generating initiatives and expense controls," said Babb. "In addition to delivering the revenue and expense synergies from the Sterling acquisition, we plan to reallocate resources to faster growing businesses, leverage opportunities to lower deposit pricing and continue to utilize technology to produce efficiencies, among many other action items. By continuing to strengthen our franchise, we believe we will be able to drive growth in this challenging economic environment."

Third Quarter 2011 Highlights Compared to Second Quarter 2011

    --  Period-end total loans increased $2.0 billion, primarily due to the
        addition of Sterling. Comerica legacy period-end loans primarily
        reflected an increase in Specialty Businesses ($1.0 billion; 20
        percent), offset by decreases in the National Dealer Services ($290
        million; 9 percent), Global Corporate Banking ($194 million; 4 percent),
        Commercial Real Estate ($152 million; 4 percent) and Small Business
        Banking ($125 million; 4 percent) business lines.  The increase in
        period-end Comerica legacy loans in Specialty Businesses primarily
        reflected increases in Mortgage Banker Finance ($450 million),
        Technology and Life Sciences ($264 million) and Energy Lending ($208
        million). Specialty Businesses, along with $393 million from Sterling,
        were the primary contributors to the $1.1 billion increase in period-end
        commercial loans. Comerica legacy commercial loans increased $668
        million, or three percent. In the Texas market, Comerica legacy
        period-end total loans increased $113 million, or two percent.
    --  Average core deposits increased $3.5 billion in the third quarter 2011,
        with increases in all major markets, led by the Texas market, which
        reflected average Sterling core deposits of $2.5 billion.
    --  The net interest margin of 3.18 percent increased four basis points
        compared to the second quarter 2011, primarily resulting from the
        acquisition of the Sterling loan portfolio.  Accretion of the purchase
        discount on the acquired Sterling loan portfolio increased the net
        interest margin by 20 basis points, partially offset by the impact of an
        increase in excess liquidity (-8 basis points) and accelerated premium
        amortization due to increased prepayment activity on mortgage-backed
        investment securities (-6 basis points).
    --  Credit quality continued to improve in the third quarter 2011. Net
        credit-related charge-offs decreased $13 million to $77 million.  Watch
        list loans and nonperforming loans continued to trend downward for both
        Comerica legacy loans and the acquired Sterling loan portfolio.
    --  Noninterest expenses increased $51 million to $460 million in the third
        quarter 2011, compared to the second quarter 2011. Third quarter 2011
        noninterest expenses included $18 million of noninterest expenses from
        Sterling operations and $33 million of merger and restructuring charges
        related to the Sterling acquisition, up from $5 million in the second
        quarter 2011.
    --  Comerica repurchased 2.1 million shares of common stock under the share
        repurchase program in the third quarter 2011, compared to 400,000 shares
        repurchased in the first half of 2011.

Net Interest Income and Net Interest Margin



    (dollar amounts in                         3rd Qtr       2nd Qtr        3rd Qtr
     millions)                                   '11             '11          '10
    ------------------                         -------       -------   -------
    Net interest income                       $423           $391       $404

    Net interest margin                       3.18%          3.14%      3.23%

    Selected average balances
     (a):
      Total earning assets                 $53,243        $50,136    $50,189
      Total investment
       securities                            8,158          7,407      6,906
      Federal Reserve Bank
       deposits (excess
       liquidity)                            4,800          3,382      2,983
      Total loans                           40,098         39,174     40,102

      Total core deposits
       (b)                                  44,643         41,067     38,786
      Total noninterest-
       bearing deposits                     17,511         15,786     14,920


    (a) Average balances in 3rd quarter 2011 include
     Sterling balances from July 28 through September 30,
     2011.
    -----------------------------------------------------
    (b) Core deposits exclude other time deposits and
     foreign office time deposits.
    -------------------------------------------------

    --  The $32 million increase in net interest income in the third quarter
        2011, when compared to the second quarter 2011, resulted primarily from
        an increase in average earning assets and the accretion of the purchase
        discount on the acquired Sterling loan portfolio of $27 million,
        partially offset by accelerated premium amortization of $8 million due
        to increased prepayment activity on mortgage-backed investment
        securities.
    --  The net interest margin of 3.18 percent increased four basis points
        compared to the second quarter 2011.  The increase in the net interest
        margin resulted primarily from the acquisition of the Sterling loan
        portfolio, partially offset by the impact of an increase in excess
        liquidity (-8 basis points) and accelerated premium amortization on
        mortgage-backed investment securities (-6 basis points).  Accretion of
        the purchase discount on the acquired Sterling loan portfolio increased
        the net interest margin by 20 basis points.
    --  Average earning assets increased $3.1 billion, primarily due to
        increases of $924 million in average loans, $751 million in average
        investment securities available-for-sale and $1.4 billion in excess
        liquidity.  Sterling contributed $1.4 billion and $700 million,
        respectively, to the increases in average loans and average investment
        securities available-for-sale.
    --  Third quarter 2011 average core deposits increased $3.5 billion compared
        to second quarter 2011. Noninterest-bearing deposits increased $1.7
        billion, money market and interest-bearing checking deposits increased
        $1.4 billion and customer certificates of deposit increased $269
        million. Sterling provided $2.5 billion of the total increase in average
        core deposits.

Noninterest Income

Noninterest income was $201 million for the third quarter 2011, compared to $202 million for the second quarter 2011. The $1 million decrease primarily resulted from decreases in fiduciary income ($2 million) and other noninterest income ($14 million), partially offset by increases in net securities gains ($8 million) and several fee categories. The decrease in other noninterest income primarily resulted from decreases in deferred compensation asset returns ($7 million) (offset by a decrease in deferred compensation plan costs in noninterest expense) and principal investing and warrants ($4 million). Noninterest income included $16 million from Sterling in the third quarter 2011, which included net securities gains of $11 million, primarily due to the repositioning of the acquired Sterling investment securities portfolio.

Noninterest Expenses

Noninterest expenses totaled $460 million in the third quarter 2011, an increase of $51 million from the second quarter 2011. The increase in non-interest expenses primarily reflected an increase in merger and restructuring charges of $28 million and $18 million of noninterest expenses from Sterling operations. Merger and restructuring charges include the incremental costs to integrate the operations of Sterling. Such expenses include costs related to terminations of certain existing Sterling leases and other contracts, systems integration and related charges, estimated severance and other employee-related charges, and other transaction costs.

Provision for Income Taxes

The provision for income taxes was $28 million, a decrease of $13 million from the previous quarter. The second quarter 2011 provision for income taxes included net after-tax charges of $8 million for various tax items.

Credit Quality

"We continue to be very pleased with our broad-based, steady improvement in credit quality," said Babb. "This was the ninth consecutive quarter of decline in net charge-offs, with a $13 million decrease. Internal watch list loans and nonperforming loans continued to trend downward for both Comerica legacy loans and the Sterling loan portfolio. We continued to see reductions in inflows to nonaccrual loans and positive migration in other credit metrics. Our customers, generally, are in a stronger position today, with higher liquidity, lower leverage and increased efficiency. These positive attributes will assist them in whatever economic scenario emerges in the coming months. As a result of the overall improvements in credit quality we have seen, the provision for loan losses declined to $38 million."



    (dollar amounts in                        3rd Qtr        2nd Qtr        3rd Qtr
     millions)                                  '11              '11          '10
    ------------------                        -------        -------    -------
    Net credit-related
     charge-offs                             $77            $90       $132
    Net credit-related
     charge-offs/Average
     total loans                            0.77%          0.92%      1.32%

    Provision for loan
     losses                                  $38            $47       $122
    Provision for credit
     losses on lending-
     related commitments                      (3)            (2)        (6)
                                             ---            ---        ---
        Total provision for
         credit losses                        35             45        116

    Nonperforming loans (a)                  958            974      1,191
    Nonperforming assets
     (NPAs) (a)                            1,045          1,044      1,311
    NPAs/Total loans and
     foreclosed property                    2.53%          2.66%      3.24%

    Loans past due 90 days
     or more and still
     accruing                                $81            $64       $104

    Allowance for loan
     losses                                  767            806        957
    Allowance for credit
     losses on lending-
     related commitments (b)                  27             30         38
                                             ---            ---        ---
        Total allowance for
         credit losses                       794            836        995

    Allowance for loan
     losses/Total loans (c)                 1.86%          2.06%      2.38%
    Allowance for loan
     losses/Nonperforming
     loans                                    80             83         80


    (a) Excludes loans acquired with credit impairment.
    ---------------------------------------------------
    (b) Included in "Accrued expenses and other
     liabilities" on the consolidated balance sheets.
    -------------------------------------------------
    (c) Reflects the impact of acquired loans, which were
     initially recorded at fair value, with no related
     allowance for loan losses.
    -----------------------------------------------------

Credit Quality (continued)

    --  Net credit-related charge-offs decreased $13 million to $77 million in
        the third quarter 2011, from $90 million in the second quarter 2011. The
        decrease in net credit-related charge-offs primarily reflected a
        decrease of $18 million in the Middle Market business line, partially
        offset by an increase of $8 million in the Commercial Real Estate
        business line.
    --  Watch list loans and nonperforming loans continued to trend downward for
        both Comerica legacy loans and the acquired Sterling loan portfolio. 
        Internal watch list loans increased $142 million to $5.0 billion from
        June 30, 2011 to September 30, 2011, due to the inclusion of $405
        million of Sterling watch list loans at September 30, 2011.
    --  During the third quarter 2011, $130 million of borrower relationships
        greater than $2 million were transferred to nonaccrual status, a
        decrease of $20 million from the second quarter 2011.  Of the transfers
        of borrower relationships greater than $2 million to nonaccrual in the
        third quarter 2011, $63 million were from the Middle Market business
        line, primarily in the Western and Midwest markets, and $48 million were
        from the Commercial Real Estate business line, primarily in the Western
        market.
    --  Nonperforming loans decreased $16 million, compared to June 30, 2011, to
        $958 million, or 2.32 percent of total loans, at September 30, 2011. 
        Nonperforming assets included $24 million of Sterling foreclosed
        property at September 30, 2011.
    --  The allowance for loan losses to total loans ratio was 1.86 percent and
        2.06 percent at September 30, 2011 and June 30, 2011, respectively.  The
        decrease in the ratio primarily reflected the impact of the Sterling
        loans recorded at fair value at acquisition without a corresponding
        allowance for loan losses.  The remaining fair value discount on
        Sterling acquired loans was $236 million at September 30, 2011.

Balance Sheet and Capital Management

Total assets and common shareholders' equity were $60.9 billion and $7.0 billion, respectively, at September 30, 2011, compared to $54.1 billion and $6.0 billion, respectively, at June 30, 2011. There were approximately 199 million common shares outstanding at September 30, 2011. Comerica repurchased 2.1 million shares of common stock in the open market during the third quarter 2011 under the share repurchase program.

As previously announced, Comerica completed the acquisition of Sterling on July 28, 2011. In connection with the acquisition, Comerica issued approximately 24 million shares of common stock. The fair value of assets acquired included $2.1 billion of loans and $1.5 billion of investment securities, and liabilities assumed included $4.0 billion of deposits. Goodwill resulting from the acquisition totaled $485 million.

Comerica's tangible common equity ratio was 10.43 percent at September 30, 2011, a decrease of 47 basis points from June 30, 2011. The estimated Tier 1 common capital ratio increased four basis points, to 10.57 percent at September 30, 2011, from June 30, 2011.

Fourth Quarter 2011 Outlook

For the fourth quarter 2011, compared to the third quarter 2011, management expects the following, assuming a continuation of the current economic environment:

    --  A low-single digit increase in average total loans, largely reflecting
        the impact of one additional month of Sterling. Period-end loans are
        expected to be relatively stable.  In the fourth quarter 2011, loans in
        the National Dealer Services business line are expected to grow,
        Mortgage Banker Finance loan growth is expected to moderate, and loans
        in the Commercial Real Estate business line are expected to continue to
        decrease.
    --  Average earning assets of approximately $54.5 billion, reflecting
        increases, primarily related to Sterling, in average loans and average
        investment securities available-for-sale.
    --  An average net interest margin of about 3.15 percent, reflecting the
        benefit from an increase in mortgage-backed investment securities, one
        additional month of Sterling and lower excess liquidity, offset by a
        reduction in the accretion of the purchase discount on the acquired
        Sterling loan portfolio ($15 million to $20 million, compared to $27
        million in the third quarter 2011).
    --  Net credit-related charge-offs between $65 million and $75 million for
        the fourth quarter 2011. The provision for credit losses is expected to
        trend modestly lower from the third quarter 2011.
    --  A mid-single digit decline in noninterest income in the fourth quarter
        2011 compared to the third quarter 2011, primarily due to the impact of
        regulatory changes and no significant net securities gains expected in
        the fourth quarter 2011, partially offset by one additional month of
        Sterling noninterest income in the fourth quarter 2011.
    --  Excluding merger and restructuring charges, a low- to mid-single digit
        increase in noninterest expenses in the fourth quarter 2011 compared to
        the third quarter 2011, primarily due to one additional month of
        Sterling expenses in the fourth quarter 2011.
    --  Merger and restructuring charges of approximately $25 million,
        after-tax, ($40 million, pre-tax) recognized in the fourth quarter 2011.
    --  Total acquisition synergies of approximately 35 percent of Sterling
        expenses, or about $56 million, with the majority realized in 2012.
    --  For fourth quarter 2011, income tax expense to approximate 36 percent of
        income before income taxes less approximately $17 million in tax
        benefits.
    --  Continue share repurchase program that, combined with dividend payments,
        results in a payout up to 50 percent of full-year earnings.

Business Segments

Comerica's operations are strategically aligned into three major business segments: the Business Bank, the Retail Bank, and Wealth Management. The Finance Division is also included as a segment. The financial results below are based on the internal business unit structure of the Corporation and methodologies in effect at September 30, 2011 and are presented on a fully taxable equivalent (FTE) basis. The accompanying narrative addresses third quarter 2011 results compared to second quarter 2011.

The following table presents net income (loss) by business segment.



    (dollar
     amounts
     in
     millions)                  3rd Qtr '11            2nd Qtr '11       3rd Qtr '10
    ----------                  -----------            -----------       -----------
    Business
     Bank                   $179        86%      $176        95%   $133   114%
    Retail
     Bank                     19         9         (3)       (2)     (7)   (6)
    Wealth
     Management               11         5         12         7     (10)   (8)
    -----------              ---       ---        ---       ---     ---   ---
                             209       100%       185       100%    116   100%
    Finance                  (91)                 (87)              (58)
    Other (a)                (20)                  (2)                1
    ---------                ---                  ---               ---
         Total               $98                  $96               $59
         -----               ---                  ---               ---


    (a) Includes discontinued operations and items not
     directly associated with the three major business
     segments or the Finance Division.
    --------------------------------------------------

Business Bank



    (dollar amounts in       3rd Qtr        2nd Qtr        3rd Qtr
     millions)                 '11            '11            '10
    ------------------       -------        -------        -------
    Net interest income
     (FTE)                      $363           $342           $336
    Provision for loan
     losses                       20              6             57
    Noninterest income            77             79             69
    Noninterest expenses         162            158            155
    Net income                   179            176            133

    Net credit-related
     charge-offs                  40             54             99

    Selected average
     balances:
    Assets                    30,602         29,893         30,309
    Loans                     29,949         29,380         29,940
    Deposits                  21,754         20,396         19,266

    Net interest margin         4.81%          4.65%          4.45%
    -------------------         ----           ----           ----

    --  Average loans increased $569 million, primarily due to the addition of
        Sterling and increases in Mortgage Banker Finance, Technology and Life
        Sciences and Global Corporate Banking, partially offset by decreases in
        National Dealer Services, Commercial Real Estate and Middle Market.
    --  Average deposits increased $1.4 billion, primarily due to the addition
        of Sterling and increases in Global Corporate Banking, the Financial
        Services Division and Technology and Life Sciences, partially offset by
        a decrease in Mortgage Banker Finance.
    --  The net interest margin of 4.81 percent increased 16 basis points,
        primarily due to the benefit from the accretion of the purchase discount
        on the acquired Sterling loan portfolio.
    --  The provision for loan losses increased $14 million, primarily
        reflecting increases in Commercial Real Estate and Leasing, partially
        offset by declines in Middle Market and Global Corporate Banking.
    --  Noninterest expenses increased $4 million, reflecting expenses from
        Sterling operations of $5 million and increases in net allocated
        corporate overhead expenses, legal fees and the provision for credit
        losses on lending-related commitments, partially offset by decreases in
        incentive compensation and FDIC insurance expense.

Retail Bank



    (dollar amounts in         3rd Qtr        2nd Qtr        3rd Qtr
     millions)                   '11            '11            '10
    ------------------         -------        -------        -------
    Net interest income
     (FTE)                        $173           $141           $133
    Provision for loan
     losses                         17             24             24
    Noninterest income              47             46             45
    Noninterest expenses           174            162            165
    Net income ( loss )             19             (3)            (7)

    Net credit-related
     charge-offs                    28             22             19

    Selected average
     balances:
    Assets                       5,991          5,453          5,777
    Loans                        5,489          4,999          5,314
    Deposits                    19,797         17,737         16,972

    Net interest margin           3.46%          3.22%          3.10%
    -------------------           ----           ----           ----

    --  Average loans increased $490 million, primarily due to the addition of
        Sterling, partially offset by decreases in Small Business Banking and
        Personal Banking.
    --  Average deposits increased $2.1 billion. Sterling contributed $1.9
        billion of the increase in average deposits.
    --  The net interest margin of 3.46 percent increased 24 basis points,
        primarily reflecting the benefit from the accretion of the purchase
        discount on the acquired Sterling loan portfolio.
    --  The provision for loan losses decreased $7 million, reflecting declines
        in both Small Business Banking and Personal Banking.
    --  Noninterest expenses increased $12 million, primarily due to the
        Sterling acquisition, partially offset by a decrease in FDIC insurance
        expense.

Wealth Management



    (dollar amounts in        3rd Qtr        2nd Qtr        3rd Qtr
     millions)                  '11            '11            '10
    ------------------        -------        -------        -------
    Net interest income
     (FTE)                        $45            $48            $41
    Provision for loan
     losses                         6             14             37
    Noninterest income             56             63             59
    Noninterest expenses           78             76             78
    Net income ( loss )            11             12            (10)

    Net credit-related
     charge-offs                    9             14             14

    Selected average
     balances:
    Assets                      4,674          4,728          4,855
    Loans                       4,652          4,742          4,824
    Deposits                    3,198          2,978          2,606

    Net interest margin          3.85%          4.07%          3.42%
    -------------------          ----           ----           ----

    --  Average loans decreased $90 million.
    --  Average deposits increased $220 million, primarily reflecting an
        increase in the Western market.
    --  The net interest margin of 3.85 percent decreased 22 basis points,
        primarily due to a decrease in loan spreads, partially offset by an
        increase in deposit balances.
    --  The provision for loan losses decreased $8 million, primarily reflecting
        decreases in the Midwest and Florida markets.
    --  Noninterest income decreased $7 million, primarily due to a decrease in
        fiduciary income.

Geographic Market Segments

Comerica also provides market segment results for four primary geographic markets: Midwest, Western, Texas and Florida. In addition to the four primary geographic markets, Other Markets and International are also reported as market segments. The financial results below are based on methodologies in effect at September 30, 2011 and are presented on a fully taxable equivalent (FTE) basis. The accompanying narrative addresses third quarter 2011 results compared to second quarter 2011.

The following table presents net income (loss) by market segment.



    (dollar
     amounts
     in
     millions)                     3rd Qtr '11           2nd Qtr '11       3rd Qtr '10
    ----------                     -----------           -----------       -----------
    Midwest                     $59        28%      $62       34%     $48   42%
    Western                      49        23        50       27       14   12
    Texas                        65        31        33       18       14   12
    Florida                       1         1        (5)      (3)      (6)  (5)
    Other
     Markets                     23        11        30       16       33   28
    International                12         6        15        8       13   11
    -------------               ---       ---       ---      ---      ---  ---
                                209       100%      185      100%     116  100%
    Finance &
     Other
     Businesses
     (a)                      (111)                (89)              (57)
    -----------                ----                 ---               ---
         Total                  $98                 $96               $59
         -----                  ---                 ---               ---


    (a) Includes discontinued operations and items not
     directly associated with the geographic markets.
    --------------------------------------------------

Midwest Market



    (dollar amounts in      3rd Qtr        2nd Qtr        3rd Qtr
     millions)                '11            '11            '10
    ------------------      -------        -------        -------
    Net interest income
     (FTE)                     $199           $204           $200
    Provision for loan
     losses                      21             15             38
    Noninterest income           96            100             99
    Noninterest expenses        183            183            186
    Net income                   59             62             48

    Net credit-related
     charge-offs                 33             37             61

    Selected average
     balances:
    Assets                   14,123         14,267         14,445
    Loans                    13,873         14,051         14,276
    Deposits                 18,511         18,319         17,777

    Net interest margin        4.27%          4.46%          4.45%
    -------------------        ----           ----           ----

    --  Average loans decreased $178 million, with an increase in Global
        Corporate Banking more than offset by declines in most other business
        lines.
    --  Average deposits increased $192 million, primarily due to an increase in
        Global Corporate Banking.
    --  The net interest margin of 4.27 percent decreased 19 basis points,
        primarily due to decreases in loan and deposit spreads and a decline in
        loan balances.
    --  The provision for loan losses increased $6 million, primarily reflecting
        an increase in Middle Market, partially offset by a decline in Global
        Corporate Banking.
    --  Noninterest income decreased $4 million, primarily due to decreases in
        fiduciary income and investment banking fees.

Western Market



    (dollar amounts in       3rd Qtr        2nd Qtr        3rd Qtr
     millions)                 '11            '11            '10
    ------------------       -------        -------        -------
    Net interest income
     (FTE)                      $166           $166           $157
    Provision for loan
     losses                       14             20             51
    Noninterest income            32             37             31
    Noninterest expenses         106            108            107
    Net income                    49             50             14

    Net credit-related
     charge-offs                  32             26             58

    Selected average
     balances:
    Assets                    12,110         12,329         12,746
    Loans                     11,889         12,121         12,556
    Deposits                  12,975         12,458         11,793

    Net interest margin         5.06%          5.35%          4.96%
    -------------------         ----           ----           ----

    --  Average loans decreased $232 million, primarily due to a decrease in
        National Dealer Services.
    --  Average deposits increased $517 million, reflecting increases in most
        business lines.
    --  The net interest margin of 5.06 percent decreased 29 basis points,
        primarily due to decreases in loan and deposit spreads and a decline in
        loan balances.
    --  The provision for loan losses decreased $6 million, primarily reflecting
        a decrease in Middle Market, partially offset by an increase in
        Commercial Real Estate.
    --  Noninterest income decreased $5 million, primarily due to a decrease in
        warrant income.

Texas Market



    (dollar amounts in         3rd Qtr        2nd Qtr        3rd Qtr
     millions)                   '11            '11            '10
    ------------------         -------        -------        -------
    Net interest income
     (FTE)                        $143            $89            $78
    Provision for loan
     losses                         (7)            (2)            17
    Noninterest income              29             25             21
    Noninterest expenses            79             63             61
    Net income                      65             33             14

    Total net credit-
     related charge-offs             2              3              5

    Selected average
     balances:
    Assets                       8,510          7,081          6,556
    Loans                        8,145          6,871          6,357
    Deposits                     8,865          6,175          5,443

    Net interest margin           6.40%          5.19%          4.87%
    -------------------           ----           ----           ----

    --  Average loans increased $1.3 billion, primarily due to the addition of
        Sterling.
    --  Average deposits increased $2.7 billion, primarily reflecting the
        addition of Sterling and an increase in Global Corporate Banking.
    --  The net interest margin of 6.40 percent increased 121 basis points,
        primarily reflecting the benefit from the accretion of the purchase
        discount on the acquired Sterling loan portfolio and higher loan
        spreads, partially offset by a decline in deposit spreads.
    --  The provision for loan losses decreased $5 million, primarily reflecting
        a decrease in Middle Market.
    --  Noninterest income increased $4 million, primarily due to increases in
        warrant income and service charges on deposit accounts related to the
        Sterling acquisition.
    --  Noninterest expenses increased $16 million, primarily due to the
        Sterling acquisition.

Florida Market



    (dollar amounts in         3rd Qtr        2nd Qtr        3rd Qtr
     millions)                   '11            '11            '10
    ------------------         -------        -------        -------
    Net interest income
     (FTE)                         $11            $12            $10
    Provision for loan
     losses                          2             11             10
    Noninterest income               4              4              4
    Noninterest expenses            11             12             13
    Net income (loss)                1             (5)            (6)

    Net credit-related
     charge-offs                     5             15              6

    Selected average
     balances:
    Assets                       1,450          1,534          1,528
    Loans                        1,477          1,565          1,549
    Deposits                       404            396            364

    Net interest margin           2.94%          3.14%          2.61%
    -------------------           ----           ----           ----

    --  Average loans decreased $88 million, primarily due to decreases in
        National Dealer Services and Commercial Real Estate.
    --  The net interest margin of 2.94 percent decreased 20 basis points,
        primarily due to decreases in loan and deposits spreads.
    --  The provision for loan losses decreased $9 million, primarily reflecting
        decreases in Commercial Real Estate, Middle Market and Private Banking.

Conference Call and Webcast

Comerica will host a conference call to review third quarter 2011 financial results at 7 a.m. CT Wednesday, October 19, 2011. Interested parties may access the conference call by calling (800) 309-2262 or (706) 679-5261 (event ID No. 11574116). The call and supplemental financial information can also be accessed on the Internet at www.comerica.com. A telephone replay will be available approximately two hours following the conference call through October 31, 2011. The conference call replay can be accessed by calling (800) 642-1687 or (706) 645-9291 (event ID No. 11574116). A replay of the Webcast can also be accessed via Comerica's "Investor Relations" page at www.comerica.com.

Comerica Incorporated is a financial services company headquartered in Dallas, Texas, and strategically aligned by three major business segments: the Business Bank, the Retail Bank, and Wealth Management. Comerica focuses on relationships and helping people and businesses be successful. In addition to Texas, Comerica Bank locations can be found in Arizona, California, Florida and Michigan, with select businesses operating in several other states, as well as in Canada and Mexico.

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

Forward-looking Statements

Any statements in this news release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Words such as "anticipates," "believes," "feels," "expects," "estimates," "seeks," "strives," "plans," "intends," "outlook," "forecast," "position," "target," "mission," "assume," "achievable," "potential," "strategy," "goal," "aspiration," "opportunity," "initiative," "outcome," "continue," "remain," "maintain," "trend," "objective," "pending," "looks forward" and variations of such words and similar expressions, or future or conditional verbs such as "will," "would," "should," "could," "might," "can," "may" or similar expressions, as they relate to Comerica or its management, are intended to identify forward-looking statements. These forward-looking statements are predicated on the beliefs and assumptions of Comerica's management based on information known to Comerica's management as of the date of this news release and do not purport to speak as of any other date. Forward-looking statements may include descriptions of plans and objectives of Comerica's management for future or past operations, products or services, and forecasts of Comerica's revenue, earnings or other measures of economic performance, including statements of profitability, business segments and subsidiaries, estimates of credit trends and global stability. Such statements reflect the view of Comerica's management as of this date with respect to future events and are subject to risks and uncertainties. Should one or more of these risks materialize or should underlying beliefs or assumptions prove incorrect, Comerica's actual results could differ materially from those discussed. Factors that could cause or contribute to such differences are changes in general economic, political or industry conditions and related credit and market conditions; changes in trade, monetary and fiscal policies, including the interest rate policies of the Federal Reserve Board; adverse conditions in the capital markets; the interdependence of financial service companies; changes in regulation or oversight, including the effects of recently enacted legislation, actions taken by or proposed by the U.S. Treasury, the Board of Governors of the Federal Reserve System, the Texas Department of Banking and the Federal Deposit Insurance Corporation, legislation or regulations enacted in the future, and the impact and expiration of such legislation and regulatory actions; unfavorable developments concerning credit quality; the acquisition of Sterling Bancshares, Inc., or any future acquisitions; the effects of more stringent capital or liquidity requirements; declines or other changes in the businesses or industries in which Comerica has a concentration of loans, including, but not limited to, the automotive production industry and the real estate business lines; the implementation of Comerica's strategies and business models, including the anticipated performance of any new banking centers and the implementation of revenue enhancements and efficiency improvements; Comerica's ability to utilize technology to efficiently and effectively develop, market and deliver new products and services; operational difficulties or information security problems; changes in the financial markets, including fluctuations in interest rates and their impact on deposit pricing; the entry of new competitors in Comerica's markets; changes in customer borrowing, repayment, investment and deposit practices; management's ability to maintain and expand customer relationships; management's ability to retain key officers and employees; the impact of legal and regulatory proceedings; the effectiveness of methods of reducing risk exposures; the effects of war and other armed conflicts or acts of terrorism and the effects of catastrophic events including, but not limited to, hurricanes, tornadoes, earthquakes, fires, droughts and floods. Comerica cautions that the foregoing list of factors is not exclusive. For discussion of factors that may cause actual results to differ from expectations, please refer to our filings with the Securities and Exchange Commission. In particular, please refer to "Item 1A. Risk Factors" beginning on page 16 of Comerica's Annual Report on Form 10-K for the year ended December 31, 2010, "Item 1A. Risk Factors" beginning on page 65 of Comerica's Quarterly Report on Form 10-Q for the quarter ended March 31, 2011 and "Item 1A. Risk Factors" beginning on page 74 of Comerica's Quarterly Report on Form 10-Q for the quarter ended June 30, 2011. Forward-looking statements speak only as of the date they are made. Comerica does not undertake to update forward-looking statements to reflect facts, circumstances, assumptions or events that occur after the date the forward-looking statements are made. For any forward-looking statements made in this news release or in any documents, Comerica claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.



    CONSOLIDATED FINANCIAL HIGHLIGHTS (unaudited)
    Comerica Incorporated and Subsidiaries


                                              Three Months Ended                     Nine Months Ended
                                              ------------------                     -----------------
                                      September                     September
                                         30,       June 30,              30,               September 30,
    (in millions,
     except per
     share data)                          2011         2011         2010             2011          2010
    -------------                         ----         ----         ----             ----          ----
    PER COMMON SHARE AND
     COMMON STOCK DATA
    Diluted net
     income                          $0.51        $0.53        $0.33            $1.61        $0.34
    Cash
     dividends
     declared                         0.10         0.10         0.05             0.30         0.15
    Common
     shareholders'
     equity (at
     period end)                     34.94        34.15        33.19

    Average
     diluted
     shares (in
     thousands)                    191,634      177,602      177,686          182,602      171,260
    -----------                    -------      -------      -------          -------      -------
    KEY RATIOS
    Return on
     average
     common
     shareholders'
     equity                           5.91%     6.41%     4.07%      6.44%     1.40%
    Return on
     average
     assets                           0.67         0.70         0.43             0.71         0.43
    Tier 1 common
     capital
     ratio (a)
     (b)                             10.57        10.53         9.96
    Tier 1 risk-
     based
     capital
     ratio (b)                       10.65        10.53         9.96
    Total risk-
     based
     capital
     ratio (b)                       14.84        14.80        14.37
    Leverage
     ratio (b)                       11.41        11.40        10.91
    Tangible
     common
     equity ratio
     (a)                             10.43        10.90        10.39
    -------------                    -----        -----        -----
    AVERAGE BALANCES
    Commercial
     loans                         $22,127      $21,677      $20,967          $21,769      $20,963
    Real estate
     construction loans:
          Commercial
           Real Estate
           business
           line (c)                  1,269        1,486        2,203            1,501        2,559
          Other
           business
           lines (d)                   430          395          422              417          438
                    Total real
                     estate
                     construction
                     loans           1,699        1,881        2,625            1,918        2,997
    Commercial mortgage
     loans:
         Commercial
          Real Estate
          business
          line (c)                   2,244        1,912        2,065            2,046        2,005
         Other
          business
          lines (d)                  8,031        7,724        8,192            7,856        8,333
                    Total
                     commercial
                     mortgage
                     loans          10,275        9,636       10,257            9,902       10,338
    Residential
     mortgage
     loans                           1,606        1,525        1,590            1,577        1,610
    Consumer
     loans                           2,292        2,243        2,421            2,272        2,450
    Lease
     financing                         936          958        1,064              960        1,100
    International
     loans                           1,163        1,254        1,178            1,212        1,233
                                     -----        -----        -----            -----        -----
    Total loans                     40,098       39,174       40,102           39,610       40,691

    Earning
     assets                         53,243       50,136       50,189           50,923       51,645
    Total assets                    58,238       54,517       54,729           55,526       56,158
    Noninterest-
     bearing
     deposits                       17,511       15,786       14,920           16,259       14,922
    Interest-
     bearing core
     deposits                       27,132       25,281       23,866           25,721       23,400
    Total core
     deposits                       44,643       41,067       38,786           41,980       38,322
    Common
     shareholders'
     equity                          6,633        5,972        5,842            6,150        5,543
    Total
     shareholders'
     equity                          6,633        5,972        5,842            6,150        6,134
    --------------                   -----        -----        -----            -----        -----
    NET INTEREST INCOME
    Net interest
     income
     (fully
     taxable
     equivalent
     basis)                           $424      $392      $405     $1,212    $1,245
    Fully taxable
     equivalent
     adjustment                          1            1            1                3            4
    Net interest
     margin
     (fully
     taxable
     equivalent
     basis)                           3.18%     3.14%     3.23%      3.19%     3.23%
    ------------                      ----         ----         ----             ----         ----
    CREDIT QUALITY
    Nonaccrual
     loans                            $929         $941       $1,163
    Reduced-rate
     loans                              29           33           28
                                       ---          ---          ---
    Total
     nonperforming
     loans (e)                         958          974        1,191
    Foreclosed
     property (f)                       87           70          120
                                       ---          ---          ---
    Total
     nonperforming
     assets (e)                      1,045        1,044        1,311

    Loans past
     due 90 days
     or more and
     still
     accruing                           81        64       104

    Gross loan
     charge-offs                        90          125          145             $338         $487
    Loan
     recoveries                         13           35           13               70           36
                                       ---          ---          ---              ---          ---
    Net loan
     charge-offs                        77           90          132              268          451
    Lending-
     related
     commitment
     charge-offs                         -            -            -                -            -
                                       ---          ---          ---              ---          ---
    Total net
     credit-
     related
     charge-offs                        77           90          132              268          451

    Allowance for
     loan losses                       767          806          957
    Allowance for
     credit
     losses on
     lending-
     related
     commitments                        27        30        38
                                       ---          ---          ---
    Total
     allowance
     for credit
     losses                            794          836          995

    Allowance for
     loan losses
     as a
     percentage
     of total
     loans (g)                        1.86%     2.06%     2.38%
    Net loan
     charge-offs
     as a
     percentage
     of average
     total loans                      0.77      0.92      1.32       0.90%     1.48%
    Net credit-
     related
     charge-offs
     as a
     percentage
     of average
     total loans                      0.77      0.92      1.32       0.90      1.48
    Nonperforming
     assets as a
     percentage of
     total loans
     and
     foreclosed
     property (e)                     2.53      2.66      3.24
    Allowance for
     loan losses
     as a
     percentage
     of total
     nonperforming
     loans                              80        83        80
    --------------                     ---          ---          ---

    (a) See Reconciliation of Non-GAAP Financial Measures.
    (b) September 30, 2011 ratios are estimated.
    (c) Primarily loans to real estate investors and developers.
    (d) Primarily loans secured by owner-occupied real estate.
    (e) Excludes loans acquired with credit-impairment.
    (f) Included Sterling foreclosed property of $24 million at
     September 30, 2011.
    (g) Reflects the impact of acquired loans, which were initially
     recorded at fair value with no related allowance for loan losses.



    CONSOLIDATED BALANCE SHEETS
     Comerica Incorporated and Subsidiaries


                                             September 30,     June 30,   December 31,   September 30,
    (in
     millions,
     except
     share
     data)                                             2011          2011          2010            2010
    ----------                                         ----          ----          ----            ----
                                            (unaudited)     (unaudited)                 (unaudited)
    ASSETS
    Cash and
     due from
     banks                                           $981          $987          $668            $863

    Federal
     funds
     sold and
     securities
     purchased
     under
     agreements
     to
     resell                                             -             -             -             100
    Interest-
     bearing
     deposits
     with
     banks                                          4,217         2,479         1,415           3,031
    Other
     short-
     term
     investments                                      137           124           141             115

     Investment
     securities
     available-
     for-
     sale                                           9,732         7,537         7,560           6,816

     Commercial
     loans                                         23,113        22,052        22,145          21,432
    Real
     estate
     construction
     loans                                          1,648         1,728         2,253           2,444
     Commercial
     mortgage
     loans                                         10,539         9,579         9,767          10,180
     Residential
     mortgage
     loans                                          1,643         1,491         1,619           1,586
    Consumer
     loans                                          2,309         2,232         2,311           2,403
    Lease
     financing                                        927           949         1,009           1,053
     International
     loans                                          1,046         1,162         1,132           1,182
     -------------                                  -----         -----         -----           -----
                Total loans                        41,225        39,193        40,236          40,280
    Less
     allowance
     for loan
     losses                                          (767)         (806)         (901)           (957)
    ----------                                       ----          ----          ----            ----
                Net loans                          40,458        38,387        39,335          39,323

    Premises
     and
     equipment                                        685           641           630             639
     Customers'
     liability
     on
     acceptances
     outstanding                                        8            10             9              13
    Accrued
     income
     and
     other
     assets                                         4,670         3,976         3,909           4,104
    -------                                         -----         -----         -----           -----
                Total assets                      $60,888       $54,141       $53,667         $55,004
                ------------                      -------       -------       -------         -------

     LIABILITIES
     AND
     SHAREHOLDERS'
     EQUITY
     Noninterest-
     bearing
     deposits                                     $19,116       $16,344       $15,538         $15,763

    Money
     market
     and NOW
     deposits                                      20,237        18,033        17,622          17,288
    Savings
     deposits                                       1,771         1,462         1,397           1,363
    Customer
     certificates
     of
     deposit                                        5,980         5,551         5,482           5,723
    Other
     time
     deposits                                          45             -             -               -
    Foreign
     office
     time
     deposits                                         303           368           432             494
    ---------                                         ---           ---           ---             ---
                 Total interest-bearing
                 deposits                          28,336        25,414        24,933          24,868
                -----------------------            ------        ------        ------          ------
                Total deposits                     47,452        41,758        40,471          40,631

    Short-
     term
     borrowings                                       164            67           130             179
     Acceptances
     outstanding                                        8            10             9              13
    Accrued
     expenses
     and
     other
     liabilities                                    1,304         1,062         1,126           1,085
    Medium-
     and
     long-
     term
     debt                                           5,009         5,206         6,138           7,239
    -------                                         -----         -----         -----           -----
                Total liabilities                  53,937        48,103        47,874          49,147

    Common
     stock -
     $5 par
     value:
          Authorized
          -
          325,000,000
          shares
         Issued -
          228,164,824
          shares
          at
          9/30/11
          and
          203,878,110
          shares
          at
          6/30/11,
              12/31/10
               and
               9/30/10                              1,141         1,019         1,019           1,019
    Capital
     surplus                                        2,162         1,472         1,481           1,473
     Accumulated
     other
     comprehensive
     loss                                            (230)         (308)         (389)           (238)
    Retained
     earnings                                       5,471         5,395         5,247           5,171
    Less cost
     of
     common
     stock in
     treasury
     -
     29,238,425
     shares
     at
     9/30/11,
     27,092,427
     shares
     at
     6/30/11,
     27,342,518
     shares
     at
     12/31/10,
     and
     27,394,831
     shares
     at
     9/30/10                                       (1,593)       (1,540)       (1,565)         (1,568)
    -----------                                    ------        ------        ------          ------
                 Total shareholders'
                 equity                             6,951         6,038         5,793           5,857
                --------------------                -----         -----         -----           -----
                 Total liabilities and
                 shareholders' equity             $60,888       $54,141       $53,667         $55,004
                 ---------------------            -------       -------       -------         -------



    CONSOLIDATED STATEMENTS OF INCOME
     (unaudited)
    Comerica Incorporated and Subsidiaries


                                                    Three
                                                                            Months Nine Months
                                                                            Ended     Ended
                                                  September       September
                                                                             30,      30,
                                                ----------      ----------
    (in millions,
     except per
     share data)                               2011   2010    2011    2010
    -------------                              ----   ----    ----    ----

    INTEREST INCOME
    Interest and
     fees on loans                             $405   $399  $1,149  $1,223
    Interest on
     investment
     securities                                  54     55     170     177
    Interest on
     short-term
     investments                                  4      2       9       8
    ------------                                ---    ---     ---     ---
                   Total interest income        463    456   1,328   1,408

    INTEREST EXPENSE
    Interest on
     deposits                                    24     27      69      91
    Interest on
     medium- and
     long-term debt                              16     25      50      76
    ---------------                                    ---
                   Total interest expense        40     52     119     167
                   ----------------------       ---    ---     ---     ---
                   Net interest income          423    404   1,209   1,241
    Provision for
     loan losses                                 38    122     134     423
    -------------                               ---    ---     ---     ---
                    Net interest income after
                    provision for loan
                    losses                      385    282   1,075     818

    NONINTEREST
     INCOME
    Service charges
     on deposit
     accounts                                    53     51     156     159
    Fiduciary income                             37     38     115     115
    Commercial
     lending fees                                22     22      64      66
    Letter of credit
     fees                                        19     19      55      56
    Card fees                                    17     15      47      43
    Foreign exchange
     income                                      11      8      30      28
    Bank-owned life
     insurance                                   10      9      27      26
    Brokerage fees                                5      6      17      18
    Net securities
     gains                                       12      -      18       3
    Other
     noninterest
     income                                      15     18      81      60
    ------------                                ---    ---     ---     ---
                   Total noninterest income     201    186     610     574

    NONINTEREST
     EXPENSES
    Salaries                                    192    187     565     535
    Employee
     benefits                                    53     47     153     136
    ---------                                   ---    ---     ---     ---
         Total salaries
          and employee
          benefits                              245    234     718     671
    Net occupancy
     expense                                     44     40     122     120
    Equipment
     expense                                     17     15      49      47
    Outside
     processing fee
     expense                                     25     23      74      69
    Software expense                             22     22      65      66
    Merger and
     restructuring
     charges                                     33      -      38       -
    FDIC insurance
     expense                                      8     14      35      47
    Legal fees                                   12      9      29      26
    Advertising
     expense                                      7      7      21      23
    Other real
     estate expense                               5      7      19      24
    Litigation and
     operational
     losses                                       8      2      16       5
    Provision for
     credit losses
     on lending-
     related
     commitments                                 (3)    (6)     (8)      1
    Other
     noninterest
     expenses                                    37     35     106     104
    ------------                                ---    ---     ---     ---
                    Total noninterest
                    expenses                    460    402   1,284   1,203
                   ------------------           ---    ---   -----   -----
    Income from
     continuing
     operations
     before income
     taxes                                      126     66     401     189
    Provision for
     income taxes                                28      7     104      25
    -------------                               ---    ---     ---     ---
    Income from
     continuing
     operations                                  98     59     297     164
    Income from
     discontinued
     operations, net
     of tax                                       -      -       -      17
    ----------------                            ---    ---     ---     ---
    NET INCOME                                   98     59     297     181
    Less:
        Preferred stock
         dividends                                -      -       -     123
        Income allocated
         to
         participating
         securities                               1      -       3       -
        ----------------                        ---    ---     ---     ---
    Net income
     attributable to
     common shares                              $97    $59    $294     $58
    ----------------                            ---    ---    ----     ---

    Basic earnings
     per common
     share:
          Income from
           continuing
           operations                         $0.51  $0.34   $1.63   $0.24
          Net income                           0.51   0.34    1.63    0.34

    Diluted earnings
     per common
     share:
         Income from
          continuing
          operations                           0.51   0.33    1.61    0.24
         Net income                            0.51   0.33    1.61    0.34

    Cash dividends
     declared on
     common stock                                20      9      55      26
    Cash dividends
     declared per
     common share                              0.10   0.05    0.30    0.15
    --------------                             ----   ----    ----    ----



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


                                     Third     Second    First     Fourth    Third             Third Quarter 2011 Compared To:
                                                                                               -------------------------------
                                                                                           Second Quarter          Third Quarter
                                                           Quarter   Quarter   Quarter Quarter   Quarter              2011       2010
    (in
     millions,
     except per
     share data)                       2011      2011      2011      2010      2010    Amount   Percent      Amount   Percent
    ----------------                    ----      ----      ----      ----      ----    ------   -------      ------   -------

    INTEREST
     INCOME
    Interest and
     fees on
     loans                             $405      $369      $375      $394      $399        $36        9%          $6        1%
    Interest on
     investment
     securities                          54        59        57        49        55         (5)      (7)          (1)       -
    Interest on
     short-term
     investments                          4         3         2         2         2          1       41            2       49
    ------------                        ---       ---       ---       ---       ---        ---      ---          ---      ---
              Total interest
              income                    463       431       434       445       456         32        7            7        1

    INTEREST
     EXPENSE
    Interest on
     deposits                            24        23        22        24        27          1        3           (3)     (13)
    Interest on
     short-term
     borrowings                           -         -         -         1         -          -        3            -      (78)
    Interest on
     medium-
     and long-
     term debt                           16        17        17        15        25         (1)      (8)          (9)     (36)
    -----------                         ---       ---       ---       ---       ---        ---      ---          ---      ---
              Total interest
              expense                    40        40        39        40        52          -       (2)         (12)     (24)
             ---------------            ---       ---       ---       ---       ---        ---      ---          ---      ---
             Net interest income        423       391       395       405       404         32        8           19        5
    Provision
     for loan
     losses                              38        47        49        57       122         (9)     (19)         (84)     (69)
    ---------                           ---       ---       ---       ---       ---        ---      ---          ---      ---
              Net interest income
              after provision
              for loan losses           385       344       346       348       282         41       12          103       36

    NONINTEREST
     INCOME
    Service
     charges on
     deposit
     accounts                            53        51        52        49        51          2        5            2        3
    Fiduciary
     income                              37        39        39        39        38         (2)      (7)          (1)      (2)
    Commercial
     lending
     fees                                22        21        21        29        22          1        1            -       (1)
    Letter of
     credit fees                         19        18        18        20        19          1        2            -       (1)
    Card fees                            17        15        15        15        15          2        6            2       12
    Foreign
     exchange
     income                              11        10         9        11         8          1       14            3       30
    Bank-owned
     life
     insurance                           10         9         8        14         9          1       14            1       10
    Brokerage
     fees                                 5         6         6         7         6         (1)      (4)          (1)      (8)
    Net
     securities
     gains                               12         4         2         -         -          8      N/M           12      N/M
    Other
     noninterest
     income                              15        29        37        31        18        (14)     (47)          (3)     (18)
    ------------                        ---       ---       ---       ---       ---        ---      ---          ---      ---
              Total noninterest
              income                    201       202       207       215       186         (1)      (1)          15        7

    NONINTEREST
     EXPENSES
    Salaries                            192       185       188       205       187          7        4            5        3
    Employee
     benefits                            53        50        50        43        47          3        6            6       13
    ---------                           ---       ---       ---       ---       ---        ---      ---          ---      ---
         Total
          salaries
          and
          employee
          benefits                      245       235       238       248       234      10        4        11        5
    Net
     occupancy
     expense                             44        38        40        42        40          6       12            4        9
    Equipment
     expense                             17        17        15        16        15          -        3            2        9
    Outside
     processing
     fee expense                         25        25        24        27        23          -        2            2       10
    Software
     expense                             22        20        23        23        22          2        5            -        -
    Merger and
     restructuring
     charges                             33         5         -         -         -         28      N/M           33      N/M
    FDIC
     insurance
     expense                              8        12        15        15        14         (4)     (42)          (6)     (49)
    Legal fees                           12         8         9         9         9          4       39            3       32
    Advertising
     expense                              7         7         7         8         7          -        -            -       (5)
    Other real
     estate
     expense                              5         6         8         5         7         (1)      (2)          (2)     (28)
    Litigation
     and
     operational
     losses                               8         5         3         6         2          3       83            6      N/M
    Provision
     for credit
     losses on
     lending-
     related
     commitments                         (3)       (2)       (3)       (3)       (6)     (1)     (52)        3       49
    Other
     noninterest
     expenses                            37        33        36        41        35          4       18            2       10
    ------------                        ---       ---       ---       ---       ---        ---      ---          ---      ---
              Total noninterest
              expenses                  460       409       415       437       402         51       12           58       14
             ------------------         ---       ---       ---       ---       ---        ---      ---          ---      ---
    Income
     before
     income
     taxes                              126       137       138       126        66        (11)      (8)          60       88
    Provision
     for income
     taxes                               28        41        35        30         7        (13)     (33)          21      N/M
    -----------                         ---       ---       ---       ---       ---        ---      ---          ---      ---
    NET INCOME                           98        96       103        96        59          2        2           39       65
    Less:
        Income
         allocated
         to
         participating
         securities                       1         1         1         1         -       -       (9)        1       65
                                                                                                    ---                   ---
    Net income
     attributable
     to common
     shares                             $97       $95      $102       $95       $59         $2        2%         $38       65%
    -------------                       ---       ---      ----       ---       ---        ---      ---          ---      ---

    Earnings per
     common
     share:
         Basic                        $0.51     $0.54     $0.58     $0.54     $0.34     $(0.03)     (6)%       $0.17       50%
         Diluted                       0.51      0.53      0.57      0.53      0.33      (0.02)      (4)        0.18       55

    Cash
     dividends
     declared on
     common
     stock                               20        18        17        18         9       2       11        11      N/M
    Cash
     dividends
     declared
     per common
     share                             0.10      0.10      0.10      0.10      0.05       -        -      0.05      N/M
    -----------                        ----      ----      ----      ----      ----        ---      ---         ----      ---

    N/M - Not meaningful



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


                                                            2011                   2010
                                                            ----                   ----
     (in
     millions)               3rd Qtr      2nd Qtr       1st Qtr       4th Qtr   3rd Qtr
                             -------      -------       -------       -------   -------

     Balance
     at
     beginning
     of
     period                     $806       $849       $901      $957      $967

    Loan
     charge-
     offs:
        Commercial                33            66            65           43        38
        Real
         estate
         construction:
             Commercial
             Real
             Estate
             business
             line
             (a)                  11         12          8        34        40
             Other
             business
             lines
             (b)                   -             -             1            -         1
               Total
               real
               estate
               construction       11            12             9           34        41
         Commercial
         mortgage:
             Commercial
             Real
             Estate
             business
             line
             (a)                  12          8          9         9        16
             Other
             business
             lines
             (b)                  21            23            25           34        40
               Total
               commercial
               mortgage           33            31            34           43        56
         Residential
         mortgage                  4             7             2            5         2
        Consumer                   9             9             8           15         7
         Lease
         financing                 -             -             -            -         -
        International              -             -             5            -         1
        -------------
             Total
             loan
             charge-
             offs                 90           125           123          140       145

     Recoveries
     on
     loans
     previously
     charged-
     off:
        Commercial                 5            13             4            7         7
         Real
         estate
         construction              3             5             2            3         1
         Commercial
         mortgage                  3             5             9           10         2
         Residential
         mortgage                  1             1             -            1         -
        Consumer                   1             1             1            2         1
         Lease
         financing                 -             6             5            4         1
        International              -             4             1            -         1
             Total
             recoveries           13            35            22           27        13

     Net
     loan
     charge-
     offs                         77            90           101          113       132
     Provision
     for
     loan
     losses                       38            47            49           57       122
     Balance
     at
     end
     of
     period                     $767       $806       $849      $901      $957
     -------                    ----          ----          ----         ----      ----

     Allowance
     for
     loan
     losses
     as
     a
     percentage
     of
     total
     loans
     (c)                        1.86%      2.06%      2.17%     2.24%     2.38%

     Net
     loan
     charge-
     offs
     as
     a
     percentage
     of
     average
     total
     loans                      0.77       0.92       1.03      1.13      1.32

     Net
     credit-
     related
     charge-
     offs
     as
     a
     percentage
     of
     average
     total
     loans                      0.77       0.92       1.03      1.13      1.32
     ----------                 ----          ----          ----         ----      ----

    (a) Primarily charge-offs of loans to real estate
     investors and developers.
    (b) Primarily charge-offs of loans secured by owner-
     occupied real estate.
    (c) Reflects the impact of acquired loans, which were
     initially recorded at fair value with no related
     allowance for loan losses.



    ANALYSIS OF THE ALLOWANCE FOR CREDIT LOSSES ON LENDING-
     RELATED COMMITMENTS (unaudited)
    Comerica Incorporated and Subsidiaries


                                                             2011                     2010
                                                             ----                     ----
    (in
     millions)              3rd Qtr       2nd Qtr        1st Qtr      4th Qtr     3rd Qtr
                            -------       -------        -------      -------     -------

    Balance
     at
     beginning
     of
     period                      $30        $32         $35       $38        $44
    Add:
     Provision
     for
     credit
     losses
     on
     lending-
     related
     commitments                  (3)        (2)         (3)       (3)        (6)
    Balance
     at end
     of
     period                      $27           $30            $32          $35         $38
    -------                      ---           ---            ---          ---         ---

    Unfunded
     lending-
     related
     commitments
     sold                         $-         $3          $2        $-         $-
    ------------                 ---           ---            ---          ---         ---



    NONPERFORMING ASSETS (unaudited)
    Comerica Incorporated and Subsidiaries


                                                                         2011                 2010
                                                                         ----                 ----
                                                             2nd         1st
    (in millions)                                                   3rd Qtr        Qtr    Qtr      4th Qtr 3rd Qtr
    -------------                             -------       ----        ----      -------  -------

    SUMMARY OF
     NONPERFORMING ASSETS
     AND PAST DUE LOANS
    Nonaccrual loans:
      Business loans:
        Commercial                             $258        $261        $226        $252     $258
        Real estate
         construction:
         Commercial Real
          Estate business
          line (a)                              109         137         195         259      362
         Other business
          lines (b)                               3           2           3           4        4
           Total real
            estate
            construction                        112         139         198         263      366
        Commercial mortgage:
         Commercial Real
          Estate business
          line (a)                              198         186         197         181      153
         Other business
          lines (b)                             275         269         293         302      304
           Total commercial
            mortgage                            473         455         490         483      457
        Lease financing                           5           6           7           7       10
        International                             7           7           4           2        2
        -------------                           ---         ---         ---         ---      ---
    Total nonaccrual
     business loans                             855         868         925       1,007    1,093
    Retail loans:
        Residential
         mortgage                                65          60          58          55       59
        Consumer:
         Home equity                              4           4           6           5        5
        Other consumer                            5           9           7          13        6
        --------------                          ---         ---         ---         ---      ---
          Total consumer                          9          13          13          18       11
          --------------                        ---         ---         ---         ---      ---
        Total nonaccrual
         retail loans                            74          73          71          73       70
        ----------------                        ---         ---         ---         ---      ---
      Total nonaccrual
       loans                                    929         941         996       1,080    1,163
    Reduced-rate
     loans                                       29          33          34          43       28
    Total
     nonperforming
     loans (c)                                  958         974       1,030       1,123    1,191
    Foreclosed
     property (d)                                87          70          74         112      120
    Total
     nonperforming
     assets (c)                              $1,045      $1,044      $1,104      $1,235   $1,311
    --------------                           ------      ------      ------      ------   ------

    Nonperforming
     loans as a
     percentage of
     total loans                               2.32%       2.49%       2.63%       2.79%    2.96%
    Nonperforming
     assets as a
     percentage of
     total loans and
     foreclosed
     property                                  2.53     2.66     2.81       3.06     3.24
    Allowance for
     loan losses as
     a percentage of
     total
     nonperforming
     loans                                       80       83       82         80       80
    Loans past due
     90 days or more
     and still
     accruing                                   $81         $64         $72         $62     $104



    ANALYSIS OF NONACCRUAL
     LOANS
    Nonaccrual loans
     at beginning of
     period                                    $941        $996      $1,080      $1,163   $1,098
         Loans
          transferred to
          nonaccrual (e)                        130         150         149         173      290
         Nonaccrual
          business loan
          gross charge-
          offs (f)                              (76)       (109)       (111)       (120)    (136)
         Loans
          transferred to
          accrual status
          (e)                                   (15)          -          (4)         (4)     (10)
         Nonaccrual
          business loans
          sold (g)                              (15)         (9)        (60)        (41)     (12)
         Payments/Other
          (h)                                   (36)        (87)        (58)        (91)     (67)
    Nonaccrual loans
     at end of
     period                                    $929        $941        $996      $1,080   $1,163
    ----------------                           ----        ----        ----      ------   ------

    (a) Primarily loans to real estate investors and developers.
    (b) Primarily loans secured by owner-occupied real estate.
    (c) Excludes loans acquired with credit impairment.
    (d) Included Sterling foreclosed property of $24 million at
     September 30, 2011.
    (e) Based on an analysis of nonaccrual loans with book balances
     greater than $2 million.
    (f) Analysis of gross loan charge-offs:

          Nonaccrual
           business loans                       $76        $109        $111        $120     $136
          Performing watch
           list loans                             1           -           2           -        -
          Consumer and
           residential
           mortgage loans                        13          16          10          20        9
                                                ---         ---         ---         ---      ---
                Total gross loan
                charge-offs                     $90        $125        $123        $140     $145
                                        -----------
    (g) Analysis of loans
     sold:

          Nonaccrual
           business loans                       $15          $9         $60         $41      $12
          Performing watch
           list loans                            16           6          35          29        7
                                                ---         ---         ---         ---      ---
               Total loans sold                 $31         $15         $95         $70      $19
                                                ---
    (h) Includes net changes related to nonaccrual loans with balances
     less than $2 million, payments on nonaccrual loans with book
     balances greater than $2 million and transfers of nonaccrual loans
     to foreclosed property. Excludes business loan gross charge-offs
     and business nonaccrual loans sold.



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


                                                         Nine Months Ended
                                                         -----------------
                                         September 30, 2011                  September 30, 2010
                                         ------------------                  ------------------
                                   Average                 Average        Average               Average
     (dollar
     amounts
     in
     millions)                    Balance     Interest      Rate        Balance   Interest      Rate
    ----------                    -------     --------      ----        -------   --------      ----

     Commercial
     loans                          $21,769       $603    3.70%          $20,963       $614    3.92%
     Real
     estate
     construction
     loans                            1,918         59    4.12             2,997         69    3.08
     Commercial
     mortgage
     loans                            9,902        306    4.12            10,338        321    4.15
     Residential
     mortgage
     loans                            1,577         63    5.34             1,610         65    5.37
     Consumer
     loans                            2,272         59    3.47             2,450         65    3.55
     Lease
     financing                          960         25    3.53             1,100         31    3.72
     International
     loans                            1,212         35    3.89             1,233         37    3.96
     Business
     loan
     swap
     income                               -          1       -                 -         24       -
                                        ---        ---     ---               ---        ---     ---
            Total loans (a)          39,610      1,151    3.88            40,691      1,226    4.02

     Auction-
     rate
     securities
     available-
     for-
     sale                               497          3    0.75        789          6    1.04
     Other
     investment
     securities
     available-
     for-
     sale                             7,131        168    3.20      6,393        172    3.66
                                      -----        ---    ----             -----        ---    ----
             Total investment
             securities
             available-for-
             sale                     7,628        171    3.03             7,182        178    3.36

     Federal
     funds
     sold
     and
     securities
     purchased
     under
     agreements
     to
     resell                               2          -    0.33          5          -    0.38
     Interest-
     bearing
     deposits
     with
     banks
     (b)                              3,555          7    0.24      3,641          7    0.25
     Other
     short-
     term
     investments                        128          2    2.14               126          1    1.64
                                        ---        ---    ----               ---        ---    ----
             Total earning
             assets                  50,923      1,331    3.50            51,645      1,412    3.66

     Cash
     and
     due
     from
     banks                              908          809
     Allowance
     for
     loan
     losses                            (860)                             (1,033)
     Accrued
     income
     and
     other
     assets                           4,555        4,737
                                      -----                                -----
            Total assets            $55,526                              $56,158
                                    -------

     Money
     market
     and
     NOW
     deposits                       $18,539         36    0.26    $16,035         38    0.32
     Savings
     deposits                         1,516          1    0.11             1,397          1    0.07
     Customer
     certificates
     of
     deposit                          5,666         30    0.70             5,968         42    0.94
                                      -----        ---    ----             -----        ---    ----
             Total interest-
             bearing core
             deposits                25,721         67    0.35            23,400         81    0.46
     Other
     time
     deposits                            26          -    0.38               409          9    3.04
     Foreign
     office
     time
     deposits                           402          2    0.51               462          1    0.27
                                        ---        ---    ----               ---        ---    ----
             Total interest-
             bearing deposits        26,149         69    0.35            24,271         91    0.50

     Short-
     term
     borrowings                         137          -    0.15               230          -    0.24

     Medium-
     and
     long-
     term
     debt                             5,702         50    1.17      9,521         76    1.06
                                      -----        ---    ----             -----        ---    ----
             Total interest-
             bearing sources         31,988        119    0.50            34,022        167    0.65

     Noninterest-
     bearing
     deposits                        16,259                               14,922
     Accrued
     expenses
     and
     other
     liabilities                      1,129        1,080
     Total
     shareholders'
     equity                           6,150                                6,134
                                      -----                                -----
             Total liabilities
             and
             shareholders'
             equity                 $55,526                              $56,158
                                 ----------

    Net interest income/rate spread (FTE)       $1,212    3.00                       $1,245    3.01
                                                ------                               ------

    FTE adjustment                                  $3                                   $4
                                                   ---                                  ---

    Impact of net noninterest-bearing sources of funds               0.19                               0.22
    --------------------------------------------------               ----                               ----
    Net interest margin (as a percentage
      of average earning assets) (FTE) (a) (b)               3.19%                                3.23%
      ----------------------------------------               ----                                 ----

    (a) Accretion of the purchase discount on
     the acquired loan portfolio of $27
     million increased the net interest
     margin by seven basis points year-to-
     date 2011.
    (b) Excess liquidity, represented by
     average balances deposited with the
     Federal Reserve Bank, reduced the net
     interest margin by 22 basis  points both
     year-to-date 2011 and 2010.



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


                                                                        Three Months Ended
                                                                        ------------------
                                     September 30, 2011                     June 30, 2011                     September 30, 2010
                                     ------------------                     -------------                     ------------------
                              Average                 Average        Average                 Average       Average                 Average
    (dollar
     amounts
     in
     millions)                Balance    Interest    Rate         Balance    Interest    Rate        Balance    Interest    Rate
    ----------                -------    --------    ----         -------    --------    ----        -------    --------    ----

     Commercial
     loans                     $22,127       $207   3.70%           $21,677       $196   3.65%          $20,967       $203   3.84%
    Real
     estate
     construction
     loans                       1,699         23   5.28              1,881         17   3.75             2,625         21   3.19
     Commercial
     mortgage
     loans                      10,275        115   4.42              9,636         96   3.98            10,257        105   4.06
     Residential
     mortgage
     loans                       1,606         21   5.30              1,525         21   5.50             1,590         21   5.25
    Consumer
     loans                       2,292         20   3.56              2,243         20   3.42             2,421         21   3.53
    Lease
     financing                     936          8   3.46                958          8   3.50             1,064         10   3.69
     International
     loans                       1,163         11   4.01              1,254         12   3.80             1,178         12   3.89
    Business
     loan
     swap
     income                          -          -      -                  -          -      -                 -          7      -
                                   ---        ---    ---                ---        ---    ---               ---        ---    ---
      Total
       loans
       (a)                      40,098        405   4.01             39,174        370   3.79            40,102        400   3.96

    Auction-
     rate
     securities
     available-
     for-
     sale                          437          1   0.63         500          1   0.71         673         1   0.99
    Other
     investment
     securities
     available-
     for-
     sale                        7,721         54   2.87       6,907         58   3.40       6,233        54   3.54
                                 -----        ---   ----              -----        ---   ----             -----        ---   ----
      Total
       investment
       securities
       available-
       for-
       sale                      8,158         55   2.74       7,407         59   3.20       6,906        55   3.27

    Federal
     funds
     sold and
     securities
     purchased
     under
     agreements
     to
     resell                          -          -   0.44           2          -   0.33          13         -   0.31
    Interest-
     bearing
     deposits
     with
     banks (b)                   4,851          3   0.23       3,433          3   0.25       3,047         2   0.25
    Other
     short-
     term
     investments                   136          1   2.30                120          -   1.39               121          -   1.53
                                   ---        ---   ----                ---        ---   ----               ---        ---   ----
      Total
       earning
       assets                   53,243        464   3.47             50,136        432   3.46            50,189        457   3.64

    Cash and
     due from
     banks                         969                                  872                                 843
    Allowance
     for loan
     losses                       (814)                                (859)                             (1,003)
    Accrued
     income
     and
     other
     assets                      4,840         4,368         4,700
                                 -----                                -----                               -----
      Total
       assets                  $58,238                              $54,517                             $54,729
                               -------                              -------                             -------

    Money
     market
     and NOW
     deposits                  $19,595        $13   0.25            $18,207        $11   0.26           $16,681        $13   0.31
    Savings
     deposits                    1,659          -   0.14              1,465          1   0.09             1,377          1   0.08
    Customer
     certificates
     of
     deposit                     5,878         10   0.66              5,609         10   0.70             5,808         12   0.87
                                 -----        ---   ----              -----        ---   ----             -----        ---   ----
      Total
       interest-
       bearing
       core
       deposits                 27,132         23   0.33      25,281         22   0.35      23,866        26   0.43
    Other
     time
     deposits                       76          -   0.38                  -          -      -                65          -   0.51
    Foreign
     office
     time
     deposits                      379          1   0.52                413          1   0.52               479          1   0.36
                                   ---        ---   ----                ---        ---   ----               ---        ---   ----
      Total
       interest-
       bearing
       deposits                 27,587         24   0.33             25,694         23   0.35            24,410         27   0.43

    Short-
     term
     borrowings                    204          -   0.08                112          -   0.14               208          -   0.35
    Medium-
     and
     long-
     term
     debt                        5,168         16   1.23       5,821         17   1.20       8,245        25   1.21
                                 -----        ---   ----              -----        ---   ----             -----        ---   ----
      Total
       interest-
       bearing
       sources                  32,959         40   0.47             31,627         40   0.51            32,863         52   0.63

     Noninterest-
     bearing
     deposits                   17,511                               15,786                              14,920
    Accrued
     expenses
     and
     other
     liabilities                 1,135         1,132         1,104
    Total
     shareholders'
     equity                      6,633                                5,972                               5,842
                                 -----                                -----                               -----
      Total
       liabilities
       and
       shareholders'
       equity                  $58,238       $54,517       $54,729
                               -------                              -------                             -------

    Net interest
     income/rate
     spread (FTE)                            $424   3.00                          $392   2.95                         $405   3.01
                                             ----                                 ----                                ----

    FTE adjustment                             $1                                   $1                                  $1
                                              ---                                  ---                                 ---

    Impact of net
     noninterest-
     bearing sources
     of funds                                       0.18                                 0.19                                0.22
    ----------------                                ----                                 ----                                ----
    Net interest
     margin (as a
     percentage of
     average earning
     assets) (FTE)
     (a) (b)                              3.18%      3.14%      3.23%
    ----------------                                ----                                 ----                                ----

    (a) Accretion of the purchase discount on the acquired loan portfolio of $27 million
     increased the net interest margin by 20 basis points in the third quarter 2011.
    (b) Excess liquidity, represented by average balances deposited with the Federal
     Reserve Bank, reduced the net interest margin by 29 basis points and by 21 points in
     the third and second quarters of 2011, respectively, and by 19 basis points in the
     third quarter of 2010.



    CONSOLIDATED STATISTICAL DATA (unaudited)
    Comerica Incorporated and Subsidiaries


                                           September 30,        June 30,  March 31,  December 31,  September 30,
    (in millions,
     except per share
     data)                                           2011            2011       2011          2010           2010
    -----------------                                ----            ----       ----          ----           ----

    Commercial loans:
         Floor plan                              $1,209          $1,478     $1,893        $2,017         $1,693
         Other                                   21,904          20,574     19,467        20,128         19,739
         -----                                   ------          ------     ------        ------         ------
            Total commercial loans               23,113          22,052     21,360        22,145         21,432
    Real estate construction loans:
         Commercial Real
          Estate business
          line (a)                                1,164           1,343      1,606         1,826          2,023
         Other business
          lines (b)                                 484             385        417           427            421
         --------------                             ---             ---        ---           ---            ---
             Total real estate
             construction loans                   1,648           1,728      2,023         2,253          2,444
    Commercial mortgage loans:
         Commercial Real
          Estate business
          line (a)                                2,271           1,930      1,918         1,937          2,091
         Other business
          lines (b)                               8,268           7,649      7,779         7,830          8,089
         --------------                           -----           -----      -----         -----          -----
             Total commercial mortgage
             loans                               10,539           9,579      9,697         9,767         10,180
    Residential
     mortgage loans                               1,643           1,491      1,550         1,619          1,586
    Consumer loans:
         Home equity                              1,683           1,622      1,661         1,704          1,736
         Other consumer                             626             610        601           607            667
         --------------                             ---             ---        ---           ---            ---
            Total consumer loans                  2,309           2,232      2,262         2,311          2,403
    Lease financing                                 927             949        958         1,009          1,053
    International loans                           1,046           1,162      1,326         1,132          1,182
    -------------------                           -----           -----      -----         -----          -----
            Total loans                         $41,225         $39,193    $39,176       $40,236        $40,280
            -----------                         -------         -------    -------       -------        -------

    Goodwill                                       $635            $150       $150          $150           $150
    Core deposit
     intangible                                      32               -          -             -              -
    Loan servicing
     rights                                           3               4          4             5              5

    Tier 1 common
     capital ratio (c)
     (d)                                          10.57%          10.53%     10.35%        10.13%          9.96%
    Tier 1 risk-based
     capital ratio (d)                            10.65           10.53      10.35         10.13           9.96
    Total risk-based
     capital ratio (d)                            14.84           14.80      14.80         14.54          14.37
    Leverage ratio (d)                            11.41           11.40      11.37         11.26          10.91
    Tangible common
     equity ratio (c)                             10.43           10.90      10.43         10.54          10.39

    Book value per
     common share                                $34.94          $34.15     $33.25        $32.82         $33.19
    Market value per share for the
     quarter:
         High                                     35.79           39.00      43.53         43.44          40.21
         Low                                      21.48           33.08      36.20         34.43          33.11
         Close                                    22.97           34.57      36.72         42.24          37.15

    Quarterly ratios:
         Return on average
          common
          shareholders'
          equity                                   5.91%           6.41%      7.08%         6.53%          4.07%
         Return on average
          assets                                   0.67            0.70       0.77          0.71           0.43
         Efficiency ratio                         75.11           69.33      69.05         70.38          67.88

    Number of banking
     centers                                        502             446        445           444            441

    Number of employees
     -full time
     equivalent (e)                               9,701           8,915      8,955         9,001          9,075

    (a) Primarily loans to real estate investors and developers.
    (b) Primarily loans secured by owner-occupied real estate.
    (c) See Reconciliation of Non-GAAP Financial Measures.
    (d) September 30, 2011 ratios are estimated.
    (e) Included 749 Sterling employees at September 30, 2011.



    PARENT COMPANY ONLY BALANCE SHEETS (unaudited)
    Comerica Incorporated

                                             September 30,   December 31,   September 30,
    (in millions,
     except share
     data)                                             2011           2010            2010
    -------------                                      ----           ----            ----

    ASSETS
    Cash and due from
     subsidiary bank                                     $3             $-             $10
    Short-term
     investments with
     subsidiary bank                                    440            327             793
    Other short-term
     investments                                         86             86              82
    Investment in
     subsidiaries,
     principally
     banks                                            7,098          5,957           6,039
    Premises and
     equipment                                            3              4               3
    Other assets                                        189            181             202
          Total assets                               $7,819         $6,555          $7,129
          ------------                               ------         ------          ------

    LIABILITIES AND
     SHAREHOLDERS'
     EQUITY
    Medium- and
     long-term debt                                    $722           $635          $1,155
    Other liabilities                                   146            127             117
          Total liabilities                             868            762           1,272

    Common stock -$5
     par value:
        Authorized -
         325,000,000
         shares
        Issued -
         228,164,824
         shares at
         9/30/2011 and
         203,878,110
         shares at
         12/31/2010 and
         9/30/2010                                    1,141          1,019           1,019
    Capital surplus                                   2,162          1,481           1,473
    Accumulated other
     comprehensive
     loss                                              (230)          (389)           (238)
    Retained earnings                                 5,471          5,247           5,171
    Less cost of
     common stock in
     treasury -
     29,238,425
     shares at
     9/30/11,
     27,342,518
     shares at
     12/31/10, and
     27,394,831
     shares at
     9/30/10                                         (1,593)        (1,565)         (1,568)
          Total
           shareholders'
           equity                                     6,951          5,793           5,857
          Total liabilities
           and
           shareholders'
           equity                                    $7,819         $6,555          $7,129
          -----------------                          ------         ------          ------



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


                                                                          Accumulated
                                              Common Stock                    Other                                 Total
                                              ------------
                              Preferred     Shares              Capital  Comprehensive  Retained    Treasury   Shareholders'
    (in
     millions,
     except
     per
     share
     data)                      Stock     Outstanding  Amount   Surplus       Loss      Earnings     Stock        Equity
    ----------                  -----     -----------  ------   -------       ----      --------     -----        ------

    BALANCE
     AT
     DECEMBER
     31,
     2009                        $2,151         151.2     $894     $740          $(336)     $5,161    $(1,581)        $7,029
    Net
     income                           -             -        -        -              -         181          -            181
    Other
     comprehensive
     income,
     net of
     tax                              -             -        -        -             98           -          -             98
                                                                                                                         ---
    Total
     comprehensive
     income                                                                                                              279
    Cash
     dividends
     declared
     on
     preferred
     stock                            -             -        -        -              -         (38)         -            (38)
    Cash
     dividends
     declared
     on
     common
     stock
     ($0.15
     per
     share)                           -             -        -        -              -         (26)         -            (26)
    Purchase
     of
     common
     stock                            -          (0.1)       -        -              -           -         (4)            (4)
    Issuance
     of
     common
     stock                            -          25.1      125      724              -           -          -            849
     Redemption
     of
     preferred
     stock                       (2,250)            -        -        -              -           -          -         (2,250)
     Redemption
     discount
     accretion
     on
     preferred
     stock                           94             -        -        -              -         (94)         -              -
     Accretion
     of
     discount
     on
     preferred
     stock                            5             -        -        -              -          (5)         -              -
    Net
     issuance
     of
     common
     stock
     under
     employee
     stock
     plans                            -           0.3        -      (11)             -          (8)        16             (3)
    Share-
     based
     compensation                     -             -        -       24              -           -          -             24
    Other                             -             -        -       (4)             -           -          1             (3)
    -----                           ---                    ---      ---            ---         ---        ---
    BALANCE
     AT
     SEPTEMBER
     30,
     2010                            $-         176.5   $1,019   $1,473          $(238)     $5,171    $(1,568)        $5,857
    ----------                      ---         -----   ------   ------          -----      ------    -------         ------

    BALANCE
     AT
     DECEMBER
     31,
     2010                            $-         176.5   $1,019   $1,481          $(389)     $5,247    $(1,565)        $5,793
    Net
     income                           -             -        -        -              -         297          -            297
    Other
     comprehensive
     income,
     net of
     tax                              -             -        -        -            159           -          -            159
                                                                                                                         ---
    Total
     comprehensive
     income                                                                                                              456
    Cash
     dividends
     declared
     on
     common
     stock
     ($0.30
     per
     share)                           -             -        -        -              -         (55)         -            (55)
    Purchase
     of
     common
     stock                            -          (2.7)       -        -              -           -        (75)           (75)
     Acquisition
     of
     Sterling
     Bancshares,
     Inc.                             -          24.3      122      681              -           -          -            803
    Net
     issuance
     of
     common
     stock
     under
     employee
     stock
     plans                            -           0.8        -      (29)             -         (18)        47              -
    Share-
     based
     compensation                     -             -        -       29              -           -          -             29
    BALANCE
     AT
     SEPTEMBER
     30,
     2011                            $-         198.9   $1,141   $2,162          $(230)     $5,471    $(1,593)        $6,951
    ----------                      ---         -----   ------   ------          -----      ------    -------         ------



    BUSINESS SEGMENT FINANCIAL RESULTS (unaudited)
    Comerica Incorporated and Subsidiaries
    --------------------------------------
    (dollar amounts
     in millions)                      Business           Retail            Wealth           Finance    Other     Total
    ---------------                    --------           ------            ------           -------    -----     -----
    Three Months
     Ended September
     30, 2011                            Bank              Bank          Management
    ----------------                     ----              ----          ----------
    Earnings summary:
    Net interest
     income
     (expense) (FTE)                        $363              $173               $45             $(167)      $10      $424
    Provision for
     loan losses                              20                17                 6                 -        (5)       38
    Noninterest
     income                                   77                47                56                25        (4)      201
    Noninterest
     expenses                                162               174                78                 3        43       460
    Provision
     (benefit) for
     income taxes
     (FTE)                                    79                10                 6               (54)      (12)       29
    Net income
     (loss)                                 $179               $19               $11              $(91)     $(20)      $98
                                            ----               ---               ---              ----      ----       ---
    Net credit-
     related charge-
     offs                                    $40               $28                $9                $-        $-       $77

    Selected average balances:
    Assets                               $30,602            $5,991            $4,674           $10,176    $6,795   $58,238
    Loans                                 29,949             5,489             4,652                 2         6    40,098
    Deposits                              21,754            19,797             3,198               236       113    45,098

    Statistical data:
    Return on
     average assets
     (a)                                    2.34%             0.38%             0.95%              N/M       N/M      0.67%
    Net interest
     margin (b)                             4.81              3.46              3.85               N/M       N/M      3.18
    Efficiency ratio                       36.70             78.97             78.00               N/M       N/M     75.11
    ----------------                       -----             -----             -----                --        --     -----
    Three Months
     Ended June 30,
     2011                              Business           Retail            Wealth           Finance    Other     Total
    ---------------                    --------           ------            ------           -------    -----     -----
                                         Bank              Bank          Management
                                         ----              ----          ----------
    Earnings summary:
    Net interest
     income
     (expense) (FTE)                        $342              $141               $48             $(147)       $8      $392
    Provision for
     loan losses                               6                24                14                 -         3        47
    Noninterest
     income                                   79                46                63                11         3       202
    Noninterest
     expenses                                158               162                76                 3        10       409
    Provision
     (benefit) for
     income taxes
     (FTE)                                    81                 4                 9               (52)        -        42
    Net income
     (loss)                                 $176               $(3)              $12              $(87)      $(2)      $96
                                            ----               ---               ---              ----       ---       ---
    Net credit-
     related charge-
     offs                                    $54               $22               $14                $-        $-       $90

    Selected average balances:
    Assets                               $29,893            $5,453            $4,728            $9,406    $5,037   $54,517
    Loans                                 29,380             4,999             4,742                48         5    39,174
    Deposits                              20,396            17,737             2,978               239       130    41,480

    Statistical data:
    Return on
     average assets
     (a)                                    2.35%           (0.06)%             1.03%              N/M       N/M      0.70%
    Net interest
     margin (b)                             4.65              3.22              4.07               N/M       N/M      3.14
    Efficiency ratio                       37.41             86.48             71.40               N/M       N/M     69.33
    ----------------                       -----             -----             -----                --        --     -----
    Three Months
     Ended September
     30, 2010                          Business           Retail            Wealth           Finance    Other     Total
    ----------------                   --------           ------            ------           -------    -----     -----
                                         Bank              Bank          Management
                                         ----              ----          ----------
    Earnings summary:
    Net interest
     income
     (expense) (FTE)                        $336              $133               $41             $(104)      $(1)     $405
    Provision for
     loan losses                              57                24                37                 -         4       122
    Noninterest
     income                                   69                45                59                12         1       186
    Noninterest
     expenses                                155               165                78                 2         2       402
    Provision
     (benefit) for
     income taxes
     (FTE)                                    60                (4)               (5)              (36)       (7)        8
    Net income
     (loss)                                 $133               $(7)             $(10)             $(58)       $1       $59
                                            ----               ---              ----              ----       ---       ---
    Net credit-
     related charge-
     offs                                    $99               $19               $14                $-        $-      $132

    Selected average balances:
    Assets                               $30,309            $5,777            $4,855            $9,044    $4,744   $54,729
    Loans                                 29,940             5,314             4,824                30        (6)   40,102
    Deposits                              19,266            16,972             2,606               386       100    39,330

    Statistical data:
    Return on
     average assets
     (a)                                    1.75%           (0.16)%           (0.79)%              N/M       N/M      0.43%
    Net interest
     margin (b)                             4.45              3.10              3.42               N/M       N/M      3.23
    Efficiency ratio                       38.16             92.26             78.49               N/M       N/M     67.88
    ----------------                       -----             -----             -----                --        --     -----


    (a) Return on average assets is calculated based on the greater of average assets or average
     liabilities and attributed equity.
    --------------------------------------------------------------------------------------------
    (b) Net interest margin is calculated based on the greater of average earning assets or average
     deposits and purchased funds.
    -----------------------------------------------------------------------------------------------
    FTE - Fully Taxable Equivalent
    ------------------------------
    N/M - Not Meaningful
    --------------------



    MARKET SEGMENT FINANCIAL RESULTS (unaudited)
    Comerica Incorporated and Subsidiaries


    (dollar amounts
     in millions)                    Midwest       Western       Texas         Florida        Other    International   Finance     Total
    ---------------                  -------       -------       -----         -------        -----    -------------   -------     -----
    Three Months Ended
     September 30, 2011                                                                        Markets                   & Other
    -------------------                                                                        -------                   -------
                                                                                                                        Businesses
                                                                                                                      ----------
    Earnings summary:
    Net interest
     income
     (expense) (FTE)                    $199          $166         $143            $11           $41             $21       $(157)     $424
    Provision for
     loan losses                          21            14           (7)             2            11               2          (5)       38
    Noninterest
     income                               96            32           29              4            10               9          21       201
    Noninterest
     expenses                            183           106           79             11            25              10          46       460
    Provision
     (benefit) for
     income taxes
     (FTE)                                32            29           35              1            (8)              6         (66)       29
    Net income
     (loss)                              $59           $49          $65             $1           $23             $12       $(111)      $98
                                         ---           ---          ---            ---           ---             ---       -----       ---
    Net credit-
     related charge-
     offs                                $33           $32           $2             $5            $5              $-          $-       $77

    Selected average
     balances:
    Assets                           $14,123       $12,110       $8,510         $1,450        $3,369          $1,705     $16,971   $58,238
    Loans                             13,873        11,889        8,145          1,477         3,075           1,631           8    40,098
    Deposits                          18,511        12,975        8,865            404         2,391           1,603         349    45,098

    Statistical data:
    Return on
     average assets
     (a)                                1.21%         1.42%        2.70%          0.29%         2.78%           2.76%        N/M      0.67%
    Net interest
     margin (b)                         4.27          5.06         6.40           2.94          5.36            5.00         N/M      3.18
    Efficiency ratio                   61.73         53.15        46.18          78.07         50.15           31.23         N/M     75.11
    ----------------                   -----         -----        -----          -----         -----           -----          --     -----
    Three Months
     Ended June 30,
     2011                            Midwest       Western       Texas         Florida        Other    International   Finance     Total
    ---------------                  -------       -------       -----         -------        -----    -------------   -------     -----
                                                                                             Markets                   & Other
                                                                                             -------                   -------
                                                                                                                      Businesses
                                                                                                                      ----------
    Earnings summary:
    Net interest
     income
     (expense) (FTE)                    $204          $166          $89            $12           $41             $19       $(139)     $392
    Provision for
     loan losses                          15            20           (2)            11             5              (5)          3        47
    Noninterest
     income                              100            37           25              4            13               9          14       202
    Noninterest
     expenses                            183           108           63             12            21               9          13       409
    Provision
     (benefit) for
     income taxes
     (FTE)                                44            25           20             (2)           (2)              9         (52)       42
    Net income
     (loss)                              $62           $50          $33            $(5)          $30             $15        $(89)      $96
                                         ---           ---          ---            ---           ---             ---        ----       ---
    Net credit-
     related charge-
     offs
     (recoveries)                        $37           $26           $3            $15           $11             $(2)         $-       $90

    Selected average
     balances:
    Assets                           $14,267       $12,329       $7,081         $1,534        $3,101          $1,762     $14,443   $54,517
    Loans                             14,051        12,121        6,871          1,565         2,823           1,690          53    39,174
    Deposits                          18,319        12,458        6,175            396         2,451           1,312         369    41,480

    Statistical data:
    Return on
     average assets
     (a)                                1.28%         1.48%        1.84%        (1.29)%         3.89%           3.33%        N/M      0.70%
    Net interest
     margin (b)                         4.46          5.35         5.19           3.14          5.88            4.40         N/M      3.14
    Efficiency ratio                   60.31         53.17        55.16          77.62         40.47           33.16         N/M     69.33
    ----------------                   -----         -----        -----          -----         -----           -----          --     -----
    Three Months
     Ended September
     30, 2010                        Midwest       Western       Texas         Florida        Other    International   Finance     Total
    ----------------                 -------       -------       -----         -------        -----    -------------   -------     -----
                                                                                             Markets                   & Other
                                                                                             -------                   -------
                                                                                                                      Businesses
                                                                                                                      ----------
    Earnings summary:
    Net interest
     income
     (expense) (FTE)                    $200          $157          $78            $10           $47             $18       $(105)     $405
    Provision for
     loan losses                          38            51           17             10             4              (2)          4       122
    Noninterest
     income                               99            31           21              4            10               8          13       186
    Noninterest
     expenses                            186           107           61             13            23               8           4       402
    Provision
     (benefit) for
     income taxes
     (FTE)                                27            16            7             (3)           (3)              7         (43)        8
    Net income
     (loss)                              $48           $14          $14            $(6)          $33             $13        $(57)      $59
                                         ---           ---          ---            ---           ---             ---        ----       ---
    Net credit-
     related charge-
     offs                                $61           $58           $5             $6            $2              $-          $-      $132

    Selected average
     balances:
    Assets                           $14,445       $12,746       $6,556         $1,528        $4,058          $1,608     $13,788   $54,729
    Loans                             14,276        12,556        6,357          1,549         3,802           1,538          24    40,102
    Deposits                          17,777        11,793        5,443            364         2,198           1,269         486    39,330

    Statistical data:
    Return on
     average assets
     (a)                                1.04%         0.42%        0.83%        (1.58)%         3.20%           3.25%        N/M      0.43%
    Net interest
     margin (b)                         4.45          4.96         4.87           2.61          4.99            4.51         N/M      3.23
    Efficiency ratio                   61.47         57.12        62.01          94.50         41.39           30.65         N/M     67.88
    ----------------                   -----         -----        -----          -----         -----           -----          --     -----


    (a) Return on average assets is calculated based on the greater of average assets or average
     liabilities and attributed equity.
    --------------------------------------------------------------------------------------------
    (b) Net interest margin is calculated based on the greater of average earning assets or average
     deposits and purchased funds.
    -----------------------------------------------------------------------------------------------
    FTE - Fully Taxable Equivalent
    ------------------------------
    N/M - Not Meaningful
    --------------------



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


                             September 30,           June 30,              March 31,             December 31,      September 30,
     (dollar
     amounts
     in
     millions)                        2011                 2011                 2011                 2010             2010
     ---------                        ----                 ----                 ----                 ----             ----
    Tier 1 Common
     Capital Ratio:
    Tier 1
     capital
     (a)
     (b)                       $6,560               $6,193               $6,107               $6,027           $5,940
    Less:
      Trust
       preferred
       securities                  49                    -                    -                    -                -
      -----------
    Tier 1
     common
     capital
     (b)                       $6,511               $6,193               $6,107               $6,027           $5,940
    --------                   ------               ------               ------               ------           ------
    Risk-
     weighted
     assets
     (a)
     (b)                      $61,604       $58,795       $58,998       $59,506       $59,608
    Tier 1
     capital
     ratio
     (b)                        10.65%               10.53%               10.35%               10.13%            9.96%
    Tier 1
     common
     capital
     ratio
     (b)                        10.57         10.53         10.35         10.13          9.96
    --------                    -----                -----                -----                -----             ----

    Tangible Common
     Equity Ratio:
    Total
     common
     shareholders'
     equity                    $6,951               $6,038               $5,877               $5,793           $5,857
    Less:
      Goodwill                    635                  150                  150                  150              150
      Other
       intangible
       assets                      35                    4                    5                    6                6
      -----------
     Tangible
     common
     equity                    $6,281               $5,884               $5,722               $5,637           $5,701
     --------                  ------               ------               ------               ------           ------
    Total
     assets                   $60,888              $54,141              $55,017              $53,667          $55,004
    Less:
      Goodwill                    635                  150                  150                  150              150
      Other
       intangible
       assets                      35                    4                    5                    6                6
      -----------
     Tangible
     assets                   $60,218              $53,987              $54,862              $53,511          $54,848
     --------                 -------              -------              -------              -------          -------
    Common
     equity
     ratio                      11.42%               11.15%               10.68%               10.80%           10.65%
     Tangible
     common
     equity
     ratio                      10.43                10.90                10.43                10.54            10.39
     --------                   -----                -----                -----                -----            -----

    (a) Tier 1 capital and risk-weighted assets as defined by regulation.
    (b) September 30, 2011 Tier 1 capital and risk-weighted assets are estimated.

    The Tier 1 common capital ratio removes preferred stock and qualifying trust
     preferred securities from Tier 1 capital as defined by and calculated in conformity
     with bank regulations.  The tangible common equity removes preferred stock and the
     effect of intangible assets from capital and the effect of intangible assets from
     total assets.  Comerica believes these measurements are meaningful measures of
     capital adequacy used by investors, regulators, management and others to evaluate
     the adequacy of common equity and to compare against other companies in the
     industry.

SOURCE Comerica Incorporated

For further information: Media, Wayne J. Mielke, +1-214-462-4463, or Investors, Darlene P. Persons, +1-214-462-6831, or Tracy Fralick, +1-214-462-6834, all of Comerica Incorporated

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Press releases, archived webcasts/presentations/conference calls, and SEC filings speak only to the date they are issued, made or filed, respectively. Investors should not rely on such information as being unchanged in making investment decisions.

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