The Charles Schwab Corporation announced as previously announced, in addition to cost synergies directly related to the integration of TD Ameritrade, the company is planning incremental actions to streamline its operations to prepare for post-integration. The company is currently assessing its real estate footprint, and plans to close or downsize certain corporate offices. In addition, the company plans to reduce its operating costs primarily through lower headcount and professional services.

The company expects to realize at least $500 million of incremental annual run-rate cost savings to be achieved through these actions. In order to achieve these cost savings, the company expects to incur exit and related costs, primarily related to employee compensation and benefits and facility exit costs, of approximately $400 to $500 million. The company anticipates most costs related to position eliminations will be incurred in the second half of 2023, and costs related to real estate will be incurred in 2023 and 2024.