Maryland
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31-0724920
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(State or other jurisdiction of
incorporation or organization)
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(I.R.S. Employer
Identification No.)
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Large accelerated filer
|
x
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Accelerated filer
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¨
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Non-accelerated filer
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¨
(Do not check if a smaller reporting company)
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||||
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Smaller reporting company
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¨
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Emerging growth company
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¨
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ABS
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Asset-Backed Securities
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ACL
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Allowance for Credit Losses
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AFS
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Available-for-Sale
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ALCO
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Asset-Liability Management Committee
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ALLL
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Allowance for Loan and Lease Losses
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ANPR
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Advance Notice of Proposed Rulemaking
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ASC
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Accounting Standards Codification
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ATM
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Automated Teller Machine
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AULC
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Allowance for Unfunded Loan Commitments
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Basel III
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Refers to the final rule issued by the FRB and OCC and published in the Federal Register on October 11, 2013
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BHC
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Bank Holding Companies
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BHC Act
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Bank Holding Company Act of 1956
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C&I
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Commercial and Industrial
|
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Camco Financial
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Camco Financial Corp.
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CCAR
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Comprehensive Capital Analysis and Review
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CDO
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Collateralized Debt Obligations
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CDs
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Certificate of Deposit
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CET1
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Common equity tier 1 on a transitional Basel III basis
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CFPB
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Bureau of Consumer Financial Protection
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CISA
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Cybersecurity Information Sharing Act
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CMO
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Collateralized Mortgage Obligations
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CRA
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Community Reinvestment Act
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CRE
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Commercial Real Estate
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CREVF
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Commercial Real Estate and Vehicle Finance
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DIF
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Deposit Insurance Fund
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Dodd-Frank Act
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Dodd-Frank Wall Street Reform and Consumer Protection Act
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EFT
|
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Electronic Fund Transfer
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EPS
|
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Earnings Per Share
|
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EVE
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Economic Value of Equity
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FASB
|
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Financial Accounting Standards Board
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FDIC
|
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Federal Deposit Insurance Corporation
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FDICIA
|
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Federal Deposit Insurance Corporation Improvement Act of 1991
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FHA
|
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Federal Housing Administration
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FHC
|
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Financial Holding Company
|
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FHLB
|
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Federal Home Loan Bank
|
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FICO
|
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Fair Isaac Corporation
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FIRSTMERIT
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FirstMerit Corporation
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FRB
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Federal Reserve Bank
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FTE
|
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Fully-Taxable Equivalent
|
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FTP
|
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Funds Transfer Pricing
|
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GAAP
|
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Generally Accepted Accounting Principles in the United States of America
|
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HAA
|
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Huntington Asset Advisors, Inc.
|
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HASI
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Huntington Asset Services, Inc.
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HQLA
|
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High Quality Liquid Asset
|
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HTM
|
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Held-to-Maturity
|
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IRS
|
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Internal Revenue Service
|
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LCR
|
|
Liquidity Coverage Ratio
|
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LGD
|
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Loss-Given-Default
|
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LIBOR
|
|
London Interbank Offered Rate
|
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LIHTC
|
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Low Income Housing Tax Credit
|
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LTV
|
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Loan to Value
|
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Macquarie
|
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Macquarie Equipment Finance, Inc. (U.S. operations)
|
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MBS
|
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Mortgage-Backed Securities
|
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MD&A
|
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Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
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MSA
|
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Metropolitan Statistical Area
|
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MSR
|
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Mortgage Servicing Rights
|
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NAICS
|
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North American Industry Classification System
|
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NALs
|
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Nonaccrual Loans
|
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NCO
|
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Net Charge-off
|
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NII
|
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Net Interest Income
|
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NIM
|
|
Net Interest Margin
|
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NPAs
|
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Nonperforming Assets
|
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N.R.
|
|
Not relevant. Denominator of calculation is a gain in the current period compared with a loss in the prior period, or vice-versa
|
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OCC
|
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Office of the Comptroller of the Currency
|
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OCI
|
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Other Comprehensive Income (Loss)
|
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OCR
|
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Optimal Customer Relationship
|
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OLEM
|
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Other Loans Especially Mentioned
|
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OREO
|
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Other Real Estate Owned
|
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OTTI
|
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Other-Than-Temporary Impairment
|
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PD
|
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Probability-Of-Default
|
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Plan
|
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Huntington Bancshares Retirement Plan
|
|
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RBHPCG
|
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Regional Banking and The Huntington Private Client Group
|
|
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REIT
|
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Real Estate Investment Trust
|
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ROC
|
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Risk Oversight Committee
|
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RWA
|
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Risk-Weighted Assets
|
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SAD
|
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Special Assets Division
|
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SBA
|
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Small Business Administration
|
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SEC
|
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Securities and Exchange Commission
|
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SERP
|
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Supplemental Executive Retirement Plan
|
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SRIP
|
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Supplemental Retirement Income Plan
|
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TCE
|
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Tangible Common Equity
|
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TDR
|
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Troubled Debt Restructured Loan
|
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U.S. Treasury
|
|
U.S. Department of the Treasury
|
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UCS
|
|
Uniform Classification System
|
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Unified
|
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Unified Financial Securities, Inc.
|
|
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UPB
|
|
Unpaid Principal Balance
|
|
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USDA
|
|
U.S. Department of Agriculture
|
|
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VIE
|
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Variable Interest Entity
|
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XBRL
|
|
eXtensible Business Reporting Language
|
|
|
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(1)
|
Comparisons for presented periods are impacted by a number of factors. Refer to the “Significant Items” for additional discussion regarding these key factors.
|
(2)
|
Net income excluding expense for amortization of intangibles for the period divided by average tangible common shareholders’ equity. Average tangible common shareholders’ equity equals average total common shareholders’ equity less average intangible assets and goodwill. Expense for amortization of intangibles and average intangible assets are net of deferred tax liability, and calculated assuming a 35% tax rate.
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(3)
|
On a fully-taxable equivalent (FTE) basis assuming a 35% tax rate.
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(4)
|
Noninterest expense less amortization of intangibles and goodwill impairment divided by the sum of FTE net interest income and noninterest income excluding securities gains.
|
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•
|
During the
2017
first
quarter,
$73 million
of noninterest expense and $2 million of noninterest income was recorded related to the acquisition of FirstMerit. This resulted in a negative impact of
$0.04
per common share.
|
•
|
During the
2016
fourth quarter, $95 million of noninterest expense and a decrease of $1 million of noninterest income was recorded related to the acquisition of FirstMerit. This resulted in a negative impact of
$0.06
per common share.
|
•
|
During the
2016
first quarter,
$6 million
of noninterest expense was recorded related to the acquisition of FirstMerit. This resulted in a negative impact of
$0.01
per common share.
|
Table 2 - Significant Items Influencing Earnings Performance Comparison
|
|||||||||||||||||||||||
(dollar amounts in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
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|
|||||||||||||
|
Three Months Ended
|
||||||||||||||||||||||
|
March 31, 2017
|
|
December 31, 2016
|
|
March 31, 2016
|
||||||||||||||||||
|
Amount
|
|
EPS (1)
|
|
Amount
|
|
EPS (1)
|
|
Amount
|
|
EPS (1)
|
||||||||||||
Net income
|
$
|
208,094
|
|
|
|
|
$
|
238,963
|
|
|
|
|
$
|
171,314
|
|
|
|
||||||
Earnings per share, after-tax
|
|
|
$
|
0.17
|
|
|
|
|
$
|
0.20
|
|
|
|
|
$
|
0.20
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Significant Items—favorable (unfavorable) impact:
|
Earnings
|
|
EPS
|
|
Earnings
|
|
EPS
|
|
Earnings
|
|
EPS
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mergers and acquisitions, net expenses
|
$
|
(71,145
|
)
|
|
|
|
$
|
(96,142
|
)
|
|
|
|
$
|
(6,406
|
)
|
|
|
||||||
Tax impact
|
24,901
|
|
|
|
|
33,457
|
|
|
|
|
2,006
|
|
|
|
|||||||||
Mergers and acquisitions, after-tax
|
$
|
(46,244
|
)
|
|
$
|
(0.04
|
)
|
|
$
|
(62,685
|
)
|
|
$
|
(0.06
|
)
|
|
$
|
(4,400
|
)
|
|
$
|
(0.01
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Litigation reserves
|
$
|
—
|
|
|
|
|
$
|
41,587
|
|
|
|
|
$
|
—
|
|
|
|
||||||
Tax impact
|
—
|
|
|
|
|
(14,888
|
)
|
|
|
|
—
|
|
|
|
|||||||||
Litigation reserves, after-tax
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
26,699
|
|
|
$
|
0.02
|
|
|
$
|
—
|
|
|
$
|
—
|
|
(1)
|
Based upon the quarterly average outstanding diluted common shares.
|
Table 3 - Consolidated Average Balance Sheet and Net Interest Margin Analysis
|
||||||||||||||||||||||||||
(dollar amounts in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Average Balances
|
|
|
|
|
|||||||||||||||||||||
|
Three Months Ended
|
|
Change
|
|||||||||||||||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|
1Q17 vs. 1Q16
|
|||||||||||||||
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
Amount
|
|
Percent
|
|||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Interest-bearing deposits in banks
|
$
|
100
|
|
|
$
|
110
|
|
|
$
|
95
|
|
|
$
|
99
|
|
|
$
|
98
|
|
|
$
|
2
|
|
|
2
|
%
|
Loans held for sale
|
415
|
|
|
2,507
|
|
|
695
|
|
|
571
|
|
|
433
|
|
|
(18
|
)
|
|
(4
|
)
|
||||||
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Available-for-sale and other securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Taxable
|
12,800
|
|
|
13,734
|
|
|
9,785
|
|
|
6,904
|
|
|
6,633
|
|
|
6,167
|
|
|
93
|
|
||||||
Tax-exempt
|
3,049
|
|
|
3,136
|
|
|
2,854
|
|
|
2,510
|
|
|
2,358
|
|
|
691
|
|
|
29
|
|
||||||
Total available-for-sale and other securities
|
15,849
|
|
|
16,870
|
|
|
12,639
|
|
|
9,414
|
|
|
8,991
|
|
|
6,858
|
|
|
76
|
|
||||||
Trading account securities
|
137
|
|
|
139
|
|
|
49
|
|
|
41
|
|
|
40
|
|
|
97
|
|
|
245
|
|
||||||
Held-to-maturity securities—taxable
|
7,656
|
|
|
5,432
|
|
|
5,487
|
|
|
5,806
|
|
|
6,054
|
|
|
1,602
|
|
|
26
|
|
||||||
Total securities
|
23,643
|
|
|
22,441
|
|
|
18,175
|
|
|
15,261
|
|
|
15,085
|
|
|
8,558
|
|
|
57
|
|
||||||
Loans and leases: (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Commercial and industrial
|
27,922
|
|
|
27,727
|
|
|
24,957
|
|
|
21,344
|
|
|
20,649
|
|
|
7,273
|
|
|
35
|
|
||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Construction
|
1,314
|
|
|
1,413
|
|
|
1,132
|
|
|
881
|
|
|
923
|
|
|
391
|
|
|
42
|
|
||||||
Commercial
|
6,039
|
|
|
5,805
|
|
|
5,227
|
|
|
4,345
|
|
|
4,283
|
|
|
1,756
|
|
|
41
|
|
||||||
Commercial real estate
|
7,353
|
|
|
7,218
|
|
|
6,359
|
|
|
5,226
|
|
|
5,206
|
|
|
2,147
|
|
|
41
|
|
||||||
Total commercial
|
35,276
|
|
|
34,945
|
|
|
31,316
|
|
|
26,570
|
|
|
25,855
|
|
|
9,421
|
|
|
36
|
|
||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Automobile
|
11,063
|
|
|
10,866
|
|
|
11,402
|
|
|
10,146
|
|
|
9,730
|
|
|
1,333
|
|
|
14
|
|
||||||
Home equity
|
10,072
|
|
|
10,101
|
|
|
9,260
|
|
|
8,416
|
|
|
8,441
|
|
|
1,631
|
|
|
19
|
|
||||||
Residential mortgage
|
7,777
|
|
|
7,690
|
|
|
7,012
|
|
|
6,187
|
|
|
6,018
|
|
|
1,759
|
|
|
29
|
|
||||||
RV and marine finance
|
1,874
|
|
|
1,844
|
|
|
915
|
|
|
—
|
|
|
—
|
|
|
N.R.
|
|
|
N.R.
|
|
||||||
Other consumer
|
919
|
|
|
959
|
|
|
817
|
|
|
613
|
|
|
574
|
|
|
345
|
|
|
60
|
|
||||||
Total consumer
|
31,705
|
|
|
31,460
|
|
|
29,406
|
|
|
25,362
|
|
|
24,763
|
|
|
6,942
|
|
|
28
|
|
||||||
Total loans and leases
|
66,981
|
|
|
66,405
|
|
|
60,722
|
|
|
51,932
|
|
|
50,618
|
|
|
16,363
|
|
|
32
|
|
||||||
Allowance for loan and lease losses
|
(636
|
)
|
|
(614
|
)
|
|
(623
|
)
|
|
(616
|
)
|
|
(604
|
)
|
|
(32
|
)
|
|
5
|
|
||||||
Net loans and leases
|
66,345
|
|
|
65,791
|
|
|
60,099
|
|
|
51,316
|
|
|
50,014
|
|
|
16,331
|
|
|
33
|
|
||||||
Total earning assets
|
91,139
|
|
|
91,463
|
|
|
79,687
|
|
|
67,863
|
|
|
66,234
|
|
|
24,905
|
|
|
38
|
|
||||||
Cash and due from banks
|
2,011
|
|
|
1,538
|
|
|
1,325
|
|
|
1,001
|
|
|
1,013
|
|
|
998
|
|
|
99
|
|
||||||
Intangible assets
|
2,387
|
|
|
2,421
|
|
|
1,547
|
|
|
726
|
|
|
730
|
|
|
1,657
|
|
|
227
|
|
||||||
All other assets
|
5,442
|
|
|
5,559
|
|
|
4,962
|
|
|
4,149
|
|
|
4,223
|
|
|
1,219
|
|
|
29
|
|
||||||
Total assets
|
$
|
100,343
|
|
|
$
|
100,367
|
|
|
$
|
86,898
|
|
|
$
|
73,123
|
|
|
$
|
71,596
|
|
|
$
|
28,747
|
|
|
40
|
%
|
Liabilities and Shareholders’ Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Demand deposits—noninterest-bearing
|
$
|
21,730
|
|
|
$
|
23,250
|
|
|
$
|
20,033
|
|
|
$
|
16,507
|
|
|
$
|
16,334
|
|
|
$
|
5,396
|
|
|
33
|
%
|
Demand deposits—interest-bearing
|
16,805
|
|
|
15,294
|
|
|
12,362
|
|
|
8,445
|
|
|
7,776
|
|
|
9,029
|
|
|
116
|
|
||||||
Total demand deposits
|
38,535
|
|
|
38,544
|
|
|
32,395
|
|
|
24,952
|
|
|
24,110
|
|
|
14,425
|
|
|
60
|
|
||||||
Money market deposits
|
18,653
|
|
|
18,618
|
|
|
18,453
|
|
|
19,534
|
|
|
19,682
|
|
|
(1,029
|
)
|
|
(5
|
)
|
||||||
Savings and other domestic deposits
|
11,970
|
|
|
12,272
|
|
|
8,889
|
|
|
5,402
|
|
|
5,306
|
|
|
6,664
|
|
|
126
|
|
||||||
Core certificates of deposit
|
2,342
|
|
|
2,636
|
|
|
2,285
|
|
|
2,007
|
|
|
2,265
|
|
|
77
|
|
|
3
|
|
||||||
Total core deposits
|
71,500
|
|
|
72,070
|
|
|
62,022
|
|
|
51,895
|
|
|
51,363
|
|
|
20,137
|
|
|
39
|
|
||||||
Other domestic time deposits of $250,000 or more
|
470
|
|
|
391
|
|
|
382
|
|
|
402
|
|
|
455
|
|
|
15
|
|
|
3
|
|
||||||
Brokered deposits and negotiable CDs
|
3,969
|
|
|
4,273
|
|
|
3,904
|
|
|
2,909
|
|
|
2,897
|
|
|
1,072
|
|
|
37
|
|
||||||
Deposits in foreign offices
|
—
|
|
|
152
|
|
|
194
|
|
|
208
|
|
|
264
|
|
|
(264
|
)
|
|
—
|
|
Total deposits
|
75,939
|
|
|
76,886
|
|
|
66,502
|
|
|
55,414
|
|
|
54,979
|
|
|
20,960
|
|
|
38
|
|
||||||
Short-term borrowings
|
3,792
|
|
|
2,628
|
|
|
1,306
|
|
|
1,032
|
|
|
1,145
|
|
|
2,647
|
|
|
231
|
|
||||||
Long-term debt
|
8,529
|
|
|
8,594
|
|
|
8,488
|
|
|
7,899
|
|
|
7,202
|
|
|
1,327
|
|
|
18
|
|
||||||
Total interest-bearing liabilities
|
66,530
|
|
|
64,858
|
|
|
56,263
|
|
|
47,838
|
|
|
46,992
|
|
|
19,538
|
|
|
42
|
|
||||||
All other liabilities
|
1,661
|
|
|
1,833
|
|
|
1,608
|
|
|
1,416
|
|
|
1,515
|
|
|
146
|
|
|
10
|
|
||||||
Shareholders’ equity
|
10,422
|
|
|
10,426
|
|
|
8,994
|
|
|
7,362
|
|
|
6,755
|
|
|
3,667
|
|
|
54
|
|
||||||
Total liabilities and shareholders’ equity
|
$
|
100,343
|
|
|
$
|
100,367
|
|
|
$
|
86,898
|
|
|
$
|
73,123
|
|
|
$
|
71,596
|
|
|
$
|
28,747
|
|
|
40
|
%
|
Table 3 - Consolidated Average Balance Sheet and Net Interest Margin Analysis (Continued)
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||
|
Average Yield Rates (2)
|
|||||||||||||
|
Three Months Ended
|
|||||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|||||
Fully-taxable equivalent basis (3)
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|||||
Assets:
|
|
|
|
|
|
|
|
|
|
|||||
Interest-bearing deposits in banks
|
1.09
|
%
|
|
0.64
|
%
|
|
0.64
|
%
|
|
0.25
|
%
|
|
0.21
|
%
|
Loans held for sale
|
3.82
|
|
|
2.95
|
|
|
3.53
|
|
|
3.89
|
|
|
3.99
|
|
Securities:
|
|
|
|
|
|
|
|
|
|
|||||
Available-for-sale and other securities:
|
|
|
|
|
|
|
|
|
|
|||||
Taxable
|
2.38
|
|
|
2.43
|
|
|
2.35
|
|
|
2.37
|
|
|
2.39
|
|
Tax-exempt
|
3.79
|
|
|
3.60
|
|
|
3.01
|
|
|
3.38
|
|
|
3.40
|
|
Total available-for-sale and other securities
|
2.65
|
|
|
2.65
|
|
|
2.50
|
|
|
2.64
|
|
|
2.65
|
|
Trading account securities
|
0.11
|
|
|
0.18
|
|
|
0.58
|
|
|
0.98
|
|
|
0.50
|
|
Held-to-maturity securities—taxable
|
2.36
|
|
|
2.43
|
|
|
2.41
|
|
|
2.44
|
|
|
2.43
|
|
Total securities
|
2.54
|
|
|
2.58
|
|
|
2.47
|
|
|
2.56
|
|
|
2.56
|
|
Loans and leases: (1)
|
|
|
|
|
|
|
|
|
|
|||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|||||
Commercial and industrial
|
3.98
|
|
|
3.83
|
|
|
3.68
|
|
|
3.49
|
|
|
3.52
|
|
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|||||
Construction
|
3.95
|
|
|
3.65
|
|
|
3.76
|
|
|
3.70
|
|
|
3.51
|
|
Commercial
|
3.69
|
|
|
3.54
|
|
|
3.54
|
|
|
3.35
|
|
|
3.59
|
|
Commercial real estate
|
3.74
|
|
|
3.56
|
|
|
3.58
|
|
|
3.41
|
|
|
3.57
|
|
Total commercial
|
3.93
|
|
|
3.78
|
|
|
3.66
|
|
|
3.47
|
|
|
3.53
|
|
Consumer:
|
|
|
|
|
|
|
|
|
|
|||||
Automobile
|
3.55
|
|
|
3.57
|
|
|
3.37
|
|
|
3.15
|
|
|
3.17
|
|
Home equity
|
4.45
|
|
|
4.24
|
|
|
4.21
|
|
|
4.17
|
|
|
4.20
|
|
Residential mortgage
|
3.63
|
|
|
3.58
|
|
|
3.61
|
|
|
3.65
|
|
|
3.69
|
|
RV and marine finance
|
5.63
|
|
|
5.64
|
|
|
5.70
|
|
|
—
|
|
|
—
|
|
Other consumer
|
12.05
|
|
|
10.91
|
|
|
10.93
|
|
|
10.28
|
|
|
10.02
|
|
Total consumer
|
4.23
|
|
|
4.13
|
|
|
3.97
|
|
|
3.79
|
|
|
3.81
|
|
Total loans and leases
|
4.07
|
|
|
3.95
|
|
|
3.81
|
|
|
3.63
|
|
|
3.67
|
|
Total earning assets
|
3.70
|
|
|
3.60
|
|
|
3.52
|
|
|
3.41
|
|
|
3.44
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|||||
Deposits:
|
|
|
|
|
|
|
|
|
|
|||||
Demand deposits—noninterest-bearing
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Demand deposits—interest-bearing
|
0.15
|
|
|
0.11
|
|
|
0.11
|
|
|
0.09
|
|
|
0.09
|
|
Total demand deposits
|
0.07
|
|
|
0.04
|
|
|
0.04
|
|
|
0.03
|
|
|
0.03
|
|
Money market deposits
|
0.26
|
|
|
0.24
|
|
|
0.24
|
|
|
0.24
|
|
|
0.24
|
|
Savings and other domestic deposits
|
0.22
|
|
|
0.25
|
|
|
0.21
|
|
|
0.11
|
|
|
0.13
|
|
Core certificates of deposit
|
0.39
|
|
|
0.29
|
|
|
0.43
|
|
|
0.79
|
|
|
0.82
|
|
Total core deposits
|
0.22
|
|
|
0.20
|
|
|
0.20
|
|
|
0.22
|
|
|
0.23
|
|
Other domestic time deposits of $250,000 or more
|
0.45
|
|
|
0.39
|
|
|
0.40
|
|
|
0.40
|
|
|
0.41
|
|
Brokered deposits and negotiable CDs
|
0.72
|
|
|
0.48
|
|
|
0.44
|
|
|
0.40
|
|
|
0.38
|
|
(1)
|
For purposes of this analysis, NALs are reflected in the average balances of loans.
|
(2)
|
Loan and lease, and deposit average rates include impact of applicable derivatives, non-deferrable fees, and amortized fees.
|
(3)
|
FTE yields are calculated assuming a 35% tax rate.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 5 - Noninterest Expense
|
|||||||||||||||||||||||||||||||||
(dollar amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
|
Three Months Ended
|
|
1Q17 vs. 1Q16
|
|
1Q17 vs. 4Q16
|
||||||||||||||||||||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|
Change
|
|
Change
|
||||||||||||||||||||
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
||||||||||||||||
Personnel costs
|
$
|
382,000
|
|
|
$
|
359,755
|
|
|
$
|
405,024
|
|
|
$
|
298,949
|
|
|
$
|
285,397
|
|
|
$
|
96,603
|
|
|
34
|
%
|
|
$
|
22,245
|
|
|
6
|
%
|
Outside data processing and other services
|
87,202
|
|
|
88,695
|
|
|
91,133
|
|
|
63,037
|
|
|
61,878
|
|
|
25,324
|
|
|
41
|
|
|
(1,493
|
)
|
|
(2
|
)
|
|||||||
Equipment
|
46,700
|
|
|
59,666
|
|
|
40,792
|
|
|
31,805
|
|
|
32,576
|
|
|
14,124
|
|
|
43
|
|
|
(12,966
|
)
|
|
(22
|
)
|
|||||||
Net occupancy
|
67,700
|
|
|
49,450
|
|
|
41,460
|
|
|
30,704
|
|
|
31,476
|
|
|
36,224
|
|
|
115
|
|
|
18,250
|
|
|
37
|
|
|||||||
Professional services
|
18,295
|
|
|
23,165
|
|
|
47,075
|
|
|
21,488
|
|
|
13,538
|
|
|
4,757
|
|
|
35
|
|
|
(4,870
|
)
|
|
(21
|
)
|
|||||||
Marketing
|
13,923
|
|
|
21,478
|
|
|
14,438
|
|
|
14,773
|
|
|
12,268
|
|
|
1,655
|
|
|
13
|
|
|
(7,555
|
)
|
|
(35
|
)
|
|||||||
Deposit and other insurance expense
|
20,099
|
|
|
15,772
|
|
|
14,940
|
|
|
12,187
|
|
|
11,208
|
|
|
8,891
|
|
|
79
|
|
|
4,327
|
|
|
27
|
|
|||||||
Amortization of intangibles
|
14,355
|
|
|
14,099
|
|
|
9,046
|
|
|
3,600
|
|
|
3,712
|
|
|
10,643
|
|
|
287
|
|
|
256
|
|
|
2
|
|
|||||||
Other expense
|
57,148
|
|
|
49,417
|
|
|
48,339
|
|
|
47,118
|
|
|
39,027
|
|
|
18,121
|
|
|
46
|
|
|
7,731
|
|
|
16
|
|
|||||||
Total noninterest expense
|
$
|
707,422
|
|
|
$
|
681,497
|
|
|
$
|
712,247
|
|
|
$
|
523,661
|
|
|
$
|
491,080
|
|
|
$
|
216,342
|
|
|
44
|
%
|
|
$
|
25,925
|
|
|
4
|
%
|
Number of employees (average full-time equivalent)
|
16,331
|
|
|
15,993
|
|
|
14,511
|
|
|
12,363
|
|
|
12,386
|
|
|
3,945
|
|
|
32
|
%
|
|
338
|
|
|
2
|
%
|
|
Three Months Ended
|
||||||||||
|
March 31,
|
|
December 31,
|
|
March 31,
|
||||||
(dollar amounts in thousands)
|
2017
|
|
2016
|
|
2016
|
||||||
Personnel costs
|
$
|
19,555
|
|
|
$
|
(5,385
|
)
|
|
$
|
474
|
|
Outside data processing and other services
|
14,475
|
|
|
15,420
|
|
|
363
|
|
|||
Equipment
|
5,763
|
|
|
20,000
|
|
|
—
|
|
|||
Net occupancy
|
23,342
|
|
|
7,146
|
|
|
20
|
|
|||
Professional services
|
4,218
|
|
|
9,141
|
|
|
4,288
|
|
|||
Marketing
|
816
|
|
|
4,340
|
|
|
13
|
|
|||
Other expense
|
5,126
|
|
|
2,742
|
|
|
1,248
|
|
|||
Total noninterest expense adjustments
|
$
|
73,295
|
|
|
$
|
53,404
|
|
|
$
|
6,406
|
|
|
Three Months Ended
|
|
1Q17 vs. 1Q16
|
|
1Q17 vs. 4Q16
|
||||||||||||||||||||
|
March 31,
|
|
December 31,
|
|
March 31,
|
|
Change
|
|
Change
|
||||||||||||||||
(dollar amounts in thousands)
|
2017
|
|
2016
|
|
2016
|
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
||||||||||||
Personnel costs
|
$
|
362,445
|
|
|
$
|
365,140
|
|
|
$
|
284,923
|
|
|
$
|
77,522
|
|
|
27
|
%
|
|
$
|
(2,695
|
)
|
|
(1
|
)%
|
Outside data processing and other services
|
72,727
|
|
|
73,275
|
|
|
61,515
|
|
|
11,212
|
|
|
18
|
|
|
(548
|
)
|
|
(1
|
)
|
|||||
Equipment
|
40,937
|
|
|
39,666
|
|
|
32,576
|
|
|
8,361
|
|
|
26
|
|
|
1,271
|
|
|
3
|
|
|||||
Net occupancy
|
44,358
|
|
|
42,304
|
|
|
31,456
|
|
|
12,902
|
|
|
41
|
|
|
2,054
|
|
|
5
|
|
|||||
Professional services
|
14,077
|
|
|
14,024
|
|
|
9,250
|
|
|
4,827
|
|
|
52
|
|
|
53
|
|
|
—
|
|
|||||
Marketing
|
13,107
|
|
|
17,138
|
|
|
12,255
|
|
|
852
|
|
|
7
|
|
|
(4,031
|
)
|
|
(24
|
)
|
|||||
Deposit and other insurance expense
|
20,099
|
|
|
15,772
|
|
|
11,208
|
|
|
8,891
|
|
|
79
|
|
|
4,327
|
|
|
27
|
|
|||||
Amortization of intangibles
|
14,355
|
|
|
14,099
|
|
|
3,712
|
|
|
10,643
|
|
|
287
|
|
|
256
|
|
|
2
|
|
|||||
Other expense
|
52,022
|
|
|
46,675
|
|
|
37,779
|
|
|
14,243
|
|
|
38
|
|
|
5,347
|
|
|
11
|
|
|||||
Total adjusted noninterest expense (Non-GAAP)
|
$
|
634,127
|
|
|
$
|
628,093
|
|
|
$
|
484,674
|
|
|
$
|
149,453
|
|
|
31
|
%
|
|
$
|
6,034
|
|
|
1
|
%
|
Table 7 - Nonaccrual Loans and Leases and Nonperforming Assets
|
|||||||||||||||||||
(dollar amounts in thousands)
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
March 31,
2017 |
|
December 31,
2016 |
|
September 30,
2016 |
|
June 30,
2016 |
|
March 31,
2016 |
||||||||||
Nonaccrual loans and leases (NALs):
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
232,171
|
|
|
$
|
234,184
|
|
|
$
|
220,862
|
|
|
$
|
289,811
|
|
|
$
|
307,824
|
|
Commercial real estate
|
13,889
|
|
|
20,508
|
|
|
21,300
|
|
|
23,663
|
|
|
30,801
|
|
|||||
Automobile
|
4,881
|
|
|
5,766
|
|
|
4,777
|
|
|
5,049
|
|
|
7,598
|
|
|||||
Residential mortgage
|
80,686
|
|
|
90,502
|
|
|
88,155
|
|
|
85,174
|
|
|
90,303
|
|
|||||
RV and marine finance
|
106
|
|
|
245
|
|
|
96
|
|
|
—
|
|
|
—
|
|
|||||
Home equity
|
69,575
|
|
|
71,798
|
|
|
69,044
|
|
|
56,845
|
|
|
62,208
|
|
|||||
Other consumer
|
2
|
|
|
—
|
|
|
—
|
|
|
5
|
|
|
—
|
|
|||||
Total nonaccrual loans and leases
|
401,310
|
|
|
423,003
|
|
|
404,234
|
|
|
460,547
|
|
|
498,734
|
|
|||||
Other real estate:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential
|
31,786
|
|
|
30,932
|
|
|
34,421
|
|
|
26,653
|
|
|
23,175
|
|
|||||
Commercial
|
18,101
|
|
|
19,998
|
|
|
36,915
|
|
|
2,248
|
|
|
2,957
|
|
|||||
Total other real estate
|
49,887
|
|
|
50,930
|
|
|
71,336
|
|
|
28,901
|
|
|
26,132
|
|
|||||
Other NPAs (1)
|
6,910
|
|
|
6,968
|
|
|
—
|
|
|
376
|
|
|
—
|
|
|||||
Total nonperforming assets
|
$
|
458,107
|
|
|
$
|
480,901
|
|
|
$
|
475,570
|
|
|
$
|
489,824
|
|
|
$
|
524,866
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Nonaccrual loans and leases as a % of total loans and leases
|
0.60
|
%
|
|
0.63
|
%
|
|
0.61
|
%
|
|
0.88
|
%
|
|
0.97
|
%
|
|||||
NPA ratio (2)
|
0.68
|
|
|
0.72
|
|
|
0.72
|
|
|
0.93
|
|
|
1.02
|
|
|||||
(NPA+90days)/(Loan+OREO)
|
0.87
|
|
|
0.91
|
|
|
0.92
|
|
|
1.12
|
|
|
1.22
|
|
(1)
|
Other nonperforming assets includes certain impaired investment securities.
|
(2)
|
Nonperforming assets divided by the sum of loans and leases, other real estate owned, and other NPAs.
|
(1)
|
Percentages represent the percentage of each loan and lease category to total loans and leases.
|
Table 10 - Quarterly Net Charge-off Analysis
|
|||||||||||||||||||
(dollar amounts in thousands)
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Three months ended
|
||||||||||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||||
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
||||||||||
Net charge-offs (recoveries) by loan and lease type:
|
|||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
8,096
|
|
|
$
|
15,674
|
|
|
$
|
19,225
|
|
|
$
|
3,702
|
|
|
$
|
6,514
|
|
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction
|
(3,137
|
)
|
|
(1,332
|
)
|
|
(271
|
)
|
|
(377
|
)
|
|
(104
|
)
|
|||||
Commercial
|
895
|
|
|
(4,160
|
)
|
|
(2,427
|
)
|
|
(296
|
)
|
|
(17,372
|
)
|
|||||
Commercial real estate
|
(2,242
|
)
|
|
(5,492
|
)
|
|
(2,698
|
)
|
|
(673
|
)
|
|
(17,476
|
)
|
|||||
Total commercial
|
5,854
|
|
|
10,182
|
|
|
16,527
|
|
|
3,029
|
|
|
(10,962
|
)
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
||||||||||
Automobile
|
12,407
|
|
|
13,132
|
|
|
7,769
|
|
|
4,320
|
|
|
6,770
|
|
|||||
Home equity
|
1,662
|
|
|
1,621
|
|
|
2,624
|
|
|
1,078
|
|
|
3,681
|
|
|||||
Residential mortgage
|
2,595
|
|
|
1,673
|
|
|
1,728
|
|
|
776
|
|
|
1,647
|
|
|||||
RV and marine finance
|
2,363
|
|
|
2,182
|
|
|
106
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer
|
14,557
|
|
|
14,734
|
|
|
11,311
|
|
|
7,552
|
|
|
7,416
|
|
|||||
Total consumer
|
33,584
|
|
|
33,342
|
|
|
23,538
|
|
|
13,726
|
|
|
19,514
|
|
|||||
Total net charge-offs
|
$
|
39,438
|
|
|
$
|
43,524
|
|
|
$
|
40,065
|
|
|
$
|
16,755
|
|
|
$
|
8,552
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Three months ended
|
||||||||||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||||
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
||||||||||
Net charge-offs (recoveries)—annualized percentages:
|
|||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
0.12
|
%
|
|
0.23
|
%
|
|
0.31
|
%
|
|
0.07
|
%
|
|
0.13
|
%
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction
|
(0.96
|
)
|
|
(0.38
|
)
|
|
(0.10
|
)
|
|
(0.17
|
)
|
|
(0.05
|
)
|
|||||
Commercial
|
0.06
|
|
|
(0.29
|
)
|
|
(0.19
|
)
|
|
(0.03
|
)
|
|
(1.62
|
)
|
|||||
Commercial real estate
|
(0.12
|
)
|
|
(0.30
|
)
|
|
(0.17
|
)
|
|
(0.05
|
)
|
|
(1.34
|
)
|
|||||
Total commercial
|
0.07
|
|
|
0.12
|
|
|
0.21
|
|
|
0.05
|
|
|
(0.17
|
)
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
||||||||||
Automobile
|
0.45
|
|
|
0.48
|
|
|
0.27
|
|
|
0.17
|
|
|
0.28
|
|
|||||
Home equity
|
0.07
|
|
|
0.06
|
|
|
0.11
|
|
|
0.05
|
|
|
0.17
|
|
|||||
Residential mortgage
|
0.13
|
|
|
0.09
|
|
|
0.10
|
|
|
0.05
|
|
|
0.11
|
|
|||||
RV and marine finance
|
0.50
|
|
|
0.47
|
|
|
0.05
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer
|
6.33
|
|
|
6.14
|
|
|
5.54
|
|
|
4.93
|
|
|
5.17
|
|
|||||
Total consumer
|
0.42
|
|
|
0.42
|
|
|
0.32
|
|
|
0.22
|
|
|
0.32
|
|
|||||
Net charge-offs as a % of average loans
|
0.24
|
%
|
|
0.26
|
%
|
|
0.26
|
%
|
|
0.13
|
%
|
|
0.07
|
%
|
Table 13 - Deposit Composition
|
||||||||||||||||||||||||||||||||||
(dollar amounts in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
|||||||||||||||||||||||||
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|||||||||||||||||||||||||
By Type:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Demand deposits—noninterest-bearing
|
$
|
21,489
|
|
|
28
|
%
|
|
$
|
22,836
|
|
|
30
|
%
|
|
$
|
23,426
|
|
|
30
|
%
|
|
$
|
16,324
|
|
|
30
|
%
|
|
$
|
16,571
|
|
|
30
|
%
|
Demand deposits—interest-bearing
|
18,618
|
|
|
24
|
|
|
15,676
|
|
|
21
|
|
|
15,730
|
|
|
20
|
|
|
8,412
|
|
|
15
|
|
|
8,174
|
|
|
15
|
|
|||||
Money market deposits
|
18,664
|
|
|
24
|
|
|
18,407
|
|
|
24
|
|
|
18,604
|
|
|
24
|
|
|
19,480
|
|
|
34
|
|
|
19,844
|
|
|
35
|
|
|||||
Savings and other domestic deposits
|
12,043
|
|
|
16
|
|
|
11,975
|
|
|
16
|
|
|
12,418
|
|
|
16
|
|
|
5,341
|
|
|
10
|
|
|
5,423
|
|
|
10
|
|
|||||
Core certificates of deposit
|
2,188
|
|
|
3
|
|
|
2,535
|
|
|
3
|
|
|
2,724
|
|
|
4
|
|
|
1,866
|
|
|
4
|
|
|
2,123
|
|
|
4
|
|
|||||
Total core deposits:
|
73,002
|
|
|
95
|
|
|
71,429
|
|
|
94
|
|
|
72,902
|
|
|
94
|
|
|
51,423
|
|
|
93
|
|
|
52,135
|
|
|
94
|
|
|||||
Other domestic deposits of $250,000 or more
|
524
|
|
|
1
|
|
|
394
|
|
|
1
|
|
|
391
|
|
|
1
|
|
|
380
|
|
|
1
|
|
|
424
|
|
|
—
|
|
|||||
Brokered deposits and negotiable CDs
|
3,897
|
|
|
4
|
|
|
3,784
|
|
|
5
|
|
|
3,972
|
|
|
5
|
|
|
3,017
|
|
|
6
|
|
|
2,890
|
|
|
5
|
|
|||||
Deposits in foreign offices
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
140
|
|
|
—
|
|
|
223
|
|
|
—
|
|
|
180
|
|
|
—
|
|
|||||
Total deposits
|
$
|
77,423
|
|
|
100
|
%
|
|
$
|
75,608
|
|
|
100
|
%
|
|
$
|
77,405
|
|
|
100
|
%
|
|
$
|
55,043
|
|
|
100
|
%
|
|
$
|
55,629
|
|
|
100
|
%
|
Total core deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial
|
$
|
32,963
|
|
|
45
|
%
|
|
$
|
31,887
|
|
|
45
|
%
|
|
$
|
32,936
|
|
|
45
|
%
|
|
$
|
24,308
|
|
|
47
|
%
|
|
$
|
24,543
|
|
|
47
|
%
|
Consumer
|
40,039
|
|
|
55
|
|
|
39,542
|
|
|
55
|
|
|
39,966
|
|
|
55
|
|
|
27,115
|
|
|
53
|
|
|
27,592
|
|
|
53
|
|
|||||
Total core deposits
|
$
|
73,002
|
|
|
100
|
%
|
|
$
|
71,429
|
|
|
100
|
%
|
|
$
|
72,902
|
|
|
100
|
%
|
|
$
|
51,423
|
|
|
100
|
%
|
|
$
|
52,135
|
|
|
100
|
%
|
Table 14 - Federal Funds Purchased and Repurchase Agreements
|
|||||||||||||||||||
(dollar amounts in millions)
|
|
|
|
|
|
|
|
|
|
||||||||||
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||||
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
||||||||||
Balance at period-end
|
|
|
|
|
|
|
|
|
|
||||||||||
Federal Funds purchased and securities sold under agreements to repurchase
|
$
|
837
|
|
|
$
|
1,248
|
|
|
$
|
1,537
|
|
|
$
|
149
|
|
|
$
|
204
|
|
Federal Home Loan Bank advances
|
400
|
|
|
2,425
|
|
|
600
|
|
|
1,800
|
|
|
250
|
|
|||||
Other short-term borrowings
|
26
|
|
|
20
|
|
|
11
|
|
|
8
|
|
|
18
|
|
|||||
Weighted average interest rate at period-end
|
|
|
|
|
|
|
|
|
|
||||||||||
Federal Funds purchased and securities sold under agreements to repurchase
|
0.01
|
%
|
|
0.17
|
%
|
|
0.18
|
%
|
|
0.05
|
%
|
|
0.04
|
%
|
|||||
Federal Home Loan Bank advances
|
0.73
|
|
|
0.16
|
|
|
0.40
|
|
|
0.42
|
|
|
0.41
|
|
|||||
Other short-term borrowings
|
1.54
|
|
|
2.28
|
|
|
3.03
|
|
|
4.19
|
|
|
2.13
|
|
|||||
Maximum amount outstanding at month-end during the period
|
|
|
|
|
|
|
|
|
|
||||||||||
Federal Funds purchased and securities sold under agreements to repurchase
|
$
|
1,020
|
|
|
$
|
1,444
|
|
|
$
|
1,537
|
|
|
$
|
258
|
|
|
$
|
401
|
|
Federal Home Loan Bank advances
|
3,800
|
|
|
2,425
|
|
|
600
|
|
|
1,800
|
|
|
1,575
|
|
|||||
Other short-term borrowings
|
32
|
|
|
64
|
|
|
34
|
|
|
21
|
|
|
20
|
|
|||||
Average amount outstanding during the period
|
|
|
|
|
|
|
|
|
|
Federal Funds purchased and securities sold under agreements to repurchase
|
$
|
702
|
|
|
$
|
1,043
|
|
|
$
|
618
|
|
|
$
|
515
|
|
|
$
|
582
|
|
Federal Home Loan Bank advances
|
3,069
|
|
|
1,557
|
|
|
668
|
|
|
504
|
|
|
553
|
|
|||||
Other short-term borrowings
|
21
|
|
|
28
|
|
|
20
|
|
|
13
|
|
|
9
|
|
|||||
Weighted average interest rate during the period
|
|
|
|
|
|
|
|
|
|
||||||||||
Federal Funds purchased and securities sold under agreements to repurchase
|
0.02
|
%
|
|
0.14
|
%
|
|
0.07
|
%
|
|
0.25
|
%
|
|
0.18
|
%
|
|||||
Federal Home Loan Bank advances
|
0.18
|
|
|
0.44
|
|
|
0.43
|
|
|
0.42
|
|
|
0.40
|
|
|||||
Other short-term borrowings
|
1.49
|
|
|
2.86
|
|
|
2.53
|
|
|
1.81
|
|
|
3.69
|
|
Table 16 - Net Income (Loss) by Business Segment
|
|||||||
(dollar amounts in thousands)
|
|
|
|
||||
|
Three months ended March 31,
|
||||||
|
2017
|
|
2016
|
||||
Consumer and Business Banking
|
$
|
87,691
|
|
|
$
|
60,117
|
|
Commercial Banking
|
69,513
|
|
|
23,541
|
|
||
CREVF
|
58,912
|
|
|
51,578
|
|
||
RBHPCG
|
18,126
|
|
|
12,910
|
|
||
Home Lending
|
1,725
|
|
|
1,410
|
|
||
Treasury / Other
|
(27,873
|
)
|
|
21,758
|
|
||
Net income
|
$
|
208,094
|
|
|
$
|
171,314
|
|
Commercial Real Estate and Vehicle Finance
|
||||||||||||||
|
|
|
|
|
|
|
|
|||||||
Table 19 - Commercial Real Estate and Vehicle Finance
|
||||||||||||||
(dollar amounts in thousands unless otherwise noted)
|
|
|
|
|
|
|
|
|||||||
|
Three months ended March 31,
|
|
Change
|
|||||||||||
|
2017
|
|
2016
|
|
Amount
|
|
Percent
|
|||||||
Net interest income
|
$
|
139,333
|
|
|
$
|
95,597
|
|
|
$
|
43,736
|
|
|
46
|
%
|
Provision (reduction in allowance) for credit losses
|
9,549
|
|
|
(16,649
|
)
|
|
26,198
|
|
|
N.R.
|
|
|||
Noninterest income
|
11,209
|
|
|
7,311
|
|
|
3,898
|
|
|
53
|
|
|||
Noninterest expense
|
50,359
|
|
|
40,206
|
|
|
10,153
|
|
|
25
|
|
|||
Provision for income taxes
|
31,722
|
|
|
27,773
|
|
|
3,949
|
|
|
14
|
|
|||
Net income
|
$
|
58,912
|
|
|
$
|
51,578
|
|
|
$
|
7,334
|
|
|
14
|
%
|
Number of employees (average full-time equivalent)
|
396
|
|
|
309
|
|
|
87
|
|
|
28
|
%
|
|||
Total average assets (in millions)
|
$
|
23,715
|
|
|
$
|
18,029
|
|
|
$
|
5,686
|
|
|
32
|
|
Total average loans/leases (in millions)
|
22,620
|
|
|
17,022
|
|
|
5,598
|
|
|
33
|
|
|||
Total average deposits (in millions)
|
1,800
|
|
|
1,637
|
|
|
163
|
|
|
10
|
|
|||
Net interest margin
|
2.47
|
%
|
|
2.21
|
%
|
|
0.26
|
%
|
|
12
|
|
|||
NCOs
|
$
|
12,901
|
|
|
$
|
(21,054
|
)
|
|
$
|
33,955
|
|
|
N.R.
|
|
NCOs as a % of average loans and leases
|
0.23
|
%
|
|
(0.49
|
)%
|
|
0.72
|
%
|
|
N.R.
|
|
Regional Banking and The Huntington Private Client Group
|
||||||||||||||
|
|
|
|
|
|
|
|
|||||||
Table 20 - Key Performance Indicators for Regional Banking and The Huntington Private Client Group
|
||||||||||||||
(dollar amounts in thousands unless otherwise noted)
|
|
|
|
|
|
|
|
|||||||
|
Three months ended March 31,
|
|
Change
|
|||||||||||
|
2017
|
|
2016
|
|
Amount
|
|
Percent
|
|||||||
Net interest income
|
$
|
46,649
|
|
|
$
|
34,923
|
|
|
$
|
11,726
|
|
|
34
|
%
|
Provision (reduction in allowance) for credit losses
|
2,771
|
|
|
(725
|
)
|
|
3,496
|
|
|
(482
|
)
|
|||
Noninterest income
|
36,170
|
|
|
24,717
|
|
|
11,453
|
|
|
46
|
|
|||
Noninterest expense
|
52,162
|
|
|
40,503
|
|
|
11,659
|
|
|
29
|
|
|||
Provision for income taxes
|
9,760
|
|
|
6,952
|
|
|
2,808
|
|
|
40
|
|
|||
Net income
|
$
|
18,126
|
|
|
$
|
12,910
|
|
|
$
|
5,216
|
|
|
40
|
%
|
Number of employees (average full-time equivalent)
|
689
|
|
|
577
|
|
|
112
|
|
|
19
|
%
|
|||
Total average assets (in millions)
|
$
|
5,230
|
|
|
$
|
4,111
|
|
|
$
|
1,119
|
|
|
27
|
|
Total average loans/leases (in millions)
|
4,640
|
|
|
3,821
|
|
|
819
|
|
|
21
|
|
|||
Total average deposits (in millions)
|
5,918
|
|
|
4,719
|
|
|
1,199
|
|
|
25
|
|
|||
Net interest margin
|
3.29
|
%
|
|
2.98
|
%
|
|
0.31
|
%
|
|
10
|
|
|||
NCOs
|
$
|
783
|
|
|
$
|
(2,549
|
)
|
|
$
|
3,332
|
|
|
N.R.
|
|
NCOs as a % of average loans and leases
|
0.07
|
%
|
|
(0.27
|
)%
|
|
0.34
|
%
|
|
N.R.
|
|
|||
Total assets under management (in billions)—eop (1)
|
$
|
18.4
|
|
|
$
|
16.9
|
|
|
$
|
1.5
|
|
|
9
|
|
Total trust assets (in billions)—eop (1)
|
100.6
|
|
|
91.3
|
|
|
9.3
|
|
|
10
|
|
(1)
|
Includes assets associated with FirstMerit.
|
Home Lending
|
||||||||||||||
|
|
|
|
|
|
|
|
|||||||
Table 21 - Key Performance Indicators for Home Lending
|
||||||||||||||
(dollar amounts in thousands unless otherwise noted)
|
|
|
|
|
|
|
|
|||||||
|
Three months ended March 31,
|
|
Change
|
|||||||||||
|
2017
|
|
2016
|
|
Amount
|
|
Percent
|
|||||||
Net interest income
|
$
|
15,215
|
|
|
$
|
12,985
|
|
|
$
|
2,230
|
|
|
17
|
%
|
Provision (reduction in allowance) for credit losses
|
1,887
|
|
|
(2,274
|
)
|
|
4,161
|
|
|
N.R.
|
|
|||
Noninterest income
|
23,981
|
|
|
11,503
|
|
|
12,478
|
|
|
108
|
|
|||
Noninterest expense
|
34,655
|
|
|
24,593
|
|
|
10,062
|
|
|
41
|
|
|||
Provision for income taxes
|
929
|
|
|
759
|
|
|
170
|
|
|
22
|
|
|||
Net income
|
$
|
1,725
|
|
|
$
|
1,410
|
|
|
$
|
315
|
|
|
22
|
|
Number of employees (average full-time equivalent)
|
1,119
|
|
|
872
|
|
|
247
|
|
|
28
|
%
|
|||
Total average assets (in millions)
|
$
|
3,447
|
|
|
$
|
3,042
|
|
|
$
|
405
|
|
|
13
|
|
Total average loans/leases (in millions)
|
2,822
|
|
|
2,533
|
|
|
289
|
|
|
11
|
|
|||
Total average deposits (in millions)
|
579
|
|
|
308
|
|
|
271
|
|
|
88
|
|
|||
Net interest margin
|
1.92
|
%
|
|
1.83
|
%
|
|
0.09
|
%
|
|
5
|
|
|||
NCOs
|
$
|
802
|
|
|
$
|
1,155
|
|
|
$
|
(353
|
)
|
|
(31
|
)
|
NCOs as a % of average loans and leases
|
0.11
|
%
|
|
0.18
|
%
|
|
(0.07
|
)%
|
|
(39
|
)
|
|||
Mortgage banking origination volume (in millions)
|
$
|
1,266
|
|
|
$
|
936
|
|
|
$
|
330
|
|
|
35
|
|
•
|
Tangible common equity to tangible assets, and
|
•
|
Tangible common equity to risk-weighted assets using Basel III definitions.
|
(dollar amounts in thousands, except number of shares)
|
March 31,
|
|
December 31,
|
||||
|
2017
|
|
2016
|
||||
Assets
|
|
|
|
||||
Cash and due from banks
|
$
|
1,308,813
|
|
|
$
|
1,384,770
|
|
Interest-bearing deposits in banks
|
63,055
|
|
|
58,267
|
|
||
Trading account securities
|
97,785
|
|
|
133,295
|
|
||
Loans held for sale (includes $423,324 and $438,224 respectively, measured at fair value)(1)
|
518,238
|
|
|
512,951
|
|
||
Available-for-sale and other securities
|
16,173,605
|
|
|
15,562,837
|
|
||
Held-to-maturity securities
|
7,533,517
|
|
|
7,806,939
|
|
||
Loans and leases (includes $98,342 and $82,319 respectively, measured at fair value)(1)
|
67,098,269
|
|
|
66,961,996
|
|
||
Allowance for loan and lease losses
|
(672,580
|
)
|
|
(638,413
|
)
|
||
Net loans and leases
|
66,425,689
|
|
|
66,323,583
|
|
||
Bank owned life insurance
|
2,445,545
|
|
|
2,432,086
|
|
||
Premises and equipment
|
852,582
|
|
|
815,508
|
|
||
Goodwill
|
1,992,849
|
|
|
1,992,849
|
|
||
Other intangible assets
|
388,103
|
|
|
402,458
|
|
||
Servicing rights
|
227,678
|
|
|
225,578
|
|
||
Accrued income and other assets
|
2,018,047
|
|
|
2,062,976
|
|
||
Total assets
|
$
|
100,045,506
|
|
|
$
|
99,714,097
|
|
Liabilities and shareholders’ equity
|
|
|
|
||||
Liabilities
|
|
|
|
||||
Deposits
|
$
|
77,422,510
|
|
|
$
|
75,607,717
|
|
Short-term borrowings
|
1,263,430
|
|
|
3,692,654
|
|
||
Long-term debt
|
9,279,140
|
|
|
8,309,159
|
|
||
Accrued expenses and other liabilities
|
1,643,279
|
|
|
1,796,421
|
|
||
Total liabilities
|
89,608,359
|
|
|
89,405,951
|
|
||
Shareholders’ equity
|
|
|
|
||||
Preferred stock
|
1,071,227
|
|
|
1,071,227
|
|
||
Common stock
|
10,900
|
|
|
10,886
|
|
||
Capital surplus
|
9,898,889
|
|
|
9,881,277
|
|
||
Less treasury shares, at cost
|
(26,765
|
)
|
|
(27,384
|
)
|
||
Accumulated other comprehensive loss
|
(390,860
|
)
|
|
(401,016
|
)
|
||
Retained (deficit) earnings
|
(126,244
|
)
|
|
(226,844
|
)
|
||
Total shareholders’ equity
|
10,437,147
|
|
|
10,308,146
|
|
||
Total liabilities and shareholders’ equity
|
$
|
100,045,506
|
|
|
$
|
99,714,097
|
|
Common shares authorized (par value of $0.01)
|
1,500,000,000
|
|
|
1,500,000,000
|
|
||
Common shares issued
|
1,089,986,453
|
|
|
1,088,641,251
|
|
||
Common shares outstanding
|
1,087,119,978
|
|
|
1,085,688,538
|
|
||
Treasury shares outstanding
|
2,866,475
|
|
|
2,952,713
|
|
||
Preferred stock, authorized shares
|
6,617,808
|
|
|
6,617,808
|
|
||
Preferred shares issued
|
2,705,571
|
|
|
2,702,571
|
|
||
Preferred shares outstanding
|
1,098,006
|
|
|
1,098,006
|
|
(1)
|
Amounts represent loans for which Huntington has elected the fair value option. See Note
11
.
|
Huntington Bancshares Incorporated
|
|
|
|
|
|
||||
Condensed Consolidated Statements of Income
|
|
|
|
|
|
||||
(Unaudited)
|
|
|
|
|
|
||||
(dollar amounts in thousands, except per share amounts)
|
|
|
|
|
|
||||
|
|
|
|
|
|
||||
|
|
|
Three months ended
March 31, |
||||||
|
|
|
2017
|
|
2016
|
||||
Interest and fee income:
|
|
|
|
|
|
||||
Loans and leases
|
|
|
$
|
675,934
|
|
|
$
|
463,422
|
|
Available-for-sale and other securities
|
|
|
|
|
|
||||
Taxable
|
|
|
76,109
|
|
|
39,614
|
|
||
Tax-exempt
|
|
|
18,862
|
|
|
13,019
|
|
||
Held-to-maturity securities—taxable
|
|
|
45,195
|
|
|
36,789
|
|
||
Other
|
|
|
4,260
|
|
|
4,407
|
|
||
Total interest income
|
|
|
820,360
|
|
|
557,251
|
|
||
Interest expense:
|
|
|
|
|
|
||||
Deposits
|
|
|
34,790
|
|
|
23,018
|
|
||
Short-term borrowings
|
|
|
5,866
|
|
|
898
|
|
||
Federal Home Loan Bank advances
|
|
|
66
|
|
|
69
|
|
||
Subordinated notes and other long-term debt
|
|
|
49,663
|
|
|
30,200
|
|
||
Total interest expense
|
|
|
90,385
|
|
|
54,185
|
|
||
Net interest income
|
|
|
729,975
|
|
|
503,066
|
|
||
Provision for credit losses
|
|
|
67,638
|
|
|
27,582
|
|
||
Net interest income after provision for credit losses
|
|
|
662,337
|
|
|
475,484
|
|
||
Service charges on deposit accounts
|
|
|
83,420
|
|
|
70,262
|
|
||
Cards and payment processing income
|
|
|
47,169
|
|
|
36,447
|
|
||
Mortgage banking income
|
|
|
31,692
|
|
|
18,543
|
|
||
Trust and investment management services
|
|
|
33,869
|
|
|
22,838
|
|
||
Insurance income
|
|
|
15,264
|
|
|
16,225
|
|
||
Brokerage income
|
|
|
15,758
|
|
|
15,502
|
|
||
Capital markets fees
|
|
|
14,200
|
|
|
13,010
|
|
||
Bank owned life insurance income
|
|
|
17,542
|
|
|
13,513
|
|
||
Gain on sale of loans
|
|
|
12,822
|
|
|
5,395
|
|
||
Net gains on sales of securities
|
|
|
16
|
|
|
—
|
|
||
Impairment losses recognized in earnings on available-for-sale securities
|
|
|
(24
|
)
|
|
—
|
|
||
Other noninterest income
|
|
|
40,735
|
|
|
30,132
|
|
||
Total noninterest income
|
|
|
312,463
|
|
|
241,867
|
|
||
Personnel costs
|
|
|
382,000
|
|
|
285,397
|
|
||
Outside data processing and other services
|
|
|
87,202
|
|
|
61,878
|
|
||
Equipment
|
|
|
46,700
|
|
|
32,576
|
|
||
Net occupancy
|
|
|
67,700
|
|
|
31,476
|
|
||
Professional services
|
|
|
18,295
|
|
|
13,538
|
|
||
Marketing
|
|
|
13,923
|
|
|
12,268
|
|
||
Deposit and other insurance expense
|
|
|
20,099
|
|
|
11,208
|
|
||
Amortization of intangibles
|
|
|
14,355
|
|
|
3,712
|
|
||
Other noninterest expense
|
|
|
57,148
|
|
|
39,027
|
|
||
Total noninterest expense
|
|
|
707,422
|
|
|
491,080
|
|
||
Income before income taxes
|
|
|
267,378
|
|
|
226,271
|
|
||
Provision for income taxes
|
|
|
59,284
|
|
|
54,957
|
|
||
Net income
|
|
|
208,094
|
|
|
171,314
|
|
||
Dividends on preferred shares
|
|
|
18,878
|
|
|
7,998
|
|
||
Net income applicable to common shares
|
|
|
$
|
189,216
|
|
|
$
|
163,316
|
|
|
Three Months Ended
March 31, |
||||||
(dollar amounts in thousands)
|
2017
|
|
2016
|
||||
Net income
|
$
|
208,094
|
|
|
$
|
171,314
|
|
Other comprehensive income, net of tax:
|
|
|
|
||||
Unrealized gains (losses) on available-for-sale and other securities:
|
|
|
|
||||
Non-credit-related impairment recoveries (losses) on debt securities not expected to be sold
|
524
|
|
|
(2,349
|
)
|
||
Unrealized net gains (losses) on available-for-sale and other securities arising during the period, net of reclassification for net realized gains and losses
|
9,998
|
|
|
51,551
|
|
||
Total unrealized gains (losses) on available-for-sale and other securities
|
10,522
|
|
|
49,202
|
|
||
Unrealized gains (losses) on cash flow hedging derivatives, net of reclassifications to income
|
(826
|
)
|
|
8,829
|
|
||
Change in accumulated unrealized losses for pension and other post-retirement obligations
|
460
|
|
|
841
|
|
||
Other comprehensive income (loss), net of tax
|
10,156
|
|
|
58,872
|
|
||
Comprehensive income
|
$
|
218,250
|
|
|
$
|
230,186
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated Other Comprehensive Gain (Loss)
|
|
Retained Earnings (Deficit)
|
|
|
||||||||||||||||
(dollar amounts in thousands, except per share amounts)
|
Preferred Stock
|
|
Common Stock
|
|
Capital Surplus
|
|
Treasury Stock
|
|
|
|
|
||||||||||||||||||||||
Amount
|
|
Shares
|
|
Amount
|
|
|
Shares
|
|
Amount
|
|
|
|
Total
|
||||||||||||||||||||
Three months ended March 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Balance, beginning of period
|
$
|
386,291
|
|
|
796,970
|
|
|
$
|
7,970
|
|
|
$
|
7,038,502
|
|
|
(2,041
|
)
|
|
$
|
(17,932
|
)
|
|
$
|
(226,158
|
)
|
|
$
|
(594,067
|
)
|
|
$
|
6,594,606
|
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
171,314
|
|
|
171,314
|
|
||||||||||||||
Other comprehensive income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
58,872
|
|
|
|
|
58,872
|
|
||||||||||||||
Net proceeds from issuance of Series D preferred stock
|
386,348
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
386,348
|
|
||||||||||||||
Cash dividends declared:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Common ($0.07 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(55,774
|
)
|
|
(55,774
|
)
|
||||||||||||||
Preferred Series A ($21.25 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7,703
|
)
|
|
(7,703
|
)
|
||||||||||||||
Preferred Series B ($8.31 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(295
|
)
|
|
(295
|
)
|
||||||||||||||
Recognition of the fair value of share-based compensation
|
|
|
|
|
|
|
11,268
|
|
|
|
|
|
|
|
|
|
|
11,268
|
|
||||||||||||||
Other share-based compensation activity
|
|
|
1,811
|
|
|
18
|
|
|
683
|
|
|
|
|
|
|
|
|
(1,166
|
)
|
|
(465
|
)
|
|||||||||||
Other
|
|
|
—
|
|
|
—
|
|
|
10
|
|
|
(51
|
)
|
|
(485
|
)
|
|
|
|
(26
|
)
|
|
(501
|
)
|
|||||||||
Balance, end of period
|
$
|
772,639
|
|
|
798,781
|
|
|
$
|
7,988
|
|
|
$
|
7,050,463
|
|
|
(2,092
|
)
|
|
$
|
(18,417
|
)
|
|
$
|
(167,286
|
)
|
|
$
|
(487,717
|
)
|
|
$
|
7,157,670
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Three months ended March 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Balance, beginning of period
|
$
|
1,071,227
|
|
|
1,088,641
|
|
|
$
|
10,886
|
|
|
$
|
9,881,277
|
|
|
(2,953
|
)
|
|
$
|
(27,384
|
)
|
|
$
|
(401,016
|
)
|
|
$
|
(226,844
|
)
|
|
$
|
10,308,146
|
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
208,094
|
|
|
208,094
|
|
||||||||||||||
Other comprehensive income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
10,156
|
|
|
|
|
10,156
|
|
||||||||||||||
Cash dividends declared:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Common ($0.08 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(87,069
|
)
|
|
(87,069
|
)
|
||||||||||||||
Preferred Series A ($21.25 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7,703
|
)
|
|
(7,703
|
)
|
||||||||||||||
Preferred Series B ($9.31 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(330
|
)
|
|
(330
|
)
|
||||||||||||||
Preferred Series C ($14.69 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1,469
|
)
|
|
(1,469
|
)
|
||||||||||||||
Preferred Series D ($15.63 per share)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9,375
|
)
|
|
(9,375
|
)
|
||||||||||||||
Recognition of the fair value of share-based compensation
|
|
|
|
|
|
|
(1,885
|
)
|
|
|
|
|
|
|
|
|
|
(1,885
|
)
|
||||||||||||||
Other share-based compensation activity
|
|
|
1,338
|
|
|
13
|
|
|
19,089
|
|
|
|
|
|
|
|
|
(1,326
|
)
|
|
17,776
|
|
|||||||||||
Other
|
|
|
7
|
|
|
1
|
|
|
408
|
|
|
87
|
|
|
619
|
|
|
|
|
(222
|
)
|
|
806
|
|
|||||||||
Balance, end of period
|
$
|
1,071,227
|
|
|
1,089,986
|
|
|
$
|
10,900
|
|
|
$
|
9,898,889
|
|
|
(2,866
|
)
|
|
$
|
(26,765
|
)
|
|
$
|
(390,860
|
)
|
|
$
|
(126,244
|
)
|
|
$
|
10,437,147
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
2017
|
|
2016
|
||||
Operating activities
|
|
||||||
Net income
|
$
|
208,094
|
|
|
$
|
171,314
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
||||||
Provision for credit losses
|
67,638
|
|
|
27,582
|
|
||
Depreciation and amortization
|
211,198
|
|
|
105,103
|
|
||
Share-based compensation expense
|
(1,885
|
)
|
|
11,268
|
|
||
Net change in:
|
|
|
|
||||
Trading account securities
|
35,510
|
|
|
(8,927
|
)
|
||
Loans held for sale
|
23,544
|
|
|
(39,502
|
)
|
||
Accrued income and other assets
|
54,010
|
|
|
(41,066
|
)
|
||
Deferred income taxes
|
(20,271
|
)
|
|
(4,366
|
)
|
||
Accrued expense and other liabilities
|
(188,072
|
)
|
|
(25,580
|
)
|
||
Other, net
|
5,985
|
|
|
(4,036
|
)
|
||
Net cash provided by (used for) operating activities
|
395,751
|
|
|
191,790
|
|
||
Investing activities
|
|
||||||
Change in interest bearing deposits in banks
|
16,876
|
|
|
(14,830
|
)
|
||
Proceeds from:
|
|
|
|
||||
Maturities and calls of available-for-sale and other securities
|
116,261
|
|
|
217,015
|
|
||
Maturities of held-to-maturity securities
|
279,077
|
|
|
210,606
|
|
||
Sales of available-for-sale and other securities
|
165,364
|
|
|
—
|
|
||
Purchases of available-for-sale and other securities
|
(887,880
|
)
|
|
(691,607
|
)
|
||
Purchases of held-to-maturity securities
|
(8,616
|
)
|
|
—
|
|
||
Net proceeds from sales of portfolio loans
|
118,626
|
|
|
74,831
|
|
||
Net loan and lease activity, excluding sales and purchases
|
(437,084
|
)
|
|
(714,140
|
)
|
||
Purchases of premises and equipment
|
(55,485
|
)
|
|
(12,157
|
)
|
||
Proceeds from sales of other real estate
|
5,860
|
|
|
6,950
|
|
||
Purchases of loans and leases
|
(43,972
|
)
|
|
(667,031
|
)
|
||
Other, net
|
(6,094
|
)
|
|
920
|
|
||
Net cash provided by (used for) investing activities
|
(737,067
|
)
|
|
(1,589,443
|
)
|
||
Financing activities
|
|
|
|
||||
Increase (decrease) in deposits
|
1,814,793
|
|
|
363,177
|
|
||
Increase (decrease) in short-term borrowings
|
(2,433,055
|
)
|
|
(147,339
|
)
|
||
Net proceeds from issuance of long-term debt
|
1,029,231
|
|
|
1,024,068
|
|
||
Maturity/redemption of long-term debt
|
(47,434
|
)
|
|
(195,475
|
)
|
||
Dividends paid on preferred stock
|
(18,865
|
)
|
|
(7,998
|
)
|
||
Dividends paid on common stock
|
(87,015
|
)
|
|
(56,195
|
)
|
||
Proceeds from stock options exercised
|
4,822
|
|
|
1,126
|
|
||
Net proceeds from issuance of preferred stock
|
—
|
|
|
386,348
|
|
||
Other, net
|
2,882
|
|
|
(967
|
)
|
||
Net cash provided by (used for) financing activities
|
265,359
|
|
|
1,366,745
|
|
||
Increase (decrease) in cash and cash equivalents
|
(75,957
|
)
|
|
(30,908
|
)
|
||
Cash and cash equivalents at beginning of period
|
1,384,770
|
|
|
847,156
|
|
||
Cash and cash equivalents at end of period
|
$
|
1,308,813
|
|
|
$
|
816,248
|
|
Supplemental disclosures:
|
|
||||||
Interest paid
|
$
|
86,477
|
|
|
$
|
41,398
|
|
Income taxes paid
|
1,059
|
|
|
1,051
|
|
||
Non-cash activities
|
|
||||||
Loans transferred to held-for-sale from portfolio
|
158,735
|
|
|
145,210
|
|
||
Loans transferred to portfolio from held-for-sale
|
168
|
|
|
9,259
|
|
||
Transfer of loans to OREO
|
10,271
|
|
|
6,468
|
|
(dollar amounts in thousands)
|
March 31,
2017 |
|
December 31,
2016 |
||||
Loans and leases:
|
|
|
|
||||
Commercial and industrial
|
$
|
28,175,924
|
|
|
$
|
28,058,712
|
|
Commercial real estate
|
7,093,118
|
|
|
7,300,901
|
|
||
Automobile
|
11,155,094
|
|
|
10,968,782
|
|
||
Home equity
|
9,974,294
|
|
|
10,105,774
|
|
||
Residential mortgage
|
7,829,137
|
|
|
7,724,961
|
|
||
RV and marine finance
|
1,934,983
|
|
|
1,846,447
|
|
||
Other consumer
|
935,719
|
|
|
956,419
|
|
||
Loans and leases
|
67,098,269
|
|
|
66,961,996
|
|
||
Allowance for loan and lease losses
|
(672,580
|
)
|
|
(638,413
|
)
|
||
Net loans and leases
|
$
|
66,425,689
|
|
|
$
|
66,323,583
|
|
|
|
|
|
||
|
|
|
Three months ended
March 31, |
||
(dollar amounts in thousands)
|
|
|
2017
|
||
FirstMerit
|
|
|
|
||
Balance, beginning of period
|
|
|
$
|
36,669
|
|
Accretion
|
|
|
(4,702
|
)
|
|
Reclassification (to) from nonaccretable difference
|
|
|
5,405
|
|
|
Balance, end of period
|
|
|
$
|
37,372
|
|
|
|
|
|
|
|
|
|
||||||||
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||
(dollar amounts in thousands)
|
Ending
Balance |
|
Unpaid
Balance |
|
Ending
Balance |
|
Unpaid
Balance |
||||||||
FirstMerit
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
67,514
|
|
|
$
|
97,946
|
|
|
$
|
68,338
|
|
|
$
|
100,031
|
|
Commercial real estate
|
22,597
|
|
|
38,045
|
|
|
34,042
|
|
|
56,320
|
|
||||
Total
|
$
|
90,111
|
|
|
$
|
135,991
|
|
|
$
|
102,380
|
|
|
$
|
156,351
|
|
|
|
|
|
|
|
(dollar amounts in thousands)
|
March 31,
2017 |
|
December 31,
2016 |
||||
Commercial and industrial
|
$
|
232,171
|
|
|
$
|
234,184
|
|
Commercial real estate
|
13,889
|
|
|
20,508
|
|
||
Automobile
|
4,881
|
|
|
5,766
|
|
||
Home equity
|
69,575
|
|
|
71,798
|
|
||
Residential mortgage
|
80,686
|
|
|
90,502
|
|
||
RV and marine finance
|
106
|
|
|
245
|
|
||
Other consumer
|
2
|
|
|
—
|
|
||
Total nonaccrual loans
|
$
|
401,310
|
|
|
$
|
423,003
|
|
|
March 31, 2017
|
|||||||||||||||||||||||||||||||||||
|
Past Due
|
|
|
|
|
|
Loans Accounted for Under the Fair Value Option
|
|
Total Loans
and Leases |
|
90 or
more days past due and accruing |
|
||||||||||||||||||||||||
(dollar amounts in thousands)
|
30-59
Days |
|
60-89
Days |
|
90 or
more days |
Total
|
|
Current
|
|
Purchased Credit
Impaired
|
|
|
|
|
||||||||||||||||||||||
Commercial and industrial
|
$
|
77,998
|
|
|
$
|
11,428
|
|
|
$
|
77,392
|
|
|
$
|
166,818
|
|
|
$
|
27,941,592
|
|
|
$
|
67,514
|
|
|
$
|
—
|
|
|
$
|
28,175,924
|
|
|
$
|
15,054
|
|
(2)
|
Commercial real estate
|
38,046
|
|
|
460
|
|
|
26,281
|
|
|
64,787
|
|
|
7,005,734
|
|
|
22,597
|
|
|
—
|
|
|
7,093,118
|
|
|
14,499
|
|
|
|||||||||
Automobile
|
70,564
|
|
|
15,517
|
|
|
8,331
|
|
|
94,412
|
|
|
11,058,889
|
|
|
—
|
|
|
1,793
|
|
|
11,155,094
|
|
|
8,123
|
|
|
Home equity
|
43,532
|
|
|
18,464
|
|
|
58,631
|
|
|
120,627
|
|
|
9,850,680
|
|
|
—
|
|
|
2,987
|
|
|
9,974,294
|
|
|
15,453
|
|
|
|||||||||
Residential mortgage
|
91,831
|
|
|
38,144
|
|
|
112,207
|
|
|
242,182
|
|
|
7,495,211
|
|
|
—
|
|
|
91,744
|
|
|
7,829,137
|
|
|
69,244
|
|
(3)
|
|||||||||
RV and marine finance
|
10,101
|
|
|
3,064
|
|
|
2,202
|
|
|
15,367
|
|
|
1,918,199
|
|
|
—
|
|
|
1,417
|
|
|
1,934,983
|
|
|
2,200
|
|
|
|||||||||
Other consumer
|
9,234
|
|
|
3,766
|
|
|
3,369
|
|
|
16,369
|
|
|
918,949
|
|
|
—
|
|
|
401
|
|
|
935,719
|
|
|
3,370
|
|
|
|||||||||
Total loans and leases
|
$
|
341,306
|
|
|
$
|
90,843
|
|
|
$
|
288,413
|
|
|
$
|
720,562
|
|
|
$
|
66,189,254
|
|
|
$
|
90,111
|
|
|
$
|
98,342
|
|
|
$
|
67,098,269
|
|
|
$
|
127,943
|
|
|
|
December 31, 2016
|
|||||||||||||||||||||||||||||||||||
|
Past Due
|
|
|
|
|
|
Loans Accounted for Under the Fair Value Option
|
|
Total Loans
and Leases |
|
90 or
more days past due and accruing |
|
||||||||||||||||||||||||
(dollar amounts in thousands)
|
30-59
Days |
|
60-89
Days |
|
90 or
more days |
Total
|
|
Current
|
|
Purchased
Credit Impaired |
|
|
|
|
||||||||||||||||||||||
Commercial and industrial
|
42,052
|
|
|
20,136
|
|
|
74,174
|
|
|
136,362
|
|
|
27,854,012
|
|
|
68,338
|
|
|
—
|
|
|
28,058,712
|
|
|
18,148
|
|
(2)
|
|||||||||
Commercial real estate
|
21,187
|
|
|
3,202
|
|
|
29,659
|
|
|
54,048
|
|
|
7,212,811
|
|
|
34,042
|
|
|
—
|
|
|
7,300,901
|
|
|
17,215
|
|
|
|||||||||
Automobile loans
|
76,283
|
|
|
17,188
|
|
|
10,442
|
|
|
103,913
|
|
|
10,862,715
|
|
|
—
|
|
|
2,154
|
|
|
10,968,782
|
|
|
10,182
|
|
|
|||||||||
Home equity
|
38,899
|
|
|
23,903
|
|
|
53,002
|
|
|
115,804
|
|
|
9,986,697
|
|
|
—
|
|
|
3,273
|
|
|
10,105,774
|
|
|
11,508
|
|
|
|||||||||
Residential mortgage
|
122,469
|
|
|
37,460
|
|
|
116,682
|
|
|
276,611
|
|
|
7,373,414
|
|
|
—
|
|
|
74,936
|
|
|
7,724,961
|
|
|
66,952
|
|
(3)
|
|||||||||
RV and marine finance
|
10,009
|
|
|
2,230
|
|
|
1,566
|
|
|
13,805
|
|
|
1,831,123
|
|
|
—
|
|
|
1,519
|
|
|
1,846,447
|
|
|
1,462
|
|
|
|||||||||
Other consumer
|
9,442
|
|
|
4,324
|
|
|
3,894
|
|
|
17,660
|
|
|
938,322
|
|
|
—
|
|
|
437
|
|
|
956,419
|
|
|
3,895
|
|
|
|||||||||
Total loans and leases
|
$
|
320,341
|
|
|
$
|
108,443
|
|
|
$
|
289,419
|
|
|
$
|
718,203
|
|
|
$
|
66,059,094
|
|
|
$
|
102,380
|
|
|
$
|
82,319
|
|
|
$
|
66,961,996
|
|
|
$
|
129,362
|
|
|
(1)
|
NALs are included in this aging analysis based on the loan’s past due status.
|
(2)
|
Amounts include Huntington Technology Finance administrative lease delinquencies.
|
(3)
|
Amounts include loans guaranteed by government organizations.
|
(dollar amounts in thousands)
|
|
Commercial
|
|
Consumer
|
|
Total
|
||||||
Three-month period ended March 31, 2017:
|
||||||||||||
ALLL balance, beginning of period
|
|
$
|
451,091
|
|
|
$
|
187,322
|
|
|
$
|
638,413
|
|
Loan charge-offs
|
|
(23,669
|
)
|
|
(47,046
|
)
|
|
(70,715
|
)
|
|||
Recoveries of loans previously charged-off
|
|
17,815
|
|
|
13,462
|
|
|
31,277
|
|
|||
Provision (reduction in allowance) for loan and lease losses
|
|
35,145
|
|
|
38,534
|
|
|
73,679
|
|
|||
Allowance for loans sold or transferred to loans held for sale
|
|
(74
|
)
|
|
—
|
|
|
(74
|
)
|
|||
ALLL balance, end of period
|
|
$
|
480,308
|
|
|
$
|
192,272
|
|
|
$
|
672,580
|
|
AULC balance, beginning of period
|
|
$
|
86,543
|
|
|
$
|
11,336
|
|
|
$
|
97,879
|
|
Provision for (reduction in allowance) unfunded loan commitments and letters of credit
|
|
2,356
|
|
|
(8,397
|
)
|
|
(6,041
|
)
|
|||
AULC balance, end of period
|
|
$
|
88,899
|
|
|
$
|
2,939
|
|
|
$
|
91,838
|
|
ACL balance, end of period
|
|
$
|
569,207
|
|
|
$
|
195,211
|
|
|
$
|
764,418
|
|
(dollar amounts in thousands)
|
|
Commercial
|
|
Consumer
|
|
Total
|
||||||
Three-month period ended March 31, 2016:
|
||||||||||||
ALLL balance, beginning of period
|
|
$
|
398,753
|
|
|
$
|
199,090
|
|
|
$
|
597,843
|
|
Loan charge-offs
|
|
(28,949
|
)
|
|
(30,743
|
)
|
|
(59,692
|
)
|
|||
Recoveries of loans previously charged-off
|
|
39,911
|
|
|
11,229
|
|
|
51,140
|
|
|||
Provision for (reduction in allowance) loan and lease losses
|
|
12,726
|
|
|
11,612
|
|
|
24,338
|
|
|||
Allowance for loans sold or transferred to loans held for sale
|
|
—
|
|
|
90
|
|
|
90
|
|
|||
ALLL balance, end of period
|
|
$
|
422,441
|
|
|
$
|
191,278
|
|
|
$
|
613,719
|
|
AULC balance, beginning of period
|
|
$
|
63,448
|
|
|
$
|
8,633
|
|
|
$
|
72,081
|
|
Provision for (reduction in allowance) unfunded loan commitments and letters of credit
|
|
2,424
|
|
|
820
|
|
|
3,244
|
|
|||
AULC balance, end of period
|
|
$
|
65,872
|
|
|
$
|
9,453
|
|
|
$
|
75,325
|
|
ACL balance, end of period
|
|
$
|
488,313
|
|
|
$
|
200,731
|
|
|
$
|
689,044
|
|
|
March 31, 2017
|
||||||||||||||||||
|
Credit Risk Profile by UCS Classification
|
||||||||||||||||||
(dollar amounts in thousands)
|
Pass
|
|
OLEM
|
|
Substandard
|
|
Doubtful
|
|
Total
|
||||||||||
Commercial
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
26,216,400
|
|
|
$
|
808,467
|
|
|
$
|
1,131,835
|
|
|
$
|
19,222
|
|
|
$
|
28,175,924
|
|
Commercial real estate
|
6,867,440
|
|
|
120,212
|
|
|
103,983
|
|
|
1,483
|
|
|
7,093,118
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Credit Risk Profile by FICO Score (1), (2)
|
||||||||||||||||||
|
750+
|
|
650-749
|
|
<650
|
|
Other (3)
|
|
Total
|
||||||||||
Consumer
|
|
|
|
|
|
|
|
|
|
||||||||||
Automobile
|
$
|
5,445,124
|
|
|
$
|
4,254,397
|
|
|
$
|
1,172,859
|
|
|
$
|
280,921
|
|
|
$
|
11,153,301
|
|
Home equity
|
6,131,710
|
|
|
2,924,593
|
|
|
631,268
|
|
|
283,736
|
|
|
9,971,307
|
|
|||||
Residential mortgage
|
4,643,664
|
|
|
2,406,782
|
|
|
611,675
|
|
|
75,272
|
|
|
7,737,393
|
|
|||||
RV and marine finance
|
1,179,561
|
|
|
699,701
|
|
|
16,202
|
|
|
38,102
|
|
|
1,933,566
|
|
|||||
Other consumer
|
333,683
|
|
|
440,599
|
|
|
142,515
|
|
|
18,521
|
|
|
935,318
|
|
|
December 31, 2016
|
||||||||||||||||||
|
Credit Risk Profile by UCS Classification
|
||||||||||||||||||
(dollar amounts in thousands)
|
Pass
|
|
OLEM
|
|
Substandard
|
|
Doubtful
|
|
Total
|
||||||||||
Commercial
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
26,211,885
|
|
|
$
|
810,287
|
|
|
$
|
1,028,819
|
|
|
$
|
7,721
|
|
|
$
|
28,058,712
|
|
Commercial real estate
|
7,042,304
|
|
|
96,975
|
|
|
159,098
|
|
|
2,524
|
|
|
7,300,901
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Credit Risk Profile by FICO Score (1), (2)
|
||||||||||||||||||
|
750+
|
|
650-749
|
|
<650
|
|
Other (3)
|
|
Total
|
||||||||||
Consumer
|
|
|
|
|
|
|
|
|
|
||||||||||
Automobile
|
$
|
5,369,085
|
|
|
$
|
4,043,611
|
|
|
$
|
1,298,460
|
|
|
$
|
255,472
|
|
|
$
|
10,966,628
|
|
Home equity
|
6,280,328
|
|
|
2,891,330
|
|
|
637,560
|
|
|
293,283
|
|
|
10,102,501
|
|
|||||
Residential mortgage
|
4,662,777
|
|
|
2,285,121
|
|
|
615,067
|
|
|
87,060
|
|
|
7,650,025
|
|
|||||
RV and marine finance
|
1,064,143
|
|
|
644,039
|
|
|
72,995
|
|
|
63,751
|
|
|
1,844,928
|
|
|||||
Other consumer
|
346,867
|
|
|
455,959
|
|
|
133,243
|
|
|
19,913
|
|
|
955,982
|
|
(1)
|
Excludes loans accounted for under the fair value option.
|
(2)
|
Reflects most recent customer credit scores.
|
(3)
|
Reflects deferred fees and costs, loans in process, loans to legal entities, etc.
|
(dollar amounts in thousands)
|
|
Commercial
|
|
Consumer
|
|
Total
|
||||||
ALLL at March 31, 2017:
|
|
|
|
|
|
|
||||||
Portion of ALLL balance:
|
|
|
|
|
|
|
||||||
Attributable to loans individually evaluated for impairment
|
|
$
|
24,519
|
|
|
$
|
11,888
|
|
|
$
|
36,407
|
|
Attributable to loans collectively evaluated for impairment
|
|
455,789
|
|
|
180,384
|
|
|
636,173
|
|
|||
Total ALLL balance
|
|
$
|
480,308
|
|
|
$
|
192,272
|
|
|
$
|
672,580
|
|
Loan and Lease Ending Balances at March 31, 2017: (1)
|
|
|
|
|
|
|
||||||
Portion of loan and lease ending balance:
|
|
|
|
|
|
|
||||||
Purchased credit-impaired loans
|
|
$
|
90,111
|
|
|
$
|
—
|
|
|
$
|
90,111
|
|
Individually evaluated for impairment
|
|
425,793
|
|
|
457,790
|
|
|
883,583
|
|
|||
Collectively evaluated for impairment
|
|
34,753,138
|
|
|
31,273,095
|
|
|
66,026,233
|
|
|||
Total loans and leases evaluated for impairment
|
|
$
|
35,269,042
|
|
|
$
|
31,730,885
|
|
|
$
|
66,999,927
|
|
(dollar amounts in thousands)
|
|
Commercial
|
|
Consumer
|
|
Total
|
||||||
ALLL at December 31, 2016
|
|
|
|
|
|
|
||||||
Portion of ALLL balance:
|
|
|
|
|
|
|
||||||
Attributable to loans individually evaluated for impairment
|
|
$
|
10,525
|
|
|
$
|
11,021
|
|
|
$
|
21,546
|
|
Attributable to loans collectively evaluated for impairment
|
|
440,566
|
|
|
176,301
|
|
|
616,867
|
|
|||
Total ALLL balance:
|
|
$
|
451,091
|
|
|
$
|
187,322
|
|
|
$
|
638,413
|
|
Loan and Lease Ending Balances at December 31, 2016 (1)
|
|
|
|
|
|
|
||||||
Portion of loan and lease ending balances:
|
|
|
|
|
|
|
||||||
Purchased credit-impaired loans
|
|
$
|
102,380
|
|
|
$
|
—
|
|
|
$
|
102,380
|
|
Individually evaluated for impairment
|
|
415,624
|
|
|
457,890
|
|
|
873,514
|
|
|||
Collectively evaluated for impairment
|
|
34,841,609
|
|
|
31,062,174
|
|
|
65,903,783
|
|
|||
Total loans and leases evaluated for impairment
|
|
$
|
35,359,613
|
|
|
$
|
31,520,064
|
|
|
$
|
66,879,677
|
|
(1)
|
Excludes loans accounted for under the fair value option.
|
|
|
March 31, 2017
|
|
Three months ended
March 31, |
||||||||||||||||
(dollar amounts in thousands)
|
|
Ending
Balance
|
|
Unpaid
Principal
Balance (5)
|
|
Related
Allowance
|
|
Average
Balance
|
|
Interest
Income
Recognized
|
||||||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
250,789
|
|
|
$
|
290,673
|
|
|
$
|
—
|
|
|
$
|
275,409
|
|
|
$
|
4,500
|
|
Commercial real estate
|
|
86,621
|
|
|
117,745
|
|
|
—
|
|
|
85,829
|
|
|
2,000
|
|
|||||
Automobile
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Home equity
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Residential mortgage
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
RV and marine finance
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial (3)
|
|
278,368
|
|
|
306,613
|
|
|
33,678
|
|
|
334,179
|
|
|
1,906
|
|
|||||
Commercial real estate (4)
|
|
41,416
|
|
|
49,444
|
|
|
2,810
|
|
|
69,094
|
|
|
467
|
|
|||||
Automobile
|
|
32,731
|
|
|
32,942
|
|
|
2,004
|
|
|
31,846
|
|
|
534
|
|
|||||
Home equity (6)
|
|
326,755
|
|
|
360,622
|
|
|
16,232
|
|
|
323,079
|
|
|
3,949
|
|
|||||
Residential mortgage (6) (7)
|
|
349,527
|
|
|
383,685
|
|
|
14,217
|
|
|
338,640
|
|
|
3,110
|
|
|||||
RV and marine finance
|
|
687
|
|
|
710
|
|
|
26
|
|
|
343
|
|
|
11
|
|
|||||
Other consumer
|
|
4,245
|
|
|
4,245
|
|
|
248
|
|
|
4,071
|
|
|
57
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
529,157
|
|
|
597,286
|
|
|
33,678
|
|
|
609,588
|
|
|
6,406
|
|
|||||
Commercial real estate
|
|
128,037
|
|
|
167,189
|
|
|
2,810
|
|
|
154,923
|
|
|
2,467
|
|
|||||
Automobile
|
|
32,731
|
|
|
32,942
|
|
|
2,004
|
|
|
31,846
|
|
|
534
|
|
|||||
Home equity
|
|
326,755
|
|
|
360,622
|
|
|
16,232
|
|
|
323,079
|
|
|
3,949
|
|
|||||
Residential mortgage
|
|
349,527
|
|
|
383,685
|
|
|
14,217
|
|
|
338,640
|
|
|
3,110
|
|
|||||
RV and marine finance
|
|
687
|
|
|
710
|
|
|
26
|
|
|
343
|
|
|
11
|
|
|||||
Other consumer
|
|
4,245
|
|
|
4,245
|
|
|
248
|
|
|
4,071
|
|
|
57
|
|
|
|
December 31, 2016
|
|
Three months ended
March 31, |
||||||||||||||||
(dollar amounts in thousands)
|
|
Ending
Balance
|
|
Unpaid
Principal
Balance (5)
|
|
Related
Allowance
|
|
Average
Balance
|
|
Interest
Income
Recognized
|
||||||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
299,606
|
|
|
$
|
358,712
|
|
|
$
|
—
|
|
|
$
|
261,144
|
|
|
$
|
1,233
|
|
Commercial real estate
|
|
88,817
|
|
|
126,152
|
|
|
—
|
|
|
71,807
|
|
|
1,616
|
|
|||||
Automobile
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Home equity
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Residential mortgage
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,473
|
|
|
2
|
|
|||||
RV and marine finance
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
45
|
|
|
102
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial (3)
|
|
406,243
|
|
|
448,121
|
|
|
22,259
|
|
|
264,084
|
|
|
3,086
|
|
|||||
Commercial real estate (4)
|
|
97,238
|
|
|
107,512
|
|
|
3,434
|
|
|
79,857
|
|
|
758
|
|
|||||
Automobile
|
|
30,961
|
|
|
31,298
|
|
|
1,850
|
|
|
32,284
|
|
|
578
|
|
|||||
Home equity (6)
|
|
319,404
|
|
|
352,722
|
|
|
15,032
|
|
|
250,016
|
|
|
2,968
|
|
|||||
Residential mortgage (6) (7)
|
|
327,753
|
|
|
363,099
|
|
|
12,849
|
|
|
362,280
|
|
|
3,036
|
|
|||||
RV and marine finance
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer
|
|
3,897
|
|
|
3,897
|
|
|
260
|
|
|
4,799
|
|
|
66
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
705,849
|
|
|
806,833
|
|
|
22,259
|
|
|
525,228
|
|
|
4,319
|
|
|||||
Commercial real estate
|
|
186,055
|
|
|
233,664
|
|
|
3,434
|
|
|
151,664
|
|
|
2,374
|
|
|||||
Automobile
|
|
30,961
|
|
|
31,298
|
|
|
1,850
|
|
|
32,284
|
|
|
578
|
|
|||||
Home equity
|
|
319,404
|
|
|
352,722
|
|
|
15,032
|
|
|
250,016
|
|
|
2,968
|
|
|||||
Residential mortgage
|
|
327,753
|
|
|
363,099
|
|
|
12,849
|
|
|
363,753
|
|
|
3,038
|
|
|||||
RV and marine finance
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other consumer
|
|
3,897
|
|
|
3,897
|
|
|
260
|
|
|
4,844
|
|
|
168
|
|
(1)
|
These tables do not include loans fully charged-off.
|
(2)
|
All automobile, RV and marine finance and other consumer impaired loans included in these tables are considered impaired due to their status as a TDR.
|
(3)
|
At
March 31, 2017
and
December 31, 2016
, commercial and industrial loans with an allowance recorded of
$117 million
and
$293 million
, respectively, were considered impaired due to their status as a TDR.
|
(4)
|
At
March 31, 2017
and
December 31, 2016
, commercial real estate loans with an allowance recorded of
$24 million
and
$81 million
, respectively, were considered impaired due to their status as a TDR.
|
(5)
|
The differences between the ending balance and unpaid principal balance amounts represent partial charge-offs.
|
(6)
|
Includes home equity and residential mortgages considered to be collateral dependent as well as home equity and mortgage loans considered impaired due to their status as a TDR.
|
(7)
|
At
March 31, 2017
and
December 31, 2016
, residential mortgage loans with an allowance recorded of
$30 million
and
$29 million
, respectively, were guaranteed by the U.S. government.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
New Troubled Debt Restructurings During The Three-Month Period Ended (1)
|
||||||||||||||||||||
|
March 31, 2017
|
|
March 31, 2016
|
||||||||||||||||||
(dollar amounts in thousands)
|
Number of
Contracts
|
|
Post-modification
Outstanding
Ending Balance
|
|
Financial effects
of modification (2)
|
|
Number of
Contracts
|
|
Post-modification
Outstanding
Ending Balance
|
|
Financial effects
of modification (2)
|
||||||||||
Commercial and industrial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
1
|
|
|
$
|
19
|
|
|
$
|
6
|
|
|
1
|
|
|
$
|
17
|
|
|
$
|
(1
|
)
|
Amortization or maturity date change
|
236
|
|
|
112,425
|
|
|
(1,002
|
)
|
|
184
|
|
|
122,658
|
|
|
572
|
|
||||
Other
|
3
|
|
|
160
|
|
|
(27
|
)
|
|
8
|
|
|
858
|
|
|
(4
|
)
|
||||
Total Commercial and industrial
|
240
|
|
|
112,604
|
|
|
(1,023
|
)
|
|
193
|
|
|
123,533
|
|
|
567
|
|
||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Amortization or maturity date change
|
24
|
|
|
31,263
|
|
|
(388
|
)
|
|
24
|
|
|
33,795
|
|
|
(559
|
)
|
||||
Other
|
—
|
|
|
—
|
|
|
—
|
|
|
2
|
|
|
263
|
|
|
16
|
|
||||
Total commercial real estate:
|
24
|
|
|
31,263
|
|
|
(388
|
)
|
|
26
|
|
|
34,058
|
|
|
(543
|
)
|
||||
Automobile:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
14
|
|
|
178
|
|
|
5
|
|
|
4
|
|
|
42
|
|
|
2
|
|
||||
Amortization or maturity date change
|
477
|
|
|
4,301
|
|
|
111
|
|
|
421
|
|
|
3,901
|
|
|
220
|
|
||||
Chapter 7 bankruptcy
|
240
|
|
|
1,822
|
|
|
29
|
|
|
317
|
|
|
2,562
|
|
|
115
|
|
||||
Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total Automobile
|
731
|
|
|
6,301
|
|
|
145
|
|
|
742
|
|
|
6,505
|
|
|
337
|
|
||||
Home equity:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
8
|
|
|
562
|
|
|
7
|
|
|
20
|
|
|
1,384
|
|
|
67
|
|
||||
Amortization or maturity date change
|
106
|
|
|
5,496
|
|
|
(674
|
)
|
|
229
|
|
|
11,890
|
|
|
(1,282
|
)
|
||||
Chapter 7 bankruptcy
|
87
|
|
|
3,619
|
|
|
1,038
|
|
|
99
|
|
|
3,597
|
|
|
733
|
|
||||
Other
|
58
|
|
|
3,729
|
|
|
(326
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total Home equity
|
259
|
|
|
13,406
|
|
|
45
|
|
|
348
|
|
|
16,871
|
|
|
(482
|
)
|
||||
Residential mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
2
|
|
|
110
|
|
|
(9
|
)
|
|
5
|
|
|
657
|
|
|
(32
|
)
|
||||
Amortization or maturity date change
|
99
|
|
|
11,071
|
|
|
(258
|
)
|
|
92
|
|
|
10,759
|
|
|
(577
|
)
|
||||
Chapter 7 bankruptcy
|
24
|
|
|
2,691
|
|
|
(136
|
)
|
|
17
|
|
|
1,505
|
|
|
70
|
|
||||
Other
|
16
|
|
|
1,920
|
|
|
14
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total Residential mortgage
|
141
|
|
|
15,792
|
|
|
(389
|
)
|
|
114
|
|
|
12,921
|
|
|
(539
|
)
|
||||
RV and marine finance:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Amortization or maturity date change
|
14
|
|
|
476
|
|
|
12
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Chapter 7 bankruptcy
|
15
|
|
|
210
|
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total RV and marine finance
|
29
|
|
|
686
|
|
|
16
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Other consumer:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate reduction
|
1
|
|
|
78
|
|
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Amortization or maturity date change
|
2
|
|
|
267
|
|
|
7
|
|
|
4
|
|
|
555
|
|
|
24
|
|
||||
Chapter 7 bankruptcy
|
1
|
|
|
4
|
|
|
—
|
|
|
7
|
|
|
66
|
|
|
7
|
|
||||
Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total Other consumer
|
4
|
|
|
349
|
|
|
9
|
|
|
11
|
|
|
621
|
|
|
31
|
|
||||
Total new troubled debt restructurings
|
1,428
|
|
|
$
|
180,401
|
|
|
$
|
(1,585
|
)
|
|
1,434
|
|
|
$
|
194,509
|
|
|
$
|
(629
|
)
|
|
|
|
|
|
|
|
|
(1)
|
TDRs may include multiple concessions and the disclosure classifications are based on the primary concession provided to the borrower.
|
(2)
|
Amount represents the financial impact via provision for loan and lease losses as a result of the modification.
|
|
|
|
|
|
|
|
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||
(dollar amounts in thousands)
|
Amortized
Cost
|
|
Fair Value
|
|
Amortized
Cost
|
|
Fair Value
|
||||||||
U.S. Treasury, Federal agency, and other agency securities:
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
$
|
6,379
|
|
|
$
|
6,383
|
|
|
$
|
4,978
|
|
|
$
|
4,988
|
|
After 1 year through 5 years
|
502
|
|
|
507
|
|
|
502
|
|
|
509
|
|
||||
After 5 years through 10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total U.S. Treasury
|
6,881
|
|
|
6,890
|
|
|
5,480
|
|
|
5,497
|
|
||||
Federal agencies: mortgage-backed securities:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 1 year through 5 years
|
41,925
|
|
|
41,995
|
|
|
46,591
|
|
|
46,762
|
|
||||
After 5 years through 10 years
|
273,555
|
|
|
274,738
|
|
|
173,941
|
|
|
176,404
|
|
||||
After 10 years
|
11,099,533
|
|
|
10,905,134
|
|
|
10,630,929
|
|
|
10,450,176
|
|
||||
Total Federal agencies: mortgage-backed securities
|
11,415,013
|
|
|
11,221,867
|
|
|
10,851,461
|
|
|
10,673,342
|
|
||||
Other agencies:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
4,354
|
|
|
4,417
|
|
|
4,302
|
|
|
4,367
|
|
||||
After 1 year through 5 years
|
9,503
|
|
|
9,690
|
|
|
5,092
|
|
|
5,247
|
|
||||
After 5 years through 10 years
|
75,673
|
|
|
75,736
|
|
|
63,618
|
|
|
63,928
|
|
||||
After 10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total other agencies
|
89,530
|
|
|
89,843
|
|
|
73,012
|
|
|
73,542
|
|
Total U.S. Treasury, Federal agency, and other agency securities
|
11,511,424
|
|
|
11,318,600
|
|
|
10,929,953
|
|
|
10,752,381
|
|
||||
Municipal securities:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
180,536
|
|
|
178,416
|
|
|
169,636
|
|
|
166,887
|
|
||||
After 1 year through 5 years
|
951,261
|
|
|
953,776
|
|
|
933,893
|
|
|
933,903
|
|
||||
After 5 years through 10 years
|
1,481,804
|
|
|
1,493,797
|
|
|
1,463,459
|
|
|
1,464,583
|
|
||||
After 10 years
|
689,993
|
|
|
691,165
|
|
|
693,440
|
|
|
684,684
|
|
||||
Total municipal securities
|
3,303,594
|
|
|
3,317,154
|
|
|
3,260,428
|
|
|
3,250,057
|
|
||||
Asset-backed securities:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 1 year through 5 years
|
88,216
|
|
|
88,681
|
|
|
80,700
|
|
|
80,560
|
|
||||
After 5 years through 10 years
|
168,634
|
|
|
170,102
|
|
|
223,352
|
|
|
224,565
|
|
||||
After 10 years
|
537,534
|
|
|
508,154
|
|
|
520,072
|
|
|
488,356
|
|
||||
Total asset-backed securities
|
794,384
|
|
|
766,937
|
|
|
824,124
|
|
|
793,481
|
|
||||
Corporate debt:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
59,021
|
|
|
59,429
|
|
|
43,223
|
|
|
43,603
|
|
||||
After 1 year through 5 years
|
64,529
|
|
|
66,027
|
|
|
78,430
|
|
|
80,196
|
|
||||
After 5 years through 10 years
|
34,681
|
|
|
35,362
|
|
|
32,523
|
|
|
32,865
|
|
||||
After 10 years
|
36,098
|
|
|
37,863
|
|
|
40,361
|
|
|
42,019
|
|
||||
Total corporate debt
|
194,329
|
|
|
198,681
|
|
|
194,537
|
|
|
198,683
|
|
||||
Other:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
1,652
|
|
|
1,652
|
|
|
1,650
|
|
|
1,650
|
|
||||
After 1 year through 5 years
|
2,300
|
|
|
2,275
|
|
|
2,302
|
|
|
2,283
|
|
||||
After 5 years through 10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 10 years
|
46
|
|
|
46
|
|
|
10
|
|
|
10
|
|
||||
Nonmarketable equity securities
|
552,628
|
|
|
552,628
|
|
|
547,704
|
|
|
547,704
|
|
||||
Mutual funds
|
14,331
|
|
|
14,331
|
|
|
15,286
|
|
|
15,286
|
|
||||
Marketable equity securities
|
861
|
|
|
1,301
|
|
|
861
|
|
|
1,302
|
|
||||
Total other
|
571,818
|
|
|
572,233
|
|
|
567,813
|
|
|
568,235
|
|
||||
Total available-for-sale and other securities
|
$
|
16,375,549
|
|
|
$
|
16,173,605
|
|
|
$
|
15,776,855
|
|
|
$
|
15,562,837
|
|
|
|
|
Unrealized
|
|
|
||||||||||
(dollar amounts in thousands)
|
Amortized
Cost
|
|
Gross
Gains
|
|
Gross
Losses
|
|
Fair Value
|
||||||||
March 31, 2017
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury
|
$
|
6,881
|
|
|
$
|
9
|
|
|
$
|
—
|
|
|
$
|
6,890
|
|
Federal agencies:
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities
|
11,415,013
|
|
|
10,882
|
|
|
(204,028
|
)
|
|
11,221,867
|
|
||||
Other agencies
|
89,530
|
|
|
356
|
|
|
(43
|
)
|
|
89,843
|
|
||||
Total U.S. Treasury, Federal agency securities
|
11,511,424
|
|
|
11,247
|
|
|
(204,071
|
)
|
|
11,318,600
|
|
||||
Municipal securities
|
3,303,594
|
|
|
39,687
|
|
|
(26,127
|
)
|
|
3,317,154
|
|
||||
Asset-backed securities
|
794,384
|
|
|
2,225
|
|
|
(29,672
|
)
|
|
766,937
|
|
||||
Corporate debt
|
194,329
|
|
|
4,357
|
|
|
(5
|
)
|
|
198,681
|
|
||||
Other securities
|
571,818
|
|
|
441
|
|
|
(26
|
)
|
|
572,233
|
|
||||
Total available-for-sale and other securities
|
$
|
16,375,549
|
|
|
$
|
57,957
|
|
|
$
|
(259,901
|
)
|
|
$
|
16,173,605
|
|
|
|
|
Unrealized
|
|
|
||||||||||
(dollar amounts in thousands)
|
Amortized
Cost
|
|
Gross
Gains
|
|
Gross
Losses
|
|
Fair Value
|
||||||||
December 31, 2016
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury
|
$
|
5,480
|
|
|
$
|
17
|
|
|
$
|
—
|
|
|
$
|
5,497
|
|
Federal agencies:
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities
|
10,851,461
|
|
|
12,548
|
|
|
(190,667
|
)
|
|
10,673,342
|
|
||||
Other agencies
|
73,012
|
|
|
536
|
|
|
(6
|
)
|
|
73,542
|
|
||||
Total U.S. Treasury, Federal agency securities
|
10,929,953
|
|
|
13,101
|
|
|
(190,673
|
)
|
|
10,752,381
|
|
||||
Municipal securities
|
3,260,428
|
|
|
28,431
|
|
|
(38,802
|
)
|
|
3,250,057
|
|
||||
Asset-backed securities
|
824,124
|
|
|
1,492
|
|
|
(32,135
|
)
|
|
793,481
|
|
||||
Corporate debt
|
194,537
|
|
|
4,161
|
|
|
(15
|
)
|
|
198,683
|
|
||||
Other securities
|
567,813
|
|
|
441
|
|
|
(19
|
)
|
|
568,235
|
|
||||
Total available-for-sale and other securities
|
$
|
15,776,855
|
|
|
$
|
47,626
|
|
|
$
|
(261,644
|
)
|
|
$
|
15,562,837
|
|
|
Less than 12 Months
|
|
Over 12 Months
|
|
Total
|
||||||||||||||||||
(dollar amounts in thousands)
|
Fair Value
|
|
Unrealized
Losses
|
|
Fair Value
|
|
Unrealized
Losses
|
|
Fair Value
|
|
Unrealized
Losses
|
||||||||||||
March 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal agencies:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
$
|
9,846,004
|
|
|
$
|
(202,610
|
)
|
|
$
|
40,432
|
|
|
$
|
(1,418
|
)
|
|
$
|
9,886,436
|
|
|
$
|
(204,028
|
)
|
Other agencies
|
25,475
|
|
|
(43
|
)
|
|
—
|
|
|
—
|
|
|
25,475
|
|
|
(43
|
)
|
||||||
Total Federal agency securities
|
9,871,479
|
|
|
(202,653
|
)
|
|
40,432
|
|
|
(1,418
|
)
|
|
9,911,911
|
|
|
(204,071
|
)
|
||||||
Municipal securities
|
859,848
|
|
|
(19,825
|
)
|
|
257,829
|
|
|
(6,302
|
)
|
|
1,117,677
|
|
|
(26,127
|
)
|
||||||
Asset-backed securities
|
260,870
|
|
|
(2,268
|
)
|
|
201,436
|
|
|
(27,404
|
)
|
|
462,306
|
|
|
(29,672
|
)
|
||||||
Corporate debt
|
694
|
|
|
(5
|
)
|
|
200
|
|
|
—
|
|
|
894
|
|
|
(5
|
)
|
||||||
Other securities
|
785
|
|
|
(15
|
)
|
|
1,489
|
|
|
(11
|
)
|
|
2,274
|
|
|
(26
|
)
|
||||||
Total temporarily impaired securities
|
$
|
10,993,676
|
|
|
$
|
(224,766
|
)
|
|
$
|
501,386
|
|
|
$
|
(35,135
|
)
|
|
$
|
11,495,062
|
|
|
$
|
(259,901
|
)
|
|
Less than 12 Months
|
|
Over 12 Months
|
|
Total
|
||||||||||||||||||
(dollar amounts in thousands)
|
Fair Value
|
|
Unrealized
Losses
|
|
Fair Value
|
|
Unrealized
Losses
|
|
Fair Value
|
|
Unrealized
Losses
|
||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal agencies:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
$
|
8,908,470
|
|
|
$
|
(189,318
|
)
|
|
$
|
41,706
|
|
|
$
|
(1,349
|
)
|
|
$
|
8,950,176
|
|
|
$
|
(190,667
|
)
|
Other agencies
|
924
|
|
|
(6
|
)
|
|
—
|
|
|
—
|
|
|
924
|
|
|
(6
|
)
|
||||||
Total Federal agency securities
|
8,909,394
|
|
|
(189,324
|
)
|
|
41,706
|
|
|
(1,349
|
)
|
|
8,951,100
|
|
|
(190,673
|
)
|
||||||
Municipal securities
|
1,412,152
|
|
|
(29,175
|
)
|
|
272,292
|
|
|
(9,627
|
)
|
|
1,684,444
|
|
|
(38,802
|
)
|
||||||
Asset-backed securities
|
361,185
|
|
|
(3,043
|
)
|
|
178,924
|
|
|
(29,092
|
)
|
|
540,109
|
|
|
(32,135
|
)
|
||||||
Corporate debt
|
3,567
|
|
|
(15
|
)
|
|
200
|
|
|
—
|
|
|
3,767
|
|
|
(15
|
)
|
||||||
Other securities
|
790
|
|
|
(11
|
)
|
|
1,492
|
|
|
(8
|
)
|
|
2,282
|
|
|
(19
|
)
|
||||||
Total temporarily impaired securities
|
$
|
10,687,088
|
|
|
$
|
(221,568
|
)
|
|
$
|
494,614
|
|
|
$
|
(40,076
|
)
|
|
$
|
11,181,702
|
|
|
$
|
(261,644
|
)
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
2017
|
|
2016
|
||||
Gross gains on sales of securities
|
|
$
|
545
|
|
|
$
|
—
|
|
Gross (losses) on sales of securities
|
|
(553
|
)
|
|
—
|
|
||
Net gain on sales of securities
|
|
$
|
(8
|
)
|
|
$
|
—
|
|
Deal Name
|
Par Value
|
|
Amortized
Cost
|
|
Fair
Value
|
|
Unrealized
Loss (2)
|
|
Lowest
Credit
Rating
(3)
|
|
# of Issuers
Currently
Performing/
Remaining (4)
|
|
Actual
Deferrals
and
Defaults
as a % of
Original
Collateral
|
|
Expected
Defaults
as a % of
Remaining
Performing
Collateral
|
|
Excess
Subordination
(5)
|
||||||||
ICONS
|
$
|
18,594
|
|
|
$
|
18,594
|
|
|
$
|
15,416
|
|
|
$
|
(3,178
|
)
|
|
BB
|
|
19/21
|
|
7
|
|
13
|
|
55
|
MM Comm III
|
4,573
|
|
|
4,369
|
|
|
3,625
|
|
|
(744
|
)
|
|
BB+
|
|
5/8
|
|
5
|
|
6
|
|
39
|
||||
Pre TSL IX (1)
|
5,000
|
|
|
3,955
|
|
|
3,285
|
|
|
(670
|
)
|
|
C
|
|
27/37
|
|
16
|
|
8
|
|
10
|
||||
Pre TSL XI (1)
|
25,000
|
|
|
19,413
|
|
|
15,923
|
|
|
(3,490
|
)
|
|
C
|
|
43/53
|
|
14
|
|
8
|
|
14
|
||||
Reg Diversified (1)
|
25,500
|
|
|
4,195
|
|
|
1,832
|
|
|
(2,363
|
)
|
|
D
|
|
20/36
|
|
33
|
|
8
|
|
—
|
||||
Tropic III
|
31,000
|
|
|
31,000
|
|
|
19,411
|
|
|
(11,589
|
)
|
|
BB
|
|
27/36
|
|
16
|
|
7
|
|
42
|
||||
Total at March 31, 2017
|
$
|
109,667
|
|
|
$
|
81,526
|
|
|
$
|
59,492
|
|
|
$
|
(22,034
|
)
|
|
|
|
|
|
|
|
|
|
|
Total at December 31, 2016
|
$
|
137,197
|
|
|
$
|
101,210
|
|
|
$
|
76,003
|
|
|
$
|
(25,207
|
)
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Security was determined to have OTTI. As such, the amortized cost is net of recorded credit impairment.
|
(2)
|
The majority of securities have been in a continuous loss position for 12 months or longer.
|
(3)
|
For purposes of comparability, the lowest credit rating expressed is equivalent to Fitch ratings even where the lowest rating is based on another nationally recognized credit rating agency.
|
(4)
|
Includes both banks and/or insurance companies.
|
(5)
|
Excess subordination percentage represents the additional defaults in excess of both current and projected defaults that the CDO can absorb before the bond experiences credit impairment. Excess subordinated percentage is calculated by (a) determining what percentage of defaults a deal can experience before the bond has credit impairment, and (b) subtracting from this default breakage percentage both total current and expected future default percentages.
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
2017
|
|
2016
|
||||
Available-for-sale and other securities:
|
|
|
|
|
||||
Collateralized Debt Obligations
|
|
$
|
—
|
|
|
$
|
—
|
|
Municipal Securities
|
|
24
|
|
|
—
|
|
||
Total available-for-sale and other securities
|
|
$
|
24
|
|
|
$
|
—
|
|
|
|
Three Months Ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
2017
|
|
2016
|
||||
Balance, beginning of period
|
|
$
|
11,796
|
|
|
$
|
18,368
|
|
Reductions from sales
|
|
(4,558
|
)
|
|
—
|
|
||
Additional credit losses
|
|
24
|
|
|
—
|
|
||
Balance, end of period
|
|
$
|
7,262
|
|
|
$
|
18,368
|
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||
(dollar amounts in thousands)
|
Amortized
Cost
|
|
Fair
Value
|
|
Amortized
Cost
|
|
Fair
Value
|
||||||||
Federal agencies: mortgage-backed securities:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
After 1 year through 5 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 5 years through 10 years
|
59,710
|
|
|
59,420
|
|
|
41,261
|
|
|
40,791
|
|
||||
After 10 years
|
6,887,466
|
|
|
6,857,540
|
|
|
7,157,083
|
|
|
7,139,943
|
|
||||
Total Federal agencies: mortgage-backed securities
|
6,947,176
|
|
|
6,916,960
|
|
|
7,198,344
|
|
|
7,180,734
|
|
||||
Other agencies:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 1 year through 5 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 5 years through 10 years
|
382,617
|
|
|
383,290
|
|
|
398,341
|
|
|
399,452
|
|
||||
After 10 years
|
197,714
|
|
|
195,990
|
|
|
204,083
|
|
|
201,180
|
|
||||
Total other agencies
|
580,331
|
|
|
579,280
|
|
|
602,424
|
|
|
600,632
|
|
||||
Total U.S. Government backed agencies
|
7,527,507
|
|
|
7,496,240
|
|
|
7,800,768
|
|
|
7,781,366
|
|
||||
Municipal securities:
|
|
|
|
|
|
|
|
||||||||
1 year or less
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 1 year through 5 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 5 years through 10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
After 10 years
|
6,010
|
|
|
5,862
|
|
|
6,171
|
|
|
5,902
|
|
||||
Total municipal securities
|
6,010
|
|
|
5,862
|
|
|
6,171
|
|
|
5,902
|
|
||||
Total held-to-maturity securities
|
$
|
7,533,517
|
|
|
$
|
7,502,102
|
|
|
$
|
7,806,939
|
|
|
$
|
7,787,268
|
|
|
|
|
Unrealized
|
|
|
||||||||||
(dollar amounts in thousands)
|
Amortized
Cost
|
|
Gross
Gains
|
|
Gross
Losses
|
|
Fair Value
|
||||||||
March 31, 2017
|
|
|
|
|
|
|
|
||||||||
Federal agencies:
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities
|
$
|
6,947,176
|
|
|
$
|
11,534
|
|
|
$
|
(41,750
|
)
|
|
$
|
6,916,960
|
|
Other agencies
|
580,331
|
|
|
1,886
|
|
|
(2,937
|
)
|
|
579,280
|
|
||||
Total U.S. Government backed agencies
|
7,527,507
|
|
|
13,420
|
|
|
(44,687
|
)
|
|
7,496,240
|
|
||||
Municipal securities
|
6,010
|
|
|
—
|
|
|
(148
|
)
|
|
5,862
|
|
||||
Total held-to-maturity securities
|
$
|
7,533,517
|
|
|
$
|
13,420
|
|
|
$
|
(44,835
|
)
|
|
$
|
7,502,102
|
|
|
|
|
Unrealized
|
|
|
||||||||||
(dollar amounts in thousands)
|
Amortized
Cost |
|
Gross
Gains
|
|
Gross
Losses
|
|
Fair Value
|
||||||||
December 31, 2016
|
|
|
|
|
|
|
|
||||||||
Federal agencies:
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities
|
$
|
7,198,344
|
|
|
$
|
20,883
|
|
|
$
|
(38,493
|
)
|
|
$
|
7,180,734
|
|
Other agencies
|
602,424
|
|
|
1,690
|
|
|
(3,482
|
)
|
|
600,632
|
|
||||
Total U.S. Government backed agencies
|
7,800,768
|
|
|
22,573
|
|
|
(41,975
|
)
|
|
7,781,366
|
|
||||
Municipal securities
|
6,171
|
|
|
—
|
|
|
(269
|
)
|
|
5,902
|
|
||||
Total held-to-maturity securities
|
$
|
7,806,939
|
|
|
$
|
22,573
|
|
|
$
|
(42,244
|
)
|
|
$
|
7,787,268
|
|
|
Less than 12 Months
|
|
Over 12 Months
|
|
Total
|
||||||||||||||||||
(dollar amounts in thousands)
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
||||||||||||
March 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal agencies:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
$
|
4,852,958
|
|
|
$
|
(35,507
|
)
|
|
$
|
169,422
|
|
|
$
|
(6,243
|
)
|
|
$
|
5,022,380
|
|
|
$
|
(41,750
|
)
|
Other agencies
|
412,793
|
|
|
(2,937
|
)
|
|
—
|
|
|
—
|
|
|
412,793
|
|
|
(2,937
|
)
|
||||||
Total U.S. Government backed securities
|
5,265,751
|
|
|
(38,444
|
)
|
|
169,422
|
|
|
(6,243
|
)
|
|
5,435,173
|
|
|
(44,687
|
)
|
||||||
Municipal securities
|
5,862
|
|
|
(148
|
)
|
|
—
|
|
|
—
|
|
|
5,862
|
|
|
(148
|
)
|
||||||
Total temporarily impaired securities
|
$
|
5,271,613
|
|
|
$
|
(38,592
|
)
|
|
$
|
169,422
|
|
|
$
|
(6,243
|
)
|
|
$
|
5,441,035
|
|
|
$
|
(44,835
|
)
|
|
Less than 12 Months
|
|
Over 12 Months
|
|
Total
|
||||||||||||||||||
(dollar amounts in thousands)
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal agencies:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities
|
$
|
2,855,360
|
|
|
$
|
(31,470
|
)
|
|
$
|
186,226
|
|
|
$
|
(7,023
|
)
|
|
$
|
3,041,586
|
|
|
$
|
(38,493
|
)
|
Other agencies
|
413,207
|
|
|
(3,482
|
)
|
|
—
|
|
|
—
|
|
|
413,207
|
|
|
(3,482
|
)
|
||||||
Total U.S. Government backed securities
|
3,268,567
|
|
|
(34,952
|
)
|
|
186,226
|
|
|
(7,023
|
)
|
|
3,454,793
|
|
|
(41,975
|
)
|
||||||
Municipal securities
|
5,902
|
|
|
(269
|
)
|
|
—
|
|
|
—
|
|
|
5,902
|
|
|
(269
|
)
|
||||||
Total temporarily impaired securities
|
$
|
3,274,469
|
|
|
$
|
(35,221
|
)
|
|
$
|
186,226
|
|
|
$
|
(7,023
|
)
|
|
$
|
3,460,695
|
|
|
$
|
(42,244
|
)
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Residential mortgage loans sold with servicing retained
|
|
|
$
|
845,415
|
|
|
$
|
632,466
|
|
Pretax gains resulting from above loan sales (1)
|
|
|
22,190
|
|
|
14,113
|
|
(1)
|
Recorded in mortgage banking income.
|
Fair Value Method:
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Fair value, beginning of period
|
|
|
$
|
13,747
|
|
|
$
|
17,585
|
|
Change in fair value during the period due to:
|
|
|
|
|
|
||||
Time decay (1)
|
|
|
(231
|
)
|
|
(273
|
)
|
||
Payoffs (2)
|
|
|
(364
|
)
|
|
(504
|
)
|
||
Changes in valuation inputs or assumptions (3)
|
|
|
155
|
|
|
(1,989
|
)
|
||
Fair value, end of period:
|
|
|
$
|
13,307
|
|
|
$
|
14,819
|
|
Weighted-average life (years)
|
|
|
5.6
|
|
|
5.2
|
|
(1)
|
Represents decrease in value due to passage of time, including the impact from both regularly scheduled loan principal payments and partial loan paydowns.
|
(2)
|
Represents decrease in value associated with loans that paid off during the period.
|
(3)
|
Represents change in value resulting primarily from market-driven changes in interest rates and prepayment speeds.
|
Amortization Method:
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Carrying value, beginning of period
|
|
|
$
|
172,466
|
|
|
$
|
143,133
|
|
New servicing assets created
|
|
|
9,635
|
|
|
6,109
|
|
||
Impairment (charge) / recovery
|
|
|
1,800
|
|
|
(16,340
|
)
|
||
Amortization and other
|
|
|
(6,089
|
)
|
|
(5,627
|
)
|
||
Carrying value, end of period
|
|
|
$
|
177,812
|
|
|
$
|
127,275
|
|
Fair value, end of period
|
|
|
$
|
178,581
|
|
|
$
|
127,516
|
|
Weighted-average life (years)
|
|
|
7.1
|
|
|
6.5
|
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||
|
|
|
Decline in fair value due to
|
|
|
|
Decline in fair value due to
|
||||||||||||||
(dollar amounts in thousands)
|
Actual
|
|
10%
adverse
change
|
|
20%
adverse
change
|
|
Actual
|
|
10%
adverse
change
|
|
20%
adverse
change
|
||||||||||
Constant prepayment rate
(annualized)
|
11.90
|
%
|
|
$
|
(522
|
)
|
|
$
|
(1,007
|
)
|
|
10.90
|
%
|
|
$
|
(501
|
)
|
|
$
|
(970
|
)
|
Spread over forward interest rate swap rates
|
839 bps
|
|
|
(411
|
)
|
|
(798
|
)
|
|
536 bps
|
|
|
(454
|
)
|
|
(879
|
)
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||
|
|
|
Decline in fair value due to
|
|
|
|
Decline in fair value due to
|
||||||||||||||
(dollar amounts in thousands)
|
Actual
|
|
10%
adverse change |
|
20%
adverse change |
|
Actual
|
|
10%
adverse change |
|
20%
adverse change |
||||||||||
Constant prepayment rate
(annualized)
|
8.10
|
%
|
|
$
|
(4,756
|
)
|
|
$
|
(9,242
|
)
|
|
7.80
|
%
|
|
$
|
(4,510
|
)
|
|
$
|
(8,763
|
)
|
Spread over forward interest rate swap rates
|
1,064 bps
|
|
|
(5,518
|
)
|
|
(10,692
|
)
|
|
1,173 bps
|
|
|
(5,259
|
)
|
|
(10,195
|
)
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Carrying value, beginning of period
|
|
|
$
|
18,285
|
|
|
$
|
8,771
|
|
New servicing assets created
|
|
|
—
|
|
|
—
|
|
||
Amortization and other
|
|
|
(3,126
|
)
|
|
(1,742
|
)
|
||
Carrying value, end of period
|
|
|
$
|
15,159
|
|
|
$
|
7,029
|
|
Fair value, end of period
|
|
|
$
|
15,278
|
|
|
$
|
7,250
|
|
Weighted-average life (years)
|
|
|
4.0
|
|
|
3.3
|
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||
|
|
|
Decline in fair value due to
|
|
|
|
Decline in fair value due to
|
||||||||||||||
(dollar amounts in thousands)
|
Actual
|
|
10%
adverse change |
|
20%
adverse change |
|
Actual
|
|
10%
adverse change |
|
20%
adverse change |
||||||||||
Constant prepayment rate
(annualized)
|
19.95
|
%
|
|
$
|
(877
|
)
|
|
$
|
(1,695
|
)
|
|
19.98
|
%
|
|
$
|
(1,047
|
)
|
|
$
|
(2,026
|
)
|
Spread over forward interest rate swap rates
|
500 bps
|
|
|
(22
|
)
|
|
(45
|
)
|
|
500 bps
|
|
|
(26
|
)
|
|
(53
|
)
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
SBA loans sold with servicing retained
|
|
|
$
|
77,672
|
|
|
$
|
45,889
|
|
Pretax gains resulting from above loan sales (1)
|
|
|
5,818
|
|
|
3,521
|
|
(1)
|
Recorded in gain on sale of loans.
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Carrying value, beginning of period
|
|
|
$
|
21,080
|
|
|
$
|
19,747
|
|
New servicing assets created
|
|
|
1,475
|
|
|
1,511
|
|
||
Amortization and other
|
|
|
(1,156
|
)
|
|
(1,733
|
)
|
||
Carrying value, end of period
|
|
|
$
|
21,399
|
|
|
$
|
19,525
|
|
Fair value, end of period
|
|
|
$
|
25,857
|
|
|
$
|
23,048
|
|
Weighted-average life (years)
|
|
|
3.3
|
|
|
3.3
|
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||
|
|
|
Decline in fair value due to
|
|
|
|
Decline in fair value due to
|
||||||||||||||
(dollar amounts in thousands)
|
Actual
|
|
10%
adverse
change
|
|
20%
adverse
change
|
|
Actual
|
|
10%
adverse
change
|
|
20%
adverse
change
|
||||||||||
Constant prepayment rate
(annualized)
|
7.40
|
%
|
|
$
|
(346
|
)
|
|
$
|
(687
|
)
|
|
7.40
|
%
|
|
$
|
(324
|
)
|
|
$
|
(644
|
)
|
Discount rate
|
15.00
|
|
|
(696
|
)
|
|
(1,363
|
)
|
|
15.00
|
|
|
(1,270
|
)
|
|
(1,870
|
)
|
|
Three Months Ended
March 31, 2017 |
||||||||||
|
Tax (Expense)
|
||||||||||
(dollar amounts in thousands)
|
Pretax
|
|
Benefit
|
|
After-tax
|
||||||
Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold
|
$
|
810
|
|
|
$
|
(286
|
)
|
|
$
|
524
|
|
Unrealized holding gains (losses) on available-for-sale debt securities arising during the period
|
8,996
|
|
|
(2,795
|
)
|
|
6,201
|
|
|||
Less: Reclassification adjustment for net losses (gains) included in net income
|
5,874
|
|
|
(2,077
|
)
|
|
3,797
|
|
|||
Net change in unrealized holding gains (losses) on available-for-sale debt securities
|
15,680
|
|
|
(5,158
|
)
|
|
10,522
|
|
|||
Net change in unrealized holding gains (losses) on available-for-sale equity securities
|
—
|
|
|
—
|
|
|
—
|
|
|||
Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period
|
(1,831
|
)
|
|
641
|
|
|
(1,190
|
)
|
|||
Less: Reclassification adjustment for net (gains) losses included in net income
|
560
|
|
|
(196
|
)
|
|
364
|
|
|||
Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships
|
(1,271
|
)
|
|
445
|
|
|
(826
|
)
|
|||
Net change in pension and other post-retirement obligations
|
708
|
|
|
(248
|
)
|
|
460
|
|
|||
Total other comprehensive income (loss)
|
$
|
15,117
|
|
|
$
|
(4,961
|
)
|
|
$
|
10,156
|
|
|
Three Months Ended
March 31, 2016 |
||||||||||
|
Tax (Expense)
|
||||||||||
(dollar amounts in thousands)
|
Pretax
|
|
Benefit
|
|
After-tax
|
||||||
Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold
|
$
|
(3,634
|
)
|
|
$
|
1,285
|
|
|
$
|
(2,349
|
)
|
Unrealized holding gains (losses) on available-for-sale debt securities arising during the period
|
80,468
|
|
|
(28,685
|
)
|
|
51,783
|
|
|||
Less: Reclassification adjustment for net losses (gains) included in net income
|
(464
|
)
|
|
164
|
|
|
(300
|
)
|
|||
Net change in unrealized holding gains (losses) on available-for-sale debt securities
|
76,370
|
|
|
(27,236
|
)
|
|
49,134
|
|
|||
Net change in unrealized holding gains (losses) on available-for-sale equity securities
|
104
|
|
|
(36
|
)
|
|
68
|
|
|||
Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period
|
14,229
|
|
|
(4,980
|
)
|
|
9,249
|
|
|||
Less: Reclassification adjustment for net (gains) losses included in net income
|
(644
|
)
|
|
224
|
|
|
(420
|
)
|
|||
Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships
|
13,585
|
|
|
(4,756
|
)
|
|
8,829
|
|
|||
Net change in pension and other post-retirement obligations
|
1,293
|
|
|
(452
|
)
|
|
841
|
|
|||
Total other comprehensive income (loss)
|
$
|
91,352
|
|
|
$
|
(32,480
|
)
|
|
$
|
58,872
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(dollar amounts in thousands)
|
Unrealized gains
and (losses) on
debt securities
(1)
|
|
Unrealized
gains and
(losses) on
equity
securities
|
|
Unrealized
gains and
(losses) on
cash flow
hedging
derivatives
|
|
Unrealized gains
(losses) for
pension and
other post-
retirement
obligations
|
|
Total
|
||||||||||
December 31, 2015
|
$
|
8,361
|
|
|
$
|
176
|
|
|
$
|
(3,948
|
)
|
|
$
|
(230,747
|
)
|
|
$
|
(226,158
|
)
|
Other comprehensive income before reclassifications
|
49,434
|
|
|
68
|
|
|
9,249
|
|
|
—
|
|
|
58,751
|
|
|||||
Amounts reclassified from accumulated OCI to earnings
|
(300
|
)
|
|
—
|
|
|
(420
|
)
|
|
841
|
|
|
121
|
|
|||||
Period change
|
49,134
|
|
|
68
|
|
|
8,829
|
|
|
841
|
|
|
58,872
|
|
|||||
March 31, 2016
|
$
|
57,495
|
|
|
$
|
244
|
|
|
$
|
4,881
|
|
|
$
|
(229,906
|
)
|
|
$
|
(167,286
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2016
|
$
|
(192,764
|
)
|
|
$
|
287
|
|
|
$
|
(2,634
|
)
|
|
$
|
(205,905
|
)
|
|
$
|
(401,016
|
)
|
Other comprehensive income before reclassifications
|
6,725
|
|
|
—
|
|
|
(1,190
|
)
|
|
—
|
|
|
5,535
|
|
|||||
Amounts reclassified from accumulated OCI to earnings
|
3,797
|
|
|
—
|
|
|
364
|
|
|
460
|
|
|
4,621
|
|
|||||
Period change
|
10,522
|
|
|
—
|
|
|
(826
|
)
|
|
460
|
|
|
10,156
|
|
|||||
March 31, 2017
|
$
|
(182,242
|
)
|
|
$
|
287
|
|
|
$
|
(3,460
|
)
|
|
$
|
(205,445
|
)
|
|
$
|
(390,860
|
)
|
(1)
|
Amounts at
March 31, 2017
and
December 31, 2016
include
$81 million
and
$82 million
, respectively, of net unrealized gains on securities transferred from the available-for-sale securities portfolio to the held-to-maturity securities portfolio. The net unrealized gains will be recognized in earnings over the remaining life of the security using the effective interest method.
|
|
Reclassifications out of accumulated OCI
|
||||||||
Accumulated OCI components
|
Amounts reclassified from accumulated OCI
|
|
Location of net gain (loss) reclassified from accumulated OCI into earnings
|
||||||
|
Three Months Ended
|
|
|
||||||
(dollar amounts in thousands)
|
March 31, 2017
|
|
March 31, 2016
|
|
|
||||
Gains (losses) on debt securities:
|
|
|
|
|
|
||||
Amortization of unrealized gains (losses)
|
$
|
(3,606
|
)
|
|
$
|
464
|
|
|
Interest income - held-to-maturity securities - taxable
|
Realized gain (loss) on sale of securities
|
(2,244
|
)
|
|
—
|
|
|
Noninterest income - net gains (losses) on sale of securities
|
||
OTTI recorded
|
(24
|
)
|
|
—
|
|
|
Noninterest income - net gains (losses) on sale of securities
|
||
|
(5,874
|
)
|
|
464
|
|
|
Total before tax
|
||
|
2,077
|
|
|
(164
|
)
|
|
Tax (expense) benefit
|
||
|
$
|
(3,797
|
)
|
|
$
|
300
|
|
|
Net of tax
|
Gains (losses) on cash flow hedging relationships:
|
|
|
|
|
|
||||
Interest rate contracts
|
$
|
(560
|
)
|
|
$
|
645
|
|
|
Interest income - loans and leases
|
Interest rate contracts
|
—
|
|
|
(1
|
)
|
|
Noninterest income - other income
|
||
|
(560
|
)
|
|
644
|
|
|
Total before tax
|
||
|
196
|
|
|
(224
|
)
|
|
Tax (expense) benefit
|
||
|
$
|
(364
|
)
|
|
$
|
420
|
|
|
Net of tax
|
Amortization of defined benefit pension and post-retirement items:
|
|
|
|
|
|
||||
Actuarial gains (losses)
|
$
|
(1,200
|
)
|
|
$
|
(1,785
|
)
|
|
Noninterest expense - personnel costs
|
Prior service credit
|
492
|
|
|
492
|
|
|
Noninterest expense - personnel costs
|
||
|
(708
|
)
|
|
(1,293
|
)
|
|
Total before tax
|
||
|
248
|
|
|
452
|
|
|
Tax (expense) benefit
|
||
|
$
|
(460
|
)
|
|
$
|
(841
|
)
|
|
Net of tax
|
|
|
|
|
|
|
|
Three Months Ended
March 31, |
||||||
(dollar amounts in thousands, except per share amounts)
|
2017
|
|
2016
|
||||
Basic earnings per common share:
|
|
|
|
||||
Net income
|
$
|
208,094
|
|
|
$
|
171,314
|
|
Preferred stock dividends
|
(18,878
|
)
|
|
(7,998
|
)
|
||
Net income available to common shareholders
|
$
|
189,216
|
|
|
$
|
163,316
|
|
Average common shares issued and outstanding
|
1,086,374
|
|
|
795,755
|
|
||
Basic earnings per common share
|
$
|
0.17
|
|
|
$
|
0.21
|
|
Diluted earnings per common share:
|
|
|
|
||||
Net income available to common shareholders
|
$
|
189,216
|
|
|
$
|
163,316
|
|
Effect of assumed preferred stock conversion
|
—
|
|
|
—
|
|
||
Net income applicable to diluted earnings per share
|
$
|
189,216
|
|
|
$
|
163,316
|
|
Average common shares issued and outstanding
|
1,086,374
|
|
|
795,755
|
|
||
Dilutive potential common shares:
|
|
|
|
||||
Stock options and restricted stock units and awards
|
19,139
|
|
|
10,385
|
|
||
Shares held in deferred compensation plans
|
2,953
|
|
|
2,075
|
|
||
Other
|
151
|
|
|
134
|
|
||
Dilutive potential common shares:
|
22,243
|
|
|
12,594
|
|
||
Total diluted average common shares issued and outstanding
|
1,108,617
|
|
|
808,349
|
|
||
Diluted earnings per common share
|
$
|
0.17
|
|
|
$
|
0.20
|
|
|
Pension Benefits
|
|
Post Retirement Benefits
|
||||||||||||||||
|
Three Months Ended March 31,
|
|
Three Months Ended March 31,
|
||||||||||||||||
(dollar amounts in thousands)
|
2017
|
|
|
2016
|
|
2017
|
|
|
2016
|
||||||||||
Service cost
|
$
|
640
|
|
|
|
$
|
1,025
|
|
|
$
|
22
|
|
|
|
$
|
—
|
|
||
Interest cost
|
7,477
|
|
|
|
6,748
|
|
|
99
|
|
|
|
55
|
|
||||||
Expected return on plan assets
|
(13,803
|
)
|
|
|
(10,223
|
)
|
|
—
|
|
|
|
—
|
|
||||||
Amortization of prior service cost
|
—
|
|
|
|
—
|
|
|
(492
|
)
|
|
|
(492
|
)
|
||||||
Amortization of (gain) loss
|
1,747
|
|
|
|
1,864
|
|
|
(55
|
)
|
|
|
(72
|
)
|
||||||
Settlements
|
2,500
|
|
|
|
3,400
|
|
|
—
|
|
|
|
—
|
|
||||||
Net periodic (benefit) cost
|
$
|
(1,439
|
)
|
(1
|
)
|
|
$
|
2,814
|
|
|
$
|
(426
|
)
|
(1
|
)
|
|
$
|
(509
|
)
|
(1)
|
Includes expense associated with FirstMerit plans.
|
|
Fair Value Measurements at Reporting Date Using
|
|
Netting Adjustments (1)
|
|
March 31, 2017
|
||||||||||||||
(dollar amounts in thousands)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
|
||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans held for sale
|
$
|
—
|
|
|
$
|
423,324
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
423,324
|
|
Loans held for investment
|
—
|
|
|
54,123
|
|
|
44,219
|
|
|
—
|
|
|
98,342
|
|
|||||
Trading account securities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Municipal securities
|
—
|
|
|
3,434
|
|
|
—
|
|
|
—
|
|
|
3,434
|
|
|||||
Other securities
|
94,201
|
|
|
150
|
|
|
—
|
|
|
—
|
|
|
94,351
|
|
|||||
|
94,201
|
|
|
3,584
|
|
|
—
|
|
|
—
|
|
|
97,785
|
|
|||||
Available-for-sale and other securities:
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. Treasury securities
|
6,890
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,890
|
|
|||||
Federal agencies: Mortgage-backed
|
—
|
|
|
11,221,867
|
|
|
—
|
|
|
—
|
|
|
11,221,867
|
|
|||||
Federal agencies: Other agencies
|
—
|
|
|
89,843
|
|
|
—
|
|
|
—
|
|
|
89,843
|
|
|||||
Municipal securities
|
—
|
|
|
449,502
|
|
|
2,867,652
|
|
|
—
|
|
|
3,317,154
|
|
|||||
Asset-backed securities
|
—
|
|
|
707,445
|
|
|
59,492
|
|
|
—
|
|
|
766,937
|
|
|||||
Corporate debt
|
—
|
|
|
198,681
|
|
|
—
|
|
|
—
|
|
|
198,681
|
|
|||||
Other securities
|
15,632
|
|
|
3,973
|
|
|
—
|
|
|
—
|
|
|
19,605
|
|
|||||
|
22,522
|
|
|
12,671,311
|
|
|
2,927,144
|
|
|
—
|
|
|
15,620,977
|
|
|||||
MSRs
|
—
|
|
|
—
|
|
|
13,307
|
|
|
—
|
|
|
13,307
|
|
|||||
Derivative assets
|
—
|
|
|
342,584
|
|
|
9,439
|
|
|
(173,603
|
)
|
|
178,420
|
|
|||||
Liabilities
|
|
|
|
|
|
|
|
|
|
||||||||||
Derivative liabilities
|
—
|
|
|
322,999
|
|
|
6,745
|
|
|
(246,192
|
)
|
|
83,552
|
|
|||||
Short-term borrowings
|
1,420
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,420
|
|
|
Fair Value Measurements at Reporting Date Using
|
|
Netting Adjustments (1)
|
|
December 31, 2016
|
||||||||||||||
(dollar amounts in thousands)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
|
||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans held for sale
|
$
|
—
|
|
|
$
|
438,224
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
438,224
|
|
Loans held for investment
|
—
|
|
|
34,439
|
|
|
47,880
|
|
|
—
|
|
|
82,319
|
|
|||||
Trading account securities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Municipal securities
|
—
|
|
|
1,148
|
|
|
—
|
|
|
—
|
|
|
1,148
|
|
|||||
Other securities
|
132,147
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
132,147
|
|
|||||
|
132,147
|
|
|
1,148
|
|
|
—
|
|
|
—
|
|
|
133,295
|
|
|||||
Available-for-sale and other securities:
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. Treasury securities
|
5,497
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,497
|
|
|||||
Federal agencies: Mortgage-backed
|
—
|
|
|
10,673,342
|
|
|
—
|
|
|
—
|
|
|
10,673,342
|
|
|||||
Federal agencies: Other agencies
|
—
|
|
|
73,542
|
|
|
—
|
|
|
—
|
|
|
73,542
|
|
|||||
Municipal securities
|
—
|
|
|
452,013
|
|
|
2,798,044
|
|
|
—
|
|
|
3,250,057
|
|
|||||
Asset-backed securities
|
—
|
|
|
717,478
|
|
|
76,003
|
|
|
—
|
|
|
793,481
|
|
|||||
Corporate debt
|
—
|
|
|
198,683
|
|
|
—
|
|
|
—
|
|
|
198,683
|
|
|||||
Other securities
|
16,588
|
|
|
3,943
|
|
|
—
|
|
|
—
|
|
|
20,531
|
|
|||||
|
22,085
|
|
|
12,119,001
|
|
|
2,874,047
|
|
|
—
|
|
|
15,015,133
|
|
|||||
MSRs
|
—
|
|
|
—
|
|
|
13,747
|
|
|
—
|
|
|
13,747
|
|
|||||
Derivative assets
|
—
|
|
|
414,412
|
|
|
5,747
|
|
|
(181,940
|
)
|
|
238,219
|
|
|||||
Liabilities
|
|
|
|
|
|
|
|
|
|
||||||||||
Derivative liabilities
|
—
|
|
|
362,777
|
|
|
7,870
|
|
|
(272,361
|
)
|
|
98,286
|
|
|||||
Short-term borrowings
|
474
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
474
|
|
(1)
|
Amounts represent the impact of legally enforceable master netting agreements that allow the Company to settle positive and negative positions and cash collateral held or placed with the same counterparties.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 3 Fair Value Measurements
Three months ended March 31, 2017 |
|||||||||||||||||||
|
|
|
|
|
Available-for-sale securities
|
|
|
|
||||||||||||
(dollar amounts in thousands)
|
MSRs
|
|
Derivative
instruments
|
|
Municipal
securities
|
|
Asset-
backed
securities
|
|
Loans held for investment
|
|
||||||||||
Opening balance
|
$
|
13,747
|
|
|
$
|
(2,123
|
)
|
|
$
|
2,798,044
|
|
|
$
|
76,003
|
|
|
$
|
47,880
|
|
|
Transfers into Level 3
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Transfers out of Level 3 (1)
|
—
|
|
|
(333
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Total gains/losses for the period:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Included in earnings
|
(440
|
)
|
|
5,150
|
|
|
(1,386
|
)
|
|
28
|
|
|
(63
|
)
|
|
|||||
Included in OCI
|
—
|
|
|
—
|
|
|
20,475
|
|
|
3,172
|
|
|
—
|
|
|
|||||
Purchases/originations
|
—
|
|
|
—
|
|
|
132,666
|
|
|
—
|
|
|
—
|
|
|
|||||
Sales
|
—
|
|
|
—
|
|
|
—
|
|
|
(19,133
|
)
|
|
—
|
|
|
|||||
Repayments
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,598
|
)
|
|
|||||
Issues
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Settlements
|
—
|
|
|
—
|
|
|
(82,147
|
)
|
|
(578
|
)
|
|
—
|
|
|
|||||
Closing balance
|
$
|
13,307
|
|
|
$
|
2,694
|
|
|
$
|
2,867,652
|
|
|
$
|
59,492
|
|
|
$
|
44,219
|
|
|
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date
|
$
|
(440
|
)
|
|
$
|
5,150
|
|
|
$
|
20,269
|
|
|
$
|
1,212
|
|
|
$
|
—
|
|
|
|
Level 3 Fair Value Measurements
Three months ended March 31, 2016 |
||||||||||||||||||
|
|
|
|
|
Available-for-sale securities
|
|
|
||||||||||||
(dollar amounts in thousands)
|
MSRs
|
|
Derivative
instruments
|
|
Municipal
securities
|
|
Asset-
backed
securities
|
|
Loans held for investment
|
||||||||||
Opening balance
|
$
|
17,585
|
|
|
$
|
6,056
|
|
|
$
|
2,095,551
|
|
|
$
|
100,337
|
|
|
$
|
1,748
|
|
Transfers into Level 3
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Transfers out of Level 3 (1)
|
—
|
|
|
(915
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total gains/losses for the period:
|
|
|
|
|
|
|
|
|
|
||||||||||
Included in earnings
|
(2,766
|
)
|
|
5,206
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Included in OCI
|
—
|
|
|
—
|
|
|
11,840
|
|
|
(5,168
|
)
|
|
—
|
|
|||||
Purchases/originations
|
—
|
|
|
—
|
|
|
237,450
|
|
|
—
|
|
|
—
|
|
|||||
Sales
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Repayments
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(532
|
)
|
|||||
Issues
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Settlements
|
—
|
|
|
—
|
|
|
(63,098
|
)
|
|
(840
|
)
|
|
—
|
|
|||||
Closing balance
|
$
|
14,819
|
|
|
$
|
10,347
|
|
|
$
|
2,281,743
|
|
|
$
|
94,329
|
|
|
$
|
1,216
|
|
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date
|
$
|
(2,766
|
)
|
|
$
|
5,306
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 3 Fair Value Measurements
Three months ended March 31, 2017 |
||||||||||||||||||
|
|
|
|
|
Available-for-sale securities
|
|
|
||||||||||||
(dollar amounts in thousands)
|
MSRs
|
|
Derivative
instruments
|
|
Municipal
securities
|
|
Asset-
backed
securities
|
|
Loans held for investment
|
||||||||||
Classification of gains and losses in earnings:
|
|
|
|
|
|
|
|
|
|
||||||||||
Mortgage banking income
|
$
|
(440
|
)
|
|
$
|
5,150
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Securities gains (losses)
|
—
|
|
|
—
|
|
|
(1,386
|
)
|
|
28
|
|
|
—
|
|
|||||
Interest and fee income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Noninterest income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(63
|
)
|
|||||
Total
|
$
|
(440
|
)
|
|
$
|
5,150
|
|
|
$
|
(1,386
|
)
|
|
$
|
28
|
|
|
$
|
(63
|
)
|
|
Level 3 Fair Value Measurements
Three months ended March 31, 2016 |
||||||||||||||||||
|
|
|
|
|
Available-for-sale securities
|
|
|
||||||||||||
(dollar amounts in thousands)
|
MSRs
|
|
Derivative
instruments
|
|
Municipal
securities
|
|
Asset-
backed
securities
|
|
Loans held for investment
|
||||||||||
Classification of gains and losses in earnings:
|
|
|
|
|
|
|
|
|
|
||||||||||
Mortgage banking income
|
$
|
(2,766
|
)
|
|
$
|
5,206
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Securities gains (losses)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Interest and fee income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Noninterest income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total
|
$
|
(2,766
|
)
|
|
$
|
5,206
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
March 31, 2017
|
||||||||||||||||||||||
|
Total Loans
|
|
Loans that are 90 or more days past due
|
||||||||||||||||||||
(dollar amounts in thousands)
|
Fair value
carrying
amount
|
|
Aggregate
unpaid
principal
|
|
Difference
|
|
Fair value
carrying
amount
|
|
Aggregate
unpaid
principal
|
|
Difference
|
||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Loans held for sale
|
$
|
423,324
|
|
|
$
|
408,424
|
|
|
$
|
14,900
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Loans held for investment
|
98,342
|
|
|
110,234
|
|
|
(11,892
|
)
|
|
8,572
|
|
|
11,507
|
|
|
(2,935
|
)
|
|
December 31, 2016
|
||||||||||||||||||||||
|
Total Loans
|
|
Loans that are 90 or more days past due
|
||||||||||||||||||||
(dollar amounts in thousands)
|
Fair value
carrying
amount
|
|
Aggregate
unpaid
principal
|
|
Difference
|
|
Fair value
carrying
amount
|
|
Aggregate
unpaid
principal
|
|
Difference
|
||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Loans held for sale
|
$
|
438,224
|
|
|
$
|
433,760
|
|
|
$
|
4,464
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Loans held for investment
|
82,319
|
|
|
91,998
|
|
|
(9,679
|
)
|
|
8,408
|
|
|
11,082
|
|
|
(2,674
|
)
|
|
|
|
Net gains (losses) from
fair value changes |
||||||
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Assets
|
|
|
|
|
|
||||
Loans held for sale
|
|
|
$
|
9,076
|
|
|
$
|
4,649
|
|
Loans held for investment
|
|
|
(63
|
)
|
|
—
|
|
|
|
|
Gains (losses) included
in fair value changes associated with instrument specific credit risk |
||||||
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Assets
|
|
|
|
|
|
||||
Loans held for investment
|
|
|
$
|
—
|
|
|
$
|
90
|
|
|
|
|
Fair Value Measurements Using
|
|
|
||||||||||||||
(dollar amounts in thousands)
|
Fair Value
|
|
Quoted Prices
In Active
Markets for
Identical Assets
(Level 1)
|
|
Significant
Other
Observable
Inputs
(Level 2)
|
|
Significant
Other
Unobservable
Inputs
(Level 3)
|
|
Total
Gains/(Losses) Three months ended March 31, 2017 |
||||||||||
MSRs
|
$
|
176,747
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
176,747
|
|
|
$
|
1,800
|
|
Impaired loans
|
52,367
|
|
|
—
|
|
|
—
|
|
|
52,367
|
|
|
5,267
|
|
|||||
Other real estate owned
|
49,887
|
|
|
—
|
|
|
—
|
|
|
49,887
|
|
|
2,363
|
|
|
Quantitative Information about Level 3 Fair Value Measurements at March 31, 2017
|
||||||||
(dollar amounts in thousands)
|
Fair Value
|
|
Valuation Technique
|
|
Significant Unobservable Input
|
|
Range (Weighted Average)
|
||
Measured at fair value on a recurring basis:
|
|||||||||
MSRs
|
$
|
13,307
|
|
|
Discounted cash flow
|
|
Constant prepayment rate
|
|
8.00% - 30.0% (12.0%)
|
|
|
|
|
|
Spread over forward interest rate
swap rates |
|
3.0% - 10.0% (8.4%)
|
||
Derivative assets
|
9,439
|
|
|
Consensus Pricing
|
|
Net market price
|
|
-4.7% - 26.7% (2.0%)
|
|
Derivative liabilities
|
6,745
|
|
|
|
|
Estimated Pull through %
|
|
9.0% - 99.0% (78.0%)
|
|
Municipal securities
|
2,867,652
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
0.0% - 10.3% (3.7%)
|
|
|
|
|
|
|
Cumulative default
|
|
0.0% - 38.4% (3.1%)
|
||
|
|
|
|
|
Loss given default
|
|
5.0% - 90.0% (24.0%)
|
||
Asset-backed securities
|
59,492
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
5.1% - 12.1% (6.4%)
|
|
|
|
|
|
|
Cumulative prepayment rate
|
|
0.0% - 73% (6.5%)
|
||
|
|
|
|
|
Cumulative default
|
|
0.9% - 100% (10.9%)
|
||
|
|
|
|
|
Loss given default
|
|
85% - 100% (96.1%)
|
||
|
|
|
|
|
Cure given deferral
|
|
0.0% - 75.0% (32.7%)
|
||
Loans held for investment
|
44,219
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
5.4% - 16.8% (5.6%)
|
|
Measured at fair value on a nonrecurring basis:
|
|||||||||
MSRs
|
176,747
|
|
|
Discounted cash flow
|
|
Constant prepayment rate
|
|
6.30% - 21.2% (8.1%)
|
|
|
|
|
|
|
Spread over forward interest rate
swap rates |
|
3.0% - 20.0% (10.6%)
|
||
Impaired loans
|
52,367
|
|
|
Appraisal value
|
|
NA
|
|
NA
|
|
Other real estate owned
|
49,887
|
|
|
Appraisal value
|
|
NA
|
|
NA
|
|
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2016
|
||||||||
(dollar amounts in thousands)
|
Fair Value
|
|
Valuation Technique
|
|
Significant Unobservable Input
|
|
Range (Weighted Average)
|
||
Measured at fair value on a recurring basis:
|
|||||||||
MSRs
|
$
|
13,747
|
|
|
Discounted cash flow
|
|
Constant prepayment rate
|
|
5.63% - 34.4% (10.9%)
|
|
|
|
|
|
Spread over forward interest rate
swap rates |
|
3.0% - 9.2% (5.4%)
|
||
Derivative assets
|
5,747
|
|
|
Consensus Pricing
|
|
Net market price
|
|
-7.1% - 25.4% (1.1%)
|
|
Derivative liabilities
|
7,870
|
|
|
|
|
Estimated Pull through %
|
|
8.1% - 99.8% (76.9%)
|
|
Municipal securities
|
2,798,044
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
0.0% - 10.0% (3.6%)
|
|
|
|
|
|
|
Cumulative default
|
|
0.3% - 37.8% (4.0%)
|
||
|
|
|
|
|
Loss given default
|
|
5.0% - 80.0% (24.1%)
|
||
Asset-backed securities
|
76,003
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
5.0% - 12.0% (6.3%)
|
|
|
|
|
|
|
Cumulative prepayment rate
|
|
0.0% - 73% (6.5%)
|
||
|
|
|
|
|
Cumulative default
|
|
1.1% - 100% (11.2%)
|
||
|
|
|
|
|
Loss given default
|
|
85% - 100% (96.3%)
|
||
|
|
|
|
|
Cure given deferral
|
|
0.0% - 75.0% (36.2%)
|
||
Loans held for investment
|
47,880
|
|
|
Discounted cash flow
|
|
Constant prepayment rate
|
|
5.4% - 16.2% (5.6%)
|
|
Measured at fair value on a nonrecurring basis:
|
|||||||||
MSRs
|
171,309
|
|
|
Discounted cash flow
|
|
Constant prepayment rate
|
|
5.57% - 30.4% (7.8%)
|
|
|
|
|
|
|
Spread over forward interest rate
swap rates |
|
4.2% - 20.0% (11.7%)
|
||
Impaired loans
|
53,818
|
|
|
Appraisal value
|
|
NA
|
|
NA
|
|
Other real estate owned
|
50,930
|
|
|
Appraisal value
|
|
NA
|
|
NA
|
|
March 31, 2017
|
|
December 31, 2016
|
||||||||||||
(dollar amounts in thousands)
|
Carrying
Amount
|
|
Fair Value
|
|
Carrying
Amount
|
|
Fair Value
|
||||||||
Financial Assets
|
|
|
|
|
|
|
|
||||||||
Cash and short-term assets
|
$
|
1,371,868
|
|
|
$
|
1,371,868
|
|
|
$
|
1,443,037
|
|
|
$
|
1,443,037
|
|
Trading account securities
|
97,785
|
|
|
97,785
|
|
|
133,295
|
|
|
133,295
|
|
||||
Loans held for sale
|
518,238
|
|
|
522,121
|
|
|
512,951
|
|
|
515,640
|
|
||||
Available-for-sale and other securities
|
16,173,605
|
|
|
16,173,605
|
|
|
15,562,837
|
|
|
15,562,837
|
|
||||
Held-to-maturity securities
|
7,533,517
|
|
|
7,502,102
|
|
|
7,806,939
|
|
|
7,787,268
|
|
||||
Net loans and direct financing leases
|
66,425,689
|
|
|
66,275,735
|
|
|
66,323,583
|
|
|
66,294,639
|
|
||||
Derivatives
|
178,420
|
|
|
178,420
|
|
|
238,219
|
|
|
238,219
|
|
||||
Financial Liabilities
|
|
|
|
|
|
|
|
||||||||
Deposits
|
77,422,510
|
|
|
78,238,093
|
|
|
75,607,717
|
|
|
76,161,091
|
|
||||
Short-term borrowings
|
1,263,430
|
|
|
1,263,430
|
|
|
3,692,654
|
|
|
3,692,654
|
|
||||
Long-term debt
|
9,279,140
|
|
|
9,419,853
|
|
|
8,309,159
|
|
|
8,387,444
|
|
||||
Derivatives
|
83,552
|
|
|
83,552
|
|
|
98,286
|
|
|
98,286
|
|
|
Estimated Fair Value Measurements at Reporting Date Using
|
|
March 31, 2017
|
||||||||||||
(dollar amounts in thousands)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
|||||||||
Financial Assets
|
|
|
|
|
|
|
|
||||||||
Held-to-maturity securities
|
$
|
—
|
|
|
$
|
7,502,102
|
|
|
$
|
—
|
|
|
$
|
7,502,102
|
|
Net loans and direct financing leases
|
—
|
|
|
—
|
|
|
66,275,735
|
|
|
66,275,735
|
|
||||
Financial Liabilities
|
|
|
|
|
|
|
|
||||||||
Deposits
|
—
|
|
|
74,456,322
|
|
|
3,781,771
|
|
|
78,238,093
|
|
||||
Short-term borrowings
|
1,420
|
|
|
—
|
|
|
1,262,010
|
|
|
1,263,430
|
|
||||
Long-term debt
|
—
|
|
|
9,013,768
|
|
|
406,085
|
|
|
9,419,853
|
|
|
Estimated Fair Value Measurements at Reporting Date Using
|
|
December 31, 2016
|
||||||||||||
(dollar amounts in thousands)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
|||||||||
Financial Assets
|
|
|
|
|
|
|
|
||||||||
Held-to-maturity securities
|
$
|
—
|
|
|
$
|
7,787,268
|
|
|
$
|
—
|
|
|
$
|
7,787,268
|
|
Net loans and direct financing leases
|
—
|
|
|
—
|
|
|
66,294,639
|
|
|
66,294,639
|
|
||||
Financial Liabilities
|
|
|
|
|
|
|
|
||||||||
Deposits
|
—
|
|
|
72,319,328
|
|
|
3,841,763
|
|
|
76,161,091
|
|
||||
Short-term borrowings
|
474
|
|
|
—
|
|
|
3,692,180
|
|
|
3,692,654
|
|
||||
Long-term debt
|
—
|
|
|
7,980,176
|
|
|
407,268
|
|
|
8,387,444
|
|
(dollar amounts in thousands)
|
Fair Value Hedges
|
|
Cash Flow Hedges
|
|
Total
|
||||||
Instruments associated with:
|
|
|
|
|
|
||||||
Loans
|
$
|
—
|
|
|
$
|
2,550,000
|
|
|
$
|
2,550,000
|
|
Deposits
|
—
|
|
|
—
|
|
|
—
|
|
|||
Subordinated notes
|
950,000
|
|
|
—
|
|
|
950,000
|
|
|||
Long-term debt
|
7,225,000
|
|
|
—
|
|
|
7,225,000
|
|
|||
Total notional value at March 31, 2017
|
$
|
8,175,000
|
|
|
$
|
2,550,000
|
|
|
$
|
10,725,000
|
|
|
|
|
|
|
|
|
Weighted-Average
Rate
|
||||||||
(dollar amounts in thousands)
|
Notional Value
|
|
Average Maturity (years)
|
|
Fair Value
|
|
Receive
|
|
Pay
|
||||||
Asset conversion swaps
|
|
|
|
|
|
|
|
|
|
||||||
Receive fixed—generic
|
$
|
2,550,000
|
|
|
0.5
|
|
$
|
(4,371
|
)
|
|
1.08
|
%
|
|
1.19
|
%
|
Liability conversion swaps
|
|
|
|
|
|
|
|
|
|
||||||
Receive fixed—generic
|
8,175,000
|
|
|
2.8
|
|
(64,090
|
)
|
|
1.51
|
|
|
1.02
|
|
||
Total swap portfolio at March 31, 2017
|
$
|
10,725,000
|
|
|
2.3
|
|
$
|
(68,461
|
)
|
|
1.41
|
%
|
|
1.06
|
%
|
(dollar amounts in thousands)
|
March 31, 2017
|
|
December 31, 2016
|
||||
Interest rate contracts designated as hedging instruments
|
$
|
42,421
|
|
|
$
|
46,440
|
|
Interest rate contracts not designated as hedging instruments
|
197,221
|
|
|
213,587
|
|
||
Foreign exchange contracts not designated as hedging instruments
|
18,431
|
|
|
23,265
|
|
||
Commodities contracts not designated as hedging instruments
|
73,996
|
|
|
108,026
|
|
||
Equity contracts not designated as hedging instruments
|
10,081
|
|
|
9,775
|
|
||
Total contracts
|
$
|
342,150
|
|
|
$
|
401,093
|
|
(dollar amounts in thousands)
|
March 31, 2017
|
|
December 31, 2016
|
||||
Interest rate contracts designated as hedging instruments
|
$
|
110,882
|
|
|
$
|
99,996
|
|
Interest rate contracts not designated as hedging instruments
|
127,260
|
|
|
143,976
|
|
||
Foreign exchange contracts not designated as hedging instruments
|
17,285
|
|
|
19,576
|
|
||
Commodities contracts not designated as hedging instruments
|
70,705
|
|
|
104,328
|
|
||
Equity contracts not designated as hedging instruments
|
—
|
|
|
—
|
|
||
Total contracts
|
$
|
326,132
|
|
|
$
|
367,876
|
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Interest rate contracts
|
|
|
|
|
|
||||
Change in fair value of interest rate swaps hedging deposits (1)
|
|
|
$
|
—
|
|
|
$
|
(82
|
)
|
Change in fair value of hedged deposits (1)
|
|
|
—
|
|
|
72
|
|
||
Change in fair value of interest rate swaps hedging subordinated notes (2)
|
|
|
(4,708
|
)
|
|
6,804
|
|
||
Change in fair value of hedged subordinated notes (2)
|
|
|
5,403
|
|
|
(6,804
|
)
|
||
Change in fair value of interest rate swaps hedging other long-term debt (2)
|
|
|
(10,282
|
)
|
|
61,032
|
|
||
Change in fair value of hedged other long-term debt (2)
|
|
|
8,535
|
|
|
(59,786
|
)
|
(1)
|
Effective portion of the hedging relationship is recognized in Interest expense—deposits in the Unaudited Condensed Consolidated Statements of Income. Any resulting ineffective portion of the hedging relationship is recognized in noninterest income in the Unaudited Condensed Consolidated Statements of Income.
|
(2)
|
Effective portion of the hedging relationship is recognized in Interest expense—subordinated notes and other long-term debt in the Unaudited Condensed Consolidated Statements of Income. Any resulting ineffective portion of the hedging relationship is recognized in noninterest income in the Unaudited Condensed Consolidated Statements of Income.
|
|
|
|
|
|
|
|
|
|
|
Derivatives in cash flow hedging relationships
|
Amount of gain or
(loss) recognized in
OCI on derivatives
(effective portion)
(after-tax)
|
|
Location of gain or (loss) reclassified from
accumulated OCI into earnings (effective portion)
|
|
Amount of (gain) or loss
reclassified from
accumulated OCI
into earnings
(effective portion)
|
||||||||||||
|
Three months ended March 31,
|
|
|
|
Three months ended March 31,
|
||||||||||||
(dollar amounts in thousands)
|
2017
|
|
2016
|
|
|
|
2017
|
|
2016
|
||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
|
|
||||||||
Loans
|
$
|
(1,190
|
)
|
|
$
|
9,249
|
|
|
Interest and fee income - loans and leases
|
|
$
|
560
|
|
|
$
|
(645
|
)
|
Investment Securities
|
—
|
|
|
—
|
|
|
Noninterest income - other income
|
|
—
|
|
|
1
|
|
||||
|
$
|
(1,190
|
)
|
|
$
|
9,249
|
|
|
|
|
$
|
560
|
|
|
$
|
(644
|
)
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Derivatives in cash flow hedging relationships
|
|
|
|
|
|
||||
Interest rate contracts
|
|
|
|
|
|
||||
Loans
|
|
|
$
|
(103
|
)
|
|
$
|
421
|
|
(dollar amounts in thousands)
|
March 31, 2017
|
|
December 31, 2016
|
||||
Derivative assets:
|
|
|
|
||||
Interest rate lock agreements
|
$
|
9,439
|
|
|
$
|
5,747
|
|
Forward trades and options
|
434
|
|
|
13,319
|
|
||
Total derivative assets
|
9,873
|
|
|
19,066
|
|
||
Derivative liabilities:
|
|
|
|
||||
Interest rate lock agreements
|
(565
|
)
|
|
(1,598
|
)
|
||
Forward trades and options
|
(3,047
|
)
|
|
(1,173
|
)
|
||
Total derivative liabilities
|
(3,612
|
)
|
|
(2,771
|
)
|
||
Net derivative asset (liability)
|
$
|
6,261
|
|
|
$
|
16,295
|
|
|
|
|
|
|
|
|
|
Gross amounts not offset in
the condensed consolidated
balance sheets
|
|
|
||||||||||||||
(dollar amounts in thousands)
|
|
Gross amounts
of recognized
assets
|
|
Gross amounts
offset in the
condensed
consolidated
balance sheets
|
|
Net amounts of
assets
presented in
the condensed
consolidated
balance sheets
|
|
Financial
instruments
|
|
Cash collateral
received
|
|
Net amount
|
||||||||||||
Offsetting of Financial Assets and Derivative Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
March 31, 2017
|
Derivatives
|
$
|
352,023
|
|
|
$
|
(173,603
|
)
|
|
$
|
178,420
|
|
|
$
|
(20,393
|
)
|
|
$
|
(11,120
|
)
|
|
$
|
146,907
|
|
December 31, 2016
|
Derivatives
|
420,159
|
|
|
(181,940
|
)
|
|
238,219
|
|
|
(34,328
|
)
|
|
(5,428
|
)
|
|
198,463
|
|
|
|
|
|
|
|
|
|
Gross amounts not offset in
the condensed consolidated
balance sheets
|
|
|
||||||||||||||
(dollar amounts in thousands)
|
|
Gross amounts
of recognized
liabilities
|
|
Gross amounts
offset in the
condensed
consolidated
balance sheets
|
|
Net amounts of
liabilities
presented in
the condensed
consolidated
balance sheets
|
|
Financial
instruments
|
|
Cash collateral
delivered
|
|
Net amount
|
||||||||||||
Offsetting of Financial Liabilities and Derivative Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
March 31, 2017
|
Derivatives
|
$
|
329,744
|
|
|
$
|
(246,192
|
)
|
|
$
|
83,552
|
|
|
$
|
—
|
|
|
$
|
(21,427
|
)
|
|
$
|
62,125
|
|
December 31, 2016
|
Derivatives
|
370,647
|
|
|
(272,361
|
)
|
|
98,286
|
|
|
(7,550
|
)
|
|
(23,943
|
)
|
|
66,793
|
|
|
|
March 31, 2017
|
||||||||||
|
|
Huntington Technology
Funding Trust |
|
Other Consolidated VIEs
|
|
Total
|
||||||
(dollar amounts in thousands)
|
|
Series 2014A
|
|
|
||||||||
Assets:
|
|
|
|
|
|
|
||||||
Cash
|
|
$
|
1,565
|
|
|
$
|
—
|
|
|
$
|
1,565
|
|
Net loans and leases
|
|
55,358
|
|
|
—
|
|
|
55,358
|
|
|||
Accrued income and other assets
|
|
—
|
|
|
275
|
|
|
275
|
|
|||
Total assets
|
|
$
|
56,923
|
|
|
$
|
275
|
|
|
$
|
57,198
|
|
Liabilities:
|
|
|
|
|
|
|
||||||
Other long-term debt
|
|
$
|
45,906
|
|
|
$
|
—
|
|
|
$
|
45,906
|
|
Accrued interest and other liabilities
|
|
—
|
|
|
275
|
|
|
275
|
|
|||
Total liabilities
|
|
45,906
|
|
|
275
|
|
|
46,181
|
|
|||
Equity:
|
|
|
|
|
|
|
||||||
Beneficial Interest owned by third party
|
|
11,017
|
|
|
—
|
|
|
11,017
|
|
|||
Total liabilities and equity
|
|
$
|
56,923
|
|
|
$
|
275
|
|
|
$
|
57,198
|
|
|
|
December 31, 2016
|
||||||||||
|
|
Huntington Technology
Funding Trust |
|
Other Consolidated VIEs
|
|
Total
|
||||||
(dollar amounts in thousands)
|
|
Series 2014A
|
|
|
||||||||
Assets:
|
|
|
|
|
|
|
||||||
Cash
|
|
$
|
1,564
|
|
|
$
|
—
|
|
|
$
|
1,564
|
|
Net loans and leases
|
|
69,825
|
|
|
—
|
|
|
69,825
|
|
|||
Accrued income and other assets
|
|
—
|
|
|
281
|
|
|
281
|
|
|||
Total assets
|
|
$
|
71,389
|
|
|
$
|
281
|
|
|
$
|
71,670
|
|
Liabilities:
|
|
|
|
|
|
|
||||||
Other long-term debt
|
|
$
|
57,494
|
|
|
$
|
—
|
|
|
$
|
57,494
|
|
Accrued interest and other liabilities
|
|
—
|
|
|
281
|
|
|
281
|
|
|||
Total liabilities
|
|
57,494
|
|
|
281
|
|
|
57,775
|
|
|||
Equity:
|
|
|
|
|
|
|
||||||
Beneficial Interest owned by third party
|
|
13,895
|
|
|
—
|
|
|
13,895
|
|
|||
Total liabilities and equity
|
|
$
|
71,389
|
|
|
$
|
281
|
|
|
$
|
71,670
|
|
|
March 31, 2017
|
||||||||||
(dollar amounts in thousands)
|
Total Assets
|
|
Total Liabilities
|
|
Maximum Exposure to Loss
|
||||||
2016-1 Automobile Trust
|
$
|
12,435
|
|
|
$
|
—
|
|
|
$
|
12,435
|
|
2015-1 Automobile Trust
|
2,698
|
|
|
—
|
|
|
2,698
|
|
|||
Trust Preferred Securities
|
13,919
|
|
|
252,560
|
|
|
—
|
|
|||
Low Income Housing Tax Credit Partnerships
|
559,819
|
|
|
279,270
|
|
|
559,819
|
|
|||
Other Investments
|
95,033
|
|
|
41,232
|
|
|
95,033
|
|
|||
Total
|
$
|
683,904
|
|
|
$
|
573,062
|
|
|
$
|
669,985
|
|
|
December 31, 2016
|
||||||||||
(dollar amounts in thousands)
|
Total Assets
|
|
Total Liabilities
|
|
Maximum Exposure to Loss
|
||||||
2016-1 Automobile Trust
|
$
|
14,770
|
|
|
$
|
—
|
|
|
$
|
14,770
|
|
2015-1 Automobile Trust
|
2,227
|
|
|
—
|
|
|
2,227
|
|
|||
Trust Preferred Securities
|
13,919
|
|
|
252,552
|
|
|
—
|
|
|||
Low Income Housing Tax Credit Partnerships
|
576,880
|
|
|
292,721
|
|
|
576,880
|
|
|||
Other Investments
|
79,195
|
|
|
42,316
|
|
|
79,195
|
|
|||
Total
|
$
|
686,991
|
|
|
$
|
587,589
|
|
|
$
|
673,072
|
|
(dollar amounts in millions)
|
|
Year
|
|
Amount Transferred
|
||
2016-1 Automobile Trust
|
|
2016
|
|
$
|
1,500
|
|
2015-1 Automobile Trust
|
|
2015
|
|
750
|
|
(dollar amounts in thousands)
|
Rate
|
|
Principal amount of
subordinated note/
debenture issued to trust (1)
|
|
Investment in
unconsolidated
subsidiary
|
|||||
Huntington Capital I
|
1.74
|
%
|
(2)
|
$
|
69,730
|
|
|
$
|
6,186
|
|
Huntington Capital II
|
1.76
|
|
(3)
|
32,093
|
|
|
3,093
|
|
||
Sky Financial Capital Trust III
|
2.55
|
|
(4)
|
72,165
|
|
|
2,165
|
|
||
Sky Financial Capital Trust IV
|
2.40
|
|
(4)
|
74,320
|
|
|
2,320
|
|
||
Camco Financial Trust
|
3.59
|
|
(5)
|
4,252
|
|
|
155
|
|
||
Total
|
|
|
$
|
252,560
|
|
|
$
|
13,919
|
|
(1)
|
Represents the principal amount of debentures issued to each trust, including unamortized original issue discount.
|
(2)
|
Variable effective rate at
March 31, 2017
, based on three-month LIBOR +
0.70%
.
|
(3)
|
Variable effective rate at
March 31, 2017
, based on three-month LIBOR +
0.625%
.
|
(4)
|
Variable effective rate at
March 31, 2017
, based on three-month LIBOR +
1.40%
.
|
(5)
|
Variable effective rate at
March 31, 2017
, based on
three-month LIBOR
+
1.33%
.
|
(dollar amounts in thousands)
|
March 31,
2017 |
|
December 31,
2016 |
||||
Affordable housing tax credit investments
|
$
|
870,421
|
|
|
$
|
877,237
|
|
Less: amortization
|
(310,602
|
)
|
|
(300,357
|
)
|
||
Net affordable housing tax credit investments
|
$
|
559,819
|
|
|
$
|
576,880
|
|
Unfunded commitments
|
$
|
279,270
|
|
|
$
|
292,721
|
|
|
|
|
Three months ended
March 31, |
||||||
(dollar amounts in thousands)
|
|
|
2017
|
|
2016
|
||||
Tax credits and other tax benefits recognized
|
|
|
$
|
23,283
|
|
|
$
|
18,285
|
|
Proportional amortization method
|
|
|
|
|
|
||||
Tax credit amortization expense included in provision for income taxes
|
|
|
16,961
|
|
|
12,407
|
|
||
Equity method
|
|
|
|
|
|
||||
Tax credit investment (gains) losses included in non-interest income
|
|
|
109
|
|
|
132
|
|
(dollar amounts in thousands)
|
March 31,
2017 |
|
December 31,
2016 |
||||
Contract amount represents credit risk:
|
|
|
|
||||
Commitments to extend credit
|
|
|
|
||||
Commercial
|
$
|
15,030,796
|
|
|
$
|
15,190,056
|
|
Consumer
|
12,523,637
|
|
|
12,235,943
|
|
||
Commercial real estate
|
1,531,769
|
|
|
1,697,671
|
|
||
Standby letters-of-credit
|
560,718
|
|
|
637,182
|
|
||
Commercial letters-of-credit
|
5,160
|
|
|
4,610
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
Three Months Ended March 31,
|
||||||||||||||||||||||||||
Income Statements
|
Consumer & Business Banking
|
|
Commercial Banking
|
|
CREVF
|
|
RBHPCG
|
|
Home Lending
|
|
Treasury / Other
|
|
Huntington Consolidated
|
||||||||||||||
(dollar amounts in thousands)
|
|
|
|
|
|
|
|||||||||||||||||||||
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Net interest income
|
$
|
393,496
|
|
|
$
|
174,563
|
|
|
$
|
139,333
|
|
|
$
|
46,649
|
|
|
$
|
15,215
|
|
|
$
|
(39,281
|
)
|
|
$
|
729,975
|
|
Provision for credit losses
|
31,294
|
|
|
22,137
|
|
|
9,549
|
|
|
2,771
|
|
|
1,887
|
|
|
—
|
|
|
67,638
|
|
|||||||
Noninterest income
|
146,790
|
|
|
69,487
|
|
|
11,209
|
|
|
36,170
|
|
|
23,981
|
|
|
24,826
|
|
|
312,463
|
|
|||||||
Noninterest expense
|
374,083
|
|
|
114,970
|
|
|
50,359
|
|
|
52,162
|
|
|
34,655
|
|
|
81,193
|
|
|
707,422
|
|
|||||||
Income taxes
|
47,218
|
|
|
37,430
|
|
|
31,722
|
|
|
9,760
|
|
|
929
|
|
|
(67,775
|
)
|
|
59,284
|
|
|||||||
Net income
|
$
|
87,691
|
|
|
$
|
69,513
|
|
|
$
|
58,912
|
|
|
$
|
18,126
|
|
|
$
|
1,725
|
|
|
$
|
(27,873
|
)
|
|
$
|
208,094
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Net interest income
|
$
|
264,529
|
|
|
$
|
105,350
|
|
|
$
|
95,597
|
|
|
$
|
34,923
|
|
|
$
|
12,985
|
|
|
$
|
(10,318
|
)
|
|
$
|
503,066
|
|
Provision (reduction in allowance) for credit losses
|
12,177
|
|
|
35,054
|
|
|
(16,649
|
)
|
|
(725
|
)
|
|
(2,274
|
)
|
|
(1
|
)
|
|
27,582
|
|
|||||||
Noninterest income
|
120,257
|
|
|
58,916
|
|
|
7,311
|
|
|
24,717
|
|
|
11,503
|
|
|
19,163
|
|
|
241,867
|
|
|||||||
Noninterest expense
|
280,121
|
|
|
92,995
|
|
|
40,206
|
|
|
40,503
|
|
|
24,593
|
|
|
12,662
|
|
|
491,080
|
|
|||||||
Income taxes
|
32,371
|
|
|
12,676
|
|
|
27,773
|
|
|
6,952
|
|
|
759
|
|
|
(25,574
|
)
|
|
54,957
|
|
|||||||
Net income
|
$
|
60,117
|
|
|
$
|
23,541
|
|
|
$
|
51,578
|
|
|
$
|
12,910
|
|
|
$
|
1,410
|
|
|
$
|
21,758
|
|
|
$
|
171,314
|
|
|
Assets at
|
|
Deposits at
|
||||||||||||
(dollar amounts in thousands)
|
March 31,
2017 |
|
December 31,
2016 |
|
March 31,
2017 |
|
December 31,
2016 |
||||||||
Consumer & Business Banking
|
$
|
21,747,257
|
|
|
$
|
21,831,681
|
|
|
$
|
45,802,879
|
|
|
$
|
44,724,252
|
|
Commercial Banking
|
24,233,720
|
|
|
24,236,490
|
|
|
19,041,629
|
|
|
18,053,208
|
|
||||
CREVF
|
23,953,670
|
|
|
23,576,832
|
|
|
1,890,433
|
|
|
1,893,072
|
|
||||
RBHPCG
|
5,280,791
|
|
|
5,213,530
|
|
|
5,981,930
|
|
|
6,214,250
|
|
||||
Home Lending
|
3,524,718
|
|
|
3,502,069
|
|
|
349,765
|
|
|
631,494
|
|
||||
Treasury / Other
|
21,305,350
|
|
|
21,353,495
|
|
|
4,355,874
|
|
|
4,091,441
|
|
||||
Total
|
$
|
100,045,506
|
|
|
$
|
99,714,097
|
|
|
$
|
77,422,510
|
|
|
$
|
75,607,717
|
|
Exhibit
Number
|
|
Document Description
|
|
Report or Registration Statement
|
|
SEC File or
Registration
Number
|
|
Exhibit
Reference
|
|
|
3.1
|
|
Articles of Restatement of Charter.
|
|
Annual Report on Form 10-K for the year ended December 31, 1993
|
|
000-02525
|
|
3
|
|
(i)
|
|
|
|
|
|
|
|
|
|
|
|
3.2
|
|
Articles of Amendment to Articles of Restatement of Charter.
|
|
Current Report on Form 8-K dated May 31, 2007
|
|
000-02525
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.3
|
|
Articles of Amendment to Articles of Restatement of Charter.
|
|
Current Report on Form 8-K dated May 7, 2008
|
|
000-02525
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.4
|
|
Articles of Amendment to Articles of Restatement of Charter.
|
|
Current Report on Form 8-K dated April 27, 2010
|
|
001-34073
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.5
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of April 22, 2008.
|
|
Current Report on Form 8-K dated April 22, 2008
|
|
000-02525
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.6
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of April 22. 2008.
|
|
Current Report on Form 8-K dated April 22, 2008
|
|
000-02525
|
|
3.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.7
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of November 12, 2008.
|
|
Current Report on Form 8-K dated November 12, 2008
|
|
001-34073
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.8
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of December 31, 2006.
|
|
Annual Report on Form 10-K for the year ended December 31, 2006
|
|
000-02525
|
|
3.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.9
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of December 28, 2011.
|
|
Current Report on Form 8-K dated December 28, 2011.
|
|
001-34073
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.10
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of March 18, 2016.
|
|
Current Report on Form 8-K dated March 21, 2016.
|
|
001-34073
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.11
|
|
Articles Supplementary of Huntington Bancshares Incorporated, as of May 3, 2016.
|
|
Current Report on Form 8-K dated May 5, 2016.
|
|
001-34073
|
|
3.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.12
|
|
Articles Supplementary of Huntington Bancshares Incorporated, effective as of August 15, 2016.
|
|
Registration Statement on Form 8-A dated August 15, 2016
|
|
001-34073
|
|
3.12
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.13
|
|
Bylaws of Huntington Bancshares Incorporated, as amended and restated, as of July 16, 2014.
|
|
Current Report on Form 8-K dated July 17, 2014
|
|
001-34073
|
|
3.1
|
|
|
|
|
|
|
|
|
|
|
|
|
4.1
|
|
Instruments defining the Rights of Security Holders—reference is made to Articles Fifth, Eighth, and Tenth of Articles of Restatement of Charter, as amended and supplemented. Instruments defining the rights of holders of long-term debt will be furnished to the Securities and Exchange Commission upon request.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10.1
|
|
* Director Deferred Compensation Plan
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10.2
|
|
* First Amendment to the 2015 Long-Term Incentive Plan
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
31.1
|
|
**Rule 13a-14(a) Certification – Chief Executive Officer.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
31.2
|
|
**Rule 13a-14(a) Certification – Chief Financial Officer.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
32.1
|
|
***Section 1350 Certification – Chief Executive Officer.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
32.2
|
|
***Section 1350 Certification – Chief Financial Officer.
|
|
|
|
|
|
|
|
|
101
|
|
**The following material from Huntington’s Form 10-Q Report for the quarterly period ended March 31, 2017, formatted in XBRL: (1) Unaudited Condensed Consolidated Balance Sheets, (2) Unaudited Condensed Consolidated Statements of Income, (3) Unaudited Condensed Consolidated Statements of Comprehensive Income (4) Unaudited Condensed Consolidated Statement of Changes in Shareholders’ Equity, (5) Unaudited Condensed Consolidated Statements of Cash Flows, and (6) the Notes to Unaudited Condensed Consolidated Financial Statements.
|
|
|
|
|
|
|
|
*
|
Denotes management contract or compensatory plan or arrangement
|
**
|
Filed herewith
|
***
|
Furnished herewith
|
|
|
|
|
Date:
|
April 28, 2017
|
|
/s/ Stephen D. Steinour
|
|
|
|
Stephen D. Steinour
|
|
|
|
Chairman, Chief Executive Officer and President
|
|
|
|
|
Date:
|
April 28, 2017
|
|
/s/ Howell D. McCullough III
|
|
|
|
Howell D. McCullough III
|
|
|
|
Chief Financial Officer
|
(a)
|
The Corporation’s identification of the individuals who fall within the definition of “key employee” under Code Section 416(i) (without regard to paragraph (5) thereof) shall be based upon the 12-month period ending on each December 31
st
(referred to below as the “identification date”). In applying the applicable provisions of Code Section 416(i) to identify such individuals, “compensation” shall be determined in accordance with Treas. Reg. §1.415(c)-2(a) without regard to (i) any safe harbor provided in Treas. Reg. §1.415(c)-2(d), (ii) any of the special timing rules provided in Treas. Reg. §1.415(c)-2(e), and (iii) any of the special rules provided in Treas. Reg. §1.415(c)-2(g); and
|
(b)
|
Each Participant who is among the individuals identified as a “key employee” in accordance with part (a) of this Section shall be treated as a Specified Employee for purposes of this Plan if such Participant experiences a Separation from Service during the 12-month period that begins on the April 1
st
following the applicable identification date and ends March 31
st
of the following year.
|
(a)
|
General Payment Timing
. If a Participant is scheduled to receive payment or payments as a result of Separation from Service, payment shall commence on the last Business Day of the month after the month in which the participant incurred a Separation from Service, or such other objectively determinable time that is specified in an Election Form that governs the payment of a Participant’s Account or subaccount. If the Participant has elected to receive installment payments, each installment shall be made on each anniversary of the initial payment date, or if such date is not a Business Day, the first Business Day immediately after the applicable anniversary date. In no event may payment be made at an earlier or later date except as permitted under Code Section 409A. The value of the Participant’s Account to be distributed shall be determined in accordance with Section 4.3 of this Plan and measured on the Business Day described in Section 5.2 of this Plan for lump sum and installment payments, as applicable.
|
(b)
|
Specified Employee
. Notwithstanding subsection (a), if the Participant is classified as a “Specified Employee” within the meaning of Code Section 409A and regulations promulgated thereunder at the time of the Participant’s Separation from Service (or at such other time for determining Specified Employee status as may apply under Code Section 409A), then such Participant’s Account shall not be paid, as a result of the Participant’s Separation from Service, earlier than the date that is at least six (6) months after the Participant’s Separation from Service. The value of the Participant’s Account to be distributed shall be determined in accordance with Section 4.3 of this Plan and measured on the Business Day described in Section 5.2 of this Plan for lump sum and installment payments, as applicable.
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a.
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If a Participant’s initial election specified payment based on a Specified Payment Date, the Participant’s modified election must be made at least 12 months before the Participant’s original Specified Payment Date and such election will not be effective until 12 months after it is made. In addition, the Participant’s modified election must specify one of the following two new Specified Payment Dates: (i) a new Specified Payment Date that is at least 5 years after the original Specified Payment Date, or (ii) a new Specified Payment Date that is at least 5 years after the original Specified Payment Date or, if later, Separation from Service.
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b.
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If a Participant’s initial election specified payment based on the Participant’s Separation from Service, the Participant’s modified election must be made at least 12 months before the Participant’s Separation from Service and such election will not be effective until 12 months after it is made. In addition, the Participant must elect a payment date that is at least 5 years after the Participant’s Separation from Service.
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(i)
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the specific reason(s) for the denial of the claim, or any part of it;
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(ii)
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specific reference(s) to pertinent provisions of the Plan upon which such denial was based;
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(iii)
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a description of any additional material or information necessary for the Claimant to perfect the claim, and an explanation of why such material or information is necessary; and
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(iv)
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an explanation of the claim review procedure set forth in Section 9.3 below.
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A.
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Huntington Bancshares Incorporated (the “Corporation”) currently maintains the Huntington Bancshares Incorporated 2015 Long-Term Incentive Plan (the “Plan”).
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B.
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The Corporation desires to amend the Plan to eliminate the mandatory minimum 6-month vesting period requirement for awards of stock options, stock appreciation rights, restricted stock, and restricted stock units granted under the Plan.
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C.
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Article 18 of the Plan gives the Corporation the authority to amend the Plan from time to time.
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1.
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Section 2.32 of the Plan is deleted in its entirety and replaced with the following:
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3.
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Section 7.3 of the Plan is deleted in its entirety and replaced with the following:
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4.
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Section 8.3 of the Plan is deleted in its entirety and replaced with the following:
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5.
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Section 9.2 of the Plan is deleted in its entirety and replaced with the following:
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6.
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The remainder of the Plan shall remain unchanged.
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1.
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I have reviewed this Quarterly Report on Form 10-Q of Huntington Bancshares Incorporated;
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2.
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Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
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Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
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The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)), for the registrant and have:
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a)
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designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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b)
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designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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c)
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evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
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d)
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disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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5.
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The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
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a)
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all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
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b)
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any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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Date:
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April 28, 2017
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|
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/s/
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Stephen D. Steinour
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|
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Stephen D. Steinour
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Chief Executive Officer
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1.
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I have reviewed this Quarterly Report on Form 10-Q of Huntington Bancshares Incorporated;
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2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
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Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)), for the registrant and have:
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5.
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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a)
|
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
b)
|
evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
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c)
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disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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6.
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The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
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b)
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any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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Date:
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April 28, 2017
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|
|
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/s/
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Howell D. McCullough III
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|
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Howell D. McCullough III
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Chief Financial Officer
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(1)
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The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
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(2)
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The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
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/s/
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Stephen D. Steinour
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Stephen D. Steinour
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Chief Executive Officer
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|
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April 28, 2017
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(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
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(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
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/s/
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Howell D. McCullough III
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|
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Howell D. McCullough III
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Chief Financial Officer
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April 28, 2017
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