Consolidated Balance Sheets |
1 | |||
Loans and Leases Composition |
2 | |||
Deposits Composition |
3 | |||
Consolidated Quarterly Average Balance Sheets |
4 | |||
Consolidated Quarterly Net Interest Margin Analysis |
5 | |||
Selected Quarterly Income Statement Data |
6 | |||
Quarterly Mortgage Banking Income |
7 | |||
Quarterly Credit Reserves Analysis |
8 | |||
Quarterly Net Charge-Off Analysis |
9 | |||
Quarterly Nonaccrual Loans and Leases (NALs) and Nonperforming Assets (NPAs) |
10 | |||
Quarterly Accruing Past Due Loans and Leases and Accruing Restructured Loans |
11 | |||
Quarterly Common Stock Summary, Capital, and Other Data |
12 |
Change | ||||||||||||||||||||
2010 | 2009 | March 10 vs 09 | ||||||||||||||||||
(in thousands, except number of shares) | March 31, | December 31, | March 31, | Amount | Percent | |||||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||||||
Assets |
||||||||||||||||||||
Cash and due from banks |
$ | 1,310,640 | $ | 1,521,344 | $ | 2,272,831 | $ | (962,191 | ) | (42 | )% | |||||||||
Interest bearing deposits in banks |
364,082 | 319,375 | 382,755 | (18,673 | ) | (5 | ) | |||||||||||||
Trading account securities |
150,463 | 83,657 | 83,554 | 66,909 | 80 | |||||||||||||||
Loans held for sale |
327,408 | 461,647 | 481,447 | (154,039 | ) | (32 | ) | |||||||||||||
Investment securities |
8,946,364 | 8,587,914 | 4,908,332 | 4,038,032 | 82 | |||||||||||||||
Loans and leases (1) |
36,931,681 | 36,790,663 | 39,548,364 | (2,616,683 | ) | (7 | ) | |||||||||||||
Allowance for loan and lease losses |
(1,477,969 | ) | (1,482,479 | ) | (838,549 | ) | (639,420 | ) | 76 | |||||||||||
Net loans and leases |
35,453,712 | 35,308,184 | 38,709,815 | (3,256,103 | ) | (8 | ) | |||||||||||||
Bank owned life insurance |
1,422,874 | 1,412,333 | 1,376,996 | 45,878 | 3 | |||||||||||||||
Premises and equipment |
491,573 | 496,021 | 517,130 | (25,557 | ) | (5 | ) | |||||||||||||
Goodwill |
444,268 | 444,268 | 452,110 | (7,842 | ) | (2 | ) | |||||||||||||
Other intangible assets |
273,952 | 289,098 | 339,572 | (65,620 | ) | (19 | ) | |||||||||||||
Accrued income and other assets |
2,681,462 | 2,630,824 | 2,177,583 | 503,879 | 23 | |||||||||||||||
Total Assets |
$ | 51,866,798 | $ | 51,554,665 | $ | 51,702,125 | $ | 164,673 | | % | ||||||||||
Liabilities and Shareholders Equity |
||||||||||||||||||||
Liabilities |
||||||||||||||||||||
Deposits (2) |
$ | 40,303,467 | $ | 40,493,927 | $ | 39,070,273 | $ | 1,233,194 | 3 | % | ||||||||||
Short-term borrowings |
980,839 | 876,241 | 959,414 | 21,425 | 2 | |||||||||||||||
Federal Home Loan Bank advances |
157,895 | 168,977 | 957,953 | (800,058 | ) | (84 | ) | |||||||||||||
Other long-term debt |
2,727,745 | 2,369,491 | 2,830,279 | (102,534 | ) | (4 | ) | |||||||||||||
Subordinated notes |
1,266,907 | 1,264,202 | 1,905,383 | (638,476 | ) | (34 | ) | |||||||||||||
Accrued expenses and other liabilities |
1,060,259 | 1,045,825 | 1,164,087 | (103,828 | ) | (9 | ) | |||||||||||||
Total Liabilities |
46,497,112 | 46,218,663 | 46,887,389 | (390,277 | ) | (1 | ) | |||||||||||||
Equity |
||||||||||||||||||||
Huntington Bancshares Incorporated shareholders equity |
||||||||||||||||||||
Preferred
stock authorized 6,617,808 shares |
||||||||||||||||||||
5.00% Series B Non-voting, Cumulative Preferred Stock, par value
of $0.01 and liquidation value per share of $1,000 |
1,329,186 | 1,325,008 | 1,312,875 | 16,311 | 1 | |||||||||||||||
8.50% Series A Non-cumulative Perpetual Convertible Preferred
Stock, par value and liquidiation value per share of $1,000 |
362,507 | 362,507 | 454,891 | (92,384 | ) | (20 | ) | |||||||||||||
Common stock
|
||||||||||||||||||||
Par value of $0.01 and authorized 1,000,000,000 shares |
7,174 | 7,167 | 3,916 | 3,258 | 83 | |||||||||||||||
Capital surplus |
6,735,472 | 6,731,796 | 5,465,457 | 1,270,015 | 23 | |||||||||||||||
Less treasury shares at cost |
(9,019 | ) | (11,465 | ) | (14,222 | ) | 5,203 | (37 | ) | |||||||||||
Accumulated other comprehensive income (loss): |
||||||||||||||||||||
Unrealized losses on investment securities |
(84,334 | ) | (103,382 | ) | (161,072 | ) | 76,738 | (48 | ) | |||||||||||
Unrealized gains (losses) on cash flow hedging derivatives |
62,163 | 58,865 | 43,580 | 18,583 | 43 | |||||||||||||||
Pension and other postretirement benefit adjustments |
(111,302 | ) | (112,468 | ) | (162,097 | ) | 50,795 | (31 | ) | |||||||||||
Retained (deficit) earnings |
(2,922,161 | ) | (2,922,026 | ) | (2,128,592 | ) | (793,569 | ) | 37 | |||||||||||
Total Shareholders Equity |
5,369,686 | 5,336,002 | 4,814,736 | 554,950 | 12 | |||||||||||||||
Total Liabilities and Shareholders Equity |
$ | 51,866,798 | $ | 51,554,665 | $ | 51,702,125 | $ | 164,673 | | % | ||||||||||
Common shares issued |
717,382,476 | 716,741,249 | 391,595,609 | |||||||||||||||||
Common shares outstanding |
716,556,641 | 715,761,672 | 390,681,633 | |||||||||||||||||
Treasury shares outstanding |
825,835 | 979,577 | 913,976 | |||||||||||||||||
Preferred shares issued |
1,967,071 | 1,967,071 | 1,967,071 | |||||||||||||||||
Preferred shares outstanding |
1,760,578 | 1,760,578 | 1,852,962 | |||||||||||||||||
(1) | See page 2 for detail of loans and leases. | |
(2) | See page 3 for detail of deposits. |
1
2010 | 2009 | |||||||||||||||||||||||||||||||||||||||
(in millions) | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||||||||||||||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||||||||||||||||||||||
Ending Balances by Type |
||||||||||||||||||||||||||||||||||||||||
Commercial: (1) |
||||||||||||||||||||||||||||||||||||||||
Commercial and industrial (2) |
$ | 12,245 | 33 | % | $ | 12,888 | 35 | % | $ | 12,547 | 34 | % | $ | 13,320 | 35 | % | $ | 13,768 | 35 | % | ||||||||||||||||||||
Commercial real estate: |
||||||||||||||||||||||||||||||||||||||||
Construction |
1,443 | 4 | 1,469 | 4 | 1,815 | 5 | 1,857 | 5 | 2,074 | 5 | ||||||||||||||||||||||||||||||
Commercial (2) |
6,013 | 16 | 6,220 | 17 | 6,900 | 18 | 7,089 | 18 | 7,187 | 18 | ||||||||||||||||||||||||||||||
Commercial
real estate (2) |
7,456 | 20 | 7,689 | 21 | 8,715 | 23 | 8,946 | 23 | 9,261 | 23 | ||||||||||||||||||||||||||||||
Total commercial |
19,701 | 53 | 20,577 | 56 | 21,262 | 57 | 22,266 | 58 | 23,029 | 58 | ||||||||||||||||||||||||||||||
Consumer: |
||||||||||||||||||||||||||||||||||||||||
Automobile loans |
4,212 | 11 | 3,144 | 9 | 2,939 | 8 | 2,855 | 7 | 2,894 | 7 | ||||||||||||||||||||||||||||||
Automobile leases |
191 | 1 | 246 | 1 | 309 | 1 | 383 | 1 | 468 | 1 | ||||||||||||||||||||||||||||||
Home equity |
7,514 | 20 | 7,563 | 21 | 7,576 | 20 | 7,631 | 20 | 7,663 | 19 | ||||||||||||||||||||||||||||||
Residential mortgage |
4,614 | 12 | 4,510 | 12 | 4,468 | 12 | 4,646 | 12 | 4,837 | 12 | ||||||||||||||||||||||||||||||
Other loans |
700 | 3 | 751 | 1 | 750 | 2 | 714 | 2 | 657 | 3 | ||||||||||||||||||||||||||||||
Total consumer |
17,231 | 47 | 16,214 | 44 | 16,042 | 43 | 16,229 | 42 | 16,519 | 42 | ||||||||||||||||||||||||||||||
Total loans and leases |
$ | 36,932 | 100 | % | $ | 36,791 | 100 | % | $ | 37,304 | 100 | % | $ | 38,495 | 100 | % | $ | 39,548 | 100 | % | ||||||||||||||||||||
Ending Balances by Business Segment |
||||||||||||||||||||||||||||||||||||||||
Retail and Business Banking |
$ | 14,347 | 39 | % | $ | 14,394 | 39 | % | $ | 14,435 | 39 | % | $ | 14,871 | 39 | % | $ | 15,116 | 38 | % | ||||||||||||||||||||
Commercial Banking |
7,310 | 20 | 7,439 | 20 | 7,677 | 21 | 7,830 | 20 | 8,163 | 21 | ||||||||||||||||||||||||||||||
Commercial Real Estate |
7,152 | 19 | 7,525 | 20 | 7,947 | 21 | 8,232 | 21 | 8,506 | 22 | ||||||||||||||||||||||||||||||
Auto Finance and Dealer Services |
5,582 | 15 | 4,609 | 13 | 4,330 | 12 | 4,559 | 12 | 4,835 | 12 | ||||||||||||||||||||||||||||||
Private Financial Group |
2,047 | 6 | 2,380 | 7 | 2,450 | 6 | 2,531 | 7 | 2,434 | 6 | ||||||||||||||||||||||||||||||
Treasury / Other (3) |
494 | 1 | 444 | 1 | 465 | 1 | 472 | 1 | 494 | 1 | ||||||||||||||||||||||||||||||
Total loans and leases |
$ | 36,932 | 100 | % | $ | 36,791 | 100 | % | $ | 37,304 | 100 | % | $ | 38,495 | 100 | % | $ | 39,548 | 100 | % | ||||||||||||||||||||
2010 | 2009 | |||||||||||||||||||||||||||||||||||||||
First | Fourth | Third | Second | First | ||||||||||||||||||||||||||||||||||||
Average Balances by Business Segment |
||||||||||||||||||||||||||||||||||||||||
Retail and Business Banking |
$ | 14,294 | 39 | % | $ | 14,319 | 39 | % | $ | 14,553 | 38 | % | $ | 14,847 | 38 | % | $ | 15,289 | 37 | % | ||||||||||||||||||||
Commercial Banking |
7,382 | 20 | 7,539 | 20 | 7,805 | 21 | 8,011 | 21 | 8,287 | 20 | ||||||||||||||||||||||||||||||
Commercial Real Estate |
7,358 | 20 | 7,857 | 21 | 8,151 | 22 | 8,426 | 22 | 8,500 | 21 | ||||||||||||||||||||||||||||||
Auto Finance and Dealer Services |
5,456 | 15 | 4,494 | 12 | 4,381 | 12 | 4,725 | 12 | 5,833 | 14 | ||||||||||||||||||||||||||||||
Private Financial Group |
2,059 | 5 | 2,425 | 7 | 2,494 | 6 | 2,509 | 6 | 2,328 | 6 | ||||||||||||||||||||||||||||||
Treasury / Other (3) |
431 | 1 | 455 | 1 | 471 | 1 | 489 | 1 | 629 | 2 | ||||||||||||||||||||||||||||||
Total loans and direct financing leases |
$ | 36,980 | 100 | % | $ | 37,089 | 100 | % | $ | 37,855 | 100 | % | $ | 39,007 | 100 | % | $ | 40,866 | 100 | % | ||||||||||||||||||||
(1) | There were no commercial loans outstanding that would be considered a concentration of lending to a particular industry. | |
(2) | The 2009 first quarter and the 2009 fourth quarter reflected net reclassifications from commercial real estate loans to commercial and industrial loans of $782.2 million and $589.0 million, respectively. | |
(3) | Comprised primarily of Franklin loans. | |
2
2010 | 2009 | |||||||||||||||||||||||||||||||||||||||
(in millions) | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||||||||||||||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||||||||||||||||||||||
Ending Balances by Type |
||||||||||||||||||||||||||||||||||||||||
Demand deposits non-interest bearing |
$ | 6,938 | 17 | % | $ | 6,907 | 17 | % | $ | 6,306 | 16 | % | $ | 6,169 | 16 | % | $ | 5,887 | 15 | % | ||||||||||||||||||||
Demand deposits interest bearing |
5,948 | 15 | 5,890 | 15 | 5,401 | 14 | 4,842 | 12 | 4,306 | 11 | ||||||||||||||||||||||||||||||
Money market deposits |
10,644 | 26 | 9,485 | 23 | 8,548 | 21 | 6,622 | 17 | 5,857 | 15 | ||||||||||||||||||||||||||||||
Savings and other domestic deposits |
4,666 | 12 | 4,652 | 11 | 4,631 | 12 | 4,859 | 12 | 5,007 | 13 | ||||||||||||||||||||||||||||||
Core certificates of deposit |
9,441 | 23 | 10,453 | 26 | 11,205 | 28 | 12,197 | 31 | 12,616 | 32 | ||||||||||||||||||||||||||||||
Total core deposits |
37,637 | 93 | 37,387 | 92 | 36,091 | 91 | 34,689 | 88 | 33,673 | 86 | ||||||||||||||||||||||||||||||
Other domestic deposits of $250,000 or more |
684 | 2 | 652 | 2 | 689 | 2 | 846 | 2 | 1,041 | 3 | ||||||||||||||||||||||||||||||
Brokered deposits and negotiable CDs |
1,605 | 4 | 2,098 | 5 | 2,630 | 7 | 3,229 | 8 | 3,848 | 10 | ||||||||||||||||||||||||||||||
Deposits in foreign offices |
377 | 1 | 357 | 1 | 419 | | 401 | 2 | 508 | 1 | ||||||||||||||||||||||||||||||
Total deposits |
$ | 40,303 | 100 | % | $ | 40,494 | 100 | % | $ | 39,829 | 100 | % | $ | 39,165 | 100 | % | $ | 39,070 | 100 | % | ||||||||||||||||||||
Total core deposits: |
||||||||||||||||||||||||||||||||||||||||
Commercial |
$ | 11,844 | 31 | % | $ | 11,368 | 30 | % | $ | 10,884 | 30 | % | $ | 9,738 | 28 | % | $ | 8,934 | 27 | % | ||||||||||||||||||||
Personal |
25,793 | 69 | 26,019 | 70 | 25,207 | 70 | 24,951 | 72 | 24,739 | 73 | ||||||||||||||||||||||||||||||
Total core deposits |
$ | 37,637 | 100 | % | $ | 37,387 | 100 | % | $ | 36,091 | 100 | % | $ | 34,689 | 100 | % | $ | 33,673 | 100 | % | ||||||||||||||||||||
Ending Balances by Business Segment |
||||||||||||||||||||||||||||||||||||||||
Retail and Business Banking |
$ | 28,658 | 71 | % | $ | 28,877 | 71 | % | $ | 28,136 | 71 | % | $ | 27,897 | 71 | % | $ | 27,764 | 71 | % | ||||||||||||||||||||
Commercial Banking |
6,465 | 16 | 5,927 | 15 | 6,207 | 16 | 5,539 | 14 | 5,584 | 14 | ||||||||||||||||||||||||||||||
Commercial Real Estate |
566 | 1 | 535 | 1 | 532 | 1 | 484 | 1 | 479 | 1 | ||||||||||||||||||||||||||||||
Auto Finance and Dealer Services |
87 | | 83 | | 98 | | 86 | | 72 | | ||||||||||||||||||||||||||||||
Private Financial Group |
3,349 | 8 | 3,512 | 9 | 2,894 | 7 | 2,676 | 7 | 2,248 | 6 | ||||||||||||||||||||||||||||||
Treasury / Other (1) |
1,178 | 4 | 1,560 | 4 | 1,962 | 5 | 2,483 | 7 | 2,923 | 8 | ||||||||||||||||||||||||||||||
Total deposits |
$ | 40,303 | 100 | % | $ | 40,494 | 100 | % | $ | 39,829 | 100 | % | $ | 39,165 | 100 | % | $ | 39,070 | 100 | % | ||||||||||||||||||||
2010 | 2009 | |||||||||||||||||||||||||||||||||||||||
First | Fourth | Third | Second | First | ||||||||||||||||||||||||||||||||||||
Average Balances by Business Segment |
||||||||||||||||||||||||||||||||||||||||
Retail and Business Banking |
$ | 28,645 | 71 | % | $ | 28,709 | 71 | % | $ | 27,892 | 70 | % | $ | 27,832 | 70 | % | $ | 27,261 | 71 | % | ||||||||||||||||||||
Commercial Banking |
6,435 | 16 | 6,012 | 15 | 5,910 | 15 | 5,585 | 14 | 5,279 | 14 | ||||||||||||||||||||||||||||||
Commercial Real Estate |
553 | 1 | 525 | 1 | 504 | 1 | 473 | 1 | 468 | 1 | ||||||||||||||||||||||||||||||
Auto Finance and Dealer Services |
83 | | 85 | | 95 | | 74 | | 66 | | ||||||||||||||||||||||||||||||
Private Financial Group |
3,181 | 9 | 3,104 | 9 | 2,841 | 8 | 2,464 | 7 | 1,929 | 6 | ||||||||||||||||||||||||||||||
Treasury / Other (1) |
1,326 | 3 | 1,779 | 4 | 2,351 | 6 | 3,106 | 8 | 3,186 | 8 | ||||||||||||||||||||||||||||||
Total deposits |
$ | 40,223 | 100 | % | $ | 40,214 | 100 | % | $ | 39,593 | 100 | % | $ | 39,534 | 100 | % | $ | 38,189 | 100 | % | ||||||||||||||||||||
(1) | Comprised primarily of national market deposits. |
3
Average Balances | Change | |||||||||||||||||||||||||||
Fully-taxable equivalent basis | 2010 | 2009 | 1Q10 vs 1Q09 | |||||||||||||||||||||||||
(in millions) | First | Fourth | Third | Second | First | Amount | Percent | |||||||||||||||||||||
Assets |
||||||||||||||||||||||||||||
Interest bearing deposits in banks |
$ | 348 | $ | 329 | $ | 393 | $ | 369 | $ | 355 | $ | (7 | ) | (2 | )% | |||||||||||||
Trading account securities |
96 | 110 | 107 | 88 | 278 | (182 | ) | (65 | ) | |||||||||||||||||||
Federal funds sold and securities purchased
under resale agreements |
| 15 | 7 | | 19 | (19 | ) | (100 | ) | |||||||||||||||||||
Loans held for sale |
346 | 470 | 524 | 709 | 627 | (281 | ) | (45 | ) | |||||||||||||||||||
Investment securities: |
||||||||||||||||||||||||||||
Taxable |
8,025 | 8,695 | 6,510 | 5,181 | 3,961 | 4,064 | N.M. | |||||||||||||||||||||
Tax-exempt |
445 | 139 | 129 | 126 | 465 | (20 | ) | (4 | ) | |||||||||||||||||||
Total investment securities |
8,470 | 8,834 | 6,639 | 5,307 | 4,426 | 4,044 | 91 | |||||||||||||||||||||
Loans and leases: (1) |
||||||||||||||||||||||||||||
Commercial: |
||||||||||||||||||||||||||||
Commercial and industrial |
12,314 | 12,570 | 12,922 | 13,523 | 13,541 | (1,227 | ) | (9 | ) | |||||||||||||||||||
Commercial real estate: |
||||||||||||||||||||||||||||
Construction |
1,409 | 1,651 | 1,808 | 1,946 | 2,033 | (624 | ) | (31 | ) | |||||||||||||||||||
Commercial |
6,268 | 6,807 | 7,071 | 7,253 | 8,079 | (1,811 | ) | (22 | ) | |||||||||||||||||||
Commercial real estate |
7,677 | 8,458 | 8,879 | 9,199 | 10,112 | (2,435 | ) | (24 | ) | |||||||||||||||||||
Total commercial |
19,991 | 21,028 | 21,801 | 22,722 | 23,653 | (3,662 | ) | (15 | ) | |||||||||||||||||||
Consumer: |
||||||||||||||||||||||||||||
Automobile loans |
4,031 | 3,050 | 2,886 | 2,867 | 3,837 | 194 | 5 | |||||||||||||||||||||
Automobile leases |
219 | 276 | 344 | 423 | 517 | (298 | ) | (58 | ) | |||||||||||||||||||
Automobile loans and leases |
4,250 | 3,326 | 3,230 | 3,290 | 4,354 | (104 | ) | (2 | ) | |||||||||||||||||||
Home equity |
7,539 | 7,561 | 7,581 | 7,640 | 7,577 | (38 | ) | (1 | ) | |||||||||||||||||||
Residential mortgage |
4,477 | 4,417 | 4,487 | 4,657 | 4,611 | (134 | ) | (3 | ) | |||||||||||||||||||
Other loans |
723 | 757 | 756 | 698 | 671 | 52 | 8 | |||||||||||||||||||||
Total consumer |
16,989 | 16,061 | 16,054 | 16,285 | 17,213 | (224 | ) | (1 | ) | |||||||||||||||||||
Total loans and leases |
36,980 | 37,089 | 37,855 | 39,007 | 40,866 | (3,886 | ) | (10 | ) | |||||||||||||||||||
Allowance for loan and lease losses |
(1,510 | ) | (1,029 | ) | (950 | ) | (930 | ) | (913 | ) | (597 | ) | 65 | |||||||||||||||
Net loans and leases |
35,470 | 36,060 | 36,905 | 38,077 | 39,953 | (4,483 | ) | (11 | ) | |||||||||||||||||||
Total earning assets |
46,240 | 46,847 | 45,525 | 45,480 | 46,571 | (331 | ) | (1 | ) | |||||||||||||||||||
Cash and due from banks |
1,761 | 1,947 | 2,553 | 2,466 | 1,553 | 208 | 13 | |||||||||||||||||||||
Intangible assets |
725 | 737 | 755 | 780 | 3,371 | (2,646 | ) | (78 | ) | |||||||||||||||||||
All other assets |
4,486 | 3,956 | 3,797 | 3,701 | 3,571 | 915 | 26 | |||||||||||||||||||||
Total Assets |
$ | 51,702 | $ | 52,458 | $ | 51,680 | $ | 51,497 | $ | 54,153 | $ | (2,451 | ) | (5 | )% | |||||||||||||
Liabilities and Shareholders Equity |
||||||||||||||||||||||||||||
Deposits: |
||||||||||||||||||||||||||||
Demand deposits noninterest-bearing |
$ | 6,627 | $ | 6,466 | $ | 6,186 | $ | 6,021 | $ | 5,544 | $ | 1,083 | 20 | % | ||||||||||||||
Demand deposits interest-bearing |
5,716 | 5,482 | 5,140 | 4,547 | 4,076 | 1,640 | 40 | |||||||||||||||||||||
Money market deposits |
10,340 | 9,271 | 7,601 | 6,355 | 5,593 | 4,747 | 85 | |||||||||||||||||||||
Savings and other domestic deposits |
4,613 | 4,686 | 4,771 | 5,031 | 5,041 | (428 | ) | (8 | ) | |||||||||||||||||||
Core certificates of deposit |
9,976 | 10,867 | 11,646 | 12,501 | 12,784 | (2,808 | ) | (22 | ) | |||||||||||||||||||
Total core deposits |
37,272 | 36,772 | 35,344 | 34,455 | 33,038 | 4,234 | 13 | |||||||||||||||||||||
Other domestic deposits of $250,000 or more |
698 | 667 | 747 | 886 | 1,069 | (371 | ) | (35 | ) | |||||||||||||||||||
Brokered deposits and negotiable CDs |
1,843 | 2,353 | 3,058 | 3,740 | 3,449 | (1,606 | ) | (47 | ) | |||||||||||||||||||
Deposits in foreign offices |
410 | 422 | 444 | 453 | 633 | (223 | ) | (35 | ) | |||||||||||||||||||
Total deposits |
40,223 | 40,214 | 39,593 | 39,534 | 38,189 | 2,034 | 5 | |||||||||||||||||||||
Short-term borrowings |
927 | 879 | 879 | 879 | 1,099 | (172 | ) | (16 | ) | |||||||||||||||||||
Federal Home Loan Bank advances |
179 | 681 | 924 | 947 | 2,414 | (2,235 | ) | (93 | ) | |||||||||||||||||||
Subordinated notes and other long-term debt |
4,062 | 3,908 | 4,136 | 4,640 | 4,612 | (550 | ) | (12 | ) | |||||||||||||||||||
Total interest bearing liabilities |
38,764 | 39,216 | 39,346 | 39,979 | 40,770 | (2,006 | ) | (5 | ) | |||||||||||||||||||
All other liabilities |
947 | 1,042 | 863 | 569 | 614 | 333 | 54 | |||||||||||||||||||||
Shareholders equity |
5,364 | 5,734 | 5,285 | 4,928 | 7,225 | (1,861 | ) | (26 | ) | |||||||||||||||||||
Total Liabilities and Shareholders Equity |
$ | 51,702 | $ | 52,458 | $ | 51,680 | $ | 51,497 | $ | 54,153 | $ | (2,451 | ) | (5 | )% | |||||||||||||
N.M., not a meaningful value. | ||
(1) | For purposes of this analysis, nonaccrual loans are reflected in the average balances of loans. |
4
Average Rates(2) | ||||||||||||||||||||
2010 | 2009 | |||||||||||||||||||
Fully-taxable equivalent basis (1) | First | Fourth | Third | Second | First | |||||||||||||||
Assets |
||||||||||||||||||||
Interest bearing deposits in banks |
0.18 | % | 0.16 | % | 0.28 | % | 0.37 | % | 0.45 | % | ||||||||||
Trading account securities |
2.15 | 1.89 | 1.96 | 2.22 | 4.04 | |||||||||||||||
Federal funds sold and securities purchased
under resale agreements |
| 0.03 | 0.14 | 0.82 | 0.20 | |||||||||||||||
Loans held for sale |
4.98 | 5.13 | 5.20 | 5.19 | 5.04 | |||||||||||||||
Investment securities: |
||||||||||||||||||||
Taxable |
2.94 | 3.20 | 3.99 | 4.63 | 5.60 | |||||||||||||||
Tax-exempt |
4.35 | 6.31 | 6.77 | 6.83 | 6.61 | |||||||||||||||
Total investment securities |
3.01 | 3.25 | 4.04 | 4.69 | 5.71 | |||||||||||||||
Loans and leases: (3) |
||||||||||||||||||||
Commercial: |
||||||||||||||||||||
Commercial and industrial |
5.60 | 5.20 | 5.19 | 5.00 | 4.60 | |||||||||||||||
Commercial real estate: |
||||||||||||||||||||
Construction |
2.66 | 2.63 | 2.61 | 2.78 | 2.76 | |||||||||||||||
Commercial |
3.60 | 3.40 | 3.43 | 3.56 | 3.76 | |||||||||||||||
Commercial real estate |
3.43 | 3.25 | 3.26 | 3.39 | 3.55 | |||||||||||||||
Total commercial |
4.76 | 4.41 | 4.40 | 4.35 | 4.15 | |||||||||||||||
Consumer: |
||||||||||||||||||||
Automobile loans |
6.64 | 7.15 | 7.34 | 7.28 | 7.20 | |||||||||||||||
Automobile leases |
6.41 | 6.40 | 6.25 | 6.12 | 6.03 | |||||||||||||||
Automobile loans and leases |
6.63 | 7.09 | 7.22 | 7.13 | 7.06 | |||||||||||||||
Home equity |
5.59 | 5.82 | 5.75 | 5.75 | 5.13 | |||||||||||||||
Residential mortgage |
4.89 | 5.04 | 5.03 | 5.12 | 5.71 | |||||||||||||||
Other loans |
7.00 | 6.90 | 7.21 | 8.22 | 8.97 | |||||||||||||||
Total consumer |
5.73 | 5.92 | 5.91 | 5.95 | 5.92 | |||||||||||||||
Total loans and leases |
5.21 | 5.07 | 5.04 | 5.02 | 4.90 | |||||||||||||||
Total earning assets |
4.82 | % | 4.70 | % | 4.86 | % | 4.99 | % | 4.99 | % | ||||||||||
Liabilities and Shareholders Equity |
||||||||||||||||||||
Deposits: |
||||||||||||||||||||
Demand deposits noninterest-bearing |
| % | | % | | % | | % | | % | ||||||||||
Demand deposits interest-bearing |
0.22 | 0.22 | 0.22 | 0.18 | 0.14 | |||||||||||||||
Money market deposits |
1.00 | 1.21 | 1.20 | 1.14 | 1.02 | |||||||||||||||
Savings and other domestic deposits |
1.19 | 1.27 | 1.33 | 1.37 | 1.50 | |||||||||||||||
Core certificates of deposit |
2.93 | 3.07 | 3.27 | 3.50 | 3.81 | |||||||||||||||
Total core deposits |
1.51 | 1.71 | 1.88 | 2.06 | 2.28 | |||||||||||||||
Other domestic deposits of $250,000 or more |
1.44 | 1.88 | 2.24 | 2.61 | 2.92 | |||||||||||||||
Brokered deposits and negotiable CDs |
2.49 | 2.52 | 2.49 | 2.54 | 2.97 | |||||||||||||||
Deposits in foreign offices |
0.19 | 0.18 | 0.20 | 0.20 | 0.17 | |||||||||||||||
Total deposits |
1.55 | 1.75 | 1.92 | 2.11 | 2.33 | |||||||||||||||
Short-term borrowings |
0.21 | 0.24 | 0.25 | 0.26 | 0.25 | |||||||||||||||
Federal Home Loan Bank advances |
2.71 | 1.01 | 0.92 | 1.13 | 1.03 | |||||||||||||||
Subordinated notes and other long-term debt |
2.25 | 2.67 | 2.58 | 2.91 | 3.29 | |||||||||||||||
Total interest bearing liabilities |
1.60 | % | 1.80 | % | 1.93 | % | 2.14 | % | 2.31 | % | ||||||||||
Net interest rate spread |
3.22 | % | 2.90 | % | 2.93 | % | 2.85 | % | 2.68 | % | ||||||||||
Impact of noninterest bearing funds on margin |
0.25 | 0.29 | 0.27 | 0.25 | 0.29 | |||||||||||||||
Net interest margin |
3.47 | % | 3.19 | % | 3.20 | % | 3.10 | % | 2.97 | % | ||||||||||
(1) | Fully-taxable equivalent (FTE) yields are calculated assuming a 35% tax rate. See page 6 for the FTE adjustment. | |
(2) | Loan, lease, and deposit average rates include impact of applicable derivatives and non-deferrable fees. | |
(3) | For purposes of this analysis, nonaccrual loans are reflected in the average balances of loans. |
5
2010 | 2009 | 1Q10 vs 1Q09 | ||||||||||||||||||||||||||
(in thousands, except per share amounts) | First | Fourth | Third | Second | First | Amount | Percent | |||||||||||||||||||||
Interest income |
$ | 546,779 | $ | 551,335 | $ | 553,846 | $ | 563,004 | $ | 569,957 | $ | (23,178 | ) | (4) | % | |||||||||||||
Interest expense |
152,886 | 177,271 | 191,027 | 213,105 | 232,452 | (79,566 | ) | (34 | ) | |||||||||||||||||||
Net interest income |
393,893 | 374,064 | 362,819 | 349,899 | 337,505 | 56,388 | 17 | |||||||||||||||||||||
Provision for credit losses |
235,008 | 893,991 | 475,136 | 413,707 | 291,837 | (56,829 | ) | (19 | ) | |||||||||||||||||||
Net interest income (loss) after provision for credit losses |
158,885 | (519,927 | ) | (112,317 | ) | (63,808 | ) | 45,668 | 113,217 | N.M. | ||||||||||||||||||
Service charges on deposit accounts |
69,339 | 76,757 | 80,811 | 75,353 | 69,878 | (539 | ) | (1 | ) | |||||||||||||||||||
Brokerage and insurance income |
35,762 | 32,173 | 33,996 | 32,052 | 39,948 | (4,186 | ) | (10 | ) | |||||||||||||||||||
Mortgage banking income (loss) |
25,038 | 24,618 | 21,435 | 30,827 | 35,418 | (10,380 | ) | (29 | ) | |||||||||||||||||||
Trust services |
27,765 | 27,275 | 25,832 | 25,722 | 24,810 | 2,955 | 12 | |||||||||||||||||||||
Electronic banking |
25,137 | 25,173 | 28,017 | 24,479 | 22,482 | 2,655 | 12 | |||||||||||||||||||||
Bank owned life insurance income |
16,470 | 14,055 | 13,639 | 14,266 | 12,912 | 3,558 | 28 | |||||||||||||||||||||
Automobile operating lease income |
12,303 | 12,671 | 12,795 | 13,116 | 13,228 | (925 | ) | (7 | ) | |||||||||||||||||||
Securities (losses) gains |
(31 | ) | (2,602 | ) | (2,374 | ) | (7,340 | ) | 2,067 | (2,098 | ) | N.M. | ||||||||||||||||
Other income |
29,069 | 34,426 | 41,901 | 57,470 | 18,359 | 10,710 | 58 | |||||||||||||||||||||
Total noninterest income |
240,852 | 244,546 | 256,052 | 265,945 | 239,102 | 1,750 | 1 | |||||||||||||||||||||
Personnel costs |
183,642 | 180,663 | 172,152 | 171,735 | 175,932 | 7,710 | 4 | |||||||||||||||||||||
Outside data processing and other services |
39,082 | 36,812 | 38,285 | 40,006 | 32,992 | 6,090 | 18 | |||||||||||||||||||||
Deposit and other insurance expense |
24,755 | 24,420 | 23,851 | 48,138 | 17,421 | 7,334 | 42 | |||||||||||||||||||||
Net occupancy |
29,086 | 26,273 | 25,382 | 24,430 | 29,188 | (102 | ) | | ||||||||||||||||||||
OREO and foreclosure expense |
11,530 | 18,520 | 38,968 | 26,524 | 9,887 | 1,643 | 17 | |||||||||||||||||||||
Equipment |
20,624 | 20,454 | 20,967 | 21,286 | 20,410 | 214 | 1 | |||||||||||||||||||||
Professional services |
22,697 | 25,146 | 18,108 | 16,658 | 16,454 | 6,243 | 38 | |||||||||||||||||||||
Amortization of intangibles |
15,146 | 17,060 | 16,995 | 17,117 | 17,135 | (1,989 | ) | (12 | ) | |||||||||||||||||||
Automobile operating lease expense |
10,066 | 10,440 | 10,589 | 11,400 | 10,931 | (865 | ) | (8 | ) | |||||||||||||||||||
Marketing |
11,153 | 9,074 | 8,259 | 7,491 | 8,225 | 2,928 | 36 | |||||||||||||||||||||
Telecommunications |
6,171 | 6,099 | 5,902 | 6,088 | 5,890 | 281 | 5 | |||||||||||||||||||||
Printing and supplies |
3,673 | 3,807 | 3,950 | 4,151 | 3,572 | 101 | 3 | |||||||||||||||||||||
Goodwill impairment |
| | | 4,231 | 2,602,713 | (2,602,713 | ) | N.M. | ||||||||||||||||||||
Gain on early extinguishment of debt (2) |
| (73,615 | ) | (60 | ) | (73,038 | ) | (729 | ) | 729 | N.M. | |||||||||||||||||
Other expense |
20,468 | 17,443 | 17,749 | 13,765 | 19,748 | 720 | 4 | |||||||||||||||||||||
Total noninterest expense |
398,093 | 322,596 | 401,097 | 339,982 | 2,969,769 | (2,571,676 | ) | (87 | ) | |||||||||||||||||||
Income (Loss) before income taxes |
1,644 | (597,977 | ) | (257,362 | ) | (137,845 | ) | (2,684,999 | ) | 2,686,643 | N.M. | |||||||||||||||||
Benefit for income taxes |
(38,093 | ) | (228,290 | ) | (91,172 | ) | (12,750 | ) | (251,792 | ) | 213,699 | (85 | ) | |||||||||||||||
Net income (loss) |
$ | 39,737 | $ | (369,687 | ) | $ | (166,190 | ) | $ | (125,095 | ) | $ | (2,433,207 | ) | $ | 2,472,944 | N.M. | |||||||||||
Dividends on preferred shares |
29,357 | 29,289 | 29,223 | 57,451 | 58,793 | (29,436 | ) | (50 | ) | |||||||||||||||||||
Net income (loss) applicable to common shares |
$ | 10,380 | $ | (398,976 | ) | $ | (195,413 | ) | $ | (182,546 | ) | $ | (2,492,000 | ) | 2,502,380 | N.M. | % | |||||||||||
Average common shares basic |
716,320 | 715,336 | 589,708 | 459,246 | 366,919 | 349,401 | 95 | % | ||||||||||||||||||||
Average common shares diluted (3) |
718,593 | 715,336 | 589,708 | 459,246 | 366,919 | 351,674 | 96 | |||||||||||||||||||||
Per common share |
||||||||||||||||||||||||||||
Net income (loss) basic |
$ | 0.01 | $ | (0.56 | ) | $ | (0.33 | ) | $ | (0.40 | ) | $ | (6.79 | ) | $ | 6.80 | N.M. | % | ||||||||||
Net income (loss) diluted |
0.01 | (0.56 | ) | (0.33 | ) | (0.40 | ) | $ | (6.79 | ) | 6.80 | N.M. | ||||||||||||||||
Cash dividends declared |
0.01 | 0.01 | 0.01 | 0.01 | 0.01 | | | |||||||||||||||||||||
Return on average total assets |
0.31 | % | (2.80) | % | (1.28) | % | (0.97) | % | (18.22) | % | 18.53 | % | N.M. | |||||||||||||||
Return on average total shareholders equity |
3.0 | (25.6 | ) | (12.5 | ) | (10.2 | ) | N.M. | 3.0 | | ||||||||||||||||||
Return on average tangible shareholders equity (4) |
4.2 | (27.9 | ) | (13.3 | ) | (10.3 | ) | 18.4 | (14.2 | ) | (77 | ) | ||||||||||||||||
Net interest margin (5) |
3.47 | 3.19 | 3.20 | 3.10 | 2.97 | 0.50 | 17 | |||||||||||||||||||||
Efficiency ratio (6) |
60.1 | 49.0 | 61.4 | 51.0 | 60.5 | (0.4 | ) | (1 | ) | |||||||||||||||||||
Effective tax rate (benefit) |
N.M. | (38.2 | ) | (35.4 | ) | (9.2 | ) | (9.4 | ) | 9.4 | N.M. | |||||||||||||||||
Revenue fully-taxable equivalent (FTE) |
||||||||||||||||||||||||||||
Net interest income |
$ | 393,893 | $ | 374,064 | $ | 362,819 | $ | 349,899 | $ | 337,505 | $ | 56,388 | 17 | |||||||||||||||
FTE adjustment |
2,248 | 2,497 | 4,177 | 1,216 | 3,582 | (1,334 | ) | (37 | ) | |||||||||||||||||||
Net interest income (5) |
396,141 | 376,561 | 366,996 | 351,115 | 341,087 | 55,054 | 16 | |||||||||||||||||||||
Noninterest income |
240,852 | 244,546 | 256,052 | 265,945 | 239,102 | 1,750 | 1 | |||||||||||||||||||||
Total revenue(5) |
$ | 636,993 | $ | 621,107 | $ | 623,048 | $ | 617,060 | $ | 580,189 | $ | 56,804 | 10 | % | ||||||||||||||
N.M., not a meaningful value. | ||
(1) | Comparisons for presented periods are impacted by a number of factors. Refer to the Significant Items discussion. | |
(2) | The 2009 fourth quarter gain related to the purchase of certain subordinated bank notes. The 2009 second quarter gain included $67.4 million related to the purchase of certain trust preferred securities. | |
(3) | For all the quarterly periods presented above, the impact of the convertible preferred stock issued in 2008 was excluded from the diluted share calculation because the result would have been higher than basic earnings per common share (anti-dilutive) for the periods. | |
(4) | Net income (loss) excluding expense for amortization of intangibles for the period divided by average tangible shareholders equity. Average tangible shareholders equity equals average stockholders 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. | |
(5) | On a fully-taxable equivalent (FTE) basis assuming a 35% tax rate. | |
(6) | Noninterest expense less amortization of intangibles and goodwill impairment divided by the sum of FTE net interest income and noninterest income excluding securities (losses) gains. |
6
2010 | 2009 | 1Q10 vs 1Q09 | ||||||||||||||||||||||||||
(in thousands, except as noted) | First | Fourth | Third | Second | First | Amount | Percent | |||||||||||||||||||||
Mortgage Banking Income |
||||||||||||||||||||||||||||
Origination and secondary marketing |
$ | 13,586 | $ | 16,473 | $ | 16,491 | $ | 31,782 | $ | 29,965 | $ | (16,379 | ) | (55 | )% | |||||||||||||
Servicing fees |
12,418 | 12,289 | 12,320 | 12,045 | 11,840 | 578 | 5 | |||||||||||||||||||||
Amortization of capitalized servicing (1) |
(10,065 | ) | (10,791 | ) | (10,050 | ) | (14,445 | ) | (12,285 | ) | 2,220 | (18 | ) | |||||||||||||||
Other mortgage banking income |
3,210 | 4,466 | 4,109 | 5,381 | 9,404 | (6,194 | ) | (66 | ) | |||||||||||||||||||
Sub-total |
19,149 | 22,437 | 22,870 | 34,763 | 38,924 | (19,775 | ) | (51 | ) | |||||||||||||||||||
MSR valuation adjustment (1) |
(5,772 | ) | 15,491 | (17,348 | ) | 46,551 | (10,389 | ) | 4,617 | (44 | ) | |||||||||||||||||
Net trading gains (losses) related to MSR hedging |
11,661 | (13,310 | ) | 15,913 | (50,487 | ) | 6,883 | 4,778 | 69 | |||||||||||||||||||
Total mortgage banking income |
$ | 25,038 | $ | 24,618 | $ | 21,435 | $ | 30,827 | $ | 35,418 | $ | (10,380 | ) | (29 | )% | |||||||||||||
Mortgage originations (in millions) |
$ | 869 | $ | 1,131 | $ | 998 | $ | 1,587 | $ | 1,546 | $ | (677 | ) | (44 | )% | |||||||||||||
Average trading account securities used to hedge
MSRs (in millions) |
18 | 19 | 19 | 20 | 223 | (205 | ) | (92 | ) | |||||||||||||||||||
Capitalized mortgage servicing rights (2) |
207,552 | 214,592 | 200,969 | 219,282 | 167,838 | 39,714 | 24 | |||||||||||||||||||||
Total mortgages serviced for others (in millions) (2) |
15,968 | 16,010 | 16,145 | 16,246 | 16,315 | (347 | ) | (2 | ) | |||||||||||||||||||
MSR % of investor servicing portfolio |
1.30 | % | 1.34 | % | 1.24 | % | 1.35 | % | 1.03 | % | 0.27 | % | 26 | |||||||||||||||
Net Impact of MSR Hedging |
||||||||||||||||||||||||||||
MSR valuation adjustment(1) |
$ | (5,772 | ) | $ | 15,491 | $ | (17,348 | ) | $ | 46,551 | $ | (10,389 | ) | $ | 4,617 | (44 | )% | |||||||||||
Net trading gains (losses) related to MSR hedging |
11,661 | (13,310 | ) | 15,913 | (50,487 | ) | 6,883 | 4,778 | 69 | |||||||||||||||||||
Net interest income related to MSR hedging |
169 | 168 | 191 | 199 | 2,441 | (2,272 | ) | (93 | ) | |||||||||||||||||||
Net impact of MSR hedging |
$ | 6,058 | $ | 2,349 | $ | (1,244 | ) | $ | (3,737 | ) | $ | (1,065 | ) | $ | 7,123 | N.M. | % | |||||||||||
(1) | The change in fair value for the period represents the MSR valuation adjustment, net of amortization of capitalized servicing. | |
(2) | At period end. |
7
2010 | 2009 | |||||||||||||||||||
(in thousands) | First | Fourth | Third | Second | First | |||||||||||||||
Allowance for loan and lease losses,
beginning of period |
$ | 1,482,479 | $ | 1,031,971 | $ | 917,680 | $ | 838,549 | $ | 900,227 | ||||||||||
Loan and lease losses |
(264,222 | ) | (471,486 | ) | (377,443 | ) | (359,444 | ) | (353,005 | ) | ||||||||||
Recoveries of loans previously charged off |
25,741 | 26,739 | 21,501 | 25,037 | 11,514 | |||||||||||||||
Net loan and lease losses |
(238,481 | ) | (444,747 | ) | (355,942 | ) | (334,407 | ) | (341,491 | ) | ||||||||||
Provision for loan and lease losses |
233,971 | 895,255 | 472,137 | 413,538 | 289,001 | |||||||||||||||
Allowance of assets sold |
| | | | (9,188 | ) | ||||||||||||||
Allowance for loans transferred to held-for-sale |
| | (1,904 | ) | | | ||||||||||||||
Allowance for loan and lease losses, end of period |
$ | 1,477,969 | $ | 1,482,479 | $ | 1,031,971 | $ | 917,680 | $ | 838,549 | ||||||||||
Allowance for unfunded loan commitments
and letters of credit, beginning of period |
$ | 48,879 | $ | 50,143 | $ | 47,144 | $ | 46,975 | $ | 44,139 | ||||||||||
Provision for (Reduction in) unfunded loan commitments
and letters of credit losses |
1,037 | (1,264 | ) | 2,999 | 169 | 2,836 | ||||||||||||||
Allowance for unfunded loan commitments
and letters of credit, end of period |
$ | 49,916 | $ | 48,879 | $ | 50,143 | $ | 47,144 | $ | 46,975 | ||||||||||
Total allowances for credit losses |
$ | 1,527,885 | $ | 1,531,358 | $ | 1,082,115 | $ | 964,824 | $ | 885,524 | ||||||||||
Allowance for loan and lease losses (ALLL) as % of: |
||||||||||||||||||||
Total loans and leases |
4.00 | % | 4.03 | % | 2.77 | % | 2.38 | % | 2.12 | % | ||||||||||
Nonaccrual loans and leases (NALs) |
84 | 77 | 47 | 50 | 54 | |||||||||||||||
Nonperforming assets (NPAs) |
77 | 72 | 44 | 46 | 47 | |||||||||||||||
Total allowances for credit losses (ACL) as % of: |
||||||||||||||||||||
Total loans and leases |
4.14 | % | 4.16 | % | 2.90 | % | 2.51 | % | 2.24 | % | ||||||||||
Nonaccrual loans and leases |
87 | 80 | 50 | 53 | 57 | |||||||||||||||
Nonperforming assets |
80 | 74 | 46 | 48 | 50 |
8
2010 | 2009 | |||||||||||||||||||
(in thousands) | First | Fourth | Third | Second | First | |||||||||||||||
Net charge-offs by loan and lease type: |
||||||||||||||||||||
Commercial and industrial |
$ | 75,439 | $ | 109,816 | $ | 68,842 | (1) | $ | 98,300 | (2) | $ | 210,648 | (3) | |||||||
Commercial real estate: |
||||||||||||||||||||
Construction |
34,426 | 85,345 | 50,359 | 31,360 | 25,642 | |||||||||||||||
Commercial |
50,873 | 172,759 | 118,866 | 141,261 | 57,139 | |||||||||||||||
Commercial real estate |
85,299 | 258,104 | 169,225 | 172,621 | 82,781 | |||||||||||||||
Total commercial |
160,738 | 367,920 | 238,067 | 270,921 | 293,429 | |||||||||||||||
Consumer: |
||||||||||||||||||||
Automobile loans |
7,666 | 11,374 | 8,988 | 12,379 | 14,971 | |||||||||||||||
Automobile leases |
865 | 1,554 | 1,753 | 2,227 | 3,086 | |||||||||||||||
Automobile loans and leases |
8,531 | 12,928 | 10,741 | 14,606 | 18,057 | |||||||||||||||
Home equity |
37,901 | 35,764 | 28,045 | 24,687 | 17,680 | |||||||||||||||
Residential mortgage |
24,311 | 17,789 | 68,955 | (4) | 17,160 | 6,298 | ||||||||||||||
Other loans |
7,000 | 10,346 | 10,134 | 7,033 | 6,027 | |||||||||||||||
Total consumer |
77,743 | 76,827 | 117,875 | 63,486 | 48,062 | |||||||||||||||
Total net charge-offs |
$ | 238,481 | $ | 444,747 | $ | 355,942 | $ | 334,407 | $ | 341,491 | ||||||||||
Net charge-offs annualized percentages: |
||||||||||||||||||||
Commercial: |
||||||||||||||||||||
Commercial and industrial (1), (2), (3) |
2.45 | % | 3.49 | % | 2.13 | % | 2.91 | % | 6.22 | % | ||||||||||
Commercial real estate: |
||||||||||||||||||||
Construction |
9.77 | 20.68 | 11.14 | 6.45 | 5.05 | |||||||||||||||
Commercial |
3.25 | 10.15 | 6.72 | 7.79 | 2.83 | |||||||||||||||
Commercial real estate |
4.44 | 12.21 | 7.62 | 7.51 | 3.27 | |||||||||||||||
Total commercial |
3.22 | 7.00 | 4.37 | 4.77 | 4.96 | |||||||||||||||
Consumer: |
||||||||||||||||||||
Automobile loans |
0.76 | 1.49 | 1.25 | 1.73 | 1.56 | |||||||||||||||
Automobile leases |
1.58 | 2.25 | 2.04 | 2.11 | 2.39 | |||||||||||||||
Automobile loans and leases |
0.80 | 1.55 | 1.33 | 1.78 | 1.66 | |||||||||||||||
Home equity |
2.01 | 1.89 | 1.48 | 1.29 | 0.93 | |||||||||||||||
Residential mortgage (4) |
2.17 | 1.61 | 6.15 | 1.47 | 0.55 | |||||||||||||||
Other loans |
3.87 | 5.47 | 5.36 | 4.03 | 3.59 | |||||||||||||||
Total consumer |
1.83 | 1.91 | 2.94 | 1.56 | 1.12 | |||||||||||||||
Net charge-offs as a % of average loans |
2.58 | % | 4.80 | % | 3.76 | % | 3.43 | % | 3.34 | % | ||||||||||
(1) | The 2009 third quarter included net recoveries totaling $4,080 thousand associated with the Franklin restructuring. | |
(2) | The 2009 second quarter included net recoveries totaling $9,884 thousand associated with the Franklin restructuring. | |
(3) | The 2009 first quarter included net charge-offs totaling $128,338 thousand associated with the Franklin restructuring. | |
(4) | Effective with the 2009 third quarter, a change to accelerate the timing for when a partial charge-off is recognized was made. This change resulted in $31,952 thousand of charge-offs in the 2009 third quarter. |
9
2010 | 2009 | |||||||||||||||||||
(in thousands) | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
Nonaccrual loans and leases (NALs): |
||||||||||||||||||||
Commercial and industrial |
$ | 511,588 | $ | 578,414 | $ | 612,701 | $ | 456,734 | $ | 398,286 | ||||||||||
Commercial real estate |
826,781 | 935,812 | 1,133,661 | 850,846 | 629,886 | |||||||||||||||
Alt-A mortgages |
13,368 | 11,362 | 9,810 | 25,861 | 25,175 | |||||||||||||||
Interest-only mortgages |
8,193 | 7,445 | 8,336 | 17,428 | 20,580 | |||||||||||||||
Franklin residential mortgages |
297,967 | 299,670 | 322,796 | 342,207 | 360,106 | |||||||||||||||
Other residential mortgages |
53,422 | 44,153 | 49,579 | 89,992 | 81,094 | |||||||||||||||
Total residential mortgages |
372,950 | 362,630 | 390,521 | 475,488 | 486,955 | |||||||||||||||
Home equity |
54,789 | 40,122 | 44,182 | 35,299 | 37,967 | |||||||||||||||
Total nonaccrual loans and leases |
1,766,108 | 1,916,978 | 2,181,065 | 1,818,367 | 1,553,094 | |||||||||||||||
Other real estate, net: |
||||||||||||||||||||
Residential |
68,289 | 71,427 | 81,807 | 107,954 | 143,856 | |||||||||||||||
Commercial |
83,971 | 68,717 | 60,784 | 64,976 | 66,906 | |||||||||||||||
Total other real estate, net |
152,260 | 140,144 | 142,591 | 172,930 | 210,762 | |||||||||||||||
Impaired loans held for sale (1) |
| 969 | 20,386 | 11,287 | 11,887 | |||||||||||||||
Total nonperforming assets |
$ | 1,918,368 | $ | 2,058,091 | $ | 2,344,042 | $ | 2,002,584 | $ | 1,775,743 | ||||||||||
Nonperforming Franklin loans |
||||||||||||||||||||
Residential mortgage |
$ | 297,967 | $ | 299,670 | $ | 322,796 | $ | 342,207 | $ | 360,106 | ||||||||||
OREO |
24,423 | 23,826 | 30,996 | 43,623 | 79,596 | |||||||||||||||
Home Equity |
31,067 | 15,004 | 15,704 | 2,437 | 6,000 | |||||||||||||||
Total nonperforming Franklin loans |
$ | 353,457 | $ | 338,500 | $ | 369,496 | $ | 388,267 | $ | 445,702 | ||||||||||
Nonaccrual loans and leases as a % of
total loans and leases (NAL ratio) |
4.78 | % | 5.21 | % | 5.85 | % | 4.72 | % | 3.93 | % | ||||||||||
NPA ratio (2) |
5.17 | 5.57 | 6.26 | 5.18 | 4.46 |
2010 | 2009 | |||||||||||||||||||
(in thousands) | First | Fourth | Third | Second | First | |||||||||||||||
Nonperforming assets, beginning
of period |
$ | 2,058,091 | $ | 2,344,042 | $ | 2,002,584 | $ | 1,775,743 | $ | 1,636,646 | ||||||||||
New nonperforming assets |
237,914 | 494,607 | 899,855 | 750,318 | 622,515 | |||||||||||||||
Franklin impact, net |
14,957 | (30,996 | ) | (18,771 | ) | (57,436 | ) | (204,523 | ) | |||||||||||
Returns to accruing status |
(80,840 | ) | (85,867 | ) | (52,498 | ) | (40,915 | ) | (36,056 | ) | ||||||||||
Loan and lease losses |
(185,387 | ) | (391,635 | ) | (305,405 | ) | (282,713 | ) | (168,382 | ) | ||||||||||
OREO losses |
(4,160 | ) | (7,394 | ) | (30,623 | ) | (20,614 | ) | (4,034 | ) | ||||||||||
Payments |
(107,640 | ) | (222,790 | ) | (117,710 | ) | (95,124 | ) | (61,452 | ) | ||||||||||
Sales |
(14,567 | ) | (41,876 | ) | (33,390 | ) | (26,675 | ) | (8,971 | ) | ||||||||||
Nonperforming assets, end of
period |
$ | 1,918,368 | $ | 2,058,091 | $ | 2,344,042 | $ | 2,002,584 | $ | 1,775,743 | ||||||||||
(1) | The September 30, 2009, figure primarily represents impaired residential mortgage loans held for sale. All other presented figures represent impaired loans obtained from the Sky Financial acquisition. Held for sale loans are carried at the lower of cost or fair value less costs to sell. | |
(2) | Nonperforming assets divided by the sum of loans and leases, impaired loans held for sale, and net other real estate. |
10
2010 | 2009 | |||||||||||||||||||
(in thousands) | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
Accruing loans and leases past due 90 days or more: |
||||||||||||||||||||
Commercial and industrial |
$ | 475 | $ | | $ | | $ | | $ | | ||||||||||
Commercial real estate |
| | 2,546 | | | |||||||||||||||
Residential mortgage (excluding loans guaranteed by
the U.S. government) |
72,702 | 78,915 | 65,716 | 97,937 | 88,381 | |||||||||||||||
Home equity |
29,438 | 53,343 | 45,334 | 35,328 | 35,717 | |||||||||||||||
Other loans and leases |
10,598 | 13,400 | 14,175 | 13,474 | 15,611 | |||||||||||||||
Total, excl. loans guaranteed by the U.S. government |
$ | 113,213 | $ | 145,658 | $ | 127,771 | $ | 146,739 | $ | 139,709 | ||||||||||
Add: loans guaranteed by U.S. government |
96,814 | 101,616 | 102,895 | 99,379 | 88,551 | |||||||||||||||
Total accruing loans and leases past due 90 days
or more, including loans guaranteed by the U.S.
government |
$ | 210,027 | $ | 247,274 | $ | 230,666 | $ | 246,118 | $ | 228,260 | ||||||||||
Excluding loans guaranteed by the U.S. government,
as a percent of total loans and leases |
0.31 | % | 0.40 | % | 0.34 | % | 0.38 | % | 0.35 | % | ||||||||||
Guaranteed by U.S. government, as a percent of
total loans and leases |
0.26 | % | 0.28 | % | 0.28 | % | 0.26 | % | 0.22 | |||||||||||
Including loans guaranteed by the U.S. government,
as a percent of total loans and leases |
0.57 | % | 0.68 | % | 0.62 | % | 0.64 | % | 0.58 | % | ||||||||||
Accruing restructured loans: |
||||||||||||||||||||
Commercial |
$ | 117,667 | $ | 157,049 | $ | 153,010 | $ | 267,975 | $ | 201,508 | ||||||||||
Alt-A mortgages |
57,897 | 57,278 | 58,367 | 46,657 | 36,642 | |||||||||||||||
Interest-only mortgages |
8,413 | 7,890 | 10,072 | 12,147 | 8,500 | |||||||||||||||
Other residential mortgages |
176,560 | 154,471 | 136,024 | 99,764 | 62,869 | |||||||||||||||
Total residential mortgages |
242,870 | 219,639 | 204,463 | 158,568 | 108,011 | |||||||||||||||
Other |
62,148 | 52,871 | 42,406 | 35,720 | 27,014 | |||||||||||||||
Total accruing restructured loans |
$ | 422,685 | $ | 429,559 | $ | 399,879 | $ | 462,263 | $ | 336,533 | ||||||||||
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2010 | 2009 | |||||||||||||||||||
(in thousands, except per share amounts) | First | Fourth | Third | Second | First | |||||||||||||||
Common stock price, per share |
||||||||||||||||||||
High(1) |
$ | 5.810 | $ | 4.770 | $ | 4.970 | $ | 6.180 | $ | 8.000 | ||||||||||
Low(1) |
3.650 | 3.500 | 3.260 | 1.550 | 1.000 | |||||||||||||||
Close |
5.390 | 3.650 | 4.710 | 4.180 | 1.660 | |||||||||||||||
Average closing price |
4.840 | 3.970 | 4.209 | 3.727 | 2.733 | |||||||||||||||
Dividends, per share |
||||||||||||||||||||
Cash dividends declared per common share |
$ | 0.01 | $ | 0.01 | $ | 0.01 | $ | 0.01 | $ | 0.01 | ||||||||||
Common shares outstanding |
||||||||||||||||||||
Average basic |
716,320 | 715,336 | 589,708 | 459,246 | 366,919 | |||||||||||||||
Average diluted (2) |
718,593 | 715,336 | 589,708 | 459,246 | 366,919 | |||||||||||||||
Ending |
716,557 | 715,762 | 714,469 | 568,741 | 390,682 | |||||||||||||||
Book value per common share |
$ | 5.13 | $ | 5.10 | $ | 5.59 | $ | 6.23 | $ | 7.80 | ||||||||||
Tangible book value per common share (3) |
4.26 | 4.21 | 4.69 | 5.07 | 6.08 |
2010 | 2009 | |||||||||||||||||||
(in millions) | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
Calculation of tangible equity / asset ratio: |
||||||||||||||||||||
Total shareholders equity |
$ | 5,370 | $ | 5,336 | $ | 5,675 | $ | 5,221 | $ | 4,815 | ||||||||||
Less: goodwill |
(444 | ) | (444 | ) | (444 | ) | (448 | ) | (452 | ) | ||||||||||
Less: other intangible assets |
(274 | ) | (289 | ) | (303 | ) | (322 | ) | (340 | ) | ||||||||||
Add: related deferred tax liability (3) |
95 | 101 | 106 | 112 | 119 | |||||||||||||||
Total tangible equity |
4,747 | 4,704 | 5,034 | 4,563 | $ | 4,142 | ||||||||||||||
Less: Preferred equity |
(1,692 | ) | (1,688 | ) | (1,683 | ) | (1,679 | ) | (1,768 | ) | ||||||||||
Total tangible common equity |
$ | 3,055 | $ | 3,016 | $ | 3,351 | $ | 2,884 | $ | 2,374 | ||||||||||
Total assets |
$ | 51,867 | $ | 51,555 | $ | 52,513 | $ | 51,397 | $ | 51,702 | ||||||||||
Less: goodwill |
(444 | ) | (444 | ) | (444 | ) | (448 | ) | (452 | ) | ||||||||||
Less: other intangible assets |
(274 | ) | (289 | ) | (303 | ) | (322 | ) | (340 | ) | ||||||||||
Add: related deferred tax liability (3) |
95 | 101 | 106 | 112 | 119 | |||||||||||||||
Total tangible assets |
$ | 51,244 | $ | 50,923 | $ | 51,872 | $ | 50,739 | $ | 51,029 | ||||||||||
Tangible equity / tangible asset ratio |
9.26 | % | 9.24 | % | 9.71 | % | 8.99 | % | 8.12 | % | ||||||||||
Tangible common equity / tangible asset ratio |
5.96 | 5.92 | 6.46 | 5.68 | 4.65 | |||||||||||||||
Other capital data: |
||||||||||||||||||||
Total risk-weighted assets |
$ | 42,632 | $ | 43,248 | $ | 44,142 | $ | 45,463 | $ | 46,383 | ||||||||||
Tier 1 leverage ratio (4) |
10.05 | % | 10.09 | % | 11.30 | % | 10.62 | % | 9.67 | % | ||||||||||
Tier 1 common risk-based capital ratio (4) |
6.52 | 6.69 | 7.82 | 6.80 | 5.63 | |||||||||||||||
Tier 1 risk-based capital ratio (4) |
11.94 | 12.03 | 13.04 | 11.85 | 11.14 | |||||||||||||||
Total risk-based capital ratio (4) |
14.24 | 14.41 | 16.23 | 14.94 | 14.26 | |||||||||||||||
Tangible equity / risk-weighted assets ratio |
11.14 | 10.88 | 11.41 | 10.04 | 8.94 | |||||||||||||||
Other data: |
||||||||||||||||||||
Number of employees (full-time equivalent) |
10,678 | 10,272 | 10,194 | 10,338 | 10,540 | |||||||||||||||
Number of domestic full-service banking offices (5) |
617 | 611 | 610 | 610 | 608 |
(1) | High and low stock prices are intra-day quotes obtained from NASDAQ. | |
(2) | For all of the quarterly periods presented above, the impact of the convertible preferred stock issued in 2008 was excluded from the diluted share calculation because the result would have been higher than basic earnings per common share (anti-dilutive) for the periods. | |
(3) | Other intangible assets are net of deferred tax liability, and calculated assuming a 35% tax rate. | |
(4) | March 31, 2010, figures are estimated. Based on an interim decision by the banking agencies on December 14, 2006, Huntington has excluded the impact of adopting ASC Topic 715, Compensation Retirement Benefits, from the regulatory capital calculations. | |
(5) | Includes 9 Private Financial Group offices. |
12