|
Available-for-Sale and Other Securities (Tables)
|
12 Months Ended |
|
Dec. 31, 2014
|
| Securities [Abstract] |
|
| Contractual maturities of investment securities |
Contractual maturities of available-for-sale and other securities as of December 31, 2014 and 2013 were:
|
|
|
2014 |
|
|
2013 |
|
|
|
Amortized |
|
|
Fair |
|
|
Amortized |
|
|
Fair |
| (dollar amounts in thousands) |
|
Cost |
|
|
Value |
|
|
Cost |
|
|
Value |
| Under 1 year |
$ |
355,486 |
|
$ |
355,465 |
|
$ |
263,366 |
|
$ |
262,752 |
| 1 - 5 years |
|
1,047,492 |
|
|
1,066,041 |
|
|
1,665,644 |
|
|
1,697,234 |
| 6 - 10 years |
|
1,517,974 |
|
|
1,527,195 |
|
|
1,440,056 |
|
|
1,433,303 |
| Over 10 years |
|
6,090,688 |
|
|
6,086,980 |
|
|
3,662,328 |
|
|
3,577,502 |
| Other securities: |
|
|
|
|
|
|
|
|
|
|
|
|
Nonmarketable equity securities |
|
331,559 |
|
|
331,559 |
|
|
320,991 |
|
|
320,991 |
|
Marketable equity securities |
|
16,687 |
|
|
17,430 |
|
|
16,522 |
|
|
16,971 |
| Total available-for-sale and other securities |
$ |
9,359,886 |
|
$ |
9,384,670 |
|
$ |
7,368,907 |
|
$ |
7,308,753 |
|
| Amortized cost, fair value, and gross unrealized gains and losses recognized in accumulated other comprehensive income |
|
|
|
|
|
|
Unrealized |
|
|
|
|
|
|
Amortized |
|
|
Gross |
|
|
Gross |
|
|
Fair |
| (dollar amounts in thousands) |
|
Cost |
|
|
Gains |
|
|
Losses |
|
|
Value |
| December 31, 2014 |
|
|
|
|
|
|
|
|
|
|
|
| U.S. Treasury |
$ |
5,435 |
|
$ |
17 |
|
$ |
--- |
|
$ |
5,452 |
| Federal agencies: |
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
5,273,899 |
|
|
63,906 |
|
|
(15,104) |
|
|
5,322,701 |
|
Other agencies |
|
349,715 |
|
|
2,871 |
|
|
(1,043) |
|
|
351,543 |
| Total U.S. Treasury and Federal agency securities |
|
5,629,049 |
|
|
66,794 |
|
|
(16,147) |
|
|
5,679,696 |
| Municipal securities |
|
1,841,311 |
|
|
37,398 |
|
|
(10,140) |
|
|
1,868,569 |
| Private-label CMO |
|
43,730 |
|
|
1,116 |
|
|
(2,920) |
|
|
41,926 |
| Asset-backed securities |
|
1,014,999 |
|
|
2,061 |
|
|
(61,062) |
|
|
955,998 |
| Corporate debt securities |
|
479,151 |
|
|
9,442 |
|
|
(2,417) |
|
|
486,176 |
| Other securities |
|
351,646 |
|
|
743 |
|
|
(84) |
|
|
352,305 |
| Total available-for-sale and other securities |
$ |
9,359,886 |
|
$ |
117,554 |
|
$ |
(92,770) |
|
$ |
9,384,670 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized |
|
|
|
|
|
|
Amortized |
|
|
Gross |
|
|
Gross |
|
|
Fair |
| (dollar amounts in thousands) |
|
Cost |
|
|
Gains |
|
|
Losses |
|
|
Value |
| December 31, 2013 |
|
|
|
|
|
|
|
|
|
|
|
| U.S. Treasury |
$ |
51,301 |
|
$ |
303 |
|
$ |
--- |
|
$ |
51,604 |
| Federal agencies: |
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
3,562,444 |
|
|
42,319 |
|
|
(38,542) |
|
|
3,566,221 |
|
Other agencies |
313,877 |
|
|
6,105 |
|
|
(94) |
|
|
319,888 |
| Total U.S. Treasury and Federal agency securities |
|
3,927,622 |
|
|
48,727 |
|
|
(38,636) |
|
|
3,937,713 |
| Municipal securities (1) |
|
1,140,263 |
|
|
18,825 |
|
|
(13,096) |
|
|
1,145,992 |
| Private-label CMO |
|
51,238 |
|
|
1,188 |
|
|
(3,322) |
|
|
49,104 |
| Asset-backed securities |
|
1,172,284 |
|
|
6,771 |
|
|
(88,015) |
|
|
1,091,040 |
| Covered bonds |
|
280,595 |
|
|
5,279 |
|
|
--- |
|
|
285,874 |
| Corporate debt securities |
|
455,493 |
|
|
11,241 |
|
|
(9,494) |
|
|
457,240 |
| Other securities |
|
341,412 |
|
|
511 |
|
|
(133) |
|
|
341,790 |
| Total available-for-sale and other securities |
$ |
7,368,907 |
|
$ |
92,542 |
|
$ |
(152,696) |
|
$ |
7,308,753 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Effective December 31, 2013 approximately $600.4 million of direct purchase municipal instruments were reclassified from C&I loans to available-for-sale securities. |
|
|
| Available for sale securities in an unrealized loss position table text block |
|
|
|
Less than 12 Months |
|
|
Over 12 Months |
|
|
Total |
|
|
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
| (dollar amounts in thousands ) |
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
| December 31, 2014 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Federal Agencies: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
$ |
501,858 |
|
$ |
(1,909) |
|
$ |
527,280 |
|
$ |
(13,195) |
|
$ |
1,029,138 |
|
$ |
(15,104) |
|
Other agencies |
|
159,708 |
|
|
(1,020) |
|
|
1,281 |
|
|
(23) |
|
|
160,989 |
|
|
(1,043) |
| Total Federal agency securities |
|
661,566 |
|
|
(2,929) |
|
|
528,561 |
|
|
(13,218) |
|
|
1,190,127 |
|
|
(16,147) |
| Municipal securities |
|
568,619 |
|
|
(9,127) |
|
|
96,426 |
|
|
(1,013) |
|
|
665,045 |
|
|
(10,140) |
| Private label CMO |
|
--- |
|
|
--- |
|
|
22,650 |
|
|
(2,920) |
|
|
22,650 |
|
|
(2,920) |
| Asset-backed securities |
|
157,613 |
|
|
(641) |
|
|
325,691 |
|
|
(60,421) |
|
|
483,304 |
|
|
(61,062) |
| Corporate debt securities |
|
49,562 |
|
|
(252) |
|
|
88,398 |
|
|
(2,165) |
|
|
137,960 |
|
|
(2,417) |
| Other securities |
|
--- |
|
|
--- |
|
|
1,416 |
|
|
(84) |
|
|
1,416 |
|
|
(84) |
| Total temporarily impaired securities |
$ |
1,437,360 |
|
$ |
(12,949) |
|
$ |
1,063,142 |
|
$ |
(79,821) |
|
$ |
2,500,502 |
|
$ |
(92,770) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less than 12 Months |
|
|
Over 12 Months |
|
|
Total |
|
|
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
| (dollar amounts in thousands ) |
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
| December 31, 2013 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Federal Agencies |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
$ |
1,628,454 |
|
$ |
(37,174) |
|
$ |
12,682 |
|
$ |
(1,368) |
|
$ |
1,641,136 |
|
$ |
(38,542) |
|
Other agencies |
|
2,069 |
|
|
(94) |
|
|
--- |
|
|
--- |
|
|
2,069 |
|
|
(94) |
| Total Federal agency securities |
|
1,630,523 |
|
|
(37,268) |
|
|
12,682 |
|
|
(1,368) |
|
|
1,643,205 |
|
|
(38,636) |
| Municipal securities |
|
551,114 |
|
|
(12,395) |
|
|
7,531 |
|
|
(701) |
|
|
558,645 |
|
|
(13,096) |
| Private label CMO |
|
--- |
|
|
--- |
|
|
22,639 |
|
|
(3,322) |
|
|
22,639 |
|
|
(3,322) |
| Asset-backed securities |
|
391,665 |
|
|
(9,720) |
|
|
107,419 |
|
|
(78,295) |
|
|
499,084 |
|
|
(88,015) |
| Corporate debt securities |
|
146,308 |
|
|
(7,729) |
|
|
26,155 |
|
|
(1,765) |
|
|
172,463 |
|
|
(9,494) |
| Other securities |
|
3,078 |
|
|
(72) |
|
|
2,530 |
|
|
(61) |
|
|
5,608 |
|
|
(133) |
| Total temporarily impaired securities |
$ |
2,722,688 |
|
$ |
(67,184) |
|
$ |
178,956 |
|
$ |
(85,512) |
|
$ |
2,901,644 |
|
$ |
(152,696) |
|
| Realized securities gains and losses |
The following table is a summary of realized securities gains and losses for the years ended December 31, 2014, 2013, and 2012:
| (dollar amounts in thousands) |
|
2014 |
|
|
2013 |
|
|
2012 |
|
Gross gains on sales of securities |
$ |
17,729 |
|
$ |
2,932 |
|
$ |
8,612 |
|
Gross (losses) on sales of securities |
|
(175) |
|
|
(712) |
|
|
(2,224) |
| Net gain (loss) on sales of securities |
$ |
17,554 |
|
$ |
2,220 |
|
$ |
6,388 |
|
| Credit Ratings on Selected Investment Securities |
The following table presents the credit ratings for our CDO and private label CMO securities as of December 31, 2014 and 2013:
| Credit Ratings of Selected Investment Securities |
|
|
|
|
|
|
| (dollar amounts in thousands) |
|
|
|
|
|
|
Average Credit Rating of Fair Value Amount (1) |
|
|
|
Amortized |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost |
|
Fair Value |
|
|
AAA |
|
AA +/- |
|
A +/- |
|
BBB +/- |
|
<BBB- |
|
Private-label CMO securities |
$ |
43,730 |
$ |
41,926 |
|
$ |
11,461 |
$ |
--- |
$ |
--- |
$ |
10,161 |
$ |
20,304 |
|
Collateralized debt obligations |
|
139,194 |
|
82,738 |
|
|
--- |
|
--- |
|
--- |
|
--- |
|
82,738 |
| Total at December 31, 2014 |
$ |
182,924 |
$ |
124,664 |
|
$ |
11,461 |
$ |
--- |
$ |
--- |
$ |
10,161 |
$ |
103,042 |
| Total at December 31, 2013 |
$ |
212,968 |
$ |
133,240 |
|
$ |
16,964 |
$ |
--- |
$ |
17,855 |
$ |
11,785 |
$ |
86,636 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) |
Credit ratings reflect the lowest current rating assigned by a nationally recognized credit rating agency. |
|
| Trust Preferred Securities Data |
The following table summarizes the relevant characteristics of our CDO securities portfolio, which are included in asset-backed securities, at December 31, 2014 and 2013. Each security is part of a pool of issuers and supports a more senior tranche of securities except for the MM Comm III securities which are the most senior class.
| Collateralized Debt Obligation Securities Data |
|
|
|
|
|
|
|
|
|
|
| (dollar amounts in thousands) |
|
|
|
|
Actual |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferrals |
|
Expected |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
and |
|
Defaults |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
# of Issuers |
Defaults |
|
as a % of |
|
|
|
|
|
|
|
|
|
|
|
|
|
Lowest |
Currently |
as a % of |
|
Remaining |
|
|
|
|
|
|
|
Amortized |
Fair |
Unrealized |
Credit |
Performing/ |
Original |
|
Performing |
|
Excess |
|
| Deal Name |
Par Value |
Cost |
Value |
Loss (2) |
Rating (3) |
Remaining (4) |
Collateral |
|
Collateral |
Subordination (5) |
|
Alesco II (1)
|
$ |
41,646 |
$ |
28,834 |
$ |
16,758 |
$ |
(12,076) |
C |
30/33 |
8 |
% |
7 |
% |
--- |
% |
| ICONS |
|
19,837 |
|
19,837 |
|
15,786 |
|
(4,051) |
BB |
19/21 |
7 |
|
15 |
|
57 |
|
| MM Comm III |
|
5,584 |
|
5,335 |
|
4,418 |
|
(917) |
BB |
5/9 |
5 |
|
9 |
|
31 |
|
| Pre TSL IX |
|
5,000 |
|
3,955 |
|
2,403 |
|
(1,552) |
C |
28/40 |
19 |
|
9 |
|
4 |
|
|
Pre TSL XI (1)
|
|
25,000 |
|
20,632 |
|
12,248 |
|
(8,384) |
C |
43/56 |
16 |
|
9 |
|
8 |
|
|
Pre TSL XIII (1)
|
|
27,530 |
|
20,252 |
|
13,302 |
|
(6,950) |
C |
44/58 |
16 |
|
16 |
|
13 |
|
|
Reg Diversified (1)
|
|
25,500 |
|
6,908 |
|
1,142 |
|
(5,766) |
D |
23/41 |
38 |
|
9 |
|
--- |
|
|
Soloso (1)
|
|
12,500 |
|
2,440 |
|
368 |
|
(2,072) |
C |
38/61 |
29 |
|
18 |
|
--- |
|
| Tropic III |
|
31,000 |
|
31,001 |
|
16,313 |
|
(14,688) |
CCC+ |
28/40 |
21 |
|
8 |
|
37 |
|
| Total at December 31, 2014 |
$ |
193,597 |
$ |
139,194 |
$ |
82,738 |
$ |
(56,456) |
|
|
|
|
|
|
|
|
| Total at December 31, 2013 |
$ |
214,419 |
$ |
161,730 |
$ |
84,136 |
$ |
(77,594) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) |
Security was determined to have OTTI. As such, the book value 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. |
|
| Total OTTI losses, OTTI losses included in OCI, and OTTI recognized in the income statement for securities evaluated for impairment by debt security debt |
For the periods ended December 31, 2014, 2013 and 2012, the following table summarizes by security type, the total OTTI losses recognized in the Consolidated Statements of Income for securities evaluated for impairment as described above:
|
|
|
Year ended December 31, |
|
| (dollar amounts in thousands) |
|
2014 |
|
|
2013 |
|
|
2012 |
|
| Available-for-sale and other securities: |
|
|
|
|
|
|
|
|
|
|
Collateralized Debt Obligations |
|
--- |
|
|
(1,466) |
|
|
--- |
|
|
Private label CMO |
|
--- |
|
|
(336) |
|
|
(1,614) |
|
|
Total debt securities |
|
--- |
|
|
(1,802) |
|
|
(1,614) |
|
|
Equity securities |
|
--- |
|
|
--- |
|
|
(5) |
|
| Total available-for-sale and other securities |
$ |
--- |
|
$ |
(1,802) |
|
$ |
(1,619) |
|
|
| OTTI recognized in earnings on debt securities held by Huntington |
The following table rolls forward the OTTI recognized in earnings on debt securities held by Huntington for the years ended December 31, 2014 and 2013 as follows:
|
|
Year Ended December 31, |
| (dollar amounts in thousands) |
|
2014 |
|
|
2013 |
| Balance, beginning of year |
$ |
30,869 |
|
$ |
49,433 |
|
Reductions from sales |
|
--- |
|
|
(20,366) |
|
Credit losses not previously recognized |
|
--- |
|
|
--- |
|
Additional credit losses |
|
--- |
|
|
1,802 |
| Balance, end of year |
$ |
30,869 |
|
$ |
30,869 |
|
|
|
|
|
|
|
|