Quarterly report pursuant to Section 13 or 15(d)

OTHER COMPREHENSIVE INCOME

v3.4.0.3
OTHER COMPREHENSIVE INCOME
3 Months Ended
Mar. 31, 2016
Equity [Abstract]  
OTHER COMPREHENSIVE INCOME
OTHER COMPREHENSIVE INCOME
The components of other comprehensive income for the three-month periods ended March 31, 2016 and 2015, were as follows:
 
 
 
 
 
 
 
 
 
 
 
 
 
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

 
Three months ended
March 31, 2015
 
Tax (expense)
(dollar amounts in thousands)
Pretax
 
Benefit
 
After-tax
Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold
$
5,245

 
$
(1,855
)
 
$
3,390

Unrealized holding gains (losses) on available-for-sale debt securities arising during the period
60,503

 
(21,477
)
 
39,026

Less: Reclassification adjustment for net losses (gains) included in net income
(121
)
 
42

 
(79
)
Net change in unrealized holding gains (losses) on available-for-sale debt securities
65,627

 
(23,290
)
 
42,337

Net change in unrealized holding gains (losses) on available-for-sale equity securities
9

 
(3
)
 
6

Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period
28,144

 
(9,850
)
 
18,294

Less: Reclassification adjustment for net (gains) losses included in net income
(123
)
 
43

 
(80
)
Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships
28,021

 
(9,807
)
 
18,214

Net change in pension and other post-retirement obligations
1,389

 
(486
)
 
903

Total other comprehensive income (loss)
$
95,046

 
$
(33,586
)
 
$
61,460


The following table presents activity in accumulated other comprehensive income (loss), net of tax, for the three-month periods ended March 31, 2016 and 2015:
(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, 2014
$
15,137

 
$
484

 
$
(12,233
)
 
$
(225,680
)
 
$
(222,292
)
Other comprehensive income before reclassifications
42,416

 
6

 
18,294

 

 
60,716

Amounts reclassified from accumulated OCI to earnings
(79
)
 

 
(80
)
 
903

 
744

Period change
42,337

 
6

 
18,214

 
903

 
61,460

March 31, 2015
$
57,474

 
$
490

 
$
5,981

 
$
(224,777
)
 
$
(160,832
)
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
)
(1)
Amount at March 31, 2016 and December 31, 2015 include $8 million and $9 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.
The following table presents the reclassification adjustments out of accumulated OCI included in net income and the impacted line items as listed on the Unaudited Condensed Consolidated Statements of Income for the three month periods ended March 31, 2016 and 2015:
 
 
 
 
 
 
 
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, 2016
 
March 31, 2015
 
 
Gains (losses) on debt securities:
 
 
 
 
 
Amortization of unrealized gains (losses)
$
464

 
$
121

 
Interest income - held-to-maturity securities - taxable
Total before tax
464

 
121

 
 
Tax (expense) benefit
(164
)
 
(42
)
 
 
Net of tax
$
300

 
$
79

 
 
Gains (losses) on cash flow hedging relationships:
 
 
 
 
 
Interest rate contracts
$
645

 
$
133

 
Interest income - loans and leases
Interest rate contracts
(1
)
 
(10
)
 
Noninterest income - other income
Total before tax
644

 
123

 
 
Tax (expense) benefit
(224
)
 
(43
)
 
 
Net of tax
$
420

 
$
80

 
 
Amortization of defined benefit pension and post-retirement items:
 
 
 
 
 
Actuarial gains (losses)
$
(1,785
)
 
$
(1,881
)
 
Noninterest expense - personnel costs
Prior service credit
492

 
492

 
Noninterest expense - personnel costs
Total before tax
(1,293
)
 
(1,389
)
 
 
Tax (expense) benefit
452

 
486

 
 
Net of tax
$
(841
)
 
$
(903
)