Huntington Bancshares Incorporated Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

LOANS / LEASES AND ALLOWANCE FOR CREDIT LOSSES

LOANS / LEASES AND ALLOWANCE FOR CREDIT LOSSES

6 Months Ended

Jun. 30, 2016

LOANS / LEASES AND ALLOWANCE FOR CREDIT LOSSES

Loans and leases for which Huntington has the intent and ability to hold for the foreseeable future, or until maturity or payoff, are classified in the Unaudited Condensed Consolidated Balance Sheets as loans and leases. Except for loans which are accounted for at fair value, loans are carried at the principal amount outstanding, net of unamortized premiums and discounts and deferred loan fees and costs, which resulted in a net premium of $270 million and $262 million at June 30, 2016 and December 31, 2015, respectively.

Loan and Lease Portfolio Composition

The following table provides a detailed listing of Huntington’s loan and lease portfolio at June 30, 2016 and December 31, 2015:



(dollar amounts in thousands)	June 30, 2016			December 31, 2015
Loans and leases:
Commercial and industrial	$	21,372,474		$	20,559,834
Commercial real estate	5,322,068			5,268,651
Automobile	10,380,644			9,480,678
Home equity	8,447,066			8,470,482
Residential mortgage	6,377,017			5,998,400
Other consumer	644,152			563,054
Loans and leases	52,543,421			50,341,099
Allowance for loan and lease losses	(623,064		)	(597,843		)
Net loans and leases	$	51,920,357		$	49,743,256

As shown in the table above, the primary loan and lease portfolios are: C&I, CRE, automobile, home equity, residential mortgage, and other consumer. For ACL purposes, these portfolios are further disaggregated into classes. The classes within each portfolio are as follows:



Portfolio	Class
Commercial and industrial	Owner occupied
	Purchased credit-impaired
	Other commercial and industrial

Commercial real estate	Retail properties
	Multi-family
	Office
	Industrial and warehouse
	Purchased credit-impaired
	Other commercial real estate

Automobile	NA (1)

Home equity	Secured by first-lien
	Secured by junior-lien

Residential mortgage	Residential mortgage
	Purchased credit-impaired

Other consumer	Other consumer
	Purchased credit-impaired


(1)	Not applicable. The automobile loan portfolio is not further segregated into classes.

Loan Purchases and Sales

The following table summarizes significant portfolio loan purchase and sale activity for the three-month and six-month periods ended June 30, 2016 and 2015. The table below excludes mortgage loans originated for sale.



(dollar amounts in thousands)	Commercial and Industrial		Commercial Real Estate		Automobile			Home Equity		Residential Mortgage		Other Consumer		Total
Portfolio loans and leases purchased or transferred from held for sale during the:
Three-month period ended June 30, 2016	$	35,198	$	—	$	—		$	—	$	1,669	$	—	$	36,867
Six-month period ended June 30, 2016	$	338,172	$	—	$	—		$	—	$	3,813	$	—	$	341,985
Three-month period ended June 30, 2015	31,905		—		—			—		2,754		$	—	34,659
Six-month period ended June 30, 2015	44,496		—		—			—		6,637		—		51,133
Portfolio loans and leases sold or transferred to loans held for sale during the:
Three-month period ended June 30, 2016	$	96,278	$	—	$	—		$	—	$	—	$	—	$	96,278
Six-month period ended June 30, 2016	$	240,797	$	—	$	—		$	—	$	—	$	—	$	240,797
Three-month period ended June 30, 2015	100,202		—		—			—		—		—		100,202
Six-month period ended June 30, 2015	185,902		—		764,540		(1)	—		—		—		950,442


(1)	Reflects the transfer of approximately $1.0 billion automobile loans to loans held-for-sale at March 31, 2015, net of approximately $262 million of automobile loans transferred back to loans and leases in the 2015 second quarter.

NALs and Past Due Loans

Loans are considered past due when the contractual amounts due with respect to principal and interest are not received within 30 days of the contractual due date.

Any loan in any portfolio may be placed on nonaccrual status prior to the policies described below when collection of principal or interest is in doubt. When a borrower with debt is discharged in a Chapter 7 bankruptcy and not reaffirmed by the borrower, the loan is determined to be collateral dependent and placed on nonaccrual status.

All classes within the C&I and CRE portfolios (except for purchased credit-impaired loans) are placed on nonaccrual status at 90-days past due. Residential mortgage loans are placed on nonaccrual status at 150-days past due, with the exception of residential mortgages guaranteed by government organizations. First-lien home equity loans are placed on nonaccrual status at 150-days past due. Junior-lien home equity loans are placed on nonaccrual status at the earlier of 120-days past due or when the related first-lien loan has been identified as nonaccrual. Automobile and other consumer loans are generally charged-off when the loan is 120-days past due.

For all classes within all loan portfolios, when a loan is placed on nonaccrual status, any accrued interest income is reversed with current year accruals charged to interest income, and prior year amounts are recognized as a credit loss.

For all classes within all loan portfolios, cash receipts received on NALs are applied entirely against principal until the loan or lease has been collected in full, after which time any additional cash receipts are recognized as interest income. However, for secured non-reaffirmed debt in a Chapter 7 bankruptcy, payments are applied to principal and interest when the borrower has demonstrated a capacity to continue payment of the debt and collection of the debt is reasonably assured. For unsecured non-reaffirmed debt in a Chapter 7 bankruptcy where the carrying value has been fully charged-off, payments are recorded as loan recoveries.

Regarding all classes within the C&I and CRE portfolios, the determination of a borrower’s ability to make the required principal and interest payments is based on an examination of the borrower’s current financial statements, industry, management capabilities, and other qualitative measures. For all classes within the consumer loan portfolio, the determination of a borrower’s ability to make the required principal and interest payments is based on multiple factors, including number of days past due and, in some instances, an evaluation of the borrower’s financial condition. When, in Management’s judgment, the borrower’s ability to make required principal and interest payments resumes and collectability is no longer in doubt, supported by sustained repayment history, the loan or lease is returned to accrual status. For these loans that have been returned to accrual status, cash receipts are applied according to the contractual terms of the loan.

The following table presents NALs by loan class at June 30, 2016 and December 31, 2015:



(dollar amounts in thousands)	June 30, 2016		December 31, 2015
Commercial and industrial:
Owner occupied	$	27,624	$	35,481
Other commercial and industrial	262,187		139,714
Total commercial and industrial	289,811		175,195
Commercial real estate:
Retail properties	2,345		7,217
Multi-family	5,819		5,819
Office	10,742		10,495
Industrial and warehouse	1,864		2,202
Other commercial real estate	2,893		3,251
Total commercial real estate	23,663		28,984
Automobile	5,049		6,564
Home equity:
Secured by first-lien	33,279		35,389
Secured by junior-lien	23,566		30,889
Total home equity	56,845		66,278
Residential mortgage	85,174		94,560
Other consumer	5		—
Total nonaccrual loans	$	460,547	$	371,581

The following table presents an aging analysis of loans and leases, including past due loans, by loan class at June 30, 2016 and December 31, 2015: (1)



	June 30, 2016
	Past Due										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		Total Loans and Leases		90 or more days past due and accruing
Commercial and industrial:
Owner occupied	$	3,143	$	3,336	$	10,779	$	17,258	$	3,934,039	$	3,951,297	$	—
Purchased credit-impaired	178		172		3,750		4,100		5,076		9,176		3,750		(2)
Other commercial and industrial	16,936		7,229		44,420		68,585		17,343,416		17,412,001		1,866		(3)
Total commercial and industrial	20,257		10,737		58,949		89,943		21,282,531		21,372,474		5,616
Commercial real estate:
Retail properties	86		199		810		1,095		1,600,914		1,602,009		—
Multi-family	507		802		1,892		3,201		999,638		1,002,839		—
Office	—		40		10,519		10,559		845,284		855,843		—
Industrial and warehouse	156		324		894		1,374		490,912		492,286		—
Purchased credit-impaired	—		335		10,799		11,134		5,939		17,073		10,799		(2)
Other commercial real estate	351		620		1,713		2,684		1,349,334		1,352,018		—



Total commercial real estate	1,100		2,320		26,627		30,047		5,292,021		5,322,068		10,799
Automobile	61,988		13,900		5,589		81,477		10,299,167		10,380,644		5,452
Home equity:
Secured by first-lien	12,311		7,008		24,565		43,884		5,198,668		5,242,552		4,775
Secured by junior-lien	15,514		6,844		21,261		43,619		3,160,895		3,204,514		2,804
Total home equity	27,825		13,852		45,826		87,503		8,359,563		8,447,066		7,579
Residential mortgage:
Residential mortgage	86,760		35,127		110,859		232,746		6,143,167		6,375,913		67,488		(4)
Purchased credit-impaired	—		—		—		—		1,104		1,104		—
Total residential mortgage	86,760		35,127		110,859		232,746		6,144,271		6,377,017		67,488
Other consumer:
Other consumer	7,323		2,377		1,645		11,345		632,807		644,152		1,645
Purchased credit-impaired	—		—		—		—		—		—		—
Total other consumer	7,323		2,377		1,645		11,345		632,807		644,152		1,645
Total loans and leases	$	205,253	$	78,313	$	249,495	$	533,061	$	52,010,360	$	52,543,421	$	98,579



	December 31, 2015
	Past Due										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
Commercial and industrial:
Owner occupied	$	11,947	$	3,613	$	13,793	$	29,353	$	3,983,447	$	4,012,800	$	—
Purchased credit-impaired	292		1,436		5,949		7,677		13,340		21,017		5,949		(2)
Other commercial and industrial	32,476		8,531		27,236		68,243		16,457,774		16,526,017		2,775		(3)
Total commercial and industrial	44,715		13,580		46,978		105,273		20,454,561		20,559,834		8,724
Commercial real estate:
Retail properties	1,823		195		3,637		5,655		1,501,054		1,506,709		—
Multi family	961		1,137		2,691		4,789		1,073,429		1,078,218		—
Office	5,022		256		3,016		8,294		886,331		894,625		—
Industrial and warehouse	93		—		373		466		503,701		504,167		—
Purchased credit-impaired	102		3,818		9,549		13,469		289		13,758		9,549		(2)
Other commercial real estate	1,231		315		2,400		3,946		1,267,228		1,271,174		—
Total commercial real estate	9,232		5,721		21,666		36,619		5,232,032		5,268,651		9,549
Automobile	69,553		14,965		7,346		91,864		9,388,814		9,480,678		7,162
Home equity
Secured by first-lien	18,349		7,576		26,304		52,229		5,139,256		5,191,485		4,499
Secured by junior-lien	18,128		9,329		29,996		57,453		3,221,544		3,278,997		4,545
Total home equity	36,477		16,905		56,300		109,682		8,360,800		8,470,482		9,044
Residential mortgage
Residential mortgage	102,670		34,298		119,354		256,322		5,740,624		5,996,946		69,917		(5)



Purchased credit-impaired	103		—		—		103		1,351		1,454		—
Total residential mortgage	102,773		34,298		119,354		256,425		5,741,975		5,998,400		69,917
Other consumer
Other consumer	6,469		1,852		1,395		9,716		553,286		563,002		1,394
Purchased credit-impaired	—		—		—		—		52		52		—
Total other consumer	6,469		1,852		1,395		9,716		553,338		563,054		1,394
Total loans and leases	$	269,219	$	87,321	$	253,039	$	609,579	$	49,731,520	$	50,341,099	$	105,790


(1)	NALs are included in this aging analysis based on the loan’s past due status.


(2)	Amounts represent accruing purchased impaired loans related to acquisitions. Under the applicable accounting guidance (ASC 310-30), the loans were recorded at fair value upon acquisition and remain in accruing status.


(3)	Amounts include Huntington Technology Finance administrative lease delinquencies.


(4)	Includes $56 million guaranteed by the U.S. government.


(5)	Includes $56 million guaranteed by the U.S. government.

Allowance for Credit Losses

Huntington maintains two reserves, both of which reflect Management’s judgment regarding the appropriate level necessary to absorb credit losses inherent in our loan and lease portfolio: the ALLL and the AULC. Combined, these reserves comprise the total ACL. The determination of the ACL requires significant estimates, including the timing and amounts of expected future cash flows on impaired loans and leases, consideration of current economic conditions, and historical loss experience pertaining to pools of homogeneous loans and leases, all of which may be susceptible to change.

The appropriateness of the ACL is based on Management’s current judgments about the credit quality of the loan portfolio. These judgments consider on-going evaluations of the loan and lease portfolio, including such factors as the differing economic risks associated with each loan category, the financial condition of specific borrowers, the level of delinquent loans, the value of any collateral and, where applicable, the existence of any guarantees or other documented support. Further, Management evaluates the impact of changes in interest rates and overall economic conditions on the ability of borrowers to meet their financial obligations when quantifying our exposure to credit losses and assessing the appropriateness of our ACL at each reporting date. In addition to general economic conditions and the other factors described above, additional factors also considered include: the impact of increasing or decreasing residential real estate values; the diversification of CRE loans; the development of new or expanded Commercial business segments such as healthcare, ABL, and energy, and the overall condition of the manufacturing industry. Management’s determinations regarding the appropriateness of the ACL are reviewed and approved by the Company’s board of directors.

The ALLL consists of two components: (1) the transaction reserve, which includes a loan level allocation, specific reserves related to loans considered to be impaired, and loans involved in troubled debt restructurings, and (2) the general reserve. The transaction reserve component includes both (1) an estimate of loss based on pools of commercial and consumer loans and leases with similar characteristics, and (2) an estimate of loss based on an impairment review of each impaired C&I and CRE loan where obligor balance is greater than $1 million. For the C&I and CRE portfolios, the estimate of loss based on pools of loans and leases with similar characteristics is made by applying a PD factor and a LGD factor to each individual loan based on a regularly updated loan grade, using a standardized loan grading system. The PD factor and an LGD factor are determined for each loan grade using statistical models based on historical performance data. The PD factor considers on-going reviews of the financial performance of the specific borrower, including cash flow, debt-service coverage ratio, earnings power, debt level, and equity position, in conjunction with an assessment of the borrower’s industry and future prospects. The LGD factor considers analysis of the type of collateral and the relative LTV ratio. These reserve factors are developed and updated periodically based on credit migration models that track historical movements of loans between loan ratings over time and a combination of long-term average loss experience of our own portfolio and external industry data.

In the case of other homogeneous portfolios, such as automobile loans, home equity loans, and residential mortgage loans, the determination of the transaction reserve also incorporates PD and LGD factors. The estimate of loss is based on pools of loans and leases with similar characteristics. The PD factor considers current credit scores unless the account is delinquent, in which case a higher PD factor is used. The credit score provides a basis for understanding the borrower’s past and current payment performance, and this information is used to estimate expected losses over the emergence period. The performance of first-lien loans ahead of our junior-lien loans is available to use as part of our updated score process. The LGD factor considers analysis of the type of collateral and the relative LTV ratio. Credit scores, models, analyses, and other factors used to determine both the PD and LGD factors are updated frequently to capture the recent behavioral characteristics of the subject portfolios, as well as any changes in loss mitigation or credit origination strategies, and adjustments to the reserve factors are made as required.

The general reserve consists of our risk-profile reserve components, which includes items unique to our structure, policies, processes, and portfolio composition, as well as qualitative measurements and assessments of the loan portfolios including, but not limited to, management quality, concentrations, portfolio composition, industry comparisons, and internal review functions.

The estimate for the AULC is determined using the same procedures and methodologies as used for the ALLL. The loss factors used in the AULC are the same as the loss factors used in the ALLL while also considering a historical utilization of unused commitments. The AULC is reflected in accrued expenses and other liabilities in the Unaudited Condensed Consolidated Balance Sheet.

The ACL is increased through a provision for credit losses that is charged to earnings, based on Management’s quarterly evaluation of the factors previously mentioned, and is reduced by charge-offs, net of recoveries, and the ACL associated with securitized or sold loans.

The following table presents ALLL and AULC activity by portfolio segment for the three-month and six-month periods ended June 30, 2016 and 2015:



(dollar amounts in thousands)	Commercial and Industrial			Commercial Real Estate			Automobile			Home Equity			Residential Mortgage			Other Consumer			Total
Three-month period ended June 30, 2016:
ALLL balance, beginning of period	$	320,367		$	102,074		$	48,032		$	78,102		$	40,842		$	24,302		$	613,719
Loan charge-offs	(14,743		)	(2,190		)	(8,850		)	(5,910		)	(2,923		)	(8,929		)	(43,545		)
Recoveries of loans previously charged-off	11,041			2,863			4,530			4,832			2,147			1,377			26,790
Provision (reduction in allowance) for loan and lease losses	6,800			(1,705		)	6,819			(542		)	2,312			12,402			26,086
Write-downs of loans sold or transferred to loans held for sale	—			—			—			—			14			—			14
ALLL balance, end of period	$	323,465		$	101,042		$	50,531		$	76,482		$	42,392		$	29,152		$	623,064
AULC balance, beginning of period	$	58,385		$	7,487		$	—		$	2,110		$	20		$	7,323		$	75,325
Provision (reduction in allowance) for unfunded loan commitments and letters of credit	(2,343		)	188			—			40			(11		)	549			(1,577		)
AULC balance, end of period	$	56,042		$	7,675		$	—		$	2,150		$	9		$	7,872		$	73,748
ACL balance, end of period	$	379,507		$	108,717		$	50,531		$	78,632		$	42,401		$	37,024		$	696,812
Six-month period ended June 30, 2016:
ALLL balance, beginning of period	$	298,746		$	100,007		$	49,504		$	83,671		$	41,646		$	24,269		$	597,843
Loan charge-offs	(31,566		)	(14,316		)	(20,336		)	(13,620		)	(5,683		)	(17,716		)	(103,237		)
Recoveries of loans previously charged-off	21,350			32,465			9,246			8,861			3,260			2,748			77,930
Provision (reduction in allowance) for loan and lease losses	34,935			(17,114		)	12,117			(2,430		)	3,065			19,851			50,424
Write-downs of loans sold or transferred to loans held for sale	—			—			—			—			104			—			104
ALLL balance, end of period	$	323,465		$	101,042		$	50,531		$	76,482		$	42,392		$	29,152		$	623,064
AULC balance, beginning of period	$	55,886		$	7,562		$	—		$	2,068		$	18		$	6,547		$	72,081
Provision for (reduction in allowance) unfunded loan commitments and letters of credit	156			113			—			82			(9		)	1,325			1,667
AULC balance, end of period	$	56,042		$	7,675		$	—		$	2,150		$	9		$	7,872		$	73,748
ACL balance, end of period	$	379,507		$	108,717		$	50,531		$	78,632		$	42,401		$	37,024		$	696,812



(dollar amounts in thousands)	Commercial and Industrial			Commercial Real Estate			Automobile			Home Equity			Residential Mortgage			Other Consumer			Total
Three-month period ended June 30, 2015:
ALLL balance, beginning of period	$	284,573		$	100,752		$	37,125		$	110,280		$	55,380		$	17,016		$	605,126
Loan charge-offs	(12,213		)	(8,288		)	(7,691		)	(8,629		)	(3,610		)	(6,539		)	(46,970		)
Recoveries of loans previously charged-off	7,802			2,763			4,249			3,979			1,468			1,334			21,595
Provision for (reduction in allowance) loan and lease losses	4,879			(3,167		)	5,418			5,548			(1,559		)	8,671			19,790
Allowance for loans sold or transferred to loans held for sale	—			—			1			—			—			—			1
ALLL balance, end of period	$	285,041		$	92,060		$	39,102		$	111,178		$	51,679		$	20,482		$	599,542
AULC balance, beginning of period	$	42,315		$	5,531		$	—		$	2,639		$	9		$	4,248		$	54,742
Provision for (reduction in allowance) unfunded loan commitments and letters of credit	(466		)	247			—			(117		)	8			957			629
AULC balance, end of period	$	41,849		$	5,778		$	—		$	2,522		$	17		$	5,205		$	55,371
ACL balance, end of period	$	326,890		$	97,838		$	39,102		$	113,700		$	51,696		$	25,687		$	654,913
Six-month period ended June 30, 2015:
ALLL balance, beginning of period	$	286,995		$	102,839		$	33,466		$	96,413		$	47,211		$	38,272		$	605,196
Loan charge-offs	(36,825		)	(10,301		)	(15,794		)	(17,215		)	(8,473		)	(13,437		)	(102,045		)
Recoveries of loans previously charged-off	21,011			8,788			8,104			7,940			3,515			2,880			52,238
Provision for (reduction in allowance) loan and lease losses	13,860			(9,266		)	15,618			24,040			9,426			(7,233		)	46,445
Allowance for loans sold or transferred to loans held for sale	—			—			(2,292		)	—			—			—			(2,292		)
ALLL balance, end of period	$	285,041		$	92,060		$	39,102		$	111,178		$	51,679		$	20,482		$	599,542
AULC balance, beginning of period	$	48,988		$	6,041		$	—		$	1,924		$	8		$	3,845		$	60,806
Provision for (reduction in allowance) unfunded loan commitments and letters of credit	(7,139		)	(263		)	—			598			9			1,360			(5,435		)
AULC balance, end of period	$	41,849		$	5,778		$	—		$	2,522		$	17		$	5,205		$	55,371
ACL balance, end of period	$	326,890		$	97,838		$	39,102		$	113,700		$	51,696		$	25,687		$	654,913

Any loan in any portfolio may be charged-off prior to the policies described below if a loss confirming event has occurred. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure, or receipt of an asset valuation indicating a collateral deficiency and that asset is the sole source of repayment. Additionally, discharged, collateral dependent non-reaffirmed debt in Chapter 7 bankruptcy filings will result in a charge-off to estimated collateral value, less anticipated selling costs.

C&I and CRE loans are either fully or partially charged-off at 90-days past due. Automobile loans and other consumer loans are charged-off at 120-days past due. First-lien and junior-lien home equity loans are charged-off to the estimated fair value of the collateral, less anticipated selling costs, at 150-days past due and 120-days past due, respectively. Residential mortgages are charged-off to the estimated fair value of the collateral, less anticipated selling costs, at 150-days past due.

Credit Quality Indicators

To facilitate the monitoring of credit quality for C&I and CRE loans, and for purposes of determining an appropriate ACL level for these loans, Huntington utilizes the following categories of credit grades:

Pass - Higher quality loans that do not fit any of the other categories described below.

OLEM - The credit risk may be relatively minor yet represent a risk given certain specific circumstances. If the potential weaknesses are not monitored or mitigated, the loan may weaken or the collateral may be inadequate to protect Huntington’s position in the future. For these reasons, Huntington considers the loans to be potential problem loans.

Substandard - Inadequately protected loans by the borrower’s ability to repay, equity, and/or the collateral pledged to secure the loan. These loans have identified weaknesses that could hinder normal repayment or collection of the debt. It is likely Huntington will sustain some loss if any identified weaknesses are not mitigated.

Doubtful - Loans that have all of the weaknesses inherent in those loans classified as Substandard, with the added elements of the full collection of the loan is improbable and that the possibility of loss is high.

The categories above, which are derived from standard regulatory rating definitions, are assigned upon initial approval of the loan or lease and subsequently updated as appropriate.

Commercial loans categorized as OLEM, Substandard, or Doubtful are considered Criticized loans. Commercial loans categorized as Substandard or Doubtful are also considered Classified loans.

For all classes within all consumer loan portfolios, each loan is assigned a specific PD factor that is partially based on the borrower’s most recent credit bureau score, which we update quarterly. A credit bureau score is a credit score developed by Fair Isaac Corporation based on data provided by the credit bureaus. The credit bureau score is widely accepted as the standard measure of consumer credit risk used by lenders, regulators, rating agencies, and consumers. The higher the credit bureau score, the higher likelihood of repayment and therefore, an indicator of higher credit quality.

Huntington assesses the risk in the loan portfolio by utilizing numerous risk characteristics. The classifications described above, and also presented in the table below, represent one of those characteristics that are closely monitored in the overall credit risk management processes.

The following table presents each loan and lease class by credit quality indicator at June 30, 2016 and December 31, 2015:



	June 30, 2016
	Credit Risk Profile by UCS Classification
(dollar amounts in thousands)	Pass		OLEM		Substandard		Doubtful		Total
Commercial and industrial:
Owner occupied	$	3,708,602	$	83,694	$	158,248	$	753	$	3,951,297
Purchased credit-impaired	1,484		293		7,379		20		9,176
Other commercial and industrial	16,315,278		316,141		776,383		4,199		17,412,001
Total commercial and industrial	20,025,364		400,128		942,010		4,972		21,372,474
Commercial real estate:
Retail properties	1,582,809		8,297		10,903		—		1,602,009
Multi-family	959,152		28,778		14,573		336		1,002,839
Office	787,401		34,957		33,098		387		855,843
Industrial and warehouse	469,083		4,500		18,703		—		492,286
Purchased credit-impaired	3,157		228		12,151		1,537		17,073
Other commercial real estate	1,316,273		4,584		30,343		818		1,352,018
Total commercial real estate	5,117,875		81,344		119,771		3,078		5,322,068

	Credit Risk Profile by FICO Score (1)
	750+		650-749		<650		Other (2)		Total
Automobile	5,205,064		3,779,606		1,116,762		279,212		10,380,644
Home equity:
Secured by first-lien	3,346,422		1,463,054		264,024		169,052		5,242,552
Secured by junior-lien	1,818,244		982,067		289,865		114,338		3,204,514
Total home equity	5,164,666		2,445,121		553,889		283,390		8,447,066
Residential mortgage:
Residential mortgage	3,886,423		1,848,386		522,665		118,439		6,375,913
Purchased credit-impaired	320		331		453		—		1,104
Total residential mortgage	3,886,743		1,848,717		523,118		118,439		6,377,017
Other consumer:
Other consumer	257,518		313,712		59,699		13,223		644,152
Purchased credit-impaired	—		—		—		—		—
Total other consumer	$	257,518	$	313,712	$	59,699	$	13,223	$	644,152



	December 31, 2015
	Credit Risk Profile by UCS Classification
(dollar amounts in thousands)	Pass		OLEM		Substandard		Doubtful		Total
Commercial and industrial:
Owner occupied	$	3,731,113	$	114,490	$	165,301	$	1,896	$	4,012,800
Purchased credit-impaired	3,051		674		15,661		1,631		21,017
Other commercial and industrial	15,523,625		284,175		714,615		3,602		16,526,017
Total commercial and industrial	19,257,789		399,339		895,577		7,129		20,559,834
Commercial real estate:
Retail properties	1,473,014		10,865		22,830		—		1,506,709
Multi-family	1,029,138		28,862		19,898		320		1,078,218
Office	822,824		35,350		36,011		440		894,625
Industrial and warehouse	493,402		259		10,450		56		504,167
Purchased credit-impaired	7,194		397		6,167		—		13,758
Other commercial real estate	1,240,482		4,054		25,811		827		1,271,174
Total commercial real estate	5,066,054		79,787		121,167		1,643		5,268,651

	Credit Risk Profile by FICO Score (1)
	750+		650-749		<650		Other (2)		Total
Automobile	4,680,684		3,454,585		1,086,914		258,495		9,480,678
Home equity:
Secured by first-lien	3,369,657		1,441,574		258,328		121,926		5,191,485
Secured by junior-lien	1,841,084		1,024,851		323,998		89,064		3,278,997
Total home equity	5,210,741		2,466,425		582,326		210,990		8,470,482
Residential mortgage
Residential mortgage	3,563,683		1,813,002		567,688		52,573		5,996,946
Purchased credit-impaired	381		777		296		—		1,454
Total residential mortgage	3,564,064		1,813,779		567,984		52,573		5,998,400
Other consumer
Other consumer	233,969		269,694		49,650		9,689		563,002
Purchased credit-impaired	—		52		—		—		52
Total other consumer	$	233,969	$	269,746	$	49,650	$	9,689	$	563,054


(1)	Reflects most recent customer credit scores.


(2)	Reflects deferred fees and costs, loans in process, loans to legal entities, etc.

Impaired Loans

For all classes within the C&I and CRE portfolios, all loans with an obligor balance of $1 million or greater are considered for individual evaluation on a quarterly basis for impairment. Generally, consumer loans within any class are not individually evaluated on a regular basis for impairment. However, certain home equity and residential mortgage loans are measured for impairment based on the underlying collateral value. All TDRs, regardless of the outstanding balance amount, are also considered to be impaired. Loans acquired with evidence of deterioration of credit quality since origination for which it is probable at acquisition that all contractually required payments will not be collected are also considered to be impaired.

Once a loan has been identified for an assessment of impairment, the loan is considered impaired when, based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreement will not be collected. This determination requires significant judgment and use of estimates, and the eventual outcome may differ significantly from those estimates.

When a loan in any class has been determined to be impaired, the amount of the impairment is measured using the present value of expected future cash flows discounted at the loan’s effective interest rate or, as a practical expedient, the observable market price of the loan, or the fair value of the collateral, less anticipated selling costs, if the loan is collateral dependent. When the present value of expected future cash flows is used, the effective interest rate is the original contractual interest rate of the loan adjusted for any premium, discount, fees, or costs. A specific reserve is established as a component of the ALLL when a commercial loan has been determined to be impaired. Subsequent to the initial measurement of impairment, if there is a significant change to the impaired loan’s expected future cash flows, or if actual cash flows are significantly different from the cash flows previously estimated, Huntington recalculates the impairment and appropriately adjusts the specific reserve. Similarly, if Huntington measures impairment based on the observable market price of an impaired loan or the fair value of the collateral of an impaired collateral dependent loan, Huntington will adjust the specific reserve.

When a loan within any class is impaired, the accrual of interest income is discontinued unless the receipt of principal and interest is no longer in doubt. Interest income on TDRs is accrued when all principal and interest is expected to be collected under the post-modification terms. Cash receipts received on nonaccruing impaired loans within any class are generally applied entirely against principal until the loan has been collected in full (including already charged-off portion), after which time any additional cash receipts are recognized as interest income. Cash receipts received on accruing impaired loans within any class are applied in the same manner as accruing loans that are not considered impaired.

The following tables present the balance of the ALLL attributable to loans by portfolio segment individually and collectively evaluated for impairment and the related loan and lease balance at June 30, 2016 and December 31, 2015:



(dollar amounts in thousands)	Commercial and Industrial		Commercial Real Estate		Automobile		Home Equity		Residential Mortgage		Other Consumer		Total
ALLL at June 30, 2016:
Portion of ALLL balance:
Attributable to purchased credit-impaired loans	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Attributable to loans individually evaluated for impairment	30,636		4,894		1,795		12,962		16,513		309		67,109
Attributable to loans collectively evaluated for impairment	292,829		96,148		48,736		63,520		25,879		28,843		555,955
Total ALLL balance	$	323,465	$	101,042	$	50,531	$	76,482	$	42,392	$	29,152	$	623,064
Loan and Lease Ending Balances at June 30, 2016:
Portion of loan and lease ending balance:
Attributable to purchased credit-impaired loans	$	9,176	$	17,073	$	—	$	—	$	1,104	$	—	$	27,353
Individually evaluated for impairment	579,003		108,187		30,800		244,917		347,412		4,664		1,314,983
Collectively evaluated for impairment	20,784,295		5,196,808		10,349,844		8,202,149		6,028,501		639,488		51,201,085
Total loans and leases evaluated for impairment	$	21,372,474	$	5,322,068	$	10,380,644	$	8,447,066	$	6,377,017	$	644,152	$	52,543,421



(dollar amounts in thousands)	Commercial and Industrial		Commercial Real Estate		Automobile		Home Equity		Residential Mortgage		Other Consumer		Total
ALLL at December 31, 2015
Portion of ALLL balance:
Attributable to purchased credit-impaired loans	$	2,602	$	—	$	—	$	—	$	127	$	—	$	2,729
Attributable to loans individually evaluated for impairment	19,314		8,114		1,779		16,242		16,811		176		62,436
Attributable to loans collectively evaluated for impairment	276,830		91,893		47,725		67,429		24,708		24,093		532,678
Total ALLL balance:	$	298,746	$	100,007	$	49,504	$	83,671	$	41,646	$	24,269	$	597,843
Loan and Lease Ending Balances at December 31, 2015
Portion of loan and lease ending balances:
Attributable to purchased credit-impaired loans	$	21,017	$	13,758	$	—	$	—	$	1,454	$	52	$	36,281
Individually evaluated for impairment	481,033		144,977		31,304		248,839		366,995		4,640		1,277,788
Collectively evaluated for impairment	20,057,784		5,109,916		9,449,374		8,221,643		5,629,951		558,362		49,027,030
Total loans and leases evaluated for impairment	$	20,559,834	$	5,268,651	$	9,480,678	$	8,470,482	$	5,998,400	$	563,054	$	50,341,099

The following tables present by class the ending, unpaid principal balance, and the related ALLL, along with the average balance and interest income recognized only for loans and leases individually evaluated for impairment and purchased credit-impaired loans: (1), (2)



	June 30, 2016						Three Months Ended June 30, 2016				Six months ended June 30, 2016
(dollar amounts in thousands)	Ending Balance		Unpaid Principal Balance (5)		Related Allowance		Average Balance		Interest Income Recognized		Average Balance		Interest Income Recognized
With no related allowance recorded:
Commercial and industrial:
Owner occupied	$	55,637	$	60,883	$	—	$	45,108	$	260	$	47,856	$	551
Purchased credit-impaired	9,176		22,219		—		11,888		1,003		14,931		2,000
Other commercial and industrial	223,863		232,421		—		232,142		1,129		221,341		2,072
Total commercial and industrial	288,676		315,523		—		289,138		2,392		284,128		4,623
Commercial real estate:
Retail properties	12,776		13,252		—		14,461		197		25,567		682
Multi-family	20,574		20,574		—		20,408		172		13,591		229
Office	16,248		30,258		—		16,268		142		13,469		284
Industrial and warehouse	227		227		—		76		1		609		19
Purchased credit-impaired	17,073		49,728		—		14,883		1,255		14,508		2,122
Other commercial real estate	6,470		6,636		—		6,473		88		4,896		136
Total commercial real estate	73,368		120,675		—		72,569		1,855		72,640		3,472
Residential mortgage:
Residential mortgage	—		—		—		—		—		—		—
Purchased credit-impaired	1,104		1,672		—		1,298		109		1,350		111
Total residential mortgage	1,104		1,672		—		1,298		109		1,350		111
Other consumer
Other consumer	—		—		—		—		—		—		—
Purchased credit-impaired	—		—		—		19		2		30		104
Total other consumer	—		—		—		19		2		30		104

With an allowance recorded:
Commercial and industrial: (3)
Owner occupied	55,831		66,013		3,481		60,741		579		59,120		1,164
Purchased credit-impaired	—		—		—		—		—		—		—
Other commercial and industrial	243,672		262,710		27,155		231,020		1,160		210,398		2,665
Total commercial and industrial	299,503		328,723		30,636		291,761		1,739		269,518		3,829
Commercial real estate: (4)
Retail properties	6,217		7,334		284		6,073		89		7,371		174
Multi-family	15,212		17,773		1,205		15,738		185		22,091		481
Office	5,636		9,066		586		9,727		55		10,724		106
Industrial and warehouse	2,793		3,338		276		2,985		19		5,242		39
Purchased credit-impaired	—		—		—		—		—		—		—
Other commercial real estate	22,034		23,915		2,543		23,834		267		24,073		573
Total commercial real estate	51,892		61,426		4,894		58,357		615		69,501		1,373
Automobile	30,800		31,247		1,795		32,032		524		31,789		1,102
Home equity:
Secured by first-lien	55,766		59,675		4,151		55,798		518		54,756		1,018



Secured by junior-lien	189,151		219,008		8,811		192,258		2,444		193,561		4,912
Total home equity	244,917		278,683		12,962		248,056		2,962		248,317		5,930
Residential mortgage (6):
Residential mortgage	347,412		386,170		16,513		352,489		3,027		357,324		6,064
Purchased credit-impaired	—		—		—		—		—		—		—
Total residential mortgage	347,412		386,170		16,513		352,489		3,027		357,324		6,064
Other consumer:
Other consumer	4,664		4,665		309		4,812		53		4,754		120
Purchased credit-impaired	—		—		—		—		—		—		—
Total other consumer	$	4,664	$	4,665	$	309	$	4,812	$	53	$	4,754	$	120



	December 31, 2015						Three Months Ended June 30, 2015				Six months ended June 30, 2015
(dollar amounts in thousands)	Ending Balance		Unpaid Principal Balance (5)		Related Allowance		Average Balance		Interest Income Recognized		Average Balance		Interest Income Recognized
With no related allowance recorded:
Commercial and industrial:
Owner occupied	$	57,832	$	65,812	$	—	$	21,025	$	72	$	16,645	$	147
Purchased credit-impaired	—		—		—		—		—		—		—
Other commercial and industrial	197,969		213,739		—		71,905		498		56,728		836
Total commercial and industrial	255,801		279,551		—		92,930		570		73,373		983
Commercial real estate:
Retail properties	42,009		54,021		—		50,905		463		54,231		959
Multi-family	—		—		—		—		—		—		—
Office	9,030		12,919		—		11,515		86		6,597		117
Industrial and warehouse	1,720		1,741		—		—		—		263		7
Purchased credit-impaired	13,758		55,358		—		31,468		2,163		33,769		3,941
Other commercial real estate	1,743		1,775		—		1,838		16		3,096		62
Total commercial real estate	68,260		125,814		—		95,726		2,728		97,956		5,086
Other consumer	—		—		—		—		—		—		—
Purchased credit-impaired	52		101		—		—		—		—		—
Total other consumer	52		101		—		—		—		—		—

With an allowance recorded:
Commercial and industrial: (3)
Owner occupied	54,092		62,527		4,171		59,605		495		55,448		934
Purchased credit-impaired	21,017		30,676		2,602		20,750		1,577		21,576		2,874
Other commercial and industrial	171,140		181,000		15,143		183,095		1,339		61,833		1,086
Total commercial and industrial	246,249		274,203		21,916		263,450		3,411		138,857		4,894
Commercial real estate: (4)
Retail properties	9,096		11,121		1,190		44,213		418		42,312		780
Multi-family	34,349		37,208		1,593		16,200		184		15,884		354
Office	14,365		17,350		1,177		40,710		450		45,644		1,013
Industrial and warehouse	9,721		10,550		1,540		5,835		81		7,079		163
Purchased credit-impaired	—		—		—		—		—		—		—
Other commercial real estate	22,944		28,701		2,614		29,405		335		29,254		689
Total commercial real estate	90,475		104,930		8,114		136,363		1,468		140,173		2,999



Automobile	31,304		31,878		1,779		29,482		544		29,859		1,105
Home equity:
Secured by first-lien	52,672		57,224		4,359		148,892		1,715		147,783		3,299
Secured by junior-lien	196,167		227,733		11,883		181,059		2,231		175,666		4,216
Total home equity	248,839		284,957		16,242		329,951		3,946		323,449		7,515
Residential mortgage (6):
Residential mortgage	366,995		408,925		16,811		369,245		2,978		369,356		6,100
Purchased credit-impaired	1,454		2,189		127		2,104		4		2,040		7
Total residential mortgage	368,449		411,114		16,938		371,349		2,982		371,396		6,107
Other consumer:
Other consumer	4,640		4,649		176		4,963		65		4,671		128
Purchased credit-impaired	—		—		—		51		160		51		291
Total other consumer	$	4,640	$	4,649	$	176	$	5,014	$	225	$	4,722	$	419


(1)	These tables do not include loans fully charged-off.


(2)	All automobile, home equity, residential mortgage, and other consumer impaired loans included in these tables are considered impaired due to their status as a TDR.


(3)	At June 30, 2016, $99 million of the $300 million commercial and industrial loans with an allowance recorded were considered impaired due to their status as a TDR. At December 31, 2015, $91 million of the $246 million commercial and industrial loans with an allowance recorded were considered impaired due to their status as a TDR.


(4)	At June 30, 2016, $29 million of the $52 million commercial real estate loans with an allowance recorded were considered impaired due to their status as a TDR. At December 31, 2015, $35 million of the $90 million commercial real estate loans with an allowance recorded 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)	At June 30, 2016, $29 million of the $347 million residential mortgages loans with an allowance recorded were guaranteed by the U.S. government. At December 31, 2015, $29 million of the $368 million residential mortgage loans with an allowance recorded were guaranteed by the U.S. government.

TDR Loans

TDRs are modified loans where a concession was provided to a borrower experiencing financial difficulties. Loan modifications are considered TDRs when the concessions provided are not available to the borrower through either normal channels or other sources. However, not all loan modifications are TDRs.

TDR Concession Types

The Company’s standards relating to loan modifications consider, among other factors, minimum verified income requirements, cash flow analyses, and collateral valuations. Each potential loan modification is reviewed individually and the terms of the loan are modified to meet a borrower’s specific circumstances at a point in time. All commercial TDRs are reviewed and approved by our SAD. The types of concessions provided to borrowers include:


•	Interest rate reduction: A reduction of the stated interest rate to a nonmarket rate for the remaining original life of the debt.


•	Amortization or maturity date change beyond what the collateral supports, including any of the following:


(1)	Lengthens the amortization period of the amortized principal beyond market terms. This concession reduces the minimum monthly payment and could increase the amount of the balloon payment at the end of the term of the loan. Principal is generally not forgiven.


(2)	Reduces the amount of loan principal to be amortized and increases the amount of the balloon payment at the end of the term of the loan. This concession also reduces the minimum monthly payment. Principal is generally not forgiven.


(3)	Extends the maturity date or dates of the debt beyond what the collateral supports. This concession generally applies to loans without a balloon payment at the end of the term of the loan.


•	Chapter 7 bankruptcy: A bankruptcy court’s discharge of a borrower’s debt is considered a concession when the borrower does not reaffirm the discharged debt.


•	Other: A concession that is not categorized as one of the concessions described above. These concessions include, but are not limited to: principal forgiveness, collateral concessions, covenant concessions, and reduction of accrued interest.

Principal forgiveness may result from any TDR modification of any concession type. However, the aggregate amount of principal forgiven as a result of loans modified as TDRs during the three-month and six-month periods ended June 30, 2016 and 2015, was not significant.

Following is a description of TDRs by the different loan types:

Commercial loan TDRs – Commercial accruing TDRs often result from loans receiving a concession with terms that are not considered a market transaction to Huntington. The TDR remains in accruing status as long as the customer is less than 90-days past due on payments per the restructured loan terms and no loss is expected.

Commercial nonaccrual TDRs result from either: (1) an accruing commercial TDR being placed on nonaccrual status, or (2) a workout where an existing commercial NAL is restructured and a concession is given. At times, these workouts restructure the NAL so that two or more new notes are created. The primary note is underwritten based upon our normal underwriting standards and is sized so projected cash flows are sufficient to repay contractual principal and interest. The terms on the secondary note(s) vary by situation, and may include notes that defer principal and interest payments until after the primary note is repaid. Creating two or more notes often allows the borrower to continue a project and allows Huntington to right-size a loan based upon the current expectations for a borrower’s or project’s performance.

Our strategy involving TDR borrowers includes working with these borrowers to allow them time to improve their financial position and remain our customer through refinancing their notes according to market terms and conditions in the future or to refinance elsewhere. A subsequent refinancing or modification of a loan may occur when either the loan matures according to the terms of the TDR-modified agreement or the borrower requests a change to the loan agreements. At that time, the loan is evaluated to determine if it is creditworthy. It is subjected to the normal underwriting standards and processes for other similar credit extensions, both new and existing. The refinanced note is evaluated to determine if it is considered a new loan or a continuation of the prior loan. A new loan is considered for removal of the TDR designation, whereas a continuation of the prior note requires a continuation of the TDR designation. In order for a TDR designation to be removed, the borrower must no longer be experiencing financial difficulties and the terms of the refinanced loan must not represent a concession.

Residential Mortgage loan TDRs – Residential mortgage TDRs represent loan modifications associated with traditional first-lien mortgage loans in which a concession has been provided to the borrower. The primary concessions given to residential mortgage borrowers are amortization or maturity date changes and interest rate reductions. Residential mortgages identified as TDRs involve borrowers unable to refinance their mortgages through the Company’s normal mortgage origination channels or through other independent sources. Some, but not all, of the loans may be delinquent.

Automobile, Home Equity, and Other Consumer loan TDRs – The Company may make similar interest rate, term, and principal concessions as with residential mortgage loan TDRs.

TDR Impact on Credit Quality

Huntington’s ALLL is largely determined by updated risk ratings assigned to commercial loans, updated borrower credit scores on consumer loans, and borrower delinquency history in both the commercial and consumer portfolios. These updated risk ratings and credit scores consider the default history of the borrower, including payment redefaults. As such, the provision for credit losses is impacted primarily by changes in borrower payment performance rather than the TDR classification. TDRs can be classified as either accrual or nonaccrual loans. Nonaccrual TDRs are included in NALs whereas accruing TDRs are excluded from NALs as it is probable that all contractual principal and interest due under the restructured terms will be collected.

Our TDRs may include multiple concessions and the disclosure classifications are presented based on the primary concession provided to the borrower. The majority of our concessions for the C&I and CRE portfolios are the extension of the maturity date.

TDR concessions may also result in the reduction of the ALLL within the C&I and CRE portfolios. This reduction is derived from payments and the resulting application of the reserve calculation within the ALLL. The transaction reserve for non-TDR C&I and CRE loans is calculated based upon several estimated probability factors, such as PD and LGD, both of which were previously discussed. Upon the occurrence of a TDR in our C&I and CRE portfolios, the reserve is measured based on discounted expected cash flows or collateral value, less anticipated selling costs, of the modified loan in accordance with ASC 310-10. The resulting TDR ALLL calculation often results in a lower ALLL amount because (1) the discounted expected cash flows or collateral value, less anticipated selling costs, indicate a lower estimated loss, (2) if the modification includes a rate increase, the discounting of the cash flows on the modified loan, using the pre-modification interest rate, exceeds the carrying value of the loan, or (3) payments may occur as part of the modification. The ALLL for C&I and CRE loans may increase as a result of the modification, as the discounted cash flow analysis may indicate additional reserves are required.

TDR concessions on consumer loans may increase the ALLL. The concessions made to these borrowers often include interest rate reductions, and therefore, the TDR ALLL calculation results in a greater ALLL compared with the non-TDR calculation as the reserve is measured based on the estimation of the discounted expected cash flows or collateral value, less anticipated selling costs, on the modified loan in accordance with ASC 310-10. The resulting TDR ALLL calculation often results in a higher ALLL amount because (1) the discounted expected cash flows or collateral value, less anticipated selling costs, indicate a higher estimated loss or, (2) due to the rate decrease, the discounting of the cash flows on the modified loan, using the pre-modification interest rate, indicates a reduction in the present value of expected cash flows or collateral value, less anticipated selling costs. In certain instances, the ALLL may decrease as a result of payments made in connection with the modification.

Commercial loan TDRs – In instances where the bank substantiates that it will collect its outstanding balance in full, the note is considered for return to accrual status upon the borrower showing a sustained period of repayment performance for a minimum six-month period of time. This six-month period could extend before or after the restructure date. If a charge-off was taken as part of the restructuring, any interest or principal payments received on that note are applied to first reduce the bank’s outstanding book balance and then to recoveries of charged-off principal, unpaid interest, and/or fee expenses while the TDR is in nonaccrual status.

Residential Mortgage, Automobile, Home Equity, and Other Consumer loan TDRs – Modified loans identified as TDRs are aggregated into pools for analysis. Cash flows and weighted average interest rates are used to calculate impairment at the pooled-loan level. Once the loans are aggregated into the pool, they continue to be classified as TDRs until contractually repaid or charged-off.

Residential mortgage loans not guaranteed by a U.S. government agency such as the FHA, VA, and the USDA, including TDR loans, are reported as accrual or nonaccrual based upon delinquency status. Nonaccrual TDRs are those that are greater than 150-days contractually past due. Loans guaranteed by U.S. government organizations continue to accrue interest on guaranteed rates upon delinquency.

The following tables present by class and by the reason for the modification, the number of contracts, post-modification outstanding balance, and the financial effects of the modification for the three-month and six-month periods ended June 30, 2016 an 2015:




	New Troubled Debt Restructurings During The Three-Month Period Ended (1)
	June 30, 2016						June 30, 2015
(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)
C&I—Owner occupied:
Interest rate reduction	1	$	22	$	—		2	$	189	$	(1	)
Amortization or maturity date change	47	9,047		(17		)	55	36,506		(1,928		)
Other	1	228		—			—	—		—
Total C&I—Owner occupied	49	9,297		(17		)	57	36,695		(1,929		)
C&I—Other commercial and industrial:
Interest rate reduction	—	—		—			4	405		10
Amortization or maturity date change	152	124,886		(3,473		)	153	155,849		(8,415		)
Other	1	4		—			1	124		—
Total C&I—Other commercial and industrial	153	124,890		(3,473		)	158	156,378		(8,405		)
CRE—Retail properties:
Interest rate reduction	—	—		—			—	—		—
Amortization or maturity date change	4	1,910		(1		)	1	6,396		(1,334		)



Other	—	—	—		—	—	—
Total CRE—Retail properties	4	1,910	(1	)	1	6,396	(1,334	)
CRE—Multi family:
Interest rate reduction	1	84	—		1	90	—
Amortization or maturity date change	13	2,562	(47	)	11	5,191	(28	)
Other	1	7	—		8	216	(6	)
Total CRE—Multi family	15	2,653	(47	)	20	5,497	(34	)
CRE—Office:
Interest rate reduction	—	—	—		—	—	—
Amortization or maturity date change	3	555	(1	)	7	4,988	103
Other	1	45	—		1	30	(2	)
Total CRE—Office	4	600	(1	)	8	5,018	101
CRE—Industrial and warehouse:
Interest rate reduction	—	—	—		—	—	—
Amortization or maturity date change	1	316	55		4	2,160	91
Other	—	—	—		—	—	—
Total CRE—Industrial and Warehouse	1	316	55		4	2,160	91
CRE—Other commercial real estate:
Interest rate reduction	—	—	—		—	—	—
Amortization or maturity date change	15	10,674	(729	)	10	4,072	16
Other	—	—	—		1	82	(22	)
Total CRE—Other commercial real estate	15	10,674	(729	)	11	4,154	(6	)
Automobile:
Interest rate reduction	3	64	5		12	23	1
Amortization or maturity date change	286	2,663	202		316	2,132	96
Chapter 7 bankruptcy	244	1,982	114		146	1,138	61
Other	—	—	—		—	—	—
Total Automobile	533	4,709	321		474	3,293	158
Residential mortgage:
Interest rate reduction	5	404	17		4	261	(52	)
Amortization or maturity date change	108	10,641	(420	)	70	9,416	(74	)
Chapter 7 bankruptcy	6	1,178	(49	)	35	2,884	(7	)
Other	1	164	—		—	—	—
Total Residential mortgage	120	12,387	(452	)	109	12,561	(133	)
First-lien home equity:
Interest rate reduction	5	530	13		11	1,160	42
Amortization or maturity date change	15	1,219	(36	)	65	6,432	(325	)
Chapter 7 bankruptcy	19	1,743	17		22	1,270	54
Other	—	—	—		—	—	—



Total First-lien home equity	39	3,492		(6		)	98	8,862		(229		)
Junior-lien home equity:
Interest rate reduction	4	97		13			4	98		6
Amortization or maturity date change	112	5,182		(700		)	419	18,077		(2,615		)
Chapter 7 bankruptcy	27	371		250			57	650		1,358
Other	—	—		—			—	—		—
Total Junior-lien home equity	143	5,650		(437		)	480	18,825		(1,251		)
Other consumer:
Interest rate reduction	—	—		—			—	—		—
Amortization or maturity date change	1	4		—			2	33		2
Chapter 7 bankruptcy	—	—		—			3	39		8
Other	—	—		—			—	—		—
Total Other consumer	1	4		—			5	72		10
Total new troubled debt restructurings	1,077	$	176,582	$	(4,787	)	1,425	$	259,911	$	(12,961	)


(1)	TDRs may include multiple concessions and the disclosure classifications are based on the primary concession provided to the borrower.


(2)	Amounts represent the financial impact via provision for loan and lease losses as a result of the modification.




	New Troubled Debt Restructurings During The Six-Month Period Ended (1)
	June 30, 2016						June 30, 2015
(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)
C&I—Owner occupied:
Interest rate reduction	2	$	39	$	(1	)	3	$	235	$	(2	)
Amortization or maturity date change	99	45,556		463			101	46,966		(2,102		)
Other	3	451		(17		)	3	613		(29		)
Total C&I—Owner occupied	104	46,046		445			107	47,814		(2,133		)
C&I—Other commercial and industrial:
Interest rate reduction	—	—		—			5	435		9
Amortization or maturity date change	284	211,035		(3,381		)	270	236,226		(7,601		)
Other	7	639		13			6	28,512		(430		)
Total C&I—Other commercial and industrial	291	211,674		(3,368		)	281	265,173		(8,022		)
CRE—Retail properties:
Interest rate reduction	—	—		—			1	1,657		(11		)
Amortization or maturity date change	8	2,433		(39		)	12	10,973		(1,533		)
Other	—	—		—			—	—		—
Total CRE—Retail properties	8	2,433		(39		)	13	12,630		(1,544		)
CRE—Multi family:
Interest rate reduction	1	84		—			1	90		—
Amortization or maturity date change	22	25,071		(152		)	30	10,236		(29		)



Other	1	7	—		8	216	(6	)
Total CRE—Multi family	24	25,162	(152	)	39	10,542	(35	)
CRE—Office:
Interest rate reduction	—	—	—		—	—	—
Amortization or maturity date change	9	8,916	430		12	31,073	72
Other	2	184	(19	)	1	30	(2	)
Total CRE—Office	11	9,100	411		13	31,103	70
CRE—Industrial and warehouse:
Interest rate reduction	—	—	—		—	—	—
Amortization or maturity date change	3	688	(824	)	5	2,386	91
Other	—	—	—		—	—	—
Total CRE—Industrial and Warehouse	3	688	(824	)	5	2,386	91
CRE—Other commercial real estate:
Interest rate reduction	—	—	—		—	—	—
Amortization or maturity date change	18	12,704	(697	)	17	7,731	27
Other	1	124	35		2	234	(22	)
Total CRE—Other commercial real estate	19	12,828	(662	)	19	7,965	5
Automobile:
Interest rate reduction	7	106	7		25	42	2
Amortization or maturity date change	707	6,564	422		812	5,484	254
Chapter 7 bankruptcy	561	4,544	229		290	2,361	161
Other	—	—	—		—	—	—
Total Automobile	1,275	11,214	658		1,127	7,887	417
Residential mortgage:
Interest rate reduction	10	1,061	(15	)	9	737	(56	)
Amortization or maturity date change	200	21,400	(997	)	193	23,274	(195	)
Chapter 7 bankruptcy	23	2,683	21		69	7,060	(131	)
Other	1	164	—		6	708	—
Total Residential mortgage	234	25,308	(991	)	277	31,779	(382	)
First-lien home equity:
Interest rate reduction	17	1,501	46		21	2,579	68
Amortization or maturity date change	40	3,269	(64	)	114	10,043	(628	)
Chapter 7 bankruptcy	58	4,609	139		48	2,855	134
Other	—	—	—		—	—	—
Total First-lien home equity	115	9,379	121		183	15,477	(426	)
Junior-lien home equity:
Interest rate reduction	12	510	47		8	349	21
Amortization or maturity date change	316	15,022	(1,954	)	766	34,584	(551	)
Chapter 7 bankruptcy	87	1,102	861		108	1,425	2,245



Other	—	—		—			—	—		—
Total Junior-lien home equity	415	16,634		(1,046		)	882	36,358		1,715
Other consumer:
Interest rate reduction	—	—		—			—	—		—
Amortization or maturity date change	5	559		24			6	128		6
Chapter 7 bankruptcy	7	66		7			5	45		9
Other	—	—		—			—	—		—
Total Other consumer	12	625		31			11	173		15
Total new troubled debt restructurings	2,511	$	371,091	$	(5,416	)	2,957	$	469,287	$	(10,229	)


(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.

Pledged Loans and Leases

At June 30, 2016, the Bank has access to the Federal Reserve’s discount window and advances from the FHLB – Cincinnati. As of June 30, 2016, these borrowings and advances are secured by $18.0 billion of loans and securities.

On March 31, 2015, Huntington completed its acquisition of Macquarie Equipment Finance, which we have re-branded Huntington Technology Finance. Huntington assumed debt associated with two securitizations. As of June 30, 2016, the debt is secured by $106 million of leases held by the trusts.