| Components of other comprehensive income |
The components of other comprehensive income for the three-month and six-month periods ended June 30, 2015 and 2014, were as follows
|
|
Three Months Ended |
|
|
June 30, 2015 |
|
|
Tax (Expense) |
| (dollar amounts in thousands) |
|
Pretax |
|
|
Benefit |
|
|
After-tax |
|
|
|
|
|
|
|
|
|
| Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold |
$ |
13,490 |
|
$ |
(4,770) |
|
$ |
8,720 |
| Unrealized holding gains (losses) on available-for-sale debt securities arising during the period |
|
(52,119) |
|
|
18,374 |
|
|
(33,745) |
| Less: Reclassification adjustment for net losses (gains) included in net income |
|
(120) |
|
|
42 |
|
|
(78) |
| Net change in unrealized holding gains (losses) on available-for-sale debt securities |
|
(38,749) |
|
|
13,646 |
|
|
(25,103) |
|
|
|
|
|
|
|
|
|
| Net change in unrealized holding gains (losses) on available-for-sale equity securities |
|
16 |
|
|
(5) |
|
|
11 |
|
|
|
|
|
|
|
|
|
| Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period |
|
(829) |
|
|
290 |
|
|
(539) |
| Less: Reclassification adjustment for net (gains) losses included in net income |
|
(138) |
|
|
48 |
|
|
(90) |
| Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships |
|
(967) |
|
|
338 |
|
|
(629) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net change in pension and other post-retirement obligations |
|
1,390 |
|
|
(487) |
|
|
903 |
|
|
|
|
|
|
|
|
|
| Total other comprehensive income (loss) |
$ |
(38,310) |
|
$ |
13,492 |
|
$ |
(24,818) |
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
June 30, 2014 |
|
|
Tax (Expense) |
| (dollar amounts in thousands) |
|
Pretax |
|
|
Benefit |
|
|
After-tax |
| Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold |
$ |
1,252 |
|
$ |
(443) |
|
$ |
809 |
| Unrealized holding gains (losses) on available-for-sale debt securities arising during the period |
|
36,437 |
|
|
(13,015) |
|
|
23,422 |
| Less: Reclassification adjustment for net losses (gains) included in net income |
|
(284) |
|
|
100 |
|
|
(184) |
| Net change in unrealized holding gains (losses) on available-for-sale debt securities |
|
37,405 |
|
|
(13,358) |
|
|
24,047 |
|
|
|
|
|
|
|
|
|
| Net change in unrealized holding gains (losses) on available-for-sale equity securities |
|
323 |
|
|
(113) |
|
|
210 |
|
|
|
|
|
|
|
|
|
| Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period |
|
27,253 |
|
|
(9,539) |
|
|
17,714 |
| Less: Reclassification adjustment for net (gains) losses included in net income |
|
(813) |
|
|
285 |
|
|
(528) |
| Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships |
|
26,440 |
|
|
(9,254) |
|
|
17,186 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net change in pension and other post-retirement obligations |
|
888 |
|
|
(311) |
|
|
577 |
|
|
|
|
|
|
|
|
|
| Total other comprehensive income (loss) |
$ |
65,056 |
|
$ |
(23,036) |
|
$ |
42,020 |
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
|
June 30, 2015 |
|
|
|
|
|
Tax (expense) |
| (dollar amounts in thousands) |
|
Pretax |
|
|
Benefit |
|
|
After-tax |
| Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold |
$ |
18,735 |
|
$ |
(6,625) |
|
$ |
12,110 |
| Unrealized holding gains (losses) on available-for-sale debt securities arising during the period |
|
8,384 |
|
|
(3,103) |
|
|
5,281 |
| Less: Reclassification adjustment for net losses (gains) included in net income |
|
(241) |
|
|
84 |
|
|
(157) |
| Net change in unrealized holding gains (losses) on available-for-sale debt securities |
|
26,878 |
|
|
(9,644) |
|
|
17,234 |
|
|
|
|
|
|
|
|
|
| Net change in unrealized holding gains (losses) on available-for-sale equity securities |
|
25 |
|
|
(9) |
|
|
16 |
|
|
|
|
|
|
|
|
|
| Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period |
|
27,317 |
|
|
(9,561) |
|
|
17,756 |
| Less: Reclassification adjustment for net (gains) losses included in net income |
|
(261) |
|
|
91 |
|
|
(170) |
| Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships |
|
27,056 |
|
|
(9,470) |
|
|
17,586 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net change in pension and other post-retirement obligations |
|
2,779 |
|
|
(973) |
|
|
1,806 |
|
|
|
|
|
|
|
|
|
| Total other comprehensive income (loss) |
$ |
56,738 |
|
$ |
(20,096) |
|
$ |
36,642 |
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
|
June 30, 2014 |
|
|
|
|
|
Tax (expense) |
| (dollar amounts in thousands) |
|
Pretax |
|
|
Benefit |
|
|
After-tax |
|
|
|
|
|
|
|
|
|
| Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold |
$ |
8,660 |
|
$ |
(3,062) |
|
$ |
5,598 |
| Unrealized holding gains (losses) on available-for-sale debt securities arising during the period |
|
62,682 |
|
|
(22,347) |
|
|
40,335 |
| Less: Reclassification adjustment for net losses (gains) included in net income |
|
(15,659) |
|
|
5,481 |
|
|
(10,178) |
| Net change in unrealized holding gains (losses) on available-for-sale debt securities |
|
55,683 |
|
|
(19,928) |
|
|
35,755 |
|
|
|
|
|
|
|
|
|
| Net change in unrealized holding gains (losses) on available-for-sale equity securities |
|
376 |
|
|
(132) |
|
|
244 |
|
|
|
|
|
|
|
|
|
| Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period |
|
30,058 |
|
|
(10,521) |
|
|
19,537 |
| Less: Reclassification adjustment for net (gains) losses included in net income |
|
(3,705) |
|
|
1,297 |
|
|
(2,408) |
| Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships |
|
26,353 |
|
|
(9,224) |
|
|
17,129 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net change in pension and other post-retirement obligations |
|
1,776 |
|
|
(622) |
|
|
1,154 |
|
|
|
|
|
|
|
|
|
| Total other comprehensive income (loss) |
$ |
84,188 |
|
$ |
(29,906) |
|
$ |
54,282 |
|
| Activity in accumulated other comprehensive income, net of tax |
The following table presents activity in accumulated other comprehensive income (loss), net of tax, for the six-month periods ended June 30, 2015 and 2014:
| (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 |
| Balance, December 31, 2013 |
$ |
(39,234) |
|
$ |
292 |
|
$ |
(18,844) |
|
$ |
(156,223) |
|
$ |
(214,009) |
|
Other comprehensive income before reclassifications |
|
45,933 |
|
|
244 |
|
|
19,537 |
|
|
--- |
|
|
65,714 |
|
Amounts reclassified from accumulated OCI to earnings |
|
(10,178) |
|
|
--- |
|
|
(2,408) |
|
|
1,154 |
|
|
(11,432) |
| Period change |
|
35,755 |
|
|
244 |
|
|
17,129 |
|
|
1,154 |
|
|
54,282 |
| Balance, June 30, 2014 |
$ |
(3,479) |
|
$ |
536 |
|
$ |
(1,715) |
|
$ |
(155,069) |
|
$ |
(159,727) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Balance, December 31, 2014 |
$ |
15,137 |
|
$ |
484 |
|
$ |
(12,233) |
|
$ |
(225,680) |
|
$ |
(222,292) |
|
Other comprehensive income before reclassifications |
|
17,391 |
|
|
16 |
|
|
17,756 |
|
|
--- |
|
|
35,163 |
|
Amounts reclassified from accumulated OCI to earnings |
|
(157) |
|
|
--- |
|
|
(170) |
|
|
1,806 |
|
|
1,479 |
| Period change |
|
17,234 |
|
|
16 |
|
|
17,586 |
|
|
1,806 |
|
|
36,642 |
| Balance, June 30, 2015 |
$ |
32,371 |
|
$ |
500 |
|
$ |
5,353 |
|
$ |
(223,874) |
|
$ |
(185,650) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Amounts at June 30, 2015 and December 31, 2014 include $1.0 million and $0.8 million, respectively, of net unrealized losses 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. |
|
| Reclassification Out Of Accumulated OCI |
| Reclassifications out of accumulated OCI |
|
|
|
|
|
|
|
|
|
|
|
|
Amounts |
|
Location of net gain (loss) |
|
|
|
reclassified from |
|
reclassified from accumulated |
| Accumulated OCI components |
accumulated OCI |
OCI into earnings |
|
|
|
Three |
|
|
Three |
|
|
|
|
Months Ended |
Months Ended |
|
| (dollar amounts in thousands) |
June 30, 2015 |
June 30, 2014 |
|
|
|
|
|
|
|
|
|
|
| Gains (losses) on debt securities: |
|
|
|
|
|
|
|
|
Amortization of unrealized gains (losses) |
$ |
80 |
|
$ |
163 |
|
Interest income - held-to-maturity securities - taxable |
|
Realized gain (loss) on sale of securities |
|
40 |
|
|
121 |
|
Noninterest income - net gains (losses) on sale of securities |
|
|
|
120 |
|
|
284 |
|
Total before tax |
|
|
|
(42) |
|
|
(100) |
|
Tax (expense) benefit |
|
|
$ |
78 |
|
$ |
184 |
|
Net of tax |
|
|
|
|
|
|
|
|
|
| Gains (losses) on cash flow hedging relationships: |
|
|
|
|
|
|
Interest rate contracts |
$ |
118 |
|
$ |
895 |
|
Interest income - loans and leases |
|
Interest rate contracts |
|
20 |
|
|
(82) |
|
Noninterest income - other income |
|
|
|
138 |
|
|
813 |
|
Total before tax |
|
|
|
(48) |
|
|
(285) |
|
Tax (expense) benefit |
|
|
$ |
90 |
|
$ |
528 |
|
Net of tax |
|
|
|
|
|
|
|
|
|
| Amortization of defined benefit pension and post-retirement items: |
|
|
|
Actuarial gains (losses) |
$ |
(1,390) |
|
$ |
(888) |
|
Noninterest expense - personnel costs |
|
|
|
(1,390) |
|
|
(888) |
|
Total before tax |
|
|
|
487 |
|
|
311 |
|
Tax (expense) benefit |
|
|
$ |
(903) |
|
$ |
(577) |
|
Net of tax |
| Reclassifications out of accumulated OCI |
|
|
|
|
|
|
|
|
|
|
|
|
Amounts |
|
Location of net gain (loss) |
|
|
|
reclassified from |
|
reclassified from accumulated |
| Accumulated OCI components |
accumulated OCI |
OCI into earnings |
|
|
|
Six |
|
|
Six |
|
|
|
|
Months Ended |
Months Ended |
|
| (dollar amounts in thousands) |
June 30, 2015 |
June 30, 2014 |
|
|
|
|
|
|
|
|
|
|
| Gains (losses) on debt securities: |
|
|
|
|
|
|
|
|
Amortization of unrealized gains (losses) |
$ |
201 |
|
$ |
338 |
|
Interest income - held-to-maturity securities - taxable |
|
Realized gain (loss) on sale of securities |
|
40 |
|
|
15,321 |
|
Noninterest income - net gains (losses) on sale of securities |
|
|
|
241 |
|
|
15,659 |
|
Total before tax |
|
|
|
(84) |
|
|
(5,481) |
|
Tax (expense) benefit |
|
|
$ |
157 |
|
$ |
10,178 |
|
Net of tax |
|
|
|
|
|
|
|
|
|
| Gains (losses) on cash flow hedging relationships: |
|
|
|
|
|
|
Interest rate contracts |
$ |
251 |
|
$ |
3,787 |
|
Interest income - loans and leases |
|
Interest rate contracts |
|
10 |
|
|
(82) |
|
Noninterest income - other income |
|
|
|
261 |
|
|
3,705 |
|
Total before tax |
|
|
|
(91) |
|
|
(1,297) |
|
Tax (expense) benefit |
|
|
$ |
170 |
|
$ |
2,408 |
|
Net of tax |
|
|
|
|
|
|
|
|
|
| Amortization of defined benefit pension and post-retirement items: |
|
|
|
Actuarial gains (losses) |
$ |
(2,779) |
|
$ |
(1,776) |
|
Noninterest expense - personnel costs |
|
|
|
(2,779) |
|
|
(1,776) |
|
Total before tax |
|
|
|
973 |
|
|
622 |
|
Tax (expense) benefit |
|
|
$ |
(1,806) |
|
$ |
(1,154) |
|
Net of tax |
|