Maryland
|
|
1-34073
|
|
31-0724920
|
(State or other jurisdiction
of incorporation)
|
|
(Commission
File Number)
|
|
(IRS Employer
Identification No.)
|
Huntington Center
41 South High Street
Columbus, Ohio
|
|
43287
|
(Address of principal executive offices)
|
|
(Zip Code)
|
¨
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
¨
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
¨
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
¨
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Item 2.02.
|
Results of Operations and Financial Condition.
|
Item 9.01.
|
Financial Statements and Exhibits.
|
(d)
|
Exhibits.
|
|
|
|
HUNTINGTON BANCSHARES INCORPORATED
|
||
|
|
|
|
|
|
Date:
|
April 19, 2017
|
|
By:
|
|
/s/ Howell D. McCullough III
|
|
|
|
|
|
Howell D. McCullough III
|
|
|
|
|
|
Chief Financial Officer
|
|
|
|
•
|
Completion of FirstMerit branch conversion and the conversion of the majority of FirstMerit systems
|
•
|
Consolidation of 110 branches (10% of prior quarter-end total branches), including 101 branches related to the FirstMerit conversion
|
•
|
$300 million
, or
40%
, year-over-year increase in fully-taxable equivalent revenue, comprised of a
$230 million
, or
45%
, increase in fully-taxable equivalent net interest income and a
$71 million
, or
29%
,
increase
in noninterest income
|
•
|
Net interest margin of
3.30%
, an increase of
19
basis points from the year-ago quarter
|
•
|
$216 million
, or
44%
, year-over-year
increase
in noninterest expense, including a net increase of $67 million of FirstMerit acquisition-related expense
|
•
|
$16.4 billion
, or
32%
, year-over-year
increase
in average loans and leases, comprised of a
$9.4 billion
, or
36%
,
increase
in commercial loans and a
$6.9 billion
, or
28%
,
increase
in consumer loans
|
•
|
$8.6 billion
, or
57%
, year-over-year increase in average securities, including a net increase of $0.7 billion of direct purchase municipal instruments in our Commercial Banking segment
|
•
|
$20.1 billion
, or
39%
, year-over-year
increase
in average core deposits, driven by a
$9.0 billion
, or
116%
, increase in interest-bearing demand deposits, a
$6.7 billion
, or
126%
,
increase
in savings and other domestic deposits, and a
$5.4 billion
, or
33%
,
increase
in noninterest-bearing demand deposits
|
•
|
Net charge-offs equated to
0.24%
of average loans and leases, representing the twelfth consecutive quarter below the long-term target range of 0.35% to 0.55%
|
•
|
Nonperforming asset ratio of
0.68%
, down from
0.72%
a quarter ago and
1.02%
a year ago
|
•
|
$0.57, or
8%
, year-over-year decrease in tangible book value per common share (TBVPS) to
$6.55
|
|
2017
|
|
2016
|
||||||||||||||||
($ in millions, except per share data)
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
||||||||||
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|||||||||||
Net Income
|
$
|
208
|
|
|
$
|
239
|
|
|
$
|
127
|
|
|
$
|
175
|
|
|
$
|
171
|
|
Diluted earnings per common share
|
0.17
|
|
|
0.20
|
|
|
0.11
|
|
|
0.19
|
|
|
0.20
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Return on average assets
|
0.84
|
%
|
|
0.95
|
%
|
|
0.58
|
%
|
|
0.96
|
%
|
|
0.96
|
%
|
|||||
Return on average common equity
|
8.2
|
|
|
9.4
|
|
|
5.4
|
|
|
9.6
|
|
|
10.4
|
|
|||||
Return on average tangible common equity
|
11.3
|
|
|
12.9
|
|
|
7.0
|
|
|
11.0
|
|
|
11.9
|
|
|||||
Net interest margin
|
3.30
|
|
|
3.25
|
|
|
3.18
|
|
|
3.06
|
|
|
3.11
|
|
|||||
Efficiency ratio
|
65.7
|
|
|
61.6
|
|
|
75.0
|
|
|
66.1
|
|
|
64.6
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Tangible book value per common share
|
$
|
6.55
|
|
|
$
|
6.43
|
|
|
$
|
6.48
|
|
|
$
|
7.29
|
|
|
$
|
7.12
|
|
Cash dividends declared per common share
|
0.08
|
|
|
0.08
|
|
|
0.07
|
|
|
0.07
|
|
|
0.07
|
|
|||||
Average diluted shares outstanding (000’s)
|
1,108,617
|
|
|
1,104,358
|
|
|
952,081
|
|
|
810,371
|
|
|
808,349
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Average earning assets
|
$
|
91,139
|
|
|
$
|
91,463
|
|
|
$
|
79,687
|
|
|
$
|
67,863
|
|
|
$
|
66,234
|
|
Average loans and leases
(1)
|
66,981
|
|
|
66,405
|
|
|
60,722
|
|
|
51,932
|
|
|
50,618
|
|
|||||
Average core deposits
|
71,500
|
|
|
72,070
|
|
|
62,022
|
|
|
51,895
|
|
|
51,363
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Tangible common equity / tangible assets ratio
|
7.28
|
%
|
|
7.16
|
%
|
|
7.14
|
%
|
|
7.96
|
%
|
|
7.89
|
%
|
|||||
Common equity Tier 1 risk-based capital ratio
|
9.67
|
|
|
9.56
|
|
|
9.09
|
|
|
9.80
|
|
|
9.73
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
NCOs as a % of average loans and leases
|
0.24
|
%
|
|
0.26
|
%
|
|
0.26
|
%
|
|
0.13
|
%
|
|
0.07
|
%
|
|||||
NAL ratio
|
0.60
|
|
|
0.63
|
|
|
0.61
|
|
|
0.88
|
|
|
0.97
|
|
|||||
ACL as a % of total loans and leases
|
1.14
|
|
|
1.10
|
|
|
1.06
|
|
|
1.33
|
|
|
1.34
|
|
(1)
|
Excludes loans held for sale
|
(1)
|
Favorable (unfavorable) impact on net income.
|
(2)
|
EPS reflected on a fully diluted basis.
|
|
2017
|
|
2016
|
|
|
|
|
||||||||||||||||||
($ in millions)
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
LQ
|
|
YOY
|
||||||||||||||
Net interest income
|
$
|
730
|
|
|
$
|
735
|
|
|
$
|
625
|
|
|
$
|
506
|
|
|
$
|
503
|
|
|
(1
|
)%
|
|
45
|
%
|
FTE adjustment
|
12
|
|
|
13
|
|
|
11
|
|
|
10
|
|
|
9
|
|
|
(8
|
)
|
|
33
|
|
|||||
Net interest income - FTE
|
742
|
|
|
748
|
|
|
636
|
|
|
516
|
|
|
512
|
|
|
(1
|
)
|
|
45
|
|
|||||
Noninterest income
|
312
|
|
|
334
|
|
|
302
|
|
|
271
|
|
|
242
|
|
|
(7
|
)
|
|
29
|
|
|||||
Total revenue - FTE
|
$
|
1,054
|
|
|
$
|
1,082
|
|
|
$
|
938
|
|
|
$
|
787
|
|
|
$
|
754
|
|
|
(3
|
)%
|
|
40
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change bp
|
|||||||||
Yield / Cost
|
|
|
|
|
|
|
|
|
|
|
LQ
|
|
YOY
|
|||||||
Total earning assets
|
3.70
|
%
|
|
3.60
|
%
|
|
3.52
|
%
|
|
3.41
|
%
|
|
3.44
|
%
|
|
10
|
|
|
26
|
|
Total loans and leases
|
4.07
|
|
|
3.95
|
|
|
3.81
|
|
|
3.63
|
|
|
3.67
|
|
|
12
|
|
|
40
|
|
Total securities
|
2.54
|
|
|
2.58
|
|
|
2.47
|
|
|
2.56
|
|
|
2.56
|
|
|
(4
|
)
|
|
(2
|
)
|
Total interest-bearing liabilities
|
0.54
|
|
|
0.48
|
|
|
0.49
|
|
|
0.50
|
|
|
0.46
|
|
|
6
|
|
|
8
|
|
Total interest-bearing deposits
|
0.26
|
|
|
0.23
|
|
|
0.22
|
|
|
0.23
|
|
|
0.24
|
|
|
3
|
|
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Net interest rate spread
|
3.16
|
|
|
3.12
|
|
|
3.03
|
|
|
2.91
|
|
|
2.98
|
|
|
4
|
|
|
18
|
|
Impact of noninterest-bearing funds on margin
|
0.14
|
|
|
0.13
|
|
|
0.15
|
|
|
0.15
|
|
|
0.13
|
|
|
1
|
|
|
1
|
|
Net interest margin
|
3.30
|
%
|
|
3.25
|
%
|
|
3.18
|
%
|
|
3.06
|
%
|
|
3.11
|
%
|
|
5
|
|
|
19
|
|
|
2017
|
|
2016
|
|
|
|
|
||||||||||||||||||
($ in billions)
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
LQ
|
|
YOY
|
||||||||||||||
Commercial and industrial
|
$
|
27.9
|
|
|
$
|
27.7
|
|
|
$
|
25.0
|
|
|
$
|
21.3
|
|
|
$
|
20.6
|
|
|
1
|
%
|
|
35
|
%
|
Commercial real estate
|
7.4
|
|
|
7.2
|
|
|
6.4
|
|
|
5.2
|
|
|
5.2
|
|
|
2
|
|
|
41
|
|
|||||
Total commercial
|
35.3
|
|
|
34.9
|
|
|
31.3
|
|
|
26.6
|
|
|
25.9
|
|
|
1
|
|
|
36
|
|
|||||
Automobile
|
11.1
|
|
|
10.9
|
|
|
11.4
|
|
|
10.1
|
|
|
9.7
|
|
|
2
|
|
|
14
|
|
|||||
Home equity
|
10.1
|
|
|
10.1
|
|
|
9.3
|
|
|
8.4
|
|
|
8.4
|
|
|
—
|
|
|
19
|
|
|||||
Residential mortgage
|
7.8
|
|
|
7.7
|
|
|
7.0
|
|
|
6.2
|
|
|
6.0
|
|
|
1
|
|
|
29
|
|
|||||
RV and marine finance
|
1.9
|
|
|
1.8
|
|
|
0.9
|
|
|
—
|
|
|
—
|
|
|
2
|
|
|
NM
|
|
|||||
Other consumer
|
0.9
|
|
|
1.0
|
|
|
0.8
|
|
|
0.6
|
|
|
0.6
|
|
|
(4
|
)
|
|
60
|
|
|||||
Total consumer
|
31.7
|
|
|
31.5
|
|
|
29.4
|
|
|
25.4
|
|
|
24.8
|
|
|
1
|
|
|
28
|
|
|||||
Total loans and leases
|
67.0
|
|
|
66.4
|
|
|
60.7
|
|
|
51.9
|
|
|
50.6
|
|
|
1
|
|
|
32
|
|
|||||
Total securities
|
23.6
|
|
|
22.4
|
|
|
18.2
|
|
|
15.3
|
|
|
15.1
|
|
|
5
|
|
|
57
|
|
|||||
Held-for-sale and other earning assets
|
0.5
|
|
|
2.6
|
|
|
0.8
|
|
|
0.7
|
|
|
0.5
|
|
|
(81
|
)
|
|
—
|
|
|||||
Total earning assets
|
$
|
91.1
|
|
|
$
|
91.5
|
|
|
$
|
79.7
|
|
|
$
|
67.9
|
|
|
$
|
66.2
|
|
|
—
|
%
|
|
38
|
%
|
|
2017
|
|
2016
|
|
|
||||||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
($ in billions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
LQ
|
|
YOY
|
||||||||||||
Demand deposits - noninterest-bearing
|
$
|
21.7
|
|
|
$
|
23.2
|
|
|
$
|
20.0
|
|
|
$
|
16.5
|
|
|
$
|
16.3
|
|
|
(7
|
)%
|
|
33
|
%
|
Demand deposits - interest-bearing
|
16.8
|
|
|
15.3
|
|
|
12.4
|
|
|
8.4
|
|
|
7.8
|
|
|
10
|
|
|
116
|
|
|||||
Total demand deposits
|
38.5
|
|
|
38.5
|
|
|
32.4
|
|
|
24.9
|
|
|
24.1
|
|
|
—
|
|
|
60
|
|
|||||
Money market deposits
|
18.7
|
|
|
18.6
|
|
|
18.5
|
|
|
19.5
|
|
|
19.7
|
|
|
—
|
|
|
(5
|
)
|
|||||
Savings and other domestic deposits
|
12.0
|
|
|
12.3
|
|
|
8.9
|
|
|
5.4
|
|
|
5.3
|
|
|
(2
|
)
|
|
126
|
|
|||||
Core certificates of deposit
|
2.3
|
|
|
2.6
|
|
|
2.3
|
|
|
2.0
|
|
|
2.3
|
|
|
(11
|
)
|
|
3
|
|
|||||
Total core deposits
|
71.5
|
|
|
72.0
|
|
|
62.1
|
|
|
51.8
|
|
|
51.4
|
|
|
(1
|
)
|
|
39
|
|
|||||
Other domestic deposits of $250,000 or more
|
0.5
|
|
|
0.4
|
|
|
0.4
|
|
|
0.4
|
|
|
0.5
|
|
|
20
|
|
|
3
|
|
|||||
Brokered deposits and negotiable CDs
|
4.0
|
|
|
4.3
|
|
|
3.9
|
|
|
2.9
|
|
|
2.9
|
|
|
(7
|
)
|
|
37
|
|
|||||
Deposits in foreign offices
|
—
|
|
|
0.2
|
|
|
0.2
|
|
|
0.2
|
|
|
0.3
|
|
|
(100
|
)
|
|
(100
|
)
|
|||||
Total deposits
|
$
|
76.0
|
|
|
$
|
76.9
|
|
|
$
|
66.6
|
|
|
$
|
55.3
|
|
|
$
|
55.1
|
|
|
(1
|
)%
|
|
38
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Short-term borrowings
|
$
|
3.8
|
|
|
$
|
2.6
|
|
|
$
|
1.3
|
|
|
$
|
1.0
|
|
|
$
|
1.1
|
|
|
44
|
%
|
|
231
|
%
|
Long-term debt
|
8.5
|
|
|
8.6
|
|
|
8.5
|
|
|
7.9
|
|
|
7.2
|
|
|
(1
|
)
|
|
18
|
|
|||||
Total debt
|
$
|
12.3
|
|
|
$
|
11.2
|
|
|
$
|
9.8
|
|
|
$
|
8.9
|
|
|
$
|
8.3
|
|
|
10
|
%
|
|
42
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Total interest-bearing liabilities
|
$
|
66.5
|
|
|
$
|
64.9
|
|
|
$
|
56.3
|
|
|
$
|
47.8
|
|
|
$
|
47.0
|
|
|
3
|
%
|
|
42
|
%
|
|
2017
|
|
2016
|
|
|
||||||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
($ in millions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
LQ
|
|
YOY
|
||||||||||||
Service charges on deposit accounts
|
$
|
83
|
|
|
$
|
92
|
|
|
$
|
87
|
|
|
$
|
76
|
|
|
$
|
70
|
|
|
(9
|
)%
|
|
19
|
%
|
Cards and payment processing income
|
47
|
|
|
49
|
|
|
44
|
|
|
39
|
|
|
36
|
|
|
(4
|
)
|
|
29
|
|
|||||
Mortgage banking income
|
32
|
|
|
38
|
|
|
41
|
|
|
32
|
|
|
19
|
|
|
(16
|
)
|
|
71
|
|
|||||
Trust and investment management services
|
34
|
|
|
34
|
|
|
29
|
|
|
22
|
|
|
23
|
|
|
—
|
|
|
48
|
|
|||||
Insurance income
|
15
|
|
|
16
|
|
|
16
|
|
|
16
|
|
|
16
|
|
|
(7
|
)
|
|
(6
|
)
|
|||||
Brokerage income
|
16
|
|
|
17
|
|
|
15
|
|
|
15
|
|
|
16
|
|
|
(7
|
)
|
|
2
|
|
|||||
Capital markets fees
|
14
|
|
|
19
|
|
|
15
|
|
|
13
|
|
|
13
|
|
|
(24
|
)
|
|
9
|
|
|||||
Bank owned life insurance income
|
18
|
|
|
17
|
|
|
14
|
|
|
13
|
|
|
14
|
|
|
3
|
|
|
30
|
|
|||||
Gain on sale of loans
|
13
|
|
|
25
|
|
|
8
|
|
|
9
|
|
|
5
|
|
|
(49
|
)
|
|
138
|
|
|||||
Securities gains (losses)
|
—
|
|
|
(2
|
)
|
|
1
|
|
|
1
|
|
|
—
|
|
|
(100
|
)
|
|
NM
|
|
|||||
Other income
|
41
|
|
|
30
|
|
|
33
|
|
|
36
|
|
|
30
|
|
|
38
|
|
|
35
|
|
|||||
Total noninterest income
|
$
|
312
|
|
|
$
|
334
|
|
|
$
|
302
|
|
|
$
|
271
|
|
|
$
|
242
|
|
|
(7
|
)%
|
|
29
|
%
|
|
2017
|
|
2016
|
|
||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
||||||||||
($ in millions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
||||||||||
Service charges on deposit accounts
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
Cards and payment processing income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Mortgage banking income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Trust and investment management services
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Insurance income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Brokerage income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Capital markets fees
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Bank owned life insurance income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Gain on sale of loans
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Securities gains (losses)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Other income
|
2
|
|
|
(1
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|||||
Total noninterest income
|
$
|
2
|
|
|
$
|
(1
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
2017
|
|
2016
|
|
|
||||||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
($ in millions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
LQ
|
|
YOY
|
||||||||||||
Service charges on deposit accounts
|
$
|
83
|
|
|
$
|
92
|
|
|
$
|
87
|
|
|
$
|
76
|
|
|
$
|
70
|
|
|
(9
|
)%
|
|
19
|
%
|
Cards and payment processing income
|
47
|
|
|
49
|
|
|
44
|
|
|
39
|
|
|
36
|
|
|
(4
|
)
|
|
29
|
|
|||||
Mortgage banking income
|
32
|
|
|
38
|
|
|
41
|
|
|
32
|
|
|
19
|
|
|
(16
|
)
|
|
71
|
|
|||||
Trust and investment management services
|
34
|
|
|
34
|
|
|
29
|
|
|
22
|
|
|
23
|
|
|
—
|
|
|
48
|
|
|||||
Insurance income
|
15
|
|
|
16
|
|
|
16
|
|
|
16
|
|
|
16
|
|
|
(7
|
)
|
|
(6
|
)
|
|||||
Brokerage income
|
16
|
|
|
17
|
|
|
15
|
|
|
15
|
|
|
16
|
|
|
(7
|
)
|
|
2
|
|
|||||
Capital markets fees
|
14
|
|
|
19
|
|
|
15
|
|
|
13
|
|
|
13
|
|
|
(24
|
)
|
|
9
|
|
|||||
Bank owned life insurance income
|
18
|
|
|
17
|
|
|
14
|
|
|
13
|
|
|
14
|
|
|
3
|
|
|
30
|
|
|||||
Gain on sale of loans
|
13
|
|
|
25
|
|
|
8
|
|
|
9
|
|
|
5
|
|
|
(49
|
)
|
|
138
|
|
|||||
Securities gains (losses)
|
—
|
|
|
(2
|
)
|
|
1
|
|
|
1
|
|
|
—
|
|
|
(100
|
)
|
|
—
|
|
|||||
Other income
|
39
|
|
|
31
|
|
|
33
|
|
|
36
|
|
|
30
|
|
|
26
|
|
|
30
|
|
|||||
Total noninterest income
|
$
|
310
|
|
|
$
|
335
|
|
|
$
|
302
|
|
|
$
|
271
|
|
|
$
|
242
|
|
|
(7
|
)%
|
|
28
|
%
|
|
2017
|
|
2016
|
|
|
||||||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
($ in millions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
LQ
|
|
YOY
|
||||||||||||
Personnel costs
|
$
|
382
|
|
|
$
|
360
|
|
|
$
|
405
|
|
|
$
|
299
|
|
|
$
|
285
|
|
|
6
|
%
|
|
34
|
%
|
Outside data processing and other services
|
87
|
|
|
89
|
|
|
91
|
|
|
63
|
|
|
62
|
|
|
(2
|
)
|
|
41
|
|
|||||
Equipment
|
47
|
|
|
60
|
|
|
41
|
|
|
32
|
|
|
33
|
|
|
(22
|
)
|
|
43
|
|
|||||
Net occupancy
|
68
|
|
|
49
|
|
|
41
|
|
|
31
|
|
|
31
|
|
|
37
|
|
|
115
|
|
|||||
Professional services
|
18
|
|
|
23
|
|
|
47
|
|
|
21
|
|
|
14
|
|
|
(21
|
)
|
|
35
|
|
|||||
Marketing
|
14
|
|
|
21
|
|
|
14
|
|
|
15
|
|
|
12
|
|
|
(35
|
)
|
|
13
|
|
|||||
Deposit and other insurance expense
|
20
|
|
|
16
|
|
|
15
|
|
|
12
|
|
|
11
|
|
|
27
|
|
|
79
|
|
|||||
Amortization of intangibles
|
14
|
|
|
14
|
|
|
9
|
|
|
4
|
|
|
4
|
|
|
2
|
|
|
287
|
|
|||||
Other expense
|
57
|
|
|
49
|
|
|
48
|
|
|
47
|
|
|
39
|
|
|
16
|
|
|
46
|
|
|||||
Total noninterest expense
|
$
|
707
|
|
|
$
|
681
|
|
|
$
|
712
|
|
|
$
|
524
|
|
|
$
|
491
|
|
|
4
|
%
|
|
44
|
%
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Number of employees (Average full-time equivalent)
|
16.3
|
|
|
16.0
|
|
|
14.5
|
|
|
12.4
|
|
|
12.4
|
|
|
2
|
%
|
|
31
|
%
|
|
2017
|
|
2016
|
||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
||||||||||
($ in millions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
||||||||||
Personnel costs
|
$
|
20
|
|
|
$
|
(5
|
)
|
|
$
|
76
|
|
|
$
|
5
|
|
|
$
|
—
|
|
Outside data processing and other services
|
14
|
|
|
15
|
|
|
28
|
|
|
3
|
|
|
—
|
|
|||||
Equipment
|
6
|
|
|
20
|
|
|
5
|
|
|
—
|
|
|
—
|
|
|||||
Net occupancy
|
23
|
|
|
7
|
|
|
7
|
|
|
—
|
|
|
—
|
|
|||||
Professional services
|
4
|
|
|
9
|
|
|
34
|
|
|
11
|
|
|
4
|
|
|||||
Marketing
|
1
|
|
|
4
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|||||
Deposit and other insurance expense
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Amortization of intangibles
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Other expense
|
5
|
|
|
3
|
|
|
8
|
|
|
2
|
|
|
1
|
|
|||||
Total noninterest expense
|
$
|
73
|
|
|
$
|
53
|
|
|
$
|
159
|
|
|
$
|
21
|
|
|
$
|
6
|
|
|
2017
|
|
2016
|
|
|
||||||||||||||||||||
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Change (%)
|
||||||||||||||
($ in millions)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
LQ
|
|
YOY
|
||||||||||||
Personnel costs
|
$
|
362
|
|
|
$
|
365
|
|
|
$
|
329
|
|
|
$
|
294
|
|
|
$
|
285
|
|
|
(1
|
)%
|
|
27
|
%
|
Outside data processing and other services
|
73
|
|
|
73
|
|
|
63
|
|
|
60
|
|
|
62
|
|
|
—
|
|
|
18
|
|
|||||
Equipment
|
41
|
|
|
40
|
|
|
36
|
|
|
32
|
|
|
33
|
|
|
3
|
|
|
24
|
|
|||||
Net occupancy
|
44
|
|
|
42
|
|
|
34
|
|
|
30
|
|
|
31
|
|
|
5
|
|
|
42
|
|
|||||
Professional services
|
14
|
|
|
14
|
|
|
13
|
|
|
11
|
|
|
9
|
|
|
—
|
|
|
56
|
|
|||||
Marketing
|
13
|
|
|
17
|
|
|
14
|
|
|
15
|
|
|
12
|
|
|
(24
|
)
|
|
8
|
|
|||||
Deposit and other insurance expense
|
20
|
|
|
16
|
|
|
15
|
|
|
12
|
|
|
11
|
|
|
27
|
|
|
79
|
|
|||||
Amortization of intangibles
|
14
|
|
|
14
|
|
|
9
|
|
|
4
|
|
|
4
|
|
|
2
|
|
|
287
|
|
|||||
Other expense
|
52
|
|
|
47
|
|
|
40
|
|
|
46
|
|
|
38
|
|
|
11
|
|
|
37
|
|
|||||
Total noninterest expense
|
$
|
634
|
|
|
$
|
628
|
|
|
$
|
553
|
|
|
$
|
503
|
|
|
$
|
485
|
|
|
1
|
%
|
|
31
|
%
|
|
2017
|
|
2016
|
||||||||||||||||
($ in millions)
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||||
Total nonaccrual loans and leases
|
$
|
401
|
|
|
$
|
423
|
|
|
$
|
404
|
|
|
$
|
461
|
|
|
$
|
499
|
|
Total other real estate
|
50
|
|
|
51
|
|
|
71
|
|
|
29
|
|
|
26
|
|
|||||
Other NPAs
(1)
|
7
|
|
|
7
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total nonperforming assets
|
458
|
|
|
481
|
|
|
475
|
|
|
490
|
|
|
525
|
|
|||||
Accruing loans and leases past due 90 days or more
|
128
|
|
|
129
|
|
|
135
|
|
|
99
|
|
|
106
|
|
|||||
NPAs + accruing loans and lease past due 90 days or more
|
$
|
586
|
|
|
$
|
610
|
|
|
$
|
610
|
|
|
$
|
589
|
|
|
$
|
631
|
|
NAL ratio
(2)
|
0.60
|
%
|
|
0.63
|
%
|
|
0.61
|
%
|
|
0.88
|
%
|
|
0.97
|
%
|
|||||
NPA ratio
(3)
|
0.68
|
|
|
0.72
|
|
|
0.72
|
|
|
0.93
|
|
|
1.02
|
|
|||||
(NPAs+90 days)/(Loans+OREO)
|
0.87
|
|
|
0.91
|
|
|
0.92
|
|
|
1.12
|
|
|
1.22
|
|
|||||
Provision for credit losses
|
$
|
68
|
|
|
$
|
75
|
|
|
$
|
64
|
|
|
$
|
25
|
|
|
$
|
28
|
|
Net charge-offs
|
39
|
|
|
44
|
|
|
40
|
|
|
17
|
|
|
9
|
|
|||||
Net charge-offs / Average total loans
|
0.24
|
%
|
|
0.26
|
%
|
|
0.26
|
%
|
|
0.13
|
%
|
|
0.07
|
%
|
|||||
Allowance for loans and lease losses
|
$
|
673
|
|
|
$
|
638
|
|
|
$
|
617
|
|
|
$
|
623
|
|
|
$
|
614
|
|
Allowance for unfunded loan commitments and letters of credit
|
92
|
|
|
98
|
|
|
88
|
|
|
74
|
|
|
75
|
|
|||||
Allowance for credit losses (ACL)
|
$
|
765
|
|
|
$
|
736
|
|
|
$
|
705
|
|
|
$
|
697
|
|
|
$
|
689
|
|
ACL as a % of:
|
|
|
|
|
|
|
|
|
|
||||||||||
Total loans and leases
|
1.14
|
%
|
|
1.10
|
%
|
|
1.06
|
%
|
|
1.33
|
%
|
|
1.34
|
%
|
|||||
NALs
|
190
|
|
|
174
|
|
|
174
|
|
|
151
|
|
|
138
|
|
|||||
NPAs
|
167
|
|
|
153
|
|
|
148
|
|
|
142
|
|
|
131
|
|
(1)
|
Other nonperforming assets include certain impaired investment securities.
|
(2)
|
Total NALs as a % of total loans and leases.
|
(3)
|
Total NPAs as a % of sum of loans and leases and other real estate.
|
|
|
2017
|
|
2016
|
||||||||||||||||
($ in millions)
|
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||||
Tangible common equity / tangible assets ratio
|
|
7.28
|
%
|
|
7.16
|
%
|
|
7.14
|
%
|
|
7.96
|
%
|
|
7.89
|
%
|
|||||
Common equity tier 1 risk-based capital ratio
(1)
|
|
9.67
|
%
|
|
9.56
|
%
|
|
9.09
|
%
|
|
9.80
|
%
|
|
9.73
|
%
|
|||||
Regulatory Tier 1 risk-based capital ratio
(1)
|
|
11.04
|
%
|
|
10.92
|
%
|
|
10.40
|
%
|
|
11.37
|
%
|
|
10.99
|
%
|
|||||
Regulatory Total risk-based capital ratio
(1)
|
|
13.15
|
%
|
|
13.05
|
%
|
|
12.56
|
%
|
|
13.49
|
%
|
|
13.17
|
%
|
|||||
Total risk-weighted assets
(1)
|
|
$
|
78,082
|
|
|
$
|
78,263
|
|
|
$
|
80,513
|
|
|
$
|
60,721
|
|
|
$
|
59,798
|
|
(1)
|
Figures are estimated and are presented on a Basel III standardized approach basis.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
•
|
Tangible common equity to tangible assets, and
|
•
|
Tangible common equity to risk-weighted assets using Basel III definition.
|
|
Three months ended
|
|
|
|
|
|
||||||||||||
|
March 31,
|
|
December 31,
|
|
March 31,
|
|
|
Percent Changes vs.
|
||||||||||
(amounts in thousands, except per share amounts and as noted)
|
2017
|
|
2016
|
|
2016
|
|
|
4Q16
|
|
1Q16
|
||||||||
Net interest income (3)
|
$
|
742,033
|
|
|
$
|
747,541
|
|
|
$
|
512,225
|
|
|
|
(1
|
)%
|
|
45
|
%
|
FTE adjustment
|
(12,058
|
)
|
|
(12,560
|
)
|
|
(9,159
|
)
|
|
|
(4
|
)
|
|
32
|
|
|||
Net interest income
|
729,975
|
|
|
734,981
|
|
|
503,066
|
|
|
|
(1
|
)
|
|
45
|
|
|||
Provision for credit losses
|
67,638
|
|
|
74,906
|
|
|
27,582
|
|
|
|
(10
|
)
|
|
145
|
|
|||
Noninterest income
|
312,463
|
|
|
334,337
|
|
|
241,867
|
|
|
|
(7
|
)
|
|
29
|
|
|||
Noninterest expense
|
707,422
|
|
|
681,497
|
|
|
491,080
|
|
|
|
4
|
|
|
44
|
|
|||
Income before income taxes
|
267,378
|
|
|
312,915
|
|
|
226,271
|
|
|
|
(15
|
)
|
|
18
|
|
|||
Provision for income taxes
|
59,284
|
|
|
73,952
|
|
|
54,957
|
|
|
|
(20
|
)
|
|
8
|
|
|||
Net income
|
208,094
|
|
|
238,963
|
|
|
171,314
|
|
|
|
(13
|
)
|
|
21
|
|
|||
Dividends on preferred shares
|
18,878
|
|
|
18,865
|
|
|
7,998
|
|
|
|
—
|
|
|
—
|
|
|||
Net income applicable to common shares
|
$
|
189,216
|
|
|
$
|
220,098
|
|
|
$
|
163,316
|
|
|
|
(14
|
)%
|
|
16
|
%
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net income per common share - diluted
|
$
|
0.17
|
|
|
$
|
0.20
|
|
|
$
|
0.20
|
|
|
|
(15
|
)%
|
|
(15
|
)%
|
Cash dividends declared per common share
|
0.08
|
|
|
0.08
|
|
|
0.07
|
|
|
|
—
|
|
|
14
|
|
|||
Tangible book value per common share at end of period
|
6.55
|
|
|
6.43
|
|
|
7.12
|
|
|
|
2
|
|
|
(8
|
)
|
|||
Average common shares - basic
|
1,086,374
|
|
|
1,085,253
|
|
|
795,755
|
|
|
|
—
|
|
|
37
|
|
|||
Average common shares - diluted
|
1,108,617
|
|
|
1,104,358
|
|
|