☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TN | 62-0803242 | ||||||||||
(State or other jurisdiction incorporation of organization) | (IRS Employer Identification No.) | ||||||||||
Tennessee | 38103 | ||||||||||
(Address of principal executive office) | (Zip Code) |
Title of Each Class | Trading Symbol(s) | Name of Exchange on which Registered | ||||||
$.625 Par Value Common Capital Stock | FHN | New York Stock Exchange LLC | ||||||
Depositary Shares, each representing a 1/4,000th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series A* | FHN PR A* | New York Stock Exchange LLC | ||||||
Depositary Shares, each representing a 1/400th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series B | FHN PR B | New York Stock Exchange LLC | ||||||
Depositary Shares, each representing a 1/400th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series C | FHN PR C | New York Stock Exchange LLC | ||||||
Depositary Shares, each representing a 1/400th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series D | FHN PR D | New York Stock Exchange LLC | ||||||
Depositary Shares, each representing a 1/4,000th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series E | FHN PR E | New York Stock Exchange LLC | ||||||
Depositary Shares, each representing a 1/4,000th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series F | FHN PR F | New York Stock Exchange LLC | ||||||
Large | ☒ | Accelerated filer | ☐ | Non-accelerated filer | ☐ | |||||||||||||||||||||
Smaller reporting company | ☐ | Emerging Growth Company | ☐ |
Class | Outstanding on | |||||||
Common Stock, $.625 par value |
Glossary of Acronyms and Terms | ||||||||||||||
ACL | Allowance for credit losses | ||||
ADR | Average daily revenue | ||||
AFS | Available for sale | ||||
AIR | Accrued interest receivable | ||||
ALCO | Asset/Liability Committee | ||||
ALLL | Allowance for loan and lease losses | ||||
ALM | Asset/liability management | ||||
AMERIBOR | American Interbank Offered Rate | ||||
AOCI | Accumulated other comprehensive income | ||||
ARRC | Alternative Reference Rates Committee | ||||
ASC | FASB Accounting Standards Codification | ||||
Associate | Person employed by FHN | ||||
ASU | Accounting Standards Update | ||||
Bank | First Horizon Bank | ||||
BOLI | Bank-owned life insurance | ||||
BSBY | Bloomberg short-term bank yield index | ||||
C&I | Commercial, financial, and industrial loan portfolio | ||||
CARES Act | Coronavirus Aid, Relief, and Economic Security Act | ||||
CBF | Capital Bank Financial | ||||
CCAR | Comprehensive Capital Analysis and Review | ||||
CD | Certificate of deposit | ||||
CECL | Current expected credit loss | ||||
CEO | Chief Executive Officer | ||||
CFPB | Consumer Financial Protection Bureau | ||||
CMO | Collateralized mortgage obligations | ||||
Company | First Horizon Corporation | ||||
Corporation | First Horizon Corporation | ||||
CRA | Community Reinvestment Act | ||||
CRE | Commercial Real Estate loan portfolio | ||||
CRMC | Credit Risk Management Committee | ||||
DSCR | Debt service coverage ratios | ||||
DTA | Deferred tax asset | ||||
DTL | Deferred tax liability | ||||
EPS | Earnings per share | ||||
ESOP | Employee stock ownership plan | ||||
FASB | Financial Accounting Standards Board |
FDIC | Federal Deposit Insurance Corporation | ||||
Federal Reserve | Federal Reserve Board | ||||
FFP | Federal funds purchased | ||||
FFS | Federal funds sold | ||||
FHA | Federal Housing Administration | ||||
FHLB | Federal Home Loan Bank | ||||
FHLMC / Freddie Mac | Federal Home Loan Mortgage Corporation | ||||
FHN | First Horizon Corporation | ||||
FHNF | FHN Financial; FHN's fixed income division | ||||
FICO | Fair Isaac Corporation | ||||
FINRA | Financial Industry Regulatory Authority | ||||
FNMA / Fannie Mae | Federal National Mortgage Association | ||||
First Horizon | First Horizon Corporation | ||||
FRB | Federal Reserve Bank or the Federal Reserve Board | ||||
FTBNA | First Tennessee Bank National Association (former name of the Bank) | ||||
FTE | Fully taxable equivalent | ||||
FTHC | First Tennessee Housing Corporation | ||||
FTNF | FTN Financial (former name of FHNF) | ||||
FTNMC | First Tennessee New Markets Corporation | ||||
FTRESC | FT Real Estate Securities Company, Inc. | ||||
GAAP | Generally accepted accounting principles (U.S.) | ||||
GNMA | Government National Mortgage Association or Ginnie Mae | ||||
GSE | Government sponsored enterprises, in this report references Fannie Mae and Freddie Mac | ||||
HELOC | Home equity line of credit | ||||
HFS | Held for Sale | ||||
HTM | Held to maturity | ||||
HUD | Department of Housing and Urban Development | ||||
IBKC | IBERIABANK Corporation | ||||
IBKC merger | FHN's merger of equals with IBKC that closed July 2020 | ||||
ISDA | International Swap and Derivatives Association |
FIRST HORIZON CORPORATION | 1 | 2Q21 FORM 10-Q REPORT |
IRS | Internal Revenue Service | ||||
LGD | Loss given default | ||||
LIBOR | London Inter-Bank Offered Rate | ||||
LIHTC | Low Income Housing Tax Credit | ||||
LLC | Limited Liability Company | ||||
LMC | Loans to mortgage companies | ||||
LOCOM | Lower of cost or market | ||||
LRRD | Loan Rehab and Recovery Department | ||||
LTV | Loan-to-value | ||||
MBS | Mortgage-backed securities | ||||
MD&A | Management’s Discussion and Analysis of Financial Condition and Results of Operations | ||||
MSR | Mortgage servicing rights | ||||
MSRB | Municipal Securities Rulemaking Board | ||||
NAICS | North American Industry Classification System | ||||
NII | Net interest income | ||||
NIM | Net interest margin | ||||
NM | Not meaningful | ||||
NMTC | New Market Tax Credit | ||||
NOL | Net operating loss | ||||
NPA | Nonperforming asset | ||||
Non-PCD | Non-Purchased Credit Deteriorated Financial Assets | ||||
NPL | Nonperforming loan | ||||
NSF | Non-sufficient funds | ||||
OCC | Office of the Comptroller of the Currency | ||||
OIS | Overnight indexed swap | ||||
OREO | Other Real Estate Owned | ||||
OTC | One-time close, a mortgage product which allowed simplified conversion of a construction loan to permanent financing | ||||
OTTI | Other than temporary impairment | ||||
PCAOB | Public Company Accounting Oversight Board | ||||
PCD | Purchased Credit Deteriorated Financial Assets | ||||
PCI | Purchased credit impaired | ||||
PD | Probability of default | ||||
PM | Portfolio managers | ||||
PPP | Paycheck Protection Program | ||||
PSU | Performance Stock Unit | ||||
RE | Real estate | ||||
RM | Relationship managers | ||||
ROA | Return on assets |
ROCE | Return on average common shareholders' equity | ||||||||||
ROTCE | Return on tangible common equity | ||||||||||
RPL | Reasonably Possible Loss | ||||||||||
RSU | Restricted stock unit | ||||||||||
RULC | Reserve for unfunded lending commitments | ||||||||||
RWA | Risk-weighted assets | ||||||||||
SBA | Small Business Administration | ||||||||||
SEC | Securities and Exchange Commission | ||||||||||
SOFR | Secure Overnight Funding Rate | ||||||||||
SVaR | Stressed Value-at-Risk | ||||||||||
TA | Tangible assets | ||||||||||
TCE | Tangible common equity | ||||||||||
TDR | Troubled Debt Restructuring | ||||||||||
TRUP | Trust preferred loan | ||||||||||
UPB | Unpaid principal balance | ||||||||||
USDA | United States Department of Agriculture | ||||||||||
VaR | Value-at-Risk | ||||||||||
VIE | Variable Interest Entities | ||||||||||
we / us / our | First Horizon Corporation |
FIRST HORIZON CORPORATION | 2 | 2Q21 FORM 10-Q REPORT |
Forward-Looking Statements | ||||||||||||||
FIRST HORIZON CORPORATION | 3 | 2Q21 FORM 10-Q REPORT |
Non-GAAP Information | ||||||||||||||
FIRST HORIZON CORPORATION | 4 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 5 | 2Q21 FORM 10-Q REPORT |
First Horizon National Corporation | ||||||||
(Unaudited) | December 31 | |||||||
September 30 | ||||||||
(Dollars in thousands, except per share amounts) | 2017 | 2016 | ||||||
Assets: | ||||||||
Cash and due from banks | $ | 347,802 | $ | 373,274 | ||||
Federal funds sold | 76,316 | 50,838 | ||||||
Securities purchased under agreements to resell (Note 15) | 663,637 | 613,682 | ||||||
Total cash and cash equivalents | 1,087,755 | 1,037,794 | ||||||
Interest-bearing cash | 604,326 | 1,060,034 | ||||||
Trading securities | 1,469,402 | 897,071 | ||||||
Loans held-for-sale (a) | 339,780 | 111,248 | ||||||
Securities available-for-sale (Note 3) | 3,963,138 | 3,943,499 | ||||||
Securities held-to-maturity (Note 3) | 10,000 | 14,347 | ||||||
Loans, net of unearned income (Note 4) (b) | 20,166,091 | 19,589,520 | ||||||
Less: Allowance for loan losses (Note 5) | 194,867 | 202,068 | ||||||
Total net loans | 19,971,224 | 19,387,452 | ||||||
Goodwill (Note 6) | 236,335 | 191,371 | ||||||
Other intangible assets, net (Note 6) | 43,157 | 21,017 | ||||||
Fixed income receivables | 68,750 | 57,411 | ||||||
Premises and equipment, net (September 30, 2017 and December 31, 2016 include $4.3 million and $5.8 million, respectively, classified as held-for-sale) | 293,393 | 289,385 | ||||||
Other real estate owned (“OREO”) (c) | 12,522 | 16,237 | ||||||
Derivative assets (Note 14) | 80,976 | 121,654 | ||||||
Other assets | 1,441,878 | 1,406,711 | ||||||
Total assets | $ | 29,622,636 | $ | 28,555,231 | ||||
Liabilities and equity: | ||||||||
Deposits: | ||||||||
Savings | $ | 8,592,315 | $ | 9,428,197 | ||||
Time deposits | 1,112,098 | 1,355,133 | ||||||
Other interest-bearing deposits | 5,909,596 | 5,948,439 | ||||||
Interest-bearing | 15,614,009 | 16,731,769 | ||||||
Noninterest-bearing | 6,485,245 | 5,940,594 | ||||||
Total deposits | 22,099,254 | 22,672,363 | ||||||
Federal funds purchased | 292,650 | 414,207 | ||||||
Securities sold under agreements to repurchase (Note 15) | 516,867 | 453,053 | ||||||
Trading liabilities | 579,028 | 561,848 | ||||||
Other short-term borrowings | 1,637,419 | 83,177 | ||||||
Term borrowings | 1,059,507 | 1,040,656 | ||||||
Fixed income payables | 44,304 | 21,002 | ||||||
Derivative liabilities (Note 14) | 83,146 | 135,897 | ||||||
Other liabilities | 426,910 | 467,944 | ||||||
Total liabilities | $ | 26,739,085 | $ | 25,850,147 | ||||
Equity: | ||||||||
First Horizon National Corporation Shareholders’ Equity: | ||||||||
Preferred stock - Series A, non-cumulative perpetual, no par value, liquidation preference of $100,000 per share - (shares authorized - 1,000; shares issued - 1,000 on September 30, 2017 and December 31, 2016) | 95,624 | 95,624 | ||||||
Common stock - $.625 par value (shares authorized - 400,000,000; shares issued - 234,230,515 on September 30, 2017 and 233,623,686 on December 31, 2016) | 146,395 | 146,015 | ||||||
Capital surplus | 1,401,359 | 1,386,636 | ||||||
Undivided profits | 1,177,126 | 1,029,032 | ||||||
Accumulated other comprehensive loss, net (Note 8) | (232,384 | ) | (247,654 | ) | ||||
Total First Horizon National Corporation Shareholders’ Equity | 2,588,120 | 2,409,653 | ||||||
Noncontrolling interest | 295,431 | 295,431 | ||||||
Total equity | 2,883,551 | 2,705,084 | ||||||
Total liabilities and equity | $ | 29,622,636 | $ | 28,555,231 |
(Unaudited) | December 31, | |||||||||||||
June 30, | ||||||||||||||
(Dollars in millions, except per share amounts) | 2021 | 2020 | ||||||||||||
Assets | ||||||||||||||
Cash and due from banks | $ | 1,303 | $ | 1,203 | ||||||||||
Interest-bearing deposits with banks | 13,451 | 8,351 | ||||||||||||
Federal funds sold and securities purchased under agreements to resell | 622 | 445 | ||||||||||||
Trading securities | 1,035 | 1,176 | ||||||||||||
Securities available for sale at fair value | 8,388 | 8,047 | ||||||||||||
Loans held for sale (including $377 and $405 at fair value, respectively) | 977 | 1,022 | ||||||||||||
Loans and leases (including $0 and $16 at fair value, respectively) | 56,687 | 58,232 | ||||||||||||
Allowance for loan and lease losses | (815) | (963) | ||||||||||||
Net loans and leases | 55,872 | 57,269 | ||||||||||||
Premises and equipment | 714 | 759 | ||||||||||||
Goodwill | 1,511 | 1,511 | ||||||||||||
Other intangible assets | 325 | 354 | ||||||||||||
Other assets | 3,710 | 4,072 | ||||||||||||
Total assets | $ | 87,908 | $ | 84,209 | ||||||||||
Liabilities | ||||||||||||||
Noninterest-bearing deposits | $ | 25,833 | $ | 22,173 | ||||||||||
Interest-bearing deposits | 47,447 | 47,809 | ||||||||||||
Total deposits | 73,280 | 69,982 | ||||||||||||
Trading liabilities | 531 | 353 | ||||||||||||
Short-term borrowings | 2,246 | 2,198 | ||||||||||||
Term borrowings | 1,672 | 1,670 | ||||||||||||
Other liabilities | 1,614 | 1,699 | ||||||||||||
Total liabilities | 79,343 | 75,902 | ||||||||||||
Equity | ||||||||||||||
Preferred stock, Non-cumulative perpetual, no par value; authorized 5,000,000 shares; issued 26,750 and 26,250 shares, respectively | 520 | 470 | ||||||||||||
Common stock, $0.625 par value; authorized 700,000,000 shares; issued 550,865,126 and 555,030,652 shares, respectively | 344 | 347 | ||||||||||||
Capital surplus | 4,997 | 5,074 | ||||||||||||
Retained earnings | 2,612 | 2,261 | ||||||||||||
Accumulated other comprehensive loss, net | (203) | (140) | ||||||||||||
FHN shareholders' equity | 8,270 | 8,012 | ||||||||||||
Noncontrolling interest | 295 | 295 | ||||||||||||
Total equity | 8,565 | 8,307 | ||||||||||||
Total liabilities and equity | $ | 87,908 | $ | 84,209 |
2Q21 FORM 10-Q REPORT |
First Horizon National Corporation | ||||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars and shares in thousands except per share data, unless otherwise noted) (Unaudited) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Interest income: | ||||||||||||||||
Interest and fees on loans | $ | 205,220 | $ | 174,039 | $ | 578,264 | $ | 495,516 | ||||||||
Interest on investment securities available-for-sale | 25,575 | 23,655 | 76,867 | 72,082 | ||||||||||||
Interest on investment securities held-to-maturity | 131 | 197 | 460 | 592 | ||||||||||||
Interest on loans held-for-sale | 6,123 | 1,445 | 10,916 | 3,904 | ||||||||||||
Interest on trading securities | 8,262 | 6,793 | 24,033 | 22,564 | ||||||||||||
Interest on other earning assets | 2,834 | 843 | 11,757 | 3,354 | ||||||||||||
Total interest income | 248,145 | 206,972 | 702,297 | 598,012 | ||||||||||||
Interest expense: | ||||||||||||||||
Interest on deposits: | ||||||||||||||||
Savings | 10,920 | 4,939 | 31,324 | 13,275 | ||||||||||||
Time deposits | 2,591 | 2,496 | 8,342 | 7,293 | ||||||||||||
Other interest-bearing deposits | 6,759 | 2,592 | 15,976 | 7,422 | ||||||||||||
Interest on trading liabilities | 3,298 | 3,331 | 11,282 | 11,152 | ||||||||||||
Interest on short-term borrowings | 4,998 | 1,254 | 9,293 | 3,585 | ||||||||||||
Interest on term borrowings | 9,762 | 7,165 | 25,854 | 21,752 | ||||||||||||
Total interest expense | 38,328 | 21,777 | 102,071 | 64,479 | ||||||||||||
Net interest income | 209,817 | 185,195 | 600,226 | 533,533 | ||||||||||||
Provision/(provision credit) for loan losses | — | 4,000 | (3,000 | ) | 11,000 | |||||||||||
Net interest income after provision/(provision credit) for loan losses | 209,817 | 181,195 | 603,226 | 522,533 | ||||||||||||
Noninterest income: | ||||||||||||||||
Fixed income | 55,758 | 71,748 | 161,546 | 216,638 | ||||||||||||
Deposit transactions and cash management | 28,011 | 27,221 | 80,434 | 81,049 | ||||||||||||
Brokerage, management fees and commissions | 11,937 | 10,828 | 35,872 | 31,908 | ||||||||||||
Trust services and investment management | 6,953 | 6,885 | 21,304 | 20,674 | ||||||||||||
Bankcard income | 6,170 | 6,260 | 17,230 | 18,077 | ||||||||||||
Bank-owned life insurance | 3,539 | 3,997 | 11,137 | 11,129 | ||||||||||||
Debt securities gains/(losses), net (Note 3 and Note 8) | 1 | — | 450 | 1,654 | ||||||||||||
Equity securities gains/(losses), net (Note 3) | 5 | (200 | ) | 5 | (181 | ) | ||||||||||
All other income and commissions (Note 7) | 43 | 21,806 | 29,051 | 47,416 | ||||||||||||
Total noninterest income | 112,417 | 148,545 | 357,029 | 428,364 | ||||||||||||
Adjusted gross income after provision/(provision credit) for loan losses | 322,234 | 329,740 | 960,255 | 950,897 | ||||||||||||
Noninterest expense: | ||||||||||||||||
Employee compensation, incentives, and benefits | 137,798 | 145,103 | 411,818 | 425,624 | ||||||||||||
Occupancy | 13,619 | 12,722 | 38,759 | 38,062 | ||||||||||||
Computer software | 11,993 | 10,400 | 35,077 | 33,213 | ||||||||||||
Operations services | 10,805 | 10,518 | 33,204 | 30,939 | ||||||||||||
Equipment rentals, depreciation, and maintenance | 6,626 | 6,085 | 20,013 | 19,426 | ||||||||||||
Professional fees | 6,566 | 4,859 | 20,971 | 14,342 | ||||||||||||
FDIC premium expense | 6,062 | 5,721 | 17,728 | 15,490 | ||||||||||||
Advertising and public relations | 5,205 | 6,065 | 13,901 | 15,519 | ||||||||||||
Communications and courier | 4,328 | 3,883 | 12,245 | 10,672 | ||||||||||||
Contract employment and outsourcing | 2,762 | 2,443 | 8,975 | 7,365 | ||||||||||||
Legal fees | 2,052 | 4,750 | 10,831 | 15,520 | ||||||||||||
Amortization of intangible assets | 1,964 | 1,299 | 5,160 | 3,898 | ||||||||||||
Repurchase and foreclosure provision/(provision credit) | (609 | ) | (218 | ) | (22,580 | ) | (31,618 | ) | ||||||||
All other expense (Note 7) | 27,698 | 19,928 | 70,889 | 88,855 | ||||||||||||
Total noninterest expense | 236,869 | 233,558 | 676,991 | 687,307 | ||||||||||||
Income/(loss) before income taxes | 85,365 | 96,182 | 283,264 | 263,590 | ||||||||||||
Provision/(benefit) for income taxes | 13,596 | 28,547 | 57,903 | 82,802 | ||||||||||||
Net income/(loss) | $ | 71,769 | $ | 67,635 | $ | 225,361 | $ | 180,788 | ||||||||
Net income attributable to noncontrolling interest | 2,883 | 2,883 | 8,555 | 8,586 | ||||||||||||
Net income/(loss) attributable to controlling interest | $ | 68,886 | $ | 64,752 | $ | 216,806 | $ | 172,202 | ||||||||
Preferred stock dividends | 1,550 | 1,550 | 4,650 | 4,650 | ||||||||||||
Net income/(loss) available to common shareholders | $ | 67,336 | $ | 63,202 | $ | 212,156 | $ | 167,552 | ||||||||
Basic earnings/(loss) per share (Note 9) | $ | 0.29 | $ | 0.27 | $ | 0.91 | $ | 0.72 | ||||||||
Diluted earnings/(loss) per share (Note 9) | $ | 0.28 | $ | 0.27 | $ | 0.90 | $ | 0.71 | ||||||||
Weighted average common shares (Note 9) | 233,749 | 231,856 | 233,438 | 232,690 | ||||||||||||
Diluted average common shares (Note 9) | 236,340 | 234,092 | 236,372 | 234,775 | ||||||||||||
Cash dividends declared per common share | $ | 0.09 | $ | 0.07 | $ | 0.27 | $ | 0.21 |
First Horizon National Corporation | ||||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) (Unaudited) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Net income/(loss) | $ | 71,769 | $ | 67,635 | $ | 225,361 | $ | 180,788 | ||||||||
Other comprehensive income/(loss), net of tax: | ||||||||||||||||
Net unrealized gains/(losses) on securities available-for-sale | 3,917 | (7,887 | ) | 11,292 | 47,310 | |||||||||||
Net unrealized gains/(losses) on cash flow hedges | (734 | ) | (1,570 | ) | (493 | ) | 3,121 | |||||||||
Net unrealized gains/(losses) on pension and other postretirement plans | 1,895 | 963 | 4,471 | 2,933 | ||||||||||||
Other comprehensive income/(loss) | 5,078 | (8,494 | ) | 15,270 | 53,364 | |||||||||||
Comprehensive income | 76,847 | 59,141 | 240,631 | 234,152 | ||||||||||||
Comprehensive income attributable to noncontrolling interest | 2,883 | 2,883 | 8,555 | 8,586 | ||||||||||||
Comprehensive income attributable to controlling interest | $ | 73,964 | $ | 56,258 | $ | 232,076 | $ | 225,566 | ||||||||
Income tax expense/(benefit) of items included in Other comprehensive income: | ||||||||||||||||
Net unrealized gains/(losses) on securities available-for-sale | $ | 2,430 | $ | (4,902 | ) | $ | 7,002 | $ | 29,402 | |||||||
Net unrealized gains/(losses) on cash flow hedges | (455 | ) | (975 | ) | (306 | ) | 1,940 | |||||||||
Net unrealized gains/(losses) on pension and other postretirement plans | 1,175 | 598 | 2,772 | 1,823 |
First Horizon National Corporation | ||||||||||||||||||||||||
2017 | 2016 | |||||||||||||||||||||||
(Dollars in thousands except per share data) (Unaudited) | Controlling Interest | Noncontrolling Interest | Total | Controlling Interest | Noncontrolling Interest | Total | ||||||||||||||||||
Balance, January 1 | $ | 2,409,653 | $ | 295,431 | $ | 2,705,084 | $ | 2,344,155 | $ | 295,431 | $ | 2,639,586 | ||||||||||||
Net income/(loss) | 216,806 | 8,555 | 225,361 | 172,202 | 8,586 | 180,788 | ||||||||||||||||||
Other comprehensive income/(loss) (a) | 15,270 | — | 15,270 | 53,364 | — | 53,364 | ||||||||||||||||||
Comprehensive income/(loss) | 232,076 | 8,555 | 240,631 | 225,566 | 8,586 | 234,152 | ||||||||||||||||||
Cash dividends declared: | ||||||||||||||||||||||||
Preferred stock ($4,650 per share for the nine months ended September 30, 2017 and 2016) | (4,650 | ) | — | (4,650 | ) | (4,650 | ) | — | (4,650 | ) | ||||||||||||||
Common stock ($.27 and $.21 per share for the nine months ended September 30, 2017 and 2016, respectively) | (63,777 | ) | — | (63,777 | ) | (49,578 | ) | — | (49,578 | ) | ||||||||||||||
Common stock repurchased (b) | (5,285 | ) | — | (5,285 | ) | (96,801 | ) | — | (96,801 | ) | ||||||||||||||
Common stock issued for: | ||||||||||||||||||||||||
Stock options and restricted stock - equity awards | 5,132 | — | 5,132 | 18,710 | — | 18,710 | ||||||||||||||||||
Stock-based compensation expense | 14,971 | — | 14,971 | 12,378 | — | 12,378 | ||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | (8,555 | ) | (8,555 | ) | — | (8,586 | ) | (8,586 | ) | ||||||||||||||
Tax benefit/(benefit reversal) - stock based compensation expense | — | — | — | (629 | ) | — | (629 | ) | ||||||||||||||||
Balance, September 30 | $ | 2,588,120 | $ | 295,431 | $ | 2,883,551 | $ | 2,449,151 | $ | 295,431 | $ | 2,744,582 |
First Horizon National Corporation | ||||||||
Nine months ended September 30 | ||||||||
(Dollars in thousands) (Unaudited) | 2017 | 2016 | ||||||
Operating Activities | ||||||||
Net income/(loss) | $ | 225,361 | $ | 180,788 | ||||
Adjustments to reconcile net income/(loss) to net cash provided/(used) by operating activities: | ||||||||
Provision/(provision credit) for loan losses | (3,000 | ) | 11,000 | |||||
Provision/(benefit) for deferred income taxes | (547 | ) | 68,100 | |||||
Depreciation and amortization of premises and equipment | 25,052 | 24,032 | ||||||
Amortization of intangible assets | 5,160 | 3,898 | ||||||
Net other amortization and accretion | 22,921 | 19,536 | ||||||
Net (increase)/decrease in derivatives | (14,670 | ) | 1,330 | |||||
Fair value adjustment on interest-only strips | (107 | ) | — | |||||
Repurchase and foreclosure provision/(provision credit) | (20,000 | ) | (31,618 | ) | ||||
(Gains)/losses and write-downs on OREO, net | 44 | (543 | ) | |||||
Litigation and regulatory matters | 7,409 | 25,285 | ||||||
Stock-based compensation expense | 14,971 | 12,378 | ||||||
Equity securities (gains)/losses, net | (5 | ) | 181 | |||||
Debt securities (gains)/losses, net | (450 | ) | (1,654 | ) | ||||
(Gain)/loss on extinguishment of debt | 14,329 | — | ||||||
Net (gains)/losses on sale/disposal of fixed assets | (13 | ) | 2,519 | |||||
Qualified pension plan contribution | — | (165,000 | ) | |||||
Loans held-for-sale: | ||||||||
Purchases and originations | (1,252,300 | ) | (73,404 | ) | ||||
Gross proceeds from settlements and sales | 1,252,477 | 43,653 | ||||||
(Gain)/loss due to fair value adjustments and other | 2,485 | 878 | ||||||
Net (increase)/decrease in: | ||||||||
Trading securities | (433,897 | ) | (441,205 | ) | ||||
Fixed income receivables | (11,339 | ) | (28,337 | ) | ||||
Interest receivable | (7,171 | ) | (2,014 | ) | ||||
Other assets | (49,225 | ) | (69,855 | ) | ||||
Net increase/(decrease) in: | ||||||||
Trading liabilities | 17,180 | 136,207 | ||||||
Fixed income payables | (73,187 | ) | 45,825 | |||||
Interest payable | 8,869 | 505 | ||||||
Other liabilities | (35,770 | ) | (24,795 | ) | ||||
Total adjustments | (530,784 | ) | (443,098 | ) | ||||
Net cash provided/(used) by operating activities | (305,423 | ) | (262,310 | ) | ||||
Investing Activities | ||||||||
Available-for-sale securities: | ||||||||
Sales | 3,360 | 1,543 | ||||||
Maturities | 420,136 | 526,112 | ||||||
Purchases | (426,129 | ) | (557,216 | ) | ||||
Held-to-maturity securities: | ||||||||
Prepayments and maturities | 4,740 | — | ||||||
Premises and equipment: | ||||||||
Sales | 2,577 | 9,636 | ||||||
Purchases | (30,395 | ) | (41,304 | ) | ||||
Proceeds from sales of OREO | 9,235 | 22,887 | ||||||
Net (increase)/decrease in: | ||||||||
Loans (a) | (586,426 | ) | (1,895,345 | ) | ||||
Interests retained from securitizations classified as trading securities | 648 | 2,120 | ||||||
Interest-bearing cash | 459,840 | 383,002 | ||||||
Cash (paid)/received for acquisition, net | (123,971 | ) | — | |||||
Net cash provided/(used) by investing activities | (266,385 | ) | (1,548,565 | ) | ||||
Financing Activities | ||||||||
Common stock: | ||||||||
Stock options exercised | 5,173 | 18,710 | ||||||
Cash dividends paid | (58,850 | ) | (47,144 | ) | ||||
Repurchase of shares (b) | (5,285 | ) | (96,801 | ) |
Cash dividends paid - preferred stock - noncontrolling interest | (8,523 | ) | (8,523 | ) | ||||
Cash dividends paid - Series A preferred stock | (4,650 | ) | (4,650 | ) | ||||
Term borrowings: | ||||||||
Issuance | 121,184 | 100 | ||||||
Payments/maturities | (145,285 | ) | (264,599 | ) | ||||
Increases in restricted and secured term borrowings | 29,231 | — | ||||||
Net increase/(decrease) in: | ||||||||
Deposits | (572,621 | ) | 1,607,412 | |||||
Short-term borrowings | 1,261,395 | 732,858 | ||||||
Net cash provided/(used) by financing activities | 621,769 | 1,937,363 | ||||||
Net increase/(decrease) in cash and cash equivalents | 49,961 | 126,488 | ||||||
Cash and cash equivalents at beginning of period | 1,037,794 | 1,031,063 | ||||||
Cash and cash equivalents at end of period | $ | 1,087,755 | $ | 1,157,551 | ||||
Supplemental Disclosures | ||||||||
Total interest paid | $ | 92,405 | $ | 63,337 | ||||
Total taxes paid | 38,151 | 11,580 | ||||||
Total taxes refunded | 8,201 | 3,854 | ||||||
Transfer from loans to OREO | 5,564 | 8,226 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
(Dollars in millions, except per share data; shares in thousands) (Unaudited) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Interest income | |||||||||||||||||||||||
Interest and fees on loans and leases | $ | 496 | $ | 306 | $ | 1,003 | $ | 633 | |||||||||||||||
Interest and fees on loans held for sale | 7 | 7 | 14 | 13 | |||||||||||||||||||
Interest on securities available for sale | 29 | 24 | 58 | 52 | |||||||||||||||||||
Interest on trading securities | 7 | 9 | 14 | 23 | |||||||||||||||||||
Interest on other earning assets | 3 | 0 | 5 | 4 | |||||||||||||||||||
Total interest income | 542 | 346 | 1,094 | 725 | |||||||||||||||||||
Interest expense | |||||||||||||||||||||||
Interest on deposits | 24 | 25 | 48 | 79 | |||||||||||||||||||
Interest on trading liabilities | 2 | 1 | 3 | 4 | |||||||||||||||||||
Interest on short-term borrowings | 1 | 1 | 2 | 12 | |||||||||||||||||||
Interest on term borrowings | 18 | 14 | 37 | 22 | |||||||||||||||||||
Total interest expense | 45 | 41 | 90 | 117 | |||||||||||||||||||
Net interest income | 497 | 305 | 1,004 | 608 | |||||||||||||||||||
Provision for credit losses | (115) | 121 | (160) | 275 | |||||||||||||||||||
Net interest income after provision for credit losses | 612 | 184 | 1,164 | 333 | |||||||||||||||||||
Noninterest income | |||||||||||||||||||||||
Fixed income | 102 | 112 | 228 | 208 | |||||||||||||||||||
Mortgage banking and title income | 38 | 4 | 91 | 7 | |||||||||||||||||||
Deposit transactions and cash management | 44 | 31 | 86 | 61 | |||||||||||||||||||
Brokerage, management fees and commissions | 21 | 14 | 41 | 29 | |||||||||||||||||||
Trust services and investment management | 14 | 8 | 26 | 15 | |||||||||||||||||||
Bankcard income | 15 | 7 | 25 | 14 | |||||||||||||||||||
Securities gains (losses), net | 11 | (1) | 11 | (1) | |||||||||||||||||||
Other income | 40 | 31 | 75 | 48 | |||||||||||||||||||
Total noninterest income | 285 | 206 | 583 | 381 | |||||||||||||||||||
Noninterest expense | |||||||||||||||||||||||
Personnel expense | 306 | 200 | 624 | 384 | |||||||||||||||||||
Net occupancy expense | 33 | 21 | 71 | 41 | |||||||||||||||||||
Computer software | 30 | 17 | 57 | 32 | |||||||||||||||||||
Operations services | 19 | 12 | 35 | 23 | |||||||||||||||||||
Legal and professional fees | 16 | 13 | 31 | 22 | |||||||||||||||||||
Equipment expense | 12 | 9 | 23 | 17 | |||||||||||||||||||
Amortization of intangible assets | 14 | 5 | 28 | 11 | |||||||||||||||||||
Other expense | 68 | 43 | 173 | 93 | |||||||||||||||||||
Total noninterest expense | 498 | 320 | 1,042 | 623 | |||||||||||||||||||
Income before income taxes | 399 | 70 | 705 | 91 | |||||||||||||||||||
Income tax expense | 88 | 13 | 159 | 18 | |||||||||||||||||||
Net income | $ | 311 | $ | 57 | $ | 546 | $ | 73 | |||||||||||||||
Net income attributable to noncontrolling interest | 3 | 3 | 6 | 6 | |||||||||||||||||||
Net income attributable to controlling interest | $ | 308 | $ | 54 | $ | 540 | $ | 67 | |||||||||||||||
Preferred stock dividends | 13 | 2 | 21 | 3 | |||||||||||||||||||
Net income available to common shareholders | $ | 295 | $ | 52 | $ | 519 | $ | 64 | |||||||||||||||
Basic earnings per common share | $ | 0.54 | $ | 0.17 | $ | 0.94 | $ | 0.21 | |||||||||||||||
Diluted earnings per common share | $ | 0.53 | $ | 0.17 | $ | 0.93 | $ | 0.21 | |||||||||||||||
Weighted average common shares | 550,297 | 312,090 | 551,268 | 311,843 | |||||||||||||||||||
Diluted average common shares | 556,763 | 312,936 | 557,146 | 312,792 |
2Q21 FORM 10-Q REPORT |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
(Dollars in millions) (Unaudited) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Net income | $ | 311 | $ | 57 | $ | 546 | $ | 73 | |||||||||||||||
Other comprehensive income (loss), net of tax: | |||||||||||||||||||||||
Net unrealized gains (losses) on securities available for sale | 38 | (1) | (65) | 87 | |||||||||||||||||||
Net unrealized gains (losses) on cash flow hedges | (2) | 0 | (4) | 13 | |||||||||||||||||||
Net unrealized gains (losses) on pension and other postretirement plans | 2 | 2 | 6 | 5 | |||||||||||||||||||
Other comprehensive income (loss) | 38 | 1 | (63) | 105 | |||||||||||||||||||
Comprehensive income | 349 | 58 | 483 | 178 | |||||||||||||||||||
Comprehensive income attributable to noncontrolling interest | 3 | 3 | 6 | 6 | |||||||||||||||||||
Comprehensive income attributable to controlling interest | $ | 346 | $ | 55 | $ | 477 | $ | 172 | |||||||||||||||
Income tax expense (benefit) of items included in other comprehensive income: | |||||||||||||||||||||||
Net unrealized gains (losses) on securities available for sale | $ | 12 | $ | 0 | $ | (20) | $ | 28 | |||||||||||||||
Net unrealized gains (losses) on cash flow hedges | 0 | 0 | (1) | 4 | |||||||||||||||||||
Net unrealized gains (losses) on pension and other postretirement plans | 1 | 1 | 2 | 1 |
2Q21 FORM 10-Q REPORT |
Six Months Ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred Stock | Common Stock | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions, except per share data; shares in thousands) (unaudited) | Shares | Amount | Shares | Amount | Capital Surplus | Retained Earnings | Accumulated Other Comprehensive Income (Loss) (a) | Noncontrolling Interest | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2020 | 26,250 | $ | 470 | 555,031 | $ | 347 | $ | 5,074 | $ | 2,261 | $ | (140) | $ | 295 | $ | 8,307 | ||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 233 | — | 3 | 236 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | (101) | — | (101) | |||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) | — | — | — | — | — | 233 | (101) | 3 | 135 | |||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends declared: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock | — | — | — | — | — | (8) | — | — | (8) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock ($0.15 per share) | — | — | — | — | — | (84) | — | — | (84) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock repurchased (b) | — | — | (3,864) | (2) | (60) | — | — | — | (62) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued for: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock options and restricted stock - equity awards | — | — | 1,208 | 0 | 12 | — | — | — | 12 | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | — | 10 | — | — | — | 10 | |||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | — | — | — | — | — | — | (3) | (3) | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2021 | 26,250 | 470 | 552,375 | 345 | 5,036 | 2,402 | (241) | 295 | 8,307 | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 308 | — | 3 | 311 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | 38 | — | 38 | |||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) | — | — | — | — | — | 308 | 38 | 3 | 349 | |||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends declared: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock | — | — | — | — | — | (8) | — | — | (8) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock ($0.15 per share) | — | — | — | — | — | (85) | — | — | (85) | |||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock issuance (1,500 shares issued at $100,000 per share net of offering costs) | 1,500 | 145 | — | — | — | — | — | — | 145 | |||||||||||||||||||||||||||||||||||||||||||||||
Call of preferred stock | (1,000) | (95) | — | — | — | (5) | — | — | (100) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock repurchased (b) | — | — | (3,435) | (3) | (61) | — | — | — | (64) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued for: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock options and restricted stock - equity awards | — | — | 1,925 | 2 | 11 | — | — | — | 13 | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | — | 11 | — | — | — | 11 | |||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | — | — | — | — | — | — | (3) | (3) | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, June 30, 2021 | 26,750 | $ | 520 | 550,865 | $ | 344 | $ | 4,997 | $ | 2,612 | $ | (203) | $ | 295 | $ | 8,565 | ||||||||||||||||||||||||||||||||||||||||
FIRST HORIZON CORPORATION | 9 | 2Q21 FORM 10-Q REPORT |
Six Months Ended June 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred Stock | Common Stock | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions, except per share data; shares in thousands) (unaudited) | Shares | Amount | Shares | Amount | Capital Surplus | Retained Earnings | Accumulated Other Comprehensive Income (Loss) (a) | Noncontrolling Interest | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2019 | 1,000 | $ | 96 | 311,469 | $ | 195 | $ | 2,931 | $ | 1,798 | $ | (239) | $ | 295 | $ | 5,076 | ||||||||||||||||||||||||||||||||||||||||
Adjustment to reflect adoption of ASU 2016-13 | — | — | — | — | — | (96) | — | — | (96) | |||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance, as adjusted | 1,000 | 96 | 311,469 | 195 | 2,931 | 1,702 | (239) | 295 | 4,980 | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 13 | — | 3 | 16 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | 104 | — | 104 | |||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) | — | — | — | — | — | 13 | 104 | 3 | 120 | |||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends declared: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock ($1,550 per share) | — | — | — | — | — | (1) | — | — | (1) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock ($0.15 per share) | — | — | — | — | — | (48) | — | — | (48) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock repurchased | — | — | (141) | 0 | (2) | — | — | — | (2) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued for: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock options and restricted stock - equity awards | — | — | 652 | 0 | 4 | — | — | — | 4 | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | — | 7 | — | — | — | 7 | |||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | — | — | — | — | — | — | (3) | (3) | |||||||||||||||||||||||||||||||||||||||||||||||
Other (b) | — | — | (117) | 0 | (1) | — | — | — | (1) | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2020 | 1,000 | 96 | 311,863 | 195 | 2,939 | 1,666 | (135) | 295 | 5,056 | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 54 | — | 3 | 57 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | — | — | — | 1 | — | 1 | |||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) | — | — | — | — | — | 54 | 1 | 3 | 58 | |||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends declared: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock ($1,550 per share) | — | — | — | — | — | (2) | — | — | (2) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock ($0.15 per share) | — | — | — | — | — | (47) | — | — | (47) | |||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock issuance (1,500 shares issued at 100,000 per share net of offering costs) | 1,500 | 144 | — | — | — | — | — | — | 144 | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock repurchased | — | — | (183) | 0 | (1) | — | — | — | (1) | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock issued for: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock options and restricted stock - equity awards | — | — | 679 | 0 | 0 | — | — | — | 0 | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | — | 3 | — | — | — | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | — | — | — | — | — | — | (3) | (3) | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, June 30, 2020 | 2,500 | $ | 240 | 312,359 | $ | 195 | $ | 2,941 | $ | 1,671 | $ | (134) | $ | 295 | $ | 5,208 | ||||||||||||||||||||||||||||||||||||||||
FIRST HORIZON CORPORATION | 10 | 2Q21 FORM 10-Q REPORT |
Six Months Ended June 30, | ||||||||||||||
(Dollars in millions) (Unaudited) | 2021 | 2020 | ||||||||||||
Operating Activities | ||||||||||||||
Net income | $ | 546 | $ | 73 | ||||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||||||||
Provision for credit losses | (160) | 275 | ||||||||||||
Deferred income tax expense (benefit) | 23 | (39) | ||||||||||||
Depreciation and amortization of premises and equipment | 31 | 21 | ||||||||||||
Amortization of intangible assets | 28 | 11 | ||||||||||||
Net other amortization and accretion | (32) | 8 | ||||||||||||
Net (increase) decrease in derivatives | 253 | (369) | ||||||||||||
Stock-based compensation expense | 21 | 10 | ||||||||||||
Securities (gains) losses, net | (11) | 1 | ||||||||||||
Net (gains) losses on sale/disposal of fixed assets | 33 | 2 | ||||||||||||
(Gain) loss on BOLI | (2) | (4) | ||||||||||||
Loans held for sale: | ||||||||||||||
Purchases and originations | (2,804) | (1,097) | ||||||||||||
Gross proceeds from settlements and sales | 2,050 | 323 | ||||||||||||
(Gain) loss due to fair value adjustments and other | (69) | 7 | ||||||||||||
Other operating activities, net | 1,108 | 275 | ||||||||||||
Total adjustments | 469 | (576) | ||||||||||||
Net cash provided by (used in) operating activities | 1,015 | (503) | ||||||||||||
Investing Activities | ||||||||||||||
Proceeds from sales of securities available for sale | 33 | 9 | ||||||||||||
Proceeds from maturities of securities available for sale | 1,175 | 572 | ||||||||||||
Purchases of securities available for sale | (1,647) | (1,498) | ||||||||||||
Proceeds from sales of premises and equipment | 4 | 2 | ||||||||||||
Purchases of premises and equipment | (26) | (21) | ||||||||||||
Proceeds from BOLI | 6 | 8 | ||||||||||||
Net (increase) decrease in loans and leases | 1,601 | (1,649) | ||||||||||||
Net increase in interest-bearing deposits with banks | (5,100) | (2,653) | ||||||||||||
Other investing activities, net | 8 | 4 | ||||||||||||
Net cash used in investing activities | (3,946) | (5,226) | ||||||||||||
Financing Activities | ||||||||||||||
Common stock: | ||||||||||||||
Stock options exercised | 25 | 4 | ||||||||||||
Cash dividends paid | (167) | (92) | ||||||||||||
Repurchase of shares | (126) | (4) | ||||||||||||
Cancellation of common shares | 0 | (2) | ||||||||||||
Preferred stock issuance | 145 | 145 | ||||||||||||
Cash dividends paid - preferred stock - noncontrolling interest | (6) | (6) | ||||||||||||
Cash dividends paid - preferred stock | (16) | (3) | ||||||||||||
Net increase in deposits | 3,304 | 5,330 | ||||||||||||
Net increase (decrease) in short-term borrowings | 48 | (1,126) | ||||||||||||
Proceeds from issuance of term borrowings | 0 | 1,242 | ||||||||||||
Increases (decreases) in restricted and secured term borrowings | 1 | (6) | ||||||||||||
Net cash provided by financing activities | 3,208 | 5,482 | ||||||||||||
Net increase (decrease) in cash and cash equivalents | 277 | (247) | ||||||||||||
Cash and cash equivalents at beginning of period | 1,648 | 1,267 | ||||||||||||
Cash and cash equivalents at end of period | $ | 1,925 | $ | 1,020 | ||||||||||
Supplemental Disclosures | ||||||||||||||
Total interest paid | $ | 98 | $ | 125 | ||||||||||
Total taxes paid | 173 | 6 | ||||||||||||
Total taxes refunded | 4 | 1 | ||||||||||||
Transfer from loans to OREO | 2 | 2 | ||||||||||||
Transfer from loans HFS to trading securities | 871 | 604 | ||||||||||||
Transfer from loans to loans HFS | (31) | 0 |
FIRST HORIZON CORPORATION | 11 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 12 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | IBERIABANK Corporation | |||||||||||||||||||
Assets: | ||||||||||||||||||||
Cash and due from banks | $ | 395 | ||||||||||||||||||
Interest-bearing deposits with banks | 1,683 | |||||||||||||||||||
Securities available for sale at fair value | 3,544 | |||||||||||||||||||
Loans held for sale | 320 | |||||||||||||||||||
Loans and leases (a) | 25,921 | |||||||||||||||||||
Allowance for loan and lease losses | (284) | |||||||||||||||||||
Other intangible assets | 240 | |||||||||||||||||||
Premises and equipment | 311 | |||||||||||||||||||
OREO | 9 | |||||||||||||||||||
Other assets | 1,153 | |||||||||||||||||||
Total assets acquired | $ | 33,292 | ||||||||||||||||||
Liabilities: | ||||||||||||||||||||
Deposits | $ | 28,232 | ||||||||||||||||||
Short-term borrowings | 209 | |||||||||||||||||||
Term borrowings | 1,200 | |||||||||||||||||||
Other liabilities | 618 | |||||||||||||||||||
Total liabilities assumed | $ | 30,259 | ||||||||||||||||||
Net assets acquired | $ | 3,033 | ||||||||||||||||||
Consideration paid: | ||||||||||||||||||||
Consideration for outstanding common stock | $ | 2,243 | ||||||||||||||||||
Consideration for equity awards | 28 | |||||||||||||||||||
Consideration for preferred stock | 231 | |||||||||||||||||||
Total consideration paid | $ | 2,502 | ||||||||||||||||||
Purchase accounting gain | $ | (531) |
FIRST HORIZON CORPORATION | 13 | 2Q21 FORM 10-Q REPORT |
Coastal Securities, Inc. | ||||||||||||
Purchase Accounting/ | ||||||||||||
As | Fair Value | As recorded | ||||||||||
(Dollars in thousands) | Acquired | Adjustments | by FHN | |||||||||
Assets: | ||||||||||||
Cash and due from banks | $ | 7,502 | $ | — | $ | 7,502 | ||||||
Interest-bearing cash | 4,132 | — | 4,132 | |||||||||
Trading securities | 423,662 | (284,580 | ) | 139,082 | ||||||||
Loans held-for-sale | — | 236,088 | 236,088 | |||||||||
Investment securities | — | 1,413 | 1,413 | |||||||||
Other intangible assets, net | — | 27,300 | 27,300 | |||||||||
Premises and equipment, net | 1,229 | — | 1,229 | |||||||||
Other assets | 1,658 | 14 | 1,672 | |||||||||
Total assets acquired | $ | 438,183 | $ | (19,765 | ) | $ | 418,418 | |||||
Liabilities: | ||||||||||||
Securities sold under agreements to repurchase | $ | 201,595 | $ | — | $ | 201,595 | ||||||
Other short-term borrowings | 33,509 | — | 33,509 | |||||||||
Fixed income payables | 143,647 | (47,158 | ) | 96,489 | ||||||||
Other liabilities | 958 | (642 | ) | 316 | ||||||||
Total liabilities assumed | 379,709 | (47,800 | ) | 331,909 | ||||||||
Net Assets Acquired | $ | 58,474 | $ | 28,035 | 86,509 | |||||||
Consideration paid: | ||||||||||||
Cash | (131,473 | ) | ||||||||||
Goodwill | $ | 44,964 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||
Personnel expense (a) | $ | 16 | $ | 5 | $ | 37 | $ | 6 | ||||||||||||||||||
Legal and professional fees (b) | 4 | 5 | 7 | 7 | ||||||||||||||||||||||
Net occupancy expense (c) | 0 | (1) | 3 | (1) | ||||||||||||||||||||||
Other expense (d) | 12 | 5 | 55 | 8 | ||||||||||||||||||||||
Total | $ | 32 | $ | 14 | $ | 102 | $ | 20 |
FIRST HORIZON CORPORATION | 14 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||
(Dollars in millions) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||||||||||||
Securities available for sale: | ||||||||||||||||||||||||||
U.S. treasuries | $ | 607 | $ | 0 | $ | 0 | $ | 607 | ||||||||||||||||||
Government agency issued MBS | 4,120 | 66 | (19) | 4,167 | ||||||||||||||||||||||
Government agency issued CMO | 2,330 | 18 | (25) | 2,323 | ||||||||||||||||||||||
Other U.S. government agencies | 737 | 10 | (4) | 743 | ||||||||||||||||||||||
States and municipalities | 506 | 12 | 0 | 518 | ||||||||||||||||||||||
$ | 8,300 | $ | 106 | $ | (48) | 8,358 | ||||||||||||||||||||
AFS securities recorded at fair value through earnings: | ||||||||||||||||||||||||||
SBA-interest only strips (a) | 30 | |||||||||||||||||||||||||
Total securities available for sale (b) | $ | 8,388 |
December 31, 2020 | ||||||||||||||||||||||||||
(Dollars in millions) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||||||||||||
Securities available for sale: | ||||||||||||||||||||||||||
U.S. treasuries | $ | 613 | $ | 0 | $ | 0 | $ | 613 | ||||||||||||||||||
Government agency issued MBS | 3,722 | 92 | (2) | 3,812 | ||||||||||||||||||||||
Government agency issued CMO | 2,380 | 29 | (3) | 2,406 | ||||||||||||||||||||||
Other U.S. government agencies | 672 | 12 | 0 | 684 | ||||||||||||||||||||||
Corporate and other debt | 40 | 1 | (1) | 40 | ||||||||||||||||||||||
States and municipalities | 445 | 15 | 0 | 460 | ||||||||||||||||||||||
$ | 7,872 | $ | 149 | $ | (6) | 8,015 | ||||||||||||||||||||
AFS securities recorded at fair value through earnings: | ||||||||||||||||||||||||||
SBA-interest only strips (a) | 32 | |||||||||||||||||||||||||
Total securities available for sale (b) | $ | 8,047 |
September 30, 2017 | ||||||||||||||||
(Dollars in thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. treasuries | $ | 100 | $ | — | $ | — | $ | 100 | ||||||||
Government agency issued mortgage-backed securities (“MBS”) | 2,081,677 | 15,993 | (10,165 | ) | 2,087,505 | |||||||||||
Government agency issued collateralized mortgage obligations (“CMO”) | 1,701,467 | 4,295 | (19,767 | ) | 1,685,995 | |||||||||||
Equity and other (a) | 186,413 | 2 | — | 186,415 | ||||||||||||
$ | 3,969,657 | $ | 20,290 | $ | (29,932 | ) | 3,960,015 | |||||||||
AFS debt securities recorded at fair value through earnings: | ||||||||||||||||
SBA-interest only strips (b) | 3,123 | |||||||||||||||
Total securities available-for-sale (c) | $ | 3,963,138 | ||||||||||||||
Securities held-to-maturity: | ||||||||||||||||
Corporate bonds | $ | 10,000 | $ | — | $ | (15 | ) | $ | 9,985 | |||||||
Total securities held-to-maturity | $ | 10,000 | $ | — | $ | (15 | ) | $ | 9,985 |
2Q21 FORM 10-Q REPORT |
December 31, 2016 | ||||||||||||||||
(Dollars in thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. treasuries | $ | 100 | $ | — | $ | — | $ | 100 | ||||||||
Government agency issued MBS | 2,217,593 | 14,960 | (23,866 | ) | 2,208,687 | |||||||||||
Government agency issued CMO | 1,566,986 | 4,909 | (23,937 | ) | 1,547,958 | |||||||||||
Equity and other (a) | 186,756 | — | (2 | ) | 186,754 | |||||||||||
Total securities available-for-sale (b) | $ | 3,971,435 | $ | 19,869 | $ | (47,805 | ) | $ | 3,943,499 | |||||||
Securities held-to-maturity: | ||||||||||||||||
States and municipalities | $ | 4,347 | $ | 393 | $ | — | $ | 4,740 | ||||||||
Corporate bonds | 10,000 | 33 | — | 10,033 | ||||||||||||
Total securities held-to-maturity | $ | 14,347 | $ | 426 | $ | — | $ | 14,773 |
Available for Sale | |||||||||||||||||||||||||||||||||
Held-to-Maturity | Available-for-Sale | ||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||||||||||||||||||||||||||
(Dollars in millions) | (Dollars in millions) | Amortized Cost | Fair Value | ||||||||||||||||||||||||||||||
Within 1 year | $ | — | $ | — | $ | — | $ | — | Within 1 year | $ | 680 | $ | 681 | ||||||||||||||||||||
After 1 year; within 5 years | — | — | 100 | 120 | |||||||||||||||||||||||||||||
After 5 years; within 10 years | 10,000 | 9,985 | — | 1,464 | |||||||||||||||||||||||||||||
After 1 year through 5 years | After 1 year through 5 years | 148 | 150 | ||||||||||||||||||||||||||||||
After 5 years through 10 years | After 5 years through 10 years | 346 | 355 | ||||||||||||||||||||||||||||||
After 10 years | — | — | — | 1,639 | After 10 years | 676 | 712 | ||||||||||||||||||||||||||
Subtotal | 10,000 | 9,985 | 100 | 3,223 | Subtotal | 1,850 | 1,898 | ||||||||||||||||||||||||||
Government agency issued MBS and CMO (a) | — | — | 3,783,144 | 3,773,500 | Government agency issued MBS and CMO (a) | 6,450 | 6,490 | ||||||||||||||||||||||||||
Equity and other | — | — | 186,413 | 186,415 | |||||||||||||||||||||||||||||
Total | $ | 10,000 | $ | 9,985 | $ | 3,969,657 | $ | 3,963,138 | Total | $ | 8,300 | $ | 8,388 |
Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | |||||||||||
Gross gains on sales of securities | $ | 6 | $ | — | $ | 455 | $ | 3,999 | |||||||
Gross (losses) on sales of securities | — | — | — | (2,326 | ) | ||||||||||
Net gain/(loss) on sales of securities (a) (b) | 6 | — | 455 | 1,673 | |||||||||||
Net OTTI recorded (c) | — | (200 | ) | — | (200 | ) | |||||||||
Total securities gain/(loss) | $ | 6 | $ | (200 | ) | $ | 455 | $ | 1,473 |
As of June 30, 2021 | ||||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | ||||||||||||||||||||||||||||||||
Government agency issued MBS | $ | 1,618 | $ | (19) | $ | 0 | $ | 0 | $ | 1,618 | $ | (19) | ||||||||||||||||||||||||||
Government agency issued CMO | 1,332 | (25) | 0 | 0 | 1,332 | (25) | ||||||||||||||||||||||||||||||||
Other U.S. government agencies | 281 | (4) | 0 | 0 | 281 | (4) | ||||||||||||||||||||||||||||||||
States and municipalities | 41 | 0 | 0 | 0 | 41 | 0 | ||||||||||||||||||||||||||||||||
Total | $ | 3,272 | $ | (48) | $ | 0 | $ | 0 | $ | 3,272 | $ | (48) |
As of December 31, 2020 | ||||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | ||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 307 | $ | 0 | $ | 0 | $ | 0 | $ | 307 | $ | 0 | ||||||||||||||||||||||||||
Government agency issued MBS | 426 | (2) | 0 | 0 | 426 | (2) | ||||||||||||||||||||||||||||||||
Government agency issued CMO | 586 | (3) | 0 | 0 | 586 | (3) | ||||||||||||||||||||||||||||||||
Other U.S. government agencies | 80 | (1) | 0 | 0 | 80 | (1) | ||||||||||||||||||||||||||||||||
States and municipalities | 1 | 0 | 0 | 0 | 1 | 0 | ||||||||||||||||||||||||||||||||
Total | $ | 1,400 | $ | (6) | $ | 0 | $ | 0 | $ | 1,400 | $ | (6) |
As of September 30, 2017 | ||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||
(Dollars in thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | ||||||||||||||||||
Government agency issued CMO | $ | 885,926 | $ | (10,936 | ) | $ | 311,471 | $ | (8,831 | ) | $ | 1,197,397 | $ | (19,767 | ) | |||||||||
Government agency issued MBS | 875,307 | (8,770 | ) | 34,184 | (1,395 | ) | 909,491 | (10,165 | ) | |||||||||||||||
Total temporarily impaired securities | 1,761,233 | (19,706 | ) | 345,655 | (10,226 | ) | 2,106,888 | (29,932 | ) |
As of December 31, 2016 | ||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||
(Dollars in thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | ||||||||||||||||||
Government agency issued CMO | $ | 1,059,471 | $ | (19,052 | ) | $ | 116,527 | $ | (4,885 | ) | $ | 1,175,998 | $ | (23,937 | ) | |||||||||
Government agency issued MBS | 1,912,126 | (23,866 | ) | — | — | 1,912,126 | (23,866 | ) | ||||||||||||||||
Total debt securities | 2,971,597 | (42,918 | ) | 116,527 | (4,885 | ) | 3,088,124 | (47,803 | ) | |||||||||||||||
Equity | 7 | (2 | ) | — | — | 7 | (2 | ) | ||||||||||||||||
Total temporarily impaired securities | $ | 2,971,604 | $ | (42,920 | ) | $ | 116,527 | $ | (4,885 | ) | $ | 3,088,131 | $ | (47,805 | ) |
FIRST HORIZON CORPORATION | 16 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 17 | 2Q21 FORM 10-Q REPORT |
September 30 | December 31 | |||||||
(Dollars in thousands) | 2017 | 2016 | ||||||
Commercial: | ||||||||
Commercial, financial, and industrial | $ | 12,791,844 | $ | 12,148,087 | ||||
Commercial real estate | 2,251,015 | 2,135,523 | ||||||
Consumer: | ||||||||
Consumer real estate (a) | 4,369,717 | 4,523,752 | ||||||
Permanent mortgage | 403,082 | 423,125 | ||||||
Credit card & other | 350,433 | 359,033 | ||||||
Loans, net of unearned income | $ | 20,166,091 | $ | 19,589,520 | ||||
Allowance for loan losses | 194,867 | 202,068 | ||||||
Total net loans | $ | 19,971,224 | $ | 19,387,452 |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||||||||
Commercial: | ||||||||||||||||||||
Commercial and industrial (a) (b) | $ | 27,652 | $ | 27,700 | ||||||||||||||||
Loans to mortgage companies | 4,876 | 5,404 | ||||||||||||||||||
Total commercial, financial, and industrial | 32,528 | 33,104 | ||||||||||||||||||
Commercial real estate | 12,292 | 12,275 | ||||||||||||||||||
Consumer: | ||||||||||||||||||||
HELOC | 2,151 | 2,420 | ||||||||||||||||||
Real estate installment loans | 8,714 | 9,305 | ||||||||||||||||||
Total consumer real estate | 10,865 | 11,725 | ||||||||||||||||||
Credit card and other | 1,002 | 1,128 | ||||||||||||||||||
Loans and leases | $ | 56,687 | $ | 58,232 | ||||||||||||||||
Allowance for loan and lease losses | (815) | (963) | ||||||||||||||||||
Net loans and leases | $ | 55,872 | $ | 57,269 |
Three Months Ended September 30 | Nine months ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Balance, beginning of period | $ | 4,045 | $ | 6,171 | $ | 6,871 | $ | 8,542 | ||||||||
Addition | — | 2,883 | — | 2,883 | ||||||||||||
Accretion | (642 | ) | (837 | ) | (2,412 | ) | (2,984 | ) | ||||||||
Adjustment for payoffs | (198 | ) | (179 | ) | (1,232 | ) | (4,408 | ) | ||||||||
Adjustment for charge-offs | — | — | — | (674 | ) | |||||||||||
Adjustment for pool excess recovery (a) | — | — | (222 | ) | — | |||||||||||
Increase/(decrease) in accretable yield (b) | (2 | ) | 686 | 112 | 5,398 | |||||||||||
Other | — | — | 86 | (33 | ) | |||||||||||
Balance, end of period | $ | 3,203 | $ | 8,724 | $ | 3,203 | $ | 8,724 |
September 30, 2017 | December 31, 2016 | |||||||||||||||
(Dollars in thousands) | Carrying value | Unpaid balance | Carrying value | Unpaid balance | ||||||||||||
Commercial, financial and industrial | $ | 17,903 | $ | 21,239 | $ | 40,368 | $ | 41,608 | ||||||||
Commercial real estate | 3,842 | 4,933 | 4,763 | 6,514 | ||||||||||||
Consumer real estate | 940 | 1,259 | 1,172 | 1,677 | ||||||||||||
Credit card and other | — | — | 52 | 64 | ||||||||||||
Total | $ | 22,685 | $ | 27,431 | $ | 46,355 | $ | 49,863 |
September 30, 2017 | December 31, 2016 | |||||||||||||||||||||||
(Dollars in thousands) | Recorded Investment | Unpaid Principal Balance | Related Allowance | Recorded Investment | Unpaid Principal Balance | Related Allowance | ||||||||||||||||||
Impaired loans with no related allowance recorded: | ||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||
General C&I | $ | 2,055 | $ | 10,769 | $ | — | $ | 10,419 | $ | 16,636 | $ | — | ||||||||||||
Income CRE | — | — | — | — | — | — | ||||||||||||||||||
Total | $ | 2,055 | $ | 10,769 | $ | — | $ | 10,419 | $ | 16,636 | $ | — | ||||||||||||
Consumer: | ||||||||||||||||||||||||
HELOC (a) | $ | 10,513 | $ | 20,372 | $ | — | $ | 11,383 | $ | 21,662 | $ | — | ||||||||||||
R/E installment loans (a) | 4,431 | 5,135 | — | 3,957 | 4,992 | — | ||||||||||||||||||
Permanent mortgage (a) | 5,481 | 7,604 | — | 5,311 | 7,899 | — | ||||||||||||||||||
Total | $ | 20,425 | $ | 33,111 | $ | — | $ | 20,651 | $ | 34,553 | $ | — | ||||||||||||
Impaired loans with related allowance recorded: | ||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||
General C&I | $ | 26,876 | $ | 27,345 | $ | 5,970 | $ | 34,334 | $ | 34,470 | $ | 3,294 | ||||||||||||
TRUPS | 3,097 | 3,700 | 925 | 3,209 | 3,700 | 925 | ||||||||||||||||||
Income CRE | 1,525 | 1,525 | 43 | 1,831 | 2,209 | 62 | ||||||||||||||||||
Residential CRE | 795 | 1,263 | 83 | 1,293 | 1,761 | 132 | ||||||||||||||||||
Total | $ | 32,293 | $ | 33,833 | $ | 7,021 | $ | 40,667 | $ | 42,140 | $ | 4,413 | ||||||||||||
Consumer: | ||||||||||||||||||||||||
HELOC | $ | 74,009 | $ | 76,587 | $ | 14,174 | $ | 84,711 | $ | 87,126 | $ | 15,927 | ||||||||||||
R/E installment loans | 46,905 | 47,708 | 9,762 | 53,409 | 54,559 | 12,875 | ||||||||||||||||||
Permanent mortgage | 78,600 | 90,003 | 12,601 | 88,615 | 100,983 | 12,470 | ||||||||||||||||||
Credit card & other | 544 | 544 | 246 | 306 | 306 | 133 | ||||||||||||||||||
Total | $ | 200,058 | $ | 214,842 | $ | 36,783 | $ | 227,041 | $ | 242,974 | $ | 41,405 | ||||||||||||
Total commercial | $ | 34,348 | $ | 44,602 | $ | 7,021 | $ | 51,086 | $ | 58,776 | $ | 4,413 | ||||||||||||
Total consumer | $ | 220,483 | $ | 247,953 | $ | 36,783 | $ | 247,692 | $ | 277,527 | $ | 41,405 | ||||||||||||
Total impaired loans | $ | 254,831 | $ | 292,555 | $ | 43,804 | $ | 298,778 | $ | 336,303 | $ | 45,818 |
Three Months Ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | ||||||||||||||||||||||||
Impaired loans with no related allowance recorded: | ||||||||||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||||||||||
General C&I | $ | 5,771 | $ | — | $ | 13,708 | $ | — | $ | 8,706 | $ | — | $ | 12,088 | $ | — | ||||||||||||||||
Income CRE | — | — | 1,234 | — | — | — | 2,057 | — | ||||||||||||||||||||||||
Total | $ | 5,771 | $ | — | $ | 14,942 | $ | — | $ | 8,706 | $ | — | $ | 14,145 | $ | — | ||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
HELOC (a) | $ | 10,225 | $ | — | $ | 11,273 | $ | — | $ | 10,536 | $ | — | $ | 11,100 | $ | — | ||||||||||||||||
R/E installment loans (a) | 4,182 | — | 4,158 | — | 4,014 | — | 4,333 | — | ||||||||||||||||||||||||
Permanent mortgage (a) | 5,693 | — | 4,280 | — | 5,701 | — | 4,292 | — | ||||||||||||||||||||||||
Total | $ | 20,100 | $ | — | $ | 19,711 | $ | — | $ | 20,251 | $ | — | $ | 19,725 | $ | — | ||||||||||||||||
Impaired loans with related allowance recorded: | ||||||||||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||||||||||
General C&I | $ | 26,144 | $ | 193 | $ | 33,433 | $ | 289 | $ | 29,136 | $ | 597 | $ | 29,896 | $ | 668 | ||||||||||||||||
TRUPS | 3,117 | — | 3,258 | — | 3,157 | — | 3,291 | — | ||||||||||||||||||||||||
Income CRE | 1,628 | 11 | 3,211 | 15 | 1,737 | 39 | 4,376 | 55 | ||||||||||||||||||||||||
Residential CRE | 1,044 | — | 1,355 | 5 | 1,210 | 10 | 1,376 | 17 | ||||||||||||||||||||||||
Total | $ | 31,933 | $ | 204 | $ | 41,257 | $ | 309 | $ | 35,240 | $ | 646 | $ | 38,939 | $ | 740 | ||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
HELOC | $ | 74,894 | $ | 554 | $ | 87,919 | $ | 546 | $ | 78,859 | $ | 1,695 | $ | 88,266 | $ | 1,527 | ||||||||||||||||
R/E installment loans | 47,628 | 315 | 57,775 | 357 | 49,634 | 950 | 58,890 | 1,019 | ||||||||||||||||||||||||
Permanent mortgage | 79,305 | 616 | 90,697 | 544 | 82,186 | 1,805 | 92,716 | 1,602 | ||||||||||||||||||||||||
Credit card & other | 452 | 3 | 348 | 4 | 351 | 8 | 353 | 10 | ||||||||||||||||||||||||
Total | $ | 202,279 | $ | 1,488 | $ | 236,739 | $ | 1,451 | $ | 211,030 | $ | 4,458 | $ | 240,225 | $ | 4,158 | ||||||||||||||||
Total commercial | $ | 37,704 | $ | 204 | $ | 56,199 | $ | 309 | $ | 43,946 | $ | 646 | $ | 53,084 | $ | 740 | ||||||||||||||||
Total consumer | $ | 222,379 | $ | 1,488 | $ | 256,450 | $ | 1,451 | $ | 231,281 | $ | 4,458 | $ | 259,950 | $ | 4,158 | ||||||||||||||||
Total impaired loans | $ | 260,083 | $ | 1,692 | $ | 312,649 | $ | 1,760 | $ | 275,227 | $ | 5,104 | $ | 313,034 | $ | 4,898 |
FIRST HORIZON CORPORATION | 18 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior to 2017 | LMC (a) | Revolving Loans | Revolving Loans Converted to Term Loans (b) | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Indicator: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (PD grades 1 through 12) (c) | $ | 4,191 | $ | 6,164 | $ | 4,163 | $ | 1,958 | $ | 1,448 | $ | 2,758 | $ | 4,876 | $ | 5,827 | $ | 13 | $ | 31,398 | ||||||||||||||||||||||||||||||||||||||||||
Special Mention (PD grade 13) | 22 | 50 | 56 | 75 | 24 | 75 | 0 | 155 | 5 | 462 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard, Doubtful, or Loss (PD grades 14,15, and 16) | 52 | 122 | 77 | 118 | 24 | 111 | 0 | 117 | 47 | 668 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total C&I loans | $ | 4,265 | $ | 6,336 | $ | 4,296 | $ | 2,151 | $ | 1,496 | $ | 2,944 | $ | 4,876 | $ | 6,099 | $ | 65 | $ | 32,528 |
September 30, 2017 | |||||||||||||||||||||||||||||||
(Dollars in thousands) | General C&I | Loans to Mortgage Companies | TRUPS (a) | Income CRE | Residential CRE | Total | Percentage of Total | Allowance for Loan Losses | |||||||||||||||||||||||
PD Grade: | |||||||||||||||||||||||||||||||
1 | $ | 583,818 | $ | — | $ | — | $ | 1,832 | $ | — | $ | 585,650 | 4 | % | $ | 81 | |||||||||||||||
2 | 905,992 | — | — | 3,777 | 112 | 909,881 | 6 | 385 | |||||||||||||||||||||||
3 | 500,056 | 643,772 | — | 156,694 | — | 1,300,522 | 9 | 277 | |||||||||||||||||||||||
4 | 1,026,592 | 578,566 | — | 295,781 | 212 | 1,901,151 | 13 | 955 | |||||||||||||||||||||||
5 | 1,460,107 | 211,846 | — | 443,751 | 2,053 | 2,117,757 | 14 | 7,697 | |||||||||||||||||||||||
6 | 1,519,911 | 362,685 | — | 413,342 | 6,114 | 2,302,052 | 14 | 9,857 | |||||||||||||||||||||||
7 | 1,705,394 | 60,135 | — | 446,493 | 8,372 | 2,220,394 | 14 | 13,297 | |||||||||||||||||||||||
8 | 1,042,209 | 34,623 | — | 259,813 | 4,908 | 1,341,553 | 9 | 20,963 | |||||||||||||||||||||||
9 | 556,662 | 60,954 | — | 66,082 | 4,276 | 687,974 | 5 | 11,376 | |||||||||||||||||||||||
10 | 395,187 | — | — | 31,570 | 6,558 | 433,315 | 3 | 8,502 | |||||||||||||||||||||||
11 | 217,190 | 13,548 | — | 24,878 | 4,819 | 260,435 | 2 | 6,730 | |||||||||||||||||||||||
12 | 185,929 | — | — | 10,798 | 2,709 | 199,436 | 1 | 7,065 | |||||||||||||||||||||||
13 | 142,729 | — | 304,236 | 38,979 | 91 | 486,035 | 3 | 6,927 | |||||||||||||||||||||||
14,15,16 | 226,924 | 26 | — | 10,062 | 819 | 237,831 | 2 | 23,974 | |||||||||||||||||||||||
Collectively evaluated for impairment | 10,468,700 | 1,966,155 | 304,236 | 2,203,852 | 41,043 | 14,983,986 | 99 | 118,086 | |||||||||||||||||||||||
Individually evaluated for impairment | 28,931 | — | 3,097 | 1,525 | 795 | 34,348 | 1 | 7,021 | |||||||||||||||||||||||
Purchased credit-impaired loans | 20,725 | — | — | 3,792 | 8 | 24,525 | — | 2,781 | |||||||||||||||||||||||
Total commercial loans | $ | 10,518,356 | $ | 1,966,155 | $ | 307,333 | $ | 2,209,169 | $ | 41,846 | $ | 15,042,859 | 100 | % | $ | 127,888 |
FIRST HORIZON CORPORATION | 19 | 2Q21 FORM 10-Q REPORT |
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2020 | 2019 | 2018 | 2017 | 2016 | Prior to 2016 | LMC (a) | Revolving Loans | Revolving Loans Converted to Term Loans (b) | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Indicator: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (PD grades 1 through 12) (c) | $ | 9,060 | $ | 5,138 | $ | 2,628 | $ | 1,748 | $ | 1,161 | $ | 2,145 | $ | 5,404 | $ | 4,571 | $ | 60 | $ | 31,915 | ||||||||||||||||||||||||||||||||||||||||||
Special Mention (PD grade 13) | 89 | 93 | 70 | 31 | 37 | 64 | 0 | 127 | 1 | 512 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard, Doubtful, or Loss (PD grades 14,15, and 16) | 182 | 77 | 114 | 50 | 42 | 58 | 0 | 95 | 59 | 677 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total C&I loans | $ | 9,331 | $ | 5,308 | $ | 2,812 | $ | 1,829 | $ | 1,240 | $ | 2,267 | $ | 5,404 | $ | 4,793 | $ | 120 | $ | 33,104 |
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior to 2017 | Revolving Loans | Revolving Loans Converted to Term Loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Indicator: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (PD grades 1 through 12) | $ | 1,238 | $ | 2,295 | $ | 3,248 | $ | 1,399 | $ | 873 | $ | 2,273 | $ | 299 | $ | 0 | $ | 11,625 | ||||||||||||||||||||||||||||||||||||||
Special Mention (PD grade 13) | 3 | 74 | 50 | 190 | 70 | 101 | 0 | 0 | 488 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard, Doubtful, or Loss (PD grades 14,15, and 16) | 4 | 18 | 11 | 25 | 40 | 55 | 26 | 0 | 179 | |||||||||||||||||||||||||||||||||||||||||||||||
Total CRE loans | $ | 1,245 | $ | 2,387 | $ | 3,309 | $ | 1,614 | $ | 983 | $ | 2,429 | $ | 325 | $ | 0 | $ | 12,292 | ||||||||||||||||||||||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2020 | 2019 | 2018 | 2017 | 2016 | Prior to 2016 | Revolving Loans | Revolving Loans Converted to Term Loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Indicator: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (PD grades 1 through 12) | $ | 2,477 | $ | 3,311 | $ | 1,750 | $ | 1,140 | $ | 946 | $ | 1,800 | $ | 259 | $ | 19 | $ | 11,702 | ||||||||||||||||||||||||||||||||||||||
Special Mention (PD grade 13) | 48 | 24 | 117 | 75 | 71 | 54 | 0 | 0 | 389 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard, Doubtful, or Loss (PD grades 14,15, and 16) | 30 | 13 | 21 | 42 | 27 | 33 | 18 | 0 | 184 | |||||||||||||||||||||||||||||||||||||||||||||||
Total CRE loans | $ | 2,555 | $ | 3,348 | $ | 1,888 | $ | 1,257 | $ | 1,044 | $ | 1,887 | $ | 277 | $ | 19 | $ | 12,275 |
December 31, 2016 | |||||||||||||||||||||||||||||||
(Dollars in thousands) | General C&I | Loans to Mortgage Companies | TRUPS (a) | Income CRE | Residential CRE | Total | Percentage of Total | Allowance for Loan Losses | |||||||||||||||||||||||
PD Grade: | |||||||||||||||||||||||||||||||
1 | $ | 465,179 | $ | — | $ | — | $ | 1,078 | $ | — | $ | 466,257 | 3 | % | $ | 77 | |||||||||||||||
2 | 791,183 | — | — | 11,742 | 87 | 803,012 | 6 | 403 | |||||||||||||||||||||||
3 | 491,386 | 462,486 | — | 153,670 | — | 1,107,542 | 8 | 304 | |||||||||||||||||||||||
4 | 978,282 | 332,107 | — | 222,422 | — | 1,532,811 | 11 | 953 | |||||||||||||||||||||||
5 | 1,232,401 | 275,209 | — | 365,653 | 702 | 1,873,965 | 13 | 6,670 | |||||||||||||||||||||||
6 | 1,540,519 | 614,109 | — | 338,344 | 9,338 | 2,502,310 | 17 | 10,403 | |||||||||||||||||||||||
7 | 1,556,117 | 317,283 | — | 352,390 | 2,579 | 2,228,369 | 16 | 14,010 | |||||||||||||||||||||||
8 | 963,359 | 30,974 | — | 425,503 | 2,950 | 1,422,786 | 10 | 25,986 | |||||||||||||||||||||||
9 | 611,774 | 4,299 | — | 105,277 | 4,417 | 725,767 | 5 | 13,857 | |||||||||||||||||||||||
10 | 355,359 | 8,663 | — | 50,484 | 9,110 | 423,616 | 3 | 8,400 | |||||||||||||||||||||||
11 | 238,230 | — | — | 20,600 | 6,541 | 265,371 | 2 | 6,556 | |||||||||||||||||||||||
12 | 170,531 | — | — | 15,395 | 4,168 | 190,094 | 1 | 6,377 | |||||||||||||||||||||||
13 | 121,276 | — | 304,236 | 6,748 | 311 | 432,571 | 3 | 4,225 | |||||||||||||||||||||||
14,15,16 | 194,572 | 59 | — | 16,313 | 1,659 | 212,603 | 1 | 20,297 | |||||||||||||||||||||||
Collectively evaluated for impairment | 9,710,168 | 2,045,189 | 304,236 | 2,085,619 | 41,862 | 14,187,074 | 99 | 118,518 | |||||||||||||||||||||||
Individually evaluated for impairment | 44,753 | — | 3,209 | 1,831 | 1,293 | 51,086 | 1 | 4,413 | |||||||||||||||||||||||
Purchased credit-impaired loans | 40,532 | — | — | 4,583 | 335 | 45,450 | — | 319 | |||||||||||||||||||||||
Total commercial loans | $ | 9,795,453 | $ | 2,045,189 | $ | 307,445 | $ | 2,092,033 | $ | 43,490 | $ | 14,283,610 | 100 | % | $ | 123,250 |
2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer Real Estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior to 2017 | Revolving Loans | Revolving Loans Converted to Term Loans (a) | Total | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 740 or greater | $ | 645 | $ | 1,144 | $ | 950 | $ | 520 | $ | 460 | $ | 2,083 | $ | 1,165 | $ | 138 | $ | 7,105 | ||||||||||||||||||||||||||||||||||||||
FICO score 720-739 | 75 | 148 | 123 | 87 | 59 | 222 | 167 | 26 | 907 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 700-719 | 70 | 104 | 83 | 60 | 66 | 229 | 161 | 28 | 801 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 660-699 | 50 | 129 | 102 | 101 | 62 | 275 | 225 | 53 | 997 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 620-659 | 12 | 38 | 61 | 24 | 18 | 136 | 77 | 29 | 395 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score less than 620 | 171 | 49 | 27 | 37 | 44 | 250 | 47 | 35 | 660 | |||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,023 | $ | 1,612 | $ | 1,346 | $ | 829 | $ | 709 | $ | 3,195 | $ | 1,842 | $ | 309 | $ | 10,865 |
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer Real Estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2020 | 2019 | 2018 | 2017 | 2016 | Prior to 2016 | Revolving Loans | Revolving Loans Converted to Term Loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 740 or greater | $ | 1,186 | $ | 1,167 | $ | 703 | $ | 610 | $ | 674 | $ | 1,719 | $ | 1,275 | $ | 159 | $ | 7,493 | ||||||||||||||||||||||||||||||||||||||
FICO score 720-739 | 157 | 158 | 100 | 77 | 92 | 197 | 186 | 29 | 996 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 700-719 | 122 | 107 | 78 | 76 | 73 | 221 | 177 | 34 | 888 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 660-699 | 130 | 141 | 123 | 75 | 85 | 296 | 264 | 59 | 1,173 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 620-659 | 45 | 61 | 37 | 28 | 35 | 127 | 92 | 36 | 461 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score less than 620 | 107 | 36 | 52 | 54 | 95 | 261 | 61 | 48 | 714 | |||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,747 | $ | 1,670 | $ | 1,093 | $ | 920 | $ | 1,054 | $ | 2,821 | $ | 2,055 | $ | 365 | $ | 11,725 |
September 30, 2017 | December 31, 2016 | |||||||||||||||||||||||
HELOC | R/E Installment Loans | Permanent Mortgage | HELOC | R/E Installment Loans | Permanent Mortgage | |||||||||||||||||||
FICO score 740 or greater | 58.5 | % | 71.8 | % | 45.1 | % | 56.9 | % | 70.3 | % | 45.0 | % | ||||||||||||
FICO score 720-739 | 8.8 | 8.1 | 12.8 | 8.8 | 8.3 | 9.5 | ||||||||||||||||||
FICO score 700-719 | 8.2 | 6.6 | 11.0 | 8.6 | 6.8 | 9.2 | ||||||||||||||||||
FICO score 660-699 | 12.1 | 8.4 | 15.3 | 13.2 | 8.4 | 17.1 | ||||||||||||||||||
FICO score 620-659 | 5.6 | 2.7 | 7.0 | 5.6 | 3.5 | 9.1 | ||||||||||||||||||
FICO score less than 620 (a) | 6.8 | 2.4 | 8.8 | 6.9 | 2.7 | 10.1 | ||||||||||||||||||
Total | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Card and Other | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior to 2017 | Revolving Loans | Revolving Loans Converted to Term Loans (a) | Total | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 740 or greater | $ | 44 | $ | 45 | $ | 37 | $ | 43 | $ | 27 | $ | 104 | $ | 136 | $ | 7 | $ | 443 | ||||||||||||||||||||||||||||||||||||||
FICO score 720-739 | 9 | 7 | 6 | 5 | 7 | 27 | 37 | 2 | 100 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 700-719 | 5 | 8 | 6 | 7 | 5 | 33 | 37 | 1 | 102 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 660-699 | 21 | 11 | 8 | 12 | 7 | 47 | 92 | 3 | 201 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 620-659 | 2 | 4 | 3 | 6 | 4 | 28 | 18 | 2 | 67 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score less than 620 | 15 | 8 | 4 | 6 | 9 | 26 | 20 | 1 | 89 | |||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 96 | $ | 83 | $ | 64 | $ | 79 | $ | 59 | $ | 265 | $ | 340 | $ | 16 | $ | 1,002 |
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Card and Other | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2020 | 2019 | 2018 | 2017 | 2016 | Prior to 2016 | Revolving Loans | Revolving Loans Converted to Term Loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 740 or greater | $ | 57 | $ | 52 | $ | 59 | $ | 37 | $ | 23 | $ | 116 | $ | 159 | $ | 5 | $ | 508 | ||||||||||||||||||||||||||||||||||||||
FICO score 720-739 | 7 | 7 | 9 | 8 | 8 | 27 | 91 | 2 | 159 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 700-719 | 9 | 8 | 9 | 8 | 4 | 38 | 37 | 3 | 116 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 660-699 | 30 | 12 | 15 | 9 | 9 | 48 | 46 | 3 | 172 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score 620-659 | 5 | 5 | 7 | 5 | 10 | 24 | 20 | 1 | 77 | |||||||||||||||||||||||||||||||||||||||||||||||
FICO score less than 620 | 14 | 7 | 8 | 11 | 9 | 26 | 20 | 1 | 96 | |||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 122 | $ | 91 | $ | 107 | $ | 78 | $ | 63 | $ | 279 | $ | 373 | $ | 15 | $ | 1,128 |
FIRST HORIZON CORPORATION | 22 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accruing | Non-Accruing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Accruing | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Non- Accruing | Total Loans and Leases | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I (a) | $ | 27,488 | $ | 40 | $ | 1 | $ | 27,529 | $ | 93 | $ | 2 | $ | 28 | $ | 123 | $ | 27,652 | ||||||||||||||||||||||||||||||||||||||
Loans to mortgage companies | 4,876 | 0 | 0 | 4,876 | 0 | 0 | 0 | 0 | 4,876 | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial, financial, and industrial | 32,364 | 40 | 1 | 32,405 | 93 | 2 | 28 | 123 | 32,528 | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | 12,216 | 6 | 0 | 12,222 | 18 | 0 | 52 | 70 | 12,292 | |||||||||||||||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HELOC (b) | 2,083 | 6 | 8 | 2,097 | 41 | 2 | 11 | 54 | 2,151 | |||||||||||||||||||||||||||||||||||||||||||||||
Real estate installment loans (c) | 8,591 | 24 | 4 | 8,619 | 52 | 4 | 39 | 95 | 8,714 | |||||||||||||||||||||||||||||||||||||||||||||||
Total consumer real estate | 10,674 | 30 | 12 | 10,716 | 93 | 6 | 50 | 149 | 10,865 | |||||||||||||||||||||||||||||||||||||||||||||||
Credit card and other: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit card | 267 | 2 | 1 | 270 | 0 | 0 | 0 | 0 | 270 | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 725 | 5 | 0 | 730 | 1 | 0 | 1 | 2 | 732 | |||||||||||||||||||||||||||||||||||||||||||||||
Total credit card and other | 992 | 7 | 1 | 1,000 | 1 | 0 | 1 | 2 | 1,002 | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans and leases | $ | 56,246 | $ | 83 | $ | 14 | $ | 56,343 | $ | 205 | $ | 8 | $ | 131 | $ | 344 | $ | 56,687 |
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accruing | Non-Accruing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Accruing | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Non- Accruing | Total Loans | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I (a) | $ | 27,541 | $ | 15 | $ | 0 | $ | 27,556 | $ | 88 | $ | 12 | $ | 44 | $ | 144 | $ | 27,700 | ||||||||||||||||||||||||||||||||||||||
Loans to mortgage companies | 5,404 | 0 | 0 | 5,404 | 0 | 0 | 0 | 0 | 5,404 | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial, financial, and industrial | 32,945 | 15 | 0 | 32,960 | 88 | 12 | 44 | 144 | 33,104 | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | 12,194 | 23 | 0 | 12,217 | 10 | 42 | 6 | 58 | 12,275 | |||||||||||||||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HELOC | 2,336 | 13 | 11 | 2,360 | 43 | 3 | 14 | 60 | 2,420 | |||||||||||||||||||||||||||||||||||||||||||||||
Real estate installment loans | 9,138 | 40 | 5 | 9,183 | 63 | 9 | 50 | 122 | 9,305 | |||||||||||||||||||||||||||||||||||||||||||||||
Total consumer real estate | 11,474 | 53 | 16 | 11,543 | 106 | 12 | 64 | 182 | 11,725 | |||||||||||||||||||||||||||||||||||||||||||||||
Credit card and other: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit card | 279 | 3 | 1 | 283 | 0 | 0 | 0 | 0 | 283 | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 838 | 6 | 0 | 844 | 1 | 0 | 1 | 2 | 845 | |||||||||||||||||||||||||||||||||||||||||||||||
Total credit card and other | 1,117 | 9 | 1 | 1,127 | 1 | 0 | 1 | 2 | 1,128 | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans and leases, net of unearned income | $ | 57,730 | $ | 100 | $ | 17 | $ | 57,847 | $ | 205 | $ | 66 | $ | 115 | $ | 386 | $ | 58,232 |
Accruing | Non-Accruing | |||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Accruing | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Non- Accruing | Total Loans | |||||||||||||||||||||||||||
Commercial (C&I): | ||||||||||||||||||||||||||||||||||||
General C&I | $ | 10,462,376 | $ | 19,324 | $ | 129 | $ | 10,481,829 | $ | 5,260 | $ | 1,252 | $ | 9,290 | $ | 15,802 | $ | 10,497,631 | ||||||||||||||||||
Loans to mortgage companies | 1,966,129 | — | — | 1,966,129 | — | — | 26 | 26 | 1,966,155 | |||||||||||||||||||||||||||
TRUPS (a) | 304,236 | — | — | 304,236 | — | — | 3,097 | 3,097 | 307,333 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 6,080 | 70 | 14,575 | 20,725 | — | — | — | — | 20,725 | |||||||||||||||||||||||||||
Total commercial (C&I) | 12,738,821 | 19,394 | 14,704 | 12,772,919 | 5,260 | 1,252 | 12,413 | 18,925 | 12,791,844 | |||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||
Income CRE | 2,204,042 | 490 | — | 2,204,532 | 105 | — | 740 | 845 | 2,205,377 | |||||||||||||||||||||||||||
Residential CRE | 41,043 | — | — | 41,043 | — | — | 795 | 795 | 41,838 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 3,800 | — | — | 3,800 | — | — | — | — | 3,800 | |||||||||||||||||||||||||||
Total commercial real estate | 2,248,885 | 490 | — | 2,249,375 | 105 | — | 1,535 | 1,640 | 2,251,015 | |||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||
HELOC | 1,375,690 | 14,312 | 8,518 | 1,398,520 | 43,188 | 3,217 | 9,020 | 55,425 | 1,453,945 | |||||||||||||||||||||||||||
R/E installment loans | 2,883,593 | 5,855 | 3,609 | 2,893,057 | 15,510 | 2,875 | 3,035 | 21,420 | 2,914,477 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 1,198 | — | 97 | 1,295 | — | — | — | — | 1,295 | |||||||||||||||||||||||||||
Total consumer real estate | 4,260,481 | 20,167 | 12,224 | 4,292,872 | 58,698 | 6,092 | 12,055 | 76,845 | 4,369,717 | |||||||||||||||||||||||||||
Permanent mortgage | 369,546 | 3,333 | 2,753 | 375,632 | 12,557 | 577 | 14,316 | 27,450 | 403,082 | |||||||||||||||||||||||||||
Credit card & other: | ||||||||||||||||||||||||||||||||||||
Credit card | 191,714 | 1,254 | 1,081 | 194,049 | — | — | — | — | 194,049 | |||||||||||||||||||||||||||
Other | 155,460 | 610 | 188 | 156,258 | — | — | 126 | 126 | 156,384 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Total credit card & other | 347,174 | 1,864 | 1,269 | 350,307 | — | — | 126 | 126 | 350,433 | |||||||||||||||||||||||||||
Total loans, net of unearned income | $ | 19,964,907 | $ | 45,248 | $ | 30,950 | $ | 20,041,105 | $ | 76,620 | $ | 7,921 | $ | 40,445 | $ | 124,986 | $ | 20,166,091 |
FIRST HORIZON CORPORATION | 23 | 2Q21 FORM 10-Q REPORT |
Accruing | Non-Accruing | |||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Accruing | Current | 30-89 Days Past Due | 90+ Days Past Due | Total Non- Accruing | Total Loans | |||||||||||||||||||||||||||
Commercial (C&I): | ||||||||||||||||||||||||||||||||||||
General C&I | $ | 9,720,231 | $ | 5,199 | $ | 23 | $ | 9,725,453 | $ | 16,106 | $ | 374 | $ | 12,988 | $ | 29,468 | $ | 9,754,921 | ||||||||||||||||||
Loans to mortgage companies | 2,041,408 | 3,722 | — | 2,045,130 | — | — | 59 | 59 | 2,045,189 | |||||||||||||||||||||||||||
TRUPS (a) | 304,236 | — | — | 304,236 | — | — | 3,209 | 3,209 | 307,445 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 40,113 | 185 | 234 | 40,532 | — | — | — | — | 40,532 | |||||||||||||||||||||||||||
Total commercial (C&I) | 12,105,988 | 9,106 | 257 | 12,115,351 | 16,106 | 374 | 16,256 | 32,736 | 12,148,087 | |||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||
Income CRE | 2,085,455 | 14 | — | 2,085,469 | 232 | 460 | 1,289 | 1,981 | 2,087,450 | |||||||||||||||||||||||||||
Residential CRE | 42,182 | 178 | — | 42,360 | — | — | 795 | 795 | 43,155 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 4,809 | 109 | — | 4,918 | — | — | — | — | 4,918 | |||||||||||||||||||||||||||
Total commercial real estate | 2,132,446 | 301 | — | 2,132,747 | 232 | 460 | 2,084 | 2,776 | 2,135,523 | |||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||
HELOC | 1,602,640 | 17,997 | 10,859 | 1,631,496 | 46,964 | 4,201 | 8,922 | 60,087 | 1,691,583 | |||||||||||||||||||||||||||
R/E installment loans | 2,794,866 | 7,844 | 5,158 | 2,807,868 | 17,989 | 2,383 | 2,353 | 22,725 | 2,830,593 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 1,319 | 164 | 93 | 1,576 | — | — | — | — | 1,576 | |||||||||||||||||||||||||||
Total consumer real estate | 4,398,825 | 26,005 | 16,110 | 4,440,940 | 64,953 | 6,584 | 11,275 | 82,812 | 4,523,752 | |||||||||||||||||||||||||||
Permanent mortgage | 385,972 | 4,544 | 5,428 | 395,944 | 11,867 | 2,194 | 13,120 | 27,181 | 423,125 | |||||||||||||||||||||||||||
Credit card & other: | ||||||||||||||||||||||||||||||||||||
Credit card | 188,573 | 1,622 | 1,456 | 191,651 | — | — | — | — | 191,651 | |||||||||||||||||||||||||||
Other | 166,062 | 992 | 134 | 167,188 | — | — | 142 | 142 | 167,330 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 52 | — | — | 52 | — | — | — | — | 52 | |||||||||||||||||||||||||||
Total credit card & other | 354,687 | 2,614 | 1,590 | 358,891 | — | — | 142 | 142 | 359,033 | |||||||||||||||||||||||||||
Total loans, net of unearned income | $ | 19,377,918 | $ | 42,570 | $ | 23,385 | $ | 19,443,873 | $ | 93,158 | $ | 9,612 | $ | 42,877 | $ | 145,647 | $ | 19,589,520 |
FIRST HORIZON CORPORATION | 24 | 2Q21 FORM 10-Q REPORT |
Three Months Ended June 30, 2021 | Three Months Ended June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I | 10 | $ | 19 | $ | 19 | 1 | $ | 5 | $ | 5 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HELOC | 7 | 0 | 0 | 4 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate installment loans | 26 | 6 | 6 | 40 | 8 | 8 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total consumer real estate | 33 | 6 | 6 | 44 | 8 | 8 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Credit card and other | 15 | 0 | 0 | 16 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total TDRs | 58 | $ | 25 | $ | 25 | 61 | $ | 13 | $ | 13 | ||||||||||||||||||||||||||||||||||||||||||||||
Six Months Ended June 30, 2021 | Six Months Ended June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I | 27 | $ | 28 | $ | 27 | 4 | $ | 11 | $ | 9 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | 1 | 12 | 10 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HELOC | 19 | 2 | 2 | 12 | 1 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate installment loans | 35 | 8 | 8 | 50 | 9 | 9 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total consumer real estate | 54 | 10 | 10 | 62 | 10 | 10 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Credit card and other | 28 | 0 | 0 | 40 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total TDRs | 110 | $ | 50 | $ | 47 | 106 | $ | 21 | $ | 19 | ||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2017 | Nine Months Ended September 30, 2017 | |||||||||||||||||||||
(Dollars in thousands) | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||
Commercial (C&I): | ||||||||||||||||||||||
General C&I | — | $ | — | $ | — | 2 | $ | 842 | $ | 836 | ||||||||||||
Total commercial (C&I) | — | — | — | 2 | 842 | 836 | ||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||
HELOC | 45 | 4,451 | 4,396 | 107 | 9,333 | 9,139 | ||||||||||||||||
R/E installment loans | 15 | 1,630 | 1,622 | 43 | 3,386 | 3,306 | ||||||||||||||||
Total consumer real estate | 60 | 6,081 | 6,018 | 150 | 12,719 | 12,445 | ||||||||||||||||
Permanent mortgage | 2 | 34 | 32 | 11 | 2,043 | 2,028 | ||||||||||||||||
Credit card & other | 37 | 261 | 251 | 66 | 426 | 411 | ||||||||||||||||
Total troubled debt restructurings | 99 | $ | 6,376 | $ | 6,301 | 229 | $ | 16,030 | $ | 15,720 | ||||||||||||
Three Months Ended September 30, 2016 | Nine Months Ended September 30, 2016 | |||||||||||||||||||||
(Dollars in thousands) | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||
Commercial (C&I): | ||||||||||||||||||||||
General C&I | 2 | $ | 419 | $ | 419 | 7 | $ | 20,302 | $ | 19,194 | ||||||||||||
Total commercial (C&I) | 2 | 419 | 419 | 7 | 20,302 | 19,194 | ||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||
Income CRE | 1 | 100 | 99 | 1 | 100 | 99 | ||||||||||||||||
Total commercial real estate | 1 | 100 | 99 | 1 | 100 | 99 | ||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||
HELOC | 48 | 5,720 | 5,573 | 200 | 18,418 | 18,189 | ||||||||||||||||
R/E installment loans | 10 | 345 | 337 | 44 | 4,569 | 4,846 | ||||||||||||||||
Total consumer real estate | 58 | 6,065 | 5,910 | 244 | 22,987 | 23,035 | ||||||||||||||||
Permanent mortgage | 2 | 710 | 704 | 6 | 1,551 | 1,544 | ||||||||||||||||
Credit card & other | 10 | 45 | 44 | 15 | 66 | 64 | ||||||||||||||||
Total troubled debt restructurings | 73 | $ | 7,339 | $ | 7,176 | 273 | $ | 45,006 | $ | 43,936 |
FIRST HORIZON CORPORATION | 25 | 2Q21 FORM 10-Q REPORT |
Three Months Ended June 30, 2021 | Three Months Ended June 30, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Number | Recorded Investment | Number | Recorded Investment | ||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||
C&I | 5 | $ | 1 | 0 | $ | 0 | ||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||
CRE | 2 | 9 | 0 | 0 | ||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||
HELOC | 0 | 0 | 3 | 1 | ||||||||||||||||||||||||||||||||||
Real estate installment loans | 4 | 1 | 5 | 1 | ||||||||||||||||||||||||||||||||||
Total consumer real estate | 4 | 1 | 8 | 2 | ||||||||||||||||||||||||||||||||||
Credit card and other | 1 | 0 | 7 | 0 | ||||||||||||||||||||||||||||||||||
Total TDRs | 12 | $ | 11 | 15 | $ | 2 | ||||||||||||||||||||||||||||||||
Six Months Ended June 30, 2021 | Six Months Ended June 30, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Number | Recorded Investment | Number | Recorded Investment | ||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||
C&I | 12 | $ | 2 | 0 | $ | 0 | ||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||
CRE | 2 | 9 | 0 | 0 | ||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||
HELOC | 1 | 0 | 7 | 2 | ||||||||||||||||||||||||||||||||||
Real estate installment loans | 7 | 3 | 10 | 2 | ||||||||||||||||||||||||||||||||||
Total consumer real estate | 8 | 3 | 17 | 4 | ||||||||||||||||||||||||||||||||||
Credit card and other | 1 | 0 | 14 | 0 | ||||||||||||||||||||||||||||||||||
Total TDRs | 23 | $ | 14 | 31 | $ | 4 | ||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2017 | Nine Months Ended September 30, 2017 | |||||||||||||
(Dollars in thousands) | Number | Recorded Investment | Number | Recorded Investment | ||||||||||
Commercial (C&I): | ||||||||||||||
General C&I | 1 | $ | 1,763 | 4 | $ | 9,770 | ||||||||
Total commercial (C&I) | 1 | 1,763 | 4 | 9,770 | ||||||||||
Commercial real estate: | ||||||||||||||
Income CRE | 1 | 88 | 1 | 88 | ||||||||||
Total commercial real estate | 1 | 88 | 1 | 88 | ||||||||||
Consumer real estate: | ||||||||||||||
HELOC | — | — | 4 | 685 | ||||||||||
Total consumer real estate | — | — | 4 | 685 | ||||||||||
Permanent mortgage | 1 | 89 | 2 | 627 | ||||||||||
Credit card & other | 2 | 12 | 5 | 30 | ||||||||||
Total troubled debt restructurings | 5 | $ | 1,952 | 16 | $ | 11,200 | ||||||||
Three Months Ended September 30, 2016 | Nine Months Ended September 30, 2016 | |||||||||||||
(Dollars in thousands) | Number | Recorded Investment | Number | Recorded Investment | ||||||||||
Consumer real estate: | ||||||||||||||
HELOC | — | $ | — | 2 | $ | 138 | ||||||||
R/E installment loans | — | — | 1 | 180 | ||||||||||
Total consumer real estate | — | — | 3 | 318 | ||||||||||
Total troubled debt restructurings | — | $ | — | 3 | $ | 318 |
FIRST HORIZON CORPORATION | 26 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 27 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | Commercial, Financial, and Industrial (a) | Commercial Real Estate | Consumer Real Estate | Credit Card and Other | Total | |||||||||||||||||||||||||||
Allowance for loan and lease losses: | ||||||||||||||||||||||||||||||||
Balance as of April 1, 2021 | $ | 442 | $ | 232 | $ | 222 | $ | 18 | $ | 914 | ||||||||||||||||||||||
Charge-offs | (2) | 0 | (1) | (3) | (6) | |||||||||||||||||||||||||||
Recoveries | 5 | 1 | 8 | 2 | 16 | |||||||||||||||||||||||||||
Provision for loan and lease losses | (60) | (23) | (26) | 0 | (109) | |||||||||||||||||||||||||||
Balance as of June 30, 2021 | $ | 385 | $ | 210 | $ | 203 | $ | 17 | $ | 815 | ||||||||||||||||||||||
Balance as of April 1, 2020 | $ | 255 | $ | 48 | $ | 123 | $ | 19 | $ | 445 | ||||||||||||||||||||||
Charge-offs | (18) | 0 | (2) | (3) | (23) | |||||||||||||||||||||||||||
Recoveries | 1 | 0 | 4 | 1 | 6 | |||||||||||||||||||||||||||
Provision for loan losses | 81 | 9 | 19 | 1 | 110 | |||||||||||||||||||||||||||
Balance as of June 30, 2020 | $ | 319 | $ | 57 | $ | 144 | $ | 18 | $ | 538 | ||||||||||||||||||||||
Reserve for remaining unfunded commitments: | ||||||||||||||||||||||||||||||||
Balance as of April 1, 2021 | $ | 62 | $ | 11 | $ | 8 | $ | 0 | $ | 81 | ||||||||||||||||||||||
Provision for remaining unfunded commitments | (5) | (2) | 1 | 0 | (6) | |||||||||||||||||||||||||||
Balance as of June 30, 2021 | $ | 57 | $ | 9 | $ | 9 | $ | 0 | $ | 75 | ||||||||||||||||||||||
Balance as of April 1, 2020 | $ | 27 | $ | 6 | $ | 6 | $ | 0 | $ | 39 | ||||||||||||||||||||||
Provision for remaining unfunded commitments | 9 | 0 | 2 | 0 | 11 | |||||||||||||||||||||||||||
Balance as of June 30, 2020 | $ | 36 | $ | 6 | $ | 8 | $ | 0 | $ | 50 | ||||||||||||||||||||||
Allowance for loan and lease losses: | ||||||||||||||||||||||||||||||||
Balance as of January 1, 2021 | $ | 453 | $ | 242 | $ | 242 | $ | 26 | $ | 963 | ||||||||||||||||||||||
Charge-offs | (16) | (3) | (4) | (6) | (29) | |||||||||||||||||||||||||||
Recoveries | 11 | 3 | 14 | 3 | 31 | |||||||||||||||||||||||||||
Provision for loan and lease losses | (63) | (32) | (49) | (6) | (150) | |||||||||||||||||||||||||||
Balance as of June 30, 2021 | $ | 385 | $ | 210 | $ | 203 | $ | 17 | $ | 815 | ||||||||||||||||||||||
Balance as of January 1, 2020, as adjusted (b) | $ | 142 | $ | 29 | $ | 121 | $ | 15 | $ | 307 | ||||||||||||||||||||||
Charge-offs | (25) | (1) | (4) | (6) | (36) | |||||||||||||||||||||||||||
Recoveries | 2 | 1 | 7 | 2 | 12 | |||||||||||||||||||||||||||
Provision for loan losses | 200 | 28 | 20 | 7 | 255 | |||||||||||||||||||||||||||
Balance as of June 30, 2020 | $ | 319 | $ | 57 | $ | 144 | $ | 18 | $ | 538 | ||||||||||||||||||||||
Reserve for remaining unfunded commitments: | ||||||||||||||||||||||||||||||||
Balance as of January 1, 2021 | $ | 65 | $ | 10 | $ | 10 | $ | 0 | $ | 85 | ||||||||||||||||||||||
Provision for remaining unfunded commitments | (8) | (1) | (1) | 0 | (10) | |||||||||||||||||||||||||||
Balance as of June 30, 2021 | $ | 57 | $ | 9 | $ | 9 | $ | 0 | $ | 75 | ||||||||||||||||||||||
Balance as of January 1, 2020, as adjusted (b) | $ | 21 | $ | 3 | $ | 6 | $ | 0 | $ | 30 | ||||||||||||||||||||||
Provision for remaining unfunded commitments | 15 | 3 | 2 | 0 | 20 | |||||||||||||||||||||||||||
Balance as of June 30, 2020 | $ | 36 | $ | 6 | $ | 8 | $ | 0 | $ | 50 | ||||||||||||||||||||||
(Dollars in thousands) | C&I | Commercial Real Estate | Consumer Real Estate | Permanent Mortgage | Credit Card and Other | Total | ||||||||||||||||||
Balance as of July 1, 2017 | $ | 92,379 | $ | 30,470 | $ | 46,069 | $ | 16,398 | $ | 11,941 | $ | 197,257 | ||||||||||||
Charge-offs | (3,723 | ) | — | (3,601 | ) | (173 | ) | (3,173 | ) | (10,670 | ) | |||||||||||||
Recoveries | 601 | 278 | 6,188 | 542 | 671 | 8,280 | ||||||||||||||||||
Provision/(provision credit) for loan losses | 8,948 | (1,065 | ) | (7,717 | ) | (1,048 | ) | 882 | — | |||||||||||||||
Balance as of September 30, 2017 | 98,205 | 29,683 | 40,939 | 15,719 | 10,321 | 194,867 | ||||||||||||||||||
Balance as of January 1, 2017 | $ | 89,398 | $ | 33,852 | $ | 50,357 | $ | 16,289 | $ | 12,172 | $ | 202,068 | ||||||||||||
Charge-offs | (6,188 | ) | (20 | ) | (11,401 | ) | (1,499 | ) | (9,805 | ) | (28,913 | ) | ||||||||||||
Recoveries | 2,877 | 639 | 17,007 | 1,933 | 2,256 | 24,712 | ||||||||||||||||||
Provision/(provision credit) for loan losses | 12,118 | (4,788 | ) | (15,024 | ) | (1,004 | ) | 5,698 | (3,000 | ) | ||||||||||||||
Balance as of September 30, 2017 | 98,205 | 29,683 | 40,939 | 15,719 | 10,321 | 194,867 | ||||||||||||||||||
Allowance - individually evaluated for impairment | 6,895 | 126 | 23,936 | 12,601 | 246 | 43,804 | ||||||||||||||||||
Allowance - collectively evaluated for impairment | 88,529 | 29,557 | 16,649 | 3,118 | 10,075 | 147,928 | ||||||||||||||||||
Allowance - purchased credit-impaired loans | 2,781 | — | 354 | — | — | 3,135 | ||||||||||||||||||
Loans, net of unearned as of September 30, 2017: | ||||||||||||||||||||||||
Individually evaluated for impairment | 32,028 | 2,320 | 135,858 | 84,081 | 544 | 254,831 | ||||||||||||||||||
Collectively evaluated for impairment | 12,739,091 | 2,244,895 | 4,232,564 | 319,001 | 349,889 | 19,885,440 | ||||||||||||||||||
Purchased credit-impaired loans | 20,725 | 3,800 | 1,295 | — | — | 25,820 | ||||||||||||||||||
Total loans, net of unearned income | $ | 12,791,844 | $ | 2,251,015 | $ | 4,369,717 | $ | 403,082 | $ | 350,433 | $ | 20,166,091 | ||||||||||||
Balance as of July 1, 2016 | $ | 80,972 | $ | 30,264 | $ | 59,081 | $ | 17,600 | $ | 11,890 | $ | 199,807 | ||||||||||||
Charge-offs | (1,992 | ) | (49 | ) | (4,359 | ) | (373 | ) | (3,589 | ) | (10,362 | ) | ||||||||||||
Recoveries | 725 | 651 | 5,591 | 239 | 906 | 8,112 | ||||||||||||||||||
Provision/(provision credit) for loan losses | 7,161 | 1,554 | (7,078 | ) | (877 | ) | 3,240 | 4,000 | ||||||||||||||||
Balance as of September 30, 2016 | 86,866 | 32,420 | 53,235 | 16,589 | 12,447 | 201,557 | ||||||||||||||||||
Balance as of January 1, 2016 | $ | 73,637 | $ | 25,159 | $ | 80,614 | $ | 18,947 | $ | 11,885 | $ | 210,242 | ||||||||||||
Charge-offs | (16,386 | ) | (742 | ) | (17,867 | ) | (834 | ) | (10,441 | ) | (46,270 | ) | ||||||||||||
Recoveries | 3,107 | 1,782 | 17,408 | 1,502 | 2,786 | 26,585 | ||||||||||||||||||
Provision/(provision credit) for loan losses | 26,508 | 6,221 | (26,920 | ) | (3,026 | ) | 8,217 | 11,000 | ||||||||||||||||
Balance as of September 30, 2016 | 86,866 | 32,420 | 53,235 | 16,589 | 12,447 | 201,557 | ||||||||||||||||||
Allowance - individually evaluated for impairment | 5,187 | 216 | 29,461 | 14,611 | 139 | 49,614 | ||||||||||||||||||
Allowance - collectively evaluated for impairment | 81,376 | 31,674 | 23,441 | 1,978 | 12,308 | 150,777 | ||||||||||||||||||
Allowance - purchased credit-impaired loans | 303 | 530 | 333 | — | — | 1,166 | ||||||||||||||||||
Loans, net of unearned as of September 30, 2016: | ||||||||||||||||||||||||
Individually evaluated for impairment | 49,351 | 3,302 | 158,909 | 94,071 | 340 | 305,973 | ||||||||||||||||||
Collectively evaluated for impairment | 12,022,457 | 2,053,101 | 4,417,896 | 342,029 | 357,032 | 19,192,515 | ||||||||||||||||||
Purchased credit-impaired loans | 46,490 | 9,192 | 1,566 | — | 51 | 57,299 | ||||||||||||||||||
Total loans, net of unearned income | $ | 12,118,298 | $ | 2,065,595 | $ | 4,578,371 | $ | 436,100 | $ | 357,423 | $ | 19,555,787 |
FIRST HORIZON CORPORATION | 28 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 29 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||
Balance at beginning of period | $ | 409 | $ | 4 | ||||||||||
Acquired | 0 | 320 | ||||||||||||
Originations and purchases | 1,420 | 2,499 | ||||||||||||
Sales, net of gains | (1,489) | (2,405) | ||||||||||||
Mortgage loans transferred from (to) held for investment | 30 | (9) | ||||||||||||
Balance at end of period | $ | 370 | $ | 409 |
June 30, 2021 | December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage servicing rights | $ | 34 | $ | (6) | $ | 28 | $ | 28 | $ | (3) | $ | 25 |
September 30, 2017 | December 31, 2016 | |||||||||||||||||||||||
(Dollars in thousands) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Value | Gross Carrying Amount | Accumulated Amortization | Net Carrying Value | ||||||||||||||||||
Core deposit intangibles | $ | 16,850 | $ | (6,154 | ) | $ | 10,696 | $ | 16,850 | $ | (4,721 | ) | $ | 12,129 | ||||||||||
Customer relationships (a) | 76,865 | (49,496 | ) | 27,369 | 54,865 | (46,302 | ) | 8,563 | ||||||||||||||||
Other (a) (b) | 5,622 | (530 | ) | 5,092 | 555 | (230 | ) | 325 | ||||||||||||||||
Total | $ | 99,337 | $ | (56,180 | ) | $ | 43,157 | $ | 72,270 | $ | (51,253 | ) | $ | 21,017 |
(Dollars in thousands) | ||||
Year | Amortization | |||
Remainder of 2017 | $ | 1,964 | ||
2018 | 7,483 | |||
2019 | 7,179 | |||
2020 | 4,303 | |||
2021 | 4,123 | |||
2022 | 3,356 |
FIRST HORIZON CORPORATION | 30 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | Regional Banking | Specialty Banking | Total | |||||||||||||||||
December 31, 2019 | $ | 802 | $ | 631 | $ | 1,433 | ||||||||||||||
Additions | 78 | 0 | 78 | |||||||||||||||||
December 31, 2020 | $ | 880 | $ | 631 | $ | 1,511 | ||||||||||||||
December 31, 2020 | $ | 880 | $ | 631 | $ | 1,511 | ||||||||||||||
Additions and adjustments | 0 | 0 | 0 | |||||||||||||||||
June 30, 2021 | $ | 880 | $ | 631 | $ | 1,511 |
(Dollars in thousands) | Regional Banking | Fixed Income | Total | |||||||||
December 31, 2015 | $ | 93,303 | $ | 98,004 | $ | 191,307 | ||||||
Additions | 64 | — | 64 | |||||||||
September 30, 2016 | $ | 93,367 | $ | 98,004 | $ | 191,371 | ||||||
December 31, 2016 | $ | 93,367 | $ | 98,004 | $ | 191,371 | ||||||
Additions (a) | — | 44,964 | 44,964 | |||||||||
September 30, 2017 | $ | 93,367 | $ | 142,968 | $ | 236,335 |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Value | Gross Carrying Amount | Accumulated Amortization | Net Carrying Value | ||||||||||||||||||||||||||||||||
Core deposit intangibles | $ | 371 | $ | (105) | $ | 266 | $ | 371 | $ | (81) | $ | 290 | ||||||||||||||||||||||||||
Customer relationships | 37 | (10) | 27 | 37 | (8) | 29 | ||||||||||||||||||||||||||||||||
Other (a) | 41 | (9) | 32 | 41 | (6) | 35 | ||||||||||||||||||||||||||||||||
Total | $ | 449 | $ | (124) | $ | 325 | $ | 449 | $ | (95) | $ | 354 |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
All other income and commissions: | ||||||||||||||||
ATM interchange fees | $ | 3,137 | $ | 3,081 | $ | 8,998 | $ | 8,918 | ||||||||
Other service charges | 2,954 | 3,004 | 9,047 | 8,713 | ||||||||||||
Mortgage banking | 1,354 | 5,524 | 3,883 | 7,395 | ||||||||||||
Electronic banking fees | 1,282 | 1,398 | 3,911 | 4,176 | ||||||||||||
Letter of credit fees | 1,211 | 981 | 3,369 | 3,157 | ||||||||||||
Deferred compensation | 1,128 | 1,038 | 4,446 | 2,162 | ||||||||||||
Insurance commissions | 567 | 1,262 | 2,042 | 2,301 | ||||||||||||
Gain/(loss) on extinguishment of debt (a) | (14,329 | ) | — | (14,329 | ) | — | ||||||||||
Other | 2,739 | 5,518 | 7,684 | 10,594 | ||||||||||||
Total | $ | 43 | $ | 21,806 | $ | 29,051 | $ | 47,416 | ||||||||
All other expense: | ||||||||||||||||
Litigation and regulatory matters | $ | 8,162 | $ | 260 | $ | 8,403 | $ | 25,785 | ||||||||
Travel and entertainment | 2,798 | 2,478 | 8,308 | 7,035 | ||||||||||||
Other insurance and taxes | 2,396 | 2,625 | 7,229 | 8,952 | ||||||||||||
Customer relations | 1,361 | 1,442 | 4,240 | 4,804 | ||||||||||||
Employee training and dues | 1,198 | 1,360 | 4,194 | 4,088 | ||||||||||||
Supplies | 928 | 1,158 | 2,884 | 3,114 | ||||||||||||
Tax credit investments | 762 | 788 | 2,646 | 2,325 | ||||||||||||
Miscellaneous loan costs | 757 | 676 | 2,078 | 1,958 | ||||||||||||
OREO | 303 | 815 | 953 | 125 | ||||||||||||
Other | 9,033 | 8,326 | 29,954 | 30,669 | ||||||||||||
Total | $ | 27,698 | $ | 19,928 | $ | 70,889 | $ | 88,855 |
FIRST HORIZON CORPORATION | 31 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance Date | Earliest Redemption Date (a) | Annual Dividend Rate | Dividend Payments | Shares Outstanding | Liquidation Amount | Carrying Amount | Carrying Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series A | 1/31/2013 | 4/10/2018 | 6.200 | % | Quarterly | 0 | $ | 0 | $ | 0 | $ | 95 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Series B | 7/2/2020 | 8/1/2025 | 6.625 | % | (b) | Semi-annually | 8,000 | 80 | 77 | 77 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Series C | 7/2/2020 | 5/1/2026 | 6.600 | % | (c) | Quarterly | 5,750 | 58 | 59 | 59 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Series D | 7/2/2020 | 5/1/2024 | 6.100 | % | (d) | Semi-annually | 10,000 | 100 | 94 | 94 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Series E | 5/28/2020 | 10/10/2025 | 6.500 | % | Quarterly | 1,500 | 150 | 145 | 145 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Series F | 5/3/2021 | 7/10/2026 | 4.700 | % | Quarterly | 1,500 | 150 | 145 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
26,750 | $ | 538 | $ | 520 | $ | 470 |
FIRST HORIZON CORPORATION | 32 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||||||||||||
Balance as of April 1, 2021 | $ | 5 | $ | 10 | $ | (256) | $ | (241) | ||||||||||||||||||
Net unrealized gains (losses) | 38 | 0 | (4) | 34 | ||||||||||||||||||||||
Amounts reclassified from AOCI | 0 | (2) | 6 | 4 | ||||||||||||||||||||||
Other comprehensive income (loss) | 38 | (2) | 2 | 38 | ||||||||||||||||||||||
Balance as of June 30, 2021 | $ | 43 | $ | 8 | $ | (254) | $ | (203) | ||||||||||||||||||
(Dollars in millions) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||||||||||||
Balance as of January 1, 2021 | $ | 108 | $ | 12 | $ | (260) | $ | (140) | ||||||||||||||||||
Net unrealized gains (losses) | (65) | (1) | (5) | (71) | ||||||||||||||||||||||
Amounts reclassified from AOCI | 0 | (3) | 11 | 8 | ||||||||||||||||||||||
Other comprehensive income (loss) | (65) | (4) | 6 | (63) | ||||||||||||||||||||||
Balance as of June 30, 2021 | $ | 43 | $ | 8 | $ | (254) | $ | (203) |
(Dollars in millions) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||||||||||||
Balance as of April 1, 2020 | $ | 119 | $ | 16 | $ | (271) | $ | (136) | ||||||||||||||||||
Net unrealized gains (losses) | (1) | 2 | 0 | 1 | ||||||||||||||||||||||
Amounts reclassified from AOCI | 0 | (2) | 2 | 0 | ||||||||||||||||||||||
Other comprehensive income (loss) | (1) | 0 | 2 | 1 | ||||||||||||||||||||||
Balance as of June 30, 2020 | $ | 118 | $ | 16 | $ | (269) | $ | (135) | ||||||||||||||||||
(Dollars in millions) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||||||||||||
Balance as of January 1, 2020 | $ | 31 | $ | 3 | $ | (274) | $ | (240) | ||||||||||||||||||
Net unrealized gains (losses) | 87 | 15 | 0 | 102 | ||||||||||||||||||||||
Amounts reclassified from AOCI | 0 | (2) | 5 | 3 | ||||||||||||||||||||||
Other comprehensive income (loss) | 87 | 13 | 5 | 105 | ||||||||||||||||||||||
Balance as of June 30, 2020 | $ | 118 | $ | 16 | $ | (269) | $ | (135) |
(Dollars in thousands) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||
Balance as of July 1, 2017 | $ | (9,857 | ) | $ | (1,024 | ) | $ | (226,581 | ) | $ | (237,462 | ) | ||||
Net unrealized gains/(losses) | 3,918 | (91 | ) | 490 | 4,317 | |||||||||||
Amounts reclassified from AOCI | (1 | ) | (643 | ) | 1,405 | 761 | ||||||||||
Other comprehensive income/(loss) | 3,917 | (734 | ) | 1,895 | 5,078 | |||||||||||
Balance as of September 30, 2017 | $ | (5,940 | ) | $ | (1,758 | ) | $ | (224,686 | ) | $ | (232,384 | ) | ||||
Balance as of January 1, 2017 | $ | (17,232 | ) | $ | (1,265 | ) | $ | (229,157 | ) | $ | (247,654 | ) | ||||
Net unrealized gains/(losses) | 11,570 | 1,906 | 490 | 13,966 | ||||||||||||
Amounts reclassified from AOCI | (278 | ) | (2,399 | ) | 3,981 | 1,304 | ||||||||||
Other comprehensive income/(loss) | 11,292 | (493 | ) | 4,471 | 15,270 | |||||||||||
Balance as of September 30, 2017 | $ | (5,940 | ) | $ | (1,758 | ) | $ | (224,686 | ) | $ | (232,384 | ) |
FIRST HORIZON CORPORATION | 33 | 2Q21 FORM 10-Q REPORT |
(Dollars in thousands) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||
Balance as of July 1, 2016 | $ | 58,591 | $ | 4,691 | $ | (215,616 | ) | $ | (152,334 | ) | ||||||
Net unrealized gains/(losses) | (7,887 | ) | (1,211 | ) | — | (9,098 | ) | |||||||||
Amounts reclassified from AOCI | — | (359 | ) | 963 | 604 | |||||||||||
Other comprehensive income/(loss) | (7,887 | ) | (1,570 | ) | 963 | (8,494 | ) | |||||||||
Balance as of September 30, 2016 | $ | 50,704 | $ | 3,121 | $ | (214,653 | ) | $ | (160,828 | ) | ||||||
Balance as of January 1, 2016 | $ | 3,394 | $ | — | $ | (217,586 | ) | $ | (214,192 | ) | ||||||
Net unrealized gains/(losses) | 48,330 | 4,228 | — | 52,558 | ||||||||||||
Amounts reclassified from AOCI | (1,020 | ) | (1,107 | ) | 2,933 | 806 | ||||||||||
Other comprehensive income/(loss) | 47,310 | 3,121 | 2,933 | 53,364 | ||||||||||||
Balance as of September 30, 2016 | $ | 50,704 | $ | 3,121 | $ | (214,653 | ) | $ | (160,828 | ) |
(Dollars in millions) | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||||||||||
Details about AOCI | 2021 | 2020 | 2021 | 2020 | Affected line item in the statement where net income is presented | |||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||||
Realized (gains) losses on cash flow hedges | $ | (2) | $ | (2) | $ | (4) | $ | (2) | Interest and fees on loans and leases | |||||||||||||||||||||||
Tax expense (benefit) | 0 | 0 | 1 | 0 | Income tax expense | |||||||||||||||||||||||||||
(2) | (2) | (3) | (2) | |||||||||||||||||||||||||||||
Pension and Postretirement Plans: | ||||||||||||||||||||||||||||||||
Amortization of prior service cost and net actuarial gain (loss) | 5 | 3 | 9 | 6 | Other expense | |||||||||||||||||||||||||||
Tax expense (benefit) | 1 | (1) | 2 | (1) | Income tax expense | |||||||||||||||||||||||||||
6 | 2 | 11 | 5 | |||||||||||||||||||||||||||||
Total reclassification from AOCI | $ | 4 | $ | 0 | $ | 8 | $ | 3 |
(Dollars in thousands) | Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||||||||||
Details about AOCI | 2017 | 2016 | 2017 | 2016 | Affected line item in the statement where net income is presented | |||||||||||||
Securities AFS: | ||||||||||||||||||
Realized (gains)/losses on securities AFS | $ | (1 | ) | $ | — | $ | (450 | ) | $ | (1,654 | ) | Debt securities gains/(losses), net | ||||||
Tax expense/(benefit) | — | — | 172 | 634 | Provision/(benefit) for income taxes | |||||||||||||
(1 | ) | — | (278 | ) | (1,020 | ) | ||||||||||||
Cash flow hedges: | ||||||||||||||||||
Realized (gains)/losses on cash flow hedges | (1,041 | ) | (582 | ) | (3,886 | ) | (1,795 | ) | Interest and fees on loans | |||||||||
Tax expense/(benefit) | 398 | 223 | 1,487 | 688 | Provision/(benefit) for income taxes | |||||||||||||
(643 | ) | (359 | ) | (2,399 | ) | (1,107 | ) | |||||||||||
Pension and Postretirement Plans: | ||||||||||||||||||
Amortization of prior service cost and net actuarial gain/(loss) | 2,277 | 1,561 | 6,450 | 4,756 | Employee compensation, incentives, and benefits | |||||||||||||
Tax expense/(benefit) | (872 | ) | (598 | ) | (2,469 | ) | (1,823 | ) | Provision/(benefit) for income taxes | |||||||||
1,405 | 963 | 3,981 | 2,933 | |||||||||||||||
Total reclassification from AOCI | $ | 761 | $ | 604 | $ | 1,304 | $ | 806 |
FIRST HORIZON CORPORATION | 34 | 2Q21 FORM 10-Q REPORT |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars and shares in thousands, except per share data) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Net income/(loss) | $ | 71,769 | $ | 67,635 | $ | 225,361 | $ | 180,788 | ||||||||
Net income attributable to noncontrolling interest | 2,883 | 2,883 | 8,555 | 8,586 | ||||||||||||
Net income/(loss) attributable to controlling interest | 68,886 | 64,752 | 216,806 | 172,202 | ||||||||||||
Preferred stock dividends | 1,550 | 1,550 | 4,650 | 4,650 | ||||||||||||
Net income/(loss) available to common shareholders | $ | 67,336 | $ | 63,202 | $ | 212,156 | $ | 167,552 | ||||||||
Weighted average common shares outstanding—basic | 233,749 | 231,856 | 233,438 | 232,690 | ||||||||||||
Effect of dilutive securities | 2,591 | 2,236 | 2,934 | 2,085 | ||||||||||||
Weighted average common shares outstanding—diluted | 236,340 | 234,092 | 236,372 | 234,775 | ||||||||||||
Net income/(loss) per share available to common shareholders | $ | 0.29 | $ | 0.27 | $ | 0.91 | $ | 0.72 | ||||||||
Diluted income/(loss) per share available to common shareholders | $ | 0.28 | $ | 0.27 | $ | 0.90 | $ | 0.71 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
(Dollars in millions, except per share data; shares in thousands) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Net income | $ | 311 | $ | 57 | $ | 546 | $ | 73 | |||||||||||||||
Net income attributable to noncontrolling interest | 3 | 3 | 6 | 6 | |||||||||||||||||||
Net income attributable to controlling interest | 308 | 54 | 540 | 67 | |||||||||||||||||||
Preferred stock dividends | 13 | 2 | 21 | 3 | |||||||||||||||||||
Net income available to common shareholders | $ | 295 | $ | 52 | $ | 519 | $ | 64 | |||||||||||||||
Weighted average common shares outstanding—basic | 550,297 | 312,090 | 551,268 | 311,843 | |||||||||||||||||||
Effect of dilutive securities | 6,466 | 846 | 5,878 | 949 | |||||||||||||||||||
Weighted average common shares outstanding—diluted | 556,763 | 312,936 | 557,146 | 312,792 | |||||||||||||||||||
Basic earnings per common share | $ | 0.54 | $ | 0.17 | $ | 0.94 | $ | 0.21 | |||||||||||||||
Diluted earnings per common share | $ | 0.53 | $ | 0.17 | $ | 0.93 | $ | 0.21 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Shares in thousands) | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||
Stock options excluded from the calculation of diluted EPS | 1,516 | 5,134 | 1,544 | 3,291 | ||||||||||||||||||||||
Weighted average exercise price of stock options excluded from the calculation of diluted EPS | $ | 20.98 | $ | 15.80 | $ | 20.97 | $ | 18.26 | ||||||||||||||||||
Other equity awards excluded from the calculation of diluted EPS | 1,379 | 4,389 | 1,387 | 3,934 |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Shares in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Stock options excluded from the calculation of diluted EPS | 2,595 | 2,793 | 2,490 | 2,996 | ||||||||||||
Weighted average exercise price of stock options excluded from the calculation of diluted EPS | $ | 25.00 | $ | 24.95 | $ | 25.70 | $ | 25.21 | ||||||||
Other equity awards excluded from the calculation of diluted EPS | 1,002 | 371 | 325 | 51 |
FIRST HORIZON CORPORATION | 35 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 36 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 37 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 38 | 2Q21 FORM 10-Q REPORT |
Pension Benefits | Other Benefits | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Components of net periodic benefit cost | ||||||||||||||||
Service cost | $ | 9 | $ | 10 | $ | 26 | $ | 28 | ||||||||
Interest cost | 7,276 | 7,648 | 328 | 335 | ||||||||||||
Expected return on plan assets | (9,230 | ) | (9,797 | ) | (236 | ) | (227 | ) | ||||||||
Amortization of unrecognized: | ||||||||||||||||
Prior service cost/(credit) | 13 | 48 | 23 | 43 | ||||||||||||
Actuarial (gain)/loss | 2,380 | 1,971 | (140 | ) | (143 | ) | ||||||||||
Net periodic benefit cost/(credit) | $ | 448 | $ | (120 | ) | $ | 1 | $ | 36 |
(Dollars in millions) | 2021 | 2020 | ||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||
Interest cost | $ | 4 | $ | 6 | ||||||||||||||||||||||
Expected return on plan assets | (4) | (6) | ||||||||||||||||||||||||
Amortization of unrecognized: | ||||||||||||||||||||||||||
Actuarial (gain) loss | 2 | 3 | ||||||||||||||||||||||||
Net periodic benefit cost | $ | 2 | $ | 3 |
(Dollars in millions) | 2021 | 2020 | ||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||
Interest cost | $ | 8 | $ | 12 | ||||||||||||||||||||||
Expected return on plan assets | (8) | (12) | ||||||||||||||||||||||||
Amortization of unrecognized: | ||||||||||||||||||||||||||
Actuarial (gain) loss | 4 | 6 | ||||||||||||||||||||||||
Other | 2 | 0 | ||||||||||||||||||||||||
Net periodic benefit cost | $ | 6 | $ | 6 |
Pension Benefits | Other Benefits | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Components of net periodic benefit cost | ||||||||||||||||
Service cost | $ | 28 | $ | 30 | $ | 80 | $ | 83 | ||||||||
Interest cost | 22,035 | 23,412 | 979 | 969 | ||||||||||||
Expected return on plan assets | (27,011 | ) | (29,342 | ) | (710 | ) | (685 | ) | ||||||||
Amortization of unrecognized: | ||||||||||||||||
Prior service cost/(credit) | 39 | 147 | 71 | 128 | ||||||||||||
Actuarial (gain)/loss | 7,140 | 6,106 | (425 | ) | (608 | ) | ||||||||||
Net periodic benefit cost/(credit) | $ | 2,231 | $ | 353 | $ | (5 | ) | $ | (113 | ) |
FIRST HORIZON CORPORATION | 39 | 2Q21 FORM 10-Q REPORT |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Consolidated | ||||||||||||||||
Net interest income | $ | 209,817 | $ | 185,195 | $ | 600,226 | $ | 533,533 | ||||||||
Provision/(provision credit) for loan losses | — | 4,000 | (3,000 | ) | 11,000 | |||||||||||
Noninterest income | 112,417 | 148,545 | 357,029 | 428,364 | ||||||||||||
Noninterest expense | 236,869 | 233,558 | 676,991 | 687,307 | ||||||||||||
Income/(loss) before income taxes | 85,365 | 96,182 | 283,264 | 263,590 | ||||||||||||
Provision/(benefit) for income taxes (a) | 13,596 | 28,547 | 57,903 | 82,802 | ||||||||||||
Net income/(loss) | $ | 71,769 | $ | 67,635 | $ | 225,361 | $ | 180,788 | ||||||||
Average assets | $ | 28,874,827 | $ | 27,609,702 | $ | 28,852,679 | $ | 27,021,137 |
FIRST HORIZON CORPORATION | 40 | 2Q21 FORM 10-Q REPORT |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Regional Banking | ||||||||||||||||
Net interest income | $ | 209,319 | $ | 190,508 | $ | 604,680 | $ | 541,135 | ||||||||
Provision/(provision credit) for loan losses | 8,552 | 8,544 | 11,910 | 34,195 | ||||||||||||
Noninterest income | 64,369 | 65,128 | 188,082 | 185,679 | ||||||||||||
Noninterest expense | 150,464 | 145,050 | 451,175 | 454,970 | ||||||||||||
Income/(loss) before income taxes | 114,672 | 102,042 | 329,677 | 237,649 | ||||||||||||
Provision/(benefit) for income taxes | 41,267 | 37,027 | 118,986 | 84,736 | ||||||||||||
Net income/(loss) | $ | 73,405 | $ | 65,015 | $ | 210,691 | $ | 152,913 | ||||||||
Average assets | $ | 19,158,458 | $ | 17,582,899 | $ | 18,519,584 | $ | 16,704,462 | ||||||||
Fixed Income | ||||||||||||||||
Net interest income | $ | 5,979 | $ | 2,411 | $ | 12,109 | $ | 8,224 | ||||||||
Noninterest income | 55,802 | 72,073 | 161,829 | 217,278 | ||||||||||||
Noninterest expense | 53,105 | 59,423 | 155,791 | 180,850 | ||||||||||||
Income/(loss) before income taxes | 8,676 | 15,061 | 18,147 | 44,652 | ||||||||||||
Provision/(benefit) for income taxes | 2,979 | 5,518 | 5,949 | 16,195 | ||||||||||||
Net income/(loss) | $ | 5,697 | $ | 9,543 | $ | 12,198 | $ | 28,457 | ||||||||
Average assets | $ | 2,586,997 | $ | 2,305,986 | $ | 2,388,984 | $ | 2,348,640 | ||||||||
Corporate | ||||||||||||||||
Net interest income/(expense) | $ | (13,990 | ) | $ | (18,193 | ) | $ | (43,060 | ) | $ | (48,401 | ) | ||||
Noninterest income (b) | (9,477 | ) | 5,134 | 2,217 | 15,766 | |||||||||||
Noninterest expense | 23,935 | 14,929 | 65,390 | 44,320 | ||||||||||||
Income/(loss) before income taxes | (47,402 | ) | (27,988 | ) | (106,233 | ) | (76,955 | ) | ||||||||
Provision/(benefit) for income taxes (a) | (34,255 | ) | (16,736 | ) | (83,019 | ) | (40,695 | ) | ||||||||
Net income/(loss) | $ | (13,147 | ) | $ | (11,252 | ) | $ | (23,214 | ) | $ | (36,260 | ) | ||||
Average assets | $ | 5,698,161 | $ | 5,880,268 | $ | 6,421,890 | $ | 6,024,736 | ||||||||
Non-Strategic | ||||||||||||||||
Net interest income | $ | 8,509 | $ | 10,469 | $ | 26,497 | $ | 32,575 | ||||||||
Provision/(provision credit) for loan losses | (8,552 | ) | (4,544 | ) | (14,910 | ) | (23,195 | ) | ||||||||
Noninterest income | 1,723 | 6,210 | 4,901 | 9,641 | ||||||||||||
Noninterest expense | 9,365 | 14,156 | 4,635 | 7,167 | ||||||||||||
Income/(loss) before income taxes | 9,419 | 7,067 | 41,673 | 58,244 | ||||||||||||
Provision/(benefit) for income taxes | 3,605 | 2,738 | 15,987 | 22,566 | ||||||||||||
Net income/(loss) | $ | 5,814 | $ | 4,329 | $ | 25,686 | $ | 35,678 | ||||||||
Average assets | $ | 1,431,211 | $ | 1,840,549 | $ | 1,522,221 | $ | 1,943,299 |
Three Months Ended June 30, 2021 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Net interest income (expense) | $ | 443 | $ | 153 | $ | (99) | $ | 497 | |||||||||||||||
Provision for credit losses | (88) | (21) | (6) | (115) | |||||||||||||||||||
Noninterest income | 108 | 150 | 27 | 285 | |||||||||||||||||||
Noninterest expense | 278 | 147 | 73 | 498 | |||||||||||||||||||
Income (loss) before income taxes | 361 | 177 | (139) | 399 | |||||||||||||||||||
Income tax expense (benefit) | 85 | 43 | (40) | 88 | |||||||||||||||||||
Net income (loss) | $ | 276 | $ | 134 | $ | (99) | $ | 311 | |||||||||||||||
Average assets | $ | 42,199 | $ | 20,055 | $ | 25,305 | $ | 87,559 | |||||||||||||||
Three Months Ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Net interest income (expense) | $ | 211 | $ | 130 | $ | (36) | $ | 305 | |||||||||||||||
Provision for credit losses | 103 | 18 | 0 | 121 | |||||||||||||||||||
Noninterest income | 69 | 124 | 13 | 206 | |||||||||||||||||||
Noninterest expense | 164 | 111 | 45 | 320 | |||||||||||||||||||
Income (loss) before income taxes | 13 | 125 | (68) | 70 | |||||||||||||||||||
Income tax expense (benefit) | 1 | 31 | (19) | 13 | |||||||||||||||||||
Net income (loss) | $ | 12 | $ | 94 | $ | (49) | $ | 57 | |||||||||||||||
Average assets | $ | 20,965 | $ | 18,041 | $ | 8,928 | $ | 47,934 |
Six Months Ended June 30, 2021 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Net interest income (expense) | $ | 869 | $ | 311 | $ | (176) | $ | 1,004 | |||||||||||||||
Provision for credit losses | (120) | (28) | (12) | (160) | |||||||||||||||||||
Noninterest income | 208 | 335 | 40 | 583 | |||||||||||||||||||
Noninterest expense (a) | 551 | 300 | 191 | 1,042 | |||||||||||||||||||
Income (loss) before income taxes | 646 | 374 | (315) | 705 | |||||||||||||||||||
Income tax expense (benefit) | 151 | 90 | (82) | 159 | |||||||||||||||||||
Net income (loss) | $ | 495 | $ | 284 | $ | (233) | $ | 546 | |||||||||||||||
Average assets | $ | 42,284 | $ | 20,775 | $ | 23,427 | $ | 86,486 | |||||||||||||||
(a) Includes $33 million in asset impairments related to IBKC merger integration efforts in the Corporate segment. |
FIRST HORIZON CORPORATION | 41 | 2Q21 FORM 10-Q REPORT |
Six Months Ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Net interest income (expense) | $ | 405 | $ | 239 | $ | (36) | $ | 608 | |||||||||||||||
Provision for credit losses | 200 | 72 | 3 | 275 | |||||||||||||||||||
Noninterest income | 142 | 228 | 11 | 381 | |||||||||||||||||||
Noninterest expense | 338 | 221 | 64 | 623 | |||||||||||||||||||
Income (loss) before income taxes | 9 | 174 | (92) | 91 | |||||||||||||||||||
Income tax expense (benefit) | (2) | 43 | (23) | 18 | |||||||||||||||||||
Net income (loss) | $ | 11 | $ | 131 | $ | (69) | $ | 73 | |||||||||||||||
Average assets | $ | 20,004 | $ | 17,466 | $ | 8,273 | $ | 45,743 | |||||||||||||||
Certain previously reported amounts have been reclassified to agree with current presentation. |
Three months ended June 30, 2021 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Noninterest income: | |||||||||||||||||||||||
Fixed income (a) | $ | 0 | $ | 102 | $ | 0 | $ | 102 | |||||||||||||||
Mortgage banking and title income | 0 | 38 | 0 | 38 | |||||||||||||||||||
Deposit transactions and cash management | 39 | 3 | 2 | 44 | |||||||||||||||||||
Brokerage, management fees and commissions | 21 | 0 | 0 | 21 | |||||||||||||||||||
Trust services and investment management | 14 | 0 | 0 | 14 | |||||||||||||||||||
Bankcard income | 14 | 1 | 0 | 15 | |||||||||||||||||||
Securities gains (losses), net (b) | 0 | 0 | 11 | 11 | |||||||||||||||||||
Other income (c) | 20 | 6 | 14 | 40 | |||||||||||||||||||
Total noninterest income | $ | 108 | $ | 150 | $ | 27 | $ | 285 |
FIRST HORIZON CORPORATION | 42 | 2Q21 FORM 10-Q REPORT |
Three months ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Noninterest income: | |||||||||||||||||||||||
Fixed income (a) | $ | 0 | $ | 112 | $ | 0 | $ | 112 | |||||||||||||||
Mortgage banking and title income | 0 | 4 | 0 | 4 | |||||||||||||||||||
Deposit transactions and cash management | 27 | 3 | 1 | 31 | |||||||||||||||||||
Brokerage, management fees and commissions | 14 | 0 | 0 | 14 | |||||||||||||||||||
Trust services and investment management | 8 | 0 | 0 | 8 | |||||||||||||||||||
Bankcard income | 7 | 0 | 0 | 7 | |||||||||||||||||||
Securities gains (losses), net (b) | 0 | 0 | (1) | (1) | |||||||||||||||||||
Other income (c) | 13 | 5 | 13 | 31 | |||||||||||||||||||
Total noninterest income | $ | 69 | $ | 124 | $ | 13 | $ | 206 |
Six Months Ended June 30, 2021 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Fixed income (a) | $ | 1 | $ | 227 | $ | 0 | $ | 228 | |||||||||||||||
Mortgage banking and title income | 0 | 90 | 1 | 91 | |||||||||||||||||||
Deposit transactions and cash management | 77 | 6 | 3 | 86 | |||||||||||||||||||
Brokerage, management fees and commissions | 41 | 0 | 0 | 41 | |||||||||||||||||||
Trust services and investment management | 26 | 0 | 0 | 26 | |||||||||||||||||||
Bankcard income | 24 | 1 | 0 | 25 | |||||||||||||||||||
Securities gains (losses), net (b) | 0 | 0 | 11 | 11 | |||||||||||||||||||
Other income (c) | 39 | 11 | 25 | 75 | |||||||||||||||||||
Total noninterest income | $ | 208 | $ | 335 | $ | 40 | $ | 583 |
FIRST HORIZON CORPORATION | 43 | 2Q21 FORM 10-Q REPORT |
Six Months Ended June 30, 2020 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Fixed income (a) | $ | 0 | $ | 208 | $ | 0 | $ | 208 | |||||||||||||||
Mortgage banking and title income | 0 | 6 | 1 | 7 | |||||||||||||||||||
Deposit transactions and cash management | 52 | 6 | 3 | 61 | |||||||||||||||||||
Brokerage, management fees and commissions | 29 | 0 | 0 | 29 | |||||||||||||||||||
Trust services and investment management | 15 | 0 | 0 | 15 | |||||||||||||||||||
Bankcard income | 13 | 1 | 0 | 14 | |||||||||||||||||||
Securities gains (losses), net (b) | 0 | 0 | (1) | (1) | |||||||||||||||||||
Other income (c) | 33 | 7 | 8 | 48 | |||||||||||||||||||
Total noninterest income | $ | 142 | $ | 228 | $ | 11 | $ | 381 |
FIRST HORIZON CORPORATION | 44 | 2Q21 FORM 10-Q REPORT |
September 30, 2017 | December 31, 2016 | |||||||||||||||
On-Balance Sheet Consumer Loan Securitization | Rabbi Trusts Used for Deferred Compensation Plans | On-Balance Sheet Consumer Loan Securitization | Rabbi Trusts Used for Deferred Compensation Plans | |||||||||||||
(Dollars in thousands) | Carrying Value | Carrying Value | Carrying Value | Carrying Value | ||||||||||||
Assets: | ||||||||||||||||
Cash and due from banks | $ | — | N/A | $ | — | N/A | ||||||||||
Loans, net of unearned income | 26,210 | N/A | 35,873 | N/A | ||||||||||||
Less: Allowance for loan losses | — | N/A | 587 | N/A | ||||||||||||
Total net loans | 26,210 | N/A | 35,286 | N/A | ||||||||||||
Other assets | 47 | $ | 77,997 | 283 | $ | 74,160 | ||||||||||
Total assets | $ | 26,257 | $ | 77,997 | $ | 35,569 | $ | 74,160 | ||||||||
Liabilities: | ||||||||||||||||
Term borrowings | $ | 13,354 | N/A | $ | 23,126 | N/A | ||||||||||
Other liabilities | 3 | $ | 58,785 | 3 | $ | 54,746 | ||||||||||
Total liabilities | $ | 13,357 | $ | 58,785 | $ | 23,129 | $ | 54,746 |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||
Other assets | $ | 200 | $ | 195 | ||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||
Other liabilities | $ | 170 | $ | 165 | ||||||||||||||||||||||
FIRST HORIZON CORPORATION | 45 | 2Q21 FORM 10-Q REPORT |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||
Income tax expense (benefit): | ||||||||||||||||||||||||||
Amortization of qualifying LIHTC investments | $ | 9 | $ | 6 | $ | 17 | $ | 11 | ||||||||||||||||||
Low income housing tax credits | (8) | (5) | (17) | (9) | ||||||||||||||||||||||
Other tax benefits related to qualifying LIHTC investments | (3) | (3) | (5) | (5) |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Provision/(benefit) for income taxes: | ||||||||||||||||
Amortization of qualifying LIHTC investments | $ | 3,774 | $ | 5,445 | $ | 8,414 | $ | 10,073 | ||||||||
Low income housing tax credits | (3,103 | ) | (2,615 | ) | (8,101 | ) | (7,672 | ) | ||||||||
Other tax benefits related to qualifying LIHTC investments | (2,478 | ) | (6,131 | ) | (4,307 | ) | (8,310 | ) |
FIRST HORIZON CORPORATION | 46 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | Maximum Loss Exposure | Liability Recognized | Classification | |||||||||||||||||
Type | ||||||||||||||||||||
Low income housing partnerships | $ | 355 | $ | 128 | (a) | |||||||||||||||
Other tax credit investments (b) | 67 | 42 | Other assets | |||||||||||||||||
Small issuer trust preferred holdings (c) | 206 | 0 | Loans and leases | |||||||||||||||||
On-balance sheet trust preferred securitization | 31 | 83 | (d) | |||||||||||||||||
Holdings of agency mortgage-backed securities (c) | 7,115 | 0 | (e) | |||||||||||||||||
Commercial loan troubled debt restructurings (f) | 164 | 0 | Loans and leases | |||||||||||||||||
Proprietary trust preferred issuances (g) | 0 | 287 | Term borrowings |
(Dollars in thousands) | Maximum Loss Exposure | Liability Recognized | Classification | |||||||
Type | ||||||||||
Low income housing partnerships | $ | 96,007 | $ | 34,236 | (a) | |||||
Other tax credit investments (b) (c) | 20,444 | — | Other assets | |||||||
Small issuer trust preferred holdings (d) | 332,873 | — | Loans, net of unearned income | |||||||
On-balance sheet trust preferred securitization | 48,902 | 65,272 | (e) | |||||||
Proprietary residential mortgage securitizations | 2,300 | — | Trading securities | |||||||
Holdings of agency mortgage-backed securities (d) | 4,173,080 | — | (f) | |||||||
Commercial loan troubled debt restructurings (g) | 21,763 | — | Loans, net of unearned income | |||||||
Sale-leaseback transaction | 14,827 | — | (h) |
(Dollars in millions) | Maximum Loss Exposure | Liability Recognized | Classification | |||||||||||||||||
Type | ||||||||||||||||||||
Low income housing partnerships | $ | 338 | $ | 132 | (a) | |||||||||||||||
Other tax credit investments (b) | 64 | 42 | Other assets | |||||||||||||||||
Small issuer trust preferred holdings (c) | 210 | 0 | Loans and leases | |||||||||||||||||
On-balance sheet trust preferred securitization | 32 | 82 | (d) | |||||||||||||||||
Holdings of agency mortgage-backed securities (c) | 7,063 | 0 | (e) | |||||||||||||||||
Commercial loan troubled debt restructurings (f) | 186 | 0 | Loans and leases | |||||||||||||||||
Proprietary trust preferred issuances (g) | 0 | 287 | Term borrowings |
(Dollars in thousands) | Maximum Loss Exposure | Liability Recognized | Classification | |||||||
Type | ||||||||||
Low income housing partnerships | $ | 73,582 | $ | 17,398 | (a) | |||||
Other tax credit investments (b) (c) | 21,898 | — | Other assets | |||||||
Small issuer trust preferred holdings (d) | 332,985 | — | Loans, net of unearned income | |||||||
On-balance sheet trust preferred securitization | 49,361 | 64,812 | (e) | |||||||
Proprietary residential mortgage securitizations | 2,568 | — | Trading securities | |||||||
Holdings of agency mortgage-backed securities (d) | 4,163,313 | — | (f) | |||||||
Commercial loan troubled debt restructurings (g) | 42,696 | — | Loans, net of unearned income | |||||||
Sale-leaseback transaction | 11,827 | — | (h) |
2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 48 | 2Q21 FORM 10-Q REPORT |
September 30, 2017 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Customer Interest Rate Contracts | $ | 1,954,439 | $ | 30,564 | $ | 12,256 | ||||||
Offsetting Upstream Interest Rate Contracts | 1,954,439 | 12,119 | 28,012 | |||||||||
Option Contracts Purchased | 40,000 | 69 | — | |||||||||
Forwards and Futures Purchased | 4,506,883 | 3,648 | 5,296 | |||||||||
Forwards and Futures Sold | 4,499,160 | 6,355 | 2,331 |
June 30, 2021 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Customer interest rate contracts | $ | 3,815 | $ | 124 | $ | 33 | ||||||||||||||
Offsetting upstream interest rate contracts | 3,815 | 6 | 10 | |||||||||||||||||
Option contracts purchased | 8 | 0 | 0 | |||||||||||||||||
Forwards and futures purchased | 9,077 | 24 | 1 | |||||||||||||||||
Forwards and futures sold | 9,627 | 2 | 23 |
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Customer interest rate contracts | $ | 3,950 | $ | 207 | $ | 7 | ||||||||||||||
Offsetting upstream interest rate contracts | 3,950 | 2 | 17 | |||||||||||||||||
Forwards and futures purchased | 10,795 | 62 | 0 | |||||||||||||||||
Forwards and futures sold | 11,633 | 1 | 65 |
December 31, 2016 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Customer Interest Rate Contracts | $ | 1,697,992 | $ | 39,495 | $ | 14,996 | ||||||
Offsetting Upstream Interest Rate Contracts | 1,697,992 | 14,996 | 39,495 | |||||||||
Option Contracts Purchased | 17,500 | 63 | — | |||||||||
Option Contracts Written | 5,000 | — | 8 | |||||||||
Forwards and Futures Purchased | 2,916,750 | 6,257 | 26,659 | |||||||||
Forwards and Futures Sold | 3,085,396 | 27,330 | 6,615 |
FIRST HORIZON CORPORATION | 49 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||||||||
Customer interest rate contracts | $ | 7,231 | $ | 286 | $ | 14 | ||||||||||||||
Offsetting upstream interest rate contracts | 7,231 | 3 | 15 | |||||||||||||||||
September 30, 2017 | ||||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||
Customer Interest Rate Contracts | $ | 1,540,036 | $ | 16,607 | $ | 12,675 | ||||||||
Offsetting Upstream Interest Rate Contracts | 1,540,036 | 11,612 | 15,350 | |||||||||||
Debt Hedging | ||||||||||||||
Hedging Instruments: | ||||||||||||||
Interest Rate Swaps | $ | 900,000 | N/A | $ | 779 | |||||||||
Hedged Items: | ||||||||||||||
Term Borrowings | N/A | N/A | $ | 900,000 | (a) |
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||||||||
Customer interest rate contracts | $ | 6,868 | $ | 436 | $ | 1 | ||||||||||||||
Offsetting upstream interest rate contracts | 6,868 | 5 | 35 | |||||||||||||||||
December 31, 2016 | ||||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||
Customer Interest Rate Contracts | $ | 1,357,920 | $ | 17,566 | $ | 14,277 | ||||||||
Offsetting Upstream Interest Rate Contracts | 1,357,920 | 14,277 | 18,066 | |||||||||||
Debt Hedging | ||||||||||||||
Hedging Instruments: | ||||||||||||||
Interest Rate Swaps | $ | 900,000 | $ | 1,628 | $ | 7,276 | ||||||||
Hedged Items: | ||||||||||||||
Term Borrowings | N/A | N/A | $ | 900,000 | (a) |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
(Dollars in millions) | Gains (Losses) | Gains (Losses) | Gains (Losses) | Gains (Losses) | ||||||||||||||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||||||||||||||
Customer interest rate contracts (a) | $ | 46 | $ | 16 | $ | (168) | $ | 211 | ||||||||||||||||||
Offsetting upstream interest rate contracts (a) | (46) | (16) | $ | 168 | $ | (211) | ||||||||||||||||||||
Debt Hedging | ||||||||||||||||||||||||||
Hedging Instruments: | ||||||||||||||||||||||||||
Interest rate swaps (b) | $ | 0 | $ | (1) | $ | 0 | $ | 4 | ||||||||||||||||||
Hedged Items: | ||||||||||||||||||||||||||
Term borrowings (a) (c) | 0 | 1 | 0 | (4) |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||
(Dollars in thousands) | Gains/(Losses) | Gains/(Losses) | Gains/(Losses) | Gains/(Losses) | ||||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||||
Customer Interest Rate Contracts (a) | $ | (180 | ) | $ | (1,964 | ) | 643 | 18,749 | ||||||||
Offsetting Upstream Interest Rate Contracts (a) | 180 | 1,964 | (643 | ) | (18,749 | ) | ||||||||||
Debt Hedging | ||||||||||||||||
Hedging Instruments: | ||||||||||||||||
Interest Rate Swaps (a) | $ | (966 | ) | $ | (7,254 | ) | $ | (1,958 | ) | $ | 19,352 | |||||
Hedged Items: | ||||||||||||||||
Term Borrowings (a) (b) | 941 | 7,152 | 1,870 | (19,059 | ) |
FIRST HORIZON CORPORATION | 50 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||
Hedging Instruments: | ||||||||||||||||||||
Interest rate contracts | $ | 1,100 | $ | 23 | $ | 0 | ||||||||||||||
Hedged Items: | ||||||||||||||||||||
Variability in cash flows related to debt instruments (primarily loans) | N/A | $ | 1,100 | N/A |
September 30, 2017 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Cash Flow Hedges | ||||||||||||
Hedging Instruments: | ||||||||||||
Interest Rate Swaps | $ | 900,000 | N/A | $ | 916 | |||||||
Hedged Items: | ||||||||||||
Variability in Cash Flows Related to Debt Instruments (Primarily Loans) | N/A | $ | 900,000 | N/A |
December 31, 2020 | ||||||||||||||||||||||||||||||||
December 31, 2016 | ||||||||||||||||||||||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||||||||||||||||||||||
(Dollars in millions) | (Dollars in millions) | Notional | Assets | Liabilities | ||||||||||||||||||||||||||||
Cash Flow Hedges | Cash Flow Hedges | |||||||||||||||||||||||||||||||
Hedging Instruments: | Hedging Instruments: | |||||||||||||||||||||||||||||||
Interest Rate Swaps | $ | 250,000 | N/A | $ | 2,045 | |||||||||||||||||||||||||||
Interest rate contracts | Interest rate contracts | $ | 1,250 | $ | 32 | $ | 0 | |||||||||||||||||||||||||
Hedged Items: | Hedged Items: | |||||||||||||||||||||||||||||||
Variability in Cash Flows Related to Debt Instruments (Primarily Loans) | N/A | $ | 250,000 | N/A | ||||||||||||||||||||||||||||
Variability in cash flows related to debt instruments (primarily loans) | Variability in cash flows related to debt instruments (primarily loans) | N/A | $ | 1,250 | N/A |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
(Dollars in millions) | Gains (Losses) | Gains (Losses) | Gains (Losses) | Gains (Losses) | ||||||||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||||||||
Hedging Instruments: | ||||||||||||||||||||||||||
Interest rate contracts (a) | $ | (6) | $ | 0 | $ | (14) | $ | 17 | ||||||||||||||||||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 2 | (1) | 15 | ||||||||||||||||||||||
Gain (loss) reclassified from AOCI into interest income | (2) | (2) | (3) | (2) |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||
(Dollars in thousands) | Gains/(Losses) | Gains/(Losses) | Gains/(Losses) | Gains/(Losses) | ||||||||||||
Cash Flow Hedges | ||||||||||||||||
Hedging Instruments: | ||||||||||||||||
Interest Rate Swaps (a) (b) | $ | (1,190 | ) | $ | (2,545 | ) | $ | (800 | ) | $ | 5,061 | |||||
Hedged Items: | ||||||||||||||||
Variability in Cash Flows Related to Debt Instruments (Primarily Loans) | N/A | N/A | N/A | N/A |
2Q21 FORM 10-Q REPORT |
June 30, 2021 | |||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | ||||||||||||||
Mortgage Banking Hedges | |||||||||||||||||
Option contracts written | $ | 433 | $ | 10 | $ | 0 | |||||||||||
Forward contracts purchased | 651 | 1 | 2 | ||||||||||||||
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Mortgage Banking Hedges | ||||||||||||||||||||
Option contracts written | $ | 667 | $ | 20 | $ | 0 | ||||||||||||||
Forward contracts purchased | 725 | 0 | 6 | |||||||||||||||||
December 31, 2016 | ||||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||||
Loan Portfolio Hedging | ||||||||||||||
Hedging Instruments: | ||||||||||||||
Interest Rate Swaps | $ | 6,500 | N/A | $ | 208 | |||||||||
Hedged Items: | ||||||||||||||
Trust Preferred Loans (a) | N/A | $ | 6,500 | (b) | N/A |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||
2021 | 2021 | |||||||||||||
(Dollars in millions) | Gains (Losses) | Gains (Losses) | ||||||||||||
Mortgage Banking Hedges | ||||||||||||||
Option contracts written | $ | 1 | $ | (9) | ||||||||||
Forward contracts purchased | (11) | 12 | ||||||||||||
September 30, 2016 | ||||||||
Three Months Ended | Nine Months Ended | |||||||
(Dollars in thousands) | Gains/(Losses) | Gains/(Losses) | ||||||
Loan Portfolio Hedging | ||||||||
Hedging Instruments: | ||||||||
Interest Rate Swaps | $ | 93 | $ | 201 | ||||
Hedged Items: | ||||||||
Trust Preferred Loans (a) | $ | (92 | ) | $ | (199 | ) |
FIRST HORIZON CORPORATION | 52 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 53 | 2Q21 FORM 10-Q REPORT |
Gross amounts not offset in the Balance Sheets | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross amounts of recognized assets | Gross amounts offset in the Balance Sheets | Net amounts of assets presented in the Balance Sheets (a) | Derivative liabilities available for offset | Collateral received | Net amount | ||||||||||||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||||||||||||||
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||
Interest rate derivative contracts | $ | 453 | $ | 0 | $ | 453 | $ | (29) | $ | (227) | $ | 197 | ||||||||||||||||||||||||||
Forward contracts | 26 | 0 | 26 | (14) | (9) | 3 | ||||||||||||||||||||||||||||||||
$ | 479 | $ | 0 | $ | 479 | $ | (43) | $ | (236) | $ | 200 | |||||||||||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||
Interest rate derivative contracts | $ | 702 | $ | 0 | $ | 702 | $ | (7) | $ | (327) | $ | 368 | ||||||||||||||||||||||||||
Forward contracts | 63 | 0 | 63 | (14) | (20) | 29 | ||||||||||||||||||||||||||||||||
$ | 765 | $ | 0 | $ | 765 | $ | (21) | $ | (347) | $ | 397 |
Gross amounts not offset in the Statements of Condition | ||||||||||||||||||||||||
(Dollars in thousands) | Gross amounts of recognized assets | Gross amounts offset in the Statements of Condition | Net amounts of assets presented in the Statements of Condition (a) | Derivative liabilities available for offset | Collateral Received | Net amount | ||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||
September 30, 2017 (b) | $ | 70,902 | $ | — | $ | 70,902 | $ | (23,283 | ) | $ | (43,379 | ) | $ | 4,240 | ||||||||||
December 31, 2016 (b) | 87,962 | — | 87,962 | (25,953 | ) | (52,888 | ) | 9,121 |
Gross amounts not offset in the Balance Sheets | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross amounts of recognized liabilities | Gross amounts offset in the Balance Sheets | Net amounts of liabilities presented in the Balance Sheets (a) | Derivative assets available for offset | Collateral pledged | Net amount | ||||||||||||||||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||||||||||||||
June 30, 2021 | ||||||||||||||||||||||||||||||||||||||
Interest rate derivative contracts | $ | 74 | $ | 0 | $ | 74 | $ | (29) | $ | (12) | $ | 33 | ||||||||||||||||||||||||||
Forward contracts | 24 | 0 | 24 | (14) | (9) | 1 | ||||||||||||||||||||||||||||||||
$ | 98 | $ | 0 | $ | 98 | $ | (43) | $ | (21) | $ | 34 | |||||||||||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||
Interest rate derivative contracts | $ | 60 | $ | 0 | $ | 60 | $ | (7) | $ | (31) | $ | 22 | ||||||||||||||||||||||||||
Forward contracts | 65 | 0 | 65 | (14) | (51) | 0 | ||||||||||||||||||||||||||||||||
$ | 125 | $ | 0 | $ | 125 | $ | (21) | $ | (82) | $ | 22 |
Gross amounts not offset in the Statements of Condition | ||||||||||||||||||||||||
(Dollars in thousands) | Gross amounts of recognized liabilities | Gross amounts offset in the Statements of Condition | Net amounts of liabilities presented in the Statements of Condition (a) | Derivative assets available for offset | Collateral pledged | Net amount | ||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||
September 30, 2017 (b) | $ | 69,988 | $ | — | $ | 69,988 | $ | (23,283 | ) | $ | (42,686 | ) | $ | 4,019 | ||||||||||
December 31, 2016 (b) | 96,363 | — | 96,363 | (25,953 | ) | (60,746 | ) | 9,664 |
2Q21 FORM 10-Q REPORT |
Gross amounts not offset in the Statements of Condition | ||||||||||||||||||||||||
(Dollars in thousands) | Gross amounts of recognized assets | Gross amounts offset in the Statements of Condition | Net amounts of assets presented in the Statements of Condition | Offsetting securities sold under agreements to repurchase | Securities collateral (not recognized on FHN’s Statements of Condition) | Net amount | ||||||||||||||||||
Securities purchased under agreements to resell: | ||||||||||||||||||||||||
September 30, 2017 | $ | 663,637 | $ | — | $ | 663,637 | $ | (1,044 | ) | $ | (655,136 | ) | $ | 7,457 | ||||||||||
December 31, 2016 | 613,682 | — | 613,682 | (1,628 | ) | (603,813 | ) | 8,241 |
Gross amounts not offset in the Balance Sheets | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross amounts of recognized assets | Gross amounts offset in the Balance Sheets | Net amounts of assets presented in the Balance Sheets | Offsetting securities sold under agreements to repurchase | Securities collateral (not recognized on FHN’s Balance Sheets) | Net amount | ||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell: | ||||||||||||||||||||||||||||||||||||||
June 30, 2021 | $ | 571 | $ | 0 | $ | 571 | $ | (15) | $ | (554) | $ | 2 | ||||||||||||||||||||||||||
December 31, 2020 | 380 | 0 | 380 | 0 | (379) | 1 |
Gross amounts not offset in the Statements of Condition | ||||||||||||||||||||||||
(Dollars in thousands) | Gross amounts of recognized liabilities | Gross amounts offset in the Statements of Condition | Net amounts of liabilities presented in the Statements of Condition | Offsetting securities purchased under agreements to resell | Securities/ government guaranteed loans collateral | Net amount | ||||||||||||||||||
Securities sold under agreements to repurchase: | ||||||||||||||||||||||||
September 30, 2017 | $ | 516,867 | $ | — | $ | 516,867 | $ | (1,044 | ) | $ | (515,673 | ) | $ | 150 | ||||||||||
December 31, 2016 | 453,053 | — | 453,053 | (1,628 | ) | (451,414 | ) | 11 |
Gross amounts not offset in the Balance Sheets | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross amounts of recognized liabilities | Gross amounts offset in the Balance Sheets | Net amounts of liabilities presented in the Balance Sheets | Offsetting securities purchased under agreements to resell | Securities/ government guaranteed loans collateral | Net amount | ||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase: | ||||||||||||||||||||||||||||||||||||||
June 30, 2021 | $ | 1,350 | $ | 0 | $ | 1,350 | $ | (15) | $ | (1,335) | $ | 0 | ||||||||||||||||||||||||||
December 31, 2020 | 1,187 | 0 | 1,187 | 0 | (1,187) | 0 |
FIRST HORIZON CORPORATION | 55 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||
(Dollars in millions) | Overnight and Continuous | Up to 30 Days | Total | |||||||||||||||||
Securities sold under agreements to repurchase: | ||||||||||||||||||||
U.S. treasuries | $ | 355 | $ | 0 | $ | 355 | ||||||||||||||
Government agency issued MBS | 845 | 0 | 845 | |||||||||||||||||
Government agency issued CMO | 4 | 0 | 4 | |||||||||||||||||
Government guaranteed loans (SBA and USDA) | 146 | 0 | 146 | |||||||||||||||||
Total securities sold under agreements to repurchase | $ | 1,350 | $ | 0 | $ | 1,350 | ||||||||||||||
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Overnight and Continuous | Up to 30 Days | Total | |||||||||||||||||
Securities sold under agreements to repurchase: | ||||||||||||||||||||
U.S. treasuries | $ | 284 | $ | 0 | $ | 284 | ||||||||||||||
Government agency issued MBS | 616 | 0 | 616 | |||||||||||||||||
Government agency issued CMO | 10 | 0 | 10 | |||||||||||||||||
Other U.S. government agencies | 151 | 0 | 151 | |||||||||||||||||
Government guaranteed loans (SBA and USDA) | 126 | 0 | 126 | |||||||||||||||||
Total securities sold under agreements to repurchase | $ | 1,187 | $ | 0 | $ | 1,187 |
September 30, 2017 | ||||||||||||
(Dollars in thousands) | Overnight and Continuous | Up to 30 Days | Total | |||||||||
Securities sold under agreements to repurchase: | ||||||||||||
U.S. treasuries | $ | 18,970 | $ | — | $ | 18,970 | ||||||
Government agency issued MBS | 276,903 | 5,521 | 282,424 | |||||||||
Government agency issued CMO | 50,554 | 5,749 | 56,303 | |||||||||
Government guaranteed loans (SBA and USDA) | 159,170 | — | 159,170 | |||||||||
Total Securities sold under agreements to repurchase | $ | 505,597 | $ | 11,270 | $ | 516,867 | ||||||
December 31, 2016 | ||||||||||||
(Dollars in thousands) | Overnight and Continuous | Up to 30 Days | Total | |||||||||
Securities sold under agreements to repurchase: | ||||||||||||
U.S. treasuries | $ | 14,864 | $ | — | $ | 14,864 | ||||||
Government agency issued MBS | 421,771 | — | 421,771 | |||||||||
Government agency issued CMO | — | 16,418 | 16,418 | |||||||||
Total Securities sold under agreements to repurchase | $ | 436,635 | $ | 16,418 | $ | 453,053 |
FIRST HORIZON CORPORATION | 56 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 57 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||
Trading securities: | ||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 0 | $ | 43 | $ | 0 | $ | 43 | ||||||||||||||||||||||||
Government agency issued MBS | 0 | 411 | 0 | 411 | ||||||||||||||||||||||||||||
Government agency issued CMO | 0 | 214 | 0 | 214 | ||||||||||||||||||||||||||||
Other U.S. government agencies | 0 | 130 | 0 | 130 | ||||||||||||||||||||||||||||
States and municipalities | 0 | 18 | 0 | 18 | ||||||||||||||||||||||||||||
Corporate and other debt | 0 | 219 | 0 | 219 | ||||||||||||||||||||||||||||
Total trading securities | 0 | 1,035 | 0 | 1,035 | ||||||||||||||||||||||||||||
Loans held for sale (elected fair value) | 0 | 352 | 25 | 377 | ||||||||||||||||||||||||||||
Securities available for sale: | ||||||||||||||||||||||||||||||||
U.S. treasuries | 0 | 607 | 0 | 607 | ||||||||||||||||||||||||||||
Government agency issued MBS | 0 | 4,167 | 0 | 4,167 | ||||||||||||||||||||||||||||
Government agency issued CMO | 0 | 2,323 | 0 | 2,323 | ||||||||||||||||||||||||||||
Other U.S. government agencies | 0 | 743 | 0 | 743 | ||||||||||||||||||||||||||||
States and municipalities | 0 | 518 | 0 | 518 | ||||||||||||||||||||||||||||
Interest-only strips (elected fair value) | 0 | 0 | 30 | 30 | ||||||||||||||||||||||||||||
Total securities available for sale | 0 | 8,358 | 30 | 8,388 | ||||||||||||||||||||||||||||
Other assets: | ||||||||||||||||||||||||||||||||
Deferred compensation mutual funds | 122 | 0 | 0 | 122 | ||||||||||||||||||||||||||||
Equity, mutual funds, and other | 29 | 0 | 0 | 29 | ||||||||||||||||||||||||||||
Derivatives, forwards and futures | 27 | 0 | 0 | 27 | ||||||||||||||||||||||||||||
Derivatives, interest rate contracts | 0 | 451 | 0 | 451 | ||||||||||||||||||||||||||||
Derivatives, other | 0 | 2 | 0 | 2 | ||||||||||||||||||||||||||||
Total other assets | 178 | 453 | 0 | 631 | ||||||||||||||||||||||||||||
Total assets | $ | 178 | $ | 10,198 | $ | 55 | $ | 10,431 | ||||||||||||||||||||||||
Trading liabilities: | ||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 0 | $ | 472 | $ | 0 | $ | 472 | ||||||||||||||||||||||||
Corporate and other debt | 0 | 59 | 0 | 59 | ||||||||||||||||||||||||||||
Total trading liabilities | 0 | 531 | 0 | 531 | ||||||||||||||||||||||||||||
Other liabilities: | ||||||||||||||||||||||||||||||||
Derivatives, forwards and futures | 26 | 0 | 0 | 26 | ||||||||||||||||||||||||||||
Derivatives, interest rate contracts | 0 | 73 | 0 | 73 | ||||||||||||||||||||||||||||
Derivatives, other | 0 | 1 | 18 | 19 | ||||||||||||||||||||||||||||
Total other liabilities | 26 | 74 | 18 | 118 | ||||||||||||||||||||||||||||
Total liabilities | $ | 26 | $ | 605 | $ | 18 | $ | 649 |
September 30, 2017 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Trading securities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 157,483 | $ | — | $ | 157,483 | ||||||||
Government agency issued MBS | — | 155,260 | — | 155,260 | ||||||||||||
Government agency issued CMO | — | 244,321 | — | 244,321 | ||||||||||||
Other U.S. government agencies | — | 186,573 | — | 186,573 | ||||||||||||
States and municipalities | — | 61,290 | — | 61,290 | ||||||||||||
Corporate and other debt | — | 655,976 | 5 | 655,981 | ||||||||||||
Equity, mutual funds, and other | — | 6,194 | — | 6,194 | ||||||||||||
Total trading securities—fixed income | — | 1,467,097 | 5 | 1,467,102 | ||||||||||||
Trading securities—mortgage banking | — | — | 2,300 | 2,300 | ||||||||||||
Loans held-for-sale | — | 1,727 | 20,081 | 21,808 | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. treasuries | — | 100 | — | 100 | ||||||||||||
Government agency issued MBS | — | 2,087,505 | — | 2,087,505 | ||||||||||||
Government agency issued CMO | — | 1,685,995 | — | 1,685,995 | ||||||||||||
Interest-only strips | — | — | 3,123 | 3,123 | ||||||||||||
Equity, mutual funds, and other | 24,756 | — | — | 24,756 | ||||||||||||
Total securities available-for-sale | 24,756 | 3,773,600 | 3,123 | 3,801,479 | ||||||||||||
Other assets: | ||||||||||||||||
Deferred compensation assets | 34,951 | — | — | 34,951 | ||||||||||||
Derivatives, forwards and futures | 10,003 | — | — | 10,003 | ||||||||||||
Derivatives, interest rate contracts | — | 70,971 | — | 70,971 | ||||||||||||
Derivatives, other | — | 2 | — | 2 | ||||||||||||
Total other assets | 44,954 | 70,973 | — | 115,927 | ||||||||||||
Total assets | $ | 69,710 | $ | 5,313,397 | $ | 25,509 | $ | 5,408,616 | ||||||||
Trading liabilities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 424,461 | $ | — | $ | 424,461 | ||||||||
Government agency issued CMO | — | 1,372 | — | 1,372 | ||||||||||||
Other U.S. government agencies | — | 998 | — | 998 | ||||||||||||
Corporate and other debt | — | 152,197 | — | 152,197 | ||||||||||||
Total trading liabilities—fixed income | — | 579,028 | — | 579,028 | ||||||||||||
Other liabilities: | ||||||||||||||||
Derivatives, forwards and futures | 7,627 | — | — | 7,627 | ||||||||||||
Derivatives, interest rate contracts | — | 69,988 | — | 69,988 | ||||||||||||
Derivatives, other | — | 1 | 5,530 | 5,531 | ||||||||||||
Total other liabilities | 7,627 | 69,989 | 5,530 | 83,146 | ||||||||||||
Total liabilities | $ | 7,627 | $ | 649,017 | $ | 5,530 | $ | 662,174 |
FIRST HORIZON CORPORATION | 58 | 2Q21 FORM 10-Q REPORT |
December 31, 2020 | ||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||
Trading securities: | ||||||||||||||||||||||||||
U.S. treasuries | $ | 0 | $ | 81 | $ | 0 | $ | 81 | ||||||||||||||||||
Government agency issued MBS | 0 | 633 | 0 | 633 | ||||||||||||||||||||||
Government agency issued CMO | 0 | 212 | 0 | 212 | ||||||||||||||||||||||
Other U.S. government agencies | 0 | 62 | 0 | 62 | ||||||||||||||||||||||
States and municipalities | 0 | 7 | 0 | 7 | ||||||||||||||||||||||
Corporate and other debt | 0 | 181 | 0 | 181 | ||||||||||||||||||||||
Total trading securities | 0 | 1,176 | 0 | 1,176 | ||||||||||||||||||||||
Loans held for sale (elected fair value) | 0 | 393 | 12 | 405 | ||||||||||||||||||||||
Loans held for investment (elected fair value) | 0 | 0 | 16 | 16 | ||||||||||||||||||||||
Securities available for sale: | ||||||||||||||||||||||||||
U.S. treasuries | 0 | 613 | 0 | 613 | ||||||||||||||||||||||
Government agency issued MBS | 0 | 3,812 | 0 | 3,812 | ||||||||||||||||||||||
Government agency issued CMO | 0 | 2,406 | 0 | 2,406 | ||||||||||||||||||||||
Other U.S. government agencies | 0 | 684 | 0 | 684 | ||||||||||||||||||||||
States and municipalities | 0 | 460 | 0 | 460 | ||||||||||||||||||||||
Corporate and other debt | 0 | 40 | 0 | 40 | ||||||||||||||||||||||
Interest-only strips (elected fair value) | 0 | 0 | 32 | 32 | ||||||||||||||||||||||
Total securities available for sale | 0 | 8,015 | 32 | 8,047 | ||||||||||||||||||||||
Other assets: | ||||||||||||||||||||||||||
Deferred compensation mutual funds | 118 | 0 | 0 | 118 | ||||||||||||||||||||||
Equity, mutual funds, and other | 25 | 0 | 0 | 25 | ||||||||||||||||||||||
Derivatives, forwards and futures | 63 | 0 | 0 | 63 | ||||||||||||||||||||||
Derivatives, interest rate contracts | 0 | 702 | 0 | 702 | ||||||||||||||||||||||
Derivatives, other | 0 | 4 | 0 | 4 | ||||||||||||||||||||||
Total other assets | 206 | 706 | 0 | 912 | ||||||||||||||||||||||
Total assets | $ | 206 | $ | 10,290 | $ | 60 | $ | 10,556 | ||||||||||||||||||
Trading liabilities: | ||||||||||||||||||||||||||
U.S. treasuries | $ | 0 | $ | 307 | $ | 0 | $ | 307 | ||||||||||||||||||
Government agency issued MBS | 0 | 3 | 0 | 3 | ||||||||||||||||||||||
Corporates and other debt | 0 | 43 | 0 | 43 | ||||||||||||||||||||||
Total trading liabilities | 0 | 353 | 0 | 353 | ||||||||||||||||||||||
Other liabilities: | ||||||||||||||||||||||||||
Derivatives, forwards and futures | 71 | 0 | 0 | 71 | ||||||||||||||||||||||
Derivatives, interest rate contracts | 0 | 60 | 0 | 60 | ||||||||||||||||||||||
Derivatives, other | 0 | 4 | 14 | 18 | ||||||||||||||||||||||
Total other liabilities | 71 | 64 | 14 | 149 | ||||||||||||||||||||||
Total liabilities | $ | 71 | $ | 417 | $ | 14 | $ | 502 |
December 31, 2016 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Trading securities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 146,988 | $ | — | $ | 146,988 | ||||||||
Government agency issued MBS | — | 256,611 | — | 256,611 | ||||||||||||
Government agency issued CMO | — | 150,058 | — | 150,058 | ||||||||||||
Other U.S. government agencies | — | 52,314 | — | 52,314 | ||||||||||||
States and municipalities | — | 60,351 | — | 60,351 | ||||||||||||
Corporate and other debt | — | 227,934 | 5 | 227,939 | ||||||||||||
Equity, mutual funds, and other | — | 242 | — | 242 | ||||||||||||
Total trading securities—fixed income | — | 894,498 | 5 | 894,503 | ||||||||||||
Trading securities—mortgage banking | — | — | 2,568 | 2,568 | ||||||||||||
Loans held-for-sale | — | 2,345 | 21,924 | 24,269 | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. treasuries | — | 100 | — | 100 | ||||||||||||
Government agency issued MBS | — | 2,208,687 | — | 2,208,687 | ||||||||||||
Government agency issued CMO | — | 1,547,958 | — | 1,547,958 | ||||||||||||
Equity, mutual funds, and other | 25,249 | — | — | 25,249 | ||||||||||||
Total securities available-for-sale | 25,249 | 3,756,745 | — | 3,781,994 | ||||||||||||
Other assets: | ||||||||||||||||
Mortgage servicing rights | — | — | 985 | 985 | ||||||||||||
Deferred compensation assets | 32,840 | — | — | 32,840 | ||||||||||||
Derivatives, forwards and futures | 33,587 | — | — | 33,587 | ||||||||||||
Derivatives, interest rate contracts | — | 88,025 | — | 88,025 | ||||||||||||
Derivatives, other | — | 42 | — | 42 | ||||||||||||
Total other assets | 66,427 | 88,067 | 985 | 155,479 | ||||||||||||
Total assets | $ | 91,676 | $ | 4,741,655 | $ | 25,482 | $ | 4,858,813 | ||||||||
Trading liabilities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 381,229 | $ | — | $ | 381,229 | ||||||||
Other U.S. government agencies | — | 844 | — | 844 | ||||||||||||
Corporate and other debt | — | 179,775 | — | 179,775 | ||||||||||||
Total trading liabilities—fixed income | — | 561,848 | — | 561,848 | ||||||||||||
Other liabilities: | ||||||||||||||||
Derivatives, forwards and futures | 33,274 | — | — | 33,274 | ||||||||||||
Derivatives, interest rate contracts | — | 96,371 | — | 96,371 | ||||||||||||
Derivatives, other | — | 7 | 6,245 | 6,252 | ||||||||||||
Total other liabilities | 33,274 | 96,378 | 6,245 | 135,897 | ||||||||||||
Total liabilities | $ | 33,274 | $ | 658,226 | $ | 6,245 | $ | 697,745 |
FIRST HORIZON CORPORATION | 59 | 2Q21 FORM 10-Q REPORT |
Three Months Ended September 30, 2017 | ||||||||||||||||||||||||
(Dollars in thousands) | Trading securities | Interest- only strips- AFS | Loans held- for-sale | Net derivative liabilities | ||||||||||||||||||||
Balance on July 1, 2017 | $ | 2,464 | $ | 1,163 | $ | 20,587 | $ | (5,700 | ) | |||||||||||||||
Total net gains/(losses) included in: | ||||||||||||||||||||||||
Net income | 92 | (160 | ) | 390 | (129 | ) | ||||||||||||||||||
Purchases | — | — | 43 | — | ||||||||||||||||||||
Settlements | (251 | ) | — | (939 | ) | 299 | ||||||||||||||||||
Net transfers into/(out of) Level 3 | — | 2,120 | (b) | — | (d) | — | ||||||||||||||||||
Balance on September 30, 2017 | $ | 2,305 | $ | 3,123 | $ | 20,081 | $ | (5,530 | ) | |||||||||||||||
Net unrealized gains/(losses) included in net income | $ | 62 | (a) | $ | (72 | ) | (c) | $ | 390 | (a) | $ | (129 | ) | (e) |
Three Months Ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Interest- only strips- AFS | Loans held for sale | Loans held for investment | Net derivative liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance on April 1, 2021 | $ | 22 | $ | 12 | $ | 17 | $ | (21) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total net gains (losses) included in net income | (1) | 1 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | 0 | 5 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales | (6) | (10) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Settlements | 0 | (1) | 0 | 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net transfers into (out of) Level 3 | 15 | (b) | 18 | (e) | (17) | (e) | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 30 | $ | 25 | $ | 0 | $ | (18) | ||||||||||||||||||||||||||||||||||||||||||||||||
Net unrealized gains (losses) included in net income | $ | (1) | (c) | $ | 1 | (a) | $ | 0 | $ | 0 | (d) |
Three Months Ended June 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Trading securities | Interest-only-strips-AFS | Loans held for sale | Net derivative liabilities | ||||||||||||||||||||||||||||||||||||||||||||||
Balance on April 1, 2020 | $ | 1 | $ | 23 | $ | 14 | $ | (21) | ||||||||||||||||||||||||||||||||||||||||||
Total net gains (losses) included in net income | 0 | (1) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Purchases | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Sales | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Settlements | 0 | 0 | (1) | 2 | ||||||||||||||||||||||||||||||||||||||||||||||
Net transfers into (out of) Level 3 | 0 | 3 | (b) | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||
Balance on June 30, 2020 | $ | 1 | $ | 25 | $ | 13 | $ | (19) | ||||||||||||||||||||||||||||||||||||||||||
Net unrealized gains (losses) included in net income | $ | 0 | (a) | $ | (1) | (c) | $ | 0 | (a) | $ | 0 | (d) |
Three Months Ended September 30, 2016 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Trading securities | Loans held-for-sale | Securities available- for-sale | Mortgage servicing rights, net | Net derivative liabilities | ||||||||||||||||||||||||
Balance on July 1, 2016 | $ | 2,826 | $ | 25,738 | $ | 1,500 | $ | 1,406 | $ | (6,835 | ) | ||||||||||||||||||
Total net gains/(losses) included in: | |||||||||||||||||||||||||||||
Net income | 304 | 1,604 | — | — | (4 | ) | |||||||||||||||||||||||
Purchases | — | 198 | — | — | — | ||||||||||||||||||||||||
Settlements | (346 | ) | (2,146 | ) | (1,500 | ) | (160 | ) | 299 | ||||||||||||||||||||
Net transfers into/(out of) Level 3 | — | (2,858 | ) | (d) | — | — | — | ||||||||||||||||||||||
Balance on September 30, 2016 | $ | 2,784 | $ | 22,536 | $ | — | $ | 1,246 | $ | (6,540 | ) | ||||||||||||||||||
Net unrealized gains/(losses) included in net income | $ | 244 | (a) | $ | 1,604 | (a) | $ | — | $ | — | $ | (4 | ) | (e) |
2Q21 FORM 10-Q REPORT |
Nine Months Ended September 30, 2017 | |||||||||||||||||||||||
(Dollars in thousands) | Trading securities | Interest-only strips- AFS | Loans held- for-sale | Net derivative liabilities | |||||||||||||||||||
Balance on January 1, 2017 | $ | 2,573 | $ | — | $ | 21,924 | $ | (6,245 | ) | ||||||||||||||
Total net gains/(losses) included in: | |||||||||||||||||||||||
Net income | 380 | 107 | 1,722 | (179 | ) | ||||||||||||||||||
Purchases | — | 1,413 | 118 | — | |||||||||||||||||||
Sales | — | (3,291 | ) | — | — | ||||||||||||||||||
Settlements | (648 | ) | — | (3,340 | ) | 894 | |||||||||||||||||
Net transfers into/(out of) Level 3 | — | 4,894 | (b) | (343 | ) | (d) | — | ||||||||||||||||
Balance on September 30, 2017 | $ | 2,305 | $ | 3,123 | $ | 20,081 | $ | (5,530 | ) | ||||||||||||||
Net unrealized gains/(losses) included in net income | $ | 264 | (a) | $ | (122 | ) | (c) | $ | 1,722 | (a) | $ | (179 | ) | (e) |
Six Months Ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Interest- only strips- AFS | Loans held for sale | Loans held for investment | Net derivative liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance on January 1, 2021 | $ | 32 | $ | 12 | $ | 16 | $ | (14) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total net gains (losses) included in net income | 4 | 2 | 0 | (9) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | 0 | 5 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales | (33) | (10) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Settlements | 0 | (2) | (2) | 5 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net transfers into (out of) Level 3 | 27 | (b) | 18 | (e) | (14) | (e) | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 30 | $ | 25 | $ | 0 | $ | (18) | ||||||||||||||||||||||||||||||||||||||||||||||||
Net unrealized gains (losses) included in net income | $ | 1 | (c) | $ | 2 | (a) | $ | 0 | $ | (9) | (d) |
Six Months Ended June 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Trading securities | Interest-only-strips-AFS | Loans held for sale | Net derivative liabilities | ||||||||||||||||||||||||||||||||||||||||||||||
Balance on January 1, 2020 | $ | 1 | $ | 19 | $ | 14 | $ | (23) | ||||||||||||||||||||||||||||||||||||||||||
Total net gains (losses) included in net income | 0 | (2) | 1 | (1) | ||||||||||||||||||||||||||||||||||||||||||||||
Purchases | 0 | 5 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Sales | 0 | (9) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Settlements | 0 | 0 | (2) | 5 | ||||||||||||||||||||||||||||||||||||||||||||||
Net transfers into (out of) Level 3 | 0 | 12 | (b) | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||
Balance on June 30, 2020 | $ | 1 | $ | 25 | $ | 13 | $ | (19) | ||||||||||||||||||||||||||||||||||||||||||
Net unrealized gains (losses) included in net income | $ | 0 | (a) | $ | (2) | (c) | $ | 1 | (a) | $ | (1) | (d) |
Nine Months Ended September 30, 2016 | ||||||||||||||||||||||||||||
(Dollars in thousands) | Trading securities | Loans held-for-sale | Securities available- for-sale | Mortgage servicing rights, net | Net derivative liabilities | |||||||||||||||||||||||
Balance on January 1, 2016 | $ | 4,377 | $ | 27,418 | $ | 1,500 | $ | 1,841 | $ | (4,810 | ) | |||||||||||||||||
Total net gains/(losses) included in: | ||||||||||||||||||||||||||||
Net income | 506 | 2,375 | — | 31 | (2,627 | ) | ||||||||||||||||||||||
Purchases | — | 673 | — | — | — | |||||||||||||||||||||||
Sales | — | — | — | (205 | ) | — | ||||||||||||||||||||||
Settlements | (2,099 | ) | (4,643 | ) | (1,500 | ) | (421 | ) | 897 | |||||||||||||||||||
Net transfers into/(out of) Level 3 | — | (3,287 | ) | (d) | — | — | — | |||||||||||||||||||||
Balance on September 30, 2016 | $ | 2,784 | $ | 22,536 | $ | — | $ | 1,246 | $ | (6,540 | ) | |||||||||||||||||
Net unrealized gains/(losses) included in net income | $ | 324 | (a) | $ | 2,375 | (a) | $ | — | $ | — | $ | (2,627 | ) | (e) |
2Q21 FORM 10-Q REPORT |
Carrying value at September 30, 2017 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Loans held-for-sale—SBAs and USDA | $ | — | $ | 244,089 | $ | 1,484 | $ | 245,573 | ||||||||
Loans held-for-sale—first mortgages | — | — | 611 | 611 | ||||||||||||
Loans, net of unearned income (a) | — | — | 23,210 | 23,210 | ||||||||||||
OREO (b) | — | — | 7,877 | 7,877 | ||||||||||||
Other assets (c) | — | — | 27,394 | 27,394 |
Carrying value at June 30, 2021 | ||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||
Loans held for sale—SBAs and USDA | $ | 0 | $ | 532 | $ | 1 | $ | 533 | ||||||||||||||||||
Loans held for sale—first mortgages | 0 | 0 | 1 | 1 | ||||||||||||||||||||||
Loans and leases (a) | 0 | 0 | 66 | 66 | ||||||||||||||||||||||
OREO (b) | 0 | 0 | 10 | 10 | ||||||||||||||||||||||
Other assets (c) | 0 | 0 | 11 | 11 |
Carrying value at December 31, 2020 | ||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||
Loans held for sale—SBAs and USDA | $ | 0 | $ | 508 | $ | 1 | $ | 509 | ||||||||||||||||||
Loans held for sale—first mortgages | 0 | 0 | 1 | 1 | ||||||||||||||||||||||
Loans and leases (a) | 0 | 0 | 77 | 77 | ||||||||||||||||||||||
OREO (b) | 0 | 0 | 15 | 15 | ||||||||||||||||||||||
Other assets (c) | 0 | 0 | 9 | 9 |
Carrying value at December 31, 2016 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Loans held-for-sale—SBAs | $ | — | $ | 4,286 | $ | — | $ | 4,286 | ||||||||
Loans held-for-sale—first mortgages | — | — | 638 | 638 | ||||||||||||
Loans, net of unearned income (a) | — | — | 31,070 | 31,070 | ||||||||||||
OREO (b) | — | — | 11,235 | 11,235 | ||||||||||||
Other assets (c) | — | — | 29,609 | 29,609 |
Net gains (losses) Three Months Ended June 30, | Net gains (losses) Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||
Loans held for sale—SBAs and USDA | $ | (2) | $ | (1) | $ | (2) | $ | (2) | ||||||||||||||||||
Loans and leases (a) | (1) | (1) | (3) | (6) | ||||||||||||||||||||||
OREO (b) | (1) | 0 | (1) | 0 | ||||||||||||||||||||||
Other assets (c) | 0 | (1) | 0 | (1) | ||||||||||||||||||||||
$ | (4) | $ | (3) | $ | (6) | $ | (9) |
Net gains/(losses) Three Months Ended September 30 | Net gains/(losses) Nine months ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Loans held-for-sale—SBAs and USDA | $ | (86 | ) | $ | — | $ | (1,259 | ) | $ | — | ||||||
Loans held-for-sale—first mortgages | 6 | 10 | 22 | 17 | ||||||||||||
Loans, net of unearned income (a) | (2,388 | ) | 461 | (1,456 | ) | (3,249 | ) | |||||||||
OREO (b) | (41 | ) | (711 | ) | (662 | ) | (1,561 | ) | ||||||||
Other assets (c) | (762 | ) | (788 | ) | (2,646 | ) | (2,325 | ) | ||||||||
$ | (3,271 | ) | $ | (1,028 | ) | $ | (6,001 | ) | $ | (7,118 | ) |
2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 63 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | Values Utilized | |||||||||||||||||||||||||||||||
Level 3 Class | Fair Value at June 30, 2021 | Valuation Techniques | Unobservable Input | Range | Weighted Average (d) | |||||||||||||||||||||||||||
Available for sale securities SBA - interest only strips | $ | 30 | Discounted cash flow | Constant prepayment rate | 11% - 12% | 11% | ||||||||||||||||||||||||||
Bond equivalent yield | 11% - 13% | 11% | ||||||||||||||||||||||||||||||
Loans held for sale - residential real estate | $ | 26 | Discounted cash flow | Prepayment speeds - First mortgage | 4% - 13% | 5% | ||||||||||||||||||||||||||
Foreclosure losses | 46% - 65% | 64% | ||||||||||||||||||||||||||||||
Loss severity trends - First mortgage | 2% - 16% of UPB | 10% | ||||||||||||||||||||||||||||||
Loans held for sale - unguaranteed interest in SBA loans | $ | 1 | Discounted cash flow | Constant prepayment rate | 8% - 12% | 10% | ||||||||||||||||||||||||||
Bond equivalent yield | 15% - 16% | 15% | ||||||||||||||||||||||||||||||
Derivative liabilities, other | $ | 18 | Discounted cash flow | Visa covered litigation resolution amount | $5.4 billion - $6.0 billion | $5.8 billion | ||||||||||||||||||||||||||
Probability of resolution scenarios | 10% - 50% | 16% | ||||||||||||||||||||||||||||||
Time until resolution | 9 - 33 months | 24 months | ||||||||||||||||||||||||||||||
Loans and leases (a) | $ | 66 | Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 10% of appraisal | NM | ||||||||||||||||||||||||||
Other collateral valuations | Borrowing base certificates adjustment | 20% - 50% of gross value | NM | |||||||||||||||||||||||||||||
Financial Statements/Auction values adjustment | 0% - 25% of reported value | NM | ||||||||||||||||||||||||||||||
OREO (b) | $ | 10 | Appraisals from comparable properties | Adjustment for value changes since appraisal | 0% - 10% of appraisal | NM | ||||||||||||||||||||||||||
Other assets (c) | $ | 11 | Discounted cash flow | Adjustments to current sales yields for specific properties | 0% - 15% adjustment to yield | NM | ||||||||||||||||||||||||||
Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 25% of appraisal | NM |
(Dollars in thousands) | ||||||||||
Level 3 Class | Fair Value at September 30, 2017 | Valuation Techniques | Unobservable Input | Values Utilized | ||||||
Available-for-sale- securities SBA-interest only strips | $ | 3,123 | Discounted cash flow | Constant prepayment rate | 9% - 10% | |||||
Bond equivalent yield | 14%- 19% | |||||||||
Loans held-for-sale - residential real estate | 20,692 | Discounted cash flow | Prepayment speeds - First mortgage | 2% - 12% | ||||||
Prepayment speeds - HELOC | 3% - 12% | |||||||||
Foreclosure losses | 50% - 70% | |||||||||
Loss severity trends - First mortgage | 5% - 50% of UPB | |||||||||
Loss severity trends - HELOC | 15% - 100% of UPB | |||||||||
Loans held-for-sale- unguaranteed interest in SBA loans | 1,484 | Discounted cash flow | Constant prepayment rate | 8% - 12% | ||||||
Bond equivalent yield | 9% - 10% | |||||||||
Derivative liabilities, other | 5,530 | Discounted cash flow | Visa covered litigation resolution amount | $4.4 billion - $5.2 billion | ||||||
Probability of resolution scenarios | 10% - 30% | |||||||||
Time until resolution | 18 - 48 months | |||||||||
Loans, net of unearned income (a) | 23,210 | Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 10% of appraisal | ||||||
Other collateral valuations | Borrowing base certificates adjustment | 20% - 50% of gross value | ||||||||
Financial Statements/Auction values adjustment | 0% - 25% of reported value | |||||||||
OREO (b) | 7,877 | Appraisals from comparable properties | Adjustment for value changes since appraisal | 0% - 10% of appraisal | ||||||
Other assets (c) | 27,394 | Discounted cash flow | Adjustments to current sales yields for specific properties | 0% - 15% adjustment to yield | ||||||
Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 25% of appraisal |
2Q21 FORM 10-Q REPORT |
(Dollars in millions) | Values Utilized | |||||||||||||||||||||||||||||||
Level 3 Class | Fair Value at December 31, 2020 | Valuation Techniques | Unobservable Input | Range | Weighted Average (d) | |||||||||||||||||||||||||||
Available for sale securities SBA - interest only strips | $ | 32 | Discounted cash flow | Constant prepayment rate | 12% | 12% | ||||||||||||||||||||||||||
Bond equivalent yield | 15% - 17% | 15% | ||||||||||||||||||||||||||||||
Loans held for sale - residential real estate | $ | 13 | Discounted cash flow | Prepayment speeds - First mortgage | 5% - 15% | 5% | ||||||||||||||||||||||||||
Foreclosure losses | 59% - 70% | 63% | ||||||||||||||||||||||||||||||
Loss severity trends - First mortgage | 3% - 19% of UPB | 12% | ||||||||||||||||||||||||||||||
Loans held for sale - unguaranteed interest in SBA loans | $ | 1 | Discounted cash flow | Constant prepayment rate | 8% - 12% | 10% | ||||||||||||||||||||||||||
Bond equivalent yield | 7% - 8% | 7% | ||||||||||||||||||||||||||||||
Loans held for investment | $ | 16 | Discounted cash flow | Constant prepayment rate | 0% - 26% | 11% | ||||||||||||||||||||||||||
Constant default rate | 0% - 14% | 1% | ||||||||||||||||||||||||||||||
Loss severity trends | 0% - 100% | 11% | ||||||||||||||||||||||||||||||
Derivative liabilities, other | $ | 14 | Discounted cash flow | Visa covered litigation resolution amount | $5.4 billion - $6.0 billion | $5.8 billion | ||||||||||||||||||||||||||
Probability of resolution scenarios | 10% - 50% | 16% | ||||||||||||||||||||||||||||||
Time until resolution | 3 - 27 months | 19 months | ||||||||||||||||||||||||||||||
Loans and leases (a) | $ | 77 | Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 10% of appraisal | NM | ||||||||||||||||||||||||||
Other collateral valuations | Borrowing base certificates adjustment | 20% - 50% of gross value | NM | |||||||||||||||||||||||||||||
Financial Statements/Auction values adjustment | 0% - 25% of reported value | NM | ||||||||||||||||||||||||||||||
OREO (b) | $ | 15 | Appraisals from comparable properties | Adjustment for value changes since appraisal | 0% - 10% of appraisal | NM | ||||||||||||||||||||||||||
Other assets (c) | $ | 9 | Discounted cash flow | Adjustments to current sales yields for specific properties | 0% - 15% adjustment to yield | NM | ||||||||||||||||||||||||||
Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 25% of appraisal | NM |
2Q21 FORM 10-Q REPORT |
(Dollars in thousands) | ||||||||||
Level 3 Class | Fair Value at December 31, 2016 | Valuation Techniques | Unobservable Input | Values Utilized | ||||||
Loans held-for-sale - residential real estate | $ | 22,562 | Discounted cash flow | Prepayment speeds - First mortgage | 2% - 13% | |||||
Prepayment speeds - HELOC | 3% - 15% | |||||||||
Foreclosure Losses | 50% - 70% | |||||||||
Loss severity trends - First mortgage | 5% - 50% of UPB | |||||||||
Loss severity trends - HELOC | 15% - 100% of UPB | |||||||||
Derivative liabilities, other | 6,245 | Discounted cash flow | Visa covered litigation resolution amount | $4.4 billion - $5.2 billion | ||||||
Probability of resolution scenarios | 10% - 30% | |||||||||
Time until resolution | 24 - 54 months | |||||||||
Loans, net of unearned income (a) | 31,070 | Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 10% of appraisal | ||||||
Other collateral valuations | Borrowing base certificates adjustment | 20% - 50% of gross value | ||||||||
Financial Statements/Auction values adjustment | 0% - 25% of reported value | |||||||||
OREO (b) | 11,235 | Appraisals from comparable properties | Adjustment for value changes since appraisal | 0% - 10% of appraisal | ||||||
Other assets (c) | 29,609 | Discounted cash flow | Adjustments to current sales yields for specific properties | 0% - 15% adjustment to yield | ||||||
Appraisals from comparable properties | Marketability adjustments for specific properties | 0% - 25% of appraisal |
FIRST HORIZON CORPORATION | 66 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||
(Dollars in millions) | Fair value carrying amount | Aggregate unpaid principal | Fair value carrying amount less aggregate unpaid principal | |||||||||||||||||
Residential real estate loans held for sale reported at fair value: | ||||||||||||||||||||
Total loans | $ | 377 | $ | 382 | $ | (5) | ||||||||||||||
Nonaccrual loans | 5 | 7 | (2) | |||||||||||||||||
Loans 90 days or more past due and still accruing | 2 | 2 | 0 | |||||||||||||||||
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Fair value carrying amount | Aggregate unpaid principal | Fair value carrying amount less aggregate unpaid principal | |||||||||||||||||
Residential real estate loans held for sale reported at fair value: | ||||||||||||||||||||
Total loans | $ | 405 | $ | 442 | $ | (37) | ||||||||||||||
Nonaccrual loans | 2 | 5 | (3) | |||||||||||||||||
Loans held for investment reported at fair value: | ||||||||||||||||||||
Total loans | 16 | 17 | (1) | |||||||||||||||||
Nonaccrual loans | 1 | 1 | 0 |
September 30, 2017 | ||||||||||||
(Dollars in thousands) | Fair value carrying amount | Aggregate unpaid principal | Fair value carrying amount less aggregate unpaid principal | |||||||||
Residential real estate loans held-for-sale reported at fair value: | ||||||||||||
Total loans | $ | 21,808 | $ | 30,686 | $ | (8,878 | ) | |||||
Nonaccrual loans | 6,428 | 11,551 | (5,123 | ) | ||||||||
Loans 90 days or more past due and still accruing | 44 | 175 | (131 | ) | ||||||||
December 31, 2016 | ||||||||||||
(Dollars in thousands) | Fair value carrying amount | Aggregate unpaid principal | Fair value carrying amount less aggregate unpaid principal | |||||||||
Residential real estate loans held-for-sale reported at fair value: | ||||||||||||
Total loans | $ | 24,269 | $ | 35,262 | $ | (10,993 | ) | |||||
Nonaccrual loans | 6,775 | 12,910 | (6,135 | ) | ||||||||
Loans 90 days or more past due and still accruing | 211 | 331 | (120 | ) |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Changes in fair value included in net income: | |||||||||||||||||||||||
Mortgage banking noninterest income | |||||||||||||||||||||||
Loans held for sale | $ | 4 | $ | 0 | $ | (5) | $ | 1 | |||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | |||||||||||
Changes in fair value included in net income: | |||||||||||||||
Mortgage banking noninterest income | |||||||||||||||
Loans held-for-sale | $ | 390 | $ | 1,604 | $ | 1,722 | $ | 2,375 |
FIRST HORIZON CORPORATION | 67 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 68 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 69 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 70 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | ||||||||||||||||||||||||||||||||
Book Value | Fair Value | |||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||
Loans and leases, net of allowance for loan and lease losses | ||||||||||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||||||||||
Commercial, financial and industrial | $ | 32,143 | $ | 0 | $ | 0 | $ | 31,935 | $ | 31,935 | ||||||||||||||||||||||
Commercial real estate | 12,082 | 0 | 0 | 12,108 | 12,108 | |||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
Consumer real estate | 10,662 | 0 | 0 | 11,190 | 11,190 | |||||||||||||||||||||||||||
Credit card and other | 985 | 0 | 0 | 1,009 | 1,009 | |||||||||||||||||||||||||||
Total loans and leases, net of allowance for loan and lease losses | 55,872 | 0 | 0 | 56,242 | 56,242 | |||||||||||||||||||||||||||
Short-term financial assets: | ||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | 13,451 | 13,451 | 0 | 0 | 13,451 | |||||||||||||||||||||||||||
Federal funds sold | 51 | 0 | 51 | 0 | 51 | |||||||||||||||||||||||||||
Securities purchased under agreements to resell | 571 | 0 | 571 | 0 | 571 | |||||||||||||||||||||||||||
Total short-term financial assets | 14,073 | 13,451 | 622 | 0 | 14,073 | |||||||||||||||||||||||||||
Trading securities (a) | 1,035 | 0 | 1,035 | 0 | 1,035 | |||||||||||||||||||||||||||
Loans held for sale: | ||||||||||||||||||||||||||||||||
Mortgage loans (elected fair value) (a) | 377 | 0 | 352 | 25 | 377 | |||||||||||||||||||||||||||
USDA & SBA loans - LOCOM | 533 | 0 | 535 | 1 | 536 | |||||||||||||||||||||||||||
Other loans - LOCOM | 4 | 0 | 4 | 0 | 4 | |||||||||||||||||||||||||||
Mortgage loans - LOCOM | 59 | 0 | 0 | 59 | 59 | |||||||||||||||||||||||||||
Total loans held for sale | 973 | 0 | 891 | 85 | 976 | |||||||||||||||||||||||||||
Securities available for sale (a) | 8,388 | 0 | 8,358 | 30 | 8,388 | |||||||||||||||||||||||||||
Derivative assets (a) | 480 | 27 | 453 | 0 | 480 | |||||||||||||||||||||||||||
Other assets: | ||||||||||||||||||||||||||||||||
Tax credit investments | 419 | 0 | 0 | 404 | 404 | |||||||||||||||||||||||||||
Deferred compensation mutual funds | 122 | 122 | 0 | 0 | 122 | |||||||||||||||||||||||||||
Equity, mutual funds, and other (b) | 264 | 29 | 0 | 235 | 264 | |||||||||||||||||||||||||||
Total other assets | 805 | 151 | 0 | 639 | 790 | |||||||||||||||||||||||||||
Total assets | $ | 81,626 | $ | 13,629 | $ | 11,359 | $ | 56,996 | $ | 81,984 | ||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Defined maturity deposits | $ | 4,304 | $ | 0 | $ | 4,311 | $ | 0 | $ | 4,311 | ||||||||||||||||||||||
Trading liabilities (a) | 531 | 0 | 531 | 0 | 531 | |||||||||||||||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||||||||||||||
Federal funds purchased | 777 | 0 | 777 | 0 | 777 | |||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 1,350 | 0 | 1,350 | 0 | 1,350 | |||||||||||||||||||||||||||
Other short-term borrowings | 119 | 0 | 119 | 0 | 119 | |||||||||||||||||||||||||||
Total short-term financial liabilities | 2,246 | 0 | 2,246 | 0 | 2,246 | |||||||||||||||||||||||||||
Term borrowings: | ||||||||||||||||||||||||||||||||
Real estate investment trust-preferred | 46 | 0 | 0 | 47 | 47 | |||||||||||||||||||||||||||
Term borrowings—new market tax credit investment | 45 | 0 | 0 | 45 | 45 | |||||||||||||||||||||||||||
Secured borrowings | 15 | 0 | 0 | 15 | 15 | |||||||||||||||||||||||||||
Junior subordinated debentures | 240 | 0 | 0 | 237 | 237 | |||||||||||||||||||||||||||
Other long term borrowings | 1,326 | 0 | 1,476 | 0 | 1,476 | |||||||||||||||||||||||||||
Total term borrowings | 1,672 | 0 | 1,476 | 344 | 1,820 | |||||||||||||||||||||||||||
Derivative liabilities (a) | 118 | 26 | 74 | 18 | 118 | |||||||||||||||||||||||||||
Total liabilities | $ | 8,871 | $ | 26 | $ | 8,638 | $ | 362 | $ | 9,026 |
September 30, 2017 | ||||||||||||||||||||
Book Value | Fair Value | |||||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||
Assets: | ||||||||||||||||||||
Loans, net of unearned income and allowance for loan losses | ||||||||||||||||||||
Commercial: | ||||||||||||||||||||
Commercial, financial and industrial | $ | 12,693,639 | $ | — | $ | — | $ | 12,658,237 | $ | 12,658,237 | ||||||||||
Commercial real estate | 2,221,332 | — | — | 2,208,208 | 2,208,208 | |||||||||||||||
Consumer: | ||||||||||||||||||||
Consumer real estate | 4,328,778 | — | — | 4,252,704 | 4,252,704 | |||||||||||||||
Permanent mortgage | 387,363 | — | — | 392,407 | 392,407 | |||||||||||||||
Credit card & other | 340,112 | — | — | 340,168 | 340,168 | |||||||||||||||
Total loans, net of unearned income and allowance for loan losses | 19,971,224 | — | — | 19,851,724 | 19,851,724 | |||||||||||||||
Short-term financial assets: | ||||||||||||||||||||
Interest-bearing cash | 604,326 | 604,326 | — | — | 604,326 | |||||||||||||||
Federal funds sold | 76,316 | — | 76,316 | — | 76,316 | |||||||||||||||
Securities purchased under agreements to resell | 663,637 | — | 663,637 | — | 663,637 | |||||||||||||||
Total short-term financial assets | 1,344,279 | 604,326 | 739,953 | — | 1,344,279 | |||||||||||||||
Trading securities (a) | 1,469,402 | — | 1,467,097 | 2,305 | 1,469,402 | |||||||||||||||
Loans held-for-sale (a) | 339,780 | — | 246,441 | 94,000 | 340,441 | |||||||||||||||
Securities available-for-sale (a) (b) | 3,963,138 | 24,756 | 3,773,600 | 164,782 | 3,963,138 | |||||||||||||||
Securities held-to-maturity | 10,000 | — | — | 9,985 | 9,985 | |||||||||||||||
Derivative assets (a) | 80,976 | 10,003 | 70,973 | — | 80,976 | |||||||||||||||
Other assets: | ||||||||||||||||||||
Tax credit investments | 120,701 | — | — | 121,435 | 121,435 | |||||||||||||||
Deferred compensation assets | 34,951 | 34,951 | — | — | 34,951 | |||||||||||||||
Total other assets | 155,652 | 34,951 | — | 121,435 | 156,386 | |||||||||||||||
Nonearning assets: | ||||||||||||||||||||
Cash & due from banks | 347,802 | 347,802 | — | — | 347,802 | |||||||||||||||
Fixed income receivables | 68,750 | — | 68,750 | — | 68,750 | |||||||||||||||
Accrued interest receivable | 70,058 | — | 70,058 | — | 70,058 | |||||||||||||||
Total nonearning assets | 486,610 | 347,802 | 138,808 | — | 486,610 | |||||||||||||||
Total assets | $ | 27,821,061 | $ | 1,021,838 | $ | 6,436,872 | $ | 20,244,231 | $ | 27,702,941 | ||||||||||
Liabilities: | ||||||||||||||||||||
Deposits: | ||||||||||||||||||||
Defined maturity | $ | 1,112,098 | $ | — | $ | 1,108,919 | $ | — | $ | 1,108,919 | ||||||||||
Undefined maturity | 20,987,156 | — | 20,987,156 | — | 20,987,156 | |||||||||||||||
Total deposits | 22,099,254 | — | 22,096,075 | — | 22,096,075 | |||||||||||||||
Trading liabilities (a) | 579,028 | — | 579,028 | — | 579,028 | |||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||
Federal funds purchased | 292,650 | — | 292,650 | — | 292,650 | |||||||||||||||
Securities sold under agreements to repurchase | 516,867 | — | 516,867 | — | 516,867 | |||||||||||||||
Other short-term borrowings | 1,637,419 | — | 1,637,419 | — | 1,637,419 | |||||||||||||||
Total short-term financial liabilities | 2,446,936 | — | 2,446,936 | — | 2,446,936 | |||||||||||||||
Term borrowings: | ||||||||||||||||||||
Real estate investment trust-preferred | 46,083 | — | — | 49,350 | 49,350 | |||||||||||||||
Term borrowings—new market tax credit investment | 18,000 | — | — | 17,959 | 17,959 | |||||||||||||||
Secured borrowings | 42,585 | — | — | 42,184 | 42,184 | |||||||||||||||
Other long term borrowings | 952,839 | — | 968,297 | — | 968,297 | |||||||||||||||
Total term borrowings | 1,059,507 | — | 968,297 | 109,493 | 1,077,790 | |||||||||||||||
Derivative liabilities (a) | 83,146 | 7,627 | 69,989 | 5,530 | 83,146 | |||||||||||||||
Other noninterest-bearing liabilities: | ||||||||||||||||||||
Fixed income payables | 44,304 | — | 44,304 | — | 44,304 | |||||||||||||||
Accrued interest payable | 19,205 | — | 19,205 | — | 19,205 | |||||||||||||||
Total other noninterest-bearing liabilities | 63,509 | — | 63,509 | — | 63,509 | |||||||||||||||
Total liabilities | $ | 26,331,380 | $ | 7,627 | $ | 26,223,834 | $ | 115,023 | $ | 26,346,484 |
2Q21 FORM 10-Q REPORT |
December 31, 2020 | ||||||||||||||||||||||||||||||||
Book Value | Fair Value | |||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||
Loans and leases and allowance for loan and lease losses | ||||||||||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||||||||||
Commercial, financial and industrial | $ | 32,651 | $ | 0 | $ | 0 | $ | 32,582 | $ | 32,582 | ||||||||||||||||||||||
Commercial real estate | 12,033 | 0 | 0 | 12,079 | 12,079 | |||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
Consumer real estate | 11,483 | 0 | 0 | 11,903 | 11,903 | |||||||||||||||||||||||||||
Credit card and other | 1,102 | 0 | 0 | 1,131 | 1,131 | |||||||||||||||||||||||||||
Total loans and leases, net of allowance for loan and lease losses | 57,269 | 0 | 0 | 57,695 | 57,695 | |||||||||||||||||||||||||||
Short-term financial assets: | ||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | 8,351 | 8,351 | 0 | 0 | 8,351 | |||||||||||||||||||||||||||
Federal funds sold | 65 | 0 | 65 | 0 | 65 | |||||||||||||||||||||||||||
Securities purchased under agreements to resell | 380 | 0 | 380 | 0 | 380 | |||||||||||||||||||||||||||
Total short-term financial assets | 8,796 | 8,351 | 445 | 0 | 8,796 | |||||||||||||||||||||||||||
Trading securities (a) | 1,176 | 0 | 1,176 | 0 | 1,176 | |||||||||||||||||||||||||||
Loans held for sale: | ||||||||||||||||||||||||||||||||
Mortgage loans (elected fair value) (a) | 405 | 0 | 393 | 12 | 405 | |||||||||||||||||||||||||||
USDA & SBA loans - LOCOM | 509 | 0 | 511 | 1 | 512 | |||||||||||||||||||||||||||
Other loans - LOCOM | 31 | 0 | 31 | 0 | 31 | |||||||||||||||||||||||||||
Mortgage loans - LOCOM | 77 | 0 | 0 | 77 | 77 | |||||||||||||||||||||||||||
Total loans held for sale | 1,022 | 0 | 935 | 90 | 1,025 | |||||||||||||||||||||||||||
Securities available for sale (a) | 8,047 | 0 | 8,015 | 32 | 8,047 | |||||||||||||||||||||||||||
Derivative assets (a) | 769 | 63 | 706 | 0 | 769 | |||||||||||||||||||||||||||
Other assets: | ||||||||||||||||||||||||||||||||
Tax credit investments | 400 | 0 | 0 | 371 | 371 | |||||||||||||||||||||||||||
Deferred compensation mutual funds | 118 | 118 | 0 | 0 | 118 | |||||||||||||||||||||||||||
Equity, mutual funds, and other (b) | 288 | 25 | 0 | 263 | 288 | |||||||||||||||||||||||||||
Total other assets | 806 | 143 | 0 | 634 | 777 | |||||||||||||||||||||||||||
Total assets | $ | 77,885 | $ | 8,557 | $ | 11,277 | $ | 58,451 | $ | 78,285 | ||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Defined maturity deposits | $ | 5,070 | $ | 0 | $ | 5,083 | $ | 0 | $ | 5,083 | ||||||||||||||||||||||
Trading liabilities (a) | 353 | 0 | 353 | 0 | 353 | |||||||||||||||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||||||||||||||
Federal funds purchased | 845 | 0 | 845 | 0 | 845 | |||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 1,187 | 0 | 1,187 | 0 | 1,187 | |||||||||||||||||||||||||||
Other short-term borrowings | 166 | 0 | 166 | 0 | 166 | |||||||||||||||||||||||||||
Total short-term financial liabilities | 2,198 | 0 | 2,198 | 0 | 2,198 | |||||||||||||||||||||||||||
Term borrowings: | ||||||||||||||||||||||||||||||||
Real estate investment trust-preferred | 46 | 0 | 0 | 47 | 47 | |||||||||||||||||||||||||||
Term borrowings—new market tax credit investment | 45 | 0 | 0 | 45 | 45 | |||||||||||||||||||||||||||
Secured borrowings | 15 | 0 | 0 | 15 | 15 | |||||||||||||||||||||||||||
Junior subordinated debentures | 238 | 0 | 0 | 223 | 223 | |||||||||||||||||||||||||||
Other long term borrowings | 1,326 | 0 | 1,455 | 0 | 1,455 | |||||||||||||||||||||||||||
Total term borrowings | 1,670 | 0 | 1,455 | 330 | 1,785 | |||||||||||||||||||||||||||
Derivative liabilities (a) | 149 | 71 | 64 | 14 | 149 | |||||||||||||||||||||||||||
Total liabilities | $ | 9,440 | $ | 71 | $ | 9,153 | $ | 344 | $ | 9,568 |
December 31, 2016 | ||||||||||||||||||||
Book Value | Fair Value | |||||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||
Assets: | ||||||||||||||||||||
Loans, net of unearned income and allowance for loan losses | ||||||||||||||||||||
Commercial: | ||||||||||||||||||||
Commercial, financial and industrial | $ | 12,058,689 | $ | — | $ | — | $ | 11,918,374 | $ | 11,918,374 | ||||||||||
Commercial real estate | 2,101,671 | — | — | 2,078,306 | 2,078,306 | |||||||||||||||
Consumer: | ||||||||||||||||||||
Consumer real estate | 4,473,395 | — | — | 4,385,669 | 4,385,669 | |||||||||||||||
Permanent mortgage | 406,836 | — | — | 404,930 | 404,930 | |||||||||||||||
Credit card & other | 346,861 | — | — | 347,577 | 347,577 | |||||||||||||||
Total loans, net of unearned income and allowance for loan losses | 19,387,452 | — | — | 19,134,856 | 19,134,856 | |||||||||||||||
Short-term financial assets: | ||||||||||||||||||||
Interest-bearing cash | 1,060,034 | 1,060,034 | — | — | 1,060,034 | |||||||||||||||
Federal funds sold | 50,838 | — | 50,838 | — | 50,838 | |||||||||||||||
Securities purchased under agreements to resell | 613,682 | — | 613,682 | — | 613,682 | |||||||||||||||
Total short-term financial assets | 1,724,554 | 1,060,034 | 664,520 | — | 1,724,554 | |||||||||||||||
Trading securities (a) | 897,071 | — | 894,498 | 2,573 | 897,071 | |||||||||||||||
Loans held-for-sale (a) | 111,248 | — | 6,631 | 104,617 | 111,248 | |||||||||||||||
Securities available-for-sale (a) (b) | 3,943,499 | 25,249 | 3,756,745 | 161,505 | 3,943,499 | |||||||||||||||
Securities held-to-maturity | 14,347 | — | — | 14,773 | 14,773 | |||||||||||||||
Derivative assets (a) | 121,654 | 33,587 | 88,067 | — | 121,654 | |||||||||||||||
Other assets: | ||||||||||||||||||||
Tax credit investments | 100,105 | — | — | 98,400 | 98,400 | |||||||||||||||
Deferred compensation assets | 32,840 | 32,840 | — | — | 32,840 | |||||||||||||||
Total other assets | 132,945 | 32,840 | — | 98,400 | 131,240 | |||||||||||||||
Nonearning assets: | ||||||||||||||||||||
Cash & due from banks | 373,274 | 373,274 | — | — | 373,274 | |||||||||||||||
Fixed income receivables | 57,411 | — | 57,411 | — | 57,411 | |||||||||||||||
Accrued interest receivable | 62,887 | — | 62,887 | — | 62,887 | |||||||||||||||
Total nonearning assets | 493,572 | 373,274 | 120,298 | — | 493,572 | |||||||||||||||
Total assets | $ | 26,826,342 | $ | 1,524,984 | $ | 5,530,759 | $ | 19,516,724 | $ | 26,572,467 | ||||||||||
Liabilities: | ||||||||||||||||||||
Deposits: | ||||||||||||||||||||
Defined maturity | $ | 1,355,133 | $ | — | $ | 1,361,104 | $ | — | $ | 1,361,104 | ||||||||||
Undefined maturity | 21,317,230 | — | 21,317,230 | — | 21,317,230 | |||||||||||||||
Total deposits | 22,672,363 | — | 22,678,334 | — | 22,678,334 | |||||||||||||||
Trading liabilities (a) | 561,848 | — | 561,848 | — | 561,848 | |||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||
Federal funds purchased | 414,207 | — | 414,207 | — | 414,207 | |||||||||||||||
Securities sold under agreements to repurchase | 453,053 | — | 453,053 | — | 453,053 | |||||||||||||||
Other short-term borrowings | 83,177 | — | 83,177 | — | 83,177 | |||||||||||||||
Total short-term financial liabilities | 950,437 | — | 950,437 | — | 950,437 | |||||||||||||||
Term borrowings: | ||||||||||||||||||||
Real estate investment trust-preferred | 46,032 | — | — | 49,350 | 49,350 | |||||||||||||||
Term borrowings—new market tax credit investment | 18,000 | — | — | 17,918 | 17,918 | |||||||||||||||
Borrowings secured by residential real estate | 23,126 | — | — | 21,969 | 21,969 | |||||||||||||||
Other long term borrowings | 953,498 | — | 965,066 | — | 965,066 | |||||||||||||||
Total term borrowings | 1,040,656 | — | 965,066 | 89,237 | 1,054,303 | |||||||||||||||
Derivative liabilities (a) | 135,897 | 33,274 | 96,378 | 6,245 | 135,897 | |||||||||||||||
Other noninterest-bearing liabilities: | ||||||||||||||||||||
Fixed income payables | 21,002 | — | 21,002 | — | 21,002 | |||||||||||||||
Accrued interest payable | 10,336 | — | 10,336 | — | 10,336 | |||||||||||||||
Total other noninterest-bearing liabilities | 31,338 | — | 31,338 | — | 31,338 | |||||||||||||||
Total liabilities | $ | 25,392,539 | $ | 33,274 | $ | 25,283,401 | $ | 95,482 | $ | 25,412,157 |
2Q21 FORM 10-Q REPORT |
Contractual Amount | Fair Value | |||||||||||||||||||||||||
(Dollars in millions) | June 30, 2021 | December 31, 2020 | June 30, 2021 | December 31, 2020 | ||||||||||||||||||||||
Unfunded Commitments: | ||||||||||||||||||||||||||
Loan commitments | $ | 22,497 | $ | 20,796 | $ | 1 | $ | 2 | ||||||||||||||||||
Standby and other commitments | 789 | 751 | 8 | 6 |
Contractual Amount | Fair Value | |||||||||||||||
(Dollars in thousands) | September 30, 2017 | December 31, 2016 | September 30, 2017 | December 31, 2016 | ||||||||||||
Unfunded Commitments: | ||||||||||||||||
Loan commitments | $ | 8,868,115 | $ | 8,744,649 | $ | 2,388 | $ | 2,924 | ||||||||
Standby and other commitments | 336,953 | 277,549 | 4,139 | 4,037 |
2Q21 FORM 10-Q REPORT |
FIRST HORIZON | 74 | 2Q21 FORM 10-Q REPORT |
General Information | ||||||||||||||
Financial Summary | ||||||||||||||
FIRST HORIZON CORPORATION | 75 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 76 | 2Q21 FORM 10-Q REPORT |
As of or for the three months ended | As of or for the six months ended | ||||||||||||||||||||||||||||
(Dollars in millions, except per share data) | June 30, 2021 | March 31, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | ||||||||||||||||||||||||
Pre-provision net revenue (a) | $ | 284 | $ | 262 | $ | 191 | $ | 545 | $ | 366 | |||||||||||||||||||
Diluted earnings per common share | $ | 0.53 | $ | 0.40 | $ | 0.17 | $ | 0.93 | $ | 0.21 | |||||||||||||||||||
Return on average assets (b) | 1.42 | % | 1.12 | % | 0.48 | % | 1.27 | % | 0.32 | % | |||||||||||||||||||
Return on average common equity (c) | 15.45 | % | 12.01 | % | 4.50 | % | 13.75 | % | 2.79 | % | |||||||||||||||||||
Return on average tangible common equity (a) (d) | 20.36 | % | 15.90 | % | 6.74 | % | 18.16 | % | 4.19 | % | |||||||||||||||||||
Net interest margin (e) | 2.47 | % | 2.63 | % | 2.90 | % | 2.55 | % | 3.02 | % | |||||||||||||||||||
Noninterest income to total revenue (f) | 35.49 | % | 37.00 | % | 40.49 | % | 36.26 | % | 38.61 | % | |||||||||||||||||||
Efficiency ratio (g) | 64.61 | % | 67.54 | % | 62.56 | % | 66.11 | % | 62.90 | % | |||||||||||||||||||
Allowance for loan and lease losses to total loans and leases | 1.44 | % | 1.56 | % | 1.64 | % | 1.44 | % | 1.64 | % | |||||||||||||||||||
Net charge-offs (recoveries) to average loans and leases (annualized) | (0.07) | % | 0.06 | % | 0.20 | % | (0.01) | % | 0.15 | % | |||||||||||||||||||
Total period-end equity to period-end assets | 9.74 | % | 9.49 | % | 10.71 | % | 9.74 | % | 10.71 | % | |||||||||||||||||||
Tangible common equity to tangible assets (a) | 6.87 | % | 6.64 | % | 6.63 | % | 6.87 | % | 6.63 | % | |||||||||||||||||||
Cash dividends declared per common share | $ | 0.15 | $ | 0.15 | $ | 0.15 | $ | 0.30 | $ | 0.30 | |||||||||||||||||||
Book value per common share | $ | 14.07 | $ | 13.65 | $ | 14.96 | $ | 14.07 | $ | 14.96 | |||||||||||||||||||
Tangible book value per common share (a) | $ | 10.74 | $ | 10.30 | $ | 9.99 | $ | 10.74 | $ | 9.99 | |||||||||||||||||||
Common equity Tier 1 | 10.28 | % | 9.97 | % | 9.25 | % | 10.28 | % | 9.25 | % | |||||||||||||||||||
Market capitalization | $ | 9,519 | $ | 9,341 | $ | 3,111 | $ | 9,519 | $ | 3,111 |
Results of Operations | ||||||||||||||
FIRST HORIZON CORPORATION | 77 | 2Q21 FORM 10-Q REPORT |
Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | June 30, 2021 | March 31, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Average Balance | Interest Income/Expense | Yield/Rate | Average Balance | Interest Income/Expense | Yield/Rate | Average Balance | Interest Income/Expense | Yield/Rate | ||||||||||||||||||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and leases: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial loans and leases | $ | 44,890 | $ | 380 | 3.39 | % | $ | 45,703 | $ | 382 | 3.39 | % | $ | 27,404 | $ | 244 | 3.56 | % | ||||||||||||||||||||||||||||||||||||||
Consumer loans | 11,939 | 118 | 3.99 | 12,519 | 128 | 4.13 | 6,564 | 65 | 4.00 | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans and leases | 56,829 | 498 | 3.52 | 58,222 | 510 | 3.55 | 33,968 | 309 | 3.65 | |||||||||||||||||||||||||||||||||||||||||||||||
Loans held for sale | 734 | 7 | 3.94 | 842 | 7 | 3.16 | 731 | 7 | 3.61 | |||||||||||||||||||||||||||||||||||||||||||||||
Investment securities | 8,401 | 29 | 1.39 | 8,321 | 29 | 1.41 | 4,541 | 24 | 2.23 | |||||||||||||||||||||||||||||||||||||||||||||||
Trading securities | 1,322 | 7 | 2.03 | 1,418 | 7 | 2.03 | 1,420 | 9 | 2.48 | |||||||||||||||||||||||||||||||||||||||||||||||
Federal funds sold | 38 | — | 0.13 | 45 | — | 0.12 | 28 | — | 0.22 | |||||||||||||||||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell (a) | 610 | — | (0.07) | 554 | — | (0.14) | 394 | — | (0.08) | |||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | 13,051 | 3 | 0.10 | 9,269 | 2 | 0.10 | 1,620 | — | 0.09 | |||||||||||||||||||||||||||||||||||||||||||||||
Total earning assets / Total interest income | $ | 80,985 | $ | 544 | 2.70 | % | $ | 78,671 | $ | 555 | 2.86 | % | $ | 42,702 | $ | 349 | 3.29 | % | ||||||||||||||||||||||||||||||||||||||
Cash and due from banks | 1,267 | 1,250 | 562 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and other intangible assets, net | 1,843 | 1,857 | 1,555 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan and lease losses | (884) | (949) | (476) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 4,348 | 4,572 | 3,591 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 87,559 | $ | 85,401 | $ | 47,934 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Shareholders' Equity: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Savings | $ | 27,238 | $ | 11 | 0.16 | % | $ | 27,370 | $ | 12 | 0.19 | % | $ | 14,118 | $ | 13 | 0.36 | % | ||||||||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 16,029 | 6 | 0.15 | 15,491 | 6 | 0.16 | 9,256 | 3 | 0.13 | |||||||||||||||||||||||||||||||||||||||||||||||
Time deposits | 4,487 | 7 | 0.65 | 4,836 | 6 | 0.47 | 2,837 | 9 | 1.31 | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 47,754 | 24 | 0.20 | 47,697 | 24 | 0.20 | 26,211 | 25 | 0.38 | |||||||||||||||||||||||||||||||||||||||||||||||
Federal funds purchased | 1,006 | — | 0.10 | 996 | — | 0.10 | 1,037 | — | 0.12 | |||||||||||||||||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 1,116 | 1 | 0.20 | 1,145 | 1 | 0.21 | 1,011 | 1 | 0.36 | |||||||||||||||||||||||||||||||||||||||||||||||
Trading liabilities | 560 | 2 | 1.17 | 518 | 1 | 0.73 | 352 | 1 | 1.11 | |||||||||||||||||||||||||||||||||||||||||||||||
Other short-term borrowings | 126 | — | 1.34 | 139 | — | 1.01 | 555 | — | 0.17 | |||||||||||||||||||||||||||||||||||||||||||||||
Term borrowings | 1,672 | 18 | 4.38 | 1,670 | 18 | 4.39 | 1,426 | 14 | 3.96 | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities / Total interest expense | $ | 52,234 | $ | 45 | 0.34 | % | $ | 52,165 | $ | 44 | 0.34 | % | $ | 30,592 | $ | 41 | 0.54 | % | ||||||||||||||||||||||||||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,404 | 23,284 | 11,316 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 1,462 | 1,603 | 908 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities | 79,100 | 77,052 | 42,816 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Shareholders' equity | 8,164 | 8,054 | 4,823 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest | 295 | 295 | 295 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total shareholders' equity | 8,459 | 8,349 | 5,118 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 87,559 | $ | 85,401 | $ | 47,934 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net earnings assets / Net interest income (TE) / Net interest spread | $ | 28,751 | $ | 499 | 2.36 | % | $ | 26,506 | $ | 511 | 2.52 | % | $ | 12,110 | $ | 308 | 2.75 | % | ||||||||||||||||||||||||||||||||||||||
Taxable equivalent adjustment | (2) | 0.11 | (3) | 0.11 | (3) | 0.15 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income / Net interest margin (b) | $ | 497 | 2.47 | % | $ | 508 | 2.63 | % | $ | 305 | 2.90 | % | ||||||||||||||||||||||||||||||||||||||||||||
FIRST HORIZON CORPORATION | 78 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 79 | 2Q21 FORM 10-Q REPORT |
Six Months Ended | ||||||||||||||||||||||||||||||||||||||
June 30, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Average Balance | Interest Income/Expense | Yield/Rate | Average Balance | Interest Income/Expense | Yield/Rate | ||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||
Loans and leases: | ||||||||||||||||||||||||||||||||||||||
Commercial loans and leases | $ | 45,294 | $ | 762 | 3.39 | % | $ | 25,648 | $ | 500 | 3.92 | % | ||||||||||||||||||||||||||
Consumer loans | 12,227 | 245 | 4.06 | 6,598 | 137 | 4.17 | ||||||||||||||||||||||||||||||||
Total loans and leases | 57,521 | 1,007 | 3.53 | 32,246 | 637 | 3.97 | ||||||||||||||||||||||||||||||||
Loans held for sale | 788 | 14 | 3.52 | 661 | 13 | 4.08 | ||||||||||||||||||||||||||||||||
Investment securities | 8,361 | 58 | 1.40 | 4,504 | 52 | 2.37 | ||||||||||||||||||||||||||||||||
Trading securities | 1,370 | 14 | 2.00 | 1,626 | 23 | 2.73 | ||||||||||||||||||||||||||||||||
Federal funds sold | 41 | — | 0.12 | 19 | — | 0.44 | ||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell (a) | 582 | — | (0.10) | 605 | 2 | 0.74 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | 11,170 | 5 | 0.10 | 1,084 | 2 | 0.35 | ||||||||||||||||||||||||||||||||
Total earning assets / Total interest income | $ | 79,833 | $ | 1,098 | 2.77 | % | $ | 40,745 | $ | 729 | 3.60 | % | ||||||||||||||||||||||||||
Cash and due from banks | 1,259 | 586 | ||||||||||||||||||||||||||||||||||||
Goodwill and other intangible assets, net | 1,850 | 1,558 | ||||||||||||||||||||||||||||||||||||
Premises and equipment, net | 734 | 451 | ||||||||||||||||||||||||||||||||||||
Allowance for loan and lease losses | (916) | (415) | ||||||||||||||||||||||||||||||||||||
Other assets | 3,726 | 2,818 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 86,486 | $ | 45,743 | ||||||||||||||||||||||||||||||||||
Liabilities and Shareholders' Equity: | ||||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits: | ||||||||||||||||||||||||||||||||||||||
Savings | $ | 27,303 | $ | 23 | 0.17 | % | $ | 13,118 | $ | 39 | 0.60 | % | ||||||||||||||||||||||||||
Other interest-bearing deposits | 15,761 | 12 | 0.15 | 8,999 | 17 | 0.38 | ||||||||||||||||||||||||||||||||
Time deposits | 4,661 | 13 | 0.56 | 3,097 | 23 | 1.51 | ||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 47,725 | 48 | 0.18 | 25,214 | 79 | 0.63 | ||||||||||||||||||||||||||||||||
Federal funds purchased | 1,001 | — | 0.10 | 892 | 3 | 0.57 | ||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 1,130 | 2 | 0.21 | 894 | 4 | 0.79 | ||||||||||||||||||||||||||||||||
Trading liabilities | 539 | 3 | 0.96 | 551 | 4 | 1.56 | ||||||||||||||||||||||||||||||||
Other short-term borrowings | 132 | 1 | 1.17 | 1,121 | 5 | 0.94 | ||||||||||||||||||||||||||||||||
Term borrowings | 1,671 | 37 | 4.38 | 1,109 | 22 | 3.97 | ||||||||||||||||||||||||||||||||
Total interest-bearing liabilities / Total interest expense | $ | 52,198 | $ | 91 | 0.34 | % | $ | 29,781 | $ | 117 | 0.79 | % | ||||||||||||||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 24,350 | 9,991 | ||||||||||||||||||||||||||||||||||||
Other liabilities | 1,534 | 911 | ||||||||||||||||||||||||||||||||||||
Total liabilities | 78,082 | 40,683 | ||||||||||||||||||||||||||||||||||||
Shareholders' equity | 8,109 | 4,765 | ||||||||||||||||||||||||||||||||||||
Noncontrolling interest | 295 | 295 | ||||||||||||||||||||||||||||||||||||
Total shareholders' equity | 8,404 | 5,060 | ||||||||||||||||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 86,486 | $ | 45,743 | ||||||||||||||||||||||||||||||||||
Net earnings assets / Net interest income (TE) / Net interest spread | $ | 27,635 | $ | 1,007 | 2.43 | % | $ | 10,964 | $ | 612 | 2.81 | % | ||||||||||||||||||||||||||
Taxable equivalent adjustment | (3) | 0.12 | (4) | 0.21 | ||||||||||||||||||||||||||||||||||
Net interest income / Net interest margin (b) | $ | 1,004 | 2.55 | % | $ | 608 | 3.02 | % |
FIRST HORIZON CORPORATION | 80 | 2Q21 FORM 10-Q REPORT |
Three Months Ended | 2Q21 vs. 1Q21 | 2Q21 vs. 2Q20 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | June 30, 2021 | March 31, 2021 | June 30, 2020 | $ Change | % Change | $ Change | % Change | |||||||||||||||||||||||||||||||||||||
Noninterest income: | ||||||||||||||||||||||||||||||||||||||||||||
Fixed income | $ | 102 | $ | 126 | $ | 112 | $ | (24) | (19) | % | $ | (10) | (9) | % | ||||||||||||||||||||||||||||||
Mortgage banking and title income | 38 | 53 | 4 | (15) | (28) | % | 34 | NM | ||||||||||||||||||||||||||||||||||||
Deposit transactions and cash management | 44 | 42 | 31 | 2 | 5 | % | 13 | 42 | % | |||||||||||||||||||||||||||||||||||
Brokerage, management fees and commissions | 21 | 20 | 14 | 1 | 5 | % | 7 | 50 | % | |||||||||||||||||||||||||||||||||||
Trust services and investment management | 14 | 12 | 8 | 2 | 17 | % | 6 | 75 | % | |||||||||||||||||||||||||||||||||||
Bankcard income | 15 | 11 | 7 | 4 | 36 | % | 8 | NM | ||||||||||||||||||||||||||||||||||||
Securities gains (losses), net | 11 | — | (1) | 11 | NM | 12 | — | % | ||||||||||||||||||||||||||||||||||||
Other income | 40 | 34 | 31 | 6 | 18 | % | 9 | 29 | % | |||||||||||||||||||||||||||||||||||
Total noninterest income | $ | 285 | $ | 298 | $ | 206 | $ | (13) | (4) | % | $ | 79 | 38 | % |
FIRST HORIZON CORPORATION | 81 | 2Q21 FORM 10-Q REPORT |
Six Months Ended | ||||||||||||||||||||||||||
(Dollars in millions) | June 30, 2021 | June 30, 2020 | $ Change | % Change | ||||||||||||||||||||||
Noninterest income: | ||||||||||||||||||||||||||
Fixed income | $ | 228 | $ | 208 | $ | 20 | 10 | % | ||||||||||||||||||
Mortgage banking and title income | 91 | 7 | 84 | NM | ||||||||||||||||||||||
Deposit transactions and cash management | 86 | 61 | 25 | 41 | % | |||||||||||||||||||||
Brokerage, management fees and commissions | 41 | 29 | 12 | 41 | % | |||||||||||||||||||||
Trust services and investment management | 26 | 15 | 11 | 73 | % | |||||||||||||||||||||
Bankcard income | 25 | 14 | 11 | 79 | % | |||||||||||||||||||||
Securities gains (losses), net | 11 | (1) | 12 | NM | ||||||||||||||||||||||
Other income | 75 | 48 | 27 | 56 | % | |||||||||||||||||||||
Total noninterest income | $ | 583 | $ | 381 | $ | 202 | 53 | % |
FIRST HORIZON CORPORATION | 82 | 2Q21 FORM 10-Q REPORT |
Three Months Ended | 2Q21 vs. 1Q21 | 2Q21 vs. 2Q20 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | June 30, 2021 | March 31, 2021 | June 30, 2020 | $ Change | % Change | $ Change | % Change | |||||||||||||||||||||||||||||||||||||
Noninterest expense: | ||||||||||||||||||||||||||||||||||||||||||||
Personnel expense | $ | 306 | $ | 318 | $ | 200 | $ | (12) | (4) | % | $ | 106 | 53 | % | ||||||||||||||||||||||||||||||
Net occupancy expense | 33 | 37 | 21 | (4) | (11) | % | 12 | 57 | % | |||||||||||||||||||||||||||||||||||
Computer software | 30 | 28 | 17 | 2 | 7 | % | 13 | 76 | % | |||||||||||||||||||||||||||||||||||
Legal and professional fees | 16 | 14 | 13 | 2 | 14 | % | 3 | 23 | % | |||||||||||||||||||||||||||||||||||
Operations services | 19 | 16 | 12 | 3 | 19 | % | 7 | 58 | % | |||||||||||||||||||||||||||||||||||
Equipment expense | 12 | 11 | 9 | 1 | 9 | % | 3 | 33 | % | |||||||||||||||||||||||||||||||||||
Amortization of intangible assets | 14 | 14 | 5 | — | — | % | 9 | NM | ||||||||||||||||||||||||||||||||||||
Other expense | 68 | 106 | 43 | (38) | (36) | % | 25 | 58 | % | |||||||||||||||||||||||||||||||||||
Total noninterest expense | $ | 498 | $ | 544 | $ | 320 | $ | (46) | (8) | % | $ | 178 | 56 | % |
FIRST HORIZON CORPORATION | 83 | 2Q21 FORM 10-Q REPORT |
Six Months Ended | 2Q21 vs. 2Q20 | |||||||||||||||||||||||||
(Dollars in millions) | June 30, 2021 | June 30, 2020 | $ Change | % Change | ||||||||||||||||||||||
Noninterest expense: | ||||||||||||||||||||||||||
Personnel expense | $ | 624 | $ | 384 | $ | 240 | 63 | % | ||||||||||||||||||
Net occupancy expense | 71 | 41 | 30 | 73 | % | |||||||||||||||||||||
Computer software | 57 | 32 | 25 | 78 | % | |||||||||||||||||||||
Legal and professional fees | 31 | 22 | 9 | 41 | % | |||||||||||||||||||||
Operations services | 35 | 23 | 12 | 52 | % | |||||||||||||||||||||
Equipment expense | 23 | 17 | 6 | 35 | % | |||||||||||||||||||||
Amortization of intangible assets | 28 | 11 | 17 | NM | ||||||||||||||||||||||
Other expense | 173 | 93 | 80 | 86 | % | |||||||||||||||||||||
Total noninterest expense | $ | 1,042 | $ | 623 | $ | 419 | 67 | % |
FIRST HORIZON CORPORATION | 84 | 2Q21 FORM 10-Q REPORT |
Business Segment Results | ||||||||||||||
FIRST HORIZON CORPORATION | 85 | 2Q21 FORM 10-Q REPORT |
Financial Condition | ||||||||||||||
As of June 30, 2021 | As of December 31, 2020 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Growth Rate | |||||||||||||||||||||||||||
Commercial: | ||||||||||||||||||||||||||||||||
Commercial, financial, and industrial (a) | $ | 32,528 | 57 | % | $ | 33,104 | 57 | % | (2) | % | ||||||||||||||||||||||
Commercial real estate | 12,292 | 22 | 12,275 | 21 | — | |||||||||||||||||||||||||||
Total commercial | 44,820 | 79 | 45,379 | 78 | (1) | |||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
Consumer real estate | 10,865 | 19 | 11,725 | 20 | (7) | |||||||||||||||||||||||||||
Credit card and other | 1,002 | 2 | 1,128 | 2 | (11) | |||||||||||||||||||||||||||
Total consumer | 11,867 | 21 | 12,853 | 22 | (8) | |||||||||||||||||||||||||||
Total loans and leases | $ | 56,687 | 100 | % | $ | 58,232 | 100 | % | (3) | % |
FIRST HORIZON CORPORATION | 86 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent | Amount | Percent | ||||||||||||||||||||||
Industry: | ||||||||||||||||||||||||||
Loans to mortgage companies | $ | 4,876 | 15 | % | $ | 5,404 | 16 | % | ||||||||||||||||||
Finance and insurance | 3,199 | 10 | 3,130 | 10 | ||||||||||||||||||||||
Health care and social assistance | 2,741 | 8 | 2,689 | 8 | ||||||||||||||||||||||
Real estate rental and leasing (a) | 2,502 | 8 | 2,365 | 7 | ||||||||||||||||||||||
Accommodation and food service | 2,480 | 8 | 2,303 | 7 | ||||||||||||||||||||||
Wholesale trade | 2,062 | 6 | 2,079 | 6 | ||||||||||||||||||||||
Manufacturing | 2,065 | 6 | 1,907 | 6 | ||||||||||||||||||||||
Retail trade | 1,570 | 5 | 1,531 | 5 | ||||||||||||||||||||||
Energy | 1,469 | 5 | 1,686 | 5 | ||||||||||||||||||||||
Other (professional, construction, transportation, etc.) (b) | 9,564 | 29 | 10,010 | 30 | ||||||||||||||||||||||
Total C&I loan portfolio | $ | 32,528 | 100 | % | $ | 33,104 | 100 | % |
FIRST HORIZON CORPORATION | 87 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 88 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||||||||||||||
Months remaining in draw period: | ||||||||||||||||||||||||||
0-12 | $ | 56 | 3 | % | $ | 73 | 4 | % | ||||||||||||||||||
13-24 | 51 | 3 | 66 | 3 | ||||||||||||||||||||||
25-36 | 51 | 3 | 62 | 3 | ||||||||||||||||||||||
37-48 | 105 | 5 | 67 | 3 | ||||||||||||||||||||||
49-60 | 172 | 9 | 187 | 8 | ||||||||||||||||||||||
>60 | 1,464 | 77 | 1,662 | 79 | ||||||||||||||||||||||
Total | $ | 1,899 | 100 | % | $ | 2,117 | 100 | % |
Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||||
2017 | 2016 | 2017 | 2016 | ||||||||
Assets: | |||||||||||
Earning assets: | |||||||||||
Loans, net of unearned income: | |||||||||||
Commercial loans | 4.13 | % | 3.63 | % | 4.01 | % | 3.60 | % | |||
Consumer loans | 4.23 | 4.08 | 4.19 | 4.08 | |||||||
Total loans, net of unearned income | 4.16 | 3.76 | 4.06 | 3.74 | |||||||
Loans held-for-sale | 4.53 | 4.36 | 4.47 | 4.23 | |||||||
Investment securities: | |||||||||||
U.S. treasuries | 1.26 | 0.97 | 1.08 | 0.98 | |||||||
U.S. government agencies | 2.54 | 2.34 | 2.57 | 2.40 | |||||||
States and municipalities | — | 9.01 | 9.43 | 7.55 | |||||||
Corporate bonds | 5.25 | 5.25 | 5.25 | 5.25 | |||||||
Other | 3.67 | 2.44 | 3.32 | 2.50 | |||||||
Total investment securities | 2.60 | 2.36 | 2.61 | 2.42 | |||||||
Trading securities | 3.06 | 2.46 | 3.00 | 2.65 | |||||||
Other earning assets: | |||||||||||
Federal funds sold | 1.75 | 0.99 | 1.58 | 1.12 | |||||||
Securities purchased under agreements to resell | 0.88 | 0.08 | 0.64 | 0.11 | |||||||
Interest bearing cash | 1.24 | 0.49 | 0.92 | 0.49 | |||||||
Total other earning assets | 1.03 | 0.25 | 0.82 | 0.29 | |||||||
Interest income / total earning assets | 3.76 | % | 3.30 | % | 3.57 | % | 3.27 | % | |||
Liabilities: | |||||||||||
Interest-bearing liabilities: | |||||||||||
Interest-bearing deposits: | |||||||||||
Savings | 0.50 | % | 0.23 | % | 0.46 | % | 0.22 | % | |||
Other interest-bearing deposits | 0.46 | 0.19 | 0.37 | 0.18 | |||||||
Time deposits | 0.97 | 0.86 | 0.94 | 0.83 | |||||||
Total interest-bearing deposits | 0.51 | 0.26 | 0.46 | 0.25 | |||||||
Federal funds purchased | 1.24 | 0.52 | 0.98 | 0.51 | |||||||
Securities sold under agreements to repurchase | 1.06 | 0.09 | 0.70 | 0.09 | |||||||
Fixed income trading liabilities | 2.19 | 1.76 | 2.26 | 1.91 | |||||||
Other short-term borrowings | 1.22 | 0.61 | 1.24 | 0.70 | |||||||
Term borrowings | 3.51 | 2.67 | 3.24 | 2.52 | |||||||
Interest expense / total interest-bearing liabilities | 0.80 | 0.47 | 0.71 | 0.48 | |||||||
Net interest spread | 2.96 | % | 2.83 | % | 2.86 | % | 2.79 | % | |||
Effect of interest-free sources used to fund earning assets | 0.23 | 0.13 | 0.20 | 0.13 | |||||||
Net interest margin (a) | 3.19 | % | 2.96 | % | 3.06 | % | 2.92 | % |
FIRST HORIZON CORPORATION | 89 | 2Q21 FORM 10-Q REPORT |
Three Months Ended September 30 | Percent Change | Nine Months Ended September 30 | Percent Change | |||||||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||||||||
Noninterest income: | ||||||||||||||||||||||
Fixed income | $ | 45,020 | $ | 59,003 | (24 | )% | $ | 133,302 | $ | 185,865 | (28 | )% | ||||||||||
Other product revenue | 10,738 | 12,745 | (16 | )% | 28,244 | 30,773 | (8 | )% | ||||||||||||||
Total fixed income noninterest income | $ | 55,758 | $ | 71,748 | (22 | )% | $ | 161,546 | $ | 216,638 | (25 | )% |
(Dollars in millions) | |||||||||||||||||||||||||||||
Allowance for loan and lease losses (a) | June 30, 2021 | December 31, 2020 | June 30, 2020 | ||||||||||||||||||||||||||
C&I | $ | 385 | $ | 453 | $ | 319 | |||||||||||||||||||||||
CRE | 210 | 242 | 57 | ||||||||||||||||||||||||||
Consumer real estate | 203 | 242 | 144 | ||||||||||||||||||||||||||
Credit card and other | 17 | 26 | 18 | ||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 815 | $ | 963 | $ | 538 | |||||||||||||||||||||||
Period-end loans and leases (b) | |||||||||||||||||||||||||||||
C&I | $ | 32,528 | $ | 33,104 | $ | 21,394 | |||||||||||||||||||||||
CRE | 12,292 | 12,275 | 4,813 | ||||||||||||||||||||||||||
Consumer real estate | 10,865 | 11,725 | 6,053 | ||||||||||||||||||||||||||
Credit card and other | 1,002 | 1,128 | 449 | ||||||||||||||||||||||||||
Total period-end loans and leases | $ | 56,687 | $ | 58,232 | $ | 32,709 | |||||||||||||||||||||||
ALLL / loans and leases % | |||||||||||||||||||||||||||||
C&I | 1.18 | % | 1.37 | % | 1.49 | % | |||||||||||||||||||||||
CRE | 1.71 | 1.97 | 1.19 | ||||||||||||||||||||||||||
Consumer real estate | 1.87 | 2.07 | 2.38 | ||||||||||||||||||||||||||
Credit card and other | 1.71 | 2.34 | 4.03 | ||||||||||||||||||||||||||
Total ALLL / loans and leases % | 1.44 | % | 1.65 | % | 1.64 | % | |||||||||||||||||||||||
Quarter-to-date net charge-offs (recoveries) | |||||||||||||||||||||||||||||
C&I | $ | (3) | $ | 31 | $ | 17 | |||||||||||||||||||||||
CRE | (1) | (1) | — | ||||||||||||||||||||||||||
Consumer real estate | (7) | (3) | (2) | ||||||||||||||||||||||||||
Credit card and other | 1 | 2 | 2 |
Three Months Ended September 30 | Percent Change | Nine Months Ended September 30 | Percent Change | |||||||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||||||||
Other income: | ||||||||||||||||||||||
ATM interchange fees | $ | 3,137 | $ | 3,081 | 2 | % | $ | 8,998 | $ | 8,918 | 1 | % | ||||||||||
Other service charges | 2,954 | 3,004 | (2 | )% | 9,047 | 8,713 | 4 | % | ||||||||||||||
Mortgage banking | 1,354 | 5,524 | (75 | )% | 3,883 | 7,395 | (47 | )% | ||||||||||||||
Electronic banking fees | 1,282 | 1,398 | (8 | )% | 3,911 | 4,176 | (6 | )% | ||||||||||||||
Letter of credit fees | 1,211 | 981 | 23 | % | 3,369 | 3,157 | 7 | % | ||||||||||||||
Deferred compensation (a) | 1,128 | 1,038 | 9 | % | 4,446 | 2,162 | NM | |||||||||||||||
Insurance commissions | 567 | 1,262 | (55 | )% | 2,042 | 2,301 | (11 | )% | ||||||||||||||
Gain/(loss) on extinguishment of debt (b) | (14,329 | ) | — | NM | (14,329 | ) | — | NM | ||||||||||||||
Other | 2,739 | 5,518 | (50 | )% | 7,684 | 10,594 | (27 | )% | ||||||||||||||
Total | $ | 43 | $ | 21,806 | NM | $ | 29,051 | $ | 47,416 | (39 | )% |
2Q21 FORM 10-Q REPORT |
Three Months Ended September 30 | Percent Change | Nine Months Ended September 30 | Percent Change | |||||||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||||||||
Other expense: | ||||||||||||||||||||||
Litigation and regulatory matters | $ | 8,162 | $ | 260 | NM | $ | 8,403 | $ | 25,785 | (67 | )% | |||||||||||
Travel and entertainment | 2,798 | 2,478 | 13 | % | 8,308 | 7,035 | 18 | % | ||||||||||||||
Other insurance and taxes | 2,396 | 2,625 | (9 | )% | 7,229 | 8,952 | (19 | )% | ||||||||||||||
Customer relations | 1,361 | 1,442 | (6 | )% | 4,240 | 4,804 | (12 | )% | ||||||||||||||
Employee training and dues | 1,198 | 1,360 | (12 | )% | 4,194 | 4,088 | 3 | % | ||||||||||||||
Supplies | 928 | 1,158 | (20 | )% | 2,884 | 3,114 | (7 | )% | ||||||||||||||
Tax credit investments | 762 | 788 | (3 | )% | 2,646 | 2,325 | 14 | % | ||||||||||||||
Miscellaneous loan costs | 757 | 676 | 12 | % | 2,078 | 1,958 | 6 | % | ||||||||||||||
OREO | 303 | 815 | (63 | )% | 953 | 125 | NM | |||||||||||||||
Other | 9,033 | 8,326 | 8 | % | 29,954 | 30,669 | (2 | )% | ||||||||||||||
Total | $ | 27,698 | $ | 19,928 | 39 | % | $ | 70,889 | $ | 88,855 | (20 | )% |
Total net charge-offs (recoveries) | $ | (10) | $ | 29 | $ | 17 | |||||||||||||||||||||||
Average loans and leases (b) | |||||||||||||||||||||||||||||
C&I | $ | 32,540 | $ | 34,196 | $ | 22,694 | |||||||||||||||||||||||
CRE | 12,350 | 12,400 | 4,710 | ||||||||||||||||||||||||||
Consumer real estate | 10,926 | 12,030 | 6,088 | ||||||||||||||||||||||||||
Credit card and other | 1,013 | 1,194 | 476 | ||||||||||||||||||||||||||
Total average loans and leases | $ | 56,829 | $ | 59,820 | $ | 33,968 | |||||||||||||||||||||||
Charge-off % (annualized) | |||||||||||||||||||||||||||||
C&I | (0.04) | % | 0.36 | % | 0.30 | % | |||||||||||||||||||||||
CRE | (0.02) | (0.02) | (0.01) | ||||||||||||||||||||||||||
Consumer real estate | (0.28) | (0.12) | (0.13) | ||||||||||||||||||||||||||
Credit card and other | 0.51 | 0.68 | 1.35 | ||||||||||||||||||||||||||
Total charge-off % | (0.07) | % | 0.19 | % | 0.20 | % | |||||||||||||||||||||||
ALLL / annualized net charge-offs | |||||||||||||||||||||||||||||
C&I | NM | 3.67 | x | 4.63 | x | ||||||||||||||||||||||||
CRE | NM | NM | NM | ||||||||||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||||||||
Credit card and other | 3.29 | x | 3.23 | x | 2.82 | x | |||||||||||||||||||||||
Total ALLL / net charge-offs | NM | 8.41 | x | 8.05 | x | ||||||||||||||||||||||||
ALLL / NPLs | |||||||||||||||||||||||||||||
C&I | 3.14 | x | 3.15 | x | 2.50 | x | |||||||||||||||||||||||
CRE | 3.00 | x | 4.15 | x | 27.71 | x | |||||||||||||||||||||||
Consumer real estate | 1.36 | x | 1.33 | x | 1.49 | x | |||||||||||||||||||||||
Credit card and other | 7.25 | x | 13.13 | x | 71.14 | x | |||||||||||||||||||||||
Total ALLL / NPLs | 2.37 | x | 2.49 | x | 2.38 | x | |||||||||||||||||||||||
FIRST HORIZON CORPORATION | 91 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Nonperforming loans and leases | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
C&I | $ | 123 | $ | 144 | |||||||||||||||||||
CRE | 70 | 58 | |||||||||||||||||||||
Consumer real estate | 149 | 182 | |||||||||||||||||||||
Credit card and other | 2 | 2 | |||||||||||||||||||||
Total nonperforming loans and leases (a) | $ | 344 | $ | 386 | |||||||||||||||||||
Nonperforming loans held for sale (a) | $ | 8 | $ | 5 | |||||||||||||||||||
Foreclosed real estate and other assets (b) | 10 | 15 | |||||||||||||||||||||
Total nonperforming assets (a) (b) | $ | 362 | $ | 406 | |||||||||||||||||||
Nonperforming loans and leases to total loans and leases | |||||||||||||||||||||||
C&I | 0.38 | % | 0.43 | % | |||||||||||||||||||
CRE | 0.57 | 0.48 | |||||||||||||||||||||
Consumer real estate | 1.37 | 1.56 | |||||||||||||||||||||
Credit card and other | 0.24 | 0.18 | |||||||||||||||||||||
Total NPL % | 0.61 | % | 0.66 | % | |||||||||||||||||||
Quarter Ended September 30, 2017 | Quarter Ended December 31, 2016 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Commercial: | |||||||||||||||||
Commercial, financial, and industrial | $ | 12,474,188 | 63 | % | $ | 11,987,561 | 62 | % | 4 | % | |||||||
Commercial real estate | 2,211,831 | 11 | 2,089,314 | 11 | 6 | % | |||||||||||
Total commercial | 14,686,019 | 74 | 14,076,875 | 73 | 4 | % | |||||||||||
Consumer: | |||||||||||||||||
Consumer real estate (a) | 4,398,550 | 22 | 4,545,647 | 23 | (3 | )% | |||||||||||
Permanent mortgage | 405,287 | 2 | 429,914 | 2 | (6 | )% | |||||||||||
Credit card, OTC and other | 354,807 | 2 | 361,311 | 2 | (2 | )% | |||||||||||
Total consumer | 5,158,644 | 26 | 5,336,872 | 27 | (3 | )% | |||||||||||
Total loans, net of unearned income | $ | 19,844,663 | 100 | % | $ | 19,413,747 | 100 | % | 2 | % |
FIRST HORIZON CORPORATION | 92 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Nonperforming loans and leases (a) (b) | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
Regional Banking | $ | 209 | $ | 216 | |||||||||||||||||||
Specialty Banking | 91 | 117 | |||||||||||||||||||||
Corporate | 44 | 53 | |||||||||||||||||||||
Consolidated | $ | 344 | $ | 386 | |||||||||||||||||||
Foreclosed real estate (c) | |||||||||||||||||||||||
Regional Banking | $ | 8 | $ | 12 | |||||||||||||||||||
Specialty Banking | 1 | 1 | |||||||||||||||||||||
Corporate | 1 | 2 | |||||||||||||||||||||
Consolidated | $ | 10 | $ | 15 | |||||||||||||||||||
Nonperforming Assets (a) (b) (c) | |||||||||||||||||||||||
Regional Banking | $ | 217 | $ | 228 | |||||||||||||||||||
Specialty Banking | 92 | 118 | |||||||||||||||||||||
Corporate | 45 | 55 | |||||||||||||||||||||
Consolidated | $ | 354 | $ | 401 | |||||||||||||||||||
Nonperforming loans and leases to loans and leases | |||||||||||||||||||||||
Regional Banking | 0.53 | % | 0.54 | % | |||||||||||||||||||
Specialty Banking | 0.55 | 0.68 | |||||||||||||||||||||
Corporate | 5.09 | 5.70 | |||||||||||||||||||||
Consolidated | 0.61 | % | 0.66 | % | |||||||||||||||||||
NPA % (d) | |||||||||||||||||||||||
Regional Banking | 0.55 | % | 0.57 | % | |||||||||||||||||||
Specialty Banking | 0.55 | 0.68 | |||||||||||||||||||||
Corporate | 5.17 | 5.87 | |||||||||||||||||||||
Consolidated | 0.62 | % | 0.69 | % |
FIRST HORIZON CORPORATION | 93 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of June 30, 2021 | As of December 31, 2020 | ||||||||||||
Commercial: | ||||||||||||||
C&I | $ | 38 | $ | 104 | ||||||||||
CRE | 124 | 194 | ||||||||||||
Total Commercial | $ | 162 | $ | 298 | ||||||||||
Consumer: | ||||||||||||||
HELOC | $ | 8 | $ | 14 | ||||||||||
R/E installment loans | 102 | 202 | ||||||||||||
Credit card and other | 3 | 4 | ||||||||||||
Total Consumer | $ | 113 | $ | 220 | ||||||||||
Total | $ | 275 | $ | 518 | ||||||||||
FIRST HORIZON CORPORATION | 94 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Accruing loans and leases 30+ days past due | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
C&I | $ | 41 | $ | 15 | |||||||||||||||||||
CRE | 6 | 23 | |||||||||||||||||||||
Consumer real estate | 42 | 69 | |||||||||||||||||||||
Credit card and other | 8 | 10 | |||||||||||||||||||||
Total 30+ Delinquency | $ | 97 | $ | 117 | |||||||||||||||||||
Accruing loans and leases 30+ days past due % | |||||||||||||||||||||||
C&I | 0.13 | % | 0.05 | % | |||||||||||||||||||
CRE | 0.05 | 0.19 | |||||||||||||||||||||
Consumer real estate | 0.39 | 0.58 | |||||||||||||||||||||
Credit card and other | 0.80 | 0.87 | |||||||||||||||||||||
Total 30+ Delinquency % | 0.17 | % | 0.20 | % | |||||||||||||||||||
Accruing loans and leases 90+ days past due (a) (b) (c): | |||||||||||||||||||||||
C&I | $ | 1 | $ | — | |||||||||||||||||||
CRE | — | — | |||||||||||||||||||||
Consumer real Estate | 12 | 16 | |||||||||||||||||||||
Credit card and other | 1 | 1 | |||||||||||||||||||||
Total accruing loans and leases 90+ days past due | $ | 14 | $ | 17 | |||||||||||||||||||
Loans held for sale | |||||||||||||||||||||||
30 to 89 days past due (b) | $ | 5 | $ | 6 | |||||||||||||||||||
30 to 89 days past due - guaranteed portion (b) (d) | 3 | 5 | |||||||||||||||||||||
90+ days past due (b) | 26 | 12 | |||||||||||||||||||||
90+ days past due - guaranteed portion (b) (d) | 12 | 10 | |||||||||||||||||||||
FIRST HORIZON CORPORATION | 95 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||||||||
Held-for-investment: | ||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||
Current | $ | 74 | $ | 77 | ||||||||||||||||
Delinquent | 2 | 2 | ||||||||||||||||||
Non-accrual (a) | 47 | 61 | ||||||||||||||||||
Total consumer real estate | 123 | 140 | ||||||||||||||||||
Credit card and other: | ||||||||||||||||||||
Current | 1 | 1 | ||||||||||||||||||
Delinquent | — | — | ||||||||||||||||||
Non-accrual | — | — | ||||||||||||||||||
Total credit card and other | 1 | 1 | ||||||||||||||||||
Commercial loans: | ||||||||||||||||||||
Current | 68 | 82 | ||||||||||||||||||
Delinquent | — | — | ||||||||||||||||||
Non-accrual | 82 | 84 | ||||||||||||||||||
Total commercial loans | 150 | 166 | ||||||||||||||||||
Total held-for-investment | $ | 274 | $ | 307 | ||||||||||||||||
Held-for-sale: | ||||||||||||||||||||
Current | $ | 33 | $ | 36 | ||||||||||||||||
Delinquent | 4 | 5 | ||||||||||||||||||
Non-accrual | 1 | 1 | ||||||||||||||||||
Total held-for-sale | 38 | 42 | ||||||||||||||||||
Total troubled debt restructurings | $ | 312 | $ | 349 |
FIRST HORIZON CORPORATION | 96 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Change | Percent | ||||||||||||||||||||||||||||||||
Savings | $ | 27,415 | 37 | % | $ | 27,324 | 39 | % | $ | 91 | — | % | ||||||||||||||||||||||||||
Time deposits | 4,304 | 6 | 5,070 | 7 | (766) | (15) | ||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 15,728 | 22 | 15,415 | 22 | 313 | 2 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits | 47,447 | 65 | 47,809 | 68 | (362) | (1) | ||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,833 | 35 | 22,173 | 32 | 3,660 | 17 | ||||||||||||||||||||||||||||||||
Total deposits | $ | 73,280 | 100 | % | $ | 69,982 | 100 | % | $ | 3,298 | 5 | % |
Quarter Ended September 30, 2017 | Quarter Ended December 31, 2016 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Interest-bearing deposits: | |||||||||||||||||
Consumer interest | $ | 9,244,021 | 42 | % | $ | 8,641,507 | 39 | % | 7 | % | |||||||
Commercial interest | 2,876,398 | 13 | 2,819,980 | 13 | 2 | % | |||||||||||
Market-indexed (a) | 3,523,450 | 16 | 4,787,912 | 21 | (26 | )% | |||||||||||
Total interest-bearing deposits | 15,643,869 | 71 | 16,249,399 | 73 | (4 | )% | |||||||||||
Noninterest-bearing deposits | 6,411,160 | 29 | 6,039,025 | 27 | 6 | % | |||||||||||
Total deposits | $ | 22,055,029 | 100 | % | $ | 22,288,424 | 100 | % | (1 | )% |
Quarter Ended September 30, 2017 | Quarter Ended December 31, 2016 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Short-term borrowings: | |||||||||||||||||
Federal funds purchased | $ | 376,150 | 16 | % | $ | 528,266 | 28 | % | (29 | )% | |||||||
Securities sold under agreements to repurchase | 680,366 | 30 | 378,837 | 20 | 80 | % | |||||||||||
Trading liabilities | 597,269 | 26 | 745,011 | 39 | (20 | )% | |||||||||||
Other short-term borrowings | 655,599 | 28 | 243,527 | 13 | NM | ||||||||||||
Total short-term borrowings | $ | 2,309,384 | 100 | % | $ | 1,895,641 | 100 | % | 22 | % | |||||||
NM - Not meaningful |
Capital | ||||||||||||||
FIRST HORIZON CORPORATION | 97 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||
Shareholders’ equity | $ | 8,270 | $ | 8,012 | ||||||||||
Modified CECL transitional amount (a) | 152 | 191 | ||||||||||||
FHN non-cumulative perpetual preferred | (520) | (470) | ||||||||||||
Common equity tier 1 before regulatory adjustments | $ | 7,902 | $ | 7,733 | ||||||||||
Regulatory adjustments: | ||||||||||||||
Disallowed goodwill and other intangibles | (1,733) | (1,757) | ||||||||||||
Net unrealized (gains) losses on securities available for sale | (43) | (108) | ||||||||||||
Net unrealized (gains) losses on pension and other postretirement plans | 254 | 260 | ||||||||||||
Net unrealized (gains) losses on cash flow hedges | (8) | (12) | ||||||||||||
Disallowed deferred tax assets | — | (5) | ||||||||||||
Other deductions from common equity tier 1 | — | (1) | ||||||||||||
Common equity tier 1 | $ | 6,372 | $ | 6,110 | ||||||||||
FHN non-cumulative perpetual preferred (b) | 426 | 377 | ||||||||||||
Qualifying noncontrolling interest— First Horizon Bank preferred stock | 295 | 295 | ||||||||||||
Tier 1 capital | $ | 7,093 | $ | 6,782 | ||||||||||
Tier 2 capital | 1,055 | 1,153 | ||||||||||||
Total regulatory capital | $ | 8,148 | $ | 7,935 | ||||||||||
Risk-Weighted Assets | ||||||||||||||
First Horizon Corporation | $ | 61,991 | $ | 63,140 | ||||||||||
First Horizon Bank | 61,392 | 62,508 | ||||||||||||
Average Assets for Leverage | ||||||||||||||
First Horizon Corporation | 86,160 | 82,347 | ||||||||||||
First Horizon Bank | 85,500 | 81,709 |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||||||||||||||
Common Equity Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 10.28 | % | $ | 6,372 | 9.68 | % | $ | 6,110 | ||||||||||||||||||
First Horizon Bank | 10.98 | 6,738 | 10.46 | 6,537 | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 11.44 | 7,093 | 10.74 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 11.46 | 7,033 | 10.93 | 6,832 | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
First Horizon Corporation | 13.14 | 8,148 | 12.57 | 7,935 | ||||||||||||||||||||||
First Horizon Bank | 12.88 | 7,908 | 12.52 | 7,827 | ||||||||||||||||||||||
Tier 1 Leverage | ||||||||||||||||||||||||||
First Horizon Corporation | 8.23 | 7,093 | 8.24 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 8.23 | 7,033 | 8.36 | 6,832 | ||||||||||||||||||||||
Other Capital Ratios | ||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.74 | 9.86 | ||||||||||||||||||||||||
Tangible common equity to tangible assets (c) | 6.87 | 6.89 | ||||||||||||||||||||||||
Adjusted tangible common equity to risk-weighted assets (c) | 9.47 | 8.82 |
(Dollars in thousands) | September 30, 2017 | December 31, 2016 | ||||||
Shareholders’ equity | $ | 2,588,120 | $ | 2,409,653 | ||||
FHN non-cumulative perpetual preferred | (95,624 | ) | (95,624 | ) | ||||
Common equity | $ | 2,492,496 | $ | 2,314,029 | ||||
Regulatory adjustments: | ||||||||
Disallowed goodwill and other intangibles | (229,555 | ) | (165,292 | ) | ||||
Net unrealized (gains)/losses on securities available-for-sale | 5,940 | 17,232 | ||||||
Net unrealized (gains)/losses on pension and other postretirement plans | 224,686 | 229,157 | ||||||
Net unrealized (gains)/losses on cash flow hedges | 1,758 | 1,265 | ||||||
Disallowed deferred tax assets | (17,637 | ) | (18,027 | ) | ||||
Other deductions from common equity tier 1 | (478 | ) | (377 | ) | ||||
Common equity tier 1 | $ | 2,477,210 | $ | 2,377,987 | ||||
FHN non-cumulative perpetual preferred | 95,624 | 95,624 | ||||||
Qualifying noncontrolling interest—FTBNA preferred stock | 250,409 | 256,811 | ||||||
Other deductions from tier 1 | (58,463 | ) | (58,551 | ) | ||||
Tier 1 capital | $ | 2,764,780 | $ | 2,671,871 | ||||
Tier 2 capital | 240,418 | 254,139 | ||||||
Total regulatory capital | $ | 3,005,198 | $ | 2,926,010 | ||||
Risk-Weighted Assets | ||||||||
First Horizon National Corporation | $ | 24,678,030 | $ | 23,914,158 | ||||
First Tennessee Bank National Association | 24,186,100 | 23,447,251 | ||||||
Average Assets for Leverage | ||||||||
First Horizon National Corporation | 28,793,816 | 28,581,251 | ||||||
First Tennessee Bank National Association | 27,962,251 | 27,710,158 |
FIRST HORIZON CORPORATION | 98 | 2Q21 FORM 10-Q REPORT |
September 30, 2017 | December 31, 2016 | |||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||
Common Equity Tier 1 | ||||||||||||||
First Horizon National Corporation | 10.04 | % | $ | 2,477,210 | 9.94 | % | $ | 2,377,987 | ||||||
First Tennessee Bank National Association | 9.53 | 2,304,244 | 9.80 | 2,298,080 | ||||||||||
Tier 1 | ||||||||||||||
First Horizon National Corporation | 11.20 | 2,764,780 | 11.17 | 2,671,871 | ||||||||||
First Tennessee Bank National Association | 10.47 | 2,532,669 | 10.83 | 2,538,382 | ||||||||||
Total | ||||||||||||||
First Horizon National Corporation | 12.18 | 3,005,198 | 12.24 | 2,926,010 | ||||||||||
First Tennessee Bank National Association | 11.32 | 2,738,372 | 11.78 | 2,762,271 | ||||||||||
Tier 1 Leverage | ||||||||||||||
First Horizon National Corporation | 9.60 | 2,764,780 | 9.35 | 2,671,871 | ||||||||||
First Tennessee Bank National Association | 9.06 | 2,532,669 | 9.16 | 2,538,382 |
FIRST HORIZON CORPORATION | 88 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||||||||||||||
Months remaining in draw period: | ||||||||||||||||||||||||||
0-12 | $ | 56 | 3 | % | $ | 73 | 4 | % | ||||||||||||||||||
13-24 | 51 | 3 | 66 | 3 | ||||||||||||||||||||||
25-36 | 51 | 3 | 62 | 3 | ||||||||||||||||||||||
37-48 | 105 | 5 | 67 | 3 | ||||||||||||||||||||||
49-60 | 172 | 9 | 187 | 8 | ||||||||||||||||||||||
>60 | 1,464 | 77 | 1,662 | 79 | ||||||||||||||||||||||
Total | $ | 1,899 | 100 | % | $ | 2,117 | 100 | % |
FIRST HORIZON CORPORATION | 89 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||||||||
Allowance for loan and lease losses (a) | June 30, 2021 | December 31, 2020 | June 30, 2020 | ||||||||||||||||||||||||||
C&I | $ | 385 | $ | 453 | $ | 319 | |||||||||||||||||||||||
CRE | 210 | 242 | 57 | ||||||||||||||||||||||||||
Consumer real estate | 203 | 242 | 144 | ||||||||||||||||||||||||||
Credit card and other | 17 | 26 | 18 | ||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 815 | $ | 963 | $ | 538 | |||||||||||||||||||||||
Period-end loans and leases (b) | |||||||||||||||||||||||||||||
C&I | $ | 32,528 | $ | 33,104 | $ | 21,394 | |||||||||||||||||||||||
CRE | 12,292 | 12,275 | 4,813 | ||||||||||||||||||||||||||
Consumer real estate | 10,865 | 11,725 | 6,053 | ||||||||||||||||||||||||||
Credit card and other | 1,002 | 1,128 | 449 | ||||||||||||||||||||||||||
Total period-end loans and leases | $ | 56,687 | $ | 58,232 | $ | 32,709 | |||||||||||||||||||||||
ALLL / loans and leases % | |||||||||||||||||||||||||||||
C&I | 1.18 | % | 1.37 | % | 1.49 | % | |||||||||||||||||||||||
CRE | 1.71 | 1.97 | 1.19 | ||||||||||||||||||||||||||
Consumer real estate | 1.87 | 2.07 | 2.38 | ||||||||||||||||||||||||||
Credit card and other | 1.71 | 2.34 | 4.03 | ||||||||||||||||||||||||||
Total ALLL / loans and leases % | 1.44 | % | 1.65 | % | 1.64 | % | |||||||||||||||||||||||
Quarter-to-date net charge-offs (recoveries) | |||||||||||||||||||||||||||||
C&I | $ | (3) | $ | 31 | $ | 17 | |||||||||||||||||||||||
CRE | (1) | (1) | — | ||||||||||||||||||||||||||
Consumer real estate | (7) | (3) | (2) | ||||||||||||||||||||||||||
Credit card and other | 1 | 2 | 2 |
FIRST HORIZON CORPORATION | 90 | 2Q21 FORM 10-Q REPORT |
Total net charge-offs (recoveries) | $ | (10) | $ | 29 | $ | 17 | |||||||||||||||||||||||
Average loans and leases (b) | |||||||||||||||||||||||||||||
C&I | $ | 32,540 | $ | 34,196 | $ | 22,694 | |||||||||||||||||||||||
CRE | 12,350 | 12,400 | 4,710 | ||||||||||||||||||||||||||
Consumer real estate | 10,926 | 12,030 | 6,088 | ||||||||||||||||||||||||||
Credit card and other | 1,013 | 1,194 | 476 | ||||||||||||||||||||||||||
Total average loans and leases | $ | 56,829 | $ | 59,820 | $ | 33,968 | |||||||||||||||||||||||
Charge-off % (annualized) | |||||||||||||||||||||||||||||
C&I | (0.04) | % | 0.36 | % | 0.30 | % | |||||||||||||||||||||||
CRE | (0.02) | (0.02) | (0.01) | ||||||||||||||||||||||||||
Consumer real estate | (0.28) | (0.12) | (0.13) | ||||||||||||||||||||||||||
Credit card and other | 0.51 | 0.68 | 1.35 | ||||||||||||||||||||||||||
Total charge-off % | (0.07) | % | 0.19 | % | 0.20 | % | |||||||||||||||||||||||
ALLL / annualized net charge-offs | |||||||||||||||||||||||||||||
C&I | NM | 3.67 | x | 4.63 | x | ||||||||||||||||||||||||
CRE | NM | NM | NM | ||||||||||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||||||||
Credit card and other | 3.29 | x | 3.23 | x | 2.82 | x | |||||||||||||||||||||||
Total ALLL / net charge-offs | NM | 8.41 | x | 8.05 | x | ||||||||||||||||||||||||
ALLL / NPLs | |||||||||||||||||||||||||||||
C&I | 3.14 | x | 3.15 | x | 2.50 | x | |||||||||||||||||||||||
CRE | 3.00 | x | 4.15 | x | 27.71 | x | |||||||||||||||||||||||
Consumer real estate | 1.36 | x | 1.33 | x | 1.49 | x | |||||||||||||||||||||||
Credit card and other | 7.25 | x | 13.13 | x | 71.14 | x | |||||||||||||||||||||||
Total ALLL / NPLs | 2.37 | x | 2.49 | x | 2.38 | x | |||||||||||||||||||||||
FIRST HORIZON CORPORATION | 91 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Nonperforming loans and leases | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
C&I | $ | 123 | $ | 144 | |||||||||||||||||||
CRE | 70 | 58 | |||||||||||||||||||||
Consumer real estate | 149 | 182 | |||||||||||||||||||||
Credit card and other | 2 | 2 | |||||||||||||||||||||
Total nonperforming loans and leases (a) | $ | 344 | $ | 386 | |||||||||||||||||||
Nonperforming loans held for sale (a) | $ | 8 | $ | 5 | |||||||||||||||||||
Foreclosed real estate and other assets (b) | 10 | 15 | |||||||||||||||||||||
Total nonperforming assets (a) (b) | $ | 362 | $ | 406 | |||||||||||||||||||
Nonperforming loans and leases to total loans and leases | |||||||||||||||||||||||
C&I | 0.38 | % | 0.43 | % | |||||||||||||||||||
CRE | 0.57 | 0.48 | |||||||||||||||||||||
Consumer real estate | 1.37 | 1.56 | |||||||||||||||||||||
Credit card and other | 0.24 | 0.18 | |||||||||||||||||||||
Total NPL % | 0.61 | % | 0.66 | % | |||||||||||||||||||
FIRST HORIZON CORPORATION | 92 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Nonperforming loans and leases (a) (b) | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
Regional Banking | $ | 209 | $ | 216 | |||||||||||||||||||
Specialty Banking | 91 | 117 | |||||||||||||||||||||
Corporate | 44 | 53 | |||||||||||||||||||||
Consolidated | $ | 344 | $ | 386 | |||||||||||||||||||
Foreclosed real estate (c) | |||||||||||||||||||||||
Regional Banking | $ | 8 | $ | 12 | |||||||||||||||||||
Specialty Banking | 1 | 1 | |||||||||||||||||||||
Corporate | 1 | 2 | |||||||||||||||||||||
Consolidated | $ | 10 | $ | 15 | |||||||||||||||||||
Nonperforming Assets (a) (b) (c) | |||||||||||||||||||||||
Regional Banking | $ | 217 | $ | 228 | |||||||||||||||||||
Specialty Banking | 92 | 118 | |||||||||||||||||||||
Corporate | 45 | 55 | |||||||||||||||||||||
Consolidated | $ | 354 | $ | 401 | |||||||||||||||||||
Nonperforming loans and leases to loans and leases | |||||||||||||||||||||||
Regional Banking | 0.53 | % | 0.54 | % | |||||||||||||||||||
Specialty Banking | 0.55 | 0.68 | |||||||||||||||||||||
Corporate | 5.09 | 5.70 | |||||||||||||||||||||
Consolidated | 0.61 | % | 0.66 | % | |||||||||||||||||||
NPA % (d) | |||||||||||||||||||||||
Regional Banking | 0.55 | % | 0.57 | % | |||||||||||||||||||
Specialty Banking | 0.55 | 0.68 | |||||||||||||||||||||
Corporate | 5.17 | 5.87 | |||||||||||||||||||||
Consolidated | 0.62 | % | 0.69 | % |
FIRST HORIZON CORPORATION | 93 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of June 30, 2021 | As of December 31, 2020 | ||||||||||||
Commercial: | ||||||||||||||
C&I | $ | 38 | $ | 104 | ||||||||||
CRE | 124 | 194 | ||||||||||||
Total Commercial | $ | 162 | $ | 298 | ||||||||||
Consumer: | ||||||||||||||
HELOC | $ | 8 | $ | 14 | ||||||||||
R/E installment loans | 102 | 202 | ||||||||||||
Credit card and other | 3 | 4 | ||||||||||||
Total Consumer | $ | 113 | $ | 220 | ||||||||||
Total | $ | 275 | $ | 518 | ||||||||||
FIRST HORIZON CORPORATION | 94 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Accruing loans and leases 30+ days past due | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
C&I | $ | 41 | $ | 15 | |||||||||||||||||||
CRE | 6 | 23 | |||||||||||||||||||||
Consumer real estate | 42 | 69 | |||||||||||||||||||||
Credit card and other | 8 | 10 | |||||||||||||||||||||
Total 30+ Delinquency | $ | 97 | $ | 117 | |||||||||||||||||||
Accruing loans and leases 30+ days past due % | |||||||||||||||||||||||
C&I | 0.13 | % | 0.05 | % | |||||||||||||||||||
CRE | 0.05 | 0.19 | |||||||||||||||||||||
Consumer real estate | 0.39 | 0.58 | |||||||||||||||||||||
Credit card and other | 0.80 | 0.87 | |||||||||||||||||||||
Total 30+ Delinquency % | 0.17 | % | 0.20 | % | |||||||||||||||||||
Accruing loans and leases 90+ days past due (a) (b) (c): | |||||||||||||||||||||||
C&I | $ | 1 | $ | — | |||||||||||||||||||
CRE | — | — | |||||||||||||||||||||
Consumer real Estate | 12 | 16 | |||||||||||||||||||||
Credit card and other | 1 | 1 | |||||||||||||||||||||
Total accruing loans and leases 90+ days past due | $ | 14 | $ | 17 | |||||||||||||||||||
Loans held for sale | |||||||||||||||||||||||
30 to 89 days past due (b) | $ | 5 | $ | 6 | |||||||||||||||||||
30 to 89 days past due - guaranteed portion (b) (d) | 3 | 5 | |||||||||||||||||||||
90+ days past due (b) | 26 | 12 | |||||||||||||||||||||
90+ days past due - guaranteed portion (b) (d) | 12 | 10 | |||||||||||||||||||||
FIRST HORIZON CORPORATION | 95 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||||||||
Held-for-investment: | ||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||
Current | $ | 74 | $ | 77 | ||||||||||||||||
Delinquent | 2 | 2 | ||||||||||||||||||
Non-accrual (a) | 47 | 61 | ||||||||||||||||||
Total consumer real estate | 123 | 140 | ||||||||||||||||||
Credit card and other: | ||||||||||||||||||||
Current | 1 | 1 | ||||||||||||||||||
Delinquent | — | — | ||||||||||||||||||
Non-accrual | — | — | ||||||||||||||||||
Total credit card and other | 1 | 1 | ||||||||||||||||||
Commercial loans: | ||||||||||||||||||||
Current | 68 | 82 | ||||||||||||||||||
Delinquent | — | — | ||||||||||||||||||
Non-accrual | 82 | 84 | ||||||||||||||||||
Total commercial loans | 150 | 166 | ||||||||||||||||||
Total held-for-investment | $ | 274 | $ | 307 | ||||||||||||||||
Held-for-sale: | ||||||||||||||||||||
Current | $ | 33 | $ | 36 | ||||||||||||||||
Delinquent | 4 | 5 | ||||||||||||||||||
Non-accrual | 1 | 1 | ||||||||||||||||||
Total held-for-sale | 38 | 42 | ||||||||||||||||||
Total troubled debt restructurings | $ | 312 | $ | 349 |
FIRST HORIZON CORPORATION | 96 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Change | Percent | ||||||||||||||||||||||||||||||||
Savings | $ | 27,415 | 37 | % | $ | 27,324 | 39 | % | $ | 91 | — | % | ||||||||||||||||||||||||||
Time deposits | 4,304 | 6 | 5,070 | 7 | (766) | (15) | ||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 15,728 | 22 | 15,415 | 22 | 313 | 2 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits | 47,447 | 65 | 47,809 | 68 | (362) | (1) | ||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,833 | 35 | 22,173 | 32 | 3,660 | 17 | ||||||||||||||||||||||||||||||||
Total deposits | $ | 73,280 | 100 | % | $ | 69,982 | 100 | % | $ | 3,298 | 5 | % |
FIRST HORIZON CORPORATION | 97 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||
Shareholders’ equity | $ | 8,270 | $ | 8,012 | ||||||||||
Modified CECL transitional amount (a) | 152 | 191 | ||||||||||||
FHN non-cumulative perpetual preferred | (520) | (470) | ||||||||||||
Common equity tier 1 before regulatory adjustments | $ | 7,902 | $ | 7,733 | ||||||||||
Regulatory adjustments: | ||||||||||||||
Disallowed goodwill and other intangibles | (1,733) | (1,757) | ||||||||||||
Net unrealized (gains) losses on securities available for sale | (43) | (108) | ||||||||||||
Net unrealized (gains) losses on pension and other postretirement plans | 254 | 260 | ||||||||||||
Net unrealized (gains) losses on cash flow hedges | (8) | (12) | ||||||||||||
Disallowed deferred tax assets | — | (5) | ||||||||||||
Other deductions from common equity tier 1 | — | (1) | ||||||||||||
Common equity tier 1 | $ | 6,372 | $ | 6,110 | ||||||||||
FHN non-cumulative perpetual preferred (b) | 426 | 377 | ||||||||||||
Qualifying noncontrolling interest— First Horizon Bank preferred stock | 295 | 295 | ||||||||||||
Tier 1 capital | $ | 7,093 | $ | 6,782 | ||||||||||
Tier 2 capital | 1,055 | 1,153 | ||||||||||||
Total regulatory capital | $ | 8,148 | $ | 7,935 | ||||||||||
Risk-Weighted Assets | ||||||||||||||
First Horizon Corporation | $ | 61,991 | $ | 63,140 | ||||||||||
First Horizon Bank | 61,392 | 62,508 | ||||||||||||
Average Assets for Leverage | ||||||||||||||
First Horizon Corporation | 86,160 | 82,347 | ||||||||||||
First Horizon Bank | 85,500 | 81,709 |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||||||||||||||
Common Equity Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 10.28 | % | $ | 6,372 | 9.68 | % | $ | 6,110 | ||||||||||||||||||
First Horizon Bank | 10.98 | 6,738 | 10.46 | 6,537 | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 11.44 | 7,093 | 10.74 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 11.46 | 7,033 | 10.93 | 6,832 | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
First Horizon Corporation | 13.14 | 8,148 | 12.57 | 7,935 | ||||||||||||||||||||||
First Horizon Bank | 12.88 | 7,908 | 12.52 | 7,827 | ||||||||||||||||||||||
Tier 1 Leverage | ||||||||||||||||||||||||||
First Horizon Corporation | 8.23 | 7,093 | 8.24 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 8.23 | 7,033 | 8.36 | 6,832 | ||||||||||||||||||||||
Other Capital Ratios | ||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.74 | 9.86 | ||||||||||||||||||||||||
Tangible common equity to tangible assets (c) | 6.87 | 6.89 | ||||||||||||||||||||||||
Adjusted tangible common equity to risk-weighted assets (c) | 9.47 | 8.82 |
(Volume in thousands, except per share data) | Total number of shares purchased | Average price paid per share | Total number of shares purchased as part of publicly announced programs | Maximum number of shares that may yet be purchased under the programs | |||||||||
2017 | |||||||||||||
July 1 to July 31 | 2 | $ | 17.50 | 2 | 25,475 | ||||||||
August 1 to August 31 | 16 | $ | 17.70 | 16 | 25,459 | ||||||||
September 1 to September 30 | * | $ | 17.82 | * | 25,458 | ||||||||
Total | 18 | $ | 17.68 | 18 |
September 30, 2017 | December 31, 2016 | |||||||||||||
(Dollars in thousands) | Amount | Percent | Amount | Percent | ||||||||||
Industry: | ||||||||||||||
Finance & insurance | $ | 2,844,411 | 22 | % | $ | 2,573,713 | 21 | % | ||||||
Loans to mortgage companies | 1,966,155 | 15 | 2,045,189 | 17 | ||||||||||
Health care & social assistance | 966,706 | 8 | 893,629 | 7 | ||||||||||
Real estate rental & leasing (a) | 943,496 | 7 | 769,457 | 6 | ||||||||||
Wholesale trade | 938,663 | 7 | 826,226 | 7 | ||||||||||
Accommodation & food service | 913,774 | 7 | 987,973 | 8 | ||||||||||
Manufacturing | 870,324 | 7 | 762,947 | 6 | ||||||||||
Public administration | 583,834 | 5 | 565,119 | 5 | ||||||||||
Transportation & warehousing | 583,432 | 5 | 578,586 | 5 | ||||||||||
Other (education, arts, entertainment, etc) (b) | 2,181,049 | 17 | 2,145,248 | 18 | ||||||||||
Total C&I loan portfolio | $ | 12,791,844 | 100 | % | $ | 12,148,087 | 100 | % |
2Q21 FORM 10-Q REPORT |
2017 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 90,958 | $ | 1,421 | $ | 92,379 | |||||||
Charge-offs | (3,723 | ) | — | (3,723 | ) | ||||||||
Recoveries | 586 | 15 | 601 | ||||||||||
Provision/(provision credit) for loan losses | 9,039 | (91 | ) | 8,948 | |||||||||
Allowance for loan losses as of September 30 | $ | 96,860 | $ | 1,345 | $ | 98,205 | |||||||
Net charge-offs % (qtr. annualized) | 0.10 | % | NM | 0.10 | % | ||||||||
Allowance / net charge-offs | 7.83 | x | NM | 7.97 | x | ||||||||
As of September 30 | |||||||||||||
Period-end loans | $ | 12,373,245 | $ | 418,599 | $ | 12,791,844 | |||||||
Nonperforming loans | 15,828 | 3,097 | 18,925 | ||||||||||
Troubled debt restructurings | 16,336 | — | 16,336 | ||||||||||
30+ Delinq. % (a) | 0.28 | % | — | % | 0.27 | % | |||||||
NPL % | 0.13 | 0.74 | 0.15 | ||||||||||
Allowance / loans % | 0.78 | 0.32 | 0.77 | ||||||||||
2016 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 79,597 | $ | 1,375 | $ | 80,972 | |||||||
Charge-offs | (1,992 | ) | — | (1,992 | ) | ||||||||
Recoveries | 711 | 14 | 725 | ||||||||||
Provision/(provision credit) for loan losses | 7,151 | 10 | 7,161 | ||||||||||
Allowance for loan losses as of September 30 | $ | 85,467 | $ | 1,399 | $ | 86,866 | |||||||
Net charge-offs % (qtr. annualized) | 0.05 | % | NM | 0.04 | % | ||||||||
Allowance / net charge-offs | 16.76 | x | NM | 17.23 | x | ||||||||
As of December 31 | |||||||||||||
Period-end loans | $ | 11,728,160 | $ | 419,927 | $ | 12,148,087 | |||||||
Nonperforming loans | 28,619 | 4,117 | 32,736 | ||||||||||
Troubled debt restructurings | 34,334 | — | 34,334 | ||||||||||
30+ Delinq. % (a) | 0.08 | % | — | % | 0.08 | % | |||||||
NPL % | 0.24 | 0.98 | 0.27 | ||||||||||
Allowance / loans % | 0.75 | 0.33 | 0.74 |
2017 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 30,470 | $ | — | $ | 30,470 | |||||||
Charge-offs | — | — | — | ||||||||||
Recoveries | 267 | 11 | 278 | ||||||||||
Provision/(provision credit) for loan losses | (1,054 | ) | (11 | ) | (1,065 | ) | |||||||
Allowance for loan losses as of September 30 | $ | 29,683 | $ | — | $ | 29,683 | |||||||
Net charge-offs % (qtr. annualized) | NM | NM | NM | ||||||||||
Allowance / net charge-offs | NM | NM | NM | ||||||||||
As of September 30 | |||||||||||||
Period-end loans | $ | 2,251,015 | $ | — | $ | 2,251,015 | |||||||
Nonperforming loans | 1,640 | — | 1,640 | ||||||||||
Troubled debt restructurings | 4,780 | — | 4,780 | ||||||||||
30+ Delinq. % (a) | 0.02 | % | — | % | 0.02 | % | |||||||
NPL % | 0.07 | — | 0.07 | ||||||||||
Allowance / loans % | 1.32 | — | 1.32 | ||||||||||
2016 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 30,264 | $ | — | $ | 30,264 | |||||||
Charge-offs | (49 | ) | — | (49 | ) | ||||||||
Recoveries | 636 | 15 | 651 | ||||||||||
Provision/(provision credit) for loan losses | 1,569 | (15 | ) | 1,554 | |||||||||
Allowance for loan losses as of September 30 | $ | 32,420 | $ | — | $ | 32,420 | |||||||
Net charge-offs % (qtr. annualized) | NM | NM | NM | ||||||||||
Allowance / net charge-offs | NM | NM | NM | ||||||||||
As of December 31 | |||||||||||||
Period-end loans | $ | 2,135,523 | $ | — | $ | 2,135,523 | |||||||
Nonperforming loans | 2,776 | — | 2,776 | ||||||||||
Troubled debt restructurings | 3,124 | — | 3,124 | ||||||||||
30+ Delinq. % (a) | 0.01 | % | — | % | 0.01 | % | |||||||
NPL % | 0.13 | — | 0.13 | ||||||||||
Allowance / loans % | 1.59 | — | 1.59 |
FIRST HORIZON CORPORATION | 88 | 2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||||||||||||||
Months remaining in draw period: | ||||||||||||||||||||||||||
0-12 | $ | 56 | 3 | % | $ | 73 | 4 | % | ||||||||||||||||||
13-24 | 51 | 3 | 66 | 3 | ||||||||||||||||||||||
25-36 | 51 | 3 | 62 | 3 | ||||||||||||||||||||||
37-48 | 105 | 5 | 67 | 3 | ||||||||||||||||||||||
49-60 | 172 | 9 | 187 | 8 | ||||||||||||||||||||||
>60 | 1,464 | 77 | 1,662 | 79 | ||||||||||||||||||||||
Total | $ | 1,899 | 100 | % | $ | 2,117 | 100 | % |
September 30, 2017 | December 31, 2016 | |||||||||||||
(Dollars in thousands) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||
Months remaining in draw period: | ||||||||||||||
0-12 | $ | 112,207 | 13 | % | $ | 212,665 | 20 | % | ||||||
13-24 | 69,367 | 8 | 127,662 | 12 | ||||||||||
25-36 | 56,098 | 6 | 73,331 | 7 | ||||||||||
37-48 | 57,254 | 7 | 68,768 | 6 | ||||||||||
49-60 | 67,625 | 8 | 68,792 | 7 | ||||||||||
>60 | 510,670 | 58 | 514,126 | 48 | ||||||||||
Total | $ | 873,221 | 100 | % | $ | 1,065,344 | 100 | % |
2017 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 17,881 | $ | 28,188 | $ | 46,069 | |||||||
Charge-offs | (1,492 | ) | (2,109 | ) | (3,601 | ) | |||||||
Recoveries | 1,105 | 5,083 | 6,188 | ||||||||||
Provision/(provision credit) for loan losses | (562 | ) | (7,155 | ) | (7,717 | ) | |||||||
Allowance for loan losses as of September 30 | $ | 16,932 | $ | 24,007 | $ | 40,939 | |||||||
Net charge-offs % (qtr. annualized) | 0.04 | % | NM | NM | |||||||||
Allowance / net charge-offs | 11.04 | x | NM | NM | |||||||||
As of September 30 | |||||||||||||
Period-end loans | $ | 3,713,951 | $ | 655,766 | $ | 4,369,717 | |||||||
Nonperforming loans | 22,707 | 54,138 | 76,845 | ||||||||||
Troubled debt restructurings | 46,292 | 89,566 | 135,858 | ||||||||||
30+ Delinq. % (a) | 0.38 | % | 2.80 | % | 0.74 | % | |||||||
NPL % | 0.61 | 8.26 | 1.76 | ||||||||||
Allowance / loans % | 0.46 | 3.66 | 0.94 | ||||||||||
2016 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 24,278 | $ | 34,803 | $ | 59,081 | |||||||
Charge-offs | (1,074 | ) | (3,285 | ) | (4,359 | ) | |||||||
Recoveries | 985 | 4,606 | 5,591 | ||||||||||
Provision/(provision credit) for loan losses | (3,965 | ) | (3,113 | ) | (7,078 | ) | |||||||
Allowance for loan losses as of September 30 | $ | 20,224 | $ | 33,011 | $ | 53,235 | |||||||
Net charge-offs % (qtr. annualized) | 0.01 | % | NM | NM | |||||||||
Allowance / net charge-offs | 57.14 | x | NM | NM | |||||||||
As of December 31 | |||||||||||||
Period-end loans | $ | 3,642,894 | $ | 880,858 | $ | 4,523,752 | |||||||
Nonperforming loans | 18,865 | 63,947 | 82,812 | ||||||||||
Troubled debt restructurings | 47,478 | 105,982 | 153,460 | ||||||||||
30+ Delinq. % (a) | 0.49 | % | 2.76 | % | 0.93 | % | |||||||
NPL % | 0.52 | 7.26 | 1.83 | ||||||||||
Allowance / loans % | 0.52 | 3.56 | 1.11 |
2017 | ||||||||||||||||
Three months ended | ||||||||||||||||
(Dollars in thousands) | Regional Bank | Corporate (a) | Non-Strategic | Consolidated | ||||||||||||
Allowance for loan losses as of July 1 | $ | 1,981 | N/A | $ | 14,417 | $ | 16,398 | |||||||||
Charge-offs | — | N/A | (173 | ) | (173 | ) | ||||||||||
Recoveries | — | N/A | 542 | 542 | ||||||||||||
Provision/(provision credit) for loan losses | 287 | N/A | (1,335 | ) | (1,048 | ) | ||||||||||
Allowance for loan losses as of September 30 | $ | 2,268 | N/A | $ | 13,451 | $ | 15,719 | |||||||||
Net charge-offs % (qtr. annualized) | — | % | N/A | NM | NM | |||||||||||
Allowance / net charge-offs | NM | N/A | NM | NM | ||||||||||||
As of September 30 | ||||||||||||||||
Period-end loans | $ | 106,002 | $ | 57,891 | $ | 239,189 | $ | 403,082 | ||||||||
Nonperforming loans | 435 | 2,173 | 24,842 | 27,450 | ||||||||||||
Troubled debt restructurings | 955 | 3,676 | 79,450 | 84,081 | ||||||||||||
30+ Delinq. % (b) | 0.72 | % | 4.22 | % | 1.20 | % | 1.51 | % | ||||||||
NPL % | 0.41 | 3.75 | 10.39 | 6.81 | ||||||||||||
Allowance / loans % | 2.14 | N/A | 5.62 | 3.90 | ||||||||||||
2016 | ||||||||||||||||
Three months ended | ||||||||||||||||
(Dollars in thousands) | Regional Bank | Corporate (a) | Non-Strategic | Consolidated | ||||||||||||
Allowance for loan losses as of July 1 | $ | 579 | N/A | $ | 17,021 | $ | 17,600 | |||||||||
Charge-offs | — | N/A | (373 | ) | (373 | ) | ||||||||||
Recoveries | — | N/A | 239 | 239 | ||||||||||||
Provision/(provision credit) for loan losses | 461 | N/A | (1,338 | ) | (877 | ) | ||||||||||
Allowance for loan losses as of September 30 | $ | 1,040 | N/A | $ | 15,549 | $ | 16,589 | |||||||||
Net charge-offs % (qtr. annualized) | — | % | N/A | 0.18 | % | 0.12 | % | |||||||||
Allowance / net charge-offs | NM | N/A | 29.16 | x | 31.11 | x | ||||||||||
As of December 31 | ||||||||||||||||
Period-end loans | $ | 76,973 | $ | 71,380 | $ | 274,772 | $ | 423,125 | ||||||||
Nonperforming loans | 393 | 1,186 | 25,602 | 27,181 | ||||||||||||
Troubled debt restructurings | 878 | 3,792 | 89,256 | 93,926 | ||||||||||||
30+ Delinq. % (b) | 0.72 | % | 4.37 | % | 2.29 | % | 2.36 | % | ||||||||
NPL % | 0.51 | 1.66 | 9.32 | 6.42 | ||||||||||||
Allowance / loans % | 1.58 | N/A | 5.49 | 3.85 |
2017 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 11,917 | $ | 24 | $ | 11,941 | |||||||
Charge-offs | (3,100 | ) | (73 | ) | (3,173 | ) | |||||||
Recoveries | 617 | 54 | 671 | ||||||||||
Provision/(provision credit) for loan losses | 842 | 40 | 882 | ||||||||||
Allowance for loan losses as of September 30 | $ | 10,276 | $ | 45 | $ | 10,321 | |||||||
Net charge-offs % (qtr. annualized) | 2.83 | % | 1.14 | % | 2.80 | % | |||||||
Allowance / net charge-offs | 1.04 | x | 0.60 | x | 1.04 | x | |||||||
As of September 30 | |||||||||||||
Period-end loans | $ | 343,864 | $ | 6,569 | $ | 350,433 | |||||||
Nonperforming loans | — | 126 | 126 | ||||||||||
Troubled debt restructurings | 500 | 44 | 544 | ||||||||||
30+ Delinq. % (a) | 0.88 | % | 1.44 | % | 0.89 | % | |||||||
NPL % | — | 1.92 | 0.04 | ||||||||||
Allowance / loans % | 2.99 | 0.69 | 2.95 | ||||||||||
2016 | |||||||||||||
Three months ended | |||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | ||||||||||
Allowance for loan losses as of July 1 | $ | 11,633 | $ | 257 | $ | 11,890 | |||||||
Charge-offs | (3,550 | ) | (39 | ) | (3,589 | ) | |||||||
Recoveries | 835 | 71 | 906 | ||||||||||
Provision/(provision credit) for loan losses | 3,328 | (88 | ) | 3,240 | |||||||||
Allowance for loan losses as of September 30 | $ | 12,246 | $ | 201 | $ | 12,447 | |||||||
Net charge-offs % (qtr. annualized) | 3.06 | % | NM | 2.95 | % | ||||||||
Allowance / net charge-offs | 1.13 | x | NM | 1.17 | x | ||||||||
As of December 31 | |||||||||||||
Period-end loans | $ | 351,198 | $ | 7,835 | $ | 359,033 | |||||||
Nonperforming loans | — | 142 | 142 | ||||||||||
Troubled debt restructurings | 274 | 32 | 306 | ||||||||||
30+ Delinq. % (a) | 1.16 | % | 1.73 | % | 1.17 | % | |||||||
NPL % | — | 1.82 | 0.04 | ||||||||||
Allowance / loans % | 3.42 | 2.26 | 3.39 |
September 30 | December 31 | ||||||||
2017 | 2016 | ||||||||
Key Portfolio Details | |||||||||
C&I | |||||||||
Period-end loans ($ millions) | $ | 12,792 | $ | 12,148 | |||||
30+ Delinq. % (a) | 0.27 | % | 0.08 | % | |||||
NPL % | 0.15 | 0.27 | |||||||
Charge-offs % (qtr. annualized) | 0.10 | NM | |||||||
Allowance / loans % | 0.77 | % | 0.74 | % | |||||
Allowance / net charge-offs | 7.97 | x | NM | ||||||
Commercial Real Estate | |||||||||
Period-end loans ($ millions) | $ | 2,251 | $ | 2,136 | |||||
30+ Delinq. % (a) | 0.02 | % | 0.01 | % | |||||
NPL % | 0.07 | 0.13 | |||||||
Charge-offs % (qtr. annualized) | NM | 0.09 | |||||||
Allowance / loans % | 1.32 | % | 1.59 | % | |||||
Allowance / net charge-offs | NM | 17.56 | x | ||||||
Consumer Real Estate | |||||||||
Period-end loans ($ millions) | $ | 4,370 | $ | 4,524 | |||||
30+ Delinq. % (a) | 0.74 | % | 0.93 | % | |||||
NPL % | 1.76 | 1.83 | |||||||
Charge-offs % (qtr. annualized) | NM | NM | |||||||
Allowance / loans % | 0.94 | % | 1.11 | % | |||||
Allowance / net charge-offs | NM | NM | |||||||
Permanent Mortgage | |||||||||
Period-end loans ($ millions) | $ | 403 | $ | 423 | |||||
30+ Delinq. % (a) | 1.51 | % | 2.36 | % | |||||
NPL % | 6.81 | 6.42 | |||||||
Charge-offs % (qtr. annualized) | NM | NM | |||||||
Allowance / loans % | 3.90 | % | 3.85 | % | |||||
Allowance / net charge-offs | NM | NM | |||||||
Credit Card and Other | |||||||||
Period-end loans ($ millions) | $ | 350 | $ | 359 | |||||
30+ Delinq. % (a) | 0.89 | % | 1.17 | % | |||||
NPL % | 0.04 | 0.04 | |||||||
Charge-offs % (qtr. annualized) | 2.80 | 3.25 | |||||||
Allowance / loans % | 2.95 | % | 3.39 | % | |||||
Allowance / net charge-offs | 1.04 | x | 1.04 | x |
FIRST HORIZON CORPORATION | 89 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||||||||
Allowance for loan and lease losses (a) | June 30, 2021 | December 31, 2020 | June 30, 2020 | ||||||||||||||||||||||||||
C&I | $ | 385 | $ | 453 | $ | 319 | |||||||||||||||||||||||
CRE | 210 | 242 | 57 | ||||||||||||||||||||||||||
Consumer real estate | 203 | 242 | 144 | ||||||||||||||||||||||||||
Credit card and other | 17 | 26 | 18 | ||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 815 | $ | 963 | $ | 538 | |||||||||||||||||||||||
Period-end loans and leases (b) | |||||||||||||||||||||||||||||
C&I | $ | 32,528 | $ | 33,104 | $ | 21,394 | |||||||||||||||||||||||
CRE | 12,292 | 12,275 | 4,813 | ||||||||||||||||||||||||||
Consumer real estate | 10,865 | 11,725 | 6,053 | ||||||||||||||||||||||||||
Credit card and other | 1,002 | 1,128 | 449 | ||||||||||||||||||||||||||
Total period-end loans and leases | $ | 56,687 | $ | 58,232 | $ | 32,709 | |||||||||||||||||||||||
ALLL / loans and leases % | |||||||||||||||||||||||||||||
C&I | 1.18 | % | 1.37 | % | 1.49 | % | |||||||||||||||||||||||
CRE | 1.71 | 1.97 | 1.19 | ||||||||||||||||||||||||||
Consumer real estate | 1.87 | 2.07 | 2.38 | ||||||||||||||||||||||||||
Credit card and other | 1.71 | 2.34 | 4.03 | ||||||||||||||||||||||||||
Total ALLL / loans and leases % | 1.44 | % | 1.65 | % | 1.64 | % | |||||||||||||||||||||||
Quarter-to-date net charge-offs (recoveries) | |||||||||||||||||||||||||||||
C&I | $ | (3) | $ | 31 | $ | 17 | |||||||||||||||||||||||
CRE | (1) | (1) | — | ||||||||||||||||||||||||||
Consumer real estate | (7) | (3) | (2) | ||||||||||||||||||||||||||
Credit card and other | 1 | 2 | 2 |
FIRST HORIZON CORPORATION | 90 | 2Q21 FORM 10-Q REPORT |
Total net charge-offs (recoveries) | $ | (10) | $ | 29 | $ | 17 | |||||||||||||||||||||||
Average loans and leases (b) | |||||||||||||||||||||||||||||
C&I | $ | 32,540 | $ | 34,196 | $ | 22,694 | |||||||||||||||||||||||
CRE | 12,350 | 12,400 | 4,710 | ||||||||||||||||||||||||||
Consumer real estate | 10,926 | 12,030 | 6,088 | ||||||||||||||||||||||||||
Credit card and other | 1,013 | 1,194 | 476 | ||||||||||||||||||||||||||
Total average loans and leases | $ | 56,829 | $ | 59,820 | $ | 33,968 | |||||||||||||||||||||||
Charge-off % (annualized) | |||||||||||||||||||||||||||||
C&I | (0.04) | % | 0.36 | % | 0.30 | % | |||||||||||||||||||||||
CRE | (0.02) | (0.02) | (0.01) | ||||||||||||||||||||||||||
Consumer real estate | (0.28) | (0.12) | (0.13) | ||||||||||||||||||||||||||
Credit card and other | 0.51 | 0.68 | 1.35 | ||||||||||||||||||||||||||
Total charge-off % | (0.07) | % | 0.19 | % | 0.20 | % | |||||||||||||||||||||||
ALLL / annualized net charge-offs | |||||||||||||||||||||||||||||
C&I | NM | 3.67 | x | 4.63 | x | ||||||||||||||||||||||||
CRE | NM | NM | NM | ||||||||||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||||||||
Credit card and other | 3.29 | x | 3.23 | x | 2.82 | x | |||||||||||||||||||||||
Total ALLL / net charge-offs | NM | 8.41 | x | 8.05 | x | ||||||||||||||||||||||||
ALLL / NPLs | |||||||||||||||||||||||||||||
C&I | 3.14 | x | 3.15 | x | 2.50 | x | |||||||||||||||||||||||
CRE | 3.00 | x | 4.15 | x | 27.71 | x | |||||||||||||||||||||||
Consumer real estate | 1.36 | x | 1.33 | x | 1.49 | x | |||||||||||||||||||||||
Credit card and other | 7.25 | x | 13.13 | x | 71.14 | x | |||||||||||||||||||||||
Total ALLL / NPLs | 2.37 | x | 2.49 | x | 2.38 | x | |||||||||||||||||||||||
FIRST HORIZON CORPORATION | 91 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Nonperforming loans and leases | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
C&I | $ | 123 | $ | 144 | |||||||||||||||||||
CRE | 70 | 58 | |||||||||||||||||||||
Consumer real estate | 149 | 182 | |||||||||||||||||||||
Credit card and other | 2 | 2 | |||||||||||||||||||||
Total nonperforming loans and leases (a) | $ | 344 | $ | 386 | |||||||||||||||||||
Nonperforming loans held for sale (a) | $ | 8 | $ | 5 | |||||||||||||||||||
Foreclosed real estate and other assets (b) | 10 | 15 | |||||||||||||||||||||
Total nonperforming assets (a) (b) | $ | 362 | $ | 406 | |||||||||||||||||||
Nonperforming loans and leases to total loans and leases | |||||||||||||||||||||||
C&I | 0.38 | % | 0.43 | % | |||||||||||||||||||
CRE | 0.57 | 0.48 | |||||||||||||||||||||
Consumer real estate | 1.37 | 1.56 | |||||||||||||||||||||
Credit card and other | 0.24 | 0.18 | |||||||||||||||||||||
Total NPL % | 0.61 | % | 0.66 | % | |||||||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Beginning balance | $ | 7,038 | $ | 14,150 | $ | 11,235 | $ | 24,977 | ||||||||
Valuation adjustments | (41 | ) | (711 | ) | (662 | ) | (1,561 | ) | ||||||||
New foreclosed property | 2,434 | 3,745 | 5,280 | 7,291 | ||||||||||||
Disposals: | ||||||||||||||||
Single transactions | (1,554 | ) | (3,506 | ) | (7,976 | ) | (17,029 | ) | ||||||||
Ending balance, September 30 (a) | $ | 7,877 | $ | 13,678 | $ | 7,877 | $ | 13,678 |
2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Nonperforming loans and leases (a) (b) | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
Regional Banking | $ | 209 | $ | 216 | |||||||||||||||||||
Specialty Banking | 91 | 117 | |||||||||||||||||||||
Corporate | 44 | 53 | |||||||||||||||||||||
Consolidated | $ | 344 | $ | 386 | |||||||||||||||||||
Foreclosed real estate (c) | |||||||||||||||||||||||
Regional Banking | $ | 8 | $ | 12 | |||||||||||||||||||
Specialty Banking | 1 | 1 | |||||||||||||||||||||
Corporate | 1 | 2 | |||||||||||||||||||||
Consolidated | $ | 10 | $ | 15 | |||||||||||||||||||
Nonperforming Assets (a) (b) (c) | |||||||||||||||||||||||
Regional Banking | $ | 217 | $ | 228 | |||||||||||||||||||
Specialty Banking | 92 | 118 | |||||||||||||||||||||
Corporate | 45 | 55 | |||||||||||||||||||||
Consolidated | $ | 354 | $ | 401 | |||||||||||||||||||
Nonperforming loans and leases to loans and leases | |||||||||||||||||||||||
Regional Banking | 0.53 | % | 0.54 | % | |||||||||||||||||||
Specialty Banking | 0.55 | 0.68 | |||||||||||||||||||||
Corporate | 5.09 | 5.70 | |||||||||||||||||||||
Consolidated | 0.61 | % | 0.66 | % | |||||||||||||||||||
NPA % (d) | |||||||||||||||||||||||
Regional Banking | 0.55 | % | 0.57 | % | |||||||||||||||||||
Specialty Banking | 0.55 | 0.68 | |||||||||||||||||||||
Corporate | 5.17 | 5.87 | |||||||||||||||||||||
Consolidated | 0.62 | % | 0.69 | % |
Three Months Ended September 30 | |||||||||
(Dollars in thousands) | 2017 | 2016 | |||||||
Allowance for loan losses: | |||||||||
Beginning balance on July 1 | $ | 197,257 | $ | 199,807 | |||||
Provision/(provision credit) for loan losses | — | 4,000 | |||||||
Charge-offs | (10,670 | ) | (10,362 | ) | |||||
Recoveries | 8,280 | 8,112 | |||||||
Ending balance on September 30 | $ | 194,867 | $ | 201,557 | |||||
Reserve for remaining unfunded commitments | 4,372 | 4,802 | |||||||
Total allowance for loan losses and reserve for unfunded commitments | $ | 199,239 | $ | 206,359 | |||||
Key ratios | |||||||||
Allowance / net charge-offs (a) | 20.55 | x | 22.51 | x | |||||
Net charge-offs % (b) | 0.05 | % | 0.05 | % | |||||
As of September 30 | As of December 31 | ||||||||
Nonperforming Assets by Segment | 2017 | 2016 | |||||||
Regional Banking: | |||||||||
Nonperforming loans (c) | $ | 40,610 | $ | 50,653 | |||||
OREO (d) | 2,848 | 5,081 | |||||||
Total Regional Banking | 43,458 | 55,734 | |||||||
Non-Strategic: | |||||||||
Nonperforming loans (c) | 82,203 | 93,808 | |||||||
Nonperforming loans held-for-sale net of fair value adjustment (c) | 7,314 | 7,741 | |||||||
OREO (d) | 5,029 | 6,154 | |||||||
Total Non-Strategic | 94,546 | 107,703 | |||||||
Corporate: | |||||||||
Nonperforming loans (c) | 2,173 | 1,186 | |||||||
Total Corporate | 2,173 | 1,186 | |||||||
Total nonperforming assets (c) (d) | $ | 140,177 | $ | 164,623 |
2Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of June 30, 2021 | As of December 31, 2020 | ||||||||||||
Commercial: | ||||||||||||||
C&I | $ | 38 | $ | 104 | ||||||||||
CRE | 124 | 194 | ||||||||||||
Total Commercial | $ | 162 | $ | 298 | ||||||||||
Consumer: | ||||||||||||||
HELOC | $ | 8 | $ | 14 | ||||||||||
R/E installment loans | 102 | 202 | ||||||||||||
Credit card and other | 3 | 4 | ||||||||||||
Total Consumer | $ | 113 | $ | 220 | ||||||||||
Total | $ | 275 | $ | 518 | ||||||||||
As of September 30 | As of December 31 | ||||||||
2017 | 2016 | ||||||||
Loans and commitments: | |||||||||
Total period-end loans, net of unearned income | $ | 20,166,091 | $ | 19,589,520 | |||||
Potential problem assets (a) | 280,358 | 290,354 | |||||||
Loans 30 to 89 days past due | 45,248 | 42,570 | |||||||
Loans 90 days past due (b) (c) | 30,950 | 23,385 | |||||||
Loans held-for-sale 30 to 89 days past due (d) | 34,325 | 6,462 | |||||||
Loans held-for-sale 30 to 89 days past due—guaranteed portion (d) (e) | 33,877 | 6,248 | |||||||
Loans held-for-sale 90 days past due (c) (d) | 10,075 | 14,868 | |||||||
Loans held-for-sale 90 days past due—guaranteed portion (c) (d) (e) | 9,932 | 14,657 | |||||||
Remaining unfunded commitments | $ | 8,868,115 | $ | 8,744,649 | |||||
Key ratios | |||||||||
Allowance / loans % | 0.97 | % | 1.03 | % | |||||
Allowance / NPL | 1.56 | x | 1.39 | x | |||||
NPA % (f) | 0.66 | % | 0.80 | % | |||||
NPL % | 0.62 | % | 0.74 | % |
FIRST HORIZON CORPORATION | 94 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Accruing loans and leases 30+ days past due | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||
C&I | $ | 41 | $ | 15 | |||||||||||||||||||
CRE | 6 | 23 | |||||||||||||||||||||
Consumer real estate | 42 | 69 | |||||||||||||||||||||
Credit card and other | 8 | 10 | |||||||||||||||||||||
Total 30+ Delinquency | $ | 97 | $ | 117 | |||||||||||||||||||
Accruing loans and leases 30+ days past due % | |||||||||||||||||||||||
C&I | 0.13 | % | 0.05 | % | |||||||||||||||||||
CRE | 0.05 | 0.19 | |||||||||||||||||||||
Consumer real estate | 0.39 | 0.58 | |||||||||||||||||||||
Credit card and other | 0.80 | 0.87 | |||||||||||||||||||||
Total 30+ Delinquency % | 0.17 | % | 0.20 | % | |||||||||||||||||||
Accruing loans and leases 90+ days past due (a) (b) (c): | |||||||||||||||||||||||
C&I | $ | 1 | $ | — | |||||||||||||||||||
CRE | — | — | |||||||||||||||||||||
Consumer real Estate | 12 | 16 | |||||||||||||||||||||
Credit card and other | 1 | 1 | |||||||||||||||||||||
Total accruing loans and leases 90+ days past due | $ | 14 | $ | 17 | |||||||||||||||||||
Loans held for sale | |||||||||||||||||||||||
30 to 89 days past due (b) | $ | 5 | $ | 6 | |||||||||||||||||||
30 to 89 days past due - guaranteed portion (b) (d) | 3 | 5 | |||||||||||||||||||||
90+ days past due (b) | 26 | 12 | |||||||||||||||||||||
90+ days past due - guaranteed portion (b) (d) | 12 | 10 | |||||||||||||||||||||
FIRST HORIZON CORPORATION | 95 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||||||||
Held-for-investment: | ||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||
Current | $ | 74 | $ | 77 | ||||||||||||||||
Delinquent | 2 | 2 | ||||||||||||||||||
Non-accrual (a) | 47 | 61 | ||||||||||||||||||
Total consumer real estate | 123 | 140 | ||||||||||||||||||
Credit card and other: | ||||||||||||||||||||
Current | 1 | 1 | ||||||||||||||||||
Delinquent | — | — | ||||||||||||||||||
Non-accrual | — | — | ||||||||||||||||||
Total credit card and other | 1 | 1 | ||||||||||||||||||
Commercial loans: | ||||||||||||||||||||
Current | 68 | 82 | ||||||||||||||||||
Delinquent | — | — | ||||||||||||||||||
Non-accrual | 82 | 84 | ||||||||||||||||||
Total commercial loans | 150 | 166 | ||||||||||||||||||
Total held-for-investment | $ | 274 | $ | 307 | ||||||||||||||||
Held-for-sale: | ||||||||||||||||||||
Current | $ | 33 | $ | 36 | ||||||||||||||||
Delinquent | 4 | 5 | ||||||||||||||||||
Non-accrual | 1 | 1 | ||||||||||||||||||
Total held-for-sale | 38 | 42 | ||||||||||||||||||
Total troubled debt restructurings | $ | 312 | $ | 349 |
(Dollars in thousands) | As of September 30, 2017 | As of December 31, 2016 | ||||||
Held-to-maturity: | ||||||||
Permanent mortgage: | ||||||||
Current | $ | 65,215 | $ | 73,500 | ||||
Delinquent | 1,657 | 2,751 | ||||||
Non-accrual (a) | 17,209 | 17,675 | ||||||
Total permanent mortgage | 84,081 | 93,926 | ||||||
Consumer real estate: | ||||||||
Current | 87,732 | 100,383 | ||||||
Delinquent | 3,889 | 4,618 | ||||||
Non-accrual (b) | 44,237 | 48,459 | ||||||
Total consumer real estate | 135,858 | 153,460 | ||||||
Credit card and other: | ||||||||
Current | 512 | 288 | ||||||
Delinquent | 32 | 18 | ||||||
Non-accrual | — | — | ||||||
Total credit card and other | 544 | 306 | ||||||
Commercial loans: | ||||||||
Current | 16,412 | 21,887 | ||||||
Delinquent | 88 | — | ||||||
Non-accrual | 4,616 | 15,571 | ||||||
Total commercial loans | 21,116 | 37,458 | ||||||
Total held-to-maturity | $ | 241,599 | $ | 285,150 | ||||
Held-for-sale: | ||||||||
Current | $ | 43,864 | $ | 46,625 | ||||
Delinquent | 13,956 | 16,436 | ||||||
Non-accrual | 5,347 | 6,283 | ||||||
Total held-for-sale | 63,167 | 69,344 | ||||||
Total troubled debt restructurings | $ | 304,766 | $ | 354,494 |
2Q21 FORM 10-Q REPORT |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Change | Percent | ||||||||||||||||||||||||||||||||
Savings | $ | 27,415 | 37 | % | $ | 27,324 | 39 | % | $ | 91 | — | % | ||||||||||||||||||||||||||
Time deposits | 4,304 | 6 | 5,070 | 7 | (766) | (15) | ||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 15,728 | 22 | 15,415 | 22 | 313 | 2 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits | 47,447 | 65 | 47,809 | 68 | (362) | (1) | ||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,833 | 35 | 22,173 | 32 | 3,660 | 17 | ||||||||||||||||||||||||||||||||
Total deposits | $ | 73,280 | 100 | % | $ | 69,982 | 100 | % | $ | 3,298 | 5 | % |
FIRST HORIZON CORPORATION | 97 | 2Q21 FORM 10-Q REPORT |
(Dollars in millions) | June 30, 2021 | December 31, 2020 | ||||||||||||
Shareholders’ equity | $ | 8,270 | $ | 8,012 | ||||||||||
Modified CECL transitional amount (a) | 152 | 191 | ||||||||||||
FHN non-cumulative perpetual preferred | (520) | (470) | ||||||||||||
Common equity tier 1 before regulatory adjustments | $ | 7,902 | $ | 7,733 | ||||||||||
Regulatory adjustments: | ||||||||||||||
Disallowed goodwill and other intangibles | (1,733) | (1,757) | ||||||||||||
Net unrealized (gains) losses on securities available for sale | (43) | (108) | ||||||||||||
Net unrealized (gains) losses on pension and other postretirement plans | 254 | 260 | ||||||||||||
Net unrealized (gains) losses on cash flow hedges | (8) | (12) | ||||||||||||
Disallowed deferred tax assets | — | (5) | ||||||||||||
Other deductions from common equity tier 1 | — | (1) | ||||||||||||
Common equity tier 1 | $ | 6,372 | $ | 6,110 | ||||||||||
FHN non-cumulative perpetual preferred (b) | 426 | 377 | ||||||||||||
Qualifying noncontrolling interest— First Horizon Bank preferred stock | 295 | 295 | ||||||||||||
Tier 1 capital | $ | 7,093 | $ | 6,782 | ||||||||||
Tier 2 capital | 1,055 | 1,153 | ||||||||||||
Total regulatory capital | $ | 8,148 | $ | 7,935 | ||||||||||
Risk-Weighted Assets | ||||||||||||||
First Horizon Corporation | $ | 61,991 | $ | 63,140 | ||||||||||
First Horizon Bank | 61,392 | 62,508 | ||||||||||||
Average Assets for Leverage | ||||||||||||||
First Horizon Corporation | 86,160 | 82,347 | ||||||||||||
First Horizon Bank | 85,500 | 81,709 |
June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||||||||||||||
Common Equity Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 10.28 | % | $ | 6,372 | 9.68 | % | $ | 6,110 | ||||||||||||||||||
First Horizon Bank | 10.98 | 6,738 | 10.46 | 6,537 | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 11.44 | 7,093 | 10.74 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 11.46 | 7,033 | 10.93 | 6,832 | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
First Horizon Corporation | 13.14 | 8,148 | 12.57 | 7,935 | ||||||||||||||||||||||
First Horizon Bank | 12.88 | 7,908 | 12.52 | 7,827 | ||||||||||||||||||||||
Tier 1 Leverage | ||||||||||||||||||||||||||
First Horizon Corporation | 8.23 | 7,093 | 8.24 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 8.23 | 7,033 | 8.36 | 6,832 | ||||||||||||||||||||||
Other Capital Ratios | ||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.74 | 9.86 | ||||||||||||||||||||||||
Tangible common equity to tangible assets (c) | 6.87 | 6.89 | ||||||||||||||||||||||||
Adjusted tangible common equity to risk-weighted assets (c) | 9.47 | 8.82 |
FIRST HORIZON CORPORATION | 98 | 2Q21 FORM 10-Q REPORT |
(Dollar values and volume in thousands, except per share data) | Total number of shares purchased | Average price paid per share (a) | Total number of shares purchased as part of publicly announced programs | Maximum approximate dollar value that may yet be purchased under the programs | ||||||||||||||||||||||
2021 | ||||||||||||||||||||||||||
April 1 to April 30 | 397 | $ | 18.02 | 397 | $ | 434,099 | ||||||||||||||||||||
May 1 to May 31 | 1,537 | 18.77 | 1,537 | 405,248 | ||||||||||||||||||||||
June 1 to June 30 | 1,123 | 18.74 | 1,123 | 384,212 | ||||||||||||||||||||||
Total | 3,057 | $ | 18.66 | 3,057 | ||||||||||||||||||||||
FIRST HORIZON CORPORATION | 99 | 2Q21 FORM 10-Q REPORT |
(Volume in thousands, except per share data) | Total number of shares purchased | Average price paid per share | Total number of shares purchased as part of publicly announced programs | Maximum number of shares that may yet be purchased under the programs | ||||||||||||||||||||||
2021 | ||||||||||||||||||||||||||
April 1 to April 30 | 32 | $ | 12.96 | 32 | 23,778 | |||||||||||||||||||||
May 1 to May 31 | 244 | 18.20 | 244 | 23,534 | ||||||||||||||||||||||
June 1 to June 30 | 102 | 17.51 | 102 | 23,432 | ||||||||||||||||||||||
Total | 378 | $ | 17.57 | 378 |
Risk Management | ||||||||||||||
FIRST HORIZON CORPORATION | 100 | 2Q21 FORM 10-Q REPORT |
Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | As of June 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Mean | High | Low | Mean | High | Low | ||||||||||||||||||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | $ | 1 | $ | 2 | $ | 1 | $ | 2 | $ | 4 | $ | 1 | $ | 1 | ||||||||||||||||||||||||||||||
SVaR | 4 | 6 | 2 | 4 | 6 | 2 | 4 | |||||||||||||||||||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | 3 | 5 | 1 | 7 | 21 | 1 | 2 | |||||||||||||||||||||||||||||||||||||
SVaR | 17 | 23 | 11 | 16 | 23 | 11 | 16 | |||||||||||||||||||||||||||||||||||||
Three Months Ended June 30, 2020 | Six Months Ended June 30, 2020 | As of June 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Mean | High | Low | Mean | High | Low | ||||||||||||||||||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | $ | 3 | $ | 5 | $ | 2 | $ | 3 | $ | 7 | $ | 1 | $ | 3 | ||||||||||||||||||||||||||||||
SVaR | 4 | 6 | 3 | 6 | 18 | 3 | 3 | |||||||||||||||||||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | 13 | 19 | 8 | 10 | 25 | 2 | 13 | |||||||||||||||||||||||||||||||||||||
SVaR | 14 | 19 | 9 | 20 | 43 | 9 | 13 |
Three Months Ended September 30, 2017 | Nine Months Ended September 30, 2017 | As of September 30, 2017 | ||||||||||||||||||||||||||
(Dollars in thousands) | Mean | High | Low | Mean | High | Low | ||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||
VaR | $ | 1,620 | $ | 3,310 | $ | 521 | $ | 1,450 | $ | 3,310 | $ | 521 | $ | 3,174 | ||||||||||||||
SVaR | 4,575 | 7,781 | 2,150 | 4,023 | 7,781 | 1,775 | 6,805 | |||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||
VaR | 4,112 | 8,039 | 870 | 3,538 | 8,039 | 870 | 6,302 | |||||||||||||||||||||
SVaR | 15,021 | 22,511 | 7,833 | 13,390 | 24,550 | 4,916 | 18,602 | |||||||||||||||||||||
Three Months Ended September 30, 2016 | Nine Months Ended September 30, 2016 | As of September 30, 2016 | ||||||||||||||||||||||||||
(Dollars in thousands) | Mean | High | Low | Mean | High | Low | ||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||
VaR | $ | 814 | $ | 1,040 | $ | 606 | $ | 769 | $ | 1,411 | $ | 393 | $ | 880 | ||||||||||||||
SVaR | 3,823 | 5,641 | 2,253 | 3,607 | 5,789 | 1,748 | 4,017 | |||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||
VaR | 1,917 | 3,167 | 1,170 | 1,848 | 4,058 | 751 | 2,998 | |||||||||||||||||||||
SVaR | 12,439 | 18,221 | 7,105 | 11,703 | 18,221 | 3,263 | 12,055 | |||||||||||||||||||||
Year Ended December 31, 2016 | As of December 31, 2016 | |||||||||||||||||||||||||||
(Dollars in thousands) | Mean | High | Low | |||||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||
VaR | $ | 821 | $ | 1,745 | $ | 393 | $ | 932 | ||||||||||||||||||||
SVaR | 3,643 | 5,789 | 1,748 | 2,830 | ||||||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||
VaR | 2,088 | 5,852 | 751 | 2,136 | ||||||||||||||||||||||||
SVaR | 11,671 | 18,483 | 3,263 | 6,443 |
Year Ended December 31, 2020 | As of December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Mean | High | Low | |||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||
VaR | $ | 3 | $ | 7 | $ | 1 | $ | 2 | ||||||||||||||||||
SVaR | 5 | 18 | 1 | 2 | ||||||||||||||||||||||
10-day | ||||||||||||||||||||||||||
VaR | 13 | 25 | 2 | 10 | ||||||||||||||||||||||
SVaR | 18 | 43 | 6 | 10 |
As of June 30, 2021 | As of June 30, 2020 | As of December 31, 2020 | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 1-day | 10-day | 1-day | 10-day | 1-day | 10-day | ||||||||||||||||||||||||||||||||
Interest rate risk | $ | — | $ | 2 | $ | 1 | $ | 4 | $ | 1 | $ | 2 | ||||||||||||||||||||||||||
Credit spread risk | 1 | 1 | 2 | 8 | 2 | 6 |
As of September 30, 2017 | As of September 30, 2016 | As of December 31, 2016 | ||||||||||||||||||||||
(Dollars in thousands) | 1-day | 10-day | 1-day | 10-day | 1-day | 10-day | ||||||||||||||||||
Interest rate risk | $ | 2,055 | $ | 8,334 | $ | 683 | $ | 1,436 | $ | 917 | $ | 1,771 | ||||||||||||
Credit spread risk | 370 | 701 | 785 | 2,710 | 537 | 1,391 |
FIRST HORIZON CORPORATION | 101 | 2Q21 FORM 10-Q REPORT |
Shifts in Interest Rates (in bps) | % Change in Projected Net Interest Income | |||||||
+25 | 2.2% | |||||||
+50 | 4.5% | |||||||
+100 | 9.8% | |||||||
+200 | 17.8% |
FIRST HORIZON CORPORATION | 102 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 103 | 2Q21 FORM 10-Q REPORT |
Dividend/Share | Record Date | Payment Date | ||||||||||||||||||
Common Stock | $ | 0.15 | 09/10/2021 | 10/01/2021 | ||||||||||||||||
Preferred Stock | ||||||||||||||||||||
Series C | $ | 165.00 | 10/15/2021 | 11/01/2021 | ||||||||||||||||
Series D | $ | 305.00 | 10/15/2021 | 11/01/2021 | ||||||||||||||||
Series E | $ | 1,625.00 | 09/24/2021 | 10/12/2021 | ||||||||||||||||
Series F | $ | 1,175.00 | 09/24/2021 | 10/12/2021 |
Repurchase Obligations and Off-Balance Sheet Arrangements | ||||||||||||||
September 30, 2017 | December 31, 2016 | |||||||||||||
(Dollars in thousands) | Number | Amount | Number | Amount | ||||||||||
Repurchase/make whole requests: | ||||||||||||||
Agencies | 34 | $ | 4,979 | 23 | $ | 4,196 | ||||||||
Non-Agency whole loan-related | 119 | 18,126 | 126 | 19,214 | ||||||||||
MI | 156 | 25,307 | 147 | 23,171 | ||||||||||
Other requests (a) | 33 | 4,488 | 37 | 5,122 | ||||||||||
Total | 342 | $ | 52,900 | 333 | $ | 51,703 |
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Legacy Mortgage | ||||||||||||||||
Beginning balance | $ | 34,599 | $ | 67,383 | $ | 65,309 | $ | 114,947 | ||||||||
Provision/(provision credit) for repurchase and foreclosure losses (a) | (609 | ) | (218 | ) | (22,580 | ) | (31,618 | ) | ||||||||
Net realized losses | (124 | ) | (203 | ) | (8,863 | ) | (16,367 | ) | ||||||||
Balance on September 30 | $ | 33,866 | $ | 66,962 | $ | 33,866 | $ | 66,962 |
FIRST HORIZON CORPORATION | 104 | 2Q21 FORM 10-Q REPORT |
Market Uncertainties and Prospective Trends | ||||||||||||||
FIRST HORIZON CORPORATION | 105 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 106 | 2Q21 FORM 10-Q REPORT |
Critical Accounting Policies and Estimates | ||||||||||||||
FIRST HORIZON CORPORATION | 107 | 2Q21 FORM 10-Q REPORT |
Non-GAAP Information | ||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2017 | 2016 | |||||||||||
Average Tangible Common Equity (Non-GAAP) | |||||||||||||||
Average total equity (GAAP) | $ | 2,866,757 | $ | 2,718,319 | $ | 2,789,726 | $ | 2,672,894 | |||||||
Less: Average noncontrolling interest (a) | 295,431 | 295,431 | 295,431 | 295,431 | |||||||||||
Less: Average preferred stock (a) | 95,624 | 95,624 | 95,624 | 95,624 | |||||||||||
(A) Total average common equity | $ | 2,475,702 | $ | 2,327,264 | $ | 2,398,671 | $ | 2,281,839 | |||||||
Less: Average intangible assets (GAAP) (b) | 280,575 | 214,260 | 258,138 | 215,552 | |||||||||||
(B) Average Tangible Common Equity (Non-GAAP) | $ | 2,195,127 | $ | 2,113,004 | $ | 2,140,533 | $ | 2,066,287 | |||||||
Net Income Available to Common Shareholders | |||||||||||||||
(C) Net income available to common shareholders (annualized) (GAAP) | $ | 267,148 | $ | 251,434 | $ | 283,652 | $ | 223,810 | |||||||
Ratios | |||||||||||||||
(C)/(A) Return on average common equity (“ROE”) (GAAP) (c) | 10.79 | % | 10.80 | % | 11.83 | % | 9.81 | % | |||||||
(C)/(B) Return on average tangible common equity (“ROTCE”) (Non-GAAP) (d) | 12.17 | 11.90 | 13.25 | 10.83 |
Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions; shares in thousands) | June 30, 2021 | March 31, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||
Pre-provision Net Revenue (Non-GAAP) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income (GAAP) | $ | 497 | $ | 508 | $ | 305 | $ | 1,004 | $ | 608 | ||||||||||||||||||||||||||||||||||||||||
Plus: Noninterest income (GAAP) | 285 | 298 | 206 | 583 | 381 | |||||||||||||||||||||||||||||||||||||||||||||
Total revenues (GAAP) | 782 | 806 | 511 | 1,587 | 989 | |||||||||||||||||||||||||||||||||||||||||||||
Less: Noninterest expense (GAAP) | 498 | 544 | 320 | 1,042 | 623 | |||||||||||||||||||||||||||||||||||||||||||||
Pre-provision net revenue (Non-GAAP) | $ | 284 | $ | 262 | $ | 191 | $ | 545 | $ | 366 | ||||||||||||||||||||||||||||||||||||||||
Average Tangible Common Equity (Non-GAAP) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Average total equity (GAAP) | $ | 8,459 | $ | 8,349 | $ | 5,118 | $ | 8,404 | $ | 5,060 | ||||||||||||||||||||||||||||||||||||||||
Less: Average noncontrolling interest (a) | 295 | 295 | 295 | 295 | 295 | |||||||||||||||||||||||||||||||||||||||||||||
Less: Average preferred stock (a) | 513 | 470 | 150 | 492 | 123 | |||||||||||||||||||||||||||||||||||||||||||||
(A) Total average common equity | $ | 7,651 | $ | 7,584 | $ | 4,673 | $ | 7,617 | $ | 4,642 | ||||||||||||||||||||||||||||||||||||||||
Less: Average intangible assets (GAAP) (b) | 1,843 | 1,857 | 1,555 | 1,850 | 1,558 | |||||||||||||||||||||||||||||||||||||||||||||
(B) Average Tangible Common Equity (Non-GAAP) | $ | 5,808 | $ | 5,727 | $ | 3,118 | $ | 5,767 | $ | 3,084 | ||||||||||||||||||||||||||||||||||||||||
Net Income Available to Common Shareholders | ||||||||||||||||||||||||||||||||||||||||||||||||||
(C) Net income available to common shareholders (annualized) (GAAP) | $ | 1,182 | $ | 911 | $ | 210 | $ | 1,047 | $ | 129 | ||||||||||||||||||||||||||||||||||||||||
Tangible Common Equity (Non-GAAP) | ||||||||||||||||||||||||||||||||||||||||||||||||||
(D) Total equity (GAAP) | $ | 8,565 | $ | 8,307 | $ | 5,208 | $ | 8,565 | $ | 5,208 | ||||||||||||||||||||||||||||||||||||||||
Less: Noncontrolling interest (a) | 295 | 295 | 295 | 295 | 295 | |||||||||||||||||||||||||||||||||||||||||||||
Less: Preferred stock (a) | 520 | 470 | 240 | 520 | 240 | |||||||||||||||||||||||||||||||||||||||||||||
(E) Total common equity | $ | 7,750 | $ | 7,542 | $ | 4,673 | $ | 7,750 | $ | 4,673 | ||||||||||||||||||||||||||||||||||||||||
Less: Intangible assets (GAAP) (b) | 1,836 | 1,850 | 1,553 | 1,836 | 1,553 | |||||||||||||||||||||||||||||||||||||||||||||
(F) Tangible common equity (Non-GAAP) | 5,914 | 5,692 | 3,120 | 5,914 | 3,120 | |||||||||||||||||||||||||||||||||||||||||||||
Less: Unrealized gains (losses) on AFS securities, net of tax | 43 | 5 | 119 | 43 | 119 | |||||||||||||||||||||||||||||||||||||||||||||
(G) Adjusted tangible common equity (Non-GAAP) | $ | 5,871 | $ | 5,687 | $ | 3,001 | $ | 5,871 | $ | 3,001 | ||||||||||||||||||||||||||||||||||||||||
Tangible Assets (Non-GAAP) | ||||||||||||||||||||||||||||||||||||||||||||||||||
(H) Total assets (GAAP) | $ | 87,908 | $ | 87,513 | $ | 48,645 | $ | 87,908 | $ | 48,645 | ||||||||||||||||||||||||||||||||||||||||
Less: Intangible assets (GAAP) (b) | 1,836 | 1,850 | 1,553 | 1,836 | 1,553 | |||||||||||||||||||||||||||||||||||||||||||||
(I) Tangible assets (Non-GAAP) | $ | 86,072 | $ | 85,663 | $ | 47,092 | $ | 86,072 | $ | 47,092 | ||||||||||||||||||||||||||||||||||||||||
Risk-Weighted Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||
(J) Risk-weighted assets (c) | $ | 61,991 | $ | 62,339 | $ | 37,038 | $ | 61,991 | $ | 37,038 | ||||||||||||||||||||||||||||||||||||||||
Period-end Shares Outstanding | ||||||||||||||||||||||||||||||||||||||||||||||||||
(K) Period-end shares outstanding | 550,865 | 552,374 | 312,359 | 550,865 | 312,359 | |||||||||||||||||||||||||||||||||||||||||||||
Ratios | ||||||||||||||||||||||||||||||||||||||||||||||||||
(C)/(A) Return on average common equity (GAAP) | 15.45 | % | 12.01 | % | 4.50 | % | 13.75 | % | 2.79 | % | ||||||||||||||||||||||||||||||||||||||||
(C)/(B) Return on average tangible common equity (Non-GAAP) | 20.36 | 15.90 | 6.74 | 18.16 | 4.19 | |||||||||||||||||||||||||||||||||||||||||||||
(D)/(H) Total period-end equity to period-end assets (GAAP) | 9.74 | 9.49 | 10.71 | 9.74 | 10.71 | |||||||||||||||||||||||||||||||||||||||||||||
(F)/(I) Tangible common equity to tangible assets (Non-GAAP) | 6.87 | 6.64 | 6.63 | 6.87 | 6.63 | |||||||||||||||||||||||||||||||||||||||||||||
(G)/(J) Adjusted tangible common equity to risk-weighted assets (Non-GAAP) | 9.47 | 9.12 | 8.10 | 9.47 | 8.10 | |||||||||||||||||||||||||||||||||||||||||||||
(E)/(K) Book value per common share (GAAP) | $ | 14.07 | $ | 13.65 | $ | 14.96 | $ | 14.07 | $ | 14.96 | ||||||||||||||||||||||||||||||||||||||||
(F)/(K) Tangible book value per common share (Non-GAAP) | $ | 10.74 | $ | 10.30 | $ | 9.99 | $ | 10.74 | $ | 9.99 |
2Q21 FORM 10-Q REPORT |
(a) | Management’s Discussion and Analysis of Financial Condition and Results of Operations included as Item 2 of Part I of this report, including in particular the section entitled “Risk Management” beginning on page |
(b) | Note |
FIRST HORIZON CORPORATION | 109 | 2Q21 FORM 10-Q REPORT |
(a) & (b) | Not Applicable | |||||||||
(c) | The "Common Stock Purchase Programs” section including tables | |||||||||
2Q21 FORM 10-Q REPORT |
Exh No | Description of Exhibit to this Report | Filed Here | Mngt Exh | Furn-ished | Incorporated by Reference to | ||||||||||||||||||
Form | Exh No. | Filing Date | |||||||||||||||||||||
3.1 | 8-K | 3.1 | 7/30/2021 | ||||||||||||||||||||
4.1 | 8-K | 4.1 | 5/03/2021 | ||||||||||||||||||||
4.2 | 8-K | 4.2 | 5/03/2021 | ||||||||||||||||||||
4.3 | 8-K | 4.3 | 5/03/2021 | ||||||||||||||||||||
4.4 | X | ||||||||||||||||||||||
4.5 | FHN agrees to furnish to the Securities and Exchange Commission upon request a copy of each instrument defining the rights of the holders of the senior and subordinated long-term debt of FHN and its consolidated subsidiaries | ||||||||||||||||||||||
10.1 | X | X | |||||||||||||||||||||
31(a) | X | ||||||||||||||||||||||
31(b) | X | ||||||||||||||||||||||
32(a) | X | X | |||||||||||||||||||||
32(b) | X | X | |||||||||||||||||||||
XBRL Exhibits | |||||||||||||||||||||||
101 | The following financial information from First Horizon Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2021, formatted in Inline XBRL: (i) Consolidated Balance Sheets at June 30, 2021 and December 31, 2020; (ii) Consolidated Statements of Income for the Three and Six Months Ended June 30, 2021 and 2020; (iii) Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2021 and 2020; (iv) Consolidated Statements of Changes in Equity for the Three and Six Months Ended June 30, 2021 and 2020; (v) Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2021 and 2020; (vi) Notes to Consolidated Financial Statements. | X | |||||||||||||||||||||
101. INS | XBRL Instance Document -- the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | ||||||||||||||||||||||
101. SCH | Inline XBRL Taxonomy Extension Schema | X | |||||||||||||||||||||
101. CAL | Inline XBRL Taxonomy Extension Calculation Linkbase | X |
2Q21 FORM 10-Q REPORT |
Exh No | Description of Exhibit to this Report | Filed Here | Mngt Exh | Furn-ished | Incorporated by Reference to | ||||||||||||||||||
Filing Date | |||||||||||||||||||||||
101. LAB | |||||||||||||||||||||||
Inline XBRL Taxonomy Extension Label Linkbase | X | ||||||||||||||||||||||
101. PRE | |||||||||||||||||||||||
Inline XBRL Taxonomy Extension Presentation Linkbase | X | ||||||||||||||||||||||
101. DEF | |||||||||||||||||||||||
Inline XBRL Taxonomy Extension Definition Linkbase | X | ||||||||||||||||||||||
104 | Cover Page Interactive Data File, formatted in Inline XBRL (included in Exhibit 101) | X |
FIRST HORIZON CORPORATION | 112 | 2Q21 FORM 10-Q REPORT |
FIRST HORIZON (Registrant) | ||||||||||||||
Date: | By: | /s/ | ||||||||||||
Name: | ||||||||||||||
Title: | Senior Executive Vice President—Chief Operating Officer and interim Chief Financial Officer | |||||||||||||
(Duly Authorized Officer and Principal Financial Officer) |
FIRST HORIZON CORPORATION | 113 | 2Q21 FORM 10-Q REPORT |