☒ | 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.) | ||||||||||
165 Madison Avenue | |||||||||||
Memphis, | 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, | 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 | |||||||
* Denotes class of security issued and outstanding on the date this report is filed, but not at March 31, 2021. Listing on the New York Stock Exchange is expected, but not final at time of filing. |
Large Accelerated Filer | ☒ | Accelerated filer | ☐ | Non-accelerated filer | ☐ | |||||||||||||||||||||
Smaller reporting company | ☐ | Emerging Growth Company | ☐ |
Class | Outstanding on March 31, | |||||||
Common Stock, $.625 par value |
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 | ||||
AOCI | Accumulated other comprehensive income | ||||
ASC | FASB Accounting Standards Codification | ||||
Associate | Person employed by FHN | ||||
ASU | Accounting Standards Update | ||||
Bank | First Horizon Bank | ||||
BOLI | Bank-owned life insurance | ||||
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 | ||||
CRMC | Credit Risk Management Committee | ||||
DSCR | Debt service coverage ratios | ||||
DTA | Deferred tax asset | ||||
DTI | Debt-to-income | ||||
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 | ||||
IRS | Internal Revenue Service |
FIRST HORIZON CORPORATION | 1 | 1Q21 FORM 10-Q REPORT |
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 | ||||||||||
ROU | Right-of-use | ||||||||||
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 | ||||||||||
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 | 1Q21 FORM 10-Q REPORT |
Forward-Looking Statements | ||||||||||||||
FIRST HORIZON CORPORATION | 3 | 1Q21 FORM 10-Q REPORT |
Non-GAAP Information | ||||||||||||||
FIRST HORIZON CORPORATION | 4 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 5 | 1Q21 FORM 10-Q REPORT |
(Unaudited) | December 31, | |||||||||||||
March 31, | ||||||||||||||
(Dollars in millions, except per share amounts) | 2021 | 2020 | ||||||||||||
Assets | ||||||||||||||
Cash and due from banks | $ | 1,169 | $ | 1,203 | ||||||||||
Interest-bearing deposits with banks | 11,635 | 8,351 | ||||||||||||
Federal funds sold and securities purchased under agreements to resell | 520 | 445 | ||||||||||||
Trading securities | 1,076 | 1,176 | ||||||||||||
Securities available for sale at fair value | 8,351 | 8,047 | ||||||||||||
Loans held for sale (including $449 and $405 at fair value, respectively) | 811 | 1,022 | ||||||||||||
Loans and leases (including $17 and $16 at fair value, respectively) | 58,600 | 58,232 | ||||||||||||
Allowance for loan and lease losses | (914) | (963) | ||||||||||||
Net loans and leases | 57,686 | 57,269 | ||||||||||||
Premises and equipment | 719 | 759 | ||||||||||||
Goodwill | 1,511 | 1,511 | ||||||||||||
Other intangible assets | 339 | 354 | ||||||||||||
Other assets | 3,696 | 4,072 | ||||||||||||
Total assets | $ | 87,513 | $ | 84,209 | ||||||||||
Liabilities | ||||||||||||||
Noninterest-bearing deposits | $ | 25,046 | $ | 22,173 | ||||||||||
Interest-bearing deposits | 48,120 | 47,809 | ||||||||||||
Total deposits | 73,166 | 69,982 | ||||||||||||
Trading liabilities | 454 | 353 | ||||||||||||
Short-term borrowings | 2,203 | 2,198 | ||||||||||||
Term borrowings | 1,671 | 1,670 | ||||||||||||
Other liabilities | 1,712 | 1,699 | ||||||||||||
Total liabilities | 79,206 | 75,902 | ||||||||||||
Equity | ||||||||||||||
Preferred stock, Non-cumulative perpetual, no par value; authorized 5,000,000 shares; issued 26,250 shares | 470 | 470 | ||||||||||||
Common stock, $0.625 par value; authorized 700,000,000 shares; issued 552,374,489 and 555,030,652 shares, respectively | 345 | 347 | ||||||||||||
Capital surplus | 5,036 | 5,074 | ||||||||||||
Retained earnings | 2,402 | 2,261 | ||||||||||||
Accumulated other comprehensive loss, net | (241) | (140) | ||||||||||||
FHN shareholders' equity | 8,012 | 8,012 | ||||||||||||
Noncontrolling interest | 295 | 295 | ||||||||||||
Total equity | 8,307 | 8,307 | ||||||||||||
Total liabilities and equity | $ | 87,513 | $ | 84,209 |
First Horizon National Corporation | ||||||||
(Unaudited) | December 31 | |||||||
March 31 | ||||||||
(Dollars in thousands, except per share amounts) | 2020 | 2019 | ||||||
Assets: | ||||||||
Cash and due from banks | $ | 537,564 | $ | 633,728 | ||||
Federal funds sold | 30,050 | 46,536 | ||||||
Securities purchased under agreements to resell (Note 15) | 562,435 | 586,629 | ||||||
Total cash and cash equivalents | 1,130,049 | 1,266,893 | ||||||
Interest-bearing cash | 670,525 | 482,405 | ||||||
Trading securities | 1,877,514 | 1,346,207 | ||||||
Loans held-for-sale (a) | 595,601 | 593,790 | ||||||
Securities available-for-sale (Note 3) | 4,544,907 | 4,445,403 | ||||||
Securities held-to-maturity (Note 3) | 10,000 | 10,000 | ||||||
Loans, net of unearned income (Note 4) (b) | 33,378,303 | 31,061,111 | ||||||
Less: Allowance for loan losses (Note 5) | 444,490 | 200,307 | ||||||
Total net loans | 32,933,813 | 30,860,804 | ||||||
Goodwill (Note 6) | 1,432,787 | 1,432,787 | ||||||
Other intangible assets, net (Note 6) | 124,892 | 130,200 | ||||||
Fixed income receivables | 180,569 | 40,114 | ||||||
Premises and equipment, net (March 31, 2020 and December 31, 2019 include $7.5 million and $9.7 million, respectively, classified as held-for-sale) | 447,812 | 455,006 | ||||||
Other real estate owned (“OREO”) (c) | 15,837 | 17,838 | ||||||
Derivative assets (Note 14) | 696,250 | 183,115 | ||||||
Other assets | 2,536,822 | 2,046,338 | ||||||
Total assets | $ | 47,197,378 | $ | 43,310,900 | ||||
Liabilities and equity: | ||||||||
Deposits: | ||||||||
Savings | $ | 13,860,342 | $ | 11,664,906 | ||||
Time deposits, net | 3,058,198 | 3,618,337 | ||||||
Other interest-bearing deposits | 8,561,302 | 8,717,341 | ||||||
Interest-bearing | 25,479,842 | 24,000,584 | ||||||
Noninterest-bearing | 8,939,808 | 8,428,951 | ||||||
Total deposits | 34,419,650 | 32,429,535 | ||||||
Federal funds purchased | 476,013 | 548,344 | ||||||
Securities sold under agreements to repurchase (Note 15) | 788,595 | 716,925 | ||||||
Trading liabilities | 452,611 | 505,581 | ||||||
Other short-term borrowings | 4,060,673 | 2,253,045 | ||||||
Term borrowings | 792,751 | 791,368 | ||||||
Fixed income payables | 91,274 | 49,535 | ||||||
Derivative liabilities (Note 14) | 234,984 | 67,480 | ||||||
Other liabilities | 825,247 | 873,079 | ||||||
Total liabilities | 42,141,798 | 38,234,892 | ||||||
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 March 31, 2020 and December 31, 2019) | 95,624 | 95,624 | ||||||
Common stock - $.625 par value (shares authorized - 400,000,000; shares issued - 311,862,565 on March 31, 2020 and 311,469,056 on December 31, 2019) | 194,914 | 194,668 | ||||||
Capital surplus | 2,938,670 | 2,931,451 | ||||||
Undivided profits | 1,667,105 | 1,798,442 | ||||||
Accumulated other comprehensive loss, net (Note 8) | (136,164 | ) | (239,608 | ) | ||||
Total First Horizon National Corporation Shareholders’ Equity | 4,760,149 | 4,780,577 | ||||||
Noncontrolling interest | 295,431 | 295,431 | ||||||
Total equity | 5,055,580 | 5,076,008 | ||||||
Total liabilities and equity | $ | 47,197,378 | $ | 43,310,900 |
1Q21 FORM 10-Q REPORT |
First Horizon National Corporation | |||||||
Three Months Ended March 31 | |||||||
(Dollars and shares in thousands except per share data, unless otherwise noted) (Unaudited) | 2020 | 2019 | |||||
Interest income: | |||||||
Interest and fees on loans | $ | 326,599 | $ | 331,938 | |||
Interest on investment securities available-for-sale | 27,756 | 31,843 | |||||
Interest on investment securities held-to-maturity | 131 | 131 | |||||
Interest on loans held-for-sale | 6,899 | 9,877 | |||||
Interest on trading securities | 13,117 | 13,548 | |||||
Interest on other earning assets | 3,866 | 13,278 | |||||
Total interest income | 378,368 | 400,615 | |||||
Interest expense: | |||||||
Interest on deposits: | |||||||
Savings | 26,333 | 39,914 | |||||
Time deposits | 13,943 | 20,254 | |||||
Other interest-bearing deposits | 14,213 | 22,042 | |||||
Interest on trading liabilities | 3,292 | 2,816 | |||||
Interest on short-term borrowings | 9,864 | 6,744 | |||||
Interest on term borrowings | 7,921 | 14,337 | |||||
Total interest expense | 75,566 | 106,107 | |||||
Net interest income | 302,802 | 294,508 | |||||
Provision/(provision credit) for loan losses | 145,000 | 9,000 | |||||
Net interest income after provision/(provision credit) for loan losses | 157,802 | 285,508 | |||||
Noninterest income: | |||||||
Fixed income | 95,635 | 53,749 | |||||
Deposit transactions and cash management | 30,290 | 31,621 | |||||
Brokerage, management fees and commissions | 15,405 | 12,633 | |||||
Bankcard income | 7,253 | 6,952 | |||||
Trust services and investment management | 7,195 | 7,026 | |||||
Bank-owned life insurance ("BOLI") | 4,589 | 4,402 | |||||
Equity securities gains/(losses), net (Note 3) | 25 | 31 | |||||
All other income and commissions (Note 7) | 14,364 | 24,631 | |||||
Total noninterest income | 174,756 | 141,045 | |||||
Adjusted gross income after provision/(provision credit) for loan losses | 332,558 | 426,553 | |||||
Noninterest expense: | |||||||
Employee compensation, incentives, and benefits | 183,470 | 177,925 | |||||
Occupancy | 19,563 | 20,693 | |||||
Computer software | 16,027 | 15,139 | |||||
Operations services | 11,692 | 11,488 | |||||
Equipment rentals, depreciation, and maintenance | 8,552 | 8,829 | |||||
Advertising and public relations | 7,456 | 7,242 | |||||
Professional fees | 6,996 | 12,299 | |||||
FDIC premium expense | 6,742 | 4,273 | |||||
Communications and courier | 5,528 | 6,453 | |||||
Amortization of intangible assets | 5,308 | 6,216 | |||||
Contract employment and outsourcing | 4,936 | 3,371 | |||||
Legal fees | 1,823 | 2,831 | |||||
All other expense (Note 7) | 33,226 | 19,331 | |||||
Total noninterest expense | 311,319 | 296,090 | |||||
Income/(loss) before income taxes | 21,239 | 130,463 | |||||
Provision/(benefit) for income taxes | 4,767 | 27,058 | |||||
Net income/(loss) | $ | 16,472 | $ | 103,405 | |||
Net income attributable to noncontrolling interest | 2,852 | 2,820 | |||||
Net income/(loss) attributable to controlling interest | $ | 13,620 | $ | 100,585 | |||
Preferred stock dividends | 1,550 | 1,550 | |||||
Net income/(loss) available to common shareholders | $ | 12,070 | $ | 99,035 | |||
Basic earnings/(loss) per share (Note 9) | $ | 0.04 | $ | 0.31 | |||
Diluted earnings/(loss) per share (Note 9) | $ | 0.04 | $ | 0.31 | |||
Weighted average common shares (Note 9) | 311,597 | 317,435 | |||||
Diluted average common shares (Note 9) | 313,170 | 319,581 |
Three Months Ended March 31, | |||||||||||||||||||||||
(Dollars in millions, except per share data; shares in thousands) (Unaudited) | 2021 | 2020 | |||||||||||||||||||||
Interest income | |||||||||||||||||||||||
Interest and fees on loans and leases | $ | 507 | $ | 327 | |||||||||||||||||||
Interest and fees on loans held for sale | 7 | 7 | |||||||||||||||||||||
Interest on securities available for sale | 29 | 27 | |||||||||||||||||||||
Interest on trading securities | 7 | 13 | |||||||||||||||||||||
Interest on other earning assets | 2 | 4 | |||||||||||||||||||||
Total interest income | 552 | 378 | |||||||||||||||||||||
Interest expense | |||||||||||||||||||||||
Interest on deposits | 24 | 54 | |||||||||||||||||||||
Interest on trading liabilities | 1 | 3 | |||||||||||||||||||||
Interest on short-term borrowings | 1 | 10 | |||||||||||||||||||||
Interest on term borrowings | 18 | 8 | |||||||||||||||||||||
Total interest expense | 44 | 75 | |||||||||||||||||||||
Net interest income | 508 | 303 | |||||||||||||||||||||
Provision for credit losses | (45) | 154 | |||||||||||||||||||||
Net interest income after provision for credit losses | 553 | 149 | |||||||||||||||||||||
Noninterest income | |||||||||||||||||||||||
Fixed income | 126 | 96 | |||||||||||||||||||||
Mortgage banking and title income | 53 | 2 | |||||||||||||||||||||
Deposit transactions and cash management | 42 | 30 | |||||||||||||||||||||
Brokerage, management fees and commissions | 20 | 16 | |||||||||||||||||||||
Trust services and investment management | 12 | 7 | |||||||||||||||||||||
Bankcard income | 11 | 7 | |||||||||||||||||||||
Other income | 34 | 16 | |||||||||||||||||||||
Total noninterest income | 298 | 174 | |||||||||||||||||||||
Noninterest expense | |||||||||||||||||||||||
Personnel expense | 318 | 183 | |||||||||||||||||||||
Net occupancy expense | 37 | 20 | |||||||||||||||||||||
Computer software | 28 | 16 | |||||||||||||||||||||
Legal and professional fees | 14 | 9 | |||||||||||||||||||||
Operations services | 16 | 12 | |||||||||||||||||||||
Equipment expense | 11 | 9 | |||||||||||||||||||||
Amortization of intangible assets | 14 | 5 | |||||||||||||||||||||
Other expense | 106 | 48 | |||||||||||||||||||||
Total noninterest expense | 544 | 302 | |||||||||||||||||||||
Income before income taxes | 307 | 21 | |||||||||||||||||||||
Income tax expense | 71 | 5 | |||||||||||||||||||||
Net income | 236 | 16 | |||||||||||||||||||||
Net income attributable to noncontrolling interest | 3 | 3 | |||||||||||||||||||||
Net income attributable to controlling interest | 233 | 13 | |||||||||||||||||||||
Preferred stock dividends | 8 | 1 | |||||||||||||||||||||
Net income available to common shareholders | 225 | 12 | |||||||||||||||||||||
Basic earnings per common share | $ | 0.41 | $ | 0.04 | |||||||||||||||||||
Diluted earnings per common share | $ | 0.40 | $ | 0.04 | |||||||||||||||||||
Weighted average common shares | 552,249 | 311,597 | |||||||||||||||||||||
Diluted average common shares | 557,532 | 313,170 |
FIRST HORIZON CORPORATION | 7 | 1Q21 FORM 10-Q REPORT |
First Horizon National Corporation | |||||||
Three Months Ended March 31 | |||||||
(Dollars in thousands) (Unaudited) | 2020 | 2019 | |||||
Net income/(loss) | $ | 16,472 | $ | 103,405 | |||
Other comprehensive income/(loss), net of tax: | |||||||
Net unrealized gains/(losses) on securities available-for-sale | 88,278 | 48,615 | |||||
Net unrealized gains/(losses) on cash flow hedges | 13,061 | 5,387 | |||||
Net unrealized gains/(losses) on pension and other postretirement plans | 2,105 | 1,463 | |||||
Other comprehensive income/(loss) | 103,444 | 55,465 | |||||
Comprehensive income | 119,916 | 158,870 | |||||
Comprehensive income attributable to noncontrolling interest | 2,852 | 2,820 | |||||
Comprehensive income attributable to controlling interest | $ | 117,064 | $ | 156,050 | |||
Income tax expense/(benefit) of items included in Other comprehensive income: | |||||||
Net unrealized gains/(losses) on securities available-for-sale | $ | 28,787 | $ | 15,958 | |||
Net unrealized gains/(losses) on cash flow hedges | 4,260 | 1,768 | |||||
Net unrealized gains/(losses) on pension and other postretirement plans | 686 | 480 |
Three Months Ended March 31, | |||||||||||||||||||||||
(Dollars in millions) (Unaudited) | 2021 | 2020 | |||||||||||||||||||||
Net income | $ | 236 | $ | 16 | |||||||||||||||||||
Other comprehensive income (loss), net of tax: | |||||||||||||||||||||||
Net unrealized gains (losses) on securities available for sale | (103) | 89 | |||||||||||||||||||||
Net unrealized gains (losses) on cash flow hedges | (2) | 13 | |||||||||||||||||||||
Net unrealized gains (losses) on pension and other postretirement plans | 4 | 2 | |||||||||||||||||||||
Other comprehensive income (loss) | (101) | 104 | |||||||||||||||||||||
Comprehensive income | 135 | 120 | |||||||||||||||||||||
Comprehensive income attributable to noncontrolling interest | 3 | 3 | |||||||||||||||||||||
Comprehensive income attributable to controlling interest | $ | 132 | $ | 117 | |||||||||||||||||||
Income tax expense (benefit) of items included in Other comprehensive income: | |||||||||||||||||||||||
Net unrealized gains (losses) on securities available for sale | $ | (33) | $ | 29 | |||||||||||||||||||
Net unrealized gains (losses) on cash flow hedges | (1) | 4 | |||||||||||||||||||||
Net unrealized gains (losses) on pension and other postretirement plans | 1 | 1 |
First Horizon National Corporation | |||||||||||||||||||||||||||||||
Three months ended March 31, 2020 | |||||||||||||||||||||||||||||||
(Dollars and shares in thousands, except per share data) (unaudited) | Common Shares | Total | Preferred Stock | Common Stock | Capital Surplus | Undivided Profits | Accumulated Other Comprehensive Income/(Loss) (a) | Noncontrolling Interest | |||||||||||||||||||||||
Balance, December 31, 2019 | 311,469 | $ | 5,076,008 | $ | 95,624 | $ | 194,668 | $ | 2,931,451 | $ | 1,798,442 | $ | (239,608 | ) | $ | 295,431 | |||||||||||||||
Adjustment to reflect adoption of ASU 2016-13 | — | (96,057 | ) | — | — | — | (96,057 | ) | — | — | |||||||||||||||||||||
Beginning balance, as adjusted | 311,469 | 4,979,951 | 95,624 | 194,668 | 2,931,451 | 1,702,385 | (239,608 | ) | 295,431 | ||||||||||||||||||||||
Net income/(loss) | — | 16,472 | — | — | — | 13,620 | — | 2,852 | |||||||||||||||||||||||
Other comprehensive income/(loss) | — | 103,444 | — | — | — | — | 103,444 | — | |||||||||||||||||||||||
Comprehensive income/(loss) | — | 119,916 | — | — | — | 13,620 | 103,444 | 2,852 | |||||||||||||||||||||||
Cash dividends declared: | |||||||||||||||||||||||||||||||
Preferred stock ($1,550 per share) | — | (1,550 | ) | — | — | — | (1,550 | ) | — | — | |||||||||||||||||||||
Common stock ($.15 per share) | — | (47,350 | ) | — | — | — | (47,350 | ) | — | — | |||||||||||||||||||||
Common stock repurchased | (141 | ) | (2,064 | ) | — | (88 | ) | (1,976 | ) | — | — | — | |||||||||||||||||||
Common stock issued for: | |||||||||||||||||||||||||||||||
Stock options and restricted stock - equity awards | 652 | 4,140 | — | 407 | 3,733 | — | — | — | |||||||||||||||||||||||
Stock-based compensation expense | — | 7,281 | — | — | 7,281 | — | — | — | |||||||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | (2,852 | ) | — | — | — | — | — | (2,852 | ) | |||||||||||||||||||||
Other (b) | (117 | ) | (1,892 | ) | — | (73 | ) | (1,819 | ) | — | — | — | |||||||||||||||||||
Balance, March 31, 2020 | 311,863 | $ | 5,055,580 | $ | 95,624 | $ | 194,914 | $ | 2,938,670 | $ | 1,667,105 | $ | (136,164 | ) | $ | 295,431 |
1Q21 FORM 10-Q REPORT |
Three months ended March 31, 2019 | |||||||||||||||||||||||||||||||
(Dollars and shares in thousands, except per share data) (unaudited) | Common Shares | Total | Preferred Stock | Common Stock | Capital Surplus | Undivided Profits | Accumulated Other Comprehensive Income/(Loss) (a) | Noncontrolling Interest | |||||||||||||||||||||||
Balance, December 31, 2018 | 318,573 | $ | 4,785,380 | $ | 95,624 | $ | 199,108 | $ | 3,029,425 | $ | 1,542,408 | $ | (376,616 | ) | $ | 295,431 | |||||||||||||||
Adjustment to reflect adoption of ASU 2016-02 | — | (1,011 | ) | — | — | — | (1,011 | ) | — | — | |||||||||||||||||||||
Beginning balance, as adjusted | 318,573 | 4,784,369 | 95,624 | 199,108 | 3,029,425 | 1,541,397 | (376,616 | ) | 295,431 | ||||||||||||||||||||||
Net income/(loss) | — | 103,405 | — | — | — | 100,585 | — | 2,820 | |||||||||||||||||||||||
Other comprehensive income/(loss) | — | 55,465 | — | — | — | — | 55,465 | — | |||||||||||||||||||||||
Comprehensive income/(loss) | — | 158,870 | — | — | — | 100,585 | 55,465 | 2,820 | |||||||||||||||||||||||
Cash dividends declared: | |||||||||||||||||||||||||||||||
Preferred stock ($1,550 per share) | — | (1,550 | ) | — | — | — | (1,550 | ) | — | — | |||||||||||||||||||||
Common stock ($.14 per share) | — | (44,864 | ) | — | — | — | (44,864 | ) | — | — | |||||||||||||||||||||
Common stock repurchased (b) | (3,594 | ) | (53,436 | ) | — | (2,246 | ) | (51,190 | ) | — | — | — | |||||||||||||||||||
Common stock issued for: | |||||||||||||||||||||||||||||||
Stock options and restricted stock - equity awards | 382 | 520 | — | 239 | 281 | — | — | — | |||||||||||||||||||||||
Stock-based compensation expense | — | 5,432 | — | — | 5,432 | — | — | — | |||||||||||||||||||||||
Dividends declared - noncontrolling interest of subsidiary preferred stock | — | (2,820 | ) | — | — | — | — | — | (2,820 | ) | |||||||||||||||||||||
Balance, March 31, 2019 | 315,361 | $ | 4,846,521 | $ | 95,624 | $ | 197,101 | $ | 2,983,948 | $ | 1,595,568 | $ | (321,151 | ) | $ | 295,431 |
First Horizon National Corporation | ||||||||
Three months ended March 31 | ||||||||
(Dollars in thousands) (Unaudited) | 2020 | 2019 | ||||||
Operating Activities | ||||||||
Net income/(loss) | $ | 16,472 | $ | 103,405 | ||||
Adjustments to reconcile net income/(loss) to net cash provided/(used) by operating activities: | ||||||||
Provision/(provision credit) for loan losses | 145,000 | 9,000 | ||||||
Provision/(benefit) for deferred income taxes | (18,600 | ) | 7,238 | |||||
Depreciation and amortization of premises and equipment | 10,516 | 11,400 | ||||||
Amortization of intangible assets | 5,308 | 6,216 | ||||||
Net other amortization and accretion | 3,664 | 1,257 | ||||||
Net (increase)/decrease in derivatives | (323,845 | ) | (51,821 | ) | ||||
Fair value adjustment on interest-only strips | 1,295 | 1,258 | ||||||
(Gains)/losses and write-downs on OREO, net | (68 | ) | (290 | ) | ||||
Stock-based compensation expense | 7,281 | 5,432 | ||||||
Equity securities (gains)/losses, net | (25 | ) | (31 | ) | ||||
Net (gains)/losses on sale/disposal of fixed assets | 458 | (42 | ) | |||||
(Gain)/loss on BOLI | 366 | (1,032 | ) | |||||
Loans held-for-sale: | ||||||||
Purchases and originations | (587,593 | ) | (513,788 | ) | ||||
Gross proceeds from settlements and sales | 180,810 | 135,855 | ||||||
(Gain)/loss due to fair value adjustments and other | (1,129 | ) | 19,291 | |||||
Net (increase)/decrease in: | ||||||||
Trading securities | (133,755 | ) | 192,101 | |||||
Fixed income receivables | (140,455 | ) | (7,921 | ) | ||||
Interest receivable | (1,089 | ) | (5,970 | ) | ||||
Other assets | (477,645 | ) | 56,985 | |||||
Net increase/(decrease) in: | ||||||||
Trading liabilities | (52,970 | ) | 94,289 | |||||
Fixed income payables | 41,739 | 90,718 | ||||||
Interest payable | (8,882 | ) | 16,570 | |||||
Other liabilities | (66,858 | ) | (47,631 | ) | ||||
Total adjustments | (1,416,477 | ) | 19,084 | |||||
Net cash provided/(used) by operating activities | (1,400,005 | ) | 122,489 | |||||
Investing Activities | ||||||||
Available-for-sale securities: | ||||||||
Sales | 8,703 | 13,012 | ||||||
Maturities | 224,406 | 157,502 | ||||||
Purchases | (213,950 | ) | (83,512 | ) | ||||
Premises and equipment: | ||||||||
Sales | 2,185 | 4,080 | ||||||
Purchases | (7,603 | ) | (6,995 | ) | ||||
Proceeds from sales of OREO | 3,185 | 3,791 | ||||||
Proceeds from BOLI | 1,610 | 3,208 | ||||||
Net (increase)/decrease in: | ||||||||
Loans | (2,312,423 | ) | (448,321 | ) | ||||
Interests retained from securitizations classified as trading securities | 64 | 148 | ||||||
Interest-bearing cash | (188,120 | ) | 264,357 | |||||
Net cash provided/(used) by investing activities | (2,481,943 | ) | (92,730 | ) | ||||
Financing Activities | ||||||||
Common stock: | ||||||||
Stock options exercised | 4,144 | 520 | ||||||
Cash dividends paid | (44,077 | ) | (38,759 | ) | ||||
Repurchase of shares (a) | (2,064 | ) | (53,436 | ) | ||||
Cancellation of common shares (b) | (1,892 | ) | — | |||||
Cash dividends paid - preferred stock - noncontrolling interest | (2,883 | ) | (2,883 | ) | ||||
Cash dividends paid - Series A preferred stock | (1,550 | ) | (1,550 | ) | ||||
Term borrowings: | ||||||||
Payments/maturities | — | (1,179 | ) | |||||
Increases in restricted and secured term borrowings | (3,656 | ) | 3,120 |
Net increase/(decrease) in: | ||||||||
Deposits | 1,990,115 | (220,104 | ) | |||||
Short-term borrowings | 1,806,967 | 92,057 | ||||||
Net cash provided/(used) by financing activities | 3,745,104 | (222,214 | ) | |||||
Net increase/(decrease) in cash and cash equivalents | (136,844 | ) | (192,455 | ) | ||||
Cash and cash equivalents at beginning of period | 1,266,893 | 1,405,325 | ||||||
Cash and cash equivalents at end of period | $ | 1,130,049 | $ | 1,212,870 | ||||
Supplemental Disclosures | ||||||||
Total interest paid | $ | 83,866 | $ | 88,774 | ||||
Total taxes paid | 5,240 | 1,008 | ||||||
Total taxes refunded | 2 | 27,522 | ||||||
Transfer from loans to OREO | 1,116 | 1,607 | ||||||
Transfer from loans HFS to trading securities | 397,616 | 425,808 |
Three months ended March 31, 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 | ||||||||||||||||||||||||||||||||||||||||
Three months ended March 31, 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 | ||||||||||||||||||||||||||||||||||||||||
FIRST HORIZON CORPORATION | 9 | 1Q21 FORM 10-Q REPORT |
Three months ended March 31, | ||||||||||||||
(Dollars in millions) (Unaudited) | 2021 | 2020 | ||||||||||||
Operating Activities | ||||||||||||||
Net income | $ | 236 | $ | 16 | ||||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||||||||
Provision (provision credit) for credit losses | (45) | 154 | ||||||||||||
Deferred income tax expense (benefit) | (3) | (19) | ||||||||||||
Depreciation and amortization of premises and equipment | 16 | 11 | ||||||||||||
Amortization of intangible assets | 14 | 5 | ||||||||||||
Net other amortization and accretion | (14) | 4 | ||||||||||||
Net (increase) decrease in derivatives | 322 | (324) | ||||||||||||
Stock-based compensation expense | 10 | 7 | ||||||||||||
Net (gains) losses on sale/disposal of fixed assets | 34 | 0 | ||||||||||||
Loans held for sale: | ||||||||||||||
Purchases and originations | (943) | (588) | ||||||||||||
Gross proceeds from settlements and sales | 683 | 181 | ||||||||||||
(Gain) loss due to fair value adjustments and other | (35) | (1) | ||||||||||||
Other operating activities, net | 789 | (846) | ||||||||||||
Total adjustments | 828 | (1,416) | ||||||||||||
Net cash provided by (used in) operating activities | 1,064 | (1,400) | ||||||||||||
Investing Activities | ||||||||||||||
Proceeds from sales of securities available for sale | 26 | 9 | ||||||||||||
Proceeds from maturities of securities available for sale | 591 | 224 | ||||||||||||
Purchases of securities available for sale | (1,065) | (214) | ||||||||||||
Proceeds from sales of premises and equipment | 1 | 2 | ||||||||||||
Purchases of premises and equipment | (10) | (8) | ||||||||||||
Proceeds from BOLI | 1 | 2 | ||||||||||||
Net increase in loans and leases | (338) | (2,312) | ||||||||||||
Net increase in interest-bearing deposits with banks | (3,284) | (188) | ||||||||||||
Other investing activities, net | 6 | 3 | ||||||||||||
Net cash used in investing activities | (4,072) | (2,482) | ||||||||||||
Financing Activities | ||||||||||||||
Common stock: | ||||||||||||||
Stock options exercised | 12 | 4 | ||||||||||||
Cash dividends paid | (84) | (44) | ||||||||||||
Repurchase of shares | (62) | (2) | ||||||||||||
Cancellation of common shares | 0 | (2) | ||||||||||||
Cash dividends paid - preferred stock - noncontrolling interest | (3) | (3) | ||||||||||||
Cash dividends paid - preferred stock | (8) | (2) | ||||||||||||
Net increase in deposits | 3,190 | 1,990 | ||||||||||||
Net increase in short-term borrowings | 4 | 1,807 | ||||||||||||
Increases (decreases) in restricted and secured term borrowings | 0 | (3) | ||||||||||||
Net cash provided by financing activities | 3,049 | 3,745 | ||||||||||||
Net increase (decrease) in cash and cash equivalents | 41 | (137) | ||||||||||||
Cash and cash equivalents at beginning of period | 1,648 | 1,267 | ||||||||||||
Cash and cash equivalents at end of period | $ | 1,689 | $ | 1,130 | ||||||||||
Supplemental Disclosures | ||||||||||||||
Total interest paid | $ | 39 | $ | 84 | ||||||||||
Total taxes paid | 2 | 5 | ||||||||||||
Total taxes refunded | 4 | 0 | ||||||||||||
Transfer from loans to OREO | 0 | 1 | ||||||||||||
Transfer from loans HFS to trading securities | 498 | 398 | ||||||||||||
Transfer from loans to loans HFS | (3) | 0 |
FIRST HORIZON CORPORATION | 10 | 1Q21 FORM 10-Q REPORT |
(Dollars in thousands) | January 1, 2020 | |||||
Loans, net of unearned income (a) | $ | 2,980 | ||||
Allowance for loan losses | (106,394 | ) | ||||
Other assets (deferred taxes) | 31,330 | |||||
Total assets | $ | (72,084 | ) | |||
Other liabilities (unfunded commitments) | $ | 23,973 | ||||
Undivided profits | (96,057 | ) | ||||
Total liabilities and equity | $ | (72,084 | ) |
FIRST HORIZON CORPORATION | 11 | 1Q21 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 | 1,156 | |||||||||||||||||||
Total assets acquired | $ | 33,295 | ||||||||||||||||||
Liabilities: | ||||||||||||||||||||
Deposits | $ | 28,232 | ||||||||||||||||||
Short-term borrowings | 209 | |||||||||||||||||||
Term borrowings | 1,200 | |||||||||||||||||||
Other liabilities | 618 | |||||||||||||||||||
Total liabilities assumed | $ | 30,259 | ||||||||||||||||||
Net assets acquired | $ | 3,036 | ||||||||||||||||||
Consideration paid: | ||||||||||||||||||||
Consideration for outstanding common stock | $ | 2,243 | ||||||||||||||||||
Consideration for equity awards | 28 | |||||||||||||||||||
Consideration for preferred stock | 231 | |||||||||||||||||||
Total consideration paid | $ | 2,502 | ||||||||||||||||||
Preliminary purchase accounting gain | $ | (534) |
FIRST HORIZON CORPORATION | 12 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31 | ||||
(Dollars in thousands) | 2020 | |||
Professional fees (a) | $ | 662 | ||
Employee compensation, incentives and benefits (b) | 689 | |||
Miscellaneous expense (c) | 254 | |||
Total IBKC acquisition expense | $ | 1,605 |
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Professional fees (a) | $ | 799 | $ | 1,867 | ||||
Employee compensation, incentives and benefits (b) | 396 | 1,517 | ||||||
Contract employment and outsourcing (c) | 306 | — | ||||||
Occupancy (d) | (25 | ) | 118 | |||||
Miscellaneous expense (e) | 822 | 1,069 | ||||||
All other expense (f) | 1,874 | 1,089 | ||||||
Total | $ | 4,172 | $ | 5,660 |
Three Months Ended March 31, | ||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | ||||||||||||||||||||||||
Personnel expense (a) | $ | 21 | $ | 1 | ||||||||||||||||||||||
Legal and professional fees (b) | 3 | 2 | ||||||||||||||||||||||||
Net occupancy expense (c) | 3 | 0 | ||||||||||||||||||||||||
Other expense (d) | 43 | 3 | ||||||||||||||||||||||||
Total | $ | 70 | $ | 6 |
FIRST HORIZON CORPORATION | 13 | 1Q21 FORM 10-Q REPORT |
March 31, 2020 | ||||||||||||||||
(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”) | 2,303,720 | 98,797 | — | 2,402,517 | ||||||||||||
Government agency issued collateralized mortgage obligations (“CMO”) | 1,578,623 | 48,320 | — | 1,626,943 | ||||||||||||
Other U.S. government agencies | 366,453 | 7,268 | (1,224 | ) | 372,497 | |||||||||||
Corporates and other debt | 40,000 | 621 | — | 40,621 | ||||||||||||
States and municipalities | 74,578 | 4,572 | (25 | ) | 79,125 | |||||||||||
$ | 4,363,474 | $ | 159,578 | $ | (1,249 | ) | 4,521,803 | |||||||||
AFS debt securities recorded at fair value through earnings: | ||||||||||||||||
SBA-interest only strips (a) | 23,104 | |||||||||||||||
Total securities available-for-sale (b) | $ | 4,544,907 | ||||||||||||||
Securities held-to-maturity: | ||||||||||||||||
Corporates and other debt | $ | 10,000 | $ | — | $ | (176 | ) | $ | 9,824 | |||||||
Total securities held-to-maturity | $ | 10,000 | $ | — | $ | (176 | ) | $ | 9,824 |
March 31, 2021 | ||||||||||||||||||||||||||
(Dollars in millions) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||||||||||||
Securities available for sale: | ||||||||||||||||||||||||||
U.S. treasuries | $ | 610 | $ | 0 | $ | 0 | $ | 610 | ||||||||||||||||||
Government agency issued MBS | 4,009 | 68 | (39) | 4,038 | ||||||||||||||||||||||
Government agency issued CMO | 2,463 | 19 | (41) | 2,441 | ||||||||||||||||||||||
Other U.S. government agencies | 733 | 5 | (13) | 725 | ||||||||||||||||||||||
Corporate and other debt | 40 | 0 | 0 | 40 | ||||||||||||||||||||||
States and municipalities | 467 | 9 | (1) | 475 | ||||||||||||||||||||||
$ | 8,322 | $ | 101 | $ | (94) | 8,329 | ||||||||||||||||||||
AFS securities recorded at fair value through earnings: | ||||||||||||||||||||||||||
SBA-interest only strips (a) | 22 | |||||||||||||||||||||||||
Total securities available for sale (b) | $ | 8,351 |
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 |
1Q21 FORM 10-Q REPORT |
December 31, 2019 | ||||||||||||||||
(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 | 2,316,381 | 34,692 | (2,556 | ) | 2,348,517 | |||||||||||
Government agency issued CMO | 1,667,773 | 9,916 | (7,197 | ) | 1,670,492 | |||||||||||
Other U.S. government agencies | 303,463 | 3,750 | (1,121 | ) | 306,092 | |||||||||||
Corporates and other debt | 40,054 | 486 | — | 40,540 | ||||||||||||
States and municipalities | 57,232 | 3,324 | (30 | ) | 60,526 | |||||||||||
$ | 4,385,003 | $ | 52,168 | $ | (10,904 | ) | 4,426,267 | |||||||||
AFS debt securities recorded at fair value through earnings: | ||||||||||||||||
SBA-interest only strips (a) | 19,136 | |||||||||||||||
Total securities available-for-sale (b) | $ | 4,445,403 | ||||||||||||||
Securities held-to-maturity: | ||||||||||||||||
Corporates and other debt | $ | 10,000 | $ | 1 | $ | — | $ | 10,001 | ||||||||
Total securities held-to-maturity | $ | 10,000 | $ | 1 | $ | — | $ | 10,001 |
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 | $ | — | $ | — | $ | 54,958 | $ | 55,730 | Within 1 year | $ | 758 | $ | 759 | ||||||||||||||||||||
After 1 year; within 5 years | — | — | 189,021 | 195,624 | |||||||||||||||||||||||||||||
After 5 years; within 10 years | 10,000 | 9,824 | 3,581 | 8,480 | |||||||||||||||||||||||||||||
After 1 year through 5 years | After 1 year through 5 years | 146 | 148 | ||||||||||||||||||||||||||||||
After 5 years through 10 years | After 5 years through 10 years | 345 | 348 | ||||||||||||||||||||||||||||||
After 10 years | — | — | 233,571 | 255,613 | After 10 years | 601 | 617 | ||||||||||||||||||||||||||
Subtotal | 10,000 | 9,824 | 481,131 | 515,447 | Subtotal | 1,850 | 1,872 | ||||||||||||||||||||||||||
Government agency issued MBS and CMO (a) | — | — | 3,882,343 | 4,029,460 | Government agency issued MBS and CMO (a) | 6,472 | 6,479 | ||||||||||||||||||||||||||
Total | $ | 10,000 | $ | 9,824 | $ | 4,363,474 | $ | 4,544,907 | Total | $ | 8,322 | $ | 8,351 |
Three Months Ended March 31 | |||||||
(Dollars in thousands) | 2020 | 2019 | |||||
Gross gains on sales of securities | $ | — | $ | — | |||
Gross (losses) on sales of securities | — | — | |||||
Net gain/(loss) on sales of securities (a) | $ | — | $ | — |
As of March 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
As of March 31, 2020 | Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | (Dollars in millions) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
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 MBS | Government agency issued MBS | $ | 1,772 | $ | (39) | $ | 0 | $ | 0 | $ | 1,772 | $ | (39) | |||||||||||||||||||||||||||||||||||||||||||||||||
Government agency issued CMO | Government agency issued CMO | 1,508 | (41) | 0 | 0 | 1,508 | (41) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other U.S. government agencies | $ | 88,334 | $ | (1,224 | ) | $ | — | $ | — | $ | 88,334 | $ | (1,224 | ) | Other U.S. government agencies | 405 | (13) | 0 | 0 | 405 | (13) | |||||||||||||||||||||||||||||||||||||||||
States and municipalities | 1,466 | (25 | ) | — | — | 1,466 | (25 | ) | States and municipalities | 82 | (1) | 0 | 0 | 82 | (1) | |||||||||||||||||||||||||||||||||||||||||||||||
Total temporarily impaired securities | $ | 89,800 | $ | (1,249 | ) | $ | — | $ | — | $ | 89,800 | $ | (1,249 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total | Total | $ | 3,767 | $ | (94) | $ | 0 | $ | 0 | $ | 3,767 | $ | (94) |
As of December 31, 2019 | ||||||||||||||||||||||||
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 MBS | $ | 174,983 | $ | (495 | ) | $ | 192,755 | $ | (2,061 | ) | $ | 367,738 | $ | (2,556 | ) | |||||||||
Government agency issued CMO | 378,815 | (1,970 | ) | 361,124 | (5,227 | ) | 739,939 | (7,197 | ) | |||||||||||||||
Other U.S. government agencies | 98,471 | (1,121 | ) | — | — | 98,471 | (1,121 | ) | ||||||||||||||||
States and municipalities | 3,551 | (30 | ) | — | — | 3,551 | (30 | ) | ||||||||||||||||
Total temporarily impaired securities | $ | 655,820 | $ | (3,616 | ) | $ | 553,979 | $ | (7,288 | ) | $ | 1,209,799 | $ | (10,904 | ) |
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) |
FIRST HORIZON CORPORATION | 15 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 16 | 1Q21 FORM 10-Q REPORT |
March 31 | December 31 | |||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Commercial: | ||||||||
Commercial, financial, and industrial | $ | 22,124,430 | $ | 20,051,091 | ||||
Commercial real estate | 4,639,692 | 4,337,017 | ||||||
Consumer: | ||||||||
Consumer real estate (a) | 6,119,383 | 6,177,139 | ||||||
Credit card & other | 494,798 | 495,864 | ||||||
Loans, net of unearned income | $ | 33,378,303 | $ | 31,061,111 | ||||
Allowance for loan losses | 444,490 | 200,307 | ||||||
Total net loans | $ | 32,933,813 | $ | 30,860,804 |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||||||||
Commercial: | ||||||||||||||||||||
Commercial and industrial (a) (b) | $ | 28,421 | $ | 27,700 | ||||||||||||||||
Loans to mortgage companies | 5,530 | 5,404 | ||||||||||||||||||
Total commercial, financial, and industrial | 33,951 | 33,104 | ||||||||||||||||||
Commercial real estate | 12,470 | 12,275 | ||||||||||||||||||
Consumer: | ||||||||||||||||||||
HELOC | 2,270 | 2,420 | ||||||||||||||||||
Real estate installment loans | 8,783 | 9,305 | ||||||||||||||||||
Total consumer real estate | 11,053 | 11,725 | ||||||||||||||||||
Credit card and other | 1,126 | 1,128 | ||||||||||||||||||
Loans and leases | $ | 58,600 | $ | 58,232 | ||||||||||||||||
Allowance for loan and lease losses | (914) | (963) | ||||||||||||||||||
Net loans and leases | $ | 57,686 | $ | 57,269 |
FIRST HORIZON CORPORATION | 17 | 1Q21 FORM 10-Q REPORT |
March 31, 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) | $ | 2,368 | $ | 7,915 | $ | 4,572 | $ | 2,174 | $ | 1,600 | $ | 3,038 | $ | 5,530 | $ | 5,535 | $ | 14 | $ | 32,746 | ||||||||||||||||||||||||||||||||||||||||||
Special Mention (PD grade 13) | 5 | 68 | 65 | 51 | 28 | 81 | 0 | 189 | 7 | 494 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard, Doubtful, or Loss (PD grades 14,15, and 16) | 35 | 148 | 80 | 124 | 35 | 94 | 0 | 148 | 47 | 711 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total C&I loans | $ | 2,408 | $ | 8,131 | $ | 4,717 | $ | 2,349 | $ | 1,663 | $ | 3,213 | $ | 5,530 | $ | 5,872 | $ | 68 | $ | 33,951 |
C&I | ||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2020 | 2019 | 2018 | 2017 | 2016 | prior to 2016 (a) | LMC (b) | Revolving Loans | Revolving Loans converted to term loans (c) | Total | ||||||||||||||||||||||||||||||
PD Grade: | ||||||||||||||||||||||||||||||||||||||||
1 | $ | 27,293 | $ | 100,359 | $ | 125,095 | $ | 81,397 | $ | 112,175 | $ | 117,965 | $ | — | $ | 156,041 | $ | 223 | $ | 720,548 | ||||||||||||||||||||
2 | 33,244 | 239,750 | 95,269 | 81,542 | 176,068 | 112,586 | — | 108,408 | 51 | 846,918 | ||||||||||||||||||||||||||||||
3 | 15,083 | 165,433 | 52,645 | 96,725 | 65,932 | 119,415 | 1,028,798 | 219,037 | 14,042 | 1,777,110 | ||||||||||||||||||||||||||||||
4 | 144,129 | 318,374 | 155,173 | 140,516 | 158,705 | 149,248 | 958,145 | 372,890 | 277 | 2,397,457 | ||||||||||||||||||||||||||||||
5 | 149,048 | 604,067 | 306,849 | 161,921 | 127,011 | 228,347 | 927,946 | 507,991 | 14,230 | 3,027,410 | ||||||||||||||||||||||||||||||
6 | 187,540 | 713,579 | 244,128 | 241,828 | 107,498 | 201,660 | 1,740,304 | 801,860 | 16,485 | 4,254,882 | ||||||||||||||||||||||||||||||
7 | 270,190 | 903,326 | 395,680 | 167,749 | 91,881 | 156,238 | 806,853 | 794,174 | 447 | 3,586,538 | ||||||||||||||||||||||||||||||
8 | 224,670 | 626,348 | 217,091 | 178,183 | 33,476 | 115,727 | 140,372 | 495,002 | 7,096 | 2,037,965 | ||||||||||||||||||||||||||||||
9 | 128,773 | 332,262 | 92,720 | 91,648 | 60,522 | 93,750 | 68,707 | 419,388 | 2,055 | 1,289,825 | ||||||||||||||||||||||||||||||
10 | 65,206 | 128,169 | 113,744 | 56,088 | 60,659 | 53,920 | 25,023 | 191,883 | 996 | 695,688 | ||||||||||||||||||||||||||||||
11 | 29,742 | 95,269 | 65,404 | 64,494 | 75,508 | 52,240 | — | 109,709 | 3,618 | 495,984 | ||||||||||||||||||||||||||||||
12 | 25,376 | 36,918 | 46,792 | 41,370 | 19,248 | 28,881 | 17,766 | 114,052 | 1,112 | 331,515 | ||||||||||||||||||||||||||||||
13 | 18,233 | 32,564 | 12,153 | 11,247 | 84,321 | 39,710 | — | 63,993 | 383 | 262,604 | ||||||||||||||||||||||||||||||
14,15,16 | 35,268 | 22,351 | 51,983 | 26,586 | 17,414 | 14,493 | — | 124,557 | 7,242 | 299,894 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 1,353,795 | 4,318,769 | 1,974,726 | 1,441,294 | 1,190,418 | 1,484,180 | 5,713,914 | 4,478,985 | 68,257 | 22,024,338 | ||||||||||||||||||||||||||||||
Individually evaluated for impairment | — | 12,771 | 12,642 | 14,552 | 1,827 | 24,145 | — | 33,988 | 167 | 100,092 | ||||||||||||||||||||||||||||||
Total C&I loans | $ | 1,353,795 | $ | 4,331,540 | $ | 1,987,368 | $ | 1,455,846 | $ | 1,192,245 | $ | 1,508,325 | $ | 5,713,914 | $ | 4,512,973 | $ | 68,424 | $ | 22,124,430 |
1Q21 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 |
March 31, 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) | $ | 514 | $ | 2,346 | $ | 3,350 | $ | 1,612 | $ | 1,024 | $ | 2,652 | $ | 320 | $ | 0 | $ | 11,818 | ||||||||||||||||||||||||||||||||||||||
Special Mention (PD grade 13) | 0 | 74 | 38 | 178 | 77 | 109 | 0 | 0 | 476 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard, Doubtful, or Loss (PD grades 14,15, and 16) | 0 | 18 | 12 | 21 | 43 | 57 | 25 | 0 | 176 | |||||||||||||||||||||||||||||||||||||||||||||||
Total CRE loans | $ | 514 | $ | 2,438 | $ | 3,400 | $ | 1,811 | $ | 1,144 | $ | 2,818 | $ | 345 | $ | 0 | $ | 12,470 | ||||||||||||||||||||||||||||||||||||||
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 |
Income CRE | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2020 | 2019 | 2018 | 2017 | 2016 | prior to 2016 | Revolving Loans | Revolving Loans converted to term loans | Total | |||||||||||||||||||||||||||
PD Grade: | ||||||||||||||||||||||||||||||||||||
1 | $ | 22,307 | $ | — | $ | 398 | $ | — | $ | 130 | $ | 1,102 | $ | — | $ | — | $ | 23,937 | ||||||||||||||||||
2 | 445 | 30,859 | 651 | 333 | 1,211 | 2,410 | — | — | 35,909 | |||||||||||||||||||||||||||
3 | 62,707 | 207,828 | 78,203 | 75,629 | 65,898 | 29,466 | 68,770 | 188 | 588,689 | |||||||||||||||||||||||||||
4 | 65,474 | 287,116 | 98,370 | 122,518 | 75,032 | 63,680 | 934 | 3,234 | 716,358 | |||||||||||||||||||||||||||
5 | 192,596 | 296,099 | 160,253 | 233,104 | 114,572 | 35,705 | 36,944 | 10,729 | 1,080,002 | |||||||||||||||||||||||||||
6 | 81,162 | 215,741 | 143,419 | 143,142 | 34,758 | 133,573 | 33,021 | 195 | 785,011 | |||||||||||||||||||||||||||
7 | 122,282 | 224,637 | 140,601 | 85,853 | 19,369 | 35,968 | 36,633 | 2,432 | 667,775 | |||||||||||||||||||||||||||
8 | 15,635 | 76,102 | 54,998 | 15,421 | 29,382 | 50,736 | 6,239 | 132 | 248,645 | |||||||||||||||||||||||||||
9 | 25,288 | 29,485 | 23,192 | 27,916 | 4,169 | 39,457 | 38 | — | 149,545 | |||||||||||||||||||||||||||
10 | 15,437 | 15,563 | 7,260 | 3,805 | 8,973 | 17,006 | — | 150 | 68,194 | |||||||||||||||||||||||||||
11 | 1,696 | 19,007 | 11,372 | 22,561 | 3,931 | 16,481 | 128 | — | 75,176 | |||||||||||||||||||||||||||
12 | — | 15,050 | 2,445 | 697 | 554 | 10,877 | 71 | 232 | 29,926 | |||||||||||||||||||||||||||
13 | 418 | 9,672 | 913 | 2,185 | 223 | 1,325 | 138 | — | 14,874 | |||||||||||||||||||||||||||
14,15,16 | 7,021 | 19,536 | 45 | 30,449 | 129 | 3,635 | 20,384 | — | 81,199 | |||||||||||||||||||||||||||
Collectively evaluated for impairment | 612,468 | 1,446,695 | 722,120 | 763,613 | 358,331 | 441,421 | 203,300 | 17,292 | 4,565,240 | |||||||||||||||||||||||||||
Individually evaluated for impairment | — | — | — | — | — | 163 | — | — | 163 | |||||||||||||||||||||||||||
Total CRE-IP | $ | 612,468 | $ | 1,446,695 | $ | 722,120 | $ | 763,613 | $ | 358,331 | $ | 441,584 | $ | 203,300 | $ | 17,292 | $ | 4,565,403 |
Residential CRE | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2020 | 2019 | 2018 | 2017 | 2016 | prior to 2016 | Revolving Loans | Revolving Loans converted to term loans | Total | |||||||||||||||||||||||||||
PD Grade: | ||||||||||||||||||||||||||||||||||||
1 | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 23 | $ | — | $ | — | $ | 23 | ||||||||||||||||||
2 | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
3 | — | — | 272 | 175 | — | 106 | — | — | 553 | |||||||||||||||||||||||||||
4 | 95 | 886 | — | 313 | — | 124 | — | — | 1,418 | |||||||||||||||||||||||||||
5 | — | — | — | — | 79 | — | — | — | 79 | |||||||||||||||||||||||||||
6 | 5,568 | 6,252 | 42 | 338 | 44 | 349 | — | — | 12,593 | |||||||||||||||||||||||||||
7 | — | 527 | 2,904 | 1,795 | — | 190 | 21,382 | — | 26,798 | |||||||||||||||||||||||||||
8 | 150 | 312 | 463 | — | — | 153 | 100 | — | 1,178 | |||||||||||||||||||||||||||
9 | — | — | 263 | — | 498 | 79 | — | — | 840 | |||||||||||||||||||||||||||
10 | — | 735 | 266 | — | — | 77 | — | — | 1,078 | |||||||||||||||||||||||||||
11 | 3,517 | 20,693 | 3,471 | 161 | — | 477 | — | — | 28,319 | |||||||||||||||||||||||||||
12 | — | — | — | — | — | 161 | — | — | 161 | |||||||||||||||||||||||||||
13 | 1,006 | — | 45 | — | — | 9 | — | — | 1,060 | |||||||||||||||||||||||||||
14,15,16 | 15 | 28 | — | — | — | 146 | — | — | 189 | |||||||||||||||||||||||||||
Collectively evaluated for impairment | 10,351 | 29,433 | 7,726 | 2,782 | 621 | 1,894 | 21,482 | — | 74,289 | |||||||||||||||||||||||||||
Individually evaluated for impairment | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Total CRE-RES | $ | 10,351 | $ | 29,433 | $ | 7,726 | $ | 2,782 | $ | 621 | $ | 1,894 | $ | 21,482 | $ | — | $ | 74,289 |
FIRST HORIZON CORPORATION | 19 | 1Q21 FORM 10-Q REPORT |
December 31, 2019 | |||||||||||||||||||||||||||||||
(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 | $ | 696,040 | $ | — | $ | — | $ | 1,848 | $ | — | $ | 697,888 | 3 | % | $ | 69 | |||||||||||||||
2 | 767,048 | — | — | 48,906 | 38 | 815,992 | 4 | 165 | |||||||||||||||||||||||
3 | 743,123 | 877,210 | 3,314 | 474,067 | 806 | 2,098,520 | 9 | 274 | |||||||||||||||||||||||
4 | 1,237,772 | 692,971 | 46,375 | 680,223 | 477 | 2,657,818 | 11 | 738 | |||||||||||||||||||||||
5 | 1,986,761 | 670,402 | 72,512 | 993,628 | 1,700 | 3,725,003 | 15 | 8,265 | |||||||||||||||||||||||
6 | 2,511,290 | 1,410,387 | 27,263 | 717,062 | 17,027 | 4,683,029 | 19 | 12,054 | |||||||||||||||||||||||
7 | 2,708,707 | 509,616 | 18,378 | 641,345 | 30,925 | 3,908,971 | 16 | 20,409 | |||||||||||||||||||||||
8 | 1,743,364 | 136,771 | — | 269,407 | 16,699 | 2,166,241 | 9 | 22,514 | |||||||||||||||||||||||
9 | 1,101,873 | 77,139 | 31,909 | 169,586 | 13,007 | 1,393,514 | 6 | 17,484 | |||||||||||||||||||||||
10 | 563,635 | 21,229 | 18,536 | 59,592 | 2,153 | 665,145 | 3 | 10,197 | |||||||||||||||||||||||
11 | 495,140 | — | — | 81,682 | 2,302 | 579,124 | 2 | 13,454 | |||||||||||||||||||||||
12 | 262,906 | 15,158 | — | 28,807 | 1,074 | 307,945 | 1 | 8,471 | |||||||||||||||||||||||
13 | 232,823 | — | — | 32,966 | 1,126 | 266,915 | 1 | 8,142 | |||||||||||||||||||||||
14,15,16 | 263,076 | — | — | 43,400 | 626 | 307,102 | 1 | 29,318 | |||||||||||||||||||||||
Collectively evaluated for impairment | 15,313,558 | 4,410,883 | 218,287 | 4,242,519 | 87,960 | 24,273,207 | 100 | 151,554 | |||||||||||||||||||||||
Individually evaluated for impairment | 82,438 | — | — | 1,563 | — | 84,001 | — | 6,196 | |||||||||||||||||||||||
Purchased credit-impaired loans | 25,925 | — | — | 4,155 | 820 | 30,900 | — | 848 | |||||||||||||||||||||||
Total commercial loans | $ | 15,421,921 | $ | 4,410,883 | $ | 218,287 | $ | 4,248,237 | $ | 88,780 | $ | 24,388,108 | 100 | % | $ | 158,598 |
March 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer Real Estate | Consumer Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2020 | 2019 | 2018 | 2017 | 2016 | Prior to 2016 | Revolving Loans | Revolving Loans converted to term loans (a) | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | (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 | $ | 134,032 | $ | 586,720 | $ | 451,497 | $ | 438,007 | $ | 541,683 | $ | 1,346,587 | $ | 646,462 | $ | 142,848 | $ | 4,287,836 | FICO score 740 or greater | $ | 131 | $ | 1,195 | $ | 1,060 | $ | 613 | $ | 529 | $ | 2,230 | $ | 1,200 | $ | 150 | $ | 7,108 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 720-739 | 25,129 | 80,851 | 50,344 | 42,134 | 78,632 | 135,173 | 75,392 | 31,629 | 519,284 | FICO score 720-739 | 8 | 163 | 142 | 91 | 69 | 249 | 179 | 27 | 928 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 700-719 | 10,325 | 63,306 | 32,469 | 36,606 | 35,111 | 130,881 | 58,913 | 29,201 | 396,812 | FICO score 700-719 | 15 | 129 | 103 | 75 | 72 | 267 | 173 | 31 | 865 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 660-699 | 27,489 | 54,870 | 38,198 | 33,127 | 45,329 | 175,873 | 80,018 | 54,440 | 509,344 | FICO score 660-699 | 13 | 121 | 120 | 115 | 69 | 329 | 238 | 53 | 1,058 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 620-659 | 1,026 | 21,260 | 9,708 | 11,482 | 16,651 | 72,843 | 28,433 | 31,527 | 192,930 | FICO score 620-659 | 1 | 40 | 57 | 31 | 21 | 134 | 83 | 35 | 402 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score less than 620 | 339 | 12,792 | 9,706 | 11,477 | 12,671 | 91,003 | 26,318 | 48,871 | 213,177 | FICO score less than 620 | 108 | 58 | 32 | 41 | 50 | 302 | 56 | 45 | 692 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 198,340 | $ | 819,799 | $ | 591,922 | $ | 572,833 | $ | 730,077 | $ | 1,952,360 | $ | 915,536 | $ | 338,516 | $ | 6,119,383 | Total | $ | 276 | $ | 1,706 | $ | 1,514 | $ | 966 | $ | 810 | $ | 3,511 | $ | 1,929 | $ | 341 | $ | 11,053 |
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 |
FIRST HORIZON CORPORATION | 20 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Consumer | Credit Card and Other | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2020 | 2019 | 2018 | 2017 | 2016 | Prior to 2016 | Revolving Loans | Revolving Loans converted to term loans (a) | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | (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 | $ | 9,410 | $ | 41,336 | $ | 24,423 | $ | 12,035 | $ | 5,338 | $ | 21,272 | $ | 176,917 | $ | 3,293 | $ | 294,024 | FICO score 740 or greater | $ | 13 | $ | 51 | $ | 43 | $ | 53 | $ | 32 | $ | 119 | $ | 279 | $ | 6 | $ | 596 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 720-739 | 1,509 | 6,235 | 3,799 | 1,911 | 1,054 | 2,954 | 36,173 | 709 | 54,344 | FICO score 720-739 | 2 | 8 | 7 | 6 | 7 | 30 | 36 | 2 | 98 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 700-719 | 2,236 | 5,986 | 2,551 | 2,103 | 924 | 2,674 | 23,185 | 934 | 40,593 | FICO score 700-719 | 3 | 8 | 7 | 8 | 6 | 38 | 35 | 2 | 107 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 660-699 | 3,219 | 8,803 | 4,355 | 3,221 | 1,524 | 4,041 | 32,282 | 1,700 | 59,145 | FICO score 660-699 | 2 | 29 | 10 | 14 | 8 | 52 | 41 | 3 | 159 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score 620-659 | 449 | 2,760 | 1,945 | 912 | 1,196 | 2,213 | 13,020 | 632 | 23,127 | FICO score 620-659 | 1 | 4 | 4 | 6 | 4 | 31 | 19 | 1 | 70 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FICO score less than 620 | 279 | 1,458 | 1,190 | 752 | 3,034 | 4,573 | 10,781 | 1,498 | 23,565 | FICO score less than 620 | 11 | 9 | 6 | 7 | 10 | 30 | 21 | 2 | 96 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 17,102 | $ | 66,578 | $ | 38,263 | $ | 20,934 | $ | 13,070 | $ | 37,727 | $ | 292,358 | $ | 8,766 | $ | 494,798 | Total | $ | 32 | $ | 109 | $ | 77 | $ | 94 | $ | 67 | $ | 300 | $ | 431 | $ | 16 | $ | 1,126 |
December 31, 2019 | ||||||
(Dollars in thousands) | HELOC | R/E Installment Loans (b) | ||||
FICO score 740 or greater | 62.0 | % | 71.9 | % | ||
FICO score 720-739 | 8.6 | 8.3 | ||||
FICO score 700-719 | 7.6 | 6.3 | ||||
FICO score 660-699 | 10.8 | 8.1 | ||||
FICO score 620-659 | 4.7 | 2.8 | ||||
FICO score less than 620 (a) | 6.3 | 2.6 | ||||
Total | 100.0 | % | 100.0 | % |
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 | 21 | 1Q21 FORM 10-Q REPORT |
March 31, 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 | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C&I (a) (b) | $ | 28,251 | $ | 26 | $ | 0 | $ | 28,277 | $ | 102 | $ | 7 | $ | 35 | $ | 144 | $ | 28,421 | ||||||||||||||||||||||||||||||||||||||
Loans to mortgage companies | 5,530 | 0 | 0 | 5,530 | 0 | 0 | 0 | 0 | 5,530 | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial, financial, and industrial | 33,781 | 26 | 0 | 33,807 | 102 | 7 | 35 | 144 | 33,951 | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | 12,392 | 11 | 0 | 12,403 | 20 | 3 | 44 | 67 | 12,470 | |||||||||||||||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HELOC | 2,198 | 6 | 9 | 2,213 | 43 | 2 | 12 | 57 | 2,270 | |||||||||||||||||||||||||||||||||||||||||||||||
Real estate installment loans | 8,623 | 33 | 4 | 8,660 | 72 | 8 | 43 | 123 | 8,783 | |||||||||||||||||||||||||||||||||||||||||||||||
Total consumer real estate | 10,821 | 39 | 13 | 10,873 | 115 | 10 | 55 | 180 | 11,053 | |||||||||||||||||||||||||||||||||||||||||||||||
Credit card and other: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit card | 273 | 2 | 0 | 275 | 0 | 0 | 0 | 0 | 275 | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 845 | 3 | 0 | 848 | 1 | 1 | 1 | 3 | 851 | |||||||||||||||||||||||||||||||||||||||||||||||
Total credit card and other | 1,118 | 5 | 0 | 1,123 | 1 | 1 | 1 | 3 | 1,126 | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans and leases | $ | 58,112 | $ | 81 | $ | 13 | $ | 58,206 | $ | 238 | $ | 21 | $ | 135 | $ | 394 | $ | 58,600 |
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 (a) | $ | 16,081,865 | $ | 17,049 | $ | 166 | $ | 16,099,080 | $ | 60,387 | $ | 2,505 | $ | 33,189 | $ | 96,081 | $ | 16,195,161 | ||||||||||||||||||
Loans to mortgage companies | 5,713,914 | — | — | 5,713,914 | — | — | — | — | 5,713,914 | |||||||||||||||||||||||||||
TRUPS (b) | 215,355 | — | — | 215,355 | — | — | — | — | 215,355 | |||||||||||||||||||||||||||
Total commercial (C&I) | 22,011,134 | 17,049 | 166 | 22,028,349 | 60,387 | 2,505 | 33,189 | 96,081 | 22,124,430 | |||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||
Income CRE | 4,562,822 | 419 | — | 4,563,241 | 29 | 816 | 1,317 | 2,162 | 4,565,403 | |||||||||||||||||||||||||||
Residential CRE | 74,222 | 39 | — | 74,261 | — | 28 | — | 28 | 74,289 | |||||||||||||||||||||||||||
Total commercial real estate | 4,637,044 | 458 | — | 4,637,502 | 29 | 844 | 1,317 | 2,190 | 4,639,692 | |||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||
HELOC | 1,186,834 | 10,213 | 5,828 | 1,202,875 | 41,506 | 3,547 | 6,124 | 51,177 | 1,254,052 | |||||||||||||||||||||||||||
R/E installment loans | 4,801,281 | 17,741 | 6,304 | 4,825,326 | 24,162 | 2,420 | 13,423 | 40,005 | 4,865,331 | |||||||||||||||||||||||||||
Total consumer real estate | 5,988,115 | 27,954 | 12,132 | 6,028,201 | 65,668 | 5,967 | 19,547 | 91,182 | 6,119,383 | |||||||||||||||||||||||||||
Credit card & other: | ||||||||||||||||||||||||||||||||||||
Credit card | 189,247 | 1,893 | 1,715 | 192,855 | — | — | — | — | 192,855 | |||||||||||||||||||||||||||
Other | 300,308 | 1,144 | 131 | 301,583 | 153 | 38 | 169 | 360 | 301,943 | |||||||||||||||||||||||||||
Total credit card & other | 489,555 | 3,037 | 1,846 | 494,438 | 153 | 38 | 169 | 360 | 494,798 | |||||||||||||||||||||||||||
Total loans, net of unearned income | $ | 33,125,848 | $ | 48,498 | $ | 14,144 | $ | 33,188,490 | $ | 126,237 | $ | 9,354 | $ | 54,222 | $ | 189,813 | $ | 33,378,303 |
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) (b) | $ | 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 |
FIRST HORIZON CORPORATION | 22 | 1Q21 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 | $ | 15,314,292 | $ | 7,155 | $ | 237 | $ | 15,321,684 | $ | 36,564 | $ | 14,385 | $ | 23,363 | $ | 74,312 | $ | 15,395,996 | ||||||||||||||||||
Loans to mortgage companies | 4,410,883 | — | — | 4,410,883 | — | — | — | — | 4,410,883 | |||||||||||||||||||||||||||
TRUPS (a) | 218,287 | — | — | 218,287 | — | — | — | — | 218,287 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 23,840 | 287 | 1,798 | 25,925 | — | — | — | — | 25,925 | |||||||||||||||||||||||||||
Total commercial (C&I) | 19,967,302 | 7,442 | 2,035 | 19,976,779 | 36,564 | 14,385 | 23,363 | 74,312 | 20,051,091 | |||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||
Income CRE | 4,242,044 | 679 | — | 4,242,723 | — | 19 | 1,340 | 1,359 | 4,244,082 | |||||||||||||||||||||||||||
Residential CRE | 87,487 | 7 | — | 87,494 | — | 466 | — | 466 | 87,960 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 4,752 | 128 | 95 | 4,975 | — | — | — | — | 4,975 | |||||||||||||||||||||||||||
Total commercial real estate | 4,334,283 | 814 | 95 | 4,335,192 | — | 485 | 1,340 | 1,825 | 4,337,017 | |||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||
HELOC | 1,217,344 | 9,156 | 5,669 | 1,232,169 | 43,007 | 4,227 | 7,472 | 54,706 | 1,286,875 | |||||||||||||||||||||||||||
R/E installment loans (b) | 4,812,446 | 12,894 | 9,170 | 4,834,510 | 20,710 | 1,076 | 9,202 | 30,988 | 4,865,498 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 18,720 | 2,770 | 3,276 | 24,766 | — | — | — | — | 24,766 | |||||||||||||||||||||||||||
Total consumer real estate | 6,048,510 | 24,820 | 18,115 | 6,091,445 | 63,717 | 5,303 | 16,674 | 85,694 | 6,177,139 | |||||||||||||||||||||||||||
Credit card & other: | ||||||||||||||||||||||||||||||||||||
Credit card | 198,917 | 1,076 | 1,178 | 201,171 | — | — | — | — | 201,171 | |||||||||||||||||||||||||||
Other | 291,700 | 1,802 | 337 | 293,839 | 101 | 44 | 189 | 334 | 294,173 | |||||||||||||||||||||||||||
Purchased credit-impaired loans | 323 | 98 | 99 | 520 | — | — | — | — | 520 | |||||||||||||||||||||||||||
Total credit card & other | 490,940 | 2,976 | 1,614 | 495,530 | 101 | 44 | 189 | 334 | 495,864 | |||||||||||||||||||||||||||
Total loans, net of unearned income | $ | 30,841,035 | $ | 36,052 | $ | 21,859 | $ | 30,898,946 | $ | 100,382 | $ | 20,217 | $ | 41,566 | $ | 162,165 | $ | 31,061,111 |
March 31, 2020 | March 31, 2019 | |||||||||||||||||||||
(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 | 3 | $ | 5,927 | $ | 4,433 | 2 | $ | 13,895 | $ | 13,820 | ||||||||||||
Total commercial (C&I) | 3 | 5,927 | 4,433 | 2 | 13,895 | 13,820 | ||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||
HELOC | 8 | 912 | 891 | 19 | 2,104 | 2,084 | ||||||||||||||||
R/E installment loans | 10 | 1,511 | 1,497 | 47 | 7,425 | 7,413 | ||||||||||||||||
Total consumer real estate | 18 | 2,423 | 2,388 | 66 | 9,529 | 9,497 | ||||||||||||||||
Credit card & other | 24 | 158 | 146 | 15 | 74 | 71 | ||||||||||||||||
Total troubled debt restructurings | 45 | $ | 8,508 | $ | 6,967 | 83 | $ | 23,498 | $ | 23,388 |
FIRST HORIZON CORPORATION | 23 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31, 2021 | Three Months Ended March 31, 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 | 17 | $ | 8 | $ | 8 | 3 | $ | 6 | $ | 4 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CRE | 1 | 12 | 10 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HELOC | 12 | 2 | 2 | 8 | 1 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate installment loans | 9 | 2 | 2 | 10 | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total consumer real estate | 21 | 4 | 4 | 18 | 3 | 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Credit card and other | 13 | 0 | 0 | 24 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total TDRs | 52 | $ | 24 | $ | 22 | 45 | $ | 9 | $ | 7 |
Three Months Ended March 31, 2021 | Three Months Ended March 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Number | Recorded Investment | Number | Recorded Investment | ||||||||||||||||||||||||||||||||||
Commercial, financial, and industrial: | ||||||||||||||||||||||||||||||||||||||
C&I | 7 | $ | 1 | 0 | $ | 0 | ||||||||||||||||||||||||||||||||
Commercial real estate: | ||||||||||||||||||||||||||||||||||||||
CRE | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||
Consumer real estate: | ||||||||||||||||||||||||||||||||||||||
HELOC | 1 | 0 | 4 | 1 | ||||||||||||||||||||||||||||||||||
Real estate installment loans | 3 | 2 | 5 | 0 | ||||||||||||||||||||||||||||||||||
Total consumer real estate | 4 | 2 | 9 | 1 | ||||||||||||||||||||||||||||||||||
Credit card and other | 0 | 0 | 7 | 0 | ||||||||||||||||||||||||||||||||||
Total TDRs | 11 | $ | 3 | 16 | $ | 1 |
March 31, 2020 | March 31, 2019 | |||||||||||||
(Dollars in thousands) | Number | Recorded Investment | Number | Recorded Investment | ||||||||||
Commercial (C&I): | ||||||||||||||
General C&I | — | $ | — | — | $ | — | ||||||||
Total commercial (C&I) | — | — | — | — | ||||||||||
Consumer real estate: | ||||||||||||||
HELOC | 4 | 960 | 1 | 33 | ||||||||||
R/E installment loans | 5 | 344 | — | — | ||||||||||
Total consumer real estate | 9 | 1,304 | 1 | 33 | ||||||||||
Credit card & other | 7 | 31 | 8 | 18 | ||||||||||
Total troubled debt restructurings | 16 | $ | 1,335 | 9 | $ | 51 |
FIRST HORIZON CORPORATION | 24 | 1Q21 FORM 10-Q REPORT |
March 31 | ||||
(Dollars in thousands) | 2020 | |||
Commercial: | ||||
Commercial, financial, and industrial | $ | 55,215 | ||
Commercial real estate | 11,233 | |||
Consumer: | ||||
Consumer real estate | 16,154 | |||
Credit card & other | 1,672 | |||
Total accrued interest | $ | 84,274 |
Year Ended | ||||
(Dollars in thousands) | 2019 | |||
Balance, beginning of period | $ | 13,375 | ||
Accretion | (5,792 | ) | ||
Adjustment for payoffs | (2,438 | ) | ||
Adjustment for charge-offs | (479 | ) | ||
Adjustment for pool excess recovery (a) | — | |||
Increase in accretable yield (b) | 5,513 | |||
Disposals | (4 | ) | ||
Other | (367 | ) | ||
Balance, end of period | $ | 9,808 |
(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 January 1, 2021 | $ | 453 | $ | 242 | $ | 242 | $ | 26 | $ | 963 | ||||||||||||||||||||||
Charge-offs | (16) | (3) | (1) | (3) | (23) | |||||||||||||||||||||||||||
Recoveries | 6 | 2 | 6 | 1 | 15 | |||||||||||||||||||||||||||
Provision (provision credit) for loan and lease losses | (1) | (8) | (25) | (6) | (41) | |||||||||||||||||||||||||||
Balance as of March 31, 2021 | $ | 442 | $ | 232 | $ | 222 | $ | 18 | $ | 914 | ||||||||||||||||||||||
Reserve for remaining unfunded commitments: | ||||||||||||||||||||||||||||||||
Balance as of January 1, 2021 | $ | 65 | $ | 10 | $ | 10 | $ | 0 | $ | 85 | ||||||||||||||||||||||
Provision (provision credit) for remaining unfunded commitments | (3) | 1 | (2) | 0 | (4) | |||||||||||||||||||||||||||
Balance as of March 31, 2021 | $ | 62 | $ | 11 | $ | 8 | $ | 0 | $ | 81 | ||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||
Balance as of January 1, 2020, as adjusted (b) | $ | 142 | $ | 29 | $ | 121 | $ | 15 | $ | 307 | ||||||||||||||||||||||
Charge-offs | (7) | (1) | (2) | (4) | (14) | |||||||||||||||||||||||||||
Recoveries | 1 | 1 | 3 | 1 | 6 | |||||||||||||||||||||||||||
Provision for loan losses | 119 | 19 | 0 | 7 | 145 | |||||||||||||||||||||||||||
Balance as of March 31, 2020 | $ | 255 | $ | 48 | $ | 122 | $ | 19 | $ | 444 | ||||||||||||||||||||||
Reserve for remaining unfunded commitments: | ||||||||||||||||||||||||||||||||
Balance as of January 1, 2020, as adjusted (b) | $ | 21 | $ | 3 | $ | 6 | $ | 0 | $ | 30 | ||||||||||||||||||||||
Provision for remaining unfunded commitments | 6 | 3 | 0 | 0 | 9 | |||||||||||||||||||||||||||
Balance as of March 31, 2020 | $ | 27 | $ | 6 | $ | 6 | $ | 0 | $ | 39 | ||||||||||||||||||||||
December 31, 2019 | ||||||||
(Dollars in thousands) | Carrying value | Unpaid balance | ||||||
Commercial, financial and industrial | $ | 24,973 | $ | 25,938 | ||||
Commercial real estate | 5,078 | 5,466 | ||||||
Consumer real estate | 23,681 | 26,245 | ||||||
Credit card and other | 489 | 567 | ||||||
Total | $ | 54,221 | $ | 58,216 |
December 31, 2019 | ||||||||||||
(Dollars in thousands) | Recorded Investment | Unpaid Principal Balance | Related Allowance | |||||||||
Impaired loans with no related allowance recorded: | ||||||||||||
Commercial: | ||||||||||||
General C&I | $ | 52,672 | $ | 63,602 | $ | — | ||||||
Income CRE | 1,563 | 1,563 | — | |||||||||
Total | $ | 54,235 | $ | 65,165 | $ | — | ||||||
Consumer: | ||||||||||||
HELOC (a) | $ | 4,940 | $ | 10,438 | $ | — | ||||||
R/E installment loans (a) | 7,593 | 10,054 | — | |||||||||
Total | $ | 12,533 | $ | 20,492 | $ | — | ||||||
Impaired loans with related allowance recorded: | ||||||||||||
Commercial: | ||||||||||||
General C&I | $ | 29,766 | $ | 31,536 | $ | 6,196 | ||||||
TRUPS | — | — | — | |||||||||
Income CRE | — | — | — | |||||||||
Total | $ | 29,766 | $ | 31,536 | $ | 6,196 | ||||||
Consumer: | ||||||||||||
HELOC | $ | 55,522 | $ | 59,122 | $ | 7,016 | ||||||
R/E installment loans | 94,191 | 104,121 | 12,282 | |||||||||
Credit card & other | 653 | 653 | 422 | |||||||||
Total | $ | 150,366 | $ | 163,896 | $ | 19,720 | ||||||
Total commercial | $ | 84,001 | $ | 96,701 | $ | 6,196 | ||||||
Total consumer | $ | 162,899 | $ | 184,388 | $ | 19,720 | ||||||
Total impaired loans | $ | 246,900 | $ | 281,089 | $ | 25,916 |
Three Months Ended March 31 | ||||||||
2019 | ||||||||
(Dollars in thousands) | Average Recorded Investment | Interest Income Recognized | ||||||
Impaired loans with no related allowance recorded: | ||||||||
Commercial: | ||||||||
General C&I | $ | 55,765 | $ | 180 | ||||
Loans to mortgage companies | — | — | ||||||
Income CRE | 1,556 | 13 | ||||||
Residential CRE | — | — | ||||||
Total | $ | 57,321 | $ | 193 | ||||
Consumer: | ||||||||
HELOC (a) | $ | 7,597 | $ | — | ||||
R/E installment loans (a) | 8,637 | — | ||||||
Total | $ | 16,234 | $ | — | ||||
Impaired loans with related allowance recorded: | ||||||||
Commercial: | ||||||||
General C&I | $ | 7,294 | $ | — | ||||
TRUPS | 2,863 | — | ||||||
Income CRE | 367 | 4 | ||||||
Residential CRE | — | — | ||||||
Total | $ | 10,524 | $ | 4 | ||||
Consumer: | ||||||||
HELOC | $ | 65,013 | $ | 522 | ||||
R/E installment loans | 108,059 | 822 | ||||||
Credit card & other | 690 | 5 | ||||||
Total | $ | 173,762 | $ | 1,349 | ||||
Total commercial | $ | 67,845 | $ | 197 | ||||
Total consumer | $ | 189,996 | $ | 1,349 | ||||
Total impaired loans | $ | 257,841 | $ | 1,546 |
FIRST HORIZON CORPORATION | 25 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 26 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Balance at beginning of period | $ | 409 | $ | 4 | ||||||||||
Acquired | 0 | 320 | ||||||||||||
Originations and purchases | 446 | 2,499 | ||||||||||||
Sales, net of gains | (421) | (2,405) | ||||||||||||
Mortgage loans transferred from (to) held for investment | 3 | (9) | ||||||||||||
Balance at end of period | $ | 437 | $ | 409 |
March 31, 2021 | |||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||||||||||||||||||
Mortgage servicing rights | $ | 31 | $ | (4) | $ | 27 |
December 31, 2020 | |||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||||||||||||||||||
Mortgage servicing rights | $ | 28 | $ | (3) | $ | 25 |
(Dollars in thousands) | C&I | Commercial Real Estate | Consumer Real Estate (a) | Credit Card and Other | Total | |||||||||||||||
Balance as of January 1, 2020 | $ | 122,486 | $ | 36,112 | $ | 28,443 | $ | 13,266 | $ | 200,307 | ||||||||||
Adoption of ASU 2016-13 | 18,782 | (7,348 | ) | 92,992 | 1,968 | 106,394 | ||||||||||||||
Charge-offs | (6,751 | ) | (581 | ) | (2,310 | ) | (3,811 | ) | (13,453 | ) | ||||||||||
Recoveries | 935 | 573 | 3,555 | 1,179 | 6,242 | |||||||||||||||
Provision for loan losses | 119,064 | 18,869 | 342 | 6,725 | 145,000 | |||||||||||||||
Balance as of March 31, 2020 | 254,516 | 47,625 | 123,022 | 19,327 | 444,490 | |||||||||||||||
Allowance - individually evaluated for impairment | 11,401 | — | 13,394 | 468 | 25,263 | |||||||||||||||
Allowance - collectively evaluated for impairment | 243,115 | 47,625 | 109,628 | 18,859 | 419,227 | |||||||||||||||
Loans, net of unearned as of March 31, 2020: | ||||||||||||||||||||
Individually evaluated for impairment | 100,092 | 163 | 152,393 | 699 | 253,347 | |||||||||||||||
Collectively evaluated for impairment | 22,024,338 | 4,639,529 | 5,966,990 | 494,099 | 33,124,956 | |||||||||||||||
Total loans, net of unearned income | $ | 22,124,430 | $ | 4,639,692 | $ | 6,119,383 | $ | 494,798 | $ | 33,378,303 | ||||||||||
Balance as of January 1, 2019 | $ | 98,947 | $ | 31,311 | $ | 37,439 | $ | 12,727 | $ | 180,424 | ||||||||||
Charge-offs | (3,101 | ) | (434 | ) | (2,804 | ) | (4,188 | ) | (10,527 | ) | ||||||||||
Recoveries | 829 | 57 | 4,041 | 1,087 | 6,014 | |||||||||||||||
Provision/(provision credit) for loan losses | 7,038 | 3,448 | (4,522 | ) | 3,036 | 9,000 | ||||||||||||||
Balance as of March 31, 2019 | 103,713 | 34,382 | 34,154 | 12,662 | 184,911 | |||||||||||||||
Allowance - individually evaluated for impairment | 3,437 | — | 23,923 | 446 | 27,806 | |||||||||||||||
Allowance - collectively evaluated for impairment | 98,135 | 34,382 | 9,108 | 12,067 | 153,692 | |||||||||||||||
Allowance - purchased credit-impaired loans | 2,141 | — | 1,123 | 149 | 3,413 | |||||||||||||||
Loans, net of unearned as of March 31, 2019: | ||||||||||||||||||||
Individually evaluated for impairment | 83,253 | 1,879 | 189,332 | 684 | 275,148 | |||||||||||||||
Collectively evaluated for impairment | 17,056,034 | 3,936,727 | 6,141,585 | 504,271 | 27,638,617 | |||||||||||||||
Purchased credit-impaired loans | 36,825 | 8,337 | 29,846 | 1,275 | 76,283 | |||||||||||||||
Total loans, net of unearned income | $ | 17,176,112 | $ | 3,946,943 | $ | 6,360,763 | $ | 506,230 | $ | 27,990,048 |
March 31, 2020 | December 31, 2019 | |||||||||||||||||||||||
(Dollars in thousands) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Value | Gross Carrying Amount | Accumulated Amortization | Net Carrying Value | ||||||||||||||||||
Core deposit intangibles | $ | 157,150 | $ | (51,966 | ) | $ | 105,184 | $ | 157,150 | $ | (47,372 | ) | $ | 109,778 | ||||||||||
Customer relationships (a) | 23,000 | (5,734 | ) | 17,266 | 77,865 | (60,150 | ) | 17,715 | ||||||||||||||||
Other (b) | 5,622 | (3,180 | ) | 2,442 | 5,622 | (2,915 | ) | 2,707 | ||||||||||||||||
Total | $ | 185,772 | $ | (60,880 | ) | $ | 124,892 | $ | 240,637 | $ | (110,437 | ) | $ | 130,200 |
1Q21 FORM 10-Q REPORT |
(Dollars in thousands) | ||||
Year | Amortization | |||
Remainder of 2020 | $ | 15,852 | ||
2021 | 19,547 | |||
2022 | 17,412 | |||
2023 | 16,117 | |||
2024 | 14,679 | |||
2025 | 12,580 |
(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 | |||||||||||||||||
March 31, 2021 | $ | 880 | $ | 631 | $ | 1,511 |
(Dollars in thousands) | Regional Banking | Fixed Income | Total | |||||||||
December 31, 2018 | $ | 1,289,819 | $ | 142,968 | $ | 1,432,787 | ||||||
Additions | — | — | — | |||||||||
March 31, 2019 | $ | 1,289,819 | $ | 142,968 | $ | 1,432,787 | ||||||
December 31, 2019 | $ | 1,289,819 | $ | 142,968 | $ | 1,432,787 | ||||||
Additions | — | — | — | |||||||||
March 31, 2020 | $ | 1,289,819 | $ | 142,968 | $ | 1,432,787 |
March 31, 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 | $ | (93) | $ | 278 | $ | 371 | $ | (81) | $ | 290 | ||||||||||||||||||||||||||
Customer relationships | 37 | (9) | 28 | 37 | (8) | 29 | ||||||||||||||||||||||||||||||||
Other (a) | 41 | (8) | 33 | 41 | (6) | 35 | ||||||||||||||||||||||||||||||||
Total | $ | 449 | $ | (110) | $ | 339 | $ | 449 | $ | (95) | $ | 354 |
Three Months Ended March 31 | |||||||
(Dollars in thousands) | 2020 | 2019 | |||||
All other income and commissions: | |||||||
Other service charges | $ | 5,219 | $ | 3,869 | |||
ATM and interchange fees | 4,212 | 3,241 | |||||
Mortgage banking | 2,431 | 1,886 | |||||
Letter of credit fees | 1,462 | 1,368 | |||||
Dividend income | 1,130 | 2,313 | |||||
Electronic banking fees | 1,030 | 1,271 | |||||
Insurance commissions | 789 | 624 | |||||
Gain/(loss) on extinguishment of debt | — | (1 | ) | ||||
Deferred compensation (a) | (9,507 | ) | 5,474 | ||||
Other | 7,598 | 4,586 | |||||
Total | $ | 14,364 | $ | 24,631 | |||
All other expense: | |||||||
Credit expense on unfunded commitments (b) | $ | 9,230 | $ | 396 | |||
Travel and entertainment | 2,709 | 2,712 | |||||
Other insurance and taxes | 2,679 | 2,694 | |||||
Non-service components of net periodic pension and post-retirement cost | 2,508 | 432 | |||||
Supplies | 2,411 | 1,804 | |||||
Customer relations | 2,004 | 1,599 | |||||
Employee training and dues | 1,341 | 1,457 | |||||
Miscellaneous loan costs | 1,094 | 1,027 | |||||
Tax credit investments | 346 | 675 | |||||
Litigation and regulatory matters | 13 | 13 | |||||
OREO | (184 | ) | (366 | ) | |||
Other | 9,075 | 6,888 | |||||
Total | $ | 33,226 | $ | 19,331 |
1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 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 | 1,000 | $ | 100 | $ | 96 | $ | 96 | ||||||||||||||||||||||||||||||||||||||||||||||||||
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 | 93 | 93 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Series E | 5/28/2020 | 10/10/2025 | 6.500 | % | Quarterly | 1,500 | 150 | 145 | 145 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
26,250 | $ | 488 | $ | 470 | $ | 470 |
1Q21 FORM 10-Q REPORT |
(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) | (103) | (3) | 2 | (104) | ||||||||||||||||||||||
Amounts reclassified from AOCI | 0 | 1 | 2 | 3 | ||||||||||||||||||||||
Other comprehensive income (loss) | (103) | (2) | 4 | (101) | ||||||||||||||||||||||
Balance as of March 31, 2021 | $ | 5 | $ | 10 | $ | (256) | $ | (241) | ||||||||||||||||||
(Dollars in thousands) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||
Balance as of January 1, 2020 | $ | 31,079 | $ | 3,227 | $ | (273,914 | ) | $ | (239,608 | ) | ||||||
Net unrealized gains/(losses) | 88,278 | 13,155 | — | 101,433 | ||||||||||||
Amounts reclassified from AOCI | — | (94 | ) | 2,105 | 2,011 | |||||||||||
Other comprehensive income/(loss) | 88,278 | 13,061 | 2,105 | 103,444 | ||||||||||||
Balance as of March 31, 2020 | $ | 119,357 | $ | 16,288 | $ | (271,809 | ) | $ | (136,164 | ) | ||||||
Balance as of January 1, 2019 | $ | (75,736 | ) | $ | (12,112 | ) | $ | (288,768 | ) | $ | (376,616 | ) | ||||
Net unrealized gains/(losses) | 48,615 | 3,936 | — | 52,551 | ||||||||||||
Amounts reclassified from AOCI | — | 1,451 | 1,463 | 2,914 | ||||||||||||
Other comprehensive income/(loss) | 48,615 | 5,387 | 1,463 | 55,465 | ||||||||||||
Balance as of March 31, 2019 | $ | (27,121 | ) | $ | (6,725 | ) | $ | (287,305 | ) | $ | (321,151 | ) |
(Dollars in millions) | Securities AFS | Cash Flow Hedges | Pension and Post-retirement Plans | Total | ||||||||||||||||||||||
Balance as of January 1, 2020 | $ | 31 | $ | 3 | $ | (273) | $ | (239) | ||||||||||||||||||
Net unrealized gains (losses) | 89 | 13 | 0 | 102 | ||||||||||||||||||||||
Amounts reclassified from AOCI | 0 | 0 | 2 | 2 | ||||||||||||||||||||||
Other comprehensive income (loss) | 89 | 13 | 2 | 104 | ||||||||||||||||||||||
Balance as of March 31, 2020 | $ | 120 | $ | 16 | $ | (271) | $ | (135) | ||||||||||||||||||
(Dollars in millions) | Three Months Ended March 31, | |||||||||||||||||||||||||||||||
Details about AOCI | 2021 | 2020 | Affected line item in the statement where net income is presented | |||||||||||||||||||||||||||||
Cash flow hedges: | ||||||||||||||||||||||||||||||||
Realized (gains) losses on cash flow hedges | $ | 2 | $ | 0 | Interest and fees on loans and leases | |||||||||||||||||||||||||||
Tax expense (benefit) | (1) | 0 | Income tax expense | |||||||||||||||||||||||||||||
1 | 0 | |||||||||||||||||||||||||||||||
Pension and Postretirement Plans: | ||||||||||||||||||||||||||||||||
Amortization of prior service cost and net actuarial (gain) loss | 4 | 3 | All other expense | |||||||||||||||||||||||||||||
Tax expense (benefit) | (2) | (1) | Income tax expense | |||||||||||||||||||||||||||||
2 | 2 | |||||||||||||||||||||||||||||||
Total reclassification from AOCI | $ | 3 | $ | 2 |
(Dollars in thousands) | Three Months Ended March 31 | |||||||||
Details about AOCI | 2020 | 2019 | Affected line item in the statement where net income is presented | |||||||
Cash flow hedges: | ||||||||||
Realized (gains)/losses on cash flow hedges | (124 | ) | 1,927 | Interest and fees on loans | ||||||
Tax expense/(benefit) | 30 | (476 | ) | Provision/(benefit) for income taxes | ||||||
(94 | ) | 1,451 | ||||||||
Pension and Postretirement Plans: | ||||||||||
Amortization of prior service cost and net actuarial gain/(loss) | 2,791 | 1,943 | All other expense | |||||||
Tax expense/(benefit) | (686 | ) | (480 | ) | Provision/(benefit) for income taxes | |||||
2,105 | 1,463 | |||||||||
Total reclassification from AOCI | $ | 2,011 | $ | 2,914 |
FIRST HORIZON CORPORATION | 30 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31 | |||||||
(Dollars and shares in thousands, except per share data) | 2020 | 2019 | |||||
Net income/(loss) | $ | 16,472 | $ | 103,405 | |||
Net income attributable to noncontrolling interest | 2,852 | 2,820 | |||||
Net income/(loss) attributable to controlling interest | 13,620 | 100,585 | |||||
Preferred stock dividends | 1,550 | 1,550 | |||||
Net income/(loss) available to common shareholders | $ | 12,070 | $ | 99,035 | |||
Weighted average common shares outstanding—basic | 311,597 | 317,435 | |||||
Effect of dilutive securities | 1,573 | 2,146 | |||||
Weighted average common shares outstanding—diluted | 313,170 | 319,581 | |||||
Net income/(loss) per share available to common shareholders | $ | 0.04 | $ | 0.31 | |||
Diluted income/(loss) per share available to common shareholders | $ | 0.04 | $ | 0.31 |
Three Months Ended March 31, | |||||||||||||||||||||||
(Dollars in millions, except per share data; shares in thousands) | 2021 | 2020 | |||||||||||||||||||||
Net income | $ | 236 | $ | 16 | |||||||||||||||||||
Net income attributable to noncontrolling interest | 3 | 3 | |||||||||||||||||||||
Net income attributable to controlling interest | 233 | 13 | |||||||||||||||||||||
Preferred stock dividends | 8 | 1 | |||||||||||||||||||||
Net income available to common shareholders | 225 | 12 | |||||||||||||||||||||
Weighted average common shares outstanding—basic | 552,249 | 311,597 | |||||||||||||||||||||
Effect of dilutive securities | 5,283 | 1,573 | |||||||||||||||||||||
Weighted average common shares outstanding—diluted | 557,532 | 313,170 | |||||||||||||||||||||
Basic earnings per common share | $ | 0.41 | $ | 0.04 | |||||||||||||||||||
Diluted earnings per common share | $ | 0.40 | $ | 0.04 |
Three Months Ended March 31, | ||||||||||||||||||||||||||
(Shares in thousands) | 2021 | 2020 | ||||||||||||||||||||||||
Stock options excluded from the calculation of diluted EPS | 3,827 | 3,031 | ||||||||||||||||||||||||
Weighted average exercise price of stock options excluded from the calculation of diluted EPS | $ | 18.11 | $ | 18.73 | ||||||||||||||||||||||
Other equity awards excluded from the calculation of diluted EPS | 2,784 | 4,264 |
Three Months Ended March 31 | ||||||||
(Shares in thousands) | 2020 | 2019 | ||||||
Stock options excluded from the calculation of diluted EPS | 3,031 | 2,613 | ||||||
Weighted average exercise price of stock options excluded from the calculation of diluted EPS | $ | 18.73 | $ | 21.77 | ||||
Other equity awards excluded from the calculation of diluted EPS | 4,264 | 1,922 |
FIRST HORIZON CORPORATION | 31 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 32 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 33 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 34 | 1Q21 FORM 10-Q REPORT |
Pension Benefits | ||||||||||||||||||||||||||
(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 | ||||||||||||||||||||||||
Other | 2 | 0 | ||||||||||||||||||||||||
Net periodic benefit cost | $ | 4 | $ | 3 |
Pension Benefits | Other Benefits | |||||||||||||||
(Dollars in thousands) | 2020 | 2019 | 2020 | 2019 | ||||||||||||
Components of net periodic benefit cost | ||||||||||||||||
Service cost | $ | 8 | $ | 8 | $ | 25 | $ | 24 | ||||||||
Interest cost | 5,909 | 7,575 | 304 | 351 | ||||||||||||
Expected return on plan assets | (6,168 | ) | (9,173 | ) | (311 | ) | (269 | ) | ||||||||
Amortization of unrecognized: | ||||||||||||||||
Prior service cost/(credit) | — | — | 8 | — | ||||||||||||
Actuarial (gain)/loss | 3,224 | 2,435 | (75 | ) | (117 | ) | ||||||||||
Net periodic benefit cost/(credit) | $ | 2,973 | $ | 845 | $ | (49 | ) | $ | (11 | ) |
FIRST HORIZON CORPORATION | 35 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 36 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31, 2021 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Net interest income (expense) | $ | 426 | $ | 159 | $ | (77) | $ | 508 | |||||||||||||||
Provision for credit losses | (32) | (7) | (6) | (45) | |||||||||||||||||||
Noninterest income | 100 | 185 | 13 | 298 | |||||||||||||||||||
Noninterest expense (a) | 272 | 154 | 118 | 544 | |||||||||||||||||||
Income (loss) before income taxes | 286 | 197 | (176) | 307 | |||||||||||||||||||
Income tax expense (benefit) | 66 | 47 | (42) | 71 | |||||||||||||||||||
Net income (loss) | $ | 220 | $ | 150 | $ | (134) | $ | 236 | |||||||||||||||
Average assets | $ | 42,371 | $ | 21,503 | $ | 21,527 | $ | 85,401 | |||||||||||||||
(a) Includes $33 million in asset impairments related to IBKC merger integration efforts in the Corporate segment. | |||||||||||||||||||||||
Three Months Ended March 31, 2020 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Net interest income (expense) | $ | 194 | $ | 109 | $ | 0 | $ | 303 | |||||||||||||||
Provision for credit losses | 98 | 54 | 2 | 154 | |||||||||||||||||||
Noninterest income | 73 | 104 | (3) | 174 | |||||||||||||||||||
Noninterest expense | 173 | 111 | 18 | 302 | |||||||||||||||||||
Income (loss) before income taxes | (4) | 48 | (23) | 21 | |||||||||||||||||||
Income tax expense (benefit) | (2) | 11 | (4) | 5 | |||||||||||||||||||
Net income (loss) | $ | (2) | $ | 37 | $ | (19) | $ | 16 | |||||||||||||||
Average assets | $ | 19,044 | $ | 16,890 | $ | 7,618 | $ | 43,552 |
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Consolidated | ||||||||
Net interest income | $ | 302,802 | $ | 294,508 | ||||
Provision/(provision credit) for loan losses (a) | 145,000 | 9,000 | ||||||
Noninterest income | 174,756 | 141,045 | ||||||
Noninterest expense | 311,319 | 296,090 | ||||||
Income/(loss) before income taxes | 21,239 | 130,463 | ||||||
Provision/(benefit) for income taxes | 4,767 | 27,058 | ||||||
Net income/(loss) | $ | 16,472 | $ | 103,405 | ||||
Average assets | $ | 43,551,912 | $ | 40,883,192 |
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Regional Banking | ||||||||
Net interest income | $ | 300,128 | $ | 286,023 | ||||
Provision/(provision credit) for loan losses (a) | 145,435 | 13,442 | ||||||
Noninterest income | 81,871 | 73,029 | ||||||
Noninterest expense | 211,013 | 198,569 | ||||||
Income/(loss) before income taxes | 25,551 | 147,041 | ||||||
Provision/(benefit) for income taxes | 4,388 | 34,109 | ||||||
Net income/(loss) | $ | 21,163 | $ | 112,932 | ||||
Average assets | $ | 32,164,347 | $ | 28,801,849 | ||||
Fixed Income | ||||||||
Net interest income | $ | 10,914 | $ | 7,332 | ||||
Noninterest income | 95,723 | 53,807 | ||||||
Noninterest expense | 81,063 | 50,533 | ||||||
Income/(loss) before income taxes | 25,574 | 10,606 | ||||||
Provision/(benefit) for income taxes | 6,099 | 2,457 | ||||||
Net income/(loss) | $ | 19,475 | $ | 8,149 | ||||
Average assets | $ | 3,764,192 | $ | 2,848,249 | ||||
Corporate | ||||||||
Net interest income/(expense) | $ | (13,359 | ) | $ | (7,914 | ) | ||
Noninterest income (b) | (3,718 | ) | 13,353 | |||||
Noninterest expense (b) (c) | 15,449 | 41,779 | ||||||
Income/(loss) before income taxes | (32,526 | ) | (36,340 | ) | ||||
Provision/(benefit) for income taxes | (6,372 | ) | (11,771 | ) | ||||
Net income/(loss) | $ | (26,154 | ) | $ | (24,569 | ) | ||
Average assets | $ | 6,784,190 | $ | 8,058,041 | ||||
Non-Strategic | ||||||||
Net interest income | $ | 5,119 | $ | 9,067 | ||||
Provision/(provision credit) for loan losses (a) | (435 | ) | (4,442 | ) | ||||
Noninterest income | 880 | 856 | ||||||
Noninterest expense | 3,794 | 5,209 | ||||||
Income/(loss) before income taxes | 2,640 | 9,156 | ||||||
Provision/(benefit) for income taxes | 652 | 2,263 | ||||||
Net income/(loss) | $ | 1,988 | $ | 6,893 | ||||
Average assets | $ | 839,183 | $ | 1,175,053 |
Three months ended March 31, 2021 | |||||||||||||||||||||||
(Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||
Noninterest income: | |||||||||||||||||||||||
Fixed income (a) | $ | 1 | $ | 125 | $ | 0 | $ | 126 | |||||||||||||||
Mortgage banking and title income | 0 | 52 | 1 | 53 | |||||||||||||||||||
Deposit transactions and cash management | 38 | 3 | 1 | 42 | |||||||||||||||||||
Brokerage, management fees and commissions | 20 | 0 | 0 | 20 | |||||||||||||||||||
Trust services and investment management | 12 | 0 | 0 | 12 | |||||||||||||||||||
Bankcard income | 11 | 0 | 0 | 11 | |||||||||||||||||||
Other income (b) | 18 | 5 | 11 | 34 | |||||||||||||||||||
Total noninterest income | $ | 100 | $ | 185 | $ | 13 | $ | 298 |
Three months ended March 31, 2020 | |||||||||||||||||||
(Dollars in thousands) | Regional Banking | Fixed Income | Corporate | Non-Strategic | Consolidated | ||||||||||||||
Noninterest income: | |||||||||||||||||||
Fixed income (a) | $ | 121 | $ | 95,514 | $ | — | $ | — | $ | 95,635 | |||||||||
Deposit transactions and cash management | 28,812 | — | 1,435 | 43 | 30,290 | ||||||||||||||
Brokerage, management fees and commissions | 15,405 | — | — | — | 15,405 | ||||||||||||||
Bankcard income | 7,150 | — | 70 | 33 | 7,253 | ||||||||||||||
Trust services and investment management | 7,213 | — | (18 | ) | — | 7,195 | |||||||||||||
BOLI (b) | — | — | 4,589 | — | 4,589 | ||||||||||||||
Equity securities gains/(losses), net (b) | — | — | 25 | — | 25 | ||||||||||||||
All other income and commissions (c) (d) | 23,170 | 209 | (9,819 | ) | 804 | 14,364 | |||||||||||||
Total noninterest income | $ | 81,871 | $ | 95,723 | $ | (3,718 | ) | $ | 880 | $ | 174,756 |
1Q21 FORM 10-Q REPORT |
Three months ended March 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||
Three months ended March 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Regional Banking | Fixed Income | Corporate | Non- Strategic | Consolidated | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | (Dollars in millions) | Regional Banking | Specialty Banking | Corporate | Consolidated | |||||||||||||||||||||||||||||||||||||
Noninterest income: | Noninterest income: | |||||||||||||||||||||||||||||||||||||||||
Fixed income (a) | $ | 17 | $ | 53,732 | $ | — | $ | — | $ | 53,749 | Fixed income (a) | $ | 0 | $ | 96 | $ | 0 | $ | 96 | |||||||||||||||||||||||
Mortgage banking and title income | Mortgage banking and title income | 0 | 2 | 0 | 2 | |||||||||||||||||||||||||||||||||||||
Deposit transactions and cash management | 30,003 | 3 | 1,563 | 52 | 31,621 | Deposit transactions and cash management | 26 | 3 | 1 | 30 | ||||||||||||||||||||||||||||||||
Brokerage, management fees and commissions | 12,630 | — | — | 3 | 12,633 | Brokerage, management fees and commissions | 16 | 0 | 0 | 16 | ||||||||||||||||||||||||||||||||
Trust services and investment management | Trust services and investment management | 7 | 0 | 0 | 7 | |||||||||||||||||||||||||||||||||||||
Bankcard income | 7,039 | — | 62 | (149 | ) | 6,952 | Bankcard income | 6 | 1 | 0 | 7 | |||||||||||||||||||||||||||||||
Trust services and investment management | 7,056 | — | (30 | ) | — | 7,026 | ||||||||||||||||||||||||||||||||||||
BOLI (b) | — | — | 4,402 | — | 4,402 | |||||||||||||||||||||||||||||||||||||
Equity securities gains/(losses), net (b) | — | — | 31 | — | 31 | |||||||||||||||||||||||||||||||||||||
All other income and commissions (c) | 16,284 | 72 | 7,325 | 950 | 24,631 | |||||||||||||||||||||||||||||||||||||
Other income (b) | Other income (b) | 18 | 2 | (4) | 16 | |||||||||||||||||||||||||||||||||||||
Total noninterest income | $ | 73,029 | $ | 53,807 | $ | 13,353 | $ | 856 | $ | 141,045 | Total noninterest income | $ | 73 | $ | 104 | $ | (3) | $ | 174 |
1Q21 FORM 10-Q REPORT |
(Dollars in thousands) | March 31, 2020 | December 31, 2019 | ||||||||
Assets: | ||||||||||
Other assets | $ | 82,904 | $ | 91,873 | ||||||
Total assets | $ | 82,904 | $ | 91,873 | ||||||
Liabilities: | ||||||||||
Other liabilities | $ | 61,517 | $ | 70,830 | ||||||
Total liabilities | $ | 61,517 | $ | 70,830 |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||
Other assets | $ | 200 | $ | 195 | ||||||||||||||||||||||
Total assets | $ | 200 | $ | 195 | ||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||
Other liabilities | $ | 173 | $ | 165 | ||||||||||||||||||||||
Total liabilities | $ | 173 | $ | 165 |
FIRST HORIZON CORPORATION | 39 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31, | ||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | ||||||||||||||||||||||||
Income tax expense (benefit): | ||||||||||||||||||||||||||
Amortization of qualifying LIHTC investments | $ | 9 | $ | 6 | ||||||||||||||||||||||
Low income housing tax credits | (9) | (5) | ||||||||||||||||||||||||
Other tax benefits related to qualifying LIHTC investments | (3) | (3) |
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Provision/(benefit) for income taxes: | ||||||||
Amortization of qualifying LIHTC investments | $ | 5,561 | $ | 3,998 | ||||
Low income housing tax credits | (4,598 | ) | (3,629 | ) | ||||
Other tax benefits related to qualifying LIHTC investments | (2,555 | ) | (1,610 | ) |
FIRST HORIZON CORPORATION | 40 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | Maximum Loss Exposure | Liability Recognized | Classification | |||||||||||||||||
Type | ||||||||||||||||||||
Low income housing partnerships | $ | 345 | $ | 126 | (a) | |||||||||||||||
Other tax credit investments (b) | 68 | 42 | Other assets | |||||||||||||||||
Small issuer trust preferred holdings (c) | 210 | 0 | Loans and leases | |||||||||||||||||
On-balance sheet trust preferred securitization | 32 | 83 | (d) | |||||||||||||||||
Holdings of agency mortgage-backed securities (c) | 7,053 | 0 | (e) | |||||||||||||||||
Commercial loan troubled debt restructurings (f) | 169 | 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 | $ | 241,435 | $ | 123,720 | (a) | |||||
Other tax credit investments (b) | 6,161 | — | Other assets | |||||||
Small issuer trust preferred holdings (c) | 234,214 | — | Loans, net of unearned income | |||||||
On-balance sheet trust preferred securitization | 32,261 | 81,912 | (d) | |||||||
Proprietary residential mortgage securitizations | 785 | — | Trading securities | |||||||
Holdings of agency mortgage-backed securities (c) | 5,126,372 | — | (e) | |||||||
Commercial loan troubled debt restructurings (f) | 42,109 | — | Loans, net of unearned income | |||||||
Sale-leaseback transaction | 18,052 | — | (g) | |||||||
Proprietary trust preferred issuances (h) | — | 167,014 | Term borrowings |
(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 | $ | 237,668 | $ | 136,404 | (a) | |||||
Other tax credit investments (b) (c) | 6,282 | — | Other assets | |||||||
Small issuer trust preferred holdings (d) | 238,397 | — | Loans, net of unearned income | |||||||
On-balance sheet trust preferred securitization | 33,265 | 80,908 | (e) | |||||||
Proprietary residential mortgage securitizations | 941 | — | Trading securities | |||||||
Holdings of agency mortgage-backed securities (d) | 4,537,685 | — | (f) | |||||||
Commercial loan troubled debt restructurings (g) | 45,169 | — | Loans, net of unearned income | |||||||
Sale-leaseback transaction | 18,111 | — | (h) | |||||||
Proprietary trust preferred issuances (i) | — | 167,014 | Term borrowings |
1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 42 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | ||||||||||||||||||||||||||||||||
March 31, 2020 | ||||||||||||||||||||||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||||||||||||||||||||||
(Dollars in millions) | (Dollars in millions) | Notional | Assets | Liabilities | ||||||||||||||||||||||||||||
Customer interest rate contracts | $ | 3,395,932 | $ | 232,886 | $ | 1,509 | Customer interest rate contracts | $ | 3,877 | $ | 111 | $ | 60 | |||||||||||||||||||
Offsetting upstream interest rate contracts | 3,395,932 | 8,822 | 16,735 | Offsetting upstream interest rate contracts | 3,877 | 6 | 13 | |||||||||||||||||||||||||
Option contracts purchased | Option contracts purchased | 3 | 0 | 0 | ||||||||||||||||||||||||||||
Forwards and futures purchased | 8,641,017 | 156,687 | 8,508 | Forwards and futures purchased | 15,777 | 12 | 108 | |||||||||||||||||||||||||
Forwards and futures sold | 9,435,099 | 8,829 | 163,096 | Forwards and futures sold | 16,495 | 119 | 8 |
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, 2019 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Customer interest rate contracts | $ | 2,697,522 | $ | 65,768 | $ | 6,858 | ||||||
Offsetting upstream interest rate contracts | 2,697,522 | 2,583 | 3,994 | |||||||||
Option contracts purchased | 40,000 | 131 | — | |||||||||
Forwards and futures purchased | 9,217,350 | 17,029 | 3,187 | |||||||||
Forwards and futures sold | 9,403,112 | 3,611 | 16,620 |
FIRST HORIZON CORPORATION | 43 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||||||||
Customer interest rate contracts | $ | 7,057 | $ | 255 | $ | 30 | ||||||||||||||
Offsetting upstream interest rate contracts | 7,057 | 4 | 24 | |||||||||||||||||
March 31, 2020 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||
Customer interest rate contracts | $ | 3,433,278 | $ | 282,434 | $ | 503 | ||||||
Offsetting upstream interest rate contracts | 3,433,278 | 5,750 | 23,066 | |||||||||
Debt Hedging | ||||||||||||
Hedging Instruments: | ||||||||||||
Interest rate swaps | $ | 500,000 | $ | 61 | N/A | |||||||
Hedged Items: | ||||||||||||
Term borrowings: | ||||||||||||
Par | N/A | N/A | $ | 500,000 | ||||||||
Cumulative fair value hedging adjustments | N/A | N/A | 2,862 | |||||||||
Unamortized premium/(discount) and issuance costs | N/A | N/A | (519 | ) | ||||||||
Total carrying value | N/A | N/A | $ | 502,343 |
December 31, 2019 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||
Customer interest rate contracts | $ | 3,044,067 | $ | 90,394 | $ | 3,515 | ||||||
Offsetting upstream interest rate contracts | 3,044,067 | 3,537 | 9,735 | |||||||||
Debt Hedging | ||||||||||||
Hedging Instruments: | ||||||||||||
Interest rate swaps | $ | 500,000 | N/A | $ | 69 | |||||||
Hedged Items: | ||||||||||||
Term borrowings: | ||||||||||||
Par | N/A | N/A | $ | 500,000 | ||||||||
Cumulative fair value hedging adjustments | N/A | N/A | (1,604 | ) | ||||||||
Unamortized premium/(discount) and issuance costs | N/A | N/A | (740 | ) | ||||||||
Total carrying value | N/A | N/A | $ | 497,656 |
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 | |||||||||||||||||
Three Months Ended March 31, | ||||||||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Gains (Losses) | Gains (Losses) | ||||||||||||||||||||||||
Customer Interest Rate Contracts Hedging | ||||||||||||||||||||||||||
Hedging Instruments and Hedged Items: | ||||||||||||||||||||||||||
Customer interest rate contracts (a) | $ | 214 | $ | 196 | ||||||||||||||||||||||
Offsetting upstream interest rate contracts (a) | (214) | (196) | ||||||||||||||||||||||||
Debt Hedging | ||||||||||||||||||||||||||
Hedging Instruments: | ||||||||||||||||||||||||||
Interest rate swaps (b) | $ | 0 | $ | 5 | ||||||||||||||||||||||
Hedged Items: | ||||||||||||||||||||||||||
Term borrowings (a) (c) | 0 | (4) |
Three Months Ended March 31 | ||||||||
2020 | 2019 | |||||||
(Dollars in thousands) | Gains/(Losses) | Gains/(Losses) | ||||||
Customer Interest Rate Contracts Hedging | ||||||||
Hedging Instruments and Hedged Items: | ||||||||
Customer interest rate contracts (a) | $ | 195,552 | $ | 29,112 | ||||
Offsetting upstream interest rate contracts (a) | (195,552 | ) | (29,112 | ) | ||||
Debt Hedging | ||||||||
Hedging Instruments: | ||||||||
Interest rate swaps (b) | $ | 4,934 | $ | 4,279 | ||||
Hedged Items: | ||||||||
Term borrowings (a) (c) | (4,465 | ) | (4,266 | ) |
FIRST HORIZON CORPORATION | 44 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | ||||||||||||||||||||||||||||||
March 31, 2020 | ||||||||||||||||||||||||||||||
(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 | $ | 700,000 | $ | 187 | N/A | |||||||||||||||||||||||||
Interest rate contracts | Interest rate contracts | $ | 1,250 | $ | 27 | $ | 0 | |||||||||||||||||||||||
Hedged Items: | Hedged Items: | |||||||||||||||||||||||||||||
Variability in cash flows related to debt instruments (primarily loans) | N/A | $ | 700,000 | N/A | Variability in cash flows related to debt instruments (primarily loans) | N/A | $ | 1,250 | N/A |
December 31, 2019 | ||||||||||||
(Dollars in thousands) | Notional | Assets | Liabilities | |||||||||
Cash Flow Hedges | ||||||||||||
Hedging Instruments: | ||||||||||||
Interest rate swaps | $ | 900,000 | N/A | $ | 241 | |||||||
Hedged Items: | ||||||||||||
Variability in cash flows related to debt instruments (primarily loans) | N/A | $ | 900,000 | N/A |
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||
Hedging Instruments: | ||||||||||||||||||||
Interest rate contracts | $ | 1,250 | $ | 32 | $ | 0 | ||||||||||||||
Hedged Items: | ||||||||||||||||||||
Variability in cash flows related to debt instruments (primarily loans) | N/A | $ | 1,250 | N/A |
Three Months Ended March 31, | ||||||||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Gains (Losses) | Gains (Losses) | ||||||||||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||||||||
Hedging Instruments: | ||||||||||||||||||||||||||
Interest rate contracts (a) | $ | 8 | $ | 17 | ||||||||||||||||||||||
Gain (loss) recognized in Other comprehensive income (loss) | (3) | 13 | ||||||||||||||||||||||||
Gain (loss) reclassified from AOCI into Interest income | 1 | 0 |
March 31, 2021 | |||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | ||||||||||||||
Mortgage Banking Hedges | |||||||||||||||||
Option contracts written | $ | 702 | $ | 9 | $ | 1 | |||||||||||
Forward contracts purchased | 878 | 14 | 0 | ||||||||||||||
Three Months Ended March 31 | ||||||||
2020 | 2019 | |||||||
(Dollars in thousands) | Gains/(Losses) | Gains/(Losses) | ||||||
Cash Flow Hedges | ||||||||
Hedging Instruments: | ||||||||
Interest rate swaps (a) | $ | 17,374 | $ | 7,218 | ||||
Gain/(loss) recognized in Other comprehensive income/(loss) | 13,155 | 3,936 | ||||||
Gain/(loss) reclassified from AOCI into Interest income | (94 | ) | 1,451 |
1Q21 FORM 10-Q REPORT |
December 31, 2020 | ||||||||||||||||||||
(Dollars in millions) | Notional | Assets | Liabilities | |||||||||||||||||
Mortgage Banking Hedges | ||||||||||||||||||||
Option contracts written | $ | 667 | $ | 20 | $ | 0 | ||||||||||||||
Forward contracts purchased | 725 | 0 | 6 | |||||||||||||||||
Three Months Ended March 31, | ||||||||||||||
2021 | ||||||||||||||
(Dollars in millions) | Gains (Losses) | |||||||||||||
Mortgage Banking Hedges | ||||||||||||||
Option contracts written | $ | (11) | ||||||||||||
Forward contracts purchased | 23 | |||||||||||||
FIRST HORIZON CORPORATION | 46 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 47 | 1Q21 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: | ||||||||||||||||||||||||||||||||||||||
March 31, 2021 | ||||||||||||||||||||||||||||||||||||||
Interest rate derivative contracts | $ | 412 | $ | 0 | $ | 412 | $ | (42) | $ | (232) | $ | 138 | ||||||||||||||||||||||||||
Forward contracts | 131 | 0 | 131 | (33) | (5) | 93 | ||||||||||||||||||||||||||||||||
$ | 543 | $ | 0 | $ | 543 | $ | (75) | $ | (237) | $ | 231 | |||||||||||||||||||||||||||
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: | ||||||||||||||||||||||||
March 31, 2020 | ||||||||||||||||||||||||
Interest rate derivative contracts | $ | 530,337 | $ | — | $ | 530,337 | $ | (1,974 | ) | $ | (303,798 | ) | $ | 224,565 | ||||||||||
Forward contracts | 165,516 | — | 165,516 | (89,790 | ) | (54,018 | ) | 21,708 | ||||||||||||||||
$ | 695,853 | $ | — | $ | 695,853 | $ | (91,764 | ) | $ | (357,816 | ) | $ | 246,273 | |||||||||||
December 31, 2019 | ||||||||||||||||||||||||
Interest rate derivative contracts | $ | 162,344 | $ | — | $ | 162,344 | $ | (5,604 | ) | $ | (143,334 | ) | $ | 13,406 | ||||||||||
Forward contracts | 20,640 | — | 20,640 | (13,292 | ) | (2,000 | ) | 5,348 | ||||||||||||||||
$ | 182,984 | $ | — | $ | 182,984 | $ | (18,896 | ) | $ | (145,334 | ) | $ | 18,754 |
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: | ||||||||||||||||||||||||||||||||||||||
March 31, 2021 | ||||||||||||||||||||||||||||||||||||||
Interest rate derivative contracts | $ | 128 | $ | 0 | $ | 128 | $ | (42) | $ | (12) | $ | 74 | ||||||||||||||||||||||||||
Forward contracts | 115 | 0 | 115 | (33) | (34) | 48 | ||||||||||||||||||||||||||||||||
$ | 243 | $ | 0 | $ | 243 | $ | (75) | $ | (46) | $ | 122 | |||||||||||||||||||||||||||
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: | ||||||||||||||||||||||||
March 31, 2020 | ||||||||||||||||||||||||
Interest rate derivative contracts | $ | 41,980 | $ | — | $ | 41,980 | $ | (1,974 | ) | $ | (36,129 | ) | $ | 3,877 | ||||||||||
Forward contracts | 171,604 | — | 171,604 | (89,790 | ) | (81,814 | ) | — | ||||||||||||||||
$ | 213,584 | $ | — | $ | 213,584 | $ | (91,764 | ) | $ | (117,943 | ) | $ | 3,877 | |||||||||||
December 31, 2019 | ||||||||||||||||||||||||
Interest rate derivative contracts | $ | 24,431 | $ | — | $ | 24,431 | $ | (5,604 | ) | $ | (18,689 | ) | $ | 138 | ||||||||||
Forward contracts | 19,807 | — | 19,807 | (13,292 | ) | (6,515 | ) | — | ||||||||||||||||
$ | 44,238 | $ | — | $ | 44,238 | $ | (18,896 | ) | $ | (25,204 | ) | $ | 138 |
1Q21 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: | ||||||||||||||||||||||||
March 31, 2020 | $ | 562,435 | $ | — | $ | 562,435 | $ | (6,290 | ) | $ | (553,688 | ) | $ | 2,457 | ||||||||||
December 31, 2019 | 586,629 | — | 586,629 | (21,004 | ) | (562,702 | ) | 2,923 |
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: | ||||||||||||||||||||||||||||||||||||||
March 31, 2021 | $ | 463 | $ | 0 | $ | 463 | $ | 0 | $ | (461) | $ | 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: | ||||||||||||||||||||||||
March 31, 2020 | $ | 788,595 | $ | — | $ | 788,595 | $ | (6,290 | ) | $ | (782,305 | ) | $ | — | ||||||||||
December 31, 2019 | 716,925 | — | 716,925 | (21,004 | ) | (695,879 | ) | 42 |
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: | ||||||||||||||||||||||||||||||||||||||
March 31, 2021 | $ | 1,098 | $ | 0 | $ | 1,098 | $ | 0 | $ | (1,098) | $ | 0 | ||||||||||||||||||||||||||
December 31, 2020 | 1,187 | 0 | 1,187 | 0 | (1,187) | 0 |
FIRST HORIZON CORPORATION | 49 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | ||||||||||||||||||||
(Dollars in millions) | Overnight and Continuous | Up to 30 Days | Total | |||||||||||||||||
Securities sold under agreements to repurchase: | ||||||||||||||||||||
U.S. treasuries | $ | 294 | $ | 0 | $ | 294 | ||||||||||||||
Government agency issued MBS | 584 | 0 | 584 | |||||||||||||||||
Government agency issued CMO | 13 | 0 | 13 | |||||||||||||||||
Other U.S. government agencies | 82 | 0 | 82 | |||||||||||||||||
Government guaranteed loans (SBA and USDA) | 125 | 0 | 125 | |||||||||||||||||
Total securities sold under agreements to repurchase | $ | 1,098 | $ | 0 | $ | 1,098 | ||||||||||||||
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 |
March 31, 2020 | ||||||||||||
(Dollars in thousands) | Overnight and Continuous | Up to 30 Days | Total | |||||||||
Securities sold under agreements to repurchase: | ||||||||||||
U.S. treasuries | $ | 18,955 | $ | — | $ | 18,955 | ||||||
Government agency issued MBS | 399,353 | 10,397 | 409,750 | |||||||||
Government agency issued CMO | — | 5,498 | 5,498 | |||||||||
Other U.S. government agencies | 83,214 | — | 83,214 | |||||||||
Government guaranteed loans (SBA and USDA) | 271,178 | — | 271,178 | |||||||||
Total Securities sold under agreements to repurchase | $ | 772,700 | $ | 15,895 | $ | 788,595 | ||||||
December 31, 2019 | ||||||||||||
(Dollars in thousands) | Overnight and Continuous | Up to 30 Days | Total | |||||||||
Securities sold under agreements to repurchase: | ||||||||||||
U.S. treasuries | $ | 41,364 | $ | — | $ | 41,364 | ||||||
Government agency issued MBS | 341,173 | 4,545 | 345,718 | |||||||||
Other U.S. government agencies | 54,924 | — | 54,924 | |||||||||
Government guaranteed loans (SBA and USDA) | 274,919 | — | 274,919 | |||||||||
Total Securities sold under agreements to repurchase | $ | 712,380 | $ | 4,545 | $ | 716,925 |
FIRST HORIZON CORPORATION | 50 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 51 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | ||||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||
Trading securities: | ||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 0 | $ | 51 | $ | 0 | $ | 51 | ||||||||||||||||||||||||
Government agency issued MBS | 0 | 384 | 0 | 384 | ||||||||||||||||||||||||||||
Government agency issued CMO | 0 | 190 | 0 | 190 | ||||||||||||||||||||||||||||
Other U.S. government agencies | 0 | 237 | 0 | 237 | ||||||||||||||||||||||||||||
States and municipalities | 0 | 10 | 0 | 10 | ||||||||||||||||||||||||||||
Corporate and other debt | 0 | 204 | 0 | 204 | ||||||||||||||||||||||||||||
Total trading securities | 0 | 1,076 | 0 | 1,076 | ||||||||||||||||||||||||||||
Loans held for sale (elected fair value) | 0 | 437 | 12 | 449 | ||||||||||||||||||||||||||||
Loans held for investment (elected fair value) | 0 | 0 | 17 | 17 | ||||||||||||||||||||||||||||
Securities available for sale: | ||||||||||||||||||||||||||||||||
U.S. treasuries | 0 | 610 | 0 | 610 | ||||||||||||||||||||||||||||
Government agency issued MBS | 0 | 4,038 | 0 | 4,038 | ||||||||||||||||||||||||||||
Government agency issued CMO | 0 | 2,441 | 0 | 2,441 | ||||||||||||||||||||||||||||
Other U.S. government agencies | 0 | 725 | 0 | 725 | ||||||||||||||||||||||||||||
States and municipalities | 0 | 475 | 0 | 475 | ||||||||||||||||||||||||||||
Corporate and other debt | 0 | 40 | 0 | 40 | ||||||||||||||||||||||||||||
Interest-only strips (elected fair value) | 0 | 0 | 22 | 22 | ||||||||||||||||||||||||||||
Total securities available for sale | 0 | 8,329 | 22 | 8,351 | ||||||||||||||||||||||||||||
Other assets: | ||||||||||||||||||||||||||||||||
Deferred compensation mutual funds | 122 | 0 | 0 | 122 | ||||||||||||||||||||||||||||
Equity, mutual funds, and other | 25 | 0 | 0 | 25 | ||||||||||||||||||||||||||||
Derivatives, forwards and futures | 145 | 0 | 0 | 145 | ||||||||||||||||||||||||||||
Derivatives, interest rate contracts | 0 | 414 | 0 | 414 | ||||||||||||||||||||||||||||
Derivatives, other | 0 | 2 | 0 | 2 | ||||||||||||||||||||||||||||
Total other assets | 292 | 416 | 0 | 708 | ||||||||||||||||||||||||||||
Total assets | $ | 292 | $ | 10,258 | $ | 51 | $ | 10,601 | ||||||||||||||||||||||||
Trading liabilities: | ||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 0 | $ | 361 | $ | 0 | $ | 361 | ||||||||||||||||||||||||
Other U.S.government agencies | 0 | 20 | 0 | 20 | ||||||||||||||||||||||||||||
Government agency issued MBS | 0 | 8 | 0 | 8 | ||||||||||||||||||||||||||||
Corporate and other debt | 0 | 65 | 0 | 65 | ||||||||||||||||||||||||||||
Total trading liabilities | 0 | 454 | 0 | 454 | ||||||||||||||||||||||||||||
Other liabilities: | ||||||||||||||||||||||||||||||||
Derivatives, forwards and futures | 116 | 0 | 0 | 116 | ||||||||||||||||||||||||||||
Derivatives, interest rate contracts | 0 | 128 | 0 | 128 | ||||||||||||||||||||||||||||
Derivatives, other | 0 | 2 | 21 | 23 | ||||||||||||||||||||||||||||
Total other liabilities | 116 | 130 | 21 | 267 | ||||||||||||||||||||||||||||
Total liabilities | $ | 116 | $ | 584 | $ | 21 | $ | 721 |
March 31, 2020 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Trading securities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 243,315 | $ | — | $ | 243,315 | ||||||||
Government agency issued MBS | — | 661,174 | — | 661,174 | ||||||||||||
Government agency issued CMO | — | 435,738 | — | 435,738 | ||||||||||||
Other U.S. government agencies | — | 57,993 | — | 57,993 | ||||||||||||
States and municipalities | — | 75,288 | — | 75,288 | ||||||||||||
Corporate and other debt | — | 403,019 | — | 403,019 | ||||||||||||
Equity, mutual funds, and other | — | 202 | — | 202 | ||||||||||||
Total trading securities—fixed income | — | 1,876,729 | — | 1,876,729 | ||||||||||||
Trading securities—mortgage banking | — | — | 785 | 785 | ||||||||||||
Loans held-for-sale (elected fair value) | — | — | 13,584 | 13,584 | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. treasuries | — | 100 | — | 100 | ||||||||||||
Government agency issued MBS | — | 2,402,517 | — | 2,402,517 | ||||||||||||
Government agency issued CMO | — | 1,626,943 | — | 1,626,943 | ||||||||||||
Other U.S. government agencies | — | 372,497 | — | 372,497 | ||||||||||||
States and municipalities | — | 79,125 | — | 79,125 | ||||||||||||
Corporate and other debt | — | 40,621 | — | 40,621 | ||||||||||||
Interest-Only Strip (elected fair value) | — | — | 23,104 | 23,104 | ||||||||||||
Total securities available-for-sale | — | 4,521,803 | 23,104 | 4,544,907 | ||||||||||||
Other assets: | ||||||||||||||||
Deferred compensation mutual funds | 41,666 | — | — | 41,666 | ||||||||||||
Equity, mutual funds, and other | 22,833 | — | — | 22,833 | ||||||||||||
Derivatives, forwards and futures | 165,516 | — | — | 165,516 | ||||||||||||
Derivatives, interest rate contracts | — | 530,140 | — | 530,140 | ||||||||||||
Derivatives, other | — | 314 | 280 | 594 | ||||||||||||
Total other assets | 230,015 | 530,454 | 280 | 760,749 | ||||||||||||
Total assets | $ | 230,015 | $ | 6,928,986 | $ | 37,753 | $ | 7,196,754 | ||||||||
Trading liabilities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 387,498 | $ | — | $ | 387,498 | ||||||||
Government issued agency CMO | — | 1,746 | — | 1,746 | ||||||||||||
Corporate and other debt | — | 63,367 | — | 63,367 | ||||||||||||
Total trading liabilities—fixed income | — | 452,611 | — | 452,611 | ||||||||||||
Other liabilities: | ||||||||||||||||
Derivatives, forwards and futures | 171,604 | — | — | 171,604 | ||||||||||||
Derivatives, interest rate contracts | — | 41,813 | — | 41,813 | ||||||||||||
Derivatives, other | — | 397 | 21,170 | 21,567 | ||||||||||||
Total other liabilities | 171,604 | 42,210 | 21,170 | 234,984 | ||||||||||||
Total liabilities | $ | 171,604 | $ | 494,821 | $ | 21,170 | $ | 687,595 |
FIRST HORIZON CORPORATION | 52 | 1Q21 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, 2019 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Trading securities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 134,844 | $ | — | $ | 134,844 | ||||||||
Government agency issued MBS | — | 268,024 | — | 268,024 | ||||||||||||
Government agency issued CMO | — | 250,652 | — | 250,652 | ||||||||||||
Other U.S. government agencies | — | 124,972 | — | 124,972 | ||||||||||||
States and municipalities | — | 120,744 | — | 120,744 | ||||||||||||
Corporate and other debt | — | 445,253 | — | 445,253 | ||||||||||||
Equity, mutual funds, and other | — | 777 | — | 777 | ||||||||||||
Total trading securities—fixed income | — | 1,345,266 | — | 1,345,266 | ||||||||||||
Trading securities—mortgage banking | — | — | 941 | 941 | ||||||||||||
Loans held-for-sale (elected fair value) | — | — | 14,033 | 14,033 | ||||||||||||
Securities available-for-sale: | ||||||||||||||||
U.S. treasuries | — | 100 | — | 100 | ||||||||||||
Government agency issued MBS | — | 2,348,517 | — | 2,348,517 | ||||||||||||
Government agency issued CMO | — | 1,670,492 | — | 1,670,492 | ||||||||||||
Other U.S. government agencies | — | 306,092 | — | 306,092 | ||||||||||||
States and municipalities | — | 60,526 | — | 60,526 | ||||||||||||
Corporate and other debt | — | 40,540 | — | 40,540 | ||||||||||||
Interest-Only Strip (elected fair value) | — | — | 19,136 | 19,136 | ||||||||||||
Total securities available-for-sale | — | 4,426,267 | 19,136 | 4,445,403 | ||||||||||||
Other assets: | ||||||||||||||||
Deferred compensation mutual funds | 46,815 | — | — | 46,815 | ||||||||||||
Equity, mutual funds, and other | 22,643 | — | — | 22,643 | ||||||||||||
Derivatives, forwards and futures | 20,640 | — | — | 20,640 | ||||||||||||
Derivatives, interest rate contracts | — | 162,413 | — | 162,413 | ||||||||||||
Derivatives, other | — | 62 | — | 62 | ||||||||||||
Total other assets | 90,098 | 162,475 | — | 252,573 | ||||||||||||
Total assets | $ | 90,098 | $ | 5,934,008 | $ | 34,110 | $ | 6,058,216 | ||||||||
Trading liabilities—fixed income: | ||||||||||||||||
U.S. treasuries | $ | — | $ | 406,380 | $ | — | $ | 406,380 | ||||||||
Other U.S. government agencies | — | 88 | — | 88 | ||||||||||||
Government agency issued MBS | — | 33 | — | 33 | ||||||||||||
Corporate and other debt | — | 99,080 | — | 99,080 | ||||||||||||
Total trading liabilities—fixed income | — | 505,581 | — | 505,581 | ||||||||||||
Other liabilities: | ||||||||||||||||
Derivatives, forwards and futures | 19,807 | — | — | 19,807 | ||||||||||||
Derivatives, interest rate contracts | — | 24,412 | — | 24,412 | ||||||||||||
Derivatives, other | — | 466 | 22,795 | 23,261 | ||||||||||||
Total other liabilities | 19,807 | 24,878 | 22,795 | 67,480 | ||||||||||||
Total liabilities | $ | 19,807 | $ | 530,459 | $ | 22,795 | $ | 573,061 |
FIRST HORIZON CORPORATION | 53 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31, 2020 | ||||||||||||||||||||||||
(Dollars in thousands) | Trading securities | Interest- only strips- AFS | Loans held- for-sale | Net derivative liabilities | ||||||||||||||||||||
Balance on January 1, 2020 | $ | 941 | $ | 19,136 | $ | 14,033 | $ | (22,795 | ) | |||||||||||||||
Total net gains/(losses) included in: | ||||||||||||||||||||||||
Net income | (156 | ) | (1,295 | ) | 329 | (511 | ) | |||||||||||||||||
Purchases | — | 5,481 | — | — | ||||||||||||||||||||
Sales | — | (8,703 | ) | — | — | |||||||||||||||||||
Settlements | — | — | (778 | ) | 2,416 | |||||||||||||||||||
Net transfers into/(out of) Level 3 | — | 8,485 | (b) | — | — | |||||||||||||||||||
Balance on March 31, 2020 | $ | 785 | $ | 23,104 | $ | 13,584 | $ | (20,890 | ) | |||||||||||||||
Net unrealized gains/(losses) included in net income | $ | — | (a) | $ | (865 | ) | (c) | $ | 329 | (a) | $ | (511 | ) | (d) |
Three Months Ended March 31, 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 | 5 | 1 | 0 | (9) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales | (27) | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Settlements | 0 | (1) | (2) | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net transfers into (out of) Level 3 | 12 | (b) | 0 | 3 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance on March 31, 2021 | $ | 22 | $ | 12 | $ | 17 | $ | (21) | ||||||||||||||||||||||||||||||||||||||||||||||||
Net unrealized gains (losses) included in net income | $ | 2 | (c) | $ | 1 | (a) | $ | 0 | $ | (9) | (d) |
Three Months Ended March 31, 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 | (1) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Purchases | 0 | 5 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Sales | 0 | (8) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Settlements | 0 | 0 | (1) | 2 | ||||||||||||||||||||||||||||||||||||||||||||||
Net transfers into (out of) Level 3 | 0 | 8 | (b) | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||
Balance on March 31, 2020 | $ | 1 | $ | 23 | $ | 13 | $ | (21) | ||||||||||||||||||||||||||||||||||||||||||
Net unrealized gains (losses) included in net income | $ | 0 | (a) | $ | (1) | (c) | $ | 0 | (a) | $ | 0 | (d) |
Three Months Ended March 31, 2019 | ||||||||||||||||||||||||
(Dollars in thousands) | Trading securities | Interest-only-strips-AFS | Loans held-for-sale | Net derivative liabilities | ||||||||||||||||||||
Balance on January 1, 2019 | $ | 1,524 | $ | 9,902 | $ | 16,273 | $ | (31,540 | ) | |||||||||||||||
Total net gains/(losses) included in: | ||||||||||||||||||||||||
Net income | 21 | (1,258 | ) | 495 | 135 | |||||||||||||||||||
Purchases | — | 86 | — | — | ||||||||||||||||||||
Sales | — | (13,012 | ) | — | — | |||||||||||||||||||
Settlements | (148 | ) | — | (1,017 | ) | 2,435 | ||||||||||||||||||
Net transfers into/(out of) Level 3 | — | 17,477 | (b) | — | — | |||||||||||||||||||
Balance on March 31, 2019 | $ | 1,397 | $ | 13,195 | $ | 15,751 | $ | (28,970 | ) | |||||||||||||||
Net unrealized gains/(losses) included in net income | $ | (30 | ) | (a) | $ | (894 | ) | (c) | $ | 495 | (a) | $ | 135 | (d) |
FIRST HORIZON CORPORATION | 54 | 1Q21 FORM 10-Q REPORT |
Carrying value at March 31, 2020 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Loans held-for-sale—SBAs and USDA | $ | — | $ | 493,876 | $ | 890 | $ | 494,766 | ||||||||
Loans held-for-sale—first mortgages | — | — | 515 | 515 | ||||||||||||
Loans, net of unearned income (a) | — | — | 31,535 | 31,535 | ||||||||||||
OREO (b) | — | — | 13,881 | 13,881 | ||||||||||||
Other assets (c) | — | — | 10,262 | 10,262 |
Carrying value at March 31, 2021 | ||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||
Loans held for sale—SBAs and USDA | $ | 0 | $ | 299 | $ | 1 | $ | 300 | ||||||||||||||||||
Loans held for sale—first mortgages | 0 | 0 | 1 | 1 | ||||||||||||||||||||||
Loans and leases (a) | 0 | 0 | 69 | 69 | ||||||||||||||||||||||
OREO (b) | 0 | 0 | 11 | 11 | ||||||||||||||||||||||
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, 2019 | ||||||||||||||||
(Dollars in thousands) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Loans held-for-sale—SBAs and USDA | $ | — | $ | 492,595 | $ | 929 | $ | 493,524 | ||||||||
Loans held-for-sale—first mortgages | — | — | 516 | 516 | ||||||||||||
Loans, net of unearned income (a) | — | — | 42,208 | 42,208 | ||||||||||||
OREO (b) | — | — | 15,660 | 15,660 | ||||||||||||
Other assets (c) | — | — | 10,608 | 10,608 |
Net gains (losses) Three Months Ended March 31 | ||||||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | ||||||||||||||||||||||||
Loans held for sale—SBAs and USDA | $ | (1) | $ | (1) | ||||||||||||||||||||||
Loans and leases (a) | (7) | (5) | ||||||||||||||||||||||||
$ | (8) | $ | (6) |
Net gains/(losses) Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Loans held-for-sale—other consumer | $ | — | $ | (200 | ) | |||
Loans held-for-sale—SBAs and USDA | (1,391 | ) | (683 | ) | ||||
Loans held-for-sale—first mortgages | 5 | 15 | ||||||
Loans, net of unearned income (a) | (4,839 | ) | 200 | |||||
OREO (b) | (27 | ) | 35 | |||||
Other assets (c) | (346 | ) | (675 | ) | ||||
$ | (6,598 | ) | $ | (1,308 | ) |
1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 56 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | Values Utilized | |||||||||||||||||||||||||||||||
Level 3 Class | Fair Value at March 31, 2021 | Valuation Techniques | Unobservable Input | Range | Weighted Average (d) | |||||||||||||||||||||||||||
Available for sale securities SBA-interest only strips | $ | 22 | Discounted cash flow | Constant prepayment rate | 12% | 12% | ||||||||||||||||||||||||||
Bond equivalent yield | 10% - 13% | 11% | ||||||||||||||||||||||||||||||
Loans held for sale - residential real estate | $ | 13 | Discounted cash flow | Prepayment speeds - First mortgage | 4% - 13% | 5% | ||||||||||||||||||||||||||
Foreclosure losses | 57% - 65% | 62% | ||||||||||||||||||||||||||||||
Loss severity trends - First mortgage | 9% - 17% 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 | 8% | 8% | ||||||||||||||||||||||||||||||
Loans held for investment | $ | 17 | Discounted cash flow | Constant prepayment rate | 0% - 46% | 31% | ||||||||||||||||||||||||||
Constant default rate | 0% - 15% | 1% | ||||||||||||||||||||||||||||||
Loss severity trends | 0% - 93% | 7% | ||||||||||||||||||||||||||||||
Derivative liabilities, other | $ | 21 | 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 | 12 - 36 months | 26 months | ||||||||||||||||||||||||||||||
Loans and leases (a) | $ | 69 | 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) | $ | 11 | 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) | ||||||||||||
Values Utilized | ||||||||||||
Level 3 Class | Fair Value at March 31, 2020 | Valuation Techniques | Unobservable Input | Range | Weighted Average (d) | |||||||
Available-for-sale- securities SBA-interest only strips | $ | 23,104 | Discounted cash flow | Constant prepayment rate | 12% | 12% | ||||||
Bond equivalent yield | 14% - 18% | 14% | ||||||||||
Loans held-for-sale - residential real estate | 14,099 | Discounted cash flow | Prepayment speeds - First mortgage | 3% - 15% | 4.6% | |||||||
Foreclosure losses | 50% - 66% | 64% | ||||||||||
Loss severity trends - First mortgage | 2% - 20% of UPB | 14.2% | ||||||||||
Loans held-for-sale- unguaranteed interest in SBA loans | 890 | Discounted cash flow | Constant prepayment rate | 8% - 12% | 10% | |||||||
Bond equivalent yield | 8% | 8% | ||||||||||
Derivative liabilities, other | 20,890 | 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 | 12 - 36 months | 26 months | ||||||||||
Loans, net of unearned income (a) | 31,535 | 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) | 13,881 | Appraisals from comparable properties | Adjustment for value changes since appraisal | 0% - 10% of appraisal | NM | |||||||
Other assets (c) | 10,262 | 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 |
1Q21 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 |
(Dollars in thousands) | ||||||||||||
Values Utilized | ||||||||||||
Level 3 Class | Fair Value at December 31, 2019 | Valuation Techniques | Unobservable Input | Range | Weighted Average (d) | |||||||
Available-for-sale- securities SBA-interest only strips | $ | 19,136 | Discounted cash flow | Constant prepayment rate | 12% | 12% | ||||||
Bond equivalent yield | 16% - 17% | 16% | ||||||||||
Loans held-for-sale - residential real estate | 14,549 | Discounted cash flow | Prepayment speeds - First mortgage | 3% - 14% | 4.1% | |||||||
Prepayment speeds - HELOC | 0% - 12% | 7.6% | ||||||||||
Foreclosure losses | 50% - 66% | 64% | ||||||||||
Loss severity trends - First mortgage | 3% - 24% of UPB | 14.3% | ||||||||||
Loss severity trends - HELOC | 0% - 72% of UPB | 50% | ||||||||||
Loans held-for-sale- unguaranteed interest in SBA loans | 929 | Discounted cash flow | Constant prepayment rate | 8% - 12% | 10% | |||||||
Bond equivalent yield | 9% | 9% | ||||||||||
Derivative liabilities, other | 22,795 | 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 | 15 - 39 months | 29 months | ||||||||||
Loans, net of unearned income (a) | 42,208 | 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) | 15,660 | Appraisals from comparable properties | Adjustment for value changes since appraisal | 0% - 10% of appraisal | NM | |||||||
Other assets (c) | 10,608 | 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 |
1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 59 | 1Q21 FORM 10-Q REPORT |
March 31, 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 | $ | 449 | $ | 445 | $ | 4 | ||||||||||||||
Nonaccrual loans | 2 | 5 | (3) | |||||||||||||||||
Loans held for investment reported at fair value: | ||||||||||||||||||||
Total loans | $ | 17 | $ | 17 | $ | 0 | ||||||||||||||
Nonaccrual loans | 1 | 1 | 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 |
March 31, 2020 | ||||||||||||
(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 | $ | 13,584 | $ | 18,546 | $ | (4,962 | ) | |||||
Nonaccrual loans | 3,181 | 6,069 | (2,888 | ) | ||||||||
Loans 90 days or more past due and still accruing | 190 | 268 | (78 | ) | ||||||||
December 31, 2019 | ||||||||||||
(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 | $ | 14,033 | $ | 19,278 | $ | (5,245 | ) | |||||
Nonaccrual loans | 3,532 | 6,646 | (3,114 | ) | ||||||||
Loans 90 days or more past due and still accruing | 163 | 268 | (105 | ) |
Three Months Ended March 31, | |||||||||||||||||||||||
(Dollars in millions) | 2021 | 2020 | |||||||||||||||||||||
Changes in fair value included in net income: | |||||||||||||||||||||||
Mortgage banking noninterest income | |||||||||||||||||||||||
Loans held for sale | $ | (9) | $ | 0 | |||||||||||||||||||
Three Months Ended March 31 | |||||||
(Dollars in thousands) | 2020 | 2019 | |||||
Changes in fair value included in net income: | |||||||
Mortgage banking noninterest income | |||||||
Loans held-for-sale | $ | 329 | $ | 495 |
FIRST HORIZON CORPORATION | 60 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 61 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 62 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 63 | 1Q21 FORM 10-Q REPORT |
March 31, 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 | $ | 33,509 | $ | 0 | $ | 0 | $ | 33,249 | $ | 33,249 | ||||||||||||||||||||||
Commercial real estate | 12,238 | 0 | 0 | 12,265 | 12,265 | |||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
Consumer real estate | 10,831 | 0 | 0 | 11,283 | 11,283 | |||||||||||||||||||||||||||
Credit card and other | 1,108 | 0 | 0 | 1,134 | 1,134 | |||||||||||||||||||||||||||
Total loans and leases, net of allowance for loan and lease losses | 57,686 | 0 | 0 | 57,931 | 57,931 | |||||||||||||||||||||||||||
Short-term financial assets: | ||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | 11,635 | 11,635 | 0 | 0 | 11,635 | |||||||||||||||||||||||||||
Federal funds sold | 463 | 0 | 463 | 0 | 463 | |||||||||||||||||||||||||||
Securities purchased under agreements to resell | 57 | 0 | 57 | 0 | 57 | |||||||||||||||||||||||||||
Total short-term financial assets | 12,155 | 11,635 | 520 | 0 | 12,155 | |||||||||||||||||||||||||||
Trading securities (a) | 1,076 | 0 | 1,076 | 0 | 1,076 | |||||||||||||||||||||||||||
Loans held for sale: | ||||||||||||||||||||||||||||||||
Mortgage loans (elected fair value) (a) | 449 | 0 | 437 | 12 | 449 | |||||||||||||||||||||||||||
USDA & SBA loans - LOCOM | 300 | 0 | 299 | 1 | 300 | |||||||||||||||||||||||||||
Other loans - LOCOM | 4 | 0 | 4 | 0 | 4 | |||||||||||||||||||||||||||
Mortgage loans - LOCOM | 58 | 0 | 0 | 58 | 58 | |||||||||||||||||||||||||||
Total loans held for sale | 811 | 0 | 740 | 71 | 811 | |||||||||||||||||||||||||||
Securities available for sale (a) | 8,351 | 0 | 8,329 | 22 | 8,351 | |||||||||||||||||||||||||||
Derivative assets (a) | 561 | 145 | 416 | 0 | 561 | |||||||||||||||||||||||||||
Other assets: | ||||||||||||||||||||||||||||||||
Tax credit investments | 410 | 0 | 0 | 400 | 400 | |||||||||||||||||||||||||||
Deferred compensation mutual funds | 122 | 122 | 0 | 0 | 122 | |||||||||||||||||||||||||||
Equity, mutual funds, and other (b) | 262 | 25 | 0 | 237 | 262 | |||||||||||||||||||||||||||
Total other assets | 794 | 147 | 0 | 637 | 784 | |||||||||||||||||||||||||||
Total assets | $ | 81,434 | $ | 11,927 | $ | 11,081 | $ | 58,661 | $ | 81,669 | ||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Defined maturity deposits | $ | 4,653 | $ | 0 | $ | 4,664 | $ | 0 | $ | 4,664 | ||||||||||||||||||||||
Trading liabilities (a) | 454 | 0 | 454 | 0 | 454 | |||||||||||||||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||||||||||||||
Federal funds purchased | 982 | 0 | 982 | 0 | 982 | |||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 1,098 | 0 | 1,098 | 0 | 1,098 | |||||||||||||||||||||||||||
Other short-term borrowings | 122 | 0 | 122 | 0 | 122 | |||||||||||||||||||||||||||
Total short-term financial liabilities | 2,202 | 0 | 2,202 | 0 | 2,202 | |||||||||||||||||||||||||||
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 | 239 | 0 | 0 | 237 | 237 | |||||||||||||||||||||||||||
Other long term borrowings | 1,326 | 0 | 1,462 | 0 | 1,462 | |||||||||||||||||||||||||||
Total term borrowings | 1,671 | 0 | 1,462 | 344 | 1,806 | |||||||||||||||||||||||||||
Derivative liabilities (a) | 265 | 116 | 130 | 21 | 267 | |||||||||||||||||||||||||||
Total liabilities | $ | 9,245 | $ | 116 | $ | 8,912 | $ | 365 | $ | 9,393 |
March 31, 2020 | ||||||||||||||||||||
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 | $ | 21,869,914 | $ | — | $ | — | $ | 22,072,783 | $ | 22,072,783 | ||||||||||
Commercial real estate | 4,592,067 | — | — | 4,624,811 | 4,624,811 | |||||||||||||||
Consumer: | ||||||||||||||||||||
Consumer real estate (a) | 5,996,361 | — | — | 6,141,872 | 6,141,872 | |||||||||||||||
Credit card & other | 475,471 | — | — | 481,763 | 481,763 | |||||||||||||||
Total loans, net of unearned income and allowance for loan losses | 32,933,813 | — | — | 33,321,229 | 33,321,229 | |||||||||||||||
Short-term financial assets: | ||||||||||||||||||||
Interest-bearing cash | 670,525 | 670,525 | — | — | 670,525 | |||||||||||||||
Federal funds sold | 30,050 | — | 30,050 | — | 30,050 | |||||||||||||||
Securities purchased under agreements to resell | 562,435 | — | 562,435 | — | 562,435 | |||||||||||||||
Total short-term financial assets | 1,263,010 | 670,525 | 592,485 | — | 1,263,010 | |||||||||||||||
Trading securities (b) | 1,877,514 | — | 1,876,729 | 785 | 1,877,514 | |||||||||||||||
Loans held-for-sale | ||||||||||||||||||||
Mortgage loans (elected fair value) (b) | 13,584 | — | — | 13,584 | 13,584 | |||||||||||||||
USDA & SBA loans- LOCOM | 494,766 | — | 497,071 | 905 | 497,976 | |||||||||||||||
Other consumer loans- LOCOM | 4,940 | — | 4,940 | — | 4,940 | |||||||||||||||
Mortgage loans- LOCOM | 82,311 | — | — | 82,311 | 82,311 | |||||||||||||||
Total loans held-for-sale | 595,601 | — | 502,011 | 96,800 | 598,811 | |||||||||||||||
Securities available-for-sale (b) | 4,544,907 | — | 4,521,803 | 23,104 | 4,544,907 | |||||||||||||||
Securities held-to-maturity | 10,000 | — | — | 9,824 | 9,824 | |||||||||||||||
Derivative assets (b) | 696,250 | 165,516 | 530,454 | 280 | 696,250 | |||||||||||||||
Other assets: | ||||||||||||||||||||
Tax credit investments | 250,596 | — | — | 249,450 | 249,450 | |||||||||||||||
Deferred compensation mutual funds | 41,666 | 41,666 | — | — | 41,666 | |||||||||||||||
Equity, mutual funds, and other (c) | 715,549 | 22,833 | — | 692,716 | 715,549 | |||||||||||||||
Total other assets | 1,007,811 | 64,499 | — | 942,166 | 1,006,665 | |||||||||||||||
Total assets | $ | 42,928,906 | $ | 900,540 | $ | 8,023,482 | $ | 34,394,188 | $ | 43,318,210 | ||||||||||
Liabilities: | ||||||||||||||||||||
Defined maturity deposits | $ | 3,058,198 | $ | — | $ | 3,105,082 | $ | — | $ | 3,105,082 | ||||||||||
Trading liabilities (b) | 452,611 | — | 452,611 | — | 452,611 | |||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||
Federal funds purchased | 476,013 | — | 476,013 | — | 476,013 | |||||||||||||||
Securities sold under agreements to repurchase | 788,595 | — | 788,595 | — | 788,595 | |||||||||||||||
Other short-term borrowings | 4,060,673 | — | 4,060,673 | — | 4,060,673 | |||||||||||||||
Total short-term financial liabilities | 5,325,281 | — | 5,325,281 | — | 5,325,281 | |||||||||||||||
Term borrowings: | ||||||||||||||||||||
Real estate investment trust-preferred | 46,253 | — | — | 47,000 | 47,000 | |||||||||||||||
Secured borrowings | 17,315 | — | — | 17,315 | 17,315 | |||||||||||||||
Junior subordinated debentures | 144,928 | — | — | 129,200 | 129,200 | |||||||||||||||
Other long term borrowings | 584,255 | — | 560,530 | — | 560,530 | |||||||||||||||
Total term borrowings | 792,751 | — | 560,530 | 193,515 | 754,045 | |||||||||||||||
Derivative liabilities (b) | 234,984 | 171,604 | 42,210 | 21,170 | 234,984 | |||||||||||||||
Total liabilities | $ | 9,863,825 | $ | 171,604 | $ | 9,485,714 | $ | 214,685 | $ | 9,872,003 |
1Q21 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) | 770 | 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 | $ | 77,886 | $ | 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, 2019 | ||||||||||||||||||||
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 | $ | 19,928,605 | $ | — | $ | — | $ | 20,096,397 | $ | 20,096,397 | ||||||||||
Commercial real estate | 4,300,905 | — | — | 4,300,489 | 4,300,489 | |||||||||||||||
Consumer: | ||||||||||||||||||||
Consumer real estate | 6,148,696 | — | — | 6,334,187 | 6,334,187 | |||||||||||||||
Credit card & other | 482,598 | — | — | 487,079 | 487,079 | |||||||||||||||
Total loans, net of unearned income and allowance for loan losses | 30,860,804 | — | — | 31,218,152 | 31,218,152 | |||||||||||||||
Short-term financial assets: | ||||||||||||||||||||
Interest-bearing cash | 482,405 | 482,405 | — | — | 482,405 | |||||||||||||||
Federal funds sold | 46,536 | — | 46,536 | — | 46,536 | |||||||||||||||
Securities purchased under agreements to resell | 586,629 | — | 586,629 | — | 586,629 | |||||||||||||||
Total short-term financial assets | 1,115,570 | 482,405 | 633,165 | — | 1,115,570 | |||||||||||||||
Trading securities (a) | 1,346,207 | — | 1,345,266 | 941 | 1,346,207 | |||||||||||||||
Loans held-for-sale | ||||||||||||||||||||
Mortgage loans (elected fair value) (a) | 14,033 | — | — | 14,033 | 14,033 | |||||||||||||||
USDA & SBA loans- LOCOM | 493,525 | — | 495,323 | 947 | 496,270 | |||||||||||||||
Other consumer loans- LOCOM | 5,197 | — | 5,197 | — | 5,197 | |||||||||||||||
Mortgage loans- LOCOM | 81,035 | — | — | 81,035 | 81,035 | |||||||||||||||
Total loans held-for-sale | 593,790 | — | 500,520 | 96,015 | 596,535 | |||||||||||||||
Securities available-for-sale (a) | 4,445,403 | — | 4,426,267 | 19,136 | 4,445,403 | |||||||||||||||
Securities held-to-maturity | 10,000 | — | — | 10,001 | 10,001 | |||||||||||||||
Derivative assets (a) | 183,115 | 20,640 | 162,475 | — | 183,115 | |||||||||||||||
Other assets: | ||||||||||||||||||||
Tax credit investments | 247,075 | — | — | 244,755 | 244,755 | |||||||||||||||
Deferred compensation assets | 46,815 | 46,815 | — | — | 46,815 | |||||||||||||||
Equity, mutual funds, and other (b) | 229,352 | 22,643 | — | 206,709 | 229,352 | |||||||||||||||
Total other assets | 523,242 | 69,458 | — | 451,464 | 520,922 | |||||||||||||||
Total assets | $ | 39,078,131 | $ | 572,503 | $ | 7,067,693 | $ | 31,795,709 | $ | 39,435,905 | ||||||||||
Liabilities: | ||||||||||||||||||||
Deposits: | ||||||||||||||||||||
Defined maturity | $ | 3,618,337 | $ | — | $ | 3,631,090 | $ | — | $ | 3,631,090 | ||||||||||
Trading liabilities (a) | 505,581 | — | 505,581 | — | 505,581 | |||||||||||||||
Short-term financial liabilities: | ||||||||||||||||||||
Federal funds purchased | 548,344 | — | 548,344 | — | 548,344 | |||||||||||||||
Securities sold under agreements to repurchase | 716,925 | — | 716,925 | — | 716,925 | |||||||||||||||
Other short-term borrowings | 2,253,045 | — | 2,253,045 | — | 2,253,045 | |||||||||||||||
Total short-term financial liabilities | 3,518,314 | — | 3,518,314 | — | 3,518,314 | |||||||||||||||
Term borrowings: | ||||||||||||||||||||
Real estate investment trust-preferred | 46,236 | — | — | 47,000 | 47,000 | |||||||||||||||
Secured Borrowings | 21,975 | — | — | 21,975 | 21,975 | |||||||||||||||
Junior subordinated debentures | 144,593 | — | — | 142,375 | 142,375 | |||||||||||||||
Other long term borrowings | 578,564 | — | 574,287 | — | 574,287 | |||||||||||||||
Total term borrowings | 791,368 | — | 574,287 | 211,350 | 785,637 | |||||||||||||||
Derivative liabilities (a) | 67,480 | 19,807 | 24,878 | 22,795 | 67,480 | |||||||||||||||
Total liabilities | $ | 8,501,080 | $ | 19,807 | $ | 8,254,150 | $ | 234,145 | $ | 8,508,102 |
1Q21 FORM 10-Q REPORT |
Contractual Amount | Fair Value | |||||||||||||||||||||||||
(Dollars in millions) | March 31, 2021 | December 31, 2020 | March 31, 2021 | December 31, 2020 | ||||||||||||||||||||||
Unfunded Commitments: | ||||||||||||||||||||||||||
Loan commitments | $ | 20,881 | $ | 20,796 | $ | 1 | $ | 2 | ||||||||||||||||||
Standby and other commitments | 720 | 751 | 6 | 6 |
Contractual Amount | Fair Value | |||||||||||||||
(Dollars in thousands) | March 31, 2020 | December 31, 2019 | March 31, 2020 | December 31, 2019 | ||||||||||||
Unfunded Commitments: | ||||||||||||||||
Loan commitments | $ | 10,966,768 | $ | 12,355,220 | $ | 2,909 | $ | 3,656 | ||||||||
Standby and other commitments | 455,028 | 459,268 | 6,211 | 5,513 |
FIRST HORIZON CORPORATION | 66 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31 | ||||||||
Dollars in thousands | 2020 | 2019 | ||||||
Employee compensation, incentives and benefits | $ | 57 | $ | 6,505 | ||||
Professional fees | 7 | 4,295 | ||||||
Occupancy | 2 | 817 | ||||||
Other | (103 | ) | 535 | |||||
Total restructuring and repositioning charges | $ | (37 | ) | $ | 12,152 |
FIRST HORIZON CORPORATION | 67 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 68 | 1Q21 FORM 10-Q REPORT |
General Information | ||||||||||||||
FIRST HORIZON CORPORATION | 69 | 1Q21 FORM 10-Q REPORT |
Financial Summary | ||||||||||||||
FIRST HORIZON CORPORATION | 70 | 1Q21 FORM 10-Q REPORT |
As of or for the three months ended | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions, except per share data) | March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||||||||||||||||||||||||||||
Pre-provision net revenue (a) | $ | 262 | $ | 302 | $ | 175 | ||||||||||||||||||||||||||||||||
Diluted earnings per common share | $ | 0.40 | $ | 0.42 | $ | 0.04 | ||||||||||||||||||||||||||||||||
Return on average assets (b) | 1.12 | % | 1.16 | % | 0.15 | % | ||||||||||||||||||||||||||||||||
Return on average common equity (c) | 12.01 | % | 12.53 | % | 1.05 | % | ||||||||||||||||||||||||||||||||
Return on average tangible common equity (a) (d) | 15.90 | % | 16.73 | % | 1.59 | % | ||||||||||||||||||||||||||||||||
Net interest margin (e) | 2.63 | % | 2.71 | % | 3.16 | % | ||||||||||||||||||||||||||||||||
Noninterest income to total revenue (f) | 37.00 | % | 35.86 | % | 36.59 | % | ||||||||||||||||||||||||||||||||
Efficiency ratio (g) | 67.54 | % | 62.46 | % | 63.26 | % | ||||||||||||||||||||||||||||||||
Allowance for loan and lease losses to total loans and leases | 1.56 | % | 1.65 | % | 1.33 | % | ||||||||||||||||||||||||||||||||
Net charge-offs to average loans and leases | 0.06 | % | 0.19 | % | 0.10 | % | ||||||||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.49 | % | 9.86 | % | 10.71 | % | ||||||||||||||||||||||||||||||||
Tangible common equity to tangible assets (a) | 6.64 | % | 6.89 | % | 6.81 | % | ||||||||||||||||||||||||||||||||
Cash dividends declared per common share | $ | 0.15 | $ | 0.15 | $ | 0.15 | ||||||||||||||||||||||||||||||||
Book value per common share | $ | 13.65 | $ | 13.59 | $ | 14.96 | ||||||||||||||||||||||||||||||||
Tangible book value per common share (a) | $ | 10.29 | $ | 10.23 | $ | 9.96 | ||||||||||||||||||||||||||||||||
Common equity Tier 1 | 9.97 | % | 9.68 | % | 8.54 | % | ||||||||||||||||||||||||||||||||
Market capitalization | $ | 9,341 | $ | 7,082 | $ | 2,514 |
Results of Operations | ||||||||||||||
71 | 1Q21 FORM 10-Q REPORT |
72 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31 | |||||
2020 | 2019 | ||||
Assets: | |||||
Earning assets: | |||||
Loans, net of unearned income: | |||||
Commercial loans | 4.33 | % | 5.08 | % | |
Consumer loans | 4.33 | 4.59 | |||
Total loans, net of unearned income | 4.33 | 4.96 | |||
Loans held-for-sale | 4.67 | 5.89 | |||
Investment securities: | |||||
U.S. government agencies | 2.32 | 2.68 | |||
States and municipalities | 3.35 | 4.33 | |||
Corporates and other debt | 4.67 | 4.37 | |||
Other | 33.76 | 34.56 | |||
Total investment securities | 2.51 | 2.79 | |||
Trading securities | 2.91 | 3.80 | |||
Other earning assets: | |||||
Federal funds sold | 1.05 | 2.63 | |||
Securities purchased under agreements to resell | 1.13 | 2.21 | |||
Interest-bearing cash | 1.13 | 2.41 | |||
Total other earning assets | 1.13 | 2.38 | |||
Interest income / total earning assets | 3.94 | % | 4.49 | % | |
Liabilities: | |||||
Interest-bearing liabilities: | |||||
Interest-bearing deposits: | |||||
Savings | 0.87 | % | 1.36 | % | |
Other interest-bearing deposits | 0.65 | 1.05 | |||
Time deposits | 1.67 | 1.91 | |||
Total interest-bearing deposits | 0.90 | 1.35 | |||
Federal funds purchased | 1.19 | 2.50 | |||
Securities sold under agreements to repurchase | 1.36 | 2.06 | |||
Fixed income trading liabilities | 1.76 | 3.04 | |||
Other short-term borrowings | 1.20 | 3.40 | |||
Term borrowings | 4.01 | 4.89 | |||
Interest expense / total interest-bearing liabilities | 1.05 | 1.57 | |||
Net interest spread | 2.89 | % | 2.92 | % | |
Effect of interest-free sources used to fund earning assets | 0.27 | 0.39 | |||
Net interest margin (a) | 3.16 | % | 3.31 | % |
Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | March 31, 2021 | December 31, 2020 | March 31, 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 | $ | 45,703 | $ | 382 | 3.39 | % | $ | 46,596 | $ | 405 | 3.46 | % | $ | 23,891 | $ | 257 | 4.33 | % | ||||||||||||||||||||||||||||||||||||||
Consumer loans | 12,519 | 128 | 4.13 | 13,224 | 129 | 3.89 | 6,633 | 71 | 4.33 | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans and leases | 58,222 | 510 | 3.55 | 59,820 | 534 | 3.56 | 30,524 | 328 | 4.33 | |||||||||||||||||||||||||||||||||||||||||||||||
Loans held for sale | 842 | 7 | 3.16 | 1,030 | 8 | 3.22 | 590 | 7 | 4.67 | |||||||||||||||||||||||||||||||||||||||||||||||
Investment securities | 8,321 | 29 | 1.41 | 8,213 | 27 | 1.29 | 4,467 | 28 | 2.51 | |||||||||||||||||||||||||||||||||||||||||||||||
Trading securities | 1,418 | 7 | 2.03 | 1,292 | 7 | 2.05 | 1,831 | 13 | 2.91 | |||||||||||||||||||||||||||||||||||||||||||||||
Federal funds sold | 45 | — | 0.12 | 34 | — | 0.15 | 10 | — | 1.05 | |||||||||||||||||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell (a) | 554 | — | (0.14) | 405 | — | 0.02 | 817 | 2 | 1.13 | |||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | 9,269 | 2 | 0.10 | 6,201 | 2 | 0.10 | 549 | 2 | 1.13 | |||||||||||||||||||||||||||||||||||||||||||||||
Total earning assets / Total interest income | $ | 78,671 | $ | 555 | 2.86 | % | $ | 76,995 | $ | 578 | 2.99 | % | $ | 38,788 | $ | 380 | 3.94 | % | ||||||||||||||||||||||||||||||||||||||
Cash and due from banks | 1,250 | 1,204 | 610 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and other intangible assets, net | 1,857 | 1,871 | 1,560 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan and lease losses | (949) | (985) | (354) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 4,572 | 4,724 | 2,948 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 85,401 | $ | 83,809 | $ | 43,552 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Shareholders' Equity: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Savings | $ | 27,370 | $ | 12 | 0.19 | % | $ | 27,090 | $ | 18 | 0.27 | % | $ | 12,117 | $ | 26 | 0.87 | % | ||||||||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 15,491 | 6 | 0.16 | 15,057 | 7 | 0.18 | 8,743 | 14 | 0.65 | |||||||||||||||||||||||||||||||||||||||||||||||
Time deposits | 4,836 | 6 | 0.47 | 5,387 | 6 | 0.44 | 3,356 | 14 | 1.67 | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 47,697 | 24 | 0.20 | 47,534 | 31 | 0.26 | 24,216 | 54 | 0.90 | |||||||||||||||||||||||||||||||||||||||||||||||
Federal funds purchased | 996 | — | 0.10 | 831 | — | 0.10 | 747 | 2 | 1.19 | |||||||||||||||||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 1,145 | 1 | 0.21 | 1,140 | 1 | 0.23 | 778 | 3 | 1.36 | |||||||||||||||||||||||||||||||||||||||||||||||
Trading liabilities | 518 | 1 | 0.73 | 367 | 1 | 0.78 | 751 | 3 | 1.76 | |||||||||||||||||||||||||||||||||||||||||||||||
Other short-term borrowings | 139 | — | 1.01 | 142 | — | 0.98 | 1,686 | 5 | 1.20 | |||||||||||||||||||||||||||||||||||||||||||||||
Term borrowings | 1,670 | 18 | 4.39 | 1,913 | 20 | 4.16 | 791 | 8 | 4.01 | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities / Total interest expense | $ | 52,165 | $ | 44 | 0.34 | % | $ | 51,927 | $ | 53 | 0.40 | % | $ | 28,969 | $ | 75 | 1.05 | % | ||||||||||||||||||||||||||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 23,284 | 22,105 | 8,666 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 1,603 | 1,568 | 915 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities | 77,052 | 75,600 | 38,550 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Shareholders' equity | 8,054 | 7,914 | 4,707 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest | 295 | 295 | 295 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total shareholders' equity | 8,349 | 8,209 | 5,002 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 85,401 | $ | 83,809 | $ | 43,552 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net earnings assets / Net interest income (TE) / Net interest spread | $ | 26,506 | $ | 511 | 2.52 | % | $ | 25,068 | $ | 525 | 2.59 | % | $ | 9,819 | $ | 305 | 2.89 | % | ||||||||||||||||||||||||||||||||||||||
Taxable equivalent adjustment | (3) | 0.11 | (3) | 0.12 | (2) | 0.27 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income / Net interest margin (b) | $ | 508 | 2.63 | % | $ | 522 | 2.71 | % | $ | 303 | 3.16 | % | ||||||||||||||||||||||||||||||||||||||||||||
FIRST HORIZON CORPORATION | 73 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31 | Percent Change | ||||||||||
(Dollars in thousands) | 2020 | 2019 | |||||||||
Noninterest income: | |||||||||||
Fixed income | $ | 78,354 | $ | 44,472 | 76 | % | |||||
Other product revenue | 17,281 | 9,277 | 86 | % | |||||||
Total fixed income noninterest income | $ | 95,635 | $ | 53,749 | 78 | % |
Three Months Ended March 31 | Percent Change | ||||||||||
(Dollars in thousands) | 2020 | 2019 | |||||||||
Other income: | |||||||||||
Other service charges | $ | 5,219 | $ | 3,869 | 35 | % | |||||
ATM and interchange fees | 4,212 | 3,241 | 30 | % | |||||||
Mortgage banking | 2,431 | 1,886 | 29 | % | |||||||
Letter of credit fees | 1,462 | 1,368 | 7 | % | |||||||
Dividend income (a) | 1,130 | 2,313 | (51 | )% | |||||||
Electronic banking fees | 1,030 | 1,271 | (19 | )% | |||||||
Insurance commissions | 789 | 624 | 26 | % | |||||||
Gain/(loss) on extinguishment of debt | — | (1 | ) | NM | |||||||
Deferred compensation (b) | (9,507 | ) | 5,474 | NM | |||||||
Other | 7,598 | 4,586 | 66 | % | |||||||
Total | $ | 14,364 | $ | 24,631 | (42 | )% |
Three Months Ended March 31 | Percent Change | ||||||||||
(Dollars in thousands) | 2020 | 2019 | |||||||||
Other expense: | |||||||||||
Credit expense on unfunded commitments (a) | $ | 9,230 | $ | 396 | NM | ||||||
Travel and entertainment | 2,709 | 2,712 | * | ||||||||
Other insurance and taxes | 2,679 | 2,694 | (1 | )% | |||||||
Non-service components of net periodic pension and post-retirement cost | 2,508 | 432 | NM | ||||||||
Supplies | 2,411 | 1,804 | 34 | % | |||||||
Customer relations | 2,004 | 1,599 | 25 | % | |||||||
Employee training and dues | 1,341 | 1,457 | (8 | )% | |||||||
Miscellaneous loan costs | 1,094 | 1,027 | 7 | % | |||||||
Tax credit investments | 346 | 675 | (49 | )% | |||||||
Litigation and regulatory matters | 13 | 13 | * | ||||||||
OREO | (184 | ) | (366 | ) | 50 | % | |||||
Other | 9,075 | 6,888 | 32 | % | |||||||
Total | $ | 33,226 | $ | 19,331 | 72 | % |
Three Months Ended | 1Q21 vs. 1Q20 | 1Q21 vs. 4Q20 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | March 31, 2021 | December 31, 2020 | March 31, 2020 | $ Change | % Change | $ Change | % Change | |||||||||||||||||||||||||||||||||||||
Noninterest income: | ||||||||||||||||||||||||||||||||||||||||||||
Fixed income | $ | 126 | $ | 104 | $ | 96 | $ | 30 | 31 | % | $ | 22 | 21 | % | ||||||||||||||||||||||||||||||
Mortgage banking and title income | 53 | 57 | 2 | 51 | NM | (4) | (7) | % | ||||||||||||||||||||||||||||||||||||
Deposit transactions and cash management | 42 | 45 | 30 | 12 | 40 | % | (3) | (7) | % | |||||||||||||||||||||||||||||||||||
Brokerage, management fees and commissions | 20 | 19 | 16 | 4 | 25 | % | 1 | 5 | % | |||||||||||||||||||||||||||||||||||
Trust services and investment management | 12 | 12 | 7 | 5 | 71 | % | — | — | % | |||||||||||||||||||||||||||||||||||
Bankcard income | 11 | 12 | 7 | 4 | 57 | % | (1) | (8) | % | |||||||||||||||||||||||||||||||||||
Other income | 34 | 39 | 16 | 18 | NM | (5) | (13) | % | ||||||||||||||||||||||||||||||||||||
Total noninterest income | $ | 298 | $ | 288 | $ | 174 | $ | 124 | 71 | % | $ | 10 | 3 | % |
Three Months Ended | 1Q21 vs. 1Q20 | 1Q21 vs. 4Q20 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | March 31, 2021 | December 31, 2020 | March 31, 2020 | $ Change | % Change | $ Change | % Change | |||||||||||||||||||||||||||||||||||||
Noninterest income: | ||||||||||||||||||||||||||||||||||||||||||||
Fixed income | $ | 115 | $ | 94 | $ | 78 | $ | 37 | 47 | % | $ | 21 | 22 | % | ||||||||||||||||||||||||||||||
Other product revenue | 11 | 10 | 18 | (7) | (39 | %) | 1 | 10 | % | |||||||||||||||||||||||||||||||||||
Total noninterest income | $ | 126 | $ | 104 | $ | 96 | $ | 30 | 31 | % | $ | 22 | 21 | % |
1Q21 FORM 10-Q REPORT |
Three Months Ended | 1Q21 vs. 1Q20 | 1Q21 vs. 4Q20 | ||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | March 31, 2021 | December 31, 2020 | March 31, 2020 | $ Change | % Change | $ Change | % Change | |||||||||||||||||||||||||||||||||||||
Noninterest expense: | ||||||||||||||||||||||||||||||||||||||||||||
Personnel expense | $ | 318 | $ | 319 | $ | 183 | $ | 135 | 74 | % | $ | (1) | NM | |||||||||||||||||||||||||||||||
Net occupancy expense | 37 | 36 | 20 | 17 | 85 | % | 1 | 3 | % | |||||||||||||||||||||||||||||||||||
Computer software | 28 | 27 | 16 | 12 | 75 | % | 1 | 4 | % | |||||||||||||||||||||||||||||||||||
Legal and professional fees | 14 | 19 | 9 | 5 | 56 | % | (5) | (26) | % | |||||||||||||||||||||||||||||||||||
Operations services | 16 | 17 | 12 | 4 | 33 | % | (1) | (6) | % | |||||||||||||||||||||||||||||||||||
Equipment expense | 11 | 13 | 9 | 2 | 22 | % | (2) | (15) | % | |||||||||||||||||||||||||||||||||||
Amortization of intangible assets | 14 | 15 | 5 | 9 | NM | (1) | (7) | % | ||||||||||||||||||||||||||||||||||||
Other expense | 106 | 62 | 48 | 58 | NM | 44 | 71 | % | ||||||||||||||||||||||||||||||||||||
Total noninterest expense | $ | 544 | $ | 508 | $ | 302 | $ | 242 | 80 | % | $ | 36 | 7 | % |
FIRST HORIZON CORPORATION | 75 | 1Q21 FORM 10-Q REPORT |
Business Segment Results | ||||||||||||||
FIRST HORIZON CORPORATION | 76 | 1Q21 FORM 10-Q REPORT |
Financial Condition | ||||||||||||||
As of March 31, 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) | $ | 33,951 | 58 | % | $ | 33,104 | 57 | % | 3 | % | ||||||||||||||||||||||
Commercial real estate | 12,470 | 21 | 12,275 | 21 | 2 | |||||||||||||||||||||||||||
Total commercial | 46,421 | 79 | 45,379 | 78 | 2 | |||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||
Consumer real estate | 11,053 | 19 | 11,725 | 20 | (6) | |||||||||||||||||||||||||||
Credit card and other | 1,126 | 2 | 1,128 | 2 | — | |||||||||||||||||||||||||||
Total consumer | 12,179 | 21 | 12,853 | 22 | (5) | |||||||||||||||||||||||||||
Total loans and leases | $ | 58,600 | 100 | % | $ | 58,232 | 100 | % | 1 | % |
Quarter Ended March 31, 2020 | Quarter Ended December 31, 2019 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Commercial: | |||||||||||||||||
Commercial, financial, and industrial | $ | 19,469,572 | 64 | % | $ | 19,739,937 | 64 | % | (1 | )% | |||||||
Commercial real estate | 4,421,913 | 14 | 4,263,597 | 14 | 4 | ||||||||||||
Total commercial | 23,891,485 | 78 | 24,003,534 | 78 | * | ||||||||||||
Consumer: | |||||||||||||||||
Consumer real estate (a) (b) | 6,134,390 | 20 | 6,194,134 | 20 | (1 | ) | |||||||||||
Credit card, OTC and other | 498,290 | 2 | 508,651 | 2 | (2 | ) | |||||||||||
Total consumer | 6,632,680 | 22 | 6,702,785 | 22 | (1 | ) | |||||||||||
Total loans, net of unearned income | $ | 30,524,165 | 100 | % | $ | 30,706,319 | 100 | % | (1 | )% |
FIRST HORIZON CORPORATION | 77 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent | Amount | Percent | ||||||||||||||||||||||
Industry: | ||||||||||||||||||||||||||
Loans to mortgage companies | $ | 5,530 | 16 | % | $ | 5,404 | 16 | % | ||||||||||||||||||
Finance and insurance | 3,113 | 9 | 3,130 | 10 | ||||||||||||||||||||||
Health care and social assistance | 2,832 | 8 | 2,689 | 8 | ||||||||||||||||||||||
Accommodation and food service | 2,480 | 7 | 2,303 | 7 | ||||||||||||||||||||||
Real estate rental and leasing (a) | 2,377 | 7 | 2,365 | 7 | ||||||||||||||||||||||
Wholesale trade | 2,133 | 6 | 2,079 | 6 | ||||||||||||||||||||||
Manufacturing | 1,968 | 6 | 1,907 | 6 | ||||||||||||||||||||||
Energy | 1,637 | 5 | 1,686 | 5 | ||||||||||||||||||||||
Retail trade | 1,566 | 5 | 1,531 | 5 | ||||||||||||||||||||||
Professional, scientific, and technical | 1,567 | 5 | 1,457 | 4 | ||||||||||||||||||||||
Other (construction, transportation, etc.) (b) | 8,748 | 26 | 8,553 | 26 | ||||||||||||||||||||||
Total C&I loan portfolio | $ | 33,951 | 100 | % | $ | 33,104 | 100 | % |
FIRST HORIZON CORPORATION | 78 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 79 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||||||||||||||
Months remaining in draw period: | ||||||||||||||||||||||||||
0-12 | $ | 65 | 3 | % | $ | 73 | 4 | % | ||||||||||||||||||
13-24 | 58 | 3 | 66 | 3 | ||||||||||||||||||||||
25-36 | 54 | 3 | 62 | 3 | ||||||||||||||||||||||
37-48 | 78 | 4 | 67 | 3 | ||||||||||||||||||||||
49-60 | 183 | 9 | 187 | 8 | ||||||||||||||||||||||
>60 | 1,551 | 78 | 1,662 | 79 | ||||||||||||||||||||||
Total | $ | 1,989 | 100 | % | $ | 2,117 | 100 | % |
FIRST HORIZON CORPORATION | 80 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Allowance for loan and lease losses (a) | March 31, 2021 | December 31, 2020 | March 31, 2020 | ||||||||||||||||||||
C&I | $ | 442 | $ | 453 | $ | 255 | |||||||||||||||||
CRE | 232 | 242 | 48 | ||||||||||||||||||||
Consumer real estate | 222 | 242 | 122 | ||||||||||||||||||||
Credit card and other | 18 | 26 | 19 | ||||||||||||||||||||
Total allowance for loan and lease losses | $ | 914 | $ | 963 | $ | 444 | |||||||||||||||||
Period-end loans and leases | |||||||||||||||||||||||
C&I | $ | 33,951 | $ | 33,104 | $ | 22,124 | |||||||||||||||||
CRE | 12,470 | 12,275 | 4,640 | ||||||||||||||||||||
Consumer real estate | 11,053 | 11,725 | 6,119 | ||||||||||||||||||||
Credit card and other | 1,126 | 1,128 | 495 | ||||||||||||||||||||
Total period-end loans and leases | $ | 58,600 | $ | 58,232 | $ | 33,378 | |||||||||||||||||
ALLL / loans and leases % (a) | |||||||||||||||||||||||
C&I | 1.30 | % | 1.37 | % | 1.15 | % | |||||||||||||||||
CRE | 1.86 | % | 1.97 | % | 1.03 | % |
FIRST HORIZON CORPORATION | 81 | 1Q21 FORM 10-Q REPORT |
Consumer real estate | 2.00 | % | 2.07 | % | 2.00 | % | |||||||||||||||||
Credit card and other | 1.63 | % | 2.34 | % | 3.91 | % | |||||||||||||||||
Total ALLL / loans and leases % | 1.56 | % | 1.65 | % | 1.33 | % | |||||||||||||||||
Quarter-to-date net charge-offs (recoveries) | |||||||||||||||||||||||
C&I | $ | 10 | $ | 31 | $ | 6 | |||||||||||||||||
CRE | 1 | (1) | — | ||||||||||||||||||||
Consumer real estate | (5) | (3) | (1) | ||||||||||||||||||||
Credit card and other | 2 | 2 | 3 | ||||||||||||||||||||
Total net charge-offs | $ | 8 | $ | 29 | $ | 8 | |||||||||||||||||
Average loans and leases (b) | |||||||||||||||||||||||
C&I | $ | 33,279 | $ | 34,196 | $ | 19,470 | |||||||||||||||||
CRE | 12,424 | 12,400 | 4,422 | ||||||||||||||||||||
Consumer real estate | 11,400 | 12,030 | 6,134 | ||||||||||||||||||||
Credit card and other | 1,119 | 1,194 | 498 | ||||||||||||||||||||
Total average loans and leases | $ | 58,222 | $ | 59,820 | $ | 30,524 | |||||||||||||||||
Charge-off % | |||||||||||||||||||||||
C&I | 0.12 | % | 0.36 | % | 0.12 | % | |||||||||||||||||
CRE | 0.06 | % | NM | — | % | ||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||
Credit card and other | 0.65 | % | 0.68 | % | 2.23 | % | |||||||||||||||||
Total charge-off % | 0.06 | % | 0.19 | % | 0.10 | % | |||||||||||||||||
ALLL / annualized net charge-offs | |||||||||||||||||||||||
C&I | 11.47 | x | 3.67 | x | 10.89 | x | |||||||||||||||||
CRE | 33.31 | x | NM | NM | |||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||
Credit card and other | 2.53 | x | 3.23 | x | 1.74 | x | |||||||||||||||||
Total ALLL / net charge-offs | 28.14 | x | 8.41 | x | 13.80 | x | |||||||||||||||||
ALLL / NPLs | |||||||||||||||||||||||
C&I | 3.07 | x | 3.15 | x | 2.65 | x | |||||||||||||||||
CRE | 3.45 | x | 4.15 | x | 21.75 | x | |||||||||||||||||
Consumer real estate | 1.23 | x | 1.33 | x | 1.34 | x | |||||||||||||||||
Credit card and other | 7.49 | x | 13.13 | x | 53.69 | x | |||||||||||||||||
Total ALLL / NPLs | 2.32 | x | 2.49 | x | 2.34 | x | |||||||||||||||||
FIRST HORIZON CORPORATION | 82 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | |||||||||||||||
Nonperforming loans and leases | |||||||||||||||||
C&I | $ | 144 | $ | 144 | |||||||||||||
CRE | 67 | 58 | |||||||||||||||
Consumer real estate | 180 | 182 | |||||||||||||||
Credit card and other | 3 | 2 | |||||||||||||||
Total nonperforming loans and leases (a) | $ | 394 | $ | 386 | |||||||||||||
Nonperforming loans held for sale (a) | $ | 5 | $ | 5 | |||||||||||||
Foreclosed real estate and other assets (b) | 11 | 15 | |||||||||||||||
Total nonperforming assets (a) (c) | $ | 410 | $ | 406 | |||||||||||||
Nonperforming loans and leases to total loans and leases | |||||||||||||||||
C&I | 0.42 | % | 0.43 | % | |||||||||||||
CRE | 0.54 | % | 0.48 | % | |||||||||||||
Consumer real estate | 1.63 | % | 1.56 | % | |||||||||||||
Credit card and other | 0.22 | % | 0.18 | % | |||||||||||||
Total NPL % | 0.67 | % | 0.66 | % | |||||||||||||
FIRST HORIZON CORPORATION | 83 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Nonperforming loans and leases (a) (b) | ||||||||||||||
Regional Banking | $ | 226 | $ | 216 | ||||||||||
Specialty Banking | 111 | 117 | ||||||||||||
Corporate | 57 | 53 | ||||||||||||
Consolidated | $ | 394 | $ | 386 | ||||||||||
Foreclosed real estate (c) | ||||||||||||||
Regional Banking | $ | 10 | $ | 12 | ||||||||||
Specialty Banking | — | 1 | ||||||||||||
Corporate | 1 | 2 | ||||||||||||
Consolidated | $ | 11 | $ | 15 | ||||||||||
Nonperforming Assets (a) (b) (c) | ||||||||||||||
Regional Banking | $ | 236 | $ | 228 | ||||||||||
Specialty Banking | 111 | 118 | ||||||||||||
Corporate | 58 | 55 | ||||||||||||
Consolidated | $ | 405 | $ | 401 | ||||||||||
Nonperforming loans and leases to loans and leases | ||||||||||||||
Regional Banking | 0.56 | % | 0.54 | % | ||||||||||
Specialty Banking | 0.64 | 0.68 | ||||||||||||
Corporate | 6.20 | 5.70 | ||||||||||||
Consolidated | 0.67 | % | 0.66 | % | ||||||||||
NPA % (d) | ||||||||||||||
Regional Banking | 0.58 | % | 0.57 | % | ||||||||||
Specialty Banking | 0.64 | 0.68 | ||||||||||||
Corporate | 6.28 | 5.87 | ||||||||||||
Consolidated | 0.69 | % | 0.69 | % |
FIRST HORIZON CORPORATION | 84 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of March 31, 2021 | |||||||
Commercial: | ||||||||
C&I | $ | 51 | ||||||
CRE | 178 | |||||||
Total Commercial | $ | 229 | ||||||
Consumer: | ||||||||
HELOC | $ | 12 | ||||||
R/E installment loans | 138 | |||||||
Credit card and other | 6 | |||||||
Total Consumer | 156 | |||||||
Total | $ | 385 | ||||||
FIRST HORIZON CORPORATION | 85 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | |||||||||||||||
Accruing loans and leases 30+ days past due | |||||||||||||||||
C&I | $ | 26 | $ | 15 | |||||||||||||
CRE | 11 | 23 | |||||||||||||||
Consumer real estate | 52 | 69 | |||||||||||||||
Credit card and other | 5 | 10 | |||||||||||||||
Total 30+ Delinquency | $ | 94 | $ | 117 | |||||||||||||
Accruing loans and leases 30+ days past due % | |||||||||||||||||
C&I | 0.08 | % | 0.05 | % | |||||||||||||
CRE | 0.09 | % | 0.19 | % | |||||||||||||
Consumer real estate | 0.47 | % | 0.58 | % | |||||||||||||
Credit card and other | 0.45 | % | 0.87 | % | |||||||||||||
Total 30+ Delinquency % | 0.16 | % | 0.20 | % | |||||||||||||
Accruing loans and leases 90+ days past due (a) (b) (c): | |||||||||||||||||
C&I | $ | — | $ | — | |||||||||||||
CRE | — | — | |||||||||||||||
Consumer real Estate | 13 | 16 | |||||||||||||||
Credit card and other | — | 1 | |||||||||||||||
Total accruing loans and leases 90+ days past due | $ | 13 | $ | 17 | |||||||||||||
Loans held for sale | |||||||||||||||||
30 to 89 days past due (b) | 7 | 6 | |||||||||||||||
30 to 89 days past due - guaranteed portion (b) (d) | 6 | 5 | |||||||||||||||
90+ days past due (b) | 13 | 12 | |||||||||||||||
90+ days past due - guaranteed portion (b) (d) | 11 | 10 | |||||||||||||||
FIRST HORIZON CORPORATION | 86 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of March 31, 2021 | As of December 31, 2020 | ||||||||||||
Held-to-maturity: | ||||||||||||||
Consumer real estate: | ||||||||||||||
Current | $ | 71 | $ | 77 | ||||||||||
Delinquent | 2 | 2 | ||||||||||||
Non-accrual (a) | 57 | 61 | ||||||||||||
Total consumer real estate | 130 | 140 | ||||||||||||
Credit card and other: | ||||||||||||||
Current | 1 | 1 | ||||||||||||
Delinquent | — | — | ||||||||||||
Non-accrual | — | — | ||||||||||||
Total credit card and other | 1 | 1 | ||||||||||||
Commercial loans: | ||||||||||||||
Current | 74 | 82 | ||||||||||||
Delinquent | — | — | ||||||||||||
Non-accrual | 83 | 84 | ||||||||||||
Total commercial loans | 157 | 166 | ||||||||||||
Total held-to-maturity | $ | 288 | $ | 307 | ||||||||||
Held-for-sale: | ||||||||||||||
Current | $ | 35 | $ | 36 | ||||||||||
Delinquent | 5 | 5 | ||||||||||||
Non-accrual | 1 | 1 | ||||||||||||
Total held-for-sale | 41 | 42 | ||||||||||||
Total troubled debt restructurings | $ | 329 | $ | 349 |
FIRST HORIZON CORPORATION | 87 | 1Q21 FORM 10-Q REPORT |
Quarter Ended March 31, 2020 | Quarter Ended December 31, 2019 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Other earning assets | |||||||||||||||||
Trading securities | $ | 1,831,492 | 57 | % | $ | 1,263,633 | 50 | % | 45 | % | |||||||
Securities purchased under agreements to resell | 816,794 | 25 | 645,979 | 26 | 26 | ||||||||||||
Interest-bearing cash | 548,036 | 17 | 586,495 | 23 | (7 | ) | |||||||||||
Federal funds sold | 10,192 | 1 | 9,700 | 1 | 5 | ||||||||||||
Total other earning assets | $ | 3,206,514 | 100 | % | $ | 2,505,807 | 100 | % | 28 | % |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Change | Percent | ||||||||||||||||||||||||||||||||
Savings | $ | 27,023 | 37 | % | $ | 27,324 | 39 | % | $ | (301) | (1) | % | ||||||||||||||||||||||||||
Time deposits | 4,653 | 6 | 5,070 | 7 | (417) | (8) | ||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 16,444 | 23 | 15,415 | 22 | 1,029 | 7 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits | 48,120 | 66 | 47,809 | 68 | 311 | 1 | ||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,046 | 34 | 22,173 | 32 | 2,873 | 13 | ||||||||||||||||||||||||||||||||
Total deposits | $ | 73,166 | 100 | % | $ | 69,982 | 100 | % | $ | 3,184 | 5 | % |
Quarter Ended March 31, 2020 | Quarter Ended December 31, 2019 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Interest-bearing deposits: | |||||||||||||||||
Consumer | $ | 13,760,968 | 42 | % | $ | 13,718,820 | 42 | % | * | ||||||||
Commercial | 6,006,364 | 18 | 6,145,681 | 19 | (2 | ) | |||||||||||
Market-indexed (a) | 4,448,587 | 14 | 4,370,025 | 13 | 2 | ||||||||||||
Total interest-bearing deposits | 24,215,919 | 74 | 24,234,526 | 74 | * | ||||||||||||
Noninterest-bearing deposits | 8,666,087 | 26 | 8,542,521 | 26 | 1 | ||||||||||||
Total deposits | $ | 32,882,006 | 100 | % | $ | 32,777,047 | 100 | % | * |
Quarter Ended March 31, 2020 | Quarter Ended December 31, 2019 | ||||||||||||||||
(Dollars in thousands) | Amount | Percent of total | Amount | Percent of total | Growth Rate | ||||||||||||
Short-term borrowings: | |||||||||||||||||
Securities sold under agreements to repurchase | $ | 777,692 | 20 | % | $ | 701,213 | 21 | % | 11 | % | |||||||
Trading liabilities | 750,520 | 19 | 585,889 | 18 | 28 | ||||||||||||
Federal funds purchased | 746,686 | 19 | 1,163,701 | 35 | (36 | ) | |||||||||||
Other short-term borrowings | 1,686,690 | 42 | 844,558 | 26 | NM | ||||||||||||
Total short-term borrowings | $ | 3,961,588 | 100 | % | $ | 3,295,361 | 100 | % | 20 | % |
Capital | ||||||||||||||
FIRST HORIZON CORPORATION | 88 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Shareholders’ equity | $ | 8,012 | $ | 8,012 | ||||||||||
Modified CECL transitional amount (a) | 178 | 191 | ||||||||||||
FHN non-cumulative perpetual preferred | (470) | (470) | ||||||||||||
Common equity tier 1 before regulatory adjustments | $ | 7,720 | $ | 7,733 | ||||||||||
Regulatory adjustments: | ||||||||||||||
Disallowed goodwill and other intangibles | (1,745) | (1,757) | ||||||||||||
Net unrealized (gains) losses on securities available for sale | (5) | (108) | ||||||||||||
Net unrealized (gains) losses on pension and other postretirement plans | 256 | 260 | ||||||||||||
Net unrealized (gains) losses on cash flow hedges | (10) | (12) | ||||||||||||
Disallowed deferred tax assets | (1) | (5) | ||||||||||||
Other deductions from common equity tier 1 | (1) | (1) | ||||||||||||
Common equity tier 1 | $ | 6,214 | $ | 6,110 | ||||||||||
FHN non-cumulative perpetual preferred (b) | 377 | 377 | ||||||||||||
Qualifying noncontrolling interest— First Horizon Bank preferred stock | 295 | 295 | ||||||||||||
Tier 1 capital | $ | 6,886 | $ | 6,782 | ||||||||||
Tier 2 capital | 1,120 | 1,153 | ||||||||||||
Total regulatory capital | $ | 8,006 | $ | 7,935 | ||||||||||
Risk-Weighted Assets | ||||||||||||||
First Horizon Corporation | $ | 62,339 | $ | 63,140 | ||||||||||
First Horizon Bank | 61,610 | 62,508 | ||||||||||||
Average Assets for Leverage | ||||||||||||||
First Horizon Corporation | 83,959 | 82,347 | ||||||||||||
First Horizon Bank | 83,242 | 81,709 |
(Dollars in thousands) | March 31, 2020 | December 31, 2019 | ||||||
Shareholders’ equity | $ | 4,760,149 | $ | 4,780,577 | ||||
Modified CECL transitional amount (a) | 132,811 | — | ||||||
FHN non-cumulative perpetual preferred | (95,624 | ) | (95,624 | ) | ||||
Common equity | $ | 4,797,336 | $ | 4,684,953 | ||||
Regulatory adjustments: | ||||||||
Disallowed goodwill and other intangibles | (1,501,286 | ) | (1,505,971 | ) | ||||
Net unrealized (gains)/losses on securities available-for-sale | (119,357 | ) | (31,079 | ) | ||||
Net unrealized (gains)/losses on pension and other postretirement plans | 271,809 | 273,914 | ||||||
Net unrealized (gains)/losses on cash flow hedges | (16,288 | ) | (3,227 | ) | ||||
Disallowed deferred tax assets | (9,502 | ) | (8,610 | ) | ||||
Other deductions from common equity tier 1 | (949 | ) | (1,044 | ) | ||||
Common equity tier 1 | $ | 3,421,763 | $ | 3,408,936 | ||||
FHN non-cumulative perpetual preferred | 95,624 | 95,624 | ||||||
Qualifying noncontrolling interest—First Horizon Bank preferred stock | 294,816 | 255,890 | ||||||
Tier 1 capital | $ | 3,812,203 | $ | 3,760,450 | ||||
Tier 2 capital | 507,181 | 394,435 | ||||||
Total regulatory capital | $ | 4,319,384 | $ | 4,154,885 | ||||
Risk-Weighted Assets | ||||||||
First Horizon National Corporation | $ | 40,055,114 | $ | 37,045,782 | ||||
First Horizon Bank | 39,670,943 | 36,626,993 | ||||||
Average Assets for Leverage | ||||||||
First Horizon National Corporation | 42,348,418 | 41,583,446 | ||||||
First Horizon Bank | 41,632,972 | 40,867,365 |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||||||||||||||
Common Equity Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 9.97 | % | $ | 6,214 | 9.68 | % | $ | 6,110 | ||||||||||||||||||
First Horizon Bank | 10.72 | 6,606 | 10.46 | 6,537 | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 11.05 | 6,886 | 10.74 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 11.20 | 6,901 | 10.93 | 6,832 | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
First Horizon Corporation | 12.84 | 8,006 | 12.57 | 7,935 | ||||||||||||||||||||||
First Horizon Bank | 12.75 | 7,855 | 12.52 | 7,827 | ||||||||||||||||||||||
Tier 1 Leverage | ||||||||||||||||||||||||||
First Horizon Corporation | 8.20 | 6,886 | 8.24 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 8.29 | 6,901 | 8.36 | 6,832 | ||||||||||||||||||||||
Other Capital Ratios | ||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.49 | 9.86 | ||||||||||||||||||||||||
Tangible common equity to tangible assets (c) | 6.64 | 6.89 | ||||||||||||||||||||||||
Adjusted tangible common equity to risk weighted assets (c) | 9.12 | 8.82 |
March 31, 2020 | December 31, 2019 | |||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||
Common Equity Tier 1 | ||||||||||||||
First Horizon National Corporation | 8.54 | % | $ | 3,421,763 | 9.20 | % | $ | 3,408,936 | ||||||
First Horizon Bank | 8.70 | 3,450,974 | 9.38 | 3,433,867 | ||||||||||
Tier 1 | ||||||||||||||
First Horizon National Corporation | 9.52 | 3,812,203 | 10.15 | 3,760,450 | ||||||||||
First Horizon Bank | 9.44 | 3,745,790 | 10.18 | 3,728,683 | ||||||||||
Total | ||||||||||||||
First Horizon National Corporation | 10.78 | 4,319,384 | 11.22 | 4,154,885 | ||||||||||
First Horizon Bank | 10.37 | 4,113,057 | 10.77 | 3,944,613 | ||||||||||
Tier 1 Leverage | ||||||||||||||
First Horizon National Corporation | 9.00 | 3,812,203 | 9.04 | 3,760,450 | ||||||||||
First Horizon Bank | 9.00 | 3,745,790 | 9.12 | 3,728,683 |
1Q21 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 | ||||||||
2020 | ||||||||||||
January 1 to January 31 | — | NA | — | $ | 270,654 | |||||||
February 1 to February 29 | — | NA | — | 270,654 | ||||||||
March 1 to March 31 | — | NA | — | 270,654 | ||||||||
Total | — | N/A | — |
(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 | |||||||||
2020 | |||||||||||||
January 1 to January 31 | 26 | $ | 16.81 | 26 | 24,431 | ||||||||
February 1 to February 29 | 7 | 16.30 | 7 | 24,424 | |||||||||
March 1 to March 31 | 108 | 14.05 | 108 | 24,316 | |||||||||
Total | 141 | $ | 14.67 | 141 |
FIRST HORIZON CORPORATION | 79 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||||||||||||||
Months remaining in draw period: | ||||||||||||||||||||||||||
0-12 | $ | 65 | 3 | % | $ | 73 | 4 | % | ||||||||||||||||||
13-24 | 58 | 3 | 66 | 3 | ||||||||||||||||||||||
25-36 | 54 | 3 | 62 | 3 | ||||||||||||||||||||||
37-48 | 78 | 4 | 67 | 3 | ||||||||||||||||||||||
49-60 | 183 | 9 | 187 | 8 | ||||||||||||||||||||||
>60 | 1,551 | 78 | 1,662 | 79 | ||||||||||||||||||||||
Total | $ | 1,989 | 100 | % | $ | 2,117 | 100 | % |
FIRST HORIZON CORPORATION | 80 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Allowance for loan and lease losses (a) | March 31, 2021 | December 31, 2020 | March 31, 2020 | ||||||||||||||||||||
C&I | $ | 442 | $ | 453 | $ | 255 | |||||||||||||||||
CRE | 232 | 242 | 48 | ||||||||||||||||||||
Consumer real estate | 222 | 242 | 122 | ||||||||||||||||||||
Credit card and other | 18 | 26 | 19 | ||||||||||||||||||||
Total allowance for loan and lease losses | $ | 914 | $ | 963 | $ | 444 | |||||||||||||||||
Period-end loans and leases | |||||||||||||||||||||||
C&I | $ | 33,951 | $ | 33,104 | $ | 22,124 | |||||||||||||||||
CRE | 12,470 | 12,275 | 4,640 | ||||||||||||||||||||
Consumer real estate | 11,053 | 11,725 | 6,119 | ||||||||||||||||||||
Credit card and other | 1,126 | 1,128 | 495 | ||||||||||||||||||||
Total period-end loans and leases | $ | 58,600 | $ | 58,232 | $ | 33,378 | |||||||||||||||||
ALLL / loans and leases % (a) | |||||||||||||||||||||||
C&I | 1.30 | % | 1.37 | % | 1.15 | % | |||||||||||||||||
CRE | 1.86 | % | 1.97 | % | 1.03 | % |
FIRST HORIZON CORPORATION | 81 | 1Q21 FORM 10-Q REPORT |
Consumer real estate | 2.00 | % | 2.07 | % | 2.00 | % | |||||||||||||||||
Credit card and other | 1.63 | % | 2.34 | % | 3.91 | % | |||||||||||||||||
Total ALLL / loans and leases % | 1.56 | % | 1.65 | % | 1.33 | % | |||||||||||||||||
Quarter-to-date net charge-offs (recoveries) | |||||||||||||||||||||||
C&I | $ | 10 | $ | 31 | $ | 6 | |||||||||||||||||
CRE | 1 | (1) | — | ||||||||||||||||||||
Consumer real estate | (5) | (3) | (1) | ||||||||||||||||||||
Credit card and other | 2 | 2 | 3 | ||||||||||||||||||||
Total net charge-offs | $ | 8 | $ | 29 | $ | 8 | |||||||||||||||||
Average loans and leases (b) | |||||||||||||||||||||||
C&I | $ | 33,279 | $ | 34,196 | $ | 19,470 | |||||||||||||||||
CRE | 12,424 | 12,400 | 4,422 | ||||||||||||||||||||
Consumer real estate | 11,400 | 12,030 | 6,134 | ||||||||||||||||||||
Credit card and other | 1,119 | 1,194 | 498 | ||||||||||||||||||||
Total average loans and leases | $ | 58,222 | $ | 59,820 | $ | 30,524 | |||||||||||||||||
Charge-off % | |||||||||||||||||||||||
C&I | 0.12 | % | 0.36 | % | 0.12 | % | |||||||||||||||||
CRE | 0.06 | % | NM | — | % | ||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||
Credit card and other | 0.65 | % | 0.68 | % | 2.23 | % | |||||||||||||||||
Total charge-off % | 0.06 | % | 0.19 | % | 0.10 | % | |||||||||||||||||
ALLL / annualized net charge-offs | |||||||||||||||||||||||
C&I | 11.47 | x | 3.67 | x | 10.89 | x | |||||||||||||||||
CRE | 33.31 | x | NM | NM | |||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||
Credit card and other | 2.53 | x | 3.23 | x | 1.74 | x | |||||||||||||||||
Total ALLL / net charge-offs | 28.14 | x | 8.41 | x | 13.80 | x | |||||||||||||||||
ALLL / NPLs | |||||||||||||||||||||||
C&I | 3.07 | x | 3.15 | x | 2.65 | x | |||||||||||||||||
CRE | 3.45 | x | 4.15 | x | 21.75 | x | |||||||||||||||||
Consumer real estate | 1.23 | x | 1.33 | x | 1.34 | x | |||||||||||||||||
Credit card and other | 7.49 | x | 13.13 | x | 53.69 | x | |||||||||||||||||
Total ALLL / NPLs | 2.32 | x | 2.49 | x | 2.34 | x | |||||||||||||||||
FIRST HORIZON CORPORATION | 82 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | |||||||||||||||
Nonperforming loans and leases | |||||||||||||||||
C&I | $ | 144 | $ | 144 | |||||||||||||
CRE | 67 | 58 | |||||||||||||||
Consumer real estate | 180 | 182 | |||||||||||||||
Credit card and other | 3 | 2 | |||||||||||||||
Total nonperforming loans and leases (a) | $ | 394 | $ | 386 | |||||||||||||
Nonperforming loans held for sale (a) | $ | 5 | $ | 5 | |||||||||||||
Foreclosed real estate and other assets (b) | 11 | 15 | |||||||||||||||
Total nonperforming assets (a) (c) | $ | 410 | $ | 406 | |||||||||||||
Nonperforming loans and leases to total loans and leases | |||||||||||||||||
C&I | 0.42 | % | 0.43 | % | |||||||||||||
CRE | 0.54 | % | 0.48 | % | |||||||||||||
Consumer real estate | 1.63 | % | 1.56 | % | |||||||||||||
Credit card and other | 0.22 | % | 0.18 | % | |||||||||||||
Total NPL % | 0.67 | % | 0.66 | % | |||||||||||||
FIRST HORIZON CORPORATION | 83 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Nonperforming loans and leases (a) (b) | ||||||||||||||
Regional Banking | $ | 226 | $ | 216 | ||||||||||
Specialty Banking | 111 | 117 | ||||||||||||
Corporate | 57 | 53 | ||||||||||||
Consolidated | $ | 394 | $ | 386 | ||||||||||
Foreclosed real estate (c) | ||||||||||||||
Regional Banking | $ | 10 | $ | 12 | ||||||||||
Specialty Banking | — | 1 | ||||||||||||
Corporate | 1 | 2 | ||||||||||||
Consolidated | $ | 11 | $ | 15 | ||||||||||
Nonperforming Assets (a) (b) (c) | ||||||||||||||
Regional Banking | $ | 236 | $ | 228 | ||||||||||
Specialty Banking | 111 | 118 | ||||||||||||
Corporate | 58 | 55 | ||||||||||||
Consolidated | $ | 405 | $ | 401 | ||||||||||
Nonperforming loans and leases to loans and leases | ||||||||||||||
Regional Banking | 0.56 | % | 0.54 | % | ||||||||||
Specialty Banking | 0.64 | 0.68 | ||||||||||||
Corporate | 6.20 | 5.70 | ||||||||||||
Consolidated | 0.67 | % | 0.66 | % | ||||||||||
NPA % (d) | ||||||||||||||
Regional Banking | 0.58 | % | 0.57 | % | ||||||||||
Specialty Banking | 0.64 | 0.68 | ||||||||||||
Corporate | 6.28 | 5.87 | ||||||||||||
Consolidated | 0.69 | % | 0.69 | % |
FIRST HORIZON CORPORATION | 84 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of March 31, 2021 | |||||||
Commercial: | ||||||||
C&I | $ | 51 | ||||||
CRE | 178 | |||||||
Total Commercial | $ | 229 | ||||||
Consumer: | ||||||||
HELOC | $ | 12 | ||||||
R/E installment loans | 138 | |||||||
Credit card and other | 6 | |||||||
Total Consumer | 156 | |||||||
Total | $ | 385 | ||||||
FIRST HORIZON CORPORATION | 85 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | |||||||||||||||
Accruing loans and leases 30+ days past due | |||||||||||||||||
C&I | $ | 26 | $ | 15 | |||||||||||||
CRE | 11 | 23 | |||||||||||||||
Consumer real estate | 52 | 69 | |||||||||||||||
Credit card and other | 5 | 10 | |||||||||||||||
Total 30+ Delinquency | $ | 94 | $ | 117 | |||||||||||||
Accruing loans and leases 30+ days past due % | |||||||||||||||||
C&I | 0.08 | % | 0.05 | % | |||||||||||||
CRE | 0.09 | % | 0.19 | % | |||||||||||||
Consumer real estate | 0.47 | % | 0.58 | % | |||||||||||||
Credit card and other | 0.45 | % | 0.87 | % | |||||||||||||
Total 30+ Delinquency % | 0.16 | % | 0.20 | % | |||||||||||||
Accruing loans and leases 90+ days past due (a) (b) (c): | |||||||||||||||||
C&I | $ | — | $ | — | |||||||||||||
CRE | — | — | |||||||||||||||
Consumer real Estate | 13 | 16 | |||||||||||||||
Credit card and other | — | 1 | |||||||||||||||
Total accruing loans and leases 90+ days past due | $ | 13 | $ | 17 | |||||||||||||
Loans held for sale | |||||||||||||||||
30 to 89 days past due (b) | 7 | 6 | |||||||||||||||
30 to 89 days past due - guaranteed portion (b) (d) | 6 | 5 | |||||||||||||||
90+ days past due (b) | 13 | 12 | |||||||||||||||
90+ days past due - guaranteed portion (b) (d) | 11 | 10 | |||||||||||||||
FIRST HORIZON CORPORATION | 86 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of March 31, 2021 | As of December 31, 2020 | ||||||||||||
Held-to-maturity: | ||||||||||||||
Consumer real estate: | ||||||||||||||
Current | $ | 71 | $ | 77 | ||||||||||
Delinquent | 2 | 2 | ||||||||||||
Non-accrual (a) | 57 | 61 | ||||||||||||
Total consumer real estate | 130 | 140 | ||||||||||||
Credit card and other: | ||||||||||||||
Current | 1 | 1 | ||||||||||||
Delinquent | — | — | ||||||||||||
Non-accrual | — | — | ||||||||||||
Total credit card and other | 1 | 1 | ||||||||||||
Commercial loans: | ||||||||||||||
Current | 74 | 82 | ||||||||||||
Delinquent | — | — | ||||||||||||
Non-accrual | 83 | 84 | ||||||||||||
Total commercial loans | 157 | 166 | ||||||||||||
Total held-to-maturity | $ | 288 | $ | 307 | ||||||||||
Held-for-sale: | ||||||||||||||
Current | $ | 35 | $ | 36 | ||||||||||
Delinquent | 5 | 5 | ||||||||||||
Non-accrual | 1 | 1 | ||||||||||||
Total held-for-sale | 41 | 42 | ||||||||||||
Total troubled debt restructurings | $ | 329 | $ | 349 |
FIRST HORIZON CORPORATION | 87 | 1Q21 FORM 10-Q REPORT |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Change | Percent | ||||||||||||||||||||||||||||||||
Savings | $ | 27,023 | 37 | % | $ | 27,324 | 39 | % | $ | (301) | (1) | % | ||||||||||||||||||||||||||
Time deposits | 4,653 | 6 | 5,070 | 7 | (417) | (8) | ||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 16,444 | 23 | 15,415 | 22 | 1,029 | 7 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits | 48,120 | 66 | 47,809 | 68 | 311 | 1 | ||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,046 | 34 | 22,173 | 32 | 2,873 | 13 | ||||||||||||||||||||||||||||||||
Total deposits | $ | 73,166 | 100 | % | $ | 69,982 | 100 | % | $ | 3,184 | 5 | % |
Capital | ||||||||||||||
FIRST HORIZON CORPORATION | 88 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Shareholders’ equity | $ | 8,012 | $ | 8,012 | ||||||||||
Modified CECL transitional amount (a) | 178 | 191 | ||||||||||||
FHN non-cumulative perpetual preferred | (470) | (470) | ||||||||||||
Common equity tier 1 before regulatory adjustments | $ | 7,720 | $ | 7,733 | ||||||||||
Regulatory adjustments: | ||||||||||||||
Disallowed goodwill and other intangibles | (1,745) | (1,757) | ||||||||||||
Net unrealized (gains) losses on securities available for sale | (5) | (108) | ||||||||||||
Net unrealized (gains) losses on pension and other postretirement plans | 256 | 260 | ||||||||||||
Net unrealized (gains) losses on cash flow hedges | (10) | (12) | ||||||||||||
Disallowed deferred tax assets | (1) | (5) | ||||||||||||
Other deductions from common equity tier 1 | (1) | (1) | ||||||||||||
Common equity tier 1 | $ | 6,214 | $ | 6,110 | ||||||||||
FHN non-cumulative perpetual preferred (b) | 377 | 377 | ||||||||||||
Qualifying noncontrolling interest— First Horizon Bank preferred stock | 295 | 295 | ||||||||||||
Tier 1 capital | $ | 6,886 | $ | 6,782 | ||||||||||
Tier 2 capital | 1,120 | 1,153 | ||||||||||||
Total regulatory capital | $ | 8,006 | $ | 7,935 | ||||||||||
Risk-Weighted Assets | ||||||||||||||
First Horizon Corporation | $ | 62,339 | $ | 63,140 | ||||||||||
First Horizon Bank | 61,610 | 62,508 | ||||||||||||
Average Assets for Leverage | ||||||||||||||
First Horizon Corporation | 83,959 | 82,347 | ||||||||||||
First Horizon Bank | 83,242 | 81,709 |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||||||||||||||
Common Equity Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 9.97 | % | $ | 6,214 | 9.68 | % | $ | 6,110 | ||||||||||||||||||
First Horizon Bank | 10.72 | 6,606 | 10.46 | 6,537 | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 11.05 | 6,886 | 10.74 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 11.20 | 6,901 | 10.93 | 6,832 | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
First Horizon Corporation | 12.84 | 8,006 | 12.57 | 7,935 | ||||||||||||||||||||||
First Horizon Bank | 12.75 | 7,855 | 12.52 | 7,827 | ||||||||||||||||||||||
Tier 1 Leverage | ||||||||||||||||||||||||||
First Horizon Corporation | 8.20 | 6,886 | 8.24 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 8.29 | 6,901 | 8.36 | 6,832 | ||||||||||||||||||||||
Other Capital Ratios | ||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.49 | 9.86 | ||||||||||||||||||||||||
Tangible common equity to tangible assets (c) | 6.64 | 6.89 | ||||||||||||||||||||||||
Adjusted tangible common equity to risk weighted assets (c) | 9.12 | 8.82 |
FIRST HORIZON CORPORATION | 89 | 1Q21 FORM 10-Q REPORT |
March 31, 2020 | December 31, 2019 | |||||||||||||
(Dollars in thousands) | Amount | Percent | Amount | Percent | ||||||||||
Industry: | ||||||||||||||
Loans to mortgage companies | $ | 5,713,914 | 26 | % | $ | 4,410,883 | 22 | % | ||||||
Finance & insurance | 2,797,370 | 13 | 2,778,411 | 14 | ||||||||||
Real estate rental & leasing (a) | 1,584,095 | 7 | 1,454,336 | 7 | ||||||||||
Health care & social assistance | 1,527,531 | 7 | 1,499,178 | 8 | ||||||||||
Accommodation & food service | 1,504,690 | 7 | 1,364,833 | 7 | ||||||||||
Wholesale trade | 1,464,847 | 6 | 1,372,147 | 7 | ||||||||||
Manufacturing | 1,343,586 | 6 | 1,150,701 | 6 | ||||||||||
Other (education, arts, entertainment, etc) (b) | 6,188,397 | 28 | 6,020,602 | 29 | ||||||||||
Total C&I loan portfolio | $ | 22,124,430 | 100 | % | $ | 20,051,091 | 100 | % |
2020 | ||||||||||||
Three months ended | ||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | |||||||||
Allowance for loan losses as of January 1 | $ | 122,426 | $ | 60 | $ | 122,486 | ||||||
ASU Adoption 2016-13 | 9,086 | 9,696 | 18,782 | |||||||||
Charge-offs | (6,751 | ) | — | (6,751 | ) | |||||||
Recoveries | 931 | 4 | 935 | |||||||||
Provision/(provision credit) for loan losses | 118,970 | 94 | 119,064 | |||||||||
Allowance for loan losses as of March 31 | $ | 244,662 | $ | 9,854 | $ | 254,516 | ||||||
Net charge-offs % (qtr. annualized) | 0.12 | % | NM | 0.12 | % | |||||||
Allowance / net charge-offs | 10.45 | x | NM | 10.88 | x | |||||||
As of March 31 | ||||||||||||
Period-end loans | $ | 21,798,168 | $ | 326,262 | $ | 22,124,430 | ||||||
Nonperforming loans | 96,081 | — | 96,081 | |||||||||
Troubled debt restructurings | 40,439 | — | 40,439 | |||||||||
30+ Delinq. % (a) | 0.07 | % | 0.50 | % | 0.08 | % | ||||||
NPL % | 0.44 | — | 0.43 | |||||||||
Allowance / loans % | 1.12 | 3.02 | 1.15 | |||||||||
2019 | ||||||||||||
Three months ended | ||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | |||||||||
Allowance for loan losses as of January 1 | $ | 97,617 | $ | 1,330 | $ | 98,947 | ||||||
Charge-offs | (3,101 | ) | — | (3,101 | ) | |||||||
Recoveries | 801 | 28 | 829 | |||||||||
Provision/(provision credit) for loan losses | 7,076 | (38 | ) | 7,038 | ||||||||
Allowance for loan losses as of March 31 | $ | 102,393 | $ | 1,320 | $ | 103,713 | ||||||
Net charge-offs % (qtr. annualized) | 0.06 | % | NM | 0.06 | % | |||||||
Allowance / net charge-offs | 10.98 | x | NM | 11.26 | x | |||||||
As of December 31 | ||||||||||||
Period-end loans | $ | 19,721,457 | $ | 329,634 | $ | 20,051,091 | ||||||
Nonperforming loans | 74,312 | — | 74,312 | |||||||||
Troubled debt restructurings | 42,199 | — | 42,199 | |||||||||
30+ Delinq. % (a) | 0.05 | % | — | % | 0.05 | % | ||||||
NPL % | 0.38 | — | 0.37 | |||||||||
Allowance / loans % | 0.62 | 0.02 | 0.61 |
2020 | ||||||||||||
Three months ended | ||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | |||||||||
Allowance for loan losses as of January 1 | $ | 33,729 | $ | 2,383 | $ | 36,112 | ||||||
ASU Adoption 2016-13 | (5,191 | ) | (2,157 | ) | (7,348 | ) | ||||||
Charge-offs | (581 | ) | — | (581 | ) | |||||||
Recoveries | 573 | — | 573 | |||||||||
Provision/(provision credit) for loan losses | 18,399 | 470 | 18,869 | |||||||||
Allowance for loan losses as of March 31 | $ | 46,929 | $ | 696 | $ | 47,625 | ||||||
Net charge-offs % (qtr. annualized) | — | % | — | — | % | |||||||
Allowance / net charge-offs | NM | NM | NM | |||||||||
As of March 31 | ||||||||||||
Period-end loans | $ | 4,608,103 | $ | 31,589 | $ | 4,639,692 | ||||||
Nonperforming loans | 2,190 | — | 2,190 | |||||||||
Troubled debt restructurings | 1,153 | — | 1,153 | |||||||||
30+ Delinq. % (a) | 0.01 | % | — | % | 0.01 | % | ||||||
NPL % | 0.05 | — | 0.05 | |||||||||
Allowance / loans % | 1.02 | 2.20 | 1.03 | |||||||||
2019 | ||||||||||||
Three months ended | ||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | |||||||||
Allowance for loan losses as of January 1 | $ | 31,311 | $ | — | $ | 31,311 | ||||||
Charge-offs | (434 | ) | — | (434 | ) | |||||||
Recoveries | 57 | — | 57 | |||||||||
Provision/(provision credit) for loan losses | 3,448 | — | 3,448 | |||||||||
Allowance for loan losses as of March 31 | $ | 34,382 | $ | — | $ | 34,382 | ||||||
Net charge-offs % (qtr. annualized) | 0.04 | % | NM | 0.04 | % | |||||||
Allowance / net charge-offs | 22.50 | x | NM | 22.50 | x | |||||||
As of December 31 | ||||||||||||
Period-end loans | $ | 4,292,199 | $ | 44,818 | $ | 4,337,017 | ||||||
Nonperforming loans | 1,825 | — | 1,825 | |||||||||
Troubled debt restructurings | 1,200 | — | 1,200 | |||||||||
30+ Delinq. % (a) | 0.02 | % | — | % | 0.02 | % | ||||||
NPL % | 0.04 | — | 0.04 | |||||||||
Allowance / loans % | 0.79 | 5.32 | 0.83 |
1Q21 FORM 10-Q REPORT |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
(Dollars in millions) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||||||||||||||
Months remaining in draw period: | ||||||||||||||||||||||||||
0-12 | $ | 65 | 3 | % | $ | 73 | 4 | % | ||||||||||||||||||
13-24 | 58 | 3 | 66 | 3 | ||||||||||||||||||||||
25-36 | 54 | 3 | 62 | 3 | ||||||||||||||||||||||
37-48 | 78 | 4 | 67 | 3 | ||||||||||||||||||||||
49-60 | 183 | 9 | 187 | 8 | ||||||||||||||||||||||
>60 | 1,551 | 78 | 1,662 | 79 | ||||||||||||||||||||||
Total | $ | 1,989 | 100 | % | $ | 2,117 | 100 | % |
March 31, 2020 | December 31, 2019 | |||||||||||||
(Dollars in thousands) | Repayment Amount | Percent | Repayment Amount | Percent | ||||||||||
Months remaining in draw period: | ||||||||||||||
0-12 | $ | 46,788 | 5 | % | $ | 47,455 | 5 | % | ||||||
13-24 | 59,132 | 6 | 58,843 | 6 | ||||||||||
25-36 | 64,613 | 7 | 65,833 | 7 | ||||||||||
37-48 | 60,114 | 6 | 67,692 | 7 | ||||||||||
49-60 | 76,089 | 8 | 75,246 | 7 | ||||||||||
>60 | 665,293 | 68 | 666,001 | 68 | ||||||||||
Total | $ | 972,029 | 100 | % | $ | 981,070 | 100 | % |
2020 | ||||||||||||||||
Three months ended | ||||||||||||||||
(Dollars in thousands) | Regional Bank | Corporate | Non-Strategic | Consolidated | ||||||||||||
Allowance for loan losses as of January 1 | $ | 13,340 | N/A | $ | 15,103 | $ | 28,443 | |||||||||
ASU Adoption 2016-13 | 88,004 | N/A | 4,988 | 92,992 | ||||||||||||
Charge-offs | (488 | ) | N/A | (1,822 | ) | (2,310 | ) | |||||||||
Recoveries | 690 | N/A | 2,865 | 3,555 | ||||||||||||
Provision/(provision credit) for loan losses | 1,412 | N/A | (1,070 | ) | 342 | |||||||||||
Allowance for loan losses as of March 31 | $ | 102,958 | N/A | $ | 20,064 | $ | 123,022 | |||||||||
Net charge-offs % (qtr. annualized) | NM | N/A | NM | NM | ||||||||||||
Allowance / net charge-offs | NM | N/A | NM | NM | ||||||||||||
As of March 31 | ||||||||||||||||
Period-end loans | $ | 5,716,888 | $ | 30,613 | $ | 371,882 | $ | 6,119,383 | ||||||||
Nonperforming loans | 44,536 | 1,302 | 45,344 | 91,182 | ||||||||||||
Troubled debt restructurings | 43,360 | 2,041 | 106,992 | 152,393 | ||||||||||||
30+ Delinq. % (a) | 0.51 | % | 5.39 | % | 2.56 | % | 0.66 | % | ||||||||
NPL % | 0.78 | 4.25 | 12.19 | 1.49 | ||||||||||||
Allowance / loans % | 1.80 | N/A | 5.40 | 2.01 | ||||||||||||
2019 | ||||||||||||||||
Three months ended (a) | ||||||||||||||||
(Dollars in thousands) | Regional Bank | Corporate | Non-Strategic | Consolidated | ||||||||||||
Allowance for loan losses as of January 1 | $ | 14,555 | N/A | $ | 22,884 | $ | 37,439 | |||||||||
Charge-offs | (1,641 | ) | N/A | (1,163 | ) | (2,804 | ) | |||||||||
Recoveries | 1,036 | N/A | 3,005 | 4,041 | ||||||||||||
Provision/(provision credit) for loan losses | 1,253 | N/A | (5,775 | ) | (4,522 | ) | ||||||||||
Allowance for loan losses as of March 31 | $ | 15,203 | N/A | $ | 18,951 | $ | 34,154 | |||||||||
Net charge-offs % (qtr. annualized) | 0.04 | % | N/A | NM | NM | |||||||||||
Allowance / net charge-offs | 6.20 | x | N/A | NM | NM | |||||||||||
As of December 31 (a) | ||||||||||||||||
Period-end loans | $ | 5,738,455 | $ | 31,473 | $ | 407,211 | $ | 6,177,139 | ||||||||
Nonperforming loans | 37,014 | 1,327 | 47,353 | 85,694 | ||||||||||||
Troubled debt restructurings | 46,031 | 2,457 | 113,758 | 162,246 | ||||||||||||
30+ Delinq. % (b) | 0.50 | % | 5.29 | % | 3.10 | % | 0.70 | % | ||||||||
NPL % | 0.65 | 4.22 | 11.63 | 1.39 | ||||||||||||
Allowance / loans % | 0.23 | N/A | 3.71 | 0.46 |
2020 | ||||||||||||
Three months ended | ||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | |||||||||
Allowance for loan losses as of January 1 | $ | 13,235 | $ | 31 | $ | 13,266 | ||||||
ASU Adoption 2016-13 | 1,607 | 361 | 1,968 | |||||||||
Charge-offs | (3,408 | ) | (403 | ) | (3,811 | ) | ||||||
Recoveries | 915 | 264 | 1,179 | |||||||||
Provision/(provision credit) for loan losses | 6,654 | 71 | 6,725 | |||||||||
Allowance for loan losses as of March 31 | $ | 19,003 | $ | 324 | $ | 19,327 | ||||||
Net charge-offs % (qtr. annualized) | 2.14 | % | 1.82 | % | 2.12 | % | ||||||
Allowance / net charge-offs | 1.89 | x | 0.58 | x | 1.83 | x | ||||||
As of March 31 | ||||||||||||
Period-end loans | $ | 468,183 | $ | 26,615 | $ | 494,798 | ||||||
Nonperforming loans | 109 | 251 | 360 | |||||||||
Troubled debt restructurings | 667 | 32 | 699 | |||||||||
30+ Delinq. % (a) | 0.90 | % | 2.60 | % | 0.99 | % | ||||||
NPL % | 0.02 | 0.94 | 0.07 | |||||||||
Allowance / loans % | 4.06 | 1.21 | 3.91 | |||||||||
2019 | ||||||||||||
Three months ended | ||||||||||||
(Dollars in thousands) | Regional Bank | Non-Strategic | Consolidated | |||||||||
Allowance for loan losses as of January 1 | $ | 12,595 | $ | 132 | $ | 12,727 | ||||||
Charge-offs | (3,002 | ) | (1,186 | ) | (4,188 | ) | ||||||
Recoveries | 745 | 342 | 1,087 | |||||||||
Provision/(provision credit) for loan losses | 2,179 | 857 | 3,036 | |||||||||
Allowance for loan losses as of March 31 | $ | 12,517 | $ | 145 | $ | 12,662 | ||||||
Net charge-offs % (qtr. annualized) | 2.10 | % | 4.35 | % | 2.44 | % | ||||||
Allowance / net charge-offs | 1.37 | x | 0.04 | x | 1.01 | x | ||||||
As of December 31 | ||||||||||||
Period-end loans | $ | 460,742 | $ | 35,122 | $ | 495,864 | ||||||
Nonperforming loans | 36 | 298 | 334 | |||||||||
Troubled debt restructurings | 615 | 38 | 653 | |||||||||
30+ Delinq. % (a) | 0.69 | % | 4.05 | % | 0.93 | % | ||||||
NPL % | 0.01 | 0.85 | 0.07 | |||||||||
Allowance / loans % | 2.87 | 0.09 | 2.68 |
March 31 | December 31 | |||||||
2020 | 2019 | |||||||
Key Portfolio Details | ||||||||
C&I | ||||||||
Period-end loans ($ millions) | $ | 22,124 | $ | 20,051 | ||||
30+ Delinq. % (a) | 0.08 | % | 0.05 | % | ||||
NPL % | 0.43 | 0.37 | ||||||
Charge-offs % (qtr. annualized) | 0.12 | 0.07 | ||||||
Allowance / loans % | 1.15 | % | 0.61 | % | ||||
Allowance / net charge-offs | 10.88 | x | 9.25 | x | ||||
Commercial Real Estate | ||||||||
Period-end loans ($ millions) | $ | 4,640 | $ | 4,337 | ||||
30+ Delinq. % (a) | 0.01 | % | 0.02 | % | ||||
NPL % | 0.05 | 0.04 | ||||||
Charge-offs % (qtr. annualized) | — | NM | ||||||
Allowance / loans % | 1.03 | % | 0.83 | % | ||||
Allowance / net charge-offs | NM | NM | ||||||
Consumer Real Estate (b) | ||||||||
Period-end loans ($ millions) | $ | 6,119 | $ | 6,177 | ||||
30+ Delinq. % (a) | 0.66 | % | 0.70 | % | ||||
NPL % | 1.49 | 1.39 | ||||||
Charge-offs % (qtr. annualized) | NM | NM | ||||||
Allowance / loans % | 2.01 | % | 0.46 | % | ||||
Allowance / net charge-offs | NM | NM | ||||||
Credit Card and Other | ||||||||
Period-end loans ($ millions) | $ | 495 | $ | 496 | ||||
30+ Delinq. % (a) | 0.99 | % | 0.93 | % | ||||
NPL % | 0.07 | 0.07 | ||||||
Charge-offs % (qtr. annualized) | 2.12 | 2.29 | ||||||
Allowance / loans % | 3.91 | % | 2.68 | % | ||||
Allowance / net charge-offs | 1.83 | x | 1.14 | x |
FIRST HORIZON CORPORATION | 80 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | |||||||||||||||||||||||
Allowance for loan and lease losses (a) | March 31, 2021 | December 31, 2020 | March 31, 2020 | ||||||||||||||||||||
C&I | $ | 442 | $ | 453 | $ | 255 | |||||||||||||||||
CRE | 232 | 242 | 48 | ||||||||||||||||||||
Consumer real estate | 222 | 242 | 122 | ||||||||||||||||||||
Credit card and other | 18 | 26 | 19 | ||||||||||||||||||||
Total allowance for loan and lease losses | $ | 914 | $ | 963 | $ | 444 | |||||||||||||||||
Period-end loans and leases | |||||||||||||||||||||||
C&I | $ | 33,951 | $ | 33,104 | $ | 22,124 | |||||||||||||||||
CRE | 12,470 | 12,275 | 4,640 | ||||||||||||||||||||
Consumer real estate | 11,053 | 11,725 | 6,119 | ||||||||||||||||||||
Credit card and other | 1,126 | 1,128 | 495 | ||||||||||||||||||||
Total period-end loans and leases | $ | 58,600 | $ | 58,232 | $ | 33,378 | |||||||||||||||||
ALLL / loans and leases % (a) | |||||||||||||||||||||||
C&I | 1.30 | % | 1.37 | % | 1.15 | % | |||||||||||||||||
CRE | 1.86 | % | 1.97 | % | 1.03 | % |
FIRST HORIZON CORPORATION | 81 | 1Q21 FORM 10-Q REPORT |
Consumer real estate | 2.00 | % | 2.07 | % | 2.00 | % | |||||||||||||||||
Credit card and other | 1.63 | % | 2.34 | % | 3.91 | % | |||||||||||||||||
Total ALLL / loans and leases % | 1.56 | % | 1.65 | % | 1.33 | % | |||||||||||||||||
Quarter-to-date net charge-offs (recoveries) | |||||||||||||||||||||||
C&I | $ | 10 | $ | 31 | $ | 6 | |||||||||||||||||
CRE | 1 | (1) | — | ||||||||||||||||||||
Consumer real estate | (5) | (3) | (1) | ||||||||||||||||||||
Credit card and other | 2 | 2 | 3 | ||||||||||||||||||||
Total net charge-offs | $ | 8 | $ | 29 | $ | 8 | |||||||||||||||||
Average loans and leases (b) | |||||||||||||||||||||||
C&I | $ | 33,279 | $ | 34,196 | $ | 19,470 | |||||||||||||||||
CRE | 12,424 | 12,400 | 4,422 | ||||||||||||||||||||
Consumer real estate | 11,400 | 12,030 | 6,134 | ||||||||||||||||||||
Credit card and other | 1,119 | 1,194 | 498 | ||||||||||||||||||||
Total average loans and leases | $ | 58,222 | $ | 59,820 | $ | 30,524 | |||||||||||||||||
Charge-off % | |||||||||||||||||||||||
C&I | 0.12 | % | 0.36 | % | 0.12 | % | |||||||||||||||||
CRE | 0.06 | % | NM | — | % | ||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||
Credit card and other | 0.65 | % | 0.68 | % | 2.23 | % | |||||||||||||||||
Total charge-off % | 0.06 | % | 0.19 | % | 0.10 | % | |||||||||||||||||
ALLL / annualized net charge-offs | |||||||||||||||||||||||
C&I | 11.47 | x | 3.67 | x | 10.89 | x | |||||||||||||||||
CRE | 33.31 | x | NM | NM | |||||||||||||||||||
Consumer real estate | NM | NM | NM | ||||||||||||||||||||
Credit card and other | 2.53 | x | 3.23 | x | 1.74 | x | |||||||||||||||||
Total ALLL / net charge-offs | 28.14 | x | 8.41 | x | 13.80 | x | |||||||||||||||||
ALLL / NPLs | |||||||||||||||||||||||
C&I | 3.07 | x | 3.15 | x | 2.65 | x | |||||||||||||||||
CRE | 3.45 | x | 4.15 | x | 21.75 | x | |||||||||||||||||
Consumer real estate | 1.23 | x | 1.33 | x | 1.34 | x | |||||||||||||||||
Credit card and other | 7.49 | x | 13.13 | x | 53.69 | x | |||||||||||||||||
Total ALLL / NPLs | 2.32 | x | 2.49 | x | 2.34 | x | |||||||||||||||||
FIRST HORIZON CORPORATION | 82 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | |||||||||||||||
Nonperforming loans and leases | |||||||||||||||||
C&I | $ | 144 | $ | 144 | |||||||||||||
CRE | 67 | 58 | |||||||||||||||
Consumer real estate | 180 | 182 | |||||||||||||||
Credit card and other | 3 | 2 | |||||||||||||||
Total nonperforming loans and leases (a) | $ | 394 | $ | 386 | |||||||||||||
Nonperforming loans held for sale (a) | $ | 5 | $ | 5 | |||||||||||||
Foreclosed real estate and other assets (b) | 11 | 15 | |||||||||||||||
Total nonperforming assets (a) (c) | $ | 410 | $ | 406 | |||||||||||||
Nonperforming loans and leases to total loans and leases | |||||||||||||||||
C&I | 0.42 | % | 0.43 | % | |||||||||||||
CRE | 0.54 | % | 0.48 | % | |||||||||||||
Consumer real estate | 1.63 | % | 1.56 | % | |||||||||||||
Credit card and other | 0.22 | % | 0.18 | % | |||||||||||||
Total NPL % | 0.67 | % | 0.66 | % | |||||||||||||
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Beginning balance | $ | 15,660 | $ | 22,387 | ||||
Valuation adjustments | (27 | ) | 35 | |||||
New foreclosed property | 928 | 1,607 | ||||||
Disposal | (2,680 | ) | (3,353 | ) | ||||
Ending balance, March 31 (a) | $ | 13,881 | $ | 20,676 |
1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Nonperforming loans and leases (a) (b) | ||||||||||||||
Regional Banking | $ | 226 | $ | 216 | ||||||||||
Specialty Banking | 111 | 117 | ||||||||||||
Corporate | 57 | 53 | ||||||||||||
Consolidated | $ | 394 | $ | 386 | ||||||||||
Foreclosed real estate (c) | ||||||||||||||
Regional Banking | $ | 10 | $ | 12 | ||||||||||
Specialty Banking | — | 1 | ||||||||||||
Corporate | 1 | 2 | ||||||||||||
Consolidated | $ | 11 | $ | 15 | ||||||||||
Nonperforming Assets (a) (b) (c) | ||||||||||||||
Regional Banking | $ | 236 | $ | 228 | ||||||||||
Specialty Banking | 111 | 118 | ||||||||||||
Corporate | 58 | 55 | ||||||||||||
Consolidated | $ | 405 | $ | 401 | ||||||||||
Nonperforming loans and leases to loans and leases | ||||||||||||||
Regional Banking | 0.56 | % | 0.54 | % | ||||||||||
Specialty Banking | 0.64 | 0.68 | ||||||||||||
Corporate | 6.20 | 5.70 | ||||||||||||
Consolidated | 0.67 | % | 0.66 | % | ||||||||||
NPA % (d) | ||||||||||||||
Regional Banking | 0.58 | % | 0.57 | % | ||||||||||
Specialty Banking | 0.64 | 0.68 | ||||||||||||
Corporate | 6.28 | 5.87 | ||||||||||||
Consolidated | 0.69 | % | 0.69 | % |
FIRST HORIZON CORPORATION | 84 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of March 31, 2021 | |||||||
Commercial: | ||||||||
C&I | $ | 51 | ||||||
CRE | 178 | |||||||
Total Commercial | $ | 229 | ||||||
Consumer: | ||||||||
HELOC | $ | 12 | ||||||
R/E installment loans | 138 | |||||||
Credit card and other | 6 | |||||||
Total Consumer | 156 | |||||||
Total | $ | 385 | ||||||
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Allowance for loan losses: | ||||||||
Beginning balance on January 1 | $ | 200,307 | $ | 180,424 | ||||
ASU Adoption 2016-13 | 106,394 | — | ||||||
Provision/(provision credit) for loan losses | 145,000 | 9,000 | ||||||
Charge-offs | (13,453 | ) | (10,527 | ) | ||||
Recoveries | 6,242 | 6,014 | ||||||
Ending balance on March 31 | $ | 444,490 | $ | 184,911 | ||||
Reserve for remaining unfunded commitments | 39,303 | 8,014 | ||||||
Total allowance for loan losses and reserve for unfunded commitments | $ | 483,793 | $ | 192,925 | ||||
Key ratios | ||||||||
Allowance / net charge-offs (a) | 15.33 | x | 10.10 | x | ||||
Net charge-offs % (b) | 0.10 | % | 0.07 | % | ||||
As of March 31 | As of December 31 | |||||||
Nonperforming Assets by Segment | 2020 | 2019 | ||||||
Regional Banking: | ||||||||
Nonperforming loans (c) | $ | 142,916 | $ | 113,187 | ||||
OREO (e) | 10,278 | 12,347 | ||||||
Total Regional Banking | 153,194 | 125,534 | ||||||
Non-Strategic: | ||||||||
Nonperforming loans (c) | 45,595 | 47,651 | ||||||
Nonperforming loans held-for-sale net of fair value adjustment (c) | 3,611 | 4,047 | ||||||
OREO (e) | 3,603 | 3,313 | ||||||
Total Non-Strategic | 52,809 | 55,011 | ||||||
Corporate: | ||||||||
Nonperforming loans (c) | 1,302 | 1,327 | ||||||
Total Corporate | 1,302 | 1,327 | ||||||
Total nonperforming assets (c) (d) | $ | 207,305 | $ | 181,872 |
As of March 31 | As of December 31 | |||||||
2020 | 2019 | |||||||
Loans and commitments: | ||||||||
Total period-end loans, net of unearned income | $ | 33,378,303 | $ | 31,061,111 | ||||
Potential problem assets (a) | 411,122 | 346,896 | ||||||
Loans 30 to 89 days past due | 48,498 | 36,052 | ||||||
Loans 90 days past due (b) (c) | 14,144 | 21,859 | ||||||
Loans held-for-sale 30 to 89 days past due (c) | 4,164 | 3,732 | ||||||
Loans held-for-sale 30 to 89 days past due—guaranteed portion (c) (d) | 4,049 | 3,424 | ||||||
Loans held-for-sale 90 days past due (c) | 5,397 | 6,484 | ||||||
Loans held-for-sale 90 days past due—guaranteed portion (c) (d) | 5,165 | 6,417 | ||||||
Remaining unfunded commitments | $ | 10,966,768 | $ | 12,355,220 | ||||
Key ratios | ||||||||
Allowance / loans % | 1.33 | % | 0.64 | % | ||||
Allowance / NPL | 2.34 | x | 1.24 | x | ||||
NPA % (e) | 0.61 | % | 0.57 | % | ||||
NPL % | 0.57 | % | 0.52 | % |
FIRST HORIZON CORPORATION | 85 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | |||||||||||||||
Accruing loans and leases 30+ days past due | |||||||||||||||||
C&I | $ | 26 | $ | 15 | |||||||||||||
CRE | 11 | 23 | |||||||||||||||
Consumer real estate | 52 | 69 | |||||||||||||||
Credit card and other | 5 | 10 | |||||||||||||||
Total 30+ Delinquency | $ | 94 | $ | 117 | |||||||||||||
Accruing loans and leases 30+ days past due % | |||||||||||||||||
C&I | 0.08 | % | 0.05 | % | |||||||||||||
CRE | 0.09 | % | 0.19 | % | |||||||||||||
Consumer real estate | 0.47 | % | 0.58 | % | |||||||||||||
Credit card and other | 0.45 | % | 0.87 | % | |||||||||||||
Total 30+ Delinquency % | 0.16 | % | 0.20 | % | |||||||||||||
Accruing loans and leases 90+ days past due (a) (b) (c): | |||||||||||||||||
C&I | $ | — | $ | — | |||||||||||||
CRE | — | — | |||||||||||||||
Consumer real Estate | 13 | 16 | |||||||||||||||
Credit card and other | — | 1 | |||||||||||||||
Total accruing loans and leases 90+ days past due | $ | 13 | $ | 17 | |||||||||||||
Loans held for sale | |||||||||||||||||
30 to 89 days past due (b) | 7 | 6 | |||||||||||||||
30 to 89 days past due - guaranteed portion (b) (d) | 6 | 5 | |||||||||||||||
90+ days past due (b) | 13 | 12 | |||||||||||||||
90+ days past due - guaranteed portion (b) (d) | 11 | 10 | |||||||||||||||
FIRST HORIZON CORPORATION | 86 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | As of March 31, 2021 | As of December 31, 2020 | ||||||||||||
Held-to-maturity: | ||||||||||||||
Consumer real estate: | ||||||||||||||
Current | $ | 71 | $ | 77 | ||||||||||
Delinquent | 2 | 2 | ||||||||||||
Non-accrual (a) | 57 | 61 | ||||||||||||
Total consumer real estate | 130 | 140 | ||||||||||||
Credit card and other: | ||||||||||||||
Current | 1 | 1 | ||||||||||||
Delinquent | — | — | ||||||||||||
Non-accrual | — | — | ||||||||||||
Total credit card and other | 1 | 1 | ||||||||||||
Commercial loans: | ||||||||||||||
Current | 74 | 82 | ||||||||||||
Delinquent | — | — | ||||||||||||
Non-accrual | 83 | 84 | ||||||||||||
Total commercial loans | 157 | 166 | ||||||||||||
Total held-to-maturity | $ | 288 | $ | 307 | ||||||||||
Held-for-sale: | ||||||||||||||
Current | $ | 35 | $ | 36 | ||||||||||
Delinquent | 5 | 5 | ||||||||||||
Non-accrual | 1 | 1 | ||||||||||||
Total held-for-sale | 41 | 42 | ||||||||||||
Total troubled debt restructurings | $ | 329 | $ | 349 |
(Dollars in thousands) | As of March 31, 2020 | As of December 31, 2019 | ||||||
Held-to-maturity: | ||||||||
Consumer real estate (a): | ||||||||
Current | 98,965 | 105,525 | ||||||
Delinquent | 4,871 | 4,634 | ||||||
Non-accrual (b) | 48,557 | 52,087 | ||||||
Total consumer real estate | 152,393 | 162,246 | ||||||
Credit card and other: | ||||||||
Current | 654 | 615 | ||||||
Delinquent | 45 | 38 | ||||||
Non-accrual | — | — | ||||||
Total credit card and other | 699 | 653 | ||||||
Commercial loans: | ||||||||
Current | 10,401 | 10,558 | ||||||
Delinquent | — | — | ||||||
Non-accrual | 31,191 | 32,841 | ||||||
Total commercial loans | 41,592 | 43,399 | ||||||
Total held-to-maturity | $ | 194,684 | $ | 206,298 | ||||
Held-for-sale: | ||||||||
Current | $ | 38,914 | $ | 39,014 | ||||
Delinquent | 7,555 | 8,008 | ||||||
Non-accrual | 4,042 | 4,106 | ||||||
Total held-for-sale | 50,511 | 51,128 | ||||||
Total troubled debt restructurings | $ | 245,195 | $ | 257,426 |
1Q21 FORM 10-Q REPORT |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Percent of total | Amount | Percent of total | Change | Percent | ||||||||||||||||||||||||||||||||
Savings | $ | 27,023 | 37 | % | $ | 27,324 | 39 | % | $ | (301) | (1) | % | ||||||||||||||||||||||||||
Time deposits | 4,653 | 6 | 5,070 | 7 | (417) | (8) | ||||||||||||||||||||||||||||||||
Other interest-bearing deposits | 16,444 | 23 | 15,415 | 22 | 1,029 | 7 | ||||||||||||||||||||||||||||||||
Interest-bearing deposits | 48,120 | 66 | 47,809 | 68 | 311 | 1 | ||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 25,046 | 34 | 22,173 | 32 | 2,873 | 13 | ||||||||||||||||||||||||||||||||
Total deposits | $ | 73,166 | 100 | % | $ | 69,982 | 100 | % | $ | 3,184 | 5 | % |
Capital | ||||||||||||||
FIRST HORIZON CORPORATION | 88 | 1Q21 FORM 10-Q REPORT |
(Dollars in millions) | March 31, 2021 | December 31, 2020 | ||||||||||||
Shareholders’ equity | $ | 8,012 | $ | 8,012 | ||||||||||
Modified CECL transitional amount (a) | 178 | 191 | ||||||||||||
FHN non-cumulative perpetual preferred | (470) | (470) | ||||||||||||
Common equity tier 1 before regulatory adjustments | $ | 7,720 | $ | 7,733 | ||||||||||
Regulatory adjustments: | ||||||||||||||
Disallowed goodwill and other intangibles | (1,745) | (1,757) | ||||||||||||
Net unrealized (gains) losses on securities available for sale | (5) | (108) | ||||||||||||
Net unrealized (gains) losses on pension and other postretirement plans | 256 | 260 | ||||||||||||
Net unrealized (gains) losses on cash flow hedges | (10) | (12) | ||||||||||||
Disallowed deferred tax assets | (1) | (5) | ||||||||||||
Other deductions from common equity tier 1 | (1) | (1) | ||||||||||||
Common equity tier 1 | $ | 6,214 | $ | 6,110 | ||||||||||
FHN non-cumulative perpetual preferred (b) | 377 | 377 | ||||||||||||
Qualifying noncontrolling interest— First Horizon Bank preferred stock | 295 | 295 | ||||||||||||
Tier 1 capital | $ | 6,886 | $ | 6,782 | ||||||||||
Tier 2 capital | 1,120 | 1,153 | ||||||||||||
Total regulatory capital | $ | 8,006 | $ | 7,935 | ||||||||||
Risk-Weighted Assets | ||||||||||||||
First Horizon Corporation | $ | 62,339 | $ | 63,140 | ||||||||||
First Horizon Bank | 61,610 | 62,508 | ||||||||||||
Average Assets for Leverage | ||||||||||||||
First Horizon Corporation | 83,959 | 82,347 | ||||||||||||
First Horizon Bank | 83,242 | 81,709 |
March 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Ratio | Amount | Ratio | Amount | |||||||||||||||||||||||
Common Equity Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 9.97 | % | $ | 6,214 | 9.68 | % | $ | 6,110 | ||||||||||||||||||
First Horizon Bank | 10.72 | 6,606 | 10.46 | 6,537 | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||
First Horizon Corporation | 11.05 | 6,886 | 10.74 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 11.20 | 6,901 | 10.93 | 6,832 | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
First Horizon Corporation | 12.84 | 8,006 | 12.57 | 7,935 | ||||||||||||||||||||||
First Horizon Bank | 12.75 | 7,855 | 12.52 | 7,827 | ||||||||||||||||||||||
Tier 1 Leverage | ||||||||||||||||||||||||||
First Horizon Corporation | 8.20 | 6,886 | 8.24 | 6,782 | ||||||||||||||||||||||
First Horizon Bank | 8.29 | 6,901 | 8.36 | 6,832 | ||||||||||||||||||||||
Other Capital Ratios | ||||||||||||||||||||||||||
Total period-end equity to period-end assets | 9.49 | 9.86 | ||||||||||||||||||||||||
Tangible common equity to tangible assets (c) | 6.64 | 6.89 | ||||||||||||||||||||||||
Adjusted tangible common equity to risk weighted assets (c) | 9.12 | 8.82 |
FIRST HORIZON CORPORATION | 89 | 1Q21 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 | ||||||||||||||||||||||||||
January 1 to January 31 | — | N/A | — | $ | 500,000 | |||||||||||||||||||||
February 1 to February 28 | 2,128 | 15.59 | 2,128 | 466,828 | ||||||||||||||||||||||
March 1 to March 31 | 1,515 | 16.88 | 1,515 | 441,258 | ||||||||||||||||||||||
Total | 3,643 | $ | 16.12 | 3,643 | ||||||||||||||||||||||
FIRST HORIZON CORPORATION | 90 | 1Q21 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 | ||||||||||||||||||||||||||
January 1 to January 31 | 170 | $ | 13.54 | 170 | 23,861 | |||||||||||||||||||||
February 1 to February 28 | 8 | 13.97 | 8 | 23,854 | ||||||||||||||||||||||
March 1 to March 31 | 44 | 16.69 | 44 | 23,810 | ||||||||||||||||||||||
Total | 221 | $ | 14.18 | 221 |
Risk Management | ||||||||||||||
FIRST HORIZON CORPORATION | 91 | 1Q21 FORM 10-Q REPORT |
Three Months Ended March 31, 2021 | As of March 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Mean | High | Low | |||||||||||||||||||||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | $ | 3 | $ | 4 | $ | 1 | $ | 1 | ||||||||||||||||||||||||||||||||||||
SVaR | 3 | 4 | 2 | 3 | ||||||||||||||||||||||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | 12 | 21 | 1 | 4 | ||||||||||||||||||||||||||||||||||||||||
SVaR | 15 | 21 | 11 | 13 | ||||||||||||||||||||||||||||||||||||||||
Three Months Ended March 31, 2020 | As of March 31, 2020 | |||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Mean | High | Low | |||||||||||||||||||||||||||||||||||||||||
1-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | $ | 2 | $ | 7 | $ | 1 | $ | 5 | ||||||||||||||||||||||||||||||||||||
SVaR | 9 | 18 | 5 | 5 | ||||||||||||||||||||||||||||||||||||||||
10-day | ||||||||||||||||||||||||||||||||||||||||||||
VaR | 7 | 25 | 2 | 19 | ||||||||||||||||||||||||||||||||||||||||
SVaR | 27 | 43 | 16 | 19 | ||||||||||||||||||||||||||||||||||||||||
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 |
Three Months Ended March 31, 2020 | As of March 31, 2020 | |||||||||||||||
(Dollars in thousands) | Mean | High | Low | |||||||||||||
1-day | ||||||||||||||||
VaR | $ | 2,291 | $ | 6,783 | $ | 1,023 | $ | 4,970 | ||||||||
SVaR | 8,526 | 17,727 | 4,592 | 4,970 | ||||||||||||
10-day | ||||||||||||||||
VaR | 6,940 | 24,880 | 1,807 | 18,568 | ||||||||||||
SVaR | 26,510 | 43,221 | 15,887 | 18,568 | ||||||||||||
Three Months Ended March 31, 2019 | As of March 31, 2019 | |||||||||||||||
(Dollars in thousands) | Mean | High | Low | |||||||||||||
1-day | ||||||||||||||||
VaR | $ | 1,433 | $ | 1,907 | $ | 1,018 | $ | 1,307 | ||||||||
SVaR | 8,243 | 9,629 | 6,242 | 8,144 | ||||||||||||
10-day | ||||||||||||||||
VaR | 3,390 | 4,280 | 2,592 | 3,046 | ||||||||||||
SVaR | 21,757 | 28,086 | 16,032 | 21,812 | ||||||||||||
Year Ended December 31, 2019 | As of December 31, 2019 | |||||||||||||||
(Dollars in thousands) | Mean | High | Low | |||||||||||||
1-day | ||||||||||||||||
VaR | $ | 1,068 | $ | 1,907 | $ | 503 | $ | 1,325 | ||||||||
SVaR | 6,198 | 9,629 | 3,157 | 4,579 | ||||||||||||
10-day | ||||||||||||||||
VaR | 2,824 | 7,000 | 1,499 | 2,233 | ||||||||||||
SVaR | 17,367 | 28,086 | 8,803 | 14,975 |
As of March 31, 2021 | As of March 31, 2020 | As of December 31, 2020 | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 1-day | 10-day | 1-day | 10-day | 1-day | 10-day | ||||||||||||||||||||||||||||||||
Interest rate risk | $ | 1 | $ | 2 | $ | 1 | $ | 3 | $ | 1 | $ | 2 | ||||||||||||||||||||||||||
Credit spread risk | — | 1 | 2 | 12 | 2 | 6 |
As of March 31, 2020 | As of March 31, 2019 | As of December 31, 2019 | ||||||||||||||||||||||
(Dollars in thousands) | 1-day | 10-day | 1-day | 10-day | 1-day | 10-day | ||||||||||||||||||
Interest rate risk | $ | 1,255 | $ | 2,628 | $ | 560 | $ | 1,412 | $ | 693 | $ | 3,929 | ||||||||||||
Credit spread risk | 2,301 | 11,758 | 398 | 726 | 417 | 828 |
FIRST HORIZON CORPORATION | 92 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 93 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON CORPORATION | 94 | 1Q21 FORM 10-Q REPORT |
Dividend/Share | Record Date | Payment Date | ||||||||||||||||||
Common Stock | $ | 0.15 | 06/11/2021 | 07/01/2021 | ||||||||||||||||
Preferred Stock | ||||||||||||||||||||
Series A | $ | 1,550.00 | 06/25/2021 | 07/12/2021 | ||||||||||||||||
Series B | $ | 331.25 | 07/16/2021 | 08/02/2021 | ||||||||||||||||
Series C | $ | 165.00 | 07/16/2021 | 08/02/2021 | ||||||||||||||||
Series E | $ | 1,625.00 | 06/25/2021 | 07/12/2021 |
Repurchase Obligations and Off-Balance Sheet Arrangements | ||||||||||||||
FIRST HORIZON CORPORATION | 95 | 1Q21 FORM 10-Q REPORT |
Market Uncertainties and Prospective Trends | ||||||||||||||
FIRST HORIZON CORPORATION | 96 | 1Q21 FORM 10-Q REPORT |
(Dollars in thousands) | As of April 30, 2020 | |||
Commercial: | ||||
General C&I | $ | 1,582,903 | ||
Loans to mortgage companies | — | |||
TRUPS | — | |||
Income CRE | 1,061,452 | |||
Residential CRE | 1,715 | |||
Total Commercial | $ | 2,646,070 | ||
Consumer: | ||||
HELOC | $ | 69,531 | ||
R/E installment loans | 494,205 | |||
Credit Card & Other | 3,279 | |||
Total Consumer | 567,015 | |||
Total | $ | 3,213,085 |
Critical Accounting Policies and Estimates | ||||||||||||||
FIRST HORIZON CORPORATION | 97 | 1Q21 FORM 10-Q REPORT |
Non-GAAP Information | ||||||||||||||
Three Months Ended March 31 | ||||||||
(Dollars in thousands) | 2020 | 2019 | ||||||
Average Tangible Common Equity (Non-GAAP) | ||||||||
Average total equity (GAAP) | $ | 5,002,394 | $ | 4,809,235 | ||||
Less: Average noncontrolling interest (a) | 295,431 | 295,431 | ||||||
Less: Average preferred stock (a) | 95,624 | 95,624 | ||||||
(A) Total average common equity | $ | 4,611,339 | $ | 4,418,180 | ||||
Less: Average intangible assets (GAAP) (b) | 1,560,340 | 1,584,694 | ||||||
(B) Average Tangible Common Equity (Non-GAAP) | $ | 3,050,999 | $ | 2,833,486 | ||||
Net Income Available to Common Shareholders | ||||||||
(C) Net income available to common shareholders (annualized) (GAAP) | $ | 48,545 | $ | 401,642 | ||||
Ratios | ||||||||
(C)/(A) Return on average common equity (“ROCE”) (GAAP) (c) | 1.05 | % | 9.09 | % | ||||
(C)/(B) Return on average tangible common equity (“ROTCE”) (Non-GAAP) (d) | 1.59 | 14.17 |
Three Months Ended | ||||||||||||||||||||||||||||||||
(Dollars in millions; shares in thousands) | March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||||||||||||||||||||||
Pre-provision Net Revenue (Non-GAAP) | ||||||||||||||||||||||||||||||||
Net interest income (GAAP) | $ | 508 | $ | 522 | $ | 303 | ||||||||||||||||||||||||||
Plus: Noninterest income (GAAP) | 298 | 288 | 175 | |||||||||||||||||||||||||||||
Total revenues (GAAP) | 806 | 810 | 478 | |||||||||||||||||||||||||||||
Less: Noninterest expense (GAAP) | 544 | 508 | 302 | |||||||||||||||||||||||||||||
Pre-provision net revenue (Non-GAAP) | $ | 262 | $ | 302 | $ | 176 | ||||||||||||||||||||||||||
Average Tangible Common Equity (Non-GAAP) | ||||||||||||||||||||||||||||||||
Average total equity (GAAP) | $ | 8,349 | $ | 8,209 | $ | 5,002 | ||||||||||||||||||||||||||
Less: Average noncontrolling interest (a) | 295 | 295 | 295 | |||||||||||||||||||||||||||||
Less: Average preferred stock (a) | 470 | 470 | 96 | |||||||||||||||||||||||||||||
(A) Total average common equity | $ | 7,584 | $ | 7,444 | $ | 4,611 | ||||||||||||||||||||||||||
Less: Average intangible assets (GAAP) (b) | 1,857 | 1,871 | 1,560 | |||||||||||||||||||||||||||||
(B) Average Tangible Common Equity (Non-GAAP) | $ | 5,727 | $ | 5,573 | $ | 3,051 | ||||||||||||||||||||||||||
Net Income Available to Common Shareholders | ||||||||||||||||||||||||||||||||
(C) Net income available to common shareholders (annualized) (GAAP) | $ | 911 | $ | 933 | $ | 49 | ||||||||||||||||||||||||||
Tangible Common Equity (Non-GAAP) | ||||||||||||||||||||||||||||||||
(D) Total equity (GAAP) | $ | 8,307 | $ | 8,307 | $ | 5,056 | ||||||||||||||||||||||||||
Less: Noncontrolling interest (a) | 295 | 295 | 295 | |||||||||||||||||||||||||||||
Less: Preferred stock (a) | 470 | 470 | 96 | |||||||||||||||||||||||||||||
(E) Total common equity | $ | 7,542 | $ | 7,542 | $ | 4,665 | ||||||||||||||||||||||||||
Less: Intangible assets (GAAP) (b) | 1,850 | 1,865 | 1,558 | |||||||||||||||||||||||||||||
(F) Tangible common equity (Non-GAAP) | 5,692 | 5,677 | 3,107 | |||||||||||||||||||||||||||||
Less: Unrealized gains (losses) on AFS securities, net of tax | 5 | 108 | 119 | |||||||||||||||||||||||||||||
(G) Adjusted tangible common equity (Non-GAAP) | $ | 5,687 | $ | 5,569 | $ | 2,988 | ||||||||||||||||||||||||||
Tangible Assets (Non-GAAP) | ||||||||||||||||||||||||||||||||
(H) Total assets (GAAP) | $ | 87,513 | $ | 84,209 | $ | 47,197 | ||||||||||||||||||||||||||
Less: Intangible assets (GAAP) (b) | 1,850 | 1,865 | 1,558 | |||||||||||||||||||||||||||||
(I) Tangible assets (Non-GAAP) | $ | 85,663 | $ | 82,344 | $ | 45,639 | ||||||||||||||||||||||||||
Risk-Weighted Assets | ||||||||||||||||||||||||||||||||
(J) Risk-weighted assets (c) | $ | 62,339 | $ | 63,140 | $ | 40,055 | ||||||||||||||||||||||||||
Period-end Shares Outstanding | ||||||||||||||||||||||||||||||||
(K) Period-end shares outstanding | 552,374 | 555,031 | 311,863 | |||||||||||||||||||||||||||||
Ratios | ||||||||||||||||||||||||||||||||
(C)/(A) Return on average common equity (GAAP) | 12.01 | % | 12.53 | % | 1.05 | % | ||||||||||||||||||||||||||
(C)/(B) Return on average tangible common equity (Non-GAAP) | 15.90 | 16.73 | 1.59 | |||||||||||||||||||||||||||||
(D)/(H) Total period-end equity to period-end assets (GAAP) | 9.49 | 9.86 | 10.71 | |||||||||||||||||||||||||||||
(F)/(I) Tangible common equity to tangible assets (Non-GAAP) | 6.64 | 6.89 | 6.81 | |||||||||||||||||||||||||||||
(G)/(J) Adjusted tangible common equity to risk weighted assets (Non-GAAP) | 9.12 | 8.82 | 7.46 | |||||||||||||||||||||||||||||
(E)/(K) Book value per common share (GAAP) | $ | 13.65 | $ | 13.59 | $ | 14.96 | ||||||||||||||||||||||||||
(F)/(K) Tangible book value per common share (Non-GAAP) | $ | 10.29 | $ | 10.23 | $ | 9.96 |
FIRST HORIZON CORPORATION | 98 | 1Q21 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 |
1Q21 FORM 10-Q REPORT |
(a) & (b) | Not Applicable | |||||||
(c) | The "Common Stock Purchase Programs” section including tables | |||||||
FIRST HORIZON CORPORATION | 100 | 1Q21 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 | |||||||||||||||||||||
4.10 | 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 | |||||||||||||||||||||
10.2 | X | X | |||||||||||||||||||||
10.3 | X | X | |||||||||||||||||||||
10.4 | X | X | |||||||||||||||||||||
10.5 | X | 8-K | 10.1 | 1/29/2021 | |||||||||||||||||||
10.6 | X | Proxy 2021 | App. A | 3/15/2021 | |||||||||||||||||||
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 March 31, 2021, formatted in Inline XBRL: (i) Consolidated Balance Sheets at March 31, 2021 and December 31, 2020; (ii) Consolidated Statements of Income for the Three Months Ended March 31, 2021 and 2020; (iii) Consolidated Statements of Comprehensive Income for the Three Months Ended March 31, 2021 and 2020; (iv) Consolidated Statements of Changes in Equity for the Three Months Ended March 31, 2021 and 2020; (v) Consolidated Statements of Cash Flows for the Three Months Ended March 31, 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 | |||||||||||||||||||||
101. LAB | Inline XBRL Taxonomy Extension Label Linkbase | X |
FIRST HORIZON CORPORATION | 101 | 1Q21 FORM 10-Q REPORT |
Exh No | Description of Exhibit to this Report | Filed Here | Mngt Exh | Furn-ished | Incorporated by Reference to | ||||||||||||||||||
Form | Exh | Filing Date | |||||||||||||||||||||
101. PRE | Inline XBRL Taxonomy Extension Presentation Linkbase | X | |||||||||||||||||||||
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 | 102 | 1Q21 FORM 10-Q REPORT |
FIRST HORIZON (Registrant) | ||||||||||||||
Date: May | By: | /s/ William C. Losch III | ||||||||||||
Name: | William C. Losch III | |||||||||||||
Title: | Senior Executive Vice President and Chief Financial Officer | |||||||||||||
(Duly Authorized Officer and Principal Financial Officer) |
FIRST HORIZON CORPORATION | 103 | 1Q21 FORM 10-Q REPORT |