Huntington National Bank 2004 Annual Report Download - page 131

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS HUNTINGTON BANCSHARES INCORPORATED
Under current Federal Reserve regulations, the Bank is limited as to the amount and type of loans it may make to the parent company
and non-bank subsidiaries. At December 31, 2004, the Bank could lend $295.5 million to a single affiliate, subject to the qualifying
collateral requirements defined in the regulations.
Dividends from the Bank are one of the major sources of funds for Huntington. These funds aid the parent company in the payment
of dividends to shareholders, expenses, and other obligations. Payment of dividends to the parent company is subject to various legal
and regulatory limitations. Regulatory approval is required prior to the declaration of any dividends in excess of available retained
earnings. The amount of dividends that may be declared without regulatory approval is further limited to the sum of net income for
the current year and retained net income for the preceding two years, less any required transfers to surplus or common stock. The
Bank could declare, without regulatory approval, dividends in 2005 of approximately $274.3 million plus an additional amount equal
to its net income through the date of declaration in 2005.
25. PARENT COMPANY FINANCIAL STATEMENTS
The parent company condensed financial statements, which include transactions with subsidiaries, are as follows.
Balance Sheets December 31,
(in thousands of dollars) 2004 2003
ASSETS
Cash and cash equivalents $ 630,444 $ 432,632
Due from The Huntington National Bank 250,771 250,759
Due from non-bank subsidiaries 204,976 172,371
Investment in The Huntington National Bank 1,472,357 1,492,278
Investment in non-bank subsidiaries 595,233 584,741
Goodwill, net of accumulated amortization 9,877 9,877
Accrued interest receivable and other assets 141,284 155,114
Total Assets $3,304,942 $3,097,772
LIABILITIES
Long-term borrowed funds from unaffiliated companies $ 411,750 $ 513,291
Dividends payable, accrued expenses, and other liabilities 355,554 309,479
Total Liabilities 767,304 822,770
Shareholders’ Equity 2,537,638 2,275,002
Total Liabilities and Shareholders’ Equity $3,304,942 $3,097,772
The parent company had a $100 million line of credit to one of its non-bank subsidiaries at December 31, 2004 and 2003. This line of
credit remained undrawn during 2003 and 2004.
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