Huntington National Bank 2011 Annual Report Download - page 113

The decrease in noninterest expense from the year-ago period reflected:
• $8.0 million, or 5%, decrease in other expenses, which reflected primarily lower expenses allocated from
other segments.
Partially offset by:
• $5.8 million, or 3%, increase in personnel costs, which reflected higher benefit-related expenses as well
as higher sales commissions.
2010 vs. 2009
WGH reported net income of $34.8 million in 2010, compared with a net income of $1.7 million in 2009.
The $33.1 million increase included a $70.9 million, or 26%, increase in noninterest income, $4.9 million, or 3%,
increase in net interest income and a $33.0 million, or 26%, decline in the provision for credit losses, partially
offset by a $57.9 million, or 19%, increase in noninterest expense.
RESULTS FOR THE FOURTH QUARTER
Earnings Discussion
In the 2011 fourth quarter, we reported net income of $126.9 million, or $0.14 per common share, compared
with net income of $122.9 million, or $0.05 per common share, in the year-ago quarter. Significant items
impacting fourth quarter performance included:
Table 46 — Significant Items Influencing Earnings Performance Comparison
Impact(1)
After-tax EPS(2)
(dollar amounts in millions, except per share amounts)
Three Months Ended:
December 31, 2011 — GAAP income ................................ $126.9 $ 0.14
• Gain on early extinguishment of debt ............................... 9.7 0.01
• Visa®-related derivative loss ...................................... (6.4) —
December 31, 2010 — GAAP income ................................ $122.9 $ 0.05
• Preferred stock conversion deemed dividend ......................... — (0.07)
(1) Favorable (unfavorable) impact on GAAP earnings; pretax unless otherwise noted.
(2) After-tax. EPS is reflected on a fully diluted basis.
Net Interest Income / Average Balance Sheet
FTE net interest income decreased $0.5 million, or less than 1%, from the year-ago quarter. This reflected
the $0.1 billion, or less than 1%, decrease in average total earning assets, partially offset by a 1 basis point
increase in the fully-taxable equivalent net interest margin. The decrease in average earning assets reflected the
following factors:
• $1.7 billion, or 17%, decrease in average total available-for-sale and other securities.
Partially offset by:
• $1.7 billion, or 5%, increase in average total loans and leases.
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