Huntington National Bank 2011 Annual Report Download - page 169

The following table is a summary of securities gains and losses for the years ended December 31, 2011,
2010 and 2009:
2011 2010 2009
(dollar amounts in thousands)
Gross gains on sales of securities .......................... $ 18,641 $ 28,992 $ 59,762
Gross (losses) on sales of securities ........................ (14,959) (15,544) (10,947)
Net gain (loss) on sales of securities ...................... 3,682 13,448 48,815
OTTI recorded — pre adoption(1) ......................... —— (3,937)
OTTI recorded — post adoption(1) ........................ (7,363) (13,722) (55,127)
Net OTTI recorded .................................... (7,363) (13,722) (59,064)
Total securities gain (loss) .............................. $ (3,681) $ (274) $(10,249)
(1) Huntington adopted the current OTTI provisions of ASC Topic 320 on April 1, 2009.
Alt-A Mortgage-Backed, Pooled-Trust-Preferred, and Private-Label CMO Securities
Our three highest risk segments of our investment portfolio are the Alt-A mortgage-backed, pooled-trust-
preferred, and private-label CMO portfolios. The Alt-A mortgage-backed securities and pooled-trust-preferred
securities are in the asset-backed securities portfolio. The performance of the underlying securities in each of
these segments continued to reflect the economic environment. Each of these securities in these three segments is
subjected to a rigorous review of its projected cash flows. These reviews are supported with analysis from
independent third parties.
The following table presents the credit ratings for our Alt-A mortgage-backed, pooled-trust-preferred, and
private label CMO securities as of December 31, 2011:
Credit Ratings of Selected Investment Securities(1)
Amortized
Cost
Average Credit Rating of Fair Value Amount
Fair Value AAA AA +/- A+/ - BBB +/- <BBB-
(dollar amounts in thousands)
Private-label CMO securities .......... $ 84,598 $ 72,364 $ 1,045 $ — $22,250 $ 6,858 $ 42,211
Alt-A mortgage-backed securities ...... 57,684 47,889 — 23,353 8,035 — 16,501
Pooled-trust-preferred securities ....... 200,585 73,809 — — 22,650 — 51,159
Total at December 31, 2011 ............ $342,867 $194,062 $ 1,045 $23,353 $52,935 $ 6,858 $109,871
Total at December 31, 2010 ............. $435,835 $284,608 $41,238 $33,880 $29,691 $15,145 $164,654
(1) Credit ratings reflect the lowest current rating assigned by a nationally recognized credit rating agency.
Negative changes to the above credit ratings would generally result in an increase of our risk-weighted
assets, and a reduction to our regulatory capital ratios.
The following table summarizes the relevant characteristics of our pooled-trust-preferred securities portfolio
at December 31, 2011. Each security is part of a pool of issuers and supports a more senior tranche of securities
except for the I-Pre TSL II, and MM Comm III securities which are the most senior class.
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