KeyBank 2014 Annual Report Download - page 197

The following tables present the assets and liabilities of the consolidated education loan securitization trusts
measured at fair value as well as the portfolio loans that are measured at fair value on a recurring basis at
December 31, 2014, and December 31, 2013.
December 31, 2014
in millions Level 1 Level 2 Level 3 Total
ASSETS MEASURED ON A RECURRING BASIS
Portfolio loans — — $ 191 $ 191
Total assets on a recurring basis at fair value — — $ 191 $ 191
December 31, 2013
in millions Level 1 Level 2 Level 3 Total
ASSETS MEASURED ON A RECURRING BASIS
Portfolio loans — — $ 147 $ 147
Trust loans — — 1,960 1,960
Trust other assets — — 20 20
Total assets on a recurring basis at fair value — — $ 2,127 $ 2,127
LIABILITIES MEASURED ON A RECURRING BASIS
Trust securities — — $ 1,834 $ 1,834
Trust other liabilities — — 20 20
Total liabilities on a recurring basis at fair value — — $ 1,854 $ 1,854
The following table shows the change in the fair values of the Level 3 consolidated education loan securitization
trusts and portfolio loans for the years ended December 31, 2014, and December 31, 2013.
in millions
Portfolio
Student
Loans
Trust
Student
Loans
Trust
Other
Assets
Trust
Securities
Trust
Other
Liabilities
Balance at December 31, 2012 $ 157 $ 2,369 $ 26 $ 2,159 $ 22
Gains (losses) recognized in earnings (a) — 53 — 191 —
Purchases 152 — — — —
Sales (147) (152) — — —
Settlements (15) (310) (6) (516) (2)
Balance at December 31, 2013 (b) $ 147 $ 1,960 $ 20 $ 1,834 $ 20
Gains (losses) recognized in earnings (a) (8) (34) — 33 —
Purchases 74 —— ——
Sales — (74) — — —
Settlements (22) (202) (1) (278) (3)
Transfers out due to deconsolidation — (1,650) (19) (1,589) (17)
Balance at December 31, 2014 (b) $191 —— ——
(a) Gains (losses) were driven primarily by fair value adjustments.
(b) There were no issuances, transfers into Level 3, or transfers out of Level 3 for the year ended December 31, 2013. There were no
issuances or transfers into Level 3 for the year ended December 31, 2014.
Victory Capital Management and Victory Capital Advisors. On July 31, 2013, we completed the sale of
Victory to a private equity fund. As a result of this sale, we recorded an after-tax gain of $92 million as of
September 30, 2013. The cash portion of the gain was $72 million as of September 30, 2013. At December 31,
2013, the only remaining asset of Victory was a $29 million Seller note. During March 2014, client consents
were secured and assets under management were finalized and, as a result, we recorded an additional after-tax
cash gain of $6 million as of March 31, 2014. Since February 21, 2013, when we agreed to sell Victory, we have
accounted for this business as a discontinued operation.
184