SunTrust 2010 Annual Report Download - page 68

Short-term borrowings increased $455 million, or 8%, from December 31, 2009 to $5.8 billion as of December 31, 2010. The
increase was primarily attributable to an incremental $309 million of securities sold under agreement to repurchase and $300
million of dealer collateral held by the Company as of December 31, 2010. Additionally, the $99 million of CP issued during
2010 contributed to the rise in short-term borrowings. These increases were slightly offset by a decrease of $482 million in
Fed funds purchased overnight to $951 million as of December 31, 2010.
LONG-TERM DEBT
Table 23 – Long-Term Debt
As of December 31
(Dollars in millions) 2010 2009
Parent Company Only
Senior, fixed rate $922 $947
Senior, variable rate 1,512 1,512
Subordinated, fixed rate 200 505
Junior subordinated, fixed rate 1,693 1,693
Junior subordinated, variable rate 651 657
Total Parent Company debt 4,978 5,314
Subsidiaries
Senior, fixed rate 2,640 5,177
Senior, variable rate 3,443 3,671
Subordinated, fixed rate 2,087 2,828
Subordinated, variable rate 500 500
Total subsidiaries debt 8,670 12,176
Total long-term debt $13,648 $17,490
Long-term debt decreased $3.8 billion, or 22%, from December 31, 2009 to $13.6 billion at December 31, 2010. The decline
in long-term debt was primarily the result of the repayment of $2.7 billion of FHLB advances, $500 million of which was
issued during 2010 and $1.1 billion matured during 2010. We terminated $103 million of senior fixed rate debt and $929
million of senior floating rate debt, of which $750 million matured during 2010. Slightly offsetting the termination of the
aforementioned senior debt was the increase in senior variable rate debt of $474 million and $290 million related to
consolidation of the Student Loan entity and the CLO entity, respectively. The CLO debt is carried at fair value. See Note 11,
“Certain Transfers of Financial Assets, Mortgage Servicing Rights and Variable Interest Entities,” to the Consolidated
Financial Statements for additional information related to the consolidation. Additionally, we performed a cash tender offer
to purchase $750 million aggregate principal amount of our outstanding subordinated debt securities carried at fair value that
were to mature between 2015 and 2020. Following the tender offer, we repurchased an additional $99 million of these
subordinated debt securities in the secondary market. We also repurchased $34 million of Parent Company senior fixed rate
debt and $6 million of Parent Company Junior Subordinated variable rate debt. During 2010, $300 million of Parent
Company subordinated fixed rate debt recorded at fair value matured. Repayment was assisted by the continued growth
during the year of our core deposit portfolio.
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