SunTrust 2012 Annual Report Download - page 176

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Notes to Consolidated Financial Statements (Continued)
160
The impacts of derivatives on the Consolidated Statements of Income and the Consolidated Statements of Shareholders’ Equity
for the year ended December 31, 2011, are presented below:
Year Ended December 31, 2011
(Dollars in millions)
Amount of pre-
tax gain/(loss)
recognized in
OCI on Derivatives
(Effective Portion)
Classification of gain
reclassified from
AOCI into Income
(Effective Portion)
Amount of pre-
tax gain
reclassified from
AOCI into Income
(Effective Portion)
Derivatives in cash flow hedging relationships:
Equity contracts hedging Securities AFS ($46) $—
Interest rate contracts hedging Floating rate loans1730 Interest and fees on loans 423
Total $684 $423
1 During the year ended December 31, 2011, the Company also reclassified $202 million in pre-tax gains from AOCI into net interest income. These gains
related to hedging relationships that have been previously terminated or de-designated and are reclassified into earnings in the same period in which the
forecasted transaction occurs.
Year Ended December 31, 2011
(Dollars in millions)
Amount of gain on
Derivatives recognized
in Income
Amount of loss on related
Hedged Items
recognized in Income
Amount of loss
recognized in
Income on Hedges
(Ineffective Portion)
Derivatives in fair value hedging relationships:
Interest rate contracts hedging Fixed rate debt1$51 ($52) ($1)
1 Amounts are recognized in trading income in the Consolidated Statements of Income.
(Dollars in millions)
Classification of gain/(loss)
recognized in Income on Derivatives
Amount of gain/(loss)
recognized in Income
on Derivatives for the
Year Ended December 31, 2011
Derivatives not designated as hedging instruments:
Interest rate contracts covering:
Fixed rate debt Trading income ($5)
MSRs Mortgage servicing related income 572
LHFS, IRLCs, LHFI-FV Mortgage production related income/(loss) (281)
Trading activity Trading income 113
Foreign exchange rate contracts covering:
Commercial loans and foreign-denominated debt Trading income (4)
Trading activity Trading income 18
Credit contracts covering:
Loans Trading income (1)
Trading activity Trading income 15
Equity contracts - trading activity Trading income (3)
Other contracts:
IRLCs 1Mortgage production related income/(loss) 355
Total $779
1 The majority of this amount is included in the fair value gain/(loss) for LHFS measured at fair value pursuant to election of the FVO, as shown in Note 18,
"Fair Value Election and Measurement".