TCF Bank 2011 Annual Report Download - page 85

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Note 5. Securities Available for Sale
Securities available for sale consist of the following.
At December 31,
2011 2010
(Dollars in thousands)
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses Fair
Value Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Mortgage-backed securities:
U.S. Government sponsored
enterprises and federal
agencies $2,233,307 $89,029 $ – $2,322,336 $1,929,098 $16,579 $42,141 $1,903,536
Other 152 – – 152 222 – – 222
U.S. Treasury securities – – – – 24,999 1 – 25,000
Other securities 1,742 – 192 1,550 2,610 – 194 2,416
Total $2,235,201 $89,029 $192 $2,324,038 $1,956,929 $16,580 $42,335 $1,931,174
Weighted-average yield 3.79% 3.87%
Gross gains of $8 million, $31.5 million and $31.8 million were recognized on sales of securities during 2011, 2010 and 2009,
respectively. Mortgage-backed securities of $1.8 billion were pledged as collateral to secure certain deposits and borrowings
at December 31, 2011. Mortgage-backed securities and U.S. treasury securities of $1.9 billion were pledged as collateral to
secure deposits and borrowings at December 31, 2010. See Notes 11 and 12 for additional information. During 2011 and 2010,
TCF recorded impairment charges of $768 thousand and $2.1 million, respectively, on other securities as full recovery is not
expected. The other securities had a fair value of $1.6 million and $2.4 million at December 31, 2011 and 2010, respectively.
The following table shows the securities available for sale portfolio’s gross unrealized losses and fair value, aggregated by
investment category and length of time individual securities have been in a continuous unrealized loss position. Unrealized
losses on securities available for sale are due to lower values for equity securities or changes in interest rates and not due to
credit quality issues. TCF has the ability and intent to hold these investments until a recovery of fair value occurs.
At December 31, 2011
Less than 12 months 12 months or more Total
(In thousands) Fair Value Unrealized
Losses Fair Value Unrealized
Losses Fair Value Unrealized
Losses
Other securities $ 1,450 $ 192 $ – $ – $ 1,450 $ 192
Total $ 1,450 $ 192 $ – $ – $ 1,450 $ 192
At December 31, 2010
Less than 12 months 12 months or more Total
(In thousands) Fair Value Unrealized
Losses Fair Value Unrealized
Losses Fair Value Unrealized
Losses
Mortgage-backed securities:
U.S. Government sponsored enterprises
and federal agencies $988,753 $42,141 $ – $ – $988,753 $42,141
Other securities 2,216 194 – – 2,216 194
Total $990,969 $42,335 $ – $ – $990,969 $42,335
The amortized cost and fair value of securities available for sale at December 31, 2011, by contractual maturity, are shown
below. The remaining contractual principal maturities do not consider prepayments. Remaining expected maturities will differ
from contractual maturities because borrowers may have the right to prepay.
At December 31, 2011
(In thousands) Amortized Cost Fair Value
Due in one year or less $ 100 $ 100
Due in 1-5 years 99 105
Due in 5-10 years 168 169
Due in after 10 years 2,233,192 2,322,214
No stated maturity 1,642 1,450
Total $2,235,201 $2,324,038
672011 Form 10-K