Huntington National Bank 2003 Annual Report Download - page 49

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MANAGEMENT’S DISCUSSION AND ANALYSIS
Average CRE loans increased $0.3 billion, or 10%. Management is currently reviewing how it defines and reports CRE loans, including
owner-occupied real estate loans. Owner-occupied loans are currently reported as CRE loans in the consolidated balance sheet.
Management expects to complete its review in the first half of 2004. Any change in the definition of CRE loans would result in a
reclassification between the CRE and C&I portfolio and would not have any impact on net income.
Also contributing to the increase in average earning assets was a $0.9 billion, or 29%, increase in average securities. This increase
reflected an investment of a portion of the proceeds from the automobile loan sales and the securitization and retention of originated
residential mortgages.
Average operating lease assets were $1.7 billion in 2003, down 35% from the prior year, reflecting the run-off of operating leases, as all
new automobile lease originations since April 2002 are direct financing leases and reflected in automobile loans and leases (see
Significant Factors item 8).
HUNTINGTON BANCSHARES INCORPORATED 47