Huntington National Bank 2009 Annual Report Download - page 49

•
$
12.8 million (
$
0.02 per common share) benefit to provision for income taxes, representin
g
a reductio
n
to the previousl
y
established capital loss carr
y
-forward valuation allowance. Of this
$
12.8 million
,
$
2.7 million related to the value of Vis
a
»
shares held
.
2008
•
$
20.4 million (
$
0.06 per common share) benefit to provision for income taxes, representin
g
a reductio
n
to the previousl
y
established capital loss carr
y
-forward valuation allowance. Of this
$
20.4 million
,
$
7.9 million related to the value of Vis
a
»
shares held
.
The followin
g
table reflects the earnin
g
s impact of the above-mentioned si
g
nificant items for period
s
a
ff
ecte
dby
t
hi
s Resu
l
ts o
f
Operat
i
ons
di
scuss
i
on
:
Table 5 — Si
g
nificant Items Influencin
g
Earnin
g
s Performance Comparison
(
1
)
A
fter-Tax EP
S
After-Tax EP
S
After-Tax EP
S
2
009
2
008
2
007
(
In thousands
)
Net
i
ncome —
G
AAP
..............
$
(3,094,179
)
$(
113,806
)$
75,169
Earn
i
n
g
s per share, a
f
ter-tax
........
$(
6.14
)
$(
0.44
)$
0.2
5
C
han
g
e from prior
y
ear —
$
........
(
5.70
)
(
0.
6
9
)(
1.
6
7
)
Ch
an
g
e
f
rom pr
i
or
y
ear — %
.......
N
.M.
%
N.M.
%(8
7.
0)%
Si
g
nificant Items — Favorable (Unfavorable) Impact: Earnin
g
s(2) EPS(3) Earnin
g
s(2) EPS(3) Earnin
g
s(2) EPS(3
)
Fran
kli
nre
l
at
i
ons
hi
p restructur
i
n
g
(4
)
....
$
159,895
$
0.30
$
—
$
—
$
—
$—
Net
g
a
i
n on ear
ly
ext
i
n
g
u
i
s
h
ment o
f
d
e
bt
...........................
14
7
,442 0
.
18
23
,5
42 0.04 8
,
0
5
8 0.0
2
G
ain related to sale of Vis
a
»
stoc
k
......
31,362 0
.
04
2
5,
087 0.04 — —
Deferred tax
v
aluation allo
w
anc
e
b
ene
fi
t
(
4
)
......................
12,84
7
0
.
02
20
,
3
5
7 0.06 —
—
Goo
d
w
ill i
m
p
a
i
rmen
t
................
(
2
,
606
,
944
)(
4.89
)
—— ——
FDIC s
p
ec
i
a
l
assessment
.............
(
23
,
555
)(
0.03
)
—— ——
Preferred stock conversion deeme
d
divid
en
d
.......................
—
(
0.11
)
—— ——
V
i
s
a
»
i
n
d
emn
ifi
cat
i
on
li
a
bili
t
y
.........
——
16,99
5
0.03
(
24,870
)(
0.0
5)
Mer
g
er/Restructur
i
n
g
costs
...........
——
(
21,830
)(
0.04
)(
8
5
,084
)(
0.18
)
See S
ig
n
ifi
cant Factors In
fl
uenc
i
n
g
F
i
nanc
i
a
l
Per
f
ormanc
e
(
1
)di
scuss
i
on
.
(
2
)
Pretax un
l
ess ot
h
erw
i
se note
d
.
(3) Based upon the annual avera
g
e outstandin
g
diluted common shares
.
(
4
)
After-tax
.
Net Interest Income / Avera
g
e Balance
S
heet
(T
h
is section s
h
ou
ld b
erea
d
in con
j
unction wit
h
Signi
f
icant Items 2 an
d
3.
)
O
ur pr
i
mar
y
source o
f
revenue
i
s net
i
nterest
i
ncome, w
hi
c
hi
st
h
e
diff
erence
b
etween
i
nterest
i
ncom
e
from earnin
g
assets (primaril
y
loans, direct financin
g
leases, and securities), and interest expense of fundin
g
sources (primaril
y
interest-bearin
g
deposits and borrowin
g
s). Earnin
g
asset balances and related fundin
g
,a
s
we
ll
as c
h
an
g
es
i
nt
h
e
l
eve
l
so
fi
nterest rates,
i
mpact net
i
nterest
i
ncome. T
h
e
diff
erence
b
etween t
h
e avera
ge
yi
e
ld
on earn
i
n
g
assets an
d
t
h
e avera
g
e rate pa
id f
or
i
nterest-
b
ear
i
n
gli
a
bili
t
i
es
i
st
h
e net
i
nterest sprea
d
.
Noninterest-bearin
g
sources of funds, such as demand deposits and shareholders’ equit
y
, also support earnin
g
assets. T
h
e
i
mpact o
f
t
h
e non
i
nterest-
b
ear
i
n
g
sources o
ff
un
d
s, o
f
ten re
f
erre
d
to as “
f
ree”
f
un
d
s,
i
s capture
din
t
h
e net
i
nterest mar
gi
n, w
hi
c
hi
sca
l
cu
l
ate
d
as net
i
nterest
i
ncome
di
v
id
e
dby
avera
g
e earn
i
n
g
assets. G
i
ven t
h
e
4
1