Huntington National Bank 2009 Annual Report Download - page 72

at December 31, 2009, representin
g
48% of total CRE loans. Personal
g
uarantees support approximatel
y
9
6%
of this portfolio, with over 99% representin
g
secured debt. This se
g
ment has onl
y
approximatel
y$
155 millio
n
of future fundin
g
requirements. Nevertheless, it is within the noncore se
g
ment where most of the credit qualit
y
challen
g
es exist. For example,
$
932.0 million, or 26%, of related outstandin
g
s, are classified as NALs. Th
e
S
p
ecial Assets Division (SAD) administers
$
1.8 billion, or 50%, of total noncore CRE loans. It is ex
p
ected
t
h
at we w
ill
ex
i
tt
h
ema
j
or
i
t
y
o
f
noncore CRE re
l
at
i
ons
hi
ps over t
i
me. T
hi
s wou
ld
re
fl
ect norma
l
repa
y
ments,
possible sales should economicall
y
attractive opportunities arise, or the reclassification as a core CR
E
re
l
at
i
ons
hi
p
if i
t expan
d
s to meet t
h
e core requ
i
rements.
T
he table below provides the se
g
re
g
ation of the CRE portfolio into core and noncore se
g
ments as o
f
Decem
b
er 31
,
2009
.
Table 20 —
C
ore
C
ommerc
i
al Real Estate Loans b
y
Pro
p
ert
y
T
yp
e and Pro
p
ert
y
Locat
i
o
n
O
h
i
oM
i
ch
ig
an Pennsylvan
i
a Ind
i
ana Kentucky Flor
i
d
a
W
est
V
i
r
gi
n
i
a
O
the
r
To
t
al
A
mount
%
A
t December 31
,
2009
(
In millions
)
Core
p
ortfolio:
R
etail
p
ro
p
erties . ................
$
488
$
95
$
90
$
91
$
3
$
42
$
40
$
36
9
$1
,
218 16%
Mu
l
t
if
am
ily
................... 26
5
87
5
2318—426
5
55
07
Office . .
.
..................... 342 102 74 33 12 8 40 4
3
6
5
48
In
d
ustr
i
a
l
an
d
ware
h
ouse ........... 280 6
5
17 48 3 3 8
9
0
514 7
S
i
n
gl
e
f
am
ily h
ome
b
u
ild
ers......... 12
5
37
95
—36
94
22
5
3
Lines to real estate com
p
anies . . ......
358 5
72
5
22 4 1 7 1
4
75
6
Hote
l...
..................... 7
836
1
3
21 — —
35
7
0
2
5
33
Hea
l
t
h
care ....................
28 33 13
————
—
7
41
Ra
w
land and other land uses . . ...... 17 2
33
112275
61
O
t
h
er . .
.
.....................
12 3 2 1 1
——
—
19 —
Total core
p
ortfoli
o
................
1
,
993 538 298 253 32 92 183 64
9
4
,
038 5
2
Total noncore
p
ort
f
ol
i
o
.............
1
,
978 488 236 27
5
8
5
137 80 37
2
3,6
5
148
T
o
t
al
..........................
$3
,
971 $1
,
026 $534 $528 $117 $229 $263 $1
,
02
1
$
7
,
689 100
%
C
re
di
t qua
li
t
yd
ata re
g
ar
di
n
g
t
h
e ACL an
d
NALs, se
g
re
g
ate
dby
core CRE
l
oans an
d
noncore CRE
l
oans,
is presented in the followin
g
table
.
Table 21 — Commercial Real Estate — Core vs. Noncore
p
ortfolios
Endin
g
Ba
l
a
n
ce
Prio
r
NCOs ACL
$
ACL %
C
redit
Mark
(
1
)
N
onaccrual
L
oa
n
s
A
t December 31
,
200
9
(
In millions
)
C
ore Tota
l
...................................
$
4
,
038
$
—
$
168 4.16% 4.16%
$
3.8
Noncore — S
p
ecial Assets Division(2
)
.............
1
,
809 511 410 22.66 39.70 861.
0
Noncore — Othe
r
.............................
1
,
842 26 186 10.10 11.35 71.
0
N
oncore Total
.................................
3
,
651 537 596 16.32 27.05 932.
0
C
ommercial Real Estate Total
....................
$7
,
689 $537 $764 9.94% 15.82% $935.8
(1) Calculated as (Prior NCOs + ACL
$
)/(Endin
g
Balance + Prior NCOs
)
(2) Noncore
l
oans mana
g
e
dby
our Spec
i
a
l
Assets D
i
v
i
s
i
on, t
h
e area respons
ibl
e
f
or mana
gi
n
gl
oans an
d
re
l
at
i
ons
hi
ps
d
es
ig
nate
d
as mon
i
tore
d
cre
di
ts
.
64