Huntington National Bank 2010 Annual Report Download - page 117

The following table presents the $0.7 billion, or 2%, increase in average loans and leases.
Table 54 — Average Loans/Leases — 2010 Fourth Quarter vs. 2009 Fourth Quarter
2010 2009 Amount Percent
Fourth Quarter Change
(Dollar amounts in millions)
Average Loans/Leases
Commercial and industrial .................... $12,767 $12,570 $ 197 2%
Commercial real estate ....................... 6,798 8,458 (1,660) (20)
Total commercial ............................. 19,565 21,028 (1,463) (7)
Automobile loans and leases .................. 5,520 3,326 2,194 66
Home equity .............................. 7,709 7,561 148 2
Residential mortgage ........................ 4,430 4,417 13 —
Other consumer ............................ 576 757 (181) (24)
Total consumer .............................. 18,235 16,061 2,174 14
Total loans/leases .............................. $37,800 $37,089 $ 711 2%
The increase in average total loans and leases reflected:
• $2.2 billion, or 66%, increase in average automobile loans and leases. In early 2009, we transferred
automobile loans to a trust in a securitization transaction. With the adoption of ASC 810 — Consolida-
tion, that trust was consolidated as of January 1, 2010. At December 31, 2010, these securitized loans
had a remaining balance of $0.5 billion. Underlying growth in automobile loans continued to be strong,
reflecting a significant increase in loan originations compared to the year-ago period. The growth has
come while maintaining our commitment to excellent credit quality and an appropriate return.
• $0.1 billion, or 2%, increase in average home equity loans, reflecting slightly higher line-of-credit
utilization and slower runoff experience, partially offset by lower origination volume.
• $0.2 billion, or 2%, increase in average C&I loans, reflecting our efforts to expand our portfolio within
our primary markets, and to a lesser degree the benefit of the 2009 reclassifications of certain CRE
loans, primarily owner occupied properties, to C&I loans. These benefits were partially offset by the
reclassification in the 2010 first quarter of variable-rate demand notes to municipal securities. We
continue to believe there are opportunities for C&I growth in the coming quarters.
Partially offset by:
• $1.7 billion, or 20%, decrease in average CRE loans reflecting the impact of 2009 reclassifications of
certain CRE loans, primarily representing owner occupied properties, to C&I loans, as well as our on-
going commitment to lower our overall CRE exposure. We continue to effectively execute our plan to
reduce the noncore CRE exposure while maintaining a commitment to our core CRE borrowers. The
decrease in average balances is associated with the noncore portfolio, as we have maintained relatively
consistent balances with good performance in the core portfolio.
The $1.4 billion, or 15%, increase in average total investment securities reflected the redeployment of
cash generated from deposit growth.
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