Huntington National Bank 2013 Annual Report Download - page 195

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189
On March 30, 2012, Huntington acquired the loans, deposits and certain other assets and liabilities of Fidelity Bank located in
Dearborn, Michigan from the FDIC. Under the agreement, approximately $523.9 million of loans, a receivable of $95.9 million from
the FDIC, and $152.3 million of other assets (primarily cash and due from banks and investment securities) were transferred to
Huntington. Assets acquired and liabilities assumed were recorded at fair value in accordance with ASC 805, “Business
Combinations”. The fair values for loans were estimated using discounted cash flow analyses using interest rates currently being
offered for loans with similar terms (Level 3). This value was reduced by an estimate of probable losses and the credit risk associated
with the loans. The fair values of deposits were estimated by discounting cash flows using interest rates currently being offered on
deposits with similar maturities (Level 3). Additionally, approximately $713.4 million of deposits and $45.2 million of other
borrowings were assumed. Huntington recognized an $11.2 million bargain purchase gain during the 2012, which is included in other
noninterest income.
27. QUARTERLY RESULTS OF OPERATIONS (Unaudited)
The following is a summary of the quarterly results of operations, for the years ended December 31, 2013 and 2012:
2013
(dollar amounts in thousands, except per share data) Fourth Third Second First
Interest income $ 469,824 $ 462,912 $ 462,582 $ 465,319
Interest expense 39,175 38,060 37,645 41,149
N
et interest income 430,649 424,852 424,937 424,170
Provision for credit losses 24,331 11,400 24,722 29,592
N
oninterest income 246,628 250,503 248,655 252,209
N
oninterest expense 446,009 423,336 445,865 442,793
Income before income taxes 206,937 240,619 203,005 203,994
Provision for income taxes 49,114 62,132 52,354 52,214
N
et income 157,823 178,487 150,651 151,780
Dividends on preferred shares 7,965 7,967 7,967 7,970
N
et income applicable to common shares $ 149,858 $ 170,520 $ 142,684 $ 143,810
N
et income per common share -- Basic $0.18 $ 0.21 $ 0.17 $0.17
N
et income per common share -- Diluted 0.18 0.20 0.17 0.17
2012
(dollar amounts in thousands, except per share data) Fourth Third Second First
Interest income $ 478,995 $ 483,787 $ 487,544 $ 479,937
Interest expense 44,940 53,489 58,582 62,728
N
et interest income 434,055 430,298 428,962 417,209
Provision for credit losses 39,458 37,004 36,520 34,406
N
oninterest income 297,651 261,067 253,819 285,320
N
oninterest expense 470,628 458,303 444,269 462,676
Income before income taxes 221,620 196,058 201,992 205,447
Provision for income taxes 54,341 28,291 49,286 52,177
N
et income 167,279 167,767 152,706 153,270
Dividends declared on preferred shares 7,973 7,983 7,984 8,049
N
et income applicable to common shares $ 159,306 $ 159,784 $ 144,722 $ 145,221
N
et income per common share -- Basic $0.19 $ 0.19 $ 0.17 $ 0.17
N
et income per common share -- Diluted 0.19 0.19 0.17 0.17