Comprehensive Income |
Comprehensive Income The components of comprehensive income, both gross and net of tax, for First Quarter 2022 and First Quarter 2021 were as follows:
| | | | | | | | | | | | | | | | | | | | | First Quarter 2022 | | | | | | | ($ in thousands) | | Gross | | Tax | | Net | Net income | | $ | 69,890 | | | 13,560 | | | 56,330 | | Components of OCI: | | | | | | | Unrealized losses on investment securities: | | | | | | | Unrealized holding losses during the period | | (261,832) | | | (54,984) | | | (206,848) | | Unrealized losses on securities with credit loss recognized in earnings | | (86,621) | | | (18,191) | | | (68,430) | | | | | | | | | Amounts reclassified into net income: | | | | | | | HTM securities | | 1 | | | — | | | 1 | | Net realized losses on disposals and intent-to-sell AFS securities | | 15,991 | | | 3,358 | | | 12,633 | | Credit loss expense | | 22,052 | | | 4,631 | | | 17,421 | | | | | | | | | Total unrealized losses on investment securities | | (310,409) | | | (65,186) | | | (245,223) | | Defined benefit pension and post-retirement plans: | | | | | | | | | | | | | | Amounts reclassified into net income: | | | | | | | Net actuarial loss | | 417 | | | 88 | | | 329 | | | | | | | | | Total defined benefit pension and post-retirement plans | | 417 | | | 88 | | | 329 | | Other comprehensive loss | | (309,992) | | | (65,098) | | | (244,894) | | Comprehensive loss | | $ | (240,102) | | | (51,538) | | | (188,564) | | | | | | | | | | | | | | | | First Quarter 2021 | | | | | | | ($ in thousands) | | Gross | | Tax | | Net | Net income | | $ | 135,632 | | | 26,362 | | | 109,270 | | Components of OCI: | | | | | | | Unrealized losses on investment securities: | | | | | | | Unrealized holding losses during the period | | (103,308) | | | (21,695) | | | (81,613) | | Unrealized losses on securities with credit loss recognized in earnings | | (11,320) | | | (2,377) | | | (8,943) | | Amounts reclassified into net income: | | | | | | | HTM securities | | (2) | | | — | | | (2) | | Net realized losses on disposals and intent-to-sell AFS securities | | 604 | | | 127 | | | 477 | | Credit loss expense | | 4,997 | | | 1,049 | | | 3,948 | | Total unrealized losses on investment securities | | (109,029) | | | (22,896) | | | (86,133) | | Defined benefit pension and post-retirement plans: | | | | | | | | | | | | | | Amounts reclassified into net income: | | | | | | | Net actuarial loss | | 693 | | | 146 | | | 547 | | | | | | | | | Total defined benefit pension and post-retirement plans | | 693 | | | 146 | | | 547 | | Other comprehensive loss | | (108,336) | | | (22,750) | | | (85,586) | | Comprehensive income | | $ | 27,296 | | | 3,612 | | | 23,684 | |
The balances of, and changes in, each component of AOCI (net of taxes) as of March 31, 2022 were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Net Unrealized (Losses) Gains on Investment Securities | | Defined Benefit Pension and Post-Retirement Plans | | Total AOCI | ($ in thousands) | | Credit Loss Related1 | | HTM Related | | All Other | | Investments Subtotal | | | Balance, December 31, 2021 | | $ | (4,287) | | | (3) | | | 185,170 | | | 180,880 | | | (65,781) | | | 115,099 | | | | | | | | | | | | | | | | | | | | | | | | | | | | OCI before reclassifications | | (68,430) | | | — | | | (206,848) | | | (275,278) | | | — | | | (275,278) | | Amounts reclassified from AOCI | | 17,421 | | | 1 | | | 12,633 | | | 30,055 | | | 329 | | | 30,384 | | Net current period OCI | | (51,009) | | | 1 | | | (194,215) | | | (245,223) | | | 329 | | | (244,894) | | Balance, March 31, 2022 | | $ | (55,296) | | | (2) | | | (9,045) | | | (64,343) | | | (65,452) | | | (129,795) | |
1Represents change in unrealized loss on securities with credit loss recognized in earnings. The reclassifications out of AOCI were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | Quarter ended March 31, | | | Affected Line Item in the Unaudited Consolidated Statements of Income | ($ in thousands) | | 2022 | | 2021 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | HTM related | | | | | | | | | | Unrealized (gains) losses on HTM disposals | | $ | — | | | — | | | | | | Net realized and unrealized investment (losses) gains | Amortization of net unrealized losses (gains) on HTM securities | | 1 | | | (2) | | | | | | Net investment income earned | | | 1 | | | (2) | | | | | | Income before federal income tax | | | — | | | — | | | | | | Total federal income tax expense | | | 1 | | | (2) | | | | | | Net income | Net realized losses on disposals and intent-to-sell AFS securities | | | | | | | | | | Net realized losses on disposals and intent-to-sell AFS securities | | 15,991 | | | 604 | | | | | | Net realized and unrealized investment (losses) gains | | | 15,991 | | | 604 | | | | | | Income before federal income tax | | | (3,358) | | | (127) | | | | | | Total federal income tax expense | | | 12,633 | | | 477 | | | | | | Net income | Credit loss related | | | | | | | | | | Credit loss expense | | 22,052 | | | 4,997 | | | | | | Net realized and unrealized investment (losses) gains | | | 22,052 | | | 4,997 | | | | | | Income before federal income tax | | | (4,631) | | | (1,049) | | | | | | Total federal income tax expense | | | 17,421 | | | 3,948 | | | | | | Net income | | | | | | | | | | | Defined benefit pension and post-retirement life plans | | | | | | | | | | Net actuarial loss | | 96 | | | 159 | | | | | | Loss and loss expense incurred | | | 321 | | | 534 | | | | | | Other insurance expenses | Total defined benefit pension and post-retirement life | | 417 | | | 693 | | | | | | Income before federal income tax | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | (88) | | | (146) | | | | | | Total federal income tax expense | | | 329 | | | 547 | | | | | | Net income | | | | | | | | | | | Total reclassifications for the period | | $ | 30,384 | | | 4,970 | | | | | | Net income |
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