Loans and Leases

3 Months Ended

Mar. 31, 2012

Loans and Leases

5. Loans and Leases

The Bancorp diversifies its loan and lease portfolio by offering a variety of loan and lease products with various payment terms and rate structures. Lending activities are concentrated within those states in which the Bancorp has banking centers and are primarily located in the Midwestern and Southeastern regions of the United States. The Bancorp's commercial loan portfolio consists of lending to various industry types. Management periodically reviews the performance of its loan and lease products to evaluate whether they are performing within acceptable interest rate and credit risk levels and changes are made to underwriting policies and procedures as needed. The Bancorp maintains an allowance to absorb loan and lease losses inherent in the portfolio. For further information on credit quality and the ALLL, see Note 6.

The following table provides a summary of the total loans and leases classified by primary purpose as of:

			March 31,	December 31,	March 31,
($ in millions)			2012	2011	2011
Loans and leases held for sale:
	Commercial and industrial loans	$	48	45	87
	Commercial mortgage loans		67	76	107
	Commercial construction loans		15	17	40
	Residential mortgage loans		1,429	2,802	1,026
	Other consumer loans and leases		25	14	31
Total loans and leases held for sale		$	1,584	2,954	1,291
Portfolio loans and leases:
	Commercial and industrial loans	$	32,155	30,783	27,344
	Commercial mortgage loans		9,909	10,138	10,510
	Commercial construction loans		901	1,020	1,980
	Commercial leases		3,512	3,531	3,367
Total commercial loans and leases			46,477	45,472	43,201
	Residential mortgage loans		11,094	10,672	9,530
	Home equity		10,493	10,719	11,222
	Automobile loans		11,832	11,827	11,129
	Credit card		1,896	1,978	1,821
	Other consumer loans and leases		321	350	562
Total consumer loans and leases			35,636	35,546	34,264
Total portfolio loans and leases		$	82,113	81,018	77,465

Total portfolio loans and leases are recorded net of unearned income, which totaled $905 million as of March 31, 2012, $942million as of December 31, 2011, and $1.0 billion as of March 31, 2011. Additionally, portfolio loans and leases are recorded net of unamortized premiums and discounts, deferred loan fees and costs, and fair value adjustments (associated with acquired loans or loans designated as fair value upon origination) which totaled a net premium of $62 million, $45 million, and $4 million as of March 31, 2012, December 31, 2011, and March 31, 2011, respectively.

The following table presents a summary of the total loans and leases owned by the Bancorp as of and for the three months ended March 31:

					Balance of Loans 90			Net
		Balance			Days or More Past Due			Charge-Offs
($ in millions)		2012	2011		2012	2011		2012	2011
Commercial and industrial loans	$	32,203	27,431	$	2	8	$	54	83
Commercial mortgage loans		9,976	10,617		30	8		30	54
Commercial construction loans		916	2,020		0	23		18	26
Commercial leases		3,512	3,367		0	-		0	1
Residential mortgage loans		12,523	10,556		73	98		37	65
Home equity loans		10,493	11,222		74	84		46	63
Automobile loans		11,832	11,129		8	9		9	20
Credit card		1,896	1,821		29	36		20	31
Other consumer loans and leases		346	593		0	0		6	24
Total loans and leases	$	83,697	78,756	$	216	266	$	220	367
Less: Loans held for sale	$	1,584	1,291
Total portfolio loans and leases	$	82,113	77,465