Securities (Tables)

9 Months Ended

Sep. 30, 2012

Available-for-Sale and Held-to-Maturity Securities

The following table provides the amortized cost, fair value and unrealized gains and losses for the major categories of the available-for-sale and held-to-maturity securities portfolios as of:
			Amortized	Unrealized	Unrealized	Fair
September 30, 2012 ($ in millions)			Cost	Gains	Losses	Value
Available-for-sale and other:
	U.S. Treasury and government agencies	$	41	-	-	41
	U.S. Government sponsored agencies		1,730	192	-	1,922
	Obligations of states and political subdivisions		203	8	-	211
	Agency mortgage-backed securities		8,534	461	(9)	8,986
	Other bonds, notes and debentures		3,055	114	(5)	3,164
	Other securities(a)		1,078	-	-	1,078
Total		$	14,641	775	(14)	15,402
Held-to-maturity:
	Obligations of states and political subdivisions	$	285	-	-	285
	Other debt securities		2	-	-	2
Total		$	287	-	-	287

			Amortized	Unrealized	Unrealized	Fair
December 31, 2011 ($ in millions)			Cost	Gains	Losses	Value
Available-for-sale and other:
	U.S. Treasury and government agencies	$	171	-	-	171
	U.S. Government sponsored agencies		1,782	180	-	1,962
	Obligations of states and political subdivisions		96	5	-	101
	Agency mortgage-backed securities		9,743	542	(1)	10,284
	Other bonds, notes and debentures		1,792	29	(9)	1,812
	Other securities(a)		1,030	2	-	1,032
Total		$	14,614	758	(10)	15,362
Held-to-maturity:
	Obligations of states and political subdivisions	$	320	-	-	320
	Other debt securities		2	-	-	2
Total		$	322	-	-	322
			Amortized	Unrealized	Unrealized	Fair
September 30, 2011 ($ in millions)			Cost	Gains	Losses	Value
Available-for-sale and other:
	U.S. Treasury and government agencies	$	201	1	-	202
	U.S. Government sponsored agencies		1,808	182	-	1,990
	Obligations of states and political subdivisions		101	4	-	105
	Agency mortgage-backed securities		10,413	605	(1)	11,017
	Other bonds, notes and debentures		1,567	17	(11)	1,573
	Other securities(a)		1,337	3	-	1,340
Total		$	15,427	812	(12)	16,227
Held-to-maturity:
	Obligations of states and political subdivisions	$	335	-	-	335
	Other debt securities		2	-	-	2
Total		$	337	-	-	337

(a) Other securities consist of FHLB and FRB restricted stock holdings of $497 and $346, respectively,at September 30, 2012,and $497 and $345, respectively,at December 31, 2011 and September 30, 2011, that are carried at cost, and certain mutual fund and equity security holdings.

Realized Gains and Losses Recognized in Income from Available-for-Sale Securities

The following table presents realized gains and losses that were recognized in income from available-for-sale securities:
		For the three months		For the nine months
		ended September 30,		ended September 30,
($ in millions)		2012	2011	2012	2011
Realized gains	$	29	48	57	65
Realized losses		-	-	(2)	-
OTTI		(23)	(9)	(39)	(9)
Net realized gains	$	6	39	16	56

Amortized Cost and Fair Value of Available-for-Sale and Held-to-Maturity Securities

The expected maturity distribution of the Bancorp’s agency mortgage-backed securities and the contractual maturity distribution of the Bancorp’s other available-for-sale and held-to-maturity securities as of September 30, 2012 are shown in the following table.
			Available-for-Sale and Other		Held-to-Maturity
($ in millions)			Amortized Cost	Fair Value	Amortized Cost	Fair Value
Debt securities:(a)
	Under 1 year	$	605	619	18	18
	1-5 years		9,411	10,003	239	239
	5-10 years		1,722	1,812	20	20
	Over 10 years		1,825	1,890	10	10
Other securities			1,078	1,078	-	-
Total		$	14,641	15,402	287	287

) Actual maturities may differ from contractual maturities when there exists a right to call or prepay obligations with or without call or prepayment penalties

Fair Value and Gross Unrealized Loss of Securities Available for Sale

The following table provides the fair value and gross unrealized losses on available-for-sale securities in an unrealized loss position, aggregated by investment category and length of time the individual securities have been in a continuous unrealized loss position as of:
		Less than 12 months		12 months or more		Total
			Unrealized		Unrealized		Unrealized
($ in millions)		Fair Value	Losses	Fair Value	Losses	Fair Value	Losses
September 30, 2012
U.S. Treasury and government agencies	$	-	-	-	-	-	-
U.S. Government sponsored agencies		-	-	-	-	-	-
Obligations of states and political subdivisions		-	-	-	-	-	-
Agency mortgage-backed securities		185	(9)	5	-	190	(9)
Other bonds, notes and debentures		418	(5)	-	-	418	(5)
Other securities		-	-	-	-	-	-
Total	$	603	(14)	5	-	608	(14)
December 31, 2011
U.S. Treasury and government agencies	$	70	-	1	-	71	-
U.S. Government sponsored agencies		-	-	-	-	-	-
Obligations of states and political subdivisions		-	-	2	-	2	-
Agency mortgage-backed securities		34	(1)	6	-	40	(1)
Other bonds, notes and debentures		523	(4)	38	(5)	561	(9)
Other securities		6	-	-	-	6	-
Total	$	633	(5)	47	(5)	680	(10)
September 30, 2011
U.S. Treasury and government agencies	$	100	-	-	-	100	-
U.S. Government sponsored agencies		-	-	-	-	-	-
Obligations of states and political subdivisions		-	-	3	-	3	-
Agency mortgage-backed securities		27	-	11	(1)	38	(1)
Other bonds, notes and debentures		622	(6)	45	(5)	667	(11)
Other securities		-	-	-	-	-	-
Total	$	749	(6)	59	(6)	808	(12)