Offsetting Derivative and Other Financial Instruments

3 Months Ended

Mar. 31, 2013

Offsetting derivative and other financial instruments

11. Offsetting Derivative and Other Financial Instruments

The Bancorp's derivative transactions are generally governed by ISDA Master Agreements and similar arrangements, which include provisions governing the setoff of assets and liabilities between the parties. When the Bancorp has more than one outstanding derivative transaction with a single counterparty, the setoff provisions contained within these agreements generally allow the non-defaulting party the right to reduce its liability to the defaulting party by amounts eligible for setoff, including the collateral received as well as eligible offsetting transactions with that counterparty, irrespective of the currency, place of payment, or booking office. The Bancorp's policy is to present its derivative assets and derivative liabilities on the Condensed Consolidated Balance Sheets on a gross basis, even when provisions allowing for setoff are in place.

Collateral amounts included in the table below consist primarily of cash and highly-rated government-backed securities.

	Amount		Gross Amounts Not Offset in the
	Recognized in the		Condensed Consolidated Balance Sheet
March 31, 2013 ($ in millions)	Condensed Consolidated Balance Sheet (a)		Derivatives	Collateral (b)	Net Amount
Assets
Derivatives	$	1,586	(262)	(743)	$	581
Total assets		1,586	(262)	(743)		581
Liabilities
Derivatives		865	(262)	(463)		140
Total liabilities	$	865	(262)	(463)	$	140

	Amount		Gross Amounts Not Offset in the
	Recognized in the		Condensed Consolidated Balance Sheet
December 31, 2012 ($ in millions)	Condensed Consolidated Balance Sheet(a)		Derivatives	Collateral(b)	Net Amount
Assets
Derivatives	$	1,735	(291)	(794)	$	650
Total assets		1,735	(291)	(794)		650
Liabilities
Derivatives		915	(291)	(505)		119
Total liabilities	$	915	(291)	(505)	$	119

• Amount does not include stock warrants associated with sale of the processing business and interest rate lock commitments, because these instruments are not subject to master netting or similar arrangement.
• Amount of collateral received as an offset to asset positions or pledged as an offset to liability positions. Collateral values in excess of amounts recognized in the Condensed Consolidated Balance Sheets were excluded from this table