Securities (Tables)

12 Months Ended

Dec. 31, 2014

Available-for-Sale and Other 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 other and held-to-maturity securities portfolios as of December 31:

				2014				2013
				Amortized	Unrealized	Unrealized	Fair	Amortized	Unrealized	Unrealized	Fair
($ in millions)				Cost	Gains	Losses	Value	Cost	Gains	Losses	Value
Available-for-sale and other:
	U.S. Treasury and federal agencies		$	1,545	87	-	1,632	1,549	121	-	1,670
	Obligations of states and political subdivisions			185	7	-	192	187	5	-	192
	Mortgage-backed securities:
		Agency residential mortgage-backed securities^(a)		11,968	437	(1)	12,404	12,294	140	(150)	12,284
		Agency commercial mortgage-backed securities		4,465	101	(1)	4,565	-	-	-	-
		Non-agency commercial mortgage-backed securities		1,489	61	-	1,550	1,368	28	(1)	1,395
	Asset-backed securities and other debt securities			1,324	40	(2)	1,362	2,146	48	(7)	2,187
	Equity securities^(b)			701	3	(1)	703	865	5	(1)	869
Total			$	21,677	736	(5)	22,408	18,409	347	(159)	18,597
Held-to-maturity:
	Obligations of states and political subdivisions		$	186	-	-	186	207	-	-	207
	Asset-backed securities and other debt securities			1	-	-	1	1	-	-	1
Total			$	187	-	-	187	208	-	-	208

Includes interest-only mortgage-backed securities of $175 and $262 as of December 31, 2014 and 2013, respectively, recorded at fair value with fair value changes recorded in securities gains, net and securities gains, net – non-qualifying hedges on mortgage servicing rights in the Consolidated Statements of Income.
Equity securities consist of FHLB and FRB restricted stock holdings of $248 and $352, respectively, at December 31, 2014 and, $402 and $349, respectively, at December 31, 2013, 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 years ended December 31:

($ in millions)		2014	2013	2012
Realized gains	$	70	77	75
Realized losses		(9)	(102)	(2)
OTTI		(24)	(74)	(58)
Net realized gains (losses)^(a)	$	37	(99)	15

Excludes net losses on interest-only mortgage-backed securities of $17 for the year ended December 31, 2014 and net gains on interest-only mortgage-backed securities of $129 for the year ended December 31, 2013.

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

The expected maturity distribution of the Bancorp’s mortgage-backed securities and the contractual maturity distribution of the Bancorp’s available-for-sale and other and held-to-maturity securities as of December 31, 2014 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)
	Less than 1 year	$	168	169	148	148
	1-5 years		6,583	6,841	21	21
	5-10 years		12,784	13,190	17	17
	Over 10 years		1,441	1,505	1	1
Equity securities			701	703	-	-
Total		$	21,677	22,408	187	187

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 and other 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 December 31:

		Less than 12 months		12 months or more		Total
			Unrealized		Unrealized		Unrealized
($ in millions)		Fair Value	Losses	Fair Value	Losses	Fair Value	Losses
2014
Agency residential mortgage-backed securities	$	73	(1)	-	-	73	(1)
Agency commercial mortgage-backed securities		355	(1)	-	-	355	(1)
Asset-backed securities and other debt securities		286	(1)	74	(1)	360	(2)
Equity securities		-	-	30	(1)	30	(1)
Total	$	714	(3)	104	(2)	818	(5)
2013
Agency residential mortgage-backed securities	$	7,221	(150)	1	-	7,222	(150)
Non-agency commercial mortgage-backed securities		168	(1)	28	-	196	(1)
Asset-backed securities and other debt securities		427	(4)	104	(3)	531	(7)
Equity securities		33	(1)	4	-	37	(1)
Total	$	7,849	(156)	137	(3)	7,986	(159)

- Definition

Tabular disclosure of marketable securities. This may consist of investments in certain debt and equity securities, short-term investments and other assets.

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