Loans and Leases

6 Months Ended

Jun. 30, 2015

Loans and Leases Receivable

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 generally 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, refer to Note 6.

The following table provides a summary of the total loans and leases classified by primary purpose as of:
			June 30,	December 31,
($ in millions)			2015	2014
Loans and leases held for sale:
	Commercial and industrial loans	$	12	36
	Commercial mortgage loans		15	11
	Commercial construction loans		-	2
	Commercial leases		1	1
	Residential mortgage loans		859	1,193
	Home equity		44	-
	Automobile loans		5	-
	Other consumer loans and leases		59	18
Total loans and leases held for sale		$	995	1,261
Portfolio loans and leases:
	Commercial and industrial loans	$	42,800	40,765
	Commercial mortgage loans		7,150	7,399
	Commercial construction loans		2,709	2,069
	Commercial leases		3,881	3,720
Total commercial loans and leases			56,540	53,953
	Residential mortgage loans		12,933	12,389
	Home equity		8,547	8,886
	Automobile loans		11,909	12,037
	Credit card		2,278	2,401
	Other consumer loans and leases		496	418
Total consumer loans and leases			36,163	36,131
Total portfolio loans and leases		$	92,703	90,084

Total portfolio loans and leases are recorded net of unearned income, which totaled $648million as of June 30, 2015 and$665million as of December 31, 2014.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 at fair value upon origination) which totaled a net premium of $191 million and$169 million as of June 30, 2015and December 31, 2014,respectively.

The Bancorp's FHLB and FRB advances are generally secured by loans. The Bancorp had loans of $11.6 billion and $11.1 billion at June 30, 2015 and December 31, 2014, respectively, pledged at the FHLB, and loans of $32.8billion and $33.9 billion at June 30, 2015 and December 31, 2014, respectively, pledged at the FRB.

The following table presents a summary of the total loans and leases owned by the Bancorp as of:
					90 Days Past Due
		Balance			and Still Accruing
		June 30,	December 31,		June 30,	December 31,
($ in millions)		2015	2014		2015	2014
Commercial and industrial loans	$	42,812	40,801		2	-
Commercial mortgage loans		7,165	7,410		-	-
Commercial construction loans		2,709	2,071		-	-
Commercial leases		3,882	3,721		-	-
Residential mortgage loans		13,792	13,582		43	56
Home equity		8,591	8,886		-	-
Automobile loans		11,914	12,037		8	8
Credit card		2,278	2,401		17	23
Other consumer loans and leases		555	436		-	-
Total loans and leases	$	93,698	91,345		70	87
Less: Loans held for sale	$	995	1,261
Total portfolio loans and leases	$	92,703	90,084
The following table presents a summary of net charge-offs:
		For the three months ended June 30,			For the six months ended June 30,
($ in millions)		2015	2014		2015	2014
Commercial and industrial loans	$	34	31	$	72	127
Commercial mortgage loans		11	9		12	12
Commercial construction loans		-	8		-	12
Residential mortgage loans		5	8		11	23
Home equity		9	18		22	34
Automobile loans		4	5		12	13
Credit card		21	21		42	39
Other consumer loans and leases		2	1		6	10
Total net charge-offs	$	86	101	$	177	270