XML 36 R15.htm IDEA: XBRL DOCUMENT v3.3.1.900
Loans
 12 Months Ended
Dec. 31, 2015
Loans [Abstract]  
Loans

Note 4 – Loans

The following table provides the balance of loans by portfolio segment as of December 31, 2015 and 2014:
December 31
(Dollars in thousands)   2015  2014  
Commercial:      
Commercial, financial, and industrial$10,436,390  $9,007,286  
Commercial real estate1,674,935  1,277,717  
Retail:    
Consumer real estate (a)4,766,518  5,048,071  
Permanent mortgage454,123  538,961  
Credit card & other354,536  358,131  
Loans, net of unearned income$17,686,502  $16,230,166  
Allowance for loan losses210,242  232,448  
Total net loans$17,476,260  $15,997,718  

Balances as of December 31, 2015 and 2014, include $52.8 million and $76.8 million of restricted real estate loans, respectively. See Note 21 - Variable Interest Entities for additional information.

COMPONENTS OF THE LOAN PORTFOLIO

The loan portfolio is disaggregated into segments and then further disaggregated into classes for certain disclosures. GAAP defines a portfolio segment as the level at which an entity develops and documents a systematic method for determining its allowance for credit losses. A class is generally determined based on the initial measurement attribute (i.e., amortized cost or purchased credit-impaired), risk characteristics of the loan, and FHN’s method for monitoring and assessing credit risk. Commercial loan portfolio segments include commercial, financial and industrial ("C&I") and commercial real estate ("CRE"). Commercial classes within C&I include general C&I, loans to mortgage companies, the trust preferred loans ("TRUPS") (i.e. long-term unsecured loans to bank and insurance - related businesses) portfolio and purchased credit-impaired (“PCI”) loans. Loans to mortgage companies include commercial lines of credit to qualified mortgage companies primarily for the temporary warehousing of eligible mortgage loans prior to the borrower’s sale of those mortgage loans to third party investors. Commercial classes within CRE include income CRE, residential CRE and PCI loans. Retail loan portfolio segments include consumer real estate, permanent mortgage, and the credit card and other portfolio. Retail classes include HELOC, real estate ("R/E") installment and PCI loans within the consumer real estate segment, permanent mortgage (which is both a segment and a class), and credit card and other.

Concentrations

FHN has a concentration of residential real estate loans (30 percent of total loans), the majority of which is in the consumer real estate segment (27 percent of total loans). Loans to finance and insurance companies total $2.2 billion (21 percent of the C&I portfolio, or 13 percent of the total loans). FHN had loans to mortgage companies totaling $1.7 billion (16 percent of the C&I segment, or 9 percent of total loans) as of December 31, 2015. As a result, 37 percent of the C&I segment was sensitive to impacts on the financial services industry.

Restrictions

On December 31, 2015, $6.9 billion of commercial loans were pledged to secure potential discount window borrowings from the Federal Reserve Bank. Additionally, as of December 31, 2014 and 2015, FHN pledged all of its held-to-maturity first and second lien mortgages and HELOCs, excluding restricted real estate loans to secure potential borrowings from the FHLB-Cincinnati. Restricted loans secure borrowings associated with consolidated VIEs. See Note 21 – Variable Interest Entities for additional discussion.

Loan Sales

In third quarter 2014, FHN sold certain loans held-for-sale. See Note 24 – Fair Value of Assets & Liabilities for further detail.

Acquisition

On October 2, 2015, FHN completed its acquisition of TAF, and its wholly-owned bank subsidiary TAB. The acquisition included $298.1 million in unpaid principal balance of loans with a fair value of $281.9 million. Generally, the fair value for the acquired loans is estimated using a discounted cash flow analysis with significant unobservable inputs (Level 3) including adjustments for expected credit losses, prepayment speeds, current market rates for similar loans, and an adjustment for investor-required yield given product-type and various risk characteristics. See Note 2 - Acquisitions and Divestitures for additional information.

At acquisition, FHN designated certain loans as PCI with the remaining loans accounted for under ASC 310-20, "Nonrefundable Fees and Other Costs." For loans accounted for under ASC 310-20, the difference between the loans' book value to TAB and the estimated fair value at the time of the acquisition will be accreted into interest income over the remaining contractual life and the subsequent accounting and reporting will be similar to FHN's originated loan portfolio.

Purchased Credit-Impaired Loans

The following table reflects FHN’s contractually required payments receivable, cash flows expected to be collected and the fair value of PCI loans at the acquisition date of October 2, 2015.

(Dollars in thousands)October 2, 2015
Contractually required payments including interest$27,340
Less: nonaccretable difference(4,066)
Cash flows expected to be collected23,274
Less: accretable yield(3,088)
Fair value of loans acquired$20,186

The following table presents a rollforward of the accretable yield for the years ended December 31, 2015 and 2014:
Years Ended
December 31
(Dollars in thousands)20152014
Balance, beginning of period$14,714$13,490
Additions3,165495
Accretion(7,184)(7,090)
Adjustment for payoffs(3,513)(1,575)
Adjustment for charge-offs(466)(79)
Increase in accretable yield (a)1,8269,473
Balance, end of period$8,542$14,714

Includes changes in the accretable yield due to both transfers from the nonaccretable difference and the impact of changes in the expected timing of the cash flows.

At December 31, 2015, the ALLL related to PCI loans was $1.7 million compared to $3.2 million as of December 31, 2014. Net charge-offs recognized during 2015 were $1.1 million, compared to $.1 million in 2014. The loan loss provision credit for 2015 was $0.5 million with a loan loss provision expense of $2.5 million during 2014. The following table reflects the outstanding principal balance and carrying amounts of PCI loans as of December 31, 2015 and 2014:
December 31, 2015December 31, 2014
(Dollars in thousands)Carrying valueUnpaid balanceCarrying valueUnpaid balance
Commercial, financial and industrial $16,063$18,573$5,044$5,813
Commercial real estate 19,92925,50432,55343,246
Consumer real estate 3,6724,533598868
Credit card and other 52761014
Total $39,716$48,686$38,205$49,941

Impaired Loans
The following tables provide information at December 31, 2015 and 2014, by class related to individually impaired loans and consumer TDR's. Recorded investment is defined as the amount of the investment in a loan, before valuation allowance but which does reflect any direct write-down of the investment. For purposes of this disclosure, PCI loans and net LOCOM have been excluded.
2015
  Unpaid  AverageInterest
RecordedPrincipalRelatedRecordedIncome
(Dollars in thousands)InvestmentBalanceAllowanceInvestmentRecognized
Impaired loans with no related allowance recorded:      
Commercial:      
General C&I$6,070  $7,751  $-$9,858  $-
Income CRE2,468  9,389  -4,091  -
Residential CRE-  -  -144  -
Total$8,538  $17,140  $-$14,093  $-
Retail:      
HELOC (a)$10,819  $27,125  $-$12,069  $-
R/E installment loans (a)4,285  5,525  -4,609  -
Permanent mortgage (a)4,830  6,983  -6,408  -
Total$19,934  $39,633  $-$23,086  $-
Impaired loans with related allowance recorded:      
Commercial:      
General C&I$21,063  $23,335  $2,718$23,824  $1,047
TRUPS3,339  3,700  92512,149  -
Income CRE5,170  6,477  3906,671  148
Residential CRE1,417  1,886  911,488  32
Total$30,989  $35,398  $4,124$44,132  $1,227
Retail:      
HELOC$89,434  $91,734  $14,392$87,099  $2,137
R/E installment loans61,146  62,148  16,88667,032  1,460
Permanent mortgage97,631  110,259  15,463101,343  1,933
Credit card & other377  382  167434  14
Total$248,588  $264,523  $46,908$255,908  $5,544
Total commercial$39,527  $52,538  $4,124$58,225  $1,227
Total retail$268,522  $304,156  $46,908$278,994  $5,544
Total impaired loans$308,049  $356,694  $51,032$337,219  $6,771

All discharged bankruptcy loans are charged down to an estimate of net realizable value and do not carry any allowance.

2014
  Unpaid  AverageInterest
RecordedPrincipalRelatedRecordedIncome
(Dollars in thousands)InvestmentBalanceAllowanceInvestmentRecognized
Impaired loans with no related allowance recorded:      
Commercial:      
General C&I$9,558  $10,851  $-$15,826  $-
TRUPS---813-
Income CRE8,528  16,242  -7,671  -
Residential CRE1,148  1,827  -718  -
Total$19,234  $28,920  $-$25,028  $-
Retail:      
HELOC (a)$13,379  $32,471  $-$15,670  $-
R/E installment loans (a)4,819  6,247  -7,855  -
Permanent mortgage (a)7,258  9,374  -7,798  -
Total$25,456  $48,092  $-$31,323  $-
Impaired loans with related allowance recorded:      
Commercial:      
General C&I$13,295  $17,644  $863$23,382  $310
TRUPS13,460  13,700  4,31013,524  -
Income CRE8,384  9,756  6509,944  286
Residential CRE1,370  5,331  1465,553  190
Total$36,509  $46,431  $5,969$52,403  $786
Retail:      
HELOC$84,169  $86,252  $18,942$77,306  $1,799
R/E installment loans70,858  72,094  21,83673,374  1,198
Permanent mortgage106,201  119,421  16,627111,528  2,823
Credit card & other533  533  254596  26
Total$261,761  $278,300  $57,659$262,804  $5,846
Total commercial$55,743  $75,351  $5,969$77,431  $786
Total retail$287,217  $326,392  $57,659$294,127  $5,846
Total impaired loans$342,960  $401,743  $63,628$371,558  $6,632

All discharged bankruptcy loans are charged down to an estimate of net realizable value and do not carry any allowance.

Asset Quality Indicators

FHN employs a dual grade commercial risk grading methodology to assign an estimate for the probability of default ("PD") and the loss given default ("LGD") for each commercial loan using factors specific to various industry, portfolio, or product segments that result in a rank ordering of risk and the assignment of grades PD 1 to PD 16. Each PD grade corresponds to an estimated one-year default probability percentage; a PD 1 has the lowest expected default probability, and probabilities increase as grades progress down the scale. PD 1 through PD 12 are “pass” grades. PD grades 13-16 correspond to the regulatory-defined categories of special mention (13), substandard (14), doubtful (15), and loss (16). Pass loan grades are required to be reassessed annually or earlier whenever there has been a material change in the financial condition of the borrower or risk characteristics of the relationship. All commercial loans over $1 million and certain commercial loans over $500,000 that are graded 13 or worse are reassessed on a quarterly basis. LGD grades are assigned based on a scale of 1-12 and represent FHN’s expected recovery based on collateral type in the event a loan defaults. See Note 5 - Allowance for Loan Losses for further discussion on the credit grading system.

The following tables provide the balances of commercial loan portfolio classes with associated allowance, disaggregated by PD grade as of December 31, 2015 and 2014:
December 31, 2015
Loans to      Allowance
GeneralMortgageIncomeResidentialPercentagefor Loan
(Dollars in thousands)C&ICompaniesTRUPS (a)CRECRETotalof TotalLosses
PD Grade:      
1$564,684$-$-$601  $-  $565,285  5%$130  
2598,402--10,267  123  608,792  5320  
3502,548415,532-85,021  -  1,003,101  8356  
4877,443432,477-157,213  12,125  1,479,258  121,091  
51,169,245263,396-221,528  7,308  1,661,477  147,000  
61,190,011387,095-388,239  10,377  1,975,722  1610,779  
71,474,613155,799-348,703  13,363  1,992,478  1614,410  
8797,67915,609-193,338  733  1,007,359  816,520  
9453,948--48,599  1,742  504,289  49,644  
10253,658--64,728  14,450  332,836  35,327  
11190,647--18,825  919  210,391  25,676  
1278,463--17,656  4,132  100,251  12,728  
13142,690-305,0274,572  259  452,548  45,289  
14,15,16120,875--18,793  1,178  140,846  114,229  
Collectively evaluated for impairment8,414,9061,669,908305,0271,578,083  66,709  12,034,633  9993,499  
Individually evaluated for impairment27,133-3,3397,638  1,417  39,527  14,124  
Purchased credit-impaired loans16,077--16,6654,42337,165-1,173
Total commercial loans$8,458,116$1,669,908$308,366$1,602,386  $72,549  $12,111,325  100%$98,796

December 31, 2014
  Loans to          Allowance
GeneralMortgageIncomeResidentialPercent offor Loan
(Dollars in thousands)C&ICompaniesTRUPS (a)CRECRETotalTotalLosses
PD Grade:            
1$450,465$-$-$136  $60  $450,661  4%$70
2434,945--1,344  236  436,525  4130
3566,364134,230-73,812  230  774,636  8201
4589,341202,287-45,084  232  836,944  8408
5821,012247,058-216,628  3,835  1,288,533  132,372
61,162,551314,671-175,007  5,218  1,657,447  165,286
71,325,968157,410-224,226  6,669  1,714,273  178,517
8699,33442,730-200,463  7,664  950,191  99,307
9531,97958,997-117,782  834  709,592  78,901
10244,5745,635-38,253  739  289,201  34,806
11287,940--31,712  938  320,590  36,887
12117,431--29,453  1,038  147,922  14,622
1387,840-325,8826,116  1,166  421,004  43,590
14,15,16157,868--29,579  4,204  191,651  221,411
Collectively evaluated for impairment7,477,612  1,163,018  325,882  1,189,595  33,063  10,189,170  99  76,508  
Individually evaluated for impairment22,853-12,84516,912  2,518  55,128  1  5,969  
Purchased credit-impaired loans5,076--33,9141,71540,705-3,108
Total commercial loans$7,505,541  $1,163,018  $338,727  $1,240,421  $37,296  $10,285,003  100% $85,585

Balances as of December 31, 2015 and 2014, presented net of $25.5 million and $26.2 million, respectively, in lower of cost or market (“LOCOM”) valuation allowance. Based on the underlying structure of the notes, the highest possible internal grade is "13".

The retail portfolio is comprised primarily of smaller-balance loans which are very similar in nature in that most are standard products and are backed by residential real estate. Because of the similarities of retail loan-types, FHN is able to utilize the Fair Isaac Corporation (“FICO”) score, among other attributes, to assess the credit quality of consumer borrowers. FICO scores are refreshed on a quarterly basis in an attempt to reflect the recent risk profile of the borrowers. Accruing delinquency amounts are indicators of asset quality within the credit card and other retail portfolio.

The following tables reflect period end balances and average FICO scores by origination vintage for the HELOC, real estate installment, and permanent mortgage classes of loans as of December 31, 2015 and 2014:
HELOC
December 31, 2015December 31, 2014
  Average  Average    Average  Average
(Dollars in thousands) Period EndOriginationRefreshedPeriod EndOriginationRefreshed
Origination VintageBalanceFICOFICOBalanceFICOFICO
pre-2003$39,241  708  702  $56,335  708  701  
200373,071  719  711  102,073  721  710  
2004200,829  721  710  282,580  723  709  
2005308,328  729  713  451,757  731  722  
2006271,791  737  726  337,440  740  727  
2007297,163  744  729  357,290  744  729  
2008168,573  753  748  194,710  753  747  
200984,415  751  745  101,594  751  743  
201081,100  753  747  98,214  753  749  
201178,280  759  751  96,982  759  753  
201297,504  760  758  119,333  760  758  
2013122,403756757151,005758760
2014112,658761764120,025762762
2015147,659762760---
Total$2,083,015  743  734  $2,469,338  741  732  

  
R/E Installment LoansDecember 31, 2015December 31, 2014
  Average  Average    Average  Average
(Dollars in thousands) Period EndOriginationRefreshedPeriod EndOriginationRefreshed
Origination VintageBalance FICOFICOBalanceFICOFICO
pre-2003$7,384  676  691  $13,909  678  684  
200331,198  711  722  49,706  714  724  
200429,078  697  697  41,414  699  695  
200589,422  714  709  123,130  715  712  
200699,773  711  703  134,055  713  702  
2007153,262  722  710  199,473  723  709  
200852,176  719  718  64,244  720  714  
200922,291  733  728  28,762  736  725  
201074,801  750  759  101,310  747  752  
2011230,711  760  758  278,795  760  759  
2012508,064  764  765  608,684  764  766  
2013410,795755759475,272756759
2014412,051756760459,979756752
2015562,497757756---
Total$2,683,503  751  751  $2,578,733  748  747  

  
Permanent MortgageDecember 31, 2015December 31, 2014
  Average  Average    Average  Average
(Dollars in thousands) Period EndOriginationRefreshedPeriod EndOriginationRefreshed
Origination VintageBalanceFICOFICOBalanceFICOFICO
pre-2004$109,486  724  718  $150,217  723  721  
200411,975  710  702  17,349  712  712  
200529,634  737  734  34,033  736  740  
200650,654  732  729  62,053  731  724  
2007171,581  734  712  188,868  733  717  
200880,793  740  716  86,441  741  709  
Total$454,123  731  717  $538,961  730  717  

Nonaccrual and Past Due Loans

The following table reflects accruing and non-accruing loans by class on December 31, 2015:
Accruing  Non-Accruing  
  30-89  90+      30-89  90+  Total
DaysDaysTotalDaysDaysNon-Total
(Dollars in thousands)Current Past DuePast DueAccruingCurrent Past DuePast DueAccruingLoans
Commercial (C&I):                
General C&I$8,413,480  $5,411  $282  $8,419,173  $3,649  $1,114  $18,103  $22,866  $8,442,039  
Loans to mortgage companies1,667,334  1,971  495  1,669,800  -  -  108  108  1,669,908  
TRUPS (a)305,027  -  -  305,027  -  -  3,339  3,339  308,366  
Purchased credit-impaired loans15,708  63  306  16,077  -  -  -  -  16,077
Total commercial (C&I)10,401,5497,4451,08310,410,0773,649  1,114  21,550  26,31310,436,390
Commercial real estate:                
Income CRE1,576,954  1,363  -  1,578,317  831  282  6,291  7,404  1,585,721  
Residential CRE66,846  -  -  66,846  -  -  1,280  1,280  68,126  
Purchased credit-impaired loans17,868  3,059  161  21,088  -  -  -  -  21,088
Total commercial real estate1,661,6684,422  1611,666,251831  282  7,5718,6841,674,935
Consumer real estate:                
HELOC1,972,286  21,570  10,920  2,004,776  61,317  6,619  10,303  78,239  2,083,015  
R/E installment loans2,631,419  9,394  5,657  2,646,470  26,348  1,649  4,856  32,853  2,679,323  
Purchased credit-impaired loans4,069  20  91  4,180  -  -  -  -  4,180
Total consumer real estate4,607,774  30,984  16,668  4,655,426  87,665  8,268  15,159  111,092  4,766,518  
Permanent mortgage412,879  5,601  3,991  422,471  14,475  2,415  14,762  31,652  454,123  
Credit card & other                
Credit card187,807  1,576  1,225  190,608  -  -  -  -  190,608  
Other161,477  868  173  162,518  620  -  737  1,357  163,875  
Purchased credit-impaired loans53--53----53
Total credit card & other349,337  2,444  1,398  353,179  620  -  737  1,357  354,536  
Total loans, net of unearned$17,433,207  $50,896  $23,301  $17,507,404  $107,240  $12,079  $59,779  $179,098  $17,686,502  

Total TRUPS includes LOCOM valuation allowance of $25.5 million.

The following table reflects accruing and non-accruing loans by class on December 31, 2014:
Accruing  Non-Accruing  
30-8990+30-8990+Total 
   Days  Days  Total     Days  Days  Non-  Total
(Dollars in thousands) CurrentPast DuePast DueAccruingCurrentPast DuePast DueAccruingLoans
Commercial (C&I):  
General C&I$7,477,410  $3,196  $218  $7,480,824  $636  $1,726  $17,279  $19,641  $7,500,465  
Loans to mortgage companies1,162,894  -  -  1,162,894  -  -  124  124  1,163,018  
TRUPS (a)325,882  -  -  325,882  -  -  12,845  12,845  338,727  
Purchased credit-impaired loans4,180  344  552  5,076  -  -  -  -  5,076
Total commercial (C&I)8,970,3663,5407708,974,676636  1,726  30,248  32,6109,007,286
Commercial real estate:                  
Income CRE1,190,562  1,446  -  1,192,008  1,495  1,963  11,041  14,499  1,206,507  
Residential CRE34,541  183  -  34,724  -  -  857  857  35,581  
Purchased credit-impaired loans35,511  3  115  35,629  -  -  -  -  35,629
Total commercial real estate1,260,6141,632  1151,262,3611,495  1,963  11,89815,3561,277,717
Consumer real estate:                  
HELOC 2,347,361  26,738  11,093  2,385,192  66,410  6,628  11,108  84,146  2,469,338  
R/E installment loans2,524,019  11,951  5,602  2,541,572  27,330  3,268  5,888  36,486  2,578,058  
Purchased credit-impaired loans675  -  -  675  -  -  -  -  675
Total consumer real estate4,872,055  38,689  16,695  4,927,439  93,740  9,896  16,996  120,632  5,048,071  
Permanent mortgage495,619  3,624  5,640  504,883  16,681  2,382  15,015  34,078  538,961  
Credit card & other                
Credit card185,015  1,909  1,822  188,746  -  -  -  -  188,746  
Other167,272  1,137  203  168,612  -  -  763  763  169,375  
Purchased credit-impaired loans10--10----10
Total credit card & other352,297  3,046  2,025  357,368  -  -  763  763  358,131  
Total loans, net of unearned$15,950,951  $50,531  $25,245  $16,026,727  $112,552  $15,967  $74,920  $203,439  $16,230,166  

Total TRUPS includes LOCOM valuation allowance of $26.2 million.

Troubled Debt Restructurings

As part of FHN’s ongoing risk management practices, FHN attempts to work with borrowers when necessary to extend or modify loan terms to better align with their current ability to repay. Extensions and modifications to loans are made in accordance with internal policies and guidelines which conform to regulatory guidance. Each occurrence is unique to the borrower and is evaluated separately. FHN considers regulatory guidelines when restructuring loans to ensure that prudent lending practices are followed. As such, qualification criteria and payment terms consider the borrower’s current and prospective ability to comply with the modified terms of the loan.

A modification is classified as a TDR if the borrower is experiencing financial difficulty and it is determined that FHN has granted a concession to the borrower. FHN may determine that a borrower is experiencing financial difficulty if the borrower is currently in default on any of its debt, or if it is probable that a borrower may default in the foreseeable future. Many aspects of a borrower’s financial situation are assessed when determining whether they are experiencing financial difficulty, particularly as it relates to commercial borrowers due to the complex nature of loan structures, business/industry risk, and borrower/guarantor structures. Concessions could include extension of the maturity date, reductions of the interest rate (which may make the rate lower than current market for a new loan with similar risk), reduction or forgiveness of accrued interest, or principal forgiveness. When evaluating whether a concession has been granted, FHN also considers whether the borrower has provided additional collateral or guarantors, among other things, and whether such additions adequately compensate FHN for the restructured terms. The assessments of whether a borrower is experiencing (or is likely to experience) financial difficulty and whether a concession has been granted is subjective in nature and management’s judgment is required when determining whether a modification is classified as a TDR.

For all classes within the commercial portfolio segment, TDRs are typically modified through forbearance agreements (generally 6 to 12 months). Forbearance agreements could include reduced interest rates, reduced payments, release of guarantor, or entering into short sale agreements. FHN’s proprietary modification programs for consumer loans are generally structured using parameters of U.S. government-sponsored programs such as Home Affordable Modification Program (“HAMP”). Within the HELOC and R/E installment loans classes of the consumer portfolio segment, TDRs are typically modified by reducing the interest rate (in increments of 25 basis points to a minimum of 1 percent for up to 5 years) and a possible maturity date extension to reach an affordable housing debt ratio. After 5 years, the interest rate will increase 2 percent per year until the original interest rate prior to modification is achieved. Permanent mortgage TDRs are typically modified by reducing the interest rate (in increments of 25 basis points to a minimum of 2 percent for up to 5 years) and a possible maturity date extension to reach an affordable housing debt ratio. After 5 years the interest rate steps up 1 percent every year thereafter until it reaches the Federal Home Loan Mortgage Corporation Weekly Survey Rate cap. Contractual maturities may be extended to 40 years on permanent mortgages and to 30 years for consumer real estate loans. Within the credit card class of the consumer portfolio segment, TDRs are typically modified through either a short-term credit card hardship program or a longer-term credit card workout program. In the credit card hardship program, borrowers may be granted rate and payment reductions for 6 months to 1 year. In the credit card workout program, customers are granted a rate reduction to 0 percent and term extensions for up to 5 years to pay off the remaining balance.

Despite the absence of a loan modification, the discharge of personal liability through bankruptcy proceedings is considered a concession. As a result, FHN classifies all non-reaffirmed residential real estate loans discharged in Chapter 7 bankruptcy as nonaccruing TDRs.

On December 31, 2015 and 2014, FHN had $296.2 million and $331.3 million portfolio loans classified as TDRs, respectively. For TDRs in the loan portfolio, FHN had loan loss reserves of $50.1 million and $59.0 million, or 17 percent as of December 31, 2015, and 18 percent as of December 31, 2014. Additionally, $71.5 million and $80.1 million of loans held-for-sale as of December 31, 2015 and 2014, respectively were classified as TDRs.

The following tables reflect portfolio loans that were classified as TDRs during the year ended December 31, 2015 and 2014:
20152014
  Pre-Modification  Post-ModificationPre-ModificationPost-Modification
OutstandingOutstandingOutstandingOutstanding
(Dollars in thousands) NumberRecorded InvestmentRecorded InvestmentNumberRecorded InvestmentRecorded Investment
Commercial (C&I):        
General C&I3  $1,818  $1,7544  $1,767  $1,492
Total commercial (C&I)3  1,818  1,7544  1,767  1,492
Commercial real estate:        
Income CRE-  -  -2  421  421
Residential CRE-  -  -1  976  960
Total commercial real estate-  -  -3  1,397  1,381
Consumer real estate:        
HELOC 200  22,530  22,334309  27,078  27,514
R/E installment loans70  5,451  5,456151  10,050  9,958
Total consumer real estate270  27,981  27,790460  37,128  37,472
Permanent mortgage 6  2,039  2,05434  9,362  8,879
Credit card & other24  115  10964327  315
Total troubled debt restructurings303  $31,953  $31,707565  $49,981  $49,539

The following tables present TDRs which re-defaulted during 2015 and 2014, and as to which the modification occurred 12 months or less prior to the re-default. For purposes of this disclosure, FHN generally defines payment default as 30 or more days past due.
20152014
  RecordedRecorded
(Dollars in thousands)NumberInvestmentNumberInvestment
Commercial (C&I):    
General C&I-  $-  6  $869
Total commercial (C&I)-  -  6  869
Commercial real estate:    
Income CRE-  -  4  3,086
Residential CRE1  896  -  -
Total commercial real estate1  896  4  3,086
Consumer real estate:    
HELOC7  308  7  485
R/E installment loans5  185  9  530
Total consumer real estate12  493  16  1,015
Permanent mortgage-  -  3  1,128
Credit card & other5  12  2  4
Total troubled debt restructurings18  $1,401  31  $6,102