Variable Interest Entities (Tables)

3 Months Ended

Mar. 31, 2012

Variable Interest Entities [Abstract]

Summary Of VIEs Consolidated By FHN

The following table summarizes VIEs consolidated by FHN as of March 31, 2012:

	On-Balance Sheet Consumer Loan Securitizations		Rabbi Trusts Used for Deferred Compensation Plans
(Dollars in thousands)	Carrying Value		Carrying Value
Assets:
Cash and due from banks	$	1,671		N/A
Loans, net of unearned income		154,533		N/A
Less: Allowance for loan losses		10,388		N/A
Total net loans		144,145		N/A
Other assets		4,477		61,632
Total assets	$	150,293	$	61,632
Liabilities:
Term borrowings	$	150,328		N/A
Other liabilities		48		52,712
Total liabilities	$	150,376	$	52,712

The following table summarizes VIEs consolidated by FHN as of March 31, 2011:

	On-Balance Sheet Consumer Loan  Securitizations		Rabbi Trusts Used for Deferred Compensation Plans
(Dollars in thousands)	Carrying Value		Carrying Value
Assets:
Cash and due from banks	$	4,890		N/A
Loans, net of unearned income		722,317		N/A
Less: Allowance for loan losses		39,839		N/A
Total net loans		682,478		N/A
Other assets		16,729		62,069
Total assets	$	704,097	$	62,069
Liabilities:
Noninterest-bearing deposits	$	1,137		N/A
Term borrowings		718,091		N/A
Other liabilities		103		55,486
Total liabilities	$	719,331	$	55,486

Summary Of VIEs Not Consolidated By FHN

(Dollars in thousands)	Maximum Loss Exposure		Liability Recognized		Classification
Type
Low income housing partnerships (a) (b)	$	66,524	$	—	Other assets
New market tax credit LLCs (b) (c)		20,726		—	Other assets
Small issuer trust preferred holdings (d)		447,156		—	Loans, net of unearned income
On-Balance sheet trust preferred securitization		61,723		52,451	(e)
Proprietary trust preferred issuances (f)		N/A		206,186	Term borrowings
Proprietary & agency residential mortgage securitizations		480,107		—	(g)
On-Balance sheet consumer loan securitizations		11,646		338,817	(h)
Holdings of agency mortgage-backed securities (d)		3,626,034		—	(i)
Short positions in agency mortgage-backed securities (f)		N/A		—	Trading liabilities
Commercial loan troubled debt restructurings (j) (k)		83,746		—	Loans, net of unearned income
Managed discretionary trusts (f)		N/A		N/A	N/A

(a) Maximum loss exposure represents $66.1 million of current investments and $.5 million of contractual funding commitments. Only the current investment amount is included in Other assets.

(b) A liability is not recognized because investments are written down over the life of the related tax credit.

(c) Maximum loss exposure represents current investment balance. Of the initial investment, $15.3 million was funded through loans from community development enterprises.

(d) Maximum loss exposure represents the value of current investments. A liability is not recognized as FHN is solely a holder of the trusts' securities.

(e) Includes $112.5 million classified as Loans, net of unearned income, and $1.7 million classified as Trading securities which are offset by $52.5 million classified as Term borrowings.

(f) No exposure to loss due to the nature of FHN's involvement.

(g) Includes $81.1 million and $43.5 million classified as MSR and $11.2 million and $13.4 million classified as Trading securities related to proprietary and agency residential mortgage securitizations, respectively. Aggregate servicing advances of $330.9 million are classified as Other assets.

(h) Includes $350.5 million classified as Loans, net of unearned income which are offset by $338.8 million classified as Term borrowings.

(i) Includes $626.2 million classified as Trading securities and $3.0 billion classified as Securities available for sale.

(j) Maximum loss exposure represents $82.7 million of current receivables and $1.1 million of contractual funding commitments on loans related to commercial borrowers involved in a troubled debt restructuring.

(k) A liability is not recognized as the loans are the only variable interests held in the troubled commercial borrowers' operations.  

The following table summarizes VIEs that are not consolidated by FHN as of March 31, 2011:

	March 31, 2011
(Dollars in thousands)	Maximum Loss  Exposure		Liability Recognized		Classification
Type
Low income housing partnerships (a) (b)	$	84,231	$	—	Other assets
Small issuer trust preferred holdings (c)		465,157		—	Loans, net of unearned income
On-Balance sheet trust preferred securitization		62,684		51,477	(d)
Proprietary trust preferred issuances (e)		N/A		206,186	Term borrowings
Proprietary & agency residential mortgage securitizations		404,562		—	(f)
Holdings of agency mortgage-backed securities (c)		3,226,263		—	(g)
Short positions in agency mortgage-backed securities (e)		N/A		12,789	Trading liabilities
Commercial loan troubled debt restructurings (h) (i)		104,069		—	Loans, net of unearned income
Managed discretionary trusts (e)		N/A		N/A	N/A

(a) Maximum loss exposure represents $83.3 million of current investments and $.9 million of contractual funding commitments. Only the current investment amount is included in Other Assets.

(b) A liability is not recognized because investments are written down over the life of the related tax credit.

(c) Maximum loss exposure represents the value of current investments. A liability is not recognized as FHN is solely a holder of the trusts' securities.

(d) Includes $112.5 million classified as Loans, net of unearned income, and $1.7 million classified as Trading securities which are offset by $51.5 million classified as Term borrowings.

(e) No exposure to loss due to the nature of FHN's involvement.

(f) Includes $100.3 million and $75.6 million classified as Mortgage servicing rights and $13.4 million and $20.7 million classified as Trading securities related to proprietary and agency residential mortgage securitizations, respectively. Aggregate servicing advances of $286.0 million are classified as Other assets and is offset by aggregate custodial balances of $91.5 million classified as Noninterest-bearing deposits.

(g) Includes $475.3 million classified as Trading securities and $2.8 billion classified as Securities available for sale.

(h) Maximum loss exposure represents $101.3 million of current receivables and $2.8 million of contractual funding commitments on loans related to commercial borrowers involved in a troubled debt restructuring.

(i) A liability is not recognized as the loans are the only variable interests held in the troubled commercial borrowers' operations.