Investment Securities (Tables)

3 Months Ended

Mar. 31, 2016

The following tables summarize FHN’s investment securities on March 31, 2016 and 2015:

	March 31, 2016
			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
(Dollars in thousands)	Cost		Gains		Losses		Value
Securities available-for-sale ("AFS"):
U.S. treasuries	$	100	$	-	$	-	$	100
Government agency issued mortgage-backed securities ("MBS")		1,839,702		47,804		(84)		1,887,422
Government agency issued collateralized mortgage obligations ("CMO")		1,916,942		24,922		(3,643)		1,938,221
States and municipalities		1,500		-		-		1,500
Equity and other (a)		187,172		-		(10)		187,162
Total securities available-for-sale (b)	$	3,945,416	$	72,726	$	(3,737)	$	4,014,405
Securities held-to-maturity ("HTM"):
States and municipalities	$	4,326	$	414	$	-	$	4,740
Corporate bonds		10,000		281		-		10,281
Total securities held-to-maturity	$	14,326	$	695	$	-	$	15,021

Includes restricted investments in FHLB-Cincinnati stock of $87.9 million and FRB stock of $68.6 million. The remainder is money market and cost method investments.
Includes $3.1 billion of securities pledged to secure public deposits, securities sold under agreements to repurchase, and for other purposes.


	March 31, 2015
			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
(Dollars in thousands)	Cost		Gains		Losses		Value
Securities available-for-sale:
U.S. treasuries	$	100	$	-	$	-	$	100
Government agency issued MBS		727,828		35,718		(696)		762,850
Government agency issued CMO		2,691,544		35,030		(10,427)		2,716,147
Other U.S. government agencies		1,655		36		-		1,691
States and municipalities		9,905		-		-		9,905
Equity and other (a)		181,834		-		(196)		181,638
Total securities available-for-sale (b)	$	3,612,866	$	70,784	$	(11,319)	$	3,672,331
Securities held-to-maturity:
States and municipalities	$	4,299	$	1,152	$	-	$	5,451
Total securities held-to-maturity	$	4,299	$	1,152	$	-	$	5,451

Includes restricted investments in FHLB-Cincinnati stock of $87.9 million and FRB stock of $66.0 million. The remainder is money market and cost method investments.
Includes $3.2 billion of securities pledged to secure public deposits, securities sold under agreements to repurchase, and for other purposes.

Schedule Of Amortized Cost And Fair Value By Contractual Maturity


The amortized cost and fair value by contractual maturity for the available-for-sale and held-to-maturity securities portfolios on March 31, 2016, are provided below:

		Held-to-Maturity				Available-for-Sale
		Amortized		Fair		Amortized		Fair
(Dollars in thousands)		Cost		Value		Cost		Value
Within 1 year		$	-	$	-	$	1,500	$	1,500
After 1 year; within 5 years			-		-		100		100
After 5 years; within 10 years			10,000		10,281		-		-
After 10 years			4,326		4,740		-		-
	Subtotal		14,326		15,021		1,600		1,600
Government agency issued MBS and CMO (a)			-		-		3,756,644		3,825,643
Equity and other			-		-		187,172		187,162
Total		$	14,326	$	15,021	$	3,945,416	$	4,014,405

Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

Schedule Of Gross Gains And Losses On Sale From Available For Sale Portfolio

The table below provides information on gross gains and gross losses from investment securities for the three months ended March 31:
	Available-for-sale
(Dollars in thousands)	2016		2015
Gross gains on sales of securities	$	3,837	$	276
Gross (losses) on sales of securities		(2,263)		-
Net gain/(loss) on sales of securities (a)	$	1,574	$	276

Cash proceeds for the three months ended March 31, 2016 and 2015 were $1.0 million and $.3 million, respectively. 2016 includes a $1.7 million gain from an exchange of approximately $294 million of AFS debt securities.

Schedule Of Investments Within The Available For Sale Portfolio That Had Unrealized Losses

The following tables provide information on investments within the available-for-sale portfolio that had unrealized losses as of March 31, 2016 and 2015:
	As of March 31, 2016
	Less than 12 months				12 months or longer				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
(Dollars in thousands)	Value		Losses		Value		Losses		Value		Losses
Government agency issued CMO	$	18,904	$	(214)	$	310,888	$	(3,429)	$	329,792	$	(3,643)
Government agency issued MBS		42,106		(84)		-		-		42,106		(84)
Total debt securities		61,010		(298)		310,888		(3,429)		371,898		(3,727)
Equity		260		(10)		-		-		260		(10)
Total temporarily impaired securities	$	61,270	$	(308)	$	310,888	$	(3,429)	$	372,158	$	(3,737)


	As of March 31, 2015
	Less than 12 months				12 months or longer				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
(Dollars in thousands)	Value		Losses		Value		Losses		Value		Losses
Government agency issued CMO	$	417,267	$	(1,729)	$	485,053	$	(8,698)	$	902,320	$	(10,427)
Government agency issued MBS		25,712		(79)		34,853		(617)		60,565		(696)
Total debt securities		442,979		(1,808)		519,906		(9,315)		962,885		(11,123)
Equity		887		(161)		9		(35)		896		(196)
Total temporarily impaired securities	$	443,866	$	(1,969)	$	519,915	$	(9,350)	$	963,781	$	(11,319)