Investment Securities (Tables)

3 Months Ended

Mar. 31, 2017

The following tables summarize FHN’s investment securities on March 31, 2017 and December 31, 2016:

	March 31, 2017
			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 mortgage-backed securities ("MBS")		2,171,843		13,675		(25,596)		2,159,922
Government agency issued collateralized mortgage obligations ("CMO")		1,610,857		4,980		(23,526)		1,592,311
Equity and other (a)		186,948		-		(3)		186,945
Total securities available-for-sale (b)	$	3,969,748	$	18,655	$	(49,125)	$	3,939,278
Securities held-to-maturity:
States and municipalities	$	4,354	$	386	$	-	$	4,740
Corporate bonds		10,000		63		-		10,063
Total securities held-to-maturity	$	14,354	$	449	$	-	$	14,803

Includes restricted investments in FHLB-Cincinnati stock of $87.9 million and FRB stock of $68.6 million. The remainder is money market, mutual funds, and cost method investments.
Includes $3.5 billion of securities pledged to secure public deposits, securities sold under agreements to repurchase, and for other purposes.


	December 31, 2016
			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		2,217,593		14,960		(23,866)		2,208,687
Government agency issued CMO		1,566,986		4,909		(23,937)		1,547,958
Equity and other (a)		186,756		-		(2)		186,754
Total securities available-for-sale (b)	$	3,971,435	$	19,869	$	(47,805)	$	3,943,499
Securities held-to-maturity:
States and municipalities	$	4,347	$	393	$	-	$	4,740
Corporate bonds		10,000		33		-		10,033
Total securities held-to-maturity	$	14,347	$	426	$	-	$	14,773

Includes restricted investments in FHLB-Cincinnati stock of $87.9 million and FRB stock of $68.6 million. The remainder is money market, mutual funds, and cost method investments.
Includes $3.3 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, 2017 are provided below:

		Held-to-Maturity				Available-for-Sale
		Amortized		Fair		Amortized		Fair
(Dollars in thousands)		Cost		Value		Cost		Value
Within 1 year		$	-	$	-	$	100	$	100
After 1 year; within 5 years			-		-		-		-
After 5 years; within 10 years			10,000		10,063		-		-
After 10 years			4,354		4,740		-		-
	Subtotal		14,354		14,803		100		100
Government agency issued MBS and CMO (a)			-		-		3,782,700		3,752,233
Equity and other			-		-		186,948		186,945
Total		$	14,354	$	14,803	$	3,969,748	$	3,939,278

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)	2017		2016
Gross gains on sales of securities	$	44	$	3,837
Gross (losses) on sales of securities		-		(2,263)
Net gain/(loss) on sales of securities (a)	$	44	$	1,574

Cash proceeds for the three months ended March 31, 2017 were not material. Cash proceeds for the three months ended March 31, 2016 were $1.0 million. 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, 2017 and December 31, 2016:
	As of March 31, 2017
	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	$	1,068,010	$	(18,525)	$	111,813	$	(5,001)	$	1,179,823	$	(23,526)
Government agency issued MBS		1,846,348		(25,596)		-		-		1,846,348		(25,596)
Total debt securities		2,914,358		(44,121)		111,813		(5,001)		3,026,171		(49,122)
Equity		6		(3)		-		-		6		(3)
Total temporarily impaired securities	$	2,914,364	$	(44,124)	$	111,813	$	(5,001)	$	3,026,177	$	(49,125)


	As of December 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	$	1,059,471	$	(19,052)	$	116,527	$	(4,885)	$	1,175,998	$	(23,937)
Government agency issued MBS		1,912,126		(23,866)		-		-		1,912,126		(23,866)
Total debt securities		2,971,597		(42,918)		116,527		(4,885)		3,088,124		(47,803)
Equity		7		(2)		-		-		7		(2)
Total temporarily impaired securities	$	2,971,604	$	(42,920)	$	116,527	$	(4,885)	$	3,088,131	$	(47,805)