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BB&T CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
The following is a summary of the carrying amounts and fair values of those financial assets and liabilities
that BB&T has not recorded at fair value:
December 31,
2008 2007
Carrying
Amount Fair
Value Carrying
Amount Fair
Value
(Dollars in millions)
Financial assets:
Cash and cash equivalents $ 2,740 $ 2,740 $ 3,117 $ 3,117
Segregated cash due from banks 379 379 208 208
Loans and leases, net of unearned income:
Loans (1) 95,958 96,280 90,035 89,967
Leases 1,315 NA 1,651 NA
Allowance for loan and lease losses (1,574) NA (1,004) NA
Net loans and leases $95,699 $90,682
Financial liabilities:
Deposits $98,613 98,877 $86,766 84,445
Federal funds purchased, securities sold under repurchase agreements
and short-term borrowed funds 10,788 10,788 10,634 10,634
Long-term debt 18,026 17,873 18,687 18,662
Capitalized leases 6 NA 6 NA
(1) Excludes loans held for sale for which the Fair Value Option was elected.
NA—not applicable
The following is a summary of the notional or contractual amounts and fair values of BB&T’s off-balance
sheet financial instruments as of the periods indicated:
December 31,
2008 2007
Notional/
Contract
Amount Fair
Value
Notional/
Contract
Amount Fair
Value
(Dollars in millions)
Contractual commitments:
Commitments to extend, originate or purchase credit $35,144 $ 50 $34,295 $ 52
Mortgage loans sold with recourse 822 2 170 —
Other assets sold with recourse 3,259 8 2,140 5
Standby and commercial letters of credit and financial guarantees written 5,895 20 3,408 5
Commitments to fund affordable housing investments 412 393 444 402
Estimates of the fair value of these financial instruments are made at a point in time, based on relevant
market data and information about the financial instrument. Fair values are calculated based on the value of one
trading unit without regard to any premium or discount that may result from concentrations of ownership of a
financial instrument, possible tax ramifications, estimated transaction costs that may result from bulk sales or the
relationship between various financial instruments. No readily available market exists for a significant portion of
BB&T’s financial instruments. Fair value estimates for these instruments are based on judgments regarding
current economic conditions, currency and interest rate risk characteristics, loss experience and other factors.
Many of these estimates involve uncertainties and matters of significant judgment and cannot be determined
with precision. Therefore, the calculated fair value estimates in many instances cannot be substantiated by
comparison to independent markets and, in many cases, may not be realizable in a current sale of the instrument.
In addition, changes in assumptions could significantly affect these fair value estimates. The following methods
and assumptions were used by BB&T in estimating the fair value of these financial instruments.
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