BB&T 2011 Annual Report Download - page 102
Download and view the complete annual report
Please find page 102 of the 2011 BB&T annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92 -
93 -
94 -
95 -
96 -
97 -
98 -
99 -
100 -
101 -
102 -
103 -
104 -
105 -
106 -
107 -
108 -
109 -
110 -
111 -
112 -
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
 |
 |
NOTE 2. Securities
The amortized cost, gross unrealized gains and losses and approximate fair values of securities available for sale and held
to maturity were as follows:
December 31, 2011
Amortized
Cost
Gross Unrealized Fair
ValueGains Losses
(Dollars in millions)
Securities available for sale:
U.S. government-sponsored entities (“GSE”) $ 305 $ 1 $ — $ 306
Mortgage-backed securities issued by GSE 17,940 199 7 18,132
States and political subdivisions 1,977 91 145 1,923
Non-agency mortgage-backed securities 423 — 55 368
Other securities 7 — — 7
Covered securities 1,240 343 6 1,577
Total securities available for sale $ 21,892 $ 634 $ 213 $ 22,313
December 31, 2011
Amortized
Cost
Gross Unrealized Fair
ValueGains Losses
(Dollars in millions)
Securities held to maturity:
GSE securities $ 500 $ — $ — $ 500
Mortgage-backed securities issued by GSE 13,028 32 23 13,037
States and political subdivisions 35 — 2 33
Other securities 531 1 4 528
Total securities held to maturity $ 14,094 $ 33 $ 29 $ 14,098
December 31, 2010
Amortized
Cost
Gross Unrealized Fair
ValueGains Losses
(Dollars in millions)
Securities available for sale:
GSE securities $ 102 $ 1 $ — $ 103
Mortgage-backed securities issued by GSE 18,663 42 361 18,344
States and political subdivisions 2,051 19 161 1,909
Non-agency mortgage-backed securities 635 — 120 515
Other securities 734 27 2 759
Covered securities 1,234 307 2 1,539
Total securities available for sale $ 23,419 $ 396 $ 646 $ 23,169
During the first quarter of 2011, BB&T reclassified approximately $8.3 billion of securities available for sale to securities
held to maturity. Management determined that it had both the positive intent and ability to hold these securities to
maturity. The reclassification of these securities was accounted for at fair value. On the date of transfer, the difference
between the par value and the fair value of these securities resulted in a premium or discount that is amortized as a yield
adjustment to interest income and is amortized over the remaining life of the securities as a yield adjustment to interest
income using the interest method. There were no gains or losses recognized as a result of this transfer.
As of December 31, 2011, the fair value of covered securities included $1.3 billion of non-agency mortgage-backed
securities and $326 million of municipal securities. As of December 31, 2010, the fair value of covered securities included
$1.2 billion of non-agency mortgage-backed securities and $304 million of municipal securities. All covered securities
were acquired from Colonial Bank (“Colonial”) and are covered by one of the FDIC loss sharing agreements. BB&T is
restricted from selling these securities without prior approval from the FDIC.
102