Regions Bank 2010 Annual Report Download - page 112

The following table presents credit metrics for land, single-family and condominium loans at December 31:
Table 21—Land, Single-Family and Condominium
2010 2009
(In millions, net of
unearned income)
Land
Loan balance ................................................... $1,640 $2,979
Accruing loans 90 days past due .................................... 1 16
Non-accruing loans* ............................................. 476 724
Single-Family
Loan balance ................................................... $1,236 $2,083
Accruing loans 90 days past due .................................... 3 7
Non-accruing loans* ............................................. 290 545
Condominium
Loan balance ................................................... $ 308 $ 586
Accruing loans 90 days past due .................................... — —
Non-accruing loans* ............................................. 92 184
* Excludes non-accruing loans held for sale.
Beginning in 2008 and continuing through 2010, Regions has strategically reduced exposures in these
product types through pro-active workouts, asset dispositions and charge-offs. Condominium has been reduced to
levels that management no longer considers to be significant exposures. In 2010, Regions executed a bulk sale of
non-performing assets which totaled $350 million. Non-accrual portfolio loans secured predominantly by land
represented approximately $200 million of the sale, with the remaining amount primarily comprised of
foreclosed property and loans held for sale. Accordingly, this transaction contributed to the decrease in
non-accruing loans in the land table above. Other non-bulk note sale activity in 2010 also contributed to
decreases in all of these categories.
Beginning in 2009, multi-family and retail loans experienced increased pressure and contributed to increases in
non-accrual loans. Continued weak economic conditions impacted demand for products and services in these
sectors. Lower demand impacted cash flows generated by these properties, leading to a higher rate of non-collection
for these types of loans. Offsetting the risk of non-collection is the geographic diversity of Regions’ exposure.
The following table presents credit metrics and geographic distribution for Regions’ multi-family and retail
loans at December 31:
Table 22—Multi-family and Retail
2010 2009
(In millions, net of
unearned income)
Multi-family(1)
Loan balance ................................................... $4,241 $5,049
Accruing loans 90 days past due .................................... 1 1
Non-accruing loans* ............................................. 239 113
(1) The majority of the December 31, 2010 balance related to multi-family loans is geographically
distributed throughout the following areas: Texas 20 percent, Florida 13 percent, Georgia 10 percent,
Tennessee 7 percent, Louisiana 7 percent and North Carolina 6 percent. All other states, none of which
comprise more than 5 percent, make up the remainder of the balance.
* Excludes non-accruing loans held for sale.
98