Regions Bank 2010 Annual Report Download - page 94

Table 16 “Selected Short-Term Borrowings Data” provides selected information for certain short-term
borrowings used for funding purposes for years 2010, 2009, and 2008. In past years, data for Federal funds
purchased and securities sold under agreements to repurchase for both company-funding purposes and customer-
related borrowings was presented in the aggregate. Prior year amounts in Table 16 have been revised to conform
to current year presentation.
Table 16—Selected Short-Term Borrowings Data
2010 2009 2008
(Dollars in millions)
Federal funds purchased:
Balance at year end .............................................. $ 19 $ 30 $ 35
Average outstanding (based on average daily balances) .................. 68 441 3,384
Maximum amount outstanding at any month-end ....................... 106 2,011 5,583
Weighted-average interest rate at year end ............................ 0.1% 0.1% 0.1%
Weighted-average interest rate on amounts outstanding during the year (based
on average daily balances) ....................................... 0.1% 0.2% 2.7%
Securities sold under agreements to repurchase:
Balance at year end .............................................. $ 763 $ 448 $ 428
Average outstanding (based on average daily balances) .................. 456 724 803
Maximum amount outstanding at any month-end ....................... 1,151 1,445 1,107
Weighted-average interest rate at year end ............................ 0.3% 0.4% 1.9%
Weighted-average interest rate on amounts outstanding during the year (based
on average daily balances) ....................................... 0.2% 0.9% 2.8%
Term Auction Facility:
Balance at year end .............................................. $ — $ — $10,000
Average outstanding (based on average daily balances) .................. — 3,003 5,925
Maximum amount outstanding at any month-end ....................... — 10,000 13,000
Weighted-average interest rate at year end ............................ — % — % 1.1%
Weighted-average interest rate on amounts outstanding during the year (based
on average daily balances) ....................................... — % 0.3% 2.0%
CUSTOMER-RELATED BORROWINGS
Repurchase agreements are also offered as commercial banking products as short-term investment
opportunities for customers. The balance totaled $1.9 billion at December 31, 2010 compared to $1.4 billion at
December 31, 2009. The level of these borrowings can fluctuate significantly on a day-to-day basis.
Regions, through Morgan Keegan, maintains two types of liabilities for its brokerage customers that are
classified as short-term borrowings since Morgan Keegan pays its customers interest related to these liabilities.
The brokerage customer position liability represents liquid funds in the customers’ brokerage accounts. The
short-sale liability represents trading obligations to deliver to customers securities at a predetermined date and
price. Balances due to brokerage customers totaled $324 million at December 31, 2010 as compared to $424
million at December 31, 2009. The short-sale liability was $174 million at December 31, 2010 compared to $266
million at December 31, 2009. The balance of these liabilities fluctuates frequently based on customer activity.
Customer collateral decreased $68 million to $10 million at December 31, 2010 from $78 million at
December 31, 2009. This balance includes cash collateral posted by customers related to derivative transactions
by swap customers of Morgan Keegan.
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