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Fair Value Accounting (Tables)
 12 Months Ended
Dec. 31, 2018
Fair Value Disclosures [Abstract]  
Financial Instruments Measured at Fair Value on Recurring Basis
The following table presents all financial instruments measured at fair value on a recurring basis as of December 31, 2018 and 2017.
 
December 31, 2018
(in thousands)
Level 1
 
Level 2
 
Level 3
 
Total Assets and Liabilities at Fair Value
Assets
 
 
 
 
 
 
 
Trading securities:
 
 
 
 
 
 
 
U.S. Government agency securities
$
—

 
$
44

 
$
—

 
$
44

State and municipal securities
—


1,064

 
—

 
1,064

Other investments
1,128

 
894

 
—

 
2,022

Total trading securities
$
1,128

 
$
2,002

 
$
—

 
$
3,130

Mortgage loans held for sale
—

 
37,129

 
—

 
37,129

Investment securities available for sale:
 
 
 
 
 
 
 
U.S. Treasury securities
$
122,077

 
$
—

 
$
—

 
$
122,077

U.S. Government agency securities
—

 
38,382

 
—

 
38,382

Mortgage-backed securities issued by U.S. Government agencies
—

 
97,205

 
—

 
97,205

Mortgage-backed securities issued by U.S. Government sponsored enterprises
—

 
2,398,650

 
—

 
2,398,650

Collateralized mortgage obligations issued by U.S. Government agencies or sponsored enterprises
—

 
1,188,518

 
—

 
1,188,518

Commercial mortgage-backed securities issued by U.S. Government sponsored enterprises
—

 
129,865

 
—

 
129,865

 Corporate debt and other debt securities    
—

 
15,150

 
1,785

 
16,935

Total investment securities available for sale
$
122,077

 
$
3,867,770

 
$
1,785

 
$
3,991,632

Private equity investments
—

 
—

 
11,028

 
11,028

Mutual funds
3,168

 
—

 
—

 
3,168

Mutual funds held in rabbi trusts
12,844

 
—

 
—

 
12,844

GGL/SBA loans servicing asset
—

 
—

 
3,729

 
3,729

Derivative assets:
 
 
 
 
 
 
 
Interest rate contracts
$
—

 
$
18,388

 
$
—

 
$
18,388

Mortgage derivatives(1)
—

 
944

 
—

 
944

Total derivative assets
$
—

 
$
19,332

 
$
—

 
$
19,332

Liabilities
 
 
 
 
 
 
 
Earnout liability(2)
—

 
—

 
14,353

 
14,353

Derivative liabilities:
 
 
 
 
 
 
—

Interest rate contracts
$
—

 
$
15,716

 
$
—

 
$
15,716

Mortgage derivatives(1)
—

 
819

 
—

 
819

Visa derivative
—

 
—

 
1,673

 
1,673

Total derivative liabilities
$
—

 
$
16,535

 
$
1,673

 
$
18,208

 
 
 
 
 
 
 
 
 
December 31, 2017
(in thousands)
Level 1
 
Level 2
 
Level 3
 
Total Assets and Liabilities at Fair Value
Assets
 
 
 
 
 
 
 
Trading securities:
 
 
 
 
 
 
 
U.S. Government agency securities
$
—

 
$
3,002

 
$
—

 
$
3,002

Collateralized mortgage obligations issued by U.S. Government sponsored agencies or enterprises
—

 
296

 
—

 
296

Other investments
522

 
—

 
—

 
522

Total trading securities
$
522

 
$
3,298

 
$
—

 
$
3,820

Mortgage loans held for sale
—

 
48,024

 
—

 
48,024

Investment securities available for sale:
 
 
 
 
 
 
 
U.S. Treasury securities
$
82,674

 
$
—

 
$
—

 
$
82,674

U.S. Government agency securities
—

 
10,862

 
—

 
10,862

Mortgage-backed securities issued by U.S.Government agencies
—

 
120,440

 
—

 
120,440

Mortgage-backed securities issued by U.S. Government sponsored enterprises
—

 
2,595,626

 
—

 
2,595,626

Collateralized mortgage obligations issued by U.S. Government sponsored agencies or enterprises
—

 
1,111,999

 
—

 
1,111,999

Commercial mortgage-backed securities issued by U.S. Government sponsored enterprises
—

 
44,897

 
—

 
44,897

State and municipal securities
—

 
180

 
—

 
180

 Corporate debt and other securities    
3,162

 
15,294

 
1,935

 
20,391

Total investment securities available for sale
$
85,836

 
$
3,899,298

 
$
1,935

 
$
3,987,069

Private equity investments
—

 
—

 
15,771

 
15,771

Mutual funds held in rabbi trusts
14,140

 
—

 
—

 
14,140

GGL/SBA loans servicing asset
—

 
—

 
4,101

 
4,101

Derivative assets:
 
 
 
 
 
 
 
Interest rate contracts
$
—

 
$
10,786

 
$
—

 
$
10,786

Mortgage derivatives (1)
—

 
936

 
—

 
936

Total derivative assets
$
—

 
$
11,722

 
$
—

 
$
11,722

Liabilities
 
 
 
 
 
 
 
Trading account liabilities
—

 
1,000

 
—

 
1,000

Earnout liability(2)
—

 
—

 
11,348

 
11,348

Derivative liabilities:
 
 
 
 
 
 
 
Interest rate contracts
$
—

 
$
12,638

 
$
—

 
$
12,638

Mortgage derivatives(1)
—

 
129

 
—

 
129

Visa derivative
—

 
—

 
4,330

 
4,330

Total derivative liabilities
$
—

 
$
12,767

 
$
4,330

 
$
17,097

 
 
 
 
 
 
 
 

(1 ) Mortgage derivatives consist of customer interest rate lock commitments that relate to the potential origination of mortgage loans, which would be classified as held for sale and forward loan sales commitments with third-party investors.
(2 )  
Earnout liability consists of contingent consideration obligation related to Global One acquisition.
Changes in Fair Value Included in Consolidated Statements of Income
The following table summarizes the difference between the fair value and the unpaid principal balance of mortgage loans held for sale and the changes in fair value of these loans. An immaterial portion of these changes in fair value was attributable to instrument-specific credit risk.
 
Years Ended December 31,
(in thousands)
2018
 
2017
 
2016
Changes in fair value included in net income:
 
 
 
 
 
Mortgage loans held for sale
$
95

 
$
754

 
$
(667
)
Mortgage loans held for sale:
 
 
 
 
 
Fair value
37,129

 
48,024

 
51,545

Unpaid principal balance
35,848

 
46,839

 
51,114

Fair value less aggregate unpaid principal balance
$
1,281

 
$
1,185

 
$
431

 
 
 
 
 
 
Changes in Level 3 Fair Value Measurements
During 2018 and 2017, Synovus did not have any transfers in or out of Level 3 in the fair value hierarchy. For the years ended December 31, 2018 and 2017, total net losses included in earnings attributable to the change in net unrealized losses relating to assets/liabilities still held at December 31, 2018 and 2017 was $18.1 million and $8.6 million, respectively.
 
2018
(in thousands)
Investment Securities Available for Sale
 
 Private Equity Investments
 
GGL/SBA
Loans Servicing Asset(1)
 
Earnout Liability(2)
 
Visa Derivative Liability
Beginning balance, January 1, 2018
$
1,935

 
$
15,771

 
$
4,101

 
$
(11,348
)
 
$
(4,330
)
Total (losses) gains realized/unrealized:
 
 
 
 
 
 
 
 
 
Included in earnings
—

 
(4,743
)
 
(1,752
)
 
(11,652
)
 
(2,328
)
Unrealized (losses) gains included in other comprehensive income
(150
)
 
—

 
—

 
—

 
—

Additions
—

 
—


1,380

 
—

 
—

Settlements
—

 
—

 
—

 
8,647

 
4,985

Ending balance, December 31, 2018
$
1,785

 
$
11,028

 
$
3,729

 
$
(14,353
)
 
$
(1,673
)
Total net losses for the year included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at December 31, 2018
$
—

 
$
(4,743
)
 
$
—

 
$
(11,652
)
 
$
(1,673
)
 
 
 
 
 
 
 
 
 
 

 
2017
(in thousands)
Investment Securities Available for Sale
 
 Private Equity Investments
 
GGL/SBA
Loans Servicing Asset(1)
 
Earnout Liability(2)
 
Visa Derivative Liability
Beginning balance, January 1, 2017
$
1,796

 
$
25,493

 
$
—

 
$
(14,000
)
 
$
(5,768
)
Total (losses) gains realized/unrealized:
 
 
 
 
 
 
 
 
 
Included in earnings
—

 
(3,093
)
 
(1,681
)
 
(5,466
)
 
—

Unrealized gains included in other comprehensive income
139

 
—

 
—

 
—

 
—

Additions
—

 
—

 
1,330

 
—

 
—

Sales
—

 
(6,629
)
 
—

 
—

 
—

Settlements
—

 
—

 
—

 
6,352

 
1,438

Transfer from amortization method to fair value
—

 
—

 
4,452

 
—

 
—

Measurement period adjustments related to Global One acquisition
—

 
—

 
—

 
1,766

 
—

Ending balance, December 31, 2017
$
1,935

 
$
15,771

 
$
4,101

 
$
(11,348
)
 
$
(4,330
)
Total net losses for the year included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at December 31, 2017
$
—

 
$
(3,093
)
 
$
—

 
$
(5,466
)
 
$
—

 
 
 
 
 
 
 
 
 
 

(1) 
Effective January 1, 2017, Synovus elected the fair value option for determining the value of the GGL/SBA loans servicing asset. Prior to 2017, Synovus accounted for the GGL/SBA loans servicing asset using the amortization method.
(2) 
Earnout liability consists of contingent consideration obligation related to the Global One acquisition.

Assets and Liabilities Measured at Fair Value on Non-Recurring Basis
The following tables present assets measured at fair value on a non-recurring basis as of the dates indicated for which there was a fair value adjustment during the period.


As of December 31, 2018
Fair Value Adjustments
for the Year Ended December 31, 2018
(in thousands)
Level 1
 
Level 2
 
Level 3
Impaired loans*        
$
—

 
$
—

 
$
21,742

$
7,575

Other loans held for sale
—

 
—

 
1,494

809

Other real estate
—

 
—

 
3,827

523

Other assets held for sale
—

 
—

 
1,104

482

 
 
 
 
 
 
 
 
As of December 31, 2017
Fair Value Adjustments
for the Year Ended December 31, 2017
 
Level 1
 
Level 2
 
Level 3
Impaired loans*        
$
—

 
$
—

 
$
3,603

$
991

Other loans held for sale
—

 
—

 
10,197

13,004

Other real estate
—

 
—

 
3,363

2,413

Other assets held for sale
—

 
—

 
5,334

2,491

 
 
 
 
 
 
 
*
Collateral-dependent impaired loans that are written down to fair value during the period.
Carrying and Estimated Fair Values of Financial Instruments Carried on Balance Sheet
 
December 31, 2018

(in thousands)
Carrying Value
 
Fair Value
 
Level 1
 
Level 2
 
Level 3
Financial assets
 
 
 
 
 
 
 
 
 
Total cash, cash equivalents, restricted cash, and restricted cash equivalents
$
1,143,564

 
$
1,143,564

 
$
1,143,564

 
$
—

 
$
—

Trading account assets
3,130

 
3,130

 
1,128

 
2,002

 
—

Mortgage loans held for sale
37,129

 
37,129

 
—

 
37,129

 
—

Other loans held for sale
1,506

 
1,506

 
—

 
—

 
1,506

Investment securities available for sale
3,991,632

 
3,991,632

 
122,077

 
3,867,770

 
1,785

Private equity investments
11,028

 
11,028

 
—

 
—

 
11,028

Mutual funds
3,168

 
3,168

 
3,168

 
—

 
—

Mutual funds held in rabbi trusts
12,844

 
12,844

 
12,844

 
—

 
—

Loans, net
25,696,018

 
25,438,890

 
—

 
—

 
25,438,890

GGL/SBA loans servicing asset
3,729

 
3,729

 
—

 
—

 
3,729

Derivative assets
19,332

 
19,332

 
—

 
19,332

 
—

Financial Liabilities
 
 
 
 
 
 
 
 
 
Non-interest-bearing deposits
$
7,650,967

 
$
7,650,967

 
$
—

 
$
7,650,967

 
$
—

Non-time interest-bearing deposits
14,065,959

 
14,065,959

 
—

 
14,065,959

 
—

Time deposits
5,003,396

 
4,989,570

 
—

 
4,989,570

 
—

Total deposits
$
26,720,322

 
$
26,706,496

 
$
—

 
$
26,706,496

 
$
—

Federal funds purchased and securities sold under repurchase agreements
237,692

 
237,692

 
237,692

 
—

 
—

Other short-term borrowings
650,000

 
650,000

 
—

 
650,000

 
—

Long-term debt
1,657,157

 
1,649,642

 
—

 
1,649,642

 
—

Earnout liability
14,353

 
14,353

 
—

 
—

 
14,353

Derivative liabilities
18,208

 
18,208

 
—

 
16,535

 
1,673

 
 
 
 
 
 
 
 
 
 
 
December 31, 2017

(in thousands)
Carrying Value
 
Fair Value
 
Level 1
 
Level 2
 
Level 3
Financial assets
 
 
 
 
 
 
 
 
 
Total cash, cash equivalents, restricted cash, and restricted cash equivalents
$
932,933

 
$
932,933

 
$
932,933

 
$
—

 
$
—

Trading account assets
3,820

 
3,820

 
522

 
3,298

 
—

Mortgage loans held for sale
48,024

 
48,024

 
—

 
48,024

 
—

Other loans held for sale
11,356

 
11,356

 
—

 
—

 
11,356

Investment securities available for sale
3,987,069

 
3,987,069

 
85,836

 
3,899,298

 
1,935

Private equity investments
15,771

 
15,771

 
—

 
—

 
15,771

Mutual funds held in rabbi trusts
14,140

 
14,140

 
14,140

 
—

 
—

Loans, net
24,538,196

 
24,507,141

 
—

 
—

 
24,507,141

GGL/SBA loans servicing asset
4,101

 
4,101

 
—

 
—

 
4,101

Derivative assets
11,722

 
11,722

 
—

 
11,722

 
—

Financial Liabilities
 
 
 
 
 
 
 
 
 
Trading account liabilities
1,000

 
1,000

 
—

 
1,000

 
—

Non-interest-bearing deposits
$
7,686,339

 
$
7,686,339

 
$
—

 
$
7,686,339

 
$
—

Non-time interest-bearing deposits
13,941,814

 
13,941,814

 
—

 
13,941,814

 
—

Time deposits
4,519,747

 
4,523,661

 
—

 
4,523,661

 
—

Total deposits
$
26,147,900

 
$
26,151,814

 
$
—

 
$
26,151,814

 
$
—

Federal funds purchased and securities sold under repurchase agreements
161,190

 
161,190

 
161,190

 
—

 
—

Other short-term borrowings
100,000

 
100,000

 
—

 
100,000

 
—

Long-term debt
1,606,138

 
1,621,814

 
—

 
1,621,814

 
—

Earnout liability
11,348

 
11,348

 
—

 
—

 
11,348

Derivative liabilities
17,097

 
17,097

 
—

 
12,767

 
4,330