Derivative financial instruments (Tables)

12 Months Ended

Dec. 31, 2017

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Information about Interest Rate Swap Agreements

Information about interest rate swap agreements entered into for interest rate risk management purposes summarized by type of financial instrument the swap agreements were intended to hedge follows:

					Weighted- Average Rate
	Notional Amount		Average Maturity		Fixed			Variable			Estimated Fair Value Gain (a)
	(In thousands)		(In years)								(In thousands)
December 31, 2017
Fair value hedges:
Fixed rate long-term borrowings(b)	$	4,550,000		2.9		2.27	%		2.09	%	$	573
Cash flow hedges:
Variable rate commercial real estate loans(b)( c)		4,850,000		2.0		1.52	%		1.36	%		66
Total	$	9,400,000		2.5							$	639
December 31, 2016
Fair value hedges:
Fixed rate long-term borrowings(b)	$	900,000		1.1		3.75	%		2.08	%	$	11,892

(a)

Effective January 2017 certain clearinghouse exchanges revised their rules such that certain required payments by counterparties for variation margin on derivative instruments that had been treated as collateral are now treated as settlements of those positions. The impact of such rule changes at December 31, 2017 was a reduction of the estimated fair value losses on interest rate swap agreements designated as fair value hedges of $41.1 million and on interest rate swap agreements designated as cash flow hedges of $16.3 million.

(b)

Under the terms of these agreements, the Company receives settlement amounts at a fixed rate and pays at a variable rate.

(c)

Includes notional amount and terms of $2.0 billion of forward-starting interest rate swap agreements that will become effective upon maturity in 2019 of $2.0 billion of agreements currently in effect.

Notional Amount of Interest Rate Swap Agreements Outstanding Maturity

The notional amount of interest rate swap agreements entered into for risk management purposes that were outstanding at December 31, 2017 mature as follows:

	(In thousands)
Year ending December 31:
2018	$	500,000
2019		4,250,000
2020		3,500,000
2021		—
2022		650,000
2023 through 2027		500,000
	$	9,400,000

Information about Fair Values of Derivative Instruments in Consolidated Balance Sheet

Information about the fair values of derivative instruments in the Company’s consolidated balance sheet and consolidated statement of income follows:

	Asset Derivatives				Liability Derivatives
	Fair Value				Fair Value
	December 31				December 31
	2017		2016		2017		2016
	(In thousands)
Derivatives designated and qualifying as hedging instruments
Interest rate swap agreements (a)	$	639	$	11,892	$	—	$	—
Commitments to sell real estate loans (a)		734		33,189		283		1,347
		1,373		45,081		283		1,347
Derivatives not designated and qualifying as hedging instruments
Mortgage-related commitments to originate real estate loans for sale (a)		8,797		8,060		494		735
Commitments to sell real estate loans (a)		2,526		5,210		1,019		399
Trading:
Interest rate contracts (b)		74,164		228,810		132,104		167,737
Foreign exchange and other option and futures contracts (b)		5,657		7,908		5,286		6,639
		91,144		249,988		138,903		175,510
Total derivatives	$	92,517	$	295,069	$	139,186	$	176,857

(a)	Asset derivatives are reported in other assets and liability derivatives are reported in other liabilities.

(b)

Asset derivatives are reported in trading account assets and liability derivatives are reported in other liabilities. The impact of the variation margin rule change at December 31, 2017 was a reduction of the estimated fair value of interest rate contracts in the trading account in an asset position of $136.2 million and in a liability position of $12.2 million.

Information about Fair Values of Derivative Instruments in Consolidated Statement of Income

	Amount of Gain (Loss) Recognized
	Year Ended December 31, 2017					Year Ended December 31, 2016					Year Ended December 31, 2015
	Derivative			Hedged Item		Derivative			Hedged Item		Derivative			Hedged Item
	(In thousands)
Derivatives in fair value hedging relationships
Interest rate swap agreements:
Fixed rate long-term borrowings (a)	$	(52,392	)		51,628	$	(32,000	)		30,906	$	(29,359	)		28,719
Derivatives not designated as hedging instruments
Trading:
Interest rate contracts (b)	$	5,398				$	14,042				$	10,755
Foreign exchange and other option and futures contracts (b)		6,821					7,665					9,337
Total	$	12,219				$	21,707				$	20,092

(a)	Reported as other revenues from operations.

(b)	Reported as trading account and foreign exchange gains.