Derivatives (Tables)

9 Months Ended

Sep. 30, 2012

Derivatives [Abstract]

Derivatives Associated With Legacy Mortgage Servicing Activities

The following table summarizes FHN’s derivatives associated with legacy mortgage servicing activities for the three and nine months ended September 30, 2012 and 2011:
										Gains/(Losses)			Gains/(Losses)
		September 30, 2012								Three Months Ended			Nine Months Ended
(Dollars in thousands)		Notional		Assets			Liabilities			September 30, 2012			September 30, 2012
Retained Interests Hedging
Hedging Instruments:
	Forwards and Futures	$	20,000		$	542		$	-		$	207		$	9,839
	Interest Rate Swaps and Swaptions	$	1,837,600		$	6,693		$	4,282		$	4,580		$	5,498
Hedged Items:
	Mortgage Servicing Rights		N/A		$	117,522			N/A		$	(1,279)		$	(379)
	Other Retained Interests		N/A		$	19,201			N/A		$	978		$	425

										Gains/(Losses)			Gains/(Losses)
		September 30, 2011								Three Months Ended			Nine Months Ended
(Dollars in thousands)		Notional		Assets			Liabilities			September 30, 2011			September 30, 2011
Retained Interests Hedging
Hedging Instruments:
	Forwards and Futures	$	3,145,000		$	28,553		$	6,286		$	22,586		$	28,934
	Interest Rate Swaps and Swaptions	$	2,543,000		$	9,619		$	29,381		$	7,881		$	30,105
Hedged Items:
	Mortgage Servicing Rights		N/A		$	147,240			N/A		$	(22,452)		$	(25,776)
	Other Retained Interests		N/A		$	27,754			N/A		$	(983)		$	1,658

Derivatives Associated With Capital Markets Trading Activities

The following table summarizes FHN’s derivatives associated with capital markets trading activities as of September 30, 2012 and 2011:
	September 30, 2012
(Dollars in thousands)	Notional		Assets			Liabilities
Customer Interest Rate Contracts	$	1,439,306		$	137,958		$	923
Offsetting Upstream Interest Rate Contracts		1,439,306			923			137,958
Option Contracts Purchased		5,000			1			-
Forwards and Futures Purchased		4,361,583			1,173			10,662
Forwards and Futures Sold		4,706,866			13,147			1,762

	September 30, 2011
(Dollars in thousands)	Notional		Assets			Liabilities
Customer Interest Rate Contracts	$	1,438,750		$	120,529		$	1,521
Offsetting Upstream Interest Rate Contracts		1,438,750			1,521			120,529
Forwards and Futures Purchased		4,732,862			4,009			5,292
Forwards and Futures Sold		5,079,886			4,869			6,799

Derivatives Associated With Interest Rate Risk Management Activities

The following tables summarize FHN’s derivatives associated with interest rate risk management activities for the three and nine months ended September 30, 2012 and 2011:
										Gains/(Losses)				Gains/(Losses)
		September 30, 2012								Three Months Ended				Nine Months Ended
(Dollars in thousands)		Notional		Assets			Liabilities			September 30, 2012				September 30, 2012
Customer Interest Rate Contracts Hedging
Hedging Instruments and Hedged Items:
	Customer Interest Rate Contracts (a)	$	975,213		$	61,984	$	362			$	(3,971)			$	(7,554)
	Offsetting Upstream Interest Rate Contracts (a)	$	975,213		$	362	$	63,384			$	4,071			$	8,254
Debt Hedging
Hedging Instruments:
	Interest Rate Swaps (b)	$	1,604,000		$	111,240	$	-			$	(2,481)			$	(15,642)
Hedged Items:
	Term Borrowings (b)		N/A			N/A	$	1,604,000	(c)		$	2,481	(d)		$	15,642	(d)

										Gains/(Losses)				Gains/(Losses)
		September 30, 2011								Three Months Ended				Nine Months Ended
(Dollars in thousands)		Notional		Assets			Liabilities			September 30, 2011				September 30, 2011
Customer Interest Rate Contracts Hedging
Hedging Instruments and Hedged Items:
	Customer Interest Rate Contracts (a)	$	1,048,686		$	77,297	$	514			$	11,532			$	4,636
	Offsetting Upstream Interest Rate Contracts (a)	$	1,048,686		$	514	$	79,797			$	(11,923)			$	(4,929)
Debt Hedging
Hedging Instruments:
	Interest Rate Swaps (b)	$	1,604,000		$	137,786	$	-			$	36,748			$	40,110
Hedged Items:
	Term Borrowings (b)		N/A			N/A	$	1,604,000	(c)		$	(36,748)	(d)		$	(40,110)	(d)

• Gains/losses included in the Other expense section of the Consolidated Condensed Statements of Income.
• Gains/losses included in the All other income and commissions section of the Consolidated Condensed Statements of Income.
• Represents par value of term borrowings being hedged.
• Represents gains and losses attributable to changes in fair value due to interest rate risk as designated in ASC 815-20 hedging relationships.

Schedule Of Derivative Activities Associated With Trust Preferred Loans

The following tables summarize FHN’s derivative activities associated with held-to-maturity trust preferred loans for the three and nine months ended September 30, 2012 and 2011:

Gains/(Losses)

Gains/(Losses)

September 30, 2012

Three Months Ended

Nine Months Ended

(Dollars in thousands)

Notional

Assets

Liabilities

September 30, 2012

September 30, 2012

Loan Portfolio Hedging

Hedging Instruments:

Interest Rate Swaps

$

128,750

N/A

$

3,411

$

1,625

$

5,398

Hedged Items:

Trust Preferred Loans (a)

N/A

$

128,750

(b)

N/A

$

(1,601)

(c)

$

(5,356)

(c)

Gains/(Losses)

Gains/(Losses)

September 30, 2011

Three Months Ended

Nine Months Ended

(Dollars in thousands)

Notional

Assets

Liabilities

September 30, 2011

September 30, 2011

Loan Portfolio Hedging

Hedging Instruments:

Interest Rate Swaps

$

196,250

N/A

$

11,129

$

2,116

$

6,068

Hedged Items:

Trust Preferred Loans(a)

N/A

$

196,250

(b)

N/A

$

(2,100)

(c)

$

(6,043)

(c)

• Assets included in the Loans, net of unearned income section of the Consolidated Condensed Statements of Condition.
• Represents principal balance being hedged.
• Represents gains and losses attributable to changes in fair value due to interest rate risk as designated in ASC 815-20 hedging relationships.