Parent Company Only Condensed Financial Information

12 Months Ended

Dec. 31, 2012

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Parent Company Only Condensed Financial Information

Parent Company Only Condensed Financial Information

As of August 1, 2012, SVB Financial transferred the controlling financial interests of its subsidiary SVBIF Management and its subsidiary, SVB India Finance, to SVB International Finance, Inc., a subsidiary of the Bank. The transfer was an internal reorganization that was representative of a sale of net assets at fair value with total consideration of $44 million. The condensed financial statements for SVB Financial for 2012 have been presented as if the transfer of net assets occurred as of January 1, 2012. The condensed financial statements for the years ending 2011 and 2010 have been retrospectively adjusted to furnish comparative information.

The condensed balance sheets of SVB Financial at December 31, 2012 and 2011, and the related condensed statements of income and cash flows for 2012, 2011 and 2010, are presented below.

Condensed Balance Sheets

	December 31,
(Dollars in thousands)	2012		2011
Assets:
Cash and cash equivalents	$	169,067	$	137,185
Investment securities	252,858		235,822
Net loans	8,869		10,903
Other assets	116,596		108,712
Investment in subsidiaries:
Bank subsidiary	1,592,987		1,392,033
Nonbank subsidiaries	115,427		111,398
Total assets	$	2,255,804	$	1,996,053
Liabilities and SVBFG stockholders’ equity:
5.375% Senior Notes	$	347,995	$	347,793
7.0% Junior Subordinated Debentures	55,196		55,372
Other long-term debt	—		1,439
Other liabilities	22,058		22,057
Total liabilities	425,249		426,661
SVBFG stockholders’ equity	1,830,555		1,569,392
Total liabilities and SVBFG stockholders’ equity	$	2,255,804	$	1,996,053

Condensed Statements of Income

	Year ended December 31,
(Dollars in thousands)	2012			2011			2010
Interest income	$	3,282		$	2,819		$	1,603
Interest expense	(23,037		)	(27,252		)	(22,816		)
Gains on derivative instruments, net	17,289			34,654			6,570
Gains on investment securities, net	15,329			16,432			6,923
General and administrative expenses	(66,812		)	(71,355		)	(66,489		)
Income tax benefit	12,200			7,468			24,918
Loss before net income of subsidiaries	(41,749		)	(37,234		)	(49,291		)
Equity in undistributed net income of nonbank subsidiaries	21,457			20,013			13,987
Equity in undistributed net income of bank subsidiary	195,395			189,123			130,255
Net income available to common stockholders	$	175,103		$	171,902		$	94,951

Condensed Statements of Cash Flows

	Year ended December 31,
(Dollars in thousands)	2012			2011			2010
Cash flows from operating activities:
Net income attributable to SVBFG	$	175,103		$	171,902		$	94,951
Adjustments to reconcile net income to net cash used for operating activities:
Gains on derivative instruments, net	(17,289		)	(34,654		)	(6,570		)
Gains on investment securities, net	(15,329		)	(16,432		)	(6,923		)
Net income of bank subsidiary	(195,395		)	(189,123		)	(130,255		)
Net income on nonbank subsidiaries	(21,457		)	(20,013		)	(13,987		)
Amortization of share-based compensation	21,861			18,221			13,761
Decrease in other assets	5,463			21,926			24,283
Increase in other liabilities	3,952			2,936			10,682
Other, net	2,273			2,510			1,465
Net cash used for operating activities	(40,818		)	(42,727		)	(12,593		)
Cash flows from investing activities:
Net decrease (increase) in investment securities from purchases, sales and maturities	11,833			(22,821		)	(26,773		)
Net decrease (increase) in loans	2,034			(4,211		)	2,041
Decrease (increase) in investment in bank subsidiaries	12,180			(12,592		)	(18,714		)
Decrease (increase) in investment in nonbank subsidiaries	13,012			(3,161		)	(42,249		)
Net cash provided by (used for) investing activities	39,059			(42,785		)	(85,695		)
Cash flows from financing activities:
Principal payments of other long-term debt	(1,222		)	(4,179		)	(1,961		)
Payments for settlement of 3.875% Convertible Notes	—			(250,000		)	—
Proceeds from issuance of 5.375% Senior Notes, net of discount and issuance cost	—			—			344,476
Tax benefit from stock exercises	5,581			6,342			4,151
Proceeds from issuance of common stock and ESPP	29,282			36,873			24,019
Repurchase of warrant under CPP	—			—			(6,820		)
Net cash provided by (used for) financing activities	33,641			(210,964		)	363,865
Net increase (decrease) in cash and cash equivalents	31,882			(296,476		)	265,577
Cash and cash equivalents at beginning of year	137,185			433,661			168,084
Cash and cash equivalents at end of year	$	169,067		$	137,185		$	433,661