Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2013

Derivative Financial Instruments

Schedule of derivative financial instruments and related hedged items

							September 30, 2013						December 31, 2012
						Hedged Item or	Notional		Fair Value				Notional		Fair Value
						Transaction	Amount		Gain		Loss		Amount		Gain		Loss
							(Dollars in millions)
Cash flow hedges:
	Interest rate contracts:
		Pay fixed swaps				3 mo. LIBOR funding	$	4,950	$	―	$	(222)	$	6,035	$	―	$	(298)
Fair value hedges:
	Interest rate contracts:
		Receive fixed swaps and option trades				Long-term debt		6,322		156		―		800		182		―
		Pay fixed swaps				Commercial loans		182		―		(4)		187		―		(7)
		Pay fixed swaps				Municipal securities		345		―		(98)		345		―		(153)
				Total				6,849		156		(102)		1,332		182		(160)
Not designated as hedges:
	Client-related and other risk management:
		Interest rate contracts:
			Receive fixed swaps					8,902		431		(20)		9,352		687		―
			Pay fixed swaps					8,789		16		(460)		9,464		―		(717)
			Other swaps					1,487		9		(10)		2,664		21		(23)
			Option trades					453		2		(2)		423		3		(5)
			Futures contracts					92		―		―		109		―		―
			Risk participations					216		―		―		204		―		―
		Foreign exchange contracts						383		2		(4)		534		4		(3)
				Total				20,322		460		(496)		22,750		715		(748)
	Mortgage banking:
		Interest rate contracts:
			Receive fixed swaps					218		1		(5)		114		―		(2)
			Pay fixed swaps					65		―		―		―		―		―
			Interest rate lock commitments					3,087		47		(1)		6,064		55		(1)
			When issued securities, forward rate agreements and forward
				commitments				5,543		18		(122)		8,886		10		(19)
			Option trades					340		11		―		70		6		―
			Futures contracts					8		―		―		31		―		―
				Total				9,261		77		(128)		15,165		71		(22)
	MSRs:
		Interest rate contracts:
			Receive fixed swaps					5,450		45		(114)		5,178		110		(27)
			Pay fixed swaps					4,931		57		(56)		5,389		7		(94)
			Option trades					9,275		194		(38)		14,510		363		(88)
			Futures contracts					―		―		―		30		―		―
			When issued securities, forward rate agreements and forward
				commitments				1,733		7		―		2,406		2		―
				Total				21,389		303		(208)		27,513		482		(209)
					Total nonhedging derivatives			50,972		840		(832)		65,428		1,268		(979)
Total derivatives							$	62,771		996		(1,156)	$	72,795		1,450		(1,437)
Gross amounts not offset in the Consolidated Balance Sheets:
	Amounts subject to master netting arrangements not offset due to policy election									(580)		580				(797)		797
	Cash collateral (received) posted									(36)		491				(41)		607
		Net amount							$	380	$	(85)			$	612	$	(33)

The effect of derivative instruments on the consolidated statements of income

The Effect of Derivative Instruments on the Consolidated Statements of Income
Three Months Ended September 30, 2013 and 2012
					Effective Portion
					Pre-tax Gain					Pre-tax Gain (Loss)
					(Loss) Recognized					Reclassified from
					in AOCI				Location of Amounts	AOCI into Income
					2013		2012		Reclassified from AOCI into Income	2013		2012
						(Dollars in millions)
Cash flow hedges:
	Interest rate contracts				$	(13)	$	(31)	Total interest income	$	―	$	2
									Total interest expense		(18)		(19)
										$	(18)	$	(17)
										Pre-tax Gain
										(Loss) Recognized
									Location of Amounts	in Income
									Recognized in Income	2013		2012
										(Dollars in millions)
Fair value hedges:
	Interest rate contracts								Total interest income	$	(6)	$	(6)
	Interest rate contracts								Total interest expense		34		77
				Total						$	28	$	71
Not designated as hedges:
	Client-related and other risk management:
		Interest rate contracts							Other noninterest income	$	5	$	10
		Foreign exchange contracts							Other noninterest income		(2)		2
	Mortgage banking:
		Interest rate contracts							Mortgage banking income		(199)		(28)
	MSRs:
		Interest rate contracts							Mortgage banking income		(16)		49
			Total							$	(212)	$	33

The Effect of Derivative Instruments on the Consolidated Statements of Income
Nine Months Ended September 30, 2013 and 2012
					Effective Portion
					Pre-tax Gain					Pre-tax Gain (Loss)
					(Loss) Recognized				Location of Amounts	Reclassified from
					in AOCI				Reclassified from AOCI	AOCI into Income
					2013		2012		into Income	2013		2012
						(Dollars in millions)
Cash Flow Hedges:
	Interest rate contracts				$	207	$	(83)	Total interest income	$	―	$	10
									Total interest expense		(58)		(53)
										$	(58)	$	(43)
									Effective Portion
										Pre-tax Gain
									Location of Amounts	(Loss) Recognized
									Recognized	in Income
									in Income	2013		2012
						(Dollars in millions)
Fair Value Hedges:
	Interest rate contracts								Total interest income	$	(16)	$	(16)
	Interest rate contracts								Total interest expense		93		258
				Total						$	77	$	242
Not Designated as Hedges:
	Client-related and other risk management:
		Interest rate contracts							Other noninterest income	$	19	$	27
		Foreign exchange contracts							Other noninterest income		6		6
	Mortgage Banking:
		Interest rate contracts							Mortgage banking income		(101)		11
	MSRs:
		Interest rate contracts							Mortgage banking income		(149)		148
			Total							$	(225)	$	192

Deferred Gains and Losses From Hedges

			September 30,			December 31,
			2013			2012
			(Dollars in millions)
Cash flow hedges:
	Net amount of unrecognized after-tax losses, including both active and terminated
		hedges, on derivatives classified as cash flow hedges recorded in OCI	$	8		$	173
	Estimated after-tax gain (loss) to be reclassified from OCI into earnings during the
		next 12 months, including active hedges and hedges that were terminated early for which the forecasted transactions are still probable		(49)			(37)
	Maximum length of time over which the entity has hedged a portion of its
		variability in future cash flows for forecasted transactions excluding those transactions relating to the payment of variable interest on existing financial instruments.		8	yrs		―	yrs
			Nine Months Ended September 30,
			2013			2012
			(Dollars in millions)
Cash flow hedges:
	Pre-tax deferred gain from terminated cash flow hedges recorded in OCI		$	198		$	―
Fair value hedges:
	Pre-tax deferred gain from terminated fair value hedges related to long-term debt			―			90
	Pre-tax reduction of interest expense recognized from previously
		unwound fair value debt hedges		67			233

Schedule Of Derivative Instruments Summary Of Collateral Positions With Counterparties

		September 30,		December 31,
		2013		2012
		(Dollars in millions)
Cash collateral received from dealer counterparties		$	36	$	44
Derivatives in a net gain position secured by that collateral			42		42
Unsecured positions in a net gain with dealer counterparties after collateral postings			6		―
Cash collateral posted to dealer counterparties			411		603
Derivatives in a net loss position secured by that collateral			412		610
Additional collateral that would have been posted had BB&T's credit ratings
	dropped below investment grade		2		10
Cash collateral, including initial margin, posted to central clearing parties			81		111
Derivatives in a net loss position secured by that collateral			134		7
Securities pledged to central clearing parties			198		―