Company: WTFCN
Filing Date: 2025-05-05
Form Type: 10-Q
Source: 0001015328-25-000130
Chunk: 46

Company: WINTRUST FINANCIAL CORP
Filing Date: 2025-05-05
Form: 10-Q
Item: Item 1
Chunk 46
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87 21 Total derivatives designated as hedging instruments under ASC 815$44,304 $17,330 $26,428 $24,004 $56,171 $94,779 Derivatives not designated as hedging instruments under ASC 815:Interest rate derivatives$152,392 $177,553 $222,505 $152,584 $183,799 $223,384 Interest rate lock commitments5,493 1,950 6,212 — 18 21 Forward commitments to sell mortgage loans7 1,297 169 2,676 88 2,549 Commodity forward contracts300 766 685 187 583 416 Foreign exchange contracts1,761 1,131 3,265 1,747 1,091 3,215 Total derivatives not designated as hedging instruments under ASC 815$159,953 $182,697 $232,836 $157,194 $185,579 $229,585 Total Derivatives$204,257 $200,027 $259,264 $181,198 $241,750 $324,364 Cash Flow Hedges of Interest Rate RiskThe Company’s objectives in using interest rate derivatives are to add stability to net interest income and to manage its exposure to interest rate movements. To accomplish these objectives, the Company primarily uses interest rate swaps and interest rate collars as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts to or from a counterparty in exchange for the Company receiving or paying fixed-rate payments over the life of the agreements without the exchange of the underlying notional amount. Interest rate collars designated as cash flow hedges involve the settlement of amounts in which the interest rate specified in the contract exceeds the agreed upon cap strike rate or in which the interest rate specified in the contract is below the agreed upon floor strike rate at the end of each period.  

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As of March 31, 2025, the Company had various interest rate collar and swap derivatives designated as cash flow hedges of variable rate loans. When the relationship between the hedged item and hedging instrument is highly effective at achieving offsetting changes in cash flows attributable to the hedged risk, changes in the fair value of these cash flow hedges are recorded in accumulated other comprehensive income or