Company: WTFCN
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001015328-25-000093
Chunk: 161

Company: WINTRUST FINANCIAL CORP
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 161
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 or Loss for the Years Ended,Details Regarding the Component of                       Accumulated Other Comprehensive Income or LossDecember 31,Impacted Line on the        Consolidated Statements of Income20242023(In thousands)Accumulated unrealized gains on available-for-sale securitiesGains included in net income$1,236 $951 Gains (losses) on investment securities, net1,236 951 Income before taxesTax effect(321)(252)Income tax expenseNet of tax$915 $699 Net incomeAccumulated unrealized gains (losses) on derivative instrumentsAmount reclassified to interest income on loans$87,306 $74,616 Interest on loansAmount reclassified to interest expense on deposits(14,632)(19,559)Interest on depositsAmount reclassified to interest expense on other borrowings— 789 Interest on other borrowings(72,674)(55,846)Income before taxesTax effect19,078 14,844 Income tax expenseNet of tax$(53,596)$(41,002)Net income

(24) Segment Information 

The Company’s operations consist of three primary segments: community banking, specialty finance and wealth management.The three reportable segments are strategic business units that are separately managed as they offer different products and services and have different marketing strategies. In addition, each segment’s customer base has varying characteristics and each segment has a different regulatory environment. While the Company’s management monitors each of the sixteen bank subsidiaries’ operations and profitability separately, these subsidiaries have been aggregated into one reportable operating segment due to the similarities in products and services, customer base, operations, profitability measures and economic characteristics.For purposes of internal segment profitability, management allocates certain intersegment and parent company balances. Management allocates a portion of revenues to the specialty finance segment related to loans and leases originated by the specialty finance segment and sold or assigned to the community banking segment. Similarly, for purposes of analyzing the contribution from the wealth management segment, management allocates a portion of the net interest income earned by the community banking segment on deposit balances of customers of the wealth management segment to the wealth management segment. See Note (10) “Deposits” for more information on these deposits. Finally, expenses incurred at the Wintrust parent company are allocated to each segment based on each segment’s risk-weighted assets.  The segment financial information provided in the following tables has been derived from the internal profitability reporting system used by management to monitor and manage the financial performance of the Company. The