Company: HBAN
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0000049196-25-000079
Chunk: 100

Company: HUNTINGTON BANCSHARES INC /MD/
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 2
Chunk 100
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 increase of $1.0 billion compared to $23.6 billion at December 31, 2024. The increase from year end was primarily due to a $941 million increase in long-term debt resulting from the issuance of $1.5 billion of senior bank notes, and $830 million of CLN transactions completed during 2025, partially offset by maturities and repayments.

2025 3Q Form 10-Q     25

Cash and Cash Equivalents and Investment Securities

Cash and cash equivalents were $12.7 billion and $12.8 billion at September 30, 2025 and December 31, 2024, respectively.

Our investment securities portfolio is evaluated under established ALCO objectives. Changing market conditions could affect the profitability of the portfolio, as well as the level of interest rate risk exposure.

Total investment securities were $41.8 billion at September 30, 2025, compared to $43.7 billion at December 31, 2024. The $1.9 billion decrease in investment securities, compared to December 31, 2024, was largely driven by maturing investment securities in the third quarter of 2025 not being reinvested, partially offset by an improvement in unrealized losses on AFS securities. At September 30, 2025, the duration of the investment securities portfolio, net of hedging, was 4.2 years. Securities are pledged to secure borrowing capacity with the FHLB and the Federal Reserve, discussed further in the Bank Liquidity and Sources of Funding section below. 

Bank Liquidity and Sources of Funding

Our primary source of funding for the Bank is customer deposits. At September 30, 2025, customer deposits funded 75% of total assets (115% of total loans and leases). To the extent we are unable to obtain sufficient liquidity through customer deposits, cash and cash equivalents, and investment securities, we may meet our liquidity needs through sources of wholesale funding and asset securitization or sale. Additionally, the Bank may also access funding through intercompany notes or parent company deposits placed at the Bank.

The Bank maintains borrowing capacity at both the FHLB and the FRB secured by pledged loans and securities. While the Bank does not consider borrowing capacity at the FRB a primary source of funding, it could be used as a potential source of liquidity in a stressed environment or during a market disruption. The amount of available contingent borrowing capacity may fluctuate based on the level of borrowings