Company: HBAN
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0000049196-25-000038
Chunk: 84

Company: HUNTINGTON BANCSHARES INC /MD/
Filing Date: 2025-04-29
Form: 10-Q
Item: Part I, Item 2
Chunk 84
---
 adversely affect our access to capital, increase our cost of funds, or trigger additional collateral or funding requirements. 

The following table presents our credit ratings and rating agency outlooks.

Table 19 - Credit Ratings and Outlook At March 31, 2025Moody’sStandard & Poor’sFitchDBRS MorningstarHuntington Bancshares IncorporatedSenior unsecured notesBaa1BBB+A-ASubordinated notesBaa1BBBBBB+A (low)Commercial paperNRNRF1R-1 (low)Ratings outlookStableStableStableStableThe Huntington National BankSenior unsecured notesA3A-A-A (high)Long-term depositsA1NR (1)AA (high)Short-term depositsP-1NR (1)F1R-1 (middle)Ratings outlookStableStableStableStable

NR - Not Rated

(1) Standard & Poor’s does not provide a depositor rating. The Bank’s issuer credit rating is A-. 

Contractual Obligations and Commitments

In the normal course of business, we enter into various contractual obligations and commitments that could impact our liquidity and capital resources. These arrangements include commitments to extend credit, interest rate swaps, floors, financial guarantees contained in standby letters-of-credit issued by the Bank, commitments by the Bank to sell mortgage loans, operating lease payments, and other purchase and marketing obligations. 

2025 1Q Form 10-Q     25

Operational Risk

Operational risk is the risk of loss due to human error, third-party performance failures, or inadequate or failed internal systems and controls, including the use of financial or other quantitative methodologies that may not adequately predict future results; violations of, or noncompliance with, laws, rules, regulations, prescribed practices, or ethical standards; and external influences such as market conditions, fraudulent activities, disasters, failed business contingency plans, and security risks. We continuously strive to test and strengthen our system of internal controls to ensure compliance with significant contracts, agreements, laws, rules, and regulations, and to reduce our exposure to fraud and improve the oversight of our operational risk. 

To govern operational risks, we have an Operational Risk Committee, a Legal, Regulatory, and Compliance Committee, a Funds Movement Committee, a Fraud Risk Committee, an Information and Technology Risk Committee, and a Third Party Risk Management Committee. The responsibilities of these committees, among other duties, include establishing and maintaining management information systems to monitor material risks and to identify potential concerns,