Company: CFG-PE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0000759944-25-000153
Chunk: 40

Company: CITIZENS FINANCIAL GROUP INC/RI
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 1
Chunk 40
---
 rate contracts$72,437 $303 $2 $69,077 $402 $5 Derivatives not designated as hedging instruments:Interest rate contracts183,555 189 487 171,193 160 905 Foreign exchange contracts42,050 563 399 34,749 472 411 Commodities contracts1,213 438 381 1,136 429 379 TBA contracts5,034 7 13 2,714 10 8 Other contracts1,221 23 4 615 3 2 Total derivatives not designated as hedging instruments233,073 1,220 1,284 210,407 1,074 1,705 Total gross derivatives305,510 1,523 1,286 279,484 1,476 1,710 Less: Gross amounts offset in the Consolidated Balance Sheets(1)(379)(379)(391)(391)Less: Cash collateral applied(1)(423)(169)(677)(99)Total net derivatives presented in the Consolidated Balance Sheets$721 $738 $408 $1,220 (1) Amounts represent the impact of enforceable master netting agreements that allow the Company to net settle positive and negative positions, as well as collateral paid and received.The Company’s derivative transactions are internally divided into three sub-groups: institutional, customer facilitation, and residential loan. Certain derivative transactions within these sub-groups are designated as fair value or cash flow hedges, as described below:Derivatives Designated As Hedging InstrumentsThe Company’s institutional derivatives qualify for hedge accounting treatment. The net interest accruals on interest rate swaps designated in a fair value or cash flow hedge relationship are treated as an adjustment to interest income or interest expense of the hedged item. All hedging relationships are formally documented at inception, as well as risk management objectives and strategies for undertaking various accounting hedges. In addition, the effectiveness of hedge relationships is monitored during the duration of the hedge period. The methods utilized to assess hedge effectiveness vary based on the hedge relationship, with each relationship monitored to ensure that management’s initial intent continues to be satisfied. Hedge accounting treatment is discontinued when the derivative is terminated or when it is determined that a derivative is not expected to be, or has ceased to be, an effective hedge. Changes in the fair value of a derivative are reflected in earnings after termination of the hedge relationship.

Citizens