Company: HBAN
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0000049196-25-000063
Chunk: 219

Company: HUNTINGTON BANCSHARES INC /MD/
Filing Date: 2025-07-29
Form: 10-Q
Item: Part I, Item 8
Chunk 219
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 to fair value adjustments in certain circumstances, for example, when there is evidence of impairment. The gains (losses) represent the amounts recorded during the period regardless of whether the asset is still held at period end.The amounts measured at fair value on a nonrecurring basis were as follows.Fair Value Measurements Using Significant Unobservable Inputs (Level 3)Total LossesThree Months EndedSix Months Ended(dollar amounts in millions)At June 30, 2025At December 31, 2024June 30, 2025June 30, 2024June 30, 2025June 30, 2024Collateral-dependent loans$37 $192 $(20)$(16)$(43)$(41)Huntington records nonrecurring adjustments of collateral-dependent loans held for investment. Such amounts are generally based on the fair value of the underlying collateral supporting the loan. Appraisals are generally obtained to support the fair value of the collateral and incorporate measures such as recent sales prices for comparable properties and cost of construction. Periodically, in cases where the carrying value exceeds the fair value of the collateral less cost to sell, an impairment charge is recognized in the form of a charge-off.

2025 2Q Form 10-Q     74

Table of Contents

Significant unobservable inputs for assets and liabilities measured at fair valueThe following table presents quantitative information about the significant unobservable inputs for assets and liabilities measured at fair value.Quantitative Information about Level 3 Fair Value Measurements (1)At June 30, 2025 At December 31, 2024(dollar amounts in millions)Valuation TechniqueSignificant Unobservable InputRange Weighted AverageRangeWeighted AverageMeasured at fair value on a recurring basis:MSRsDiscounted cash flowConstant prepayment rate7 %-55 %8 %6 %-43 %8 %Spread over forward interest rate swap rates5 %-10 %6 %5 %-10 %6 %Municipal securities and asset-backed securities Discounted cash flowDiscount rate4 %-5 %4 %4 %-5 %5 %Cumulative default— %-64 %4 %— %-39 %4 %Loss given default (2)20 %20 %(1)     Certain disclosures related to quantitative level 3 fair value measurements do not include those deemed to be immaterial