Company: FCNCB
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000798941-25-000040
Chunk: 136

Company: FIRST CITIZENS BANCSHARES INC /DE/
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 1
Chunk 136
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31, 2024Asset Fair ValueLiability Fair ValueAsset Fair ValueLiability Fair ValueDerivatives designated as hedging instruments (Qualifying hedges)Gross fair value$20 $— $15 $— Cleared trades, variation margin netting(20)— (14)— Total derivatives designated as hedging instruments$— $— $1 $— Derivatives not designated as hedging instruments (Non-qualifying hedges)Gross fair value$688 $(670)$742 $(647)Cleared trades, variation margin netting(62)39 (83)22 Total derivatives not designated as hedging instruments$626 $(631)$659 $(625)Gross derivatives fair values presented in the Consolidated Balance Sheets$626 $(631)$660 $(625)Amounts subject to master netting agreements (1)(146)146 (48)48 Cash collateral pledged (received) subject to master netting agreements (2)(222)108 (539)2 Total net derivative fair value$258 $(377)$73 $(575)(1)    BancShares’ derivative transactions are governed by International Swaps and Derivatives Association (“ISDA”) agreements that allow for net settlements of certain payments as well as offsetting of all contracts with a given counterparty in the event of bankruptcy or default of one of the two parties to the transaction. BancShares believes its ISDA agreements meet the definition of a master netting arrangement or similar agreement for purposes of the above disclosure.(2)    In conjunction with the ISDA agreements described above, BancShares has entered into collateral arrangements with its counterparties, which provide for the exchange of cash depending on the change in the market valuation of the derivative contracts outstanding. Such collateral is available to be applied in settlement of the net balances upon an event of default of one of the counterparties. Collateral pledged or received is included in other assets or deposits, respectively.

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Fair Value HedgesThe following table presents the impact of fair value hedges recorded in interest expense on the Consolidated Statements of Income:Recognized Gains (Losses) on Fair Value Hedgesdollars in millionsThree Months Ended June 30,Six Months Ended June 30,Interest Expense2025202420252024Gain (loss) on hedging instruments - time depositsDeposits$— $(1)$— $(1)Loss on hedging instruments -