Company: ONBPP
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0000707179-25-000005
Chunk: 222

Company: OLD NATIONAL BANCORP /IN/
Filing Date: 2025-02-19
Form: 10-K
Item: Item 8
Chunk 222
---
:Noninterest-bearing demand deposits$9,664,247 $9,664,247 $— $— Checking, NOW, savings, and money market   interest-bearing deposits21,991,789 21,991,789 — — Time deposits5,579,144 — 5,552,538 — Federal funds purchased and interbank borrowings390 390 —— Securities sold under agreements to repurchase285,206 285,206 —— FHLB advances4,280,681 — 4,090,954 — Other borrowings764,870 — 755,592 — Accrued interest payable57,094 — 57,094 — Standby letters of credit1,318 — — 1,318 Off-Balance Sheet Financial InstrumentsCommitments to extend credit$— $— $— $3,839 The methods utilized to measure the fair value of financial instruments at December 31, 2024 and 2023 represent an approximation of exit price, however, an actual exit price may differ.

NOTE 19 – DERIVATIVE FINANCIAL INSTRUMENTS

As part of our overall interest rate risk management, Old National uses derivative instruments, including interest rate swaps, collars, and floors. The notional amount does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual agreements. Derivative instruments are recognized on the balance sheet at their fair value and are not reported on a net basis.Credit risk arises from the possible inability of counterparties to meet the terms of their contracts. Old National’s exposure is limited to the termination value of the contracts rather than the notional, principal, or contract amounts. There are provisions in our agreements with the counterparties that allow for certain unsecured credit exposure up to an agreed threshold. Exposures in excess of the agreed thresholds are collateralized. In addition, we minimize credit risk through credit approvals, limits, and monitoring procedures.Derivatives Designated as HedgesSubsequent changes in fair value for a hedging instrument that has been designated and qualifies as part of a hedging relationship are accounted for in the following manner:Cash flow hedges: changes in fair value are recognized as a component in other comprehensive income (loss).Fair value hedges: changes in fair value are recognized concurrently