Company: FITBI
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0000035527-25-000171
Chunk: 291

Company: FIFTH THIRD BANCORP
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 1
Chunk 291
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 forward starting(a)1,000 1 — Interest rate swaps related to commercial mortgage and commercial construction loans -    forward starting(a)4,000 3 — Total cash flow hedges6 4 Total derivatives designated as qualifying hedging instruments7 16 Derivatives Not Designated as Qualifying Hedging Instruments:Free-standing derivatives – risk management and other business purposes:Interest rate contracts related to MSR portfolio3,135 4 4 Forward contracts related to residential mortgage loans measured at fair value(b)881 8 — Swap associated with the sale of Visa, Inc. Class B Shares2,465 — 170 Foreign exchange contracts104 2 — Interest-only strips30 — — Interest rate contracts for collateral management1,000 1 — Interest rate contracts for LIBOR transition597 — — Other43 — — Total free-standing derivatives – risk management and other business purposes15 174 Free-standing derivatives – customer accommodation:Interest rate contracts(c)87,928 708 924 Interest rate lock commitments264 2 — Commodity contracts16,889 575 564 TBA securities44 — — Foreign exchange contracts38,640 1,165 1,120 Total free-standing derivatives – customer accommodation2,450 2,608 Total derivatives not designated as qualifying hedging instruments2,465 2,782 Total$2,472 2,798 (a)Forward starting swaps became effective in January and February 2025.(b)Includes forward sale and forward purchase contracts which are utilized to manage market risk on residential mortgage loans held for sale and the related interest rate lock commitments in addition to certain portfolio residential mortgage loans measured at fair value.(c)Derivative assets and liabilities are presented net of variation margin of $257 and $45, respectively.Fair Value HedgesThe Bancorp may enter into interest rate swaps to convert its fixed-rate funding to floating-rate or to hedge the exposure to changes in fair value of a recognized asset attributable to changes in the benchmark interest rate. The following table reflects the changes in fair value of interest rate contracts, designated as fair value hedges and the changes in fair value of the related hedged items attributable to the risk being hedged, as well as the line items in the Condensed Consolidated Statements of Income in which the corresponding gains or losses are recorded:Condensed ConsolidatedStatements ofIncome CaptionFor the three