Company: WBS-PG
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000801337-25-000026
Chunk: 177

Company: WEBSTER FINANCIAL CORP
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 2
Chunk 177
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402 December 31, 2024Asset DerivativesLiability Derivatives(In thousands)Notional AmountsFair ValueNotional AmountsFair ValueDesignated in hedge relationships:Interest rate derivatives (1)$750,000 $719 $4,250,000 $13,169 Not designated in hedge relationships:Interest rate derivatives (1)8,693,493 300,120 8,728,767 298,296 Mortgage banking derivatives 584 3 — — Other (2)337,370 1,300 833,449 96 Total not designated as hedging instruments9,031,447 301,423 9,562,216 298,392 Gross derivative instruments, before netting$9,781,447 302,142 $13,812,216 311,561 Less: Master netting agreements31,881 31,881 Cash collateral pledged251,212 80 Total derivative instruments, after netting$19,049 $279,600 (1)The notional amount of interest rate swaps that were centrally-cleared through clearing housings was $69.6 million at March 31, 2025, and $71.1 million at December 31, 2024, for asset derivatives, and $1.2 million at March 31, 2025 and zero at December 31, 2024, for liability derivatives. Interest rate swaps that are centrally-cleared through clearing houses are “settled-to-market” and considered a single unit of account. In accordance with their rule books, clearing houses record the variation margin transferred for settled-to-market derivatives as a legal settlement of the derivative contract (i.e., the variation margin legally settles the outstanding exposure, but does not result in any other change or reset of the contractual terms of the derivative). The fair values of the Company’s settled-to-market interest rate swaps are presented net on the accompanying Condensed Consolidated Balance Sheets and approximated zero. (2)Other derivatives not designated in hedge relationships include foreign currency forward contracts related to lending arrangements, a Visa equity swap transaction, and risk participation agreements. Notional amounts of risk participation agreements were $294.0 million at March 31, 2025, and $294.5 million at December 31, 2024, for asset derivatives, and $750.3 million at March 31,