STI 2018 Annual Report

Notes to Consolidated Financial Statements, continued 150 Recurring Fair Value Measurements The following tables present certain information regarding assets and liabilities measured at fair value on a recurring basis and the changes in fair value for those specific financial instruments for which fair value has been elected. December 31, 2018 Fair Value Measurements (Dollars in millions) Level 1 Level 2 Level 3 Netting Adjustments 1 Assets/Liabilities at Fair Value Assets Trading assets and derivative instruments: U.S. Treasury securities $262 $— $— $— $262 Federal agency securities — 188 — — 188 U.S. states and political subdivisions — 54 — — 54 MBS - agency — 860 — — 860 Corporate and other debt securities — 700 — — 700 CP — 190 — — 190 Equity securities 73 — — — 73 Derivative instruments 186 2,425 20 (1,992) 639 Trading loans — 2,540 — — 2,540 Total trading assets and derivative instruments 521 6,957 20 (1,992) 5,506 Securities AFS: U.S. Treasury securities 4,211 — — — 4,211 Federal agency securities — 221 — — 221 U.S. states and political subdivisions — 589 — — 589 MBS - agency residential — 22,864 — — 22,864 MBS - agency commercial — 2,627 — — 2,627 MBS - non-agency commercial — 916 — — 916 Corporate and other debt securities — 14 — — 14 Total securities AFS 2 4,211 27,231 — — 31,442 LHFS — 1,178 — — 1,178 LHFI — — 163 — 163 Residential MSRs — — 1,983 — 1,983 Other assets 2 95 — — — 95 Liabilities Trading liabilities and derivative instruments: U.S. Treasury securities 801 — — — 801 MBS - agency — 3 — — 3 Corporate and other debt securities — 385 — — 385 Equity securities 5 — — — 5 Derivative instruments 119 2,590 7 (2,306) 410 Total trading liabilities and derivative instruments 925 2,978 7 (2,306) 1,604 Brokered time deposits — 403 — — 403 Long-term debt — 289 — — 289 1 Amounts represent offsetting cash collateral received from, and paid to, the same derivative counterparties, and the impact of netting derivative assets and derivative liabilities when a legally enforceable master netting agreement or similar agreement exists. See Note 19, “Derivative Financial Instruments,” for additional information. 2 Beginning January 1, 2018, the Company reclassified equity securities previously presented in Securities AFS to Other assets on the Consolidated Balance Sheets. Prior periods have been revised to conform to the current presentation for comparability. See Note 11, “Other Assets,” for additional information.