STI 2018 Annual Report

50 Consumer and commercial deposit growth remains one of our key areas of focus. During 2018, we continued to execute on our targeted strategy of retaining our existing depositors and capturing new market share, while managing the rates we paid for deposits. We maintained pricing discipline through a judicious use of competitive rates in select products andmarkets. Looking forward to 2019, we expect deposit costs to continue to trend upwards, with the trajectory influenced by the interest rate environment and our loan growth. We remain focused on investing in products and capabilities that enhance the client experience, outside of rate paid. The aggregate amount outstanding of time deposits in denominations of $100,000 or more at December 31, 2018, by remaining contractual maturity, is presented in Table 15. Contractual Maturities of Time Deposits of $100,000 or More Table 15 (Dollars in millions) Consumer and Other Time Brokered Time Total Remaining Contractual Maturity: 3 months or less $1,095 $53 $1,148 Over 3 through 6 months 1,111 45 1,156 Over 6 through 12 months 2,278 70 2,348 Over 12 months 4,288 877 5,165 Total $8,772 $1,045 $9,817 Refer to the “Contractual Obligations” section of this MD&A and Note 13, “Borrowings and Contractual Commitments,” to the Consolidated Financial Statements in this Form 10-K for additional information regarding time deposit maturities. BORROWINGS Short-Term Borrowings Table 16 At December 31 (Dollars in millions) 2018 2017 Funds purchased $2,141 $2,561 Securities sold under agreements to repurchase 1,774 1,503 Other short-term borrowings: FHLB advances 4,000 — Dealer collateral 503 367 Master notes 354 350 Total other short-term borrowings 4,857 717 Total short-term borrowings $8,772 $4,781 Short-term borrowings include funds purchased, securities sold under agreements to repurchase, and other short-term borrowings. Our short-term borrowings at December 31, 2018 increased $4.0 billion, or 83%, from December 31, 2017, driven by increases of $4.0 billion and $271 million in outstanding FHLB advances and securities sold under agreements to repurchase, respectively, offset partially by a $420 million decrease in funds purchased. Long-Term Debt Table 17 At December 31 (Dollars in millions) 2018 2017 Parent Company: Senior, fixed rate $3,467 $3,353 Senior, floating rate 51 51 Subordinated, fixed rate 200 200 Junior subordinated, floating rate 627 628 Structured notes 1 200 242 Total 4,545 4,474 Less: Debt issuance costs 9 8 Total Parent Company debt 4,536 4,466 Subsidiaries 2 : Senior, fixed rate 3 6,238 3,609 Senior, floating rate 1,085 512 Senior, fixed-to-floating rate 2,364 — Subordinated, fixed rate 864 1,206 Total 10,551 5,327 Less: Debt issuance costs 15 8 Total subsidiaries debt 10,536 5,319 Total long-term debt 4 $15,072 $9,785 1 Consists of notes with various terms that include fixed or floating interest, or returns that are linked to an equity index. 2 82% and 77% of total subsidiary debt was issued by the Bank at December 31, 2018 and 2017, respectively. 3 Includes leases and other obligations that do not have a stated interest rate. 4 Includes $289million and $530million of long-termdebt measured at fair value at December 31, 2018 and 2017, respectively.