SEC Filing Summary: Form 13F-HR
Business Context and Reporting Period
Reporting Manager: Regions Bank (acting as Institutional Investment Manager for Regions Financial Corp)
Filing Type: Form 13F Holdings Report
Reporting Period: Quarter ended March 31, 2010
Submission Date: May 12, 2010
Signatory: James E. Meigs, Executive Vice President
This filing discloses the equity securities held by Regions Bank at the end of the first quarter of 2010. The report includes holdings for the primary manager and one other included manager (Regions Bank, File No. 085-00829).
Key Financial Metrics
Total Portfolio Value: $6,795,023 (as reported in the summary table)
Total Number of Holdings: 2,004 entries
Top Holdings by Value (Selected):
- Exxon Mobil Corp: $144,793,000 (Defined) + $55,229,000 (Discretionary/Other)
- Johnson & Johnson: $90,570,000 (Defined) + $25,249,000 (Discretionary/Other)
- Procter & Gamble Co: $77,319,000 (Defined) + $23,860,000 (Discretionary/Other)
- Microsoft Corp: $72,791,000 (Defined) + $15,845,000 (Discretionary/Other)
- Regions Financial Corp: $50,907,000 (Defined) + $39,278,000 (Discretionary/Other)
- General Electric: $72,189,000 (Defined) + $19,548,000 (Discretionary/Other)
- Walmart Stores Inc: $62,004,000 (Defined) + $13,443,000 (Discretionary/Other)
- Verizon Communications: $60,760,000 (Defined) + $14,667,000 (Discretionary/Other)
- Walgreen Co: $40,205,000 (Defined) + $8,917,000 (Discretionary/Other)
- CVS/Caremark: $45,540,000 (Defined) + $7,939,000 (Discretionary/Other)
Note: The summary table value of $6.8 million appears to be a subtotal or specific category total, as individual line items (e.g., Exxon Mobil) exceed this figure significantly. The aggregate value of the portfolio is substantially higher based on the sum of individual holdings.
Material Changes and Portfolio Composition
Asset Class Distribution: The portfolio is heavily weighted toward large-cap U.S. equities, with significant exposure to Energy, Healthcare, Technology, Consumer Staples, and Financials.
Significant Concentrations:
- Energy: Major positions in Exxon Mobil, Chevron, ConocoPhillips, and Halliburton.
- Healthcare: Significant holdings in Johnson & Johnson, Pfizer, Merck, and UnitedHealth Group.
- Technology: Large positions in Microsoft, Intel, Cisco Systems, and Oracle.
- Financials: Notable holdings in J.P. Morgan Chase, Bank of America, Wells Fargo, and a substantial position in the filer's own parent company, Regions Financial Corp.
Voting Authority: The manager reports "Sole" voting authority for the majority of defined holdings, with "Shared" authority noted for specific positions (e.g., Regions Financial, Bank of America, J.P. Morgan).
Guidance, Outlook, and Risks
Guidance/Outlook: Form 13F filings are historical disclosures of holdings and do not contain forward-looking guidance, earnings projections, or management commentary on future strategy.
Risks and Contingencies:
- Market Risk: The portfolio is subject to general equity market volatility.
- Concentration Risk: Significant exposure to specific sectors (Energy, Healthcare) and individual large-cap issuers.
- Regulatory Risk: As a bank holding company subsidiary, the portfolio may be subject to banking regulations regarding asset allocation and risk management.
Unusual Items: The filing includes a mix of "Defined" and "Discretionary/Other" (DEF/OTH) authority. The "Defined" category typically represents holdings managed for specific client accounts or defined benefit plans, while "DEF/OTH" may represent other discretionary accounts. The presence of significant holdings in the filer's own parent company (Regions Financial) is standard for bank investment portfolios.
Key Facts for Investor Verification
- Portfolio Size Discrepancy: Verify the total portfolio value. The summary page lists $6,795,023, but the sum of individual holdings (e.g., Exxon Mobil alone is ~$200M) indicates the total portfolio value is significantly larger (likely in the billions).
- Self-Holding: Confirm the size of the position in Regions Financial Corp ($50.9M Defined + $39.3M Other), which represents a significant internal investment.
- Top 10 Concentration: Assess the percentage of the total portfolio held in the top 10 positions (Exxon, J&J, P&G, Microsoft, GE, Walmart, Verizon, Walgreen, CVS, Regions) to understand concentration risk.
- Authority Type: Distinguish between "Defined" (likely client-specific) and "Discretionary/Other" holdings to understand the nature of the assets under management.
- Reporting Lag: Note that this data reflects holdings as of March 31, 2010, and does not reflect any trades or market movements occurring after that date.