Loans Receivable | 9 Months Ended |
Sep. 30, 2014 |
Loans Receivable [Abstract] | ' |
LOANS RECEIVABLE | ' |
NOTE 4 - LOANS |
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The Company's loan portfolio is composed of covered loans and non-covered loans. Covered loans are subject to loss sharing agreements with the FDIC and non-covered loans are not subject to FDIC loss sharing agreements. The risks of covered loans are different from the risks of non-covered loans because of the loss protection provided by the FDIC to covered loans. Loans acquired in the BBVAPR Acquisition are included as non-covered loans in the unaudited consolidated statements of financial condition. Non-covered loans are further subdivided between originated and other loans, acquired loans accounted for under ASC 310-20 (loans with revolving feature and/or acquired at a premium), and acquired loans accounted for under ASC 310-30 (loans acquired with deteriorated credit quality, including those by analogy). |
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The composition of the Company's loan portfolio at September 30, 2014 and December 31, 2013 was as follows: |
| September 30, | | December 31, | | | | | | | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | | | | | | |
Non-covered loans: | | | | | | | | | | | | | | | | | | | | | | | |
Originated and other loans and leases held for investment: | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage | $ | 791,106 | | $ | 766,265 | | | | | | | | | | | | | | | | | | |
Commercial | | 1,217,235 | | | 1,127,657 | | | | | | | | | | | | | | | | | | |
Consumer | | 175,882 | | | 127,744 | | | | | | | | | | | | | | | | | | |
Auto and leasing | | 542,892 | | | 379,874 | | | | | | | | | | | | | | | | | | |
| | 2,727,115 | | | 2,401,540 | | | | | | | | | | | | | | | | | | |
Acquired loans: | | | | | | | | | | | | | | | | | | | | | | | |
Accounted for under ASC 310-20 (Loans with revolving feature and/or | | | | | | | | | | | | | | | | | | | | | | | |
acquired at a premium) | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 26,984 | | | 77,681 | | | | | | | | | | | | | | | | | | |
Consumer | | 47,284 | | | 56,174 | | | | | | | | | | | | | | | | | | |
Auto | | 210,808 | | | 301,584 | | | | | | | | | | | | | | | | | | |
| | 285,076 | | | 435,439 | | | | | | | | | | | | | | | | | | |
Accounted for under ASC 310-30 (Loans acquired with deteriorated | | | | | | | | | | | | | | | | | | | | | | | |
credit quality, including those by analogy) | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage | | 670,188 | | | 717,904 | | | | | | | | | | | | | | | | | | |
Commercial | | 485,444 | | | 545,117 | | | | | | | | | | | | | | | | | | |
Construction | | 108,694 | | | 126,427 | | | | | | | | | | | | | | | | | | |
Consumer | | 36,470 | | | 63,620 | | | | | | | | | | | | | | | | | | |
Auto | | 276,749 | | | 379,145 | | | | | | | | | | | | | | | | | | |
| | 1,577,545 | | | 1,832,213 | | | | | | | | | | | | | | | | | | |
| | 4,589,736 | | | 4,669,192 | | | | | | | | | | | | | | | | | | |
Deferred loan cost , net | | 3,575 | | | 1,035 | | | | | | | | | | | | | | | | | | |
Loans receivable | | 4,593,311 | | | 4,670,227 | | | | | | | | | | | | | | | | | | |
Allowance for loan and lease losses on non-covered loans | | -64,859 | | | -54,298 | | | | | | | | | | | | | | | | | | |
Loans receivable, net | | 4,528,452 | | | 4,615,929 | | | | | | | | | | | | | | | | | | |
Mortgage loans held-for-sale | | 16,757 | | | 46,529 | | | | | | | | | | | | | | | | | | |
Total non-covered loans, net | | 4,545,209 | | | 4,662,458 | | | | | | | | | | | | | | | | | | |
Covered loans: | | | | | | | | | | | | | | | | | | | | | | | |
Loans secured by 1-4 family residential properties | | 121,658 | | | 121,748 | | | | | | | | | | | | | | | | | | |
Construction and development secured by 1-4 family residential properties | | 18,947 | | | 17,304 | | | | | | | | | | | | | | | | | | |
Commercial and other construction | | 228,410 | | | 264,249 | | | | | | | | | | | | | | | | | | |
Consumer | | 4,905 | | | 6,119 | | | | | | | | | | | | | | | | | | |
Leasing | | - | | | 270 | | | | | | | | | | | | | | | | | | |
Total covered loans | | 373,920 | | | 409,690 | | | | | | | | | | | | | | | | | | |
Allowance for loan and lease losses on covered loans | | -62,227 | | | -52,729 | | | | | | | | | | | | | | | | | | |
Total covered loans, net | | 311,693 | | | 356,961 | | | | | | | | | | | | | | | | | | |
Total loans, net | $ | 4,856,902 | | $ | 5,019,419 | | | | | | | | | | | | | | | | | | |
During the nine-month period ended September 30, 2014, the Company reclassified $25.8 million in mortgage loans held-for-sale to held-for-investment |
Non-covered Loans |
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Originated and Other Loans and Leases Held for Investment |
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The Company's originated and other loans held for investment are encompassed within four portfolio segments: mortgage, commercial, consumer, and auto and leasing. |
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The following tables present the aging of the recorded investment in gross originated and other loans held for investment as of September 30, 2014 and December 31, 2013 by class of loans. Mortgage loans past due included delinquent loans in the GNMA buy-back option program. Servicers of loans underlying GNMA mortgage-backed securities must report as their own assets the defaulted loans that they have the option (but not the obligation) to repurchase, even when they elect not to exercise that option. |
| 30-Sep-14 | | | |
| | | | | | | | | | | | | | | | | | | Loans 90+ | | | |
| | | | | | | | | | | | | | | | | | | Days Past | | | |
| | | | | | | | | | | | | | | | | | | Due and | | | |
| 30-59 Days | | 60-89 Days | | 90+ Days | | Total Past | | | | | | Still | | | |
| Past Due | | Past Due | | Past Due | | Due | | Current | | Total Loans | | Accruing | | | |
| (In thousands) | | | | | | |
Mortgage | | | | | | | | | | | | | | | | | | | | | | | |
Traditional (by origination year): | | | | | | | | | | | | | | | | | | | | | | | |
Up to the year 2002 | $ | 5,996 | | $ | 3,283 | | $ | 3,424 | | $ | 12,703 | | $ | 55,635 | | $ | 68,338 | | $ | 141 | | | |
Years 2003 and 2004 | | 6,679 | | | 1,730 | | | 3,471 | | | 11,880 | | | 50,464 | | | 62,344 | | | - | | | |
Year 2005 | | 7,368 | | | 3,295 | | | 8,258 | | | 18,921 | | | 69,510 | | | 88,431 | | | 89 | | | |
Year 2006 | | 10,274 | | | 5,678 | | | 6,041 | | | 21,993 | | | 91,218 | | | 113,211 | | | 114 | | | |
Years 2007, 2008 and 2009 | | 3,285 | | | 3,095 | | | 7,647 | | | 14,027 | | | 83,036 | | | 97,063 | | | 59 | | | |
Years 2010, 2011, 2012, 2013 and 2014 | | 4,938 | | | 1,368 | | | 5,706 | | | 12,012 | | | 181,550 | | | 193,562 | | | 509 | | | |
| | 38,540 | | | 18,449 | | | 34,547 | | | 91,536 | | | 531,413 | | | 622,949 | | | 912 | | | |
Non-traditional | | 1,084 | | | 783 | | | 3,022 | | | 4,889 | | | 32,886 | | | 37,775 | | | - | | | |
Loss mitigation program | | 10,022 | | | 7,358 | | | 14,625 | | | 32,005 | | | 57,578 | | | 89,583 | | | 5,773 | | | |
| | 49,646 | | | 26,590 | | | 52,194 | | | 128,430 | | | 621,877 | | | 750,307 | | | 6,685 | | | |
Home equity secured personal loans | | - | | | - | | | 126 | | | 126 | | | 607 | | | 733 | | | - | | | |
GNMA's buy-back option program | | - | | | - | | | 40,066 | | | 40,066 | | | - | | | 40,066 | | | - | | | |
| | 49,646 | | | 26,590 | | | 92,386 | | | 168,622 | | | 622,484 | | | 791,106 | | | 6,685 | | | |
Commercial | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | - | | | - | | | - | | | - | | | 113,976 | | | 113,976 | | | - | | | |
Institutional | | - | | | - | | | - | | | - | | | 37,177 | | | 37,177 | | | - | | | |
Middle market | | - | | | 1,071 | | | 638 | | | 1,709 | | | 142,830 | | | 144,539 | | | - | | | |
Retail | | 1,164 | | | 129 | | | 7,258 | | | 8,551 | | | 153,091 | | | 161,642 | | | - | | | |
Floor plan | | - | | | - | | | - | | | - | | | 1,666 | | | 1,666 | | | - | | | |
Real estate | | - | | | - | | | - | | | - | | | 11,878 | | | 11,878 | | | - | | | |
| | 1,164 | | | 1,200 | | | 7,896 | | | 10,260 | | | 460,618 | | | 470,878 | | | - | | | |
Other commercial and industrial: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | - | | | - | | | - | | | - | | | 60,402 | | | 60,402 | | | - | | | |
Institutional | | - | | | - | | | - | | | - | | | 482,277 | | | 482,277 | | | - | | | |
Middle market | | - | | | - | | | 628 | | | 628 | | | 82,577 | | | 83,205 | | | - | | | |
Retail | | 267 | | | 144 | | | 809 | | | 1,220 | | | 79,592 | | | 80,812 | | | - | | | |
Floor plan | | - | | | - | | | - | | | - | | | 39,661 | | | 39,661 | | | - | | | |
| | 267 | | | 144 | | | 1,437 | | | 1,848 | | | 744,509 | | | 746,357 | | | - | | | |
| | 1,431 | | | 1,344 | | | 9,333 | | | 12,108 | | | 1,205,127 | | | 1,217,235 | | | - | | | |
| 30-Sep-14 | | | |
| | | | | | | | | | | | | | | | | | | Loans 90+ | | | |
| | | | | | | | | | | | | | | | | | | Days Past | | | |
| | | | | | | | | | | | | | | | | | | Due and | | | |
| 30-59 Days | | 60-89 Days | | 90+ Days | | Total Past | | | | | | Still | | | |
| Past Due | | Past Due | | Past Due | | Due | | Current | | Total Loans | | Accruing | | | |
| (In thousands) | | | | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 238 | | | 189 | | | 408 | | | 835 | | | 17,022 | | | 17,857 | | | - | | | |
Overdrafts | | 20 | | | 2 | | | 1 | | | 23 | | | 317 | | | 340 | | | - | | | |
Personal lines of credit | | 67 | | | 132 | | | 29 | | | 228 | | | 1,823 | | | 2,051 | | | - | | | |
Personal loans | | 1,666 | | | 627 | | | 604 | | | 2,897 | | | 135,711 | | | 138,608 | | | - | | | |
Cash collateral personal loans | | 214 | | | 132 | | | 36 | | | 382 | | | 16,644 | | | 17,026 | | | - | | | |
| | 2,205 | | | 1,082 | | | 1,078 | | | 4,365 | | | 171,517 | | | 175,882 | | | - | | | |
Auto and leasing | | 43,537 | | | 15,956 | | | 8,279 | | | 67,772 | | | 475,120 | | | 542,892 | | | - | | | |
Total | $ | 96,819 | | $ | 44,972 | | $ | 111,076 | | $ | 252,867 | | $ | 2,474,248 | | $ | 2,727,115 | | $ | 6,685 | | | |
| 31-Dec-13 | | | |
| | | | | | | | | | | | | | | | | | | Loans 90+ | | | |
| | | | | | | | | | | | | | | | | | | Days Past | | | |
| | | | | | | | | | | | | | | | | | | Due and | | | |
| 30-59 Days | | 60-89 Days | | 90+ Days | | Total Past | | | | | | Still | | | |
| Past Due | | Past Due | | Past Due | | Due | | Current | | Total Loans | | Accruing | | | |
| (In thousands) | | | | | | |
Mortgage | | | | | | | | | | | | | | | | | | | | | | | |
Traditional (by origination year): | | | | | | | | | | | | | | | | | | | | | | | |
Up to the year 2002 | $ | 6,697 | | $ | 1,635 | | $ | 3,408 | | $ | 11,740 | | $ | 64,772 | | $ | 76,512 | | $ | 79 | | | |
Years 2003 and 2004 | | 4,722 | | | 2,163 | | | 1,845 | | | 8,730 | | | 56,387 | | | 65,117 | | | - | | | |
Year 2005 | | 8,527 | | | 2,119 | | | 4,808 | | | 15,454 | | | 74,087 | | | 89,541 | | | - | | | |
Year 2006 | | 12,055 | | | 4,312 | | | 4,418 | | | 20,785 | | | 99,537 | | | 120,322 | | | - | | | |
Years 2007, 2008 and 2009 | | 3,464 | | | 1,104 | | | 4,663 | | | 9,231 | | | 91,919 | | | 101,150 | | | 152 | | | |
Years 2010, 2011, 2012 and 2013 | | 3,923 | | | 1,609 | | | 4,453 | | | 9,985 | | | 139,561 | | | 149,546 | | | 459 | | | |
| | 39,388 | | | 12,942 | | | 23,595 | | | 75,925 | | | 526,263 | | | 602,188 | | | 690 | | | |
Non-traditional | | 3,217 | | | 1,162 | | | 2,311 | | | 6,690 | | | 35,412 | | | 42,102 | | | - | | | |
Loss mitigation program | | 9,759 | | | 5,560 | | | 13,191 | | | 28,510 | | | 57,808 | | | 86,318 | | | 2,185 | | | |
| | 52,364 | | | 19,664 | | | 39,097 | | | 111,125 | | | 619,483 | | | 730,608 | | | 2,875 | | | |
Home equity secured personal loans | | - | | | - | | | 138 | | | 138 | | | 598 | | | 736 | | | - | | | |
GNMA's buy-back option program | | - | | | - | | | 34,921 | | | 34,921 | | | - | | | 34,921 | | | - | | | |
| | 52,364 | | | 19,664 | | | 74,156 | | | 146,184 | | | 620,081 | | | 766,265 | | | 2,875 | | | |
Commercial | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | - | | | - | | | - | | | - | | | 54,796 | | | 54,796 | | | - | | | |
Institutional | | - | | | - | | | - | | | - | | | 4,050 | | | 4,050 | | | - | | | |
Middle market | | 1,356 | | | - | | | 10,294 | | | 11,650 | | | 149,933 | | | 161,583 | | | - | | | |
Retail | | 4,253 | | | 1,015 | | | 3,190 | | | 8,458 | | | 158,184 | | | 166,642 | | | - | | | |
Floor plan | | - | | | - | | | - | | | - | | | 1,835 | | | 1,835 | | | - | | | |
Real estate | | - | | | - | | | - | | | - | | | 11,655 | | | 11,655 | | | - | | | |
| | 5,609 | | | 1,015 | | | 13,484 | | | 20,108 | | | 380,453 | | | 400,561 | | | - | | | |
Other commercial and industrial: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 236 | | | - | | | - | | | 236 | | | 32,362 | | | 32,598 | | | - | | | |
Institutional | | - | | | - | | | - | | | - | | | 536,445 | | | 536,445 | | | - | | | |
Middle market | | - | | | 299 | | | 1,134 | | | 1,433 | | | 57,464 | | | 58,897 | | | - | | | |
Retail | | 1,830 | | | 552 | | | 539 | | | 2,921 | | | 58,589 | | | 61,510 | | | - | | | |
Floor plan | | 39 | | | - | | | - | | | 39 | | | 37,607 | | | 37,646 | | | - | | | |
| | 2,105 | | | 851 | | | 1,673 | | | 4,629 | | | 722,467 | | | 727,096 | | | - | | | |
| | 7,714 | | | 1,866 | | | 15,157 | | | 24,737 | | | 1,102,920 | | | 1,127,657 | | | - | | | |
| 31-Dec-13 | | | |
| | | | | | | | | | | | | | | | | | | Loans 90+ | | | |
| | | | | | | | | | | | | | | | | | | Days Past | | | |
| | | | | | | | | | | | | | | | | | | Due and | | | |
| 30-59 Days | | 60-89 Days | | 90+ Days | | Total Past | | | | | | Still | | | |
| Past Due | | Past Due | | Past Due | | Due | | Current | | Total Loans | | Accruing | | | |
| (In thousands) | | | | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 287 | | | 168 | | | 232 | | | 687 | | | 14,554 | | | 15,241 | | | - | | | |
Overdrafts | | 46 | | | 4 | | | - | | | 50 | | | 322 | | | 372 | | | - | | | |
Personal lines of credit | | 33 | | | 38 | | | 66 | | | 137 | | | 1,844 | | | 1,981 | | | - | | | |
Personal loans | | 1,324 | | | 399 | | | 352 | | | 2,075 | | | 92,485 | | | 94,560 | | | - | | | |
Cash collateral personal loans | | 324 | | | 43 | | | - | | | 367 | | | 15,223 | | | 15,590 | | | - | | | |
| | 2,014 | | | 652 | | | 650 | | | 3,316 | | | 124,428 | | | 127,744 | | | - | | | |
Auto and leasing | | 25,531 | | | 9,437 | | | 5,089 | | | 40,057 | | | 339,817 | | | 379,874 | | | - | | | |
Total | $ | 87,623 | | $ | 31,619 | | $ | 95,052 | | $ | 214,294 | | $ | 2,187,246 | | $ | 2,401,540 | | $ | 2,875 | | | |
At September 30, 2014, the increase in delinquencies in the consumer and the auto and leasing portfolios compared to December 31, 2013 is mainly attributed to the fact that non-performing loans of acquired non-covered loan portfolio were accounted for under ASC 310-30. Such portfolios are increasing as new originations are ramping up the balances outstanding. More than a year from the BBVAPR Acquisition, those portfolios are beginning to reflect normal delinquency levels as seasoned portfolios. At September 30, 2014, the increase in delinquencies in the mortgage portfolio compared to December 31, 2013 is mainly attributed to Puerto Rico's prolonged recession. |
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At September 30, 2014 and December 31, 2013, the Company had $458.0 million and $515.4 million, respectively, in loans granted to the Puerto Rico government, including its instrumentalities, public corporations and municipalities as part of the institutional commercial loan segment. This entire amount was current at September 30, 2014. |
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Acquired Loans Accounted for under ASC 310-20 (Loans with revolving feature and/or acquired at a premium) |
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Credit cards, retail and commercial revolving lines of credits, floor plans and performing auto loans with FICO scores over 660 acquired at a premium as part of the non-covered portfolio are accounted for under the guidance of ASC 310-20, which requires that any contractually required loan payment receivable in excess of the Company's initial investment in the loans be accreted into interest income on a level-yield basis over the life of the loan. Loans accounted for under ASC 310-20 are placed on non-accrual status when past due in accordance with the Company's non-accrual policy, and any accretion of discount or amortization of premium is discontinued. Loans acquired in the non-covered portfolio that were accounted for under the provisions of ASC 310-20 are removed from the acquired loan category at the end of the reporting period upon refinancing, renewal or normal re-underwriting. |
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The following tables present the aging of the recorded investment in gross acquired loans accounted for under ASC 310-20 as of September 30, 2014 and December 31, 2013, by class of loans: |
| 30-Sep-14 | | | |
| | | | | | | | | | | | | | | | | | | Loans 90+ | | | |
| | | | | | | | | | | | | | | | | | | Days Past | | | |
| | | | | | | | | | | | | | | | | | | Due and | | | |
| 30-59 Days | | 60-89 Days | | 90+ Days | | Total Past | | | | | | Still | | | |
| Past Due | | Past Due | | Past Due | | Due | | Current | | Total Loans | | Accruing | | | |
| (In thousands) | | | | | | |
Commercial | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | $ | - | | $ | - | | $ | - | | $ | - | | $ | 3,746 | | $ | 3,746 | | $ | - | | | |
Retail | | - | | | - | | | 342 | | | 342 | | | 482 | | | 824 | | | - | | | |
Floor plan | | - | | | - | | | 101 | | | 101 | | | 3,972 | | | 4,073 | | | - | | | |
| | - | | | - | | | 443 | | | 443 | | | 8,200 | | | 8,643 | | | - | | | |
Other commercial and industrial | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | - | | | - | | | - | | | - | | | 2,915 | | | 2,915 | | | - | | | |
Retail | | 169 | | | 73 | | | 451 | | | 693 | | | 7,328 | | | 8,021 | | | - | | | |
Floor plan | | 97 | | | 40 | | | 108 | | | 245 | | | 7,160 | | | 7,405 | | | - | | | |
| | 266 | | | 113 | | | 559 | | | 938 | | | 17,403 | | | 18,341 | | | - | | | |
| | 266 | | | 113 | | | 1,002 | | | 1,381 | | | 25,603 | | | 26,984 | | | - | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 1,625 | | | 678 | | | 1,328 | | | 3,631 | | | 40,051 | | | 43,682 | | | - | | | |
Personal loans | | 160 | | | 83 | | | 66 | | | 309 | | | 3,293 | | | 3,602 | | | - | | | |
| | 1,785 | | | 761 | | | 1,394 | | | 3,940 | | | 43,344 | | | 47,284 | | | - | | | |
Auto | | 11,372 | | | 4,137 | | | 1,537 | | | 17,046 | | | 193,762 | | | 210,808 | | | - | | | |
Total | $ | 13,423 | | $ | 5,011 | | $ | 3,933 | | $ | 22,367 | | $ | 262,709 | | $ | 285,076 | | $ | - | | | |
| 31-Dec-13 | | | |
| | | | | | | | | | | | | | | | | | | Loans 90+ | | | |
| | | | | | | | | | | | | | | | | | | Days Past | | | |
| | | | | | | | | | | | | | | | | | | Due and | | | |
| 30-59 Days | | 60-89 Days | | 90+ Days | | Total Past | | | | | | Still | | | |
| Past Due | | Past Due | | Past Due | | Due | | Current | | Total Loans | | Accruing | | | |
| (In thousands) | | | | | | |
Commercial | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | $ | - | | $ | - | | $ | - | | $ | - | | $ | 10,166 | | $ | 10,166 | | $ | - | | | |
Retail | | 431 | | | 331 | | | 868 | | | 1,630 | | | 4,140 | | | 5,770 | | | - | | | |
Floor plan | | - | | | - | | | 101 | | | 101 | | | 2,576 | | | 2,677 | | | - | | | |
| | 431 | | | 331 | | | 969 | | | 1,731 | | | 16,882 | | | 18,613 | | | - | | | |
Other commercial and industrial | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 14 | | | 83 | | | - | | | 97 | | | 9,696 | | | 9,793 | | | - | | | |
Retail | | 1,717 | | | 1,418 | | | 659 | | | 3,794 | | | 23,544 | | | 27,338 | | | - | | | |
Floor plan | | 35 | | | 193 | | | 18 | | | 246 | | | 21,691 | | | 21,937 | | | - | | | |
| | 1,766 | | | 1,694 | | | 677 | | | 4,137 | | | 54,931 | | | 59,068 | | | - | | | |
| | 2,197 | | | 2,025 | | | 1,646 | | | 5,868 | | | 71,813 | | | 77,681 | | | - | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 2,217 | | | 1,200 | | | 2,068 | | | 5,485 | | | 46,714 | | | 52,199 | | | - | | | |
Personal loans | | 196 | | | 7 | | | 91 | | | 294 | | | 3,681 | | | 3,975 | | | - | | | |
| | 2,413 | | | 1,207 | | | 2,159 | | | 5,779 | | | 50,395 | | | 56,174 | | | - | | | |
Auto | | 12,534 | | | 3,616 | | | 1,608 | | | 17,758 | | | 283,826 | | | 301,584 | | | - | | | |
Total | $ | 17,144 | | $ | 6,848 | | $ | 5,413 | | $ | 29,405 | | $ | 406,034 | | $ | 435,439 | | $ | - | | | |
Acquired Loans Accounted for under ASC 310-30 (including those accounted for under ASC 310-30 by analogy) |
|
Acquired loans that are part of the non-covered portfolio, except for credit cards, retail and commercial revolving lines of credits, floor plans and performing auto loans with FICO scores over 660 acquired at a premium, are accounted for by the Company in accordance with ASC 310-30. |
|
The carrying amount corresponding to non-covered loans acquired with deteriorated credit quality, including those accounted under ASC 310-30 by analogy, in the statements of financial condition at September 30, 2014 and December 31, 2013 is as follows: |
| | September 30, | | December 31, | | | | | | | | | | | | | | | | | | | |
| | 2014 | | 2013 | | | | | | | | | | | | | | | | | | | |
| | (In thousands) | | | | | | | | | | | | | | | | | | | |
Contractual required payments receivable | | $2,505,662 | | $2,929,353 | | | | | | | | | | | | | | | | | | | |
Less: Non-accretable discount | | 523,987 | | 579,587 | | | | | | | | | | | | | | | | | | | |
Cash expected to be collected | | 1,981,675 | | 2,349,766 | | | | | | | | | | | | | | | | | | | |
Less: Accretable yield | | 404,130 | | 517,553 | | | | | | | | | | | | | | | | | | | |
Carrying amount, gross | | 1,577,545 | | 1,832,213 | | | | | | | | | | | | | | | | | | | |
Less: allowance for loan and lease losses | | 10,120 | | 2,863 | | | | | | | | | | | | | | | | | | | |
Carrying amount, net | | $1,567,425 | | $1,829,350 | | | | | | | | | | | | | | | | | | | |
During the quarter ended September 30, 2014, the Company sold non-performing residential mortgage loans that were accounted for under ASC 310-30 with a carrying amount of $19.7 million. No gain or loss was realized in the transaction in accordance to ASC 310-30 accounting. |
|
At September 30, 2014 and December 31, 2013, the Company had $168.7 million and $180.5 million, respectively, in loans granted to the Puerto Rico government, including its instrumentalities, public corporations and municipalities as part of its non-covered acquired loans accounted for under ASC 310-30. This entire amount was current at September 30, 2014. |
|
The following tables describe the accretable yield and non-accretable discount activity of acquired loans accounted for under ASC 310-30 for the quarters and nine-month periods ended September 30, 2014 and 2013 |
| Quarter Ended September 30, | | Nine-Month Period Ended September 30, | | | | | | | | | | | | |
| 2014 | | 2013 | | 2014 | | 2013 | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | |
Accretable Yield Activity | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period | $ | 444,606 | | $ | 561,485 | | $ | 517,553 | | $ | 655,833 | | | | | | | | | | | | |
Accretion | | -38,340 | | | -48,352 | | | -118,323 | | | -150,447 | | | | | | | | | | | | |
Transfer from (to) non-accretable discount | | -2,136 | | | 6,010 | | | 4,900 | | | 13,757 | | | | | | | | | | | | |
Balance at end of period | $ | 404,130 | | $ | 519,143 | | $ | 404,130 | | $ | 519,143 | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| Quarter Ended September 30, | | Nine-Month Period Ended September 30, | | | | | | | | | | | | |
| 2014 | | 2013 | | 2014 | | 2013 | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | |
Non-Accretable Discount Activity | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period | $ | 554,724 | | $ | 686,231 | | $ | 579,587 | | $ | 714,462 | | | | | | | | | | | | |
Principal losses | | -32,873 | | | -44,301 | | | -50,700 | | | -64,785 | | | | | | | | | | | | |
Transfer from (to) accretable yield | | 2,136 | | | -6,010 | | | -4,900 | | | -13,757 | | | | | | | | | | | | |
Balance at end of period | $ | 523,987 | | $ | 635,920 | | $ | 523,987 | | $ | 635,920 | | | | | | | | | | | | |
Covered Loans |
|
The carrying amount of covered loans at September 30, 2014 and December 31, 2013 is as follows: |
| September 30, | | December 31, | | | | | | | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | | | | | | |
Contractual required payments receivable | $ | 561,844 | | $ | 702,126 | | | | | | | | | | | | | | | | | | |
Less: Non-accretable discount | | 77,940 | | | 129,477 | | | | | | | | | | | | | | | | | | |
Cash expected to be collected | | 483,904 | | | 572,649 | | | | | | | | | | | | | | | | | | |
Less: Accretable yield | | 109,984 | | | 162,959 | | | | | | | | | | | | | | | | | | |
Carrying amount, gross | | 373,920 | | | 409,690 | | | | | | | | | | | | | | | | | | |
Less: Allowance for covered loan and lease losses | | 62,227 | | | 52,729 | | | | | | | | | | | | | | | | | | |
Carrying amount, net | $ | 311,693 | | $ | 356,961 | | | | | | | | | | | | | | | | | | |
The following tables describe the accretable yield and non-accretable discount activity of covered loans for the quarters and nine-month periods ended September 30, 2014 and 2013: |
| Quarter Ended September 30, | | Nine-Month Period Ended September 30, | | | | | | | | | | | | |
| 2014 | | 2013 | | 2014 | | 2013 | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | |
Accretable Yield Activity | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period | $ | 128,061 | | $ | 167,132 | | $ | 162,959 | | $ | 188,008 | | | | | | | | | | | | |
Accretion | | -20,886 | | | -21,657 | | | -69,154 | | | -65,884 | | | | | | | | | | | | |
Transfer from non-accretable discount | | 2,809 | | | 23,070 | | | 16,179 | | | 46,421 | | | | | | | | | | | | |
Balance at end of period | $ | 109,984 | | $ | 168,545 | | $ | 109,984 | | $ | 168,545 | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| Quarter Ended September 30, | | Nine-Month Period Ended September 30, | | | | | | | | | | | | |
| 2013 | | 2013 | | 2014 | | 2013 | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | |
Non-Accretable Discount Activity | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period | $ | 85,224 | | $ | 192,259 | | $ | 129,477 | | $ | 237,555 | | | | | | | | | | | | |
Principal losses | | -4,475 | | | -7,762 | | | -35,358 | | | -29,707 | | | | | | | | | | | | |
Transfer to accretable yield | | -2,809 | | | -23,070 | | | -16,179 | | | -46,421 | | | | | | | | | | | | |
Balance at end of period | $ | 77,940 | | $ | 161,427 | | $ | 77,940 | | $ | 161,427 | | | | | | | | | | | | |
Non-accrual Loans |
|
The following table presents the recorded investment in loans in non-accrual status by class of loans as of September 30, 2014 and December 31, 2013: |
| September 30, | | December 31, | | | | | | | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | | | | | | |
Originated and other loans and leases held for investment | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage | | | | | | | | | | | | | | | | | | | | | | | |
Traditional (by origination year): | | | | | | | | | | | | | | | | | | | | | | | |
Up to the year 2002 | $ | 3,613 | | $ | 3,428 | | | | | | | | | | | | | | | | | | |
Years 2003 and 2004 | | 3,749 | | | 1,845 | | | | | | | | | | | | | | | | | | |
Year 2005 | | 9,117 | | | 4,922 | | | | | | | | | | | | | | | | | | |
Year 2006 | | 7,019 | | | 4,418 | | | | | | | | | | | | | | | | | | |
Years 2007, 2008 and 2009 | | 9,817 | | | 4,511 | | | | | | | | | | | | | | | | | | |
Years 2010, 2011, 2012, 2013 and 2014 | | 6,244 | | | 7,818 | | | | | | | | | | | | | | | | | | |
| | 39,559 | | | 26,942 | | | | | | | | | | | | | | | | | | |
Non-traditional | | 3,022 | | | 2,311 | | | | | | | | | | | | | | | | | | |
Loss mitigation program | | 17,636 | | | 18,792 | | | | | | | | | | | | | | | | | | |
| | 60,217 | | | 48,045 | | | | | | | | | | | | | | | | | | |
Home equity secured personal loans | | 125 | | | 138 | | | | | | | | | | | | | | | | | | |
| | 60,342 | | | 48,183 | | | | | | | | | | | | | | | | | | |
Commercial | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate | | | | | | | | | | | | | | | | | | | | | | | |
Middle market | | 10,608 | | | 11,895 | | | | | | | | | | | | | | | | | | |
Retail | | 8,942 | | | 7,208 | | | | | | | | | | | | | | | | | | |
| | 19,550 | | | 19,103 | | | | | | | | | | | | | | | | | | |
Other commercial and industrial | | | | | | | | | | | | | | | | | | | | | | | |
Middle market | | 628 | | | 1,134 | | | | | | | | | | | | | | | | | | |
Retail | | 2,112 | | | 2,485 | | | | | | | | | | | | | | | | | | |
Floor plan | | - | | | 108 | | | | | | | | | | | | | | | | | | |
| | 2,740 | | | 3,727 | | | | | | | | | | | | | | | | | | |
| | 22,290 | | | 22,830 | | | | | | | | | | | | | | | | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 408 | | | 232 | | | | | | | | | | | | | | | | | | |
Overdrafts | | 1 | | | - | | | | | | | | | | | | | | | | | | |
Personal lines of credit | | 35 | | | 84 | | | | | | | | | | | | | | | | | | |
Personal loans | | 761 | | | 485 | | | | | | | | | | | | | | | | | | |
Cash collateral personal loans | | 36 | | | 4 | | | | | | | | | | | | | | | | | | |
| | 1,241 | | | 805 | | | | | | | | | | | | | | | | | | |
Auto and leasing | | 9,008 | | | 5,089 | | | | | | | | | | | | | | | | | | |
| $ | 92,881 | | $ | 76,907 | | | | | | | | | | | | | | | | | | |
| September 30, | | December 31, | | | | | | | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | | | | | | |
Acquired loans accounted under ASC 310-20 | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate | | | | | | | | | | | | | | | | | | | | | | | |
Retail | $ | 342 | | $ | 956 | | | | | | | | | | | | | | | | | | |
Floor plan | | 101 | | | 101 | | | | | | | | | | | | | | | | | | |
| | 443 | | | 1,057 | | | | | | | | | | | | | | | | | | |
Other commercial and industrial | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | - | | | 97 | | | | | | | | | | | | | | | | | | |
Retail | | 455 | | | 1,371 | | | | | | | | | | | | | | | | | | |
Floor plan | | 121 | | | 18 | | | | | | | | | | | | | | | | | | |
| | 576 | | | 1,486 | | | | | | | | | | | | | | | | | | |
| | 1,019 | | | 2,543 | | | | | | | | | | | | | | | | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 1,326 | | | 2,068 | | | | | | | | | | | | | | | | | | |
Personal loans | | 76 | | | 151 | | | | | | | | | | | | | | | | | | |
| | 1,402 | | | 2,219 | | | | | | | | | | | | | | | | | | |
Auto | | 1,746 | | | 1,608 | | | | | | | | | | | | | | | | | | |
| | 4,167 | | | 6,370 | | | | | | | | | | | | | | | | | | |
Total non-accrual loans | $ | 97,048 | | $ | 83,277 | | | | | | | | | | | | | | | | | | |
Loans accounted for under ASC 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analyses. |
|
Delinquent residential mortgage loans insured or guaranteed under applicable FHA and VA programs are placed in non-accrual when they become 18 months or more past due, since they are insured loans. |
|
At September 30, 2014 and December 31, 2013, loans whose terms have been extended and which are classified as troubled-debt restructurings that are not included in non-accrual loans amounted to $273.6 million and $66.5 million, respectively, as they are performing under their new terms. During the quarter ended September 30, 2014, the revolving line of credit to finance the purchase of fuel for the day to day power generation activities of the Puerto Rico Electric Power Authority (“PREPA”) was classified substandard and a troubled-debt restructuring. Based on our analysis, the loan is being maintained in accrual status requiring no impairment. At September 30, 2014 this line of credit had an unpaid principal balance of $200.0 million. |
Impaired Loans |
|
The Company evaluates all loans, some individually and others as homogeneous groups, for purposes of determining impairment. The total investment in impaired commercial loans was $226.8 million and $28.4 million at September 30, 2014 and December 31, 2013, respectively. Impaired commercial loans at September 30, 2014 included the PREPA line of credit with an unpaid principal balance of $200.0 million. The impaired commercial loans were measured based on the fair value of collateral or the present value of cash flows, including those identified as troubled-debt restructurings. The valuation allowance for impaired commercial loans amounted to $1.1 million and $1.4 million at September 30, 2014 and December 31, 2013, respectively. The total investment in impaired mortgage loans was $91.7 million and $84.5 million at September 30, 2014 and December 31, 2013, respectively. Impairment on mortgage loans assessed as troubled-debt restructurings was measured using the present value of cash flows. The valuation allowance for impaired mortgage loans amounted to approximately $7.9 million and $8.7 million at September 30, 2014 and December 31, 2013, respectively. |
|
Originated and Other Loans and Leases Held for Investment |
|
The Company's recorded investment in non-covered commercial and mortgage loans categorized as originated and other loans and leases held for investment that were individually evaluated for impairment and the related allowance for loan and lease losses at September 30, 2014 and December 31, 2013 are as follows: |
| 30-Sep-14 | | | | | | | | | | | | | |
| Unpaid | | Recorded | | Related | | | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Coverage | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired loans with specific allowance: | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | $ | 5,297 | | $ | 4,731 | | $ | 1,108 | | 23% | | | | | | | | | | | | | |
Residential troubled-debt restructuring | | 97,289 | | | 91,692 | | | 7,932 | | 9% | | | | | | | | | | | | | |
Impaired loans with no specific allowance: | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 228,968 | | | 221,852 | | | N/A | | N/A | | | | | | | | | | | | | |
Total investment in impaired loans | $ | 331,554 | | $ | 318,275 | | $ | 9,040 | | 3% | | | | | | | | | | | | | |
| 31-Dec-13 | | | | | | | | | | | | | |
| Unpaid | | Recorded | | Related | | | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Coverage | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired loans with specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | $ | 6,600 | | $ | 5,553 | | $ | 1,431 | | 26% | | | | | | | | | | | | | |
Residential troubled-debt restructuring | | 89,539 | | | 84,494 | | | 8,708 | | 10% | | | | | | | | | | | | | |
Impaired loans with no specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 27,914 | | | 22,592 | | | N/A | | N/A | | | | | | | | | | | | | |
Total investment in impaired loans | $ | 124,053 | | $ | 112,639 | | $ | 10,139 | | 9% | | | | | | | | | | | | | |
Acquired Loans Accounted for under ASC 310-20 (Loans with revolving feature and/or acquired at a premium) |
The Company's recorded investment in non-covered commercial loans categorized as non-covered acquired loans accounted for under ASC 310-20 that were individually evaluated for impairment and the related allowance for loan and lease losses at September 30, 2014 and December 31, 2013 are as follows: |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| 30-Sep-14 | | | | | | | | | | | | | |
| Unpaid | | Recorded | | Related | | | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Coverage | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired loans with no specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 208 | | | 208 | | | N/A | | N/A | | | | | | | | | | | | | |
Total investment in impaired loans | $ | 208 | | $ | 208 | | $ | - | | 0% | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| 31-Dec-13 | | | | | | | | | | | | | |
| Unpaid | | Recorded | | Specific | | | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Coverage | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired loans with no specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 208 | | | 208 | | | N/A | | N/A | | | | | | | | | | | | | |
Total investment in impaired loans | $ | 208 | | $ | 208 | | $ | - | | 0% | | | | | | | | | | | | | |
Non-covered Acquired Loans Accounted for under ASC 310-30 (including those accounted for under ASC 310-30 by analogy) |
|
The Company's recorded investment in non-covered acquired loan pools accounted for under ASC 310-30 and their related allowance for non-covered loan and lease losses at September 30, 2014 and December 31, 2013 are as follows: |
| 30-Sep-14 | | | | | | | | | | | | | |
| | | | | | | | | | Coverage | | | | | | | | | | | | | |
| Unpaid | | Recorded | | | | to Recorded | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Investment | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired non-covered loan pools: | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | $ | 294,966 | | $ | 257,234 | | $ | 4,613 | | 2% | | | | | | | | | | | | | |
Construction | | 52,367 | | | 45,770 | | | 5,502 | | 12% | | | | | | | | | | | | | |
Consumer | | 42,897 | | | 36,463 | | | 5 | | 0% | | | | | | | | | | | | | |
Total investment in impaired non-covered loan pools | $ | 390,230 | | $ | 339,467 | | $ | 10,120 | | 3% | | | | | | | | | | | | | |
| 31-Dec-13 | | | | | | | | | | | | | |
| | | | | | | | | | Coverage | | | | | | | | | | | | | |
| Unpaid | | Recorded | | | | to Recorded | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Investment | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired non-covered loan pools: | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage | $ | 5,183 | | $ | 4,718 | | $ | 57 | | 1% | | | | | | | | | | | | | |
Commercial | | 48,100 | | | 40,411 | | | 394 | | 1% | | | | | | | | | | | | | |
Construction | | 21,526 | | | 17,818 | | | 1,319 | | 7% | | | | | | | | | | | | | |
Consumer | | 73,043 | | | 63,606 | | | 361 | | 1% | | | | | | | | | | | | | |
Auto | | 379,236 | | | 377,316 | | | 732 | | 0% | | | | | | | | | | | | | |
Total investment in impaired non-covered loan pools | $ | 527,088 | | $ | 503,869 | | $ | 2,863 | | 1% | | | | | | | | | | | | | |
The following table presents the interest recognized in non-covered commercial and mortgage loans that were individually evaluated for impairment, excluding loans accounted for under ASC 310-30, for the quarters and nine-month periods ended September 30, 2014 and 2013: |
| Quarter Ended September 30, | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | |
| Interest Income Recognized | | Average Recorded Investment | | Interest Income Recognized | | Average Recorded Investment | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
Impaired loans with specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | $ | 28 | | $ | 5,103 | | $ | 5 | | $ | 9,039 | | | | | | | | | | | | |
Residential troubled-debt restructuring | | 666 | | | 91,293 | | | 712 | | | 82,388 | | | | | | | | | | | | |
Impaired loans with no specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 1,728 | | | 89,029 | | | 146 | | | 28,805 | | | | | | | | | | | | |
Total interest income from impaired loans | $ | 2,422 | | $ | 185,425 | | $ | 863 | | $ | 120,232 | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| Nine-Month Period Ended Ended September 30, | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | |
| Interest Income Recognized | | Average Recorded Investment | | Interest Income Recognized | | Average Recorded Investment | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
Impaired loans with specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | $ | 83 | | $ | 6,187 | | $ | 16 | | $ | 14,872 | | | | | | | | | | | | |
Residential troubled-debt restructuring | | 1,876 | | | 89,597 | | | 1,942 | | | 81,406 | | | | | | | | | | | | |
Impaired loans with no specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Commercial | | 5,185 | | | 44,203 | | | 438 | | | 26,471 | | | | | | | | | | | | |
Total interest income from impaired loans | $ | 7,144 | | $ | 139,987 | | $ | 2,396 | | $ | 122,749 | | | | | | | | | | | | |
Covered Loans |
|
The Company's recorded investment in covered loan pools that have recorded impairments and their related allowance for covered loan and lease losses as of September 30, 2014 and December 31, 2013 are as follows: |
|
| 30-Sep-14 | | | | | | | | | | | | | |
| | | | | | | | | | Coverage | | | | | | | | | | | | | |
| Unpaid | | Recorded | | | | to Recorded | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Investment | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired covered loan pools: | | | | | | | | | | | | | | | | | | | | | | | |
Loans secured by 1-4 family residential properties | $ | 138,029 | | $ | 106,823 | | $ | 15,252 | | 14% | | | | | | | | | | | | | |
Construction and development secured by 1-4 family residential properties | | 61,562 | | | 20,249 | | | 8,679 | | 43% | | | | | | | | | | | | | |
Commercial and other construction | | 105,542 | | | 73,424 | | | 37,907 | | 52% | | | | | | | | | | | | | |
Consumer | | 8,408 | | | 4,844 | | | 389 | | 8% | | | | | | | | | | | | | |
Total investment in impaired covered loan pools | $ | 313,541 | | $ | 205,340 | | $ | 62,227 | | 30% | | | | | | | | | | | | | |
| 31-Dec-13 | | | | | | | | | | | | | |
| | | | | | | | | | Coverage | | | | | | | | | | | | | |
| Unpaid | | Recorded | | Specific | | to Recorded | | | | | | | | | | | | | |
| Principal | | Investment | | Allowance | | Investment | | | | | | | | | | | | | |
| (In thousands) | | | | | | | | | | | | | |
Impaired covered loan pools with specific allowance | | | | | | | | | | | | | | | | | | | | | | | |
Loans secured by 1-4 family residential properties | $ | 52,142 | | $ | 38,179 | | $ | 12,495 | | 33% | | | | | | | | | | | | | |
Construction and development secured by 1-4 family residential properties | | 66,037 | | | 17,304 | | | 6,866 | | 40% | | | | | | | | | | | | | |
Commercial and other construction | | 209,566 | | | 111,946 | | | 32,753 | | 29% | | | | | | | | | | | | | |
Consumer | | 10,512 | | | 5,857 | | | 615 | | 11% | | | | | | | | | | | | | |
Total investment in impaired covered loan pools | $ | 338,257 | | $ | 173,286 | | $ | 52,729 | | 30% | | | | | | | | | | | | | |
Modifications |
|
The following tables present the troubled-debt restructurings during the quarters and nine-month periods ended September 30, 2014 and 2013: |
|
| Quarter Ended September 30, 2014 | | | | | | | | |
| Number of contracts | | Pre-Modification Outstanding Recorded Investment | | Pre-Modification Weighted Average Rate | | Pre-Modification Weighted Average Term (in Months) | | Post-Modification Outstanding Recorded Investment | | Post-Modification Weighted Average Rate | | Post-Modification Weighted Average Term (in Months) | | | | | | | | |
| (Dollars in thousands) | | | | | | | | |
Mortgage | 26 | | $ | 3,016 | | 5.62% | | 347 | | $ | 2,965 | | 4.22% | | 393 | | | | | | | | |
Commercial | 20 | | | 200,007 | | 7.25% | | 3 | | | 200,007 | | 7.25% | | 10 | | | | | | | | |
Consumer | 6 | | | 58 | | 10.00% | | 61 | | | 68 | | 9.66% | | 55 | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| Nine-Month Period Ended September 30, 2014 | | | | | | | | |
| Number of contracts | | Pre-Modification Outstanding Recorded Investment | | Pre-Modification Weighted Average Rate | | Pre-Modification Weighted Average Term (in Months) | | Post-Modification Outstanding Recorded Investment | | Post-Modification Weighted Average Rate | | Post-Modification Weighted Average Term (in Months) | | | | | | | | |
| (Dollars in thousands) | | | | | | | | |
Mortgage | 113 | | $ | 14,562 | | 5.99% | | 349 | | $ | 14,162 | | 4.21% | | 389 | | | | | | | | |
Commercial | 21 | | | 200,080 | | 7.25% | | 3 | | | 200,080 | | 7.25% | | 10 | | | | | | | | |
Consumer | 13 | | | 123 | | 11.77% | | 66 | | | 136 | | 11.48% | | 62 | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| Quarter Ended September 30, 2013 | | | | | | | | |
| Number of contracts | | Pre- Modification Outstanding Recorded Investment | | Pre-Modification Weighted Average Rate | | Pre-Modification Weighted Average Term (in Months) | | Post-Modification Outstanding Recorded Investment | | Post-Modification Weighted Average Rate | | Post-Modification Weighted Average Term (in Months) | | | | | | | | |
| (Dollars in thousands) | | | | | | | | |
Mortgage | 21 | | $ | 2,887 | | 6.74% | | 352 | | $ | 3,066 | | 6.74% | | 351 | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
| Nine-Month Period Ended September 30, 2013 | | | | | | | | |
| Number of contracts | | Pre- Modification Outstanding Recorded Investment | | Pre-Modification Weighted Average Rate | | Pre-Modification Weighted Average Term (in Months) | | Post-Modification Outstanding Recorded Investment | | Post-Modification Weighted Average Rate | | Post-Modification Weighted Average Term (in Months) | | | | | | | | |
| (Dollars in thousands) | | | | | | | | |
Mortgage | 102 | | $ | 12,828 | | 6.43% | | 334 | | $ | 13,685 | | 5.15% | | 393 | | | | | | | | |
Commercial | 2 | | | 1,842 | | 8.99% | | 87 | | | 1,842 | | 4.00% | | 66 | | | | | | | | |
The following table presents troubled-debt restructurings for which there was a payment default during the twelve-month periods ended September 30, 2014 and 2013: |
| Twelve-Month Period Ended September 30, | | | | | | | | | | | | | | |
| 2014 | | 2013 | | | | | | | | | | | | | | |
| Number of Contracts | | Recorded Investment | | Number of Contracts | | Recorded Investment | | | | | | | | | | | | | | |
| (Dollars in thousands) | | | | | | | | | | | | | | |
Mortgage | 15 | | $ | 1,739 | | 30 | | $ | 3,097 | | | | | | | | | | | | | | |
Consumer | 2 | | $ | 5 | | - | | $ | - | | | | | | | | | | | | | | |
Credit Quality Indicators |
|
The Company categorizes non-covered originated and other loans and acquired loans accounted for under ASC 310-20 into risk categories based on relevant information about the ability of borrowers to service their debt, such as economic conditions, portfolio risk characteristics, prior loss experience, and the results of periodic credit reviews of individual loans. |
|
The Company uses the following definitions for risk ratings: |
|
Pass: Loans classified as “pass” have a well defined primary source of repayment very likely to be sufficient, with no apparent risk, strong financial position, minimal operating risk, profitability, liquidity and capitalization better than industry standards. |
|
Special Mention: Loans classified as “special mention” have a potential weakness that deserves management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution's credit position at some future date. |
|
Substandard: Loans classified as “substandard” are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. |
|
Doubtful: Loans classified as “doubtful” have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, questionable and improbable. |
|
Loss: Loans classified as “loss” are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this worthless loan even though partial recovery may be effected in the future. |
|
Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. |
As of September 30, 2014 and December 31, 2013, and based on the most recent analysis performed, the risk category of gross non-covered originated and other loans and acquired loans accounted for under ASC 310-20 subject to risk rating by class of loans is as follows: |
|
| 30-Sep-14 | | | | | | |
| Risk Ratings | | | | | | |
| | | | | | | | | | | | | | | Individually | | | | | | |
| Balance | | | | | Special | | | | | | | | Measured for | | | | | | |
| Outstanding | | Pass | | Mention | | Substandard | | Doubtful | | Impairment | | | | | | |
| (In thousands) | | | | | | |
Commercial - originated and other loans held for investment | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | $ | 113,976 | | $ | 90,006 | | $ | 23,970 | | $ | - | | $ | - | | $ | - | | | | | | |
Institutional | | 37,177 | | | 27,232 | | | 9,702 | | | - | | | - | | | 243 | | | | | | |
Middle market | | 144,539 | | | 127,640 | | | 3,707 | | | - | | | - | | | 13,192 | | | | | | |
Retail | | 161,642 | | | 147,034 | | | 3,020 | | | 2,441 | | | - | | | 9,147 | | | | | | |
Floor plan | | 1,666 | | | 594 | | | 971 | | | 101 | | | - | | | - | | | | | | |
Real estate | | 11,878 | | | 11,878 | | | - | | | - | | | - | | | - | | | | | | |
| | 470,878 | | | 404,384 | | | 41,370 | | | 2,542 | | | - | | | 22,582 | | | | | | |
Other commercial and industrial: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 60,402 | | | 60,402 | | | - | | | - | | | - | | | - | | | | | | |
Institutional | | 482,275 | | | 282,293 | | | - | | | - | | | - | | | 199,982 | | | | | | |
Middle market | | 83,206 | | | 77,504 | | | 3,144 | | | - | | | - | | | 2,558 | | | | | | |
Retail | | 80,813 | | | 76,684 | | | 308 | | | 2,360 | | | - | | | 1,461 | | | | | | |
Floor plan | | 39,661 | | | 38,301 | | | 1,147 | | | 213 | | | - | | | - | | | | | | |
| | 746,357 | | | 535,184 | | | 4,599 | | | 2,573 | | | - | | | 204,001 | | | | | | |
Total | | 1,217,235 | | | 939,568 | | | 45,969 | | | 5,115 | | | - | | | 226,583 | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
Commercial - acquired loans (under ASC 310-20) | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 3,746 | | | 3,746 | | | - | | | - | | | - | | | - | | | | | | |
Retail | | 824 | | | 467 | | | - | | | 357 | | | - | | | - | | | | | | |
Floor plan | | 4,073 | | | 4,073 | | | - | | | - | | | - | | | - | | | | | | |
| | 8,643 | | | 8,286 | | | - | | | 357 | | | - | | | - | | | | | | |
Other commercial and industrial: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 2,915 | | | 2,915 | | | - | | | - | | | - | | | - | | | | | | |
Retail | | 8,021 | | | 7,612 | | | 9 | | | 400 | | | - | | | - | | | | | | |
Floor plan | | 7,405 | | | 7,405 | | | - | | | - | | | - | | | - | | | | | | |
| | 18,341 | | | 17,932 | | | 9 | | | 400 | | | - | | | - | | | | | | |
Total | | 26,984 | | | 26,218 | | | 9 | | | 757 | | | - | | | - | | | | | | |
Total | $ | 1,244,219 | | $ | 965,786 | | $ | 45,978 | | $ | 5,872 | | $ | - | | $ | 226,583 | | | | | | |
| 31-Dec-13 | | | | | | |
| Risk Ratings | | | | | | |
| | | | | | | | | | | | | | | Individually | | | | | | |
| Balance | | | | | Special | | | | | | | | Measured for | | | | | | |
| Outstanding | | Pass | | Mention | | Substandard | | Doubtful | | Impairment | | | | | | |
| (In thousands) | | | | | | |
Commercial - originated and other loans held for investment | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | $ | 54,796 | | $ | 54,796 | | $ | - | | $ | - | | $ | - | | $ | - | | | | | | |
Institutional | | 4,050 | | | 4,050 | | | - | | | - | | | - | | | - | | | | | | |
Middle market | | 161,583 | | | 133,061 | | | 16,627 | | | 118 | | | - | | | 11,777 | | | | | | |
Retail | | 166,642 | | | 149,018 | | | 2,182 | | | 2,258 | | | - | | | 13,184 | | | | | | |
Floor plan | | 1,835 | | | 1,835 | | | - | | | - | | | - | | | - | | | | | | |
Real estate | | 11,655 | | | 11,655 | | | - | | | - | | | - | | | - | | | | | | |
| | 400,561 | | | 354,415 | | | 18,809 | | | 2,376 | | | - | | | 24,961 | | | | | | |
Other commercial and industrial: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 32,598 | | | 32,598 | | | - | | | - | | | - | | | - | | | | | | |
Institutional | | 536,445 | | | 536,445 | | | - | | | - | | | - | | | - | | | | | | |
Middle market | | 58,897 | | | 53,868 | | | 3,466 | | | 198 | | | - | | | 1,365 | | | | | | |
Retail | | 61,510 | | | 58,742 | | | 257 | | | 691 | | | - | | | 1,820 | | | | | | |
Floor plan | | 37,646 | | | 37,350 | | | 188 | | | 108 | | | - | | | - | | | | | | |
| | 727,096 | | | 719,003 | | | 3,911 | | | 997 | | | - | | | 3,185 | | | | | | |
Total | | 1,127,657 | | | 1,073,418 | | | 22,720 | | | 3,373 | | | - | | | 28,146 | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | |
Commercial - acquired loans (under ASC 310-20) | | | | | | | | | | | | | | | | | | | | | | | |
Commercial secured by real estate: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 10,166 | | | 10,166 | | | - | | | - | | | - | | | - | | | | | | |
Retail | | 5,770 | | | 4,378 | | | 443 | | | 949 | | | - | | | - | | | | | | |
Floor plan | | 2,677 | | | 2,576 | | | - | | | 101 | | | - | | | - | | | | | | |
| | 18,613 | | | 17,120 | | | 443 | | | 1,050 | | | - | | | - | | | | | | |
Other commercial and industrial: | | | | | | | | | | | | | | | | | | | | | | | |
Corporate | | 9,793 | | | 9,696 | | | - | | | 97 | | | - | | | - | | | | | | |
Retail | | 27,338 | | | 26,044 | | | 150 | | | 1,144 | | | - | | | - | | | | | | |
Floor plan | | 21,937 | | | 21,769 | | | 168 | | | - | | | - | | | - | | | | | | |
| | 59,068 | | | 57,509 | | | 318 | | | 1,241 | | | - | | | - | | | | | | |
Total | | 77,681 | | | 74,629 | | | 761 | | | 2,291 | | | - | | | - | | | | | | |
Total | $ | 1,205,338 | | $ | 1,148,047 | | $ | 23,481 | | $ | 5,664 | | $ | - | | $ | 28,146 | | | | | | |
All loans individually measured for impairment are classified as substandard as of September 30, 2014. |
At September 30, 2014 and December 31, 2013, we had approximately $647.9 million and $763.4 million, respectively, of credit facilities granted to the Puerto Rico government, including its instrumentalities, public corporations and municipalities, of which $626.8 million and $696.0 million, respectively, were outstanding as of such dates. A substantial portion of our credit exposure to the government of Puerto Rico consists of collateralized loans or obligations that have a specific source of income or revenues identified for its repayment. Some of these obligations consist of senior and subordinated loans to public corporations that obtain revenues from rates charged for services, such as water and electric power utilities. Public corporations have varying degrees of independence from the central government and many have received appropriations or are due other payments from it. We also have loans to various municipalities for which the good faith, credit and unlimited taxing power of the applicable municipality has been pledged to their repayment. These municipalities are required by law to levy special property taxes in such amounts as shall be required for the payment of all their general obligation bonds and notes. Another portion of these loans consists of special obligations of various municipalities that are payable from the basic real and personal property taxes collected within such municipalities. The good faith and credit obligations of the municipalities have a first lien on the basic property taxes. |
|
In the second quarter of 2014, the government enacted the Puerto Rico Public Corporation Debt Enforcement and Recovery Act (the “Recovery Act”), which establishes procedures for the adjustment of certain public corporations' debts. The Recovery Act states in its preamble that it further promotes the central government's public policy objectives of no longer providing financial support to public corporations and promoting their economic independence. The Recovery Act, which is without precedent and is being challenged in federal court on constitutional grounds, has increased the level of uncertainty as to the rights of the affected public corporation's creditors. As of September 30, 2014, we had approximately $382.1 million of credit facilities granted to public corporations authorized to initiate proceedings under the Recovery Act. |
|
Oriental Bank is part of a four bank syndicate providing a $550 million dollar revolving line of credit to finance the purchase of fuel for the day to day power generation activities of PREPA, a public corporation authorized to seek relief under the Recovery Act. The Bank's participation in the line of credit has an unpaid principal balance of $200.0 million as of September 30, 2014. The Company, as part of the bank syndicate, agreed during the quarter to extend its credit facility with PREPA to March 31, 2015. In connection with such extension, PREPA appointed a Chief Restructuring Officer to work alongside the Executive Director to develop, organize and manage a financial and operational restructuring of PREPA subject to the approval of PREPA's Board. PREPA also committed to delivering a comprehensive business plan by December 15, 2014 and a full debt restructuring plan by March 2, 2015. After the extension, the Company classified the credit as substandard and a troubled-debt restructuring. The Company conducted an impairment analysis considering the probability of collection of principal and interest. Based on the experience and knowledge of the borrower, independent scenarios were developed to assess the collectability of the Company's current credit exposure to PREPA. Such scenarios project very probable outcomes based on a conservative set of assumptions related to PREPA's ability for future cash flow generation. The Company concluded that the loan should be maintained in accrual status requiring no impairment. |
|
For residential and consumer loan classes, the Company evaluates credit quality based on the delinquency status of the loan. As of September 30, 2014 and December 31, 2013, and based on the most recent analysis performed, the risk category of non-covered gross originated and other loans and acquired loans accounted for under ASC 310-20 not subject to risk rating by class of loans is as follows: |
| 30-Sep-14 |
| Delinquency |
| | | | | | | | | | | | | | | | | | | | | Individually |
| Balance | | | | | | | | | | | | | | | | | | | | Measured for |
| Outstanding | | 0-29 days | | 30-59 days | | 60-89 days | | 90-119 days | | 120-364 days | | 365+ days | | Impairment |
| (In thousands) |
Originated and other loans and leases held for investment | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage | | | | | | | | | | | | | | | | | | | | | | | |
Traditional (by origination year) | | | | | | | | | | | | | | | | | | | | | | | |
Up to the year 2002 | $ | 68,338 | | $ | 54,931 | | $ | 5,831 | | $ | 3,160 | | $ | 537 | | $ | 999 | | $ | 1,888 | | $ | 992 |
Years 2003 and 2004 | | 62,344 | | | 49,747 | | | 6,309 | | | 1,730 | | | 221 | | | 1,623 | | | 1,489 | | | 1,225 |
Year 2005 | | 88,431 | | | 66,895 | | | 6,451 | | | 3,236 | | | 831 | | | 3,768 | | | 3,659 | | | 3,591 |
Year 2006 | | 113,211 | | | 90,157 | | | 9,821 | | | 5,471 | | | 1,740 | | | 2,479 | | | 1,759 | | | 1,784 |
Years 2007, 2008 and 2009 | | 97,063 | | | 79,950 | | | 2,874 | | | 2,774 | | | 839 | | | 3,181 | | | 3,352 | | | 4,093 |
Years 2010, 2011, 2012 2013 and 2014 | | 193,562 | | | 180,558 | | | 4,088 | | | 1,224 | | | 106 | | | 1,597 | | | 1,281 | | | 4,708 |
| | 622,949 | | | 522,238 | | | 35,374 | | | 17,595 | | | 4,274 | | | 13,647 | | | 13,428 | | | 16,393 |
Non-traditional | | 37,775 | | | 32,886 | | | 1,084 | | | 783 | | | 259 | | | 1,047 | | | 1,667 | | | 49 |
Loss mitigation program | | 89,583 | | | 9,249 | | | 1,665 | | | 789 | | | 628 | | | 1,022 | | | 980 | | | 75,250 |
| | 750,307 | | | 564,373 | | | 38,123 | | | 19,167 | | | 5,161 | | | 15,716 | | | 16,075 | | | 91,692 |
Home equity secured personal loans | | 733 | | | 607 | | | - | | | - | | | - | | | - | | | 126 | | | - |
GNMA's buy-back option program | | 40,066 | | | - | | | - | | | - | | | 8,825 | | | 18,512 | | | 12,729 | | | - |
| | 791,106 | | | 564,980 | | | 38,123 | | | 19,167 | | | 13,986 | | | 34,228 | | | 28,930 | | | 91,692 |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 17,857 | | | 17,022 | | | 238 | | | 189 | | | 140 | | | 268 | | | - | | | - |
Overdrafts | | 340 | | | 318 | | | 20 | | | 2 | | | - | | | - | | | - | | | - |
Unsecured personal lines of credit | | 2,051 | | | 1,823 | | | 67 | | | 132 | | | - | | | 26 | | | 3 | | | - |
Unsecured personal loans | | 138,608 | | | 135,169 | | | 1,586 | | | 614 | | | 579 | | | 22 | | | - | | | 638 |
Cash collateral personal loans | | 17,026 | | | 16,644 | | | 214 | | | 132 | | | 36 | | | - | | | - | | | - |
| | 175,882 | | | 170,976 | | | 2,125 | | | 1,069 | | | 755 | | | 316 | | | 3 | | | 638 |
Auto and Leasing | | 542,892 | | | 475,120 | | | 43,537 | | | 15,956 | | | 5,662 | | | 2,617 | | | - | | | - |
| | 1,509,880 | | | 1,211,076 | | | 83,785 | | | 36,192 | | | 20,403 | | | 37,161 | | | 28,933 | | | 92,330 |
Acquired loans (accounted for under ASC 310-20) | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 43,682 | | | 40,053 | | | 1,625 | | | 678 | | | 483 | | | 843 | | | - | | | - |
Personal loans | | 3,602 | | | 3,293 | | | 160 | | | 83 | | | 32 | | | 34 | | | - | | | - |
| | 47,284 | | | 43,346 | | | 1,785 | | | 761 | | | 515 | | | 877 | | | - | | | - |
Auto | | 210,808 | | | 193,762 | | | 11,372 | | | 4,137 | | | 1,209 | | | 328 | | | - | | | - |
| | 258,092 | | | 237,108 | | | 13,157 | | | 4,898 | | | 1,724 | | | 1,205 | | | - | | | - |
Total | $ | 1,767,972 | | $ | 1,448,184 | | $ | 96,942 | | $ | 41,090 | | $ | 22,127 | | $ | 38,366 | | $ | 28,933 | | $ | 92,330 |
| 31-Dec-13 |
| Delinquency |
| | | | | | | | | | | | | | | | | | | | | Individually |
| Balance | | | | | | | | | | | | | | | | | | | | Measured for |
| Outstanding | | 0-29 days | | 30-59 days | | 60-89 days | | 90-119 days | | 120-364 days | | 365+ days | | Impairment |
| (In thousands) |
Originated and other loans and leases held for investment | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage | | | | | | | | | | | | | | | | | | | | | | | |
Traditional (by origination year) | | | | | | | | | | | | | | | | | | | | | | | |
Up to the year 2002 | $ | 76,512 | | $ | 64,743 | | $ | 6,594 | | $ | 1,634 | | $ | 868 | | $ | 1,082 | | $ | 1,458 | | $ | 133 |
Years 2003 and 2004 | | 65,117 | | | 56,283 | | | 4,722 | | | 1,938 | | | 56 | | | 1,437 | | | 352 | | | 329 |
Year 2005 | | 89,541 | | | 74,016 | | | 8,414 | | | 2,119 | | | 1,198 | | | 3,037 | | | 573 | | | 184 |
Year 2006 | | 120,322 | | | 99,243 | | | 12,055 | | | 4,312 | | | 1,148 | | | 2,755 | | | 515 | | | 294 |
Years 2007, 2008 and 2009 | | 101,150 | | | 91,920 | | | 3,464 | | | 1,104 | | | 1,264 | | | 2,844 | | | 554 | | | - |
Years 2010, 2011, 2012 and 2013 | | 149,546 | | | 134,577 | | | 3,192 | | | 1,609 | | | 115 | | | 974 | | | 989 | | | 8,090 |
| | 602,188 | | | 520,782 | | | 38,441 | | | 12,716 | | | 4,649 | | | 12,129 | | | 4,441 | | | 9,030 |
Non-traditional | | 42,102 | | | 35,168 | | | 3,217 | | | 1,162 | | | - | | | 1,324 | | | 833 | | | 398 |
Loss mitigation program | | 86,318 | | | 7,762 | | | 1,376 | | | 149 | | | 624 | | | 312 | | | 1,029 | | | 75,066 |
| | 730,608 | | | 563,712 | | | 43,034 | | | 14,027 | | | 5,273 | | | 13,765 | | | 6,303 | | | 84,494 |
Home equity secured personal loans | | 736 | | | 598 | | | - | | | - | | | - | | | 126 | | | 12 | | | - |
GNMA's buy-back option program | | 34,921 | | | - | | | - | | | - | | | 7,670 | | | 14,425 | | | 12,826 | | | - |
| | 766,265 | | | 564,310 | | | 43,034 | | | 14,027 | | | 12,943 | | | 28,316 | | | 19,141 | | | 84,494 |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 15,241 | | | 14,555 | | | 287 | | | 168 | | | 118 | | | 113 | | | - | | | - |
Overdrafts | | 372 | | | 322 | | | 46 | | | 4 | | | - | | | - | | | - | | | - |
Unsecured personal lines of credit | | 1,981 | | | 1,844 | | | 33 | | | 38 | | | 25 | | | 34 | | | 7 | | | - |
Unsecured personal loans | | 94,560 | | | 92,102 | | | 1,272 | | | 399 | | | 300 | | | 39 | | | 13 | | | 435 |
Cash collateral personal loans | | 15,590 | | | 15,223 | | | 324 | | | 43 | | | - | | | - | | | - | | | - |
| | 127,744 | | | 124,046 | | | 1,962 | | | 652 | | | 443 | | | 186 | | | 20 | | | 435 |
Auto and Leasing | | 379,874 | | | 339,817 | | | 25,532 | | | 9,437 | | | 3,397 | | | 1,691 | | | - | | | - |
| | 1,273,883 | | | 1,028,173 | | | 70,528 | | | 24,116 | | | 16,783 | | | 30,193 | | | 19,161 | | | 84,929 |
Acquired loans (accounted for under ASC 310-20) | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | | | | | | | | | | | | | | | | | | | | | |
Credit cards | | 52,199 | | | 46,713 | | | 2,217 | | | 1,200 | | | 828 | | | 1,241 | | | - | | | - |
Personal loans | | 3,975 | | | 3,681 | | | 196 | | | 7 | | | 60 | | | 31 | | | - | | | - |
| | 56,174 | | | 50,394 | | | 2,413 | | | 1,207 | | | 888 | | | 1,272 | | | - | | | - |
Auto | | 301,584 | | | 283,825 | | | 12,534 | | | 3,616 | | | 1,095 | | | 514 | | | - | | | - |
| | 357,758 | | | 334,219 | | | 14,947 | | | 4,823 | | | 1,983 | | | 1,786 | | | - | | | - |
Total | $ | 1,631,641 | | $ | 1,362,392 | | $ | 85,475 | | $ | 28,939 | | $ | 18,766 | | $ | 31,979 | | $ | 19,161 | | $ | 84,929 |