Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Mar. 02, 2015 | Jun. 30, 2014 |
Document and Entity Information | |||
Entity Registrant Name | BROOKLINE BANCORP INC | ||
Entity Central Index Key | 1049782 | ||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Amendment Flag | FALSE | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $654.90 | ||
Entity Common Stock, Shares Outstanding | 70,039,176 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ||
Cash and due from banks | $36,893 | $37,148 |
Short-term investments | 25,830 | 55,357 |
Total cash and cash equivalents | 62,723 | 92,505 |
Investment securities available-for-sale | 550,761 | 492,428 |
Investment securities held-to-maturity (fair value of $500) | 500 | 500 |
Total investment securities | 551,261 | 492,928 |
Loans held-for-sale | 1,537 | 13,372 |
Total loans and leases | 4,822,607 | 4,362,465 |
Allowance for loan and lease losses | -53,659 | -48,473 |
Net loans and leases | 4,768,948 | 4,313,992 |
Restricted equity securities | 74,804 | 66,559 |
Premises and equipment, net of accumulated depreciation and amortization of $44,668 and $44,420, respectively | 80,619 | 80,505 |
Deferred tax asset | 27,687 | 31,710 |
Goodwill | 137,890 | 137,890 |
Identified intangible assets, net of accumulated amortization of $26,238 and $22,895, respectively | 13,544 | 16,887 |
Other real estate owned (OREO) and repossessed assets, net | 1,456 | 1,578 |
Other assets | 79,411 | 77,180 |
Total assets | 5,799,880 | 5,325,106 |
Non-interest-bearing deposits: | ||
Demand checking accounts | 726,118 | 707,023 |
Interest-bearing deposits: | ||
NOW accounts | 235,063 | 210,602 |
Savings accounts | 531,727 | 494,734 |
Money market accounts | 1,518,490 | 1,487,979 |
Certificate of deposit accounts | 946,708 | 934,668 |
Total interest-bearing deposits | 3,231,988 | 3,127,983 |
Total deposits | 3,958,106 | 3,835,006 |
Borrowed funds: | ||
Advances from the FHLBB | 1,004,026 | 768,773 |
Subordinated debentures and notes | 82,763 | 9,163 |
Other borrowed funds | 39,615 | 34,619 |
Total borrowed funds | 1,126,404 | 812,555 |
Mortgagors' escrow accounts | 8,501 | 7,889 |
Accrued expenses and other liabilities | 61,332 | 51,485 |
Total liabilities | 5,154,343 | 4,706,935 |
Commitments and contingencies | ||
Brookline Bancorp, Inc. stockholders' equity: | ||
Common stock, $0.01 par value; 200,000,000 shares authorized; 75,744,445 shares issued | 757 | 757 |
Additional paid-in capital | 617,475 | 617,538 |
Retained earnings, partially restricted | 83,792 | 64,903 |
Accumulated other comprehensive loss | -1,622 | -7,915 |
Treasury stock, at cost; 5,040,571 shares and 5,171,985 shares, respectively | -58,282 | -59,826 |
Unallocated common stock held by Employee Stock Ownership Plan (ESOP); 251,382 shares and 291,666 shares, respectively | -1,370 | -1,590 |
Total Brookline Bancorp, Inc. stockholders' equity | 640,750 | 613,867 |
Noncontrolling interest in subsidiary | 4,787 | 4,304 |
Total stockholders' equity | 645,537 | 618,171 |
Total liabilities and stockholders' equity | 5,799,880 | 5,325,106 |
Commercial real estate loans | ||
ASSETS | ||
Total loans and leases | 2,467,801 | 2,203,623 |
Allowance for loan and lease losses | -29,594 | -23,022 |
Commercial loans | ||
ASSETS | ||
Total loans and leases | 1,167,094 | 965,610 |
Allowance for loan and lease losses | -15,957 | -15,220 |
Indirect automobile | ||
ASSETS | ||
Total loans and leases | 316,987 | 400,531 |
Allowance for loan and lease losses | -2,331 | -3,924 |
Consumer loans | ||
ASSETS | ||
Total loans and leases | 870,725 | 792,701 |
Allowance for loan and lease losses | ($3,359) | ($3,375) |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Investment securities held to maturity, fair value | $500 | $500 |
Premises and equipment, accumulated depreciation and amortization | 44,668 | 44,420 |
Identified intangible assets, accumulated amortization | $26,238 | $22,895 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 75,744,445 | 75,744,445 |
Treasury stock, shares | 5,040,571 | 5,171,985 |
Unallocated common stock held by ESOP, shares | 251,382 | 291,666 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Interest and dividend income: | |||
Loans and leases | $206,781 | $197,098 | $203,711 |
Debt securities | 9,527 | 7,963 | 8,551 |
Marketable and restricted equity securities | 2,072 | 1,212 | 730 |
Short-term investments | 102 | 111 | 208 |
Total interest and dividend income | 218,482 | 206,384 | 213,200 |
Interest expense: | |||
Deposits | 17,060 | 18,773 | 21,432 |
Borrowed funds | 12,354 | 11,393 | 14,400 |
Total interest expense | 29,414 | 30,166 | 35,832 |
Net interest income | 189,068 | 176,218 | 177,368 |
Provision for credit losses | 8,477 | 10,929 | 15,888 |
Net interest income after provision for credit losses | 180,591 | 165,289 | 161,480 |
Non-interest income: | |||
Deposit fees | 8,692 | 8,172 | 8,224 |
Loan fees | 2,070 | 1,601 | 1,636 |
Loss from investments in affordable housing projects | -2,060 | -1,812 | -694 |
Gain on sales of investment securities, net | 65 | 397 | 926 |
Gain on sales of loans and leases held-for-sale | 1,517 | 608 | 5 |
Gain on sales of loans and leases held-for-sale | 0 | 0 | 1,898 |
Gain on sale/disposals of premises and equipment, net | 1,502 | 0 | 0 |
Other | 6,359 | 4,863 | 6,577 |
Total non-interest income | 18,145 | 13,829 | 18,572 |
Non-interest expense: | |||
Compensation and employee benefits | 71,801 | 65,261 | 58,830 |
Occupancy | 14,294 | 12,616 | 10,611 |
Equipment and data processing | 17,020 | 16,899 | 14,540 |
Professional services | 5,382 | 5,695 | 12,475 |
FDIC insurance | 3,362 | 3,102 | 4,212 |
Advertising and marketing | 3,058 | 3,003 | 2,984 |
Amortization of identified intangible assets | 3,343 | 4,623 | 5,622 |
Other | 10,925 | 11,265 | 11,068 |
Total non-interest expense | 129,185 | 122,464 | 120,342 |
Income before provision for income taxes | 69,551 | 56,654 | 59,710 |
Provision for income taxes | 24,749 | 19,481 | 21,341 |
Net income before noncontrolling interest in subsidiary | 44,802 | 37,173 | 38,369 |
Less net income attributable to noncontrolling interest in subsidiary | 2,037 | 1,787 | 1,227 |
Net income attributable to Brookline Bancorp, Inc. | $42,765 | $35,386 | $37,142 |
Earnings per common share: | |||
Basic (in dollars per share) | $0.61 | $0.51 | $0.53 |
Diluted (in dollars per share) | $0.61 | $0.51 | $0.53 |
Weighted average common shares outstanding during the year: | |||
Basic (in shares) | 69,945,028 | 69,808,164 | 69,702,417 |
Diluted (in shares) | 70,054,815 | 69,883,924 | 69,746,256 |
Dividends declared per common share | $0.34 | $0.34 | $0.34 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Comprehensive Income [Abstract] | |||
Net income before noncontrolling interest in subsidiary | $44,802 | $37,173 | $38,369 |
Other comprehensive income (loss), net of taxes: | |||
Unrealized securities holding gains (losses) excluding non-credit gain on impairment of securities | 10,699 | -18,710 | 3,396 |
Non-credit gain on impairment of securities | 0 | 0 | 34 |
Income tax (expense) benefit | -4,058 | 7,275 | -1,308 |
Net unrealized securities holding gains (losses) before reclassification adjustments | 6,641 | -11,435 | 2,122 |
Less reclassification adjustments for securities gains included in net income: | |||
Gain on sales of securities, net | 65 | 397 | 926 |
Income tax expense | -23 | -142 | -328 |
Net reclassification adjustments for securities gains included in net income | 42 | 255 | 598 |
Net unrealized securities holding gains (losses) | 6,599 | -11,690 | 1,524 |
Postretirement benefits: | |||
Adjustment of accumulated obligation for postretirement benefits | -498 | 468 | -10 |
Income tax benefit (expense) | 192 | -176 | 6 |
Net adjustment of accumulated obligation for postretirement benefits | -306 | 292 | -4 |
Net other comprehensive income (loss) | 6,293 | -11,398 | 1,520 |
Comprehensive income | 51,095 | 25,775 | 39,889 |
Net income attributable to noncontrolling interest in subsidiary | 2,037 | 1,787 | 1,227 |
Comprehensive income attributable to Brookline Bancorp, Inc. | $49,058 | $23,988 | $38,662 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders' Equity (USD $) | Total | Total Brookline Bancorp, Inc. Stockholders' Equity | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Unallocated Common Stock Held by ESOP | Noncontrolling Interest in Subsidiary |
In Thousands, unless otherwise specified | |||||||||
Balance at Dec. 31, 2011 | $507,002 | $503,602 | $644 | $525,171 | $39,993 | $1,963 | ($62,107) | ($2,062) | $3,400 |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income attributable to Brookline Bancorp, Inc. | 37,142 | 37,142 | 37,142 | ||||||
Net income attributable to noncontrolling interest in subsidiary | 1,227 | 1,227 | |||||||
Issuance of shares of common stock (10,997,840 shares) | 92,822 | 92,822 | 113 | 92,709 | |||||
Other comprehensive income (loss) | 1,520 | 1,520 | 1,520 | ||||||
Common stock dividends of $0.34 per share | -23,777 | -23,777 | -23,777 | ||||||
Dividend distribution to owners of noncontrolling interest in subsidiary | -915 | -915 | |||||||
Compensation under recognition and retention plan | 546 | 546 | 546 | ||||||
Common stock held by ESOP committed to be released | 242 | 242 | 242 | ||||||
Balance at Dec. 31, 2012 | 615,809 | 612,097 | 757 | 618,426 | 53,358 | 3,483 | -62,107 | -1,820 | 3,712 |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income attributable to Brookline Bancorp, Inc. | 35,386 | 35,386 | 35,386 | ||||||
Net income attributable to noncontrolling interest in subsidiary | 1,787 | 1,787 | |||||||
Other comprehensive income (loss) | -11,398 | -11,398 | -11,398 | ||||||
Common stock dividends of $0.34 per share | -23,841 | -23,841 | -23,841 | ||||||
Dividend distribution to owners of noncontrolling interest in subsidiary | -1,195 | -1,195 | |||||||
Compensation under recognition and retention plan | 1,393 | 1,393 | 1,393 | ||||||
Restricted stock awards issued, net of awards surrendered | -2,281 | 2,281 | |||||||
Common stock held by ESOP committed to be released | 230 | 230 | 230 | ||||||
Balance at Dec. 31, 2013 | 618,171 | 613,867 | 757 | 617,538 | 64,903 | -7,915 | -59,826 | -1,590 | 4,304 |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income attributable to Brookline Bancorp, Inc. | 42,765 | 42,765 | 42,765 | ||||||
Net income attributable to noncontrolling interest in subsidiary | 2,037 | 2,037 | |||||||
Issuance of noncontrolling units | 60 | 60 | |||||||
Other comprehensive income (loss) | 6,293 | 6,293 | 6,293 | ||||||
Common stock dividends of $0.34 per share | -23,876 | -23,876 | -23,876 | ||||||
Dividend distribution to owners of noncontrolling interest in subsidiary | -1,614 | -1,614 | |||||||
Compensation under recognition and retention plan | 1,205 | 1,205 | -339 | 1,544 | |||||
Common stock held by ESOP committed to be released | 496 | 496 | 276 | 220 | |||||
Balance at Dec. 31, 2014 | $645,537 | $640,750 | $757 | $617,475 | $83,792 | ($1,622) | ($58,282) | ($1,370) | $4,787 |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Statement of Stockholders' Equity [Abstract] | |||
Issuance of shares of common stock, shares | 10,997,840 | ||
Common stock dividends, per share (in dollars per share) | $0.34 | $0.34 | $0.34 |
Common stock held by ESOP committed to be released, shares | 40,284 | 42,252 | 44,292 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Cash flows from operating activities: | |||
Net income attributable to Brookline Bancorp, Inc. | $42,765,000 | $35,386,000 | $37,142,000 |
Adjustments to reconcile net income to net cash provided from operating activities: | |||
Net income attributable to noncontrolling interest in subsidiary | 2,037,000 | 1,787,000 | 1,227,000 |
Provision for credit losses | 8,477,000 | 10,929,000 | 15,888,000 |
Origination of loans and leases held-for-sale | -21,365,000 | -52,485,000 | -101,286,000 |
Proceeds from sales of loans and leases held-for-sale | 34,717,000 | 56,326,000 | 103,316,000 |
Proceeds from sales of OREO and other repossessed assets | 12,317,000 | 11,857,000 | 1,572,000 |
Deferred income tax expense | 180,000 | 2,444,000 | 663,000 |
Depreciation of premises and equipment | 7,020,000 | 6,291,000 | 3,733,000 |
Amortization of investment securities premiums and discounts, net | 2,656,000 | 3,200,000 | 4,486,000 |
Amortization of deferred loan and lease origination costs, net | 9,890,000 | 7,749,000 | 10,121,000 |
Amortization of identified intangible assets | 3,343,000 | 4,623,000 | 5,622,000 |
Amortization of debt issuance costs | 29,000 | 0 | 0 |
Accretion of acquisition fair value adjustments, net | -11,217,000 | -6,193,000 | -12,121,000 |
Gain on sales of loans and leases held-for-sale | -1,517,000 | -608,000 | -5,000 |
Gain on sale of loans and leases | 0 | 0 | -1,898,000 |
Gain on sales of investment securities, net | -65,000 | -397,000 | -926,000 |
Loss (gain) on sales of OREO and other repossessed assets, net | 11,000 | -2,000 | -194,000 |
Write-down of OREO and other repossessed assets | 381,000 | 263,000 | 73,000 |
Gain on sales/disposals of premises and equipment, net | -1,502,000 | 0 | 0 |
Compensation under recognition and retention plans | 1,205,000 | 1,393,000 | 546,000 |
Loss from investments in affordable housing projects | 2,060,000 | 1,812,000 | 694,000 |
ESOP shares committed to be released | 496,000 | 230,000 | 242,000 |
Net change in: | |||
Cash surrender value of bank-owned life insurance | -1,054,000 | -1,093,000 | -1,165,000 |
Other assets | -3,237,000 | 5,398,000 | -11,621,000 |
Accrued expenses and other liabilities | 9,111,000 | -2,850,000 | 3,202,000 |
Net cash provided from operating activities | 96,738,000 | 86,060,000 | 59,311,000 |
Cash flows from investing activities: | |||
Proceeds from sales of investment securities available-for-sale | 5,485,000 | 1,210,000 | 166,201,000 |
Proceeds from maturities, calls, and principal repayments of investment securities available-for-sale | 84,091,000 | 137,275,000 | 207,512,000 |
Purchases of investment securities available-for-sale | -139,866,000 | -171,231,000 | -326,104,000 |
Proceeds from maturities, calls, and principal repayments of investment securities held to maturity | 500,000 | 0 | 0 |
Purchases of investment securities held-to-maturity | -500,000 | 0 | 0 |
Proceeds from redemption of restricted equity securities (FHLBB stock) | 0 | 2,107,000 | 2,003,000 |
Purchase of restricted equity securities | -8,245,000 | -5,000 | -15,505,000 |
Proceeds from sales of loans and leases | 0 | 0 | 21,904,000 |
Net increase in loans and leases | -477,262,000 | -220,021,000 | -352,893,000 |
Acquisitions, net of cash and cash equivalents acquired | 0 | 0 | -89,258,000 |
Monies in escrowbBancorp Rhode Island, Inc. acquisition | 0 | 0 | 112,983,000 |
Proceeds from sales of premises and equipment | 1,972,000 | 260,000 | 0 |
Purchase of premises and equipment, net | -7,782,000 | -16,443,000 | -23,664,000 |
Net cash used for investing activities | -541,607,000 | -266,848,000 | -296,821,000 |
Cash flows from financing activities: | |||
Increase in demand checking, NOW, savings and money market accounts | 111,060,000 | 295,020,000 | 312,644,000 |
Increase (decrease) in certificates of deposit | 12,271,000 | -76,620,000 | -80,879,000 |
Proceeds from FHLBB advances | 2,214,931,000 | 2,363,200,000 | 3,007,883,000 |
Repayment of FHLBB advances | -1,976,848,000 | -2,381,917,000 | -2,992,101,000 |
Proceeds from issuance of subordinated notes | 73,495,000 | 0 | 0 |
Repayment of subordinated debentures | 0 | -3,000,000 | 0 |
Increase (decrease) in other borrowed funds, net | 4,996,000 | -16,394,000 | 25,023,000 |
Increase in mortgagors' escrow accounts, net | 612,000 | 943,000 | 433,000 |
Payment of dividends on common stock | -23,876,000 | -23,841,000 | -23,777,000 |
Proceeds from issuance of noncontrolling units | 60,000 | 0 | 0 |
Payment of dividends to owners of noncontrolling interest in subsidiary | -1,614,000 | -1,195,000 | -915,000 |
Net cash provided from financing activities | 415,087,000 | 156,196,000 | 248,311,000 |
Net (decrease) increase in cash and cash equivalents | -29,782,000 | -24,592,000 | 10,801,000 |
Cash and cash equivalents at beginning of year | 92,505,000 | 117,097,000 | 106,296,000 |
Cash and cash equivalents at end of year | 62,723,000 | 92,505,000 | 117,097,000 |
Cash paid during the year for: | |||
Interest on deposits, borrowed funds and subordinated debt | 31,303,000 | 34,303,000 | 40,682,000 |
Income taxes | 21,207,000 | 19,137,000 | 20,570,000 |
Non-cash investing activities: | |||
Transfer from loans and leases to loan and leases held-for-sale | 0 | 13,372,000 | 0 |
Transfer from loans to other real estate owned | 12,587,000 | 12,205,000 | 386,000 |
Bancorp Rhode Island, Inc. | |||
Acquisition of Bancorp Rhode Island: | |||
Fair value of assets acquired, net of cash and cash equivalents acquired | 0 | 0 | 1,571,817,000 |
Fair value of liabilities assumed | $0 | $0 | $1,481,535,000 |
Basis_of_Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation |
Overview | |
Brookline Bancorp, Inc. (the "Company") is a bank holding company (within the meaning of the Bank Holding Company Act of 1956, as amended) and the parent of Brookline Bank, a Massachusetts-chartered savings bank; Bank Rhode Island ("BankRI"), a Rhode Island-chartered financial institution; and First Ipswich Bank ("First Ipswich" and formerly known as the First National Bank of Ipswich), a Massachusetts-chartered savings bank (collectively referred to as the "Banks"). The Banks are all members of the Federal Reserve System. The Company is also the parent of Brookline Securities Corp. ("BSC"). The Company's primary business is to provide commercial, business and retail banking services to its corporate, municipal and individual customers through its banks and non-bank subsidiaries. | |
Brookline Bank, which includes its wholly-owned subsidiaries BBS Investment Corp. and Longwood Securities Corp., and its 84.7%-owned subsidiary, Eastern Funding LLC ("Eastern Funding"), operates 24 full-service banking offices in the greater Boston metropolitan area. BankRI, which includes its wholly-owned subsidiaries BRI Investment Corp., Macrolease Corporation ("Macrolease"), Acorn Insurance Agency and BRI Realty Corp., operates 19 full-service banking offices in the greater Providence area. First Ipswich, which includes its wholly-owned subsidiaries First Ipswich Securities II Corp. and First Ipswich Insurance Agency, operates 5 full-service banking offices on the north shore of eastern Massachusetts. | |
The Company's activities include acceptance of commercial, municipal and retail deposits, origination of mortgage loans on commercial and residential real estate located principally in Massachusetts and Rhode Island, origination of commercial loans and leases to small- and mid-sized businesses, investment in debt and equity securities, and the offering of cash management and investment advisory services. The Company also provides specialty equipment financing through its subsidiaries Eastern Funding, which is based in New York City, New York, and Macrolease, which is based in Plainview, New York. The Company ceased the origination of indirect automobile loans in December 2014. | |
The Company and the Banks are supervised, examined and regulated by the Board of Governors of the Federal Reserve System ("FRB"). As Massachusetts-chartered banks, Brookline Bank and First Ipswich are also subject to regulation under the laws of the Commonwealth of Massachusetts and the jurisdiction of the Massachusetts Division of Banks. BankRI is subject to regulation under the laws of the State of Rhode Island and the jurisdiction of the Banking Division of the Rhode Island Department of Business Regulation. | |
The Federal Deposit Insurance Corporation ("FDIC") offers insurance coverage on all deposits up to $250,000 per depositor at each of the three Banks. As FDIC-insured depository institutions, all three Banks are also secondarily subject to supervision, examination and regulation by the FDIC. Additionally, as a Massachusetts-chartered savings bank, Brookline Bank is also insured by the Depositors Insurance Fund ("DIF"), a private industry-sponsored insurance company. The DIF insures savings bank deposits in excess of the FDIC insurance limits. As such, Brookline Bank offers 100% insurance on all deposits as a result of a combination of insurance from the FDIC and the DIF. Brookline Bank is required to file reports with the DIF. | |
Basis of Financial Statement Presentation | |
The Company's consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles ("GAAP") as set forth by the Financial Accounting Standards Board ("FASB") in its Accounting Standards Codification and through the rules and interpretive releases of the Securities and Exchange Commission ("SEC") under the authority of federal securities laws. | |
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions and balances are eliminated in consolidation. | |
In preparing these consolidated financial statements, management is required to make significant estimates and assumptions that affect the reported amounts of assets, liabilities, income, expenses and disclosure of contingent assets and liabilities. Actual results could differ from those estimates based upon changing conditions, including economic conditions and future events. Material estimates that are particularly susceptible to significant change in the near-term include the determination of the allowance for loan and lease losses, the determination of fair market values of assets and liabilities, including acquired loans, the review of goodwill and intangibles for impairment and the review of deferred tax assets for valuation allowance. | |
The judgments used by management in applying these critical accounting policies may be affected by a further and prolonged deterioration in the economic environment, which may result in changes to future financial results. For example, subsequent evaluations of the loan and lease portfolio, in light of the factors then prevailing, may result in significant changes in the allowance for loan and lease losses in future periods, and the inability to collect outstanding principal may result in increased loan and lease losses. | |
Reclassification | |
Certain previously reported amounts have been reclassified to conform to the current year's presentation. These reclassifications did not change stockholders' equity or net income reported. | |
Cash and Cash Equivalents | |
For purposes of reporting asset balances and cash flows, cash and cash equivalents includes cash on hand and due from banks (including cash items in process of clearing), interest-bearing deposits with banks, federal funds sold, money market mutual funds and other short-term investments with original maturities of three months or less. | |
Investment Securities | |
Investment securities, other than those reported as short-term investments, are classified at the time of purchase as "available-for-sale," "held-to-maturity," or "trading." Classification is periodically re-evaluated for consistency with the Company's goals and objectives. Equity investments in the Federal Home Loan Bank of Boston ("FHLBB") and the Federal Reserve Bank of Boston are discussed in more detail in Note 5, "Restricted Equity Securities." | |
Investment Securities Available-for-Sale and Held-to-Maturity | |
Investment securities for which the Company has the positive intent and ability to hold to maturity are classified as held-to-maturity and carried at amortized cost. Those investment securities held for indefinite periods of time but not necessarily to maturity are classified as available-for-sale. Investment securities held for indefinite periods of time include investment securities that management intends to use as part of its asset/liability, liquidity, and/or capital management strategies and may be sold in response to changes in interest rates, maturities, asset/liability mix, liquidity needs, regulatory capital needs or other business factors. Investment securities available-for-sale are carried at estimated fair value, primarily obtained from a third-party pricing service, with unrealized gains and losses reported on an after-tax basis in stockholders' equity as accumulated other comprehensive income or loss. As of December 31, 2014 and 2013, the Company did not make any adjustments to the prices provided by the third-party pricing service. | |
Security transactions are recorded on the trade date. Realized gains and losses are determined using the specific identification method and are recorded in non-interest income. Interest and dividends on securities are recorded using the accrual method. Premiums and discounts on securities are amortized or accreted into interest income using the level-yield method over the remaining period to contractual maturity, adjusted for the effect of actual prepayments in the case of mortgage-backed securities ("MBSs") and collateralized mortgage obligations ("CMOs"). These estimates of prepayment assumptions are made based upon the actual performance of the underlying security, current interest rates, the general market consensus regarding changes in mortgage interest rates, the contractual repayment terms of the underlying loans, the priority rights of the investors to the cash flows from the mortgage securities and other economic conditions. When differences arise between anticipated prepayments and actual prepayments, the effective yield is recalculated to reflect actual payments to date and anticipated future payments. Unamortized premium or discount is adjusted to the amount that would have existed had the new effective yield been applied since purchase, with a corresponding charge or credit to interest income. | |
Management evaluates securities for other-than-temporary impairment ("OTTI") on a periodic basis. Factors considered in determining whether an impairment is OTTI include: (1) the length of time and the extent to which the fair value has been less than amortized cost, (2) projected future cash flows, (3) the financial condition and near-term prospects of the issuers and (4) the intent and ability of the Company to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair value. The Company records an OTTI loss in an amount equal to the entire difference between the fair value and amortized cost if (1) the Company intends to sell an impaired investment security, (2) it is more likely than not that the Company will be required to sell the investment security before its amortized costs or (3) for debt securities, the present value of expected future cash flows is not sufficient to recover the entire amortized cost basis. If an investment security is determined to be OTTI but the Company does not intend to sell the investment security, only the credit portion of the estimated loss is recognized in earnings, with the non credit portion of the loss recognized in other comprehensive income. | |
Restricted Equity Securities | |
The Company invests in the stock of the FHLBB, the Federal Reserve Bank of Boston and a small amount of other restricted securities. No ready market exists for these stocks, and they have no quoted market values. The Banks, as members of the FHLBB, are required to maintain investments in the capital stock of the FHLBB equal to their membership base investments plus an activity-based investment determined according to the Banks' level of outstanding FHLBB advances. Federal Reserve Bank of Boston stock was purchased at par and is redeemable at par. The Company reviews for impairment of these securities based on the ultimate recoverability of the cost basis in the stock. At December 31, 2014, no impairment has been recognized. | |
Loans | |
Originated Loans | |
Loans the Company originates for the portfolio, and for which it has the intent and ability to hold to maturity, are reported at amortized cost, inclusive of deferred loan origination fees and expenses, less unadvanced funds due borrowers on loans and the allowance for loan and lease losses. | |
Interest income on loans and leases originated for the portfolio is accrued on unpaid principal balances as earned. Loan origination fees and direct loan origination costs are deferred, and the net fee or cost is recognized in interest income using the interest method. Deferred amounts are recognized for fixed-rate loans over the contractual life of the loans and for adjustable-rate loans over the period of time required to adjust the contractual interest rate to a yield approximating a market rate at the origination date. If a loan is prepaid, the unamortized portion of the loan origination costs, including those indirect-automobile-related costs not subject to rebate from the dealer, is charged to income. | |
Loans and Leases Held-for-Sale | |
Management identifies and designates certain newly originated loans and leases for sale to specific financial institutions, subject to the underwriting criteria of those financial institutions. These loans and leases are held for sale and are carried at the lower of cost or market as determined in the aggregate. Deferred loan fees and costs are included in the determination of the gain or loss on sale. | |
Acquired Loans | |
Acquired loans that have evidence of deterioration of credit quality since origination and for which it is probable, at acquisition, that the Corporation will be unable to collect all contractually required payments receivable are initially recorded at fair value (as determined by the present value of expected future cash flows) with no valuation allowance. The difference between the undiscounted cash flows expected at acquisition and the recorded fair value of the loan, or the “accretable yield,” is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition, or the “nonaccretable difference,” are not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Increases in expected cash flows subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining life. Decreases in expected cash flows are recognized as impairment. Valuation allowances on these impaired loans reflect only losses incurred after the acquisition (meaning the present value of all cash flows expected at acquisition that ultimately are not to be received). | |
Nonperforming Loans | |
Nonaccrual Loans | |
Accrual of interest on loans generally is discontinued when contractual payment of principal or interest becomes past due 90 days or, if in management's judgment, reasonable doubt exists as to the full timely collection of interest. Exceptions may be made if the loan has matured and is in the process of renewal or is well-secured and in the process of collection. When a loan is placed on nonaccrual status, interest accruals cease and uncollected accrued interest is reversed and charged against current interest income. Interest payments on nonaccrual loans are generally applied to principal. If collection of the principal is reasonably assured, interest payments are recognized as income on the cash basis. Loans are generally returned to accrual status when principal and interest payments are current, full collectability of principal and interest is reasonably assured and a consistent record of at least six consecutive months of performance has been achieved. | |
Impaired Loans | |
A loan is considered to be impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due (both interest and principal) according to the contractual terms of the loan agreement. Smaller-balance, homogeneous loans that are evaluated collectively for impairment, such as indirect automobile, residential, home equity and other consumer loans are specifically excluded from the impaired loan portfolio except where the loan is classified as a troubled debt restructuring. The Company has defined the population of impaired loans to include nonaccrual loans and troubled debt restructured loans. | |
The value of an impaired loan is measured based upon the present value of expected future cash flows discounted at the loan's effective interest rate, or the fair value of the collateral if the loan is collateral-dependent and its payment is expected solely based on the underlying collateral. For impaired loans deemed collateral dependent, where impairment is measured using the fair value of the collateral, the Company will either obtain a new appraisal or use another available source of collateral assessment to determine a reasonable estimate of the fair value of the collateral. | |
Interest collected on impaired loans is either applied against principal or reported as income according to management's judgment as to the collectability of principal. If management does not consider a loan ultimately collectible within an acceptable time frame, payments are applied as principal to reduce the loan balance. If full collection of the remaining recorded investment should subsequently occur, interest receipts are recorded as interest income on a cash basis. | |
Troubled Debt Restructured Loans | |
In cases where a borrower experiences financial difficulties and the Company makes certain concessionary modifications to contractual terms, the loan is classified as a troubled debt restructured loan. In determining whether a debtor is experiencing financial difficulties, the Company considers, among other factors, if the debtor is in payment default or is likely to be in payment default in the foreseeable future without the modification, the debtor declared or is in the process of declaring bankruptcy, there is substantial doubt that the debtor will continue as a going concern, the debtor's entity-specific projected cash flows will not be sufficient to service its debt, or the debtor cannot obtain funds from sources other than the existing creditors at market terms for debt with similar risk characteristics. | |
Large groups of small-balance homogeneous loans such as the residential real estate, residential construction, home equity and other consumer portfolios are collectively evaluated for impairment. As such, the Company does not typically identify individual loans within these groupings as impaired loans or for impairment evaluation and disclosure. However, the Company evaluates all TDRs for impairment on an individual loan basis regardless of loan type. | |
Modifications may include interest-rate reductions, short-term (defined as one year or less) changes in payment structure to interest-only payments, short-term extensions of the loan's original contractual term or, less frequently, principal forgiveness, interest capitalization, forbearance and other actions intended to minimize the economic loss and to avoid foreclosure or repossession of collateral. Typically, troubled debt restructurings are placed on nonaccrual status and reported as nonperforming loans. Generally, a nonaccrual loan that is restructured remains on nonaccrual for a period of six months to demonstrate the borrower can meet the restructured terms; however, performance prior to the restructuring, or significant events that coincide with the restructuring, are considered in assessing whether the borrower can meet the new terms and may result in the loan being returned to accrual status at the time of restructuring or after a shorter performance period. If the borrower's ability to meet the revised payment schedule is not reasonably assured, the loan remains classified as a nonaccrual loan. | |
Loans restructured at an interest rate equal to or greater than that of a new loan with comparable risk at the time of the loan agreement is modified may be excluded from restructured loan disclosures in years subsequent to the restructuring if they are in compliance with the modified terms. | |
Allowance for Loan and Lease Losses | |
Additions to the allowance for loan and lease losses are made by charges to the provision for credit losses. Losses on loans and leases are charged off against the allowance when all or a portion of a loan or lease is considered uncollectible. Subsequent recoveries on loans previously charged off, if any, are credited to the allowance when realized | |
The allowance for loan and lease losses consists of general, specific and unallocated reserves and reflects management's estimate of probable loan and lease losses inherent in the loan portfolio at the balance sheet date. Management uses a consistent and systematic process and methodology to evaluate the adequacy of the allowance for loan and lease losses on a quarterly basis. The allowance is calculated by loan category, including commercial real estate loans, commercial loans and leases, indirect automobile loans and consumer loans; with each of these categories further segregated into classes. A formula-based credit evaluation approach is applied to each group, coupled with an analysis of certain loans for impairment. | |
The process to determine the allowance for loan and lease losses requires management to exercise considerable judgment regarding the risk characteristics of the loan portfolio categories and the effect of relevant internal and external factors. The reasonableness of prior judgments is evaluated on a quarterly basis by comparison of estimated loan and lease losses to loan and lease losses actually incurred. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Company's allowance for loan and lease losses. Such agencies may require the Company to change the allowance based on their judgments of information available to them at the time of their examination. | |
General Allowance | |
The general allowance related to loans collectively evaluated for impairment is determined using a formula-based approach utilizing the risk ratings of individual credits and loss factors derived from historic portfolio loss rates which includes estimates of incurred losses over an estimated loss emergence period (“LEP”). The LEP was generated utilizing a charge-off look-back analyses which studied the time from the first indication of elevated risk of repayment (or other early event indicating a problem) to eventual charge-off to support the LEP considered in the allowance calculation. This reserving methodology established the approximate number of months of a LEP that incurred losses should be carried for each portfolio. Other relevant qualitative factors include, but are not limited to, historic levels and trends in loan charge-offs and recoveries; past-due loans; risk-rated loans; classified loans and impaired loans; the pace of loan growth; underwriting policies and adherence to such policies; changes in credit concentration; the experience of lending personnel and management; trends in the economy and employment; business conditions; industry conditions; and political, legislative and regulatory changes. The general allowance related to the acquired loans collectively evaluated for impairment are determined based upon the degree, if any, of deterioration in the pooled loans subsequent to acquisition. The qualitative factors used in the determination are the same as those used for originated loans. | |
Specific Allowance | |
Specific valuation allowances are established for impaired originated loans with book values greater than the discounted present value of expected future cash flows or, in the case of collateral-dependent impaired loans, for any excess of a loan's book balance and the fair value of its underlying collateral. Specific valuation allowances are established for acquired loans with deterioration in the discounted present value of expected further cash flows since acquisitions or, in the case of collateral dependent impaired loans, for any increase in the excess of a loan's book balance greater than the fair value of its underlying collateral. A specific valuation allowance for losses on troubled debt restructured loans is determined by comparing the net carrying amount of the troubled debt restructured loan with the restructured loan's cash flows discounted at the original effective rate. Impaired loans are reviewed quarterly with adjustments made to the calculated reserve as deemed necessary. | |
Unallocated Allowance | |
Determination of the unallocated portion of the allowance is a subjective process. Management believes the unallocated allowance is an important component of the total allowance because it addresses the probable inherent risk of loss that exists in that part of the Company's loan portfolio with repayment terms that extend over many years. It also helps to minimize the risk related to the margin of imprecision inherent in the estimation of the allocated components of the allowance. The Company has not allocated the unallocated portion of the allowance to the various loan categories and classes because such an allocation would imply a degree of precision that does not exist. | |
Liability for Unfunded Commitments | |
In the ordinary course of business, the Company enters into commitments to extend credit, commercial letters of credit, and standby letters of credit. Such financial instruments are recorded in the financial statements when they become payable. The credit risk associated with these commitments is evaluated in a manner similar to the allowance for loan losses. | |
Premises and Equipment | |
Premises and equipment are carried at cost less accumulated depreciation and amortization, except for land which is carried at cost. Premises and equipment are depreciated using the straight-line method over the estimated useful life of the assets. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or the estimated useful life of the improvements. | |
Costs related to internal-use software development projects that provide significant new functionality are capitalized. Internal-use software is software acquired or modified solely to meet the Company's needs and for which there is no plan to market the software externally. Direct and indirect costs associated with the application development stage of internal use software are capitalized until such time that the software is substantially complete and ready for its intended use. Capitalized costs are amortized on a straight-line basis over the remaining estimated life of the software. Computer software and development costs incurred in the preliminary project stage, as well as training and maintenance costs, are expensed as incurred. | |
Leases | |
The Company leases properties for offices and branches in the states of Massachusetts, Rhode Island and New York. Lease terms range from five years to over 20 years with options to renew. Management performs an analysis to determine proper lease accounting at lease inception and for each renewal. If a lease meets any of the following four criteria, the lease is classified as capital lease. The four criteria are: transfer of ownership by the end of lease term; contains bargain purchase option; lease term is at least 75% of the property’s estimated remaining economic life; or present value of the minimum lease payment is at least 90% of the fair value of the leased property. The Company did not have any capital leases at December 31, 2014 and 2013. All leases are classified as operating leases and rental payments are expensed as incurred. Certain leases contain rent escalation clauses which are amortized over the life of the lease under the straight-line method. | |
Bank-Owned Life Insurance | |
The Company acquired bank-owned life insurance ("BOLI") plans as part of its acquisitions of First Ipswich and BankRI. BOLI represents life insurance on the lives of certain current and former employees who have provided positive consent allowing their employer to be the beneficiary of such policies. BankRI and First Ipswich are the beneficiaries of their respective policies. BankRI and First Ipswich utilize BOLI as tax-efficient financing for their benefit obligations to their employees, including their retirement obligations and Supplemental Executive Retirement Plans ("SERPs"). | |
Since BankRI and First Ipswich are the primary beneficiaries of their respective insurance policies, increases in the cash value of the policies, as well as insurance proceeds received, are recorded in non-interest income and are not subject to income taxes. BOLI is recorded at the cash value of the policies, less any applicable cash surrender charges, and is reflected as an asset in the accompanying consolidated balance sheets. Cash proceeds, if any, are classified as cash flows from investing activities. | |
The Company reviews the financial strength of the insurance carriers prior to the purchase of BOLI to ensure minimum credit ratings of at least investment grade. The financial strength of the carriers is reviewed at least annually and BOLI with any individual carrier is limited to 10% of the Company's capital and 25% of capital in the aggregate. | |
Goodwill and Other Identified Intangible Assets | |
Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired. Goodwill and indefinite-lived identified intangible assets are not subject to amortization. Definite-lived identified intangible assets are assets resulting from acquisitions that are being amortized over their estimated useful lives. The recoverability of goodwill and identified intangible assets is evaluated for impairment at least annually. As part of this evaluation, the Company makes a qualitative assessment of whether it is more likely than not that the fair value of an acquired asset is greater than its carrying amount. If the Company qualitatively concludes that it is more likely than not that the fair value of an acquired asset is greater than its carrying amount, no further testing is necessary. If, however, the Company qualitatively concludes that it is more likely than not that the fair value of an acquired asset is less than its carrying value, the Company performs a two-step quantitative impairment test to determine whether the asset is impaired. If impairment is deemed to have occurred, the amount of impairment is charged to expense when identified. | |
OREO and Other Repossessed Assets | |
OREO and other repossessed assets consists of properties acquired through foreclosure, real estate acquired through acceptance of a deed in lieu of foreclosure and loans determined to be substantively repossessed. Real estate loans that are substantively repossessed include only those loans for which the Company has taken possession of the collateral. OREO and repossessed assets which consist of vehicles and equipment, if any, are recorded initially at estimated fair value less costs to sell, resulting in a new cost basis. The amount by which the recorded investment in the loan exceeds the fair value (net of estimated cost to sell) of the foreclosed or repossessed asset is charged to the allowance for loan and lease losses. Such evaluations are based on an analysis of individual properties/assets as well as a general assessment of current real estate market conditions. Subsequent declines in the fair value of the foreclosed or repossessed asset below the new cost basis are recorded through the use of a valuation allowance. Subsequent increases in the fair value are recorded as reductions in the allowance, but not below zero. Rental revenue received on foreclosed or repossessed assets is included in other non-interest income, whereas operating expenses and changes in the valuation allowance relating to foreclosed and repossessed assets are included in other non-interest expense. Certain costs used to improve such properties are capitalized. Gains and losses from the sale of OREO and repossessed assets are reflected in non-interest expense when realized. Together with nonperforming loans, OREO and repossessed assets comprise nonperforming assets. | |
Derivatives | |
The Company enters into interest rate swap agreements as part of the Company's interest-rate risk management strategy for certain assets and liabilities and not for speculative purposes. Based on the Company's intended use for the interest rate swap at inception, the Company designates the derivative as either an economic hedge of an asset or liability or a hedging instrument subject to the hedge accounting provisions of FASB ASC Topic 815, "Derivatives and Hedging." | |
Interest rate swaps designated as economic hedges are recorded at fair value within other assets or liabilities. Changes in the fair value of these derivatives are recorded directly through earnings at each reporting period. | |
Transfer of Financial Assets | |
Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. | |
Securities Sold under Agreements to Repurchase | |
The Company enters into sales of securities under agreements to repurchase with the Banks' commercial customers. These agreements are treated as financings, and the obligations to repurchase securities sold are reflected as a liability in the consolidated balance sheets. Securities pledged as collateral under agreements to repurchase are reflected as assets in the accompanying consolidated balance sheets. | |
Employee Benefits | |
Costs related to the Company's 401(k) plans are recognized over the vesting period or charged against current operations in the year made depending on the plan. Costs related to the Company's nonqualified deferred compensation plan, SERPs and postretirement benefits are recognized over the vesting period or the related service periods of the participating employees. Changes in the funded status of postretirement benefits are recognized through comprehensive income in the year in which changes occur. | |
Compensation expense for ESOP is recorded at an amount equal to the shares allocated by the ESOP multiplied by the average fair market value of the shares during the year. The Company recognizes compensation expense ratably over the year based upon the Company's estimate of the number of shares expected to be allocated by the ESOP. The difference between the average fair market value and the cost of the shares allocated by the ESOP is recorded as an adjustment to additional paid-in capital. | |
The fair value of restricted common stock awards and stock option grants is determined as of the grant date and is recorded as compensation expense over the period in which the shares of restricted common stock awards and stock options vest. Forfeitures are estimated in determining compensation expense. | |
Fair Value Measurements | |
ASC 820-10, "Fair Value Measurements and Disclosures," defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability is not adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities. It is not a forced transaction. Market participants are buyers and sellers in the principal market that are independent, knowledgeable, able to transact and willing to transact. | |
A fair-value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs are included in ASC 820. The fair value hierarchy is as follows: | |
Level 1: Inputs are unadjusted quoted prices in active markets for assets and liabilities identical to those reported at fair value. | |
Level 2: Inputs other than quoted prices included within Level 1. Level 2 inputs are observable either directly or indirectly. These inputs might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by market data by correlation or other means. | |
Level 3: Inputs are unobservable inputs for an asset or liability that reflect an entity's own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. These inputs are used to determine fair value only when observable inputs are not available. | |
Earnings per Common Share | |
Basic earnings per share ("EPS") is computed by dividing net income by the weighted average number of shares of common stock outstanding for the applicable period, exclusive of Treasury shares, unearned ESOP shares and unvested restricted shares. Diluted EPS is calculated after adjusting the denominator of the basic EPS calculation for the effect of all potential dilutive common shares outstanding during the period. The dilutive effects of options and unvested restricted stock awards are computed using the "treasury stock" method. Management evaluated the "two class" method and concluded that the method did not apply to the Company's EPS calculation. | |
Income Taxes | |
Income taxes are accounted for under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. | |
Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | |
Tax positions that are more likely than not to be sustained upon a tax examination are recognized in the Company's financial statements to the extent that the benefit is greater than 50% likely of being recognized. Interest resulting from underpayment of income taxes is classified as income tax expense in the first period the interest would begin accruing according to the provision of the relevant tax law. Penalties resulting from underpayment of income taxes are classified as income tax expense in the period for which the Company claims or expects to claim an uncertain tax position or in the period in which the Company's judgment changes regarding an uncertain tax position. | |
Tax credits generated from the refurbishment of the corporate headquarters and investments in affordable housing projects are reflected in earnings when realized for federal income tax purposes. | |
Treasury Stock | |
Shares repurchased under the Company's share repurchase programs were purchased in open-market transactions and are held as treasury stock. Treasury stock also consists of common stock withheld to satisfy federal, state and local income tax withholding requirements for vested employee restricted stock awards. All treasury stock is held at cost. | |
Segment Reporting | |
An operating segment is defined as a component of a business for which separate financial information is available that is evaluated regularly by the chief operating decision-maker in deciding how to allocate resources and evaluate performance. The Company is a bank holding company with subsidiaries engaged in the business of banking and activities closely related to banking. The Company's banking business provided substantially all of its total revenues and pre-tax income in 2014, 2013 and 2012. Therefore, the Company has determined there to be a single segment. | |
Recent Accounting Pronouncements | |
In August 2014, the FASB issued Accounting Standards Update ("ASU") 2014-15, Disclosures of Uncertainties About an Entity’s Ability to Continue as a Going Concern. This ASU provides guidance on determining when and how reporting entities must disclose going concern uncertainties in their financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements. Further, an entity must provide certain disclosures if there is “substantial doubt about the entity’s ability to continue as a going concern.” The ASU is effective for interim and annual periods beginning after December 15, 2016; early application is permitted. The Company has chosen not to early adopt ASU 2014-15. Management does not expect material impact, if any, as of December 31, 2014. | |
In May 2014, the FASB issued ASU 2014-09, Revenue From Contracts with Customers. This ASU provides a single principles-based, five-step model to be applied to all contracts with customers. The ASU applies to all contracts with customers except those that are within the scope of other topics in the FASB Accounting Standards Codification. The ASU is effective for annual periods (including interim reporting periods within those periods) beginning after December 15, 2016; early application is not permitted. The Company is currently assessing the applicability of this ASU and has not determined the impact, if any, as of December 31, 2014. | |
In January 2014, the FASB issued ASU 2014-04, Receivables-Troubled Debt Restructurings by Creditors. This ASU provides clarification on when an in substance repossession or foreclosure occurs resulting in the creditor derecognizing the loan and recognizing the collateral. Currently, there is no definition of in substance repossession or foreclosure and physical possession in the accounting literature. This ASU is applied retrospectively or effective prospectively for all annual periods presented beginning after December 15, 2014; early adoption is permitted. The Company has adopted ASU 2014-04 as of January 2015 and has determined the impact to be immaterial to the financial statements. | |
In January 2014, the FASB issued ASU 2014-01, Accounting for Investments in Qualified Affordable Housing Projects. This ASU provides guidance on accounting for investments by a reporting entity in flow-through limited liability entities. Currently, investments in qualified affordable housing projects are accounted for either by the effective yield, equity or cost method. This ASU allows for reporting entities to make a policy election on how to account for their investments. This ASU is applied retrospectively or effective prospectively for all annual periods presented beginning after December 15, 2014; early adoption is permitted. The Company has adopted ASU 2014-01 as of January 2015 and has determined the impact to be immaterial to the financial statements. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions |
Bancorp Rhode Island, Inc. | |
On January 1, 2012 (the "BankRI Acquisition Date"), the Company acquired all the assets and liabilities of Bancorp Rhode Island, Inc., the bank holding company for BankRI. As part of the acquisition, Bancorp Rhode Island, Inc. was merged into the Company and no longer exists as a separate entity. BankRI, a commercial bank with 19 branches serving businesses and individuals in Rhode Island and Massachusetts, continues to operate as a separate bank subsidiary of the Company. | |
Total consideration paid in the acquisition was $205.8 million, which consisted of approximately 11 million shares of stock with a total par value of approximately $0.1 million and a fair value of $92.8 million and $113.0 million in cash. Stock consideration was paid at the rate of 4.686 shares of Brookline Bancorp common stock per share of Bancorp Rhode Island, Inc. common stock. The assets acquired and the liabilities assumed in the acquisition were recorded by the Company at their estimated fair values as of the BankRI Acquisition Date. |
Cash_and_ShortTerm_Investments
Cash and Short-Term Investments | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Cash and Cash Equivalents [Abstract] | ||||||||
Cash and Short-Term Investments | Cash and Short-Term Investments | |||||||
Banks are required to maintain average reserve balances with the Federal Reserve Bank based upon a percentage of certain of the Banks' deposits. As of December 31, 2014 and 2013, the average amount required to be held was $7.4 million and $5.3 million, respectively. Aggregate reserve balances included in cash and cash equivalents were $33.6 million and $54.2 million, respectively, at December 31, 2014 and 2013. | ||||||||
Short-term investments are summarized as follows: | ||||||||
At December 31, | ||||||||
2014 | 2013 | |||||||
(In Thousands) | ||||||||
FRB interest bearing reserve | $ | 19,789 | $ | 41,396 | ||||
FHLB overnight deposits | 5,708 | 12,714 | ||||||
Federal funds sold | 322 | 1,237 | ||||||
Other interest bearing deposits | 11 | 10 | ||||||
Total short-term investments | $ | 25,830 | $ | 55,357 | ||||
Short-term investments are stated at cost which approximates market value. Money market funds are invested in mutual funds whose assets are comprised primarily of U.S. Treasury obligations, commercial paper and certificates of deposit with maturities of 90 days or less. |
Investment_Securities
Investment Securities | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||||||
Investment Securities | Investment Securities | |||||||||||||||||||||||
The following tables set forth investment securities available-for-sale and held-to-maturity at the dates indicated: | ||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | |||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSEs | $ | 22,929 | $ | 88 | $ | 29 | $ | 22,988 | ||||||||||||||||
GSE CMOs | 238,910 | 80 | 4,821 | 234,169 | ||||||||||||||||||||
GSE MBSs | 249,329 | 2,531 | 879 | 250,981 | ||||||||||||||||||||
SBA commercial loan asset-backed securities | 205 | — | 2 | 203 | ||||||||||||||||||||
Corporate debt obligations | 39,805 | 403 | 1 | 40,207 | ||||||||||||||||||||
Trust preferred securities | 1,463 | — | 223 | 1,240 | ||||||||||||||||||||
Total debt securities | 552,641 | 3,102 | 5,955 | 549,788 | ||||||||||||||||||||
Marketable equity securities | 947 | 26 | — | 973 | ||||||||||||||||||||
Total investment securities available-for-sale | $ | 553,588 | $ | 3,128 | $ | 5,955 | $ | 550,761 | ||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | |||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSEs | $ | 12,138 | $ | 42 | $ | — | $ | 12,180 | ||||||||||||||||
GSE CMOs | 254,331 | 86 | 10,773 | 243,644 | ||||||||||||||||||||
GSE MBSs | 202,478 | 1,852 | 4,929 | 199,401 | ||||||||||||||||||||
Private-label CMOs | 3,258 | 115 | 18 | 3,355 | ||||||||||||||||||||
SBA commercial loan asset-backed securities | 245 | — | 2 | 243 | ||||||||||||||||||||
Auction-rate municipal obligations | 1,900 | — | 125 | 1,775 | ||||||||||||||||||||
Municipal obligations | 1,068 | 18 | — | 1,086 | ||||||||||||||||||||
Corporate debt obligations | 27,751 | 506 | 33 | 28,224 | ||||||||||||||||||||
Trust preferred securities and pools | 1,461 | — | 251 | 1,210 | ||||||||||||||||||||
Total debt securities | 504,630 | 2,619 | 16,131 | 491,118 | ||||||||||||||||||||
Marketable equity securities | 1,259 | 61 | 10 | 1,310 | ||||||||||||||||||||
Total investment securities available-for-sale | $ | 505,889 | $ | 2,680 | $ | 16,141 | $ | 492,428 | ||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||||||||
At December 31, 2014, the fair value of all securities available-for-sale was $550.8 million and carried a total of $2.8 million of net unrealized losses, compared to a fair value of $492.4 million and a net unrealized loss of $13.5 million at December 31, 2013. At December 31, 2014, $335.7 million, or 60.9%, of the portfolio, had gross unrealized losses of $6.0 million. This compares to 383.3 million, or 77.8%, of the portfolio with gross unrealized losses of $16.1 million at December 31, 2013. The decrease in the unrealized loss position in 2014 was primarily driven by decreasing interest rates during the year. | ||||||||||||||||||||||||
Investment Securities as Collateral | ||||||||||||||||||||||||
At December 31, 2014 and 2013, respectively, $473.1 million and $402.5 million of investment securities available-for-sale were pledged as collateral for repurchase agreements; municipal deposits; treasury, tax and loan deposits; swap agreements; and FHLBB borrowings. The Banks did not have any outstanding FRB borrowings at December 31, 2014 and 2013. | ||||||||||||||||||||||||
Other-Than-Temporary Impairment ("OTTI") | ||||||||||||||||||||||||
Investment securities at December 31, 2014 and 2013 that have been in a continuous unrealized loss position for less than twelve months or twelve months or longer are as follows: | ||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||
Less than | Twelve Months | Total | ||||||||||||||||||||||
Twelve Months | or Longer | |||||||||||||||||||||||
Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSEs | $ | 11,086 | $ | 29 | $ | — | $ | — | $ | 11,086 | $ | 29 | ||||||||||||
GSE CMOs | 39,095 | 179 | 190,345 | 4,642 | 229,440 | 4,821 | ||||||||||||||||||
GSE MBSs | 50,099 | 84 | 39,555 | 795 | 89,654 | 879 | ||||||||||||||||||
SBA commercial loan asset-backed securities | 8 | — | 186 | 2 | 194 | 2 | ||||||||||||||||||
Corporate debt obligations | 4,069 | 1 | — | — | 4,069 | 1 | ||||||||||||||||||
Trust preferred securities | — | — | 1,240 | 223 | 1,240 | 223 | ||||||||||||||||||
Temporarily impaired debt securities | 104,357 | 293 | 231,326 | 5,662 | 335,683 | 5,955 | ||||||||||||||||||
Marketable equity securities | — | — | — | — | — | — | ||||||||||||||||||
Total temporarily impaired securities | $ | 104,357 | $ | 293 | $ | 231,326 | $ | 5,662 | $ | 335,683 | $ | 5,955 | ||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||
Less than | Twelve Months | Total | ||||||||||||||||||||||
Twelve Months | or Longer | |||||||||||||||||||||||
Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSE CMOs | $ | 221,317 | $ | 9,861 | $ | 16,257 | $ | 912 | $ | 237,574 | $ | 10,773 | ||||||||||||
GSE MBSs | 121,836 | 3,746 | 13,516 | 1,183 | 135,352 | 4,929 | ||||||||||||||||||
Private-label CMOs | 639 | 18 | — | — | 639 | 18 | ||||||||||||||||||
SBA commercial loan asset-backed securities | 32 | — | 192 | 2 | 224 | 2 | ||||||||||||||||||
Auction-rate municipal obligations | — | — | 1,775 | 125 | 1,775 | 125 | ||||||||||||||||||
Corporate debt obligations | 5,988 | 33 | — | — | 5,988 | 33 | ||||||||||||||||||
Trust preferred securities and pools | — | — | 1,210 | 251 | 1,210 | 251 | ||||||||||||||||||
Temporarily impaired debt securities | 349,812 | 13,658 | 32,950 | 2,473 | 382,762 | 16,131 | ||||||||||||||||||
Marketable equity securities | 501 | 10 | — | — | 501 | 10 | ||||||||||||||||||
Total temporarily impaired securities | $ | 350,313 | $ | 13,668 | $ | 32,950 | $ | 2,473 | $ | 383,263 | $ | 16,141 | ||||||||||||
The Company performs regular analysis on the investment securities available-for-sale portfolio to determine whether a decline in fair value indicates that an investment security is OTTI. In making these OTTI determinations, management considers, among other factors, the length of time and extent to which the fair value has been less than amortized cost; projected future cash flows; credit subordination and the creditworthiness; capital adequacy and near-term prospects of the issuers. | ||||||||||||||||||||||||
Management also considers the Company's capital adequacy, interest-rate risk, liquidity and business plans in assessing whether it is more likely than not that the Company will sell or be required to sell the investment securities before recovery. If the Company determines that a decline in fair value is OTTI and that it is more likely than not that the Company will not sell or be required to sell the investment security before recovery of its amortized cost, the credit portion of the impairment loss is recognized in the Company's consolidated statement of income and the noncredit portion is recognized in accumulated other comprehensive income. The credit portion of the OTTI impairment represents the difference between the amortized cost and the present value of the expected future cash flows of the investment security. If the Company determines that a decline in fair value is OTTI and it is more likely than not that it will sell or be required to sell the investment security before recovery of its amortized cost, the entire difference between the amortized cost and the fair value of the security will be recognized in the Company's consolidated statement of income. | ||||||||||||||||||||||||
At December 31, 2014, it is more likely than not that the Company will not sell or be required to sell the investment securities before recovery of its amortized cost. The Company's ability and intent to hold these investment securities until recovery is supported by the Company's strong capital and liquidity positions as well as its historically low portfolio turnover. As such, Management has determined that the investment securities are not OTTI at December 31, 2014. If market conditions for investment securities worsen or the creditworthiness of the underlying issuers deteriorates, it is possible that the Company may recognize additional OTTI in future periods. | ||||||||||||||||||||||||
Debt Securities | ||||||||||||||||||||||||
U.S. Government-Sponsored Enterprises | ||||||||||||||||||||||||
The Company invests in securities issued by U.S. Government-sponsored enterprises ("GSEs"), including GSE debt securities, mortgage-backed securities ("MBSs"), and collateralized mortgage obligations ("CMOs"). GSE securities include obligations issued by the Federal National Mortgage Association ("FNMA"), the Federal Home Loan Mortgage Corporation ("FHLMC"), the Government National Mortgage Association ("GNMA"), the Federal Home Loan Banks and the Federal Farm Credit Bank. At December 31, 2014, only GNMA MBSs and CMOs, and Small Business Administration ("SBA") commercial loan asset-backed securities with an estimated fair value of $26.2 million were backed explicitly by the full faith and credit of the U.S. Government, compared to $18.9 million at December 31, 2013. | ||||||||||||||||||||||||
At December 31, 2014, the Company held GSE debentures with a total fair value of $23.0 million, which approximated amortized cost. At December 31, 2013, the Company held GSE debentures with a total fair value of $12.2 million, which approximated amortized cost. At December 31, 2014, four of the eight securities in this portfolio were in unrealized loss positions. At December 31, 2013, none of the five securities in this portfolio were in unrealized loss positions. All securities are performing and backed by the implicit (FHLB/FNMA/FHLMC) or explicit (GNMA/SBA) guarantee of the U.S Government. During the year ended December 31, 2014, the Company purchased a total of $21.0 million GSE debentures to reinvest cash from matured securities. The Company did not purchase any GSE debentures in the same period in 2013. | ||||||||||||||||||||||||
As of December 31, 2014, the Company held GSE mortgage-related securities with a total fair value of $485.2 million and a net unrealized loss of $3.1 million. This compares to a total fair value of $443.0 million and a net unrealized loss of $13.8 million at December 31, 2013. At December 31, 2014, 79 of the 250 securities in this portfolio were in unrealized loss positions. At December 31, 2013, 86 of the 232 securities in this portfolio were in unrealized loss positions. All securities are performing and backed by the implicit (FHLB/FNMA/FHLMC) or explicit (GNMA) guarantee of the U.S Government. During the years ended December 31, 2014 and 2013, the Company purchased a total of $106.9 million and $149.5 million, respectively, in GSE CMOs and GSE MBSs to reinvest cash from matured securities. | ||||||||||||||||||||||||
SBA Commercial Loan Asset-Backed | ||||||||||||||||||||||||
At both December 31, 2014 and December 31, 2013, the Company held SBA securities with a total fair value of $0.2 million, which approximated amortized cost. At December 31, 2014, seven of the eight securities in this portfolio were in unrealized loss positions. At December 31, 2013, seven of the nine securities in this portfolio were in unrealized loss positions. All securities are performing and backed by the explicit (SBA) guarantee of the U.S Government. | ||||||||||||||||||||||||
Private-Label CMOs | ||||||||||||||||||||||||
At December 31, 2014, the Company held no private-issuer CMO-related securities. All private-label CMOs were sold during the second quarter of 2014. At December 31, 2013, the Company held private-issuer CMO-related securities with a total fair value of $3.4 million and a net unrealized gain of $0.1 million. At December 31, 2013, two of the eleven securities in this portfolio were in unrealized loss positions. | ||||||||||||||||||||||||
Auction-Rate Municipal Obligations and Municipal Obligations | ||||||||||||||||||||||||
The auction-rate obligations owned by the Company were rated "AAA" at the time of acquisition due, in part, to the guarantee of third-party insurers who would have to pay the obligations if the issuers failed to pay the obligations when they become due. During the financial crisis, certain third-party insurers experienced financial difficulties and were not able to meet their contractual obligations. As a result, auctions failed to attract a sufficient number of investors and created a liquidity problem for those investors who were relying on the obligations to be redeemed at auction. Since then, there has not been an active market for auction-rate municipal obligations. | ||||||||||||||||||||||||
At December 31, 2014, the company held no auction-rate municipal obligations. All auction-rate municipal obligations were sold during the second quarter of 2014. This compares to $1.8 million, with a corresponding net unrealized loss of $0.1 million at December 31, 2013. At December 31, 2013, all of the securities in this portfolio were in unrealized loss positions. | ||||||||||||||||||||||||
The Company owns no municipal obligations at December 31, 2014. All municipal obligations were sold during the second quarter of 2014. This compares to a total fair value of $1.1 million which also approximates amortized cost at December 31, 2013. At December 31, 2013, there were no securities in this portfolio were in unrealized loss positions. | ||||||||||||||||||||||||
Corporate Obligations | ||||||||||||||||||||||||
From time to time, the Company will invest in high-quality corporate obligations to provide portfolio diversification and improve the overall yield on the portfolio. The Company owned thirteen corporate obligation securities with a total fair value of $40.2 million and total net unrealized gains of $0.4 million as of December 31, 2014. This compares to eleven corporate obligation securities with a total fair value of $28.2 million and total net unrealized gains of $0.5 million at December 31, 2013. At December 31, 2014, all of the securities are investment grade. At December 31, 2013, all but one of the securities are investment grade and this security was in an unrealized gain position. At December 31, 2014, one of the thirteen securities in this portfolio are in an unrealized loss position. At December 31, 2013, two of the eleven securities in this portfolio were in unrealized loss positions. Full collection of the obligations is expected because the financial condition of the issuers is sound, none of the issuers has defaulted on scheduled payments, the obligations are rated investment grade and the Company has the ability and intent to hold the obligations for a period of time to recover the unrealized losses. During the year ended December 31, 2014, the Company purchased $12.0 million in corporate obligations compared to $21.7 million in the same period in 2013. | ||||||||||||||||||||||||
Trust Preferred Securities | ||||||||||||||||||||||||
Trust preferred securities represent subordinated debt issued by financial institutions. At December 31, 2014, the Company owned two trust preferred securities with a total fair value of $1.2 million and a total net unrealized loss of $0.2 million. This compares to two trust preferred securities with a total fair value of $1.2 million and a total net unrealized loss of $0.3 million at December 31, 2013. At December 31, 2014 and 2013, both of the securities in this portfolio were in unrealized loss positions. Full collection of the obligations is expected because the financial condition of the issuers is sound, none of the | ||||||||||||||||||||||||
issuers has defaulted on scheduled payments, the obligations are rated investment grade and the Company has the ability and | ||||||||||||||||||||||||
intent to hold the obligations for a period of time to recover the amortized cost. | ||||||||||||||||||||||||
Marketable Equity Securities | ||||||||||||||||||||||||
At December 31, 2014, the Company owned marketable equity securities with a fair value of $1.0 million, which approximated amortized cost, compared to a fair value of $1.3 million, and an unrealized gain of $0.1 million at December 31, 2013. At December 31, 2014, none of the four securities in this portfolio was in an unrealized loss position. At December 31, 2013, one of the four securities in this portfolio were in an unrealized loss position. | ||||||||||||||||||||||||
Investment Securities Held-to-Maturity | ||||||||||||||||||||||||
At December 31, 2014, the Company owned an investment security held-to-maturity with a carrying value of $0.5 million and a fair value of $0.5 million. This security matures in March, 2016 and carries an interest rate payable of 1.3%. | ||||||||||||||||||||||||
Portfolio Maturities | ||||||||||||||||||||||||
The maturities of the debt securities are as follows at the dates indicated: | ||||||||||||||||||||||||
At December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Amortized | Estimated | Weighted | Amortized | Estimated | Weighted | |||||||||||||||||||
Cost | Fair Value | Average | Cost | Fair Value | Average | |||||||||||||||||||
Rate | Rate | |||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||||||
Within 1 year | $ | 3,057 | $ | 3,081 | 3 | % | $ | 13,012 | $ | 13,062 | 0.82 | % | ||||||||||||
After 1 year through 5 years | 55,631 | 56,586 | 2.48 | % | 40,204 | 41,187 | 2.9 | % | ||||||||||||||||
After 5 years through 10 years | 103,268 | 104,208 | 2 | % | 66,447 | 67,075 | 2.23 | % | ||||||||||||||||
Over 10 years | 390,685 | 385,913 | 1.91 | % | 384,967 | 369,794 | 1.9 | % | ||||||||||||||||
$ | 552,641 | $ | 549,788 | 1.99 | % | $ | 504,630 | $ | 491,118 | 2 | % | |||||||||||||
Investment securities held-to-maturity: | ||||||||||||||||||||||||
Within 1 year | $ | — | $ | — | — | % | $ | 500 | $ | 500 | 1.99 | % | ||||||||||||
After 1 year through 5 years | 500 | 500 | 1.3 | % | — | — | — | % | ||||||||||||||||
$ | 500 | $ | 500 | — | % | $ | 500 | $ | 500 | 1.99 | % | |||||||||||||
Actual maturities of debt securities may differ from those presented above since certain obligations provide the issuer the right to call or prepay the obligation prior to scheduled maturity without penalty. At December 31, 2014, issuers of debt securities with an estimated fair value of $16.1 million had the right to call or prepay the obligations. Of the $16.1 million, approximately $5.0 million matures in 1 - 5 years, $9.9 million matures in 6 - 10 years and $1.2 million matures after 10 years. At December 31, 2013, issuers of debt securities with an estimated fair value of approximately $3.7 million had the right to call or prepay the obligations. Of the $3.7 million, $0.7 million matures in less than one year and $3.0 million matures after 10 years. MBSs and CMOs are included above based on their contractual maturities; the remaining lives, however, are expected to be shorter due to anticipated payments. | ||||||||||||||||||||||||
Security Sales | ||||||||||||||||||||||||
Sales of investment securities are summarized as follows: | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Sales of debt securities | $ | 5,084 | $ | 1,210 | $ | 166,201 | ||||||||||||||||||
Sales of marketable equity securities | 401 | — | — | |||||||||||||||||||||
Gross gains from sales | 380 | 626 | 1,093 | |||||||||||||||||||||
Gross losses from sales | 315 | 229 | 167 | |||||||||||||||||||||
Gain on sales of securities, net | 65 | 397 | 926 | |||||||||||||||||||||
Security transactions are recorded on the trade date. When securities are sold, the adjusted cost of the specific security sold is used to compute the gain or loss on the sale. |
Restricted_Equity_Securities
Restricted Equity Securities | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Restricted Investments Note [Abstract] | ||||||||
Restricted Equity Securities | Restricted Equity Securities | |||||||
Investments in the restricted equity securities of various entities are as follows: | ||||||||
At December 31, | ||||||||
2014 | 2013 | |||||||
(In Thousands) | ||||||||
FHLBB stock | $ | 58,326 | $ | 50,081 | ||||
Federal Reserve Bank of Boston stock | 16,003 | 16,003 | ||||||
Other restricted equity securities | 475 | 475 | ||||||
$ | 74,804 | $ | 66,559 | |||||
The Company invests in the stock of FHLBB as one of the requirements to borrow. At December 31, 2014 and 2013, FHLBB stock is recorded at its carrying value, which is equal to cost and which management believes approximates its fair value. The FHLBB was classified as "adequately capitalized" by its regulator at December 31, 2014, effected the repurchase of $500 million of capital stock during 2014 and paid a stable dividend of 149 basis points during 2014. At December 31, 2014, the Company's investment in FHLBB stock exceeded its required investment which provides for additional borrowing capacity. | ||||||||
The FHLBB has announced its intent to declare modest dividends throughout 2015, but cautioned that should adverse events occur, such as a negative trend in credit losses on the FHLBB's private-label MBSs or its mortgage portfolio, a meaningful decline in income or regulatory disapproval, dividends could be suspended. | ||||||||
The Company invests in the stock of the Federal Reserve Bank of Boston as required by its subsidiary Banks' membership in the Federal Reserve system. At December 31, 2014 and 2013, Federal Reserve Bank of Boston stock is recorded at its carrying value, which is equal to cost and which management believes approximates its fair value. |
Loans_and_Leases
Loans and Leases | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||
Loans and Leases | Loans and Leases | ||||||||||||||||||||
The following tables present loan and lease balances and weighted average coupon rates for the originated and acquired loan and lease portfolios at the dates indicated: | |||||||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||
Originated | Acquired | Total | |||||||||||||||||||
Balance | Weighted | Balance | Weighted | Balance | Weighted | ||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Coupon | Coupon | Coupon | |||||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||||||
Commercial real estate loans: | |||||||||||||||||||||
Commercial real estate mortgage | $ | 1,425,621 | 4.18 | % | $ | 254,461 | 4.29 | % | $ | 1,680,082 | 4.2 | % | |||||||||
Multi-family mortgage | 576,214 | 4.11 | % | 63,492 | 4.5 | % | 639,706 | 4.15 | % | ||||||||||||
Construction | 146,074 | 3.79 | % | 1,939 | 5.5 | % | 148,013 | 3.81 | % | ||||||||||||
Total commercial real estate loans | 2,147,909 | 4.13 | % | 319,892 | 4.34 | % | 2,467,801 | 4.16 | % | ||||||||||||
Commercial loans and leases: | |||||||||||||||||||||
Commercial | 462,730 | 3.88 | % | 51,347 | 4.14 | % | 514,077 | 3.91 | % | ||||||||||||
Equipment financing | 587,496 | 6.92 | % | 13,928 | 6.22 | % | 601,424 | 6.9 | % | ||||||||||||
Condominium association | 51,593 | 4.6 | % | — | — | 51,593 | 4.6 | % | |||||||||||||
Total commercial loans and leases | 1,101,819 | 5.53 | % | 65,275 | 4.58 | % | 1,167,094 | 5.48 | % | ||||||||||||
Indirect automobile loans | 316,987 | 4.47 | % | — | — | 316,987 | 4.47 | % | |||||||||||||
Consumer loans: | |||||||||||||||||||||
Residential mortgage | 472,078 | 3.6 | % | 99,842 | 3.77 | % | 571,920 | 3.63 | % | ||||||||||||
Home equity | 181,580 | 3.35 | % | 105,478 | 3.85 | % | 287,058 | 3.53 | % | ||||||||||||
Other consumer | 11,580 | 5.13 | % | 167 | 16.35 | % | 11,747 | 5.29 | % | ||||||||||||
Total consumer loans | 665,238 | 3.56 | % | 205,487 | 3.82 | % | 870,725 | 3.62 | % | ||||||||||||
Total loans and leases | $ | 4,231,953 | 4.43 | % | $ | 590,654 | 4.19 | % | $ | 4,822,607 | 4.4 | % | |||||||||
At December 31, 2013 | |||||||||||||||||||||
Originated | Acquired | Total | |||||||||||||||||||
Balance | Weighted | Balance | Weighted | Balance | Weighted | ||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Coupon | Coupon | Coupon | |||||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||||||
Commercial real estate loans: | |||||||||||||||||||||
Commercial real estate mortgage | $ | 1,111,750 | 4.34 | % | $ | 350,235 | 4.42 | % | $ | 1,461,985 | 4.36 | % | |||||||||
Multi-family mortgage | 554,555 | 4.19 | % | 73,378 | 4.63 | % | 627,933 | 4.24 | % | ||||||||||||
Construction | 102,927 | 3.81 | % | 10,778 | 4.37 | % | 113,705 | 3.87 | % | ||||||||||||
Total commercial real estate loans | 1,769,232 | 4.26 | % | 434,391 | 4.46 | % | 2,203,623 | 4.3 | % | ||||||||||||
Commercial loans and leases: | |||||||||||||||||||||
Commercial | 297,684 | 3.68 | % | 110,108 | 4.54 | % | 407,792 | 3.91 | % | ||||||||||||
Equipment financing | 485,330 | 7.14 | % | 27,694 | 6.6 | % | 513,024 | 7.11 | % | ||||||||||||
Condominium association | 44,794 | 4.74 | % | — | — | 44,794 | 4.74 | % | |||||||||||||
Total commercial loans and leases | 827,808 | 5.77 | % | 137,802 | 4.95 | % | 965,610 | 5.65 | % | ||||||||||||
Indirect automobile loans | 400,531 | 4.98 | % | — | — | 400,531 | 4.98 | % | |||||||||||||
Consumer loans: | |||||||||||||||||||||
Residential mortgage | 411,554 | 3.65 | % | 116,631 | 3.93 | % | 528,185 | 3.71 | % | ||||||||||||
Home equity | 132,396 | 3.39 | % | 125,065 | 3.88 | % | 257,461 | 3.63 | % | ||||||||||||
Other consumer | 5,532 | 5.98 | % | 1,523 | 14.89 | % | 7,055 | 7.9 | % | ||||||||||||
Total consumer loans | 549,482 | 3.61 | % | 243,219 | 3.98 | % | 792,701 | 3.72 | % | ||||||||||||
Total loans and leases | $ | 3,547,053 | 4.59 | % | $ | 815,412 | 4.38 | % | $ | 4,362,465 | 4.55 | % | |||||||||
The Company's lends primarily in the eastern half of Massachusetts, southern New Hampshire and Rhode Island, with the exception of equipment financing, 35.9% of which is in the greater New York/New Jersey metropolitan area and 64.1% of which is in other areas in the United States of America at December 31, 2014, as compared to 38.2% of which is in the greater New York/New Jersey metropolitan area and 61.8% of which is in other areas in the United States of America at December 31, 2013. | |||||||||||||||||||||
For the year ended December 31, 2014, the Company sold $34.7 million of loans and leases held-for-sale and recorded a gain of $1.5 million. For the year ended December 31, 2013, the Company sold $56.3 million of loans and leases held-for-sale and recorded a gain of $0.6 million. Gains on sales of loans and leases held-for-sale were recorded as non-interest income in the Company's consolidated statements of income. | |||||||||||||||||||||
Accretable Yield for the Acquired Loan Portfolio | |||||||||||||||||||||
The following table summarizes activity in the accretable yield for the acquired loan portfolio for the periods indicated: | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Balance at beginning of year | $ | 45,789 | $ | 57,812 | $ | (1,369 | ) | ||||||||||||||
Acquisitions | — | — | 81,503 | ||||||||||||||||||
Reclassification from nonaccretable difference for loans with improved cash flows | 2,060 | 8,477 | 1,550 | ||||||||||||||||||
Accretion | (15,805 | ) | (20,500 | ) | (23,872 | ) | |||||||||||||||
Balance at end of year | $ | 32,044 | $ | 45,789 | $ | 57,812 | |||||||||||||||
On a quarterly basis, subsequent to acquisition, management reforecasts the expected cash flows for acquired ASC 310-30 loans, taking into account prepayment speeds, probability of default and loss given defaults. Management compares cash flow projections per the reforecast to the original cash flow projections and determines whether any reduction in cash flow expectations are due to deterioration, or if the change in cash flow is related to noncredit events. This cash flow analysis is used to evaluate the need for a loan loss provision and/or prospective yield adjustments. During the years ended December 31, 2014 and 2013, accretable yield adjustments totaling $2.1 million and $8.5 million, respectively, were made for certain loan pools. These accretable yield adjustments, which are subject to continued re-assessment, will be recognized over the remaining lives of those pools. | |||||||||||||||||||||
The aggregate remaining nonaccretable difference (representing both principal and interest) applicable to acquired loans totaled $3.6 million and $6.1 million at December 31, 2014 and 2013, respectively. | |||||||||||||||||||||
Related Party Loans | |||||||||||||||||||||
The Banks' authority to extend credit to their respective directors and executive officers, as well as to entities controlled by such persons, is currently governed by the requirements of the Sarbanes-Oxley Act and Regulation O of the FRB. Among other things, these provisions require that extensions of credit to insiders (1) be made on terms that are substantially the same as, and follow credit underwriting procedures that are not less stringent than, those prevailing for comparable transactions with unaffiliated persons and that do not involve more than the normal risk of repayment or present other unfavorable features; and (2) not exceed certain limitations on the amount of credit extended to such persons, individually and in the aggregate, which limits are based, in part, on the amount of the Banks' capital. In addition, the extensions of credit to insiders must be approved by the applicable Bank's Board of Directors. | |||||||||||||||||||||
The following table summarizes the change in the total amounts of loans and advances, to directors, executive officers and their affiliates for the periods indicated. All loans were performing at December 31, 2014. | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Balance at beginning of year | $ | 4,783 | $ | 4,083 | |||||||||||||||||
New loans granted during the year | 2,375 | 365 | |||||||||||||||||||
Advances on lines of credit | 1,787 | 1,370 | |||||||||||||||||||
Repayments | (182 | ) | (1,035 | ) | |||||||||||||||||
Loan no longer classified as an insider loan | (189 | ) | — | ||||||||||||||||||
Balance at end of year | $ | 8,574 | $ | 4,783 | |||||||||||||||||
Unfunded commitments on extensions of credit to insiders totaled $7.7 million and $11.7 million at December 31, 2014 and 2013, respectively. | |||||||||||||||||||||
Loans and Leases Pledged as Collateral | |||||||||||||||||||||
At December 31, 2014 and 2013, there were $1.6 billion and $1.2 billion, respectively, of loans and leases pledged as collateral for repurchase agreements; municipal deposits; treasury, tax and loan deposits; swap agreements; and FHLBB borrowings. The Banks did not have any outstanding FRB borrowings at December 31, 2014 and 2013. |
Allowance_for_Loan_and_Lease_L
Allowance for Loan and Lease Losses | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | ||||||||||||||||||||||||||||||||||||
Allowance for Loan and Lease Losses | Allowance for Loan and Lease Losses | |||||||||||||||||||||||||||||||||||
The following tables present the changes in the allowance for loan and lease losses and the recorded investment in loans and leases by portfolio segment for the periods indicated: | ||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Commercial | Commercial | Indirect | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
Real Estate | Automobile | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 23,022 | $ | 15,220 | $ | 3,924 | $ | 3,375 | $ | 2,932 | $ | 48,473 | ||||||||||||||||||||||||
Charge-offs | (130 | ) | (2,507 | ) | (1,163 | ) | (650 | ) | — | (4,450 | ) | |||||||||||||||||||||||||
Recoveries | 4 | 801 | 434 | 158 | — | 1,397 | ||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses | 6,698 | 2,443 | (864 | ) | 476 | (514 | ) | 8,239 | ||||||||||||||||||||||||||||
Balance at December 31, 2014 | $ | 29,594 | $ | 15,957 | $ | 2,331 | $ | 3,359 | $ | 2,418 | $ | 53,659 | ||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Commercial | Commercial | Indirect | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
Real Estate | Automobile | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 20,018 | $ | 10,655 | $ | 5,304 | $ | 2,545 | $ | 2,630 | $ | 41,152 | ||||||||||||||||||||||||
Charge-offs | (88 | ) | (2,077 | ) | (1,714 | ) | (909 | ) | — | (4,788 | ) | |||||||||||||||||||||||||
Recoveries | 13 | 657 | 501 | 263 | — | 1,434 | ||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses | 3,079 | 5,985 | (167 | ) | 1,476 | 302 | 10,675 | |||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 23,022 | $ | 15,220 | $ | 3,924 | $ | 3,375 | $ | 2,932 | $ | 48,473 | ||||||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Commercial | Commercial | Indirect | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
Real Estate | Automobile | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 15,477 | $ | 5,997 | $ | 5,604 | $ | 1,577 | $ | 3,048 | $ | 31,703 | ||||||||||||||||||||||||
Charge-offs | — | (5,347 | ) | (2,153 | ) | (592 | ) | — | (8,092 | ) | ||||||||||||||||||||||||||
Recoveries | 118 | 417 | 969 | 26 | — | 1,530 | ||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses | 4,423 | 9,588 | 884 | 1,534 | (418 | ) | 16,011 | |||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 20,018 | $ | 10,655 | $ | 5,304 | $ | 2,545 | $ | 2,630 | $ | 41,152 | ||||||||||||||||||||||||
The liability for unfunded credit commitments, which is included in other liabilities, was $1.3 million, $1.0 million and $0.7 million at December 31, 2014, 2013 and 2012, respectively. The changes in the liability for unfunded credit commitments reflect changes in the estimate of loss exposure associated with certain unfunded credit commitments. No credit commitments were charged off against the liability account in the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||||
Provision for Credit Losses | ||||||||||||||||||||||||||||||||||||
The provisions for credit losses are set forth below for the periods indicated: | ||||||||||||||||||||||||||||||||||||
Originated | Acquired | Total | ||||||||||||||||||||||||||||||||||
Year Ended December 31, | Year Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 5,009 | $ | 2,563 | $ | 4,348 | $ | 1,689 | $ | 516 | $ | 75 | $ | 6,698 | $ | 3,079 | $ | 4,423 | ||||||||||||||||||
Commercial | 2,030 | 4,917 | 9,513 | 413 | 1,068 | 75 | 2,443 | 5,985 | 9,588 | |||||||||||||||||||||||||||
Indirect automobile | (864 | ) | (167 | ) | 884 | — | — | — | (864 | ) | (167 | ) | 884 | |||||||||||||||||||||||
Consumer | 417 | 286 | 1,534 | 59 | 1,190 | — | 476 | 1,476 | 1,534 | |||||||||||||||||||||||||||
Unallocated | (514 | ) | 302 | (418 | ) | — | — | — | (514 | ) | 302 | (418 | ) | |||||||||||||||||||||||
Total provision for loan and lease losses | 6,078 | 7,901 | 15,861 | 2,161 | 2,774 | 150 | 8,239 | 10,675 | 16,011 | |||||||||||||||||||||||||||
Unfunded credit commitments | 238 | 254 | (123 | ) | — | — | — | 238 | 254 | (123 | ) | |||||||||||||||||||||||||
Total provision for credit losses | $ | 6,316 | $ | 8,155 | $ | 15,738 | $ | 2,161 | $ | 2,774 | $ | 150 | $ | 8,477 | $ | 10,929 | $ | 15,888 | ||||||||||||||||||
Allowance for Loan and Lease Losses Methodology | ||||||||||||||||||||||||||||||||||||
Management has established a methodology to determine the adequacy of the allowance for loan and lease losses that assesses the risks and losses inherent in the loan and lease portfolio. Additions to the allowance for loan and lease losses are made by charges to the provision for credit losses. Losses on loans and leases are charged off against the allowance when all or a portion of a loan or lease is considered uncollectible. Subsequent recoveries on loans previously charged off, if any, are credited to the allowance when realized. | ||||||||||||||||||||||||||||||||||||
For purposes of determining the allowance for loan and lease losses, the Company has segmented certain loans and leases in the portfolio by product type into the following pools: (1) commercial real estate loans, (2) commercial loans and leases, (3) indirect automobile loans and (4) consumer loans. Portfolio segments are further disaggregated into classes based on the associated risks within the segments. Commercial real estate loans are divided into three classes: commercial real estate mortgage loans, multi-family mortgage loans and construction loans. Commercial loans and leases are divided into three classes: commercial loans, equipment financing, and loans to condominium associations. The indirect automobile loan segment is not divided into classes. Consumer loans are divided into three classes: residential mortgage loans, home equity loans and other consumer loans. For each class of loan, management makes significant judgments in selecting the estimation method that fits the credit characteristics of its class and portfolio segment as set forth below. Also refer to Note 1, "Basis of Presentation," in the consolidated financial statements for more information on the Company's allowance of loan and lease losses methodology. | ||||||||||||||||||||||||||||||||||||
General Allowance | ||||||||||||||||||||||||||||||||||||
The general allowance for loan and lease losses was $50.1 million at December 31, 2014, compared to $44.1 million at December 31, 2013. The general portion of the allowance for loan and lease losses increased by $6.0 million during the year ended December 31, 2014, as a result of growth in the commercial real estate and equipment financing portfolios partially offset by the decrease in the indirect auto portfolios. | ||||||||||||||||||||||||||||||||||||
Specific Allowance | ||||||||||||||||||||||||||||||||||||
The specific allowance for loan and lease losses was $1.2 million at December 31, 2014, compared to $1.5 million at December 31, 2013. The specific allowance decreased by $0.3 million during the year ended December 31, 2014, largely as a result of a improved credit quality and higher collateral value underlying those impaired loans and leases. | ||||||||||||||||||||||||||||||||||||
Unallocated Allowance | ||||||||||||||||||||||||||||||||||||
The unallocated allowance for loan and lease losses was $2.4 million at December 31, 2014, compared to $2.9 million at December 31, 2013. The unallocated portion of the allowance for loan and lease losses decreased by $0.5 million during the year ended December 31, 2014, largely as a result of improved credit quality and loss history. | ||||||||||||||||||||||||||||||||||||
Credit Quality Assessment | ||||||||||||||||||||||||||||||||||||
At the time of loan origination, a rating is assigned based on the financial strength of the borrower and the value of assets pledged as collateral. The Company continually monitors the asset quality of the loan portfolio using all available information. The officer responsible for handling each loan is required to initiate changes to risk ratings when changes in facts and circumstances occur that warrant an upgrade or downgrade in a loan rating. Based on this information, loans demonstrating certain payment issues or other weaknesses may be categorized as delinquent, impaired, nonperforming and/or put on nonaccrual status. Additionally, in the course of resolving such loans, the Company may choose to restructure the contractual terms of certain loans to match the borrower's ability to repay the loan based on their current financial condition. If a restructured loan meets certain criteria, it may be categorized as a troubled debt restructuring. | ||||||||||||||||||||||||||||||||||||
The Company reviews numerous credit quality indicators when assessing the risk in its loan portfolio. For the commercial real estate mortgage, multi-family mortgage, construction, commercial, equipment financing, condominium association and other consumer loan and lease classes, the Company utilizes an eight-grade loan rating system, which assigns a risk rating to each borrower based on a number of quantitative and qualitative factors associated with a loan transaction. Factors considered include industry and market conditions; position within the industry; earnings trends; operating cash flow; asset/liability values; debt capacity; guarantor strength; management and controls; financial reporting; collateral; and other considerations. In addition, the Company's independent loan review group evaluates the credit quality and related risk ratings of the commercial real estate and commercial loan portfolios. The results of these reviews are reported to the Board of Directors. For the consumer loans, the Company primarily relies on payment status for monitoring credit risk. | ||||||||||||||||||||||||||||||||||||
The ratings categories used for assessing credit risk in the commercial real estate mortgage, multi-family mortgage, construction, commercial, equipment financing, condominium association and other consumer loan and lease classes are defined as follows: | ||||||||||||||||||||||||||||||||||||
1 -4 Rating—Pass | ||||||||||||||||||||||||||||||||||||
Loan rating grades "1" through "4" are classified as "Pass," which indicates borrowers are performing in accordance with the terms of the loan and are less likely to result in loss due to the capacity of the borrower to pay and the adequacy of the value of assets pledged as collateral. | ||||||||||||||||||||||||||||||||||||
5 Rating—Other Asset Especially Mentioned ("OAEM") | ||||||||||||||||||||||||||||||||||||
Borrowers exhibit potential credit weaknesses or downward trends deserving management's attention. If not checked or corrected, these trends will weaken the Company's asset and position. While potentially weak, currently these borrowers are marginally acceptable; no loss of principal or interest is envisioned. | ||||||||||||||||||||||||||||||||||||
6 Rating—Substandard | ||||||||||||||||||||||||||||||||||||
Borrowers exhibit well defined weaknesses that jeopardize the orderly liquidation of debt. Substandard loans may be inadequately protected by the current net worth and paying capacity of the obligors or by the collateral pledged, if any. Normal repayment from the borrower is in jeopardy. Although no loss of principal is envisioned, there is a distinct possibility that a partial loss of interest and/or principal will occur if the deficiencies are not corrected. Collateral coverage may be inadequate to cover the principal obligation. | ||||||||||||||||||||||||||||||||||||
7 Rating—Doubtful | ||||||||||||||||||||||||||||||||||||
Borrowers exhibit well-defined weaknesses that jeopardize the orderly liquidation of debt with the added provision that the weaknesses make collection of the debt in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Serious problems exist to the point where partial loss of principal is likely. | ||||||||||||||||||||||||||||||||||||
8 Rating—Definite Loss | ||||||||||||||||||||||||||||||||||||
Borrowers deemed incapable of repayment. Loans to such borrowers are considered uncollectible and of such little value that continuation as active assets of the Company is not warranted. | ||||||||||||||||||||||||||||||||||||
Assets rated as "OAEM," "substandard" or "doubtful" based on criteria established under banking regulations are collectively referred to as "criticized" assets. | ||||||||||||||||||||||||||||||||||||
Credit Quality Information | ||||||||||||||||||||||||||||||||||||
The following tables present the recorded investment in loans in each class at December 31, 2014 by credit quality indicator. | ||||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Commercial | Multi- | Construction | Commercial | Equipment | Condominium | Other | ||||||||||||||||||||||||||||||
Real Estate | Family | Financing | Association | Consumer | ||||||||||||||||||||||||||||||||
Mortgage | Mortgage | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 1,402,121 | $ | 574,972 | $ | 146,074 | $ | 447,778 | $ | 583,340 | $ | 51,593 | $ | 11,540 | ||||||||||||||||||||||
OAEM | 22,491 | 1,242 | — | 12,193 | 932 | — | — | |||||||||||||||||||||||||||||
Substandard | 1,009 | — | — | 1,671 | 2,338 | — | 40 | |||||||||||||||||||||||||||||
Doubtful | — | — | — | 1,088 | 886 | — | — | |||||||||||||||||||||||||||||
Total originated | 1,425,621 | 576,214 | 146,074 | 462,730 | 587,496 | 51,593 | 11,580 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | 237,439 | 60,837 | 1,709 | 43,925 | 13,795 | — | 167 | |||||||||||||||||||||||||||||
OAEM | 8,351 | 713 | 230 | 1,852 | — | — | — | |||||||||||||||||||||||||||||
Substandard | 8,250 | 1,942 | — | 5,424 | 133 | — | — | |||||||||||||||||||||||||||||
Doubtful | 421 | — | — | 146 | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 254,461 | 63,492 | 1,939 | 51,347 | 13,928 | — | 167 | |||||||||||||||||||||||||||||
Total loans | $ | 1,680,082 | $ | 639,706 | $ | 148,013 | $ | 514,077 | $ | 601,424 | $ | 51,593 | $ | 11,747 | ||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Indirect Automobile | ||||||||||||||||||||||||||||||||||||
(In Thousands) | (Percent) | |||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Credit score: | ||||||||||||||||||||||||||||||||||||
Over 700 | $ | 262,160 | 82.7 | % | ||||||||||||||||||||||||||||||||
661-700 | 43,422 | 13.7 | % | |||||||||||||||||||||||||||||||||
660 and below | 9,927 | 3.1 | % | |||||||||||||||||||||||||||||||||
Data not available | 1,478 | 0.5 | % | |||||||||||||||||||||||||||||||||
Total loans | $ | 316,987 | 100 | % | ||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Residential Mortgage | Home Equity | |||||||||||||||||||||||||||||||||||
(In Thousands) | Percent | (In Thousands) | Percent | |||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | $ | 105,342 | 18.4 | % | $ | 113,541 | 39.5 | % | ||||||||||||||||||||||||||||
50% - 69% | 179,319 | 31.4 | % | 35,660 | 12.4 | % | ||||||||||||||||||||||||||||||
70% - 79% | 166,467 | 29.1 | % | 27,123 | 9.4 | % | ||||||||||||||||||||||||||||||
80% and over | 19,335 | 3.4 | % | 4,195 | 1.5 | % | ||||||||||||||||||||||||||||||
Data not available | 1,615 | 0.3 | % | 1,061 | 0.4 | % | ||||||||||||||||||||||||||||||
Total originated | 472,078 | 82.6 | % | 181,580 | 63.2 | % | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | 19,574 | 3.4 | % | 70,293 | 24.5 | % | ||||||||||||||||||||||||||||||
50%—69% | 35,131 | 6.2 | % | 22,581 | 7.9 | % | ||||||||||||||||||||||||||||||
70%—79% | 22,972 | 4 | % | 10,569 | 3.7 | % | ||||||||||||||||||||||||||||||
80% and over | 16,268 | 2.8 | % | 1,178 | 0.4 | % | ||||||||||||||||||||||||||||||
Data not available | 5,897 | 1 | % | 857 | 0.3 | % | ||||||||||||||||||||||||||||||
Total acquired | 99,842 | 17.4 | % | 105,478 | 36.8 | % | ||||||||||||||||||||||||||||||
Total loans | $ | 571,920 | 100 | % | $ | 287,058 | 100 | % | ||||||||||||||||||||||||||||
The following tables present the recorded investment in loans in each class at December 31, 2013 by credit quality indicator. | ||||||||||||||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Commercial | Multi- | Construction | Commercial | Equipment | Condominium | Other | ||||||||||||||||||||||||||||||
Real Estate | Family | Financing | Association | Consumer | ||||||||||||||||||||||||||||||||
Mortgage | Mortgage | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 1,099,108 | $ | 554,183 | $ | 102,927 | $ | 295,057 | $ | 479,811 | $ | 44,793 | $ | 5,528 | ||||||||||||||||||||||
OAEM | 11,555 | 372 | — | 49 | 625 | — | — | |||||||||||||||||||||||||||||
Substandard | 1,087 | — | — | 1,078 | 4,817 | 1 | 4 | |||||||||||||||||||||||||||||
Doubtful | — | — | — | 1,500 | 77 | — | — | |||||||||||||||||||||||||||||
Total originated | 1,111,750 | 554,555 | 102,927 | 297,684 | 485,330 | 44,794 | 5,532 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | 332,145 | 69,310 | 10,090 | 96,779 | 27,535 | — | 1,509 | |||||||||||||||||||||||||||||
OAEM | 7,556 | 463 | 688 | 4,617 | 61 | — | — | |||||||||||||||||||||||||||||
Substandard | 8,645 | 3,605 | — | 8,518 | 98 | — | 14 | |||||||||||||||||||||||||||||
Doubtful | 1,889 | — | — | 194 | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 350,235 | 73,378 | 10,778 | 110,108 | 27,694 | — | 1,523 | |||||||||||||||||||||||||||||
Total loans | $ | 1,461,985 | $ | 627,933 | $ | 113,705 | $ | 407,792 | $ | 513,024 | $ | 44,794 | $ | 7,055 | ||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Indirect Automobile | ||||||||||||||||||||||||||||||||||||
Dollars In Thousands | Percent | |||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Credit score: | ||||||||||||||||||||||||||||||||||||
Over 700 | $ | 332,140 | 82.9 | % | ||||||||||||||||||||||||||||||||
661-700 | 54,038 | 13.5 | % | |||||||||||||||||||||||||||||||||
660 and below | 12,793 | 3.2 | % | |||||||||||||||||||||||||||||||||
Data not available | 1,560 | 0.4 | % | |||||||||||||||||||||||||||||||||
Total loans | $ | 400,531 | 100 | % | ||||||||||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Residential Mortgage | Home Equity | |||||||||||||||||||||||||||||||||||
(In Thousands) | Percent | (In Thousands) | Percent | |||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | $ | 94,500 | 17.9 | % | $ | 75,372 | 29.3 | % | ||||||||||||||||||||||||||||
50%—69% | 149,969 | 28.4 | % | 31,504 | 12.2 | % | ||||||||||||||||||||||||||||||
70%—79% | 139,960 | 26.5 | % | 21,161 | 8.2 | % | ||||||||||||||||||||||||||||||
80% and over | 22,772 | 4.3 | % | 3,240 | 1.3 | % | ||||||||||||||||||||||||||||||
Data not available | 4,353 | 0.8 | % | 1,119 | 0.4 | % | ||||||||||||||||||||||||||||||
Total originated | 411,554 | 77.9 | % | 132,396 | 51.4 | % | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | 23,101 | 4.4 | % | 84,272 | 32.7 | % | ||||||||||||||||||||||||||||||
50%—69% | 39,298 | 7.4 | % | 25,964 | 10.1 | % | ||||||||||||||||||||||||||||||
70%—79% | 31,932 | 6 | % | 13,390 | 5.2 | % | ||||||||||||||||||||||||||||||
80% and over | 19,870 | 3.8 | % | 1,208 | 0.5 | % | ||||||||||||||||||||||||||||||
Data not available | 2,430 | 0.5 | % | 231 | 0.1 | % | ||||||||||||||||||||||||||||||
Total acquired | 116,631 | 22.1 | % | 125,065 | 48.6 | % | ||||||||||||||||||||||||||||||
Total loans | $ | 528,185 | 100 | % | $ | 257,461 | 100 | % | ||||||||||||||||||||||||||||
Age Analysis of Past Due Loans and Leases | ||||||||||||||||||||||||||||||||||||
The following tables present an age analysis of the recorded investment in total loans and leases (unpaid balance of loans and leases outstanding excluding deferred loan origination costs) at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 1,631 | $ | 416 | $ | 160 | $ | 2,207 | $ | 1,423,414 | $ | 1,425,621 | $ | — | $ | 1,009 | ||||||||||||||||||||
Multi-family mortgage | 385 | — | — | 385 | 575,829 | 576,214 | — | — | ||||||||||||||||||||||||||||
Construction | — | — | — | — | 146,074 | 146,074 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 2,016 | 416 | 160 | 2,592 | 2,145,317 | 2,147,909 | — | 1,009 | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 758 | 876 | 1,499 | 3,133 | 459,597 | 462,730 | 2 | 2,722 | ||||||||||||||||||||||||||||
Equipment financing | 1,534 | 138 | 2,392 | 4,064 | 583,432 | 587,496 | — | 3,214 | ||||||||||||||||||||||||||||
Condominium association | 501 | — | — | 501 | 51,092 | 51,593 | — | — | ||||||||||||||||||||||||||||
Total commercial loans and leases | 2,793 | 1,014 | 3,891 | 7,698 | 1,094,121 | 1,101,819 | 2 | 5,936 | ||||||||||||||||||||||||||||
Indirect automobile | 4,635 | 923 | 166 | 5,724 | 311,263 | 316,987 | — | 645 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | — | — | 501 | 501 | 471,577 | 472,078 | — | 1,340 | ||||||||||||||||||||||||||||
Home equity | 75 | 52 | 129 | 256 | 181,324 | 181,580 | — | 161 | ||||||||||||||||||||||||||||
Other consumer | 17 | 5 | 30 | 52 | 11,528 | 11,580 | — | 41 | ||||||||||||||||||||||||||||
Total consumer loans | 92 | 57 | 660 | 809 | 664,429 | 665,238 | — | 1,542 | ||||||||||||||||||||||||||||
Total originated loans and leases | $ | 9,536 | $ | 2,410 | $ | 4,877 | $ | 16,823 | $ | 4,215,130 | $ | 4,231,953 | $ | 2 | $ | 9,132 | ||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 989 | $ | 3,705 | $ | 2,387 | $ | 7,081 | $ | 247,380 | $ | 254,461 | $ | 2,387 | $ | — | ||||||||||||||||||||
Multi-family mortgage | 195 | 729 | 363 | 1,287 | 62,205 | 63,492 | 363 | — | ||||||||||||||||||||||||||||
Construction | — | — | — | — | 1,939 | 1,939 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 1,184 | 4,434 | 2,750 | 8,368 | 311,524 | 319,892 | 2,750 | — | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 712 | 488 | 3,033 | 4,233 | 47,114 | 51,347 | 624 | 2,474 | ||||||||||||||||||||||||||||
Equipment financing | 2 | 52 | 66 | 120 | 13,808 | 13,928 | 73 | 9 | ||||||||||||||||||||||||||||
Total commercial loans and leases | 714 | 540 | 3,099 | 4,353 | 60,922 | 65,275 | 697 | 2,483 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | — | — | 2,715 | 2,715 | 97,127 | 99,842 | 2,372 | 342 | ||||||||||||||||||||||||||||
Home equity | 1,005 | 733 | 923 | 2,661 | 102,817 | 105,478 | 187 | 1,757 | ||||||||||||||||||||||||||||
Other consumer | — | — | — | — | 167 | 167 | — | — | ||||||||||||||||||||||||||||
Total consumer loans | 1,005 | 733 | 3,638 | 5,376 | 200,111 | 205,487 | 2,559 | 2,099 | ||||||||||||||||||||||||||||
Total acquired loans and leases | $ | 2,903 | $ | 5,707 | $ | 9,487 | $ | 18,097 | $ | 572,557 | $ | 590,654 | $ | 6,006 | $ | 4,582 | ||||||||||||||||||||
Total loans and leases | $ | 12,439 | $ | 8,117 | $ | 14,364 | $ | 34,920 | $ | 4,787,687 | $ | 4,822,607 | $ | 6,008 | $ | 13,714 | ||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 4,896 | $ | 1,393 | $ | 169 | $ | 6,458 | $ | 1,105,292 | $ | 1,111,750 | $ | — | $ | 169 | ||||||||||||||||||||
Multi-family mortgage | 14,400 | — | — | 14,400 | 540,155 | 554,555 | — | — | ||||||||||||||||||||||||||||
Construction | — | — | — | — | 102,927 | 102,927 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 19,296 | 1,393 | 169 | 20,858 | 1,748,374 | 1,769,232 | — | 169 | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 2,288 | 75 | 842 | 3,205 | 294,479 | 297,684 | — | 1,551 | ||||||||||||||||||||||||||||
Equipment financing | 867 | 1,558 | 2,031 | 4,456 | 480,874 | 485,330 | — | 4,086 | ||||||||||||||||||||||||||||
Condominium association | — | — | — | — | 44,794 | 44,794 | — | 1 | ||||||||||||||||||||||||||||
Total commercial loans and leases | 3,155 | 1,633 | 2,873 | 7,661 | 820,147 | 827,808 | — | 5,638 | ||||||||||||||||||||||||||||
Indirect automobile | 5,407 | 857 | 229 | 6,493 | 394,038 | 400,531 | 10 | 259 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | 201 | — | 415 | 616 | 410,938 | 411,554 | — | 1,713 | ||||||||||||||||||||||||||||
Home equity | 218 | — | — | 218 | 132,178 | 132,396 | — | 462 | ||||||||||||||||||||||||||||
Other consumer | 11 | 1 | 4 | 16 | 5,516 | 5,532 | — | 4 | ||||||||||||||||||||||||||||
Total consumer loans | 430 | 1 | 419 | 850 | 548,632 | 549,482 | — | 2,179 | ||||||||||||||||||||||||||||
Total originated loans and leases | $ | 28,288 | $ | 3,884 | $ | 3,690 | $ | 35,862 | $ | 3,511,191 | $ | 3,547,053 | $ | 10 | $ | 8,245 | ||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 1,221 | $ | 87 | $ | 4,887 | $ | 6,195 | $ | 344,040 | $ | 350,235 | $ | 3,958 | $ | 929 | ||||||||||||||||||||
Multi-family mortgage | 327 | — | 1,052 | 1,379 | 71,999 | 73,378 | 1,052 | — | ||||||||||||||||||||||||||||
Construction | — | 409 | — | 409 | 10,369 | 10,778 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 1,548 | 496 | 5,939 | 7,983 | 426,408 | 434,391 | 5,010 | 929 | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 2,707 | 121 | 1,931 | 4,759 | 105,349 | 110,108 | 1,235 | 4,597 | ||||||||||||||||||||||||||||
Equipment financing | 46 | 41 | 73 | 160 | 27,534 | 27,694 | 73 | 29 | ||||||||||||||||||||||||||||
Total commercial loans and leases | 2,753 | 162 | 2,004 | 4,919 | 132,883 | 137,802 | 1,308 | 4,626 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | 271 | 777 | 5,329 | 6,377 | 110,254 | 116,631 | 4,468 | 1,162 | ||||||||||||||||||||||||||||
Home equity | 1,259 | 552 | 895 | 2,706 | 122,359 | 125,065 | 117 | 1,525 | ||||||||||||||||||||||||||||
Other consumer | 6 | 11 | 4 | 21 | 1,502 | 1,523 | — | 14 | ||||||||||||||||||||||||||||
Total consumer loans | 1,536 | 1,340 | 6,228 | 9,104 | 234,115 | 243,219 | 4,585 | 2,701 | ||||||||||||||||||||||||||||
Total acquired loans and leases | $ | 5,837 | $ | 1,998 | $ | 14,171 | $ | 22,006 | $ | 793,406 | $ | 815,412 | $ | 10,903 | $ | 8,256 | ||||||||||||||||||||
Total loans and leases | $ | 34,125 | $ | 5,882 | $ | 17,861 | $ | 57,868 | $ | 4,304,597 | $ | 4,362,465 | $ | 10,913 | $ | 16,501 | ||||||||||||||||||||
Commercial Real Estate Loans—At December 31, 2014, loans outstanding in the three classes within this segment expressed as a percentage of total loans and leases outstanding were as follows: commercial real estate mortgage loans -- 34.8%; multi-family mortgage loans -- 13.2%; and construction loans -- 3.1%. | ||||||||||||||||||||||||||||||||||||
Loans in this portfolio that are on nonaccrual status and/or risk-rated "substandard" or worse are evaluated on an individual loan basis for impairment. For non-impaired commercial real estate loans, loss factors are applied to outstanding loans by risk rating for each of the three classes in the portfolio. The factors applied are based primarily on historic loan loss experience and an assessment of internal and external factors and other relevant information. | ||||||||||||||||||||||||||||||||||||
Commercial Loans and Leases—At December 31, 2014, loans and leases outstanding in the three classes within this segment expressed as a percent of total loans and leases outstanding were as follows: commercial loans and leases -- 10.7%; equipment financing loans -- 12.5%; and loans to condominium associations -- 1.1%. | ||||||||||||||||||||||||||||||||||||
Loans and leases in this portfolio that are on nonaccrual status and/or risk-rated "substandard" or worse are evaluated on an individual basis for impairment. For non-impaired commercial loans and leases, loss factors are applied to outstanding loans by risk rating for each of the three classes in the portfolio. | ||||||||||||||||||||||||||||||||||||
Indirect Automobile Loans—At December 31, 2014, indirect automobile loans represented 6.6% of the Company's total loan and lease portfolio. Determination of the allowance for loan and lease losses for this portfolio is based primarily on payment status and historical loss rates. | ||||||||||||||||||||||||||||||||||||
Consumer Loans—At December 31, 2014, loans outstanding within the three classes within this segment expressed as a percent of total loans and leases outstanding were as follows: residential mortgage loans -- 11.9%, home equity loans -- 5.9% and other consumer loans -- 0.2%. | ||||||||||||||||||||||||||||||||||||
Significant risk characteristics related to the residential mortgage and home equity loan portfolios are the geographic concentration of the properties financed within selected communities in the greater Boston and Providence metropolitan areas. The payment status and loan-to-value ratio are the primary credit quality indicator used for residential mortgage loans and home equity loans. Generally, loans are not made when the loan-to-value ratio exceeds 80% unless private mortgage insurance is obtained and/or there is a financially strong guarantor. Consumer loans that become 90 days or more past due, or are placed on nonaccrual regardless of past due status, are reviewed on an individual basis for impairment by assessing the net realizable value of underlying collateral and the economic condition of the borrower. | ||||||||||||||||||||||||||||||||||||
Impaired Loans and Leases | ||||||||||||||||||||||||||||||||||||
A loan is considered to be impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due (both interest and principal) according to the contractual terms of the loan agreement. The Company has defined the population of impaired loans to include nonaccrual loans and troubled debt restructured loans. | ||||||||||||||||||||||||||||||||||||
When the ultimate collectability of the total principal of an impaired loan or lease is in doubt and the loan is on nonaccrual status, all payments are applied to principal, under the cost recovery method. When the ultimate collectability of the total principal of an impaired loan or lease is not in doubt and the loan or lease is on nonaccrual status, contractual interest is credited to interest income when received, under the cash basis method. | ||||||||||||||||||||||||||||||||||||
The following tables include the recorded investment and unpaid principal balances of impaired loans and leases with the related allowance amount, if applicable, for the originated and acquired loan and lease portfolios at the dates indicated. Also presented are the average recorded investments in the impaired loans and leases and the related amount of interest recognized during the period that the impaired loans were impaired. | ||||||||||||||||||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Unpaid | Related | |||||||||||||||||||||||||||||||
Investment (1) | Principal | Allowance | Investment (2) | Principal | Allowance | |||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 2,751 | $ | 2,748 | $ | — | $ | 2,009 | $ | 2,009 | $ | — | ||||||||||||||||||||||||
Commercial | 13,440 | 13,421 | — | 4,410 | 4,399 | — | ||||||||||||||||||||||||||||||
Consumer | 3,055 | 3,048 | — | 989 | 987 | — | ||||||||||||||||||||||||||||||
Total originated with no related allowance recorded | 19,246 | 19,217 | — | 7,408 | 7,395 | — | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 4,119 | 4,119 | 108 | 1,466 | 1,466 | 184 | ||||||||||||||||||||||||||||||
Commercial | 2,019 | 2,011 | 768 | 2,393 | 2,383 | 675 | ||||||||||||||||||||||||||||||
Consumer | 176 | 176 | 10 | 2,448 | 2,440 | 323 | ||||||||||||||||||||||||||||||
Total originated with an allowance recorded | 6,314 | 6,306 | 886 | 6,307 | 6,289 | 1,182 | ||||||||||||||||||||||||||||||
Total originated impaired loans and leases | 25,560 | 25,523 | 886 | 13,715 | 13,684 | 1,182 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 9,413 | 9,428 | — | 9,176 | 10,082 | — | ||||||||||||||||||||||||||||||
Commercial | 6,049 | 6,047 | — | 6,988 | 7,248 | — | ||||||||||||||||||||||||||||||
Consumer | 6,688 | 6,688 | — | 1,033 | 1,037 | — | ||||||||||||||||||||||||||||||
Total acquired with no related allowance recorded | 22,150 | 22,163 | — | 17,197 | 18,367 | — | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 244 | 244 | 22 | 1,274 | 1,291 | 122 | ||||||||||||||||||||||||||||||
Commercial | 478 | 478 | 214 | 1,020 | 1,067 | 169 | ||||||||||||||||||||||||||||||
Consumer | 225 | 225 | 41 | — | — | — | ||||||||||||||||||||||||||||||
Total acquired with an allowance recorded | 947 | 947 | 277 | 2,294 | 2,358 | 291 | ||||||||||||||||||||||||||||||
Total acquired impaired loans and leases | 23,097 | 23,110 | 277 | 19,491 | 20,725 | 291 | ||||||||||||||||||||||||||||||
Total impaired loans and leases | $ | 48,657 | $ | 48,633 | $ | 1,163 | $ | 33,206 | $ | 34,409 | $ | 1,473 | ||||||||||||||||||||||||
(1) Includes originated and acquired nonaccrual loans of $7.1 million and $4.6 million, respectively at December 31, 2014. | ||||||||||||||||||||||||||||||||||||
(2) Includes originated and acquired nonaccrual loans of $5.8 million and $5.7 million, respectively at December 31, 2013. | ||||||||||||||||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||
Recorded | Income | Recorded | Income | Recorded | Income | |||||||||||||||||||||||||||||||
Investment | Recognized | Investment | Recognized | Investment | Recognized | |||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 2,786 | $ | 102 | $ | 2,184 | $ | 92 | $ | 2,547 | $ | 243 | ||||||||||||||||||||||||
Commercial | 11,840 | 343 | 4,257 | 144 | 3,159 | 181 | ||||||||||||||||||||||||||||||
Consumer | 3,166 | 42 | 1,077 | 30 | 2,123 | 130 | ||||||||||||||||||||||||||||||
Total originated with no related allowance recorded | 17,792 | 487 | 7,518 | 266 | 7,829 | 554 | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 3,223 | 69 | 1,464 | 43 | 1,142 | 79 | ||||||||||||||||||||||||||||||
Commercial | 2,285 | 51 | 1,781 | 29 | 3,393 | 305 | ||||||||||||||||||||||||||||||
Consumer | 458 | 15 | 3,210 | 97 | 2,918 | 100 | ||||||||||||||||||||||||||||||
Total originated with an allowance recorded | 5,966 | 135 | 6,455 | 169 | 7,453 | 484 | ||||||||||||||||||||||||||||||
Total originated impaired loans and leases | 23,758 | 622 | 13,973 | 435 | 15,282 | 1,038 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 10,884 | 350 | 9,639 | 251 | 9,071 | — | ||||||||||||||||||||||||||||||
Commercial | 6,875 | 122 | 5,205 | 129 | 3,801 | — | ||||||||||||||||||||||||||||||
Consumer | 6,701 | 28 | 1,333 | 20 | 2,319 | — | ||||||||||||||||||||||||||||||
Total acquired with no related allowance recorded | 24,460 | 500 | 16,177 | 400 | 15,191 | — | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 942 | 76 | 2,765 | 42 | 366 | — | ||||||||||||||||||||||||||||||
Commercial | 631 | 15 | 577 | 5 | 109 | — | ||||||||||||||||||||||||||||||
Consumer | 281 | 3 | — | — | — | — | ||||||||||||||||||||||||||||||
Total acquired with an allowance recorded | 1,854 | 94 | 3,342 | 47 | 475 | — | ||||||||||||||||||||||||||||||
Total acquired impaired loans and leases | 26,314 | 594 | 19,519 | 447 | 15,666 | — | ||||||||||||||||||||||||||||||
Total impaired loans and leases | $ | 50,072 | $ | 1,216 | $ | 33,492 | $ | 882 | $ | 30,948 | $ | 1,038 | ||||||||||||||||||||||||
The following tables present information regarding impaired and non-impaired loans and leases at the dates indicated: | ||||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Commercial Real Estate | Commercial | Indirect Automobile | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Allowance for Loan and Lease Losses: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 108 | $ | 768 | $ | — | $ | 10 | $ | — | $ | 886 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 27,457 | 14,631 | 2,331 | 3,088 | 2,418 | 49,925 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 27,565 | 15,399 | 2,331 | 3,098 | 2,418 | 50,811 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | — | 144 | — | 41 | — | 185 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 648 | 222 | — | 2 | — | 872 | ||||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 1,381 | 192 | — | 218 | — | 1,791 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 2,029 | 558 | — | 261 | — | 2,848 | ||||||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 29,594 | $ | 15,957 | $ | 2,331 | $ | 3,359 | $ | 2,418 | $ | 53,659 | ||||||||||||||||||||||||
Loans and Leases: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 6,869 | $ | 15,459 | $ | — | $ | 3,231 | $ | — | $ | 25,559 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 2,141,040 | 1,086,360 | 316,987 | 662,007 | — | 4,206,394 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 2,147,909 | 1,101,819 | 316,987 | 665,238 | — | 4,231,953 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | 626 | 4,458 | — | $ | 2,562 | — | 7,646 | |||||||||||||||||||||||||||||
Collectively evaluated for impairment | 97,141 | 38,504 | — | 134,973 | — | 270,618 | ||||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 222,125 | 22,313 | — | 67,952 | — | 312,390 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 319,892 | 65,275 | — | 205,487 | — | 590,654 | ||||||||||||||||||||||||||||||
Total loans and leases | $ | 2,467,801 | $ | 1,167,094 | $ | 316,987 | $ | 870,725 | $ | — | $ | 4,822,607 | ||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Commercial Real Estate | Commercial | Indirect Automobile | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Allowance for Loan and Lease Losses: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 184 | $ | 675 | $ | — | $ | 323 | $ | — | $ | 1,182 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 22,336 | 14,056 | 3,924 | 2,414 | 2,932 | 45,662 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 22,520 | 14,731 | 3,924 | 2,737 | 2,932 | 46,844 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | — | 3 | — | — | — | 3 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | (54 | ) | 234 | — | 204 | — | 384 | |||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 556 | 252 | — | 434 | — | 1,242 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 502 | 489 | — | 638 | — | 1,629 | ||||||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 23,022 | $ | 15,220 | $ | 3,924 | $ | 3,375 | $ | 2,932 | $ | 48,473 | ||||||||||||||||||||||||
Loans and Leases: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 3,643 | $ | 6,634 | $ | — | $ | 3,438 | $ | — | $ | 13,715 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 1,765,589 | 821,174 | 400,531 | 546,044 | — | 3,533,338 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 1,769,232 | 827,808 | 400,531 | 549,482 | — | 3,547,053 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | 2,625 | 4,878 | — | 872 | — | 8,375 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 145,057 | 93,565 | — | 162,595 | — | 401,217 | ||||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 286,709 | 39,359 | — | 79,752 | — | 405,820 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 434,391 | 137,802 | — | 243,219 | — | 815,412 | ||||||||||||||||||||||||||||||
Total loans and leases | $ | 2,203,623 | $ | 965,610 | $ | 400,531 | $ | 792,701 | $ | — | $ | 4,362,465 | ||||||||||||||||||||||||
Troubled Debt Restructured Loans and Leases | ||||||||||||||||||||||||||||||||||||
A specific valuation allowance for losses on troubled debt restructured loans is determined by comparing the net carrying amount of the troubled debt restructured loan with the restructured loan's cash flows discounted at the original effective rate. | ||||||||||||||||||||||||||||||||||||
The recorded investment in troubled debt restructurings and the associated specific allowances for loan and lease losses, in the originated and acquired loan and lease portfolios, that were modified during the periods indicated, are as follows. | ||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Recorded Investment | Specific | Defaulted (1) | ||||||||||||||||||||||||||||||||||
Allowance for | ||||||||||||||||||||||||||||||||||||
Loan and | ||||||||||||||||||||||||||||||||||||
Number of | At | At End of | Lease Losses | Nonaccrual | Number of | Recorded | ||||||||||||||||||||||||||||||
Loans/ | Modification | Period | Loans and | Loans/ | Investment | |||||||||||||||||||||||||||||||
Leases | Leases | Leases | ||||||||||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | $ | 953 | $ | 932 | $ | — | $ | — | — | $ | — | ||||||||||||||||||||||||
Commercial | 6 | 2,884 | 2,948 | — | 628 | 3 | 615 | |||||||||||||||||||||||||||||
Equipment financing | 6 | 984 | 936 | 15 | 169 | 4 | 636 | |||||||||||||||||||||||||||||
Residential mortgage | 1 | 496 | — | — | — | — | — | |||||||||||||||||||||||||||||
Home equity | 2 | 400 | 402 | — | — | — | — | |||||||||||||||||||||||||||||
Total originated | 16 | 5,717 | 5,218 | 15 | 797 | 7 | 1,251 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial | 6 | 1,369 | 1,406 | — | 66 | 1 | 419 | |||||||||||||||||||||||||||||
Home equity | 1 | 190 | 189 | — | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 7 | 1,559 | 1,595 | — | 66 | 1 | 419 | |||||||||||||||||||||||||||||
Total loans | 23 | $ | 7,276 | $ | 6,813 | $ | 15 | $ | 863 | 8 | $ | 1,670 | ||||||||||||||||||||||||
(1) Includes loans and leases that have been modified within the past twelve months and subsequently had payment defaults during the period indicated. | ||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Recorded Investment | Specific | Defaulted (1) | ||||||||||||||||||||||||||||||||||
Allowance for | ||||||||||||||||||||||||||||||||||||
Loan and | ||||||||||||||||||||||||||||||||||||
Number of | At | At End of | Lease Losses | Nonaccrual | Number of | Recorded | ||||||||||||||||||||||||||||||
Loans/ | Modification | Period | Loans and | Loans/ | Investment | |||||||||||||||||||||||||||||||
Leases | Leases | Leases | ||||||||||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | $ | 1,039 | $ | — | $ | — | $ | — | — | $ | — | ||||||||||||||||||||||||
Commercial | 2 | 926 | 918 | — | — | — | — | |||||||||||||||||||||||||||||
Equipment financing | 5 | 1,557 | 1,415 | 77 | 861 | 2 | 371 | |||||||||||||||||||||||||||||
Residential mortgage | 1 | 415 | 353 | — | 353 | — | — | |||||||||||||||||||||||||||||
Total originated | 9 | 3,937 | 2,686 | 77 | 1,214 | 2 | 371 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | 737 | 727 | — | — | — | — | |||||||||||||||||||||||||||||
Commercial | 6 | 3,209 | 3,135 | — | 1,335 | 1 | 1,335 | |||||||||||||||||||||||||||||
Equipment financing | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Residential mortgage | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 7 | 3,946 | 3,862 | — | 1,335 | 1 | 1,335 | |||||||||||||||||||||||||||||
Total loans | 16 | $ | 7,883 | $ | 6,548 | $ | 77 | $ | 2,549 | 3 | $ | 1,706 | ||||||||||||||||||||||||
(1) Includes loans and leases that have been modified within the past twelve months and subsequently had payment defaults during the period indicated. | ||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Recorded Investment | Specific | Defaulted (1) | ||||||||||||||||||||||||||||||||||
Allowance for | ||||||||||||||||||||||||||||||||||||
Loan and | ||||||||||||||||||||||||||||||||||||
Number of | At | At End of | Lease Losses | Nonaccrual | Number of | Recorded | ||||||||||||||||||||||||||||||
Loans/ | Modification | Period | Loans and | Loans/ | Investment | |||||||||||||||||||||||||||||||
Leases | Leases | Leases | ||||||||||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 2 | $ | 867 | $ | 854 | $ | 33 | $ | 513 | 2 | $ | 1,288 | ||||||||||||||||||||||||
Commercial | 3 | 3,942 | 2,086 | 316 | 1,993 | 1 | 44 | |||||||||||||||||||||||||||||
Equipment financing | 8 | 2,138 | 2,038 | 110 | 793 | 6 | 1,240 | |||||||||||||||||||||||||||||
Residential mortgage | 6 | 2,422 | 1,724 | 315 | 294 | 3 | 763 | |||||||||||||||||||||||||||||
Total originated | 19 | 9,369 | 6,702 | 774 | 3,593 | 12 | 3,335 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | 3,145 | 3,208 | — | — | — | — | |||||||||||||||||||||||||||||
Commercial | 2 | 1,229 | 1,163 | — | 478 | — | — | |||||||||||||||||||||||||||||
Equipment financing | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Residential mortgage | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 3 | 4,374 | 4,371 | — | 478 | — | — | |||||||||||||||||||||||||||||
Total loans | 22 | $ | 13,743 | $ | 11,073 | $ | 774 | $ | 4,071 | 12 | $ | 3,335 | ||||||||||||||||||||||||
(1) Includes loans and leases that have been modified within the past twelve months and subsequently had payment defaults during the period indicated. | ||||||||||||||||||||||||||||||||||||
The following table sets forth the Company's end-of-period balances for troubled debt restructurings that were modified during the periods indicated, by type of modification. | ||||||||||||||||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Loans with one modification: | ||||||||||||||||||||||||||||||||||||
Extended maturity | $ | 3,241 | $ | 3,841 | $ | 1,478 | ||||||||||||||||||||||||||||||
Adjusted principal | — | 908 | 2,185 | |||||||||||||||||||||||||||||||||
Adjusted interest rate | — | 755 | 1,715 | |||||||||||||||||||||||||||||||||
Interest only | 16 | — | — | |||||||||||||||||||||||||||||||||
Combination maturity, principal, interest rate | 479 | 554 | 1,838 | |||||||||||||||||||||||||||||||||
Total loans modified once | $ | 3,736 | $ | 6,058 | $ | 7,216 | ||||||||||||||||||||||||||||||
Loans with more than one modification: | ||||||||||||||||||||||||||||||||||||
Extended maturity | $ | 1,951 | $ | 490 | $ | — | ||||||||||||||||||||||||||||||
Adjusted principal | — | — | 3,857 | |||||||||||||||||||||||||||||||||
Interest only | 292 | — | — | |||||||||||||||||||||||||||||||||
Combination maturity, principal, interest rate | 834 | — | — | |||||||||||||||||||||||||||||||||
Total loans modified more than once | $ | 3,077 | $ | 490 | $ | 3,857 | ||||||||||||||||||||||||||||||
The financial impact of the modification of performing and nonperforming loans and leases for the year ending December 31, 2014 and December 31, 2013 was $0.3 million and $0.8 million, respectively. There was no financial impact of the modification of performing and nonperforming loans and leases for the year ending December 31, 2012. | ||||||||||||||||||||||||||||||||||||
As of December 31, 2014, there were no commitments to lend funds to debtors owing receivables whose terms had been modified in troubled debt restructurings. |
Premises_and_Equipment
Premises and Equipment | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Property, Plant and Equipment [Abstract] | ||||||||||
Premises and Equipment | Premises and Equipment | |||||||||
Premises and equipment consist of the following: | ||||||||||
At December 31, | Estimated | |||||||||
2014 | 2013 | Useful Life | ||||||||
(In Thousands) | (In Years) | |||||||||
Land | $ | 7,562 | $ | 7,481 | NA | |||||
Office building and improvements | 78,461 | 75,271 | 10 to 40 | |||||||
Furniture, fixtures and equipment | 12,224 | 20,707 | 5 to 25 | |||||||
Vehicles | 144 | 212 | 3 to 10 | |||||||
Computer Equipment | 8,400 | 4,715 | 3 | |||||||
Core processing system and software | 18,496 | 16,539 | 3 to 7.5 | |||||||
Total | 125,287 | 124,925 | ||||||||
Accumulated depreciation and amortization | 44,668 | 44,420 | ||||||||
Total premises and equipment | $ | 80,619 | $ | 80,505 | ||||||
Depreciation and amortization expense is calculated using the straight-line method and is included in occupancy and equipment and data processing expense in the Consolidated Statements of Income. For the years ended December 31, 2014, 2013 and 2012, depreciation and amortization expense related to premises and equipment totaled $7.0 million, $6.3 million and $3.7 million, respectively. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets | |||||||||||||||||||||||
The changes in the carrying value of goodwill for the periods indicated were as follows: | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Balance at beginning of year | $ | 137,890 | $ | 137,890 | $ | 45,799 | ||||||||||||||||||
Additions | — | — | 93,145 | |||||||||||||||||||||
Adjustments to original goodwill | — | — | (1,054 | ) | ||||||||||||||||||||
Balance at end of year | $ | 137,890 | $ | 137,890 | $ | 137,890 | ||||||||||||||||||
The following is a summary of the Company's other intangible assets: | ||||||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||||||
Gross | Accumulated | Carrying | Gross | Accumulated | Carrying | |||||||||||||||||||
Amount | Amortization | Amount | Amount | Amortization | Amount | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Other intangible assets: | ||||||||||||||||||||||||
Core deposits | $ | 36,172 | $ | 23,717 | $ | 12,455 | $ | 36,172 | $ | 20,395 | $ | 15,777 | ||||||||||||
Trade name | 1,600 | 511 | 1,089 | 1,600 | 511 | 1,089 | ||||||||||||||||||
Trust relationship | 1,568 | 1,568 | — | 1,568 | 1,547 | 21 | ||||||||||||||||||
Other intangible | 442 | 442 | — | 442 | 442 | — | ||||||||||||||||||
Total other intangible assets | $ | 39,782 | $ | 26,238 | $ | 13,544 | $ | 39,782 | $ | 22,895 | $ | 16,887 | ||||||||||||
At December 31, 2013, the Company concluded that the BankRI name would continue to be utilized in its marketing strategies; therefore, the trade name with carrying value of $1.1 million has an indefinite life and ceased to amortize. | ||||||||||||||||||||||||
The weighted-average amortization period for core deposit intangible and trust relationships is 11.0 and 1.0 years, respectively. There were no impairment losses relating to other acquisition-related intangible assets recorded during the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||
The estimated aggregate future amortization expense for other intangible assets for each of the next five years and thereafter is as follows: | ||||||||||||||||||||||||
Year ended December 31: | Amount | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
2015 | $ | 2,911 | ||||||||||||||||||||||
2016 | 2,500 | |||||||||||||||||||||||
2017 | 2,089 | |||||||||||||||||||||||
2018 | 1,669 | |||||||||||||||||||||||
2019 | 1,295 | |||||||||||||||||||||||
Thereafter | 1,991 | |||||||||||||||||||||||
Total | $ | 12,455 | ||||||||||||||||||||||
Other_Assets
Other Assets | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||||||||||
Other Assets | Other Assets | |||||||||||
BOLI | ||||||||||||
BOLI is recorded at the cash surrender value of the policies, less any applicable cash surrender charges, and is recorded in other assets. At December 31, 2014 and 2013, BankRI owned nine policies with a net cash surrender value of $35.8 million and $34.7 million, respectively. At both December 31, 2014 and 2013, First Ipswich owned two policies with a net cash surrender value of $0.7 million. | ||||||||||||
The Company recorded a total of $1.1 million, $1.1 million and $1.2 million of tax exempt income from these nine policies in 2014, 2013, and 2012, respectively. They are included in the Company’s other non-interest income in the consolidated statements of income. | ||||||||||||
Affordable Housing Investments | ||||||||||||
The Company began investing in affordable housing projects that benefit low- and moderate-income individuals in 2011 and currently has investments in eight projects. During 2014, the Company invested in one new affordable housing projects for a total of $2.1 million. The Company is a limited partner in these projects given that its investments do not exceed 50% of the outstanding equity interest in any single project and project management is controlled by the general partner or project sponsor. Further information regarding the Company's investments in affordable housing projects follows: | ||||||||||||
As of and for the | ||||||||||||
Year Ended | ||||||||||||
December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Investments in affordable housing projects included in other assets | $ | 10,131 | $ | 10,301 | $ | 9,167 | ||||||
Unfunded commitments related to affordable housing projects included in other liabilities | 2,608 | 2,904 | 4,291 | |||||||||
Loss from investments in affordable housing projects | 2,060 | 1,812 | 694 | |||||||||
Reduction in tax expense due to affordable housing tax credits | 1,431 | 1,058 | 806 | |||||||||
Deposits
Deposits | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Banking and Thrift [Abstract] | ||||||||||||||
Deposits | Deposits | |||||||||||||
A summary of deposits follows: | ||||||||||||||
31-Dec-14 | 31-Dec-13 | |||||||||||||
Amount | Weighted | Amount | Weighted | |||||||||||
Average | Average | |||||||||||||
Rate | Rate | |||||||||||||
(Dollars in Thousands) | ||||||||||||||
Demand checking accounts | $ | 726,118 | — | $ | 707,023 | — | ||||||||
NOW accounts | 235,063 | 0.07 | % | 210,602 | 0.07 | % | ||||||||
Savings accounts | 531,727 | 0.21 | % | 494,734 | 0.25 | % | ||||||||
Money market accounts | 1,518,490 | 0.52 | % | 1,487,979 | 0.54 | % | ||||||||
Total core deposit accounts | 3,011,398 | 0.31 | % | 2,900,338 | 0.32 | % | ||||||||
Certificate of deposit accounts maturing: | ||||||||||||||
Within six months | 363,258 | 0.7 | % | 381,986 | 0.72 | % | ||||||||
After six months but within 1 year | 258,379 | 0.72 | % | 312,005 | 0.82 | % | ||||||||
After 1 year but within 2 years | 232,658 | 1.08 | % | 141,518 | 1.09 | % | ||||||||
After 2 years but within 3 years | 36,685 | 1.49 | % | 45,965 | 1.91 | % | ||||||||
After 3 years but within 4 years | 24,059 | 1.32 | % | 26,046 | 1.65 | % | ||||||||
After 4 years but within 5 years | 31,630 | 1.75 | % | 26,810 | 1.33 | % | ||||||||
5+ Years | 39 | 1.34 | % | 338 | 1.15 | % | ||||||||
Total certificate of deposit accounts | 946,708 | 0.88 | % | 934,668 | 0.91 | % | ||||||||
Total deposits | $ | 3,958,106 | 0.44 | % | $ | 3,835,006 | 0.47 | % | ||||||
Certificate of deposit accounts issued in amounts of $250,000 or more totaled $222.2 million and $143.7 million at December 31, 2014 and 2013, respectively. | ||||||||||||||
Interest expense on deposit balances is summarized as follows: | ||||||||||||||
Year Ended December 31, | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
(In Thousands) | ||||||||||||||
Interest-bearing deposits: | ||||||||||||||
NOW accounts | $ | 171 | $ | 173 | $ | 209 | ||||||||
Savings accounts | 1,197 | 1,288 | 1,726 | |||||||||||
Money market accounts | 7,846 | 8,220 | 8,773 | |||||||||||
Certificate of deposit accounts | 7,846 | 9,092 | 10,724 | |||||||||||
Total interest-bearing deposits | $ | 17,060 | $ | 18,773 | $ | 21,432 | ||||||||
Related Party Deposits | ||||||||||||||
Deposit accounts of directors, executive officers and their affiliates totaled $16.1 million and $11.1 million at December 31, 2014 and 2013, respectively. | ||||||||||||||
Collateral Pledged to Deposits | ||||||||||||||
At December 31, 2014 and 2013, $93.0 million and $62.4 million, respectively, of collateral was pledged for municipal deposits; treasury; tax and loan deposits. |
Borrowed_Funds
Borrowed Funds | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||
Borrowed Funds | Borrowed Funds | |||||||||||||||||||||
Borrowed funds are comprised of the following: | ||||||||||||||||||||||
At December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||
Advances from the FHLBB | $ | 1,004,026 | $ | 768,773 | ||||||||||||||||||
Subordinated debentures and notes | 82,763 | 9,163 | ||||||||||||||||||||
Other borrowed funds | 39,615 | 34,619 | ||||||||||||||||||||
Total borrowed funds | $ | 1,126,404 | $ | 812,555 | ||||||||||||||||||
Interest expense on borrowed funds for the periods indicated is as follows: | ||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||
Advances from the FHLBB | $ | 10,535 | $ | 10,886 | $ | 13,685 | ||||||||||||||||
Subordinated debentures and notes | 1,740 | 439 | 578 | |||||||||||||||||||
Other borrowed funds | 79 | 68 | 137 | |||||||||||||||||||
Total interest expense on borrowed funds | $ | 12,354 | $ | 11,393 | $ | 14,400 | ||||||||||||||||
Investment Securities and Loans Pledged as Collateral | ||||||||||||||||||||||
At December 31, 2014 and 2013, $2.1 billion and $1.6 billion, respectively, of investment securities available-for-sale and loans and leases, were pledged as collateral for repurchase agreements; municipal deposits; treasury; tax and loan deposits; swap agreements; and FHLBB borrowings. The Banks did not have any outstanding FRB borrowings at December 31, 2014 and 2013. | ||||||||||||||||||||||
FHLBB Advances | ||||||||||||||||||||||
FHLBB advances mature as follows: | ||||||||||||||||||||||
At December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
Amount | Callable | Weighted | Amount | Callable | Weighted | |||||||||||||||||
Amount | Average | Amount | Average | |||||||||||||||||||
Rate | Rate | |||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||
Within 1 year | $ | 583,000 | $ | — | 0.52 | % | $ | 186,035 | $ | — | 0.71 | % | ||||||||||
Over 1 year to 2 years | 217,054 | 31,353 | 0.89 | % | 283,000 | — | 0.79 | % | ||||||||||||||
Over 2 years to 3 years | 145,326 | 116,828 | 2.43 | % | 92,971 | 32,094 | 2.45 | % | ||||||||||||||
Over 3 years to 4 years | 36,550 | 10,054 | 2.46 | % | 147,198 | 118,698 | 3.86 | % | ||||||||||||||
Over 4 years to 5 years | 5,416 | — | 2.21 | % | 36,625 | 10,071 | 2.51 | % | ||||||||||||||
Over 5 years | 16,680 | — | 4.18 | % | 22,944 | — | 3.7 | % | ||||||||||||||
$ | 1,004,026 | $ | 158,235 | 1.02 | % | $ | 768,773 | $ | 160,863 | 1.71 | % | |||||||||||
Actual maturities of the advances may differ from those presented above since the FHLBB has the right to call certain advances prior to the scheduled maturity. | ||||||||||||||||||||||
The FHLBB advances are secured by blanket pledge agreements which require the Banks to maintain certain qualifying assets as collateral. Although the Banks did not have any FRB borrowings at December 31, 2014, total available borrowing capacity for advances from the FHLBB and FRB was $0.3 billion. The total amount of qualifying collateral for FHLBB and FRB borrowings was $1.9 billion at December 31, 2014. | ||||||||||||||||||||||
Repurchase Agreements | ||||||||||||||||||||||
Information concerning repurchase agreements is as follows for the periods indicated below: | ||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
(Dollars In Thousands) | ||||||||||||||||||||||
Outstanding at end of year | $ | 39,633 | $ | 34,619 | ||||||||||||||||||
Average outstanding for the year | 28,724 | 38,784 | ||||||||||||||||||||
Maximum outstanding at any month-end | 39,633 | 48,544 | ||||||||||||||||||||
Weighted average rate at end of year | 0.16 | % | 0.17 | % | ||||||||||||||||||
Weighted average rate paid for the year | 0.28 | % | 0.18 | % | ||||||||||||||||||
Securities sold under agreements to repurchase are funds borrowed from customers on an overnight basis that are secured by GSEs in the same amount. The obligations to repurchase the identical securities that were sold are reflected as liabilities and the securities remain in the asset accounts. | ||||||||||||||||||||||
Subordinated Debentures and Notes | ||||||||||||||||||||||
In connection with the acquisition of Bancorp Rhode Island, Inc., the Company assumed three subordinated debentures issued by a subsidiary of Bancorp Rhode Island, Inc. One subordinated debenture in the amount of $3.0 million was called in the first quarter of 2013 due to its high fixed rate. | ||||||||||||||||||||||
On September 15, 2014, the Company offered $75.0 million of 6.0% fixed-to-floating subordinated notes due September | ||||||||||||||||||||||
15, 2029. The Company is obligated to pay 6.0% interest semiannually between September 2014 and September 2024. Subsequently, the Company is obligated to pay 3-month LIBOR plus 3.315% quarterly until the notes mature in September 2029. As of December 31, 2014, the Company capitalized $1.5 million in relation to the issuance of these subordinated notes. | ||||||||||||||||||||||
The following table summarizes the Company's subordinated debentures and notes at the dates indicated. | ||||||||||||||||||||||
At December 31, 2014: | ||||||||||||||||||||||
Issue Date | Rate | Maturity Date | Next Call Date | Carrying | ||||||||||||||||||
Amount | ||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||
June 26, 2003 | Variable; 3-month LIBOR + 3.10% | June 26, 2033 | March 26, 2015 | $ | 4,696 | |||||||||||||||||
March 17, 2004 | Variable; 3-month LIBOR + 2.79% | March 17, 2034 | March 17, 2015 | $ | 4,543 | |||||||||||||||||
15-Sep-14 | 6.0% Fixed-to-Variable; 3-month LIBOR + 3.315% | 15-Sep-29 | 15-Sep-24 | $ | 73,524 | |||||||||||||||||
At December 31, 2013: | ||||||||||||||||||||||
Issue Date | Rate | Fair | Maturity Date | Next Call Date | Carrying | |||||||||||||||||
Market Rate | Amount | |||||||||||||||||||||
at BankRI | ||||||||||||||||||||||
Acquisition | ||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||
June 26, 2003 | Variable; 3-month | 6.45 | % | June 26, 2033 | March 26, 2014 | $ | 4,666 | |||||||||||||||
LIBOR + 3.10% | ||||||||||||||||||||||
March 17, 2004 | Variable; 3-month | 6.45 | % | March 17, 2034 | March 17, 2014 | $ | 4,497 | |||||||||||||||
LIBOR + 2.79% |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||
Commitments and Contingencies | Commitments and Contingencies | |||||||
Off-Balance Sheet Financial Instruments | ||||||||
The Company is party to off-balance sheet financial instruments in the normal course of business to meet the financing needs of its customers and to reduce its own exposure to fluctuations in interest rates. These financial instruments include loan commitments, standby and commercial letters of credits, and interest rate swaps. According to GAAP, these financial instruments are not recorded in the financial statements until they are funded or related fees are incurred or received. | ||||||||
The contract amounts reflect the extent of the involvement the Company has in particular classes of these instruments. Such commitments involve, to varying degrees, elements of credit risk and interest-rate risk in excess of the amount recognized in the consolidated balance sheets. The Company's exposure to credit loss in the event of non-performance by the counterparty is represented by the contractual amount of the instruments. The Company uses the same policies in making commitments and conditional obligations as it does for on-balance sheet instruments. | ||||||||
Financial instruments with off-balance-sheet risk at the dates indicated follow: | ||||||||
At December 31, | ||||||||
2014 | 2013 | |||||||
(In Thousands) | ||||||||
Financial instruments whose contract amounts represent credit risk: | ||||||||
Commitments to originate loans and leases: | ||||||||
Commercial real estate | $ | 107,179 | $ | 48,973 | ||||
Commercial | 102,353 | 143,252 | ||||||
Residential mortgage | 20,520 | 8,027 | ||||||
Unadvanced portion of loans and leases | 629,351 | 586,279 | ||||||
Unused lines of credit: | ||||||||
Home equity | 239,240 | 205,665 | ||||||
Other consumer | 10,876 | 6,503 | ||||||
Other commercial | 728 | 1,035 | ||||||
Unused letters of credit: | ||||||||
Financial standby letters of credit | 16,762 | 20,410 | ||||||
Performance standby letters of credit | 3,126 | 2,989 | ||||||
Commercial and similar letters of credit | 50 | 440 | ||||||
Back-to-back interest rate swaps | 109,362 | 22,418 | ||||||
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require the payment of a fee by the customer. Since some of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer's creditworthiness on a case-by-case basis. The amount of collateral obtained, if any, is based on management's credit evaluation of the borrower. | ||||||||
Standby and commercial letters of credits are conditional commitments issued by the Company to guarantee performance of a customer to a third party. These standby and commercial letters of credit are primarily issued to support the financing needs of the Company's commercial customers. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. | ||||||||
The liability for unfunded credit commitments, which is included in other liabilities, was $1.3 million at December 31, 2014 and $0.7 million at December 31, 2013. | ||||||||
From time to time the Company enters into back-to-back interest rate swaps with commercial customers and third-party financial institutions. These swaps allow the Company to offer long-term fixed-rate commercial loans while mitigating the interest-rate risk of holding those loans. In a back-to-back interest rate swap transaction, the Company lends to a commercial customer on a floating-rate basis and then enters into an interest rate swap with that customer. Concurrently, the Company enters into offsetting swaps with a third-party financial institution, effectively minimizing its net interest-rate risk exposure resulting from such transactions. | ||||||||
The fair value of interest rate swap assets and liabilities was $2.7 million and $2.7 million, respectively, at December 31, 2014. The fair value of interest rate swap assets and liabilities was $0.8 million and $0.9 million, respectively, at December 31, 2013. | ||||||||
Lease Commitments | ||||||||
The Company leases certain office space under various noncancellable operating leases. These leases have original terms ranging from 5 years to over 20 years. Certain leases contain renewal options and escalation clauses which can increase rental expenses based principally on the consumer price index and fair market rental value provisions. | ||||||||
A summary of future minimum rental payments under such leases at the dates indicated follows: | ||||||||
Year ended December 31, | Minimum Rental Payments | |||||||
(In Thousands) | ||||||||
2015 | $ | 5,494 | ||||||
2016 | 5,354 | |||||||
2017 | 4,831 | |||||||
2018 | 4,275 | |||||||
2019 | 3,361 | |||||||
Thereafter | 12,266 | |||||||
Total | $ | 35,581 | ||||||
Certain leases contain escalation clauses for real estate taxes and other expenditures, which are not included above. Total rental expense was $6.5 million in 2014, which included $0.8 million in lease acceleration related to a relocation of an operations center and a closure of a branch property. This compares to total rent expense of $5.2 million in 2013 and $4.5 million in 2012. | ||||||||
A portion of the Company's headquarters was rented to third-party tenants which generated a rental income of $0.4 million and $0.3 million respectively in 2014 and 2013. Rental income was reported in non-interest income in the Company's consolidated statements of income. | ||||||||
Legal Proceedings | ||||||||
In the normal course of business, there are various outstanding legal proceedings. In the opinion of management, after consulting with legal counsel, the consolidated financial position and results of operations of the Company are not expected to be affected materially by the outcome of such proceedings. |
Earnings_per_Share
Earnings per Share | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||
Earnings per Share | Earnings per Share | |||||||||||||||||||||||
The following table is a reconciliation of basic EPS and diluted EPS: | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Basic | Fully | Basic | Fully | Basic | Fully | |||||||||||||||||||
Diluted | Diluted | Diluted | ||||||||||||||||||||||
(Dollars in Thousands, Except Per Share Amounts) | ||||||||||||||||||||||||
Net income | $ | 42,765 | $ | 42,765 | $ | 35,386 | $ | 35,386 | $ | 37,142 | $ | 37,142 | ||||||||||||
Weighted average shares outstanding | 69,945,028 | 69,945,028 | 69,808,164 | 69,808,164 | 69,702,417 | 69,702,417 | ||||||||||||||||||
Effect of dilutive securities | — | 109,787 | — | 75,760 | — | 43,839 | ||||||||||||||||||
Adjusted weighted average shares outstanding | 69,945,028 | 70,054,815 | 69,808,164 | 69,883,924 | 69,702,417 | 69,746,256 | ||||||||||||||||||
Earnings per share | $ | 0.61 | $ | 0.61 | $ | 0.51 | $ | 0.51 | $ | 0.53 | $ | 0.53 | ||||||||||||
On January 3, 2012, the Company issued approximately 11 million shares of common stock as partial consideration to acquire Bancorp Rhode Island, Inc. (Refer to Note 2, "Acquisitions") |
Comprehensive_IncomeLoss
Comprehensive Income/(Loss) | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Equity [Abstract] | ||||||||||||||
Comprehensive Income/(Loss) | Comprehensive Income/(Loss) | |||||||||||||
Comprehensive income/(loss) represents the sum of net income (loss) and other comprehensive income (loss). For the years ended December 31, 2014, 2013 and 2012, the Company’s other comprehensive income/(loss) include the following two components: (i) unrealized holding gains (losses) on investment securities available-for-sale; and (ii) adjustment of accumulated obligation for postretirement benefits. | ||||||||||||||
Changes in accumulated other comprehensive (loss) income by component, net of tax, were as follows for the periods indicated: | ||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||
Investment | Postretirement | Accumulated Other | ||||||||||||
Securities | Benefits | Comprehensive | ||||||||||||
Available-for-Sale | (Loss)/Income | |||||||||||||
(In Thousands) | ||||||||||||||
Balance at December 31, 2013 | $ | (8,332 | ) | $ | 417 | $ | (7,915 | ) | ||||||
Other comprehensive income (loss) | 6,599 | (306 | ) | 6,293 | ||||||||||
Balance at December 31, 2014 | $ | (1,733 | ) | $ | 111 | $ | (1,622 | ) | ||||||
Year Ended December 31, 2013 | ||||||||||||||
Investment | Postretirement | Accumulated Other | ||||||||||||
Securities | Benefits | Comprehensive | ||||||||||||
Available-for-Sale | Income/(Loss) | |||||||||||||
(In Thousands) | ||||||||||||||
Balance at December 31, 2012 | $ | 3,358 | $ | 125 | $ | 3,483 | ||||||||
Other comprehensive (loss) income | (11,690 | ) | 292 | (11,398 | ) | |||||||||
Balance at December 31, 2013 | $ | (8,332 | ) | $ | 417 | $ | (7,915 | ) | ||||||
Year Ended December 31, 2012 | ||||||||||||||
Investment | Postretirement | Accumulated Other | ||||||||||||
Securities | Benefits | Comprehensive | ||||||||||||
Available-for-Sale | Income | |||||||||||||
(In Thousands) | ||||||||||||||
Balance at December 31, 2011 | $ | 1,834 | $ | 129 | $ | 1,963 | ||||||||
Other comprehensive income (loss) | 1,524 | (4 | ) | 1,520 | ||||||||||
Balance at December 31, 2012 | $ | 3,358 | $ | 125 | $ | 3,483 | ||||||||
The following is a summary of the amounts reclassified from accumulated other comprehensive income (loss) for the years ended December 31, 2014, 2013, and 2012. | ||||||||||||||
Year Ended December 31, | Income Statement Line Affected by Reclassification | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
(In Thousands) | ||||||||||||||
Other Comprehensive Income (Loss) Component | ||||||||||||||
Unrealized gains on investment securities available-for-sale: | ||||||||||||||
$ | 65 | $ | 397 | $ | 926 | Gain on sales of securities,net | ||||||||
(23 | ) | (142 | ) | (328 | ) | Provision for income taxes | ||||||||
Total reclassifications for the period | $ | 42 | $ | 255 | $ | 598 | Net income | |||||||
Derivatives_and_Hedging_Activi
Derivatives and Hedging Activities | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||
Derivatives and Hedging Activities | Derivatives and Hedging Activities | |||||||||||||||||||||||
The Company may use interest-rate contracts (swaps, caps and floors) as part of interest-rate risk management strategy. Interest-rate swap, cap and floor agreements are entered into as hedges against future interest-rate fluctuations on specifically identified assets or liabilities. The Company did not have derivative fair value hedges or derivative cash flow hedges at December 31, 2014 and 2013. | ||||||||||||||||||||||||
Derivatives not designated as hedges are not speculative but rather, result from a service the Company provides to certain customers for a fee. The Company executes interest-rate swaps with commercial banking customers to aid them in managing their interest-rate risk. The interest-rate swap contracts allow the commercial banking customers to convert floating-rate loan payments to fixed-rate loan payments. The Company concurrently enters into offsetting swaps with a third-party financial institution, effectively minimizing its net risk exposure resulting from such transactions. The third-party financial institution exchanges the customer's fixed-rate loan payments for floating-rate loan payments. As the interest-rate swaps associated with this program do not meet hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. The Company had 22 interest-rate swaps with an aggregate notional amount of $109.4 million and 8 interest-rate swaps with an aggregate notional amount of $22.4 million related to this program at December 31, 2014 and 2013, respectively. | ||||||||||||||||||||||||
Asset derivatives and liability derivatives are included in other assets and accrued expenses and other liabilities on the | ||||||||||||||||||||||||
consolidated balance sheets, respectively. The table below presents the fair value and classification of the Company’s derivative | ||||||||||||||||||||||||
financial instruments at December 31, 2014 and 2013. | ||||||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||||||
Asset | Liability | Asset | Liability | |||||||||||||||||||||
Derivatives | Derivatives | Derivatives | Derivatives | |||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Total derivatives (interest-rate products) not designated as hedging instruments | $ | 2,676 | $ | 2,714 | $ | 825 | $ | 856 | ||||||||||||||||
Changes in the fair value are recognized directly in the Company's unaudited consolidated statements of income and are included in loan fees in the consolidated statements of income. The table below presents the gain (loss) recognized in income due to changes in the fair value for the year ended December 31, 2014 and 2013. | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
(Loss) gain recognized in income on derivatives | $ | (8 | ) | $ | 32 | |||||||||||||||||||
By using derivative financial instruments, the Company exposes itself to credit risk. Credit risk is the risk of failure by the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes the Company, which creates credit risk for the Company. When the fair value of a derivative is negative, the Company owes the counterparty and, therefore, it does not possess credit risk. The credit risk in derivative instruments is mitigated by entering into transactions with highly-rated counterparties that management believes to be creditworthy and by limiting the amount of exposure to each counterparty. As the swaps are subject to master netting agreements, the Company had limited exposure relating to interest rate swaps with institutional counterparties at December 31, 2014 and 2013. The estimated net credit risk exposure for derivative financial instruments was $39.3 thousand and $31.2 thousand at December 31, 2014, and 2013, respectively. | ||||||||||||||||||||||||
Certain of the derivative agreements contain provisions that require the Company to post collateral if the derivative exposure exceeds a threshold amount. The Company posted collateral in the normal course of business totaling $3.8 million and $2.8 million as of December 31, 2014 and 2013, respectively. | ||||||||||||||||||||||||
The tables below present the offsetting of derivatives and amounts subject to master netting agreements not offset in the consolidated balance sheet at the dates indicated. | ||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||
Gross | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | ||||||||||||||||||||
Amounts of | Offset in the | Assets Presented in | Statement of Financial Position | |||||||||||||||||||||
Recognized | Statement of Financial Position | the Statement of Financial Position | ||||||||||||||||||||||
Assets /Liabilities | Financial Instruments | Cash Collateral (Received)/ Posted | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Asset Derivatives | $ | 2,676 | $ | — | $ | 2,676 | $ | — | $ | 2,676 | ||||||||||||||
Liability Derivatives | $ | 2,714 | $ | — | $ | 2,714 | $ | — | $ | 3,839 | $ | 6,553 | ||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||
Gross | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | ||||||||||||||||||||
Amounts of | Offset in the | Assets Presented in | Statement of Financial Position | |||||||||||||||||||||
Recognized | Statement of Financial Position | the Statement of Financial Position | ||||||||||||||||||||||
Assets /Liabilities | Financial Instruments | Cash Collateral (Received) / Posted | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Asset Derivatives | $ | 825 | $ | — | $ | 825 | $ | — | $ | — | $ | 825 | ||||||||||||
Liability Derivatives | $ | 856 | $ | — | $ | 856 | $ | — | $ | 2,811 | $ | 3,667 | ||||||||||||
The Company has agreements with certain of its derivative counterparties that contain credit-risk-related contingent provisions. These provisions provide the counterparty with the right to terminate its derivative positions and require the Company to settle its obligations under the agreements if the Company defaults on certain of its indebtedness or if the Company fails to maintain its status as a well-capitalized institution. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Taxes | Income Taxes | |||||||||||
Income tax expense is comprised of the following amounts: | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Current provision: | ||||||||||||
Federal | $ | 19,329 | $ | 12,799 | $ | 15,558 | ||||||
State | 5,240 | 4,238 | 5,120 | |||||||||
Total current provision | 24,569 | 17,037 | 20,678 | |||||||||
Deferred provision (benefit): | ||||||||||||
Federal | 289 | 2,572 | 389 | |||||||||
State | (109 | ) | (128 | ) | 274 | |||||||
Total deferred provision | 180 | 2,444 | 663 | |||||||||
Total provision for income taxes | $ | 24,749 | $ | 19,481 | $ | 21,341 | ||||||
Total provision for income taxes differed from the amounts computed by applying the statutory U.S. federal income tax rate (35.0%) to income before tax expense as a result of the following: | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Expected income tax expense at statutory federal tax rate | $ | 24,343 | $ | 19,830 | $ | 20,899 | ||||||
State taxes, net of federal income tax benefit | 3,338 | 2,673 | 3,506 | |||||||||
Bank-owned life insurance | (369 | ) | (383 | ) | (409 | ) | ||||||
Tax-exempt interest income | (341 | ) | (310 | ) | (216 | ) | ||||||
Non-deductible acquisition and other expenses | — | — | 617 | |||||||||
Income attributable to noncontrolling interest in subsidiary | (831 | ) | (768 | ) | (560 | ) | ||||||
Tax credit—premises and equipment | — | (453 | ) | (1,593 | ) | |||||||
Tax credits from investments in affordable housing projects | (1,431 | ) | (1,058 | ) | (806 | ) | ||||||
Other, net | 40 | (50 | ) | (97 | ) | |||||||
Total provision for income taxes | $ | 24,749 | $ | 19,481 | $ | 21,341 | ||||||
Effective income tax rate | 35.6 | % | 34.4 | % | 35.7 | % | ||||||
The Company's effective tax rate was 35.6% at December 31, 2014 compared to 34.4% at December 31, 2013. The increase in the Company's effective tax rate from 2013 was primarily attributable to tax credits received in 2013 from the 2013 rehabilitation of the Company's headquarters. | ||||||||||||
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at the dates indicated are as follows: | ||||||||||||
At December 31, | ||||||||||||
2014 | 2013 | |||||||||||
(In Thousands) | ||||||||||||
Deferred tax assets: | ||||||||||||
Allowance for credit losses | $ | 21,770 | $ | 19,754 | ||||||||
Acquisition fair value adjustments | 3,066 | 7,430 | ||||||||||
Unrealized loss on investment securities available-for-sale | 1,086 | 5,119 | ||||||||||
Retirement and postretirement benefits | 4,794 | 4,159 | ||||||||||
Deferred compensation | 3,686 | 1,989 | ||||||||||
Net operating loss and contribution carryovers | 1,614 | 1,922 | ||||||||||
Nonaccrual interest | 814 | 878 | ||||||||||
Restricted stock and stock option plans | 708 | 726 | ||||||||||
Write-downs of investment securities | — | 442 | ||||||||||
Accrued expenses | 407 | 375 | ||||||||||
Alternative minimum tax credits | 31 | 31 | ||||||||||
Other | 63 | 33 | ||||||||||
Total gross deferred tax assets | 38,039 | 42,858 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Identified intangible assets and goodwill | 6,311 | 7,322 | ||||||||||
Depreciation | 2,740 | 2,619 | ||||||||||
Deferred loan origination costs, net | 930 | 734 | ||||||||||
Investments in affordable housing projects | 257 | 205 | ||||||||||
Unrecognized gain relating to postretirement obligation | 70 | 268 | ||||||||||
Other | 44 | — | ||||||||||
Total gross deferred tax liabilities | 10,352 | 11,148 | ||||||||||
Net deferred tax asset | $ | 27,687 | $ | 31,710 | ||||||||
At December 31, 2014, the Company had net operating loss carryforwards for federal income tax purposes of $4.6 million which are available to offset future federal taxable income, if any, through 2020. In addition, the Company has alternative minimum tax credit carryforwards of $31,000, which are available to reduce future federal income taxes, if any, over an indefinite period. According to Section 382 of the Internal Revenue Code, the net operating loss carryforwards and credit are subject to an annual limitation of $879,000. | ||||||||||||
The Company has determined that a valuation allowance is not required for any of its deferred tax assets because it believes that it is more likely than not that these assets will reverse against future taxable income. | ||||||||||||
For federal income tax purposes, the Company has a $1.8 million reserve for credit losses which remains subject to recapture. If any portion of the reserve is used for purposes other than to absorb the losses for which it was established, approximately 150% of the amount actually used (limited to the amount of the reserve) would be subject to taxation in the year in which used. As the Company intends to use the reserve only to absorb credit losses, no provision has been made for the $750,000 liability that would result if 100% of the reserve were recaptured. | ||||||||||||
The Company did not have any unrecognized tax benefits accrued as income tax receivables or as deferred tax items at December 31, 2014. | ||||||||||||
The Company is subject to federal and state examinations for tax years after December 31, 2009. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2014 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders' Equity |
Preferred Stock | |
The Company is authorized to issue 50,000,000 shares of serial preferred stock, par value $0.01 per share, from time to time in one or more series subject to limitations of law. The Board of Directors is authorized to fix the designations, powers, preferences, limitations and rights of the shares of each such series. As of December 31, 2014, there were no shares of preferred stock issued. | |
Capital Distributions and Restrictions Thereon | |
The Company is a legal entity separate and distinct from each of the Banks and Brookline Securities Corp. The Company's primary source of revenue dividends paid to it by the Banks and Brookline Securities Corp. | |
The FRB has authority to prohibit the Company from paying dividends to the Company's shareholders if such payment is deemed to be an unsafe or unsound practice. The FRB has indicated generally that it may be an unsafe or unsound practice for bank holding companies to pay dividends unless the bank holding company's net income over the preceding year is sufficient to fund the dividends and the expected rate of earnings retention is consistent with the organization's capital needs, asset quality and overall financial condition. | |
The FRB also has the authority to use its enforcement powers to prohibit the Banks from paying dividends to their parent if, in its opinion, the payment of dividends would constitute an unsafe or unsound practice. Federal law also prohibits the payment of dividends by a bank that will result in the bank failing to meet its applicable capital requirements on a pro forma basis. Payment of dividends by a bank is also restricted pursuant to various state regulatory limitations, including the Massachusetts Division of Banks in the case of Brookline Bank and First Ipswich, and the Banking Division of the Rhode Island Department of Business Regulation in the case of BankRI. | |
Common Stock Repurchases | |
In 2014, 2013 and 2012, no shares of the Company's common stock were repurchased by the Company. On October 29, 2014, the Company’s Board of Directors authorized a stock repurchase program to acquire up to $10.0 million of total outstanding shares of the Company's common stock over a period of fourteen months ending on December 31, 2015. Repurchases may be made from time to time depending on market conditions and other factors, and will be conducted through open market or private transactions, through block trades, and pursuant to any trading plan that may be adopted in accordance with the Securities and Exchange Commission Rule 10b5-1. There is no guarantee as to the exact number of shares to be repurchased by the Company. | |
Restricted Retained Earnings | |
As part of the stock offering in 2002 and as required by regulation, Brookline Bank established a liquidation account for the benefit of eligible account holders and supplemental eligible account holders who maintain their deposit accounts at Brookline Bank after the stock offering. In the unlikely event of a complete liquidation of Brookline Bank (and only in that event), eligible depositors who continue to maintain deposit accounts at Brookline Bank shall be entitled to receive a distribution from the liquidation account. | |
Accordingly, retained earnings of the Company are deemed to be restricted up to the balance of the liquidation account. The liquidation account balance is reduced annually to the extent that eligible depositors have reduced their qualifying deposits as of each anniversary date. Subsequent increases in deposit account balances do not restore an account holder's interest in the liquidation account | |
The liquidation account totaled $18.4 million (unaudited), $20.6 million (unaudited), and $22.3 million (unaudited) at | |
December 31, 2014, 2013 and 2012, respectively. |
Regulatory_Capital_Requirement
Regulatory Capital Requirements | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | ||||||||||||||||||||||||||||||||
Regulatory Capital Requirements | Regulatory Capital Requirements | |||||||||||||||||||||||||||||||
The Company's primary source of cash is dividends from the Banks and Brookline Securities Corp. The Banks are subject to certain restrictions on the amount of dividends that they may declare without prior regulatory approval. In addition, the dividends declared cannot be in excess of the amount which would cause the Banks to fall below the minimum required for capital adequacy purposes. | ||||||||||||||||||||||||||||||||
The Company is a bank holding company within the meaning of the Bank Holding Company Act of 1956, as amended (the "BHCA") and as such, must comply with the capital requirements of the Federal Reserve Bank (the "FRB") at the consolidated level. As member banks of the FRB, Brookline Bank, BankRI and First Ipswich are also required to comply with the regulatory capital requirement of the FRB. | ||||||||||||||||||||||||||||||||
While the FRB is the primary regulator, the Banks are also subject to FDIC regulations and capital adequacy requirements since they are also FDIC-insured banks. The FDIC has promulgated corresponding regulations to implement the system of prompt corrective action established by Section 38 of the Federal Deposit Insurance Act, as amended (the "FDIA"). Under the regulations in effect at December 31, 2014, a bank is "well-capitalized" if it has: (1) a total risk-based capital ratio of 10.0% or greater; (2) a Tier 1 risk-based capital ratio of 6.0% or greater; (3) a Tier 1 leverage ratio of 5.0% or greater; and (4) is not subject to any written agreement, order, capital directive or prompt corrective action directive to meet and maintain a specific capital level for any capital measure. | ||||||||||||||||||||||||||||||||
Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company's financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and Banks must meet specific capital guidelines that involve quantitative measures of the Company's and the Banks' assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Company's and the Banks' capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Prompt corrective action provisions are not applicable to bank holding companies. | ||||||||||||||||||||||||||||||||
The following table reconciles stockholders' equity under GAAP with regulatory capital for the Company and its subsidiaries at the dates indicated. | ||||||||||||||||||||||||||||||||
The Company | Brookline Bank | BankRI | First Ipswich | |||||||||||||||||||||||||||||
December 31, | December 31, | December 31, | December 31, | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||
Stockholders' equity | $ | 640,750 | $ | 613,867 | $ | 339,155 | $ | 301,291 | $ | 253,208 | $ | 236,579 | $ | 34,274 | $ | 34,641 | ||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||||
Minority interest | 4,787 | 4,304 | 4,787 | 4,304 | — | — | — | — | ||||||||||||||||||||||||
Trust preferred subordinated debenture | 9,239 | 9,163 | — | — | — | — | — | — | ||||||||||||||||||||||||
Disallowed goodwill and intangible assets | (151,434 | ) | (154,777 | ) | (7,626 | ) | (7,647 | ) | (103,862 | ) | (106,593 | ) | (4,679 | ) | (5,271 | ) | ||||||||||||||||
Net unrealized loss on available-for-sale equity securities | — | — | — | — | — | — | — | (10 | ) | |||||||||||||||||||||||
Net unrealized losses on available-for-sale securities | 1,733 | 8,326 | 308 | 2,285 | 1,057 | 4,918 | 367 | 1,075 | ||||||||||||||||||||||||
Accumulated net gains on postretirement benefits | (111 | ) | (411 | ) | (111 | ) | (411 | ) | — | — | — | — | ||||||||||||||||||||
Tier 1 capital | 504,964 | 480,472 | 336,513 | 299,822 | 150,403 | 134,904 | 29,962 | 30,435 | ||||||||||||||||||||||||
Allowance for credit losses not to exceed 1.25% of risk-weighted assets | 54,933 | 49,510 | 36,799 | 35,926 | 15,721 | 10,936 | 2,412 | 1,854 | ||||||||||||||||||||||||
Unrealized gains on available-for-sale equity securities | — | — | — | — | 11 | 7 | 1 | — | ||||||||||||||||||||||||
Subordinated notes | 73,524 | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Total risk-based capital | $ | 633,421 | $ | 529,982 | $ | 373,312 | $ | 335,748 | $ | 166,135 | $ | 145,847 | $ | 32,375 | $ | 32,289 | ||||||||||||||||
As of December 31, 2014, the Company, Brookline Bank, BankRI and First Ipswich met all applicable minimum capital requirements and were considered "well-capitalized" by their respective regulators. The Company's and the Banks' actual and required capital amounts and ratios are as follows: | ||||||||||||||||||||||||||||||||
Actual | Minimum Required for | Minimum Required | ||||||||||||||||||||||||||||||
Capital Adequacy | To Be Considered | |||||||||||||||||||||||||||||||
Purposes | "Well-Capitalized" | |||||||||||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||
At December 31, 2014: | ||||||||||||||||||||||||||||||||
Brookline Bancorp, Inc. | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 504,964 | 9.01 | % | $ | 224,179 | 4 | % | N/A | N/A | ||||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 504,964 | 10.55 | % | 191,456 | 4 | % | N/A | N/A | ||||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 633,421 | 13.24 | % | 382,732 | 8 | % | N/A | N/A | ||||||||||||||||||||||
Brookline Bank | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 336,513 | 9.6 | % | $ | 140,214 | 4 | % | $ | 175,267 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 336,513 | 10.72 | % | 125,565 | 4 | % | 188,347 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 373,312 | 11.9 | % | 250,966 | 8 | % | 313,708 | 10 | % | |||||||||||||||||||||
BankRI | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 150,403 | 8.43 | % | $ | 71,366 | 4 | % | $ | 89,207 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 150,403 | 10.7 | % | 56,225 | 4 | % | 84,338 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 166,135 | 11.82 | % | 112,443 | 8 | % | 140,554 | 10 | % | |||||||||||||||||||||
First Ipswich | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 29,962 | 9.27 | % | $ | 12,929 | 4 | % | $ | 16,161 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 29,962 | 12.4 | % | 9,665 | 4 | % | 14,498 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 32,375 | 13.4 | % | 19,328 | 8 | % | 24,160 | 10 | % | |||||||||||||||||||||
At December 31, 2013: | ||||||||||||||||||||||||||||||||
Brookline Bancorp, Inc. | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 480,472 | 9.36 | % | $ | 205,330 | 4 | % | N/A | N/A | ||||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 480,472 | 11.01 | % | 174,558 | 4 | % | N/A | N/A | ||||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 529,982 | 12.15 | % | 348,959 | 8 | % | N/A | N/A | ||||||||||||||||||||||
Brookline Bank | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 299,822 | 9.37 | % | $ | 127,992 | 4 | % | $ | 159,990 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 299,822 | 10.43 | % | 114,984 | 4 | % | 172,477 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 335,748 | 11.69 | % | 229,768 | 8 | % | 287,210 | 10 | % | |||||||||||||||||||||
BankRI | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 134,904 | 8.08 | % | $ | 66,784 | 4 | % | $ | 83,480 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 134,904 | 10.57 | % | 51,052 | 4 | % | 76,577 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 145,847 | 11.43 | % | 102,080 | 8 | % | 127,600 | 10 | % | |||||||||||||||||||||
First Ipswich | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 30,435 | 9.77 | % | $ | 12,461 | 4 | % | $ | 15,576 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 30,435 | 13.57 | % | 8,971 | 4 | % | 13,457 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 32,289 | 14.4 | % | 17,938 | 8 | % | 22,423 | 10 | % | |||||||||||||||||||||
_______________________________________________________________________________ | ||||||||||||||||||||||||||||||||
-1 | Tier 1 leverage capital ratio is calculated by dividing Tier 1 capital by average assets. | |||||||||||||||||||||||||||||||
-2 | Tier 1 risk-based capital ratio is calculated by dividing Tier 1 capital by risk-weighted assets. | |||||||||||||||||||||||||||||||
-3 | Total risk-based capital ratio is calculated by dividing total capital by risk-weighted assets. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||
Employee Benefit Plans | Employee Benefit Plans | ||||||||||||
Postretirement Benefits | |||||||||||||
Postretirement benefits are provided for part of the annual expense of health insurance premiums for retired employees and their dependents. No contributions are made by the Company to invest in assets allocated for the purpose of funding this benefit obligation. | |||||||||||||
The following table presents the components of net periodic postretirement benefit cost and other amounts recognized in other comprehensive income: | |||||||||||||
Year Ended | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(In Thousands) | |||||||||||||
Net periodic benefit expense: | |||||||||||||
Service cost | $ | 45 | $ | 61 | $ | 74 | |||||||
Interest cost | 47 | 47 | 55 | ||||||||||
Prior service credit | (21 | ) | (21 | ) | (21 | ) | |||||||
Actuarial gain | (40 | ) | (16 | ) | (3 | ) | |||||||
Net periodic benefit expense | $ | 31 | $ | 71 | $ | 105 | |||||||
Changes in postretirement benefit obligation recognized in other comprehensive income: | |||||||||||||
Net actuarial loss (gain) | $ | (477 | ) | $ | 489 | $ | 11 | ||||||
Prior service credit | (21 | ) | (21 | ) | (21 | ) | |||||||
Total pre-tax changes in postretirement benefit obligation recognized in other comprehensive income | $ | (498 | ) | $ | 468 | $ | (10 | ) | |||||
The discount rate used to determine the actuarial present value of projected postretirement benefit obligations was 4.00% in 2014, 4.90% in 2013 and 3.95% in 2012. The estimated prior service credit that will be amortized from accumulated other comprehensive income into net periodic benefit cost in 2015 is $21,000. The liability for the postretirement benefits included in accrued expenses and other liabilities was $1.6 million at December 31, 2014 and $1.1 million at December 31, 2013. | |||||||||||||
The actual health care trend used to measure the accumulated postretirement benefit obligation in 2014 for plan participants below age 65 and for plan participants over age 65 was 6.6% and -0.11%, respectively. In 2013, the rate for plan participants below age 65 and for plan participants over age 65 was 2.7% and -14.5%, respectively. In 2014, there was a lower than expected increase in per capita medical expenses as compared to 2013, which created a smaller gap in the health care trend range. The rates to be used in 2015 through 2019 are expected to be in the range of 7.1% to 6.2% and to decline gradually thereafter to 4.5%. Assumed health care trend rates may have a significant effect on the amounts reported for the postretirement benefit plan. A 1% change in assumed health care cost trend rates would have the following effects: | |||||||||||||
1% Increase | 1% Decrease | ||||||||||||
(In Thousands) | |||||||||||||
Effect on total service and interest cost components of net periodic postretirement benefit costs | $ | 21 | $ | (16 | ) | ||||||||
Effect on the accumulated postretirement benefit obligation | 378 | (290 | ) | ||||||||||
401(k) Plans | |||||||||||||
The Company administers two 401(k) plans, both of which are qualified, tax-exempt profit-sharing plans with a salary deferral feature under Section 401(k) of the Internal Revenue Code. Each employee who has attained the age of 21 and completed 1,000 hours of service in a plan year is eligible to participate in a plan by making voluntary contributions, subject to certain limits based on federal tax laws. In one plan, the Company contributes an amount equal to 5% of the compensation of eligible employees, but does not match employee contributions to the plan. Participants are vested in employer contributions immediately. In the other plan, the Company makes a matching contribution of the amount contributed by eligible employees, up to 4% of the employee's yearly compensation. Contributions to both plans are subject to certain limits based on federal tax laws. Expenses associated with the plans were $2.4 million in 2014, $2.0 million in 2013 and $1.8 million in 2012. | |||||||||||||
Nonqualified Deferred Compensation Plan | |||||||||||||
The Company also maintains a Nonqualified Deferred Compensation Plan (the "Nonqualified Plan") under which certain participants may contribute the amounts they are precluded from contributing to the Company's 401(k) plans because of the qualified plan limitations, and additional compensation deferrals that may be advantageous for personal income tax or other planning reasons. Expenses associated with the Nonqualified Plan were nominal in 2014, 2013 and 2012. Accrued liabilities associated with the Nonqualified Plan in 2014, 2013 and 2012 were $0.3 million, $0.4 million and $0.5 million, respectively. | |||||||||||||
Supplemental Executive Retirement Agreements | |||||||||||||
The Company acquired two Supplemental Executive Retirement Plans (the "SERPs") as part of its acquisition of BankRI. The Company maintains the SERPs for certain senior executives under which participants are entitled to an annual retirement benefit. As of December 31, 2014, there are 13 participants in the SERPs. The Company funded a Rabbi Trust to provide a partial funding source for the Company's liabilities under the SERPs. The Company records annual amounts related to the SERPs based on an actuarial calculation. Actuarial gains and losses are reflected immediately in the statement of income. | |||||||||||||
Total expenses for benefits payable under the SERPs for the years ended December 31, 2014, and 2013 were $1.9 million, $0.6 million, respectively. Aggregate benefits payable included in accrued expenses and other liabilities at December 31, 2014 and 2013 were $11.6 million and $10.1 million, respectively. | |||||||||||||
The nominal discount rate used to determine the actuarial present value of projected benefits under the agreements was 4.0% and 5.0% in the year 2014 and 2013, respectively. | |||||||||||||
Employee Stock Ownership Plan | |||||||||||||
Brookline Bank established an Employee Stock Ownership Plan ("ESOP") on November 1, 1997. The Company's ESOP loan to Brookline Bank to purchase 546,986 shares of Company common stock is payable in quarterly installments over 30 years, bears interest at 8.50% per annum, matures December 31, 2021 and can be prepaid without penalty. Loans are repaid to the Company in the form of cash contributions from Brookline Bank, subject to federal tax law limits. The outstanding balance of the loan at December 31, 2014 and 2013, was $2.0 million and $2.3 million, respectively, is eliminated in consolidation. | |||||||||||||
Shares of common stock used as collateral to secure the loan are released and available for allocation to eligible employees as the principal and interest on the loan is paid. Benefits generally vest over a seven-year period at the rate of 20% per year beginning in the third year of service until a participant is 100% vested after seven years or upon retirement, disability or death of the participant or a change in control. | |||||||||||||
Dividends on released shares are credited to the participants' ESOP accounts. Dividends on unallocated shares of common stock are generally applied towards payment of the loan. ESOP shares committed to be released are considered outstanding in determining earnings per share. | |||||||||||||
At December 31, 2014 and 2013, the ESOP held 251,382 and 291,666 unallocated shares, respectively at an aggregate cost of $1.3 million and $1.5 million, respectively. The market value of such shares at December 31, 2014 and 2013 was $2.5 million and $2.8 million, respectively. Compensation and employee benefits expense related to the ESOP was $0.4 million in 2014, $0.4 million in 2013 and $0.4 million in 2012 based on the commitment to release to eligible employees 40,284 shares in 2014, 42,252 shares in 2013 and 44,292 shares in 2012. | |||||||||||||
Recognition and Retention Plans | |||||||||||||
As of December 31, 2014, the Company had three active recognition and retention plans: the 2003 Recognition and Retention Plan (the "2003 RRP") with 1,250,000 authorized shares, the 2011 Restricted Stock Award Plan ("2011 RSA") with 500,000 authorized shares and the 2014 Equity Incentive Plan ("2014 Plan" and with the 2003 RRP and the 2011 RSA, collectively referred to as the "Plans") with 1,750,000 authorized shares. The purpose of the Plans is to promote the long-term financial success of the Company and its subsidiaries by providing a means to attract, retain and reward individuals who contribute to such success and to further align their interests with those of the Company's stockholders. | |||||||||||||
Of the awarded shares, generally 50% vest ratably over three years with one-third of such shares vesting at each of the first, second and third anniversary dates of the awards. These are referred to as "time-based shares". The remaining 50% of each award has a cliff vesting schedule and will vest three years after the award date based on the level of the Company's achievement of identified performance targets in comparison to the level of achievement of such identified performance targets by a defined peer group comprised of 22 financial institutions. These are referred to as "performance-based shares". The specific performance measure targets relate to return on assets, return on equity, asset quality and total return to stockholders (share price appreciation from date of award plus dividends paid as a percent of the Company's common stock share price on the date of award). If a participant leaves the Company prior to the third anniversary date of an award, any unvested shares will be forfeited. Dividends declared with respect to shares awarded will be held by the Company and paid to the participant only when the shares vest. | |||||||||||||
Under all the Plans, shares of the Company's common stock were reserved for issuance as restricted stock awards to officers, employees, consultants and non-employee directors of the Company. Shares issued upon vesting may be either authorized but unissued shares or reacquired shares held by the Company as treasury shares. Any shares not issued because vesting requirements are not met will be retired back to treasury and be made available again for issuance under the Plans. | |||||||||||||
Total expense for the Plans was $1.2 million in 2014, $1.2 million in 2013 and $0.8 million in 2012. Total income tax benefits on vested awards was $0.4 million in 2014, $0.2 million in 2013 and $0.2 million in 2012. Dividends paid on unvested RRP shares, which are recognized as compensation expense, were $0.2 million in 2014, $30,000 in 2013 and $11,000 in 2012. | |||||||||||||
Activity under the recognition and retention plans was as follows: | |||||||||||||
Restricted Stock Awards Outstanding | Weighted | ||||||||||||
Average Grant Price per Share | |||||||||||||
(Dollars in Thousands, Except Per Share Amounts) | |||||||||||||
Recognition and Retention Plans: | |||||||||||||
Outstanding at December 31, 2013 | 409,068 | $ | 9.29 | ||||||||||
Granted | 188,654 | 9.01 | |||||||||||
Vested | (124,836 | ) | 9.25 | ||||||||||
Forfeited / Canceled | (53,184 | ) | 9.28 | ||||||||||
Outstanding at December 31, 2014 | 419,702 | $ | 9.17 | ||||||||||
Unrecognized compensation cost | $ | 3,850 | |||||||||||
Weighted average remaining recognition period (months) | 17 | ||||||||||||
Stock Option Plans | |||||||||||||
The Company has an active equity incentive plan, the 2014 Plan. The prior plans, the "2003 Option Plan" and the "1999 Option Plan" were terminated on October 16, 2013 and April 19, 2009, respectively. The 2014 plan is an omnibus plan from which the Company may award shares of restricted stock or stock options among other types of awards.Under all the stock option plans, shares of the Company's common stock were reserved for issuance to directors, employees, consultants and non-employee directors of the Company. Shares issued upon the exercise of a stock option may be either authorized but unissued shares or reacquired shares held by the Company as treasury shares. Any shares subject to an award which expire or are terminated unexercised will again be available for issuance under the plans. | |||||||||||||
The exercise price of options awarded is the fair market value of the common stock of the Company on the date the award is made. Certain of the options include a reload feature whereby an optionee exercising an option by delivery of shares of common stock would automatically be granted an additional option at the fair market value of stock when such additional option is granted equal to the number of shares so delivered. If an individual to whom a stock option was granted ceases to maintain continuous service by reason of normal retirement, death or disability, or following a change in control, all options and rights granted and not fully exercisable become exercisable in full upon the happening of such an event and shall remain exercisable for a period ranging from three months to five years. | |||||||||||||
No options were granted in 2014, 2013, or 2012. At December 31, 2014, 2,265,155 options were available for award under the Company's 2003 Option Plan. | |||||||||||||
There was no expense for the stock option plans in 2014 and 2013. There was $10,000 stock option expense in 2012. In accordance with the terms of the Plans, no dividend equivalent rights were paid to holders of unexercised vested options in 2014, 2013 or 2012. | |||||||||||||
Activity under the option plans was as follows: | |||||||||||||
Options | Weighted | Aggregate | Weighted | ||||||||||
Outstanding | Average | Intrinsic | Average | ||||||||||
Exercise Price | Value | Contractual | |||||||||||
Per Share | Term (In Years) | ||||||||||||
(Dollars in Thousands, Except Per Share Amounts) | |||||||||||||
Employee Stock Options: | |||||||||||||
Outstanding at December 31, 2013 | 232,345 | $ | 10.43 | ||||||||||
Granted | — | — | |||||||||||
Exercised | — | — | |||||||||||
Forfeited / Canceled | — | — | |||||||||||
Outstanding at December 31, 2014 | 232,345 | $ | 10.43 | $ | — | 4.7 | |||||||
Exercisable at December 31, 2014 | 232,345 | $ | 10.43 | $ | — | 4.7 | |||||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments | |||||||||||||||||||
A description of the valuation methodologies used for assets and liabilities measured at fair value on a recurring and non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. There were no changes in the valuation techniques used during 2014 and 2013. | ||||||||||||||||||||
Assets and Liabilities Recorded at Fair Value on a Recurring Basis | ||||||||||||||||||||
The following table set forth the carrying value of assets and liabilities measured at fair value on a recurring basis at December 31, 2014 and 2013: | ||||||||||||||||||||
Carrying Value as of December 31, 2014 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||
Debt securities: | ||||||||||||||||||||
GSEs | $ | — | $ | 22,988 | $ | — | $ | 22,988 | ||||||||||||
GSE CMOs | — | 234,169 | — | 234,169 | ||||||||||||||||
GSE MBSs | — | 250,981 | — | 250,981 | ||||||||||||||||
SBA commercial loan asset-backed securities | — | 203 | — | 203 | ||||||||||||||||
Corporate debt obligations | — | 40,207 | — | 40,207 | ||||||||||||||||
Trust preferred securities | — | 1,240 | — | 1,240 | ||||||||||||||||
Total debt securities | — | 549,788 | — | 549,788 | ||||||||||||||||
Marketable equity securities | 973 | — | — | 973 | ||||||||||||||||
Total investment securities available-for-sale | $ | 973 | $ | 549,788 | $ | — | $ | 550,761 | ||||||||||||
Interest-rate swaps | $ | — | $ | 2,676 | $ | — | $ | 2,676 | ||||||||||||
Liabilities: | ||||||||||||||||||||
Interest-rate swaps | $ | — | $ | 2,714 | $ | — | $ | 2,714 | ||||||||||||
Carrying Value as of December 31, 2013 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||
Debt securities: | ||||||||||||||||||||
GSEs | $ | — | $ | 12,180 | $ | — | $ | 12,180 | ||||||||||||
GSE CMOs | — | 243,644 | — | 243,644 | ||||||||||||||||
GSE MBSs | — | 199,401 | — | 199,401 | ||||||||||||||||
Private-label CMOs | — | 3,355 | — | 3,355 | ||||||||||||||||
SBA commercial loan asset-backed securities | — | 243 | — | 243 | ||||||||||||||||
Auction-rate municipal obligations | — | — | 1,775 | 1,775 | ||||||||||||||||
Municipal obligations | — | 1,086 | — | 1,086 | ||||||||||||||||
Corporate debt obligations | — | 28,224 | — | 28,224 | ||||||||||||||||
Trust preferred securities | — | 1,210 | — | 1,210 | ||||||||||||||||
Total debt securities | — | 489,343 | 1,775 | 491,118 | ||||||||||||||||
Marketable equity securities | 1,310 | — | — | 1,310 | ||||||||||||||||
Total investment securities available-for-sale | $ | 1,310 | $ | 489,343 | $ | 1,775 | $ | 492,428 | ||||||||||||
Interest-rate swaps | $ | — | $ | 825 | $ | — | $ | 825 | ||||||||||||
Liabilities: | ||||||||||||||||||||
Interest-rate swaps | $ | — | $ | 856 | $ | — | $ | 856 | ||||||||||||
Investment Securities Available-for-Sale | ||||||||||||||||||||
The fair value of investment securities is based principally on market prices and dealer quotes received from third-party and nationally-recognized pricing services for identical investment securities such as U.S. Treasury and agency securities. The Company's marketable equity securities are priced this way and are included in Level 1. These prices are validated by comparing the primary pricing source with an alternative pricing source when available. When quoted market prices for identical securities are unavailable, the Company uses market prices provided by independent pricing services based on recent | ||||||||||||||||||||
trading activity and other observable information, including but not limited to market interest-rate curves, referenced credit spreads and estimated prepayment speeds where applicable. These investments include certain U.S. and government agency debt securities, GSE residential MBSs and CMOs, private-label CMOs, municipal and corporate debt securities, and trust preferred securities, all of which are included in Level 2. Certain fair values estimated using pricing models (such as auctionrate municipal securities) are included in Level 3. | ||||||||||||||||||||
Additionally, management reviews changes in fair value from period to period and performs testing to ensure that prices received from the third parties are consistent with management's expectation of the market. Changes in the prices obtained from the pricing service are analyzed from month to month, taking into consideration changes in market conditions including changes in mortgage spreads, changes in U.S. Treasury security yields and changes in generic pricing of 15-year and 30-year securities. Additional analysis may include a review of prices provided by other independent parties, a yield analysis, a review of average life changes using Bloomberg analytics and a review of historical pricing for a particular security. | ||||||||||||||||||||
Interest-Rate Swaps | ||||||||||||||||||||
The fair values for the interest-rate swap assets and liabilities represent a Level 2 valuation and are based on settlement values adjusted for credit risks associated with the counterparties and the Company and observable market interest rate curves. Credit risk adjustments consider factors such as the likelihood of default by the Company and its counterparties, its net exposures and remaining contractual life. To date, the Company has not realized any losses due to a counterparty's inability to pay any net uncollateralized position. The change in value of interest-rate swap assets and liabilities attributable to credit risk was not significant during the reported periods. Refer also to Note 16, "Derivatives and Hedging Activities." | ||||||||||||||||||||
The reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) is as follows for the periods indicated: | ||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Investment securities available-for-sale, beginning of year | $ | 1,775 | $ | 2,917 | ||||||||||||||||
Investment security sales | (1,658 | ) | — | |||||||||||||||||
Principal paydowns and other | — | (1,150 | ) | |||||||||||||||||
Total realized losses included in other income | (242 | ) | — | |||||||||||||||||
Total unrealized gains included in other comprehensive income | 125 | 8 | ||||||||||||||||||
Investment securities available-for-sale, end of year | $ | — | $ | 1,775 | ||||||||||||||||
There were no transfers between levels for assets and liabilities recorded at fair value on a recurring basis during 2014 or 2013. | ||||||||||||||||||||
Assets and Liabilities Recorded at Fair Value on a Non-Recurring Basis | ||||||||||||||||||||
Assets and liabilities measured at fair value on a non-recurring basis at December 31, 2014 and 2013 are summarized below: | ||||||||||||||||||||
Carrying Value as of December 31, 2014 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets measured at fair value on a non-recurring basis: | ||||||||||||||||||||
Collateral-dependent impaired loans and leases | $ | — | $ | — | $ | 6,376 | $ | 6,376 | ||||||||||||
OREO | — | — | 953 | 953 | ||||||||||||||||
Repossessed assets | — | 503 | — | 503 | ||||||||||||||||
Total assets measured at fair value on a non-recurring basis | $ | — | $ | 503 | $ | 7,329 | $ | 7,832 | ||||||||||||
Carrying Value as of December 31, 2013 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets measured at fair value on a non-recurring basis: | ||||||||||||||||||||
Collateral-dependent impaired loans and leases | $ | — | $ | — | $ | 12,099 | $ | 12,099 | ||||||||||||
OREO | — | — | 577 | 577 | ||||||||||||||||
Repossessed assets | — | 1,001 | — | 1,001 | ||||||||||||||||
Total assets measured at fair value on a non-recurring basis | $ | — | $ | 1,001 | $ | 12,676 | $ | 13,677 | ||||||||||||
Collateral-Dependent Impaired Loans and Leases | ||||||||||||||||||||
For nonperforming loans and leases where the credit quality of the borrower has deteriorated significantly, fair values of the underlying collateral were estimated using purchase and sales agreements (Level 2), or comparable sales or recent appraisals (Level 3), adjusted for selling costs and other expenses. | ||||||||||||||||||||
OREO | ||||||||||||||||||||
The Company records other real estate owned at the lower of cost or fair value. In estimating fair value, the Company utilizes purchase and sales agreements (Level 2) or comparable sales, recent appraisals or cash flows discounted at an interest rate commensurate with the risk associated with these cash flows (Level 3), adjusted for selling costs and other expenses. | ||||||||||||||||||||
Repossessed Assets | ||||||||||||||||||||
Repossessed assets are carried at estimated fair value less costs to sell based on auction pricing (Level 2). | ||||||||||||||||||||
The table below presents quantitative information about significant unobservable inputs (Level 3) for assets measured at fair value on a recurring basis at the dates indicated. | ||||||||||||||||||||
Fair Value | Valuation Technique | Unobservable Input | Range | Weighted | ||||||||||||||||
Average | ||||||||||||||||||||
Yields | ||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||
Auction-rate municipal obligations | $ | — | $ | 1,775 | Discounted cash flow | Discount rate | 0-5% | — | % | |||||||||||
Collateral-dependent impaired loans and leases | $ | 6,376 | $ | 12,099 | Appraisal of collateral (1) | |||||||||||||||
OREO | $ | 953 | $ | 577 | Appraisal of collateral (1) | |||||||||||||||
(1) Fair value is generally determined through independent appraisals of the underlying collateral. The Company may also use another available source of collateral assessment to determine a reasonable estimate of the fair value of the collateral. Appraisals may be adjusted by management for qualitative factors such as economic factors and estimated liquidation expenses. The range of these possible adjustments may vary. | ||||||||||||||||||||
Summary of Estimated Fair Values of Financial Instruments | ||||||||||||||||||||
The following table presents the carrying amount, estimated fair value, and placement in the fair value hierarchy of the Company's financial instruments as of December 31, 2014 and 2013. This table excludes financial instruments for which the carrying amount approximates fair value. Financial assets for which the fair value approximates carrying value include cash and cash equivalents, FHLBB and FRB stock and accrued interest receivable. Financial liabilities for which the fair value approximates carrying value include non-maturity deposits, short-term borrowings and accrued interest payable. | ||||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||
Carrying | Estimated | Level 1 | Level 2 | Level 3 | ||||||||||||||||
Value | Fair Value | Inputs | Inputs | Inputs | ||||||||||||||||
(In Thousands) | ||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||
Financial assets: | ||||||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||
Loans held-for-sale | 1,537 | 1,537 | — | 1,537 | — | |||||||||||||||
Loans and leases, net | 4,768,948 | 4,753,605 | — | — | 4,753,605 | |||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Certificates of deposit | 946,708 | 949,320 | — | 949,320 | — | |||||||||||||||
Borrowed funds | 1,126,404 | 1,132,940 | — | 1,132,940 | — | |||||||||||||||
31-Dec-13 | ||||||||||||||||||||
Financial assets: | ||||||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||
Loans held-for-sale | 13,372 | 13,372 | — | 13,372 | — | |||||||||||||||
Loans and leases, net | 4,313,992 | 4,552,556 | — | — | 4,552,556 | |||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Certificates of deposit | 934,668 | 938,703 | — | 938,703 | — | |||||||||||||||
Borrowed funds | 812,555 | 815,910 | — | 815,910 | — | |||||||||||||||
Investment Securities Held-to-Maturity | ||||||||||||||||||||
The fair value of securities held-to-maturity are estimated using pricing models or are based on comparisons to market prices of similar securities and considered to be Level 3. | ||||||||||||||||||||
Loans Held-for-Sale | ||||||||||||||||||||
Fair value is measured using quoted market prices when available. These assets are typically categorized as Level 1. If quoted market prices are not available, comparable market values may be utilized. These assets are typically categorized as Level 2. | ||||||||||||||||||||
Loans and Leases | ||||||||||||||||||||
The fair value of performing loans and leases was estimated by segregating the portfolio into its primary loan and lease categories—commercial real estate mortgage, multi-family mortgage, construction, commercial, equipment financing, condominium association, indirect automobile, residential mortgage, home equity and other consumer. These categories were further disaggregated based upon significant financial characteristics such as type of interest rate (fixed, variable) and payment status (current, past-due). The Company then discounted the contractual cash flows for each loan category using interest rates currently being offered for loans with similar terms to borrowers of similar quality and incorporates estimates of future loan prepayments. This method of estimating fair value does not incorporate the exit price concept of fair value. | ||||||||||||||||||||
Deposits | ||||||||||||||||||||
The fair values of deposit liabilities with no stated maturity (demand, NOW, savings and money market savings accounts) are equal to the carrying amounts payable on demand. The fair value of certificates of deposit represents contractual cash flows discounted using interest rates currently offered on deposits with similar characteristics and remaining maturities. The fair value estimates for deposits do not include the benefit that results from the low-cost funding provided by the Company's core deposit relationships (deposit-based intangibles). | ||||||||||||||||||||
Borrowed Funds | ||||||||||||||||||||
The fair value of federal funds purchased is equal to the amount borrowed. The fair value of FHLBB advances and repurchase agreements represents contractual repayments discounted using interest rates currently available for borrowings with similar characteristics and remaining maturities. The fair values reported for retail repurchase agreements are based on the discounted value of contractual cash flows. The discount rates used are representative of approximate rates currently offered on borrowings with similar characteristics and maturities. The fair values reported for subordinated deferrable interest debentures are based on the discounted value of contractual cash flows. The discount rates used are representative of approximate rates currently offered on instruments with similar terms and maturities. |
Condensed_Parent_Company_Finan
Condensed Parent Company Financial Statements | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ||||||||||||
Condensed Parent Company Financial Statements | Condensed Parent Company Financial Statements | |||||||||||
Condensed Parent Company Balance Sheets as of December 31, 2014 and 2013 and Statements of Income for the years ended December 31, 2014, 2013 and 2012 follow. The Statement of Stockholders' Equity is not presented below as the parent company's stockholders' equity is that of the consolidated company. | ||||||||||||
Balance Sheets | ||||||||||||
At December 31, | ||||||||||||
2014 | 2013 | |||||||||||
(In Thousands) | ||||||||||||
ASSETS | ||||||||||||
Cash and due from banks | $ | 3,293 | $ | 12,438 | ||||||||
Short-term investments | 49,008 | 33 | ||||||||||
Total cash and cash equivalents | 52,301 | 12,471 | ||||||||||
ESOP loan to Brookline Bank | 2,002 | 2,252 | ||||||||||
Restricted equity securities | 100 | 100 | ||||||||||
Premises and equipment, net | 11,026 | 11,850 | ||||||||||
Investment in subsidiaries, at equity | 627,463 | 575,375 | ||||||||||
Goodwill | 35,267 | 35,267 | ||||||||||
Other assets | 4,366 | 6,185 | ||||||||||
Total assets | $ | 732,525 | $ | 643,500 | ||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
Borrowed funds | $ | 82,745 | $ | 9,163 | ||||||||
Deferred tax liability | 721 | 1,195 | ||||||||||
Accrued expenses and other liabilities | 8,309 | 19,275 | ||||||||||
Total liabilities | 91,775 | 29,633 | ||||||||||
Stockholders' equity: | ||||||||||||
Common stock, $0.01 par value; 200,000,000 shares authorized; 75,744,445 shares issued | 757 | 757 | ||||||||||
Additional paid-in capital | 617,475 | 617,538 | ||||||||||
Retained earnings, partially restricted | 83,792 | 64,903 | ||||||||||
Accumulated other comprehensive loss | (1,622 | ) | (7,915 | ) | ||||||||
Treasury stock, at cost; 5,040,571 shares and 5,171,985 shares, respectively | (58,282 | ) | (59,826 | ) | ||||||||
Unallocated common stock held by ESOP; 251,382 shares and 291,666 shares, respectively | (1,370 | ) | (1,590 | ) | ||||||||
Total Brookline Bancorp, Inc. stockholders' equity | 640,750 | 613,867 | ||||||||||
Total liabilities and stockholders' equity | $ | 732,525 | $ | 643,500 | ||||||||
Statements of Income | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Interest and dividend income: | ||||||||||||
Dividend income from subsidiaries | $ | 24,700 | $ | 30,000 | $ | 30,000 | ||||||
ESOP loan to Brookline Bank | 183 | 205 | 227 | |||||||||
Total interest and dividend income | 24,883 | 30,205 | 30,227 | |||||||||
Interest expense: | ||||||||||||
Borrowed funds | 1,746 | 442 | 589 | |||||||||
Net interest income | 23,137 | 29,763 | 29,638 | |||||||||
Non-interest expense: | ||||||||||||
Compensation and employee benefits | 2,357 | 2,305 | 11,302 | |||||||||
Occupancy | 38 | 16 | — | |||||||||
Equipment and data processing | 1,499 | 4,263 | 1,395 | |||||||||
Directors' fees | 656 | 590 | 580 | |||||||||
Franchise taxes | 252 | 223 | 175 | |||||||||
Insurance | 472 | 352 | 68 | |||||||||
Professional services(1) | (113 | ) | 583 | 2,773 | ||||||||
Other | 751 | 2,040 | 2,420 | |||||||||
Total non-interest expense | 5,912 | 10,372 | 18,713 | |||||||||
Income before income taxes | 17,225 | 19,391 | 10,925 | |||||||||
Credit for income taxes | (2,705 | ) | (4,035 | ) | (7,050 | ) | ||||||
Income before equity in undistributed income of subsidiaries | 19,930 | 23,426 | 17,975 | |||||||||
Equity in undistributed income of subsidiaries | 22,835 | 11,960 | 19,167 | |||||||||
Net income | $ | 42,765 | $ | 35,386 | $ | 37,142 | ||||||
(1) The Parent Company received a net benefit in 2014 from the intercompany allocation of expense that is eliminated in consolidation. | ||||||||||||
Statements of Cash Flows | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Cash flows from operating activities: | ||||||||||||
Net income attributable to parent company | $ | 42,765 | $ | 35,386 | $ | 37,142 | ||||||
Adjustments to reconcile net income to net cash provided from operating activities: | ||||||||||||
Equity in undistributed income of subsidiaries | (22,835 | ) | (11,960 | ) | (19,167 | ) | ||||||
Depreciation of premises and equipment | 2,563 | 1,810 | 355 | |||||||||
Amortization of debt issuance costs | 29 | — | — | |||||||||
Other operating activities, net | (30,822 | ) | 14,745 | (5,972 | ) | |||||||
Net cash (used for) provided from operating activities | (8,300 | ) | 39,981 | 12,358 | ||||||||
Cash flows from investing activities: | ||||||||||||
Acquisitions, net of cash and cash equivalents acquired | — | — | (89,258 | ) | ||||||||
Monies in escrow—Bancorp Rhode Island, Inc. acquisition | — | — | 112,983 | |||||||||
Repayment of ESOP loan by Brookline Bank | 250 | 250 | 250 | |||||||||
Purchase of restricted equity securities | — | — | (100 | ) | ||||||||
Purchase of premises and equipment | (1,739 | ) | (5,458 | ) | (8,557 | ) | ||||||
Net cash (used for) provided from investing activities | (1,489 | ) | (5,208 | ) | 15,318 | |||||||
Cash flows from financing activities: | ||||||||||||
(Decrease) increase in demand deposit, NOW, savings and money market accounts | — | (41 | ) | 41 | ||||||||
Proceeds from issuance of subordinated notes | 73,495 | — | — | |||||||||
Repayment of subordinated debentures | — | (3,000 | ) | — | ||||||||
Payment of dividends on common stock | (23,876 | ) | (23,841 | ) | (23,777 | ) | ||||||
Net cash provided from (used for) financing activities | 49,619 | (26,882 | ) | (23,736 | ) | |||||||
Net increase in cash and cash equivalents | 39,830 | 7,891 | 3,940 | |||||||||
Cash and cash equivalents at beginning of year | 12,471 | 4,580 | 640 | |||||||||
Cash and cash equivalents at end of year | $ | 52,301 | $ | 12,471 | $ | 4,580 | ||||||
Quarterly_Results_of_Operation
Quarterly Results of Operations (Unaudited) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Quarterly Results of Operations (Unaudited) | Quarterly Results of Operations (Unaudited) | |||||||||||||||
2014 Quarters | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
(Dollars in Thousands Except Per Share Data) | ||||||||||||||||
Interest and dividend income | $ | 55,826 | $ | 54,616 | $ | 53,346 | $ | 54,694 | ||||||||
Interest expense | 8,250 | 7,292 | 6,912 | 6,960 | ||||||||||||
Net interest income | 47,576 | 47,324 | 46,434 | 47,734 | ||||||||||||
Provision for credit losses | 1,724 | 2,034 | 2,276 | 2,443 | ||||||||||||
Net interest income after provision for credit losses | 45,852 | 45,290 | 44,158 | 45,291 | ||||||||||||
Loss from investment in affordable housing projects | (474 | ) | (543 | ) | (539 | ) | (504 | ) | ||||||||
Gain/(loss) on sales of securities, net | 78 | — | (13 | ) | — | |||||||||||
Gain on sale of loans and leases held-for-sale | 323 | 538 | 54 | 602 | ||||||||||||
Other non-interest income | 4,148 | 5,661 | 3,788 | 5,026 | ||||||||||||
Amortization of identified intangible assets | (827 | ) | (828 | ) | (827 | ) | (861 | ) | ||||||||
Other non-interest expense | (31,636 | ) | (31,096 | ) | (30,395 | ) | (32,715 | ) | ||||||||
Income before provision for income taxes | 17,464 | 19,022 | 16,226 | 16,839 | ||||||||||||
Provision for income taxes | 6,201 | 6,779 | 5,774 | 5,995 | ||||||||||||
Net income | 11,263 | 12,243 | 10,452 | 10,844 | ||||||||||||
Less net income attributable to noncontrolling interest in subsidiary | 477 | 662 | 476 | 422 | ||||||||||||
Net income attributable to Brookline Bancorp, Inc. | $ | 10,786 | $ | 11,581 | $ | 9,976 | $ | 10,422 | ||||||||
Earnings per share: | ||||||||||||||||
Basic | $ | 0.15 | $ | 0.17 | $ | 0.14 | $ | 0.15 | ||||||||
Diluted | 0.15 | 0.17 | 0.14 | 0.15 | ||||||||||||
Average common shares outstanding: | ||||||||||||||||
Basic | 70,024,495 | 69,989,909 | 69,886,576 | 69,875,473 | ||||||||||||
Diluted | 70,130,243 | 70,088,987 | 70,012,377 | 69,983,999 | ||||||||||||
Common stock price: | ||||||||||||||||
High | $ | 10.15 | $ | 9.51 | $ | 9.63 | $ | 9.7 | ||||||||
Low | 8.56 | 8.55 | 8.83 | 8.66 | ||||||||||||
Dividends per share | $ | 0.085 | $ | 0.085 | $ | 0.085 | $ | 0.085 | ||||||||
2013 Quarters | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
(Dollars in Thousands Except Per Share Data) | ||||||||||||||||
Interest and dividend income | $ | 51,049 | $ | 50,823 | $ | 52,900 | $ | 51,612 | ||||||||
Interest expense | 7,275 | 7,411 | 7,537 | 7,943 | ||||||||||||
Net interest income | 43,774 | 43,412 | 45,363 | 43,669 | ||||||||||||
Provision for credit losses | 3,887 | 2,748 | 2,439 | 1,855 | ||||||||||||
Net interest income after provision for credit losses | 39,887 | 40,664 | 42,924 | 41,814 | ||||||||||||
Loss from investments in affordable housing projects | (318 | ) | (558 | ) | (624 | ) | (312 | ) | ||||||||
Gain on sales of securities, net | 397 | — | — | — | ||||||||||||
(Loss)/gain on sales of loans and leases held-for-sale | (39 | ) | 149 | 200 | 298 | |||||||||||
Other non-interest income | 3,867 | 3,862 | 3,562 | 3,341 | ||||||||||||
Amortization of identified intangible assets | (1,127 | ) | (1,154 | ) | (1,177 | ) | (1,165 | ) | ||||||||
Other non-interest expense | (30,193 | ) | (28,399 | ) | (29,638 | ) | (29,607 | ) | ||||||||
Income before provision for income taxes | 12,474 | 14,564 | 15,247 | 14,369 | ||||||||||||
Provision for income taxes | 4,325 | 4,645 | 5,382 | 5,129 | ||||||||||||
Net income | 8,149 | 9,919 | 9,865 | 9,240 | ||||||||||||
Less net income attributable to noncontrolling interest in subsidiary | 495 | 490 | 375 | 427 | ||||||||||||
Net income attributable to Brookline Bancorp, Inc. | $ | 7,654 | $ | 9,429 | $ | 9,490 | $ | 8,813 | ||||||||
Earnings per share: | ||||||||||||||||
Basic | $ | 0.11 | $ | 0.14 | $ | 0.14 | $ | 0.13 | ||||||||
Diluted | 0.11 | 0.13 | 0.14 | 0.13 | ||||||||||||
Average common shares outstanding: | ||||||||||||||||
Basic | 69,862,175 | 69,830,953 | 69,774,703 | 69,762,784 | ||||||||||||
Diluted | 69,951,683 | 69,913,765 | 69,833,541 | 69,830,630 | ||||||||||||
Common stock price: | ||||||||||||||||
High | $ | 9.58 | $ | 10.08 | $ | 9.14 | $ | 9.39 | ||||||||
Low | 8.72 | 8.81 | 8.23 | 8.66 | ||||||||||||
Dividends per share | $ | 0.085 | $ | 0.085 | $ | 0.085 | $ | 0.085 | ||||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies | |
Basis of Accounting | The Company's consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles ("GAAP") as set forth by the Financial Accounting Standards Board ("FASB") in its Accounting Standards Codification and through the rules and interpretive releases of the Securities and Exchange Commission ("SEC") under the authority of federal securities laws. |
Consolidation | The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions and balances are eliminated in consolidation. |
Use of Estimates | In preparing these consolidated financial statements, management is required to make significant estimates and assumptions that affect the reported amounts of assets, liabilities, income, expenses and disclosure of contingent assets and liabilities. Actual results could differ from those estimates based upon changing conditions, including economic conditions and future events. Material estimates that are particularly susceptible to significant change in the near-term include the determination of the allowance for loan and lease losses, the determination of fair market values of assets and liabilities, including acquired loans, the review of goodwill and intangibles for impairment and the review of deferred tax assets for valuation allowance. |
Reclassification | Reclassification |
Certain previously reported amounts have been reclassified to conform to the current year's presentation. | |
Cash and Cash Equivalents | Cash and Cash Equivalents |
For purposes of reporting asset balances and cash flows, cash and cash equivalents includes cash on hand and due from banks (including cash items in process of clearing), interest-bearing deposits with banks, federal funds sold, money market mutual funds and other short-term investments with original maturities of three months or less. | |
Investment Securities | Investment Securities |
Investment securities, other than those reported as short-term investments, are classified at the time of purchase as "available-for-sale," "held-to-maturity," or "trading." Classification is periodically re-evaluated for consistency with the Company's goals and objectives. Equity investments in the Federal Home Loan Bank of Boston ("FHLBB") and the Federal Reserve Bank of Boston are discussed in more detail in Note 5, "Restricted Equity Securities." | |
Investment Securities Available-for-Sale and Held-to-Maturity | |
Investment securities for which the Company has the positive intent and ability to hold to maturity are classified as held-to-maturity and carried at amortized cost. Those investment securities held for indefinite periods of time but not necessarily to maturity are classified as available-for-sale. Investment securities held for indefinite periods of time include investment securities that management intends to use as part of its asset/liability, liquidity, and/or capital management strategies and may be sold in response to changes in interest rates, maturities, asset/liability mix, liquidity needs, regulatory capital needs or other business factors. Investment securities available-for-sale are carried at estimated fair value, primarily obtained from a third-party pricing service, with unrealized gains and losses reported on an after-tax basis in stockholders' equity as accumulated other comprehensive income or loss. As of December 31, 2014 and 2013, the Company did not make any adjustments to the prices provided by the third-party pricing service. | |
Security transactions are recorded on the trade date. Realized gains and losses are determined using the specific identification method and are recorded in non-interest income. Interest and dividends on securities are recorded using the accrual method. Premiums and discounts on securities are amortized or accreted into interest income using the level-yield method over the remaining period to contractual maturity, adjusted for the effect of actual prepayments in the case of mortgage-backed securities ("MBSs") and collateralized mortgage obligations ("CMOs"). These estimates of prepayment assumptions are made based upon the actual performance of the underlying security, current interest rates, the general market consensus regarding changes in mortgage interest rates, the contractual repayment terms of the underlying loans, the priority rights of the investors to the cash flows from the mortgage securities and other economic conditions. When differences arise between anticipated prepayments and actual prepayments, the effective yield is recalculated to reflect actual payments to date and anticipated future payments. Unamortized premium or discount is adjusted to the amount that would have existed had the new effective yield been applied since purchase, with a corresponding charge or credit to interest income. | |
Management evaluates securities for other-than-temporary impairment ("OTTI") on a periodic basis. Factors considered in determining whether an impairment is OTTI include: (1) the length of time and the extent to which the fair value has been less than amortized cost, (2) projected future cash flows, (3) the financial condition and near-term prospects of the issuers and (4) the intent and ability of the Company to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair value. The Company records an OTTI loss in an amount equal to the entire difference between the fair value and amortized cost if (1) the Company intends to sell an impaired investment security, (2) it is more likely than not that the Company will be required to sell the investment security before its amortized costs or (3) for debt securities, the present value of expected future cash flows is not sufficient to recover the entire amortized cost basis. If an investment security is determined to be OTTI but the Company does not intend to sell the investment security, only the credit portion of the estimated loss is recognized in earnings, with the non credit portion of the loss recognized in other comprehensive income. | |
Restricted Equity Securities | |
The Company invests in the stock of the FHLBB, the Federal Reserve Bank of Boston and a small amount of other restricted securities. No ready market exists for these stocks, and they have no quoted market values. The Banks, as members of the FHLBB, are required to maintain investments in the capital stock of the FHLBB equal to their membership base investments plus an activity-based investment determined according to the Banks' level of outstanding FHLBB advances. Federal Reserve Bank of Boston stock was purchased at par and is redeemable at par. | |
Loans | Loans |
Originated Loans | |
Loans the Company originates for the portfolio, and for which it has the intent and ability to hold to maturity, are reported at amortized cost, inclusive of deferred loan origination fees and expenses, less unadvanced funds due borrowers on loans and the allowance for loan and lease losses. | |
Interest income on loans and leases originated for the portfolio is accrued on unpaid principal balances as earned. Loan origination fees and direct loan origination costs are deferred, and the net fee or cost is recognized in interest income using the interest method. Deferred amounts are recognized for fixed-rate loans over the contractual life of the loans and for adjustable-rate loans over the period of time required to adjust the contractual interest rate to a yield approximating a market rate at the origination date. If a loan is prepaid, the unamortized portion of the loan origination costs, including those indirect-automobile-related costs not subject to rebate from the dealer, is charged to income. | |
Loans and Leases Held-for-Sale | |
Management identifies and designates certain newly originated loans and leases for sale to specific financial institutions, subject to the underwriting criteria of those financial institutions. These loans and leases are held for sale and are carried at the lower of cost or market as determined in the aggregate. Deferred loan fees and costs are included in the determination of the gain or loss on sale. | |
Acquired Loans | |
Acquired loans that have evidence of deterioration of credit quality since origination and for which it is probable, at acquisition, that the Corporation will be unable to collect all contractually required payments receivable are initially recorded at fair value (as determined by the present value of expected future cash flows) with no valuation allowance. The difference between the undiscounted cash flows expected at acquisition and the recorded fair value of the loan, or the “accretable yield,” is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition, or the “nonaccretable difference,” are not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Increases in expected cash flows subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining life. Decreases in expected cash flows are recognized as impairment. Valuation allowances on these impaired loans reflect only losses incurred after the acquisition (meaning the present value of all cash flows expected at acquisition that ultimately are not to be received). | |
Non-Performing Loans | Nonperforming Loans |
Nonaccrual Loans | |
Accrual of interest on loans generally is discontinued when contractual payment of principal or interest becomes past due 90 days or, if in management's judgment, reasonable doubt exists as to the full timely collection of interest. Exceptions may be made if the loan has matured and is in the process of renewal or is well-secured and in the process of collection. When a loan is placed on nonaccrual status, interest accruals cease and uncollected accrued interest is reversed and charged against current interest income. Interest payments on nonaccrual loans are generally applied to principal. If collection of the principal is reasonably assured, interest payments are recognized as income on the cash basis. Loans are generally returned to accrual status when principal and interest payments are current, full collectability of principal and interest is reasonably assured and a consistent record of at least six consecutive months of performance has been achieved. | |
Impaired Loans | |
A loan is considered to be impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due (both interest and principal) according to the contractual terms of the loan agreement. Smaller-balance, homogeneous loans that are evaluated collectively for impairment, such as indirect automobile, residential, home equity and other consumer loans are specifically excluded from the impaired loan portfolio except where the loan is classified as a troubled debt restructuring. The Company has defined the population of impaired loans to include nonaccrual loans and troubled debt restructured loans. | |
The value of an impaired loan is measured based upon the present value of expected future cash flows discounted at the loan's effective interest rate, or the fair value of the collateral if the loan is collateral-dependent and its payment is expected solely based on the underlying collateral. For impaired loans deemed collateral dependent, where impairment is measured using the fair value of the collateral, the Company will either obtain a new appraisal or use another available source of collateral assessment to determine a reasonable estimate of the fair value of the collateral. | |
Interest collected on impaired loans is either applied against principal or reported as income according to management's judgment as to the collectability of principal. If management does not consider a loan ultimately collectible within an acceptable time frame, payments are applied as principal to reduce the loan balance. If full collection of the remaining recorded investment should subsequently occur, interest receipts are recorded as interest income on a cash basis. | |
Troubled Debt Restructured Loans | |
In cases where a borrower experiences financial difficulties and the Company makes certain concessionary modifications to contractual terms, the loan is classified as a troubled debt restructured loan. In determining whether a debtor is experiencing financial difficulties, the Company considers, among other factors, if the debtor is in payment default or is likely to be in payment default in the foreseeable future without the modification, the debtor declared or is in the process of declaring bankruptcy, there is substantial doubt that the debtor will continue as a going concern, the debtor's entity-specific projected cash flows will not be sufficient to service its debt, or the debtor cannot obtain funds from sources other than the existing creditors at market terms for debt with similar risk characteristics. | |
Large groups of small-balance homogeneous loans such as the residential real estate, residential construction, home equity and other consumer portfolios are collectively evaluated for impairment. As such, the Company does not typically identify individual loans within these groupings as impaired loans or for impairment evaluation and disclosure. However, the Company evaluates all TDRs for impairment on an individual loan basis regardless of loan type. | |
Modifications may include interest-rate reductions, short-term (defined as one year or less) changes in payment structure to interest-only payments, short-term extensions of the loan's original contractual term or, less frequently, principal forgiveness, interest capitalization, forbearance and other actions intended to minimize the economic loss and to avoid foreclosure or repossession of collateral. Typically, troubled debt restructurings are placed on nonaccrual status and reported as nonperforming loans. Generally, a nonaccrual loan that is restructured remains on nonaccrual for a period of six months to demonstrate the borrower can meet the restructured terms; however, performance prior to the restructuring, or significant events that coincide with the restructuring, are considered in assessing whether the borrower can meet the new terms and may result in the loan being returned to accrual status at the time of restructuring or after a shorter performance period. If the borrower's ability to meet the revised payment schedule is not reasonably assured, the loan remains classified as a nonaccrual loan. | |
Loans restructured at an interest rate equal to or greater than that of a new loan with comparable risk at the time of the loan agreement is modified may be excluded from restructured loan disclosures in years subsequent to the restructuring if they are in compliance with the modified terms. | |
Allowance for Loan and Lease Losses | Allowance for Loan and Lease Losses |
Additions to the allowance for loan and lease losses are made by charges to the provision for credit losses. Losses on loans and leases are charged off against the allowance when all or a portion of a loan or lease is considered uncollectible. Subsequent recoveries on loans previously charged off, if any, are credited to the allowance when realized | |
The allowance for loan and lease losses consists of general, specific and unallocated reserves and reflects management's estimate of probable loan and lease losses inherent in the loan portfolio at the balance sheet date. Management uses a consistent and systematic process and methodology to evaluate the adequacy of the allowance for loan and lease losses on a quarterly basis. The allowance is calculated by loan category, including commercial real estate loans, commercial loans and leases, indirect automobile loans and consumer loans; with each of these categories further segregated into classes. A formula-based credit evaluation approach is applied to each group, coupled with an analysis of certain loans for impairment. | |
The process to determine the allowance for loan and lease losses requires management to exercise considerable judgment regarding the risk characteristics of the loan portfolio categories and the effect of relevant internal and external factors. The reasonableness of prior judgments is evaluated on a quarterly basis by comparison of estimated loan and lease losses to loan and lease losses actually incurred. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Company's allowance for loan and lease losses. Such agencies may require the Company to change the allowance based on their judgments of information available to them at the time of their examination. | |
General Allowance | |
The general allowance related to loans collectively evaluated for impairment is determined using a formula-based approach utilizing the risk ratings of individual credits and loss factors derived from historic portfolio loss rates which includes estimates of incurred losses over an estimated loss emergence period (“LEP”). The LEP was generated utilizing a charge-off look-back analyses which studied the time from the first indication of elevated risk of repayment (or other early event indicating a problem) to eventual charge-off to support the LEP considered in the allowance calculation. This reserving methodology established the approximate number of months of a LEP that incurred losses should be carried for each portfolio. Other relevant qualitative factors include, but are not limited to, historic levels and trends in loan charge-offs and recoveries; past-due loans; risk-rated loans; classified loans and impaired loans; the pace of loan growth; underwriting policies and adherence to such policies; changes in credit concentration; the experience of lending personnel and management; trends in the economy and employment; business conditions; industry conditions; and political, legislative and regulatory changes. The general allowance related to the acquired loans collectively evaluated for impairment are determined based upon the degree, if any, of deterioration in the pooled loans subsequent to acquisition. The qualitative factors used in the determination are the same as those used for originated loans. | |
Specific Allowance | |
Specific valuation allowances are established for impaired originated loans with book values greater than the discounted present value of expected future cash flows or, in the case of collateral-dependent impaired loans, for any excess of a loan's book balance and the fair value of its underlying collateral. Specific valuation allowances are established for acquired loans with deterioration in the discounted present value of expected further cash flows since acquisitions or, in the case of collateral dependent impaired loans, for any increase in the excess of a loan's book balance greater than the fair value of its underlying collateral. A specific valuation allowance for losses on troubled debt restructured loans is determined by comparing the net carrying amount of the troubled debt restructured loan with the restructured loan's cash flows discounted at the original effective rate. Impaired loans are reviewed quarterly with adjustments made to the calculated reserve as deemed necessary. | |
Unallocated Allowance | |
Determination of the unallocated portion of the allowance is a subjective process. Management believes the unallocated allowance is an important component of the total allowance because it addresses the probable inherent risk of loss that exists in that part of the Company's loan portfolio with repayment terms that extend over many years. It also helps to minimize the risk related to the margin of imprecision inherent in the estimation of the allocated components of the allowance. The Company has not allocated the unallocated portion of the allowance to the various loan categories and classes because such an allocation would imply a degree of precision that does not exist. | |
Liability for Unfunded Commitments | |
In the ordinary course of business, the Company enters into commitments to extend credit, commercial letters of credit, and standby letters of credit. Such financial instruments are recorded in the financial statements when they become payable. The credit risk associated with these commitments is evaluated in a manner similar to the allowance for loan losses. | |
Premises and Equipment | Premises and Equipment |
Premises and equipment are carried at cost less accumulated depreciation and amortization, except for land which is carried at cost. Premises and equipment are depreciated using the straight-line method over the estimated useful life of the assets. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or the estimated useful life of the improvements. | |
Costs related to internal-use software development projects that provide significant new functionality are capitalized. Internal-use software is software acquired or modified solely to meet the Company's needs and for which there is no plan to market the software externally. Direct and indirect costs associated with the application development stage of internal use software are capitalized until such time that the software is substantially complete and ready for its intended use. Capitalized costs are amortized on a straight-line basis over the remaining estimated life of the software. Computer software and development costs incurred in the preliminary project stage, as well as training and maintenance costs, are expensed as incurred. | |
Leases | Leases |
The Company leases properties for offices and branches in the states of Massachusetts, Rhode Island and New York. Lease terms range from five years to over 20 years with options to renew. Management performs an analysis to determine proper lease accounting at lease inception and for each renewal. If a lease meets any of the following four criteria, the lease is classified as capital lease. The four criteria are: transfer of ownership by the end of lease term; contains bargain purchase option; lease term is at least 75% of the property’s estimated remaining economic life; or present value of the minimum lease payment is at least 90% of the fair value of the leased property. The Company did not have any capital leases at December 31, 2014 and 2013. All leases are classified as operating leases and rental payments are expensed as incurred. Certain leases contain rent escalation clauses which are amortized over the life of the lease under the straight-line method. | |
Bank-Owned Life Insurance | Bank-Owned Life Insurance |
The Company acquired bank-owned life insurance ("BOLI") plans as part of its acquisitions of First Ipswich and BankRI. BOLI represents life insurance on the lives of certain current and former employees who have provided positive consent allowing their employer to be the beneficiary of such policies. BankRI and First Ipswich are the beneficiaries of their respective policies. BankRI and First Ipswich utilize BOLI as tax-efficient financing for their benefit obligations to their employees, including their retirement obligations and Supplemental Executive Retirement Plans ("SERPs"). | |
Since BankRI and First Ipswich are the primary beneficiaries of their respective insurance policies, increases in the cash value of the policies, as well as insurance proceeds received, are recorded in non-interest income and are not subject to income taxes. BOLI is recorded at the cash value of the policies, less any applicable cash surrender charges, and is reflected as an asset in the accompanying consolidated balance sheets. Cash proceeds, if any, are classified as cash flows from investing activities. | |
The Company reviews the financial strength of the insurance carriers prior to the purchase of BOLI to ensure minimum credit ratings of at least investment grade. The financial strength of the carriers is reviewed at least annually and BOLI with any individual carrier is limited to 10% of the Company's capital and 25% of capital in the aggregate. | |
Goodwill and Other Identified Intangible Assets | Goodwill and Other Identified Intangible Assets |
Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired. Goodwill and indefinite-lived identified intangible assets are not subject to amortization. Definite-lived identified intangible assets are assets resulting from acquisitions that are being amortized over their estimated useful lives. The recoverability of goodwill and identified intangible assets is evaluated for impairment at least annually. As part of this evaluation, the Company makes a qualitative assessment of whether it is more likely than not that the fair value of an acquired asset is greater than its carrying amount. If the Company qualitatively concludes that it is more likely than not that the fair value of an acquired asset is greater than its carrying amount, no further testing is necessary. If, however, the Company qualitatively concludes that it is more likely than not that the fair value of an acquired asset is less than its carrying value, the Company performs a two-step quantitative impairment test to determine whether the asset is impaired. If impairment is deemed to have occurred, the amount of impairment is charged to expense when identified. | |
OREO and Repossessed Assets | OREO and Other Repossessed Assets |
OREO and other repossessed assets consists of properties acquired through foreclosure, real estate acquired through acceptance of a deed in lieu of foreclosure and loans determined to be substantively repossessed. Real estate loans that are substantively repossessed include only those loans for which the Company has taken possession of the collateral. OREO and repossessed assets which consist of vehicles and equipment, if any, are recorded initially at estimated fair value less costs to sell, resulting in a new cost basis. The amount by which the recorded investment in the loan exceeds the fair value (net of estimated cost to sell) of the foreclosed or repossessed asset is charged to the allowance for loan and lease losses. Such evaluations are based on an analysis of individual properties/assets as well as a general assessment of current real estate market conditions. Subsequent declines in the fair value of the foreclosed or repossessed asset below the new cost basis are recorded through the use of a valuation allowance. Subsequent increases in the fair value are recorded as reductions in the allowance, but not below zero. Rental revenue received on foreclosed or repossessed assets is included in other non-interest income, whereas operating expenses and changes in the valuation allowance relating to foreclosed and repossessed assets are included in other non-interest expense. Certain costs used to improve such properties are capitalized. Gains and losses from the sale of OREO and repossessed assets are reflected in non-interest expense when realized. Together with nonperforming loans, OREO and repossessed assets comprise nonperforming assets. | |
Derivatives | Derivatives |
The Company enters into interest rate swap agreements as part of the Company's interest-rate risk management strategy for certain assets and liabilities and not for speculative purposes. Based on the Company's intended use for the interest rate swap at inception, the Company designates the derivative as either an economic hedge of an asset or liability or a hedging instrument subject to the hedge accounting provisions of FASB ASC Topic 815, "Derivatives and Hedging." | |
Interest rate swaps designated as economic hedges are recorded at fair value within other assets or liabilities. Changes in the fair value of these derivatives are recorded directly through earnings at each reporting period. | |
Transfer of Financial Assets | Transfer of Financial Assets |
Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. | |
Securities Sold Under Agreements to Repurchase | Securities Sold under Agreements to Repurchase |
The Company enters into sales of securities under agreements to repurchase with the Banks' commercial customers. These agreements are treated as financings, and the obligations to repurchase securities sold are reflected as a liability in the consolidated balance sheets. Securities pledged as collateral under agreements to repurchase are reflected as assets in the accompanying consolidated balance sheets. | |
Employee Benefits | Employee Benefits |
Costs related to the Company's 401(k) plans are recognized over the vesting period or charged against current operations in the year made depending on the plan. Costs related to the Company's nonqualified deferred compensation plan, SERPs and postretirement benefits are recognized over the vesting period or the related service periods of the participating employees. Changes in the funded status of postretirement benefits are recognized through comprehensive income in the year in which changes occur. | |
Compensation expense for ESOP is recorded at an amount equal to the shares allocated by the ESOP multiplied by the average fair market value of the shares during the year. The Company recognizes compensation expense ratably over the year based upon the Company's estimate of the number of shares expected to be allocated by the ESOP. The difference between the average fair market value and the cost of the shares allocated by the ESOP is recorded as an adjustment to additional paid-in capital. | |
The fair value of restricted common stock awards and stock option grants is determined as of the grant date and is recorded as compensation expense over the period in which the shares of restricted common stock awards and stock options vest. Forfeitures are estimated in determining compensation expense. | |
Fair Value Measurements | Fair Value Measurements |
ASC 820-10, "Fair Value Measurements and Disclosures," defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability is not adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities. It is not a forced transaction. Market participants are buyers and sellers in the principal market that are independent, knowledgeable, able to transact and willing to transact. | |
A fair-value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs are included in ASC 820. The fair value hierarchy is as follows: | |
Level 1: Inputs are unadjusted quoted prices in active markets for assets and liabilities identical to those reported at fair value. | |
Level 2: Inputs other than quoted prices included within Level 1. Level 2 inputs are observable either directly or indirectly. These inputs might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by market data by correlation or other means. | |
Level 3: Inputs are unobservable inputs for an asset or liability that reflect an entity's own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. These inputs are used to determine fair value only when observable inputs are not available. | |
Earnings per Common Share | Earnings per Common Share |
Basic earnings per share ("EPS") is computed by dividing net income by the weighted average number of shares of common stock outstanding for the applicable period, exclusive of Treasury shares, unearned ESOP shares and unvested restricted shares. Diluted EPS is calculated after adjusting the denominator of the basic EPS calculation for the effect of all potential dilutive common shares outstanding during the period. The dilutive effects of options and unvested restricted stock awards are computed using the "treasury stock" method. Management evaluated the "two class" method and concluded that the method did not apply to the Company's EPS calculation. | |
Income Taxes | Income Taxes |
Income taxes are accounted for under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. | |
Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | |
Tax positions that are more likely than not to be sustained upon a tax examination are recognized in the Company's financial statements to the extent that the benefit is greater than 50% likely of being recognized. Interest resulting from underpayment of income taxes is classified as income tax expense in the first period the interest would begin accruing according to the provision of the relevant tax law. Penalties resulting from underpayment of income taxes are classified as income tax expense in the period for which the Company claims or expects to claim an uncertain tax position or in the period in which the Company's judgment changes regarding an uncertain tax position. | |
Treasury Stock | Treasury Stock |
Shares repurchased under the Company's share repurchase programs were purchased in open-market transactions and are held as treasury stock. Treasury stock also consists of common stock withheld to satisfy federal, state and local income tax withholding requirements for vested employee restricted stock awards. All treasury stock is held at cost. | |
Segment Reporting | Segment Reporting |
An operating segment is defined as a component of a business for which separate financial information is available that is evaluated regularly by the chief operating decision-maker in deciding how to allocate resources and evaluate performance. The Company is a bank holding company with subsidiaries engaged in the business of banking and activities closely related to banking. The Company's banking business provided substantially all of its total revenues and pre-tax income in 2014, 2013 and 2012. Therefore, the Company has determined there to be a single segment. | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements |
In August 2014, the FASB issued Accounting Standards Update ("ASU") 2014-15, Disclosures of Uncertainties About an Entity’s Ability to Continue as a Going Concern. This ASU provides guidance on determining when and how reporting entities must disclose going concern uncertainties in their financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements. Further, an entity must provide certain disclosures if there is “substantial doubt about the entity’s ability to continue as a going concern.” The ASU is effective for interim and annual periods beginning after December 15, 2016; early application is permitted. The Company has chosen not to early adopt ASU 2014-15. Management does not expect material impact, if any, as of December 31, 2014. | |
In May 2014, the FASB issued ASU 2014-09, Revenue From Contracts with Customers. This ASU provides a single principles-based, five-step model to be applied to all contracts with customers. The ASU applies to all contracts with customers except those that are within the scope of other topics in the FASB Accounting Standards Codification. The ASU is effective for annual periods (including interim reporting periods within those periods) beginning after December 15, 2016; early application is not permitted. The Company is currently assessing the applicability of this ASU and has not determined the impact, if any, as of December 31, 2014. | |
In January 2014, the FASB issued ASU 2014-04, Receivables-Troubled Debt Restructurings by Creditors. This ASU provides clarification on when an in substance repossession or foreclosure occurs resulting in the creditor derecognizing the loan and recognizing the collateral. Currently, there is no definition of in substance repossession or foreclosure and physical possession in the accounting literature. This ASU is applied retrospectively or effective prospectively for all annual periods presented beginning after December 15, 2014; early adoption is permitted. The Company has adopted ASU 2014-04 as of January 2015 and has determined the impact to be immaterial to the financial statements. | |
In January 2014, the FASB issued ASU 2014-01, Accounting for Investments in Qualified Affordable Housing Projects. This ASU provides guidance on accounting for investments by a reporting entity in flow-through limited liability entities. Currently, investments in qualified affordable housing projects are accounted for either by the effective yield, equity or cost method. This ASU allows for reporting entities to make a policy election on how to account for their investments. This ASU is applied retrospectively or effective prospectively for all annual periods presented beginning after December 15, 2014; early adoption is permitted. The Company has adopted ASU 2014-01 as of January 2015 and has determined the impact to be immaterial to the financial statements. |
Cash_and_ShortTerm_Investments1
Cash and Short-Term Investments (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Cash and Cash Equivalents [Abstract] | ||||||||
Short-term investments | Short-term investments are summarized as follows: | |||||||
At December 31, | ||||||||
2014 | 2013 | |||||||
(In Thousands) | ||||||||
FRB interest bearing reserve | $ | 19,789 | $ | 41,396 | ||||
FHLB overnight deposits | 5,708 | 12,714 | ||||||
Federal funds sold | 322 | 1,237 | ||||||
Other interest bearing deposits | 11 | 10 | ||||||
Total short-term investments | $ | 25,830 | $ | 55,357 | ||||
Investment_Securities_Tables
Investment Securities (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||||||
Schedule of securities available-for-sale securities | The following tables set forth investment securities available-for-sale and held-to-maturity at the dates indicated: | |||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | |||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSEs | $ | 22,929 | $ | 88 | $ | 29 | $ | 22,988 | ||||||||||||||||
GSE CMOs | 238,910 | 80 | 4,821 | 234,169 | ||||||||||||||||||||
GSE MBSs | 249,329 | 2,531 | 879 | 250,981 | ||||||||||||||||||||
SBA commercial loan asset-backed securities | 205 | — | 2 | 203 | ||||||||||||||||||||
Corporate debt obligations | 39,805 | 403 | 1 | 40,207 | ||||||||||||||||||||
Trust preferred securities | 1,463 | — | 223 | 1,240 | ||||||||||||||||||||
Total debt securities | 552,641 | 3,102 | 5,955 | 549,788 | ||||||||||||||||||||
Marketable equity securities | 947 | 26 | — | 973 | ||||||||||||||||||||
Total investment securities available-for-sale | $ | 553,588 | $ | 3,128 | $ | 5,955 | $ | 550,761 | ||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | |||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSEs | $ | 12,138 | $ | 42 | $ | — | $ | 12,180 | ||||||||||||||||
GSE CMOs | 254,331 | 86 | 10,773 | 243,644 | ||||||||||||||||||||
GSE MBSs | 202,478 | 1,852 | 4,929 | 199,401 | ||||||||||||||||||||
Private-label CMOs | 3,258 | 115 | 18 | 3,355 | ||||||||||||||||||||
SBA commercial loan asset-backed securities | 245 | — | 2 | 243 | ||||||||||||||||||||
Auction-rate municipal obligations | 1,900 | — | 125 | 1,775 | ||||||||||||||||||||
Municipal obligations | 1,068 | 18 | — | 1,086 | ||||||||||||||||||||
Corporate debt obligations | 27,751 | 506 | 33 | 28,224 | ||||||||||||||||||||
Trust preferred securities and pools | 1,461 | — | 251 | 1,210 | ||||||||||||||||||||
Total debt securities | 504,630 | 2,619 | 16,131 | 491,118 | ||||||||||||||||||||
Marketable equity securities | 1,259 | 61 | 10 | 1,310 | ||||||||||||||||||||
Total investment securities available-for-sale | $ | 505,889 | $ | 2,680 | $ | 16,141 | $ | 492,428 | ||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||||||||
Investment securities in a continuous unrealized loss position | Investment securities at December 31, 2014 and 2013 that have been in a continuous unrealized loss position for less than twelve months or twelve months or longer are as follows: | |||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||
Less than | Twelve Months | Total | ||||||||||||||||||||||
Twelve Months | or Longer | |||||||||||||||||||||||
Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSEs | $ | 11,086 | $ | 29 | $ | — | $ | — | $ | 11,086 | $ | 29 | ||||||||||||
GSE CMOs | 39,095 | 179 | 190,345 | 4,642 | 229,440 | 4,821 | ||||||||||||||||||
GSE MBSs | 50,099 | 84 | 39,555 | 795 | 89,654 | 879 | ||||||||||||||||||
SBA commercial loan asset-backed securities | 8 | — | 186 | 2 | 194 | 2 | ||||||||||||||||||
Corporate debt obligations | 4,069 | 1 | — | — | 4,069 | 1 | ||||||||||||||||||
Trust preferred securities | — | — | 1,240 | 223 | 1,240 | 223 | ||||||||||||||||||
Temporarily impaired debt securities | 104,357 | 293 | 231,326 | 5,662 | 335,683 | 5,955 | ||||||||||||||||||
Marketable equity securities | — | — | — | — | — | — | ||||||||||||||||||
Total temporarily impaired securities | $ | 104,357 | $ | 293 | $ | 231,326 | $ | 5,662 | $ | 335,683 | $ | 5,955 | ||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||
Less than | Twelve Months | Total | ||||||||||||||||||||||
Twelve Months | or Longer | |||||||||||||||||||||||
Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||
GSE CMOs | $ | 221,317 | $ | 9,861 | $ | 16,257 | $ | 912 | $ | 237,574 | $ | 10,773 | ||||||||||||
GSE MBSs | 121,836 | 3,746 | 13,516 | 1,183 | 135,352 | 4,929 | ||||||||||||||||||
Private-label CMOs | 639 | 18 | — | — | 639 | 18 | ||||||||||||||||||
SBA commercial loan asset-backed securities | 32 | — | 192 | 2 | 224 | 2 | ||||||||||||||||||
Auction-rate municipal obligations | — | — | 1,775 | 125 | 1,775 | 125 | ||||||||||||||||||
Corporate debt obligations | 5,988 | 33 | — | — | 5,988 | 33 | ||||||||||||||||||
Trust preferred securities and pools | — | — | 1,210 | 251 | 1,210 | 251 | ||||||||||||||||||
Temporarily impaired debt securities | 349,812 | 13,658 | 32,950 | 2,473 | 382,762 | 16,131 | ||||||||||||||||||
Marketable equity securities | 501 | 10 | — | — | 501 | 10 | ||||||||||||||||||
Total temporarily impaired securities | $ | 350,313 | $ | 13,668 | $ | 32,950 | $ | 2,473 | $ | 383,263 | $ | 16,141 | ||||||||||||
Schedule of maturities of the investments in debt securities | The maturities of the debt securities are as follows at the dates indicated: | |||||||||||||||||||||||
At December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Amortized | Estimated | Weighted | Amortized | Estimated | Weighted | |||||||||||||||||||
Cost | Fair Value | Average | Cost | Fair Value | Average | |||||||||||||||||||
Rate | Rate | |||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||||||
Within 1 year | $ | 3,057 | $ | 3,081 | 3 | % | $ | 13,012 | $ | 13,062 | 0.82 | % | ||||||||||||
After 1 year through 5 years | 55,631 | 56,586 | 2.48 | % | 40,204 | 41,187 | 2.9 | % | ||||||||||||||||
After 5 years through 10 years | 103,268 | 104,208 | 2 | % | 66,447 | 67,075 | 2.23 | % | ||||||||||||||||
Over 10 years | 390,685 | 385,913 | 1.91 | % | 384,967 | 369,794 | 1.9 | % | ||||||||||||||||
$ | 552,641 | $ | 549,788 | 1.99 | % | $ | 504,630 | $ | 491,118 | 2 | % | |||||||||||||
Investment securities held-to-maturity: | ||||||||||||||||||||||||
Within 1 year | $ | — | $ | — | — | % | $ | 500 | $ | 500 | 1.99 | % | ||||||||||||
After 1 year through 5 years | 500 | 500 | 1.3 | % | — | — | — | % | ||||||||||||||||
$ | 500 | $ | 500 | — | % | $ | 500 | $ | 500 | 1.99 | % | |||||||||||||
Schedule of sales of investment securities | Sales of investment securities are summarized as follows: | |||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Sales of debt securities | $ | 5,084 | $ | 1,210 | $ | 166,201 | ||||||||||||||||||
Sales of marketable equity securities | 401 | — | — | |||||||||||||||||||||
Gross gains from sales | 380 | 626 | 1,093 | |||||||||||||||||||||
Gross losses from sales | 315 | 229 | 167 | |||||||||||||||||||||
Gain on sales of securities, net | 65 | 397 | 926 | |||||||||||||||||||||
Restricted_Equity_Securities_T
Restricted Equity Securities (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Restricted Investments Note [Abstract] | ||||||||
Components of investments in the restricted equity securities of various entities | Investments in the restricted equity securities of various entities are as follows: | |||||||
At December 31, | ||||||||
2014 | 2013 | |||||||
(In Thousands) | ||||||||
FHLBB stock | $ | 58,326 | $ | 50,081 | ||||
Federal Reserve Bank of Boston stock | 16,003 | 16,003 | ||||||
Other restricted equity securities | 475 | 475 | ||||||
$ | 74,804 | $ | 66,559 | |||||
Loans_and_Leases_Tables
Loans and Leases (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||
Summary of loan and lease balances for the originated and acquired portfolios | The following tables present loan and lease balances and weighted average coupon rates for the originated and acquired loan and lease portfolios at the dates indicated: | ||||||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||
Originated | Acquired | Total | |||||||||||||||||||
Balance | Weighted | Balance | Weighted | Balance | Weighted | ||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Coupon | Coupon | Coupon | |||||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||||||
Commercial real estate loans: | |||||||||||||||||||||
Commercial real estate mortgage | $ | 1,425,621 | 4.18 | % | $ | 254,461 | 4.29 | % | $ | 1,680,082 | 4.2 | % | |||||||||
Multi-family mortgage | 576,214 | 4.11 | % | 63,492 | 4.5 | % | 639,706 | 4.15 | % | ||||||||||||
Construction | 146,074 | 3.79 | % | 1,939 | 5.5 | % | 148,013 | 3.81 | % | ||||||||||||
Total commercial real estate loans | 2,147,909 | 4.13 | % | 319,892 | 4.34 | % | 2,467,801 | 4.16 | % | ||||||||||||
Commercial loans and leases: | |||||||||||||||||||||
Commercial | 462,730 | 3.88 | % | 51,347 | 4.14 | % | 514,077 | 3.91 | % | ||||||||||||
Equipment financing | 587,496 | 6.92 | % | 13,928 | 6.22 | % | 601,424 | 6.9 | % | ||||||||||||
Condominium association | 51,593 | 4.6 | % | — | — | 51,593 | 4.6 | % | |||||||||||||
Total commercial loans and leases | 1,101,819 | 5.53 | % | 65,275 | 4.58 | % | 1,167,094 | 5.48 | % | ||||||||||||
Indirect automobile loans | 316,987 | 4.47 | % | — | — | 316,987 | 4.47 | % | |||||||||||||
Consumer loans: | |||||||||||||||||||||
Residential mortgage | 472,078 | 3.6 | % | 99,842 | 3.77 | % | 571,920 | 3.63 | % | ||||||||||||
Home equity | 181,580 | 3.35 | % | 105,478 | 3.85 | % | 287,058 | 3.53 | % | ||||||||||||
Other consumer | 11,580 | 5.13 | % | 167 | 16.35 | % | 11,747 | 5.29 | % | ||||||||||||
Total consumer loans | 665,238 | 3.56 | % | 205,487 | 3.82 | % | 870,725 | 3.62 | % | ||||||||||||
Total loans and leases | $ | 4,231,953 | 4.43 | % | $ | 590,654 | 4.19 | % | $ | 4,822,607 | 4.4 | % | |||||||||
At December 31, 2013 | |||||||||||||||||||||
Originated | Acquired | Total | |||||||||||||||||||
Balance | Weighted | Balance | Weighted | Balance | Weighted | ||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Coupon | Coupon | Coupon | |||||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||||||
Commercial real estate loans: | |||||||||||||||||||||
Commercial real estate mortgage | $ | 1,111,750 | 4.34 | % | $ | 350,235 | 4.42 | % | $ | 1,461,985 | 4.36 | % | |||||||||
Multi-family mortgage | 554,555 | 4.19 | % | 73,378 | 4.63 | % | 627,933 | 4.24 | % | ||||||||||||
Construction | 102,927 | 3.81 | % | 10,778 | 4.37 | % | 113,705 | 3.87 | % | ||||||||||||
Total commercial real estate loans | 1,769,232 | 4.26 | % | 434,391 | 4.46 | % | 2,203,623 | 4.3 | % | ||||||||||||
Commercial loans and leases: | |||||||||||||||||||||
Commercial | 297,684 | 3.68 | % | 110,108 | 4.54 | % | 407,792 | 3.91 | % | ||||||||||||
Equipment financing | 485,330 | 7.14 | % | 27,694 | 6.6 | % | 513,024 | 7.11 | % | ||||||||||||
Condominium association | 44,794 | 4.74 | % | — | — | 44,794 | 4.74 | % | |||||||||||||
Total commercial loans and leases | 827,808 | 5.77 | % | 137,802 | 4.95 | % | 965,610 | 5.65 | % | ||||||||||||
Indirect automobile loans | 400,531 | 4.98 | % | — | — | 400,531 | 4.98 | % | |||||||||||||
Consumer loans: | |||||||||||||||||||||
Residential mortgage | 411,554 | 3.65 | % | 116,631 | 3.93 | % | 528,185 | 3.71 | % | ||||||||||||
Home equity | 132,396 | 3.39 | % | 125,065 | 3.88 | % | 257,461 | 3.63 | % | ||||||||||||
Other consumer | 5,532 | 5.98 | % | 1,523 | 14.89 | % | 7,055 | 7.9 | % | ||||||||||||
Total consumer loans | 549,482 | 3.61 | % | 243,219 | 3.98 | % | 792,701 | 3.72 | % | ||||||||||||
Total loans and leases | $ | 3,547,053 | 4.59 | % | $ | 815,412 | 4.38 | % | $ | 4,362,465 | 4.55 | % | |||||||||
Schedule of activity in the accretable yield for acquired loan portfolio | The following table summarizes activity in the accretable yield for the acquired loan portfolio for the periods indicated: | ||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Balance at beginning of year | $ | 45,789 | $ | 57,812 | $ | (1,369 | ) | ||||||||||||||
Acquisitions | — | — | 81,503 | ||||||||||||||||||
Reclassification from nonaccretable difference for loans with improved cash flows | 2,060 | 8,477 | 1,550 | ||||||||||||||||||
Accretion | (15,805 | ) | (20,500 | ) | (23,872 | ) | |||||||||||||||
Balance at end of year | $ | 32,044 | $ | 45,789 | $ | 57,812 | |||||||||||||||
Summary of the change in the total amounts of loans and advances, all of which were performing, to directors, executive officers and their affiliates | The following table summarizes the change in the total amounts of loans and advances, to directors, executive officers and their affiliates for the periods indicated. All loans were performing at December 31, 2014. | ||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Balance at beginning of year | $ | 4,783 | $ | 4,083 | |||||||||||||||||
New loans granted during the year | 2,375 | 365 | |||||||||||||||||||
Advances on lines of credit | 1,787 | 1,370 | |||||||||||||||||||
Repayments | (182 | ) | (1,035 | ) | |||||||||||||||||
Loan no longer classified as an insider loan | (189 | ) | — | ||||||||||||||||||
Balance at end of year | $ | 8,574 | $ | 4,783 | |||||||||||||||||
Allowance_for_Loan_and_Lease_L1
Allowance for Loan and Lease Losses (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | ||||||||||||||||||||||||||||||||||||
Schedule of changes in the allowance for loan and lease losses | The following tables present the changes in the allowance for loan and lease losses and the recorded investment in loans and leases by portfolio segment for the periods indicated: | |||||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Commercial | Commercial | Indirect | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
Real Estate | Automobile | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 23,022 | $ | 15,220 | $ | 3,924 | $ | 3,375 | $ | 2,932 | $ | 48,473 | ||||||||||||||||||||||||
Charge-offs | (130 | ) | (2,507 | ) | (1,163 | ) | (650 | ) | — | (4,450 | ) | |||||||||||||||||||||||||
Recoveries | 4 | 801 | 434 | 158 | — | 1,397 | ||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses | 6,698 | 2,443 | (864 | ) | 476 | (514 | ) | 8,239 | ||||||||||||||||||||||||||||
Balance at December 31, 2014 | $ | 29,594 | $ | 15,957 | $ | 2,331 | $ | 3,359 | $ | 2,418 | $ | 53,659 | ||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Commercial | Commercial | Indirect | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
Real Estate | Automobile | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 20,018 | $ | 10,655 | $ | 5,304 | $ | 2,545 | $ | 2,630 | $ | 41,152 | ||||||||||||||||||||||||
Charge-offs | (88 | ) | (2,077 | ) | (1,714 | ) | (909 | ) | — | (4,788 | ) | |||||||||||||||||||||||||
Recoveries | 13 | 657 | 501 | 263 | — | 1,434 | ||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses | 3,079 | 5,985 | (167 | ) | 1,476 | 302 | 10,675 | |||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 23,022 | $ | 15,220 | $ | 3,924 | $ | 3,375 | $ | 2,932 | $ | 48,473 | ||||||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Commercial | Commercial | Indirect | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
Real Estate | Automobile | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 15,477 | $ | 5,997 | $ | 5,604 | $ | 1,577 | $ | 3,048 | $ | 31,703 | ||||||||||||||||||||||||
Charge-offs | — | (5,347 | ) | (2,153 | ) | (592 | ) | — | (8,092 | ) | ||||||||||||||||||||||||||
Recoveries | 118 | 417 | 969 | 26 | — | 1,530 | ||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses | 4,423 | 9,588 | 884 | 1,534 | (418 | ) | 16,011 | |||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 20,018 | $ | 10,655 | $ | 5,304 | $ | 2,545 | $ | 2,630 | $ | 41,152 | ||||||||||||||||||||||||
Provisions for credit losses | The provisions for credit losses are set forth below for the periods indicated: | |||||||||||||||||||||||||||||||||||
Originated | Acquired | Total | ||||||||||||||||||||||||||||||||||
Year Ended December 31, | Year Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Provision (credit) for loan and lease losses: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 5,009 | $ | 2,563 | $ | 4,348 | $ | 1,689 | $ | 516 | $ | 75 | $ | 6,698 | $ | 3,079 | $ | 4,423 | ||||||||||||||||||
Commercial | 2,030 | 4,917 | 9,513 | 413 | 1,068 | 75 | 2,443 | 5,985 | 9,588 | |||||||||||||||||||||||||||
Indirect automobile | (864 | ) | (167 | ) | 884 | — | — | — | (864 | ) | (167 | ) | 884 | |||||||||||||||||||||||
Consumer | 417 | 286 | 1,534 | 59 | 1,190 | — | 476 | 1,476 | 1,534 | |||||||||||||||||||||||||||
Unallocated | (514 | ) | 302 | (418 | ) | — | — | — | (514 | ) | 302 | (418 | ) | |||||||||||||||||||||||
Total provision for loan and lease losses | 6,078 | 7,901 | 15,861 | 2,161 | 2,774 | 150 | 8,239 | 10,675 | 16,011 | |||||||||||||||||||||||||||
Unfunded credit commitments | 238 | 254 | (123 | ) | — | — | — | 238 | 254 | (123 | ) | |||||||||||||||||||||||||
Total provision for credit losses | $ | 6,316 | $ | 8,155 | $ | 15,738 | $ | 2,161 | $ | 2,774 | $ | 150 | $ | 8,477 | $ | 10,929 | $ | 15,888 | ||||||||||||||||||
Summary of the recorded investments by credit quality indicator, by loan class | The following tables present the recorded investment in loans in each class at December 31, 2014 by credit quality indicator. | |||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Commercial | Multi- | Construction | Commercial | Equipment | Condominium | Other | ||||||||||||||||||||||||||||||
Real Estate | Family | Financing | Association | Consumer | ||||||||||||||||||||||||||||||||
Mortgage | Mortgage | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 1,402,121 | $ | 574,972 | $ | 146,074 | $ | 447,778 | $ | 583,340 | $ | 51,593 | $ | 11,540 | ||||||||||||||||||||||
OAEM | 22,491 | 1,242 | — | 12,193 | 932 | — | — | |||||||||||||||||||||||||||||
Substandard | 1,009 | — | — | 1,671 | 2,338 | — | 40 | |||||||||||||||||||||||||||||
Doubtful | — | — | — | 1,088 | 886 | — | — | |||||||||||||||||||||||||||||
Total originated | 1,425,621 | 576,214 | 146,074 | 462,730 | 587,496 | 51,593 | 11,580 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | 237,439 | 60,837 | 1,709 | 43,925 | 13,795 | — | 167 | |||||||||||||||||||||||||||||
OAEM | 8,351 | 713 | 230 | 1,852 | — | — | — | |||||||||||||||||||||||||||||
Substandard | 8,250 | 1,942 | — | 5,424 | 133 | — | — | |||||||||||||||||||||||||||||
Doubtful | 421 | — | — | 146 | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 254,461 | 63,492 | 1,939 | 51,347 | 13,928 | — | 167 | |||||||||||||||||||||||||||||
Total loans | $ | 1,680,082 | $ | 639,706 | $ | 148,013 | $ | 514,077 | $ | 601,424 | $ | 51,593 | $ | 11,747 | ||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Indirect Automobile | ||||||||||||||||||||||||||||||||||||
(In Thousands) | (Percent) | |||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Credit score: | ||||||||||||||||||||||||||||||||||||
Over 700 | $ | 262,160 | 82.7 | % | ||||||||||||||||||||||||||||||||
661-700 | 43,422 | 13.7 | % | |||||||||||||||||||||||||||||||||
660 and below | 9,927 | 3.1 | % | |||||||||||||||||||||||||||||||||
Data not available | 1,478 | 0.5 | % | |||||||||||||||||||||||||||||||||
Total loans | $ | 316,987 | 100 | % | ||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Residential Mortgage | Home Equity | |||||||||||||||||||||||||||||||||||
(In Thousands) | Percent | (In Thousands) | Percent | |||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | $ | 105,342 | 18.4 | % | $ | 113,541 | 39.5 | % | ||||||||||||||||||||||||||||
50% - 69% | 179,319 | 31.4 | % | 35,660 | 12.4 | % | ||||||||||||||||||||||||||||||
70% - 79% | 166,467 | 29.1 | % | 27,123 | 9.4 | % | ||||||||||||||||||||||||||||||
80% and over | 19,335 | 3.4 | % | 4,195 | 1.5 | % | ||||||||||||||||||||||||||||||
Data not available | 1,615 | 0.3 | % | 1,061 | 0.4 | % | ||||||||||||||||||||||||||||||
Total originated | 472,078 | 82.6 | % | 181,580 | 63.2 | % | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | 19,574 | 3.4 | % | 70,293 | 24.5 | % | ||||||||||||||||||||||||||||||
50%—69% | 35,131 | 6.2 | % | 22,581 | 7.9 | % | ||||||||||||||||||||||||||||||
70%—79% | 22,972 | 4 | % | 10,569 | 3.7 | % | ||||||||||||||||||||||||||||||
80% and over | 16,268 | 2.8 | % | 1,178 | 0.4 | % | ||||||||||||||||||||||||||||||
Data not available | 5,897 | 1 | % | 857 | 0.3 | % | ||||||||||||||||||||||||||||||
Total acquired | 99,842 | 17.4 | % | 105,478 | 36.8 | % | ||||||||||||||||||||||||||||||
Total loans | $ | 571,920 | 100 | % | $ | 287,058 | 100 | % | ||||||||||||||||||||||||||||
The following tables present the recorded investment in loans in each class at December 31, 2013 by credit quality indicator. | ||||||||||||||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Commercial | Multi- | Construction | Commercial | Equipment | Condominium | Other | ||||||||||||||||||||||||||||||
Real Estate | Family | Financing | Association | Consumer | ||||||||||||||||||||||||||||||||
Mortgage | Mortgage | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 1,099,108 | $ | 554,183 | $ | 102,927 | $ | 295,057 | $ | 479,811 | $ | 44,793 | $ | 5,528 | ||||||||||||||||||||||
OAEM | 11,555 | 372 | — | 49 | 625 | — | — | |||||||||||||||||||||||||||||
Substandard | 1,087 | — | — | 1,078 | 4,817 | 1 | 4 | |||||||||||||||||||||||||||||
Doubtful | — | — | — | 1,500 | 77 | — | — | |||||||||||||||||||||||||||||
Total originated | 1,111,750 | 554,555 | 102,927 | 297,684 | 485,330 | 44,794 | 5,532 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan rating: | ||||||||||||||||||||||||||||||||||||
Pass | 332,145 | 69,310 | 10,090 | 96,779 | 27,535 | — | 1,509 | |||||||||||||||||||||||||||||
OAEM | 7,556 | 463 | 688 | 4,617 | 61 | — | — | |||||||||||||||||||||||||||||
Substandard | 8,645 | 3,605 | — | 8,518 | 98 | — | 14 | |||||||||||||||||||||||||||||
Doubtful | 1,889 | — | — | 194 | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 350,235 | 73,378 | 10,778 | 110,108 | 27,694 | — | 1,523 | |||||||||||||||||||||||||||||
Total loans | $ | 1,461,985 | $ | 627,933 | $ | 113,705 | $ | 407,792 | $ | 513,024 | $ | 44,794 | $ | 7,055 | ||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Indirect Automobile | ||||||||||||||||||||||||||||||||||||
Dollars In Thousands | Percent | |||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Credit score: | ||||||||||||||||||||||||||||||||||||
Over 700 | $ | 332,140 | 82.9 | % | ||||||||||||||||||||||||||||||||
661-700 | 54,038 | 13.5 | % | |||||||||||||||||||||||||||||||||
660 and below | 12,793 | 3.2 | % | |||||||||||||||||||||||||||||||||
Data not available | 1,560 | 0.4 | % | |||||||||||||||||||||||||||||||||
Total loans | $ | 400,531 | 100 | % | ||||||||||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Residential Mortgage | Home Equity | |||||||||||||||||||||||||||||||||||
(In Thousands) | Percent | (In Thousands) | Percent | |||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | $ | 94,500 | 17.9 | % | $ | 75,372 | 29.3 | % | ||||||||||||||||||||||||||||
50%—69% | 149,969 | 28.4 | % | 31,504 | 12.2 | % | ||||||||||||||||||||||||||||||
70%—79% | 139,960 | 26.5 | % | 21,161 | 8.2 | % | ||||||||||||||||||||||||||||||
80% and over | 22,772 | 4.3 | % | 3,240 | 1.3 | % | ||||||||||||||||||||||||||||||
Data not available | 4,353 | 0.8 | % | 1,119 | 0.4 | % | ||||||||||||||||||||||||||||||
Total originated | 411,554 | 77.9 | % | 132,396 | 51.4 | % | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Loan-to-value ratio: | ||||||||||||||||||||||||||||||||||||
Less than 50% | 23,101 | 4.4 | % | 84,272 | 32.7 | % | ||||||||||||||||||||||||||||||
50%—69% | 39,298 | 7.4 | % | 25,964 | 10.1 | % | ||||||||||||||||||||||||||||||
70%—79% | 31,932 | 6 | % | 13,390 | 5.2 | % | ||||||||||||||||||||||||||||||
80% and over | 19,870 | 3.8 | % | 1,208 | 0.5 | % | ||||||||||||||||||||||||||||||
Data not available | 2,430 | 0.5 | % | 231 | 0.1 | % | ||||||||||||||||||||||||||||||
Total acquired | 116,631 | 22.1 | % | 125,065 | 48.6 | % | ||||||||||||||||||||||||||||||
Total loans | $ | 528,185 | 100 | % | $ | 257,461 | 100 | % | ||||||||||||||||||||||||||||
Information regarding the aging of past due loans, by loan class | The following tables present an age analysis of the recorded investment in total loans and leases (unpaid balance of loans and leases outstanding excluding deferred loan origination costs) at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 1,631 | $ | 416 | $ | 160 | $ | 2,207 | $ | 1,423,414 | $ | 1,425,621 | $ | — | $ | 1,009 | ||||||||||||||||||||
Multi-family mortgage | 385 | — | — | 385 | 575,829 | 576,214 | — | — | ||||||||||||||||||||||||||||
Construction | — | — | — | — | 146,074 | 146,074 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 2,016 | 416 | 160 | 2,592 | 2,145,317 | 2,147,909 | — | 1,009 | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 758 | 876 | 1,499 | 3,133 | 459,597 | 462,730 | 2 | 2,722 | ||||||||||||||||||||||||||||
Equipment financing | 1,534 | 138 | 2,392 | 4,064 | 583,432 | 587,496 | — | 3,214 | ||||||||||||||||||||||||||||
Condominium association | 501 | — | — | 501 | 51,092 | 51,593 | — | — | ||||||||||||||||||||||||||||
Total commercial loans and leases | 2,793 | 1,014 | 3,891 | 7,698 | 1,094,121 | 1,101,819 | 2 | 5,936 | ||||||||||||||||||||||||||||
Indirect automobile | 4,635 | 923 | 166 | 5,724 | 311,263 | 316,987 | — | 645 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | — | — | 501 | 501 | 471,577 | 472,078 | — | 1,340 | ||||||||||||||||||||||||||||
Home equity | 75 | 52 | 129 | 256 | 181,324 | 181,580 | — | 161 | ||||||||||||||||||||||||||||
Other consumer | 17 | 5 | 30 | 52 | 11,528 | 11,580 | — | 41 | ||||||||||||||||||||||||||||
Total consumer loans | 92 | 57 | 660 | 809 | 664,429 | 665,238 | — | 1,542 | ||||||||||||||||||||||||||||
Total originated loans and leases | $ | 9,536 | $ | 2,410 | $ | 4,877 | $ | 16,823 | $ | 4,215,130 | $ | 4,231,953 | $ | 2 | $ | 9,132 | ||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 989 | $ | 3,705 | $ | 2,387 | $ | 7,081 | $ | 247,380 | $ | 254,461 | $ | 2,387 | $ | — | ||||||||||||||||||||
Multi-family mortgage | 195 | 729 | 363 | 1,287 | 62,205 | 63,492 | 363 | — | ||||||||||||||||||||||||||||
Construction | — | — | — | — | 1,939 | 1,939 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 1,184 | 4,434 | 2,750 | 8,368 | 311,524 | 319,892 | 2,750 | — | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 712 | 488 | 3,033 | 4,233 | 47,114 | 51,347 | 624 | 2,474 | ||||||||||||||||||||||||||||
Equipment financing | 2 | 52 | 66 | 120 | 13,808 | 13,928 | 73 | 9 | ||||||||||||||||||||||||||||
Total commercial loans and leases | 714 | 540 | 3,099 | 4,353 | 60,922 | 65,275 | 697 | 2,483 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | — | — | 2,715 | 2,715 | 97,127 | 99,842 | 2,372 | 342 | ||||||||||||||||||||||||||||
Home equity | 1,005 | 733 | 923 | 2,661 | 102,817 | 105,478 | 187 | 1,757 | ||||||||||||||||||||||||||||
Other consumer | — | — | — | — | 167 | 167 | — | — | ||||||||||||||||||||||||||||
Total consumer loans | 1,005 | 733 | 3,638 | 5,376 | 200,111 | 205,487 | 2,559 | 2,099 | ||||||||||||||||||||||||||||
Total acquired loans and leases | $ | 2,903 | $ | 5,707 | $ | 9,487 | $ | 18,097 | $ | 572,557 | $ | 590,654 | $ | 6,006 | $ | 4,582 | ||||||||||||||||||||
Total loans and leases | $ | 12,439 | $ | 8,117 | $ | 14,364 | $ | 34,920 | $ | 4,787,687 | $ | 4,822,607 | $ | 6,008 | $ | 13,714 | ||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 4,896 | $ | 1,393 | $ | 169 | $ | 6,458 | $ | 1,105,292 | $ | 1,111,750 | $ | — | $ | 169 | ||||||||||||||||||||
Multi-family mortgage | 14,400 | — | — | 14,400 | 540,155 | 554,555 | — | — | ||||||||||||||||||||||||||||
Construction | — | — | — | — | 102,927 | 102,927 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 19,296 | 1,393 | 169 | 20,858 | 1,748,374 | 1,769,232 | — | 169 | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 2,288 | 75 | 842 | 3,205 | 294,479 | 297,684 | — | 1,551 | ||||||||||||||||||||||||||||
Equipment financing | 867 | 1,558 | 2,031 | 4,456 | 480,874 | 485,330 | — | 4,086 | ||||||||||||||||||||||||||||
Condominium association | — | — | — | — | 44,794 | 44,794 | — | 1 | ||||||||||||||||||||||||||||
Total commercial loans and leases | 3,155 | 1,633 | 2,873 | 7,661 | 820,147 | 827,808 | — | 5,638 | ||||||||||||||||||||||||||||
Indirect automobile | 5,407 | 857 | 229 | 6,493 | 394,038 | 400,531 | 10 | 259 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | 201 | — | 415 | 616 | 410,938 | 411,554 | — | 1,713 | ||||||||||||||||||||||||||||
Home equity | 218 | — | — | 218 | 132,178 | 132,396 | — | 462 | ||||||||||||||||||||||||||||
Other consumer | 11 | 1 | 4 | 16 | 5,516 | 5,532 | — | 4 | ||||||||||||||||||||||||||||
Total consumer loans | 430 | 1 | 419 | 850 | 548,632 | 549,482 | — | 2,179 | ||||||||||||||||||||||||||||
Total originated loans and leases | $ | 28,288 | $ | 3,884 | $ | 3,690 | $ | 35,862 | $ | 3,511,191 | $ | 3,547,053 | $ | 10 | $ | 8,245 | ||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Past Due | Loans and | |||||||||||||||||||||||||||||||||||
Leases Past | ||||||||||||||||||||||||||||||||||||
Due Greater | ||||||||||||||||||||||||||||||||||||
Than 90 Days | ||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Total Loans | and Accruing | Nonaccrual | |||||||||||||||||||||||||||||
Days | Days | Than | and Leases | Loans and | ||||||||||||||||||||||||||||||||
90 Days | Leases | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate loans: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | $ | 1,221 | $ | 87 | $ | 4,887 | $ | 6,195 | $ | 344,040 | $ | 350,235 | $ | 3,958 | $ | 929 | ||||||||||||||||||||
Multi-family mortgage | 327 | — | 1,052 | 1,379 | 71,999 | 73,378 | 1,052 | — | ||||||||||||||||||||||||||||
Construction | — | 409 | — | 409 | 10,369 | 10,778 | — | — | ||||||||||||||||||||||||||||
Total commercial real estate loans | 1,548 | 496 | 5,939 | 7,983 | 426,408 | 434,391 | 5,010 | 929 | ||||||||||||||||||||||||||||
Commercial loans and leases: | ||||||||||||||||||||||||||||||||||||
Commercial | 2,707 | 121 | 1,931 | 4,759 | 105,349 | 110,108 | 1,235 | 4,597 | ||||||||||||||||||||||||||||
Equipment financing | 46 | 41 | 73 | 160 | 27,534 | 27,694 | 73 | 29 | ||||||||||||||||||||||||||||
Total commercial loans and leases | 2,753 | 162 | 2,004 | 4,919 | 132,883 | 137,802 | 1,308 | 4,626 | ||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||
Residential mortgage | 271 | 777 | 5,329 | 6,377 | 110,254 | 116,631 | 4,468 | 1,162 | ||||||||||||||||||||||||||||
Home equity | 1,259 | 552 | 895 | 2,706 | 122,359 | 125,065 | 117 | 1,525 | ||||||||||||||||||||||||||||
Other consumer | 6 | 11 | 4 | 21 | 1,502 | 1,523 | — | 14 | ||||||||||||||||||||||||||||
Total consumer loans | 1,536 | 1,340 | 6,228 | 9,104 | 234,115 | 243,219 | 4,585 | 2,701 | ||||||||||||||||||||||||||||
Total acquired loans and leases | $ | 5,837 | $ | 1,998 | $ | 14,171 | $ | 22,006 | $ | 793,406 | $ | 815,412 | $ | 10,903 | $ | 8,256 | ||||||||||||||||||||
Total loans and leases | $ | 34,125 | $ | 5,882 | $ | 17,861 | $ | 57,868 | $ | 4,304,597 | $ | 4,362,465 | $ | 10,913 | $ | 16,501 | ||||||||||||||||||||
Impaired loans and leases, by loan and leases class | The following tables include the recorded investment and unpaid principal balances of impaired loans and leases with the related allowance amount, if applicable, for the originated and acquired loan and lease portfolios at the dates indicated. Also presented are the average recorded investments in the impaired loans and leases and the related amount of interest recognized during the period that the impaired loans were impaired. | |||||||||||||||||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Unpaid | Related | |||||||||||||||||||||||||||||||
Investment (1) | Principal | Allowance | Investment (2) | Principal | Allowance | |||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 2,751 | $ | 2,748 | $ | — | $ | 2,009 | $ | 2,009 | $ | — | ||||||||||||||||||||||||
Commercial | 13,440 | 13,421 | — | 4,410 | 4,399 | — | ||||||||||||||||||||||||||||||
Consumer | 3,055 | 3,048 | — | 989 | 987 | — | ||||||||||||||||||||||||||||||
Total originated with no related allowance recorded | 19,246 | 19,217 | — | 7,408 | 7,395 | — | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 4,119 | 4,119 | 108 | 1,466 | 1,466 | 184 | ||||||||||||||||||||||||||||||
Commercial | 2,019 | 2,011 | 768 | 2,393 | 2,383 | 675 | ||||||||||||||||||||||||||||||
Consumer | 176 | 176 | 10 | 2,448 | 2,440 | 323 | ||||||||||||||||||||||||||||||
Total originated with an allowance recorded | 6,314 | 6,306 | 886 | 6,307 | 6,289 | 1,182 | ||||||||||||||||||||||||||||||
Total originated impaired loans and leases | 25,560 | 25,523 | 886 | 13,715 | 13,684 | 1,182 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 9,413 | 9,428 | — | 9,176 | 10,082 | — | ||||||||||||||||||||||||||||||
Commercial | 6,049 | 6,047 | — | 6,988 | 7,248 | — | ||||||||||||||||||||||||||||||
Consumer | 6,688 | 6,688 | — | 1,033 | 1,037 | — | ||||||||||||||||||||||||||||||
Total acquired with no related allowance recorded | 22,150 | 22,163 | — | 17,197 | 18,367 | — | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 244 | 244 | 22 | 1,274 | 1,291 | 122 | ||||||||||||||||||||||||||||||
Commercial | 478 | 478 | 214 | 1,020 | 1,067 | 169 | ||||||||||||||||||||||||||||||
Consumer | 225 | 225 | 41 | — | — | — | ||||||||||||||||||||||||||||||
Total acquired with an allowance recorded | 947 | 947 | 277 | 2,294 | 2,358 | 291 | ||||||||||||||||||||||||||||||
Total acquired impaired loans and leases | 23,097 | 23,110 | 277 | 19,491 | 20,725 | 291 | ||||||||||||||||||||||||||||||
Total impaired loans and leases | $ | 48,657 | $ | 48,633 | $ | 1,163 | $ | 33,206 | $ | 34,409 | $ | 1,473 | ||||||||||||||||||||||||
(1) Includes originated and acquired nonaccrual loans of $7.1 million and $4.6 million, respectively at December 31, 2014. | ||||||||||||||||||||||||||||||||||||
(2) Includes originated and acquired nonaccrual loans of $5.8 million and $5.7 million, respectively at December 31, 2013. | ||||||||||||||||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||
Recorded | Income | Recorded | Income | Recorded | Income | |||||||||||||||||||||||||||||||
Investment | Recognized | Investment | Recognized | Investment | Recognized | |||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 2,786 | $ | 102 | $ | 2,184 | $ | 92 | $ | 2,547 | $ | 243 | ||||||||||||||||||||||||
Commercial | 11,840 | 343 | 4,257 | 144 | 3,159 | 181 | ||||||||||||||||||||||||||||||
Consumer | 3,166 | 42 | 1,077 | 30 | 2,123 | 130 | ||||||||||||||||||||||||||||||
Total originated with no related allowance recorded | 17,792 | 487 | 7,518 | 266 | 7,829 | 554 | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 3,223 | 69 | 1,464 | 43 | 1,142 | 79 | ||||||||||||||||||||||||||||||
Commercial | 2,285 | 51 | 1,781 | 29 | 3,393 | 305 | ||||||||||||||||||||||||||||||
Consumer | 458 | 15 | 3,210 | 97 | 2,918 | 100 | ||||||||||||||||||||||||||||||
Total originated with an allowance recorded | 5,966 | 135 | 6,455 | 169 | 7,453 | 484 | ||||||||||||||||||||||||||||||
Total originated impaired loans and leases | 23,758 | 622 | 13,973 | 435 | 15,282 | 1,038 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 10,884 | 350 | 9,639 | 251 | 9,071 | — | ||||||||||||||||||||||||||||||
Commercial | 6,875 | 122 | 5,205 | 129 | 3,801 | — | ||||||||||||||||||||||||||||||
Consumer | 6,701 | 28 | 1,333 | 20 | 2,319 | — | ||||||||||||||||||||||||||||||
Total acquired with no related allowance recorded | 24,460 | 500 | 16,177 | 400 | 15,191 | — | ||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||
Commercial real estate | 942 | 76 | 2,765 | 42 | 366 | — | ||||||||||||||||||||||||||||||
Commercial | 631 | 15 | 577 | 5 | 109 | — | ||||||||||||||||||||||||||||||
Consumer | 281 | 3 | — | — | — | — | ||||||||||||||||||||||||||||||
Total acquired with an allowance recorded | 1,854 | 94 | 3,342 | 47 | 475 | — | ||||||||||||||||||||||||||||||
Total acquired impaired loans and leases | 26,314 | 594 | 19,519 | 447 | 15,666 | — | ||||||||||||||||||||||||||||||
Total impaired loans and leases | $ | 50,072 | $ | 1,216 | $ | 33,492 | $ | 882 | $ | 30,948 | $ | 1,038 | ||||||||||||||||||||||||
Schedule of the impaired and non-impaired loans and leases, by loan and leases class | The following tables present information regarding impaired and non-impaired loans and leases at the dates indicated: | |||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Commercial Real Estate | Commercial | Indirect Automobile | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Allowance for Loan and Lease Losses: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 108 | $ | 768 | $ | — | $ | 10 | $ | — | $ | 886 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 27,457 | 14,631 | 2,331 | 3,088 | 2,418 | 49,925 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 27,565 | 15,399 | 2,331 | 3,098 | 2,418 | 50,811 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | — | 144 | — | 41 | — | 185 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 648 | 222 | — | 2 | — | 872 | ||||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 1,381 | 192 | — | 218 | — | 1,791 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 2,029 | 558 | — | 261 | — | 2,848 | ||||||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 29,594 | $ | 15,957 | $ | 2,331 | $ | 3,359 | $ | 2,418 | $ | 53,659 | ||||||||||||||||||||||||
Loans and Leases: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 6,869 | $ | 15,459 | $ | — | $ | 3,231 | $ | — | $ | 25,559 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 2,141,040 | 1,086,360 | 316,987 | 662,007 | — | 4,206,394 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 2,147,909 | 1,101,819 | 316,987 | 665,238 | — | 4,231,953 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | 626 | 4,458 | — | $ | 2,562 | — | 7,646 | |||||||||||||||||||||||||||||
Collectively evaluated for impairment | 97,141 | 38,504 | — | 134,973 | — | 270,618 | ||||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 222,125 | 22,313 | — | 67,952 | — | 312,390 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 319,892 | 65,275 | — | 205,487 | — | 590,654 | ||||||||||||||||||||||||||||||
Total loans and leases | $ | 2,467,801 | $ | 1,167,094 | $ | 316,987 | $ | 870,725 | $ | — | $ | 4,822,607 | ||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Commercial Real Estate | Commercial | Indirect Automobile | Consumer | Unallocated | Total | |||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Allowance for Loan and Lease Losses: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 184 | $ | 675 | $ | — | $ | 323 | $ | — | $ | 1,182 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 22,336 | 14,056 | 3,924 | 2,414 | 2,932 | 45,662 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 22,520 | 14,731 | 3,924 | 2,737 | 2,932 | 46,844 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | — | 3 | — | — | — | 3 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | (54 | ) | 234 | — | 204 | — | 384 | |||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 556 | 252 | — | 434 | — | 1,242 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 502 | 489 | — | 638 | — | 1,629 | ||||||||||||||||||||||||||||||
Total allowance for loan and lease losses | $ | 23,022 | $ | 15,220 | $ | 3,924 | $ | 3,375 | $ | 2,932 | $ | 48,473 | ||||||||||||||||||||||||
Loans and Leases: | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 3,643 | $ | 6,634 | $ | — | $ | 3,438 | $ | — | $ | 13,715 | ||||||||||||||||||||||||
Collectively evaluated for impairment | 1,765,589 | 821,174 | 400,531 | 546,044 | — | 3,533,338 | ||||||||||||||||||||||||||||||
Total originated loans and leases | 1,769,232 | 827,808 | 400,531 | 549,482 | — | 3,547,053 | ||||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | 2,625 | 4,878 | — | 872 | — | 8,375 | ||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 145,057 | 93,565 | — | 162,595 | — | 401,217 | ||||||||||||||||||||||||||||||
Acquired with deteriorated credit quality | 286,709 | 39,359 | — | 79,752 | — | 405,820 | ||||||||||||||||||||||||||||||
Total acquired loans and leases | 434,391 | 137,802 | — | 243,219 | — | 815,412 | ||||||||||||||||||||||||||||||
Total loans and leases | $ | 2,203,623 | $ | 965,610 | $ | 400,531 | $ | 792,701 | $ | — | $ | 4,362,465 | ||||||||||||||||||||||||
Summary of loans restructured or defaulted | The recorded investment in troubled debt restructurings and the associated specific allowances for loan and lease losses, in the originated and acquired loan and lease portfolios, that were modified during the periods indicated, are as follows. | |||||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||||||||||||||||||
Recorded Investment | Specific | Defaulted (1) | ||||||||||||||||||||||||||||||||||
Allowance for | ||||||||||||||||||||||||||||||||||||
Loan and | ||||||||||||||||||||||||||||||||||||
Number of | At | At End of | Lease Losses | Nonaccrual | Number of | Recorded | ||||||||||||||||||||||||||||||
Loans/ | Modification | Period | Loans and | Loans/ | Investment | |||||||||||||||||||||||||||||||
Leases | Leases | Leases | ||||||||||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | $ | 953 | $ | 932 | $ | — | $ | — | — | $ | — | ||||||||||||||||||||||||
Commercial | 6 | 2,884 | 2,948 | — | 628 | 3 | 615 | |||||||||||||||||||||||||||||
Equipment financing | 6 | 984 | 936 | 15 | 169 | 4 | 636 | |||||||||||||||||||||||||||||
Residential mortgage | 1 | 496 | — | — | — | — | — | |||||||||||||||||||||||||||||
Home equity | 2 | 400 | 402 | — | — | — | — | |||||||||||||||||||||||||||||
Total originated | 16 | 5,717 | 5,218 | 15 | 797 | 7 | 1,251 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial | 6 | 1,369 | 1,406 | — | 66 | 1 | 419 | |||||||||||||||||||||||||||||
Home equity | 1 | 190 | 189 | — | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 7 | 1,559 | 1,595 | — | 66 | 1 | 419 | |||||||||||||||||||||||||||||
Total loans | 23 | $ | 7,276 | $ | 6,813 | $ | 15 | $ | 863 | 8 | $ | 1,670 | ||||||||||||||||||||||||
(1) Includes loans and leases that have been modified within the past twelve months and subsequently had payment defaults during the period indicated. | ||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||||||||||
Recorded Investment | Specific | Defaulted (1) | ||||||||||||||||||||||||||||||||||
Allowance for | ||||||||||||||||||||||||||||||||||||
Loan and | ||||||||||||||||||||||||||||||||||||
Number of | At | At End of | Lease Losses | Nonaccrual | Number of | Recorded | ||||||||||||||||||||||||||||||
Loans/ | Modification | Period | Loans and | Loans/ | Investment | |||||||||||||||||||||||||||||||
Leases | Leases | Leases | ||||||||||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | $ | 1,039 | $ | — | $ | — | $ | — | — | $ | — | ||||||||||||||||||||||||
Commercial | 2 | 926 | 918 | — | — | — | — | |||||||||||||||||||||||||||||
Equipment financing | 5 | 1,557 | 1,415 | 77 | 861 | 2 | 371 | |||||||||||||||||||||||||||||
Residential mortgage | 1 | 415 | 353 | — | 353 | — | — | |||||||||||||||||||||||||||||
Total originated | 9 | 3,937 | 2,686 | 77 | 1,214 | 2 | 371 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | 737 | 727 | — | — | — | — | |||||||||||||||||||||||||||||
Commercial | 6 | 3,209 | 3,135 | — | 1,335 | 1 | 1,335 | |||||||||||||||||||||||||||||
Equipment financing | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Residential mortgage | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 7 | 3,946 | 3,862 | — | 1,335 | 1 | 1,335 | |||||||||||||||||||||||||||||
Total loans | 16 | $ | 7,883 | $ | 6,548 | $ | 77 | $ | 2,549 | 3 | $ | 1,706 | ||||||||||||||||||||||||
(1) Includes loans and leases that have been modified within the past twelve months and subsequently had payment defaults during the period indicated. | ||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Recorded Investment | Specific | Defaulted (1) | ||||||||||||||||||||||||||||||||||
Allowance for | ||||||||||||||||||||||||||||||||||||
Loan and | ||||||||||||||||||||||||||||||||||||
Number of | At | At End of | Lease Losses | Nonaccrual | Number of | Recorded | ||||||||||||||||||||||||||||||
Loans/ | Modification | Period | Loans and | Loans/ | Investment | |||||||||||||||||||||||||||||||
Leases | Leases | Leases | ||||||||||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||||||
Originated: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 2 | $ | 867 | $ | 854 | $ | 33 | $ | 513 | 2 | $ | 1,288 | ||||||||||||||||||||||||
Commercial | 3 | 3,942 | 2,086 | 316 | 1,993 | 1 | 44 | |||||||||||||||||||||||||||||
Equipment financing | 8 | 2,138 | 2,038 | 110 | 793 | 6 | 1,240 | |||||||||||||||||||||||||||||
Residential mortgage | 6 | 2,422 | 1,724 | 315 | 294 | 3 | 763 | |||||||||||||||||||||||||||||
Total originated | 19 | 9,369 | 6,702 | 774 | 3,593 | 12 | 3,335 | |||||||||||||||||||||||||||||
Acquired: | ||||||||||||||||||||||||||||||||||||
Commercial real estate mortgage | 1 | 3,145 | 3,208 | — | — | — | — | |||||||||||||||||||||||||||||
Commercial | 2 | 1,229 | 1,163 | — | 478 | — | — | |||||||||||||||||||||||||||||
Equipment financing | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Residential mortgage | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Total acquired | 3 | 4,374 | 4,371 | — | 478 | — | — | |||||||||||||||||||||||||||||
Total loans | 22 | $ | 13,743 | $ | 11,073 | $ | 774 | $ | 4,071 | 12 | $ | 3,335 | ||||||||||||||||||||||||
(1) Includes loans and leases that have been modified within the past twelve months and subsequently had payment defaults during the period indicated. | ||||||||||||||||||||||||||||||||||||
Schedule of troubled debt restructurings by type of modification | The following table sets forth the Company's end-of-period balances for troubled debt restructurings that were modified during the periods indicated, by type of modification. | |||||||||||||||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||||||
Loans with one modification: | ||||||||||||||||||||||||||||||||||||
Extended maturity | $ | 3,241 | $ | 3,841 | $ | 1,478 | ||||||||||||||||||||||||||||||
Adjusted principal | — | 908 | 2,185 | |||||||||||||||||||||||||||||||||
Adjusted interest rate | — | 755 | 1,715 | |||||||||||||||||||||||||||||||||
Interest only | 16 | — | — | |||||||||||||||||||||||||||||||||
Combination maturity, principal, interest rate | 479 | 554 | 1,838 | |||||||||||||||||||||||||||||||||
Total loans modified once | $ | 3,736 | $ | 6,058 | $ | 7,216 | ||||||||||||||||||||||||||||||
Loans with more than one modification: | ||||||||||||||||||||||||||||||||||||
Extended maturity | $ | 1,951 | $ | 490 | $ | — | ||||||||||||||||||||||||||||||
Adjusted principal | — | — | 3,857 | |||||||||||||||||||||||||||||||||
Interest only | 292 | — | — | |||||||||||||||||||||||||||||||||
Combination maturity, principal, interest rate | 834 | — | — | |||||||||||||||||||||||||||||||||
Total loans modified more than once | $ | 3,077 | $ | 490 | $ | 3,857 | ||||||||||||||||||||||||||||||
Premises_and_Equipment_Tables
Premises and Equipment (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Property, Plant and Equipment [Abstract] | ||||||||||
Schedule of premises and equipment | Premises and equipment consist of the following: | |||||||||
At December 31, | Estimated | |||||||||
2014 | 2013 | Useful Life | ||||||||
(In Thousands) | (In Years) | |||||||||
Land | $ | 7,562 | $ | 7,481 | NA | |||||
Office building and improvements | 78,461 | 75,271 | 10 to 40 | |||||||
Furniture, fixtures and equipment | 12,224 | 20,707 | 5 to 25 | |||||||
Vehicles | 144 | 212 | 3 to 10 | |||||||
Computer Equipment | 8,400 | 4,715 | 3 | |||||||
Core processing system and software | 18,496 | 16,539 | 3 to 7.5 | |||||||
Total | 125,287 | 124,925 | ||||||||
Accumulated depreciation and amortization | 44,668 | 44,420 | ||||||||
Total premises and equipment | $ | 80,619 | $ | 80,505 | ||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||
Schedule of changes in the carrying value of goodwill | The changes in the carrying value of goodwill for the periods indicated were as follows: | |||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Balance at beginning of year | $ | 137,890 | $ | 137,890 | $ | 45,799 | ||||||||||||||||||
Additions | — | — | 93,145 | |||||||||||||||||||||
Adjustments to original goodwill | — | — | (1,054 | ) | ||||||||||||||||||||
Balance at end of year | $ | 137,890 | $ | 137,890 | $ | 137,890 | ||||||||||||||||||
Schedule of composition of goodwill and other intangible assets | The following is a summary of the Company's other intangible assets: | |||||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||||||
Gross | Accumulated | Carrying | Gross | Accumulated | Carrying | |||||||||||||||||||
Amount | Amortization | Amount | Amount | Amortization | Amount | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Other intangible assets: | ||||||||||||||||||||||||
Core deposits | $ | 36,172 | $ | 23,717 | $ | 12,455 | $ | 36,172 | $ | 20,395 | $ | 15,777 | ||||||||||||
Trade name | 1,600 | 511 | 1,089 | 1,600 | 511 | 1,089 | ||||||||||||||||||
Trust relationship | 1,568 | 1,568 | — | 1,568 | 1,547 | 21 | ||||||||||||||||||
Other intangible | 442 | 442 | — | 442 | 442 | — | ||||||||||||||||||
Total other intangible assets | $ | 39,782 | $ | 26,238 | $ | 13,544 | $ | 39,782 | $ | 22,895 | $ | 16,887 | ||||||||||||
Schedule of estimated aggregate future amortization expense for intangible assets | The estimated aggregate future amortization expense for other intangible assets for each of the next five years and thereafter is as follows: | |||||||||||||||||||||||
Year ended December 31: | Amount | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
2015 | $ | 2,911 | ||||||||||||||||||||||
2016 | 2,500 | |||||||||||||||||||||||
2017 | 2,089 | |||||||||||||||||||||||
2018 | 1,669 | |||||||||||||||||||||||
2019 | 1,295 | |||||||||||||||||||||||
Thereafter | 1,991 | |||||||||||||||||||||||
Total | $ | 12,455 | ||||||||||||||||||||||
Other_Assets_Tables
Other Assets (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||||||||||
Schedule of information regarding the Company's investments in affordable housing projects | Further information regarding the Company's investments in affordable housing projects follows: | |||||||||||
As of and for the | ||||||||||||
Year Ended | ||||||||||||
December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Investments in affordable housing projects included in other assets | $ | 10,131 | $ | 10,301 | $ | 9,167 | ||||||
Unfunded commitments related to affordable housing projects included in other liabilities | 2,608 | 2,904 | 4,291 | |||||||||
Loss from investments in affordable housing projects | 2,060 | 1,812 | 694 | |||||||||
Reduction in tax expense due to affordable housing tax credits | 1,431 | 1,058 | 806 | |||||||||
Deposits_Tables
Deposits (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Banking and Thrift [Abstract] | ||||||||||||||
Summary of deposits | A summary of deposits follows: | |||||||||||||
31-Dec-14 | 31-Dec-13 | |||||||||||||
Amount | Weighted | Amount | Weighted | |||||||||||
Average | Average | |||||||||||||
Rate | Rate | |||||||||||||
(Dollars in Thousands) | ||||||||||||||
Demand checking accounts | $ | 726,118 | — | $ | 707,023 | — | ||||||||
NOW accounts | 235,063 | 0.07 | % | 210,602 | 0.07 | % | ||||||||
Savings accounts | 531,727 | 0.21 | % | 494,734 | 0.25 | % | ||||||||
Money market accounts | 1,518,490 | 0.52 | % | 1,487,979 | 0.54 | % | ||||||||
Total core deposit accounts | 3,011,398 | 0.31 | % | 2,900,338 | 0.32 | % | ||||||||
Certificate of deposit accounts maturing: | ||||||||||||||
Within six months | 363,258 | 0.7 | % | 381,986 | 0.72 | % | ||||||||
After six months but within 1 year | 258,379 | 0.72 | % | 312,005 | 0.82 | % | ||||||||
After 1 year but within 2 years | 232,658 | 1.08 | % | 141,518 | 1.09 | % | ||||||||
After 2 years but within 3 years | 36,685 | 1.49 | % | 45,965 | 1.91 | % | ||||||||
After 3 years but within 4 years | 24,059 | 1.32 | % | 26,046 | 1.65 | % | ||||||||
After 4 years but within 5 years | 31,630 | 1.75 | % | 26,810 | 1.33 | % | ||||||||
5+ Years | 39 | 1.34 | % | 338 | 1.15 | % | ||||||||
Total certificate of deposit accounts | 946,708 | 0.88 | % | 934,668 | 0.91 | % | ||||||||
Total deposits | $ | 3,958,106 | 0.44 | % | $ | 3,835,006 | 0.47 | % | ||||||
Schedule of interest expense on deposit balances | Interest expense on deposit balances is summarized as follows: | |||||||||||||
Year Ended December 31, | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
(In Thousands) | ||||||||||||||
Interest-bearing deposits: | ||||||||||||||
NOW accounts | $ | 171 | $ | 173 | $ | 209 | ||||||||
Savings accounts | 1,197 | 1,288 | 1,726 | |||||||||||
Money market accounts | 7,846 | 8,220 | 8,773 | |||||||||||
Certificate of deposit accounts | 7,846 | 9,092 | 10,724 | |||||||||||
Total interest-bearing deposits | $ | 17,060 | $ | 18,773 | $ | 21,432 | ||||||||
Borrowed_Funds_Tables
Borrowed Funds (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||
Schedule of borrowed funds | Borrowed funds are comprised of the following: | |||||||||||||||||||||
At December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||
Advances from the FHLBB | $ | 1,004,026 | $ | 768,773 | ||||||||||||||||||
Subordinated debentures and notes | 82,763 | 9,163 | ||||||||||||||||||||
Other borrowed funds | 39,615 | 34,619 | ||||||||||||||||||||
Total borrowed funds | $ | 1,126,404 | $ | 812,555 | ||||||||||||||||||
Schedule of interest expense on borrowed funds | Interest expense on borrowed funds for the periods indicated is as follows: | |||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||
Advances from the FHLBB | $ | 10,535 | $ | 10,886 | $ | 13,685 | ||||||||||||||||
Subordinated debentures and notes | 1,740 | 439 | 578 | |||||||||||||||||||
Other borrowed funds | 79 | 68 | 137 | |||||||||||||||||||
Total interest expense on borrowed funds | $ | 12,354 | $ | 11,393 | $ | 14,400 | ||||||||||||||||
Schedule of federal home loan bank advances | FHLBB advances mature as follows: | |||||||||||||||||||||
At December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
Amount | Callable | Weighted | Amount | Callable | Weighted | |||||||||||||||||
Amount | Average | Amount | Average | |||||||||||||||||||
Rate | Rate | |||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||
Within 1 year | $ | 583,000 | $ | — | 0.52 | % | $ | 186,035 | $ | — | 0.71 | % | ||||||||||
Over 1 year to 2 years | 217,054 | 31,353 | 0.89 | % | 283,000 | — | 0.79 | % | ||||||||||||||
Over 2 years to 3 years | 145,326 | 116,828 | 2.43 | % | 92,971 | 32,094 | 2.45 | % | ||||||||||||||
Over 3 years to 4 years | 36,550 | 10,054 | 2.46 | % | 147,198 | 118,698 | 3.86 | % | ||||||||||||||
Over 4 years to 5 years | 5,416 | — | 2.21 | % | 36,625 | 10,071 | 2.51 | % | ||||||||||||||
Over 5 years | 16,680 | — | 4.18 | % | 22,944 | — | 3.7 | % | ||||||||||||||
$ | 1,004,026 | $ | 158,235 | 1.02 | % | $ | 768,773 | $ | 160,863 | 1.71 | % | |||||||||||
Schedule of information concerning repurchase agreements during the period | Information concerning repurchase agreements is as follows for the periods indicated below: | |||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||
(Dollars In Thousands) | ||||||||||||||||||||||
Outstanding at end of year | $ | 39,633 | $ | 34,619 | ||||||||||||||||||
Average outstanding for the year | 28,724 | 38,784 | ||||||||||||||||||||
Maximum outstanding at any month-end | 39,633 | 48,544 | ||||||||||||||||||||
Weighted average rate at end of year | 0.16 | % | 0.17 | % | ||||||||||||||||||
Weighted average rate paid for the year | 0.28 | % | 0.18 | % | ||||||||||||||||||
Summary of subordinated debentures | In connection with the acquisition of Bancorp Rhode Island, Inc., the Company assumed three subordinated debentures issued by a subsidiary of Bancorp Rhode Island, Inc. One subordinated debenture in the amount of $3.0 million was called in the first quarter of 2013 due to its high fixed rate. | |||||||||||||||||||||
On September 15, 2014, the Company offered $75.0 million of 6.0% fixed-to-floating subordinated notes due September | ||||||||||||||||||||||
15, 2029. The Company is obligated to pay 6.0% interest semiannually between September 2014 and September 2024. Subsequently, the Company is obligated to pay 3-month LIBOR plus 3.315% quarterly until the notes mature in September 2029. As of December 31, 2014, the Company capitalized $1.5 million in relation to the issuance of these subordinated notes. | ||||||||||||||||||||||
The following table summarizes the Company's subordinated debentures and notes at the dates indicated. | ||||||||||||||||||||||
At December 31, 2014: | ||||||||||||||||||||||
Issue Date | Rate | Maturity Date | Next Call Date | Carrying | ||||||||||||||||||
Amount | ||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||
June 26, 2003 | Variable; 3-month LIBOR + 3.10% | June 26, 2033 | March 26, 2015 | $ | 4,696 | |||||||||||||||||
March 17, 2004 | Variable; 3-month LIBOR + 2.79% | March 17, 2034 | March 17, 2015 | $ | 4,543 | |||||||||||||||||
15-Sep-14 | 6.0% Fixed-to-Variable; 3-month LIBOR + 3.315% | 15-Sep-29 | 15-Sep-24 | $ | 73,524 | |||||||||||||||||
At December 31, 2013: | ||||||||||||||||||||||
Issue Date | Rate | Fair | Maturity Date | Next Call Date | Carrying | |||||||||||||||||
Market Rate | Amount | |||||||||||||||||||||
at BankRI | ||||||||||||||||||||||
Acquisition | ||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||
June 26, 2003 | Variable; 3-month | 6.45 | % | June 26, 2033 | March 26, 2014 | $ | 4,666 | |||||||||||||||
LIBOR + 3.10% | ||||||||||||||||||||||
March 17, 2004 | Variable; 3-month | 6.45 | % | March 17, 2034 | March 17, 2014 | $ | 4,497 | |||||||||||||||
LIBOR + 2.79% |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||
Schedule of financial instruments with off-balance sheet risk | Financial instruments with off-balance-sheet risk at the dates indicated follow: | |||||||
At December 31, | ||||||||
2014 | 2013 | |||||||
(In Thousands) | ||||||||
Financial instruments whose contract amounts represent credit risk: | ||||||||
Commitments to originate loans and leases: | ||||||||
Commercial real estate | $ | 107,179 | $ | 48,973 | ||||
Commercial | 102,353 | 143,252 | ||||||
Residential mortgage | 20,520 | 8,027 | ||||||
Unadvanced portion of loans and leases | 629,351 | 586,279 | ||||||
Unused lines of credit: | ||||||||
Home equity | 239,240 | 205,665 | ||||||
Other consumer | 10,876 | 6,503 | ||||||
Other commercial | 728 | 1,035 | ||||||
Unused letters of credit: | ||||||||
Financial standby letters of credit | 16,762 | 20,410 | ||||||
Performance standby letters of credit | 3,126 | 2,989 | ||||||
Commercial and similar letters of credit | 50 | 440 | ||||||
Back-to-back interest rate swaps | 109,362 | 22,418 | ||||||
Schedule of future minimum rental payments under noncancellable operating leases | The Company leases certain office space under various noncancellable operating leases. These leases have original terms ranging from 5 years to over 20 years. Certain leases contain renewal options and escalation clauses which can increase rental expenses based principally on the consumer price index and fair market rental value provisions. | |||||||
A summary of future minimum rental payments under such leases at the dates indicated follows: | ||||||||
Year ended December 31, | Minimum Rental Payments | |||||||
(In Thousands) | ||||||||
2015 | $ | 5,494 | ||||||
2016 | 5,354 | |||||||
2017 | 4,831 | |||||||
2018 | 4,275 | |||||||
2019 | 3,361 | |||||||
Thereafter | 12,266 | |||||||
Total | $ | 35,581 | ||||||
Earnings_per_Share_Tables
Earnings per Share (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||
Reconciliation of basic EPS and diluted EPS | The following table is a reconciliation of basic EPS and diluted EPS: | |||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Basic | Fully | Basic | Fully | Basic | Fully | |||||||||||||||||||
Diluted | Diluted | Diluted | ||||||||||||||||||||||
(Dollars in Thousands, Except Per Share Amounts) | ||||||||||||||||||||||||
Net income | $ | 42,765 | $ | 42,765 | $ | 35,386 | $ | 35,386 | $ | 37,142 | $ | 37,142 | ||||||||||||
Weighted average shares outstanding | 69,945,028 | 69,945,028 | 69,808,164 | 69,808,164 | 69,702,417 | 69,702,417 | ||||||||||||||||||
Effect of dilutive securities | — | 109,787 | — | 75,760 | — | 43,839 | ||||||||||||||||||
Adjusted weighted average shares outstanding | 69,945,028 | 70,054,815 | 69,808,164 | 69,883,924 | 69,702,417 | 69,746,256 | ||||||||||||||||||
Earnings per share | $ | 0.61 | $ | 0.61 | $ | 0.51 | $ | 0.51 | $ | 0.53 | $ | 0.53 | ||||||||||||
Comprehensive_IncomeLoss_Table
Comprehensive Income/(Loss) (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Equity [Abstract] | ||||||||||||||
Schedule of changes in accumulated other comprehensive (loss) income by component, net of tax | Changes in accumulated other comprehensive (loss) income by component, net of tax, were as follows for the periods indicated: | |||||||||||||
Year Ended December 31, 2014 | ||||||||||||||
Investment | Postretirement | Accumulated Other | ||||||||||||
Securities | Benefits | Comprehensive | ||||||||||||
Available-for-Sale | (Loss)/Income | |||||||||||||
(In Thousands) | ||||||||||||||
Balance at December 31, 2013 | $ | (8,332 | ) | $ | 417 | $ | (7,915 | ) | ||||||
Other comprehensive income (loss) | 6,599 | (306 | ) | 6,293 | ||||||||||
Balance at December 31, 2014 | $ | (1,733 | ) | $ | 111 | $ | (1,622 | ) | ||||||
Year Ended December 31, 2013 | ||||||||||||||
Investment | Postretirement | Accumulated Other | ||||||||||||
Securities | Benefits | Comprehensive | ||||||||||||
Available-for-Sale | Income/(Loss) | |||||||||||||
(In Thousands) | ||||||||||||||
Balance at December 31, 2012 | $ | 3,358 | $ | 125 | $ | 3,483 | ||||||||
Other comprehensive (loss) income | (11,690 | ) | 292 | (11,398 | ) | |||||||||
Balance at December 31, 2013 | $ | (8,332 | ) | $ | 417 | $ | (7,915 | ) | ||||||
Year Ended December 31, 2012 | ||||||||||||||
Investment | Postretirement | Accumulated Other | ||||||||||||
Securities | Benefits | Comprehensive | ||||||||||||
Available-for-Sale | Income | |||||||||||||
(In Thousands) | ||||||||||||||
Balance at December 31, 2011 | $ | 1,834 | $ | 129 | $ | 1,963 | ||||||||
Other comprehensive income (loss) | 1,524 | (4 | ) | 1,520 | ||||||||||
Balance at December 31, 2012 | $ | 3,358 | $ | 125 | $ | 3,483 | ||||||||
Summary of the amounts reclassified from accumulated other comprehensive income (loss) | The following is a summary of the amounts reclassified from accumulated other comprehensive income (loss) for the years ended December 31, 2014, 2013, and 2012. | |||||||||||||
Year Ended December 31, | Income Statement Line Affected by Reclassification | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
(In Thousands) | ||||||||||||||
Other Comprehensive Income (Loss) Component | ||||||||||||||
Unrealized gains on investment securities available-for-sale: | ||||||||||||||
$ | 65 | $ | 397 | $ | 926 | Gain on sales of securities,net | ||||||||
(23 | ) | (142 | ) | (328 | ) | Provision for income taxes | ||||||||
Total reclassifications for the period | $ | 42 | $ | 255 | $ | 598 | Net income | |||||||
Derivatives_and_Hedging_Activi1
Derivatives and Hedging Activities (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||
Schedule of fair value and classification of derivative financial instruments on the consolidated balance sheets and the effect of the derivative financial instruments on the consolidated income statements | The table below presents the fair value and classification of the Company’s derivative | |||||||||||||||||||||||
financial instruments at December 31, 2014 and 2013. | ||||||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||||||
Asset | Liability | Asset | Liability | |||||||||||||||||||||
Derivatives | Derivatives | Derivatives | Derivatives | |||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Total derivatives (interest-rate products) not designated as hedging instruments | $ | 2,676 | $ | 2,714 | $ | 825 | $ | 856 | ||||||||||||||||
Changes in the fair value are recognized directly in the Company's unaudited consolidated statements of income and are included in loan fees in the consolidated statements of income. The table below presents the gain (loss) recognized in income due to changes in the fair value for the year ended December 31, 2014 and 2013. | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
(Loss) gain recognized in income on derivatives | $ | (8 | ) | $ | 32 | |||||||||||||||||||
Schedule of offsetting derivatives and amounts subject to master netting agreements not offset in the audited consolidated balance sheet | The tables below present the offsetting of derivatives and amounts subject to master netting agreements not offset in the consolidated balance sheet at the dates indicated. | |||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||
Gross | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | ||||||||||||||||||||
Amounts of | Offset in the | Assets Presented in | Statement of Financial Position | |||||||||||||||||||||
Recognized | Statement of Financial Position | the Statement of Financial Position | ||||||||||||||||||||||
Assets /Liabilities | Financial Instruments | Cash Collateral (Received)/ Posted | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Asset Derivatives | $ | 2,676 | $ | — | $ | 2,676 | $ | — | $ | 2,676 | ||||||||||||||
Liability Derivatives | $ | 2,714 | $ | — | $ | 2,714 | $ | — | $ | 3,839 | $ | 6,553 | ||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||
Gross | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | ||||||||||||||||||||
Amounts of | Offset in the | Assets Presented in | Statement of Financial Position | |||||||||||||||||||||
Recognized | Statement of Financial Position | the Statement of Financial Position | ||||||||||||||||||||||
Assets /Liabilities | Financial Instruments | Cash Collateral (Received) / Posted | ||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
Asset Derivatives | $ | 825 | $ | — | $ | 825 | $ | — | $ | — | $ | 825 | ||||||||||||
Liability Derivatives | $ | 856 | $ | — | $ | 856 | $ | — | $ | 2,811 | $ | 3,667 | ||||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Schedule of income tax expense | Income tax expense is comprised of the following amounts: | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Current provision: | ||||||||||||
Federal | $ | 19,329 | $ | 12,799 | $ | 15,558 | ||||||
State | 5,240 | 4,238 | 5,120 | |||||||||
Total current provision | 24,569 | 17,037 | 20,678 | |||||||||
Deferred provision (benefit): | ||||||||||||
Federal | 289 | 2,572 | 389 | |||||||||
State | (109 | ) | (128 | ) | 274 | |||||||
Total deferred provision | 180 | 2,444 | 663 | |||||||||
Total provision for income taxes | $ | 24,749 | $ | 19,481 | $ | 21,341 | ||||||
Schedule of reconciliation of income tax expense | Total provision for income taxes differed from the amounts computed by applying the statutory U.S. federal income tax rate (35.0%) to income before tax expense as a result of the following: | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Expected income tax expense at statutory federal tax rate | $ | 24,343 | $ | 19,830 | $ | 20,899 | ||||||
State taxes, net of federal income tax benefit | 3,338 | 2,673 | 3,506 | |||||||||
Bank-owned life insurance | (369 | ) | (383 | ) | (409 | ) | ||||||
Tax-exempt interest income | (341 | ) | (310 | ) | (216 | ) | ||||||
Non-deductible acquisition and other expenses | — | — | 617 | |||||||||
Income attributable to noncontrolling interest in subsidiary | (831 | ) | (768 | ) | (560 | ) | ||||||
Tax credit—premises and equipment | — | (453 | ) | (1,593 | ) | |||||||
Tax credits from investments in affordable housing projects | (1,431 | ) | (1,058 | ) | (806 | ) | ||||||
Other, net | 40 | (50 | ) | (97 | ) | |||||||
Total provision for income taxes | $ | 24,749 | $ | 19,481 | $ | 21,341 | ||||||
Effective income tax rate | 35.6 | % | 34.4 | % | 35.7 | % | ||||||
Schedule of the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at the dates indicated are as follows: | |||||||||||
At December 31, | ||||||||||||
2014 | 2013 | |||||||||||
(In Thousands) | ||||||||||||
Deferred tax assets: | ||||||||||||
Allowance for credit losses | $ | 21,770 | $ | 19,754 | ||||||||
Acquisition fair value adjustments | 3,066 | 7,430 | ||||||||||
Unrealized loss on investment securities available-for-sale | 1,086 | 5,119 | ||||||||||
Retirement and postretirement benefits | 4,794 | 4,159 | ||||||||||
Deferred compensation | 3,686 | 1,989 | ||||||||||
Net operating loss and contribution carryovers | 1,614 | 1,922 | ||||||||||
Nonaccrual interest | 814 | 878 | ||||||||||
Restricted stock and stock option plans | 708 | 726 | ||||||||||
Write-downs of investment securities | — | 442 | ||||||||||
Accrued expenses | 407 | 375 | ||||||||||
Alternative minimum tax credits | 31 | 31 | ||||||||||
Other | 63 | 33 | ||||||||||
Total gross deferred tax assets | 38,039 | 42,858 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Identified intangible assets and goodwill | 6,311 | 7,322 | ||||||||||
Depreciation | 2,740 | 2,619 | ||||||||||
Deferred loan origination costs, net | 930 | 734 | ||||||||||
Investments in affordable housing projects | 257 | 205 | ||||||||||
Unrecognized gain relating to postretirement obligation | 70 | 268 | ||||||||||
Other | 44 | — | ||||||||||
Total gross deferred tax liabilities | 10,352 | 11,148 | ||||||||||
Net deferred tax asset | $ | 27,687 | $ | 31,710 | ||||||||
Regulatory_Capital_Requirement1
Regulatory Capital Requirements (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | ||||||||||||||||||||||||||||||||
Schedule of stockholders' equity reconciliation under U.S generally accepted accounting principles (GAAP) with regulatory capital | The following table reconciles stockholders' equity under GAAP with regulatory capital for the Company and its subsidiaries at the dates indicated. | |||||||||||||||||||||||||||||||
The Company | Brookline Bank | BankRI | First Ipswich | |||||||||||||||||||||||||||||
December 31, | December 31, | December 31, | December 31, | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||
Stockholders' equity | $ | 640,750 | $ | 613,867 | $ | 339,155 | $ | 301,291 | $ | 253,208 | $ | 236,579 | $ | 34,274 | $ | 34,641 | ||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||||
Minority interest | 4,787 | 4,304 | 4,787 | 4,304 | — | — | — | — | ||||||||||||||||||||||||
Trust preferred subordinated debenture | 9,239 | 9,163 | — | — | — | — | — | — | ||||||||||||||||||||||||
Disallowed goodwill and intangible assets | (151,434 | ) | (154,777 | ) | (7,626 | ) | (7,647 | ) | (103,862 | ) | (106,593 | ) | (4,679 | ) | (5,271 | ) | ||||||||||||||||
Net unrealized loss on available-for-sale equity securities | — | — | — | — | — | — | — | (10 | ) | |||||||||||||||||||||||
Net unrealized losses on available-for-sale securities | 1,733 | 8,326 | 308 | 2,285 | 1,057 | 4,918 | 367 | 1,075 | ||||||||||||||||||||||||
Accumulated net gains on postretirement benefits | (111 | ) | (411 | ) | (111 | ) | (411 | ) | — | — | — | — | ||||||||||||||||||||
Tier 1 capital | 504,964 | 480,472 | 336,513 | 299,822 | 150,403 | 134,904 | 29,962 | 30,435 | ||||||||||||||||||||||||
Allowance for credit losses not to exceed 1.25% of risk-weighted assets | 54,933 | 49,510 | 36,799 | 35,926 | 15,721 | 10,936 | 2,412 | 1,854 | ||||||||||||||||||||||||
Unrealized gains on available-for-sale equity securities | — | — | — | — | 11 | 7 | 1 | — | ||||||||||||||||||||||||
Subordinated notes | 73,524 | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Total risk-based capital | $ | 633,421 | $ | 529,982 | $ | 373,312 | $ | 335,748 | $ | 166,135 | $ | 145,847 | $ | 32,375 | $ | 32,289 | ||||||||||||||||
Schedule of the company's and the bank's actual and required capital amounts and ratios | The Company's and the Banks' actual and required capital amounts and ratios are as follows: | |||||||||||||||||||||||||||||||
Actual | Minimum Required for | Minimum Required | ||||||||||||||||||||||||||||||
Capital Adequacy | To Be Considered | |||||||||||||||||||||||||||||||
Purposes | "Well-Capitalized" | |||||||||||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||||||||||||||
At December 31, 2014: | ||||||||||||||||||||||||||||||||
Brookline Bancorp, Inc. | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 504,964 | 9.01 | % | $ | 224,179 | 4 | % | N/A | N/A | ||||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 504,964 | 10.55 | % | 191,456 | 4 | % | N/A | N/A | ||||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 633,421 | 13.24 | % | 382,732 | 8 | % | N/A | N/A | ||||||||||||||||||||||
Brookline Bank | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 336,513 | 9.6 | % | $ | 140,214 | 4 | % | $ | 175,267 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 336,513 | 10.72 | % | 125,565 | 4 | % | 188,347 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 373,312 | 11.9 | % | 250,966 | 8 | % | 313,708 | 10 | % | |||||||||||||||||||||
BankRI | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 150,403 | 8.43 | % | $ | 71,366 | 4 | % | $ | 89,207 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 150,403 | 10.7 | % | 56,225 | 4 | % | 84,338 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 166,135 | 11.82 | % | 112,443 | 8 | % | 140,554 | 10 | % | |||||||||||||||||||||
First Ipswich | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 29,962 | 9.27 | % | $ | 12,929 | 4 | % | $ | 16,161 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 29,962 | 12.4 | % | 9,665 | 4 | % | 14,498 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 32,375 | 13.4 | % | 19,328 | 8 | % | 24,160 | 10 | % | |||||||||||||||||||||
At December 31, 2013: | ||||||||||||||||||||||||||||||||
Brookline Bancorp, Inc. | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 480,472 | 9.36 | % | $ | 205,330 | 4 | % | N/A | N/A | ||||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 480,472 | 11.01 | % | 174,558 | 4 | % | N/A | N/A | ||||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 529,982 | 12.15 | % | 348,959 | 8 | % | N/A | N/A | ||||||||||||||||||||||
Brookline Bank | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 299,822 | 9.37 | % | $ | 127,992 | 4 | % | $ | 159,990 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 299,822 | 10.43 | % | 114,984 | 4 | % | 172,477 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 335,748 | 11.69 | % | 229,768 | 8 | % | 287,210 | 10 | % | |||||||||||||||||||||
BankRI | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 134,904 | 8.08 | % | $ | 66,784 | 4 | % | $ | 83,480 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 134,904 | 10.57 | % | 51,052 | 4 | % | 76,577 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 145,847 | 11.43 | % | 102,080 | 8 | % | 127,600 | 10 | % | |||||||||||||||||||||
First Ipswich | ||||||||||||||||||||||||||||||||
Tier 1 leverage capital ratio | (1 | ) | $ | 30,435 | 9.77 | % | $ | 12,461 | 4 | % | $ | 15,576 | 5 | % | ||||||||||||||||||
Tier 1 risk-based capital ratio | (2 | ) | 30,435 | 13.57 | % | 8,971 | 4 | % | 13,457 | 6 | % | |||||||||||||||||||||
Total risk-based capital ratio | (3 | ) | 32,289 | 14.4 | % | 17,938 | 8 | % | 22,423 | 10 | % | |||||||||||||||||||||
_______________________________________________________________________________ | ||||||||||||||||||||||||||||||||
-1 | Tier 1 leverage capital ratio is calculated by dividing Tier 1 capital by average assets. | |||||||||||||||||||||||||||||||
-2 | Tier 1 risk-based capital ratio is calculated by dividing Tier 1 capital by risk-weighted assets. | |||||||||||||||||||||||||||||||
-3 | Total risk-based capital ratio is calculated by dividing total capital by risk-weighted assets. |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||
Schedule of the components of net periodic postretirement benefit cost and other amounts recognized in other comprehensive income | The following table presents the components of net periodic postretirement benefit cost and other amounts recognized in other comprehensive income: | ||||||||||||
Year Ended | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(In Thousands) | |||||||||||||
Net periodic benefit expense: | |||||||||||||
Service cost | $ | 45 | $ | 61 | $ | 74 | |||||||
Interest cost | 47 | 47 | 55 | ||||||||||
Prior service credit | (21 | ) | (21 | ) | (21 | ) | |||||||
Actuarial gain | (40 | ) | (16 | ) | (3 | ) | |||||||
Net periodic benefit expense | $ | 31 | $ | 71 | $ | 105 | |||||||
Changes in postretirement benefit obligation recognized in other comprehensive income: | |||||||||||||
Net actuarial loss (gain) | $ | (477 | ) | $ | 489 | $ | 11 | ||||||
Prior service credit | (21 | ) | (21 | ) | (21 | ) | |||||||
Total pre-tax changes in postretirement benefit obligation recognized in other comprehensive income | $ | (498 | ) | $ | 468 | $ | (10 | ) | |||||
Schedule of effect of 1% change in assumed health care cost trend rates | A 1% change in assumed health care cost trend rates would have the following effects: | ||||||||||||
1% Increase | 1% Decrease | ||||||||||||
(In Thousands) | |||||||||||||
Effect on total service and interest cost components of net periodic postretirement benefit costs | $ | 21 | $ | (16 | ) | ||||||||
Effect on the accumulated postretirement benefit obligation | 378 | (290 | ) | ||||||||||
Activity under recognition and retention plans | Activity under the recognition and retention plans was as follows: | ||||||||||||
Restricted Stock Awards Outstanding | Weighted | ||||||||||||
Average Grant Price per Share | |||||||||||||
(Dollars in Thousands, Except Per Share Amounts) | |||||||||||||
Recognition and Retention Plans: | |||||||||||||
Outstanding at December 31, 2013 | 409,068 | $ | 9.29 | ||||||||||
Granted | 188,654 | 9.01 | |||||||||||
Vested | (124,836 | ) | 9.25 | ||||||||||
Forfeited / Canceled | (53,184 | ) | 9.28 | ||||||||||
Outstanding at December 31, 2014 | 419,702 | $ | 9.17 | ||||||||||
Unrecognized compensation cost | $ | 3,850 | |||||||||||
Weighted average remaining recognition period (months) | 17 | ||||||||||||
Schedule of stock option activity | Activity under the option plans was as follows: | ||||||||||||
Options | Weighted | Aggregate | Weighted | ||||||||||
Outstanding | Average | Intrinsic | Average | ||||||||||
Exercise Price | Value | Contractual | |||||||||||
Per Share | Term (In Years) | ||||||||||||
(Dollars in Thousands, Except Per Share Amounts) | |||||||||||||
Employee Stock Options: | |||||||||||||
Outstanding at December 31, 2013 | 232,345 | $ | 10.43 | ||||||||||
Granted | — | — | |||||||||||
Exercised | — | — | |||||||||||
Forfeited / Canceled | — | — | |||||||||||
Outstanding at December 31, 2014 | 232,345 | $ | 10.43 | $ | — | 4.7 | |||||||
Exercisable at December 31, 2014 | 232,345 | $ | 10.43 | $ | — | 4.7 | |||||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Fair value of assets and liabilities | ||||||||||||||||||||
Schedule of reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | The reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) is as follows for the periods indicated: | |||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Investment securities available-for-sale, beginning of year | $ | 1,775 | $ | 2,917 | ||||||||||||||||
Investment security sales | (1,658 | ) | — | |||||||||||||||||
Principal paydowns and other | — | (1,150 | ) | |||||||||||||||||
Total realized losses included in other income | (242 | ) | — | |||||||||||||||||
Total unrealized gains included in other comprehensive income | 125 | 8 | ||||||||||||||||||
Investment securities available-for-sale, end of year | $ | — | $ | 1,775 | ||||||||||||||||
Schedule of quantitative information about significant unobservable inputs (Level 3) for assets measured at fair value on a recurring basis | The table below presents quantitative information about significant unobservable inputs (Level 3) for assets measured at fair value on a recurring basis at the dates indicated. | |||||||||||||||||||
Fair Value | Valuation Technique | Unobservable Input | Range | Weighted | ||||||||||||||||
Average | ||||||||||||||||||||
Yields | ||||||||||||||||||||
At December 31, 2014 | At December 31, 2013 | |||||||||||||||||||
(Dollars in Thousands) | ||||||||||||||||||||
Auction-rate municipal obligations | $ | — | $ | 1,775 | Discounted cash flow | Discount rate | 0-5% | — | % | |||||||||||
Collateral-dependent impaired loans and leases | $ | 6,376 | $ | 12,099 | Appraisal of collateral (1) | |||||||||||||||
OREO | $ | 953 | $ | 577 | Appraisal of collateral (1) | |||||||||||||||
-1 | ||||||||||||||||||||
Summary of the carrying values and estimated fair values | Financial liabilities for which the fair value approximates carrying value include non-maturity deposits, short-term borrowings and accrued interest payable. | |||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||
Carrying | Estimated | Level 1 | Level 2 | Level 3 | ||||||||||||||||
Value | Fair Value | Inputs | Inputs | Inputs | ||||||||||||||||
(In Thousands) | ||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||
Financial assets: | ||||||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||
Loans held-for-sale | 1,537 | 1,537 | — | 1,537 | — | |||||||||||||||
Loans and leases, net | 4,768,948 | 4,753,605 | — | — | 4,753,605 | |||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Certificates of deposit | 946,708 | 949,320 | — | 949,320 | — | |||||||||||||||
Borrowed funds | 1,126,404 | 1,132,940 | — | 1,132,940 | — | |||||||||||||||
31-Dec-13 | ||||||||||||||||||||
Financial assets: | ||||||||||||||||||||
Investment securities held-to-maturity | $ | 500 | $ | 500 | $ | — | $ | — | $ | 500 | ||||||||||
Loans held-for-sale | 13,372 | 13,372 | — | 13,372 | — | |||||||||||||||
Loans and leases, net | 4,313,992 | 4,552,556 | — | — | 4,552,556 | |||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Certificates of deposit | 934,668 | 938,703 | — | 938,703 | — | |||||||||||||||
Borrowed funds | 812,555 | 815,910 | — | 815,910 | — | |||||||||||||||
Recurring basis | ||||||||||||||||||||
Fair value of assets and liabilities | ||||||||||||||||||||
Schedule of assets and liabilities measured at fair value on a recurring and non-recurring basis | The following table set forth the carrying value of assets and liabilities measured at fair value on a recurring basis at December 31, 2014 and 2013: | |||||||||||||||||||
Carrying Value as of December 31, 2014 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||
Debt securities: | ||||||||||||||||||||
GSEs | $ | — | $ | 22,988 | $ | — | $ | 22,988 | ||||||||||||
GSE CMOs | — | 234,169 | — | 234,169 | ||||||||||||||||
GSE MBSs | — | 250,981 | — | 250,981 | ||||||||||||||||
SBA commercial loan asset-backed securities | — | 203 | — | 203 | ||||||||||||||||
Corporate debt obligations | — | 40,207 | — | 40,207 | ||||||||||||||||
Trust preferred securities | — | 1,240 | — | 1,240 | ||||||||||||||||
Total debt securities | — | 549,788 | — | 549,788 | ||||||||||||||||
Marketable equity securities | 973 | — | — | 973 | ||||||||||||||||
Total investment securities available-for-sale | $ | 973 | $ | 549,788 | $ | — | $ | 550,761 | ||||||||||||
Interest-rate swaps | $ | — | $ | 2,676 | $ | — | $ | 2,676 | ||||||||||||
Liabilities: | ||||||||||||||||||||
Interest-rate swaps | $ | — | $ | 2,714 | $ | — | $ | 2,714 | ||||||||||||
Carrying Value as of December 31, 2013 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||
Debt securities: | ||||||||||||||||||||
GSEs | $ | — | $ | 12,180 | $ | — | $ | 12,180 | ||||||||||||
GSE CMOs | — | 243,644 | — | 243,644 | ||||||||||||||||
GSE MBSs | — | 199,401 | — | 199,401 | ||||||||||||||||
Private-label CMOs | — | 3,355 | — | 3,355 | ||||||||||||||||
SBA commercial loan asset-backed securities | — | 243 | — | 243 | ||||||||||||||||
Auction-rate municipal obligations | — | — | 1,775 | 1,775 | ||||||||||||||||
Municipal obligations | — | 1,086 | — | 1,086 | ||||||||||||||||
Corporate debt obligations | — | 28,224 | — | 28,224 | ||||||||||||||||
Trust preferred securities | — | 1,210 | — | 1,210 | ||||||||||||||||
Total debt securities | — | 489,343 | 1,775 | 491,118 | ||||||||||||||||
Marketable equity securities | 1,310 | — | — | 1,310 | ||||||||||||||||
Total investment securities available-for-sale | $ | 1,310 | $ | 489,343 | $ | 1,775 | $ | 492,428 | ||||||||||||
Interest-rate swaps | $ | — | $ | 825 | $ | — | $ | 825 | ||||||||||||
Liabilities: | ||||||||||||||||||||
Interest-rate swaps | $ | — | $ | 856 | $ | — | $ | 856 | ||||||||||||
Nonrecurring basis | ||||||||||||||||||||
Fair value of assets and liabilities | ||||||||||||||||||||
Schedule of assets and liabilities measured at fair value on a recurring and non-recurring basis | Assets and liabilities measured at fair value on a non-recurring basis at December 31, 2014 and 2013 are summarized below: | |||||||||||||||||||
Carrying Value as of December 31, 2014 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets measured at fair value on a non-recurring basis: | ||||||||||||||||||||
Collateral-dependent impaired loans and leases | $ | — | $ | — | $ | 6,376 | $ | 6,376 | ||||||||||||
OREO | — | — | 953 | 953 | ||||||||||||||||
Repossessed assets | — | 503 | — | 503 | ||||||||||||||||
Total assets measured at fair value on a non-recurring basis | $ | — | $ | 503 | $ | 7,329 | $ | 7,832 | ||||||||||||
Carrying Value as of December 31, 2013 | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Assets measured at fair value on a non-recurring basis: | ||||||||||||||||||||
Collateral-dependent impaired loans and leases | $ | — | $ | — | $ | 12,099 | $ | 12,099 | ||||||||||||
OREO | — | — | 577 | 577 | ||||||||||||||||
Repossessed assets | — | 1,001 | — | 1,001 | ||||||||||||||||
Total assets measured at fair value on a non-recurring basis | $ | — | $ | 1,001 | $ | 12,676 | $ | 13,677 | ||||||||||||
Condensed_Parent_Company_Finan1
Condensed Parent Company Financial Statements (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ||||||||||||
Balance Sheets | Balance Sheets | |||||||||||
At December 31, | ||||||||||||
2014 | 2013 | |||||||||||
(In Thousands) | ||||||||||||
ASSETS | ||||||||||||
Cash and due from banks | $ | 3,293 | $ | 12,438 | ||||||||
Short-term investments | 49,008 | 33 | ||||||||||
Total cash and cash equivalents | 52,301 | 12,471 | ||||||||||
ESOP loan to Brookline Bank | 2,002 | 2,252 | ||||||||||
Restricted equity securities | 100 | 100 | ||||||||||
Premises and equipment, net | 11,026 | 11,850 | ||||||||||
Investment in subsidiaries, at equity | 627,463 | 575,375 | ||||||||||
Goodwill | 35,267 | 35,267 | ||||||||||
Other assets | 4,366 | 6,185 | ||||||||||
Total assets | $ | 732,525 | $ | 643,500 | ||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
Borrowed funds | $ | 82,745 | $ | 9,163 | ||||||||
Deferred tax liability | 721 | 1,195 | ||||||||||
Accrued expenses and other liabilities | 8,309 | 19,275 | ||||||||||
Total liabilities | 91,775 | 29,633 | ||||||||||
Stockholders' equity: | ||||||||||||
Common stock, $0.01 par value; 200,000,000 shares authorized; 75,744,445 shares issued | 757 | 757 | ||||||||||
Additional paid-in capital | 617,475 | 617,538 | ||||||||||
Retained earnings, partially restricted | 83,792 | 64,903 | ||||||||||
Accumulated other comprehensive loss | (1,622 | ) | (7,915 | ) | ||||||||
Treasury stock, at cost; 5,040,571 shares and 5,171,985 shares, respectively | (58,282 | ) | (59,826 | ) | ||||||||
Unallocated common stock held by ESOP; 251,382 shares and 291,666 shares, respectively | (1,370 | ) | (1,590 | ) | ||||||||
Total Brookline Bancorp, Inc. stockholders' equity | 640,750 | 613,867 | ||||||||||
Total liabilities and stockholders' equity | $ | 732,525 | $ | 643,500 | ||||||||
Statements of Income | Statements of Income | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Interest and dividend income: | ||||||||||||
Dividend income from subsidiaries | $ | 24,700 | $ | 30,000 | $ | 30,000 | ||||||
ESOP loan to Brookline Bank | 183 | 205 | 227 | |||||||||
Total interest and dividend income | 24,883 | 30,205 | 30,227 | |||||||||
Interest expense: | ||||||||||||
Borrowed funds | 1,746 | 442 | 589 | |||||||||
Net interest income | 23,137 | 29,763 | 29,638 | |||||||||
Non-interest expense: | ||||||||||||
Compensation and employee benefits | 2,357 | 2,305 | 11,302 | |||||||||
Occupancy | 38 | 16 | — | |||||||||
Equipment and data processing | 1,499 | 4,263 | 1,395 | |||||||||
Directors' fees | 656 | 590 | 580 | |||||||||
Franchise taxes | 252 | 223 | 175 | |||||||||
Insurance | 472 | 352 | 68 | |||||||||
Professional services(1) | (113 | ) | 583 | 2,773 | ||||||||
Other | 751 | 2,040 | 2,420 | |||||||||
Total non-interest expense | 5,912 | 10,372 | 18,713 | |||||||||
Income before income taxes | 17,225 | 19,391 | 10,925 | |||||||||
Credit for income taxes | (2,705 | ) | (4,035 | ) | (7,050 | ) | ||||||
Income before equity in undistributed income of subsidiaries | 19,930 | 23,426 | 17,975 | |||||||||
Equity in undistributed income of subsidiaries | 22,835 | 11,960 | 19,167 | |||||||||
Net income | $ | 42,765 | $ | 35,386 | $ | 37,142 | ||||||
Condensed Statement of Cash Flows | Statements of Cash Flows | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In Thousands) | ||||||||||||
Cash flows from operating activities: | ||||||||||||
Net income attributable to parent company | $ | 42,765 | $ | 35,386 | $ | 37,142 | ||||||
Adjustments to reconcile net income to net cash provided from operating activities: | ||||||||||||
Equity in undistributed income of subsidiaries | (22,835 | ) | (11,960 | ) | (19,167 | ) | ||||||
Depreciation of premises and equipment | 2,563 | 1,810 | 355 | |||||||||
Amortization of debt issuance costs | 29 | — | — | |||||||||
Other operating activities, net | (30,822 | ) | 14,745 | (5,972 | ) | |||||||
Net cash (used for) provided from operating activities | (8,300 | ) | 39,981 | 12,358 | ||||||||
Cash flows from investing activities: | ||||||||||||
Acquisitions, net of cash and cash equivalents acquired | — | — | (89,258 | ) | ||||||||
Monies in escrow—Bancorp Rhode Island, Inc. acquisition | — | — | 112,983 | |||||||||
Repayment of ESOP loan by Brookline Bank | 250 | 250 | 250 | |||||||||
Purchase of restricted equity securities | — | — | (100 | ) | ||||||||
Purchase of premises and equipment | (1,739 | ) | (5,458 | ) | (8,557 | ) | ||||||
Net cash (used for) provided from investing activities | (1,489 | ) | (5,208 | ) | 15,318 | |||||||
Cash flows from financing activities: | ||||||||||||
(Decrease) increase in demand deposit, NOW, savings and money market accounts | — | (41 | ) | 41 | ||||||||
Proceeds from issuance of subordinated notes | 73,495 | — | — | |||||||||
Repayment of subordinated debentures | — | (3,000 | ) | — | ||||||||
Payment of dividends on common stock | (23,876 | ) | (23,841 | ) | (23,777 | ) | ||||||
Net cash provided from (used for) financing activities | 49,619 | (26,882 | ) | (23,736 | ) | |||||||
Net increase in cash and cash equivalents | 39,830 | 7,891 | 3,940 | |||||||||
Cash and cash equivalents at beginning of year | 12,471 | 4,580 | 640 | |||||||||
Cash and cash equivalents at end of year | $ | 52,301 | $ | 12,471 | $ | 4,580 | ||||||
Quarterly_Results_of_Operation1
Quarterly Results of Operations (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Schedule of quarterly results of operations | ||||||||||||||||
2014 Quarters | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
(Dollars in Thousands Except Per Share Data) | ||||||||||||||||
Interest and dividend income | $ | 55,826 | $ | 54,616 | $ | 53,346 | $ | 54,694 | ||||||||
Interest expense | 8,250 | 7,292 | 6,912 | 6,960 | ||||||||||||
Net interest income | 47,576 | 47,324 | 46,434 | 47,734 | ||||||||||||
Provision for credit losses | 1,724 | 2,034 | 2,276 | 2,443 | ||||||||||||
Net interest income after provision for credit losses | 45,852 | 45,290 | 44,158 | 45,291 | ||||||||||||
Loss from investment in affordable housing projects | (474 | ) | (543 | ) | (539 | ) | (504 | ) | ||||||||
Gain/(loss) on sales of securities, net | 78 | — | (13 | ) | — | |||||||||||
Gain on sale of loans and leases held-for-sale | 323 | 538 | 54 | 602 | ||||||||||||
Other non-interest income | 4,148 | 5,661 | 3,788 | 5,026 | ||||||||||||
Amortization of identified intangible assets | (827 | ) | (828 | ) | (827 | ) | (861 | ) | ||||||||
Other non-interest expense | (31,636 | ) | (31,096 | ) | (30,395 | ) | (32,715 | ) | ||||||||
Income before provision for income taxes | 17,464 | 19,022 | 16,226 | 16,839 | ||||||||||||
Provision for income taxes | 6,201 | 6,779 | 5,774 | 5,995 | ||||||||||||
Net income | 11,263 | 12,243 | 10,452 | 10,844 | ||||||||||||
Less net income attributable to noncontrolling interest in subsidiary | 477 | 662 | 476 | 422 | ||||||||||||
Net income attributable to Brookline Bancorp, Inc. | $ | 10,786 | $ | 11,581 | $ | 9,976 | $ | 10,422 | ||||||||
Earnings per share: | ||||||||||||||||
Basic | $ | 0.15 | $ | 0.17 | $ | 0.14 | $ | 0.15 | ||||||||
Diluted | 0.15 | 0.17 | 0.14 | 0.15 | ||||||||||||
Average common shares outstanding: | ||||||||||||||||
Basic | 70,024,495 | 69,989,909 | 69,886,576 | 69,875,473 | ||||||||||||
Diluted | 70,130,243 | 70,088,987 | 70,012,377 | 69,983,999 | ||||||||||||
Common stock price: | ||||||||||||||||
High | $ | 10.15 | $ | 9.51 | $ | 9.63 | $ | 9.7 | ||||||||
Low | 8.56 | 8.55 | 8.83 | 8.66 | ||||||||||||
Dividends per share | $ | 0.085 | $ | 0.085 | $ | 0.085 | $ | 0.085 | ||||||||
2013 Quarters | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
(Dollars in Thousands Except Per Share Data) | ||||||||||||||||
Interest and dividend income | $ | 51,049 | $ | 50,823 | $ | 52,900 | $ | 51,612 | ||||||||
Interest expense | 7,275 | 7,411 | 7,537 | 7,943 | ||||||||||||
Net interest income | 43,774 | 43,412 | 45,363 | 43,669 | ||||||||||||
Provision for credit losses | 3,887 | 2,748 | 2,439 | 1,855 | ||||||||||||
Net interest income after provision for credit losses | 39,887 | 40,664 | 42,924 | 41,814 | ||||||||||||
Loss from investments in affordable housing projects | (318 | ) | (558 | ) | (624 | ) | (312 | ) | ||||||||
Gain on sales of securities, net | 397 | — | — | — | ||||||||||||
(Loss)/gain on sales of loans and leases held-for-sale | (39 | ) | 149 | 200 | 298 | |||||||||||
Other non-interest income | 3,867 | 3,862 | 3,562 | 3,341 | ||||||||||||
Amortization of identified intangible assets | (1,127 | ) | (1,154 | ) | (1,177 | ) | (1,165 | ) | ||||||||
Other non-interest expense | (30,193 | ) | (28,399 | ) | (29,638 | ) | (29,607 | ) | ||||||||
Income before provision for income taxes | 12,474 | 14,564 | 15,247 | 14,369 | ||||||||||||
Provision for income taxes | 4,325 | 4,645 | 5,382 | 5,129 | ||||||||||||
Net income | 8,149 | 9,919 | 9,865 | 9,240 | ||||||||||||
Less net income attributable to noncontrolling interest in subsidiary | 495 | 490 | 375 | 427 | ||||||||||||
Net income attributable to Brookline Bancorp, Inc. | $ | 7,654 | $ | 9,429 | $ | 9,490 | $ | 8,813 | ||||||||
Earnings per share: | ||||||||||||||||
Basic | $ | 0.11 | $ | 0.14 | $ | 0.14 | $ | 0.13 | ||||||||
Diluted | 0.11 | 0.13 | 0.14 | 0.13 | ||||||||||||
Average common shares outstanding: | ||||||||||||||||
Basic | 69,862,175 | 69,830,953 | 69,774,703 | 69,762,784 | ||||||||||||
Diluted | 69,951,683 | 69,913,765 | 69,833,541 | 69,830,630 | ||||||||||||
Common stock price: | ||||||||||||||||
High | $ | 9.58 | $ | 10.08 | $ | 9.14 | $ | 9.39 | ||||||||
Low | 8.72 | 8.81 | 8.23 | 8.66 | ||||||||||||
Dividends per share | $ | 0.085 | $ | 0.085 | $ | 0.085 | $ | 0.085 | ||||||||
Basis_of_Presentation_Details
Basis of Presentation (Details) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
segment | |
bank | |
Basis of Presentation | |
Number of full-service banking offices | 24 |
Number of banks on whose deposits insurance coverage was offered | 3 |
Percentage of insurance offered | 100.00% |
Impairment of restricted securities | $0 |
Period after which a non-accrual loan is restructured (in months) | 6 months |
BOLI, as percentage of capital plus reserves, maximum, individual carrier (as a percent) | 10.00% |
BOLI, as percentage of capital plus reserves, maximum, aggregate (as a percent) | 25.00% |
Number of reportable segments | 1 |
Eastern Funding LLC | |
Basis of Presentation | |
Percentage of ownership in subsidiary | 84.70% |
BankRI | |
Basis of Presentation | |
Number of full-service banking offices | 19 |
First Ipswich Bancorp: | |
Basis of Presentation | |
Number of full-service banking offices | 5 |
Minimum | |
Basis of Presentation | |
Term of operating lease | 5 years |
Maximum | |
Basis of Presentation | |
Term of operating lease | 20 years |
Acquisitions_Details
Acquisitions (Details) (USD $) | 12 Months Ended | 0 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Jan. 02, 2012 | Jan. 03, 2012 |
bank | |||
Acquisitions | |||
Number of full-service banking offices | 24 | ||
Bancorp Rhode Island, Inc. | |||
Acquisitions | |||
Total consideration paid | $205.80 | ||
Shares of common stock issued as partial consideration for acquisition | 11 | 11 | |
Par value | 0.1 | ||
Shares of common stock issued as partial consideration for acquisition | 92.8 | ||
Cash consideration paid in acquisition | $113 | ||
Shares of common stock issued for each share of acquiree as consideration for acquisition | 4.686 | ||
BankRI | |||
Acquisitions | |||
Number of full-service banking offices | 19 |
Cash_and_ShortTerm_Investments2
Cash and Short-Term Investments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Cash and Cash Equivalents [Abstract] | ||
Average amount required to be held with Federal Reserve Bank | $7,400,000 | $5,300,000 |
Aggregate reserves | 33,600,000 | 54,200,000 |
Short-term investments | ||
FRB interest bearing reserve | 19,789,000 | 41,396,000 |
FHLB overnight deposits | 5,708,000 | 12,714,000 |
Federal funds sold | 322,000 | 1,237,000 |
Other interest bearing deposits | 11,000 | 10,000 |
Short-term investment, total | $25,830,000 | $55,357,000 |
Investment_Securities_Details
Investment Securities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Securities available for Sale: | ||
Amortized Cost | $553,588,000 | $505,889,000 |
Gross Unrealized Gains | 3,128,000 | 2,680,000 |
Gross Unrealized Losses | 5,955,000 | 16,141,000 |
Estimated Fair Value | 550,761,000 | 492,428,000 |
Investment securities held-to-maturity | ||
Amortized Cost | 500,000 | 500,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 500,000 | 500,000 |
Investment securities available-for-sale | 550,761,000 | 492,428,000 |
Net unrealized gain (loss) | -2,800,000 | -13,500,000 |
Securities in loss position | 335,683,000 | 383,263,000 |
Securities under unrealized loss position as a percentage of amortized cost of total securities | 60.90% | 77.80% |
Available for sale securities pledged as collateral | 473,100,000 | 402,500,000 |
Debt securities: | ||
Securities available for Sale: | ||
Amortized Cost | 552,641,000 | 504,630,000 |
Gross Unrealized Gains | 3,102,000 | 2,619,000 |
Gross Unrealized Losses | 5,955,000 | 16,131,000 |
Estimated Fair Value | 549,788,000 | 491,118,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 549,788,000 | 491,118,000 |
GSEs | ||
Securities available for Sale: | ||
Amortized Cost | 22,929,000 | 12,138,000 |
Gross Unrealized Gains | 88,000 | 42,000 |
Gross Unrealized Losses | 29,000 | 0 |
Estimated Fair Value | 22,988,000 | 12,180,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 22,988,000 | 12,180,000 |
GSE CMOs | ||
Securities available for Sale: | ||
Amortized Cost | 238,910,000 | 254,331,000 |
Gross Unrealized Gains | 80,000 | 86,000 |
Gross Unrealized Losses | 4,821,000 | 10,773,000 |
Estimated Fair Value | 234,169,000 | 243,644,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 234,169,000 | 243,644,000 |
GSE MBSs | ||
Securities available for Sale: | ||
Amortized Cost | 249,329,000 | 202,478,000 |
Gross Unrealized Gains | 2,531,000 | 1,852,000 |
Gross Unrealized Losses | 879,000 | 4,929,000 |
Estimated Fair Value | 250,981,000 | 199,401,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 250,981,000 | 199,401,000 |
Private-label collateralized mortgage obligations | ||
Securities available for Sale: | ||
Amortized Cost | 3,258,000 | |
Gross Unrealized Gains | 115,000 | |
Gross Unrealized Losses | 18,000 | |
Estimated Fair Value | 3,355,000 | |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 3,355,000 | |
Net unrealized gain (loss) | 100,000 | |
SBA commercial loan asset-backed securities | ||
Securities available for Sale: | ||
Amortized Cost | 205,000 | 245,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 2,000 | 2,000 |
Estimated Fair Value | 203,000 | 243,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 203,000 | 243,000 |
Auction-rate municipal obligations | ||
Securities available for Sale: | ||
Amortized Cost | 1,900,000 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 125,000 | |
Estimated Fair Value | 1,775,000 | |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 1,775,000 | |
Net unrealized gain (loss) | -100,000 | |
Municipal obligations | ||
Securities available for Sale: | ||
Amortized Cost | 1,068,000 | |
Gross Unrealized Gains | 18,000 | |
Gross Unrealized Losses | 0 | |
Estimated Fair Value | 1,086,000 | |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 1,086,000 | |
Corporate debt obligations | ||
Securities available for Sale: | ||
Amortized Cost | 39,805,000 | 27,751,000 |
Gross Unrealized Gains | 403,000 | 506,000 |
Gross Unrealized Losses | 1,000 | 33,000 |
Estimated Fair Value | 40,207,000 | 28,224,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 40,207,000 | 28,224,000 |
Net unrealized gain (loss) | 400,000 | 500,000 |
Trust preferred securities | ||
Securities available for Sale: | ||
Amortized Cost | 1,463,000 | 1,461,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 223,000 | 251,000 |
Estimated Fair Value | 1,240,000 | 1,210,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | 1,240,000 | 1,210,000 |
Net unrealized gain (loss) | -200,000 | -300,000 |
Marketable equity securities | ||
Securities available for Sale: | ||
Amortized Cost | 947,000 | 1,259,000 |
Gross Unrealized Gains | 26,000 | 61,000 |
Gross Unrealized Losses | 0 | 10,000 |
Estimated Fair Value | 973,000 | 1,310,000 |
Investment securities held-to-maturity | ||
Investment securities available-for-sale | $973,000 | $1,310,000 |
Investment_Securities_Details_
Investment Securities (Details 2) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Less than 12 months | ||
Fair Value | $104,357 | $350,313 |
Unrealized Losses | 293 | 13,668 |
12 months or Longer | ||
Fair Value | 231,326 | 32,950 |
Unrealized Losses | 5,662 | 2,473 |
Total | ||
Fair Value | 335,683 | 383,263 |
Unrealized Losses | 5,955 | 16,141 |
Debt Securities | ||
Less than 12 months | ||
Fair Value | 104,357 | 349,812 |
Unrealized Losses | 293 | 13,658 |
12 months or Longer | ||
Fair Value | 231,326 | 32,950 |
Unrealized Losses | 5,662 | 2,473 |
Total | ||
Fair Value | 335,683 | 382,762 |
Unrealized Losses | 5,955 | 16,131 |
GSEs | ||
Less than 12 months | ||
Fair Value | 11,086 | |
Unrealized Losses | 29 | |
12 months or Longer | ||
Fair Value | 0 | |
Unrealized Losses | 0 | |
Total | ||
Fair Value | 11,086 | |
Unrealized Losses | 29 | |
GSE CMOs | ||
Less than 12 months | ||
Fair Value | 39,095 | 221,317 |
Unrealized Losses | 179 | 9,861 |
12 months or Longer | ||
Fair Value | 190,345 | 16,257 |
Unrealized Losses | 4,642 | 912 |
Total | ||
Fair Value | 229,440 | 237,574 |
Unrealized Losses | 4,821 | 10,773 |
GSE MBS | ||
Less than 12 months | ||
Fair Value | 50,099 | 121,836 |
Unrealized Losses | 84 | 3,746 |
12 months or Longer | ||
Fair Value | 39,555 | 13,516 |
Unrealized Losses | 795 | 1,183 |
Total | ||
Fair Value | 89,654 | 135,352 |
Unrealized Losses | 879 | 4,929 |
Private-label collateralized mortgage obligations | ||
Less than 12 months | ||
Fair Value | 639 | |
Unrealized Losses | 18 | |
12 months or Longer | ||
Fair Value | 0 | |
Unrealized Losses | 0 | |
Total | ||
Fair Value | 639 | |
Unrealized Losses | 18 | |
SBA commercial loan asset-backed securities | ||
Less than 12 months | ||
Fair Value | 8 | 32 |
Unrealized Losses | 0 | 0 |
12 months or Longer | ||
Fair Value | 186 | 192 |
Unrealized Losses | 2 | 2 |
Total | ||
Fair Value | 194 | 224 |
Unrealized Losses | 2 | 2 |
Auction-rate municipal obligations | ||
Less than 12 months | ||
Fair Value | 0 | |
Unrealized Losses | 0 | |
12 months or Longer | ||
Fair Value | 1,775 | |
Unrealized Losses | 125 | |
Total | ||
Fair Value | 1,775 | |
Unrealized Losses | 125 | |
Corporate debt obligations | ||
Less than 12 months | ||
Fair Value | 4,069 | 5,988 |
Unrealized Losses | 1 | 33 |
12 months or Longer | ||
Fair Value | 0 | 0 |
Unrealized Losses | 0 | 0 |
Total | ||
Fair Value | 4,069 | 5,988 |
Unrealized Losses | 1 | 33 |
Trust preferred securities | ||
Less than 12 months | ||
Fair Value | 0 | 0 |
Unrealized Losses | 0 | 0 |
12 months or Longer | ||
Fair Value | 1,240 | 1,210 |
Unrealized Losses | 223 | 251 |
Total | ||
Fair Value | 1,240 | 1,210 |
Unrealized Losses | 223 | 251 |
Marketable equity securities | ||
Less than 12 months | ||
Fair Value | 0 | 501 |
Unrealized Losses | 0 | 10 |
12 months or Longer | ||
Fair Value | 0 | 0 |
Unrealized Losses | 0 | 0 |
Total | ||
Fair Value | 0 | 501 |
Unrealized Losses | $0 | $10 |
Investment_Securities_Details_1
Investment Securities (Details 3) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Investment Securities | |||
Estimated Fair Value | $550,761,000 | $492,428,000 | |
Net unrealized gain (loss) | -2,800,000 | -13,500,000 | |
Purchases of securities available-for-sale | 139,866,000 | 171,231,000 | 326,104,000 |
Investment securities held-to maturity, carrying value | 500,000 | 500,000 | |
Investment securities held to maturity, fair value | 500,000 | 500,000 | |
Investment securities held-to-maturity, interest rate payable | 1.30% | ||
US Government Sponsored Enterprises Debt Securities Excluding Specified Securities [Member] | |||
Investment Securities | |||
Estimated Fair Value | 26,200,000 | 18,900,000 | |
GSEs | |||
Investment Securities | |||
Estimated Fair Value | 22,988,000 | 12,180,000 | |
Number of securities in unrealized loss positions | 4 | 0 | |
Number of securities | 8 | 5 | |
Purchases of securities available-for-sale | 21,000,000 | 0 | |
GSE mortgage-related securities | |||
Investment Securities | |||
Estimated Fair Value | 485,200,000 | 443,000,000 | |
Net unrealized gain (loss) | -3,100,000 | -13,800,000 | |
Number of securities in unrealized loss positions | 79 | 86 | |
Number of securities | 250 | 232 | |
Purchases of securities available-for-sale | 106,900,000 | 149,500,000 | |
SBA commercial loan asset-backed securities | |||
Investment Securities | |||
Estimated Fair Value | 203,000 | 243,000 | |
Number of securities in unrealized loss positions | 7 | 7 | |
Number of securities | 8 | 9 | |
Private-label collateralized mortgage obligations | |||
Investment Securities | |||
Estimated Fair Value | 3,355,000 | ||
Net unrealized gain (loss) | 100,000 | ||
Number of securities in unrealized loss positions | 2 | ||
Number of securities | 0 | 11 | |
Auction-rate municipal obligations | |||
Investment Securities | |||
Estimated Fair Value | 1,775,000 | ||
Net unrealized gain (loss) | -100,000 | ||
Number of securities | 0 | ||
Municipal obligations | |||
Investment Securities | |||
Estimated Fair Value | 1,086,000 | ||
Number of securities in unrealized loss positions | 0 | ||
Number of securities | 0 | ||
Corporate debt obligations | |||
Investment Securities | |||
Estimated Fair Value | 40,207,000 | 28,224,000 | |
Net unrealized gain (loss) | 400,000 | 500,000 | |
Number of securities in unrealized loss positions | 1 | 2 | |
Number of securities | 13 | 11 | |
Purchases of securities available-for-sale | 12,000,000 | 21,700,000 | |
Number of securities for which obligations are non-investment grade | 1 | ||
Trust preferred securities | |||
Investment Securities | |||
Estimated Fair Value | 1,240,000 | 1,210,000 | |
Net unrealized gain (loss) | -200,000 | -300,000 | |
Number of securities in unrealized loss positions | 2 | 2 | |
Number of securities | 2 | 2 | |
Marketable equity securities | |||
Investment Securities | |||
Estimated Fair Value | $973,000 | $1,310,000 | |
Number of securities in unrealized loss positions | 0 | 1 | |
Number of securities | 4 | 4 |
Investment_Securities_Details_2
Investment Securities (Details 4) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Available for Sale, Amortized Cost | ||
Within 1 year | $3,057,000 | $13,012,000 |
After 1 year through 5 years | 55,631,000 | 40,204,000 |
After 5 years through 10 years | 103,268,000 | 66,447,000 |
Over 10 years | 390,685,000 | 384,967,000 |
Total | 552,641,000 | 504,630,000 |
Available for Sale, Estimated Fair Value | ||
Within 1 year | 3,081,000 | 13,062,000 |
After 1 year through 5 years | 56,586,000 | 41,187,000 |
After 5 years through 10 years | 104,208,000 | 67,075,000 |
Over 10 years | 385,913,000 | 369,794,000 |
Total | 549,788,000 | 491,118,000 |
Available for Sale, Weighted Average Rate | ||
Within 1 year (as a percent) | 3.00% | 0.82% |
After 1 year through 5 years (as a percent) | 2.48% | 2.90% |
After 5 years through 10 years (as a percent) | 2.00% | 2.23% |
Over 10 years (as a percent) | 1.91% | 1.90% |
Total (as a percent) | 1.99% | 2.00% |
Held-to-Maturity, Amortized Cost | ||
Within 1 year | 0 | 500,000 |
After 1 year through 5 years | 500,000 | 0 |
Total | 500,000 | 500,000 |
Held-to-Maturity, Estimated Fair Value | ||
Within 1 year | 0 | 500,000 |
After 1 year through 5 years | 500,000 | 0 |
Total | 500,000 | 500,000 |
Held-to-Maturity, Weighted Average Rate | ||
Within 1 year (as a percent) | 0.00% | 1.99% |
After 1 year through 5 years (as a percent) | 1.30% | 0.00% |
Total (as a percent) | 0.00% | 1.99% |
Estimated fair value of debt securities have right to call or prepay the obligations | 16,100,000 | 3,700,000 |
Estimated fair value of debt securities have right to call or prepay the obligations, scheduled maturities of less than one year | 700,000 | |
Estimated fair value of debt securities have right to call or prepay the obligations, scheduled maturities of after one year through five years | 5,000,000 | |
Estimated fair value of debt securities have right to call or prepay the obligations, scheduled maturities after five years through ten years | 9,900,000 | |
Estimated fair value of debt securities have right to call or prepay the obligations, scheduled maturities of which is after 10 years | $1,200,000 | $3,000,000 |
Investment_Securities_Details_3
Investment Securities (Details 5) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Securities available for Sale: | |||
Proceeds from sales | $5,485 | $1,210 | $166,201 |
Gross gains from sales | 380 | 626 | 1,093 |
Gross losses from sales | 315 | 229 | 167 |
Gain on sales of securities, net | 65 | 397 | 926 |
Debt Securities | |||
Securities available for Sale: | |||
Proceeds from sales | 5,084 | 1,210 | 166,201 |
Marketable equity securities | |||
Securities available for Sale: | |||
Proceeds from sales | $401 | $0 | $0 |
Restricted_Equity_Securities_D
Restricted Equity Securities (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Restricted equity securities | ||
Restricted equity securities | $74,804,000 | $66,559,000 |
FHLBB capital stock repurchased | 500,000,000 | |
FHLBB stock | ||
Restricted equity securities | ||
Restricted equity securities | 58,326,000 | 50,081,000 |
Dividend rate (as a percent) | 1.49% | |
Federal Reserve Bank of Boston stock | ||
Restricted equity securities | ||
Restricted equity securities | 16,003,000 | 16,003,000 |
Other restricted equity securities | ||
Restricted equity securities | ||
Restricted equity securities | $475,000 | $475,000 |
Loans_and_Leases_Details
Loans and Leases (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | $4,231,953 | $3,547,053 | $4,231,953 | $3,547,053 | |||||||
Originated, Weighted Average Coupon (as a percent) | 4.43% | 4.59% | |||||||||
Acquired loans | 590,654 | 815,412 | 590,654 | 815,412 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 4.19% | 4.38% | |||||||||
Total loans and leases | 4,822,607 | 4,362,465 | 4,822,607 | 4,362,465 | |||||||
Total, Weighted Average Coupon (as a percent) | 4.40% | 4.55% | |||||||||
Percentage of loans to aggregate outstanding amount in the greater New York/New Jersey Metropolitan area and northeastern states | 35.90% | 38.20% | |||||||||
Percentage of loans to aggregate outstanding amount in Other areas of the United States | 64.10% | 61.80% | |||||||||
Proceeds from sales of loans and leases held-for-sale | 34,717 | 56,326 | 103,316 | ||||||||
Gain on sales of loans and leases held-for-sale | 323 | 538 | 54 | 602 | -39 | 149 | 200 | 298 | 1,517 | 608 | 5 |
Commercial real estate loans | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 2,147,909 | 1,769,232 | 2,147,909 | 1,769,232 | |||||||
Originated, Weighted Average Coupon (as a percent) | 4.13% | 4.26% | |||||||||
Acquired loans | 319,892 | 434,391 | 319,892 | 434,391 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 4.34% | 4.46% | |||||||||
Total loans and leases | 2,467,801 | 2,203,623 | 2,467,801 | 2,203,623 | |||||||
Total, Weighted Average Coupon (as a percent) | 4.16% | 4.30% | |||||||||
Commercial real estate | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 1,425,621 | 1,111,750 | 1,425,621 | 1,111,750 | |||||||
Originated, Weighted Average Coupon (as a percent) | 4.18% | 4.34% | |||||||||
Acquired loans | 254,461 | 350,235 | 254,461 | 350,235 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 4.29% | 4.42% | |||||||||
Total loans and leases | 1,680,082 | 1,461,985 | 1,680,082 | 1,461,985 | |||||||
Total, Weighted Average Coupon (as a percent) | 4.20% | 4.36% | |||||||||
Multi-family mortgage | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 576,214 | 554,555 | 576,214 | 554,555 | |||||||
Originated, Weighted Average Coupon (as a percent) | 4.11% | 4.19% | |||||||||
Acquired loans | 63,492 | 73,378 | 63,492 | 73,378 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 4.50% | 4.63% | |||||||||
Total loans and leases | 639,706 | 627,933 | 639,706 | 627,933 | |||||||
Total, Weighted Average Coupon (as a percent) | 4.15% | 4.24% | |||||||||
Construction | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 146,074 | 102,927 | 146,074 | 102,927 | |||||||
Originated, Weighted Average Coupon (as a percent) | 3.79% | 3.81% | |||||||||
Acquired loans | 1,939 | 10,778 | 1,939 | 10,778 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 5.50% | 4.37% | |||||||||
Total loans and leases | 148,013 | 113,705 | 148,013 | 113,705 | |||||||
Total, Weighted Average Coupon (as a percent) | 3.81% | 3.87% | |||||||||
Commercial loans | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 1,101,819 | 827,808 | 1,101,819 | 827,808 | |||||||
Originated, Weighted Average Coupon (as a percent) | 5.53% | 5.77% | |||||||||
Acquired loans | 65,275 | 137,802 | 65,275 | 137,802 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 4.58% | 4.95% | |||||||||
Total loans and leases | 1,167,094 | 965,610 | 1,167,094 | 965,610 | |||||||
Total, Weighted Average Coupon (as a percent) | 5.48% | 5.65% | |||||||||
Commercial | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 462,730 | 297,684 | 462,730 | 297,684 | |||||||
Originated, Weighted Average Coupon (as a percent) | 3.88% | 3.68% | |||||||||
Acquired loans | 51,347 | 110,108 | 51,347 | 110,108 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 4.14% | 4.54% | |||||||||
Total loans and leases | 514,077 | 407,792 | 514,077 | 407,792 | |||||||
Total, Weighted Average Coupon (as a percent) | 3.91% | 3.91% | |||||||||
Equipment financing | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 587,496 | 485,330 | 587,496 | 485,330 | |||||||
Originated, Weighted Average Coupon (as a percent) | 6.92% | 7.14% | |||||||||
Acquired loans | 13,928 | 27,694 | 13,928 | 27,694 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 6.22% | 6.60% | |||||||||
Total loans and leases | 601,424 | 513,024 | 601,424 | 513,024 | |||||||
Total, Weighted Average Coupon (as a percent) | 6.90% | 7.11% | |||||||||
Condominium association | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 51,593 | 44,794 | 51,593 | 44,794 | |||||||
Originated, Weighted Average Coupon (as a percent) | 4.60% | 4.74% | |||||||||
Acquired loans | 0 | 0 | 0 | 0 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 0.00% | 0.00% | |||||||||
Total loans and leases | 51,593 | 44,794 | 51,593 | 44,794 | |||||||
Total, Weighted Average Coupon (as a percent) | 4.60% | 4.74% | |||||||||
Indirect automobile | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 316,987 | 400,531 | 316,987 | 400,531 | |||||||
Originated, Weighted Average Coupon (as a percent) | 4.47% | 4.98% | |||||||||
Acquired loans | 0 | 0 | 0 | 0 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 0.00% | 0.00% | |||||||||
Total loans and leases | 316,987 | 400,531 | 316,987 | 400,531 | |||||||
Total, Weighted Average Coupon (as a percent) | 4.47% | 4.98% | |||||||||
Consumer loans | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 665,238 | 549,482 | 665,238 | 549,482 | |||||||
Originated, Weighted Average Coupon (as a percent) | 3.56% | 3.61% | |||||||||
Acquired loans | 205,487 | 243,219 | 205,487 | 243,219 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 3.82% | 3.98% | |||||||||
Total loans and leases | 870,725 | 792,701 | 870,725 | 792,701 | |||||||
Total, Weighted Average Coupon (as a percent) | 3.62% | 3.72% | |||||||||
Residential mortgage | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 472,078 | 411,554 | 472,078 | 411,554 | |||||||
Originated, Weighted Average Coupon (as a percent) | 3.60% | 3.65% | |||||||||
Acquired loans | 99,842 | 116,631 | 99,842 | 116,631 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 3.77% | 3.93% | |||||||||
Total loans and leases | 571,920 | 528,185 | 571,920 | 528,185 | |||||||
Total, Weighted Average Coupon (as a percent) | 3.63% | 3.71% | |||||||||
Home equity | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 181,580 | 132,396 | 181,580 | 132,396 | |||||||
Originated, Weighted Average Coupon (as a percent) | 3.35% | 3.39% | |||||||||
Acquired loans | 105,478 | 125,065 | 105,478 | 125,065 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 3.85% | 3.88% | |||||||||
Total loans and leases | 287,058 | 257,461 | 287,058 | 257,461 | |||||||
Total, Weighted Average Coupon (as a percent) | 3.53% | 3.63% | |||||||||
Other consumer | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||||
Originated loans | 11,580 | 5,532 | 11,580 | 5,532 | |||||||
Originated, Weighted Average Coupon (as a percent) | 5.13% | 5.98% | |||||||||
Acquired loans | 167 | 1,523 | 167 | 1,523 | |||||||
Acquired, Weighted Average Coupon (as a percent) | 16.35% | 14.89% | |||||||||
Total loans and leases | $11,747 | $7,055 | $11,747 | $7,055 | |||||||
Total, Weighted Average Coupon (as a percent) | 5.29% | 7.90% |
Loans_and_Leases_Details_2
Loans and Leases (Details 2) (Acquired, USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Acquired | |||
Summarized activity in accretable yield for the acquired loan portfolio | |||
Balance at beginning of year | $45,789,000 | $57,812,000 | ($1,369,000) |
Acquisitions | 0 | 0 | 81,503,000 |
Reclassification from nonaccretable difference for loans with improved cash flows | 2,060,000 | 8,477,000 | 1,550,000 |
Accretion | -15,805,000 | -20,500,000 | -23,872,000 |
Balance at end of year | 32,044,000 | 45,789,000 | 57,812,000 |
Aggregate remaining nonaccretable difference (representing both principal and interest) applicable to acquired loans | $3,600,000 | $6,100,000 |
Loans_and_Leases_Details_3
Loans and Leases (Details 3) (Directors, executive officers and their affiliates, USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Directors, executive officers and their affiliates | ||
Change in the total amounts of loans and advances, all of which were performing | ||
Balance at beginning of year | $4,783,000 | $4,083,000 |
New loans granted during the year | 2,375,000 | 365,000 |
Advances on lines of credit | 1,787,000 | 1,370,000 |
Repayments | -182,000 | -1,035,000 |
Loan no longer classified as an insider loan | -189,000 | 0 |
Balance at end of year | 8,574,000 | 4,783,000 |
Unfunded commitments on extensions of credit | $7,700,000 | $11,700,000 |
Loans_and_Leases_Details_4
Loans and Leases (Details 4) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Billions, unless otherwise specified | ||
Receivables [Abstract] | ||
Loans and leases pledged as collateral | $1.60 | $1.20 |
Allowance_for_Loan_and_Lease_L2
Allowance for Loan and Lease Losses (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Changes in allowance for loan losses | |||||||||||
Balance at the beginning of the period | $48,473,000 | $41,152,000 | $48,473,000 | $41,152,000 | $31,703,000 | ||||||
Charge-offs | -4,450,000 | -4,788,000 | -8,092,000 | ||||||||
Recoveries | 1,397,000 | 1,434,000 | 1,530,000 | ||||||||
Provision (credit) for loan and lease losses | 8,239,000 | 10,675,000 | 16,011,000 | ||||||||
Balance at the end of the period | 53,659,000 | 48,473,000 | 53,659,000 | 48,473,000 | 41,152,000 | ||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 8,239,000 | 10,675,000 | 16,011,000 | ||||||||
Unfunded credit commitments liability | 238,000 | 254,000 | -123,000 | ||||||||
Total provision for credit losses | 1,724,000 | 2,034,000 | 2,276,000 | 2,443,000 | 3,887,000 | 2,748,000 | 2,439,000 | 1,855,000 | 8,477,000 | 10,929,000 | 15,888,000 |
Unfunded credit commitments liability included in other liabilities | 1,300,000 | 1,000,000 | 1,300,000 | 1,000,000 | 700,000 | ||||||
Unfunded credit commitments liability charged off | 0 | 0 | 0 | ||||||||
General allowance for loan and lease losses | 50,100,000 | 44,100,000 | 50,100,000 | 44,100,000 | |||||||
Increase in general portion of the allowance for loan and lease losses | 6,000,000 | ||||||||||
Specific allowance for loan and lease losses | 1,200,000 | 1,500,000 | 1,200,000 | 1,500,000 | |||||||
Increase (decrease) in specific portion of the allowance for loan and lease losses | -300,000 | ||||||||||
Unallocated allowance for loan and lease losses | 2,400,000 | 2,900,000 | 2,400,000 | 2,900,000 | |||||||
Increase (decrease) in unallocated portion of the allowance for loan and lease losses | -500,000 | ||||||||||
Originated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 6,078,000 | 7,901,000 | 15,861,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 6,078,000 | 7,901,000 | 15,861,000 | ||||||||
Unfunded credit commitments liability | 238,000 | 254,000 | -123,000 | ||||||||
Total provision for credit losses | 6,316,000 | 8,155,000 | 15,738,000 | ||||||||
Acquired | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 2,161,000 | 2,774,000 | 150,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 2,161,000 | 2,774,000 | 150,000 | ||||||||
Unfunded credit commitments liability | 0 | 0 | 0 | ||||||||
Total provision for credit losses | 2,161,000 | 2,774,000 | 150,000 | ||||||||
Commercial Real Estate | |||||||||||
Changes in allowance for loan losses | |||||||||||
Balance at the beginning of the period | 23,022,000 | 20,018,000 | 23,022,000 | 20,018,000 | 15,477,000 | ||||||
Charge-offs | -130,000 | -88,000 | 0 | ||||||||
Recoveries | 4,000 | 13,000 | 118,000 | ||||||||
Provision (credit) for loan and lease losses | 6,698,000 | 3,079,000 | 4,423,000 | ||||||||
Balance at the end of the period | 29,594,000 | 23,022,000 | 29,594,000 | 23,022,000 | 20,018,000 | ||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 6,698,000 | 3,079,000 | 4,423,000 | ||||||||
Number of loan classes within specific portfolio | 3 | 3 | |||||||||
Commercial Real Estate | Originated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 5,009,000 | 2,563,000 | 4,348,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 5,009,000 | 2,563,000 | 4,348,000 | ||||||||
Commercial Real Estate | Acquired | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 1,689,000 | 516,000 | 75,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 1,689,000 | 516,000 | 75,000 | ||||||||
Commercial | |||||||||||
Changes in allowance for loan losses | |||||||||||
Balance at the beginning of the period | 15,220,000 | 10,655,000 | 15,220,000 | 10,655,000 | 5,997,000 | ||||||
Charge-offs | -2,507,000 | -2,077,000 | -5,347,000 | ||||||||
Recoveries | 801,000 | 657,000 | 417,000 | ||||||||
Provision (credit) for loan and lease losses | 2,443,000 | 5,985,000 | 9,588,000 | ||||||||
Balance at the end of the period | 15,957,000 | 15,220,000 | 15,957,000 | 15,220,000 | 10,655,000 | ||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 2,443,000 | 5,985,000 | 9,588,000 | ||||||||
Number of loan classes within specific portfolio | 3 | 3 | |||||||||
Commercial | Originated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 2,030,000 | 4,917,000 | 9,513,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 2,030,000 | 4,917,000 | 9,513,000 | ||||||||
Commercial | Acquired | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 413,000 | 1,068,000 | 75,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 413,000 | 1,068,000 | 75,000 | ||||||||
Indirect automobile | |||||||||||
Changes in allowance for loan losses | |||||||||||
Balance at the beginning of the period | 3,924,000 | 5,304,000 | 3,924,000 | 5,304,000 | 5,604,000 | ||||||
Charge-offs | -1,163,000 | -1,714,000 | -2,153,000 | ||||||||
Recoveries | 434,000 | 501,000 | 969,000 | ||||||||
Provision (credit) for loan and lease losses | -864,000 | -167,000 | 884,000 | ||||||||
Balance at the end of the period | 2,331,000 | 3,924,000 | 2,331,000 | 3,924,000 | 5,304,000 | ||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | -864,000 | -167,000 | 884,000 | ||||||||
Indirect automobile | Originated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | -864,000 | -167,000 | 884,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | -864,000 | -167,000 | 884,000 | ||||||||
Indirect automobile | Acquired | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 0 | 0 | 0 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 0 | 0 | 0 | ||||||||
Consumer | |||||||||||
Changes in allowance for loan losses | |||||||||||
Balance at the beginning of the period | 3,375,000 | 2,545,000 | 3,375,000 | 2,545,000 | 1,577,000 | ||||||
Charge-offs | -650,000 | -909,000 | -592,000 | ||||||||
Recoveries | 158,000 | 263,000 | 26,000 | ||||||||
Provision (credit) for loan and lease losses | 476,000 | 1,476,000 | 1,534,000 | ||||||||
Balance at the end of the period | 3,359,000 | 3,375,000 | 3,359,000 | 3,375,000 | 2,545,000 | ||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 476,000 | 1,476,000 | 1,534,000 | ||||||||
Number of loan classes within specific portfolio | 3 | 3 | |||||||||
Consumer | Originated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 417,000 | 286,000 | 1,534,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 417,000 | 286,000 | 1,534,000 | ||||||||
Consumer | Acquired | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 59,000 | 1,190,000 | 0 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | 59,000 | 1,190,000 | 0 | ||||||||
Unallocated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Balance at the beginning of the period | 2,932,000 | 2,630,000 | 2,932,000 | 2,630,000 | 3,048,000 | ||||||
Charge-offs | 0 | 0 | 0 | ||||||||
Recoveries | 0 | 0 | 0 | ||||||||
Provision (credit) for loan and lease losses | -514,000 | 302,000 | -418,000 | ||||||||
Balance at the end of the period | 2,418,000 | 2,932,000 | 2,418,000 | 2,932,000 | 2,630,000 | ||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | -514,000 | 302,000 | -418,000 | ||||||||
Unallocated | Originated | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | -514,000 | 302,000 | -418,000 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | -514,000 | 302,000 | -418,000 | ||||||||
Unallocated | Acquired | |||||||||||
Changes in allowance for loan losses | |||||||||||
Provision (credit) for loan and lease losses | 0 | 0 | 0 | ||||||||
Provisions for credit losses | |||||||||||
Total provision for loan losses | $0 | $0 | $0 |
Allowance_for_Loan_and_Lease_L3
Allowance for Loan and Lease Losses (Details 2) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Credit Quality Information | ||
Recorded investment | $4,822,607 | $4,362,465 |
Originated | ||
Credit Quality Information | ||
Recorded investment | 4,231,953 | 3,547,053 |
Acquired | ||
Credit Quality Information | ||
Recorded investment | 590,654 | 815,412 |
Commercial real estate mortgage | ||
Credit Quality Information | ||
Recorded investment | 1,680,082 | 1,461,985 |
Commercial real estate mortgage | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,425,621 | 1,111,750 |
Commercial real estate mortgage | Acquired | ||
Credit Quality Information | ||
Recorded investment | 254,461 | 350,235 |
Commercial real estate mortgage | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,402,121 | 1,099,108 |
Commercial real estate mortgage | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 237,439 | 332,145 |
Commercial real estate mortgage | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 22,491 | 11,555 |
Commercial real estate mortgage | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 8,351 | 7,556 |
Commercial real estate mortgage | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,009 | 1,087 |
Commercial real estate mortgage | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 8,250 | 8,645 |
Commercial real estate mortgage | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Commercial real estate mortgage | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | 421 | 1,889 |
Multi-family mortgage | ||
Credit Quality Information | ||
Recorded investment | 639,706 | 627,933 |
Multi-family mortgage | Originated | ||
Credit Quality Information | ||
Recorded investment | 576,214 | 554,555 |
Multi-family mortgage | Acquired | ||
Credit Quality Information | ||
Recorded investment | 63,492 | 73,378 |
Multi-family mortgage | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 574,972 | 554,183 |
Multi-family mortgage | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 60,837 | 69,310 |
Multi-family mortgage | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,242 | 372 |
Multi-family mortgage | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 713 | 463 |
Multi-family mortgage | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Multi-family mortgage | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 1,942 | 3,605 |
Multi-family mortgage | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Multi-family mortgage | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Construction | ||
Credit Quality Information | ||
Recorded investment | 148,013 | 113,705 |
Construction | Originated | ||
Credit Quality Information | ||
Recorded investment | 146,074 | 102,927 |
Construction | Acquired | ||
Credit Quality Information | ||
Recorded investment | 1,939 | 10,778 |
Construction | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 146,074 | 102,927 |
Construction | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 1,709 | 10,090 |
Construction | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Construction | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 230 | 688 |
Construction | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Construction | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Construction | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Construction | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Commercial | ||
Credit Quality Information | ||
Recorded investment | 514,077 | 407,792 |
Commercial | Originated | ||
Credit Quality Information | ||
Recorded investment | 462,730 | 297,684 |
Commercial | Acquired | ||
Credit Quality Information | ||
Recorded investment | 51,347 | 110,108 |
Commercial | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 447,778 | 295,057 |
Commercial | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 43,925 | 96,779 |
Commercial | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 12,193 | 49 |
Commercial | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 1,852 | 4,617 |
Commercial | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,671 | 1,078 |
Commercial | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 5,424 | 8,518 |
Commercial | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,088 | 1,500 |
Commercial | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | 146 | 194 |
Equipment financing | ||
Credit Quality Information | ||
Recorded investment | 601,424 | 513,024 |
Equipment financing | Originated | ||
Credit Quality Information | ||
Recorded investment | 587,496 | 485,330 |
Equipment financing | Acquired | ||
Credit Quality Information | ||
Recorded investment | 13,928 | 27,694 |
Equipment financing | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 583,340 | 479,811 |
Equipment financing | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 13,795 | 27,535 |
Equipment financing | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 932 | 625 |
Equipment financing | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 61 |
Equipment financing | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 2,338 | 4,817 |
Equipment financing | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 133 | 98 |
Equipment financing | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 886 | 77 |
Equipment financing | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | ||
Credit Quality Information | ||
Recorded investment | 51,593 | 44,794 |
Condominium association | Originated | ||
Credit Quality Information | ||
Recorded investment | 51,593 | 44,794 |
Condominium association | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 51,593 | 44,793 |
Condominium association | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 1 |
Condominium association | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Condominium association | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Indirect automobile | ||
Credit Quality Information | ||
Recorded investment | 316,987 | 400,531 |
Indirect automobile | Originated | ||
Credit Quality Information | ||
Recorded investment | 316,987 | 400,531 |
Percentage of loans to aggregate outstanding amount | 100.00% | 100.00% |
Indirect automobile | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Indirect automobile | Credit score, Over 700 | Originated | ||
Credit Quality Information | ||
Recorded investment | 262,160 | 332,140 |
Percentage of loans to aggregate outstanding amount | 82.70% | 82.90% |
Indirect automobile | Credit score, 661-700 | Originated | ||
Credit Quality Information | ||
Recorded investment | 43,422 | 54,038 |
Percentage of loans to aggregate outstanding amount | 13.70% | 13.50% |
Indirect automobile | Credit score, 660 and below | Originated | ||
Credit Quality Information | ||
Recorded investment | 9,927 | 12,793 |
Percentage of loans to aggregate outstanding amount | 3.10% | 3.20% |
Indirect automobile | Data not available | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,478 | 1,560 |
Percentage of loans to aggregate outstanding amount | 0.50% | 0.40% |
Residential mortgage | ||
Credit Quality Information | ||
Recorded investment | 571,920 | 528,185 |
Percentage of loans to aggregate outstanding amount | 100.00% | 100.00% |
Residential mortgage | Originated | ||
Credit Quality Information | ||
Recorded investment | 472,078 | 411,554 |
Percentage of loans to aggregate outstanding amount | 82.60% | 77.90% |
Residential mortgage | Acquired | ||
Credit Quality Information | ||
Recorded investment | 99,842 | 116,631 |
Percentage of loans to aggregate outstanding amount | 17.40% | 22.10% |
Residential mortgage | Loan-to-value ratio, less than 50% | Originated | ||
Credit Quality Information | ||
Recorded investment | 105,342 | 94,500 |
Percentage of loans to aggregate outstanding amount | 18.40% | 17.90% |
Residential mortgage | Loan-to-value ratio, less than 50% | Acquired | ||
Credit Quality Information | ||
Recorded investment | 19,574 | 23,101 |
Percentage of loans to aggregate outstanding amount | 3.40% | 4.40% |
Residential mortgage | Loan-to-value ratio, 50% - 69% | Originated | ||
Credit Quality Information | ||
Recorded investment | 179,319 | 149,969 |
Percentage of loans to aggregate outstanding amount | 31.40% | 28.40% |
Residential mortgage | Loan-to-value ratio, 50% - 69% | Acquired | ||
Credit Quality Information | ||
Recorded investment | 35,131 | 39,298 |
Percentage of loans to aggregate outstanding amount | 6.20% | 7.40% |
Residential mortgage | Loan-to-value ratio, 70% - 79% | Originated | ||
Credit Quality Information | ||
Recorded investment | 166,467 | 139,960 |
Percentage of loans to aggregate outstanding amount | 29.10% | 26.50% |
Residential mortgage | Loan-to-value ratio, 70% - 79% | Acquired | ||
Credit Quality Information | ||
Recorded investment | 22,972 | 31,932 |
Percentage of loans to aggregate outstanding amount | 4.00% | 6.00% |
Residential mortgage | Loan-to-value ratio, 80% and greater than | Originated | ||
Credit Quality Information | ||
Recorded investment | 19,335 | 22,772 |
Percentage of loans to aggregate outstanding amount | 3.40% | 4.30% |
Residential mortgage | Loan-to-value ratio, 80% and greater than | Acquired | ||
Credit Quality Information | ||
Recorded investment | 16,268 | 19,870 |
Percentage of loans to aggregate outstanding amount | 2.80% | 3.80% |
Residential mortgage | Data not available | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,615 | 4,353 |
Percentage of loans to aggregate outstanding amount | 0.30% | 0.80% |
Residential mortgage | Data not available | Acquired | ||
Credit Quality Information | ||
Recorded investment | 5,897 | 2,430 |
Percentage of loans to aggregate outstanding amount | 1.00% | 0.50% |
Home equity | ||
Credit Quality Information | ||
Recorded investment | 287,058 | 257,461 |
Percentage of loans to aggregate outstanding amount | 100.00% | 100.00% |
Home equity | Originated | ||
Credit Quality Information | ||
Recorded investment | 181,580 | 132,396 |
Percentage of loans to aggregate outstanding amount | 63.20% | 51.40% |
Home equity | Acquired | ||
Credit Quality Information | ||
Recorded investment | 105,478 | 125,065 |
Percentage of loans to aggregate outstanding amount | 36.80% | 48.60% |
Home equity | Loan-to-value ratio, less than 50% | Originated | ||
Credit Quality Information | ||
Recorded investment | 113,541 | 75,372 |
Percentage of loans to aggregate outstanding amount | 39.50% | 29.30% |
Home equity | Loan-to-value ratio, less than 50% | Acquired | ||
Credit Quality Information | ||
Recorded investment | 70,293 | 84,272 |
Percentage of loans to aggregate outstanding amount | 24.50% | 32.70% |
Home equity | Loan-to-value ratio, 50% - 69% | Originated | ||
Credit Quality Information | ||
Recorded investment | 35,660 | 31,504 |
Percentage of loans to aggregate outstanding amount | 12.40% | 12.20% |
Home equity | Loan-to-value ratio, 50% - 69% | Acquired | ||
Credit Quality Information | ||
Recorded investment | 22,581 | 25,964 |
Percentage of loans to aggregate outstanding amount | 7.90% | 10.10% |
Home equity | Loan-to-value ratio, 70% - 79% | Originated | ||
Credit Quality Information | ||
Recorded investment | 27,123 | 21,161 |
Percentage of loans to aggregate outstanding amount | 9.40% | 8.20% |
Home equity | Loan-to-value ratio, 70% - 79% | Acquired | ||
Credit Quality Information | ||
Recorded investment | 10,569 | 13,390 |
Percentage of loans to aggregate outstanding amount | 3.70% | 5.20% |
Home equity | Loan-to-value ratio, 80% and greater than | Originated | ||
Credit Quality Information | ||
Recorded investment | 4,195 | 3,240 |
Percentage of loans to aggregate outstanding amount | 1.50% | 1.30% |
Home equity | Loan-to-value ratio, 80% and greater than | Acquired | ||
Credit Quality Information | ||
Recorded investment | 1,178 | 1,208 |
Percentage of loans to aggregate outstanding amount | 0.40% | 0.50% |
Home equity | Data not available | Originated | ||
Credit Quality Information | ||
Recorded investment | 1,061 | 1,119 |
Percentage of loans to aggregate outstanding amount | 0.40% | 0.40% |
Home equity | Data not available | Acquired | ||
Credit Quality Information | ||
Recorded investment | 857 | 231 |
Percentage of loans to aggregate outstanding amount | 0.30% | 0.10% |
Other consumer | ||
Credit Quality Information | ||
Recorded investment | 11,747 | 7,055 |
Other consumer | Originated | ||
Credit Quality Information | ||
Recorded investment | 11,580 | 5,532 |
Other consumer | Acquired | ||
Credit Quality Information | ||
Recorded investment | 167 | 1,523 |
Other consumer | Pass | Originated | ||
Credit Quality Information | ||
Recorded investment | 11,540 | 5,528 |
Other consumer | Pass | Acquired | ||
Credit Quality Information | ||
Recorded investment | 167 | 1,509 |
Other consumer | OAEM | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Other consumer | OAEM | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Other consumer | Substandard | Originated | ||
Credit Quality Information | ||
Recorded investment | 40 | 4 |
Other consumer | Substandard | Acquired | ||
Credit Quality Information | ||
Recorded investment | 0 | 14 |
Other consumer | Doubtful | Originated | ||
Credit Quality Information | ||
Recorded investment | 0 | 0 |
Other consumer | Doubtful | Acquired | ||
Credit Quality Information | ||
Recorded investment | $0 | $0 |
Allowance_for_Loan_and_Lease_L4
Allowance for Loan and Lease Losses (Details 3) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Age analysis of past due loans | ||
Past due 31-60 days | $12,439 | $34,125 |
Past due 61-90 days | 8,117 | 5,882 |
Past due Greater than 90 days | 14,364 | 17,861 |
Past due Total | 34,920 | 57,868 |
Current | 4,787,687 | 4,304,597 |
Total loans and leases | 4,822,607 | 4,362,465 |
Loans past due greater than 90 days and accruing | 6,008 | 10,913 |
Remaining balance of loans or leases on non-accrual | 13,714 | 16,501 |
Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 9,536 | 28,288 |
Past due 61-90 days | 2,410 | 3,884 |
Past due Greater than 90 days | 4,877 | 3,690 |
Past due Total | 16,823 | 35,862 |
Current | 4,215,130 | 3,511,191 |
Total loans and leases | 4,231,953 | 3,547,053 |
Loans past due greater than 90 days and accruing | 2 | 10 |
Remaining balance of loans or leases on non-accrual | 9,132 | 8,245 |
Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 2,903 | 5,837 |
Past due 61-90 days | 5,707 | 1,998 |
Past due Greater than 90 days | 9,487 | 14,171 |
Past due Total | 18,097 | 22,006 |
Current | 572,557 | 793,406 |
Total loans and leases | 590,654 | 815,412 |
Loans past due greater than 90 days and accruing | 6,006 | 10,903 |
Remaining balance of loans or leases on non-accrual | 4,582 | 8,256 |
Commercial real estate loans | ||
Age analysis of past due loans | ||
Total loans and leases | 2,467,801 | 2,203,623 |
Commercial real estate loans | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 2,016 | 19,296 |
Past due 61-90 days | 416 | 1,393 |
Past due Greater than 90 days | 160 | 169 |
Past due Total | 2,592 | 20,858 |
Current | 2,145,317 | 1,748,374 |
Total loans and leases | 2,147,909 | 1,769,232 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 1,009 | 169 |
Commercial real estate loans | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 1,184 | 1,548 |
Past due 61-90 days | 4,434 | 496 |
Past due Greater than 90 days | 2,750 | 5,939 |
Past due Total | 8,368 | 7,983 |
Current | 311,524 | 426,408 |
Total loans and leases | 319,892 | 434,391 |
Loans past due greater than 90 days and accruing | 2,750 | 5,010 |
Remaining balance of loans or leases on non-accrual | 0 | 929 |
Commercial real estate mortgage | ||
Age analysis of past due loans | ||
Total loans and leases | 1,680,082 | 1,461,985 |
Commercial real estate mortgage | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 1,631 | 4,896 |
Past due 61-90 days | 416 | 1,393 |
Past due Greater than 90 days | 160 | 169 |
Past due Total | 2,207 | 6,458 |
Current | 1,423,414 | 1,105,292 |
Total loans and leases | 1,425,621 | 1,111,750 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 1,009 | 169 |
Commercial real estate mortgage | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 989 | 1,221 |
Past due 61-90 days | 3,705 | 87 |
Past due Greater than 90 days | 2,387 | 4,887 |
Past due Total | 7,081 | 6,195 |
Current | 247,380 | 344,040 |
Total loans and leases | 254,461 | 350,235 |
Loans past due greater than 90 days and accruing | 2,387 | 3,958 |
Remaining balance of loans or leases on non-accrual | 0 | 929 |
Multi-family mortgage | ||
Age analysis of past due loans | ||
Total loans and leases | 639,706 | 627,933 |
Multi-family mortgage | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 385 | 14,400 |
Past due 61-90 days | 0 | 0 |
Past due Greater than 90 days | 0 | 0 |
Past due Total | 385 | 14,400 |
Current | 575,829 | 540,155 |
Total loans and leases | 576,214 | 554,555 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 0 | 0 |
Multi-family mortgage | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 195 | 327 |
Past due 61-90 days | 729 | 0 |
Past due Greater than 90 days | 363 | 1,052 |
Past due Total | 1,287 | 1,379 |
Current | 62,205 | 71,999 |
Total loans and leases | 63,492 | 73,378 |
Loans past due greater than 90 days and accruing | 363 | 1,052 |
Remaining balance of loans or leases on non-accrual | 0 | 0 |
Construction | ||
Age analysis of past due loans | ||
Total loans and leases | 148,013 | 113,705 |
Construction | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 0 | 0 |
Past due 61-90 days | 0 | 0 |
Past due Greater than 90 days | 0 | 0 |
Past due Total | 0 | 0 |
Current | 146,074 | 102,927 |
Total loans and leases | 146,074 | 102,927 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 0 | 0 |
Construction | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 0 | 0 |
Past due 61-90 days | 0 | 409 |
Past due Greater than 90 days | 0 | 0 |
Past due Total | 0 | 409 |
Current | 1,939 | 10,369 |
Total loans and leases | 1,939 | 10,778 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 0 | 0 |
Commercial loans | ||
Age analysis of past due loans | ||
Total loans and leases | 1,167,094 | 965,610 |
Commercial loans | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 2,793 | 3,155 |
Past due 61-90 days | 1,014 | 1,633 |
Past due Greater than 90 days | 3,891 | 2,873 |
Past due Total | 7,698 | 7,661 |
Current | 1,094,121 | 820,147 |
Total loans and leases | 1,101,819 | 827,808 |
Loans past due greater than 90 days and accruing | 2 | 0 |
Remaining balance of loans or leases on non-accrual | 5,936 | 5,638 |
Commercial loans | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 714 | 2,753 |
Past due 61-90 days | 540 | 162 |
Past due Greater than 90 days | 3,099 | 2,004 |
Past due Total | 4,353 | 4,919 |
Current | 60,922 | 132,883 |
Total loans and leases | 65,275 | 137,802 |
Loans past due greater than 90 days and accruing | 697 | 1,308 |
Remaining balance of loans or leases on non-accrual | 2,483 | 4,626 |
Commercial | ||
Age analysis of past due loans | ||
Total loans and leases | 514,077 | 407,792 |
Commercial | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 758 | 2,288 |
Past due 61-90 days | 876 | 75 |
Past due Greater than 90 days | 1,499 | 842 |
Past due Total | 3,133 | 3,205 |
Current | 459,597 | 294,479 |
Total loans and leases | 462,730 | 297,684 |
Loans past due greater than 90 days and accruing | 2 | 0 |
Remaining balance of loans or leases on non-accrual | 2,722 | 1,551 |
Commercial | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 712 | 2,707 |
Past due 61-90 days | 488 | 121 |
Past due Greater than 90 days | 3,033 | 1,931 |
Past due Total | 4,233 | 4,759 |
Current | 47,114 | 105,349 |
Total loans and leases | 51,347 | 110,108 |
Loans past due greater than 90 days and accruing | 624 | 1,235 |
Remaining balance of loans or leases on non-accrual | 2,474 | 4,597 |
Equipment financing | ||
Age analysis of past due loans | ||
Total loans and leases | 601,424 | 513,024 |
Equipment financing | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 1,534 | 867 |
Past due 61-90 days | 138 | 1,558 |
Past due Greater than 90 days | 2,392 | 2,031 |
Past due Total | 4,064 | 4,456 |
Current | 583,432 | 480,874 |
Total loans and leases | 587,496 | 485,330 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 3,214 | 4,086 |
Equipment financing | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 2 | 46 |
Past due 61-90 days | 52 | 41 |
Past due Greater than 90 days | 66 | 73 |
Past due Total | 120 | 160 |
Current | 13,808 | 27,534 |
Total loans and leases | 13,928 | 27,694 |
Loans past due greater than 90 days and accruing | 73 | 73 |
Remaining balance of loans or leases on non-accrual | 9 | 29 |
Condominium association | ||
Age analysis of past due loans | ||
Total loans and leases | 51,593 | 44,794 |
Condominium association | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 501 | 0 |
Past due 61-90 days | 0 | 0 |
Past due Greater than 90 days | 0 | 0 |
Past due Total | 501 | 0 |
Current | 51,092 | 44,794 |
Total loans and leases | 51,593 | 44,794 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 0 | 1 |
Condominium association | Acquired | ||
Age analysis of past due loans | ||
Total loans and leases | 0 | 0 |
Indirect automobile | ||
Age analysis of past due loans | ||
Total loans and leases | 316,987 | 400,531 |
Indirect automobile | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 4,635 | 5,407 |
Past due 61-90 days | 923 | 857 |
Past due Greater than 90 days | 166 | 229 |
Past due Total | 5,724 | 6,493 |
Current | 311,263 | 394,038 |
Total loans and leases | 316,987 | 400,531 |
Loans past due greater than 90 days and accruing | 0 | 10 |
Remaining balance of loans or leases on non-accrual | 645 | 259 |
Indirect automobile | Acquired | ||
Age analysis of past due loans | ||
Total loans and leases | 0 | 0 |
Consumer loans | ||
Age analysis of past due loans | ||
Total loans and leases | 870,725 | 792,701 |
Consumer loans | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 92 | 430 |
Past due 61-90 days | 57 | 1 |
Past due Greater than 90 days | 660 | 419 |
Past due Total | 809 | 850 |
Current | 664,429 | 548,632 |
Total loans and leases | 665,238 | 549,482 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 1,542 | 2,179 |
Consumer loans | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 1,005 | 1,536 |
Past due 61-90 days | 733 | 1,340 |
Past due Greater than 90 days | 3,638 | 6,228 |
Past due Total | 5,376 | 9,104 |
Current | 200,111 | 234,115 |
Total loans and leases | 205,487 | 243,219 |
Loans past due greater than 90 days and accruing | 2,559 | 4,585 |
Remaining balance of loans or leases on non-accrual | 2,099 | 2,701 |
Residential mortgage | ||
Age analysis of past due loans | ||
Total loans and leases | 571,920 | 528,185 |
Residential mortgage | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 0 | 201 |
Past due 61-90 days | 0 | 0 |
Past due Greater than 90 days | 501 | 415 |
Past due Total | 501 | 616 |
Current | 471,577 | 410,938 |
Total loans and leases | 472,078 | 411,554 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 1,340 | 1,713 |
Residential mortgage | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 0 | 271 |
Past due 61-90 days | 0 | 777 |
Past due Greater than 90 days | 2,715 | 5,329 |
Past due Total | 2,715 | 6,377 |
Current | 97,127 | 110,254 |
Total loans and leases | 99,842 | 116,631 |
Loans past due greater than 90 days and accruing | 2,372 | 4,468 |
Remaining balance of loans or leases on non-accrual | 342 | 1,162 |
Home equity | ||
Age analysis of past due loans | ||
Total loans and leases | 287,058 | 257,461 |
Home equity | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 75 | 218 |
Past due 61-90 days | 52 | 0 |
Past due Greater than 90 days | 129 | 0 |
Past due Total | 256 | 218 |
Current | 181,324 | 132,178 |
Total loans and leases | 181,580 | 132,396 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 161 | 462 |
Home equity | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 1,005 | 1,259 |
Past due 61-90 days | 733 | 552 |
Past due Greater than 90 days | 923 | 895 |
Past due Total | 2,661 | 2,706 |
Current | 102,817 | 122,359 |
Total loans and leases | 105,478 | 125,065 |
Loans past due greater than 90 days and accruing | 187 | 117 |
Remaining balance of loans or leases on non-accrual | 1,757 | 1,525 |
Other consumer | ||
Age analysis of past due loans | ||
Total loans and leases | 11,747 | 7,055 |
Other consumer | Originated | ||
Age analysis of past due loans | ||
Past due 31-60 days | 17 | 11 |
Past due 61-90 days | 5 | 1 |
Past due Greater than 90 days | 30 | 4 |
Past due Total | 52 | 16 |
Current | 11,528 | 5,516 |
Total loans and leases | 11,580 | 5,532 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | 41 | 4 |
Other consumer | Acquired | ||
Age analysis of past due loans | ||
Past due 31-60 days | 0 | 6 |
Past due 61-90 days | 0 | 11 |
Past due Greater than 90 days | 0 | 4 |
Past due Total | 0 | 21 |
Current | 167 | 1,502 |
Total loans and leases | 167 | 1,523 |
Loans past due greater than 90 days and accruing | 0 | 0 |
Remaining balance of loans or leases on non-accrual | $0 | $14 |
Allowance_for_Loan_and_Lease_L5
Allowance for Loan and Lease Losses (Details 4) | 12 Months Ended |
Dec. 31, 2014 | |
Allowance for loan losses and recorded investment in loans | |
Number of days past due, non-accrual status (in days) | 90 days |
Commercial real estate loans | |
Allowance for loan losses and recorded investment in loans | |
Number of loan classes within specific portfolio | 3 |
Commercial real estate | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 34.80% |
Multi-family | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 13.20% |
Construction | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 3.10% |
Commercial loans | |
Allowance for loan losses and recorded investment in loans | |
Number of loan classes within specific portfolio | 3 |
Commercial | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 10.70% |
Equipment financing | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 12.50% |
Condominium association | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 1.10% |
Indirect automobile | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 6.60% |
Consumer loans | |
Allowance for loan losses and recorded investment in loans | |
Number of loan classes within specific portfolio | 3 |
Loans not made, loan to value ratio, minimum (as a percent) | 80.00% |
Number of days past due, non-accrual status (in days) | 90 days |
Residential | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 11.90% |
Home equity | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 5.90% |
Other consumer | |
Allowance for loan losses and recorded investment in loans | |
Percentage of loans to aggregate outstanding amount | 0.20% |
Allowance_for_Loan_and_Lease_L6
Allowance for Loan and Lease Losses (Details 5) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Impaired Loans and Leases | |||
Recorded investment | $48,657,000 | $33,206,000 | |
Unpaid principal balance | 48,633,000 | 34,409,000 | |
Related allowance | 1,163,000 | 1,473,000 | |
Average recorded investment | 50,072,000 | 33,492,000 | 30,948,000 |
Interest income recognized, Total | 1,216,000 | 882,000 | 1,038,000 |
Recorded investment in loans and leases by portfolio segment | |||
Total, Allowance | 53,659,000 | 48,473,000 | |
Total loans and leases | 4,822,607,000 | 4,362,465,000 | |
Originated | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 19,246,000 | 7,408,000 | |
Recorded investment, loans with related allowance recorded | 6,314,000 | 6,307,000 | |
Recorded investment | 25,560,000 | 13,715,000 | |
Recorded investment, nonaccrual loans | 7,100,000 | 5,800,000 | |
Unpaid principal balance with no related allowance recorded | 19,217,000 | 7,395,000 | |
Unpaid principal balance with related allowance recorded | 6,306,000 | 6,289,000 | |
Unpaid principal balance | 25,523,000 | 13,684,000 | |
Related allowance | 886,000 | 1,182,000 | |
Average recorded investment with no related allowance recorded | 17,792,000 | 7,518,000 | 7,829,000 |
Average recorded investment with related allowance recorded | 5,966,000 | 6,455,000 | 7,453,000 |
Average recorded investment | 23,758,000 | 13,973,000 | 15,282,000 |
Interest income recognized with no related allowance recorded | 487,000 | 266,000 | 554,000 |
Interest income recognized with related allowance recorded | 135,000 | 169,000 | 484,000 |
Interest income recognized, Total | 622,000 | 435,000 | 1,038,000 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 886,000 | 1,182,000 | |
Collectively evaluated for impairment, Allowance | 49,925,000 | 45,662,000 | |
Total, Allowance | 50,811,000 | 46,844,000 | |
Individually evaluated for impairment, Loans and Leases | 25,559,000 | 13,715,000 | |
Collectively evaluated for impairment, Loans and Leases | 4,206,394,000 | 3,533,338,000 | |
Total loans and leases | 4,231,953,000 | 3,547,053,000 | |
Acquired | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 22,150,000 | 17,197,000 | |
Recorded investment, loans with related allowance recorded | 947,000 | 2,294,000 | |
Recorded investment | 23,097,000 | 19,491,000 | |
Recorded investment, nonaccrual loans | 4,600,000 | 5,700,000 | |
Unpaid principal balance with no related allowance recorded | 22,163,000 | 18,367,000 | |
Unpaid principal balance with related allowance recorded | 947,000 | 2,358,000 | |
Unpaid principal balance | 23,110,000 | 20,725,000 | |
Related allowance | 277,000 | 291,000 | |
Average recorded investment with no related allowance recorded | 24,460,000 | 16,177,000 | 15,191,000 |
Average recorded investment with related allowance recorded | 1,854,000 | 3,342,000 | 475,000 |
Average recorded investment | 26,314,000 | 19,519,000 | 15,666,000 |
Interest income recognized with no related allowance recorded | 500,000 | 400,000 | 0 |
Interest income recognized with related allowance recorded | 94,000 | 47,000 | 0 |
Interest income recognized, Total | 594,000 | 447,000 | 0 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 185,000 | 3,000 | |
Collectively evaluated for impairment, Allowance | 872,000 | 384,000 | |
Acquired with deteriorated credit quality, Allowance | 1,791,000 | 1,242,000 | |
Total, Allowance | 2,848,000 | 1,629,000 | |
Individually evaluated for impairment, Loans and Leases | 7,646,000 | 8,375,000 | |
Collectively evaluated for impairment, Loans and Leases | 270,618,000 | 401,217,000 | |
Acquired with deteriorated credit quality, Loans and Leases | 312,390,000 | 405,820,000 | |
Total loans and leases | 590,654,000 | 815,412,000 | |
Commercial real estate loans | |||
Recorded investment in loans and leases by portfolio segment | |||
Total, Allowance | 29,594,000 | 23,022,000 | |
Total loans and leases | 2,467,801,000 | 2,203,623,000 | |
Commercial real estate loans | Originated | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 2,751,000 | 2,009,000 | |
Recorded investment, loans with related allowance recorded | 4,119,000 | 1,466,000 | |
Unpaid principal balance with no related allowance recorded | 2,748,000 | 2,009,000 | |
Unpaid principal balance with related allowance recorded | 4,119,000 | 1,466,000 | |
Related allowance | 108,000 | 184,000 | |
Average recorded investment with no related allowance recorded | 2,786,000 | 2,184,000 | 2,547,000 |
Average recorded investment with related allowance recorded | 3,223,000 | 1,464,000 | 1,142,000 |
Interest income recognized with no related allowance recorded | 102,000 | 92,000 | 243,000 |
Interest income recognized with related allowance recorded | 69,000 | 43,000 | 79,000 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 108,000 | 184,000 | |
Collectively evaluated for impairment, Allowance | 27,457,000 | 22,336,000 | |
Total, Allowance | 27,565,000 | 22,520,000 | |
Individually evaluated for impairment, Loans and Leases | 6,869,000 | 3,643,000 | |
Collectively evaluated for impairment, Loans and Leases | 2,141,040,000 | 1,765,589,000 | |
Total loans and leases | 2,147,909,000 | 1,769,232,000 | |
Commercial real estate loans | Acquired | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 9,413,000 | 9,176,000 | |
Recorded investment, loans with related allowance recorded | 244,000 | 1,274,000 | |
Unpaid principal balance with no related allowance recorded | 9,428,000 | 10,082,000 | |
Unpaid principal balance with related allowance recorded | 244,000 | 1,291,000 | |
Related allowance | 22,000 | 122,000 | |
Average recorded investment with no related allowance recorded | 10,884,000 | 9,639,000 | 9,071,000 |
Average recorded investment with related allowance recorded | 942,000 | 2,765,000 | 366,000 |
Interest income recognized with no related allowance recorded | 350,000 | 251,000 | 0 |
Interest income recognized with related allowance recorded | 76,000 | 42,000 | 0 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 0 | 0 | |
Collectively evaluated for impairment, Allowance | 648,000 | -54,000 | |
Acquired with deteriorated credit quality, Allowance | 1,381,000 | 556,000 | |
Total, Allowance | 2,029,000 | 502,000 | |
Individually evaluated for impairment, Loans and Leases | 626,000 | 2,625,000 | |
Collectively evaluated for impairment, Loans and Leases | 97,141,000 | 145,057,000 | |
Acquired with deteriorated credit quality, Loans and Leases | 222,125,000 | 286,709,000 | |
Total loans and leases | 319,892,000 | 434,391,000 | |
Commercial | |||
Recorded investment in loans and leases by portfolio segment | |||
Total, Allowance | 15,957,000 | 15,220,000 | |
Total loans and leases | 1,167,094,000 | 965,610,000 | |
Commercial | Originated | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 13,440,000 | 4,410,000 | |
Recorded investment, loans with related allowance recorded | 2,019,000 | 2,393,000 | |
Unpaid principal balance with no related allowance recorded | 13,421,000 | 4,399,000 | |
Unpaid principal balance with related allowance recorded | 2,011,000 | 2,383,000 | |
Related allowance | 768,000 | 675,000 | |
Average recorded investment with no related allowance recorded | 11,840,000 | 4,257,000 | 3,159,000 |
Average recorded investment with related allowance recorded | 2,285,000 | 1,781,000 | 3,393,000 |
Interest income recognized with no related allowance recorded | 343,000 | 144,000 | 181,000 |
Interest income recognized with related allowance recorded | 51,000 | 29,000 | 305,000 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 768,000 | 675,000 | |
Collectively evaluated for impairment, Allowance | 14,631,000 | 14,056,000 | |
Total, Allowance | 15,399,000 | 14,731,000 | |
Individually evaluated for impairment, Loans and Leases | 15,459,000 | 6,634,000 | |
Collectively evaluated for impairment, Loans and Leases | 1,086,360,000 | 821,174,000 | |
Total loans and leases | 1,101,819,000 | 827,808,000 | |
Commercial | Acquired | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 6,049,000 | 6,988,000 | |
Recorded investment, loans with related allowance recorded | 478,000 | 1,020,000 | |
Unpaid principal balance with no related allowance recorded | 6,047,000 | 7,248,000 | |
Unpaid principal balance with related allowance recorded | 478,000 | 1,067,000 | |
Related allowance | 214,000 | 169,000 | |
Average recorded investment with no related allowance recorded | 6,875,000 | 5,205,000 | 3,801,000 |
Average recorded investment with related allowance recorded | 631,000 | 577,000 | 109,000 |
Interest income recognized with no related allowance recorded | 122,000 | 129,000 | 0 |
Interest income recognized with related allowance recorded | 15,000 | 5,000 | 0 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 144,000 | 3,000 | |
Collectively evaluated for impairment, Allowance | 222,000 | 234,000 | |
Acquired with deteriorated credit quality, Allowance | 192,000 | 252,000 | |
Total, Allowance | 558,000 | 489,000 | |
Individually evaluated for impairment, Loans and Leases | 4,458,000 | 4,878,000 | |
Collectively evaluated for impairment, Loans and Leases | 38,504,000 | 93,565,000 | |
Acquired with deteriorated credit quality, Loans and Leases | 22,313,000 | 39,359,000 | |
Total loans and leases | 65,275,000 | 137,802,000 | |
Indirect automobile | |||
Recorded investment in loans and leases by portfolio segment | |||
Total, Allowance | 2,331,000 | 3,924,000 | |
Total loans and leases | 316,987,000 | 400,531,000 | |
Indirect automobile | Originated | |||
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 0 | 0 | |
Collectively evaluated for impairment, Allowance | 2,331,000 | 3,924,000 | |
Total, Allowance | 2,331,000 | 3,924,000 | |
Individually evaluated for impairment, Loans and Leases | 0 | 0 | |
Collectively evaluated for impairment, Loans and Leases | 316,987,000 | 400,531,000 | |
Total loans and leases | 316,987,000 | 400,531,000 | |
Indirect automobile | Acquired | |||
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 0 | 0 | |
Collectively evaluated for impairment, Allowance | 0 | 0 | |
Acquired with deteriorated credit quality, Allowance | 0 | 0 | |
Total, Allowance | 0 | 0 | |
Individually evaluated for impairment, Loans and Leases | 0 | 0 | |
Collectively evaluated for impairment, Loans and Leases | 0 | 0 | |
Acquired with deteriorated credit quality, Loans and Leases | 0 | 0 | |
Total loans and leases | 0 | 0 | |
Consumer loans | |||
Recorded investment in loans and leases by portfolio segment | |||
Total, Allowance | 3,359,000 | 3,375,000 | |
Total loans and leases | 870,725,000 | 792,701,000 | |
Consumer loans | Originated | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 3,055,000 | 989,000 | |
Recorded investment, loans with related allowance recorded | 176,000 | 2,448,000 | |
Unpaid principal balance with no related allowance recorded | 3,048,000 | 987,000 | |
Unpaid principal balance with related allowance recorded | 176,000 | 2,440,000 | |
Related allowance | 10,000 | 323,000 | |
Average recorded investment with no related allowance recorded | 3,166,000 | 1,077,000 | 2,123,000 |
Average recorded investment with related allowance recorded | 458,000 | 3,210,000 | 2,918,000 |
Interest income recognized with no related allowance recorded | 42,000 | 30,000 | 130,000 |
Interest income recognized with related allowance recorded | 15,000 | 97,000 | 100,000 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 10,000 | 323,000 | |
Collectively evaluated for impairment, Allowance | 3,088,000 | 2,414,000 | |
Total, Allowance | 3,098,000 | 2,737,000 | |
Individually evaluated for impairment, Loans and Leases | 3,231,000 | 3,438,000 | |
Collectively evaluated for impairment, Loans and Leases | 662,007,000 | 546,044,000 | |
Total loans and leases | 665,238,000 | 549,482,000 | |
Consumer loans | Acquired | |||
Impaired Loans and Leases | |||
Recorded investment, loans with no related allowance recorded | 6,688,000 | 1,033,000 | |
Recorded investment, loans with related allowance recorded | 225,000 | 0 | |
Unpaid principal balance with no related allowance recorded | 6,688,000 | 1,037,000 | |
Unpaid principal balance with related allowance recorded | 225,000 | 0 | |
Related allowance | 41,000 | 0 | |
Average recorded investment with no related allowance recorded | 6,701,000 | 1,333,000 | 2,319,000 |
Average recorded investment with related allowance recorded | 281,000 | 0 | 0 |
Interest income recognized with no related allowance recorded | 28,000 | 20,000 | 0 |
Interest income recognized with related allowance recorded | 3,000 | 0 | 0 |
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 41,000 | 0 | |
Collectively evaluated for impairment, Allowance | 2,000 | 204,000 | |
Acquired with deteriorated credit quality, Allowance | 218,000 | 434,000 | |
Total, Allowance | 261,000 | 638,000 | |
Individually evaluated for impairment, Loans and Leases | 2,562,000 | 872,000 | |
Collectively evaluated for impairment, Loans and Leases | 134,973,000 | 162,595,000 | |
Acquired with deteriorated credit quality, Loans and Leases | 67,952,000 | 79,752,000 | |
Total loans and leases | 205,487,000 | 243,219,000 | |
Unallocated | |||
Recorded investment in loans and leases by portfolio segment | |||
Total, Allowance | 2,418,000 | 2,932,000 | |
Total loans and leases | 0 | 0 | |
Unallocated | Originated | |||
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 0 | 0 | |
Collectively evaluated for impairment, Allowance | 2,418,000 | 2,932,000 | |
Total, Allowance | 2,418,000 | 2,932,000 | |
Individually evaluated for impairment, Loans and Leases | 0 | 0 | |
Collectively evaluated for impairment, Loans and Leases | 0 | 0 | |
Total loans and leases | 0 | 0 | |
Unallocated | Acquired | |||
Recorded investment in loans and leases by portfolio segment | |||
Individually evaluated for impairment, Allowance | 0 | 0 | |
Collectively evaluated for impairment, Allowance | 0 | 0 | |
Acquired with deteriorated credit quality, Allowance | 0 | 0 | |
Total, Allowance | 0 | 0 | |
Individually evaluated for impairment, Loans and Leases | 0 | 0 | |
Collectively evaluated for impairment, Loans and Leases | 0 | 0 | |
Acquired with deteriorated credit quality, Loans and Leases | 0 | 0 | |
Total loans and leases | $0 | $0 |
Allowance_for_Loan_and_Lease_L7
Allowance for Loan and Lease Losses (Details 6) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Troubled Debt Restructured Loans and Leases | |||
Nonaccrual loans and leases | $13,714,000 | $16,501,000 | |
Loans with one modification | 3,736,000 | 6,058,000 | 7,216,000 |
Loans with more than one modification | 3,077,000 | 490,000 | 3,857,000 |
Financial impact of modification of performing and nonperforming loans | 300,000 | 800,000 | 0 |
Commitments to lend funds to debtors owing receivables whose terms had been modified in troubled debt restructurings | 0 | ||
Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Nonaccrual loans and leases | 9,132,000 | 8,245,000 | |
Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Nonaccrual loans and leases | 4,582,000 | 8,256,000 | |
Extended maturity | |||
Troubled Debt Restructured Loans and Leases | |||
Loans with one modification | 3,241,000 | 3,841,000 | 1,478,000 |
Loans with more than one modification | 1,951,000 | 490,000 | 0 |
Adjusted principal | |||
Troubled Debt Restructured Loans and Leases | |||
Loans with one modification | 0 | 908,000 | 2,185,000 |
Loans with more than one modification | 0 | 0 | 3,857,000 |
Adjusted interest rate | |||
Troubled Debt Restructured Loans and Leases | |||
Loans with one modification | 0 | 755,000 | 1,715,000 |
Interest only | |||
Troubled Debt Restructured Loans and Leases | |||
Loans with one modification | 16,000 | 0 | 0 |
Loans with more than one modification | 292,000 | 0 | 0 |
Combination maturity, principal, interest rate | |||
Troubled Debt Restructured Loans and Leases | |||
Loans with one modification | 479,000 | 554,000 | 1,838,000 |
Loans with more than one modification | 834,000 | 0 | 0 |
Commercial real estate | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 1 | 1 | 2 |
Recorded Investment, At modification | 953,000 | 1,039,000 | 867,000 |
Recorded Investment, At end of period | 932,000 | 0 | 854,000 |
Specific Allowance for Loan and Lease Losses | 0 | 0 | 33,000 |
Nonaccrual loans and leases | 0 | 0 | 513,000 |
Commercial real estate | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 1 | 1 | |
Recorded Investment, At modification | 737,000 | 3,145,000 | |
Recorded Investment, At end of period | 727,000 | 3,208,000 | |
Specific Allowance for Loan and Lease Losses | 0 | 0 | |
Nonaccrual loans and leases | 0 | 0 | |
Commercial real estate | Defaulted | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | 2 |
Recorded Investment, At modification | 0 | 0 | 1,288,000 |
Commercial real estate | Defaulted | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | |
Recorded Investment, At modification | 0 | 0 | |
Commercial | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 6 | 2 | 3 |
Recorded Investment, At modification | 2,884,000 | 926,000 | 3,942,000 |
Recorded Investment, At end of period | 2,948,000 | 918,000 | 2,086,000 |
Specific Allowance for Loan and Lease Losses | 0 | 0 | 316,000 |
Nonaccrual loans and leases | 628,000 | 0 | 1,993,000 |
Commercial | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 6 | 6 | 2 |
Recorded Investment, At modification | 1,369,000 | 3,209,000 | 1,229,000 |
Recorded Investment, At end of period | 1,406,000 | 3,135,000 | 1,163,000 |
Specific Allowance for Loan and Lease Losses | 0 | 0 | 0 |
Nonaccrual loans and leases | 66,000 | 1,335,000 | 478,000 |
Commercial | Defaulted | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 3 | 0 | 1 |
Recorded Investment, At modification | 615,000 | 0 | 44,000 |
Commercial | Defaulted | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 1 | 1 | 0 |
Recorded Investment, At modification | 419,000 | 1,335,000 | 0 |
Equipment financing | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 6 | 5 | 8 |
Recorded Investment, At modification | 984,000 | 1,557,000 | 2,138,000 |
Recorded Investment, At end of period | 936,000 | 1,415,000 | 2,038,000 |
Specific Allowance for Loan and Lease Losses | 15,000 | 77,000 | 110,000 |
Nonaccrual loans and leases | 169,000 | 861,000 | 793,000 |
Equipment financing | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | |
Recorded Investment, At modification | 0 | 0 | |
Recorded Investment, At end of period | 0 | 0 | |
Specific Allowance for Loan and Lease Losses | 0 | 0 | |
Nonaccrual loans and leases | 0 | 0 | |
Equipment financing | Defaulted | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 4 | 2 | 6 |
Recorded Investment, At modification | 636,000 | 371,000 | 1,240,000 |
Equipment financing | Defaulted | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | |
Recorded Investment, At modification | 0 | 0 | |
Residential mortgage | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 1 | 1 | 6 |
Recorded Investment, At modification | 496,000 | 415,000 | 2,422,000 |
Recorded Investment, At end of period | 0 | 353,000 | 1,724,000 |
Specific Allowance for Loan and Lease Losses | 0 | 0 | 315,000 |
Nonaccrual loans and leases | 0 | 353,000 | 294,000 |
Residential mortgage | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | |
Recorded Investment, At modification | 0 | 0 | |
Recorded Investment, At end of period | 0 | 0 | |
Specific Allowance for Loan and Lease Losses | 0 | 0 | |
Nonaccrual loans and leases | 0 | 0 | |
Residential mortgage | Defaulted | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | 3 |
Recorded Investment, At modification | 0 | 0 | 763,000 |
Residential mortgage | Defaulted | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | 0 | |
Recorded Investment, At modification | 0 | 0 | |
Home equity | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 2 | ||
Recorded Investment, At modification | 400,000 | ||
Recorded Investment, At end of period | 402,000 | ||
Specific Allowance for Loan and Lease Losses | 0 | ||
Nonaccrual loans and leases | 0 | ||
Home equity | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 1 | ||
Recorded Investment, At modification | 190,000 | ||
Recorded Investment, At end of period | 189,000 | ||
Specific Allowance for Loan and Lease Losses | 0 | ||
Nonaccrual loans and leases | 0 | ||
Home equity | Defaulted | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | ||
Recorded Investment, At modification | 0 | ||
Home equity | Defaulted | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 0 | ||
Recorded Investment, At modification | 0 | ||
Total | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 23 | 16 | 22 |
Recorded Investment, At modification | 7,276,000 | 7,883,000 | 13,743,000 |
Recorded Investment, At end of period | 6,813,000 | 6,548,000 | 11,073,000 |
Specific Allowance for Loan and Lease Losses | 15,000 | 77,000 | 774,000 |
Nonaccrual loans and leases | 863,000 | 2,549,000 | 4,071,000 |
Total | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 16 | 9 | 19 |
Recorded Investment, At modification | 5,717,000 | 3,937,000 | 9,369,000 |
Recorded Investment, At end of period | 5,218,000 | 2,686,000 | 6,702,000 |
Specific Allowance for Loan and Lease Losses | 15,000 | 77,000 | 774,000 |
Nonaccrual loans and leases | 797,000 | 1,214,000 | 3,593,000 |
Total | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 7 | 7 | 3 |
Recorded Investment, At modification | 1,559,000 | 3,946,000 | 4,374,000 |
Recorded Investment, At end of period | 1,595,000 | 3,862,000 | 4,371,000 |
Specific Allowance for Loan and Lease Losses | 0 | 0 | 0 |
Nonaccrual loans and leases | 66,000 | 1,335,000 | 478,000 |
Total | Defaulted | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 8 | 3 | 12 |
Recorded Investment, At modification | 1,670,000 | 1,706,000 | 3,335,000 |
Total | Defaulted | Originated | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 7 | 2 | 12 |
Recorded Investment, At modification | 1,251,000 | 371,000 | 3,335,000 |
Total | Defaulted | Acquired | |||
Troubled Debt Restructured Loans and Leases | |||
Number of loans | 1 | 1 | 0 |
Recorded Investment, At modification | $419,000 | $1,335,000 | $0 |
Premises_and_Equipment_Details
Premises and Equipment (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Premises and Equipment | |||
Premises and Equipment, gross amount | $125,287,000 | $124,925,000 | |
Accumulated depreciation and amortization | 44,668,000 | 44,420,000 | |
Total premises and equipment | 80,619,000 | 80,505,000 | |
Depreciation and amortization expense | 7,000,000 | 6,300,000 | 3,700,000 |
Land | |||
Premises and Equipment | |||
Premises and Equipment, gross amount | 7,562,000 | 7,481,000 | |
Office building and improvements | |||
Premises and Equipment | |||
Premises and Equipment, gross amount | 78,461,000 | 75,271,000 | |
Furniture, fixtures and equipment | |||
Premises and Equipment | |||
Premises and Equipment, gross amount | 12,224,000 | 20,707,000 | |
Vehicles | |||
Premises and Equipment | |||
Premises and Equipment, gross amount | 144,000 | 212,000 | |
Computer equipment | |||
Premises and Equipment | |||
Premises and Equipment, gross amount | 8,400,000 | 4,715,000 | |
Estimated useful life | 3 years | 3 years | |
Core processing system and software | |||
Premises and Equipment | |||
Premises and Equipment, gross amount | $18,496,000 | $16,539,000 | |
Minimum | Office building and improvements | |||
Premises and Equipment | |||
Estimated useful life | 10 years | 10 years | |
Minimum | Furniture, fixtures and equipment | |||
Premises and Equipment | |||
Estimated useful life | 5 years | 5 years | |
Minimum | Vehicles | |||
Premises and Equipment | |||
Estimated useful life | 3 years | 3 years | |
Minimum | Core processing system and software | |||
Premises and Equipment | |||
Estimated useful life | 3 years | 3 years | |
Maximum | Office building and improvements | |||
Premises and Equipment | |||
Estimated useful life | 40 years | 40 years | |
Maximum | Furniture, fixtures and equipment | |||
Premises and Equipment | |||
Estimated useful life | 25 years | 25 years | |
Maximum | Vehicles | |||
Premises and Equipment | |||
Estimated useful life | 10 years | 10 years | |
Maximum | Core processing system and software | |||
Premises and Equipment | |||
Estimated useful life | 7 years 6 months | 7 years 6 months |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Goodwill [Roll Forward] | |||
Balance at beginning of year | $137,890 | $137,890 | $45,799 |
Additions | 0 | 0 | 93,145 |
Adjustments to original goodwill | 0 | 0 | -1,054 |
Goodwill balance at end of period | $137,890 | $137,890 | $137,890 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets (Details 2) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Other intangibe assets: | |||
Gross amount | $39,782,000 | $39,782,000 | |
Accumulated amortization | 26,238,000 | 22,895,000 | |
Carrying Amount | 13,544,000 | 16,887,000 | |
Impairment losses relating to other acquisition-related intangible assets | 0 | 0 | 0 |
Core deposit intangible | |||
Other intangibe assets: | |||
Gross amount | 36,172,000 | 36,172,000 | |
Accumulated amortization | 23,717,000 | 20,395,000 | |
Carrying Amount | 12,455,000 | 15,777,000 | |
Weighted-average amortization period | 11 years | ||
Trade name | |||
Other intangibe assets: | |||
Gross amount | 1,600,000 | 1,600,000 | |
Accumulated amortization | 511,000 | 511,000 | |
Carrying Amount | 1,089,000 | 1,089,000 | |
Trust Relationship | |||
Other intangibe assets: | |||
Gross amount | 1,568,000 | 1,568,000 | |
Accumulated amortization | 1,568,000 | 1,547,000 | |
Carrying Amount | 0 | 21,000 | |
Weighted-average amortization period | 1 year | ||
Other intangible | |||
Other intangibe assets: | |||
Gross amount | 442,000 | 442,000 | |
Accumulated amortization | 442,000 | 442,000 | |
Carrying Amount | $0 | $0 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets (Details 3) (Trade Names [Member], USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Trade Names [Member] | |
Indefinite-lived Intangible Assets [Line Items] | |
Indefinite-lived intangible assets | $1.10 |
Goodwill_and_Other_Intangible_5
Goodwill and Other Intangible Assets (Details 4) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2015 | $2,911 |
2016 | 2,500 |
2017 | 2,089 |
2018 | 1,669 |
2019 | 1,295 |
Thereafter | 1,991 |
Carrying amount | $12,455 |
Other_Assets_Details
Other Assets (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
BankRI | |||
Other Assets | |||
Number of policies owned | 9 | 9 | |
Net cash surrender value | $35.80 | $34.70 | |
First Ipswich Bancorp: | |||
Other Assets | |||
Number of policies owned | 2 | 2 | |
Net cash surrender value | 0.7 | 0.7 | |
Other non-interest income | |||
Other Assets | |||
Tax exempt BOLI income | $1.10 | $1.10 | $1.20 |
Other_Assets_Details_2
Other Assets (Details 2) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
project | |||
Investment in housing programs | |||
Investments in affordable housing projects included in other assets | $79,411,000 | $77,180,000 | |
Unfunded commitments related to affordable housing projects included in other liabilities | 1,300,000 | 1,000,000 | 700,000 |
Affordable housing project | |||
Investment in housing programs | |||
Number of investments | 8 | ||
Number of investments acquired during period | 1 | ||
Payments to acquire investments | 2,100,000 | ||
Maximum percentage of outstanding equity interest that can be invested by the entity in any single project | 50.00% | ||
Investments in affordable housing projects included in other assets | 10,131,000 | 10,301,000 | 9,167,000 |
Unfunded commitments related to affordable housing projects included in other liabilities | 2,608,000 | 2,904,000 | 4,291,000 |
Loss from investments in affordable housing projects | 2,060,000 | 1,812,000 | 694,000 |
Reduction in tax expense due to affordable housing tax credits | $1,431,000 | $1,058,000 | $806,000 |
Deposits_Details
Deposits (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Banking and Thrift [Abstract] | |||
Demand checking accounts | $726,118,000 | $707,023,000 | |
NOW accounts | 235,063,000 | 210,602,000 | |
Savings accounts | 531,727,000 | 494,734,000 | |
Money market accounts | 1,518,490,000 | 1,487,979,000 | |
Total core deposit accounts | 3,011,398,000 | 2,900,338,000 | |
Certificate of deposit accounts maturing: | |||
Within six months | 363,258,000 | 381,986,000 | |
After six months but within 1 year | 258,379,000 | 312,005,000 | |
After 1 year but within 2 years | 232,658,000 | 141,518,000 | |
After 2 years but within 3 years | 36,685,000 | 45,965,000 | |
After 3 years but within 4 years | 24,059,000 | 26,046,000 | |
After 4 years but within 5 years | 31,630,000 | 26,810,000 | |
After 5 years | 39,000 | 338,000 | |
Total certificate of deposit accounts | 946,708,000 | 934,668,000 | |
Total deposits | 3,958,106,000 | 3,835,006,000 | |
Weighted Average Rate of deposit accounts | |||
Demand checking accounts (as a percent) | 0.00% | 0.00% | |
NOW accounts (as a percent) | 0.07% | 0.07% | |
Savings accounts (as a percent) | 0.21% | 0.25% | |
Money market savings accounts (as a percent) | 0.52% | 0.54% | |
Total transaction deposit accounts (as a percent) | 0.31% | 0.32% | |
Weighted Average Rate of certificate of deposit accounts maturing: | |||
Within six months (as a percent) | 0.70% | 0.72% | |
After six months but within 1 year (as a percent) | 0.72% | 0.82% | |
After 1 year but within 2 years (as a percent) | 1.08% | 1.09% | |
After 2 years but within 3 years (as a percent) | 1.49% | 1.91% | |
After 3 years but within 4 years (as a percent) | 1.32% | 1.65% | |
After 4 years but within 5 years (as a percent) | 1.75% | 1.33% | |
After 5 years (as a percent) | 1.34% | 1.15% | |
Total certificate of deposit accounts (as a percent) | 0.88% | 0.91% | |
Total of weighted average rate of deposits (as a percent) | 0.44% | 0.47% | |
Threshold for disclosure of time deposit issued amounts | 250,000 | 250,000 | |
Time Deposits, $100,000 or More | 222,200,000 | 143,700,000 | |
Interest-bearing deposits: | |||
NOW accounts | 171,000 | 173,000 | 209,000 |
Savings accounts | 1,197,000 | 1,288,000 | 1,726,000 |
Money market accounts | 7,846,000 | 8,220,000 | 8,773,000 |
Certificate of deposit accounts | 7,846,000 | 9,092,000 | 10,724,000 |
Total interest-bearing deposits | 17,060,000 | 18,773,000 | 21,432,000 |
Related party deposits | 16,100,000 | 11,100,000 | |
Deposits pledged as collateral | $93,000,000 | $62,400,000 |
Borrowed_Funds_Details
Borrowed Funds (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Borrowed funds | |||
Total borrowed funds | $1,126,404,000 | $812,555,000 | |
Total interest expense on borrowed funds | 12,354,000 | 11,393,000 | 14,400,000 |
Securities available-for-sale and loans pledged as collateral | 2,100,000,000 | 1,600,000,000 | |
FHLBB advances | |||
Borrowed funds | |||
Total borrowed funds | 1,004,026,000 | 768,773,000 | |
Total interest expense on borrowed funds | 10,535,000 | 10,886,000 | 13,685,000 |
Subordinated debenture | |||
Borrowed funds | |||
Total borrowed funds | 82,763,000 | 9,163,000 | |
Total interest expense on borrowed funds | 1,740,000 | 439,000 | 578,000 |
Other borrowed funds | |||
Borrowed funds | |||
Total borrowed funds | 39,615,000 | 34,619,000 | |
Total interest expense on borrowed funds | $79,000 | $68,000 | $137,000 |
Borrowed_Funds_Details_2
Borrowed Funds (Details 2) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Amount | ||
Within 1 year | $583,000,000 | $186,035,000 |
Over 1 year to 2 years | 217,054,000 | 283,000,000 |
Over 2 years to 3 years | 145,326,000 | 92,971,000 |
Over 3 years to 4 years | 36,550,000 | 147,198,000 |
Over 4 years to 5 years | 5,416,000 | 36,625,000 |
Over 5 years | 16,680,000 | 22,944,000 |
Total | 1,004,026,000 | 768,773,000 |
Callable Amount | ||
Within 1 year | 0 | 0 |
Over 1 year to 2 years | 31,353,000 | 0 |
Over 2 years to 3 years | 116,828,000 | 32,094,000 |
Over 3 years to 4 years | 10,054,000 | 118,698,000 |
Over 4 years to 5 years | 0 | 10,071,000 |
Over 5 years | 0 | 0 |
Total | 158,235,000 | 160,863,000 |
Weighted Average Rate | ||
Within 1 year (as a percent) | 0.52% | 0.71% |
Over 1 year to 2 years (as a percent) | 0.89% | 0.79% |
Over 2 years to 3 years (as a percent) | 2.43% | 2.45% |
Over 3 years to 4 years (as a percent) | 2.46% | 3.86% |
Over 4 years to 5 years (as a percent) | 2.21% | 2.51% |
Over 5 years (as a percent) | 4.18% | 3.70% |
Weighted average interest rate of total advances from the FHLB (as a percent) | 1.02% | 1.71% |
Total available borrowing capacity from Federal Home Loan Bank | 300,000,000 | |
Qualifying collateral available for Federal Home Loan Bank borrowings | 1,900,000,000 | |
Outstanding at end of year | 1,126,404,000 | 812,555,000 |
Repurchase agreements | ||
Weighted Average Rate | ||
Outstanding at end of year | 39,633,000 | 34,619,000 |
Average outstanding for the year | 28,724,000 | 38,784,000 |
Maximum outstanding at any month-end | $39,633,000 | $48,544,000 |
Weighted average rate at end of year | 0.16% | 0.17% |
Weighted average rate paid for the year | 0.28% | 0.18% |
Borrowed_Funds_Details_3
Borrowed Funds (Details 3) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | |
Jan. 02, 2012 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Sep. 15, 2014 | |
debenture | debenture | ||||
Borrowed funds | |||||
Number of subordinated debentures | 3 | ||||
Number of subordinated debentures called | 1 | ||||
Subordinated debenture called | $3,000,000 | ||||
Total borrowed funds | 1,126,404,000 | 812,555,000 | |||
Subordinated debenture maturing June 26, 2033 | |||||
Borrowed funds | |||||
Total borrowed funds | 4,696,000 | 4,666,000 | |||
Subordinated debenture maturing June 26, 2033 | BankRI | |||||
Borrowed funds | |||||
Fair Market Rate at acquisition | 6.45% | ||||
Subordinated debenture maturing March 17, 2034 | |||||
Borrowed funds | |||||
Total borrowed funds | 4,543,000 | 4,497,000 | |||
Subordinated debenture maturing March 17, 2034 | BankRI | |||||
Borrowed funds | |||||
Fair Market Rate at acquisition | 6.45% | ||||
Subordinated debenture maturing September 15, 2029 | |||||
Borrowed funds | |||||
Total borrowed funds | 73,524,000 | ||||
LIBOR | Subordinated debenture maturing June 26, 2033 | |||||
Borrowed funds | |||||
Variable interest rate spread (as a percent) | 3.10% | 3.10% | |||
LIBOR | Subordinated debenture maturing March 17, 2034 | |||||
Borrowed funds | |||||
Variable interest rate spread (as a percent) | 2.79% | 2.79% | |||
Interest rate period 1 | Subordinated debenture maturing September 15, 2029 | |||||
Borrowed funds | |||||
Fixed interest rate | 6.00% | ||||
Interest rate period 2 | LIBOR | Subordinated debenture maturing September 15, 2029 | |||||
Borrowed funds | |||||
Variable interest rate spread (as a percent) | 3.32% | ||||
Subordinated debenture | Subordinated debenture maturing September 15, 2029 | |||||
Borrowed funds | |||||
Principal amount | 75,000,000 | ||||
Capitalized financing costs | 1,500,000 | ||||
Subordinated debenture | Interest rate period 1 | Subordinated debenture maturing September 15, 2029 | |||||
Borrowed funds | |||||
Fixed interest rate | 6.00% | ||||
Subordinated debenture | Interest rate period 2 | LIBOR | Subordinated debenture maturing September 15, 2029 | |||||
Borrowed funds | |||||
Variable interest rate spread (as a percent) | 3.32% |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Loan commitments | ||
Unadvanced portion of loans and leases | $629,351,000 | $586,279,000 |
Unused lines of credit: | ||
Home equity | 239,240,000 | 205,665,000 |
Other consumer | 10,876,000 | 6,503,000 |
Other commercial | 728,000 | 1,035,000 |
Unused letters of credit: | ||
Financial standby letters of credit | 16,762,000 | 20,410,000 |
Performance standby letters of credit | 3,126,000 | 2,989,000 |
Commercial and similar letters of credit | 50,000 | 440,000 |
Back-to-back interest rate swaps | 109,362,000 | 22,418,000 |
Unfunded credit commitments liability | 1,300,000 | 700,000 |
Fair value of interest rate swap assets | 2,700,000 | 800,000 |
Fair value of interest rate swap liabilities | 2,700,000 | 900,000 |
Commercial real estate | ||
Loan commitments | ||
Commitments to originate loans and leases | 107,179,000 | 48,973,000 |
Commercial | ||
Loan commitments | ||
Commitments to originate loans and leases | 102,353,000 | 143,252,000 |
Residential mortgage | ||
Loan commitments | ||
Commitments to originate loans and leases | $20,520,000 | $8,027,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Details 2) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Summary of future minimum rental payments under noncancellable operating leases year ending December 31 | |||
2015 | $5,494,000 | ||
2016 | 5,354,000 | ||
2017 | 4,831,000 | ||
2018 | 4,275,000 | ||
2019 | 3,361,000 | ||
Thereafter | 12,266,000 | ||
Total | 35,581,000 | ||
Total rental expense | 6,500,000 | 5,200,000 | 4,500,000 |
Lease acceleration related to relocation | 800,000 | ||
Rental income | $400,000 | $300,000 | |
Minimum | |||
Operating Leased Assets [Line Items] | |||
Term of operating lease | 5 years | ||
Maximum | |||
Operating Leased Assets [Line Items] | |||
Term of operating lease | 20 years |
Earnings_per_Share_Details
Earnings per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share [Abstract] | |||||||||||
Net income | $42,765 | $35,386 | $37,142 | ||||||||
Weighted average shares outstanding | 70,024,495 | 69,989,909 | 69,886,576 | 69,875,473 | 69,862,175 | 69,830,953 | 69,774,703 | 69,762,784 | 69,945,028 | 69,808,164 | 69,702,417 |
Effect of dilutive securities (in shares) | 109,787 | 75,760 | 43,839 | ||||||||
Adjusted weighted average shares outstanding | 70,130,243 | 70,088,987 | 70,012,377 | 69,983,999 | 69,951,683 | 69,913,765 | 69,833,541 | 69,830,630 | 70,054,815 | 69,883,924 | 69,746,256 |
Basic EPS (in dollars per share) | $0.15 | $0.17 | $0.14 | $0.15 | $0.11 | $0.14 | $0.14 | $0.13 | $0.61 | $0.51 | $0.53 |
Diluted EPS (in dollars per share) | $0.15 | $0.17 | $0.14 | $0.15 | $0.11 | $0.13 | $0.14 | $0.13 | $0.61 | $0.51 | $0.53 |
Earnings_per_Share_Details_2
Earnings per Share (Details 2) (Bancorp Rhode Island, Inc.) | 0 Months Ended | |
In Millions, unless otherwise specified | Jan. 02, 2012 | Jan. 03, 2012 |
Bancorp Rhode Island, Inc. | ||
Acquisitions | ||
Shares of common stock issued as partial consideration for acquisition | 11 | 11 |
Comprehensive_IncomeLoss_Detai
Comprehensive Income/(Loss) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Changes in accumulated other comprehensive (loss) income by component, net of tax | |||
Balance at the beginning of the period | ($7,915) | $3,483 | $1,963 |
Other comprehensive income (loss) | 6,293 | -11,398 | 1,520 |
Balance at the end of the period | -1,622 | -7,915 | 3,483 |
Investment Securities Available-for-Sale | |||
Changes in accumulated other comprehensive (loss) income by component, net of tax | |||
Balance at the beginning of the period | -8,332 | 3,358 | 1,834 |
Other comprehensive income (loss) | 6,599 | -11,690 | 1,524 |
Balance at the end of the period | -1,733 | -8,332 | 3,358 |
Postretirement Benefits | |||
Changes in accumulated other comprehensive (loss) income by component, net of tax | |||
Balance at the beginning of the period | 417 | 125 | 129 |
Other comprehensive income (loss) | -306 | 292 | -4 |
Balance at the end of the period | $111 | $417 | $125 |
Comprehensive_IncomeLoss_Detai1
Comprehensive Income/(Loss) (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Provision for income taxes | ($6,201) | ($6,779) | ($5,774) | ($5,995) | ($4,325) | ($4,645) | ($5,382) | ($5,129) | ($24,749) | ($19,481) | ($21,341) |
Net income attributable to Brookline Bancorp, Inc. | 42,765 | 35,386 | 37,142 | ||||||||
Investment Securities Available-for-Sale | Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Gain on sales of securities | 65 | 397 | 926 | ||||||||
Provision for income taxes | -23 | -142 | -328 | ||||||||
Net income attributable to Brookline Bancorp, Inc. | $42 | $255 | $598 |
Derivatives_and_Hedging_Activi2
Derivatives and Hedging Activities (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Derivatives and Hedging Activities | ||
Number of interest-rate swaps | 22 | 8 |
Notional amount of interest-rate swaps | $109,362,000 | $22,418,000 |
Asset Derivatives | ||
Asset derivatives | 2,676,000 | 825,000 |
Liability Derivatives | ||
Liability derivatives | 2,714,000 | 856,000 |
Loss Recognized in Income on Derivatives | ||
Estimated net credit risk exposure | 39,300 | 31,200 |
Collateral posted | 3,800,000 | 2,800,000 |
Interest Rate Swap [Member] | ||
Derivatives and Hedging Activities | ||
Notional amount of interest-rate swaps | 109,400,000 | 22,400,000 |
Derivatives not designed as hedging instruments | Interest-rate products | ||
Asset Derivatives | ||
Asset derivatives | 2,676,000 | 825,000 |
Liability Derivatives | ||
Liability derivatives | 2,714,000 | 856,000 |
Loss Recognized in Income on Derivatives | ||
(Loss) gain recognized in income on derivatives | ($8,000) | $32,000 |
Derivatives_and_Hedging_Activi3
Derivatives and Hedging Activities (Details 2) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Asset derivatives | $2,676 | $825 |
Net amounts of assets presented in the statement of financial position | 2,676 | 825 |
Gross amounts not offset in the statement of financial position | ||
Net amount | 2,676 | 825 |
Liability derivatives | 2,714 | 856 |
Net amounts of liabilities presented in the statement of financial position | 2,714 | 856 |
Gross amounts not offset in the statement of financial position | ||
Cash collateral received | 3,839 | 2,811 |
Net amount | $6,553 | $3,667 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current provision: | |||||||||||
Federal | $19,329 | $12,799 | $15,558 | ||||||||
State | 5,240 | 4,238 | 5,120 | ||||||||
Total current provision | 24,569 | 17,037 | 20,678 | ||||||||
Deferred provision (benefit): | |||||||||||
Federal | 289 | 2,572 | 389 | ||||||||
State | -109 | -128 | 274 | ||||||||
Total deferred provision | 180 | 2,444 | 663 | ||||||||
Total provision for income taxes | $6,201 | $6,779 | $5,774 | $5,995 | $4,325 | $4,645 | $5,382 | $5,129 | $24,749 | $19,481 | $21,341 |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||||||||||
Statutory U.S federal income tax rate (as a percent) | 35.00% | 35.00% | 35.00% | ||||||||
Reconciliation of income tax expense | |||||||||||
Expected income tax expense at statutory federal tax rate | $24,343 | $19,830 | $20,899 | ||||||||
State taxes, net of federal income tax benefit | 3,338 | 2,673 | 3,506 | ||||||||
Bank-owned life insurance | -369 | -383 | -409 | ||||||||
Tax-exempt interest income | -341 | -310 | -216 | ||||||||
Non-deductible acquisition and other expenses | 0 | 0 | 617 | ||||||||
Income attributable to noncontrolling interest in subsidiary | -831 | -768 | -560 | ||||||||
Tax creditbpremises and equipment | 0 | -453 | -1,593 | ||||||||
Tax credits from investments in affordable housing projects | -1,431 | -1,058 | -806 | ||||||||
Other, net | 40 | -50 | -97 | ||||||||
Total provision for income taxes | $6,201 | $6,779 | $5,774 | $5,995 | $4,325 | $4,645 | $5,382 | $5,129 | $24,749 | $19,481 | $21,341 |
Effective income tax rate ( as a percent) | 35.60% | 34.40% | 35.70% |
Income_Taxes_Details_3
Income Taxes (Details 3) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Deferred tax assets: | ||
Allowance for credit losses | $21,770,000 | $19,754,000 |
Acquisition fair value adjustments | 3,066,000 | 7,430,000 |
Unrealized loss on investment securities available-for-sale | 1,086,000 | 5,119,000 |
Retirement and postretirement benefits | 4,794,000 | 4,159,000 |
Deferred compensation | 3,686,000 | 1,989,000 |
Net operating loss and contribution carryovers | 1,614,000 | 1,922,000 |
Nonaccrual interest | 814,000 | 878,000 |
Restricted stock and stock option plans | 708,000 | 726,000 |
Write-downs of investment securities | 0 | 442,000 |
Accrued expenses | 407,000 | 375,000 |
Alternative minimum tax credits | 31,000 | 31,000 |
Other | 63,000 | 33,000 |
Total gross deferred tax assets | 38,039,000 | 42,858,000 |
Deferred tax liabilities: | ||
Identified intangible assets and goodwill | 6,311,000 | 7,322,000 |
Depreciation | 2,740,000 | 2,619,000 |
Deferred loan origination costs, net | 930,000 | 734,000 |
Investments in affordable housing projects | 257,000 | 205,000 |
Unrecognized gain relating to postretirement obligation | 70,000 | 268,000 |
Other | 44,000 | 0 |
Total gross deferred tax liabilities | 10,352,000 | 11,148,000 |
Net deferred tax asset | 27,687,000 | 31,710,000 |
Net operating loss carryforwards for U.S. federal income tax purposes | 4,600,000 | |
Alternative minimum tax credit carryforwards for U.S. federal income tax purpose | 31,000 | |
Net operating loss carryforwards and credit subject to annual limitation | 879,000 | |
Reserve for loan losses | 1,800,000 | |
Percentage of the amount the used reserve for loan losses would be subject to taxation, if, the reserve is used for purposes other than to absorb the losses for which it was established | 150.00% | |
Amount of liability that would result if 100% of the reserve were recaptured on which no provision has been made | $750,000 | |
Reserve for loan losses recaptured (as a percent) | 100.00% |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Oct. 29, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Equity [Abstract] | ||||
Authorized serial preferred stock | 50,000,000 | |||
Serial preferred stock, par value (in dollars per share) | $0.01 | |||
Preferred stock issued | 0 | |||
Number of shares repurchased | 0 | 0 | 0 | |
Stock repurchase program, authorized amount | $10 | |||
Stock repurchase program, period | 14 months | |||
Liquidation account, total | $18.40 | $20.60 | $22.30 |
Regulatory_Capital_Requirement2
Regulatory Capital Requirements (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Stockholders' equity reconciliation | ||
Stockholders' equity | $640,750 | $613,867 |
Minority interest | 4,787 | 4,304 |
Trust preferred subordinated debenture | 9,239 | 9,163 |
Disallowed goodwill and intangible assets | -151,434 | -154,777 |
Net unrealized loss on available-for-sale equity securities | 0 | 0 |
Net unrealized losses on available-for-sale securities | 1,733 | 8,326 |
Accumulated net gains on postretirement benefits | -111 | -411 |
Tier 1 capital | 504,964 | 480,472 |
Allowance for credit losses not to exceed 1.25% of risk-weighted assets | 54,933 | 49,510 |
Unrealized gains on available-for-sale equity securities | 0 | 0 |
Subordinated notes | 73,524 | 0 |
Total risk-based capital | 633,421 | 529,982 |
Percentage of adjusted total assets required for calculation of allowance for loan losses | 1.25% | 1.25% |
Bank actual capital amount | ||
Tier 1 leverage capital | 504,964 | 480,472 |
Risk-based capital: | ||
Tier 1 | 504,964 | 480,472 |
Total risk-based capital | 633,421 | 529,982 |
Bank actual capital ratio | ||
Tier 1 leverage capital ratio (as a percent) | 9.01% | 9.36% |
Risk-based capital: | ||
Tier 1 (as a percent) | 10.55% | 11.01% |
Total (as a percent) | 13.24% | 12.15% |
Minimum capital adequacy amount | ||
Tier 1 leverage capital | 224,179 | 205,330 |
Risk-based capital: | ||
Tier 1 | 191,456 | 174,558 |
Total | 382,732 | 348,959 |
Minimum capital adequacy ratio | ||
Tier 1 leverage capital ratio (as a percent) | 4.00% | 4.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 4.00% | 4.00% |
Total (as a percent) | 8.00% | 8.00% |
Classified as well capitalized ratio | ||
Tier 1 leverage capital ratio (as a percent) | 5.00% | |
Risk-based capital: | ||
Tier 1 (as a percent) | 6.00% | |
Total (as a percent) | 10.00% | |
Brookline Bank | ||
Stockholders' equity reconciliation | ||
Stockholders' equity | 339,155 | 301,291 |
Minority interest | 4,787 | 4,304 |
Trust preferred subordinated debenture | 0 | 0 |
Disallowed goodwill and intangible assets | -7,626 | -7,647 |
Net unrealized loss on available-for-sale equity securities | 0 | 0 |
Net unrealized losses on available-for-sale securities | 308 | 2,285 |
Accumulated net gains on postretirement benefits | -111 | -411 |
Tier 1 capital | 336,513 | 299,822 |
Allowance for credit losses not to exceed 1.25% of risk-weighted assets | 36,799 | 35,926 |
Unrealized gains on available-for-sale equity securities | 0 | 0 |
Subordinated notes | 0 | 0 |
Total risk-based capital | 373,312 | 335,748 |
Bank actual capital amount | ||
Tier 1 leverage capital | 336,513 | 299,822 |
Risk-based capital: | ||
Tier 1 | 336,513 | 299,822 |
Total risk-based capital | 373,312 | 335,748 |
Bank actual capital ratio | ||
Tier 1 leverage capital ratio (as a percent) | 9.60% | 9.37% |
Risk-based capital: | ||
Tier 1 (as a percent) | 10.72% | 10.43% |
Total (as a percent) | 11.90% | 11.69% |
Minimum capital adequacy amount | ||
Tier 1 leverage capital | 140,214 | 127,992 |
Risk-based capital: | ||
Tier 1 | 125,565 | 114,984 |
Total | 250,966 | 229,768 |
Minimum capital adequacy ratio | ||
Tier 1 leverage capital ratio (as a percent) | 4.00% | 4.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 4.00% | 4.00% |
Total (as a percent) | 8.00% | 8.00% |
Classified as well capitalized | ||
Tier 1 leverage capital | 175,267 | 159,990 |
Risk-based capital: | ||
Tier 1 | 188,347 | 172,477 |
Total | 313,708 | 287,210 |
Classified as well capitalized ratio | ||
Tier 1 leverage capital ratio (as a percent) | 5.00% | 5.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 6.00% | 6.00% |
Total (as a percent) | 10.00% | 10.00% |
BankRI | ||
Stockholders' equity reconciliation | ||
Stockholders' equity | 253,208 | 236,579 |
Minority interest | 0 | 0 |
Trust preferred subordinated debenture | 0 | 0 |
Disallowed goodwill and intangible assets | -103,862 | -106,593 |
Net unrealized loss on available-for-sale equity securities | 0 | 0 |
Net unrealized losses on available-for-sale securities | 1,057 | 4,918 |
Accumulated net gains on postretirement benefits | 0 | 0 |
Tier 1 capital | 150,403 | 134,904 |
Allowance for credit losses not to exceed 1.25% of risk-weighted assets | 15,721 | 10,936 |
Unrealized gains on available-for-sale equity securities | 11 | 7 |
Subordinated notes | 0 | 0 |
Total risk-based capital | 166,135 | 145,847 |
Bank actual capital amount | ||
Tier 1 leverage capital | 150,403 | 134,904 |
Risk-based capital: | ||
Tier 1 | 150,403 | 134,904 |
Total risk-based capital | 166,135 | 145,847 |
Bank actual capital ratio | ||
Tier 1 leverage capital ratio (as a percent) | 8.43% | 8.08% |
Risk-based capital: | ||
Tier 1 (as a percent) | 10.70% | 10.57% |
Total (as a percent) | 11.82% | 11.43% |
Minimum capital adequacy amount | ||
Tier 1 leverage capital | 71,366 | 66,784 |
Risk-based capital: | ||
Tier 1 | 56,225 | 51,052 |
Total | 112,443 | 102,080 |
Minimum capital adequacy ratio | ||
Tier 1 leverage capital ratio (as a percent) | 4.00% | 4.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 4.00% | 4.00% |
Total (as a percent) | 8.00% | 8.00% |
Classified as well capitalized | ||
Tier 1 leverage capital | 89,207 | 83,480 |
Risk-based capital: | ||
Tier 1 | 84,338 | 76,577 |
Total | 140,554 | 127,600 |
Classified as well capitalized ratio | ||
Tier 1 leverage capital ratio (as a percent) | 5.00% | 5.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 6.00% | 6.00% |
Total (as a percent) | 10.00% | 10.00% |
First Ipswich Bancorp: | ||
Stockholders' equity reconciliation | ||
Stockholders' equity | 34,274 | 34,641 |
Minority interest | 0 | 0 |
Trust preferred subordinated debenture | 0 | 0 |
Disallowed goodwill and intangible assets | -4,679 | -5,271 |
Net unrealized loss on available-for-sale equity securities | 0 | -10 |
Net unrealized losses on available-for-sale securities | 367 | 1,075 |
Accumulated net gains on postretirement benefits | 0 | 0 |
Tier 1 capital | 29,962 | 30,435 |
Allowance for credit losses not to exceed 1.25% of risk-weighted assets | 2,412 | 1,854 |
Unrealized gains on available-for-sale equity securities | 1 | 0 |
Subordinated notes | 0 | 0 |
Total risk-based capital | 32,375 | 32,289 |
Bank actual capital amount | ||
Tier 1 leverage capital | 29,962 | 30,435 |
Risk-based capital: | ||
Tier 1 | 29,962 | 30,435 |
Total risk-based capital | 32,375 | 32,289 |
Bank actual capital ratio | ||
Tier 1 leverage capital ratio (as a percent) | 9.27% | 9.77% |
Risk-based capital: | ||
Tier 1 (as a percent) | 12.40% | 13.57% |
Total (as a percent) | 13.40% | 14.40% |
Minimum capital adequacy amount | ||
Tier 1 leverage capital | 12,929 | 12,461 |
Risk-based capital: | ||
Tier 1 | 9,665 | 8,971 |
Total | 19,328 | 17,938 |
Minimum capital adequacy ratio | ||
Tier 1 leverage capital ratio (as a percent) | 4.00% | 4.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 4.00% | 4.00% |
Total (as a percent) | 8.00% | 8.00% |
Classified as well capitalized | ||
Tier 1 leverage capital | 16,161 | 15,576 |
Risk-based capital: | ||
Tier 1 | 14,498 | 13,457 |
Total | $24,160 | $22,423 |
Classified as well capitalized ratio | ||
Tier 1 leverage capital ratio (as a percent) | 5.00% | 5.00% |
Risk-based capital: | ||
Tier 1 (as a percent) | 6.00% | 6.00% |
Total (as a percent) | 10.00% | 10.00% |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Y | |||
plan | |||
H | |||
Changes in postretirement benefit obligation recognized in other comprehensive income: | |||
Total pre-tax changes in postretirement benefit obligation recognized in other comprehensive income | $498,000 | ($468,000) | $10,000 |
401(k) Plans | |||
Number of 401(k) plans administered | 2 | ||
Minimum employee age required to participate in the plan (in years) | 21 | ||
Minimum number of working hours in a plan year required to participate in the plan | 1,000 | ||
Expense for the company plan contributions | 2,400,000 | 2,000,000 | 1,800,000 |
Accrued liabilities with deferred compensation plan | 300,000 | 400,000 | 500,000 |
401(k) plan 1 | |||
401(k) Plans | |||
Company contribution as percentage of compensation of eligible employees | 5.00% | ||
401(k) plan 2 | |||
401(k) Plans | |||
Company contribution as percentage of compensation of eligible employees | 4.00% | ||
Health Insurance Postretirement Benefit | |||
Net periodic benefit expense: | |||
Service cost | 45,000 | 61,000 | 74,000 |
Interest cost | 47,000 | 47,000 | 55,000 |
Prior service credit | -21,000 | -21,000 | -21,000 |
Actuarial gain | -40,000 | -16,000 | -3,000 |
Net periodic benefit expense | 31,000 | 71,000 | 105,000 |
Changes in postretirement benefit obligation recognized in other comprehensive income: | |||
Net actuarial loss (gain) | -477,000 | 489,000 | 11,000 |
Prior service credit | -21,000 | -21,000 | -21,000 |
Total pre-tax changes in postretirement benefit obligation recognized in other comprehensive income | -498,000 | 468,000 | -10,000 |
Discount rate used to determine the actuarial present value of projected postretirement benefit obligations (as a percent) | 4.00% | 4.90% | 3.95% |
Estimated prior service credit that will be amortized from accumulated other comprehensive income into net periodic benefit cost | 21,000 | ||
Liability for the postretirement benefits included in accrued expenses and other liabilities | 1,600,000 | 1,100,000 | |
Assumed health care trend rates used in 2015 through 2019, high end of range (as a percent) | 7.10% | ||
Assumed health care trend rates used in 2015 through 2019, low end of range (as a percent) | 6.20% | ||
Assumed health care trend rate after 2019 (as a percent) | 4.50% | ||
Effect of 1% change in assumed health care cost trend rates | |||
Effect of 1% increase on total service and interest cost components of net periodic postretirement benefit costs | 21,000 | ||
Effect of 1% decrease on total service and interest cost components of net periodic postretirement benefit costs | -16,000 | ||
Effect of 1% increase on the accumulated postretirement benefit obligation | 378,000 | ||
Effect of 1% decrease on the accumulated postretirement benefit obligation | ($290,000) | ||
Health Insurance Postretirement Benefit | Below age 65 | |||
Changes in postretirement benefit obligation recognized in other comprehensive income: | |||
Actual health care trend that will be used to measure the accumulated postretirement benefit obligation (as a percent) | 6.60% | ||
Actual health care trend used to measure the accumulated postretirement benefit obligation (as a percent) | 2.70% | ||
Health Insurance Postretirement Benefit | Over age 65 | |||
Changes in postretirement benefit obligation recognized in other comprehensive income: | |||
Actual health care trend that will be used to measure the accumulated postretirement benefit obligation (as a percent) | -0.11% | ||
Actual health care trend used to measure the accumulated postretirement benefit obligation (as a percent) | -14.50% |
Employee_Benefit_Plans_Details1
Employee Benefit Plans (Details 2) (Supplemental retirement plan, USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
participant | ||
Supplemental retirement plan | ||
Supplemental Executive Retirement Agreements | ||
Number of participants | 13 | |
Expenses for benefits payable recognized under agreement | $1,900,000 | $600,000 |
Aggregate benefits payable included in accrued expenses and other liabilities | $11,600,000 | $10,100,000 |
Discount rate used to determine the actuarial present value (as a percent) | 4.00% | 5.00% |
Employee_Benefit_Plans_Details2
Employee Benefit Plans (Details 3) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-Based Payment Arrangements | |||
Unallocated shares | 251,382 | 291,666 | |
Unallocated shares, aggregate cost | $1,370,000 | $1,590,000 | |
Compensation and employee benefits expense | 496,000 | 230,000 | 242,000 |
Employee Stock Ownership Plan | |||
Share-Based Payment Arrangements | |||
ESOP loan to purchase shares of entity's common stock | 546,986 | ||
Number of years during which quarterly installments are payable | 30 years | ||
Percentage of interest payable per annum on loan obtained by the ESOP | 8.50% | ||
Outstanding balance of loan | 2,000,000 | 2,300,000 | |
Employees vesting rate in ESOP account (as a percent) | 20.00% | ||
Vesting period | 7 years | ||
Unallocated shares | 251,382 | 291,666 | |
Unallocated shares, aggregate cost | 1,300,000 | 1,500,000 | |
Unallocated shares, market value | 2,500,000 | 2,800,000 | |
Compensation and employee benefits expense | $400,000 | $400,000 | $400,000 |
Number of shares committed to be released to eligible employees | 40,284 | 42,252 | 44,292 |
Employee_Benefit_Plans_Details3
Employee Benefit Plans (Details 4) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of share-based compensation plans | 3 | ||
Number of financial institutions defining performance targets | 22 | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Dividends paid on unvested shares recognized as compensation expense | $200,000 | $30,000 | $11,000 |
Restricted Stock Awards Outstanding | |||
Outstanding at beginning of year | 409,068 | ||
Granted | 188,654 | ||
Vested | -124,836 | ||
Forfeited / Canceled | -53,184 | ||
Outstanding at end of year | 419,702 | 409,068 | |
Weighted Average Grant Price per Share | |||
Outstanding at beginning of year (in dollars per share) | $9.29 | ||
Granted (in dollars per share) | $9.01 | ||
Vested (in dollars per share) | $9.25 | ||
Forfeited / Canceled (in dollars per share) | $9.28 | ||
Outstanding at end of year (in dollars per share) | $9.17 | $9.29 | |
Unrecognized compensation cost | 3,850,000 | ||
Weighted average remaining recognition period | 17 months | ||
Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of authorized shares | 1,750,000 | ||
Share-based compensation expense | 1,200,000 | 1,200,000 | 800,000 |
Tax benefits from vested awards | $400,000 | $200,000 | $200,000 |
2003 RRP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of authorized shares | 1,250,000 | ||
2011 Restricted Stock Award Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of authorized shares | 500,000 | ||
Vesting equally over three years | Time-based shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percent of shares in tranche | 50.00% | ||
Award vesting period | 3 years | ||
Award vesting percentage | 33.33% | ||
Vesting after achievement of performance targets | Performance-based shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percent of shares in tranche | 50.00% | ||
Award vesting period | 3 years |
Employee_Benefit_Plans_Details4
Employee Benefit Plans (Details 5) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Stock option activity | |||
Outstanding at the beginning of the period (in shares) | 232,345 | ||
Granted (in shares) | 0 | 0 | 0 |
Exercised (in shares) | 0 | ||
Forfeited/Canceled (in shares) | 0 | ||
Outstanding at the end of the period (in shares) | 232,345 | 232,345 | |
Exercisable at the end of the period (in shares) | 232,345 | ||
Stock Option Activity, Weighted Average Exercise Price | |||
Outstanding at the beginning of the period (in dollars per share) | $10.43 | ||
Granted (in dollars per share) | $0 | ||
Exercised (in dollars per share) | $0 | ||
Forfeited/Canceled (in dollars per share) | $0 | ||
Outstanding at the end of the period (in dollars per share) | $10.43 | $10.43 | |
Exercisable at the end of the period (in dollars per share) | $10.43 | ||
Stock Option Activity, Aggregate Intrinsic Value | |||
Outstanding at the end of the period | $0 | ||
Exercisable at the end of the period | 0 | ||
Stock Option Activity, Weighted Average Contractual Term | |||
Outstanding at the end of the period (in years) | 4 years 8 months 12 days | ||
Exercisable at the end of the period (in years) | 4 years 8 months 12 days | ||
2003 Stock Option Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for award | 2,265,155 | ||
Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercisable period upon happening of a specific event, low end of range (in months) | 3 months | ||
Exercisable period upon happening of a specific event, high end of range (in years) | 5 years | ||
Share-based compensation expense | 0 | 0 | 10,000 |
Dividend equivalent rights | $0 | $0 | 0 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Investment securities available-for-sale | $550,761 | $492,428 |
Interest-rate swaps | 2,676 | 825 |
Liabilities: | ||
Interest-rate swaps | 2,714 | 856 |
Recurring basis | ||
Assets: | ||
Interest-rate swaps | 2,676 | 825 |
Liabilities: | ||
Interest-rate swaps | 2,714 | 856 |
Recurring basis | Investment securities available for sale | ||
Assets: | ||
Investment securities available-for-sale | 550,761 | 492,428 |
Recurring basis | Debt Securities | ||
Assets: | ||
Investment securities available-for-sale | 549,788 | 491,118 |
Recurring basis | GSEs | ||
Assets: | ||
Investment securities available-for-sale | 22,988 | 12,180 |
Recurring basis | GSE CMOs | ||
Assets: | ||
Investment securities available-for-sale | 234,169 | 243,644 |
Recurring basis | GSE MBSs | ||
Assets: | ||
Investment securities available-for-sale | 250,981 | 199,401 |
Recurring basis | Private-label CMO | ||
Assets: | ||
Investment securities available-for-sale | 3,355 | |
Recurring basis | SBA commercial loan asset-backed securities | ||
Assets: | ||
Investment securities available-for-sale | 203 | 243 |
Recurring basis | Auction-rate municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 1,775 | |
Recurring basis | Municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 1,086 | |
Recurring basis | Corporate debt obligations | ||
Assets: | ||
Investment securities available-for-sale | 40,207 | 28,224 |
Recurring basis | Trust preferred securities | ||
Assets: | ||
Investment securities available-for-sale | 1,240 | 1,210 |
Recurring basis | Marketable equity securities | ||
Assets: | ||
Investment securities available-for-sale | 973 | 1,310 |
Recurring basis | Level 1 | ||
Assets: | ||
Interest-rate swaps | 0 | 0 |
Liabilities: | ||
Interest-rate swaps | 0 | 0 |
Recurring basis | Level 1 | Investment securities available for sale | ||
Assets: | ||
Investment securities available-for-sale | 973 | 1,310 |
Recurring basis | Level 1 | Debt Securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | GSEs | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | GSE CMOs | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | GSE MBSs | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | Private-label CMO | ||
Assets: | ||
Investment securities available-for-sale | 0 | |
Recurring basis | Level 1 | SBA commercial loan asset-backed securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | Auction-rate municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 0 | |
Recurring basis | Level 1 | Municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 0 | |
Recurring basis | Level 1 | Corporate debt obligations | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | Trust preferred securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 1 | Marketable equity securities | ||
Assets: | ||
Investment securities available-for-sale | 973 | 1,310 |
Recurring basis | Level 2 | ||
Assets: | ||
Interest-rate swaps | 2,676 | 825 |
Liabilities: | ||
Interest-rate swaps | 2,714 | 856 |
Recurring basis | Level 2 | Investment securities available for sale | ||
Assets: | ||
Investment securities available-for-sale | 549,788 | 489,343 |
Recurring basis | Level 2 | Debt Securities | ||
Assets: | ||
Investment securities available-for-sale | 549,788 | 489,343 |
Recurring basis | Level 2 | GSEs | ||
Assets: | ||
Investment securities available-for-sale | 22,988 | 12,180 |
Recurring basis | Level 2 | GSE CMOs | ||
Assets: | ||
Investment securities available-for-sale | 234,169 | 243,644 |
Recurring basis | Level 2 | GSE MBSs | ||
Assets: | ||
Investment securities available-for-sale | 250,981 | 199,401 |
Recurring basis | Level 2 | Private-label CMO | ||
Assets: | ||
Investment securities available-for-sale | 3,355 | |
Recurring basis | Level 2 | SBA commercial loan asset-backed securities | ||
Assets: | ||
Investment securities available-for-sale | 203 | 243 |
Recurring basis | Level 2 | Auction-rate municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 0 | |
Recurring basis | Level 2 | Municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 1,086 | |
Recurring basis | Level 2 | Corporate debt obligations | ||
Assets: | ||
Investment securities available-for-sale | 40,207 | 28,224 |
Recurring basis | Level 2 | Trust preferred securities | ||
Assets: | ||
Investment securities available-for-sale | 1,240 | 1,210 |
Recurring basis | Level 2 | Marketable equity securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | ||
Assets: | ||
Interest-rate swaps | 0 | 0 |
Liabilities: | ||
Interest-rate swaps | 0 | 0 |
Recurring basis | Level 3 | Investment securities available for sale | ||
Assets: | ||
Investment securities available-for-sale | 0 | 1,775 |
Recurring basis | Level 3 | Debt Securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 1,775 |
Recurring basis | Level 3 | GSEs | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | GSE CMOs | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | GSE MBSs | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | Private-label CMO | ||
Assets: | ||
Investment securities available-for-sale | 0 | |
Recurring basis | Level 3 | SBA commercial loan asset-backed securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | Auction-rate municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 1,775 | |
Recurring basis | Level 3 | Municipal obligations | ||
Assets: | ||
Investment securities available-for-sale | 0 | |
Recurring basis | Level 3 | Corporate debt obligations | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | Trust preferred securities | ||
Assets: | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Level 3 | Marketable equity securities | ||
Assets: | ||
Investment securities available-for-sale | $0 | $0 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments (Details 2) (Investment securities available for sale, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Investment securities available for sale | ||
Reconciliation of assets measured at fair value on a recurring basis | ||
Investment securities available-for-sale, beginning of year | $1,775 | $2,917 |
Investment security sales | -1,658 | 0 |
Principal paydowns and other | 0 | -1,150 |
Total realized losses included in other income | -242 | 0 |
Total unrealized gains included in other comprehensive income | 125 | 8 |
Investment securities available-for-sale, end of year | $0 | $1,775 |
Fair_Value_of_Financial_Instru4
Fair Value of Financial Instruments (Details 3) (Nonrecurring basis, USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | $7,832 | $13,677 |
Level 1 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 0 | 0 |
Level 2 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 503 | 1,001 |
Level 3 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 7,329 | 12,676 |
Collateral-dependent impaired loans and leases | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 6,376 | 12,099 |
Collateral-dependent impaired loans and leases | Level 1 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 0 | 0 |
Collateral-dependent impaired loans and leases | Level 2 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 0 | 0 |
Collateral-dependent impaired loans and leases | Level 3 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 6,376 | 12,099 |
OREO | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 953 | 577 |
OREO | Level 1 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 0 | 0 |
OREO | Level 2 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 0 | 0 |
OREO | Level 3 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 953 | 577 |
Repossessed assets | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 503 | 1,001 |
Repossessed assets | Level 1 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 0 | 0 |
Repossessed assets | Level 2 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | 503 | 1,001 |
Repossessed assets | Level 3 | ||
Fair value of assets and liabilities | ||
Total assets reported at fair value | $0 | $0 |
Fair_Value_of_Financial_Instru5
Fair Value of Financial Instruments (Details 4) (Level 3, Recurring basis, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Auction-rate municipal obligations | Discounted cash flow | ||
Quantitative information for Level 3 Fair Value Measurements Assets | ||
Fair value of assets | 0 | 1,775 |
Auction-rate municipal obligations | Discounted cash flow | Minimum | ||
Quantitative information for Level 3 Fair Value Measurements Assets | ||
Discount rates (as a percent) | 0.00% | 0.00% |
Auction-rate municipal obligations | Discounted cash flow | Maximum | ||
Quantitative information for Level 3 Fair Value Measurements Assets | ||
Discount rates (as a percent) | 5.00% | 5.00% |
Auction-rate municipal obligations | Discounted cash flow | Weighted Average | ||
Quantitative information for Level 3 Fair Value Measurements Assets | ||
Discount rates (as a percent) | 0.00% | 0.00% |
Collateral-dependent impaired loans and leases | Appraisal of collateral | ||
Quantitative information for Level 3 Fair Value Measurements Assets | ||
Fair value of assets | 6,376 | 12,099 |
OREO | Appraisal of collateral | ||
Quantitative information for Level 3 Fair Value Measurements Assets | ||
Fair value of assets | 953 | 577 |
Fair_Value_of_Financial_Instru6
Fair Value of Financial Instruments (Details 5) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financial assets: | ||
Investment securities held-to-maturity | $500 | $500 |
Loans and leases, net | 4,768,948 | 4,313,992 |
Financial liabilities: | ||
Certificates of deposit | 946,708 | 934,668 |
Borrowed funds | 39,615 | 34,619 |
Level 1 | ||
Financial assets: | ||
Investment securities held-to-maturity | 0 | 0 |
Loans held-for-sale | 0 | 0 |
Loans and leases, net | 0 | 0 |
Financial liabilities: | ||
Certificates of deposit | 0 | 0 |
Borrowed funds | 0 | 0 |
Level 2 | ||
Financial assets: | ||
Investment securities held-to-maturity | 0 | 0 |
Loans held-for-sale | 1,537 | 13,372 |
Loans and leases, net | 0 | 0 |
Financial liabilities: | ||
Certificates of deposit | 949,320 | 938,703 |
Borrowed funds | 1,132,940 | 815,910 |
Level 3 | ||
Financial assets: | ||
Investment securities held-to-maturity | 500 | 500 |
Loans held-for-sale | 0 | 0 |
Loans and leases, net | 4,753,605 | 4,552,556 |
Financial liabilities: | ||
Certificates of deposit | 0 | 0 |
Borrowed funds | 0 | 0 |
Carrying Value | ||
Financial assets: | ||
Investment securities held-to-maturity | 500 | 500 |
Loans held-for-sale | 1,537 | 13,372 |
Loans and leases, net | 4,768,948 | 4,313,992 |
Financial liabilities: | ||
Certificates of deposit | 946,708 | 934,668 |
Borrowed funds | 1,126,404 | 812,555 |
Estimated Fair Value | ||
Financial assets: | ||
Investment securities held-to-maturity | 500 | 500 |
Loans held-for-sale | 1,537 | 13,372 |
Loans and leases, net | 4,753,605 | 4,552,556 |
Financial liabilities: | ||
Certificates of deposit | 949,320 | 938,703 |
Borrowed funds | $1,132,940 | $815,910 |
Condensed_Parent_Company_Finan2
Condensed Parent Company Financial Statements (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
ASSETS | ||||||||||||
Cash and due from banks | $36,893 | $37,148 | $36,893 | $37,148 | ||||||||
Short-term investments | 25,830 | 55,357 | 25,830 | 55,357 | ||||||||
Total cash and cash equivalents | 62,723 | 92,505 | 62,723 | 92,505 | 117,097 | |||||||
Restricted equity securities | 74,804 | 66,559 | 74,804 | 66,559 | ||||||||
Premises and equipment, net | 80,619 | 80,505 | 80,619 | 80,505 | ||||||||
Goodwill | 137,890 | 137,890 | 137,890 | 137,890 | 137,890 | 45,799 | ||||||
Other assets | 79,411 | 77,180 | 79,411 | 77,180 | ||||||||
Total assets | 5,799,880 | 5,325,106 | 5,799,880 | 5,325,106 | ||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
Borrowed funds | 1,126,404 | 812,555 | 1,126,404 | 812,555 | ||||||||
Accrued expenses and other liabilities | 61,332 | 51,485 | 61,332 | 51,485 | ||||||||
Total liabilities | 5,154,343 | 4,706,935 | 5,154,343 | 4,706,935 | ||||||||
Stockholders' equity | ||||||||||||
Common stock, $0.01 par value; 200,000,000 shares authorized; 75,744,445 shares issued | 757 | 757 | 757 | 757 | ||||||||
Common stock, par value (in dollars per share) | $0.01 | $0.01 | $0.01 | $0.01 | ||||||||
Common stock, shares authorized | 200,000,000 | 200,000,000 | 200,000,000 | 200,000,000 | ||||||||
Common stock, shares issued | 75,744,445 | 75,744,445 | 75,744,445 | 75,744,445 | ||||||||
Additional paid-in capital | 617,475 | 617,538 | 617,475 | 617,538 | ||||||||
Retained earnings, partially restricted | 83,792 | 64,903 | 83,792 | 64,903 | ||||||||
Accumulated other comprehensive loss | -1,622 | -7,915 | -1,622 | -7,915 | 3,483 | 1,963 | ||||||
Treasury stock, at cost; 5,040,571 shares and 5,171,985 shares, respectively | -58,282 | -59,826 | -58,282 | -59,826 | ||||||||
Treasury stock, shares | 5,040,571 | 5,171,985 | 5,040,571 | 5,171,985 | ||||||||
Unallocated common stock held by ESOP; 251,382 shares and 291,666 shares, respectively | -1,370 | -1,590 | -1,370 | -1,590 | ||||||||
Unallocated common stock held by ESOP, shares | 251,382 | 291,666 | 251,382 | 291,666 | ||||||||
Total Brookline Bancorp, Inc. stockholders' equity | 640,750 | 613,867 | 640,750 | 613,867 | ||||||||
Total liabilities and stockholders' equity | 5,799,880 | 5,325,106 | 5,799,880 | 5,325,106 | ||||||||
Interest and dividend income: | ||||||||||||
Total interest and dividend income | 55,826 | 54,616 | 53,346 | 54,694 | 51,049 | 50,823 | 52,900 | 51,612 | 218,482 | 206,384 | 213,200 | |
Interest expense: | ||||||||||||
Net interest income | 47,576 | 47,324 | 46,434 | 47,734 | 43,774 | 43,412 | 45,363 | 43,669 | 189,068 | 176,218 | 177,368 | |
Non-interest expense: | ||||||||||||
Compensation and employee benefits | 71,801 | 65,261 | 58,830 | |||||||||
Occupancy | 14,294 | 12,616 | 10,611 | |||||||||
Equipment and data processing | 17,020 | 16,899 | 14,540 | |||||||||
Professional services | 5,382 | 5,695 | 12,475 | |||||||||
Other | 31,636 | 31,096 | 30,395 | 32,715 | 30,193 | 28,399 | 29,638 | 29,607 | 10,925 | 11,265 | 11,068 | |
Total non-interest expense | 129,185 | 122,464 | 120,342 | |||||||||
Credit for income taxes | 6,201 | 6,779 | 5,774 | 5,995 | 4,325 | 4,645 | 5,382 | 5,129 | 24,749 | 19,481 | 21,341 | |
Net income attributable to Brookline Bancorp, Inc. | 10,786 | 11,581 | 9,976 | 10,422 | 7,654 | 9,429 | 9,490 | 8,813 | 42,765 | 35,386 | 37,142 | |
Statement of Cash Flows | ||||||||||||
Net income attributable to Brookline Bancorp, Inc. | 10,786 | 11,581 | 9,976 | 10,422 | 7,654 | 9,429 | 9,490 | 8,813 | 42,765 | 35,386 | 37,142 | |
Adjustments to reconcile net income to net cash provided from operating activities: | ||||||||||||
Depreciation of premises and equipment | 7,020 | 6,291 | 3,733 | |||||||||
Amortization of debt issuance costs | 29 | 0 | 0 | |||||||||
Net cash provided from operating activities | 96,738 | 86,060 | 59,311 | |||||||||
Cash flows from investing activities: | ||||||||||||
Acquisitions, net of cash and cash equivalents acquired | 0 | 0 | -89,258 | |||||||||
Monies in escrowbBancorp Rhode Island, Inc. acquisition | 0 | 0 | 112,983 | |||||||||
Purchase of restricted equity securities | -8,245 | -5 | -15,505 | |||||||||
Purchase of premises and equipment | -7,782 | -16,443 | -23,664 | |||||||||
Net cash used for investing activities | -541,607 | -266,848 | -296,821 | |||||||||
Cash flows from financing activities: | ||||||||||||
(Decrease) increase in demand deposit, NOW, savings and money market accounts | 111,060 | 295,020 | 312,644 | |||||||||
Proceeds from issuance of subordinated notes | 73,495 | 0 | 0 | |||||||||
Payment of dividends on common stock | -23,876 | -23,841 | -23,777 | |||||||||
Net cash provided from financing activities | 415,087 | 156,196 | 248,311 | |||||||||
Cash and cash equivalents at beginning of year | 92,505 | 117,097 | 92,505 | 117,097 | 106,296 | |||||||
Cash and cash equivalents at end of year | 62,723 | 92,505 | 62,723 | 92,505 | 117,097 | |||||||
Parent Company | ||||||||||||
ASSETS | ||||||||||||
Cash and due from banks | 3,293 | 12,438 | 3,293 | 12,438 | ||||||||
Short-term investments | 49,008 | 33 | 49,008 | 33 | ||||||||
Total cash and cash equivalents | 52,301 | 12,471 | 52,301 | 12,471 | 4,580 | |||||||
ESOP loan to Brookline Bank | 2,002 | 2,252 | 2,002 | 2,252 | ||||||||
Restricted equity securities | 100 | 100 | 100 | 100 | ||||||||
Premises and equipment, net | 11,026 | 11,850 | 11,026 | 11,850 | ||||||||
Investment in subsidiaries, at equity | 627,463 | 575,375 | 627,463 | 575,375 | ||||||||
Goodwill | 35,267 | 35,267 | 35,267 | 35,267 | ||||||||
Other assets | 4,366 | 6,185 | 4,366 | 6,185 | ||||||||
Total assets | 732,525 | 643,500 | 732,525 | 643,500 | ||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
Borrowed funds | 82,745 | 9,163 | 82,745 | 9,163 | ||||||||
Deferred tax liability | 721 | 1,195 | 721 | 1,195 | ||||||||
Accrued expenses and other liabilities | 8,309 | 19,275 | 8,309 | 19,275 | ||||||||
Total liabilities | 91,775 | 29,633 | 91,775 | 29,633 | ||||||||
Stockholders' equity | ||||||||||||
Common stock, $0.01 par value; 200,000,000 shares authorized; 75,744,445 shares issued | 757 | 757 | 757 | 757 | ||||||||
Common stock, par value (in dollars per share) | $0.01 | $0.01 | $0.01 | $0.01 | ||||||||
Common stock, shares authorized | 200,000,000 | 200,000,000 | 200,000,000 | 200,000,000 | ||||||||
Common stock, shares issued | 75,744,445 | 75,744,445 | 75,744,445 | 75,744,445 | ||||||||
Additional paid-in capital | 617,475 | 617,538 | 617,475 | 617,538 | ||||||||
Retained earnings, partially restricted | 83,792 | 64,903 | 83,792 | 64,903 | ||||||||
Accumulated other comprehensive loss | -1,622 | -7,915 | -1,622 | -7,915 | ||||||||
Treasury stock, at cost; 5,040,571 shares and 5,171,985 shares, respectively | -58,282 | -59,826 | -58,282 | -59,826 | ||||||||
Treasury stock, shares | 5,040,571 | 5,171,985 | 5,040,571 | 5,171,985 | ||||||||
Unallocated common stock held by ESOP; 251,382 shares and 291,666 shares, respectively | -1,370 | -1,590 | -1,370 | -1,590 | ||||||||
Unallocated common stock held by ESOP, shares | 251,382 | 291,666 | 251,382 | 291,666 | ||||||||
Total Brookline Bancorp, Inc. stockholders' equity | 640,750 | 613,867 | 640,750 | 613,867 | ||||||||
Total liabilities and stockholders' equity | 732,525 | 643,500 | 732,525 | 643,500 | ||||||||
Interest and dividend income: | ||||||||||||
Dividend income from subsidiaries | 24,700 | 30,000 | 30,000 | |||||||||
ESOP loan to Brookline Bank | 183 | 205 | 227 | |||||||||
Total interest and dividend income | 24,883 | 30,205 | 30,227 | |||||||||
Interest expense: | ||||||||||||
Borrowed funds | 1,746 | 442 | 589 | |||||||||
Net interest income | 23,137 | 29,763 | 29,638 | |||||||||
Non-interest expense: | ||||||||||||
Compensation and employee benefits | 2,357 | 2,305 | 11,302 | |||||||||
Occupancy | 38 | 16 | 0 | |||||||||
Equipment and data processing | 1,499 | 4,263 | 1,395 | |||||||||
Directors' fees | 656 | 590 | 580 | |||||||||
Franchise taxes | 252 | 223 | 175 | |||||||||
General Insurance Expense | 472 | 352 | 68 | |||||||||
Professional services | -113 | 583 | 2,773 | |||||||||
Other | 751 | 2,040 | 2,420 | |||||||||
Total non-interest expense | 5,912 | 10,372 | 18,713 | |||||||||
Income before income taxes | 17,225 | 19,391 | 10,925 | |||||||||
Credit for income taxes | -2,705 | -4,035 | -7,050 | |||||||||
Income before equity in undistributed income of subsidiaries | 19,930 | 23,426 | 17,975 | |||||||||
Equity in undistributed income of subsidiaries | 22,835 | 11,960 | 19,167 | |||||||||
Net income attributable to Brookline Bancorp, Inc. | 42,765 | 35,386 | 37,142 | |||||||||
Statement of Cash Flows | ||||||||||||
Net income attributable to Brookline Bancorp, Inc. | 42,765 | 35,386 | 37,142 | |||||||||
Adjustments to reconcile net income to net cash provided from operating activities: | ||||||||||||
Equity in undistributed income of subsidiaries | -22,835 | -11,960 | -19,167 | |||||||||
Depreciation of premises and equipment | 2,563 | 1,810 | 355 | |||||||||
Amortization of debt issuance costs | 29 | 0 | 0 | |||||||||
Other operating activities, net | -30,822 | 14,745 | -5,972 | |||||||||
Net cash provided from operating activities | -8,300 | 39,981 | 12,358 | |||||||||
Cash flows from investing activities: | ||||||||||||
Acquisitions, net of cash and cash equivalents acquired | 0 | 0 | -89,258 | |||||||||
Monies in escrowbBancorp Rhode Island, Inc. acquisition | 0 | 0 | 112,983 | |||||||||
Repayment of ESOP loan by Brookline Bank | 250 | 250 | 250 | |||||||||
Purchase of restricted equity securities | 0 | 0 | -100 | |||||||||
Purchase of premises and equipment | -1,739 | -5,458 | -8,557 | |||||||||
Net cash used for investing activities | -1,489 | -5,208 | 15,318 | |||||||||
Cash flows from financing activities: | ||||||||||||
(Decrease) increase in demand deposit, NOW, savings and money market accounts | 0 | -41 | 41 | |||||||||
Proceeds from issuance of subordinated notes | 73,495 | 0 | 0 | |||||||||
Repayment of subordinated debentures | 0 | -3,000 | 0 | |||||||||
Payment of dividends on common stock | -23,876 | -23,841 | -23,777 | |||||||||
Net cash provided from financing activities | 49,619 | -26,882 | -23,736 | |||||||||
Net increase (decrease) in cash and cash equivalents | 39,830 | 7,891 | 3,940 | |||||||||
Cash and cash equivalents at beginning of year | 12,471 | 4,580 | 12,471 | 4,580 | 640 | |||||||
Cash and cash equivalents at end of year | $52,301 | $12,471 | $52,301 | $12,471 | $4,580 |
Quarterly_Results_of_Operation2
Quarterly Results of Operations (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest and dividend income | $55,826 | $54,616 | $53,346 | $54,694 | $51,049 | $50,823 | $52,900 | $51,612 | $218,482 | $206,384 | $213,200 |
Interest expense | 8,250 | 7,292 | 6,912 | 6,960 | 7,275 | 7,411 | 7,537 | 7,943 | 29,414 | 30,166 | 35,832 |
Net interest income | 47,576 | 47,324 | 46,434 | 47,734 | 43,774 | 43,412 | 45,363 | 43,669 | 189,068 | 176,218 | 177,368 |
Provision for credit losses | 1,724 | 2,034 | 2,276 | 2,443 | 3,887 | 2,748 | 2,439 | 1,855 | 8,477 | 10,929 | 15,888 |
Net interest income after provision for credit losses | 45,852 | 45,290 | 44,158 | 45,291 | 39,887 | 40,664 | 42,924 | 41,814 | 180,591 | 165,289 | 161,480 |
Loss from investment in affordable housing projects | -474 | -543 | -539 | -504 | -318 | -558 | -624 | -312 | -2,060 | -1,812 | -694 |
Gain on sales of securities | 78 | 0 | -13 | 0 | 397 | 0 | 0 | 0 | 65 | 397 | 926 |
Gain on sales of loans and leases held-for-sale | 323 | 538 | 54 | 602 | -39 | 149 | 200 | 298 | 1,517 | 608 | 5 |
Other non-interest income | 4,148 | 5,661 | 3,788 | 5,026 | 3,867 | 3,862 | 3,562 | 3,341 | |||
Amortization of identified intangible assets | -827 | -828 | -827 | -861 | -1,127 | -1,154 | -1,177 | -1,165 | -3,343 | -4,623 | -5,622 |
Other non-interest expense | -31,636 | -31,096 | -30,395 | -32,715 | -30,193 | -28,399 | -29,638 | -29,607 | -10,925 | -11,265 | -11,068 |
Income before provision for income taxes | 17,464 | 19,022 | 16,226 | 16,839 | 12,474 | 14,564 | 15,247 | 14,369 | 69,551 | 56,654 | 59,710 |
Provision for income taxes | 6,201 | 6,779 | 5,774 | 5,995 | 4,325 | 4,645 | 5,382 | 5,129 | 24,749 | 19,481 | 21,341 |
Net income before noncontrolling interest in subsidiary | 11,263 | 12,243 | 10,452 | 10,844 | 8,149 | 9,919 | 9,865 | 9,240 | 44,802 | 37,173 | 38,369 |
Less net income attributable to noncontrolling interest in subsidiary | 477 | 662 | 476 | 422 | 495 | 490 | 375 | 427 | 2,037 | 1,787 | 1,227 |
Net income attributable to Brookline Bancorp, Inc. | $10,786 | $11,581 | $9,976 | $10,422 | $7,654 | $9,429 | $9,490 | $8,813 | $42,765 | $35,386 | $37,142 |
Earnings per common share attributable to Brookline Bancorp, Inc.: | |||||||||||
Basic (in dollars per share) | $0.15 | $0.17 | $0.14 | $0.15 | $0.11 | $0.14 | $0.14 | $0.13 | $0.61 | $0.51 | $0.53 |
Diluted (in dollars per share) | $0.15 | $0.17 | $0.14 | $0.15 | $0.11 | $0.13 | $0.14 | $0.13 | $0.61 | $0.51 | $0.53 |
Average common shares outstanding: | |||||||||||
Basic (in shares) | 70,024,495 | 69,989,909 | 69,886,576 | 69,875,473 | 69,862,175 | 69,830,953 | 69,774,703 | 69,762,784 | 69,945,028 | 69,808,164 | 69,702,417 |
Diluted (in shares) | 70,130,243 | 70,088,987 | 70,012,377 | 69,983,999 | 69,951,683 | 69,913,765 | 69,833,541 | 69,830,630 | 70,054,815 | 69,883,924 | 69,746,256 |
Common stock price: | |||||||||||
High (in dollars per share) | $10.15 | $9.51 | $9.63 | $9.70 | $9.58 | $10.08 | $9.14 | $9.39 | |||
Low (in dollars per share) | $8.56 | $8.55 | $8.83 | $8.66 | $8.72 | $8.81 | $8.23 | $8.66 | |||
Dividends paid: | |||||||||||
Per share (in dollars per share) | $0.09 | $0.09 | $0.09 | $0.09 | $0.09 | $0.09 | $0.09 | $0.09 |