Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | Apr. 28, 2017 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | fbp | |
Entity Registrant Name | FIRST BANCORP /PR/ | |
Entity Central Index Key | 1,057,706 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 218,458,532 |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | ||
ASSETS | ||||
Cash and due from banks | $ 414,034 | $ 289,591 | ||
Money market investments: | ||||
Time deposits with other financial institutions | 2,800 | 2,800 | ||
Other short-term investments | 7,288 | 7,294 | ||
Total money market investments | 10,088 | 10,094 | ||
Investment securities available for sale, at fair value: | ||||
Securities pledged that can be repledged | 353,826 | 339,390 | ||
Other investment securities | 1,478,155 | 1,542,530 | ||
Total investment securities available for sale | 1,831,981 | 1,881,920 | ||
Investment securities held to maturity, at amortized cost: | ||||
Securities pledged that can be repledged | 0 | 0 | ||
Other investment securities | 156,049 | 156,190 | ||
Total investment securities held to maturity, fair value of $136,614 (2016- $132,759) | 156,190 | |||
Other equity securities | 38,492 | 42,992 | ||
Loans, net of allowance for loan and lease losses of $203,231 (2016 - $205,603) | 8,619,118 | 8,681,270 | ||
Loans held for sale, at lower of cost or market | 45,906 | 50,006 | ||
Total loans, net | 8,665,024 | 8,731,276 | ||
Premises and equipment, net | 148,339 | 150,828 | ||
Other real estate owned | 137,784 | 137,681 | ||
Accrued interest receivable on loans and investments | 41,136 | 45,453 | ||
Other assets | 447,471 | 476,430 | ||
Total assets | 11,890,398 | 11,922,455 | ||
LIABILITIES | ||||
Non-interest-bearing deposits | 1,581,086 | 1,484,155 | ||
Interest-bearing deposits | 7,276,912 | 7,347,050 | ||
Total deposits | 8,857,998 | 8,831,205 | ||
Securities sold under agreements to repurchase | [2] | 300,000 | [1] | 300,000 |
Advances from the Federal Home Loan Bank (FHLB) | 570,000 | 670,000 | ||
Other borrowings | 216,187 | 216,187 | ||
Accounts payable and other liabilities | 123,196 | 118,820 | ||
Total liabilities | 10,067,381 | 10,136,212 | ||
Preferred stock, authorized 50,000,000 shares: | ||||
Non-cumulative Perpetual Monthly Income Preferred Stock: issued - 22,004,000 shares, outstanding 1,444,146 shares, aggregate liquidation value of $36,104 | 36,104 | 36,104 | ||
Common stock, $0.10 par value, authorized, 2,000,000,000 shares; issued, 219,783,062 shares (2016 - 218,700,394 shares issued) | 21,978 | 21,870 | ||
Less: Treasury stock (at par value) | (135) | (125) | ||
Common stock outstanding, 218,430,573 shares outstanding (2016 - 217,446,205 shares outstanding) | 21,843 | 21,745 | ||
Additional paid-in capital | 932,964 | 931,856 | ||
Retained earnings, includes legal surplus reserve of $52,436 | 855,800 | 830,928 | ||
Accumulated other comprehensive loss , net of tax of $7,752 | (23,694) | (34,390) | ||
Total stockholders' equity | 1,823,017 | 1,786,243 | ||
Total liabilities and stockholders' equity | $ 11,890,398 | $ 11,922,455 | ||
[1] | As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. | |||
[2] | Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. |
Consolidated Statements of Fin3
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Allowance for loan and lease losses | $ 203,231 | $ 205,603 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 22,004,000 | 22,004,000 |
Preferred stock, shares outstanding | 1,444,146 | 1,444,146 |
Preferred stock, liquidation value | $ 36,104 | $ 36,104 |
Common stock, par value | $ 0.1 | $ 0.1 |
Common stock, shares authorized | 2,000,000,000 | 2,000,000,000 |
Common stock, shares issued | 219,783,062 | 218,700,394 |
Common stock, shares outstanding | 218,430,573 | 217,446,205 |
Income tax expense | $ (8,073) | |
Legal Surplus Amount | 52,436 | $ 52,436 |
Held To Maturity Securities Fair Value | 136,614 | 132,759 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Income tax expense | $ 7,752 | $ 7,752 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Interest and dividend income: | ||
Loans | $ 131,442 | $ 137,033 |
Investment securities | 13,302 | 12,725 |
Money market investments | 484 | 1,073 |
Total interest income | 145,228 | 150,831 |
Interest expense: | ||
Deposits | 15,972 | 17,257 |
Securities sold under agreements to repurchase | 2,623 | 5,476 |
Advances from FHLB | 2,122 | 1,471 |
Other borrowings | 1,962 | 1,979 |
Total interest expense | 22,679 | 26,183 |
Net interest income | 122,549 | 124,648 |
Provision for loan and lease losses | 25,442 | 21,053 |
Net interest income after provision for loan and lease losses | 97,107 | 103,595 |
Non-interest income: | ||
Service charges and fees on deposit accounts | 5,790 | 5,800 |
Mortgage banking activities | 3,616 | 4,753 |
Net gain on sale of investments | 0 | 8 |
Other-than-temporary impairment (OTTI) losses on available-for-sale debt securities: | ||
Total other-than-temporary impairment losses | (12,231) | (1,845) |
Portion of other-than-temporary impairment recognized in other comprehensive income (OCI) | 0 | (4,842) |
Net impairment losses on available-for-sale debt securities | (12,231) | (6,687) |
Gain on early extinguishment of debt | 0 | 4,217 |
Insurance commission income | 3,587 | 3,269 |
Other non-interest income | 7,481 | 7,109 |
Total non-interest income | 8,243 | 18,469 |
Non-interest expenses: | ||
Employees' compensation and benefits | 38,653 | 38,435 |
Occupancy and equipment | 14,088 | 14,183 |
Business promotion | 3,281 | 4,003 |
Professional fees | 10,956 | 10,776 |
Taxes, other than income taxes | 3,676 | 3,792 |
Insurance and supervisory fees | 4,909 | 7,343 |
Net loss on real estate owned (REO) and REO operations | 4,076 | 3,206 |
Credit and debit card processing expenses | 2,831 | 3,282 |
Communications | 1,543 | 1,808 |
Other non-interest expenses | 3,869 | 6,169 |
Total non-interest expenses | 87,882 | 92,997 |
Income before income taxes | 17,468 | 29,067 |
Income tax benefit (expense) | 8,073 | (5,723) |
Net income | 25,541 | 23,344 |
Net income attributable to common stockholders | $ 24,872 | $ 23,344 |
Net income per common share: | ||
Basic | $ 0.12 | $ 0.11 |
Diluted | 0.11 | 0.11 |
Dividends declared per common share | $ 0 | $ 0 |
CONSOLIDATED STATEMENTS OF INC5
CONSOLIDATED STATEMENTS OF INCOME (LOSS) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement [Abstract] | ||
Net gain on sale of investments | $ 0 | $ (8) |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net income | $ 25,541 | $ 23,344 |
Available-for-sale debt securities on which an other-than-temporary impairment has been recognized: | ||
Unrealized loss on debt securities on which an other-than-temporary impairment has been recognized | (2,930) | (998) |
Reclassification adjustment for other-than-temporary impairment on debt securities included in net income | 12,231 | 6,687 |
All other unrealized gains and losses on available-for-sale securities: | ||
Reclassification Adjustment for net gain included in net income | 0 | (8) |
All other unrealized holding gains on available-for-sale securities arising during the period | 1,395 | 24,710 |
Income tax expense related to items of other comprehensive income | 0 | 0 |
Other comprehensive income for the period | 10,696 | 30,391 |
Total comprehensive income | $ 36,237 | $ 53,735 |
CONSOLIDATED STATEMENT OF CASH
CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | |
Cash flows from operating activities: | ||||||
Net income | $ 25,541 | $ 23,344 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Depreciation and amortization | 4,141 | 4,588 | ||||
Amortization of intangible assets | 1,121 | 1,214 | ||||
Provision for loan and lease losses | 25,442 | 21,053 | ||||
Deferred income tax expense (benefit) | (6,016) | 3,635 | ||||
Stock-based compensation | 1,734 | 1,557 | ||||
Gain on sales of investments | 0 | (8) | ||||
Gain on early extinguishment of debt | 0 | (4,217) | ||||
Other-than-temporary impairments on debt securities | 12,231 | 6,687 | ||||
Unrealized loss (gain) on derivative instruments | 57 | 153 | ||||
Net gain on disposition of premises and equipment and other assets | 9 | 0 | ||||
Net gain on sales of loans | (1,472) | (2,488) | ||||
Net amortization/accretion of premiums, discounts and deferred loan fees and costs | (2,031) | (2,343) | ||||
Originations and purchases of loans held for sale | (81,389) | (107,034) | ||||
Sales and repayments of loans held for sale | 86,924 | 108,615 | ||||
Amortization of broker placement fees | 527 | 858 | ||||
Net amortization/accretion of premium and discounts on investment securities | 461 | 447 | ||||
Decrease in accrued interest receivable | 3,413 | 3,806 | ||||
Increase in accrued interest payable | 174 | 2,257 | ||||
(Increase) decrease in other assets | 5,419 | 3,320 | ||||
(Decrease) increase in other liabilities | 8,517 | (11,167) | ||||
Net cash provided by operating activities | 84,803 | 54,277 | ||||
Cash flows from investing activities: | ||||||
Principal collected on loans | 669,615 | 735,660 | ||||
Loans originated and purchased | (704,175) | (627,105) | ||||
Proceeds from sale of loans held for investment | 53,245 | 0 | ||||
Proceeds from sale of repossessed assets | 12,159 | 12,375 | ||||
Proceeds from sale of available-for-sale securities | 0 | 14,990 | ||||
Purchases of available-for-sale securities | (5,003) | (62,770) | ||||
Proceeds from principal repayments and maturities of available-for-sale securities | 53,830 | 62,418 | ||||
Proceeds from principal repayments and maturities of held-to-maturity securities | 141 | 141 | ||||
Additions to premises and equipment | (2,840) | (3,006) | ||||
Proceeds from sale of premises and equipment and other assets | 637 | 0 | ||||
Net cash outflows from purchase/sale of insurance contracts | 0 | (1,067) | ||||
Net redemptions (purchases) of other equity securities | 4,500 | (141) | ||||
Net cash provided by investing activities | 82,109 | 131,495 | ||||
Cash flows from financing activities: | ||||||
Net increase in deposits | 58,722 | 95,879 | ||||
Net FHLB advances paid | (100,000) | 0 | ||||
Dividends paid on preferred stock | (669) | 0 | ||||
Repurchase of outstanding common stock | (528) | (259) | ||||
Repayment of junior subordinated debentures | 0 | (7,025) | ||||
Net cash used in financing activities | (42,475) | 88,595 | ||||
Net increase in cash and cash equivalents | 124,437 | 274,367 | ||||
Cash and cash equivalents at beginning of period | 299,685 | 752,458 | $ 752,458 | |||
Cash and cash equivalents at end of period | 424,122 | 1,026,825 | 299,685 | |||
Cash and cash equivalents include: | ||||||
Money market instruments | $ 10,088 | $ 10,094 | $ 213,093 | |||
Cash And Due From Banks | 414,034 | 289,591 | 813,732 | |||
Cash and Cash Equivalents, at Carrying Value, Total | $ 424,122 | $ 1,026,825 | $ 299,685 | $ 424,122 | $ 299,685 | $ 1,026,825 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] |
Total stockholders' equity | $ 21,509 | $ 926,348 | $ 737,922 | $ (27,749) | ||
Total stockholders' equity | $ 1,749,167 | $ 36,104 | 21,509 | 926,348 | 761,266 | 2,642 |
Balance at beginning of period at Dec. 31, 2015 | 21,509 | 926,348 | 737,922 | (27,749) | ||
Common stock issued as compensation | 25 | (25) | ||||
Common stock withheld for taxes | (12) | (247) | ||||
Restricted stock grants | 179 | (179) | ||||
Stock-based compensation | 1,557 | |||||
Net income | 23,344 | 23,344 | ||||
Dividends on preferred stock | 0 | 0 | ||||
Other comprehensive income, net of tax | 30,391 | 30,391 | ||||
Balance at end of period at Mar. 31, 2016 | 1,749,167 | 36,104 | 21,701 | 927,454 | 761,266 | 2,642 |
Total stockholders' equity | 1,749,167 | 36,104 | 21,701 | 927,454 | 761,266 | 2,642 |
Total stockholders' equity | 1,786,243 | 21,745 | 931,856 | 830,928 | (34,390) | |
Total stockholders' equity | 1,786,243 | 36,104 | 21,745 | 932,964 | 830,928 | (34,390) |
Balance at beginning of period at Dec. 31, 2016 | 1,786,243 | 21,745 | 931,856 | 830,928 | (34,390) | |
Common stock issued as compensation | 14 | (14) | ||||
Common stock withheld for taxes | (11) | (517) | ||||
Restricted stock grants | 95 | (95) | ||||
Stock-based compensation | 1,734 | |||||
Net income | 25,541 | 25,541 | ||||
Dividends on preferred stock | (669) | (669) | ||||
Other comprehensive income, net of tax | 10,696 | 10,696 | ||||
Balance at end of period at Mar. 31, 2017 | 1,823,017 | 36,104 | 21,843 | 932,964 | 855,800 | (23,694) |
Total stockholders' equity | $ 1,823,017 | $ 36,104 | $ 21,843 | $ 932,964 | $ 855,800 | $ (23,694) |
BASIS OF PRESENTATION AND SIGNI
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2017 | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 – BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES The Consolidated Financial Statements (unaudited) of First BanCorp. (the “Corporation”) have been prepared in conformity with the accounting policies stated in the Corporation’s Audited Consolidated Financial Statements included in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2016 . Certain information and note disclosures normally included in the financial statements prepared in accordance wi th generally accepted accounting principles in the United States of America (“GAAP”) have been condensed or omitted from these statements pursuant to the rules and regulations of the SEC and, accordingly, these financial statements should be read in conju nction with the Audited Consolidated Financial Statements of the Corporation for the year ended December 31, 2016 , which are included in the Corporation’s 2016 Annual Report on Form 10-K. All adjustments (consisting only of normal recurring a djustments) that are, in the opinion of management, necessary for a fair presentation of the statement of financial position, results of operations and cash flows for the interim periods have been reflected. All significant intercompany accounts and transa ctions have been eliminated in consolidation. The results of operations for the quarter ended March 31, 2017 are not necessarily indicative of the results to be expected for the entire year. Adoption of new accounting requirements and recently issued but not yet effective accounting requirements The Financial Accounting Standards Board (“FASB”) has issued the following accounting pronouncements and guidance relevant to the Corporation’s operations: In May 2014, the FASB updated the Accounting Standards Codification (the “Codification” or the “ASC”) to create a new, principle-based revenue recognition framework. The Update is the culmination of efforts by the FASB and the International Accounting Standards Board to develop a common revenue stan dard for GAAP and International Financial Reporting Standards. The core principal of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to w hich the entity expects to be entitled in exchange for those goods or services. This guidance describes a 5-step process that entities can apply to achieve the core principle of revenue recognition and requires disclosures sufficient to enable users of fin ancial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers and the significant judgments used in determining that information. The new framework is effective for public busine ss entities for annual periods beginning after December 15, 2017, including interim periods within those reporting periods, as a result of the FASB’s amendment to the standard to defer the effective date by one year. Early adoption is permitted for interi m periods beginning after December 15, 2016. While the new guidance does not apply to revenue associated with loans or securities, the Corporation has been working to identify the impact on fees and other non-interest revenues within the scope of the new g uidance and assess the related revenues to determine if any accounting or internal control changes will be required for the new provisions. While the Corporation has not yet identified any material changes in the timing of revenue recognition, the Corporat ion review is ongoing. In March 2016, the FASB updated the Codification to simplify certain aspects of the accounting for share-based payment transactions. The main provisions in this Update include: (i) recognition of all tax benefits and tax deficiencies (including tax benefits of dividends on share-base payment awards) as income tax expense or benefit in the income statement, (ii) classification of the excess tax benefit along with other income tax cash flows as an operating activity, (iii) an entity-wide accounting policy election to either estimate the number of awards that are expected to vest (current GAAP) or account for forfeitures when they occur, (iv) a threshold to qualify for equity classi fication which permits withholding up to the maximum statutory tax rate in the applicable jurisdictions, and (v) classification of cash paid by an employer as a financing activity when the payment results from the withholding of shares for tax withholding purposes. For public business entities, the amendments in this Update are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. The Corporation adopted the provisions during the first quarter of 20 17 without any material impact on the Corporation’s consolidated financial statements. In March 2016, the FASB updated the Codification to require an equity method investor to add the cost of acquiring an additional interest in the investee to the current basis of the investor’s previously held interest and adopt the equity method of accounting as of the date the investment becomes qualified for equity method accounting. Therefore, upon qualifying for the equity method of accounting, no retroactive adjustment of the investment is required. Also, this Update requires that an entity that has an available-for sale equity security that becomes qualified for the equity method of accounting recognize through earn ings the unrealized holding gain or loss in accumulated other comprehensive income at the date the investment becomes qualified for use of the equity method. The amendments in this Update are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The amendments should be applied prospectively upon their effective date to increases in the level of ownership interest or degree of influence that result in the adoption of the equity method. Early application is permitted. The adoption of this guidance during the first quarter of 2017 did not have an impact on the Corporation’s consolidated financial statements. In October 2016, the FASB updated the Codification to modify the criteria used by a reporting entity when determining if it is the primary beneficiary of a variable interest entity (“VIE”) when the entities are under common control and the reporting entity has indirect interests in the VIE through related par ties. If the reporting entity meets the first criteria in that it has the power to direct the activities of the VIE that are most significant to its economic performance, it is required to consider all interests held indirectly through related entities on a proportionate basis in determining if it meets the second criterion, that is, the obligation to absorb losses of the VIE, or the right to receive benefits from it that are potentially significant to the VIE. The amendments in this Update are effective fo r public business entities for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The adoption of this guidance did not have an impact o n the Corporation’s consolidated financial statements. In March 2017, the FASB updated the Codification to shorten the amortization period for certain purchased callable debt securities held at a premium. Specifically, the amendments require the prem ium to be amortized to the earliest call date. With respect to securities held at a discount, the amendments do not require an accounting change; thus, the discount continues to be amortized to maturity. Under current GAAP, premiums and discounts on callab le debt securities generally are amortized to the maturity date. An entity must have a large number of similar loans to consider estimates of future principal prepayments when applying the interest method. However, an entity that holds an individual callab le debt security at a premium may not amortize that premium to the earliest call date. If that callable debt security is subsequently called, the entity records a loss equal to the unamortized premium. The amendments in this Update more closely align the a mortization period of premiums and discounts to expectations incorporated in market pricing on the underlying securities. In most cases, market participants price securities to the call date that produces the worst yield when the coupon is above current ma rket rates (that is, the security is trading at a premium) and price securities to maturity when the coupon is below market rates (that is, the security is trading at a discount) in anticipation that the borrower will act in its economic best interest. As a result, the amendments more closely align interest income recorded on bonds held at a premium or a discount with the economics of the underlying instrument. For public business entities, the amendments in this Update are effective for fiscal years, and i nterim periods within those fiscal years, beginning after December 15, 2018. The Corporation is currently evaluating the impact of the adoption of this guidance, if any, on its consolidated financial statements . |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 3 Months Ended |
Mar. 31, 2017 | |
EARNINGS PER COMMON SHARE | NOTE 2 – EARNINGS PER COMMON SHARE The calculations of earnings per common share for the quarters ended on March 31, 2017 and 2016 are as follows: Quarter Ended March 31, March 31, 2017 2016 (In thousands, except per share information) Net income $ 25,541 $ 23,344 Less: Preferred stock dividends (669) - Net income attributable to common stockholders $ 24,872 $ 23,344 Weighted-Average Shares: Average common shares outstanding 213,340 212,348 Average potential dilutive common shares 4,033 926 Average common shares outstanding-assuming dilution 217,373 213,274 Earnings per common share: Basic $ 0.12 $ 0.11 Diluted $ 0.11 $ 0.11 Earnings per common share is computed by dividing net income attributable to common stockholders by the weighted-average number of common shares issued and outstanding. Net income attributable to common stockholders represents net income adjusted for any preferred stock dividends, including any dividends declared, and any cumulative dividends related to the current dividend period that have not been declared as of the end of the period. Basic weighted-average common shares outstanding exclude unvested s hares of restricted stock. Potential common shares consist of common stock issuable under the assumed exercise of stock options, unvested shares of restricted stock, and outstanding warrants using the treasury stock method. This method assumes that the po tential common shares are issued and the proceeds from the exercise, in addition to the amount of compensation cost attributable to future services, are used to purchase common stock at the exercise date. The difference between the numbers of potential sha res issued and the shares purchased is added as incremental shares to the actual number of shares outstanding to compute diluted earnings per share. Stock options, unvested shares of restricted stock, and outstanding warrants that result in lower potential shares issued than shares purchased under the treasury stock method are not included in the computation of dilutive earnings per share since their inclusion would have an antidilutive effect on earnings per share. There were no stock options outstanding a s of March 31, 2017. Stock options not included in the computation of outstanding shares because they were antidilutive amounted to 39,855 as of March 31, 2016. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2017 | |
STOCK-BASED COMPENSATION | NOTE 3 – STOCK-BASED COMPENSATION As of January 21, 2007, the Corporation’s 1997 stock option plan expired and no additional awards could be granted under that plan. A ll outstanding awards granted under this plan continued in full force and effect since then, subject to their original terms. No awards of shares could be granted under the 1997 stock option plan as of its expiration. During the first quarter of 2017 , all of the remaining outstanding awards granted un der the 1997 stock option plan expired. The activity of stock options granted under the 1997 stock option plan for the quarter ended March 31, 2017 is set forth below: Number of Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (In thousands) Beginning of period outstanding and exercisable 34,989 $ 138.00 Options expired (34,989) 138.00 End of period outstanding and exercisable - $ - - $ - On May 2 4 , 20 16 , the Corporation’s stockhol ders approved the amendment and restatement of the First BanCorp. Omnibus Incentive Plan , as amended (the “Omnibus Plan”) , to, among other things, increase the number of shares of common stock reserved for issuance under the Omnibus Plan, to extend the term of the Omnibus Plan to May 24, 2026 and to re-approve the material terms of the performance goals under the Omnibus Plan for purpose of Section 162 (m) of the U.S. Internal Revenue Code of 1986, as amende d. The Omnibus Plan provides for equity-based compensation incentives (the “awards”) through the grant of stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, cash-based awards and other stock-based awards . The Omnibus Plan authorizes the issuance of up to 14 ,169,807 shares of common stock, subject to adjustments for stock splits, reorganizations , and other similar events. As of March 31, 2017, 5,746,508 shares of common stock were available for issuance u nder the omnibus plan. The Corporation’s Board of Directors, upon receiving the relevant recommendation of the Corporation’s Compensation Committee, has the power and authority to determine those eligible to receive awards and to establish the terms and co nditions of any awards , subject to various limits and vesting restrictions that apply to individual and aggregate awards. Under the Omnibus Plan, during the first quarter of 2017, the Corporation awarded 3 ,644 shares of restricted stock that are sub ject to a one year vesting period to a new independent d irector appointed in the first quarter . In addition, during the first quarter of 2017, the Corporation awarded 949,332 shares of restricted stock to employees subject to a vesting period of two years. Included in those 949,332 shares of restricted stock are 838,332 shares granted to certain senior officers consistent with the requirements of the Troubled Asset Relief Program (“TARP”) Interim Final Rule, which permit TARP recipients to grant “long-term restricted stock” without violating the prohibition on paying or accruing a bonus payment provided that: (i) the value of the grant may not exceed one-third of the amount of the employee’s annual compensation, (ii) no portion of the grant may vest before t wo years after the grant date, and (iii) the grant must be subject to a further restriction on transfer or payment as described below. Specifically, the stock that has otherwise vested may not become transferable at any time earlier than as permitted under the schedule set forth by TARP, which is based on the repayment in 25 % increments of the aggregate financial assistance received from the U.S. Treasury. Hence, notwithstanding the vesting period mentioned above, the senior officers covered by TARP are res tricted from transferring the shares. The U.S. Treasury confirmed that, effective March 2014, it has recovered more than 25% of its investment in First BanCorp. Therefore, the restriction s on transfer relating to 25 % of certain shares granted under TARP re quirements have been released. The fair value of the shares of restricted stock granted in the first quarter of 201 7 was based on the market price of the Corporation’s outstanding common stock on the date of the grant. For the 838,332 shares of restr icted stock granted under TARP requirements, the market price was discounted due to TARP transferability restrictions. For purposes of determining the awards’ fair value, the Corporation considered the recent stock price trends and assumed that the U.S. Tr easury would hold the common stock of the Corporation that it currently owns for a period not to exceed two years, resulting in a fair value of $ 2.71 for each share of re stricted stock granted under TARP requirements. Also, the Corporation used empirical d ata to estimate employee terminations; separate groups of employees that have similar historical exercise behavior were considered separately for valuation purposes. The following table summarizes the restricted stock activity in the first quarter of 2017 under the Omnibus Plan for both executive officers covered by TARP requirements and other employees as well as for the independent directors: Quarter Ended March 31, 2017 Number of shares of Weighted-Average restricted Grant Date stock Fair Value Non-vested shares at beginning of period 4,178,791 $ 2.58 Granted 952,976 3.04 Forfeited (6,000) 4.42 Vested (1) (293,019) 4.40 Non-vested shares at March 31, 2017 4,832,748 $ 2.90 (1) Includes 153,864 shares of restricted stock released from TARP restrictions. For the each of the quarter s ended March 31, 2017 and 2016 , the Corporation recognized $ 0.9 million of stock- based compensation expense related to r estricted stock awards. As of March 31, 2017 , there was $ 5.4 million of total unrecognized compensation cost related to non - vested shares of restricted stock. Th e weighted average period over which the Corporation expects to recognize such cost is 1.6 years . During the first quarter of 201 6 , the Corporation awarded 1,785,137 sh ares of restricted stock to employees subject to a vesting period of two years. Included in those 1,785,137 shares of restricted stock are 1,546,137 shares granted to certain senior officers consistent with the requirements of TARP. The employees covered b y TARP are restricted from transferring the shares, subject to certain conditions as explained above. The fair value of the shares of restricted stock granted in the first quarter of 2016 was based on the market price of the Corporation’s outstanding common stock on the date of the grant. For the 1,546,137 shares of restricted stock granted under TARP requirements, the market price was discounted due to the post-vesting restrictions. For purposes of computing the discount, the Corporation estimated an appreciation of 14 % in the value of the common stock using the Capital Asset Pricing Model as a basis of what would be a market participant’s expected return on the Corporation’s stock and assumed that the U.S. Treasury would hold the common stock of the Corporation that it owned as of the date of the grants for a period not to exceed two year s, resulting in a fair value of $ 1.43 for restricted shares granted under TARP requirements. Stock-based compensation accounting guidance requires the Corporati on to reverse compensation expense for any awards that are forfeited due to employee or director turnover. Quarterly changes in the estimated forfeiture rate may have a significant effect on share-based compensation, as the effect of adjusting the rate for all expense amortization is recognized in the period in which the forfeiture estimate is changed. If the actual forfeiture rate is higher than the estimated forfeiture rate, then an adjustment is made to increase the estimated forfeiture rate, which will result in a decrease in the expense recognized in the financial statements. If the actual forfeiture rate is lower than the estimated forfeiture rate, an adjustment is made to decrease the estimated forfeiture rate, which will result in an increase in th e expense recognized in the financial statements. Also, under the Omnibus Plan, effective April 1, 2013, the Corporation’s Board of Directors determined to increase the salary amounts paid to certain executive officers primarily by paying the increa sed salary amounts in the form of shares of the Corporation’s common stock, instead of cash. During the first quarter of 201 7 , the Corporation issued 135,692 shares of common stock (first quarter of 201 6 – 252,841 shares) with a weighted average market val ue of $ 6.31 (first quarter of 201 6 - $ 2 . 70 ) as salary stock compensation. This resulted in a compensation expense of $ 0.8 million recorded in the first quarter of 201 7 (first quarter of 201 6 - $ 0. 7 million). For the quarter ended March 31, 2017, the Corporation withheld 45,710 shares (first quarter of 2016 – 79,954 shares) from the common stock paid to certain senior officers as additional compensation and 52,590 shares of the restricted stock that vested during the first quarter of 2017 (fi rst quarter of 2016 – 35,167 shares) to cover employees’ payroll and income tax withholding liabilities; these shares are held as treasury shares. The Corporation paid any fractional share of salary stock that the officer was entitled to in cash. In the co nsolidated financial statements, the Corporation treats shares withheld for tax purposes as common stock repurchases. |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 3 Months Ended |
Mar. 31, 2017 | |
INVESTMENT SECURITIES | NOTE 4 – INVESTMENT SECURITIES Investment Securities Available for Sale The amortized cost, non-credit loss component of other-than-temporary impairment (“OTTI”) recorded in other comprehensive income (“OCI”) , gross unrealized gains and losses recorded in OCI, approximate fair value, and weighted - average yiel d of investment securities available for sale by contractual maturities as of March 31, 2017 and December 31, 2016 were as follows: March 31, 2017 Amortized cost Noncredit Loss Component of OTTI Recorded in OCI Gross Fair value Weighted-average yield% Unrealized gains losses (Dollars in thousands) U.S. Treasury securities: Due within one year $ 7,502 $ - $ - $ 1 $ 7,501 0.57 Obligations of U.S. government-sponsored agencies: Due within one year 50,000 - - 31 49,969 1.05 After 1 to 5 years 390,440 - 108 2,549 387,999 1.37 After 5 to 10 years 16,943 - 13 258 16,698 1.95 After 10 years 43,345 - 4 188 43,161 1.36 Puerto Rico-government obligations: After 1 to 5 years 10,126 3,776 - - 6,350 - After 10 years 21,059 1,902 58 1,874 17,341 1.89 United States and Puerto Rico government obligations 539,415 5,678 183 4,901 529,019 1.34 Mortgage-backed securities: FHLMC certificates: After 5 to 10 years 22,867 - 78 - 22,945 2.15 After 10 years 286,682 - 360 5,304 281,738 2.16 309,549 - 438 5,304 304,683 2.16 GNMA certificates: After 1 to 5 years 76 - 2 - 78 3.83 After 5 to 10 years 86,431 - 1,728 - 88,159 3.06 After 10 years 118,596 - 8,589 - 127,185 4.36 205,103 - 10,319 - 215,422 3.81 FNMA certificates: Due within one year 98 - 1 - 99 4.48 After 1 to 5 years 20,404 - 476 - 20,880 2.36 After 5 to 10 years 19,785 - - 257 19,528 2.01 After 10 years 668,295 - 4,680 8,558 664,417 2.36 708,582 - 5,157 8,815 704,924 2.35 Collateralized mortgage obligations guaranteed by the FHLMC and GNMA After 5 to 10 years 19,358 - 48 - 19,406 1.63 After 10 years 38,697 - 30 19 38,708 1.65 58,055 - 78 19 58,114 1.64 Other mortgage pass-through trust certificates: After 10 years 26,701 7,393 - - 19,308 2.41 Total mortgage-backed securities 1,307,990 7,393 15,992 14,138 1,302,451 2.50 Other After 1 to 5 years 100 - - - 100 1.50 Equity securities (1) 417 - - 6 411 2.08 Total investment securities available for sale $ 1,847,922 $ 13,071 $ 16,175 $ 19,045 $ 1,831,981 2.15 (1) Equity securities consisted of investment in a Community Reinvestment Act Qualified Investment Fund. December 31, 2016 Amortized cost Noncredit Loss Component of OTTI Recorded in OCI Gross Fair value Weighted-average yield% Unrealized gains losses (Dollars in thousands) U.S. Treasury securities: Due within one year $ 7,508 $ - $ 1 $ - $ 7,509 0.57 Obligations of U.S. government-sponsored agencies: After 1 to 5 years 440,438 - 142 2,912 437,668 1.33 After 5 to 10 years 16,942 - 9 256 16,695 1.91 After 10 years 44,145 - 8 166 43,987 1.12 Puerto Rico government obligations: After 1 to 5 years 21,422 12,222 - - 9,200 - After 10 years 21,245 2,028 73 1,662 17,628 1.86 United States and Puerto Rico government obligations 551,700 14,250 233 4,996 532,687 1.29 Mortgage-backed securities: FHLMC certificates: After 5 to 10 years 5,908 - 72 - 5,980 2.25 After 10 years 314,906 - 261 5,827 309,340 2.17 320,814 - 333 5,827 315,320 2.17 GNMA certificates: After 1 to 5 years 83 - 3 - 86 3.82 After 5 to 10 years 91,744 - 1,635 92 93,287 3.06 After 10 years 123,548 - 9,706 - 133,254 4.36 215,375 - 11,344 92 226,627 3.81 FNMA certificates: Due within one year 152 - 2 - 154 4.71 After 1 to 5 years 24,409 - 435 - 24,844 2.18 After 5 to 10 years 17,181 - - 261 16,920 1.87 After 10 years 690,625 - 4,136 9,406 685,355 2.35 732,367 - 4,573 9,667 727,273 2.33 Collateralized mortgage obligations issued or guaranteed by the FHLMC and GNMA: After 1 to 5 years 19,851 - 4 31 19,824 1.42 After 10 years 39,120 - - 132 38,988 1.44 58,971 - 4 163 58,812 1.43 Other mortgage pass-through trust certificates: After 10 years 28,815 8,122 - - 20,693 2.40 Total mortgage-backed securities 1,356,342 8,122 16,254 15,749 1,348,725 2.49 Other After 1 to 5 years 100 - - - 100 1.50 Equity Securities (1) 415 - - 7 408 2.44 Total investment securities available for sale $ 1,908,557 $ 22,372 $ 16,487 $ 20,752 $ 1,881,920 2.14 (1) Equity securities consisted of investment in a Community Reinvestment Act Qualified Investment Fund. Maturities of mortgage-backed securities are based on contractual terms assuming no prepayments. Expected maturities of investments might differ from contractual maturities because they may be subject to prepayments and/or call options. The weighted- average yield on investment securities available for sale is based on amortized cost and, therefore, does not give effect to changes in fair value. The net unrealized gain or loss on securities available for sale and the non credit loss component of OTTI a re presented as part of OCI. The following tables show the Corporation’s available-for-sale investments’ fair value and gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unre alized loss position, as of March 31, 2017 and December 31, 2016 . The tables also include debt securities for which an OTTI was recognized and only the amount related to a credit loss was recognized in earnings. F or u nrealize d losses for which OTTI was re co gnized, the related credit loss was charged against the amortized cost basis of the debt security. As of March 31, 2017 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico-government obligations $ - $ - $ 19,506 $ 7,552 $ 19,506 $ 7,552 U.S. Treasury and U.S. government agencies obligations 477,100 2,988 6,586 39 483,686 3,027 Mortgage-backed securities: FNMA 530,249 8,815 - - 530,249 8,815 FHLMC 236,864 5,304 - - 236,864 5,304 Collateralized mortgage obligations issued or guaranteed by FHLMC and GNMA 19,102 19 - - 19,102 19 Other mortgage pass-through trust certificates - - 19,308 7,393 19,308 7,393 Equity securities 411 6 - - 411 6 $ 1,263,726 $ 17,132 $ 45,400 $ 14,984 $ 1,309,126 $ 32,116 As of December 31, 2016 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico-government obligations $ - $ - $ 22,609 $ 15,912 $ 22,609 $ 15,912 U.S. Treasury and U.S. government agencies obligations 469,046 3,334 - - 469,046 3,334 Mortgage-backed securities: FNMA 519,008 9,667 - - 519,008 9,667 FHLMC 244,839 5,827 - - 244,839 5,827 GNMA 43,388 92 - - 43,388 92 Collateralized mortgage obligations issued or guaranteed by FHLMC and GNMA 55,309 163 - - 55,309 163 Other mortgage pass-through trust certificates - - 20,693 8,122 20,693 8,122 Equity securities 408 7 - - 408 7 $ 1,331,998 $ 19,090 $ 43,302 $ 24,034 $ 1,375,300 $ 43,124 Assessment for OTTI Debt securities issued by U.S. government agencies, U.S. government-sponsored entities , and the U.S. Treasury accounted for approximately 98 % of the total available-for-sale portfolio as of March 31, 2017 and no credit losses are expected, given the explicit and implicit guarantees provided by the U.S. federal government . The Corporation’s OTTI assessment was concentrated mainly on Puerto Rico government debt securities, with an amortized cost of $ 31.2 mi llion, and on private label mortgage-backed securities (“MBS”) with an amortized cost of $ 26.7 million , for which credit losses are evaluated on a quarterly basis. The Corporation considered the following factors in determining whether a credit loss exist s and the period over which the debt security is expected to recover: The length of time and the extent to which the fair value has been less than the amortized cost basis; Any adverse change to the credit conditions and liquidity of the issuer, taking i nto consideration the latest information available about the financial condition of the issuer, credit ratings, the failure of the issuer to make scheduled principal or interest payments, recent legislation and government actions affecting the issuer’s ind ustry and actions taken by the issuer to deal with the present economic climate; Changes in the near term prospects of the underlying collateral for a security, if any, such as changes in default rates, loss severity given default, and significant changes in prepayment assumptions; and The level of cash flows generated from the underlying collateral, if any, supporting the principal and interest payments of the debt securities. T he Corporation recorded OTTI losses on available-for-sale debt securities as follows: Quarter ended March 31, 2017 2016 (In thousands) Total other-than-temporary impairment losses $ (12,231) $ (1,845) Portion of other-than-temporary impairment recognized in OCI - (4,842) Net impairment losses recognized in earnings (1) $ (12,231) $ (6,687) _________ (1) For the quarters ended March 31, 2017 and 2016, approximately $12.2 million and $6.3 million, respectively, of the credit impairment recognized in earnings consisted of credit losses on Puerto Rico government debt securities. For the quarter ended March 31, 2016, $0.4 million of the credit impairment recognized was associated with credit losses on private label MBS. The following tables summarize the roll-forward of credit losses on debt securities held by the Corporation for which a portion of an OTTI is recognized in OCI: Cumulative OTTI credit losses recognized in earnings on securities still held Credit impairments December 31, recognized in earnings on March 31, 2016 securities that have been 2017 Balance previously impaired Balance (In thousands) Available-for-sale securities Puerto Rico government obligations $ 22,189 $ 12,231 $ 34,420 Private label MBS 6,792 - 6,792 Total OTTI credit losses for available-for-sale debt securities $ 28,981 $ 12,231 $ 41,212 Cumulative OTTI credit losses recognized in earnings on securities still held Credit impairments December 31, recognized in earnings on March 31, 2015 securities that have been 2016 Balance previously impaired Balance (In thousands) Available for sale securities Puerto Rico government obligations $ 15,889 $ 6,300 $ 22,189 Private label MBS 6,405 $ 387 6,792 Total OTTI credit losses for available-for-sale debt securities $ 22,294 $ 6,687 $ 28,981 During the first quarter of 2017, the Corporation recorded a $12.2 million OTTI charge on three Puerto Rico-government debt securities held by the Corporation as part of its available-for-sale securities portfolio, specifically bonds of the GDB maturing on February 1, 2019 and the Puerto Rico Public Buildings Authority maturing on July 1, 2028. During the first quarter of 2017 , the Corporation considered revised estimates of recovery rates based on the latest available information about the Puerto Ri co g overnment’s financial condition, including the downgrade of credit ratings, and the revised fiscal plan published by the Puerto Rico government in March 2017. T he Corporation applied a discounted cash flow analysis to its Puerto Rico g overnment debt se curities in order to calculate the cash flows expected to be collected and to determine if any portion of the decline in market value of these securities was considered a credit-related other-than-temporary impairment. The analysis derives an estimate of value based on the present value of risk-adjusted cash flows of the underlying securities and included the following components: The contractual future cash flows of the bonds are projected based on the key terms as set forth in the official statements fo r each security. Such key terms include, among others, the interest rate, amortization schedule, if any, and maturity date. The risk-adjusted cash flows are calculated based on a probability of default analysis and recovery rate assumptions, including the weighting of different scenarios of ultimate recovery, considering the credit rating of each security. Constant monthly default rates are assumed throughout the life of the bonds, which considers the respective security's credit rating as of the date of th e analysis. The adjusted future cash flows are then discounted at the original effective yield of each investment based on the purchase price and expected risk-adjusted future cash flows as of the purchase date of each investment. The discounted risk-adju sted cash flow analysis for the three Puerto Rico government bonds mentioned above assumed a default probability of 100 % , as these three bonds already defaulted on contractual payments during 2016 . Based on this analysis, the Corporation determined that it is unlikely to receive all the remaining contractual interest and principal amounts when due on these bonds and recorded, in the first quarter of 201 7 , other-than-temporary credit-related impairment charges amounting to $ 12.2 million, assuming recovery ra tes ranging from 15 % to 80 % (weighted average of 41 %). These bonds have been classified as non-performing assets since the third quarter of 2016. As of March 31, 2017, the amortized cost of these bonds was $ 23.2 million ($ 10.1 million of GDB bonds and $ 13.1 million of Puerto Rico Public Buildings Authority bonds), net of $34.4 million in cumulative other-than-temporary credit impairment charges, recorded at their aggregate fair value of $ 17.5 million ($ 6.4 million of GDB bonds and $ 11.2 million of Puerto Rico Public Buildings Authority bonds). The Corporation does not have the intention to sell these securities and has sufficient capital and liquidity to hold these securities until a recovery of the fair value occurs; as such, only the credit loss comp onent was reflected in earnings. Given the significant and prolonged uncertainty of a debt restructuring process, and the recently approved GDB’s fiscal plan that would wind down the GDB’s operations over 10 years, the Corporation cannot be certain that fu ture impairment charges will not be required against these securities. In addition, during the first quarter of 2016, the Corporation recorded a $ 0.4 million credit-related impairment loss associated with private label MBS, which are collateralized b y fixed-rate mortgages on single-family residential properties in the United States. The interest rates on these private-label MBS is variable, tied to 3-month LIBOR and limited to the weighted-average coupon of the underlying collateral. The underlying mo rtgages are fixed-rate, single-family loans with original high FICO scores (over 700 ) and moderate original loan-to-value ratios (under 80 %), as well as moderate delinquency levels. Based on the expected cash flows , and since the Corporation does not have the intention to sell the securities and has sufficient capital and liquidity to hold these securities until a recovery of the fair value occurs, only the credit loss component was reflected in earnings. Significan t assumptions in the valuation of the private label MBS were as follows : As of As of March 31, 2017 December 31, 2016 Weighted Weighted Average Range Average Range Discount rate 14.4% 14.4% 14.1% 12-88% - 14.43% Prepayment rate 13.6% 8.80% - 17.50% 13.8% 6.5% - 22.5% Projected Cumulative Loss Rate 4% 0.1% - 7.2% 4% 0.2% - 8.6% Investments Held to Maturity The amortized cost, gross unrealized gains and losses, approximate fair value, weighted-average yield and contractual maturities of investment securities held to maturity as of March 31, 201 7 and December 31, 201 6 were as follows: March 31, 2017 Amortized cost Fair value Weighted-average yield% Gross Unrealized gains losses Puerto Rico Municipal Bonds: After 1 to 5 years $ 4,108 $ - $ 116 $ 3,992 5.38 After 5 to 10 years 7,627 - 481 7,146 4.18 After 10 years 144,314 - 18,838 125,476 4.84 Total investment securities held to maturity $ 156,049 $ - $ 19,435 $ 136,614 4.82 December 31, 2016 Amortized cost Fair value Weighted average-yield% Gross Unrealized gains losses Puerto Rico Municipal Bonds: After 1 to 5 years $ 1,136 $ - $ 20 $ 1,116 5.38 After 5 to 10 years 10,741 - 718 10,023 4.47 After 10 years 144,313 - 22,693 121,620 4.74 Total investment securities held to maturity $ 156,190 $ - $ 23,431 $ 132,759 4.73 The following tables show the Corporation’s held-to-maturity investments’ fair value and gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of March 31, 201 7 and December 31, 201 6 : As of March 31, 2017 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico Municipal Bonds $ - $ - $ 136,614 $ 19,435 $ 136,614 $ 19,435 As of December 31, 2016 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico Municipal Bonds $ - $ - $ 132,759 $ 23,431 $ 132,759 $ 23,431 The Corporation determines the fair market value of Puerto Rico Municipal Bonds based on a discounted cash flow analysis using risk-adjusted discount rates. A security with similar characteristics traded in the open market is used as a proxy for each municipal bond. Then the cash flow is discounted at the average spread over the discount curve exhibited by the proxy security at the end of each quarter. When evaluating if the decrease in fair value could be classified as other-than-tempo rary, management considered aspects such as the fact that all municipalities are current on their payments and the fact that the bonds are subject to periodic credit reviews and are supported by assigned property tax revenues. Based on the quarte rly analysis performed and the circumstances discussed above, management concluded that the unrealized loss is attributable to the time value of money and liquidity assumptions and no individual municipal bond was other-than-temporarily impaired as of Marc h 31, 201 7 . Approximately 87 % of the held-to-maturity municipal bonds were issued by five of the largest municipalities in Puerto Rico (San Juan, Carolina, Bayamon, Mayaguez and Guaynabo). These obligations typically are not issued in bearer form, nor are they registered with the SEC and are not rated by external credit agencies. The vast majority of these municipalities’ revenues are independent of the Puerto Rico central government. In most cases, these bonds have priority over the payment of operati ng costs and expenses of the municipality, which are required by law to levy special property taxes in such amounts as are required for the payment of all of their respective general obligation bonds and loans. The PROMESA oversight board has not designate d any of the Commonwealth’s 78 municipalities as covered entities under PROMESA. However, while the revised fiscal plan submitted by the Puerto Rico government did not contemplate a restructuring of the debt of Puerto Rico’s municipalities, the plan did ca ll for the gradual elimination of budgetary subsidies provided to municipalities. Furthermore, municipalities are also likely to be affected by the negative economic and other effects resulting from expense, revenue or cash management measures taken to add ress the Puerto Rico Government’s fiscal and liquidity shortfalls, or measures included in fiscal plans of other government entities, such as the gradual elimination to 0% of the Contribution in Lieu of Taxes (“CILT”) requested by the PROMESA oversight boa rd to be included in the Puerto Rico Electric Power Authority (“PREPA”) fiscal plan. Given the uncertain impact that the negative fiscal situation of the Puerto Rico central government and the measures taken or to be taken by other government entities may have on municipalities, the Corporation cannot be certain if future impairment charges will be required against these securities. From time to time, the Corporation has securities held to maturity with an original maturity of three months or less tha t are considered cash and cash equivalents and classified as money market investments in the consolidated statements of financial condition. As of March 31, 201 7 and December 31, 201 6 , the Corporation had no outstanding securities held to maturity that we re classified as cash and cash equivalents. |
OTHER EQUITY SECURITIES
OTHER EQUITY SECURITIES | 3 Months Ended |
Mar. 31, 2017 | |
OTHER EQUITY SECURITIES | NOTE 5 – OTHER EQUITY SECURITIES Institutions that are members of the FHLB system are required to maintain a minimum investment in FHLB stock. Such minimum is calculated as a percentage of aggregate outstanding mortgages, and an additional investment is required that is calculated as a percentage of total FHLB advances, letters of credit, and the collateralized portion of interest-rate swaps outstanding. The stock is capital stock issued at $ 100 par value. Both stock and cash dividends may b e received on FHLB stock. As of March 31, 2017 and December 31, 2016 , the Corporation had investments in FHLB stock with a book value of $ 36.3 million and $ 40.8 million, respectively. The net realizable value is a reasonable proxy for the f air value of these instruments. Dividend income from FHLB stock for the quarters ended March 31, 2017 and 2016 was $ 0.5 million and $ 0.3 million, respectively. The shares of FHLB stock owned by the Corporation were issued by the FHLB of New York. The FHLB of New York is part of the Federal Home Loan Bank System, a national wholesale banking network of 11 regional, stockholder-owned congressionally chartered banks. The Federal Home Loan Banks are all privately capitalized and operated by their member stockh olders. The system is supervised by the Federal Housing Finance Agency, which ensures that the Federal Home Loan Banks operate in a financially safe and sound manner, remain adequately capitalized and able to raise funds in the capital markets, and carry o ut their housing finance mission. The Corporation has other equity securities that do not have a readily available fair value. The carrying value of such securities as of March 31, 2017 and December 31, 2016 was $ 2.2 million. |
LOAN PORTFOLIO
LOAN PORTFOLIO | 3 Months Ended |
Mar. 31, 2017 | |
LOAN PORTFOLIO | NOTE 6 – LOANS HELD FOR INVESTMENT The following provides information about the loan portfolio held for investment: As of As of March 31, December 31, 2017 2016 (In thousands) Residential mortgage loans, mainly secured by first mortgages $ 3,272,598 $ 3,296,031 Commercial loans: Construction loans 137,887 124,951 Commercial mortgage loans 1,596,176 1,568,808 Commercial and Industrial loans (1) 2,108,532 2,180,455 Total Commercial loans 3,842,595 3,874,214 Finance leases 237,793 233,335 Consumer loans 1,469,363 1,483,293 Loans held for investment 8,822,349 8,886,873 Allowance for loan and lease losses (203,231) (205,603) Loans held for investment, net $ 8,619,118 $ 8,681,270 __________ (1) As of March 31, 2017 and December 31, 2016, includes $879.5 million and $853.9 million, respectively, of commercial loans that are secured by real estate but are not dependent upon the real estate for repayment. Loans held for investment on which accrual of interest income had been discontinued were as follows: As of As of March 31, December 31, 2017 2016 (In thousands) Non-performing loans: Residential mortgage $ 154,893 $ 160,867 Commercial mortgage 174,908 178,696 Commercial and Industrial 77,972 146,599 Construction: Land 11,018 11,026 Construction-commercial 36,472 36,893 Construction-residential 978 1,933 Consumer: Auto loans 12,993 14,346 Finance leases 904 1,335 Other consumer loans 7,428 8,399 Total non-performing loans held for investment (1)(2)(3) $ 477,566 $ 560,094 _______________ (1) As of March 31, 2017 and December 31, 2016, excludes $8.1 million of non-performing loans held for sale. (2) Amount excludes purchased-credit impaired ("PCI") loans with a carrying value of approximately $163.1 million and $165.8 million as of March 31, 2017 and December 31, 2016, respectively, primarily mortgage loans acquired from Doral Bank in the first quarter of 2015 and from Doral Financial in the second quarter of 2014, as further discussed below. These loans are not considered non-performing due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using an estimated cash flow analysis. (3) Non-performing loans exclude $385.2 million and $384.9 million of Troubled Debt Restructuring ("TDR") loans that are in compliance with the modified terms and in accrual status as of March 31, 2017 and December 31, 2016, respectively. Loans i n Process o f Foreclosure As of March 31, 2017, the recorded investment of residential mortgage loans collateralized by residential real estate property that are in the process of foreclosure amounted to $ 134.9 million. The Corporation commences the foreclosure process on residential real estate loans when a borrower becomes 120 days delinquent in accordance with the guidelines of the Consumer Financ ial Protection Bureau (CFPB). Foreclosure procedures and timelines vary depending on whether the p roperty is located in a judicial or non-judicial state. Judicial states (P uerto R ico ) require the foreclosure to be processed through the state’s court while foreclosure in non-judicial states is processed without court intervention. Foreclosure timelines vary according to state law and i nvestor g uidelines. Occasionally foreclosures may be delayed due to mandatory mediations, b ankruptcy, court delays and title issues , among other reasons . The Corporation’s aging of the loans held for investment portfolio is as follows: As of March 31, 2017 30-59 Days Past Due 60-89 Days Past Due 90 days or more Past Due (1) Total Past Due Purchased Credit-Impaired Loans Current Total loans held for investment 90 days past due and still accruing (In thousands) Residential mortgage: FHA/VA and other government-guaranteed loans (2)(3)(4) $ - $ 5,643 $ 71,661 $ 77,304 $ - $ 44,085 $ 121,389 $ 71,661 Other residential mortgage loans (4) - 87,576 172,283 259,859 158,940 2,732,410 3,151,209 17,390 Commercial: Commercial and Industrial loans 10,408 120 96,381 106,909 - 2,001,623 2,108,532 18,409 Commercial mortgage loans (4) - 8,915 179,050 187,965 4,160 1,404,051 1,596,176 4,142 Construction: Land (4) - 163 11,492 11,655 - 19,452 31,107 474 Construction-commercial - - 36,472 36,472 - 58,004 94,476 - Construction-residential - - 978 978 - 11,326 12,304 - Consumer: Auto loans 49,936 11,005 12,993 73,934 - 768,425 842,359 - Finance leases 7,833 1,200 904 9,937 - 227,856 237,793 - Other consumer loans 7,933 4,778 11,227 23,938 - 603,066 627,004 3,799 Total loans held for investment $ 76,110 $ 119,400 $ 593,441 $ 788,951 $ 163,100 $ 7,870,298 $ 8,822,349 $ 115,875 _____________ (1) Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e., FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. (2) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. (3) As of March 31, 2017, includes $39.4 million of defaulted loans collateralizing Government National Mortgage Association ("GNMA") securities for which the Corporation has an unconditional option (but not an obligation) to repurchase the defaulted loans. (4) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA and other government-guaranteed loans, other residential mortgage loans, commercial mortgage loans, and land loans past due 30-59 days as of March 31, 2017 amounted to $8.0 million, $124.3 million, $20.4 million and $0.2 million, respectively. As of December 31, 2016 30-59 Days Past Due 60-89 Days Past Due 90 days or more Past Due (1) Total Past Due Purchased Credit- Impaired Loans Current Total loans held for investment 90 days past due and still accruing (In thousands) Residential mortgage: FHA/VA and other government-guaranteed loans (2)(3)(4) $ - $ 5,179 $ 77,052 $ 82,231 $ - $ 44,627 $ 126,858 $ 77,052 Other residential mortgage loans (4) - 94,004 177,568 271,572 162,676 2,734,925 3,169,173 16,701 Commercial: Commercial and Industrial loans 14,195 3,724 151,967 169,886 - 2,010,569 2,180,455 5,368 Commercial mortgage loans (4) - 4,534 181,977 186,511 3,142 1,379,155 1,568,808 3,281 Construction: Land (4) - 436 11,504 11,940 - 19,826 31,766 478 Construction-commercial - - 36,893 36,893 - 40,582 77,475 - Construction-residential (4) - - 1,933 1,933 - 13,777 15,710 - Consumer: Auto loans 57,142 13,523 14,346 85,011 - 762,947 847,958 - Finance leases 7,714 1,671 1,335 10,720 - 222,615 233,335 - Other consumer loans 7,675 5,254 12,328 25,257 - 610,078 635,335 3,929 Total loans held for investment $ 86,726 $ 128,325 $ 666,903 $ 881,954 $ 165,818 $ 7,839,101 $ 8,886,873 $ 106,809 ____________ (1) Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e. FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. (2) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. (3) As of December 31, 2016, includes $43.7 million of defaulted loans collateralizing GNMA securities for which the Corporation has an unconditional option (but not an obligation) to repurchase the defaulted loans. (4) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA government guaranteed loans, other residential mortgage loans, commercial mortgage loans, land loans and construction-residential loans past due 30-59 days as of December 31, 2016 amounted to $9.9 million, $142.8 million, $4.6 million, $0.7 million and $0.4 million, respectively. The Corporation’s credit quality indicators by loan type as of March 31, 2017 and December 31, 2016 are summarized below: Commercial Credit Exposure-Credit Risk Profile Based on Creditworthiness Category: Substandard Doubtful Loss Total Adversely Classified (1) Total Portfolio March 31, 2017 (In thousands) Commercial mortgage $ 181,331 $ 37,808 $ - $ 219,139 $ 1,596,176 Construction: Land 19,289 - - 19,289 31,107 Construction-commercial 36,472 - - 36,472 94,476 Construction-residential 978 - - 978 12,304 Commercial and Industrial 139,846 3,179 - 143,025 2,108,532 Commercial Credit Exposure-Credit Risk Profile Based on Creditworthiness Category: Substandard Doubtful Loss Total Adversely Classified (1) Total Portfolio December 31, 2016 (In thousands) Commercial mortgage $ 193,391 $ 35,416 $ - $ 228,807 $ 1,568,808 Construction: Land 19,345 - - 19,345 31,766 Construction-commercial 36,893 - - 36,893 77,475 Construction-residential 1,933 - - 1,933 15,710 Commercial and Industrial 133,599 67,996 784 202,379 2,180,455 _________ (1) Excludes $8.1 million as of March 31, 2017 and December 31, 2016 of construction-land non-performing loans held for sale. The Corporation consider s a loan as adversely classified if its risk rating is Substandard, Doubtful or Loss. These categories are defined as follows: Substandard- A Substandard as set is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful- Doubtful classifications have all the weaknesses inherent in those classified Substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently known facts, conditions and values, highly questionable and improbable. A Doubtful classification may be appropriate in cases where significant ris k exposures are perceived, but l oss cannot be determined because of specific reasonable pending factors , which may strengthen the credit in the near term. Loss- Assets classified Loss are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. There is little or no prospect for near term improvement and no realistic strengthening action of significance pending. March 31, 2017 Consumer Credit Exposure-Credit Risk Profile Based on Payment Activity Residential Real-Estate Consumer FHA/VA/ Guaranteed (1) Other residential loans Auto Finance Leases Other Consumer (In thousands) Performing $ 121,389 $ 2,837,376 $ 829,366 $ 236,889 $ 619,576 Purchased Credit-Impaired (2) - 158,940 - - - Non-performing - 154,893 12,993 904 7,428 Total $ 121,389 $ 3,151,209 $ 842,359 $ 237,793 $ 627,004 (1) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. This balance includes $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA, which are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. (2) PCI loans are excluded from non-performing statistics due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. December 31, 2016 Consumer Credit Exposure-Credit Risk Profile Based on Payment Activity Residential Real-Estate Consumer FHA/VA/ Guaranteed (1) Other residential loans Auto Finance Leases Other Consumer (In thousands) Performing $ 126,858 $ 2,845,630 $ 833,612 $ 232,000 $ 626,936 Purchased Credit-Impaired (2) - 162,676 - - - Non-performing - 160,867 14,346 1,335 8,399 Total $ 126,858 $ 3,169,173 $ 847,958 $ 233,335 $ 635,335 (1) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. This balance includes $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA, which are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. (2) PCI loans are excluded from non-performing statistics due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. The following tables present information about impaired loans, excluding PCI loans, which are reported separately as discussed below: Impaired Loans Recorded Investment Unpaid Principal Balance Related Specific Allowance Average Recorded Investment Interest Income Recognized On Accrual Basis Interest Income Recognized On Cash Basis (In thousands) As of March 31, 2017 With no related allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - $ - $ - Other residential mortgage loans 57,930 71,190 - 58,720 194 131 Commercial: Commercial mortgage loans 25,369 29,536 - 25,487 220 87 Commercial and Industrial loans 13,235 23,332 - 13,946 30 - Construction: Land - - - - - - Construction-commercial - - - - - - Construction-residential - - - - - - Consumer: Auto loans 1,339 1,339 - 1,349 9 - Finance leases 67 67 - 68 - - Other consumer loans 3,681 5,476 - 3,781 14 22 $ 101,621 $ 130,940 $ - $ 103,351 $ 467 $ 240 With an allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - $ - $ - Other residential mortgage loans 374,868 424,211 8,551 376,085 4,521 197 Commercial: Commercial mortgage loans 167,666 196,310 36,638 168,760 220 21 Commercial and Industrial loans 72,824 91,269 12,711 75,079 212 19 Construction: Land 14,937 20,060 787 14,971 116 12 Construction-commercial 36,472 38,721 1,932 36,683 - - Construction-residential 392 551 116 392 - - Consumer: Auto loans 23,587 23,587 3,842 24,294 461 - Finance leases 2,444 2,444 68 2,559 54 - Other consumer loans 12,387 12,746 1,666 12,737 349 12 $ 705,577 $ 809,899 $ 66,311 $ 711,560 $ 5,933 $ 261 Total: FHA/VA-Guaranteed loans $ - $ - $ - $ - $ - $ - Other residential mortgage loans 432,798 495,401 8,551 434,805 4,715 328 Commercial: Commercial mortgage loans 193,035 225,846 36,638 194,247 440 108 Commercial and Industrial loans 86,059 114,601 12,711 89,025 242 19 Construction: Land 14,937 20,060 787 14,971 116 12 Construction-commercial 36,472 38,721 1,932 36,683 - - Construction-residential 392 551 116 392 - - Consumer: Auto loans 24,926 24,926 3,842 25,643 470 - Finance leases 2,511 2,511 68 2,627 54 - Other consumer loans 16,068 18,222 1,666 16,518 363 34 $ 807,198 $ 940,839 $ 66,311 $ 814,911 $ 6,400 $ 501 Impaired Loans Recorded Investment Unpaid Principal Balance Related Specific Allowance Average Recorded Investment (In thousands) As of December 31, 2016 With no related allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - Other residential mortgage loans 67,996 82,602 - 71,003 Commercial: Commercial mortgage loans 72,620 91,685 - 80,713 Commercial and Industrial loans 14,656 24,642 - 17,209 Construction: Land 180 233 - 212 Construction-commercial - - - - Construction-residential 956 1,531 - 956 Consumer: Auto loans 599 599 - 615 Finance leases 94 94 - 95 Other consumer loans 4,516 5,876 - 4,696 $ 161,617 $ 207,262 $ - $ 175,499 With an allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - Other residential mortgage loans 374,271 423,648 8,633 380,273 Commercial: Commercial mortgage loans 121,771 133,883 26,172 122,609 Commercial and Industrial loans 138,887 165,399 22,638 149,153 Construction: Land 14,870 19,918 947 15,589 Construction-commercial 36,893 38,721 324 38,191 Construction-residential 392 551 134 392 Consumer: Auto loans 24,276 24,276 3,717 26,562 Finance leases 2,553 2,553 71 2,751 Other consumer loans 12,375 12,734 1,785 13,322 $ 726,288 $ 821,683 $ 64,421 $ 748,842 Total: FHA/VA-Guaranteed loans $ - $ - $ - $ - Other residential mortgage loans 442,267 506,250 8,633 451,276 Commercial: Commercial mortgage loans 194,391 225,568 26,172 203,322 Commercial and Industrial loans 153,543 190,041 22,638 166,362 Construction: Land 15,050 20,151 947 15,801 Construction-commercial 36,893 38,721 324 38,191 Construction-residential 1,348 2,082 134 1,348 Consumer: Auto loans 24,875 24,875 3,717 27,177 Finance leases 2,647 2,647 71 2,846 Other consumer loans 16,891 18,610 1,785 18,018 $ 887,905 $ 1,028,945 $ 64,421 $ 924,341 Interest income of approximately $7.4 million ($6.6 million on an accrual basis and $0.8 million on a cash basis) was recognized on impaired loans for the first quarter of 2016. The following table shows the activity for impaired loans and the related specific reserve during the first quarter of 2017 and 2016: Quarter ended March 31, 2017 March 31, 2016 Impaired Loans: (In thousands) Balance at beginning of period $ 887,905 $ 806,509 Loans determined impaired during the period 19,628 157,984 Charge-offs (1) (17,404) (8,352) Loans sold, net of charge-offs (53,245) - Increases to impaired loans- additional disbursements 541 1,347 Foreclosures (9,457) (7,421) Loans no longer considered impaired (892) (20,339) Paid in full or partial payments (19,878) (12,137) Balance at end of period $ 807,198 $ 917,591 (1) For the first quarter of 2017, includes a charge-off of $10.7 million related to the sale of the PREPA credit line as further discussed below. Quarter ended March 31, 2017 March 31, 2016 Specific Reserve: (In thousands) Balance at beginning of period $ 64,421 $ 52,581 Provision for loan losses 18,862 37,266 Charge-offs (16,972) (8,352) Balance at end of period $ 66,311 $ 81,495 Purchased Credit Impaired Loans (PCI) The Corporation acquired PCI loans accounted under ASC 310-30 as part of a transaction that closed on February 27, 2015 in which FirstBank acquired 10 Puerto Rico branches of Doral Bank, and acquired certain assets, including PCI loans, and assumed deposits, through an alliance with Banco Popular of Puerto Rico, that was the successful lead bidder with the FDIC on the failed Doral Bank, as well as other co-bidders. The Corporation also acquired PCI loans in pr eviously completed asset acquisitions that are accounted for under ASC 310-30. These previous transactions include the acquisition from Doral Financial in the second quarter of 2014 of all its rights, title and interest in first and second residential mort gages loans in full satisfaction of secured borrowings owed by such entity to FirstBank. Under ASC 310-30, the acquired PCI loans were aggregated into pools based on similar characteristics (i.e. delinquency status, loan terms). Each loan pool is accounte d for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Since the loans are accounted for by the Corporation under ASC 310-30, they are not considered non-performing and will continue to have an accretable yield as long as there is a reasonable expectation about the timing and amount of cash flows expected to be collected. The Corporation recognizes additional losses on this portfolio when it is probable that the Corporation will be unable to collect all cas h flows expected as of the acquisition date plus additional cash flows expected to be collected arising from changes in estimates after the acquisitio n date. The carrying amounts of PCI loans were as follows: As of March 31, December 31, 2017 2016 (In thousands) Residential mortgage loans $ 158,940 $ 162,676 Commercial mortgage loans 4,160 3,142 Total PCI loans $ 163,100 $ 165,818 Allowance for loan losses (6,857) (6,857) Total PCI loans, net of allowance for loan losses $ 156,243 $ 158,961 The following tables present PCI loans by past due status as of March 31, 2017 and December 31, 2016: As of March 31, 2017 30-59 Days 60-89 Days 90 days or more Total Past Due Total PCI loans Current (In thousands) Residential mortgage loans $ - $ 12,314 $ 26,106 $ 38,420 $ 120,520 $ 158,940 Commercial mortgage loans - - 1,106 1,106 3,054 4,160 Total (1) $ - $ 12,314 $ 27,212 $ 39,526 $ 123,574 $ 163,100 _____________ (1) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage and commercial mortgage loans are considered past due when the borrower is in arrears two or more monthly payments. PCI residential mortgage loans and commercial mortgage loans past due 30-59 days as of March 31, 2017 amounted to $18.2 million and $1.6 million, respectively. As of December 31, 2016 30-59 Days 60-89 Days 90 days or more Total Past Due Total PCI loans Current (In thousands) Residential mortgage loans $ - $ 11,892 $ 27,849 $ 39,741 $ 122,935 $ 162,676 Commercial mortgage loans - 355 1,150 1,505 1,637 3,142 Total (1) $ - $ 12,247 $ 28,999 $ 41,246 $ 124,572 $ 165,818 _____________ (1) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage and commercial mortgage loans are considered past due when the borrower is in arrears two or more monthly payments. PCI residential mortgage loans and commercial mortgage loans past due 30-59 days as of December 31, 2016 amounted to $22.3 million and $0.1 million, respectively. Initial Fair Value and Accretable Yield of PCI Loans At acquisition, the Corporation estimated the cash flows the Corporation expected at requisition to be collect on PCI loans. Under the accounting guidance for PCI loans, the difference between the contractually required payments and the cash flows expected at acquisition to be collected is referred to as the non-accretable difference. This difference is neither accreted into income nor recorded on the Corporation’s consolidated statements of financial condition. T he excess of cash flows expected to be collected over the estimated fair value is referred to as the accretable yield and is recognized in interest income over the remaining life of the loans, using the effective-yield method. Changes in accretable yield of acquired loans Subsequent to the acquisition of loans , the Corporation is required to periodically evaluate its estimate of cash flows expected to be collected. These evaluations, performed quarterly, require the continued use of key assumptions and estimates, similar to the initial estimate of fair value. Subsequent changes in the estimated cash flows expected to be collected may result in changes in the accretable yield and non-accretable difference or reclassifications from non- accre table yield to accretable yield. Increases in the cash flows expected to be collected will generally result in an increase in interest income over the remaining life of the loan or pool of loans. Decreases in expected cash flows due to further credit deter ioration will generally result in an impairment charge recognized in the Corporation’s provision for loan and lease losses, resulting in an increase to the allowance for loan losses. As of March 31, 2017, the reserve related to PCI loans acquired from Dora l Financial in 2014 amounted to $6.9 million. The reserve is driven by revisions to the expected cash flows of the portfolio for the remaining term of the loan pool based on market conditions. Changes in the accretable yield of PCI loans for the quarters ended March 31, 2017 and 2016 were as follows: March 31, 2017 March 31, 2016 (In thousands) Balance at beginning of period $ 116,462 $ 118,385 Accretion recognized in earnings (2,797) (2,889) Reclassification to non-accretable - (1,398) Balance at end of period $ 113,665 $ 114,098 Changes in the carrying amount of loans accounted for pursuant to ASC 310-30 were as follows: Quarter ended Quarter ended March 31, 2017 March 31, 2016 (In thousands) Balance at beginning of period $ 165,818 $ 173,913 Accretion 2,797 2,889 Collections (4,593) (4,371) Foreclosures (922) (99) Ending balance $ 163,100 $ 172,332 Allowance for loan losses (6,857) (4,568) Ending balance, net of allowance for loan losses $ 156,243 $ 167,764 Changes in the allowance for loan losses related to PCI loans were as follows: Quarter ended Quarter ended March 31, 2017 March 31, 2016 (In thousands) Balance at beginning of period $ 6,857 $ 3,962 Provision for loan losses - 606 Balance at the end of period $ 6,857 $ 4,568 The outstanding principal balance of PCI loans, including amounts charged off by the Corporation, amounted to $ 203.7 million as of March 31, 201 7 (December 31, 20 1 6 - $ 207.3 million). Purchases and Sales of Loans During the first quarter of 2017, the Corporation purchased $ 14.8 million of residential mortgage loans consistent with a strategic program to purchase ongoing residential mortgage loan production from mortgage bankers in Puerto Rico . Generally, the loans purchased from mortgage bankers were conforming residential mortgage loans. Purchases of conforming residential mortgage loans provide the Corporation the flexibility to retain or sell the loans, including through securiti zation transactions, depending upon the Corporation’s interest rate risk management strategies. When the Corporation sells such loans, it generally keeps the servicing of the loans. In the ordinary course of business, the Corporation sells residential mor tgage loans (originated or purchased) to GNMA and government-sponsored entities (“GSEs”) such as Fannie Mae (“FNMA”) and Freddie Mac (“FHLMC”), which generally securitize the transferred loans into mortgage-backed securities for sale into the secondary mar ket. The Corporation sold approximately $ 24.6 million of performing residential mortgage loans to FNMA and FHLMC during the first quarter of 2017. Also, during the first quarter of 2017, the Corporation sold $ 60.5 million of FHA/VA mortgage loans to GNMA, which packages them into mortgage-backed securities. The Corporation’s continuing involvement in these sold loans consists primarily of servicing the loans. In addition, the Corporation agreed to repurchase loans when it breaches any of the representation s and warranties included in the sale agreement. These representations and warranties are consistent with the GSEs’ selling and servicing guidelines (i.e., ensuring that the mortgage was properly underwritten according to established guidelines). For loan s sold to GNMA, the Corporation holds an option to repurchase individual delinquent loans issued on or after January 1, 2003 when the borrower fails to make any payment for three consecutive months. This option gives the Corporation the ability, but not th e obligation, to repurchase the delinquent loans at par without prior authorization from GNMA. Under ASC Topic 860, Transfer and Servicing , once the Corporation has the unilateral ability to repurchase the delinquent loan, it is considered to have regaine d effective control over the loan and is required to recognize the loan and a corresponding repurchase liability on the balance sheet regardless of the Corporation’s intent to repurchase the loan. During the first quarters of 2017 and 2016, the Corporatio n repurchased, pursuant to its repurchase option with GNMA $ 10.7 million and $ 8.4 million, respectively, of loans previously sold to GNMA. The principal balance of these loans is fully guaranteed and the risk of loss related to the repurchased loans is ge nerally limited to the difference between the delinquent interest payment advanced to GNMA computed at the loan’s interest rate and the interest payments reimbursed by FHA, which are computed at a pre-determined debenture rate. Repurchases of GNMA loans a llow the Corporation, among other things, to maintain acceptable delinquency rates on outstanding GNMA pools and remain as a seller and servicer in good standing with GNMA. The Corporation generally remediates any breach of representations and warranties related to the underwriting of such loans according to established GNMA guidelines without incurring losses. The Corporation does not maintain a liability for estimated losses as a result of breaches in representations and warranties. Loan sales to FNMA and FHLMC are without recourse in relation to the future performance of the loans. The Corporation repurchased at par loans previously sold to FNMA and FHLMC in the amount of $ 6 thousand and $ 0.5 million during the first quarter of 2017 and 2016, respecti vely. The Corporation’s risk of loss with respect to these loans is also minimal as these repurchased loans are generally performing loans with documentation deficiencies. No losses related to breaches of representations and warranties were incurred in the first quarter of 2017. Historically, losses experienced on these loans have been immaterial. As a consequence, as of March 31, 2017, the Corporation does not maintain a liability for estimated losses on loans expected to be repurchased as a result of bre aches in loan and servicer representations and warranties. Sale of the Puerto Rico Electric Power Authority (“PREPA”) Loan During the first quarter of 2017, the Corporation received an unsolicited offer and sold its outstanding participation in the P REPA line of credit with a book value of $ 64 million at the time of sale (principal balance of $ 75 million), thereby reducing its direct exposure to the Puerto Rico government. A specific reserve of approximately $ 10.2 million had been allocated to this l oan. Gross proceeds from the sale of $ 53.2 million have resulted in an incremental loss of $ 0.6 million recorded as a charge to the provision for loan and lease losses. Loan Portfolio Concentration The Corporation’s primary lending area is Puerto Rico. The Corporation’s banking subsidiary, First Bank, also lends in the USVI and BVI markets and in the United States (principally in the state of Florida). Of the total gross loans held for investment of $ 8.8 billion as of March 31, 201 7 , appro ximately 77 % have credit risk concentration in Puerto Rico, 16 % in the United States, and 7 % in the USVI and BVI. As of March 31, 2017, the Corporation had $ 57.8 million outstanding in loans extended to the Puerto Rico government, its municipaliti es and public corporations, compared to $ 133.6 million outstanding as of December 31, 2016. In addition, the outstanding balance of loans granted to the government of the Virgin Islands amounted to $ 84.6 million as of March 31, 2017, compared to $ 84.7 mill ion as of December 31, 2016. Approximately $ 6.8 million of the outstanding loans as of March 31, 2017 consisted of loans to units of the central government, and approximately $ 16.2 million consisted of loans to an affiliate of a public corporation. As ment ioned above, during the first quarter of 2017, the Corporation received an unsolicited offer and sold its outstanding participation in the PREPA line of credit with a book value of $64 million at the time of sale (principal balance of $75 million), thereby reducing its direct exposure to the Puerto Rico government. In addition, the Corporation had $ 34.8 million of loans extended to municipalities in Puerto Rico, which in most cases are supported by assigned p |
ALLOWANCE FOR LOAN AND LEASE LO
ALLOWANCE FOR LOAN AND LEASE LOSSES | 3 Months Ended |
Mar. 31, 2017 | |
ALLOWANCE FOR LOAN AND LEASE LOSSES | NOTE 7 – A LLOWANCE FOR LOAN AND L EASE LOSSES The changes in the allowance for loan and lease losses were as follows: (In thousands) Residential Mortgage Loans Commercial Mortgage Loans Commercial & Industrial Loans Construction Loans Consumer Loans Total Quarter ended March 31, 2017 Allowance for loan and lease losses: Beginning balance $ 33,980 $ 57,261 $ 61,953 $ 2,562 $ 49,847 $ 205,603 Charge-offs (8,225) (1,362) (12,052) (63) (11,192) (32,894) Recoveries 749 30 875 445 2,981 5,080 Provision (release) 9,271 12,539 (4,806) 942 7,496 25,442 Ending balance $ 35,775 $ 68,468 $ 45,970 $ 3,886 $ 49,132 $ 203,231 Ending balance: specific reserve for impaired loans $ 8,551 $ 36,638 $ 12,711 $ 2,835 $ 5,576 $ 66,311 Ending balance: purchased credit-impaired loans (1) $ 6,545 $ 312 $ - $ - $ - $ 6,857 Ending balance: general allowance $ 20,679 $ 31,518 $ 33,259 $ 1,051 $ 43,556 $ 130,063 Loans held for investment: Ending balance $ 3,272,598 $ 1,596,176 $ 2,108,532 $ 137,887 $ 1,707,156 $ 8,822,349 Ending balance: impaired loans $ 432,798 $ 193,035 $ 86,059 $ 51,801 $ 43,505 $ 807,198 Ending balance: purchased credit- impaired loans $ 158,940 $ 4,160 $ - $ - $ - $ 163,100 Ending balance: loans with general allowance $ 2,680,860 $ 1,398,981 $ 2,022,473 $ 86,086 $ 1,663,651 $ 7,852,051 (In thousands) Residential Mortgage Loans Commercial Mortgage Loans Commercial & Industrial Loans Construction Loans Consumer Loans Total Quarter ended March 31, 2016 Allowance for loan and lease losses: Beginning balance $ 39,570 $ 68,211 $ 68,768 $ 3,519 $ 60,642 $ 240,710 Charge-offs (7,306) (575) (3,759) (91) (14,804) (26,535) Recoveries 346 46 280 17 2,208 2,897 Provision (release) 5,938 1,062 5,809 (432) 8,676 21,053 Ending balance $ 38,548 $ 68,744 $ 71,098 $ 3,013 $ 56,722 $ 238,125 Ending balance: specific reserve for impaired loans $ 16,150 $ 36,007 $ 18,749 $ 1,202 $ 9,387 $ 81,495 Ending balance: purchased credit-impaired loans $ 4,423 $ 145 $ - $ - $ - $ 4,568 Ending balance: general allowance $ 17,975 $ 32,592 $ 52,349 $ 1,811 $ 47,335 $ 152,062 Loans held for investment: Ending balance $ 3,330,945 $ 1,524,491 $ 2,182,074 $ 146,129 $ 1,786,361 $ 8,970,000 Ending balance: impaired loans $ 461,606 $ 191,251 $ 168,160 $ 52,938 $ 43,636 $ 917,591 Ending balance: purchased credit- impaired loans $ 169,190 $ 3,142 $ - $ - $ - $ 172,332 Ending balance: loans with general allowance $ 2,700,149 $ 1,330,098 $ 2,013,914 $ 93,191 $ 1,742,725 $ 7,880,077 (1) Refer to Note 6 - Loans Held for Investment-PCI Loans for a detail of changes in the allowance for loan losses related to PCI loans. As of March 31, 2017 , the Corporation maintained a $ 0.8 million reserve for unfunded loan commitments (December 31, 2016 - $ 1.6 million), mainly related to outstanding commitments on floor plan revolving lines of credit . The reserve for unfunded loan commitments is an estimate of the losses inherent in off-balance sheet loan commitments to borrowers that are experiencing financial difficulties at the balance sheet date. It is calculated by multiplying an estimated loss factor by an estim ated probability of funding, and then by the period-end amounts for unfunded commitments. The reserve for unfunded loan commitments is included as part of accounts payable and other liabilities in the consolidated statement of financial condition and any c hange to the reserve is included as part of other non-interest expenses in the consolidated statement of income . |
LOANS HELD FOR SALE
LOANS HELD FOR SALE | 3 Months Ended |
Mar. 31, 2017 | |
LOANS HELD FOR SALE | NOTE 8 – LOANS HELD FOR SALE The Corporation’s loans held-for-sale portfolio was composed of: As of March 31, 2017 December 31, 2016 (In thousands) Residential mortgage loans $ 37,827 $ 41,927 Construction loans 8,079 8,079 Total $ 45,906 $ 50,006 Non-performing loans held for sale totaled $ 8.1 million as of March 31, 2017 and December 31, 2016 . |
OTHER REAL ESTATE OWNED
OTHER REAL ESTATE OWNED | 3 Months Ended |
Mar. 31, 2017 | |
Text Block [Abstract] | |
Other Real Estate Owned Disclosure [Text Block] | NOTE 9 – OTHER REAL ESTATE OWNED The following table presents OREO inventory as of the dates indicated: March 31, December 31, 2017 2016 (Dollars in thousands) OREO OREO balances, carrying value: Residential (1) $ 50,683 $ 46,917 Commercial 76,208 78,698 Construction 10,893 12,066 Total $ 137,784 $ 137,681 (1) Excludes $19.5 million and $15.0 million as of March 31, 2017 and December 31, 2016, respectively, of foreclosures that meet the conditions of ASC 310-40 and are presented as a receivable (other assets) in the statement of financial condition. |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 3 Months Ended |
Mar. 31, 2017 | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | NOTE 10 – DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES One of the market risks facing the Corporation is interest rate risk, which includes the risk that changes in interest rates will result in changes in the value of the Corporation’s assets or liabilities and will adversely affect the Corporation’s net interest income from its loan and investment portfolios . The overall objective of the Corporation’s interest rate risk management activities is to reduce the variabi lity of earnings caused by changes in interest rates. The Corporation designates a derivative as a fair value hedge, cash flow hedge or economic undesignated hedge when it enters into the derivative contract . As of March 31, 2017 and December 31, 2016 , all derivatives held by the Corporation were considered economic undesignated hedges. These undesignated hedges are recorded at fair value with the resulting gain or loss recognized in current earnings. The following summarizes the principal derivative activities used by the Corporation in managing interest rate risk: Interest rate cap agreements - Interest rate cap agreements provide the right to receive cash if a reference interest rate rises above a contractual rate. The value increases a s the reference interest rate rises. The Corporation enters into interest rate cap agreements for protection from rising interest rates. Forward Contracts - Forward contracts are sales of to-be-announced (“TBA”) mortgage-backed securities that will settl e over the standard delivery date and do not qualify as “regular way” security trades. Regular-way security trades are contracts that have no net settlement provision and no market mechanism to facilitate net settlement and that provide for delivery of a s ecurity within the time frame generally established by regulations or conventions in the market place or exchange in which the transaction is being executed. The forward sales are considered derivative instruments that need to be marked to market. These se curities are used to economically hedge the FHA/VA residential mortgage loan securitizations of the mortgage-banking operations. Unrealized gains (losses) are recognized as part of mortgage banking activities in the consolidated statement of income. To sa tisfy the needs of its customers, the Corporation may enter into non-hedging transactions. On these transactions, the Corporation generally participates as a buyer in one of the agreements and as a seller in the other agreement under the same terms and con ditions. In addition, the Corporation enters into certain contracts with embedded derivatives that do not require separate accounting as these are clearly and closely related to the economic characteristics of the host contract. When the embedded derivati ve possesses economic characteristics that are not clearly and closely related to the economic characteristics of the host contract, it is bifurcated, carried at fair value, and designated as a trading or non - hedging derivative instrument . The following table summarizes the notional amounts of all derivative instruments: Notional Amounts (1) As of As of March 31, December 31, (In thousands) 2017 2016 Undesignated economic hedges: Interest rate contracts: Written interest rate cap agreements $ 91,510 $ 91,510 Purchased interest rate cap agreements 91,510 91,510 Forward Contracts: Sale of TBA GNMA MBS pools 31,000 33,000 $ 214,020 $ 216,020 (1) Notional amounts are presented on a gross basis with no netting of offsetting exposure positions. The following table summarizes for derivative instruments their fair value and location in the statement of financial condition: Asset Derivatives Liability Derivatives Statement of March 31, December 31, March 31, December 31, Financial 2017 2016 2017 2016 Condition Location Fair Value Fair Value Statement of Financial Condition Location Fair Value Fair Value (In thousands) Undesignated economic hedges: Interest rate contracts: Written interest rate cap agreements Other assets $ - $ - Accounts payable and other liabilities $ 440 $ 552 Purchased interest rate cap agreements Other assets 441 554 Accounts payable and other liabilities - - Forward Contracts: Sales of TBA GNMA MBS pools Other assets - - Accounts payable and other liabilities 257 201 $ 441 $ 554 $ 697 $ 753 The following table summarizes the effect of derivative instruments on the statement of income: (Loss) Location of Loss Quarter Ended Recognized in Statement March 31, of Income on Derivatives 2017 2016 (In thousands) UNDESIGNATED ECONOMIC HEDGES: Interest rate contracts: Written and purchased interest rate swap agreements Interest income - Loans $ (1) $ (4) Forward contracts: Sales of TBA GNMA MBS pools Mortgage Banking Activities (56) (149) Total loss on derivatives $ (57) $ (153) Derivative instruments are subject to market risk. As is the case with investment securities, the market value of derivative instruments is largely a function of the financial market’s expectations regarding the future direction of interest rates. Accordingly, current market values are not necessarily indicative of the future impact of derivative instruments on earnings. This will depend, for the most part, on the shape of the yield curve, and the level of interest rates, as well as the expectation s for rates in the future. As of March 31, 2017, the Corporation has not entered into any derivative instrument containing credit-risk-related contingent features. |
OFFSETTING OF ASSETS AND LIABIL
OFFSETTING OF ASSETS AND LIABILITIES | 3 Months Ended |
Mar. 31, 2017 | |
Text Block [Abstract] | |
OFFSETTING OF ASSETS AND LIABILITIES | NOTE 11 – OFFSETTING OF ASSETS AND LIABILITIES The Corporation enters into master agreements with counterparties , primarily related to derivatives and repurchase agreements, that may allow for netting of exposures in the event of default . In an event of default , each party has a right of set-off against the other party for amount s owed under the related agreement and any other amount or obligation owed in respect of any other agreement or transaction between them. The following table presents informati on about the offse tting of financial assets and liabilities as well as derivative assets and liabilities : Offsetting of Financial Assets and Derivative Assets As of March 31, 2017 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral (In thousands) Net Amount Description Derivatives $ 441 $ - $ 441 $ (441) $ - $ - Securities purchased under agreements to resell 200,000 (200,000) - - - - Total $ 200,441 $ (200,000) $ 441 $ (441) $ - $ - As of December 31, 2016 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral Net Amount (In thousands) Description Derivatives $ 554 $ - $ 554 $ (554) $ - $ - Securities purchased under agreements to resell 200,000 (200,000) - - - - Total $ 200,554 $ (200,000) $ 554 $ (554) $ - $ - Offsetting of Financial Liabilities and Derivative Liabilities As of March 31, 2017 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral (In thousands) Net Amount Description Securities sold under agreements to repurchase $ 200,000 $ (200,000) $ - $ - $ - $ - As of December 31, 2016 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral Net Amount (In thousands) Description Securities sold under agreements to repurchase $ 200,000 $ (200,000) $ - $ - $ - $ - |
GOODWILL AND OTHER INTANGIBLES
GOODWILL AND OTHER INTANGIBLES | 3 Months Ended |
Mar. 31, 2017 | |
GOODWILL AND OTHER INTANGIBLES | NOTE 12 – GOODWILL AND OTHER INTANGIBLES Goodwill as of March 31, 2017 and December 31, 2016 amounted to $ 28.1 million , recognized as part of “Other Assets” in the consolidated statements of financial condition. The Corporation conducted its annual evaluation of goodwill and other intangibles during the fourth quarter of 2016. The Corporation’s goodwill is related to the acquisition of FirstBank Florida in 2005. There have been no events related to the Florida reporting unit that could indicate potential goodwill impairment since the date of the last evaluation; therefore, no goodwill impairment evaluation was performed during the first quarter of 2017. Goodwill and other indefinite life intangibles are reviewed at least annu ally for impairment. In connection with the acquisition of the FirstBank-branded credit card loan portfolio, in the second quarter of 2012, the Corporation recognized a purchased credit card relationship intangible of $ 24.5 million, which is being amortiz ed over the remaining estimated life of 4.7 years on an accelerated basis based on the estimated attrition rate of the purchased credit card accounts, which reflects the pattern in which the economic benefits of the intangible asset are consumed. These ben efits are consumed as the revenue stream generated by the cardholder relationship is realized. The core deposit intangible acquired in the February 2015 Doral Bank transaction amounted to $ 5.8 million ($ 4.2 million as of March 31, 2017). In the first quarter of 2016, FirstBank Insurance Agency acquired certain insurance customer accounts and related customer records and recognized an insurance customer relationship intangible of $1.1 million ($0.9 million as of March 31, 2017), which is being amortize d over the next 5.8 years on a straight-line basis. The accounts acquired has a direct relationship to the previous mortgage loan portfolio acquisitions from Doral Bank and Doral Financial in 2015 and 2014. The following table shows the gross amount and accumulated amortization of the Corporation’s intangible assets recognized as part of Other Assets in the consolidated statements of financial condition: As of As of March 31, December 31, 2017 2016 (Dollars in thousands) Core deposit intangible: Gross amount, beginning of period $ 51,664 $ 51,664 Accumulated amortization (44,917) (44,466) Net carrying amount $ 6,747 $ 7,198 Remaining amortization period 7.8 years 8.1 years Purchased credit card relationship intangible: Gross amount $ 24,465 $ 24,465 Accumulated amortization (14,566) (13,934) Net carrying amount $ 9,899 $ 10,531 Remaining amortization period 4.7 years 5 years Insurance customer relationship intangible: Gross amount $ 1,067 $ 1,067 Accumulated amortization (178) (140) Net carrying amount $ 889 $ 927 Remaining amortization period 5.8 years 6.1 years For each of the quarters ended March 31, 2017 and 2016, the amortization expense of core deposit intangibles amounted to $ 0.5 million. For the quarters ended March 31, 2017 and 2016, the amortization expense of the purchased credit card relationship intangible amounted to $ 0.6 million and $ 0.7 million, respectively. For the quarters ended March 31, 2017 and 2016, the amortization expense of the insurance customer relationship intangible amounted to $ 38 thousand and $ 25 thousand, respectiv ely. The estimated aggregate annual amortization expense related to the intangible assets for future periods is as follows: Amount (In thousands) 2017 $ 3,281 2018 3,591 2019 3,088 2020 2,851 2021 2,658 2022 and after 2,066 |
NON-CONSOLIDATED VARIABLE INTER
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS | 3 Months Ended |
Mar. 31, 2017 | |
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS | NOTE 13 – NON - CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS The Corporation transfers residential mortgage loans in sale or securitization transactions in which it has continuing involvement, including servicing responsibilities and guarantee arrangements. All such transfers have been accounted for as sales as required by applicable accounting guidance. When evaluating the need to consolidate counterparties to which the Corporation has transferred assets or with which the Cor poration has entered into other transactions, the Corporation first determines if the counterparty is an entity for which a variable interest exists. If no scope exception is applicable and a variable interest exists, the Corporation then evaluates if it i s the primary beneficiary of the VIE and whether the entity should be consolidated or not. Below is a summary of transfers of financial assets to VIEs for which the Corporation has retained some level of continuing involvement: GNMA The Corporation typically transfers first lien residential mortgage loans in conjunction with GNMA securitization transactions in which the loans are exchanged for cash or securities that are readily redeemed for cash proceeds and servicing rights. The securities issued t hrough these transactions are guaranteed by the issuer and, as such, under seller/servicer agreements , the Corporation is required to service the loans in accordance with the issuer s’ servicing guidelines and standards. As of March 31, 2017 , the Co rporation serviced loans securitized through GNMA with a principal balance of $ 1.5 b illion. Trust Preferred Securities In 2004, FBP Statutory Trust I, a financing trust that is wholly owned by the Corporation, sold to institutional investors $ 100 mi llion of its variable rate trust-preferred securities. The proceeds of the issuance, together with the proceeds of the purchase by the Corporation of $ 3.1 million of FBP Statutory Trust I variable rate common securities, were used by FBP Statutory Trust I to purchase $ 103.1 million aggregate principal amount of the Corporation’s Junior Subordinated Deferrable Debentures. Also in 2004, FBP Statutory Trust II, a financing trust that is wholly owned by the Corporation, sold to institutional investors $ 125 mill ion of its variable rate trust-preferred securities. The proceeds of the issuance, together with the proceeds of the purchase by the Corporation of $ 3.9 million of FBP Statutory Trust II variable rate common securities, were used by FBP Statutory Trust II to purchase $ 128.9 million aggregate principal amount of the Corporation’s Junior Subordinated Deferrable Debentures. The debentures are presented in the Corporation’s consolidated statement of financial condition as Other Borrowings, net of related issuan ce costs . The variable rate trust-preferred securities are fully and unconditionally guaranteed by the Corporation. The Junior Subordinated Deferrable Debentures issued by the Corporation in April 2004 and in September 2004 mature on June 17, 2034 and Sept ember 20, 2034, respectively; however, under certain circumstances, the maturity of Junior Subordinated Deferrable Debentures may be shortened (such shortening would result in a mandatory redemption of the variable rate trust-preferred securities). During the first quarter of 2016, the Corporation completed the repurchase of $ 10 million of trust preferred securities of the FBP Statutory Trust II that were auctioned in a public sale at which the Corporation was invited to participate. The Corporation repurch ased and cancelled the repurchased trust preferred securities, resulting in a commensurate reduction in the related Floating Rate Junior Subordinated Debenture s . The Corporation’s winning bid equated to 70 % of the $10 million par value. The 30 % discount, p lus accrued interest, resulted in a gain of approximately $4.2 million, which is reflected in the statement of income as a “Gain on early extinguishment of debt . ” During the second quarter of 2015, the Corporation issued 852,831 shares of the Corporation’s common stock in exchange for $5.3 million of trust preferred securities (FBP Statutory Trust I), which enabled the Corporation to cancel $ 5.5 million of the carrying value of the debentures underlying the purchased trust preferred securities. The Collins Amendment to the Dodd-Frank Wall Street Reform and Consumer Protection Act eliminates certain trust-preferred securities from Tier 1 Capital ; however, these instruments may remain in Tier 2 capital until the instruments are redeemed or mature. Under the in dentures, the Corporation has the right, from time to time, and without causing an event of default, to defer payments of interest on the Junior Subordinated Debentures by extending the interest payment period at any time and from time to time during the t erm of the subordinated debentures for up to twenty consecutive quarterly periods. D uring the second quarter of 2016, the Corporation received approval from the Federal Reserve and paid $ 31.2 million for all the accrued but deferred interest payments plus the interest for the second quarter on the Corporation’s subordinated debentures associated with its trust preferred securities. Subsequently, the Corporation received quarterly approvals and paid the interest for the third and fourth quarters of 2016 and for the first quarter of 2017. The Corporation already has received approval to pay interest payments on the subordinated debentures associated with its trust preferred securities for the second quarter of 2017. As of March 31, 2017 the Corporation is current on all interest payments due related to its subordinated debt. Future interest payments are subject to Federal Reserve approval. It is the intent of the Corporation to request approvals in future periods to continue to make regularly scheduled quarterly interest payments. Grantor Trusts During 2004 and 2005, a third party to the Corporation, referred to in this subsection as the seller, established a series of statutory trusts to effect the securitization of mortgage loans and the sale of trust certificate s. The seller initially provided the servicing for a fee, which is senior to the obligations to pay trust certificate holders. The seller then entered into a sales agreement through which it sold and issued the trust certificates in favor of the Corporatio n’s banking subsidiary. Currently, the Bank is the sole owner of the trust certificates; the servicing of the underlying residential mortgages that generate the principal and interest cash flows is performed by another third party, which receives a servici ng fee. The securities are variable rate securities indexed to 90-day LIBOR plus a spread. The principal payments from the underlying loans are remitted to a paying agent (servicer) , who then remits interest to the Bank; interest income is shared to a cert ain extent with the FDIC, which has an interest only strip (“IO”) tied to the cash flows of the underlying loans and is entitled to receive the excess of the interest income less a servicing fee over the variable rate income that the Bank earns on the secu rities. This IO is limited to the weighted - average coupon on the securities. The FDIC became the owner of the IO upon its intervention of the seller, a failed financial institution. No recourse agreement exists and the risks from losses on non-accruing loa ns and repossessed collateral are absorbed by the Bank as the sole holder of the certificates. As of March 31, 2017 , the amortized cost and fair value of the Grantor Trusts amounted to $ 26.7 million and $ 19.3 million, respectively, with a weighted average yield of 2.41 %. Investment in unconsolidated entity On February 16, 2011, FirstBank sold an asset portfolio consisting of performing and non-performing construction, commercial mortgage and commercial and industrial loans with an aggregate book value of $ 269.3 million to CPG/GS, an entity organized under the laws of the Commonwealth of Puerto Rico and majority owned by PRLP Ventures LLC ("PRLP"), a company created by Goldman, Sachs & Co. and Caribbean Property Group. In connection with the sale, the Corporation received $ 88.5 million in cash and a 35 % interest in CPG/GS, and made a loan in the amount of $ 136.1 million representing seller financing provided by FirstBank. The loan ha s a seven -year maturity and bears va riable interest at 30-day LIBOR plus 300 basis points and is secured by a pledge of all of the acquirin g entity's assets as well as PRLP's 65 % ownership interest in CPG/GS. As of March 31, 2017 , the carrying amount of the loan was $ 4.1 million , which was included in the Corporation's commercial and i ndustrial loan s held for investment portfolio . FirstBank’s equity interest in CPG/GS is accounted for under the equity method. When applying the equity method, the Bank follows the Hypothetical Liqui dation Book Value method (“HLBV”) to determine its share of CPG/GS’s earnings or loss. The loss recorded in 2014 reduced to zero the carrying amount of the Bank’s investment in CPG/GS. No negative investment needs to be reported as the Bank has no legal ob ligation or commitment to provide further financial support to this entity; thus, no further losses have been or will be recorded on this investment. Any potential increase in the carrying value of the investment in CPG/GS, under the HLBV method, would de pend upon how better off the Bank is at the end of the period than it was at the beginning of the period after the waterfall calculation performed to determine the amount of gain allocated to the investors. FirstBank also provided an $ 80 million advance f acility to CPG/GS to fund unfunded commitments and costs to complete projects under construction, which was fully disbursed in 2011, and a $ 20 million working capital line of credit to fund certain expenses of CPG/GS. The working capital line expired in S eptember 2016 and no amount is outstanding. During 2012, CPG/GS repaid the outstanding balance of the advance facility to fund unfunded commitments, and the funds became available for re with draw al under a one-time revolver agree ment. This facility loan be ars variable interest at 30-day LIBOR plus 300 basis points . As of March 31, 2017 , the carrying value of the revolver agreement w as $ 6.8 million , which was included in the Corporation's c ommercial and i ndustrial loan s held for investment portfolio . Cash proceeds received by CPG/GS have been first used to cover operating expenses and debt service payments, including those related to the note receivable, the advance facility, and the working capital line, described above, which must be substantia lly repaid before proceeds can be used for other purposes, including the return of capital to both PRLP and FirstBank. FirstBank will not receive any return on its equity interest until PRLP receives an aggregate amount equivalent to its initial investment and a priority return of at least 12 %, resulting in FirstBank’s interest in CPG/GS being subordinate to PRLP’s interest. CPG/GS will then begin to make payments pro rata to PRLP and FirstBank, 35 % and 65 %, respectively, until FirstBank has achieved a 12% return on its invested capital and the aggregate amount of distributions is equal to FirstBank’s capital contributions to CPG/GS. The Bank has determined that CPG/GS is a VIE in which the Bank is not the primary beneficiary. In determining the primar y beneficiary of CPG/GS, the Bank considered applicable guidance that requires the Bank to qualitatively assess the determination of the primary beneficiary (or consolidator) of CPG/GS based on whether it has both the power to direct the activities of CPG/ GS that most significantly impact the entity's economic performance and the obligation to absorb losses of CPG/GS that could potentially be significant to the VIE or the right to receive benefits from the entity that could potentially be significant to the VIE. The Bank determined that it does not have the power to direct the activities that most significantly impact the economic performance of CPG/GS as it does not have the right to manage the loan portfolio, impact foreclosure proceedings, or manage the construction and sale of the property; therefore, the Bank concluded that it is not the primary beneficiary of CPG/GS. As a creditor to CPG/GS, the Bank has certain rights related to CPG/GS; however, these are intended to be protective in nature and d o not provide the Bank with the ability to manage the operations of CPG/GS. Since CPG/GS is not a consolidated subsidiary of the Bank and the transaction met the criteria for sale accounting under authoritative guidance, the Bank accounted for this transac tion as a true sale, recognizing the cash received, the notes receivable, and the interest in CPG/GS, and derecognizing the loan portfolio sold. Servicing Assets The Corporation sells residential mortgage loans to GNMA, which generally securitize s the transferred loans into mortgage-backed securities. Also, certain conventional conforming loans are sold to FNMA or FHLMC with servicing retained. The Corporation recognizes as separate assets the rights to service loans for others, whether those servicing assets are originated or purchased. The changes in servicing assets are shown below: Quarter ended March 31, March 31, 2017 2016 (In thousands) Balance at beginning of period $ 26,244 $ 24,282 Capitalization of servicing assets 875 1,161 Amortization (788) (798) Adjustment to fair value (160) 27 Other (1) 159 20 Balance at end of period $ 26,330 $ 24,692 (1) Amount represents the adjustment to fair value related to the repurchase of loans serviced for others. Impairment charges are recognized through a valuation allowance for each individual stratum of servicing assets. The valuation allowance is adjusted to reflect the amount, if any, by which the cost basis of the servicing asset for a given stratum of loans being serviced exceeds its fair value. Any fair value in excess of the cost basis of the servicing asset for a given stratum is not recognized. Changes in the impairment allowance were as follows: Quarter ended March 31, March 31, 2017 2016 (In thousands) Balance at beginning of period $ 461 $ 136 Temporary impairment charges 160 27 OTTI of servicing assets (621) - Recoveries - (54) Balance at end of period $ - $ 109 The components of net servicing income are shown below: Quarter ended March 31, March 31, 2017 2016 (In thousands) Servicing fees $ 2,024 $ 1,862 Late charges and prepayment penalties 99 142 Adjustment for loans repurchased 159 20 Other (7) - Servicing income, gross 2,275 2,024 Amortization and impairment of servicing assets (948) (771) Servicing income, net $ 1,327 $ 1,253 The Corporation’s servicing assets are subject to prepayment and interest rate risks. As of March 31, 2017 , fair values of the Corporation’s servicing assets were based on a valuation model that incorporates market driven assumptions regarding discount rates and mortgage prepayment rates, adjusted by the particular characteristics of the Corporation’s servicing portfolio. The Corporation used c onstant prepayment rate assumptions for the Corporation’s servicing assets for the government-guaranteed mortgage loans of 6.0 % and 7.6 % for the quarters ended March 31, 2017 and 2016 , respectively. For conventional conforming mortgage loans, the Corporation used 6.3 % and 8.0 %, respectively, and, for the conventional non-conforming mortgage loans , the Corporation used 9.5 % and 14.0 % for t he quarters ended March 31, 201 7 and 201 6, respectively. D is count rate assumptions used were 12.0 % and 11.5 % for government- guaranteed mortgage loans; 10.0 % and 9.5 % for conventional conforming mortgage loans; and 14.3 % and 13.8 % for conventional non-c onfo rming mortgage loans for the quarters ended March 31, 201 7 and 201 6, respectively . The weighted averages of the key economic assumptions used by the Corporation in its valuation model and the sensitivity of the current fair value to immedia te 10 % and 20 % adverse changes in those assumptions for mortgage loans as of March 31, 2017 were as follows: (Dollars in thousands) Carrying amount of servicing assets $ 26,330 Fair value $ 29,782 Weighted-average expected life (in years) 8.53 Constant prepayment rate (weighted-average annual rate) 6.17% Decrease in fair value due to 10% adverse change $ 763 Decrease in fair value due to 20% adverse change $ 1,493 Discount rate (weighted-average annual rate) 11.20% Decrease in fair value due to 10% adverse change $ 1,419 Decrease in fair value due to 20% adverse change $ 2,720 These sensitivities are hypothetical and should be used with caution. As the figures indicate, changes in fair value based on a 10 % variation in assumptions generally cannot be extrapol ated because the relationship between the change in assumption and the change in fair value may not be linear. Also, in this table, the effect of a variation in a particular assumption on the fair value of the servicing asset is calculated without changing any other assumption; in reality, changes in one factor may resul t in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or counteract the sensitivities. |
DEPOSITS
DEPOSITS | 3 Months Ended |
Mar. 31, 2017 | |
DEPOSITS | NOTE 14 – DEPOSITS The following table summarizes deposit balances as of the dates indicated: March 31, December 31, 2017 2016 (In thousands) Type of account: Non-interest bearing checking accounts $ 1,581,086 $ 1,484,155 Savings accounts 2,484,115 2,518,496 Interest-bearing checking accounts 1,084,969 1,075,929 Certificates of deposit 2,349,286 2,312,928 Brokered certificates of deposit (CDs) 1,358,542 1,439,697 $ 8,857,998 $ 8,831,205 Brokered CDs mature as follows: March 31, 2017 (In thousands) Three months or less $ 150,680 Over three months to six months 186,869 Over six months to one year 402,474 Over one year but less than three years 503,428 Three to five years 113,527 Over five years 1,564 Total $ 1,358,542 The following are the components of interest expense on deposits: Quarter Ended March 31, March 31, 2017 2016 (In thousands) Interest expense on deposits $ 15,468 $ 16,480 Accretion of premium from acquisition (23) (81) Amortization of broker placement fees 527 858 Interest expense on deposits $ 15,972 $ 17,257 |
SECURITIES SOLD UNDER AGREEMENT
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE | 3 Months Ended |
Mar. 31, 2017 | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE | NOTE 15 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE Securities sold under agreements to repurchase (repurchase agreements) with original maturities in excess of one year consist of the following: March, 31 December 31, 2017 2016 (Dollars in thousands) Repurchase agreements, interest ranging from 1.96% to 2.97% (December 31, 2016: 1.96% to 2.83%) (1)(2) $ 300,000 $ 300,000 (1) Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. (2) As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. Repurchase agreements mature as follows: March 31, 2017 (In thousands) Six months to one year $ 100,000 Over four to five years 200,000 Total $ 300,000 As of March 31, 2017 and December 31, 2016 , the securities underlying such agreements were delivered to the dealers with which the repurchase agreements were transacted. Repurchase agreements as of March 31, 2017, grouped by counterparty, were as follows: (Dollars in thousands) Weighted-Average Counterparty Amount Maturity (In Months) Dean Witter / Morgan Stanley $ 100,000 7 JP Morgan Chase 200,000 58 $ 300,000 |
ADVANCES FROM THE FEDERAL HOME
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) | 3 Months Ended |
Mar. 31, 2017 | |
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) | NOTE 16 – ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) The following is a summary of the advances from the FHLB: March 31, December 31, 2017 2016 (In thousands) Short-term fixed-rate advances from FHLB, with a weighted-average interest rate of 1.00% (December 31, 2016 - 0.78%) $ 70,000 $ 170,000 Long-term fixed-rate advances from FHLB, with a weighted-average interest rate of 1.49% (December 31, 2016 - 1.49%) 500,000 500,000 $ 570,000 $ 670,000 Advances from FHLB mature as follows: March 31, 2017 (In thousands) Within 30 days $ 70,000 One to six months 200,000 Six months to one year - Over one to three years 300,000 Total $ 570,000 As of March 31, 2017 , the Corporation had additional capacity of approximately $ 852.2 million on this credit facility based on collateral pledged at the FHLB, including a haircut reflecting the perceived risk associated with the collateral . |
OTHER BORROWINGS
OTHER BORROWINGS | 3 Months Ended |
Mar. 31, 2017 | |
OTHER BORROWINGS | NOTE 17 – OTHER BORROWINGS Other borrowings, as of the indicated dates, consist of: March 31, December 31, 2017 2016 (In thousands) Junior subordinated debentures due in 2034, interest-bearing at a floating rate of 2.75% over 3-month LIBOR (3.89% as of March 31, 2017 and 3.74% as of December 31, 2016) $ 97,630 $ 97,630 Junior subordinated debentures due in 2034, interest-bearing at a floating rate of 2.50% over 3-month LIBOR (3.65% as of March 31, 2017 and 3.50% as of December 31, 2016) 118,557 118,557 $ 216,187 $ 216,187 |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 3 Months Ended |
Mar. 31, 2017 | |
STOCKHOLDERS' EQUITY | NOTE 18 – STOCKHOLDERS’ EQUITY Common Stock As of March 31, 2017 and December 31, 2016 , the Corporation had 2,000,000,000 authorized shares of common stock with a par value of $0.10 per share. As of March 31, 2017 and December 31, 2016 , there were 219,783,062 and 218,700,394 shares issued, respectively, and 218,430,573 and 217,446,205 shares outstanding, respectively. Refer to Note 3 for information about transactions related to common stock under the Omnibus Pla n. On February 7, 2017, a secondary offering of the Corporation’s common stock by certain of the Corporation’s existing stockholders was completed. Funds affiliated with Thomas H. Lee Partners (“THL”) sold 10 million shares of the Corporation’s common stock, and funds managed by Oaktree Capital Management, L.P. (“Oaktree”) sold 10 million shares of the Corporation’s common stock. In addition, the underwriters exercised their option to purchase an additional 3 million shares of the Corporation’s common stock from the selling stockholders. The Corporation did not receive any proceeds from the offering. As of March 31, 2017, each of THL and Oaktree owns 9.2 % of the Corporation’s common stock. Preferred Stock The Corporation has 50,000,000 authorized shares of preferred stock with a par value of $ 1.00 , redeemable at the Corporation’s option subject to certain terms. This stock may be issued in series and the shares of each series will have such rights and preferences as are fixed by the Board of Direct ors when authorizing the issuance of that particular series. As of March 31, 2017 , the Corporation has five outstanding series of non-convertible, non-cumulative preferred stock: 7.125 % non-cumulative perpetual monthly income preferred stock, Seri es A; 8.35 % non-cumulative perpetual monthly income preferred stock, Series B; 7.40 % non-cumulative perpetual monthly income preferred stock, Series C; 7.25 % non-cumulative perpetual monthly income preferred stock, Series D; and 7.00 % non-cumulative perpet ual monthly income preferred stock, Series E. The liquidation value per share is $ 25 . Effective January 17, 2012, the Corporation delisted all of its outstanding series of non-convertible, non-cumulative preferred stock from the New York Stock Exchang e. The Corporation has not arranged for listing and/or registration on another national securities exchange or for quotation of the Series A through E Preferred Stock in a quotation medium. In December 2016, for the first time since July 2009, the Corporat ion paid dividends on its non-cumulative perpetual monthly income preferred stock, after receiving regulatory approval. Since then, the Corporation has continued to paid monthly dividend payments on the non-cumulative perpetual monthly income preferred sto ck. The Corporation intends to request approval in future period to continue with monthly dividend payments on the non-cumulative perpetual monthly income preferred stock . The Corporation has received approval to pay the monthly dividends on the Corporatio n’s Series A through E Preferred Stock through June 2017. Treasury stock D uring the first quarter of 2017 and 2016, the Corporation withheld an aggregate of 98,300 shares and 115,121 shares, respectively, of the common stock paid to certain senior officers as additional compensation and restricted stock that vested during the first quarter of 2017 and 2016 to cover employee s’ payroll and income tax withholding liabilities; these s hares are held as treasury stock . As of March 31, 2017 and December 31, 2016 , the Corporation had 1,352,489 and 1,254,189 shares held as treasury stock, respectively. FirstBank Statutory Reserve (Legal Surplus) The Banking Law of the Commonwealth of Puerto Rico requires that a minimum of 10 % of FirstBank’s net income for the year be transferred t o legal surplus until such surplus equals the total of paid-in-capital on common and preferred stock. Amounts transferred to the legal surplus account from the retained earnings account are not available for distribution to the Corporation, including for p ayment as dividends to the stockholders, without the prior consent of the Puerto Rico Commissioner of Financial Institutions. The Puerto Rico Banking Law provides that, when the expenditures of a Puerto Rico commercial bank are greater than receipts, the e xcess of the expenditures over receipts must be charged against the undistributed profits of the bank, and the balance, if any, must be charged against the reserve fund, as a reduction thereof. If there is no reserve fund sufficient to cover such balance i n whole or in part, the outstanding amount must be charged against the capital account and the Bank cannot pay dividends until it can replenish the reserve fund to an amount of at least 20 % of the original capital contributed. During the fourth quarter of 2016, $ 9.6 million was transferred to the legal surplus reserve. FirstBank’s legal surplus reserve, included as part of retained earnings in the Corporation’s statement of financial condition, amounted to $52.4 million as of March 31, 2017. There were no transfers to the legal surplus reserve during the quarter ended March 31, 201 7 . |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2017 | |
INCOME TAXES | NOTE 19 - INCOME TAXES Income tax expense includes Puerto Rico and USVI income taxes as well as applicable U.S. federal and state taxes. The Corporation is subject to Puerto Rico income tax on its income from all sources. As a Puerto Rico corporation, First BanCorp. is treated as a foreign corporation for U.S. and USVI income tax purposes and is generally subject to U.S. and USVI income tax only on its income from sources within the U.S. and USVI or income effectively connected with the con duct of a trade or business in those regions. Any such tax paid in the U.S. and USVI is also creditable against the Corporation’s Puerto Rico tax liability, subject to certain conditions and limitations. Under the Puerto Rico Internal Revenue Code o f 2011, as amended (the “2011 PR Code”), the Corporation and its subsidiaries are treated as separate taxable entities and are not entitled to file consolidated tax returns and, thus, the Corporation is not able to utilize losses from one subsidiary to off set gains in another subsidiary. Accordingly, in order to obtain a tax benefit from a net operating loss (“NOL”), a particular subsidiary must be able to demonstrate sufficient taxable income within the applicable NOL carry-forward period. The 2011 PR Code provides a dividend received deduction of 100 % on dividends received from “controlled” subsidiaries subject to taxation in Puerto Rico and 85 % on dividends received from other taxable domestic corporations. The Corporation has maintained an effect ive tax rate lower than the maximum statutory rate mainly by investing in government obligations and mortgage-backed securities exempt from U.S. and Puerto Rico income taxes and by doing business through an International Banking Entity (“IBE”) unit of the Bank, and through the Bank’s subsidiary, FirstBank Overseas Corporation, whose interest income and gain on sales is exempt from Puerto Rico income taxation. The IBE and FirstBank Overseas Corporation were created under the International Banking Entity Act of Puerto Rico, which provides for total Puerto Rico tax exemption on net income derived by IBEs operating in Puerto Rico on the specific activities identified in the IBE Act. An IBE that operates as a unit of a bank pays income taxes at the corporate stan dard rates to the extent that the IBE’s net income exceeds 20 % of the bank’s total net taxable income. For the first quarter of 2017, the Corporation recorded an income tax benefit of $8.1 million, compared to an income tax expense of $5.7 million for the same period in 2016. The variance was mostly attributed to a $13.2 million tax benefit recorded in the first quarter of 2017 as a result of the change in tax status of certain subsidiaries from taxable corporations to limited liability companies with an election to be treated as partnerships for income tax purposes in Puerto Rico. On March 1, 2017, the Corporation completed the applicable regulatory filings to change the tax status of its subsidiary, First Federal Finance, from a taxable corporat ion to a non-taxable “pass-through” entity. This election will allow the Corporation to realize tax benefits of its deferred tax assets associated with pass-through ordinary net operating losses available at the banking subsidiary, FirstBank, which were su bject to a full valuation allowance as of December 31, 2016, against now pass-through ordinary income from this profitable subsidiary. Under the Puerto Rico Internal Revenue Code, pass-through ordinary net operating losses can only be used to offset pass-t hrough ordinary income. On March 1, 2017, the Corporation also completed the applicable regulatory filings to change the tax status of its subsidiary, FirstBank Insurance, from a taxable corporation to a non-taxable “pass-through” entity. This election wi ll allow the Corporation to offset pass-through income projected to be earned by FirstBank Insurance with the projected net operating losses at the Holding Company. The aforementioned $ 13.2 million tax benefit was primarily associated with the reversa l of the $13.9 million deferred tax asset valuation allowance previously recorded at FirstBank related to pass-through ordinary net operating losses, partially offset by the elimination of the $0.7 million deferred tax asset previously recorded at FirstBan k Insurance. The remaining difference in the income tax expense was primarily related to an overall decrease in taxable income. For the quarter ended March 31, 2017, the Corporation calculated the provision for income taxes by applying the estimated annua l effective tax rate for the full fiscal year to ordinary income or loss. In the computation of the consolidated worldwide annual estimated effective tax rate, ASC 740-270 requires the exclusion of legal entities with pre-tax losses from which a tax benef it cannot be recognized. The Corporation’s estimated annual effective tax rate in the first quarter of 2017, excluding entities from which a tax benefit cannot be recognized and discrete items, was 24 % compared to 21 % for the first quarter of 2016. The e stimated annual effective tax rate including all entities for 2017 was 13 % ( 25 % excluding discrete items, primarily the tax benefit resulting from the previously mentioned change in the tax status of two subsidiaries) compared to 21 % for the first quarter of 2016. The Corporation’s net deferred tax asset amounted to $ 287.7 million as of March 31, 2017, net of a valuation allowance of $ 195.5 million and management concluded, based upon the assessment of all positive and negative evidence, that it is more likely than not that the Corporation will generate sufficient taxable income within the applicable NOL carry-forward periods to realize such amount. The net deferred tax asset of the Corporation’s banking subsidiary, FirstBank, amounted to $ 287.5 mill ion as of March 31, 2017, net of a valuation allowance of $ 154.7 million, compared to net deferred tax asset of $ 277.4 million, net of a valuation allowance of $ 171.0 million, as of December 31, 2016. As of March 31, 2017, the Corporation did not have Unrecognized Tax Benefits (“UTBs”) recorded on its books. Audit periods remain open for review until the statute of limitations has passed. The statute of limitations under the 2011 PR code is four years; the statute of limitations for U.S. Virgin Islands and U.S. income taxes is three years after a tax return is due or filed, whichever is later. The completion of an audit by the taxing authorities or the expiration of the statute of limitations for a given audit period could result in an adjustment to the Corporation’s liability for income taxes. Any such adjustment could be material to the results of operations for any given quarterly or annual period based, in part, upon the results of operations for the given period. At the beginning of the year 2017, t he IRS had substantially completed the examination of the 2012 U.S. federal tax return. On January 23, 2017, the Corporation received confirmation from the IRS that the audit for the years 2011 and 2012 were closed with no adjustments to the previously fil ed returns. For Virgin Islands and U.S. income tax purposes, all tax years subsequent to 2012 remain open to examination. For Puerto Rico tax purposes, all tax years subsequent to 2011 remain open to examination. |
FAIR VALUE
FAIR VALUE | 3 Months Ended |
Mar. 31, 2017 | |
FAIR VALUE | NOTE 20 – FAIR VALUE Fair Value Measurement The FASB authoritative guidance for fair value measurement defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. This guidance also establishes a fair value hierarchy for classifying financial instruments. The hierarchy is based on whether the inputs to the valuation techniques used to measure fair value are observable or unobservable. Three levels of inputs may be used to measure fair value: Level 1 Valuations of Level 1 assets and liabilities are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 1 assets and liabilities include equity securities that trade in an active exchange market, as well as certain U.S. Treasury and other U.S. government and agency securities and corporate debt securities that are traded by dealers or brokers in active markets. Level 2 Valuations of Level 2 assets and liabilities are based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include (i) mortgage-backed securities for which the fair value is estimated based on the value of identical or comparable assets, (ii) debt securities with quoted prices that are traded less frequently than exchange-traded instruments, and (iii) derivative contracts whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data. Level 3 Valuations of Level 3 assets and liabilities are based on unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models for which the determination of fair value required significant management judgments estimation. For the first quarter of 2017 , there were no transfers into or out of Level 1, Level 2 or Level 3 of the fair value hierarchy. Financial Instruments Recorded at Fair Value on a Recurring Basis Investment securities available for sale The fair value of investment securities was the market value based on quoted market prices (as is the case with equity securities, Treasury notes, and non-callable U.S. Agency debt securities), when available (Level 1), or, when available, market prices for identic al or comparable assets (as is the case with MBS and callable U.S. agency debt) that are based on observable market parameters, including benchmark yields, reported trades, quotes from brokers or dealers, issuer spreads, bids, offers and reference data inc luding market research operations (Level 2). Observable prices in the market already consider the risk of nonperformance. During the first quarter of 2017 and 2016, the Corporation recorded OTTI charges of $12.2 million and $6.3 million, respectively, on c ertain Puerto Rico government debt securities, specifically bonds of the GDB and the Puerto Rico Public Buildings Authority . The credit impairment loss was based on the latest estimates of recovery rates in consideration of the latest information available about the Puerto Rico government’s financial condition, including the recent credit downgrades and the revised fiscal plan published by the Puerto Rico government in March 2017. Refer to Note 4 – Investment Securities, for significant assumptions used to determine the credit impairment portion, including recovery rates, which are unobservable inputs. If listed prices or quotes are not available, fair value is based upon discounted cash flow models that use unobservable inputs due to the limited market acti vity of the instrument, as is the case with certain private label mortgage-backed securities held by the Corporation (Level 3). Private label MBS are collateralized by fixed-rate mortgages on single-family residential properties in the United States; the interest rate on the securities is variable, tied to 3-month LIBOR and limited to the weighted-average coupon of the underlying collateral. The market valuation represents the estimated net cash flows over the projected life of the pool of underlying asse ts applying a discount rate that reflects market observed floating spreads over LIBOR, with a widening spread based on a nonrated security. The market valuation is derived from a model that utilizes relevant assumptions such as the prepayment rate, default rate, and loss severity on a loan level basis. The Corporation modeled the cash flow from the fixed-rate mortgage collateral using a static cash flow analysis according to collateral attributes of the underlying mortgage pool (i.e., loan term, current bal ance, note rate, rate adjustment type, rate adjustment frequency, rate caps, and others) in combination with prepayment forecasts based on historical portfolio performance. The variable cash flow of the security is modeled using the 3-month LIBOR forward c urve. Loss assumptions were driven by the combination of default and loss severity estimates, using an asset-level risk assessment method taking into account loan credit characteristics (loan-to-value, state jurisdiction , delinquency, property type and pricing behavior , and other) to provide an estimate of default and loss severity. Refer to the table below for further information regarding qualitative information for all assets and liabilities measured at fair value using significant unobservable inputs (Level 3). D erivative instruments The fair value of most of the Corporation’s derivative instruments is based on observable market parameters and takes into consideration the credit risk component of paying counterparties, when appropriate, except when collateral is pledged. On interest caps, only the seller's credit risk is considered. The caps were valued using a discounted cash flow approach based on the related LIBOR and swap rate for each cash flow. A credit spread is considered for those derivative instruments that are not secured . The cumulative mark-to-market effect of credit risk in the valuation of derivative instruments for the quarters ended March 31, 2017 and 2016 was immaterial. Assets and liabilities measured at fair value on a recurring basis are summarized below: As of March 31, 2017 As of December 31, 2016 Fair Value Measurements Using Fair Value Measurements Using (In thousands) Level 1 Level 2 Level 3 Assets/Liabilities at Fair Value Level 1 Level 2 Level 3 Assets/Liabilities at Fair Value Assets: Securities available for sale : Equity securities $ 411 $ - $ - $ 411 $ 408 $ - $ - $ 408 U.S. Treasury Securities 7,501 - - 7,501 7,509 - - 7,509 Noncallable U.S. agency debt - 356,121 - 356,121 - 356,919 - 356,919 Callable U.S. agency debt and MBS - 1,424,849 - 1,424,849 - 1,469,463 - 1,469,463 Puerto Rico government obligations - 21,717 1,974 23,691 - 24,707 2,121 26,828 Private label MBS - - 19,308 19,308 - - 20,693 20,693 Other investments - - 100 100 - - 100 100 Derivatives, included in assets: Purchased interest rate cap agreements - 441 - 441 - 554 - 554 Liabilities: Derivatives, included in liabilities: Written interest rate cap agreement - 440 - 440 - 552 - 552 Forward contracts - 257 - 257 - 201 - 201 The table below presents a reconciliation of the beginning and ending balances of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the quarters ended March 31, 2017 and 2016 . Quarter ended March 31, 2017 2016 Level 3 Instruments Only Securities Securities (In thousands) Available For Sale (1) Available For Sale (1) Beginning balance $ 22,914 27,297 Total gains (losses) (realized/unrealized): Included in earnings - (387) Included in other comprehensive income 518 1,258 Principal repayments and amortization (2,050) (1,505) Ending balance $ 21,382 $ 26,663 (1) Amounts mostly related to private label mortgage-backed securities. The table below presents qualitative information for significant assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) as of March 31, 2017: March 31, 2017 (In thousands) Fair Value Valuation Technique Unobservable Input Range Investment securities available-for-sale: Private label MBS $ 19,308 Discounted cash flows Discount rate 14.4% Prepayment rate 8.8% - 17.5% (Weighted Average 13.6%) Projected Cumulative Loss Rate 0.1% - 7.2% (Weighted Average 4.0%) Puerto Rico government obligations 1,974 Discounted cash flows Prepayment rate 3.00% Information about Sensitivity to Changes in Significant Unobservable Inputs Private label MBS : The significant unobservable inputs in the valuation include probability of default, the loss severity assumption and prepayment rates. Shifts in those inputs would result in different fair value measurements. Increases in the probability of default, loss severity assumptions, and prepayment rates in isolation would generally result in an adverse effect on the fair v alue of the instruments. Meaningful and possible shifts of each input were modeled to assess the effect on the fair value estimation. Puerto Rico Government Obligations : The significant unobservable input used in the fair value measurement is the assumed prepayment rate of the underlying residential mortgage loans collateral on these obligations that are guaranteed by the Puerto Rico Housing Finance Authority (“PRHFA”). A significant increase (decrease) in the assumed rate would lead to a higher (lower) f air value estimate. Loss severity and probability of default are not included as significant unobservable variables due to the guarantee of the PRHFA. The PRHFA credit risk is modeled by discounting the cash flows using a curve appropriate to the PRHFA cre dit rating. The table below summarizes changes in unrealized gains and losses recorded in earnings for the quarters ended March 31, 2017 and 2016 for Level 3 assets and liabilities that are still held at the end of each period: Changes in Unrealized Losses Changes in Unrealized Losses (Quarter ended March 31, 2017) (Quarter Ended March 31, 2016) Level 3 Instruments Only Securities Securities Available For Sale Available For Sale (In thousands) Changes in unrealized losses relating to assets still held at reporting date: Net impairment losses on investment securities (credit component) $ - $ (387) Additionally, fair value is used on a nonrecurring basis to evaluate certain assets in accordance with GAAP. Adjustments to fair value usually result from the application of lower-of-cost or market accounting (e.g., loans held for sale carried at the lower-of-cost or fair value and repossessed assets) or write downs of individual assets (e.g., goodwill, loans). As of March 31, 2017, impairment or valuation adjustments were recorded for assets recognized at fair value on a non-recurring basis as shown in the following table: Carrying value as of March 31, 2017 (Losses) recorded for the Quarter Ended March 31, 2017 Level 1 Level 2 Level 3 (In thousands) Loans receivable (1) $ - $ - $ 430,162 $ (15,211) Other Real Estate Owned (2) - - 137,784 (4,180) Mortgage servicing rights (3) - - 26,330 (160) (1) Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g., absorption rates), which are not market observable. (2) The fair value was derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the properties (e.g., absorption rates and net operating income of income producing properties), that are not market observable. Losses were related to market valuation adjustments after the transfer of the loans to the OREO portfolio. (3) Fair value adjustments to mortgage servicing rights were mainly due to assumptions associated with mortgage prepayment rates. The Corporation carries its mortgage servicing rights at the lower of cost or market, measured at fair value on a non-recurring basis. Assumptions for the value of mortgage servicing rights include: Prepayment rate 6.17%, Discount Rate 11.20%. As of March 31, 2016, impairment or valuation adjustments were recorded for assets recognized at fair value on a non-recurring basis as shown in the following table: Carrying value as of March 31, 2016 Gains (Losses) recorded for the Quarter Ended March 31, 2016 Level 1 Level 2 Level 3 (In thousands) Loans receivable (1) $ - $ - $ 304,498 $ 675 Other Real Estate Owned (2) - - 142,888 (2,910) Mortgage servicing rights (3) - - 24,692 27 (1) Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g. absorption rates), which are not market observable. (2) The fair value was derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the properties (e.g., absorption rates and net operating income of income producing properties) that are not market observable. Losses were related to market valuation adjustments after the transfer of the loans to the OREO portfolio. (3) Fair value adjustments to the mortgage servicing rights were mainly due to assumptions associated with mortgage prepayments rates. The Corporation carries its mortgage servicing rights at the lower of cost or market, measured at fair value on a non-recurring basis. Assumptions for the value of mortgage servicing rights include: Prepayment Rate 10.06%, Discount Rate 10.67%. Qualitative information regarding the fair value measurements for Level 3 financial instruments are as follows: March 31, 2017 Method Inputs Loans Income, Market, Comparable Sales, Discounted Cash Flows External appraised values; probability weighting of broker price opinions; management assumptions regarding market trends or other relevant factors OREO Income, Market, Comparable Sales, Discounted Cash Flows External appraised values; probability weighting of broker price opinions; management assumptions regarding market trends or other relevant factors Mortgage servicing rights Discounted Cash Flows Weighted average prepayment rate of 6.17%; weighted average discount rate of 11.20% The following is a description of the valuation methodologies used for instruments that are not measured or reported at fair value on a recurring basis or reported at fair value on a non-recurring basis. The estimated fair value was calculated using certain facts and assumptions, which vary depending on the specific financial instrument. Cash and due from banks and money market investments The carrying amounts of cash and due from banks and money market investments are reasonable estimates of their fair value. Money market investments include held-to-maturity securities, which have a contractual maturity of three months or less. The fair value of these securities is based on quoted market prices in active markets that incorporate the risk of n onperformance. Investment securities held to maturity Investment securities held to maturity consist of financing arrangements with Puerto Rico municipalities issued in bond form, but underwritten as loans with features that are typically found in commercial loan transactions. These obligations typically are not issued in bearer form, nor are they registered with the SEC and are not rated by external credit agencies. The fair value of these financing arrangements was based on a discounted cash flow analysis using risk-adjusted discount rates (Level 3). A security with similar characteristics traded in the open market is used as a proxy for each municipal bond. Then the cash flow is discounted at the average spread over the discount curve exhibited by the proxy security at the end of each quarter. Other equity securities Equity or other securities that do not have a readily available fair value are stated at their net realizable value, which management believes is a reasonable proxy for their fair value. This category is principally composed of stock that is owned by the Corporation to comply with FHLB regulatory requirements. The realizable value of the FHLB stock equals its cost as this stock can be freely redeemed at par. Loans receivable, including loans held for sale T he fair value of loans held for investment and of mortgage loans held for sale was estimated using discounted cash flow analyses, based on interest rates currently being offered for loans with similar terms and credit quality and with adjustments that the Cor poration’s management believes a market participant would consider in determining fair value. Loans were classified by type, such as commercial, residential mortgage, and automobile. These asset categories were further segmented into fixed- and adjustable- rate categories. Valuations are carried out based on categories and not on a loan-by-loan basis. The fair values of performing fixed-rate and adjustable-rate loans were calculated by discounting expected cash flows through the estimated maturity date. Th is fair value is not currently an indication of an exit price as that type of assumption could result in a different fair value estimate. The fair value of credit card loans was estimated using a discounted cash flow method and excludes any value related t o a customer account relationship. Other loans with no stated maturity, like credit lines, were valued at book value. Prepayment assumptions were considered for non-residential loans. For residential mortgage loans, prepayment estimates were based on a pre payment model that combined both a historical calibration and current market prepayment expectations. Discount rates were based on the U.S. Treasury and LIBOR/Swap Yield Curves at the date of the analysis, and included appropriate adjustments for expected credit losses and liquidity. For impaired collateral dependent loans, the impairment was primarily measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observable transactions involvi ng similar assets in similar locations. Deposits The estimated fair value of demand deposits and savings accounts, which are deposits with no defined maturities, equals the amount payable on demand at the reporting date. The fair values of retail fixed-rate time deposits, with stated maturities, are based on the present value of the future cash flows expected to be paid on the deposits. The cash flows were based on contractual maturities; no early repayments were assumed. Discount rates were based on the LIBOR yield curve. The estimated fair value of total deposits excludes the fair value of core deposit intangibles, which represent the value of the customer relationship. The fair value of total deposits is measured by the value of demand deposits and savings deposits that b ear a low or zero rate of interest and do not fluctuate in response to changes in interest rates. The fair value of brokered CDs, which are included within deposits, is determined using discounted cash flow analyses over the full term of the CDs. The fair value of the CDs is computed using the outstanding principal amount. The discount rates used were based on brokered CD market rates as of March 31, 2017 . The fair value does not incorporate the risk of nonperformance, since interests in brokered CDs are generally sold by brokers in amounts of less than $ 250,000 and, therefore, are insured by the FDIC. Securities sold under agreements to repurchase Some repurchase agreements reprice at least quarterly, and their outstanding balances are estimate d to be their fair value. Where longer commitments are involved, fair value is estimated using exit price indications of the cost of unwinding the transactions as of the end of the reporting period. The brokers who are the counterparties provide these indications, which the Corporation evaluates. Securities sold under agreements to repurchase are fully collateralized by investment securities. Advances from FHLB The fair value of advances from the FHLB with fixed maturities is determined using discounted cash flow analyses over the full terms of the borrowings, using indications of the fair value of similar transactions. The cash flows assume no early repayment of the borrowings. Discount rates are based on the LIBOR yield curve. Advances from the FHLB are fully collateralized by mortgage loans a nd, to a lesser extent, investment securities. Other borrowings Other borrowings consist of junior subordinated debentures. Projected cash flows from the debentures were discounted using the Bloomberg BB Finance curve plus a credit spread. This credit sp read was estimated using the difference in yield curves between s wap rates and a yield curve that considers the industry and credit rating of the Corporation as issuer of the debenture at a tenor comparable to the time to maturity of the debentures. The following tables presents the carrying value, estimated fair value and estimated fair value level of the hierarchy of financial instruments as of March 31, 2017 and December 31, 2016: Total Carrying Amount in Statement of Financial Condition March 31, 2017 Fair Value Estimate March 31, 2017 Level 1 Level 2 Level 3 (In thousands) Assets: Cash and due from banks and money market investments $ 424,122 $ 424,122 $ 424,122 $ - $ - Investment securities available for sale 1,831,981 1,831,981 7,912 1,802,687 21,382 Investment securities held to maturity 156,049 136,614 - - 136,614 Other equity securities 38,492 38,492 - 38,492 - Loans held for sale 45,906 48,217 - 38,431 9,786 Loans held for investment 8,822,349 Less: allowance for loan and lease losses (203,231) Loans held for investment, net of allowance $ 8,619,118 8,367,980 - - 8,367,980 Derivatives, included in assets 441 441 - 441 - Liabilities: Deposits 8,857,998 8,867,714 - 8,867,714 - Securities sold under agreements to repurchase 300,000 334,747 - 334,747 - Advances from FHLB 570,000 569,522 - 569,522 - Other borrowings 216,187 177,436 - - 177,436 Derivatives, included in liabilities 697 697 - 697 - Total Carrying Amount in Statement of Financial Condition December 31, 2016 Fair Value Estimate December 31, 2016 Level 1 Level 2 Level 3 (In thousands) Assets: Cash and due from banks and money market investments $ 299,685 $ 299,685 $ 299,685 $ - $ - Investment securities available for sale 1,881,920 1,881,920 7,917 1,851,089 22,914 Investment securities held to maturity 156,190 132,759 - - 132,759 Other equity securities 42,992 42,992 - 42,992 - Loans held for sale 50,006 52,707 - 42,921 9,786 Loans held for investment 8,886,873 Less: allowance for loan and lease losses (205,603) Loans held for investment, net of allowance $ 8,681,270 8,455,104 - - 8,455,104 Derivatives, included in assets 554 554 - 554 - Liabilities: Deposits 8,831,205 8,838,606 - 8,838,606 - Securities sold under agreements to repurchase 300,000 335,840 - 335,840 - Advances from FHLB 670,000 669,687 - 669,687 - Other borrowings 216,187 171,374 - - 171,374 Derivatives, included in liabilities 753 753 - 753 - |
SUPPLEMENTAL CASH FLOW INFORMAT
SUPPLEMENTAL CASH FLOW INFORMATION | 3 Months Ended |
Mar. 31, 2017 | |
SUPPLEMENTAL CASH FLOW INFORMATION | NOTE 21 – SUPPLEMENTAL CASH FLOW INFORMATION Supplemental cash flow information is as follows: Quarter Ended March 31, 2017 2016 (In thousands) Cash paid for: Interest on borrowings $ 22,001 $ 23,148 Non-cash investing and financing activities: Additions to other real estate owned 13,597 9,145 Additions to auto and other repossessed assets 11,516 14,873 Capitalization of servicing assets 875 1,161 Loan securitizations 60,525 67,728 Property plant and equipment transferred to other assets 1,185 - |
SEGMENT INFORMATION
SEGMENT INFORMATION | 3 Months Ended |
Mar. 31, 2017 | |
SEGMENT INFORMATION | NOTE 22 – SEGMENT INFORMATION Based upon the Corporation’s organizational structure and the information provided to the Chief Executive Officer of the Corporation and, to a lesser extent, the Board of Directors, the operating segment are driven primarily by the Corporation’s lines of business for its operations in Puerto Rico, the Corporation’s principal market, and by geographic areas for its operations outside of Puerto Rico. As of March 31, 2017 , the Corporation had six reportable segment : Commercial and Corporate Banking; Mortgage Banking; Consumer (Retail) Banking; Treasury and Investme nts; United States Operations; and Virgin Islands Operations. Management determined the reportable segment based on the internal reporting used to evaluate performance and to assess where to allocate resources. Other factors such as the Corporation’s organizational chart, nature of the products, distribution channels, and the economic characteristics of the product were also considered in the determ ination of the reportable segment . The Commercial and Corporate Banking segment consists of the Corporation’s lending and other services for large customers represented by specialized and middle-market clients and the public sector. The Commercial and Co rporate Banking segment offers commercial loans, including commercial real estate and construction loans, and floor plan financings, as well as other products, such as cash management and business management services. The Mortgage Banking segment consists of the origination, sale, and servicing of a variety of residential mortgage loans. The Mortgage Banking segment also acquires and sells mortgages in the secondary markets. In addition, the Mortgage Banking segment includes mortgage loans purchased from o ther local banks and mortgage bankers. The Consumer (Retail) Banking segment consists of the Corporation’s consumer lending and deposit-taking activities conducted mainly through its branch network and loan centers. The Treasury and Investments segment is responsible for the Corporation’s investment portfolio and treasury functions executed to manage and enhance liquidity. This segment lends funds to the Commercial and Corporate Banking, Mortgage Banking and Consumer (Retail) Banking segments to finance t heir lending activities and borrows from those segments. The Consumer (Retail) Banking and the United States Operations segments also lend funds to the other segments. The interest rates charged or credited by Treasury and Investments, the Consumer (Retai l) Banking and the United States Operations segments are allocated based on market rates. The difference between the allocated interest income or expense and the Corporation’s actual net interest income from centralized management of funding costs is repor ted in the Treasury and Investments segment. The United States Operations segment consists of all banking activities conducted by FirstBank in the United States mainland, including commercial and retail banking services. The Virgin Islands Operations segm ent consists of all banking activities conducted by the Corporation in the USVI and BVI, including commercial and retail banking services. The accounting policies of the segments are the same as those referred to in Note 1, “Basis of Presentation and Sign ificant Accounting Policies,” in the audited consolidated financial statements of the Corporation for the year ended December 31, 2016, which are included in the Corporation’s 2016 Annual Report on Form 10-K. The Corporation evaluates the performance of t he segments based on net interest income, the provision for loan and lease losses, non-interest income, and direct non-interest expenses. The segments are also evaluated based on the average volume of their interest-earning assets less the allowance for lo an and lease losses. The following table presents information about the reportable segments: (In thousands) Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Treasury and Investments United States Operations Virgin Islands Operations Total For the quarter ended March 31, 2017: Interest income $ 33,958 $ 42,917 $ 29,411 $ 13,757 $ 15,789 $ 9,396 $ 145,228 Net (charge) credit for transfer of funds (11,698) 4,909 (9,318) 16,233 (126) - - Interest expense - (5,900) - (11,806) (4,195) (778) (22,679) Net interest income 22,260 41,926 20,093 18,184 11,468 8,618 122,549 (Provision) release for loan and lease losses (8,936) (7,142) (8,055) - 35 (1,344) (25,442) Non-interest income (loss) 3,586 13,379 1,237 (12,170) 505 1,706 8,243 Direct non-interest expenses (9,879) (27,418) (9,367) (1,207) (7,859) (6,750) (62,480) Segment income $ 7,031 $ 20,745 $ 3,908 $ 4,807 $ 4,149 $ 2,230 $ 42,870 Average earnings assets $ 2,500,750 $ 1,775,931 $ 2,548,936 $ 2,157,882 $ 1,393,215 $ 617,820 $ 10,994,534 (In thousands) Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Treasury and Investments United States Operations Virgin Islands Operations Total For the quarter ended March 31, 2016: Interest income $ 35,219 $ 46,066 $ 33,548 $ 13,760 $ 12,724 $ 9,514 $ 150,831 Net (charge) credit for transfer of funds (12,924) 3,882 (6,096) 14,526 612 - - Interest expense - (6,162) - (15,469) (3,689) (863) (26,183) Net interest income 22,295 43,786 27,452 12,817 9,647 8,651 124,648 (Provision) release for loan and lease losses (6,140) (8,537) (7,548) - (210) 1,382 (21,053) Non-interest income (loss) 4,487 12,736 561 (2,401) 1,183 1,903 18,469 Direct non-interest expenses (10,833) (32,089) (9,664) (1,050) (7,261) (6,989) (67,886) Segment income $ 9,809 $ 15,896 $ 10,801 $ 9,366 $ 3,359 $ 4,947 $ 54,178 Average earnings assets $ 2,602,209 $ 2,030,598 $ 2,552,200 $ 2,777,748 $ 1,140,630 $ 629,037 $ 11,732,422 The following table presents a reconciliation of the reportable segment financial information to the consolidated totals: Quarter Ended March 31, 2017 2016 Net income: Total income for segments and other $ 42,870 $ 54,178 Other operating expenses (1) (25,402) (25,111) Income before income taxes 17,468 29,067 Income tax benefit (expense) 8,073 (5,723) Total consolidated net income $ 25,541 $ 23,344 Average assets: Total average earning assets for segments $ 10,994,534 $ 11,732,422 Average non-earning assets 886,492 922,010 Total consolidated average assets $ 11,881,026 $ 12,654,432 (1) Expenses pertaining to corporate administrative functions that support the operating segment but are not specifically attributable to or managed by any segment are not included in the reported financial results of the operating segments. The unallocated corporate expenses include certain general and administrative expenses and related depreciation and amortization expenses. |
REGULATORY MATTERS, COMMITMENTS
REGULATORY MATTERS, COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2017 | |
REGULATORY MATTERS, COMMITMENTS AND CONTINGENCIES | NOTE 23 – REGULATORY MATTERS, COMMITMENTS AND CONTINGENCIES The Corporation and FirstBank are each subject to various regulatory capital requirements imposed by the federal banking agencies. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material adverse effect on the Corporation’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Corporation must meet specific capital guidelines that involve quantitative m easures of the Corporation’s and FirstBank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Corporation’s capital amounts and classification are also subject to qualitative judgments and adj ustment by the regulators with respect to minimum capital requirements, components, risk weightings, and other factors. First BanCorp. is subject to the Written Agreement that the Corporation entered into with the New York FED on June 3, 2010. The Written Agreement provides, among other things, that the holding company must serve as a source of strength to FirstBank, and that, except with the consent generally of the New York FED and/or the Federal Reserve Board, (1) the holding company may not pay dividen ds to stockholders or receive dividends from FirstBank, (2) the holding company and its nonbank subsidiaries may not make payments on trust-preferred securities or subordinated debt, and (3) the holding company cannot incur, increase, or guarantee debt or repurchase any capital securities. The Written Agreement also required the holding company to submit a capital plan acceptable to the New York FED that reflected sufficient capital at First BanCorp. on a consolidated basis and follow certain guidelines wit h respect to the appointment or change in responsibilities of senior officers. The foregoing summary is not complete and is qualified in all respects by reference to the actual language of the Written Agreement, which the Corporation filed with the SEC. T he Corporation submitted its Capital Plan setting forth its plans for how to improve its capital positions to comply with the Written Agreement over time. In addition to the Capital Plan, the Corporation submitted to its regulators a liquidity and brokered CD plan, including a contingency funding plan, a non-performing asset reduction plan, a budget and profit plan, a strategic plan, and a plan for the reduction of classified and special mention assets. As of March 31, 2017 , the Corporation had com pleted all of the items included in the Capital Plan and is continuing to work on reducing non-performing loans. The Written Agreement also requires the submission to the regulators of quarterly progress reports. Although the Corporation and FirstBank b ecame subject to the U.S. Basel III capital rules (“Basel III rules”) beginning on January 1, 2015, certain requirements of the Basel III rules will be phased in over several years. The phase-in period for certain deductions and adjustments to regulatory c apital (such as certain intangible assets and deferred tax assets that arise from net operating losses and tax credit carryforwards) will be completed on January 1, 2018. The Corporation and FirstBank compute risk-weighted assets using the Standardized App roach required by the Basel III rules. The Basel III rules require the Corporation to maintain an additional CET1 capi tal conservation buffer of 2.5 % to avoid limitations on both (i) capital distributions (e.g. repurchases of capital instruments or divide nd or interest payments on capital instruments), and (ii) discretionary bonus payments to executive officers and heads of major business lines. The phase-in of the capital conservation buffer beg a n on January 1, 2016 with a first year requirement of 0.625 % of additional Common Equity Tier 1 Capital (“ CET1 ”) , which is being progressively increased over a four-year period, increasing by that same percentage amount on each subsequent January 1 until it reaches the fully phased - in 2.5% CET1 requirement on Janua ry 1, 2019. Under the fully phased-in Basel III rules, in order to be considered adequately capitalized, the Corporation will be required to maintain: (i) a minimum CET1 capital to risk-weighted assets ratio of at least 4.5 %, plus the 2.5% “capital conser vation buffer,” resulting in a required minimum CET1 ratio of at least 7 %, (ii) a minimum ratio of total Tier 1 capital to risk-weighted assets of at least 6.0 %, plus the 2.5% capital conservation buffer, resulting in a required minimum Tier 1 capital rati o of 8.5 %, (iii) a minimum ratio of total Tier 1 plus Tier 2 capital to risk-weighted assets of at least 8.0 %, plus the 2.5% capital conservation buffer, resulting in a required minimum total capital ratio of 10.5 % , and (iv) a required minimum leverage rat io of 4 %, calculated as the ratio of Tier 1 capital to average on-balance sheet (non-risk adjusted) assets. In addition, as required under the Basel III rules, the Corporation’s trust preferred securities (“TRuPs”) were fully phased out from Tier 1 capital as of January 1, 2016 . However, the Corporation’s TRuPs may continue to be included in Tier 2 capital until the instruments are redeemed or mature . Please refer to the discussion in “Part I – Item 7 – Business – Supervision and Regulation” included in the Corporation’s 2016 Form 10-K for a more complete discussion of supervision and regulatory matters and activities that affect the Corporation and its subsidiaries. The Corporation's and its banking subsidiary's regulatory capital positions as of March 31, 2017 and December 31, 2016 were as follows: Regulatory Requirements Actual For Capital Adequacy Purposes To be Well-Capitalized-General Thresholds Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of March 31, 2017 Total Capital (to Risk-Weighted Assets) First BanCorp. $ 1,936,905 21.85% $ 709,179 8.0% N/A N/A FirstBank $ 1,887,081 21.29% $ 709,013 8.0% $ 886,266 10.0% Common Equity Tier 1 Capital (to Risk-Weighted Assets) First BanCorp. $ 1,614,885 18.22% $ 398,913 4.5% N/A N/A FirstBank $ 1,504,723 16.98% $ 398,820 4.5% $ 576,073 6.5% Tier I Capital (to Risk-Weighted Assets) First BanCorp. $ 1,614,885 18.22% $ 531,884 6.0% N/A N/A FirstBank $ 1,774,783 20.03% $ 531,760 6.0% $ 709,013 8.0% Leverage ratio First BanCorp. $ 1,614,885 13.83% $ 466,944 4.0% N/A N/A FirstBank $ 1,774,783 15.22% $ 466,340 4.0% $ 582,925 5.0% As of December 31, 2016 Total Capital (to Risk-Weighted Assets) First BanCorp. $ 1,921,329 21.34% $ 720,329 8.0% N/A N/A FirstBank $ 1,872,120 20.80% $ 720,091 8.0% $ 900,114 10.0% Common Equity Tier 1 Capital (to Risk-Weighted Assets) First BanCorp. $ 1,597,117 17.74% $ 405,185 4.5% N/A N/A FirstBank $ 1,523,332 16.92% $ 405,051 4.5% $ 585,074 6.5% Tier I Capital (to Risk-Weighted Assets) First BanCorp. $ 1,597,117 17.74% $ 540,247 6.0% N/A N/A FirstBank $ 1,757,642 19.53% $ 540,068 6.0% $ 720,091 8.0% Leverage ratio First BanCorp. $ 1,597,117 13.70% $ 466,376 4.0% N/A N/A FirstBank $ 1,757,642 15.10% $ 465,740 4.0% $ 582,174 5.0% The Corporation enters into financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments may include commitments to extend credit and commitments to sell mortgage loans at fair value. As of March 3 1 , 201 7 , commitments to extend credit amounted to approximately $ 1.2 billion, of which $ 680.7 million relates to credit card loans. Commercial and Financial standby letters of credit amounted to approximately $ 55. 0 million. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any conditions established in the contract. Commitments generally have fixed expiration dates or other termination clauses. Since certain commi tments are expected to expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. For most of the commercial lines of credit, the Corporation has the option to reevaluate the agreement prior to mak ing additional disbursements. In the case of credit cards and personal lines of credit, the Corporation can cancel the unused credit facility at any time and without cause. Generally, the Corporation do es not enter into interest rate lock agreements with p rospective borrowers in connection with its mortgage banking activities. As of March 31, 2017, First BanCorp. and its subsidiaries were defendants in various legal proceedings arising in the ordinary course of business. On at least a quarterly basis, the Corporation assesses its liabilities and contingencies in connection with threatened and outstanding legal cases, matters and proceedings, utilizing the latest information available. For cases, matters and proceedings where it is both probable the Cor poration will incur a loss and the amount can be reasonably estimated, the Corporation establishes an accrual for the loss. Once established, the accrual is adjusted as appropriate to reflect any relevant developments. For cases, matters or proceedings whe re a loss is not probable or the amount of the loss cannot be estimated, no accrual is established. Any est imate involves significant judg ment, given the varying stages of the proceedings (including the fact that some of them are currently in preliminary stages), the existence of multiple defendants in some of the current proceedings whose share of liability has yet to be determined, the numerous unresolved issues in the proceedings, and the inherent uncertainty of the various potential outcomes of such pr oceedings. Accordingly, the Corporation’s estimate will change from time-to-time, and actual losses may be more or less than the current estimate. While the final outcome of legal cases, matters, and proceedings is inherently uncertain, based on informati on currently available, Management believes that the final disposition of the Corporation’s legal cases, matters or proceedings to the extent not previously provided for, will not have a material negative adverse effect on the Corporation’s consolidated fi nancial position as a whole. If management believes that, based on available information, it is at least reasonably possible that a material loss (or additional material loss in excess of any accrual) will be incurred in connection with any legal actions, the Corporation discloses an estimate of the possible loss or range of loss, either individually or in the aggregate, as appropriate, if such an estimate can be made, or discloses that an estimate cannot be made. Based on the Corporation’s assessment at Ma rch 31, 2017, no such disclosures were necessary. However in the event of unexpected future developments, it is possible that the ultimate resolution of these cases, matters and proceedings, if unfavorable, may be material to the Corporation’s consolidat ed financial position on a particular period. Ramirez Torres, et al. v Banco Popular de Puerto Rico, et al. FirstBank Puerto Rico has been named a defendant in a class action complaint captioned Ramirez Torres , et al. v. Banco Popular de Puerto Rico, et al. The complaint seeks damages and preliminary and permanent injunctive relief on behalf of the purported class against Banco Popular de Puerto Rico and other financial institutions with insurance agency subsidiaries in Puerto Rico. Plaintiffs contend tha t in November 2015, Antilles Insurance Company obtained approval from the Puerto Rico Insurance Commissioner to market an endorsement that allowed its customers to obtain a reimbursement on their insurance premium for good experience, but that defendants f ailed to offer this product or disclose its existence to their customers, favoring other products instead, in violation of their fiduciary duties as insurance producers. Plaintiffs seek a determination that defendants unlawfully failed to comply with their fiduciary duty to disclose the existence of this new insurance benefit from this carrier, as well as double or treble damages (the latter subject to a determination that defendants engaged in anti-monopolistic practices in failing to offer this product). |
FIRST BANCORP. (Holding Company
FIRST BANCORP. (Holding Company Only) Financial Information | 3 Months Ended |
Mar. 31, 2017 | |
FIRST BANCORP. (Holding Company Only) Financial Information | NOTE 24 – FIRST BANCORP. (HOLDING COMPANY ONLY) FINANCIAL INFORMATION The following condensed financial information presents the financial position of the Holding Company only as of March 31, 2017 and December 31, 2016 and the results of its operations for the quarters ended March 31, 2017 and 2016 . Statements of Financial Condition As of March 31, As of December 31, 2017 2016 (In thousands) Assets Cash and due from banks $ 28,312 $ 29,393 Money market investments 6,111 6,111 Other investment securities 285 285 Loans held for investment, net 217 227 Investment in First Bank Puerto Rico, at equity 1,982,203 1,946,211 Investment in First Bank Insurance Agency, at equity 13,052 10,941 Investment in FBP Statutory Trust I 2,929 2,929 Investment in FBP Statutory Trust II 3,561 3,561 Other assets 4,083 3,791 Total assets $ 2,040,753 $ 2,003,449 Liabilities and Stockholders' Equity Liabilities: Other borrowings $ 216,187 $ 216,187 Accounts payable and other liabilities 1,549 1,019 Total liabilities 217,736 217,206 Stockholders' equity 1,823,017 1,786,243 Total liabilities and stockholders' equity $ 2,040,753 $ 2,003,449 Statements of Income Quarter Ended March 31, March 31, 2017 2016 (In thousands) Income: Interest income on money market investments $ 5 $ 5 Dividends from banking subsidiaries 1,930 - Dividends from non-banking subsidiaries - 7,000 Other income 62 60 1,997 7,065 Expense: Other borrowings 1,963 1,979 Other operating expenses 967 650 2,930 2,629 Gain on early extinguishment of debt - 4,217 (Loss) income before income taxes and equity in undistributed earnings of subsidiaries (933) 8,653 Equity in undistributed earnings of subsidiaries 26,474 14,691 Net income $ 25,541 $ 23,344 Other comprehensive income, net of tax 10,696 30,391 Comprehensive income $ 36,237 $ 53,735 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2017 | |
SUBSEQUENT EVENTS | NOTE 25 – SUBSEQUENT EVENTS On May 10, 2017, the U.S. Department of the Treasury announced that it had agreed to sell all of its remaining 10,291,553 shares of the Corporation’s common stock. This transaction does not have a financial impact on the Corporation. The U.S. Department o f the Treasury continues to hold a warrant to purchase 1,285,899 shares of the Corporation’s common stock. The Corporation has performed an evaluation of all other events occurring subsequent to March 31, 2017; management has determined that there are no additional events occurring in this period that require disclosure in or adjustment to the accompanying financial statements. |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Schedule of Earning Per Share [Table Text Block] | The calculations of earnings per common share for the quarters ended on March 31, 2017 and 2016 are as follows: Quarter Ended March 31, March 31, 2017 2016 (In thousands, except per share information) Net income $ 25,541 $ 23,344 Less: Preferred stock dividends (669) - Net income attributable to common stockholders $ 24,872 $ 23,344 Weighted-Average Shares: Average common shares outstanding 213,340 212,348 Average potential dilutive common shares 4,033 926 Average common shares outstanding-assuming dilution 217,373 213,274 Earnings per common share: Basic $ 0.12 $ 0.11 Diluted $ 0.11 $ 0.11 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Activity of Stock Options | The activity of stock options granted under the 1997 stock option plan for the quarter ended March 31, 2017 is set forth below: Number of Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (In thousands) Beginning of period outstanding and exercisable 34,989 $ 138.00 Options expired (34,989) 138.00 End of period outstanding and exercisable - $ - - $ - |
Restricted Stock Activity Under Omnibus Plan | The following table summarizes the restricted stock activity in the first quarter of 2017 under the Omnibus Plan for both executive officers covered by TARP requirements and other employees as well as for the independent directors: Quarter Ended March 31, 2017 Number of shares of Weighted-Average restricted Grant Date stock Fair Value Non-vested shares at beginning of period 4,178,791 $ 2.58 Granted 952,976 3.04 Forfeited (6,000) 4.42 Vested (1) (293,019) 4.40 Non-vested shares at March 31, 2017 4,832,748 $ 2.90 (1) Includes 153,864 shares of restricted stock released from TARP restrictions. |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Investment Securities Available for Sale | March 31, 2017 Amortized cost Noncredit Loss Component of OTTI Recorded in OCI Gross Fair value Weighted-average yield% Unrealized gains losses (Dollars in thousands) U.S. Treasury securities: Due within one year $ 7,502 $ - $ - $ 1 $ 7,501 0.57 Obligations of U.S. government-sponsored agencies: Due within one year 50,000 - - 31 49,969 1.05 After 1 to 5 years 390,440 - 108 2,549 387,999 1.37 After 5 to 10 years 16,943 - 13 258 16,698 1.95 After 10 years 43,345 - 4 188 43,161 1.36 Puerto Rico-government obligations: After 1 to 5 years 10,126 3,776 - - 6,350 - After 10 years 21,059 1,902 58 1,874 17,341 1.89 United States and Puerto Rico government obligations 539,415 5,678 183 4,901 529,019 1.34 Mortgage-backed securities: FHLMC certificates: After 5 to 10 years 22,867 - 78 - 22,945 2.15 After 10 years 286,682 - 360 5,304 281,738 2.16 309,549 - 438 5,304 304,683 2.16 GNMA certificates: After 1 to 5 years 76 - 2 - 78 3.83 After 5 to 10 years 86,431 - 1,728 - 88,159 3.06 After 10 years 118,596 - 8,589 - 127,185 4.36 205,103 - 10,319 - 215,422 3.81 FNMA certificates: Due within one year 98 - 1 - 99 4.48 After 1 to 5 years 20,404 - 476 - 20,880 2.36 After 5 to 10 years 19,785 - - 257 19,528 2.01 After 10 years 668,295 - 4,680 8,558 664,417 2.36 708,582 - 5,157 8,815 704,924 2.35 Collateralized mortgage obligations guaranteed by the FHLMC and GNMA After 5 to 10 years 19,358 - 48 - 19,406 1.63 After 10 years 38,697 - 30 19 38,708 1.65 58,055 - 78 19 58,114 1.64 Other mortgage pass-through trust certificates: After 10 years 26,701 7,393 - - 19,308 2.41 Total mortgage-backed securities 1,307,990 7,393 15,992 14,138 1,302,451 2.50 Other After 1 to 5 years 100 - - - 100 1.50 Equity securities (1) 417 - - 6 411 2.08 Total investment securities available for sale $ 1,847,922 $ 13,071 $ 16,175 $ 19,045 $ 1,831,981 2.15 (1) Equity securities consisted of investment in a Community Reinvestment Act Qualified Investment Fund. December 31, 2016 Amortized cost Noncredit Loss Component of OTTI Recorded in OCI Gross Fair value Weighted-average yield% Unrealized gains losses (Dollars in thousands) U.S. Treasury securities: Due within one year $ 7,508 $ - $ 1 $ - $ 7,509 0.57 Obligations of U.S. government-sponsored agencies: After 1 to 5 years 440,438 - 142 2,912 437,668 1.33 After 5 to 10 years 16,942 - 9 256 16,695 1.91 After 10 years 44,145 - 8 166 43,987 1.12 Puerto Rico government obligations: After 1 to 5 years 21,422 12,222 - - 9,200 - After 10 years 21,245 2,028 73 1,662 17,628 1.86 United States and Puerto Rico government obligations 551,700 14,250 233 4,996 532,687 1.29 Mortgage-backed securities: FHLMC certificates: After 5 to 10 years 5,908 - 72 - 5,980 2.25 After 10 years 314,906 - 261 5,827 309,340 2.17 320,814 - 333 5,827 315,320 2.17 GNMA certificates: After 1 to 5 years 83 - 3 - 86 3.82 After 5 to 10 years 91,744 - 1,635 92 93,287 3.06 After 10 years 123,548 - 9,706 - 133,254 4.36 215,375 - 11,344 92 226,627 3.81 FNMA certificates: Due within one year 152 - 2 - 154 4.71 After 1 to 5 years 24,409 - 435 - 24,844 2.18 After 5 to 10 years 17,181 - - 261 16,920 1.87 After 10 years 690,625 - 4,136 9,406 685,355 2.35 732,367 - 4,573 9,667 727,273 2.33 Collateralized mortgage obligations issued or guaranteed by the FHLMC and GNMA: After 1 to 5 years 19,851 - 4 31 19,824 1.42 After 10 years 39,120 - - 132 38,988 1.44 58,971 - 4 163 58,812 1.43 Other mortgage pass-through trust certificates: After 10 years 28,815 8,122 - - 20,693 2.40 Total mortgage-backed securities 1,356,342 8,122 16,254 15,749 1,348,725 2.49 Other After 1 to 5 years 100 - - - 100 1.50 Equity Securities (1) 415 - - 7 408 2.44 Total investment securities available for sale $ 1,908,557 $ 22,372 $ 16,487 $ 20,752 $ 1,881,920 2.14 (1) Equity securities consisted of investment in a Community Reinvestment Act Qualified Investment Fund. |
Available-for-Sale Investments' Fair Value and Gross Unrealized Losses | As of March 31, 2017 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico-government obligations $ - $ - $ 19,506 $ 7,552 $ 19,506 $ 7,552 U.S. Treasury and U.S. government agencies obligations 477,100 2,988 6,586 39 483,686 3,027 Mortgage-backed securities: FNMA 530,249 8,815 - - 530,249 8,815 FHLMC 236,864 5,304 - - 236,864 5,304 Collateralized mortgage obligations issued or guaranteed by FHLMC and GNMA 19,102 19 - - 19,102 19 Other mortgage pass-through trust certificates - - 19,308 7,393 19,308 7,393 Equity securities 411 6 - - 411 6 $ 1,263,726 $ 17,132 $ 45,400 $ 14,984 $ 1,309,126 $ 32,116 As of December 31, 2016 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico-government obligations $ - $ - $ 22,609 $ 15,912 $ 22,609 $ 15,912 U.S. Treasury and U.S. government agencies obligations 469,046 3,334 - - 469,046 3,334 Mortgage-backed securities: FNMA 519,008 9,667 - - 519,008 9,667 FHLMC 244,839 5,827 - - 244,839 5,827 GNMA 43,388 92 - - 43,388 92 Collateralized mortgage obligations issued or guaranteed by FHLMC and GNMA 55,309 163 - - 55,309 163 Other mortgage pass-through trust certificates - - 20,693 8,122 20,693 8,122 Equity securities 408 7 - - 408 7 $ 1,331,998 $ 19,090 $ 43,302 $ 24,034 $ 1,375,300 $ 43,124 |
OTTI Losses on Available-for-Sale Debt Securities | Quarter ended March 31, 2017 2016 (In thousands) Total other-than-temporary impairment losses $ (12,231) $ (1,845) Portion of other-than-temporary impairment recognized in OCI - (4,842) Net impairment losses recognized in earnings (1) $ (12,231) $ (6,687) _________ (1) For the quarters ended March 31, 2017 and 2016, approximately $12.2 million and $6.3 million, respectively, of the credit impairment recognized in earnings consisted of credit losses on Puerto Rico government debt securities. For the quarter ended March 31, 2016, $0.4 million of the credit impairment recognized was associated with credit losses on private label MBS. |
Roll-Forward of Credit Losses on Debt Securities Held by Corporation | The following tables summarize the roll-forward of credit losses on debt securities held by the Corporation for which a portion of an OTTI is recognized in OCI: Cumulative OTTI credit losses recognized in earnings on securities still held Credit impairments December 31, recognized in earnings on March 31, 2016 securities that have been 2017 Balance previously impaired Balance (In thousands) Available-for-sale securities Puerto Rico government obligations $ 22,189 $ 12,231 $ 34,420 Private label MBS 6,792 - 6,792 Total OTTI credit losses for available-for-sale debt securities $ 28,981 $ 12,231 $ 41,212 Cumulative OTTI credit losses recognized in earnings on securities still held Credit impairments December 31, recognized in earnings on March 31, 2015 securities that have been 2016 Balance previously impaired Balance (In thousands) Available for sale securities Puerto Rico government obligations $ 15,889 $ 6,300 $ 22,189 Private label MBS 6,405 $ 387 6,792 Total OTTI credit losses for available-for-sale debt securities $ 22,294 $ 6,687 $ 28,981 |
Significant Assumptions in Valuation of Private Label MBS | As of As of March 31, 2017 December 31, 2016 Weighted Weighted Average Range Average Range Discount rate 14.4% 14.4% 14.1% 12-88% - 14.43% Prepayment rate 13.6% 8.80% - 17.50% 13.8% 6.5% - 22.5% Projected Cumulative Loss Rate 4% 0.1% - 7.2% 4% 0.2% - 8.6% |
Held To Maturity Securities [Text Block] | March 31, 2017 Amortized cost Fair value Weighted-average yield% Gross Unrealized gains losses Puerto Rico Municipal Bonds: After 1 to 5 years $ 4,108 $ - $ 116 $ 3,992 5.38 After 5 to 10 years 7,627 - 481 7,146 4.18 After 10 years 144,314 - 18,838 125,476 4.84 Total investment securities held to maturity $ 156,049 $ - $ 19,435 $ 136,614 4.82 December 31, 2016 Amortized cost Fair value Weighted average-yield% Gross Unrealized gains losses Puerto Rico Municipal Bonds: After 1 to 5 years $ 1,136 $ - $ 20 $ 1,116 5.38 After 5 to 10 years 10,741 - 718 10,023 4.47 After 10 years 144,313 - 22,693 121,620 4.74 Total investment securities held to maturity $ 156,190 $ - $ 23,431 $ 132,759 4.73 |
Held to maturity Securities [Member] | |
Available-for-Sale Investments' Fair Value and Gross Unrealized Losses | As of March 31, 2017 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico Municipal Bonds $ - $ - $ 136,614 $ 19,435 $ 136,614 $ 19,435 As of December 31, 2016 Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (In thousands) Debt securities: Puerto Rico Municipal Bonds $ - $ - $ 132,759 $ 23,431 $ 132,759 $ 23,431 |
LOAN PORTFOLIO (Tables)
LOAN PORTFOLIO (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Loan Portfolio Held for Investment | As of As of March 31, December 31, 2017 2016 (In thousands) Residential mortgage loans, mainly secured by first mortgages $ 3,272,598 $ 3,296,031 Commercial loans: Construction loans 137,887 124,951 Commercial mortgage loans 1,596,176 1,568,808 Commercial and Industrial loans (1) 2,108,532 2,180,455 Total Commercial loans 3,842,595 3,874,214 Finance leases 237,793 233,335 Consumer loans 1,469,363 1,483,293 Loans held for investment 8,822,349 8,886,873 Allowance for loan and lease losses (203,231) (205,603) Loans held for investment, net $ 8,619,118 $ 8,681,270 __________ (1) As of March 31, 2017 and December 31, 2016, includes $879.5 million and $853.9 million, respectively, of commercial loans that are secured by real estate but are not dependent upon the real estate for repayment. |
Loans Held for Investment on Which Accrual of Interest Income had been Discontinued | Loans held for investment on which accrual of interest income had been discontinued were as follows: As of As of March 31, December 31, 2017 2016 (In thousands) Non-performing loans: Residential mortgage $ 154,893 $ 160,867 Commercial mortgage 174,908 178,696 Commercial and Industrial 77,972 146,599 Construction: Land 11,018 11,026 Construction-commercial 36,472 36,893 Construction-residential 978 1,933 Consumer: Auto loans 12,993 14,346 Finance leases 904 1,335 Other consumer loans 7,428 8,399 Total non-performing loans held for investment (1)(2)(3) $ 477,566 $ 560,094 _______________ (1) As of March 31, 2017 and December 31, 2016, excludes $8.1 million of non-performing loans held for sale. (2) Amount excludes purchased-credit impaired ("PCI") loans with a carrying value of approximately $163.1 million and $165.8 million as of March 31, 2017 and December 31, 2016, respectively, primarily mortgage loans acquired from Doral Bank in the first quarter of 2015 and from Doral Financial in the second quarter of 2014, as further discussed below. These loans are not considered non-performing due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using an estimated cash flow analysis. (3) Non-performing loans exclude $385.2 million and $384.9 million of Troubled Debt Restructuring ("TDR") loans that are in compliance with the modified terms and in accrual status as of March 31, 2017 and December 31, 2016, respectively. |
Corporation's Aging of Loans Held for Investment Portfolio | The Corporation’s aging of the loans held for investment portfolio is as follows: As of March 31, 2017 30-59 Days Past Due 60-89 Days Past Due 90 days or more Past Due (1) Total Past Due Purchased Credit-Impaired Loans Current Total loans held for investment 90 days past due and still accruing (In thousands) Residential mortgage: FHA/VA and other government-guaranteed loans (2)(3)(4) $ - $ 5,643 $ 71,661 $ 77,304 $ - $ 44,085 $ 121,389 $ 71,661 Other residential mortgage loans (4) - 87,576 172,283 259,859 158,940 2,732,410 3,151,209 17,390 Commercial: Commercial and Industrial loans 10,408 120 96,381 106,909 - 2,001,623 2,108,532 18,409 Commercial mortgage loans (4) - 8,915 179,050 187,965 4,160 1,404,051 1,596,176 4,142 Construction: Land (4) - 163 11,492 11,655 - 19,452 31,107 474 Construction-commercial - - 36,472 36,472 - 58,004 94,476 - Construction-residential - - 978 978 - 11,326 12,304 - Consumer: Auto loans 49,936 11,005 12,993 73,934 - 768,425 842,359 - Finance leases 7,833 1,200 904 9,937 - 227,856 237,793 - Other consumer loans 7,933 4,778 11,227 23,938 - 603,066 627,004 3,799 Total loans held for investment $ 76,110 $ 119,400 $ 593,441 $ 788,951 $ 163,100 $ 7,870,298 $ 8,822,349 $ 115,875 _____________ (1) Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e., FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. (2) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. (3) As of March 31, 2017, includes $39.4 million of defaulted loans collateralizing Government National Mortgage Association ("GNMA") securities for which the Corporation has an unconditional option (but not an obligation) to repurchase the defaulted loans. (4) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA and other government-guaranteed loans, other residential mortgage loans, commercial mortgage loans, and land loans past due 30-59 days as of March 31, 2017 amounted to $8.0 million, $124.3 million, $20.4 million and $0.2 million, respectively. As of December 31, 2016 30-59 Days Past Due 60-89 Days Past Due 90 days or more Past Due (1) Total Past Due Purchased Credit- Impaired Loans Current Total loans held for investment 90 days past due and still accruing (In thousands) Residential mortgage: FHA/VA and other government-guaranteed loans (2)(3)(4) $ - $ 5,179 $ 77,052 $ 82,231 $ - $ 44,627 $ 126,858 $ 77,052 Other residential mortgage loans (4) - 94,004 177,568 271,572 162,676 2,734,925 3,169,173 16,701 Commercial: Commercial and Industrial loans 14,195 3,724 151,967 169,886 - 2,010,569 2,180,455 5,368 Commercial mortgage loans (4) - 4,534 181,977 186,511 3,142 1,379,155 1,568,808 3,281 Construction: Land (4) - 436 11,504 11,940 - 19,826 31,766 478 Construction-commercial - - 36,893 36,893 - 40,582 77,475 - Construction-residential (4) - - 1,933 1,933 - 13,777 15,710 - Consumer: Auto loans 57,142 13,523 14,346 85,011 - 762,947 847,958 - Finance leases 7,714 1,671 1,335 10,720 - 222,615 233,335 - Other consumer loans 7,675 5,254 12,328 25,257 - 610,078 635,335 3,929 Total loans held for investment $ 86,726 $ 128,325 $ 666,903 $ 881,954 $ 165,818 $ 7,839,101 $ 8,886,873 $ 106,809 ____________ (1) Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e. FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. (2) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. (3) As of December 31, 2016, includes $43.7 million of defaulted loans collateralizing GNMA securities for which the Corporation has an unconditional option (but not an obligation) to repurchase the defaulted loans. (4) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA government guaranteed loans, other residential mortgage loans, commercial mortgage loans, land loans and construction-residential loans past due 30-59 days as of December 31, 2016 amounted to $9.9 million, $142.8 million, $4.6 million, $0.7 million and $0.4 million, respectively. |
Corporation's Credit Quality Indicators by Loan | The Corporation’s credit quality indicators by loan type as of March 31, 2017 and December 31, 2016 are summarized below: Commercial Credit Exposure-Credit Risk Profile Based on Creditworthiness Category: Substandard Doubtful Loss Total Adversely Classified (1) Total Portfolio March 31, 2017 (In thousands) Commercial mortgage $ 181,331 $ 37,808 $ - $ 219,139 $ 1,596,176 Construction: Land 19,289 - - 19,289 31,107 Construction-commercial 36,472 - - 36,472 94,476 Construction-residential 978 - - 978 12,304 Commercial and Industrial 139,846 3,179 - 143,025 2,108,532 Commercial Credit Exposure-Credit Risk Profile Based on Creditworthiness Category: Substandard Doubtful Loss Total Adversely Classified (1) Total Portfolio December 31, 2016 (In thousands) Commercial mortgage $ 193,391 $ 35,416 $ - $ 228,807 $ 1,568,808 Construction: Land 19,345 - - 19,345 31,766 Construction-commercial 36,893 - - 36,893 77,475 Construction-residential 1,933 - - 1,933 15,710 Commercial and Industrial 133,599 67,996 784 202,379 2,180,455 _________ (1) Excludes $8.1 million as of March 31, 2017 and December 31, 2016 of construction-land non-performing loans held for sale. March 31, 2017 Consumer Credit Exposure-Credit Risk Profile Based on Payment Activity Residential Real-Estate Consumer FHA/VA/ Guaranteed (1) Other residential loans Auto Finance Leases Other Consumer (In thousands) Performing $ 121,389 $ 2,837,376 $ 829,366 $ 236,889 $ 619,576 Purchased Credit-Impaired (2) - 158,940 - - - Non-performing - 154,893 12,993 904 7,428 Total $ 121,389 $ 3,151,209 $ 842,359 $ 237,793 $ 627,004 (1) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. This balance includes $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA, which are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. (2) PCI loans are excluded from non-performing statistics due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. December 31, 2016 Consumer Credit Exposure-Credit Risk Profile Based on Payment Activity Residential Real-Estate Consumer FHA/VA/ Guaranteed (1) Other residential loans Auto Finance Leases Other Consumer (In thousands) Performing $ 126,858 $ 2,845,630 $ 833,612 $ 232,000 $ 626,936 Purchased Credit-Impaired (2) - 162,676 - - - Non-performing - 160,867 14,346 1,335 8,399 Total $ 126,858 $ 3,169,173 $ 847,958 $ 233,335 $ 635,335 (1) It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. This balance includes $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA, which are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. (2) PCI loans are excluded from non-performing statistics due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. |
Impaired Loans | The following tables present information about impaired loans, excluding PCI loans, which are reported separately as discussed below: Impaired Loans Recorded Investment Unpaid Principal Balance Related Specific Allowance Average Recorded Investment Interest Income Recognized On Accrual Basis Interest Income Recognized On Cash Basis (In thousands) As of March 31, 2017 With no related allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - $ - $ - Other residential mortgage loans 57,930 71,190 - 58,720 194 131 Commercial: Commercial mortgage loans 25,369 29,536 - 25,487 220 87 Commercial and Industrial loans 13,235 23,332 - 13,946 30 - Construction: Land - - - - - - Construction-commercial - - - - - - Construction-residential - - - - - - Consumer: Auto loans 1,339 1,339 - 1,349 9 - Finance leases 67 67 - 68 - - Other consumer loans 3,681 5,476 - 3,781 14 22 $ 101,621 $ 130,940 $ - $ 103,351 $ 467 $ 240 With an allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - $ - $ - Other residential mortgage loans 374,868 424,211 8,551 376,085 4,521 197 Commercial: Commercial mortgage loans 167,666 196,310 36,638 168,760 220 21 Commercial and Industrial loans 72,824 91,269 12,711 75,079 212 19 Construction: Land 14,937 20,060 787 14,971 116 12 Construction-commercial 36,472 38,721 1,932 36,683 - - Construction-residential 392 551 116 392 - - Consumer: Auto loans 23,587 23,587 3,842 24,294 461 - Finance leases 2,444 2,444 68 2,559 54 - Other consumer loans 12,387 12,746 1,666 12,737 349 12 $ 705,577 $ 809,899 $ 66,311 $ 711,560 $ 5,933 $ 261 Total: FHA/VA-Guaranteed loans $ - $ - $ - $ - $ - $ - Other residential mortgage loans 432,798 495,401 8,551 434,805 4,715 328 Commercial: Commercial mortgage loans 193,035 225,846 36,638 194,247 440 108 Commercial and Industrial loans 86,059 114,601 12,711 89,025 242 19 Construction: Land 14,937 20,060 787 14,971 116 12 Construction-commercial 36,472 38,721 1,932 36,683 - - Construction-residential 392 551 116 392 - - Consumer: Auto loans 24,926 24,926 3,842 25,643 470 - Finance leases 2,511 2,511 68 2,627 54 - Other consumer loans 16,068 18,222 1,666 16,518 363 34 $ 807,198 $ 940,839 $ 66,311 $ 814,911 $ 6,400 $ 501 Impaired Loans Recorded Investment Unpaid Principal Balance Related Specific Allowance Average Recorded Investment (In thousands) As of December 31, 2016 With no related allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - Other residential mortgage loans 67,996 82,602 - 71,003 Commercial: Commercial mortgage loans 72,620 91,685 - 80,713 Commercial and Industrial loans 14,656 24,642 - 17,209 Construction: Land 180 233 - 212 Construction-commercial - - - - Construction-residential 956 1,531 - 956 Consumer: Auto loans 599 599 - 615 Finance leases 94 94 - 95 Other consumer loans 4,516 5,876 - 4,696 $ 161,617 $ 207,262 $ - $ 175,499 With an allowance recorded: FHA/VA-Guaranteed loans $ - $ - $ - $ - Other residential mortgage loans 374,271 423,648 8,633 380,273 Commercial: Commercial mortgage loans 121,771 133,883 26,172 122,609 Commercial and Industrial loans 138,887 165,399 22,638 149,153 Construction: Land 14,870 19,918 947 15,589 Construction-commercial 36,893 38,721 324 38,191 Construction-residential 392 551 134 392 Consumer: Auto loans 24,276 24,276 3,717 26,562 Finance leases 2,553 2,553 71 2,751 Other consumer loans 12,375 12,734 1,785 13,322 $ 726,288 $ 821,683 $ 64,421 $ 748,842 Total: FHA/VA-Guaranteed loans $ - $ - $ - $ - Other residential mortgage loans 442,267 506,250 8,633 451,276 Commercial: Commercial mortgage loans 194,391 225,568 26,172 203,322 Commercial and Industrial loans 153,543 190,041 22,638 166,362 Construction: Land 15,050 20,151 947 15,801 Construction-commercial 36,893 38,721 324 38,191 Construction-residential 1,348 2,082 134 1,348 Consumer: Auto loans 24,875 24,875 3,717 27,177 Finance leases 2,647 2,647 71 2,846 Other consumer loans 16,891 18,610 1,785 18,018 $ 887,905 $ 1,028,945 $ 64,421 $ 924,341 Interest income of approximately $7.4 million ($6.6 million on an accrual basis and $0.8 million on a cash basis) was recognized on impaired loans for the first quarter of 2016. |
Activity for Impaired loans | The following table shows the activity for impaired loans and the related specific reserve during the first quarter of 2017 and 2016: Quarter ended March 31, 2017 March 31, 2016 Impaired Loans: (In thousands) Balance at beginning of period $ 887,905 $ 806,509 Loans determined impaired during the period 19,628 157,984 Charge-offs (1) (17,404) (8,352) Loans sold, net of charge-offs (53,245) - Increases to impaired loans- additional disbursements 541 1,347 Foreclosures (9,457) (7,421) Loans no longer considered impaired (892) (20,339) Paid in full or partial payments (19,878) (12,137) Balance at end of period $ 807,198 $ 917,591 (1) For the first quarter of 2017, includes a charge-off of $10.7 million related to the sale of the PREPA credit line as further discussed below. |
Activity for Specific Reserve | Quarter ended March 31, 2017 March 31, 2016 Specific Reserve: (In thousands) Balance at beginning of period $ 64,421 $ 52,581 Provision for loan losses 18,862 37,266 Charge-offs (16,972) (8,352) Balance at end of period $ 66,311 $ 81,495 |
Carrying Value of Acquired Loans | The carrying amounts of PCI loans were as follows: As of March 31, December 31, 2017 2016 (In thousands) Residential mortgage loans $ 158,940 $ 162,676 Commercial mortgage loans 4,160 3,142 Total PCI loans $ 163,100 $ 165,818 Allowance for loan losses (6,857) (6,857) Total PCI loans, net of allowance for loan losses $ 156,243 $ 158,961 |
Accretable Yield | Changes in the accretable yield of PCI loans for the quarters ended March 31, 2017 and 2016 were as follows: March 31, 2017 March 31, 2016 (In thousands) Balance at beginning of period $ 116,462 $ 118,385 Accretion recognized in earnings (2,797) (2,889) Reclassification to non-accretable - (1,398) Balance at end of period $ 113,665 $ 114,098 |
Selected Information on TDRs Includes Recorded Investment by Loan Class and Modification Type | Selected information on TDR loans that includes the recorded investment by loan class and modification type is summarized in the following tables. This information reflects all TDRs: March 31, 2017 Interest rate below market Maturity or term extension Combination of reduction in interest rate and extension of maturity Forgiveness of principal and/or interest Other (1) Total (In thousands) Troubled Debt Restructurings: Non- FHA/VA Residential Mortgage loans $ 27,987 $ 8,261 $ 274,502 $ - $ 57,997 $ 368,747 Commercial Mortgage loans 6,675 1,979 51,346 - 10,647 70,647 Commercial and Industrial loans 2,071 4,497 23,562 863 44,302 75,295 Construction loans: Land - 6,697 2,238 - 352 9,287 Construction-commercial - - - 36,472 - 36,472 Construction-residential - - - - 357 357 Consumer loans - Auto - 1,609 14,937 - 8,380 24,926 Finance leases - 323 2,187 - - 2,510 Consumer loans - Other 250 2,652 9,070 293 1,858 14,123 Total Troubled Debt Restructurings $ 36,983 $ 26,018 $ 377,842 $ 37,628 $ 123,893 $ 602,364 (1) Other concessions granted by the Corporation include deferral of principal and/or interest payments for a period longer than what would be considered insignificant, payment plans under judicial stipulation, or a combination of the concessions listed in the table. December 31, 2016 Interest rate below market Maturity or term extension Combination of reduction in interest rate and extension of maturity Forgiveness of principal and/or interest Other (1) Total (In thousands) Troubled Debt Restructurings: Non- FHA/VA Residential Mortgage loans $ 29,254 $ 8,373 $ 280,588 $ - $ 57,594 $ 375,809 Commercial Mortgage loans 6,044 2,007 30,005 - 10,686 48,742 Commercial and Industrial loans 2,111 66,830 16,359 863 47,358 133,521 Construction loans: Land - 6,735 2,219 - 408 9,362 Construction-commercial - - - 36,893 - 36,893 Construction-residential - - - - 357 357 Consumer loans - Auto - 1,706 14,698 - 8,471 24,875 Finance leases - 366 2,281 - - 2,647 Consumer loans - Other 236 2,518 9,662 299 2,127 14,842 Total Troubled Debt Restructurings $ 37,645 $ 88,535 $ 355,812 $ 38,055 $ 127,001 $ 647,048 (1) Other concessions granted by the Corporation include deferral of principal and/or interest payments for a period longer than what would be considered insignificant, payment plans under judicial stipulation, or a combination of the concessions listed in the table. |
Corporation's TDR Activity | The following table presents the Corporation's TDR loans activity: Quarter Ended March 31, 2017 March 31, 2016 (In thousands) Beginning Balance of TDRs $ 647,048 $ 661,591 New TDRs 40,899 16,219 Increases to existing TDRs - additional disbursements 424 701 Charge-offs post modification (1) (14,662) (5,822) Sales, net of charge-offs (53,245) - Foreclosures (4,371) (2,821) Paid-off and partial payments (13,729) (10,764) Ending balance of TDRs $ 602,364 $ 659,104 (1) For the first quarter of 2017, includes a charge off of $10.7 million related to the sale of the PREPA credit line. |
Breakdown Between Accrual and Nonaccrual Status of TDRs | The following table provides a breakdown between the accrual and non-accrual status of TDR loans: As of March 31, 2017 Accrual Non-accrual (1) Total TDRs (In thousands) Non-FHA/VA Residential Mortgage loans $ 294,199 $ 74,548 $ 368,747 Commercial Mortgage loans 33,232 37,415 70,647 Commercial and Industrial loans 19,729 55,566 75,295 Construction loans: Land 7,693 1,594 9,287 Construction-commercial - 36,472 36,472 Construction-residential - 357 357 Consumer loans - Auto 16,348 8,578 24,926 Finance leases 2,446 64 2,510 Consumer loans - Other 11,561 2,562 14,123 Total Troubled Debt Restructurings $ 385,208 $ 217,156 $ 602,364 (1) Included in non-accrual loans are $80.9 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. As of December 31, 2016 Accrual Non-accrual (1) Total TDRs (In thousands) Non-FHA/VA Residential Mortgage loans $ 295,656 $ 80,153 $ 375,809 Commercial Mortgage loans 32,340 16,402 48,742 Commercial and Industrial loans 18,496 115,025 133,521 Construction loans: Land 7,732 1,630 9,362 Construction-commercial - 36,893 36,893 Construction-residential - 357 357 Consumer loans - Auto 16,253 8,622 24,875 Finance leases 2,542 105 2,647 Consumer loans - Other 11,868 2,974 14,842 Total Troubled Debt Restructurings $ 384,887 $ 262,161 $ 647,048 (1) Included in non-accrual loans are $110.6 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. |
Schedule Of Troubled Debt Restructurings Table [Text Block] | Loan modifications that are considered TDR loans completed during the first quarter of 2017 and 2016 were as follows: Quarter ended March 31, 2017 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment (Dollars in thousands) Troubled Debt Restructurings: Non-FHA/VA Residential Mortgage loans 40 $ 4,650 $ 4,508 Commercial Mortgage loans 6 22,438 22,198 Commercial and Industrial loans 3 10,748 10,748 Construction loans: Land 1 25 28 Consumer loans - Auto 152 2,247 2,247 Finance leases 8 186 186 Consumer loans - Other 210 969 984 Total Troubled Debt Restructurings 420 $ 41,263 $ 40,899 Quarter ended March 31, 2016 Number of contracts Pre-modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment (Dollars in thousands) Troubled Debt Restructurings: Non-FHA/VA Residential Mortgage loans 58 $ 9,012 $ 8,459 Consumer loans - Auto 258 4,981 4,981 Finance leases 36 940 940 Consumer loans - Other 336 1,821 1,839 Total Troubled Debt Restructurings 688 $ 16,754 $ 16,219 |
Loan Modifications Considered Troubled Debt Restructurings Defaulted | Loan modifications considered TDR loans that defaulted during the quarters ended March 31, 2017 and March 31, 2016 and had become TDR during the 12-month period preceding the default date, were as follows: Quarter ended March 31, 2017 2016 Number of contracts Recorded Investment Number of contracts Recorded Investment (Dollars in thousands) Non-FHA/VA Residential Mortgage loans 3 $ 277 11 $ 1,978 Commercial Mortgage loans 1 57 - - Consumer loans - Auto 4 61 9 136 Finance leases - - 1 13 Consumer loans - Other 17 61 33 130 Total 25 $ 456 54 $ 2,257 |
Loan Restructuring and Effect on Allowance for Loan and Lease Losses | (In thousands) March 31, 2017 March 31, 2016 Principal balance deemed collectible at end of period $ 36,564 $ 38,628 Amount charged off $ - $ - Charges to the provision for loan losses $ 915 $ 1,978 Allowance for loan losses at end of period $ 6,056 $ 2,480 |
Past Due Purchased Credit Impaired Table [Text Block] | The following tables present PCI loans by past due status as of March 31, 2017 and December 31, 2016: As of March 31, 2017 30-59 Days 60-89 Days 90 days or more Total Past Due Total PCI loans Current (In thousands) Residential mortgage loans $ - $ 12,314 $ 26,106 $ 38,420 $ 120,520 $ 158,940 Commercial mortgage loans - - 1,106 1,106 3,054 4,160 Total (1) $ - $ 12,314 $ 27,212 $ 39,526 $ 123,574 $ 163,100 _____________ (1) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage and commercial mortgage loans are considered past due when the borrower is in arrears two or more monthly payments. PCI residential mortgage loans and commercial mortgage loans past due 30-59 days as of March 31, 2017 amounted to $18.2 million and $1.6 million, respectively. As of December 31, 2016 30-59 Days 60-89 Days 90 days or more Total Past Due Total PCI loans Current (In thousands) Residential mortgage loans $ - $ 11,892 $ 27,849 $ 39,741 $ 122,935 $ 162,676 Commercial mortgage loans - 355 1,150 1,505 1,637 3,142 Total (1) $ - $ 12,247 $ 28,999 $ 41,246 $ 124,572 $ 165,818 _____________ (1) According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage and commercial mortgage loans are considered past due when the borrower is in arrears two or more monthly payments. PCI residential mortgage loans and commercial mortgage loans past due 30-59 days as of December 31, 2016 amounted to $22.3 million and $0.1 million, respectively. |
Changes In Carrying Amount Of Purchased Credit Impaired Loans Table [Text Block] | Changes in the carrying amount of loans accounted for pursuant to ASC 310-30 were as follows: Quarter ended Quarter ended March 31, 2017 March 31, 2016 (In thousands) Balance at beginning of period $ 165,818 $ 173,913 Accretion 2,797 2,889 Collections (4,593) (4,371) Foreclosures (922) (99) Ending balance $ 163,100 $ 172,332 Allowance for loan losses (6,857) (4,568) Ending balance, net of allowance for loan losses $ 156,243 $ 167,764 |
Allowance For Credit Losses On Purchased Credit Impaired Loans Table [Text Block] | Changes in the allowance for loan losses related to PCI loans were as follows: Quarter ended Quarter ended March 31, 2017 March 31, 2016 (In thousands) Balance at beginning of period $ 6,857 $ 3,962 Provision for loan losses - 606 Balance at the end of period $ 6,857 $ 4,568 |
ALLOWANCE FOR LOAN AND LEASE 38
ALLOWANCE FOR LOAN AND LEASE LOSSES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Changes in Allowance for Loan and Lease Losses | The changes in the allowance for loan and lease losses were as follows: (In thousands) Residential Mortgage Loans Commercial Mortgage Loans Commercial & Industrial Loans Construction Loans Consumer Loans Total Quarter ended March 31, 2017 Allowance for loan and lease losses: Beginning balance $ 33,980 $ 57,261 $ 61,953 $ 2,562 $ 49,847 $ 205,603 Charge-offs (8,225) (1,362) (12,052) (63) (11,192) (32,894) Recoveries 749 30 875 445 2,981 5,080 Provision (release) 9,271 12,539 (4,806) 942 7,496 25,442 Ending balance $ 35,775 $ 68,468 $ 45,970 $ 3,886 $ 49,132 $ 203,231 Ending balance: specific reserve for impaired loans $ 8,551 $ 36,638 $ 12,711 $ 2,835 $ 5,576 $ 66,311 Ending balance: purchased credit-impaired loans (1) $ 6,545 $ 312 $ - $ - $ - $ 6,857 Ending balance: general allowance $ 20,679 $ 31,518 $ 33,259 $ 1,051 $ 43,556 $ 130,063 Loans held for investment: Ending balance $ 3,272,598 $ 1,596,176 $ 2,108,532 $ 137,887 $ 1,707,156 $ 8,822,349 Ending balance: impaired loans $ 432,798 $ 193,035 $ 86,059 $ 51,801 $ 43,505 $ 807,198 Ending balance: purchased credit- impaired loans $ 158,940 $ 4,160 $ - $ - $ - $ 163,100 Ending balance: loans with general allowance $ 2,680,860 $ 1,398,981 $ 2,022,473 $ 86,086 $ 1,663,651 $ 7,852,051 (In thousands) Residential Mortgage Loans Commercial Mortgage Loans Commercial & Industrial Loans Construction Loans Consumer Loans Total Quarter ended March 31, 2016 Allowance for loan and lease losses: Beginning balance $ 39,570 $ 68,211 $ 68,768 $ 3,519 $ 60,642 $ 240,710 Charge-offs (7,306) (575) (3,759) (91) (14,804) (26,535) Recoveries 346 46 280 17 2,208 2,897 Provision (release) 5,938 1,062 5,809 (432) 8,676 21,053 Ending balance $ 38,548 $ 68,744 $ 71,098 $ 3,013 $ 56,722 $ 238,125 Ending balance: specific reserve for impaired loans $ 16,150 $ 36,007 $ 18,749 $ 1,202 $ 9,387 $ 81,495 Ending balance: purchased credit-impaired loans $ 4,423 $ 145 $ - $ - $ - $ 4,568 Ending balance: general allowance $ 17,975 $ 32,592 $ 52,349 $ 1,811 $ 47,335 $ 152,062 Loans held for investment: Ending balance $ 3,330,945 $ 1,524,491 $ 2,182,074 $ 146,129 $ 1,786,361 $ 8,970,000 Ending balance: impaired loans $ 461,606 $ 191,251 $ 168,160 $ 52,938 $ 43,636 $ 917,591 Ending balance: purchased credit- impaired loans $ 169,190 $ 3,142 $ - $ - $ - $ 172,332 Ending balance: loans with general allowance $ 2,700,149 $ 1,330,098 $ 2,013,914 $ 93,191 $ 1,742,725 $ 7,880,077 (1) Refer to Note 6 - Loans Held for Investment-PCI Loans for a detail of changes in the allowance for loan losses related to PCI loans. |
LOANS HELD FOR SALE (Tables)
LOANS HELD FOR SALE (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Portfolio of Loans Held for Sale | As of March 31, 2017 December 31, 2016 (In thousands) Residential mortgage loans $ 37,827 $ 41,927 Construction loans 8,079 8,079 Total $ 45,906 $ 50,006 |
OTHER REAL ESTATE OWNED (Tables
OTHER REAL ESTATE OWNED (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Text Block [Abstract] | |
Schedule Of Other Real Estate Assets And Foreclosed Properties [Table Text Block] | The following table presents OREO inventory as of the dates indicated: March 31, December 31, 2017 2016 (Dollars in thousands) OREO OREO balances, carrying value: Residential (1) $ 50,683 $ 46,917 Commercial 76,208 78,698 Construction 10,893 12,066 Total $ 137,784 $ 137,681 (1) Excludes $19.5 million and $15.0 million as of March 31, 2017 and December 31, 2016, respectively, of foreclosures that meet the conditions of ASC 310-40 and are presented as a receivable (other assets) in the statement of financial condition. |
DERIVATIVE INSTRUMENTS AND HE41
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notional Amounts of All Derivative Instruments | The following table summarizes the notional amounts of all derivative instruments: Notional Amounts (1) As of As of March 31, December 31, (In thousands) 2017 2016 Undesignated economic hedges: Interest rate contracts: Written interest rate cap agreements $ 91,510 $ 91,510 Purchased interest rate cap agreements 91,510 91,510 Forward Contracts: Sale of TBA GNMA MBS pools 31,000 33,000 $ 214,020 $ 216,020 (1) Notional amounts are presented on a gross basis with no netting of offsetting exposure positions. |
Summary of Fair Value of Derivative Instruments and Location in Statement of Financial Condition | The following table summarizes for derivative instruments their fair value and location in the statement of financial condition: Asset Derivatives Liability Derivatives Statement of March 31, December 31, March 31, December 31, Financial 2017 2016 2017 2016 Condition Location Fair Value Fair Value Statement of Financial Condition Location Fair Value Fair Value (In thousands) Undesignated economic hedges: Interest rate contracts: Written interest rate cap agreements Other assets $ - $ - Accounts payable and other liabilities $ 440 $ 552 Purchased interest rate cap agreements Other assets 441 554 Accounts payable and other liabilities - - Forward Contracts: Sales of TBA GNMA MBS pools Other assets - - Accounts payable and other liabilities 257 201 $ 441 $ 554 $ 697 $ 753 |
Effect of Derivative Instruments on Statement of Income (Loss) | The following table summarizes the effect of derivative instruments on the statement of income: (Loss) Location of Loss Quarter Ended Recognized in Statement March 31, of Income on Derivatives 2017 2016 (In thousands) UNDESIGNATED ECONOMIC HEDGES: Interest rate contracts: Written and purchased interest rate swap agreements Interest income - Loans $ (1) $ (4) Forward contracts: Sales of TBA GNMA MBS pools Mortgage Banking Activities (56) (149) Total loss on derivatives $ (57) $ (153) |
OFFSETTING OF ASSETS AND LIAB42
OFFSETTING OF ASSETS AND LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Text Block [Abstract] | |
Offsetting of assets and liabilties | Offsetting of Financial Assets and Derivative Assets As of March 31, 2017 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral (In thousands) Net Amount Description Derivatives $ 441 $ - $ 441 $ (441) $ - $ - Securities purchased under agreements to resell 200,000 (200,000) - - - - Total $ 200,441 $ (200,000) $ 441 $ (441) $ - $ - As of December 31, 2016 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral Net Amount (In thousands) Description Derivatives $ 554 $ - $ 554 $ (554) $ - $ - Securities purchased under agreements to resell 200,000 (200,000) - - - - Total $ 200,554 $ (200,000) $ 554 $ (554) $ - $ - Offsetting of Financial Liabilities and Derivative Liabilities As of March 31, 2017 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral (In thousands) Net Amount Description Securities sold under agreements to repurchase $ 200,000 $ (200,000) $ - $ - $ - $ - As of December 31, 2016 Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Financial Instruments Cash Collateral Net Amount (In thousands) Description Securities sold under agreements to repurchase $ 200,000 $ (200,000) $ - $ - $ - $ - |
GOODWILL AND OTHER INTANGIBLES
GOODWILL AND OTHER INTANGIBLES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Gross Amount and Accumulated Amortization of Other Intangible Assets | The following table shows the gross amount and accumulated amortization of the Corporation’s intangible assets recognized as part of Other Assets in the consolidated statements of financial condition: As of As of March 31, December 31, 2017 2016 (Dollars in thousands) Core deposit intangible: Gross amount, beginning of period $ 51,664 $ 51,664 Accumulated amortization (44,917) (44,466) Net carrying amount $ 6,747 $ 7,198 Remaining amortization period 7.8 years 8.1 years Purchased credit card relationship intangible: Gross amount $ 24,465 $ 24,465 Accumulated amortization (14,566) (13,934) Net carrying amount $ 9,899 $ 10,531 Remaining amortization period 4.7 years 5 years Insurance customer relationship intangible: Gross amount $ 1,067 $ 1,067 Accumulated amortization (178) (140) Net carrying amount $ 889 $ 927 Remaining amortization period 5.8 years 6.1 years The estimated aggregate annual amortization expense related to the intangible assets for future periods is as follows: Amount (In thousands) 2017 $ 3,281 2018 3,591 2019 3,088 2020 2,851 2021 2,658 2022 and after 2,066 |
NON-CONSOLIDATED VARIABLE INT44
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Changes in Servicing Assets | The changes in servicing assets are shown below: Quarter ended March 31, March 31, 2017 2016 (In thousands) Balance at beginning of period $ 26,244 $ 24,282 Capitalization of servicing assets 875 1,161 Amortization (788) (798) Adjustment to fair value (160) 27 Other (1) 159 20 Balance at end of period $ 26,330 $ 24,692 (1) Amount represents the adjustment to fair value related to the repurchase of loans serviced for others. |
Changes in Impairment Allowance | Changes in the impairment allowance were as follows: Quarter ended March 31, March 31, 2017 2016 (In thousands) Balance at beginning of period $ 461 $ 136 Temporary impairment charges 160 27 OTTI of servicing assets (621) - Recoveries - (54) Balance at end of period $ - $ 109 |
Components of Net Servicing Income | The components of net servicing income are shown below: Quarter ended March 31, March 31, 2017 2016 (In thousands) Servicing fees $ 2,024 $ 1,862 Late charges and prepayment penalties 99 142 Adjustment for loans repurchased 159 20 Other (7) - Servicing income, gross 2,275 2,024 Amortization and impairment of servicing assets (948) (771) Servicing income, net $ 1,327 $ 1,253 |
Weighted-Averages of Key Economic Assumptions in Valuation Model | (Dollars in thousands) Carrying amount of servicing assets $ 26,330 Fair value $ 29,782 Weighted-average expected life (in years) 8.53 Constant prepayment rate (weighted-average annual rate) 6.17% Decrease in fair value due to 10% adverse change $ 763 Decrease in fair value due to 20% adverse change $ 1,493 Discount rate (weighted-average annual rate) 11.20% Decrease in fair value due to 10% adverse change $ 1,419 Decrease in fair value due to 20% adverse change $ 2,720 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Summary of Deposit Balances | The following table summarizes deposit balances as of the dates indicated: March 31, December 31, 2017 2016 (In thousands) Type of account: Non-interest bearing checking accounts $ 1,581,086 $ 1,484,155 Savings accounts 2,484,115 2,518,496 Interest-bearing checking accounts 1,084,969 1,075,929 Certificates of deposit 2,349,286 2,312,928 Brokered certificates of deposit (CDs) 1,358,542 1,439,697 $ 8,857,998 $ 8,831,205 |
Brokered Certificates Of Deposit Mature | Brokered CDs mature as follows: March 31, 2017 (In thousands) Three months or less $ 150,680 Over three months to six months 186,869 Over six months to one year 402,474 Over one year but less than three years 503,428 Three to five years 113,527 Over five years 1,564 Total $ 1,358,542 |
Components of Interest Expense on Deposits | The following are the components of interest expense on deposits: Quarter Ended March 31, March 31, 2017 2016 (In thousands) Interest expense on deposits $ 15,468 $ 16,480 Accretion of premium from acquisition (23) (81) Amortization of broker placement fees 527 858 Interest expense on deposits $ 15,972 $ 17,257 |
SECURITIES SOLD UNDER AGREEME46
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Securities Sold Under Agreements to Repurchase | Securities sold under agreements to repurchase (repurchase agreements) with original maturities in excess of one year consist of the following: March, 31 December 31, 2017 2016 (Dollars in thousands) Repurchase agreements, interest ranging from 1.96% to 2.97% (December 31, 2016: 1.96% to 2.83%) (1)(2) $ 300,000 $ 300,000 (1) Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. (2) As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. |
Schedule of Repurchase Agreement Maturity | Repurchase agreements mature as follows: March 31, 2017 (In thousands) Six months to one year $ 100,000 Over four to five years 200,000 Total $ 300,000 |
Repurchase Agreements Grouped by Counterparty | Repurchase agreements as of March 31, 2017, grouped by counterparty, were as follows: (Dollars in thousands) Weighted-Average Counterparty Amount Maturity (In Months) Dean Witter / Morgan Stanley $ 100,000 7 JP Morgan Chase 200,000 58 $ 300,000 |
ADVANCES FROM THE FEDERAL HOM47
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Summary of Advances from FHLB | The following is a summary of the advances from the FHLB: March 31, December 31, 2017 2016 (In thousands) Short-term fixed-rate advances from FHLB, with a weighted-average interest rate of 1.00% (December 31, 2016 - 0.78%) $ 70,000 $ 170,000 Long-term fixed-rate advances from FHLB, with a weighted-average interest rate of 1.49% (December 31, 2016 - 1.49%) 500,000 500,000 $ 570,000 $ 670,000 |
Advances from FHLB Mature | Advances from FHLB mature as follows: March 31, 2017 (In thousands) Within 30 days $ 70,000 One to six months 200,000 Six months to one year - Over one to three years 300,000 Total $ 570,000 |
OTHER BORROWINGS (Tables)
OTHER BORROWINGS (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Components of Other Borrowings | March 31, December 31, 2017 2016 (In thousands) Junior subordinated debentures due in 2034, interest-bearing at a floating rate of 2.75% over 3-month LIBOR (3.89% as of March 31, 2017 and 3.74% as of December 31, 2016) $ 97,630 $ 97,630 Junior subordinated debentures due in 2034, interest-bearing at a floating rate of 2.50% over 3-month LIBOR (3.65% as of March 31, 2017 and 3.50% as of December 31, 2016) 118,557 118,557 $ 216,187 $ 216,187 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: As of March 31, 2017 As of December 31, 2016 Fair Value Measurements Using Fair Value Measurements Using (In thousands) Level 1 Level 2 Level 3 Assets/Liabilities at Fair Value Level 1 Level 2 Level 3 Assets/Liabilities at Fair Value Assets: Securities available for sale : Equity securities $ 411 $ - $ - $ 411 $ 408 $ - $ - $ 408 U.S. Treasury Securities 7,501 - - 7,501 7,509 - - 7,509 Noncallable U.S. agency debt - 356,121 - 356,121 - 356,919 - 356,919 Callable U.S. agency debt and MBS - 1,424,849 - 1,424,849 - 1,469,463 - 1,469,463 Puerto Rico government obligations - 21,717 1,974 23,691 - 24,707 2,121 26,828 Private label MBS - - 19,308 19,308 - - 20,693 20,693 Other investments - - 100 100 - - 100 100 Derivatives, included in assets: Purchased interest rate cap agreements - 441 - 441 - 554 - 554 Liabilities: Derivatives, included in liabilities: Written interest rate cap agreement - 440 - 440 - 552 - 552 Forward contracts - 257 - 257 - 201 - 201 |
Fair Value of Assets and Liabilities Measured on Recurring Basis | Quarter ended March 31, 2017 2016 Level 3 Instruments Only Securities Securities (In thousands) Available For Sale (1) Available For Sale (1) Beginning balance $ 22,914 27,297 Total gains (losses) (realized/unrealized): Included in earnings - (387) Included in other comprehensive income 518 1,258 Principal repayments and amortization (2,050) (1,505) Ending balance $ 21,382 $ 26,663 (1) Amounts mostly related to private label mortgage-backed securities. |
Impairment or Valuation Adjustments were Recorded for Assets Recognized at Fair Value | The table below summarizes changes in unrealized gains and losses recorded in earnings for the quarters ended March 31, 2017 and 2016 for Level 3 assets and liabilities that are still held at the end of each period: Changes in Unrealized Losses Changes in Unrealized Losses (Quarter ended March 31, 2017) (Quarter Ended March 31, 2016) Level 3 Instruments Only Securities Securities Available For Sale Available For Sale (In thousands) Changes in unrealized losses relating to assets still held at reporting date: Net impairment losses on investment securities (credit component) $ - $ (387) As of March 31, 2017, impairment or valuation adjustments were recorded for assets recognized at fair value on a non-recurring basis as shown in the following table: Carrying value as of March 31, 2017 (Losses) recorded for the Quarter Ended March 31, 2017 Level 1 Level 2 Level 3 (In thousands) Loans receivable (1) $ - $ - $ 430,162 $ (15,211) Other Real Estate Owned (2) - - 137,784 (4,180) Mortgage servicing rights (3) - - 26,330 (160) (1) Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g., absorption rates), which are not market observable. (2) The fair value was derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the properties (e.g., absorption rates and net operating income of income producing properties), that are not market observable. Losses were related to market valuation adjustments after the transfer of the loans to the OREO portfolio. (3) Fair value adjustments to mortgage servicing rights were mainly due to assumptions associated with mortgage prepayment rates. The Corporation carries its mortgage servicing rights at the lower of cost or market, measured at fair value on a non-recurring basis. Assumptions for the value of mortgage servicing rights include: Prepayment rate 6.17%, Discount Rate 11.20%. As of March 31, 2016, impairment or valuation adjustments were recorded for assets recognized at fair value on a non-recurring basis as shown in the following table: Carrying value as of March 31, 2016 Gains (Losses) recorded for the Quarter Ended March 31, 2016 Level 1 Level 2 Level 3 (In thousands) Loans receivable (1) $ - $ - $ 304,498 $ 675 Other Real Estate Owned (2) - - 142,888 (2,910) Mortgage servicing rights (3) - - 24,692 27 (1) Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g. absorption rates), which are not market observable. (2) The fair value was derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the properties (e.g., absorption rates and net operating income of income producing properties) that are not market observable. Losses were related to market valuation adjustments after the transfer of the loans to the OREO portfolio. (3) Fair value adjustments to the mortgage servicing rights were mainly due to assumptions associated with mortgage prepayments rates. The Corporation carries its mortgage servicing rights at the lower of cost or market, measured at fair value on a non-recurring basis. Assumptions for the value of mortgage servicing rights include: Prepayment Rate 10.06%, Discount Rate 10.67%. |
Estimated Fair Value and Carrying Value of Financial Instruments | The following tables presents the carrying value, estimated fair value and estimated fair value level of the hierarchy of financial instruments as of March 31, 2017 and December 31, 2016: Total Carrying Amount in Statement of Financial Condition March 31, 2017 Fair Value Estimate March 31, 2017 Level 1 Level 2 Level 3 (In thousands) Assets: Cash and due from banks and money market investments $ 424,122 $ 424,122 $ 424,122 $ - $ - Investment securities available for sale 1,831,981 1,831,981 7,912 1,802,687 21,382 Investment securities held to maturity 156,049 136,614 - - 136,614 Other equity securities 38,492 38,492 - 38,492 - Loans held for sale 45,906 48,217 - 38,431 9,786 Loans held for investment 8,822,349 Less: allowance for loan and lease losses (203,231) Loans held for investment, net of allowance $ 8,619,118 8,367,980 - - 8,367,980 Derivatives, included in assets 441 441 - 441 - Liabilities: Deposits 8,857,998 8,867,714 - 8,867,714 - Securities sold under agreements to repurchase 300,000 334,747 - 334,747 - Advances from FHLB 570,000 569,522 - 569,522 - Other borrowings 216,187 177,436 - - 177,436 Derivatives, included in liabilities 697 697 - 697 - Total Carrying Amount in Statement of Financial Condition December 31, 2016 Fair Value Estimate December 31, 2016 Level 1 Level 2 Level 3 (In thousands) Assets: Cash and due from banks and money market investments $ 299,685 $ 299,685 $ 299,685 $ - $ - Investment securities available for sale 1,881,920 1,881,920 7,917 1,851,089 22,914 Investment securities held to maturity 156,190 132,759 - - 132,759 Other equity securities 42,992 42,992 - 42,992 - Loans held for sale 50,006 52,707 - 42,921 9,786 Loans held for investment 8,886,873 Less: allowance for loan and lease losses (205,603) Loans held for investment, net of allowance $ 8,681,270 8,455,104 - - 8,455,104 Derivatives, included in assets 554 554 - 554 - Liabilities: Deposits 8,831,205 8,838,606 - 8,838,606 - Securities sold under agreements to repurchase 300,000 335,840 - 335,840 - Advances from FHLB 670,000 669,687 - 669,687 - Other borrowings 216,187 171,374 - - 171,374 Derivatives, included in liabilities 753 753 - 753 - |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | Qualitative information regarding the fair value measurements for Level 3 financial instruments are as follows: March 31, 2017 Method Inputs Loans Income, Market, Comparable Sales, Discounted Cash Flows External appraised values; probability weighting of broker price opinions; management assumptions regarding market trends or other relevant factors OREO Income, Market, Comparable Sales, Discounted Cash Flows External appraised values; probability weighting of broker price opinions; management assumptions regarding market trends or other relevant factors Mortgage servicing rights Discounted Cash Flows Weighted average prepayment rate of 6.17%; weighted average discount rate of 11.20% |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block] | The table below presents qualitative information for significant assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) as of March 31, 2017: March 31, 2017 (In thousands) Fair Value Valuation Technique Unobservable Input Range Investment securities available-for-sale: Private label MBS $ 19,308 Discounted cash flows Discount rate 14.4% Prepayment rate 8.8% - 17.5% (Weighted Average 13.6%) Projected Cumulative Loss Rate 0.1% - 7.2% (Weighted Average 4.0%) Puerto Rico government obligations 1,974 Discounted cash flows Prepayment rate 3.00% |
SUPPLEMENTAL CASH FLOW INFORM50
SUPPLEMENTAL CASH FLOW INFORMATION (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Supplemental Cash Flow Information | Quarter Ended March 31, 2017 2016 (In thousands) Cash paid for: Interest on borrowings $ 22,001 $ 23,148 Non-cash investing and financing activities: Additions to other real estate owned 13,597 9,145 Additions to auto and other repossessed assets 11,516 14,873 Capitalization of servicing assets 875 1,161 Loan securitizations 60,525 67,728 Property plant and equipment transferred to other assets 1,185 - |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Information about the Reportable Segments | The following table presents information about the reportable segments: (In thousands) Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Treasury and Investments United States Operations Virgin Islands Operations Total For the quarter ended March 31, 2017: Interest income $ 33,958 $ 42,917 $ 29,411 $ 13,757 $ 15,789 $ 9,396 $ 145,228 Net (charge) credit for transfer of funds (11,698) 4,909 (9,318) 16,233 (126) - - Interest expense - (5,900) - (11,806) (4,195) (778) (22,679) Net interest income 22,260 41,926 20,093 18,184 11,468 8,618 122,549 (Provision) release for loan and lease losses (8,936) (7,142) (8,055) - 35 (1,344) (25,442) Non-interest income (loss) 3,586 13,379 1,237 (12,170) 505 1,706 8,243 Direct non-interest expenses (9,879) (27,418) (9,367) (1,207) (7,859) (6,750) (62,480) Segment income $ 7,031 $ 20,745 $ 3,908 $ 4,807 $ 4,149 $ 2,230 $ 42,870 Average earnings assets $ 2,500,750 $ 1,775,931 $ 2,548,936 $ 2,157,882 $ 1,393,215 $ 617,820 $ 10,994,534 (In thousands) Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Treasury and Investments United States Operations Virgin Islands Operations Total For the quarter ended March 31, 2016: Interest income $ 35,219 $ 46,066 $ 33,548 $ 13,760 $ 12,724 $ 9,514 $ 150,831 Net (charge) credit for transfer of funds (12,924) 3,882 (6,096) 14,526 612 - - Interest expense - (6,162) - (15,469) (3,689) (863) (26,183) Net interest income 22,295 43,786 27,452 12,817 9,647 8,651 124,648 (Provision) release for loan and lease losses (6,140) (8,537) (7,548) - (210) 1,382 (21,053) Non-interest income (loss) 4,487 12,736 561 (2,401) 1,183 1,903 18,469 Direct non-interest expenses (10,833) (32,089) (9,664) (1,050) (7,261) (6,989) (67,886) Segment income $ 9,809 $ 15,896 $ 10,801 $ 9,366 $ 3,359 $ 4,947 $ 54,178 Average earnings assets $ 2,602,209 $ 2,030,598 $ 2,552,200 $ 2,777,748 $ 1,140,630 $ 629,037 $ 11,732,422 |
Reconciliation of the Reportable Segment Financial Information | The following table presents a reconciliation of the reportable segment financial information to the consolidated totals: Quarter Ended March 31, 2017 2016 Net income: Total income for segments and other $ 42,870 $ 54,178 Other operating expenses (1) (25,402) (25,111) Income before income taxes 17,468 29,067 Income tax benefit (expense) 8,073 (5,723) Total consolidated net income $ 25,541 $ 23,344 Average assets: Total average earning assets for segments $ 10,994,534 $ 11,732,422 Average non-earning assets 886,492 922,010 Total consolidated average assets $ 11,881,026 $ 12,654,432 (1) Expenses pertaining to corporate administrative functions that support the operating segment but are not specifically attributable to or managed by any segment are not included in the reported financial results of the operating segments. The unallocated corporate expenses include certain general and administrative expenses and related depreciation and amortization expenses. |
REGULATORY MATTERS, COMMITMEN52
REGULATORY MATTERS, COMMITMENTS AND CONTINGENCIES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule Of Compliance With Regulatory Capital Requirements Under Banking Regulations [Text Block] | The Corporation's and its banking subsidiary's regulatory capital positions as of March 31, 2017 and December 31, 2016 were as follows: Regulatory Requirements Actual For Capital Adequacy Purposes To be Well-Capitalized-General Thresholds Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of March 31, 2017 Total Capital (to Risk-Weighted Assets) First BanCorp. $ 1,936,905 21.85% $ 709,179 8.0% N/A N/A FirstBank $ 1,887,081 21.29% $ 709,013 8.0% $ 886,266 10.0% Common Equity Tier 1 Capital (to Risk-Weighted Assets) First BanCorp. $ 1,614,885 18.22% $ 398,913 4.5% N/A N/A FirstBank $ 1,504,723 16.98% $ 398,820 4.5% $ 576,073 6.5% Tier I Capital (to Risk-Weighted Assets) First BanCorp. $ 1,614,885 18.22% $ 531,884 6.0% N/A N/A FirstBank $ 1,774,783 20.03% $ 531,760 6.0% $ 709,013 8.0% Leverage ratio First BanCorp. $ 1,614,885 13.83% $ 466,944 4.0% N/A N/A FirstBank $ 1,774,783 15.22% $ 466,340 4.0% $ 582,925 5.0% As of December 31, 2016 Total Capital (to Risk-Weighted Assets) First BanCorp. $ 1,921,329 21.34% $ 720,329 8.0% N/A N/A FirstBank $ 1,872,120 20.80% $ 720,091 8.0% $ 900,114 10.0% Common Equity Tier 1 Capital (to Risk-Weighted Assets) First BanCorp. $ 1,597,117 17.74% $ 405,185 4.5% N/A N/A FirstBank $ 1,523,332 16.92% $ 405,051 4.5% $ 585,074 6.5% Tier I Capital (to Risk-Weighted Assets) First BanCorp. $ 1,597,117 17.74% $ 540,247 6.0% N/A N/A FirstBank $ 1,757,642 19.53% $ 540,068 6.0% $ 720,091 8.0% Leverage ratio First BanCorp. $ 1,597,117 13.70% $ 466,376 4.0% N/A N/A FirstBank $ 1,757,642 15.10% $ 465,740 4.0% $ 582,174 5.0% |
FIRST BANCORP. (Holding Compa53
FIRST BANCORP. (Holding Company Only) Financial Information (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Statements of Financial Condition | Statements of Financial Condition As of March 31, As of December 31, 2017 2016 (In thousands) Assets Cash and due from banks $ 28,312 $ 29,393 Money market investments 6,111 6,111 Other investment securities 285 285 Loans held for investment, net 217 227 Investment in First Bank Puerto Rico, at equity 1,982,203 1,946,211 Investment in First Bank Insurance Agency, at equity 13,052 10,941 Investment in FBP Statutory Trust I 2,929 2,929 Investment in FBP Statutory Trust II 3,561 3,561 Other assets 4,083 3,791 Total assets $ 2,040,753 $ 2,003,449 Liabilities and Stockholders' Equity Liabilities: Other borrowings $ 216,187 $ 216,187 Accounts payable and other liabilities 1,549 1,019 Total liabilities 217,736 217,206 Stockholders' equity 1,823,017 1,786,243 Total liabilities and stockholders' equity $ 2,040,753 $ 2,003,449 |
Statements of Income (Loss) | Statements of Income Quarter Ended March 31, March 31, 2017 2016 (In thousands) Income: Interest income on money market investments $ 5 $ 5 Dividends from banking subsidiaries 1,930 - Dividends from non-banking subsidiaries - 7,000 Other income 62 60 1,997 7,065 Expense: Other borrowings 1,963 1,979 Other operating expenses 967 650 2,930 2,629 Gain on early extinguishment of debt - 4,217 (Loss) income before income taxes and equity in undistributed earnings of subsidiaries (933) 8,653 Equity in undistributed earnings of subsidiaries 26,474 14,691 Net income $ 25,541 $ 23,344 Other comprehensive income, net of tax 10,696 30,391 Comprehensive income $ 36,237 $ 53,735 |
BUSINESS COMBINATION- Additiona
BUSINESS COMBINATION- Additional information (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||
Contractually outstanding principal and interest at acquisition | $ 203.7 | $ 207.3 |
EARNINGS PER COMMON SHARE - Cal
EARNINGS PER COMMON SHARE - Calculations of Earnings Per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net Income (Loss): | ||
Net income | $ 25,541 | $ 23,344 |
Dividends on preferred stock | (669) | 0 |
Net income (loss) attributable to common stockholders | $ 24,872 | $ 23,344 |
Weighted-Average Shares: | ||
Basic weighted-average common shares outstanding | 213,340 | 212,348 |
Average potential common shares | 4,033 | 926 |
Diluted weighted-average number of common shares outstanding | 217,373 | 213,274 |
Income (loss) per common share: | ||
Basic | $ 0.12 | $ 0.11 |
Diluted | $ 0.11 | $ 0.11 |
Retained Earnings [Member] | ||
Net Income (Loss): | ||
Net income | $ 25,541 | $ 23,344 |
Dividends on preferred stock | $ (669) | $ 0 |
EARNINGS PER COMMON SHARE - Add
EARNINGS PER COMMON SHARE - Additional Information (Detail) - shares | 3 Months Ended | |
Mar. 31, 2016 | Dec. 31, 2016 | |
Earnings Per Share Diluted [Line Items] | ||
Unvested shares of restricted stock | 4,178,791 | |
Stock Option [Member] | ||
Earnings Per Share Diluted [Line Items] | ||
Antidilutive effect on earnings per share | 39,855 |
STOCK-BASED COMPENSATION - Addi
STOCK-BASED COMPENSATION - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | ||||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2014 | Apr. 29, 2008 | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted shares of restricted stock | 952,976 | ||||
Vested | [1] | 293,019 | |||
Stock based compensation expense unrecognized related to nonvested shares of restricted stock | $ 5.4 | ||||
Period for cost recognition not yet recognized | 1 year 7 months 6 days | ||||
Weighted-Average Grant Date Fair Value of Stocks | $ 3.04 | ||||
Holding Period By The Us Treasury Of Outstanding Common Stock | 2 years | 2 years | |||
Repurchased of common stock | 98,300 | 115,121 | |||
Restricted Stock Vested Subject To Tarp Percentage | 25.00% | ||||
Board Of Directors [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted shares of restricted stock | 3,644 | ||||
Restricted stock vesting period | 1 year | ||||
Senior Executives | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted shares | 135,692 | 252,841 | |||
Share based compensation cost | $ 0.8 | $ 0.7 | |||
Weighted-Average Grant Date Fair Value of Stocks | $ 6.31 | $ 2.7 | |||
Repurchased of common stock | 45,710 | 79,954 | |||
Management [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted shares of restricted stock | 949,332 | 1,785,137 | |||
Restricted stock vesting period | 2 years | 2 years | |||
Omnibus Plan [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Authorized granting up shares | 14,169,807 | ||||
Restricted stock available for issuance | 5,746,508 | ||||
Troubled Asset Relief Program [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Percentage increments repayment under TARP | 25.00% | ||||
Vested | 153,864 | ||||
Troubled Asset Relief Program [Member] | Management [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Granted shares of restricted stock | 838,332 | 1,546,137 | |||
Fair Value Of Restricted Stock Granted | $ 2.71 | $ 1.43 | |||
Percentage of appreciation | 14.00% | ||||
Restricted Stock [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Share based compensation cost | $ 0.9 | ||||
Repurchased of common stock | 52,590 | 35,167 | |||
[1] | Includes 153,864 shares of restricted stock released from TARP restrictions. |
STOCK-BASED COMPENSATION - Acti
STOCK-BASED COMPENSATION - Activity of Stock Options (Detail) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($)$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of options, Beginning of year | shares | 34,989 |
Number of Options, expired | shares | (34,989) |
Number of options, End of period outstanding and exercisable | shares | 0 |
Weighted-Average Exercise Price, beginning of year | $ / shares | $ 138 |
Weighted-Average Exercise Price, Options expired | $ / shares | 138 |
Weighted-Average Exercise Price, End of period outstanding and exercisable | $ / shares | $ 0 |
Weighted- Average Remaining Contractual Term (Years),End of period outstanding and exercisable | 0 years |
Aggregate Intrinsic Value, End of period outstanding and exercisable | $ | $ 0 |
STOCK-BASED COMPENSATION - Rest
STOCK-BASED COMPENSATION - Restricted Stock Activity Under Omnibus Plan (Detail) | 3 Months Ended | |
Mar. 31, 2017$ / sharesshares | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of non-vested shares of restricted stock, beginning of period | shares | 4,178,791 | |
Granted shares of restricted stock | shares | 952,976 | |
Vested | shares | (293,019) | [1] |
Forefeited | shares | (6,000) | |
Weighted-Average Grant Date Fair Value, beginning of period | $ / shares | $ 2.58 | |
Weighted-Average Grant Date Fair Value of Stocks | $ / shares | 3.04 | |
Weighted-Averages Grant Date Dair Value, Forefeitures | $ / shares | 4.42 | |
Weighted-Averages Grant Date Fair Value, Vested | $ / shares | 4.4 | [1] |
Weighted-Average Grant Date Fair Value, end of period | $ / shares | $ 2.9 | |
Omnibus Plan [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of non-vested shares of restricted stock, end of period | shares | 4,832,748 | |
[1] | Includes 153,864 shares of restricted stock released from TARP restrictions. |
INVESTMENT SECURITIES - Investm
INVESTMENT SECURITIES - Investment Securities Available for Sale (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | ||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 1,847,922 | $ 1,908,557 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 13,071 | 22,372 | ||
Gross unrealized gain | 16,175 | 16,487 | ||
Gross unrealized loss | 19,045 | 20,752 | ||
Fair value | $ 1,831,981 | $ 1,881,920 | ||
Weighted average yield | 2.15% | 2.14% | ||
Puerto Rico Government obligations [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 31,200 | |||
Fair value | 26,700 | |||
United States And Puerto Rico Government Obligations [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | 539,415 | $ 551,700 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 5,678 | 14,250 | ||
Gross unrealized gain | 183 | 233 | ||
Gross unrealized loss | 4,901 | 4,996 | ||
Fair value | $ 529,019 | $ 532,687 | ||
Weighted average yield | 1.34% | 1.29% | ||
Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 1,307,990 | $ 1,356,342 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 7,393 | 8,122 | ||
Gross unrealized gain | 15,992 | 16,254 | ||
Gross unrealized loss | 14,138 | 15,749 | ||
Fair value | $ 1,302,451 | $ 1,348,725 | ||
Weighted average yield | 2.50% | 2.49% | ||
Federal Home Loan Mortgage Corporation Certificates And Obligations F H L M C [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 309,549 | $ 320,814 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 438 | 333 | ||
Gross unrealized loss | 5,304 | 5,827 | ||
Fair value | $ 304,683 | $ 315,320 | ||
Weighted average yield | 2.16% | 2.17% | ||
Government National Mortgage Association Certificates And Obligations G N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 205,103 | $ 215,375 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 10,319 | 11,344 | ||
Gross unrealized loss | 0 | 92 | ||
Fair value | $ 215,422 | $ 226,627 | ||
Weighted average yield | 3.81% | 3.81% | ||
Federal National Mortgage Association Certificates And Obligations F N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 708,582 | $ 732,367 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 5,157 | 4,573 | ||
Gross unrealized loss | 8,815 | 9,667 | ||
Fair value | $ 704,924 | $ 727,273 | ||
Weighted average yield | 2.35% | 2.33% | ||
Collateralized Mortgage Obligations Issued And Guaranteed By Fhlmc Fnma And Gnma [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 58,055 | $ 58,971 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 78 | 4 | ||
Gross unrealized loss | 19 | 163 | ||
Fair value | $ 58,114 | $ 58,812 | ||
Weighted average yield | 1.64% | 1.43% | ||
Due Within One Year [Member] | U S Treasury Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 7,502 | $ 7,508 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 0 | 1 | ||
Gross unrealized loss | 1 | 0 | ||
Fair value | $ 7,501 | $ 7,509 | ||
Weighted average yield | 0.57% | 0.57% | ||
Due Within One Year [Member] | US Government Sponsored Enterprises Debt Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 50,000 | |||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | |||
Gross unrealized gain | 0 | |||
Gross unrealized loss | 31 | |||
Fair value | $ 49,969 | |||
Weighted average yield | 1.05% | |||
Due Within One Year [Member] | Federal National Mortgage Association Certificates And Obligations F N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 98 | $ 152 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 1 | 2 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 99 | $ 154 | ||
Weighted average yield | 4.48% | 4.71% | ||
After One To Five Years [Member] | US Government Sponsored Enterprises Debt Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 390,440 | $ 440,438 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 108 | 142 | ||
Gross unrealized loss | 2,549 | 2,912 | ||
Fair value | $ 387,999 | $ 437,668 | ||
Weighted average yield | 1.37% | 1.33% | ||
After One To Five Years [Member] | Puerto Rico Government obligations [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 10,126 | $ 21,422 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 3,776 | 12,222 | ||
Gross unrealized gain | 0 | 0 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 6,350 | $ 9,200 | ||
Weighted average yield | 0.00% | 0.00% | ||
After One To Five Years [Member] | Other Available For Sale Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 100 | $ 100 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 0 | 0 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 100 | $ 100 | ||
Weighted average yield | 1.50% | 1.50% | ||
After One To Five Years [Member] | Government National Mortgage Association Certificates And Obligations G N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 76 | $ 83 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 2 | 3 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 78 | $ 86 | ||
Weighted average yield | 3.83% | 3.82% | ||
After One To Five Years [Member] | Federal National Mortgage Association Certificates And Obligations F N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 20,404 | $ 24,409 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 476 | 435 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 20,880 | $ 24,844 | ||
Weighted average yield | 2.36% | 2.18% | ||
After One To Five Years [Member] | Collateralized Mortgage Obligations Issued And Guaranteed By Fhlmc Fnma And Gnma [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 19,851 | |||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | |||
Gross unrealized gain | 4 | |||
Gross unrealized loss | 31 | |||
Fair value | $ 19,824 | |||
Weighted average yield | 1.42% | |||
After Five To Ten Years [Member] | US Government Sponsored Enterprises Debt Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 16,943 | $ 16,942 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 13 | 9 | ||
Gross unrealized loss | 258 | 256 | ||
Fair value | $ 16,698 | $ 16,695 | ||
Weighted average yield | 1.95% | 1.91% | ||
After Five To Ten Years [Member] | Federal Home Loan Mortgage Corporation Certificates And Obligations F H L M C [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 22,867 | $ 5,908 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 78 | 72 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 22,945 | $ 5,980 | ||
Weighted average yield | 2.15% | 2.25% | ||
After Five To Ten Years [Member] | Government National Mortgage Association Certificates And Obligations G N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 86,431 | $ 91,744 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 1,728 | 1,635 | ||
Gross unrealized loss | 0 | 92 | ||
Fair value | $ 88,159 | $ 93,287 | ||
Weighted average yield | 3.06% | 3.06% | ||
After Five To Ten Years [Member] | Federal National Mortgage Association Certificates And Obligations F N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 19,785 | $ 17,181 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 0 | 0 | ||
Gross unrealized loss | 257 | 261 | ||
Fair value | $ 19,528 | $ 16,920 | ||
Weighted average yield | 2.01% | 1.87% | ||
After Five To Ten Years [Member] | Collateralized Mortgage Obligations Issued And Guaranteed By Fhlmc Fnma And Gnma [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 19,358 | |||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | |||
Gross unrealized gain | 48 | |||
Gross unrealized loss | 0 | |||
Fair value | $ 19,406 | |||
Weighted average yield | 1.63% | |||
After Ten Years [Member] | US Government Sponsored Enterprises Debt Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 43,345 | $ 44,145 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 4 | 8 | ||
Gross unrealized loss | 188 | 166 | ||
Fair value | $ 43,161 | $ 43,987 | ||
Weighted average yield | 1.36% | 1.12% | ||
After Ten Years [Member] | Puerto Rico Government obligations [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 21,059 | $ 21,245 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 1,902 | 2,028 | ||
Gross unrealized gain | 58 | 73 | ||
Gross unrealized loss | 1,874 | 1,662 | ||
Fair value | $ 17,341 | $ 17,628 | ||
Weighted average yield | 1.89% | 1.86% | ||
After Ten Years [Member] | Federal Home Loan Mortgage Corporation Certificates And Obligations F H L M C [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 286,682 | $ 314,906 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 360 | 261 | ||
Gross unrealized loss | 5,304 | 5,827 | ||
Fair value | $ 281,738 | $ 309,340 | ||
Weighted average yield | 2.16% | 2.17% | ||
After Ten Years [Member] | Government National Mortgage Association Certificates And Obligations G N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 118,596 | $ 123,548 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 8,589 | 9,706 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 127,185 | $ 133,254 | ||
Weighted average yield | 4.36% | 4.36% | ||
After Ten Years [Member] | Federal National Mortgage Association Certificates And Obligations F N M A [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 668,295 | $ 690,625 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 4,680 | 4,136 | ||
Gross unrealized loss | 8,558 | 9,406 | ||
Fair value | $ 664,417 | $ 685,355 | ||
Weighted average yield | 2.36% | 2.35% | ||
After Ten Years [Member] | Collateralized Mortgage Obligations Issued And Guaranteed By Fhlmc Fnma And Gnma [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 38,697 | $ 39,120 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 0 | 0 | ||
Gross unrealized gain | 30 | 0 | ||
Gross unrealized loss | 19 | 132 | ||
Fair value | $ 38,708 | $ 38,988 | ||
Weighted average yield | 1.65% | 1.44% | ||
After Ten Years [Member] | Mortgage Backed Securities Issued By Private Enterprises [Member] | Mortgage Backed Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 26,701 | $ 28,815 | ||
Noncredit Loss Component of OTTI Recorded in OCI | 7,393 | 8,122 | ||
Gross unrealized gain | 0 | 0 | ||
Gross unrealized loss | 0 | 0 | ||
Fair value | $ 19,308 | $ 20,693 | ||
Weighted average yield | 2.41% | 2.40% | ||
Equity Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Amortized cost | $ 417 | [1] | $ 415 | [2] |
Noncredit Loss Component of OTTI Recorded in OCI | 0 | [1] | 0 | [2] |
Gross unrealized gain | 0 | [1] | 0 | [2] |
Gross unrealized loss | 6 | [1] | 7 | [2] |
Fair value | $ 411 | [1] | $ 408 | [2] |
Weighted average yield | 2.08% | [1] | 2.44% | [2] |
[1] | Equity securities consisted of investment in a Community Reinvestment Act Qualified Investment Fund. | |||
[2] | Equity securities consisted of investment in a Community Reinvestment Act Qualified Investment Fund. |
INVESTMENT SECURITIES - Additio
INVESTMENT SECURITIES - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Schedule Of Investments [Line Items] | |||
Proceeds from sale of available-for-sale securities | $ 0 | $ 14,990 | |
Percentage Of Debt Securities Government And Government Sponsored Agencies | 98.00% | ||
Maximum loan to value ratio | 80.00% | ||
Proceeds From Maturities Prepayments And Calls Of Available For Sale Securities | $ 53,830 | 62,418 | |
Total investment securities available for sale | 1,831,981 | $ 1,881,920 | |
Impairement on equity securities | 0 | 8 | |
Fair value | 1,831,981 | 1,881,920 | |
Amortized cost | $ 1,847,922 | $ 1,908,557 | |
Weighted average yield | 2.15% | 2.14% | |
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities, Portion Recognized in Earnings, Net, Qualitative Disclosures, Default Rate | 100.00% | ||
Other Than Temporary Impairment Losses Investments Portion Recognized In Earnings Net | $ 12,231 | 6,687 | |
Interest Receivable | 41,136 | $ 45,453 | |
Puerto Rico Government Debt Securities Other Than Temporary Impairment [Member] | |||
Schedule Of Investments [Line Items] | |||
Total investment securities available for sale | 17,500 | ||
Fair value | 17,500 | ||
Amortized cost | 23,200 | ||
Puerto Rico Buildings Authority [Member] | Puerto Rico Government Debt Securities Other Than Temporary Impairment [Member] | |||
Schedule Of Investments [Line Items] | |||
Total investment securities available for sale | 11,200 | ||
Fair value | 11,200 | ||
Amortized cost | 13,100 | ||
Puerto Rico Government Development Bank [Member] | Puerto Rico Government Debt Securities Other Than Temporary Impairment [Member] | |||
Schedule Of Investments [Line Items] | |||
Total investment securities available for sale | 6,400 | ||
Fair value | 6,400 | ||
Amortized cost | $ 10,100 | ||
Maximum [Member] | |||
Schedule Of Investments [Line Items] | |||
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities, Portion Recognized in Earnings, Net, Qualitative Disclosures, Recovery Rate | 80.00% | ||
Minimum [Member] | |||
Schedule Of Investments [Line Items] | |||
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities, Portion Recognized in Earnings, Net, Qualitative Disclosures, Recovery Rate | 15.00% | ||
Weighted Average [Member] | |||
Schedule Of Investments [Line Items] | |||
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities, Portion Recognized in Earnings, Net, Qualitative Disclosures, Recovery Rate | 41.00% | ||
Mortgage Backed Securities Issued By Private Enterprises [Member] | |||
Schedule Of Investments [Line Items] | |||
Other Than Temporary Impairment Losses Investments Portion Recognized In Earnings Net | 400 | ||
Puerto Rico Government obligations [Member] | |||
Schedule Of Investments [Line Items] | |||
Total investment securities available for sale | $ 26,700 | ||
Fair value | 26,700 | ||
Amortized cost | 31,200 | ||
Other Than Temporary Impairment Losses Investments Portion Recognized In Earnings Net | $ 12,200 | $ 6,300 | |
Percentage Of Held To Maturity Securities | 87.00% |
INVESTMENT SECURITIES - Narrati
INVESTMENT SECURITIES - Narratives (Detail) | Mar. 31, 2017minimumcreditscore |
Disclosure Investment Securities Additional Information [Abstract] | |
Minimum Credit Score | 700 |
INVESTMENT SECURITIES - Availab
INVESTMENT SECURITIES - Available-For-Sale Investments' Fair Value And Gross Unrealized Losses (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | $ 1,263,726 | $ 1,331,998 |
Unrealized Losses Less than 12 months | 17,132 | 19,090 |
Fair Value 12 months or more | 45,400 | 43,302 |
Unrealized Losses 12 months or more | 14,984 | 24,034 |
Total Fair Value | 1,309,126 | 1,375,300 |
Total Unrealized Losses | 32,116 | 43,124 |
Equity Securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 411 | 408 |
Unrealized Losses Less than 12 months | 6 | 7 |
Fair Value 12 months or more | 0 | 0 |
Unrealized Losses 12 months or more | 0 | 0 |
Total Fair Value | 411 | 408 |
Total Unrealized Losses | 6 | 7 |
Debt Securities [Member] | Puerto Rico Government Obligations [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 0 | 0 |
Unrealized Losses Less than 12 months | 0 | 0 |
Fair Value 12 months or more | 19,506 | 22,609 |
Unrealized Losses 12 months or more | 7,552 | 15,912 |
Total Fair Value | 19,506 | 22,609 |
Total Unrealized Losses | 7,552 | 15,912 |
Debt Securities [Member] | US States And Political Subdivisions Member [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 477,100 | 469,046 |
Unrealized Losses Less than 12 months | 2,988 | 3,334 |
Fair Value 12 months or more | 6,586 | 0 |
Unrealized Losses 12 months or more | 39 | 0 |
Total Fair Value | 483,686 | 469,046 |
Total Unrealized Losses | 3,027 | 3,334 |
Mortgage Backed Securities [Member] | Collateralized Mortgage Obligations Member | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 19,102 | 55,309 |
Unrealized Losses Less than 12 months | 19 | 163 |
Fair Value 12 months or more | 0 | 0 |
Unrealized Losses 12 months or more | 0 | 0 |
Total Fair Value | 19,102 | 55,309 |
Total Unrealized Losses | 19 | 163 |
Mortgage Backed Securities [Member] | Other-mortgage pass-through trust certificates [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 0 | 0 |
Unrealized Losses Less than 12 months | 0 | 0 |
Fair Value 12 months or more | 19,308 | 20,693 |
Unrealized Losses 12 months or more | 7,393 | 8,122 |
Total Fair Value | 19,308 | 20,693 |
Total Unrealized Losses | 7,393 | 8,122 |
Mortgage Backed Securities [Member] | Government National Mortgage Association Certificates And Obligations G N M A [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 0 | 43,388 |
Unrealized Losses Less than 12 months | 92 | |
Fair Value 12 months or more | 0 | 0 |
Unrealized Losses 12 months or more | 0 | |
Total Fair Value | 0 | 43,388 |
Total Unrealized Losses | 92 | |
Mortgage Backed Securities [Member] | Federal National Mortgage Association Certificates And Obligations F N M A [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 530,249 | 519,008 |
Unrealized Losses Less than 12 months | 8,815 | 9,667 |
Fair Value 12 months or more | 0 | 0 |
Unrealized Losses 12 months or more | 0 | 0 |
Total Fair Value | 530,249 | 519,008 |
Total Unrealized Losses | 8,815 | 9,667 |
Mortgage Backed Securities [Member] | Federal Home Loan Mortgage Corporation Certificates And Obligations F H L M C [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair Value Less than 12 months | 236,864 | 244,839 |
Unrealized Losses Less than 12 months | 5,304 | 5,827 |
Fair Value 12 months or more | 0 | 0 |
Unrealized Losses 12 months or more | 0 | 0 |
Total Fair Value | 236,864 | 244,839 |
Total Unrealized Losses | $ 5,304 | $ 5,827 |
INVESTMENT SECURITIES - OTTI Lo
INVESTMENT SECURITIES - OTTI Losses on Available-for-Sale Debt Securities (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Schedule Of Available For Sale Securities [Line Items] | |||
Total other-than-temporary impairment losses | $ (12,231) | $ (1,845) | |
Net impairment losses recognized in earnings | (12,231) | (6,687) | |
Mortgage Backed Securities [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Total other-than-temporary impairment losses | (12,231) | (1,845) | |
Portion of loss previously recognized in other comprehensive income | [1] | 0 | (4,842) |
Net impairment losses recognized in earnings | [1] | (12,231) | (6,687) |
Mortgage Backed Securities Issued By Private Enterprises [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Net impairment losses recognized in earnings | (400) | ||
US States And Political Subdivisions Member [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Net impairment losses recognized in earnings | $ (12,200) | $ (6,300) | |
[1] | (1) For the quarters ended March 31, 2017 and 2016, approximately $12.2 million and $6.3 million, respectively, of the credit impairment recognized in earnings consisted of credit losses on Puerto Rico government debt securities. For the quarter ended March 31, 2016, $0.4 million of the credit impairment recognized was associated with credit losses on private label MBS. |
INVESTMENT SECURITIES - Roll-Fo
INVESTMENT SECURITIES - Roll-Forward of Credit Losses on Debt Securities Held by Corporation (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Other Than Temporary Impairment Credit Losses Recognized In Earnings [Line Items] | ||
Beginning balance of credit losses on debt securities held for which a portion of an OTTI was recognized in OCI | $ 28,981 | $ 22,294 |
Additions: | ||
Credit losses on debt securities for which an OTTI was previously recognized | 12,231 | 6,687 |
Reductions: | ||
Ending balance of credit losses on debt securities held for which a portion of an OTTI was recognized in OCI | 41,212 | 28,981 |
Mortgage Backed Securities Issued By Private Enterprises [Member] | ||
Other Than Temporary Impairment Credit Losses Recognized In Earnings [Line Items] | ||
Beginning balance of credit losses on debt securities held for which a portion of an OTTI was recognized in OCI | 6,792 | 6,405 |
Additions: | ||
Credit losses on debt securities for which an OTTI was previously recognized | 0 | 387 |
Reductions: | ||
Ending balance of credit losses on debt securities held for which a portion of an OTTI was recognized in OCI | 6,792 | 6,792 |
US States And Political Subdivisions Member [Member] | ||
Other Than Temporary Impairment Credit Losses Recognized In Earnings [Line Items] | ||
Beginning balance of credit losses on debt securities held for which a portion of an OTTI was recognized in OCI | 22,189 | 15,889 |
Additions: | ||
Credit losses on debt securities for which an OTTI was previously recognized | 12,231 | 6,300 |
Reductions: | ||
Ending balance of credit losses on debt securities held for which a portion of an OTTI was recognized in OCI | $ 34,420 | $ 22,189 |
INVESTMENT SECURITIES - Signifi
INVESTMENT SECURITIES - Significant Assumptions in Valuation of Private Label MBS (Detail) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Schedule Of Investments [Line Items] | ||
Fair Value Inputs Discount Rate | 14.40% | 14.10% |
Fair Value Inputs Prepayment Rate | 13.60% | 13.80% |
Weighted Average, Projected Cumulative Loss Rate | 4.00% | 4.00% |
Minimum [Member] | ||
Schedule Of Investments [Line Items] | ||
Fair Value Inputs Discount Rate | 12.88% | |
Fair Value Inputs Prepayment Rate | 8.80% | 6.50% |
Weighted Average, Projected Cumulative Loss Rate | 0.10% | 0.20% |
Maximum [Member] | ||
Schedule Of Investments [Line Items] | ||
Fair Value Inputs Discount Rate | 14.43% | |
Fair Value Inputs Prepayment Rate | 17.50% | 22.50% |
Weighted Average, Projected Cumulative Loss Rate | 7.20% | 8.60% |
INVESTMENT SECURITIES - Inves67
INVESTMENT SECURITIES - Investment Securities Held to Maturity (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule Of Held To Maturity Securities [Line Items] | ||
Held To Maturity Securities | $ 156,190 | |
Held To Maturity Securities Fair Value | $ 136,614 | 132,759 |
US States And Political Subdivisions Member [Member] | P R | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Held To Maturity Securities | 156,049 | 156,190 |
Held To Maturity Securities Accumulated Unrecognized Holding Gain | 0 | 0 |
Held To Maturity Securities Accumulated Unrecognized Holding Loss | 19,435 | 23,431 |
Held To Maturity Securities Fair Value | $ 136,614 | $ 132,759 |
Held To Maturity Securities Debt Maturities Average Yield | 4.82% | 4.73% |
US States And Political Subdivisions Member [Member] | After One To Five Years [Member] | P R | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Held To Maturity Securities | $ 4,108 | $ 1,136 |
Held To Maturity Securities Accumulated Unrecognized Holding Gain | 0 | 0 |
Held To Maturity Securities Accumulated Unrecognized Holding Loss | 116 | 20 |
Held To Maturity Securities Fair Value | $ 3,992 | $ 1,116 |
Held To Maturity Securities Debt Maturities Average Yield | 5.38% | 5.38% |
US States And Political Subdivisions Member [Member] | After Five To Ten Years [Member] | P R | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Held To Maturity Securities | $ 7,627 | $ 10,741 |
Held To Maturity Securities Accumulated Unrecognized Holding Gain | 0 | 0 |
Held To Maturity Securities Accumulated Unrecognized Holding Loss | 481 | 718 |
Held To Maturity Securities Fair Value | $ 7,146 | $ 10,023 |
Held To Maturity Securities Debt Maturities Average Yield | 4.18% | 4.47% |
US States And Political Subdivisions Member [Member] | After Ten Years [Member] | P R | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Held To Maturity Securities | $ 144,314 | $ 144,313 |
Held To Maturity Securities Accumulated Unrecognized Holding Gain | 0 | 0 |
Held To Maturity Securities Accumulated Unrecognized Holding Loss | 18,838 | 22,693 |
Held To Maturity Securities Fair Value | $ 125,476 | $ 121,620 |
Held To Maturity Securities Debt Maturities Average Yield | 4.84% | 4.74% |
INVESTMENT SECURITIES - Inves68
INVESTMENT SECURITIES - Investment Securities Held to Maturity (Securities in continuous unrealized loss position) (Detail) - US States And Political Subdivisions Member [Member] - P R - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule Of Held To Maturity Securities [Line Items] | ||
Held to maturity less than twelve months fair value | $ 0 | $ 0 |
Held to maturity less than twelve months unrealized losses | 0 | 0 |
Held to maturity securities twelve months or longer fair value | 136,614 | 132,759 |
Held to maturity securities twelve month or longer unrealized losses | 19,435 | 23,431 |
Held to maturity unrealized loss position fair value | 136,614 | 132,759 |
Held to maturity unrealized loss position aggregate losses | $ 19,435 | $ 23,431 |
OTHER EQUITY SECURITIES - Addit
OTHER EQUITY SECURITIES - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Schedule Of Other Assets [Line Items] | |||
Capital stock par value | $ 100 | ||
Book value of investment in FHLB stock | $ 36.3 | $ 40.8 | |
Dividend income from FHLB stock | 0.5 | $ 0.3 | |
Carrying value of other equity security | $ 2.2 |
LOAN PORTFOLIO - Loan Portfolio
LOAN PORTFOLIO - Loan Portfolio Held for Investment (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 |
Financial Information [Line Items] | |||
Loans held for investment | $ 8,822,349 | $ 8,886,873 | $ 8,970,000 |
Less: allowance for loan and lease losses | (203,231) | (205,603) | |
Loans held for investment, net | 8,619,118 | 8,681,270 | |
Construction Loans [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | 137,887 | 124,951 | |
Residential Mortgage [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | 3,272,598 | 3,296,031 | |
Commercial Real Estate Portfolio Segment [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | 1,596,176 | 1,568,808 | |
Commercial Portfolio Segment [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | 3,842,595 | 3,874,214 | |
Commercial And Industrial Sector [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | 2,108,532 | 2,180,455 | |
Other Consumer Loans [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | 1,469,363 | 1,483,293 | |
Finance Leases [Member] | |||
Financial Information [Line Items] | |||
Loans held for investment | $ 237,793 | $ 233,335 |
LOAN PORTFOLIO - Loan Portfol71
LOAN PORTFOLIO - Loan Portfolio Held for Investment (Parenthetical) (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Financial Information [Line Items] | ||
Commercian Loans Collaterized By Real Estate | $ 879.5 | $ 853.9 |
LOAN PORTFOLIO - Loans Held for
LOAN PORTFOLIO - Loans Held for Investment on Which Accrual of Interest Income had been Discontinued (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | |
Non-performing loans: | |||
Total non-performing loans held for investment | [1],[2],[3] | $ 477,566 | $ 560,094 |
Residential Mortgage [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 154,893 | 160,867 | |
Commercial Mortgage [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 174,908 | 178,696 | |
Commercial And Industrial [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 77,972 | 146,599 | |
Consumer Auto Loans [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 12,993 | 14,346 | |
Finance Leases [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 904 | 1,335 | |
Consumer Retail Banking [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 7,428 | 8,399 | |
Residential Construction [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 978 | 1,933 | |
Commercial Construction [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | 36,472 | 36,893 | |
Land Construction [Member] | |||
Non-performing loans: | |||
Total non-performing loans held for investment | $ 11,018 | $ 11,026 | |
[1] | Amount excludes purchased-credit impaired ("PCI") loans with a carrying value of approximately $163.1 million and $165.8 million as of March 31, 2017 and December 31, 2016, respectively, primarily mortgage loans acquired from Doral Bank in the first quarter of 2015 and from Doral Financial in the second quarter of 2014, as further discussed below. These loans are not considered non-performing due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using an estimated cash flow analysis. | ||
[2] | As of March 31, 2017 and December 31, 2016, excludes $8.1 million of non-performing loans held for sale. | ||
[3] | Non-performing loans exclude $385.2 million and $384.9 million of Troubled Debt Restructuring ("TDR") loans that are in compliance with the modified terms and in accrual status as of March 31, 2017 and December 31, 2016, respectively. |
LOAN PORTFOLIO - Loans Held f73
LOAN PORTFOLIO - Loans Held for Investment on Which Accrual of Interest Income had been Discontinued (Parenthetical) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts Notes And Loans Receivable [Line Items] | ||
Loans held for sale | $ 45,906 | $ 50,006 |
LOAN PORTFOLIO - Corporation's
LOAN PORTFOLIO - Corporation's Aging of Loans Held for Investment Portfolio (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | |||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | $ 788,951 | $ 881,954 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 163,100 | 165,818 | $ 172,332 | $ 173,913 | |||
Financing Receivable, Current | 7,870,298 | 7,839,101 | |||||
Loans held for investment | 8,822,349 | 8,886,873 | $ 8,970,000 | ||||
90 days past due and still accruing | 115,875 | [1] | 106,809 | [2] | |||
Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 119,400 | 128,325 | |||||
Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 76,110 | 86,726 | |||||
Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 593,441 | [3] | 666,903 | [4] | |||
Fha Va And Other Government Guaranteed Loans [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 77,304 | [1],[5],[6] | 82,231 | [2],[7],[8] | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | [1],[5],[6] | 0 | [2],[7],[8] | |||
Financing Receivable, Current | 44,085 | [1],[5],[6] | 44,627 | [2],[7],[8] | |||
Loans held for investment | 121,389 | [1],[5],[6] | 126,858 | [2],[7],[8] | |||
90 days past due and still accruing | 71,661 | [1],[5],[6] | 77,052 | [2],[7],[8] | |||
Fha Va And Other Government Guaranteed Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 5,643 | [1],[5],[6] | 5,179 | [2],[7],[8] | |||
Fha Va And Other Government Guaranteed Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | [1],[5],[6] | 0 | [2],[7],[8] | |||
Fha Va And Other Government Guaranteed Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 71,661 | [1],[3],[5],[6] | 77,052 | [2],[4],[7],[8] | |||
Residential Mortgage [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 158,940 | [5] | 162,676 | [7] | |||
Loans held for investment | 3,272,598 | 3,296,031 | |||||
Commercial And Industrial [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 106,909 | 169,886 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | 0 | |||||
Financing Receivable, Current | 2,001,623 | 2,010,569 | |||||
Loans held for investment | [9] | 2,108,532 | 2,180,455 | ||||
90 days past due and still accruing | 18,409 | [1] | 5,368 | [2] | |||
Commercial And Industrial [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 120 | 3,724 | |||||
Commercial And Industrial [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 10,408 | 14,195 | |||||
Commercial And Industrial [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 96,381 | [3] | 151,967 | [4] | |||
Commercial Mortgage Loans [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 187,965 | [5] | 186,511 | [7] | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 4,160 | [5] | 3,142 | [7] | |||
Financing Receivable, Current | 1,404,051 | [5] | 1,379,155 | [7] | |||
Loans held for investment | 1,596,176 | [5] | 1,568,808 | [7] | |||
90 days past due and still accruing | 4,142 | [1],[5] | 3,281 | [2],[7] | |||
Commercial Mortgage Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 8,915 | [5] | 4,534 | [7] | |||
Commercial Mortgage Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | [5] | 0 | [7] | |||
Commercial Mortgage Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 179,050 | [3],[5] | 181,977 | [4],[7] | |||
Construction Loans [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Loans held for investment | 137,887 | 124,951 | |||||
Auto loans [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 73,934 | 85,011 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | 0 | |||||
Financing Receivable, Current | 768,425 | 762,947 | |||||
Loans held for investment | 842,359 | 847,958 | |||||
90 days past due and still accruing | 0 | [1] | 0 | [2] | |||
Auto loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 11,005 | 13,523 | |||||
Auto loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 49,936 | 57,142 | |||||
Auto loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 12,993 | [3] | 14,346 | [4] | |||
Finance Leases [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 9,937 | 10,720 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | 0 | |||||
Financing Receivable, Current | 227,856 | 222,615 | |||||
Loans held for investment | 237,793 | 233,335 | |||||
90 days past due and still accruing | 0 | [1] | 0 | [2] | |||
Finance Leases [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 1,200 | 1,671 | |||||
Finance Leases [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 7,833 | 7,714 | |||||
Finance Leases [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 904 | [3] | 1,335 | [4] | |||
Consumer Loan [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 23,938 | 25,257 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | 0 | |||||
Financing Receivable, Current | 603,066 | 610,078 | |||||
Loans held for investment | 627,004 | 635,335 | |||||
90 days past due and still accruing | 3,799 | [1] | 3,929 | [2] | |||
Consumer Loan [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 4,778 | 5,254 | |||||
Consumer Loan [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 7,933 | 7,675 | |||||
Consumer Loan [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 11,227 | [3] | 12,328 | [4] | |||
Commercial Construction [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 36,472 | 36,893 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | 0 | |||||
Financing Receivable, Current | 58,004 | 40,582 | |||||
Loans held for investment | 94,476 | 77,475 | |||||
90 days past due and still accruing | 0 | [1] | 0 | [2] | |||
Commercial Construction [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | 0 | |||||
Commercial Construction [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | 0 | |||||
Commercial Construction [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 36,472 | [3] | 36,893 | [4] | |||
Residential Construction [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 978 | [5] | 1,933 | [7] | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | [5] | 0 | [7] | |||
Financing Receivable, Current | 11,326 | [5] | 13,777 | [7] | |||
Loans held for investment | 12,304 | [5] | 15,710 | [7] | |||
90 days past due and still accruing | 0 | [1],[5] | 0 | [2],[7] | |||
Residential Construction [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | [5] | 0 | [7] | |||
Residential Construction [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | [5] | 0 | [7] | |||
Residential Construction [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 978 | [3],[5] | 1,933 | [4],[7] | |||
Land Construction [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 11,655 | [5] | 11,940 | [7] | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 0 | [5] | 0 | [7] | |||
Financing Receivable, Current | 19,452 | [5] | 19,826 | [7] | |||
Loans held for investment | 31,107 | [5] | 31,766 | [7] | |||
90 days past due and still accruing | 474 | [1],[5] | 478 | [2],[7] | |||
Land Construction [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 163 | [5] | 436 | [7] | |||
Land Construction [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | [5] | 0 | [7] | |||
Land Construction [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 11,492 | [3],[5] | 11,504 | [4],[7] | |||
Other Residential Mortgage Loans [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 259,859 | 271,572 | |||||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Carrying Amount | 158,940 | 162,676 | |||||
Financing Receivable, Current | 2,732,410 | 2,734,925 | |||||
Loans held for investment | 3,151,209 | 3,169,173 | |||||
90 days past due and still accruing | 17,390 | 16,701 | |||||
Other Residential Mortgage Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 87,576 | 94,004 | |||||
Other Residential Mortgage Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | 0 | 0 | |||||
Other Residential Mortgage Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||
Total Past Due | $ 172,283 | $ 177,568 | |||||
[1] | It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. | ||||||
[2] | It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. | ||||||
[3] | Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e., FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. | ||||||
[4] | Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e. FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. | ||||||
[5] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA and other government-guaranteed loans, other residential mortgage loans, commercial mortgage loans, and land loans past due 30-59 days as of March 31, 2017 amounted to $8.0 million, $124.3 million, $20.4 million and $0.2 million, respectively. | ||||||
[6] | As of March 31, 2017, includes $39.4 million of defaulted loans collateralizing Government National Mortgage Association ("GNMA") securities for which the Corporation has an unconditional option (but not an obligation) to repurchase the defaulted loans. | ||||||
[7] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA government guaranteed loans, other residential mortgage loans, commercial mortgage loans, land loans and construction-residential loans past due 30-59 days as of December 31, 2016 amounted to $9.9 million, $142.8 million, $4.6 million, $0.7 million and $0.4 million, respectively. | ||||||
[8] | As of December 31, 2016, includes $43.7 million of defaulted loans collateralizing GNMA securities for which the Corporation has an unconditional option (but not an obligation) to repurchase the defaulted loans. | ||||||
[9] | As of March 31, 2017 and December 31, 2016, includes $879.5 million and $853.9 million, respectively, of commercial loans that are secured by real estate but are not dependent upon the real estate for repayment. |
LOAN PORTFOLIO - Corporation'75
LOAN PORTFOLIO - Corporation's Aging of Loans Held for Investment Portfolio (Parenthetical) (Detail) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)numberofpayments | Dec. 31, 2016USD ($)numberofpayments | |
Accounts Notes And Loans Receivable [Line Items] | ||
Loans considered to be defaulted if borrower has failed to make payment for a period or more than the period | 2 months 29 days | 2 months 29 days |
Period during which credit card loans continue to accrue finance charges and fees | 5 months 27 days | 5 months 27 days |
Defaulted loans collateralizing Ginnie Mae (GNMA) securities | $ 39.4 | $ 43.7 |
Minimum Number of Payments in Arrears to Consider Commercial Mortgage and Construction Loan as Past Due | numberofpayments | 2 | 2 |
Residential mortgage loans insured by FHA or guaranteed by the VA | $ 31 | $ 29.3 |
Period of residential mortgage loan that are no longer accruing interest | 1 year 3 months | 1 year 3 months |
Fha Va And Other Government Guaranteed Loans [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-59 Days past due Mortgages | $ 8 | $ 9.9 |
Residential Mortgage [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-59 Days past due Mortgages | 124.3 | 142.8 |
Commercial Mortgage Loans [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-59 Days past due Mortgages | 20.4 | 4.6 |
Residential Construction [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-59 Days past due Mortgages | 0.4 | |
Land Construction [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-59 Days past due Mortgages | $ 0.2 | $ 0.7 |
LOAN PORTFOLIO - Corporation'76
LOAN PORTFOLIO - Corporation's Credit Quality Indicators by Loan (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | |
Financing Receivable Recorded Investment [Line Items] | |||
Commercial mortgage loans | $ 1,596,176 | $ 1,568,808 | |
Commercial and Industrial loans | 2,108,532 | 2,180,455 | |
Land | 31,107 | 31,766 | |
Residential Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 12,304 | 15,710 | |
Commercial Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 94,476 | 77,475 | |
Substandard [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Commercial mortgage loans | 181,331 | 193,391 | |
Commercial and Industrial loans | 139,846 | 133,599 | |
Land | 19,289 | 19,345 | |
Substandard [Member] | Residential Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 978 | 1,933 | |
Substandard [Member] | Commercial Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 36,472 | 36,893 | |
Doubtful [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Commercial mortgage loans | 37,808 | 35,416 | |
Commercial and Industrial loans | 3,179 | 67,996 | |
Land | 0 | 0 | |
Doubtful [Member] | Residential Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 0 | 0 | |
Doubtful [Member] | Commercial Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 0 | 0 | |
Unlikely To Be Collected Financing Receivable [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Commercial mortgage loans | 0 | 0 | |
Commercial and Industrial loans | 0 | 784 | |
Land | 0 | 0 | |
Unlikely To Be Collected Financing Receivable [Member] | Residential Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 0 | 0 | |
Unlikely To Be Collected Financing Receivable [Member] | Commercial Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | 0 | 0 | |
Total Adversely Classified [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Commercial mortgage loans | [1] | 219,139 | 228,807 |
Commercial and Industrial loans | [1] | 143,025 | 202,379 |
Land | [1] | 19,289 | 19,345 |
Total Adversely Classified [Member] | Residential Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | [1] | 978 | 1,933 |
Total Adversely Classified [Member] | Commercial Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Construction loans | [1] | $ 36,472 | $ 36,893 |
[1] | Excludes $8.1 million as of March 31, 2017 and December 31, 2016 of construction-land non-performing loans held for sale. |
LOAN PORTFOLIO - Credit Risk Pa
LOAN PORTFOLIO - Credit Risk Payment Activity (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | ||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | $ 8,822,349 | $ 8,886,873 | $ 8,970,000 | ||
Other Residential Mortgage Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 3,151,209 | 3,169,173 | |||
Auto loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 842,359 | 847,958 | |||
Finance Leases [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 237,793 | 233,335 | |||
Other Consumer Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 1,469,363 | 1,483,293 | |||
Residential Real Estate [Member] | Fhava Guaranteed Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 121,389 | [1] | 126,858 | [2] | |
Residential Real Estate [Member] | Other Residential Mortgage Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 3,151,209 | 3,169,173 | |||
Residential Real Estate [Member] | Performing Financing Receivable [Member] | Fhava Guaranteed Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 121,389 | [1] | 126,858 | [2] | |
Residential Real Estate [Member] | Performing Financing Receivable [Member] | Other Residential Mortgage Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 2,837,376 | 2,845,630 | |||
Residential Real Estate [Member] | Purchased Credit Impaired [Member] | Fhava Guaranteed Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 0 | [1],[3] | 0 | [2],[4] | |
Residential Real Estate [Member] | Purchased Credit Impaired [Member] | Other Residential Mortgage Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 158,940 | [3] | 162,676 | [4] | |
Residential Real Estate [Member] | Nonperforming Financing Receivable [Member] | Fhava Guaranteed Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 0 | [1] | 0 | [2] | |
Residential Real Estate [Member] | Nonperforming Financing Receivable [Member] | Other Residential Mortgage Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 154,893 | 160,867 | |||
Consumer [Member] | Auto loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 842,359 | 847,958 | |||
Consumer [Member] | Finance Leases [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 237,793 | 233,335 | |||
Consumer [Member] | Other Consumer Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 627,004 | 635,335 | |||
Consumer [Member] | Performing Financing Receivable [Member] | Auto loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 829,366 | 833,612 | |||
Consumer [Member] | Performing Financing Receivable [Member] | Finance Leases [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 236,889 | 232,000 | |||
Consumer [Member] | Performing Financing Receivable [Member] | Other Consumer Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 619,576 | 626,936 | |||
Consumer [Member] | Purchased Credit Impaired [Member] | Auto loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 0 | [3] | 0 | [4] | |
Consumer [Member] | Purchased Credit Impaired [Member] | Finance Leases [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 0 | [3] | 0 | [4] | |
Consumer [Member] | Purchased Credit Impaired [Member] | Other Consumer Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 0 | [3] | 0 | [4] | |
Consumer [Member] | Nonperforming Financing Receivable [Member] | Auto loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 12,993 | 14,346 | |||
Consumer [Member] | Nonperforming Financing Receivable [Member] | Finance Leases [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | 904 | 1,335 | |||
Consumer [Member] | Nonperforming Financing Receivable [Member] | Other Consumer Loans [Member] | |||||
Financing Receivable Recorded Investment [Line Items] | |||||
Loans And Leases Receivable Gross Carrying Amount | $ 7,428 | $ 8,399 | |||
[1] | It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. This balance includes $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA, which are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. | ||||
[2] | It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. This balance includes $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA, which are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. | ||||
[3] | PCI loans are excluded from non-performing statistics due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. | ||||
[4] | PCI loans are excluded from non-performing statistics due to the application of the accretion method, under which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. |
LOAN PORTFOLIO - Credit Risk 78
LOAN PORTFOLIO - Credit Risk Payment Activity (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Financing Receivable Recorded Investment [Line Items] | ||
Residential mortgage loans insured by FHA or guaranteed by the VA | $ 31,000 | $ 29,300 |
Period of residential mortgage loan that are no longer accruing interest | 1 year 3 months | 1 year 3 months |
Loans considered to be defaulted if borrower has failed to make payment for a period or more than the period | 2 months 29 days | 2 months 29 days |
Loans held for sale | $ 45,906 | $ 50,006 |
LOAN PORTFOLIO - Impaired loans
LOAN PORTFOLIO - Impaired loans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | $ 101,621 | $ 161,617 | ||
Unpaid Principal Balance with no Related Allowance | 130,940 | 207,262 | ||
Average Recorded Investment No Related Allowance | 103,351 | 175,499 | ||
Interest Income with no Related Allowance Accrual Basis | 467 | |||
Interest Income with No Related Allowance Cash Basis | 240 | |||
Recorded Investment with Related Allowance | 705,577 | 726,288 | ||
Unpaid Principal Balance with Related Allowance | 809,899 | 821,683 | ||
Related Allowance | 66,311 | $ 81,495 | 64,421 | $ 52,581 |
Average Recorded Investment With Related Allowance | 711,560 | 748,842 | ||
Interest Income with Related Allowance Accrual Basis | 5,933 | |||
Interest Income with Realted Allowance Cash Basis | 261 | |||
Recorded Investment | 807,198 | 917,591 | 887,905 | $ 806,509 |
Unpaid Principal Balance | 940,839 | 1,028,945 | ||
Average Recorded Investments | 814,911 | 924,341 | ||
Interest Income on Impaired Loans Accrual Basis | 6,400 | 6,600 | ||
Interest Income on Impaired Loans Cash Basis | 501 | 800 | ||
Fhava Guaranteed Loans [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 0 | 0 | ||
Unpaid Principal Balance with no Related Allowance | 0 | 0 | ||
Average Recorded Investment No Related Allowance | 0 | 0 | ||
Interest Income with no Related Allowance Accrual Basis | 0 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 0 | 0 | ||
Unpaid Principal Balance with Related Allowance | 0 | 0 | ||
Related Allowance | 0 | 0 | ||
Average Recorded Investment With Related Allowance | 0 | 0 | ||
Interest Income with Related Allowance Accrual Basis | 0 | |||
Interest Income with Realted Allowance Cash Basis | 0 | |||
Recorded Investment | 0 | 0 | ||
Unpaid Principal Balance | 0 | 0 | ||
Average Recorded Investments | 0 | 0 | ||
Interest Income on Impaired Loans Accrual Basis | 0 | |||
Interest Income on Impaired Loans Cash Basis | 0 | |||
Other Residential Mortgage Loans [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 57,930 | 67,996 | ||
Unpaid Principal Balance with no Related Allowance | 71,190 | 82,602 | ||
Average Recorded Investment No Related Allowance | 58,720 | 71,003 | ||
Interest Income with no Related Allowance Accrual Basis | 194 | |||
Interest Income with No Related Allowance Cash Basis | 131 | |||
Recorded Investment with Related Allowance | 374,868 | 374,271 | ||
Unpaid Principal Balance with Related Allowance | 424,211 | 423,648 | ||
Related Allowance | 8,551 | 8,633 | ||
Average Recorded Investment With Related Allowance | 376,085 | 380,273 | ||
Interest Income with Related Allowance Accrual Basis | 4,521 | |||
Interest Income with Realted Allowance Cash Basis | 197 | |||
Recorded Investment | 432,798 | 442,267 | ||
Unpaid Principal Balance | 495,401 | 506,250 | ||
Average Recorded Investments | 434,805 | 451,276 | ||
Interest Income on Impaired Loans Accrual Basis | 4,715 | |||
Interest Income on Impaired Loans Cash Basis | 328 | |||
Commercial Mortgage Loans [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 25,369 | 72,620 | ||
Unpaid Principal Balance with no Related Allowance | 29,536 | 91,685 | ||
Average Recorded Investment No Related Allowance | 25,487 | 80,713 | ||
Interest Income with no Related Allowance Accrual Basis | 220 | |||
Interest Income with No Related Allowance Cash Basis | 87 | |||
Recorded Investment with Related Allowance | 167,666 | 121,771 | ||
Unpaid Principal Balance with Related Allowance | 196,310 | 133,883 | ||
Related Allowance | 36,638 | 26,172 | ||
Average Recorded Investment With Related Allowance | 168,760 | 122,609 | ||
Interest Income with Related Allowance Accrual Basis | 220 | |||
Interest Income with Realted Allowance Cash Basis | 21 | |||
Recorded Investment | 193,035 | 194,391 | ||
Unpaid Principal Balance | 225,846 | 225,568 | ||
Average Recorded Investments | 194,247 | 203,322 | ||
Interest Income on Impaired Loans Accrual Basis | 440 | |||
Interest Income on Impaired Loans Cash Basis | 108 | |||
Commercial And Industrial Loan [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 13,235 | 14,656 | ||
Unpaid Principal Balance with no Related Allowance | 23,332 | 24,642 | ||
Average Recorded Investment No Related Allowance | 13,946 | 17,209 | ||
Interest Income with no Related Allowance Accrual Basis | 30 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 72,824 | 138,887 | ||
Unpaid Principal Balance with Related Allowance | 91,269 | 165,399 | ||
Related Allowance | 12,711 | 22,638 | ||
Average Recorded Investment With Related Allowance | 75,079 | 149,153 | ||
Interest Income with Related Allowance Accrual Basis | 212 | |||
Interest Income with Realted Allowance Cash Basis | 19 | |||
Recorded Investment | 86,059 | 153,543 | ||
Unpaid Principal Balance | 114,601 | 190,041 | ||
Average Recorded Investments | 89,025 | 166,362 | ||
Interest Income on Impaired Loans Accrual Basis | 242 | |||
Interest Income on Impaired Loans Cash Basis | 19 | |||
Construction Loans [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Related Allowance | 2,835 | 1,202 | ||
Recorded Investment | 51,801 | $ 52,938 | ||
Consumer Auto Loans [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 1,339 | 599 | ||
Unpaid Principal Balance with no Related Allowance | 1,339 | 599 | ||
Average Recorded Investment No Related Allowance | 1,349 | 615 | ||
Interest Income with no Related Allowance Accrual Basis | 9 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 23,587 | 24,276 | ||
Unpaid Principal Balance with Related Allowance | 23,587 | 24,276 | ||
Related Allowance | 3,842 | 3,717 | ||
Average Recorded Investment With Related Allowance | 24,294 | 26,562 | ||
Interest Income with Related Allowance Accrual Basis | 461 | |||
Interest Income with Realted Allowance Cash Basis | 0 | |||
Recorded Investment | 24,926 | 24,875 | ||
Unpaid Principal Balance | 24,926 | 24,875 | ||
Average Recorded Investments | 25,643 | 27,177 | ||
Interest Income on Impaired Loans Accrual Basis | 470 | |||
Interest Income on Impaired Loans Cash Basis | 0 | |||
Finance Leases [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 67 | 94 | ||
Unpaid Principal Balance with no Related Allowance | 67 | 94 | ||
Average Recorded Investment No Related Allowance | 68 | 95 | ||
Interest Income with no Related Allowance Accrual Basis | 0 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 2,444 | 2,553 | ||
Unpaid Principal Balance with Related Allowance | 2,444 | 2,553 | ||
Related Allowance | 68 | 71 | ||
Average Recorded Investment With Related Allowance | 2,559 | 2,751 | ||
Interest Income with Related Allowance Accrual Basis | 54 | |||
Interest Income with Realted Allowance Cash Basis | 0 | |||
Recorded Investment | 2,511 | 2,647 | ||
Unpaid Principal Balance | 2,511 | 2,647 | ||
Average Recorded Investments | 2,627 | 2,846 | ||
Interest Income on Impaired Loans Accrual Basis | 54 | |||
Interest Income on Impaired Loans Cash Basis | 0 | |||
Other Consumer Loans [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 3,681 | 4,516 | ||
Unpaid Principal Balance with no Related Allowance | 5,476 | 5,876 | ||
Average Recorded Investment No Related Allowance | 3,781 | 4,696 | ||
Interest Income with no Related Allowance Accrual Basis | 14 | |||
Interest Income with No Related Allowance Cash Basis | 22 | |||
Recorded Investment with Related Allowance | 12,387 | 12,375 | ||
Unpaid Principal Balance with Related Allowance | 12,746 | 12,734 | ||
Related Allowance | 1,666 | 1,785 | ||
Average Recorded Investment With Related Allowance | 12,737 | 13,322 | ||
Interest Income with Related Allowance Accrual Basis | 349 | |||
Interest Income with Realted Allowance Cash Basis | 12 | |||
Recorded Investment | 16,068 | 16,891 | ||
Unpaid Principal Balance | 18,222 | 18,610 | ||
Average Recorded Investments | 16,518 | 18,018 | ||
Interest Income on Impaired Loans Accrual Basis | 363 | |||
Interest Income on Impaired Loans Cash Basis | 34 | |||
Commercial Construction [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 0 | 0 | ||
Unpaid Principal Balance with no Related Allowance | 0 | 0 | ||
Average Recorded Investment No Related Allowance | 0 | 0 | ||
Interest Income with no Related Allowance Accrual Basis | 0 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 36,472 | 36,893 | ||
Unpaid Principal Balance with Related Allowance | 38,721 | 38,721 | ||
Related Allowance | 1,932 | 324 | ||
Average Recorded Investment With Related Allowance | 36,683 | 38,191 | ||
Interest Income with Related Allowance Accrual Basis | 0 | |||
Interest Income with Realted Allowance Cash Basis | 0 | |||
Recorded Investment | 36,472 | 36,893 | ||
Unpaid Principal Balance | 38,721 | 38,721 | ||
Average Recorded Investments | 36,683 | 38,191 | ||
Interest Income on Impaired Loans Accrual Basis | 0 | |||
Interest Income on Impaired Loans Cash Basis | 0 | |||
Residential Construction [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 0 | 956 | ||
Unpaid Principal Balance with no Related Allowance | 0 | 1,531 | ||
Average Recorded Investment No Related Allowance | 0 | 956 | ||
Interest Income with no Related Allowance Accrual Basis | 0 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 392 | 392 | ||
Unpaid Principal Balance with Related Allowance | 551 | 551 | ||
Related Allowance | 116 | 134 | ||
Average Recorded Investment With Related Allowance | 392 | 392 | ||
Interest Income with Related Allowance Accrual Basis | 0 | |||
Interest Income with Realted Allowance Cash Basis | 0 | |||
Recorded Investment | 392 | 1,348 | ||
Unpaid Principal Balance | 551 | 2,082 | ||
Average Recorded Investments | 392 | 1,348 | ||
Interest Income on Impaired Loans Accrual Basis | 0 | |||
Interest Income on Impaired Loans Cash Basis | 0 | |||
Land Construction [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Recorded Investment with no Related Allowance | 0 | 180 | ||
Unpaid Principal Balance with no Related Allowance | 0 | 233 | ||
Average Recorded Investment No Related Allowance | 0 | 212 | ||
Interest Income with no Related Allowance Accrual Basis | 0 | |||
Interest Income with No Related Allowance Cash Basis | 0 | |||
Recorded Investment with Related Allowance | 14,937 | 14,870 | ||
Unpaid Principal Balance with Related Allowance | 20,060 | 19,918 | ||
Related Allowance | 787 | 947 | ||
Average Recorded Investment With Related Allowance | 14,971 | 15,589 | ||
Interest Income with Related Allowance Accrual Basis | 116 | |||
Interest Income with Realted Allowance Cash Basis | 12 | |||
Recorded Investment | 14,937 | 15,050 | ||
Unpaid Principal Balance | 20,060 | 20,151 | ||
Average Recorded Investments | 14,971 | $ 15,801 | ||
Interest Income on Impaired Loans Accrual Basis | 116 | |||
Interest Income on Impaired Loans Cash Basis | $ 12 |
LOAN PORTFOLIO - Additional Inf
LOAN PORTFOLIO - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2017 | Mar. 31, 2016 | Apr. 01, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | |||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Interest Income Impaired Loans | $ 7,400 | |||||||
Interest Income on Impaired Loans Accrual Basis | $ 6,400 | 6,600 | ||||||
Contractually outstanding principal and interest at acquisition | 203,700 | $ 207,300 | ||||||
Financing Receivable Significant Purchases | 14,800 | |||||||
Securitization of mortgage loans into mortgage backed securities | 60,500 | |||||||
Total gross loans held for investment portfolio | 8,822,349 | 8,970,000 | 8,886,873 | |||||
Total TDR loans | 602,364 | 659,104 | 647,048 | $ 661,591 | ||||
Outstanding unfunded commitments on TDR loans | 300 | |||||||
Provsion of PCI Loans | 0 | 606 | ||||||
Loans held for sale | 45,906 | 50,006 | ||||||
Proceeds From Sale Of Loans Held For Investment | 53,245 | 0 | ||||||
Government Guaranteed Residential Mortgage Loans Indirect Exposure | 118,600 | |||||||
Puerto Rico Housing Finance Authority Restricted Net Position | $ 77,400 | |||||||
Threshold Mortgage Loans Principal Amount Puerto Rico Housing Financing Authority | $ 75,000 | $ 552,000 | ||||||
Reserve Coverage Ratio | 23.00% | |||||||
Interest Paid | $ 22,001 | 23,148 | ||||||
Financing Receivable Allowance For Credit Losses Write Offs Impaired Loans | 17,404 | [1] | 8,352 | |||||
Impaired Financing Receivable Related Allowance | 66,311 | 81,495 | 64,421 | $ 52,581 | ||||
Mortgage Loans In Process Of Foreclosure Amount | $ 134,900 | |||||||
Mortgage Loans Foreclosure Delinquency Threshold | 3 months 28 days | |||||||
Provision For Loan Lease And Other Losses | $ 25,442 | 21,053 | ||||||
Puerto Rico Tourism Development Fund [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Outstanding of credit facilities granted | $ 127,600 | 127,700 | ||||||
Unpaid Principal Balance Percentage | 63.00% | |||||||
Provision For Loan Lease And Other Losses | $ 10,800 | |||||||
Puerto Rico Electric PowerAuthority [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Classified and non-performing loans sold | 64,000 | |||||||
Reserves allocated to bulk sale | 10,200 | |||||||
Incremental losses | 600 | |||||||
Allowance For Loan And Lease Losses Write Offs Net Loans Sold | 10,700 | |||||||
Financing Receivable Commercial Governments Book Value | 110,900 | 111,800 | ||||||
Proceeds From Interest Received | $ 2,700 | |||||||
Proceeds From Sale Of NonPerforming Assets Sold | 53,200 | |||||||
Classified And NonPerforming Loans Sold Outstanding Balance | 75,000 | |||||||
GNMA | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Loans repurchased | 10,700 | 8,400 | ||||||
FNMA and FHLMC | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Financing Receivable Significant Sales | 24,600 | |||||||
Loans repurchased | 6 | 500 | ||||||
Residential Mortgage [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total gross loans held for investment portfolio | 3,272,598 | 3,330,945 | ||||||
Impaired Financing Receivable Related Allowance | 8,551 | 16,150 | ||||||
Provision For Loan Lease And Other Losses | 9,271 | 5,938 | ||||||
Government Guaranteed Loans [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total TDR loans | 66,900 | 69,100 | ||||||
Loans in trial [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total TDR loans | 3,600 | |||||||
Non Accrual [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total TDR loans | 217,156 | [2] | 262,161 | [3] | ||||
Loans Split [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total TDR loans | 36,564 | 38,628 | ||||||
Financing receivable loans restructured recorded investment accruals | 3,200 | |||||||
Non Fha Va Residential Mortgage Loans [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total TDR loans | 368,747 | 375,809 | ||||||
Commercial And Industrial Loan [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Interest Income on Impaired Loans Accrual Basis | 242 | |||||||
Total TDR loans | 75,295 | 133,521 | ||||||
Impaired Financing Receivable Related Allowance | 12,711 | 22,638 | ||||||
Commercial Mortgage Loans [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Interest Income on Impaired Loans Accrual Basis | 440 | |||||||
Total TDR loans | 70,647 | 48,742 | ||||||
Impaired Financing Receivable Related Allowance | 36,638 | 26,172 | ||||||
Construction Loans [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total gross loans held for investment portfolio | 137,887 | 146,129 | ||||||
Total TDR loans | 46,100 | |||||||
Impaired Financing Receivable Related Allowance | 2,835 | 1,202 | ||||||
Provision For Loan Lease And Other Losses | 942 | (432) | ||||||
Consumer Loan [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Total gross loans held for investment portfolio | 1,707,156 | 1,786,361 | ||||||
Total TDR loans | 41,600 | |||||||
Impaired Financing Receivable Related Allowance | 5,576 | 9,387 | ||||||
Provision For Loan Lease And Other Losses | 7,496 | $ 8,676 | ||||||
Commercial Construction [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Interest Income on Impaired Loans Accrual Basis | 0 | |||||||
Total TDR loans | 36,472 | 36,893 | ||||||
Impaired Financing Receivable Related Allowance | 1,932 | 324 | ||||||
Residential Construction [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Interest Income on Impaired Loans Accrual Basis | 0 | |||||||
Total TDR loans | 357 | 357 | ||||||
Impaired Financing Receivable Related Allowance | 116 | 134 | ||||||
Land Construction [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Interest Income on Impaired Loans Accrual Basis | 116 | |||||||
Total TDR loans | 9,287 | 9,362 | ||||||
Impaired Financing Receivable Related Allowance | $ 787 | 947 | ||||||
P R | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Credit risk concentration | 77.00% | |||||||
Outstanding of credit facilities granted | $ 57,800 | 133,600 | ||||||
P R | Puerto Rico Government and Political Subdivisions [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Outstanding of credit facilities granted | 34,800 | |||||||
P R | Public Corporations [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Outstanding of credit facilities granted | 16,200 | |||||||
P R | Government [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Outstanding of credit facilities granted | $ 6,800 | |||||||
V I | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Credit risk concentration | 7.00% | |||||||
Outstanding of credit facilities granted | $ 84,600 | 84,700 | ||||||
U S | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Credit risk concentration | 16.00% | |||||||
Credit Impaired Loans [Member] | Residential Mortgage [Member] | ||||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||||
Financing Receivable Recorded Investment 30 To 59 Days Past Due Mortgage | $ 18,200 | $ 22,300 | ||||||
[1] | (1) For the first quarter of 2017, includes a charge-off of $10.7 million related to the sale of the PREPA credit line as further discussed below. | |||||||
[2] | Included in non-accrual loans are $80.9 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. | |||||||
[3] | Included in non-accrual loans are $110.6 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. |
LOAN PORTFOLIO - Activity for I
LOAN PORTFOLIO - Activity for Impaired Loans (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Impaired Loans: | |||
Balance at beginning of period | $ 887,905 | $ 806,509 | |
Loans determined impaired during the period | 19,628 | 157,984 | |
Charge-offs | (17,404) | [1] | (8,352) |
Loans sold, net charge-offs | (53,245) | 0 | |
Increases to impaired loans (disbursements) | 541 | 1,347 | |
Foreclosures | (9,457) | (7,421) | |
Loans no longer considered impaired | (892) | (20,339) | |
Paid in full or partial payments | (19,878) | (12,137) | |
Balance at end of period | $ 807,198 | $ 917,591 | |
[1] | (1) For the first quarter of 2017, includes a charge-off of $10.7 million related to the sale of the PREPA credit line as further discussed below. |
LOAN PORTFOLIO - Activity for S
LOAN PORTFOLIO - Activity for Specific Reserve (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Specific Reserve: | ||
Balance at beginning of period | $ 64,421 | $ 52,581 |
Provision for loan losses | 18,862 | 37,266 |
Financing Receivable Allowance For Credit Losses Net Write Offs Impaired Loans | (16,972) | (8,352) |
Balance at end of period | $ 66,311 | $ 81,495 |
LOAN PORTFOLIO- Carrying Value
LOAN PORTFOLIO- Carrying Value of Purchased Credit Impaired Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | ||
Financing Receivable Impaired [Line Items] | ||||||
Purchased Credit Impaired Loans | $ 163,100 | $ 165,818 | $ 172,332 | $ 173,913 | ||
Allowance for loan losses Purchased Credit Impaired | (6,857) | (6,857) | (4,568) | $ (3,962) | ||
Purchased Credit Impaired Loans, Net | 156,243 | 158,961 | $ 167,764 | |||
Residential Mortgage Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Purchased Credit Impaired Loans | 158,940 | [1] | 162,676 | [2] | ||
Commercial Mortgage Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Purchased Credit Impaired Loans | $ 4,160 | [1] | $ 3,142 | [2] | ||
[1] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA and other government-guaranteed loans, other residential mortgage loans, commercial mortgage loans, and land loans past due 30-59 days as of March 31, 2017 amounted to $8.0 million, $124.3 million, $20.4 million and $0.2 million, respectively. | |||||
[2] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA government guaranteed loans, other residential mortgage loans, commercial mortgage loans, land loans and construction-residential loans past due 30-59 days as of December 31, 2016 amounted to $9.9 million, $142.8 million, $4.6 million, $0.7 million and $0.4 million, respectively. |
LOAN PORTFOLIO- Corporation's A
LOAN PORTFOLIO- Corporation's Aging of Purchased Credit Impaired Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | ||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | $ 788,951 | $ 881,954 | |||
Financing Receivable, Current | 7,870,298 | 7,839,101 | |||
Loans held for investment | 8,822,349 | 8,886,873 | $ 8,970,000 | ||
90 days past due and still accruing | 115,875 | [1] | 106,809 | [2] | |
Financing Receivables 60 To 89 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 119,400 | 128,325 | |||
Financing Receivables 30 To 59 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 76,110 | 86,726 | |||
Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 593,441 | [3] | 666,903 | [4] | |
Purchased Credit Impaired Loans [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 39,526 | 41,246 | |||
Financing Receivable, Current | 123,574 | 124,572 | |||
Loans held for investment | 163,100 | 165,818 | |||
Purchased Credit Impaired Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 12,314 | 12,247 | |||
Purchased Credit Impaired Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 0 | 0 | |||
Purchased Credit Impaired Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 27,212 | 28,999 | |||
Residential Mortgage [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Loans held for investment | 3,272,598 | 3,296,031 | |||
30-59 Days past due Mortgages | 124,300 | 142,800 | |||
Residential Mortgage [Member] | Purchased Credit Impaired Loans [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 38,420 | [5] | 39,741 | [6] | |
Financing Receivable, Current | 120,520 | [5] | 122,935 | [6] | |
Loans held for investment | 158,940 | [5] | 162,676 | [6] | |
Residential Mortgage [Member] | Purchased Credit Impaired Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 12,314 | [5] | 11,892 | [6] | |
Residential Mortgage [Member] | Purchased Credit Impaired Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 0 | [5] | 0 | [6] | |
Residential Mortgage [Member] | Purchased Credit Impaired Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 26,106 | [5] | 27,849 | [6] | |
Commercial Mortgage Loans [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 187,965 | [7] | 186,511 | [8] | |
Financing Receivable, Current | 1,404,051 | [7] | 1,379,155 | [8] | |
Loans held for investment | 1,596,176 | [7] | 1,568,808 | [8] | |
90 days past due and still accruing | 4,142 | [1],[7] | 3,281 | [2],[8] | |
30-59 Days past due Mortgages | 20,400 | 4,600 | |||
Commercial Mortgage Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 8,915 | [7] | 4,534 | [8] | |
Commercial Mortgage Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 0 | [7] | 0 | [8] | |
Commercial Mortgage Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 179,050 | [3],[7] | 181,977 | [4],[8] | |
Commercial Mortgage Loans [Member] | Purchased Credit Impaired Loans [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 1,106 | [5] | 1,505 | [6] | |
Financing Receivable, Current | 3,054 | [5] | 1,637 | [6] | |
Loans held for investment | 4,160 | [5] | 3,142 | [6] | |
30-59 Days past due Mortgages | 1,600 | 100 | |||
Commercial Mortgage Loans [Member] | Purchased Credit Impaired Loans [Member] | Financing Receivables 60 To 89 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 0 | [5] | 355 | [6] | |
Commercial Mortgage Loans [Member] | Purchased Credit Impaired Loans [Member] | Financing Receivables 30 To 59 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | 0 | [5] | 0 | [6] | |
Commercial Mortgage Loans [Member] | Purchased Credit Impaired Loans [Member] | Financing Receivables Equal To Greater Than 90 Days Past Due [Member] | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total Past Due | $ 1,106 | [5] | $ 1,150 | [6] | |
[1] | It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $31.0 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of March 31, 2017. | ||||
[2] | It is the Corporation's policy to report delinquent residential mortgage loans insured by the FHA or guaranteed by the VA as past-due loans 90 days and still accruing as opposed to non-performing loans since the principal repayment is insured. These balances include $29.3 million of residential mortgage loans insured by the FHA or guaranteed by the VA that are over 15 months delinquent, and are no longer accruing interest as of December 31, 2016. | ||||
[3] | Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e., FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. | ||||
[4] | Includes non-performing loans and accruing loans that are contractually delinquent 90 days or more (i.e. FHA/VA guaranteed loans and credit cards). Credit card loans continue to accrue finance charges and fees until charged-off at 180 days. | ||||
[5] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage and commercial mortgage loans are considered past due when the borrower is in arrears two or more monthly payments. PCI residential mortgage loans and commercial mortgage loans past due 30-59 days as of March 31, 2017 amounted to $18.2 million and $1.6 million, respectively. | ||||
[6] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage and commercial mortgage loans are considered past due when the borrower is in arrears two or more monthly payments. PCI residential mortgage loans and commercial mortgage loans past due 30-59 days as of December 31, 2016 amounted to $22.3 million and $0.1 million, respectively. | ||||
[7] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA and other government-guaranteed loans, other residential mortgage loans, commercial mortgage loans, and land loans past due 30-59 days as of March 31, 2017 amounted to $8.0 million, $124.3 million, $20.4 million and $0.2 million, respectively. | ||||
[8] | According to the Corporation's delinquency policy and consistent with the instructions for the preparation of the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) required by the Federal Reserve Board, residential mortgage, commercial mortgage, and construction loans are considered past due when the borrower is in arrears two or more monthly payments. FHA/VA government guaranteed loans, other residential mortgage loans, commercial mortgage loans, land loans and construction-residential loans past due 30-59 days as of December 31, 2016 amounted to $9.9 million, $142.8 million, $4.6 million, $0.7 million and $0.4 million, respectively. |
LOAN PORTFOLIO - Accretable Yie
LOAN PORTFOLIO - Accretable Yield Related to Purchased Credit Impaired Loans (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Accretable Yield [Line Items] | ||
Accretable yield at acquisition | $ 116,462 | $ 118,385 |
Reclassification to nonaccretable | 0 | (1,398) |
Accretion recognized in earnings | (2,797) | (2,889) |
Accretable yield at the end of the period | $ 113,665 | $ 114,098 |
LOAN PORTFOLIO -Changes in Carr
LOAN PORTFOLIO -Changes in Carrying Amount Of Purchased Credit Impaired Loans (Detail) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Financing Receivable Impaired [Line Items] | ||||
Beggining balance: purchased credit-impaired loans | $ 165,818 | $ 173,913 | ||
Accretion | 2,797 | 2,889 | ||
Purchased Credit Impaired Loans Foreclosures | 922 | 99 | ||
Sop Collections | (4,593) | (4,371) | ||
Ending balance: purchased credit-impaired loans | 163,100 | 172,332 | ||
Allowance for loan losses Purchased Credit Impaired | (6,857) | (4,568) | $ (6,857) | $ (3,962) |
Ending balance: purchased credit-impaired loans, net | $ 156,243 | $ 167,764 |
LOAN PORTFOLIO -Changes in the
LOAN PORTFOLIO -Changes in the allowance for loan losses related to purchased credit impaired doans (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities [Abstract] | ||
Allowance for loan losses Purchased Credit Impaired | $ 6,857 | $ 3,962 |
Provsion of PCI Loans | 0 | 606 |
Allowance for loan losses Purchased Credit Impaired | $ 6,857 | $ 4,568 |
LOAN PORTFOLIO - Selected Infor
LOAN PORTFOLIO - Selected Information on TDRs Includes Recorded Investment by Loan Class and Modification Type (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | ||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | $ 602,364 | $ 647,048 | $ 659,104 | $ 661,591 | ||
Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 36,983 | 37,645 | ||||
Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 26,018 | 88,535 | ||||
Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 377,842 | 355,812 | ||||
Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 37,628 | 38,055 | ||||
Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 123,893 | [1] | 127,001 | [2] | ||
Non Fha Va Residential Mortgage Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 368,747 | 375,809 | ||||
Non Fha Va Residential Mortgage Loans [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 27,987 | 29,254 | ||||
Non Fha Va Residential Mortgage Loans [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 8,261 | 8,373 | ||||
Non Fha Va Residential Mortgage Loans [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 274,502 | 280,588 | ||||
Non Fha Va Residential Mortgage Loans [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Non Fha Va Residential Mortgage Loans [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 57,997 | [1] | 57,594 | [2] | ||
Commercial Mortgage Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 70,647 | 48,742 | ||||
Commercial Mortgage Loans [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 6,675 | 6,044 | ||||
Commercial Mortgage Loans [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 1,979 | 2,007 | ||||
Commercial Mortgage Loans [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 51,346 | 30,005 | ||||
Commercial Mortgage Loans [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Commercial Mortgage Loans [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 10,647 | [1] | 10,686 | [2] | ||
Commercial And Industrial Loan [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 75,295 | 133,521 | ||||
Commercial And Industrial Loan [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,071 | 2,111 | ||||
Commercial And Industrial Loan [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 4,497 | 66,830 | ||||
Commercial And Industrial Loan [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 23,562 | 16,359 | ||||
Commercial And Industrial Loan [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 863 | 863 | ||||
Commercial And Industrial Loan [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 44,302 | [1] | 47,358 | [2] | ||
Construction Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 46,100 | |||||
Consumer Auto Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 24,926 | 24,875 | ||||
Consumer Auto Loans [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Consumer Auto Loans [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 1,609 | 1,706 | ||||
Consumer Auto Loans [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 14,937 | 14,698 | ||||
Consumer Auto Loans [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Consumer Auto Loans [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 8,380 | [1] | 8,471 | [2] | ||
Finance Leases [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,510 | 2,647 | ||||
Finance Leases [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Finance Leases [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 323 | 366 | ||||
Finance Leases [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,187 | 2,281 | ||||
Finance Leases [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Finance Leases [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | [1] | 0 | [2] | ||
Other Consumer Loans [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 14,123 | 14,842 | ||||
Other Consumer Loans [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 250 | 236 | ||||
Other Consumer Loans [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,652 | 2,518 | ||||
Other Consumer Loans [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 9,070 | 9,662 | ||||
Other Consumer Loans [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 293 | 299 | ||||
Other Consumer Loans [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 1,858 | [1] | 2,127 | [2] | ||
Commercial Construction [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 36,472 | 36,893 | ||||
Commercial Construction [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Commercial Construction [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Commercial Construction [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Commercial Construction [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 36,472 | 36,893 | ||||
Commercial Construction [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | [1] | 0 | [2] | ||
Residential Construction [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 357 | 357 | ||||
Residential Construction [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Residential Construction [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Residential Construction [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Residential Construction [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Residential Construction [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 357 | [1] | 357 | [2] | ||
Land Construction [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 9,287 | 9,362 | ||||
Land Construction [Member] | Interest Rate Below Market [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Land Construction [Member] | Maturity of Term Extension [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 6,697 | 6,735 | ||||
Land Construction [Member] | Combination of reduction in interest rate and extension of maturity [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,238 | 2,219 | ||||
Land Construction [Member] | Forgiveness of principal and/or interest [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Land Construction [Member] | Other [Member] | ||||||
Financing Receivable Impaired [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | $ 352 | [1] | $ 408 | [2] | ||
[1] | Other concessions granted by the Corporation include deferral of principal and/or interest payments for a period longer than what would be considered insignificant, payment plans under judicial stipulation, or a combination of the concessions listed in the table. | |||||
[2] | Other concessions granted by the Corporation include deferral of principal and/or interest payments for a period longer than what would be considered insignificant, payment plans under judicial stipulation, or a combination of the concessions listed in the table. |
LOAN PORTFOLIO - Corporation'89
LOAN PORTFOLIO - Corporation's TDR Activity (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Schedule Of Financing Receivables [Line Items] | |||
Beginning Balance of TDRs | $ 647,048 | $ 661,591 | |
New TDRs | 40,899 | 16,219 | |
Increases to existing TDRs (disbursements) | 424 | 701 | |
Charge-offs post modification | (14,662) | [1] | (5,822) |
Sales | 53,245 | 0 | |
Foreclosures | (4,371) | (2,821) | |
Paid-off and partial payments | (13,729) | (10,764) | |
Ending balance of TDRs | $ 602,364 | $ 659,104 | |
[1] | For the first quarter of 2017, includes a charge off of $10.7 million related to the sale of the PREPA credit line. |
LOAN PORTFOLIO - Breakdown Betw
LOAN PORTFOLIO - Breakdown Between Accrual and Nonaccrual Status of TDRs (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | ||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | $ 602,364 | $ 647,048 | $ 659,104 | $ 661,591 | ||
Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 217,156 | [1] | 262,161 | [2] | ||
Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 385,208 | 384,887 | ||||
Non Fha Va Residential Mortgage Loans [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 375,809 | |||||
Non Fha Va Residential Mortgage Loans [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 74,548 | [1] | 80,153 | [2] | ||
Non Fha Va Residential Mortgage Loans [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 294,199 | 295,656 | ||||
Commercial Mortgage Loans [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 48,742 | |||||
Commercial Mortgage Loans [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 37,415 | [1] | 16,402 | [2] | ||
Commercial Mortgage Loans [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 33,232 | 32,340 | ||||
Commercial And Industrial Loan [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 133,521 | |||||
Commercial And Industrial Loan [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 55,566 | [1] | 115,025 | [2] | ||
Commercial And Industrial Loan [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 19,729 | 18,496 | ||||
Consumer Auto Loans [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 24,875 | |||||
Consumer Auto Loans [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 8,578 | [1] | 8,622 | [2] | ||
Consumer Auto Loans [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 16,348 | 16,253 | ||||
Finance Leases [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,647 | |||||
Finance Leases [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 64 | [1] | 105 | [2] | ||
Finance Leases [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,446 | 2,542 | ||||
Other Consumer Loans [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 14,842 | |||||
Other Consumer Loans [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 2,562 | [1] | 2,974 | [2] | ||
Other Consumer Loans [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 11,561 | 11,868 | ||||
Commercial Construction [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 36,893 | |||||
Commercial Construction [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 36,472 | [1] | 36,893 | [2] | ||
Commercial Construction [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Residential Construction [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 357 | |||||
Residential Construction [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 357 | [1] | 357 | [2] | ||
Residential Construction [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 0 | 0 | ||||
Land Construction [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 9,362 | |||||
Land Construction [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | 1,594 | [1] | 1,630 | [2] | ||
Land Construction [Member] | Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Financing Receivable, Modifications, Recorded Investment | $ 7,693 | $ 7,732 | ||||
[1] | Included in non-accrual loans are $80.9 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. | |||||
[2] | Included in non-accrual loans are $110.6 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. |
LOAN PORTFOLIO - Breakdown Be91
LOAN PORTFOLIO - Breakdown Between Accrual and Nonaccrual Status of TDRs (Parenthetical) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | ||
Financing Receivable Modifications [Line Items] | ||||||
Total TDR loans | $ 602,364 | $ 647,048 | $ 659,104 | $ 661,591 | ||
Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Total TDR loans | 217,156 | [1] | 262,161 | [2] | ||
Performing Financing Receivable [Member] | Non Accrual [Member] | ||||||
Financing Receivable Modifications [Line Items] | ||||||
Total TDR loans | $ 80,900 | $ 110,600 | ||||
[1] | Included in non-accrual loans are $80.9 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. | |||||
[2] | Included in non-accrual loans are $110.6 million in loans that are performing under the terms of the restructuring agreement but are reported in nonaccrual status until the restructured loans meet the criteria of sustained payment performance under the revised terms for reinstatement to accrual status and are deemed fully collectible. |
LOAN PORTFOLIO - Loan Modificat
LOAN PORTFOLIO - Loan Modifications are Considered TDRs (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)numberofcontracts | Dec. 31, 2016USD ($)numberofcontracts | |
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 420 | 688 |
Pre-Modification Outstanding Recorded Investment | $ 41,263 | $ 16,754 |
Post-Modification Outstanding Recorded Investment | $ 40,899 | $ 16,219 |
Non Fha Va Residential Mortgage Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 40 | 58 |
Pre-Modification Outstanding Recorded Investment | $ 4,650 | $ 9,012 |
Post-Modification Outstanding Recorded Investment | $ 4,508 | $ 8,459 |
Commercial Mortgage Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 6 | |
Pre-Modification Outstanding Recorded Investment | $ 22,438 | |
Post-Modification Outstanding Recorded Investment | $ 22,198 | |
Commercial And Industrial Loan [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 3 | |
Pre-Modification Outstanding Recorded Investment | $ 10,748 | |
Post-Modification Outstanding Recorded Investment | $ 10,748 | |
Consumer Auto Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 152 | 258 |
Pre-Modification Outstanding Recorded Investment | $ 2,247 | $ 4,981 |
Post-Modification Outstanding Recorded Investment | $ 2,247 | $ 4,981 |
Finance Leases [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 8 | 36 |
Pre-Modification Outstanding Recorded Investment | $ 186 | $ 940 |
Post-Modification Outstanding Recorded Investment | $ 186 | $ 940 |
Other Consumer Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 210 | 336 |
Pre-Modification Outstanding Recorded Investment | $ 969 | $ 1,821 |
Post-Modification Outstanding Recorded Investment | $ 984 | $ 1,839 |
Land Construction [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 25 | |
Post-Modification Outstanding Recorded Investment | $ 28 |
LOAN PORTFOLIO - Loan Modific93
LOAN PORTFOLIO - Loan Modifications Considered Troubled Debt Restructurings Defaulted (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)numberofcontracts | Dec. 31, 2016USD ($)numberofcontracts | |
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 25 | 54 |
Recorded Investment | $ | $ 456 | $ 2,257 |
Non Fha Va Residential Mortgage Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 3 | 11 |
Recorded Investment | $ | $ 277 | $ 1,978 |
Commercial Mortgage Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 1 | 0 |
Recorded Investment | $ | $ 57 | $ 0 |
Consumer Auto Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 4 | 9 |
Recorded Investment | $ | $ 61 | $ 136 |
Other Consumer Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 17 | 33 |
Recorded Investment | $ | $ 61 | $ 130 |
Finance Leases [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | numberofcontracts | 0 | 1 |
Recorded Investment | $ | $ 0 | $ 13 |
LOAN PORTFOLIO - Loan Restructu
LOAN PORTFOLIO - Loan Restructuring and Effect on Allowance for Loan and Lease Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Financing Receivable, Modifications, Recorded Investment | $ 602,364 | $ 659,104 | $ 647,048 | $ 661,591 |
Charges to the provision for loan losses | 25,442 | $ 21,053 | ||
Allowance for loan losses at the end of the period | 203,231 | 205,603 | ||
Loans Split [Member] | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Financing Receivable, Modifications, Recorded Investment | 36,564 | 38,628 | ||
Amount charged-off | 0 | 0 | ||
Charges to the provision for loan losses | 915 | 1,978 | ||
Allowance for loan losses at the end of the period | 6,056 | 2,480 | ||
Accrual [Member] | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Financing Receivable, Modifications, Recorded Investment | $ 385,208 | $ 384,887 |
ALLOWANCE FOR LOAN AND LEASE 95
ALLOWANCE FOR LOAN AND LEASE LOSSES - Changes in Allowance for Loan and Lease Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | $ 205,603 | $ 240,710 | |||
Charge-offs | (32,894) | (26,535) | |||
Recoveries | 5,080 | 2,897 | |||
Provision For Loan Lease And Other Losses | 25,442 | 21,053 | |||
Ending balance | 203,231 | 238,125 | |||
Balance at end of period | 66,311 | 81,495 | |||
Allowance for loan losses Purchased Credit Impaired | 6,857 | 4,568 | |||
Ending balance: general allowance | 130,063 | 152,062 | |||
Ending balance | 8,822,349 | 8,970,000 | |||
Ending balance: impaired loans | 807,198 | 917,591 | $ 887,905 | $ 806,509 | |
Ending balance: purchased credit-impaired loans | 163,100 | 172,332 | |||
Ending balance: loans with general allowance | 7,852,051 | 7,880,077 | |||
Purchased Credit Impaired [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Allowance for loan losses Purchased Credit Impaired | 6,857 | [1] | 4,568 | ||
Ending balance: purchased credit-impaired loans | 163,100 | 172,332 | |||
Residential Mortgage [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 33,980 | 39,570 | |||
Charge-offs | (8,225) | (7,306) | |||
Recoveries | 749 | 346 | |||
Provision For Loan Lease And Other Losses | 9,271 | 5,938 | |||
Ending balance | 35,775 | 38,548 | |||
Balance at end of period | 8,551 | 16,150 | |||
Ending balance: general allowance | 20,679 | 17,975 | |||
Ending balance | 3,272,598 | 3,330,945 | |||
Ending balance: impaired loans | 432,798 | 461,606 | |||
Ending balance: loans with general allowance | 2,680,860 | 2,700,149 | |||
Residential Mortgage [Member] | Purchased Credit Impaired [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Allowance for loan losses Purchased Credit Impaired | 6,545 | [1] | 4,423 | ||
Ending balance: purchased credit-impaired loans | 158,940 | 169,190 | |||
Commercial Mortgage [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 57,261 | 68,211 | |||
Charge-offs | (1,362) | (575) | |||
Recoveries | 30 | 46 | |||
Provision For Loan Lease And Other Losses | 12,539 | 1,062 | |||
Ending balance | 68,468 | 68,744 | |||
Balance at end of period | 36,638 | 36,007 | |||
Ending balance: general allowance | 31,518 | 32,592 | |||
Ending balance | 1,596,176 | 1,524,491 | |||
Ending balance: impaired loans | 193,035 | 191,251 | |||
Ending balance: loans with general allowance | 1,398,981 | 1,330,098 | |||
Commercial Mortgage [Member] | Purchased Credit Impaired [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Allowance for loan losses Purchased Credit Impaired | 312 | [1] | 145 | ||
Ending balance: purchased credit-impaired loans | 4,160 | 3,142 | |||
Commercial And Industrial Loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 61,953 | 68,768 | |||
Charge-offs | (12,052) | (3,759) | |||
Recoveries | 875 | 280 | |||
Provision For Loan Lease And Other Losses | (4,806) | 5,809 | |||
Ending balance | 45,970 | 71,098 | |||
Balance at end of period | 12,711 | 18,749 | |||
Ending balance: general allowance | 33,259 | 52,349 | |||
Ending balance | 2,108,532 | 2,182,074 | |||
Ending balance: impaired loans | 86,059 | 168,160 | |||
Ending balance: loans with general allowance | 2,022,473 | 2,013,914 | |||
Commercial And Industrial Loans [Member] | Purchased Credit Impaired [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Allowance for loan losses Purchased Credit Impaired | 0 | [1] | 0 | ||
Ending balance: purchased credit-impaired loans | 0 | 0 | |||
Construction Loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 2,562 | 3,519 | |||
Charge-offs | (63) | (91) | |||
Recoveries | 445 | 17 | |||
Provision For Loan Lease And Other Losses | 942 | (432) | |||
Ending balance | 3,886 | 3,013 | |||
Balance at end of period | 2,835 | 1,202 | |||
Ending balance: general allowance | 1,051 | 1,811 | |||
Ending balance | 137,887 | 146,129 | |||
Ending balance: impaired loans | 51,801 | 52,938 | |||
Ending balance: loans with general allowance | 86,086 | 93,191 | |||
Construction Loans [Member] | Purchased Credit Impaired [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Allowance for loan losses Purchased Credit Impaired | 0 | [1] | 0 | ||
Ending balance: purchased credit-impaired loans | 0 | 0 | |||
Consumer Loan [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 49,847 | 60,642 | |||
Charge-offs | (11,192) | (14,804) | |||
Recoveries | 2,981 | 2,208 | |||
Provision For Loan Lease And Other Losses | 7,496 | 8,676 | |||
Ending balance | 49,132 | 56,722 | |||
Balance at end of period | 5,576 | 9,387 | |||
Ending balance: general allowance | 43,556 | 47,335 | |||
Ending balance | 1,707,156 | 1,786,361 | |||
Ending balance: impaired loans | 43,505 | 43,636 | |||
Ending balance: loans with general allowance | 1,663,651 | 1,742,725 | |||
Consumer Loan [Member] | Purchased Credit Impaired [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Allowance for loan losses Purchased Credit Impaired | 0 | [1] | 0 | ||
Ending balance: purchased credit-impaired loans | $ 0 | $ 0 | |||
[1] | Refer to Note 6 - Loans Held for Investment-PCI Loans for a detail of changes in the allowance for loan losses related to PCI loans. |
ALLOWANCE FOR LOAN AND LEASE 96
ALLOWANCE FOR LOAN AND LEASE LOSSES - Additional Information (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Reserve for unfunded loan commitments | $ 0.8 | $ 1.6 |
LOANS HELD FOR SALE - Portfolio
LOANS HELD FOR SALE - Portfolio of Loans Held for Sale (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total | $ 45,906 | $ 50,006 |
Residential Mortgage [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Residential mortgage loans | 37,827 | 41,927 |
Construction Loans [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Construction loans | $ 8,079 | $ 8,079 |
LOANS HELD FOR SALE - Additiona
LOANS HELD FOR SALE - Additional Information (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts Notes And Loans Receivable [Line Items] | ||
Loans held for sale | $ 45,906 | $ 50,006 |
Non Accrual [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans held for sale | $ 8,100 | $ 8,100 |
OTHER REAL ESTATE OWNED- Other
OTHER REAL ESTATE OWNED- Other real estate owned (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | |
Other Real Estate And Foreclosed Assets [Line Items] | |||
Other real estate owned | $ 137,784 | $ 137,681 | |
Residential Real Estate [Member] | |||
Other Real Estate And Foreclosed Assets [Line Items] | |||
Other real estate owned | [1] | 50,683 | 46,917 |
Commercial Real Estate [Member] | |||
Other Real Estate And Foreclosed Assets [Line Items] | |||
Other real estate owned | 76,208 | 78,698 | |
Construction Real Estate [Member] | |||
Other Real Estate And Foreclosed Assets [Line Items] | |||
Other real estate owned | $ 10,893 | $ 12,066 | |
[1] | Excludes $19.5 million and $15.0 million as of March 31, 2017 and December 31, 2016, respectively, of foreclosures that meet the conditions of ASC 310-40 and are presented as a receivable (other assets) in the statement of financial condition. |
OTHER REAL ESTATE OWNED- Additi
OTHER REAL ESTATE OWNED- Additional information (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Other Real Estate And Foreclosed Assets [Abstract] | ||
Transfers From Loans to Other Receivable | $ 19.5 | $ 15 |
DERIVATIVE INSTRUMENTS AND H101
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Notional Amounts of All Derivative Instruments (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | |
Economic undesignated hedges: | |||
Notional amount of derivatives | [1] | $ 214,020 | $ 216,020 |
Nondesignated [Member] | Interest Rate Cap [Member] | Purchase | |||
Economic undesignated hedges: | |||
Notional amount of derivatives | [1] | 91,510 | 91,510 |
Nondesignated [Member] | Interest Rate Cap [Member] | Written | |||
Economic undesignated hedges: | |||
Notional amount of derivatives | [1] | 91,510 | 91,510 |
Nondesignated [Member] | Forward Contracts [Member] | |||
Economic undesignated hedges: | |||
Notional amount of derivatives | [1] | $ 31,000 | $ 33,000 |
[1] | (1) Notional amounts are presented on a gross basis with no netting of offsetting exposure positions. |
DERIVATIVE INSTRUMENTS AND H102
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Summary of Fair Value of Derivative Instruments and Location in Statement of Financial Condition (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Other Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in assets | $ 441 | $ 554 |
Other Assets [Member] | Interest Rate Cap [Member] | Purchase | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in assets | 441 | 554 |
Other Assets [Member] | Interest Rate Cap [Member] | Written | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in assets | 0 | 0 |
Other Assets [Member] | Forward Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in assets | 0 | 0 |
Other Liabilities [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in liabilities | 697 | 753 |
Other Liabilities [Member] | Interest Rate Cap [Member] | Purchase | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in liabilities | 0 | 0 |
Other Liabilities [Member] | Interest Rate Cap [Member] | Written | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in liabilities | 440 | 552 |
Other Liabilities [Member] | Forward Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivatives, included in liabilities | $ 257 | $ 201 |
DERIVATIVE INSTRUMENTS AND H103
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Effect of Derivative Instruments on Statement of Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Economic undesignated hedges: | ||
Total gain (loss) on derivatives | $ (57) | $ (153) |
Interest Income Loans [Member] | Interest Rate Swap [Member] | ||
Economic undesignated hedges: | ||
Total gain (loss) on derivatives | (1) | (4) |
Mortgage Banking Activities [Member] | Forward Contracts [Member] | ||
Economic undesignated hedges: | ||
Total gain (loss) on derivatives | $ (56) | $ (149) |
DERIVATIVE INSTRUMENTS AND H104
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Summary of Interest Rate Swaps (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | |
Pay fixed/receive floating : | |||
Notional amount | [1] | $ 214,020 | $ 216,020 |
[1] | (1) Notional amounts are presented on a gross basis with no netting of offsetting exposure positions. |
OFFESTTING OF ASSETS AND LIABIL
OFFESTTING OF ASSETS AND LIABILITIES - Offsetting of financial assets and liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Offsetting [Abstract] | ||
Gross amount recognized of derivative asset | $ 441 | $ 554 |
Gross amount of derivatives assets offset | 0 | 0 |
Net asset amount of assets presented in the Statement of Financial Condition | 441 | 554 |
Obligation to return Financial instrument, derivatives assets | (441) | (554) |
Obligation to return Cash Collateral, derivative assets | 0 | 0 |
Net derivative asset amount not offset | 0 | 0 |
Gross amount recognized of derivative liabilities | 0 | |
Gross amount of derivative liabilities offset | 0 | |
Net derivative liability amount offset presented | 0 | |
Right to claim Cash Collateral, derivatives liabilities | 0 | |
Net derivatives liability amount not offset | 0 | |
Gross amount recognized of repurchase agreements | 200,000 | 200,000 |
Gross amount of repurchase agreements offset | (200,000) | (200,000) |
Net repurchase agreements amount offset presented | 0 | 0 |
Right to claim Financial instrument, repurchase agreements | 0 | 0 |
Right to claim Cash Collateral, repurchase agreements | 0 | 0 |
Net repurchase agreements amount not offset | 0 | 0 |
Gross amount recognized of liabilities | 200,000 | |
Net liabilities amount offset presented | 0 | |
Right to claim Cash Collateral, liabilties | 0 | |
Net liability amount not offset | 0 | |
Securities Purchased Under Agreements To Resell Gross | 200,000 | 200,000 |
Securities Purchased Under Agreements To Resell Liability | (200,000) | (200,000) |
Securities Purchased Under Agreements To Resell Not Offset | 0 | 0 |
Securities Purchased Under Agreements To Resell Collateral Obligation To Return Securities | 0 | 0 |
Securities Purchased Under Agreements To Resell Collateral Obligation To Return Cash | 0 | 0 |
Securities Purchased Under Agreements To Resell Amount Offset Against Collateral | 0 | 0 |
Derivative Asset Securities Purchased Under Agreements To Resell Securities Borrowed Gross | 200,441 | 200,554 |
Derivative Asset Securities Purchased Under Agreements To Resell Securities Borrowed Liability | (200,000) | (200,000) |
Derivative Asset Securities Purchased Under Agreements To Resell Securities Borrowed Liability Not Offset | 441 | 554 |
Derivative Asset Securities Purchased Under Agreements To Resell Securities Borrowed Collateral Obligation To Return Securities | (441) | (554) |
Derivative Asset Securities Purchased Under Agreements To Resell Securities Borrowed Collateral Obligation To Return Cash | 0 | 0 |
Derivative Asset Securities Purchased Under Agreements To Resell Securities Borrowed Amount Offset Against Collateral | $ 0 | $ 0 |
GOODWILL AND OTHER INTANGIBL106
GOODWILL AND OTHER INTANGIBLES - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Jun. 30, 2012 | |
Finite Lived Intangible Assets [Line Items] | ||||
Goodwill | $ 28,100 | $ 28,100 | ||
Purchase credit card relationship intangible amount | $ 24,500 | |||
Amortization expense | 1,121 | $ 1,214 | ||
Business Combination Finite Lived Intangible Assets Net | 4,200 | |||
Purchased Credit Card Relationship Intangible [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Purchase credit card relationship intangible amount | $ 24,465 | $ 24,465 | ||
Amortization period of purchased credit card relationship intangible | 4 years 8 months 12 days | 5 years | ||
Amortization expense | $ 600 | 700 | ||
Core Deposits [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Purchase credit card relationship intangible amount | $ 51,664 | $ 51,664 | ||
Amortization period of purchased credit card relationship intangible | 7 years 9 months 18 days | 8 years 1 month 6 days | ||
Amortization expense | $ 500 | 500 | ||
Customer Related Intangible Assets [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Purchase credit card relationship intangible amount | $ 1,067 | $ 1,067 | ||
Amortization period of purchased credit card relationship intangible | 5 years 9 months 18 days | 6 years 1 month 6 days | ||
Amortization expense | $ 38 | $ 25 |
GOODWILL AND OTHER INTANGIBL107
GOODWILL AND OTHER INTANGIBLES - Gross Amount and Accumulated Amortization of Other Intangible Assets (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Feb. 27, 2015 | Mar. 31, 2017 | Dec. 31, 2016 | Jun. 30, 2012 | |
Finite Lived Intangible Assets [Line Items] | ||||
Gross amount | $ 24,500 | |||
Goodwill And Intangible Assets Disclosure [Abstract] | ||||
Finite Lived Intangible Assets Amortization Expense Year Two | $ 3,591 | |||
Finite Lived Intangible Assets Amortization Expense Year Three | 3,088 | |||
Finite Lived Intangible Assets Amortization Expense Year Four | 2,851 | |||
Finite Lived Intangible Assets Amortization Expense After Year Five | 2,066 | |||
Finite Lived Intangible Assets Amortization Expense Remainder Of Fiscal Year | 3,281 | |||
Finite Lived Intangible Assets Amortization Expense Year Five | 2,658 | |||
Core Deposits [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Gross amount | 51,664 | $ 51,664 | ||
Finite lived Intangible Assets Acquired 1 | $ 5,800 | |||
Accumulated amortization | (44,917) | (44,466) | ||
Net carrying amount | $ 6,747 | $ 7,198 | ||
Remaining amortization period | 7 years 9 months 18 days | 8 years 1 month 6 days | ||
Purchased Credit Card Relationship Intangible [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Gross amount | $ 24,465 | $ 24,465 | ||
Accumulated amortization | (14,566) | (13,934) | ||
Net carrying amount | $ 9,899 | $ 10,531 | ||
Remaining amortization period | 4 years 8 months 12 days | 5 years | ||
Customer Related Intangible Assets [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Gross amount | $ 1,067 | $ 1,067 | ||
Accumulated amortization | (178) | (140) | ||
Net carrying amount | $ 889 | $ 927 | ||
Remaining amortization period | 5 years 9 months 18 days | 6 years 1 month 6 days |
NON-CONSOLIDATED VARIABLE IN108
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |||
Feb. 16, 2011 | Sep. 30, 2004 | Apr. 30, 2004 | Mar. 31, 2017 | Jun. 30, 2015 | |
Servicing Liabilities At Fair Value [Line Items] | |||||
Principal amount of corporation serviced loans securitized through GNMA | $ 1,500 | ||||
Balance of amortization with third party | 26.7 | ||||
Carrying value with third party | $ 19.3 | ||||
Percentage of weighted average yield with third party | 2.41% | ||||
Maturity period of loan acquired | 7 years | ||||
Percentage of priority interest to be received on invested capital | 12.00% | ||||
Payment to be made on pro rata basis | 65.00% | ||||
Percentage of variation in assumptions | 10.00% | ||||
Debt Instrument Description Of Variable Rate Basis | 90-day LIBOR | ||||
Trust Preferred Securities Repurchases | $ 10 | ||||
Trust Preferred Securties Discount | 30.00% | ||||
Trust Preferred Securities Winning Bid | 70.00% | ||||
Common Stock Issued In Exchange For Trust Preferred Securities Additional Paid In Capital Value | $ 5.5 | ||||
Maximum [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Percentage of variation in assumptions | 20.00% | ||||
Minimum [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Percentage of variation in assumptions | 10.00% | ||||
Fbp Statutory Trust One [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Variable rate trust preferred securities | $ 100 | ||||
Proceeds of the issuance, together with proceeds of the purchase | 3.1 | ||||
Principal amount of corporation's junior subordinated deferrable debentures | $ 103.1 | ||||
Subordinated Borrowing Due Date | Jun. 17, 2034 | ||||
Fbp Statutory Trust Two [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Variable rate trust preferred securities | $ 125 | ||||
Proceeds of the issuance, together with proceeds of the purchase | 3.9 | ||||
Principal amount of corporation's junior subordinated deferrable debentures | $ 128.9 | ||||
Subordinated Borrowing Due Date | Sep. 20, 2034 | ||||
Cpg Gs [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Loans Sold to CPG | $ 269.3 | ||||
Cash realized on sale of loan | 88.5 | ||||
Loans acquired on exchange of loan held for sale | $ 136.1 | ||||
Description of loan | 30-day LIBOR plus 300 basis points | ||||
Carrying amount of loan provided | $ 4.1 | ||||
Line of credit facility provided to fund unfunded commitments | $ 80 | ||||
Working capital line of credit to fund certain expenses | $ 20 | ||||
Revolver agreement of credit facility provided amount outstanding | $ 6.8 | ||||
Prlp [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Percentage of ownership investment in unconsolidated entity | 65.00% | ||||
Payment to be made on pro rata basis | 35.00% | ||||
FirstBank [Member] | |||||
Servicing Liabilities At Fair Value [Line Items] | |||||
Acquired Equity interest on disposal of loans held for sale | 35.00% |
NON-CONSOLIDATED VARIABLE IN109
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - Income Statement Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Variable Interest Entity [Line Items] | ||
Net income | $ 25,541 | $ 23,344 |
NON-CONSOLIDATED VARIABLE IN110
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - Changes in Servicing Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Servicing Assets At Amortized Value [Line Items] | |||
Balance at beginning of period | $ 26,244 | $ 24,282 | |
Capitalization of servicing assets | 875 | 1,161 | |
Amortization | (788) | (798) | |
Adjustment To Servicing Assets For Loans Repurchased | [1] | 159 | 20 |
Adjustment to fair value | (160) | 27 | |
Balance at end of period | $ 26,330 | $ 24,692 | |
[1] | Amount represents the adjustment to fair value related to the repurchase of loans serviced for others. |
NON-CONSOLIDATED VARIABLE IN111
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - Changes in Impairment Allowance (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Valuation Allowance For Impairment Of Recognized Servicing Assets [Line Items] | ||
Balance at beginning of period | $ 461 | $ 136 |
Temporary impairment charges | 160 | 27 |
OTTI of servicing assets | (621) | 0 |
Recoveries | 0 | (54) |
Balance at end of period | $ 0 | $ 109 |
NON-CONSOLIDATED VARIABLE IN112
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - Components of Net Servicing Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Servicing fees | $ 2,024 | $ 1,862 | |
Late charges and prepayment penalties | 99 | 142 | |
All Other Fees | (7) | 0 | |
Adjustment To Servicing Assets For Loans Repurchased | [1] | 159 | 20 |
Servicing income, gross | 2,275 | 2,024 | |
Amortization and impairment of servicing assets | (948) | (771) | |
Servicing income, net | $ 1,327 | $ 1,253 | |
[1] | Amount represents the adjustment to fair value related to the repurchase of loans serviced for others. |
NON-CONSOLIDATED VARIABLE IN113
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - Key Economic Assumptions Used in Determining Fair Value at Time of Sale of Loans (Detail) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Government Guaranteed Mortgage Loans [Member] | ||
Assumption For Fair Value On Securitization Date Of Interests Continued To Be Held By Transferor Servicing Assets Or Liabilities [Line Items] | ||
Constant prepayment rate | 6.00% | 7.60% |
Discount rate | 12.00% | 11.50% |
Conventional Loan [Member] | ||
Assumption For Fair Value On Securitization Date Of Interests Continued To Be Held By Transferor Servicing Assets Or Liabilities [Line Items] | ||
Constant prepayment rate | 6.30% | 8.00% |
Discount rate | 10.00% | 9.50% |
Conventional Non Conforming Mortgage Loans [Member] | ||
Assumption For Fair Value On Securitization Date Of Interests Continued To Be Held By Transferor Servicing Assets Or Liabilities [Line Items] | ||
Constant prepayment rate | 9.50% | 14.00% |
Discount rate | 14.30% | 13.80% |
NON-CONSOLIDATED VARIABLE IN114
NON-CONSOLIDATED VARIABLE INTEREST ENTITIES AND SERVICING ASSETS - Weighted-Averages of Key Economic Assumptions in Valuation Model (Detail) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | |
Carrying amount of servicing assets | $ 26,330 | $ 26,244 | $ 24,692 | $ 24,282 |
Fair value | $ 29,782 | |||
Weighted-average expected life | 8 years 6 months 10 days | |||
Constant prepayment rate | 6.17% | |||
Decrease in fair value due to 10% adverse change | $ 763 | |||
Decrease in fair value due to 20% adverse change | $ 1,493 | |||
Discount rate | 11.20% | |||
Decrease in fair value due to 10% adverse change | $ 1,419 | |||
Decrease in fair value due to 20% adverse change | $ 2,720 |
DEPOSITS - Summary of Deposit B
DEPOSITS - Summary of Deposit Balances (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Deposits [Line Items] | ||
Non-interest bearing checking accounts | $ 1,581,086 | $ 1,484,155 |
Savings accounts | 2,484,115 | 2,518,496 |
Interest-bearing checking accounts | 1,084,969 | 1,075,929 |
Certificates of deposit | 2,349,286 | 2,312,928 |
Brokered certificates of deposit | 1,358,542 | 1,439,697 |
Total deposits | $ 8,857,998 | $ 8,831,205 |
DEPOSITS - Brokered Certificate
DEPOSITS - Brokered Certificates Of Deposit Mature (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | $ 1,358,542 | $ 1,439,697 |
One to ninety days | ||
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | 150,680 | |
Over three month to six months | ||
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | 186,869 | |
Over six months to one year | ||
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | 402,474 | |
One to three year | ||
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | 503,428 | |
Three to five years | ||
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | 113,527 | |
Over five years | ||
Deposits [Line Items] | ||
Interest Bearing Domestic Deposit Brokered | $ 1,564 |
DEPOSITS - Components of Intere
DEPOSITS - Components of Interest Expense on Deposits (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Deposits [Line Items] | ||
Interest expense on deposits | $ 15,468 | $ 16,480 |
Accretion Of Premium From Acquisitions | (23) | (81) |
Amortization of broker placement fees | 527 | 858 |
Interest expense on deposits | $ 15,972 | $ 17,257 |
SECURITIES SOLD UNDER AGREEM118
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE - Securities Sold Under Agreements to Repurchase (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | ||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Repurchase agreements, interest ranging from 2.45% to 3.35%(December 31, 2012- 2.45% to 3.39%) | [2] | $ 300,000 | [1] | $ 300,000 |
[1] | As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. | |||
[2] | Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. |
SECURITIES SOLD UNDER AGREEM119
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE - Securities Sold Under Agreements to Repurchase (Parenthetical) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | ||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Securities sold under agreements to repurchase | [2] | $ 300,000 | [1] | $ 300,000 |
Callable Repurchase Agreements [Member] | ||||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Securities sold under agreements to repurchase | 200,000 | |||
Variable Interest Rate Repurchase Agreement [Member] | ||||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Securities sold under agreements to repurchase | $ 100,000 | |||
Maximum [Member] | ||||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Assets sold under agreements to repurchase interest rate | 2.97% | 2.83% | ||
Minimum [Member] | ||||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Assets sold under agreements to repurchase interest rate | 1.96% | 1.96% | ||
Weighted Average [Member] | Callable Repurchase Agreements [Member] | ||||
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Line Items] | ||||
Assets sold under agreements to repurchase interest rate | 2.11% | |||
[1] | As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. | |||
[2] | Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. |
SECURITIES SOLD UNDER AGREEM120
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE - Schedule of Repurchase Agreement Maturity (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | ||
Repurchase Agreement [Line Items] | ||||
Securities Sold Under Agreements To Repurchase | [2] | $ 300,000 | [1] | $ 300,000 |
Maturity Over Four to Five Years [Member] | ||||
Repurchase Agreement [Line Items] | ||||
Securities Sold Under Agreements To Repurchase | 200,000 | |||
Maturity Over Six Months To One Year | ||||
Repurchase Agreement [Line Items] | ||||
Securities Sold Under Agreements To Repurchase | $ 100,000 | |||
[1] | As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. | |||
[2] | Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. |
SECURITIES SOLD UNDER AGREEM121
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE - Schedule of Repurchase Agreement Maturity (Parenthetical) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | ||
Repurchase Agreement [Line Items] | ||||
Securities Sold Under Agreements To Repurchase | [2] | $ 300,000 | [1] | $ 300,000 |
[1] | As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. | |||
[2] | Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. |
SECURITIES SOLD UNDER AGREEM122
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE - Repurchase Agreements Grouped by Counterparty (Detail) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Dec. 31, 2016 | |||
Repurchase Agreement Counterparty [Line Items] | ||||
Repurchase agreements, interest ranging from 2.45% to 3.39% (December 31, 2011 - 2.50% to 4.40%) (1) | [2] | $ 300,000 | [1] | $ 300,000 |
Jp Morgan Chase [Member] | ||||
Repurchase Agreement Counterparty [Line Items] | ||||
Repurchase agreements, interest ranging from 2.45% to 3.39% (December 31, 2011 - 2.50% to 4.40%) (1) | $ 200,000 | |||
Weighted-Average Maturity | 4 years 9 months 18 days | |||
Dean Witter Morgan Stanley [Member] | ||||
Repurchase Agreement Counterparty [Line Items] | ||||
Repurchase agreements, interest ranging from 2.45% to 3.39% (December 31, 2011 - 2.50% to 4.40%) (1) | $ 100,000 | |||
Weighted-Average Maturity | 6 months 29 days | |||
[1] | As of March 31, 2017, includes $200 million with an average rate of 2.11% that lenders have the right to call before their contractual maturities at various dates beginning on April 19, 2017. Subsequent to March 31, 2017, no lender has exercised its call option on repurchase agreements. In addition, $100 million is tied to variable rates. | |||
[2] | Reported net of securities purchased under agreements to repurchase (reverse repurchase agreements) by counterparty, when applicable, pursuant to ASC 210-20-45-11. |
ADVANCES FROM THE FEDERAL HO123
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) - Summary of Advances from FHLB (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Short Term Debt [Line Items] | ||
Fixed-rate advances from FHLB, with a weighted-average interest rate of 1.69% (December 31, 2012 - 2.26%) | $ 570,000 | $ 670,000 |
long term debt [member] | ||
Short Term Debt [Line Items] | ||
Fixed-rate advances from FHLB, with a weighted-average interest rate of 1.69% (December 31, 2012 - 2.26%) | 500,000 | 500,000 |
short term debt [member] | ||
Short Term Debt [Line Items] | ||
Fixed-rate advances from FHLB, with a weighted-average interest rate of 1.69% (December 31, 2012 - 2.26%) | $ 70,000 | $ 170,000 |
ADVANCES FROM THE FEDERAL HO124
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) - Summary of Advances from FHLB (Parenthetical) (Detail) - Weighted Average [Member] | Mar. 31, 2017 | Dec. 31, 2016 |
long term debt [member] | ||
Short Term Debt [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Interest Rate at Period End | 1.49% | 1.49% |
short term debt [member] | ||
Short Term Debt [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Interest Rate at Period End | 1.00% | 0.78% |
ADVANCES FROM THE FEDERAL HO125
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) - Advances from FHLB Mature (Detail) $ in Thousands | Mar. 31, 2017USD ($) |
Federal Home Loan Bank Advances Maturity [Domain] | |
Federal Home Loan Bank Advances Branch Of F H L B Bank [Line Items] | |
Federal Home Loan Bank Advances | $ 570,000 |
One to thirty days | |
Federal Home Loan Bank Advances Branch Of F H L B Bank [Line Items] | |
Federal Home Loan Bank Advances | 70,000 |
Over six months to one year | |
Federal Home Loan Bank Advances Branch Of F H L B Bank [Line Items] | |
Federal Home Loan Bank Advances | 0 |
Over one to three years | |
Federal Home Loan Bank Advances Branch Of F H L B Bank [Line Items] | |
Federal Home Loan Bank Advances | 300,000 |
Over one to six months | |
Federal Home Loan Bank Advances Branch Of F H L B Bank [Line Items] | |
Federal Home Loan Bank Advances | $ 200,000 |
ADVANCES FROM THE FEDERAL HO126
ADVANCES FROM THE FEDERAL HOME LOAN BANK (FHLB) - Additional Information (Detail) $ in Millions | Mar. 31, 2017USD ($) |
Federal Home Loan Bank Advances Branch Of F H L B Bank [Line Items] | |
Credit facility based on collateral pledged | $ 852.2 |
OTHER BORROWINGS - Components o
OTHER BORROWINGS - Components of Other Borrowings (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | |||
Junior subordinated debentures due in 2034 | $ 216,187 | $ 216,187 | |
Junior Subordinated Debentures Bearing Interest At Floating Rate Of Two Point Seventy Five [Member] | |||
Debt Instrument [Line Items] | |||
Junior subordinated debentures due in 2034 | 97,630 | 97,630 | |
Junior Subordinated Debentures Bearing Interest At Floating Rate Of Two Point Fifty Percent [Member] | |||
Debt Instrument [Line Items] | |||
Junior subordinated debentures due in 2034 | [1] | $ 118,557 | $ 118,557 |
[1] |
OTHER BORROWINGS - Component128
OTHER BORROWINGS - Components of Other Borrowings (Parenthetical) (Detail) | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
Junior Subordinated Debentures Bearing Interest At Floating Rate Of Two Point Seventy Five [Member] | ||
Debt Instrument [Line Items] | ||
Floating Interest rate on junior subordinated debentures | 3.89% | 3.74% |
Subordinated Borrowing Due Date | Jun. 17, 2034 | |
Callable step-rate notes rate | 2.75% | |
Junior Subordinated Debentures Bearing Interest At Floating Rate Of Two Point Fifty Percent [Member] | ||
Debt Instrument [Line Items] | ||
Floating Interest rate on junior subordinated debentures | 3.65% | 3.50% |
Subordinated Borrowing Due Date | Sep. 20, 2034 | |
Callable step-rate notes rate | 2.50% |
STOCKHOLDERS' EQUITY - Addition
STOCKHOLDERS' EQUITY - Additional Information (Detail) $ / shares in Units, $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2017USD ($)numberofstocks$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Mar. 31, 2016shares | May 10, 2017shares | Feb. 07, 2017shares | |
Class Of Stock [Line Items] | |||||
Common stock, shares authorized | 2,000,000,000 | 2,000,000,000 | |||
Common stock, par value | $ / shares | $ 0.1 | $ 0.1 | |||
Common stock, shares issued | 219,783,062 | 218,700,394 | |||
Common stock, shares outstanding | 218,430,573 | 217,446,205 | |||
Granted shares of restricted stock | 952,976 | ||||
Corporation has authorized shares of preferred stock | 50,000,000 | 50,000,000 | |||
Preferred stock, par value | $ / shares | $ 1 | ||||
Number of preferred stock series | numberofstocks | 5 | ||||
Stock repurchase plan treasury stock | 1,352,489 | 1,254,189 | |||
Repurchased of common stock | 98,300 | 115,121 | |||
Liquidation value per share | $ / shares | $ 25 | ||||
Legal surplus reserve amount | $ | $ 52,436 | $ 52,436 | |||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Number | 4,178,791 | ||||
Legal Surplus Amount Additions | $ | $ 9,600 | ||||
Purchase Of Common Stock Secondary Offering | 3,000,000 | ||||
Omnibus Plan [Member] | |||||
Class Of Stock [Line Items] | |||||
Restricted stock available for issuance | 5,746,508 | ||||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Number | 4,832,748 | ||||
Restricted Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Repurchased of common stock | 52,590 | 35,167 | |||
FirstBank [Member] | |||||
Class Of Stock [Line Items] | |||||
Legal surplus reserve rate | 10.00% | ||||
Original amount contributed in percentage | 20.00% | ||||
Thomas H Lee Partners [Member] | |||||
Class Of Stock [Line Items] | |||||
Percentage Of Stock Ownership | 9.20% | ||||
Secondary Offering Of Common Stock | 10,000,000 | ||||
Oaktree Capital Management [Member] | |||||
Class Of Stock [Line Items] | |||||
Percentage Of Stock Ownership | 9.20% | ||||
Secondary Offering Of Common Stock | 10,000,000 | ||||
Department Of Treasury [Member] | |||||
Class Of Stock [Line Items] | |||||
Secondary Offering Of Common Stock | 10,291,553 | ||||
Series A Preferred Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Preferred stock dividend rate percentage | 7.125% | ||||
Series B Preferred Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Preferred stock dividend rate percentage | 8.35% | ||||
Series C Preferred Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Preferred stock dividend rate percentage | 7.40% | ||||
Series D Preferred Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Preferred stock dividend rate percentage | 7.25% | ||||
Series E Preferred Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Preferred stock dividend rate percentage | 7.00% |
STOCKHOLDERS' EQUITY - Exchange
STOCKHOLDERS' EQUITY - Exchange offer with respect to Series A through E preferred stock (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
Class Of Stock [Line Items] | ||
Liquidation value per share | $ 25 | |
Preferred stock, shares outstanding | 1,444,146 | 1,444,146 |
Preferred Stock Value | $ 36,104 | $ 36,104 |
Series A Preferred Stock [Member] | ||
Class Of Stock [Line Items] | ||
Preferred stock dividend rate percentage | 7.125% | |
Series B Preferred Stock [Member] | ||
Class Of Stock [Line Items] | ||
Preferred stock dividend rate percentage | 8.35% | |
Series C Preferred Stock [Member] | ||
Class Of Stock [Line Items] | ||
Preferred stock dividend rate percentage | 7.40% | |
Series D Preferred Stock [Member] | ||
Class Of Stock [Line Items] | ||
Preferred stock dividend rate percentage | 7.25% | |
Series E Preferred Stock [Member] | ||
Class Of Stock [Line Items] | ||
Preferred stock dividend rate percentage | 7.00% |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Income Tax Contingency [Line Items] | |||
Valuation allowance | $ 195,500 | ||
Percentage of dividend received deduction from controlled subsidiaries | 100.00% | ||
Percentage of dividend received from other taxable domestic corporations | 85.00% | ||
Income tax expense | $ (8,073) | $ 5,723 | |
Deferred Tax Assets Net | $ 287,700 | ||
Minimum percentage of bank net taxable income for paying Income tax at normal rate | 20.00% | ||
Effective Tax Rate Pretax Losses | 24.00% | 21.00% | |
Effective Income Tax Rate Continuing Operations | 13.00% | 21.00% | |
Income Tax Benefit Change In Tax Status | $ 13,200 | ||
Effective Income Tax Rate Excluding Discrete Items | 25.00% | ||
Puerto Rico [Member] | |||
Income Tax Contingency [Line Items] | |||
Statute of limitations under income tax act | 4 years | ||
United States [Member] | |||
Income Tax Contingency [Line Items] | |||
Statute of limitations under income tax act | 3 years | ||
Virgin Islands [Member] | |||
Income Tax Contingency [Line Items] | |||
Statute of limitations under income tax act | 3 years | ||
FirstBank [Member] | |||
Income Tax Contingency [Line Items] | |||
Valuation allowance | $ 154,700 | $ 277,400 | |
Deferred Tax Assets Net | 287,500 | $ 171,000 | |
Valuation Allowance Deferred Tax Asset Change In Amount | 13,900 | ||
FirstBank Insurance [Member] | |||
Income Tax Contingency [Line Items] | |||
Deferred Tax Asset Change In Amount | $ (700) |
FAIR VALUE - Additional Informa
FAIR VALUE - Additional Information (Detail) | Mar. 31, 2017USD ($) |
Debt Instrument [Line Items] | |
Maximum amount of interest in brokered CD sold by broker | $ 250,000 |
FAIR VALUE - Assets and Liabili
FAIR VALUE - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Securities available for sale | ||
Investment securities available for sale | $ 1,831,981 | $ 1,881,920 |
Equity Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 411 | 408 |
U S Treasury Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 7,501 | 7,509 |
Us Government Agencies Debt Securities Noncallable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 356,121 | 356,919 |
Us Government Agencies Debt Securities Callable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 1,424,849 | 1,469,463 |
US States And Political Subdivisions Member [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 23,691 | 26,828 |
Private Label Mbs [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 19,308 | 20,693 |
Interest Rate Cap [Member] | Purchase | ||
Derivatives, included in assets: | ||
Derivatives, included in assets | 441 | 554 |
Interest Rate Cap [Member] | Written | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 440 | 552 |
Forward And Future Contracts [Member] | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 257 | 201 |
Other Available For Sale Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 100 | 100 |
Fair Value Inputs Level 1 [Member] | Equity Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 411 | 408 |
Fair Value Inputs Level 1 [Member] | U S Treasury Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 7,501 | 7,509 |
Fair Value Inputs Level 1 [Member] | Us Government Agencies Debt Securities Noncallable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Us Government Agencies Debt Securities Callable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 1 [Member] | US States And Political Subdivisions Member [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Private Label Mbs [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Interest Rate Cap [Member] | Purchase | ||
Derivatives, included in assets: | ||
Derivatives, included in assets | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Interest Rate Cap [Member] | Written | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Forward And Future Contracts [Member] | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 0 | |
Fair Value Inputs Level 1 [Member] | Interest Rate Swap [Member] | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 0 | |
Fair Value Inputs Level 1 [Member] | Other Available For Sale Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 2 [Member] | Equity Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 2 [Member] | U S Treasury Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 2 [Member] | Us Government Agencies Debt Securities Noncallable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 356,121 | 356,919 |
Fair Value Inputs Level 2 [Member] | Us Government Agencies Debt Securities Callable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 1,424,849 | 1,469,463 |
Fair Value Inputs Level 2 [Member] | US States And Political Subdivisions Member [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 21,717 | 24,707 |
Fair Value Inputs Level 2 [Member] | Private Label Mbs [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 2 [Member] | Interest Rate Cap [Member] | Purchase | ||
Derivatives, included in assets: | ||
Derivatives, included in assets | 441 | 554 |
Fair Value Inputs Level 2 [Member] | Interest Rate Cap [Member] | Written | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 440 | 552 |
Fair Value Inputs Level 2 [Member] | Forward And Future Contracts [Member] | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 257 | 201 |
Fair Value Inputs Level 2 [Member] | Other Available For Sale Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 3 [Member] | Equity Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 3 [Member] | U S Treasury Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 3 [Member] | Us Government Agencies Debt Securities Noncallable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 3 [Member] | Us Government Agencies Debt Securities Callable [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 0 | 0 |
Fair Value Inputs Level 3 [Member] | US States And Political Subdivisions Member [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 1,974 | 2,121 |
Fair Value Inputs Level 3 [Member] | Private Label Mbs [Member] | ||
Securities available for sale | ||
Investment securities available for sale | 19,308 | 20,693 |
Fair Value Inputs Level 3 [Member] | Interest Rate Cap [Member] | Purchase | ||
Derivatives, included in assets: | ||
Derivatives, included in assets | 0 | 0 |
Fair Value Inputs Level 3 [Member] | Interest Rate Cap [Member] | Written | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 0 | 0 |
Fair Value Inputs Level 3 [Member] | Forward And Future Contracts [Member] | ||
Derivatives, included in liabilities: | ||
Derivatives, included in liabilities | 0 | 0 |
Fair Value Inputs Level 3 [Member] | Other Available For Sale Securities [Member] | ||
Securities available for sale | ||
Investment securities available for sale | $ 100 | $ 100 |
FAIR VALUE - Fair Value of Asse
FAIR VALUE - Fair Value of Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Total gains or (losses) (realized/unrealized): | |||
Included in earnings | $ 0 | $ (387) | |
Principal Repayments | [1] | (2,050) | (1,505) |
Available for Sale Securities | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Beginning balance | [1] | 22,914 | 27,297 |
Total gains or (losses) (realized/unrealized): | |||
Included in earnings | [1] | 0 | (387) |
Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Asset Gain Loss Included In Other Comprehensive Income Loss | [1] | 518 | 1,258 |
Ending balance | [1] | $ 21,382 | $ 26,663 |
[1] | Amounts mostly related to private label mortgage-backed securities. |
FAIR VALUE - Assets and Liab135
FAIR VALUE - Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Discount rate used for calculation of mortgage servicing rights value | 14.40% | 14.10% |
Fair value input prepayment rate | 13.60% | 13.80% |
Unobservable input projected cumulative loss rate | 4.00% | |
Private Label Mbs [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | $ 19,308 | |
Discount rate used for calculation of mortgage servicing rights value | 14.40% | |
US States And Political Subdivisions Member [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | $ 1,974 | |
Unobservable input prepayment rate | 3.00% | |
Minimum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Discount rate used for calculation of mortgage servicing rights value | 12.88% | |
Fair value input prepayment rate | 8.80% | 6.50% |
Minimum [Member] | Private Label Mbs [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair value input prepayment rate | 8.80% | |
Fair value projected Cumulative Loss Rate | 0.10% | |
Maximum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Discount rate used for calculation of mortgage servicing rights value | 14.43% | |
Fair value input prepayment rate | 17.50% | 22.50% |
Maximum [Member] | Private Label Mbs [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair value input prepayment rate | 17.50% | |
Fair value projected Cumulative Loss Rate | 7.20% |
FAIR VALUE - Change in unrealiz
FAIR VALUE - Change in unrealized losses included in earnings (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Included in earnings | $ 0 | $ (387) | |
Available for Sale Securities | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Included in earnings | [1] | $ 0 | $ (387) |
[1] | Amounts mostly related to private label mortgage-backed securities. |
FAIR VALUE - Impairment of Valu
FAIR VALUE - Impairment of Valuation Adjustments were Recorded for Assets Recognized at Fair Value (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||||||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Mortgage servicing rights | $ 26,330 | $ 24,692 | $ 26,244 | $ 24,282 | |||
Loans Receivable [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Assets Fair Value Adjustment | [1] | 675 | |||||
Other Real Estate Owned [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Assets Fair Value Adjustment | [2] | (2,910) | |||||
Mortgage Servicing Rights [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Assets Fair Value Adjustment | [3] | 27 | |||||
Fair Value Measurements Nonrecurring [Member] | Loans Receivable [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Assets Fair Value Adjustment | [4] | (15,211) | |||||
Fair Value Measurements Nonrecurring [Member] | Other Real Estate Owned [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Assets Fair Value Adjustment | [5] | (4,180) | |||||
Fair Value Measurements Nonrecurring [Member] | Mortgage Servicing Rights [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Assets Fair Value Adjustment | [6] | (160) | |||||
Fair Value Inputs Level 1 [Member] | Fair Value Measurements Nonrecurring [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Loans receivable | 0 | [4] | 0 | [1] | |||
Other Real Estate Owned | 0 | [5] | 0 | [2] | |||
Mortgage servicing rights | 0 | [6] | 0 | [3] | |||
Fair Value Inputs Level 2 [Member] | Fair Value Measurements Nonrecurring [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Loans receivable | 0 | [4] | 0 | [1] | |||
Other Real Estate Owned | 0 | [5] | 0 | [2] | |||
Mortgage servicing rights | 0 | [6] | 0 | [3] | |||
Fair Value Inputs Level 3 [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Loans receivable | [1] | 304,498 | |||||
Other Real Estate Owned | [2] | 142,888 | |||||
Mortgage servicing rights | [3] | $ 24,692 | |||||
Fair Value Inputs Level 3 [Member] | Fair Value Measurements Nonrecurring [Member] | |||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||||
Loans receivable | [4] | 430,162 | |||||
Other Real Estate Owned | [5] | 137,784 | |||||
Mortgage servicing rights | [6] | $ 26,330 | |||||
[1] | Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g. absorption rates), which are not market observable. | ||||||
[2] | The fair value was derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the properties (e.g., absorption rates and net operating income of income producing properties) that are not market observable. Losses were related to market valuation adjustments after the transfer of the loans to the OREO portfolio. | ||||||
[3] | Fair value adjustments to the mortgage servicing rights were mainly due to assumptions associated with mortgage prepayments rates. The Corporation carries its mortgage servicing rights at the lower of cost or market, measured at fair value on a non-recurring basis. Assumptions for the value of mortgage servicing rights include: Prepayment Rate 10.06%, Discount Rate 10.67%. | ||||||
[4] | Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g., absorption rates), which are not market observable. | ||||||
[5] | The fair value was derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the properties (e.g., absorption rates and net operating income of income producing properties), that are not market observable. Losses were related to market valuation adjustments after the transfer of the loans to the OREO portfolio. | ||||||
[6] | Fair value adjustments to mortgage servicing rights were mainly due to assumptions associated with mortgage prepayment rates. The Corporation carries its mortgage servicing rights at the lower of cost or market, measured at fair value on a non-recurring basis. Assumptions for the value of mortgage servicing rights include: Prepayment rate 6.17%, Discount Rate 11.20%. |
FAIR VALUE - Impairment of V138
FAIR VALUE - Impairment of Valuation Adjustments were Recorded for Assets Recognized at Fair Value (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Repayment rate used for the calculation of mortgage servicing rights value | 13.60% | 13.80% | |
Discount rate used for calculation of mortgage servicing rights value | 14.40% | 14.10% | |
Loans held for sale | $ 45,906 | $ 50,006 | |
Mortgage Servicing Rights [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Repayment rate used for the calculation of mortgage servicing rights value | 6.17% | 10.06% | |
Discount rate used for calculation of mortgage servicing rights value | 11.20% | 10.67% |
FAIR VALUE - Fair Value (Detail
FAIR VALUE - Fair Value (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | |
Assets: | ||||
Investment securities available for sale | $ 1,831,981 | $ 1,881,920 | ||
Held To Maturity Securities | 156,190 | |||
Less: allowance for loan and lease losses | (203,231) | (205,603) | ||
Liabilities: | ||||
Other borrowings | 216,187 | 216,187 | ||
Fair Value Inputs Level 3 [Member] | ||||
Assets: | ||||
Loans held for investment, net of allowance | [1] | $ 304,498 | ||
Carrying Reported Amount Fair Value Disclosure [Member] | ||||
Assets: | ||||
Cash and due from banks and money market investments | 424,122 | 299,685 | ||
Investment securities available for sale | 1,831,981 | 1,881,920 | ||
Held To Maturity Securities | 156,049 | 156,190 | ||
Other equity securities | 38,492 | 42,992 | ||
Loans held for sale | 45,906 | 50,006 | ||
Loans, held for investment | 8,822,349 | 8,886,873 | ||
Less: allowance for loan and lease losses | (203,231) | (205,603) | ||
Loans held for investment, net of allowance | 8,619,118 | 8,681,270 | ||
Derivatives, included in assets | 441 | 554 | ||
Liabilities: | ||||
Deposits | 8,857,998 | 8,831,205 | ||
Securities sold under agreements to repurchase | 300,000 | 300,000 | ||
Advances from FHLB | 570,000 | 670,000 | ||
Other borrowings | 216,187 | 216,187 | ||
Derivatives, included in liabilities | 697 | 753 | ||
Estimate Of Fair Value Fair Value Disclosure [Member] | ||||
Assets: | ||||
Cash and due from banks and money market investments | 424,122 | 299,685 | ||
Investment securities available for sale | 1,831,981 | 1,881,920 | ||
Held To Maturity Securities | 136,614 | 132,759 | ||
Other equity securities | 38,492 | 42,992 | ||
Loans held for sale | 48,217 | 52,707 | ||
Loans held for investment, net of allowance | 8,367,980 | 8,455,104 | ||
Derivatives, included in assets | 441 | 554 | ||
Liabilities: | ||||
Deposits | 8,867,714 | 8,838,606 | ||
Securities sold under agreements to repurchase | 334,747 | 335,840 | ||
Advances from FHLB | 569,522 | 669,687 | ||
Other borrowings | 177,436 | 171,374 | ||
Derivatives, included in liabilities | 697 | 753 | ||
Estimate Of Fair Value Fair Value Disclosure [Member] | Fair Value Inputs Level 1 [Member] | ||||
Assets: | ||||
Cash and due from banks and money market investments | 424,122 | 299,685 | ||
Investment securities available for sale | 7,912 | 7,917 | ||
Held To Maturity Securities | 0 | 0 | ||
Other equity securities | 0 | 0 | ||
Loans held for sale | 0 | 0 | ||
Loans held for investment, net of allowance | 0 | 0 | ||
Derivatives, included in assets | 0 | 0 | ||
Liabilities: | ||||
Deposits | 0 | 0 | ||
Securities sold under agreements to repurchase | 0 | 0 | ||
Advances from FHLB | 0 | 0 | ||
Other borrowings | 0 | 0 | ||
Derivatives, included in liabilities | 0 | 0 | ||
Estimate Of Fair Value Fair Value Disclosure [Member] | Fair Value Inputs Level 2 [Member] | ||||
Assets: | ||||
Cash and due from banks and money market investments | 0 | 0 | ||
Investment securities available for sale | 1,802,687 | 1,851,089 | ||
Held To Maturity Securities | 0 | 0 | ||
Other equity securities | 38,492 | 42,992 | ||
Loans held for sale | 38,431 | 42,921 | ||
Loans held for investment, net of allowance | 0 | 0 | ||
Derivatives, included in assets | 441 | 554 | ||
Liabilities: | ||||
Deposits | 8,867,714 | 8,838,606 | ||
Securities sold under agreements to repurchase | 334,747 | 335,840 | ||
Advances from FHLB | 569,522 | 669,687 | ||
Other borrowings | 0 | 0 | ||
Derivatives, included in liabilities | 697 | 753 | ||
Estimate Of Fair Value Fair Value Disclosure [Member] | Fair Value Inputs Level 3 [Member] | ||||
Assets: | ||||
Cash and due from banks and money market investments | 0 | 0 | ||
Investment securities available for sale | 21,382 | 22,914 | ||
Held To Maturity Securities | 136,614 | 132,759 | ||
Other equity securities | 0 | 0 | ||
Loans held for sale | 9,786 | 9,786 | ||
Loans held for investment, net of allowance | 8,367,980 | 8,455,104 | ||
Derivatives, included in assets | 0 | 0 | ||
Liabilities: | ||||
Deposits | 0 | 0 | ||
Securities sold under agreements to repurchase | 0 | 0 | ||
Advances from FHLB | 0 | 0 | ||
Other borrowings | 177,436 | 171,374 | ||
Derivatives, included in liabilities | $ 0 | $ 0 | ||
[1] | Consists mainly of impaired commercial and construction loans. The impairment was generally measured based on the fair value of the collateral. The fair value was derived from external appraisals that take into consideration prices in observed transactions involving similar assets in similar locations but adjusted for specific characteristics and assumptions of the collateral (e.g. absorption rates), which are not market observable. |
SUPPLEMENTAL CASH FLOW INFOR140
SUPPLEMENTAL CASH FLOW INFORMATION - Supplemental Cash Flow Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Cash paid for: | ||
Interest on borrowings | $ 22,001 | $ 23,148 |
Income tax | 0 | 0 |
Non-cash investing and financing activities: | ||
Additions to other real estate owned | 13,597 | 9,145 |
Additions to auto repossesions | 11,516 | 14,873 |
Loan securitizations | 60,525 | 67,728 |
Capitalization of servicing assets | 875 | 1,161 |
Property Plant And Equipment Transferred To Other Assets | $ 1,185 | $ 0 |
SEGMENT INFORMATIO - Informatio
SEGMENT INFORMATIO - Information about reportable segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
Interest income | $ 145,228 | $ 150,831 |
Net (charge) credit for transfer of funds | 0 | 0 |
Interest expense | (22,679) | (26,183) |
Net interest income | 122,549 | 124,648 |
(Provision) release for loan and lease losses | (25,442) | (21,053) |
Non-interest income (loss) | 8,243 | 18,469 |
Direct non-interest expenses | (62,480) | (67,886) |
Segment income | 42,870 | 54,178 |
Average earnings assets | 10,994,534 | 11,732,422 |
Mortgage Banking [Member] | ||
Segment Reporting Information [Line Items] | ||
Interest income | 33,958 | 35,219 |
Net (charge) credit for transfer of funds | (11,698) | (12,924) |
Interest expense | 0 | 0 |
Net interest income | 22,260 | 22,295 |
(Provision) release for loan and lease losses | (8,936) | (6,140) |
Non-interest income (loss) | 3,586 | 4,487 |
Direct non-interest expenses | (9,879) | (10,833) |
Segment income | 7,031 | 9,809 |
Average earnings assets | 2,500,750 | 2,602,209 |
Consumer Retail Banking [Member] | ||
Segment Reporting Information [Line Items] | ||
Interest income | 42,917 | 46,066 |
Net (charge) credit for transfer of funds | 4,909 | 3,882 |
Interest expense | (5,900) | (6,162) |
Net interest income | 41,926 | 43,786 |
(Provision) release for loan and lease losses | (7,142) | (8,537) |
Non-interest income (loss) | 13,379 | 12,736 |
Direct non-interest expenses | (27,418) | (32,089) |
Segment income | 20,745 | 15,896 |
Average earnings assets | 1,775,931 | 2,030,598 |
Commercial And Corporate [Member] | ||
Segment Reporting Information [Line Items] | ||
Interest income | 29,411 | 33,548 |
Net (charge) credit for transfer of funds | (9,318) | (6,096) |
Interest expense | 0 | 0 |
Net interest income | 20,093 | 27,452 |
(Provision) release for loan and lease losses | (8,055) | (7,548) |
Non-interest income (loss) | 1,237 | 561 |
Direct non-interest expenses | (9,367) | (9,664) |
Segment income | 3,908 | 10,801 |
Average earnings assets | 2,548,936 | 2,552,200 |
Treasury And Investments [Member] | ||
Segment Reporting Information [Line Items] | ||
Interest income | 13,757 | 13,760 |
Net (charge) credit for transfer of funds | 16,233 | 14,526 |
Interest expense | (11,806) | (15,469) |
Net interest income | 18,184 | 12,817 |
(Provision) release for loan and lease losses | 0 | 0 |
Non-interest income (loss) | (12,170) | (2,401) |
Direct non-interest expenses | (1,207) | (1,050) |
Segment income | 4,807 | 9,366 |
Average earnings assets | 2,157,882 | 2,777,748 |
United States Operations [Member] | ||
Segment Reporting Information [Line Items] | ||
Interest income | 15,789 | 12,724 |
Net (charge) credit for transfer of funds | (126) | 612 |
Interest expense | (4,195) | (3,689) |
Net interest income | 11,468 | 9,647 |
(Provision) release for loan and lease losses | 35 | (210) |
Non-interest income (loss) | 505 | 1,183 |
Direct non-interest expenses | (7,859) | (7,261) |
Segment income | 4,149 | 3,359 |
Average earnings assets | 1,393,215 | 1,140,630 |
Virgin Islands Operations [Member] | ||
Segment Reporting Information [Line Items] | ||
Interest income | 9,396 | 9,514 |
Net (charge) credit for transfer of funds | 0 | 0 |
Interest expense | (778) | (863) |
Net interest income | 8,618 | 8,651 |
(Provision) release for loan and lease losses | (1,344) | 1,382 |
Non-interest income (loss) | 1,706 | 1,903 |
Direct non-interest expenses | (6,750) | (6,989) |
Segment income | 2,230 | 4,947 |
Average earnings assets | $ 617,820 | $ 629,037 |
SEGMENT INFORMATION - Reconcili
SEGMENT INFORMATION - Reconciliation of Reportable Segment Financial Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Net Income (Loss): | |||
Segment income | $ 42,870 | $ 54,178 | |
Other non-interest income (loss) | [1] | 0 | 0 |
Other operating expenses | [2] | (25,402) | (25,111) |
Income before income taxes | 17,468 | 29,067 | |
Income tax benefit (expense) | 8,073 | (5,723) | |
Total consolidated net income (loss) | 25,541 | 23,344 | |
Average assets: | |||
Total average earning assets for segments | 10,994,534 | 11,732,422 | |
Average non-earning assets | 886,492 | 922,010 | |
Total consolidated average assets | $ 11,881,026 | $ 12,654,432 | |
[1] | The bargain purchase gain on the acquisition of assets and assumption of deposits from Doral Bank in 2015 is presented as an Other non-interest gain (loss) in the table above. | ||
[2] | Expenses pertaining to corporate administrative functions that support the operating segment but are not specifically attributable to or managed by any segment are not included in the reported financial results of the operating segments. The unallocated corporate expenses include certain general and administrative expenses and related depreciation and amortization expenses. |
REGULATORY MATTERS, COMMITME143
REGULATORY MATTERS, COMMITMENTS AND CONTINGENCIES - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |
Jul. 31, 2013 | Mar. 31, 2017 | Dec. 31, 2016 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||
Commitments | $ 1,200 | ||
Credit Cards [Member] | |||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||
Commitments | 680.7 | ||
Commercial And Financial Standby Letters Of Credit [Member] | |||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||
Commitments | $ 55 | ||
Basel III [Member] | |||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||
Capital Conservation Buffer | 2.50% | ||
Common Equity Tier1 Capital To Risk Weight Assets Ratio | 4.50% | ||
Common Equity Tier 1 Capital To Risk Weight Assets Ratio Plus Common Equity Tier 1 Capital Conservation Buffer | 7.00% | ||
Total Tier 1 Capital To Risk Weight Assets Ratio | 6.00% | ||
Total Tier 1 Capital To Risk Weight Assets Ratio Plus Common Equity Tier 1 Capital Conservation Buffer | 8.50% | ||
Total Tier 1 Capital And Tier 2 Capital To Risk Weight Assets Ratio | 8.00% | ||
Total Tier 1 Capital And Tier 2 Capital To Risk Weight Assets Ratio Plus Common Equity Tier 1 Capital Conservation Buffer | 10.50% | ||
Leverage Ratio | 4.00% | ||
Common Equity Tier 1 Capital Conservation Buffer First Year | 0.625% | ||
FirstBank [Member] | |||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||
Leverage ratio | 15.22% | 15.10% | |
Tier 1 risk based capital ratio | 20.03% | 19.53% | |
Total Risk Based Capital Ratio | 21.29% | 20.80% | |
Tier 1 risk based capital ratio to be considered well capitalzed under PCA | 8.00% | 8.00% | |
Total risk based capital to be considered well capitalized under PCA | 10.00% | 10.00% | |
Leverage ratio to be considered well capitalized under PCA | 5.00% | 5.00% | |
Common Equity Tier1 Capital To Risk Weight Assets Ratio | 16.98% | 16.92% |
REGULATORY MATTERS, COMMITME144
REGULATORY MATTERS, COMMITMENTS AND CONTINGENCIES- Regulatory Capital Positions (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Holding Company [Member] | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Capital | $ 1,936,905 | $ 1,921,329 |
Tier One Risk Based Capital | 1,614,885 | 1,597,117 |
Tier One Leverage Capital | 1,614,885 | 1,597,117 |
Capital Required For Capital Adequacy | 709,179 | 720,329 |
Tier One Risk Based Capital Required For Capital Adequacy | 531,884 | 540,247 |
Tier One Leverage Capital Required For Capital Adequacy | $ 466,944 | $ 466,376 |
Capital To Risk Weighted Assets | 21.85% | 21.34% |
Tier One Risk Based Capital To Risk Weighted Assets | 18.22% | 17.74% |
Tier One Leverage Capital To Average Assets | 13.83% | 13.70% |
Capital Required For Capital Adequacy To Risk Weighted Assets | 8.00% | 8.00% |
Tier One Risk Based Capital Required For Capital Adequacy To Risk Weighted Assets | 6.00% | 6.00% |
Tier One Leverage Capital Required For Capital Adequacy To Average Assets | 4.00% | 4.00% |
Common Equity Tier1 Capital To Risk Weight Assets Ratio | 18.22% | 17.74% |
Common Equity Tier 1 Capital To Risk Weight Assets | $ 1,614,885 | $ 1,597,117 |
Common Equity Tier 1 Capital To Risk Weight Assets Ratio Capital Adequacy | 4.50% | 4.50% |
Common Equity Tier 1 Capital To Risk Weight Assets Capital Adequacy | $ 398,913 | $ 405,185 |
FirstBank [Member] | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Capital | 1,887,081 | 1,872,120 |
Tier One Risk Based Capital | 1,774,783 | 1,757,642 |
Tier One Leverage Capital | 1,774,783 | 1,757,642 |
Capital Required For Capital Adequacy | 709,013 | 720,091 |
Tier One Risk Based Capital Required For Capital Adequacy | 531,760 | 540,068 |
Tier One Leverage Capital Required For Capital Adequacy | 466,340 | 465,740 |
Capital Required To Be Well Capitalized | 886,266 | 900,114 |
Tier One Risk Based Capital Required To Be Well Capitalized | $ 709,013 | $ 720,091 |
Capital To Risk Weighted Assets | 21.29% | 20.80% |
Tier One Risk Based Capital To Risk Weighted Assets | 20.03% | 19.53% |
Tier One Leverage Capital To Average Assets | 15.22% | 15.10% |
Capital Required For Capital Adequacy To Risk Weighted Assets | 8.00% | 8.00% |
Tier One Risk Based Capital Required For Capital Adequacy To Risk Weighted Assets | 6.00% | 6.00% |
Tier One Leverage Capital Required For Capital Adequacy To Average Assets | 4.00% | 4.00% |
Capital Required To Be Well Capitalized To Risk Weighted Assets | 10.00% | 10.00% |
Tier One Risk Based Capital Required To Be Well Capitalized To Risk Weighted Assets | 8.00% | 8.00% |
Tier One Leverage Capital Required To Be Well Capitalized To Average Assets | 5.00% | 5.00% |
Tier One Leverage Capital Required To Be Well Capitalized | $ 582,925 | $ 582,174 |
Common Equity Tier1 Capital To Risk Weight Assets Ratio | 16.98% | 16.92% |
Common Equity Tier 1 Capital To Risk Weight Assets | $ 1,504,723 | $ 1,523,332 |
Common Equity Tier 1 Capital To Risk Weight Assets Ratio Capital Adequacy | 4.50% | 4.50% |
Common Equity Tier 1 Capital To Risk Weight Assets Capital Adequacy | $ 398,820 | $ 405,051 |
Common Equity Tier 1 Capital To Risk Weight Assets Well Capitalized | $ 576,073 | $ 585,074 |
Common Equity Tier 1 Capital To Risk Weight Assets Ratio Well Capitalized | 6.50% | 6.50% |
FIRST BANCORP. (Holding Comp145
FIRST BANCORP. (Holding Company Only) Financial Information - Statements of Financial Condition (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 |
ASSETS | |||
Cash and due from banks | $ 414,034 | $ 289,591 | $ 813,732 |
Money market investments | 10,088 | 10,094 | 213,093 |
Investment securities available for sale, at market: | |||
Other investment securities | 1,478,155 | 1,542,530 | |
Carrying Value Of Other Equity Security | 2,200 | ||
Loans Receivable, net | 8,665,024 | 8,731,276 | |
Other assets | 447,471 | 476,430 | |
Total assets | 11,890,398 | 11,922,455 | |
Liabilities: | |||
Other borrowings | 216,187 | 216,187 | |
Accounts payable and other liabilities | 123,196 | 118,820 | |
Total liabilities | 10,067,381 | 10,136,212 | |
Stockholders Equity | 1,823,017 | 1,786,243 | $ 1,749,167 |
Total liabilities and stockholders' equity | 11,890,398 | 11,922,455 | |
Holding Company [Member] | |||
ASSETS | |||
Cash and due from banks | 28,312 | 29,393 | |
Money market investments | 6,111 | 6,111 | |
Investment securities available for sale, at market: | |||
Carrying Value Of Other Equity Security | 285 | 285 | |
Loans Receivable, net | 217 | 227 | |
Other assets | 4,083 | 3,791 | |
Total assets | 2,040,753 | 2,003,449 | |
Liabilities: | |||
Other borrowings | 216,187 | 216,187 | |
Accounts payable and other liabilities | 1,549 | 1,019 | |
Total liabilities | 217,736 | 217,206 | |
Stockholders Equity | 1,823,017 | 1,786,243 | |
Total liabilities and stockholders' equity | 2,040,753 | 2,003,449 | |
Holding Company [Member] | Investment In Banking Subsidiary [Member] | |||
Investment securities available for sale, at market: | |||
Equity Method Investments | 1,982,203 | 1,946,211 | |
Holding Company [Member] | Non Banking Subsidiary [Member] | |||
Investment securities available for sale, at market: | |||
Equity Method Investments | 13,052 | 10,941 | |
Holding Company [Member] | Statutory Trust One [Member] | |||
Investment securities available for sale, at market: | |||
Equity Method Investments | 2,929 | 2,929 | |
Holding Company [Member] | Statutory Trust Two [Member] | |||
Investment securities available for sale, at market: | |||
Equity Method Investments | $ 3,561 | $ 3,561 |
FIRST BANCORP. (Holding Comp146
FIRST BANCORP. (Holding Company Only) Financial Information - Statements of Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income: | ||
Interest income on investment securities | $ 13,302 | $ 12,725 |
Other Interest And Dividend Income | 484 | 1,073 |
Expense: | ||
Impairement on equity securities | 0 | 8 |
Gains Losses On Extinguishment Of Debt | 0 | 4,217 |
Segment income | 42,870 | 54,178 |
Income tax benefit (expense) | 8,073 | (5,723) |
Net income | 25,541 | 23,344 |
Other comprehensive income, net of tax | 10,696 | 30,391 |
Comprehensive (loss) income | 36,237 | 53,735 |
Holding Company [Member] | ||
Income: | ||
Other Interest And Dividend Income | 5 | 5 |
Other income | 62 | 60 |
Total interest income | 1,997 | 7,065 |
Expense: | ||
Notes payable and other borrowings | 1,963 | 1,979 |
Other operating expenses | 967 | 650 |
Total operating expenses | 2,930 | 2,629 |
Gains Losses On Extinguishment Of Debt | 0 | 4,217 |
Segment income | (933) | 8,653 |
Equity in undistributed earnings (losses) of subsidiaries | 26,474 | 14,691 |
Net income | 25,541 | 23,344 |
Other comprehensive income, net of tax | 10,696 | 30,391 |
Comprehensive (loss) income | 36,237 | 53,735 |
Investment In Banking Subsidiary [Member] | Holding Company [Member] | ||
Income: | ||
Dividend Income From Subsidiaries | 1,930 | 0 |
Non Banking Subsidiary [Member] | Holding Company [Member] | ||
Income: | ||
Dividend Income From Subsidiaries | $ 0 | $ 7,000 |
SUBSEQUENT EVENTS- Additional i
SUBSEQUENT EVENTS- Additional information (Detail) - Department Of Treasury [Member] | May 10, 2017shares |
Subsequent Event [Line Items] | |
Secondary Offering Of Common Stock | 10,291,553 |
Class Of Warrant Or Right Outstanding | 1,285,899 |