Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Jan. 31, 2019 | Jun. 30, 2018 | |
Document and Entity Information | |||
Entity Registrant Name | EAST WEST BANCORP INC | ||
Entity Central Index Key | 1,069,157 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 145,146,595 | ||
Entity Current Reporting Status | Yes | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Public Float | $ 9,400,135,868 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||
Cash and due from banks | $ 516,291 | $ 457,181 |
Interest-bearing cash with banks | 2,485,086 | 1,717,411 |
Cash and cash equivalents | 3,001,377 | 2,174,592 |
Interest-bearing deposits with banks | 371,000 | 398,422 |
Securities purchased under resale agreements (“resale agreements”) | 1,035,000 | 1,050,000 |
Securities: | ||
Available-for-sale debt investment securities, at fair value (includes assets pledged as collateral of $435,833 in 2018 and $534,327 in 2017) | 2,741,847 | |
Available-for-sale debt and equity investment securities, at fair value (includes assets pledged as collateral of $435,833 in 2018 and $534,327 in 2017) | 3,016,752 | |
Restricted equity securities, at cost | 74,069 | 73,521 |
Loans held-for-sale | 275 | 85 |
Loans held-for-investment (net of allowance for loan losses of $311,322 in 2018 and $287,128 in 2017; includes assets pledged as collateral of $20,590,035 in 2018 and $18,880,598 in 2017) | 32,073,867 | 28,688,590 |
Investments in qualified affordable housing partnerships, net | 184,873 | 162,824 |
Investments in tax credit and other investments, net | 231,635 | 224,551 |
Premises and equipment (net of accumulated depreciation of $118,547 in 2018 and $111,898 in 2017) | 119,180 | 121,209 |
Goodwill | 465,547 | 469,433 |
Branch assets held-for-sale | 0 | 91,318 |
Other assets | 743,686 | 650,266 |
TOTAL | 41,042,356 | 37,121,563 |
LIABILITIES | ||
Noninterest-bearing | 11,377,009 | 10,887,306 |
Interest-bearing | 24,062,619 | 20,727,757 |
Total deposits | 35,439,628 | 31,615,063 |
Branch liability held-for-sale | 0 | 605,111 |
Short-term borrowings | 57,638 | 0 |
Federal Home Loan Bank (“FHLB”) advances | 326,172 | 323,891 |
Securities sold under repurchase agreements (“repurchase agreements”) | 50,000 | 50,000 |
Long-term debt | 146,835 | 171,577 |
Accrued expenses and other liabilities | 598,109 | 513,970 |
Total liabilities | 36,618,382 | 33,279,612 |
COMMITMENTS AND CONTINGENCIES (Note 14) | ||
STOCKHOLDERS’ EQUITY | ||
Common stock, $0.001 par value, 200,000,000 shares authorized; 165,867,587 and 165,214,770 shares issued in 2018 and 2017, respectively | 166 | 165 |
Additional paid-in capital | 1,789,811 | 1,755,330 |
Retained earnings | 3,160,132 | 2,576,302 |
Treasury stock, at cost — 20,906,224 shares in 2018 and 20,671,710 shares in 2017 | (467,961) | (452,327) |
Accumulated other comprehensive loss (“AOCI”), net of tax | (58,174) | (37,519) |
Total stockholders’ equity | 4,423,974 | 3,841,951 |
TOTAL | $ 41,042,356 | $ 37,121,563 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||
Assets pledged as collateral | $ 435,833 | $ 534,327 |
Loans held-for-investment, allowance for loan losses | 311,322 | 287,128 |
Loans pledged as collateral | 20,590,035 | 18,880,598 |
Premises and equipment, accumulated depreciation | $ 118,547 | $ 111,898 |
STOCKHOLDERS’ EQUITY | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (in shares) | 165,867,587 | 165,214,770 |
Treasury stock, shares (in shares) | 20,906,224 | 20,671,710 |
Consolidated Statement of incom
Consolidated Statement of income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
INTEREST AND DIVIDEND INCOME | |||
Loans receivable, including fees | $ 1,503,514 | $ 1,198,440 | $ 1,035,377 |
Investment debt securities | 60,911 | ||
Investment debt and equity securities | 58,670 | 53,399 | |
Resale agreements | 29,328 | 32,095 | 30,547 |
Restricted equity securities | 3,146 | 2,524 | 3,427 |
Interest-bearing cash and deposits with banks | 54,804 | 33,390 | 14,731 |
Total interest and dividend income | 1,651,703 | 1,325,119 | 1,137,481 |
INTEREST EXPENSE | |||
Deposits | 234,752 | 116,391 | 84,224 |
Federal funds purchased and other short-term borrowings | 1,398 | 1,003 | 713 |
FHLB advances | 10,447 | 7,751 | 5,585 |
Repurchase agreements | 12,110 | 9,476 | 9,304 |
Long-term debt | 6,488 | 5,429 | 5,017 |
Total interest expense | 265,195 | 140,050 | 104,843 |
Net interest income before provision for credit losses | 1,386,508 | 1,185,069 | 1,032,638 |
Provision for credit losses | 64,255 | 46,266 | 27,479 |
Net interest income after provision for credit losses | 1,322,253 | 1,138,803 | 1,005,159 |
NONINTEREST INCOME | |||
Branch fees | 39,859 | 40,925 | 39,654 |
Letters of credit fees and foreign exchange income | 56,282 | 44,344 | 47,284 |
Ancillary loan fees and other income | 24,052 | 23,333 | 19,352 |
Wealth management fees | 13,785 | 13,974 | 12,600 |
Derivative fees and other income | 18,980 | 17,671 | 16,781 |
Net gains on sales of loans | 6,590 | 8,870 | 6,085 |
Net gains on sales of available-for-sale debt investment securities | 2,535 | ||
Net gains on sales of available-for-sale debt and equity securities | 8,037 | 10,362 | |
Net gains on sales of fixed assets | 6,683 | 77,388 | 3,178 |
Net gain on sale of business | 31,470 | 3,807 | 0 |
Other fees and operating income | 10,673 | 19,399 | 26,982 |
Total noninterest income | 210,909 | 257,748 | 182,278 |
NONINTEREST EXPENSE | |||
Compensation and employee benefits | 379,622 | 335,291 | 300,115 |
Occupancy and equipment expense | 68,896 | 64,921 | 61,453 |
Deposit insurance premiums and regulatory assessments | 21,211 | 23,735 | 23,279 |
Legal expense | 8,781 | 11,444 | 2,841 |
Data processing | 13,177 | 12,093 | 11,683 |
Consulting expense | 11,579 | 14,922 | 22,742 |
Deposit related expense | 11,244 | 9,938 | 10,394 |
Computer software expense | 22,286 | 18,183 | 12,914 |
Other operating expense | 88,042 | 82,974 | 86,382 |
Amortization of tax credit and other investments | 89,628 | 87,950 | 83,446 |
Total noninterest expense | 714,466 | 661,451 | 615,249 |
INCOME BEFORE INCOME TAXES | 818,696 | 735,100 | 572,188 |
INCOME TAX EXPENSE | 114,995 | 229,476 | 140,511 |
NET INCOME | $ 703,701 | $ 505,624 | $ 431,677 |
EARNINGS PER SHARE (“EPS”) | |||
BASIC (in dollars per share) | $ 4.86 | $ 3.50 | $ 3 |
DILUTED (in dollars per share) | $ 4.81 | $ 3.47 | $ 2.97 |
WEIGHTED-AVERAGE NUMBER OF SHARES OUTSTANDING | |||
BASIC (in shares) | 144,862 | 144,444 | 144,087 |
DILUTED (in shares) | 146,169 | 145,913 | 145,172 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 703,701 | $ 505,624 | $ 431,677 |
Other comprehensive (loss) income, net of tax: | |||
Net changes in unrealized losses on available-for-sale investment securities | (8,652) | (2,126) | (22,628) |
Foreign currency translation adjustments | (5,732) | 12,753 | (10,577) |
Other comprehensive (loss) income | (14,384) | 10,627 | (33,205) |
COMPREHENSIVE INCOME | $ 689,317 | $ 516,251 | $ 398,472 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Common Stock and Additional Paid-In Capital | Retained Earnings | Treasury Stock | AOCI, net of Tax | |
Balance (in shares) at Dec. 31, 2015 | 143,909,233 | ||||||
Beginning balance at Dec. 31, 2015 | $ 3,122,950 | $ 1,701,459 | $ 1,872,594 | $ (436,162) | $ (14,941) | ||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 431,677 | 431,677 | |||||
Other comprehensive income (loss) | (33,205) | (33,205) | |||||
Net activity of common stock pursuant to various stock compensation plans and agreements (in shares) | 258,218 | ||||||
Net activity of common stock pursuant to various stock compensation plans and agreements | 22,914 | 26,139 | (3,225) | ||||
Cash dividends on common stock | $ (116,595) | (116,595) | |||||
Dividends declared per common share (in dollars per share) | $ 0.80 | ||||||
Balance (in shares) at Dec. 31, 2016 | 144,167,451 | ||||||
Ending balance at Dec. 31, 2016 | $ 3,427,741 | 1,727,598 | 2,187,676 | (439,387) | (48,146) | ||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 505,624 | 505,624 | |||||
Other comprehensive income (loss) | 10,627 | 10,627 | |||||
Net activity of common stock pursuant to various stock compensation plans and agreements (in shares) | 375,609 | ||||||
Net activity of common stock pursuant to various stock compensation plans and agreements | 14,957 | 27,897 | (12,940) | ||||
Cash dividends on common stock | $ (116,998) | (116,998) | |||||
Dividends declared per common share (in dollars per share) | $ 0.80 | ||||||
Balance (in shares) at Dec. 31, 2017 | 144,543,060 | ||||||
Ending balance at Dec. 31, 2017 | $ 3,841,951 | 1,755,495 | 2,576,302 | (452,327) | (37,519) | ||
Increase (Decrease) in Stockholders' Equity | |||||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [1] | 0 | 6,656 | (6,656) | |||
Balance (in shares) at Dec. 31, 2017 | 144,543,060 | ||||||
Beginning balance at Dec. 31, 2017 | 3,841,951 | 1,755,495 | 2,576,302 | (452,327) | (37,519) | ||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 703,701 | 703,701 | |||||
Other comprehensive income (loss) | (14,384) | (14,384) | |||||
Net activity of common stock pursuant to various stock compensation plans and agreements (in shares) | 418,303 | ||||||
Net activity of common stock pursuant to various stock compensation plans and agreements | 18,848 | 34,482 | (15,634) | ||||
Cash dividends on common stock | $ (125,982) | (125,982) | |||||
Dividends declared per common share (in dollars per share) | $ 0.86 | ||||||
Balance (in shares) at Dec. 31, 2018 | 144,961,363 | ||||||
Ending balance at Dec. 31, 2018 | $ 4,423,974 | $ 1,789,977 | 3,160,132 | $ (467,961) | (58,174) | ||
Increase (Decrease) in Stockholders' Equity | |||||||
Cumulative effect of change in accounting principle related to marketable equity securities | [2] | $ (160) | $ (545) | $ 385 | |||
[1] | Represents amounts reclassified from AOCI to retained earnings due to the early adoption of ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. | ||||||
[2] | Represents the impact of the adoption of Accounting Standards Update (“ASU”) 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||
Net income | $ 703,701 | $ 505,624 | $ 431,677 | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Depreciation and amortization | 139,499 | 149,822 | 137,578 | |
Accretion of discount and amortization of premiums, net | (20,572) | (7,260) | (26,024) | |
Stock compensation costs | 30,937 | 24,657 | 22,102 | |
Deferred income tax (benefit) expense | (16,470) | 33,856 | 26,966 | |
Provision for credit losses | 64,255 | 46,266 | 27,479 | |
Net gains on sales of loans | (6,590) | (8,870) | (6,085) | |
Net gains on sales of available-for-sale investment securities | (2,535) | |||
Net gains on sales of available-for-sale investment securities | (8,037) | (10,362) | ||
Net gains on sales of fixed assets | (6,683) | (77,388) | (3,178) | |
Net gain on sale of business | (31,470) | (3,807) | 0 | |
Loans held-for-sale: | ||||
Originations and purchases | (20,176) | (20,521) | (18,804) | |
Proceeds from sales and paydowns/payoffs of loans originally classified as held-for-sale | 20,068 | 21,363 | 23,749 | |
Proceeds from distributions received from equity method investees | 3,761 | 3,582 | 4,690 | |
Net change in accrued interest receivable and other assets | (60,791) | 45,354 | 23,205 | |
Net change in other liabilities | 88,070 | (1,965) | 15,354 | |
Other net operating activities | (1,832) | 599 | 1,836 | |
Total adjustments | 179,471 | 197,651 | 218,506 | |
Net cash provided by operating activities | 883,172 | 703,275 | 650,183 | |
Net (increase) decrease in: | ||||
Investments in qualified affordable housing partnerships, tax credit and other investments | (132,605) | (173,630) | (100,514) | |
Interest-bearing deposits with banks | 4,212 | (63,096) | (38,249) | |
Resale agreements: | ||||
Proceeds from paydowns and maturities | 175,000 | 1,250,000 | 1,500,000 | |
Purchases | (160,000) | (600,000) | (1,550,000) | |
Available-for-sale investment securities: | ||||
Proceeds from sales | 364,270 | |||
Proceeds from sales | 832,844 | 1,275,645 | ||
Proceeds from repayments, maturities and redemptions | 742,132 | |||
Proceeds from repayments, maturities and redemptions | 413,593 | 1,503,127 | ||
Purchases | (888,673) | |||
Purchases | (828,604) | (2,396,199) | ||
Loans held-for-investment: | ||||
Proceeds from sales of loans originally classified as held-for-investment | 483,948 | 566,688 | 661,025 | |
Purchases | (597,112) | (534,816) | (1,142,054) | |
Other changes in loans held-for-investment, net | (3,313,382) | (3,514,786) | (1,549,736) | |
Premises and equipment: | ||||
Proceeds from sales | 1,638 | 119,749 | 8,163 | |
Purchases | (13,787) | (13,754) | (12,181) | |
Sales of businesses, net of cash transferred: | ||||
Proceeds | 0 | 3,633 | 0 | |
Payments | 503,687 | 0 | 0 | |
Proceeds from sales of other real estate owned (“OREO”) | 4,484 | 6,999 | 7,408 | |
Proceeds from distributions received from equity method investees | 5,185 | 8,387 | 7,964 | |
Other net investing activities | (4,035) | 19,969 | 25,515 | |
Net cash provided by (used in) investing activities | (3,832,412) | (2,506,824) | (1,800,086) | |
CASH FLOWS FROM FINANCING ACTIVITIES | ||||
Net increase in deposits | 3,903,192 | 2,272,500 | 2,452,870 | |
Net increase (decrease) in short-term borrowings | 61,392 | (61,560) | 62,506 | |
Repayment of FHLB advances | 0 | 0 | (700,000) | |
Repayment of long-term debt | (25,000) | (15,000) | (20,000) | |
Common stock: | ||||
Proceeds from issuance pursuant to various stock compensation plans and agreements | 2,846 | 2,280 | 2,081 | |
Stocks tendered for payment of withholding taxes | (15,634) | (12,940) | (3,225) | |
Cash dividends paid | (125,988) | (116,820) | (115,828) | |
Other net financing activities | 0 | 0 | 1,055 | |
Net cash provided by (used in) by financing activities | 3,800,808 | 2,068,460 | 1,679,459 | |
Effect of exchange rate changes on cash and cash equivalents | (24,783) | 31,178 | (11,940) | |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 826,785 | 296,089 | 517,616 | |
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 2,174,592 | 1,878,503 | 1,360,887 | |
CASH AND CASH EQUIVALENTS, END OF YEAR | 3,001,377 | 2,174,592 | 1,878,503 | |
Cash paid during the year for: | ||||
Interest | 253,026 | 138,766 | 104,251 | |
Income taxes, net | 85,872 | 98,126 | 39,478 | |
Noncash investing and financing activities: | ||||
Loans transferred from held-for-investment to held-for-sale | [1] | 481,593 | 613,088 | 819,100 |
Loans transferred from held-for-sale to held-for-investment | 2,306 | 0 | 4,943 | |
Deposits transferred to branch liability held-for-sale | 0 | 605,111 | 0 | |
Investment security transferred from held-to-maturity to available-for-sale | 0 | 115,615 | 0 | |
Held-to-maturity investment security retained from securitization of loans | 0 | 0 | 160,135 | |
Premises and equipment transferred to branch assets held-for-sale | 0 | 8,043 | 0 | |
Loans transferred to OREO | $ 1,206 | $ 777 | $ 8,083 | |
[1] | December 31, 2017 amount includes loans transferred from held-for-investment to branch assets held-for-sale. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies East West Bancorp, Inc. (referred to herein on an unconsolidated basis as “East West” and on a consolidated basis as the “Company”) is a registered bank holding company that offers a full range of banking services to individuals and businesses through its subsidiary bank, East West Bank and its subsidiaries (“East West Bank” or the “Bank”). The Bank is the Company’s principal asset. As of December 31, 2018 , the Company operates in more than 130 locations in the United States (“U.S.”) and Greater China. In the U.S., the Bank’s corporate headquarters and main administrative offices are located in California, and its branches are located in California, Texas, New York, Washington, Georgia, Massachusetts and Nevada. In Greater China, East West’s presence includes full service branches in Hong Kong , Shanghai , Shantou and Shenzhen , and representative offices in Beijing , Chongqing , Guangzhou , Taipei and Xiamen . Significant Accounting Policies Basis of Presentation — The accounting and reporting policies of the Company conform with the United States Generally Accepted Accounting Principles (“GAAP”), applicable guidelines prescribed by regulatory authorities and general practices in the banking industry. The preparation of the Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the Consolidated Financial Statements, income and expenses during the reporting period, and the related disclosures. Actual results could differ materially from those estimates. Certain items on the Consolidated Financial Statements and notes for the prior years have been reclassified to conform to the 2018 presentation. Principles of Consolidation — The Consolidated Financial Statements include the accounts of East West and its subsidiaries. Intercompany transactions and accounts have been eliminated in consolidation. East West also has six wholly-owned subsidiaries that are statutory business trusts (the “Trusts”). In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, Consolidation, the Trusts are not included on the Consolidated Financial Statements. Cash and Cash Equivalents — Cash and cash equivalents include cash on hand, cash items in transit, cash due from the Federal Reserve Bank and other financial institutions, and federal funds sold with original maturities up to three months. Interest-bearing Deposits with Banks — Interest-bearing deposits with banks include cash placed with other banks with original maturities greater than three months and less than one year. Resale Agreements and Repurchase Agreements — Resale agreements are recorded based on the values at which the securities are acquired. The market values of the underlying securities collateralizing the related receivable of the resale agreements, including accrued interest, are monitored. Additional collateral may be requested by the Company from counterparties or excess collateral may be returned by the Company to counterparties when appropriate. Repurchase agreements are accounted for as collateralized financing transactions and recorded at the values at which the securities are sold. The Company may have to provide additional collateral to counterparties, or counterparties may return excess collateral to the Company, for the repurchase agreements when appropriate. The Company has elected to offset resale and repurchase transactions with the same counterparty on the Consolidated Balance Sheet when it has a legally enforceable master netting agreement and when the transactions are eligible for netting under ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . Securities — The Company’s securities include various debt securities, marketable equity securities and restricted equity securities. Debt securities are recorded on the Consolidated Balance Sheet as of their trade dates. The Company classifies its debt securities as trading securities, available-for-sale or held-to-maturity investment securities based on management’s intention on the date of the purchase. Debt securities purchased for liquidity and investment purpose, as part of asset-liability management and other strategic activities, are reported at fair value as available-for-sale investment securities with net unrealized gains and losses net-of-tax included in AOCI. The specific identification method is used in computing realized gains and losses on available-for-sale investment securities that are sold. Prior to the adoption of ASU 2016-01 on January 1, 2018, Financial Instruments — Overall (Subtopic 825-10) : Recognition and Measurement of Financial Assets and Financial Liabilities , marketable equity securities were classified as available-for-sale investment securities based on management’s intention on the date of the purchase. Upon the adoption of ASU 2016-01 on January 1, 2018, marketable equity securities are recorded in Investments in tax credit and other investments, net , on the Consolidated Balance Sheet at fair value with unrealized gains and losses recorded in earnings. Equity securities without readily determinable fair values are accounted for using the measurement alternative, under which the carrying value of these equity securities is measured at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer. For each reporting period, debt securities classified as either available-for-sale or held-to-maturity investment securities that are in an unrealized loss position are analyzed as part of the Company’s ongoing assessment of other-than-temporary impairment (“OTTI”). In determining whether an impairment is OTTI, the Company considers the severity and duration of the decline in fair value, the length of time expected for recovery, the financial condition of the issuer, changes in the debt securities’ ratings and other qualitative factors, as well as whether the Company either plans to sell the debt security or it is more likely than not that it will be required to sell the debt security before recovery of the amortized cost. When the Company does not intend to sell the impaired debt security and it is not more likely than not that the Company will be required to sell the impaired debt security prior to recovery of the amortized cost basis, the credit component of an OTTI of the impaired debt security is recognized as OTTI loss on the Consolidated Statement of Income and the non-credit component is recognized in other comprehensive income. This applies for both available-for-sale and held-to-maturity investment securities. If the Company intends to sell the impaired debt security or it is more likely than not that the Company will be required to sell the impaired debt security prior to recovery of the amortized cost basis, the full amount of the impairment loss (equal to the difference between the debt security’s amortized cost basis and its fair value at the balance sheet date) is recognized as OTTI loss on the Consolidated Statement of Income. For marketable equity securities recorded at fair value through net income included in Investments in tax credit and other investments, net, on the Consolidated Balance Sheet, the Company is not required to assess whether those securities are impaired. However, for equity securities without readily determinable fair values, the Company makes a qualitative assessment of whether the investment is impaired at each reporting date. If such qualitative assessment indicates that the investment is impaired, the Company estimates the investment’s fair value in accordance with the principles of ASC 820, Fair Value Measurement s. If the fair value is less than the investment’s carrying value, the Company recognizes an impairment loss on the Consolidated Statement of Income equal to the difference between the carrying value and fair value. Restricted equity securities include Federal Reserve Bank and FHLB stock. The Federal Reserve Bank stock is required by law to be held as a condition of membership in the Federal Reserve System. The FHLB stock is required to obtain advances from the FHLB. They are carried at cost as they do not have a readily determinable fair value. Restricted equity securities are not within the scope of ASU 2016-01. Loans Held-for-Sale — Loans held-for-sale are carried at lower of cost or fair value. At the time of commitment to originate or purchase a loan, the loan is determined to be held-for-investment if it is the Company’s intent to hold the loan to maturity or for the “foreseeable future,” subject to periodic review under the Company’s evaluation processes, including asset/liability and credit risk management. When the Company subsequently changes its intent to hold certain loans, the loans are transferred from held-for-investment to held-for-sale at the lower of cost or fair value. Any write-down in the carrying amount of the loan at the date of transfer is recorded as a charge-off. Loan origination fees on loans held-for-sale, net of certain costs in processing and closing the loans, are deferred until the time of sale and are included in the periodic determination of the lower of cost or fair value adjustments and/or the gain or loss recognized at the time of sale. If the loan or a portion of the loan cannot be sold, it is subsequently transferred back to the loans held-for-investment portfolio from the loans held-for-sale portfolio at the lower of cost or fair value on the transfer date. A valuation allowance is established if the fair value of such loans is lower than their cost, with a corresponding charge to noninterest income. Loans Held-for-Investment — Loans receivable that the Company has the intent and ability to hold for the foreseeable future or until maturity are stated at their outstanding principal, reduced by an allowance for loan losses and net of deferred loan fees or costs on originated loans, unearned fees, unamortized premiums or unaccreted discounts on purchased loans. Nonrefundable fees and direct costs associated with the origination or purchase of loans are deferred and netted against outstanding loan balances. The deferred net loan fees and costs are recognized in interest income as an adjustment to yield over the loan term using the effective interest method or straight-line method. Discounts/premiums on purchased loans are accreted/amortized to interest income using the effective interest method or straight-line method over the remaining period to contractual maturity. Interest on loans is calculated using the simple-interest method on daily balances of the principal amounts outstanding. Generally, loans are placed on nonaccrual status when they become 90 days past due. Loans are considered past due when contractually required principal or interest payments have not been made on the due dates. Loans are also placed on nonaccrual status when management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that full collection of principal or interest becomes uncertain, regardless of the length of past due status. Once a loan is placed on nonaccrual status, interest accrual is discontinued and all unpaid accrued interest is reversed against interest income. Interest payments received on nonaccrual loans are reflected as a reduction of principal and not as interest income. A loan is returned to accrual status when the borrower has demonstrated a satisfactory payment trend subject to management’s assessment of the borrower’s ability to repay the loan. Troubled Debt Restructurings — A loan is classified as a troubled debt restructuring (“TDR”) when the Company, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that the Company would not otherwise consider. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date with a stated interest rate lower than the current market rate or note splits referred to as A/B note restructurings. Loans with contractual terms that have been modified as a TDR and are current at the time of restructuring may remain on accrual status if there is demonstrated performance prior to the restructuring and payment in full under the restructured terms is expected. Otherwise, the loans are placed on nonaccrual status and are reported as nonperforming, until the borrower demonstrates a sustained period of performance, generally six months, and the ability to repay the loan according to the contractual terms. If accruing TDRs cease to perform in accordance with their modified contractual terms, they are placed on nonaccrual status and reported as nonperforming TDRs. TDRs are included in the impaired loan quarterly valuation allowance process. Refer to Impaired Loans below for a complete discussion. Impaired Loans — The Company’s loans are grouped into heterogeneous and homogeneous categories. Impaired loans are identified and evaluated for impairment on an individual basis. The Company’s impaired loans include predominantly non-purchased credit-impaired (“PCI”) loans held-for-investment on nonaccrual status and any non-PCI loans modified as a TDR, designated either as performing or nonperforming. A loan is considered impaired when, based on current information and events, it is probable that the Company will not be able to collect all scheduled payments of principal or interest due in accordance with the original contractual terms of the loan agreement. Factors considered by management in determining and measuring loan impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of and the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impaired loans are measured based on the present value of expected future cash flows discounted at a designated discount rate or, as appropriate, at the loan’s observable market price or the fair value of the collateral, if the loan is collateral dependent, less cost to sell. When the value of an impaired loan is less than the recorded investment and the loan is classified as nonperforming and uncollectible, the deficiency is charged off against the allowance for loan losses. If the loan is a performing TDR, the deficiency is included in the specific reserves of the allowance for loan losses, as appropriate. Payments received on impaired loans classified as nonperforming are not recognized in interest income, but are applied as a reduction to the principal outstanding. Allowance for Credit Losses — The allowance for credit losses consists of the allowance for loan losses and the allowance for unfunded credit reserves. Unfunded credit reserves include reserves provided for unfunded lending commitments, standby letters of credit (“SBLCs”) and recourse obligations for loans sold. The allowance for loan losses is established as management’s estimate of probable losses inherent in the Company’s lending activities. The allowance for loan losses is increased by the provision for loan losses and decreased by net charge-offs when management believes the uncollectability of a loan is probable. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated quarterly by management based on periodic review of the collectibility of the loans. The allowance for loan losses on non-PCI loans consists of specific reserves and general reserves. The Company’s non-PCI loans fall into heterogeneous and homogeneous categories. Impaired loans are subject to specific reserves. Non-impaired loans are evaluated as part of the general reserve. General reserves are calculated by utilizing both quantitative and qualitative factors. There are different qualitative risks for the loans in each portfolio segment. Predominant risk characteristics of the commercial real estate (“CRE”), multifamily, single-family residential loans and home equity lines of credit (“HELOC”) loans consider the collateral and geographic locations of the properties collateralizing the loans. Predominant risk characteristics of the commercial and industrial (“C&I”) loans include the cash flows, debt service and collateral of the borrowers and guarantors, as well as the economic and market conditions. The Company also maintains an allowance for loan losses on PCI loans when there is deterioration in credit quality subsequent to acquisition. Based on the Company’s estimates of cash flows expected to be collected, the Company establishes an allowance for the PCI loans, with a charge to Provision for credit losses on the Consolidated Statement of Income. When a loan is determined uncollectible, it is the Company’s policy to promptly charge off the difference between the recorded investment balance of the loan and the fair value of the collateral or the discounted value of expected cash flows. Recoveries are recorded when payment is received on loans that were previously charged off through the allowance for loan losses. Allocation of a portion of the allowance to one segment of the loan portfolio does not preclude its availability to absorb losses in other segments. The allowance for unfunded credit reserves is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to unfunded credit facilities. The determination of the adequacy of the allowance is based on periodic evaluations of the unfunded credit facilities, including an assessment of the probability of commitment usage, credit risk factors for loans outstanding, and the terms and expiration dates of the unfunded credit facilities. The allowance for loan losses is reported separately on the Consolidated Balance Sheet, whereas the allowance for unfunded credit reserves is included in Accrued expenses and other liabilities on the Consolidated Balance Sheet. The Provision for credit losses is reported on the Consolidated Statement of Income. Purchased Credit-Impaired Loans — Acquired loans are recorded at fair value as of acquisition date in accordance with ASC 805, Business Combinations . A purchased loan is deemed to be credit impaired when there is evidence of credit deterioration since its origination and it is probable at the acquisition date that the Company would be unable to collect all contractually required payments and is accounted for under ASC 310-30, Receivables — Loans and Debt Securities Acquired with Deteriorated Credit Quality . Under ASC 310-30, loans are recorded at fair value at acquisition date, factoring in credit losses expected to be incurred over the life of the loan. Accordingly, an allowance for loan losses is not carried over or recorded as of the acquisition date. The amount of expected cash flows over the initial investment in the loan represents the “accretable yield,” which is recognized as interest income on a level yield basis over the life of the loan. The excess of total contractual cash flows over the cash flows expected to be received at origination is deemed the “nonaccretable difference.” In estimating the nonaccretable difference, the Company (a) calculates the contractual amount and timing of undiscounted principal and interest payments (the “undiscounted contractual cash flows”) and (b) estimates the amount and timing of undiscounted expected principal and interest payments (the “undiscounted expected cash flows”). The cash flows expected over the life of the pools are estimated by an internal cash flows model that projects cash flows and calculates the carrying values of the pools, book yields, effective interest income and impairment, if any, based on pool level events. Assumptions such as cumulative loss rates, loss curves and prepayment speeds are utilized to calculate the expected cash flows. Subsequent to the acquisition date, based on the quarterly evaluations of remaining cash flows from principal and interest payments expected to be collected, any increases in expected cash flows over the expected cash flows at purchase date in excess of fair value that are significant and probable are adjusted through the accretable yield on a prospective basis. Any subsequent decreases in expected cash flows over the expected cash flows at purchase date that are probable are recognized by a charge to the provision for loan losses. Any disposals of loans, including sales of loans, payments in full or foreclosures, result in the removal of the loan from the ASC 310-30 portfolio at the carrying amount. Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net — The Company records the investments in qualified affordable housing partnerships, net, using the proportional amortization method. Under the proportional amortization method, the Company amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received, and recognizes the amortization in Income tax expenses on the Consolidated Statement of Income . The Company records investments in tax credit and other investments using either the equity method or cost method of accounting. The tax credits are recognized on the Consolidated Financial Statements to the extent they are utilized on the Company’s income tax returns in the year the credit arises under the flow-through method of accounting. The investments are reviewed for impairment on an annual basis or on an interim basis, if an event occurs that would trigger potential impairment. As discussed under the “Securities” paragraph in the same Note, following the adoption of ASU 2016-01 on January 1, 2018, equity securities with readily determinable fair values were included in Investments in tax credit and other investments, net , on the Consolidated Balance Sheet. These equity securities are Community Reinvestment Act (“CRA”) investments and are measured at fair value with unrealized gains and losses recorded in earnings. Premises and Equipment, Net — The Company’s premises and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are computed based on the straight-line method over the estimated useful lives of the various classes of assets. The ranges of estimated useful lives for the principal classes of assets are as follows: Premises and Equipment Useful Lives Buildings and building improvements 25 years Furniture, fixtures and equipment 3 to 7 years Leasehold improvements Term of lease or useful life, whichever is shorter The Company reviews its long-lived assets for impairment annually, or when events or changes in circumstances indicate that the carrying amounts of these assets may not be recoverable. An asset is considered impaired when the fair value, which is the expected undiscounted cash flows over the remaining useful life, is less than the net book value. The excess of the net book value over its fair value is charged as impairment loss to noninterest expense. Goodwill and Other Intangible Assets — Goodwill represents the excess of the purchase price over the fair value of net assets acquired in an acquisition. Goodwill is not amortized, but is tested for impairment on an annual basis or more frequently as events occur or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value. Other intangible assets are primarily comprised of core deposit intangibles. Core deposit intangibles, which represent the intangible value of depositor relationships resulting from deposit liabilities assumed in various acquisitions, are amortized over the projected useful lives of the deposits, which is typically 8 to 15 years. Core deposit intangibles are tested for impairment on an annual basis, or more frequently as events occur or current circumstances and conditions warrant. Impairment on goodwill and core deposit intangibles is recognized by writing down the asset as a charge to noninterest expense to the extent that the carrying value exceeds the estimated fair value. Derivatives — As part of its asset and liability management strategy, the Company uses derivative financial instruments to mitigate exposure to interest rate and foreign currency risks, and to assist customers with their risk management objectives. Derivatives utilized by the Company include primarily swaps, forwards and option contracts. Derivative instruments are included in Other assets or Accrued expense and other liabilities on the Consolidated Balance Sheet at fair value. The related cash flows are recognized on the Cash flows from operating activities section on the Consolidated Statement of Cash Flows. The Company uses its accounting hedges based on the exposure being hedged as either fair value hedges or hedges of the net investments in certain foreign operations. Changes in fair value of derivatives designated as fair value hedges are reported in Interest expense on the Consolidated Statement of Income. Changes in fair value of derivatives designated as hedges of the net investments in foreign operations are recorded as a component of AOCI. Prior to the adoption of ASU 2017-12 on January 1, 2018, changes in fair value of derivatives designated as hedges of the net investments in foreign operations, to the extent effective, are recorded as a component of AOCI and the changes in fair value attributable to the ineffective portion of the hedging instrument is recognized immediately in Noninterest income on the Consolidated Statement of Income. For all other derivatives, changes in fair value are recognized on the Consolidated Statement of Income. All derivatives designated as fair value hedges and hedges of the net investments in certain foreign operations are linked to specific hedged items or to groups of specific assets and liabilities on the Consolidated Balance Sheet. To qualify as an accounting hedge under the hedge accounting rules (versus an economic hedge where hedge accounting is not sought), a derivative must be highly effective in offsetting the risk designated as being hedged. The Company formally documents its hedging relationships at inception, including identification of the hedging instruments and the hedged items, as well as its risk management objectives and strategies for undertaking the hedge transaction at the time the derivative contract is executed. Subsequent to inception, on a quarterly basis, the Company assesses whether the derivatives used in hedging transactions are highly effective in offsetting changes in the fair value of the hedged items. Retroactive effectiveness is also assessed, as well as the continued expectation that the hedge will remain effective prospectively. The Company discontinues hedge accounting prospectively when (i) a derivative is no longer highly effective in offsetting changes in fair value; (ii) a derivative expires, or is sold, terminated or exercised, or (iii) the Company determines that designation of a derivative as a hedge is no longer appropriate. If a fair value hedge is discontinued, the derivative will continue to be recorded on the Consolidated Balance Sheet at fair value with changes in fair value recognized on the Consolidated Statement of Income. When the hedged net investment is either sold or substantially liquidated, changes in the fair value of the derivatives are reclassified out of AOCI into Letter of credit fees and foreign exchange income on the Consolidated Statement of Income. The Company also offers various interest rate, foreign currency, and energy commodity derivative products to customers, and enters into derivative transactions in due course. These transactions are not linked to specific assets or liabilities on the Consolidated Balance Sheet or to forecasted transactions in a hedging relationship and, therefore, do not qualify for hedge accounting. The contracts are recorded at fair value with changes in fair value recorded on the Consolidated Statement of Income. The Company holds a portfolio of warrants to purchase equity securities from both public and private companies that were obtained as part of the loan origination process. The warrants are accounted for as derivatives and recorded at fair value included in Other assets on the Consolidated Balance Sheet with changes in fair value recorded on the Consolidated Statement of Income. The Company is exposed to counterparty credit risk, which is the risk that counterparties to the derivative contracts do not perform as expected. If a counterparty fails to perform, our counterparty credit risk is equal to the amount reported as a derivative asset on our balance sheet. The Company uses master netting arrangements to mitigate counterparty credit risk in derivative transactions. To the extent the derivatives are subject to master netting arrangements, the Company takes into account the impact of master netting arrangements that allow the Company to settle all derivative contracts executed with the same counterparty on a net basis, and to offset the net derivative position with the related cash collateral and securities. In the fourth quarter of 2018, the Company elected to offset derivative transactions with the same counterparty on the Consolidated Balance Sheet when a derivative transaction has a legally enforceable master netting arrangement and when it is eligible for netting under ASC 210-20-45-1, Balance Sheet Offsetting: Netting Derivative Positions on Balance Sheet. Derivative balances and related cash collateral are presented net on the Consolidated Balance Sheet. Refer to Change in Accounting Policy section within this note for additional discussion . In addition, the Company applied the Settlement to Market treatment for the cash collateralizing our interest rate and commodity contracts with certain centrally cleared counterparties. As a result, derivative balances with these counterparties are considered settled by the collateral. Fair Value — Fair value is defined as the price that would be received to sell an asset or the price that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date and, in many cases, requires management to make a number of significant judgments. Based on the observable inputs used in the valuation techniques, the Company classifies its assets and liabilities measured and disclosed at fair value in accordance with a three-level hierarchy (i.e., Level 1, Level 2 and Level 3) established under ASC 820, Fair Value Measurements . The Company records certain financial instruments, such as available-for-sale investment securities, and derivative assets and liabilities, at fair value on a recurring basis. Certain financial instruments, such as impaired loans and loans held-for-sale, are not carried at fair value each period but may require nonrecurring fair value adjustments due to lower-of-cost-or-market accounting or write-downs of individual assets. For additional information on the fair value, see Note 3 — Fair Value Measurement and Fair Value of Financial Instruments to the Consolidated Financial Statements. Stock-Based Compensation — The Company issues stock-based awards to certain employees, officers and directors, and accounts for the related costs in accordance with the provisions of ASC 505, Equity and ASC 718, Compensation — Stock Compensation . Stock-based compensation cost is measured at the grant date based on the fair value of the awards and expensed over the employee’s requisite service period. The Company grants restricted stock units (“RSUs”), which include service conditions for vesting. Additionally, some of the Company’s RSUs contain performance goals and market conditions that are required to be met in order for the awards to vest. RSUs vest ratably over three years or cliff vest after three or five years of continued employment from the date of the grant. Compensation expense is amortized on a straight-line basis over the requisite service peri |
Dispositions and Held-for-Sale
Dispositions and Held-for-Sale | 12 Months Ended |
Dec. 31, 2018 | |
Dispositions And Held-For-Sale Classification [Abstract] | |
Dispositions and Held-for-Sale | Dispositions and Held-for-Sale In the first quarter of 2017, the Company completed the sale and leaseback of a commercial property in San Francisco, California for cash consideration of $120.6 million and entered into a leaseback with the buyer for part of the property, consisting of a retail branch and office facilities. The net book value of the property was $31.6 million at the time of the sale, resulting in a pre-tax gain of $85.4 million after considering $3.6 million in selling costs. As the leaseback is an operating lease, $71.7 million of the gain was recognized on the closing date, and $13.7 million was deferred and will be recognized over the term of the lease agreement. In the third quarter of 2017, the Company sold the insurance brokerage business of its subsidiary, East West Insurance Services, Inc. (“EWIS”), for $4.3 million , and recorded a pre-tax gain of $3.8 million . EWIS remains a subsidiary of East West and continues to maintain its insurance broker license. The Company reports a business as held-for-sale when management has approved or received approval to sell the business and is committed to a formal plan, the business is available for immediate sale, the business is being actively marketed, the sale is anticipated to occur during the next 12 months and certain other specific criteria are met. A business classified as held-for-sale is recorded at the lower of its carrying amount or estimated fair value less costs to sell. If the carrying amount of the business exceeds its estimated fair value, a loss is recognized. Depreciation and amortization expense is not recorded with respect to the assets of a business after it is classified as held-for-sale. On November 11, 2017, the Bank entered into a Purchase and Assumption Agreement to sell all of its eight Desert Community Bank (“DCB”) branches located in the High Desert area of Southern California to Flagstar Bank, a wholly-owned subsidiary of Flagstar Bancorp, Inc. The Company determined that this transaction met the criteria for held-for-sale as of December 31, 2017 . Branch assets held-for-sale as of December 31, 2017 were largely comprised of $78.1 million in loans held-for-sale and $8.0 million in premises and equipment, net. Branch liability held-for-sale as of December 31, 2017 was comprised of $605.1 million in deposits. The sale of the Bank’s eight DCB branches was completed on March 17, 2018. The assets and liability of the DCB branches that were sold in this transaction primarily consisted of $613.7 million of deposits, $59.1 million of loans, $9.0 million of cash and cash equivalents and $7.9 million of premises and equipment. The transaction resulted in a net cash payment of $499.9 million by the Company to Flagstar Bank. After transaction costs, the sale resulted in a pre-tax gain of $31.5 million during the year ended December 31, 2018 , which was reported as Net gain on sale of business on the Consolidated Statement of Income. |
Fair Value Measurement and Fair
Fair Value Measurement and Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement and Fair Value of Financial Instruments | Fair Value Measurement and Fair Value of Financial Instruments Fair Value Determination Fair value is defined as the price that would be received to sell an asset or the price that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining the fair value of financial instruments, the Company uses various methods including market and income approaches. Based on these approaches, the Company utilizes certain assumptions that market participants would use in pricing an asset or a liability. These inputs can be readily observable, market corroborated or generally unobservable. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy noted below is based on the quality and reliability of the information used to determine fair value. The fair value hierarchy gives the highest priority to quoted prices available in active markets and the lowest priority to data lacking transparency. The fair value of the Company’s assets and liabilities is classified and disclosed in one of the following three categories: • Level 1 — Valuation is based on quoted prices for identical instruments traded in active markets. • Level 2 — Valuation is based on quoted prices for similar instruments traded in active markets; quoted prices for identical or similar instruments traded in markets that are not active; and model-derived valuations whose inputs are observable and can be corroborated by market data. • Level 3 — Valuation is based on significant unobservable inputs for determining the fair value of assets or liabilities. These significant unobservable inputs reflect assumptions that market participants may use in pricing the assets or liabilities. The classification of assets and liabilities within the hierarchy is based on whether inputs to the valuation methodology used are observable or unobservable, and the significance of those inputs in the fair value measurement. The Company’s assets and liabilities are classified in their entirety based on the lowest level of input that is significant to their fair value measurements. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following section describes the valuation methodologies used by the Company to measure financial assets and liabilities on a recurring basis, as well as the general classification of these instruments pursuant to the fair value hierarchy. Available-for-Sale Investment Securities — When available, the Company uses quoted market prices to determine the fair value of available-for-sale investment securities, which are classified as Level 1. Level 1 available-for-sale investment securities are primarily comprised of U.S. Treasury securities. The fair value of other available-for-sale investment securities is generally determined by independent external pricing service providers who have experience in valuing these securities or by the average quoted market prices obtained from independent external brokers. The valuations provided by the third-party pricing service providers are based on observable market inputs, which include benchmark yields, reported trades, issuer spreads, benchmark securities, bids, offers, prepayment expectation and reference data obtained from market research publications. Inputs used by the third-party pricing service in valuing collateralized mortgage obligations and other securitization structures also include new issue data, monthly payment information, whole loan collateral performance, tranche evaluation, and “To Be Announced” prices. In valuations of securities issued by state and political subdivisions, inputs used by the third-party pricing service providers also include material event notices. On a monthly basis, the Company validates the pricing provided by the third-party pricing service to ensure the fair value determination is consistent with the applicable accounting guidance and that the assets are properly classified in the fair value hierarchy. To perform this validation, the Company evaluates the fair values of securities by comparing the fair values provided by the third-party pricing service to prices from other available independent sources for the same securities. When variances in prices are identified, the Company further compares inputs used by different sources to ascertain the reliability of these sources. On a quarterly basis, the Company reviews documentation received from the third-party pricing service regarding the valuation inputs and methodology used for each category of securities. The third-party pricing service providers may not provide pricing for all securities. Under such circumstances, the Company requests market quotes from various independent external brokers and utilizes the average market quotes. These are viewed as observable inputs in the current marketplace and are classified as Level 2. The Company periodically communicates with the independent external brokers to validate their pricing methodology. Information such as source of pricing, pricing assumptions, data inputs and valuation technique are requested and reviewed. Equity Securities — Equity securities were comprised of mutual funds as of both December 31, 2018 and 2017 . The Company uses Net Asset Value (“NAV”) information to determine the fair value of these equity securities. When NAV is available periodically and the equity securities can be put back to the transfer agents at the publicly available NAV, the fair value of the equity securities is classified as Level 1. When NAV is available periodically but the equity securities may not be readily marketable at its periodic NAV in the secondary market, the fair value of these equity securities is classified as Level 2. Interest Rate Contracts — The Company enters into interest rate swap and option contracts with its borrowers to lock in attractive intermediate and long-term interest rates, resulting in the customer obtaining a synthetic fixed rate loan. To economically hedge against the interest rate risks in the products offered to its customers, the Company enters into mirrored offsetting interest rate contracts with third-party financial institutions. The Company also enters into interest rate swap contracts with institutional counterparties to hedge against certificates of deposit issued. This product allows the Company to lock in attractive floating rate funding. The fair value of the interest rate swaps is determined using the market standard methodology of netting the discounted future fixed cash payments (or receipts) and the discounted expected variable cash receipts (or payments). The fair value of the interest rate options, which consist of floors and caps, is determined using the market standard methodology of discounting the future expected cash receipts that would occur if variable interest rates fall below (rise above) the strike rate of the floors (caps). In addition, to comply with the provisions of ASC 820, Fair Value Measurement , the Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements of its derivatives. The credit valuation adjustments associated with the Company’s derivatives utilize model-derived credit spreads, which are Level 3 inputs. As of December 31, 2018 and 2017 , the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of these interest rate contracts and has determined that the credit valuation adjustments are not significant to the overall valuation of its derivative portfolios. As a result, the Company classifies these derivative instruments as Level 2 due to the observable nature of the significant inputs utilized. Foreign Exchange Contracts — The Company enters into foreign exchange contracts to accommodate the business needs of its customers. For a majority of the foreign exchange contracts entered into with its customers, the Company entered into offsetting foreign exchange contracts with third-party financial institutions to manage its exposure. The Company also utilizes foreign exchange contracts that are not designated as hedging instruments to mitigate the economic effect of fluctuations in certain foreign currency on-balance sheet assets and liabilities, primarily foreign currency denominated deposits that it offers to its customers. The fair value is determined at each reporting period based on changes in the foreign exchange rates. These are over-the-counter contracts where quoted market prices are not readily available. Valuation is measured using conventional valuation methodologies with observable market data. Due to the short-term nature of the majority of these contracts, the counterparties’ credit risks are considered nominal and result in no adjustments to the valuation of the foreign exchange contracts. Due to the observable nature of the inputs used in deriving the fair value of these contracts, the valuation of foreign exchange contracts are classified as Level 2. During the year ended December 31, 2018 , the Company entered into foreign currency swap contracts to hedge its net investment in its China subsidiary, East West Bank (China) Limited, a non-USD functional currency subsidiary in China. These foreign currency swap contracts were designated as net investment hedges. A s of December 31, 2017 , foreign exchange forward contracts were used to economically hedge the Company’s net investment in East West Bank (China) Limited. The fair value of foreign currency contracts is valued by comparing the contracted foreign exchange rate to the current market foreign exchange rate. Key inputs of the current market exchange rate include spot rates and forward rates of the contractual currencies. Foreign exchange forward curves are used to determine which forward rate pertains to a specific maturity. Due to the observable nature of the inputs used in deriving the estimated fair value, these instruments are classified as Level 2. Credit Contracts — The Company may periodically enter into credit risk participation agreement (“RPA”) contracts to manage the credit exposure on interest rate contracts associated with syndicated loans. The Company may enter into protection sold or protection purchased RPAs with institutional counterparties. The fair value of RPAs is calculated by determining the total expected asset or liability exposure of the derivatives to the borrowers and applying the borrowers’ credit spread to that exposure. Total expected exposure incorporates both the current and potential future exposure of the derivatives, derived from using observable inputs, such as yield curves and volatilities. The majority of the inputs used to value the RPAs are observable. Accordingly, RPAs fall within Level 2. Equity Contracts — The Company obtained equity warrants to purchase preferred and common stock of technology and life sciences companies, as part of the loan origination process. As of December 31, 2018 and 2017 , the warrants included on the Consolidated Financial Statements were from both public and private companies. The Company valued these warrants based on the Black-Scholes option pricing model. For equity warrants from public companies, the model uses the underlying stock price, stated strike price, warrant expiration date, risk-free interest rate based on a duration-matched U.S. Treasury rate and market-observable company-specific option volatility as inputs to value the warrants. Due to the observable nature of the inputs used in deriving the estimated fair value, warrants from public companies are classified as Level 2. For warrants from private companies, the model uses inputs such as the offering price observed in the most recent round of funding, stated strike price, warrant expiration date, risk-free interest rate based on duration-matched U.S. Treasury rate and option volatility. The Company applies proxy volatilities based on the industry sectors of the private companies. The model values are then adjusted for a general lack of liquidity due to the private nature of the underlying companies. Due to the unobservable nature of the option volatility and liquidity discount assumptions used in deriving the estimated fair value, warrants from private companies are classified as Level 3. Since both option volatility and liquidity discount assumptions are subject to management judgment, measurement uncertainty is inherent in the valuation of private companies’ equity warrants. Given that the Company holds long positions in all equity warrants, an increase in volatility assumption would generally result in an increase in fair value measurement. A higher liquidity discount would result in a decrease in fair value measurement. On a quarterly basis, the changes in the fair value of warrants from private companies are reviewed for reasonableness, and a measurement uncertainty analysis on the option volatility and liquidity discount assumptions is performed. Commodity Contracts — In 2018, the Company entered into energy commodity contracts in the form of swaps and options with its commercial loan customers to allow them to hedge against the risk of fluctuation in energy commodity prices. The fair value of the commodity option contracts is determined using the Black’s model and assumptions that include expectations of future commodity price and volatility. The future commodity contract price is derived from observable inputs such as the market price of the commodity. Commodity swaps are structured as an exchange of fixed cash flows for floating cash flows. The fixed cash flows are predetermined based on the known volumes and fixed price as specified in the swap agreement. The floating cash flows are correlated with the change of forward commodity prices, which is derived from market corroborated futures settlement prices. The fair value of the commodity swaps is determined using the market standard methodology of netting the discounted future fixed cash payments (or receipts) and the discounted expected variable cash receipts (or payments) based on the market prices of the commodity. As a result, the Company classifies these derivative instruments as Level 2 due to the observable nature of the significant inputs utilized. The following tables present financial assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2018 and 2017 : ($ in thousands) Assets and Liabilities Measured at Fair Value on a Recurring Basis Quoted Prices in Significant Significant Total Fair Value Available-for-sale investment securities: U.S. Treasury securities $ 564,815 $ — $ — $ 564,815 U.S. government agency and U.S. government sponsored enterprise debt securities — 217,173 — 217,173 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities — 408,603 — 408,603 Residential mortgage-backed securities — 946,693 — 946,693 Municipal securities — 82,020 — 82,020 Non-agency mortgage-backed securities: Commercial mortgage-backed securities Investment grade — 26,052 — 26,052 Residential mortgage-backed securities Investment grade — 9,931 — 9,931 Corporate debt securities: Investment grade — 10,869 — 10,869 Foreign bonds: Investment grade — 463,048 — 463,048 Asset-backed securities: Investment grade — 12,643 — 12,643 Total available-for-sale investment securities $ 564,815 $ 2,177,032 $ — $ 2,741,847 Investments in tax credit and other investments: Equity securities with readily determinable fair value (1) $ 20,678 $ 10,531 $ — $ 31,209 Total investments in tax credit and other investments $ 20,678 $ 10,531 $ — $ 31,209 (1) Equity securities with readily determinable fair value were comprised of mutual funds as of December 31, 2018 . Assets and Liabilities Measured at Fair Value on a Recurring Basis ($ in thousands) Quoted Prices in Significant Significant Total Fair Value Derivative assets: Interest rate contracts $ — $ 69,818 $ — $ 69,818 Foreign exchange contracts — 21,624 — 21,624 Credit contracts — 1 — 1 Equity contracts — 1,278 673 1,951 Commodity contracts — 14,422 — 14,422 Gross derivative assets $ — $ 107,143 $ 673 $ 107,816 Netting adjustments (2) $ — $ (45,146 ) $ — $ (45,146 ) Net derivative assets $ — $ 61,997 $ 673 $ 62,670 Derivative liabilities: Interest rate contracts $ — $ 75,133 $ — $ 75,133 Foreign exchange contracts — 19,940 — 19,940 Credit contracts — 164 — 164 Commodity contracts — 23,068 — 23,068 Gross derivative liabilities $ — $ 118,305 $ — $ 118,305 Netting adjustments (2) $ — $ (38,402 ) $ — $ (38,402 ) Net derivative liabilities $ — $ 79,903 $ — $ 79,903 (2) Represents balance sheet netting of derivative assets and liabilities and related cash collateral under master netting agreements or similar agreements. See Note 6 — Derivatives to the Consolidated Financial Statements for additional information. ($ in thousands) Assets and Liabilities Measured at Fair Value on a Recurring Basis Quoted Prices in Significant Significant Total Fair Value Available-for-sale investment securities: U.S. Treasury securities $ 640,280 $ — $ — $ 640,280 U.S. government agency and U.S. government sponsored enterprise debt securities — 203,392 — 203,392 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities — 318,957 — 318,957 Residential mortgage-backed securities — 1,190,271 — 1,190,271 Municipal securities — 99,982 — 99,982 Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade — 9,117 — 9,117 Corporate debt securities: Investment grade — 37,003 — 37,003 Foreign bonds: Investment grade — 486,408 — 486,408 Other securities 20,735 10,607 — 31,342 Total available-for-sale investment securities $ 661,015 $ 2,355,737 $ — $ 3,016,752 Derivative assets: Interest rate contracts $ — $ 59,564 $ — $ 59,564 Foreign exchange contracts — 5,840 — 5,840 Credit contracts — 1 — 1 Equity contracts — 993 679 1,672 Gross derivative assets $ — $ 66,398 $ 679 $ 67,077 Netting adjustments (1) $ — $ (28,686 ) $ — $ (28,686 ) Net derivative assets $ — $ 37,712 $ 679 $ 38,391 Derivative liabilities: Interest rate contracts $ — $ 65,660 $ — $ 65,660 Foreign exchange contracts — 10,170 — 10,170 Credit contracts — 8 — 8 Gross derivative liabilities $ — $ 75,838 $ — $ 75,838 Netting adjustments (1) $ — $ (31,342 ) $ — $ (31,342 ) Net derivative liabilities $ — $ 44,496 $ — $ 44,496 (1) Represents balance sheet netting of derivative assets and liabilities and related cash collateral under master netting agreements or similar agreements. See Note 6 — Derivatives to the Consolidated Financial Statements for additional information. At each reporting period, all assets and liabilities for which the fair value measurement is based on significant unobservable inputs are classified as Level 3. There were no assets or liabilities measured using significant unobservable inputs (Level 3) on a recurring basis as of and during the year ended December 31, 2016 . As of December 31, 2018 and 2017 , the only assets measured on a recurring basis that were classified as Level 3 were equity warrants issued by private companies. The following table presents a reconciliation of the beginning and ending balances of these warrants for the years ended December 31, 2018 and 2017 : ($ in thousands) Year Ended December 31, 2018 2017 Equity Warrants Other Securities Equity Warrants Beginning balance $ 679 $ — $ — Transfer of investment security from held-to-maturity to available-for-sale — 115,615 — Total gains included in earnings (1) 162 1,156 — Issuances, sales and settlements: Issuances 65 — 679 Sales — (116,771 ) — Settlements (233 ) — — Ending balance $ 673 $ — $ 679 (1) Includes unrealized gains of $225 thousand for the year ended December 31, 2018 . There were no unrealized gains (losses) for the year ended December 31, 2017. Net realized/unrealized gains of equity warrants are included in Ancillary loan fees and other income on the Consolidated Statement of Income. Net realized gains of other securities are included in Net gains on sales of available-for-sale investment securities on the Consolidated Statement of Income. The following table presents quantitative information about the significant unobservable inputs used in the valuation of assets measured on a recurring basis classified as Level 3 as of December 31, 2018 . The significant unobservable inputs presented in the table below are those that the Company considers significant to the fair value of the Level 3 assets. The Company considers unobservable inputs to be significant if, by their exclusion, the fair value of the Level 3 assets would be impacted by a predetermined percentage change. ($ in thousands) Fair Value Measurements (Level 3) Valuation Technique Unobservable Inputs Range of Weighted- Average (1) Derivative assets: Equity warrants $ 673 Black-Scholes option pricing model Volatility 49% — 52% 51% Liquidity discount 47% 47% (1) Weighted-average is calculated based on fair value of equity warrants as of December 31, 2018 . Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis From time to time, the Company may be required to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. The adjustments to fair value generally require the assets to be recorded at the lower of cost or fair value, or assessed for impairment. Assets measured at fair value on a nonrecurring basis include certain non-PCI loans that are impaired, OREO and loans held-for-sale. These fair value adjustments result from impairment on certain non-PCI loans, application of fair value less costs to sell on OREO, or application of lower of cost or fair value on loans held-for-sale. Non-PCI Impaired Loans — The Company typically adjusts the carrying amount of impaired loans when there is evidence of probable loss and when the expected fair value of the loan is less than its carrying amount. Impaired loans with specific reserves are classified as Level 3 assets. The following two methods are used to derive the fair value of impaired loans: • Discounted cash flows valuation techniques generally consist of developing an expected stream of cash flows over the life of the loans and then valuing the loans at the present value by discounting the expected cash flows at a designated discount rate. • A specific reserve is established for an impaired loan based on the fair value of the underlying collateral, which may take the form of real estate, inventory, equipment, contracts or guarantees. The fair value of the underlying collateral is generally based on third-party appraisals, or an internal evaluation if a third-party appraisal is not required by regulations, which utilize one or more valuation techniques such as income, market and/or cost approaches. Other Real Estate Owned — The Company’s OREO represents properties acquired through foreclosure, or through full or partial satisfaction of loans held-for-investment. These OREO properties are recorded at estimated fair value less the costs to sell at the time of foreclosure or at the lower of cost or estimated fair value less the costs to sell subsequent to acquisition. On a monthly basis, the current fair market value of each OREO property is reviewed to ensure that the current carrying value is appropriate. OREO properties are classified as Level 3. The following tables present the carrying amounts of assets included on the Consolidated Balance Sheet that had fair value changes measured on a nonrecurring basis as of December 31, 2018 and 2017 : ($ in thousands) Assets Measured at Fair Value on a Nonrecurring Basis Fair Value Measurements Quoted Prices in Significant Significant Unobservable Inputs (Level 3) Non-PCI impaired loans: Commercial: C&I $ 26,873 $ — $ — $ 26,873 CRE 3,434 — — 3,434 Consumer: Single-family residential 2,551 — — 2,551 Total non-PCI impaired loans $ 32,858 $ — $ — $ 32,858 ($ in thousands) Assets Measured at Fair Value on a Nonrecurring Basis Fair Value Measurements Quoted Prices in Significant Significant Unobservable Inputs (Level 3) Non-PCI impaired loans: Commercial: C&I $ 31,404 $ — $ — $ 31,404 CRE 2,667 — — 2,667 Construction and land 3,973 — — 3,973 Consumer: Single-family residential 144 — — 144 Total non-PCI impaired loans $ 38,188 $ — $ — $ 38,188 OREO $ 9 $ — $ — $ 9 The following table presents the total change in value of assets for which a fair value adjustment has been included on the Consolidated Statement of Income for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Non-PCI impaired loans: Commercial: C&I $ (9,341 ) $ (19,703 ) $ (27,106 ) CRE 270 (272 ) 1,084 Construction and land — (147 ) — Consumer: Single-family residential 15 (11 ) (224 ) HELOCs — — 34 Other consumer — (2,491 ) — Total non-PCI impaired loans nonrecurring fair value losses $ (9,056 ) $ (22,624 ) $ (26,212 ) OREO nonrecurring fair value losses $ — $ (1 ) $ (23 ) Loans held-for-sale lower of cost or fair value adjustments $ — $ — $ (5,565 ) The following table presents the quantitative information about the significant unobservable inputs used in the valuation of assets measured on a nonrecurring basis classified as Level 3 as of December 31, 2018 and 2017 : ($ in thousands) Fair Value Valuation Unobservable Range of Input(s) Weighted- (1) December 31, 2018 Non-PCI impaired loans $ 16,921 Discounted cash flows Discount 4% — 7% 6 % $ 1,687 Fair value of property Selling cost 8% 8 % $ 2,751 Fair value of collateral Discount 15% — 50% 21 % $ 11,499 Fair value of collateral Contract value NM NM December 31, 2017 Non-PCI impaired loans $ 22,802 Discounted cash flows Discount 4% — 10% 6 % $ 9,773 Fair value of property Selling cost 8% 8 % $ 3,207 Fair value of collateral Discount 20% — 32% 29 % $ 2,406 Fair value of collateral Contract value NM NM OREO $ 9 Fair value of property Selling cost 8% 8 % NM — Not meaningful. (1) Weighted-average is based on the relative fair value of the respective assets as of December 31, 2018 and 2017 . Disclosures about Fair Value of Financial Instruments The following tables present the fair value estimates for financial instruments as of December 31, 2018 and 2017 , excluding financial instruments recorded at fair value on a recurring basis as they are included in the tables presented elsewhere in this Note. The carrying amounts in the following tables are recorded on the Consolidated Balance Sheet under the indicated captions, except for accrued interest receivable and mortgage servicing rights that are included in Other assets , and accrued interest payable that is included in Accrued expenses and other liabilities . These financial assets and liabilities are measured at amortized cost basis on the Company’s Consolidated Balance Sheet. During the first quarter of 2018 , the Company adopted ASU 2016-01 and has updated its valuation methods as necessary to conform to an “exit price” concept as required by ASU 2016-01. ($ in thousands) December 31, 2018 Carrying Amount Level 1 Level 2 Level 3 Estimated Fair Value Financial assets: Cash and cash equivalents $ 3,001,377 $ 3,001,377 $ — $ — $ 3,001,377 Interest-bearing deposits with banks $ 371,000 $ — $ 371,000 $ — $ 371,000 Resale agreements (1) $ 1,035,000 $ — $ 1,016,724 $ — $ 1,016,724 Restricted equity securities, at cost $ 74,069 $ — $ 74,069 $ — $ 74,069 Loans held-for-sale $ 275 $ — $ 275 $ — $ 275 Loans held-for-investment, net $ 32,073,867 $ — $ — $ 32,273,157 $ 32,273,157 Mortgage servicing rights $ 7,836 $ — $ — $ 11,427 $ 11,427 Accrued interest receivable $ 146,262 $ — $ 146,262 $ — $ 146,262 Financial liabilities: Demand, checking, savings and money market deposits $ 26,370,562 $ — $ 26,370,562 $ — $ 26,370,562 Time deposits $ 9,069,066 $ — $ 9,084,597 $ — $ 9,084,597 Short-term borrowings $ 57,638 $ — $ 57,638 $ — $ 57,638 FHLB advances $ 326,172 $ — $ 334,793 $ — $ 334,793 Repurchase agreements (1) $ 50,000 $ — $ 87,668 $ — $ 87,668 Long-term debt $ 146,835 $ — $ 152,556 $ — $ 152,556 Accrued interest payable $ 22,893 $ — $ 22,893 $ — $ 22,893 (1) Resale and repurchase agreements are reported net pursuant to ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . As of December 31, 2018 , $400.0 million out of $450.0 million of repurchase agreements were eligible for netting against resale agreements. ($ in thousands) December 31, 2017 Carrying Level 1 Level 2 Level 3 Estimated Financial assets: Cash and cash equivalents $ 2,174,592 $ 2,174,592 $ — $ — $ 2,174,592 Interest-bearing deposits with banks $ 398,422 $ — $ 398,422 $ — $ 398,422 Resale agreements (1) $ 1,050,000 $ — $ 1,035,158 $ — $ 1,035,158 Restricted equity securities, at cost $ 73,521 $ — $ 73,521 $ — $ 73,521 Loans held-for-sale $ 85 $ — $ 85 $ — $ 85 Loans held-for-investment, net $ 28,688,590 $ — $ — $ 28,956,349 $ 28,956,349 Branch assets held-for-sale $ 91,318 $ 5,143 $ 10,970 $ 78,132 $ 94,245 Mortgage servicing rights $ 7,771 $ — $ — $ 11,324 $ 11,324 Accrued interest receivable $ 121,719 $ — $ 121,719 $ — $ 121,719 Financial liabilities: Demand, checking, savings and money market deposits $ 25,974,314 $ — $ 25,974,314 $ — $ 25,974,314 Time deposits $ 5,640,749 $ — $ 5,626,855 $ — $ 5,626,855 Branch liability held-for-sale $ 605,111 $ — $ — $ 643,937 $ 643,937 FHLB advances $ 323,891 $ — $ 335,901 $ — $ 335,901 Repurchase agreements (1) $ 50,000 $ — $ 104,830 $ — $ 104,830 Long-term debt $ 171,577 $ — $ 171,673 $ — $ 171,673 Accrued interest payable $ 10,724 $ — $ 10,724 $ — $ 10,724 (1) Resale and repurchase agreements are reported net pursuant to ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . As of December 31, 2017, $400.0 million out of $450.0 million of repurchase agreements were eligible for netting against resale agreements. |
Securities Purchased under Resa
Securities Purchased under Resale Agreements and Sold under Repurchase Agreements | 12 Months Ended |
Dec. 31, 2018 | |
RESALE AND REPURCHASE AGREEMENTS | |
Securities Purchased under Resale Agreements and Sold under Repurchase Agreements | Securities Purchased under Resale Agreements and Sold under Repurchase Agreements Resale Agreements Resale agreements are recorded as receivables for the cash paid based on the values at which the securities are acquired. The market values of the underlying securities collateralizing the related receivables of the resale agreements, including accrued interest, are monitored. Additional collateral may be requested by the Company from the counterparties or excess collateral may be returned by the Company to the counterparties when deemed appropriate. Gross resale agreements were $1.44 billion and $1.45 billion as of December 31, 2018 and 2017 , respectively. The weighted-average yields were 2.63% , 2.19% and 1.78% for the years ended December 31, 2018 , 2017 and 2016 , respectively. Repurchase Agreements Long-term repurchase agreements are accounted for as collateralized financing transactions and recorded as liabilities based on the values at which the securities are sold. As of December 31, 2018 , the collateral for the repurchase agreements was comprised of U.S. Treasury securities, and U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities. The Company may have to provide additional collateral to the counterparties, or the counterparties may return excess collateral to the Company, for the repurchase agreements when necessary. Gross repurchase agreements were $450.0 million as of both December 31, 2018 and 2017 . The weighted-average interest rates were 4.46% , 3.48% and 2.97% for the years ended December 31, 2018 , 2017 and 2016 , respectively. The following table presents the repurchase agreements that will mature in the five years succeeding December 31, 2018 and thereafter: ($ in thousands) Repurchase Agreements 2019 $ — 2020 — 2021 — 2022 150,000 2023 300,000 Thereafter — Total $ 450,000 Balance Sheet Offsetting The Company’s resale and repurchase agreements are transacted under legally enforceable master repurchase agreements that provide the Company, in the event of default by the counterparty, the right to liquidate securities held and to offset receivables and payables with the same counterparty. The Company nets resale and repurchase transactions with the same counterparty on the Consolidated Balance Sheet when it has a legally enforceable master netting agreement and the transactions are eligible for netting under ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . Collateral received includes securities that are not recognized on the Consolidated Balance Sheet. Collateral pledged consists of securities that are not netted on the Consolidated Balance Sheet against the related collateralized liability. Collateral received or pledged in resale and repurchase agreements with other financial institutions may also be sold or re-pledged by the secured party, but is usually delivered to and held by the third-party trustees. The collateral amounts received/pledged are limited for presentation purposes to the related recognized asset/liability balance for each counterparty, and accordingly, do not include excess collateral received/pledged. The following tables present the resale and repurchase agreements included on the Consolidated Balance Sheet as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Assets Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Financial Collateral Resale agreements $ 1,435,000 $ (400,000 ) $ 1,035,000 $ — $ (1,025,066 ) (1) $ 9,934 Liabilities Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Financial Collateral Repurchase agreements $ 450,000 $ (400,000 ) $ 50,000 $ — $ (50,000 ) (2) $ — ($ in thousands) December 31, 2017 Assets Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Amount Financial Collateral Resale agreements $ 1,450,000 $ (400,000 ) $ 1,050,000 $ — $ (1,045,696 ) (1) $ 4,304 Liabilities Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Amount Financial Collateral Repurchase agreements $ 450,000 $ (400,000 ) $ 50,000 $ — $ (50,000 ) (2) $ — (1) Represents the fair value of securities the Company has received under resale agreements, limited for table presentation purposes to the amount of the recognized asset due from each counterparty. (2) Represents the fair value of securities the Company has pledged under resale agreements, limited for table presentation purposes to the amount of the recognized asset due from each counterparty. In addition to the amounts included in the tables above, the Company also has balance sheet netting related to derivatives. Refer to Note 6 — Derivatives to the Consolidated Financial Statements for additional information. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities The following tables present the amortized cost, gross unrealized gains and losses, and fair value by major categories of available-for-sale investment securities as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Amortized Gross Gross Fair Available-for-sale investment securities: U.S. Treasury securities $ 577,561 $ 153 $ (12,899 ) $ 564,815 U.S. government agency and U.S. government sponsored enterprise debt securities 219,485 382 (2,694 ) 217,173 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 420,486 811 (12,694 ) 408,603 Residential mortgage-backed securities 957,219 4,026 (14,552 ) 946,693 Municipal securities 82,965 87 (1,032 ) 82,020 Non-agency mortgage-backed securities: Commercial mortgage-backed securities Investment grade (1) 25,826 226 — 26,052 Residential mortgage-backed securities Investment grade (1) 10,109 7 (185 ) 9,931 Corporate debt securities: Investment grade (1) 11,250 — (381 ) 10,869 Foreign bonds: Investment grade (1) (2) 489,378 — (26,330 ) 463,048 Asset-backed securities: Investment grade (1) 12,621 22 — 12,643 Total available-for-sale investment securities $ 2,806,900 $ 5,714 $ (70,767 ) $ 2,741,847 ($ in thousands) December 31, 2017 Amortized Gross Gross Fair Available-for-sale investment securities: U.S. Treasury securities $ 651,395 $ — $ (11,115 ) $ 640,280 U.S. government agency and U.S. government sponsored enterprise debt securities 206,815 62 (3,485 ) 203,392 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 328,348 141 (9,532 ) 318,957 Residential mortgage-backed securities 1,199,869 3,964 (13,562 ) 1,190,271 Municipal securities 99,636 655 (309 ) 99,982 Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade (1) 9,136 3 (22 ) 9,117 Corporate debt securities: Investment grade (1) 37,585 164 (746 ) 37,003 Foreign bonds: Investment grade (1) 505,396 24 (19,012 ) 486,408 Other securities (2) 31,887 — (545 ) 31,342 Total available-for-sale investment securities $ 3,070,067 $ 5,013 $ (58,328 ) $ 3,016,752 (1) Available-for-sale investment securities rated BBB- or higher by Standard and Poor’s (“S&P”) or Baa3 or higher by Moody’s are considered investment grade. Conversely, available-for-sale investment securities rated lower than BBB- by S&P or lower than Baa3 by Moody’s are considered non-investment grade. Classifications are based on the lower of the credit ratings by S&P or Moody’s. (2) Other securities are comprised of mutual funds, which are equity securities with readily determinable fair value. Prior to the adoption of ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities , these securities were reported as available-for-sale investment securities with changes in fair value recorded in other comprehensive income. Upon adoption of ASU 2016-01, which became effective January 1, 2018, these securities were reclassified from Available-for-sale investment securities, at fair value to Investments in tax credit and other investments, net , on the Consolidated Balance Sheet with changes in fair value recorded in net income. Unrealized Losses The following tables present the fair value and the associated gross unrealized losses of the Company’s available-for-sale investment securities, aggregated by investment category and the length of time that the securities have been in a continuous unrealized loss position, as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Less Than 12 Months 12 Months or More Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Available-for-sale investment securities: U.S. Treasury securities $ — $ — $ 516,520 $ (12,899 ) $ 516,520 $ (12,899 ) U.S. government agency and U.S. government sponsored enterprise debt securities 22,755 (238 ) 159,814 (2,456 ) 182,569 (2,694 ) U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 26,886 (245 ) 274,666 (12,449 ) 301,552 (12,694 ) Residential mortgage-backed securities 75,675 (491 ) 653,660 (14,061 ) 729,335 (14,552 ) Municipal securities 9,458 (104 ) 30,295 (928 ) 39,753 (1,032 ) Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade 3,067 (19 ) 3,949 (166 ) 7,016 (185 ) Corporate debt securities: Investment grade 10,869 (381 ) — — 10,869 (381 ) Foreign bonds: Investment grade 14,418 (40 ) 448,630 (26,290 ) 463,048 (26,330 ) Total available-for-sale investment securities $ 163,128 $ (1,518 ) $ 2,087,534 $ (69,249 ) $ 2,250,662 $ (70,767 ) ($ in thousands) December 31, 2017 Less Than 12 Months 12 Months or More Total Fair Gross Fair Gross Fair Gross Available-for-sale investment securities: U.S. Treasury securities $ 168,061 $ (1,005 ) $ 472,219 $ (10,110 ) $ 640,280 $ (11,115 ) U.S. government agency and U.S. government sponsored enterprise debt securities 99,935 (623 ) 85,281 (2,862 ) 185,216 (3,485 ) U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 113,775 (2,071 ) 191,827 (7,461 ) 305,602 (9,532 ) Residential mortgage-backed securities 413,621 (4,205 ) 361,809 (9,357 ) 775,430 (13,562 ) Municipal securities 8,490 (123 ) 8,588 (186 ) 17,078 (309 ) Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade 4,599 (22 ) — — 4,599 (22 ) Corporate debt securities: Investment grade — — 11,905 (746 ) 11,905 (746 ) Foreign bonds: Investment grade 103,149 (1,325 ) 352,239 (17,687 ) 455,388 (19,012 ) Other securities (1) 31,215 (545 ) — — 31,215 (545 ) Total available-for-sale investment securities $ 942,845 $ (9,919 ) $ 1,483,868 $ (48,409 ) $ 2,426,713 $ (58,328 ) (1) Other securities are comprised of mutual funds, which are equity securities with readily determinable fair value. Prior to the adoption of ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10) : Recognition and Measurement of Financial Assets and Financial Liabilities , these securities were reported as available-for-sale investment securities with changes in fair value recorded in other comprehensive income. Upon adoption of ASU 2016-01, which became effective January 1, 2018, these securities were reclassified from Available-for-sale investment securities, at fair value to Investments in tax credit and other investments, net , on the Consolidated Balance Sheet with changes in fair value recorded in net income. Other-Than-Temporary Impairment For each reporting period, the Company assesses individual securities that are in an unrealized loss position for OTTI. For a discussion of the factors and criteria the Company uses in analyzing securities for OTTI, see Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Securities to the Consolidated Financial Statements. The unrealized losses were primarily attributable to the movement in the yield curve, in addition to widened liquidity and credit spreads. The issuers of these securities have not, to the Company’s knowledge, established any cause for default on these securities. These securities have fluctuated in value since their purchase dates as market interest rates have fluctuated. The Company believes that the gross unrealized losses presented in the previous tables are temporary and no credit losses are expected. As a result, the Company expects to recover the entire amortized cost basis of these securities. The Company has the intent to hold these securities through the anticipated recovery period and it is not more likely than not that the Company will have to sell these securities before recovery of their amortized cost. Accordingly, no impairment losses were recorded on the Company’s Consolidated Statement of Income for the years ended December 31, 2018 , 2017 and 2016 . As of December 31, 2018 , the Company had 184 available-for-sale investment securities in a gross unrealized loss position with no credit impairment, primarily consisting of 108 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities, 16 investment grade foreign bonds and 19 U.S. Treasury securities. In comparison, as of December 31, 2017 , the Company had 165 available-for-sale investment securities in a gross unrealized loss position with no credit impairment, primarily consisting of 98 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities, 25 U.S. Treasury securities and 16 investment grade foreign bonds. No OTTI credit losses were recognized for the years ended December 31, 2018 , 2017 and 2016 . Realized Gains and Losses The following table presents the proceeds, gross realized gains and losses, and tax expense related to the sales of available-for-sale investment securities for the years ended December 31, 2018 , 2017 and 2016 : Year Ended December 31, ($ in thousands) 2018 2017 2016 Proceeds from sales $ 364,270 $ 832,844 $ 1,275,645 Gross realized gains $ 2,535 $ 8,037 $ 10,487 Gross realized losses $ — $ — $ 125 Related tax expense $ 749 $ 3,380 $ 4,357 Scheduled Maturities of Investment Securities The following table presents the scheduled maturities of available-for-sale investment securities as of December 31, 2018 : ($ in thousands) Amortized Cost Fair Value Due within one year $ 549,517 $ 523,552 Due after one year through five years 676,814 661,868 Due after five years through ten years 212,093 209,653 Due after ten years 1,368,476 1,346,774 Total available-for-sale investment securities $ 2,806,900 $ 2,741,847 Actual maturities of mortgage-backed securities can differ from contractual maturities as the borrowers have the right to prepay obligations. In addition, factors such as prepayments and interest rates may affect the yields on the carrying values of mortgage-backed securities. As of December 31, 2018 and 2017 , available-for-sale investment securities with fair value of $435.8 million and $534.3 million , respectively, were primarily pledged to secure public deposits, repurchase agreements and for other purposes required or permitted by law. Restricted Equity Securities Restricted equity securities include FRB and FHLB stock. Restricted equity securities are carried at cost as these securities do not have a readily determinable fair value. The following table presents the restricted equity securities as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 FRB stock $ 56,819 $ 56,271 FHLB stock 17,250 17,250 Total restricted equity securities $ 74,069 $ 73,521 |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives The Company uses derivatives to manage exposure to market risk, primarily interest rate risk and foreign currency risk, and to assist customers with their risk management objectives. The Company’s goal is to manage interest rate sensitivity and volatility so that movements in interest rates are not significant to earnings or capital. The Company also uses foreign exchange contracts to manage the foreign exchange rate risk associated with certain foreign currency-denominated assets and liabilities, as well as the Company’s investment in its China subsidiary, East West Bank (China) Limited. The Company recognizes all derivatives on the Consolidated Balance Sheet at fair value. While the Company designates certain derivatives as hedging instruments in a qualifying hedge accounting relationship, other derivatives consist of economic hedges. For additional information on the Company’s derivatives and hedging activities, see Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Derivatives to the Consolidated Financial Statements. The following table presents the total notional amounts and gross fair values of the Company’s derivatives, as well as the balance sheet netting adjustments on an aggregate basis to take into consideration the effects of legally enforceable master netting agreements and cash collateral received or paid as of December 31, 2018 and 2017 . The resulting net derivative asset and liability fair values are included in Other assets and Accrued expenses and other liabilities , respectively, on the Consolidated Balance Sheet. ($ in thousands) December 31, 2018 December 31, 2017 Notional Amount Fair Value Notional Amount Fair Value Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Derivatives designated as hedging instruments: Fair value hedges: Interest rate contracts $ 35,811 $ — $ 5,866 $ 35,811 $ — $ 6,770 Net investment hedges: Foreign exchange contracts 90,245 — 611 — — — Total derivatives designated as hedging instruments $ 126,056 $ — $ 6,477 $ 35,811 $ — $ 6,770 Derivatives not designated as hedging instruments: Interest rate contracts $ 11,695,499 $ 69,818 $ 69,267 $ 9,333,860 $ 59,564 $ 58,890 Foreign exchange contracts 3,407,522 21,624 19,329 770,215 5,840 10,170 Credit contracts 119,320 1 164 49,033 1 8 Equity contracts — (1) 1,951 — — (1) 1,672 — Commodity contracts — (2) 14,422 23,068 — — — Total derivatives not designated as hedging instruments $ 15,222,341 $ 107,816 $ 111,828 $ 10,153,108 $ 67,077 $ 69,068 Gross derivative assets/liabilities $ 107,816 $ 118,305 $ 67,077 $ 75,838 Less: Master netting agreements (31,569 ) (31,569 ) (20,662 ) (20,662 ) Less: Cash collateral received/paid (13,577 ) (6,833 ) (8,024 ) (10,680 ) Net derivative assets/liabilities $ 62,670 $ 79,903 $ 38,391 $ 44,496 (1) The Company held equity contracts in four public companies and 18 private companies as of December 31, 2018 . In comparison, the Company held equity contracts in four public companies and 12 private companies as of December 31, 2017 . (2) The notional amount of the Company’s commodity contracts entered with its customers totaled 2,507 thousand barrels of oil and 14,722 thousand units of natural gas, measured in million British thermal units (“MMBTUs”) as of December 31, 2018 . The Company entered into the same notional amounts of commodity contracts with mirrored terms with third-party financial institutions to mitigate its exposure. The Company did not have any commodity contracts as of December 31, 2017 . Derivatives Designated as Hedging Instruments Fair Value Hedges — The Company is exposed to changes in the fair value of certain certificates of deposit due to changes in the benchmark interest rates. The Company entered into interest rate swaps, which were designated as fair value hedges. The interest rate swaps involve the exchange of variable rate payments over the life of the agreements without the exchange of the underlying notional amounts. The following table presents the net (losses) gains recognized on the Consolidated Statement of Income related to the derivatives designated as fair value hedges for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 (Losses) gains recorded in interest expense: Recognized on interest rate swaps $ (93 ) $ (2,734 ) $ (794 ) Recognized on certificates of deposit $ 278 $ 2,271 $ 157 The following table presents the carrying amount and associated cumulative basis adjustment related to the application of fair value hedge accounting that is included in the carrying amount of the hedged certificates of deposit as of December 31, 2018 and 2017 : ($ in thousands) Carrying Value (1) Cumulative Fair Value Adjustment (2) December 31, December 31, 2018 2017 2018 2017 Certificates of deposit $ (26,877 ) $ (31,058 ) $ 4,141 $ 4,745 (1) Represents the full carrying amount of the hedged certificates of deposit. (2) For liabilities, (increase) decrease to carrying value. Net Investment Hedges — ASC 830-20, Foreign Currency Matters — Foreign Currency Transactions and ASC 815, Derivatives and Hedging, allow hedging of the foreign currency risk of a net investment in a foreign operation. The Company enters into foreign currency contracts to hedge its investment in East West Bank (China) Limited, a non-USD functional currency subsidiary of the Company in China. The notional and fair value amounts of the net investment hedges comprising of foreign exchange swaps were $90.2 million and $611 thousand liability as of December 31, 2018 . The hedging instruments designated as net investment hedges, involve hedging the risk of changes in the USD equivalent value of a designated monetary amount of the Company’s net investment in East West Bank (China) Limited, against the risk of adverse changes in the foreign currency exchange rate. The Company may de-designate the net investment hedges when the Company expects the hedge will cease to be highly effective. During the first quarter of 2017, the company discontinued hedge accounting of the foreign currency contracts, and economically hedged its foreign currency exposure in its China subsidiary through foreign exchange forward contracts as discussed in the Derivatives Not Designated as Hedging Instruments — Foreign Exchange Contracts section below. As a result of the adoption of ASU 2017-12 effective as of January 1, 2018, the gains and losses of the net investment hedges were recorded in the Foreign Currency Translation Adjustment account within AOCI. Before the adoption of ASU 2017-12, the effective portion of the net investment hedges were recorded in the Foreign Currency Translation Adjustment account within AOCI whereas the ineffective portion of the net investment hedges was recorded in the Letters of credit fees and foreign exchange income on the Consolidated Statement of Income. The following table presents the gains (losses) recorded on net investment hedges on a pre-tax basis for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Gains (losses) recognized in AOCI $ 6,072 $ (648 ) $ 2,908 Gains (losses) recognized in Letters of credit fees and foreign exchange income (1) $ — $ (1,953 ) $ 1,124 (1) Represents the gains (losses) recorded in the Consolidated Statement of Income related to the ineffective portion of the net investment hedges prior to the adoption of ASU 2017-12, effective January 1, 2018. After the adoption, the fair value gains (losses) are recorded in Foreign Currency Translation Adjustments within AOCI. Derivatives Not Designated as Hedging Instruments Interest Rate Contracts — The Company enters into interest rate contracts, which include interest rate swaps and options with its customers to allow them to hedge against the risk of rising interest rates on their variable rate loans. To economically hedge against the interest rate risks in the products offered to its customers, the Company enters into mirrored offsetting interest rate contracts with third-party financial institutions including with central counterparties (“CCP”). Beginning January 2018, the London Clearing House (“LCH”) amended its rulebook to legally characterize variation margin payments made to and received from LCH as settlements of derivatives and not as collateral against derivatives. Applying variation margin payments as settlement to LCH cleared derivative transactions resulted in a reduction in derivative asset and liability fair values of $16.4 million and $16.0 million , respectively, as of December 31, 2018 . Included in the total notional amount of $5.85 billion of interest rates contracts entered with financial counterparties was a notional amount of $1.66 billion of interest rate swaps that cleared through LCH as of December 31, 2018 . The following tables present the notional amounts and the gross fair values of interest rate derivative contracts outstanding as of December 31, 2018 and 2017 , respectively: ($ in thousands) December 31, 2018 Customer Counterparty ($ in thousands) Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities Assets Liabilities Written options $ 931,601 $ — $ 492 Purchased options $ 931,601 $ 503 $ — Sold collars and corridors 429,879 1,121 305 Collars and corridors 429,879 308 1,140 Swaps 4,482,881 41,457 41,545 Swaps 4,489,658 26,429 25,785 Total $ 5,844,361 $ 42,578 $ 42,342 Total $ 5,851,138 $ 27,240 $ 26,925 ($ in thousands) December 31, 2017 Customer Counterparty ($ in thousands) Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities Assets Liabilities Written options $ 691,548 $ — $ 223 Purchased options $ 691,548 $ 233 $ — Sold collars and corridors 247,542 204 267 Collars and corridors 247,542 271 211 Swaps 3,724,295 33,417 24,636 Swaps 3,731,385 25,439 33,553 Total $ 4,663,385 $ 33,621 $ 25,126 Total $ 4,670,475 $ 25,943 $ 33,764 Foreign Exchange Contracts — The Company enters into foreign exchange contracts with its customers, consisting of forwards, spot, swap and option contracts to accommodate the business needs of its customers. For a portion of the foreign exchange contracts entered into with its customers, the Company entered into offsetting foreign exchange contracts with third-party financial institutions to manage its exposure as needed. The Company also utilizes foreign exchange contracts that are not designated as hedging instruments to mitigate the economic effect of fluctuations on certain foreign currency denominated on-balance sheet assets and liabilities, primarily foreign currency denominated deposits that it offers to its customers. As of December 31, 2017 , the Company economically hedged its foreign currency exposure in its China subsidiary through foreign exchange forward contracts comprising $95.2 million and $7.2 million in notional value and fair value liability, respectively. As of December 31, 2018 , the foreign exchange contracts the Company entered into to hedge its China subsidiary were designated as net investment hedges which were included in the Derivatives Designated as Hedging Instruments - Net Investment Hedges caption as discussed above. A majority of the foreign exchange contracts had original maturities of one year or less as of both December 31, 2018 and 2017 . The following tables present the notional amounts and the gross fair values of foreign exchange derivative contracts outstanding as of December 31, 2018 and 2017 , respectively: ($ in thousands) December 31, 2018 Customer Counterparty Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities ($ in thousands) Assets Liabilities Forwards and spot $ 2,023,425 $ 11,719 $ 13,079 Forwards and spot $ 506,342 $ 3,407 $ 2,285 Swaps 21,108 348 243 Swaps 687,845 5,764 3,336 Written options 537 16 — Purchased options 537 — 16 Collars 83,864 — 370 Collars 83,864 370 — Total $ 2,128,934 $ 12,083 $ 13,692 Total $ 1,278,588 $ 9,541 $ 5,637 ($ in thousands) December 31, 2017 Customer Counterparty Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities Assets Liabilities Forwards and spot $ 163,389 $ 2,189 $ 752 $ 155,872 $ 662 $ 7,800 Swaps 4,318 — 98 446,636 2,989 1,520 Total $ 167,707 $ 2,189 $ 850 $ 602,508 $ 3,651 $ 9,320 Credit Contracts — The Company may periodically enter into RPA contracts to manage the credit exposure on interest rate contracts associated with syndicated loans. The Company may enter into protection sold or protection purchased RPAs with institutional counterparties. Under the RPA, the Company will receive or make a payment if a borrower defaults on the related interest rate contract. The Company manages its credit risk on RPAs by monitoring the creditworthiness of the borrowers and institutional counterparties, which is based on the normal credit review process. The referenced entities of the RPAs were investment grade as of both December 31, 2018 and 2017 . The notional amount of the RPAs reflects the Company’s pro-rata share of the derivative instrument. The following table presents the notional amounts and the gross fair values of RPAs sold and purchased outstanding as of December 31, 2018 and 2017 , respectively: ($ in thousands) December 31, 2018 December 31, 2017 Notional Amount Fair Value Notional Amount Fair Value Assets Liabilities Assets Liabilities RPAs - protection sold $ 108,606 $ — $ 164 $ 35,208 $ — $ 8 RPAs - protection purchased 10,714 1 — 13,825 1 — Total RPAs $ 119,320 $ 1 $ 164 $ 49,033 $ 1 $ 8 Assuming all underlying borrowers referenced in the interest rate contracts defaulted as of December 31, 2018 and 2017 , the exposure from the RPAs with protections sold would be $125 thousand and $419 thousand , respectively. As of December 31, 2018 and 2017 , the weighted-average remaining maturities of the outstanding RPAs were 6.6 years and 6.0 years , respectively. Equity Contracts — The Company has obtained equity warrants to purchase preferred and common stock of technology and life sciences companies, as part of the loan origination process with these companies. The equity warrants grant the Company the right to buy a certain class of the underlying company’s equity at a certain price before expiration. The Company held warrants in four public companies and 18 private companies as of December 31, 2018 , and held warrants in four public companies and 12 private companies as of December 31, 2017 . The fair value of the warrants held in public and private companies was a $2.0 million asset and a $1.7 million asset as of December 31, 2018 and 2017 , respectively. Commodity Contracts — In 2018, the Company entered into energy commodity contracts in the form of swaps and options with its commercial loan customers to allow them to hedge against the risk of fluctuation in energy commodity prices. To economically hedge against the risk of fluctuation in commodity prices in the products offered to its customers, the Company entered into offsetting commodity contracts with third-party financial institutions including with CCP. Beginning in January 2017, the Chicago Mercantile Exchange (“CME”) amended its rulebook to legally characterize variation margin payments made to and received from CME as settlements of derivatives and not as collateral against derivatives. Applying variation margin payments as settlement to CME cleared derivative transactions resulted in a reduction in gross derivative asset and liability fair values of $10.4 million and $582 thousand , respectively, and a remaining net asset fair value of $622 thousand as of December 31, 2018 . The notional quantities that cleared through CME totaled 778 thousand barrels of oil and 6,290 thousand MMBTUs of natural gas. The Company did not have any commodity contracts in 2017. The following table presents the notional amounts and fair values of the commodity derivative positions outstanding as of December 31, 2018 . December 31, 2018 ($ and units Customer Counterparty ($ and units Financial Counterparty Notional Fair Value Notional Fair Value Unit Amount Assets Liabilities Unit Amount Assets Liabilities Crude oil: Crude oil: Written options Barrels 524 $ — $ 2,628 Purchased options Barrels 524 $ 2,251 $ — Collars Barrels 872 — 3,772 Collars Barrels 872 3,225 — Swaps Barrels 1,111 — 14,278 Swaps Barrels 1,111 5,799 — Total 2,507 $ — $ 20,678 Total 2,507 $ 11,275 $ — Natural gas: Natural gas: Collars MMBTUs 3,063 $ 78 $ 152 Collars MMBTUs 3,063 $ 151 $ 64 Swaps MMBTUs 11,659 1,049 1,857 Swaps MMBTUs 11,659 1,869 317 Total 14,722 $ 1,127 $ 2,009 Total 14,722 $ 2,020 $ 381 Total $ 1,127 $ 22,687 Total $ 13,295 $ 381 The following table presents the net gains (losses) recognized on the Company’s Consolidated Statement of Income related to derivatives not designated as hedging instruments for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Location in Consolidated Statement of Income Year Ended December 31, 2018 2017 2016 Derivatives not designated as hedging instruments: Interest rate contracts Derivative fees and other income $ 280 $ (1,772 ) $ 2,557 Foreign exchange contracts Letters of credit fees and foreign exchange income 16,784 22,076 12,632 Credit contracts Derivative fees and other income (156 ) (7 ) — Equity contracts Ancillary loan fees and other income 512 1,672 — Commodity contracts Derivative fees and other income (11 ) — — Net gains $ 17,409 $ 21,969 $ 15,189 Credit-Risk-Related Contingent Features — Certain over-the-counter derivative contracts of the Company contain early termination provisions that may require the Company to settle any outstanding balances upon the occurrence of a specified credit-risk-related event. These events, which are defined by the existing derivative contracts, primarily relate to a downgrade in the credit rating of East West Bank to below investment grade. As of December 31, 2018 , the net fair value of all derivative instruments with such credit-risk-related contingent features that were in a net liability position was $11.4 million , which includes $2.8 million in derivative assets and $14.2 million in derivative liabilities, with collateral posted of $9.4 million . As of December 31, 2017 , the net fair value of all derivative instruments with the credit-risk-related contingent features that were in a net liability position was $7.6 million , which includes $159 thousand derivative assets and $7.8 million in derivative liabilities, with collateral posted of $7.3 million . In the event that the credit rating of East West Bank had been downgraded to below investment grade, additional minimal collateral would have been required to be posted as of December 31, 2018 and 2017 . Offsetting of Derivatives The following tables present the gross derivative fair values, the balance sheet netting adjustments and the resulting net fair values recorded on the consolidated balance sheet, as well as the cash and non-cash collateral associated with master netting arrangements. The collateral amounts in these tables are limited to the outstanding balances of the related asset or liability (after netting is applied); thus instances of overcollateralization are not shown. In addition, the following tables reflect rule changes adopted by clearing organizations that require or allow entities to elect to treat derivative assets, liabilities and the related variation margin as settlement of the related derivative fair values for legal and accounting purposes, as opposed to presenting gross derivative assets and liabilities that are subject to collateral, whereby the counterparties would record a related collateral payable or receivable: ($ in thousands) As of December 31, 2018 Gross (1) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Received (3) Security Collateral Received (5) Derivative assets $ 107,816 $ (31,569 ) $ (13,577 ) $ 62,670 $ (13,975 ) $ 48,695 Gross (2) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Pledged (4) Security Collateral Pledged (5) Derivative liabilities $ 118,305 $ (31,569 ) $ (6,833 ) $ 79,903 $ (11,231 ) $ 68,672 ($ in thousands) As of December 31, 2017 Gross (1) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Received (3) Security Collateral (5) Derivative assets $ 67,077 $ (20,662 ) $ (8,024 ) $ 38,391 $ (1,153 ) $ 37,238 Gross (2) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Pledged (4) Security Collateral Pledged (5) Derivative liabilities $ 75,838 $ (20,662 ) $ (10,680 ) $ 44,496 $ (18,610 ) $ 25,886 (1) Gross amounts recognized for derivative assets include amounts with counterparties subject to enforceable master netting arrangements or similar agreements of $105.9 million and $64.8 million , respectively, as of December 31, 2018 and 2017 , and amounts with counterparties not subject to enforceable master netting arrangements or similar agreements of $2.0 million and $2.3 million , respectively, as of December 31, 2018 and 2017 . (2) Gross amounts recognized for derivative liabilities include amounts with counterparties subject to enforceable master netting arrangements or similar agreements of $118.2 million and $75.3 million , respectively, as of December 31, 2018 and 2017 , and amounts with counterparties not subject to enforceable master netting arrangements or similar agreements of $102 thousand and $523 thousand , respectively, as of December 31, 2018 and 2017 . (3) Gross cash collateral received under master netting arrangements or similar agreements were $15.8 million and $9.2 million , respectively, as of December 31, 2018 and 2017 . Of the gross cash collateral received, $13.6 million and $8.0 million were used to offset against derivative assets, respectively, as of December 31, 2018 and 2017 . (4) Gross cash collateral pledged under master netting arrangements or similar agreements were $8.4 million and $10.7 million , respectively, as of December 31, 2018 and 2017 . Of the gross cash collateral pledged, $6.8 million and $10.7 million were used to offset against derivative liabilities, respectively, as of December 31, 2018 and 2017 . (5) Represents the fair value of security collateral received and pledged limited to derivative assets and liabilities that are subject to enforceable master netting arrangements or similar agreements. U.S. GAAP does not permit the netting of non-cash collateral on the consolidated balance sheet but requires disclosure of such amounts. In addition to the amounts included in the tables above, the Company also has balance sheet netting related to the resale and repurchase agreements. Refer to Note 4 — Securities Purchased under Resale Agreements and Sold under Repurchase Agreements to the Consolidated Financial Statements for additional information. Refer to Note 3 — Fair Value Measurement and Fair Value of Financial Instruments to the Consolidated Financial Statements for fair value measurement disclosures on derivatives. |
Loans Receivable and Allowance
Loans Receivable and Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2018 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Loans Receivable and Allowance for Credit Losses | Loans Receivable and Allowance for Credit Losses The Company’s held-for-investment loan portfolio includes originated and purchased loans. Originated and purchased loans with no evidence of credit deterioration at their acquisition date are referred to collectively as non-PCI loans. PCI loans are loans acquired with evidence of credit deterioration since their origination and for which it is probable at the acquisition date that the Company would be unable to collect all contractually required payments. PCI loans are accounted for under ASC Subtopic 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality . The Company has elected to account for PCI loans on a pool level basis under ASC 310-30 at the time of acquisition. The following table presents the composition of the Company’s non-PCI and PCI loans as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 December 31, 2017 Non-PCI (1) PCI Loans (2) Total (1)(2) Non-PCI Loans (1) PCI (2) Total (1)(2) Commercial: C&I $ 12,054,818 $ 2,152 $ 12,056,970 $ 10,685,436 $ 11,795 $ 10,697,231 CRE 9,284,583 165,252 9,449,835 8,659,209 277,688 8,936,897 Multifamily residential 2,246,506 34,526 2,281,032 1,855,128 61,048 1,916,176 Construction and land 538,752 42 538,794 659,326 371 659,697 Total commercial 24,124,659 201,972 24,326,631 21,859,099 350,902 22,210,001 Consumer: Single-family residential 5,939,258 97,196 6,036,454 4,528,911 117,378 4,646,289 HELOCs 1,681,979 8,855 1,690,834 1,768,917 14,007 1,782,924 Other consumer 331,270 — 331,270 336,504 — 336,504 Total consumer 7,952,507 106,051 8,058,558 6,634,332 131,385 6,765,717 Total loans held-for-investment $ 32,077,166 $ 308,023 $ 32,385,189 $ 28,493,431 $ 482,287 $ 28,975,718 Allowance for loan losses (311,300 ) (22 ) (311,322 ) (287,070 ) (58 ) (287,128 ) Loans held-for-investment, net $ 31,765,866 $ 308,001 $ 32,073,867 $ 28,206,361 $ 482,229 $ 28,688,590 (1) Includes net deferred loan fees, unearned fees, unamortized premiums and unaccreted discounts of $(48.9) million and $(34.0) million as of December 31, 2018 and 2017 , respectively. (2) Includes ASC 310-30 discount of $22.2 million and $35.3 million as of December 31, 2018 and 2017 , respectively. The commercial portfolio includes C&I, CRE, multifamily residential, and construction and land loans. The consumer portfolio includes single-family residential, HELOC and other consumer loans. The C&I loan portfolio, which is comprised of commercial business and trade finance loans, provides financing to businesses in a wide spectrum of industries. The CRE loan portfolio includes income producing real estate loans that are either owner occupied, or non-owner occupied where 50% or more of the debt service for the loan is primarily provided by unaffiliated rental income from a third party. The multifamily residential loan portfolio is largely comprised of loans secured by smaller multifamily properties ranging from 5 to 15 units in the Bank’s primary lending areas. Construction loans mainly provide construction financing for multifamily and residential condominiums, hotels, offices, industrial, as well as mixed use (residential and retail) structures. In the consumer portfolio, the Company offers residential loans through a variety of mortgage loan programs. The consumer residential loan portfolio is largely comprised of single-family residential loans and HELOCs that were originated through a reduced documentation loan program, where a substantial down payment is required, resulting in a low loan-to-value ratio at origination, typically 60% or less. The Company is in a first lien position for many of these reduced documentation single-family residential loans and HELOCs. These loans have historically experienced low delinquency and default rates. Other consumer loans are mainly comprised of insurance premium financing loans. As of December 31, 2018 and 2017 , loans of $20.59 billion and $18.88 billion , respectively, were pledged to secure borrowings and to provide additional borrowing capacity from the Federal Reserve Bank and the FHLB. Credit Quality Indicators All loans are subject to the Company’s internal and external credit review and monitoring. For the commercial portfolio, loans are risk rated based on an analysis of the current state of the borrower’s credit quality. The analysis of credit quality includes a review of all repayment sources, the borrower’s current payment performance/delinquency, current financial and liquidity status and all other relevant information. For the majority of the consumer portfolio, payment performance/delinquency is the driving indicator for the risk ratings. Risk ratings are the overall credit quality indicator for the Company and the credit quality indicator utilized for estimating the appropriate allowance for loan losses. The Company utilizes a risk rating system, which classifies loans within the following categories: Pass, Watch, Special Mention, Substandard, Doubtful and Loss. The risk ratings reflect the relative strength of the repayment sources. Pass and Watch loans are loans that have sufficient sources of repayment in order to repay the loan in full in accordance with all terms and conditions. Special Mention loans are loans that have potential weaknesses that warrant closer attention by management. Special Mention is a transitory grade. If potential weaknesses are resolved, the loan is upgraded to a Pass or Watch grade. If negative trends in the borrower’s financial status or other information indicate that the repayment sources may become inadequate, the loan is downgraded to a Substandard grade. Substandard loans are loans that have well-defined weaknesses that may jeopardize the full and timely repayment of the loan. Substandard loans have a distinct possibility of loss, if the deficiencies are not corrected. When management has assessed a potential for loss but a distinct possibility of loss is not recognizable, the loan remains classified as Substandard grade. Doubtful loans have insufficient sources of repayment and a high probability of loss. Loss loans are loans that are uncollectible and of such little value that they are no longer considered bankable assets. These internal risk ratings are reviewed routinely and adjusted based on changes in the borrowers’ financial status and the loans’ collectability. The following tables present the credit risk ratings for non-PCI loans by portfolio segment as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Pass/Watch Special Mention Substandard Doubtful Total Non- PCI Loans Commercial: C&I $ 11,644,470 $ 260,089 $ 139,844 $ 10,415 $ 12,054,818 CRE 9,144,646 49,705 90,232 — 9,284,583 Multifamily residential 2,215,573 20,551 10,382 — 2,246,506 Construction and land 485,217 19,838 33,697 — 538,752 Total commercial 23,489,906 350,183 274,155 10,415 24,124,659 Consumer: Single-family residential 5,925,584 6,376 7,298 — 5,939,258 HELOCs 1,669,300 1,576 11,103 — 1,681,979 Other consumer 328,767 1 2,502 — 331,270 Total consumer 7,923,651 7,953 20,903 — 7,952,507 Total $ 31,413,557 $ 358,136 $ 295,058 $ 10,415 $ 32,077,166 ($ in thousands) December 31, 2017 Pass/Watch Special Mention Substandard Doubtful Total Non- Commercial: C&I $ 10,369,516 $ 114,769 $ 180,269 $ 20,882 $ 10,685,436 CRE 8,484,635 65,616 108,958 — 8,659,209 Multifamily residential 1,839,958 — 15,170 — 1,855,128 Construction and land 614,441 4,590 40,295 — 659,326 Total commercial 21,308,550 184,975 344,692 20,882 21,859,099 Consumer: Single-family residential 4,490,672 16,504 21,735 — 4,528,911 HELOCs 1,744,903 11,900 12,114 — 1,768,917 Other consumer 333,895 111 2,498 — 336,504 Total consumer 6,569,470 28,515 36,347 — 6,634,332 Total $ 27,878,020 $ 213,490 $ 381,039 $ 20,882 $ 28,493,431 The following tables present the credit risk ratings for PCI loans by portfolio segment as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Pass/Watch Special Mention Substandard Doubtful Total PCI Loans Commercial: C&I $ 1,996 $ — $ 156 $ — $ 2,152 CRE 146,057 — 19,195 — 165,252 Multifamily residential 33,003 — 1,523 — 34,526 Construction and land 42 — — — 42 Total commercial 181,098 — 20,874 — 201,972 Consumer: Single-family residential 95,789 1,021 386 — 97,196 HELOCs 8,314 256 285 — 8,855 Total consumer 104,103 1,277 671 — 106,051 Total (1) $ 285,201 $ 1,277 $ 21,545 $ — $ 308,023 ($ in thousands) December 31, 2017 Pass/Watch Special Mention Substandard Doubtful Total PCI Commercial: C&I $ 10,712 $ 57 $ 1,026 $ — $ 11,795 CRE 238,605 531 38,552 — 277,688 Multifamily residential 56,720 — 4,328 — 61,048 Construction and land 44 — 327 — 371 Total commercial 306,081 588 44,233 — 350,902 Consumer: Single-family residential 113,905 1,543 1,930 — 117,378 HELOCs 12,642 — 1,365 — 14,007 Total consumer 126,547 1,543 3,295 — 131,385 Total (1) $ 432,628 $ 2,131 $ 47,528 $ — $ 482,287 (1) Loans net of ASC 310-30 discount. Nonaccrual and Past Due Loans Non-PCI loans that are 90 or more days past due are generally placed on nonaccrual status, unless the loan is well-collateralized or guaranteed by government agencies, and in the process of collection. Non-PCI loans that are less than 90 days past due but have identified deficiencies, such as when the full collection of principal or interest becomes uncertain, are also placed on nonaccrual status. The following tables present the aging analysis on non-PCI loans as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Accruing Loans 30-59 Days Past Due Accruing Loans 60-89 Days Past Due Total Accruing Past Due Loans Nonaccrual Loans Less Than 90 Days Past Due Nonaccrual Loans 90 or More Days Past Due Total Nonaccrual Loans Current Accruing Loans Total Non- PCI Loans Commercial: C&I $ 21,032 $ 19,170 $ 40,202 $ 17,097 $ 26,743 $ 43,840 $ 11,970,776 $ 12,054,818 CRE 7,740 — 7,740 3,704 20,514 24,218 9,252,625 9,284,583 Multifamily residential 4,174 — 4,174 1,067 193 1,260 2,241,072 2,246,506 Construction and land 207 — 207 — — — 538,545 538,752 Total commercial 33,153 19,170 52,323 21,868 47,450 69,318 24,003,018 24,124,659 Consumer: Single-family residential 14,645 7,850 22,495 509 4,750 5,259 5,911,504 5,939,258 HELOCs 2,573 1,816 4,389 1,423 7,191 8,614 1,668,976 1,681,979 Other consumer 11 12 23 — 2,502 2,502 328,745 331,270 Total consumer 17,229 9,678 26,907 1,932 14,443 16,375 7,909,225 7,952,507 Total $ 50,382 $ 28,848 $ 79,230 $ 23,800 $ 61,893 $ 85,693 $ 31,912,243 $ 32,077,166 ($ in thousands) December 31, 2017 Accruing Loans 30-59 Days Past Due Accruing Loans 60-89 Days Past Due Total Accruing Past Due Loans Nonaccrual Loans Less Than 90 Days Past Due Nonaccrual Loans 90 or More Days Past Due Total Nonaccrual Loans Current Accruing Loans Total Non- Commercial: C&I $ 30,964 $ 82 $ 31,046 $ 27,408 $ 41,805 $ 69,213 $ 10,585,177 $ 10,685,436 CRE 3,414 466 3,880 5,430 21,556 26,986 8,628,343 8,659,209 Multifamily residential 4,846 14 4,860 1,418 299 1,717 1,848,551 1,855,128 Construction and land 758 — 758 — 3,973 3,973 654,595 659,326 Total commercial 39,982 562 40,544 34,256 67,633 101,889 21,716,666 21,859,099 Consumer: Single-family residential 13,269 5,355 18,624 6 5,917 5,923 4,504,364 4,528,911 HELOCs 4,286 4,186 8,472 89 3,917 4,006 1,756,439 1,768,917 Other consumer 14 23 37 — 2,491 2,491 333,976 336,504 Total consumer 17,569 9,564 27,133 95 12,325 12,420 6,594,779 6,634,332 Total $ 57,551 $ 10,126 $ 67,677 $ 34,351 $ 79,958 $ 114,309 $ 28,311,445 $ 28,493,431 For information on the policy for recording payments received and resuming accrual of interest on non-PCI loans that are placed on nonaccrual status, see Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements. PCI loans are excluded from the above aging analysis tables as the Company has elected to account for these loans on a pool level basis under ASC 310-30 at the time of acquisition. Refer to the discussion on PCI loans within this note for additional details on interest income recognition. As of December 31, 2018 and 2017 , PCI loans on nonaccrual status totaled $4.0 million and $5.3 million , respectively. Loans in Process of Foreclosure The Company commences the foreclosure process on consumer mortgage loans when a borrower becomes 120 days delinquent in accordance with Consumer Finance Protection Bureau Guidelines. As of December 31, 2018 and 2017 , consumer mortgage loans of $3.0 million and $6.6 million , respectively, were secured by residential real estate properties, for which formal foreclosure proceedings were in process in accordance with local requirements of the applicable jurisdictions. As of December 31, 2018 , no foreclosed residential real estate property was included in total net OREO of $133 thousand . In comparison, a foreclosed residential real estate property with a carrying amount of $188 thousand was included in total net OREO of $830 thousand as of December 31, 2017 . Troubled Debt Restructurings Potential TDRs are individually evaluated and the type of restructuring is selected based on the loan type and the circumstances of the borrower’s financial difficulty. A TDR is a modification of the terms of a loan when the Company, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that it would not have otherwise considered. The following tables present the additions to non-PCI TDRs for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Loans Modified as TDRs During the Year Ended December 31, 2018 Number Pre-Modification Post-Modification (1) Financial (2) Commercial: C&I 8 $ 11,366 $ 9,520 $ 699 CRE 1 $ 750 $ 752 $ — Consumer: Single-family residential 2 $ 405 $ 391 $ (28 ) HELOCs 2 $ 1,546 $ 1,418 $ — ($ in thousands) Loans Modified as TDRs During the Year Ended December 31, 2017 Number Pre-Modification Post-Modification (1) Financial (2) Commercial: C&I 16 $ 43,884 $ 37,900 $ 11,520 CRE 4 $ 2,675 $ 2,627 $ 157 Multifamily residential 1 $ 3,655 $ 2,969 $ — Consumer: HELOCs 1 $ 152 $ 155 $ — ($ in thousands) Loans Modified as TDRs During the Year Ended December 31, 2016 Number Pre-Modification Post-Modification (1) Financial (2) Commercial: C&I 18 $ 65,991 $ 40,405 $ 20,574 CRE 6 $ 19,275 $ 18,824 $ 701 Construction and land 1 $ 5,522 $ 4,883 $ — Consumer: Single-family residential 3 $ 1,291 $ 1,268 $ — HELOCs 3 $ 491 $ 382 $ 1 (1) Includes subsequent payments after modification and reflects the balance as of December 31, 2018 , 2017 and 2016 . (2) The financial impact includes increases (decreases) in charge-offs and specific reserves recorded at the modification date. The following tables present the non-PCI TDR modifications for the years ended December 31, 2018 , 2017 and 2016 by modification type: ($ in thousands) Modification Type During the Year Ended December 31, 2018 Principal (1) Principal and Interest (2) Interest Rate Reduction Interest Other Total Commercial: C&I $ 5,472 $ — $ — $ — $ 4,048 $ 9,520 CRE — — 752 — — 752 Total commercial 5,472 — 752 — 4,048 10,272 Consumer: Single-family residential 66 — — — 325 391 HELOCs 1,353 — — — 65 1,418 Total consumer 1,419 — — — 390 1,809 Total $ 6,891 $ — $ 752 $ — $ 4,438 $ 12,081 ($ in thousands) Modification Type During the Year Ended December 31, 2017 Principal (1) Principal and Interest (2) Interest Rate Reduction Interest Deferments Other Total Commercial: C&I $ 13,568 $ 7,848 $ — $ — $ 16,484 $ 37,900 CRE 2,627 — — — — 2,627 Multifamily residential 2,969 — — — — 2,969 Total commercial 19,164 7,848 — — 16,484 43,496 Consumer: HELOCs — 155 — — — 155 Total consumer — 155 — — — 155 Total $ 19,164 $ 8,003 $ — $ — $ 16,484 $ 43,651 ($ in thousands) Modification Type During the Year Ended December 31, 2016 Principal (1) Principal (2) Interest Interest Other Total Commercial: C&I $ 34,499 $ — $ 5,876 $ 30 $ — $ 40,405 CRE 17,750 — — — 1,074 18,824 Construction and land 4,883 — — — — 4,883 Total commercial 57,132 — 5,876 30 1,074 64,112 Consumer: Single-family residential 264 — 797 207 — 1,268 HELOCs 333 — 49 — — 382 Total consumer 597 — 846 207 — 1,650 Total $ 57,729 $ — $ 6,722 $ 237 $ 1,074 $ 65,762 (1) Includes forbearance payments, term extensions and principal deferments that modify the terms of the loan from principal and interest payments to interest payments only. (2) Includes principal and interest deferments or reductions. Subsequent to restructuring, a TDR that becomes delinquent, generally beyond 90 days, is considered to be in default. As TDRs are individually evaluated for impairment under the specific reserve methodology, subsequent defaults do not generally have a significant additional impact on the allowance for loan losses. The following table presents information on loans modified as TDRs within the previous 12 months that have subsequently defaulted during the years ended December 31, 2018 , 2017 and 2016 , and were still in default at the respective period end: ($ in thousands) Loans Modified as TDRs that Subsequently Defaulted 2018 2017 2016 Number of Recorded Number of Recorded Number of Recorded Commercial: C&I 4 $ 1,890 3 $ 8,659 — $ — CRE 1 $ 186 — $ — 2 $ 3,150 Construction and land — $ — — $ — 1 $ 4,883 Consumer: HELOCs 1 $ 150 — $ — — $ — The amount of additional funds committed to lend to borrowers whose terms have been modified was $3.9 million and $5.1 million as of December 31, 2018 and 2017 , respectively. Impaired Loans The following tables present information on non-PCI impaired loans as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Unpaid Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Commercial: C&I $ 82,963 $ 48,479 $ 8,609 $ 57,088 $ 1,219 CRE 36,426 28,285 2,067 30,352 208 Multifamily residential 6,031 2,949 2,611 5,560 75 Total commercial 125,420 79,713 13,287 93,000 1,502 Consumer: Single-family residential 14,670 2,552 10,908 13,460 34 HELOCs 10,035 5,547 4,409 9,956 5 Other consumer 2,502 — 2,502 2,502 2,491 Total consumer 27,207 8,099 17,819 25,918 2,530 Total non-PCI impaired loans $ 152,627 $ 87,812 $ 31,106 $ 118,918 $ 4,032 ($ in thousands) December 31, 2017 Unpaid Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Commercial: C&I $ 130,773 $ 36,086 $ 62,599 $ 98,685 $ 16,094 CRE 41,248 28,699 6,857 35,556 684 Multifamily residential 11,164 8,019 2,617 10,636 88 Construction and land 4,781 3,973 — 3,973 — Total commercial 187,966 76,777 72,073 148,850 16,866 Consumer: Single-family residential 15,501 — 14,338 14,338 534 HELOCs 5,484 2,287 2,921 5,208 4 Other consumer 2,491 — 2,491 2,491 2,491 Total consumer 23,476 2,287 19,750 22,037 3,029 Total non-PCI impaired loans $ 211,442 $ 79,064 $ 91,823 $ 170,887 $ 19,895 The following table presents the average recorded investment and interest income recognized on non-PCI impaired loans for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Average Recorded Investment Recognized Interest Income (1) Average Recognized (1) Average Recognized Interest Income (1) Commercial: C&I $ 143,430 $ 1,046 $ 110,662 $ 1,517 $ 148,986 $ 2,612 CRE 35,049 491 36,003 578 47,064 1,253 Multifamily residential 11,742 249 11,455 422 15,763 302 Construction and land 3,973 — 4,382 — 6,388 34 Total commercial 194,194 1,786 162,502 2,517 218,201 4,201 Consumer: Single-family residential 22,350 474 14,994 417 14,323 447 HELOCs 14,134 70 5,494 55 3,703 63 Other consumer 2,502 — 2,142 — — — Total consumer 38,986 544 22,630 472 18,026 510 Total non-PCI impaired loans $ 233,180 $ 2,330 $ 185,132 $ 2,989 $ 236,227 $ 4,711 (1) Includes interest recognized on accruing non-PCI TDRs. Interest payments received on nonaccrual non-PCI loans are reflected as a reduction to principal, not as interest income. Allowance for Credit Losses The following table presents a summary of activities in the allowance for loan losses by portfolio segment for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Non-PCI Loans Allowance for non-PCI loans, beginning of period $ 287,070 $ 260,402 $ 264,600 Provision for loan losses on non-PCI loans 65,043 49,129 31,959 Gross charge-offs: Commercial: C&I (59,244 ) (38,118 ) (47,739 ) CRE — — (464 ) Multifamily residential — (635 ) (29 ) Construction and land — (149 ) (117 ) Consumer: Single-family residential (1 ) (1 ) (137 ) HELOCs — (55 ) (9 ) Other consumer (188 ) (17 ) (13 ) Total gross charge-offs (59,433 ) (38,975 ) (48,508 ) Gross recoveries: Commercial: C&I 10,417 11,371 9,003 CRE 5,194 2,111 1,488 Multifamily residential 1,757 1,357 1,476 Construction and land 740 259 203 Consumer: Single-family residential 1,214 546 401 HELOCs 38 24 7 Other consumer 3 152 323 Total gross recoveries 19,363 15,820 12,901 Net charge-offs (40,070 ) (23,155 ) (35,607 ) Foreign currency translation adjustments (743 ) 694 (550 ) Allowance for non-PCI loans, end of period 311,300 287,070 260,402 PCI Loans Allowance for PCI loans, beginning of period 58 118 359 Reversal of loan losses on PCI loans (36 ) (60 ) (241 ) Allowance for PCI loans, end of period 22 58 118 Allowance for loan losses $ 311,322 $ 287,128 $ 260,520 For further information on accounting policies and the methodologies used to estimate the allowance for credit losses and loan charge-offs, see Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements. The following table presents a summary of activities in the allowance for unfunded credit reserves for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Allowance for unfunded credit reserves, beginning of period $ 13,318 $ 16,121 $ 20,360 Reversal of unfunded credit reserves (752 ) (2,803 ) (4,239 ) Allowance for unfunded credit reserves, end of period $ 12,566 $ 13,318 $ 16,121 The allowance for unfunded credit reserves is maintained at a level management believes to be sufficient to absorb estimated probable losses related to unfunded credit facilities. The allowance for unfunded credit reserves is included in Accrued expenses and other liabilities on the Consolidated Balance Sheet. See Note 14 — Commitments, Contingencies and Related Party Transactions to the Consolidated Financial Statements for additional information related to unfunded credit reserves. The following tables present the Company’s allowance for loan losses and recorded investments by portfolio segment and impairment methodology as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Commercial Consumer Total C&I CRE Multifamily Construction Single-Family HELOCs Other Allowance for loan losses Individually evaluated for impairment $ 1,219 $ 208 $ 75 $ — $ 34 $ 5 $ 2,491 $ 4,032 Collectively evaluated for impairment 190,121 38,823 19,208 20,282 31,306 5,769 1,759 307,268 Acquired with deteriorated credit quality — 22 — — — — — 22 Total $ 191,340 $ 39,053 $ 19,283 $ 20,282 $ 31,340 $ 5,774 $ 4,250 $ 311,322 Recorded investment in loans Individually evaluated for impairment $ 57,088 $ 30,352 $ 5,560 $ — $ 13,460 $ 9,956 $ 2,502 $ 118,918 Collectively evaluated for impairment 11,997,730 9,254,231 2,240,946 538,752 5,925,798 1,672,023 328,768 31,958,248 Acquired with deteriorated credit quality (1) 2,152 165,252 34,526 42 97,196 8,855 — 308,023 Total (1) $ 12,056,970 $ 9,449,835 $ 2,281,032 $ 538,794 $ 6,036,454 $ 1,690,834 $ 331,270 $ 32,385,189 ($ in thousands) December 31, 2017 Commercial Consumer Total C&I CRE Multifamily Construction Single-Family HELOCs Other Allowance for loan losses Individually evaluated for impairment $ 16,094 $ 684 $ 88 $ — $ 534 $ 4 $ 2,491 $ 19,895 Collectively evaluated for impairment 146,964 40,495 19,021 26,881 25,828 7,350 636 267,175 Acquired with deteriorated credit quality — 58 — — — — — 58 Total $ 163,058 $ 41,237 $ 19,109 $ 26,881 $ 26,362 $ 7,354 $ 3,127 $ 287,128 Recorded investment in loans Individually evaluated for impairment $ 98,685 $ 35,556 $ 10,636 $ 3,973 $ 14,338 $ 5,208 $ 2,491 $ 170,887 Collectively evaluated for impairment 10,586,751 8,623,653 1,844,492 655,353 4,514,573 1,763,709 334,013 28,322,544 Acquired with deteriorated credit quality (1) 11,795 277,688 61,048 371 117,378 14,007 — 482,287 Total (1) $ 10,697,231 $ 8,936,897 $ 1,916,176 $ 659,697 $ 4,646,289 $ 1,782,924 $ 336,504 $ 28,975,718 (1) Loans net of ASC 310-30 discount. Purchased Credit-Impaired Loans At the date of acquisition, PCI loans are pooled and accounted for at fair value, which represents the discounted value of the expected cash flows of the loan portfolio. A pool is accounted for as a single asset with a single interest rate, cumulative loss rate and cash flows expectation. The cash flows expected over the life of the pools are estimated by an internal cash flows model that projects cash flows and calculates the carrying values of the pools, book yields, effective interest income and impairment, if any, based on pool level events. Assumptions as to cumulative loss rates, loss curves and prepayment speeds are utilized to calculate the expected cash flows. The amount of expected cash flows over the initial investment in the loan represents the “accretable yield,” which is recognized as interest income on a level yield basis over the life of the loan. Projected loss rates and prepayment speeds affect the estimated life of PCI loans, which may change the amount of interest income, and possibly principal, expected to be collected. The excess of total contractual cash flows over the cash flows expected to be collected at acquisition, considering the impact of prepayments, is referred to as the “nonaccretable difference.” The following table presents the changes in accretable yield on PCI loans for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Accretable yield for PCI loans, beginning of period $ 101,977 $ 136,247 $ 214,907 Accretion (34,662 ) (42,487 ) (68,708 ) Changes in expected cash flows 7,555 8,217 (9,952 ) Accretable yield for PCI loans, end of period $ 74,870 $ 101,977 $ 136,247 Loans Held-for-Sale At the time of commitment to originate or purchase a loan, the loan is determined to be held for investment if it is the Company’s intent to hold the loan to maturity or for the “foreseeable future,” subject to periodic reviews under the Company’s evaluation processes, including asset/liability and credit risk management. When the Company subsequently changes its intent to hold certain loans, the loans are transferred from held-for-investment to held-for-sale at the lower of cost or fair value. As of December 31, 2018 , loans held-for-sale of $275 thousand consisted of single-family residential loans. In comparison, as of December 31, 2017 , loans held-for-sale amounted to $78.2 million , which was comprised primarily of loans related to the then pending sale of the DCB branches of $78.1 million included in Branch assets held-for-sale on the Consolidated Balance Sheet. The sale was completed in March 2018. For additional information on this pending sale, see Note 2 — Dispositions and Held-for-Sale to the Consolidated Financial Statements. The remaining loans held-for-sale, which amounted to $85 thousand , were comprised of single-family residential loans. Loan Purchases, Transfers and Sales From time to time, the Company purchases and sells loans in the secondary market. Certain purchased loans are transferred from held-for-investment to held-for-sale, and write-downs to allowance for loan losses are recorded, when appropriate. The following tables present information on loan securitization, loan purchases into held-for-investment portfolio, reclassification of loans held-for-investment to/from held-for-sale, and sales during the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 Commercial Consumer C&I CRE Multifamily Residential Construction and Land Single-Family HELOCs Other Consumer Total Loans transferred from held-for-investment to held-for-sale (1) $ 404,321 $ 62,291 $ — $ — $ 14,981 $ — $ — $ 481,593 Loans transferred from held-for-sale to held-for-investment $ 2,306 $ — $ — $ — $ — $ — $ — $ 2,306 Sales (2)(3)(4) $ 413,844 $ 62,291 $ — $ — $ 34,966 $ — $ — $ 511,101 Purchases (6) $ 525,767 $ — $ 7,389 $ — $ 63,781 $ — $ — $ 596,937 ($ in thousands) Year Ended December 31, 2017 Commercial Consumer C&I CRE Multifamily Construction Single-Family HELOCs Other Total Loans transferred from held-for-investment to held-for-sale (1) $ 476,644 $ 52,217 $ 531 $ 1,609 $ 249 $ — $ 3,706 $ 534,956 Loans of DCB branches transferred from held-for-investment to held-for-sale (included in Branch assets held-for-sale ) (1) $ 17,590 $ 36,783 $ 12,448 $ 241 $ 6,416 $ 4,309 $ 345 $ 78,132 Sales (2)(3)(4) $ 476,644 $ 52,217 $ 531 $ 1,609 $ 21,058 $ — $ 25,905 $ 577,964 Purchases (6) $ 503,359 $ — $ 2,311 $ — $ 29,060 $ — $ — $ 534,730 ($ in thousands) Year Ended December 31, 2016 Commercial Consumer C&I CRE Multifamily Construction Single-Family HELOCs Other Total Loans transferred from held-for-investment to held-for-sale (1) $ 434,137 $ 110,927 $ 269,791 $ 4,245 $ — $ — $ — $ 819,100 Loans transferred from held-for-sale to held-for-investment $ — $ — $ 4,943 $ — $ — $ — $ — $ 4,943 Sales (2)(3)(4) $ 434,137 $ 110,927 $ 61,268 $ 4,245 $ 18,092 $ — $ — $ 628,669 Securitization of loans held-for-investment (5) $ — $ — $ 201,675 $ — $ — $ — $ — $ 201,675 Purchases (6)(7) $ 646,793 $ — $ 5,658 $ — $ 488,577 $ — $ — $ 1,141,028 (1) The Company recorded $14.6 million , $473 thousand and $1.9 million in write-downs to the allowance for loan losses related to loans transferred from held-for-investment to held-for-sale for the years ended December 31, 2018 , 2017 and 2016 , respectively. (2) Includes originated loans sold of $309.7 million , $ 178.2 million and $369.6 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Originated loans sold were primarily comprised of C&I loans for the year ended December 31, 2018 ; C&I, CRE and single-family residential loans for the year ended December 31, 2017 ; and C&I, CRE and multifamily residential loans for the year ended December 31, 2016 . (3) Includes purchased loans sold in the secondary market of $201.4 million , $399.8 million and $259.1 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. (4) Net gains on sales of loans, excluding the lower of cost or fair value adjustments, were $6.6 million , $8.9 million and $10.6 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. No lower of cost or fair value adjustments were recorded for the year ended December 31, 2018 . In comparison, lower of cost or fair value adjustments of $61 thousand and $5.6 million for the years ended December 31, 2017 and 2016 , respectively, were recorded in Net gains on sales of loans on the Consolidated Statement of Income. (5) Represents multifamily residential loans securitized during the first quarter of 2016 that resulted in net gains of $1.1 million , mortgage servicing rights of $641 thousand and held-to-maturity investment security of $160.1 million . (6) C&I loan purchases for each of the year ended December 31, 2018 , 2017 and 2016 were mainly comprised of C&I syndicated loans. (7) The higher loan purchases for the year ended December 31, 2016 was mainly due to $488.3 million of single-family residential loans purchased for CRA purposes. |
Investments in Qualified Afford
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities | 12 Months Ended |
Dec. 31, 2018 | |
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities [Abstract] | |
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities | Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities The CRA encourages banks to meet the credit needs of their communities for housing and other purposes, particularly in low or moderate income neighborhoods. The Company invests in certain affordable housing projects in the form of ownership interests in limited partnerships or limited liability companies (“LLCs”) that qualify for CRA and tax credits. Such entities are formed to develop and operate apartment complexes designed as high-quality affordable housing for lower income tenants throughout the U.S. Each of the entities must meet the regulatory requirements for affordable housing for a minimum 15 -year compliance period to fully utilize the tax credits. In addition to affordable housing projects, the Company also invests in New Market Tax Credit projects that qualify for CRA credits and eligible projects that qualify for renewable energy and historic tax credits. Investments in renewable energy tax credits help promote the development of renewable energy sources, while the investments in historic tax credits promote the rehabilitation of historic buildings and economic revitalization of the surrounding areas. Investments in Qualified Affordable Housing Partnerships, Net The Company records its investments in qualified affordable housing partnerships, net, using the proportional amortization method. Under the proportional amortization method, the Company amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received, and recognizes the amortization in Income tax expense on the Consolidated Statement of Income. The following table presents the Company’s investments in qualified affordable housing partnerships, net, and related unfunded commitments as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Investments in qualified affordable housing partnerships, net $ 184,873 $ 162,824 Accrued expenses and other liabilities — Unfunded commitments $ 80,764 $ 55,815 The following table presents additional information related to the Company’s investments in qualified affordable housing partnerships, net, for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Tax credits and other tax benefits recognized $ 39,262 $ 46,698 $ 37,252 Amortization expense included in income tax expense $ 28,046 $ 38,464 $ 28,206 Investments in Tax Credit and Other Investments, Net Depending on the ownership percentage and the influence the Company has on the investments in tax credit and other investments, net, the Company applies the equity or cost method of accounting, or the measurement alternative as elected under ASU 2016-01 for equity investments without readily determinable fair value. The following table presents the Company’s investments in tax credit and other investments, net, and related unfunded commitments as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Investments in tax credit and other investments, net $ 231,635 $ 224,551 Accrued expenses and other liabilities — Unfunded commitments $ 80,228 $ 113,372 The following table presents additional information related to the Company’s investments in tax credit and other investments, net, for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Amortization expense included in noninterest expense $ 89,628 $ 87,950 $ 83,446 As a result of the adoption of ASU 2016-01 in the first quarter of 2018, $31.2 million of equity securities with readily determinable fair values were included in Investments in tax credit and other investments, net , on the Consolidated Balance Sheet as of December 31, 2018 . These equity securities are CRA investments and were measured at fair value with changes in fair value recorded in net income. The unrealized losses recognized during the year ended December 31, 2018 on these equity securities totaled $547 thousand . As of December 31, 2018 , the Company’s unfunded commitments related to investments in qualified affordable housing partnerships, tax credit and other investments are estimated to be funded as follows: Years Ending December 31, Amount ($ in thousands) 2019 $ 108,602 2020 30,400 2021 8,615 2022 6,224 2023 5,401 Thereafter 1,750 Total $ 160,992 Variable Interest Entities (“VIEs”) The Company invests in unconsolidated limited partnerships and similar entities that construct, own and operate affordable housing, historic rehabilitation projects, wind and solar projects, of which the majority of such investments are variable interest entities. As a limited partner in these partnerships, these investments are designed to generate a return primarily through the realization of federal tax credits and tax benefits. An unrelated third party is typically the general partner or managing member who has control over the significant activities of such investments. While the Company’s interest in some of the investments may exceed 50% of the outstanding equity interests, the Company does not consolidate these structures due to the general partner or managing partner’s ability to manage the entity, which is indicative of power in them. The Company’s maximum exposure to loss in connection with these partnerships consist of the unamortized investment balance and any tax credits claimed subject to recapture. Special purpose entities (“SPEs”) formed in connection with securitization transactions are generally considered VIEs. The Company is the servicer of the multifamily residential loans it has securitized in the first quarter of 2016. The Company does not consolidate the multifamily securitization entity because it does not have power and does not have a variable interest that could potentially be significant to the VIE . |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill Goodwill represents the excess of the purchase price over the fair value of net assets acquired in an acquisition. The Company assesses goodwill for impairment at the reporting unit level (at the same level as the Company’s business segment) on an annual basis as of December 31 st of each year, or more frequently if events or circumstances, such as adverse changes in the economic or business environment, indicate there may be impairment. The Company organizes its operation into three reporting segments: (1) Consumer and Business Banking (referred to as “Retail Banking” in the Company’s prior quarterly Form 10-Q and annual Form 10-K filings); (2) Commercial Banking; and (3) Other. For information on how the reporting units are identified and components are aggregated, see Note 20 — Business Segments to the Consolidated Financial Statements. There was no changes in the carrying amount of goodwill during the years ended December 31, 2017 and 2016. The following table presents changes in the carrying amount of goodwill by reporting unit during year ended December 31, 2018 : ($ in thousands) Consumer and Business Banking Commercial Banking Total Beginning Balance, January 1, 2018 $ 357,207 $ 112,226 $ 469,433 Disposition of the DCB branches (3,886 ) — (3,886 ) Ending Balance, December 31, 2018 $ 353,321 $ 112,226 $ 465,547 Accounting guidance permits an entity to first perform a qualitative assessment to determine whether it is necessary to perform the two-step goodwill impairment test. The Company did not elect to perform this qualitative assessment in the 2018 annual goodwill impairment testing. For the two-step goodwill impairment test, the first step is to identify potential impairment by determining the fair value of each reporting unit and comparing such fair value to its corresponding carrying amount. If the fair value of a reporting unit exceeds its carrying amount, then goodwill of the reporting unit is considered not impaired and step two is unnecessary. If the fair value of a reporting unit is less than its carrying amount, the second step is performed to measure the amount of impairment loss, if any, by comparing the implied fair value of the reporting unit goodwill with the carrying amount of that goodwill. The implied fair value of goodwill is determined as if the reporting unit were being acquired in a business combination. If the carrying amount of the reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss shall be recognized in an amount equal to that excess. The loss recognized cannot exceed the carrying amount of goodwill. The Company completed the quantitative step one analysis of goodwill impairment test as of December 31, 2018 using a combined income and market approach to determine the fair value of the reporting units. Under the income approach, the Company prepared a net income projection for the next three years plus a terminal growth rate that was used to calculate the discounted cash flows and the present value of the reporting units. Under the market approach, the fair value was calculated using the current fair values of comparable peer banks of similar size and focus. The market capitalizations and multiples of these peer banks were used to calculate the market price of the Company and each reporting unit. A control premium adjustment, which represents the cost savings that a purchaser of the reporting units could be achieved by eliminating duplicative costs, was applied to determine the fair value. Under the combined income and market approach, the fair value from each approach was weighed based on management’s judgment to determine the fair value. As a result of this analysis, the Company determined that there was no goodwill impairment as of December 31, 2018 as the fair value of all reporting units exceeded the carrying amount of their respective reporting unit. Core Deposit Intangibles Core deposit intangibles represent the intangible value of depositor relationships resulting from deposit liabilities assumed in various acquisitions and are included in Other assets on the Consolidated Balance Sheet. These intangibles are tested for impairment on an annual basis, or more frequently as events occur or current circumstances and conditions warrant. Core deposit intangibles associated with the sale of the Bank’s DCB branches with a net carrying amount of $1.0 million were written off in the first quarter of 2018. There were no impairment write-downs on the remaining core deposit intangibles for the years ended December 31, 2018 , 2017 and 2016 . The following table presents the gross carrying amount of core deposit intangible assets and accumulated amortization as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Gross balance (1) $ 86,099 $ 100,166 Accumulated amortization (1) (71,570 ) (79,112 ) Net carrying balance (1) $ 14,529 $ 21,054 (1) Excludes fully amortized core deposit intangible assets. Amortization Expense The Company amortizes the core deposit intangibles based on the projected useful lives of the related deposits. The amortization expense related to the core deposit intangible assets was $5.5 million , $6.9 million and $8.1 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. The following table presents the estimated future amortization expense of core deposit intangibles for the five years succeeding December 31, 2018 and thereafter: Amount Years Ending December 31, ($ in thousands) 2019 $ 4,518 2020 3,634 2021 2,749 2022 1,865 2023 1,199 Thereafter 564 Total $ 14,529 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2018 | |
DEPOSIT ACCOUNTS | |
Deposits | Deposits The following table presents the composition of the Company’s deposits as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Core deposits: Noninterest-bearing demand $ 11,377,009 $ 10,887,306 Interest-bearing checking 4,584,447 4,419,089 Money market 8,262,677 8,359,425 Savings 2,146,429 2,308,494 Total core deposits 26,370,562 25,974,314 Time deposits: Less than $100,000 1,957,121 1,176,973 $100,000 or greater 7,111,945 4,463,776 Total time deposits 9,069,066 5,640,749 Total deposits $ 35,439,628 $ 31,615,063 The aggregate amount of domestic time deposits that meet or exceed the current Federal Deposit Insurance Corporation (“FDIC”) insurance limit of $250,000 was $4.45 billion and $2.37 billion as of December 31, 2018 and 2017 , respectively. The aggregate amount of foreign office time deposits, including both Hong Kong and China that meet or exceed the current FDIC insurance limit of $250,000 was $1.19 billion and $814.6 million as of December 31, 2018 and 2017 , respectively. As of December 31, 2018 , $621.3 million of interest-bearing demand deposits and $1.21 billion of time deposits were held by the Company’s branch in Hong Kong and subsidiary bank in China. As of December 31, 2017 , $456.4 million of interest-bearing demand deposits and $841.3 million of time deposits were held by the Company’s branch in Hong Kong and subsidiary bank in China. The following table presents the scheduled maturities of time deposits for the five years succeeding December 31, 2018 and thereafter: ($ in thousands) Amount 2019 $ 8,413,358 2020 484,386 2021 68,186 2022 67,182 2023 9,026 Thereafter 26,928 Total $ 9,069,066 |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances and Long-Term Debt | 12 Months Ended |
Dec. 31, 2018 | |
FEDERAL HOME LOAN BANK ADVANCES AND LONG-TERM DEBT | |
Federal Home Loan Bank Advances and Long-Term Debt | Federal Home Loan Bank Advances and Long-Term Debt FHLB Advances FHLB advances to the Bank totaled $326.2 million and $323.9 million as of December 31, 2018 and 2017 , respectively. The FHLB advances have floating interest rates that reset monthly or quarterly based on LIBOR. The weighted-average interest rate was 2.87% and 1.85% as of December 31, 2018 and 2017 , respectively. The interest rates ranged from 1.79% to 2.98% and 0.67% to 1.95% for the years ended December 31, 2018 and 2017 , respectively. As of December 31, 2018 , FHLB advances that will mature in the next five years include $81.9 million in 2019 and $244.3 million in 2022. The Bank’s available borrowing capacity from FHLB advances totaled $6.11 billion and $6.83 billion as of December 31, 2018 and 2017 , respectively. The Bank’s available borrowing capacity from the FHLB is derived from its portfolio of loans that are pledged to the FHLB reduced by its outstanding FHLB advances. As of December 31, 2018 and 2017 , all advances were secured by real estate loans. Long-Term Debt The following table presents the components of long-term debt as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Junior subordinated debt $ 146,835 $ 146,577 Term loan — 25,000 Total long-term debt $ 146,835 $ 171,577 Junior Subordinated Debt As of December 31, 2018 , East West has six statutory business trusts for the purpose of issuing junior subordinated debt to third party investors. The junior subordinated debt was issued in connection with the East West’s various pooled trust preferred securities offerings. The Trusts issued both fixed and variable rate capital securities, representing undivided preferred beneficial interests in the assets of the Trusts, to third party investors. East West is the owner of all the beneficial interests represented by the common securities of the Trusts. The junior subordinated debt is recorded as a component of long-term debt and includes the value of the common stock issued by six of East West’s wholly-owned subsidiaries in conjunction with these transactions. The common stock is recorded in Other assets on the Consolidated Balance Sheet for the amount issued in connection with these junior subordinated debt issuances. The following table presents the outstanding junior subordinated debt issued by each trust as of December 31, 2018 and 2017 : Issuer Stated (1) Stated Current Rate December 31, 2018 December 31, 2017 Aggregate Principal Amount of Trust Securities Aggregate Principal Amount of the Junior Subordinated Debts Aggregate Aggregate ($ in thousands) East West Capital Trust V November 2034 3-month LIBOR + 1.80% 4.45% $ 464 $ 15,000 $ 464 $ 15,000 East West Capital Trust VI September 2035 3-month LIBOR + 1.50% 4.29% 619 20,000 619 20,000 East West Capital Trust VII June 2036 3-month LIBOR + 1.35% 4.14% 928 30,000 928 30,000 East West Capital Trust VIII June 2037 3-month LIBOR + 1.40% 4.14% 619 18,000 619 18,000 East West Capital Trust IX September 2037 3-month LIBOR + 1.90% 4.69% 928 30,000 928 30,000 MCBI Statutory Trust I December 2035 3-month LIBOR + 1.55% 4.34% 1,083 35,000 1,083 35,000 Total $ 4,641 $ 148,000 $ 4,641 $ 148,000 (1) All the debt instruments mature more than five years after December 31, 2018 and are subject to call options where early redemption requires appropriate notice. The proceeds from these issuances represent liabilities of East West to the Trusts and are reported on the Consolidated Balance Sheet as a component of Long-term debt . Interest payments on these securities are made quarterly and are deductible for tax purposes. Term Loan In 2013, East West entered into a $100.0 million three -year term loan agreement. The terms of the agreement were modified in 2015 to extend the term loan maturity from July 1, 2016 to December 31, 2018, where principal repayments of $5.0 million were due quarterly. The term loan bears interest at the rate of the three-month LIBOR plus 150 basis points and the weighted-average interest rate was 3.60% and 2.70% for the years ended December 31, 2018 and 2017 , respectively. As of December 31, 2018 , the term loan had no outstanding balances as East West had made all scheduled principal repayments on the term loan. As of December 31, 2017 , the outstanding balance of the term loan was $25.0 million . |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customer | Revenue from Contracts with Customers On January 1, 2018, the Company adopted ASU 2014-09, Revenue from Contracts with Customers — Topic 606 and all subsequent ASUs that modified ASC 606, Revenue from Contracts with Customers. The Company adopted ASC 606 using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. The new standard did not materially impact the timing or measurement of the Company’s revenue recognition as it is consistent with the Company’s previously existing accounting for contracts within the scope of the new standard. There was no cumulative effect adjustment to retained earnings as a result of adopting this new standard. The following tables present revenue from contracts with customers within the scope of ASC 606 and other noninterest income, segregated by operating segments for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 Consumer and Business Banking Commercial Other Total Noninterest income: Revenue from contracts with customers (1) : Branch fees: Deposit service charges and related fee income $ 22,474 $ 12,326 $ 423 $ 35,223 Card income 3,880 756 — 4,636 Wealth management fees 13,357 428 — 13,785 Total revenue from contracts with customers $ 39,711 $ 13,510 $ 423 $ 53,644 Other sources of noninterest income (2) 45,896 96,777 14,592 157,265 Total noninterest income $ 85,607 $ 110,287 $ 15,015 $ 210,909 ($ in thousands) Year Ended December 31, 2017 Consumer and Banking Commercial Other Total Noninterest income: Revenue from contracts with customers (1) : Branch fees: Deposit service charges and related fee income $ 24,109 $ 11,476 $ 464 $ 36,049 Card income 3,938 938 — 4,876 Wealth management fees 12,218 1,756 — 13,974 Total revenue from contracts with customers $ 40,265 $ 14,170 $ 464 $ 54,899 Other sources of noninterest income (2) 14,186 95,919 92,744 202,849 Total noninterest income $ 54,451 $ 110,089 $ 93,208 $ 257,748 ($ in thousands) Year Ended December 31, 2016 Consumer and Banking Commercial Other Total Noninterest income: Revenue from contracts with customers (1) : Branch fees: Deposit service charges and related fee income $ 23,965 $ 10,200 $ 345 $ 34,510 Card income 4,352 763 29 5,144 Wealth management fees 9,425 3,171 4 12,600 Total revenue from contracts with customers $ 37,742 $ 14,134 $ 378 $ 52,254 Other sources of noninterest income (2) 13,509 81,422 35,093 130,024 Total noninterest income $ 51,251 $ 95,556 $ 35,471 $ 182,278 (1) There were no adjustments to the Company’s financial statements recorded as a result of the adoption of ASC 606. For comparability, the Company has adjusted prior period amounts to conform to the current period’s presentation. (2) Primarily represents revenue from contracts with customers that are out of the scope of ASC 606. Generally, the Company recognizes revenue from contracts with customers when it satisfies its performance obligations. The Company’s performance obligations are typically satisfied as services are rendered. The Company generally records contract liabilities, or deferred revenue, when payments from customers are received or due in advance of providing services. The Company records contract assets when services are provided to customers before payment is received or before payment is due. Since the Company receives payments for its services during the period or at the time services are provided, there were no contract asset or receivable balances as of both December 31, 2018 and 2017 . The major revenue streams by fee type that are within the scope of ASC 606 presented in the above tables are described in additional detail below: Branch Fees — Deposit Service Charges and Related Fee Income The Company offers a range of deposit products to individuals and businesses, which includes savings, money market, checking and time deposit accounts. The deposit account services include ongoing account maintenance, as well as certain optional services such as automated teller machine usage, wire transfer services or check orders. In addition, treasury management and business account analysis services are offered to commercial deposit customers. The Company may charge a fixed monthly account maintenance fee if certain average balances are not maintained, therefore making the fee variable. In addition, each time a deposit customer selects an optional service, the Company may earn transactional fees, generally recognized by the Company at the point in time when the transaction occurs. For business analysis accounts, commercial deposit customers receive an earnings credit based on their account balance, which can be used to offset the cost of banking and treasury management services. Business analysis accounts that are assessed fees in excess of earnings credits received are typically charged at the end of each month, after all transactions are known and the credits are calculated. Branch Fees — Card Income Card income is comprised of merchant referral fees and interchange income. For merchant referral fees, the Company provides marketing and referral services to acquiring banks for merchant card processing services and earns variable referral fees based on transaction activities. The Company satisfies its performance obligation over time as the Company identifies, solicits, and refers business customers who are provided such services. The Company receives monthly fees net of consideration it pays to the acquiring bank performing the merchant card processing services. The Company recognizes revenue on a monthly basis when the uncertainty associated with the variable referral fees is resolved after the Company receives monthly statements from the acquiring bank. For interchange income, the Company, as a card issuer, has a stand ready performance obligation to authorize, clear, and settle card transactions. The Company earns, or pays, interchange fees, which are percentage-based on each transaction, and based on rates published by the corresponding payment network for transactions processed using their network. The Company measures its progress toward the satisfaction of its performance obligation over time, as services are rendered, and the Company provides continuous access to this service and settles transactions as its customer, the payment network, requires. Interchange income is presented net of direct costs paid to the customer and entities in their distribution chain, which are transaction-based expenses such as rewards program expenses and certain network costs. Revenue is recognized when the net profit is determined by the payment networks at the end of each day. Wealth Management Fees The Company employs financial consultants to provide investment planning services for customers including wealth management services, asset allocation strategies, portfolio analysis and monitoring, investment strategies, and risk management strategies. The fees the Company earns are variable and are generally received monthly. The Company recognizes revenue for the services performed at quarter-end based on actual transaction details received from the broker-dealer the Company engages. Practical Expedients and Exemptions The Company applies the practical expedient in ASC 606-10-50-14 and does not disclose the value of unsatisfied performance obligations as the Company’s contracts with customers generally have a term that is less than one year, are open-ended with a cancellation period that is less than one year, or allow the Company to recognize revenue in the amount to which the Company has the right to invoice. In addition, given the short-term nature of the contracts, the Company also applies the practical expedient in ASC 606-10-32-18 and does not adjust the consideration from customers for the effects of a significant financing component, if at contract inception the period between when the entity transfers the goods or services and when the customer pays for that good or service is one year or less. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The following table presents the components of income tax expense for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Current income tax expense: Federal $ 63,035 $ 120,968 $ 63,642 State 64,917 72,837 48,558 Foreign 3,513 1,815 1,345 Total current income tax expense 131,465 195,620 113,545 Deferred income tax (benefit) expense: Federal (11,870 ) 40,057 25,296 State (4,600 ) (6,201 ) 1,883 Foreign — — (213 ) Total deferred income tax (benefit) expense (16,470 ) 33,856 26,966 Income tax expense $ 114,995 $ 229,476 $ 140,511 Upon exercise or vesting of a share-based award, if the tax deduction exceeds the compensation cost that was previously recorded for financial statement purposes, this will result in an excess tax benefit. Effective January 1, 2017, the Company adopted ASU 2016-09, Compensation — Stock Compensation (Topic 718) : Improvements to Employee Share-Based Payment Accounting. As a result of the adoption of this new guidance, all excess tax benefits on share-based payment awards, which amounted to $5.1 million and $4.8 million , were recognized in Income tax expense on the Consolidated Statement of Income for the years ended December 31, 2018 and 2017 , respectively. Prior to the adoption of ASU 2016-09, any excess tax benefits were recognized in Additional paid-in capital on the Consolidated Statement of Changes in Stockholders’ Equity to offset current-period and subsequent-period tax deficiencies. Hence, the preceding table does not include these excess tax benefits recorded directly to the Consolidated Statement of Changes in Stockholders’ Equity of $1.1 million for the year ended December 31, 2016 . The following table presents the reconciliation of the federal statutory rate to the Company’s effective tax rate for the years ended December 31, 2018 , 2017 and 2016 : Year Ended December 31, 2018 2017 2016 Federal income tax provision at statutory rate 21.0 % 35.0 % 35.0 % State franchise taxes, net of federal tax effect 5.8 5.9 6.1 Tax Cuts and Jobs Act of 2017 (the “Tax Act”) 0.1 4.5 — Tax credits, net of amortization (13.3 ) (15.1 ) (18.3 ) Other, net 0.4 0.9 1.8 Effective tax rate 14.0 % 31.2 % 24.6 % On December 22, 2017, the Tax Act was signed into law, resulting in significant changes to the Internal Revenue Code. Changes include, but are not limited to, reducing the U.S. federal corporate income tax rate from 35% to 21% effective January 1, 2018; allowing the expensing of 100% of the cost of acquired qualified property placed in service after September 27, 2017; transitioning from a worldwide tax system to a territorial system; imposing a one-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings as of December 31, 2017 , and eliminating the carrybacks of tax credits and net operating losses (“NOLs”) incurred after December 31, 2017 . In addition, NOLs incurred after December 31, 2017 cannot offset more than 80% of taxable income for any future year, but may be carried forward indefinitely. ASC 740, Income Taxes, requires companies to recognize the effect of the Tax Act in the period of enactment. Hence, such effects were recognized in the Company’s 2017 Consolidated Financial Statements, even though the effective date of the law for most provisions is January 1, 2018. Based on reasonable estimates, the Company recorded $41.7 million of income tax expense in the fourth quarter of 2017 related to the impact of the Tax Act, the period in which the legislation was enacted. This amount was primarily related to the remeasurements of certain deferred tax assets and liabilities of $33.1 million , as well as the remeasurements of tax credits and other tax benefits related to qualified affordable housing partnerships of $7.9 million . During the year ended December 31, 2018 , management finalized its assessment of the initial impact of the Tax Act, which resulted in an increase in income tax expense of $985 thousand during the same period ensuing from the remeasurement of deferred tax assets and liabilities. The overall impact of the Tax Act was a one-time increase in income tax expense of $42.7 million . The tax effects of temporary differences that give rise to a significant portion of deferred tax assets and liabilities as of December 31, 2018 and 2017 are presented below: ($ in thousands) December 31, 2018 2017 Federal State Foreign Total Federal State Foreign Total Deferred tax assets: Allowance for loan losses and OREO reserves $ 66,510 $ 30,366 $ 1,366 $ 98,242 $ 62,942 $ 28,857 $ 1,365 $ 93,164 Tax credit carryforwards 24,116 2,715 — 26,831 — — — — Unrealized losses on securities 13,127 7,106 — 20,233 10,730 5,354 — 16,084 Deferred compensation 13,081 5,919 — 19,000 11,483 5,220 — 16,703 Interest income on nonaccrual loans 5,922 2,680 — 8,602 5,396 2,451 — 7,847 State taxes 4,898 — — 4,898 5,217 — — 5,217 Mortgage servicing assets 1,406 605 — 2,011 2,727 1,206 — 3,933 Fixed assets (1,047 ) 1,932 — 885 — — — — Other, net 2,027 5,422 97 7,546 744 5,481 97 6,322 Total gross deferred tax assets 130,040 56,745 1,463 188,248 99,239 48,569 1,462 149,270 Valuation allowance — (128 ) — (128 ) — (256 ) — (256 ) Total deferred tax assets, net of valuation allowance $ 130,040 $ 56,617 $ 1,463 $ 188,120 $ 99,239 $ 48,313 $ 1,462 $ 149,014 Deferred tax liabilities: Equipment financing $ (26,040 ) $ (4,483 ) $ — $ (30,523 ) $ (21,844 ) $ (3,760 ) $ — $ (25,604 ) Investments in qualified affordable housing partnerships, tax credit and other investments, net (31,098 ) 3,806 — (27,292 ) (10,838 ) 7,025 — (3,813 ) Core deposit intangibles (3,048 ) (1,494 ) — (4,542 ) (4,408 ) (2,117 ) — (6,525 ) Acquired loans and OREO (1,293 ) (318 ) (406 ) (2,017 ) (2,252 ) (754 ) (406 ) (3,412 ) FHLB stock dividends (1,285 ) (581 ) — (1,866 ) (1,285 ) (583 ) — (1,868 ) Acquired debt (1,219 ) (552 ) — (1,771 ) (1,273 ) (578 ) — (1,851 ) Prepaid expenses (831 ) (376 ) — (1,207 ) (4,142 ) (1,517 ) — (5,659 ) Fixed assets — — — — (2,671 ) 914 — (1,757 ) Other, net (923 ) (338 ) — (1,261 ) (510 ) (609 ) — (1,119 ) Total gross deferred tax liabilities $ (65,737 ) $ (4,336 ) $ (406 ) $ (70,479 ) $ (49,223 ) $ (1,979 ) $ (406 ) $ (51,608 ) Net deferred tax assets $ 64,303 $ 52,281 $ 1,057 $ 117,641 $ 50,016 $ 46,334 $ 1,056 $ 97,406 Deferred tax benefits of $3.6 million , $1.5 million and $16.4 million related to net unrealized losses on available-for-sale investment securities are recorded as changes in AOCI for the years ended December 31, 2018 , 2017 and 2016 , respectively. During the year ended December 31, 2017 , the AOCI was not adjusted to reflect the impact of the Tax Act on the remeasurement of deferred tax assets arising from these net unrealized losses, which was recognized in income tax expense. This resulted in stranded tax effects within the AOCI related to available-for-sale investment securities not reflecting the appropriate new tax rate (which is 21%). During the first quarter of 2018, the Company early adopted ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220) : Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which permits companies to reclassify the stranded tax effects resulting from the Tax Act from AOCI to retained earnings on a retrospective basis. The adoption of the guidance resulted in a cumulative-effect adjustment as of January 1, 2018 that increased retained earnings by $6.7 million and reduced AOCI by the same amount. The tax benefits of deductible temporary differences and tax carryforwards are recorded as an asset to the extent that management assesses the utilization of such temporary differences and carryforwards to be more likely than not. A valuation allowance is used, as needed, to reduce the deferred tax assets to the amount that is more likely than not to be realized. Evidence the Company considered includes the Company’s ability to generate future taxable income, implement tax-planning strategies (as defined in ASC 740, Income Taxes ), and utilize taxable income from prior carryback years (if such carryback is permitted under the applicable tax law), as well as future reversals of existing taxable temporary differences. The Company expects to have sufficient taxable income in future years to fully realize its deferred tax assets. Apart from this factor, the Company also performed an overall assessment by weighing all positive evidence against all negative evidence and concluded that it is more likely than not that all of the benefits of the deferred tax assets will be realized, with the exception of the deferred tax assets related to certain state NOL carryforwards. For states other than California, Georgia, Massachusetts and New York, because management believes that the state NOL carryforwards may not be fully utilized, a valuation allowance of $128 thousand and $256 thousand was recorded for such carryforwards as of December 31, 2018 and 2017 , respectively. The Company believes that adequate provisions have been made for all income tax uncertainties consistent with the standards of ASC 740-10. As of December 31, 2018 and 2017 , the Company recorded net deferred tax assets of $117.6 million and $97.4 million , respectively, in Other assets on the Consolidated Balance Sheet. The following table presents the activities related to the Company’s unrecognized tax position for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Beginning Balance $ 10,419 $ 10,419 $ 7,125 Additions for tax positions related to prior years — — 5,819 Deductions for tax positions related to prior years (3,969 ) — — Settlements with taxing authorities (2,072 ) — (2,525 ) Ending Balance $ 4,378 $ 10,419 $ 10,419 As of December 31, 2018 and 2017 , the balance of the Company’s unrecognized tax position that, if recognized, would favorably affect the effective tax rate in the future was $3.5 million and $8.2 million , respectively. The Company recognizes interest and penalties, if applicable, related to the underpayment of income taxes as a component of Income tax expense on the Consolidated Statement of Income. The Company recorded a (reversal) charge of $(2.0) million , $450 thousand and $6.2 million of interest and penalties for the years ended December 31, 2018 , 2017 and 2016 , respectively. Total accrued interest and penalties included in Accrued expenses and other liabilities on the Consolidated Balance Sheet were $6.3 million and $8.4 million as of December 31, 2018 and 2017 , respectively. The foreign provision for income taxes is based on foreign pre-tax earnings of $14.1 million , $7.3 million and $4.5 million for the years ended 2018, 2017 and 2016, respectively. The Company’s consolidated financial statements provide for any related tax liability on undistributed earnings that the Company does not intend to be indefinitely reinvested outside the U.S. All of the Company’s undistributed international earnings intended to be indefinitely reinvested in operations outside the U.S. were generated by the Company’s subsidiary organized in China. As of December 31, 2018, U.S. income taxes have not been provided on a cumulative total of $52.3 million of such earnings. The amount of unrecognized deferred tax liability related to these temporary differences is estimated to be $6.2 million . Beginning with its 2012 tax year, the Company has executed a Memorandum of Understanding (“MOU”) with the Internal Revenue Service (“IRS”) to voluntarily participate in the IRS Compliance Assurance Process (“CAP”). Under the CAP, the IRS audits the tax position of the Company to identify and resolve any tax issues that may arise throughout the tax year. The objective of the CAP is to resolve issues in a timely and contemporaneous manner and eliminate the need for a lengthy post-filing examination. The Company has executed a MOU with the IRS through 2019 tax year. For federal tax purposes, the IRS had completed the 2017 and earlier tax years’ corporate income tax return examination. In addition, the state of California had initiated an audit of the Company’s corporate income tax return for the 2014 tax year as of December 31, 2018 . The Company does not believe that the outcome of unresolved issues or claims in any tax jurisdiction is likely to be material to the Company’s financial position, cash flows or results of operations. The Company believes that adequate provisions have been recorded for all income tax uncertainties consistent with ASC 740, Income Taxes as of December 31, 2018. The Company is also evaluating the possibility of recording an uncertain tax position liability in 2019 with regards to its investments in mobile solar generators sold and managed by DC Solar and its affiliates (“DC Solar”). For further information, see Note 23 — Subsequent Events . |
Commitments, Contingencies and
Commitments, Contingencies and Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Related Party Transactions | Commitments, Contingencies and Related Party Transactions Commitments to Extent Credit — In the normal course of business, the Company provides customers loan commitments on predetermined terms. These outstanding commitments to extend credit are not reflected in the accompanying Consolidated Financial Statements. While the Company does not anticipate losses as a result of these transactions, commitments to extend credit are included in determining the appropriate level of the allowance for unfunded commitments, and outstanding commercial and SBLCs. The following table presents the Company’s credit-related commitments as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Loan commitments $ 5,147,821 $ 5,075,480 Commercial letters of credit and SBLCs $ 1,796,647 $ 1,655,897 Loan commitments are agreements to lend to customers provided that there are no violations of any conditions established in the agreement. Commitments generally have fixed expiration dates or other termination clauses and may require maintenance of compensatory balances. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future funding requirements. Commercial letters of credit are issued to facilitate domestic and foreign trade transactions, while SBLCs are generally contingent upon the failure of the customers to perform according to the terms of the underlying contract with the third party. As a result, the total contractual amounts do not necessarily represent future funding requirements. The Company’s historical experience is that SBLCs typically expire without being funded. Additionally, in many cases, the Company holds collateral in various forms against these SBLCs. As part of its risk management activities, the Company monitors the creditworthiness of customers in conjunction with its SBLC exposure. Customers are obligated to reimburse the Company for any payment made on the customers’ behalf. If the customers fail to pay, the Company would, as applicable, liquidate the collateral and/or offset accounts. As of December 31, 2018 , total letters of credit of $1.80 billion were comprised of SBLCs of $1.71 billion and commercial letters of credit of $81.9 million . The Company applies the same credit underwriting criteria in extending loans, commitments and conditional obligations to customers. Each customer’s creditworthiness is evaluated on a case-by-case basis. Collateral and financial guarantees may be obtained based on management’s assessment of the customer’s credit. Collateral may include cash, accounts receivable, inventory, property, plant and equipment, and income-producing commercial property. Estimated exposure to loss from these commitments is included in the allowance for unfunded credit reserves, and amounted to $12.4 million as of December 31, 2018 and $12.7 million as of December 31, 2017 . These amounts are included in Accrued expenses and other liabilities on the Consolidated Balance Sheet. Guarantees — The Company sells or securitizes loans with recourse in the ordinary course of business. The recourse component in the loans sold or securitized with recourse is considered a guarantee. As the guarantor, the Company is obligated to repurchase up to the recourse component of the loans if the loans default. The following table presents the types of guarantees the Company had outstanding as of December 31, 2018 and 2017 : ($ in thousands) Maximum Potential Future Payments Carrying Value December 31, December 31, 2018 2017 2018 2017 Single-family residential loans sold or securitized with recourse $ 16,700 $ 20,240 $ 16,700 $ 20,240 Multifamily residential loans sold or securitized with recourse 17,058 18,482 69,974 93,477 Total $ 33,758 $ 38,722 $ 86,674 $ 113,717 The Company’s recourse reserve related to these guarantees is included in the allowance for unfunded credit reserves and totaled $123 thousand and $214 thousand as of December 31, 2018 and 2017 , respectively. The allowance for unfunded credit reserves is included in Accrued expenses and other liabilities on the Consolidated Balance Sheet. The Company continues to experience minimal losses from the single-family and multifamily residential loan portfolios sold or securitized with recourse. Lease Commitments — The Company has commitments for leasing premises under the terms of non-cancellable operating leases. Rental expense amounted to $31.9 million , $29.7 million and $24.1 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Future minimum rental payments under non-cancellable operating leases are estimated as follows: Years Ending December 31, Amount ($ in thousands) 2019 $ 42,008 2020 36,169 2021 30,735 2022 21,395 2023 14,986 Thereafter 40,357 Total $ 185,650 Litigation — The Company is a party to various legal actions arising in the course of its business. In accordance with ASC 450, Contingencies , the Company accrues reserves for outstanding lawsuits, claims and proceedings when a loss contingency is probable and can be reasonably estimated. The Company estimates the amount of loss contingencies using current available information from legal proceedings, advice from legal counsel, and available insurance coverage. Due to the inherent subjectivity of the assessments and unpredictability of the outcomes of the legal proceedings, any amounts accrued or included in this aggregate amount may not represent the ultimate loss to the Company from the legal proceedings in question. Thus, the Company’s exposure and ultimate losses may be higher, and possibly significantly more than the amounts accrued. Other Commitments — The Company has commitments to invest in qualified affordable housing partnerships, tax credit and other investments as discussed in Note 8 — Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities to the Consolidated Financial Statements. As of December 31, 2018 and 2017 , these commitments were $161.0 million and $169.2 million , respectively. These commitments are included in Accrued expenses and other liabilities on the Consolidated Balance Sheet. Refer to Note 8 — Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities to the Consolidated Financial Statements for the years these commitments are expected to be funded. Related Party Transactions — In the ordinary course of business, the Company may extend credit to related parties, including executive officers, directors and principal shareholders. These related party loans were not material for the years ended December 31, 2018 and 2017 . |
Stock Compensation Plans
Stock Compensation Plans | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Compensation Plans | Stock Compensation Plans Pursuant to the Company’s 2016 Stock Incentive Plan, as amended, the Company may issue stocks, stock options, restricted stock awards (“RSAs”), RSUs, stock appreciation rights, stock purchase warrants, phantom stock and dividend equivalents to eligible employees, consultants, other service providers, and non-employee directors of the Company and its subsidiaries. There were no outstanding stock awards other than RSUs as of December 31, 2018 , 2017 and 2016 . An aggregate of 14.0 million shares of common stock were authorized under the 2016 Stock Incentive Plan, and the total number of shares available for grant was approximately 4.2 million as of December 31, 2018 . The following table presents a summary of the total share-based compensation expense and the related net tax benefits associated with the Company’s various employee share-based compensation plans for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Stock compensation costs $ 30,937 $ 24,657 $ 22,102 Related net tax benefits for stock compensation plans $ 5,089 $ 4,775 $ 1,055 RSUs — RSUs are granted under the Company’s long-term incentive plan at no cost to the recipient. RSUs vest ratably over three years or cliff vest after three or five years of continued employment from the date of the grant. RSUs entitle the recipient to receive cash dividend equivalents to any dividends paid on the underlying common stock during the period the RSUs are outstanding. RSU dividends are accrued during the vesting period and are paid at the time of vesting. While a portion of RSUs are time-vesting awards, others vest subject to the attainment of specified performance goals referred to as “Performance-based RSUs.” All RSUs are subject to forfeiture until vested. Performance-based RSUs are granted at the target amount of awards. Based on the Company’s attainment of specified performance goals and consideration of market conditions, the number of shares that vest can be adjusted to a minimum of zero and to a maximum of 200% of the target. The amount of performance-based RSUs that are eligible to vest is determined at the end of each performance period and is then added together to determine the total number of performance shares that are eligible to vest. Performance-based RSUs cliff vest three years from the date of each grant. Compensation costs for the time-based awards are based on the quoted market price of the Company’s stock at the grant date. Compensation costs associated with performance-based RSUs are based on grant date fair value which considers both market and performance conditions, and is subject to subsequent adjustments based on the changes in the Company’s projected outcome of the performance criteria. Compensation costs of both time-based and performance-based awards are recognized on a straight-line basis from the grant date until the vesting date of each grant. The following table presents a summary of the activities for the Company’s time-based and performance-based RSUs for the year ended December 31, 2018 . The number of outstanding performance-based RSUs stated below assumes the associated performance targets will be met at the target level. Year Ended December 31, 2018 Time-Based RSUs Performance-Based RSUs Shares Weighted- Average Grant Date Fair Value Shares Weighted- Outstanding, beginning of year 1,166,580 $ 42.00 424,299 $ 41.44 Granted 427,805 66.86 120,286 70.13 Vested (349,939 ) 39.84 (133,295 ) 41.15 Forfeited (123,055 ) 50.48 — — Outstanding, end of year 1,121,391 $ 51.22 411,290 $ 49.93 The weighted-average grant date fair value of the time-based awards granted during the years ended December 31, 2018 , 2017 and 2016 was $66.86 , $55.28 and $31.86 , respectively. The weighted-average grant date fair value of the performance-based awards granted during the years ended December 31, 2018 , 2017 and 2016 was $70.13 , $56.59 and $29.18 , respectively. The total fair value of time-based awards that vested during the years ended December 31, 2018 , 2017 and 2016 was $23.1 million , $17.2 million and $4.2 million , respectively. The total fair value of performance-based awards that vested during the years ended December 31, 2018 , 2017 and 2016 was $16.2 million , $13.0 million and $4.4 million , respectively. As of December 31, 2018 , there were $31.9 million and $11.6 million of total unrecognized compensation costs related to unvested time-based and performance-based RSUs, respectively. These costs are expected to be recognized over a weighted-average period of 1.91 years and 1.80 years, respectively. Stock Purchase Plan — The 1998 Employee Stock Purchase Plan (the “Purchase Plan”) provides eligible employees of the Company the right to purchase shares of its common stock at a discount. Employees could purchase shares at 90% of the fair market price subject to an annual purchase limitation of $22,500 per employee. As of December 31, 2018 , the Purchase Plan qualifies as a non-compensatory plan under Section 423 of the Internal Revenue Code and, accordingly, no compensation expense has been recognized. 2,000,000 shares of the Company’s common stock have been made available-for-sale under the Purchase Plan. During the years ended December 31, 2018 and 2017 , 51,541 shares totaling $2.8 million and 45,343 shares totaling $2.3 million , respectively, have been sold to employees under the Purchase Plan. As of December 31, 2018 , there were 475,146 shares available under the Purchase Plan. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The Company sponsors a defined contribution plan, the East West Bank Employees 401(k) Savings Plan (the “Plan”), designed to provide retirement benefits financed by participants’ tax deferred contributions for the benefits of its employees. A Roth 401(k) investment option is also available to the participants, with contributions to be made on an after-tax basis. Under the terms of the Plan, eligible employees may elect to defer up to 80% of their compensation before taxes, up to the dollar limit imposed by the IRS for tax purposes. Participants can also designate a part or all of their contributions as Roth 401(k) contributions. Effective as of April 1, 2014, the Company matches 75% of the first 6% of the Plan participant’s deferred compensation. The Company’s contributions to the Plan are determined annually by the Board of Directors in accordance with the Plan requirements. Plan participants become vested in matching contributions received from the Company at the rate of 20% per year for each full year of service, such that the Plan participants become 100% vested after five years of credited service. For the Plan years ended December 31, 2018 , 2017 and 2016 , the Company expensed $9.9 million , $8.9 million and $8.4 million , respectively. During 2002, the Company adopted a Supplemental Executive Retirement Plan (“SERP”) pursuant to which the Company will pay supplemental pension benefits to certain executive officers designated by the Board of Directors upon retirement based upon the officers’ years of service and compensation. The SERP meets the definition of a pension plan per ASC 715-30, Compensation — Retirement Benefits — Defined Benefit Plans — Pension. The SERP is an unfunded, non-qualified plan under which the participants have no rights beyond those of a general creditor of the Company, and there are no specific assets set aside by the Company in connection with the plan. As of December 31, 2018 , there were no additional benefits to be accrued for under the SERP. As of each of December 31, 2018 and 2017 , there was one executive officer remaining under the SERP. For the years ended December 31, 2018 , 2017 and 2016 , $332 thousand , $331 thousand and $624 thousand , respectively, of benefits were expensed and accrued for. The benefit obligation was $4.2 million as of both December 31, 2018 and 2017 . The following table presents a summary of expected SERP payments to be paid for the next five years and thereafter as of December 31, 2018 : Years Ending December 31, Amount ($ in thousands) 2019 $ 329 2020 339 2021 349 2022 359 2023 370 Thereafter 7,484 Total $ 9,230 |
Stockholders_ Equity and Earnin
Stockholders’ Equity and Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Stockholders’ Equity and Earnings Per Share | Stockholders’ Equity and Earnings Per Share Stock Repurchase Program — On July 17, 2013, the Company’s Board authorized a stock repurchase program to buy back up to $100.0 million of the Company’s common stock. The Company has not repurchased any shares under this program thereafter, including during 2018 and 2017 . Although this program has no stated expiration date, the Company does not intend to repurchase any shares pursuant to this program absent further action of the Company’s Board. Warrant — The Company acquired MetroCorp Bancshares, Inc. on January 17, 2014. Prior to the acquisition, MetroCorp Bancshares, Inc. had outstanding warrants to purchase 771,429 shares of its common stock. Upon the acquisition, the rights of the warrant holders were converted into the rights to acquire 230,282 shares of East West’s common stock until January 16, 2019. The warrant was exercised on January 7, 2019. Quarterly Dividends — The Company declared quarterly cash dividends on its common stock of $0.20 per share for the first two quarters of 2018 and $0.23 per share for the remaining quarters of 2018 . The quarterly cash dividends declared on its common stock for each quarter of 2017 and 2016 were $0.20 per share. Total cash dividends of $126.0 million , $117.0 million and $116.6 million were declared to the Company’s common stockholders during the years ended December 31, 2018 , 2017 and 2016 , respectively. Earnings Per Share — Basic EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during each period. Diluted EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during each period, plus any incremental dilutive common share equivalents calculated for warrants and RSUs outstanding using the treasury stock method. With the adoption of ASU 2016-09 during the first quarter of 2017, the impact of excess tax benefits and deficiencies is no longer included in the calculation of diluted EPS. As a result of applying ASU 2016-09 in 2017, the Company recorded income tax benefits of $4.8 million or $0.03 per common share for the year ended December 31, 2017 related to the vesting of the RSUs. The following table presents the EPS calculations for the years ended December 31, 2018 , 2017 and 2016 : ($ and shares in thousands, except per share data) Year Ended December 31, 2018 2017 2016 Basic: Net income $ 703,701 $ 505,624 $ 431,677 Basic weighted-average number of shares outstanding 144,862 144,444 144,087 Basic EPS $ 4.86 $ 3.50 $ 3.00 Diluted: Net income $ 703,701 $ 505,624 $ 431,677 Basic weighted-average number of shares outstanding 144,862 144,444 144,087 Diluted potential common shares (1) 1,307 1,469 1,085 Diluted weighted-average number of shares outstanding (1) 146,169 145,913 145,172 Diluted EPS $ 4.81 $ 3.47 $ 2.97 (1) Includes dilutive shares from RSUs and warrants for the years ended December 31, 2018 , 2017 and 2016 . For the years ended December 31, 2018 , 2017 and 2016 , 10 thousand , 14 thousand and 8 thousand weighted-average shares of anti-dilutive RSUs, respectively, were excluded from the diluted EPS computation. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The following table presents the changes in the components of AOCI balances for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Available- Foreign (1) Total Balance, December 31, 2015 $ (6,144 ) $ (8,797 ) $ (14,941 ) Net unrealized losses arising during the period (16,623 ) (10,577 ) (27,200 ) Amounts reclassified from AOCI (6,005 ) — (6,005 ) Changes, net of tax (22,628 ) (10,577 ) (33,205 ) Balance, December 31, 2016 $ (28,772 ) $ (19,374 ) $ (48,146 ) Net unrealized gains arising during the period 2,531 12,753 15,284 Amounts reclassified from AOCI (4,657 ) — (4,657 ) Changes, net of tax (2,126 ) 12,753 10,627 Balance, December 31, 2017 $ (30,898 ) $ (6,621 ) $ (37,519 ) Cumulative effect of change in accounting principle related to marketable equity securities (2) 385 — 385 Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate (3) (6,656 ) — (6,656 ) Balance, January 1, 2018, adjusted (37,169 ) (6,621 ) (43,790 ) Net unrealized losses arising during the period (6,866 ) (5,732 ) (12,598 ) Amounts reclassified from AOCI (1,786 ) — (1,786 ) Changes, net of tax (8,652 ) (5,732 ) (14,384 ) Balance, December 31, 2018 $ (45,821 ) $ (12,353 ) $ (58,174 ) (1) Represents foreign currency translation adjustments related to the Company’s net investment in non-U.S. operations, including related hedges. The functional currency and reporting currency of the Company’s foreign subsidiary was RMB and USD, respectively. (2) Represents the impact of the adoption in the first quarter of 2018 of ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. (3) Represents amounts reclassified from AOCI to retained earnings due to early adoption of ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. The following table presents the components of other comprehensive (loss) income, reclassifications to net income and the related tax effects for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Before - Tax Tax Net-of- Tax Before - Tax Net-of- Before - Tax Net-of- Available-for-sale investment securities: Net unrealized (losses) gains arising during the period $ (9,748 ) $ 2,882 $ (6,866 ) $ 4,368 $ (1,837 ) $ 2,531 $ (28,681 ) $ 12,058 $ (16,623 ) Net realized gains reclassified into net income (1) (2,535 ) 749 (1,786 ) (8,037 ) 3,380 (4,657 ) (10,362 ) 4,357 (6,005 ) Net change (12,283 ) 3,631 (8,652 ) (3,669 ) 1,543 (2,126 ) (39,043 ) 16,415 (22,628 ) Foreign currency translation adjustments: Net unrealized (losses) gains arising during the period (5,732 ) — (5,732 ) 12,753 — 12,753 (10,577 ) — (10,577 ) Net change (5,732 ) — (5,732 ) 12,753 — 12,753 (10,577 ) — (10,577 ) Other comprehensive (loss) income $ (18,015 ) $ 3,631 $ (14,384 ) $ 9,084 $ 1,543 $ 10,627 $ (49,620 ) $ 16,415 $ (33,205 ) (1) For the years ended December 31, 2018 , 2017 and 2016 , pre-tax amounts were reported in Net gains on sales of available-for-sale investment securities on the Consolidated Statement of Income. |
Regulatory Requirements and Mat
Regulatory Requirements and Matters | 12 Months Ended |
Dec. 31, 2018 | |
Banking and Thrift [Abstract] | |
Regulatory Requirements and Matters | Regulatory Requirements and Matters Capital Adequacy — The Company and the Bank are subject to regulatory capital adequacy requirements administered by the federal banking agencies. The Bank is a member bank of the Federal Reserve System and is primarily regulated by the Federal Reserve Bank. Effective January 1, 2015, the Company and the Bank are required to comply with the Basel III Capital Rules adopted by the Federal Reserve Bank. The capital requirements under the Basel III framework, among other things, prescribed a new standardized approach for determining risk-weighted assets (“RWAs”) used in calculating capital ratios, increased minimum required capital ratios, and introduced a minimum Common Equity Tier 1 (“CET1”) capital ratio to ensure that banking organizations hold sufficient high quality regulatory capital that is available to absorb losses on a going-concern basis. Both the Company and the Bank are standardized approaches institutions under Basel III Capital Rules. The Basel III Capital Rule requires that banking organizations maintain a minimum CET1 capital ratio of 4.5% , a Tier 1 capital ratio of 6.0% , and a total capital ratio of 8.0% to be considered adequately capitalized. Failure to meet minimum capital requirements can result in certain mandatory actions and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s Consolidated Financial Statements. The Basel III Capital Rules also introduced a capital conservation buffer designed to absorb losses during periods of economic stress. The implementation of the capital conservation buffer began on January 1, 2016 at 0.625% and is being phased-in over a four -year period (increasing by that amount on each subsequent January 1, until it reaches 2.5% on January 1, 2019). Banking institutions with a ratio of CET1 to risk-weighted assets above the minimum but below the capital conservation buffer will face constraints on dividends, equity repurchases and compensation based on the amount of the shortfall. The Federal Deposit Insurance Corporation Improvement Act of 1991 requires that the federal regulatory agencies adopt regulations defining capital categories for banks: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized and critically undercapitalized. Consistent with the Basel III Capital Rules, the capital categories were augmented by including the CET1 capital measure, and revised risk-based capital measures to reflect the rule changes to the minimum risk-based capital ratios. As of December 31, 2018 and 2017 , the Company and the Bank were both categorized as well capitalized based on applicable U.S. regulatory capital ratio requirements in accordance with Basel III standardized approaches, as set forth in the table below. The Company believes that no changes in conditions or events have occurred since December 31, 2018 , which would result in changes that would cause the Company or the Bank to fall below the well capitalized level. The following table presents the regulatory capital information of the Company and the Bank as of December 31, 2018 and 2017 : Basel III December 31, 2018 December 31, 2017 ($ in thousands) Actual Minimum Capital Ratios (3) Well Capitalized Requirement Actual Minimum Capital Ratios (3) Well Capitalized Requirement Amount Ratio Ratio Ratio Amount Ratio Ratio Ratio Total capital (to risk-weighted assets) Company $ 4,438,730 13.7 % 9.88 % 10.0 % $ 3,838,516 12.9 % 9.25 % 10.0 % East West Bank $ 4,268,616 13.1 % 9.88 % 10.0 % $ 3,679,261 12.4 % 9.25 % 10.0 % Tier 1 capital (to risk-weighted assets) Company $ 3,966,842 12.2 % 7.88 % 8.0 % $ 3,390,070 11.4 % 7.25 % 8.0 % East West Bank $ 3,944,728 12.1 % 7.88 % 8.0 % $ 3,378,815 11.4 % 7.25 % 8.0 % CET1 capital (to risk-weighted assets) Company $ 3,966,842 12.2 % 6.38 % 6.5 % $ 3,390,070 11.4 % 5.75 % 6.5 % East West Bank $ 3,944,728 12.1 % 6.38 % 6.5 % $ 3,378,815 11.4 % 5.75 % 6.5 % Tier 1 leverage capital (to adjusted average assets) Company (1) $ 3,966,842 9.9 % 4.0 % N/A $ 3,390,070 9.2 % 4.0 % N/A East West Bank $ 3,944,728 9.8 % 4.0 % 5.0 % $ 3,378,815 9.2 % 4.0 % 5.0 % Risk-weighted assets Company $ 32,497,296 N/A N/A N/A $ 29,669,251 N/A N/A N/A East West Bank $ 32,477,002 N/A N/A N/A $ 29,643,711 N/A N/A N/A Adjusted quarterly average total assets (2) Company $ 40,636,402 N/A N/A N/A $ 37,307,975 N/A N/A N/A East West Bank $ 40,611,215 N/A N/A N/A $ 37,283,273 N/A N/A N/A (1) The Tier 1 leverage capital well-capitalized requirement applies to the Bank only since there is no Tier 1 leverage ratio component in the definition of a well-capitalized bank-holding company. (2) Reflects adjusted average total assets for the years ended December 31, 2018 and 2017 . (3) The CET1, Tier 1, and total capital minimum ratios include a transition capital conservation buffer of 1.875% and 1.25% for the years ended December 31, 2018 and 2017 . N/A — Not applicable. Reserve Requirement — The Bank is required to maintain a percentage of its deposits as reserves at the FRB. The daily average reserve requirement was approximately $707.3 million and $699.4 million as of December 31, 2018 and 2017 , respectively. Regulatory Matters — The Bank entered into a Written Agreement (the “Written Agreement”), dated November 9, 2015, with the FRB, to correct less than satisfactory Bank Secrecy Act (“BSA”) and Anti-Money Laundering (“AML”) programs detailed in a joint examination by the FRB and the California Department of Business Oversight (“DBO”). The Bank also entered into a related MOU with the DBO in 2015. The Written Agreement, among other things, required the Bank to enhance compliance programs related to the BSA and AML and Office of Foreign Assets Control (“OFAC”) laws, rules and regulations and retain an independent firm to conduct a review of the account and transaction activities covering a six-month period to determine whether any suspicious activity was properly identified and reported in accordance with applicable regulatory requirements. On July 9, 2018, the DBO terminated the MOU. On July 18, 2018, the FRB terminated the Written Agreement. Notwithstanding the termination of the Written Agreement and the MOU, the operating and other conditions in the BSA/AML and OFAC programs and the auditing and oversight of the programs that led to the Written Agreement and MOU could lead to an increased risk of future examinations that may downgrade the regulatory ratings of the Bank or could lead to regulatory authorities taking other actions. This could have a material adverse effect on the Bank if the current programs are not sustained in a satisfactory way, which could lead to an increased risk of investigations by other government agencies that may result in fines, penalties, increased expenses or restrictions on operations. |
Business Segments
Business Segments | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments The Company organizes its operations into three reportable operating segments: (1) Consumer and Business Banking (referred to as “Retail Banking” in the Company’s prior quarterly Form 10-Q and annual Form 10-K filings); (2) Commercial Banking; and (3) Other. These segments are defined by the type of customers and the related products and services provided, and reflect how financial information is currently evaluated by management. Operating segment results are based on the Company’s internal management reporting process, which reflects assignments and allocations of certain balance sheet and income statement items. Because of the interrelationships among the segments, the information presented is not indicative of how the segments would perform if they operated as independent entities. The Consumer and Business Banking segment primarily provides financial products and services to consumer and commercial customers through the Company’s domestic branch network. This segment offers consumer and commercial deposits, mortgage and home equity loans, and other products and services. The Consumer and Business Banking segment also originates commercial loans through the Company’s branch network. However, since a portion of these commercial business loans are referred to the Commercial Banking segment, they are maintained and reported in the Commercial Banking segment. Other products and services provided by the Consumer and Business Banking segment include wealth management, treasury management, and foreign exchange services. The Commercial Banking segment primarily generates commercial loans and deposits through commercial lending offices located in the U.S. and Greater China. Commercial loan products include commercial loans and lines of credit, trade finance loans and letters of credit, CRE loans, construction lending, affordable housing loans and letters of credit, asset-based lending, and equipment financing. Commercial deposit products and other financial services include treasury management, foreign exchange services, and interest rate and commodity hedging risk management. The remaining centralized functions, including the treasury activities of the Company and eliminations of inter-segment amounts, have been aggregated and included in the Other segment, which provides broad administrative support to the two core segments, the Consumer and Business Banking and Commercial Banking segments. The Company utilizes an internal reporting process to measure the performance of the three operating segments within the Company. The internal reporting process derives operating segment results by utilizing allocation methodologies for revenue and expenses. Net interest income of each segment represents the difference between actual interest earned on assets and interest incurred on liabilities of the segment, adjusted for funding charges or credits through the Company’s internal funds transfer pricing process. The process charges a cost to fund loans and allocates credits for funds provided from deposits using internal funds transfer pricing rates, which are based on market interest rates and other factors. With the increase in market interest rates during 2018, the costs charged to the segments for the funding of loans increased, as did the credits allocated to the segments for deposit balances. The treasury function within the Other segment is responsible for liquidity and interest rate management of the Company. Therefore, the net spread between the total internal funds transfer pricing charges and credits is recorded as part of net interest income in the Other segment. The Company’s internal funds transfer pricing process is managed by the treasury function within the Other segment. The process is formulated with the goal of encouraging loan and deposit growth that is consistent with the Company’s overall profitability objectives, as well as to provide a reasonable and consistent basis for the measurement of its business segments’ net interest margins and profitability. The Company’s internal funds transfer pricing assumptions and methodologies are reviewed at least annually to ensure that the process is reflective of current market conditions. Noninterest income and noninterest expense directly attributable to a segment are assigned to the related business segment. Indirect costs, including technology-related costs and corporate overhead, are allocated based on that segment’s estimated usage using factors, including but not limited to, full-time equivalent employees, net interest margin, and loan and deposit volume. Charge-offs are allocated to the respective segment directly associated with the loans that are charged off, and the remaining provision for credit losses is allocated to each segment based on loan volume. The Company’s internal reporting process utilizes a full-allocation methodology. Under this methodology, corporate expenses and indirect expenses incurred by the Other segment are allocated to the Consumer and Business Banking and the Commercial Banking segments, except certain treasury-related expenses and insignificant unallocated expenses. Changes in the Company’s management structure and allocation or reporting methodologies may result in changes in the measurement of operating segment results. For comparability, results for prior year periods are generally reclassified for such changes, unless it is deemed not practicable to do so. The following tables present the operating results and other key financial measures for the individual operating segments as of and for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Consumer and Business Banking Commercial Other Total Year Ended December 31, 2018 Interest income $ 466,504 $ 1,063,658 $ 121,541 $ 1,651,703 Charge for funds used (245,487 ) (535,445 ) (54,174 ) (835,106 ) Interest spread on funds used 221,017 528,213 67,367 816,597 Interest expense (149,032 ) (52,613 ) (63,550 ) (265,195 ) Credit on funds provided 655,230 130,050 49,826 835,106 Interest spread on funds provided 506,198 77,437 (13,724 ) 569,911 Net interest income before provision for credit losses $ 727,215 $ 605,650 $ 53,643 $ 1,386,508 Provision for credit losses $ 9,364 $ 54,891 $ — $ 64,255 Noninterest income $ 85,607 $ 110,287 $ 15,015 $ 210,909 Noninterest expense $ 336,412 $ 228,627 $ 149,427 $ 714,466 Segment income (loss) before income taxes $ 467,046 $ 432,419 $ (80,769 ) $ 818,696 Segment net income $ 334,255 $ 309,926 $ 59,520 $ 703,701 As of December 31, 2018 Segment assets $ 10,587,621 $ 23,761,469 $ 6,693,266 $ 41,042,356 ($ in thousands) Consumer and Business Banking Commercial Other Total Year Ended December 31, 2017 Interest income $ 364,906 $ 844,303 $ 115,910 $ 1,325,119 Charge for funds used (142,619 ) (326,902 ) (64,256 ) (533,777 ) Interest spread on funds used 222,287 517,401 51,654 791,342 Interest expense (76,770 ) (24,603 ) (38,677 ) (140,050 ) Credit on funds provided 445,304 61,019 27,454 533,777 Interest spread on funds provided 368,534 36,416 (11,223 ) 393,727 Net interest income before provision for credit losses $ 590,821 $ 553,817 $ 40,431 $ 1,185,069 Provision for credit losses $ 1,812 $ 44,454 $ — $ 46,266 Noninterest income $ 54,451 $ 110,089 $ 93,208 $ 257,748 Noninterest expense $ 319,645 $ 193,161 $ 148,645 $ 661,451 Segment income (loss) before income taxes $ 323,815 $ 426,291 $ (15,006 ) $ 735,100 Segment net income $ 190,404 $ 251,834 $ 63,386 $ 505,624 As of December 31, 2017 Segment assets $ 9,316,587 $ 21,431,472 $ 6,373,504 $ 37,121,563 ($ in thousands) Consumer and Business Banking Commercial Other Total Year Ended December 31, 2016 Interest income $ 315,146 $ 726,013 $ 96,322 $ 1,137,481 Charge for funds used (95,970 ) (216,849 ) (47,646 ) (360,465 ) Interest spread on funds used 219,176 509,164 48,676 777,016 Interest expense (60,180 ) (16,892 ) (27,771 ) (104,843 ) Credit on funds provided 300,446 38,636 21,383 360,465 Interest spread on funds provided 240,266 21,744 (6,388 ) 255,622 Net interest income before (reversal of) provision for credit losses $ 459,442 $ 530,908 $ 42,288 $ 1,032,638 (Reversal of) provision for credit losses $ (4,356 ) $ 31,835 $ — $ 27,479 Noninterest income $ 51,251 $ 95,556 $ 35,471 $ 182,278 Noninterest expense $ 306,386 $ 171,805 $ 137,058 $ 615,249 Segment income (loss) before income taxes $ 208,663 $ 422,824 $ (59,299 ) $ 572,188 Segment net income $ 122,256 $ 248,474 $ 60,947 $ 431,677 As of December 31, 2016 Segment assets $ 7,821,610 $ 19,128,510 $ 7,838,720 $ 34,788,840 |
Parent Company Condensed Financ
Parent Company Condensed Financial Statements | 12 Months Ended |
Dec. 31, 2018 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Condensed Financial Statements | Parent Company Condensed Financial Statements The principal sources of East West’s income (on a Parent Company-only basis) are dividends from the Bank. In addition to dividend restrictions set forth in statutes and regulations, the banking agencies have the authority to prohibit or to limit the Bank from paying dividends, if, in the banking regulator’s opinion, payment of a dividend would constitute an unsafe or unsound practice in light of the financial condition of the Bank. The Bank declared $160.0 million , $255.0 million and $100.0 million of dividends to East West during the years ended December 31, 2018 , 2017 and 2016 , respectively. For information on the statutory and regulatory limitations on the ability of the Company to pay dividends to its stockholders and on the Bank to pay dividends to East West, see Item 1. Business — Supervision and Regulation — Dividends and Other Transfers of Funds. The following tables present the Parent Company-only condensed financial statements: CONDENSED BALANCE SHEET ($ in thousands, except shares) December 31, 2018 2017 ASSETS Cash and cash equivalents due from subsidiary bank $ 149,411 $ 159,566 Investments in subsidiaries: Bank 4,401,860 3,830,696 Nonbank 3,662 3,664 Investments in tax credit investments, net 23,259 25,511 Other assets 6,487 7,062 TOTAL $ 4,584,679 $ 4,026,499 LIABILITIES Long-term debt $ 146,835 $ 171,577 Other liabilities 13,870 12,971 Total liabilities 160,705 184,548 STOCKHOLDERS’ EQUITY Common stock, $0.001 par value, 200,000,000 shares authorized; 165,867,587 and 165,214,770 shares issued in 2018 and 2017, respectively 166 165 Additional paid-in capital 1,789,811 1,755,330 Retained earnings 3,160,132 2,576,302 Treasury stock, at cost — 20,906,224 shares in 2018 and 20,671,710 shares in 2017 (467,961 ) (452,327 ) AOCI, net of tax (58,174 ) (37,519 ) Total stockholders’ equity 4,423,974 3,841,951 TOTAL $ 4,584,679 $ 4,026,499 CONDENSED STATEMENT OF INCOME ($ in thousands) Year Ended December 31, 2018 2017 2016 Dividends from subsidiaries: Bank $ 160,000 $ 255,000 $ 100,000 Nonbank 175 4,118 107 Net gains on sales of available-for-sale investment securities — 326 — Other income 2 395 610 Total income 160,177 259,839 100,717 Interest expense on long-term debt 6,488 5,429 5,017 Compensation and employee benefits 5,559 5,065 5,001 Amortization of tax credit and other investments 413 5,908 13,851 Other expense 1,490 1,257 1,218 Total expense 13,950 17,659 25,087 Income before income tax benefit and equity in undistributed income of subsidiaries 146,227 242,180 75,630 Income tax benefit 3,404 18,182 26,041 Undistributed earnings of subsidiaries, primarily bank 554,070 245,262 330,006 Net income $ 703,701 $ 505,624 $ 431,677 CONDENSED STATEMENT OF CASH FLOWS ($ in thousands) Year Ended December 31, 2018 2017 2016 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 703,701 $ 505,624 $ 431,677 Adjustments to reconcile net income to net cash provided by operating activities: Undistributed earnings of subsidiaries, principally bank (554,070 ) (245,262 ) (330,006 ) Amortization expenses 671 6,158 14,094 Deferred income tax expense 3,517 940 6,349 Gains on sales of available-for-sale investment securities — (326 ) — Net change in other assets (595 ) (3,341 ) 39,929 Net change in other liabilities (45 ) (560 ) 794 Net cash provided by operating activities $ 153,179 $ 263,233 $ 162,837 CASH FLOWS FROM INVESTING ACTIVITIES Net increase in investments in tax credit and other investments (1,049 ) (11,591 ) (8,229 ) Proceeds from distributions received from equity method investees 1,491 1,814 1,675 Available-for-sale investment securities: Proceeds from the sales — 18,326 — Purchases — (9,000 ) — Net cash provided by (used in) investing activities 442 (451 ) (6,554 ) CASH FLOWS FROM FINANCING ACTIVITIES Repayment of long-term debt (25,000 ) (15,000 ) (20,000 ) Common stock: Proceeds from issuance pursuant to various stock compensation plans and agreements 2,846 2,280 2,081 Stocks tendered for payment of withholding taxes (15,634 ) (12,940 ) (3,225 ) Cash dividends paid (125,988 ) (116,820 ) (115,828 ) Other net financing activities — — 1,055 Net cash used in financing activities (163,776 ) (142,480 ) (135,917 ) Net (decrease) increase in cash and cash equivalents (10,155 ) 120,302 20,366 Cash and cash equivalents, beginning of year 159,566 39,264 18,898 Cash and cash equivalents, end of year $ 149,411 $ 159,566 $ 39,264 |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited) ($ and shares in thousands, except per share data) 2018 Quarters Fourth Third Second First Interest and dividend income $ 457,334 $ 422,185 $ 400,311 $ 371,873 Interest expense 87,918 73,465 58,632 45,180 Net interest income before provision for credit losses 369,416 348,720 341,679 326,693 Provision for credit losses 17,959 10,542 15,536 20,218 Net interest income after provision for credit losses 351,457 338,178 326,143 306,475 Noninterest income 41,695 46,502 48,268 74,444 Noninterest expense 188,097 179,815 177,419 169,135 Income before income taxes 205,055 204,865 196,992 211,784 Income tax expense 32,037 33,563 24,643 24,752 Net income $ 173,018 $ 171,302 $ 172,349 $ 187,032 EPS - Basic $ 1.19 $ 1.18 $ 1.19 $ 1.29 - Diluted $ 1.18 $ 1.17 $ 1.18 $ 1.28 Weighted-average number of shares outstanding - Basic 144,960 144,921 144,899 144,664 - Diluted 146,133 146,173 146,091 145,939 Cash dividends declared per common share $ 0.23 $ 0.23 $ 0.20 $ 0.20 ($ and shares in thousands, except per share data) 2017 Quarters Fourth Third Second First Interest and dividend income $ 359,765 $ 339,910 $ 322,775 $ 302,669 Interest expense 40,064 36,755 32,684 30,547 Net interest income before provision for credit losses 319,701 303,155 290,091 272,122 Provision for credit losses 15,517 12,996 10,685 7,068 Net interest income after provision for credit losses 304,184 290,159 279,406 265,054 Noninterest income 45,206 49,470 47,244 115,828 Noninterest expense 175,263 164,345 168,965 152,878 Income before income taxes 174,127 175,284 157,685 228,004 Income tax expense 89,229 42,624 39,355 58,268 Net income $ 84,898 $ 132,660 $ 118,330 $ 169,736 EPS - Basic $ 0.59 $ 0.92 $ 0.82 $ 1.18 - Diluted $ 0.58 $ 0.91 $ 0.81 $ 1.16 Weighted-average number of shares outstanding - Basic 144,542 144,498 144,485 144,249 - Diluted 146,030 145,882 145,740 145,732 Cash dividends declared per common share $ 0.20 $ 0.20 $ 0.20 $ 0.20 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On January 24, 2019 , the Company’s Board of Directors declared first quarter 2019 cash dividends for the Company’s common stock. The common stock cash dividend of $0.23 per share was paid on February 15, 2019 to stockholders of record as of February 4, 2019 . The Company has previously invested in mobile solar generators sold and managed by DC Solar, which were included in Investments in tax credit and other investments, net on the Consolidated Balance Sheet. For reasons that were not known or knowable to the Company, DC Solar had its assets frozen in December 2018. DC Solar filed for Chapter 11 bankruptcy protection in February 2019. In February 2019, an affidavit from a Federal Bureau of Investigation (“FBI”) special agent stated that DC Solar was operating a fraudulent "Ponzi-like scheme" and that the majority of mobile solar generators sold to investors and managed by DC Solar and the majority of the related lease revenues claimed to have been received by DC Solar may not have existed. Certain investors in DC Solar, including the Company, received tax credits for making these renewable resource investments. The Company has claimed tax credit benefits of approximately $53.9 million in the Consolidated Financial Statements between 2014 through 2018. If the allegations set forth in the declaration filed by the FBI are proven to be accurate, up to the entire amount of the tax credits claimed by the Company could potentially be disallowed. Based on the information known as of the date of this annual report on the Form 10-K, the Company believes that this has not met the more-likely-than-not criterion to record an uncertain tax position liability. As a result of the information in the FBI declaration, the Company is evaluating whether or not an unrecognized tax liability exists under ASC 740, Income Taxes for an uncertain tax position in 2019 for at least part, if not potentially all, of the tax credit benefits the Company has claimed. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation — The accounting and reporting policies of the Company conform with the United States Generally Accepted Accounting Principles (“GAAP”), applicable guidelines prescribed by regulatory authorities and general practices in the banking industry. The preparation of the Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the Consolidated Financial Statements, income and expenses during the reporting period, and the related disclosures. Actual results could differ materially from those estimates. Certain items on the Consolidated Financial Statements and notes for the prior years have been reclassified to conform to the 2018 presentation. |
Principles of Consolidation | Principles of Consolidation — The Consolidated Financial Statements include the accounts of East West and its subsidiaries. Intercompany transactions and accounts have been eliminated in consolidation. East West also has six wholly-owned subsidiaries that are statutory business trusts (the “Trusts”). In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, Consolidation, the Trusts are not included on the Consolidated Financial Statements. |
Cash and Cash Equivalents | Cash and Cash Equivalents — Cash and cash equivalents include cash on hand, cash items in transit, cash due from the Federal Reserve Bank and other financial institutions, and federal funds sold with original maturities up to three months. |
Interest-bearing Deposits with Banks | Interest-bearing Deposits with Banks — Interest-bearing deposits with banks include cash placed with other banks with original maturities greater than three months and less than one year. |
Resale Agreements and Repurchase Agreements | Resale Agreements and Repurchase Agreements — Resale agreements are recorded based on the values at which the securities are acquired. The market values of the underlying securities collateralizing the related receivable of the resale agreements, including accrued interest, are monitored. Additional collateral may be requested by the Company from counterparties or excess collateral may be returned by the Company to counterparties when appropriate. Repurchase agreements are accounted for as collateralized financing transactions and recorded at the values at which the securities are sold. The Company may have to provide additional collateral to counterparties, or counterparties may return excess collateral to the Company, for the repurchase agreements when appropriate. The Company has elected to offset resale and repurchase transactions with the same counterparty on the Consolidated Balance Sheet when it has a legally enforceable master netting agreement and when the transactions are eligible for netting under ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . |
Securities | Securities — The Company’s securities include various debt securities, marketable equity securities and restricted equity securities. Debt securities are recorded on the Consolidated Balance Sheet as of their trade dates. The Company classifies its debt securities as trading securities, available-for-sale or held-to-maturity investment securities based on management’s intention on the date of the purchase. Debt securities purchased for liquidity and investment purpose, as part of asset-liability management and other strategic activities, are reported at fair value as available-for-sale investment securities with net unrealized gains and losses net-of-tax included in AOCI. The specific identification method is used in computing realized gains and losses on available-for-sale investment securities that are sold. Prior to the adoption of ASU 2016-01 on January 1, 2018, Financial Instruments — Overall (Subtopic 825-10) : Recognition and Measurement of Financial Assets and Financial Liabilities , marketable equity securities were classified as available-for-sale investment securities based on management’s intention on the date of the purchase. Upon the adoption of ASU 2016-01 on January 1, 2018, marketable equity securities are recorded in Investments in tax credit and other investments, net , on the Consolidated Balance Sheet at fair value with unrealized gains and losses recorded in earnings. Equity securities without readily determinable fair values are accounted for using the measurement alternative, under which the carrying value of these equity securities is measured at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer. For each reporting period, debt securities classified as either available-for-sale or held-to-maturity investment securities that are in an unrealized loss position are analyzed as part of the Company’s ongoing assessment of other-than-temporary impairment (“OTTI”). In determining whether an impairment is OTTI, the Company considers the severity and duration of the decline in fair value, the length of time expected for recovery, the financial condition of the issuer, changes in the debt securities’ ratings and other qualitative factors, as well as whether the Company either plans to sell the debt security or it is more likely than not that it will be required to sell the debt security before recovery of the amortized cost. When the Company does not intend to sell the impaired debt security and it is not more likely than not that the Company will be required to sell the impaired debt security prior to recovery of the amortized cost basis, the credit component of an OTTI of the impaired debt security is recognized as OTTI loss on the Consolidated Statement of Income and the non-credit component is recognized in other comprehensive income. This applies for both available-for-sale and held-to-maturity investment securities. If the Company intends to sell the impaired debt security or it is more likely than not that the Company will be required to sell the impaired debt security prior to recovery of the amortized cost basis, the full amount of the impairment loss (equal to the difference between the debt security’s amortized cost basis and its fair value at the balance sheet date) is recognized as OTTI loss on the Consolidated Statement of Income. For marketable equity securities recorded at fair value through net income included in Investments in tax credit and other investments, net, on the Consolidated Balance Sheet, the Company is not required to assess whether those securities are impaired. However, for equity securities without readily determinable fair values, the Company makes a qualitative assessment of whether the investment is impaired at each reporting date. If such qualitative assessment indicates that the investment is impaired, the Company estimates the investment’s fair value in accordance with the principles of ASC 820, Fair Value Measurement s. If the fair value is less than the investment’s carrying value, the Company recognizes an impairment loss on the Consolidated Statement of Income equal to the difference between the carrying value and fair value. |
Restricted Equity Securities | Restricted equity securities include Federal Reserve Bank and FHLB stock. The Federal Reserve Bank stock is required by law to be held as a condition of membership in the Federal Reserve System. The FHLB stock is required to obtain advances from the FHLB. They are carried at cost as they do not have a readily determinable fair value. Restricted equity securities are not within the scope of ASU 2016-01. |
Loans Held-for-Sale | Loans Held-for-Sale — Loans held-for-sale are carried at lower of cost or fair value. At the time of commitment to originate or purchase a loan, the loan is determined to be held-for-investment if it is the Company’s intent to hold the loan to maturity or for the “foreseeable future,” subject to periodic review under the Company’s evaluation processes, including asset/liability and credit risk management. When the Company subsequently changes its intent to hold certain loans, the loans are transferred from held-for-investment to held-for-sale at the lower of cost or fair value. Any write-down in the carrying amount of the loan at the date of transfer is recorded as a charge-off. Loan origination fees on loans held-for-sale, net of certain costs in processing and closing the loans, are deferred until the time of sale and are included in the periodic determination of the lower of cost or fair value adjustments and/or the gain or loss recognized at the time of sale. If the loan or a portion of the loan cannot be sold, it is subsequently transferred back to the loans held-for-investment portfolio from the loans held-for-sale portfolio at the lower of cost or fair value on the transfer date. A valuation allowance is established if the fair value of such loans is lower than their cost, with a corresponding charge to noninterest income. From time to time, the Company purchases and sells loans in the secondary market. Certain purchased loans are transferred from held-for-investment to held-for-sale, and write-downs to allowance for loan losses are recorded, when appropriate. |
Loans Held-for-Investment | Loans Held-for-Investment — Loans receivable that the Company has the intent and ability to hold for the foreseeable future or until maturity are stated at their outstanding principal, reduced by an allowance for loan losses and net of deferred loan fees or costs on originated loans, unearned fees, unamortized premiums or unaccreted discounts on purchased loans. Nonrefundable fees and direct costs associated with the origination or purchase of loans are deferred and netted against outstanding loan balances. The deferred net loan fees and costs are recognized in interest income as an adjustment to yield over the loan term using the effective interest method or straight-line method. Discounts/premiums on purchased loans are accreted/amortized to interest income using the effective interest method or straight-line method over the remaining period to contractual maturity. Interest on loans is calculated using the simple-interest method on daily balances of the principal amounts outstanding. Generally, loans are placed on nonaccrual status when they become 90 days past due. Loans are considered past due when contractually required principal or interest payments have not been made on the due dates. Loans are also placed on nonaccrual status when management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that full collection of principal or interest becomes uncertain, regardless of the length of past due status. Once a loan is placed on nonaccrual status, interest accrual is discontinued and all unpaid accrued interest is reversed against interest income. Interest payments received on nonaccrual loans are reflected as a reduction of principal and not as interest income. A loan is returned to accrual status when the borrower has demonstrated a satisfactory payment trend subject to management’s assessment of the borrower’s ability to repay the loan. |
Troubled Debt Restructurings | Troubled Debt Restructurings — A loan is classified as a troubled debt restructuring (“TDR”) when the Company, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that the Company would not otherwise consider. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date with a stated interest rate lower than the current market rate or note splits referred to as A/B note restructurings. Loans with contractual terms that have been modified as a TDR and are current at the time of restructuring may remain on accrual status if there is demonstrated performance prior to the restructuring and payment in full under the restructured terms is expected. Otherwise, the loans are placed on nonaccrual status and are reported as nonperforming, until the borrower demonstrates a sustained period of performance, generally six months, and the ability to repay the loan according to the contractual terms. If accruing TDRs cease to perform in accordance with their modified contractual terms, they are placed on nonaccrual status and reported as nonperforming TDRs. TDRs are included in the impaired loan quarterly valuation allowance process. Refer to Impaired Loans below for a complete discussion. |
Impaired Loans | Impaired Loans — The Company’s loans are grouped into heterogeneous and homogeneous categories. Impaired loans are identified and evaluated for impairment on an individual basis. The Company’s impaired loans include predominantly non-purchased credit-impaired (“PCI”) loans held-for-investment on nonaccrual status and any non-PCI loans modified as a TDR, designated either as performing or nonperforming. A loan is considered impaired when, based on current information and events, it is probable that the Company will not be able to collect all scheduled payments of principal or interest due in accordance with the original contractual terms of the loan agreement. Factors considered by management in determining and measuring loan impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of and the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impaired loans are measured based on the present value of expected future cash flows discounted at a designated discount rate or, as appropriate, at the loan’s observable market price or the fair value of the collateral, if the loan is collateral dependent, less cost to sell. When the value of an impaired loan is less than the recorded investment and the loan is classified as nonperforming and uncollectible, the deficiency is charged off against the allowance for loan losses. If the loan is a performing TDR, the deficiency is included in the specific reserves of the allowance for loan losses, as appropriate. Payments received on impaired loans classified as nonperforming are not recognized in interest income, but are applied as a reduction to the principal outstanding. |
Allowance for Credit Losses | Allowance for Credit Losses — The allowance for credit losses consists of the allowance for loan losses and the allowance for unfunded credit reserves. Unfunded credit reserves include reserves provided for unfunded lending commitments, standby letters of credit (“SBLCs”) and recourse obligations for loans sold. The allowance for loan losses is established as management’s estimate of probable losses inherent in the Company’s lending activities. The allowance for loan losses is increased by the provision for loan losses and decreased by net charge-offs when management believes the uncollectability of a loan is probable. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated quarterly by management based on periodic review of the collectibility of the loans. The allowance for loan losses on non-PCI loans consists of specific reserves and general reserves. The Company’s non-PCI loans fall into heterogeneous and homogeneous categories. Impaired loans are subject to specific reserves. Non-impaired loans are evaluated as part of the general reserve. General reserves are calculated by utilizing both quantitative and qualitative factors. There are different qualitative risks for the loans in each portfolio segment. Predominant risk characteristics of the commercial real estate (“CRE”), multifamily, single-family residential loans and home equity lines of credit (“HELOC”) loans consider the collateral and geographic locations of the properties collateralizing the loans. Predominant risk characteristics of the commercial and industrial (“C&I”) loans include the cash flows, debt service and collateral of the borrowers and guarantors, as well as the economic and market conditions. The Company also maintains an allowance for loan losses on PCI loans when there is deterioration in credit quality subsequent to acquisition. Based on the Company’s estimates of cash flows expected to be collected, the Company establishes an allowance for the PCI loans, with a charge to Provision for credit losses on the Consolidated Statement of Income. When a loan is determined uncollectible, it is the Company’s policy to promptly charge off the difference between the recorded investment balance of the loan and the fair value of the collateral or the discounted value of expected cash flows. Recoveries are recorded when payment is received on loans that were previously charged off through the allowance for loan losses. Allocation of a portion of the allowance to one segment of the loan portfolio does not preclude its availability to absorb losses in other segments. The allowance for unfunded credit reserves is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to unfunded credit facilities. The determination of the adequacy of the allowance is based on periodic evaluations of the unfunded credit facilities, including an assessment of the probability of commitment usage, credit risk factors for loans outstanding, and the terms and expiration dates of the unfunded credit facilities. The allowance for loan losses is reported separately on the Consolidated Balance Sheet, whereas the allowance for unfunded credit reserves is included in Accrued expenses and other liabilities on the Consolidated Balance Sheet. The Provision for credit losses is reported on the Consolidated Statement of Income. |
Purchased Credit-Impaired Loans | Purchased Credit-Impaired Loans — Acquired loans are recorded at fair value as of acquisition date in accordance with ASC 805, Business Combinations . A purchased loan is deemed to be credit impaired when there is evidence of credit deterioration since its origination and it is probable at the acquisition date that the Company would be unable to collect all contractually required payments and is accounted for under ASC 310-30, Receivables — Loans and Debt Securities Acquired with Deteriorated Credit Quality . Under ASC 310-30, loans are recorded at fair value at acquisition date, factoring in credit losses expected to be incurred over the life of the loan. Accordingly, an allowance for loan losses is not carried over or recorded as of the acquisition date. The amount of expected cash flows over the initial investment in the loan represents the “accretable yield,” which is recognized as interest income on a level yield basis over the life of the loan. The excess of total contractual cash flows over the cash flows expected to be received at origination is deemed the “nonaccretable difference.” In estimating the nonaccretable difference, the Company (a) calculates the contractual amount and timing of undiscounted principal and interest payments (the “undiscounted contractual cash flows”) and (b) estimates the amount and timing of undiscounted expected principal and interest payments (the “undiscounted expected cash flows”). The cash flows expected over the life of the pools are estimated by an internal cash flows model that projects cash flows and calculates the carrying values of the pools, book yields, effective interest income and impairment, if any, based on pool level events. Assumptions such as cumulative loss rates, loss curves and prepayment speeds are utilized to calculate the expected cash flows. Subsequent to the acquisition date, based on the quarterly evaluations of remaining cash flows from principal and interest payments expected to be collected, any increases in expected cash flows over the expected cash flows at purchase date in excess of fair value that are significant and probable are adjusted through the accretable yield on a prospective basis. Any subsequent decreases in expected cash flows over the expected cash flows at purchase date that are probable are recognized by a charge to the provision for loan losses. Any disposals of loans, including sales of loans, payments in full or foreclosures, result in the removal of the loan from the ASC 310-30 portfolio at the carrying amount. Purchased Credit-Impaired Loans At the date of acquisition, PCI loans are pooled and accounted for at fair value, which represents the discounted value of the expected cash flows of the loan portfolio. A pool is accounted for as a single asset with a single interest rate, cumulative loss rate and cash flows expectation. The cash flows expected over the life of the pools are estimated by an internal cash flows model that projects cash flows and calculates the carrying values of the pools, book yields, effective interest income and impairment, if any, based on pool level events. Assumptions as to cumulative loss rates, loss curves and prepayment speeds are utilized to calculate the expected cash flows. The amount of expected cash flows over the initial investment in the loan represents the “accretable yield,” which is recognized as interest income on a level yield basis over the life of the loan. Projected loss rates and prepayment speeds affect the estimated life of PCI loans, which may change the amount of interest income, and possibly principal, expected to be collected. The excess of total contractual cash flows over the cash flows expected to be collected at acquisition, considering the impact of prepayments, is referred to as the “nonaccretable difference.” |
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net | Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net — The Company records the investments in qualified affordable housing partnerships, net, using the proportional amortization method. Under the proportional amortization method, the Company amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received, and recognizes the amortization in Income tax expenses on the Consolidated Statement of Income . The Company records investments in tax credit and other investments using either the equity method or cost method of accounting. The tax credits are recognized on the Consolidated Financial Statements to the extent they are utilized on the Company’s income tax returns in the year the credit arises under the flow-through method of accounting. The investments are reviewed for impairment on an annual basis or on an interim basis, if an event occurs that would trigger potential impairment. As discussed under the “Securities” paragraph in the same Note, following the adoption of ASU 2016-01 on January 1, 2018, equity securities with readily determinable fair values were included in Investments in tax credit and other investments, net , on the Consolidated Balance Sheet. These equity securities are Community Reinvestment Act (“CRA”) investments and are measured at fair value with unrealized gains and losses recorded in earnings. Depending on the ownership percentage and the influence the Company has on the investments in tax credit and other investments, net, the Company applies the equity or cost method of accounting, or the measurement alternative as elected under ASU 2016-01 for equity investments without readily determinable fair value. The Company records its investments in qualified affordable housing partnerships, net, using the proportional amortization method. Under the proportional amortization method, the Company amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received, and recognizes the amortization in Income tax expense on the Consolidated Statement of Income. |
Premises and Equipment, Net | Premises and Equipment, Net — The Company’s premises and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are computed based on the straight-line method over the estimated useful lives of the various classes of assets. The ranges of estimated useful lives for the principal classes of assets are as follows: Premises and Equipment Useful Lives Buildings and building improvements 25 years Furniture, fixtures and equipment 3 to 7 years Leasehold improvements Term of lease or useful life, whichever is shorter The Company reviews its long-lived assets for impairment annually, or when events or changes in circumstances indicate that the carrying amounts of these assets may not be recoverable. An asset is considered impaired when the fair value, which is the expected undiscounted cash flows over the remaining useful life, is less than the net book value. The excess of the net book value over its fair value is charged as impairment loss to noninterest expense. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets — Goodwill represents the excess of the purchase price over the fair value of net assets acquired in an acquisition. Goodwill is not amortized, but is tested for impairment on an annual basis or more frequently as events occur or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value. Other intangible assets are primarily comprised of core deposit intangibles. Core deposit intangibles, which represent the intangible value of depositor relationships resulting from deposit liabilities assumed in various acquisitions, are amortized over the projected useful lives of the deposits, which is typically 8 to 15 years. Core deposit intangibles are tested for impairment on an annual basis, or more frequently as events occur or current circumstances and conditions warrant. Impairment on goodwill and core deposit intangibles is recognized by writing down the asset as a charge to noninterest expense to the extent that the carrying value exceeds the estimated fair value. Core deposit intangibles represent the intangible value of depositor relationships resulting from deposit liabilities assumed in various acquisitions and are included in Other assets on the Consolidated Balance Sheet. These intangibles are tested for impairment on an annual basis, or more frequently as events occur or current circumstances and conditions warrant. Accounting guidance permits an entity to first perform a qualitative assessment to determine whether it is necessary to perform the two-step goodwill impairment test. The Company did not elect to perform this qualitative assessment in the 2018 annual goodwill impairment testing. For the two-step goodwill impairment test, the first step is to identify potential impairment by determining the fair value of each reporting unit and comparing such fair value to its corresponding carrying amount. If the fair value of a reporting unit exceeds its carrying amount, then goodwill of the reporting unit is considered not impaired and step two is unnecessary. If the fair value of a reporting unit is less than its carrying amount, the second step is performed to measure the amount of impairment loss, if any, by comparing the implied fair value of the reporting unit goodwill with the carrying amount of that goodwill. The implied fair value of goodwill is determined as if the reporting unit were being acquired in a business combination. If the carrying amount of the reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss shall be recognized in an amount equal to that excess. The loss recognized cannot exceed the carrying amount of goodwill. The Company completed the quantitative step one analysis of goodwill impairment test as of December 31, 2018 using a combined income and market approach to determine the fair value of the reporting units. Under the income approach, the Company prepared a net income projection for the next three years plus a terminal growth rate that was used to calculate the discounted cash flows and the present value of the reporting units. Under the market approach, the fair value was calculated using the current fair values of comparable peer banks of similar size and focus. The market capitalizations and multiples of these peer banks were used to calculate the market price of the Company and each reporting unit. A control premium adjustment, which represents the cost savings that a purchaser of the reporting units could be achieved by eliminating duplicative costs, was applied to determine the fair value. Under the combined income and market approach, the fair value from each approach was weighed based on management’s judgment to determine the fair value. The Company assesses goodwill for impairment at the reporting unit level (at the same level as the Company’s business segment) on an annual basis as of December 31 st of each year, or more frequently if events or circumstances, such as adverse changes in the economic or business environment, indicate there may be impairment. The Company organizes its operation into three reporting segments: (1) Consumer and Business Banking (referred to as “Retail Banking” in the Company’s prior quarterly Form 10-Q and annual Form 10-K filings); (2) Commercial Banking; and (3) Other. |
Derivatives | Derivatives — As part of its asset and liability management strategy, the Company uses derivative financial instruments to mitigate exposure to interest rate and foreign currency risks, and to assist customers with their risk management objectives. Derivatives utilized by the Company include primarily swaps, forwards and option contracts. Derivative instruments are included in Other assets or Accrued expense and other liabilities on the Consolidated Balance Sheet at fair value. The related cash flows are recognized on the Cash flows from operating activities section on the Consolidated Statement of Cash Flows. The Company uses its accounting hedges based on the exposure being hedged as either fair value hedges or hedges of the net investments in certain foreign operations. Changes in fair value of derivatives designated as fair value hedges are reported in Interest expense on the Consolidated Statement of Income. Changes in fair value of derivatives designated as hedges of the net investments in foreign operations are recorded as a component of AOCI. Prior to the adoption of ASU 2017-12 on January 1, 2018, changes in fair value of derivatives designated as hedges of the net investments in foreign operations, to the extent effective, are recorded as a component of AOCI and the changes in fair value attributable to the ineffective portion of the hedging instrument is recognized immediately in Noninterest income on the Consolidated Statement of Income. For all other derivatives, changes in fair value are recognized on the Consolidated Statement of Income. All derivatives designated as fair value hedges and hedges of the net investments in certain foreign operations are linked to specific hedged items or to groups of specific assets and liabilities on the Consolidated Balance Sheet. To qualify as an accounting hedge under the hedge accounting rules (versus an economic hedge where hedge accounting is not sought), a derivative must be highly effective in offsetting the risk designated as being hedged. The Company formally documents its hedging relationships at inception, including identification of the hedging instruments and the hedged items, as well as its risk management objectives and strategies for undertaking the hedge transaction at the time the derivative contract is executed. Subsequent to inception, on a quarterly basis, the Company assesses whether the derivatives used in hedging transactions are highly effective in offsetting changes in the fair value of the hedged items. Retroactive effectiveness is also assessed, as well as the continued expectation that the hedge will remain effective prospectively. The Company discontinues hedge accounting prospectively when (i) a derivative is no longer highly effective in offsetting changes in fair value; (ii) a derivative expires, or is sold, terminated or exercised, or (iii) the Company determines that designation of a derivative as a hedge is no longer appropriate. If a fair value hedge is discontinued, the derivative will continue to be recorded on the Consolidated Balance Sheet at fair value with changes in fair value recognized on the Consolidated Statement of Income. When the hedged net investment is either sold or substantially liquidated, changes in the fair value of the derivatives are reclassified out of AOCI into Letter of credit fees and foreign exchange income on the Consolidated Statement of Income. The Company also offers various interest rate, foreign currency, and energy commodity derivative products to customers, and enters into derivative transactions in due course. These transactions are not linked to specific assets or liabilities on the Consolidated Balance Sheet or to forecasted transactions in a hedging relationship and, therefore, do not qualify for hedge accounting. The contracts are recorded at fair value with changes in fair value recorded on the Consolidated Statement of Income. The Company holds a portfolio of warrants to purchase equity securities from both public and private companies that were obtained as part of the loan origination process. The warrants are accounted for as derivatives and recorded at fair value included in Other assets on the Consolidated Balance Sheet with changes in fair value recorded on the Consolidated Statement of Income. The Company is exposed to counterparty credit risk, which is the risk that counterparties to the derivative contracts do not perform as expected. If a counterparty fails to perform, our counterparty credit risk is equal to the amount reported as a derivative asset on our balance sheet. The Company uses master netting arrangements to mitigate counterparty credit risk in derivative transactions. To the extent the derivatives are subject to master netting arrangements, the Company takes into account the impact of master netting arrangements that allow the Company to settle all derivative contracts executed with the same counterparty on a net basis, and to offset the net derivative position with the related cash collateral and securities. In the fourth quarter of 2018, the Company elected to offset derivative transactions with the same counterparty on the Consolidated Balance Sheet when a derivative transaction has a legally enforceable master netting arrangement and when it is eligible for netting under ASC 210-20-45-1, Balance Sheet Offsetting: Netting Derivative Positions on Balance Sheet. Derivative balances and related cash collateral are presented net on the Consolidated Balance Sheet. Refer to Change in Accounting Policy section within this note for additional discussion . In addition, the Company applied the Settlement to Market treatment for the cash collateralizing our interest rate and commodity contracts with certain centrally cleared counterparties. As a result, derivative balances with these counterparties are considered settled by the collateral. The Company enters into International Swaps and Derivatives Association, Inc. (“ISDA”) master netting agreements or similar agreements with a portion of the Company’s derivative counterparties. Where legally enforceable, these master netting agreements give the Company, in the event of default by the counterparty, the right to liquidate securities and offset cash with the same counterparty. Under ASC 815-10-45-5, payables and receivables in respect of cash collateral received from or paid to a given counterparty can be offset against derivative fair values under a master netting arrangement or similar agreement. GAAP does not permit similar offsetting for security collateral. Prior to the fourth quarter of 2018, the Company elected to account for all derivatives’ fair values on a gross basis on its Consolidated Balance Sheets. In the fourth quarter of 2018, the Company elected to offset derivative assets and liabilities and cash collateral with the same counterparty where it has a legally enforceable master netting agreement or similar agreement in place. The Company believes that this change is a preferable method of accounting as it provides a better reflection of the assets and liabilities on the face of the Consolidated Financial Statements. Adoption of this change is voluntary and has been adopted retrospectively with all prior periods presented herein being restated. |
Fair Value | Fair Value — Fair value is defined as the price that would be received to sell an asset or the price that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date and, in many cases, requires management to make a number of significant judgments. Based on the observable inputs used in the valuation techniques, the Company classifies its assets and liabilities measured and disclosed at fair value in accordance with a three-level hierarchy (i.e., Level 1, Level 2 and Level 3) established under ASC 820, Fair Value Measurements . The Company records certain financial instruments, such as available-for-sale investment securities, and derivative assets and liabilities, at fair value on a recurring basis. Certain financial instruments, such as impaired loans and loans held-for-sale, are not carried at fair value each period but may require nonrecurring fair value adjustments due to lower-of-cost-or-market accounting or write-downs of individual assets. For additional information on the fair value, see Note 3 — Fair Value Measurement and Fair Value of Financial Instruments to the Consolidated Financial Statements. |
Stock-Based Compensation | Stock-Based Compensation — The Company issues stock-based awards to certain employees, officers and directors, and accounts for the related costs in accordance with the provisions of ASC 505, Equity and ASC 718, Compensation — Stock Compensation . Stock-based compensation cost is measured at the grant date based on the fair value of the awards and expensed over the employee’s requisite service period. The Company grants restricted stock units (“RSUs”), which include service conditions for vesting. Additionally, some of the Company’s RSUs contain performance goals and market conditions that are required to be met in order for the awards to vest. RSUs vest ratably over three years or cliff vest after three or five years of continued employment from the date of the grant. Compensation expense is amortized on a straight-line basis over the requisite service period for the entire award, which is generally the maximum vesting period of the award. Effective January 1, 2017, the Company prospectively adopted ASU 2016-09, Compensation — Stock Compensation (Topic 718) : Improvement to Employee Share-Based Payment Accounting . As a result of its adoption, all excess tax benefits and deficiencies on share-based payment awards are recognized within Income tax expense on the Consolidated Statement of Income. Before 2017, the tax benefits were recorded as increases to Additional paid-in capital on the Consolidated Balance Sheet. For time-based RSUs, the grant-date fair value is measured at the fair value of the Company’s common stock as if the RSUs are vested and issued on the date of grant. For performance-based RSUs, the grant-date fair value considers both performance and market conditions. As stock-based compensation expense is estimated based on awards ultimately expected to vest, it is reduced by the expense related to awards expected to be forfeited. Forfeitures are estimated at the time of grant and are reviewed quarterly for reasonableness. If the estimated forfeitures are revised, a cumulative effect of changes in estimated forfeitures for current and prior periods is recognized in compensation expense in the period of change. For performance-based RSUs, the compensation expense fluctuates based on the estimated outcome of meeting the performance conditions. The Company evaluates the probable outcome of the performance conditions quarterly and makes cumulative adjustments for current and prior periods in compensation expense in the period of change. Market conditions subsequent to the grant date have no impact on the amount of compensation expense the Company will recognize over the life of the award. The amount of performance-based RSUs that are eligible to vest is determined at the end of each performance period and is then added together to determine the total number of performance shares that are eligible to vest. Performance-based RSUs cliff vest three years from the date of each grant. Compensation costs for the time-based awards are based on the quoted market price of the Company’s stock at the grant date. Compensation costs associated with performance-based RSUs are based on grant date fair value which considers both market and performance conditions, and is subject to subsequent adjustments based on the changes in the Company’s projected outcome of the performance criteria. Compensation costs of both time-based and performance-based awards are recognized on a straight-line basis from the grant date until the vesting date of each grant. |
Income Taxes | Income Taxes — The Company files consolidated federal income tax returns, foreign tax returns, and various combined and separate company state tax returns. The calculation of the Company's income tax provision and related tax accruals requires the use of estimates and judgments. Accrued income tax liabilities (assets) represent the estimated amounts due to (received from) the various taxing jurisdictions where the Company has established a business presence. Under the balance sheet method, deferred tax assets and liabilities are recognized for the expected future tax consequences of existing temporary differences between the financial reporting and tax reporting basis of assets and liabilities using enacted tax laws and rates and tax carryforwards. To the extent a deferred tax asset is no longer expected more likely than not to be realized, a valuation allowance is established. See Note 13 — Income Taxes to the Consolidated Financial Statements for a discussion of management’s assessment of evidence considered by the Company in establishing a valuation allowance. The Company reports a liability for unrecognized tax benefits resulting from uncertain tax positions taken, or expected to be taken, in an income tax return. Uncertain tax positions that meet the more-likely-than-not recognition threshold are measured to determine the amount of benefit to recognize. An uncertain tax position is measured at the largest amount of benefit that management believes has a greater than 50% likelihood of realization upon settlement. Tax benefits not meeting our realization criteria represent unrecognized tax benefits. The Company establishes a liability for potential taxes, interest and penalties related to uncertain tax positions based on facts and circumstances, including the interpretation of existing law, new judicial or regulatory guidance, and the status of tax audits. |
Earnings Per Share | Earnings Per Share — Basic EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during each period. Diluted EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during each period, plus any incremental dilutive common share equivalents calculated for warrants and RSUs outstanding using the treasury stock method. |
Foreign Currency Translation | Foreign Currency Translation — During the third quarter of 2015, the Company’s foreign subsidiary in China, East West Bank (China) Limited, changed its functional currency from U.S. dollar (“USD”) to Chinese Renminbi (“RMB”). As a result, assets and liabilities of this foreign subsidiary were translated, for consolidation purpose, from its functional currency into USD using period-end spot foreign exchange rates. Revenues and expenses of this foreign subsidiary were translated, for consolidation purpose, from its functional currency into USD at the transaction date foreign exchange rates. The effects of those translation adjustments are reported in the Foreign currency translation adjustments account within Other comprehensive (loss) income on the Consolidated Statement of Comprehensive Income, net of any related hedged effects. For transactions that are denominated in a currency other than the functional currency, including transactions denominated in the local currencies of foreign operations that use the USD as their functional currency, the effects of changes in exchange rates are primarily reported on the Consolidated Statement of Income. |
Change in Accounting Method | Change in Accounting Method — The Company enters into International Swaps and Derivatives Association, Inc. (“ISDA”) master netting agreements or similar agreements with a portion of the Company’s derivative counterparties. Where legally enforceable, these master netting agreements give the Company, in the event of default by the counterparty, the right to liquidate securities and offset cash with the same counterparty. Under ASC 815-10-45-5, payables and receivables in respect of cash collateral received from or paid to a given counterparty can be offset against derivative fair values under a master netting arrangement or similar agreement. GAAP does not permit similar offsetting for security collateral. Prior to the fourth quarter of 2018, the Company elected to account for all derivatives’ fair values on a gross basis on its Consolidated Balance Sheets. In the fourth quarter of 2018, the Company elected to offset derivative assets and liabilities and cash collateral with the same counterparty where it has a legally enforceable master netting agreement or similar agreement in place. The Company believes that this change is a preferable method of accounting as it provides a better reflection of the assets and liabilities on the face of the Consolidated Financial Statements. Adoption of this change is voluntary and has been adopted retrospectively with all prior periods presented herein being restated. |
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements | Standard Required Date of Adoption Description Effects on Financial Statements Standards Adopted in 2018 (continued) ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10) : Recognition and Measurement of Financial Assets and Financial Liabilities January 1, 2018 Early adoption is not permitted, except for certain provisions discussed in the “Description” column. The guidance amends ASC Topic 825, Financial Instruments—Overall, and requires investments in marketable equity securities, except for those accounted for under the equity method of accounting or consolidated, to be accounted for at fair value through net income. The guidance also provides a measurement alternative for equity securities without readily determinable fair values to be measured at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer. Such price changes (if any) are reflected in earnings beginning in the period of adoption. The guidance also requires fair value changes arising from changes in instrument-specific credit risk for financial liabilities that are measured under the fair value option to be recognized in other comprehensive income in which early adoption is permitted for this requirement, and the use of exit price to measure the fair value of financial instruments for disclosure purposes. In addition, the guidance eliminates the requirement to disclose methods and significant assumptions used to estimate the fair value of financial instruments measured at amortized cost on the Consolidated Balance Sheet. On January 1, 2018, with the exception of the amendments related to equity investments without readily determinable fair values and the use of exit price to measure the fair value of financial instruments for disclosure purposes that were adopted prospectively, the Company adopted all other amendments of the standard on a modified retrospective basis. As of the date of adoption, the Company reclassified approximately $31.9 million of marketable equity securities that were previously classified as Available-for-sale investment securities , at fair value to Investments in tax credits and other investments, net . In addition, the Company recorded a cumulative-effect adjustment that reduced retained earnings by $545 thousand and increased AOCI by $385 thousand as of January 1, 2018. The Company elected the measurement alternative for its privately held cost method investments, which was not a material amount. The Company’s investments in the Federal Reserve Bank of San Francisco ("FRB") and FHLB stock are not subject to this guidance and continue to be accounted for at cost. Furthermore, for purposes of disclosing the fair value of financial instruments carried at amortized cost, the Company has updated its valuation methods as necessary to conform to an exit price concept as required by the guidance as of January 1, 2018. The remaining provisions and disclosure requirements of this ASU did not have a material impact on the Company’s Consolidated Financial Statements or related disclosures. ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments January 1, 2018 Early adoption is permitted This ASU amends ASC Topic 230, Statement of Cash Flows , and provides guidance on eight specific issues related to classification on the Consolidated Statement of Cash Flows. The specific issues cover cash payments for debt prepayment or debt extinguishment costs; cash outflows for settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowings; contingent consideration payments that are not made soon after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; distributions received from equity method investees; and beneficial interests received in securitization transactions. The guidance also clarifies that in instances of cash flows with multiple aspects that cannot be separately identified, the classification should be based on the activity that is likely to be the predominant source or use of the cash flows. The Company adopted this guidance on a retrospective basis on January 1, 2018. The adoption of this guidance did not have a material impact on the Company’s Consolidated Financial Statements. Standard Required Date of Adoption Description Effects on Financial Statements Standards Adopted in 2018 (continued) ASU 2016-18 , Statement of Cash Flows (Topic 230) : Restricted Cash January 1, 2018 Early adoption is permitted. This ASU amends ASC Topic 230, Statement of Cash Flows , and requires those amounts that are deemed to be restricted cash and restricted cash equivalents to be included in cash and cash equivalents balances on the Consolidated Statement of Cash Flows. In addition, the Company is required to explain the changes in the combined total of restricted and unrestricted balances on the Consolidated Statement of Cash Flows. The nature of any restrictions are required to be disclosed in the footnotes to the Consolidated Financial Statements. The Company adopted this guidance on a retrospective basis on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements. ASU 2017-01 , Business Combinations (Topic 805) : Clarifying the Definition of a Business January 1, 2018 Early adoption is permitted. This ASU amends ASC Topic 805, Business Combinations, and narrows the definition of a business by adding an initial screen to determine if substantially all of the fair value of the gross assets acquired is concentrated in a single asset or group of similar assets (a “set”). If the screen is met, the set is not a business. This ASU also specifies the minimum inputs and processes required for a set to be considered a business, and it removes the requirement to evaluate a market participant’s ability to replace missing elements when all of the inputs or processes that the seller used in operating a business were not obtained. The Company adopted this guidance prospectively on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements. ASU 2017-08 , Receivables — Nonrefundable Fees and Other Costs (Subtopic 310-20) : Premium Amortization on Purchased Callable Debt Securities January 1, 2019 Early adoption is permitted. This ASU amends ASC Subtopic 310-20, Receivables — Nonrefundable Fees and Other Costs, by shortening the amortization period for certain purchased callable debt securities held at a premium to the earliest call date. The guidance does not require any accounting changes for debt securities held at a discount. The discount continues to be amortized as an adjustment of yield over the contractual life (to maturity) of the instrument. The guidance should be applied using a modified retrospective transition method, with the cumulative-effect adjustment recognized to retained earnings as of the beginning of the period of adoption. The Company early adopted this guidance on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements since the accounting on the Company’s purchased callable debt securities have been consistent with the requirements of ASU 2017-08. ASU 2017-09 , Compensation — Stock Compensation (Topic 718) : Scope of Modification Accounting January 1, 2018 Early adoption is permitted. This ASU amends ASC Topic 718, Compensation — Stock Compensation, and provides guidance on the types of changes to the terms or conditions of share-based payment awards to which an entity would be required to apply modification accounting. Specifically, an entity would not apply modification accounting if the fair value, vesting conditions and classification of the awards are the same immediately before and after the modification. The Company adopted the guidance prospectively on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements. ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities January 1, 2019 Early adoption is permitted. This ASU amends ASC Topic 815, Derivatives and Hedging , to simplify the application of hedge accounting and to better align the Company’s financial reporting of its hedging relationship with its risk management activities. Certain key changes include: eliminating the requirement to separately measure and report hedge ineffectiveness for cash flow and net investment hedges; expands and refines hedge accounting for both nonfinancial and financial risk components, and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item on the Consolidated Financial Statements. In addition, incremental disclosure requirements are required. The Company early adopted this guidance on January 1, 2018. The adoption of this guidance did not have a material impact on the Company’s Consolidated Financial Statements. ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income January 1, 2019 Early adoption is permitted This ASU amends ASC Topic 220, Income Statement — Reporting Comprehensive Income. On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was signed into law. Under current GAAP, deferred tax assets and liabilities are to be adjusted for the effect of a change in tax laws or rates in net income of the reporting period that includes the enactment date. This accounting treatment resulted in the tax effect of items within AOCI not reflecting the appropriate tax rate. This guidance permits companies to reclassify the stranded tax effects resulting from the Tax Act from AOCI to retained earnings. The Company early adopted this guidance retrospectively on January 1, 2018. The Company has identified the unrealized losses for available-for-sale securities to be the only item in AOCI with stranded tax effects, and made a policy election to reclassify the related stranded tax effects using the “investment-by-investment” approach. The adoption of this guidance resulted in a cumulative-effect adjustment as of January 1, 2018 that increased retained earnings by $6.7 million and reduced AOCI by the same amount. Standard Required Date of Adoption Description Effects on Financial Statements Standards Adopted in 2018 (continued) ASU 2018-13 , Fair Value Measurement (Topic 820) : Disclosures Framework — Changes to the Disclosure Requirements for Fair Value Measurement January 1, 2020 Early adoption is permitted. An entity is permitted to early adopt any removed or modified disclosures and delay adoption of the additional disclosures until their effective dates. This ASU amends ASC Topic 820, Fair Value Measurements to add new fair value measurement disclosure requirements, as well as to modify and remove certain disclosure requirements. The new disclosure requirements include disclosing 1) the changes in unrealized gains or losses recorded in other comprehensive income for recurring Level 3 fair value measurements; and 2) the range and weighted-average used to develop significant unobservable inputs in determining the fair value of Level 3 assets and liabilities, and how the weighted-average unobservable inputs were calculated. This ASU removes the requirement to disclose 1) the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy; 2) policy for the timing of transfers between levels of the fair value hierarchy; and 3) valuation processes for level 3 fair value measurements. The new disclosure requirements should be adopted prospectively, while all other amendments should be applied retrospectively. The Company early adopted this guidance as of December 31, 2018 for all applicable provisions. The adoption of this ASU did not have a material impact on the Company’s Consolidated Financial Statements. See Note 3 — Fair Value Measurements and Fair Value of Financial Instruments to the Consolidated Financial Statements for the Company’s fair value disclosures. Recent Accounting Pronouncements Standard Required Date of Adoption Description Effects on Financial Statements Standards Not Yet Adopted ASU 2016-02, Leases (Topic 842) and subsequent related ASUs January 1, 2019 Early adoption is permitted The ASU creates ASC Topic 842, Leases , which supersedes ASC Topic 840, Leases . This ASU requires lessees to recognize right-of-use assets and related lease liabilities for all leases with lease terms of more than 12 months on the Consolidated Balance Sheet, and provide quantitative and qualitative disclosures regarding key information about the leasing arrangements. For short-term leases with a term of 12 months or less, lessees can make a policy election not to recognize lease assets and lease liabilities. Lessor accounting is largely unchanged. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements, which provides companies the option to continue to apply the legacy guidance in ASC 840, Leases , including its disclosure requirements, in the comparative periods presented in the year they adopt ASU 2016-02. Companies that elect this transition option recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption rather than in the earliest period presented. In December 2018, the FASB issued ASU 2018-20, Leases (Topic 842) Narrow-Scope Improvements for Lessors, which include amendments related to 1) sale taxes and other similar taxes collected from lessees; 2) lessor costs paid directly by a lessee; and 3) the recognition of variable payments for contracts with lease and nonlease components. The Company expects to adopt ASU 2016-02 on January 1, 2019 using the optional transition method with a cumulative-effect adjustment to retained earnings without restating prior period financial statements for comparable amounts. The Company has completed its implementation efforts as of December 31, 2018. Based on current estimates, the Company expects to recognize right-of-use lease assets of approximately $114.6 million and lease liabilities of approximately $120.4 million at the date of adoption, based on the present value of the expected remaining lease payments. At adoption, the Company expects to have a cumulative effect adjustment of approximately $14.7 million to increase retained earnings related to deferred gains on sale and leaseback transactions. The Company does not expect material changes to the recognition of operating lease expense on its Consolidated Statement of Income. The Company does not expect the adoption of ASU 2018-20 to have a material impact on the Company’s Consolidated Financial Statements. Standard Required Date of Adoption Description Effects on Financial Statements Standards Not Yet Adopted (continued) ASU 2018-09, Codification Improvements Amendments that do not require transition guidance: effective immediately upon issuance in July, 2018. Amendments that require transition guidance: January 1, 2019 This ASU makes improvements to various Codification Topics. Some of the improvements include: 1) clarifying that the excess tax benefits for share-based compensation awards should be recognized in the period in which the amount of the deduction is determined; 2) one of the criteria “the intent to set off” under ASC 210-20-45-1 is not required to offset derivative assets and liabilities for certain amounts arising from derivative instruments recognized at fair value and executed with the same counterparty under a master netting agreement; and 3) clarifying the measurement of certain financial instruments. For the amendments that are effective immediately upon issuance of this guidance, there is no material impact on the Company’s Consolidated Financial Statements. For amendments that are effective on January 1, 2019, the Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. ASU 2018-16, Derivatives and Hedging (Topic 815) : Inclusion of the Secured Overnight Financing Rate (“SOFR”) Overnight Index Swap (“OIS”) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes January 1, 2019. Early adoption (including adoption in an interim period) is permitted for entities that already adopted ASU 2017-12. This ASU amends ASC Topic 815, Derivatives and Hedging, by adding the OIS rate based on SOFR to the list of U.S. benchmark interest rates that are eligible to be hedged to facilitate the London Interbank Offered Rate (“LIBOR”) to SOFR transition. The guidance should be applied prospectively for qualifying new or redesignated hedging relationships entered into on or after the date of adoption. Given that the Company has early adopted ASU 2017-12, ASU 2018-16 will be adopted on January 1, 2019. The Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. ASU 2016-13, Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments January 1, 2020. The ASU introduces a new current expected credit loss (“CECL”) impairment model that applies to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables, loan receivables, available-for-sale and held-to-maturity debt securities, net investments in leases and off-balance sheet credit exposures. The CECL model utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses at the time the financial asset is originated or acquired. The expected credit losses are adjusted in each period for changes in expected lifetime credit losses. This ASU also expands the disclosure requirements regarding an entity’s assumptions, models and methods for estimating the allowance for loan and lease losses, and requires disclosure of the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination (i.e., by vintage year). The guidance should be applied using a modified retrospective approach through a cumulative-effect adjustment to retained earnings as of the beginning of the reporting period of adoption. While the Company is still evaluating the impact on its Consolidated Financial Statements, the Company expects that this ASU may result in an increase in the allowance for credit losses due to the following factors: 1) the allowance for credit losses provides for expected credit losses over the remaining expected life of the loan portfolio, and will consider expected future changes in macroeconomic conditions; 2) the nonaccretable difference on the PCI loans will be recognized as an allowance, offset by an increase in the carrying value of the PCI loans; and 3) an allowance may be established for estimated credit losses on available-for-sale debt securities. The Company’s implementation efforts include, but are not limited to, identifying key interpretive issues, assessing its processes, identifying the system requirements against the new guidance to determine what modifications may be required. The Company has evaluated portfolio segments and model methodologies including macroeconomic factors and is initiating evaluation of qualitative factors. The Company expects to adopt this ASU on January 1, 2020. Standard Required Date of Adoption Description Effects on Financial Statements Standards Not Yet Adopted (continued) ASU 2017-04, Intangibles — Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment January 1, 2020 Early adoption is permitted for interim or annual goodwill impairment tests with measurement dates after January 1, 2017. The ASU simplifies the accounting for goodwill impairment. Under this guidance, an entity will no longer perform a hypothetical purchase price allocation to measure goodwill impairment. Instead, an impairment loss will be recognized when the carrying amount of a reporting unit exceeds its fair value. The guidance also eliminates the requirement to perform a qualitative assessment for any reporting units with a zero or negative carrying amount. This guidance should be applied prospectively. The Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. The Company expects to adopt this ASU on January 1, 2020. ASU 2018-15, Intangibles — Goodwill and Other — Internal-Use Software (Subtopic 350-40) Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract January 1, 2020 The ASU amends ASC Topic 350-40 to align the accounting for costs incurred in a cloud computing arrangement with the guidance on developing internal use software. Specifically, if a cloud computing arrangement is deemed to be a service contract, certain implementation costs are eligible for capitalization. The new guidance prescribes the balance sheet and income statement presentation and cash flow classification for the capitalized costs and related amortization expense. The amendments in this ASU should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. The Company expects to adopt this ASU on January 1, 2020. |
Held-For-Sale Classification | The Company reports a business as held-for-sale when management has approved or received approval to sell the business and is committed to a formal plan, the business is available for immediate sale, the business is being actively marketed, the sale is anticipated to occur during the next 12 months and certain other specific criteria are met. A business classified as held-for-sale is recorded at the lower of its carrying amount or estimated fair value less costs to sell. If the carrying amount of the business exceeds its estimated fair value, a loss is recognized. Depreciation and amortization expense is not recorded with respect to the assets of a business after it is classified as held-for-sale. |
Fair Value Determination | Fair value is defined as the price that would be received to sell an asset or the price that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining the fair value of financial instruments, the Company uses various methods including market and income approaches. Based on these approaches, the Company utilizes certain assumptions that market participants would use in pricing an asset or a liability. These inputs can be readily observable, market corroborated or generally unobservable. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy noted below is based on the quality and reliability of the information used to determine fair value. The fair value hierarchy gives the highest priority to quoted prices available in active markets and the lowest priority to data lacking transparency. The fair value of the Company’s assets and liabilities is classified and disclosed in one of the following three categories: • Level 1 — Valuation is based on quoted prices for identical instruments traded in active markets. • Level 2 — Valuation is based on quoted prices for similar instruments traded in active markets; quoted prices for identical or similar instruments traded in markets that are not active; and model-derived valuations whose inputs are observable and can be corroborated by market data. • Level 3 — Valuation is based on significant unobservable inputs for determining the fair value of assets or liabilities. These significant unobservable inputs reflect assumptions that market participants may use in pricing the assets or liabilities. The classification of assets and liabilities within the hierarchy is based on whether inputs to the valuation methodology used are observable or unobservable, and the significance of those inputs in the fair value measurement. The Company’s assets and liabilities are classified in their entirety based on the lowest level of input that is significant to their fair value measurements. |
Credit Quality Indicators | Credit Quality Indicators All loans are subject to the Company’s internal and external credit review and monitoring. For the commercial portfolio, loans are risk rated based on an analysis of the current state of the borrower’s credit quality. The analysis of credit quality includes a review of all repayment sources, the borrower’s current payment performance/delinquency, current financial and liquidity status and all other relevant information. For the majority of the consumer portfolio, payment performance/delinquency is the driving indicator for the risk ratings. Risk ratings are the overall credit quality indicator for the Company and the credit quality indicator utilized for estimating the appropriate allowance for loan losses. The Company utilizes a risk rating system, which classifies loans within the following categories: Pass, Watch, Special Mention, Substandard, Doubtful and Loss. The risk ratings reflect the relative strength of the repayment sources. Pass and Watch loans are loans that have sufficient sources of repayment in order to repay the loan in full in accordance with all terms and conditions. Special Mention loans are loans that have potential weaknesses that warrant closer attention by management. Special Mention is a transitory grade. If potential weaknesses are resolved, the loan is upgraded to a Pass or Watch grade. If negative trends in the borrower’s financial status or other information indicate that the repayment sources may become inadequate, the loan is downgraded to a Substandard grade. Substandard loans are loans that have well-defined weaknesses that may jeopardize the full and timely repayment of the loan. Substandard loans have a distinct possibility of loss, if the deficiencies are not corrected. When management has assessed a potential for loss but a distinct possibility of loss is not recognizable, the loan remains classified as Substandard grade. Doubtful loans have insufficient sources of repayment and a high probability of loss. Loss loans are loans that are uncollectible and of such little value that they are no longer considered bankable assets. These internal risk ratings are reviewed routinely and adjusted based on changes in the borrowers’ financial status and the loans’ collectability. |
Variable Interest Entity (VIEs) | Variable Interest Entities (“VIEs”) The Company invests in unconsolidated limited partnerships and similar entities that construct, own and operate affordable housing, historic rehabilitation projects, wind and solar projects, of which the majority of such investments are variable interest entities. As a limited partner in these partnerships, these investments are designed to generate a return primarily through the realization of federal tax credits and tax benefits. An unrelated third party is typically the general partner or managing member who has control over the significant activities of such investments. While the Company’s interest in some of the investments may exceed 50% of the outstanding equity interests, the Company does not consolidate these structures due to the general partner or managing partner’s ability to manage the entity, which is indicative of power in them. The Company’s maximum exposure to loss in connection with these partnerships consist of the unamortized investment balance and any tax credits claimed subject to recapture. Special purpose entities (“SPEs”) formed in connection with securitization transactions are generally considered VIEs. The Company is the servicer of the multifamily residential loans it has securitized in the first quarter of 2016. The Company does not consolidate the multifamily securitization entity because it does not have power and does not have a variable interest that could potentially be significant to the VIE . |
Revenue Recognition | Generally, the Company recognizes revenue from contracts with customers when it satisfies its performance obligations. The Company’s performance obligations are typically satisfied as services are rendered. The Company generally records contract liabilities, or deferred revenue, when payments from customers are received or due in advance of providing services. The Company records contract assets when services are provided to customers before payment is received or before payment is due. Branch Fees — Card Income Card income is comprised of merchant referral fees and interchange income. For merchant referral fees, the Company provides marketing and referral services to acquiring banks for merchant card processing services and earns variable referral fees based on transaction activities. The Company satisfies its performance obligation over time as the Company identifies, solicits, and refers business customers who are provided such services. The Company receives monthly fees net of consideration it pays to the acquiring bank performing the merchant card processing services. The Company recognizes revenue on a monthly basis when the uncertainty associated with the variable referral fees is resolved after the Company receives monthly statements from the acquiring bank. For interchange income, the Company, as a card issuer, has a stand ready performance obligation to authorize, clear, and settle card transactions. The Company earns, or pays, interchange fees, which are percentage-based on each transaction, and based on rates published by the corresponding payment network for transactions processed using their network. The Company measures its progress toward the satisfaction of its performance obligation over time, as services are rendered, and the Company provides continuous access to this service and settles transactions as its customer, the payment network, requires. Interchange income is presented net of direct costs paid to the customer and entities in their distribution chain, which are transaction-based expenses such as rewards program expenses and certain network costs. Revenue is recognized when the net profit is determined by the payment networks at the end of each day. Wealth Management Fees The Company employs financial consultants to provide investment planning services for customers including wealth management services, asset allocation strategies, portfolio analysis and monitoring, investment strategies, and risk management strategies. The fees the Company earns are variable and are generally received monthly. The Company recognizes revenue for the services performed at quarter-end based on actual transaction details received from the broker-dealer the Company engages. Practical Expedients and Exemptions The Company applies the practical expedient in ASC 606-10-50-14 and does not disclose the value of unsatisfied performance obligations as the Company’s contracts with customers generally have a term that is less than one year, are open-ended with a cancellation period that is less than one year, or allow the Company to recognize revenue in the amount to which the Company has the right to invoice. |
Litigation | Litigation — The Company is a party to various legal actions arising in the course of its business. In accordance with ASC 450, Contingencies , the Company accrues reserves for outstanding lawsuits, claims and proceedings when a loss contingency is probable and can be reasonably estimated. The Company estimates the amount of loss contingencies using current available information from legal proceedings, advice from legal counsel, and available insurance coverage. Due to the inherent subjectivity of the assessments and unpredictability of the outcomes of the legal proceedings, any amounts accrued or included in this aggregate amount may not represent the ultimate loss to the Company from the legal proceedings in question. Thus, the Company’s exposure and ultimate losses may be higher, and possibly significantly more than the amounts accrued. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of useful lives for premises and equipment | The ranges of estimated useful lives for the principal classes of assets are as follows: Premises and Equipment Useful Lives Buildings and building improvements 25 years Furniture, fixtures and equipment 3 to 7 years Leasehold improvements Term of lease or useful life, whichever is shorter |
Schedule of new accounting pronouncements adopted and recent accounting pronouncements | Standard Required Date of Adoption Description Effects on Financial Statements Standards Adopted in 2018 (continued) ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10) : Recognition and Measurement of Financial Assets and Financial Liabilities January 1, 2018 Early adoption is not permitted, except for certain provisions discussed in the “Description” column. The guidance amends ASC Topic 825, Financial Instruments—Overall, and requires investments in marketable equity securities, except for those accounted for under the equity method of accounting or consolidated, to be accounted for at fair value through net income. The guidance also provides a measurement alternative for equity securities without readily determinable fair values to be measured at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer. Such price changes (if any) are reflected in earnings beginning in the period of adoption. The guidance also requires fair value changes arising from changes in instrument-specific credit risk for financial liabilities that are measured under the fair value option to be recognized in other comprehensive income in which early adoption is permitted for this requirement, and the use of exit price to measure the fair value of financial instruments for disclosure purposes. In addition, the guidance eliminates the requirement to disclose methods and significant assumptions used to estimate the fair value of financial instruments measured at amortized cost on the Consolidated Balance Sheet. On January 1, 2018, with the exception of the amendments related to equity investments without readily determinable fair values and the use of exit price to measure the fair value of financial instruments for disclosure purposes that were adopted prospectively, the Company adopted all other amendments of the standard on a modified retrospective basis. As of the date of adoption, the Company reclassified approximately $31.9 million of marketable equity securities that were previously classified as Available-for-sale investment securities , at fair value to Investments in tax credits and other investments, net . In addition, the Company recorded a cumulative-effect adjustment that reduced retained earnings by $545 thousand and increased AOCI by $385 thousand as of January 1, 2018. The Company elected the measurement alternative for its privately held cost method investments, which was not a material amount. The Company’s investments in the Federal Reserve Bank of San Francisco ("FRB") and FHLB stock are not subject to this guidance and continue to be accounted for at cost. Furthermore, for purposes of disclosing the fair value of financial instruments carried at amortized cost, the Company has updated its valuation methods as necessary to conform to an exit price concept as required by the guidance as of January 1, 2018. The remaining provisions and disclosure requirements of this ASU did not have a material impact on the Company’s Consolidated Financial Statements or related disclosures. ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments January 1, 2018 Early adoption is permitted This ASU amends ASC Topic 230, Statement of Cash Flows , and provides guidance on eight specific issues related to classification on the Consolidated Statement of Cash Flows. The specific issues cover cash payments for debt prepayment or debt extinguishment costs; cash outflows for settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowings; contingent consideration payments that are not made soon after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; distributions received from equity method investees; and beneficial interests received in securitization transactions. The guidance also clarifies that in instances of cash flows with multiple aspects that cannot be separately identified, the classification should be based on the activity that is likely to be the predominant source or use of the cash flows. The Company adopted this guidance on a retrospective basis on January 1, 2018. The adoption of this guidance did not have a material impact on the Company’s Consolidated Financial Statements. Standard Required Date of Adoption Description Effects on Financial Statements Standards Adopted in 2018 (continued) ASU 2016-18 , Statement of Cash Flows (Topic 230) : Restricted Cash January 1, 2018 Early adoption is permitted. This ASU amends ASC Topic 230, Statement of Cash Flows , and requires those amounts that are deemed to be restricted cash and restricted cash equivalents to be included in cash and cash equivalents balances on the Consolidated Statement of Cash Flows. In addition, the Company is required to explain the changes in the combined total of restricted and unrestricted balances on the Consolidated Statement of Cash Flows. The nature of any restrictions are required to be disclosed in the footnotes to the Consolidated Financial Statements. The Company adopted this guidance on a retrospective basis on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements. ASU 2017-01 , Business Combinations (Topic 805) : Clarifying the Definition of a Business January 1, 2018 Early adoption is permitted. This ASU amends ASC Topic 805, Business Combinations, and narrows the definition of a business by adding an initial screen to determine if substantially all of the fair value of the gross assets acquired is concentrated in a single asset or group of similar assets (a “set”). If the screen is met, the set is not a business. This ASU also specifies the minimum inputs and processes required for a set to be considered a business, and it removes the requirement to evaluate a market participant’s ability to replace missing elements when all of the inputs or processes that the seller used in operating a business were not obtained. The Company adopted this guidance prospectively on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements. ASU 2017-08 , Receivables — Nonrefundable Fees and Other Costs (Subtopic 310-20) : Premium Amortization on Purchased Callable Debt Securities January 1, 2019 Early adoption is permitted. This ASU amends ASC Subtopic 310-20, Receivables — Nonrefundable Fees and Other Costs, by shortening the amortization period for certain purchased callable debt securities held at a premium to the earliest call date. The guidance does not require any accounting changes for debt securities held at a discount. The discount continues to be amortized as an adjustment of yield over the contractual life (to maturity) of the instrument. The guidance should be applied using a modified retrospective transition method, with the cumulative-effect adjustment recognized to retained earnings as of the beginning of the period of adoption. The Company early adopted this guidance on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements since the accounting on the Company’s purchased callable debt securities have been consistent with the requirements of ASU 2017-08. ASU 2017-09 , Compensation — Stock Compensation (Topic 718) : Scope of Modification Accounting January 1, 2018 Early adoption is permitted. This ASU amends ASC Topic 718, Compensation — Stock Compensation, and provides guidance on the types of changes to the terms or conditions of share-based payment awards to which an entity would be required to apply modification accounting. Specifically, an entity would not apply modification accounting if the fair value, vesting conditions and classification of the awards are the same immediately before and after the modification. The Company adopted the guidance prospectively on January 1, 2018. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements. ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities January 1, 2019 Early adoption is permitted. This ASU amends ASC Topic 815, Derivatives and Hedging , to simplify the application of hedge accounting and to better align the Company’s financial reporting of its hedging relationship with its risk management activities. Certain key changes include: eliminating the requirement to separately measure and report hedge ineffectiveness for cash flow and net investment hedges; expands and refines hedge accounting for both nonfinancial and financial risk components, and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item on the Consolidated Financial Statements. In addition, incremental disclosure requirements are required. The Company early adopted this guidance on January 1, 2018. The adoption of this guidance did not have a material impact on the Company’s Consolidated Financial Statements. ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income January 1, 2019 Early adoption is permitted This ASU amends ASC Topic 220, Income Statement — Reporting Comprehensive Income. On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was signed into law. Under current GAAP, deferred tax assets and liabilities are to be adjusted for the effect of a change in tax laws or rates in net income of the reporting period that includes the enactment date. This accounting treatment resulted in the tax effect of items within AOCI not reflecting the appropriate tax rate. This guidance permits companies to reclassify the stranded tax effects resulting from the Tax Act from AOCI to retained earnings. The Company early adopted this guidance retrospectively on January 1, 2018. The Company has identified the unrealized losses for available-for-sale securities to be the only item in AOCI with stranded tax effects, and made a policy election to reclassify the related stranded tax effects using the “investment-by-investment” approach. The adoption of this guidance resulted in a cumulative-effect adjustment as of January 1, 2018 that increased retained earnings by $6.7 million and reduced AOCI by the same amount. Standard Required Date of Adoption Description Effects on Financial Statements Standards Adopted in 2018 (continued) ASU 2018-13 , Fair Value Measurement (Topic 820) : Disclosures Framework — Changes to the Disclosure Requirements for Fair Value Measurement January 1, 2020 Early adoption is permitted. An entity is permitted to early adopt any removed or modified disclosures and delay adoption of the additional disclosures until their effective dates. This ASU amends ASC Topic 820, Fair Value Measurements to add new fair value measurement disclosure requirements, as well as to modify and remove certain disclosure requirements. The new disclosure requirements include disclosing 1) the changes in unrealized gains or losses recorded in other comprehensive income for recurring Level 3 fair value measurements; and 2) the range and weighted-average used to develop significant unobservable inputs in determining the fair value of Level 3 assets and liabilities, and how the weighted-average unobservable inputs were calculated. This ASU removes the requirement to disclose 1) the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy; 2) policy for the timing of transfers between levels of the fair value hierarchy; and 3) valuation processes for level 3 fair value measurements. The new disclosure requirements should be adopted prospectively, while all other amendments should be applied retrospectively. The Company early adopted this guidance as of December 31, 2018 for all applicable provisions. The adoption of this ASU did not have a material impact on the Company’s Consolidated Financial Statements. See Note 3 — Fair Value Measurements and Fair Value of Financial Instruments to the Consolidated Financial Statements for the Company’s fair value disclosures. Recent Accounting Pronouncements Standard Required Date of Adoption Description Effects on Financial Statements Standards Not Yet Adopted ASU 2016-02, Leases (Topic 842) and subsequent related ASUs January 1, 2019 Early adoption is permitted The ASU creates ASC Topic 842, Leases , which supersedes ASC Topic 840, Leases . This ASU requires lessees to recognize right-of-use assets and related lease liabilities for all leases with lease terms of more than 12 months on the Consolidated Balance Sheet, and provide quantitative and qualitative disclosures regarding key information about the leasing arrangements. For short-term leases with a term of 12 months or less, lessees can make a policy election not to recognize lease assets and lease liabilities. Lessor accounting is largely unchanged. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements, which provides companies the option to continue to apply the legacy guidance in ASC 840, Leases , including its disclosure requirements, in the comparative periods presented in the year they adopt ASU 2016-02. Companies that elect this transition option recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption rather than in the earliest period presented. In December 2018, the FASB issued ASU 2018-20, Leases (Topic 842) Narrow-Scope Improvements for Lessors, which include amendments related to 1) sale taxes and other similar taxes collected from lessees; 2) lessor costs paid directly by a lessee; and 3) the recognition of variable payments for contracts with lease and nonlease components. The Company expects to adopt ASU 2016-02 on January 1, 2019 using the optional transition method with a cumulative-effect adjustment to retained earnings without restating prior period financial statements for comparable amounts. The Company has completed its implementation efforts as of December 31, 2018. Based on current estimates, the Company expects to recognize right-of-use lease assets of approximately $114.6 million and lease liabilities of approximately $120.4 million at the date of adoption, based on the present value of the expected remaining lease payments. At adoption, the Company expects to have a cumulative effect adjustment of approximately $14.7 million to increase retained earnings related to deferred gains on sale and leaseback transactions. The Company does not expect material changes to the recognition of operating lease expense on its Consolidated Statement of Income. The Company does not expect the adoption of ASU 2018-20 to have a material impact on the Company’s Consolidated Financial Statements. Standard Required Date of Adoption Description Effects on Financial Statements Standards Not Yet Adopted (continued) ASU 2018-09, Codification Improvements Amendments that do not require transition guidance: effective immediately upon issuance in July, 2018. Amendments that require transition guidance: January 1, 2019 This ASU makes improvements to various Codification Topics. Some of the improvements include: 1) clarifying that the excess tax benefits for share-based compensation awards should be recognized in the period in which the amount of the deduction is determined; 2) one of the criteria “the intent to set off” under ASC 210-20-45-1 is not required to offset derivative assets and liabilities for certain amounts arising from derivative instruments recognized at fair value and executed with the same counterparty under a master netting agreement; and 3) clarifying the measurement of certain financial instruments. For the amendments that are effective immediately upon issuance of this guidance, there is no material impact on the Company’s Consolidated Financial Statements. For amendments that are effective on January 1, 2019, the Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. ASU 2018-16, Derivatives and Hedging (Topic 815) : Inclusion of the Secured Overnight Financing Rate (“SOFR”) Overnight Index Swap (“OIS”) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes January 1, 2019. Early adoption (including adoption in an interim period) is permitted for entities that already adopted ASU 2017-12. This ASU amends ASC Topic 815, Derivatives and Hedging, by adding the OIS rate based on SOFR to the list of U.S. benchmark interest rates that are eligible to be hedged to facilitate the London Interbank Offered Rate (“LIBOR”) to SOFR transition. The guidance should be applied prospectively for qualifying new or redesignated hedging relationships entered into on or after the date of adoption. Given that the Company has early adopted ASU 2017-12, ASU 2018-16 will be adopted on January 1, 2019. The Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. ASU 2016-13, Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments January 1, 2020. The ASU introduces a new current expected credit loss (“CECL”) impairment model that applies to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables, loan receivables, available-for-sale and held-to-maturity debt securities, net investments in leases and off-balance sheet credit exposures. The CECL model utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses at the time the financial asset is originated or acquired. The expected credit losses are adjusted in each period for changes in expected lifetime credit losses. This ASU also expands the disclosure requirements regarding an entity’s assumptions, models and methods for estimating the allowance for loan and lease losses, and requires disclosure of the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination (i.e., by vintage year). The guidance should be applied using a modified retrospective approach through a cumulative-effect adjustment to retained earnings as of the beginning of the reporting period of adoption. While the Company is still evaluating the impact on its Consolidated Financial Statements, the Company expects that this ASU may result in an increase in the allowance for credit losses due to the following factors: 1) the allowance for credit losses provides for expected credit losses over the remaining expected life of the loan portfolio, and will consider expected future changes in macroeconomic conditions; 2) the nonaccretable difference on the PCI loans will be recognized as an allowance, offset by an increase in the carrying value of the PCI loans; and 3) an allowance may be established for estimated credit losses on available-for-sale debt securities. The Company’s implementation efforts include, but are not limited to, identifying key interpretive issues, assessing its processes, identifying the system requirements against the new guidance to determine what modifications may be required. The Company has evaluated portfolio segments and model methodologies including macroeconomic factors and is initiating evaluation of qualitative factors. The Company expects to adopt this ASU on January 1, 2020. Standard Required Date of Adoption Description Effects on Financial Statements Standards Not Yet Adopted (continued) ASU 2017-04, Intangibles — Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment January 1, 2020 Early adoption is permitted for interim or annual goodwill impairment tests with measurement dates after January 1, 2017. The ASU simplifies the accounting for goodwill impairment. Under this guidance, an entity will no longer perform a hypothetical purchase price allocation to measure goodwill impairment. Instead, an impairment loss will be recognized when the carrying amount of a reporting unit exceeds its fair value. The guidance also eliminates the requirement to perform a qualitative assessment for any reporting units with a zero or negative carrying amount. This guidance should be applied prospectively. The Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. The Company expects to adopt this ASU on January 1, 2020. ASU 2018-15, Intangibles — Goodwill and Other — Internal-Use Software (Subtopic 350-40) Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract January 1, 2020 The ASU amends ASC Topic 350-40 to align the accounting for costs incurred in a cloud computing arrangement with the guidance on developing internal use software. Specifically, if a cloud computing arrangement is deemed to be a service contract, certain implementation costs are eligible for capitalization. The new guidance prescribes the balance sheet and income statement presentation and cash flow classification for the capitalized costs and related amortization expense. The amendments in this ASU should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company does not expect the adoption of this guidance to have a material impact on the Company’s Consolidated Financial Statements. The Company expects to adopt this ASU on January 1, 2020. |
Fair Value Measurement and Fa_2
Fair Value Measurement and Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value, Assets and Liabilities | |
Schedule of assets (liabilities) measured at fair value on a recurring basis | The following tables present financial assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2018 and 2017 : ($ in thousands) Assets and Liabilities Measured at Fair Value on a Recurring Basis Quoted Prices in Significant Significant Total Fair Value Available-for-sale investment securities: U.S. Treasury securities $ 564,815 $ — $ — $ 564,815 U.S. government agency and U.S. government sponsored enterprise debt securities — 217,173 — 217,173 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities — 408,603 — 408,603 Residential mortgage-backed securities — 946,693 — 946,693 Municipal securities — 82,020 — 82,020 Non-agency mortgage-backed securities: Commercial mortgage-backed securities Investment grade — 26,052 — 26,052 Residential mortgage-backed securities Investment grade — 9,931 — 9,931 Corporate debt securities: Investment grade — 10,869 — 10,869 Foreign bonds: Investment grade — 463,048 — 463,048 Asset-backed securities: Investment grade — 12,643 — 12,643 Total available-for-sale investment securities $ 564,815 $ 2,177,032 $ — $ 2,741,847 Investments in tax credit and other investments: Equity securities with readily determinable fair value (1) $ 20,678 $ 10,531 $ — $ 31,209 Total investments in tax credit and other investments $ 20,678 $ 10,531 $ — $ 31,209 (1) Equity securities with readily determinable fair value were comprised of mutual funds as of December 31, 2018 . Assets and Liabilities Measured at Fair Value on a Recurring Basis ($ in thousands) Quoted Prices in Significant Significant Total Fair Value Derivative assets: Interest rate contracts $ — $ 69,818 $ — $ 69,818 Foreign exchange contracts — 21,624 — 21,624 Credit contracts — 1 — 1 Equity contracts — 1,278 673 1,951 Commodity contracts — 14,422 — 14,422 Gross derivative assets $ — $ 107,143 $ 673 $ 107,816 Netting adjustments (2) $ — $ (45,146 ) $ — $ (45,146 ) Net derivative assets $ — $ 61,997 $ 673 $ 62,670 Derivative liabilities: Interest rate contracts $ — $ 75,133 $ — $ 75,133 Foreign exchange contracts — 19,940 — 19,940 Credit contracts — 164 — 164 Commodity contracts — 23,068 — 23,068 Gross derivative liabilities $ — $ 118,305 $ — $ 118,305 Netting adjustments (2) $ — $ (38,402 ) $ — $ (38,402 ) Net derivative liabilities $ — $ 79,903 $ — $ 79,903 (2) Represents balance sheet netting of derivative assets and liabilities and related cash collateral under master netting agreements or similar agreements. See Note 6 — Derivatives to the Consolidated Financial Statements for additional information. ($ in thousands) Assets and Liabilities Measured at Fair Value on a Recurring Basis Quoted Prices in Significant Significant Total Fair Value Available-for-sale investment securities: U.S. Treasury securities $ 640,280 $ — $ — $ 640,280 U.S. government agency and U.S. government sponsored enterprise debt securities — 203,392 — 203,392 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities — 318,957 — 318,957 Residential mortgage-backed securities — 1,190,271 — 1,190,271 Municipal securities — 99,982 — 99,982 Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade — 9,117 — 9,117 Corporate debt securities: Investment grade — 37,003 — 37,003 Foreign bonds: Investment grade — 486,408 — 486,408 Other securities 20,735 10,607 — 31,342 Total available-for-sale investment securities $ 661,015 $ 2,355,737 $ — $ 3,016,752 Derivative assets: Interest rate contracts $ — $ 59,564 $ — $ 59,564 Foreign exchange contracts — 5,840 — 5,840 Credit contracts — 1 — 1 Equity contracts — 993 679 1,672 Gross derivative assets $ — $ 66,398 $ 679 $ 67,077 Netting adjustments (1) $ — $ (28,686 ) $ — $ (28,686 ) Net derivative assets $ — $ 37,712 $ 679 $ 38,391 Derivative liabilities: Interest rate contracts $ — $ 65,660 $ — $ 65,660 Foreign exchange contracts — 10,170 — 10,170 Credit contracts — 8 — 8 Gross derivative liabilities $ — $ 75,838 $ — $ 75,838 Netting adjustments (1) $ — $ (31,342 ) $ — $ (31,342 ) Net derivative liabilities $ — $ 44,496 $ — $ 44,496 (1) Represents balance sheet netting of derivative assets and liabilities and related cash collateral under master netting agreements or similar agreements. See Note 6 — Derivatives to the Consolidated Financial Statements for additional information. |
Reconciliation of the beginning and ending balances for warrants and other securities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | The following table presents a reconciliation of the beginning and ending balances of these warrants for the years ended December 31, 2018 and 2017 : ($ in thousands) Year Ended December 31, 2018 2017 Equity Warrants Other Securities Equity Warrants Beginning balance $ 679 $ — $ — Transfer of investment security from held-to-maturity to available-for-sale — 115,615 — Total gains included in earnings (1) 162 1,156 — Issuances, sales and settlements: Issuances 65 — 679 Sales — (116,771 ) — Settlements (233 ) — — Ending balance $ 673 $ — $ 679 (1) Includes unrealized gains of $225 thousand for the year ended December 31, 2018 . There were no unrealized gains (losses) for the year ended December 31, 2017. Net realized/unrealized gains of equity warrants are included in Ancillary loan fees and other income on the Consolidated Statement of Income. Net realized gains of other securities are included in Net gains on sales of available-for-sale investment securities on the Consolidated Statement of Income. |
Schedule of quantitative information about significant unobservable inputs used in the valuation of assets classified as Level 3 | The Company considers unobservable inputs to be significant if, by their exclusion, the fair value of the Level 3 assets would be impacted by a predetermined percentage change. ($ in thousands) Fair Value Measurements (Level 3) Valuation Technique Unobservable Inputs Range of Weighted- Average (1) Derivative assets: Equity warrants $ 673 Black-Scholes option pricing model Volatility 49% — 52% 51% Liquidity discount 47% 47% (1) Weighted-average is calculated based on fair value of equity warrants as of December 31, 2018 . |
Fair Value, Measurements, Nonrecurring | |
Fair Value, Assets and Liabilities | |
Schedule of quantitative information about significant unobservable inputs used in the valuation of assets classified as Level 3 | The following table presents the quantitative information about the significant unobservable inputs used in the valuation of assets measured on a nonrecurring basis classified as Level 3 as of December 31, 2018 and 2017 : ($ in thousands) Fair Value Valuation Unobservable Range of Input(s) Weighted- (1) December 31, 2018 Non-PCI impaired loans $ 16,921 Discounted cash flows Discount 4% — 7% 6 % $ 1,687 Fair value of property Selling cost 8% 8 % $ 2,751 Fair value of collateral Discount 15% — 50% 21 % $ 11,499 Fair value of collateral Contract value NM NM December 31, 2017 Non-PCI impaired loans $ 22,802 Discounted cash flows Discount 4% — 10% 6 % $ 9,773 Fair value of property Selling cost 8% 8 % $ 3,207 Fair value of collateral Discount 20% — 32% 29 % $ 2,406 Fair value of collateral Contract value NM NM OREO $ 9 Fair value of property Selling cost 8% 8 % NM — Not meaningful. (1) Weighted-average is based on the relative fair value of the respective assets as of December 31, 2018 and 2017 . |
Schedule of assets measured at fair value on a nonrecurring basis | The following tables present the carrying amounts of assets included on the Consolidated Balance Sheet that had fair value changes measured on a nonrecurring basis as of December 31, 2018 and 2017 : ($ in thousands) Assets Measured at Fair Value on a Nonrecurring Basis Fair Value Measurements Quoted Prices in Significant Significant Unobservable Inputs (Level 3) Non-PCI impaired loans: Commercial: C&I $ 26,873 $ — $ — $ 26,873 CRE 3,434 — — 3,434 Consumer: Single-family residential 2,551 — — 2,551 Total non-PCI impaired loans $ 32,858 $ — $ — $ 32,858 ($ in thousands) Assets Measured at Fair Value on a Nonrecurring Basis Fair Value Measurements Quoted Prices in Significant Significant Unobservable Inputs (Level 3) Non-PCI impaired loans: Commercial: C&I $ 31,404 $ — $ — $ 31,404 CRE 2,667 — — 2,667 Construction and land 3,973 — — 3,973 Consumer: Single-family residential 144 — — 144 Total non-PCI impaired loans $ 38,188 $ — $ — $ 38,188 OREO $ 9 $ — $ — $ 9 |
Schedule of fair value adjustments of assets measured on a nonrecurring basis recognized | The following table presents the total change in value of assets for which a fair value adjustment has been included on the Consolidated Statement of Income for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Non-PCI impaired loans: Commercial: C&I $ (9,341 ) $ (19,703 ) $ (27,106 ) CRE 270 (272 ) 1,084 Construction and land — (147 ) — Consumer: Single-family residential 15 (11 ) (224 ) HELOCs — — 34 Other consumer — (2,491 ) — Total non-PCI impaired loans nonrecurring fair value losses $ (9,056 ) $ (22,624 ) $ (26,212 ) OREO nonrecurring fair value losses $ — $ (1 ) $ (23 ) Loans held-for-sale lower of cost or fair value adjustments $ — $ — $ (5,565 ) |
Schedule of the carrying and fair values per the fair value hierarchy of certain financial instruments | The following tables present the fair value estimates for financial instruments as of December 31, 2018 and 2017 , excluding financial instruments recorded at fair value on a recurring basis as they are included in the tables presented elsewhere in this Note. The carrying amounts in the following tables are recorded on the Consolidated Balance Sheet under the indicated captions, except for accrued interest receivable and mortgage servicing rights that are included in Other assets , and accrued interest payable that is included in Accrued expenses and other liabilities . These financial assets and liabilities are measured at amortized cost basis on the Company’s Consolidated Balance Sheet. During the first quarter of 2018 , the Company adopted ASU 2016-01 and has updated its valuation methods as necessary to conform to an “exit price” concept as required by ASU 2016-01. ($ in thousands) December 31, 2018 Carrying Amount Level 1 Level 2 Level 3 Estimated Fair Value Financial assets: Cash and cash equivalents $ 3,001,377 $ 3,001,377 $ — $ — $ 3,001,377 Interest-bearing deposits with banks $ 371,000 $ — $ 371,000 $ — $ 371,000 Resale agreements (1) $ 1,035,000 $ — $ 1,016,724 $ — $ 1,016,724 Restricted equity securities, at cost $ 74,069 $ — $ 74,069 $ — $ 74,069 Loans held-for-sale $ 275 $ — $ 275 $ — $ 275 Loans held-for-investment, net $ 32,073,867 $ — $ — $ 32,273,157 $ 32,273,157 Mortgage servicing rights $ 7,836 $ — $ — $ 11,427 $ 11,427 Accrued interest receivable $ 146,262 $ — $ 146,262 $ — $ 146,262 Financial liabilities: Demand, checking, savings and money market deposits $ 26,370,562 $ — $ 26,370,562 $ — $ 26,370,562 Time deposits $ 9,069,066 $ — $ 9,084,597 $ — $ 9,084,597 Short-term borrowings $ 57,638 $ — $ 57,638 $ — $ 57,638 FHLB advances $ 326,172 $ — $ 334,793 $ — $ 334,793 Repurchase agreements (1) $ 50,000 $ — $ 87,668 $ — $ 87,668 Long-term debt $ 146,835 $ — $ 152,556 $ — $ 152,556 Accrued interest payable $ 22,893 $ — $ 22,893 $ — $ 22,893 (1) Resale and repurchase agreements are reported net pursuant to ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . As of December 31, 2018 , $400.0 million out of $450.0 million of repurchase agreements were eligible for netting against resale agreements. ($ in thousands) December 31, 2017 Carrying Level 1 Level 2 Level 3 Estimated Financial assets: Cash and cash equivalents $ 2,174,592 $ 2,174,592 $ — $ — $ 2,174,592 Interest-bearing deposits with banks $ 398,422 $ — $ 398,422 $ — $ 398,422 Resale agreements (1) $ 1,050,000 $ — $ 1,035,158 $ — $ 1,035,158 Restricted equity securities, at cost $ 73,521 $ — $ 73,521 $ — $ 73,521 Loans held-for-sale $ 85 $ — $ 85 $ — $ 85 Loans held-for-investment, net $ 28,688,590 $ — $ — $ 28,956,349 $ 28,956,349 Branch assets held-for-sale $ 91,318 $ 5,143 $ 10,970 $ 78,132 $ 94,245 Mortgage servicing rights $ 7,771 $ — $ — $ 11,324 $ 11,324 Accrued interest receivable $ 121,719 $ — $ 121,719 $ — $ 121,719 Financial liabilities: Demand, checking, savings and money market deposits $ 25,974,314 $ — $ 25,974,314 $ — $ 25,974,314 Time deposits $ 5,640,749 $ — $ 5,626,855 $ — $ 5,626,855 Branch liability held-for-sale $ 605,111 $ — $ — $ 643,937 $ 643,937 FHLB advances $ 323,891 $ — $ 335,901 $ — $ 335,901 Repurchase agreements (1) $ 50,000 $ — $ 104,830 $ — $ 104,830 Long-term debt $ 171,577 $ — $ 171,673 $ — $ 171,673 Accrued interest payable $ 10,724 $ — $ 10,724 $ — $ 10,724 (1) Resale and repurchase agreements are reported net pursuant to ASC 210-20-45-11, Balance Sheet Offsetting: Repurchase and Reverse Repurchase Agreements . As of December 31, 2017, $400.0 million out of $450.0 million of repurchase agreements were eligible for netting against resale agreemen |
Securities Purchased under Re_2
Securities Purchased under Resale Agreements and Sold under Repurchase Agreements (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
RESALE AND REPURCHASE AGREEMENTS | |
Schedule of repurchase agreements maturities | The following table presents the repurchase agreements that will mature in the five years succeeding December 31, 2018 and thereafter: ($ in thousands) Repurchase Agreements 2019 $ — 2020 — 2021 — 2022 150,000 2023 300,000 Thereafter — Total $ 450,000 |
Schedule of balance sheet offsetting for resale agreements and repurchase agreements | The following tables present the resale and repurchase agreements included on the Consolidated Balance Sheet as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Assets Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Financial Collateral Resale agreements $ 1,435,000 $ (400,000 ) $ 1,035,000 $ — $ (1,025,066 ) (1) $ 9,934 Liabilities Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Financial Collateral Repurchase agreements $ 450,000 $ (400,000 ) $ 50,000 $ — $ (50,000 ) (2) $ — ($ in thousands) December 31, 2017 Assets Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Amount Financial Collateral Resale agreements $ 1,450,000 $ (400,000 ) $ 1,050,000 $ — $ (1,045,696 ) (1) $ 4,304 Liabilities Gross Amounts Gross Amounts Net Amounts of Gross Amounts Not Offset on the Net Amount Financial Collateral Repurchase agreements $ 450,000 $ (400,000 ) $ 50,000 $ — $ (50,000 ) (2) $ — (1) Represents the fair value of securities the Company has received under resale agreements, limited for table presentation purposes to the amount of the recognized asset due from each counterparty. (2) Represents the fair value of securities the Company has pledged under resale agreements, limited for table presentation purposes to the amount of the recognized asset due from each counterparty. |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost, gross unrealized gains, gross unrealized losses and fair value by major categories of available-for-sale investment securities | The following tables present the amortized cost, gross unrealized gains and losses, and fair value by major categories of available-for-sale investment securities as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Amortized Gross Gross Fair Available-for-sale investment securities: U.S. Treasury securities $ 577,561 $ 153 $ (12,899 ) $ 564,815 U.S. government agency and U.S. government sponsored enterprise debt securities 219,485 382 (2,694 ) 217,173 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 420,486 811 (12,694 ) 408,603 Residential mortgage-backed securities 957,219 4,026 (14,552 ) 946,693 Municipal securities 82,965 87 (1,032 ) 82,020 Non-agency mortgage-backed securities: Commercial mortgage-backed securities Investment grade (1) 25,826 226 — 26,052 Residential mortgage-backed securities Investment grade (1) 10,109 7 (185 ) 9,931 Corporate debt securities: Investment grade (1) 11,250 — (381 ) 10,869 Foreign bonds: Investment grade (1) (2) 489,378 — (26,330 ) 463,048 Asset-backed securities: Investment grade (1) 12,621 22 — 12,643 Total available-for-sale investment securities $ 2,806,900 $ 5,714 $ (70,767 ) $ 2,741,847 ($ in thousands) December 31, 2017 Amortized Gross Gross Fair Available-for-sale investment securities: U.S. Treasury securities $ 651,395 $ — $ (11,115 ) $ 640,280 U.S. government agency and U.S. government sponsored enterprise debt securities 206,815 62 (3,485 ) 203,392 U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 328,348 141 (9,532 ) 318,957 Residential mortgage-backed securities 1,199,869 3,964 (13,562 ) 1,190,271 Municipal securities 99,636 655 (309 ) 99,982 Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade (1) 9,136 3 (22 ) 9,117 Corporate debt securities: Investment grade (1) 37,585 164 (746 ) 37,003 Foreign bonds: Investment grade (1) 505,396 24 (19,012 ) 486,408 Other securities (2) 31,887 — (545 ) 31,342 Total available-for-sale investment securities $ 3,070,067 $ 5,013 $ (58,328 ) $ 3,016,752 (1) Available-for-sale investment securities rated BBB- or higher by Standard and Poor’s (“S&P”) or Baa3 or higher by Moody’s are considered investment grade. Conversely, available-for-sale investment securities rated lower than BBB- by S&P or lower than Baa3 by Moody’s are considered non-investment grade. Classifications are based on the lower of the credit ratings by S&P or Moody’s. (2) Other securities are comprised of mutual funds, which are equity securities with readily determinable fair value. Prior to the adoption of ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities , these securities were reported as available-for-sale investment securities with changes in fair value recorded in other comprehensive income. Upon adoption of ASU 2016-01, which became effective January 1, 2018, these securities were reclassified from Available-for-sale investment securities, at fair value to Investments in tax credit and other investments, net , on the Consolidated Balance Sheet with changes in fair value recorded in net income. |
Schedule of fair value and associated gross unrealized loss of available-for-sale investment securities | The following tables present the fair value and the associated gross unrealized losses of the Company’s available-for-sale investment securities, aggregated by investment category and the length of time that the securities have been in a continuous unrealized loss position, as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Less Than 12 Months 12 Months or More Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Available-for-sale investment securities: U.S. Treasury securities $ — $ — $ 516,520 $ (12,899 ) $ 516,520 $ (12,899 ) U.S. government agency and U.S. government sponsored enterprise debt securities 22,755 (238 ) 159,814 (2,456 ) 182,569 (2,694 ) U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 26,886 (245 ) 274,666 (12,449 ) 301,552 (12,694 ) Residential mortgage-backed securities 75,675 (491 ) 653,660 (14,061 ) 729,335 (14,552 ) Municipal securities 9,458 (104 ) 30,295 (928 ) 39,753 (1,032 ) Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade 3,067 (19 ) 3,949 (166 ) 7,016 (185 ) Corporate debt securities: Investment grade 10,869 (381 ) — — 10,869 (381 ) Foreign bonds: Investment grade 14,418 (40 ) 448,630 (26,290 ) 463,048 (26,330 ) Total available-for-sale investment securities $ 163,128 $ (1,518 ) $ 2,087,534 $ (69,249 ) $ 2,250,662 $ (70,767 ) ($ in thousands) December 31, 2017 Less Than 12 Months 12 Months or More Total Fair Gross Fair Gross Fair Gross Available-for-sale investment securities: U.S. Treasury securities $ 168,061 $ (1,005 ) $ 472,219 $ (10,110 ) $ 640,280 $ (11,115 ) U.S. government agency and U.S. government sponsored enterprise debt securities 99,935 (623 ) 85,281 (2,862 ) 185,216 (3,485 ) U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities: Commercial mortgage-backed securities 113,775 (2,071 ) 191,827 (7,461 ) 305,602 (9,532 ) Residential mortgage-backed securities 413,621 (4,205 ) 361,809 (9,357 ) 775,430 (13,562 ) Municipal securities 8,490 (123 ) 8,588 (186 ) 17,078 (309 ) Non-agency mortgage-backed securities: Residential mortgage-backed securities Investment grade 4,599 (22 ) — — 4,599 (22 ) Corporate debt securities: Investment grade — — 11,905 (746 ) 11,905 (746 ) Foreign bonds: Investment grade 103,149 (1,325 ) 352,239 (17,687 ) 455,388 (19,012 ) Other securities (1) 31,215 (545 ) — — 31,215 (545 ) Total available-for-sale investment securities $ 942,845 $ (9,919 ) $ 1,483,868 $ (48,409 ) $ 2,426,713 $ (58,328 ) (1) Other securities are comprised of mutual funds, which are equity securities with readily determinable fair value. Prior to the adoption of ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10) : Recognition and Measurement of Financial Assets and Financial Liabilities , these securities were reported as available-for-sale investment securities with changes in fair value recorded in other comprehensive income. Upon adoption of ASU 2016-01, which became effective January 1, 2018, these securities were reclassified from Available-for-sale investment securities, at fair value to Investments in tax credit and other investments, net , on the Consolidated Balance Sheet with changes in fair value recorded in net income. |
Schedule of the proceeds, gross realized gains and losses and tax expense related to the sales of available-for-sale investment securities | The following table presents the proceeds, gross realized gains and losses, and tax expense related to the sales of available-for-sale investment securities for the years ended December 31, 2018 , 2017 and 2016 : Year Ended December 31, ($ in thousands) 2018 2017 2016 Proceeds from sales $ 364,270 $ 832,844 $ 1,275,645 Gross realized gains $ 2,535 $ 8,037 $ 10,487 Gross realized losses $ — $ — $ 125 Related tax expense $ 749 $ 3,380 $ 4,357 |
Schedule of maturities of available-for-sale investment securities | The following table presents the scheduled maturities of available-for-sale investment securities as of December 31, 2018 : ($ in thousands) Amortized Cost Fair Value Due within one year $ 549,517 $ 523,552 Due after one year through five years 676,814 661,868 Due after five years through ten years 212,093 209,653 Due after ten years 1,368,476 1,346,774 Total available-for-sale investment securities $ 2,806,900 $ 2,741,847 |
Schedule of restricted equity securities | The following table presents the restricted equity securities as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 FRB stock $ 56,819 $ 56,271 FHLB stock 17,250 17,250 Total restricted equity securities $ 74,069 $ 73,521 |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of notional and fair values of derivatives | The following tables present the notional amounts and the gross fair values of foreign exchange derivative contracts outstanding as of December 31, 2018 and 2017 , respectively: ($ in thousands) December 31, 2018 Customer Counterparty Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities ($ in thousands) Assets Liabilities Forwards and spot $ 2,023,425 $ 11,719 $ 13,079 Forwards and spot $ 506,342 $ 3,407 $ 2,285 Swaps 21,108 348 243 Swaps 687,845 5,764 3,336 Written options 537 16 — Purchased options 537 — 16 Collars 83,864 — 370 Collars 83,864 370 — Total $ 2,128,934 $ 12,083 $ 13,692 Total $ 1,278,588 $ 9,541 $ 5,637 ($ in thousands) December 31, 2017 Customer Counterparty Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities Assets Liabilities Forwards and spot $ 163,389 $ 2,189 $ 752 $ 155,872 $ 662 $ 7,800 Swaps 4,318 — 98 446,636 2,989 1,520 Total $ 167,707 $ 2,189 $ 850 $ 602,508 $ 3,651 $ 9,320 The following table presents the total notional amounts and gross fair values of the Company’s derivatives, as well as the balance sheet netting adjustments on an aggregate basis to take into consideration the effects of legally enforceable master netting agreements and cash collateral received or paid as of December 31, 2018 and 2017 . The resulting net derivative asset and liability fair values are included in Other assets and Accrued expenses and other liabilities , respectively, on the Consolidated Balance Sheet. ($ in thousands) December 31, 2018 December 31, 2017 Notional Amount Fair Value Notional Amount Fair Value Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Derivatives designated as hedging instruments: Fair value hedges: Interest rate contracts $ 35,811 $ — $ 5,866 $ 35,811 $ — $ 6,770 Net investment hedges: Foreign exchange contracts 90,245 — 611 — — — Total derivatives designated as hedging instruments $ 126,056 $ — $ 6,477 $ 35,811 $ — $ 6,770 Derivatives not designated as hedging instruments: Interest rate contracts $ 11,695,499 $ 69,818 $ 69,267 $ 9,333,860 $ 59,564 $ 58,890 Foreign exchange contracts 3,407,522 21,624 19,329 770,215 5,840 10,170 Credit contracts 119,320 1 164 49,033 1 8 Equity contracts — (1) 1,951 — — (1) 1,672 — Commodity contracts — (2) 14,422 23,068 — — — Total derivatives not designated as hedging instruments $ 15,222,341 $ 107,816 $ 111,828 $ 10,153,108 $ 67,077 $ 69,068 Gross derivative assets/liabilities $ 107,816 $ 118,305 $ 67,077 $ 75,838 Less: Master netting agreements (31,569 ) (31,569 ) (20,662 ) (20,662 ) Less: Cash collateral received/paid (13,577 ) (6,833 ) (8,024 ) (10,680 ) Net derivative assets/liabilities $ 62,670 $ 79,903 $ 38,391 $ 44,496 (1) The Company held equity contracts in four public companies and 18 private companies as of December 31, 2018 . In comparison, the Company held equity contracts in four public companies and 12 private companies as of December 31, 2017 . (2) The notional amount of the Company’s commodity contracts entered with its customers totaled 2,507 thousand barrels of oil and 14,722 thousand units of natural gas, measured in million British thermal units (“MMBTUs”) as of December 31, 2018 . The Company entered into the same notional amounts of commodity contracts with mirrored terms with third-party financial institutions to mitigate its exposure. The Company did not have any commodity contracts as of December 31, 2017 . The following tables present the notional amounts and the gross fair values of interest rate derivative contracts outstanding as of December 31, 2018 and 2017 , respectively: ($ in thousands) December 31, 2018 Customer Counterparty ($ in thousands) Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities Assets Liabilities Written options $ 931,601 $ — $ 492 Purchased options $ 931,601 $ 503 $ — Sold collars and corridors 429,879 1,121 305 Collars and corridors 429,879 308 1,140 Swaps 4,482,881 41,457 41,545 Swaps 4,489,658 26,429 25,785 Total $ 5,844,361 $ 42,578 $ 42,342 Total $ 5,851,138 $ 27,240 $ 26,925 ($ in thousands) December 31, 2017 Customer Counterparty ($ in thousands) Financial Counterparty Notional Fair Value Notional Fair Value Assets Liabilities Assets Liabilities Written options $ 691,548 $ — $ 223 Purchased options $ 691,548 $ 233 $ — Sold collars and corridors 247,542 204 267 Collars and corridors 247,542 271 211 Swaps 3,724,295 33,417 24,636 Swaps 3,731,385 25,439 33,553 Total $ 4,663,385 $ 33,621 $ 25,126 Total $ 4,670,475 $ 25,943 $ 33,764 The following table presents the notional amounts and fair values of the commodity derivative positions outstanding as of December 31, 2018 . December 31, 2018 ($ and units Customer Counterparty ($ and units Financial Counterparty Notional Fair Value Notional Fair Value Unit Amount Assets Liabilities Unit Amount Assets Liabilities Crude oil: Crude oil: Written options Barrels 524 $ — $ 2,628 Purchased options Barrels 524 $ 2,251 $ — Collars Barrels 872 — 3,772 Collars Barrels 872 3,225 — Swaps Barrels 1,111 — 14,278 Swaps Barrels 1,111 5,799 — Total 2,507 $ — $ 20,678 Total 2,507 $ 11,275 $ — Natural gas: Natural gas: Collars MMBTUs 3,063 $ 78 $ 152 Collars MMBTUs 3,063 $ 151 $ 64 Swaps MMBTUs 11,659 1,049 1,857 Swaps MMBTUs 11,659 1,869 317 Total 14,722 $ 1,127 $ 2,009 Total 14,722 $ 2,020 $ 381 Total $ 1,127 $ 22,687 Total $ 13,295 $ 381 The following table presents the notional amounts and the gross fair values of RPAs sold and purchased outstanding as of December 31, 2018 and 2017 , respectively: ($ in thousands) December 31, 2018 December 31, 2017 Notional Amount Fair Value Notional Amount Fair Value Assets Liabilities Assets Liabilities RPAs - protection sold $ 108,606 $ — $ 164 $ 35,208 $ — $ 8 RPAs - protection purchased 10,714 1 — 13,825 1 — Total RPAs $ 119,320 $ 1 $ 164 $ 49,033 $ 1 $ 8 |
Schedule of net gains (losses) recognized on the Consolidated Statements of Income related to derivatives designated as fair value hedge | The following table presents the net (losses) gains recognized on the Consolidated Statement of Income related to the derivatives designated as fair value hedges for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 (Losses) gains recorded in interest expense: Recognized on interest rate swaps $ (93 ) $ (2,734 ) $ (794 ) Recognized on certificates of deposit $ 278 $ 2,271 $ 157 |
Schedule of the carrying amount and associated cumulative basis adjustment related to the application of fair value hedge accounting that is included in the carrying amount of the hedged certificates of deposit | The following table presents the carrying amount and associated cumulative basis adjustment related to the application of fair value hedge accounting that is included in the carrying amount of the hedged certificates of deposit as of December 31, 2018 and 2017 : ($ in thousands) Carrying Value (1) Cumulative Fair Value Adjustment (2) December 31, December 31, 2018 2017 2018 2017 Certificates of deposit $ (26,877 ) $ (31,058 ) $ 4,141 $ 4,745 (1) Represents the full carrying amount of the hedged certificates of deposit. (2) For liabilities, (increase) decrease to carrying value. |
Schedule of gains (losses) related to net investment hedges on a pre-tax basis in accumulated other comprehensive income (loss) and Consolidated Statements of Income | The following table presents the gains (losses) recorded on net investment hedges on a pre-tax basis for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Gains (losses) recognized in AOCI $ 6,072 $ (648 ) $ 2,908 Gains (losses) recognized in Letters of credit fees and foreign exchange income (1) $ — $ (1,953 ) $ 1,124 (1) Represents the gains (losses) recorded in the Consolidated Statement of Income related to the ineffective portion of the net investment hedges prior to the adoption of ASU 2017-12, effective January 1, 2018. After the adoption, the fair value gains (losses) are recorded in Foreign Currency Translation Adjustments within AOCI. |
Schedule of net gains (losses) recognized on the Consolidated Statements of Income related to derivatives not designated as hedging instruments | The following table presents the net gains (losses) recognized on the Company’s Consolidated Statement of Income related to derivatives not designated as hedging instruments for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Location in Consolidated Statement of Income Year Ended December 31, 2018 2017 2016 Derivatives not designated as hedging instruments: Interest rate contracts Derivative fees and other income $ 280 $ (1,772 ) $ 2,557 Foreign exchange contracts Letters of credit fees and foreign exchange income 16,784 22,076 12,632 Credit contracts Derivative fees and other income (156 ) (7 ) — Equity contracts Ancillary loan fees and other income 512 1,672 — Commodity contracts Derivative fees and other income (11 ) — — Net gains $ 17,409 $ 21,969 $ 15,189 |
Schedule of gross derivative fair values, the balance sheet netting adjustments and net fair values on the Consolidated Balance Sheets, as well as the cash and non-cash collateral | The following tables present the gross derivative fair values, the balance sheet netting adjustments and the resulting net fair values recorded on the consolidated balance sheet, as well as the cash and non-cash collateral associated with master netting arrangements. The collateral amounts in these tables are limited to the outstanding balances of the related asset or liability (after netting is applied); thus instances of overcollateralization are not shown. In addition, the following tables reflect rule changes adopted by clearing organizations that require or allow entities to elect to treat derivative assets, liabilities and the related variation margin as settlement of the related derivative fair values for legal and accounting purposes, as opposed to presenting gross derivative assets and liabilities that are subject to collateral, whereby the counterparties would record a related collateral payable or receivable: ($ in thousands) As of December 31, 2018 Gross (1) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Received (3) Security Collateral Received (5) Derivative assets $ 107,816 $ (31,569 ) $ (13,577 ) $ 62,670 $ (13,975 ) $ 48,695 Gross (2) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Pledged (4) Security Collateral Pledged (5) Derivative liabilities $ 118,305 $ (31,569 ) $ (6,833 ) $ 79,903 $ (11,231 ) $ 68,672 ($ in thousands) As of December 31, 2017 Gross (1) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Received (3) Security Collateral (5) Derivative assets $ 67,077 $ (20,662 ) $ (8,024 ) $ 38,391 $ (1,153 ) $ 37,238 Gross (2) Gross Amounts Offset Net Amounts Gross Amounts Not Offset Net Master Netting Arrangements Cash Collateral Pledged (4) Security Collateral Pledged (5) Derivative liabilities $ 75,838 $ (20,662 ) $ (10,680 ) $ 44,496 $ (18,610 ) $ 25,886 (1) Gross amounts recognized for derivative assets include amounts with counterparties subject to enforceable master netting arrangements or similar agreements of $105.9 million and $64.8 million , respectively, as of December 31, 2018 and 2017 , and amounts with counterparties not subject to enforceable master netting arrangements or similar agreements of $2.0 million and $2.3 million , respectively, as of December 31, 2018 and 2017 . (2) Gross amounts recognized for derivative liabilities include amounts with counterparties subject to enforceable master netting arrangements or similar agreements of $118.2 million and $75.3 million , respectively, as of December 31, 2018 and 2017 , and amounts with counterparties not subject to enforceable master netting arrangements or similar agreements of $102 thousand and $523 thousand , respectively, as of December 31, 2018 and 2017 . (3) Gross cash collateral received under master netting arrangements or similar agreements were $15.8 million and $9.2 million , respectively, as of December 31, 2018 and 2017 . Of the gross cash collateral received, $13.6 million and $8.0 million were used to offset against derivative assets, respectively, as of December 31, 2018 and 2017 . (4) Gross cash collateral pledged under master netting arrangements or similar agreements were $8.4 million and $10.7 million , respectively, as of December 31, 2018 and 2017 . Of the gross cash collateral pledged, $6.8 million and $10.7 million were used to offset against derivative liabilities, respectively, as of December 31, 2018 and 2017 . (5) Represents the fair value of security collateral received and pledged limited to derivative assets and liabilities that are subject to enforceable master netting arrangements or similar agreements. U.S. GAAP does not permit the netting of non-cash collateral on the consolidated balance sheet but requires disclosure of such amounts. |
Loans Receivable and Allowanc_2
Loans Receivable and Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Schedule of the composition of Non-PCI and PCI loans | The following table presents the composition of the Company’s non-PCI and PCI loans as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 December 31, 2017 Non-PCI (1) PCI Loans (2) Total (1)(2) Non-PCI Loans (1) PCI (2) Total (1)(2) Commercial: C&I $ 12,054,818 $ 2,152 $ 12,056,970 $ 10,685,436 $ 11,795 $ 10,697,231 CRE 9,284,583 165,252 9,449,835 8,659,209 277,688 8,936,897 Multifamily residential 2,246,506 34,526 2,281,032 1,855,128 61,048 1,916,176 Construction and land 538,752 42 538,794 659,326 371 659,697 Total commercial 24,124,659 201,972 24,326,631 21,859,099 350,902 22,210,001 Consumer: Single-family residential 5,939,258 97,196 6,036,454 4,528,911 117,378 4,646,289 HELOCs 1,681,979 8,855 1,690,834 1,768,917 14,007 1,782,924 Other consumer 331,270 — 331,270 336,504 — 336,504 Total consumer 7,952,507 106,051 8,058,558 6,634,332 131,385 6,765,717 Total loans held-for-investment $ 32,077,166 $ 308,023 $ 32,385,189 $ 28,493,431 $ 482,287 $ 28,975,718 Allowance for loan losses (311,300 ) (22 ) (311,322 ) (287,070 ) (58 ) (287,128 ) Loans held-for-investment, net $ 31,765,866 $ 308,001 $ 32,073,867 $ 28,206,361 $ 482,229 $ 28,688,590 (1) Includes net deferred loan fees, unearned fees, unamortized premiums and unaccreted discounts of $(48.9) million and $(34.0) million as of December 31, 2018 and 2017 , respectively. (2) Includes ASC 310-30 discount of $22.2 million and $35.3 million as of December 31, 2018 and 2017 , respectively. |
Summary of credit risk rating for non-PCI and PCI loans by portfolio segment | The following tables present the credit risk ratings for non-PCI loans by portfolio segment as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Pass/Watch Special Mention Substandard Doubtful Total Non- PCI Loans Commercial: C&I $ 11,644,470 $ 260,089 $ 139,844 $ 10,415 $ 12,054,818 CRE 9,144,646 49,705 90,232 — 9,284,583 Multifamily residential 2,215,573 20,551 10,382 — 2,246,506 Construction and land 485,217 19,838 33,697 — 538,752 Total commercial 23,489,906 350,183 274,155 10,415 24,124,659 Consumer: Single-family residential 5,925,584 6,376 7,298 — 5,939,258 HELOCs 1,669,300 1,576 11,103 — 1,681,979 Other consumer 328,767 1 2,502 — 331,270 Total consumer 7,923,651 7,953 20,903 — 7,952,507 Total $ 31,413,557 $ 358,136 $ 295,058 $ 10,415 $ 32,077,166 ($ in thousands) December 31, 2017 Pass/Watch Special Mention Substandard Doubtful Total Non- Commercial: C&I $ 10,369,516 $ 114,769 $ 180,269 $ 20,882 $ 10,685,436 CRE 8,484,635 65,616 108,958 — 8,659,209 Multifamily residential 1,839,958 — 15,170 — 1,855,128 Construction and land 614,441 4,590 40,295 — 659,326 Total commercial 21,308,550 184,975 344,692 20,882 21,859,099 Consumer: Single-family residential 4,490,672 16,504 21,735 — 4,528,911 HELOCs 1,744,903 11,900 12,114 — 1,768,917 Other consumer 333,895 111 2,498 — 336,504 Total consumer 6,569,470 28,515 36,347 — 6,634,332 Total $ 27,878,020 $ 213,490 $ 381,039 $ 20,882 $ 28,493,431 The following tables present the credit risk ratings for PCI loans by portfolio segment as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Pass/Watch Special Mention Substandard Doubtful Total PCI Loans Commercial: C&I $ 1,996 $ — $ 156 $ — $ 2,152 CRE 146,057 — 19,195 — 165,252 Multifamily residential 33,003 — 1,523 — 34,526 Construction and land 42 — — — 42 Total commercial 181,098 — 20,874 — 201,972 Consumer: Single-family residential 95,789 1,021 386 — 97,196 HELOCs 8,314 256 285 — 8,855 Total consumer 104,103 1,277 671 — 106,051 Total (1) $ 285,201 $ 1,277 $ 21,545 $ — $ 308,023 ($ in thousands) December 31, 2017 Pass/Watch Special Mention Substandard Doubtful Total PCI Commercial: C&I $ 10,712 $ 57 $ 1,026 $ — $ 11,795 CRE 238,605 531 38,552 — 277,688 Multifamily residential 56,720 — 4,328 — 61,048 Construction and land 44 — 327 — 371 Total commercial 306,081 588 44,233 — 350,902 Consumer: Single-family residential 113,905 1,543 1,930 — 117,378 HELOCs 12,642 — 1,365 — 14,007 Total consumer 126,547 1,543 3,295 — 131,385 Total (1) $ 432,628 $ 2,131 $ 47,528 $ — $ 482,287 (1) Loans net of ASC 310-30 discount. |
Schedule of aging analysis on non-PCI loans | The following tables present the aging analysis on non-PCI loans as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Accruing Loans 30-59 Days Past Due Accruing Loans 60-89 Days Past Due Total Accruing Past Due Loans Nonaccrual Loans Less Than 90 Days Past Due Nonaccrual Loans 90 or More Days Past Due Total Nonaccrual Loans Current Accruing Loans Total Non- PCI Loans Commercial: C&I $ 21,032 $ 19,170 $ 40,202 $ 17,097 $ 26,743 $ 43,840 $ 11,970,776 $ 12,054,818 CRE 7,740 — 7,740 3,704 20,514 24,218 9,252,625 9,284,583 Multifamily residential 4,174 — 4,174 1,067 193 1,260 2,241,072 2,246,506 Construction and land 207 — 207 — — — 538,545 538,752 Total commercial 33,153 19,170 52,323 21,868 47,450 69,318 24,003,018 24,124,659 Consumer: Single-family residential 14,645 7,850 22,495 509 4,750 5,259 5,911,504 5,939,258 HELOCs 2,573 1,816 4,389 1,423 7,191 8,614 1,668,976 1,681,979 Other consumer 11 12 23 — 2,502 2,502 328,745 331,270 Total consumer 17,229 9,678 26,907 1,932 14,443 16,375 7,909,225 7,952,507 Total $ 50,382 $ 28,848 $ 79,230 $ 23,800 $ 61,893 $ 85,693 $ 31,912,243 $ 32,077,166 ($ in thousands) December 31, 2017 Accruing Loans 30-59 Days Past Due Accruing Loans 60-89 Days Past Due Total Accruing Past Due Loans Nonaccrual Loans Less Than 90 Days Past Due Nonaccrual Loans 90 or More Days Past Due Total Nonaccrual Loans Current Accruing Loans Total Non- Commercial: C&I $ 30,964 $ 82 $ 31,046 $ 27,408 $ 41,805 $ 69,213 $ 10,585,177 $ 10,685,436 CRE 3,414 466 3,880 5,430 21,556 26,986 8,628,343 8,659,209 Multifamily residential 4,846 14 4,860 1,418 299 1,717 1,848,551 1,855,128 Construction and land 758 — 758 — 3,973 3,973 654,595 659,326 Total commercial 39,982 562 40,544 34,256 67,633 101,889 21,716,666 21,859,099 Consumer: Single-family residential 13,269 5,355 18,624 6 5,917 5,923 4,504,364 4,528,911 HELOCs 4,286 4,186 8,472 89 3,917 4,006 1,756,439 1,768,917 Other consumer 14 23 37 — 2,491 2,491 333,976 336,504 Total consumer 17,569 9,564 27,133 95 12,325 12,420 6,594,779 6,634,332 Total $ 57,551 $ 10,126 $ 67,677 $ 34,351 $ 79,958 $ 114,309 $ 28,311,445 $ 28,493,431 |
Summary of additions and modifications to non-PCI troubled debt restructurings | The following tables present the additions to non-PCI TDRs for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Loans Modified as TDRs During the Year Ended December 31, 2018 Number Pre-Modification Post-Modification (1) Financial (2) Commercial: C&I 8 $ 11,366 $ 9,520 $ 699 CRE 1 $ 750 $ 752 $ — Consumer: Single-family residential 2 $ 405 $ 391 $ (28 ) HELOCs 2 $ 1,546 $ 1,418 $ — ($ in thousands) Loans Modified as TDRs During the Year Ended December 31, 2017 Number Pre-Modification Post-Modification (1) Financial (2) Commercial: C&I 16 $ 43,884 $ 37,900 $ 11,520 CRE 4 $ 2,675 $ 2,627 $ 157 Multifamily residential 1 $ 3,655 $ 2,969 $ — Consumer: HELOCs 1 $ 152 $ 155 $ — ($ in thousands) Loans Modified as TDRs During the Year Ended December 31, 2016 Number Pre-Modification Post-Modification (1) Financial (2) Commercial: C&I 18 $ 65,991 $ 40,405 $ 20,574 CRE 6 $ 19,275 $ 18,824 $ 701 Construction and land 1 $ 5,522 $ 4,883 $ — Consumer: Single-family residential 3 $ 1,291 $ 1,268 $ — HELOCs 3 $ 491 $ 382 $ 1 (1) Includes subsequent payments after modification and reflects the balance as of December 31, 2018 , 2017 and 2016 . (2) The financial impact includes increases (decreases) in charge-offs and specific reserves recorded at the modification date. The following tables present the non-PCI TDR modifications for the years ended December 31, 2018 , 2017 and 2016 by modification type: ($ in thousands) Modification Type During the Year Ended December 31, 2018 Principal (1) Principal and Interest (2) Interest Rate Reduction Interest Other Total Commercial: C&I $ 5,472 $ — $ — $ — $ 4,048 $ 9,520 CRE — — 752 — — 752 Total commercial 5,472 — 752 — 4,048 10,272 Consumer: Single-family residential 66 — — — 325 391 HELOCs 1,353 — — — 65 1,418 Total consumer 1,419 — — — 390 1,809 Total $ 6,891 $ — $ 752 $ — $ 4,438 $ 12,081 ($ in thousands) Modification Type During the Year Ended December 31, 2017 Principal (1) Principal and Interest (2) Interest Rate Reduction Interest Deferments Other Total Commercial: C&I $ 13,568 $ 7,848 $ — $ — $ 16,484 $ 37,900 CRE 2,627 — — — — 2,627 Multifamily residential 2,969 — — — — 2,969 Total commercial 19,164 7,848 — — 16,484 43,496 Consumer: HELOCs — 155 — — — 155 Total consumer — 155 — — — 155 Total $ 19,164 $ 8,003 $ — $ — $ 16,484 $ 43,651 ($ in thousands) Modification Type During the Year Ended December 31, 2016 Principal (1) Principal (2) Interest Interest Other Total Commercial: C&I $ 34,499 $ — $ 5,876 $ 30 $ — $ 40,405 CRE 17,750 — — — 1,074 18,824 Construction and land 4,883 — — — — 4,883 Total commercial 57,132 — 5,876 30 1,074 64,112 Consumer: Single-family residential 264 — 797 207 — 1,268 HELOCs 333 — 49 — — 382 Total consumer 597 — 846 207 — 1,650 Total $ 57,729 $ — $ 6,722 $ 237 $ 1,074 $ 65,762 (1) Includes forbearance payments, term extensions and principal deferments that modify the terms of the loan from principal and interest payments to interest payments only. (2) Includes principal and interest deferments or reductions. The following table presents information on loans modified as TDRs within the previous 12 months that have subsequently defaulted during the years ended December 31, 2018 , 2017 and 2016 , and were still in default at the respective period end: ($ in thousands) Loans Modified as TDRs that Subsequently Defaulted 2018 2017 2016 Number of Recorded Number of Recorded Number of Recorded Commercial: C&I 4 $ 1,890 3 $ 8,659 — $ — CRE 1 $ 186 — $ — 2 $ 3,150 Construction and land — $ — — $ — 1 $ 4,883 Consumer: HELOCs 1 $ 150 — $ — — $ — |
Summary of non-PCI impaired loans | The following tables present information on non-PCI impaired loans as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Unpaid Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Commercial: C&I $ 82,963 $ 48,479 $ 8,609 $ 57,088 $ 1,219 CRE 36,426 28,285 2,067 30,352 208 Multifamily residential 6,031 2,949 2,611 5,560 75 Total commercial 125,420 79,713 13,287 93,000 1,502 Consumer: Single-family residential 14,670 2,552 10,908 13,460 34 HELOCs 10,035 5,547 4,409 9,956 5 Other consumer 2,502 — 2,502 2,502 2,491 Total consumer 27,207 8,099 17,819 25,918 2,530 Total non-PCI impaired loans $ 152,627 $ 87,812 $ 31,106 $ 118,918 $ 4,032 ($ in thousands) December 31, 2017 Unpaid Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Commercial: C&I $ 130,773 $ 36,086 $ 62,599 $ 98,685 $ 16,094 CRE 41,248 28,699 6,857 35,556 684 Multifamily residential 11,164 8,019 2,617 10,636 88 Construction and land 4,781 3,973 — 3,973 — Total commercial 187,966 76,777 72,073 148,850 16,866 Consumer: Single-family residential 15,501 — 14,338 14,338 534 HELOCs 5,484 2,287 2,921 5,208 4 Other consumer 2,491 — 2,491 2,491 2,491 Total consumer 23,476 2,287 19,750 22,037 3,029 Total non-PCI impaired loans $ 211,442 $ 79,064 $ 91,823 $ 170,887 $ 19,895 |
Schedule of average recorded investment and amount of interest income on non-PCI impaired loans | The following table presents the average recorded investment and interest income recognized on non-PCI impaired loans for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Average Recorded Investment Recognized Interest Income (1) Average Recognized (1) Average Recognized Interest Income (1) Commercial: C&I $ 143,430 $ 1,046 $ 110,662 $ 1,517 $ 148,986 $ 2,612 CRE 35,049 491 36,003 578 47,064 1,253 Multifamily residential 11,742 249 11,455 422 15,763 302 Construction and land 3,973 — 4,382 — 6,388 34 Total commercial 194,194 1,786 162,502 2,517 218,201 4,201 Consumer: Single-family residential 22,350 474 14,994 417 14,323 447 HELOCs 14,134 70 5,494 55 3,703 63 Other consumer 2,502 — 2,142 — — — Total consumer 38,986 544 22,630 472 18,026 510 Total non-PCI impaired loans $ 233,180 $ 2,330 $ 185,132 $ 2,989 $ 236,227 $ 4,711 (1) Includes interest recognized on accruing non-PCI TDRs. Interest payments received on nonaccrual non-PCI loans are reflected as a reduction to principal, not as interest income. |
Summary of the activity in the allowance for credit losses | The following table presents a summary of activities in the allowance for loan losses by portfolio segment for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Non-PCI Loans Allowance for non-PCI loans, beginning of period $ 287,070 $ 260,402 $ 264,600 Provision for loan losses on non-PCI loans 65,043 49,129 31,959 Gross charge-offs: Commercial: C&I (59,244 ) (38,118 ) (47,739 ) CRE — — (464 ) Multifamily residential — (635 ) (29 ) Construction and land — (149 ) (117 ) Consumer: Single-family residential (1 ) (1 ) (137 ) HELOCs — (55 ) (9 ) Other consumer (188 ) (17 ) (13 ) Total gross charge-offs (59,433 ) (38,975 ) (48,508 ) Gross recoveries: Commercial: C&I 10,417 11,371 9,003 CRE 5,194 2,111 1,488 Multifamily residential 1,757 1,357 1,476 Construction and land 740 259 203 Consumer: Single-family residential 1,214 546 401 HELOCs 38 24 7 Other consumer 3 152 323 Total gross recoveries 19,363 15,820 12,901 Net charge-offs (40,070 ) (23,155 ) (35,607 ) Foreign currency translation adjustments (743 ) 694 (550 ) Allowance for non-PCI loans, end of period 311,300 287,070 260,402 PCI Loans Allowance for PCI loans, beginning of period 58 118 359 Reversal of loan losses on PCI loans (36 ) (60 ) (241 ) Allowance for PCI loans, end of period 22 58 118 Allowance for loan losses $ 311,322 $ 287,128 $ 260,520 The following table presents a summary of activities in the allowance for unfunded credit reserves for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Allowance for unfunded credit reserves, beginning of period $ 13,318 $ 16,121 $ 20,360 Reversal of unfunded credit reserves (752 ) (2,803 ) (4,239 ) Allowance for unfunded credit reserves, end of period $ 12,566 $ 13,318 $ 16,121 |
Allowance for loan losses and recorded investments by portfolio segment and impairment methodology | The following tables present the Company’s allowance for loan losses and recorded investments by portfolio segment and impairment methodology as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 Commercial Consumer Total C&I CRE Multifamily Construction Single-Family HELOCs Other Allowance for loan losses Individually evaluated for impairment $ 1,219 $ 208 $ 75 $ — $ 34 $ 5 $ 2,491 $ 4,032 Collectively evaluated for impairment 190,121 38,823 19,208 20,282 31,306 5,769 1,759 307,268 Acquired with deteriorated credit quality — 22 — — — — — 22 Total $ 191,340 $ 39,053 $ 19,283 $ 20,282 $ 31,340 $ 5,774 $ 4,250 $ 311,322 Recorded investment in loans Individually evaluated for impairment $ 57,088 $ 30,352 $ 5,560 $ — $ 13,460 $ 9,956 $ 2,502 $ 118,918 Collectively evaluated for impairment 11,997,730 9,254,231 2,240,946 538,752 5,925,798 1,672,023 328,768 31,958,248 Acquired with deteriorated credit quality (1) 2,152 165,252 34,526 42 97,196 8,855 — 308,023 Total (1) $ 12,056,970 $ 9,449,835 $ 2,281,032 $ 538,794 $ 6,036,454 $ 1,690,834 $ 331,270 $ 32,385,189 ($ in thousands) December 31, 2017 Commercial Consumer Total C&I CRE Multifamily Construction Single-Family HELOCs Other Allowance for loan losses Individually evaluated for impairment $ 16,094 $ 684 $ 88 $ — $ 534 $ 4 $ 2,491 $ 19,895 Collectively evaluated for impairment 146,964 40,495 19,021 26,881 25,828 7,350 636 267,175 Acquired with deteriorated credit quality — 58 — — — — — 58 Total $ 163,058 $ 41,237 $ 19,109 $ 26,881 $ 26,362 $ 7,354 $ 3,127 $ 287,128 Recorded investment in loans Individually evaluated for impairment $ 98,685 $ 35,556 $ 10,636 $ 3,973 $ 14,338 $ 5,208 $ 2,491 $ 170,887 Collectively evaluated for impairment 10,586,751 8,623,653 1,844,492 655,353 4,514,573 1,763,709 334,013 28,322,544 Acquired with deteriorated credit quality (1) 11,795 277,688 61,048 371 117,378 14,007 — 482,287 Total (1) $ 10,697,231 $ 8,936,897 $ 1,916,176 $ 659,697 $ 4,646,289 $ 1,782,924 $ 336,504 $ 28,975,718 (1) Loans net of ASC 310-30 discount |
Summary of changes in the accretable yield for the PCI loans | The following table presents the changes in accretable yield on PCI loans for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Accretable yield for PCI loans, beginning of period $ 101,977 $ 136,247 $ 214,907 Accretion (34,662 ) (42,487 ) (68,708 ) Changes in expected cash flows 7,555 8,217 (9,952 ) Accretable yield for PCI loans, end of period $ 74,870 $ 101,977 $ 136,247 |
Schedule of loan securitization, loan purchases into held-for-investment portfolio, reclassification of loans held-for-investment to/from held-for-sale, and sales | The following tables present information on loan securitization, loan purchases into held-for-investment portfolio, reclassification of loans held-for-investment to/from held-for-sale, and sales during the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 Commercial Consumer C&I CRE Multifamily Residential Construction and Land Single-Family HELOCs Other Consumer Total Loans transferred from held-for-investment to held-for-sale (1) $ 404,321 $ 62,291 $ — $ — $ 14,981 $ — $ — $ 481,593 Loans transferred from held-for-sale to held-for-investment $ 2,306 $ — $ — $ — $ — $ — $ — $ 2,306 Sales (2)(3)(4) $ 413,844 $ 62,291 $ — $ — $ 34,966 $ — $ — $ 511,101 Purchases (6) $ 525,767 $ — $ 7,389 $ — $ 63,781 $ — $ — $ 596,937 ($ in thousands) Year Ended December 31, 2017 Commercial Consumer C&I CRE Multifamily Construction Single-Family HELOCs Other Total Loans transferred from held-for-investment to held-for-sale (1) $ 476,644 $ 52,217 $ 531 $ 1,609 $ 249 $ — $ 3,706 $ 534,956 Loans of DCB branches transferred from held-for-investment to held-for-sale (included in Branch assets held-for-sale ) (1) $ 17,590 $ 36,783 $ 12,448 $ 241 $ 6,416 $ 4,309 $ 345 $ 78,132 Sales (2)(3)(4) $ 476,644 $ 52,217 $ 531 $ 1,609 $ 21,058 $ — $ 25,905 $ 577,964 Purchases (6) $ 503,359 $ — $ 2,311 $ — $ 29,060 $ — $ — $ 534,730 ($ in thousands) Year Ended December 31, 2016 Commercial Consumer C&I CRE Multifamily Construction Single-Family HELOCs Other Total Loans transferred from held-for-investment to held-for-sale (1) $ 434,137 $ 110,927 $ 269,791 $ 4,245 $ — $ — $ — $ 819,100 Loans transferred from held-for-sale to held-for-investment $ — $ — $ 4,943 $ — $ — $ — $ — $ 4,943 Sales (2)(3)(4) $ 434,137 $ 110,927 $ 61,268 $ 4,245 $ 18,092 $ — $ — $ 628,669 Securitization of loans held-for-investment (5) $ — $ — $ 201,675 $ — $ — $ — $ — $ 201,675 Purchases (6)(7) $ 646,793 $ — $ 5,658 $ — $ 488,577 $ — $ — $ 1,141,028 (1) The Company recorded $14.6 million , $473 thousand and $1.9 million in write-downs to the allowance for loan losses related to loans transferred from held-for-investment to held-for-sale for the years ended December 31, 2018 , 2017 and 2016 , respectively. (2) Includes originated loans sold of $309.7 million , $ 178.2 million and $369.6 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Originated loans sold were primarily comprised of C&I loans for the year ended December 31, 2018 ; C&I, CRE and single-family residential loans for the year ended December 31, 2017 ; and C&I, CRE and multifamily residential loans for the year ended December 31, 2016 . (3) Includes purchased loans sold in the secondary market of $201.4 million , $399.8 million and $259.1 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. (4) Net gains on sales of loans, excluding the lower of cost or fair value adjustments, were $6.6 million , $8.9 million and $10.6 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. No lower of cost or fair value adjustments were recorded for the year ended December 31, 2018 . In comparison, lower of cost or fair value adjustments of $61 thousand and $5.6 million for the years ended December 31, 2017 and 2016 , respectively, were recorded in Net gains on sales of loans on the Consolidated Statement of Income. (5) Represents multifamily residential loans securitized during the first quarter of 2016 that resulted in net gains of $1.1 million , mortgage servicing rights of $641 thousand and held-to-maturity investment security of $160.1 million . (6) C&I loan purchases for each of the year ended December 31, 2018 , 2017 and 2016 were mainly comprised of C&I syndicated loans. (7) The higher loan purchases for the year ended December 31, 2016 was mainly due to $488.3 million of single-family residential loans purchased for CRA purposes. |
Investments in Qualified Affo_2
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities [Abstract] | |
Schedule of investments in qualified affordable housing partnerships, net, and related unfunded commitments | The following table presents the Company’s investments in qualified affordable housing partnerships, net, and related unfunded commitments as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Investments in qualified affordable housing partnerships, net $ 184,873 $ 162,824 Accrued expenses and other liabilities — Unfunded commitments $ 80,764 $ 55,815 |
Schedule of other information related to investments in qualified affordable housing partnership, net | The following table presents additional information related to the Company’s investments in qualified affordable housing partnerships, net, for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Tax credits and other tax benefits recognized $ 39,262 $ 46,698 $ 37,252 Amortization expense included in income tax expense $ 28,046 $ 38,464 $ 28,206 |
Schedule of tax credit and other investment, net, and related unfunded commitments | The following table presents the Company’s investments in tax credit and other investments, net, and related unfunded commitments as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Investments in tax credit and other investments, net $ 231,635 $ 224,551 Accrued expenses and other liabilities — Unfunded commitments $ 80,228 $ 113,372 |
Schedule of additional information related to tax credits and other investments, net | The following table presents additional information related to the Company’s investments in tax credit and other investments, net, for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Amortization expense included in noninterest expense $ 89,628 $ 87,950 $ 83,446 |
Schedule of unfunded commitments related to investments in qualified affordable housing partnerships, tax credit and other investments, net estimated to be paid | As of December 31, 2018 , the Company’s unfunded commitments related to investments in qualified affordable housing partnerships, tax credit and other investments are estimated to be funded as follows: Years Ending December 31, Amount ($ in thousands) 2019 $ 108,602 2020 30,400 2021 8,615 2022 6,224 2023 5,401 Thereafter 1,750 Total $ 160,992 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill by reporting unit | The following table presents changes in the carrying amount of goodwill by reporting unit during year ended December 31, 2018 : ($ in thousands) Consumer and Business Banking Commercial Banking Total Beginning Balance, January 1, 2018 $ 357,207 $ 112,226 $ 469,433 Disposition of the DCB branches (3,886 ) — (3,886 ) Ending Balance, December 31, 2018 $ 353,321 $ 112,226 $ 465,547 |
Schedule of core deposit intangible assets and accumulated amortization | The following table presents the gross carrying amount of core deposit intangible assets and accumulated amortization as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Gross balance (1) $ 86,099 $ 100,166 Accumulated amortization (1) (71,570 ) (79,112 ) Net carrying balance (1) $ 14,529 $ 21,054 (1) Excludes fully amortized core deposit intangible assets. |
Schedule of estimated future amortization expense of the core deposit intangibles | The following table presents the estimated future amortization expense of core deposit intangibles for the five years succeeding December 31, 2018 and thereafter: Amount Years Ending December 31, ($ in thousands) 2019 $ 4,518 2020 3,634 2021 2,749 2022 1,865 2023 1,199 Thereafter 564 Total $ 14,529 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
DEPOSIT ACCOUNTS | |
Summary of deposit account balances | The following table presents the composition of the Company’s deposits as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Core deposits: Noninterest-bearing demand $ 11,377,009 $ 10,887,306 Interest-bearing checking 4,584,447 4,419,089 Money market 8,262,677 8,359,425 Savings 2,146,429 2,308,494 Total core deposits 26,370,562 25,974,314 Time deposits: Less than $100,000 1,957,121 1,176,973 $100,000 or greater 7,111,945 4,463,776 Total time deposits 9,069,066 5,640,749 Total deposits $ 35,439,628 $ 31,615,063 |
Schedule of maturities of time deposits | The following table presents the scheduled maturities of time deposits for the five years succeeding December 31, 2018 and thereafter: ($ in thousands) Amount 2019 $ 8,413,358 2020 484,386 2021 68,186 2022 67,182 2023 9,026 Thereafter 26,928 Total $ 9,069,066 |
Federal Home Loan Bank Advanc_2
Federal Home Loan Bank Advances and Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
FEDERAL HOME LOAN BANK ADVANCES AND LONG-TERM DEBT | |
Schedule of the components of long-term debt | The following table presents the outstanding junior subordinated debt issued by each trust as of December 31, 2018 and 2017 : Issuer Stated (1) Stated Current Rate December 31, 2018 December 31, 2017 Aggregate Principal Amount of Trust Securities Aggregate Principal Amount of the Junior Subordinated Debts Aggregate Aggregate ($ in thousands) East West Capital Trust V November 2034 3-month LIBOR + 1.80% 4.45% $ 464 $ 15,000 $ 464 $ 15,000 East West Capital Trust VI September 2035 3-month LIBOR + 1.50% 4.29% 619 20,000 619 20,000 East West Capital Trust VII June 2036 3-month LIBOR + 1.35% 4.14% 928 30,000 928 30,000 East West Capital Trust VIII June 2037 3-month LIBOR + 1.40% 4.14% 619 18,000 619 18,000 East West Capital Trust IX September 2037 3-month LIBOR + 1.90% 4.69% 928 30,000 928 30,000 MCBI Statutory Trust I December 2035 3-month LIBOR + 1.55% 4.34% 1,083 35,000 1,083 35,000 Total $ 4,641 $ 148,000 $ 4,641 $ 148,000 (1) All the debt instruments mature more than five years after December 31, 2018 and are subject to call options where early redemption requires appropriate notice. The following table presents the components of long-term debt as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Junior subordinated debt $ 146,835 $ 146,577 Term loan — 25,000 Total long-term debt $ 146,835 $ 171,577 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of revenue from contracts with customers and other noninterest income | The following tables present revenue from contracts with customers within the scope of ASC 606 and other noninterest income, segregated by operating segments for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 Consumer and Business Banking Commercial Other Total Noninterest income: Revenue from contracts with customers (1) : Branch fees: Deposit service charges and related fee income $ 22,474 $ 12,326 $ 423 $ 35,223 Card income 3,880 756 — 4,636 Wealth management fees 13,357 428 — 13,785 Total revenue from contracts with customers $ 39,711 $ 13,510 $ 423 $ 53,644 Other sources of noninterest income (2) 45,896 96,777 14,592 157,265 Total noninterest income $ 85,607 $ 110,287 $ 15,015 $ 210,909 ($ in thousands) Year Ended December 31, 2017 Consumer and Banking Commercial Other Total Noninterest income: Revenue from contracts with customers (1) : Branch fees: Deposit service charges and related fee income $ 24,109 $ 11,476 $ 464 $ 36,049 Card income 3,938 938 — 4,876 Wealth management fees 12,218 1,756 — 13,974 Total revenue from contracts with customers $ 40,265 $ 14,170 $ 464 $ 54,899 Other sources of noninterest income (2) 14,186 95,919 92,744 202,849 Total noninterest income $ 54,451 $ 110,089 $ 93,208 $ 257,748 ($ in thousands) Year Ended December 31, 2016 Consumer and Banking Commercial Other Total Noninterest income: Revenue from contracts with customers (1) : Branch fees: Deposit service charges and related fee income $ 23,965 $ 10,200 $ 345 $ 34,510 Card income 4,352 763 29 5,144 Wealth management fees 9,425 3,171 4 12,600 Total revenue from contracts with customers $ 37,742 $ 14,134 $ 378 $ 52,254 Other sources of noninterest income (2) 13,509 81,422 35,093 130,024 Total noninterest income $ 51,251 $ 95,556 $ 35,471 $ 182,278 (1) There were no adjustments to the Company’s financial statements recorded as a result of the adoption of ASC 606. For comparability, the Company has adjusted prior period amounts to conform to the current period’s presentation. (2) Primarily represents revenue from contracts with customers that are out of the scope of ASC 606. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of income tax expenses | The following table presents the components of income tax expense for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Current income tax expense: Federal $ 63,035 $ 120,968 $ 63,642 State 64,917 72,837 48,558 Foreign 3,513 1,815 1,345 Total current income tax expense 131,465 195,620 113,545 Deferred income tax (benefit) expense: Federal (11,870 ) 40,057 25,296 State (4,600 ) (6,201 ) 1,883 Foreign — — (213 ) Total deferred income tax (benefit) expense (16,470 ) 33,856 26,966 Income tax expense $ 114,995 $ 229,476 $ 140,511 |
Schedule of reconciliation of the federal statutory rate to the effective income tax rate | The following table presents the reconciliation of the federal statutory rate to the Company’s effective tax rate for the years ended December 31, 2018 , 2017 and 2016 : Year Ended December 31, 2018 2017 2016 Federal income tax provision at statutory rate 21.0 % 35.0 % 35.0 % State franchise taxes, net of federal tax effect 5.8 5.9 6.1 Tax Cuts and Jobs Act of 2017 (the “Tax Act”) 0.1 4.5 — Tax credits, net of amortization (13.3 ) (15.1 ) (18.3 ) Other, net 0.4 0.9 1.8 Effective tax rate 14.0 % 31.2 % 24.6 % |
Schedule of tax effects of temporary differences that give rise to a significant portion of the deferred tax assets (liabilities) | The tax effects of temporary differences that give rise to a significant portion of deferred tax assets and liabilities as of December 31, 2018 and 2017 are presented below: ($ in thousands) December 31, 2018 2017 Federal State Foreign Total Federal State Foreign Total Deferred tax assets: Allowance for loan losses and OREO reserves $ 66,510 $ 30,366 $ 1,366 $ 98,242 $ 62,942 $ 28,857 $ 1,365 $ 93,164 Tax credit carryforwards 24,116 2,715 — 26,831 — — — — Unrealized losses on securities 13,127 7,106 — 20,233 10,730 5,354 — 16,084 Deferred compensation 13,081 5,919 — 19,000 11,483 5,220 — 16,703 Interest income on nonaccrual loans 5,922 2,680 — 8,602 5,396 2,451 — 7,847 State taxes 4,898 — — 4,898 5,217 — — 5,217 Mortgage servicing assets 1,406 605 — 2,011 2,727 1,206 — 3,933 Fixed assets (1,047 ) 1,932 — 885 — — — — Other, net 2,027 5,422 97 7,546 744 5,481 97 6,322 Total gross deferred tax assets 130,040 56,745 1,463 188,248 99,239 48,569 1,462 149,270 Valuation allowance — (128 ) — (128 ) — (256 ) — (256 ) Total deferred tax assets, net of valuation allowance $ 130,040 $ 56,617 $ 1,463 $ 188,120 $ 99,239 $ 48,313 $ 1,462 $ 149,014 Deferred tax liabilities: Equipment financing $ (26,040 ) $ (4,483 ) $ — $ (30,523 ) $ (21,844 ) $ (3,760 ) $ — $ (25,604 ) Investments in qualified affordable housing partnerships, tax credit and other investments, net (31,098 ) 3,806 — (27,292 ) (10,838 ) 7,025 — (3,813 ) Core deposit intangibles (3,048 ) (1,494 ) — (4,542 ) (4,408 ) (2,117 ) — (6,525 ) Acquired loans and OREO (1,293 ) (318 ) (406 ) (2,017 ) (2,252 ) (754 ) (406 ) (3,412 ) FHLB stock dividends (1,285 ) (581 ) — (1,866 ) (1,285 ) (583 ) — (1,868 ) Acquired debt (1,219 ) (552 ) — (1,771 ) (1,273 ) (578 ) — (1,851 ) Prepaid expenses (831 ) (376 ) — (1,207 ) (4,142 ) (1,517 ) — (5,659 ) Fixed assets — — — — (2,671 ) 914 — (1,757 ) Other, net (923 ) (338 ) — (1,261 ) (510 ) (609 ) — (1,119 ) Total gross deferred tax liabilities $ (65,737 ) $ (4,336 ) $ (406 ) $ (70,479 ) $ (49,223 ) $ (1,979 ) $ (406 ) $ (51,608 ) Net deferred tax assets $ 64,303 $ 52,281 $ 1,057 $ 117,641 $ 50,016 $ 46,334 $ 1,056 $ 97,406 |
Summary of the activities related to unrecognized tax position | The following table presents the activities related to the Company’s unrecognized tax position for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Beginning Balance $ 10,419 $ 10,419 $ 7,125 Additions for tax positions related to prior years — — 5,819 Deductions for tax positions related to prior years (3,969 ) — — Settlements with taxing authorities (2,072 ) — (2,525 ) Ending Balance $ 4,378 $ 10,419 $ 10,419 |
Commitments, Contingencies an_2
Commitments, Contingencies and Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of credit-related commitments | The following table presents the Company’s credit-related commitments as of December 31, 2018 and 2017 : ($ in thousands) December 31, 2018 2017 Loan commitments $ 5,147,821 $ 5,075,480 Commercial letters of credit and SBLCs $ 1,796,647 $ 1,655,897 |
Schedule of guarantees outstanding | The following table presents the types of guarantees the Company had outstanding as of December 31, 2018 and 2017 : ($ in thousands) Maximum Potential Future Payments Carrying Value December 31, December 31, 2018 2017 2018 2017 Single-family residential loans sold or securitized with recourse $ 16,700 $ 20,240 $ 16,700 $ 20,240 Multifamily residential loans sold or securitized with recourse 17,058 18,482 69,974 93,477 Total $ 33,758 $ 38,722 $ 86,674 $ 113,717 |
Schedule of estimated future minimum rental payments under non-cancelable operating leases | Future minimum rental payments under non-cancellable operating leases are estimated as follows: Years Ending December 31, Amount ($ in thousands) 2019 $ 42,008 2020 36,169 2021 30,735 2022 21,395 2023 14,986 Thereafter 40,357 Total $ 185,650 |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of stock compensation expense and related net tax benefits | The following table presents a summary of the total share-based compensation expense and the related net tax benefits associated with the Company’s various employee share-based compensation plans for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Stock compensation costs $ 30,937 $ 24,657 $ 22,102 Related net tax benefits for stock compensation plans $ 5,089 $ 4,775 $ 1,055 |
Summary of activities for time-based and performance-based restricted stock units | The following table presents a summary of the activities for the Company’s time-based and performance-based RSUs for the year ended December 31, 2018 . The number of outstanding performance-based RSUs stated below assumes the associated performance targets will be met at the target level. Year Ended December 31, 2018 Time-Based RSUs Performance-Based RSUs Shares Weighted- Average Grant Date Fair Value Shares Weighted- Outstanding, beginning of year 1,166,580 $ 42.00 424,299 $ 41.44 Granted 427,805 66.86 120,286 70.13 Vested (349,939 ) 39.84 (133,295 ) 41.15 Forfeited (123,055 ) 50.48 — — Outstanding, end of year 1,121,391 $ 51.22 411,290 $ 49.93 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Schedule of expected SERP payments | The following table presents a summary of expected SERP payments to be paid for the next five years and thereafter as of December 31, 2018 : Years Ending December 31, Amount ($ in thousands) 2019 $ 329 2020 339 2021 349 2022 359 2023 370 Thereafter 7,484 Total $ 9,230 |
Stockholders_ Equity and Earn_2
Stockholders’ Equity and Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Schedule of earnings per share calculations | The following table presents the EPS calculations for the years ended December 31, 2018 , 2017 and 2016 : ($ and shares in thousands, except per share data) Year Ended December 31, 2018 2017 2016 Basic: Net income $ 703,701 $ 505,624 $ 431,677 Basic weighted-average number of shares outstanding 144,862 144,444 144,087 Basic EPS $ 4.86 $ 3.50 $ 3.00 Diluted: Net income $ 703,701 $ 505,624 $ 431,677 Basic weighted-average number of shares outstanding 144,862 144,444 144,087 Diluted potential common shares (1) 1,307 1,469 1,085 Diluted weighted-average number of shares outstanding (1) 146,169 145,913 145,172 Diluted EPS $ 4.81 $ 3.47 $ 2.97 (1) Includes dilutive shares from RSUs and warrants for the years ended December 31, 2018 , 2017 and 2016 . |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Schedule of the changes in the components of accumulated other comprehensive income (loss) balances | The following table presents the changes in the components of AOCI balances for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Available- Foreign (1) Total Balance, December 31, 2015 $ (6,144 ) $ (8,797 ) $ (14,941 ) Net unrealized losses arising during the period (16,623 ) (10,577 ) (27,200 ) Amounts reclassified from AOCI (6,005 ) — (6,005 ) Changes, net of tax (22,628 ) (10,577 ) (33,205 ) Balance, December 31, 2016 $ (28,772 ) $ (19,374 ) $ (48,146 ) Net unrealized gains arising during the period 2,531 12,753 15,284 Amounts reclassified from AOCI (4,657 ) — (4,657 ) Changes, net of tax (2,126 ) 12,753 10,627 Balance, December 31, 2017 $ (30,898 ) $ (6,621 ) $ (37,519 ) Cumulative effect of change in accounting principle related to marketable equity securities (2) 385 — 385 Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate (3) (6,656 ) — (6,656 ) Balance, January 1, 2018, adjusted (37,169 ) (6,621 ) (43,790 ) Net unrealized losses arising during the period (6,866 ) (5,732 ) (12,598 ) Amounts reclassified from AOCI (1,786 ) — (1,786 ) Changes, net of tax (8,652 ) (5,732 ) (14,384 ) Balance, December 31, 2018 $ (45,821 ) $ (12,353 ) $ (58,174 ) (1) Represents foreign currency translation adjustments related to the Company’s net investment in non-U.S. operations, including related hedges. The functional currency and reporting currency of the Company’s foreign subsidiary was RMB and USD, respectively. (2) Represents the impact of the adoption in the first quarter of 2018 of ASU 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. (3) Represents amounts reclassified from AOCI to retained earnings due to early adoption of ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. |
Schedule of components of other comprehensive income (loss), reclassifications to net income and the related tax effects | The following table presents the components of other comprehensive (loss) income, reclassifications to net income and the related tax effects for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Year Ended December 31, 2018 2017 2016 Before - Tax Tax Net-of- Tax Before - Tax Net-of- Before - Tax Net-of- Available-for-sale investment securities: Net unrealized (losses) gains arising during the period $ (9,748 ) $ 2,882 $ (6,866 ) $ 4,368 $ (1,837 ) $ 2,531 $ (28,681 ) $ 12,058 $ (16,623 ) Net realized gains reclassified into net income (1) (2,535 ) 749 (1,786 ) (8,037 ) 3,380 (4,657 ) (10,362 ) 4,357 (6,005 ) Net change (12,283 ) 3,631 (8,652 ) (3,669 ) 1,543 (2,126 ) (39,043 ) 16,415 (22,628 ) Foreign currency translation adjustments: Net unrealized (losses) gains arising during the period (5,732 ) — (5,732 ) 12,753 — 12,753 (10,577 ) — (10,577 ) Net change (5,732 ) — (5,732 ) 12,753 — 12,753 (10,577 ) — (10,577 ) Other comprehensive (loss) income $ (18,015 ) $ 3,631 $ (14,384 ) $ 9,084 $ 1,543 $ 10,627 $ (49,620 ) $ 16,415 $ (33,205 ) (1) For the years ended December 31, 2018 , 2017 and 2016 , pre-tax amounts were reported in Net gains on sales of available-for-sale investment securities on the Consolidated Statement of Income. |
Regulatory Requirements and M_2
Regulatory Requirements and Matters (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Banking and Thrift [Abstract] | |
Schedule of regulatory capital information | The following table presents the regulatory capital information of the Company and the Bank as of December 31, 2018 and 2017 : Basel III December 31, 2018 December 31, 2017 ($ in thousands) Actual Minimum Capital Ratios (3) Well Capitalized Requirement Actual Minimum Capital Ratios (3) Well Capitalized Requirement Amount Ratio Ratio Ratio Amount Ratio Ratio Ratio Total capital (to risk-weighted assets) Company $ 4,438,730 13.7 % 9.88 % 10.0 % $ 3,838,516 12.9 % 9.25 % 10.0 % East West Bank $ 4,268,616 13.1 % 9.88 % 10.0 % $ 3,679,261 12.4 % 9.25 % 10.0 % Tier 1 capital (to risk-weighted assets) Company $ 3,966,842 12.2 % 7.88 % 8.0 % $ 3,390,070 11.4 % 7.25 % 8.0 % East West Bank $ 3,944,728 12.1 % 7.88 % 8.0 % $ 3,378,815 11.4 % 7.25 % 8.0 % CET1 capital (to risk-weighted assets) Company $ 3,966,842 12.2 % 6.38 % 6.5 % $ 3,390,070 11.4 % 5.75 % 6.5 % East West Bank $ 3,944,728 12.1 % 6.38 % 6.5 % $ 3,378,815 11.4 % 5.75 % 6.5 % Tier 1 leverage capital (to adjusted average assets) Company (1) $ 3,966,842 9.9 % 4.0 % N/A $ 3,390,070 9.2 % 4.0 % N/A East West Bank $ 3,944,728 9.8 % 4.0 % 5.0 % $ 3,378,815 9.2 % 4.0 % 5.0 % Risk-weighted assets Company $ 32,497,296 N/A N/A N/A $ 29,669,251 N/A N/A N/A East West Bank $ 32,477,002 N/A N/A N/A $ 29,643,711 N/A N/A N/A Adjusted quarterly average total assets (2) Company $ 40,636,402 N/A N/A N/A $ 37,307,975 N/A N/A N/A East West Bank $ 40,611,215 N/A N/A N/A $ 37,283,273 N/A N/A N/A (1) The Tier 1 leverage capital well-capitalized requirement applies to the Bank only since there is no Tier 1 leverage ratio component in the definition of a well-capitalized bank-holding company. (2) Reflects adjusted average total assets for the years ended December 31, 2018 and 2017 . (3) The CET1, Tier 1, and total capital minimum ratios include a transition capital conservation buffer of 1.875% and 1.25% for the years ended December 31, 2018 and 2017 . N/A — Not applicable |
Business Segments (Tables)
Business Segments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of operating results and key financial measures by operating segments | The following tables present the operating results and other key financial measures for the individual operating segments as of and for the years ended December 31, 2018 , 2017 and 2016 : ($ in thousands) Consumer and Business Banking Commercial Other Total Year Ended December 31, 2018 Interest income $ 466,504 $ 1,063,658 $ 121,541 $ 1,651,703 Charge for funds used (245,487 ) (535,445 ) (54,174 ) (835,106 ) Interest spread on funds used 221,017 528,213 67,367 816,597 Interest expense (149,032 ) (52,613 ) (63,550 ) (265,195 ) Credit on funds provided 655,230 130,050 49,826 835,106 Interest spread on funds provided 506,198 77,437 (13,724 ) 569,911 Net interest income before provision for credit losses $ 727,215 $ 605,650 $ 53,643 $ 1,386,508 Provision for credit losses $ 9,364 $ 54,891 $ — $ 64,255 Noninterest income $ 85,607 $ 110,287 $ 15,015 $ 210,909 Noninterest expense $ 336,412 $ 228,627 $ 149,427 $ 714,466 Segment income (loss) before income taxes $ 467,046 $ 432,419 $ (80,769 ) $ 818,696 Segment net income $ 334,255 $ 309,926 $ 59,520 $ 703,701 As of December 31, 2018 Segment assets $ 10,587,621 $ 23,761,469 $ 6,693,266 $ 41,042,356 ($ in thousands) Consumer and Business Banking Commercial Other Total Year Ended December 31, 2017 Interest income $ 364,906 $ 844,303 $ 115,910 $ 1,325,119 Charge for funds used (142,619 ) (326,902 ) (64,256 ) (533,777 ) Interest spread on funds used 222,287 517,401 51,654 791,342 Interest expense (76,770 ) (24,603 ) (38,677 ) (140,050 ) Credit on funds provided 445,304 61,019 27,454 533,777 Interest spread on funds provided 368,534 36,416 (11,223 ) 393,727 Net interest income before provision for credit losses $ 590,821 $ 553,817 $ 40,431 $ 1,185,069 Provision for credit losses $ 1,812 $ 44,454 $ — $ 46,266 Noninterest income $ 54,451 $ 110,089 $ 93,208 $ 257,748 Noninterest expense $ 319,645 $ 193,161 $ 148,645 $ 661,451 Segment income (loss) before income taxes $ 323,815 $ 426,291 $ (15,006 ) $ 735,100 Segment net income $ 190,404 $ 251,834 $ 63,386 $ 505,624 As of December 31, 2017 Segment assets $ 9,316,587 $ 21,431,472 $ 6,373,504 $ 37,121,563 ($ in thousands) Consumer and Business Banking Commercial Other Total Year Ended December 31, 2016 Interest income $ 315,146 $ 726,013 $ 96,322 $ 1,137,481 Charge for funds used (95,970 ) (216,849 ) (47,646 ) (360,465 ) Interest spread on funds used 219,176 509,164 48,676 777,016 Interest expense (60,180 ) (16,892 ) (27,771 ) (104,843 ) Credit on funds provided 300,446 38,636 21,383 360,465 Interest spread on funds provided 240,266 21,744 (6,388 ) 255,622 Net interest income before (reversal of) provision for credit losses $ 459,442 $ 530,908 $ 42,288 $ 1,032,638 (Reversal of) provision for credit losses $ (4,356 ) $ 31,835 $ — $ 27,479 Noninterest income $ 51,251 $ 95,556 $ 35,471 $ 182,278 Noninterest expense $ 306,386 $ 171,805 $ 137,058 $ 615,249 Segment income (loss) before income taxes $ 208,663 $ 422,824 $ (59,299 ) $ 572,188 Segment net income $ 122,256 $ 248,474 $ 60,947 $ 431,677 As of December 31, 2016 Segment assets $ 7,821,610 $ 19,128,510 $ 7,838,720 $ 34,788,840 |
Parent Company Condensed Fina_2
Parent Company Condensed Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheet | The following tables present the Parent Company-only condensed financial statements: CONDENSED BALANCE SHEET ($ in thousands, except shares) December 31, 2018 2017 ASSETS Cash and cash equivalents due from subsidiary bank $ 149,411 $ 159,566 Investments in subsidiaries: Bank 4,401,860 3,830,696 Nonbank 3,662 3,664 Investments in tax credit investments, net 23,259 25,511 Other assets 6,487 7,062 TOTAL $ 4,584,679 $ 4,026,499 LIABILITIES Long-term debt $ 146,835 $ 171,577 Other liabilities 13,870 12,971 Total liabilities 160,705 184,548 STOCKHOLDERS’ EQUITY Common stock, $0.001 par value, 200,000,000 shares authorized; 165,867,587 and 165,214,770 shares issued in 2018 and 2017, respectively 166 165 Additional paid-in capital 1,789,811 1,755,330 Retained earnings 3,160,132 2,576,302 Treasury stock, at cost — 20,906,224 shares in 2018 and 20,671,710 shares in 2017 (467,961 ) (452,327 ) AOCI, net of tax (58,174 ) (37,519 ) Total stockholders’ equity 4,423,974 3,841,951 TOTAL $ 4,584,679 $ 4,026,499 |
Condensed Statement of Income | CONDENSED STATEMENT OF INCOME ($ in thousands) Year Ended December 31, 2018 2017 2016 Dividends from subsidiaries: Bank $ 160,000 $ 255,000 $ 100,000 Nonbank 175 4,118 107 Net gains on sales of available-for-sale investment securities — 326 — Other income 2 395 610 Total income 160,177 259,839 100,717 Interest expense on long-term debt 6,488 5,429 5,017 Compensation and employee benefits 5,559 5,065 5,001 Amortization of tax credit and other investments 413 5,908 13,851 Other expense 1,490 1,257 1,218 Total expense 13,950 17,659 25,087 Income before income tax benefit and equity in undistributed income of subsidiaries 146,227 242,180 75,630 Income tax benefit 3,404 18,182 26,041 Undistributed earnings of subsidiaries, primarily bank 554,070 245,262 330,006 Net income $ 703,701 $ 505,624 $ 431,677 |
Condensed Statement of Cash Flows | CONDENSED STATEMENT OF CASH FLOWS ($ in thousands) Year Ended December 31, 2018 2017 2016 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 703,701 $ 505,624 $ 431,677 Adjustments to reconcile net income to net cash provided by operating activities: Undistributed earnings of subsidiaries, principally bank (554,070 ) (245,262 ) (330,006 ) Amortization expenses 671 6,158 14,094 Deferred income tax expense 3,517 940 6,349 Gains on sales of available-for-sale investment securities — (326 ) — Net change in other assets (595 ) (3,341 ) 39,929 Net change in other liabilities (45 ) (560 ) 794 Net cash provided by operating activities $ 153,179 $ 263,233 $ 162,837 CASH FLOWS FROM INVESTING ACTIVITIES Net increase in investments in tax credit and other investments (1,049 ) (11,591 ) (8,229 ) Proceeds from distributions received from equity method investees 1,491 1,814 1,675 Available-for-sale investment securities: Proceeds from the sales — 18,326 — Purchases — (9,000 ) — Net cash provided by (used in) investing activities 442 (451 ) (6,554 ) CASH FLOWS FROM FINANCING ACTIVITIES Repayment of long-term debt (25,000 ) (15,000 ) (20,000 ) Common stock: Proceeds from issuance pursuant to various stock compensation plans and agreements 2,846 2,280 2,081 Stocks tendered for payment of withholding taxes (15,634 ) (12,940 ) (3,225 ) Cash dividends paid (125,988 ) (116,820 ) (115,828 ) Other net financing activities — — 1,055 Net cash used in financing activities (163,776 ) (142,480 ) (135,917 ) Net (decrease) increase in cash and cash equivalents (10,155 ) 120,302 20,366 Cash and cash equivalents, beginning of year 159,566 39,264 18,898 Cash and cash equivalents, end of year $ 149,411 $ 159,566 $ 39,264 |
Quarterly Financial Informati_2
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly financial information (unaudited) | ($ and shares in thousands, except per share data) 2018 Quarters Fourth Third Second First Interest and dividend income $ 457,334 $ 422,185 $ 400,311 $ 371,873 Interest expense 87,918 73,465 58,632 45,180 Net interest income before provision for credit losses 369,416 348,720 341,679 326,693 Provision for credit losses 17,959 10,542 15,536 20,218 Net interest income after provision for credit losses 351,457 338,178 326,143 306,475 Noninterest income 41,695 46,502 48,268 74,444 Noninterest expense 188,097 179,815 177,419 169,135 Income before income taxes 205,055 204,865 196,992 211,784 Income tax expense 32,037 33,563 24,643 24,752 Net income $ 173,018 $ 171,302 $ 172,349 $ 187,032 EPS - Basic $ 1.19 $ 1.18 $ 1.19 $ 1.29 - Diluted $ 1.18 $ 1.17 $ 1.18 $ 1.28 Weighted-average number of shares outstanding - Basic 144,960 144,921 144,899 144,664 - Diluted 146,133 146,173 146,091 145,939 Cash dividends declared per common share $ 0.23 $ 0.23 $ 0.20 $ 0.20 ($ and shares in thousands, except per share data) 2017 Quarters Fourth Third Second First Interest and dividend income $ 359,765 $ 339,910 $ 322,775 $ 302,669 Interest expense 40,064 36,755 32,684 30,547 Net interest income before provision for credit losses 319,701 303,155 290,091 272,122 Provision for credit losses 15,517 12,996 10,685 7,068 Net interest income after provision for credit losses 304,184 290,159 279,406 265,054 Noninterest income 45,206 49,470 47,244 115,828 Noninterest expense 175,263 164,345 168,965 152,878 Income before income taxes 174,127 175,284 157,685 228,004 Income tax expense 89,229 42,624 39,355 58,268 Net income $ 84,898 $ 132,660 $ 118,330 $ 169,736 EPS - Basic $ 0.59 $ 0.92 $ 0.82 $ 1.18 - Diluted $ 0.58 $ 0.91 $ 0.81 $ 1.16 Weighted-average number of shares outstanding - Basic 144,542 144,498 144,485 144,249 - Diluted 146,030 145,882 145,740 145,732 Cash dividends declared per common share $ 0.20 $ 0.20 $ 0.20 $ 0.20 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Nature of Operations and Principles of Consolidation) (Details) | Dec. 31, 2018locationtrust |
Accounting Policies [Abstract] | |
Number of banking locations | location | 130 |
Principles of Consolidation | |
Number of wholly owned subsidiaries that are statutory business trusts | trust | 6 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Premises and Equipment, net) (Details) | 12 Months Ended |
Dec. 31, 2018 | |
Buildings and building improvements | |
Premises and equipment | |
Estimated useful life | 25 years |
Furniture, fixtures and equipment | Minimum | |
Premises and equipment | |
Estimated useful life | 3 years |
Furniture, fixtures and equipment | Maximum | |
Premises and equipment | |
Estimated useful life | 7 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Goodwill and Other Intangible Assets) (Details) - Customer Relationships | 12 Months Ended |
Dec. 31, 2018 | |
Minimum | |
Goodwill and other intangible assets | |
Projected useful life | 8 years |
Maximum | |
Goodwill and other intangible assets | |
Projected useful life | 15 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Stock-Based Compensation) (Details) - RSUs | 12 Months Ended |
Dec. 31, 2018 | |
Ratably | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Cliff | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Cliff | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 5 years |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Change in Accounting Method) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Change in Accounting Method [Line Items] | ||
Accrued liabilities and other liabilities | $ 598,109 | $ 513,970 |
Other assets | $ (743,686) | (650,266) |
Accrued Expenses and Other Liabilities | ||
Change in Accounting Method [Line Items] | ||
Accrued liabilities and other liabilities | (28,700) | |
Other Assets | ||
Change in Accounting Method [Line Items] | ||
Other assets | $ 28,700 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies (New Accounting Pronouncements Adopted) (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Jan. 01, 2019 | |
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Marketable equity securities | $ 31,900 | ||
Cumulative effect of change in accounting principle | [1] | (160) | |
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [2] | 0 | |
Retained Earnings | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Cumulative effect of change in accounting principle | [1] | (545) | |
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [2] | 6,656 | |
Retained Earnings | Accounting Standards Update 2018-02 | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | 6,656 | ||
Retained Earnings | Accounting Standards Update 2016-01 | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Cumulative effect of change in accounting principle | (545) | ||
AOCI, net of Tax | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Cumulative effect of change in accounting principle | [1] | 385 | |
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [2] | (6,656) | |
AOCI, net of Tax | Accounting Standards Update 2018-02 | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | (6,656) | ||
AOCI, net of Tax | Accounting Standards Update 2016-01 | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Cumulative effect of change in accounting principle | $ 385 | ||
Forecast | Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||
Cumulative effect of change in accounting principle | $ 14,700 | ||
Right-of-use, lease asset | 114,600 | ||
Right-of-use, lease liability | $ 120,400 | ||
[1] | Represents the impact of the adoption of Accounting Standards Update (“ASU”) 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. | ||
[2] | Represents amounts reclassified from AOCI to retained earnings due to the early adoption of ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. |
Dispositions and Held-for-Sale
Dispositions and Held-for-Sale (Sales Leaseback) (Details) - Commercial Property In San Francisco $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Sale and leaseback transaction | |
Sales price | $ 120.6 |
Net book value | 31.6 |
Pre-tax profit from sale | 85.4 |
Selling costs | 3.6 |
Current period gain recognized | 71.7 |
Deferred gain | $ 13.7 |
Dispositions and Held-for-Sal_2
Dispositions and Held-for-Sale (Held-for-Sale) (Details) $ in Thousands | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Nov. 11, 2017banking_branch |
Assets Held-For-Sale [Line Items] | |||
Branch assets held-for-sale | $ 0 | $ 91,318 | |
Branch liability held-for-sale | $ 0 | 605,111 | |
Desert Community Bank | |||
Assets Held-For-Sale [Line Items] | |||
Branch liability held-for-sale | 605,100 | ||
Desert Community Bank | California | |||
Assets Held-For-Sale [Line Items] | |||
Number of branches to be sold | banking_branch | 8 | ||
Loans | Desert Community Bank | |||
Assets Held-For-Sale [Line Items] | |||
Branch assets held-for-sale | 78,100 | ||
Premises and equipment | Desert Community Bank | |||
Assets Held-For-Sale [Line Items] | |||
Branch assets held-for-sale | $ 8,000 |
Dispositions and Held-for-Sal_3
Dispositions and Held-for-Sale (Dispositions) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2017USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Mar. 17, 2018USD ($)banking_branch | |
Disposition [Line Items] | |||||
Net gain on sale of business | $ 31,470 | $ 3,807 | $ 0 | ||
East West Insurance Services, Inc. | |||||
Disposition [Line Items] | |||||
Proceeds from sale of business | $ 4,300 | ||||
Net gain on sale of business | $ 3,800 | ||||
Desert Community Bank | |||||
Disposition [Line Items] | |||||
Net gain on sale of business | 31,500 | ||||
Net cash payment in sale of branch | $ 499,900 | ||||
Desert Community Bank | CALIFORNIA | |||||
Disposition [Line Items] | |||||
Number of branches sold | banking_branch | 8 | ||||
Loans | Desert Community Bank | |||||
Disposition [Line Items] | |||||
Branch assets sold | $ 59,100 | ||||
Cash and cash equivalents | Desert Community Bank | |||||
Disposition [Line Items] | |||||
Branch assets sold | 9,000 | ||||
Premises and equipment | Desert Community Bank | |||||
Disposition [Line Items] | |||||
Branch assets sold | 7,900 | ||||
Deposit | Desert Community Bank | |||||
Disposition [Line Items] | |||||
Branch liabilities sold | $ 613,700 |
Fair Value Measurement and Fa_3
Fair Value Measurement and Fair Value of Financial Instruments (Financial Assets and Liabilities Measurement on Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | $ 2,741,847 | ||
Available-for-sale debt and equity, Fair Value | $ 3,016,752 | ||
Equity Securities with readily determinable fair value | $ 31,900 | ||
Derivative | |||
Derivative assets - Fair value | 107,816 | 67,077 | |
Derivative asset, net | 62,670 | 38,391 | |
Derivative liabilities - Fair Value | 118,305 | 75,838 | |
Derivative liability, net | 79,903 | 44,496 | |
U.S. Treasury securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 564,815 | 640,280 | |
U.S. government agency and U.S. government sponsored enterprise debt securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 217,173 | 203,392 | |
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 408,603 | 318,957 | |
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 946,693 | 1,190,271 | |
Municipal securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 82,020 | 99,982 | |
Commercial mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 26,052 | ||
Residential mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 9,931 | 9,117 | |
Corporate debt securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 10,869 | 37,003 | |
Foreign bonds | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 463,048 | 486,408 | |
Asset-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 12,643 | ||
Other securities | |||
Investment securities available-for-sale | |||
Other securities, Fair Value | 31,342 | ||
Fair Value, Measurements, Recurring | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 2,741,847 | ||
Available-for-sale debt and equity, Fair Value | 3,016,752 | ||
Equity Securities with readily determinable fair value | 31,209 | ||
Total investments in tax credit and other investments | 31,209 | ||
Derivative | |||
Derivative assets - Fair value | 107,816 | 67,077 | |
Derivative asset netting adjustments | (45,146) | (28,686) | |
Derivative asset, net | 62,670 | 38,391 | |
Derivative liabilities - Fair Value | 118,305 | 75,838 | |
Derivative liability netting adjustment | (38,402) | (31,342) | |
Derivative liability, net | 79,903 | 44,496 | |
Fair Value, Measurements, Recurring | Interest rate contracts | |||
Derivative | |||
Derivative assets - Fair value | 69,818 | 59,564 | |
Derivative liabilities - Fair Value | 75,133 | 65,660 | |
Fair Value, Measurements, Recurring | Foreign exchange contracts | |||
Derivative | |||
Derivative assets - Fair value | 21,624 | 5,840 | |
Derivative liabilities - Fair Value | 19,940 | 10,170 | |
Fair Value, Measurements, Recurring | Credit contracts | |||
Derivative | |||
Derivative assets - Fair value | 1 | 1 | |
Derivative liabilities - Fair Value | 164 | 8 | |
Fair Value, Measurements, Recurring | Equity contracts | |||
Derivative | |||
Derivative assets - Fair value | 1,951 | 1,672 | |
Fair Value, Measurements, Recurring | Commodity contracts | |||
Derivative | |||
Derivative assets - Fair value | 14,422 | ||
Derivative liabilities - Fair Value | 23,068 | ||
Fair Value, Measurements, Recurring | U.S. Treasury securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 564,815 | 640,280 | |
Fair Value, Measurements, Recurring | U.S. government agency and U.S. government sponsored enterprise debt securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 217,173 | 203,392 | |
Fair Value, Measurements, Recurring | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 408,603 | 318,957 | |
Fair Value, Measurements, Recurring | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 946,693 | 1,190,271 | |
Fair Value, Measurements, Recurring | Municipal securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 82,020 | 99,982 | |
Fair Value, Measurements, Recurring | Commercial mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 26,052 | ||
Fair Value, Measurements, Recurring | Residential mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 9,931 | 9,117 | |
Fair Value, Measurements, Recurring | Corporate debt securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 10,869 | 37,003 | |
Fair Value, Measurements, Recurring | Foreign bonds | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 463,048 | 486,408 | |
Fair Value, Measurements, Recurring | Asset-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 12,643 | ||
Fair Value, Measurements, Recurring | Other securities | |||
Investment securities available-for-sale | |||
Other securities, Fair Value | 31,342 | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 564,815 | ||
Available-for-sale debt and equity, Fair Value | 661,015 | ||
Equity Securities with readily determinable fair value | 20,678 | ||
Total investments in tax credit and other investments | 20,678 | ||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative asset netting adjustments | 0 | 0 | |
Derivative asset, net | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Derivative liability netting adjustment | 0 | 0 | |
Derivative liability, net | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign exchange contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Credit contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commodity contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | ||
Derivative liabilities - Fair Value | 0 | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 564,815 | 640,280 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government agency and U.S. government sponsored enterprise debt securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign bonds | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other securities | |||
Investment securities available-for-sale | |||
Other securities, Fair Value | 20,735 | ||
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 2,177,032 | ||
Available-for-sale debt and equity, Fair Value | 2,355,737 | ||
Equity Securities with readily determinable fair value | 10,531 | ||
Total investments in tax credit and other investments | 10,531 | ||
Derivative | |||
Derivative assets - Fair value | 107,143 | 66,398 | |
Derivative asset netting adjustments | (45,146) | (28,686) | |
Derivative asset, net | 61,997 | 37,712 | |
Derivative liabilities - Fair Value | 118,305 | 75,838 | |
Derivative liability netting adjustment | (38,402) | (31,342) | |
Derivative liability, net | 79,903 | 44,496 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Interest rate contracts | |||
Derivative | |||
Derivative assets - Fair value | 69,818 | 59,564 | |
Derivative liabilities - Fair Value | 75,133 | 65,660 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Foreign exchange contracts | |||
Derivative | |||
Derivative assets - Fair value | 21,624 | 5,840 | |
Derivative liabilities - Fair Value | 19,940 | 10,170 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Credit contracts | |||
Derivative | |||
Derivative assets - Fair value | 1 | 1 | |
Derivative liabilities - Fair Value | 164 | 8 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Equity contracts | |||
Derivative | |||
Derivative assets - Fair value | 1,278 | 993 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Commodity contracts | |||
Derivative | |||
Derivative assets - Fair value | 14,422 | ||
Derivative liabilities - Fair Value | 23,068 | ||
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | U.S. Treasury securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | U.S. government agency and U.S. government sponsored enterprise debt securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 217,173 | 203,392 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 408,603 | 318,957 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 946,693 | 1,190,271 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Municipal securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 82,020 | 99,982 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Commercial mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 26,052 | ||
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Residential mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 9,931 | 9,117 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Corporate debt securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 10,869 | 37,003 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Foreign bonds | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 463,048 | 486,408 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Asset-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 12,643 | ||
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Other securities | |||
Investment securities available-for-sale | |||
Other securities, Fair Value | 10,607 | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | ||
Available-for-sale debt and equity, Fair Value | 0 | ||
Equity Securities with readily determinable fair value | 0 | ||
Total investments in tax credit and other investments | 0 | ||
Derivative | |||
Derivative assets - Fair value | 673 | 679 | |
Derivative asset netting adjustments | 0 | 0 | |
Derivative asset, net | 673 | 679 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Derivative liability netting adjustment | 0 | 0 | |
Derivative liability, net | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Interest rate contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Foreign exchange contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Credit contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | 0 | |
Derivative liabilities - Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Equity contracts | |||
Derivative | |||
Derivative assets - Fair value | 673 | 679 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Commodity contracts | |||
Derivative | |||
Derivative assets - Fair value | 0 | ||
Derivative liabilities - Fair Value | 0 | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | U.S. Treasury securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | U.S. government agency and U.S. government sponsored enterprise debt securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Municipal securities | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Commercial mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Residential mortgage-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Foreign bonds | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | 0 | 0 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | Investment grade | |||
Investment securities available-for-sale | |||
Available-for-sale debt securities, Fair Value | $ 0 | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Other securities | |||
Investment securities available-for-sale | |||
Other securities, Fair Value | $ 0 |
Fair Value Measurement and Fa_4
Fair Value Measurement and Fair Value of Financial Instruments (Reconciliation of Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Warrants | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Reconciliation of the beginning and ending balances for major asset categories measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ||
Beginning balance | $ 679,000 | $ 0 |
Transfer of investment security from held-to-maturity to available-for-sale | 0 | 0 |
Included in earnings | 162,000 | 0 |
Issuances | 65,000 | 679,000 |
Sales | 0 | 0 |
Settlements | (233,000) | 0 |
Ending balance | 673,000 | 679,000 |
Other Securities | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Reconciliation of the beginning and ending balances for major asset categories measured at fair value on a recurring basis using significant unobservable inputs (Level 3) | ||
Beginning balance | 0 | 0 |
Transfer of investment security from held-to-maturity to available-for-sale | 115,615,000 | |
Included in earnings | 1,156,000 | |
Issuances | 0 | |
Sales | (116,771,000) | |
Settlements | 0 | |
Ending balance | 0 | |
Ancillary loan fees and other income | Warrants | ||
Fair Value Measurement | ||
Total unrealized (losses) gains for the period included in earnings | $ 225,000 | $ 0 |
Fair Value Measurement and Fa_5
Fair Value Measurement and Fair Value of Financial Instruments (Quantitative Information for Significant Unobservable Inputs) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2016 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Warrants | |||
Quantitative information | |||
Derivative assets - Fair value | $ 679 | $ 673 | $ 0 |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | |||
Quantitative information | |||
Non-PCI, impaired loans | 38,188 | 32,858 | |
Fair Value, Measurements, Nonrecurring | OREO nonrecurring fair value losses | |||
Quantitative information | |||
OREO | 9 | ||
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | |||
Quantitative information | |||
Non-PCI, impaired loans | 38,188 | 32,858 | |
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Discounted cash flows | |||
Quantitative information | |||
Non-PCI, impaired loans | 22,802 | 16,921 | |
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Fair value of property | |||
Quantitative information | |||
Non-PCI, impaired loans | 9,773 | 1,687 | |
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Valuation Technique, Fair Value Of Collateral, Discount | |||
Quantitative information | |||
Non-PCI, impaired loans | 3,207 | 2,751 | |
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Valuation Technique, Fair Value Of Collateral, Contract Value | |||
Quantitative information | |||
Non-PCI, impaired loans | 2,406 | $ 11,499 | |
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | OREO nonrecurring fair value losses | |||
Quantitative information | |||
OREO | 9 | ||
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | OREO nonrecurring fair value losses | Fair value of property | |||
Quantitative information | |||
OREO | $ 9 | ||
Volatility | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Warrants | Black-Scholes option pricing model | Minimum | |||
Quantitative information | |||
Measurement input | 49.00% | ||
Volatility | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Warrants | Black-Scholes option pricing model | Maximum | |||
Quantitative information | |||
Measurement input | 52.00% | ||
Volatility | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Warrants | Black-Scholes option pricing model | Weighted Average | |||
Quantitative information | |||
Measurement input | 51.00% | ||
Liquidity discount | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Warrants | Black-Scholes option pricing model | |||
Quantitative information | |||
Measurement input | 47.00% | ||
Liquidity discount | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Warrants | Black-Scholes option pricing model | Weighted Average | |||
Quantitative information | |||
Measurement input | 47.00% | ||
Discount | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Discounted cash flows | Minimum | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 4.00% | 4.00% | |
Discount | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Discounted cash flows | Maximum | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 10.00% | 7.00% | |
Discount | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Discounted cash flows | Weighted Average | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 6.00% | 6.00% | |
Discount | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Valuation Technique, Fair Value Of Collateral, Discount | Minimum | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 20.00% | 15.00% | |
Discount | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Valuation Technique, Fair Value Of Collateral, Discount | Maximum | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 32.00% | 50.00% | |
Discount | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Valuation Technique, Fair Value Of Collateral, Discount | Weighted Average | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 29.00% | 21.00% | |
Selling cost | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Fair value of property | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 8.00% | 8.00% | |
Selling cost | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Fair value of property | Weighted Average | |||
Quantitative information | |||
Non-PCI impaired loans, measurement input | 8.00% | 8.00% | |
Selling cost | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | OREO nonrecurring fair value losses | Fair value of property | |||
Quantitative information | |||
OREO, measurement input | 8.00% | ||
Selling cost | Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | OREO nonrecurring fair value losses | Fair value of property | Weighted Average | |||
Quantitative information | |||
OREO, measurement input | 8.00% |
Fair Value Measurement and Fa_6
Fair Value Measurement and Fair Value of Financial Instruments (Carrying Amounts of Assets Included on the Consolidated Balance Sheets That Had Fair Value Changes Measured on a Nonrecurring Basis) (Details) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Non-PCI impaired loans | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | $ 32,858 | $ 38,188 |
Non-PCI impaired loans | Commercial Lending | C&I | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 26,873 | 31,404 |
Non-PCI impaired loans | Commercial Lending | CRE | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 3,434 | 2,667 |
Non-PCI impaired loans | Commercial Lending | Construction and land | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 3,973 | |
Non-PCI impaired loans | Consumer Lending | Residential loan | Single-family | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 2,551 | 144 |
OREO nonrecurring fair value losses | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
OREO | 9 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-PCI impaired loans | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-PCI impaired loans | Commercial Lending | C&I | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-PCI impaired loans | Commercial Lending | CRE | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-PCI impaired loans | Commercial Lending | Construction and land | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-PCI impaired loans | Consumer Lending | Residential loan | Single-family | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | OREO nonrecurring fair value losses | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
OREO | 0 | |
Significant Other Observable Inputs (Level 2) | Non-PCI impaired loans | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Non-PCI impaired loans | Commercial Lending | C&I | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Non-PCI impaired loans | Commercial Lending | CRE | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Non-PCI impaired loans | Commercial Lending | Construction and land | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | |
Significant Other Observable Inputs (Level 2) | Non-PCI impaired loans | Consumer Lending | Residential loan | Single-family | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | OREO nonrecurring fair value losses | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
OREO | 0 | |
Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 32,858 | 38,188 |
Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Commercial Lending | C&I | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 26,873 | 31,404 |
Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Commercial Lending | CRE | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 3,434 | 2,667 |
Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Commercial Lending | Construction and land | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | 3,973 | |
Significant Unobservable Inputs (Level 3) | Non-PCI impaired loans | Consumer Lending | Residential loan | Single-family | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
Impaired loans | $ 2,551 | 144 |
Significant Unobservable Inputs (Level 3) | OREO nonrecurring fair value losses | ||
Fair Value, Assets Measured on a Nonrecurring Basis | ||
OREO | $ 9 |
Fair Value Measurement and Fa_7
Fair Value Measurement and Fair Value of Financial Instruments (Fair Value Adjustments of Assets Measured on a Nonrecurring Basis) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Loans held-for-sale lower of cost or fair value adjustments | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | $ 0 | $ 61,000 | $ 5,600,000 |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | (9,056,000) | (22,624,000) | (26,212,000) |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | Commercial Lending | C&I | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | (9,341,000) | (19,703,000) | (27,106,000) |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | Commercial Lending | CRE | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | 270,000 | (272,000) | 1,084,000 |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | Commercial Lending | Construction and land | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | 0 | (147,000) | 0 |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | Consumer Lending | Residential loan | Single-family | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | 15,000 | (11,000) | (224,000) |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | Consumer Lending | HELOCs | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | 0 | 0 | 34,000 |
Fair Value, Measurements, Nonrecurring | Non-PCI impaired loans | Consumer Lending | Other consumer | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | 0 | (2,491,000) | 0 |
Fair Value, Measurements, Nonrecurring | OREO nonrecurring fair value losses | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | 0 | (1,000) | (23,000) |
Fair Value, Measurements, Nonrecurring | Loans held-for-sale lower of cost or fair value adjustments | |||
Fair Value, Assets Measured on a Nonrecurring Basis | |||
Fair value adjustment of assets | $ 0 | $ 0 | $ (5,565,000) |
Fair Value Measurement and Fa_8
Fair Value Measurement and Fair Value of Financial Instruments (Carrying and Fair Values per the Fair Value Hierarchy of Certain Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Financial assets: | ||||
Cash and cash equivalents | $ 3,001,377 | $ 2,174,592 | $ 1,878,503 | $ 1,360,887 |
Interest-bearing deposits with banks | 371,000 | 398,422 | ||
Resale agreements | 1,035,000 | 1,050,000 | ||
Restricted equity securities, at cost | 74,069 | 73,521 | ||
Loans held-for-sale | 275 | 85 | ||
Loans held-for-investment, net | 32,073,867 | 28,688,590 | ||
Financial liabilities: | ||||
Demand, checking, savings and money market deposits | 26,370,562 | 25,974,314 | ||
Time deposits | 9,069,066 | 5,640,749 | ||
Short-term borrowings | 57,638 | 0 | ||
Federal Home Loan Bank (“FHLB”) advances | 326,172 | 323,891 | ||
Repurchase agreements | 50,000 | 50,000 | ||
Long-term debt | 146,835 | 171,577 | ||
Carrying amount of repurchase agreements eligible for netting against resale agreements | 400,000 | 400,000 | ||
Gross repurchase agreements | 450,000 | 450,000 | ||
Carrying Amount | ||||
Financial assets: | ||||
Cash and cash equivalents | 3,001,377 | 2,174,592 | ||
Interest-bearing deposits with banks | 371,000 | 398,422 | ||
Resale agreements | 1,035,000 | 1,050,000 | ||
Restricted equity securities, at cost | 74,069 | 73,521 | ||
Loans held-for-sale | 275 | 85 | ||
Loans held-for-investment, net | 32,073,867 | 28,688,590 | ||
Branch assets held-for-sale | 91,318 | |||
Mortgage servicing rights | 7,836 | 7,771 | ||
Accrued interest receivable | 146,262 | 121,719 | ||
Financial liabilities: | ||||
Demand, checking, savings and money market deposits | 26,370,562 | 25,974,314 | ||
Time deposits | 9,069,066 | 5,640,749 | ||
Short-term borrowings | 57,638 | |||
Branch liability held-for-sale | 605,111 | |||
Federal Home Loan Bank (“FHLB”) advances | 326,172 | 323,891 | ||
Repurchase agreements | 50,000 | 50,000 | ||
Long-term debt | 146,835 | 171,577 | ||
Accrued interest payable | 22,893 | 10,724 | ||
Fair Value Measurements | ||||
Financial assets: | ||||
Cash and cash equivalents | 3,001,377 | 2,174,592 | ||
Interest-bearing deposits with banks | 371,000 | 398,422 | ||
Resale agreements | 1,016,724 | 1,035,158 | ||
Restricted equity securities, at cost | 74,069 | 73,521 | ||
Loans held-for-sale | 275 | 85 | ||
Loans held-for-investment, net | 32,273,157 | 28,956,349 | ||
Branch assets held-for-sale | 94,245 | |||
Mortgage servicing rights | 11,427 | 11,324 | ||
Accrued interest receivable | 146,262 | 121,719 | ||
Financial liabilities: | ||||
Demand, checking, savings and money market deposits | 26,370,562 | 25,974,314 | ||
Time deposits | 9,084,597 | 5,626,855 | ||
Short-term borrowings | 57,638 | |||
Branch liability held-for-sale | 643,937 | |||
Federal Home Loan Bank (“FHLB”) advances | 334,793 | 335,901 | ||
Repurchase agreements | 87,668 | 104,830 | ||
Long-term debt | 152,556 | 171,673 | ||
Accrued interest payable | 22,893 | 10,724 | ||
Fair Value Measurements | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Financial assets: | ||||
Cash and cash equivalents | 3,001,377 | 2,174,592 | ||
Interest-bearing deposits with banks | 0 | 0 | ||
Resale agreements | 0 | 0 | ||
Restricted equity securities, at cost | 0 | 0 | ||
Loans held-for-sale | 0 | 0 | ||
Loans held-for-investment, net | 0 | 0 | ||
Branch assets held-for-sale | 5,143 | |||
Mortgage servicing rights | 0 | 0 | ||
Accrued interest receivable | 0 | 0 | ||
Financial liabilities: | ||||
Demand, checking, savings and money market deposits | 0 | 0 | ||
Time deposits | 0 | 0 | ||
Short-term borrowings | 0 | |||
Branch liability held-for-sale | 0 | |||
Federal Home Loan Bank (“FHLB”) advances | 0 | 0 | ||
Repurchase agreements | 0 | 0 | ||
Long-term debt | 0 | 0 | ||
Accrued interest payable | 0 | 0 | ||
Fair Value Measurements | Significant Other Observable Inputs (Level 2) | ||||
Financial assets: | ||||
Cash and cash equivalents | 0 | 0 | ||
Interest-bearing deposits with banks | 371,000 | 398,422 | ||
Resale agreements | 1,016,724 | 1,035,158 | ||
Restricted equity securities, at cost | 74,069 | 73,521 | ||
Loans held-for-sale | 275 | 85 | ||
Loans held-for-investment, net | 0 | 0 | ||
Branch assets held-for-sale | 10,970 | |||
Mortgage servicing rights | 0 | 0 | ||
Accrued interest receivable | 146,262 | 121,719 | ||
Financial liabilities: | ||||
Demand, checking, savings and money market deposits | 26,370,562 | 25,974,314 | ||
Time deposits | 9,084,597 | 5,626,855 | ||
Short-term borrowings | 57,638 | |||
Branch liability held-for-sale | 0 | |||
Federal Home Loan Bank (“FHLB”) advances | 334,793 | 335,901 | ||
Repurchase agreements | 87,668 | 104,830 | ||
Long-term debt | 152,556 | 171,673 | ||
Accrued interest payable | 22,893 | 10,724 | ||
Fair Value Measurements | Significant Unobservable Inputs (Level 3) | ||||
Financial assets: | ||||
Cash and cash equivalents | 0 | 0 | ||
Interest-bearing deposits with banks | 0 | 0 | ||
Resale agreements | 0 | 0 | ||
Restricted equity securities, at cost | 0 | 0 | ||
Loans held-for-sale | 0 | 0 | ||
Loans held-for-investment, net | 32,273,157 | 28,956,349 | ||
Branch assets held-for-sale | 78,132 | |||
Mortgage servicing rights | 11,427 | 11,324 | ||
Accrued interest receivable | 0 | 0 | ||
Financial liabilities: | ||||
Demand, checking, savings and money market deposits | 0 | 0 | ||
Time deposits | 0 | 0 | ||
Short-term borrowings | 0 | |||
Branch liability held-for-sale | 643,937 | |||
Federal Home Loan Bank (“FHLB”) advances | 0 | 0 | ||
Repurchase agreements | 0 | 0 | ||
Long-term debt | 0 | 0 | ||
Accrued interest payable | $ 0 | $ 0 |
Securities Purchased under Re_3
Securities Purchased under Resale Agreements and Sold under Repurchase Agreements (Resale Agreements) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Resale agreements | |||
Gross resale agreements | $ 1,435,000 | $ 1,450,000 | |
Weighted average yield (as a percent) | 2.63% | 2.19% | 1.78% |
Securities Purchased under Re_4
Securities Purchased under Resale Agreements and Sold under Repurchase Agreements (Repurchase Agreements) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Amount of securities sold under repurchase agreements | |||
Gross repurchase agreements | $ 450,000 | $ 450,000 | |
Maturities in 2019 | 0 | ||
Maturities in 2020 | 0 | ||
Maturities in 2021 | 0 | ||
Maturities in 2022 | 150,000 | ||
Maturities in 2023 | 300,000 | ||
Maturities thereafter | $ 0 | ||
Weighted average interest rates (as a percent) | 4.46% | 3.48% | 2.97% |
Securities Purchased under Re_5
Securities Purchased under Resale Agreements and Sold under Repurchase Agreements (Balance Sheet Offsetting) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Gross Amounts of Recognized Assets | $ 1,435,000 | $ 1,450,000 |
Gross Amounts Offset on the Consolidated Balance Sheet | (400,000) | (400,000) |
Net Amounts of Assets Presented on the Consolidated Balance Sheet | 1,035,000 | 1,050,000 |
Gross Amounts Not Offset on the Consolidated Balance Sheet | ||
Financial Instruments | 0 | 0 |
Collateral Received | (1,025,066) | (1,045,696) |
Net Amount | 9,934 | 4,304 |
Liabilities | ||
Gross Amounts of Recognized Liabilities | 450,000 | 450,000 |
Gross Amounts Offset on the Consolidated Balance Sheet | (400,000) | (400,000) |
Net Amounts of Liabilities Presented on the Consolidated Balance Sheet | 50,000 | 50,000 |
Gross Amounts Not Offset on the Consolidated Balance Sheet | ||
Financial Instruments | 0 | 0 |
Collateral Pledged | (50,000) | (50,000) |
Net Amount | $ 0 | $ 0 |
Securities (Schedule of Availab
Securities (Schedule of Available-for-sale Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | $ 2,806,900 | |
Gross Unrealized Gains | 5,714 | |
Gross Unrealized Losses | (70,767) | |
Available-for-sale debt securities, Fair Value | 2,741,847 | |
Available-for-sale debt and equity investment securities, Amortized Cost | $ 3,070,067 | |
Available-for-sale debt and equity investment securities, Gross Unrealized Gains | 5,013 | |
Available-for-sale debt and equity investment securities, Gross Unrealized Losses | (58,328) | |
Available-for-sale debt and equity, Fair Value | 3,016,752 | |
U.S. Treasury securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 577,561 | 651,395 |
Gross Unrealized Gains | 153 | 0 |
Gross Unrealized Losses | (12,899) | (11,115) |
Available-for-sale debt securities, Fair Value | 564,815 | 640,280 |
U.S. government agency and U.S. government sponsored enterprise debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 219,485 | 206,815 |
Gross Unrealized Gains | 382 | 62 |
Gross Unrealized Losses | (2,694) | (3,485) |
Available-for-sale debt securities, Fair Value | 217,173 | 203,392 |
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 420,486 | 328,348 |
Gross Unrealized Gains | 811 | 141 |
Gross Unrealized Losses | (12,694) | (9,532) |
Available-for-sale debt securities, Fair Value | 408,603 | 318,957 |
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 957,219 | 1,199,869 |
Gross Unrealized Gains | 4,026 | 3,964 |
Gross Unrealized Losses | (14,552) | (13,562) |
Available-for-sale debt securities, Fair Value | 946,693 | 1,190,271 |
Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 82,965 | 99,636 |
Gross Unrealized Gains | 87 | 655 |
Gross Unrealized Losses | (1,032) | (309) |
Available-for-sale debt securities, Fair Value | 82,020 | 99,982 |
Non-agency Commercial mortgage-backed securities | Investment grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 25,826 | |
Gross Unrealized Gains | 226 | |
Gross Unrealized Losses | 0 | |
Available-for-sale debt securities, Fair Value | 26,052 | |
Non-agency Residential mortgage-backed securities | Investment grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 10,109 | 9,136 |
Gross Unrealized Gains | 7 | 3 |
Gross Unrealized Losses | (185) | (22) |
Available-for-sale debt securities, Fair Value | 9,931 | 9,117 |
Corporate debt securities | Investment grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 11,250 | 37,585 |
Gross Unrealized Gains | 0 | 164 |
Gross Unrealized Losses | (381) | (746) |
Available-for-sale debt securities, Fair Value | 10,869 | 37,003 |
Foreign bonds | Investment grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 489,378 | 505,396 |
Gross Unrealized Gains | 0 | 24 |
Gross Unrealized Losses | (26,330) | (19,012) |
Available-for-sale debt securities, Fair Value | 463,048 | 486,408 |
Asset-backed securities | Investment grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total available-for-sale debt securities, Amortized Cost | 12,621 | |
Gross Unrealized Gains | 22 | |
Gross Unrealized Losses | 0 | |
Available-for-sale debt securities, Fair Value | $ 12,643 | |
Other securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Other securities, Amortized Cost | 31,887 | |
Other securities, Gross Unrealized Gains | 0 | |
Other securities, Gross Unrealized Losses | (545) | |
Other securities, Fair Value | $ 31,342 |
Securities (Continuous Unrealiz
Securities (Continuous Unrealized Losses) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | $ 163,128 | |
Available-for-sale debt securities, More than 12 Months, Fair Value | 2,087,534 | |
Available-for-sale debt securities, Fair Value, Total | 2,250,662 | |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (1,518) | |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (69,249) | |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (70,767) | |
Available-for sale debt and equity investment securities, Less than 12 Months, Fair Value | $ 942,845 | |
Available-for sale debt and equity investment securities, Gross Unrealized Losses, Less than 12 Months | (9,919) | |
Available-for sale debt and equity investment securities, More than 12 Months, Fair Value | 1,483,868 | |
Available-for sale debt and equity investment securities, Gross Unrealized Losses, More than 12 Months | (48,409) | |
Available-for sale debt and equity investment securities, Fair Value, Total | 2,426,713 | |
Available-for sale debt and equity investment securities, Gross Unrealized Losses, Total | (58,328) | |
U.S. Treasury securities | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 0 | 168,061 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 516,520 | 472,219 |
Available-for-sale debt securities, Fair Value, Total | 516,520 | 640,280 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | 0 | (1,005) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (12,899) | (10,110) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (12,899) | (11,115) |
U.S. government agency and U.S. government sponsored enterprise debt securities | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 22,755 | 99,935 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 159,814 | 85,281 |
Available-for-sale debt securities, Fair Value, Total | 182,569 | 185,216 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (238) | (623) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (2,456) | (2,862) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (2,694) | (3,485) |
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Commercial mortgage-backed securities | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 26,886 | 113,775 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 274,666 | 191,827 |
Available-for-sale debt securities, Fair Value, Total | 301,552 | 305,602 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (245) | (2,071) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (12,449) | (7,461) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (12,694) | (9,532) |
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities - Residential mortgage-backed securities | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 75,675 | 413,621 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 653,660 | 361,809 |
Available-for-sale debt securities, Fair Value, Total | 729,335 | 775,430 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (491) | (4,205) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (14,061) | (9,357) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (14,552) | (13,562) |
Municipal securities | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 9,458 | 8,490 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 30,295 | 8,588 |
Available-for-sale debt securities, Fair Value, Total | 39,753 | 17,078 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (104) | (123) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (928) | (186) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (1,032) | (309) |
Non-agency Residential mortgage-backed securities | Investment grade | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 3,067 | 4,599 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 3,949 | 0 |
Available-for-sale debt securities, Fair Value, Total | 7,016 | 4,599 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (19) | (22) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (166) | 0 |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (185) | (22) |
Corporate debt securities | Investment grade | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 10,869 | 0 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 0 | 11,905 |
Available-for-sale debt securities, Fair Value, Total | 10,869 | 11,905 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (381) | 0 |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | 0 | (746) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | (381) | (746) |
Foreign bonds | Investment grade | ||
Fair Value and Gross Unrealized Losses | ||
Available-for-sale debt securities, Less than 12 Months, Fair Value | 14,418 | 103,149 |
Available-for-sale debt securities, More than 12 Months, Fair Value | 448,630 | 352,239 |
Available-for-sale debt securities, Fair Value, Total | 463,048 | 455,388 |
Available-for-sale debt securities, Gross Unrealized Loss, Less than 12 Months | (40) | (1,325) |
Available-for-sale debt securities, Gross Unrealized Loss, More than 12 Months | (26,290) | (17,687) |
Available-for-sale debt securities, Gross Unrealized Loss, Total | $ (26,330) | (19,012) |
Other securities | ||
Fair Value and Gross Unrealized Losses | ||
Other securities, Less than 12 Months, Fair Value | 31,215 | |
Other securities, Gross Unrealized Loss, Less than 12 Months | (545) | |
Other securities, More than 12 Months, Fair Value | 0 | |
Other securities, Gross Unrealized Loss, More than 12 Months | 0 | |
Other securities, Fair Value, Total | 31,215 | |
Other securities, Gross Unrealized Loss, Total | $ (545) |
Securities (Other-Than-Temporar
Securities (Other-Than-Temporary Impairment) (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)security | Dec. 31, 2017USD ($)security | Dec. 31, 2016USD ($) | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |||
Impairment loss, Available-for-sale debt securities | $ | $ 0 | ||
Impairment loss, Available-for-sale investment securities | $ | $ 0 | $ 0 | |
Number of available-for-sale debt securities in an unrealized loss position | 184 | ||
Number of available-for-sale investment securities in an unrealized loss position | 165 | ||
Mortgage backed securities issued by us government agencies and government sponsored enterprise | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |||
Number of available-for-sale debt securities in an unrealized loss position | 108 | ||
Number of available-for-sale investment securities in an unrealized loss position | 98 | ||
U.S. Treasury securities | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |||
Number of available-for-sale debt securities in an unrealized loss position | 19 | ||
Number of available-for-sale investment securities in an unrealized loss position | 25 | ||
Foreign bonds | Investment grade | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |||
Number of available-for-sale debt securities in an unrealized loss position | 16 | ||
Number of available-for-sale investment securities in an unrealized loss position | 16 | ||
Investment securities available for sale | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |||
OTTI credit losses | $ | $ 0 | $ 0 | $ 0 |
Securities (Realized Gains and
Securities (Realized Gains and Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds from sales available-for sale debt securities | $ 364,270 | ||
Proceeds from sales of available-for sale securities | $ 832,844 | $ 1,275,645 | |
Gross realized gains, available-for sale debt securities | 2,535 | ||
Gross realized gains, available-for sale securities | 8,037 | 10,487 | |
Gross realized losses, available-for sale debt securities | 0 | ||
Gross realized losses, available-for sale securities | 0 | 125 | |
Related tax expense, available-for sale debt securities | $ 749 | ||
Related tax expense, available-for sale securities | $ 3,380 | $ 4,357 |
Securities (Scheduled Maturitie
Securities (Scheduled Maturities of Investment Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Amortized Cost | ||
Due within one year | $ 549,517 | |
Due after one year through five years | 676,814 | |
Due after five years through ten years | 212,093 | |
Due after ten years | 1,368,476 | |
Total available-for-sale debt securities, Amortized Cost | 2,806,900 | |
Fair Value | ||
Due within one year | 523,552 | |
Due after one year through five years | 661,868 | |
Due after five years through ten years | 209,653 | |
Due after ten years | 1,346,774 | |
Total available-for-sale investment securities | 2,741,847 | |
Fair value of available-for-sale investment securities pledged | $ 435,800 | $ 534,300 |
Securities (Restricted Equity S
Securities (Restricted Equity Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Investments, Debt and Equity Securities [Abstract] | ||
Federal Reserve Bank stock | $ 56,819 | $ 56,271 |
FHLB stock | 17,250 | 17,250 |
Total restricted equity securities | $ 74,069 | $ 73,521 |
Derivatives (Notional and Fair
Derivatives (Notional and Fair Values) (Details) MMBTU in Thousands, Boe in Thousands, $ in Thousands | Dec. 31, 2018USD ($)MMBTUBoewarrant | Dec. 31, 2017USD ($)warrant |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | $ 107,816 | $ 67,077 |
Less: Master Netting Arrangements | (31,569) | (20,662) |
Less: Cash collateral received or paid | (13,577) | (8,024) |
Derivative asset, after netting | 62,670 | 38,391 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 118,305 | 75,838 |
Less: Master Netting Arrangements | (31,569) | (20,662) |
Less: Cash collateral received/paid | (6,833) | (10,680) |
Derivative liability, after netting | 79,903 | 44,496 |
Foreign exchange contracts | ||
Derivative Instruments | ||
Notional Amount | 95,200 | |
Derivative instruments designated as hedging instruments | ||
Derivative Instruments | ||
Notional Amount | 126,056 | 35,811 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 0 | 0 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 6,477 | 6,770 |
Derivative instruments designated as hedging instruments | Interest rate contracts | ||
Derivative Instruments | ||
Notional Amount | 35,811 | 35,811 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 0 | 0 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 5,866 | 6,770 |
Derivative instruments designated as hedging instruments | Foreign exchange contracts | ||
Derivative Instruments | ||
Notional Amount | 90,245 | 0 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 0 | 0 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 611 | 0 |
Derivative instruments not designated as hedging instruments | ||
Derivative Instruments | ||
Notional Amount | 15,222,341 | 10,153,108 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 107,816 | 67,077 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 111,828 | 69,068 |
Derivative instruments not designated as hedging instruments | Interest rate contracts | ||
Derivative Instruments | ||
Notional Amount | 11,695,499 | 9,333,860 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 69,818 | 59,564 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 69,267 | 58,890 |
Derivative instruments not designated as hedging instruments | Foreign exchange contracts | ||
Derivative Instruments | ||
Notional Amount | 3,407,522 | 770,215 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 21,624 | 5,840 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 19,329 | 10,170 |
Derivative instruments not designated as hedging instruments | Credit contracts | ||
Derivative Instruments | ||
Notional Amount | 119,320 | 49,033 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 1 | 1 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | 164 | 8 |
Derivative instruments not designated as hedging instruments | Equity contracts | ||
Derivative Instruments | ||
Notional Amount | 0 | 0 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 1,951 | 1,672 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | $ 0 | $ 0 |
Derivative instruments not designated as hedging instruments | Equity, Public Companies | ||
Derivative Liability [Abstract] | ||
Number of companies that Issued the equity contracts (Issuers Portion Only) | warrant | 4 | 4 |
Derivative instruments not designated as hedging instruments | Equity, Private Companies | ||
Derivative Liability [Abstract] | ||
Number of companies that Issued the equity contracts (Issuers Portion Only) | warrant | 18 | 12 |
Derivative instruments not designated as hedging instruments | Commodity contracts | ||
Derivative Instruments | ||
Notional Amount | $ 0 | $ 0 |
Derivative Asset [Abstract] | ||
Derivative assets - Fair value | 14,422 | 0 |
Derivative Liability [Abstract] | ||
Derivative liabilities - Fair Value | $ 23,068 | $ 0 |
Oil | ||
Derivative Liability [Abstract] | ||
Derivative, nonmonetary notional amount | Boe | 2,507 | |
Natural Gas | ||
Derivative Liability [Abstract] | ||
Derivative, nonmonetary notional amount | MMBTU | 14,722 |
Derivatives (Net Gains (Losses)
Derivatives (Net Gains (Losses) on Derivatives Designated as Hedges) (Details) - Derivative instruments designated as hedging instruments - Fair Value Hedging - Interest Expense - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Certificates of deposits | |||
Derivative [Line Items] | |||
Recognized on certificates of deposit | $ 278 | $ 2,271 | $ 157 |
Interest rate contracts | |||
Derivative [Line Items] | |||
Recognized on interest rate swaps | $ (93) | $ (2,734) | $ (794) |
Derivatives (Hedged Items Curre
Derivatives (Hedged Items Currently Designated) (Details) - Derivative instruments designated as hedging instruments - Fair Value Hedging - Certificates of deposits - Interest rate contracts - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Hedged liability, fair value hedge, carrying value | $ (26,877) | $ (31,058) |
Hedged liability, fair value hedge, cumulative decrease (increase), carrying value | $ 4,141 | $ 4,745 |
Derivatives (Narrative) (Detail
Derivatives (Narrative) (Details) MMBTU in Thousands, Boe in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)MMBTUBoewarrant | Dec. 31, 2017USD ($)warrant | |
Derivative [Line Items] | ||
Derivative liabilities - Fair Value | $ 118,305 | $ 75,838 |
Derivative assets - Fair value | 107,816 | 67,077 |
Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 95,200 | |
Derivative liability | 7,200 | |
Credit-Risk-Related Contingent Features | ||
Derivative [Line Items] | ||
Derivative asset | 2,800 | 159 |
Derivative liability | 14,200 | 7,800 |
Collateral Already Posted, Aggregate Fair Value | 9,400 | 7,300 |
Aggregate fair value of derivative instruments in net liability position | 11,400 | 7,600 |
Derivative instruments designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amount | 126,056 | 35,811 |
Derivative liabilities - Fair Value | 6,477 | 6,770 |
Derivative assets - Fair value | 0 | 0 |
Derivative instruments designated as hedging instruments | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 90,245 | 0 |
Derivative liabilities - Fair Value | 611 | 0 |
Derivative assets - Fair value | 0 | 0 |
Derivative instruments designated as hedging instruments | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 35,811 | 35,811 |
Derivative liabilities - Fair Value | 5,866 | 6,770 |
Derivative assets - Fair value | 0 | 0 |
Derivative instruments not designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amount | 15,222,341 | 10,153,108 |
Derivative liabilities - Fair Value | 111,828 | 69,068 |
Derivative assets - Fair value | 107,816 | 67,077 |
Derivative instruments not designated as hedging instruments | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 3,407,522 | 770,215 |
Derivative liabilities - Fair Value | 19,329 | 10,170 |
Derivative assets - Fair value | 21,624 | 5,840 |
Derivative instruments not designated as hedging instruments | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 11,695,499 | 9,333,860 |
Derivative liabilities - Fair Value | 69,267 | 58,890 |
Derivative assets - Fair value | 69,818 | 59,564 |
Derivative instruments not designated as hedging instruments | Credit contracts | ||
Derivative [Line Items] | ||
Notional amount | 119,320 | 49,033 |
Derivative liabilities - Fair Value | $ 164 | $ 8 |
Weighted average remaining maturity | 6 years 7 months 6 days | 6 years |
Derivative assets - Fair value | $ 1 | $ 1 |
Derivative instruments not designated as hedging instruments | Credit contracts | RPAs - protection sold | ||
Derivative [Line Items] | ||
Maximum exposure of RPAs with protection sold | $ 125 | $ 419 |
Derivative instruments not designated as hedging instruments | Equity, Private Companies | ||
Derivative [Line Items] | ||
Number of companies that Issued the equity contracts (Issuers Portion Only) | warrant | 18 | 12 |
Derivative instruments not designated as hedging instruments | Equity, Public Companies | ||
Derivative [Line Items] | ||
Number of companies that Issued the equity contracts (Issuers Portion Only) | warrant | 4 | 4 |
Derivative instruments not designated as hedging instruments | Equity contracts | ||
Derivative [Line Items] | ||
Notional amount | $ 0 | $ 0 |
Derivative liabilities - Fair Value | 0 | 0 |
Derivative assets - Fair value | 1,951 | 1,672 |
Derivative instruments not designated as hedging instruments | Commodity contracts | ||
Derivative [Line Items] | ||
Notional amount | 0 | 0 |
Derivative liabilities - Fair Value | 23,068 | 0 |
Derivative assets - Fair value | 14,422 | 0 |
Fair Value, Measurements, Recurring | ||
Derivative [Line Items] | ||
Derivative liabilities - Fair Value | 118,305 | 75,838 |
Derivative assets - Fair value | 107,816 | 67,077 |
Fair Value, Measurements, Recurring | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Derivative liabilities - Fair Value | 19,940 | 10,170 |
Derivative assets - Fair value | 21,624 | 5,840 |
Fair Value, Measurements, Recurring | Interest rate contracts | ||
Derivative [Line Items] | ||
Derivative liabilities - Fair Value | 75,133 | 65,660 |
Derivative assets - Fair value | 69,818 | 59,564 |
Fair Value, Measurements, Recurring | Credit contracts | ||
Derivative [Line Items] | ||
Derivative liabilities - Fair Value | 164 | 8 |
Derivative assets - Fair value | 1 | 1 |
Fair Value, Measurements, Recurring | Equity contracts | ||
Derivative [Line Items] | ||
Derivative assets - Fair value | 1,951 | $ 1,672 |
Fair Value, Measurements, Recurring | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative liabilities - Fair Value | 23,068 | |
Derivative assets - Fair value | 14,422 | |
London Clearing House (LCH) | Derivative instruments not designated as hedging instruments | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 1,660,000 | |
Derivative asset | 16,400 | |
Derivative liability | 16,000 | |
Financial Counterparty | Derivative instruments not designated as hedging instruments | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 5,850,000 | |
Chicago Mercantile Exchange (CME) | Derivative instruments not designated as hedging instruments | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative asset | 10,400 | |
Derivative liability | 582 | |
Derivative assets (liabilities), at fair value | $ 622 | |
Oil | Chicago Mercantile Exchange (CME) | Derivative instruments not designated as hedging instruments | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 778 | |
Natural Gas | Chicago Mercantile Exchange (CME) | Derivative instruments not designated as hedging instruments | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 6,290 |
Derivatives (Gains (Losses) in
Derivatives (Gains (Losses) in Foreign Currency Translation Adjustment and Letters of Credit Fees and Foreign Exchange Income) (Details) - Derivative instruments designated as hedging instruments - Net investment hedges - Foreign exchange swap contracts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gains (losses) recognized in AOCI | $ 6,072 | $ (648) | $ 2,908 |
Gains (losses) recognized in Letters of credit fees and foreign exchange income | $ 0 | $ (1,953) | $ 1,124 |
Derivatives (Derivatives Not De
Derivatives (Derivatives Not Designated as Hedging Instruments - Interest Rate Contracts) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Derivative assets - Fair value | $ 107,816 | $ 67,077 |
Derivative liabilities - Fair Value | 118,305 | 75,838 |
Derivative instruments not designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amount | 15,222,341 | 10,153,108 |
Derivative assets - Fair value | 107,816 | 67,077 |
Derivative liabilities - Fair Value | 111,828 | 69,068 |
Derivative instruments not designated as hedging instruments | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 11,695,499 | 9,333,860 |
Derivative assets - Fair value | 69,818 | 59,564 |
Derivative liabilities - Fair Value | 69,267 | 58,890 |
Derivative instruments not designated as hedging instruments | Financial Counterparty | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 5,850,000 | |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Written options | ||
Derivative [Line Items] | ||
Notional amount | 931,601 | 691,548 |
Derivative assets - Fair value | 0 | 0 |
Derivative liabilities - Fair Value | 492 | 223 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Sold collars and corridors | ||
Derivative [Line Items] | ||
Notional amount | 429,879 | 247,542 |
Derivative assets - Fair value | 1,121 | 204 |
Derivative liabilities - Fair Value | 305 | 267 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Swaps | ||
Derivative [Line Items] | ||
Notional amount | 4,482,881 | 3,724,295 |
Derivative assets - Fair value | 41,457 | 33,417 |
Derivative liabilities - Fair Value | 41,545 | 24,636 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 5,844,361 | 4,663,385 |
Derivative assets - Fair value | 42,578 | 33,621 |
Derivative liabilities - Fair Value | 42,342 | 25,126 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Purchased options | ||
Derivative [Line Items] | ||
Notional amount | 931,601 | 691,548 |
Derivative assets - Fair value | 503 | 233 |
Derivative liabilities - Fair Value | 0 | 0 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Collars and corridors | ||
Derivative [Line Items] | ||
Notional amount | 429,879 | 247,542 |
Derivative assets - Fair value | 308 | 271 |
Derivative liabilities - Fair Value | 1,140 | 211 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Swaps | ||
Derivative [Line Items] | ||
Notional amount | 4,489,658 | 3,731,385 |
Derivative assets - Fair value | 26,429 | 25,439 |
Derivative liabilities - Fair Value | 25,785 | 33,553 |
Interest rate contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Interest rate contracts | ||
Derivative [Line Items] | ||
Notional amount | 5,851,138 | 4,670,475 |
Derivative assets - Fair value | 27,240 | 25,943 |
Derivative liabilities - Fair Value | $ 26,925 | $ 33,764 |
Derivatives (Derivatives Not _2
Derivatives (Derivatives Not Designated as Hedging Instruments - Foreign Exchange Contracts) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Derivative assets - Fair value | $ 107,816 | $ 67,077 |
Derivative liabilities - Fair Value | 118,305 | 75,838 |
Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 95,200 | |
Derivative instruments not designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amount | 15,222,341 | 10,153,108 |
Derivative assets - Fair value | 107,816 | 67,077 |
Derivative liabilities - Fair Value | 111,828 | 69,068 |
Derivative instruments not designated as hedging instruments | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 3,407,522 | 770,215 |
Derivative assets - Fair value | 21,624 | 5,840 |
Derivative liabilities - Fair Value | 19,329 | 10,170 |
Foreign exchange contracts | Customer Counterparty | Derivative instruments not designated as hedging instruments | Forwards and spot | ||
Derivative [Line Items] | ||
Notional amount | 2,023,425 | 163,389 |
Derivative assets - Fair value | 11,719 | 2,189 |
Derivative liabilities - Fair Value | 13,079 | 752 |
Foreign exchange contracts | Customer Counterparty | Derivative instruments not designated as hedging instruments | Swaps | ||
Derivative [Line Items] | ||
Notional amount | 21,108 | 4,318 |
Derivative assets - Fair value | 348 | 0 |
Derivative liabilities - Fair Value | 243 | 98 |
Foreign exchange contracts | Customer Counterparty | Derivative instruments not designated as hedging instruments | Written options | ||
Derivative [Line Items] | ||
Notional amount | 537 | |
Derivative assets - Fair value | 16 | |
Derivative liabilities - Fair Value | 0 | |
Foreign exchange contracts | Customer Counterparty | Derivative instruments not designated as hedging instruments | Collars | ||
Derivative [Line Items] | ||
Notional amount | 83,864 | |
Derivative assets - Fair value | 0 | |
Derivative liabilities - Fair Value | 370 | |
Foreign exchange contracts | Customer Counterparty | Derivative instruments not designated as hedging instruments | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 2,128,934 | 167,707 |
Derivative assets - Fair value | 12,083 | 2,189 |
Derivative liabilities - Fair Value | 13,692 | 850 |
Foreign exchange contracts | Financial Counterparty | Derivative instruments not designated as hedging instruments | Forwards and spot | ||
Derivative [Line Items] | ||
Notional amount | 506,342 | 155,872 |
Derivative assets - Fair value | 3,407 | 662 |
Derivative liabilities - Fair Value | 2,285 | 7,800 |
Foreign exchange contracts | Financial Counterparty | Derivative instruments not designated as hedging instruments | Swaps | ||
Derivative [Line Items] | ||
Notional amount | 687,845 | 446,636 |
Derivative assets - Fair value | 5,764 | 2,989 |
Derivative liabilities - Fair Value | 3,336 | 1,520 |
Foreign exchange contracts | Financial Counterparty | Derivative instruments not designated as hedging instruments | Purchased options | ||
Derivative [Line Items] | ||
Notional amount | 537 | |
Derivative assets - Fair value | 0 | |
Derivative liabilities - Fair Value | 16 | |
Foreign exchange contracts | Financial Counterparty | Derivative instruments not designated as hedging instruments | Collars | ||
Derivative [Line Items] | ||
Notional amount | 83,864 | |
Derivative assets - Fair value | 370 | |
Derivative liabilities - Fair Value | 0 | |
Foreign exchange contracts | Financial Counterparty | Derivative instruments not designated as hedging instruments | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Notional amount | 1,278,588 | 602,508 |
Derivative assets - Fair value | 9,541 | 3,651 |
Derivative liabilities - Fair Value | $ 5,637 | $ 9,320 |
Derivatives (Derivatives Not _3
Derivatives (Derivatives Not Designated as Hedging Instruments - Credit Contracts) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Derivative assets - Fair value | $ 107,816 | $ 67,077 |
Derivative liabilities - Fair Value | 118,305 | 75,838 |
Derivative instruments not designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amount | 15,222,341 | 10,153,108 |
Derivative assets - Fair value | 107,816 | 67,077 |
Derivative liabilities - Fair Value | 111,828 | 69,068 |
Derivative instruments not designated as hedging instruments | Credit contracts | ||
Derivative [Line Items] | ||
Notional amount | 119,320 | 49,033 |
Derivative assets - Fair value | 1 | 1 |
Derivative liabilities - Fair Value | 164 | 8 |
Credit contracts | Derivative instruments not designated as hedging instruments | Credit contracts | ||
Derivative [Line Items] | ||
Notional amount | 119,320 | 49,033 |
Derivative assets - Fair value | 1 | 1 |
Derivative liabilities - Fair Value | 164 | 8 |
Credit contracts | Derivative instruments not designated as hedging instruments | Credit contracts | RPAs - protection sold | ||
Derivative [Line Items] | ||
Notional amount | 108,606 | 35,208 |
Derivative assets - Fair value | 0 | 0 |
Derivative liabilities - Fair Value | 164 | 8 |
Credit contracts | Derivative instruments not designated as hedging instruments | Credit contracts | RPAs - protection purchased | ||
Derivative [Line Items] | ||
Notional amount | 10,714 | 13,825 |
Derivative assets - Fair value | 1 | 1 |
Derivative liabilities - Fair Value | $ 0 | $ 0 |
Derivatives (Derivatives Not _4
Derivatives (Derivatives Not Designated as Hedging Instruments - Commodity Contracts) (Details) MMBTU in Thousands, Boe in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)MMBTUBoe | Dec. 31, 2017USD ($) | |
Derivative [Line Items] | ||
Derivative assets - Fair value | $ 107,816 | $ 67,077 |
Derivative liabilities - Fair Value | 118,305 | 75,838 |
Derivative instruments not designated as hedging instruments | ||
Derivative [Line Items] | ||
Derivative assets - Fair value | 107,816 | 67,077 |
Derivative liabilities - Fair Value | 111,828 | 69,068 |
Derivative instruments not designated as hedging instruments | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative assets - Fair value | 14,422 | 0 |
Derivative liabilities - Fair Value | 23,068 | $ 0 |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative assets - Fair value | 1,127 | |
Derivative liabilities - Fair Value | $ 22,687 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Crude Oil | Written options | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 524 | |
Derivative assets - Fair value | $ 0 | |
Derivative liabilities - Fair Value | $ 2,628 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Crude Oil | Collars | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 872 | |
Derivative assets - Fair value | $ 0 | |
Derivative liabilities - Fair Value | $ 3,772 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Crude Oil | Swaps | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 1,111 | |
Derivative assets - Fair value | $ 0 | |
Derivative liabilities - Fair Value | $ 14,278 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Crude Oil | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 2,507 | |
Derivative assets - Fair value | $ 0 | |
Derivative liabilities - Fair Value | $ 20,678 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Natural Gas | Collars | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 3,063 | |
Derivative assets - Fair value | $ 78 | |
Derivative liabilities - Fair Value | $ 152 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Natural Gas | Swaps | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 11,659 | |
Derivative assets - Fair value | $ 1,049 | |
Derivative liabilities - Fair Value | $ 1,857 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Customer Counterparty | Natural Gas | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 14,722 | |
Derivative assets - Fair value | $ 1,127 | |
Derivative liabilities - Fair Value | 2,009 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative assets - Fair value | 13,295 | |
Derivative liabilities - Fair Value | $ 381 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Crude Oil | Purchased options | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 524 | |
Derivative assets - Fair value | $ 2,251 | |
Derivative liabilities - Fair Value | $ 0 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Crude Oil | Collars | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 872 | |
Derivative assets - Fair value | $ 3,225 | |
Derivative liabilities - Fair Value | $ 0 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Crude Oil | Swaps | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 1,111 | |
Derivative assets - Fair value | $ 5,799 | |
Derivative liabilities - Fair Value | $ 0 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Crude Oil | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | Boe | 2,507 | |
Derivative assets - Fair value | $ 11,275 | |
Derivative liabilities - Fair Value | $ 0 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Natural Gas | Collars | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 3,063 | |
Derivative assets - Fair value | $ 151 | |
Derivative liabilities - Fair Value | $ 64 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Natural Gas | Swaps | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 11,659 | |
Derivative assets - Fair value | $ 1,869 | |
Derivative liabilities - Fair Value | $ 317 | |
Commodity contracts | Derivative instruments not designated as hedging instruments | Financial Counterparty | Natural Gas | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, energy measure | MMBTU | 14,722 | |
Derivative assets - Fair value | $ 2,020 | |
Derivative liabilities - Fair Value | $ 381 |
Derivatives (Net Gains (Losse_2
Derivatives (Net Gains (Losses) on Derivatives Not Designated as Hedging Instruments) (Details) - Derivative instruments not designated as hedging instruments - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net gains (losses) recognized for derivative not designated as hedging instruments | $ 17,409 | $ 21,969 | $ 15,189 |
Interest rate contracts | Derivative fees and other income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net gains (losses) recognized for derivative not designated as hedging instruments | 280 | (1,772) | 2,557 |
Foreign exchange contracts | Letters of credit fees and foreign exchange income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net gains (losses) recognized for derivative not designated as hedging instruments | 16,784 | 22,076 | 12,632 |
Credit contracts | Derivative fees and other income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net gains (losses) recognized for derivative not designated as hedging instruments | (156) | (7) | 0 |
Equity contracts | Ancillary loan fees and other income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net gains (losses) recognized for derivative not designated as hedging instruments | 512 | 1,672 | 0 |
Commodity contracts | Derivative fees and other income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net gains (losses) recognized for derivative not designated as hedging instruments | $ (11) | $ 0 | $ 0 |
Derivatives (Offsetting of Deri
Derivatives (Offsetting of Derivatives) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Gross Amounts Recognized | $ 107,816 | $ 67,077 |
Less: Master Netting Arrangements | (31,569) | (20,662) |
Less: Cash collateral received or paid | (13,577) | (8,024) |
Derivative asset, after netting | 62,670 | 38,391 |
Less: Security Collateral Received | (13,975) | (1,153) |
Net derivative assets | 48,695 | 37,238 |
Derivative assets subject to master netting arrangements, gross amounts recognized | 105,900 | 64,800 |
Contracts not subject to master netting arrangements, gross amounts recognized | 2,000 | 2,300 |
Derivative, cash collateral received, including amount offset by fair value assets, and excess cash amount | 15,800 | 9,200 |
Liabilities | ||
Gross Amounts Recognized | 118,305 | 75,838 |
Less: Master Netting Arrangements | (31,569) | (20,662) |
Less: Cash collateral received/paid | (6,833) | (10,680) |
Derivative liability, after netting | 79,903 | 44,496 |
Less: Security Collateral Pledged | (11,231) | (18,610) |
Net derivative liabilities | 68,672 | 25,886 |
Derivative liability subject to master netting arrangements, gross amounts recognized | 118,200 | 75,300 |
Contracts not subject to master netting arrangements, gross amounts recognized | 102 | 523 |
Derivative, cash collateral posted against derivative liabilities, including amount offset the derivative fair value liabilities, and excess cash amount | $ 8,400 | $ 10,700 |
Loans Receivable and Allowanc_3
Loans Receivable and Allowance for Credit Losses (Composition of Non-PCI and PCI Loans) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | $ 32,385,189 | $ 28,975,718 |
Allowance for loan losses | (311,322) | (287,128) |
Loans held-for-investment, net | 32,073,867 | 28,688,590 |
Commercial Lending | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 24,326,631 | 22,210,001 |
Commercial Lending | C&I | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 12,056,970 | 10,697,231 |
Commercial Lending | CRE | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 9,449,835 | 8,936,897 |
Commercial Lending | Residential loan | Multifamily | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 2,281,032 | 1,916,176 |
Commercial Lending | Construction and land | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 538,794 | 659,697 |
Consumer Lending | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 8,058,558 | 6,765,717 |
Consumer Lending | Residential loan | Single-family | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 6,036,454 | 4,646,289 |
Consumer Lending | HELOCs | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 1,690,834 | 1,782,924 |
Consumer Lending | Other consumer | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 331,270 | 336,504 |
Non-PCI loans | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 32,077,166 | 28,493,431 |
Allowance for loan losses | (311,300) | (287,070) |
Loans held-for-investment, net | 31,765,866 | 28,206,361 |
Deferred loan fees, unearned fees, unamortized premiums and unaccreted discounts | (48,900) | (34,000) |
Non-PCI loans | Commercial Lending | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 24,124,659 | 21,859,099 |
Non-PCI loans | Commercial Lending | C&I | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 12,054,818 | 10,685,436 |
Non-PCI loans | Commercial Lending | CRE | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 9,284,583 | 8,659,209 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 2,246,506 | 1,855,128 |
Non-PCI loans | Commercial Lending | Construction and land | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 538,752 | 659,326 |
Non-PCI loans | Consumer Lending | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 7,952,507 | 6,634,332 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 5,939,258 | 4,528,911 |
Non-PCI loans | Consumer Lending | HELOCs | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 1,681,979 | 1,768,917 |
Non-PCI loans | Consumer Lending | Other consumer | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 331,270 | 336,504 |
PCI Loans | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 308,023 | 482,287 |
Allowance for loan losses | (22) | (58) |
Loans held-for-investment, net | 308,001 | 482,229 |
Discount related to ASC 310-30 | 22,200 | 35,300 |
PCI Loans | Commercial Lending | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 201,972 | 350,902 |
PCI Loans | Commercial Lending | C&I | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 2,152 | 11,795 |
PCI Loans | Commercial Lending | CRE | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 165,252 | 277,688 |
PCI Loans | Commercial Lending | Residential loan | Multifamily | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 34,526 | 61,048 |
PCI Loans | Commercial Lending | Construction and land | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 42 | 371 |
PCI Loans | Consumer Lending | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 106,051 | 131,385 |
PCI Loans | Consumer Lending | Residential loan | Single-family | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 97,196 | 117,378 |
PCI Loans | Consumer Lending | HELOCs | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | 8,855 | 14,007 |
PCI Loans | Consumer Lending | Other consumer | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Total loans held-for-investment | $ 0 | $ 0 |
Loans Receivable and Allowanc_4
Loans Receivable and Allowance for Credit Losses (Composition of Non-PCI and PCI Loans- Narrative) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)property_unit | Dec. 31, 2017USD ($) | |
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Loans receivable pledged to secure borrowings and to provide additional borrowing capacity from the FHLB and the Federal Reserve Bank | $ | $ 20,590,035 | $ 18,880,598 |
CRE | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Percent of a CRE loan serviced by unaffiliated rental income from a third party that deemed non-owner occupied | 50.00% | |
Consumer Lending | Single-family residential and home equity line of credit | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Loan to value ratio | 60.00% | |
Multifamily | Commercial Lending | Minimum | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Percentage of loan serviced by unaffiliated rental income from a third party | 5 | |
Multifamily | Commercial Lending | Maximum | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | ||
Percentage of loan serviced by unaffiliated rental income from a third party | 15 |
Loans Receivable and Allowanc_5
Loans Receivable and Allowance for Credit Losses (Credit Risk Ratings for Non-PCI Loans by Portfolio Segment) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | $ 32,385,189 | $ 28,975,718 |
Commercial Lending | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 24,326,631 | 22,210,001 |
Commercial Lending | C&I | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 12,056,970 | 10,697,231 |
Commercial Lending | CRE | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 9,449,835 | 8,936,897 |
Commercial Lending | Residential loan | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 2,281,032 | 1,916,176 |
Commercial Lending | Construction and land | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 538,794 | 659,697 |
Consumer Lending | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 8,058,558 | 6,765,717 |
Consumer Lending | Residential loan | Single-family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 6,036,454 | 4,646,289 |
Consumer Lending | HELOCs | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,690,834 | 1,782,924 |
Consumer Lending | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 331,270 | 336,504 |
Non-PCI loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 32,077,166 | 28,493,431 |
Non-PCI loans | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 31,413,557 | 27,878,020 |
Non-PCI loans | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 358,136 | 213,490 |
Non-PCI loans | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 295,058 | 381,039 |
Non-PCI loans | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 10,415 | 20,882 |
Non-PCI loans | Commercial Lending | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 24,124,659 | 21,859,099 |
Non-PCI loans | Commercial Lending | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 23,489,906 | 21,308,550 |
Non-PCI loans | Commercial Lending | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 350,183 | 184,975 |
Non-PCI loans | Commercial Lending | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 274,155 | 344,692 |
Non-PCI loans | Commercial Lending | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 10,415 | 20,882 |
Non-PCI loans | Commercial Lending | C&I | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 12,054,818 | 10,685,436 |
Non-PCI loans | Commercial Lending | C&I | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 11,644,470 | 10,369,516 |
Non-PCI loans | Commercial Lending | C&I | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 260,089 | 114,769 |
Non-PCI loans | Commercial Lending | C&I | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 139,844 | 180,269 |
Non-PCI loans | Commercial Lending | C&I | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 10,415 | 20,882 |
Non-PCI loans | Commercial Lending | CRE | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 9,284,583 | 8,659,209 |
Non-PCI loans | Commercial Lending | CRE | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 9,144,646 | 8,484,635 |
Non-PCI loans | Commercial Lending | CRE | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 49,705 | 65,616 |
Non-PCI loans | Commercial Lending | CRE | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 90,232 | 108,958 |
Non-PCI loans | Commercial Lending | CRE | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 2,246,506 | 1,855,128 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 2,215,573 | 1,839,958 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 20,551 | 0 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 10,382 | 15,170 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
Non-PCI loans | Commercial Lending | Construction and land | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 538,752 | 659,326 |
Non-PCI loans | Commercial Lending | Construction and land | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 485,217 | 614,441 |
Non-PCI loans | Commercial Lending | Construction and land | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 19,838 | 4,590 |
Non-PCI loans | Commercial Lending | Construction and land | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 33,697 | 40,295 |
Non-PCI loans | Commercial Lending | Construction and land | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
Non-PCI loans | Consumer Lending | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 7,952,507 | 6,634,332 |
Non-PCI loans | Consumer Lending | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 7,923,651 | 6,569,470 |
Non-PCI loans | Consumer Lending | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 7,953 | 28,515 |
Non-PCI loans | Consumer Lending | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 20,903 | 36,347 |
Non-PCI loans | Consumer Lending | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 5,939,258 | 4,528,911 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 5,925,584 | 4,490,672 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 6,376 | 16,504 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 7,298 | 21,735 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
Non-PCI loans | Consumer Lending | HELOCs | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,681,979 | 1,768,917 |
Non-PCI loans | Consumer Lending | HELOCs | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,669,300 | 1,744,903 |
Non-PCI loans | Consumer Lending | HELOCs | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,576 | 11,900 |
Non-PCI loans | Consumer Lending | HELOCs | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 11,103 | 12,114 |
Non-PCI loans | Consumer Lending | HELOCs | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
Non-PCI loans | Consumer Lending | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 331,270 | 336,504 |
Non-PCI loans | Consumer Lending | Other consumer | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 328,767 | 333,895 |
Non-PCI loans | Consumer Lending | Other consumer | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1 | 111 |
Non-PCI loans | Consumer Lending | Other consumer | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 2,502 | 2,498 |
Non-PCI loans | Consumer Lending | Other consumer | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 308,023 | 482,287 |
PCI Loans | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 285,201 | 432,628 |
PCI Loans | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,277 | 2,131 |
PCI Loans | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 21,545 | 47,528 |
PCI Loans | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 201,972 | 350,902 |
PCI Loans | Commercial Lending | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 181,098 | 306,081 |
PCI Loans | Commercial Lending | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 588 |
PCI Loans | Commercial Lending | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 20,874 | 44,233 |
PCI Loans | Commercial Lending | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | C&I | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 2,152 | 11,795 |
PCI Loans | Commercial Lending | C&I | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,996 | 10,712 |
PCI Loans | Commercial Lending | C&I | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 57 |
PCI Loans | Commercial Lending | C&I | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 156 | 1,026 |
PCI Loans | Commercial Lending | C&I | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | CRE | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 165,252 | 277,688 |
PCI Loans | Commercial Lending | CRE | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 146,057 | 238,605 |
PCI Loans | Commercial Lending | CRE | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 531 |
PCI Loans | Commercial Lending | CRE | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 19,195 | 38,552 |
PCI Loans | Commercial Lending | CRE | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | Residential loan | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 34,526 | 61,048 |
PCI Loans | Commercial Lending | Residential loan | Multifamily | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 33,003 | 56,720 |
PCI Loans | Commercial Lending | Residential loan | Multifamily | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | Residential loan | Multifamily | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,523 | 4,328 |
PCI Loans | Commercial Lending | Residential loan | Multifamily | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | Construction and land | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 42 | 371 |
PCI Loans | Commercial Lending | Construction and land | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 42 | 44 |
PCI Loans | Commercial Lending | Construction and land | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Commercial Lending | Construction and land | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 327 |
PCI Loans | Commercial Lending | Construction and land | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Consumer Lending | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 106,051 | 131,385 |
PCI Loans | Consumer Lending | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 104,103 | 126,547 |
PCI Loans | Consumer Lending | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,277 | 1,543 |
PCI Loans | Consumer Lending | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 671 | 3,295 |
PCI Loans | Consumer Lending | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Consumer Lending | Residential loan | Single-family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 97,196 | 117,378 |
PCI Loans | Consumer Lending | Residential loan | Single-family | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 95,789 | 113,905 |
PCI Loans | Consumer Lending | Residential loan | Single-family | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 1,021 | 1,543 |
PCI Loans | Consumer Lending | Residential loan | Single-family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 386 | 1,930 |
PCI Loans | Consumer Lending | Residential loan | Single-family | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Consumer Lending | HELOCs | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 8,855 | 14,007 |
PCI Loans | Consumer Lending | HELOCs | Pass/Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 8,314 | 12,642 |
PCI Loans | Consumer Lending | HELOCs | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 256 | 0 |
PCI Loans | Consumer Lending | HELOCs | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 285 | 1,365 |
PCI Loans | Consumer Lending | HELOCs | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | 0 | 0 |
PCI Loans | Consumer Lending | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans held-for-investment | $ 0 | $ 0 |
Loans Receivable and Allowanc_6
Loans Receivable and Allowance for Credit Losses (Aging Analysis on Non-PCI Loans) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Nonaccrual and Past Due Loans | ||
Number of days beyond loan classified nonaccrual | 90 days | |
Total loans | $ 32,385,189 | $ 28,975,718 |
Commercial Lending | ||
Nonaccrual and Past Due Loans | ||
Total loans | 24,326,631 | 22,210,001 |
Commercial Lending | C&I | ||
Nonaccrual and Past Due Loans | ||
Total loans | 12,056,970 | 10,697,231 |
Commercial Lending | CRE | ||
Nonaccrual and Past Due Loans | ||
Total loans | 9,449,835 | 8,936,897 |
Commercial Lending | Residential loan | Multifamily | ||
Nonaccrual and Past Due Loans | ||
Total loans | 2,281,032 | 1,916,176 |
Commercial Lending | Construction and land | ||
Nonaccrual and Past Due Loans | ||
Total loans | 538,794 | 659,697 |
Consumer Lending | ||
Nonaccrual and Past Due Loans | ||
Total loans | 8,058,558 | 6,765,717 |
Consumer Lending | Residential loan | Single-family | ||
Nonaccrual and Past Due Loans | ||
Total loans | 6,036,454 | 4,646,289 |
Consumer Lending | HELOCs | ||
Nonaccrual and Past Due Loans | ||
Total loans | 1,690,834 | 1,782,924 |
Consumer Lending | Other consumer | ||
Nonaccrual and Past Due Loans | ||
Total loans | 331,270 | 336,504 |
Non-PCI loans | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 79,230 | 67,677 |
Total Nonaccrual Loans | 85,693 | 114,309 |
Current Accruing Loans | 31,912,243 | 28,311,445 |
Total loans | 32,077,166 | 28,493,431 |
Non-PCI loans | Commercial Lending | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 52,323 | 40,544 |
Total Nonaccrual Loans | 69,318 | 101,889 |
Current Accruing Loans | 24,003,018 | 21,716,666 |
Total loans | 24,124,659 | 21,859,099 |
Non-PCI loans | Commercial Lending | C&I | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 40,202 | 31,046 |
Total Nonaccrual Loans | 43,840 | 69,213 |
Current Accruing Loans | 11,970,776 | 10,585,177 |
Total loans | 12,054,818 | 10,685,436 |
Non-PCI loans | Commercial Lending | CRE | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 7,740 | 3,880 |
Total Nonaccrual Loans | 24,218 | 26,986 |
Current Accruing Loans | 9,252,625 | 8,628,343 |
Total loans | 9,284,583 | 8,659,209 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 4,174 | 4,860 |
Total Nonaccrual Loans | 1,260 | 1,717 |
Current Accruing Loans | 2,241,072 | 1,848,551 |
Total loans | 2,246,506 | 1,855,128 |
Non-PCI loans | Commercial Lending | Construction and land | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 207 | 758 |
Total Nonaccrual Loans | 0 | 3,973 |
Current Accruing Loans | 538,545 | 654,595 |
Total loans | 538,752 | 659,326 |
Non-PCI loans | Consumer Lending | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 26,907 | 27,133 |
Total Nonaccrual Loans | 16,375 | 12,420 |
Current Accruing Loans | 7,909,225 | 6,594,779 |
Total loans | 7,952,507 | 6,634,332 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 22,495 | 18,624 |
Total Nonaccrual Loans | 5,259 | 5,923 |
Current Accruing Loans | 5,911,504 | 4,504,364 |
Total loans | 5,939,258 | 4,528,911 |
Non-PCI loans | Consumer Lending | HELOCs | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 4,389 | 8,472 |
Total Nonaccrual Loans | 8,614 | 4,006 |
Current Accruing Loans | 1,668,976 | 1,756,439 |
Total loans | 1,681,979 | 1,768,917 |
Non-PCI loans | Consumer Lending | Other consumer | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 23 | 37 |
Total Nonaccrual Loans | 2,502 | 2,491 |
Current Accruing Loans | 328,745 | 333,976 |
Total loans | 331,270 | 336,504 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 50,382 | 57,551 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Commercial Lending | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 33,153 | 39,982 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Commercial Lending | C&I | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 21,032 | 30,964 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Commercial Lending | CRE | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 7,740 | 3,414 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Commercial Lending | Residential loan | Multifamily | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 4,174 | 4,846 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Commercial Lending | Construction and land | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 207 | 758 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Consumer Lending | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 17,229 | 17,569 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Consumer Lending | Residential loan | Single-family | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 14,645 | 13,269 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Consumer Lending | HELOCs | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 2,573 | 4,286 |
Non-PCI loans | Accruing Loans 30-59 Days Past Due | Consumer Lending | Other consumer | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 11 | 14 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 28,848 | 10,126 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Commercial Lending | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 19,170 | 562 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Commercial Lending | C&I | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 19,170 | 82 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Commercial Lending | CRE | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 0 | 466 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Commercial Lending | Residential loan | Multifamily | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 0 | 14 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Commercial Lending | Construction and land | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 0 | 0 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Consumer Lending | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 9,678 | 9,564 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Consumer Lending | Residential loan | Single-family | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 7,850 | 5,355 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Consumer Lending | HELOCs | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 1,816 | 4,186 |
Non-PCI loans | Accruing Loans 60-89 Days Past Due | Consumer Lending | Other consumer | ||
Nonaccrual and Past Due Loans | ||
Total Accruing Past Due Loans | 12 | 23 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 23,800 | 34,351 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Commercial Lending | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 21,868 | 34,256 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Commercial Lending | C&I | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 17,097 | 27,408 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Commercial Lending | CRE | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 3,704 | 5,430 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Commercial Lending | Residential loan | Multifamily | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 1,067 | 1,418 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Commercial Lending | Construction and land | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 0 | 0 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Consumer Lending | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 1,932 | 95 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Consumer Lending | Residential loan | Single-family | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 509 | 6 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Consumer Lending | HELOCs | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 1,423 | 89 |
Non-PCI loans | Nonaccrual Loans Less Than 90 Days Past Due | Consumer Lending | Other consumer | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 0 | 0 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 61,893 | 79,958 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Commercial Lending | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 47,450 | 67,633 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Commercial Lending | C&I | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 26,743 | 41,805 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Commercial Lending | CRE | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 20,514 | 21,556 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Commercial Lending | Residential loan | Multifamily | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 193 | 299 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Commercial Lending | Construction and land | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 0 | 3,973 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Consumer Lending | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 14,443 | 12,325 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Consumer Lending | Residential loan | Single-family | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 4,750 | 5,917 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Consumer Lending | HELOCs | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | 7,191 | 3,917 |
Non-PCI loans | Nonaccrual Loans 90 or More Days Past Due | Consumer Lending | Other consumer | ||
Nonaccrual and Past Due Loans | ||
Total Nonaccrual Loans | $ 2,502 | $ 2,491 |
Loans Receivable and Allowanc_7
Loans Receivable and Allowance for Credit Losses (Narrative) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Loans in process of foreclosure | ||
Other real estate owned, net | $ 133,000 | $ 830,000 |
Residential real estate properties | ||
Loans in process of foreclosure | ||
Carrying amount of foreclosed residential real estate properties included in total net OREO | 0 | 188,000 |
Single-family residential and home equity line of credit | ||
Loans in process of foreclosure | ||
Recorded investment in consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process | 3,000,000 | 6,600,000 |
PCI Loans | ||
Nonaccrual loans | ||
Total Nonaccrual Loans | $ 4,000,000 | $ 5,300,000 |
Loans Receivable and Allowanc_8
Loans Receivable and Allowance for Credit Losses (Additions to Non-PCI TDRs) (Details) - Non-PCI impaired loans $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)loan | Dec. 31, 2017USD ($)loan | Dec. 31, 2016USD ($)loan | |
Loans Modified as TDRs | |||
Post-Modification Outstanding Recorded Investment | $ 12,081 | $ 43,651 | $ 65,762 |
Commercial Lending | |||
Loans Modified as TDRs | |||
Post-Modification Outstanding Recorded Investment | $ 10,272 | $ 43,496 | $ 64,112 |
Commercial Lending | C&I | |||
Loans Modified as TDRs | |||
Number of Loans | loan | 8 | 16 | 18 |
Pre-Modification Outstanding Recorded Investment | $ 11,366 | $ 43,884 | $ 65,991 |
Post-Modification Outstanding Recorded Investment | 9,520 | 37,900 | 40,405 |
Financial Impact | $ 699 | $ 11,520 | $ 20,574 |
Commercial Lending | CRE | |||
Loans Modified as TDRs | |||
Number of Loans | loan | 1 | 4 | 6 |
Pre-Modification Outstanding Recorded Investment | $ 750 | $ 2,675 | $ 19,275 |
Post-Modification Outstanding Recorded Investment | 752 | 2,627 | 18,824 |
Financial Impact | 0 | $ 157 | $ 701 |
Commercial Lending | Residential loan | Multifamily | |||
Loans Modified as TDRs | |||
Number of Loans | loan | 1 | ||
Pre-Modification Outstanding Recorded Investment | $ 3,655 | ||
Post-Modification Outstanding Recorded Investment | 2,969 | ||
Financial Impact | 0 | ||
Commercial Lending | Construction and land | |||
Loans Modified as TDRs | |||
Number of Loans | loan | 1 | ||
Pre-Modification Outstanding Recorded Investment | $ 5,522 | ||
Post-Modification Outstanding Recorded Investment | 4,883 | ||
Financial Impact | 0 | ||
Consumer Lending | |||
Loans Modified as TDRs | |||
Post-Modification Outstanding Recorded Investment | $ 1,809 | $ 155 | $ 1,650 |
Consumer Lending | Residential loan | Single-family | |||
Loans Modified as TDRs | |||
Number of Loans | loan | 2 | 3 | |
Pre-Modification Outstanding Recorded Investment | $ 405 | $ 1,291 | |
Post-Modification Outstanding Recorded Investment | 391 | 1,268 | |
Financial Impact | $ (28) | $ 0 | |
Consumer Lending | HELOCs | |||
Loans Modified as TDRs | |||
Number of Loans | loan | 2 | 1 | 3 |
Pre-Modification Outstanding Recorded Investment | $ 1,546 | $ 152 | $ 491 |
Post-Modification Outstanding Recorded Investment | 1,418 | 155 | 382 |
Financial Impact | $ 0 | $ 0 | $ 1 |
Loans Receivable and Allowanc_9
Loans Receivable and Allowance for Credit Losses (Non-PCI TDR Modifications) (Details) - Non-PCI impaired loans - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | $ 12,081 | $ 43,651 | $ 65,762 |
Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 6,891 | 19,164 | 57,729 |
Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 8,003 | 0 |
Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 752 | 0 | 6,722 |
Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 237 |
Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 4,438 | 16,484 | 1,074 |
Commercial Lending | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 10,272 | 43,496 | 64,112 |
Commercial Lending | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 5,472 | 19,164 | 57,132 |
Commercial Lending | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 7,848 | 0 |
Commercial Lending | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 752 | 0 | 5,876 |
Commercial Lending | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 30 |
Commercial Lending | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 4,048 | 16,484 | 1,074 |
Commercial Lending | C&I | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 9,520 | 37,900 | 40,405 |
Commercial Lending | C&I | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 5,472 | 13,568 | 34,499 |
Commercial Lending | C&I | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 7,848 | 0 |
Commercial Lending | C&I | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 5,876 |
Commercial Lending | C&I | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 30 |
Commercial Lending | C&I | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 4,048 | 16,484 | 0 |
Commercial Lending | CRE | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 752 | 2,627 | 18,824 |
Commercial Lending | CRE | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 2,627 | 17,750 |
Commercial Lending | CRE | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Commercial Lending | CRE | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 752 | 0 | 0 |
Commercial Lending | CRE | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Commercial Lending | CRE | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 1,074 |
Commercial Lending | Residential loan | Multifamily | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 2,969 | ||
Commercial Lending | Residential loan | Multifamily | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 2,969 | ||
Commercial Lending | Residential loan | Multifamily | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Residential loan | Multifamily | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Residential loan | Multifamily | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Residential loan | Multifamily | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Construction and land | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 4,883 | ||
Commercial Lending | Construction and land | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 4,883 | ||
Commercial Lending | Construction and land | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Construction and land | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Construction and land | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Commercial Lending | Construction and land | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | ||
Consumer Lending | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 1,809 | 155 | 1,650 |
Consumer Lending | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 1,419 | 0 | 597 |
Consumer Lending | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 155 | 0 |
Consumer Lending | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 846 |
Consumer Lending | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 207 |
Consumer Lending | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 390 | 0 | 0 |
Consumer Lending | Residential loan | Single-family | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 391 | 1,268 | |
Consumer Lending | Residential loan | Single-family | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 66 | 264 | |
Consumer Lending | Residential loan | Single-family | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | |
Consumer Lending | Residential loan | Single-family | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 797 | |
Consumer Lending | Residential loan | Single-family | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 207 | |
Consumer Lending | Residential loan | Single-family | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 325 | 0 | |
Consumer Lending | HELOCs | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 1,418 | 155 | 382 |
Consumer Lending | HELOCs | Principal | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 1,353 | 0 | 333 |
Consumer Lending | HELOCs | Principal and Interest | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 155 | 0 |
Consumer Lending | HELOCs | Interest Rate Reduction | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 49 |
Consumer Lending | HELOCs | Interest Deferments | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Consumer Lending | HELOCs | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Post-Modification Outstanding Recorded Investment | $ 65 | $ 0 | $ 0 |
Loans Receivable and Allowan_10
Loans Receivable and Allowance for Credit Losses (Loans Modified as TDRs that Subsequently Defaulted) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)loan | Dec. 31, 2017USD ($)loan | Dec. 31, 2016USD ($)loan | |
Financing Receivable, Modifications [Line Items] | |||
Period beyond which a TDR generally become delinquent | 90 days | ||
Additional funds committed to lend to borrowers whose terms have been modified | $ 3,900 | $ 5,100 | |
Non-PCI loans | Commercial Lending | C&I | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | loan | 4 | 3 | 0 |
Recorded Investment | $ 1,890 | $ 8,659 | $ 0 |
Non-PCI loans | Commercial Lending | CRE | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | loan | 1 | 0 | 2 |
Recorded Investment | $ 186 | $ 0 | $ 3,150 |
Non-PCI loans | Commercial Lending | Construction and land | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | loan | 0 | 0 | 1 |
Recorded Investment | $ 0 | $ 0 | $ 4,883 |
Non-PCI loans | Consumer Lending | HELOCs | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | loan | 1 | 0 | 0 |
Recorded Investment | $ 150 | $ 0 | $ 0 |
Loans Receivable and Allowan_11
Loans Receivable and Allowance for Credit Losses (Non-PCI Impaired Loans) (Details) - Non-PCI impaired loans - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Impaired loans disclosures | |||
Unpaid Principal Balance | $ 152,627 | $ 211,442 | |
Recorded Investment With No Allowance | 87,812 | 79,064 | |
Recorded Investment With Allowance | 31,106 | 91,823 | |
Total Recorded Investment | 118,918 | 170,887 | |
Related Allowance | 4,032 | 19,895 | |
Average Recorded Investment | 233,180 | 185,132 | $ 236,227 |
Recognized Interest Income | 2,330 | 2,989 | 4,711 |
Commercial Lending | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 125,420 | 187,966 | |
Recorded Investment With No Allowance | 79,713 | 76,777 | |
Recorded Investment With Allowance | 13,287 | 72,073 | |
Total Recorded Investment | 93,000 | 148,850 | |
Related Allowance | 1,502 | 16,866 | |
Average Recorded Investment | 194,194 | 162,502 | 218,201 |
Recognized Interest Income | 1,786 | 2,517 | 4,201 |
Commercial Lending | C&I | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 82,963 | 130,773 | |
Recorded Investment With No Allowance | 48,479 | 36,086 | |
Recorded Investment With Allowance | 8,609 | 62,599 | |
Total Recorded Investment | 57,088 | 98,685 | |
Related Allowance | 1,219 | 16,094 | |
Average Recorded Investment | 143,430 | 110,662 | 148,986 |
Recognized Interest Income | 1,046 | 1,517 | 2,612 |
Commercial Lending | CRE | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 36,426 | 41,248 | |
Recorded Investment With No Allowance | 28,285 | 28,699 | |
Recorded Investment With Allowance | 2,067 | 6,857 | |
Total Recorded Investment | 30,352 | 35,556 | |
Related Allowance | 208 | 684 | |
Average Recorded Investment | 35,049 | 36,003 | 47,064 |
Recognized Interest Income | 491 | 578 | 1,253 |
Commercial Lending | Residential loan | Multifamily | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 6,031 | 11,164 | |
Recorded Investment With No Allowance | 2,949 | 8,019 | |
Recorded Investment With Allowance | 2,611 | 2,617 | |
Total Recorded Investment | 5,560 | 10,636 | |
Related Allowance | 75 | 88 | |
Average Recorded Investment | 11,742 | 11,455 | 15,763 |
Recognized Interest Income | 249 | 422 | 302 |
Commercial Lending | Construction and land | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 4,781 | ||
Recorded Investment With No Allowance | 3,973 | ||
Recorded Investment With Allowance | 0 | ||
Total Recorded Investment | 3,973 | ||
Related Allowance | 0 | 0 | |
Average Recorded Investment | 3,973 | 4,382 | 6,388 |
Recognized Interest Income | 0 | 0 | 34 |
Consumer Lending | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 27,207 | 23,476 | |
Recorded Investment With No Allowance | 8,099 | 2,287 | |
Recorded Investment With Allowance | 17,819 | 19,750 | |
Total Recorded Investment | 25,918 | 22,037 | |
Related Allowance | 2,530 | 3,029 | |
Average Recorded Investment | 38,986 | 22,630 | 18,026 |
Recognized Interest Income | 544 | 472 | 510 |
Consumer Lending | Residential loan | Single-family | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 14,670 | 15,501 | |
Recorded Investment With No Allowance | 2,552 | 0 | |
Recorded Investment With Allowance | 10,908 | 14,338 | |
Total Recorded Investment | 13,460 | 14,338 | |
Related Allowance | 34 | 534 | |
Average Recorded Investment | 22,350 | 14,994 | 14,323 |
Recognized Interest Income | 474 | 417 | 447 |
Consumer Lending | HELOCs | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 10,035 | 5,484 | |
Recorded Investment With No Allowance | 5,547 | 2,287 | |
Recorded Investment With Allowance | 4,409 | 2,921 | |
Total Recorded Investment | 9,956 | 5,208 | |
Related Allowance | 5 | 4 | |
Average Recorded Investment | 14,134 | 5,494 | 3,703 |
Recognized Interest Income | 70 | 55 | 63 |
Consumer Lending | Other consumer | |||
Impaired loans disclosures | |||
Unpaid Principal Balance | 2,502 | 2,491 | |
Recorded Investment With No Allowance | 0 | 0 | |
Recorded Investment With Allowance | 2,502 | 2,491 | |
Total Recorded Investment | 2,502 | 2,491 | |
Related Allowance | 2,491 | 2,491 | |
Average Recorded Investment | 2,502 | 2,142 | 0 |
Recognized Interest Income | $ 0 | $ 0 | $ 0 |
Loans Receivable and Allowan_12
Loans Receivable and Allowance for Credit Losses (Summary of Activities in Allowance for Loan Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for loan losses | |||
Allowance, beginning of period | $ 287,128 | $ 260,520 | |
Gross charge-offs | (14,600) | (473) | $ (1,900) |
Allowance, end of period | 311,322 | 287,128 | 260,520 |
Commercial Lending | C&I | |||
Allowance for loan losses | |||
Allowance, beginning of period | 163,058 | ||
Allowance, end of period | 191,340 | 163,058 | |
Commercial Lending | CRE | |||
Allowance for loan losses | |||
Allowance, beginning of period | 41,237 | ||
Allowance, end of period | 39,053 | 41,237 | |
Commercial Lending | Residential loan | Multifamily | |||
Allowance for loan losses | |||
Allowance, beginning of period | 19,109 | ||
Allowance, end of period | 19,283 | 19,109 | |
Commercial Lending | Construction and land | |||
Allowance for loan losses | |||
Allowance, beginning of period | 26,881 | ||
Allowance, end of period | 20,282 | 26,881 | |
Consumer Lending | Residential loan | Single-family | |||
Allowance for loan losses | |||
Allowance, beginning of period | 26,362 | ||
Allowance, end of period | 31,340 | 26,362 | |
Consumer Lending | HELOCs | |||
Allowance for loan losses | |||
Allowance, beginning of period | 7,354 | ||
Allowance, end of period | 5,774 | 7,354 | |
Consumer Lending | Other consumer | |||
Allowance for loan losses | |||
Allowance, beginning of period | 3,127 | ||
Allowance, end of period | 4,250 | 3,127 | |
Non-PCI loans | |||
Allowance for loan losses | |||
Allowance, beginning of period | 287,070 | 260,402 | 264,600 |
Provision for (reversal of) on loans | 65,043 | 49,129 | 31,959 |
Gross charge-offs | (59,433) | (38,975) | (48,508) |
Gross recoveries | 19,363 | 15,820 | 12,901 |
Net charge-offs | (40,070) | (23,155) | (35,607) |
Foreign currency translation adjustments | (743) | 694 | (550) |
Allowance, end of period | 311,300 | 287,070 | 260,402 |
Non-PCI loans | Commercial Lending | C&I | |||
Allowance for loan losses | |||
Gross charge-offs | (59,244) | (38,118) | (47,739) |
Gross recoveries | 10,417 | 11,371 | 9,003 |
Non-PCI loans | Commercial Lending | CRE | |||
Allowance for loan losses | |||
Gross charge-offs | 0 | 0 | (464) |
Gross recoveries | 5,194 | 2,111 | 1,488 |
Non-PCI loans | Commercial Lending | Residential loan | Multifamily | |||
Allowance for loan losses | |||
Gross charge-offs | 0 | (635) | (29) |
Gross recoveries | 1,757 | 1,357 | 1,476 |
Non-PCI loans | Commercial Lending | Construction and land | |||
Allowance for loan losses | |||
Gross charge-offs | 0 | (149) | (117) |
Gross recoveries | 740 | 259 | 203 |
Non-PCI loans | Consumer Lending | Residential loan | Single-family | |||
Allowance for loan losses | |||
Gross charge-offs | (1) | (1) | (137) |
Gross recoveries | 1,214 | 546 | 401 |
Non-PCI loans | Consumer Lending | HELOCs | |||
Allowance for loan losses | |||
Gross charge-offs | 0 | (55) | (9) |
Gross recoveries | 38 | 24 | 7 |
Non-PCI loans | Consumer Lending | Other consumer | |||
Allowance for loan losses | |||
Gross charge-offs | (188) | (17) | (13) |
Gross recoveries | 3 | 152 | 323 |
PCI Loans | |||
Allowance for loan losses | |||
Allowance, beginning of period | 58 | 118 | 359 |
Provision for (reversal of) on loans | (36) | (60) | (241) |
Allowance, end of period | 22 | 58 | $ 118 |
PCI Loans | Commercial Lending | C&I | |||
Allowance for loan losses | |||
Allowance, beginning of period | 0 | ||
Allowance, end of period | 0 | 0 | |
PCI Loans | Commercial Lending | CRE | |||
Allowance for loan losses | |||
Allowance, beginning of period | 58 | ||
Allowance, end of period | 22 | 58 | |
PCI Loans | Commercial Lending | Residential loan | Multifamily | |||
Allowance for loan losses | |||
Allowance, beginning of period | 0 | ||
Allowance, end of period | 0 | 0 | |
PCI Loans | Commercial Lending | Construction and land | |||
Allowance for loan losses | |||
Allowance, beginning of period | 0 | ||
Allowance, end of period | 0 | 0 | |
PCI Loans | Consumer Lending | Residential loan | Single-family | |||
Allowance for loan losses | |||
Allowance, beginning of period | 0 | ||
Allowance, end of period | 0 | 0 | |
PCI Loans | Consumer Lending | HELOCs | |||
Allowance for loan losses | |||
Allowance, beginning of period | 0 | ||
Allowance, end of period | 0 | 0 | |
PCI Loans | Consumer Lending | Other consumer | |||
Allowance for loan losses | |||
Allowance, beginning of period | 0 | ||
Allowance, end of period | $ 0 | $ 0 |
Loans Receivable and Allowan_13
Loans Receivable and Allowance for Credit Losses (Summary of Activities in Allowance for Unfunded Credit Reserves) (Details) - Allowance for Unfunded Credit Reserve - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for unfunded credit reserves | |||
Beginning balance | $ 13,318 | $ 16,121 | $ 20,360 |
(Reversal of) provision for unfunded credit reserves | (752) | (2,803) | (4,239) |
Ending balance | $ 12,566 | $ 13,318 | $ 16,121 |
Loans Receivable and Allowan_14
Loans Receivable and Allowance for Credit Losses (Allowance for Loan Losses and Recorded Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Allowance for loan losses | ||||
Allowance for loan losses | $ 311,322 | $ 287,128 | $ 260,520 | |
Recorded investment in loans | ||||
Financing receivables, gross | 32,385,189 | 28,975,718 | ||
Total allowance for loan losses | 32,385,189 | 28,975,718 | ||
Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 4,032 | 19,895 | ||
Collectively evaluated for impairment | 307,268 | 267,175 | ||
Allowance for loan losses | 311,300 | 287,070 | 260,402 | $ 264,600 |
Recorded investment in loans | ||||
Individually evaluated for impairment | 118,918 | 170,887 | ||
Collectively evaluated for impairment | 31,958,248 | 28,322,544 | ||
Financing receivables, gross | 32,077,166 | 28,493,431 | ||
Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 22 | 58 | $ 118 | $ 359 |
Recorded investment in loans | ||||
Financing receivables, gross | 308,023 | 482,287 | ||
Commercial Lending | ||||
Recorded investment in loans | ||||
Financing receivables, gross | 24,326,631 | 22,210,001 | ||
Commercial Lending | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 1,502 | 16,866 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 24,124,659 | 21,859,099 | ||
Commercial Lending | Acquired with deteriorated credit quality | ||||
Recorded investment in loans | ||||
Financing receivables, gross | 201,972 | 350,902 | ||
Commercial Lending | C&I | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 191,340 | 163,058 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 12,056,970 | 10,697,231 | ||
Total allowance for loan losses | 12,056,970 | 10,697,231 | ||
Commercial Lending | C&I | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 1,219 | 16,094 | ||
Collectively evaluated for impairment | 190,121 | 146,964 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 57,088 | 98,685 | ||
Collectively evaluated for impairment | 11,997,730 | 10,586,751 | ||
Financing receivables, gross | 12,054,818 | 10,685,436 | ||
Commercial Lending | C&I | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 0 | 0 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 2,152 | 11,795 | ||
Commercial Lending | CRE | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 39,053 | 41,237 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 9,449,835 | 8,936,897 | ||
Total allowance for loan losses | 9,449,835 | 8,936,897 | ||
Commercial Lending | CRE | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 208 | 684 | ||
Collectively evaluated for impairment | 38,823 | 40,495 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 30,352 | 35,556 | ||
Collectively evaluated for impairment | 9,254,231 | 8,623,653 | ||
Financing receivables, gross | 9,284,583 | 8,659,209 | ||
Commercial Lending | CRE | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 22 | 58 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 165,252 | 277,688 | ||
Commercial Lending | Residential loan | Multifamily | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 19,283 | 19,109 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 2,281,032 | 1,916,176 | ||
Total allowance for loan losses | 2,281,032 | 1,916,176 | ||
Commercial Lending | Residential loan | Multifamily | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 75 | 88 | ||
Collectively evaluated for impairment | 19,208 | 19,021 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 5,560 | 10,636 | ||
Collectively evaluated for impairment | 2,240,946 | 1,844,492 | ||
Financing receivables, gross | 2,246,506 | 1,855,128 | ||
Commercial Lending | Residential loan | Multifamily | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 0 | 0 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 34,526 | 61,048 | ||
Commercial Lending | Construction and land | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 20,282 | 26,881 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 538,794 | 659,697 | ||
Total allowance for loan losses | 538,794 | 659,697 | ||
Commercial Lending | Construction and land | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 20,282 | 26,881 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 0 | 3,973 | ||
Collectively evaluated for impairment | 538,752 | 655,353 | ||
Financing receivables, gross | 538,752 | 659,326 | ||
Commercial Lending | Construction and land | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 0 | 0 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 42 | 371 | ||
Consumer Lending | ||||
Recorded investment in loans | ||||
Financing receivables, gross | 8,058,558 | 6,765,717 | ||
Consumer Lending | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 2,530 | 3,029 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 7,952,507 | 6,634,332 | ||
Consumer Lending | Acquired with deteriorated credit quality | ||||
Recorded investment in loans | ||||
Financing receivables, gross | 106,051 | 131,385 | ||
Consumer Lending | Residential loan | Single-family | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 31,340 | 26,362 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 6,036,454 | 4,646,289 | ||
Total allowance for loan losses | 6,036,454 | 4,646,289 | ||
Consumer Lending | Residential loan | Single-family | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 34 | 534 | ||
Collectively evaluated for impairment | 31,306 | 25,828 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 13,460 | 14,338 | ||
Collectively evaluated for impairment | 5,925,798 | 4,514,573 | ||
Financing receivables, gross | 5,939,258 | 4,528,911 | ||
Consumer Lending | Residential loan | Single-family | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 0 | 0 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 97,196 | 117,378 | ||
Consumer Lending | HELOCs | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 5,774 | 7,354 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 1,690,834 | 1,782,924 | ||
Total allowance for loan losses | 1,690,834 | 1,782,924 | ||
Consumer Lending | HELOCs | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 5 | 4 | ||
Collectively evaluated for impairment | 5,769 | 7,350 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 9,956 | 5,208 | ||
Collectively evaluated for impairment | 1,672,023 | 1,763,709 | ||
Financing receivables, gross | 1,681,979 | 1,768,917 | ||
Consumer Lending | HELOCs | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 0 | 0 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 8,855 | 14,007 | ||
Consumer Lending | Other consumer | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 4,250 | 3,127 | ||
Recorded investment in loans | ||||
Financing receivables, gross | 331,270 | 336,504 | ||
Total allowance for loan losses | 331,270 | 336,504 | ||
Consumer Lending | Other consumer | Non-PCI loans | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 2,491 | 2,491 | ||
Collectively evaluated for impairment | 1,759 | 636 | ||
Recorded investment in loans | ||||
Individually evaluated for impairment | 2,502 | 2,491 | ||
Collectively evaluated for impairment | 328,768 | 334,013 | ||
Financing receivables, gross | 331,270 | 336,504 | ||
Consumer Lending | Other consumer | Acquired with deteriorated credit quality | ||||
Allowance for loan losses | ||||
Allowance for loan losses | 0 | 0 | ||
Recorded investment in loans | ||||
Financing receivables, gross | $ 0 | $ 0 |
Loans Receivable and Allowan_15
Loans Receivable and Allowance for Credit Losses (Accretable Yield for PCI Loans) (Details) - PCI Loans - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Changes in the accretable yield for the PCI loans | |||
Beginning balance | $ 101,977 | $ 136,247 | $ 214,907 |
Accretion | (34,662) | (42,487) | (68,708) |
Changes in expected cash flows | 7,555 | 8,217 | (9,952) |
Ending balance | $ 74,870 | $ 101,977 | $ 136,247 |
Loans Receivable and Allowan_16
Loans Receivable and Allowance for Credit Losses (Loans Held-for-Sale Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
LOANS HELD-FOR-SALE | ||
Loans held-for-sale | $ 275 | $ 85 |
Branch assets held-for-sale | 0 | 91,318 |
Loans | Desert Community Bank | ||
LOANS HELD-FOR-SALE | ||
Loans held-for-sale, including loans pending sales and excluded from discontinued operation | 78,200 | |
Branch assets held-for-sale | 78,100 | |
Single-family | Residential loan | ||
LOANS HELD-FOR-SALE | ||
Loans held-for-sale | $ 275 | |
Single-family | Consumer Lending | Residential loan | ||
LOANS HELD-FOR-SALE | ||
Loans held-for-sale | $ 85 |
Loans Receivable and Allowan_17
Loans Receivable and Allowance for Credit Losses (Loans Held-for-Sale Activity) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | [1] | $ 481,593,000 | $ 613,088,000 | $ 819,100,000 | |
Loans transferred from held-for-sale to held-for-investment | 2,306,000 | 0 | 4,943,000 | ||
Sales | 511,101,000 | 577,964,000 | 628,669,000 | ||
Securitization of loans held-for-investment | 201,675,000 | ||||
Purchases | 596,937,000 | 534,730,000 | 1,141,028,000 | ||
Gross charge-offs, loans transferred from held-for-investment to held-for-sale | 14,600,000 | 473,000 | 1,900,000 | ||
Gain (loss) on sale of loans and leases | 6,600,000 | 8,900,000 | 10,600,000 | ||
C&I | Loans receivable, originated | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 309,700,000 | ||||
Commercial And Industrial, Commercial Real Estate, And Single-Family Residential Loans | Loans receivable, originated | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 178,200,000 | ||||
Commercial And Industrial, Commercial Real Estate and Multi-Family Residential | Loans receivable, originated | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 369,600,000 | ||||
Loans Sold in Secondary Market | Loans receivable, purchased | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 201,400,000 | 399,800,000 | 259,100,000 | ||
Commercial Lending | C&I | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 413,844,000 | 476,644,000 | 434,137,000 | ||
Securitization of loans held-for-investment | 0 | ||||
Purchases | 525,767,000 | 503,359,000 | 646,793,000 | ||
Commercial Lending | CRE | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 62,291,000 | 52,217,000 | 110,927,000 | ||
Securitization of loans held-for-investment | 0 | ||||
Purchases | 0 | 0 | 0 | ||
Commercial Lending | Residential loan | Multifamily | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 0 | 531,000 | 61,268,000 | ||
Securitization of loans held-for-investment | 201,675,000 | ||||
Purchases | 7,389,000 | 2,311,000 | 5,658,000 | ||
Commercial Lending | Construction and land | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 0 | 1,609,000 | 4,245,000 | ||
Securitization of loans held-for-investment | 0 | ||||
Purchases | 0 | 0 | 0 | ||
Consumer Lending | Residential loan | Single-family | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 34,966,000 | 21,058,000 | 18,092,000 | ||
Securitization of loans held-for-investment | 0 | ||||
Purchases | 63,781,000 | 29,060,000 | 488,577,000 | ||
Consumer Lending | HELOCs | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 0 | 0 | 0 | ||
Securitization of loans held-for-investment | 0 | ||||
Purchases | 0 | 0 | 0 | ||
Consumer Lending | Other consumer | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Sales | 0 | 25,905,000 | 0 | ||
Securitization of loans held-for-investment | 0 | ||||
Purchases | 0 | 0 | 0 | ||
Residential | Residential loan | Multifamily | Loans receivable, originated | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Gain (loss) on sale of loans and leases | $ 1,100,000 | ||||
Servicing asset, amortized cost | 641,000 | ||||
Held-to-maturity investment security | $ 160,100,000 | ||||
Residential | Residential loan | Single-family | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Purchases | 488,300,000 | ||||
Loans | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 481,593,000 | 534,956,000 | 819,100,000 | ||
Loans transferred from held-for-sale to held-for-investment | 2,306,000 | 4,943,000 | |||
Lower of cost or fair value adjustment | 0 | 61,000 | 5,600,000 | ||
Loans | Commercial Lending | C&I | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 404,321,000 | 476,644,000 | 434,137,000 | ||
Loans transferred from held-for-sale to held-for-investment | 2,306,000 | 0 | |||
Loans | Commercial Lending | CRE | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 62,291,000 | 52,217,000 | 110,927,000 | ||
Loans transferred from held-for-sale to held-for-investment | 0 | 0 | |||
Loans | Commercial Lending | Residential loan | Multifamily | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 0 | 531,000 | 269,791,000 | ||
Loans transferred from held-for-sale to held-for-investment | 0 | 4,943,000 | |||
Loans | Commercial Lending | Construction and land | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 0 | 1,609,000 | 4,245,000 | ||
Loans transferred from held-for-sale to held-for-investment | 0 | 0 | |||
Loans | Consumer Lending | Residential loan | Single-family | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 14,981,000 | 249,000 | 0 | ||
Loans transferred from held-for-sale to held-for-investment | 0 | 0 | |||
Loans | Consumer Lending | HELOCs | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 0 | 0 | 0 | ||
Loans transferred from held-for-sale to held-for-investment | 0 | 0 | |||
Loans | Consumer Lending | Other consumer | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 0 | 3,706,000 | 0 | ||
Loans transferred from held-for-sale to held-for-investment | $ 0 | $ 0 | |||
Desert Community Bank | Loans | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 78,132,000 | ||||
Desert Community Bank | Loans | Commercial Lending | C&I | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 17,590,000 | ||||
Desert Community Bank | Loans | Commercial Lending | CRE | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 36,783,000 | ||||
Desert Community Bank | Loans | Commercial Lending | Residential loan | Multifamily | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 12,448,000 | ||||
Desert Community Bank | Loans | Commercial Lending | Construction and land | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 241,000 | ||||
Desert Community Bank | Loans | Consumer Lending | Residential loan | Single-family | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 6,416,000 | ||||
Desert Community Bank | Loans | Consumer Lending | HELOCs | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | 4,309,000 | ||||
Desert Community Bank | Loans | Consumer Lending | Other consumer | |||||
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | |||||
Loans transferred from held-for-investment to held-for-sale | $ 345,000 | ||||
[1] | December 31, 2017 amount includes loans transferred from held-for-investment to branch assets held-for-sale. |
Investments in Qualified Affo_3
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities (Investments in Qualified Affordable Housing Partnerships, Net) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities [Abstract] | |||
Minimum compliance period to fully utilize tax credits | 15 years | ||
Investments in qualified affordable housing partnerships, net | $ 184,873 | $ 162,824 | |
Accrued expenses and other liabilities — Unfunded commitments | 80,764 | 55,815 | |
Tax credits and other tax benefits recognized | 39,262 | 46,698 | $ 37,252 |
Amortization expense included in income tax expense | $ 28,046 | $ 38,464 | $ 28,206 |
Investments in Qualified Affo_4
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities (Investments in Tax Credit and Other Investments, Net) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities [Abstract] | |||
Investments in tax credit and other investments, net | $ 231,635 | $ 224,551 | |
Investments in Tax Credit and Other Investments, Net | |||
Amortization of tax credit and other investments | 89,628 | 87,950 | $ 83,446 |
Investments in Tax Credit and Other Investments, Net | |||
Investments in Tax Credit and Other Investments, Net | |||
Accrued expenses and other liabilities - Unfunded commitments | $ 80,228 | $ 113,372 |
Investments in Qualified Affo_5
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net and Variable Interest Entities (Estimated Unfunded Commitments) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Jan. 01, 2018 | |
Investments in Tax Credit and Other Investments, Net [Line Items] | ||
Marketable equity securities | $ 31,900 | |
Unrealized losses recognized on marketable equity securities held | $ (547) | |
Unfunded commitments related to investments in qualified affordable housing partnerships, tax credit and other investments | ||
2,019 | 108,602 | |
2,020 | 30,400 | |
2,021 | 8,615 | |
2,022 | 6,224 | |
2,023 | 5,401 | |
Thereafter | 1,750 | |
Total | 160,992 | |
Investments In Tax Credit And Other Investments, Net | ||
Investments in Tax Credit and Other Investments, Net [Line Items] | ||
Marketable equity securities | $ 31,200 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Goodwill Reporting Unit) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($)segment | |
Goodwill [Line Items] | |
Number of reportable segments | segment | 3 |
Goodwill [Roll Forward] | |
Goodwill, beginning | $ 469,433 |
Goodwill, end | 465,547 |
Consumer and Business Banking | |
Goodwill [Roll Forward] | |
Goodwill, beginning | 357,207 |
Goodwill, end | 353,321 |
Commercial Banking | |
Goodwill [Roll Forward] | |
Goodwill, beginning | 112,226 |
Goodwill, end | 112,226 |
Desert Community Bank | |
Goodwill [Roll Forward] | |
Disposition | (3,886) |
Desert Community Bank | Consumer and Business Banking | |
Goodwill [Roll Forward] | |
Disposition | (3,886) |
Desert Community Bank | Commercial Banking | |
Goodwill [Roll Forward] | |
Disposition | $ 0 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Goodwill) (Details) | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Fair value income approach, net income projection period | 3 years |
Goodwill, impairment loss | $ 0 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets (Core Deposit Intangibles) (Details) - Core Deposit Intangibles - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment write-offs/write downs on the remaining core deposit intangibles | $ 0 | $ 0 | $ 0 | |
Gross balance | 86,099,000 | 100,166,000 | ||
Accumulated amortization | (71,570,000) | (79,112,000) | ||
Net carrying balance | $ 14,529,000 | $ 21,054,000 | ||
Desert Community Bank | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment write-offs/write downs on the remaining core deposit intangibles | $ 1,000,000 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets (Amortization Expense of Core Deposit Intangibles) (Details) - Core Deposit Intangibles - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense related to the core deposit intangible assets | $ 5,500 | $ 6,900 | $ 8,100 |
Estimated future amortization expense | |||
2,019 | 4,518 | ||
2,020 | 3,634 | ||
2,021 | 2,749 | ||
2,022 | 1,865 | ||
2,023 | 1,199 | ||
Thereafter | 564 | ||
Net carrying balance | $ 14,529 | $ 21,054 |
Deposits (Balances for Core Dep
Deposits (Balances for Core Deposits and Time Deposits) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Core Deposits | ||
Noninterest-bearing demand | $ 11,377,009 | $ 10,887,306 |
Interest-bearing checking | 4,584,447 | 4,419,089 |
Money market | 8,262,677 | 8,359,425 |
Savings | 2,146,429 | 2,308,494 |
Total core deposits | 26,370,562 | 25,974,314 |
Time deposits: | ||
Less than $100,000 | 1,957,121 | 1,176,973 |
$100,000 or greater | 7,111,945 | 4,463,776 |
Total time deposits | 9,069,066 | 5,640,749 |
Total deposits | 35,439,628 | 31,615,063 |
Hong Kong and China | ||
Time deposits: | ||
Total time deposits | 1,210,000 | 841,300 |
Interest-bearing demand deposit | 621,300 | 456,400 |
Geographic Distribution, Foreign | Hong Kong and China | ||
Time deposits: | ||
Time deposits, at or above FDIC insurance limit | 1,190,000 | 814,600 |
Geographic Distribution, Domestic | United States | ||
Time deposits: | ||
Time deposits, at or above FDIC insurance limit | $ 4,450,000 | $ 2,370,000 |
Deposits (Scheduled Maturities
Deposits (Scheduled Maturities of Time Deposits) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
DEPOSIT ACCOUNTS | ||
2,019 | $ 8,413,358 | |
2,020 | 484,386 | |
2,021 | 68,186 | |
2,022 | 67,182 | |
2,023 | 9,026 | |
Thereafter | 26,928 | |
Total time deposits | $ 9,069,066 | $ 5,640,749 |
Federal Home Loan Bank Advanc_3
Federal Home Loan Bank Advances and Long-Term Debt (FHLB Advances) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
FHLB advances | $ 326,172 | $ 323,891 |
Available borrowing capacity from FHLB advances | $ 6,110,000 | $ 6,830,000 |
FHLB Advances | ||
Debt Instrument [Line Items] | ||
Weighted-average rate (as a percent) | 2.87% | 1.85% |
FHLB advances that will mature in the next five years | ||
2,019 | $ 81,900 | |
2,020 | 0 | |
2,021 | 0 | |
2,022 | $ 244,300 | |
FHLB Advances | Minimum | ||
Debt Instrument [Line Items] | ||
Variable interest rate | 1.79% | 0.67% |
FHLB Advances | Maximum | ||
Debt Instrument [Line Items] | ||
Variable interest rate | 2.98% | 1.95% |
Federal Home Loan Bank Advanc_4
Federal Home Loan Bank Advances and Long-Term Debt (Long-Term Debt) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Long-term debt | $ 146,835 | $ 171,577 |
Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | 146,835 | 146,577 |
Term loan | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 0 | $ 25,000 |
Federal Home Loan Bank Advanc_5
Federal Home Loan Bank Advances and Long-Term Debt (Junior Subordinated Debt) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)trust | Dec. 31, 2017USD ($) | |
Debt Instrument [Line Items] | ||
Number of wholly owned subsidiaries that are statutory business trusts | trust | 6 | |
Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Number of statutory business trusts formed for the purpose of issuing junior subordinated debt to third party investors | trust | 6 | |
Aggregate Principal Amount of Trust Securities | $ 4,641 | $ 4,641 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 148,000 | 148,000 |
East West Capital Trust V | Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Stated Interest Rate, base | 3-month Libor + | |
Stated Interest Rate, basis spread (as a percent) | 1.80% | |
Current Rate | 4.45% | |
Aggregate Principal Amount of Trust Securities | $ 464 | 464 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 15,000 | 15,000 |
East West Capital Trust VI | Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Stated Interest Rate, base | 3-month Libor + | |
Stated Interest Rate, basis spread (as a percent) | 1.50% | |
Current Rate | 4.29% | |
Aggregate Principal Amount of Trust Securities | $ 619 | 619 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 20,000 | 20,000 |
East West Capital Trust VII | Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Stated Interest Rate, base | 3-month Libor + | |
Stated Interest Rate, basis spread (as a percent) | 1.35% | |
Current Rate | 4.14% | |
Aggregate Principal Amount of Trust Securities | $ 928 | 928 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 30,000 | 30,000 |
East West Capital Trust VIII | Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Stated Interest Rate, base | 3-month Libor + | |
Stated Interest Rate, basis spread (as a percent) | 1.40% | |
Current Rate | 4.14% | |
Aggregate Principal Amount of Trust Securities | $ 619 | 619 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 18,000 | 18,000 |
East West Capital Trust IX | Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Stated Interest Rate, base | 3-month Libor + | |
Stated Interest Rate, basis spread (as a percent) | 1.90% | |
Current Rate | 4.69% | |
Aggregate Principal Amount of Trust Securities | $ 928 | 928 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 30,000 | 30,000 |
MCBI Statutory Trust I | Junior subordinated debt | ||
Debt Instrument [Line Items] | ||
Stated Interest Rate, base | 3-month Libor + | |
Stated Interest Rate, basis spread (as a percent) | 1.55% | |
Current Rate | 4.34% | |
Aggregate Principal Amount of Trust Securities | $ 1,083 | 1,083 |
Aggregate Principal Amount of the Junior Subordinated Debts | $ 35,000 | $ 35,000 |
Federal Home Loan Bank Advanc_6
Federal Home Loan Bank Advances and Long-Term Debt (Term Loan) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | |||
Long-term debt | $ 146,835,000 | $ 171,577,000 | |
Term loan | |||
Debt Instrument [Line Items] | |||
Term loan, face amount | $ 100,000,000 | ||
Term | 3 years | ||
Quarterly principal repayment | $ 5,000,000 | ||
Weighted-average rate (as a percent) | 3.60% | 2.70% | |
Long-term debt | $ 0 | $ 25,000,000 | |
LIBOR | Term loan | |||
Debt Instrument [Line Items] | |||
Stated Interest Rate, basis spread (as a percent) | 1.50% | ||
Stated Interest Rate, base | 3-month Libor + |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | $ 53,644,000 | $ 54,899,000 | $ 52,254,000 | ||||||||
Other sources of noninterest income | 157,265,000 | 202,849,000 | 130,024,000 | ||||||||
Total noninterest income | $ 41,695,000 | $ 46,502,000 | $ 48,268,000 | $ 74,444,000 | $ 45,206,000 | $ 49,470,000 | $ 47,244,000 | $ 115,828,000 | 210,909,000 | 257,748,000 | 182,278,000 |
Contract with customer, asset, net | 0 | 0 | 0 | 0 | |||||||
Contracts with customers, receivables, net | $ 0 | $ 0 | 0 | 0 | |||||||
Deposit service charges and related fee income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 35,223,000 | 36,049,000 | 34,510,000 | ||||||||
Card income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 4,636,000 | 4,876,000 | 5,144,000 | ||||||||
Wealth management fees | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 13,785,000 | 13,974,000 | 12,600,000 | ||||||||
Consumer and Business Banking | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 39,711,000 | 40,265,000 | 37,742,000 | ||||||||
Other sources of noninterest income | 45,896,000 | 14,186,000 | 13,509,000 | ||||||||
Total noninterest income | 85,607,000 | 54,451,000 | 51,251,000 | ||||||||
Consumer and Business Banking | Deposit service charges and related fee income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 22,474,000 | 24,109,000 | 23,965,000 | ||||||||
Consumer and Business Banking | Card income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 3,880,000 | 3,938,000 | 4,352,000 | ||||||||
Consumer and Business Banking | Wealth management fees | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 13,357,000 | 12,218,000 | 9,425,000 | ||||||||
Commercial Banking | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 13,510,000 | 14,170,000 | 14,134,000 | ||||||||
Other sources of noninterest income | 96,777,000 | 95,919,000 | 81,422,000 | ||||||||
Total noninterest income | 110,287,000 | 110,089,000 | 95,556,000 | ||||||||
Commercial Banking | Deposit service charges and related fee income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 12,326,000 | 11,476,000 | 10,200,000 | ||||||||
Commercial Banking | Card income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 756,000 | 938,000 | 763,000 | ||||||||
Commercial Banking | Wealth management fees | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 428,000 | 1,756,000 | 3,171,000 | ||||||||
Other | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 423,000 | 464,000 | 378,000 | ||||||||
Other sources of noninterest income | 14,592,000 | 92,744,000 | 35,093,000 | ||||||||
Total noninterest income | 15,015,000 | 93,208,000 | 35,471,000 | ||||||||
Other | Deposit service charges and related fee income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 423,000 | 464,000 | 345,000 | ||||||||
Other | Card income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 0 | 0 | 29,000 | ||||||||
Other | Wealth management fees | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | $ 0 | $ 0 | $ 4,000 |
Income Taxes (Components of Inc
Income Taxes (Components of Income Tax Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current income tax expense: | |||||||||||
Federal | $ 63,035 | $ 120,968 | $ 63,642 | ||||||||
State | 64,917 | 72,837 | 48,558 | ||||||||
Foreign | 3,513 | 1,815 | 1,345 | ||||||||
Total current income tax expense | 131,465 | 195,620 | 113,545 | ||||||||
Deferred income tax (benefit) expense: | |||||||||||
Federal | (11,870) | 40,057 | 25,296 | ||||||||
State | (4,600) | (6,201) | 1,883 | ||||||||
Foreign | 0 | 0 | (213) | ||||||||
Total deferred income tax (benefit) expense | (16,470) | 33,856 | 26,966 | ||||||||
Income tax expense | $ 32,037 | $ 33,563 | $ 24,643 | $ 24,752 | $ 89,229 | $ 42,624 | $ 39,355 | $ 58,268 | $ 114,995 | $ 229,476 | $ 140,511 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2018 | |
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [1] | $ 0 | |||||
Excess tax benefits related to stock compensation expense recognized in income tax expense | $ 5,089 | $ 4,775 | |||||
Excess tax benefits related to stock compensation expense recognized in additional paid-in capital | $ 1,055 | ||||||
Tax cuts and jobs act, change in tax rate, income tax expense (benefit) | $ 41,700 | 985 | $ 42,700 | ||||
Remeasurements of certain deferred tax assets and liabilities, net | 33,100 | ||||||
Remeasurements of Tax credits and other tax benefits related to qualified affordable housing partnerships | 7,900 | ||||||
Deferred tax benefits, net unrealized losses on available-for-sale securities recognized as other comprehensive income | 3,600 | 1,500 | 16,400 | ||||
Valuation allowance | 256 | 128 | 256 | 128 | |||
Deferred tax assets, net | $ 97,406 | 117,641 | 97,406 | 117,641 | |||
Foreign pre-tax earnings | 14,100 | $ 7,300 | $ 4,500 | ||||
Undistributed earnings of foreign subsidiaries | 52,300 | 52,300 | |||||
Amount of unrecognized deferred tax liability | $ 6,200 | $ 6,200 | |||||
Retained Earnings | |||||||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [1] | 6,656 | |||||
Retained Earnings | Accounting Standards Update 2018-02 | |||||||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | 6,656 | ||||||
AOCI, net of Tax | |||||||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [1] | (6,656) | |||||
AOCI, net of Tax | Accounting Standards Update 2018-02 | |||||||
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements [Line Items] | |||||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | $ (6,656) | ||||||
[1] | Represents amounts reclassified from AOCI to retained earnings due to the early adoption of ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. |
Income Taxes (Reconciliation of
Income Taxes (Reconciliation of Federal Statutory Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Difference between the effective tax rate implicit in the consolidated financial statements and the statutory federal income tax rate | |||
Federal income tax provision at statutory rate (as a percent) | 21.00% | 35.00% | 35.00% |
State franchise taxes, net of federal tax effect (as a percent) | 5.80% | 5.90% | 6.10% |
Tax Cuts and Jobs Act of 2017 (as a percent) | 0.10% | 4.50% | 0.00% |
Tax credits, net of amortization (as a percent) | (13.30%) | (15.10%) | (18.30%) |
Other, net (as a percent) | 0.40% | 0.90% | 1.80% |
Effective income tax rate (as a percent) | 14.00% | 31.20% | 24.60% |
Income Taxes (Deferred Tax Asse
Income Taxes (Deferred Tax Assets and Deferred Tax Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets: | ||
Allowance for loan losses and OREO reserves | $ 98,242 | $ 93,164 |
Tax credit carryforwards | 26,831 | 0 |
Unrealized losses on securities | 20,233 | 16,084 |
Deferred compensation | 19,000 | 16,703 |
Interest income on nonaccrual loans | 8,602 | 7,847 |
State taxes | 4,898 | 5,217 |
Mortgage servicing assets | 2,011 | 3,933 |
Fixed assets | 885 | 0 |
Other, net | 7,546 | 6,322 |
Total gross deferred tax assets | 188,248 | 149,270 |
Valuation allowance | (128) | (256) |
Total deferred tax assets, net of valuation allowance | 188,120 | 149,014 |
Deferred tax liabilities: | ||
Equipment financing | (30,523) | (25,604) |
Investments in qualified affordable housing partnerships, tax credit and other investments, net | (27,292) | (3,813) |
Core deposit intangibles | (4,542) | (6,525) |
Acquired loans and OREO | (2,017) | (3,412) |
FHLB stock dividends | (1,866) | (1,868) |
Acquired debt | (1,771) | (1,851) |
Prepaid expenses | (1,207) | (5,659) |
Fixed assets | 0 | (1,757) |
Other, net | (1,261) | (1,119) |
Total gross deferred tax liabilities | (70,479) | (51,608) |
Net deferred tax assets | 117,641 | 97,406 |
Federal | ||
Deferred tax assets: | ||
Allowance for loan losses and OREO reserves | 66,510 | 62,942 |
Tax credit carryforwards | 24,116 | 0 |
Unrealized losses on securities | 13,127 | 10,730 |
Deferred compensation | 13,081 | 11,483 |
Interest income on nonaccrual loans | 5,922 | 5,396 |
State taxes | 4,898 | 5,217 |
Mortgage servicing assets | 1,406 | 2,727 |
Fixed assets | (1,047) | 0 |
Other, net | 2,027 | 744 |
Total gross deferred tax assets | 130,040 | 99,239 |
Valuation allowance | 0 | 0 |
Total deferred tax assets, net of valuation allowance | 130,040 | 99,239 |
Deferred tax liabilities: | ||
Equipment financing | (26,040) | (21,844) |
Investments in qualified affordable housing partnerships, tax credit and other investments, net | (31,098) | (10,838) |
Core deposit intangibles | (3,048) | (4,408) |
Acquired loans and OREO | (1,293) | (2,252) |
FHLB stock dividends | (1,285) | (1,285) |
Acquired debt | (1,219) | (1,273) |
Prepaid expenses | (831) | (4,142) |
Fixed assets | 0 | (2,671) |
Other, net | (923) | (510) |
Total gross deferred tax liabilities | (65,737) | (49,223) |
Net deferred tax assets | 64,303 | 50,016 |
State | ||
Deferred tax assets: | ||
Allowance for loan losses and OREO reserves | 30,366 | 28,857 |
Tax credit carryforwards | 2,715 | 0 |
Unrealized losses on securities | 7,106 | 5,354 |
Deferred compensation | 5,919 | 5,220 |
Interest income on nonaccrual loans | 2,680 | 2,451 |
State taxes | 0 | 0 |
Mortgage servicing assets | 605 | 1,206 |
Fixed assets | 1,932 | 0 |
Other, net | 5,422 | 5,481 |
Total gross deferred tax assets | 56,745 | 48,569 |
Valuation allowance | (128) | (256) |
Total deferred tax assets, net of valuation allowance | 56,617 | 48,313 |
Deferred tax liabilities: | ||
Equipment financing | (4,483) | (3,760) |
Investments in qualified affordable housing partnerships, tax credit and other investments, net | 3,806 | 7,025 |
Core deposit intangibles | (1,494) | (2,117) |
Acquired loans and OREO | (318) | (754) |
FHLB stock dividends | (581) | (583) |
Acquired debt | (552) | (578) |
Prepaid expenses | (376) | (1,517) |
Fixed assets | 0 | 914 |
Other, net | (338) | (609) |
Total gross deferred tax liabilities | (4,336) | (1,979) |
Net deferred tax assets | 52,281 | 46,334 |
Foreign | ||
Deferred tax assets: | ||
Allowance for loan losses and OREO reserves | 1,366 | 1,365 |
Tax credit carryforwards | 0 | 0 |
Unrealized losses on securities | 0 | 0 |
Deferred compensation | 0 | 0 |
Interest income on nonaccrual loans | 0 | 0 |
State taxes | 0 | 0 |
Mortgage servicing assets | 0 | 0 |
Fixed assets | 0 | 0 |
Other, net | 97 | 97 |
Total gross deferred tax assets | 1,463 | 1,462 |
Valuation allowance | 0 | 0 |
Total deferred tax assets, net of valuation allowance | 1,463 | 1,462 |
Deferred tax liabilities: | ||
Equipment financing | 0 | 0 |
Investments in qualified affordable housing partnerships, tax credit and other investments, net | 0 | 0 |
Core deposit intangibles | 0 | 0 |
Acquired loans and OREO | (406) | (406) |
FHLB stock dividends | 0 | 0 |
Acquired debt | 0 | 0 |
Prepaid expenses | 0 | 0 |
Fixed assets | 0 | 0 |
Other, net | 0 | 0 |
Total gross deferred tax liabilities | (406) | (406) |
Net deferred tax assets | $ 1,057 | $ 1,056 |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Position) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Activity related to unrecognized tax position | |||
Beginning Balance | $ 10,419 | $ 10,419 | $ 7,125 |
Additions for tax positions related to prior years | 0 | 0 | 5,819 |
Deductions for tax positions related to prior years | (3,969) | 0 | 0 |
Settlements with taxing authorities | (2,072) | 0 | (2,525) |
Ending Balance | 4,378 | 10,419 | 10,419 |
Total amount of unrecognized tax position that, if recognized, would impact the effective tax rate | 3,500 | 8,200 | |
(Reversal) charge of Interest and penalties related to income taxes | (2,000) | 450 | $ 6,200 |
Total interest and penalties accrued | $ 6,300 | $ 8,400 |
Commitments, Contingencies an_3
Commitments, Contingencies and Related Party Transactions (Credit-related Commitments) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Commitments and Contingencies Disclosure [Abstract] | ||
Loan commitments | $ 5,147,821 | $ 5,075,480 |
Commercial letters of credit and SBLCs | $ 1,796,647 | $ 1,655,897 |
Commitments, Contingencies an_4
Commitments, Contingencies and Related Party Transactions (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Guarantees | ||
Letters of credit | $ 1,796,647 | $ 1,655,897 |
Other Commitments | ||
Unfunded commitments for investments in AHP and other tax credit investments | 160,992 | |
Accrued Expenses and Other Liabilities | ||
Guarantees | ||
Allowance for unfunded credit reserves | 12,400 | 12,700 |
Other Commitments | ||
Unfunded commitments for investments in AHP and other tax credit investments | 161,000 | 169,200 |
Standby Letters of Credit | ||
Guarantees | ||
Letters of credit | 1,710,000 | |
Commercial Letters Of Credit | ||
Guarantees | ||
Letters of credit | 81,900 | |
Loans sold or securitized with recourse | Single Family Residential and Multi-Family Residential | Loans Sold or Securitized with Recourse | ||
Guarantees | ||
Carrying value of loans sold or securitized | 86,674 | 113,717 |
Maximum potential future payments | 33,758 | 38,722 |
Loans sold or securitized with recourse | Single Family Residential and Multi-Family Residential | Loans Sold or Securitized with Recourse | Accrued Expenses and Other Liabilities | ||
Guarantees | ||
Allowance for unfunded credit reserves | $ 123 | $ 214 |
Commitments, Contingencies an_5
Commitments, Contingencies and Related Party Transactions (Guarantees Outstanding) (Details) - Loans sold or securitized with recourse - Loans Sold or Securitized with Recourse - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Single Family Residential and Multi-Family Residential with recourse | ||
Guarantees | ||
Maximum potential future payments | $ 33,758 | $ 38,722 |
Carrying value of loans sold or securitized | 86,674 | 113,717 |
Single Family Residential with recourse | ||
Guarantees | ||
Maximum potential future payments | 16,700 | 20,240 |
Carrying value of loans sold or securitized | 16,700 | 20,240 |
Multifamily Residential with recourse | ||
Guarantees | ||
Maximum potential future payments | 17,058 | 18,482 |
Carrying value of loans sold or securitized | $ 69,974 | $ 93,477 |
Commitments, Contingencies an_6
Commitments, Contingencies and Related Party Transactions (Future Minimum Rental Payments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Lease Commitments | |||
Rental expense | $ 31,900 | $ 29,700 | $ 24,100 |
Estimated future minimum rental payments under non-cancelable operating leases | |||
2,019 | 42,008 | ||
2,020 | 36,169 | ||
2,021 | 30,735 | ||
2,022 | 21,395 | ||
2,023 | 14,986 | ||
Thereafter | 40,357 | ||
Total | $ 185,650 |
Stock Compensation Plans (Narra
Stock Compensation Plans (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares outstanding other than RSUs (in shares) | 0 | 0 | 0 |
RSUs | Ratably | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
RSUs | Cliff | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
RSUs | Cliff | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years | ||
Performance-Based RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average fair value of awards granted (in dollars per share) | $ 70.13 | $ 56.59 | $ 29.18 |
Total fair value of awards that vested | $ 16.2 | $ 13 | $ 4.4 |
Total unrecognized stock compensation expense | $ 11.6 | ||
Weighted average period to recognize unrecognized compensation cost | 1 year 9 months 18 days | ||
Performance-Based RSUs | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of target award available for grant | 0.00% | ||
Performance-Based RSUs | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of target award available for grant | 200.00% | ||
Performance-Based RSUs | Cliff | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Time-Based RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average fair value of awards granted (in dollars per share) | $ 66.86 | $ 55.28 | $ 31.86 |
Total fair value of awards that vested | $ 23.1 | $ 17.2 | $ 4.2 |
Total unrecognized stock compensation expense | $ 31.9 | ||
Weighted average period to recognize unrecognized compensation cost | 1 year 10 months 28 days | ||
2016 Stock Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares authorized (in shares) | 14,000,000 | ||
Shares available (in shares) | 4,200,000 |
Stock Compensation Plans (Summa
Stock Compensation Plans (Summary of Total Share-Based Compensation Expense and Related Tax Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Stock compensation costs | $ 30,937 | $ 24,657 | $ 22,102 |
Excess tax benefits related to stock compensation expense recognized in income tax expense | $ 5,089 | $ 4,775 | |
Excess tax benefits related to stock compensation expense recognized in additional paid-in capital | $ 1,055 |
Stock Compensation Plans (Sum_2
Stock Compensation Plans (Summary of Activity for Time-Based and Performance-Based RSUs) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Time-Based RSUs | |||
Shares | |||
Outstanding at beginning of year (in shares) | 1,166,580 | ||
Granted (in shares) | 427,805 | ||
Vested (in shares) | (349,939) | ||
Forfeited (in shares) | (123,055) | ||
Outstanding at end of year (in shares) | 1,121,391 | 1,166,580 | |
Weighted- Average Grant Date Fair Value | |||
Outstanding at end of year (in dollars per share) | $ 42 | ||
Granted (in dollars per share) | 66.86 | $ 55.28 | $ 31.86 |
Vested (in dollars per share) | 39.84 | ||
Forfeited (in dollars per share) | 50.48 | ||
Outstanding at end of year (in dollars per share) | $ 51.22 | $ 42 | |
Performance-Based RSUs | |||
Shares | |||
Outstanding at beginning of year (in shares) | 424,299 | ||
Granted (in shares) | 120,286 | ||
Vested (in shares) | (133,295) | ||
Forfeited (in shares) | 0 | ||
Outstanding at end of year (in shares) | 411,290 | 424,299 | |
Weighted- Average Grant Date Fair Value | |||
Outstanding at end of year (in dollars per share) | $ 41.44 | ||
Granted (in dollars per share) | 70.13 | $ 56.59 | $ 29.18 |
Vested (in dollars per share) | 41.15 | ||
Forfeited (in dollars per share) | 0 | ||
Outstanding at end of year (in dollars per share) | $ 49.93 | $ 41.44 |
Stock Compensation Plans (Stock
Stock Compensation Plans (Stock Purchase Plan) (Details) - Stock Purchase Plan - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Stock purchase plan | ||
Purchase price of shares in terms compared to market price per share (as a percent) | 90.00% | |
Annual purchase limitation per employee | $ 22,500 | |
Compensation expense | $ 0 | |
Common stock, shares authorized (in shares) | 2,000,000 | |
Shares sold to employees (in shares) | 51,541 | 45,343 |
Value of shares sold to employees under purchase plan | $ 2,800,000 | $ 2,300,000 |
Shares available (in shares) | 475,146 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)executive | Dec. 31, 2017USD ($)executive | Dec. 31, 2016USD ($) | |
Employee Benefit Plan [Line Items] | |||
Maximum employee contribution (as a percent) | 80.00% | ||
Company match percentage (as a percent) | 75.00% | ||
Percentage of employee pay that Company matches (as a percent) | 6.00% | ||
Matching contribution annual vesting rate (as a percent) | 20.00% | ||
Matching contribution, vesting period | 5 years | ||
Employer's contribution | $ 9,900,000 | $ 8,900,000 | $ 8,400,000 |
Supplemental Executive Retirement Plan (SERP) | |||
Employee Benefit Plan [Line Items] | |||
Additional benefits to be accrued for | $ 0 | ||
Number of executives remaining under the SERP | executive | 1 | 1 | |
Accrued benefit expense | $ 332,000 | $ 331,000 | $ 624,000 |
Benefit obligation | $ 4,200,000 | $ 4,200,000 |
Employee Benefit Plans (Summary
Employee Benefit Plans (Summary of Expected SERP Payments) (Details) - Supplemental Executive Retirement Plan (SERP) $ in Thousands | Dec. 31, 2018USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2,019 | $ 329 |
2,020 | 339 |
2,021 | 349 |
2,022 | 359 |
2,023 | 370 |
Thereafter | 7,484 |
Total | $ 9,230 |
Stockholders_ Equity and Earn_3
Stockholders’ Equity and Earnings Per Share (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 17, 2014 | Jan. 16, 2014 | Jul. 17, 2013 | |
Quarterly Dividends | ||||||||||||||||||
Dividends declared per common share (in dollars per share) | $ 0.23 | $ 0.23 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.86 | $ 0.80 | $ 0.80 | |||||||
Total cash dividends declared | $ 126,000,000 | $ 117,000,000 | $ 116,600,000 | |||||||||||||||
Common Stock | ||||||||||||||||||
Class of Stock | ||||||||||||||||||
Amount of stock repurchase authorized by the Board of Directors | $ 100,000,000 | |||||||||||||||||
Purchase of treasury stock pursuant to the Stock Repurchase Program (in shares) | 0 | 0 | ||||||||||||||||
Warrant | ||||||||||||||||||
Shares of common stock into which the warrant may be converted (in shares) | 230,282 | |||||||||||||||||
Quarterly Dividends | ||||||||||||||||||
Dividends declared per common share (in dollars per share) | $ 0.23 | $ 0.23 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | ||||||
MetroCorp | MetroCorp | ||||||||||||||||||
Warrant | ||||||||||||||||||
Shares of common stock into which the warrant may be converted (in shares) | 771,429 |
Stockholders_ Equity and Earn_4
Stockholders’ Equity and Earnings Per Share (Earnings Per Share) (Details) $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($)$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Income tax benefits due to ASU 2016-09 | $ | $ 4.8 |
Accounting Standards Update 2016-09 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Income tax benefits due to ASU 2016-09 (in dollars per share) | $ / shares | $ 0.03 |
Stockholders_ Equity and Earn_5
Stockholders’ Equity and Earnings Per Share (Earnings Per Share Calculations) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Basic: | |||||||||||
Net income | $ 173,018 | $ 171,302 | $ 172,349 | $ 187,032 | $ 84,898 | $ 132,660 | $ 118,330 | $ 169,736 | $ 703,701 | $ 505,624 | $ 431,677 |
Basic weighted average common shares outstanding (in shares) | 144,960 | 144,921 | 144,899 | 144,664 | 144,542 | 144,498 | 144,485 | 144,249 | 144,862 | 144,444 | 144,087 |
Basic EPS (in dollars per share) | $ 1.19 | $ 1.18 | $ 1.19 | $ 1.29 | $ 0.59 | $ 0.92 | $ 0.82 | $ 1.18 | $ 4.86 | $ 3.50 | $ 3 |
Diluted: | |||||||||||
Net income | $ 703,701 | $ 505,624 | $ 431,677 | ||||||||
Basic weighted average common shares outstanding (in shares) | 144,960 | 144,921 | 144,899 | 144,664 | 144,542 | 144,498 | 144,485 | 144,249 | 144,862 | 144,444 | 144,087 |
Diluted potential common shares (in shares) | 1,307 | 1,469 | 1,085 | ||||||||
Diluted weighted average common shares outstanding (in shares) | 146,133 | 146,173 | 146,091 | 145,939 | 146,030 | 145,882 | 145,740 | 145,732 | 146,169 | 145,913 | 145,172 |
Diluted EPS (in dollars per share) | $ 1.18 | $ 1.17 | $ 1.18 | $ 1.28 | $ 0.58 | $ 0.91 | $ 0.81 | $ 1.16 | $ 4.81 | $ 3.47 | $ 2.97 |
Stockholders_ Equity and Earn_6
Stockholders’ Equity and Earnings Per Share (Weighted Average Shares of Anti-dilutive Restricted Stock Units) (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
RSUs | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Weighted average shares of anti-dilutive restricted stock units (in shares) | 10 | 14 | 8 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Components of AOCI) (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Beginning balance | $ 3,841,951 | $ 3,841,951 | $ 3,427,741 | $ 3,122,950 | |
Cumulative effect of change in accounting principle related to marketable equity securities | [1] | (160) | |||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [2] | 0 | |||
Other comprehensive (loss) income | (14,384) | 10,627 | (33,205) | ||
Ending balance | 4,423,974 | 3,841,951 | 3,427,741 | ||
Available- for-Sale Debt and Equity Investment Securities | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Beginning balance | (30,898) | (30,898) | (28,772) | (6,144) | |
Net unrealized gains (losses) arising during the period | 2,531 | (16,623) | |||
Amount reclassified from AOCI | (4,657) | (6,005) | |||
Other comprehensive (loss) income | (2,126) | (22,628) | |||
Ending balance | (30,898) | (28,772) | |||
Available- for-Sale Debt Investment Securities | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Net unrealized gains (losses) arising during the period | (6,866) | ||||
Amount reclassified from AOCI | (1,786) | ||||
Other comprehensive (loss) income | (8,652) | ||||
Ending balance | (45,821) | ||||
Foreign Currency Translation Adjustments | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Beginning balance | (6,621) | (6,621) | (19,374) | (8,797) | |
Net unrealized gains (losses) arising during the period | (5,732) | 12,753 | (10,577) | ||
Amount reclassified from AOCI | 0 | 0 | 0 | ||
Other comprehensive (loss) income | (5,732) | 12,753 | (10,577) | ||
Ending balance | (12,353) | (6,621) | (19,374) | ||
Total | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Beginning balance | (37,519) | (37,519) | (48,146) | (14,941) | |
Cumulative effect of change in accounting principle related to marketable equity securities | [1] | 385 | |||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | [2] | (6,656) | |||
Net unrealized gains (losses) arising during the period | (12,598) | 15,284 | (27,200) | ||
Amount reclassified from AOCI | (1,786) | (4,657) | (6,005) | ||
Other comprehensive (loss) income | (14,384) | 10,627 | (33,205) | ||
Ending balance | $ (58,174) | $ (37,519) | $ (48,146) | ||
Accounting Standards Update 2016-01 | Available- for-Sale Debt Investment Securities | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Cumulative effect of change in accounting principle related to marketable equity securities | 385 | ||||
Accounting Standards Update 2016-01 | Foreign Currency Translation Adjustments | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Cumulative effect of change in accounting principle related to marketable equity securities | 0 | ||||
Accounting Standards Update 2016-01 | Total | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Cumulative effect of change in accounting principle related to marketable equity securities | 385 | ||||
Accounting Standards Update 2018-02 | Available- for-Sale Debt Investment Securities | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | (6,656) | ||||
Accounting Standards Update 2018-02 | Foreign Currency Translation Adjustments | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | 0 | ||||
Accounting Standards Update 2018-02 | Total | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Reclassification of tax effects in AOCI resulting from the new federal corporate income tax rate | (6,656) | ||||
Scenario, Adjustment [Member] | Available- for-Sale Debt Investment Securities | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Ending balance | (37,169) | ||||
Scenario, Adjustment [Member] | Foreign Currency Translation Adjustments | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Ending balance | (6,621) | ||||
Scenario, Adjustment [Member] | Total | |||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||||
Ending balance | $ (43,790) | ||||
[1] | Represents the impact of the adoption of Accounting Standards Update (“ASU”) 2016-01, Financial Instruments — Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. | ||||
[2] | Represents amounts reclassified from AOCI to retained earnings due to the early adoption of ASU 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income in the first quarter of 2018. Refer to Note 1 — Summary of Significant Accounting Policies to the Consolidated Financial Statements for additional information. |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) (Components of Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Before - Tax | |||
Other comprehensive (loss) income | $ (18,015) | $ 9,084 | $ (49,620) |
Tax Effect | |||
Other comprehensive (loss) income | 3,631 | 1,543 | 16,415 |
Net-of- Tax | |||
Other comprehensive (loss) income | (14,384) | 10,627 | (33,205) |
Available- for-Sale Debt Investment Securities | |||
Before - Tax | |||
Net unrealized (losses) gains arising during the period | (9,748) | ||
Net realized gains reclassified into net income | (2,535) | ||
Other comprehensive (loss) income | (12,283) | ||
Tax Effect | |||
Net unrealized gains (losses) arising during the period | 2,882 | ||
Net realized gains reclassified into net income | 749 | ||
Other comprehensive (loss) income | 3,631 | ||
Net-of- Tax | |||
Net unrealized gains (losses) arising during the period | (6,866) | ||
Net realized gains reclassified into net income | (1,786) | ||
Other comprehensive (loss) income | (8,652) | ||
Available- for-Sale Debt and Equity Investment Securities | |||
Before - Tax | |||
Net unrealized (losses) gains arising during the period | 4,368 | (28,681) | |
Net realized gains reclassified into net income | (8,037) | (10,362) | |
Other comprehensive (loss) income | (3,669) | (39,043) | |
Tax Effect | |||
Net unrealized gains (losses) arising during the period | (1,837) | 12,058 | |
Net realized gains reclassified into net income | 3,380 | 4,357 | |
Other comprehensive (loss) income | 1,543 | 16,415 | |
Net-of- Tax | |||
Net unrealized gains (losses) arising during the period | 2,531 | (16,623) | |
Net realized gains reclassified into net income | (4,657) | (6,005) | |
Other comprehensive (loss) income | (2,126) | (22,628) | |
Foreign Currency Translation Adjustments | |||
Before - Tax | |||
Net unrealized (losses) gains arising during the period | (5,732) | 12,753 | (10,577) |
Other comprehensive (loss) income | (5,732) | 12,753 | (10,577) |
Tax Effect | |||
Net unrealized gains (losses) arising during the period | 0 | 0 | 0 |
Other comprehensive (loss) income | 0 | 0 | 0 |
Net-of- Tax | |||
Net unrealized gains (losses) arising during the period | (5,732) | 12,753 | (10,577) |
Net realized gains reclassified into net income | 0 | 0 | 0 |
Other comprehensive (loss) income | $ (5,732) | $ 12,753 | $ (10,577) |
Regulatory Requirements and M_3
Regulatory Requirements and Matters (Details) - USD ($) $ in Millions | Jan. 01, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2019 |
Capital adequacy | ||||
Tier one common equity for capital adequacy to risk weighted assets | 4.50% | |||
Tier one risk based capital required for capital adequacy to risk weighted assets | 6.00% | |||
Capital required for capital adequacy to risk weighted assets | 8.00% | |||
Transition capital conservation buffer, percent | 0.625% | 1.875% | 1.25% | |
Transition capital conservation buffer, phase in period | 4 years | |||
Forecast | ||||
Capital adequacy | ||||
Transition capital conservation buffer, percent | 2.50% | |||
East West Bank | ||||
Capital adequacy | ||||
Daily average reserve requirement | $ 707.3 | $ 699.4 |
Regulatory Requirements and M_4
Regulatory Requirements and Matters (Regulatory Capital Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2016 | |
Well Capitalized Requirement | |||
Transition capital conservation buffer, percent | 1.875% | 1.25% | 0.625% |
Company | |||
Actual | |||
Total capital (to risk-weighted assets), Amount | $ 4,438,730 | $ 3,838,516 | |
Tier I capital (to risk-weighted assets), Amount | 3,966,842 | 3,390,070 | |
Tier 1 Common Equity capital (to risk-weighted assets), Amount | 3,966,842 | 3,390,070 | |
Tier 1 leverage capital (to adjusted average assets), Amount | 3,966,842 | 3,390,070 | |
Risk-weighted assets | 32,497,296 | 29,669,251 | |
Adjusted quarterly average total assets | $ 40,636,402 | $ 37,307,975 | |
Total capital (to risk-weighted assets), Ratio (as a percent) | 13.70% | 12.90% | |
Tier I capital (to risk-weighted assets), Ratio (as a percent) | 12.20% | 11.40% | |
Tier 1 Common Equity capital (to risk-weighted assets), Ratio (as a percent) | 12.20% | 11.40% | |
Tier 1 leverage capital (to adjusted average assets), Ratio (as a percent) | 9.90% | 9.20% | |
Minimum Capital Ratios | |||
Total capital (to risk-weighted assets), Ratio (as a percent) | 9.88% | 9.25% | |
Tier I capital (to risk-weighted assets), Ratio (as a percent) | 7.88% | 7.25% | |
Tier 1 Common Equity Capital (to risk-weighted assets), Ratio (as a percent) | 6.38% | 5.75% | |
Tier 1 leverage capital (to adjusted average assets), Ratio (as a percent) | 4.00% | 4.00% | |
Well Capitalized Requirement | |||
Total capital (to risk-weighted assets), Ratio (as a percent) | 10.00% | 10.00% | |
Tier I capital (to risk-weighted assets), Ratio (as a percent) | 8.00% | 8.00% | |
Tier 1 Common Equity capital (to risk-weighted assets), Ratio (as a percent) | 6.50% | 6.50% | |
East West Bank | |||
Actual | |||
Total capital (to risk-weighted assets), Amount | $ 4,268,616 | $ 3,679,261 | |
Tier I capital (to risk-weighted assets), Amount | 3,944,728 | 3,378,815 | |
Tier 1 Common Equity capital (to risk-weighted assets), Amount | 3,944,728 | 3,378,815 | |
Tier 1 leverage capital (to adjusted average assets), Amount | 3,944,728 | 3,378,815 | |
Risk-weighted assets | 32,477,002 | 29,643,711 | |
Adjusted quarterly average total assets | $ 40,611,215 | $ 37,283,273 | |
Total capital (to risk-weighted assets), Ratio (as a percent) | 13.10% | 12.40% | |
Tier I capital (to risk-weighted assets), Ratio (as a percent) | 12.10% | 11.40% | |
Tier 1 Common Equity capital (to risk-weighted assets), Ratio (as a percent) | 12.10% | 11.40% | |
Tier 1 leverage capital (to adjusted average assets), Ratio (as a percent) | 9.80% | 9.20% | |
Minimum Capital Ratios | |||
Total capital (to risk-weighted assets), Ratio (as a percent) | 9.88% | 9.25% | |
Tier I capital (to risk-weighted assets), Ratio (as a percent) | 7.88% | 7.25% | |
Tier 1 Common Equity Capital (to risk-weighted assets), Ratio (as a percent) | 6.38% | 5.75% | |
Tier 1 leverage capital (to adjusted average assets), Ratio (as a percent) | 4.00% | 4.00% | |
Well Capitalized Requirement | |||
Total capital (to risk-weighted assets), Ratio (as a percent) | 10.00% | 10.00% | |
Tier I capital (to risk-weighted assets), Ratio (as a percent) | 8.00% | 8.00% | |
Tier 1 Common Equity capital (to risk-weighted assets), Ratio (as a percent) | 6.50% | 6.50% | |
Tier 1 leverage capital (to adjusted average assets), Ratio (as a percent) | 5.00% | 5.00% |
Business Segments (Narrative) (
Business Segments (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2018segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Number of business segments | 2 |
Business Segments (Operating Re
Business Segments (Operating Results and Other Key Financial Measures) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information | |||||||||||
Interest income | $ 457,334 | $ 422,185 | $ 400,311 | $ 371,873 | $ 359,765 | $ 339,910 | $ 322,775 | $ 302,669 | $ 1,651,703 | $ 1,325,119 | $ 1,137,481 |
Charge for funds used | (835,106) | (533,777) | (360,465) | ||||||||
Interest spread on funds used | 816,597 | 791,342 | 777,016 | ||||||||
Interest expense | (87,918) | (73,465) | (58,632) | (45,180) | (40,064) | (36,755) | (32,684) | (30,547) | (265,195) | (140,050) | (104,843) |
Credit on funds provided | 835,106 | 533,777 | 360,465 | ||||||||
Interest spread on funds provided | 569,911 | 393,727 | 255,622 | ||||||||
Net interest income before provision for credit losses | 369,416 | 348,720 | 341,679 | 326,693 | 319,701 | 303,155 | 290,091 | 272,122 | 1,386,508 | 1,185,069 | 1,032,638 |
(Reversal of) provision for credit losses | 17,959 | 10,542 | 15,536 | 20,218 | 15,517 | 12,996 | 10,685 | 7,068 | 64,255 | 46,266 | 27,479 |
Noninterest income | 41,695 | 46,502 | 48,268 | 74,444 | 45,206 | 49,470 | 47,244 | 115,828 | 210,909 | 257,748 | 182,278 |
Noninterest expense | 188,097 | 179,815 | 177,419 | 169,135 | 175,263 | 164,345 | 168,965 | 152,878 | 714,466 | 661,451 | 615,249 |
Segment income (loss) before income taxes | 205,055 | 204,865 | 196,992 | 211,784 | 174,127 | 175,284 | 157,685 | 228,004 | 818,696 | 735,100 | 572,188 |
Segment net income | 173,018 | $ 171,302 | $ 172,349 | $ 187,032 | 84,898 | $ 132,660 | $ 118,330 | $ 169,736 | 703,701 | 505,624 | 431,677 |
Segment assets | 41,042,356 | 37,121,563 | 41,042,356 | 37,121,563 | 34,788,840 | ||||||
Consumer and Business Banking | |||||||||||
Segment Reporting Information | |||||||||||
Interest income | 466,504 | 364,906 | 315,146 | ||||||||
Charge for funds used | (245,487) | (142,619) | (95,970) | ||||||||
Interest spread on funds used | 221,017 | 222,287 | 219,176 | ||||||||
Interest expense | (149,032) | (76,770) | (60,180) | ||||||||
Credit on funds provided | 655,230 | 445,304 | 300,446 | ||||||||
Interest spread on funds provided | 506,198 | 368,534 | 240,266 | ||||||||
Net interest income before provision for credit losses | 727,215 | 590,821 | 459,442 | ||||||||
(Reversal of) provision for credit losses | 9,364 | 1,812 | (4,356) | ||||||||
Noninterest income | 85,607 | 54,451 | 51,251 | ||||||||
Noninterest expense | 336,412 | 319,645 | 306,386 | ||||||||
Segment income (loss) before income taxes | 467,046 | 323,815 | 208,663 | ||||||||
Segment net income | 334,255 | 190,404 | 122,256 | ||||||||
Segment assets | 10,587,621 | 9,316,587 | 10,587,621 | 9,316,587 | 7,821,610 | ||||||
Commercial Banking | |||||||||||
Segment Reporting Information | |||||||||||
Interest income | 1,063,658 | 844,303 | 726,013 | ||||||||
Charge for funds used | (535,445) | (326,902) | (216,849) | ||||||||
Interest spread on funds used | 528,213 | 517,401 | 509,164 | ||||||||
Interest expense | (52,613) | (24,603) | (16,892) | ||||||||
Credit on funds provided | 130,050 | 61,019 | 38,636 | ||||||||
Interest spread on funds provided | 77,437 | 36,416 | 21,744 | ||||||||
Net interest income before provision for credit losses | 605,650 | 553,817 | 530,908 | ||||||||
(Reversal of) provision for credit losses | 54,891 | 44,454 | 31,835 | ||||||||
Noninterest income | 110,287 | 110,089 | 95,556 | ||||||||
Noninterest expense | 228,627 | 193,161 | 171,805 | ||||||||
Segment income (loss) before income taxes | 432,419 | 426,291 | 422,824 | ||||||||
Segment net income | 309,926 | 251,834 | 248,474 | ||||||||
Segment assets | 23,761,469 | 21,431,472 | 23,761,469 | 21,431,472 | 19,128,510 | ||||||
Other | |||||||||||
Segment Reporting Information | |||||||||||
Interest income | 121,541 | 115,910 | 96,322 | ||||||||
Charge for funds used | (54,174) | (64,256) | (47,646) | ||||||||
Interest spread on funds used | 67,367 | 51,654 | 48,676 | ||||||||
Interest expense | (63,550) | (38,677) | (27,771) | ||||||||
Credit on funds provided | 49,826 | 27,454 | 21,383 | ||||||||
Interest spread on funds provided | (13,724) | (11,223) | (6,388) | ||||||||
Net interest income before provision for credit losses | 53,643 | 40,431 | 42,288 | ||||||||
(Reversal of) provision for credit losses | 0 | 0 | 0 | ||||||||
Noninterest income | 15,015 | 93,208 | 35,471 | ||||||||
Noninterest expense | 149,427 | 148,645 | 137,058 | ||||||||
Segment income (loss) before income taxes | (80,769) | (15,006) | (59,299) | ||||||||
Segment net income | 59,520 | 63,386 | 60,947 | ||||||||
Segment assets | $ 6,693,266 | $ 6,373,504 | $ 6,693,266 | $ 6,373,504 | $ 7,838,720 |
Parent Company Condensed Fina_3
Parent Company Condensed Financial Statements (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
East West Bank | |||
Condensed Financial Statements, Captions [Line Items] | |||
Dividends declared | $ 160 | $ 255 | $ 100 |
Parent Company Condensed Fina_4
Parent Company Condensed Financial Statements (Condensed Balance Sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
ASSETS | ||||
Cash and cash equivalents due from subsidiary bank | $ 3,001,377 | $ 2,174,592 | $ 1,878,503 | $ 1,360,887 |
Investments in tax credit and other investments, net | 231,635 | 224,551 | ||
Other assets | 743,686 | 650,266 | ||
TOTAL | 41,042,356 | 37,121,563 | 34,788,840 | |
LIABILITIES | ||||
Long-term debt | 146,835 | 171,577 | ||
Total liabilities | 36,618,382 | 33,279,612 | ||
STOCKHOLDERS’ EQUITY | ||||
Common stock, $0.001 par value, 200,000,000 shares authorized; 165,867,587 and 165,214,770 shares issued in 2018 and 2017, respectively | 166 | 165 | ||
Additional paid-in capital | 1,789,811 | 1,755,330 | ||
Retained earnings | 3,160,132 | 2,576,302 | ||
Treasury stock, at cost — 20,906,224 shares in 2018 and 20,671,710 shares in 2017 | (467,961) | (452,327) | ||
AOCI, net of tax | (58,174) | (37,519) | ||
Total stockholders’ equity | 4,423,974 | 3,841,951 | 3,427,741 | 3,122,950 |
TOTAL | 41,042,356 | 37,121,563 | ||
Parent Company | ||||
ASSETS | ||||
Cash and cash equivalents due from subsidiary bank | 149,411 | 159,566 | $ 39,264 | $ 18,898 |
Investments in tax credit and other investments, net | 23,259 | 25,511 | ||
Other assets | 6,487 | 7,062 | ||
TOTAL | 4,584,679 | 4,026,499 | ||
LIABILITIES | ||||
Long-term debt | 146,835 | 171,577 | ||
Other liabilities | 13,870 | 12,971 | ||
Total liabilities | 160,705 | 184,548 | ||
STOCKHOLDERS’ EQUITY | ||||
Common stock, $0.001 par value, 200,000,000 shares authorized; 165,867,587 and 165,214,770 shares issued in 2018 and 2017, respectively | 166 | 165 | ||
Additional paid-in capital | 1,789,811 | 1,755,330 | ||
Retained earnings | 3,160,132 | 2,576,302 | ||
Treasury stock, at cost — 20,906,224 shares in 2018 and 20,671,710 shares in 2017 | (467,961) | (452,327) | ||
AOCI, net of tax | (58,174) | (37,519) | ||
Total stockholders’ equity | 4,423,974 | 3,841,951 | ||
TOTAL | 4,584,679 | 4,026,499 | ||
Parent Company | Bank | ||||
ASSETS | ||||
Investments in subsidiaries | 4,401,860 | 3,830,696 | ||
Parent Company | Nonbank | ||||
ASSETS | ||||
Investments in subsidiaries | $ 3,662 | $ 3,664 |
Parent Company Condensed Fina_5
Parent Company Condensed Financial Statements (Condensed Balance Sheet - Additional Information) (Details) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Balance sheets | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (in shares) | 165,867,587 | 165,214,770 |
Treasury stock, shares (in shares) | 20,906,224 | 20,671,710 |
Parent Company | ||
Balance sheets | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (in shares) | 165,867,587 | 165,214,770 |
Treasury stock, shares (in shares) | 20,906,224 | 20,671,710 |
Parent Company Condensed Fina_6
Parent Company Condensed Financial Statements (Condensed Statement of Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of income | |||||||||||
Net gains on sales of available-for-sale debt investment securities | $ 2,535 | ||||||||||
Net gains on sales of available-for-sale debt and equity securities | $ 8,037 | $ 10,362 | |||||||||
Interest expense on long-term debt | $ 87,918 | $ 73,465 | $ 58,632 | $ 45,180 | $ 40,064 | $ 36,755 | $ 32,684 | $ 30,547 | 265,195 | 140,050 | 104,843 |
Compensation and employee benefits | 379,622 | 335,291 | 300,115 | ||||||||
Amortization of tax credit and other investments | 89,628 | 87,950 | 83,446 | ||||||||
Other expense | 88,042 | 82,974 | 86,382 | ||||||||
Income tax benefit | (32,037) | (33,563) | (24,643) | (24,752) | (89,229) | (42,624) | (39,355) | (58,268) | (114,995) | (229,476) | (140,511) |
NET INCOME | $ 173,018 | $ 171,302 | $ 172,349 | $ 187,032 | $ 84,898 | $ 132,660 | $ 118,330 | $ 169,736 | 703,701 | 505,624 | 431,677 |
Parent Company | |||||||||||
Statement of income | |||||||||||
Net gains on sales of available-for-sale debt investment securities | 0 | ||||||||||
Net gains on sales of available-for-sale debt and equity securities | 326 | 0 | |||||||||
Other income | 2 | 395 | 610 | ||||||||
Total income | 160,177 | 259,839 | 100,717 | ||||||||
Interest expense on long-term debt | 6,488 | 5,429 | 5,017 | ||||||||
Compensation and employee benefits | 5,559 | 5,065 | 5,001 | ||||||||
Amortization of tax credit and other investments | 413 | 5,908 | 13,851 | ||||||||
Other expense | 1,490 | 1,257 | 1,218 | ||||||||
Total expense | 13,950 | 17,659 | 25,087 | ||||||||
Income before income tax benefit and equity in undistributed income of subsidiaries | 146,227 | 242,180 | 75,630 | ||||||||
Income tax benefit | 3,404 | 18,182 | 26,041 | ||||||||
Undistributed earnings of subsidiaries, primarily bank | 554,070 | 245,262 | 330,006 | ||||||||
NET INCOME | 703,701 | 505,624 | 431,677 | ||||||||
Parent Company | Bank | |||||||||||
Statement of income | |||||||||||
Dividends from subsidiaries | 160,000 | 255,000 | 100,000 | ||||||||
Parent Company | Nonbank | |||||||||||
Statement of income | |||||||||||
Dividends from subsidiaries | $ 175 | $ 4,118 | $ 107 |
Parent Company Condensed Fina_7
Parent Company Condensed Financial Statements (Condensed Statement of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of cash flows | |||||||||||
Net income | $ 173,018 | $ 171,302 | $ 172,349 | $ 187,032 | $ 84,898 | $ 132,660 | $ 118,330 | $ 169,736 | $ 703,701 | $ 505,624 | $ 431,677 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Deferred income tax expense | (16,470) | 33,856 | 26,966 | ||||||||
Gains on sales of available-for-sale debt and equity securities | (8,037) | (10,362) | |||||||||
Net change in other assets | (60,791) | 45,354 | 23,205 | ||||||||
Net change in other liabilities | 88,070 | (1,965) | 15,354 | ||||||||
Net cash provided by operating activities | 883,172 | 703,275 | 650,183 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||||
Net increase in investments in tax credit and other investments | (132,605) | (173,630) | (100,514) | ||||||||
Proceeds from distributions received from equity method investees | 5,185 | 8,387 | 7,964 | ||||||||
Available-for-sale investment securities: | |||||||||||
Proceeds from sales available-for sale debt securities | 364,270 | ||||||||||
Proceeds from sales of available-for-sale debt and equity securities | 832,844 | 1,275,645 | |||||||||
Purchases of available-for-sale debt securities | (888,673) | ||||||||||
Purchases of available-for-sale debt and equity securities | (828,604) | (2,396,199) | |||||||||
Net cash provided by (used in) investing activities | (3,832,412) | (2,506,824) | (1,800,086) | ||||||||
Common stock: | |||||||||||
Proceeds from issuance pursuant to various stock compensation plans and agreements | 2,846 | 2,280 | 2,081 | ||||||||
Stocks tendered for payment of withholding taxes | (15,634) | (12,940) | (3,225) | ||||||||
Cash dividends paid | (125,988) | (116,820) | (115,828) | ||||||||
Other net financing activities | 0 | 0 | 1,055 | ||||||||
Net cash provided by (used in) by financing activities | 3,800,808 | 2,068,460 | 1,679,459 | ||||||||
Net (decrease) increase in cash and cash equivalents | 826,785 | 296,089 | 517,616 | ||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 2,174,592 | 1,878,503 | 2,174,592 | 1,878,503 | 1,360,887 | ||||||
CASH AND CASH EQUIVALENTS, END OF YEAR | 3,001,377 | 2,174,592 | 3,001,377 | 2,174,592 | 1,878,503 | ||||||
Parent Company | |||||||||||
Statement of cash flows | |||||||||||
Net income | 703,701 | 505,624 | 431,677 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Undistributed earnings of subsidiaries, principally bank | (554,070) | (245,262) | (330,006) | ||||||||
Amortization expenses | 671 | 6,158 | 14,094 | ||||||||
Deferred income tax expense | 3,517 | 940 | 6,349 | ||||||||
Gains on sales of available-for-sale debt securities | 0 | ||||||||||
Gains on sales of available-for-sale debt and equity securities | (326) | 0 | |||||||||
Net change in other assets | (595) | (3,341) | 39,929 | ||||||||
Net change in other liabilities | (45) | (560) | 794 | ||||||||
Net cash provided by operating activities | 153,179 | 263,233 | 162,837 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||||
Net increase in investments in tax credit and other investments | (1,049) | (11,591) | (8,229) | ||||||||
Proceeds from distributions received from equity method investees | 1,491 | 1,814 | 1,675 | ||||||||
Available-for-sale investment securities: | |||||||||||
Proceeds from sales available-for sale debt securities | 0 | ||||||||||
Proceeds from sales of available-for-sale debt and equity securities | 18,326 | 0 | |||||||||
Purchases of available-for-sale debt securities | 0 | ||||||||||
Purchases of available-for-sale debt and equity securities | (9,000) | 0 | |||||||||
Net cash provided by (used in) investing activities | 442 | (451) | (6,554) | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||||
Repayment of long-term debt | (25,000) | (15,000) | (20,000) | ||||||||
Common stock: | |||||||||||
Proceeds from issuance pursuant to various stock compensation plans and agreements | 2,846 | 2,280 | 2,081 | ||||||||
Stocks tendered for payment of withholding taxes | (15,634) | (12,940) | (3,225) | ||||||||
Cash dividends paid | (125,988) | (116,820) | (115,828) | ||||||||
Other net financing activities | 0 | 0 | 1,055 | ||||||||
Net cash provided by (used in) by financing activities | (163,776) | (142,480) | (135,917) | ||||||||
Net (decrease) increase in cash and cash equivalents | (10,155) | 120,302 | 20,366 | ||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | $ 159,566 | $ 39,264 | 159,566 | 39,264 | 18,898 | ||||||
CASH AND CASH EQUIVALENTS, END OF YEAR | $ 149,411 | $ 159,566 | $ 149,411 | $ 159,566 | $ 39,264 |
Quarterly Financial Informati_3
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest and dividend income | $ 457,334 | $ 422,185 | $ 400,311 | $ 371,873 | $ 359,765 | $ 339,910 | $ 322,775 | $ 302,669 | $ 1,651,703 | $ 1,325,119 | $ 1,137,481 |
Interest expense | 87,918 | 73,465 | 58,632 | 45,180 | 40,064 | 36,755 | 32,684 | 30,547 | 265,195 | 140,050 | 104,843 |
Net interest income before provision for credit losses | 369,416 | 348,720 | 341,679 | 326,693 | 319,701 | 303,155 | 290,091 | 272,122 | 1,386,508 | 1,185,069 | 1,032,638 |
Provision for credit losses | 17,959 | 10,542 | 15,536 | 20,218 | 15,517 | 12,996 | 10,685 | 7,068 | 64,255 | 46,266 | 27,479 |
Net interest income after provision for credit losses | 351,457 | 338,178 | 326,143 | 306,475 | 304,184 | 290,159 | 279,406 | 265,054 | 1,322,253 | 1,138,803 | 1,005,159 |
Noninterest income | 41,695 | 46,502 | 48,268 | 74,444 | 45,206 | 49,470 | 47,244 | 115,828 | 210,909 | 257,748 | 182,278 |
Noninterest expense | 188,097 | 179,815 | 177,419 | 169,135 | 175,263 | 164,345 | 168,965 | 152,878 | 714,466 | 661,451 | 615,249 |
Income before income taxes | 205,055 | 204,865 | 196,992 | 211,784 | 174,127 | 175,284 | 157,685 | 228,004 | 818,696 | 735,100 | 572,188 |
Income tax expense | 32,037 | 33,563 | 24,643 | 24,752 | 89,229 | 42,624 | 39,355 | 58,268 | 114,995 | 229,476 | 140,511 |
NET INCOME | $ 173,018 | $ 171,302 | $ 172,349 | $ 187,032 | $ 84,898 | $ 132,660 | $ 118,330 | $ 169,736 | $ 703,701 | $ 505,624 | $ 431,677 |
EPS | |||||||||||
Basic (in dollars per share) | $ 1.19 | $ 1.18 | $ 1.19 | $ 1.29 | $ 0.59 | $ 0.92 | $ 0.82 | $ 1.18 | $ 4.86 | $ 3.50 | $ 3 |
Diluted (in dollars per share) | $ 1.18 | $ 1.17 | $ 1.18 | $ 1.28 | $ 0.58 | $ 0.91 | $ 0.81 | $ 1.16 | $ 4.81 | $ 3.47 | $ 2.97 |
WEIGHTED-AVERAGE NUMBER OF SHARES OUTSTANDING | |||||||||||
Basic (in shares) | 144,960 | 144,921 | 144,899 | 144,664 | 144,542 | 144,498 | 144,485 | 144,249 | 144,862 | 144,444 | 144,087 |
Diluted (in shares) | 146,133 | 146,173 | 146,091 | 145,939 | 146,030 | 145,882 | 145,740 | 145,732 | 146,169 | 145,913 | 145,172 |
Dividends declared per common share (in dollars per share) | $ 0.23 | $ 0.23 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.86 | $ 0.80 | $ 0.80 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | Feb. 15, 2019 | Jan. 24, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2018 |
Subsequent events | ||||||||||||||
Dividends declared per common share (in dollars per share) | $ 0.23 | $ 0.23 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.20 | $ 0.86 | $ 0.80 | $ 0.80 | |||
DC Solar | ||||||||||||||
Subsequent events | ||||||||||||||
Potential disallowed tax credits | $ 53.9 | |||||||||||||
Subsequent Event | ||||||||||||||
Subsequent events | ||||||||||||||
Dividends declared per common share (in dollars per share) | $ 0.23 | |||||||||||||
Dividends paid per common share (in dollars per share) | $ 0.23 |