Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 16, 2016 | Jun. 30, 2015 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | TEXAS CAPITAL BANCSHARES INC/TX | ||
Entity Central Index Key | 1,077,428 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus (Q1,Q2,Q3,FY) | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 45,885,829 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 1,563,789,052 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Assets | ||
Cash and due from banks | $ 109,496 | $ 96,524 |
Interest-bearing deposits | 1,626,374 | 1,233,990 |
Federal funds sold and securities purchased under resale agreements | 55,000 | 0 |
Securities, available-for-sale | 29,992 | 41,719 |
Loans held for sale, at fair value | 86,075 | 0 |
Loans held for investment, mortgage finance | 4,966,276 | 4,102,125 |
Loans held for investment (net of unearned income) | 11,745,674 | 10,154,887 |
Less: Allowance for loan losses | (141,111) | (100,954) |
Loans held for investment, net | 16,570,839 | 14,156,058 |
Mortgage servicing rights, net | 423 | 0 |
Premises and equipment, net | 23,561 | 23,135 |
Accrued interest receivable and other assets | 387,419 | 333,699 |
Goodwill and intangible assets, net | 19,960 | 20,588 |
Total assets | 18,909,139 | 15,905,713 |
Deposits: | ||
Non-interest-bearing | 6,386,911 | 5,011,619 |
Interest-bearing | 8,697,708 | 7,348,972 |
Interest-bearing in foreign branches | 0 | 312,709 |
Total deposits | 15,084,619 | 12,673,300 |
Accrued interest payable | 5,097 | 4,747 |
Other liabilities | 153,433 | 151,389 |
Federal funds purchased and repurchase agreements | 143,051 | 92,676 |
Other borrowings | 1,500,000 | 1,100,005 |
Subordinated notes | 286,000 | 286,000 |
Trust preferred subordinated debentures | 113,406 | 113,406 |
Total liabilities | 17,285,606 | 14,421,523 |
Comprehensive income: | ||
Preferred stock, $.01 par value, $1,000 liquidation value: Authorized shares - 10,000,000; Issued shares - 6,000,000 shares issued at December 31, 2014 and 2013 | 150,000 | 150,000 |
Common stock, $.01 par value: Authorized shares - 100,000,000; Issued shares - 45,735,424 and 41,036,787 at December 31, 2014 and 2013, respectively | 459 | 457 |
Additional paid-in capital | 714,546 | 709,738 |
Retained earnings | 757,818 | 622,714 |
Treasury stock (shares at cost: 417 at December 31, 2015 and 2014) | (8) | (8) |
Accumulated other comprehensive income, net of taxes | 718 | 1,289 |
Total stockholders’ equity | 1,623,533 | 1,484,190 |
Total liabilities and stockholders’ equity | $ 18,909,139 | $ 15,905,713 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, Liquidation value | $ 1,000 | $ 1,000 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 6,000,000 | 6,000,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 45,874,224 | 45,735,424 |
Treasury stock, shares | 417 | 417 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Interest income | |||
Interest and fees on loans | $ 594,729 | $ 511,606 | $ 441,314 |
Securities | 1,254 | 1,828 | 3,015 |
Federal funds sold | 682 | 207 | 65 |
Deposits in other banks | 6,293 | 906 | 231 |
Total interest income | 602,958 | 514,547 | 444,625 |
Interest expense | |||
Deposits | 24,578 | 18,145 | 14,030 |
Federal funds purchased | 284 | 373 | 686 |
Repurchase agreements | 19 | 17 | 18 |
Other borrowings | 2,232 | 356 | 515 |
Subordinated notes | 16,764 | 16,202 | 7,327 |
Trust preferred subordinated debentures | 2,551 | 2,489 | 2,536 |
Total interest expense | 46,428 | 37,582 | 25,112 |
Net interest income | 556,530 | 476,965 | 419,513 |
Provision for credit losses | 53,250 | 22,000 | 19,000 |
Net interest income after provision for credit losses | 503,280 | 454,965 | 400,513 |
Non-interest income | |||
Service charges on deposit accounts | 8,323 | 7,253 | 6,783 |
Trust fee income | 5,022 | 4,937 | 5,023 |
Bank owned life insurance (BOLI) income | 2,011 | 2,067 | 1,917 |
Brokered loan fees | 18,661 | 13,981 | 16,980 |
Swap fees | 4,275 | 2,992 | 5,520 |
Other | 9,446 | 11,281 | 7,801 |
Total non-interest income | 47,738 | 42,511 | 44,024 |
Non-interest expense | |||
Salaries and employee benefits | 192,610 | 169,051 | 157,752 |
Net occupancy expense | 23,182 | 20,866 | 16,821 |
Marketing | 16,491 | 15,989 | 16,203 |
Legal and professional | 22,150 | 21,182 | 18,104 |
Communications and technology | 21,425 | 18,667 | 13,762 |
FDIC insurance assessment | 17,231 | 10,919 | 8,057 |
Other | 33,434 | 28,440 | 26,030 |
Total non-interest expense | 326,523 | 285,114 | 256,729 |
Income before income taxes | 224,495 | 212,362 | 187,808 |
Income tax expense | 79,641 | 76,010 | 66,757 |
Net income | 144,854 | 136,352 | 121,051 |
Preferred stock dividends | (9,750) | (9,750) | (7,394) |
Net income available to common stockholders | 135,104 | 126,602 | 113,657 |
Other comprehensive gain (loss) | |||
Change in unrealized gain on available-for-sale securities arising during period, before tax | (877) | (522) | (2,529) |
Income tax benefit related to unrealized loss on available-for-sale securities | (306) | (183) | (885) |
Other comprehensive loss net of tax | (571) | (339) | (1,644) |
Comprehensive income | $ 144,283 | $ 136,013 | $ 119,407 |
Basic earnings per common share | |||
Basic earnings per common share | $ 2.95 | $ 2.93 | $ 2.78 |
Diluted earnings per common share | |||
Diluted earnings per common share | $ 2.91 | $ 2.88 | $ 2.72 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income |
Beginning balance - Shares at Dec. 31, 2012 | 0 | 40,727,996 | 417 | ||||
Beginning balance - Amount at Dec. 31, 2012 | $ 836,242 | $ 0 | $ 407 | $ 450,116 | $ 382,455 | $ (8) | $ 3,272 |
Comprehensive income: | |||||||
Net income | 121,051 | 121,051 | |||||
Change in unrealized gain (loss) on available-for-sale securities, net of taxes | (1,644) | (1,644) | |||||
Comprehensive income | 119,407 | ||||||
Tax expense related to exercise of stock-based awards | 1,200 | 1,200 | |||||
Stock-based compensation expense recognized in earnings | 4,118 | 4,118 | |||||
Preferred Stock Issued During Period Shares New Issues | 6,000,000 | ||||||
Proceeds from issuance of preferred stock | (144,987) | $ (150,000) | 5,013 | ||||
Preferred stock dividends | (7,394) | (7,394) | |||||
Issuance of stock related to stock-based awards - Shares | 272,452 | ||||||
Issuance of stock related to stock-based awards - Amount | (2,250) | $ 3 | (2,253) | ||||
Issuance of stock - Shares | 36,339 | ||||||
Issuance of stock - Amount | 40 | $ 0 | 40 | ||||
Ending balance - Amount at Dec. 31, 2013 | 1,096,350 | $ 150,000 | $ 410 | 448,208 | 496,112 | $ (8) | 1,628 |
Ending balance - Shares at Dec. 31, 2013 | 6,000,000 | 41,036,787 | 417 | ||||
Comprehensive income: | |||||||
Net income | 136,352 | 136,352 | |||||
Change in unrealized gain (loss) on available-for-sale securities, net of taxes | (339) | (339) | |||||
Comprehensive income | 136,013 | ||||||
Tax expense related to exercise of stock-based awards | 2,929 | 2,929 | |||||
Stock-based compensation expense recognized in earnings | 4,628 | 4,628 | |||||
Proceeds from issuance of preferred stock | 0 | ||||||
Preferred stock dividends | (9,750) | (9,750) | |||||
Issuance of stock related to stock-based awards - Shares | 201,280 | ||||||
Issuance of stock related to stock-based awards - Amount | (2,203) | $ 2 | (2,205) | ||||
Issuance of stock - Shares | 4,398,128 | ||||||
Issuance of stock - Amount | 256,223 | $ 44 | 256,179 | ||||
Ending balance - Amount at Dec. 31, 2014 | 1,484,190 | $ 150,000 | $ 457 | 709,738 | 622,714 | $ (8) | 1,289 |
Ending balance - Shares at Dec. 31, 2014 | 6,000,000 | 45,735,424 | 417 | ||||
Comprehensive income: | |||||||
Stock Issued During Period, Shares, Other | 99,229 | ||||||
Stock Issued During Period, Value, Other | $ 1 | (1) | |||||
Net income | 144,854 | 144,854 | |||||
Change in unrealized gain (loss) on available-for-sale securities, net of taxes | (571) | (571) | |||||
Comprehensive income | 144,283 | ||||||
Tax expense related to exercise of stock-based awards | 1,452 | 1,452 | |||||
Stock-based compensation expense recognized in earnings | 4,597 | 4,597 | |||||
Proceeds from issuance of preferred stock | 0 | ||||||
Preferred stock dividends | (9,750) | (9,750) | |||||
Issuance of stock related to stock-based awards - Shares | 138,800 | ||||||
Issuance of stock related to stock-based awards - Amount | (1,239) | $ 2 | (1,241) | ||||
Ending balance - Amount at Dec. 31, 2015 | 1,623,533 | $ 150,000 | $ 459 | $ 714,546 | $ 757,818 | $ (8) | $ 718 |
Ending balance - Shares at Dec. 31, 2015 | 6,000,000 | 45,874,224 | 417 | ||||
Comprehensive income: | |||||||
Stock Issued During Period, Value, Other | $ 0 |
CONSOLIDATED STATEMENTS OF STO6
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Stockholders' Equity [Abstract] | |||
Income tax expense (benefit) related to unrealized loss on available-for-sale securities | $ (306) | $ (183) | $ (885) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating activities | |||
Net income | $ 144,854 | $ 136,352 | $ 121,051 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for credit losses | 53,250 | 22,000 | 19,000 |
Deferred tax expense (benefit) | (3,561) | (3,969) | (11,599) |
Depreciation and amortization | 16,495 | 14,798 | 11,480 |
Amortization of securities | 0 | 0 | 22 |
BOLI income | (2,011) | (2,067) | (1,917) |
Stock-based compensation expense | 12,304 | 14,577 | 20,953 |
Excess tax benefits from stock-based compensation arrangements | (1,499) | (2,929) | (1,200) |
Purchases of loans held for sale | (127,002) | 0 | 0 |
Proceeds from sales and repayments of loans held for sale | 40,927 | 0 | 0 |
Capitalization of mortgage servicing rights | (437) | 0 | 0 |
(Gain) loss on sale of assets | 179 | (822) | (931) |
Changes in operating assets and liabilities: | |||
Accrued interest receivable and other assets | (61,002) | (58,579) | 31,010 |
Accrued interest payable and other liabilities | (3,554) | 38,366 | 3,508 |
Net cash provided by operating activities | 68,943 | 157,727 | 191,377 |
Investing activities | |||
Purchases of available-for-sale securities | 0 | 0 | (2) |
Maturities and calls of available-for-sale securities | 2,430 | 11,150 | 15,890 |
Principal payments received on available-for-sale securities | 8,419 | 9,822 | 18,542 |
Originations of mortgage finance loans | (86,342,672) | (58,090,177) | (51,087,328) |
Proceeds from pay-offs of mortgage finance loans | 85,478,521 | 56,772,317 | 51,478,335 |
Net increase in loans held for investment, excluding mortgage finance loans | (1,603,880) | (1,676,927) | (1,706,505) |
Purchase of premises and equipment, net | (5,034) | (15,732) | (4,029) |
Proceeds from sale of foreclosed assets | 1,430 | 5,877 | 11,667 |
Cash paid for acquisition | 0 | 0 | (2,445) |
Net cash used in investing activities | (2,460,786) | (2,983,670) | (1,275,875) |
Financing activities | |||
Net increase in deposits | 2,411,319 | 3,415,921 | 1,816,575 |
Costs from issuance of stock related to stock-based awards and warrants | (1,239) | (2,203) | (2,210) |
Net proceeds from issuance of common stock | 0 | 256,223 | 0 |
Net proceeds from issuance of preferred stock | 0 | 0 | 144,987 |
Preferred dividends paid | (9,750) | (9,750) | (6,960) |
Net increase (decrease) in other borrowings | 399,995 | 244,979 | (797,002) |
Excess tax benefits from stock-based compensation arrangements | 1,499 | 2,929 | 1,200 |
Net increase (decrease) in federal funds purchased and repurchase agreements | 50,375 | (77,928) | (124,529) |
Issuance of subordinated notes | 0 | 172,375 | 0 |
Net cash provided by financing activities | 2,852,199 | 4,002,546 | 1,032,061 |
Net increase (decrease) in cash and cash equivalents | 460,356 | 1,176,603 | (52,437) |
Cash and cash equivalents at beginning of period | 1,330,514 | 153,911 | 206,348 |
Cash and cash equivalents at end of period | 1,790,870 | 1,330,514 | 153,911 |
Supplemental disclosures of cash flow information: | |||
Cash paid during the period for interest | 46,078 | 33,584 | 24,962 |
Cash paid during the period for income taxes | 87,450 | 74,998 | 77,635 |
Transfers from loans/leases to OREO and other repossessed assets | $ 1,267 | $ 851 | $ 1,331 |
Operations and Summary of Signi
Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Operations and Summary of Significant Accounting Policies | Operations and Summary of Significant Accounting Policies Organization and Nature of Business Texas Capital Bancshares, Inc. (the "Company”), a Delaware corporation, was incorporated in November 1996 and commenced banking operations in December 1998. The consolidated financial statements of the Company include the accounts of Texas Capital Bancshares, Inc. and its wholly owned subsidiary, Texas Capital Bank, National Association (the "Bank”). We serve the needs of commercial businesses and successful professionals and entrepreneurs located in Texas as well as operate several lines of business serving a regional or national clientele of commercial borrowers. We are primarily a secured lender, with our greatest concentration of loans in Texas. Basis of Presentation Our accounting and reporting policies conform to accounting principles generally accepted in the United States ("GAAP") and to generally accepted practices within the banking industry. Certain prior period balances have been reclassified to conform to the current period presentation. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The allowance for loan losses, the fair value of stock-based compensation awards, the fair values of financial instruments and the status of contingencies are particularly susceptible to significant change in the near term. Cash and Cash Equivalents Cash equivalents include amounts due from banks, interest-bearing deposits and Federal funds sold. Securities Securities are classified as trading, available-for-sale or held-to-maturity. Management classifies securities at the time of purchase and re-assesses such designation at each balance sheet date; however, transfers between categories from this re-assessment are rare. Trading Account Securities acquired for resale in anticipation of short-term market movements are classified as trading, with realized and unrealized gains and losses recognized in income. To date, we have not had any activity in our trading account. Available-for-Sale Debt securities are classified as held-to-maturity when we have the positive intent and ability to hold the securities to maturity. Held-to-maturity securities are stated at amortized cost. Debt securities not classified as held-to-maturity or trading and marketable equity securities not classified as trading are classified as available-for-sale. Available-for-sale securities are stated at fair value, with the unrealized gains and losses reported in a separate component of accumulated other comprehensive income (loss), net of tax. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity, or in the case of mortgage-backed securities, over the estimated life of the security. Such amortization and accretion is included in interest income from securities. Realized gains and losses and declines in value judged to be other-than-temporary are included in gain (loss) on sale of securities. The cost of securities sold is based on the specific identification method. All securities are available-for-sale as of December 31, 2015 and 2014 . Loans Loans Held for Sale Through our MCA program, we commit to purchase residential mortgage loans from independent correspondent lenders and deliver those loans into the secondary market via whole loan sales to independent third parties or in securitization transactions to GSEs such as Fannie Mae, Freddie Mac or Ginnie Mae. In some cases, we retain the mortgage servicing rights. Once purchased, these loans are classified as held for sale and are carried at fair value pursuant to our election of the fair value option in accordance with Accounting Standards Codification 825, Financial Instruments ("ASC 825"). At the commitment date, we enter into a corresponding forward sale commitment with a third party, typically a GSE, to deliver the loans within a specified timeframe. The estimated gain/loss for the entire transaction (from initial purchase commitment to final delivery of loans) is recorded as an asset or liability. Fair value is derived from observable current market prices, when available, and includes the fair value of the mortgage servicing rights. Adjustments to reflect unrealized gains and losses resulting from changes in fair value and realized gains and losses upon ultimate sale of the loans are classified as other non-interest income in the consolidated statements of income and other comprehensive income. Loans Held for Investment Loans held for investment (which include equipment leases accounted for as financing leases) are stated at the amount of unpaid principal reduced by deferred income (net of costs). Interest on loans is recognized using the simple-interest method on the daily balances of the principal amounts outstanding. Loan origination fees, net of direct loan origination costs, and commitment fees, are deferred and amortized as an adjustment to yield over the life of the loan, or over the commitment period, as applicable. A loan held for investment is considered impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due (both principal and interest) according to the terms of the loan agreement. Reserves on impaired loans are measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the underlying collateral, less cost to sell. Impaired loans, or portions thereof, are charged off when a confirmed loss exists. The accrual of interest on loans is discontinued when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan is 90 days past due. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is reversed. Interest income is subsequently recognized on a cash basis as long as the remaining book balance of the asset is deemed to be collectible. If collectability is questionable, then cash payments are applied to principal. A loan is placed back on accrual status when both principal and interest are current and it is probable that we will be able to collect all amounts due (both principal and interest) according to the terms of the loan agreement. Loans held for investment includes legal ownership interests in mortgage loans that we purchase through our mortgage warehouse lending division. The ownership interests are purchased from unaffiliated mortgage originators who are seeking additional funding through sale of the undivided ownership interests to facilitate their ability to originate loans. The mortgage originator has no obligation to offer and we have no obligation to purchase these interests. The originator closes mortgage loans consistent with underwriting standards established by approved investors, and, at the time of the sale to the investor, our ownership interest and that of the originator are delivered by us to the investor selected by the originator and approved by us. We typically purchase up to a 99% ownership interest in each mortgage with the originator owning the remaining percentage. These mortgage ownership interests are held by us for a period of less than 30 days and more typically 10-20 days. Because of conditions in agreements with originators designed to reduce transaction risks, under ASC 860, Transfers and Servicing of Financial Assets (“ASC 860”), the ownership interests do not qualify as participating interests. Under ASC 860, the ownership interests are deemed to be loans to the originators and payments we receive from investors are deemed to be payments made by or on behalf of the originator to repay the loan deemed made to the originator. Because we have an actual, legal ownership interest in the underlying residential mortgage loan, these interests are not extensions of credit to the originators that are secured by the mortgage loans as collateral. Due to market conditions or events of default by the investor or the originator, we could be required to purchase the remaining interests in the mortgage loans and hold them beyond the expected 10-20 days. Mortgage loans acquired under these conditions would require mark-to-market adjustments to income and could require future allocations of the allowance for loan losses or be subject to charge off in the event the loans become impaired. Mortgage loan interests purchased and disposed of as expected receive no allocation of the allowance for loan losses due to the minimal loss experience with these assets. Allowance for Loan Losses The allowance for loan losses is comprised of specific reserves for impaired loans and an estimate of losses inherent in the portfolio at the balance sheet date, but not yet identified with specified loans. We regularly evaluate our allowance for loan losses to maintain an appropriate level to absorb estimated loan losses inherent in the loan portfolio. Factors contributing to the determination of the allowance include the creditworthiness of the borrower, changes in the value of pledged collateral, and general economic conditions. All loan commitments rated substandard or worse and greater than $500,000 are specifically reviewed for loss potential. For loans deemed to be impaired, a specific allocation is assigned based on the losses expected to be realized from those loans. For purposes of determining the general reserve, the portfolio is segregated by product types to recognize differing risk profiles among categories, and then further segregated by credit grades. Credit grades are assigned to all loans. Each credit grade is assigned a risk factor, or reserve allocation percentage. These risk factors are multiplied by the outstanding principal balance and risk-weighted by product type to calculate the required reserve. A similar process is employed to calculate a reserve assigned to off-balance sheet commitments, specifically unfunded loan commitments and letters of credit, and any needed reserve is recorded in other liabilities. Even though portions of the allowance may be allocated to specific loans, the entire allowance is available for any credit that, in management’s judgment, should be charged off. We have several pass credit grades that are assigned to loans based on varying levels of risk, ranging from credits that are secured by cash or marketable securities, to watch credits which have all the characteristics of an acceptable credit risk but warrant more than the normal level of monitoring. Within our criticized/classified credit grades are special mention, substandard, and doubtful. Special mention loans are those that are currently protected by the sound worth and paying capacity of the borrower, but that are potentially weak and constitute an additional credit risk. The loan has the potential to deteriorate to a substandard grade due to the existence of financial or administrative deficiencies. Substandard loans have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. Some substandard loans are inappropriately protected by sound worth and paying capacity of the borrower and of the collateral pledged and may be considered impaired. Substandard loans can be accruing or can be on non-accrual depending on the circumstances of the individual loans. Loans classified as doubtful have all the weaknesses inherent in substandard loans with the added characteristics that the weaknesses make collection or liquidation in full highly questionable and improbable. The possibility of loss is extremely high. All doubtful loans are on non-accrual. The allowance allocation percentages assigned to each credit grade have been developed based primarily on an analysis of our historical loss rates. The allocations are adjusted for certain qualitative factors, including general economic conditions, changes in credit policies and lending standards. Changes in the trend and severity of problem loans can cause the estimation of losses to differ from past experience. In addition, the allowance considers the results of reviews performed by independent third party reviewers as reflected in their confirmations of assigned credit grades within the portfolio. The portion of the allowance that is not derived by the allowance allocation percentages compensates for the uncertainty and complexity in estimating loan and lease losses including factors and conditions that may not be fully reflected in the determination and application of the allowance allocation percentages. Examples of risks that support the Bank's maintaining an additional qualitative reserve include the possibility of precipitous negative changes in economic conditions and borrowers' submission of financial statements or certifications of collateral value that subsequently prove to be materially inaccurate for reason of either misstatement or omission of critical information. These situations, while not common, do not necessarily correlate well with the general risk profile presented by assigned credit grade and product type categories. We evaluate many such factors and conditions in determining the additional qualitative portion of the allowance, including amount and frequency of losses attributable to issues not specifically addressed or included in the determination and application of the allowance allocation percentages. The methodology used in the periodic review of the appropriateness of the allowance, which is performed at least quarterly, is designed to be dynamic and responsive to changes in portfolio credit quality. The changes are reflected in the general allowance and in specific reserves as the collectability of larger classified loans is evaluated with new information. As our portfolio has matured, historical loss ratios have been closely monitored, and our reserve adequacy relies primarily on our loss history. The review of the appropriateness of the allowance is performed by executive management and presented to a committee of our board of directors for their review. The committee reports to the board as part of the board's review on a quarterly basis of the Company's consolidated financial statements. Other Real Estate Owned Other real estate owned (“OREO”), which is included in other assets on the consolidated balance sheet, consists of real estate that has been foreclosed. Real estate that has been foreclosed is recorded at the fair value of the real estate, less selling costs, through a charge to the allowance for loan losses, if necessary. Subsequent write-downs required for declines in value are recorded through a valuation allowance, or taken directly to the asset, charged to other non-interest expense. Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, which range from three to ten years. Gains or losses on disposals of premises and equipment are included in results of operations. Marketing and Software Marketing costs are expensed as incurred. Ongoing maintenance and enhancements of websites are expensed as incurred. Costs incurred in connection with development or purchase of internal use software are capitalized and amortized over a period not to exceed five years. Internal use software costs are included in other assets in the consolidated balance sheets. Goodwill and Other Intangible Assets Intangible assets are acquired assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights or because the asset is capable of being sold or exchanged either on its own or in combination with a related contract, asset, or liability. Our intangible assets relate primarily to loan customer relationships. Intangible assets with definite useful lives are amortized on an accelerated basis over their estimated life. Goodwill and intangible assets are tested for impairment during the fourth quarter on an annual basis or whenever events or changes in circumstances indicate the carrying amount of the assets may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. Segment Reporting We have determined that all of our lending divisions and subsidiaries meet the aggregation criteria of ASC 280, Segment Reporting , since all offer similar products and services, operate with similar processes, and have similar customers. Stock-based Compensation We account for all stock-based compensation transactions in accordance with ASC 718, Compensation — Stock Compensation (“ASC 718”), which requires that stock compensation transactions be recognized as compensation expense in the consolidated statement of income and other comprehensive income based on their fair values on the measurement date, which is the date of the grant. Accumulated Other Comprehensive Income Unrealized gains or losses on our available-for-sale securities (after applicable income tax expense or benefit) are included in accumulated other comprehensive income, net. Accumulated comprehensive income (loss), net for the three years ended December 31, 2015 is reported in the accompanying consolidated statements of stockholders’ equity and consolidated statements of income and other comprehensive income. Income Taxes The Company and its subsidiary file a consolidated federal income tax return. We utilize the liability method in accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based upon the difference between the values of the assets and liabilities as reflected in the financial statements and their related tax basis using enacted tax rates in effect for the year in which the differences are expected to be recovered or settled. As changes in tax law or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. A valuation reserve is provided against deferred tax assets unless it is more likely than not that such deferred tax assets will be realized. Basic and Diluted Earnings Per Common Share Basic earnings per common share is based on net income available to common stockholders divided by the weighted-average number of common shares outstanding during the period excluding non-vested stock. Diluted earnings per common share include the dilutive effect of stock options and non-vested stock awards granted using the treasury stock method. A reconciliation of the weighted-average shares used in calculating basic earnings per common share and the weighted average common shares used in calculating diluted earnings per common share for the reported periods is provided in Note 15 — Earnings Per Share. Fair Values of Financial Instruments ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value under GAAP and enhances disclosures about fair value measurements. In general, fair values of financial instruments are based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Mortgage Servicing Rights MSRs are created by selling purchased or originated mortgage loans with servicing rights retained. We identify classes of servicing rights based upon the nature of the underlying assumptions used to value the asset along with the risks associated with the underlying asset. Based upon these criteria we have one class of MSRs, residential. Originated MSRs are recognized based on the estimated fair value of the mortgage loans and the related servicing rights at the date of sale using values derived from a valuation model managed by a third party. MSRs are amortized in proportion, and over the estimated life of the projected net servicing revenue and are periodically evaluated for impairment. MSRs are reported on the consolidated balance sheets at lower of cost or market. Loan servicing fee income represents income earned for servicing mortgage loans owned by investors and includes mortgage servicing fees and other ancillary servicing income. Servicing fees are recorded as income when earned and are reported in other non-interest income on the consolidated statements of income and other comprehensive income. For additional information on MSRs, see Note 5 - Certain Transfers of Financial Assets. Financial Instruments with Off-Balance Sheet Risk The Company has undertaken certain guarantee obligations in the ordinary course of business. These guarantees include liabilities with both balance sheet and off-balance sheet risk. We consider the following arrangements to be guarantees: commitments to extend credit, standby letters credit and indemnification agreements included within third party contractual arrangements. For additional information on commitments and contingencies, see Note 13 - Financial Instruments with Off-Balance Sheet Risk. Derivative Financial Instruments All contracts that satisfy the definition of a derivative are recorded at fair value in other assets and other liabilities in the consolidated balance sheets. We record the derivatives on a net basis when a right of offset exists, based on transactions with a single counterparty that are subject to a legally enforceable master netting agreement. For additional information on derivative financial instruments, see Note 20 - Derivative Financial Instruments. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2015 | |
Available-for-sale Securities [Abstract] | |
Securities | Securities The following is a summary of securities (in thousands): December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities: Residential mortgage-backed securities $ 20,536 $ 1,365 $ — $ 21,901 Municipals 828 3 — 831 Equity securities(1) 7,522 11 (273 ) 7,260 $ 28,886 $ 1,379 $ (273 ) $ 29,992 December 31, 2014 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities: Residential mortgage-backed securities $ 28,957 $ 2,108 $ — $ 31,065 Municipals 3,257 10 — 3,267 Equity securities(1) 7,522 16 (151 ) 7,387 $ 39,736 $ 2,134 $ (151 ) $ 41,719 (1) Equity securities consist of Community Reinvestment Act funds. The amortized cost and estimated fair value of securities are presented below by contractual maturity (in thousands, except percentage data): December 31, 2015 Less Than One Year After One Through Five Years After Five Through Ten Years After Ten Years Total Available-for-sale: Residential mortgage-backed securities:(1) Amortized cost $ 214 $ 4,655 $ 4,265 $ 11,402 $ 20,536 Estimated fair value 217 4,837 4,747 12,100 21,901 Weighted average yield(3) 5.62 % 4.71 % 5.54 % 2.53 % 3.68 % Municipals:(2) Amortized cost 265 563 — — 828 Estimated fair value 265 566 — — 831 Weighted average yield(3) 5.46 % 5.69 % — % — % 5.62 % Equity securities:(4) Amortized cost 7,522 — — — 7,522 Estimated fair value 7,260 — — — 7,260 Total available-for-sale securities: Amortized cost $ 28,886 Estimated fair value $ 29,992 December 31, 2014 Less Than One Year After One Through Five Years After Five Through Ten Years After Ten Years Total Available-for-sale: Residential mortgage-backed securities:(1) Amortized cost $ 1 $ 9,151 $ 5,661 $ 14,144 $ 28,957 Estimated fair value 1 9,662 6,333 15,069 31,065 Weighted average yield(3) 6.50 % 4.79 % 5.54 % 2.36 % 3.75 % Municipals:(2) Amortized cost 1,669 1,588 — — 3,257 Estimated fair value 1,674 1,593 — — 3,267 Weighted average yield(3) 5.78 % 5.79 % — — 5.79 % Equity securities:(4) Amortized cost 7,522 — — — 7,522 Estimated fair value 7,387 — — — 7,387 Total available-for-sale securities: Amortized cost $ 39,736 Estimated fair value $ 41,719 (1) Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without prepayment penalties. The average expected life of the mortgage-backed securities was 0.8 years at December 31, 2015 and 1.2 years at December 31, 2014 . (2) Yields have been adjusted to a tax equivalent basis assuming a 35% federal tax rate. (3) Yields are calculated based on amortized cost. (4) These equity securities do not have a stated maturity. Securities with carrying values of approximately $20.7 million and $32.7 million were pledged to secure certain borrowings and deposits at December 31, 2015 and 2014 , respectively. See Note 9 — Borrowing Arrangements for discussion of securities securing borrowings. Of the pledged securities at December 31, 2015 and 2014 , approximately $6.6 million and $10.9 million , respectively, were pledged for certain deposits. The following table discloses, as of December 31, 2015 and December 31, 2014 , our investment securities that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for 12 or more months (in thousands): December 31, 2015 Less Than 12 Months 12 Months or Longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Equity securities $ — $ — $ 6,227 $ (273 ) $ 6,227 $ (273 ) December 31, 2014 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Equity securities $ — $ — $ 6,349 $ (151 ) $ 6,349 $ (151 ) At December 31, 2015 and 2014 , we owned one security with an unrealized loss position. This security is a publicly traded equity fund and is subject to market pricing volatility. We do not believe that this unrealized loss is “other than temporary.” We have evaluated the near-term prospects of the investment in relation to the severity and duration of the impairment and based on that evaluation have the ability and intent to hold the investment until recovery of fair value. Unrealized gains or losses on our available-for-sale securities (after applicable income tax expense or benefit) are included in accumulated other comprehensive income, net. We had comprehensive income of $144.3 million for the year ended December 31, 2015 and comprehensive income of $136.0 million for the year ended December 31, 2014 . |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Loans and Allowance for Credit Losses | Loans Held for Investment and Allowance for Loan Losses Loans held for investment are summarized by category as follows (in thousands): December 31, 2015 2014 Commercial $ 6,672,631 $ 5,869,219 Mortgage finance 4,966,276 4,102,125 Construction 1,851,717 1,416,405 Real estate 3,139,197 2,807,127 Consumer 25,323 19,699 Equipment leases 113,996 99,495 Gross loans held for investment 16,769,140 14,314,070 Deferred income (net of direct origination costs) (57,190 ) (57,058 ) Allowance for loan losses (141,111 ) (100,954 ) Total loans held for investment $ 16,570,839 $ 14,156,058 Commercial Loans and Leases. Our commercial loan portfolio is comprised of lines of credit for working capital and term loans and leases to finance equipment and other business assets. Our energy production loans are generally collateralized with proven reserves based on appropriate valuation standards and take into account the risk of oil and gas price volatility. Our commercial loans and leases are underwritten after carefully evaluating and understanding the borrower’s ability to operate profitably. Our underwriting standards are designed to promote relationship banking rather than to make loans on a transaction basis. Our lines of credit typically are limited to a percentage of the value of the assets securing the line. Lines of credit and term loans typically are reviewed annually and are supported by accounts receivable, inventory, equipment and other assets of our clients’ businesses. Mortgage Finance Loans. Our mortgage finance loans consist of ownership interests purchased in single-family residential mortgages funded through our mortgage finance group. These loans are typically held on our balance sheet for 10 to 20 days. We have agreements with mortgage lenders and purchase interests in individual loans they originate. All loans are underwritten consistent with established programs for permanent financing with financially sound investors. Substantially all loans are conforming loans. December 31, 2015 and 2014 balances are stated net of $454.8 million and $358.3 million participations sold, respectively. Construction Loans. Our construction loan portfolio consists primarily of single- and multi-family residential properties and commercial projects used in manufacturing, warehousing, service or retail businesses. Our construction loans generally have terms of one to three years. We typically make construction loans to developers, builders and contractors that have an established record of successful project completion and loan repayment and have a substantial equity investment in the borrowers. Loan amounts are derived primarily from the Bank's evaluation of expected cash flows available to service debt from stabilized projects under hypothetically stressed conditions. Construction loans are also based in part upon estimates of costs and value associated with the completed project. Sources of repayment for these types of loans may be pre-committed permanent loans from other lenders, sales of developed property, or an interim loan commitment from us until permanent financing is obtained. The nature of these loans makes ultimate repayment sensitive to overall economic conditions. Borrowers may not be able to correct conditions of default in loans, increasing risk of exposure to classification, non-performing status, reserve allocation and actual credit loss and foreclosure. These loans typically have floating rates and commitment fees. Real Estate Loans. A portion of our real estate loan portfolio is comprised of loans secured by properties other than market risk or investment-type real estate. Market risk loans are real estate loans where the primary source of repayment is expected to come from the sale, permanent financing or lease of the real property collateral. We generally provide temporary financing for commercial and residential property. These loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Our real estate loans generally have maximum terms of five to seven years, and we provide loans with both floating and fixed rates. We generally avoid long-term loans for commercial real estate held for investment. Real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. Appraised values may be highly variable due to market conditions and the impact of the inability of potential purchasers and lessees to obtain financing and a lack of transactions at comparable values. At December 31, 2015 and 2014 , we had a blanket floating lien on certain real estate-secured loans, mortgage finance loans and also certain securities used as collateral for FHLB borrowings. Summary of Loan Losses The allowance for loan losses is comprised of specific reserves for impaired loans and an estimate of losses inherent in the portfolio at the balance sheet date, but not yet identified with specified loans. We consider the allowance at December 31, 2015 to be appropriate, given management's assessment of potential losses inherent in the portfolio as of the evaluation date, the significant growth in the loan and lease portfolio, current economic conditions in our market areas and other factors. The following tables summarize the credit risk profile of our loan portfolio by internally assigned grades and non-accrual status as of December 31, 2015 and 2014 (in thousands): Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2015 Grade: Pass $ 6,375,332 $ 4,966,276 $ 1,821,678 $ 3,085,463 $ 25,093 $ 103,560 $ 16,377,402 Special mention 111,911 — 13,090 30,585 3 334 155,923 Substandard- accruing 46,731 — 281 3,837 227 4,951 56,027 Non-accrual 138,657 — 16,668 19,312 — 5,151 179,788 Total loans held for investment $ 6,672,631 $ 4,966,276 $ 1,851,717 $ 3,139,197 $ 25,323 $ 113,996 $ 16,769,140 Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2014 Grade: Pass $ 5,738,474 $ 4,102,125 $ 1,414,671 $ 2,785,804 $ 19,579 $ 91,044 $ 14,151,697 Special mention 53,839 — 1,734 8,723 11 4,363 68,670 Substandard-accruing 43,784 — — 2,653 47 3,915 50,399 Non-accrual 33,122 — — 9,947 62 173 43,304 Total loans held for investment $ 5,869,219 $ 4,102,125 $ 1,416,405 $ 2,807,127 $ 19,699 $ 99,495 $ 14,314,070 The following tables detail activity in the reserve for loan losses by portfolio segment for the years ended December 31, 2015 and 2014 (in thousands). Allocation of a portion of the reserve to one category of loans does not preclude its availability to absorb losses in other categories. Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Additional Qualitative Reserve Total December 31, 2015 Beginning balance $ 70,654 $ — $ 7,935 $ 15,582 $ 240 $ 1,141 $ 5,402 $ 100,954 Provision for loan losses 53,102 — (1,499 ) (1,845 ) (13 ) 2,777 (1,223 ) 51,299 Charge-offs 16,254 — — 389 62 25 — 16,730 Recoveries 4,944 — 400 33 173 38 — 5,588 Net charge-offs (recoveries) 11,310 — (400 ) 356 (111 ) (13 ) — 11,142 Ending balance $ 112,446 $ — $ 6,836 $ 13,381 $ 338 $ 3,931 $ 4,179 $ 141,111 Period end amount allocated to: Loans individually evaluated for impairment $ 19,840 $ — $ — $ 1,191 $ — $ 2,436 $ — $ 23,467 Loans collectively evaluated for impairment 92,606 — 6,836 12,190 338 1,495 4,179 117,644 Ending balance $ 112,446 $ — $ 6,836 $ 13,381 $ 338 $ 3,931 $ 4,179 $ 141,111 Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Additional Qualitative Reserve Total December 31, 2014 Beginning balance $ 39,868 $ — $ 14,553 $ 24,210 $ 149 $ 3,105 $ 5,719 $ 87,604 Provision for loan losses 37,827 — (6,618 ) (8,411 ) 195 (3,046 ) (317 ) 19,630 Charge-offs 9,803 — — 296 266 — — 10,365 Recoveries 2,762 — — 79 162 1,082 — 4,085 Net charge-offs (recoveries) 7,041 — — 217 104 (1,082 ) — 6,280 Ending balance $ 70,654 $ — $ 7,935 $ 15,582 $ 240 $ 1,141 $ 5,402 $ 100,954 Period end amount allocated to: Loans individually evaluated for impairment $ 7,705 $ — $ — $ 636 $ 9 $ 26 $ — $ 8,376 Loans collectively evaluated for impairment 62,949 — 7,935 14,946 231 1,115 5,402 92,578 Ending balance $ 70,654 $ — $ 7,935 $ 15,582 $ 240 $ 1,141 $ 5,402 $ 100,954 We have traditionally maintained an additional qualitative reserve component to compensate for the uncertainty and complexity in estimating loan and lease losses including factors and conditions that may not be fully reflected in the determination and application of the allowance allocation percentages. We believe the level of additional qualitative reserves at December 31, 2015 and 2014 is warranted due to the continued uncertain economic environment which has produced losses, including those resulting from borrowers' misstatement of financial information or inaccurate certification of collateral values. Such losses are not necessarily correlated with historical loss trends or general economic conditions. Our methodology used to calculate the allowance considers historical losses; however, the historical loss rates for specific product types or credit risk grades may not fully incorporate the effects of continued weakness in the economy. Our recorded investment in loans as of December 31, 2015 and 2014 related to each balance in the allowance for loan losses by portfolio segment and disaggregated on the basis of our impairment methodology was as follows (in thousands): Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2015 Loans individually evaluated for impairment $ 140,479 $ — $ 16,668 $ 21,042 $ — $ 5,151 $ 183,340 Loans collectively evaluated for impairment 6,532,152 4,966,276 1,835,049 3,118,155 25,323 108,845 16,585,800 Total $ 6,672,631 $ 4,966,276 $ 1,851,717 $ 3,139,197 $ 25,323 $ 113,996 $ 16,769,140 Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2014 Loans individually evaluated for impairment $ 35,165 $ — $ — $ 13,880 $ 62 $ 173 $ 49,280 Loans collectively evaluated for impairment 5,834,054 4,102,125 1,416,405 2,793,247 19,637 99,322 14,264,790 Total $ 5,869,219 $ 4,102,125 $ 1,416,405 $ 2,807,127 $ 19,699 $ 99,495 $ 14,314,070 Generally we place loans on non-accrual when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan is 90 days past due. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is reversed. Interest income is subsequently recognized on a cash basis as long as the remaining unpaid principal amount of the loan is deemed to be fully collectible. If collectability is questionable, then cash payments are applied to principal. We recognized $1.6 million in interest income on non-accrual loans during 2015 compared to $1.7 million in 2014 and $2.4 million in 2013 . Additional interest income that would have been recorded if the loans had been current during the years ended December 31, 2015 , 2014 and 2013 totaled $7.0 million , $2.1 million and $2.5 million , respectively. As of December 31, 2015 , $884,000 of our non-accrual loans were earning on a cash basis, compared to $310,000 at December 31, 2014 . A loan is placed back on accrual status when both principal and interest are current and it is probable that we will be able to collect all amounts due (both principal and interest) according to the terms of the loan agreement. A loan held for investment is considered impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due (both principal and interest) according to the terms of the loan agreement. In accordance with ASC 310, Receivables , we have included all restructured loans in our impaired loan totals. The following tables detail our impaired loans, by portfolio class as of December 31, 2015 and 2014 (in thousands): December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Business loans $ 11,097 $ 13,529 $ — $ 17,311 $ — Energy loans 37,968 37,968 — 21,791 36 Construction Market risk 16,668 16,668 — 9,764 — Real estate Market risk — — — 3,352 — Commercial 15,353 15,353 — 4,364 24 Secured by 1-4 family — — — — — Consumer — — — — — Equipment leases 2,417 2,417 — 3,233 — Total impaired loans with no allowance recorded $ 83,503 $ 85,935 $ — $ 59,815 $ 60 With an allowance recorded: Commercial Business loans $ 20,983 $ 25,300 $ 5,737 $ 31,131 $ — Energy loans 70,431 70,431 14,103 6,641 — Construction Market risk — — — — — Real estate Market risk 5,335 5,335 1,066 2,558 — Commercial — — — 306 — Secured by 1-4 family 354 354 125 1,580 — Consumer — — — 10 — Equipment leases 2,734 2,734 2,436 302 — Total impaired loans with an allowance recorded $ 99,837 $ 104,154 $ 23,467 $ 42,528 $ — Combined: Commercial Business loans $ 32,080 $ 38,829 $ 5,737 $ 48,442 $ — Energy loans 108,399 108,399 14,103 28,432 36 Construction Market risk 16,668 16,668 — 9,764 — Real estate Market risk 5,335 5,335 1,066 5,910 — Commercial 15,353 15,353 — 4,670 24 Secured by 1-4 family 354 354 125 1,580 — Consumer — — — 10 — Equipment leases 5,151 5,151 2,436 3,535 — Total impaired loans $ 183,340 $ 190,089 $ 23,467 $ 102,343 $ 60 December 31, 2014 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Business loans $ 9,608 $ 11,857 $ — $ 7,334 $ — Energy loans — — — 375 25 Construction Market risk — — — 118 — Real estate Market risk 3,735 3,735 — 7,970 — Commercial 3,521 3,521 — 2,795 — Secured by 1-4 family — — — 1,210 — Consumer — — — — — Equipment leases — — — — — Total impaired loans with no allowance recorded $ 16,864 $ 19,113 $ — $ 19,802 $ 25 With an allowance recorded: Commercial Business loans $ 24,553 $ 25,553 $ 7,433 $ 17,705 $ — Energy loans 1,004 1,004 272 991 — Construction Market risk — — — — — Real estate Market risk 4,203 4,203 317 5,064 — Commercial 526 526 79 705 — Secured by 1-4 family 1,895 1,895 240 2,119 — Consumer 62 62 9 16 — Equipment leases 173 173 26 41 — Total impaired loans with an allowance recorded $ 32,416 $ 33,416 $ 8,376 $ 26,641 $ — Combined: Commercial Business loans $ 34,161 $ 37,410 $ 7,433 $ 25,039 $ — Energy loans 1,004 1,004 272 1,366 25 Construction Market risk — — — 118 — Real estate Market risk 7,938 7,938 317 13,034 — Commercial 4,047 4,047 79 3,500 — Secured by 1-4 family 1,895 1,895 240 3,329 — Consumer 62 62 9 16 — Equipment leases 173 173 26 41 — Total impaired loans $ 49,280 $ 52,529 $ 8,376 $ 46,443 $ 25 Average impaired loans outstanding during the years ended December 31, 2015 , 2014 and 2013 totaled $102.3 million , $46.4 million and $50.8 million respectively. The table below provides an age analysis of our loans held for investment as of December 31, 2015 (in thousands): 30-59 Days Past Due 60-89 Days Past Due Greater Than 90 Days(1) Total Past Due Non-accrual Current Total Commercial Business loans $ 15,847 $ 3,666 $ 7,013 $ 26,526 $ 30,258 $ 5,577,523 $ 5,634,307 Energy 500 — — 500 108,399 929,425 1,038,324 Mortgage finance loans — — — — — 4,966,276 4,966,276 Construction Market risk — — — — 16,668 1,824,936 1,841,604 Secured by 1-4 family — — — — — 10,113 10,113 Real estate Market risk — — — — 3,605 2,402,640 2,406,245 Commercial 17,729 — — 17,729 15,353 612,711 645,793 Secured by 1-4 family 2,319 — — 2,319 354 84,486 87,159 Consumer 659 — — 659 — 24,664 25,323 Equipment leases 91 — — 91 5,151 108,754 113,996 Total loans held for investment $ 37,145 $ 3,666 $ 7,013 $ 47,824 $ 179,788 $ 16,541,528 $ 16,769,140 (1) Loans past due 90 days and still accruing includes premium finance loans of $6.6 million . These loans are generally secured by obligations of insurance carriers to refund premiums on cancelled insurance policies. The refund of premiums from the insurance carriers can take 180 days or longer from the cancellation date. Restructured loans are loans on which, due to the borrower’s financial difficulties, we have granted a concession that we would not otherwise consider for borrowers of similar credit quality. This may include a transfer of real estate or other assets from the borrower, a modification of loan terms, or a combination of the two. Modifications of terms that could potentially qualify as a restructuring include reduction of contractual interest rate, extension of the maturity date at a contractual interest rate lower than the current rate for new debt with similar risk, or a reduction of the face amount of debt, or forgiveness of either principal or accrued interest. As of December 31, 2015 and December 31, 2014 , we had $249,000 and $1.8 million , respectively, in loans considered restructured that are not on non-accrual. These loans did not have unfunded commitments at December 31, 2015 or 2014 . Of the non-accrual loans at December 31, 2015 and 2014 , $24.9 million and $12.1 million , respectively, met the criteria for restructured. These loans had no unfunded commitments at their respective balance sheet dates. A loan continues to qualify as restructured until a consistent payment history or change in borrower’s financial condition has been evidenced, generally no less than twelve months. Assuming that the restructuring agreement specifies an interest rate at the time of the restructuring that is greater than or equal to the rate that we are willing to accept for a new extension of credit with comparable risk, then the loan no longer has to be considered a restructuring if it is in compliance with modified terms in calendar years after the year of the restructure. The following tables summarize, as of December 31, 2015 and 2014 , loans that have been restructured during 2015 and 2014 (in thousands): December 31, 2015 Number of Contracts Pre-Restructuring Outstanding Recorded Investment Post-Restructuring Outstanding Recorded Investment Commercial business loans 5 $ 20,459 $ 14,992 Total new restructured loans in 2015 5 $ 20,459 $ 14,992 December 31, 2014 Number of Contracts Pre-Restructuring Outstanding Recorded Investment Post-Restructuring Outstanding Recorded Investment Real estate - commercial 1 $ 1,441 $ 1,441 Commercial business loans 1 95 80 Total new restructured loans in 2014 2 $ 1,536 $ 1,521 The restructured loans generally include terms to temporarily place the loan on interest only, extend the payment terms or reduce the interest rate. We did not forgive any principal on the above loans. The $5.5 million decrease in the post-restructuring recorded investment compared to the pre-restructuring recorded investment is due to paydowns. At December 31, 2015 , $15.0 million of the above loans restructured in 2015 are on non-accrual. The restructuring of the loans did not have a significant impact on our allowance for loan losses at December 31, 2015 or 2014 . The following table provides information on how loans were modified as a restructured loan during the year ended December 31, 2015 and 2014 (in thousands): December 31, 2015 2014 Extended maturity $ — $ 1,441 Combination of maturity extension and payment schedule adjustment 14,992 80 Total $ 14,992 $ 1,521 As of December 31, 2015 and 2014 , we did not have any loans that were restructured within the last 12 months that subsequently defaulted. |
OREO and Valuation Allowance fo
OREO and Valuation Allowance for Losses on OREO | 12 Months Ended |
Dec. 31, 2015 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |
OREO and Valuation Allowance for Losses on OREO | OREO and Valuation Allowance for Losses on OREO The table below presents a summary of the activity related to OREO (in thousands): Year ended December 31, 2015 2014 2013 Beginning balance $ 568 $ 5,110 $ 15,991 Additions 1,267 851 1,331 Sales (1,557 ) (5,393 ) (11,292 ) Valuation allowance for OREO — — 958 Direct write-downs — — (1,878 ) Ending balance $ 278 $ 568 $ 5,110 |
Certain Transfers of Financial
Certain Transfers of Financial Assets | 12 Months Ended |
Dec. 31, 2015 | |
Transfers and Servicing [Abstract] | |
Certain Transfers of Financial Assets | Certain Transfers of Financial Assets Through our MCA business, we commit to purchase residential mortgage loans from independent correspondent lenders and deliver those loans into the secondary market via whole loans sales to independent third parties or in securitization transactions to GSEs such as Fannie Mae, Freddie Mac or Ginnie Mae. We have elected to carry these loans at fair value based on sales commitments and market quotes. Changes in the fair value of the loans held for sale are included in other non-interest income. Residential mortgage loans are subject to both credit and interest rate risk. Credit risk is managed through underwriting policies and procedures, including collateral requirements, which are generally accepted by the secondary loan markets. Exposure to interest rate fluctuations is partially managed through forward sales contracts, which set the price for loans that will be delivered in the next 60 to 90 days. The table below presents the unpaid principal balance of loans held for sale and related fair values at December 31, 2015 (in thousands): December 31, 2015 Unpaid Principal Balance Fair Value Fair Value Over/(Under) Unpaid Principal Balance Loans held for sale $ 82,853 $ 86,075 $ 3,222 No loans held for sale were 90 days or more past due or considered impaired as of December 31, 2015 , and no credit losses were recognized on loans held for sale for the year ended December 31, 2015 . The differences between the fair value and the aggregate unpaid principal balance include changes in fair value recorded at and subsequent to purchase, gains and losses on the related loan purchase commitment prior to purchase and premiums or discounts on acquired loans. We generally retain the right to service the loans sold, creating MSR assets on our balance sheet. A summary of MSR activities for the year ended December 31, 2015 is as follows (in thousands): 2015 Balance, beginning of year $ — Capitalized servicing rights 437 Amortization (14 ) Balance, end of year $ 423 Fair value $ 423 At December 31, 2015 , our servicing portfolio of loans sold included 168 loans with an outstanding principal balance of $39.0 million . In connection with the servicing of these loans, we maintain escrow funds for taxes and insurance in the name of investors, as well as collections in transit to investors. These escrow funds are segregated and held in separate non-interest-bearing bank accounts at the Bank. These deposits, included in total non-interest-bearing deposits on the consolidated balance sheets, were $240,000 at December 31, 2015 . For loans securitized and sold for the year ended December 31, 2015 with servicing rights retained, management used the following assumptions to determine the fair value of MSRs at the date of securitization or sale: 2015 Average discount rates 9.76 % Expected prepayment speeds 9.14 % Weighted-average life, in years 7.3 In conjunction with the sale and securitization of loans held for sale, we may be exposed to liability resulting from recourse agreements and repurchase agreements. If it is determined subsequent to our sale of a loan that the loan sold is in breach of the representations or warranties made in the applicable sale agreement, we may have an obligation to either (a) repurchase the loan for the unpaid principal balance, accrued interest and related advances, (b) indemnify the purchaser against any loss it suffers or (c) make the purchaser whole for the economic benefits of the loan. During the year ended December 31, 2015 , we originated or purchased and sold approximately $39.1 million of mortgage loans to GSEs. Our repurchase, indemnification and make whole obligations vary based upon the terms of the applicable agreements, the nature of the asserted breach and the status of the mortgage loan at the time a claim is made. We establish reserves for estimated losses of this nature inherent in the origination of mortgage loans by estimating the probable losses inherent in the population of all loans sold based on trends in claims and actual loss severities experienced. The reserve will include accruals for probable contingent losses in addition to those identified in the pipeline of claims received. The estimation process is designed to include amounts based on actual losses experienced from actual repurchase activity. Because the MCA business commenced in 2015, we have no historical data to support the establishment of a reserve. The baseline for the repurchase reserve uses historical loss factors obtained from industry data that are applied to loan pools originated and sold during the year ended December 31, 2015 . The historical industry data loss factors and experienced losses will be accumulated for each sale vintage (year loan was sold) and applied to more recent sale vintages to estimate inherent losses not yet realized. Our estimated exposure related to these loans was $20,000 at December 31, 2015 and is recorded in other liabilities in the consolidated balance sheets. We had no losses due to repurchase, indemnification or make-whole obligations during the year ended December 31, 2015 . |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets In May 2013, we acquired the assets of a premium finance company and recorded a total intangible asset of $2.1 million . Of this total, $954,000 was allocated to goodwill, $554,000 to customer relationships, $457,000 to developed technology and $98,000 to trade name. The $554,000 customer relationship intangible is being amortized over 14 years , the $457,000 technology intangible is being amortized over 7 years , and the $98,000 intangible related to the trade name was determined to have an indefinite life. Goodwill and other intangible assets at December 31, 2015 and 2014 are summarized as follows (in thousands): Gross Goodwill and Intangible Assets Accumulated Amortization Net Goodwill and Intangible Assets December 31, 2015 Goodwill $ 15,370 $ (374 ) $ 14,996 Intangible assets—customer relationships and trademarks 9,104 (4,140 ) 4,964 Total goodwill and intangible assets $ 24,474 $ (4,514 ) $ 19,960 December 31, 2014 Goodwill $ 15,370 $ (374 ) $ 14,996 Intangible assets—customer relationships and trademarks 9,104 (3,512 ) 5,592 Total goodwill and intangible assets $ 24,474 $ (3,886 ) $ 20,588 Amortization expense related to intangible assets totaled $628,000 in 2015 , $699,000 in 2014 and $660,000 in 2013 . The estimated aggregate future amortization expense for intangible assets remaining as of December 31, 2015 is as follows (in thousands): 2016 $ 471 2017 473 2018 473 2019 473 2020 435 Thereafter 2,639 $ 4,964 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment Premises and equipment at December 31, 2015 and 2014 are summarized as follows (in thousands): December 31, 2015 2014 Premises $ 21,020 $ 24,339 Furniture and equipment 26,185 22,418 47,205 46,757 Accumulated depreciation (23,644 ) (23,622 ) Total premises and equipment, net $ 23,561 $ 23,135 Depreciation expense for the above premises and equipment was approximately $4.6 million, $4.1 million and $4.0 million in 2015 , 2014 and 2013 , respectively. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2015 | |
Deposits [Abstract] | |
Deposits | Deposits Deposits at December 31, 2015 and 2014 were as follows (in thousands): 2015 2014 Non-interest-bearing demand deposits $ 6,386,911 $ 5,011,619 Interest-bearing deposits Transaction 2,006,591 1,292,388 Savings 6,163,622 5,630,253 Time 527,495 426,331 Deposits in foreign branches — 312,709 Total interest-bearing deposits 8,697,708 7,661,681 Total deposits $ 15,084,619 $ 12,673,300 The scheduled maturities of interest-bearing time deposits were as follows at December 31, 2015 (in thousands): 2016 $ 502,113 2017 18,138 2018 1,646 2019 4,001 2020 1,597 2021 and after — $ 527,495 At December 31, 2015 and 2014 , the Bank had approximately $16.6 million and $23.5 million, respectively, in deposits from related parties, including directors, stockholders, and their related affiliates. At December 31, 2015 and 2014 , interest-bearing time deposits, including deposits in foreign branches, of $250,000 or more were approximately $274.4 million and $527.6 million, respectively. |
Borrowing Arrangements
Borrowing Arrangements | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Borrowing Arrangements | Borrowing Arrangements The following table summarizes our borrowings at December 31, 2015 , 2014 and 2013 (in thousands): 2015 2014 2013 Balance Rate(3) Balance Rate(3) Balance Rate(3) Federal funds purchased(4) $ 74,164 0.55 % $ 66,971 0.30 % $ 148,650 0.22 % Customer repurchase agreements(1) 68,887 0.02 % 25,705 0.07 % 21,954 0.06 % FHLB borrowings(2) 1,500,000 0.31 % 1,100,005 0.13 % 840,026 0.12 % Line of credit — — % — — % 15,000 2.65 % Subordinated notes 286,000 5.75 % 286,000 5.82 % 111,000 6.50 % Trust preferred subordinated debentures 113,406 2.47 % 113,406 2.18 % 113,406 2.17 % Total borrowings $ 2,042,457 $ 1,592,087 $ 1,250,036 Maximum outstanding at any month end $ 2,042,457 $ 1,592,087 $ 1,859,036 (1) Securities pledged for customer repurchase agreements were $14.2 million , $21.8 million and $37.7 million at December 31, 2015 , 2014 and 2013 , respectively. (2) FHLB borrowings are collateralized by a blanket floating lien on certain real estate secured loans, mortgage finance assets and also certain pledged securities. The weighted-average interest rate for the years ended December 31, 2015 , 2014 and 2013 was 0.18% , 0.15% and 0.14% , respectively. The average balance of FHLB borrowings for the years ended December 31, 2015 , 2014 and 2013 was $1.2 billion , $213.4 million and $370.0 million , respectively. (3) Interest rate as of period end. (4) The weighted-average interest rate on Federal funds purchased for the years ended December 31, 2015 , 2014 and 2013 was 0.29% , 0.27% and 0.27% , respectively. The average balance of Federal funds purchased for the years ended December 31, 2015 , 2014 and 2013 was $98.8 million , $139.3 million and $254.3 million , respectively. The following table summarizes our other borrowing capacities net of balances outstanding at December 31, 2015 , 2014 and 2013 (in thousands): 2015 2014 2013 FHLB borrowing capacity relating to loans $ 4,101,396 $ 3,602,994 $ 693,302 FHLB borrowing capacity relating to securities 1,213 535 8,482 Total FHLB borrowing capacity $ 4,102,609 $ 3,603,529 $ 701,784 Unused Federal funds lines available from commercial banks $ 1,231,000 $ 1,186,000 $ 890,000 Unused Federal Reserve Borrowings capacity $ 2,966,702 $ 2,643,000 $ 2,284,000 Our unsecured, revolving, non-amortizing line of credit had maximum availability of $100.0 million and matured on December 22, 2015 . This line of credit was renewed on December 22, 2015 with a new maximum availability of $130.0 million and a maturity date of December 21, 2016. The loan proceeds may be used for general corporate purposes including funding regulatory capital infusions into the Bank. The loan agreement contains customary financial covenants and restrictions. As of December 31, 2015 and December 31, 2014 , no borrowings were outstanding and no funds were borrowed during the years ended December 31, 2015 and 2014 . The scheduled maturities of our borrowings at December 31, 2015 , were as follows (in thousands): Within One Year After One But Within Three Years After Three But Within Five Years After Five Years Total Federal funds purchased and customer repurchase agreements(1) $ 143,051 $ — $ — $ — $ 143,051 FHLB borrowings(1) 700,000 800,000 — — 1,500,000 Subordinated notes(1) — — — 286,000 286,000 Trust preferred subordinated debentures(1) — — — 113,406 113,406 Total borrowings $ 843,051 $ 800,000 $ — $ 399,406 $ 2,042,457 (1) Excludes interest. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2015 | |
Subordinated Borrowings [Abstract] | |
Long-Term Debt | Long-Term Debt From November 2002 to September 2006 various Texas Capital Statutory Trusts were created and subsequently issued floating rate trust preferred securities in various private offerings totaling $113.4 million . As of December 31, 2015 , the details of the trust preferred subordinated debentures are summarized below (in thousands): Texas Capital Texas Capital Texas Capital Texas Capital Texas Capital Date issued November 19, 2002 April 10, 2003 October 6, 2005 April 28, 2006 September 29, 2006 Trust preferred securities issued $10,310 $10,310 $25,774 $25,774 $41,238 Floating or fixed rate securities Floating Floating Floating Floating Floating Interest rate on subordinated debentures 3 month LIBOR + 3.35% 3 month LIBOR + 3.25% 3 month LIBOR + 1.51% 3 month LIBOR + 1.60% 3 month LIBOR + 1.71% Maturity date November 2032 April 2033 December 2035 June 2036 December 2036 On September 21, 2012, we issued $111.0 million of subordinated notes. The notes mature in September 2042 and bear interest at a rate of 6.50% per annum, payable quarterly. The indenture governing the notes contains customary covenants and restrictions. On January 31, 2014, the Bank issued $175.0 million of subordinated notes in an offering to institutional investors exempt from registration under Section 3(a)(2) of the Securities Act of 1933 and 12 C.F.R. Part 16. Net proceeds from the transaction were $172.4 million . The notes mature in January 2026 and bear interest at a rate of 5.25% per annum, payable semi-annually. The notes are unsecured and are subordinate to the Bank’s obligations to its depositors, its obligations under banker’s acceptances and letters of credit, certain obligations to Federal Reserve Banks and the FDIC and the Bank’s obligations to its other creditors, except any obligations which expressly rank on a parity with or junior to the notes. The notes qualify as Tier 2 capital for regulatory capital purposes, subject to applicable limitations. Interest payments on all long-term debt are deductible for federal income tax purposes. Because our Bank had less than $15.0 billion in total consolidated assets as of December 31, 2009, we are allowed to continue to classify our trust preferred securities, all of which were issued prior to May 19, 2010, as Tier 1 capital. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes We have a gross deferred tax asset of $78.8 million and $65.5 million at December 31, 2015 and 2014 , respectively, which relates primarily to our allowance for loan losses, loan origination fees and stock compensation. Management believes it is more likely than not that all of the deferred tax assets will be realized. Our net deferred tax asset is included in other assets in the consolidated balance sheets. Income tax expense/(benefit) consists of the following for the years ended (in thousands): Year ended December 31, 2015 2014 2013 Current: Federal $ 80,957 $ 77,855 $ 76,478 State 2,245 2,124 1,878 Total 83,202 79,979 78,356 Deferred Federal (3,561 ) (3,969 ) (11,599 ) State — — — Total (3,561 ) (3,969 ) (11,599 ) Total expense Federal 77,396 73,886 64,879 State 2,245 2,124 1,878 Total $ 79,641 $ 76,010 $ 66,757 The tax effect of unrealized gains and losses on available-for-sale securities is recorded to other comprehensive income and is not a component of income tax expense/(benefit). Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of deferred tax assets and liabilities are as follows (in thousands): December 31, 2015 2014 Deferred tax assets: Allowance for credit losses $ 53,368 $ 38,356 Loan origination fees 13,435 13,651 Stock compensation 5,509 8,263 Mark to market on mortgage loans 184 215 Reserve for potential mortgage loan repurchases — 20 Non-accrual interest 1,198 1,272 Deferred lease expense 3,779 1,688 Depreciation — 691 OREO valuation allowance 8 22 Other 1,299 1,298 Total deferred tax assets 78,780 65,476 Deferred tax liabilities: Loan origination costs (1,726 ) (1,488 ) Leases (10,121 ) (9,466 ) Depreciation (8,296 ) — Unrealized gain on securities (387 ) (694 ) Other (2,468 ) (1,914 ) Total deferred tax liabilities (22,998 ) (13,562 ) Net deferred tax asset $ 55,782 $ 51,914 ASC 740-10, Income Taxes — Accounting for Uncertainties in Income Taxes (“ASC 740-10”) prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Benefits from tax positions should be recognized in the financial statements only when it is more likely than not that the tax position will be sustained upon examination by the appropriate taxing authority that would have full knowledge of all relevant information. A tax position that meets the more-likely-than-not recognition threshold is measured at the largest amount of cumulative benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Tax positions that previously failed to meet the more-likely-than-not recognition threshold should be recognized in the first subsequent financial reporting period in which that threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not recognition threshold should be derecognized in the first subsequent financial reporting period in which that threshold is no longer met. ASC 740-10 also provides guidance on the accounting for and disclosure of unrecognized tax benefits, interest and penalties. We file income tax returns in the U.S. federal jurisdiction and several U.S. state jurisdictions. We are no longer subject to U.S. federal income tax examinations by tax authorities for years before 2012. The reconciliation of income computed at the U.S. federal statutory tax rates to income tax expense (benefit) is as follows: Year ended December 31, 2015 2014 2013 Tax at U.S. statutory rate 35 % 35 % 35 % State taxes 1 % 1 % 1 % Non-deductible expenses 1 % 1 % 1 % Non-taxable income (1 )% (1 )% (1 )% Other (1 )% — — Total 35 % 36 % 36 % |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2015 | |
Compensation Related Costs [Abstract] | |
Stock-Based Compensation and Employee Benefits | Employee Benefits We have a qualified retirement plan, with a salary deferral feature designed to qualify under Section 401 of the Internal Revenue Code (“the 401(k) Plan”). The 401(k) Plan permits our employees to defer a portion of their compensation. Matching contributions may be made in amounts and at times determined by the Company. We contributed approximately $6.3 million , $4.5 million , and $3.7 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. Employees are eligible to participate in the 401(k) Plan when they meet certain requirements concerning minimum age and period of credited service. All contributions to the 401(k) Plan are invested in accordance with participant elections among certain investment options. During 2000, we implemented an Employee Stock Purchase Plan (“ESPP”). Employees are eligible for the plan when they meet certain requirements concerning period of credited service and minimum hours worked. Eligible employees may contribute a minimum of 1% to a maximum of 10% of eligible compensation up to the Section 423 of the Internal Revenue Code limit of $25,000. In 2006, stockholders approved the 2006 ESPP, which allocated 400,000 shares for purchase. As of December 31, 2015 , 2014 and 2013 , 113,910 , 102,836 and 93,388 shares had been purchased on behalf of the employees under the 2006 ESPP. We have stock-based compensation plans under which equity-based compensation grants are made by the board of directors, or its designated committee. Grants are subject to vesting requirements. Under the plans, we may grant, among other things, nonqualified stock options, incentive stock options, restricted stock units (“RSUs”), stock appreciation rights (“SARs”), cash-based performance units or any combination thereof. Plans include grants for employees and directors. Total shares authorized under the plans are 2,550,000 . Total shares which may be issued under the plans at December 31, 2015 were 2,455,048 . The fair value of our option and SAR grants are estimated at the date of grant using the Black-Scholes option pricing model. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded options which have no vesting restrictions and are fully transferable. In addition, option valuation models require the input of highly subjective assumptions including the expected stock price volatility. Because our employee stock options have characteristics significantly different from those of traded options, and because changes in the subjective input assumptions can materially affect the fair value estimate, in management’s opinion, the existing models do not necessarily provide the best single measure of the fair value of employee stock options. The fair value of the options and SARs were estimated at the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions. No stock options or SARs were granted in 2015 . 2015 2014 2013 Risk-free rate N/A 1.46 % 1.17 % Market price volatility factor N/A 0.402 0.409 Weighted-average expected life of options N/A 5 years 5 years Market price volatility and expected life of options is based on historical data and other factors. A summary of our stock option activity and related information for 2015 , 2014 and 2013 is as follows: December 31, 2015 December 31, 2014 December 31, 2013 Options Weighted Average Exercise Price Options Weighted Options Weighted Options outstanding at beginning of year 25,000 $ 20.60 54,900 $ 18.65 174,062 $ 13.51 Options exercised (21,000 ) 20.05 (28,400 ) 17.34 (119,162 ) 11.14 Options forfeited (4,000 ) 23.50 (1,500 ) 14.91 — — Options outstanding at year-end — $ — 25,000 $ 20.60 54,900 $ 18.65 Options vested and exercisable at year-end — $ — 25,000 $ 20.60 54,900 $ 18.65 Intrinsic value of options vested and exercisable $ — $ 843,190 $ 2,391,014 Weighted average remaining contractual life of options vested and exercisable (in years) 0.00 0.30 0.97 Intrinsic value of options exercised $ 565,000 $ 1,193,070 $ 4,176,787 Weighted average remaining contractual life of options currently outstanding (in years) 0.00 0.30 0.97 There was no expense related to stock option awards in 2015 , 2014 and 2013 . A summary of our SAR activity and related information for 2015 , 2014 and 2013 is as follows. These rights are time-vested and generally vest ratably over a period of five years. December 31, 2015 December 31, 2014 December 31, 2013 SARs Weighted Average Exercise Price SARs Weighted SARs / Weighted SARs outstanding at beginning of year 445,009 $ 24.83 537,149 $ 23.68 640,220 $ 20.90 SARs granted — — 8,000 62.02 53,500 43.73 SARs exercised (84,465 ) 20.97 (92,640 ) 20.87 (134,271 ) 19.21 SARs forfeited — — (7,500 ) 31.16 (22,300 ) 18.99 SARs outstanding at year-end 360,544 $ 25.73 445,009 $ 24.83 537,149 $ 23.68 SARs vested and exercisable at year-end 307,144 $ 22.49 355,509 $ 21.16 384,974 $ 20.64 Weighted average remaining contractual life of SARs vested 2.36 2.89 3.46 Compensation expense $ 367,000 $ 530,000 $ 564,000 Weighted average fair value of SARs granted $ — $ 23.02 $ 16.26 Fair value of shares vested during the year $ 436,000 $ 580,345 $ 566,341 Weighted average remaining contractual life of SARs currently outstanding (in years) 3.08 3.85 4.68 Intrinsic value of SARs exercised $ 8,291,000 $ 11,794,000 $ 16,000,000 The following table summarizes the status of and changes in our RSUs: Restricted Stock Units Number of Shares Weighted- Average Grant- Date Fair Value Balance, January 1, 2013 411,919 $ 23.80 Granted 163,500 45.35 Vested and issued (151,480 ) 20.47 Forfeited (20,200 ) 24.96 Balance, December 31, 2013 403,739 33.72 Granted 64,050 57.84 Vested and issued (161,249 ) 26.40 Forfeited (17,375 ) 37.40 Balance, December 31, 2014 289,165 42.93 Granted 144,952 51.96 Vested and issued (95,943 ) 38.05 Forfeited (12,200 ) 43.89 Balance, December 31, 2015 325,974 $ 48.42 The RSUs granted during 2015 , 2014 and 2013 vest ratably over four to five years. Compensation cost for RSUs was $4.2 million, $4.1 million and $3.6 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. The weighted average remaining contractual life of RSUs currently outstanding is 8.29 years. Total compensation cost for all share-based arrangements, net of taxes, was $3.0 million, $3.0 million and $2.7 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. Unrecognized stock-based compensation expense related to SAR grants issued through December 31, 2015 was $699,000 . At December 31, 2015 , the weighted average period over which this unrecognized expense was expected to be recognized was 2.4 years. Unrecognized stock-based compensation expense related to RSU grants through December 31, 2015 was $13.0 million . At December 31, 2015 , the weighted average period over which this unrecognized expense was expected to be recognized was 3.3 years. Cash flows from financing activities included $1.5 million, $2.9 million and $1.2 million in cash inflows from excess tax benefits related to stock-based compensation in 2015 , 2014 and 2013 , respectively. Upon the exercise of stock options, new shares are issued as opposed to treasury shares. We granted a total of 146,153 cash-based performance units in 2015 , with a total of 475,441 outstanding at December 31, 2015 . We granted a total of 171,808 and 173,035 cash-based performance units in 2014 and 2013 . Of the outstanding units at December 31, 2015 , 385,172 are service-based and vest ratably over a period of five years . Additionally, 90,269 units contain both service and performance based vesting requirements: 25 - 50% of the units will vest on the third anniversary of the date of grant, and the balance will vest based on attainment of certain performance metrics developed by the Human Resources Committee. Since these units have a cash payout feature, they are accounted for under the liability method and the related expense is based on the stock price at period end. Compensation cost for the units was $7.7 million, $9.9 million and $17.3 million for the years ended December 31, 2015 , 2014 and 2013 respectively. At December 31, 2015 , the weighted average remaining contractual life of the units was 8.03 years. Total compensation cost for all cash-based arrangements, net of taxes, for the years ended December 31, 2015 , 2014 and 2013 was $5.0 million, $6.5 million and $11.2 million, respectively. |
Financial Instruments with Off-
Financial Instruments with Off-Balance Sheet Risk | 12 Months Ended |
Dec. 31, 2015 | |
Risks and Uncertainties [Abstract] | |
Financial Instruments with Off-Balance Sheet Risk | Financial Instruments with Off-Balance Sheet Risk The Bank is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit that involve varying degrees of credit risk in excess of the amount recognized in the consolidated balance sheets. The Bank’s exposure to credit loss in the event of non-performance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of these instruments. The Bank uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. The amount of collateral obtained, if deemed necessary, is based on management’s credit evaluation of the borrower. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s credit-worthiness on a case-by-case basis. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. At December 31, 2015 and 2014 , commitments to extend credit and standby and commercial letters of credit were as follows (in thousands): December 31, 2015 2014 Commitments to extend credit $ 5,542,363 $ 5,324,460 Standby letters of credit 182,219 177,808 At December 31, 2015 and 2014 , we had $9.0 million and $7.1 million , respectively, in allowance allocations for these off-balance sheet commitments recorded in other liabilities. |
Regulatory Restrictions
Regulatory Restrictions | 12 Months Ended |
Dec. 31, 2015 | |
Regulatory Capital Requirements [Abstract] | |
Regulatory Restrictions | Regulatory Restrictions The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory (and possibly additional discretionary) actions by regulators that, if undertaken, could have a direct material effect on the Company’s and the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the Company’s and the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Company’s and the Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. In July 2013, the Federal Reserve published final rules for the adoption of the Basel III regulatory capital framework (the "Basel III Capital Rules"). The Basel III Capital Rules, among other things, (i) introduced a new capital measure called "Common Equity Tier 1" ("CET1"), (ii) specified that Tier 1 capital consist of CET1 and "Additional Tier 1 Capital" instruments meeting specified requirements, (iii) defined CET1 narrowly by requiring that most deductions/adjustments to regulatory capital measures be made to CET1 and not to the other components of capital and (iv) expanded the scope of the deductions/adjustments as compared to existing regulations. The Basel III Capital Rules became effective for us on January 1, 2015 with certain transition provisions fully phased in on January 1, 2019. Quantitative measures established by regulation to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios of CET1, Tier 1 and total capital to risk-weighted assets, and of Tier 1 capital to average assets, each as defined in the regulations. Management believes, as of December 31, 2015 , that the Company and the Bank meet all capital adequacy requirements to which they are subject. Financial institutions are categorized as well capitalized or adequately capitalized, based on minimum total risk-based, Tier 1 risk-based, CET1 and Tier 1 leverage ratios. As shown in the table below, the Company’s capital ratios exceeded the regulatory definition of adequately capitalized as of December 31, 2015 and 2014 . Based upon the information in its most recently filed call report, the Bank met the capital ratios necessary to be well capitalized. The regulatory authorities can apply changes in classification of assets and such change may retroactively subject the Company to change in capital ratios. Any such change could result in reducing one or more capital ratios below well-capitalized status. In addition, a change may result in imposition of additional assessments by the FDIC or could result in regulatory actions that could have a material effect on condition and results of operations. Because our Bank had less than $15.0 billion in total consolidated assets as of December 31, 2009, we are allowed to continue to classify our trust preferred securities, all of which were issued prior to May 19, 2010, as Tier 1 capital. The table below summarizes our capital ratios: Actual For Capital Adequacy Purposes To Be Well Capitalized Under Prompt Corrective Action Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2015: CET1: Company $ 1,455,662 7.47 % $ 876,563 4.50 % N/A N/A Bank 1,522,729 7.82 % 876,336 4.50 % $ 1,265,819 6.50 % Total capital (to risk-weighted assets): Company $ 2,152,292 11.05 % $ 1,558,334 8.00 % N/A N/A Bank 2,058,359 10.57 % 1,557,931 8.00 % $ 1,947,414 10.00 % Tier 1 capital (to risk-weighted assets): Company $ 1,716,170 8.81 % $ 1,168,751 6.00 % N/A N/A Bank 1,683,237 8.64 % 1,168,448 6.00 % $ 1,557,931 8.00 % Tier 1 capital (to average assets): Company $ 1,716,170 8.92 % $ 769,258 4.00 % N/A N/A Bank 1,683,237 8.75 % 769,498 4.00 % $ 961,873 5.00 % As of December 31, 2014: CET1: Company $ 1,312,225 7.89 % $ 748,445 4.50 % N/A N/A Bank 1,263,569 7.60 % 748,252 4.50 % $ 1,080,809 6.50 % Total capital (to risk-weighted assets): Company $ 1,967,021 11.83 % $ 1,330,568 8.00 % N/A N/A Bank 1,757,365 10.57 % 1,330,226 8.00 % $ 1,662,782 10.00 % Tier 1 capital (to risk-weighted assets): Company $ 1,573,007 9.46 % $ 665,284 4.00 % N/A N/A Bank 1,424,351 8.57 % 665,113 4.00 % $ 997,669 6.00 % Tier 1 capital (to average assets): Company $ 1,573,007 10.76 % $ 584,765 4.00 % N/A N/A Bank 1,424,351 9.75 % 584,597 4.00 % $ 730,746 5.00 % Our mortgage finance loan volumes can increase significantly at month-end, causing a meaningful difference between ending balance and average balance for any period. At December 31, 2015 , our total mortgage finance loans were $5.0 billion compared to the average for the year ended December 31, 2015 of $4.0 billion . As CET1, Tier 1 and total capital ratios are calculated using quarter-end risk-weighted assets and our mortgage finance loans are 100% risk-weighted, the quarter-end fluctuation in these balances can significantly impact our reported ratios. Due to the actual risk profile and liquidity of this asset class, we manage capital allocated to mortgage finance loans based on changing trends in average balances and do not believe that the quarter-end balance is representative of risk characteristics that would justify higher allocations. However, we will continue to monitor our capital allocation to confirm that all capital levels remain above well-capitalized levels. Dividends that may be paid by subsidiary banks are routinely restricted by various regulatory authorities. The amount that can be paid in any calendar year without prior approval of the Bank’s regulatory agencies cannot exceed the lesser of the net profits (as defined) for that year plus the net profits for the preceding two calendar years, or retained earnings. The Basel III Capital Rules further limit the amount of dividends that may be paid by our Bank. No dividends were declared or paid on common stock during 2015 , 2014 or 2013 . The required reserve balances at the Federal Reserve at December 31, 2015 and 2014 were approximately $150,642,000 and $88,155,000 , respectively. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table presents the computation of basic and diluted earnings per share (in thousands except share data): Year ended December 31, 2015 2014 2013 Numerator: Net income $ 144,854 $ 136,352 $ 121,051 Preferred stock dividends 9,750 9,750 7,394 Net income available to common stockholders $ 135,104 $ 126,602 $ 113,657 Denominator: Denominator for basic earnings per share—weighted average shares 45,808,440 43,236,344 40,864,225 Effect of employee stock-based awards(1) 211,168 311,423 402,593 Effect of warrants to purchase common stock 418,264 455,489 513,063 Denominator for dilutive earnings per share—adjusted weighted average shares and assumed conversions 46,437,872 44,003,256 41,779,881 Basic earnings per common share $ 2.95 $ 2.93 $ 2.78 Diluted earnings per common share $ 2.91 $ 2.88 $ 2.72 (1) Stock options, SARs and RSUs outstanding of 64,700 , 51,300 and 118,500 in 2015 , 2014 and 2013 , respectively, have not been included in diluted earnings per share because to do so would have been antidilutive for the periods presented. Stock options are antidilutive when the exercise price is higher than the average market price of the Company’s common stock. |
Fair Value Disclosures
Fair Value Disclosures | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | Fair Value Disclosures ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value under GAAP and requires enhanced disclosures about fair value measurements. Fair value is defined under ASC 820 as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal market for the asset or liability in an orderly transaction between market participants on the measurement date. We determine the fair market values of our assets and liabilities measured at fair value on a recurring and nonrecurring basis using the fair value hierarchy as prescribed in ASC 820. The standard describes three levels of inputs that may be used to measure fair value as provided below. Level 1 Quoted prices in active markets for identical assets or liabilities. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets include U.S. government and agency mortgage-backed debt securities, municipal bonds, and Community Reinvestment Act funds. This category includes loans held for sale and derivative assets and liabilities where values are obtained from independent pricing services. Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair values requires significant management judgment or estimation. This category also includes impaired loans and OREO where collateral values have been based on third party appraisals; however, due to current economic conditions, comparative sales data typically used in appraisals may be unavailable or more subjective due to lack of market activity. Assets and liabilities measured at fair value at December 31, 2015 and 2014 are as follows (in thousands): Fair Value Measurements Using December 31, 2015 Level 1 Level 2 Level 3 Available for sale securities:(1) Mortgage-backed securities $ — $ 21,901 $ — Municipals — 831 — Equity securities(2) — 7,260 — Loans held for sale(3) — 86,075 — Loans(4)(6) — — 41,420 OREO(5)(6) — — 278 Derivative assets(7) — 35,292 — Derivative liabilities(7) — 35,420 — December 31, 2014 Available for sale securities:(1) Mortgage-backed securities $ — $ 31,065 $ — Municipals — 3,267 — Equity securities(2) — 7,387 — Loans held for sale(3) — — — Loans(4)(6) — — 23,536 OREO(5)(6) — — 568 Derivative assets(7) — 31,176 — Derivative liabilities(7) — 31,176 — (1) Securities are measured at fair value on a recurring basis, generally monthly. (2) Equity securities consist of Community Reinvestment Act funds. (3) Loans held for sale are measured at fair value on a recurring basis, generally monthly. (4) Includes impaired loans that have been measured for impairment at the fair value of the loan’s collateral. (5) OREO is transferred from loans to OREO at fair value less selling costs. (6) Fair value of loans and OREO is measured on a nonrecurring basis, generally annually or more often as warranted by market and economic conditions (7) Derivative assets and liabilities are measured at fair value on a recurring basis, generally quarterly. Level 3 Valuations Financial instruments are considered Level 3 when their values are determined using pricing models, discounted cash flow methodologies or similar techniques and at least one significant model assumption or input is unobservable. Level 3 financial instruments also include those for which the determination of fair value requires significant management judgment or estimation. Currently, we measure fair value for certain loans on a nonrecurring basis as described below. Loans held for investment During the years ended December 31, 2015 and 2014 , certain impaired loans held for investment were re-evaluated and reported at fair value through a specific valuation allowance allocation of the allowance for possible loan losses based upon the fair value of the underlying collateral. The $41.4 million total above includes impaired loans at December 31, 2015 with a carrying value of $49.7 million that were reduced by specific valuation allowance allocations totaling $8.3 million for a total reported fair value of $41.4 million based on collateral valuations utilizing Level 3 valuation inputs. The $23.5 million total above includes impaired loans at December 31, 2014 with a carrying value of $29.2 million that were reduced by specific valuation allowance allocations totaling $5.7 million for a total reported fair value of $23.5 million based on collateral valuations utilizing Level 3 valuation inputs. Fair values were based on third party appraisals. OREO Certain foreclosed assets, upon initial recognition, were valued based on third party appraisals. At December 31, 2015 and 2014 , OREO had a carrying value of $278,000 and $568,000 , respectively, with no specific valuation allowance. The fair value of OREO was computed based on third party appraisals, which are Level 3 valuation inputs. Fair Value of Financial Instruments Generally accepted accounting principles require disclosure of fair value information about financial instruments, whether or not recognized on the balance sheet, for which it is practical to estimate that value. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. This disclosure does not and is not intended to represent the fair value of the Company. A summary of the carrying amounts and estimated fair values of financial instruments is as follows (in thousands): December 31, 2015 December 31, 2014 Carrying Amount Estimated Fair Value Carrying Estimated Cash and cash equivalents $ 1,790,870 $ 1,790,870 $ 1,330,514 $ 1,330,514 Securities, available-for-sale 29,992 29,992 41,719 41,719 Loans held for sale 86,075 86,075 — — Loans held for investment, net 16,570,839 16,576,297 14,156,058 14,161,484 Derivative assets 35,292 35,292 31,176 31,176 Deposits 15,084,619 15,085,080 12,673,300 12,673,607 Federal funds purchased 74,164 74,164 66,971 66,971 Customer repurchase agreements 68,887 68,887 25,705 25,705 Other borrowings 1,500,000 1,500,000 1,100,005 1,100,005 Subordinated notes 286,000 291,091 286,000 289,947 Trust preferred subordinated debentures 113,406 113,406 113,406 113,406 Derivative liabilities 35,420 35,420 31,176 31,176 The following methods and assumptions were used by the Company in estimating its fair value disclosures for financial instruments: Cash and cash equivalents The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents approximate their fair value, and these financial instruments are characterized as Level 1 assets in the fair value hierarchy. Securities The fair value of investment securities is based on prices obtained from independent pricing services which are based on quoted market prices for the same or similar securities, and these financial instruments are characterized as Level 2 assets in the fair value hierarchy. We have obtained documentation from the primary pricing service we use about their processes and controls over pricing. In addition, on a quarterly basis we independently verify the prices that we receive from the service provider using two additional independent pricing sources. Any significant differences are investigated and resolved. Loans held for sale Fair value for loans held for sale valued under the fair value option is derived from quoted market prices for similar loans, and these financial instruments are characterized as Level 2 assets in the fair value hierarchy. Loans held for investment, net Loans held for investment are characterized as Level 3 assets in the fair value hierarchy. For variable-rate loans held for investment that reprice frequently with no significant change in credit risk, fair values are generally based on carrying values. The fair value for all other loans held for investment is estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. The carrying amount of accrued interest approximates its fair value. Derivatives The estimated fair value of the interest rate swaps and caps is obtained from independent pricing services based on quoted market prices for the same or similar derivative contracts and these financial instruments are characterized as Level 2 assets in the fair value hierarchy. On a quarterly basis, we independently verify the fair value using an additional independent pricing source. The derivative instruments related to the loans held for sale portfolio include loan purchase commitments and forward sales commitments. Loan purchase commitments are valued based upon the fair value of the underlying mortgage loans to be purchased, which is based on observable market data. Forward sales commitments are valued based upon the quoted market prices from brokers. As such, these loan purchase commitments and forward sales commitments are classified as Level 2 assets in the fair value hierarchy. Deposits Deposits are characterized as Level 3 liabilities in the fair value hierarchy. The carrying amounts for variable-rate money market accounts approximate their fair value. Fixed-term certificates of deposit fair values are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities. Federal funds purchased, customer repurchase agreements, other borrowings, subordinated notes and trust preferred subordinated debentures The carrying value reported in the consolidated balance sheets for Federal funds purchased, customer repurchase agreements and other short-term, floating rate borrowings approximates their fair value, and these financial instruments are characterized as Level 2 assets in the fair value hierarchy. The fair value of any fixed rate short-term borrowings and trust preferred subordinated debentures are estimated using a discounted cash flow calculation that applies interest rates currently being offered on similar borrowings, and these financial instruments are characterized as Level 3 liabilities in the fair value hierarchy. The subordinated notes are publicly, though infrequently, traded and are valued based on market prices, which are characterized as Level 2 liabilities in the fair value hierarchy. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies We lease various premises under operating leases with various expiration dates ranging from July 2016 through February 2025. Rent expense incurred under operating leases amounted to approximately $15.3 million, $13.6 million and $10.2 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. Minimum future lease payments under operating leases are as follows (in thousands): Year ending December 31, Minimum Payments 2016 $ 15,572 2017 15,667 2018 15,633 2019 15,345 2020 14,501 2021 and thereafter 39,059 $ 115,777 |
Parent Company Only
Parent Company Only | 12 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Parent Company Only | Parent Company Only Summarized financial information for Texas Capital Bancshares, Inc. – Parent Company Only follows (in thousands): Balance Sheet December 31, 2015 2014 Assets Cash and cash equivalents $ 53,061 $ 176,324 Investment in subsidiaries 1,714,158 1,459,092 Other assets 86,359 82,783 Total assets $ 1,853,578 $ 1,718,199 Liabilities and Stockholders’ Equity Other liabilities $ 1,119 $ 1,328 Subordinated notes 111,000 111,000 Trust preferred subordinated debentures 113,406 113,406 Total liabilities 225,525 225,734 Preferred stock 150,000 150,000 Common stock 459 457 Additional paid-in capital 724,698 719,890 Retained earnings 752,186 620,837 Treasury stock (8 ) (8 ) Accumulated other comprehensive income 718 1,289 Total stockholders’ equity 1,628,053 1,492,465 Total liabilities and stockholders’ equity $ 1,853,578 $ 1,718,199 Statement of Earnings Year ended December 31, 2015 2014 2013 Loan income $ 3,250 $ 10,850 $ 10,382 Dividend income 10,400 5,275 76 Other income 76 28 72 Total income 13,726 16,153 10,530 Other non-interest income 8 — — Interest expense 9,867 10,038 9,863 Salaries and employee benefits 499 617 669 Legal and professional 1,640 2,237 2,605 Other non-interest expense 1,637 933 651 Total expense 13,643 13,825 13,788 Income (loss) before income taxes and equity in undistributed income of subsidiary 91 2,328 (3,258 ) Income tax expense (benefit) 33 833 (1,165 ) Income (loss) before equity in undistributed income of subsidiary 58 1,495 (2,093 ) Equity in undistributed income of subsidiary 141,041 132,980 123,144 Net income 141,099 134,475 121,051 Preferred stock dividends 9,750 9,750 7,394 Net income available to common stockholders $ 131,349 $ 124,725 $ 113,657 Statements of Cash Flows Year ended December 31, 2015 2014 2013 (in thousands) Operating Activities Net income $ 141,099 $ 134,475 $ 121,051 Adjustments to reconcile net income to net cash used in operating activities: Equity in undistributed income of subsidiary (141,041 ) (132,980 ) (123,144 ) Increase in other assets (2,123 ) (2,120 ) (2,413 ) Excess tax benefits from stock-based compensation arrangements (1,499 ) (2,929 ) (1,200 ) Increase in other liabilities (209 ) 74 37 Net cash used in operating activities of continuing operations (3,773 ) (3,480 ) (5,669 ) Investing Activities Investments in and advances to subsidiaries (110,000 ) (100,000 ) (240,000 ) Net cash used in investing activities (110,000 ) (100,000 ) (240,000 ) Financing Activities Proceeds from sale of stock related to stock-based awards (1,239 ) (2,203 ) (2,210 ) Proceeds from sale of common stock — 256,223 — Proceeds from issuance of preferred stock — — 144,987 Preferred dividends paid (9,750 ) (9,750 ) (6,960 ) Issuance of subordinated notes — — — Net other borrowings — (15,000 ) 15,000 Excess tax benefits from stock-based compensation arrangements 1,499 2,929 1,200 Net cash provided by financing activities (9,490 ) 232,199 152,017 Net increase (decrease) in cash and cash equivalents (123,263 ) 128,719 (93,652 ) Cash and cash equivalents at beginning of year 176,324 47,605 141,257 Cash and cash equivalents at end of year $ 53,061 $ 176,324 $ 47,605 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions See Note 8 for a description of deposits from related parties. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments During 2015 and 2014 , we entered into certain interest rate derivative positions that were not designated as hedging instruments. These derivative positions relate to transactions in which we enter into an interest rate swap, cap and/or floor with a customer while at the same time entering into an offsetting interest rate swap, cap and/or floor with another financial institution. In connection with each swap transaction, we agree to pay interest to the customer on a notional amount at a variable interest rate and receive interest from the customer on a similar notional amount at a fixed interest rate. At the same time, we agree to pay another financial institution the same fixed interest rate on the same notional amount and receive the same variable interest rate on the same notional amount. The transaction allows our customer to effectively convert a variable rate loan to a fixed rate. Because we act as an intermediary for our customer, changes in the fair value of the underlying derivative contracts substantially offset each other and do not have a material impact on our results of operations. During 2015 , we also entered into loan purchase commitment contracts with mortgage originators to purchase residential mortgage loans at a future date, as well as forward sales commitment contracts to sell residential mortgage loans at a future date. The notional amounts and estimated fair values of interest rate derivative positions outstanding at December 31, 2015 and 2014 presented in the following table (in thousands): December 31, 2015 December 31, 2014 Estimated Fair Value Estimated Fair Value Notional Amount Asset Derivative Liability Derivative Notional Amount Asset Derivative Liability Derivative Non-hedging interest rate derivatives: Financial institution counterparties: Commercial loan/lease interest rate swaps $ 976,389 $ — $ 33,851 $ 866,432 $ 361 $ 30,162 Commercial loan/lease interest rate caps 194,304 1,441 — 63,414 1,014 — Customer counterparties: Commercial loan/lease interest rate swaps 976,389 33,851 — 866,432 30,162 361 Commercial loan/lease interest rate caps 194,304 — 1,441 63,414 — 1,014 Economic hedging interest rate derivatives: Loan purchase commitments 62,835 — 109 — — — Forward sale commitments 143,200 — 19 — — — Gross derivatives 35,292 35,420 31,537 31,537 Offsetting derivative assets/liabilities — — (361 ) (361 ) Net derivatives included in the consolidated balance sheets $ 35,292 $ 35,420 $ 31,176 $ 31,176 The weighted-average receive and pay interest rates for interest rate swaps outstanding at December 31, 2015 and 2014 were as follows: December 31, 2015 Weighted-Average Interest Rate December 31, 2014 Received Paid Received Paid Non-hedging interest rate swaps 2.96 % 4.72 % 2.79 % 4.82 % The weighted-average strike rate for outstanding interest rate caps was 2.34% at December 31, 2015 and 1.44% at December 31, 2014 . Our credit exposure on interest rate swaps and caps is limited to the net favorable value and interest payments of all swaps and caps by each counterparty. In such cases collateral may be required from the counterparties involved if the net value of the swaps and caps exceeds a nominal amount considered to be immaterial. Our credit exposure, net of any collateral pledged, relating to interest rate swaps and caps was approximately $35.3 million at December 31, 2015 and approximately $31.2 million at December 31, 2014 , all of which relates to Bank customers. Collateral levels are monitored and adjusted on a regular basis for changes in interest rate swap and cap values. At December 31, 2015 and 2014 , we had $37.1 million and $30.2 million in cash collateral pledged for these derivatives included in interest-bearing deposits. |
Stockholder's Equity
Stockholder's Equity | 12 Months Ended |
Dec. 31, 2015 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders’ Equity In January 2009, we issued $75 million of perpetual preferred stock and related warrants under the U.S. Department of Treasury’s voluntary Capital Purchase Program. The preferred stock was repurchased in May 2009 and the U.S. Treasury auctioned the related warrants in the first quarter of 2010. As of December 31, 2015 , warrants to purchase 581,500 shares at $14.84 per share are still outstanding. On March 28, 2013, we completed a sale of 6.0 million shares of 6.5% non-cumulative preferred stock, par value $0.01 , with a liquidation preference of $25 per share, in a public offering. Dividends on the preferred stock are not cumulative and will be paid when declared by our board of directors to the extent that we have lawfully available funds to pay dividends. If declared, dividends will accrue and be payable quarterly, in arrears, on the liquidation preference amount, on a non-cumulative basis, at a rate of 6.50% per annum. We paid $9.8 million in dividends on the preferred stock for the years ended December 31, 2015 and 2014. Holders of preferred stock do not have voting rights, except with respect to authorizing or increasing the authorized amount of senior stock, certain changes in the terms of the preferred stock, certain dividend non-payments and as otherwise required by applicable law. Net proceeds from the sale totaled $145.0 million . The additional equity was used for general corporate purposes, including funding regulatory capital infusions into the Bank. In January 2014, we completed an offering of 1.9 million shares of our common stock. Net proceeds from the sale totaled $106.5 million . The net proceeds of the offering were available to the Company for general corporate purposes, including retirement of $15.0 million of short-term debt that was outstanding at December 31, 2013, and additional capital to support continued loan growth. On November 12, 2014, we completed a sale of 2.5 million of our common stock in a public offering. Net proceeds from the sale totaled $149.6 million . The additional equity will be used for general corporate purposes and additional capital to support continued loan growth. |
Quarterly Financial Data
Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2015 | |
Selected Quarterly Financial Information [Abstract] | |
Quarterly Financial Information | Quarterly Financial Data (unaudited) The tables below summarize our quarterly financial information for the years December 31, 2015 and 2014 (in thousands except per share and average share data): 2015 Selected Quarterly Financial Data Fourth Third Second First Interest income $ 154,820 $ 153,856 $ 153,374 $ 140,908 Interest expense 12,632 11,808 11,089 10,899 Net interest income 142,188 142,048 142,285 130,009 Provision for credit losses 14,000 13,750 14,500 11,000 Net interest income after provision for credit losses 128,188 128,298 127,785 119,009 Non-interest income 11,320 11,380 12,771 12,267 Non-interest expense 87,042 81,688 81,276 76,517 Income before income taxes 52,466 57,990 59,280 54,759 Income tax expense 17,713 20,876 21,343 19,709 Net income 34,753 37,114 37,937 35,050 Preferred stock dividends 2,437 2,438 2,437 2,438 Net income available to common stockholders $ 32,316 $ 34,676 $ 35,500 $ 32,612 Basic earnings per share: $ 0.70 $ 0.76 $ 0.78 $ 0.71 Diluted earnings per share: $ 0.70 $ 0.75 $ 0.76 $ 0.70 Average shares Basic 45,856,000 45,828,000 45,790,000 45,759,000 Diluted 46,480,000 46,471,000 46,443,000 46,368,000 2014 Selected Quarterly Financial Data Fourth Third Second First Interest income $ 137,833 $ 135,290 $ 124,813 $ 116,611 Interest expense 10,251 9,629 9,406 8,296 Net interest income 127,582 125,661 115,407 108,315 Provision for credit losses 6,500 6,500 4,000 5,000 Net interest income after provision for credit losses 121,082 119,161 111,407 103,315 Non-interest income 11,226 10,396 10,533 10,356 Non-interest expense 74,117 71,915 69,765 69,317 Income before income taxes 58,191 57,642 52,175 44,354 Income tax expense 20,357 20,810 18,754 16,089 Net income 37,834 36,832 33,421 28,265 Preferred stock dividends 2,437 2,438 2,437 2,438 Net income available to common stockholders $ 35,397 $ 34,394 $ 30,984 $ 25,827 Basic earnings per share: $ 0.80 $ 0.80 $ 0.72 $ 0.61 Diluted earnings per share: $ 0.78 $ 0.78 $ 0.71 $ 0.60 Average shares Basic 44,406,000 43,144,000 43,075,000 42,298,000 Diluted 45,093,000 43,850,000 43,845,000 43,220,000 |
New Accounting Standards
New Accounting Standards | 12 Months Ended |
Dec. 31, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Standards | New Accounting Standards ASU 2014-04 “Receivables (Topic 310) - Troubled Debt Restructurings by Creditors” (“ASU 2014-04”) amends Topic 310 “Receivables” to clarify the terms defining when an in substance repossession or foreclosure occurs, which determines when the receivable should be derecognized and the real estate property is recognized. ASU 2014-04 became effective for us on January 1, 2015 and did not have a significant impact on our financial statements. ASU 2014-11 "Transfers and Servicing (Topic 860) - Repurchase-to-Maturity Transactions, Repurchase Financings and Disclosures ("ASU 2014-11") requires that repurchase-to-maturity transactions be accounted for as secured borrowings consistent with the accounting for other repurchase agreements. The amendments to ASU 2014-11 update the accounting for repurchase-to-maturity transactions and link repurchase financings to secured borrowing accounting, which is consistent with the accounting for other repurchase agreements. ASU 2014-11 also requires two new disclosures. The first disclosure requires an entity to disclose information on transfers accounted for as sales that are economically similar to repurchase agreements. The second disclosure provides added transparency about the types of collateral pledged in repurchase agreements and similar transactions accounted for as secured borrowings. ASU 2014-11 became effective for us on January 1, 2015 and did not have a significant impact on our financial statements. ASU 2014-12 "Compensation - Stock Compensation (Topic 718) - Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period" ("ASU 2014-12") requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. ASU 2014-12 is intended to resolve the diverse accounting treatments of these types of awards in practice and is effective for annual and interim periods beginning after December 15, 2015 and is not expected to have a significant impact on our consolidated financial statements. ASU 2015-01 "Income Statement - Extraordinary and Unusual Items (Subtopic 225-20) - Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items" ("ASU 2015-01") eliminates from U.S. GAAP the concept of extraordinary items, which required separate classification, presentation and disclosure in the income statement. ASU 2015-01 is effective for annual and interim periods beginning after December 15, 2015 and is not expected to have a significant impact on our consolidated financial statements. ASU 2015-03 "Interest - Imputation of Interest (Subtopic 835-30) - Simplifying the Presentation of Debt Issuance Costs" ("ASU 2015-03") requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in ASU 2015-03. ASU 2015-03 is effective for annual and interim periods beginning after December 15, 2015 and is not expected to have a significant impact on our consolidated financial statements. ASU 2015-05 "Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40) - Customer's Accounting for Fees Paid in a Cloud Computing Arrangement" ("ASU 2015-05") provides guidance to customers about whether a cloud computing arrangement includes a software license. If the arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If the arrangement does not include a software license, the customer should account for the arrangement as a service contract. ASU 2015-05 is effective for annual and interim periods beginning after December 15, 2015 and is not expected to have a significant impact on our consolidated financial statements. ASU 2015-15 "Interest - Imputation of Interest (Subtopic 835-30) - Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting ("ASU 2015-15") adds SEC paragraphs confirming that, given the absence of authoritative guidance within ASU 2015-03 for debt issuance costs related to line-of-credit arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. ASU 2015-15 was effective when issued and is not expected to have a significant impact on our consolidated financial statements. ASU 2014-09 "Revenue from Contracts with Customers (Topic 606)" ("ASU 2014-09") implements a common revenue standard that clarifies the principles for recognizing revenue. The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 establishes a five-step model which entities must follow to recognize revenue and removes inconsistencies and weaknesses in existing guidance. ASU 2014-09 was originally going to be effective for annual and interim periods beginning after December 15, 2016; however, the FASB issued ASU 2015-14 - "Revenue from Contracts with Customers (Topic 606) - Deferral of the Effective Date" which deferred the effective date of ASU 2014-09 by one year to annual and interim periods beginning after December 15, 2017. ASU 2014-09 is not expected to have a significant impact on our consolidated financial statements. |
Operations and Summary of Sig31
Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business | Organization and Nature of Business Texas Capital Bancshares, Inc. (the "Company”), a Delaware corporation, was incorporated in November 1996 and commenced banking operations in December 1998. The consolidated financial statements of the Company include the accounts of Texas Capital Bancshares, Inc. and its wholly owned subsidiary, Texas Capital Bank, National Association (the "Bank”). We serve the needs of commercial businesses and successful professionals and entrepreneurs located in Texas as well as operate several lines of business serving a regional or national clientele of commercial borrowers. We are primarily a secured lender, with our greatest concentration of loans in Texas. |
Basis of Presentation | Basis of Presentation Our accounting and reporting policies conform to accounting principles generally accepted in the United States ("GAAP") and to generally accepted practices within the banking industry. Certain prior period balances have been reclassified to conform to the current period presentation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The allowance for loan losses, the fair value of stock-based compensation awards, the fair values of financial instruments and the status of contingencies are particularly susceptible to significant change in the near term. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash equivalents include amounts due from banks, interest-bearing deposits and Federal funds sold. |
Securities | Securities Securities are classified as trading, available-for-sale or held-to-maturity. Management classifies securities at the time of purchase and re-assesses such designation at each balance sheet date; however, transfers between categories from this re-assessment are rare. Trading Account Securities acquired for resale in anticipation of short-term market movements are classified as trading, with realized and unrealized gains and losses recognized in income. To date, we have not had any activity in our trading account. Available-for-Sale Debt securities are classified as held-to-maturity when we have the positive intent and ability to hold the securities to maturity. Held-to-maturity securities are stated at amortized cost. Debt securities not classified as held-to-maturity or trading and marketable equity securities not classified as trading are classified as available-for-sale. Available-for-sale securities are stated at fair value, with the unrealized gains and losses reported in a separate component of accumulated other comprehensive income (loss), net of tax. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity, or in the case of mortgage-backed securities, over the estimated life of the security. Such amortization and accretion is included in interest income from securities. Realized gains and losses and declines in value judged to be other-than-temporary are included in gain (loss) on sale of securities. The cost of securities sold is based on the specific identification method. All securities are available-for-sale as of December 31, 2015 and 2014 . |
Loans | Loans Loans Held for Sale Through our MCA program, we commit to purchase residential mortgage loans from independent correspondent lenders and deliver those loans into the secondary market via whole loan sales to independent third parties or in securitization transactions to GSEs such as Fannie Mae, Freddie Mac or Ginnie Mae. In some cases, we retain the mortgage servicing rights. Once purchased, these loans are classified as held for sale and are carried at fair value pursuant to our election of the fair value option in accordance with Accounting Standards Codification 825, Financial Instruments ("ASC 825"). At the commitment date, we enter into a corresponding forward sale commitment with a third party, typically a GSE, to deliver the loans within a specified timeframe. The estimated gain/loss for the entire transaction (from initial purchase commitment to final delivery of loans) is recorded as an asset or liability. Fair value is derived from observable current market prices, when available, and includes the fair value of the mortgage servicing rights. Adjustments to reflect unrealized gains and losses resulting from changes in fair value and realized gains and losses upon ultimate sale of the loans are classified as other non-interest income in the consolidated statements of income and other comprehensive income. Loans Held for Investment Loans held for investment (which include equipment leases accounted for as financing leases) are stated at the amount of unpaid principal reduced by deferred income (net of costs). Interest on loans is recognized using the simple-interest method on the daily balances of the principal amounts outstanding. Loan origination fees, net of direct loan origination costs, and commitment fees, are deferred and amortized as an adjustment to yield over the life of the loan, or over the commitment period, as applicable. A loan held for investment is considered impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due (both principal and interest) according to the terms of the loan agreement. Reserves on impaired loans are measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the underlying collateral, less cost to sell. Impaired loans, or portions thereof, are charged off when a confirmed loss exists. The accrual of interest on loans is discontinued when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan is 90 days past due. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is reversed. Interest income is subsequently recognized on a cash basis as long as the remaining book balance of the asset is deemed to be collectible. If collectability is questionable, then cash payments are applied to principal. A loan is placed back on accrual status when both principal and interest are current and it is probable that we will be able to collect all amounts due (both principal and interest) according to the terms of the loan agreement. Loans held for investment includes legal ownership interests in mortgage loans that we purchase through our mortgage warehouse lending division. The ownership interests are purchased from unaffiliated mortgage originators who are seeking additional funding through sale of the undivided ownership interests to facilitate their ability to originate loans. The mortgage originator has no obligation to offer and we have no obligation to purchase these interests. The originator closes mortgage loans consistent with underwriting standards established by approved investors, and, at the time of the sale to the investor, our ownership interest and that of the originator are delivered by us to the investor selected by the originator and approved by us. We typically purchase up to a 99% ownership interest in each mortgage with the originator owning the remaining percentage. These mortgage ownership interests are held by us for a period of less than 30 days and more typically 10-20 days. Because of conditions in agreements with originators designed to reduce transaction risks, under ASC 860, Transfers and Servicing of Financial Assets (“ASC 860”), the ownership interests do not qualify as participating interests. Under ASC 860, the ownership interests are deemed to be loans to the originators and payments we receive from investors are deemed to be payments made by or on behalf of the originator to repay the loan deemed made to the originator. Because we have an actual, legal ownership interest in the underlying residential mortgage loan, these interests are not extensions of credit to the originators that are secured by the mortgage loans as collateral. Due to market conditions or events of default by the investor or the originator, we could be required to purchase the remaining interests in the mortgage loans and hold them beyond the expected 10-20 days. Mortgage loans acquired under these conditions would require mark-to-market adjustments to income and could require future allocations of the allowance for loan losses or be subject to charge off in the event the loans become impaired. Mortgage loan interests purchased and disposed of as expected receive no allocation of the allowance for loan losses due to the minimal loss experience with these assets. |
Allowance for Loan Losses | Allowance for Loan Losses The allowance for loan losses is comprised of specific reserves for impaired loans and an estimate of losses inherent in the portfolio at the balance sheet date, but not yet identified with specified loans. We regularly evaluate our allowance for loan losses to maintain an appropriate level to absorb estimated loan losses inherent in the loan portfolio. Factors contributing to the determination of the allowance include the creditworthiness of the borrower, changes in the value of pledged collateral, and general economic conditions. All loan commitments rated substandard or worse and greater than $500,000 are specifically reviewed for loss potential. For loans deemed to be impaired, a specific allocation is assigned based on the losses expected to be realized from those loans. For purposes of determining the general reserve, the portfolio is segregated by product types to recognize differing risk profiles among categories, and then further segregated by credit grades. Credit grades are assigned to all loans. Each credit grade is assigned a risk factor, or reserve allocation percentage. These risk factors are multiplied by the outstanding principal balance and risk-weighted by product type to calculate the required reserve. A similar process is employed to calculate a reserve assigned to off-balance sheet commitments, specifically unfunded loan commitments and letters of credit, and any needed reserve is recorded in other liabilities. Even though portions of the allowance may be allocated to specific loans, the entire allowance is available for any credit that, in management’s judgment, should be charged off. We have several pass credit grades that are assigned to loans based on varying levels of risk, ranging from credits that are secured by cash or marketable securities, to watch credits which have all the characteristics of an acceptable credit risk but warrant more than the normal level of monitoring. Within our criticized/classified credit grades are special mention, substandard, and doubtful. Special mention loans are those that are currently protected by the sound worth and paying capacity of the borrower, but that are potentially weak and constitute an additional credit risk. The loan has the potential to deteriorate to a substandard grade due to the existence of financial or administrative deficiencies. Substandard loans have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. Some substandard loans are inappropriately protected by sound worth and paying capacity of the borrower and of the collateral pledged and may be considered impaired. Substandard loans can be accruing or can be on non-accrual depending on the circumstances of the individual loans. Loans classified as doubtful have all the weaknesses inherent in substandard loans with the added characteristics that the weaknesses make collection or liquidation in full highly questionable and improbable. The possibility of loss is extremely high. All doubtful loans are on non-accrual. The allowance allocation percentages assigned to each credit grade have been developed based primarily on an analysis of our historical loss rates. The allocations are adjusted for certain qualitative factors, including general economic conditions, changes in credit policies and lending standards. Changes in the trend and severity of problem loans can cause the estimation of losses to differ from past experience. In addition, the allowance considers the results of reviews performed by independent third party reviewers as reflected in their confirmations of assigned credit grades within the portfolio. The portion of the allowance that is not derived by the allowance allocation percentages compensates for the uncertainty and complexity in estimating loan and lease losses including factors and conditions that may not be fully reflected in the determination and application of the allowance allocation percentages. Examples of risks that support the Bank's maintaining an additional qualitative reserve include the possibility of precipitous negative changes in economic conditions and borrowers' submission of financial statements or certifications of collateral value that subsequently prove to be materially inaccurate for reason of either misstatement or omission of critical information. These situations, while not common, do not necessarily correlate well with the general risk profile presented by assigned credit grade and product type categories. We evaluate many such factors and conditions in determining the additional qualitative portion of the allowance, including amount and frequency of losses attributable to issues not specifically addressed or included in the determination and application of the allowance allocation percentages. The methodology used in the periodic review of the appropriateness of the allowance, which is performed at least quarterly, is designed to be dynamic and responsive to changes in portfolio credit quality. The changes are reflected in the general allowance and in specific reserves as the collectability of larger classified loans is evaluated with new information. As our portfolio has matured, historical loss ratios have been closely monitored, and our reserve adequacy relies primarily on our loss history. The review of the appropriateness of the allowance is performed by executive management and presented to a committee of our board of directors for their review. The committee reports to the board as part of the board's review on a quarterly basis of the Company's consolidated financial statements. |
Other Real Estate Owned | Other Real Estate Owned Other real estate owned (“OREO”), which is included in other assets on the consolidated balance sheet, consists of real estate that has been foreclosed. Real estate that has been foreclosed is recorded at the fair value of the real estate, less selling costs, through a charge to the allowance for loan losses, if necessary. Subsequent write-downs required for declines in value are recorded through a valuation allowance, or taken directly to the asset, charged to other non-interest expense. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, which range from three to ten years. Gains or losses on disposals of premises and equipment are included in results of operations. |
Marketing and Software | Marketing and Software Marketing costs are expensed as incurred. Ongoing maintenance and enhancements of websites are expensed as incurred. Costs incurred in connection with development or purchase of internal use software are capitalized and amortized over a period not to exceed five years. Internal use software costs are included in other assets in the consolidated balance sheets. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Intangible assets are acquired assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights or because the asset is capable of being sold or exchanged either on its own or in combination with a related contract, asset, or liability. Our intangible assets relate primarily to loan customer relationships. Intangible assets with definite useful lives are amortized on an accelerated basis over their estimated life. Goodwill and intangible assets are tested for impairment during the fourth quarter on an annual basis or whenever events or changes in circumstances indicate the carrying amount of the assets may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. |
Segment Reporting | Segment Reporting We have determined that all of our lending divisions and subsidiaries meet the aggregation criteria of ASC 280, Segment Reporting , since all offer similar products and services, operate with similar processes, and have similar customers. |
Stock-based Compensation | Stock-based Compensation We account for all stock-based compensation transactions in accordance with ASC 718, Compensation — Stock Compensation (“ASC 718”), which requires that stock compensation transactions be recognized as compensation expense in the consolidated statement of income and other comprehensive income based on their fair values on the measurement date, which is the date of the grant. |
Accumulated Other Comprehensive Income | Accumulated Other Comprehensive Income Unrealized gains or losses on our available-for-sale securities (after applicable income tax expense or benefit) are included in accumulated other comprehensive income, net. Accumulated comprehensive income (loss), net for the three years ended December 31, 2015 is reported in the accompanying consolidated statements of stockholders’ equity and consolidated statements of income and other comprehensive income. |
Income Taxes | Income Taxes The Company and its subsidiary file a consolidated federal income tax return. We utilize the liability method in accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based upon the difference between the values of the assets and liabilities as reflected in the financial statements and their related tax basis using enacted tax rates in effect for the year in which the differences are expected to be recovered or settled. As changes in tax law or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. A valuation reserve is provided against deferred tax assets unless it is more likely than not that such deferred tax assets will be realized. |
Basic and Diluted Earnings Per Common Share | Basic and Diluted Earnings Per Common Share Basic earnings per common share is based on net income available to common stockholders divided by the weighted-average number of common shares outstanding during the period excluding non-vested stock. Diluted earnings per common share include the dilutive effect of stock options and non-vested stock awards granted using the treasury stock method. A reconciliation of the weighted-average shares used in calculating basic earnings per common share and the weighted average common shares used in calculating diluted earnings per common share for the reported periods is provided in Note 15 — Earnings Per Share. |
Fair Values of Financial Instruments | Fair Values of Financial Instruments ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value under GAAP and enhances disclosures about fair value measurements. In general, fair values of financial instruments are based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. |
Mortgage Servicing Rights | Mortgage Servicing Rights MSRs are created by selling purchased or originated mortgage loans with servicing rights retained. We identify classes of servicing rights based upon the nature of the underlying assumptions used to value the asset along with the risks associated with the underlying asset. Based upon these criteria we have one class of MSRs, residential. Originated MSRs are recognized based on the estimated fair value of the mortgage loans and the related servicing rights at the date of sale using values derived from a valuation model managed by a third party. MSRs are amortized in proportion, and over the estimated life of the projected net servicing revenue and are periodically evaluated for impairment. MSRs are reported on the consolidated balance sheets at lower of cost or market. Loan servicing fee income represents income earned for servicing mortgage loans owned by investors and includes mortgage servicing fees and other ancillary servicing income. Servicing fees are recorded as income when earned and are reported in other non-interest income on the consolidated statements of income and other comprehensive income. For additional information on MSRs, see Note 5 - Certain Transfers of Financial Assets. |
Guarantees | The Company has undertaken certain guarantee obligations in the ordinary course of business. These guarantees include liabilities with both balance sheet and off-balance sheet risk. We consider the following arrangements to be guarantees: commitments to extend credit, standby letters credit and indemnification agreements included within third party contractual arrangements. For additional information on commitments and contingencies, see Note 13 - Financial Instruments with Off-Balance Sheet Risk. |
Derivative Financial Instruments | Derivative Financial Instruments All contracts that satisfy the definition of a derivative are recorded at fair value in other assets and other liabilities in the consolidated balance sheets. We record the derivatives on a net basis when a right of offset exists, based on transactions with a single counterparty that are subject to a legally enforceable master netting agreement. For additional information on derivative financial instruments, see Note 20 - Derivative Financial Instruments. |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Available-for-sale Securities [Abstract] | |
Summary of securities | The following is a summary of securities (in thousands): December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities: Residential mortgage-backed securities $ 20,536 $ 1,365 $ — $ 21,901 Municipals 828 3 — 831 Equity securities(1) 7,522 11 (273 ) 7,260 $ 28,886 $ 1,379 $ (273 ) $ 29,992 December 31, 2014 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities: Residential mortgage-backed securities $ 28,957 $ 2,108 $ — $ 31,065 Municipals 3,257 10 — 3,267 Equity securities(1) 7,522 16 (151 ) 7,387 $ 39,736 $ 2,134 $ (151 ) $ 41,719 (1) Equity securities consist of Community Reinvestment Act funds. |
Schedule of amortized cost and estimated fair value of securities | The amortized cost and estimated fair value of securities are presented below by contractual maturity (in thousands, except percentage data): December 31, 2015 Less Than One Year After One Through Five Years After Five Through Ten Years After Ten Years Total Available-for-sale: Residential mortgage-backed securities:(1) Amortized cost $ 214 $ 4,655 $ 4,265 $ 11,402 $ 20,536 Estimated fair value 217 4,837 4,747 12,100 21,901 Weighted average yield(3) 5.62 % 4.71 % 5.54 % 2.53 % 3.68 % Municipals:(2) Amortized cost 265 563 — — 828 Estimated fair value 265 566 — — 831 Weighted average yield(3) 5.46 % 5.69 % — % — % 5.62 % Equity securities:(4) Amortized cost 7,522 — — — 7,522 Estimated fair value 7,260 — — — 7,260 Total available-for-sale securities: Amortized cost $ 28,886 Estimated fair value $ 29,992 December 31, 2014 Less Than One Year After One Through Five Years After Five Through Ten Years After Ten Years Total Available-for-sale: Residential mortgage-backed securities:(1) Amortized cost $ 1 $ 9,151 $ 5,661 $ 14,144 $ 28,957 Estimated fair value 1 9,662 6,333 15,069 31,065 Weighted average yield(3) 6.50 % 4.79 % 5.54 % 2.36 % 3.75 % Municipals:(2) Amortized cost 1,669 1,588 — — 3,257 Estimated fair value 1,674 1,593 — — 3,267 Weighted average yield(3) 5.78 % 5.79 % — — 5.79 % Equity securities:(4) Amortized cost 7,522 — — — 7,522 Estimated fair value 7,387 — — — 7,387 Total available-for-sale securities: Amortized cost $ 39,736 Estimated fair value $ 41,719 (1) Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without prepayment penalties. The average expected life of the mortgage-backed securities was 0.8 years at December 31, 2015 and 1.2 years at December 31, 2014 . (2) Yields have been adjusted to a tax equivalent basis assuming a 35% federal tax rate. (3) Yields are calculated based on amortized cost. (4) These equity securities do not have a stated maturity. |
Schedule of investment securities that have been in a continuous unrealized loss position for less or more than 12 months | The following table discloses, as of December 31, 2015 and December 31, 2014 , our investment securities that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for 12 or more months (in thousands): December 31, 2015 Less Than 12 Months 12 Months or Longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Equity securities $ — $ — $ 6,227 $ (273 ) $ 6,227 $ (273 ) December 31, 2014 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Equity securities $ — $ — $ 6,349 $ (151 ) $ 6,349 $ (151 ) |
Loans and Allowance for Credi33
Loans and Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of loans held for investments | Loans held for investment are summarized by category as follows (in thousands): December 31, 2015 2014 Commercial $ 6,672,631 $ 5,869,219 Mortgage finance 4,966,276 4,102,125 Construction 1,851,717 1,416,405 Real estate 3,139,197 2,807,127 Consumer 25,323 19,699 Equipment leases 113,996 99,495 Gross loans held for investment 16,769,140 14,314,070 Deferred income (net of direct origination costs) (57,190 ) (57,058 ) Allowance for loan losses (141,111 ) (100,954 ) Total loans held for investment $ 16,570,839 $ 14,156,058 |
Schedule of the credit risk profile of loan portfolio by internally assigned grades and nonaccrual status | The following tables summarize the credit risk profile of our loan portfolio by internally assigned grades and non-accrual status as of December 31, 2015 and 2014 (in thousands): Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2015 Grade: Pass $ 6,375,332 $ 4,966,276 $ 1,821,678 $ 3,085,463 $ 25,093 $ 103,560 $ 16,377,402 Special mention 111,911 — 13,090 30,585 3 334 155,923 Substandard- accruing 46,731 — 281 3,837 227 4,951 56,027 Non-accrual 138,657 — 16,668 19,312 — 5,151 179,788 Total loans held for investment $ 6,672,631 $ 4,966,276 $ 1,851,717 $ 3,139,197 $ 25,323 $ 113,996 $ 16,769,140 Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2014 Grade: Pass $ 5,738,474 $ 4,102,125 $ 1,414,671 $ 2,785,804 $ 19,579 $ 91,044 $ 14,151,697 Special mention 53,839 — 1,734 8,723 11 4,363 68,670 Substandard-accruing 43,784 — — 2,653 47 3,915 50,399 Non-accrual 33,122 — — 9,947 62 173 43,304 Total loans held for investment $ 5,869,219 $ 4,102,125 $ 1,416,405 $ 2,807,127 $ 19,699 $ 99,495 $ 14,314,070 |
Schedule of activity in the reserve for loan losses by portfolio segment | Allocation of a portion of the reserve to one category of loans does not preclude its availability to absorb losses in other categories. Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Additional Qualitative Reserve Total December 31, 2015 Beginning balance $ 70,654 $ — $ 7,935 $ 15,582 $ 240 $ 1,141 $ 5,402 $ 100,954 Provision for loan losses 53,102 — (1,499 ) (1,845 ) (13 ) 2,777 (1,223 ) 51,299 Charge-offs 16,254 — — 389 62 25 — 16,730 Recoveries 4,944 — 400 33 173 38 — 5,588 Net charge-offs (recoveries) 11,310 — (400 ) 356 (111 ) (13 ) — 11,142 Ending balance $ 112,446 $ — $ 6,836 $ 13,381 $ 338 $ 3,931 $ 4,179 $ 141,111 Period end amount allocated to: Loans individually evaluated for impairment $ 19,840 $ — $ — $ 1,191 $ — $ 2,436 $ — $ 23,467 Loans collectively evaluated for impairment 92,606 — 6,836 12,190 338 1,495 4,179 117,644 Ending balance $ 112,446 $ — $ 6,836 $ 13,381 $ 338 $ 3,931 $ 4,179 $ 141,111 Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Additional Qualitative Reserve Total December 31, 2014 Beginning balance $ 39,868 $ — $ 14,553 $ 24,210 $ 149 $ 3,105 $ 5,719 $ 87,604 Provision for loan losses 37,827 — (6,618 ) (8,411 ) 195 (3,046 ) (317 ) 19,630 Charge-offs 9,803 — — 296 266 — — 10,365 Recoveries 2,762 — — 79 162 1,082 — 4,085 Net charge-offs (recoveries) 7,041 — — 217 104 (1,082 ) — 6,280 Ending balance $ 70,654 $ — $ 7,935 $ 15,582 $ 240 $ 1,141 $ 5,402 $ 100,954 Period end amount allocated to: Loans individually evaluated for impairment $ 7,705 $ — $ — $ 636 $ 9 $ 26 $ — $ 8,376 Loans collectively evaluated for impairment 62,949 — 7,935 14,946 231 1,115 5,402 92,578 Ending balance $ 70,654 $ — $ 7,935 $ 15,582 $ 240 $ 1,141 $ 5,402 $ 100,954 |
Schedule of recorded investment in loans related to each balance in the allowance for loan losses | Our recorded investment in loans as of December 31, 2015 and 2014 related to each balance in the allowance for loan losses by portfolio segment and disaggregated on the basis of our impairment methodology was as follows (in thousands): Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2015 Loans individually evaluated for impairment $ 140,479 $ — $ 16,668 $ 21,042 $ — $ 5,151 $ 183,340 Loans collectively evaluated for impairment 6,532,152 4,966,276 1,835,049 3,118,155 25,323 108,845 16,585,800 Total $ 6,672,631 $ 4,966,276 $ 1,851,717 $ 3,139,197 $ 25,323 $ 113,996 $ 16,769,140 Commercial Mortgage Finance Construction Real Estate Consumer Equipment Leases Total December 31, 2014 Loans individually evaluated for impairment $ 35,165 $ — $ — $ 13,880 $ 62 $ 173 $ 49,280 Loans collectively evaluated for impairment 5,834,054 4,102,125 1,416,405 2,793,247 19,637 99,322 14,264,790 Total $ 5,869,219 $ 4,102,125 $ 1,416,405 $ 2,807,127 $ 19,699 $ 99,495 $ 14,314,070 |
Schedule of impaired loans, by portfolio class | The following tables detail our impaired loans, by portfolio class as of December 31, 2015 and 2014 (in thousands): December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Business loans $ 11,097 $ 13,529 $ — $ 17,311 $ — Energy loans 37,968 37,968 — 21,791 36 Construction Market risk 16,668 16,668 — 9,764 — Real estate Market risk — — — 3,352 — Commercial 15,353 15,353 — 4,364 24 Secured by 1-4 family — — — — — Consumer — — — — — Equipment leases 2,417 2,417 — 3,233 — Total impaired loans with no allowance recorded $ 83,503 $ 85,935 $ — $ 59,815 $ 60 With an allowance recorded: Commercial Business loans $ 20,983 $ 25,300 $ 5,737 $ 31,131 $ — Energy loans 70,431 70,431 14,103 6,641 — Construction Market risk — — — — — Real estate Market risk 5,335 5,335 1,066 2,558 — Commercial — — — 306 — Secured by 1-4 family 354 354 125 1,580 — Consumer — — — 10 — Equipment leases 2,734 2,734 2,436 302 — Total impaired loans with an allowance recorded $ 99,837 $ 104,154 $ 23,467 $ 42,528 $ — Combined: Commercial Business loans $ 32,080 $ 38,829 $ 5,737 $ 48,442 $ — Energy loans 108,399 108,399 14,103 28,432 36 Construction Market risk 16,668 16,668 — 9,764 — Real estate Market risk 5,335 5,335 1,066 5,910 — Commercial 15,353 15,353 — 4,670 24 Secured by 1-4 family 354 354 125 1,580 — Consumer — — — 10 — Equipment leases 5,151 5,151 2,436 3,535 — Total impaired loans $ 183,340 $ 190,089 $ 23,467 $ 102,343 $ 60 December 31, 2014 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Business loans $ 9,608 $ 11,857 $ — $ 7,334 $ — Energy loans — — — 375 25 Construction Market risk — — — 118 — Real estate Market risk 3,735 3,735 — 7,970 — Commercial 3,521 3,521 — 2,795 — Secured by 1-4 family — — — 1,210 — Consumer — — — — — Equipment leases — — — — — Total impaired loans with no allowance recorded $ 16,864 $ 19,113 $ — $ 19,802 $ 25 With an allowance recorded: Commercial Business loans $ 24,553 $ 25,553 $ 7,433 $ 17,705 $ — Energy loans 1,004 1,004 272 991 — Construction Market risk — — — — — Real estate Market risk 4,203 4,203 317 5,064 — Commercial 526 526 79 705 — Secured by 1-4 family 1,895 1,895 240 2,119 — Consumer 62 62 9 16 — Equipment leases 173 173 26 41 — Total impaired loans with an allowance recorded $ 32,416 $ 33,416 $ 8,376 $ 26,641 $ — Combined: Commercial Business loans $ 34,161 $ 37,410 $ 7,433 $ 25,039 $ — Energy loans 1,004 1,004 272 1,366 25 Construction Market risk — — — 118 — Real estate Market risk 7,938 7,938 317 13,034 — Commercial 4,047 4,047 79 3,500 — Secured by 1-4 family 1,895 1,895 240 3,329 — Consumer 62 62 9 16 — Equipment leases 173 173 26 41 — Total impaired loans $ 49,280 $ 52,529 $ 8,376 $ 46,443 $ 25 |
Schedule of an age analysis of accruing past due loans | The table below provides an age analysis of our loans held for investment as of December 31, 2015 (in thousands): 30-59 Days Past Due 60-89 Days Past Due Greater Than 90 Days(1) Total Past Due Non-accrual Current Total Commercial Business loans $ 15,847 $ 3,666 $ 7,013 $ 26,526 $ 30,258 $ 5,577,523 $ 5,634,307 Energy 500 — — 500 108,399 929,425 1,038,324 Mortgage finance loans — — — — — 4,966,276 4,966,276 Construction Market risk — — — — 16,668 1,824,936 1,841,604 Secured by 1-4 family — — — — — 10,113 10,113 Real estate Market risk — — — — 3,605 2,402,640 2,406,245 Commercial 17,729 — — 17,729 15,353 612,711 645,793 Secured by 1-4 family 2,319 — — 2,319 354 84,486 87,159 Consumer 659 — — 659 — 24,664 25,323 Equipment leases 91 — — 91 5,151 108,754 113,996 Total loans held for investment $ 37,145 $ 3,666 $ 7,013 $ 47,824 $ 179,788 $ 16,541,528 $ 16,769,140 (1) Loans past due 90 days and still accruing includes premium finance loans of $6.6 million . These loans are generally secured by obligations of insurance carriers to refund premiums on cancelled insurance policies. The refund of premiums from the insurance carriers can take 180 days or longer from the cancellation date. |
Schedule of loans that have been restructured | The following tables summarize, as of December 31, 2015 and 2014 , loans that have been restructured during 2015 and 2014 (in thousands): December 31, 2015 Number of Contracts Pre-Restructuring Outstanding Recorded Investment Post-Restructuring Outstanding Recorded Investment Commercial business loans 5 $ 20,459 $ 14,992 Total new restructured loans in 2015 5 $ 20,459 $ 14,992 December 31, 2014 Number of Contracts Pre-Restructuring Outstanding Recorded Investment Post-Restructuring Outstanding Recorded Investment Real estate - commercial 1 $ 1,441 $ 1,441 Commercial business loans 1 95 80 Total new restructured loans in 2014 2 $ 1,536 $ 1,521 The following table provides information on how loans were modified as a restructured loan during the year ended December 31, 2015 and 2014 (in thousands): December 31, 2015 2014 Extended maturity $ — $ 1,441 Combination of maturity extension and payment schedule adjustment 14,992 80 Total $ 14,992 $ 1,521 |
OREO and Valuation Allowance 34
OREO and Valuation Allowance for Losses on OREO (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |
Summary of the activity related to OREO | The table below presents a summary of the activity related to OREO (in thousands): Year ended December 31, 2015 2014 2013 Beginning balance $ 568 $ 5,110 $ 15,991 Additions 1,267 851 1,331 Sales (1,557 ) (5,393 ) (11,292 ) Valuation allowance for OREO — — 958 Direct write-downs — — (1,878 ) Ending balance $ 278 $ 568 $ 5,110 |
Certain Transfers of Financia35
Certain Transfers of Financial Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Transfers and Servicing [Abstract] | |
Schedule of Loans Held-for-sale [Table Text Block] | The table below presents the unpaid principal balance of loans held for sale and related fair values at December 31, 2015 (in thousands): December 31, 2015 Unpaid Principal Balance Fair Value Fair Value Over/(Under) Unpaid Principal Balance Loans held for sale $ 82,853 $ 86,075 $ 3,222 |
Schedule of Mortgage Servicing Rights Activity [Table Text Block] | We generally retain the right to service the loans sold, creating MSR assets on our balance sheet. A summary of MSR activities for the year ended December 31, 2015 is as follows (in thousands): 2015 Balance, beginning of year $ — Capitalized servicing rights 437 Amortization (14 ) Balance, end of year $ 423 Fair value $ 423 |
Schedule of Fair Value Assumption Used to Value Mortgage Servicing Rights Retained [Table Text Block] | For loans securitized and sold for the year ended December 31, 2015 with servicing rights retained, management used the following assumptions to determine the fair value of MSRs at the date of securitization or sale: 2015 Average discount rates 9.76 % Expected prepayment speeds 9.14 % Weighted-average life, in years 7.3 |
Goodwill and Other Intangible36
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill and other intangible assets | Goodwill and other intangible assets at December 31, 2015 and 2014 are summarized as follows (in thousands): Gross Goodwill and Intangible Assets Accumulated Amortization Net Goodwill and Intangible Assets December 31, 2015 Goodwill $ 15,370 $ (374 ) $ 14,996 Intangible assets—customer relationships and trademarks 9,104 (4,140 ) 4,964 Total goodwill and intangible assets $ 24,474 $ (4,514 ) $ 19,960 December 31, 2014 Goodwill $ 15,370 $ (374 ) $ 14,996 Intangible assets—customer relationships and trademarks 9,104 (3,512 ) 5,592 Total goodwill and intangible assets $ 24,474 $ (3,886 ) $ 20,588 |
Schedule of estimated aggregate future amortization expense for intangible assets | The estimated aggregate future amortization expense for intangible assets remaining as of December 31, 2015 is as follows (in thousands): 2016 $ 471 2017 473 2018 473 2019 473 2020 435 Thereafter 2,639 $ 4,964 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Summary of premises and equipment | Premises and equipment at December 31, 2015 and 2014 are summarized as follows (in thousands): December 31, 2015 2014 Premises $ 21,020 $ 24,339 Furniture and equipment 26,185 22,418 47,205 46,757 Accumulated depreciation (23,644 ) (23,622 ) Total premises and equipment, net $ 23,561 $ 23,135 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Deposits [Abstract] | |
Schedule of deposits | Deposits at December 31, 2015 and 2014 were as follows (in thousands): 2015 2014 Non-interest-bearing demand deposits $ 6,386,911 $ 5,011,619 Interest-bearing deposits Transaction 2,006,591 1,292,388 Savings 6,163,622 5,630,253 Time 527,495 426,331 Deposits in foreign branches — 312,709 Total interest-bearing deposits 8,697,708 7,661,681 Total deposits $ 15,084,619 $ 12,673,300 |
Schedule of maturities of interest-bearing time deposits | The scheduled maturities of interest-bearing time deposits were as follows at December 31, 2015 (in thousands): 2016 $ 502,113 2017 18,138 2018 1,646 2019 4,001 2020 1,597 2021 and after — $ 527,495 |
Borrowing Arrangements (Tables)
Borrowing Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Summary of borrowings | The following table summarizes our borrowings at December 31, 2015 , 2014 and 2013 (in thousands): 2015 2014 2013 Balance Rate(3) Balance Rate(3) Balance Rate(3) Federal funds purchased(4) $ 74,164 0.55 % $ 66,971 0.30 % $ 148,650 0.22 % Customer repurchase agreements(1) 68,887 0.02 % 25,705 0.07 % 21,954 0.06 % FHLB borrowings(2) 1,500,000 0.31 % 1,100,005 0.13 % 840,026 0.12 % Line of credit — — % — — % 15,000 2.65 % Subordinated notes 286,000 5.75 % 286,000 5.82 % 111,000 6.50 % Trust preferred subordinated debentures 113,406 2.47 % 113,406 2.18 % 113,406 2.17 % Total borrowings $ 2,042,457 $ 1,592,087 $ 1,250,036 Maximum outstanding at any month end $ 2,042,457 $ 1,592,087 $ 1,859,036 (1) Securities pledged for customer repurchase agreements were $14.2 million , $21.8 million and $37.7 million at December 31, 2015 , 2014 and 2013 , respectively. (2) FHLB borrowings are collateralized by a blanket floating lien on certain real estate secured loans, mortgage finance assets and also certain pledged securities. The weighted-average interest rate for the years ended December 31, 2015 , 2014 and 2013 was 0.18% , 0.15% and 0.14% , respectively. The average balance of FHLB borrowings for the years ended December 31, 2015 , 2014 and 2013 was $1.2 billion , $213.4 million and $370.0 million , respectively. (3) Interest rate as of period end. (4) The weighted-average interest rate on Federal funds purchased for the years ended December 31, 2015 , 2014 and 2013 was 0.29% , 0.27% and 0.27% , respectively. The average balance of Federal funds purchased for the years ended December 31, 2015 , 2014 and 2013 was $98.8 million , $139.3 million and $254.3 million , respectively. |
Summary of other borrowing capacities | The following table summarizes our other borrowing capacities net of balances outstanding at December 31, 2015 , 2014 and 2013 (in thousands): 2015 2014 2013 FHLB borrowing capacity relating to loans $ 4,101,396 $ 3,602,994 $ 693,302 FHLB borrowing capacity relating to securities 1,213 535 8,482 Total FHLB borrowing capacity $ 4,102,609 $ 3,603,529 $ 701,784 Unused Federal funds lines available from commercial banks $ 1,231,000 $ 1,186,000 $ 890,000 Unused Federal Reserve Borrowings capacity $ 2,966,702 $ 2,643,000 $ 2,284,000 |
Schedule of maturities of borrowings | The scheduled maturities of our borrowings at December 31, 2015 , were as follows (in thousands): Within One Year After One But Within Three Years After Three But Within Five Years After Five Years Total Federal funds purchased and customer repurchase agreements(1) $ 143,051 $ — $ — $ — $ 143,051 FHLB borrowings(1) 700,000 800,000 — — 1,500,000 Subordinated notes(1) — — — 286,000 286,000 Trust preferred subordinated debentures(1) — — — 113,406 113,406 Total borrowings $ 843,051 $ 800,000 $ — $ 399,406 $ 2,042,457 (1) Excludes interest. |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Subordinated Borrowings [Abstract] | |
Schedule of details of the trust preferred subordinated debentures | As of December 31, 2015 , the details of the trust preferred subordinated debentures are summarized below (in thousands): Texas Capital Texas Capital Texas Capital Texas Capital Texas Capital Date issued November 19, 2002 April 10, 2003 October 6, 2005 April 28, 2006 September 29, 2006 Trust preferred securities issued $10,310 $10,310 $25,774 $25,774 $41,238 Floating or fixed rate securities Floating Floating Floating Floating Floating Interest rate on subordinated debentures 3 month LIBOR + 3.35% 3 month LIBOR + 3.25% 3 month LIBOR + 1.51% 3 month LIBOR + 1.60% 3 month LIBOR + 1.71% Maturity date November 2032 April 2033 December 2035 June 2036 December 2036 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Schedule of income tax expense/(benefit) | Income tax expense/(benefit) consists of the following for the years ended (in thousands): Year ended December 31, 2015 2014 2013 Current: Federal $ 80,957 $ 77,855 $ 76,478 State 2,245 2,124 1,878 Total 83,202 79,979 78,356 Deferred Federal (3,561 ) (3,969 ) (11,599 ) State — — — Total (3,561 ) (3,969 ) (11,599 ) Total expense Federal 77,396 73,886 64,879 State 2,245 2,124 1,878 Total $ 79,641 $ 76,010 $ 66,757 |
Schedule of deferred tax assets and liabilities | Significant components of deferred tax assets and liabilities are as follows (in thousands): December 31, 2015 2014 Deferred tax assets: Allowance for credit losses $ 53,368 $ 38,356 Loan origination fees 13,435 13,651 Stock compensation 5,509 8,263 Mark to market on mortgage loans 184 215 Reserve for potential mortgage loan repurchases — 20 Non-accrual interest 1,198 1,272 Deferred lease expense 3,779 1,688 Depreciation — 691 OREO valuation allowance 8 22 Other 1,299 1,298 Total deferred tax assets 78,780 65,476 Deferred tax liabilities: Loan origination costs (1,726 ) (1,488 ) Leases (10,121 ) (9,466 ) Depreciation (8,296 ) — Unrealized gain on securities (387 ) (694 ) Other (2,468 ) (1,914 ) Total deferred tax liabilities (22,998 ) (13,562 ) Net deferred tax asset $ 55,782 $ 51,914 |
Reconciliation of income attributable to continuing operations | The reconciliation of income computed at the U.S. federal statutory tax rates to income tax expense (benefit) is as follows: Year ended December 31, 2015 2014 2013 Tax at U.S. statutory rate 35 % 35 % 35 % State taxes 1 % 1 % 1 % Non-deductible expenses 1 % 1 % 1 % Non-taxable income (1 )% (1 )% (1 )% Other (1 )% — — Total 35 % 36 % 36 % |
Employee Benefits (Tables)
Employee Benefits (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Compensation Related Costs [Abstract] | |
Schedule of weighted-average assumptions | The fair value of the options and SARs were estimated at the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions. No stock options or SARs were granted in 2015 . 2015 2014 2013 Risk-free rate N/A 1.46 % 1.17 % Market price volatility factor N/A 0.402 0.409 Weighted-average expected life of options N/A 5 years 5 years |
Summary of stock option activity | A summary of our stock option activity and related information for 2015 , 2014 and 2013 is as follows: December 31, 2015 December 31, 2014 December 31, 2013 Options Weighted Average Exercise Price Options Weighted Options Weighted Options outstanding at beginning of year 25,000 $ 20.60 54,900 $ 18.65 174,062 $ 13.51 Options exercised (21,000 ) 20.05 (28,400 ) 17.34 (119,162 ) 11.14 Options forfeited (4,000 ) 23.50 (1,500 ) 14.91 — — Options outstanding at year-end — $ — 25,000 $ 20.60 54,900 $ 18.65 Options vested and exercisable at year-end — $ — 25,000 $ 20.60 54,900 $ 18.65 Intrinsic value of options vested and exercisable $ — $ 843,190 $ 2,391,014 Weighted average remaining contractual life of options vested and exercisable (in years) 0.00 0.30 0.97 Intrinsic value of options exercised $ 565,000 $ 1,193,070 $ 4,176,787 Weighted average remaining contractual life of options currently outstanding (in years) 0.00 0.30 0.97 |
Schedule of stock appreciation rights activity | These rights are time-vested and generally vest ratably over a period of five years. December 31, 2015 December 31, 2014 December 31, 2013 SARs Weighted Average Exercise Price SARs Weighted SARs / Weighted SARs outstanding at beginning of year 445,009 $ 24.83 537,149 $ 23.68 640,220 $ 20.90 SARs granted — — 8,000 62.02 53,500 43.73 SARs exercised (84,465 ) 20.97 (92,640 ) 20.87 (134,271 ) 19.21 SARs forfeited — — (7,500 ) 31.16 (22,300 ) 18.99 SARs outstanding at year-end 360,544 $ 25.73 445,009 $ 24.83 537,149 $ 23.68 SARs vested and exercisable at year-end 307,144 $ 22.49 355,509 $ 21.16 384,974 $ 20.64 Weighted average remaining contractual life of SARs vested 2.36 2.89 3.46 Compensation expense $ 367,000 $ 530,000 $ 564,000 Weighted average fair value of SARs granted $ — $ 23.02 $ 16.26 Fair value of shares vested during the year $ 436,000 $ 580,345 $ 566,341 Weighted average remaining contractual life of SARs currently outstanding (in years) 3.08 3.85 4.68 Intrinsic value of SARs exercised $ 8,291,000 $ 11,794,000 $ 16,000,000 |
Summary of status and changes in nonvested restricted stock units | The following table summarizes the status of and changes in our RSUs: Restricted Stock Units Number of Shares Weighted- Average Grant- Date Fair Value Balance, January 1, 2013 411,919 $ 23.80 Granted 163,500 45.35 Vested and issued (151,480 ) 20.47 Forfeited (20,200 ) 24.96 Balance, December 31, 2013 403,739 33.72 Granted 64,050 57.84 Vested and issued (161,249 ) 26.40 Forfeited (17,375 ) 37.40 Balance, December 31, 2014 289,165 42.93 Granted 144,952 51.96 Vested and issued (95,943 ) 38.05 Forfeited (12,200 ) 43.89 Balance, December 31, 2015 325,974 $ 48.42 |
Financial Instruments with Of43
Financial Instruments with Off-Balance Sheet Risk (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Risks and Uncertainties [Abstract] | |
Schedule of financial instruments with off-balance sheet risk | At December 31, 2015 and 2014 , commitments to extend credit and standby and commercial letters of credit were as follows (in thousands): December 31, 2015 2014 Commitments to extend credit $ 5,542,363 $ 5,324,460 Standby letters of credit 182,219 177,808 At December 31, 2015 and 2014 , we had $9.0 million and $7.1 million , respectively, in allowance allocations for these off-balance sheet commitments recorded in other liabilities. |
Regulatory Restrictions (Tables
Regulatory Restrictions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Regulatory Capital Requirements [Abstract] | |
Schedule of compliance with Regulatory Capital Requirements | Because our Bank had less than $15.0 billion in total consolidated assets as of December 31, 2009, we are allowed to continue to classify our trust preferred securities, all of which were issued prior to May 19, 2010, as Tier 1 capital. The table below summarizes our capital ratios: Actual For Capital Adequacy Purposes To Be Well Capitalized Under Prompt Corrective Action Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2015: CET1: Company $ 1,455,662 7.47 % $ 876,563 4.50 % N/A N/A Bank 1,522,729 7.82 % 876,336 4.50 % $ 1,265,819 6.50 % Total capital (to risk-weighted assets): Company $ 2,152,292 11.05 % $ 1,558,334 8.00 % N/A N/A Bank 2,058,359 10.57 % 1,557,931 8.00 % $ 1,947,414 10.00 % Tier 1 capital (to risk-weighted assets): Company $ 1,716,170 8.81 % $ 1,168,751 6.00 % N/A N/A Bank 1,683,237 8.64 % 1,168,448 6.00 % $ 1,557,931 8.00 % Tier 1 capital (to average assets): Company $ 1,716,170 8.92 % $ 769,258 4.00 % N/A N/A Bank 1,683,237 8.75 % 769,498 4.00 % $ 961,873 5.00 % As of December 31, 2014: CET1: Company $ 1,312,225 7.89 % $ 748,445 4.50 % N/A N/A Bank 1,263,569 7.60 % 748,252 4.50 % $ 1,080,809 6.50 % Total capital (to risk-weighted assets): Company $ 1,967,021 11.83 % $ 1,330,568 8.00 % N/A N/A Bank 1,757,365 10.57 % 1,330,226 8.00 % $ 1,662,782 10.00 % Tier 1 capital (to risk-weighted assets): Company $ 1,573,007 9.46 % $ 665,284 4.00 % N/A N/A Bank 1,424,351 8.57 % 665,113 4.00 % $ 997,669 6.00 % Tier 1 capital (to average assets): Company $ 1,573,007 10.76 % $ 584,765 4.00 % N/A N/A Bank 1,424,351 9.75 % 584,597 4.00 % $ 730,746 5.00 % |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of computation of basic and diluted earnings per share | The following table presents the computation of basic and diluted earnings per share (in thousands except share data): Year ended December 31, 2015 2014 2013 Numerator: Net income $ 144,854 $ 136,352 $ 121,051 Preferred stock dividends 9,750 9,750 7,394 Net income available to common stockholders $ 135,104 $ 126,602 $ 113,657 Denominator: Denominator for basic earnings per share—weighted average shares 45,808,440 43,236,344 40,864,225 Effect of employee stock-based awards(1) 211,168 311,423 402,593 Effect of warrants to purchase common stock 418,264 455,489 513,063 Denominator for dilutive earnings per share—adjusted weighted average shares and assumed conversions 46,437,872 44,003,256 41,779,881 Basic earnings per common share $ 2.95 $ 2.93 $ 2.78 Diluted earnings per common share $ 2.91 $ 2.88 $ 2.72 (1) Stock options, SARs and RSUs outstanding of 64,700 , 51,300 and 118,500 in 2015 , 2014 and 2013 , respectively, have not been included in diluted earnings per share because to do so would have been antidilutive for the periods presented. Stock options are antidilutive when the exercise price is higher than the average market price of the Company’s common stock. |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets and liabilities measured at fair value | Assets and liabilities measured at fair value at December 31, 2015 and 2014 are as follows (in thousands): Fair Value Measurements Using December 31, 2015 Level 1 Level 2 Level 3 Available for sale securities:(1) Mortgage-backed securities $ — $ 21,901 $ — Municipals — 831 — Equity securities(2) — 7,260 — Loans held for sale(3) — 86,075 — Loans(4)(6) — — 41,420 OREO(5)(6) — — 278 Derivative assets(7) — 35,292 — Derivative liabilities(7) — 35,420 — December 31, 2014 Available for sale securities:(1) Mortgage-backed securities $ — $ 31,065 $ — Municipals — 3,267 — Equity securities(2) — 7,387 — Loans held for sale(3) — — — Loans(4)(6) — — 23,536 OREO(5)(6) — — 568 Derivative assets(7) — 31,176 — Derivative liabilities(7) — 31,176 — (1) Securities are measured at fair value on a recurring basis, generally monthly. (2) Equity securities consist of Community Reinvestment Act funds. (3) Loans held for sale are measured at fair value on a recurring basis, generally monthly. (4) Includes impaired loans that have been measured for impairment at the fair value of the loan’s collateral. (5) OREO is transferred from loans to OREO at fair value less selling costs. (6) Fair value of loans and OREO is measured on a nonrecurring basis, generally annually or more often as warranted by market and economic conditions (7) Derivative assets and liabilities are measured at fair value on a recurring basis, generally quarterly. |
Summary of the carrying amounts and estimated fair values of financial instruments | A summary of the carrying amounts and estimated fair values of financial instruments is as follows (in thousands): December 31, 2015 December 31, 2014 Carrying Amount Estimated Fair Value Carrying Estimated Cash and cash equivalents $ 1,790,870 $ 1,790,870 $ 1,330,514 $ 1,330,514 Securities, available-for-sale 29,992 29,992 41,719 41,719 Loans held for sale 86,075 86,075 — — Loans held for investment, net 16,570,839 16,576,297 14,156,058 14,161,484 Derivative assets 35,292 35,292 31,176 31,176 Deposits 15,084,619 15,085,080 12,673,300 12,673,607 Federal funds purchased 74,164 74,164 66,971 66,971 Customer repurchase agreements 68,887 68,887 25,705 25,705 Other borrowings 1,500,000 1,500,000 1,100,005 1,100,005 Subordinated notes 286,000 291,091 286,000 289,947 Trust preferred subordinated debentures 113,406 113,406 113,406 113,406 Derivative liabilities 35,420 35,420 31,176 31,176 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of minimum future lease payments under operating leases | Minimum future lease payments under operating leases are as follows (in thousands): Year ending December 31, Minimum Payments 2016 $ 15,572 2017 15,667 2018 15,633 2019 15,345 2020 14,501 2021 and thereafter 39,059 $ 115,777 |
Parent Company Only (Tables)
Parent Company Only (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Balance Sheet | Balance Sheet December 31, 2015 2014 Assets Cash and cash equivalents $ 53,061 $ 176,324 Investment in subsidiaries 1,714,158 1,459,092 Other assets 86,359 82,783 Total assets $ 1,853,578 $ 1,718,199 Liabilities and Stockholders’ Equity Other liabilities $ 1,119 $ 1,328 Subordinated notes 111,000 111,000 Trust preferred subordinated debentures 113,406 113,406 Total liabilities 225,525 225,734 Preferred stock 150,000 150,000 Common stock 459 457 Additional paid-in capital 724,698 719,890 Retained earnings 752,186 620,837 Treasury stock (8 ) (8 ) Accumulated other comprehensive income 718 1,289 Total stockholders’ equity 1,628,053 1,492,465 Total liabilities and stockholders’ equity $ 1,853,578 $ 1,718,199 |
Statement of Earnings | Statement of Earnings Year ended December 31, 2015 2014 2013 Loan income $ 3,250 $ 10,850 $ 10,382 Dividend income 10,400 5,275 76 Other income 76 28 72 Total income 13,726 16,153 10,530 Other non-interest income 8 — — Interest expense 9,867 10,038 9,863 Salaries and employee benefits 499 617 669 Legal and professional 1,640 2,237 2,605 Other non-interest expense 1,637 933 651 Total expense 13,643 13,825 13,788 Income (loss) before income taxes and equity in undistributed income of subsidiary 91 2,328 (3,258 ) Income tax expense (benefit) 33 833 (1,165 ) Income (loss) before equity in undistributed income of subsidiary 58 1,495 (2,093 ) Equity in undistributed income of subsidiary 141,041 132,980 123,144 Net income 141,099 134,475 121,051 Preferred stock dividends 9,750 9,750 7,394 Net income available to common stockholders $ 131,349 $ 124,725 $ 113,657 |
Statement of Cash Flows | Statements of Cash Flows Year ended December 31, 2015 2014 2013 (in thousands) Operating Activities Net income $ 141,099 $ 134,475 $ 121,051 Adjustments to reconcile net income to net cash used in operating activities: Equity in undistributed income of subsidiary (141,041 ) (132,980 ) (123,144 ) Increase in other assets (2,123 ) (2,120 ) (2,413 ) Excess tax benefits from stock-based compensation arrangements (1,499 ) (2,929 ) (1,200 ) Increase in other liabilities (209 ) 74 37 Net cash used in operating activities of continuing operations (3,773 ) (3,480 ) (5,669 ) Investing Activities Investments in and advances to subsidiaries (110,000 ) (100,000 ) (240,000 ) Net cash used in investing activities (110,000 ) (100,000 ) (240,000 ) Financing Activities Proceeds from sale of stock related to stock-based awards (1,239 ) (2,203 ) (2,210 ) Proceeds from sale of common stock — 256,223 — Proceeds from issuance of preferred stock — — 144,987 Preferred dividends paid (9,750 ) (9,750 ) (6,960 ) Issuance of subordinated notes — — — Net other borrowings — (15,000 ) 15,000 Excess tax benefits from stock-based compensation arrangements 1,499 2,929 1,200 Net cash provided by financing activities (9,490 ) 232,199 152,017 Net increase (decrease) in cash and cash equivalents (123,263 ) 128,719 (93,652 ) Cash and cash equivalents at beginning of year 176,324 47,605 141,257 Cash and cash equivalents at end of year $ 53,061 $ 176,324 $ 47,605 |
Derivative Financial Instrume49
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The notional amounts and estimated fair values of interest rate derivative positions outstanding at December 31, 2015 and 2014 presented in the following table (in thousands): December 31, 2015 December 31, 2014 Estimated Fair Value Estimated Fair Value Notional Amount Asset Derivative Liability Derivative Notional Amount Asset Derivative Liability Derivative Non-hedging interest rate derivatives: Financial institution counterparties: Commercial loan/lease interest rate swaps $ 976,389 $ — $ 33,851 $ 866,432 $ 361 $ 30,162 Commercial loan/lease interest rate caps 194,304 1,441 — 63,414 1,014 — Customer counterparties: Commercial loan/lease interest rate swaps 976,389 33,851 — 866,432 30,162 361 Commercial loan/lease interest rate caps 194,304 — 1,441 63,414 — 1,014 Economic hedging interest rate derivatives: Loan purchase commitments 62,835 — 109 — — — Forward sale commitments 143,200 — 19 — — — Gross derivatives 35,292 35,420 31,537 31,537 Offsetting derivative assets/liabilities — — (361 ) (361 ) Net derivatives included in the consolidated balance sheets $ 35,292 $ 35,420 $ 31,176 $ 31,176 |
Schedule Of Weighted Average Interest Rate Received And Paid | The weighted-average receive and pay interest rates for interest rate swaps outstanding at December 31, 2015 and 2014 were as follows: December 31, 2015 Weighted-Average Interest Rate December 31, 2014 Received Paid Received Paid Non-hedging interest rate swaps 2.96 % 4.72 % 2.79 % 4.82 % |
Quarterly Financial Data (Table
Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Selected Quarterly Financial Information [Abstract] | |
Schedule of Quarterly Financial Information | 2015 Selected Quarterly Financial Data Fourth Third Second First Interest income $ 154,820 $ 153,856 $ 153,374 $ 140,908 Interest expense 12,632 11,808 11,089 10,899 Net interest income 142,188 142,048 142,285 130,009 Provision for credit losses 14,000 13,750 14,500 11,000 Net interest income after provision for credit losses 128,188 128,298 127,785 119,009 Non-interest income 11,320 11,380 12,771 12,267 Non-interest expense 87,042 81,688 81,276 76,517 Income before income taxes 52,466 57,990 59,280 54,759 Income tax expense 17,713 20,876 21,343 19,709 Net income 34,753 37,114 37,937 35,050 Preferred stock dividends 2,437 2,438 2,437 2,438 Net income available to common stockholders $ 32,316 $ 34,676 $ 35,500 $ 32,612 Basic earnings per share: $ 0.70 $ 0.76 $ 0.78 $ 0.71 Diluted earnings per share: $ 0.70 $ 0.75 $ 0.76 $ 0.70 Average shares Basic 45,856,000 45,828,000 45,790,000 45,759,000 Diluted 46,480,000 46,471,000 46,443,000 46,368,000 2014 Selected Quarterly Financial Data Fourth Third Second First Interest income $ 137,833 $ 135,290 $ 124,813 $ 116,611 Interest expense 10,251 9,629 9,406 8,296 Net interest income 127,582 125,661 115,407 108,315 Provision for credit losses 6,500 6,500 4,000 5,000 Net interest income after provision for credit losses 121,082 119,161 111,407 103,315 Non-interest income 11,226 10,396 10,533 10,356 Non-interest expense 74,117 71,915 69,765 69,317 Income before income taxes 58,191 57,642 52,175 44,354 Income tax expense 20,357 20,810 18,754 16,089 Net income 37,834 36,832 33,421 28,265 Preferred stock dividends 2,437 2,438 2,437 2,438 Net income available to common stockholders $ 35,397 $ 34,394 $ 30,984 $ 25,827 Basic earnings per share: $ 0.80 $ 0.80 $ 0.72 $ 0.61 Diluted earnings per share: $ 0.78 $ 0.78 $ 0.71 $ 0.60 Average shares Basic 44,406,000 43,144,000 43,075,000 42,298,000 Diluted 45,093,000 43,850,000 43,845,000 43,220,000 |
Securities (Details)
Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Available-for-sale securities: | ||
Amortized Cost | $ 28,886 | $ 39,736 |
Gross Unrealized Gains | 1,379 | 2,134 |
Gross Unrealized Losses | (273) | (151) |
Estimated Fair Value | 29,992 | 41,719 |
Residential mortgage-backed securities | ||
Available-for-sale securities: | ||
Amortized Cost | 20,536 | 28,957 |
Gross Unrealized Gains | 1,365 | 2,108 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 21,901 | 31,065 |
Municipals | ||
Available-for-sale securities: | ||
Amortized Cost | 828 | 3,257 |
Gross Unrealized Gains | 3 | 10 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 831 | 3,267 |
Equity securities | ||
Available-for-sale securities: | ||
Amortized Cost | 7,522 | 7,522 |
Gross Unrealized Gains | 11 | 16 |
Gross Unrealized Losses | (273) | (151) |
Estimated Fair Value | $ 7,260 | $ 7,387 |
Securities (Details 1)
Securities (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Amortized cost | |||
Amortized Cost | $ 28,886 | $ 39,736 | |
Estimated fair value | |||
Total | $ 29,992 | $ 41,719 | |
Available-for-sale Securities, Other Disclosure Items | |||
Federal tax rate (percent) | 35.00% | 35.00% | 35.00% |
Securities pledged as collateral | $ 20,700 | $ 32,700 | |
Residential mortgage-backed securities | |||
Amortized cost | |||
Less Than One Year | 214 | 1 | |
After One Through Five Years | 4,655 | 9,151 | |
After Five Through Ten Years | 4,265 | 5,661 | |
After Ten Years | 11,402 | 14,144 | |
Amortized Cost | 20,536 | 28,957 | |
Estimated fair value | |||
Less Than One Year | 217 | 1 | |
After One Through Five Years | 4,837 | 9,662 | |
After Five Through Ten Years | 4,747 | 6,333 | |
After Ten Years | 12,100 | 15,069 | |
Total | $ 21,901 | $ 31,065 | |
Weighted average yield | |||
Less Than One Year | 5.62% | 6.50% | |
After One Through Five Years | 4.71% | 4.79% | |
After Five Through Ten Years | 5.54% | 5.54% | |
After Ten Years | 2.53% | 2.36% | |
Total | 3.68% | 3.75% | |
Available-for-sale Securities, Other Disclosure Items | |||
Average expected life of mortgage-backed securities | 9 months | 1 year 2 months | |
Municipals | |||
Amortized cost | |||
Less Than One Year | $ 265 | $ 1,669 | |
After One Through Five Years | 563 | 1,588 | |
After Five Through Ten Years | 0 | 0 | |
After Ten Years | 0 | 0 | |
Amortized Cost | 828 | 3,257 | |
Estimated fair value | |||
Less Than One Year | 265 | 1,674 | |
After One Through Five Years | 566 | 1,593 | |
After Five Through Ten Years | 0 | 0 | |
After Ten Years | 0 | 0 | |
Total | $ 831 | $ 3,267 | |
Weighted average yield | |||
Less Than One Year | 5.46% | 5.78% | |
After One Through Five Years | 5.69% | 5.79% | |
After Five Through Ten Years | 0.00% | 0.00% | |
After Ten Years | 0.00% | 0.00% | |
Total | 5.62% | 5.79% | |
Equity securities | |||
Amortized cost | |||
Less Than One Year | $ 7,522 | $ 7,522 | |
After One Through Five Years | 0 | 0 | |
After Five Through Ten Years | 0 | 0 | |
After Ten Years | 0 | 0 | |
Amortized Cost | 7,522 | 7,522 | |
Estimated fair value | |||
Less Than One Year | 7,260 | 7,387 | |
After One Through Five Years | 0 | 0 | |
After Five Through Ten Years | 0 | 0 | |
After Ten Years | 0 | 0 | |
Total | 7,260 | 7,387 | |
Deposits | |||
Available-for-sale Securities, Other Disclosure Items | |||
Securities pledged as collateral | $ 6,600 | $ 10,900 |
Securities (Details 2)
Securities (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value | |||
Less Than 12 Months | $ 0 | $ 0 | |
12 Months or Longer | 6,227 | 6,349 | |
Total | 6,227 | 6,349 | |
Unrealized Loss | |||
Less Than 12 Months | 0 | 0 | |
12 Months or Longer | (273) | (151) | |
Total | (273) | (151) | |
Comprehensive income | 144,283 | 136,013 | $ 119,407 |
Net after-tax loss | $ 571 | $ 339 | $ 1,644 |
Loans and Allowance for Credi54
Loans and Allowance for Credit Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Loans and Leases Receivable, Net Reported Amount | |||
Commercial | $ 6,672,631 | $ 5,869,219 | |
Mortgage finance | 4,966,276 | 4,102,125 | |
Construction | 1,851,717 | 1,416,405 | |
Real estate | 3,139,197 | 2,807,127 | |
Consumer | 25,323 | 19,699 | |
Equipment leases | 113,996 | 99,495 | |
Gross loans held for investment | 16,769,140 | 14,314,070 | |
Deferred income (net of direct origination costs) | (57,190) | (57,058) | |
Allowance for loan losses | (141,111) | (100,954) | $ (87,604) |
Loans held for investment, net | $ 16,570,839 | $ 14,156,058 |
Loans and Allowance for Credi55
Loans and Allowance for Credit Losses (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |||
Participating mortgage finance loans | $ 454,800 | $ 358,300 | |
Interest income recognized on non-accrual loans | 1,600 | 1,700 | $ 2,400 |
Interest lost on non-accrual loans | 7,000 | 2,100 | 2,500 |
Non-accrual loans earning on cash basis | 884 | 310 | |
Average impaired loans outstanding | 102,343 | 46,443 | $ 50,800 |
Premium finance loans past due and still accruing | 6,600 | ||
Loans considered restructured that are not already on nonaccrual | 249 | 1,800 | |
Nonaccrual loans that met the criteria for restructured | 24,900 | $ 12,100 | |
Decrease in post-restructuring recorded investment | 5,500 | ||
Loans restructured on non-accrual | $ 15,000 |
Loans and Allowance for Credi56
Loans and Allowance for Credit Losses (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial | $ 6,672,631 | $ 5,869,219 |
Mortgage finance | 4,966,276 | 4,102,125 |
Construction | 1,851,717 | 1,416,405 |
Real estate | 3,139,197 | 2,807,127 |
Consumer | 25,323 | 19,699 |
Equipment leases | 113,996 | 99,495 |
Total | 16,769,140 | 14,314,070 |
Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial | 6,375,332 | 5,738,474 |
Mortgage finance | 4,966,276 | 4,102,125 |
Construction | 1,821,678 | 1,414,671 |
Real estate | 3,085,463 | 2,785,804 |
Consumer | 25,093 | 19,579 |
Equipment leases | 103,560 | 91,044 |
Total | 16,377,402 | 14,151,697 |
Special mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial | 111,911 | 53,839 |
Mortgage finance | 0 | 0 |
Construction | 13,090 | 1,734 |
Real estate | 30,585 | 8,723 |
Consumer | 3 | 11 |
Equipment leases | 334 | 4,363 |
Total | 155,923 | 68,670 |
Substandard- accruing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial | 46,731 | 43,784 |
Mortgage finance | 0 | 0 |
Construction | 281 | 0 |
Real estate | 3,837 | 2,653 |
Consumer | 227 | 47 |
Equipment leases | 4,951 | 3,915 |
Total | 56,027 | 50,399 |
Non-accrual | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial | 138,657 | 33,122 |
Mortgage finance | 0 | 0 |
Construction | 16,668 | 0 |
Real estate | 19,312 | 9,947 |
Consumer | 0 | 62 |
Equipment leases | 5,151 | 173 |
Total | $ 179,788 | $ 43,304 |
Loans and Allowance for Credi57
Loans and Allowance for Credit Losses (Details 3) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | $ 100,954 | $ 87,604 |
Provision for loan losses | 51,299 | 19,630 |
Charge-offs | 16,730 | 10,365 |
Recoveries | 5,588 | 4,085 |
Net charge-offs (recoveries) | 11,142 | 6,280 |
Ending balance | 141,111 | 100,954 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 23,467 | 8,376 |
Loans collectively evaluated for impairment | 117,644 | 92,578 |
Commercial | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 70,654 | 39,868 |
Provision for loan losses | 53,102 | 37,827 |
Charge-offs | 16,254 | 9,803 |
Recoveries | 4,944 | 2,762 |
Net charge-offs (recoveries) | 11,310 | 7,041 |
Ending balance | 112,446 | 70,654 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 19,840 | 7,705 |
Loans collectively evaluated for impairment | 92,606 | 62,949 |
Mortgage Finance | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 0 | 0 |
Provision for loan losses | 0 | 0 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Net charge-offs (recoveries) | 0 | 0 |
Ending balance | 0 | 0 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 0 | 0 |
Loans collectively evaluated for impairment | 0 | 0 |
Construction | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 7,935 | 14,553 |
Provision for loan losses | (1,499) | (6,618) |
Charge-offs | 0 | 0 |
Recoveries | 400 | 0 |
Net charge-offs (recoveries) | (400) | 0 |
Ending balance | 6,836 | 7,935 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 0 | 0 |
Loans collectively evaluated for impairment | 6,836 | 7,935 |
Real Estate | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 15,582 | 24,210 |
Provision for loan losses | (1,845) | (8,411) |
Charge-offs | 389 | 296 |
Recoveries | 33 | 79 |
Net charge-offs (recoveries) | 356 | 217 |
Ending balance | 13,381 | 15,582 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 1,191 | 636 |
Loans collectively evaluated for impairment | 12,190 | 14,946 |
Consumer | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 240 | 149 |
Provision for loan losses | (13) | 195 |
Charge-offs | 62 | 266 |
Recoveries | 173 | 162 |
Net charge-offs (recoveries) | (111) | 104 |
Ending balance | 338 | 240 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 0 | 9 |
Loans collectively evaluated for impairment | 338 | 231 |
Equipment Leases | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 1,141 | 3,105 |
Provision for loan losses | 2,777 | (3,046) |
Charge-offs | 25 | 0 |
Recoveries | 38 | 1,082 |
Net charge-offs (recoveries) | (13) | (1,082) |
Ending balance | 3,931 | 1,141 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 2,436 | 26 |
Loans collectively evaluated for impairment | 1,495 | 1,115 |
Additional Qualitative Reserve | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 5,402 | 5,719 |
Provision for loan losses | (1,223) | (317) |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Net charge-offs (recoveries) | 0 | 0 |
Ending balance | 4,179 | 5,402 |
Period end amount allocated to: | ||
Loans individually evaluated for impairment | 0 | 0 |
Loans collectively evaluated for impairment | $ 4,179 | $ 5,402 |
Loans and Allowance for Credi58
Loans and Allowance for Credit Losses (Details 4) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | $ 183,340 | $ 49,280 |
Loans collectively evaluated for impairment | 16,585,800 | 14,264,790 |
Gross loans held for investment | 16,769,140 | 14,314,070 |
Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | 140,479 | 35,165 |
Loans collectively evaluated for impairment | 6,532,152 | 5,834,054 |
Gross loans held for investment | 6,672,631 | 5,869,219 |
Mortgage Finance | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | 0 | 0 |
Loans collectively evaluated for impairment | 4,966,276 | 4,102,125 |
Gross loans held for investment | 4,966,276 | 4,102,125 |
Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | 16,668 | 0 |
Loans collectively evaluated for impairment | 1,835,049 | 1,416,405 |
Gross loans held for investment | 1,851,717 | 1,416,405 |
Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | 21,042 | 13,880 |
Loans collectively evaluated for impairment | 3,118,155 | 2,793,247 |
Gross loans held for investment | 3,139,197 | 2,807,127 |
Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | 0 | 62 |
Loans collectively evaluated for impairment | 25,323 | 19,637 |
Gross loans held for investment | 25,323 | 19,699 |
Equipment Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans individually evaluated for impairment | 5,151 | 173 |
Loans collectively evaluated for impairment | 108,845 | 99,322 |
Gross loans held for investment | $ 113,996 | $ 99,495 |
Loans and Allowance for Credi59
Loans and Allowance for Credit Losses (Details 5) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | $ 83,503 | $ 16,864 | |
With An Allowanced Recorded, Recorded Investment | 99,837 | 32,416 | |
Combined, Recorded Investment | 183,340 | 49,280 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 85,935 | 19,113 | |
With An Allowanced Recorded, Unpaid Principal Balance | 104,154 | 33,416 | |
Combined, Unpaid Principal Balance | 190,089 | 52,529 | |
Related Allowance | 23,467 | 8,376 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 59,815 | 19,802 | |
With An Allowanced Recorded, Average Recorded Investment | 42,528 | 26,641 | |
Combined, Average Recorded Investment | 102,343 | 46,443 | $ 50,800 |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 60 | 25 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 60 | 25 | |
Commercial | Business loans | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 11,097 | 9,608 | |
With An Allowanced Recorded, Recorded Investment | 20,983 | 24,553 | |
Combined, Recorded Investment | 32,080 | 34,161 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 13,529 | 11,857 | |
With An Allowanced Recorded, Unpaid Principal Balance | 25,300 | 25,553 | |
Combined, Unpaid Principal Balance | 38,829 | 37,410 | |
Related Allowance | 5,737 | 7,433 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 17,311 | 7,334 | |
With An Allowanced Recorded, Average Recorded Investment | 31,131 | 17,705 | |
Combined, Average Recorded Investment | 48,442 | 25,039 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 0 | 0 | |
Commercial | Energy loans | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 37,968 | 0 | |
With An Allowanced Recorded, Recorded Investment | 70,431 | 1,004 | |
Combined, Recorded Investment | 108,399 | 1,004 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 37,968 | 0 | |
With An Allowanced Recorded, Unpaid Principal Balance | 70,431 | 1,004 | |
Combined, Unpaid Principal Balance | 108,399 | 1,004 | |
Related Allowance | 14,103 | 272 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 21,791 | 375 | |
With An Allowanced Recorded, Average Recorded Investment | 6,641 | 991 | |
Combined, Average Recorded Investment | 28,432 | 1,366 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 36 | 25 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 36 | 25 | |
Construction | Market risk | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 16,668 | 0 | |
With An Allowanced Recorded, Recorded Investment | 0 | 0 | |
Combined, Recorded Investment | 16,668 | 0 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 16,668 | 0 | |
With An Allowanced Recorded, Unpaid Principal Balance | 0 | 0 | |
Combined, Unpaid Principal Balance | 16,668 | 0 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 9,764 | 118 | |
With An Allowanced Recorded, Average Recorded Investment | 0 | 0 | |
Combined, Average Recorded Investment | 9,764 | 118 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 0 | 0 | |
Real estate | Market risk | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 0 | 3,735 | |
With An Allowanced Recorded, Recorded Investment | 5,335 | 4,203 | |
Combined, Recorded Investment | 5,335 | 7,938 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 0 | 3,735 | |
With An Allowanced Recorded, Unpaid Principal Balance | 5,335 | 4,203 | |
Combined, Unpaid Principal Balance | 5,335 | 7,938 | |
Related Allowance | 1,066 | 317 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 3,352 | 7,970 | |
With An Allowanced Recorded, Average Recorded Investment | 2,558 | 5,064 | |
Combined, Average Recorded Investment | 5,910 | 13,034 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 0 | 0 | |
Real estate | Commercial | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 15,353 | 3,521 | |
With An Allowanced Recorded, Recorded Investment | 0 | 526 | |
Combined, Recorded Investment | 15,353 | 4,047 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 15,353 | 3,521 | |
With An Allowanced Recorded, Unpaid Principal Balance | 0 | 526 | |
Combined, Unpaid Principal Balance | 15,353 | 4,047 | |
Related Allowance | 0 | 79 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 4,364 | 2,795 | |
With An Allowanced Recorded, Average Recorded Investment | 306 | 705 | |
Combined, Average Recorded Investment | 4,670 | 3,500 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 24 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 24 | 0 | |
Real estate | Secured by 1-4 family | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 0 | 0 | |
With An Allowanced Recorded, Recorded Investment | 354 | 1,895 | |
Combined, Recorded Investment | 354 | 1,895 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 0 | 0 | |
With An Allowanced Recorded, Unpaid Principal Balance | 354 | 1,895 | |
Combined, Unpaid Principal Balance | 354 | 1,895 | |
Related Allowance | 125 | 240 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 0 | 1,210 | |
With An Allowanced Recorded, Average Recorded Investment | 1,580 | 2,119 | |
Combined, Average Recorded Investment | 1,580 | 3,329 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 0 | 0 | |
Consumer | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 0 | 0 | |
With An Allowanced Recorded, Recorded Investment | 0 | 62 | |
Combined, Recorded Investment | 0 | 62 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 0 | 0 | |
With An Allowanced Recorded, Unpaid Principal Balance | 0 | 62 | |
Combined, Unpaid Principal Balance | 0 | 62 | |
Related Allowance | 0 | 9 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 0 | 0 | |
With An Allowanced Recorded, Average Recorded Investment | 10 | 16 | |
Combined, Average Recorded Investment | 10 | 16 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | 0 | 0 | |
Equipment leases | |||
Recorded Investment | |||
With No Related Allowanced Recorded, Recorded Investment | 2,417 | 0 | |
With An Allowanced Recorded, Recorded Investment | 2,734 | 173 | |
Combined, Recorded Investment | 5,151 | 173 | |
Unpaid Principal Balance | |||
With No Related Allowanced Recorded, Unpaid Principal Balance | 2,417 | 0 | |
With An Allowanced Recorded, Unpaid Principal Balance | 2,734 | 173 | |
Combined, Unpaid Principal Balance | 5,151 | 173 | |
Related Allowance | 2,436 | 26 | |
Average Recorded Investment | |||
With No Related Allowanced Recorded, Average Recorded Investment | 3,233 | 0 | |
With An Allowanced Recorded, Average Recorded Investment | 302 | 41 | |
Combined, Average Recorded Investment | 3,535 | 41 | |
Interest Income Recognized | |||
With No Related Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
With An Allowanced Recorded, Interest Income Recognized | 0 | 0 | |
Combined, Interest Income Recognized | $ 0 | $ 0 |
Loans and Allowance for Credi60
Loans and Allowance for Credit Losses (Details 6) $ in Thousands | Dec. 31, 2015USD ($) |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | $ 37,145 |
60-89 Days Past Due | 3,666 |
Greater Than 90 Days(1) | 7,013 |
Total Past Due | 47,824 |
Non-accrual | 179,788 |
Current | 16,541,528 |
Total | 16,769,140 |
Commercial | Business loans | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 15,847 |
60-89 Days Past Due | 3,666 |
Greater Than 90 Days(1) | 7,013 |
Total Past Due | 26,526 |
Non-accrual | 30,258 |
Current | 5,577,523 |
Total | 5,634,307 |
Commercial | Energy loans | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 500 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 500 |
Non-accrual | 108,399 |
Current | 929,425 |
Total | 1,038,324 |
Mortgage Finance | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 0 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 0 |
Non-accrual | 0 |
Current | 4,966,276 |
Total | 4,966,276 |
Construction | Market risk | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 0 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 0 |
Non-accrual | 16,668 |
Current | 1,824,936 |
Total | 1,841,604 |
Construction | Secured by 1-4 family | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 0 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 0 |
Non-accrual | 0 |
Current | 10,113 |
Total | 10,113 |
Real estate | Market risk | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 0 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 0 |
Non-accrual | 3,605 |
Current | 2,402,640 |
Total | 2,406,245 |
Real estate | Commercial | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 17,729 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 17,729 |
Non-accrual | 15,353 |
Current | 612,711 |
Total | 645,793 |
Real estate | Secured by 1-4 family | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 2,319 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 2,319 |
Non-accrual | 354 |
Current | 84,486 |
Total | 87,159 |
Consumer | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 659 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 659 |
Non-accrual | 0 |
Current | 24,664 |
Total | 25,323 |
Equipment leases | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
30-59 Days Past Due | 91 |
60-89 Days Past Due | 0 |
Greater Than 90 Days(1) | 0 |
Total Past Due | 91 |
Non-accrual | 5,151 |
Current | 108,754 |
Total | $ 113,996 |
Loans and Allowance for Credi61
Loans and Allowance for Credit Losses (Details 7) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015USD ($)contract | Dec. 31, 2014USD ($)contract | |
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 5 | 2 |
Pre-Restructuring Outstanding Recorded Investment | $ 20,459 | $ 1,536 |
Post-Restructuring Outstanding Recorded Investment | $ 14,992 | $ 1,521 |
Real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 1 | |
Pre-Restructuring Outstanding Recorded Investment | $ 95 | |
Post-Restructuring Outstanding Recorded Investment | $ 80 | |
Commercial | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 5 | 1 |
Pre-Restructuring Outstanding Recorded Investment | $ 20,459 | $ 1,441 |
Post-Restructuring Outstanding Recorded Investment | $ 14,992 | $ 1,441 |
Loans and Allowance for Credi62
Loans and Allowance for Credit Losses (Details 8) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Financing Receivable, Modifications [Line Items] | ||
Loans modified as restructured loans | $ 14,992 | $ 1,521 |
Extended maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified as restructured loans | 0 | 1,441 |
Combination of maturity extension and payment schedule adjustment | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified as restructured loans | $ 14,992 | $ 80 |
OREO and Valuation Allowance 63
OREO and Valuation Allowance for Losses on OREO (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Real Estate [Roll Forward] | |||
Beginning balance | $ 568 | $ 5,110 | $ 15,991 |
Additions | 1,267 | 851 | 1,331 |
Sales | (1,557) | (5,393) | (11,292) |
Valuation allowance for OREO | 0 | 0 | 958 |
Direct write-downs | 0 | 0 | (1,878) |
Ending balance | $ 278 | $ 568 | $ 5,110 |
Certain Transfers of Financia64
Certain Transfers of Financial Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Transfers and Servicing [Abstract] | ||
Loans Held-for-sale, Unpaid Principal Balance | $ 82,853 | |
Loans held for sale, at fair value | 86,075 | $ 0 |
Loans Held-for-sale, Fair Value Over/(Under) Unpaid Principal Balance | $ 3,222 |
Certain Transfers of Financia65
Certain Transfers of Financial Assets (Details 1) - Mortgage Servicing Rights $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |
Balance, beginning of year | $ 0 |
Capitalized servicing rights | 437 |
Amortization | (14) |
Balance, end of year | 423 |
Fair value | $ 423 |
Certain Transfers of Financia66
Certain Transfers of Financial Assets (Details 2) - Mortgage Servicing Rights | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items] | |
Average discount rates (percent) | 9.76% |
Expected prepayment speeds (percent) | 9.14% |
Weighted-average life, in years | 7 years 3 months 15 days |
Certain Transfers of Financia67
Certain Transfers of Financial Assets (Details 3) | 12 Months Ended |
Dec. 31, 2015USD ($)loan | |
Transfers and Servicing [Abstract] | |
Number of loans in servicing portfolio | loan | 168 |
Principal amount outstanding of loans in servicing portfolio | $ 39,000,000 |
Escrow deposits related to servicing portfolio | 240,000 |
Originated or purchased mortgage loans sold to GSEs | 39,100,000 |
Estimated exposure related to servicing assets | $ 20,000 |
Goodwill and Other Intangible68
Goodwill and Other Intangible Assets (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | May. 31, 2013 |
Goodwill | |||
Gross | $ 15,370,000 | $ 15,370,000 | |
Accumulated Amortization | (374,000) | (374,000) | |
Net | 14,996,000 | 14,996,000 | $ 954,000 |
Intangible assets—customer relationships and trademarks | |||
Gross | 9,104,000 | 9,104,000 | |
Accumulated Amortization | (4,140,000) | (3,512,000) | |
Net | 4,964,000 | 5,592,000 | |
Total goodwill and intangible assets | |||
Gross | 24,474,000 | 24,474,000 | |
Accumulated Amortization | (4,514,000) | (3,886,000) | |
Net | $ 19,960,000 | $ 20,588,000 | $ 2,100,000 |
Goodwill and Other Intangible69
Goodwill and Other Intangible Assets (Details 1) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2,016 | $ 471 | |
2,017 | 473 | |
2,018 | 473 | |
2,019 | 473 | |
2,020 | 435 | |
Thereafter | 2,639 | |
Net | $ 4,964 | $ 5,592 |
Goodwill and Other Intangible70
Goodwill and Other Intangible Assets (Details 2) - USD ($) | 1 Months Ended | 12 Months Ended | ||
May. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Total intangible assets | $ 2,100,000 | $ 19,960,000 | $ 20,588,000 | |
Amortization expense related to intangible assets | $ 628,000 | $ 699,000 | $ 660,000 | |
Customer relationships | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets acquired | $ 554,000 | |||
Useful life | 14 years | |||
Developed technology | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets acquired | $ 457,000 | |||
Useful life | 7 years | |||
Trade name | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets acquired | $ 98,000 |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Summary of premises and equipment | |||
Premises and equipment, gross | $ 47,205 | $ 46,757 | |
Accumulated depreciation | (23,644) | (23,622) | |
Total premises and equipment, net | 23,561 | 23,135 | |
Depreciation, Depletion and Amortization | |||
Depreciation expense | 4,600 | 4,100 | $ 4,000 |
Premises | |||
Summary of premises and equipment | |||
Premises and equipment, gross | 21,020 | 24,339 | |
Furniture and equipment | |||
Summary of premises and equipment | |||
Premises and equipment, gross | $ 26,185 | $ 22,418 |
Deposits (Details)
Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Non-interest bearing deposits | ||
Non-interest-bearing demand deposits | $ 6,386,911 | $ 5,011,619 |
Interest-bearing deposits | ||
Transaction | 2,006,591 | 1,292,388 |
Savings | 6,163,622 | 5,630,253 |
Time | 527,495 | 426,331 |
Deposits in foreign branches | 0 | 312,709 |
Total interest-bearing deposits | 8,697,708 | 7,661,681 |
Total deposits | $ 15,084,619 | $ 12,673,300 |
Deposits (Details 1)
Deposits (Details 1) $ in Thousands | Dec. 31, 2015USD ($) |
Scheduled maturities of interest bearing time deposits | |
2,015 | $ 502,113 |
2,016 | 18,138 |
2,017 | 1,646 |
2,018 | 4,001 |
2,019 | 1,597 |
2021 and after | 0 |
Interest bearing time deposits, total | $ 527,495 |
Deposits (Details 2)
Deposits (Details 2) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Deposits [Abstract] | ||
Deposits from related parties | $ 16.6 | $ 23.5 |
Interest-bearing time deposits of $250,000 or more | $ 274.4 | $ 527.6 |
Borrowing Arrangements (Details
Borrowing Arrangements (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Debt Instrument [Line Items] | |||
Borrowings | $ 2,042,457 | $ 1,592,087 | $ 1,250,036 |
Maximum outstanding at any month end | 2,042,457 | 1,592,087 | 1,859,036 |
Federal funds purchased | |||
Debt Instrument [Line Items] | |||
Federal funds purchased | $ 74,164 | $ 66,971 | $ 148,650 |
Interest rate | 0.55% | 0.30% | 0.22% |
Weighted-average interest rate | 0.29% | 0.27% | 0.27% |
Average balance for the year | $ 98,800 | $ 139,300 | $ 254,300 |
Customer repurchase agreements | |||
Debt Instrument [Line Items] | |||
Customer repurchase agreements | $ 68,887 | $ 25,705 | $ 21,954 |
Interest rate | 0.02% | 0.07% | 0.06% |
Customer repurchase agreements | Collaterized securities | |||
Debt Instrument [Line Items] | |||
Borrowings | $ 14,200 | $ 21,800 | $ 37,700 |
FHLB borrowings | |||
Debt Instrument [Line Items] | |||
Borrowings | $ 1,500,000 | $ 1,100,005 | $ 840,026 |
Interest rate | 0.31% | 0.13% | 0.12% |
Weighted-average interest rate | 0.18% | 0.15% | 0.14% |
Average balance for the year | $ 1,200,000 | $ 213,400 | $ 370,000 |
Line of credit | |||
Debt Instrument [Line Items] | |||
Borrowings | $ 0 | $ 0 | $ 15,000 |
Interest rate | 0.00% | 0.00% | 2.65% |
Subordinated notes | |||
Debt Instrument [Line Items] | |||
Borrowings | $ 286,000 | $ 286,000 | $ 111,000 |
Interest rate | 5.75% | 5.82% | 6.50% |
Trust preferred subordinated debentures | |||
Debt Instrument [Line Items] | |||
Borrowings | $ 113,406 | $ 113,406 | $ 113,406 |
Interest rate | 2.47% | 2.18% | 2.17% |
Borrowing Arrangements (Detai76
Borrowing Arrangements (Details 1) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Summary of other borrowing capacities | |||
Total FHLB borrowing capacity | $ 4,102,609 | $ 3,603,529 | $ 701,784 |
Unused Federal funds lines available from commercial banks | 1,231,000 | 1,186,000 | 890,000 |
Unused Federal Reserve Borrowings capacity | 2,966,702 | 2,643,000 | 2,284,000 |
FHLB borrowing capacity relating to loans | |||
Summary of other borrowing capacities | |||
Total FHLB borrowing capacity | 4,101,396 | 3,602,994 | 693,302 |
Unused Federal funds lines available from commercial banks | 130,000 | 100,000 | |
FHLB borrowing capacity relating to securities | |||
Summary of other borrowing capacities | |||
Total FHLB borrowing capacity | $ 1,213 | $ 535 | $ 8,482 |
Borrowing Arrangements (Detai77
Borrowing Arrangements (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | |||
Federal funds purchased and repurchase agreements | $ 143,051 | $ 92,676 | |
Within One Year | 843,051 | ||
After One But Within Three Years | 800,000 | ||
After Three But Within Five Years | 0 | ||
After Five Years | 399,406 | ||
Total | 2,042,457 | 1,592,087 | $ 1,250,036 |
FHLB borrowings | |||
Debt Instrument [Line Items] | |||
Within One Year | 700,000 | ||
After One But Within Three Years | 800,000 | ||
After Three But Within Five Years | 0 | ||
After Five Years | 0 | ||
Total | 1,500,000 | ||
Subordinated notes | |||
Debt Instrument [Line Items] | |||
Within One Year | 0 | ||
After One But Within Three Years | 0 | ||
After Three But Within Five Years | 0 | ||
After Five Years | 286,000 | ||
Total | 286,000 | 286,000 | 111,000 |
Trust preferred subordinated debentures | |||
Debt Instrument [Line Items] | |||
Within One Year | 0 | ||
After One But Within Three Years | 0 | ||
After Three But Within Five Years | 0 | ||
After Five Years | 113,406 | ||
Total | $ 113,406 | $ 113,406 | $ 113,406 |
Long-Term Debt (Details)
Long-Term Debt (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Jan. 31, 2014 | Sep. 21, 2012 | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |||||
Total borrowings | $ 2,042,457 | $ 1,592,087 | $ 1,250,036 | ||
Trust preferred securities issued | 113,406 | 113,406 | $ 175,000 | $ 111,000 | |
Issuance of subordinated notes | 0 | $ 172,375 | $ 0 | ||
Stated interest rate | 5.25% | 6.50% | |||
Trust preferred subordinated debentures | |||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |||||
Total borrowings | $ 113,400 |
Long-Term Debt (Details 1)
Long-Term Debt (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Jan. 31, 2014 | Sep. 21, 2012 | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Trust preferred securities issued | $ 113,406 | $ 113,406 | $ 175,000 | $ 111,000 |
Texas Capital Bancshares Statutory Trust I | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Date issued | Nov. 19, 2002 | |||
Trust preferred securities issued | $ 10,310 | |||
Floating or fixed rate securities | Floating | |||
Maturity date | Nov. 30, 2032 | |||
Texas Capital Bancshares Statutory Trust I | LIBOR | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Interest rate on subordinated debentures | 3 month LIBOR + 3.35% | |||
Interest rate on subordinated debentures, spread on variable rate | 3.35% | |||
Texas Capital Statutory Trust II | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Date issued | Apr. 10, 2003 | |||
Trust preferred securities issued | $ 10,310 | |||
Floating or fixed rate securities | Floating | |||
Maturity date | Apr. 30, 2033 | |||
Texas Capital Statutory Trust II | LIBOR | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Interest rate on subordinated debentures | 3 month LIBOR + 3.25% | |||
Interest rate on subordinated debentures, spread on variable rate | 3.25% | |||
Texas Capital Statutory Trust III | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Date issued | Oct. 6, 2005 | |||
Trust preferred securities issued | $ 25,774 | |||
Floating or fixed rate securities | Floating | |||
Maturity date | Dec. 31, 2035 | |||
Texas Capital Statutory Trust III | LIBOR | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Interest rate on subordinated debentures | 3 month LIBOR + 1.51% | |||
Interest rate on subordinated debentures, spread on variable rate | 1.51% | |||
Texas Capital Statutory Trust IV | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Date issued | Apr. 28, 2006 | |||
Trust preferred securities issued | $ 25,774 | |||
Floating or fixed rate securities | Floating | |||
Maturity date | Jun. 30, 2036 | |||
Texas Capital Statutory Trust IV | LIBOR | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Interest rate on subordinated debentures | 3 month LIBOR + 1.60% | |||
Interest rate on subordinated debentures, spread on variable rate | 1.60% | |||
Texas Capital Statutory Trust V | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Date issued | Sep. 29, 2006 | |||
Trust preferred securities issued | $ 41,238 | |||
Floating or fixed rate securities | Floating | |||
Maturity date | Dec. 31, 2036 | |||
Texas Capital Statutory Trust V | LIBOR | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ||||
Interest rate on subordinated debentures | 3 month LIBOR + 1.71% | |||
Interest rate on subordinated debentures, spread on variable rate | 1.71% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||||||||||
Gross deferred tax asset | $ 78,800 | $ 65,500 | $ 78,800 | $ 65,500 | |||||||
Current: | |||||||||||
Federal | 80,957 | 77,855 | $ 76,478 | ||||||||
State | 2,245 | 2,124 | 1,878 | ||||||||
Total | 83,202 | 79,979 | 78,356 | ||||||||
Deferred | |||||||||||
Federal | (3,561) | (3,969) | (11,599) | ||||||||
State | 0 | 0 | 0 | ||||||||
Total | (3,561) | (3,969) | (11,599) | ||||||||
Total expense | |||||||||||
Federal | 77,396 | 73,886 | 64,879 | ||||||||
State | 2,245 | 2,124 | 1,878 | ||||||||
Total | $ 17,713 | $ 20,876 | $ 21,343 | $ 19,709 | $ 20,357 | $ 20,810 | $ 18,754 | $ 16,089 | $ 79,641 | $ 76,010 | $ 66,757 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Deferred tax assets: | |||
Allowance for credit losses | $ 53,368 | $ 38,356 | |
Loan origination fees | 13,435 | 13,651 | |
Stock compensation | 5,509 | 8,263 | |
Mark to market on mortgage loans | 184 | 215 | |
Reserve for potential mortgage loan repurchases | 0 | 20 | |
Non-accrual interest | 1,198 | 1,272 | |
Deferred lease expense | 3,779 | 1,688 | |
Depreciation | 0 | 691 | |
OREO valuation allowance | 8 | 22 | |
Other | 1,299 | 1,298 | |
Total deferred tax assets | 78,780 | 65,476 | |
Deferred tax liabilities: | |||
Loan origination costs | (1,726) | (1,488) | |
Leases | (10,121) | (9,466) | |
Depreciation | (8,296) | 0 | |
Unrealized gain on securities | (387) | (694) | |
Other | (2,468) | (1,914) | |
Total deferred tax liabilities | (22,998) | (13,562) | |
Net deferred tax asset | $ 55,782 | $ 51,914 | |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | |||
Tax at U.S. statutory rate | 35.00% | 35.00% | 35.00% |
State taxes (percent) | 1.00% | 1.00% | 1.00% |
Non-deductible expenses (percent) | 1.00% | 1.00% | 1.00% |
Non-taxable income (percent) | (1.00%) | (1.00%) | (1.00%) |
Other (percent) | (1.00%) | (0.00%) | (0.00%) |
Total (percent) | 35.00% | 36.00% | 36.00% |
Employee Benefits (Details)
Employee Benefits (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employer contribution | $ 6,300,000 | $ 4,500,000 | $ 3,700,000 |
Eligible employee contribution, minimum (in percent) | 1.00% | ||
Eligible employee contribution, maximum (in percent) | 10.00% | ||
Number of shares authorized under the plan | 2,550,000 | ||
Number of shares available to be issued under the plan | 2,455,048 | ||
Compensation cost for all share-based arrangements, net of taxes | $ 3,000,000 | 3,000,000 | 2,700,000 |
Excess tax benefits from stock-based compensation arrangements | $ 1,499,000 | $ 2,929,000 | $ 1,200,000 |
2006 ESPP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized under the plan | 400,000 | ||
Number of shares purchased under the plan | 113,910 | 102,836 | 93,388 |
RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 4,200,000 | $ 4,100,000 | $ 3,600,000 |
Weighted average remaining contractual life of SARs currently outstanding (in years) | 8 years 3 months 13 days | ||
Weighted average period over which unrecognized expense expected to be recognized (in years) | 3 years 3 months | ||
Unrecognized stock-based compensation expense | $ 13,000,000 | ||
SARs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 367,000 | $ 530,000 | $ 564,000 |
Weighted average remaining contractual life of SARs currently outstanding (in years) | 3 years 28 days | 3 years 10 months 6 days | 4 years 8 months 5 days |
Weighted average period over which unrecognized expense expected to be recognized (in years) | 2 years 4 months 7 days | ||
Unrecognized stock-based compensation expense | $ 699,000 | ||
Cash based performance | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of cash-based performance units issued in period | 146,153 | 171,808 | 173,035 |
Number of cash-based performance units outstanding | 475,441 | ||
Cash-based compensation expense | $ 7,700,000 | $ 9,900,000 | $ 17,300,000 |
Cash-based compensation expense, net of taxes | $ 5,000,000 | $ 6,500,000 | $ 11,200,000 |
Service based | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of cash-based performance units outstanding | 385,172 | ||
Vesting period (in years) | 5 years | 5 years | 5 years |
Service and performance | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average remaining contractual life of SARs currently outstanding (in years) | 8 years 10 days | ||
Number of cash-based performance units outstanding | 90,269 | ||
Minimum | RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 4 years | 4 years | 4 years |
Minimum | Service and performance | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting percentage | 25.00% | ||
Maximum | RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 5 years | 5 years | 5 years |
Maximum | Service and performance | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting percentage | 50.00% |
Employee Benefits (Details 1)
Employee Benefits (Details 1) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Compensation Related Costs [Abstract] | ||
Risk-free rate | 1.46% | 1.17% |
Market price volatility factor | 40.20% | 40.90% |
Weighted-average expected life of options | 5 years | 5 years |
Employee Benefits (Details 2)
Employee Benefits (Details 2) - Stock Options - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Options | |||
Options outstanding at beginning of year | 25,000 | 54,900 | 174,062 |
Options exercised | (21,000) | (28,400) | (119,162) |
Options forfeited | (4,000) | (1,500) | 0 |
Options outstanding at year-end | 0 | 25,000 | 54,900 |
Weighted Average Exercise Price | |||
Options outstanding at beginning of year, weighted average exercise price | $ 20.60 | $ 18.65 | $ 13.51 |
Options exercised, weighted average exercise price | 20.05 | 17.34 | 11.14 |
Options forfeited, weighted average exercise price | 23.50 | 14.91 | 0 |
Options outstanding at year-end, weighted average exercise price | $ 0 | $ 20.60 | $ 18.65 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | |||
Options vested and exercisable at year-end | 0 | 25,000 | 54,900 |
Options vested and exercisable at year-end, weighted average exercise price | $ 0 | $ 20.60 | $ 18.65 |
Intrinsic value of options vested and exercisable | $ 0 | $ 843,190 | $ 2,391,014 |
Weighted average remaining contractual life of options vested and exercisable (in years) | 1 day | 3 months 18 days | 11 months 19 days |
Intrinsic value of options exercised | $ 565,000 | $ 1,193,070 | $ 4,176,787 |
Weighted average remaining contractual life of options currently outstanding (in years) | 1 day | 3 months 18 days | 11 months 19 days |
Employee Benefits (Details 3)
Employee Benefits (Details 3) - SARs - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
SARs | |||
SARs outstanding at beginning of year | 445,009 | 537,149 | 640,220 |
SARs granted | 0 | 8,000 | 53,500 |
SARs exercised | (84,465) | (92,640) | (134,271) |
SARs forfeited | 0 | (7,500) | (22,300) |
SARs outstanding at year-end | 360,544 | 445,009 | 537,149 |
Weighted Average Exercise Price | |||
SARs outstanding at beginning of year, weighted average exercise price | $ 24.83 | $ 23.68 | $ 20.90 |
SARs granted, weighted average exercise price | 0 | 62.02 | 43.73 |
SARs exercised, weighted average exercise price | 20.97 | 20.87 | 19.21 |
SARs forfeited, weighted average exercise price | 0 | 31.16 | 18.99 |
SARs outstanding at year end, weighted average exercise price | $ 25.73 | $ 24.83 | $ 23.68 |
Additional Information: | |||
SARs vested and exercisable at year-end | 307,144 | 355,509 | 384,974 |
SARs vested and exercisable at year end, weighted average exercise price | $ 22.49 | $ 21.16 | $ 20.64 |
Weighted average remaining contractual life of SARs vested | 2 years 4 months 8 days | 2 years 10 months 21 days | 3 years 5 months 16 days |
Compensation expense | $ 367,000 | $ 530,000 | $ 564,000 |
Weighted average fair value of SARs granted | $ 0 | $ 23.02 | $ 16.26 |
Fair value of shares vested during the year | $ 436,000 | $ 580,345 | $ 566,341 |
Weighted average remaining contractual life of SARs currently outstanding (in years) | 3 years 28 days | 3 years 10 months 6 days | 4 years 8 months 5 days |
Intrinsic value of SARs exercised | $ 8,291,000 | $ 11,794,000 | $ 16,000,000 |
Employee Benefits (Details 4)
Employee Benefits (Details 4) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Service based | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 5 years | 5 years | 5 years |
RSUs | |||
Number of Shares | |||
SARs outstanding at beginning of year | 289,165 | 403,739 | 411,919 |
SARs granted | 144,952 | 64,050 | 163,500 |
Vested and issued | (95,943) | (161,249) | (151,480) |
SARs forfeited | (12,200) | (17,375) | (20,200) |
SARs outstanding at year-end | 325,974 | 289,165 | 403,739 |
Weighted- Average Grant- Date Fair Value | |||
Balance at beginning of year, weighted average grant-date fair value | $ 42.93 | $ 33.72 | $ 23.80 |
Granted, weighted average grant-date fair value | 51.96 | 57.84 | 45.35 |
vested and issued, weighted average grant-date fair value | 38.05 | 26.40 | 20.47 |
Forfeited, weighted average grant-date fair value | 43.89 | 37.40 | 24.96 |
Balance at year end, weighted average grant-date fair value | $ 48.42 | $ 42.93 | $ 33.72 |
Minimum | RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 4 years | 4 years | 4 years |
Financial Instruments with Of87
Financial Instruments with Off-Balance Sheet Risk (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Allowance allocation for off-balance sheet commitments | $ 9,000 | $ 7,100 |
Commitments to extend credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Off-balance sheet liability | 5,542,363 | 5,324,460 |
Standby letters of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Off-balance sheet liability | $ 182,219 | $ 177,808 |
Regulatory Restrictions (Detail
Regulatory Restrictions (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Regulatory Capital Requirements [Abstract] | ||
Required reserve balance at the Federal Reserve | $ 150,642 | $ 88,155 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Mortgage finance | 4,966,276 | 4,102,125 |
Mortgage Finance, Average Balance | 4,000,000 | |
Common Equity Tier 1 [Abstract] | ||
CET1, actual amount | 1,455,662 | 1,312,225 |
CET1 for capital adequacy purposes, amount | 876,563 | 748,445 |
Total capital (to risk-weighted assets): | ||
Total capital (to risk weighted assets), actual amount | 2,152,292 | 1,967,021 |
Total capital (to risk weighted assets) for capital adequacy purposes, amount | 1,558,334 | 1,330,568 |
Tier 1 capital (to risk-weighted assets): | ||
Tier 1 capital (to risk-weighted assets), actual amount | 1,716,170 | 1,573,007 |
Tier 1 capital (to risk-weighted assets) for capital adequacy purposes, amount | 1,168,751 | 665,284 |
Tier 1 capital (to average assets): | ||
Tier 1 capital (to average assets), actual amount | 1,716,170 | 1,573,007 |
Tier 1 capital (to average assets) for capital adequacy purposes, amount | $ 769,258 | $ 584,765 |
Risk Based Ratios [Abstract] | ||
CET1, actual ratio | 7.47% | 7.89% |
CET1 for capital adequacy purposes, ratio | 4.50% | 4.50% |
Total capital (to risk weighted assets), actual ratio | 11.05% | 11.83% |
Total capital (to risk weighted assets) for capital adequacy purposes, ratio | 8.00% | 8.00% |
Tier 1 capital (to risk-weighted assets), actual ratio | 8.81% | 9.46% |
Tier 1 capital (to risk-weighted assets) for capital adequacy purposes, ratio | 6.00% | 4.00% |
Tier 1 capital (to average assets), actual ratio | 8.92% | 10.76% |
Tier 1 capital (to average assets) for capital adequacy purposes, ratio | 4.00% | 4.00% |
Bank | ||
Common Equity Tier 1 [Abstract] | ||
CET1, actual amount | $ 1,522,729 | $ 1,263,569 |
CET1 for capital adequacy purposes, amount | 876,336 | 748,252 |
CET! to be well capitalized under prompt corrective action provisions, amount | 1,265,819 | 1,080,809 |
Total capital (to risk-weighted assets): | ||
Total capital (to risk weighted assets), actual amount | 2,058,359 | 1,757,365 |
Total capital (to risk weighted assets) for capital adequacy purposes, amount | 1,557,931 | 1,330,226 |
Total capital (to risk weighted assets) to be well capitalized under prompt corrective action provisions, amount | 1,947,414 | 1,662,782 |
Tier 1 capital (to risk-weighted assets): | ||
Tier 1 capital (to risk-weighted assets), actual amount | 1,683,237 | 1,424,351 |
Tier 1 capital (to risk-weighted assets) for capital adequacy purposes, amount | 1,168,448 | 665,113 |
Tier 1 capital (to risk weighted assets) to be well capitalized under prompt corrective action provisions, amount | 1,557,931 | 997,669 |
Tier 1 capital (to average assets): | ||
Tier 1 capital (to average assets), actual amount | 1,683,237 | 1,424,351 |
Tier 1 capital (to average assets) for capital adequacy purposes, amount | 769,498 | 584,597 |
Tier 1 capital (to average assets) to be well capitalized under prompt corrective action provisions, amount | $ 961,873 | $ 730,746 |
Risk Based Ratios [Abstract] | ||
CET1, actual ratio | 7.82% | 7.60% |
CET1 for capital adequacy purposes, ratio | 4.50% | 4.50% |
CET1 to be well capitalized under prompt corrective action provisions, ratio | 6.50% | 6.50% |
Total capital (to risk weighted assets), actual ratio | 10.57% | 10.57% |
Total capital (to risk weighted assets) for capital adequacy purposes, ratio | 8.00% | 8.00% |
Total capital (to risk weighted assets) to be well capitalized under prompt corrective action provisions, ratio | 10.00% | 10.00% |
Tier 1 capital (to risk-weighted assets), actual ratio | 8.64% | 8.57% |
Tier 1 capital (to risk-weighted assets) for capital adequacy purposes, ratio | 6.00% | 4.00% |
Tier 1 capital (to risk weighted assets) to be well capitalized under prompt corrective action provisions, ratio | 8.00% | 6.00% |
Tier 1 capital (to average assets), actual ratio | 8.75% | 9.75% |
Tier 1 capital (to average assets) for capital adequacy purposes, ratio | 4.00% | 4.00% |
Tier 1 capital (to average assets) to be well capitalized under prompt corrective action provisions, ratio | 5.00% | 5.00% |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Numerator: | |||||||||||
Net income | $ 34,753 | $ 37,114 | $ 37,937 | $ 35,050 | $ 37,834 | $ 36,832 | $ 33,421 | $ 28,265 | $ 144,854 | $ 136,352 | $ 121,051 |
Preferred stock dividends | 2,437 | 2,438 | 2,437 | 2,438 | 2,437 | 2,438 | 2,437 | 2,438 | 9,750 | 9,750 | 7,394 |
Net income available to common stockholders | $ 32,316 | $ 34,676 | $ 35,500 | $ 32,612 | $ 35,397 | $ 34,394 | $ 30,984 | $ 25,827 | $ 135,104 | $ 126,602 | $ 113,657 |
Denominator: | |||||||||||
Denominator for basic earnings per share—weighted average shares | 45,856,000 | 45,828,000 | 45,790,000 | 45,759,000 | 44,406,000 | 43,144,000 | 43,075,000 | 42,298,000 | 45,808,440 | 43,236,344 | 40,864,225 |
Effect of employee stock-based awards | 211,168 | 311,423 | 402,593 | ||||||||
Effect of warrants to purchase common stock | 418,264 | 455,489 | 513,063 | ||||||||
Denominator for dilutive earnings per share—adjusted weighted average shares and assumed conversions | 46,480,000 | 46,471,000 | 46,443,000 | 46,368,000 | 45,093,000 | 43,850,000 | 43,845,000 | 43,220,000 | 46,437,872 | 44,003,256 | 41,779,881 |
Basic earnings per common share | $ 0.70 | $ 0.76 | $ 0.78 | $ 0.71 | $ 0.80 | $ 0.80 | $ 0.72 | $ 0.61 | $ 2.95 | $ 2.93 | $ 2.78 |
Diluted earnings per common share | $ 0.70 | $ 0.75 | $ 0.76 | $ 0.70 | $ 0.78 | $ 0.78 | $ 0.71 | $ 0.60 | $ 2.91 | $ 2.88 | $ 2.72 |
Stock options excluded from computation of EPS | 64,700 | 51,300 | 118,500 |
Fair Value Disclosures (Details
Fair Value Disclosures (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | $ 29,992 | $ 41,719 | ||
Loans held for sale | 86,075 | 0 | ||
OREO | 278 | 568 | $ 5,110 | $ 15,991 |
Mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 21,901 | 31,065 | ||
Municipals | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 831 | 3,267 | ||
Equity securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 7,260 | 7,387 | ||
Fair value measurements, recurring basis | Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for sale | 0 | 0 | ||
Derivative assets | 0 | 0 | ||
Derivative liabilities | 0 | 0 | ||
Fair value measurements, recurring basis | Level 1 | Mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 0 | 0 | ||
Fair value measurements, recurring basis | Level 1 | Municipals | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 0 | 0 | ||
Fair value measurements, recurring basis | Level 1 | Equity securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 0 | 0 | ||
Fair value measurements, recurring basis | Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for sale | 86,075 | 0 | ||
Derivative assets | 35,292 | 31,176 | ||
Derivative liabilities | 35,420 | 31,176 | ||
Fair value measurements, recurring basis | Level 2 | Mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 21,901 | 31,065 | ||
Fair value measurements, recurring basis | Level 2 | Municipals | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 831 | 3,267 | ||
Fair value measurements, recurring basis | Level 2 | Equity securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 7,260 | 7,387 | ||
Fair value measurements, recurring basis | Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for sale | 0 | 0 | ||
Derivative assets | 0 | 0 | ||
Derivative liabilities | 0 | 0 | ||
Fair value measurements, recurring basis | Level 3 | Mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 0 | 0 | ||
Fair value measurements, recurring basis | Level 3 | Municipals | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 0 | 0 | ||
Fair value measurements, recurring basis | Level 3 | Equity securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities, available-for-sale | 0 | 0 | ||
Fair value measurements, nonrecurring basis | Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans | 0 | 0 | ||
OREO | 0 | 0 | ||
Fair value measurements, nonrecurring basis | Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans | 0 | 0 | ||
OREO | 0 | 0 | ||
Fair value measurements, nonrecurring basis | Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans | 41,420 | 23,536 | ||
OREO | $ 278 | $ 568 |
Fair Value Disclosures (Detai91
Fair Value Disclosures (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Impaired loans | ||
Fair Value Assets Measured On Non Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Asset measured on nonrecurring basis, carrying value | $ 49,700 | $ 29,200 |
Asset measured on nonrecurring basis, specific valuation allowance | 8,300 | 5,700 |
Asset measured on nonrecurring basis, reported fair value | 41,400 | 23,500 |
OREO | ||
Fair Value Assets Measured On Non Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Asset measured on nonrecurring basis, carrying value | $ 278 | $ 568 |
Fair Value Disclosures (Detai92
Fair Value Disclosures (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities, available-for-sale | $ 29,992 | $ 41,719 |
Loans held for sale | 86,075 | 0 |
Subordinated notes | 286,000 | 286,000 |
Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 1,790,870 | 1,330,514 |
Securities, available-for-sale | 29,992 | 41,719 |
Loans held for sale | 86,075 | 0 |
Loans held for investment, net | 16,570,839 | 14,156,058 |
Derivative assets | 35,292 | 31,176 |
Deposits | 15,084,619 | 12,673,300 |
Federal funds purchased | 74,164 | 66,971 |
Customer repurchase agreements | 68,887 | 25,705 |
Other borrowings | 1,500,000 | 1,100,005 |
Subordinated notes | 286,000 | 286,000 |
Trust preferred subordinated debentures | 113,406 | 113,406 |
Derivative liabilities | 35,420 | 31,176 |
Estimated Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 1,790,870 | 1,330,514 |
Securities, available-for-sale | 29,992 | 41,719 |
Loans held for sale | 86,075 | 0 |
Loans held for investment, net | 16,576,297 | 14,161,484 |
Derivative assets | 35,292 | 31,176 |
Deposits | 15,085,080 | 12,673,607 |
Federal funds purchased | 74,164 | 66,971 |
Customer repurchase agreements | 68,887 | 25,705 |
Other borrowings | 1,500,000 | 1,100,005 |
Subordinated notes | 291,091 | 289,947 |
Trust preferred subordinated debentures | 113,406 | 113,406 |
Derivative liabilities | $ 35,420 | $ 31,176 |
Commitments and Contingencies93
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Rent expense | $ 15,300 | $ 13,600 | $ 10,200 |
Minimum future lease payments under operating leases | |||
2,015 | 15,572 | ||
2,016 | 15,667 | ||
2,017 | 15,633 | ||
2,018 | 15,345 | ||
2,019 | 14,501 | ||
2021 and thereafter | 39,059 | ||
Total | $ 115,777 |
Parent Company Only (Details)
Parent Company Only (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Jan. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 21, 2012 |
Assets | ||||||
Cash and cash equivalents | $ 1,790,870 | $ 1,330,514 | $ 153,911 | $ 206,348 | ||
Other assets | 387,419 | 333,699 | ||||
Total assets | 18,909,139 | 15,905,713 | ||||
Liabilities and Stockholders’ Equity | ||||||
Subordinated notes | 286,000 | 286,000 | ||||
Trust preferred subordinated debentures | 113,406 | 113,406 | $ 175,000 | $ 111,000 | ||
Total liabilities | 17,285,606 | 14,421,523 | ||||
Preferred stock | 150,000 | 150,000 | ||||
Common stock | 459 | 457 | ||||
Additional paid-in capital | 714,546 | 709,738 | ||||
Retained earnings | 757,818 | 622,714 | ||||
Treasury stock | (8) | (8) | ||||
Accumulated other comprehensive income | 718 | 1,289 | ||||
Total stockholders’ equity | 1,623,533 | 1,484,190 | 1,096,350 | 836,242 | ||
Total liabilities and stockholders’ equity | 18,909,139 | 15,905,713 | ||||
Texas Capital Bancshares, Inc. | ||||||
Assets | ||||||
Cash and cash equivalents | 53,061 | 176,324 | $ 47,605 | $ 141,257 | ||
Investment in subsidiaries | 1,714,158 | 1,459,092 | ||||
Other assets | 86,359 | 82,783 | ||||
Total assets | 1,853,578 | 1,718,199 | ||||
Liabilities and Stockholders’ Equity | ||||||
Other liabilities | 1,119 | 1,328 | ||||
Subordinated notes | 111,000 | 111,000 | ||||
Trust preferred subordinated debentures | 113,406 | 113,406 | ||||
Total liabilities | 225,525 | 225,734 | ||||
Preferred stock | 150,000 | 150,000 | ||||
Common stock | 459 | 457 | ||||
Additional paid-in capital | 724,698 | 719,890 | ||||
Retained earnings | 752,186 | 620,837 | ||||
Treasury stock | (8) | (8) | ||||
Accumulated other comprehensive income | 718 | 1,289 | ||||
Total stockholders’ equity | 1,628,053 | 1,492,465 | ||||
Total liabilities and stockholders’ equity | $ 1,853,578 | $ 1,718,199 |
Parent Company Only (Details 1)
Parent Company Only (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Earnings | |||||||||||
Loan income | $ 594,729 | $ 511,606 | $ 441,314 | ||||||||
Other non-interest income | 9,446 | 11,281 | 7,801 | ||||||||
Interest expense | $ 12,632 | $ 11,808 | $ 11,089 | $ 10,899 | $ 10,251 | $ 9,629 | $ 9,406 | $ 8,296 | 46,428 | 37,582 | 25,112 |
Salaries and employee benefits | 192,610 | 169,051 | 157,752 | ||||||||
Legal and professional | 22,150 | 21,182 | 18,104 | ||||||||
Other non-interest expense | 33,434 | 28,440 | 26,030 | ||||||||
Income tax expense | 17,713 | 20,876 | 21,343 | 19,709 | 20,357 | 20,810 | 18,754 | 16,089 | 79,641 | 76,010 | 66,757 |
Net income | 34,753 | 37,114 | 37,937 | 35,050 | 37,834 | 36,832 | 33,421 | 28,265 | 144,854 | 136,352 | 121,051 |
Preferred stock dividends | 2,437 | 2,438 | 2,437 | 2,438 | 2,437 | 2,438 | 2,437 | 2,438 | 9,750 | 9,750 | 7,394 |
Net income available to common stockholders | $ 32,316 | $ 34,676 | $ 35,500 | $ 32,612 | $ 35,397 | $ 34,394 | $ 30,984 | $ 25,827 | 135,104 | 126,602 | 113,657 |
Texas Capital Bancshares, Inc. | |||||||||||
Statement of Earnings | |||||||||||
Loan income | 3,250 | 10,850 | 10,382 | ||||||||
Dividend income | 10,400 | 5,275 | 76 | ||||||||
Other income | 76 | 28 | 72 | ||||||||
Total income | 13,726 | 16,153 | 10,530 | ||||||||
Other non-interest income | 8 | 0 | 0 | ||||||||
Interest expense | 9,867 | 10,038 | 9,863 | ||||||||
Salaries and employee benefits | 499 | 617 | 669 | ||||||||
Legal and professional | 1,640 | 2,237 | 2,605 | ||||||||
Other non-interest expense | 1,637 | 933 | 651 | ||||||||
Total expense | 13,643 | 13,825 | 13,788 | ||||||||
Income (loss) before income taxes and equity in undistributed income of subsidiary | 91 | 2,328 | (3,258) | ||||||||
Income tax expense | 33 | 833 | (1,165) | ||||||||
Income before income taxes | 58 | 1,495 | (2,093) | ||||||||
Equity in undistributed income of subsidiary | 141,041 | 132,980 | 123,144 | ||||||||
Net income | 141,099 | 134,475 | 121,051 | ||||||||
Preferred stock dividends | 9,750 | 9,750 | 7,394 | ||||||||
Net income available to common stockholders | $ 131,349 | $ 124,725 | $ 113,657 |
Parent Company Only (Details 2)
Parent Company Only (Details 2) - USD ($) $ in Thousands | Mar. 28, 2013 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Operating activities | ||||||||||||
Net income | $ 34,753 | $ 37,114 | $ 37,937 | $ 35,050 | $ 37,834 | $ 36,832 | $ 33,421 | $ 28,265 | $ 144,854 | $ 136,352 | $ 121,051 | |
Adjustments to reconcile net income to net cash used in operating activities: | ||||||||||||
Increase in other assets | (61,002) | (58,579) | 31,010 | |||||||||
Excess tax benefits from stock-based compensation arrangements | (1,499) | (2,929) | (1,200) | |||||||||
Increase in other liabilities | (3,554) | 38,366 | 3,508 | |||||||||
Net cash provided by operating activities | 68,943 | 157,727 | 191,377 | |||||||||
Investing Activity | ||||||||||||
Net cash used in investing activities | (2,460,786) | (2,983,670) | (1,275,875) | |||||||||
Financing Activities | ||||||||||||
Proceeds from sale of common stock | 0 | 256,223 | 0 | |||||||||
Proceeds from issuance of preferred stock | $ 145,000 | 0 | 0 | 144,987 | ||||||||
Preferred dividends paid | (9,750) | (9,750) | (6,960) | |||||||||
Issuance of subordinated notes | 0 | 172,375 | 0 | |||||||||
Net other borrowings | 399,995 | 244,979 | (797,002) | |||||||||
Excess tax benefits from stock-based compensation arrangements | 1,499 | 2,929 | 1,200 | |||||||||
Net cash provided by financing activities | 2,852,199 | 4,002,546 | 1,032,061 | |||||||||
Net increase (decrease) in cash and cash equivalents | 460,356 | 1,176,603 | (52,437) | |||||||||
Cash and cash equivalents at beginning of period | 1,330,514 | 153,911 | 1,330,514 | 153,911 | 206,348 | |||||||
Cash and cash equivalents at end of period | 1,790,870 | 1,330,514 | 1,790,870 | 1,330,514 | 153,911 | |||||||
Texas Capital Bancshares, Inc. | ||||||||||||
Operating activities | ||||||||||||
Net income | 141,099 | 134,475 | 121,051 | |||||||||
Adjustments to reconcile net income to net cash used in operating activities: | ||||||||||||
Equity in undistributed income of subsidiary | (141,041) | (132,980) | (123,144) | |||||||||
Increase in other assets | (2,123) | (2,120) | (2,413) | |||||||||
Excess tax benefits from stock-based compensation arrangements | (1,499) | (2,929) | (1,200) | |||||||||
Increase in other liabilities | (209) | 74 | 37 | |||||||||
Net cash provided by operating activities | (3,773) | (3,480) | (5,669) | |||||||||
Investing Activity | ||||||||||||
Investments in and advances to subsidiaries | (110,000) | (100,000) | (240,000) | |||||||||
Net cash used in investing activities | (110,000) | (100,000) | (240,000) | |||||||||
Financing Activities | ||||||||||||
Costs from issuance of stock related to stock-based awards and warrants | (1,239) | (2,203) | (2,210) | |||||||||
Proceeds from sale of common stock | 0 | 256,223 | 0 | |||||||||
Proceeds from issuance of preferred stock | 0 | 0 | 144,987 | |||||||||
Preferred dividends paid | (9,750) | (9,750) | (6,960) | |||||||||
Issuance of subordinated notes | 0 | 0 | 0 | |||||||||
Net other borrowings | 0 | (15,000) | 15,000 | |||||||||
Excess tax benefits from stock-based compensation arrangements | 1,499 | 2,929 | 1,200 | |||||||||
Net cash provided by financing activities | (9,490) | 232,199 | 152,017 | |||||||||
Net increase (decrease) in cash and cash equivalents | (123,263) | 128,719 | (93,652) | |||||||||
Cash and cash equivalents at beginning of period | $ 176,324 | $ 47,605 | 176,324 | 47,605 | 141,257 | |||||||
Cash and cash equivalents at end of period | $ 53,061 | $ 176,324 | $ 53,061 | $ 176,324 | $ 47,605 |
Derivative Financial Instrume97
Derivative Financial Instruments (Details 1) - Non-hedging - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Derivative [Line Items] | ||
Estimated fair value, asset derivative | $ 35,292 | $ 31,537 |
Estimated fair value, liability derivative | 35,420 | 31,537 |
Offsetting derivative liabilities | 0 | (361) |
Offsetting derivative assets | 0 | (361) |
Net asset derivatives included in the consolidated balance sheets | 35,292 | 31,176 |
Net liability derivatives included in the consolidated balance sheets | 35,420 | 31,176 |
Interest rate contract | Loan purchase commitments | ||
Derivative [Line Items] | ||
Notional amount | 62,835 | 0 |
Estimated fair value, asset derivative | 0 | 0 |
Estimated fair value, liability derivative | 109 | 0 |
Interest rate contract | Loan purchase commitments | ||
Derivative [Line Items] | ||
Notional amount | 143,200 | 0 |
Estimated fair value, asset derivative | 0 | 0 |
Estimated fair value, liability derivative | 19 | 0 |
Financial institution counterparties | Commercial loan/lease | Interest rate swap | ||
Derivative [Line Items] | ||
Notional amount | 976,389 | 866,432 |
Estimated fair value, asset derivative | 0 | 361 |
Estimated fair value, liability derivative | 33,851 | 30,162 |
Financial institution counterparties | Commercial loan/lease | Interest rate cap | ||
Derivative [Line Items] | ||
Notional amount | 194,304 | 63,414 |
Estimated fair value, asset derivative | 1,441 | 1,014 |
Estimated fair value, liability derivative | 0 | 0 |
Customer counterparties | Commercial loan/lease | Interest rate swap | ||
Derivative [Line Items] | ||
Notional amount | 976,389 | 866,432 |
Estimated fair value, asset derivative | 33,851 | 30,162 |
Estimated fair value, liability derivative | 0 | 361 |
Customer counterparties | Commercial loan/lease | Interest rate cap | ||
Derivative [Line Items] | ||
Notional amount | 194,304 | 63,414 |
Estimated fair value, asset derivative | 0 | 0 |
Estimated fair value, liability derivative | $ 1,441 | $ 1,014 |
Derivative Financial Instrume98
Derivative Financial Instruments Derivative Financial Instruments (Details 2) - Non-hedging - Commercial loan/lease - Interest rate swap | Dec. 31, 2015 | Dec. 31, 2014 |
Interest rate received | ||
Derivative [Line Items] | ||
Weighted average fixed interest rate | 2.96% | 2.79% |
Interest rate paid | ||
Derivative [Line Items] | ||
Weighted average fixed interest rate | 4.72% | 4.82% |
Derivative Financial Instrume99
Derivative Financial Instruments Derivative Financial Instruments (Details 3) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Derivative [Line Items] | ||
Cash collateral pledged for derivatives | $ 37.1 | $ 30.2 |
Non-hedging | Commercial loan/lease | ||
Derivative [Line Items] | ||
Credit risk exposure, net of collateral pledged, relating to derivatives | $ 35.3 | $ 31.2 |
Non-hedging | Interest rate cap | Commercial loan/lease | ||
Derivative [Line Items] | ||
Weighted average fixed interest rate | 2.34% | 1.44% |
Stockholder's Equity (Details)
Stockholder's Equity (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 12, 2014 | Mar. 28, 2013 | Jan. 31, 2014 | Mar. 28, 2013 | Jan. 31, 2009 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Equity Distribution Agreement [Line Items] | ||||||||
Net proceeds from issuance of stock | $ 256,223 | $ 40 | ||||||
Number of warrants outstanding | 581,500 | |||||||
Warrants, price per share | $ 14.84 | |||||||
Dividend rate percentage of preferred stock | 6.50% | |||||||
Par value of preferred stock | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Liquidation preference per share | $ 25 | $ 25 | ||||||
Payments of dividends on preferred stock | $ 9,750 | $ 9,750 | 6,960 | |||||
Net proceeds from issuance of preferred stock | $ 145,000 | $ 0 | 0 | 144,987 | ||||
Repayments of short-term debt | $ 15,000 | |||||||
Preferred Stock | ||||||||
Equity Distribution Agreement [Line Items] | ||||||||
Net proceeds from issuance of stock | $ 75,000 | |||||||
Net proceeds from issuance of preferred stock | 150,000 | |||||||
Issuance of stock - shares | 6,000,000 | |||||||
Common Stock | ||||||||
Equity Distribution Agreement [Line Items] | ||||||||
Net proceeds from issuance of stock | $ 149,600 | $ 106,500 | $ 44 | $ 0 | ||||
Issuance of stock - shares | 2,500,000 | 1,900,000 | 4,398,128 | 36,339 |
Quarterly Financial Data (Detai
Quarterly Financial Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Selected Quarterly Financial Information [Abstract] | |||||||||||
Interest income | $ 154,820 | $ 153,856 | $ 153,374 | $ 140,908 | $ 137,833 | $ 135,290 | $ 124,813 | $ 116,611 | $ 602,958 | $ 514,547 | $ 444,625 |
Interest expense | 12,632 | 11,808 | 11,089 | 10,899 | 10,251 | 9,629 | 9,406 | 8,296 | 46,428 | 37,582 | 25,112 |
Net interest income | 142,188 | 142,048 | 142,285 | 130,009 | 127,582 | 125,661 | 115,407 | 108,315 | 556,530 | 476,965 | 419,513 |
Provision for credit losses | 14,000 | 13,750 | 14,500 | 11,000 | 6,500 | 6,500 | 4,000 | 5,000 | 53,250 | 22,000 | 19,000 |
Net interest income after provision for credit losses | 128,188 | 128,298 | 127,785 | 119,009 | 121,082 | 119,161 | 111,407 | 103,315 | 503,280 | 454,965 | 400,513 |
Non-interest income | 11,320 | 11,380 | 12,771 | 12,267 | 11,226 | 10,396 | 10,533 | 10,356 | 47,738 | 42,511 | 44,024 |
Non-interest expense | 87,042 | 81,688 | 81,276 | 76,517 | 74,117 | 71,915 | 69,765 | 69,317 | 326,523 | 285,114 | 256,729 |
Income before income taxes | 52,466 | 57,990 | 59,280 | 54,759 | 58,191 | 57,642 | 52,175 | 44,354 | 224,495 | 212,362 | 187,808 |
Income tax expense | 17,713 | 20,876 | 21,343 | 19,709 | 20,357 | 20,810 | 18,754 | 16,089 | 79,641 | 76,010 | 66,757 |
Net income | 34,753 | 37,114 | 37,937 | 35,050 | 37,834 | 36,832 | 33,421 | 28,265 | 144,854 | 136,352 | 121,051 |
Preferred stock dividends | 2,437 | 2,438 | 2,437 | 2,438 | 2,437 | 2,438 | 2,437 | 2,438 | 9,750 | 9,750 | 7,394 |
Net income available to common stockholders | $ 32,316 | $ 34,676 | $ 35,500 | $ 32,612 | $ 35,397 | $ 34,394 | $ 30,984 | $ 25,827 | $ 135,104 | $ 126,602 | $ 113,657 |
Basic earnings per share: | |||||||||||
Basic earnings per common share | $ 0.70 | $ 0.76 | $ 0.78 | $ 0.71 | $ 0.80 | $ 0.80 | $ 0.72 | $ 0.61 | $ 2.95 | $ 2.93 | $ 2.78 |
Diluted earnings per share: | |||||||||||
Diluted earnings per common share | $ 0.70 | $ 0.75 | $ 0.76 | $ 0.70 | $ 0.78 | $ 0.78 | $ 0.71 | $ 0.60 | $ 2.91 | $ 2.88 | $ 2.72 |
Average shares | |||||||||||
Basic | 45,856,000 | 45,828,000 | 45,790,000 | 45,759,000 | 44,406,000 | 43,144,000 | 43,075,000 | 42,298,000 | 45,808,440 | 43,236,344 | 40,864,225 |
Diluted | 46,480,000 | 46,471,000 | 46,443,000 | 46,368,000 | 45,093,000 | 43,850,000 | 43,845,000 | 43,220,000 | 46,437,872 | 44,003,256 | 41,779,881 |