Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 21, 2018 | Jun. 30, 2017 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | BANC | ||
Entity Registrant Name | BANC OF CALIFORNIA, INC. | ||
Entity Central Index Key | 1,169,770 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 932.3 | ||
Common Stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 50,083,262 | ||
Class B Common Stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 508,107 |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and due from banks | $ 20,117 | $ 16,769 |
Interest-earning deposits in financial institutions | 367,582 | 422,741 |
Total cash and cash equivalents | 387,699 | 439,510 |
Time deposits in financial institutions | 0 | 1,000 |
Securities available-for-sale, carried at fair value | 2,575,469 | 2,381,488 |
Securities held to maturity, at amortized cost (fair value of $899,743 at December 31, 2016) | 0 | 884,234 |
Loans held-for-sale, carried at fair value | 66,603 | 10,636 |
Loans held-for-sale, carried at lower of cost or fair value | 466 | 287,382 |
Loans and leases receivable, net of allowance for loan and lease losses of $49,333 and $40,444 at December 31, 2017 and 2016, respectively | 6,610,074 | 5,994,308 |
Federal Home Loan Bank and other bank stock, at cost | 75,654 | 67,842 |
Servicing rights, net ($31,852 and $38,440 measured at fair value at December 31, 2017 and 2016, respectively, and $29,793 measured at fair value were held-for-sale at December 31, 2017) | 33,708 | 39,936 |
Other real estate owned, net | 1,796 | 2,502 |
Premises, equipment, and capital leases, net | 135,699 | 140,917 |
Bank owned life insurance | 104,851 | 102,512 |
Goodwill | 37,144 | 37,144 |
Investments in alternative energy partnerships, net | 48,826 | 25,639 |
Deferred income tax | 31,074 | 9,989 |
Income tax receivable | 8,739 | 16,009 |
Other intangible assets, net | 9,353 | 13,617 |
Other assets | 161,797 | 92,694 |
Assets of discontinued operations | 38,900 | 482,494 |
Total Assets | 10,327,852 | 11,029,853 |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Noninterest-bearing deposits | 1,071,608 | 1,282,629 |
Interest-bearing deposits | 6,221,295 | 7,859,521 |
Total deposits | 7,292,903 | 9,142,150 |
Advances from Federal Home Loan Bank | 1,695,000 | 490,000 |
Other borrowings, net | 0 | 67,922 |
Long-term debt, net | 172,941 | 175,378 |
Reserve for loss on repurchased loans | 6,306 | 7,974 |
Income taxes payable | 0 | 92 |
Due on unsettled securities purchases | 0 | 50,149 |
Accrued expenses and other liabilities | 140,575 | 81,469 |
Liabilities of discontinued operations | 7,819 | 34,480 |
Total liabilities | 9,315,544 | 10,049,614 |
Commitments and contingent liabilities | ||
Preferred stock | 269,071 | 269,071 |
Additional paid-in capital | 621,435 | 614,226 |
Retained earnings | 144,839 | 134,515 |
Treasury stock, at cost (1,583,380 shares at December 31, 2017 and 4,099,023 shares at December 31, 2016) | (28,786) | (29,070) |
Accumulated other comprehensive loss, net | 5,227 | (9,042) |
Total stockholders’ equity | 1,012,308 | 980,239 |
Total liabilities and stockholders’ equity | 10,327,852 | 11,029,853 |
Class A Common Stock | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Common stock | 517 | 537 |
Class B Common Stock | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Common stock | $ 5 | $ 2 |
Consolidated Statements of Fin3
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair value of held to maturity securities (in dollars) | $ 0 | $ 899,743 |
Mortgage servicing rights, at fair value (in dollars) | 31,852 | 38,440 |
Servicing rights, held-for-sale, fair value (in dollars) | 29,793 | |
Acquired with deteriorated credit quality (in dollars) | $ 49,333 | $ 40,444 |
Common Stock: | ||
Treasury stock, shares | 1,583,380 | 4,099,023 |
Class A Common Stock | ||
Common Stock: | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in dollars per share) | 446,863,844 | 446,863,844 |
Common stock, shares issued | 51,666,725 | 53,794,322 |
Common stock, shares outstanding (in shares) | 50,083,345 | 49,695,299 |
Class B Common Stock | ||
Common Stock: | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in dollars per share) | 3,136,156 | 3,136,156 |
Common stock, shares issued | 508,107 | 201,922 |
Common stock, shares outstanding (in shares) | 508,107 | 201,922 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Interest and dividend income | |||
Loans and leases, including fees | $ 281,071 | $ 281,868 | $ 229,025 |
Securities | 99,742 | 79,527 | 20,263 |
Other interest-earning assets | 8,377 | 8,449 | 4,519 |
Total interest and dividend income | 389,190 | 369,844 | 253,807 |
Interest expense | |||
Deposits | 60,414 | 40,220 | 25,783 |
Federal Home Loan Bank advances | 12,951 | 5,717 | 2,120 |
Securities sold under repurchase agreements | 880 | 818 | 18 |
Long-term debt and other interest-bearing liabilities | 10,755 | 12,744 | 14,700 |
Total interest expense | 85,000 | 59,499 | 42,621 |
Net interest income | 304,190 | 310,345 | 211,186 |
Provision for loan and lease losses | 13,699 | 5,271 | 7,469 |
Net interest income after provision for loan and lease losses | 290,491 | 305,074 | 203,717 |
Noninterest income | |||
Customer service fees | 6,492 | 5,147 | 4,057 |
Loan servicing income | 1,025 | 633 | 1,406 |
Income from bank owned life insurance | 2,339 | 2,341 | 1,076 |
Net gain on sale of securities available-for-sale | 14,768 | 29,405 | 3,258 |
Net gain on sale of loans | 11,942 | 35,895 | 37,211 |
Advisory service fees | 0 | 1,507 | 9,868 |
Loan brokerage income | 1,061 | 4,251 | 2,825 |
Gain on sale of building | 0 | 0 | 9,919 |
Gain on sale of subsidiary | 0 | 3,694 | 0 |
Gain on sale of business unit | 0 | 2,629 | 0 |
Other income | 7,043 | 13,128 | 6,128 |
Total noninterest income | 44,670 | 98,630 | 75,748 |
Noninterest expense | |||
Salaries and employee benefits | 129,153 | 146,147 | 114,845 |
Occupancy and equipment | 40,094 | 38,046 | 30,365 |
Professional fees | 42,417 | 30,373 | 19,500 |
Outside service fees | 5,840 | 6,989 | 4,448 |
Data processing | 7,888 | 8,311 | 6,011 |
Advertising | 5,313 | 6,894 | 3,467 |
Regulatory assessments | 8,105 | 8,186 | 5,644 |
Loss on investments in alternative energy partnerships, net | 30,786 | 31,510 | 0 |
Provision (reversal) for loan repurchases | (1,812) | (3,352) | 2,326 |
Amortization of intangible assets | 3,928 | 4,851 | 5,836 |
Impairment on intangible assets | 336 | 690 | 258 |
Restructuring expense | 5,326 | 0 | 0 |
All other expense | 30,894 | 24,570 | 17,599 |
Total noninterest expense | 308,268 | 303,215 | 210,299 |
Income from continuing operations before income taxes | 26,893 | 100,489 | 69,166 |
Income tax (benefit) expense | (26,581) | 13,749 | 28,048 |
Income from continuing operations | 53,474 | 86,740 | 41,118 |
Income from discontinued operations before income taxes (including net gain on disposal of $13,796 for the year ended December 31, 2017) | 7,164 | 48,917 | 35,100 |
Income tax expense | 2,929 | 20,241 | 14,146 |
Income (loss) from discontinued operations | 4,235 | 28,676 | 20,954 |
Net income | 57,709 | 115,416 | 62,072 |
Preferred stock dividends | 20,451 | 19,914 | 9,823 |
Net income allocated to common stockholders | $ 37,258 | $ 95,502 | $ 52,249 |
Basic earnings per common share | |||
Income from continuing operations (in dollars per share) | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||
Income from continuing operations (in dollars per share) | 0.63 | 1.34 | 0.78 |
Income from discontinued operations (in dollars per share) | 0.08 | 0.60 | 0.56 |
Net income (in dollars per share) | $ 0.71 | $ 1.94 | $ 1.34 |
Class A Common Stock | |||
Noninterest expense | |||
Income from continuing operations | $ 53,136 | $ 86,500 | $ 41,103 |
Income (loss) from discontinued operations | 4,208 | 28,597 | 20,947 |
Preferred stock dividends | $ 20,322 | $ 19,859 | $ 9,820 |
Basic earnings per common share | |||
Income from continuing operations (in dollars per share) | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||
Income from continuing operations (in dollars per share) | 0.63 | 1.34 | 0.78 |
Income from discontinued operations (in dollars per share) | 0.08 | 0.60 | 0.56 |
Net income (in dollars per share) | $ 0.71 | $ 1.94 | $ 1.34 |
Class B Common Stock | |||
Noninterest expense | |||
Income from continuing operations | $ 338 | $ 240 | $ 15 |
Income (loss) from discontinued operations | 27 | 79 | 7 |
Preferred stock dividends | $ 129 | $ 55 | $ 3 |
Basic earnings per common share | |||
Income from continuing operations (in dollars per share) | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||
Income from continuing operations (in dollars per share) | 0.64 | 1.36 | 0.79 |
Income from discontinued operations (in dollars per share) | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | $ 0.72 | $ 1.97 | $ 1.36 |
Consolidated Statements of Ope5
Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement [Abstract] | |||
Net gain on disposal of discontinued operations | $ 13,796 | $ 0 | $ 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 57,709 | $ 115,416 | $ 62,072 |
Unrealized gain (loss) on securities available-for-sale: | |||
Unrealized gain (loss) arising during the period | 10,068 | 11,140 | (1,614) |
Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale | 12,845 | 0 | 0 |
Reclassification adjustment for gain included in net income | (8,644) | (17,187) | (1,890) |
Total change in unrealized gain (loss) on securities available-for-sale | 14,269 | (6,047) | (3,504) |
Unrealized gain (loss) on cash flow hedge: | |||
Unrealized loss arising during the period | 0 | 0 | (396) |
Reclassification adjustment for loss included in net income | 0 | 0 | 532 |
Total change in unrealized gain on cash flow hedge | 0 | 0 | 136 |
Total other comprehensive income (loss) | 14,269 | (6,047) | (3,368) |
Comprehensive income | $ 71,978 | $ 109,369 | $ 58,704 |
Consolidated Statements of Shar
Consolidated Statements of Shareholder's Equity - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Common StockClass A Common Stock | Common StockClass B Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income (Loss) |
Beginning Balance at Dec. 31, 2014 | $ 503,315 | $ 79,877 | $ 358 | $ 6 | $ 422,910 | $ 29,589 | $ (29,798) | $ 373 | |
Comprehensive income (loss): | |||||||||
Net income | 62,072 | 62,072 | |||||||
Other comprehensive income (loss), net | (3,368) | (3,368) | |||||||
Issuance of stock | 110,873 | $ 0 | 40 | (5) | (35) | ||||
Exercise of stock options | 501 | (227) | 728 | ||||||
Stock-based compensation expense | 9,328 | 9,328 | |||||||
Restricted stock surrendered due to employee tax liability | (2,254) | (3) | (2,251) | ||||||
Tax effect from stock compensation plan | (137) | (137) | |||||||
Shares purchased under Dividend Reinvestment Plan | (6) | 202 | (208) | ||||||
Stock appreciation right dividend equivalents | (713) | (713) | |||||||
Dividends declared | (17,383) | (17,383) | |||||||
Preferred stock dividends | (9,823) | (9,823) | |||||||
Ending Balance at Dec. 31, 2015 | 652,405 | 190,750 | 395 | 1 | 429,790 | 63,534 | (29,070) | (2,995) | |
Comprehensive income (loss): | |||||||||
Net income | 115,416 | 115,416 | |||||||
Other comprehensive income (loss), net | (6,047) | (6,047) | |||||||
Issuance of stock | 120,255 | 175,078 | 120 | 1 | 174,957 | ||||
Redemption or cancellation of stock | (42,000) | (41,934) | (66) | ||||||
Issuance of common stock to Stock Employee Compensation Trust | 0 | 25 | (25) | 0 | |||||
Exercise of stock options | (359) | (359) | |||||||
Stock-based compensation expense | 11,947 | 11,947 | |||||||
Restricted stock surrendered due to employee tax liability | (4,436) | (3) | (4,433) | ||||||
Tax effect from stock compensation plan | 2,116 | 2,116 | |||||||
Shares purchased under Dividend Reinvestment Plan | 58 | 233 | (175) | ||||||
Stock appreciation right dividend equivalents | (759) | (759) | |||||||
Dividends declared | (23,521) | (23,521) | |||||||
Preferred stock dividends | (19,914) | (19,914) | |||||||
Ending Balance at Dec. 31, 2016 | 980,239 | 269,071 | 537 | 2 | 614,226 | 134,515 | (29,070) | (9,042) | |
Comprehensive income (loss): | |||||||||
Net income | 57,709 | 57,709 | |||||||
Other comprehensive income (loss), net | 14,269 | 14,269 | |||||||
Issuance of stock | 0 | 4 | 3 | (7) | |||||
Redemption or cancellation of stock | $ 0 | (25) | 25 | ||||||
Exercise of stock options | 2,043 | 3 | 1,756 | 284 | |||||
Stock-based compensation expense | 12,134 | 12,134 | |||||||
Restricted stock surrendered due to employee tax liability | (6,824) | (2) | (6,822) | ||||||
Shares purchased under Dividend Reinvestment Plan | (58) | 123 | (181) | ||||||
Stock appreciation right dividend equivalents | (811) | (811) | |||||||
Dividends declared | (25,942) | (25,942) | |||||||
Preferred stock dividends | (20,451) | (20,451) | |||||||
Ending Balance at Dec. 31, 2017 | $ 1,012,308 | $ 269,071 | $ 517 | $ 5 | $ 621,435 | $ 144,839 | $ (28,786) | $ 5,227 |
Consolidated Statements of Sha8
Consolidated Statements of Shareholder's Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends declared, per common share (in usd per share) | $ 0.52 | $ 0.49 | $ 0.48 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||
Net income | $ 57,709,000 | $ 115,416,000 | $ 62,072,000 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | |||
Provision for loan and lease losses | 13,699,000 | 5,271,000 | 7,469,000 |
Provision for unfunded loan commitments | 1,331,000 | 318,000 | 198,000 |
Provision (reversal) for loan repurchases | (1,812,000) | (3,352,000) | 2,326,000 |
Depreciation on premises and equipment | 12,425,000 | 11,680,000 | 9,154,000 |
Amortization of intangible assets | 3,928,000 | 4,851,000 | 5,836,000 |
Amortization of debt issuance cost | 247,000 | 704,000 | 727,000 |
Net amortization (accretion) of premium and discount on securities | (2,432,000) | 1,206,000 | 1,602,000 |
Net amortization (accretion) of deferred loan cost and fees | (1,318,000) | (1,000) | 512,000 |
Accretion of discounts on purchased loans | (4,808,000) | (36,800,000) | (30,933,000) |
Deferred income tax (benefit) expense | (30,372,000) | 5,613,000 | 7,279,000 |
Bank owned life insurance income | (2,339,000) | (2,341,000) | (1,076,000) |
Stock-based compensation expense | 12,134,000 | 11,947,000 | 9,328,000 |
Loss on investments in alternative energy partnerships, net | 30,786,000 | 31,510,000 | 0 |
Impairment on intangible assets | 336,000 | 690,000 | 258,000 |
Impairment on capitalized software projects | 1,957,000 | 595,000 | 0 |
Debt redemption costs | 0 | 2,737,000 | 0 |
Net revenue on mortgage banking activities | (42,889,000) | (167,024,000) | (144,685,000) |
Net gain on sale of loans | (11,942,000) | (35,895,000) | (37,211,000) |
Net gain on sale of securities available for sale | (14,768,000) | (29,405,000) | (3,258,000) |
Loss from change of fair value on mortgage servicing rights | 17,051,000 | 17,729,000 | 8,765,000 |
Loss on sale or disposal of property and equipment | 1,070,000 | 122,000 | 80,000 |
Gain on sale of building | 0 | 0 | 9,919,000 |
Gain on sale of branches | 0 | 0 | (163,000) |
Gain on sale of subsidiary | 0 | (3,694,000) | 0 |
Gain on sale of business unit | 0 | (2,629,000) | 0 |
Net gain on disposal of discontinued operations | (13,796,000) | 0 | 0 |
Repurchase of mortgage loans | (31,913,000) | (40,822,000) | (19,387,000) |
Originations of loans held-for-sale from mortgage banking | (1,533,889,000) | (5,135,046,000) | (4,388,042,000) |
Originations of other loans held-for-sale | (97,156,000) | (614,596,000) | (803,936,000) |
Proceeds from sales of and principal collected on loans held-for-sale from mortgage banking | 1,990,126,000 | 5,271,093,000 | 4,406,924,000 |
Proceeds from sales of and principal collected on other loans held-for-sale | 302,695,000 | 615,437,000 | 882,288,000 |
Change in accrued interest receivable and other assets | 2,604,000 | (43,200,000) | (23,607,000) |
Change in accrued interest payable and other liabilities | (95,653,000) | 35,999,000 | 14,410,000 |
Net cash provided by (used in) operating activities | 563,011,000 | 18,113,000 | (42,989,000) |
Cash flows from investing activities: | |||
Proceeds from sales of securities available-for-sale | 981,481,000 | 4,096,453,000 | 989,786,000 |
Proceeds from maturities and calls of securities available-for-sale | 518,978,000 | 51,550,000 | 687,000 |
Proceeds from principal repayments of securities available-for-sale | 43,936,000 | 95,556,000 | 109,026,000 |
Proceeds from maturities and calls of securities held-to-maturity | 143,505,000 | 78,050,000 | 0 |
Purchases of securities available-for-sale | (962,390,000) | (5,723,578,000) | (1,591,883,000) |
Purchases of securities held-to-maturity | 0 | 0 | (962,052,000) |
Purchases of bank owned life insurance | 0 | 0 | (80,000,000) |
Net cash provided by disposal of discontinued operations and sale of business unit | 56,123,000 | 246,957,000 | 0 |
Net cash used in branch sale | 0 | 0 | (46,731,000) |
Proceeds from sale of subsidiary | 0 | 259,000 | 0 |
Loan originations and principal collections, net | (1,128,172,000) | (1,778,994,000) | (501,927,000) |
Purchase of loans and leases | 0 | (182,231,000) | (705,709,000) |
Redemption of Federal Home Loan Bank stock | 29,612,000 | 38,988,000 | 18,459,000 |
Purchase of Federal Home Loan Bank and other bank stocks | (37,424,000) | (47,798,000) | (35,287,000) |
Proceeds from sale of loans held-for-investment | 605,502,000 | 930,342,000 | 575,477,000 |
Net change in time deposits in financial institutions | 1,000,000 | 500,000 | 400,000 |
Proceeds from sale of other real estate owned | 3,508,000 | 1,737,000 | 909,000 |
Proceeds from sale of mortgage servicing rights | 1,496,000 | 5,000 | 5,862,000 |
Proceeds from sale of premises and equipment | 2,663,000 | 28,000 | 50,639,000 |
Additions to premises and equipment | (15,323,000) | (44,683,000) | (83,259,000) |
Payments of capital lease obligations | (1,434,000) | (954,000) | (947,000) |
Funding of equity investment | (35,826,000) | (23,324,000) | 0 |
Investments in alternative energy partnerships | (55,377,000) | (57,149,000) | 0 |
Net cash provided by (used in) investing activities | 151,858,000 | (2,318,286,000) | (2,256,550,000) |
Cash flows from financing activities: | |||
Net (decrease) increase in deposits | (1,849,247,000) | 2,839,065,000 | 1,677,855,000 |
Net increase (decrease) in short-term Federal Home Loan Bank advances | 805,000,000 | (390,000,000) | 362,000,000 |
Repayment of long-term Federal Home Loan Bank advances | (100,000,000) | (50,000,000) | (465,000,000) |
Proceeds from long-term Federal Home Loan Bank advances | 500,000,000 | 0 | 400,000,000 |
Net increase (decrease) in other borrowings | (68,000,000) | 68,000,000 | 0 |
Net proceeds from issuance of common stock | 0 | 175,078,000 | 0 |
Net proceeds from issuance of preferred stock | 0 | 120,255,000 | 110,873,000 |
Net proceeds from issuance of long-term debt | 0 | 0 | 172,304,000 |
Redemption of preferred stock | 0 | (42,000,000) | 0 |
Payment of junior subordinated amortizing notes | (2,684,000) | (5,078,000) | (4,715,000) |
Redemption of senior notes | 0 | (84,750,000) | 0 |
Cash settlements of stock options | 0 | (359,000) | 0 |
Proceeds from exercise of stock options | 2,043,000 | 0 | 501,000 |
Restricted stock surrendered due to employee tax liability | (6,824,000) | (4,436,000) | (2,254,000) |
Dividend equivalents paid on stock appreciation rights | (810,000) | (742,000) | (699,000) |
Dividends paid on preferred stock | (20,451,000) | (19,630,000) | (9,446,000) |
Dividends paid on common stock | (25,707,000) | (21,844,000) | (16,955,000) |
Net cash provided by (used in) financing activities | (766,680,000) | 2,583,559,000 | 2,224,464,000 |
Net change in cash and cash equivalents | (51,811,000) | 283,386,000 | (75,075,000) |
Cash and cash equivalents at beginning of year | 439,510,000 | 156,124,000 | 231,199,000 |
Cash and cash equivalents at end of year | 387,699,000 | 439,510,000 | 156,124,000 |
Supplemental cash flow information | |||
Interest paid on deposits and borrowed funds | 81,805,000 | 59,380,000 | 44,810,000 |
Income taxes paid | 11,318,000 | 42,377,000 | 33,429,000 |
Income taxes refunds received | 14,119,000 | 1,000 | 19,000 |
Supplemental disclosure of non-cash activities | |||
Transfer from loans to other real estate owned, net | 3,086,000 | 3,269,000 | 1,598,000 |
Transfer of loans held-for-investment to loans held-for-sale | 593,977,000 | 191,666,000 | 0 |
Transfer of loans held-for-sale to loans held-for-investment | 88,591,000 | 7,115,000 | 482,851,000 |
Reclassification of securities held-to-maturity to securities available-for-sale | 740,863,000 | 0 | 0 |
Equipment acquired under capital leases | 1,452,000 | 16,000 | 112,000 |
Receivable on unsettled securities sales | 5,559,000 | 0 | 0 |
Due on unsettled securities purchases | 0 | 50,149,000 | 0 |
Loans sold to Ginnie Mae that are subject to a repurchase option | $ 65,998,000 | $ 16,513,000 | $ 8,378,000 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations : Banc of California, Inc. is a financial holding company under the Bank Holding Company Act of 1956, as amended, headquartered in Orange County, California and incorporated under the laws of Maryland. Banc of California, Inc.'s assets primarily consist of the outstanding stock of the Bank. Banc of California, Inc. is subject to regulation by the FRB and the Bank operates under a national bank charter issued by the OCC, its primary regulator. The Bank is a member of the FHLB system, and maintains insurance on deposit accounts with the FDIC. The Bank offers a variety of financial services to meet the banking and financial needs of the communities it serves, with operations conducted through 34 banking offices, serving San Diego, Los Angeles, Santa Barbara, and Orange counties in California as of December 31, 2017 . Basis of Presentation: The consolidated financial statements include the accounts of the Company and all other entities in which it has a controlling financial interest. All significant intercompany accounts and transactions have been eliminated in consolidation. Unless the context requires otherwise, all references to the Company include its wholly owned subsidiaries. The accounting and reporting polices of the Company are based upon GAAP and conform to predominant practices within the financial services industry. Significant accounting policies followed by the Company are presented below. Certain prior period amounts have been reclassified to conform to the current year's presentation. These reclassifications had no impact on the Company's consolidated statements of financial condition or operations. Use of Estimates in the Preparation of Financial Statements: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and disclosures provided, and actual results could differ. The allowance for loan and lease losses, reserve for loss on repurchased loans, reserve for unfunded loan commitments, servicing rights, realization of deferred tax assets, the valuation of goodwill and other intangible assets, mortgage banking derivatives, purchased credit impaired loan discount accretion, HLBV of investments in alternative energy partnerships, fair value of assets and liabilities acquired in business combinations, and the fair value measurement of financial instruments are particularly subject to change and such change could have a material effect on the consolidated financial statements. Change in Estimate: At December 31, 2016 the Company accrued a liability for estimated discretionary incentive compensation payments to certain employees. The amount paid was less than the accrued liability. Consequently, the Company reversed the excess accrual and recorded a pre-tax credit to salaries and employee benefits on the consolidated statements of operations of $7.8 million during the three months ended March 31, 2017. The reversal, based on new information driven by changes to certain facts and circumstances subsequent to December 31, 2016, was determined to be a change in estimate. Discontinued Operations: During the year ended December 31, 2017, the Company completed the sale of its Banc Home Loans division, which largely represented the Company's Mortgage Banking segment. In accordance with ASC 205-20, the Company determined that the sale of the Banc Home Loans division and certain other mortgage banking related assets and liabilities that will be sold or settled separately within one year met the criteria to be classified as a discontinued operation and the related operating results and financial condition have been presented as discontinued operations on the consolidated financial statements. See Note 2 for additional information. Unless otherwise indicated, information included in these notes to the consolidated financial statements is presented on a consolidated operations basis, which includes results from both continuing and discontinued operations, for all periods presented. Segment Reporting: In connection with the sale of its Banc Home Loans division, which largely represented the Company's Mortgage Banking segment, the Company reassessed its reportable operating segments. Based on this internal evaluation, the Company determined that all three of its previously disclosed reportable segments, Commercial Banking, Mortgage Banking, and Corporate/Other, are no longer applicable. Accordingly, to better reflect how the Company is now managed and how information is reviewed by the chief operating decision maker, the Company's chief executive officer, the Company determined that all services offered by the Company relate to Commercial Banking. As a result, the Company's only reportable segment is Commercial Banking. Variable Interest Entities: The Company holds ownership interests in certain special purpose entities. The Company evaluates its interest in these entities to determine whether they meet the definition of a variable interest entity (VIE) and whether the Company is required to consolidate these entities. A VIE is consolidated by its primary beneficiary, the party that has both the power to direct the activities that most significantly impact the VIE and a variable interest that could potentially be significant to the VIE. A variable interest is a contractual, ownership or other interest that changes with changes in the fair value of the VIE’s net assets. To determine whether or not a variable interest the Company holds could potentially be significant to the VIE, the Company considers both qualitative and quantitative factors regarding the nature, size and form of its involvement with the VIE. The Company analyzes whether the Company is the primary beneficiary of VIE on an ongoing basis. Changes in facts and circumstances occurring since the previous primary beneficiary determination are considered as part of this ongoing assessment. See Note 20 for additional information. Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, cash items in transit, cash due from the Federal Reserve Bank and other financial institutions, and federal funds sold with original maturities less than 90 days. Time Deposits in Financial Institutions: Time deposits in financial institutions have original maturities over 90 days and are carried at cost. Investment Securities: Investment securities are classified at the time of purchase as available-for-sale, held-to-maturity or held-for-trading. The Company had no investment securities classified as held-to-maturity or held-for-trading at December 31, 2017. Debt securities classified as held-to-maturity were recorded at amortized cost when management had the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities available-for-sale are carried at fair value with unrealized holding gains and losses. Unrealized holding gains and losses, net of taxes, are reported in AOCI on the Consolidated Statements of Financial Condition. During the year ended December 31, 2017, the Company evaluated its securities held-to-maturity and determined that certain securities no longer adhered to the Company’s strategic focus and could be sold or reinvested to potentially improve the Company’s liquidity position or duration profile. Accordingly, the Company was no longer able to assert that it had the intent to hold these securities until maturity. As a result, the Company transferred all $740.9 million of its held-to-maturity securities to available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $22.0 million at the time of the transfer, June 30, 2017. Due to the transfer, the Company’s ability to assert that it has both the intent and ability to hold debt securities to maturity will be limited for the foreseeable future. Accreted discounts and amortized premiums are included in interest income using the level yield method, and realized gains or losses from sales of securities are calculated using the specific identification method. Management evaluates securities for OTTI at least on a quarterly basis, and more frequently when economic conditions warrant such an evaluation. Investment securities classified as available-for-sale or held-to-maturity are generally evaluated for OTTI under ASC 320, Accounting for Certain Investments in Debt and Equity Securities. However, certain purchased beneficial interests, including non-agency mortgage-backed securities, asset-backed securities, collateralized debt obligations, and collateralized loan obligations, that had credit ratings at the time of purchase of below AA are evaluated using the model outlined in ASC 325, Recognition of Interest Income and Impairment on Purchased Beneficial Interests and Beneficial Interests that Continue to be Held by a Transferor in Securitized Financial Assets . In determining OTTI under the ASC 320 model, management considers the extent and duration of the unrealized loss and the financial condition and near-term prospects of the issuer. Management also considers whether the market decline was affected by macroeconomic conditions, and assesses whether the Company intends to sell, or it is more likely than not it will be required to sell a security in an unrealized loss position before recovery of its amortized cost basis. The assessment of whether OTTI exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. The second segment of the portfolio uses the OTTI guidance provided by ASC 325 that is specific to purchased beneficial interests that, on the purchase date, were rated below AA. Under the ASC 325 model, the Company compares the present value of the remaining cash flows, as estimated at the preceding evaluation date, to the current expected remaining cash flows. An OTTI is deemed to have occurred if there has been an adverse change in the remaining expected future cash flows. When OTTI occurs in either model, the amount of the impairment recognized in earnings depends on the Company’s intent to sell the security or if it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: (i) OTTI related to credit loss, which must be recognized in the income statement and (ii) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities the entire amount of impairment is recognized through earnings. Federal Home Loan Bank and Federal Reserve Bank Stock: The Bank is a member of the FHLB and Federal Reserve Bank system. Members are required to own a certain amount of FHLB and Federal Reserve Bank stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB and Federal Reserve Bank stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported in Dividends and Other Interest-Earning Assets Interest Income on the Consolidated Statements of Operations. Loans Held-For-Sale, Carried at Fair Value: Loans held for sale, carried at fair value, are conforming SFR mortgage loans that are originated and intended for sale in the secondary market, repurchased loans that were previously sold to Ginnie Mae and other GSEs, and loans sold to Ginnie Mae that are delinquent more than 90 days and subject to a purchase option by the Company. The fair value of loans held-for-sale is based on commitments outstanding from investors as well as what secondary market investors are currently offering for portfolios with similar characteristics, except for loans that are repurchased out of Ginnie Mae loan pools, and loans sold to Ginnie Mae that are delinquent more than 90 days and subject to a purchase option by the Company, which are valued based on an internal model that estimates the expected loss the Company will incur on these loans. Loans Held-for-Sale, Carried at Lower of Cost or Fair Value: The Company records non-conforming jumbo mortgage loans held-for-sale and certain commercial loans held-for-sale at the lower of cost or fair value, on an aggregate basis. Deferred loan origination fees and costs or purchase discounts or premiums included in the carrying value of the loans are not amortized and are included in the determination of gains or losses from the sale of the related loans. A valuation allowance is established if the fair value of such loans is lower than their cost, with a corresponding charge to noninterest income. When the Company changes its intent to hold loans for investment, the loans are transferred to held-for-sale at lower of cost or fair value on the transfer date and amortization of deferred fees and costs or purchase discounts or premiums is ceased. If a determination is made that a loan held-for-sale cannot be sold in the foreseeable future, it is transferred to loans held-for-investment at lower of cost or fair value on the transfer date. Loans and Leases: When a determination is made at the time of commitment to originate or purchase loans as held-for-investment, it is the Company’s intent to hold these loans to maturity or for the foreseeable future, subject to periodic review under the Company’s management evaluation processes, including asset/liability management. Loans and leases, other than PCI loans, that management has the intent and ability to hold for the foreseeable future, or until maturity or payoff are recorded at the principal balance outstanding, net of charge-offs, unamortized purchase premiums and discounts, and deferred loan fees and costs. Amortization of deferred loan origination fees and costs or purchase premiums and discounts are recognized in interest income as an adjustment to yield over the terms of loans and leases using the effective interest method. Deferred loan origination fees and costs on revolving lines of credit are amortized using the straight line method. Interest on loans and leases is credited to interest income as earned based on the interest rate applied to principal amounts outstanding. Interest income is accrued on the unpaid principal balance and is discontinued when management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that full collection of principal or interest becomes doubtful, regardless of the length of past due status. Generally, loans and leases are placed on non-accrual status when scheduled payments become past due for 90 days or more. When accrual of interest is discontinued, any unpaid accrued interest receivable is reversed against interest income. Interest received on such loans and leases is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. A charge-off is generally recorded at 180 days past due for SFR mortgage loans if the unpaid principal balance exceeds the fair value of the collateral less costs to sell. Commercial and industrial and commercial real estate loans and lease financings are subject to a detailed review when 90 days past due to determine accrual status, or when payment is uncertain and a specific consideration is made to put a loan or lease on non-accrual status. A charge-off for commercial and industrial and commercial real estate loans, and lease financing is recorded when a loss is confirmed. Consumer loans, other than those secured by real estate, are typically charged off no later than 120 days past due. Loans and leases are returned to accrual status when the payment status becomes current or is restructured and the borrower has demonstrated a satisfactory payment trend subject to management’s assessment of the borrower’s ability to repay the loan or lease. Allowance for Loan and Lease Losses: The ALLL is a reserve established through a provision for loan and lease losses, and represents management’s best estimate of probable losses that may be incurred within the existing loan and lease portfolio as of the date of the consolidated statements of financial condition. Confirmed losses are charged against the ALLL. Subsequent recoveries, if any, are credited to the ALLL. The Company performs an analysis of the adequacy of the ALLL at least quarterly. Management estimates the required ALLL balance using past loan and lease loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. The ALLL consists of three elements; (i) a specific allowance established for probable losses on individually identified impaired loans and leases, (ii) a quantitative allowance calculated using historical loss experience adjusted as necessary to reflect current conditions; and (iii) a qualitative allowance to capture economic, underwriting, process, credit, and other factors and trends that are not adequately reflected in the historical loss rates. A loan or lease is deemed impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan or lease agreement. The Company measures expected credit losses on all impaired loans and leases individually under the guidance of ASC 310, Receivables , primarily through the evaluation of collateral values and estimated cash flows expected to be collected. Loans for which the terms have been modified by granting a concession that normally would not be provided and where the borrower is experiencing financial difficulties are considered TDRs and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The impairment amount on a collateral dependent loan is charged-off to the ALLL and the impairment amount on a loan that is not collateral dependent is set-up as a specific reserve. TDRs are also measured at the present value of estimated future cash flows using the loan’s effective rate at inception or at the fair value of collateral, less costs to sell, if repayment is expected solely from the collateral. For TDRs that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the ALLL. At December 31, 2017 , the following loan and lease portfolio segments have been identified: • Commercial and industrial (general commercial and industrial, warehouse lending, and direct leveraged lending) • Commercial real estate • Multifamily • SBA • Construction • Lease Financing • SFR - 1st deeds of trust (general SFR mortgage and other) • Other consumer (HELOC and other) The Company categorizes loans and leases into risk categories based on relevant information about the ability of borrowers and lessees (also referred to as borrowers) to service their obligations such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans and leases individually by classifying the loans and leases as to credit risk. Loans secured by multifamily and commercial real estate properties generally involve a greater degree of credit risk than SFR mortgage loans. Because payments on loans secured by multifamily and commercial real estate properties are often dependent on the successful operation or management of the properties, repayment of these loans may be subject to adverse conditions in the real estate market or the economy. Commercial and industrial loans are also considered to have a greater degree of credit risk than SFR mortgage loans due to the fact commercial and industrial loans are typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of commercial and industrial loans may be substantially dependent on the success of the business itself (which, in turn, is often dependent in part upon general economic conditions). SBA loans are similar to commercial and industrial loans, but have additional credit enhancement provided by the U.S. Small Business Administration, for up to 85 percent of the loan amount for loans up to $150 thousand and 75 percent of the loan amount for loans of more than $150 thousand. Lease financing is also similar to commercial and industrial loans in that the lease financing is typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of lease financing may be substantially dependent on the success of the business itself (which, in turn, is often dependent in part upon general economic conditions). Consumer loans may entail greater risk than SFR mortgage loans given that collection of these loans is dependent on the borrower’s continuing financial stability and, thus, are more likely to be adversely affected by job loss, divorce, illness, or personal bankruptcy. Green Loans are also considered to carry a higher degree of credit risk due to their unique cash flows. Credit risk on this asset class is also managed through the completion of regular re-appraisals of the underlying collateral and monitoring of the borrower’s usage of this account to determine if the borrower is making monthly payments from external sources or “drawdowns” on their line. In cases where the property values have declined to levels less than the original LTV ratios, or other levels deemed prudent by the Company, the Company may curtail the line and/or require monthly payments or principal reductions to bring the loan in balance. Troubled Debt Restructurings: A loan is identified as a TDR when a borrower is experiencing financial difficulties and for economic or legal reasons related to these difficulties, the Company grants a concession to the borrower in the restructuring that it would not otherwise consider. The Company has granted a concession when, as a result of the restructuring to a troubled borrower, it does not expect to collect all amounts due, including principal and/or interest accrued at the original terms of the loan. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date, or a note split with principal forgiveness. Loans for which the borrower has been discharged under Chapter 7 bankruptcy are considered collateral dependent TDRs, impaired at the date of discharge, and charged down to the fair value of collateral less cost to sell. A restructuring executed at an interest rate that is at market interest rates based on the current credit characteristics of the borrower is not a TDR. The Company’s policy is to place consumer loan TDRs, except those that were performing prior to TDR status, on non-accrual status for a minimum period of 6 months . Commercial TDRs are evaluated on a case-by-case basis for determination of whether or not to place them on non-accrual status. Loans qualify for return to accrual status once they have demonstrated performance under the restructured terms of the loan for a minimum of 6 months. Initially, all TDRs are reported as impaired. Generally, TDRs are classified as impaired loans and reported as TDRs for the remaining life of the loan. Impaired and TDR classification may be removed if the borrower demonstrates compliance with the modified terms for a minimum of 6 months and through one fiscal year-end and the restructuring agreement specifies a market rate of interest equal to that which would be provided to a borrower with similar credit at the time of restructuring. In the limited circumstance that a loan is removed from TDR classification, it is the Company’s policy to continue to base its measure of loan impairment on the contractual terms specified by the loan agreement. Purchased Credit Impaired Loans: The Company had purchased, and acquired through business combinations, loans with evidence of credit quality deterioration since origination. Evidence of credit quality deterioration as of the purchase date included statistics such as prior loan modification history, updated borrower credit scores and updated LTV ratios, some of which were not immediately available as of the purchase date. Purchased loans with evidence of credit quality deterioration where the Company estimated that it would not receive all contractual payments were accounted for as PCI loans. The excess of the cash flows expected to be collected on PCI loans, measured as of the acquisition date, over the estimated fair value was referred to as the accretable yield and was recognized in interest income over the remaining life of the loan using a level yield methodology. The difference between contractually required payments as of the acquisition date and the cash flows expected to be collected was referred to as the non-accretable difference. PCI loans that had similar risk characteristics, primarily credit risk, collateral type and interest rate risk, were pooled and accounted for as a single unit with a single composite interest rate and an aggregate expectation of cash flows. The Company estimated cash flows expected to be collected over the life of the loan using management’s best estimate which was derived using key assumptions such as default rates, loss severity and payment speeds. If, upon subsequent evaluation, the Company determined it was probable that the present value of the expected cash flows had decreased due to a deterioration of credit, the PCI loan was considered further impaired which would result in a charge to the provision for loan and lease losses and a corresponding increase to the ALLL. If, upon subsequent evaluation, it was probable that there was an increase in the present value of the expected cash flows, the Company would reduce any remaining ALLL. If there was no remaining ALLL, the Company would recalculate the amount of accretable yield as the excess of the revised expected cash flows over the current carrying value resulting in a reclassification from non-accretable difference to accretable yield. The present value of the expected cash flows for PCI loan pools was determined using the PCI loans’ effective interest rate, adjusted for changes in the PCI loans’ interest rate indices. Adjustments in interest rate assumptions and prepayment behavior did not impact the Company’s assessment of credit impairment. The present value of the expected cash flows for PCI loans acquired through mergers with other banks included, in addition to the above, an evaluation of the creditworthiness of the borrower. Loan dispositions may include sales of loans, receipt of payments in full from the borrower or foreclosure. Write-downs were not recorded on the PCI loan pool until actual losses exceeded the remaining non-accretable difference. The Company had no PCI loans at December 31, 2017. See "Purchased Credit Impaired Loans" included in Note 5 for additional information. Other Real Estate Owned: OREO, which represents real estate acquired through foreclosure in satisfaction of commercial and real estate loans, is initially recorded at fair value less estimated selling costs of the real estate, based on current independent appraisals obtained at the time of acquisition, less costs to sell when acquired, establishing a new cost basis. Loan balances in excess of fair value of the real estate acquired at the date of acquisition are charged off against the ALLL. Gains and losses on the sale of OREO and reductions in fair value subsequent to foreclosure, and any subsequent operating expenses or income of such properties are included in All Other Expense on the Consolidated Statements of Operations. See Note 8 for additional information. Bank Owned Life Insurance: The Bank has purchased life insurance policies on certain key employees. BOLI is recorded at the amount that can be realized under the insurance contract, which is the cash surrender value. Premises, Equipment, and Capital Leases: Land is carried at cost. Premises and equipment are recorded at cost less accumulated depreciation. The straight-line method was used for depreciation with the following estimated useful lives: building - 40 years and leasehold improvements - life of lease, and furniture, fixtures, and equipment - 3 to 7 years . Maintenance and repairs are expensed as incurred and improvements that extend the useful lives of assets are capitalized. See Note 6 for additional information. Servicing Rights - Mortgage (Carried at Fair Value): A servicing asset or liability is recognized when undertaking an obligation to service a financial asset under a mortgage servicing contract, as a result of the transfer of the Company's financial assets that meet the requirements for sale accounting. Such servicing asset or liability is initially measured at fair value based on either market prices for comparable servicing contracts or alternatively is based on a valuation model that is based on the present value of the contractually specified servicing fee, net of servicing costs, over the estimated life of the loan, using a discount rate based on the related loan rate and is recorded on the Consolidated Statements of Financial Condition. The Company measures servicing rights at fair value at each reporting date and reports changes in fair value of servicing assets in earnings in the period in which the changes occur, and such changes are included within Net Revenue on Mortgage Banking Activities on the Statements of Operations of discontinued operations. The fair values of servicing rights are subject to significant fluctuations as a result of changes in estimates and actual prepayment speeds and default rates and losses. Currently the Company does not hedge the effects of changes in fair value of its servicing assets. At December 31, 2017 , MSRs of $29.8 million were classified as held-for-sale and valued based on a market bid adjusted for estimated early payoffs and paydowns. Servicing fee income, which is reported in Loan Servicing Income on the Consolidated Statements of Operations, is recorded for fees earned for servicing loans. The fees are based on a contractual percentage of the outstanding principal; or a fixed amount per loan and are recorded as income when earned. Late fees and ancillary fees related to loan servicing are not material. See Note 7 for additional information. Servicing Rights - SBA Loans (Carried at Lower of Cost or Fair Value): The Bank originates and sells the guaranteed portion of its SBA loans. To calculate the gain (loss) on sales of SBA loans, the Bank’s investment in the loan is allocated among the retained portion of the loan, the servicing retained, the interest-only strip and the sold portion of the loan, based on the relative fair market value of each portion. The gain (loss) on the sold portion of the loan is recognized at the time of sale based on the difference between sale proceeds and the amount of the allocated investment to the sold portion of the loan. The portion of the servicing fees that represent contractually specified servicing fees (contractual servicing) is reflected as a servicing asset and is amortized over the estimated |
SALES OF BRANCH, SUBSIDIARY AND
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS | 12 Months Ended |
Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS | SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS Branch Sale On September 25, 2015, the Company sold two branches and certain related assets and deposit liabilities to AUB. The transaction included a transfer of $46.9 million of deposits to AUB. Additionally, as part of the transaction, the leases related to both branch locations were assumed by AUB. The Company recognized a gain of $163 thousand from this transaction, which is included in Other Income on the Consolidated Statements of Operations for the year ended December 31, 2015. The Company also sold certain loans of $40.2 million to AUB as part of the transaction. The Company recognized a gain of $644 thousand from the sale of these loans, which is included in Net Gain on Sale of Loans on the Consolidated Statements of Operations for the year ended December 31, 2015. The Palisades Group Sale On May 5, 2016, the Company completed the sale of all of its membership interests in The Palisades Group, a wholly owned subsidiary of the Company, to an entity wholly owned by Stephen Kirch and Jack Macdowell who serve as the Chief Executive Officer and Chief Investment Officer of The Palisades Group, respectively. As part of the sale, The Palisades Group issued to the Company a 10 percent , $5.0 million note due May 5, 2018 . The Company recognized a gain on sale of subsidiary of $3.7 million on its Consolidated Statements of Operations for the year ended December 31, 2016. The following table summarizes the calculation of the gain on sale of The Palisades Group recognized: ($ in thousands) Year Ended December 31, 2016 Consideration received (paid) Liabilities forgiven by The Palisades Group $ 1,862 Liabilities assumed by the Company (1,078 ) The Note 2,370 Aggregate fair value of consideration received 3,154 Less: net assets sold (carrying amount of The Palisades Group) (540 ) Gain on sale of The Palisades Group $ 3,694 The Company estimated various potential future cash flow projection scenarios for The Palisades Group and established probability thresholds for each scenario to arrive at a probability weighted cash flow expectation, which was then discounted to yield a fair value of the Note at sale date of $2.4 million . On September 28, 2016, the Note was paid in full in cash prior to maturity and the Company recognized an additional gain of $2.8 million , which is included in Other Income on the Consolidated Statements of Operations for the year ended December 31, 2016. Commercial Equipment Finance Business Sale On October 27, 2016, the Company sold its Commercial Equipment Finance business unit from its Commercial Banking segment to Hanmi. As part of the transaction, Hanmi acquired $217.2 million of equipment leases diversified across the U.S. with concentrations in California, Georgia and Texas. An additional $25.4 million of equipment leases were transferred during December 2016. Hanmi retained most of the Company’s former Commercial Equipment Finance employees. The Company recorded a gain on sale of business unit of $2.6 million in its Consolidated Statements of Operations during the year ended December 31, 2016. Banc Home Loans Sale On March 30, 2017, the Company completed the sale of specific assets and activities related to its Banc Home Loans division to Caliber. The Banc Home Loans division largely represented the Company's Mortgage Banking segment, the activities of which related to originating, servicing, underwriting, funding and selling residential mortgage loans. Assets sold to Caliber included MSRs on certain conventional agency residential mortgage loans. The Banc Home Loans division, along with certain other mortgage banking related assets and liabilities that will be sold or settled separately within one year, is classified as discontinued operations in the accompanying Consolidated Statements of Financial Condition and Consolidated Statements of Operations. Certain components of the Company’s Mortgage Banking segment, including MSRs on certain conventional government SFR mortgage loans that were not sold as part of the Banc Home Loans sale and repurchase reserves related to previously sold loans, have been classified as continuing operations in the financial statements as they remain part of the Company’s ongoing operations. The specific assets acquired by Caliber include, among other things, the leases relating to the Company’s dedicated mortgage loan origination offices and rights to certain portions of the Company’s unlocked pipeline of residential mortgage loan applications. Caliber has assumed certain obligations and liabilities of the Company under the acquired leases, and with respect to the employment of transferred employees. The Company received a $25.0 million cash premium payment, in addition to the net book value of certain assets acquired by Caliber, totaling $2.5 million , upon the closing of the transaction. Additionally, the Company could receive an earn-out, payable quarterly, based on future performance over the 38 months following completion of the transaction. During the nine months ended December 31, 2017 subsequent to the completion of Banc Home Loan sale on March 30, 2017, the Company recognized an earn-out of $1.1 million in Income from Discontinued Operations on the Consolidated Statements of Operations. Caliber retains an option to buy out the future earn-out payable to the Company for cash consideration of $35.0 million , less the aggregate amount of all earn-out payments made prior to the date on which Caliber pays the buyout amount. Caliber also purchased the MSRs of $37.8 million on approximately $3.86 billion in unpaid balances of conventional agency mortgage loans, subject to adjustment under certain circumstances. The entire transaction resulted in a net gain on disposal of $13.8 million . The Banc Home Loans division originated conforming SFR mortgage loans and sold these loans in the secondary market. The amount of net revenue on mortgage banking activities was a function of mortgage loans originated for sale and the fair values of these loans and related derivatives. Net revenue on mortgage banking activities included mark to market pricing adjustments on loan commitments and forward sales contracts, and initial capitalized value of MSRs. The following table summarizes the calculation of the net gain on disposal of discontinued operations: ($ in thousands) Year Ended December 31, 2017 Proceeds from the transaction $ 63,054 Compensation expense related to the transaction (3,500 ) Other transaction costs (3,431 ) Net cash proceeds 56,123 Book value of certain assets sold (2,455 ) Book value of MSRs sold (37,772 ) Goodwill (2,100 ) Net gain on disposal $ 13,796 The following tables present the financial information of discontinued operations as of the dates and for the periods indicated: Statements of Financial Condition of Discontinued Operations December 31, ($ in thousands) 2017 2016 ASSETS Loans held-for-sale, carried at fair value (1) $ 38,696 $ 406,338 Loans held-for-sale, carried at lower of cost or fair value — 295 Servicing rights carried at fair value — 37,681 Premises, equipment, and capital leases, net — 2,700 Goodwill — 2,100 Other assets 204 33,380 Assets of discontinued operations $ 38,900 $ 482,494 LIABILITIES Accrued expenses and other liabilities (1) $ 7,819 $ 34,480 Liabilities of discontinued operations $ 7,819 $ 34,480 (1) Includes $7.1 million and $16.5 million of GNMA loans, respectively, that were delinquent more than 90 days and subject to a repurchase option by the Company at December 31, 2017 and 2016 , respectively. As such, the Company is deemed to have regained control over those previously transferred assets and has re-recognized them with an offsetting liability recognized in Accrued Expenses and Other Liabilities in the Statements of Financial Condition of Discontinued Operations, as a secured borrowing. Because the Company intends to exercise its option to repurchase and sell them within one year, they have been classified as part of discontinued operations. Statements of Operations of Discontinued Operations Year Ended December 31, ($ in thousands) 2017 2016 2015 Interest income Loans, including fees $ 7,052 $ 15,128 $ 12,531 Total interest income 7,052 15,128 12,531 Noninterest income Net gain on disposal 13,796 — — Loan servicing income 1,551 4,752 1,568 Net revenue on mortgage banking activities 42,889 167,024 144,685 Loan brokerage income 164 268 315 All other income 1,707 1,206 (2,097 ) Total noninterest income 60,107 173,250 144,471 Noninterest expense Salaries and employee benefits 38,374 111,771 98,269 Occupancy and equipment 3,964 10,972 11,040 Professional fees 2,546 920 693 Outside Service Fees 5,625 6,063 4,383 Data processing 687 2,522 2,173 Advertising 1,357 3,846 2,689 Restructuring expense 3,794 — — All other expenses 3,648 3,367 2,655 Total noninterest expense 59,995 139,461 121,902 Income from discontinued operations before income taxes 7,164 48,917 35,100 Income tax expense 2,929 20,241 14,146 Income (loss) from discontinued operations $ 4,235 $ 28,676 $ 20,954 Statements of Cash Flows of Discontinued Operations Year Ended December 31, ($ in thousands) 2017 2016 2015 Net cash provided by (used in) operating activities $ 365,045 $ (19,757 ) $ (80,100 ) Net cash provided by investing activities 56,123 — — Net cash provided by (used in) discontinued operations $ 421,168 $ (19,757 ) $ (80,100 ) |
FAIR VALUES OF FINANCIAL INSTRU
FAIR VALUES OF FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUES OF FINANCIAL INSTRUMENTS | FAIR VALUES OF FINANCIAL INSTRUMENTS Fair Value Hierarchy ASC 820-10 establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The topic describes three levels of inputs that may be used to measure fair value: • Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. • Level 2: Significant 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. • Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Assets and Liabilities Measured on a Recurring Basis Securities Available-for-Sale: The fair values of securities available-for-sale are generally determined by quoted market prices in active markets, if available (Level 1). If quoted market prices are not available, the Company primarily employs independent pricing services that utilize pricing models to calculate fair value. Such fair value measurements consider observable data such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and respective terms and conditions for debt instruments. The Company employs procedures to monitor the pricing service's assumptions and establishes processes to challenge the pricing service's valuations that appear unusual or unexpected. Level 2 securities include SBA loan pool securities, U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities, non-agency residential mortgage-backed securities, non-agency commercial mortgage-backed securities, collateralized loan obligations, and corporate debt securities. When a market is illiquid or there is a lack of transparency around the inputs to valuation, including at least one unobservable input, the securities are classified as Level 3 and reliance is placed upon internally developed models, and management judgment and evaluation for valuation. The Company had no securities available-for-sale classified as Level 3 at December 31, 2017 and 2016 . Loans Held-for-Sale, Carried at Fair Value: The fair value of loans held-for-sale is based on commitments outstanding from investors as well as what secondary market investors are currently offering for portfolios with similar characteristics, except for loans that are repurchased out of Ginnie Mae loan pools that become severely delinquent which are valued based on an internal model that estimates the expected loss the Company will incur on these loans. Therefore, loans held-for-sale subjected to recurring fair value adjustments are classified as Level 2 or, in the case of loans repurchased or eligible to be repurchased out of Ginnie Mae loan pools, Level 3. The fair value includes the servicing value of the loans as well as any accrued interest. Derivative Assets and Liabilities : Derivative Instruments Related to Mortgage Banking Activities . The Company had no derivative instruments related to mortgage banking activities at December 31, 2017 . The Company previously entered into IRLCs with prospective residential mortgage borrowers. These commitments were carried at fair value based on the fair value of the underlying mortgage loans which were based on observable market data. The Company adjusted the outstanding IRLCs with prospective borrowers based on an expectation that it would be exercised and the loan would be funded. These commitments were classified as Level 2 in the fair value disclosures, as the valuations are based on market observable inputs. The Company hedged the risk of the overall change in the fair value of loan commitments to borrowers with forward loan sale commitments and trades in to-be-announced (TBA) mortgage-backed securities of GSEs. These forward settling contracts were classified as Level 2, as valuations are based on market observable inputs at December 31, 2016. Fair values of these derivatives were included in assets and liabilities of discontinued operations. Interest Rate Swaps and Caps . The Company offers interest rate swaps and caps products to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. The Company originates a variable rate loan and enters into a variable-to-fixed interest rate swap with the customer. The Company also enters into an offsetting swap with a correspondent bank. These back-to-back agreements are intended to offset each other and allow the Company to originate a variable rate loan, while providing a contract for fixed interest payments for the customer. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer. The fair value of these derivatives is based on a discounted cash flow approach. Due to the observable nature of the inputs used in deriving the fair value of these derivative contracts, the valuation of interest rate swaps is classified as Level 2. Foreign Exchange Contracts . The Company offers short-term foreign exchange contracts to its customers to purchase and/or sell foreign currencies at set rates in the future. These products allow customers to hedge the foreign exchange rate risk of their deposits and loans denominated in foreign currencies. In conjunction with these products the Company also enters into offsetting contracts with institutional counterparties to hedge the Company’s foreign exchange rate risk. These back-to-back contracts allow the Company to offer its customers foreign exchange products while minimizing its exposure to foreign exchange rate fluctuations. The fair value of these instruments is determined at each reporting period based on the change in the foreign exchange rate. Given the short-term nature of the contracts, the counterparties’ credit risks are considered nominal and resulted in no adjustments to the valuation of the short-term foreign exchange contracts. Due to the observable nature of the inputs used in deriving the fair value of these derivative contracts, the valuation of these contracts is classified as Level 2. The Company had no foreign exchange contracts at December 31, 2017 . Mortgage Servicing Rights: The Company retains servicing on some of its mortgage loans sold and elected the fair value option for these MSRs. Generally, the value is estimated based on a valuation from a third party provider that calculates the present value of the expected net servicing income from the portfolio based on key factors that include interest rates, prepayment assumptions, discount rate and estimated cash flows. Because of the significance of unobservable inputs, these servicing rights are classified as Level 3. At December 31, 2017, MSRs held-for-sale of $29.8 million were valued based on a market bid adjusted for value associated with early payoffs and paydowns and included as Level 3. The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 : Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2017 Assets Securities available-for-sale: SBA loan pools securities $ 1,058 $ — $ 1,058 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 476,929 — 476,929 — Non-agency residential mortgage-backed securities 756 — 756 — Non-agency commercial mortgage-backed securities 310,511 — 310,511 — Collateralized loan obligations 1,702,318 — 1,702,318 — Corporate debt securities 83,897 — 83,897 — Loans held-for-sale, carried at fair value (1) 105,299 — 6,359 98,940 Mortgage servicing rights (2) 31,852 — — 31,852 Derivative assets: Interest rate swaps and caps (3) 1,005 — 1,005 — Liabilities Derivative liabilities: Interest rate swaps and caps (4) 1,033 — 1,033 — (1) Includes loans held-for-sale carried at fair value of $38.7 million ( $6.4 million at Level 2 and $32.3 million at Level 3) of discontinued operations, which are included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (2) Included in Servicing Rights, Net on the Consolidated Statements of Financial Condition (3) Included in Other Assets on the Consolidated Statements of Financial Condition (4) Included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2016 : Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2016 Assets Securities available-for-sale: SBA loan pools securities $ 1,221 $ — $ 1,221 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 807,273 — 807,273 — Non-agency residential mortgage-backed securities 117,177 — 117,177 — Collateralized loan obligations 1,406,869 — 1,406,869 — Corporate debt securities 48,948 — 48,948 — Loans held-for-sale, carried at fair value (1) 416,974 — 358,714 58,260 Mortgage servicing rights (2) 76,121 — — 76,121 Derivative assets Interest rate lock commitments (3) 8,317 — 8,317 — Mandatory forward commitments (3) 8,897 — 8,897 — Interest rate swaps and caps (4) 707 — 707 — Foreign exchange contracts (4) 47 — 47 — Liabilities Derivative liabilities Interest rate lock commitments (5) 231 — 231 — Mandatory forward commitments (5) 1,212 — 1,212 — Interest rate swaps and caps (6) 655 — 655 — Foreign exchange contracts (6) 18 — 18 — (1) Includes loans held-for-sale carried at fair value of $406.3 million ( $348.1 million at Level 2 and $58.3 million at Level 3) of discontinued operations, which are included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (2) Included in Servicing Rights, Net, except for $37.7 million included in Assets of Discontinued Operations, on the Consolidated Statements of Financial Condition (3) Included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (4) Included in Other Assets on the Consolidated Statements of Financial Condition (5) Included in Liabilities of Discontinued Operations on the Consolidated Statements of Financial Condition (6) Included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition The following table presents a reconciliation of assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3), on a consolidated operations basis, for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Mortgage servicing rights (1) Balance at beginning of period $ 76,121 $ 49,939 $ 19,082 Transfers in and (out) of Level 3 (2) — — — Total gains or losses (realized/unrealized): Included in earnings—fair value adjustment (10,240 ) (5,709 ) (3,568 ) Additions 12,127 49,293 45,263 Sales, paydowns, and other (3) (46,156 ) (17,402 ) (10,838 ) Balance at end of period $ 31,852 $ 76,121 $ 49,939 Loans Repurchased or eligible to be repurchased from Ginnie Mae Loan Pools (4) Balance at beginning of period $ 58,260 $ 18,291 $ — Transfers in and (out) of Level 3 (2) — — 1,088 Total gains or losses (realized/unrealized): Included in earnings—fair value adjustment (781 ) 216 — Additions 117,215 51,123 18,555 Sales, settlements, and other (75,754 ) (11,370 ) (1,352 ) Balance at end of period $ 98,940 $ 58,260 $ 18,291 (1) Includes MSRs of discontinued operations, which is included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition, of $37.7 million , $22.9 million , and $10.7 million , respectively, in balance at beginning of period, and $0 , $37.7 million , and $22.9 million , respectively, in balance at end of period for the years ended December 31, 2017 , 2016 and 2015 (2) The Company’s policy is to recognize transfers in and transfers out as of the actual date of the event or change in circumstances that causes the transfer (3) Includes $37.8 million of MSRs sold as a part of discontinued operations for the year ended December 31, 2017 (4) Includes loans repurchased or eligible to be repurchased from Ginnie Mae Loan Pools of discontinued operations, which is included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition, of $58.3 million , $18.3 million and $0 , respectively, in balance at beginning of period, and $32.3 million , $58.3 million and $18.3 million , respectively, in balance at end of period for the years ended December 31, 2017 , 2016 and 2015 Loans repurchased or eligible to be repurchased from Ginnie Mae Loan pools had aggregate unpaid principal balances of $99.7 million and $58.3 million at December 31, 2017 and 2016 , respectively. The following table presents, as of the dates indicated, quantitative information about Level 3 fair value measurements on a recurring basis, other than loans that become severely delinquent and are repurchased out of Ginnie Mae loan pools that were valued based on an estimate of the expected loss the Company will incur on these loans, which was included as Level 3 at December 31, 2017 and 2016 : ($ in thousands) Fair Value Valuation Technique(s) Unobservable Input(s) Range (Weighted-Average) December 31, 2017 Mortgage servicing rights (1) $ 2,059 Discounted cash flow Discount rate 13.00% to 13.00% (13.00%) Prepayment rate 10.04% to 49.97% (16.54%) December 31, 2016 Mortgage servicing rights (2) $ 76,121 Discounted cash flow Discount rate 9.11% to 15.00% (10.18%) Prepayment rate 7.00% to 39.90% (11.84%) (1) Excludes MSRs held-for-sale of $29.8 million , which were valued based on a market bid adjusted for value associated with early payoffs and paydowns (2) Includes MSRs of $37.7 million of discontinued operations The significant unobservable inputs used in the fair value measurement of the Company’s servicing rights include the discount rate and prepayment rate. The significant unobservable inputs used in the fair value measurement of the Company's loans repurchased from Ginnie Mae pools at December 31, 2017 included an expected loss rate of 1.55 percent for insured loans and 20.00 percent for uninsured loans. The significant unobservable inputs used in the fair value measurement of the Company's loans repurchased from Ginnie Mae pools at December 31, 2016 included an expected loss rate of 1.55 percent . There may be inherent weaknesses in any calculation technique, and changes in the underlying assumptions used, including discount rates and estimates of future cash flows, could significantly affect the results. Fair Value Option Loans Held-for-Sale, Carried at Fair Value: The Company elected to measure certain SFR mortgage loans held-for-sale under the fair value option. Electing to measure SFR mortgage loans held-for-sale at fair value reduces certain timing differences and better matches changes in the value of these assets with changes in the value of derivatives used as economic hedges for these assets. The Company also elected to record loans repurchased from GNMA at fair value, as the Company intends to sell them after curing any defects and, accordingly, they are classified as held-for-sale. Loans previously sold to GNMA that are delinquent more than 90 days are subject to a repurchase option when that condition exists. These loans were re-recognized at fair value and offset by a secured borrowing, as the loans were still legally owned by GNMA. The following table presents the fair value and aggregate principal balance of certain assets, on a consolidated operations basis, under the fair value option: December 31, 2017 2016 ($ in thousands) Fair Value Unpaid Principal Balance Difference Fair Value Unpaid Principal Balance Difference Loans held-for-sale, carried at fair value in continuing operations: Total loans $ 66,603 $ 67,415 $ (812 ) $ 10,636 $ 10,606 $ 30 Non-accrual loans (1) 60,999 61,900 (901 ) — — — Loans past due 90 days or more and still accruing — — — — — — Loans held-for-sale, carried at fair value in discontinued operations: Total loans $ 38,696 $ 39,541 $ (845 ) $ 406,338 $ 397,283 $ 9,055 Non-accrual loans (2) 24,073 24,297 (224 ) 54,151 54,824 (673 ) Loans past due 90 days or more and still accruing — — — — — — (1) Includes loans guaranteed by the U.S. government of $54.2 million and $0 , respectively, at December 31, 2017 and 2016 (2) Includes loans guaranteed by the U.S. government of $20.7 million and $43.8 million , respectively, at December 31, 2017 and 2016 The assets and liabilities accounted for under the fair value option are initially measured at fair value. Gains and losses from initial measurement and subsequent changes in fair value are recognized in earnings. The following table presents changes in fair value related to initial measurement and subsequent changes in fair value included in earnings for these assets and liabilities measured at fair value for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Net gains (losses) from fair value changes Net gain on sale of loans (continuing operations) $ (170 ) $ 29 $ 67 Net revenue on mortgage banking activities (discontinued operations) (288 ) 7,365 11,326 Changes in fair value due to instrument-specific credit risk were insignificant for the years ended December 31, 2017 , 2016 and 2015 . Interest income on loans held-for-sale under the fair value option is measured based on the contractual interest rate and reported in Loans and Leases, including Fees under Interest and Dividend Income and Income from Discontinued Operations on the Consolidated Statements of Operations. Assets and Liabilities Measured on a Non-Recurring Basis Securities Held-to-Maturity: Investment securities that the Company has the ability and the intent to hold to maturity are classified as held-to-maturity. Investment securities classified as held-to-maturity are carried at amortized cost. The fair values of securities held-to-maturity are generally determined by quoted market prices in active markets, if available (Level 1). If quoted market prices are not available, the Company employs independent pricing services that utilize pricing models to calculate fair value. Such fair value measurements consider observable data such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and respective terms and conditions for debt instruments (Level 2). The Company employs processes and procedures to monitor and challenge the pricing assumptions and valuations that appear unusual or unexpected. When a market is illiquid or there is a lack of transparency around the inputs to valuation, including at least one unobservable input, the securities are classified as Level 3 and reliance is placed upon internally developed models, and management judgment and evaluation. Only securities held-to-maturity with OTTI are considered to be carried at fair value. The Company had no securities classified as held-to-maturity at December 31, 2017 , and the Company did not have any OTTI on securities held-to-maturity at December 31, 2016. Impaired Loans and Leases: The fair value of impaired loans and leases with specific allocations of the ALLL based on collateral values is generally based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are typically deemed significant unobservable inputs used for determining fair value and result in a Level 3 classification. Loans Held-for-Sale, Carried at Lower of Cost or Fair Value: The Company records non-conforming jumbo mortgage loans held-for-sale and certain non-residential mortgage loans held-of-sale at the lower of cost or fair value, on an aggregate basis. The Company obtains fair values from a third party independent valuation service provider. Loans held-for-sale accounted for at the lower of cost or fair value are considered to be recognized at fair value when they are recorded at below cost, on an aggregate basis, and are classified as Level 2. SBA Servicing Assets: SBA servicing assets represent the value associated with servicing SBA loans that have been sold. The fair value for SBA servicing assets is determined through a discounted cash flow analysis that utilizes estimated market yield and projected prepayment speeds as inputs. All of these assumptions require a significant degree of management estimation and judgment. The fair market valuation is performed on a quarterly basis for SBA servicing assets. SBA servicing assets are accounted for at the lower of cost or market value and considered to be recognized at fair value when they are recorded at below cost and are classified as Level 3. Other Real Estate Owned Assets: OREO assets initially are recorded at fair value at the time of foreclosure. Thereafter, they are recorded at the lower of cost or fair value. The fair value of other real estate owned assets is generally based on recent real estate appraisals adjusted for estimated selling costs. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments may be significant and result in a Level 3 classification due to the unobservable inputs used for determining fair value. Only OREO assets with a valuation allowance are considered to be carried at fair value. The Company recorded valuation allowance expense for OREO assets of $236 thousand , $31 thousand and $38 thousand , respectively, for the years ended December 31, 2017 , 2016 and 2015 in All Other Expense on the Consolidated Statements of Operations. The following table presents the Company’s financial assets and liabilities measured at fair value on a non-recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs December 31, 2017 Assets Impaired loans: SBA $ 174 — — $ 174 Other real estate owned: Single family residential 1,415 — — 1,415 December 31, 2016 Assets Impaired loans: Single family residential mortgage $ 2,956 $ — $ — $ 2,956 Other real estate owned: Single family residential 2,502 — — 2,502 The following table presents the gains and (losses) recognized on assets measured at fair value on a non-recurring basis for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Impaired loans: Single family residential mortgage $ (164 ) $ — $ — SBA (200 ) — 4 Other consumer (29 ) — — Other real estate owned Single family residential (284 ) (235 ) (15 ) Estimated Fair Values of Financial Instruments The following table presents the carrying amounts and estimated fair values of financial assets and liabilities as of the dates indicated: Carrying Amount Fair Value Measurement Level ($ in thousands) Level 1 Level 2 Level 3 Total December 31, 2017 Financial assets Cash and cash equivalents $ 387,699 $ 387,699 $ — $ — $ 387,699 Securities available-for-sale 2,575,469 — 2,575,469 — 2,575,469 Federal Home Loan Bank and other bank stock 75,654 — 75,654 — 75,654 Loans held-for-sale (1) 105,765 — 6,866 98,940 105,806 Loans and leases receivable, net of allowance 6,610,074 — — 6,601,767 6,601,767 Accrued interest receivable 35,355 35,355 — — 35,355 Derivative assets 1,005 — 1,005 — 1,005 Financial liabilities Deposits 7,292,903 — — 7,063,613 7,063,613 Advances from Federal Home Loan Bank 1,695,000 — 1,695,039 — 1,695,039 Long-term debt 172,941 — 180,560 — 180,560 Derivative liabilities 1,033 — 1,033 — 1,033 Accrued interest payable 7,321 7,321 — — 7,321 December 31, 2016 Financial assets Cash and cash equivalents $ 439,510 $ 439,510 $ — $ — $ 439,510 Time deposits in financial institutions 1,000 1,000 — — 1,000 Securities available-for-sale 2,381,488 — 2,381,488 — 2,381,488 Securities held-to-maturity 884,234 — 899,743 — 899,743 Federal Home Loan Bank and other bank stock 67,842 — 67,842 — 67,842 Loans held-for-sale (2) 704,651 — 652,928 58,260 711,188 Loans and leases receivable, net of allowance 5,994,308 — — 5,999,791 5,999,791 Accrued interest receivable 36,382 36,382 — — 36,382 Derivative assets 17,968 — 17,968 — 17,968 Financial liabilities Deposits 9,142,150 — — 8,908,406 8,908,406 Advances from Federal Home Loan Bank 490,000 — 490,351 — 490,351 Other borrowings 67,922 — 68,000 — 68,000 Long-term debt 175,378 — 174,006 — 174,006 Derivative liabilities 2,116 — 2,116 — 2,116 Accrued interest payable 4,114 4,114 — — 4,114 (1) Includes loans held-for-sale carried at fair value of $38.7 million ( $6.4 million at Level 2 and $32.3 million at Level 3) of discontinued operations (2) Includes loans held-for-sale carried at fair value of $406.3 million ( $348.1 million at Level 2 and $58.3 million at Level 3) of discontinued operations The methods and assumptions used to estimate fair value are described as follows: Cash and Cash Equivalents and Time Deposits in Financial Institutions: The carrying amounts of cash and cash equivalents and time deposits in financial institutions approximate fair value due to the short-term nature of these instruments (Level 1). Federal Home Loan Bank and Other Bank Stock: Federal Home Loan Bank and other bank stock are recorded at cost, which approximates fair value. Ownership of FHLB stock is restricted to member banks, and purchases and sales of these securities are at par value with the issuer (Level 2). Securities Held-to-Maturity: Investment securities that the Company has the ability and the intent to hold to maturity are classified as held-to-maturity. Investment securities classified as held-to-maturity are carried at amortized cost. The fair values of securities held-to-maturity are generally determined by quoted market prices in active markets, if available (Level 1). If quoted market prices are not available, the Company employs independent pricing services that utilize pricing models to calculate fair value. Such fair value measurements consider observable data such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and respective terms and conditions for debt instruments (Level 2). The Company employs procedures to monitor the pricing service's assumptions and establishes processes to challenge the pricing service's valuations that appear unusual or unexpected. When a market is illiquid or there is a lack of transparency around the inputs to valuation, the securities are classified as Level 3 and reliance is placed upon internally developed models, and management judgment and evaluation for valuation. The Company did not have any securities held-to-maturity at December 31, 2017. Loans and Leases Receivable, Net of ALLL: The fair value of loans and leases receivable is estimated based on the discounted cash flow approach. The discount rate was derived from the associated yield curve plus spreads and reflects the rates offered by the Bank for loans with similar financial characteristics. Yield curves are constructed by product and payment types. These rates could be different from what other financial institutions could offer for these loans. Additionally, the fair value of our loans may differ significantly from the values that would have been used had a ready market existed for such loans and may differ materially from the values that we may ultimately realize (Level 3). This method of estimating fair value does not incorporate the exit-price concept of fair value prescribed by ASC Topic 820. Accrued Interest Receivable: The carrying amount of accrued interest receivable approximates its fair value (Level 1). Deposits: The fair value of deposits is estimated based on discounted cash flows. The cash flows for non-maturity deposits, including savings accounts and money market checking, are estimated based on their historical decaying experiences. The discount rate used for fair valuation is based on interest rates currently being offered by the Bank on comparable deposits as to amount and term (Level 3). Advances from Federal Home Loan Bank and Other Borrowings: The fair values of advances from FHLB and other borrowings are estimated based on a discounted cash flow approach. The discount rate was derived from the current market rates for borrowings with similar remaining maturities (Level 2). Long-Term Debt: Fair value of long-term debt is determined by observable data such as market spreads, cash flows, yield curves, credit information, and respective terms and conditions for debt instruments (Level 2). Accrued Interest Payable: The carrying amount of accrued interest payable approximates its fair value (Level 1). |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | INVESTMENT SECURITIES The following table presents the amortized cost and fair value of the investment securities portfolio as of the dates indicated: ($ in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value December 31, 2017 Securities available-for-sale: SBA loan pool securities $ 1,056 $ 2 $ — $ 1,058 U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 492,255 10 (15,336 ) 476,929 Non-agency residential mortgage-backed securities 741 16 (1 ) 756 Non-agency commercial mortgage-backed securities 305,172 5,339 — 310,511 Collateralized loan obligations 1,691,455 11,129 (266 ) 1,702,318 Corporate debt securities 76,714 7,183 — 83,897 Total securities available-for-sale $ 2,567,393 $ 23,679 $ (15,603 ) $ 2,575,469 December 31, 2016 Securities held-to-maturity: Non-agency commercial mortgage-backed securities $ 305,918 $ 2,949 $ (1,781 ) $ 307,086 Collateralized loan obligations 338,226 1,461 (61 ) 339,626 Corporate debt securities 240,090 13,032 (91 ) 253,031 Total securities held-to-maturity $ 884,234 $ 17,442 $ (1,933 ) $ 899,743 Securities available-for-sale: SBA loan pool securities $ 1,221 $ — $ — $ 1,221 U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 830,682 9 (23,418 ) 807,273 Non-agency residential mortgage-backed securities 121,397 18 (4,238 ) 117,177 Collateralized loan obligations 1,395,094 12,449 (674 ) 1,406,869 Corporate debt securities 48,574 482 (108 ) 48,948 Total securities available-for-sale $ 2,396,968 $ 12,958 $ (28,438 ) $ 2,381,488 During the year ended December 31, 2017 , the Company evaluated its securities held-to-maturity and determined that certain securities no longer adhered to the Company’s strategic focus and could be sold or reinvested to potentially improve the Company’s liquidity position or duration profile. Accordingly, the Company was no longer able to assert that it had the intent to hold these securities until maturity. As a result, the Company transferred all $740.9 million of its held-to-maturity securities to available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $22.0 million at the time of the transfer, June 30, 2017. Due to the transfer, the Company’s ability to assert that it has both the intent and ability to hold debt securities to maturity will be limited for the foreseeable future. The following table presents amortized cost and fair value of the available-for-sale investment securities portfolio by expected maturity. In the case of mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities, expected maturities may differ from contractual maturities because borrowers generally have the right to call or prepay obligations with or without call or prepayment penalties. For that reason, mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities are not included in the maturity categories. December 31, 2017 ($ in thousands) Amortized Cost Fair Value Maturity: Within one year $ — $ — One to five years — — Five to ten years 76,714 83,897 Greater than ten years — — Mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities 2,490,679 2,491,572 Total $ 2,567,393 $ 2,575,469 At December 31, 2017 and 2016 , there were no holdings of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10 percent of stockholders’ equity. The following table presents proceeds from sales and calls of securities available-for-sale and the associated gross gains and losses realized through earnings upon the sales and calls of securities available-for-sale for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Gross realized gains on sales and calls of securities available-for-sale $ 14,768 $ 30,919 $ 3,260 Gross realized losses on sales and calls of securities available-for-sale — (1,514 ) (2 ) Net realized gains on sales and calls of securities available-for-sale $ 14,768 $ 29,405 $ 3,258 Proceeds from sales and calls of securities available-for-sale $ 1,500,459 $ 4,148,003 $ 989,786 Tax expense on sales and calls of securities available-for-sale $ 6,180 $ 12,218 $ 1,368 Investment securities with carrying values of $564.4 million and $581.8 million as of December 31, 2017 and 2016 , respectively, were pledged to secure FHLB advances, public deposits and for other purposes as required or permitted by law. The following table summarizes the investment securities with unrealized losses by security type and length of time in a continuous unrealized loss position as of the dates indicated: Less Than 12 Months 12 Months or Longer Total ($ in thousands) Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses December 31, 2017 Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 4,880 $ (35 ) $ 470,092 $ (15,301 ) $ 474,972 $ (15,336 ) Non-agency residential mortgage-backed securities — — 148 (1 ) 148 (1 ) Collateralized loan obligations 104,334 (266 ) — — 104,334 (266 ) Total securities available-for-sale $ 109,214 $ (301 ) $ 470,240 $ (15,302 ) $ 579,454 $ (15,603 ) December 31, 2016 Securities held-to-maturity: Non-agency commercial mortgage-backed securities $ 60,221 $ (1,781 ) $ — $ — $ 60,221 $ (1,781 ) Collateralized loan obligations 10,056 (6 ) 56,095 (55 ) 66,151 (61 ) Corporate debt securities 9,907 (91 ) — — 9,907 (91 ) Total securities held-to-maturity $ 80,184 $ (1,878 ) $ 56,095 $ (55 ) $ 136,279 $ (1,933 ) Securities available-for-sale: SBA loan pool securities $ 1,221 $ — $ — $ — $ 1,221 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 805,803 (23,410 ) 760 (8 ) 806,563 (23,418 ) Non-agency residential mortgage-backed securities 116,216 (4,238 ) 230 — 116,446 (4,238 ) Collateralized loan obligations 187,592 (674 ) — — 187,592 (674 ) Corporate debt securities — — 3,530 (108 ) 3,530 (108 ) Total securities available-for-sale $ 1,110,832 $ (28,322 ) $ 4,520 $ (116 ) $ 1,115,352 $ (28,438 ) The Company did not record OTTI for investment securities for the years ended December 31, 2017 , 2016 and 2015 . At December 31, 2017 , the Company’s securities available-for-sale portfolio consisted of 191 securities, 33 of which were in an unrealized loss position. At December 31, 2016, the Company’s securities available-for-sale portfolio consisted of 161 securities, 59 of which were in an unrealized loss position and securities held-to-maturity consisted of 87 securities, 15 of which were in an unrealized loss position. The Company monitors its securities portfolio to ensure it has adequate credit support. As of December 31, 2017 , the Company believed there was no OTTI and did not have the intent to sell its securities in an unrealized loss position and it is not likely that it will be required to sell these securities before their anticipated recovery. The Company considers the lowest credit rating for identification of potential OTTI. As of December 31, 2017 , all of the Company's investment securities in an unrealized loss position received an investment grade credit rating. |
LOANS AND LEASES AND ALLOWANCE
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES | LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES The following table presents the balances in the Company’s loans and leases portfolio as of the dates indicated: ($ in thousands) NTM Loans Traditional Loans and Leases Total NTM and Traditional Loans and Leases PCI Loans Total Loans and Leases Receivable December 31, 2017 Commercial: Commercial and industrial $ — $ 1,701,951 $ 1,701,951 $ — $ 1,701,951 Commercial real estate — 717,415 717,415 — 717,415 Multifamily — 1,816,141 1,816,141 — 1,816,141 SBA — 78,699 78,699 — 78,699 Construction — 182,960 182,960 — 182,960 Lease financing — 13 13 — 13 Consumer: Single family residential mortgage 721,158 1,252,294 1,973,452 — 1,973,452 Green Loans (HELOC) - first liens 82,197 — 82,197 — 82,197 Green Loans (HELOC) - second liens 3,578 — 3,578 — 3,578 Other consumer — 103,001 103,001 — 103,001 Total loans and leases $ 806,933 $ 5,852,474 $ 6,659,407 $ — $ 6,659,407 Percentage to total loans and leases 12.1 % 87.9 % 100.0 % — % 100.0 % Allowance for loan and lease losses (49,333 ) Loans and leases receivable, net $ 6,610,074 December 31, 2016 Commercial: Commercial and industrial $ — $ 1,518,200 $ 1,518,200 $ 4,760 $ 1,522,960 Commercial real estate — 728,777 728,777 1,182 729,959 Multifamily — 1,365,262 1,365,262 — 1,365,262 SBA — 71,168 71,168 2,672 73,840 Construction — 125,100 125,100 — 125,100 Lease financing — 379 379 — 379 Consumer: Single family residential mortgage 794,120 1,091,829 1,885,949 133,212 2,019,161 Green Loans (HELOC) - first liens 87,469 — 87,469 — 87,469 Green Loans (HELOC) - second liens 3,559 — 3,559 — 3,559 Other consumer — 107,063 107,063 — 107,063 Total loans and leases $ 885,148 $ 5,007,778 $ 5,892,926 $ 141,826 $ 6,034,752 Percentage to total loans and leases 14.7 % 83.0 % 97.7 % 2.3 % 100.0 % Allowance for loan and lease losses (40,444 ) Loans and leases receivable, net $ 5,994,308 Non-Traditional Mortgage Loans The Company’s NTM portfolio is comprised of three interest only products: Green Loans, Interest Only loans and a small number of additional loans with the potential for negative amortization. As of December 31, 2017 and 2016 , the NTM loans totaled $806.9 million , or 12.1 percent of total loans and leases, and $885.1 million , or 14.7 percent of total loans and leases, respectively. The total NTM portfolio decreased by $78.2 million , or 8.8 percent , during the year ended December 31, 2017 . The following table presents the composition of the NTM portfolio as of the dates indicated: December 31, 2017 2016 ($ in thousands) Count Amount Percent Count Amount Percent Green Loans (HELOC) - first liens 101 $ 82,197 10.2 % 107 $ 87,469 9.9 % Interest only - first liens 468 717,484 88.9 % 522 784,364 88.6 % Negative amortization 11 3,674 0.5 % 22 9,756 1.1 % Total NTM - first liens 580 803,355 99.6 % 651 881,589 99.6 % Green Loans (HELOC) - second liens 12 3,578 0.4 % 12 3,559 0.4 % Total NTM - second liens 12 3,578 0.4 % 12 3,559 0.4 % Total NTM loans 592 806,933 100.0 % 663 885,148 100.0 % Total loans and leases $ 6,659,407 $ 6,034,752 Percentage to total loans and leases 12.1 % 14.7 % Green Loans Green Loans are single family residential first and second mortgage lines of credit with a linked checking account that allows all types of deposits and withdrawals to be performed. The loans are generally interest only for a 15 -year term with a balloon payment due at maturity. At December 31, 2017 and 2016 , Green Loans totaled $85.8 million and $91.0 million , respectively. At December 31, 2017 and 2016 , none of the Company’s Green Loans were non-performing. As a result of their unique payment feature, Green Loans possess higher credit risk due to the potential for negative amortization; however, management believes the risk is mitigated through the Company’s loan terms and underwriting standards, including its policies on LTV ratios and the Company’s contractual ability to curtail loans when the value of the underlying collateral declines. The Company discontinued origination of the Green Loan products in 2011. Interest Only Loans Interest Only loans are primarily single family residential first mortgage loans with payment features that allow interest only payments in initial periods before converting to a fully amortizing loan. At December 31, 2017 and 2016 , Interest Only loans totaled $717.5 million and $784.4 million , respectively. At December 31, 2017 and 2016 , $1.2 million and $467 thousand of the Interest Only loans were non-performing, respectively. Loans with the Potential for Negative Amortization Negative amortization loans totaled $3.7 million and $9.8 million at December 31, 2017 and 2016 , respectively. The Company discontinued origination of negative amortization loans in 2007. At December 31, 2017 and 2016 , none of the loans with the potential for negative amortization were non-performing. These loans pose a potentially higher credit risk because of the lack of principal amortization and potential for negative amortization; however, management believes the risk is mitigated through the loan terms and underwriting standards, including the Company’s policies on LTV ratios. Risk Management of Non-Traditional Mortgages The Company has determined that significant performance indicators for NTMs are LTV ratios and FICO scores. Accordingly, the Company manages credit risk in the NTM portfolio through periodic review of the loan portfolio that includes refreshing FICO scores on the Green Loans and HELOCs, as needed in conjunction with portfolio management, and ordering third party AVMs. The loan review is designed to provide a method of identifying borrowers who may be experiencing financial difficulty before they actually fail to make a loan payment. Upon receipt of the updated FICO scores, an exception report is run to identify loans with a decrease in FICO score of 10 percent or more and/or a resulting FICO score of 620 or less. The loans are then further analyzed to determine if the risk rating should be downgraded, which will increase the reserves the Company will establish for potential losses. A report of the periodic loan review is published and regularly monitored. As these loans are revolving lines of credit, the Company, based on the loan agreement and loan covenants of the particular loan, as well as applicable rules and regulations, could suspend the borrowing privileges or reduce the credit limit at any time the Company reasonably believes that the borrower will be unable to fulfill their repayment obligations under the agreement or certain other conditions are met. In many cases, the decrease in FICO score is the first indication that the borrower may have difficulty in making their future payment obligations. The Company proactively manages the NTM portfolio by performing detailed analyses on the portfolio. The Company’s IARC meets at least quarterly to review the loans classified as special mention, substandard, or doubtful and determines whether a suspension or reduction in credit limit is warranted. If a line has been suspended and the borrower would like to have their credit privileges reinstated, they would need to provide updated financials showing their ability to meet their payment obligations. On the interest only loans, the Company projects future payment changes to determine if there will be a material increase in the required payment and then monitors the loans for possible delinquency. Individual loans are monitored for possible downgrading of risk rating. Non-Traditional Mortgage Performance Indicators The following table presents the Company’s Green Loans first lien portfolio at December 31, 2017 by FICO scores that were obtained during the quarter ended December 31, 2017 , comparing to the FICO scores for those same loans that were obtained during the quarter ended December 31, 2016 : December 31, 2017 By FICO Scores Obtained During the Quarter Ended December 31, 2017 By FICO Scores Obtained During the Quarter Ended December 31, 2016 Change ($ in thousands) Count Amount Percent Count Amount Percent Count Amount Percent FICO score 800+ 12 $ 7,737 9.4 % 15 $ 9,091 11.1 % (3 ) $ (1,354 ) (1.7 )% 700-799 57 42,397 51.6 % 50 38,486 46.8 % 7 3,911 4.8 % 600-699 23 23,467 28.5 % 28 27,420 33.3 % (5 ) (3,953 ) (4.8 )% <600 5 4,691 5.7 % 1 1,800 2.2 % 4 2,891 3.5 % No FICO score 4 3,905 4.8 % 7 5,400 6.6 % (3 ) (1,495 ) (1.8 )% Total 101 $ 82,197 100.0 % 101 $ 82,197 100.0 % — $ — — % Loan to Value Ratio LTV ratio represents estimated current loan to value ratio, determined by dividing current unpaid principal balance by latest estimated property value received per the Company policy. The table below represents the Company’s single family residential NTM first lien portfolio by LTV ratios as of the dates indicated: Green Interest Only Negative Amortization Total ($ in thousands) Count Amount Percent Count Amount Percent Count Amount Percent Count Amount Percent December 31, 2017 < 61 60 $ 51,241 62.3 % 242 $ 407,810 56.8 % 9 $ 2,826 76.9 % 311 $ 461,877 57.5 % 61-80 33 25,072 30.5 % 220 300,500 41.9 % 2 848 23.1 % 255 326,420 40.6 % 81-100 8 5,884 7.2 % 6 9,174 1.3 % — — — % 14 15,058 1.9 % > 100 — — — % — — — % — — — % — — — % Total 101 $ 82,197 100.0 % 468 $ 717,484 100.0 % 11 $ 3,674 100.0 % 580 $ 803,355 100.0 % December 31, 2016 < 61 45 $ 39,105 44.7 % 196 $ 336,744 42.9 % 16 $ 7,043 72.2 % 257 $ 382,892 43.4 % 61-80 52 41,732 47.7 % 306 434,269 55.4 % 6 2,713 27.8 % 364 478,714 54.3 % 81-100 10 6,632 7.6 % 8 8,828 1.1 % — — — % 18 15,460 1.8 % > 100 — — — % 12 4,523 0.6 % — — — % 12 4,523 0.5 % Total 107 $ 87,469 100.0 % 522 $ 784,364 100.0 % 22 $ 9,756 100.0 % 651 $ 881,589 100.0 % Allowance for Loan and Lease Losses The Company has established credit risk management processes that include regular management review of the loan and lease portfolio to identify problem loans and leases. During the ordinary course of business, management becomes aware of borrowers and lessees who may not be able to fulfill the contractual payment requirements of the loan and lease agreements. Such loans and leases are subject to increased monitoring. Consideration is given to placing the loan or lease on non-accrual status, assessing the need for additional ALLL, and partial or full charge-off of the principal balance. The Company maintains the ALLL at a level that is considered adequate to cover the estimated inherent risks in the loan and lease portfolio. The Company also maintains a separate reserve for unfunded loan commitments at a level that is considered adequate to cover the estimated inherent risks. The estimated funding of the loan commitments and credit risk factors determined based on outstanding loans that share similar credit risk exposure are used to determine the adequacy of the reserve. At December 31, 2017 and 2016 , the reserve for unfunded loan commitments was $3.7 million and $2.4 million , respectively. The credit risk monitoring system is designed to identify impaired and potential problem loans, and to perform periodic evaluation of impairment and the adequacy of the allowance for credit losses in a timely manner. In addition, the Board of Directors of the Bank has adopted a credit policy that includes a credit review and control system that it believes should be effective in ensuring that the Company maintains an adequate allowance for loan and lease losses. The Board of Directors also provides oversight and guidance for management’s allowance evaluation process. During the three months ended March 31, 2017, the Company, as part of its continuous evaluation of the ALLL methodology and assumptions, determined that it was appropriate to change from a rolling 28 -quarter look-back period to a cumulative look-back period with a pegged (fixed) starting point (the quarter ended March 31, 2008). The Company believes that an extended period of observed credit loss stability warranted the review of a longer historical period that captured a full credit cycle. Accordingly, as of December 31, 2017 , the Company's look-back period was extended to 39 -quarters. The Company further enhanced the methodology in the areas of qualitative adjustments and loan segmentation during the second quarter of 2017, and performed an annual update of the loss emergence period during the third quarter of 2017. These updates were designed to be systematic, transparent, and repeatable. The annual update of the loss emergence period resulted in an increase of $1.9 million in the ALLL at September 30, 2017. The updates on qualitative adjustments and loan segmentation did not have a material impact. The following table presents a summary of activity in the ALLL for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 40,444 $ 35,533 $ 29,480 Loans and leases charged-off (5,581 ) (2,618 ) (1,942 ) Recoveries of loans and leases previously charged off 771 2,258 526 Provision for loan and lease losses 13,699 5,271 7,469 Balance at end of year $ 49,333 $ 40,444 $ 35,533 The following table presents the activity and balance in the ALLL and the recorded investment, excluding accrued interest, in loans and leases by portfolio segment and is based on the impairment method as of or for the year ended December 31, 2017 : ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Lease Financing Single Family Residential Mortgage Other Consumer Total ALLL: Balance at December 31, 2016 $ 7,584 $ 5,467 $ 11,376 $ 939 $ 2,015 $ 6 $ 12,075 $ 982 $ 40,444 Charge-offs (1,730 ) (113 ) — (625 ) (29 ) — (2,806 ) (278 ) (5,581 ) Recoveries 54 — — 422 — 32 1 262 771 Provision 8,372 (383 ) 1,889 965 1,332 (38 ) 1,726 (164 ) 13,699 Balance at December 31, 2017 $ 14,280 $ 4,971 $ 13,265 $ 1,701 $ 3,318 $ — $ 10,996 $ 802 $ 49,333 Individually evaluated for impairment $ 498 $ — $ — $ 435 $ — $ — $ 277 $ 7 $ 1,217 Collectively evaluated for impairment 13,782 4,971 13,265 1,266 3,318 — 10,719 795 48,116 Acquired with deteriorated credit quality — — — — — — — — — Total ending ALLL $ 14,280 $ 4,971 $ 13,265 $ 1,701 $ 3,318 $ — $ 10,996 $ 802 $ 49,333 Loans and leases: Individually evaluated for impairment $ 3,582 $ — $ — $ 944 $ — $ — $ 14,699 $ 4,825 $ 24,050 Collectively evaluated for impairment 1,698,369 717,415 1,816,141 77,755 182,960 13 2,040,950 101,754 6,635,357 Acquired with deteriorated credit quality — — — — — — — — — Total loans and leases $ 1,701,951 $ 717,415 $ 1,816,141 $ 78,699 $ 182,960 $ 13 $ 2,055,649 $ 106,579 $ 6,659,407 The following table presents the activity and balance in the ALLL and the recorded investment, excluding accrued interest, in loans and leases by portfolio segment and is based on the impairment method as of or for the year ended December 31, 2016 : ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Lease Financing Single Family Residential Mortgage Other Consumer Total ALLL: Balance at December 31, 2015 $ 5,850 $ 4,252 $ 6,012 $ 683 $ 1,530 $ 2,195 $ 13,854 $ 1,157 $ 35,533 Charge-offs (166 ) (414 ) — — — (974 ) (1,057 ) (7 ) (2,618 ) Recoveries 225 807 169 500 — 283 248 26 2,258 Provision 1,675 822 5,195 (244 ) 485 (1,498 ) (970 ) (194 ) 5,271 Balance at December 31, 2016 $ 7,584 $ 5,467 $ 11,376 $ 939 $ 2,015 $ 6 $ 12,075 $ 982 $ 40,444 Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ 243 $ — $ 243 Collectively evaluated for impairment 7,584 5,462 11,376 920 2,015 6 11,752 982 40,097 Acquired with deteriorated credit quality — 5 — 19 — — 80 — 104 Total ending ALLL $ 7,584 $ 5,467 $ 11,376 $ 939 $ 2,015 $ 6 $ 12,075 $ 982 $ 40,444 Loans and leases: Individually evaluated for impairment $ 2,429 $ — $ — $ — $ — $ — $ 10,629 $ 294 $ 13,352 Collectively evaluated for impairment 1,515,771 728,777 1,365,262 71,168 125,100 379 1,962,789 110,328 5,879,574 Acquired with deteriorated credit quality 4,760 1,182 — 2,672 — — 133,212 — 141,826 Total loans and leases $ 1,522,960 $ 729,959 $ 1,365,262 $ 73,840 $ 125,100 $ 379 $ 2,106,630 $ 110,622 $ 6,034,752 The following table presents loans and leases individually evaluated for impairment by class of loans and leases as of the dates indicated. The recorded investment, excluding accrued interest, presents customer balances net of any partial charge-offs recognized on the loans and leases and net of any deferred fees and costs. December 31, 2017 2016 ($ in thousands) Unpaid Principal Balance Recorded Investment Allowance for Loan and Lease Losses Unpaid Principal Balance Recorded Investment Allowance for Loan and Lease Losses With no related allowance recorded: Commercial: Commercial and industrial $ 471 $ 453 $ — $ 2,478 $ 2,429 $ — SBA 342 335 — — — — Consumer: Single family residential mortgage 7,521 7,553 — 8,865 8,887 — Other consumer 4,664 4,663 — 294 294 — With an allowance recorded: Commercial: Commercial and industrial 3,146 3,129 498 — — — SBA 635 609 435 — — — Consumer: Single family residential mortgage 7,090 7,146 277 1,772 1,742 243 Other consumer 157 162 7 — — — Total $ 24,026 $ 24,050 $ 1,217 $ 13,409 $ 13,352 $ 243 The following table presents information on impaired loans and leases, disaggregated by class, for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Commercial: Commercial and industrial $ 1,034 $ — $ — $ 3,490 $ 183 $ 208 $ 6,750 $ 305 $ 302 Commercial real estate — — — 148 24 24 353 37 37 Multifamily — — — — — — 395 13 15 SBA 357 — — — — — 7 2 — Construction 382 — — — — — — — — Lease Financing 19 — — — — — — — — Consumer: Single family residential mortgage 12,611 199 182 27,150 862 835 25,093 869 885 Other consumer 1,757 8 8 294 8 9 424 12 13 Total $ 16,158 $ 207 $ 190 $ 31,081 $ 1,077 $ 1,076 $ 33,022 $ 1,238 $ 1,252 Past Due Loans and Leases The following table presents the aging of the recorded investment in past due loans and leases as of December 31, 2017 , excluding accrued interest receivable (which is not considered to be material), by class of loans and leases: December 31, 2017 ($ in thousands) 30 - 59 Days Past Due 60 - 89 Days Past Due Greater than 89 Days Past due Total Past Due Current Total NTM loans: Single family residential mortgage $ 3,353 $ 1,587 $ 1,171 $ 6,111 $ 715,047 $ 721,158 Green Loans (HELOC) - first liens 5,707 292 — 5,999 76,198 82,197 Green Loans (HELOC) - second liens — — — — 3,578 3,578 Other consumer — — — — — — Total NTM loans 9,060 1,879 1,171 12,110 794,823 806,933 Traditional loans and leases: Commercial: Commercial and industrial 136 3,595 948 4,679 1,697,272 1,701,951 Commercial real estate — — — — 717,415 717,415 Multifamily — — — — 1,816,141 1,816,141 SBA 3,578 — 1,319 4,897 73,802 78,699 Construction — — — — 182,960 182,960 Lease financing — — — — 13 13 Consumer: Single family residential mortgage 6,862 3,370 6,012 16,244 1,236,050 1,252,294 Other consumer 3,194 413 92 3,699 99,302 103,001 Total traditional loans and leases 13,770 7,378 8,371 29,519 5,822,955 5,852,474 PCI loans: Commercial: Commercial and industrial — — — — — — Commercial real estate — — — — — — SBA — — — — — — Consumer: Single family residential mortgage — — — — — — Total PCI loans — — — — — — Total loans and leases $ 22,830 $ 9,257 $ 9,542 $ 41,629 $ 6,617,778 $ 6,659,407 The following table presents the aging of the recorded investment in past due loans and leases as of December 31, 2016 , excluding accrued interest receivable (which is not considered to be material), by class of loans and leases: December 31, 2016 ($ in thousands) 30 - 59 Days Past Due 60 - 89 Days Past Due Greater than 89 Days Past due Total Past Due Current Total NTM loans: Single family residential mortgage $ 4,193 $ — $ 467 $ 4,660 $ 789,460 $ 794,120 Green Loans (HELOC) - first liens — — — — 87,469 87,469 Green Loans (HELOC) - second liens — — — — 3,559 3,559 Other consumer — — — — — — Total NTM loans 4,193 — 467 4,660 880,488 885,148 Traditional loans and leases: Commercial: Commercial and industrial 412 463 3,385 4,260 1,513,940 1,518,200 Commercial real estate — — — — 728,777 728,777 Multifamily — — — — 1,365,262 1,365,262 SBA 15 2 482 499 70,669 71,168 Construction 1,529 — — 1,529 123,571 125,100 Lease financing — — 109 109 270 379 Consumer: Single family residential mortgage 11,225 1,345 9,393 21,963 1,069,866 1,091,829 Other consumer 10,023 933 382 11,338 95,725 107,063 Total traditional loans and leases 23,204 2,743 13,751 39,698 4,968,080 5,007,778 PCI loans: Commercial: Commercial and industrial — — 156 156 4,604 4,760 Commercial real estate — — — — 1,182 1,182 SBA 300 232 328 860 1,812 2,672 Consumer: Single family residential mortgage 10,483 4,063 2,093 16,639 116,573 133,212 Total PCI loans 10,783 4,295 2,577 17,655 124,171 141,826 Total loans and leases $ 38,180 $ 7,038 $ 16,795 $ 62,013 $ 5,972,739 $ 6,034,752 Non-accrual Loans and Leases The following table presents the composition of non-accrual loans and leases, excluding PCI loans, as of the dates indicated: December 31, 2017 2016 ($ in thousands) NTM Loans Traditional Loans and Leases Total NTM Loans Traditional Loans and Leases Total Commercial: Commercial and industrial $ — $ 3,723 $ 3,723 $ — $ 3,544 $ 3,544 SBA — 1,781 1,781 — 619 619 Lease financing — — — — 109 109 Consumer: Single family residential mortgage 1,171 8,176 9,347 467 9,820 10,287 Other consumer — 4,531 4,531 — 383 383 Total $ 1,171 $ 18,211 $ 19,382 $ 467 $ 14,475 $ 14,942 At December 31, 2017 and 2016 , none of loans were past due 90 days or more and still accruing. Loans in Process of Foreclosure At December 31, 2017 and 2016 , the Company's SFR mortgage loans of $4.3 million and $2.2 million , respectively, were in the process of foreclosure. Troubled Debt Restructurings A modification of a loan constitutes a TDR when the Company, for economic or legal reasons related to a borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider. The concessions may be granted in various forms, including reduction in the stated interest rate, reduction in the amount of principal amortization, forgiveness of a portion of the loan balance or accrued interest, or extension of the maturity date. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Company’s internal underwriting policy. Troubled debt restructured loans and leases consist of the following as of the dates indicated: December 31, 2017 2016 ($ in thousands) NTM Loans Traditional Loans Total NTM Loans Traditional Loans Total Commercial: Commercial and industrial $ — $ 2,675 $ 2,675 $ — $ — $ — Consumer: Single family residential mortgage 471 2,653 3,124 853 1,440 2,293 Green Loans (HELOC) - first liens 2,228 — 2,228 2,240 — 2,240 Green Loans (HELOC) - second liens 294 — 294 294 — 294 Total $ 2,993 $ 5,328 $ 8,321 $ 3,387 $ 1,440 $ 4,827 The Company did not have any commitments to lend to customers with outstanding loans that were classified as troubled debt restructurings as of December 31, 2017 and 2016 . The following table summarizes the pre-modification and post-modification balances of the new TDRs for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial: Commercial and industrial 1 $ 2,706 $ 2,706 — — $ — $ — $ — $ — Consumer: Single family residential mortgage 3 $ 2,416 $ 2,433 42 $ 10,278 $ 10,273 13 $ 4,571 $ 4,493 Other consumer — — — — — — 1 261 259 Total 4 $ 5,122 $ 5,139 42 10,278 $ 10,273 $ 14 $ 4,832 $ 4,752 For the years ended December 31, 2017 , 2016 , and 2015 , there were no loans and leases that were modified as TDRs during the past 12 months that had subsequent payment defaults during the periods. The following table summarizes the TDRs by modification type for the periods indicated: Modification Type Change in Principal Payments and Interest Rates Change in Principal Payments Change in Interest Rates Chapter 7 Bankruptcy Other Total ($ in thousands) Count Amount Count Amount Count Amount Count Amount Count Amount Count Amount Year ended December 31, 2017 Commercial: Commercial and industrial — $ — 1 $ 2,706 — $ — — $ — — $ — 1 $ 2,706 Consumer: Single family residential mortgage 2 1,290 1 1,143 — — — — — — 3 2,433 Total 2 $ 1,290 2 $ 3,849 — $ — — $ — — $ — 4 $ 5,139 Year ended December 31, 2016 Consumer: Single family residential mortgage 34 $ 8,622 4 $ 780 2 $ 146 1 $ 519 1 $ 206 42 $ 10,273 Total 34 $ 8,622 4 $ 780 2 $ 146 1 $ 519 1 $ 206 42 $ 10,273 Year ended December 31, 2015 Consumer: Single family residential mortgage — $ — — $ — — $ — 13 $ 4,493 — $ — 13 $ 4,493 Other consumer — — — — — — 1 259 — — 1 259 Total — $ — — $ — — $ — 14 $ 4,752 — $ — 14 $ 4,752 Credit Quality Indicators The Company categorizes loans and leases into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company performs historical loss analysis that is combined with a comprehensive loan or lease to value analysis to analyze the associated risks in the current loan and lease portfolio. The Company analyzes loans and leases individually by classifying the loans and leases as to credit risk. This analysis includes all loans and leases delinquent over 60 days and non-homogeneous loans and leases such as commercial and commercial real estate loans and leases. The Company uses the following definitions for risk ratings: Pass : Loans and leases classified as pass are in compliance in all respects with the Bank’s credit policy and regulatory requirements, and do not exhibit any potential or defined weakness as defined under “Special Mention”, “Substandard” or “Doubtful”. Special Mention : Loans and leases classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or lease or of the Company’s credit position at some future date. Substandard : Loans and leases classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans and leases so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful : Loans and leases classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Not-Rated : When accrual of income on a pool of PCI loans with common risk characteristics is appropriate in accordance with ASC 310-30, individual loans in those pools are not risk-rated. The credit criteria evaluated are FICO scores, LTV ratios, delinquency, and actual cash flows versus expected cash flows of the loan pools. Loans and leases not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans and leases. The following table presents the risk categories for total loans and leases as of December 31, 2017 : December 31, 2017 ($ in thousands) Pass Special Mention Substandard Doubtful Not-Rated Total NTM loans: Single family residential mortgage $ 719,182 $ 805 $ 1,171 $ — $ — $ 721,158 Green Loans (HELOC) - first liens 81,407 790 — — — 82,197 Green Loans (HELOC) - second liens 3,578 — — — — 3,578 Other consumer — — — — — — Total NTM loans 804,167 1,595 1,171 — — 806,933 Traditional loans and leases: Commercial: Commercial and industrial 1,651,628 33,376 16,947 — — 1,701,951 Commercial real estate 713,131 — 4,284 — — 717,415 Multifamily 1,815,601 540 — — — 1,816,141 SBA 72,417 1,555 4,621 106 — 78,699 Construction 182,960 — — — — 182,960 Lease financing 13 — — — — 13 Consumer: Single family residential mortgage 1,240,866 2,282 9,146 — — 1,252,294 Other consumer 98,030 422 4,549 — — 103,001 Total traditional loans and leases 5,774,646 38,175 39,547 106 — 5,852,474 PCI loans: Commercial: Commercial and industrial — — — — — — Commercial real estate — — — — — — SBA — — — — — — Consumer: Single family residential mortgage — — — — — — Total PCI loans — — — — — — Total loans and leases $ 6,578,813 $ 39,770 $ 40,718 $ 106 $ — $ 6,659,407 The following table presents the risk categories for total loans and leases as of December 31, 2016 : December 31, 2016 ($ in thousands) Pass Special Mention Substandard Doubtful Not-Rated Total NTM loans: Single family residential mortgage $ 792,179 $ 1,474 $ 467 $ — $ — $ 794,120 Green Loans (HELOC) - first liens 85,460 2,009 — — — 87,469 Green Loans (HELOC) - second liens 3,559 — — — — 3,559 Other consumer — — — — — — Total NTM loans 881,198 3,483 467 — — 885,148 Traditional loans and leases: Commercial: Commercial and industrial 1,508,636 844 8,642 78 — 1,518,200 Commercial real estate 725,861 1,350 1,566 — — 728,777 Multifamily 1,365,262 — — — — 1,365,262 SBA 70,508 — 660 — — 71,168 Construction 123,571 1,529 — — — 125,100 Lease financing 270 — 109 — — 379 Consumer: Single family residential mortgage 1,080,664 950 10,215 — — 1,091,829 Other consumer 106,632 48 383 — — 107,063 Total traditional loans and leases 4,981,404 4,721 21,575 78 — 5,007,778 PCI loans: Commercial: Commercial and industrial — 4,056 704 — — 4,760 Commercial real estate 1,182 — — — — 1,182 SBA 1,268 — 1,404 — — 2,672 Consumer: Single family residential mortgage — — — — 133,212 133,212 Total PCI loans 2,450 4,056 2,108 — 133,212 141,826 Total loans and leases $ 5,865,052 $ 12,260 $ 24,150 $ 78 $ 133,212 $ 6,034,752 Purchases, Sales, and Transfers The following table presents loans and leases purchased and/or sold by portfolio segment, excluding loans held-for-sale, loans and leases acquired in business combinations or sold in sales of branches and business units, and PCI loans for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Purchases Sales Purchases Sales Purchases Sales Commercial: Multifamily $ — $ — $ — $ — $ — $ (242,580 ) SBA — — — — — (3,599 ) Lease financing — — 91,247 (19,741 ) 127,043 — Consumer: Single family residential mortgage — — — (149,413 ) 49,488 (165,915 ) Total $ — $ — $ 91,247 $ (169,154 ) $ 176,531 $ (412,094 ) The Company purchased the above loans and leases at a net discount of $0 , $0 , and $1.4 million for the years ended December 31, 2017 , 2016 , and 2015 , respectively. For the purchased loans and leases disclosed above, the Company did not incur any specific allowances for loan and lease losses during the years ended December 31, 2017 , 2016 , and 2015 . The Company determined that it was probable at acquisition that all contractually required payments would be collected. The sales of loans and leases above exclude the transfer of lease financing totaling $242.7 million in the sale of the Commercial Equipment Finance business unit to Hanmi during the year ended December 31, 2016 and certain loans of $40.2 million sold to AUB as part of the branch sale transaction during the year ended December 31, 2015. See Note 2 for additional information. The following table presents loans and leases transferred from (to) loans held-for-sale by portfolio segment, excluding loans and leases transferred in connection with sales of branch and business unit, and PCI loans for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Transfers from Held-For-Sale Transfers to Held-For-Sale Transfers from Held-For-Sale Transfers to Held-For-Sale Transfers from Held-For-Sale Transfers to Held-For-Sale Commercial: Commercial and industrial $ — $ (3,924 ) $ — $ (1,7 |
PREMISES, EQUIPMENT, AND CAPITA
PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET | PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET The following table presents the summary of premises, equipment, and capital lease, net, as of the dates indicated: December 31, ($ in thousands) 2017 2016 Land $ 10,160 $ 11,130 Building and improvement 110,168 87,393 Furniture, fixtures, and equipment 36,946 45,581 Leasehold improvements 12,807 16,034 Construction in process 175 20,435 Total 170,256 180,573 Less accumulated depreciation (34,557 ) (36,956 ) Premises, equipment, and capital lease, net $ 135,699 $ 143,617 On March 30, 2017, the Company completed the sale of specific assets and activities related to its Banc Home Loans division. The transaction included net book values of $1.7 million of furniture, fixtures, and equipment and $748 thousand of leasehold improvements at the transaction date. On May 5, 2016, the Company completed the sale of all of its membership interests in The Palisades Group. The transaction included net book values of $88 thousand of furniture, fixtures, and equipment and $57 thousand of leasehold improvements at the transaction date. On November 12, 2015, the Company purchased a certain real property located at 3 MacArthur Place, Santa Ana, California at a purchase price of approximately $77.0 million in cash. On September 25, 2015, the Company sold two branch locations to AUB. The transaction included net book values of $47 thousand of leasehold improvements and $30 thousand of furniture, fixtures, and equipment at the transaction date. On June 25, 2015, the Company sold an improved real property office complex located at 1588 South Coast Drive, Costa Mesa, California (the Property) at a sale price of approximately $52.3 million with a gain on sale of $9.9 million . The Property had a book value of $42.3 million at the sale date. Additionally, the Company incurred selling costs of $2.3 million for this transaction, which were reported in Professional Fees and All Other Expenses on the Consolidated Statements of Operations for the year ended December 31, 2015. During the years ended December 31, 2017 and 2016 , the Company recorded an impairment loss of $2.0 million and $595 thousand , respectively, on previously capitalized software projects in All Other Expense on the Consolidated Statements of Operations. There were no impairment losses on premises, equipment, and capital leases for the years ended December 31, 2015. The Company recognized depreciation expense of $12.4 million , $11.7 million and $9.2 million for the years ended December 31, 2017 , 2016 , and 2015 , respectively. The Company leases certain equipment under capital leases. Capital leases totaled $1.5 million and $1.4 million at December 31, 2017 and 2016 , respectively. The capital lease arrangements require monthly payments through 2020 . The Company leases certain properties under operating leases. Total rent expense for the years ended December 31, 2017 , 2016 , and 2015 amounted to $11.0 million , $16.8 million and $16.4 million , respectively. Pursuant to the terms of non-cancellable lease agreements in effect at December 31, 2017 pertaining to banking premises and equipment, future minimum rent commitments under various operating leases are as follows, before considering renewal options that generally are present. The following table presents the future commitments under operating leases and capital leases as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Commitments under operating leases $ 6,833 $ 5,651 $ 5,175 $ 3,576 $ 7,189 $ 28,424 Commitments under capital lease 527 503 430 — — 1,460 Total $ 7,360 $ 6,154 $ 5,605 $ 3,576 $ 7,189 $ 29,884 |
SERVICING RIGHTS
SERVICING RIGHTS | 12 Months Ended |
Dec. 31, 2017 | |
Transfers and Servicing [Abstract] | |
SERVICING RIGHTS | SERVICING RIGHTS The Company retains MSRs from certain of its sales of residential mortgage loans. MSRs on residential mortgage loans are reported at fair value. Income earned by the Company on its MSRs is derived primarily from contractually specified mortgage servicing fees and late fees, net of curtailment costs and third party subservicing costs. The Company retains servicing rights in connection with its SBA loan operations, which are measured using the amortization method. The following table presents a composition of total income from servicing rights, which is reported in Loan Servicing Income on the Consolidated Statements of Operations, on a consolidated operations basis, for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Servicing fees for sold loans with servicing retained $ 19,642 $ 23,117 $ 11,739 Losses on the fair value and runoff of servicing rights (17,066 ) (17,732 ) (8,765 ) Total income from servicing rights $ 2,576 $ 5,385 $ 2,974 During the year ended December 31, 2016, the Company entered into a flow-agreement establishing general terms for the purchase and sale to a third party MSR investor in connection with residential mortgage loan sales to GSEs. The flow-agreement allowed the Company to sell its MSRs to a third party MSR investor contemporaneous with the Company’s sales of its servicing retained residential mortgages to the GSEs. Accordingly, entering into the flow-agreement reduced the impact of volatility associated with the Company's MSRs by allowing the Company to sell its MSRs immediately, thus reducing the Company's exposure to market and other conditions. During the three months ended March 31, 2017, the Company suspended sales of MSRs under the flow-agreement. The Company does not expect to resume sales under the flow-agreement, as the Company has discontinued its Mortgage Banking segment operations. The following table presents a composition of servicing rights as of the dates indicated: December 31, ($ in thousands) 2017 2016 Mortgage servicing rights, at fair value $ 31,852 $ 76,121 SBA servicing rights, at cost 1,856 1,496 Total $ 33,708 $ 77,617 Mortgage loans sold with servicing retained are not reported as assets and are subserviced by a third party vendor. The unpaid principal balance of these loans at December 31, 2017 and 2016 was $3.94 billion and $7.58 billion , respectively. Custodial escrow balances maintained in connection with serviced loans were $17.8 million and $34.2 million at December 31, 2017 and 2016 , respectively. The reductions in these balances were principally driven by the sale of $37.8 million of MSRs during the year ended December 31, 2017 as a part of discontinued operations. Mortgage Servicing Rights At December 31, 2017, MSRs held-for-sale of $29.8 million were valued based on a market bid adjusted for value associated with early payoffs and paydowns and included as Level 3 fair value. The following table presents the key characteristics, inputs and economic assumptions used to estimate the Level 3 fair value of the MSRs, other than the MSRs held-for-sale, as of the dates indicated: December 31, ($ in thousands) 2017 2016 Fair value of retained MSRs $ 2,059 $ 76,121 Discount rate 13.00 % 10.18 % Constant prepayment rate 16.54 % 11.84 % Weighted-average life 5.07 years 6.50 years The following table presents activity in the MSRs for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 76,121 $ 49,939 $ 19,082 Additions 12,127 49,293 45,263 Changes in fair value resulting from valuation inputs or assumptions (10,240 ) (5,709 ) (3,568 ) Sales of servicing rights (1) (39,345 ) (5,382 ) (5,862 ) Other—loans paid off (6,811 ) (12,020 ) (4,976 ) Balance at end of year $ 31,852 $ 76,121 $ 49,939 (1) Includes $37.8 million of MSRs sold as a part of discontinued operations for the year ended December 31, 2017. SBA Servicing Rights The Company used a discount rate of 8.50 percent to calculate the present value of cash flows and an estimated prepayment speed based on prepayment data available. Discount rates and prepayment speeds are reviewed quarterly and adjusted as appropriate. The following table presents activity in the SBA servicing rights for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 1,496 $ 788 $ 484 Additions 761 877 597 Amortization, including prepayments (318 ) (157 ) (71 ) Impairment (83 ) (12 ) (222 ) Balance at end of year $ 1,856 $ 1,496 $ 788 |
OTHER REAL ESTATE OWNED
OTHER REAL ESTATE OWNED | 12 Months Ended |
Dec. 31, 2017 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |
OTHER REAL ESTATE OWNED | OTHER REAL ESTATE OWNED The following table presents the activity in other real estate owned for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 2,502 $ 1,097 $ 423 Additions 3,086 3,269 1,598 Sales and net direct write-downs (3,556 ) (1,833 ) (886 ) Net change in valuation allowance (236 ) (31 ) (38 ) Balance at end of year $ 1,796 $ 2,502 $ 1,097 The following table presents the activity in the other real estate owned valuation allowance for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 6 $ 70 $ 32 Additions 242 31 38 Net direct write-downs and removals from sale (6 ) (95 ) — Balance at end of year $ 242 $ 6 $ 70 The following table presents expenses related to foreclosed assets included in All Other Expense on the Consolidated Statements of Operations for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Net (loss) gain on sales $ (48 ) $ (96 ) $ 23 Operating expenses, net of rental income (51 ) (108 ) — Total $ (99 ) $ (204 ) $ 23 The Company did not provide loans to finance the purchase of its OREO properties during the years ended December 31, 2017 , 2016 or 2015 . |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS, NET | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS, NET | GOODWILL AND OTHER INTANGIBLE ASSETS, NET At December 31, 2017 and 2016 , the Company had goodwill of $37.1 million and $39.2 million , respectively. The following table presents changes in the carrying amount of goodwill for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Goodwill balance at beginning of the year $ 39,244 $ 39,244 $ 31,591 Goodwill adjustments for purchase accounting — — 7,653 Goodwill adjustments for discontinued operations (2,100 ) — — Goodwill balance at end of year $ 37,144 $ 39,244 $ 39,244 Accumulated impairment losses at end of year $ 2,100 $ — $ — Goodwill was allocated between the Commercial Banking and Mortgage Banking segments using a relative fair value approach in connection with the Company's realignment of segment reporting at December 31, 2014. The carrying values of goodwill allocated to the reportable segments were $37.1 million and $2.1 million to the Commercial Banking segment and Mortgage Banking segment, respectively, at December 31, 2016. During the year ended December 31, 2017 , the Company discontinued its mortgage banking operations and wrote off goodwill of $2.1 million , which was previously allocated to its Mortgage Banking segment, against the gain on disposal of discontinued operations. See Note 2 for additional information. During the year ended December 31, 2015, the Company made goodwill adjustments of $7.7 million related to the finalization of accounting adjustments for the BPNA Branch Acquisition, which was completed on November 8, 2014. The Company conducts its evaluation of goodwill impairment as of August 31 each year, and more frequently if events or circumstances indicate that there may be impairment. The Company completed its annual goodwill impairment test (Step 0) as of August 31, 2017 and determined that no goodwill impairment existed. Core deposit intangibles are amortized over their useful lives ranging from four to ten years. As of December 31, 2017 , the weighted-average remaining amortization period for core deposit intangibles was approximately 6.0 years . The following table presents a summary of other intangible assets as of the dates indicated: ($ in thousands) Gross Carrying Value Accumulated Amortization Net Carrying Value December 31, 2017 Core deposit intangibles $ 30,904 $ 21,551 $ 9,353 December 31, 2016 Core deposit intangibles $ 30,904 $ 17,656 $ 13,248 Customer relationship intangible 670 391 279 Trade name intangibles 90 — 90 The Company recorded impairment on intangible assets of $336 thousand , $690 thousand , and $258 thousand for the years ended December 31, 2017 , 2016 , and 2015 , respectively. During the year ended December 31, 2017, the Company also wrote off a customer relationship intangible of $246 thousand and a trade name intangible of $90 thousand related to RenovationReady. RenovationReady was acquired by the Company in 2014 and provided specialized loan services to financial institutions and mortgage bankers that originate agency eligible residential renovation and construction loan products. During the year ended December 31, 2016, the Company ceased to use the CS Financial trade name and wrote off the related trade name intangible of $690 thousand . CS Financial is a mortgage banking firm, which is the Bank's wholly owned subsidiary and which the Bank acquired in 2013. During the year ended December 31, 2015, the Company wrote off a portion of core deposit intangibles on noninterest-bearing demand deposits and money market accounts acquired through the BPNA Branch Acquisition of $258 thousand , as these deposits were transferred in connection with the sale of two branches to AUB. The impairment losses recognized related to intangible assets are recorded in Impairment on Intangible Assets on the Consolidated Statements of Operations. Aggregate amortization of intangible assets was $3.9 million , $4.9 million and $5.8 million for the years ended December 31, 2017 , 2016 , and 2015 , respectively. The following table presents estimated future amortization expenses as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Estimated future amortization expense $ 3,007 $ 2,195 $ 1,518 $ 1,081 $ 1,552 $ 9,353 |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2017 | |
Deposits [Abstract] | |
DEPOSITS | DEPOSITS The following table presents the components of deposits as of the dates indicated: December 31, ($ in thousands) 2017 2016 Noninterest-bearing deposits $ 1,071,608 $ 1,282,629 Interest-bearing deposits Interest-bearing demand deposits 2,089,016 2,048,839 Money market accounts 1,146,859 2,731,314 Savings accounts 1,059,628 1,118,175 Certificates of deposit of $250,000 or less 1,365,452 1,550,235 Certificates of deposit of more than $250,000 560,340 410,958 Total interest-bearing deposits 6,221,295 7,859,521 Total deposits $ 7,292,903 $ 9,142,150 The aggregate amount of deposits reclassified as loans, such as overdrafts, was $978 thousand and $587 thousand , respectively, at December 31, 2017 and 2016 . The Company had California State Treasurer’s deposits of $250.0 million , and accrued interests on these deposits, in certificates of deposit of more than $250,000 at December 31, 2017 and 2016 . The California State Treasurer’s deposits are subject to withdrawal based on the State’s periodic evaluations. At December 31, 2017 and 2016 , the Company provided letters of credit of $275.0 million through the FHLB of San Francisco as collateral for the California State Treasurer’s deposits. In addition, the Company had other public deposits of $4.0 million and $30.6 million , respectively, at December 31, 2017 and 2016 . Securities with carrying values of $32.7 million and $34.7 million , respectively, were pledged as collateral for these deposits, at December 31, 2017 and 2016 . At December 31, 2017 and 2016 , the Company had brokered deposits of $1.46 billion and $2.25 billion , respectively. The following table presents a summary of brokered deposits: December 31, ($ in thousands) 2017 2016 Interest-bearing demand deposits $ 8,751 $ 8,587 Money market accounts 532,047 1,031,598 Certificates of deposit of $250,000 or less 915,623 1,207,053 Certificates of deposit of more than $250,000 — 744 Total brokered deposits $ 1,456,421 $ 2,247,982 The following table presents scheduled maturities of certificates of deposit as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Certificates of deposit of $250,000 or less $ 1,275,449 $ 79,600 $ 5,615 $ 1,401 $ 3,387 $ 1,365,452 Certificates of deposit of more than $250,000 484,034 67,822 5,340 2,394 750 560,340 Total certificates of deposit $ 1,759,483 $ 147,422 $ 10,955 $ 3,795 $ 4,137 $ 1,925,792 |
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS | FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS At December 31, 2017 , $550.0 million of the Bank's advances from FHLB were fixed rate and had interest rates ranging from 1.23 percent to 3.00 percent with a weighted-average interest rate of 2.02 percent , and $1.15 billion of the Bank's advances from FHLB were variable rate and had a weighted-average interest rate of 1.40 percent from the FHLB. At December 31, 2016 , $150.0 million of the Bank’s advances from the FHLB were fixed rate and had interest rates ranging from 0.69 percent to 1.61 percent with a weighted-average interest rate of 1.02 percent , and $340.0 million of the Bank’s advances from the FHLB were variable-rate and had a weighted-average interest rate of 0.52 percent . The following table presents contractual maturities by year of the Bank's advances as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Fixed rate $ 125,000 $ 125,000 $ 100,000 $ 100,000 $ 100,000 $ 550,000 Variable rate 1,145,000 — — — — 1,145,000 Total $ 1,270,000 $ 125,000 $ 100,000 $ 100,000 $ 100,000 $ 1,695,000 Each advance is payable at its maturity date. Advances paid early are subject to a prepayment penalty. At December 31, 2017 and 2016 , the Bank’s advances from the FHLB were collateralized by certain real estate loans with an aggregate unpaid principal balance of $2.90 billion and $3.27 billion , respectively, and securities with carrying values of $405.6 million and $321.0 million , respectively. The Bank’s investment in capital stock of the FHLB of San Francisco totaled $48.7 million and $41.9 million , respectively, at December 31, 2017 and 2016 . Based on this collateral and the Bank’s holdings of FHLB stock, the Bank was eligible to borrow an additional $873.1 million at December 31, 2017 . The following table presents financial data of FHLB advances as of the dates or for the periods indicated: As of or For the Year Ended December 31, ($ in thousands) 2017 2016 2015 Weighted-average interest rate at end of year 1.60 % 0.67 % 0.40 % Average interest rate during the year 1.23 % 0.49 % 0.38 % Average balance $ 1,054,978 $ 1,153,208 $ 553,162 Maximum amount outstanding at any month-end $ 1,695,000 $ 1,990,000 $ 1,355,000 Balance at end of year $ 1,695,000 $ 490,000 $ 930,000 The Bank maintained a line of credit of $63.2 million from the Federal Reserve Discount Window, to which the Bank pledged securities with a carrying value of $101.2 million with no outstanding borrowings at December 31, 2017 . The Bank maintained available unsecured federal funds lines with correspondent banks totaling $210.0 million at December 31, 2017 . The Bank also maintained repurchase agreements and had no outstanding securities sold under agreements to repurchase at December 31, 2017 and 2016 . Availabilities and terms on repurchase agreements are subject to the counterparties' discretion and pledging additional investment securities. On June 30, 2017, the Company voluntarily terminated a line of credit of $75.0 million that was maintained at Banc of California, Inc. with an unaffiliated financial institution. The line had a maturity date of July 17, 2017 and a floating interest rate equal to a LIBOR rate plus 2.25 percent or the Prime Rate. The Company had $50.0 million of borrowings outstanding under the line, which were repaid in connection with the termination of the line. The proceeds of the line were used for working capital purposes. |
LONG-TERM DEBT
LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | LONG-TERM DEBT The following table presents the Company's long-term debts as of the dates indicated: December 31, 2017 2016 ($ in thousands) Par Value Discount Par Value Discount 5.25% senior notes due April 15, 2025 $ 175,000 $ (2,059 ) $ 175,000 $ (2,281 ) 7.50% junior subordinated amortizing notes due May 15, 2017 — — 2,684 (25 ) Total $ 175,000 $ (2,059 ) $ 177,684 $ (2,306 ) Senior Notes On April 6, 2015, the Company completed the issuance and sale of $175.0 million aggregate principal amount of its 5.25 percent senior notes due April 15, 2025 (the Senior Notes). Net proceeds after discounts were approximately $172.8 million . The Senior Notes are the Company’s senior unsecured debt obligations and rank equally with all of the Company’s other present and future unsecured unsubordinated obligations. The Company makes interest payments on the Senior Notes semi-annually in arrears. The Company may, at its option, on or after January 15, 2025 (i.e., 90 days prior to the maturity date of the Senior Notes), redeem the Senior Notes in whole at any time or in part from time to time, in each case on not less than 30 nor more than 60 days’ prior notice. The Senior Notes will be redeemable at a redemption price equal to 100 percent of the principal amount of the Senior Notes to be redeemed plus accrued and unpaid interest to the date of redemption. The Senior Notes were issued under the Senior Debt Securities Indenture, dated as of April 23, 2012 (the Base Indenture), as supplemented by the Second Supplemental Indenture dated as of April 6, 2015 (the Supplemental Indenture and together with the Base Indenture, the Indenture). The Indenture contains several covenants which, among other things, restrict the Company’s ability and the ability of the Company’s subsidiaries to dispose of or incur liens on the voting stock of certain subsidiaries and also contains customary events of default. On April 15, 2016, the Company completed the redemption of all of its outstanding 7.50 percent senior notes due April 15, 2020 at a redemption price of 100 percent of the principal amount plus accrued and unpaid interest to the redemption date. In connection with this transaction, the Company recognized a debt redemption cost of $2.7 million in All Other Expense on the Consolidated Statements of Operations for the year ended December 31, 2016 . Tangible Equity Units - Junior Subordinated Amortizing Notes On May 21, 2014, the Company issued and sold $69.0 million of 8.00 percent tangible equity units (TEUs) in an underwritten public offering. A total of 1,380,000 TEUs were issued, including 180,000 TEUs issued to the underwriter upon exercise of its overallotment option, with each TEU having a stated amount of $50.00 . Each TEU was comprised of (i) a prepaid stock purchase contract (each a Purchase Contract) settled by delivery of a specified number of shares of Company Common Stock and (ii) a junior subordinated amortizing note due May 15, 2017 (each an Amortizing Note) that had an initial principal amount of $10.604556 per Amortizing Note, bore interest at a rate of 7.50 percent per annum and had a final installment payment date of May 15, 2017. The Purchase Contracts and Amortizing Notes were accounted for separately. The Purchase Contract component of the TEUs was recorded in Additional Paid in Capital on the Consolidated Statements of Financial Condition. The Amortizing Note component was recorded in Long-Term Debt on the Consolidated Statements of Financial Condition. The relative fair values of the Amortizing Notes and Purchase Contracts were estimated to be approximately $14.6 million and $54.4 million , respectively, at the date of issuance. Total issuance costs associated with the TEUs were $4.0 million (including the underwriter discount of $3.3 million ), of which $857 thousand was allocated to the debt component and $3.2 million was allocated to the equity component of the TEUs. The portion of the issuance costs allocated to the debt component of the TEUs was amortized over the term of the Amortizing Notes. On each August 15, November 15, February 15 and May 15, commencing on August 15, 2014, the Company paid holders of Amortizing Notes equal quarterly cash installments of $1.00 per Amortizing Note (or, in the case of the installment payment due on August 15, 2014, $0.933333 per Amortizing Note) (such installments, the installment payments), which installment payments in the aggregate were equivalent to a 8.00 percent cash distribution per year with respect to each $50.00 stated amount of TEUs. Each installment payment constituted a payment of interest (at a rate of 7.50 percent per annum) and a partial repayment of principal on each Amortizing Note. On May 15, 2017, the Company made the final installment payment on the Amortizing Notes and all Purchase Contracts that had not previously been settled were settled. See Note 18 for additional information. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The following table presents the components of income tax expense (benefit) of continuing operations for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Current income taxes: Federal $ (2,215 ) $ (3,044 ) $ 16,681 State 6,006 11,180 4,088 Total current income tax expense 3,791 8,136 20,769 Deferred income taxes: Federal (25,938 ) 6,699 4,754 State (4,434 ) (1,086 ) 2,525 Total deferred income tax expense (30,372 ) 5,613 7,279 Change in valuation allowance — — — Income tax expense (benefit) $ (26,581 ) $ 13,749 $ 28,048 The following table presents a reconciliation of the recorded income tax expense (benefit) of continuing operations to the amount of taxes computed by applying the applicable statutory Federal income tax rate of 35.0 percent to earnings or loss before income taxes of continuing operations for the years ended December 31, 2017 , 2016 , and 2015 : Year Ended December 31, 2017 2016 2015 Computed expected income tax expense (benefit) at Federal statutory rate 35.0 % 35.0 % 35.0 % Increase (decrease) resulting from: Proportional amortization 5.1 % 0.4 % 1.1 % Other permanent book-tax differences (2.1 )% 0.2 % (0.1 )% State tax expense, net of federal benefit 3.7 % 6.4 % 5.9 % Income tax credits (149.5 )% (33.9 )% (0.9 )% Initial book-tax difference on investments in alternative energy partnership 24.9 % 5.8 % — % Write-off of Goodwill for discontinued operations 2.7 % — % — % Bank owned life insurance policies (3.0 )% (0.8 )% (0.5 )% Equity compensation windfall tax benefits (7.0 )% — % — % Remeasurement from the Tax Cuts and Jobs Act (7.8 )% — % — % Reserve for uncertain tax positions 1.9 % — % — % Other, net (2.7 )% 0.6 % 0.1 % Effective tax rates (98.8 )% 13.7 % 40.6 % The Company’s effective tax rate of continuing operations for the year ended December 31, 2017 was lower than the effective tax rate of continuing operations for the year ended December 31, 2016 due to recognition of an income tax benefit of $2.1 million from remeasurement of the Company’s deferred tax assets and liabilities as a result of the enactment of H.R. 1, originally known as the "Tax Cuts and Jobs Act", an income tax benefit of $2.2 million for excess tax benefits from stock compensation, and tax credits on investments in alternative energy partnerships of $38.2 million , partially offset by tax expense from tax basis reduction of $6.7 million related to investments in alternative energy partnerships for the year ended December 31, 2017 . The Company’s effective tax rate of continuing operations for the year ended December 31, 2016 was lower than the effective tax rate of continuing operations for the year ended December 31, 2015 due to the tax credits on investments in alternative energy partnerships of $33.4 million , partially offset by tax expense from tax basis reduction of $5.8 million related to investments in alternative energy partnerships for the year ended December 31, 2016. The Company uses the flow-through income statement method to account for the tax credits earned on investments in alternative energy partnerships. Under this method, the tax credits are recognized as a reduction to income tax expense and the initial book-tax difference in the basis of the investments are recognized as additional tax expense in the year they are earned. At December 31, 2017 , the Company had $2.7 million of available unused federal net operating loss (NOL) carryforwards that may be applied against future taxable income through 2031 .Utilization of these NOL carryforwards is subject to annual limitations set forth in Section 382 of the IRC. The tax attributes acquired in the Company's 2012 acquisitions of Beach Business Bank and Gateway Bancorp are subject to an annual IRC Section 382 limitation of $1.3 million and $474 thousand , respectively. In addition, as of December 31, 2017 and 2016, the Company had qualified affordable housing investments tax credit carryforwards of $849 thousand and $0 , research credit carryforwards of $320 thousand and $0 (net of reserve for uncertain tax positions), and alternative energy investment tax credit carryforwards of $26.2 million and $0 , respectively. All of these tax credits, if unused, will expire on December 31, 2037. At December 31, 2017 , the Company also had $10.5 million of unused state NOL carryforwards available to be applied against future state taxable income through 2031 . On December 22, 2017 , H.R. 1, originally known as the "Tax Cuts and Jobs Act" was enacted into law. The legislation provides for significant changes to the IRC that impact corporate taxation requirements, such as the reduction of the federal income tax rate for corporations from 35 percent to 21 percent and changes or limitations to certain tax deductions. The Company remeasured its deferred tax assets and liabilities based on the reduced federal corporate income tax rate of 21 percent . This remeasurement resulted in an income tax benefit of $2.1 million , which is included as a component of income tax expense from continuing operations. The following table presents the Company's deferred tax assets and deferred tax liabilities as of the dates indicated: December 31, ($ in thousands) 2017 2016 Deferred tax assets: Allowance for loan and lease losses $ 15,178 $ 18,921 Stock-based compensation expense 2,899 6,118 Accrued expenses 1,465 10,209 Reserve for loss on repurchased loans 2,031 3,426 Federal net operating losses 571 1,162 State net operating losses 871 810 Federal income tax credits 27,550 — Unrealized loss on securities available-for-sale — 6,438 Amortization of intangible assets 732 — Prior year state tax deduction 1,527 5,555 Other deferred tax assets 3,468 3,617 Total deferred tax assets 56,292 56,256 Deferred tax liabilities: Derivative instruments adjustment — (6,559 ) Investments in partnerships (237 ) (1,945 ) Mortgage servicing rights (9,337 ) (31,658 ) Amortization of intangible assets — (30 ) Deferred loan fees and costs (7,005 ) (2,760 ) Depreciation on premises and equipment (3,797 ) (129 ) Unrealized gain on securities available-for-sale (2,368 ) — Other deferred tax liabilities (2,474 ) (3,186 ) Total deferred tax liabilities (25,218 ) (46,267 ) Valuation allowance — — Net deferred tax assets $ 31,074 $ 9,989 Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all, of the deferred tax asset will not be realized. In assessing the realization of deferred tax assets, management will continue to evaluate both positive and negative evidence on a quarterly basis, including the existence of any cumulative losses in the current year and the prior two years, the amount of taxes paid in available carry-back years, and tax planning strategies. Based on this analysis, management determined that it was more likely than not that all of the deferred tax assets would be realized. Therefore, the Company recorded no valuation allowance against net deferred tax assets at December 31, 2017 and 2016 , respectively. During the year ended December 31, 2017 , estimated taxable income before utilization of NOLs of $46.2 million allowed the Company to utilize $474 thousand and $1.8 million , respectively, of federal and state NOLs (representing approximately 16.9 percent of the total NOLs included in the Company’s deferred tax assets), $12.0 million of alternative energy investment tax credits and $500 thousand of state research tax credits. The remaining NOLs are limited under IRC Section 382 and will expire if not used by 2031. In order to utilize all of its existing NOL carryover, the Company would only need taxable income of approximately $1.4 million in 2018 and approximately $474 thousand in each year from 2019 to 2031. The Company believes that the utilization of a significant portion of the NOL and tax credits in 2017, along with the Company’s projection of future taxable income should be considered significant positive evidence that the deferred tax assets will be realized in future periods. Taking all of the foregoing information into account, management believes that it is “more likely than not” that all of the Company’s federal and state net deferred assets will be realized in future years and that, as of December 31, 2017 , no valuation allowance against its federal and state deferred tax assets is required. ASC 740-10-25 relates to the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements. ASC 740-10-25 prescribes a threshold and a measurement process for recognizing in the financial statements a tax position taken or expected to be taken in a tax return and also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. The Company had unrecognized tax benefits of $1.0 million and $0 , respectively, at December 31, 2017 and 2016 . The Company does not believe that the unrecognized tax benefits will change within the next twelve months. As of December 31, 2017 , the total unrecognized tax benefit that, if recognized, would impact the effective tax rate was $1.0 million . At December 31, 2017 and 2016 , the Company had no accrued interest or penalties, respectively. The table below summarizes the activity related to the Company's unrecognized tax benefits for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Beginning balance $ — $ — $ 5,421 (Decrease) increase related to prior year tax positions 867 — (5,421 ) Increase in current year tax positions 180 — — Ending balance $ 1,047 $ — $ — In the event the Company is assessed interest and/or penalties by federal or state tax authorities, such amounts will be classified on the consolidated financial statements as income tax expense. The Company and its subsidiaries are subject to U.S. federal income tax as well as income tax in multiple state jurisdictions. The Company is no longer subject to examination by U.S. federal taxing authorities for years before 2014. The statute of limitations for the assessment of California franchise taxes has expired for tax years before 2013 (other state income and franchise tax statutes of limitations vary by state). The Company accounts for qualified affordable housing investments under the proportional amortization method. The cumulative funded contributions to these limited partnerships amounted to $29.3 million and the unfunded portion was $15.6 million at December 31, 2017. The balances of these investments were $22.0 million and $23.2 million as of December 31, 2017 and 2016, respectively. The Company utilized $1.7 million of tax deductions from these investments in 2017, but $849 thousand of low income housing tax credits generated in 2017 were limited and not utilized in 2017. Thus, there were $849 thousand of unused tax credits carryforward as of December 31, 2017. Tax expense from the amortization of the recorded investments under the proportional amortization method amounted to $1.4 million , $394 thousand and $727 thousand for the years ended December 31, 2017, 2016 and 2015, respectively. The Company adopted ASU 2016-09 during the three months ended March 31, 2017. As a result of the adoption, the Company recorded $2.2 million of income tax benefits for the year ended December 31, 2017 related to excess tax benefits from stock compensation. Prior to 2017, such excess tax benefits were generally recorded directly in stockholders’ equity. This new accounting standard may increase the volatility in the Company’s effective tax rates. |
RESERVE FOR LOSS ON REPURCHASED
RESERVE FOR LOSS ON REPURCHASED LOANS | 12 Months Ended |
Dec. 31, 2017 | |
Mortgage Banking Activities [Abstract] | |
RESERVE FOR LOSS ON REPURCHASED LOANS | RESERVE FOR LOSS ON REPURCHASED LOANS The Company records a representation and warranty reserve representing its estimate of losses expected on mortgage loan repurchases or loss reimbursements attributable to underwriting or documentation defects on previously sold loans. The reserve for loss on repurchased loans is initially recorded at fair value against net revenue on mortgage banking activities at the time of sale, and any subsequent change in the reserve is recorded on the Consolidated Statements of Operations as an increase or decrease to the provision for loan repurchases (noninterest expense). The following table presents a summary of activity in the reserve for losses on repurchased loans for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 7,974 $ 9,700 $ 8,303 Initial provision for loan repurchases 1,622 3,942 2,026 Subsequent change in the reserve (1,812 ) (3,352 ) 2,326 Utilization of reserve for loan repurchases (2,238 ) (2,316 ) (3,801 ) Other adjustments 760 — 846 Balance at end of year $ 6,306 $ 7,974 $ 9,700 The Company believes that all known or probable and estimable demands were adequately reserved for at December 31, 2017 . |
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS | DERIVATIVE INSTRUMENTS The Company uses derivative instruments and other risk management techniques to reduce its exposure to adverse fluctuations in interest rates and foreign currency exchange rates in accordance with its risk management policies. Derivative Instruments Related to Mortgage Banking Activities: In connection with mortgage banking activities, if interest rates increase, the value of the Company’s loan commitments to borrowers and mortgage loans held-for-sale are adversely impacted. The Company attempts to economically hedge the risk of the overall change in the fair value of loan commitments to borrowers and mortgage loans held-for-sale with forward loan sale contracts and TBA mortgage-backed securities trades. Forward contracts on loan sale commitments, TBA mortgage-based securities trades, and loan commitments to borrowers are non-designated derivative instruments and the gains and losses resulting from these derivative instruments are included in Net Revenue on Mortgage Banking Activities in the Statement of Operations of discontinued operations. The fair value of resulting derivative assets and liabilities are included in Other Assets and Accrued Expenses and Other Liabilities, respectively, in the Statement of Financial Condition of discontinued operations. The net gains (losses) relating to these derivative instruments used for mortgage banking activities, which were included in Net Revenue on Mortgage Banking Activities in the Statement of Operations of discontinued operations, were $(12.4) million , $2.2 million and $(8.0) million for the years ended December 31, 2017 , 2016 and 2015 , respectively. At December 31, 2017 , the Company had no outstanding derivative instruments related to mortgage banking activities. Interest Rate Swaps on Deposits and Other Borrowings: On September 30, 2013 and January 30, 2015 , the Company entered into pay-fixed, receive-variable interest-rate swap contracts for the notional amounts of $50.0 million and $25.0 million , respectively, with maturity dates of September 27, 2018 and January 30, 2022 , respectively. These swap contracts were entered into with institutional counterparties to hedge against variability in cash flows attributable to interest rate risk caused by changes in the LIBOR benchmark interest rate on the Company’s ongoing LIBOR based variable rate deposits and borrowings. During the year ended December 31, 2016, the Company terminated all of its interest rate swaps, which had an aggregate notional amount of $75.0 million . During the year ended December 31, 2015, the Company exited the underlying hedged items related to interest rate swaps designated as cash flow hedges. As a result, the Company discontinued hedge accounting related to these interest rate swaps and reclassified the fair value of these derivatives of $918 thousand from AOCI into earnings. Interest Rate Swaps and Caps on Loans: The Company offers interest rate swap and cap products to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. When such products are issued, the Company also enters into an offsetting swap with institutional counterparties to eliminate the interest rate risk. These back-to-back agreements are intended to offset each other and allow the Company to retain the credit risk of the transaction with its customer in exchange for a fee. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer plus the fee. These swaps and caps are not designated as hedging instruments and are recorded at fair value in Other Assets and Accrued Expenses and Other Liabilities on the Consolidated Statement of Financial Condition. The changes in fair value are recorded in Other Income on the Consolidated Statements of Operations. During the years ended December 31, 2017 , 2016 and 2015 , changes in fair value recorded through Other Income on the Consolidated Statements of Operations were insignificant. Foreign Exchange Contracts: The Company offers short-term foreign exchange contracts to its customers to purchase and/or sell foreign currencies at set rates in the future. These products allow customers to hedge the foreign exchange rate risk of their deposits and loans denominated in foreign currencies. In conjunction with these products the Company also enters into offsetting contracts with institutional counterparties to hedge the Company’s foreign exchange rate risk. These back-to-back contracts allow the Company to offer its customers foreign exchange products while minimizing its exposure to foreign exchange rate fluctuations. These foreign exchange contracts are not designated as hedging instruments and are recorded at fair value in Other Assets and Accrued Expenses and Other Liabilities on the Consolidated Statement of Financial Condition. At December 31, 2017 , the Company had no outstanding foreign exchange contracts. The following table presents the notional amount and fair value of derivative instruments included on the Consolidated Statements of Financial Condition as of the dates indicated. Note 3 contains further disclosures pertaining to the fair value of mortgage banking derivatives. December 31, 2017 2016 ($ in thousands) Notional Amount Fair Value Notional Amount Fair Value Included in assets: Interest rate lock commitments (1) $ — $ — $ 289,637 $ 8,317 Mandatory forward commitments (1) — — 537,476 8,897 Interest rate swaps and cap on loans 70,486 1,005 46,346 707 Foreign exchange contracts — — 4,236 47 Total included in assets $ 70,486 $ 1,005 $ 877,695 $ 17,968 Included in liabilities: Interest rate lock commitments (1) $ — $ — $ 22,945 $ 231 Mandatory forward commitments (1) — — 265,322 1,212 Interest rate swaps and caps on loans 70,486 1,033 46,346 655 Foreign exchange contracts — — 4,207 18 Total included in liabilities $ 70,486 $ 1,033 $ 338,820 $ 2,116 (1) Derivative instruments related to mortgage banking activities (discontinued operations). The Company has entered into agreements with counterparty financial institutions, which include master netting agreements that provide for the net settlement of all contracts with a single counterparty in the event of default. However, the Company elected to account for all derivatives with counterparty institutions on a gross basis. Due to clearinghouse rule changes, beginning January 1, 2017, variation margin payments are treated as settlements of derivative exposure rather than as collateral. |
EMPLOYEE STOCK COMPENSATION
EMPLOYEE STOCK COMPENSATION | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
EMPLOYEE STOCK COMPENSATION | EMPLOYEE STOCK COMPENSATION The Company issues stock-based compensation awards to its directors and employees from the Company's 2013 Omnibus Stock Incentive Plan (2013 Omnibus Plan). The 2013 Omnibus Plan provides that the aggregate number of shares of the Company's common stock that may be subject to awards will be 20 percent of the then outstanding shares of Company common stock (the Share Limit), provided that in no event will the Share Limit be less than the greater of 2,384,711 shares of Company common stock and the aggregate number of shares of Company common stock with respect to which awards have been properly granted under the 2013 Omnibus Plan up to that point in time. As of December 31, 2017 , based on the number of shares then registered for issuance under the 2013 Omnibus Plan, 1,277,247 shares were available for future awards. On December 28, 2017, the Company initiated the termination of the Banc of California Capital and Liquidity Enhancement Employee Compensation Trust (the SECT) that was established to fund employee stock compensation and benefit obligations of the Company. See Note 18 for additional information. Stock-based Compensation Expense The following table presents stock-based compensation expense and the related tax benefits for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Stock options $ 360 $ 531 $ 528 Restricted stock awards and units 11,732 11,398 8,598 Stock appreciation rights 42 18 202 Total stock-based compensation expense $ 12,134 $ 11,947 $ 9,328 Related tax benefits $ 5,078 $ 4,963 $ 3,922 The following table presents unrecognized stock-based compensation expense as of December 31, 2017 : ($ in thousands) Unrecognized Expense Weighted-Average Remaining Expected Recognition Period Stock option awards $ 267 2.3 years Restricted stock awards and restricted stock units 9,762 2.5 years Total $ 10,029 2.5 years Stock Options The Company has issued stock options to certain employees, officers and directors. Stock options are issued at the closing market price immediately before the grant date, and generally have a three to five year vesting period and contractual terms of seven to ten years. The Company recognizes an income tax deduction upon exercise of the stock option by the option holder in an amount equal to the taxable income reported by the option holders. The option holder recognize taxable income based on the closing market price immediately before the exercise date less the exercise price stated in the grant agreement. The weighted-average estimated fair value per share options granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions. Year Ended December 31, ($ in thousands, except per share data) 2017 2016 2015 Granted date fair value of options granted $ — $ 1,630 $ 729 Fair value of options vested $ 611 $ 497 $ 481 Total intrinsic value of options exercised $ 3,747 $ 722 $ 75 Cash received from options exercised $ 2,043 $ — $ 501 Weighted-average estimated fair value per share of options granted $ — $ 5.09 $ 3.76 Expected volatility was determined based on the historical monthly volatility of our stock price over a period equal to the expected term of the options granted. The expected term of the options represents the period that options granted are expected to be outstanding based primarily on the historical exercise behavior associated with previous options grants. The risk-free interest rate was based on the U.S. Treasury yield curve at the time of grant for a period equal to the expected term of the options granted. The following table presents a summary of weighted-average assumptions used for calculating fair value options for the periods indicated: Year Ended December 31, 2017 2016 2015 Dividend yield — % 3.57 % 4.14 % Expected volatility — % 43.30 % 43.04 % Expected term 0.0 years 6.5 years 6.4 years Risk-free interest rate — % 1.61 % 1.68 % The following table represents stock option activity and weighted-average exercise price per share for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 968,591 $ 13.95 960,879 $ 12.86 879,070 $ 12.67 Granted — $ — 320,000 $ 16.78 193,696 $ 13.28 Cash settled — $ — 55,826 $ 14.33 — $ — Exercised (488,281 ) $ 12.53 (51,666 ) $ 11.48 (43,333 ) $ 11.55 Forfeited (269,337 ) $ 16.49 (202,743 ) $ 13.84 (68,554 ) $ 12.38 Expired — $ — (2,053 ) $ 13.88 — $ — Outstanding at end of year 210,973 $ 13.99 968,591 $ 13.95 960,879 $ 12.86 Exercisable at end of year 105,541 $ 14.68 449,655 $ 12.68 394,613 $ 12.70 The following table represents changes in unvested stock options and related information as of and for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 518,936 $ 15.04 566,266 $ 12.99 552,672 $ 12.74 Granted — $ — 320,000 $ 16.77 193,696 $ 13.28 Vested (174,833 ) $ 14.10 (170,837 ) $ 12.81 (170,102 ) $ 12.57 Forfeited (238,671 ) $ 16.50 (196,493 ) $ 13.86 (10,000 ) $ 12.03 Outstanding at end of year 105,432 $ 13.31 518,936 $ 15.04 566,266 $ 12.99 The following table presents a summary of stock options outstanding as of December 31, 2017 : Options Outstanding Options Exercisable Number of Shares Intrinsic Value Weighted-Average Exercise Price per Share Weighted-Average Remaining Contractual Life Number of Shares Intrinsic Value Weighted-Average Exercise Price per Share Weighted-Average Remaining Contractual Life $10.89 to $12.21 7,344 $ 71,604 $ 10.90 6.5 years 4,400 $ 42,900 $ 10.90 6.5 years $12.21 to $13.53 116,000 853,760 $ 13.29 7.4 years 32,000 235,520 $ 13.29 7.4 years $13.53 to $14.85 47,464 325,502 $ 13.79 6.6 years 28,976 198,334 $ 13.81 6.3 years $14.85 to $16.17 16,165 78,239 $ 15.81 3.5 years 16,165 78,239 $ 15.81 3.5 years $16.17 to $17.50 24,000 75,600 $ 17.50 8.2 years 24,000 75,600 $ 17.50 8.2 years Total 210,973 $ 1,404,705 $ 13.99 7.0 years 105,541 $ 630,593 $ 14.68 6.6 years Restricted Stock Awards and Restricted Stock Units The Company also has granted restricted stock awards and restricted stock units to certain employees, officers and directors. The restricted stock awards and units are valued at the closing price of the Company’s stock on the date of award. The restricted stock awards and units fully vest after a specified period (generally ranging from one to five years ) of continued service from the date of grant plus, in some cases, the satisfaction of performance conditions. The Company recognizes an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted stock, generally upon vesting or, in the case of restricted stock units, when settled. The following table presents unvested restricted stock awards and restricted stock units activity as of and for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Price per Share Number of Shares Weighted-Average Price per Share Number of Shares Weighted-Average Price per Share Outstanding at beginning of year 1,417,144 $ 16.16 1,516,361 $ 12.40 1,287,302 $ 12.53 Granted (1) (2) 859,722 $ 20.81 1,711,968 $ 17.99 930,830 $ 12.31 Vested (1) (3) (854,031 ) $ 15.95 (758,999 ) $ 13.12 (451,196 ) $ 12.64 Forfeited (1) (4) (511,202 ) $ 17.80 (1,052,186 ) $ 13.92 (250,575 ) $ 12.29 Outstanding at end of year 911,633 $ 18.73 1,417,144 $ 16.16 1,516,361 $ 12.40 (1) The vesting of these awards is subject to certain performance targets and goals being met. These performance targets include conditions relating to the Company’s profitability and regulatory standing. The actual amounts of stock released upon vesting will be determined by the Compensation Committee of the Company's Board of Directors upon the Committee's certification of the satisfaction of the target level of performance. (2) The number of granted shares/units includes aggregate performance-based shares of 152,709 , 602,671 and 62,552 , respectively, for the years ended December 31, 2017 , 2016 and 2015 . (3) The number of vested shares includes aggregate performance-based shares/units of 10,000 , 0 and 0 , respectively, for the years ended December 31, 2017 , 2016 and 2015 (4) The number of forfeited shares includes aggregate performance-based shares/units of 107,545 , 615,223 and 0 , respectively, for the years ended December 31, 2017 , 2016 and 2015 . Stock Appreciation Rights On August 21, 2012, the Company granted to Steven A. Sugarman, its then- (now former) chief executive officer a ten -year stock appreciation right (SAR) for 500,000 shares (Initial SAR) of the Company’s common stock with a base price of $12.12 per share with one-third of the Initial SAR vesting on the grant date and the remaining amount vesting over a period of 2 years . The Initial SAR entitles Mr. Sugarman to dividend equivalent rights and originally contained an anti-dilution provision pursuant to which additional SARs (Additional SARs) were issued to Mr. Sugarman upon certain stock issuances by the Company, as described below. On March 24, 2016, concurrent with entering into a new employment agreement with the Company, Mr. Sugarman entered into a letter agreement that eliminated this anti-dilution provision of the Initial SAR. Under the terms of the March 24, 2016 letter agreement, in consideration of the removal of the anti-dilution provision of the Initial SAR, the Company granted Mr. Sugarman a onetime performance based restricted stock award with an aggregate grant date fair market value of $5.0 million , which would vest in full on March 24, 2017, but was also subject to restrictions on sale or transfer through March 24, 2021. In connection with Mr. Sugarman’s resignation as the Company’s chief executive officer on January 23, 2017, all unvested equity awards (including any unvested SARs) immediately vested and became free of all restrictions. In addition, the SARs continued (and continue) to remain exercisable for their full terms, with dividend equivalent rights of the SARs also continuing in effect during their full terms. As described more fully in the SAR agreement, the original anti-dilution provision of the Initial SAR did not apply to certain issuances of the Company’s common stock for compensatory purposes, but did apply to certain other issuances of the Company’s common stock, including the issuances of common stock to raise capital. Pursuant to this anti-dilution provision, the Company issued Additional SARs to the former chief executive officer with a base price determined as of each date of issuance, but otherwise with the same terms and conditions as the Initial SAR, except for an Additional SAR granted relating to a public offering of the Company’s TEUs on May 21, 2014 that has different terms (Additional TEU SAR). Regarding the Additional TEU SAR, each TEU contained a Purchase Contract that could be settled in shares of the Company’s voting common stock based on a maximum settlement rate (subject to adjustment) and a minimum settlement rate (subject to adjustment) as more fully described under Note 18. The Additional TEU SAR was calculated using the initial maximum settlement rate and, therefore, the number of shares underlying the Additional TEU SAR was subject to adjustment and forfeiture if the aggregate number of shares of stock issued in settlement of any single Purchase Contract was less than the initial maximum settlement rate. By its original terms, the Additional TEU SAR was to vest in full on May 15, 2017 or accelerate in vesting upon early settlement of a Purchase Contract at the holders' option, and until it vested, the Additional TEU SAR was to have no dividend equivalent rights and the shares underlying the Additional TEU SAR were subject to forfeiture. The weighted-average estimated fair value per share of SARs granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions. Year Ended December 31, 2017 2016 2015 Dividend yield — % — % — % Expected volatility — % — % 23.79 % Expected term 0.0 years 0.0 years 2.0 years Risk-free interest rate — % — % 0.64 % Weighted-average estimated fair value per share of SARs granted $ — $ — $ 1.72 The following table represents SARs activity and the weighted-average exercise price per share for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 1,559,047 $ 11.60 1,561,681 $ 11.60 1,575,394 $ 11.58 Granted — $ — — $ — 2,973 $ 12.27 Exercised — $ — — $ — — $ — Forfeited (35 ) $ 10.09 (2,634 ) $ 10.09 (16,686 ) $ 10.09 Outstanding at end of year 1,559,012 $ 11.60 1,559,047 $ 11.60 1,561,681 $ 11.60 Exercisable at end of year 1,559,012 $ 11.60 1,550,978 $ 11.61 1,535,718 $ 11.63 The following table represents changes in unvested SARs and related information as of and for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 8,069 $ 10.09 25,963 $ 10.09 147,589 $ 10.09 Granted — $ — — $ — 2,973 $ 12.27 Vested (8,034 ) $ 10.09 (15,260 ) $ 10.09 (107,913 ) $ 10.15 Forfeited (35 ) $ 10.09 (2,634 ) $ 10.09 (16,686 ) $ 10.09 Outstanding at end of year — $ — 8,069 $ 10.09 25,963 $ 10.09 |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS The Company has a 401(k) plan whereby all employees generally can participate in the plan. Employees may contribute up to 100 percent of their compensation subject to certain limits based on federal tax laws. The Company makes an enhanced safe-harbor matching contribution that equals to 100 percent of the first 4 percent of the employee’s deferral rate not to exceed 4 percent of the employee’s compensation. The safe-harbor matching contribution is fully vested by the participant when made. For the years ended December 31, 2017 , 2016 and 2015 , expense attributable to 401(k) plans amounted to $3.1 million , $3.9 million and $3.6 million , respectively. The Company has adopted a Deferred Compensation Plan under Section 401 of the IRC. The purpose of this plan is to provide specified benefits to a select group of management and highly compensated employees. Participants may elect to defer compensation, which accrues interest quarterly at the Prime Rate as of the last business day of the prior quarter. The Company does not make contributions to the Plan. Employee Equity Ownership Plan The Company established the Employee Equity Ownership Plan (EEOP) effective October 15, 2013 for the benefit of employees. The EEOP is administered under the Company’s 2013 Omnibus Stock Incentive Plan and the awards thereunder are issued upon the terms and conditions and subject to the restrictions of the Company’s 2013 Omnibus Stock Incentive Plan. The EEOP provides that employees eligible to receive restricted stock awards or units under the EEOP are any employees who are not otherwise given shares pursuant to any other Company-sponsored equity program, with grants generally vesting in five equal annual installments beginning on the first anniversary of the date of grant. The Company issued 35,016 , 98,693 and 58,073 shares, respectively, of restricted stock awards and units under the EEOP for the years ended December 31, 2017 , 2016 and 2015 . At December 31, 2017 , there were 64,755 shares of unvested restricted stock awards and units with an unrecognized stock-based compensation expense of $1.1 million . |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
SHAREHOLDERS' EQUITY | STOCKHOLDERS’ EQUITY Warrants On November 1, 2010 , the Company issued warrants to TCW Shared Opportunity Fund V, L.P. for up to 240,000 shares of non-voting common stock at an original exercise price of $11.00 per share, subject to certain adjustments to the number of shares underlying the warrants as well as certain adjustments to the warrant exercise price as applicable. These warrants were exercisable from the date of original issuance through November 1, 2015 . On August 3, 2015 , these warrants were exercised in full using a cashless (net) exercise, resulting in a net number of shares of non-voting common stock issued in the aggregate of 70,690 , which were immediately thereafter exchanged pursuant to a separate exchange agreement entered into on May 29, 2013 for an aggregate of 70,690 shares of voting common stock. Based on automatic adjustments to the original $11.00 exercise price, the exercise price at the time of exercise of the warrants was $9.13 per share. On November 1, 2010 , the Company also issued warrants to COR Advisors LLC (COR Advisors), an entity controlled by Steven A. Sugarman, who became a director of the Company on that date and later became President and Chief Executive Officer of the Company (and resigned from those and all other positions with the Company and the Bank on January 23, 2017). The warrants entitled COR Advisors to purchase up to 1,395,000 shares of non-voting common stock at an exercise price of $11.00 per share, subject to certain adjustments to the number of shares underlying the warrants as well as certain adjustments to the warrant exercise price as applicable. On August 3, 2011, COR Advisors transferred warrants for the right to purchase 960,000 shares of non-voting common stock to COR Capital Holdings LLC (COR Capital Holdings), an entity controlled by Steven A. Sugarman, and transferred warrants for the right to purchase the remaining 435,000 shares of non-voting common stock to Jeffrey T. Seabold, then- (now former) Executive Vice President and Management Vice-Chair. On August 22, 2012, COR Capital Holdings transferred its warrants for the right to purchase 960,000 shares of non-voting common stock to a living trust for Steven A. Sugarman and his spouse. These warrants vested in tranches, with each tranche being exercisable for five years after the tranche’s vesting date. With respect to the warrants transferred by COR Capital Holdings to the living trust for Steven A. Sugarman and his spouse, warrants to purchase 50,000 shares vested on October 1, 2011 and the remainder vested in seven equal quarterly installments beginning January 1, 2012 and ending on July 1, 2013. With respect to the warrants transferred by COR Advisors to Mr. Seabold, warrants to purchase 95,000 shares vested on January 1, 2011; warrants to acquire 130,000 shares vested on each of April 1 and July 1, 2011, and warrants to purchase 80,000 shares vested on October 1, 2011. On August 17, 2016, the living trust for Steven A. Sugarman and his spouse transferred warrants to purchase 480,000 shares to Steven A. Sugarman's brother, Jason Sugarman. These transferred warrants were last exercisable on September 30, 2016 , December 31, 2016 , March 31, 2017 , June 30, 2017 and September 30, 2017 for 50,000 , 130,000 , 130,000 , 130,000 , and 40,000 shares, respectively. On August 17, 2016, Jason Sugarman irrevocably elected to fully exercise each tranche of the transferred warrants. Under his irrevocable election, Jason Sugarman directed that each such exercise would occur on the last exercisable date for each tranche using a cashless (net) exercise method and also directed that each exercise be for either non-voting common stock, or, if allowed under the terms of the warrant, for voting common stock. At September 30, 2016, December 31, 2016, March 31, 2017, June 30, 2017 and September 30, 2017, in accordance with Jason Sugarman’s irrevocable election, warrants to purchase 50,000 , 130,000 , 130,000 , 130,000 , and 40,000 shares, respectively, had been exercised, resulting in issuances of 25,051 and 64,962 shares of the Company's voting common stock and 75,875 , 77,376 and 23,237 shares of the Company's non-voting common stock, respectively. Based on automatic adjustments to the original $11.00 exercise price, the exercise price at the time of exercise was $8.80 , $8.72 , $8.66 , $8.61 and $8.55 per share, respectively. As a result of these exercises, Jason Sugarman no longer holds any warrants to purchase shares of the Company’s stock. On August 16, 2016, the living trust for Steven A. Sugarman and his spouse irrevocably elected to exercise its warrants to purchase 480,000 shares. Under its irrevocable election, the living trust for Steven A. Sugarman and his spouse directed that each such exercise would occur on the last exercisable date for each tranche of such warrants ( September 30, 2017 , December 31, 2017 , March 31, 2018 and June 30, 2018 with respect to 90,000 shares, 130,000 shares, 130,000 shares and 130,000 shares, respectively) using a cashless net exercise method and also directed that each exercise be for non-voting common stock. On September 30, 2017, in accordance with its irrevocable election, warrants to purchase 90,000 shares were exercised by the living trust for Steven A. Sugarman and his spouse, resulting in the issuance of 52,284 shares of the Company's non-voting common stock. Based on an automatic adjustment to the original $11.00 exercise price, the exercise price at the time of exercise was $8.55 per share. On December 27, 2017, the Company was notified that the living trust for Steven A. Sugarman and his spouse purportedly transferred warrants with respect to 130,000 shares, with a last exercisable date of December 31, 2017, to a separate entity, Sugarman Family Partners. In accordance with the irrevocable election to exercise previously submitted by the living trust for Steven A. Sugarman and his spouse, the Company considered these transferred warrants to have been exercised with respect to 130,000 shares on December 31, 2017, resulting in the issuance of 77,413 shares of the Company's non-voting common stock. Based on an automatic adjustment to the original $11.00 exercise price, the exercise price at the time of exercise was $8.49 per share. On December 8, 2015, March 9, 2016, June 17, 2016, and September 30, 2016, Mr. Seabold exercised his warrants with respect to 95,000 , 130,000 , 130,000 , and 80,000 shares, respectively, using cashless (net) exercises, resulting in a net number of shares of non-voting common stock issued in the aggregate of 37,355 , 53,711 , 70,775 , and 40,081 , respectively. Based on automatic adjustments to the original $11.00 exercise price, the exercise price at the time of exercise was $9.04 , $8.90 , $8.84 , and $8.80 per share, respectively. As a result of these exercises, Mr. Seabold no longer holds any warrants to purchase shares of the Company's stock. Under the terms of the respective warrants, the warrants are exercisable for voting common stock in lieu of non-voting common stock following a transfer of the warrants under certain circumstances described in the terms of the warrants. Based on automatic adjustments to the original $11.00 exercise price, the Company has determined that the exercise price for the warrants was $8.49 per share as of December 31, 2017 . The terms and issuance of the foregoing warrants were approved by the Company's stockholders at a special meeting held on October 25, 2010. Common Stock On March 8, 2016 , the Company issued and sold 4,850,000 shares of its voting common stock in an underwritten public offering, for gross proceeds of approximately $66.5 million . On the same date, the Company issued an additional 727,500 shares of voting common stock upon the exercise in full by the underwriters of their 30 -day over-allotment option, for additional gross proceeds of approximately $10.5 million . On May 11, 2016 , the Company issued and sold 5,250,000 shares of its voting common stock in an underwritten public offering for gross proceeds of approximately $100.0 million . Preferred Stock The Company is authorized to issue 50,000,000 shares of preferred stock with par value of $0.01 per share. Preferred shares outstanding rank senior to common shares both as to dividends and liquidation preference but generally have no voting rights. All of the Company's outstanding shares of preferred stock have a $1,000 per share liquidation preference. The following table presents the Company's total outstanding preferred stock as of dates indicated: December 31, 2017 2016 ($ in thousands) Shares Authorized and Outstanding Liquidation Preference Carrying Value Shares Authorized and Outstanding Liquidation Preference Carrying Value Series C 8.00% non-cumulative perpetual 40,250 $ 40,250 $ 37,943 40,250 $ 40,250 $ 37,943 Series D 7.375% non-cumulative perpetual 115,000 115,000 110,873 115,000 115,000 110,873 Series E 7.00% non-cumulative perpetual 125,000 125,000 120,255 125,000 125,000 120,255 Total 280,250 $ 280,250 $ 269,071 280,250 $ 280,250 $ 269,071 On April 8, 2015 , the Company completed the issuance and sale, in an underwritten public offering, of 4,000,000 depositary shares, each representing a 1/40 th interest in a share of its 7.375 percent Non-Cumulative Perpetual Preferred Stock, Series D, liquidation preference of $1,000 per share (equivalent to $25 per depositary share), for gross proceeds of $96.9 million . The Company also granted the underwriters a 30 -day option to purchase up to an additional 600,000 depositary shares to cover over-allotments, which the underwriters exercised in full concurrently, resulting in additional gross proceeds of $14.5 million . A total of 115,000 shares of Series D Non-Cumulative Perpetual Preferred Stock were issued. On February 8, 2016 , the Company completed the issuance and sale, in an underwritten public offering, of 5,000,000 depositary shares, each representing a 1/40 th interest in a share of its 7.00 percent Non-Cumulative Perpetual Preferred Stock, Series E (with 125,000 shares of Series E Non-Cumulative Perpetual Preferred Stock issued), with a liquidation preference of $1,000 per share (equivalent to $25 per depositary share), for gross proceeds of $121.1 million . On April 1, 2016 , the Company completed the redemption of all 32,000 outstanding shares of the Company's Non-Cumulative Perpetual Preferred Stock, Series A, and all 10,000 outstanding shares of the Company's Non-Cumulative Perpetual Preferred Stock, Series B. The shares were redeemed at a redemption price equal to the liquidation amount of $1,000 per share plus the unpaid dividends for the current dividend period to, but excluding, the redemption date. Both the Series A Preferred Stock and the Series B preferred Stock were issued as part of the U.S. Department of the Treasury's Small Business Lending Fund Program. Stock Employee Compensation Trust On August 3, 2016, the Company established the SECT pursuant to the Trust Agreement, dated as of August 3, 2016 (the SECT Trust Agreement), between the Company and Newport Trust Company, as trustee (as successor trustee to Evercore Trust Company, N.A.) (the SECT Trustee) to fund employee compensation and benefit obligations of the Company using shares of the Company’s common stock. On August 3, 2016, the Company sold 2,500,000 shares of voting common stock to the SECT at a purchase price of $21.45 per share (the closing price of the voting common stock on August 2, 2016), or $53.6 million in the aggregate, in exchange for a cash amount equal to the aggregate par value of the shares and a promissory note for the balance of the purchase price. The SECT was to terminate on January 1, 2032 unless terminated earlier in accordance with the SECT Trust Agreement, including by the Company’s Board of Directors. On December 28, 2017, in order to effectuate the early termination of the SECT, as authorized by the Company’s Board of Directors, the Company purchased from the SECT all 2,500,000 shares of voting common stock held by the SECT at a purchase price of $21.00 per share (the closing price per share of the voting common stock on December 27, 2017), or $52.5 million in the aggregate (the SECT Termination Sale). Following the SECT Termination Sale, such shares of voting common stock were canceled. Of the proceeds from the SECT Termination Sale, $2.7 million will be utilized for the purpose of funding obligations under certain of the Company’s benefit plans to which 126,517 shares of voting common stock had been allocated prior to the SECT Termination Sale, and $49.8 million was remitted by the SECT Trustee to the Company, which was deemed to be in satisfaction and termination of all remaining obligations of the SECT under the promissory note, which had an outstanding principal balance of $50.9 million plus accrued interest. Tangible Equity Units - Prepaid Stock Purchase Contracts On May 21, 2014 , the Company completed an underwritten public offering of 1,380,000 of its TEUs, which included 180,000 TEUs issued to the underwriter upon the full exercise of its over-allotment option, resulting in net proceeds of $65.0 million . The relative fair values of the Amortizing Notes and Purchase Contracts were estimated to be $14.6 million and $54.4 million , respectively, at the date of issuance. Total issuance costs associated with the TEUs were $4.0 million , of which $857 thousand was allocated to the debt component and $3.2 million was allocated to the equity component of the TEUs. Each TEU was comprised of a Purchase Contract and an Amortizing Note issued by the Company. The terms of the Purchase Contracts provided that unless settled early at the holder’s option as described below, on May 15, 2017, each Purchase Contract would automatically settle and the Company would deliver a number of shares of its voting common stock based on the then-applicable market value of the voting common stock, ranging from an initial minimum settlement rate of 4.4456 shares per Purchase Contract (subject to adjustment) if the applicable market value is equal to or greater than $11.247 per share to an initial maximum settlement rate of 5.1124 shares per Purchase Contract (subject to adjustment) if the applicable market value is less than or equal to $9.78 per share. From the first business day following the issuance of the TEUs, excluding the third business day immediately preceding May 15, 2017, a holder of a Purchase Contract could settle its Purchase Contract early, and the Company would deliver to the holder 4.4456 shares of voting common stock. On May 15, 2017, all Purchase Contracts that had not previously been settled early as described above were settled. The Company issued an aggregate of 6,134,988 shares of voting common stock pursuant to the Purchase Contracts. See Note 12 for additional information. Change in Accumulated Other Comprehensive Income (Loss) The Company’s AOCI includes unrealized gain (loss) on securities available-for-sale. Changes to AOCI are presented net of tax effect as a component of stockholders' equity. Reclassifications from AOCI are recorded on the Consolidated Statements of Operations either as a gain or loss. The following table presents changes to AOCI for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Securities Available-For-Sale Total Securities Available-For-Sale Total Securities Available-For-Sale Cash Flow Hedge Total Balance at beginning of period $ (9,042 ) $ (9,042 ) $ (2,995 ) $ (2,995 ) $ 509 $ (136 ) $ 373 Unrealized gain (loss) arising during the period 16,334 16,334 19,097 19,097 (2,731 ) (683 ) (3,414 ) Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale 21,990 21,990 — — — — — Reclassification adjustment from other comprehensive income (14,768 ) (14,768 ) (29,405 ) (29,405 ) (3,258 ) 918 (2,340 ) Tax effect of current period changes (9,287 ) (9,287 ) 4,261 4,261 2,485 (99 ) 2,386 Total changes, net of taxes 14,269 14,269 (6,047 ) (6,047 ) (3,504 ) 136 (3,368 ) Balance at end of period 5,227 5,227 (9,042 ) (9,042 ) (2,995 ) — (2,995 ) |
REGULATORY CAPITAL MATTERS
REGULATORY CAPITAL MATTERS | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
REGULATORY CAPITAL MATTERS | REGULATORY CAPITAL MATTERS The Company and the Bank are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and prompt corrective action regulations involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action. Management believes as of December 31, 2017 , the Company and the Bank met all capital adequacy requirements to which they were then subject. With respect to the Bank, prompt corrective action regulations provide five classifications: well-capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If only adequately capitalized, regulatory approval is required to accept brokered deposits. If undercapitalized, capital distributions are limited, as is asset growth and expansion, and a capital restoration plan is required. At December 31, 2017 , the most recent regulatory notification categorized the Bank as well-capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the institution’s category. The following table presents the regulatory capital amounts and ratios for the Company and the Bank as of dates indicated: Minimum Capital Requirements Minimum Required to Be Well-Capitalized Under Prompt Corrective Action Provisions ($ in thousands) Amount Ratio Amount Ratio Amount Ratio December 31, 2017 Banc of California, Inc. Total risk-based capital $ 1,002,200 14.56 % $ 550,499 8.00 % N/A N/A Tier 1 risk-based capital 949,151 13.79 % 412,874 6.00 % N/A N/A Common equity tier 1 capital 682,539 9.92 % 309,656 4.50 % N/A N/A Tier 1 leverage 949,151 9.39 % 404,339 4.00 % N/A N/A Banc of California, NA Total risk-based capital $ 1,131,057 16.56 % $ 546,359 8.00 % $ 682,949 10.00 % Tier 1 risk-based capital 1,078,008 15.78 % 409,769 6.00 % 546,359 8.00 % Common equity tier 1 capital 1,078,008 15.78 % 307,327 4.50 % 443,917 6.50 % Tier 1 leverage 1,078,008 10.67 % 404,060 4.00 % 505,074 5.00 % December 31, 2016 Banc of California, Inc. Total risk-based capital $ 975,918 13.70 % $ 569,856 8.00 % N/A N/A Tier 1 risk-based capital 941,429 13.22 % 427,392 6.00 % N/A N/A Common equity tier 1 capital 672,358 9.44 % 320,544 4.50 % N/A N/A Tier 1 leverage 941,429 8.17 % 460,840 4.00 % N/A N/A Banc of California, NA Total risk-based capital $ 1,042,617 14.73 % $ 566,405 8.00 % $ 708,007 10.00 % Tier 1 risk-based capital 999,788 14.12 % 424,804 6.00 % 566,405 8.00 % Common equity tier 1 capital 999,788 14.12 % 318,603 4.50 % 460,204 6.50 % Tier 1 leverage 999,788 8.71 % 459,368 4.00 % 574,210 5.00 % In July 2013, the Federal banking regulators approved a final rule to implement the revised capital adequacy standards of the Basel Committee on Banking Supervision, commonly called Basel III, and to address relevant provisions of the Dodd-Frank Act. The final rule strengthens the definition of regulatory capital, increases risk-based capital requirements, makes selected changes to the calculation of risk-weighted assets, and adjusts the prompt corrective action thresholds. The Company and the Bank became subject to the new rule on January 1, 2015 and certain provisions of the new rule will be phased in through 2019. The final rule: • Permits banking organizations that had less than $15 billion in total consolidated assets as of December 31, 2009, to include in Tier 1 capital trust preferred securities and cumulative perpetual preferred stock that were issued and included in Tier 1 capital prior to May 19, 2010, subject to a limit of 25 percent of Tier 1 capital elements, excluding any non-qualifying capital instruments and after all regulatory capital deductions and adjustments have been applied to Tier 1 capital. • Establishes new qualifying criteria for regulatory capital, including new limitations on the inclusion of deferred tax assets and mortgage servicing rights. • Requires a minimum ratio of common equity Tier 1 capital to risk-weighted assets of 4.5 percent. • Increases the minimum Tier 1 capital to risk-weighted assets ratio requirement from 4 percent to 6 percent. • Retains the minimum total capital to risk-weighted assets ratio requirement of 8 percent. • Retains a minimum leverage ratio requirement of 4 percent. • Changes the prompt corrective action standards so that in order to be considered well-capitalized, a depository institution must have a ratio of common equity Tier 1 capital to risk-weighted assets of 6.5 percent (new), a ratio of Tier 1 capital to risk-weighted assets of 8 percent (increased from 6 percent), a ratio of total capital to risk-weighted assets of 10 percent (unchanged), and a leverage ratio of 5 percent (unchanged). • Retains the existing regulatory capital framework for one-to-four family residential mortgage exposures. • Permits banking organizations that are not subject to the advanced approaches rule, such as the Company and the Bank, to retain, through a one-time election, the existing treatment for most accumulated other comprehensive income, such that unrealized gains and losses on securities available-for-sale will not affect regulatory capital amounts and ratios. • Implements a new capital conservation buffer requirement for a banking organization to maintain a common equity capital ratio more than 2.5 percent above the minimum common equity Tier 1 capital, Tier 1 capital and total risk-based capital ratios in order to avoid limitations on capital distributions, including dividend payments, and certain discretionary bonus payments. The capital conservation buffer requirement is being phased in, beginning on January 1, 2016 at 0.625 percent, with additional 0.625 percent increments annually, and will be fully phased in at 2.50 percent by January 1, 2019. A banking organization with a buffer of less than the required amount would be subject to increasingly stringent limitations on such distributions and payments as the buffer approaches zero. The new rule also generally prohibits a banking organization from making such distributions or payments during any quarter if its eligible retained income is negative and its capital conservation buffer ratio was 2.5 percent or less at the end of the previous quarter. The eligible retained income of a banking organization is defined as its net income for the four calendar quarters preceding the current calendar quarter, based on the organization’s quarterly regulatory reports, net of any distributions and associated tax effects not already reflected in net income. • Increases capital requirements for past due loans, high volatility commercial real estate exposures, and certain short-term commitments and securitization exposures. • Expands the recognition of collateral and guarantors in determining risk-weighted assets. • Removes references to credit ratings consistent with the Dodd-Frank Act and establishes due diligence requirements for securitization exposures. Dividend Restrictions The Company’s principal source of funds for dividend payments is dividends received from the Bank. Federal banking laws and regulations limit the amount of dividends that may be paid without prior approval of regulatory agencies. Under these regulations, in the case of the Bank, the amount of dividends that may be paid in any calendar year is limited to the current year’s net profits, combined with the retained net profits of the preceding two years, subject to the capital requirements described above. At December 31, 2017 , the Bank had $276.9 million available to pay dividends to the Company without prior OCC approval. However, any dividend granted by the Bank would be limited by the need to maintain its well capitalized status plus the capital buffer in order to avoid additional dividend restrictions. The Bank paid dividends of $18.0 million to Banc of California, Inc. during the year ended December 31, 2017 . |
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITIES | VARIABLE INTEREST ENTITIES T he Company holds ownership interests in alternative energy partnerships, qualified affordable housing partnerships, and the SECT. The Company evaluates its interests in these entities to determine whether they meet the definition of a VIE and whether the Company is required to consolidate these entities. A VIE is consolidated by its primary beneficiary, which is the party that has both (i) the power to direct the activities that most significantly impact the economic performance of the VIE and (ii) a variable interest that could potentially be significant to the VIE. To determine whether or not a variable interest the Company holds could potentially be significant to the VIE, the Company considers both qualitative and quantitative factors regarding the nature, size and form of the Company's involvement with the VIE. The Company has determined that its interests in these entities meet the definition of a variable interest. Unconsolidated VIEs Alternative Energy Partnerships The Company invests in certain alternative energy partnerships (limited liability companies) formed to provide sustainable energy projects that are designed to generate a return primarily through the realization of federal tax credits (energy tax credits). These entities were formed to invest in newly installed residential rooftop solar leases and power purchase agreements. As a result of its investments, the Company has the right to certain investment tax credits and tax depreciation benefits (recognized on the flow through and income statement method in accordance with ASC 740), and to a lesser extent, cash flows generated from the installed solar systems leased to individual consumers for a fixed period of time. While the Company's interest in the alternative energy partnerships meets the definition of a VIE in accordance with ASC 810, the Company has determined that the Company is not the primary beneficiary because the Company does not have the power to direct the activities that most significantly impact the economic performance of the entities including operational and credit risk management activities. As the Company is not the primary beneficiary, the Company did not consolidate the entities. The Company uses the HLBV method to account for these investments in energy tax credits as an equity investment under ASC 970-323-25-17. Under the HLBV method, an equity method investor determines its share of an investee's earnings by comparing its claim on the investee's book value at the beginning and end of the period, assuming the investee were to liquidate all assets at their U.S. GAAP amounts and distribute the resulting cash to creditors and investors under their respective priorities. The difference between the calculated liquidation distribution amounts at the beginning and the end of the reporting period, after adjusting for capital contributions and distributions, is the Company’s share of the earnings or losses from the equity investment for the period. To account for the tax credits earned on investments in alternative energy partnerships, the Company uses the flow-through income statement method. Under this method, the tax credits are recognized as a reduction to income tax expense and the initial book-tax differences in the basis of the investments are recognized as additional tax expense in the year they are earned. During the years ended December 31, 2017 and 2016 , The Company funded $55.4 million and $57.3 million , respectively, and recognized a loss on investment of $30.8 million and $31.5 million , respectively, through its HLBV application. As a result, the balance of its investments was $48.8 million and $25.6 million , respectively, at December 31, 2017 and 2016 . During the year ended December 31, 2017, the Company completed the funding on one of its investments. While the Company had committed $100.0 million to the investment, the amount that was drawn down and funded by the Company was $62.8 million and the remaining $37.2 million of the commitment was canceled. From an income tax benefit perspective, the Company recognized investment tax credits of $38.2 million and $33.4 million , respectively, as well as income tax benefits relating to the recognition of its loss through its HLBV application during the years ended December 31, 2017 and 2016 . The following table represents the carrying value of the associated assets and liabilities and the associated maximum loss exposure for the alternative energy partnerships as of the dates indicated: December 31, ($ in thousands) 2017 2016 Cash $ 16,518 $ — Equipment, net of depreciation 246,297 151,721 Other assets 2,444 351 Total unconsolidated assets $ 265,259 $ 152,072 Total unconsolidated liabilities $ 7,181 $ — Maximum loss exposure $ 98,910 $ 68,298 The maximum loss exposure that would be absorbed by the Company in the event that all of the assets in the alternative energy partnerships are deemed worthless is $98.9 million , consisting of the investment balance of $48.8 million and unfunded equity commitments of $50.1 million at December 31, 2017 . The Company believes that the loss exposure on its investments is reduced considering its return on its investment is provided not only by the cash flows of the underlying customer leases and power purchase agreements, but also through the significant tax benefits, including federal tax credits generated from the investments. In addition, the arrangements include a transition manager to support any transition of the solar company sponsor whose role includes that of the servicer and operation and maintenance provider, in the event the sponsor would be required to be removed from its responsibilities (e.g., bankruptcy, breach of contract, etc.), thereby further limiting the Company’s exposure. Qualified Affordable Housing Partnerships The Company invests in limited partnerships that operate qualified affordable housing projects. The returns on these investments are generated primarily through allocated Federal tax credits and other tax benefits. In addition, these investments contribute to the Company's compliance with the Community Reinvestment Act. These limited partnerships are considered to be VIEs, because either (i) they do not have sufficient equity investment at risk or (ii) the limited partners with equity at risk do not have substantive kick-out rights through voting rights or substantive participating rights over the general partner. As a limited partner, the Company is not the primary beneficiary because the general partner has the ability to direct the activities of the VIEs that most significantly impact their economic performance. Therefore, the Company does not consolidate these partnerships. The Company funded $4.5 million , $104 thousand and $48 thousand , respectively, into these partnerships and recognized proportional amortization expense of $1.4 million , $394 thousand and $727 thousand , respectively, during the years ended December 31, 2017 , 2016 and 2015 . As a result, the balance of these investments was $22.0 million and $23.2 million , respectively, at December 31, 2017 and 2016 . As of December 31, 2017 , the Company has funded $13.7 million of its $29.3 million aggregated funding commitments. The Company had an unfunded commitment of $15.6 million at December 31, 2017 . From an income tax benefit perspective, the Company recognized investment tax credits of $849 thousand , $435 thousand and $632 thousand , respectively, during the years ended December 31, 2017 , 2016 and 2015 . The maximum loss exposure that would be absorbed by the Company in the event that all of the assets in this investment are deemed worthless is $22.0 million , which is the Company's recorded investment amount at December 31, 2017 . The recorded investment amount is included in Other Assets on the Consolidated Statements of Financial Condition and the proportional amortization expense is recorded in Income Tax (Benefit) Expense on the Consolidated Statements of Operations. As the investments in alternative energy partnerships and qualified affordable housing partnerships represent unconsolidated VIEs to the Company, the assets and liabilities of the investments themselves are not recorded on the Company's statements of financial condition. Consolidated VIE On August 3, 2016, the Company established the SECT pursuant to the SECT Trust Agreement, dated as of August 3, 2016, between the Company and Newport Trust Company, as trustee (as successor trustee to Evercore Trust Company, N.A.) to fund employee compensation and benefit obligations of the Company using shares of the Company’s common stock. On August 3, 2016, the Company sold 2,500,000 shares of voting common stock to the SECT at a purchase price of $21.45 per share (the closing price of the voting common stock on August 2, 2016), or $53.6 million in the aggregate, in exchange for a cash amount equal to the aggregate par value of the shares and a promissory note for the balance of the purchase price. The SECT was to terminate on January 1, 2032 unless terminated earlier in accordance with the SECT Trust Agreement, including by the Company’s Board of Directors. On December 28, 2017, in order to effectuate the early termination of the SECT, as authorized by the Company’s Board of Directors, the Company purchased from the SECT all 2,500,000 shares of voting common stock held by the SECT at a purchase price of $21.00 per share (the closing price per share of the voting common stock on December 27, 2017), or $52.5 million in the aggregate. Following the SECT Termination Sale, such shares of voting common stock were canceled. Of the proceeds from the SECT Termination Sale, $2.7 million will be utilized for the purpose of funding obligations under certain of the Company’s benefit plans to which 126,517 shares of voting common stock had been allocated prior to the SECT Termination Sale, and $49.8 million was remitted by the SECT Trustee to the Company, which was deemed to be in satisfaction and termination of all remaining obligations of the SECT under the promissory note, which had an outstanding principal balance of $50.9 million plus accrued interest. The Company evaluated its interest in the SECT and determined that it was a VIE for which the Company was the primary beneficiary. As such, the SECT was consolidated by the Company. The entire amount of assets and liabilities of the SECT represented the transactions between the Company and the SECT. As a result, the note receivable on the Company and the note payable on the SECT were eliminated on a consolidated basis. All other transactions, such as note principal and dividend payments and receipts, were also eliminated on a consolidated basis, accordingly. |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE The following table presents computations of basic and diluted EPS for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands, except per share data) Common Stock Class B Common Stock Total Common Stock Class B Common Stock Total Common Stock Class B Common Stock Total Income from continuing operations $ 53,136 $ 338 $ 53,474 $ 86,500 $ 240 $ 86,740 $ 41,103 $ 15 $ 41,118 Less: income allocated to participating securities (309 ) (2 ) (311 ) (2,268 ) (6 ) (2,274 ) (1,310 ) — (1,310 ) Less: participating securities dividends (806 ) (5 ) (811 ) (757 ) (2 ) (759 ) (713 ) — (713 ) Less: preferred stock dividends (20,322 ) (129 ) (20,451 ) (19,859 ) (55 ) (19,914 ) (9,820 ) (3 ) (9,823 ) Income from continuing operations allocated to common stockholders 31,699 202 31,901 63,616 177 63,793 29,260 12 29,272 Income from discontinued operations 4,208 27 4,235 28,597 79 28,676 20,947 7 20,954 Net income allocated to common stockholders $ 35,907 $ 229 $ 36,136 $ 92,213 $ 256 $ 92,469 $ 50,207 $ 19 $ 50,226 Weighted-average common shares outstanding 49,936,627 317,968 50,254,595 46,699,050 129,413 46,828,463 37,033,725 12,869 37,046,594 Add: Dilutive effects of restricted stock units 72,655 — 72,655 218,121 — 218,121 138,646 — 138,646 Add: Dilutive effects of stock options 159,734 — 159,734 197,435 — 197,435 30,014 — 30,014 Add: Dilutive effects of warrants 332,806 — 332,806 394,086 — 394,086 383,255 — 383,255 Average shares and dilutive common shares 50,501,822 317,968 50,819,790 47,508,692 129,413 47,638,105 37,585,640 12,869 37,598,509 Basic earnings per common share Income from continuing operations $ 0.64 $ 0.64 $ 0.64 $ 1.36 $ 1.36 $ 1.36 $ 0.79 $ 0.79 $ 0.79 Income from discontinued operations 0.08 0.08 0.08 0.61 0.61 0.61 0.57 0.57 0.57 Net income $ 0.72 $ 0.72 $ 0.72 $ 1.97 $ 1.97 $ 1.97 $ 1.36 $ 1.36 $ 1.36 Diluted earnings per common share Income from continuing operations $ 0.63 $ 0.64 $ 0.63 $ 1.34 $ 1.36 $ 1.34 $ 0.78 $ 0.79 $ 0.78 Income from discontinued operations 0.08 0.08 0.08 0.60 0.61 0.60 0.56 0.57 0.56 Net income $ 0.71 $ 0.72 $ 0.71 $ 1.94 $ 1.97 $ 1.94 $ 1.34 $ 1.36 $ 1.34 For the years ended December 31, 2017 , 2016 , and 2015 , there were 145,349 , 0 , and 0 restricted stock units, respectively, and 59,178 , 272,878 and 498,196 stock options, respectively, that were not considered in computing diluted earnings per common share, because they were anti-dilutive. |
LOAN COMMITMENTS AND OTHER RELA
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES | LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES Some financial instruments such as loan commitments, credit lines, letters of credit, and overdraft protection are issued to meet customer financing needs. These are agreements to provide credit or to support the credit of others, as long as conditions established in the contract are met, and usually have expiration dates. Commitments may expire without being used. Risk of credit loss exists up to the face amount of these instruments. The same credit policies are used to make such commitments as are used for loans, including obtaining collateral at exercise of the commitment. The contractual amount of financial instruments with off-balance sheet risk was as follows for the dates indicated: December 31, 2017 2016 ($ in thousands) Fixed Rate Variable Rate Fixed Rate Variable Rate Commitments to extend credit (1) $ 1,851 $ 335,654 $ 74,777 $ 201,321 Unused lines of credit 19,085 1,309,170 27,151 888,236 Letters of credit 1,050 12,976 1,784 8,655 (1) Includes $0 and $65.1 million , respectively, of commitments to extend credit related to discontinued operations at December 31, 2017 and 2016 . Commitments to extend credit are generally made for periods of 30 days or less. Other Commitments During the three months ended March 31, 2017, the Bank entered into certain definitive agreements which grant the Bank the exclusive naming rights to the Banc of California Stadium, a soccer stadium of LAFC, as well as the right to be the official bank of LAFC. In exchange for the Bank’s rights as set forth in the agreements, the Bank agreed to pay LAFC $100.0 million over a period of 15 years , beginning in 2017 and ending in 2032. During the year ended December 31, 2017 , the Company paid $10.0 million of the commitment, which was recognized as a prepaid asset and included in the Other Assets in Consolidated Statements of Financial Condition at December 31, 2017 . See Note 25 for additional information. The Company had unfunded commitments of $15.6 million , $11.0 million , and $50.6 million for Affordable Housing Fund Investment, SBIC, and Other Investments including investments in alternative energy partnerships, at December 31, 2017 , respectively. |
RESTRUCTURING
RESTRUCTURING | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCUTRING | RESTRUCTURING In connection with the sale of its Banc Home Loans division, the Company restructured certain aspects of its infrastructure and back office operations by realigning back office staffing resulting in certain severance and other employee related costs including accelerated vesting of equity awards, and amending certain system contracts in order to improve the Company's efficiency. These employees and systems primarily supported the Company's mortgage banking activities. The Company recognized $9.1 million of total restructuring expense during the year ended December 31, 2017 . The following table presents activities in accrued liabilities and related expenses for the restructuring as of or for the year ended December 31, 2017 : As of or For the Year Ended December 31, 2017 Expense ($ in thousands) Continuing Operations Discontinued Operations Total Accrued Liabilities Balance at beginning of period $ — Accrual: Severance and other employee related costs $ 5,326 $ 2,899 $ 8,225 8,225 Other restructuring expense — 895 895 895 Total $ 5,326 $ 3,794 $ 9,120 9,120 Payments: Severance and other employee related costs (8,023 ) Other restructuring expense (895 ) Total $ (8,918 ) Balance at end of period $ 202 |
PARENT COMPANY FINANCIAL STATEM
PARENT COMPANY FINANCIAL STATEMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
PARENT COMPANY FINANCIAL STATEMENTS | PARENT COMPANY FINANCIAL STATEMENTS The parent company only condensed statements of financial condition as of December 31, 2017 and 2016 , and the related condensed statements of operations and condensed statements of cash flows for the years ended December 31, 2017 , 2016 , and 2015 are presented below: Condensed Statements of Financial Condition December 31, ($ in thousands) 2017 2016 ASSETS Cash and cash equivalents $ 40,496 $ 158,467 FHLB and other bank stock — 78 Loans and leases receivable — 405 Investments in alternative energy partnerships, net — 25,639 Other assets 13,366 19,866 Investment in subsidiaries 1,146,788 1,038,618 Total assets $ 1,200,650 $ 1,243,073 LIABILITIES AND STOCKHOLDERS’ EQUITY Other borrowings, net $ — $ 67,922 Notes payable, net 172,941 175,378 Accrued expenses and other liabilities 15,401 19,534 Stockholders’ equity 1,012,308 980,239 Total liabilities and stockholders’ equity $ 1,200,650 $ 1,243,073 Condensed Statements of Operations Year Ended December 31, ($ in thousands) 2017 2016 2015 Income Dividends from subsidiaries $ 18,000 $ 57,505 $ 8,500 Interest income on loans — 5 5 Gain on sale of subsidiary — 3,694 — Other operating income 2,285 3,973 — Total income 20,285 65,177 8,505 Expenses Interest expense for notes payable and other borrowings 10,764 12,703 14,659 Provision for loan and lease losses 13 — — Loss on investments in alternative energy partnerships, net 8,493 31,510 — Other operating expense 37,201 23,730 13,810 Total expenses 56,471 67,943 28,469 Income (loss) before income taxes and equity in undistributed earnings of subsidiaries (36,186 ) (2,766 ) (19,964 ) Income tax benefit (31,453 ) (52,989 ) (8,431 ) Income (loss) before equity in undistributed earnings of subsidiaries (4,733 ) 50,223 (11,533 ) Equity in undistributed earnings of subsidiaries 62,442 65,193 73,605 Net income $ 57,709 $ 115,416 $ 62,072 Condensed Statements of Cash Flows Year Ended December 31, ($ in thousands) 2017 2016 2015 Cash flows from operating activities: Net income $ 57,709 $ 115,416 $ 62,072 Adjustments to reconcile net income to net cash provided by operating activities Equity in undistributed earnings of subsidiaries (62,442 ) (65,193 ) (73,605 ) Stock-based compensation expense 2,520 5,080 3,173 Amortization of debt issuance cost 247 704 727 Debt redemption costs — 2,737 — Gain on sale of subsidiary — (3,694 ) — Deferred income tax (benefit) expense 14,604 4,538 (3,575 ) Loss on investments in alternative energy partnerships, net 8,493 31,510 — Net change in other assets and liabilities (12,957 ) (14,972 ) 39,769 Net cash provided by operating activities 8,174 76,126 28,561 Cash flows from investing activities: Loan purchases from bank and principal collections, net — 221 9 Proceeds from sale of subsidiary — 259 — Capital contribution to bank subsidiary — (195,000 ) (160,000 ) Capital contribution to non-bank subsidiary — (25 ) — Investments in alternative energy partnerships (3,712 ) (57,149 ) — Net cash used in investing activities (3,712 ) (251,694 ) (159,991 ) Cash flows from financing activities: Net increase (decrease) in other borrowings (68,000 ) 68,000 — Net proceeds from issuance of common stock — 175,078 — Net proceeds from issuance of preferred stock — 120,255 110,873 Net proceeds from issuance of long-term debt — — 172,304 Redemption of preferred stock — (42,000 ) — Redemption of senior notes — (84,750 ) — Payment of junior subordinated amortizing notes (2,684 ) (5,078 ) (4,715 ) Cash settlements of stock options — (359 ) — Proceeds from exercise of stock options 2,043 — 501 Restricted stock surrendered due to employee tax liability (6,824 ) (4,436 ) (2,254 ) Dividend equivalents paid on stock appreciation rights (810 ) (742 ) (699 ) Dividends paid on common stock (25,707 ) (21,844 ) (16,955 ) Dividends paid on preferred stock (20,451 ) (19,630 ) (9,446 ) Net cash provided by (used in) financing activities (122,433 ) 184,494 249,609 Net change in cash and cash equivalents (117,971 ) 8,926 118,179 Cash and cash equivalents at beginning of year 158,467 149,541 31,362 Cash and cash equivalents at end of year $ 40,496 $ 158,467 $ 149,541 |
RELATED-PARTY TRANSACTIONS
RELATED-PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
RELATED-PARTY TRANSACTIONS | RELATED-PARTY TRANSACTIONS General. The Bank has granted loans to certain executive officers and directors and their related interests. Excluding the loan amounts described in detail below, loans outstanding to executive officers and directors and their related interests amounted to $249 thousand at December 31, 2017 and 2016 , all of which were performing in accordance with their respective terms as of those dates. These loans were made in the ordinary course of business and on substantially the same terms and conditions, including interest rates and collateral, as those of comparable transactions with non-insiders prevailing at the time, in accordance with the Bank’s underwriting guidelines, and do not involve more than the normal risk of collectability or present other unfavorable features. The Bank has an Employee Loan Program which is available to all employees and offers executive officers, directors and principal stockholders that meet the eligibility requirements the opportunity to participate on the same terms as employees generally, provided that any loan to an executive officer, director or principal stockholder must be approved by the Bank’s Board of Directors. The sole benefit provided under the Employee Loan Program is a reduction in loan fees. Deposits from executive officers, directors, and their related interests amounted to $2.2 million and $2.4 million at December 31, 2017 and 2016 , respectively. There are certain deposits described below, which are not included in the foregoing amounts. Transactions with Current Related Parties The Company and the Bank have engaged in transactions described below with the Company’s directors, executive officers, and beneficial owners of more than 5 percent of the outstanding shares of the Company’s voting common stock and certain persons related to them. Indemnification for Costs of Counsel in Connection with Special Committee Investigation, SEC Investigation and Related Matters . On November 3, 2016, in connection with an investigation by the Special Committee of the Company’s Board of Directors, the Company Board authorized and directed the Company to provide indemnification, advancement and/or reimbursement for the costs of separate independent counsel retained by any then-current officer or director, in their individual capacity, with respect to matters related to the investigation, and to advise them on their rights and obligations with respect to the investigation. At the direction of the Company Board, this indemnification, advancement and/or reimbursement is, to the extent applicable, subject to the indemnification agreement that each officer and director previously entered into with the Company, which includes an undertaking to repay any expenses advanced if it is ultimately determined that the officer or director was not entitled to indemnification under such agreements and applicable law. In addition, the Company is also providing indemnification, advancement and/or reimbursement for costs related to (i) a formal order of investigation issued by the SEC on January 4, 2017 directed primarily at certain of the issues that the Special Committee reviewed and (ii) any related civil or administrative proceedings against the Company as well as officers currently or previously associated with the Company. During the years ended December 31, 2017 and 2016 , the fees and expenses the fees and expenses paid by the Company included $501 thousand and $0 , respectively, incurred by the Company's General Counsel John Grosvenor. For indemnification costs paid for former executive officers or directors, see Transactions with Former Related Parties below. Company’s Sale of Shares to and Purchase of Shares from SECT . As reported in a Schedule 13G filed with the SEC on February 13, 2017 , Evercore Trust Company, as trustee of the SECT (which was later succeeded as trustee by Newport Trust Company, N.A.), beneficially owned 2,500,000 shares of the Company’s voting common stock as of December 31, 2016, which Evercore Trust Company stated represented more than 5 percent of the total number of shares of the Company’s voting common stock outstanding as of that date. These shares were sold by the Company to the SECT on August 3, 2016 when the Company originally established the SECT. On December 28, 2017, in order to effectuate the early termination of the SECT, the Company purchased the 2,500,000 shares of voting common stock held by the SECT, all as more fully described in Note 18. Sabal Loan . On September 5, 2017 John A. Bogler became the Chief Financial Officer of the Company and the Bank. Mr. Bogler is a founding member, and since 2015 and up until his employment with the Company, was a board member and Chief Financial Officer, of Sabal Capital Partners, LLC. Sabal Capital Partners, LLC is the sole owner of Sabal Opportunities Fund I, LLC, which in turn is the sole owner of Sabal TL1, LLC (together, Sabal). Mr. Bogler remains a material owner of Sabal. Effective June 26, 2015 , the Bank provided a $35.0 million committed revolving repurchase facility, which was increased to $40.0 million effective June 11, 2017 , to Sabal TL1, LLC, with a maximum funding amount of $100.0 million in certain situations. Under the Sabal repurchase facility, commercial mortgage loans originated by Sabal are purchased from Sabal by the Bank, together with a simultaneous agreement by Sabal to repurchase the commercial mortgage loans from the Bank at a future date. The advances under the Sabal repurchase facility are secured by commercial mortgage loans that have a market value in excess of the balance of the advances under the facility. During the years ended December 31, 2017 and 2016 , the largest aggregate amount of principal outstanding under the Sabal repurchase facility was $94.7 million and $55.1 million , respectively. The amount outstanding as of December 31, 2017 and 2016 was $23.6 million and $22.6 million , respectively. Interest on the outstanding balance under the Sabal repurchase facility accrues at the six month LIBOR rate plus a margin. $600.4 million and $514.1 million in principal, respectively, and $1.1 million and $1.1 million , respectively, in interest was paid by Sabal on the facility to the Bank during the years ended December 31, 2017 and 2016 . Underwriting Services . Keefe, Bruyette & Woods, Inc., a Stifel company, acted as an underwriter of public offerings of the Company’s securities in 2016 and 2015, and also acted as financial advisor for the Company's sale of its Commercial Equipment Finance Division in 2016. Halle J. Benett, a director of the Company and the Bank, was employed as a Managing Director and Head of the Diversified Financials Group at Keefe, Bruyette & Woods, Inc. until August 31, 2016 and is entitled to receive compensation for certain deals that close subsequent to August 31, 2016 that he originated or actively managed (none involving the Company or the Bank). In addition, Mr. Benett agreed to provide unpaid consulting services to Keefe, Bruyette & Woods, Inc., for a small number of transactions (none involving the Company or the Bank) through December 31, 2016. The details of the financial advisory services are as follows: • On October 27, 2016 , the Company sold its Commercial Equipment Finance Division to Hanmi Bank, a wholly owned subsidiary of Hanmi Financial Corporation. Beginning on February 1, 2016, Keefe, Bruyette & Woods provided financial advisory and investment banking services to the Company with respect the possible sale of the division and, contingent upon the closing of the sale, received a non-refundable contingent fee from the Company of $516 thousand (less expenses, the amount was $500 thousand ). The details of the underwritten public offerings are as follows: • On March 8, 2016 , the Company issued and sold 5,577,500 shares of its voting common stock. Pursuant to an underwriting agreement entered into with the Company for that offering on March 2, 2016, Keefe, Bruyette & Woods, Inc. received gross underwriting fees and commissions from the Company of approximately $1.0 million (less estimated expenses, the amount was $846 thousand ). • On February 8, 2016 , the Company issued and sold 5,000,000 depositary shares (Series E Depositary Shares) each representing a 1/40 th ownership interest in a share of 7.00 percent Non-Cumulative Perpetual Preferred Stock, Series E, with a liquidation preference of $1,000 per share (equivalent to $25 per depositary share). Pursuant to an underwriting agreement entered into with the Company for that offering on February 1, 2016, Keefe, Bruyette & Woods, Inc. received gross underwriting fees and commission from the Company of approximately $944 thousand (less estimated expenses, the amount was $849 thousand ). • On April 8, 2015 , the Company issued and sold 4,600,000 depositary shares (Series D Depositary Shares) each representing 1/40 th ownership interest in a share of 7.375 percent Non-Cumulative Perpetual Preferred Stock, Series D, with a liquidation preference of $1,000 per share (equivalent to $25 per depositary share). Pursuant to an underwriting agreement entered into with the Company for that offering on March 31, 2015, Keefe, Bruyette & Woods, Inc. received gross underwriting fees and commissions from the Company of approximately $590 thousand (less expenses, the amount was $515 thousand ). • On April 6, 2015 , the Company issued and sold $175.0 million aggregate principal amount of its 5.25 percent Senior Notes due April 15, 2025 . Pursuant to a purchase agreement entered into with the Company for that offering on March 31, 2015, Keefe, Bruyette & Woods, Inc. received gross underwriting fees and commissions from the Company of approximately $263 thousand (less expenses, the amount was $221 thousand ). Legion Affiliates . As reported in an amendment to a Schedule 13D filed with the Securities and Exchange Commission on May 23, 2017 , Legion Partners Asset Management, LLC (Legion Partners), Legion Partners, L.P. I, Legion and its affiliates (collectively, the Legion Group) beneficially owned 2,938,679 shares of the Company’s voting common stock as of May 19, 2017 , which the Legion Group reported represented 5.6 percent of the Company’s total shares outstanding. Cooperation Agreement . On March 13, 2017, the Company entered into a cooperation agreement with the Legion Group (the Legion Group Cooperation Agreement). Under the terms of such agreement, among other things: • The Legion Group agreed to irrevocably withdraw its notice of director nomination and submission of a business proposal. • The Company agreed to conduct a search for two additional independent directors in collaboration with the Legion Group. In accordance with this provision, following a search initiated by the Company Board and (following entry into the Legion Group Cooperation Agreement) conducted in consultation with Legion Group, the Company Board appointed Mary A. Curran and Bonnie G. Hill as new independent directors, for terms that became effective on June 9, 2017 at the conclusion of the Company's 2017 Annual Meeting of Stockholders. Ms. Curran is serving as a Class I director, for a term to expire at the Company’s 2019 Annual Meeting of Stockholders and Dr. Hill is serving as a Class III director, for a term to expire at the Company’s 2018 Annual Meeting of Stockholders. Simultaneously with the effectiveness of their appointments to the Company Board, each of Ms. Curran and Dr. Hill was appointed as a director of the Bank. • From March 13, 2017 until June 10, 2017, the day after the Company’s 2017 Annual Meeting, the Legion Group agreed to vote all the shares of the Company's voting common stock that it beneficially owned (i) in favor of the Company’s slate of directors, (ii) against any stockholder’s nominations for directors not approved and recommended by the Board and against any proposals or resolutions to remove any director and (iii) in accordance with the Board’s recommendations on all other proposals of the Board set forth in the Company’s proxy statement. • The Legion Group agreed to certain standstill provisions that restricted the Legion Group and its affiliates, associates and representatives, from March 13, 2017 until June 10, 2017, from, among other things, acquiring additional voting securities of the Company that would result in the Legion Group having ownership or voting interest in 10 percent or more of the outstanding shares of voting common stock, engaging in proxy solicitations in an election contest, subjecting any shares to any voting arrangements except as expressly provided in the Legion Group Cooperation Agreement, making or being a proponent of a stockholder proposal, seeking to call a meeting of stockholders or solicit consents from stockholders, seeking to obtain representation on the Board except as otherwise expressly provided in the Legion Group Cooperation Agreement, seeking to remove any director from the Board, seeking to amend any provision of the governing documents of the Company, or proposing or participating in certain extraordinary corporate transactions involving the Company. • The Company agreed to reimburse the Legion Group up to $100 thousand for its legal fees and expenses incurred in connection with its investment in the Company. PL Capital Affiliates . As reported in an amendment to a Schedule 13D filed with the Securities and Exchange Commission on February 10, 2017 , PL Capital Advisors, LLC and certain of its affiliates (collectively, the PL Capital Group) owned 3,401,719 shares of the Company’s voting common stock as of February 7, 2017 , which the PL Capital Group reported represented 6.9 percent of the Company’s total shares outstanding. Cooperation Agreement . On February 7, 2017, Richard J. Lashley, a co-founder of PL Capital Advisors, LLC, was appointed to the Boards of Directors of the Company and the Bank, which appointments became effective February 16, 2017. Mr. Lashley was appointed as a Class I director of the Company, for a term that will expire at the Company’s 2019 Annual Meeting of Stockholders. In connection with the appointment of Mr. Lashley to the Boards, on February 8, 2017, the PL Capital Group and Mr. Lashley entered into a cooperation agreement with the Company (PL Capital Cooperation Agreement), in which PL Capital Group agreed, among other matters: • From February 8, 2017 until June 10, 2017 (PL Capital Restricted Period), the PL Capital Group agreed to vote all the shares of Common Stock that it beneficially owned (i) in favor of the Company’s slate of directors, (ii) against any stockholder’s nominations for directors not approved and recommended by the Company’s Board and against any proposals or resolutions to remove any director and (iii) in accordance with the recommendations by the Company’s Board on all other proposals of the Company’s Board set forth in the Company’s proxy statement. • In addition, during the PL Capital Restricted Period, the PL Capital Group agreed to certain standstill provisions that restricted the PL Capital Group and its affiliates, associates and representatives, during the PL Capital Restricted Period, from, among other things, acquiring additional voting securities of the Company that would result in the PL Capital Group having ownership or voting interest in 10 percent or more of the outstanding shares of voting common stock, engaging in proxy solicitations in an election contest, subjecting any shares to any voting arrangements except as expressly provided in the PL Capital Cooperation Agreement, making or being a proponent of a stockholder proposal, seeking to call a meeting of stockholders or solicit consents from stockholders, seeking to obtain representation on the Company’s Board except as otherwise expressly provided in the PL Capital Cooperation Agreement, seeking to remove any director from the Company’s Board, seeking to amend any provision of the governing documents of the Company, or proposing or participating in certain extraordinary corporate transactions involving the Company. • Pursuant to the PL Capital Cooperation Agreement, during the three months ended March 31, 2017, the Company reimbursed PL Capital Group $150 thousand for a portion of its legal fees and expenses incurred in connection with its investment in the Company. Patriot Affiliates . As reported in a Schedule 13D amendment filed with the SEC on November 10, 2014 , Patriot’s last public filing reporting ownership of the Company’s securities, Patriot Financial Partners, L.P. (together with its affiliates referred to as Patriot Partners) owned 3,100,564 shares of the Company’s voting common stock as of November 7, 2014 , which Patriot Partners reported represented 9.3 percent of the Company’s outstanding voting common stock as of that date. For the details of the transaction in which Patriot Partners acquired certain of these shares, see “Securities Purchase Agreement with Patriot” below. In connection with the appointment of W. Kirk Wycoff, a managing partner of Patriot Partners, to the Boards of Directors of the Company and the Bank (described below), Mr. Wycoff filed a Form 3 with the SEC on February 24, 2017 , which reported total holdings for Patriot Partners of 2,850,564 shares. Director . On February 9, 2017, Mr. Wycoff was appointed to the Boards of Directors of the Company and the Bank, which appointment became effective on February 16, 2017. Mr. Wycoff was appointed as a Class III director of the Company, for a term that will expire at the Company’s 2018 Annual Meeting of Stockholders. From 2010 to 2015, Mr. Wycoff was a director of, and Patriot Partners was a stockholder of, Square 1 Financial, Inc. (Square 1). Douglas H. Bowers, who became President and Chief Executive Officer of the Company and the Bank and a director of the Bank effective May 8, 2017 and a director of the Company on June 9, 2017 at the conclusion of the Company’s 2017 Annual Meeting of Stockholders, served as President and Chief Executive Officer of Square 1 from 2011 to 2015. There are no arrangements or understandings between Mr. Bowers and either Mr. Wycoff or Patriot Partners pursuant to which Mr. Bowers was selected as a director and an officer of the Company. Securities Purchase Agreement with Patriot . As noted above, as reported in a Schedule 13D amendment filed on November 10, 2014 with the SEC, Patriot Partners owned 3,100,564 shares of the Company’s voting common stock as of November 7, 2014 , which Patriot Partners reported represented 9.3 percent of the Company’s total shares outstanding as of the dates set forth in the Schedule 13D. On April 22, 2014, the Company entered into a Securities Purchase Agreement (Patriot SPA) with Patriot Partners to raise a portion of the capital to be used to finance the acquisition of select assets and assumption of certain liabilities by the Bank from Banco Popular North America (BPNA) comprising BPNA's network of 20 California Branches (the BPNA Branch Acquisition), which was completed on November 8, 2014. The Patriot SPA was due to expire by its terms on October 31, 2014. Prior to such expiration, the Company and Patriot Partners entered into a Securities Purchase Agreement, dated as of October 30, 2014 (New Patriot SPA). Pursuant to the New Patriot SPA, substantially concurrently with the BPNA Branch Acquisition, Patriot Partners purchased from the Company (i) 1,076,000 shares of its voting common stock at a price of $9.78 per share and (ii) 824,000 shares of its voting common stock at a price of $11.55 per share, for an aggregate purchase price of $20.0 million . In consideration for Patriot Partners’ commitment under the New SPA and pursuant the terms of the New SPA, on the closing of the sale of such shares on November 7, 2014, the Company paid Patriot Partners an equity support payment of $538 thousand and also reimbursed Patriot Partners $100 thousand in out-of-pocket expenses. On October 30, 2014, concurrent with the execution of the New Patriot SPA, Patriot and the Company entered into a Settlement Agreement and Release (the Patriot Settlement Agreement) in order to resolve, without admission of any wrongdoing by either party, a prior dispute regarding, among other things, the proper interpretation of certain provisions of the SPA, including but not limited to the computation of the purchase price per share (the Dispute). Pursuant to the Patriot Settlement Agreement, Patriot and the Company released any claims they may have had against the other party with respect to the Dispute. In addition, Patriot and the Company agreed for the period beginning on the date of the Patriot Settlement Agreement and ending on December 31, 2016, that neither Patriot nor the Company would disparage the other party or its affiliates. During the period beginning on the date of the Patriot Settlement Agreement and ending on December 31, 2016, Patriot also agreed not to: • institute, solicit, assist or join, as a party, any proxy solicitation, consent solicitation, board nomination or director removal relating to the Company against or involving the Company or any of its subsidiaries, affiliates, successors, assigns, directors, officers, employees, agents, attorneys or financial advisors; • take any action relative to the governance of the Company that would violate its passivity commitments or vote the shares of voting common stock held or controlled by it on any matters related to the election, removal or replacement of directors or the calling of any meeting related thereto, other than in accordance with management’s recommendations included in the Company’s proxy statement for any annual meeting or special meeting; • form or join in a partnership, limited partnership, syndicate or other group, or solicit proxies or written consents of stockholders or conduct any other type of referendum (binding or non-binding) with respect to, or from the holders of, the voting common stock and any other securities of the Company entitled to vote in the election of directors, or securities convertible into, or exercisable or exchangeable for, voting common stock or such other securities (such other securities, together with the voting common stock, being referred to as Voting Securities), or become a participant in or assist, encourage or advise any person in any solicitation of any proxy, consent or other authority to vote any Voting Securities; or • enter into any negotiations, agreements, arrangements or understandings with any person with respect to any of the foregoing or advise, assist, encourage or seek to persuade any person to take any action with respect to any of the foregoing. The Company also agreed, during the same period, not to: • institute, solicit, assist or join, as a party, any proxy solicitation, consent solicitation, board nomination or director removal relating to Patriot against or involving Patriot or any of its subsidiaries, affiliates, successors, assigns, officers, partners, principals, employees, agents, attorneys or financial advisors; or • enter into any negotiations, agreements, arrangements or understandings with any person with respect to any of the foregoing or advise, assist, encourage or seek to persuade any person to take any action with respect to any of the foregoing. Transactions with Former Related Parties In addition to the transactions described above with former related parties, the Company and the Bank have engaged in transactions described below with the Company’s then (now former) directors, executive officers, and beneficial owners of more than 5 percent of the outstanding shares of the Company’s voting common stock and certain persons related to them. Indemnification for Costs of Counsel for Former Executive Officers and Former Directors in Connection with Special Committee Investigation, SEC Investigation and Related Matters . On November 3, 2016, in connection with the investigation by the Special Committee of the Company's Board of Directors, the Company Board authorized and directed the Company to provide indemnification, advancement and/or reimbursement for the costs of separate independent counsel retained by any then-current officer or director, in their individual capacity, with respect to matters related to the investigation, and to advise them on their rights and obligations with respect to the investigation. At the direction of the Company Board, this indemnification, advancement and/or reimbursement is, to the extent applicable, subject to the indemnification agreement that each officer and director previously entered into with the Company, which includes an undertaking to repay any expenses advanced if it is ultimately determined that the officer or director was not entitled to indemnification under such agreements and applicable law. In addition, the Company is also providing indemnification, advancement and/or reimbursement for costs related to (i) a formal order of investigation issued by the SEC on January 4, 2017 directed primarily at certain of the issues that the Special Committee reviewed and (ii) any related civil or administrative proceedings against the Company as well as officers currently or previously associated with the Company. During the year ended December 31, 2017 (excluding fees paid in January 2017), the fees and expenses paid by the Company included $3.0 million incurred by the Company’s then- (now former) Chair, President and Chief Executive Officer Steven A. Sugarman; $1.4 million incurred by the Bank’s then- (now former) Management Vice Chair Jeffrey T. Seabold; $631 thousand jointly incurred by the Company’s then- (now former) Interim Chief Financial Officer and Chief Strategy Officer J. Francisco A. Turner and the Company’s then- (now former) Chief Financial Officer James J. McKinney; and $509 thousand incurred by the Company’s then- (now former) director Chad Brownstein. For the year ended December 31, 2016, fees and expenses incurred under the arrangement described above (which were paid in January 2017) included $573 thousand incurred by Mr. Sugarman; $57 thousand incurred by Mr. Seabold; $135 thousand incurred jointly by Messrs. Turner and McKinney; and $29 thousand incurred by Mr. Brownstein. Indemnification was paid on behalf of other former executive officers and former directors in lesser amounts for the years ended December 31, 2017 and 2016. Settlement Agreement . On September 5, 2017, Jeffrey T. Seabold, the Bank’s former Management Vice Chair, submitted a notice of termination of employment pursuant to his employment agreement with the Bank and, that same day, filed a complaint in the Superior Court of the State of California, County of Los Angeles, against the Company and the Bank and multiple unnamed defendants asserting claims for breach of contract, wrongful termination, retaliation and unfair business practices. On January 19, 2018, the parties reached a settlement in principle through mediation and a final settlement agreement was entered into by the Company, the Bank and Mr. Seabold on February 14, 2018 (the Settlement Agreement). Under the Settlement Agreement, which provides for a mutual release of claims and the dismissal of Mr. Seabold’s complaint with prejudice, Mr. Seabold will receive lump sum cash payments from the Company and/or the Bank aggregating $4.3 million , less applicable withholdings for the portions of such payments representing employee compensation. Included within this amount are cash payments totaling $576 thousand representing a benefit with respect to Mr. Seabold's unvested stock options and restricted stock awards. Mr. Seabold will also receive a cash payment of $38 thousand as reimbursement for his premiums for health care coverage for the period October 1, 2017 through March 2019. In addition, the Settlement Agreement provides for the payment by the Company and/or the Bank of $650 thousand of attorneys’ fees incurred by Mr. Seabold in connection with his lawsuit and the Settlement Agreement. The Settlement Agreement contains certain standstill provisions that, prior to December 31, 2018, generally restrict Mr. Seabold and his affiliates from, among other things, acquiring beneficial ownership of any shares of the Company’s common stock or common stock equivalents to the extent this would result in Mr. Seabold beneficially owning in excess of 4.99 percent of the total number of shares of common stock outstanding, soliciting proxies in opposition to any matter not recommended by the Company’s Board of Directors or in favor of any matter not approved by the Company’s Board of Directors or initiating any stockholder proposal. Banc of California Stadium Naming Rights and Sponsorship and Los Angeles Football Club Loans . Effective August 8, 2016 , the Bank provided $40.3 million out of a $145.0 million committed construction line of credit (the Stadco Loan) to LAFC Stadium Co, LLC (Stadco) for the construction of a soccer-specific stadium for the LAFC in Los Angeles, California as well as to fund the interest and fees that become due under the Stadco Loan. LAFC is a Major League Soccer expansion franchise scheduled to debut in 2018. Also effective August 8, 2016 , the Bank provided $9.7 million out of a $35.0 million committed senior secured line of credit (the Team Loan) to LAFC Sports, LLC (Team) to fund distributions to LAFC Partners, LLLP (Holdco) that will be used for stadium construction, funding interest and fees that become due under such Team Loan and to pay all other fees, costs and expenses payable by the Team in connection with project costs related to the stadium construction. All of the outstanding equity interests in Stadco and Team are held by Holdco, and Holdco serves as sole guarantor of the Team Loan described above. Minority limited partnership interests in Holdco are held by, among others: (i) Jason Sugarman, who is the brother of the Company’s and the Bank’s then- (now former) Chairman, President and Chief Executive Officer, Steven A. Sugarman; and (ii) Jason Sugarman’s father-in-law, who currently serves as Executive Chairman and a member of Holdco’s board of directors, which is appointed by Holdco’s general partner and primarily functions in an advisory capacity. The foregoing statements are based primarily on information provided to the Company by Holdco through its legal counsel. As of December 31, 2017 and 2016 , there were $23.3 million and $0 outstanding advances, respectively, by the Bank under the Stadco Loan. During the years ended December 31, 2017 and 2016 , the largest amount of principal outstanding under the Stadco Loan was $23.5 million and $0 , respectively. The Bank collected $295 thousand and $59 thousand , respectively, in unused loan fees during the years ended December 31, 2017 and 2016. Interest on the outstanding balance under the Stadco Loan accrues at LIBOR plus a margin. During the years ended December 31, 2017 and 2016 , $325 thousand and $0 interest, respectively, was paid by Stadco to the Bank on the Stadco Loan. As of December 31, 2017 and 2016 , there were $5.4 million and $0 outstanding advances, respectively, by the Bank under Team Loan. During the years ended December 31, 2017 and 2016 , the largest aggregate amount of principal outstanding under the Team Loan was $5.5 million and $0 , respectively. The Bank collected $140 thousand and $18 thousand , respectively, in unused loan fees during the years ended December 31, 2017 and 2016 . Interest on the outstanding balance under the Team Loan accrues at LIBOR plus a margin. During the years ended December 31, 2017 and 2016 , $83 thousand and $0 interest, respectively, was paid by Team to the Bank on the Team Loan. Team obtained a corporate credit card with a $100 thousand line of credit from a third party unaffiliated with the Bank. Effective November 24, 2017, the Bank provided a guaranty for the card by obtaining a standby letter of credit issued by another institution unaffiliated with the Bank in the amount of $100 thousand for the benefit the issuer of the credit card. This letter of credit had not been drawn upon as of December 31, 2017. Following the closing of the Stadco Loan and the Term Loan, the Bank on August 22, 2016 reached agreement with the Team concerning, among other things, the Bank’s right to name the stadium to be operated by Stadco as “Banc of California Stadium.” The August 22, 2016 agreement, which contemplated the negotiation and execution of more detailed definitive agreements between the Bank, on the one hand, and Stadco and the Team on the other hand (LAFC Transaction), also included a sponsorship relationship between the Bank and the Team with an initial term ending on the co |
LITIGATION
LITIGATION | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
LITIGATION | LITIGATION From time to time we are involved as plaintiff or defendant in various legal actions arising in the normal course of business. In accordance with applicable accounting guidance, the Company establishes an accrued liability when those matters present loss contingencies that are both probable and estimable. The Company continues to monitor the matter for further developments that could affect the amount of the accrued liability that has been previously established. As of December 31, 2017 , the Company accrued $4.7 million for various litigation filed against the Company and the Bank. The Company was named as a defendant in several complaints filed in the United States District Court for the Central District of California in January 2017 alleging violations of sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The complaints were brought as purported class actions on behalf of stockholders who purchased shares of the Company’s common stock between varying dates, inclusive of August 7, 2015 through January 23, 2017. Those actions were consolidated, a lead plaintiff was appointed, and the lead plaintiff filed a Consolidated Amended Complaint on May 31, 2017. The defendants moved to dismiss the Consolidated Amended Complaint. On September 18, 2017, the district court granted in part and denied in part Defendants’ motions to dismiss. Specifically, the court denied the defendants’ motions as to the Company’s April 15, 2016 Proxy Statement which listed the positions held by Steven A. Sugarman (the Company’s then (now former) Chairman, President and Chief Executive Officer) with COR Securities Holdings Inc., COR Clearing LLC, and COR Capital LLC while omitting their alleged connections with Jason Galanis. Trial is currently set for October 21, 2019. The Company believes that the action is without merit and intends to vigorously contest it. On September 26, 2017, a shareholder derivative action was filed in the United States District Court for the Central District of California against four of the Company’s directors alleging that they breached their fiduciary duties to the Company. In that action, the Company is a nominal defendant. The complaint seeks monetary and equitable relief on behalf of the Company. The Company believes that the shareholder was required to, but failed to, make a demand on the Company to bring such claims, and that this failure requires dismissal of the action. The Company filed a motion to dismiss on those grounds. Rather than oppose the Company’s motion, plaintiff elected to file an amended complaint. The amended complaint was filed on February 6, 2018, which added Richard J. Lashley, Doug H. Bowers and John Grosvenor as individual defendants, and which added purported claims for gross negligence and unjust enrichment. The Company anticipates that it will file a motion to dismiss the amended complaint. On September 5, 2017, Jeffrey T. Seabold, a former officer of the Company and the Bank, filed a complaint in the Los Angeles Superior Court against the Company and multiple unnamed defendants asserting claims for breach of contract, wrongful termination, retaliation and unfair business practices. Mr. Seabold alleges that he was constructively terminated as a Company and Bank employee and seeks in excess of $5 million in damages. On January 19, 2018, the parties reached a settlement in principle through mediation and a final settlement agreement was executed on February 14, 2018. The settlement will not have a material adverse effect on our financial condition, results of operations or liquidity. For additional information, including the terms of the settlement agreement, see Note 25. |
QUARTERLY RESULTS OF OPERATIONS
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) | QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) The following table presents the unaudited quarterly results of operations for the year ended December 31, 2017 : Three Months Ended, ($ in thousands, except per share data) March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 Interest income $ 98,842 $ 96,440 $ 96,751 $ 97,157 Interest expense 18,361 20,940 21,715 23,984 Net interest income 80,481 75,500 75,036 73,173 Provision for loan losses 2,583 2,503 3,561 5,052 Noninterest income 14,903 5,707 18,365 5,695 Noninterest expense 89,896 76,319 75,671 66,382 Income from continuing operations before income taxes 2,905 2,385 14,169 7,434 Income tax benefit (6,471 ) (12,753 ) (3,939 ) (3,418 ) Income from continuing operations 9,376 15,138 18,108 10,852 Income (loss) from discontinued operations before income taxes 13,348 (4,991 ) (1,958 ) 765 Income tax (benefit) expense 5,523 (2,110 ) (799 ) 315 Income (loss) from discontinued operations 7,825 (2,881 ) (1,159 ) 450 Net income 17,201 12,257 16,949 11,302 Dividends on preferred stock 5,113 5,113 5,112 5,113 Net income available to common stockholders $ 12,088 $ 7,144 $ 11,837 $ 6,189 Basic earnings per common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 Diluted earnings per common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 Basic earnings per class B common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 Diluted earnings per class B common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 The following table presents the unaudited quarterly results of operations for the year ended December 31, 2016: Three Months Ended, ($ in thousands, except per share data) March 31, 2016 June 30, 2016 September 30, 2016 December 31, 2016 Interest income $ 81,062 $ 90,929 $ 98,122 $ 99,731 Interest expense 13,823 13,603 15,274 16,799 Net interest income 67,239 77,326 82,848 82,932 Provision for loan losses 321 1,769 2,592 589 Noninterest income 21,193 22,903 22,030 32,504 Noninterest expense 59,144 65,053 86,123 92,895 Income from continuing operations before income taxes 28,967 33,407 16,163 21,952 Income tax (benefit) expense 11,661 13,647 (9,016 ) (2,543 ) Income from continuing operations 17,306 19,760 25,179 24,495 Income from discontinued operations before income taxes 3,988 11,390 18,574 14,965 Income tax expense 1,607 4,622 7,816 6,196 Income from discontinued operations 2,381 6,768 10,758 8,769 Net income 19,687 26,528 35,937 33,264 Dividends on preferred stock 4,575 5,114 5,112 5,113 Net income available to common stockholders $ 15,112 $ 21,414 $ 30,825 $ 28,151 Basic earnings per common share Income from continuing operations $ 0.30 $ 0.30 $ 0.38 $ 0.37 Income (loss) from discontinued operations 0.06 0.14 0.22 0.18 Net income $ 0.36 $ 0.44 $ 0.60 $ 0.55 Diluted earnings per common share Income from continuing operations $ 0.30 $ 0.29 $ 0.38 $ 0.36 Income (loss) from discontinued operations 0.06 0.14 0.21 0.18 Net income $ 0.36 $ 0.43 $ 0.59 $ 0.54 Basic earnings per class B common share Income from continuing operations $ 0.30 $ 0.30 $ 0.38 $ 0.37 Income (loss) from discontinued operations 0.06 0.14 0.22 0.18 Net income $ 0.36 $ 0.44 $ 0.60 $ 0.55 Diluted earnings per class B common share Income from continuing operations $ 0.30 $ 0.30 $ 0.38 $ 0.37 Income (loss) from discontinued operations 0.06 0.14 0.22 0.18 Net income $ 0.36 $ 0.44 $ 0.60 $ 0.55 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Settlement Agreement: On January 19, 2018, the Company and the Bank reached a settlement in principle, through mediation, with Jeffrey T. Seabold, the Bank’s former Management Vice Chair, and the parties entered into a final settlement agreement on February 14, 2018, all as more fully described in Note 25. The Company evaluated subsequent events through the date of issuance of the financial data included herein. Other than the event discussed above, there have been no subsequent events occurred during such period that would require disclosure in this report or would be required to be recognized on the Consolidated Financial Statements as of December 31, 2017 . |
SUMMARY OF SIGNIFICANT ACCOUN38
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation: The consolidated financial statements include the accounts of the Company and all other entities in which it has a controlling financial interest. All significant intercompany accounts and transactions have been eliminated in consolidation. Unless the context requires otherwise, all references to the Company include its wholly owned subsidiaries. The accounting and reporting polices of the Company are based upon GAAP and conform to predominant practices within the financial services industry. Significant accounting policies followed by the Company are presented below. Certain prior period amounts have been reclassified to conform to the current year's presentation. These reclassifications had no impact on the Company's consolidated statements of financial condition or operations. |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and disclosures provided, and actual results could differ. The allowance for loan and lease losses, reserve for loss on repurchased loans, reserve for unfunded loan commitments, servicing rights, realization of deferred tax assets, the valuation of goodwill and other intangible assets, mortgage banking derivatives, purchased credit impaired loan discount accretion, HLBV of investments in alternative energy partnerships, fair value of assets and liabilities acquired in business combinations, and the fair value measurement of financial instruments are particularly subject to change and such change could have a material effect on the consolidated financial statements. |
Discontinued Operations | Discontinued Operations: During the year ended December 31, 2017, the Company completed the sale of its Banc Home Loans division, which largely represented the Company's Mortgage Banking segment. In accordance with ASC 205-20, the Company determined that the sale of the Banc Home Loans division and certain other mortgage banking related assets and liabilities that will be sold or settled separately within one year met the criteria to be classified as a discontinued operation and the related operating results and financial condition have been presented as discontinued operations on the consolidated financial statements. See Note 2 for additional information. Unless otherwise indicated, information included in these notes to the consolidated financial statements is presented on a consolidated operations basis, which includes results from both continuing and discontinued operations, for all periods presented. |
Segment Reporting | Segment Reporting: In connection with the sale of its Banc Home Loans division, which largely represented the Company's Mortgage Banking segment, the Company reassessed its reportable operating segments. Based on this internal evaluation, the Company determined that all three of its previously disclosed reportable segments, Commercial Banking, Mortgage Banking, and Corporate/Other, are no longer applicable. Accordingly, to better reflect how the Company is now managed and how information is reviewed by the chief operating decision maker, the Company's chief executive officer, the Company determined that all services offered by the Company relate to Commercial Banking. As a result, the Company's only reportable segment is Commercial Banking. |
Variable Interest Entities | Variable Interest Entities: The Company holds ownership interests in certain special purpose entities. The Company evaluates its interest in these entities to determine whether they meet the definition of a variable interest entity (VIE) and whether the Company is required to consolidate these entities. A VIE is consolidated by its primary beneficiary, the party that has both the power to direct the activities that most significantly impact the VIE and a variable interest that could potentially be significant to the VIE. A variable interest is a contractual, ownership or other interest that changes with changes in the fair value of the VIE’s net assets. To determine whether or not a variable interest the Company holds could potentially be significant to the VIE, the Company considers both qualitative and quantitative factors regarding the nature, size and form of its involvement with the VIE. The Company analyzes whether the Company is the primary beneficiary of VIE on an ongoing basis. Changes in facts and circumstances occurring since the previous primary beneficiary determination are considered as part of this ongoing assessment. |
Cash and cash equivalents | Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, cash items in transit, cash due from the Federal Reserve Bank and other financial institutions, and federal funds sold with original maturities less than 90 days. |
Time Deposits in Financial Institutions | Time Deposits in Financial Institutions: Time deposits in financial institutions have original maturities over 90 days and are carried at cost. |
Investment Securities | Investment Securities: Investment securities are classified at the time of purchase as available-for-sale, held-to-maturity or held-for-trading. The Company had no investment securities classified as held-to-maturity or held-for-trading at December 31, 2017. Debt securities classified as held-to-maturity were recorded at amortized cost when management had the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities available-for-sale are carried at fair value with unrealized holding gains and losses. Unrealized holding gains and losses, net of taxes, are reported in AOCI on the Consolidated Statements of Financial Condition. During the year ended December 31, 2017, the Company evaluated its securities held-to-maturity and determined that certain securities no longer adhered to the Company’s strategic focus and could be sold or reinvested to potentially improve the Company’s liquidity position or duration profile. Accordingly, the Company was no longer able to assert that it had the intent to hold these securities until maturity. As a result, the Company transferred all $740.9 million of its held-to-maturity securities to available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $22.0 million at the time of the transfer, June 30, 2017. Due to the transfer, the Company’s ability to assert that it has both the intent and ability to hold debt securities to maturity will be limited for the foreseeable future. Accreted discounts and amortized premiums are included in interest income using the level yield method, and realized gains or losses from sales of securities are calculated using the specific identification method. Management evaluates securities for OTTI at least on a quarterly basis, and more frequently when economic conditions warrant such an evaluation. Investment securities classified as available-for-sale or held-to-maturity are generally evaluated for OTTI under ASC 320, Accounting for Certain Investments in Debt and Equity Securities. However, certain purchased beneficial interests, including non-agency mortgage-backed securities, asset-backed securities, collateralized debt obligations, and collateralized loan obligations, that had credit ratings at the time of purchase of below AA are evaluated using the model outlined in ASC 325, Recognition of Interest Income and Impairment on Purchased Beneficial Interests and Beneficial Interests that Continue to be Held by a Transferor in Securitized Financial Assets . In determining OTTI under the ASC 320 model, management considers the extent and duration of the unrealized loss and the financial condition and near-term prospects of the issuer. Management also considers whether the market decline was affected by macroeconomic conditions, and assesses whether the Company intends to sell, or it is more likely than not it will be required to sell a security in an unrealized loss position before recovery of its amortized cost basis. The assessment of whether OTTI exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. The second segment of the portfolio uses the OTTI guidance provided by ASC 325 that is specific to purchased beneficial interests that, on the purchase date, were rated below AA. Under the ASC 325 model, the Company compares the present value of the remaining cash flows, as estimated at the preceding evaluation date, to the current expected remaining cash flows. An OTTI is deemed to have occurred if there has been an adverse change in the remaining expected future cash flows. When OTTI occurs in either model, the amount of the impairment recognized in earnings depends on the Company’s intent to sell the security or if it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: (i) OTTI related to credit loss, which must be recognized in the income statement and (ii) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities the entire amount of impairment is recognized through earnings. |
Federal Home Loan Bank and Federal Reserve Bank Stock | Federal Home Loan Bank and Federal Reserve Bank Stock: The Bank is a member of the FHLB and Federal Reserve Bank system. Members are required to own a certain amount of FHLB and Federal Reserve Bank stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB and Federal Reserve Bank stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported in Dividends and Other Interest-Earning Assets Interest Income on the Consolidated Statements of Operations. |
Loans Held for Sale, Carried at Fair Value, Loans Held for Sale, Carried at Lower of Cost or Fair Value | Loans Held-For-Sale, Carried at Fair Value: Loans held for sale, carried at fair value, are conforming SFR mortgage loans that are originated and intended for sale in the secondary market, repurchased loans that were previously sold to Ginnie Mae and other GSEs, and loans sold to Ginnie Mae that are delinquent more than 90 days and subject to a purchase option by the Company. The fair value of loans held-for-sale is based on commitments outstanding from investors as well as what secondary market investors are currently offering for portfolios with similar characteristics, except for loans that are repurchased out of Ginnie Mae loan pools, and loans sold to Ginnie Mae that are delinquent more than 90 days and subject to a purchase option by the Company, which are valued based on an internal model that estimates the expected loss the Company will incur on these loans. Loans Held-for-Sale, Carried at Lower of Cost or Fair Value: The Company records non-conforming jumbo mortgage loans held-for-sale and certain commercial loans held-for-sale at the lower of cost or fair value, on an aggregate basis. Deferred loan origination fees and costs or purchase discounts or premiums included in the carrying value of the loans are not amortized and are included in the determination of gains or losses from the sale of the related loans. A valuation allowance is established if the fair value of such loans is lower than their cost, with a corresponding charge to noninterest income. When the Company changes its intent to hold loans for investment, the loans are transferred to held-for-sale at lower of cost or fair value on the transfer date and amortization of deferred fees and costs or purchase discounts or premiums is ceased. If a determination is made that a loan held-for-sale cannot be sold in the foreseeable future, it is transferred to loans held-for-investment at lower of cost or fair value on the transfer date. |
Loan and Leases | Loans and Leases: When a determination is made at the time of commitment to originate or purchase loans as held-for-investment, it is the Company’s intent to hold these loans to maturity or for the foreseeable future, subject to periodic review under the Company’s management evaluation processes, including asset/liability management. Loans and leases, other than PCI loans, that management has the intent and ability to hold for the foreseeable future, or until maturity or payoff are recorded at the principal balance outstanding, net of charge-offs, unamortized purchase premiums and discounts, and deferred loan fees and costs. Amortization of deferred loan origination fees and costs or purchase premiums and discounts are recognized in interest income as an adjustment to yield over the terms of loans and leases using the effective interest method. Deferred loan origination fees and costs on revolving lines of credit are amortized using the straight line method. Interest on loans and leases is credited to interest income as earned based on the interest rate applied to principal amounts outstanding. Interest income is accrued on the unpaid principal balance and is discontinued when management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that full collection of principal or interest becomes doubtful, regardless of the length of past due status. Generally, loans and leases are placed on non-accrual status when scheduled payments become past due for 90 days or more. When accrual of interest is discontinued, any unpaid accrued interest receivable is reversed against interest income. Interest received on such loans and leases is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. A charge-off is generally recorded at 180 days past due for SFR mortgage loans if the unpaid principal balance exceeds the fair value of the collateral less costs to sell. Commercial and industrial and commercial real estate loans and lease financings are subject to a detailed review when 90 days past due to determine accrual status, or when payment is uncertain and a specific consideration is made to put a loan or lease on non-accrual status. A charge-off for commercial and industrial and commercial real estate loans, and lease financing is recorded when a loss is confirmed. Consumer loans, other than those secured by real estate, are typically charged off no later than 120 days past due. Loans and leases are returned to accrual status when the payment status becomes current or is restructured and the borrower has demonstrated a satisfactory payment trend subject to management’s assessment of the borrower’s ability to repay the loan or lease. |
Allowance for Loan and Lease Losses | Allowance for Loan and Lease Losses: The ALLL is a reserve established through a provision for loan and lease losses, and represents management’s best estimate of probable losses that may be incurred within the existing loan and lease portfolio as of the date of the consolidated statements of financial condition. Confirmed losses are charged against the ALLL. Subsequent recoveries, if any, are credited to the ALLL. The Company performs an analysis of the adequacy of the ALLL at least quarterly. Management estimates the required ALLL balance using past loan and lease loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. The ALLL consists of three elements; (i) a specific allowance established for probable losses on individually identified impaired loans and leases, (ii) a quantitative allowance calculated using historical loss experience adjusted as necessary to reflect current conditions; and (iii) a qualitative allowance to capture economic, underwriting, process, credit, and other factors and trends that are not adequately reflected in the historical loss rates. A loan or lease is deemed impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan or lease agreement. The Company measures expected credit losses on all impaired loans and leases individually under the guidance of ASC 310, Receivables , primarily through the evaluation of collateral values and estimated cash flows expected to be collected. Loans for which the terms have been modified by granting a concession that normally would not be provided and where the borrower is experiencing financial difficulties are considered TDRs and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The impairment amount on a collateral dependent loan is charged-off to the ALLL and the impairment amount on a loan that is not collateral dependent is set-up as a specific reserve. TDRs are also measured at the present value of estimated future cash flows using the loan’s effective rate at inception or at the fair value of collateral, less costs to sell, if repayment is expected solely from the collateral. For TDRs that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the ALLL. At December 31, 2017 , the following loan and lease portfolio segments have been identified: • Commercial and industrial (general commercial and industrial, warehouse lending, and direct leveraged lending) • Commercial real estate • Multifamily • SBA • Construction • Lease Financing • SFR - 1st deeds of trust (general SFR mortgage and other) • Other consumer (HELOC and other) The Company categorizes loans and leases into risk categories based on relevant information about the ability of borrowers and lessees (also referred to as borrowers) to service their obligations such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans and leases individually by classifying the loans and leases as to credit risk. Loans secured by multifamily and commercial real estate properties generally involve a greater degree of credit risk than SFR mortgage loans. Because payments on loans secured by multifamily and commercial real estate properties are often dependent on the successful operation or management of the properties, repayment of these loans may be subject to adverse conditions in the real estate market or the economy. Commercial and industrial loans are also considered to have a greater degree of credit risk than SFR mortgage loans due to the fact commercial and industrial loans are typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of commercial and industrial loans may be substantially dependent on the success of the business itself (which, in turn, is often dependent in part upon general economic conditions). SBA loans are similar to commercial and industrial loans, but have additional credit enhancement provided by the U.S. Small Business Administration, for up to 85 percent of the loan amount for loans up to $150 thousand and 75 percent of the loan amount for loans of more than $150 thousand. Lease financing is also similar to commercial and industrial loans in that the lease financing is typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of lease financing may be substantially dependent on the success of the business itself (which, in turn, is often dependent in part upon general economic conditions). Consumer loans may entail greater risk than SFR mortgage loans given that collection of these loans is dependent on the borrower’s continuing financial stability and, thus, are more likely to be adversely affected by job loss, divorce, illness, or personal bankruptcy. Green Loans are also considered to carry a higher degree of credit risk due to their unique cash flows. Credit risk on this asset class is also managed through the completion of regular re-appraisals of the underlying collateral and monitoring of the borrower’s usage of this account to determine if the borrower is making monthly payments from external sources or “drawdowns” on their line. In cases where the property values have declined to levels less than the original LTV ratios, or other levels deemed prudent by the Company, the Company may curtail the line and/or require monthly payments or principal reductions to bring the loan in balance. |
Troubled Debt Restructurings | Troubled Debt Restructurings: A loan is identified as a TDR when a borrower is experiencing financial difficulties and for economic or legal reasons related to these difficulties, the Company grants a concession to the borrower in the restructuring that it would not otherwise consider. The Company has granted a concession when, as a result of the restructuring to a troubled borrower, it does not expect to collect all amounts due, including principal and/or interest accrued at the original terms of the loan. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date, or a note split with principal forgiveness. Loans for which the borrower has been discharged under Chapter 7 bankruptcy are considered collateral dependent TDRs, impaired at the date of discharge, and charged down to the fair value of collateral less cost to sell. A restructuring executed at an interest rate that is at market interest rates based on the current credit characteristics of the borrower is not a TDR. The Company’s policy is to place consumer loan TDRs, except those that were performing prior to TDR status, on non-accrual status for a minimum period of 6 months . Commercial TDRs are evaluated on a case-by-case basis for determination of whether or not to place them on non-accrual status. Loans qualify for return to accrual status once they have demonstrated performance under the restructured terms of the loan for a minimum of 6 months. Initially, all TDRs are reported as impaired. Generally, TDRs are classified as impaired loans and reported as TDRs for the remaining life of the loan. Impaired and TDR classification may be removed if the borrower demonstrates compliance with the modified terms for a minimum of 6 months and through one fiscal year-end and the restructuring agreement specifies a market rate of interest equal to that which would be provided to a borrower with similar credit at the time of restructuring. In the limited circumstance that a loan is removed from TDR classification, it is the Company’s policy to continue to base its measure of loan impairment on the contractual terms specified by the loan agreement. |
Purchased Credit Impaired Loans | Purchased Credit Impaired Loans: The Company had purchased, and acquired through business combinations, loans with evidence of credit quality deterioration since origination. Evidence of credit quality deterioration as of the purchase date included statistics such as prior loan modification history, updated borrower credit scores and updated LTV ratios, some of which were not immediately available as of the purchase date. Purchased loans with evidence of credit quality deterioration where the Company estimated that it would not receive all contractual payments were accounted for as PCI loans. The excess of the cash flows expected to be collected on PCI loans, measured as of the acquisition date, over the estimated fair value was referred to as the accretable yield and was recognized in interest income over the remaining life of the loan using a level yield methodology. The difference between contractually required payments as of the acquisition date and the cash flows expected to be collected was referred to as the non-accretable difference. PCI loans that had similar risk characteristics, primarily credit risk, collateral type and interest rate risk, were pooled and accounted for as a single unit with a single composite interest rate and an aggregate expectation of cash flows. The Company estimated cash flows expected to be collected over the life of the loan using management’s best estimate which was derived using key assumptions such as default rates, loss severity and payment speeds. If, upon subsequent evaluation, the Company determined it was probable that the present value of the expected cash flows had decreased due to a deterioration of credit, the PCI loan was considered further impaired which would result in a charge to the provision for loan and lease losses and a corresponding increase to the ALLL. If, upon subsequent evaluation, it was probable that there was an increase in the present value of the expected cash flows, the Company would reduce any remaining ALLL. If there was no remaining ALLL, the Company would recalculate the amount of accretable yield as the excess of the revised expected cash flows over the current carrying value resulting in a reclassification from non-accretable difference to accretable yield. The present value of the expected cash flows for PCI loan pools was determined using the PCI loans’ effective interest rate, adjusted for changes in the PCI loans’ interest rate indices. Adjustments in interest rate assumptions and prepayment behavior did not impact the Company’s assessment of credit impairment. The present value of the expected cash flows for PCI loans acquired through mergers with other banks included, in addition to the above, an evaluation of the creditworthiness of the borrower. Loan dispositions may include sales of loans, receipt of payments in full from the borrower or foreclosure. Write-downs were not recorded on the PCI loan pool until actual losses exceeded the remaining non-accretable difference. |
Other Real Estate Owned | Other Real Estate Owned: OREO, which represents real estate acquired through foreclosure in satisfaction of commercial and real estate loans, is initially recorded at fair value less estimated selling costs of the real estate, based on current independent appraisals obtained at the time of acquisition, less costs to sell when acquired, establishing a new cost basis. Loan balances in excess of fair value of the real estate acquired at the date of acquisition are charged off against the ALLL. Gains and losses on the sale of OREO and reductions in fair value subsequent to foreclosure, and any subsequent operating expenses or income of such properties are included in All Other Expense on the Consolidated Statements of Operations. |
Bank Owned Life Insurance | Bank Owned Life Insurance: The Bank has purchased life insurance policies on certain key employees. BOLI is recorded at the amount that can be realized under the insurance contract, which is the cash surrender value. |
Premises, Equipment, and Capital Leases | Premises, Equipment, and Capital Leases: Land is carried at cost. Premises and equipment are recorded at cost less accumulated depreciation. The straight-line method was used for depreciation with the following estimated useful lives: building - 40 years and leasehold improvements - life of lease, and furniture, fixtures, and equipment - 3 to 7 years . Maintenance and repairs are expensed as incurred and improvements that extend the useful lives of assets are capitalized. |
Servicing Rights - Mortgage (Carried at Fair Value) and Servicing Rights - SBA Loans (Carried at Lower of Cost or Fair Value) | Servicing Rights - Mortgage (Carried at Fair Value): A servicing asset or liability is recognized when undertaking an obligation to service a financial asset under a mortgage servicing contract, as a result of the transfer of the Company's financial assets that meet the requirements for sale accounting. Such servicing asset or liability is initially measured at fair value based on either market prices for comparable servicing contracts or alternatively is based on a valuation model that is based on the present value of the contractually specified servicing fee, net of servicing costs, over the estimated life of the loan, using a discount rate based on the related loan rate and is recorded on the Consolidated Statements of Financial Condition. The Company measures servicing rights at fair value at each reporting date and reports changes in fair value of servicing assets in earnings in the period in which the changes occur, and such changes are included within Net Revenue on Mortgage Banking Activities on the Statements of Operations of discontinued operations. The fair values of servicing rights are subject to significant fluctuations as a result of changes in estimates and actual prepayment speeds and default rates and losses. Currently the Company does not hedge the effects of changes in fair value of its servicing assets. At December 31, 2017 , MSRs of $29.8 million were classified as held-for-sale and valued based on a market bid adjusted for estimated early payoffs and paydowns. Servicing fee income, which is reported in Loan Servicing Income on the Consolidated Statements of Operations, is recorded for fees earned for servicing loans. The fees are based on a contractual percentage of the outstanding principal; or a fixed amount per loan and are recorded as income when earned. Late fees and ancillary fees related to loan servicing are not material. See Note 7 for additional information. Servicing Rights - SBA Loans (Carried at Lower of Cost or Fair Value): The Bank originates and sells the guaranteed portion of its SBA loans. To calculate the gain (loss) on sales of SBA loans, the Bank’s investment in the loan is allocated among the retained portion of the loan, the servicing retained, the interest-only strip and the sold portion of the loan, based on the relative fair market value of each portion. The gain (loss) on the sold portion of the loan is recognized at the time of sale based on the difference between sale proceeds and the amount of the allocated investment to the sold portion of the loan. The portion of the servicing fees that represent contractually specified servicing fees (contractual servicing) is reflected as a servicing asset and is amortized over the estimated life of the servicing. In the event future prepayments exceed management’s estimates and future expected cash flows are inadequate to cover the servicing asset, impairment is recognized. The portion of servicing fees in excess of contractual servicing fees is reflected as interest-only strip receivables. Interest-only strip receivables are carried at fair value, with unrealized gains and losses recorded on the Consolidated Statements of Operations. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets: Goodwill represents the excess purchase price of businesses acquired over the fair value of the identifiable net assets acquired and is assigned to specific reporting units. Goodwill is not subject to amortization and is evaluated for impairment at least annually, normally during the third fiscal quarter, or more frequently in the interim if events occur or circumstances change indicating it would more likely than not result in a reduction of the fair value of a reporting unit below its carrying value. Goodwill is evaluated for impairment by either performing a qualitative evaluation or a two-step quantitative test. The qualitative evaluation is an assessment of factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount (Step 0). If it is more likely than not that the fair value of a reporting unit is below its carrying value based on the Step 0 analysis, the Company performs Step 1 of the two-step quantitative test. In Step 1, the fair value of a reporting unit is compared to its carrying amount, including goodwill. The Company determines the estimated fair value of each reporting unit using a discounted cash flow analysis. Discounted cash flow estimates include significant management assumptions relating to revenue growth rates, net interest margins, weighted-average cost of capital, and future economic and market conditions. If the fair value of the reporting unit exceeds its carrying amount, goodwill of the reporting unit is not considered impaired, and it is not necessary to continue to Step 2 of the impairment process. Otherwise, Step 2 is performed where the implied fair value of goodwill is compared to the carrying value of goodwill in the reporting unit. If a reporting unit's carrying value exceeds fair value, the difference is charged to noninterest expense. Other intangible assets represent purchased 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 separately or in combination with a related contract, asset or liability. Other intangible assets with finite useful lives are amortized to noninterest expense over their estimated useful lives and are evaluated for impairment whenever events occur or circumstances change indicating the carrying amount of the asset may not be recoverable. |
Alternative Energy Partnerships | Alternative Energy Partnerships: The Company invests in certain alternative energy partnerships (limited liability companies) formed to provide sustainable energy projects that are designed to generate a return primarily through the realization of federal tax credits (energy tax credits) and other tax credits. The Company is a limited partner in these partnerships, which were formed to invest in newly installed residential rooftop solar leases and power purchase agreements. As the Company’s respective investments in these entities are more than minor, the Company has significant influence, but not control, over the investee’s activities that most significantly impact its economic performance. As a result, the Company is required to apply the equity method of accounting, which generally prescribes applying the percentage ownership interest to the investee’s GAAP net income in order to determine the investor’s earnings or losses in a given period. However, because the liquidation rights, tax credit allocations and other benefits to investors can change upon the occurrence of specified events, application of the equity method based on the underlying ownership percentages would not accurately represent the Company’s investment. As a result, the Company applies the HLBV method of the equity method of accounting. The HLBV method is a balance sheet approach where a calculation is prepared at each balance sheet date to estimate the amount that the Company would receive if the equity investment entity were to liquidate all of its assets (as valued in accordance with GAAP) and distribute that cash to the investors based on the contractually defined liquidation priorities. The difference between the calculated liquidation distribution amounts at the beginning and the end of the reporting period, after adjusting for capital contributions and distributions, is the Company’s share of the earnings or losses from the equity investment for the period. To account for the tax credits earned on investments in alternative energy partnerships, the Company uses the flow-through income statement method. Under this method, the tax credits are recognized as a reduction to income tax expense and the initial book-tax differences in the basis of the investments are recognized as additional tax expense in the year they are earned. The Company does not believe the investments in alternative energy partnerships are impaired by the lower corporate income tax rate from the Tax Cuts and Jobs Act of 2017 due to the protective provision built into the partnership agreements; however, the Company expects to take longer to utilize the investment tax credits generated from these investments. |
Affordable Housing Fund Investment | Affordable Housing Fund Investment: The Company has invested in limited partnerships that were formed to develop and operate several apartment complexes designed as high-quality affordable housing for lower income tenants throughout the State of California and other states. The Company accounts for these investments under the proportional amortization method. The Company’s ownership in each limited partnership varies from 8 percent to 14 percent . Each of the partnerships must meet the regulatory minimum requirements for affordable housing for a minimum 15 -year compliance period to fully utilize the tax credits. If the partnerships cease to qualify during the compliance period, the credit may be denied for any period in which the project is not in compliance and a portion of the credit previously taken is subject to recapture with interest. See Note 20 for additional information. The recent tax law change requires investments accounted for under the proportional amortization method to be tested for impairment when events or changes in circumstances indicate that it is more-likely-than-not that the carrying amount of the investment will not be realized. Impairment is measured as the difference between the investment’s carrying amount and its fair value. The Company evaluated its affordable housing investments based on its revised expectation of the tax benefits, which includes a reduction in overall tax benefits resulting from the reduction of the corporate tax rate. The Company elected to revise its proportional amortization schedule prospectively. As a result, no significant impairment was recognized and combined total affordable housing fund investments have no impairments. |
Long-term Assets | Long-Term Assets: Premises and equipment and other long-term assets are reviewed for impairment when events indicate their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. |
Reserve for Loss on Repurchased Loans | Reserve for Loss on Repurchased Loans: In the ordinary course of business, as loans are sold, the Bank makes standard industry representations and warranties about the loans. The Bank may have to subsequently repurchase certain loans or reimburse certain investor losses that may have occurred due to defects in the origination of the loans. Such defects include documentation or underwriting errors. In addition, certain investor contracts require the Bank to repurchase loans from previous whole loan sales transactions that experience early payment defaults. If no losses are sustained due to such defects or early payment defaults, the Bank has no obligation to repurchase the loans. In addition, we have the option to buy out severely delinquent loans at par from Ginnie Mae pools for which we are the servicer and issuer of the pool. When such loans are repurchased, they are recorded initially at fair value at the time of repurchase. The resulting loss is charged against the repurchase reserve, typically the difference between unpaid principal balance plus accrued interest and the fair value at the time of repurchase. The reserve for loss on repurchased loans is an estimate that requires management judgment. The Bank’s reserve is based on expected future repurchase trends for loans already sold, and the expected loss recognized when such loans are repurchased, which include first and second trust deed loans. If loss reimbursements are made directly to the investor, the reserve for loss on repurchased loans is charged for the reimbursement losses incurred. |
Reserve for Unfunded Commitments | Reserve for Unfunded Loan Commitments: The reserve for unfunded loan commitments provides for probable losses inherent with funding the unused portion of legal commitments to lend. The reserve for unfunded loan commitments includes factors that are consistent with ALLL methodology using the expected loss factors and a draw down factor applied to the underlying borrower risk and facility grades. Changes in the reserve for unfunded loan commitments are reported as a component of All Other Expense on the Consolidated Statements of Operations. |
Deferred Financing Costs | Deferred Financing Costs: Deferred financing costs associated with the Company’s senior notes and junior subordinated amortizing notes (Amortizing Notes) are included in Long-Term Debt, Net on the Consolidated Statements of Financial Condition. The deferred financing costs are being amortized on a basis that approximates a level yield method over the 8 year term of the senior notes. On May 15, 2017, the Company made the final installment payment on the Amortizing Notes and there were no outstanding Amortizing Notes at December 31, 2017. The deferred financing costs of Amortizing Notes were amortized on a basis that approximates a level yield method over the 5 year term. |
Loan Commitments and Related Financial Instruments | Loan Commitments and Related Financial Instruments: Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. |
Stock-Based Compensation | Stock-Based Compensation: Compensation cost is recognized for stock options, restricted stock awards and units, and stock appreciation rights issued to employees and directors, based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options and stock appreciation rights, while the market price of the Company’s voting common stock at the date of grant is used for restricted stock awards and units. Generally, compensation cost is recognized over the required service period, defined as the vesting period. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. |
Income Taxes | Income Taxes: Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are the expected future tax amounts for the temporary differences between carrying amounts and tax bases of assets and liabilities, computed using enacted tax rates. A valuation allowance is established when necessary to reduce deferred tax assets when it is more-likely-than-not that a portion or all of the net deferred tax assets will not be realized. As of December 31, 2017 , the Company had a net deferred tax asset of $31.1 million , with no valuation allowance and the Company had a net deferred tax asset of $10.0 million , with no valuation allowance as of December 31, 2016 . The Company and its subsidiaries are subject to U.S. Federal income tax as well as income tax in multiple state jurisdictions. The Company is no longer subject to examination by U.S. Federal taxing authorities for years before 2014. The statute of limitations for the assessment of California Franchise taxes has expired for tax years before 2013; other state income and franchise tax statutes of limitations vary by state. Tax positions that are uncertain but meet a more likely than not recognition threshold are initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position meets the more likely than not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management's judgment. The Company had unrecognized tax benefits of $1.0 million and $0 at December 31, 2017 and 2016, respectively. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. |
Earnings Per Common Share | Earnings Per Common Share: Earnings per common share is computed under the two-class method. Basic EPS is computed by dividing net income allocated to common stockholders by the weighted-average number of shares outstanding, including the minimum number of shares issuable under purchase contracts relating to the tangible equity units (see the discussion of the tangible equity units in Note 18). Diluted EPS is computed by dividing net income allocated to common stockholders by the weighted-average number of shares outstanding, adjusted for the dilutive effect of the restricted stock units, the potentially issuable shares in excess of the minimum under purchase contracts relating to the tangible equity units, outstanding stock options, and warrants to purchase common stock. Net income allocated to common stockholders is computed by subtracting income allocated to participating securities, participating securities dividends and preferred stock dividend from net income. Participating securities are instruments granted in stock-based payment transactions that contain rights to receive non-forfeitable dividends or dividend equivalents, which includes the Stock Appreciation Rights to the extent they confer dividend equivalent rights, as described under “Stock Appreciation Rights” in Note 16. |
Comprehensive Income (Loss) | Comprehensive Income (Loss): Comprehensive income (loss) consists of net income (loss) and other comprehensive income or loss. Other comprehensive income or loss includes unrealized gains and losses on securities available-for-sale and interest rate swap, net of tax, which are recognized as a separate component of stockholders’ equity. |
Derivative Instruments | Derivative Instruments: The Company records its derivative instruments at fair value as either assets or liabilities on the Consolidated Statements of Financial Condition in Other Assets and Accrued Expenses and Other Liabilities, respectively, and has elected to present all derivatives with counterparties on a gross basis. For hedged derivatives, the Company records changes in fair value in AOCI on the Consolidated Statements of Financial Condition and records any hedge ineffectiveness in Other Income on the Consolidated Statements of Operations. For non-hedged derivatives, the Company records changes in fair value in Net Revenue on Mortgage Banking Activities or Other Income on the Consolidated Statements of Operations. Derivative Instruments Related to Mortgage Banking Activities. The Company had no derivative instruments related to mortgage banking activities at December 31, 2017. The Company previously entered into commitments to originate mortgage loans whereby the interest rate on the loan is set prior to funding (interest rate lock commitments, or IRLCs). The Company hedged the risk of the overall change in the fair value of loan commitments to borrowers by selling forward contracts on securities of GSEs. The Company had not formally designated these derivatives as a qualifying hedge relationship and accordingly, accounts for such IRLCs and forward contracts as non-hedged derivatives with changes in fair value recorded to earnings each period. The changes in fair value on these instruments were recorded in Net Revenue on Mortgage Banking Activities in the Statements of Operations of discontinued operations. The estimated fair value is based on current market prices for similar instruments. Interest Rate Swaps and Caps. The Company offers interest rate swaps and caps products to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. The Company originates a variable rate loan and enters into a variable-to-fixed interest rate swap with the customer. The Company also enters into an offsetting swap with a correspondent bank. These back-to-back agreements are intended to offset each other and allow the Company to originate a variable rate loan, while providing a contract for fixed interest payments for the customer. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer. The Company accounts for these derivative instruments as non-hedged derivatives with changes in fair value recorded to earnings each period. The changes in fair value on these instruments are recorded in Other Income on the Consolidated Statements of Operations. Foreign Exchange Contracts . The Company offers short-term foreign exchange contracts to its customers to purchase and/or sell foreign currencies at set rates in the future. These products allow customers to hedge the foreign exchange rate risk of their deposits and loans denominated in foreign currencies. In conjunction with these products the Company also enters into offsetting contracts with institutional counterparties to hedge the Company’s foreign exchange rate risk. These back-to-back contracts allow the Company to offer its customers foreign exchange products while minimizing its exposure to foreign exchange rate fluctuations. The fair value of these instruments is determined at each reporting date based on the change in the foreign exchange rate. Given the short-term nature of the contracts, the counterparties’ credit risks are considered nominal and resulted in no adjustments to the valuation of the short-term foreign exchange contracts. The changes in fair value on these instruments are recorded in Other Income on the Consolidated Statements of Operations. |
Fair Value of Financial Instruments | Fair Values of Financial Instruments: The Company measures certain assets and liabilities on a fair value basis, in accordance with ASC Topic 820, "Fair Value Measurement." Fair value is used on a recurring basis for certain assets and liabilities in which fair value is the primary basis of accounting. Examples of these include derivative instruments and available-for-sale securities. Additionally, fair value is used on a non-recurring basis to evaluate assets or liabilities for impairment in accordance with ASC Topic 825, "Financial Instruments." Examples of these include impaired loans, long-lived assets, OREO, goodwill, and core deposit intangible assets as well as loans held-for-sale accounted for at the lower of cost or fair value. Fair value is the exchange price that would be received for an asset or paid to transfer a liability in an orderly transaction between market participants. When observable market prices are not available, fair value is estimated using modeling techniques such as discounted cash flow analysis. These modeling techniques utilize assumptions that market participants would use in pricing the asset or the liability, including assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset, and the risk of nonperformance. Depending on the nature of the asset or liability, the Company uses various valuation techniques and assumptions when estimating the instrument’s fair value. Considerable judgment may be involved in determining the amount that is most representative of fair value. To increase consistency and comparability of fair value measures, ASC Topic 820, "Fair Value Measurement" established a three-level hierarchy to prioritize the inputs used in valuation techniques between observable inputs among (i) observable inputs that reflect quoted prices in active markets, (ii) inputs other than quoted prices with observable market data, and (iii) unobservable data such as the Company’s own data or single dealer non-binding pricing quotes. The Company assesses the valuation hierarchy for each asset or liability measured at the end of each quarter; as a result, assets or liabilities may be transferred within hierarchy levels due to changes in availability of observable market inputs to measure fair value at the measurement date. |
Transfer of Financial Assets | Transfer of Financial Assets: Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is generally considered to have been surrendered when (i) the transferred assets are legally isolated from the Company or its consolidated affiliates, even in bankruptcy or other receivership, (ii) the transferee has the right to pledge or exchange the assets with no conditions that constrain the transferee or provide more than a trivial benefit to the Company, and (iii) the Company does not maintain an obligation or the unilateral ability to reclaim or repurchase the assets. The Company has sold financial assets in the normal course of business, the majority of which are residential mortgage loan sales primarily to GSE through its mortgage banking activities and other individual or portfolio loans and securities sales. In accordance with accounting guidance for asset transfers, the Company considers any ongoing involvement with transferred assets in determining whether the assets can be derecognized from the balance sheet. With the exception of servicing and certain performance-based guarantees, the Company’s continuing involvement with financial assets sold is minimal and generally limited to market customary representation and warranty clauses. When the Company sells financial assets, it may retain servicing rights and/or other interests in the financial assets. The gain or loss on sale depends on the previous carrying amount of the transferred financial assets and the fair value of the consideration received, including cash, originated mortgage servicing rights and other interests in the sold assets, and any liabilities incurred in exchange for the transferred assets. Upon transfer, any servicing assets and other interests retained by the Company are carried at fair value or the lower of cost or fair value. |
Loss Contingencies | Loss Contingencies: Loss contingencies, including claims and legal actions are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are any such matters that will have a material effect on the consolidated financial statements that are not currently accrued for. See Note 26 for additional information regarding legal actions. |
Dividend Restriction | Dividend Restriction: Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Company or by the Company to its stockholders. |
Fee Revenue | Fee Revenue: Generally, fee revenue from deposit service charges and loans is recognized when earned, except where collection is uncertain, in which case revenue is recognized when received. As ASU 2014-09 becomes effective in 2018, the Company has evaluated the accounting impact of adopting this guidance. The scope of this guidance explicitly excludes net interest income, as well as other revenues from transactions involving financial instruments such as loans, leases, and securities. Certain noninterest income items such as service charges on deposits accounts, gain and loss on other real estate owned sales, and other income items are within the scope of this guidance. The Company identified and reviewed revenue streams within the scope of this guidance, including escrow fees, trust and fiduciary fees, deposit service fees, debit card fees, investment commissions, and gains on sales of OREO, which represent a significant portion of the Company’s noninterest income that falls into the scope of this guidance. Based on its review, the Company determined that this guidance will not require significant changes to the manner in which income from those revenue streams within the scope of ASC 606 is currently recognized. |
Marketing Costs | Marketing Costs: Marketing costs are expensed as incurred. |
Adopted Accounting Pronouncements and Accounting Pronouncements Not Yet Adopted | Adopted Accounting Pronouncements: During the year ended December 31, 2017, the following pronouncement applicable to the Company was adopted: In March 2016, the FASB issued ASU 2016-09, “Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. ” This Update was issued as a part of the FASB’s simplification initiative, and intends to improve the accounting for share-based payment transactions. The ASU changes several aspects of the accounting for share-based payment award transactions, including accounting for excess tax benefits and deficiencies, income statement recognition, cash flow classification, forfeitures, and tax withholding requirements. As required, ASU 2016-09 was adopted effective January 1, 2017. Adoption of the new guidance did not have a material impact on the Company's consolidated financial statements. See Note 13 for additional information. In October 2016, the FASB issued ASU 2016-17, “Consolidation (Topic 810). ” This Update amends the guidance in ASU 2015-02, Amendments to the Consolidation Analysis . Determining whether an entity is a primary beneficiary of VIE, ASU 2015-02 requires a single decision maker of a VIE to consider indirect economic interests in the entity held through related parties on a proportionate basis unless the decision maker and its related parties are under common control. If the decision maker and its related parties are under common control, the guidance requires the decision maker to deem the indirect interests to be the equivalent of direct interests in their entirety. However, under this Update, when the decision maker evaluates whether it is a primary beneficiary of the VIE, it will need to consider only its proportionate indirect interests in the VIE held through a common control party. This Update was effective for public business entities with their fiscal years beginning after December 15, 2016 including interim periods within those fiscal years. An entity that has adopted the amendments in Update 2015-12 is required to apply this Update retrospectively to all relevant prior periods since the Update 2015-02 adoption. Adoption of the new guidance did not have a material impact on the Company's consolidated financial statements. |
SALES OF BRANCH, SUBSIDIARY A39
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal groups including discontinued operations | The following table summarizes the calculation of the net gain on disposal of discontinued operations: ($ in thousands) Year Ended December 31, 2017 Proceeds from the transaction $ 63,054 Compensation expense related to the transaction (3,500 ) Other transaction costs (3,431 ) Net cash proceeds 56,123 Book value of certain assets sold (2,455 ) Book value of MSRs sold (37,772 ) Goodwill (2,100 ) Net gain on disposal $ 13,796 The following tables present the financial information of discontinued operations as of the dates and for the periods indicated: Statements of Financial Condition of Discontinued Operations December 31, ($ in thousands) 2017 2016 ASSETS Loans held-for-sale, carried at fair value (1) $ 38,696 $ 406,338 Loans held-for-sale, carried at lower of cost or fair value — 295 Servicing rights carried at fair value — 37,681 Premises, equipment, and capital leases, net — 2,700 Goodwill — 2,100 Other assets 204 33,380 Assets of discontinued operations $ 38,900 $ 482,494 LIABILITIES Accrued expenses and other liabilities (1) $ 7,819 $ 34,480 Liabilities of discontinued operations $ 7,819 $ 34,480 (1) Includes $7.1 million and $16.5 million of GNMA loans, respectively, that were delinquent more than 90 days and subject to a repurchase option by the Company at December 31, 2017 and 2016 , respectively. As such, the Company is deemed to have regained control over those previously transferred assets and has re-recognized them with an offsetting liability recognized in Accrued Expenses and Other Liabilities in the Statements of Financial Condition of Discontinued Operations, as a secured borrowing. Because the Company intends to exercise its option to repurchase and sell them within one year, they have been classified as part of discontinued operations. Statements of Operations of Discontinued Operations Year Ended December 31, ($ in thousands) 2017 2016 2015 Interest income Loans, including fees $ 7,052 $ 15,128 $ 12,531 Total interest income 7,052 15,128 12,531 Noninterest income Net gain on disposal 13,796 — — Loan servicing income 1,551 4,752 1,568 Net revenue on mortgage banking activities 42,889 167,024 144,685 Loan brokerage income 164 268 315 All other income 1,707 1,206 (2,097 ) Total noninterest income 60,107 173,250 144,471 Noninterest expense Salaries and employee benefits 38,374 111,771 98,269 Occupancy and equipment 3,964 10,972 11,040 Professional fees 2,546 920 693 Outside Service Fees 5,625 6,063 4,383 Data processing 687 2,522 2,173 Advertising 1,357 3,846 2,689 Restructuring expense 3,794 — — All other expenses 3,648 3,367 2,655 Total noninterest expense 59,995 139,461 121,902 Income from discontinued operations before income taxes 7,164 48,917 35,100 Income tax expense 2,929 20,241 14,146 Income (loss) from discontinued operations $ 4,235 $ 28,676 $ 20,954 Statements of Cash Flows of Discontinued Operations Year Ended December 31, ($ in thousands) 2017 2016 2015 Net cash provided by (used in) operating activities $ 365,045 $ (19,757 ) $ (80,100 ) Net cash provided by investing activities 56,123 — — Net cash provided by (used in) discontinued operations $ 421,168 $ (19,757 ) $ (80,100 ) The following table summarizes the calculation of the gain on sale of The Palisades Group recognized: ($ in thousands) Year Ended December 31, 2016 Consideration received (paid) Liabilities forgiven by The Palisades Group $ 1,862 Liabilities assumed by the Company (1,078 ) The Note 2,370 Aggregate fair value of consideration received 3,154 Less: net assets sold (carrying amount of The Palisades Group) (540 ) Gain on sale of The Palisades Group $ 3,694 |
FAIR VALUES OF FINANCIAL INST40
FAIR VALUES OF FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Assets Measured on a Recurring Basis | The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 : Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2017 Assets Securities available-for-sale: SBA loan pools securities $ 1,058 $ — $ 1,058 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 476,929 — 476,929 — Non-agency residential mortgage-backed securities 756 — 756 — Non-agency commercial mortgage-backed securities 310,511 — 310,511 — Collateralized loan obligations 1,702,318 — 1,702,318 — Corporate debt securities 83,897 — 83,897 — Loans held-for-sale, carried at fair value (1) 105,299 — 6,359 98,940 Mortgage servicing rights (2) 31,852 — — 31,852 Derivative assets: Interest rate swaps and caps (3) 1,005 — 1,005 — Liabilities Derivative liabilities: Interest rate swaps and caps (4) 1,033 — 1,033 — (1) Includes loans held-for-sale carried at fair value of $38.7 million ( $6.4 million at Level 2 and $32.3 million at Level 3) of discontinued operations, which are included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (2) Included in Servicing Rights, Net on the Consolidated Statements of Financial Condition (3) Included in Other Assets on the Consolidated Statements of Financial Condition (4) Included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2016 : Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2016 Assets Securities available-for-sale: SBA loan pools securities $ 1,221 $ — $ 1,221 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 807,273 — 807,273 — Non-agency residential mortgage-backed securities 117,177 — 117,177 — Collateralized loan obligations 1,406,869 — 1,406,869 — Corporate debt securities 48,948 — 48,948 — Loans held-for-sale, carried at fair value (1) 416,974 — 358,714 58,260 Mortgage servicing rights (2) 76,121 — — 76,121 Derivative assets Interest rate lock commitments (3) 8,317 — 8,317 — Mandatory forward commitments (3) 8,897 — 8,897 — Interest rate swaps and caps (4) 707 — 707 — Foreign exchange contracts (4) 47 — 47 — Liabilities Derivative liabilities Interest rate lock commitments (5) 231 — 231 — Mandatory forward commitments (5) 1,212 — 1,212 — Interest rate swaps and caps (6) 655 — 655 — Foreign exchange contracts (6) 18 — 18 — (1) Includes loans held-for-sale carried at fair value of $406.3 million ( $348.1 million at Level 2 and $58.3 million at Level 3) of discontinued operations, which are included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (2) Included in Servicing Rights, Net, except for $37.7 million included in Assets of Discontinued Operations, on the Consolidated Statements of Financial Condition (3) Included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (4) Included in Other Assets on the Consolidated Statements of Financial Condition (5) Included in Liabilities of Discontinued Operations on the Consolidated Statements of Financial Condition (6) Included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition |
Fair Value Liabilities Measured on a Recurring Basis | The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 : Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2017 Assets Securities available-for-sale: SBA loan pools securities $ 1,058 $ — $ 1,058 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 476,929 — 476,929 — Non-agency residential mortgage-backed securities 756 — 756 — Non-agency commercial mortgage-backed securities 310,511 — 310,511 — Collateralized loan obligations 1,702,318 — 1,702,318 — Corporate debt securities 83,897 — 83,897 — Loans held-for-sale, carried at fair value (1) 105,299 — 6,359 98,940 Mortgage servicing rights (2) 31,852 — — 31,852 Derivative assets: Interest rate swaps and caps (3) 1,005 — 1,005 — Liabilities Derivative liabilities: Interest rate swaps and caps (4) 1,033 — 1,033 — (1) Includes loans held-for-sale carried at fair value of $38.7 million ( $6.4 million at Level 2 and $32.3 million at Level 3) of discontinued operations, which are included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (2) Included in Servicing Rights, Net on the Consolidated Statements of Financial Condition (3) Included in Other Assets on the Consolidated Statements of Financial Condition (4) Included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2016 : Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2016 Assets Securities available-for-sale: SBA loan pools securities $ 1,221 $ — $ 1,221 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 807,273 — 807,273 — Non-agency residential mortgage-backed securities 117,177 — 117,177 — Collateralized loan obligations 1,406,869 — 1,406,869 — Corporate debt securities 48,948 — 48,948 — Loans held-for-sale, carried at fair value (1) 416,974 — 358,714 58,260 Mortgage servicing rights (2) 76,121 — — 76,121 Derivative assets Interest rate lock commitments (3) 8,317 — 8,317 — Mandatory forward commitments (3) 8,897 — 8,897 — Interest rate swaps and caps (4) 707 — 707 — Foreign exchange contracts (4) 47 — 47 — Liabilities Derivative liabilities Interest rate lock commitments (5) 231 — 231 — Mandatory forward commitments (5) 1,212 — 1,212 — Interest rate swaps and caps (6) 655 — 655 — Foreign exchange contracts (6) 18 — 18 — (1) Includes loans held-for-sale carried at fair value of $406.3 million ( $348.1 million at Level 2 and $58.3 million at Level 3) of discontinued operations, which are included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (2) Included in Servicing Rights, Net, except for $37.7 million included in Assets of Discontinued Operations, on the Consolidated Statements of Financial Condition (3) Included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition (4) Included in Other Assets on the Consolidated Statements of Financial Condition (5) Included in Liabilities of Discontinued Operations on the Consolidated Statements of Financial Condition (6) Included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition |
Reconciliation of Assets Measured at Fair Value on Recurring Basis | The following table presents a reconciliation of assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3), on a consolidated operations basis, for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Mortgage servicing rights (1) Balance at beginning of period $ 76,121 $ 49,939 $ 19,082 Transfers in and (out) of Level 3 (2) — — — Total gains or losses (realized/unrealized): Included in earnings—fair value adjustment (10,240 ) (5,709 ) (3,568 ) Additions 12,127 49,293 45,263 Sales, paydowns, and other (3) (46,156 ) (17,402 ) (10,838 ) Balance at end of period $ 31,852 $ 76,121 $ 49,939 Loans Repurchased or eligible to be repurchased from Ginnie Mae Loan Pools (4) Balance at beginning of period $ 58,260 $ 18,291 $ — Transfers in and (out) of Level 3 (2) — — 1,088 Total gains or losses (realized/unrealized): Included in earnings—fair value adjustment (781 ) 216 — Additions 117,215 51,123 18,555 Sales, settlements, and other (75,754 ) (11,370 ) (1,352 ) Balance at end of period $ 98,940 $ 58,260 $ 18,291 (1) Includes MSRs of discontinued operations, which is included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition, of $37.7 million , $22.9 million , and $10.7 million , respectively, in balance at beginning of period, and $0 , $37.7 million , and $22.9 million , respectively, in balance at end of period for the years ended December 31, 2017 , 2016 and 2015 (2) The Company’s policy is to recognize transfers in and transfers out as of the actual date of the event or change in circumstances that causes the transfer (3) Includes $37.8 million of MSRs sold as a part of discontinued operations for the year ended December 31, 2017 (4) Includes loans repurchased or eligible to be repurchased from Ginnie Mae Loan Pools of discontinued operations, which is included in Assets of Discontinued Operations on the Consolidated Statements of Financial Condition, of $58.3 million , $18.3 million and $0 , respectively, in balance at beginning of period, and $32.3 million , $58.3 million and $18.3 million , respectively, in balance at end of period for the years ended December 31, 2017 , 2016 and 2015 |
Quantitative Information About Level 3 Fair Value Measurements | The following table presents, as of the dates indicated, quantitative information about Level 3 fair value measurements on a recurring basis, other than loans that become severely delinquent and are repurchased out of Ginnie Mae loan pools that were valued based on an estimate of the expected loss the Company will incur on these loans, which was included as Level 3 at December 31, 2017 and 2016 : ($ in thousands) Fair Value Valuation Technique(s) Unobservable Input(s) Range (Weighted-Average) December 31, 2017 Mortgage servicing rights (1) $ 2,059 Discounted cash flow Discount rate 13.00% to 13.00% (13.00%) Prepayment rate 10.04% to 49.97% (16.54%) December 31, 2016 Mortgage servicing rights (2) $ 76,121 Discounted cash flow Discount rate 9.11% to 15.00% (10.18%) Prepayment rate 7.00% to 39.90% (11.84%) (1) Excludes MSRs held-for-sale of $29.8 million , which were valued based on a market bid adjusted for value associated with early payoffs and paydowns (2) Includes MSRs of $37.7 million of discontinued operations |
Fair value option of certain assets | The following table presents the fair value and aggregate principal balance of certain assets, on a consolidated operations basis, under the fair value option: December 31, 2017 2016 ($ in thousands) Fair Value Unpaid Principal Balance Difference Fair Value Unpaid Principal Balance Difference Loans held-for-sale, carried at fair value in continuing operations: Total loans $ 66,603 $ 67,415 $ (812 ) $ 10,636 $ 10,606 $ 30 Non-accrual loans (1) 60,999 61,900 (901 ) — — — Loans past due 90 days or more and still accruing — — — — — — Loans held-for-sale, carried at fair value in discontinued operations: Total loans $ 38,696 $ 39,541 $ (845 ) $ 406,338 $ 397,283 $ 9,055 Non-accrual loans (2) 24,073 24,297 (224 ) 54,151 54,824 (673 ) Loans past due 90 days or more and still accruing — — — — — — (1) Includes loans guaranteed by the U.S. government of $54.2 million and $0 , respectively, at December 31, 2017 and 2016 (2) Includes loans guaranteed by the U.S. government of $20.7 million and $43.8 million , respectively, at December 31, 2017 and 2016 The following table presents changes in fair value related to initial measurement and subsequent changes in fair value included in earnings for these assets and liabilities measured at fair value for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Net gains (losses) from fair value changes Net gain on sale of loans (continuing operations) $ (170 ) $ 29 $ 67 Net revenue on mortgage banking activities (discontinued operations) (288 ) 7,365 11,326 |
Fair Value Assets and Liabilities Measured on a Non-Recurring Basis | The following table presents the Company’s financial assets and liabilities measured at fair value on a non-recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs December 31, 2017 Assets Impaired loans: SBA $ 174 — — $ 174 Other real estate owned: Single family residential 1,415 — — 1,415 December 31, 2016 Assets Impaired loans: Single family residential mortgage $ 2,956 $ — $ — $ 2,956 Other real estate owned: Single family residential 2,502 — — 2,502 |
Gain and Losses Recognized on Assets Measured at Fair Value | The following table presents the gains and (losses) recognized on assets measured at fair value on a non-recurring basis for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Impaired loans: Single family residential mortgage $ (164 ) $ — $ — SBA (200 ) — 4 Other consumer (29 ) — — Other real estate owned Single family residential (284 ) (235 ) (15 ) |
Carrying Amounts and Estimated Fair Values of Financial Instruments | The following table presents the carrying amounts and estimated fair values of financial assets and liabilities as of the dates indicated: Carrying Amount Fair Value Measurement Level ($ in thousands) Level 1 Level 2 Level 3 Total December 31, 2017 Financial assets Cash and cash equivalents $ 387,699 $ 387,699 $ — $ — $ 387,699 Securities available-for-sale 2,575,469 — 2,575,469 — 2,575,469 Federal Home Loan Bank and other bank stock 75,654 — 75,654 — 75,654 Loans held-for-sale (1) 105,765 — 6,866 98,940 105,806 Loans and leases receivable, net of allowance 6,610,074 — — 6,601,767 6,601,767 Accrued interest receivable 35,355 35,355 — — 35,355 Derivative assets 1,005 — 1,005 — 1,005 Financial liabilities Deposits 7,292,903 — — 7,063,613 7,063,613 Advances from Federal Home Loan Bank 1,695,000 — 1,695,039 — 1,695,039 Long-term debt 172,941 — 180,560 — 180,560 Derivative liabilities 1,033 — 1,033 — 1,033 Accrued interest payable 7,321 7,321 — — 7,321 December 31, 2016 Financial assets Cash and cash equivalents $ 439,510 $ 439,510 $ — $ — $ 439,510 Time deposits in financial institutions 1,000 1,000 — — 1,000 Securities available-for-sale 2,381,488 — 2,381,488 — 2,381,488 Securities held-to-maturity 884,234 — 899,743 — 899,743 Federal Home Loan Bank and other bank stock 67,842 — 67,842 — 67,842 Loans held-for-sale (2) 704,651 — 652,928 58,260 711,188 Loans and leases receivable, net of allowance 5,994,308 — — 5,999,791 5,999,791 Accrued interest receivable 36,382 36,382 — — 36,382 Derivative assets 17,968 — 17,968 — 17,968 Financial liabilities Deposits 9,142,150 — — 8,908,406 8,908,406 Advances from Federal Home Loan Bank 490,000 — 490,351 — 490,351 Other borrowings 67,922 — 68,000 — 68,000 Long-term debt 175,378 — 174,006 — 174,006 Derivative liabilities 2,116 — 2,116 — 2,116 Accrued interest payable 4,114 4,114 — — 4,114 (1) Includes loans held-for-sale carried at fair value of $38.7 million ( $6.4 million at Level 2 and $32.3 million at Level 3) of discontinued operations (2) Includes loans held-for-sale carried at fair value of $406.3 million ( $348.1 million at Level 2 and $58.3 million at Level 3) of discontinued operations |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Amortized Cost and Fair Value of Investment Securities | The following table presents the amortized cost and fair value of the investment securities portfolio as of the dates indicated: ($ in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value December 31, 2017 Securities available-for-sale: SBA loan pool securities $ 1,056 $ 2 $ — $ 1,058 U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 492,255 10 (15,336 ) 476,929 Non-agency residential mortgage-backed securities 741 16 (1 ) 756 Non-agency commercial mortgage-backed securities 305,172 5,339 — 310,511 Collateralized loan obligations 1,691,455 11,129 (266 ) 1,702,318 Corporate debt securities 76,714 7,183 — 83,897 Total securities available-for-sale $ 2,567,393 $ 23,679 $ (15,603 ) $ 2,575,469 December 31, 2016 Securities held-to-maturity: Non-agency commercial mortgage-backed securities $ 305,918 $ 2,949 $ (1,781 ) $ 307,086 Collateralized loan obligations 338,226 1,461 (61 ) 339,626 Corporate debt securities 240,090 13,032 (91 ) 253,031 Total securities held-to-maturity $ 884,234 $ 17,442 $ (1,933 ) $ 899,743 Securities available-for-sale: SBA loan pool securities $ 1,221 $ — $ — $ 1,221 U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 830,682 9 (23,418 ) 807,273 Non-agency residential mortgage-backed securities 121,397 18 (4,238 ) 117,177 Collateralized loan obligations 1,395,094 12,449 (674 ) 1,406,869 Corporate debt securities 48,574 482 (108 ) 48,948 Total securities available-for-sale $ 2,396,968 $ 12,958 $ (28,438 ) $ 2,381,488 |
Summary of Amortized Cost and Fair Value of Available-for-Sale Investment Securities Portfolio | The following table presents amortized cost and fair value of the available-for-sale investment securities portfolio by expected maturity. In the case of mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities, expected maturities may differ from contractual maturities because borrowers generally have the right to call or prepay obligations with or without call or prepayment penalties. For that reason, mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities are not included in the maturity categories. December 31, 2017 ($ in thousands) Amortized Cost Fair Value Maturity: Within one year $ — $ — One to five years — — Five to ten years 76,714 83,897 Greater than ten years — — Mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities 2,490,679 2,491,572 Total $ 2,567,393 $ 2,575,469 |
Proceeds from Sales and Calls of Securities and Associated Gross Gains and Losses | The following table presents proceeds from sales and calls of securities available-for-sale and the associated gross gains and losses realized through earnings upon the sales and calls of securities available-for-sale for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Gross realized gains on sales and calls of securities available-for-sale $ 14,768 $ 30,919 $ 3,260 Gross realized losses on sales and calls of securities available-for-sale — (1,514 ) (2 ) Net realized gains on sales and calls of securities available-for-sale $ 14,768 $ 29,405 $ 3,258 Proceeds from sales and calls of securities available-for-sale $ 1,500,459 $ 4,148,003 $ 989,786 Tax expense on sales and calls of securities available-for-sale $ 6,180 $ 12,218 $ 1,368 |
Summary of Investment Securities with Unrealized Losses | The following table summarizes the investment securities with unrealized losses by security type and length of time in a continuous unrealized loss position as of the dates indicated: Less Than 12 Months 12 Months or Longer Total ($ in thousands) Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses December 31, 2017 Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 4,880 $ (35 ) $ 470,092 $ (15,301 ) $ 474,972 $ (15,336 ) Non-agency residential mortgage-backed securities — — 148 (1 ) 148 (1 ) Collateralized loan obligations 104,334 (266 ) — — 104,334 (266 ) Total securities available-for-sale $ 109,214 $ (301 ) $ 470,240 $ (15,302 ) $ 579,454 $ (15,603 ) December 31, 2016 Securities held-to-maturity: Non-agency commercial mortgage-backed securities $ 60,221 $ (1,781 ) $ — $ — $ 60,221 $ (1,781 ) Collateralized loan obligations 10,056 (6 ) 56,095 (55 ) 66,151 (61 ) Corporate debt securities 9,907 (91 ) — — 9,907 (91 ) Total securities held-to-maturity $ 80,184 $ (1,878 ) $ 56,095 $ (55 ) $ 136,279 $ (1,933 ) Securities available-for-sale: SBA loan pool securities $ 1,221 $ — $ — $ — $ 1,221 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 805,803 (23,410 ) 760 (8 ) 806,563 (23,418 ) Non-agency residential mortgage-backed securities 116,216 (4,238 ) 230 — 116,446 (4,238 ) Collateralized loan obligations 187,592 (674 ) — — 187,592 (674 ) Corporate debt securities — — 3,530 (108 ) 3,530 (108 ) Total securities available-for-sale $ 1,110,832 $ (28,322 ) $ 4,520 $ (116 ) $ 1,115,352 $ (28,438 ) |
LOANS AND LEASES AND ALLOWANC42
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Loans and Leases Receivable | The following table presents the balances in the Company’s loans and leases portfolio as of the dates indicated: ($ in thousands) NTM Loans Traditional Loans and Leases Total NTM and Traditional Loans and Leases PCI Loans Total Loans and Leases Receivable December 31, 2017 Commercial: Commercial and industrial $ — $ 1,701,951 $ 1,701,951 $ — $ 1,701,951 Commercial real estate — 717,415 717,415 — 717,415 Multifamily — 1,816,141 1,816,141 — 1,816,141 SBA — 78,699 78,699 — 78,699 Construction — 182,960 182,960 — 182,960 Lease financing — 13 13 — 13 Consumer: Single family residential mortgage 721,158 1,252,294 1,973,452 — 1,973,452 Green Loans (HELOC) - first liens 82,197 — 82,197 — 82,197 Green Loans (HELOC) - second liens 3,578 — 3,578 — 3,578 Other consumer — 103,001 103,001 — 103,001 Total loans and leases $ 806,933 $ 5,852,474 $ 6,659,407 $ — $ 6,659,407 Percentage to total loans and leases 12.1 % 87.9 % 100.0 % — % 100.0 % Allowance for loan and lease losses (49,333 ) Loans and leases receivable, net $ 6,610,074 December 31, 2016 Commercial: Commercial and industrial $ — $ 1,518,200 $ 1,518,200 $ 4,760 $ 1,522,960 Commercial real estate — 728,777 728,777 1,182 729,959 Multifamily — 1,365,262 1,365,262 — 1,365,262 SBA — 71,168 71,168 2,672 73,840 Construction — 125,100 125,100 — 125,100 Lease financing — 379 379 — 379 Consumer: Single family residential mortgage 794,120 1,091,829 1,885,949 133,212 2,019,161 Green Loans (HELOC) - first liens 87,469 — 87,469 — 87,469 Green Loans (HELOC) - second liens 3,559 — 3,559 — 3,559 Other consumer — 107,063 107,063 — 107,063 Total loans and leases $ 885,148 $ 5,007,778 $ 5,892,926 $ 141,826 $ 6,034,752 Percentage to total loans and leases 14.7 % 83.0 % 97.7 % 2.3 % 100.0 % Allowance for loan and lease losses (40,444 ) Loans and leases receivable, net $ 5,994,308 |
Non Traditional Mortgages Portfolio | The following table presents the composition of the NTM portfolio as of the dates indicated: December 31, 2017 2016 ($ in thousands) Count Amount Percent Count Amount Percent Green Loans (HELOC) - first liens 101 $ 82,197 10.2 % 107 $ 87,469 9.9 % Interest only - first liens 468 717,484 88.9 % 522 784,364 88.6 % Negative amortization 11 3,674 0.5 % 22 9,756 1.1 % Total NTM - first liens 580 803,355 99.6 % 651 881,589 99.6 % Green Loans (HELOC) - second liens 12 3,578 0.4 % 12 3,559 0.4 % Total NTM - second liens 12 3,578 0.4 % 12 3,559 0.4 % Total NTM loans 592 806,933 100.0 % 663 885,148 100.0 % Total loans and leases $ 6,659,407 $ 6,034,752 Percentage to total loans and leases 12.1 % 14.7 % |
Risk Categories for Loans and Leases | The following table presents the Company’s Green Loans first lien portfolio at December 31, 2017 by FICO scores that were obtained during the quarter ended December 31, 2017 , comparing to the FICO scores for those same loans that were obtained during the quarter ended December 31, 2016 : December 31, 2017 By FICO Scores Obtained During the Quarter Ended December 31, 2017 By FICO Scores Obtained During the Quarter Ended December 31, 2016 Change ($ in thousands) Count Amount Percent Count Amount Percent Count Amount Percent FICO score 800+ 12 $ 7,737 9.4 % 15 $ 9,091 11.1 % (3 ) $ (1,354 ) (1.7 )% 700-799 57 42,397 51.6 % 50 38,486 46.8 % 7 3,911 4.8 % 600-699 23 23,467 28.5 % 28 27,420 33.3 % (5 ) (3,953 ) (4.8 )% <600 5 4,691 5.7 % 1 1,800 2.2 % 4 2,891 3.5 % No FICO score 4 3,905 4.8 % 7 5,400 6.6 % (3 ) (1,495 ) (1.8 )% Total 101 $ 82,197 100.0 % 101 $ 82,197 100.0 % — $ — — % The table below represents the Company’s single family residential NTM first lien portfolio by LTV ratios as of the dates indicated: Green Interest Only Negative Amortization Total ($ in thousands) Count Amount Percent Count Amount Percent Count Amount Percent Count Amount Percent December 31, 2017 < 61 60 $ 51,241 62.3 % 242 $ 407,810 56.8 % 9 $ 2,826 76.9 % 311 $ 461,877 57.5 % 61-80 33 25,072 30.5 % 220 300,500 41.9 % 2 848 23.1 % 255 326,420 40.6 % 81-100 8 5,884 7.2 % 6 9,174 1.3 % — — — % 14 15,058 1.9 % > 100 — — — % — — — % — — — % — — — % Total 101 $ 82,197 100.0 % 468 $ 717,484 100.0 % 11 $ 3,674 100.0 % 580 $ 803,355 100.0 % December 31, 2016 < 61 45 $ 39,105 44.7 % 196 $ 336,744 42.9 % 16 $ 7,043 72.2 % 257 $ 382,892 43.4 % 61-80 52 41,732 47.7 % 306 434,269 55.4 % 6 2,713 27.8 % 364 478,714 54.3 % 81-100 10 6,632 7.6 % 8 8,828 1.1 % — — — % 18 15,460 1.8 % > 100 — — — % 12 4,523 0.6 % — — — % 12 4,523 0.5 % Total 107 $ 87,469 100.0 % 522 $ 784,364 100.0 % 22 $ 9,756 100.0 % 651 $ 881,589 100.0 % The following table presents the risk categories for total loans and leases as of December 31, 2017 : December 31, 2017 ($ in thousands) Pass Special Mention Substandard Doubtful Not-Rated Total NTM loans: Single family residential mortgage $ 719,182 $ 805 $ 1,171 $ — $ — $ 721,158 Green Loans (HELOC) - first liens 81,407 790 — — — 82,197 Green Loans (HELOC) - second liens 3,578 — — — — 3,578 Other consumer — — — — — — Total NTM loans 804,167 1,595 1,171 — — 806,933 Traditional loans and leases: Commercial: Commercial and industrial 1,651,628 33,376 16,947 — — 1,701,951 Commercial real estate 713,131 — 4,284 — — 717,415 Multifamily 1,815,601 540 — — — 1,816,141 SBA 72,417 1,555 4,621 106 — 78,699 Construction 182,960 — — — — 182,960 Lease financing 13 — — — — 13 Consumer: Single family residential mortgage 1,240,866 2,282 9,146 — — 1,252,294 Other consumer 98,030 422 4,549 — — 103,001 Total traditional loans and leases 5,774,646 38,175 39,547 106 — 5,852,474 PCI loans: Commercial: Commercial and industrial — — — — — — Commercial real estate — — — — — — SBA — — — — — — Consumer: Single family residential mortgage — — — — — — Total PCI loans — — — — — — Total loans and leases $ 6,578,813 $ 39,770 $ 40,718 $ 106 $ — $ 6,659,407 The following table presents the risk categories for total loans and leases as of December 31, 2016 : December 31, 2016 ($ in thousands) Pass Special Mention Substandard Doubtful Not-Rated Total NTM loans: Single family residential mortgage $ 792,179 $ 1,474 $ 467 $ — $ — $ 794,120 Green Loans (HELOC) - first liens 85,460 2,009 — — — 87,469 Green Loans (HELOC) - second liens 3,559 — — — — 3,559 Other consumer — — — — — — Total NTM loans 881,198 3,483 467 — — 885,148 Traditional loans and leases: Commercial: Commercial and industrial 1,508,636 844 8,642 78 — 1,518,200 Commercial real estate 725,861 1,350 1,566 — — 728,777 Multifamily 1,365,262 — — — — 1,365,262 SBA 70,508 — 660 — — 71,168 Construction 123,571 1,529 — — — 125,100 Lease financing 270 — 109 — — 379 Consumer: Single family residential mortgage 1,080,664 950 10,215 — — 1,091,829 Other consumer 106,632 48 383 — — 107,063 Total traditional loans and leases 4,981,404 4,721 21,575 78 — 5,007,778 PCI loans: Commercial: Commercial and industrial — 4,056 704 — — 4,760 Commercial real estate 1,182 — — — — 1,182 SBA 1,268 — 1,404 — — 2,672 Consumer: Single family residential mortgage — — — — 133,212 133,212 Total PCI loans 2,450 4,056 2,108 — 133,212 141,826 Total loans and leases $ 5,865,052 $ 12,260 $ 24,150 $ 78 $ 133,212 $ 6,034,752 |
Allowance for Loan and Lease Losses and Recorded Investment, Excluding Accrued Interest, in Loans | The following table presents a summary of activity in the ALLL for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 40,444 $ 35,533 $ 29,480 Loans and leases charged-off (5,581 ) (2,618 ) (1,942 ) Recoveries of loans and leases previously charged off 771 2,258 526 Provision for loan and lease losses 13,699 5,271 7,469 Balance at end of year $ 49,333 $ 40,444 $ 35,533 The following table presents the activity and balance in the ALLL and the recorded investment, excluding accrued interest, in loans and leases by portfolio segment and is based on the impairment method as of or for the year ended December 31, 2017 : ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Lease Financing Single Family Residential Mortgage Other Consumer Total ALLL: Balance at December 31, 2016 $ 7,584 $ 5,467 $ 11,376 $ 939 $ 2,015 $ 6 $ 12,075 $ 982 $ 40,444 Charge-offs (1,730 ) (113 ) — (625 ) (29 ) — (2,806 ) (278 ) (5,581 ) Recoveries 54 — — 422 — 32 1 262 771 Provision 8,372 (383 ) 1,889 965 1,332 (38 ) 1,726 (164 ) 13,699 Balance at December 31, 2017 $ 14,280 $ 4,971 $ 13,265 $ 1,701 $ 3,318 $ — $ 10,996 $ 802 $ 49,333 Individually evaluated for impairment $ 498 $ — $ — $ 435 $ — $ — $ 277 $ 7 $ 1,217 Collectively evaluated for impairment 13,782 4,971 13,265 1,266 3,318 — 10,719 795 48,116 Acquired with deteriorated credit quality — — — — — — — — — Total ending ALLL $ 14,280 $ 4,971 $ 13,265 $ 1,701 $ 3,318 $ — $ 10,996 $ 802 $ 49,333 Loans and leases: Individually evaluated for impairment $ 3,582 $ — $ — $ 944 $ — $ — $ 14,699 $ 4,825 $ 24,050 Collectively evaluated for impairment 1,698,369 717,415 1,816,141 77,755 182,960 13 2,040,950 101,754 6,635,357 Acquired with deteriorated credit quality — — — — — — — — — Total loans and leases $ 1,701,951 $ 717,415 $ 1,816,141 $ 78,699 $ 182,960 $ 13 $ 2,055,649 $ 106,579 $ 6,659,407 The following table presents the activity and balance in the ALLL and the recorded investment, excluding accrued interest, in loans and leases by portfolio segment and is based on the impairment method as of or for the year ended December 31, 2016 : ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Lease Financing Single Family Residential Mortgage Other Consumer Total ALLL: Balance at December 31, 2015 $ 5,850 $ 4,252 $ 6,012 $ 683 $ 1,530 $ 2,195 $ 13,854 $ 1,157 $ 35,533 Charge-offs (166 ) (414 ) — — — (974 ) (1,057 ) (7 ) (2,618 ) Recoveries 225 807 169 500 — 283 248 26 2,258 Provision 1,675 822 5,195 (244 ) 485 (1,498 ) (970 ) (194 ) 5,271 Balance at December 31, 2016 $ 7,584 $ 5,467 $ 11,376 $ 939 $ 2,015 $ 6 $ 12,075 $ 982 $ 40,444 Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ 243 $ — $ 243 Collectively evaluated for impairment 7,584 5,462 11,376 920 2,015 6 11,752 982 40,097 Acquired with deteriorated credit quality — 5 — 19 — — 80 — 104 Total ending ALLL $ 7,584 $ 5,467 $ 11,376 $ 939 $ 2,015 $ 6 $ 12,075 $ 982 $ 40,444 Loans and leases: Individually evaluated for impairment $ 2,429 $ — $ — $ — $ — $ — $ 10,629 $ 294 $ 13,352 Collectively evaluated for impairment 1,515,771 728,777 1,365,262 71,168 125,100 379 1,962,789 110,328 5,879,574 Acquired with deteriorated credit quality 4,760 1,182 — 2,672 — — 133,212 — 141,826 Total loans and leases $ 1,522,960 $ 729,959 $ 1,365,262 $ 73,840 $ 125,100 $ 379 $ 2,106,630 $ 110,622 $ 6,034,752 |
Loans and Leases Individually Evaluated for Impairment by Class of Loans and Leases | The following table presents loans and leases individually evaluated for impairment by class of loans and leases as of the dates indicated. The recorded investment, excluding accrued interest, presents customer balances net of any partial charge-offs recognized on the loans and leases and net of any deferred fees and costs. December 31, 2017 2016 ($ in thousands) Unpaid Principal Balance Recorded Investment Allowance for Loan and Lease Losses Unpaid Principal Balance Recorded Investment Allowance for Loan and Lease Losses With no related allowance recorded: Commercial: Commercial and industrial $ 471 $ 453 $ — $ 2,478 $ 2,429 $ — SBA 342 335 — — — — Consumer: Single family residential mortgage 7,521 7,553 — 8,865 8,887 — Other consumer 4,664 4,663 — 294 294 — With an allowance recorded: Commercial: Commercial and industrial 3,146 3,129 498 — — — SBA 635 609 435 — — — Consumer: Single family residential mortgage 7,090 7,146 277 1,772 1,742 243 Other consumer 157 162 7 — — — Total $ 24,026 $ 24,050 $ 1,217 $ 13,409 $ 13,352 $ 243 The following table presents information on impaired loans and leases, disaggregated by class, for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Commercial: Commercial and industrial $ 1,034 $ — $ — $ 3,490 $ 183 $ 208 $ 6,750 $ 305 $ 302 Commercial real estate — — — 148 24 24 353 37 37 Multifamily — — — — — — 395 13 15 SBA 357 — — — — — 7 2 — Construction 382 — — — — — — — — Lease Financing 19 — — — — — — — — Consumer: Single family residential mortgage 12,611 199 182 27,150 862 835 25,093 869 885 Other consumer 1,757 8 8 294 8 9 424 12 13 Total $ 16,158 $ 207 $ 190 $ 31,081 $ 1,077 $ 1,076 $ 33,022 $ 1,238 $ 1,252 |
Aging of Recorded Investment in Past Due Loans and Leases | The following table presents the aging of the recorded investment in past due loans and leases as of December 31, 2017 , excluding accrued interest receivable (which is not considered to be material), by class of loans and leases: December 31, 2017 ($ in thousands) 30 - 59 Days Past Due 60 - 89 Days Past Due Greater than 89 Days Past due Total Past Due Current Total NTM loans: Single family residential mortgage $ 3,353 $ 1,587 $ 1,171 $ 6,111 $ 715,047 $ 721,158 Green Loans (HELOC) - first liens 5,707 292 — 5,999 76,198 82,197 Green Loans (HELOC) - second liens — — — — 3,578 3,578 Other consumer — — — — — — Total NTM loans 9,060 1,879 1,171 12,110 794,823 806,933 Traditional loans and leases: Commercial: Commercial and industrial 136 3,595 948 4,679 1,697,272 1,701,951 Commercial real estate — — — — 717,415 717,415 Multifamily — — — — 1,816,141 1,816,141 SBA 3,578 — 1,319 4,897 73,802 78,699 Construction — — — — 182,960 182,960 Lease financing — — — — 13 13 Consumer: Single family residential mortgage 6,862 3,370 6,012 16,244 1,236,050 1,252,294 Other consumer 3,194 413 92 3,699 99,302 103,001 Total traditional loans and leases 13,770 7,378 8,371 29,519 5,822,955 5,852,474 PCI loans: Commercial: Commercial and industrial — — — — — — Commercial real estate — — — — — — SBA — — — — — — Consumer: Single family residential mortgage — — — — — — Total PCI loans — — — — — — Total loans and leases $ 22,830 $ 9,257 $ 9,542 $ 41,629 $ 6,617,778 $ 6,659,407 The following table presents the aging of the recorded investment in past due loans and leases as of December 31, 2016 , excluding accrued interest receivable (which is not considered to be material), by class of loans and leases: December 31, 2016 ($ in thousands) 30 - 59 Days Past Due 60 - 89 Days Past Due Greater than 89 Days Past due Total Past Due Current Total NTM loans: Single family residential mortgage $ 4,193 $ — $ 467 $ 4,660 $ 789,460 $ 794,120 Green Loans (HELOC) - first liens — — — — 87,469 87,469 Green Loans (HELOC) - second liens — — — — 3,559 3,559 Other consumer — — — — — — Total NTM loans 4,193 — 467 4,660 880,488 885,148 Traditional loans and leases: Commercial: Commercial and industrial 412 463 3,385 4,260 1,513,940 1,518,200 Commercial real estate — — — — 728,777 728,777 Multifamily — — — — 1,365,262 1,365,262 SBA 15 2 482 499 70,669 71,168 Construction 1,529 — — 1,529 123,571 125,100 Lease financing — — 109 109 270 379 Consumer: Single family residential mortgage 11,225 1,345 9,393 21,963 1,069,866 1,091,829 Other consumer 10,023 933 382 11,338 95,725 107,063 Total traditional loans and leases 23,204 2,743 13,751 39,698 4,968,080 5,007,778 PCI loans: Commercial: Commercial and industrial — — 156 156 4,604 4,760 Commercial real estate — — — — 1,182 1,182 SBA 300 232 328 860 1,812 2,672 Consumer: Single family residential mortgage 10,483 4,063 2,093 16,639 116,573 133,212 Total PCI loans 10,783 4,295 2,577 17,655 124,171 141,826 Total loans and leases $ 38,180 $ 7,038 $ 16,795 $ 62,013 $ 5,972,739 $ 6,034,752 |
Composition of Nonaccrual Loans and Leases | The following table presents the composition of non-accrual loans and leases, excluding PCI loans, as of the dates indicated: December 31, 2017 2016 ($ in thousands) NTM Loans Traditional Loans and Leases Total NTM Loans Traditional Loans and Leases Total Commercial: Commercial and industrial $ — $ 3,723 $ 3,723 $ — $ 3,544 $ 3,544 SBA — 1,781 1,781 — 619 619 Lease financing — — — — 109 109 Consumer: Single family residential mortgage 1,171 8,176 9,347 467 9,820 10,287 Other consumer — 4,531 4,531 — 383 383 Total $ 1,171 $ 18,211 $ 19,382 $ 467 $ 14,475 $ 14,942 |
Troubled Debt Restructurings | Troubled debt restructured loans and leases consist of the following as of the dates indicated: December 31, 2017 2016 ($ in thousands) NTM Loans Traditional Loans Total NTM Loans Traditional Loans Total Commercial: Commercial and industrial $ — $ 2,675 $ 2,675 $ — $ — $ — Consumer: Single family residential mortgage 471 2,653 3,124 853 1,440 2,293 Green Loans (HELOC) - first liens 2,228 — 2,228 2,240 — 2,240 Green Loans (HELOC) - second liens 294 — 294 294 — 294 Total $ 2,993 $ 5,328 $ 8,321 $ 3,387 $ 1,440 $ 4,827 The following table summarizes the pre-modification and post-modification balances of the new TDRs for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial: Commercial and industrial 1 $ 2,706 $ 2,706 — — $ — $ — $ — $ — Consumer: Single family residential mortgage 3 $ 2,416 $ 2,433 42 $ 10,278 $ 10,273 13 $ 4,571 $ 4,493 Other consumer — — — — — — 1 261 259 Total 4 $ 5,122 $ 5,139 42 10,278 $ 10,273 $ 14 $ 4,832 $ 4,752 For the years ended December 31, 2017 , 2016 , and 2015 , there were no loans and leases that were modified as TDRs during the past 12 months that had subsequent payment defaults during the periods. The following table summarizes the TDRs by modification type for the periods indicated: Modification Type Change in Principal Payments and Interest Rates Change in Principal Payments Change in Interest Rates Chapter 7 Bankruptcy Other Total ($ in thousands) Count Amount Count Amount Count Amount Count Amount Count Amount Count Amount Year ended December 31, 2017 Commercial: Commercial and industrial — $ — 1 $ 2,706 — $ — — $ — — $ — 1 $ 2,706 Consumer: Single family residential mortgage 2 1,290 1 1,143 — — — — — — 3 2,433 Total 2 $ 1,290 2 $ 3,849 — $ — — $ — — $ — 4 $ 5,139 Year ended December 31, 2016 Consumer: Single family residential mortgage 34 $ 8,622 4 $ 780 2 $ 146 1 $ 519 1 $ 206 42 $ 10,273 Total 34 $ 8,622 4 $ 780 2 $ 146 1 $ 519 1 $ 206 42 $ 10,273 Year ended December 31, 2015 Consumer: Single family residential mortgage — $ — — $ — — $ — 13 $ 4,493 — $ — 13 $ 4,493 Other consumer — — — — — — 1 259 — — 1 259 Total — $ — — $ — — $ — 14 $ 4,752 — $ — 14 $ 4,752 |
Schedule of Financing Receivables, Purchases and Sales | The following table presents loans and leases purchased and/or sold by portfolio segment, excluding loans held-for-sale, loans and leases acquired in business combinations or sold in sales of branches and business units, and PCI loans for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Purchases Sales Purchases Sales Purchases Sales Commercial: Multifamily $ — $ — $ — $ — $ — $ (242,580 ) SBA — — — — — (3,599 ) Lease financing — — 91,247 (19,741 ) 127,043 — Consumer: Single family residential mortgage — — — (149,413 ) 49,488 (165,915 ) Total $ — $ — $ 91,247 $ (169,154 ) $ 176,531 $ (412,094 ) |
Financing Receivable, Significant Activity | The following table presents loans and leases transferred from (to) loans held-for-sale by portfolio segment, excluding loans and leases transferred in connection with sales of branch and business unit, and PCI loans for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Transfers from Held-For-Sale Transfers to Held-For-Sale Transfers from Held-For-Sale Transfers to Held-For-Sale Transfers from Held-For-Sale Transfers to Held-For-Sale Commercial: Commercial and industrial $ — $ (3,924 ) $ — $ (1,757 ) $ — $ — Commercial real estate — (1,329 ) — (2,792 ) 3,762 — Multifamily — (6,583 ) — (81,780 ) — — SBA — (1,865 ) — — — — Construction — (1,528 ) — — — — Consumer: Single family residential mortgage 88,591 (450,625 ) 7,115 (105,337 ) 479,089 — Total $ 88,591 $ (465,854 ) $ 7,115 $ (191,666 ) $ 482,851 $ — |
Carrying Amount of Purchased Credit Impaired Loans and Leases | The following table presents the outstanding balance and carrying amount of PCI loans as of the dates indicated: December 31, 2017 2016 ($ in thousands) Outstanding Balance Carrying Amount Outstanding Balance Carrying Amount Commercial: Commercial and industrial $ — $ — $ 5,029 $ 4,760 Commercial real estate — — 1,613 1,182 SBA — — 3,771 2,672 Consumer: Single family residential mortgage — — 153,867 133,212 Total $ — $ — $ 164,280 $ 141,826 |
Accretable Yield, or Income Expected to be Collected | The following table presents a summary of accretable yield, or income expected to be collected for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 41,181 $ 205,549 $ 92,301 New loans or leases purchased — 23,568 138,046 Accretion of income (3,833 ) (34,616 ) (23,441 ) Increase (decrease) in expected cash flows (225 ) (10,650 ) 19,852 Disposals (34,886 ) (142,670 ) (21,209 ) Other (2,237 ) — — Balance at end of year $ — $ 41,181 $ 205,549 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period | The following table presents PCI loans purchased for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Consumer: Single family residential mortgage — 103,799 571,245 Outstanding unpaid principal balance at acquisition $ — $ 103,799 $ 571,245 Cash flows expected to be collected at acquisitions $ — $ 114,552 $ 667,224 Fair value of acquired loans at acquisition $ — $ 90,984 $ 529,178 |
PREMISES, EQUIPMENT, AND CAPI43
PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment, Including Capital Leases | The following table presents the summary of premises, equipment, and capital lease, net, as of the dates indicated: December 31, ($ in thousands) 2017 2016 Land $ 10,160 $ 11,130 Building and improvement 110,168 87,393 Furniture, fixtures, and equipment 36,946 45,581 Leasehold improvements 12,807 16,034 Construction in process 175 20,435 Total 170,256 180,573 Less accumulated depreciation (34,557 ) (36,956 ) Premises, equipment, and capital lease, net $ 135,699 $ 143,617 |
Future Commitments under Operating Leases and Capital Leases | The following table presents the future commitments under operating leases and capital leases as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Commitments under operating leases $ 6,833 $ 5,651 $ 5,175 $ 3,576 $ 7,189 $ 28,424 Commitments under capital lease 527 503 430 — — 1,460 Total $ 7,360 $ 6,154 $ 5,605 $ 3,576 $ 7,189 $ 29,884 |
SERVICING RIGHTS (Tables)
SERVICING RIGHTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Transfers and Servicing [Abstract] | |
Schedule Of Income (Loss) From Servicing Rights | The following table presents a composition of total income from servicing rights, which is reported in Loan Servicing Income on the Consolidated Statements of Operations, on a consolidated operations basis, for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Servicing fees for sold loans with servicing retained $ 19,642 $ 23,117 $ 11,739 Losses on the fair value and runoff of servicing rights (17,066 ) (17,732 ) (8,765 ) Total income from servicing rights $ 2,576 $ 5,385 $ 2,974 |
Servicing Rights | The following table presents a composition of servicing rights as of the dates indicated: December 31, ($ in thousands) 2017 2016 Mortgage servicing rights, at fair value $ 31,852 $ 76,121 SBA servicing rights, at cost 1,856 1,496 Total $ 33,708 $ 77,617 |
Mortgage Servicing Rights Fair Value and Weighted Average Life | The following table presents the key characteristics, inputs and economic assumptions used to estimate the Level 3 fair value of the MSRs, other than the MSRs held-for-sale, as of the dates indicated: December 31, ($ in thousands) 2017 2016 Fair value of retained MSRs $ 2,059 $ 76,121 Discount rate 13.00 % 10.18 % Constant prepayment rate 16.54 % 11.84 % Weighted-average life 5.07 years 6.50 years |
Mortgage Servicing Rights | The following table presents activity in the MSRs for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 76,121 $ 49,939 $ 19,082 Additions 12,127 49,293 45,263 Changes in fair value resulting from valuation inputs or assumptions (10,240 ) (5,709 ) (3,568 ) Sales of servicing rights (1) (39,345 ) (5,382 ) (5,862 ) Other—loans paid off (6,811 ) (12,020 ) (4,976 ) Balance at end of year $ 31,852 $ 76,121 $ 49,939 (1) Includes $37.8 million of MSRs sold as a part of discontinued operations for the year ended December 31, 2017. |
Small Business Administration Servicing Rights | The following table presents activity in the SBA servicing rights for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 1,496 $ 788 $ 484 Additions 761 877 597 Amortization, including prepayments (318 ) (157 ) (71 ) Impairment (83 ) (12 ) (222 ) Balance at end of year $ 1,856 $ 1,496 $ 788 |
OTHER REAL ESTATE OWNED (Tables
OTHER REAL ESTATE OWNED (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |
Schedule of Real Estate Owned | The following table presents the activity in other real estate owned for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 2,502 $ 1,097 $ 423 Additions 3,086 3,269 1,598 Sales and net direct write-downs (3,556 ) (1,833 ) (886 ) Net change in valuation allowance (236 ) (31 ) (38 ) Balance at end of year $ 1,796 $ 2,502 $ 1,097 |
Activities in Other Real Estate Owned Valuation Allowance | The following table presents the activity in the other real estate owned valuation allowance for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 6 $ 70 $ 32 Additions 242 31 38 Net direct write-downs and removals from sale (6 ) (95 ) — Balance at end of year $ 242 $ 6 $ 70 |
Expenses Related to Foreclosed Assets Included in Loan Servicing and Foreclosure Expenses | The following table presents expenses related to foreclosed assets included in All Other Expense on the Consolidated Statements of Operations for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Net (loss) gain on sales $ (48 ) $ (96 ) $ 23 Operating expenses, net of rental income (51 ) (108 ) — Total $ (99 ) $ (204 ) $ 23 |
GOODWILL AND OTHER INTANGIBLE46
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table presents changes in the carrying amount of goodwill for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Goodwill balance at beginning of the year $ 39,244 $ 39,244 $ 31,591 Goodwill adjustments for purchase accounting — — 7,653 Goodwill adjustments for discontinued operations (2,100 ) — — Goodwill balance at end of year $ 37,144 $ 39,244 $ 39,244 Accumulated impairment losses at end of year $ 2,100 $ — $ — |
Other Intangible Assets | The following table presents a summary of other intangible assets as of the dates indicated: ($ in thousands) Gross Carrying Value Accumulated Amortization Net Carrying Value December 31, 2017 Core deposit intangibles $ 30,904 $ 21,551 $ 9,353 December 31, 2016 Core deposit intangibles $ 30,904 $ 17,656 $ 13,248 Customer relationship intangible 670 391 279 Trade name intangibles 90 — 90 |
Estimated Future Amortization Expense | The following table presents estimated future amortization expenses as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Estimated future amortization expense $ 3,007 $ 2,195 $ 1,518 $ 1,081 $ 1,552 $ 9,353 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Deposits [Abstract] | |
Components of Interest Bearing Deposits | The following table presents the components of deposits as of the dates indicated: December 31, ($ in thousands) 2017 2016 Noninterest-bearing deposits $ 1,071,608 $ 1,282,629 Interest-bearing deposits Interest-bearing demand deposits 2,089,016 2,048,839 Money market accounts 1,146,859 2,731,314 Savings accounts 1,059,628 1,118,175 Certificates of deposit of $250,000 or less 1,365,452 1,550,235 Certificates of deposit of more than $250,000 560,340 410,958 Total interest-bearing deposits 6,221,295 7,859,521 Total deposits $ 7,292,903 $ 9,142,150 |
Schedule of Brokered Deposits | The following table presents a summary of brokered deposits: December 31, ($ in thousands) 2017 2016 Interest-bearing demand deposits $ 8,751 $ 8,587 Money market accounts 532,047 1,031,598 Certificates of deposit of $250,000 or less 915,623 1,207,053 Certificates of deposit of more than $250,000 — 744 Total brokered deposits $ 1,456,421 $ 2,247,982 |
Scheduled Maturities of Time Deposits | The following table presents scheduled maturities of certificates of deposit as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Certificates of deposit of $250,000 or less $ 1,275,449 $ 79,600 $ 5,615 $ 1,401 $ 3,387 $ 1,365,452 Certificates of deposit of more than $250,000 484,034 67,822 5,340 2,394 750 560,340 Total certificates of deposit $ 1,759,483 $ 147,422 $ 10,955 $ 3,795 $ 4,137 $ 1,925,792 |
FEDERAL HOME LOAN BANK ADVANC48
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
Schedule of Federal Home Loan Banks Fiscal Year Maturity | The following table presents contractual maturities by year of the Bank's advances as of December 31, 2017 : ($ in thousands) 2018 2019 2020 2021 2022 and After Total Fixed rate $ 125,000 $ 125,000 $ 100,000 $ 100,000 $ 100,000 $ 550,000 Variable rate 1,145,000 — — — — 1,145,000 Total $ 1,270,000 $ 125,000 $ 100,000 $ 100,000 $ 100,000 $ 1,695,000 |
Schedule of Federal Home Loan Bank Advances, Financial Data | The following table presents financial data of FHLB advances as of the dates or for the periods indicated: As of or For the Year Ended December 31, ($ in thousands) 2017 2016 2015 Weighted-average interest rate at end of year 1.60 % 0.67 % 0.40 % Average interest rate during the year 1.23 % 0.49 % 0.38 % Average balance $ 1,054,978 $ 1,153,208 $ 553,162 Maximum amount outstanding at any month-end $ 1,695,000 $ 1,990,000 $ 1,355,000 Balance at end of year $ 1,695,000 $ 490,000 $ 930,000 |
LONG-TERM DEBT LONG-TERM DEBT (
LONG-TERM DEBT LONG-TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The following table presents the Company's long-term debts as of the dates indicated: December 31, 2017 2016 ($ in thousands) Par Value Discount Par Value Discount 5.25% senior notes due April 15, 2025 $ 175,000 $ (2,059 ) $ 175,000 $ (2,281 ) 7.50% junior subordinated amortizing notes due May 15, 2017 — — 2,684 (25 ) Total $ 175,000 $ (2,059 ) $ 177,684 $ (2,306 ) |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The following table presents the components of income tax expense (benefit) of continuing operations for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Current income taxes: Federal $ (2,215 ) $ (3,044 ) $ 16,681 State 6,006 11,180 4,088 Total current income tax expense 3,791 8,136 20,769 Deferred income taxes: Federal (25,938 ) 6,699 4,754 State (4,434 ) (1,086 ) 2,525 Total deferred income tax expense (30,372 ) 5,613 7,279 Change in valuation allowance — — — Income tax expense (benefit) $ (26,581 ) $ 13,749 $ 28,048 |
Schedule of Effective Income Tax Rate Reconciliation | The following table presents a reconciliation of the recorded income tax expense (benefit) of continuing operations to the amount of taxes computed by applying the applicable statutory Federal income tax rate of 35.0 percent to earnings or loss before income taxes of continuing operations for the years ended December 31, 2017 , 2016 , and 2015 : Year Ended December 31, 2017 2016 2015 Computed expected income tax expense (benefit) at Federal statutory rate 35.0 % 35.0 % 35.0 % Increase (decrease) resulting from: Proportional amortization 5.1 % 0.4 % 1.1 % Other permanent book-tax differences (2.1 )% 0.2 % (0.1 )% State tax expense, net of federal benefit 3.7 % 6.4 % 5.9 % Income tax credits (149.5 )% (33.9 )% (0.9 )% Initial book-tax difference on investments in alternative energy partnership 24.9 % 5.8 % — % Write-off of Goodwill for discontinued operations 2.7 % — % — % Bank owned life insurance policies (3.0 )% (0.8 )% (0.5 )% Equity compensation windfall tax benefits (7.0 )% — % — % Remeasurement from the Tax Cuts and Jobs Act (7.8 )% — % — % Reserve for uncertain tax positions 1.9 % — % — % Other, net (2.7 )% 0.6 % 0.1 % Effective tax rates (98.8 )% 13.7 % 40.6 % |
Schedule of Deferred Tax Assets and Liabilities | The following table presents the Company's deferred tax assets and deferred tax liabilities as of the dates indicated: December 31, ($ in thousands) 2017 2016 Deferred tax assets: Allowance for loan and lease losses $ 15,178 $ 18,921 Stock-based compensation expense 2,899 6,118 Accrued expenses 1,465 10,209 Reserve for loss on repurchased loans 2,031 3,426 Federal net operating losses 571 1,162 State net operating losses 871 810 Federal income tax credits 27,550 — Unrealized loss on securities available-for-sale — 6,438 Amortization of intangible assets 732 — Prior year state tax deduction 1,527 5,555 Other deferred tax assets 3,468 3,617 Total deferred tax assets 56,292 56,256 Deferred tax liabilities: Derivative instruments adjustment — (6,559 ) Investments in partnerships (237 ) (1,945 ) Mortgage servicing rights (9,337 ) (31,658 ) Amortization of intangible assets — (30 ) Deferred loan fees and costs (7,005 ) (2,760 ) Depreciation on premises and equipment (3,797 ) (129 ) Unrealized gain on securities available-for-sale (2,368 ) — Other deferred tax liabilities (2,474 ) (3,186 ) Total deferred tax liabilities (25,218 ) (46,267 ) Valuation allowance — — Net deferred tax assets $ 31,074 $ 9,989 |
Schedule of Unrecognized Tax Benefits Roll Forward | The table below summarizes the activity related to the Company's unrecognized tax benefits for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Beginning balance $ — $ — $ 5,421 (Decrease) increase related to prior year tax positions 867 — (5,421 ) Increase in current year tax positions 180 — — Ending balance $ 1,047 $ — $ — |
RESERVE FOR LOSS ON REPURCHAS51
RESERVE FOR LOSS ON REPURCHASED LOANS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Mortgage Banking Activities [Abstract] | |
Summary of Activities in Reserve for Loss Reimbursements on Sold Loans | The following table presents a summary of activity in the reserve for losses on repurchased loans for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Balance at beginning of year $ 7,974 $ 9,700 $ 8,303 Initial provision for loan repurchases 1,622 3,942 2,026 Subsequent change in the reserve (1,812 ) (3,352 ) 2,326 Utilization of reserve for loan repurchases (2,238 ) (2,316 ) (3,801 ) Other adjustments 760 — 846 Balance at end of year $ 6,306 $ 7,974 $ 9,700 |
DERIVATIVE INSTRUMENTS (Tables)
DERIVATIVE INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Amount and Market Value of Mortgage Banking Derivatives | The following table presents the notional amount and fair value of derivative instruments included on the Consolidated Statements of Financial Condition as of the dates indicated. Note 3 contains further disclosures pertaining to the fair value of mortgage banking derivatives. December 31, 2017 2016 ($ in thousands) Notional Amount Fair Value Notional Amount Fair Value Included in assets: Interest rate lock commitments (1) $ — $ — $ 289,637 $ 8,317 Mandatory forward commitments (1) — — 537,476 8,897 Interest rate swaps and cap on loans 70,486 1,005 46,346 707 Foreign exchange contracts — — 4,236 47 Total included in assets $ 70,486 $ 1,005 $ 877,695 $ 17,968 Included in liabilities: Interest rate lock commitments (1) $ — $ — $ 22,945 $ 231 Mandatory forward commitments (1) — — 265,322 1,212 Interest rate swaps and caps on loans 70,486 1,033 46,346 655 Foreign exchange contracts — — 4,207 18 Total included in liabilities $ 70,486 $ 1,033 $ 338,820 $ 2,116 (1) Derivative instruments related to mortgage banking activities (discontinued operations). |
EMPLOYEE STOCK COMPENSATION (Ta
EMPLOYEE STOCK COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | The following table presents stock-based compensation expense and the related tax benefits for the periods indicated: Year Ended December 31, ($ in thousands) 2017 2016 2015 Stock options $ 360 $ 531 $ 528 Restricted stock awards and units 11,732 11,398 8,598 Stock appreciation rights 42 18 202 Total stock-based compensation expense $ 12,134 $ 11,947 $ 9,328 Related tax benefits $ 5,078 $ 4,963 $ 3,922 |
Unrecognized Share-Based Compensation Expense | The following table presents unrecognized stock-based compensation expense as of December 31, 2017 : ($ in thousands) Unrecognized Expense Weighted-Average Remaining Expected Recognition Period Stock option awards $ 267 2.3 years Restricted stock awards and restricted stock units 9,762 2.5 years Total $ 10,029 2.5 years |
Schedule of Stock Options | The weighted-average estimated fair value per share options granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions. Year Ended December 31, ($ in thousands, except per share data) 2017 2016 2015 Granted date fair value of options granted $ — $ 1,630 $ 729 Fair value of options vested $ 611 $ 497 $ 481 Total intrinsic value of options exercised $ 3,747 $ 722 $ 75 Cash received from options exercised $ 2,043 $ — $ 501 Weighted-average estimated fair value per share of options granted $ — $ 5.09 $ 3.76 |
Weighted Average Fair Value Assumptions | The following table presents a summary of weighted-average assumptions used for calculating fair value options for the periods indicated: Year Ended December 31, 2017 2016 2015 Dividend yield — % 3.57 % 4.14 % Expected volatility — % 43.30 % 43.04 % Expected term 0.0 years 6.5 years 6.4 years Risk-free interest rate — % 1.61 % 1.68 % The weighted-average estimated fair value per share of SARs granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions. Year Ended December 31, 2017 2016 2015 Dividend yield — % — % — % Expected volatility — % — % 23.79 % Expected term 0.0 years 0.0 years 2.0 years Risk-free interest rate — % — % 0.64 % Weighted-average estimated fair value per share of SARs granted $ — $ — $ 1.72 |
Option Activity | The following table represents stock option activity and weighted-average exercise price per share for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 968,591 $ 13.95 960,879 $ 12.86 879,070 $ 12.67 Granted — $ — 320,000 $ 16.78 193,696 $ 13.28 Cash settled — $ — 55,826 $ 14.33 — $ — Exercised (488,281 ) $ 12.53 (51,666 ) $ 11.48 (43,333 ) $ 11.55 Forfeited (269,337 ) $ 16.49 (202,743 ) $ 13.84 (68,554 ) $ 12.38 Expired — $ — (2,053 ) $ 13.88 — $ — Outstanding at end of year 210,973 $ 13.99 968,591 $ 13.95 960,879 $ 12.86 Exercisable at end of year 105,541 $ 14.68 449,655 $ 12.68 394,613 $ 12.70 |
Nonvested Share | The following table represents changes in unvested stock options and related information as of and for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 518,936 $ 15.04 566,266 $ 12.99 552,672 $ 12.74 Granted — $ — 320,000 $ 16.77 193,696 $ 13.28 Vested (174,833 ) $ 14.10 (170,837 ) $ 12.81 (170,102 ) $ 12.57 Forfeited (238,671 ) $ 16.50 (196,493 ) $ 13.86 (10,000 ) $ 12.03 Outstanding at end of year 105,432 $ 13.31 518,936 $ 15.04 566,266 $ 12.99 |
Summary of Stock Options Outstanding | The following table presents a summary of stock options outstanding as of December 31, 2017 : Options Outstanding Options Exercisable Number of Shares Intrinsic Value Weighted-Average Exercise Price per Share Weighted-Average Remaining Contractual Life Number of Shares Intrinsic Value Weighted-Average Exercise Price per Share Weighted-Average Remaining Contractual Life $10.89 to $12.21 7,344 $ 71,604 $ 10.90 6.5 years 4,400 $ 42,900 $ 10.90 6.5 years $12.21 to $13.53 116,000 853,760 $ 13.29 7.4 years 32,000 235,520 $ 13.29 7.4 years $13.53 to $14.85 47,464 325,502 $ 13.79 6.6 years 28,976 198,334 $ 13.81 6.3 years $14.85 to $16.17 16,165 78,239 $ 15.81 3.5 years 16,165 78,239 $ 15.81 3.5 years $16.17 to $17.50 24,000 75,600 $ 17.50 8.2 years 24,000 75,600 $ 17.50 8.2 years Total 210,973 $ 1,404,705 $ 13.99 7.0 years 105,541 $ 630,593 $ 14.68 6.6 years |
Restricted Stock and Restricted Stock Units Activity | The following table presents unvested restricted stock awards and restricted stock units activity as of and for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Price per Share Number of Shares Weighted-Average Price per Share Number of Shares Weighted-Average Price per Share Outstanding at beginning of year 1,417,144 $ 16.16 1,516,361 $ 12.40 1,287,302 $ 12.53 Granted (1) (2) 859,722 $ 20.81 1,711,968 $ 17.99 930,830 $ 12.31 Vested (1) (3) (854,031 ) $ 15.95 (758,999 ) $ 13.12 (451,196 ) $ 12.64 Forfeited (1) (4) (511,202 ) $ 17.80 (1,052,186 ) $ 13.92 (250,575 ) $ 12.29 Outstanding at end of year 911,633 $ 18.73 1,417,144 $ 16.16 1,516,361 $ 12.40 (1) The vesting of these awards is subject to certain performance targets and goals being met. These performance targets include conditions relating to the Company’s profitability and regulatory standing. The actual amounts of stock released upon vesting will be determined by the Compensation Committee of the Company's Board of Directors upon the Committee's certification of the satisfaction of the target level of performance. (2) The number of granted shares/units includes aggregate performance-based shares of 152,709 , 602,671 and 62,552 , respectively, for the years ended December 31, 2017 , 2016 and 2015 . (3) The number of vested shares includes aggregate performance-based shares/units of 10,000 , 0 and 0 , respectively, for the years ended December 31, 2017 , 2016 and 2015 (4) The number of forfeited shares includes aggregate performance-based shares/units of 107,545 , 615,223 and 0 , respectively, for the years ended December 31, 2017 , 2016 and 2015 . |
Summary of all Outstanding SARs | The following table represents SARs activity and the weighted-average exercise price per share for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 1,559,047 $ 11.60 1,561,681 $ 11.60 1,575,394 $ 11.58 Granted — $ — — $ — 2,973 $ 12.27 Exercised — $ — — $ — — $ — Forfeited (35 ) $ 10.09 (2,634 ) $ 10.09 (16,686 ) $ 10.09 Outstanding at end of year 1,559,012 $ 11.60 1,559,047 $ 11.60 1,561,681 $ 11.60 Exercisable at end of year 1,559,012 $ 11.60 1,550,978 $ 11.61 1,535,718 $ 11.63 The following table represents changes in unvested SARs and related information as of and for the periods indicated: Year Ended December 31, 2017 2016 2015 Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Number of Shares Weighted-Average Exercise Price per Share Outstanding at beginning of year 8,069 $ 10.09 25,963 $ 10.09 147,589 $ 10.09 Granted — $ — — $ — 2,973 $ 12.27 Vested (8,034 ) $ 10.09 (15,260 ) $ 10.09 (107,913 ) $ 10.15 Forfeited (35 ) $ 10.09 (2,634 ) $ 10.09 (16,686 ) $ 10.09 Outstanding at end of year — $ — 8,069 $ 10.09 25,963 $ 10.09 |
STOCKHOLDERS' EQUITY (Tables)
STOCKHOLDERS' EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Summary of Preferred Stock | The following table presents the Company's total outstanding preferred stock as of dates indicated: December 31, 2017 2016 ($ in thousands) Shares Authorized and Outstanding Liquidation Preference Carrying Value Shares Authorized and Outstanding Liquidation Preference Carrying Value Series C 8.00% non-cumulative perpetual 40,250 $ 40,250 $ 37,943 40,250 $ 40,250 $ 37,943 Series D 7.375% non-cumulative perpetual 115,000 115,000 110,873 115,000 115,000 110,873 Series E 7.00% non-cumulative perpetual 125,000 125,000 120,255 125,000 125,000 120,255 Total 280,250 $ 280,250 $ 269,071 280,250 $ 280,250 $ 269,071 |
Changes to Accumulate Other Comprehensive Income by Components | The following table presents changes to AOCI for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands) Securities Available-For-Sale Total Securities Available-For-Sale Total Securities Available-For-Sale Cash Flow Hedge Total Balance at beginning of period $ (9,042 ) $ (9,042 ) $ (2,995 ) $ (2,995 ) $ 509 $ (136 ) $ 373 Unrealized gain (loss) arising during the period 16,334 16,334 19,097 19,097 (2,731 ) (683 ) (3,414 ) Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale 21,990 21,990 — — — — — Reclassification adjustment from other comprehensive income (14,768 ) (14,768 ) (29,405 ) (29,405 ) (3,258 ) 918 (2,340 ) Tax effect of current period changes (9,287 ) (9,287 ) 4,261 4,261 2,485 (99 ) 2,386 Total changes, net of taxes 14,269 14,269 (6,047 ) (6,047 ) (3,504 ) 136 (3,368 ) Balance at end of period 5,227 5,227 (9,042 ) (9,042 ) (2,995 ) — (2,995 ) |
REGULATORY CAPITAL MATTERS (Tab
REGULATORY CAPITAL MATTERS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
Capital Amounts and Ratios | The following table presents the regulatory capital amounts and ratios for the Company and the Bank as of dates indicated: Minimum Capital Requirements Minimum Required to Be Well-Capitalized Under Prompt Corrective Action Provisions ($ in thousands) Amount Ratio Amount Ratio Amount Ratio December 31, 2017 Banc of California, Inc. Total risk-based capital $ 1,002,200 14.56 % $ 550,499 8.00 % N/A N/A Tier 1 risk-based capital 949,151 13.79 % 412,874 6.00 % N/A N/A Common equity tier 1 capital 682,539 9.92 % 309,656 4.50 % N/A N/A Tier 1 leverage 949,151 9.39 % 404,339 4.00 % N/A N/A Banc of California, NA Total risk-based capital $ 1,131,057 16.56 % $ 546,359 8.00 % $ 682,949 10.00 % Tier 1 risk-based capital 1,078,008 15.78 % 409,769 6.00 % 546,359 8.00 % Common equity tier 1 capital 1,078,008 15.78 % 307,327 4.50 % 443,917 6.50 % Tier 1 leverage 1,078,008 10.67 % 404,060 4.00 % 505,074 5.00 % December 31, 2016 Banc of California, Inc. Total risk-based capital $ 975,918 13.70 % $ 569,856 8.00 % N/A N/A Tier 1 risk-based capital 941,429 13.22 % 427,392 6.00 % N/A N/A Common equity tier 1 capital 672,358 9.44 % 320,544 4.50 % N/A N/A Tier 1 leverage 941,429 8.17 % 460,840 4.00 % N/A N/A Banc of California, NA Total risk-based capital $ 1,042,617 14.73 % $ 566,405 8.00 % $ 708,007 10.00 % Tier 1 risk-based capital 999,788 14.12 % 424,804 6.00 % 566,405 8.00 % Common equity tier 1 capital 999,788 14.12 % 318,603 4.50 % 460,204 6.50 % Tier 1 leverage 999,788 8.71 % 459,368 4.00 % 574,210 5.00 % |
VARIABLE INTEREST ENTITIES (Tab
VARIABLE INTEREST ENTITIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Variable Interest Entities | The following table represents the carrying value of the associated assets and liabilities and the associated maximum loss exposure for the alternative energy partnerships as of the dates indicated: December 31, ($ in thousands) 2017 2016 Cash $ 16,518 $ — Equipment, net of depreciation 246,297 151,721 Other assets 2,444 351 Total unconsolidated assets $ 265,259 $ 152,072 Total unconsolidated liabilities $ 7,181 $ — Maximum loss exposure $ 98,910 $ 68,298 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Common Share | The following table presents computations of basic and diluted EPS for the periods indicated: Year Ended December 31, 2017 2016 2015 ($ in thousands, except per share data) Common Stock Class B Common Stock Total Common Stock Class B Common Stock Total Common Stock Class B Common Stock Total Income from continuing operations $ 53,136 $ 338 $ 53,474 $ 86,500 $ 240 $ 86,740 $ 41,103 $ 15 $ 41,118 Less: income allocated to participating securities (309 ) (2 ) (311 ) (2,268 ) (6 ) (2,274 ) (1,310 ) — (1,310 ) Less: participating securities dividends (806 ) (5 ) (811 ) (757 ) (2 ) (759 ) (713 ) — (713 ) Less: preferred stock dividends (20,322 ) (129 ) (20,451 ) (19,859 ) (55 ) (19,914 ) (9,820 ) (3 ) (9,823 ) Income from continuing operations allocated to common stockholders 31,699 202 31,901 63,616 177 63,793 29,260 12 29,272 Income from discontinued operations 4,208 27 4,235 28,597 79 28,676 20,947 7 20,954 Net income allocated to common stockholders $ 35,907 $ 229 $ 36,136 $ 92,213 $ 256 $ 92,469 $ 50,207 $ 19 $ 50,226 Weighted-average common shares outstanding 49,936,627 317,968 50,254,595 46,699,050 129,413 46,828,463 37,033,725 12,869 37,046,594 Add: Dilutive effects of restricted stock units 72,655 — 72,655 218,121 — 218,121 138,646 — 138,646 Add: Dilutive effects of stock options 159,734 — 159,734 197,435 — 197,435 30,014 — 30,014 Add: Dilutive effects of warrants 332,806 — 332,806 394,086 — 394,086 383,255 — 383,255 Average shares and dilutive common shares 50,501,822 317,968 50,819,790 47,508,692 129,413 47,638,105 37,585,640 12,869 37,598,509 Basic earnings per common share Income from continuing operations $ 0.64 $ 0.64 $ 0.64 $ 1.36 $ 1.36 $ 1.36 $ 0.79 $ 0.79 $ 0.79 Income from discontinued operations 0.08 0.08 0.08 0.61 0.61 0.61 0.57 0.57 0.57 Net income $ 0.72 $ 0.72 $ 0.72 $ 1.97 $ 1.97 $ 1.97 $ 1.36 $ 1.36 $ 1.36 Diluted earnings per common share Income from continuing operations $ 0.63 $ 0.64 $ 0.63 $ 1.34 $ 1.36 $ 1.34 $ 0.78 $ 0.79 $ 0.78 Income from discontinued operations 0.08 0.08 0.08 0.60 0.61 0.60 0.56 0.57 0.56 Net income $ 0.71 $ 0.72 $ 0.71 $ 1.94 $ 1.97 $ 1.94 $ 1.34 $ 1.36 $ 1.34 |
LOAN COMMITMENTS AND OTHER RE58
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contractual Amount of Financial Instruments with Off-Balance-Sheet Risk | The contractual amount of financial instruments with off-balance sheet risk was as follows for the dates indicated: December 31, 2017 2016 ($ in thousands) Fixed Rate Variable Rate Fixed Rate Variable Rate Commitments to extend credit (1) $ 1,851 $ 335,654 $ 74,777 $ 201,321 Unused lines of credit 19,085 1,309,170 27,151 888,236 Letters of credit 1,050 12,976 1,784 8,655 (1) Includes $0 and $65.1 million , respectively, of commitments to extend credit related to discontinued operations at December 31, 2017 and 2016 . |
RESTRUCTURING (Tables)
RESTRUCTURING (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve by Type of Cost | The following table presents activities in accrued liabilities and related expenses for the restructuring as of or for the year ended December 31, 2017 : As of or For the Year Ended December 31, 2017 Expense ($ in thousands) Continuing Operations Discontinued Operations Total Accrued Liabilities Balance at beginning of period $ — Accrual: Severance and other employee related costs $ 5,326 $ 2,899 $ 8,225 8,225 Other restructuring expense — 895 895 895 Total $ 5,326 $ 3,794 $ 9,120 9,120 Payments: Severance and other employee related costs (8,023 ) Other restructuring expense (895 ) Total $ (8,918 ) Balance at end of period $ 202 |
PARENT COMPANY FINANCIAL STAT60
PARENT COMPANY FINANCIAL STATEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Statements of Financial Condition | Condensed Statements of Financial Condition December 31, ($ in thousands) 2017 2016 ASSETS Cash and cash equivalents $ 40,496 $ 158,467 FHLB and other bank stock — 78 Loans and leases receivable — 405 Investments in alternative energy partnerships, net — 25,639 Other assets 13,366 19,866 Investment in subsidiaries 1,146,788 1,038,618 Total assets $ 1,200,650 $ 1,243,073 LIABILITIES AND STOCKHOLDERS’ EQUITY Other borrowings, net $ — $ 67,922 Notes payable, net 172,941 175,378 Accrued expenses and other liabilities 15,401 19,534 Stockholders’ equity 1,012,308 980,239 Total liabilities and stockholders’ equity $ 1,200,650 $ 1,243,073 |
Condensed Statements of Operations | Condensed Statements of Operations Year Ended December 31, ($ in thousands) 2017 2016 2015 Income Dividends from subsidiaries $ 18,000 $ 57,505 $ 8,500 Interest income on loans — 5 5 Gain on sale of subsidiary — 3,694 — Other operating income 2,285 3,973 — Total income 20,285 65,177 8,505 Expenses Interest expense for notes payable and other borrowings 10,764 12,703 14,659 Provision for loan and lease losses 13 — — Loss on investments in alternative energy partnerships, net 8,493 31,510 — Other operating expense 37,201 23,730 13,810 Total expenses 56,471 67,943 28,469 Income (loss) before income taxes and equity in undistributed earnings of subsidiaries (36,186 ) (2,766 ) (19,964 ) Income tax benefit (31,453 ) (52,989 ) (8,431 ) Income (loss) before equity in undistributed earnings of subsidiaries (4,733 ) 50,223 (11,533 ) Equity in undistributed earnings of subsidiaries 62,442 65,193 73,605 Net income $ 57,709 $ 115,416 $ 62,072 |
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows Year Ended December 31, ($ in thousands) 2017 2016 2015 Cash flows from operating activities: Net income $ 57,709 $ 115,416 $ 62,072 Adjustments to reconcile net income to net cash provided by operating activities Equity in undistributed earnings of subsidiaries (62,442 ) (65,193 ) (73,605 ) Stock-based compensation expense 2,520 5,080 3,173 Amortization of debt issuance cost 247 704 727 Debt redemption costs — 2,737 — Gain on sale of subsidiary — (3,694 ) — Deferred income tax (benefit) expense 14,604 4,538 (3,575 ) Loss on investments in alternative energy partnerships, net 8,493 31,510 — Net change in other assets and liabilities (12,957 ) (14,972 ) 39,769 Net cash provided by operating activities 8,174 76,126 28,561 Cash flows from investing activities: Loan purchases from bank and principal collections, net — 221 9 Proceeds from sale of subsidiary — 259 — Capital contribution to bank subsidiary — (195,000 ) (160,000 ) Capital contribution to non-bank subsidiary — (25 ) — Investments in alternative energy partnerships (3,712 ) (57,149 ) — Net cash used in investing activities (3,712 ) (251,694 ) (159,991 ) Cash flows from financing activities: Net increase (decrease) in other borrowings (68,000 ) 68,000 — Net proceeds from issuance of common stock — 175,078 — Net proceeds from issuance of preferred stock — 120,255 110,873 Net proceeds from issuance of long-term debt — — 172,304 Redemption of preferred stock — (42,000 ) — Redemption of senior notes — (84,750 ) — Payment of junior subordinated amortizing notes (2,684 ) (5,078 ) (4,715 ) Cash settlements of stock options — (359 ) — Proceeds from exercise of stock options 2,043 — 501 Restricted stock surrendered due to employee tax liability (6,824 ) (4,436 ) (2,254 ) Dividend equivalents paid on stock appreciation rights (810 ) (742 ) (699 ) Dividends paid on common stock (25,707 ) (21,844 ) (16,955 ) Dividends paid on preferred stock (20,451 ) (19,630 ) (9,446 ) Net cash provided by (used in) financing activities (122,433 ) 184,494 249,609 Net change in cash and cash equivalents (117,971 ) 8,926 118,179 Cash and cash equivalents at beginning of year 158,467 149,541 31,362 Cash and cash equivalents at end of year $ 40,496 $ 158,467 $ 149,541 |
QUARTERLY RESULTS OF OPERATIO61
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited Quarterly Results of Operations | The following table presents the unaudited quarterly results of operations for the year ended December 31, 2017 : Three Months Ended, ($ in thousands, except per share data) March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 Interest income $ 98,842 $ 96,440 $ 96,751 $ 97,157 Interest expense 18,361 20,940 21,715 23,984 Net interest income 80,481 75,500 75,036 73,173 Provision for loan losses 2,583 2,503 3,561 5,052 Noninterest income 14,903 5,707 18,365 5,695 Noninterest expense 89,896 76,319 75,671 66,382 Income from continuing operations before income taxes 2,905 2,385 14,169 7,434 Income tax benefit (6,471 ) (12,753 ) (3,939 ) (3,418 ) Income from continuing operations 9,376 15,138 18,108 10,852 Income (loss) from discontinued operations before income taxes 13,348 (4,991 ) (1,958 ) 765 Income tax (benefit) expense 5,523 (2,110 ) (799 ) 315 Income (loss) from discontinued operations 7,825 (2,881 ) (1,159 ) 450 Net income 17,201 12,257 16,949 11,302 Dividends on preferred stock 5,113 5,113 5,112 5,113 Net income available to common stockholders $ 12,088 $ 7,144 $ 11,837 $ 6,189 Basic earnings per common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 Diluted earnings per common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 Basic earnings per class B common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 Diluted earnings per class B common share Income from continuing operations $ 0.08 $ 0.20 $ 0.25 $ 0.11 Income (loss) from discontinued operations 0.15 (0.06 ) (0.02 ) 0.01 Net income $ 0.23 $ 0.14 $ 0.23 $ 0.12 The following table presents the unaudited quarterly results of operations for the year ended December 31, 2016: Three Months Ended, ($ in thousands, except per share data) March 31, 2016 June 30, 2016 September 30, 2016 December 31, 2016 Interest income $ 81,062 $ 90,929 $ 98,122 $ 99,731 Interest expense 13,823 13,603 15,274 16,799 Net interest income 67,239 77,326 82,848 82,932 Provision for loan losses 321 1,769 2,592 589 Noninterest income 21,193 22,903 22,030 32,504 Noninterest expense 59,144 65,053 86,123 92,895 Income from continuing operations before income taxes 28,967 33,407 16,163 21,952 Income tax (benefit) expense 11,661 13,647 (9,016 ) (2,543 ) Income from continuing operations 17,306 19,760 25,179 24,495 Income from discontinued operations before income taxes 3,988 11,390 18,574 14,965 Income tax expense 1,607 4,622 7,816 6,196 Income from discontinued operations 2,381 6,768 10,758 8,769 Net income 19,687 26,528 35,937 33,264 Dividends on preferred stock 4,575 5,114 5,112 5,113 Net income available to common stockholders $ 15,112 $ 21,414 $ 30,825 $ 28,151 Basic earnings per common share Income from continuing operations $ 0.30 $ 0.30 $ 0.38 $ 0.37 Income (loss) from discontinued operations 0.06 0.14 0.22 0.18 Net income $ 0.36 $ 0.44 $ 0.60 $ 0.55 Diluted earnings per common share Income from continuing operations $ 0.30 $ 0.29 $ 0.38 $ 0.36 Income (loss) from discontinued operations 0.06 0.14 0.21 0.18 Net income $ 0.36 $ 0.43 $ 0.59 $ 0.54 Basic earnings per class B common share Income from continuing operations $ 0.30 $ 0.30 $ 0.38 $ 0.37 Income (loss) from discontinued operations 0.06 0.14 0.22 0.18 Net income $ 0.36 $ 0.44 $ 0.60 $ 0.55 Diluted earnings per class B common share Income from continuing operations $ 0.30 $ 0.30 $ 0.38 $ 0.37 Income (loss) from discontinued operations 0.06 0.14 0.22 0.18 Net income $ 0.36 $ 0.44 $ 0.60 $ 0.55 |
SUMMARY OF SIGNIFICANT ACCOUN62
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Nature of Operations (Details) | 12 Months Ended |
Dec. 31, 2017banking_office | |
Accounting Policies [Abstract] | |
Number of banking offices | 34 |
SUMMARY OF SIGNIFICANT ACCOUN63
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Change in Estimate (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Salaries and employee benefits | $ 129,153 | $ 146,147 | $ 114,845 | |
Reversal of Excess Accrual | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Salaries and employee benefits | $ (7,800) |
SUMMARY OF SIGNIFICANT ACCOUN64
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Segment Reporting (Details) - segment | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Accounting Policies [Abstract] | ||
Number of reportable segments | 1 | 3 |
SUMMARY OF SIGNIFICANT ACCOUN65
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Investment Securities (Details) $ in Millions | 3 Months Ended |
Jun. 30, 2017USD ($) | |
Accounting Policies [Abstract] | |
Held-to maturity securities transferred | $ 740.9 |
Increase to AOCI from transfer | $ 22 |
SUMMARY OF SIGNIFICANT ACCOUN66
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Loans and Leases (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Threshold period past due for nonperforming status of financing receivables | 90 days |
Threshold period past due for write-off of financing receivable | 180 days |
SUMMARY OF SIGNIFICANT ACCOUN67
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Allowance for Loan and Lease Losses (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Delinquency period | 60 days |
SBA | |
Financing Receivable, Modifications [Line Items] | |
Percentage of credit enhancement for loans up to $150,000 | 85.00% |
Percentage of credit enhancement for loans greater than $150,000 | 75.00% |
SUMMARY OF SIGNIFICANT ACCOUN68
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Troubled Debt Restructuring (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Threshold period of consecutive payments to remove from nonaccrual status | 6 months |
SUMMARY OF SIGNIFICANT ACCOUN69
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Premises and Equipment (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Buildings | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 40 years |
Leasehold Improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Leasehold Improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
Furniture, Fixtures, And Equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Furniture, Fixtures, And Equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
SUMMARY OF SIGNIFICANT ACCOUN70
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Servicing Rights (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Accounting Policies [Abstract] | |
Servicing rights, held-for-sale, fair value | $ 29,793 |
SUMMARY OF SIGNIFICANT ACCOUN71
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Affordable Housing Fund Investment (Details) - Affordable Housing Partnerships | 12 Months Ended |
Dec. 31, 2017 | |
Schedule of Equity Method Investments [Line Items] | |
Compliance period to fully utilize tax credits | 15 years |
Minimum | |
Schedule of Equity Method Investments [Line Items] | |
Ownership percentage of limited partnership | 8.00% |
Maximum | |
Schedule of Equity Method Investments [Line Items] | |
Ownership percentage of limited partnership | 14.00% |
SUMMARY OF SIGNIFICANT ACCOUN72
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Deferred Financing Costs (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Senior Notes | |
Debt Instrument [Line Items] | |
Deferred financing cost, amortization period | 8 years |
Junior Subordinated Debt | |
Debt Instrument [Line Items] | |
Deferred financing cost, amortization period | 5 years |
SUMMARY OF SIGNIFICANT ACCOUN73
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Income Taxes (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Accounting Policies [Abstract] | ||||
Net deferred tax asset | $ 31,074,000 | $ 9,989,000 | ||
Valuation allowance | 0 | 0 | ||
Unrecognized tax benefits | 1,047,000 | 0 | $ 0 | $ 5,421,000 |
Income tax penalties and interest accrued | $ 0 | $ 0 |
SALES OF BRANCH, SUBSIDIARY A74
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Branch Sales (Details) $ in Thousands | Sep. 25, 2015USD ($)Branch | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($)Branch |
Business Acquisition [Line Items] | ||||
Number of branches agreed to sell | Branch | 2 | |||
Liabilities of discontinued operations | $ 7,819 | $ 34,480 | ||
Gain on sale of branches | 0 | 0 | $ 163 | |
Proceeds from sale of loans held-for-investment | 605,502 | 930,342 | 575,477 | |
Net gain on sale of loans | $ 11,942 | $ 35,895 | 37,211 | |
Americas United Bank (AUB) | ||||
Business Acquisition [Line Items] | ||||
Number of branches agreed to sell | Branch | 2 | |||
Liabilities of discontinued operations | $ 46,900 | |||
Proceeds from sale of loans held-for-investment | 40,200 | $ 40,200 | ||
Americas United Bank (AUB) | Other Income | ||||
Business Acquisition [Line Items] | ||||
Gain on sale of branches | 163 | |||
Americas United Bank (AUB) | Net Gain on Sale of Loans | ||||
Business Acquisition [Line Items] | ||||
Net gain on sale of loans | $ 644 |
SALES OF BRANCH, SUBSIDIARY A75
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - The Palisades Group Sale Additional Information (Details) - USD ($) | May 05, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Stated interest rate | 10.00% | |||
Note receivable | $ 5,000,000 | |||
Gain on sale of The Palisades Group | $ 0 | $ 0 | $ 163,000 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | The Palisades Group | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Gain on sale of The Palisades Group | 3,700,000 | 3,694,000 | ||
The Note | $ 2,400,000 | 2,370,000 | ||
Gain on repayment of notes receivable | $ 2,800,000 |
SALES OF BRANCH, SUBSIDIARY A76
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Summary of Gain from Sale (Details) - USD ($) $ in Thousands | May 05, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Less: net assets sold (carrying amount of The Palisades Group) | $ (38,900) | $ (482,494) | ||
Gain on sale of The Palisades Group | $ 0 | 0 | $ 163 | |
The Palisades Group | Disposal Group, Disposed of by Sale, Not Discontinued Operations | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities forgiven by The Palisades Group | 1,862 | |||
Liabilities assumed by the Company | (1,078) | |||
The Note | $ 2,400 | 2,370 | ||
Aggregate fair value of consideration received | 3,154 | |||
Less: net assets sold (carrying amount of The Palisades Group) | (540) | |||
Gain on sale of The Palisades Group | $ 3,700 | $ 3,694 |
SALES OF BRANCH, SUBSIDIARY A77
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Commercial Equipment Finance Business Sale (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Oct. 27, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Gain on sale of business unit | $ 0 | $ 2,629 | $ 0 | ||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Commercial Equipment Finance | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Equipment leases disposed of | $ 242,700 | 242,700 | $ 217,200 | ||
Additional leases transferred during the period | $ 25,400 | ||||
Gain on sale of business unit | $ 2,600 |
SALES OF BRANCH, SUBSIDIARY A78
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Banc Home Loans Sale Additional Information (Details) - USD ($) $ in Thousands | Mar. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
MSRs sold | $ 39,345 | $ 5,382 | $ 5,862 | ||
Net gain on disposal | 13,796 | 0 | 0 | ||
Banc Home Loan | Discontinued Operations, Disposed of by Sale | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Cash premium payment | $ 25,000 | ||||
Book value of certain assets sold | 2,500 | $ 2,455 | 2,455 | ||
Income from earn-out | $ 1,100 | ||||
MSRs sold | 37,800 | 37,772 | |||
Net gain on disposal | 13,800 | $ 13,796 | $ 0 | $ 0 | |
Buyout Option, Future Earn-Out Receivable | Banc Home Loan | Discontinued Operations, Disposed of by Sale | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Contingent consideration | 35,000 | ||||
Caliber | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Unpaid balances of conventional agency mortgage loans | $ 3,860,000 |
SALES OF BRANCH, SUBSIDIARY A79
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Net Gain on Disposal of Discontinued Operations (Details) - USD ($) $ in Thousands | Mar. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Net cash proceeds | $ 56,123 | $ 246,957 | $ 0 | |
Book value of MSRs sold | (39,345) | (5,382) | (5,862) | |
Net gain on disposal of discontinued operations | 13,796 | 0 | 0 | |
Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Proceeds from sale of business unit | 63,054 | |||
Compensation expense related to the transaction | (3,500) | |||
Other transaction costs | (3,431) | |||
Net cash proceeds | 56,123 | |||
Book value of certain assets sold | $ (2,500) | (2,455) | ||
Book value of MSRs sold | (37,800) | (37,772) | ||
Goodwill | 0 | (2,100) | ||
Net gain on disposal of discontinued operations | $ 13,800 | $ 13,796 | $ 0 | $ 0 |
SALES OF BRANCH, SUBSIDIARY A80
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Statements of Financial Condition of Discontinued Operations (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
ASSETS | ||||
Assets of discontinued operations | $ 38,900 | $ 482,494 | ||
LIABILITIES | ||||
Liabilities of discontinued operations | 7,819 | 34,480 | ||
Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||||
ASSETS | ||||
Loans held-for-sale, carried at fair value | 38,696 | 406,338 | ||
Loans held-for-sale, carried at lower of cost or fair value | 0 | 295 | ||
Servicing rights carried at fair value | 0 | 37,681 | $ 22,900 | $ 10,700 |
Premises, equipment, and capital leases, net | 0 | 2,700 | ||
Goodwill | 0 | 2,100 | ||
Other assets | 204 | 33,380 | ||
Assets of discontinued operations | 38,900 | 482,494 | ||
LIABILITIES | ||||
Accrued expenses and other liabilities | 7,819 | 34,480 | ||
Liabilities of discontinued operations | 7,819 | 34,480 | ||
Government National Mortgage Association (GNMA) Insured Loans | Greater than 89 Days Past due | Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||||
ASSETS | ||||
Loans held-for-sale, carried at fair value | $ 7,100 | $ 16,500 |
SALES OF BRANCH, SUBSIDIARY A81
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Statements of Operations of Discontinued Operations (Details) - USD ($) $ in Thousands | Mar. 30, 2017 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Noninterest income | ||||||||||||
Net gain on disposal of discontinued operations | $ 13,796 | $ 0 | $ 0 | |||||||||
Noninterest expense | ||||||||||||
Restructuring expense | 3,794 | |||||||||||
Income from discontinued operations before income taxes | $ 765 | $ (1,958) | $ (4,991) | $ 13,348 | $ 14,965 | $ 18,574 | $ 11,390 | $ 3,988 | 7,164 | 48,917 | 35,100 | |
Income tax expense | 315 | (799) | (2,110) | 5,523 | 6,196 | 7,816 | 4,622 | 1,607 | 2,929 | 20,241 | 14,146 | |
Income (loss) from discontinued operations | $ 450 | $ (1,159) | $ (2,881) | $ 7,825 | $ 8,769 | $ 10,758 | $ 6,768 | $ 2,381 | 4,235 | 28,676 | 20,954 | |
Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||||||||||||
Interest income | ||||||||||||
Loans, including fees | 7,052 | 15,128 | 12,531 | |||||||||
Total interest income | 7,052 | 15,128 | 12,531 | |||||||||
Noninterest income | ||||||||||||
Net gain on disposal of discontinued operations | $ 13,800 | 13,796 | 0 | 0 | ||||||||
Loan servicing income | 1,551 | 4,752 | 1,568 | |||||||||
Net revenue on mortgage banking activities | 42,889 | 167,024 | 144,685 | |||||||||
Loan brokerage income | 164 | 268 | 315 | |||||||||
All other income | 1,707 | 1,206 | (2,097) | |||||||||
Total noninterest income | 60,107 | 173,250 | 144,471 | |||||||||
Noninterest expense | ||||||||||||
Salaries and employee benefits | 38,374 | 111,771 | 98,269 | |||||||||
Occupancy and equipment | 3,964 | 10,972 | 11,040 | |||||||||
Professional fees | 2,546 | 920 | 693 | |||||||||
Outside Service Fees | 5,625 | 6,063 | 4,383 | |||||||||
Data processing | 687 | 2,522 | 2,173 | |||||||||
Advertising | 1,357 | 3,846 | 2,689 | |||||||||
Restructuring expense | 3,794 | 0 | 0 | |||||||||
All other expenses | 3,648 | 3,367 | 2,655 | |||||||||
Total noninterest expense | 59,995 | 139,461 | 121,902 | |||||||||
Income from discontinued operations before income taxes | 7,164 | 48,917 | 35,100 | |||||||||
Income tax expense | 2,929 | 20,241 | 14,146 | |||||||||
Income (loss) from discontinued operations | $ 4,235 | $ 28,676 | $ 20,954 |
SALES OF BRANCH, SUBSIDIARY A82
SALES OF BRANCH, SUBSIDIARY AND BUSINESS UNITS - Statements of Cash Flows of Discontinued Operations (Details) - Banc Home Loan - Discontinued Operations, Disposed of by Sale - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Net cash provided by (used in) operating activities | $ 365,045 | $ (19,757) | $ (80,100) |
Net cash provided by investing activities | 56,123 | 0 | 0 |
Net cash provided by (used in) discontinued operations | $ 421,168 | $ (19,757) | $ (80,100) |
FAIR VALUES OF FINANCIAL INST83
FAIR VALUES OF FINANCIAL INSTRUMENTS - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing rights, held-for-sale, fair value | $ 29,793 | ||
Net gains (losses) attributable to instrument-specific credit risk | 0 | $ 0 | $ 0 |
Net change in valuation allowance | 236 | 31 | $ 38 |
Loans Repurchased or eligible to be repurchased from Ginnie Mae Loan Pools | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Aggregated unpaid principal balances | $ 99,700 | $ 58,300 | |
Insured Servicing Assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Expected loss rate | 1.55% | 1.55% | |
Uninsured Servicing Assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Expected loss rate | 20.00% |
FAIR VALUES OF FINANCIAL INST84
FAIR VALUES OF FINANCIAL INSTRUMENTS - Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | $ 2,575,469 | $ 2,381,488 | ||
Mortgage servicing rights | 31,852 | 76,121 | $ 49,939 | $ 19,082 |
Derivative assets | 1,005 | 17,968 | ||
Derivative liabilities | 1,033 | 2,116 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Derivative assets | 0 | 0 | ||
Derivative liabilities | 0 | 0 | ||
Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 2,575,469 | 2,381,488 | ||
Derivative assets | 1,005 | 17,968 | ||
Derivative liabilities | 1,033 | 2,116 | ||
Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Mortgage servicing rights | 2,059 | 76,121 | ||
Derivative assets | 0 | 0 | ||
Derivative liabilities | 0 | 0 | ||
Carrying Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 2,575,469 | 2,381,488 | ||
Derivative assets | 1,005 | 17,968 | ||
Derivative liabilities | 1,033 | 2,116 | ||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | 0 | 0 | ||
Mortgage servicing rights | 0 | |||
Mortgage servicing rights, including discontinued operations | 0 | |||
Derivative assets | 0 | |||
Derivative liabilities | 0 | |||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA loan pool securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-agency residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-agency commercial mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | |||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized loan obligations | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | 6,359 | 358,714 | ||
Mortgage servicing rights | 0 | |||
Mortgage servicing rights, including discontinued operations | 0 | |||
Derivative assets | 1,005 | |||
Derivative liabilities | 1,033 | |||
Recurring | Significant Other Observable Inputs (Level 2) | SBA loan pool securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 1,058 | 1,221 | ||
Recurring | Significant Other Observable Inputs (Level 2) | U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 476,929 | 807,273 | ||
Recurring | Significant Other Observable Inputs (Level 2) | Non-agency residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 756 | 117,177 | ||
Recurring | Significant Other Observable Inputs (Level 2) | Non-agency commercial mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 310,511 | |||
Recurring | Significant Other Observable Inputs (Level 2) | Collateralized loan obligations | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 1,702,318 | 1,406,869 | ||
Recurring | Significant Other Observable Inputs (Level 2) | Corporate debt securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 83,897 | 48,948 | ||
Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | 98,940 | 58,260 | ||
Mortgage servicing rights | 31,852 | |||
Mortgage servicing rights, including discontinued operations | 76,121 | |||
Derivative assets | 0 | |||
Derivative liabilities | 0 | |||
Recurring | Significant Unobservable Inputs (Level 3) | SBA loan pool securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Significant Unobservable Inputs (Level 3) | U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Significant Unobservable Inputs (Level 3) | Non-agency residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Significant Unobservable Inputs (Level 3) | Non-agency commercial mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | |||
Recurring | Significant Unobservable Inputs (Level 3) | Collateralized loan obligations | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 0 | 0 | ||
Recurring | Carrying Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | 105,299 | 416,974 | ||
Mortgage servicing rights | 31,852 | |||
Mortgage servicing rights, including discontinued operations | 76,121 | |||
Derivative assets | 1,005 | |||
Derivative liabilities | 1,033 | |||
Recurring | Carrying Value | SBA loan pool securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 1,058 | 1,221 | ||
Recurring | Carrying Value | U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 476,929 | 807,273 | ||
Recurring | Carrying Value | Non-agency residential mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 756 | 117,177 | ||
Recurring | Carrying Value | Non-agency commercial mortgage-backed securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 310,511 | |||
Recurring | Carrying Value | Collateralized loan obligations | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 1,702,318 | 1,406,869 | ||
Recurring | Carrying Value | Corporate debt securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale securities | 83,897 | 48,948 | ||
Interest rate lock commitments | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 0 | |||
Derivative liabilities, held in discontinued operations | 0 | |||
Interest rate lock commitments | Recurring | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 8,317 | |||
Derivative liabilities, held in discontinued operations | 231 | |||
Interest rate lock commitments | Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 0 | |||
Derivative liabilities, held in discontinued operations | 0 | |||
Interest rate lock commitments | Recurring | Carrying Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 8,317 | |||
Derivative liabilities, held in discontinued operations | 231 | |||
Mandatory forward commitments | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 0 | |||
Derivative liabilities, held in discontinued operations | 0 | |||
Mandatory forward commitments | Recurring | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 8,897 | |||
Derivative liabilities, held in discontinued operations | 1,212 | |||
Mandatory forward commitments | Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 0 | |||
Derivative liabilities, held in discontinued operations | 0 | |||
Mandatory forward commitments | Recurring | Carrying Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, held in discontinued operations | 8,897 | |||
Derivative liabilities, held in discontinued operations | 1,212 | |||
Interest rate swaps on deposits and other borrowings | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 0 | |||
Derivative liabilities | 0 | |||
Interest rate swaps on deposits and other borrowings | Recurring | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 707 | |||
Derivative liabilities | 655 | |||
Interest rate swaps on deposits and other borrowings | Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 0 | |||
Derivative liabilities | 0 | |||
Interest rate swaps on deposits and other borrowings | Recurring | Carrying Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 707 | |||
Derivative liabilities | 655 | |||
Foreign exchange contracts | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 0 | |||
Derivative liabilities | 0 | |||
Foreign exchange contracts | Recurring | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 47 | |||
Derivative liabilities | 18 | |||
Foreign exchange contracts | Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 0 | |||
Derivative liabilities | 0 | |||
Foreign exchange contracts | Recurring | Carrying Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets | 47 | |||
Derivative liabilities | 18 | |||
Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | 38,696 | 406,338 | ||
Servicing rights carried at fair value | 0 | 37,681 | $ 22,900 | $ 10,700 |
Banc Home Loan | Discontinued Operations, Disposed of by Sale | Recurring | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | 6,400 | 348,100 | ||
Banc Home Loan | Discontinued Operations, Disposed of by Sale | Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held-for-sale, carried at fair value | $ 32,300 | $ 58,300 |
FAIR VALUES OF FINANCIAL INST85
FAIR VALUES OF FINANCIAL INSTRUMENTS - Reconciliation of Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Total gains or losses (realized/unrealized): | |||||
MSRs sold | $ 39,345 | $ 5,382 | $ 5,862 | ||
Mortgage Servicing Rights | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||||
Beginning Balance | 76,121 | 49,939 | 19,082 | ||
Transfers in (out of) Level 3 | 0 | 0 | 0 | ||
Total gains or losses (realized/unrealized): | |||||
Included in earnings-fair value adjustment | (10,240) | (5,709) | (3,568) | ||
Additions | 12,127 | 49,293 | 45,263 | ||
Sales and settlements | (46,156) | (17,402) | (10,838) | ||
Ending Balance | 31,852 | 76,121 | 49,939 | ||
Loans Repurchased or eligible to be repurchased from Ginnie Mae Loan Pools | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||||
Beginning Balance | 58,260 | 18,291 | 0 | ||
Transfers in (out of) Level 3 | 0 | 0 | 1,088 | ||
Total gains or losses (realized/unrealized): | |||||
Included in earnings-fair value adjustment | (781) | 216 | 0 | ||
Additions | 117,215 | 51,123 | 18,555 | ||
Sales and settlements | (75,754) | (11,370) | (1,352) | ||
Ending Balance | 98,940 | 58,260 | 18,291 | ||
Discontinued Operations, Disposed of by Sale | Banc Home Loan | |||||
Total gains or losses (realized/unrealized): | |||||
Servicing rights carried at fair value | 0 | 37,681 | 22,900 | $ 10,700 | |
MSRs sold | $ 37,800 | 37,772 | |||
Loans held-for-sale, carried at fair value | 38,696 | 406,338 | |||
Discontinued Operations, Disposed of by Sale | Banc Home Loan | Loans Repurchased or eligible to be repurchased from Ginnie Mae Loan Pools | |||||
Total gains or losses (realized/unrealized): | |||||
Loans held-for-sale, carried at fair value | $ 32,300 | $ 58,300 | $ 18,300 | $ 0 |
FAIR VALUES OF FINANCIAL INST86
FAIR VALUES OF FINANCIAL INSTRUMENTS - Quantitative Information About Level 3 Fair Value Measurements (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Mortgage servicing rights, at fair value | $ 31,852 | $ 76,121 | $ 49,939 | $ 19,082 |
Servicing rights, held-for-sale, fair value | 29,793 | |||
Significant Unobservable Inputs (Level 3) | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Mortgage servicing rights, at fair value | 2,059 | 76,121 | ||
Recurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Mortgage servicing rights, at fair value | 31,852 | |||
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Servicing Rights | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Mortgage servicing rights, at fair value | $ 2,059 | $ 76,121 | ||
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Servicing Rights | Discounted cash flow | Minimum | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Discount rate | 13.00% | 9.11% | ||
Prepayment Rate | 10.04% | 7.00% | ||
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Servicing Rights | Discounted cash flow | Maximum | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Discount rate | 13.00% | 15.00% | ||
Prepayment Rate | 49.97% | 39.90% | ||
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Servicing Rights | Discounted cash flow | Weighted Average | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Discount rate | 13.00% | 10.18% | ||
Prepayment Rate | 16.54% | 11.84% | ||
Discontinued Operations, Disposed of by Sale | Banc Home Loan | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Servicing rights carried at fair value | $ 0 | $ 37,681 | $ 22,900 | $ 10,700 |
FAIR VALUES OF FINANCIAL INST87
FAIR VALUES OF FINANCIAL INSTRUMENTS - Fair Value Option Loans Held-for-Sale (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Continuing Operations | |||
Fair Value | |||
Total loans | $ 66,603 | $ 10,636 | |
Non-accrual loans | 60,999 | 0 | |
Loans past due 90 days or more and still accruing | 0 | 0 | |
Unpaid Principal Balance | |||
Total loans | 67,415 | 10,606 | |
Non-accrual loans | 61,900 | 0 | |
Loans past due 90 days or more and still accruing | 0 | 0 | |
Difference | |||
Total loans | (812) | 30 | |
Non-accrual loans | (901) | 0 | |
Loans past due 90 days or more and still accruing | 0 | 0 | |
Non-accrual loans, guaranteed by US government | 54,200 | 0 | |
Net gain on sale of loans (continuing operations) | (170) | 29 | $ 67 |
Discontinued Operations | |||
Fair Value | |||
Total loans | 38,696 | 406,338 | |
Non-accrual loans | 24,073 | 54,151 | |
Loans past due 90 days or more and still accruing | 0 | 0 | |
Unpaid Principal Balance | |||
Total loans | 39,541 | 397,283 | |
Non-accrual loans | 24,297 | 54,824 | |
Loans past due 90 days or more and still accruing | 0 | 0 | |
Difference | |||
Total loans | (845) | 9,055 | |
Non-accrual loans | (224) | (673) | |
Loans past due 90 days or more and still accruing | 0 | 0 | |
Non-accrual loans, guaranteed by US government | 20,700 | 43,800 | |
Net gain on sale of loans (continuing operations) | $ (288) | $ 7,365 | $ 11,326 |
FAIR VALUES OF FINANCIAL INST88
FAIR VALUES OF FINANCIAL INSTRUMENTS - Nonrecurring Basis (Details) - Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Single family residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other real estate owned | $ 0 | $ 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | |
Significant Other Observable Inputs (Level 2) | Single family residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other real estate owned | 0 | 0 |
Significant Other Observable Inputs (Level 2) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | |
Significant Other Observable Inputs (Level 2) | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | |
Significant Unobservable Inputs (Level 3) | Single family residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other real estate owned | 1,415 | 2,502 |
Significant Unobservable Inputs (Level 3) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 174 | |
Significant Unobservable Inputs (Level 3) | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 2,956 | |
Carrying Value | Single family residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other real estate owned | 1,415 | 2,502 |
Carrying Value | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 174 | |
Carrying Value | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 2,956 |
FAIR VALUES OF FINANCIAL INST89
FAIR VALUES OF FINANCIAL INSTRUMENTS - Gains and (Losses) on Non-Recurring Assets (Details) - Nonrecurring - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Impaired loans | Single family residential mortgage | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gains and (losses) recognized on assets measured at fair value | $ (164) | $ 0 | $ 0 |
Impaired loans | SBA | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gains and (losses) recognized on assets measured at fair value | (200) | 0 | 4 |
Impaired loans | Other consumer | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gains and (losses) recognized on assets measured at fair value | (29) | 0 | 0 |
Other real estate owned | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gains and (losses) recognized on assets measured at fair value | $ (284) | $ (235) | $ (15) |
FAIR VALUES OF FINANCIAL INST90
FAIR VALUES OF FINANCIAL INSTRUMENTS - Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financial assets | ||
Cash and cash equivalents | $ 387,699 | $ 439,510 |
Time deposits in financial institutions | 1,000 | |
Securities available-for-sale | 2,575,469 | 2,381,488 |
Securities held-to-maturity | 0 | 899,743 |
Federal Home Loan Bank and other bank stock | 75,654 | 67,842 |
Loans held-for-sale | 105,806 | 711,188 |
Loans and leases receivable, net of allowance | 6,601,767 | 5,999,791 |
Accrued interest receivable | 35,355 | 36,382 |
Derivative assets | 1,005 | 17,968 |
Financial liabilities | ||
Deposits | 7,063,613 | 8,908,406 |
Advances from Federal Home Loan Bank | 1,695,039 | 490,351 |
Other borrowings | 68,000 | |
Long-term debt | 180,560 | 174,006 |
Derivative liabilities | 1,033 | 2,116 |
Accrued interest payable | 7,321 | 4,114 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial assets | ||
Cash and cash equivalents | 387,699 | 439,510 |
Time deposits in financial institutions | 1,000 | |
Securities available-for-sale | 0 | 0 |
Securities held-to-maturity | 0 | |
Federal Home Loan Bank and other bank stock | 0 | 0 |
Loans held-for-sale | 0 | 0 |
Loans and leases receivable, net of allowance | 0 | 0 |
Accrued interest receivable | 35,355 | 36,382 |
Derivative assets | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Advances from Federal Home Loan Bank | 0 | 0 |
Other borrowings | 0 | |
Long-term debt | 0 | 0 |
Derivative liabilities | 0 | 0 |
Accrued interest payable | 7,321 | 4,114 |
Significant Other Observable Inputs (Level 2) | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Time deposits in financial institutions | 0 | |
Securities available-for-sale | 2,575,469 | 2,381,488 |
Securities held-to-maturity | 899,743 | |
Federal Home Loan Bank and other bank stock | 75,654 | 67,842 |
Loans held-for-sale | 6,866 | 652,928 |
Loans and leases receivable, net of allowance | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 1,005 | 17,968 |
Financial liabilities | ||
Deposits | 0 | 0 |
Advances from Federal Home Loan Bank | 1,695,039 | 490,351 |
Other borrowings | 68,000 | |
Long-term debt | 180,560 | 174,006 |
Derivative liabilities | 1,033 | 2,116 |
Accrued interest payable | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Time deposits in financial institutions | 0 | |
Securities available-for-sale | 0 | 0 |
Securities held-to-maturity | 0 | |
Federal Home Loan Bank and other bank stock | 0 | 0 |
Loans held-for-sale | 98,940 | 58,260 |
Loans and leases receivable, net of allowance | 6,601,767 | 5,999,791 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 0 | 0 |
Financial liabilities | ||
Deposits | 7,063,613 | 8,908,406 |
Advances from Federal Home Loan Bank | 0 | 0 |
Other borrowings | 0 | |
Long-term debt | 0 | 0 |
Derivative liabilities | 0 | 0 |
Accrued interest payable | 0 | 0 |
Carrying Value | ||
Financial assets | ||
Cash and cash equivalents | 387,699 | 439,510 |
Time deposits in financial institutions | 1,000 | |
Securities available-for-sale | 2,575,469 | 2,381,488 |
Securities held-to-maturity | 884,234 | |
Federal Home Loan Bank and other bank stock | 75,654 | 67,842 |
Loans held-for-sale | 105,765 | 704,651 |
Loans and leases receivable, net of allowance | 6,610,074 | 5,994,308 |
Accrued interest receivable | 35,355 | 36,382 |
Derivative assets | 1,005 | 17,968 |
Financial liabilities | ||
Deposits | 7,292,903 | 9,142,150 |
Advances from Federal Home Loan Bank | 1,695,000 | 490,000 |
Other borrowings | 67,922 | |
Long-term debt | 172,941 | 175,378 |
Derivative liabilities | 1,033 | 2,116 |
Accrued interest payable | 7,321 | 4,114 |
Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||
Financial liabilities | ||
Loans held-for-sale, carried at fair value | 38,696 | 406,338 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial assets | ||
Derivative assets | 0 | |
Financial liabilities | ||
Derivative liabilities | 0 | |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Financial assets | ||
Derivative assets | 1,005 | |
Financial liabilities | ||
Derivative liabilities | 1,033 | |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Financial assets | ||
Derivative assets | 0 | |
Financial liabilities | ||
Derivative liabilities | 0 | |
Recurring | Carrying Value | ||
Financial assets | ||
Derivative assets | 1,005 | |
Financial liabilities | ||
Derivative liabilities | 1,033 | |
Recurring | Banc Home Loan | Discontinued Operations, Disposed of by Sale | Significant Other Observable Inputs (Level 2) | ||
Financial liabilities | ||
Loans held-for-sale, carried at fair value | 6,400 | 348,100 |
Recurring | Banc Home Loan | Discontinued Operations, Disposed of by Sale | Significant Unobservable Inputs (Level 3) | ||
Financial liabilities | ||
Loans held-for-sale, carried at fair value | $ 32,300 | $ 58,300 |
INVESTMENT SECURITIES - Summary
INVESTMENT SECURITIES - Summary of Amortized Cost and Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Securities held-to-maturity: | ||
Amortized Cost | $ 0 | $ 884,234 |
Gross Unrealized Gains | 17,442 | |
Gross Unrealized Losses | (1,933) | |
Securities held-to-maturity | 0 | 899,743 |
Securities available-for-sale: | ||
Amortized Cost | 2,567,393 | 2,396,968 |
Gross Unrealized Gains | 23,679 | 12,958 |
Gross Unrealized Losses | (15,603) | (28,438) |
Fair Value | 2,575,469 | 2,381,488 |
SBA loan pool securities | ||
Securities available-for-sale: | ||
Amortized Cost | 1,056 | 1,221 |
Gross Unrealized Gains | 2 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 1,058 | 1,221 |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||
Securities available-for-sale: | ||
Amortized Cost | 492,255 | 830,682 |
Gross Unrealized Gains | 10 | 9 |
Gross Unrealized Losses | (15,336) | (23,418) |
Fair Value | 476,929 | 807,273 |
Non-agency residential mortgage-backed securities | ||
Securities available-for-sale: | ||
Amortized Cost | 741 | 121,397 |
Gross Unrealized Gains | 16 | 18 |
Gross Unrealized Losses | (1) | (4,238) |
Fair Value | 756 | 117,177 |
Non-agency commercial mortgage-backed securities | ||
Securities available-for-sale: | ||
Amortized Cost | 305,172 | |
Gross Unrealized Gains | 5,339 | |
Gross Unrealized Losses | 0 | |
Fair Value | 310,511 | |
Collateralized loan obligations | ||
Securities available-for-sale: | ||
Amortized Cost | 1,691,455 | 1,395,094 |
Gross Unrealized Gains | 11,129 | 12,449 |
Gross Unrealized Losses | (266) | (674) |
Fair Value | 1,702,318 | 1,406,869 |
Corporate debt securities | ||
Securities available-for-sale: | ||
Amortized Cost | 76,714 | 48,574 |
Gross Unrealized Gains | 7,183 | 482 |
Gross Unrealized Losses | 0 | (108) |
Fair Value | $ 83,897 | 48,948 |
Corporate debt securities | ||
Securities held-to-maturity: | ||
Amortized Cost | 305,918 | |
Gross Unrealized Gains | 2,949 | |
Gross Unrealized Losses | (1,781) | |
Securities held-to-maturity | 307,086 | |
Collateralized loan obligations | ||
Securities held-to-maturity: | ||
Amortized Cost | 338,226 | |
Gross Unrealized Gains | 1,461 | |
Gross Unrealized Losses | (61) | |
Securities held-to-maturity | 339,626 | |
Non-agency commercial mortgage-backed securities | ||
Securities held-to-maturity: | ||
Amortized Cost | 240,090 | |
Gross Unrealized Gains | 13,032 | |
Gross Unrealized Losses | (91) | |
Securities held-to-maturity | $ 253,031 |
INVESTMENT SECURITIES - Contrac
INVESTMENT SECURITIES - Contractual Maturity Schedule (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Amortized Cost | ||
Within one year | $ 0 | |
One to five years | 0 | |
Five to ten years | 76,714 | |
Greater than ten years | 0 | |
Mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities | 2,490,679 | |
Amortized Cost | 2,567,393 | $ 2,396,968 |
Fair Value | ||
Within one year | 0 | |
One to five years | 0 | |
Five to ten years | 83,897 | |
Greater than ten years | 0 | |
Mortgage-backed securities, collateralized loan obligations, and SBA loan pool securities | 2,491,572 | |
Total | $ 2,575,469 | $ 2,381,488 |
INVESTMENT SECURITIES - Proceed
INVESTMENT SECURITIES - Proceeds from Sales and Calls of Securities and Associated Gross Gains and Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Available-for-sale Securities [Line Items] | |||
Net realized gains on sales and calls of securities available-for-sale | $ 14,768 | $ 29,405 | $ 3,258 |
Proceeds from sales and calls of securities available-for-sale | 1,500,459 | 4,148,003 | 989,786 |
Tax expense on sales and calls of securities available-for-sale | 6,180 | 12,218 | 1,368 |
Debt Securities | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Gross realized gains on sales and calls of securities available-for-sale | 14,768 | 30,919 | 3,260 |
Gross realized losses on sales and calls of securities available-for-sale | 0 | (1,514) | (2) |
Net realized gains on sales and calls of securities available-for-sale | $ 14,768 | $ 29,405 | $ 3,258 |
INVESTMENT SECURITIES - Additio
INVESTMENT SECURITIES - Additional Information (Details) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2017USD ($) | Dec. 31, 2017USD ($)security | Dec. 31, 2016USD ($)security | Dec. 31, 2015USD ($) | |
Investments, Debt and Equity Securities [Abstract] | ||||
Held-to maturity securities transferred | $ | $ 740,900,000 | |||
Increase to AOCI from transfer | $ | $ 22,000,000 | |||
Securities available-for-sale, pledged | $ | $ 564,400,000 | $ 581,800,000 | ||
Other than temporary impairment losses | $ | $ 0 | $ 0 | $ 0 | |
Securities available-for-sale portfolio | security | 191 | 161 | ||
Securities in unrealized loss position | security | 33 | 59 | ||
Securities held-to-maturity portfolio | security | 87 | |||
Held-to-maturity securities in unrealized loss position | security | 15 |
INVESTMENT SECURITIES - Summa95
INVESTMENT SECURITIES - Summary of Investment Securities with Unrealized Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value | ||
Less Than 12 Months | $ 109,214 | $ 1,110,832 |
12 Months or Longer | 470,240 | 4,520 |
Total | 579,454 | 1,115,352 |
Gross Unrealized Losses | ||
Less Than 12 Months | (301) | (28,322) |
12 Months or Longer | (15,302) | (116) |
Total | (15,603) | (28,438) |
Fair Value | ||
Less Than 12 Months | 80,184 | |
12 Months or Longer | 56,095 | |
Total | 136,279 | |
Gross Unrealized Losses | ||
Less Than 12 Months | (1,878) | |
12 Months or Longer | (55) | |
Total | (1,933) | |
SBA loan pool securities | ||
Fair Value | ||
Less Than 12 Months | 1,221 | |
12 Months or Longer | 0 | |
Total | 1,221 | |
Gross Unrealized Losses | ||
Less Than 12 Months | 0 | |
12 Months or Longer | 0 | |
Total | 0 | |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||
Fair Value | ||
Less Than 12 Months | 4,880 | 805,803 |
12 Months or Longer | 470,092 | 760 |
Total | 474,972 | 806,563 |
Gross Unrealized Losses | ||
Less Than 12 Months | (35) | (23,410) |
12 Months or Longer | (15,301) | (8) |
Total | (15,336) | (23,418) |
Non-agency residential mortgage-backed securities | ||
Fair Value | ||
Less Than 12 Months | 0 | 116,216 |
12 Months or Longer | 148 | 230 |
Total | 148 | 116,446 |
Gross Unrealized Losses | ||
Less Than 12 Months | 0 | (4,238) |
12 Months or Longer | (1) | 0 |
Total | (1) | (4,238) |
Collateralized loan obligations | ||
Fair Value | ||
Less Than 12 Months | 104,334 | 187,592 |
12 Months or Longer | 0 | 0 |
Total | 104,334 | 187,592 |
Gross Unrealized Losses | ||
Less Than 12 Months | (266) | (674) |
12 Months or Longer | 0 | 0 |
Total | $ (266) | (674) |
Fair Value | ||
Less Than 12 Months | 10,056 | |
12 Months or Longer | 56,095 | |
Total | 66,151 | |
Gross Unrealized Losses | ||
Less Than 12 Months | (6) | |
12 Months or Longer | (55) | |
Total | (61) | |
Non-agency commercial mortgage-backed securities | ||
Fair Value | ||
Less Than 12 Months | 60,221 | |
12 Months or Longer | 0 | |
Total | 60,221 | |
Gross Unrealized Losses | ||
Less Than 12 Months | (1,781) | |
12 Months or Longer | 0 | |
Total | (1,781) | |
Corporate debt securities | ||
Fair Value | ||
Less Than 12 Months | 0 | |
12 Months or Longer | 3,530 | |
Total | 3,530 | |
Gross Unrealized Losses | ||
Less Than 12 Months | 0 | |
12 Months or Longer | (108) | |
Total | (108) | |
Fair Value | ||
Less Than 12 Months | 9,907 | |
12 Months or Longer | 0 | |
Total | 9,907 | |
Gross Unrealized Losses | ||
Less Than 12 Months | (91) | |
12 Months or Longer | 0 | |
Total | $ (91) |
LOANS AND LEASES AND ALLOWANC96
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Schedule of Loans and Leases Receivable (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 6,659,407 | $ 6,034,752 | ||
Allowance for loan and lease losses | (49,333) | (40,444) | $ (35,533) | $ (29,480) |
Loans and leases receivable, net | $ 6,610,074 | $ 5,994,308 | ||
Loan Portfolio | Loan Portfolio Concentration Risk | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage to total loans and leases | 100.00% | 100.00% | ||
PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 0 | $ 141,826 | ||
Allowance for loan and lease losses | $ 0 | $ (104) | ||
PCI Loans | Loan Portfolio | Loan Portfolio Concentration Risk | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage to total loans and leases | 0.00% | 2.30% | ||
NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 806,933 | $ 885,148 | ||
NTM Loans | Loan Portfolio | Loan Portfolio Concentration Risk | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage to total loans and leases | 12.10% | 14.70% | ||
Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 5,852,474 | $ 5,007,778 | ||
Traditional Loans and Leases | Loan Portfolio | Loan Portfolio Concentration Risk | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage to total loans and leases | 87.90% | 83.00% | ||
Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 6,659,407 | $ 5,892,926 | ||
Total NTM and Traditional Loans and Leases | Loan Portfolio | Loan Portfolio Concentration Risk | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage to total loans and leases | 100.00% | 97.70% | ||
Commercial | Commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 1,701,951 | $ 1,522,960 | ||
Allowance for loan and lease losses | (14,280) | (7,584) | (5,850) | |
Commercial | Commercial and industrial | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 4,760 | ||
Allowance for loan and lease losses | 0 | 0 | ||
Commercial | Commercial and industrial | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Commercial | Commercial and industrial | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,701,951 | 1,518,200 | ||
Commercial | Commercial and industrial | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,701,951 | 1,518,200 | ||
Commercial | Commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 717,415 | 729,959 | ||
Allowance for loan and lease losses | (4,971) | (5,467) | (4,252) | |
Commercial | Commercial real estate | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 1,182 | ||
Allowance for loan and lease losses | 0 | (5) | ||
Commercial | Commercial real estate | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Commercial | Commercial real estate | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 717,415 | 728,777 | ||
Commercial | Commercial real estate | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 717,415 | 728,777 | ||
Commercial | Multifamily | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,816,141 | 1,365,262 | ||
Allowance for loan and lease losses | (13,265) | (11,376) | (6,012) | |
Commercial | Multifamily | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Allowance for loan and lease losses | 0 | 0 | ||
Commercial | Multifamily | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Commercial | Multifamily | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,816,141 | 1,365,262 | ||
Commercial | Multifamily | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,816,141 | 1,365,262 | ||
Commercial | SBA | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 78,699 | 73,840 | ||
Allowance for loan and lease losses | (1,701) | (939) | (683) | |
Commercial | SBA | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 2,672 | ||
Allowance for loan and lease losses | 0 | (19) | ||
Commercial | SBA | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Commercial | SBA | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 78,699 | 71,168 | ||
Commercial | SBA | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 78,699 | 71,168 | ||
Commercial | Construction | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 182,960 | 125,100 | ||
Allowance for loan and lease losses | (3,318) | (2,015) | (1,530) | |
Commercial | Construction | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Allowance for loan and lease losses | 0 | 0 | ||
Commercial | Construction | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Commercial | Construction | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 182,960 | 125,100 | ||
Commercial | Construction | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 182,960 | 125,100 | ||
Commercial | Lease financing | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 13 | 379 | ||
Allowance for loan and lease losses | 0 | (6) | $ (2,195) | |
Commercial | Lease financing | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Allowance for loan and lease losses | 0 | 0 | ||
Commercial | Lease financing | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Commercial | Lease financing | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 13 | 379 | ||
Commercial | Lease financing | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 13 | 379 | ||
Consumer | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 806,933 | $ 885,148 | ||
Consumer | NTM Loans | Loan Portfolio | Loan Portfolio Concentration Risk | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage to total loans and leases | 12.10% | 14.70% | ||
Consumer | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 5,007,778 | |||
Consumer | Green Loans (HELOC) - first liens | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 803,355 | 881,589 | ||
Consumer | Green Loans (HELOC) - second liens | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 3,578 | 3,559 | ||
Consumer | Single family residential mortgage | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,973,452 | 2,019,161 | ||
Consumer | Single family residential mortgage | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 133,212 | ||
Consumer | Single family residential mortgage | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 721,158 | 794,120 | ||
Consumer | Single family residential mortgage | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,252,294 | 1,091,829 | ||
Consumer | Single family residential mortgage | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 1,973,452 | 1,885,949 | ||
Consumer | Home equity loans | Green Loans (HELOC) - first liens | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 82,197 | 87,469 | ||
Consumer | Home equity loans | Green Loans (HELOC) - first liens | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Consumer | Home equity loans | Green Loans (HELOC) - first liens | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 82,197 | 87,469 | ||
Consumer | Home equity loans | Green Loans (HELOC) - first liens | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Consumer | Home equity loans | Green Loans (HELOC) - first liens | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 82,197 | 87,469 | ||
Consumer | Home equity loans | Green Loans (HELOC) - second liens | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 3,578 | 3,559 | ||
Consumer | Home equity loans | Green Loans (HELOC) - second liens | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Consumer | Home equity loans | Green Loans (HELOC) - second liens | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 3,578 | 3,559 | ||
Consumer | Home equity loans | Green Loans (HELOC) - second liens | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Consumer | Home equity loans | Green Loans (HELOC) - second liens | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 3,578 | 3,559 | ||
Consumer | Other consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 103,001 | 107,063 | ||
Consumer | Other consumer | PCI Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Consumer | Other consumer | NTM Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 0 | 0 | ||
Consumer | Other consumer | Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | 103,001 | 107,063 | ||
Consumer | Other consumer | Total NTM and Traditional Loans and Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans and leases | $ 103,001 | $ 107,063 |
LOANS AND LEASES AND ALLOWANC97
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Non Traditional Mortgage Loans Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 6,659,407,000 | $ 6,034,752,000 |
Percentage decrease in credit score to run exception report | 10.00% | |
Loan Portfolio | Loan Portfolio Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
NTM Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 806,933,000 | $ 885,148,000 |
NTM Loans | Loan Portfolio | Loan Portfolio Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 12.10% | 14.70% |
Consumer | NTM Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 806,933,000 | $ 885,148,000 |
Increase (decrease) in loans receivable | $ (78,200,000) | |
Increase (decrease) in loans receivable, percentage | (8.80%) | |
Consumer | NTM Loans | Green Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 85,800,000 | 91,000,000 |
Interest only notes balloon payment period | 15 years | |
Consumer | NTM Loans | Interest Only Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 717,500,000 | 784,400,000 |
Consumer | NTM Loans | Negative amortization | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | 3,700,000 | 9,800,000 |
Consumer | NTM Loans | Nonperforming Financing Receivable | Green Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Nonperforming Financing Receivable | Interest Only Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | 1,200,000 | 467,000 |
Consumer | NTM Loans | Nonperforming Financing Receivable | Negative amortization | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 0 | $ 0 |
Consumer | NTM Loans | Loan Portfolio | Loan Portfolio Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 12.10% | 14.70% |
LOANS AND LEASES AND ALLOWANC98
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Non Traditional Mortgages Portfolio (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)Loan | Dec. 31, 2016USD ($)Loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 6,659,407 | $ 6,034,752 |
Loan Portfolio Concentration Risk | Loan Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
NTM Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 806,933 | $ 885,148 |
NTM Loans | Loan Portfolio Concentration Risk | Loan Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 12.10% | 14.70% |
Consumer | NTM Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 592 | 663 |
Total loans and leases | $ 806,933 | $ 885,148 |
Consumer | NTM Loans | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
Consumer | NTM Loans | Loan Portfolio Concentration Risk | Loan Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 12.10% | 14.70% |
Consumer | NTM Loans | First lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 580 | 651 |
Total loans and leases | $ 803,355 | $ 881,589 |
Consumer | NTM Loans | First lien | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 99.60% | 99.60% |
Consumer | NTM Loans | Second lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 12 | 12 |
Total loans and leases | $ 3,578 | $ 3,559 |
Consumer | NTM Loans | Second lien | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 0.40% | 0.40% |
Consumer | NTM Loans | Green Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 85,800 | $ 91,000 |
Consumer | NTM Loans | Green Loans | First lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 101 | 107 |
Total loans and leases | $ 82,197 | $ 87,469 |
Consumer | NTM Loans | Green Loans | First lien | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 10.20% | 9.90% |
Consumer | NTM Loans | Green Loans | Second lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 12 | 12 |
Total loans and leases | $ 3,578 | $ 3,559 |
Consumer | NTM Loans | Green Loans | Second lien | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 0.40% | 0.40% |
Consumer | NTM Loans | Interest Only Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 717,500 | $ 784,400 |
Consumer | NTM Loans | Interest Only Loans | First lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 468 | 522 |
Total loans and leases | $ 717,484 | $ 784,364 |
Consumer | NTM Loans | Interest Only Loans | First lien | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 88.90% | 88.60% |
Consumer | NTM Loans | Negative amortization | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans and leases | $ 3,700 | $ 9,800 |
Consumer | NTM Loans | Negative amortization | First lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | Loan | 11 | 22 |
Total loans and leases | $ 3,674 | $ 9,756 |
Consumer | NTM Loans | Negative amortization | First lien | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage to total loans and leases | 0.50% | 1.10% |
LOANS AND LEASES AND ALLOWANC99
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Non Traditional Mortgage Performance by Credit Score (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)Loan | Dec. 31, 2016USD ($)Loan | |
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 6,659,407 | $ 6,034,752 |
NTM Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 806,933 | $ 885,148 |
Consumer | NTM Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 592 | 663 |
Total loans and leases | $ 806,933 | $ 885,148 |
Increase (decrease) in loans receivable | $ (78,200) | |
Increase (decrease) in loans receivable, percentage | (8.80%) | |
Consumer | NTM Loans | First lien | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 580 | 651 |
Total loans and leases | $ 803,355 | $ 881,589 |
Consumer | NTM Loans | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 85,800 | $ 91,000 |
Consumer | NTM Loans | Green Loans | First lien | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 101 | 107 |
Total loans and leases | $ 82,197 | $ 87,469 |
Count Change | Loan | 0 | |
Increase (decrease) in loans receivable | $ 0 | |
Increase (decrease) in loans receivable, percentage | 0.00% | |
Consumer | NTM Loans | Green Loans | First lien | Loan Portfolio Concentration Risk | Non-Traditional Single Family Residential Mortgage Green Loans First Lien Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 100.00% | |
Consumer | NTM Loans | Green Loans | First lien | Greater than 800 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 12 | 15 |
Total loans and leases | $ 7,737 | $ 9,091 |
Count Change | Loan | (3) | |
Increase (decrease) in loans receivable | $ (1,354) | |
Increase (decrease) in loans receivable, percentage | (1.70%) | |
Consumer | NTM Loans | Green Loans | First lien | Greater than 800 | Loan Portfolio Concentration Risk | Non-Traditional Single Family Residential Mortgage Green Loans First Lien Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 9.40% | 11.10% |
Consumer | NTM Loans | Green Loans | First lien | 700-799 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 57 | 50 |
Total loans and leases | $ 42,397 | $ 38,486 |
Count Change | Loan | 7 | |
Increase (decrease) in loans receivable | $ 3,911 | |
Increase (decrease) in loans receivable, percentage | 4.80% | |
Consumer | NTM Loans | Green Loans | First lien | 700-799 | Loan Portfolio Concentration Risk | Non-Traditional Single Family Residential Mortgage Green Loans First Lien Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 51.60% | 46.80% |
Consumer | NTM Loans | Green Loans | First lien | 600-699 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 23 | 28 |
Total loans and leases | $ 23,467 | $ 27,420 |
Count Change | Loan | (5) | |
Increase (decrease) in loans receivable | $ (3,953) | |
Increase (decrease) in loans receivable, percentage | (4.80%) | |
Consumer | NTM Loans | Green Loans | First lien | 600-699 | Loan Portfolio Concentration Risk | Non-Traditional Single Family Residential Mortgage Green Loans First Lien Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 28.50% | 33.30% |
Consumer | NTM Loans | Green Loans | First lien | Less than 600 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 5 | 1 |
Total loans and leases | $ 4,691 | $ 1,800 |
Count Change | Loan | 4 | |
Increase (decrease) in loans receivable | $ 2,891 | |
Increase (decrease) in loans receivable, percentage | 3.50% | |
Consumer | NTM Loans | Green Loans | First lien | Less than 600 | Loan Portfolio Concentration Risk | Non-Traditional Single Family Residential Mortgage Green Loans First Lien Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 5.70% | 2.20% |
Consumer | NTM Loans | Green Loans | First lien | No FICO | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 4 | 7 |
Total loans and leases | $ 3,905 | $ 5,400 |
Count Change | Loan | (3) | |
Increase (decrease) in loans receivable | $ (1,495) | |
Increase (decrease) in loans receivable, percentage | (1.80%) | |
Consumer | NTM Loans | Green Loans | First lien | No FICO | Loan Portfolio Concentration Risk | Non-Traditional Single Family Residential Mortgage Green Loans First Lien Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 4.80% | 6.60% |
LOANS AND LEASES AND ALLOWAN100
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Non Traditional Mortgage Performance Loan to Value Ratio (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)Loan | Dec. 31, 2016USD ($)Loan | |
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 6,659,407 | $ 6,034,752 |
NTM Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 806,933 | $ 885,148 |
Consumer | NTM Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 592 | 663 |
Total loans and leases | $ 806,933 | $ 885,148 |
Consumer | NTM Loans | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 85,800 | 91,000 |
Consumer | NTM Loans | Interest Only Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 717,500 | 784,400 |
Consumer | NTM Loans | Negative amortization | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 3,700 | $ 9,800 |
Consumer | NTM Loans | First lien | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 580 | 651 |
Total loans and leases | $ 803,355 | $ 881,589 |
Consumer | NTM Loans | First lien | Loan Portfolio Concentration Risk | Nontraditional First Lien Mortgage Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
Consumer | NTM Loans | First lien | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 101 | 107 |
Total loans and leases | $ 82,197 | $ 87,469 |
Consumer | NTM Loans | First lien | Green Loans | Loan Portfolio Concentration Risk | Green Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
Consumer | NTM Loans | First lien | Interest Only Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 468 | 522 |
Total loans and leases | $ 717,484 | $ 784,364 |
Consumer | NTM Loans | First lien | Interest Only Loans | Loan Portfolio Concentration Risk | Interest Only Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
Consumer | NTM Loans | First lien | Negative amortization | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 11 | 22 |
Total loans and leases | $ 3,674 | $ 9,756 |
Consumer | NTM Loans | First lien | Negative amortization | Loan Portfolio Concentration Risk | Negative Amortization Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 100.00% | 100.00% |
Consumer | NTM Loans | First lien | Less than 61 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 311 | 257 |
Total loans and leases | $ 461,877 | $ 382,892 |
Consumer | NTM Loans | First lien | Less than 61 | Loan Portfolio Concentration Risk | Nontraditional First Lien Mortgage Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 57.50% | 43.40% |
Consumer | NTM Loans | First lien | Less than 61 | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 60 | 45 |
Total loans and leases | $ 51,241 | $ 39,105 |
Consumer | NTM Loans | First lien | Less than 61 | Green Loans | Loan Portfolio Concentration Risk | Green Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 62.30% | 44.70% |
Consumer | NTM Loans | First lien | Less than 61 | Interest Only Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 242 | 196 |
Total loans and leases | $ 407,810 | $ 336,744 |
Consumer | NTM Loans | First lien | Less than 61 | Interest Only Loans | Loan Portfolio Concentration Risk | Interest Only Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 56.80% | 42.90% |
Consumer | NTM Loans | First lien | Less than 61 | Negative amortization | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 9 | 16 |
Total loans and leases | $ 2,826 | $ 7,043 |
Consumer | NTM Loans | First lien | Less than 61 | Negative amortization | Loan Portfolio Concentration Risk | Negative Amortization Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 76.90% | 72.20% |
Consumer | NTM Loans | First lien | 61-80 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 255 | 364 |
Total loans and leases | $ 326,420 | $ 478,714 |
Consumer | NTM Loans | First lien | 61-80 | Loan Portfolio Concentration Risk | Nontraditional First Lien Mortgage Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 40.60% | 54.30% |
Consumer | NTM Loans | First lien | 61-80 | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 33 | 52 |
Total loans and leases | $ 25,072 | $ 41,732 |
Consumer | NTM Loans | First lien | 61-80 | Green Loans | Loan Portfolio Concentration Risk | Green Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 30.50% | 47.70% |
Consumer | NTM Loans | First lien | 61-80 | Interest Only Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 220 | 306 |
Total loans and leases | $ 300,500 | $ 434,269 |
Consumer | NTM Loans | First lien | 61-80 | Interest Only Loans | Loan Portfolio Concentration Risk | Interest Only Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 41.90% | 55.40% |
Consumer | NTM Loans | First lien | 61-80 | Negative amortization | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 2 | 6 |
Total loans and leases | $ 848 | $ 2,713 |
Consumer | NTM Loans | First lien | 61-80 | Negative amortization | Loan Portfolio Concentration Risk | Negative Amortization Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 23.10% | 27.80% |
Consumer | NTM Loans | First lien | 81-100 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 14 | 18 |
Total loans and leases | $ 15,058 | $ 15,460 |
Consumer | NTM Loans | First lien | 81-100 | Loan Portfolio Concentration Risk | Nontraditional First Lien Mortgage Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 1.90% | 1.80% |
Consumer | NTM Loans | First lien | 81-100 | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 8 | 10 |
Total loans and leases | $ 5,884 | $ 6,632 |
Consumer | NTM Loans | First lien | 81-100 | Green Loans | Loan Portfolio Concentration Risk | Green Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 7.20% | 7.60% |
Consumer | NTM Loans | First lien | 81-100 | Interest Only Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 6 | 8 |
Total loans and leases | $ 9,174 | $ 8,828 |
Consumer | NTM Loans | First lien | 81-100 | Interest Only Loans | Loan Portfolio Concentration Risk | Interest Only Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 1.30% | 1.10% |
Consumer | NTM Loans | First lien | 81-100 | Negative amortization | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 0 | 0 |
Total loans and leases | $ 0 | $ 0 |
Consumer | NTM Loans | First lien | 81-100 | Negative amortization | Loan Portfolio Concentration Risk | Negative Amortization Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 0.00% | 0.00% |
Consumer | NTM Loans | First lien | Greater than 100 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 0 | 12 |
Total loans and leases | $ 0 | $ 4,523 |
Consumer | NTM Loans | First lien | Greater than 100 | Loan Portfolio Concentration Risk | Nontraditional First Lien Mortgage Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 0.00% | 0.50% |
Consumer | NTM Loans | First lien | Greater than 100 | Green Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 0 | 0 |
Total loans and leases | $ 0 | $ 0 |
Consumer | NTM Loans | First lien | Greater than 100 | Green Loans | Loan Portfolio Concentration Risk | Green Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 0.00% | 0.00% |
Consumer | NTM Loans | First lien | Greater than 100 | Interest Only Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 0 | 12 |
Total loans and leases | $ 0 | $ 4,523 |
Consumer | NTM Loans | First lien | Greater than 100 | Interest Only Loans | Loan Portfolio Concentration Risk | Interest Only Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 0.00% | 0.60% |
Consumer | NTM Loans | First lien | Greater than 100 | Negative amortization | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Count | Loan | 0 | 0 |
Total loans and leases | $ 0 | $ 0 |
Consumer | NTM Loans | First lien | Greater than 100 | Negative amortization | Loan Portfolio Concentration Risk | Negative Amortization Loans Portfolio | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage to total loans and leases | 0.00% | 0.00% |
LOANS AND LEASES AND ALLOWAN101
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Allowance for Loan and Lease Losses Additional Information (Details) $ in Millions | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2017USD ($) | Dec. 31, 2017USD ($)rolling_quarter | Dec. 31, 2016USD ($)rolling_quarter | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Credit risk monitoring lock back period | rolling_quarter | 39 | 28 | |
Increase ALLL from enhancement of loss emergence period | $ 1.9 | ||
Unfunded Loan Commitment | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Reserve for unfunded loan commitments | $ 3.7 | $ 2.4 |
LOANS AND LEASES AND ALLOWAN102
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Allowance for Loan and Lease Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Balance at beginning of year | $ 40,444 | $ 35,533 | $ 40,444 | $ 35,533 | $ 29,480 | ||||||
Loans and leases charged off | (5,581) | (2,618) | (1,942) | ||||||||
Recoveries of loans and leases previously charged off | 771 | 2,258 | 526 | ||||||||
Provision for loan and lease losses | $ 5,052 | $ 3,561 | $ 2,503 | $ 2,583 | $ 589 | $ 2,592 | $ 1,769 | $ 321 | 13,699 | 5,271 | 7,469 |
Balance at end of year | $ 49,333 | $ 40,444 | $ 49,333 | $ 40,444 | $ 35,533 |
LOANS AND LEASES AND ALLOWAN103
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Allowance for Loan and Lease Losses and Recorded Investment Excluding Accrued Interest in Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | $ 40,444 | $ 35,533 | $ 29,480 | ||
Charge-offs | (5,581) | (2,618) | (1,942) | ||
Recoveries | 771 | 2,258 | 526 | ||
Provision | 13,699 | 5,271 | |||
Balance at end of year | 49,333 | 40,444 | 35,533 | ||
Individually evaluated for impairment | $ 1,217 | $ 243 | |||
Collectively evaluated for impairment | 48,116 | 40,097 | |||
Total ending allowance balance | 40,444 | 35,533 | 29,480 | 49,333 | 40,444 |
Loans: | |||||
Individually evaluated for impairment | 24,050 | 13,352 | |||
Collectively evaluated for impairment | 6,635,357 | 5,879,574 | |||
Total ending loan balances | 6,659,407 | 6,034,752 | |||
PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 104 | ||||
Balance at end of year | 0 | 104 | |||
Total ending allowance balance | 104 | 104 | 0 | 104 | |
Loans: | |||||
Total ending loan balances | 0 | 141,826 | |||
Commercial | Commercial and industrial | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 7,584 | 5,850 | |||
Charge-offs | (1,730) | (166) | |||
Recoveries | 54 | 225 | |||
Provision | 8,372 | 1,675 | |||
Balance at end of year | 14,280 | 7,584 | 5,850 | ||
Individually evaluated for impairment | 498 | 0 | |||
Collectively evaluated for impairment | 13,782 | 7,584 | |||
Total ending allowance balance | 7,584 | 5,850 | 5,850 | 14,280 | 7,584 |
Loans: | |||||
Individually evaluated for impairment | 3,582 | 2,429 | |||
Collectively evaluated for impairment | 1,698,369 | 1,515,771 | |||
Total ending loan balances | 1,701,951 | 1,522,960 | |||
Commercial | Commercial and industrial | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 0 | ||||
Balance at end of year | 0 | 0 | |||
Total ending allowance balance | 0 | 0 | 0 | 0 | |
Loans: | |||||
Total ending loan balances | 0 | 4,760 | |||
Commercial | Commercial real estate | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 5,467 | 4,252 | |||
Charge-offs | (113) | (414) | |||
Recoveries | 0 | 807 | |||
Provision | (383) | 822 | |||
Balance at end of year | 4,971 | 5,467 | 4,252 | ||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 4,971 | 5,462 | |||
Total ending allowance balance | 5,467 | 4,252 | 4,252 | 4,971 | 5,467 |
Loans: | |||||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 717,415 | 728,777 | |||
Total ending loan balances | 717,415 | 729,959 | |||
Commercial | Commercial real estate | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 5 | ||||
Balance at end of year | 0 | 5 | |||
Total ending allowance balance | 5 | 5 | 0 | 5 | |
Loans: | |||||
Total ending loan balances | 0 | 1,182 | |||
Commercial | Multifamily | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 11,376 | 6,012 | |||
Charge-offs | 0 | 0 | |||
Recoveries | 0 | 169 | |||
Provision | 1,889 | 5,195 | |||
Balance at end of year | 13,265 | 11,376 | 6,012 | ||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 13,265 | 11,376 | |||
Total ending allowance balance | 11,376 | 6,012 | 6,012 | 13,265 | 11,376 |
Loans: | |||||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 1,816,141 | 1,365,262 | |||
Total ending loan balances | 1,816,141 | 1,365,262 | |||
Commercial | Multifamily | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 0 | ||||
Balance at end of year | 0 | 0 | |||
Total ending allowance balance | 0 | 0 | 0 | 0 | |
Loans: | |||||
Total ending loan balances | 0 | 0 | |||
Commercial | SBA | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 939 | 683 | |||
Charge-offs | (625) | 0 | |||
Recoveries | 422 | 500 | |||
Provision | 965 | (244) | |||
Balance at end of year | 1,701 | 939 | 683 | ||
Individually evaluated for impairment | 435 | 0 | |||
Collectively evaluated for impairment | 1,266 | 920 | |||
Total ending allowance balance | 939 | 683 | 683 | 1,701 | 939 |
Loans: | |||||
Individually evaluated for impairment | 944 | 0 | |||
Collectively evaluated for impairment | 77,755 | 71,168 | |||
Total ending loan balances | 78,699 | 73,840 | |||
Commercial | SBA | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 19 | ||||
Balance at end of year | 0 | 19 | |||
Total ending allowance balance | 19 | 19 | 0 | 19 | |
Loans: | |||||
Total ending loan balances | 0 | 2,672 | |||
Commercial | Construction | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 2,015 | 1,530 | |||
Charge-offs | (29) | 0 | |||
Recoveries | 0 | 0 | |||
Provision | 1,332 | 485 | |||
Balance at end of year | 3,318 | 2,015 | 1,530 | ||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 3,318 | 2,015 | |||
Total ending allowance balance | 2,015 | 1,530 | 1,530 | 3,318 | 2,015 |
Loans: | |||||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 182,960 | 125,100 | |||
Total ending loan balances | 182,960 | 125,100 | |||
Commercial | Construction | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 0 | ||||
Balance at end of year | 0 | 0 | |||
Total ending allowance balance | 0 | 0 | 0 | 0 | |
Loans: | |||||
Total ending loan balances | 0 | 0 | |||
Commercial | Lease financing | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 6 | 2,195 | |||
Charge-offs | 0 | (974) | |||
Recoveries | 32 | 283 | |||
Provision | (38) | (1,498) | |||
Balance at end of year | 0 | 6 | 2,195 | ||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 0 | 6 | |||
Total ending allowance balance | 6 | 2,195 | 2,195 | 0 | 6 |
Loans: | |||||
Individually evaluated for impairment | 0 | 0 | |||
Collectively evaluated for impairment | 13 | 379 | |||
Total ending loan balances | 13 | 379 | |||
Commercial | Lease financing | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 0 | ||||
Balance at end of year | 0 | 0 | |||
Total ending allowance balance | 0 | 0 | 0 | 0 | |
Loans: | |||||
Total ending loan balances | 0 | 0 | |||
Consumer | Single Family Residential Mortgage | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 12,075 | 13,854 | |||
Charge-offs | (2,806) | (1,057) | |||
Recoveries | 1 | 248 | |||
Provision | 1,726 | (970) | |||
Balance at end of year | 10,996 | 12,075 | 13,854 | ||
Individually evaluated for impairment | 277 | 243 | |||
Collectively evaluated for impairment | 10,719 | 11,752 | |||
Total ending allowance balance | 12,075 | 13,854 | 13,854 | 10,996 | 12,075 |
Loans: | |||||
Individually evaluated for impairment | 14,699 | 10,629 | |||
Collectively evaluated for impairment | 2,040,950 | 1,962,789 | |||
Total ending loan balances | 2,055,649 | 2,106,630 | |||
Consumer | Single Family Residential Mortgage | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 80 | ||||
Balance at end of year | 0 | 80 | |||
Total ending allowance balance | 80 | 80 | 0 | 80 | |
Loans: | |||||
Total ending loan balances | 0 | 133,212 | |||
Consumer | Other Consumer | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 982 | 1,157 | |||
Charge-offs | (278) | (7) | |||
Recoveries | 262 | 26 | |||
Provision | (164) | (194) | |||
Balance at end of year | 802 | 982 | 1,157 | ||
Individually evaluated for impairment | 7 | 0 | |||
Collectively evaluated for impairment | 795 | 982 | |||
Total ending allowance balance | 982 | 1,157 | $ 1,157 | 802 | 982 |
Loans: | |||||
Individually evaluated for impairment | 4,825 | 294 | |||
Collectively evaluated for impairment | 101,754 | 110,328 | |||
Total ending loan balances | 106,579 | 110,622 | |||
Consumer | Other Consumer | PCI Loans | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of year | 0 | ||||
Balance at end of year | 0 | 0 | |||
Total ending allowance balance | $ 0 | $ 0 | 0 | 0 | |
Loans: | |||||
Total ending loan balances | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWAN104
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Loans and Leases Individually Evaluated for Impairment by Class of Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Unpaid Principal Balance | |||
Total | $ 24,026 | $ 13,409 | |
Recorded Investment | |||
Total | 24,050 | 13,352 | |
Allowance for Loan and Lease Losses | 1,217 | 243 | |
Average Recorded Investment | 16,158 | 31,081 | $ 33,022 |
Interest Income Recognized | 207 | 1,077 | 1,238 |
Cash Basis Interest Recognized | 190 | 1,076 | 1,252 |
Other consumer | |||
Unpaid Principal Balance | |||
With an allowance recorded | 157 | 0 | |
Recorded Investment | |||
With an allowance recorded | 162 | 0 | |
Allowance for Loan and Lease Losses | 7 | 0 | |
Commercial | Commercial and industrial | |||
Unpaid Principal Balance | |||
With no related allowance recorded | 471 | 2,478 | |
With an allowance recorded | 3,146 | 0 | |
Recorded Investment | |||
With no related allowance recorded | 453 | 2,429 | |
With an allowance recorded | 3,129 | 0 | |
Allowance for Loan and Lease Losses | 498 | 0 | |
Average Recorded Investment | 1,034 | 3,490 | 6,750 |
Interest Income Recognized | 0 | 183 | 305 |
Cash Basis Interest Recognized | 0 | 208 | 302 |
Commercial | Commercial real estate | |||
Recorded Investment | |||
Average Recorded Investment | 0 | 148 | 353 |
Interest Income Recognized | 0 | 24 | 37 |
Cash Basis Interest Recognized | 0 | 24 | 37 |
Commercial | Multifamily | |||
Recorded Investment | |||
Average Recorded Investment | 0 | 0 | 395 |
Interest Income Recognized | 0 | 0 | 13 |
Cash Basis Interest Recognized | 0 | 0 | 15 |
Commercial | SBA | |||
Unpaid Principal Balance | |||
With no related allowance recorded | 342 | 0 | |
With an allowance recorded | 635 | 0 | |
Recorded Investment | |||
With no related allowance recorded | 335 | 0 | |
With an allowance recorded | 609 | 0 | |
Allowance for Loan and Lease Losses | 435 | 0 | |
Average Recorded Investment | 357 | 0 | 7 |
Interest Income Recognized | 0 | 0 | 2 |
Cash Basis Interest Recognized | 0 | 0 | 0 |
Commercial | Construction | |||
Recorded Investment | |||
Average Recorded Investment | 382 | 0 | 0 |
Interest Income Recognized | 0 | 0 | 0 |
Cash Basis Interest Recognized | 0 | 0 | 0 |
Commercial | Lease financing | |||
Recorded Investment | |||
Average Recorded Investment | 19 | 0 | 0 |
Interest Income Recognized | 0 | 0 | 0 |
Cash Basis Interest Recognized | 0 | 0 | 0 |
Consumer | Single family residential mortgage | |||
Unpaid Principal Balance | |||
With no related allowance recorded | 7,521 | 8,865 | |
With an allowance recorded | 7,090 | 1,772 | |
Recorded Investment | |||
With no related allowance recorded | 7,553 | 8,887 | |
With an allowance recorded | 7,146 | 1,742 | |
Allowance for Loan and Lease Losses | 277 | 243 | |
Average Recorded Investment | 12,611 | 27,150 | 25,093 |
Interest Income Recognized | 199 | 862 | 869 |
Cash Basis Interest Recognized | 182 | 835 | 885 |
Consumer | Other consumer | |||
Unpaid Principal Balance | |||
With no related allowance recorded | 4,664 | 294 | |
Recorded Investment | |||
With no related allowance recorded | 4,663 | 294 | |
Average Recorded Investment | 1,757 | 294 | 424 |
Interest Income Recognized | 8 | 8 | 12 |
Cash Basis Interest Recognized | $ 8 | $ 9 | $ 13 |
LOANS AND LEASES AND ALLOWAN105
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Aging of Recorded Investment in Past Due Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 41,629 | $ 62,013 |
Current | 6,617,778 | 5,972,739 |
Total ending loan balances | 6,659,407 | 6,034,752 |
30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 22,830 | 38,180 |
60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 9,257 | 7,038 |
Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 9,542 | 16,795 |
NTM Loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 806,933 | 885,148 |
Traditional Loans and Leases | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 29,519 | |
Current | 5,822,955 | |
Total ending loan balances | 5,852,474 | 5,007,778 |
Traditional Loans and Leases | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 13,770 | |
Traditional Loans and Leases | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 7,378 | |
Traditional Loans and Leases | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 8,371 | |
PCI Loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 17,655 |
Current | 0 | 124,171 |
Total ending loan balances | 0 | 141,826 |
PCI Loans | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 10,783 |
PCI Loans | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 4,295 |
PCI Loans | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 2,577 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 1,973,452 | 2,019,161 |
Consumer | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 103,001 | 107,063 |
Consumer | NTM Loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 12,110 | 4,660 |
Current | 794,823 | 880,488 |
Total ending loan balances | 806,933 | 885,148 |
Consumer | NTM Loans | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 9,060 | 4,193 |
Consumer | NTM Loans | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,879 | 0 |
Consumer | NTM Loans | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,171 | 467 |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 803,355 | 881,589 |
Consumer | NTM Loans | Green Loans (HELOC) - second liens | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 3,578 | 3,559 |
Consumer | NTM Loans | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 6,111 | 4,660 |
Current | 715,047 | 789,460 |
Total ending loan balances | 721,158 | 794,120 |
Consumer | NTM Loans | Single family residential mortgage | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,353 | 4,193 |
Consumer | NTM Loans | Single family residential mortgage | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,587 | 0 |
Consumer | NTM Loans | Single family residential mortgage | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,171 | 467 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 5,999 | 0 |
Current | 76,198 | 87,469 |
Total ending loan balances | 82,197 | 87,469 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 5,707 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 292 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 3,578 | 3,559 |
Total ending loan balances | 3,578 | 3,559 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | NTM Loans | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 0 | 0 |
Total ending loan balances | 0 | 0 |
Consumer | NTM Loans | Other consumer | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | NTM Loans | Other consumer | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | NTM Loans | Other consumer | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | Traditional Loans and Leases | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 39,698 | |
Current | 4,968,080 | |
Total ending loan balances | 5,007,778 | |
Consumer | Traditional Loans and Leases | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 23,204 | |
Consumer | Traditional Loans and Leases | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 2,743 | |
Consumer | Traditional Loans and Leases | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 13,751 | |
Consumer | Traditional Loans and Leases | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 16,244 | 21,963 |
Current | 1,236,050 | 1,069,866 |
Total ending loan balances | 1,252,294 | 1,091,829 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 6,862 | 11,225 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,370 | 1,345 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 6,012 | 9,393 |
Consumer | Traditional Loans and Leases | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,699 | 11,338 |
Current | 99,302 | 95,725 |
Total ending loan balances | 103,001 | 107,063 |
Consumer | Traditional Loans and Leases | Other consumer | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,194 | 10,023 |
Consumer | Traditional Loans and Leases | Other consumer | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 413 | 933 |
Consumer | Traditional Loans and Leases | Other consumer | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 92 | 382 |
Consumer | PCI Loans | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 16,639 |
Current | 0 | 116,573 |
Total ending loan balances | 0 | 133,212 |
Consumer | PCI Loans | Single family residential mortgage | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 10,483 |
Consumer | PCI Loans | Single family residential mortgage | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 4,063 |
Consumer | PCI Loans | Single family residential mortgage | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 2,093 |
Consumer | PCI Loans | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 1,701,951 | 1,522,960 |
Commercial | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 717,415 | 729,959 |
Commercial | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 1,816,141 | 1,365,262 |
Commercial | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 78,699 | 73,840 |
Commercial | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 182,960 | 125,100 |
Commercial | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 13 | 379 |
Commercial | NTM Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | NTM Loans | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | NTM Loans | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | NTM Loans | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | NTM Loans | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | NTM Loans | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 4,679 | 4,260 |
Current | 1,697,272 | 1,513,940 |
Total ending loan balances | 1,701,951 | 1,518,200 |
Commercial | Traditional Loans and Leases | Commercial and industrial | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 136 | 412 |
Commercial | Traditional Loans and Leases | Commercial and industrial | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,595 | 463 |
Commercial | Traditional Loans and Leases | Commercial and industrial | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 948 | 3,385 |
Commercial | Traditional Loans and Leases | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 717,415 | 728,777 |
Total ending loan balances | 717,415 | 728,777 |
Commercial | Traditional Loans and Leases | Commercial real estate | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial real estate | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial real estate | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 1,816,141 | 1,365,262 |
Total ending loan balances | 1,816,141 | 1,365,262 |
Commercial | Traditional Loans and Leases | Multifamily | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 4,897 | 499 |
Current | 73,802 | 70,669 |
Total ending loan balances | 78,699 | 71,168 |
Commercial | Traditional Loans and Leases | SBA | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,578 | 15 |
Commercial | Traditional Loans and Leases | SBA | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 2 |
Commercial | Traditional Loans and Leases | SBA | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,319 | 482 |
Commercial | Traditional Loans and Leases | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 1,529 |
Current | 182,960 | 123,571 |
Total ending loan balances | 182,960 | 125,100 |
Commercial | Traditional Loans and Leases | Construction | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 1,529 |
Commercial | Traditional Loans and Leases | Construction | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Construction | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 109 |
Current | 13 | 270 |
Total ending loan balances | 13 | 379 |
Commercial | Traditional Loans and Leases | Lease financing | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Lease financing | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | Traditional Loans and Leases | Lease financing | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 109 |
Commercial | PCI Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 156 |
Current | 0 | 4,604 |
Total ending loan balances | 0 | 4,760 |
Commercial | PCI Loans | Commercial and industrial | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | PCI Loans | Commercial and industrial | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | PCI Loans | Commercial and industrial | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 156 |
Commercial | PCI Loans | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 0 | 1,182 |
Total ending loan balances | 0 | 1,182 |
Commercial | PCI Loans | Commercial real estate | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | PCI Loans | Commercial real estate | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | PCI Loans | Commercial real estate | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | PCI Loans | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | PCI Loans | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 860 |
Current | 0 | 1,812 |
Total ending loan balances | 0 | 2,672 |
Commercial | PCI Loans | SBA | 30 - 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 300 |
Commercial | PCI Loans | SBA | 60 - 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 232 |
Commercial | PCI Loans | SBA | Greater than 89 Days Past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 328 |
Commercial | PCI Loans | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | 0 | 0 |
Commercial | PCI Loans | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total ending loan balances | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWAN106
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Composition of Nonaccrual Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | $ 19,382 | $ 14,942 |
NTM Loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 1,171 | 467 |
Traditional Loans and Leases | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 18,211 | 14,475 |
Commercial | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 3,723 | 3,544 |
Commercial | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 1,781 | 619 |
Commercial | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 0 | 109 |
Commercial | NTM Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 0 | 0 |
Commercial | NTM Loans | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 0 | 0 |
Commercial | NTM Loans | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 3,723 | 3,544 |
Commercial | Traditional Loans and Leases | SBA | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 1,781 | 619 |
Commercial | Traditional Loans and Leases | Lease financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 0 | 109 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 9,347 | 10,287 |
Consumer | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 4,531 | 383 |
Consumer | NTM Loans | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 1,171 | 467 |
Consumer | NTM Loans | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 0 | 0 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | 8,176 | 9,820 |
Consumer | Traditional Loans and Leases | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total | $ 4,531 | $ 383 |
LOANS AND LEASES AND ALLOWAN107
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Non-Accrual Loans and Leases Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
90 days past due and still accruing | $ 0 | $ 0 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans in process of foreclosure | $ 4,300 | $ 2,200 |
LOANS AND LEASES AND ALLOWAN108
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Components of Troubled Debt Restructured Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | $ 8,321 | $ 4,827 |
NTM Loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 2,993 | 3,387 |
Traditional Loans and Leases | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 5,328 | 1,440 |
Commercial | Commercial and industrial | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 2,675 | 0 |
Commercial | NTM Loans | Commercial and industrial | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial and industrial | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 2,675 | 0 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 3,124 | 2,293 |
Consumer | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 2,228 | 2,240 |
Consumer | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 294 | 294 |
Consumer | NTM Loans | Single family residential mortgage | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 471 | 853 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 2,228 | 2,240 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 294 | 294 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 2,653 | 1,440 |
Consumer | Traditional Loans and Leases | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | 0 | 0 |
Consumer | Traditional Loans and Leases | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loans and leases | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWAN109
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Loans and Leases by Class Modified as Troubled Debt Restructurings (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($)Loan | Dec. 31, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | |
Commercial | Commercial and industrial | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 1 | 0 | 0 |
Pre- Modification Outstanding Recorded Investment | $ 2,706 | $ 0 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 2,706 | $ 0 | $ 0 |
Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 4 | 42 | 14 |
Pre- Modification Outstanding Recorded Investment | $ 5,122 | $ 10,278 | $ 4,832 |
Post-Modification Outstanding Recorded Investment | $ 5,139 | $ 10,273 | $ 4,752 |
Consumer | Single family residential mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 3 | 42 | 13 |
Pre- Modification Outstanding Recorded Investment | $ 2,416 | $ 10,278 | $ 4,571 |
Post-Modification Outstanding Recorded Investment | $ 2,433 | $ 10,273 | $ 4,493 |
Consumer | Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 0 | 1 |
Pre- Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 261 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 259 |
LOANS AND LEASES AND ALLOWAN110
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Summary of TDR Modification Type (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($)Loan | Dec. 31, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | |
Commercial | Commercial and industrial | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 1 | 0 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 2,706 | $ 0 | $ 0 |
Commercial | Commercial and industrial | Change in Principal Payments and Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Commercial | Commercial and industrial | Change in Principal Payments | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 1 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 2,706 | ||
Commercial | Commercial and industrial | Change in Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Commercial | Commercial and industrial | Chapter 7 Bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Commercial | Commercial and industrial | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 4 | 42 | 14 |
Post-Modification Outstanding Recorded Investment | $ | $ 5,139 | $ 10,273 | $ 4,752 |
Consumer | Change in Principal Payments and Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 2 | 34 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 1,290 | $ 8,622 | $ 0 |
Consumer | Change in Principal Payments | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 2 | 4 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 3,849 | $ 780 | $ 0 |
Consumer | Change in Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 2 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 146 | $ 0 |
Consumer | Chapter 7 Bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 1 | 14 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 519 | $ 4,752 |
Consumer | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 1 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 206 | $ 0 |
Consumer | Single family residential mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 3 | 42 | 13 |
Post-Modification Outstanding Recorded Investment | $ | $ 2,433 | $ 10,273 | $ 4,493 |
Consumer | Single family residential mortgage | Change in Principal Payments and Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 2 | 34 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 1,290 | $ 8,622 | $ 0 |
Consumer | Single family residential mortgage | Change in Principal Payments | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 1 | 4 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 1,143 | $ 780 | $ 0 |
Consumer | Single family residential mortgage | Change in Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 2 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 146 | $ 0 |
Consumer | Single family residential mortgage | Chapter 7 Bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 1 | 13 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 519 | $ 4,493 |
Consumer | Single family residential mortgage | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 1 | 0 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 206 | $ 0 |
Consumer | Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | 0 | 1 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 259 |
Consumer | Other consumer | Change in Principal Payments and Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Consumer | Other consumer | Change in Principal Payments | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Consumer | Other consumer | Change in Interest Rates | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | ||
Consumer | Other consumer | Chapter 7 Bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 1 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 259 | ||
Consumer | Other consumer | Other | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Loans | Loan | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 |
LOANS AND LEASES AND ALLOWAN111
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Credit Quality Indicators Additional Information (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Loans delinquent | 60 days |
LOANS AND LEASES AND ALLOWAN112
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Risk Categories for Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 6,659,407 | $ 6,034,752 |
Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 6,578,813 | 5,865,052 |
Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 39,770 | 12,260 |
Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 40,718 | 24,150 |
Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 106 | 78 |
Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 133,212 |
PCI Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 141,826 |
PCI Loans | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 2,450 |
PCI Loans | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 4,056 |
PCI Loans | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 2,108 |
PCI Loans | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
PCI Loans | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 133,212 |
NTM Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 806,933 | 885,148 |
Traditional Loans and Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 5,852,474 | 5,007,778 |
Traditional Loans and Leases | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 5,774,646 | 4,981,404 |
Traditional Loans and Leases | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 38,175 | 4,721 |
Traditional Loans and Leases | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 39,547 | 21,575 |
Traditional Loans and Leases | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 106 | 78 |
Traditional Loans and Leases | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,973,452 | 2,019,161 |
Consumer | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 103,001 | 107,063 |
Consumer | PCI Loans | Single family residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 133,212 |
Consumer | PCI Loans | Single family residential mortgage | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | PCI Loans | Single family residential mortgage | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | PCI Loans | Single family residential mortgage | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | PCI Loans | Single family residential mortgage | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | PCI Loans | Single family residential mortgage | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 133,212 |
Consumer | PCI Loans | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 806,933 | 885,148 |
Consumer | NTM Loans | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 804,167 | 881,198 |
Consumer | NTM Loans | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,595 | 3,483 |
Consumer | NTM Loans | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,171 | 467 |
Consumer | NTM Loans | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 803,355 | 881,589 |
Consumer | NTM Loans | Green Loans (HELOC) - second liens | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 3,578 | 3,559 |
Consumer | NTM Loans | Single family residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 721,158 | 794,120 |
Consumer | NTM Loans | Single family residential mortgage | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 719,182 | 792,179 |
Consumer | NTM Loans | Single family residential mortgage | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 805 | 1,474 |
Consumer | NTM Loans | Single family residential mortgage | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,171 | 467 |
Consumer | NTM Loans | Single family residential mortgage | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Single family residential mortgage | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 82,197 | 87,469 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 81,407 | 85,460 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 790 | 2,009 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - first liens | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 3,578 | 3,559 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 3,578 | 3,559 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Consumer Home Equity Loan | Green Loans (HELOC) - second liens | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Other consumer | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Other consumer | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Other consumer | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Other consumer | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | NTM Loans | Other consumer | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | Traditional Loans and Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 5,007,778 | |
Consumer | Traditional Loans and Leases | Single family residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,252,294 | 1,091,829 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,240,866 | 1,080,664 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 2,282 | 950 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 9,146 | 10,215 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | Traditional Loans and Leases | Single family residential mortgage | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | Traditional Loans and Leases | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 103,001 | 107,063 |
Consumer | Traditional Loans and Leases | Other consumer | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 98,030 | 106,632 |
Consumer | Traditional Loans and Leases | Other consumer | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 422 | 48 |
Consumer | Traditional Loans and Leases | Other consumer | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 4,549 | 383 |
Consumer | Traditional Loans and Leases | Other consumer | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Consumer | Traditional Loans and Leases | Other consumer | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,701,951 | 1,522,960 |
Commercial | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 717,415 | 729,959 |
Commercial | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,816,141 | 1,365,262 |
Commercial | SBA | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 78,699 | 73,840 |
Commercial | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 182,960 | 125,100 |
Commercial | Lease financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 13 | 379 |
Commercial | PCI Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 4,760 |
Commercial | PCI Loans | Commercial and industrial | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Commercial and industrial | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 4,056 |
Commercial | PCI Loans | Commercial and industrial | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 704 |
Commercial | PCI Loans | Commercial and industrial | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Commercial and industrial | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 1,182 |
Commercial | PCI Loans | Commercial real estate | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 1,182 |
Commercial | PCI Loans | Commercial real estate | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Commercial real estate | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Commercial real estate | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Commercial real estate | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | SBA | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 2,672 |
Commercial | PCI Loans | SBA | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 1,268 |
Commercial | PCI Loans | SBA | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | SBA | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 1,404 |
Commercial | PCI Loans | SBA | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | SBA | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | PCI Loans | Lease financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | NTM Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | NTM Loans | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | NTM Loans | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | NTM Loans | SBA | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | NTM Loans | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | NTM Loans | Lease financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,701,951 | 1,518,200 |
Commercial | Traditional Loans and Leases | Commercial and industrial | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,651,628 | 1,508,636 |
Commercial | Traditional Loans and Leases | Commercial and industrial | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 33,376 | 844 |
Commercial | Traditional Loans and Leases | Commercial and industrial | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 16,947 | 8,642 |
Commercial | Traditional Loans and Leases | Commercial and industrial | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 78 |
Commercial | Traditional Loans and Leases | Commercial and industrial | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 717,415 | 728,777 |
Commercial | Traditional Loans and Leases | Commercial real estate | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 713,131 | 725,861 |
Commercial | Traditional Loans and Leases | Commercial real estate | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 1,350 |
Commercial | Traditional Loans and Leases | Commercial real estate | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 4,284 | 1,566 |
Commercial | Traditional Loans and Leases | Commercial real estate | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Commercial real estate | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,816,141 | 1,365,262 |
Commercial | Traditional Loans and Leases | Multifamily | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,815,601 | 1,365,262 |
Commercial | Traditional Loans and Leases | Multifamily | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 540 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Multifamily | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | SBA | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 78,699 | 71,168 |
Commercial | Traditional Loans and Leases | SBA | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 72,417 | 70,508 |
Commercial | Traditional Loans and Leases | SBA | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 1,555 | 0 |
Commercial | Traditional Loans and Leases | SBA | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 4,621 | 660 |
Commercial | Traditional Loans and Leases | SBA | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 106 | 0 |
Commercial | Traditional Loans and Leases | SBA | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 182,960 | 125,100 |
Commercial | Traditional Loans and Leases | Construction | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 182,960 | 123,571 |
Commercial | Traditional Loans and Leases | Construction | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 1,529 |
Commercial | Traditional Loans and Leases | Construction | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Construction | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Construction | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Lease financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 13 | 379 |
Commercial | Traditional Loans and Leases | Lease financing | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 13 | 270 |
Commercial | Traditional Loans and Leases | Lease financing | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Lease financing | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 109 |
Commercial | Traditional Loans and Leases | Lease financing | Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Commercial | Traditional Loans and Leases | Lease financing | Not-Rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans and leases | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWAN113
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Loans and Leases Sold and Purchased (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Purchases | $ 0 | $ 91,247 | $ 176,531 |
Sales | 0 | (169,154) | (412,094) |
Commercial | Multifamily | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Purchases | 0 | 0 | 0 |
Sales | 0 | 0 | (242,580) |
Commercial | SBA | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Purchases | 0 | 0 | 0 |
Sales | 0 | 0 | (3,599) |
Commercial | Lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Purchases | 0 | 91,247 | 127,043 |
Sales | 0 | (19,741) | 0 |
Consumer | Single family residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Purchases | 0 | 0 | 49,488 |
Sales | $ 0 | $ (149,413) | $ (165,915) |
LOANS AND LEASES AND ALLOWAN114
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Purchases and Sales Additional Information (Details) - USD ($) | Sep. 25, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Oct. 27, 2016 |
Receivables [Abstract] | |||||
Discount on loans and leases purchased | $ 0 | $ 0 | $ 1,400,000 | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from sale of loans held-for-investment | $ 605,502,000 | 930,342,000 | 575,477,000 | ||
Commercial Equipment Finance | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Equipment leases disposed of | $ 242,700,000 | $ 217,200,000 | |||
Americas United Bank (AUB) | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from sale of loans held-for-investment | $ 40,200,000 | $ 40,200,000 |
LOANS AND LEASES AND ALLOWAN115
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Loans and Leases Reclassification Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | $ 88,591 | $ 7,115 | $ 482,851 |
Transfers to Held-For-Sale | (465,854) | (191,666) | 0 |
Commercial | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | 0 | 0 | 0 |
Transfers to Held-For-Sale | (3,924) | (1,757) | 0 |
Commercial | Commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | 0 | 0 | 3,762 |
Transfers to Held-For-Sale | (1,329) | (2,792) | 0 |
Commercial | Multifamily | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | 0 | 0 | 0 |
Transfers to Held-For-Sale | (6,583) | (81,780) | 0 |
Commercial | SBA | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | 0 | 0 | 0 |
Transfers to Held-For-Sale | (1,865) | 0 | 0 |
Commercial | Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | 0 | 0 | 0 |
Transfers to Held-For-Sale | (1,528) | 0 | 0 |
Consumer | Single family residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Transfers from Held-For-Sale | 88,591 | 7,115 | 479,089 |
Transfers to Held-For-Sale | $ (450,625) | $ (105,337) | $ 0 |
LOANS AND LEASES AND ALLOWAN116
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Carrying Amount of Purchased Credit Impaired Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract] | ||
Outstanding Balance | $ 0 | $ 164,280 |
Carrying Amount | 0 | 141,826 |
Commercial | Commercial and industrial | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract] | ||
Outstanding Balance | 0 | 5,029 |
Carrying Amount | 0 | 4,760 |
Commercial | Commercial real estate | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract] | ||
Outstanding Balance | 0 | 1,613 |
Carrying Amount | 0 | 1,182 |
Commercial | SBA | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract] | ||
Outstanding Balance | 0 | 3,771 |
Carrying Amount | 0 | 2,672 |
Consumer | Single family residential mortgage | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract] | ||
Outstanding Balance | 0 | 153,867 |
Carrying Amount | $ 0 | $ 133,212 |
LOANS AND LEASES AND ALLOWAN117
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Accretable Yield, or Income Expected to be Collected (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | |||
Balance at beginning of year | $ 41,181 | $ 205,549 | $ 92,301 |
New loans or leases purchased | 0 | 23,568 | 138,046 |
Accretion of income | (3,833) | (34,616) | (23,441) |
Increase (decrease) in expected cash flows | (225) | (10,650) | 19,852 |
Disposals | (34,886) | (142,670) | (21,209) |
Other | (2,237) | 0 | 0 |
Balance at end of year | $ 0 | $ 41,181 | $ 205,549 |
LOANS AND LEASES AND ALLOWAN118
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Loans and Lease Acquired through Acquisition (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Outstanding unpaid principal balance at acquisition | $ 0 | $ 103,799 | $ 571,245 |
Cash flows expected to be collected at acquisitions | 0 | 114,552 | 667,224 |
Fair value of acquired loans at acquisition | 0 | 90,984 | 529,178 |
Consumer | Single family residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Outstanding unpaid principal balance at acquisition | $ 0 | $ 103,799 | $ 571,245 |
LOANS AND LEASES AND ALLOWAN119
LOANS AND LEASES AND ALLOWANCE FOR LOAN AND LEASE LOSSES - Purchased Credit Impaired Loans Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Net gain on sale of loans | $ 11,942 | $ 35,895 | $ 37,211 |
Total unpaid principal balance of sold PCI loan pools | 606,700 | 52,400 | |
Total fair value of sold PCI loan pools | 558,000 | 32,500 | |
Gain on sale of PCI loan pools | $ 19,200 | $ 9,400 | |
PCI Loans | Consumer | Single family residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Aggregate unpaid principal | 147,500 | ||
Aggregate carrying value | 128,400 | ||
Fair value adjustments | (274) | ||
Net gain on sale of loans | $ 3,700 |
PREMISES, EQUIPMENT, AND CAP120
PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET - Summary of Premises, Equipment, and Capital Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Premises, Equipment, and Capital Leases | $ 170,256 | $ 180,573 |
Less accumulated depreciation | (34,557) | (36,956) |
Premises, equipment, and capital lease, net | 135,699 | 143,617 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Premises, Equipment, and Capital Leases | 10,160 | 11,130 |
Building and Improvement | ||
Property, Plant and Equipment [Line Items] | ||
Premises, Equipment, and Capital Leases | 110,168 | 87,393 |
Furniture, fixture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises, Equipment, and Capital Leases | 36,946 | 45,581 |
Leasehold Improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises, Equipment, and Capital Leases | 12,807 | 16,034 |
Construction in Progress | ||
Property, Plant and Equipment [Line Items] | ||
Premises, Equipment, and Capital Leases | $ 175 | $ 20,435 |
PREMISES, EQUIPMENT, AND CAP121
PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET - Additional Information (Details) | Mar. 30, 2017USD ($) | May 05, 2016USD ($) | Nov. 12, 2015USD ($) | Sep. 25, 2015USD ($)Branch | Jun. 25, 2015USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($)Branch |
Property, Plant and Equipment [Line Items] | ||||||||
Number of branch locations sold | Branch | 2 | |||||||
Proceeds from sale of premises and equipment | $ 2,663,000 | $ 28,000 | $ 50,639,000 | |||||
Gain on sale of property | (1,070,000) | (122,000) | (80,000) | |||||
Impairment on capitalized software projects | 1,957,000 | 595,000 | 0 | |||||
Depreciation on premises and equipment | 12,425,000 | 11,680,000 | 9,154,000 | |||||
Capital leases | 1,500,000 | 1,400,000 | ||||||
Total rent expense | $ 11,000,000 | $ 16,800,000 | $ 16,400,000 | |||||
Leasehold Improvements | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net book value of properties sold | $ 748,000 | $ 57,000 | ||||||
Furniture, fixture and equipment | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net book value of properties sold | $ 1,700,000 | $ 88,000 | ||||||
Buildings | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net book value of properties sold | $ 42,300,000 | |||||||
Proceeds from sale of premises and equipment | 52,300,000 | |||||||
Gain on sale of property | 9,900,000 | |||||||
Selling costs | $ 2,300,000 | |||||||
Americas United Bank (AUB) | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Number of branch locations sold | Branch | 2 | |||||||
Americas United Bank (AUB) | Leasehold Improvements | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net book value of properties sold | $ 47,000 | |||||||
Americas United Bank (AUB) | Furniture, fixture and equipment | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net book value of properties sold | $ 30,000 | |||||||
Banco Popular North America (BPNA) | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Improved real property purchased | $ 77,000,000 |
PREMISES, EQUIPMENT, AND CAP122
PREMISES, EQUIPMENT, AND CAPITAL LEASES, NET - Future Commitments under Operating Leases and Capital Leases (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Commitments under operating leases | |
2,018 | $ 6,833 |
2,019 | 5,651 |
2,020 | 5,175 |
2,021 | 3,576 |
2022 and After | 7,189 |
Total | 28,424 |
Commitments under capital lease | |
2,018 | 527 |
2,019 | 503 |
2,020 | 430 |
2,021 | 0 |
2022 and After | 0 |
Total | 1,460 |
Commitments under operating leases and capital leases | |
2,018 | 7,360 |
2,019 | 6,154 |
2,020 | 5,605 |
2,021 | 3,576 |
2022 and After | 7,189 |
Total | $ 29,884 |
SERVICING RIGHTS - Composition
SERVICING RIGHTS - Composition of Total Income (Loss) From Servicing Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Transfers and Servicing [Abstract] | |||
Servicing fees for sold loans with servicing retained | $ 19,642 | $ 23,117 | $ 11,739 |
Losses on the fair value and runoff of servicing rights | (17,066) | (17,732) | (8,765) |
Total income from servicing rights | $ 2,576 | $ 5,385 | $ 2,974 |
SERVICING RIGHTS - Schedule of
SERVICING RIGHTS - Schedule of Servicing Rights (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Transfers and Servicing [Abstract] | ||||
Mortgage servicing rights, at fair value | $ 31,852 | $ 76,121 | $ 49,939 | $ 19,082 |
SBA servicing rights, at cost | 1,856 | 1,496 | $ 788 | $ 484 |
Total | $ 33,708 | $ 77,617 |
SERVICING RIGHTS - Additional I
SERVICING RIGHTS - Additional Information (Details) - USD ($) $ in Thousands | Mar. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Transfers and Servicing [Abstract] | ||||
Unpaid principal balance | $ 3,940,000 | $ 7,580,000 | ||
Escrow balances | 17,800 | 34,200 | ||
Servicing Assets at Fair Value [Line Items] | ||||
Sales of servicing rights | 39,345 | $ 5,382 | $ 5,862 | |
Servicing rights, held-for-sale, fair value | $ 29,793 | |||
Discount rate | 8.50% | |||
Prepayment speed | 8.50% | |||
Discontinued Operations, Disposed of by Sale | Banc Home Loan | ||||
Servicing Assets at Fair Value [Line Items] | ||||
Sales of servicing rights | $ 37,800 | $ 37,772 |
SERVICING RIGHTS - Summary of K
SERVICING RIGHTS - Summary of Key Characteristics, Inputs and Economic Assumptions Used to Estimate Fair Value of MSRs (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair value of retained MSRs | $ 31,852 | $ 76,121 | $ 49,939 | $ 19,082 |
Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair value of retained MSRs | $ 2,059 | $ 76,121 | ||
Discount rate | 13.00% | 10.18% | ||
Constant prepayment rate | 16.54% | 11.84% | ||
Weighted-average life | 5 years 27 days | 6 years 6 months 1 day |
SERVICING RIGHTS - Mortgage Ser
SERVICING RIGHTS - Mortgage Servicing Rights (Details) - USD ($) $ in Thousands | Mar. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Servicing Asset at Fair Value, Amount [Roll Forward] | ||||
Balance at beginning of year | $ 76,121 | $ 49,939 | $ 19,082 | |
Additions | 12,127 | 49,293 | 45,263 | |
Changes in fair value resulting from valuation inputs or assumptions | (10,240) | (5,709) | (3,568) | |
Sales of servicing rights | (39,345) | (5,382) | (5,862) | |
Other—loans paid off | (6,811) | (12,020) | (4,976) | |
Balance at end of year | 31,852 | $ 76,121 | $ 49,939 | |
Banc Home Loan | Discontinued Operations, Disposed of by Sale | ||||
Servicing Asset at Fair Value, Amount [Roll Forward] | ||||
Sales of servicing rights | $ (37,800) | $ (37,772) |
SERVICING RIGHTS - Small Busine
SERVICING RIGHTS - Small Business Administration Servicing Rights (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||
Balance at beginning of year | $ 1,496 | $ 788 | $ 484 |
Additions | 761 | 877 | 597 |
Amortization, including prepayments | (318) | (157) | (71) |
Impairment | (83) | (12) | (222) |
Balance at end of year | $ 1,856 | $ 1,496 | $ 788 |
OTHER REAL ESTATE OWNED - Activ
OTHER REAL ESTATE OWNED - Activities in Other Real Estate Owned (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Real Estate and Foreclosed Assets [Roll Forward] | |||
Balance at beginning of year | $ 2,502 | $ 1,097 | $ 423 |
Additions | 3,086 | 3,269 | 1,598 |
Sales and net direct write-downs | (3,556) | (1,833) | (886) |
Net change in valuation allowance | (236) | (31) | (38) |
Balance at end of year | $ 1,796 | $ 2,502 | $ 1,097 |
OTHER REAL ESTATE OWNED - Ac130
OTHER REAL ESTATE OWNED - Activities in Other Real Estate Owned Valuation Allowance (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Real Estate Owned Valuation Allowance [Roll Forward] | |||
Balance at beginning of year | $ 6 | $ 70 | $ 32 |
Additions | 242 | 31 | 38 |
Net direct write-downs and removals from sale | (6) | (95) | 0 |
Balance at end of year | $ 242 | $ 6 | $ 70 |
OTHER REAL ESTATE OWNED - Expen
OTHER REAL ESTATE OWNED - Expenses Related to Foreclosed Assets Included in Loan Servicing and Foreclosure Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |||
Net (loss) gain on sales | $ (48) | $ (96) | $ 23 |
Operating expenses, net of rental income | (51) | (108) | 0 |
Total | $ (99) | $ (204) | $ 23 |
GOODWILL AND OTHER INTANGIBL132
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Additional Information (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($)Branch | Dec. 31, 2014USD ($) | |
Finite-Lived Intangible Assets [Line Items] | ||||
Goodwill | $ 37,144 | $ 37,144 | ||
Goodwill (including portion attributable to discontinued operations) | 39,244 | $ 39,244 | $ 31,591 | |
Goodwill adjustments for purchase accounting | 0 | 0 | 7,653 | |
Impairment on intangible assets | 336 | 690 | $ 258 | |
Number of branch locations sold | Branch | 2 | |||
Aggregate amortization expense | 3,928 | 4,851 | $ 5,836 | |
Banking | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Goodwill | 37,100 | |||
Mortgage Banking | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Goodwill | 2,100 | |||
Goodwill, impairment loss | $ 2,100 | |||
Core deposit intangibles | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Weighted average amortization period | 5 years 11 months 24 days | |||
Impairment on intangible assets | $ 258 | |||
Core deposit intangibles | Minimum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization period of other intangible assets | 4 years | |||
Core deposit intangibles | Maximum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization period of other intangible assets | 10 years | |||
Customer relationship intangible | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment on intangible assets | $ 246 | |||
Trade name intangibles | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment on intangible assets | $ 90 | |||
Trade name intangibles | Mortgage Banking | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment on intangible assets | $ 690 |
GOODWILL AND OTHER INTANGIBL133
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Goodwill Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill [Roll Forward] | |||
Goodwill balance at beginning of the year | $ 39,244 | $ 39,244 | $ 31,591 |
Goodwill adjustments for purchase accounting | 0 | 0 | 7,653 |
Goodwill adjustments for discontinued operations | (2,100) | 0 | 0 |
Goodwill balance at end of year | 39,244 | 39,244 | |
Goodwill | 37,144 | 37,144 | |
Accumulated impairment losses at end of year | $ 2,100 | $ 0 | $ 0 |
GOODWILL AND OTHER INTANGIBL134
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Other Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Finite-Lived Intangible Assets [Line Items] | ||
Net Carrying Value | $ 9,353 | |
Core deposit intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 30,904 | $ 30,904 |
Accumulated Amortization | 21,551 | 17,656 |
Net Carrying Value | $ 9,353 | 13,248 |
Customer relationship intangible | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 670 | |
Accumulated Amortization | 391 | |
Net Carrying Value | 279 | |
Trade name intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 90 | |
Accumulated Amortization | 0 | |
Net Carrying Value | $ 90 |
GOODWILL AND OTHER INTANGIBL135
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Estimated Future Amortization Expense (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,018 | $ 3,007 |
2,019 | 2,195 |
2,020 | 1,518 |
2,021 | 1,081 |
2022 and After | 1,552 |
Net Carrying Value | $ 9,353 |
DEPOSITS - Components of Intere
DEPOSITS - Components of Interest Bearing Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
Noninterest-bearing deposits | $ 1,071,608 | $ 1,282,629 |
Interest-bearing deposits | ||
Interest-bearing demand deposits | 2,089,016 | 2,048,839 |
Money market accounts | 1,146,859 | 2,731,314 |
Savings accounts | 1,059,628 | 1,118,175 |
Certificates of deposit of $250,000 or less | 1,365,452 | 1,550,235 |
Certificates of deposit of more than $250,000 | 560,340 | 410,958 |
Total interest-bearing deposits | 6,221,295 | 7,859,521 |
Total deposits | $ 7,292,903 | $ 9,142,150 |
DEPOSITS - Additional Informati
DEPOSITS - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Deposits [Line Items] | ||
Deposit reclassified as loans | $ 978 | $ 587 |
Deposits | 7,292,903 | 9,142,150 |
Total brokered deposits | 1,456,421 | 2,247,982 |
California State Treasurer | ||
Schedule Of Deposits [Line Items] | ||
Deposits | 250,000 | |
Letters of credit | 275,000 | |
Other Public Entities | ||
Schedule Of Deposits [Line Items] | ||
Deposits | 4,000 | 30,600 |
Securities pledged as collateral | $ 32,700 | $ 34,700 |
DEPOSITS - Summary of Brokered
DEPOSITS - Summary of Brokered Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
Interest-bearing demand deposits | $ 8,751 | $ 8,587 |
Money market accounts | 532,047 | 1,031,598 |
Certificates of deposit of $250,000 or less | 915,623 | 1,207,053 |
Certificates of deposit of more than $250,000 | 0 | 744 |
Total brokered deposits | $ 1,456,421 | $ 2,247,982 |
DEPOSITS - Scheduled Maturities
DEPOSITS - Scheduled Maturities of Time Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Certificates of deposit of $250,000 or less | ||
2,018 | $ 1,275,449 | |
2,019 | 79,600 | |
2,020 | 5,615 | |
2,021 | 1,401 | |
2022 and After | 3,387 | |
Total | 1,365,452 | $ 1,550,235 |
Certificates of deposit of more than $250,000 | ||
2,018 | 484,034 | |
2,019 | 67,822 | |
2,020 | 5,340 | |
2,021 | 2,394 | |
2022 and After | 750 | |
Total | 560,340 | $ 410,958 |
Time Deposits [Abstract] | ||
2,018 | 1,759,483 | |
2,019 | 147,422 | |
2,020 | 10,955 | |
2,021 | 3,795 | |
2022 and After | 4,137 | |
Total | $ 1,925,792 |
FEDERAL HOME LOAN BANK ADVAN140
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS - Additional Information (Details) - USD ($) | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Fixed bank advances | $ 550,000,000 | $ 150,000,000 | |
Company advances weighted average interest rate | 1.40% | ||
Variable bank advances | $ 1,145,000,000 | $ 340,000,000 | |
FHLB variable-rate, weighted average interest rate | 0.52% | ||
Advances from FHLB collateralized | 2,900,000,000 | $ 3,270,000,000 | |
Amount of additional available borrowing | 873,100,000 | ||
Line of Credit Facility [Line Items] | |||
Other borrowings | 0 | 67,922,000 | |
Securities sold under repurchase agreements | 0 | 0 | |
Federal Reserve Bank Advances | |||
Line of Credit Facility [Line Items] | |||
Amount of available line of credit with Federal Reserve Bank | 63,200,000 | ||
Other borrowings | 0 | ||
Securities Pledged as Collateral | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Advances from FHLB collateralized | 405,600,000 | 321,000,000 | |
Securities Pledged as Collateral | Federal Reserve Bank Advances | |||
Line of Credit Facility [Line Items] | |||
Collateral on line of credit facility | 101,200,000 | ||
Line of Credit | Unsecured Federal Funds Line of Credit | |||
Line of Credit Facility [Line Items] | |||
Amount of available line of credit with Federal Reserve Bank | 210,000,000 | ||
Line of Credit | Line Of Credit Facility Maturing April 18, 2017 | |||
Line of Credit Facility [Line Items] | |||
Amount of available line of credit with Federal Reserve Bank | $ 75,000,000 | ||
Repayments of lines of credit | $ 50,000,000 | ||
Federal Home Loan Bank of San Francisco | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
FHLB stock | $ 48,700,000 | $ 41,900,000 | |
London Interbank Offered Rate (LIBOR) | Line of Credit | Line of Credit Facility Maturing March 28, 2016 | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 2.25% | ||
Minimum | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Company advances weighted average interest rate | 1.23% | 0.69% | |
Maximum | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Company advances weighted average interest rate | 3.00% | 1.61% | |
Weighted Average | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Company advances weighted average interest rate | 2.02% | 1.02% |
FEDERAL HOME LOAN BANK ADVAN141
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS - Fiscal Year Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Fixed rate | |||
2,018 | $ 125,000 | ||
2,019 | 125,000 | ||
2,020 | 100,000 | ||
2,021 | 100,000 | ||
2022 and After | 100,000 | ||
Total | 550,000 | $ 150,000 | |
Variable rate | |||
2,018 | 1,145,000 | ||
2,019 | 0 | ||
2,020 | 0 | ||
2,021 | 0 | ||
2022 and After | 0 | ||
Total | 1,145,000 | 340,000 | |
Total | |||
2,018 | 1,270,000 | ||
2,019 | 125,000 | ||
2,020 | 100,000 | ||
2,021 | 100,000 | ||
2022 and After | 100,000 | ||
Total | $ 1,695,000 | $ 490,000 | $ 930,000 |
FEDERAL HOME LOAN BANK ADVAN142
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS - Financial Data of Federal Home Loan Bank Advances (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Banking and Thrift [Abstract] | |||
Weighted-average interest rate at end of year | 1.60% | 0.67% | 0.40% |
Average interest rate during the year | 1.23% | 0.49% | 0.38% |
Average balance | $ 1,054,978 | $ 1,153,208 | $ 553,162 |
Maximum amount outstanding at any month-end | 1,695,000 | 1,990,000 | 1,355,000 |
Balance at end of year | $ 1,695,000 | $ 490,000 | $ 930,000 |
LONG-TERM DEBT - Summary of Lon
LONG-TERM DEBT - Summary of Long-term Debt (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | Apr. 15, 2016 | Apr. 06, 2015 | Aug. 15, 2014 | May 21, 2014 |
Debt Instrument [Line Items] | ||||||
Par Value | $ 175,000,000 | $ 177,684,000 | ||||
Discount | (2,059,000) | (2,306,000) | ||||
Senior Notes | 5.25% Senior Notes Due April 15, 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Stated interest rate | 5.25% | |||||
Par Value | 175,000,000 | 175,000,000 | $ 175,000,000 | |||
Discount | (2,059,000) | (2,281,000) | ||||
Junior Subordinated Debt | 7.50% Amortizing Note Due May 15, 2017 | ||||||
Debt Instrument [Line Items] | ||||||
Stated interest rate | 7.50% | 7.50% | 7.50% | |||
Par Value | 0 | 2,684,000 | ||||
Discount | $ 0 | $ (25,000) |
LONG-TERM DEBT - Additional Inf
LONG-TERM DEBT - Additional Information (Details) | Apr. 15, 2016 | Apr. 06, 2015USD ($) | Aug. 15, 2014$ / shares | May 21, 2014USD ($)$ / sharesshares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Debt Instrument [Line Items] | |||||||
Aggregate principal amount issued | $ 175,000,000 | $ 177,684,000 | |||||
Net proceeds from issuance of long-term debt | $ 0 | 0 | $ 172,304,000 | ||||
Debt extinguishment costs | 2,700,000 | ||||||
Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, optional redemption period prior to maturity | 90 days | ||||||
Minimum redemption period notice required | 30 days | ||||||
Maximum redemption period notice required | 60 days | ||||||
Redemption price, percentage | 100.00% | ||||||
Senior Notes | 5.25% Senior Notes Due April 15, 2025 | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount issued | $ 175,000,000 | $ 175,000,000 | 175,000,000 | ||||
Stated interest rate | 5.25% | ||||||
Net proceeds from issuance of long-term debt | $ 172,800,000 | ||||||
Junior Subordinated Debt | 7.50% Amortizing Note Due May 15, 2017 | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount issued | $ 0 | $ 2,684,000 | |||||
Stated interest rate | 7.50% | 7.50% | 7.50% | ||||
Redemption price, percentage | 100.00% | ||||||
Gross proceeds from issuance of tangible equity units | $ 69,000,000 | ||||||
Tangible equity units dividend rate | 8.00% | 8.00% | |||||
Tangible equity units issued during period, shares | shares | 1,380,000 | ||||||
Tangible equity units issued to underwriter during period, shares | shares | 180,000 | ||||||
Tangible equity units, price per share (in dollars per share) | $ / shares | $ 50 | $ 50 | |||||
Tangible equity units, convertible, conversion ratio | 10.604556 | ||||||
Fair value of debt instrument | $ 14,600,000 | ||||||
Adjustments to additional paid in capital, issuance of tangible equity units | 54,400,000 | ||||||
Tangible equity units issued, issuance costs | 4,000,000 | ||||||
Tangible equity units issued, issuance costs, underwriter discount | 3,300,000 | ||||||
Debt instrument, deferred finance cost | 857,000 | ||||||
Adjustments to additional paid in capital, tangible equity units issued, issuance costs | $ 3,200,000 | ||||||
Equal quarterly cash installments per Amortizing Note | 1 | ||||||
Installment payment due on August 15, 2014 per Amortizing Note | 0.933333 |
INCOME TAXES - Components of In
INCOME TAXES - Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Current income taxes: | |||||||||||
Federal | $ (2,215) | $ (3,044) | $ 16,681 | ||||||||
State | 6,006 | 11,180 | 4,088 | ||||||||
Total current income tax expense | 3,791 | 8,136 | 20,769 | ||||||||
Deferred income taxes: | |||||||||||
Federal | (25,938) | 6,699 | 4,754 | ||||||||
State | (4,434) | (1,086) | 2,525 | ||||||||
Total deferred income tax expense | (30,372) | 5,613 | 7,279 | ||||||||
Change in valuation allowance | 0 | 0 | 0 | ||||||||
Income Tax Expense (Benefit) | $ (3,418) | $ (3,939) | $ (12,753) | $ (6,471) | $ (2,543) | $ (9,016) | $ 13,647 | $ 11,661 | $ (26,581) | $ 13,749 | $ 28,048 |
INCOME TAXES - Effective Tax Ra
INCOME TAXES - Effective Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Computed expected income tax expense (benefit) at Federal statutory rate | 35.00% | 35.00% | 35.00% |
Increase (decrease) resulting from: | |||
Proportional amortization | 5.10% | 0.40% | 1.10% |
Other permanent book-tax differences | (2.10%) | 0.20% | (0.10%) |
State tax expense, net of federal benefit | 3.70% | 6.40% | 5.90% |
Income tax credits | (149.50%) | (33.90%) | (0.90%) |
Initial book-tax difference on investments in alternative energy partnership | 24.90% | 5.80% | 0.00% |
Write-off of Goodwill for discontinued operations | 2.70% | 0.00% | 0.00% |
Bank owned life insurance policies | (3.00%) | (0.80%) | (0.50%) |
Equity compensation windfall tax benefits | (7.00%) | (0.00%) | (0.00%) |
Remeasurement from the Tax Cuts and Jobs Act | (7.80%) | 0.00% | 0.00% |
Reserve for uncertain tax positions | 1.90% | 0.00% | 0.00% |
Other, net | (2.70%) | 0.60% | 0.10% |
Effective tax rates | (98.80%) | 13.70% | 40.60% |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | ||||
Tax Cuts and Jobs Act of 2017 - Tax benefit from remeasurement | $ 2,100,000 | |||
Effective Income Tax Rate Reconciliation, Share-based Compensation, Excess Tax Benefit, Amount | 2,200,000 | |||
Tax credits on investments in alternative energy partnership | 38,200,000 | $ 33,400,000 | ||
Deferred income tax expense | (30,372,000) | 5,613,000 | $ 7,279,000 | |
Valuation allowance | 0 | 0 | ||
Income before income taxes and net operating loss carryforward | $ 46,200,000 | |||
Percent of domestic and state operating loss carryforwards utilized | 16.90% | |||
Threshold amount on use of operating loss carryforwards in year 2 | $ 1,400,000 | |||
Threshold amount on use of operating loss carryforwards in year 3 and thereafter | 474,000 | |||
Unrecognized tax benefits | 1,047,000 | 0 | 0 | $ 5,421,000 |
Total unrecognized tax benefit that, if recognized, would impact the effective tax rate | 1,000,000 | |||
Accrued penalties and interest | 0 | 0 | ||
Affordable Housing Partnerships | ||||
Operating Loss Carryforwards [Line Items] | ||||
Gross investment in limited partnership | 29,300,000 | |||
Unfunded amount in limited partnership | 15,600,000 | |||
Balance of investment | 22,000,000 | 23,200,000 | ||
Tax deductions | 1,700,000 | |||
Tax credits | 849,000 | |||
Investment amortization | 1,400,000 | 394,000 | $ 727,000 | |
Beach Business Bank | ||||
Operating Loss Carryforwards [Line Items] | ||||
Section 382 limitation | 1,300,000 | |||
Gateway Bancorp | ||||
Operating Loss Carryforwards [Line Items] | ||||
Section 382 limitation | 474,000 | |||
Investment Tax Credit Carryforward | Affordable Housing Partnerships | ||||
Operating Loss Carryforwards [Line Items] | ||||
Unused tax credit carryforward | 849,000 | 0 | ||
Research Tax Credit Carryforward | ||||
Operating Loss Carryforwards [Line Items] | ||||
Unused tax credit carryforward | 320,000 | 0 | ||
Tax credit carryforward utilized | 500,000 | |||
Domestic Tax Authority | ||||
Operating Loss Carryforwards [Line Items] | ||||
Operating loss carryforwards | 2,700,000 | |||
Operating loss carryforward utilized | 474,000 | |||
State and Local Jurisdiction | ||||
Operating Loss Carryforwards [Line Items] | ||||
Operating loss carryforwards | 10,500,000 | |||
Operating loss carryforward utilized | 1,800,000 | |||
Alternative Energy Partnership | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deferred income tax expense | 6,700,000 | 5,800,000 | ||
Alternative Energy Partnership | Investment Tax Credit Carryforward | ||||
Operating Loss Carryforwards [Line Items] | ||||
Unused tax credit carryforward | 26,200,000 | $ 0 | ||
Tax credit carryforward utilized | $ 12,000,000 |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Allowance for loan and lease losses | $ 15,178,000 | $ 18,921,000 |
Stock-based compensation expense | 2,899,000 | 6,118,000 |
Accrued expenses | 1,465,000 | 10,209,000 |
Reserve for loss on repurchased loans | 2,031,000 | 3,426,000 |
Federal net operating losses | 571,000 | 1,162,000 |
State net operating losses | 871,000 | 810,000 |
Federal income tax credits | 27,550,000 | 0 |
Unrealized loss on securities available-for-sale | 0 | 6,438,000 |
Amortization of intangible assets | 732,000 | 0 |
Prior year state tax deduction | 1,527,000 | 5,555,000 |
Other deferred tax assets | 3,468,000 | 3,617,000 |
Total deferred tax assets | 56,292,000 | 56,256,000 |
Deferred tax liabilities: | ||
Derivative instruments adjustment | 0 | (6,559,000) |
Investments in partnerships | (237,000) | (1,945,000) |
Mortgage servicing rights | (9,337,000) | (31,658,000) |
Amortization of intangible assets | 0 | (30,000) |
Deferred loan fees and costs | (7,005,000) | (2,760,000) |
Depreciation on premises and equipment | (3,797,000) | (129,000) |
Unrealized gain on securities available-for-sale | (2,368,000) | 0 |
Other deferred tax liabilities | (2,474,000) | (3,186,000) |
Total deferred tax liabilities | (25,218,000) | (46,267,000) |
Valuation allowance | 0 | 0 |
Net deferred tax assets | $ 31,074,000 | $ 9,989,000 |
INCOME TAXES - Unrecognized Tax
INCOME TAXES - Unrecognized Tax Benefit Rollforward (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balance | $ 0 | $ 0 | $ 5,421,000 |
Increase related to prior year tax positions | 867,000 | 0 | |
(Decrease) related to prior year tax positions | (5,421,000) | ||
Increase in current year tax positions | 180,000 | 0 | 0 |
Ending balance | $ 1,047,000 | $ 0 | $ 0 |
RESERVE FOR LOSS ON REPURCHA150
RESERVE FOR LOSS ON REPURCHASED LOANS - Summary of Activities in Reserve for Loss Reimbursements on Sold Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Loss Contingency Accrual [Roll Forward] | |||
Subsequent change in the reserve | $ (1,812) | $ (3,352) | $ 2,326 |
Representations and Warranties Obligations and Corporate Guarantees | |||
Loss Contingency Accrual [Roll Forward] | |||
Balance at beginning of year | 7,974 | 9,700 | 8,303 |
Initial provision for loan repurchases | 1,622 | 3,942 | 2,026 |
Utilization of reserve for loan repurchases | (2,238) | (2,316) | (3,801) |
Other adjustments | 760 | 0 | 846 |
Balance at end of year | $ 6,306 | $ 7,974 | $ 9,700 |
DERIVATIVE INSTRUMENTS - Additi
DERIVATIVE INSTRUMENTS - Additional Information (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jan. 30, 2015 | Sep. 30, 2013 | |
Interest Rate Swap Maturing on September 27, 2018 | Cash Flow Hedging | |||||
Derivative [Line Items] | |||||
Derivatives, notional amount | $ 50,000,000 | ||||
Derivative, notional amount terminated | $ 75,000,000 | ||||
Interest Rate Swap Maturing on January 30, 2022 | Cash Flow Hedging | |||||
Derivative [Line Items] | |||||
Derivatives, notional amount | $ 25,000,000 | ||||
Interest rate swaps on deposits and other borrowings | |||||
Derivative [Line Items] | |||||
Derivatives asset, fair values | $ 918,000 | ||||
Gain (Loss) on Securitization of Financial Assets | |||||
Derivative [Line Items] | |||||
Gain (loss) on derivatives | $ (12,400,000) | 2,200,000 | $ (8,000,000) | ||
Other Assets | |||||
Derivative [Line Items] | |||||
Derivatives asset, fair values | 1,005,000 | 17,968,000 | |||
Other Assets | Foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Derivatives asset, fair values | $ 0 | $ 47,000 |
DERIVATIVE INSTRUMENTS - Amount
DERIVATIVE INSTRUMENTS - Amount and Market Value of Mortgage Banking Derivatives (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Assets | $ 70,486,000 | $ 877,695,000 |
Derivatives asset, fair values | 1,005,000 | 17,968,000 |
Other Assets | Interest rate lock commitments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Assets | 0 | 289,637,000 |
Derivatives asset, fair values | 0 | 8,317,000 |
Other Assets | Mandatory forward commitments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Assets | 0 | 537,476,000 |
Derivatives asset, fair values | 0 | 8,897,000 |
Other Assets | Interest rate swaps and cap on loans | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Assets | 70,486,000 | 46,346,000 |
Derivatives asset, fair values | 1,005,000 | 707,000 |
Other Assets | Foreign exchange contracts | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Assets | 0 | 4,236,000 |
Derivatives asset, fair values | 0 | 47,000 |
Accrued Expenses and Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Liability | 70,486,000 | 338,820,000 |
Derivatives liability, fair values | 1,033,000 | 2,116,000 |
Accrued Expenses and Other Liabilities | Interest rate lock commitments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Liability | 0 | 22,945,000 |
Derivatives liability, fair values | 0 | 231,000 |
Accrued Expenses and Other Liabilities | Mandatory forward commitments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Liability | 0 | 265,322,000 |
Derivatives liability, fair values | 0 | 1,212,000 |
Accrued Expenses and Other Liabilities | Interest rate swaps and caps on loans | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Liability | 70,486,000 | 46,346,000 |
Derivatives liability, fair values | 1,033,000 | 655,000 |
Accrued Expenses and Other Liabilities | Foreign exchange contracts | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount Liability | 0 | 4,207,000 |
Derivatives liability, fair values | $ 0 | $ 18,000 |
EMPLOYEE STOCK COMPENSATION - A
EMPLOYEE STOCK COMPENSATION - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | Jul. 16, 2013 | Aug. 21, 2012 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Stock option awards | Minimum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 3 years | ||||
Award expiration period | 7 years | ||||
Stock option awards | Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 5 years | ||||
Award expiration period | 10 years | ||||
Restricted stock awards and restricted stock units | Minimum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 1 year | ||||
Restricted stock awards and restricted stock units | Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 5 years | ||||
Initial SAR | Chief Executive Officer | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 2 years | ||||
Award expiration period | 10 years | ||||
SARs granted (in shares) | 500,000 | ||||
Base price per share (in dollars per share) | $ 12.12 | ||||
Initial SAR | Tranche One | Chief Executive Officer | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of vesting award rights | 33.33% | ||||
Performance based restricted stock | Chief Executive Officer | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Aggregate grant date fair value market value | $ 5 | ||||
Stock appreciation rights | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
SARs granted (in shares) | 0 | 0 | 2,973 | ||
2013 Omnibus Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock shares authorized percentage under the plan | 20.00% | ||||
Minimum requirement of number of shares authorized | 2,384,711 | ||||
Common stock available under new plan | 1,277,247 |
EMPLOYEE STOCK COMPENSATION - S
EMPLOYEE STOCK COMPENSATION - Summary of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 12,134 | $ 11,947 | $ 9,328 |
Related tax benefits | 5,078 | 4,963 | 3,922 |
Stock option awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 360 | 531 | 528 |
Restricted stock awards and restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 11,732 | 11,398 | 8,598 |
Stock appreciation rights | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 42 | $ 18 | $ 202 |
EMPLOYEE STOCK COMPENSATION - U
EMPLOYEE STOCK COMPENSATION - Unrecognized Stock-based Compensation Expense (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Expense | $ 10,029 |
Weighted-Average Remaining Expected Recognition Period | 2 years 5 months 15 days |
Stock option awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Expense | $ 267 |
Weighted-Average Remaining Expected Recognition Period | 2 years 3 months 14 days |
Restricted stock awards and restricted stock units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Expense | $ 9,762 |
Weighted-Average Remaining Expected Recognition Period | 2 years 5 months 17 days |
EMPLOYEE STOCK COMPENSATION 156
EMPLOYEE STOCK COMPENSATION - Summary of Stock Options (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Granted date fair value of options granted | $ 0 | $ 1,630 | $ 729 |
Fair value of options vested | 611 | 497 | 481 |
Total intrinsic value of options exercised | 3,747 | 722 | 75 |
Cash received from options exercised | $ 2,043 | $ 0 | $ 501 |
Weighted-average estimated fair value per share of options granted (in dollars per share) | $ 0 | $ 5.09 | $ 3.76 |
EMPLOYEE STOCK COMPENSATION - W
EMPLOYEE STOCK COMPENSATION - Weighted Average Fair Value Assumptions (Details) - Stock option awards | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Dividend yield | 0.00% | 3.57% | 4.14% |
Expected volatility | 0.00% | 43.30% | 43.04% |
Expected term | 0 years | 6 years 6 months | 6 years 5 months 12 days |
Risk-free interest rate | 0.00% | 1.61% | 1.68% |
EMPLOYEE STOCK COMPENSATION - O
EMPLOYEE STOCK COMPENSATION - Option Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | |||
Outstanding at beginning of year (in shares) | 968,591 | 960,879 | 879,070 |
Granted (in shares) | 0 | 320,000 | 193,696 |
Cash settled (in shares) | 0 | 55,826 | 0 |
Exercised (in shares) | (488,281) | (51,666) | (43,333) |
Forfeited (in shares) | (269,337) | (202,743) | (68,554) |
Expired (in shares) | 0 | (2,053) | 0 |
Outstanding at end of year (in shares) | 210,973 | 968,591 | 960,879 |
Exercisable at end of year (in shares) | 105,541 | 449,655 | 394,613 |
Weighted-Average Exercise Price per Share | |||
Outstanding at beginning of year (in dollars per share) | $ 13.95 | $ 12.86 | $ 12.67 |
Granted (in dollars per share) | 0 | 16.78 | 13.28 |
Cash settled (in dollars per share) | 0 | 14.33 | 0 |
Exercised (in dollars per share) | 12.53 | 11.48 | 11.55 |
Forfeited (in dollars per share) | 16.49 | 13.84 | 12.38 |
Expired (in dollars per share) | 0 | 13.88 | 0 |
Outstanding at end of year (in dollars per share) | 13.99 | 13.95 | 12.86 |
Exercisable at end of year (in dollars per share) | $ 14.68 | $ 12.68 | $ 12.70 |
EMPLOYEE STOCK COMPENSATION - N
EMPLOYEE STOCK COMPENSATION - Nonvested Stock Option Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | |||
Outstanding at beginning of year (in shares) | 518,936 | 566,266 | 552,672 |
Granted (in shares) | 0 | 320,000 | 193,696 |
Vested (in shares) | (174,833) | (170,837) | (170,102) |
Forfeited (in shares) | (238,671) | (196,493) | (10,000) |
Outstanding at end of year (in shares) | 105,432 | 518,936 | 566,266 |
Weighted-Average Exercise Price per Share | |||
Outstanding at beginning of year (in dollars per share) | $ 15.04 | $ 12.99 | $ 12.74 |
Granted (in dollars per share) | 0 | 16.77 | 13.28 |
Vested (in dollars per share) | 14.10 | 12.81 | 12.57 |
Forfeited (in dollars per share) | 16.50 | 13.86 | 12.03 |
Outstanding at end of year (in dollars per share) | $ 13.31 | $ 15.04 | $ 12.99 |
EMPLOYEE STOCK COMPENSATION 160
EMPLOYEE STOCK COMPENSATION - Summary of Stock Options Outstanding (Details) | 12 Months Ended |
Dec. 31, 2017USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Number of Shares (in shares) | shares | 210,973 |
Options Outstanding, Intrinsic Value | $ | $ 1,404,705 |
Options Outstanding, Weighted- Average Exercise Price per Share (in dollars per share) | $ 13.99 |
Options Outstanding, Weighted- Average Remaining Contractual Life (in years) | 6 years 11 months 17 days |
Options Exercisable, Number of Shares (in shares) | shares | 105,541 |
Options Exercisable, Intrinsic Value | $ | $ 630,593 |
Options Exercisable, Weighted-Average Exercise Price Per Share (in dollars per share) | $ 14.68 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 6 years 7 months 22 days |
$10.89 to $12.21 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Lower range of exercise price (in usd per share) | $ 10.89 |
Upper range of exercise price (in usd per share) | $ 12.21 |
Options Outstanding, Number of Shares (in shares) | shares | 7,344 |
Options Outstanding, Intrinsic Value | $ | $ 71,604 |
Options Outstanding, Weighted- Average Exercise Price per Share (in dollars per share) | $ 10.90 |
Options Outstanding, Weighted- Average Remaining Contractual Life (in years) | 6 years 5 months 30 days |
Options Exercisable, Number of Shares (in shares) | shares | 4,400 |
Options Exercisable, Intrinsic Value | $ | $ 42,900 |
Options Exercisable, Weighted-Average Exercise Price Per Share (in dollars per share) | $ 10.90 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 6 years 5 months 30 days |
$12.21 to $13.53 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Lower range of exercise price (in usd per share) | $ 12.21 |
Upper range of exercise price (in usd per share) | $ 13.53 |
Options Outstanding, Number of Shares (in shares) | shares | 116,000 |
Options Outstanding, Intrinsic Value | $ | $ 853,760 |
Options Outstanding, Weighted- Average Exercise Price per Share (in dollars per share) | $ 13.29 |
Options Outstanding, Weighted- Average Remaining Contractual Life (in years) | 7 years 4 months 14 days |
Options Exercisable, Number of Shares (in shares) | shares | 32,000 |
Options Exercisable, Intrinsic Value | $ | $ 235,520 |
Options Exercisable, Weighted-Average Exercise Price Per Share (in dollars per share) | $ 13.29 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 7 years 4 months 14 days |
$13.53 to $14.85 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Lower range of exercise price (in usd per share) | $ 13.53 |
Upper range of exercise price (in usd per share) | $ 14.85 |
Options Outstanding, Number of Shares (in shares) | shares | 47,464 |
Options Outstanding, Intrinsic Value | $ | $ 325,502 |
Options Outstanding, Weighted- Average Exercise Price per Share (in dollars per share) | $ 13.79 |
Options Outstanding, Weighted- Average Remaining Contractual Life (in years) | 6 years 6 months 28 days |
Options Exercisable, Number of Shares (in shares) | shares | 28,976 |
Options Exercisable, Intrinsic Value | $ | $ 198,334 |
Options Exercisable, Weighted-Average Exercise Price Per Share (in dollars per share) | $ 13.81 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 6 years 3 months 14 days |
$14.85 to $16.17 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Lower range of exercise price (in usd per share) | $ 14.85 |
Upper range of exercise price (in usd per share) | $ 16.17 |
Options Outstanding, Number of Shares (in shares) | shares | 16,165 |
Options Outstanding, Intrinsic Value | $ | $ 78,239 |
Options Outstanding, Weighted- Average Exercise Price per Share (in dollars per share) | $ 15.81 |
Options Outstanding, Weighted- Average Remaining Contractual Life (in years) | 3 years 5 months 26 days |
Options Exercisable, Number of Shares (in shares) | shares | 16,165 |
Options Exercisable, Intrinsic Value | $ | $ 78,239 |
Options Exercisable, Weighted-Average Exercise Price Per Share (in dollars per share) | $ 15.81 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 3 years 5 months 26 days |
$16.17 to $17.50 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Lower range of exercise price (in usd per share) | $ 16.17 |
Upper range of exercise price (in usd per share) | $ 17.50 |
Options Outstanding, Number of Shares (in shares) | shares | 24,000 |
Options Outstanding, Intrinsic Value | $ | $ 75,600 |
Options Outstanding, Weighted- Average Exercise Price per Share (in dollars per share) | $ 17.50 |
Options Outstanding, Weighted- Average Remaining Contractual Life (in years) | 8 years 2 months 30 days |
Options Exercisable, Number of Shares (in shares) | shares | 24,000 |
Options Exercisable, Intrinsic Value | $ | $ 75,600 |
Options Exercisable, Weighted-Average Exercise Price Per Share (in dollars per share) | $ 17.50 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 8 years 2 months 30 days |
EMPLOYEE STOCK COMPENSATION 161
EMPLOYEE STOCK COMPENSATION - Nonvested Restricted Stock Awards and Restricted Stock Units (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restricted stock awards and restricted stock units | |||
Number of Shares | |||
Outstanding at beginning of year (in shares) | 1,417,144 | 1,516,361 | 1,287,302 |
Granted (in shares) | 859,722 | 1,711,968 | 930,830 |
Vested (in shares) | (854,031) | (758,999) | (451,196) |
Forfeited (in shares) | (511,202) | (1,052,186) | (250,575) |
Outstanding at end of year (in shares) | 911,633 | 1,417,144 | 1,516,361 |
Weighted-Average Price per Share | |||
Outstanding at beginning of year (in dollars per share) | $ 16.16 | $ 12.40 | $ 12.53 |
Granted (in dollars per share) | 20.81 | 17.99 | 12.31 |
Vested (in dollars per share) | 15.95 | 13.12 | 12.64 |
Forfeited (in dollars per share) | 17.80 | 13.92 | 12.29 |
Outstanding at end of year (in dollars per share) | $ 18.73 | $ 16.16 | $ 12.40 |
Performance Shares | |||
Number of Shares | |||
Granted (in shares) | 152,709 | 602,671 | 62,552 |
Vested (in shares) | (10,000) | 0 | 0 |
Forfeited (in shares) | (107,545) | (615,223) | 0 |
EMPLOYEE STOCK COMPENSATION 162
EMPLOYEE STOCK COMPENSATION - SARs Weighted Average Fair Value Assumptions (Details) - Stock appreciation rights - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Dividend yield | 0.00% | 0.00% | 0.00% |
Expected volatility | 0.00% | 0.00% | 23.79% |
Expected term | 0 years | 0 years | 2 years 7 days |
Risk-free interest rate | 0.00% | 0.00% | 0.64% |
Fair value per share (in dollars per share) | $ 0 | $ 0 | $ 1.72 |
EMPLOYEE STOCK COMPENSATION 163
EMPLOYEE STOCK COMPENSATION - Summary of SARs Activity (Details) - Stock appreciation rights - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | |||
Outstanding at beginning of year (in shares) | 1,559,047 | 1,561,681 | 1,575,394 |
Granted (in shares) | 0 | 0 | 2,973 |
Exercised (in shares) | 0 | 0 | 0 |
Forfeited (in shares) | (35) | (2,634) | (16,686) |
Outstanding at end of year (in shares) | 1,559,012 | 1,559,047 | 1,561,681 |
Exercisable at end of year (in shares) | 1,559,012 | 1,550,978 | 1,535,718 |
Weighted-Average Exercise Price per Share | |||
Outstanding at beginning of year (in dollars per share) | $ 11.60 | $ 11.60 | $ 11.58 |
Granted (in dollars per share) | 0 | 0 | 12.27 |
Exercised (in dollars per share) | 0 | 0 | 0 |
Forfeited (in dollars per share) | 10.09 | 10.09 | 10.09 |
Outstanding at end of year (in dollars per share) | 11.60 | 11.60 | 11.60 |
Exercisable at end of year (in dollars per share) | $ 11.60 | $ 11.61 | $ 11.63 |
Number of Shares | |||
Outstanding at beginning of year (in shares) | 8,069 | 25,963 | 147,589 |
Granted (in shares) | 0 | 0 | 2,973 |
Vested (in shares) | (8,034) | (15,260) | (107,913) |
Forfeited (in shares) | (35) | (2,634) | (16,686) |
Outstanding at end of year (in shares) | 0 | 8,069 | 25,963 |
Weighted-Average Price per Share | |||
Outstanding at beginning of year (in dollars per share) | $ 10.09 | $ 10.09 | $ 10.09 |
Granted (in dollars per share) | 0 | 0 | 12.27 |
Vested (in dollars per share) | 10.09 | 10.09 | 10.15 |
Forfeited (in dollars per share) | 10.09 | 10.09 | 10.09 |
Outstanding at end of year (in dollars per share) | $ 0 | $ 10.09 | $ 10.09 |
EMPLOYEE BENEFIT PLANS - Additi
EMPLOYEE BENEFIT PLANS - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Employee contribution on compensation, maximum | 100.00% | ||
Employer contribution match on compensation | 100.00% | ||
Percentage of employees' annual contribution, eligible for employers match | 4.00% | ||
401(k) plan expense | $ 3.1 | $ 3.9 | $ 3.6 |
Restricted Stock | 2013 Omnibus Stock Incentive Plan | |||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Award vesting period | 5 years | ||
Restricted stock awards issued under Employee Equity Ownership Plan | 35,016 | 98,693 | 58,073 |
Unvested restricted stock awards (in shares) | 64,755 | ||
Unrecognized stock-based compensation expense | $ 1.1 |
STOCKHOLDERS' EQUITY - Warrants
STOCKHOLDERS' EQUITY - Warrants (Details) - $ / shares | Dec. 27, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 17, 2016 | Mar. 09, 2016 | Dec. 08, 2015 | Aug. 03, 2015 | Nov. 01, 2010 | Nov. 30, 2010 | Dec. 31, 2017 | Aug. 17, 2016 | Dec. 31, 2015 |
Class of Stock [Line Items] | |||||||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ 11 | $ 8.49 | |||||||||||||
Issuance of shares of common stock (in shares) | 6,134,988 | ||||||||||||||
Cor Advisors Llc | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 1,395,000 | ||||||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ 11 | ||||||||||||||
Common Stock | Class B Common Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Issuance of shares of common stock (in shares) | 70,690 | ||||||||||||||
Common Stock | Class A Common Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Issuance of shares of common stock (in shares) | 70,690 | ||||||||||||||
Tcw Shared Opportunity Fund | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 240,000 | 240,000 | 240,000 | ||||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ 9.13 | $ 11 | |||||||||||||
Warrant exercisable period | 5 years | 5 years | |||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 960,000 | 480,000 | |||||||||||||
Number of warrants exercised (in shares) | 90,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Exercisable on September 30, 2017 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 90,000 | ||||||||||||||
Issuance of shares of common stock (in shares) | 52,284 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Exercisable on December 31, 2017 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ 8.49 | ||||||||||||||
Issuance of shares of common stock (in shares) | 77,413 | ||||||||||||||
Number of warrants exercised (in shares) | 130,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Exercisable on March 31, 2018 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Exercisable on June 30, 2018 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche One | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Two | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Three | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Four | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Five | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Six | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Seven | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
President And Chief Executive Officer | Cor Advisors Llc | Tranche Eight | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
Brother of President and Chief Executive Officer | Cor Advisors Llc | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 480,000 | ||||||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ 8.55 | $ 8.61 | $ 8.66 | $ 8.72 | $ 8.80 | ||||||||||
Number of warrants exercised (in shares) | 40,000 | 130,000 | 130,000 | 130,000 | 50,000 | ||||||||||
Brother of President and Chief Executive Officer | Cor Advisors Llc | Exercisable on September 30, 2016 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 50,000 | ||||||||||||||
Brother of President and Chief Executive Officer | Cor Advisors Llc | Exercisable on December 31, 2016 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
Brother of President and Chief Executive Officer | Cor Advisors Llc | Exercisable on March 31, 2017 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
Brother of President and Chief Executive Officer | Cor Advisors Llc | Exercisable on June 30, 2017 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
Brother of President and Chief Executive Officer | Cor Advisors Llc | Exercisable on September 30, 2017 | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 40,000 | ||||||||||||||
Brother of President and Chief Executive Officer | Common Stock | Class B Common Stock | Cor Advisors Llc | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Issuance of shares of common stock (in shares) | 23,237 | 77,376 | 75,875 | ||||||||||||
Brother of President and Chief Executive Officer | Common Stock | Class A Common Stock | Cor Advisors Llc | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Issuance of shares of common stock (in shares) | 64,962 | 25,051 | |||||||||||||
Vice President and Chief Lending Officer | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ 8.80 | $ 8.84 | $ 8.90 | $ 9.04 | |||||||||||
Vice President and Chief Lending Officer | Cor Advisors Llc | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 435,000 | 0 | |||||||||||||
Issuance of shares of common stock (in shares) | 40,081 | 70,775 | 53,711 | 37,355 | |||||||||||
Number of warrants exercised (in shares) | 80,000 | 130,000 | 130,000 | 95,000 | |||||||||||
Vice President and Chief Lending Officer | Cor Advisors Llc | Tranche One | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 95,000 | ||||||||||||||
Vice President and Chief Lending Officer | Cor Advisors Llc | Tranche Two | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
Vice President and Chief Lending Officer | Cor Advisors Llc | Tranche Three | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 130,000 | ||||||||||||||
Vice President and Chief Lending Officer | Cor Advisors Llc | Tranche Four | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Warrants issued (in shares) | 80,000 |
STOCKHOLDERS' EQUITY - Common S
STOCKHOLDERS' EQUITY - Common Stock (Details) - USD ($) $ in Thousands | May 11, 2016 | Mar. 08, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Class of Stock [Line Items] | |||||
Net proceeds from issuance of common stock | $ 0 | $ 175,078 | $ 0 | ||
Common Stock | |||||
Class of Stock [Line Items] | |||||
Issuance of stock shares (in shares) | 5,250,000 | 4,850,000 | |||
Net proceeds from issuance of common stock | $ 100,000 | $ 66,500 | |||
Common Stock | Over Allotment Option | |||||
Class of Stock [Line Items] | |||||
Issuance of stock shares (in shares) | 727,500 | ||||
Net proceeds from issuance of common stock | $ 10,500 | ||||
Underwriters option period | 30 days |
STOCKHOLDERS' EQUITY - Preferre
STOCKHOLDERS' EQUITY - Preferred Stock (Details) - USD ($) $ / shares in Units, $ in Thousands | Feb. 08, 2016 | Apr. 08, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Apr. 01, 2016 |
Class of Stock [Line Items] | ||||||
Preferred stock, authorized (in shares) | 50,000,000 | |||||
Preferred stock, par value (in dollars per share) | $ 0.01 | |||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||
Gross proceeds from issuance of preferred stock | $ 0 | $ 120,255 | $ 110,873 | |||
Underwritten Public Offering | ||||||
Class of Stock [Line Items] | ||||||
Offering price per share (in dollars per share) | $ 25 | $ 25 | ||||
Depository shares issued | 5,000,000 | 4,600,000 | ||||
Series D 7.375% non-cumulative perpetual | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||
Depository shares issued | 4,000,000 | |||||
Depository shares to preferred stock ratio | 2.50% | |||||
Non cumulative preferred stock, dividend rate | 7.375% | |||||
Offering price per share (in dollars per share) | $ 25 | |||||
Gross proceeds from issuance of preferred stock | $ 96,900 | |||||
Preferred stock, shares issued | 115,000 | |||||
Series D 7.375% non-cumulative perpetual | Over Allotment Option | ||||||
Class of Stock [Line Items] | ||||||
Gross proceeds from issuance of preferred stock | $ 14,500 | |||||
Underwriters option period | 30 days | |||||
Preferred shares available for issuance | 600,000 | |||||
Series D 7.375% non-cumulative perpetual | Underwritten Public Offering | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||
Depository shares to preferred stock ratio | 2.50% | |||||
Series E 7.00% non-cumulative perpetual | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||
Depository shares to preferred stock ratio | 2.50% | |||||
Non cumulative preferred stock, dividend rate | 7.00% | |||||
Offering price per share (in dollars per share) | $ 25 | |||||
Preferred stock, shares issued | 125,000 | |||||
Series E 7.00% non-cumulative perpetual | Underwritten Public Offering | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||
Depository shares to preferred stock ratio | 2.50% | |||||
Gross proceeds from issuance of preferred stock | $ 121,100 | |||||
Depository shares issued | 5,000,000 | |||||
Series A Non-cumulative perpetual | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||
Preferred stock, shares redeemed (in shares) | 32,000 | |||||
Series B Non-cumulative perpetual | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, shares redeemed (in shares) | 10,000 |
STOCKHOLDERS' EQUITY - Summary
STOCKHOLDERS' EQUITY - Summary of Preferred Stock (Details) - USD ($) $ in Thousands | Feb. 08, 2016 | Apr. 08, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Class of Stock [Line Items] | ||||
Preferred stock, authorized (in shares) | 50,000,000 | |||
Carrying Value | $ 269,071 | $ 269,071 | ||
Series D 7.375% non-cumulative perpetual | ||||
Class of Stock [Line Items] | ||||
Non cumulative preferred stock, dividend rate | 7.375% | |||
Series E 7.00% non-cumulative perpetual | ||||
Class of Stock [Line Items] | ||||
Non cumulative preferred stock, dividend rate | 7.00% | |||
Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, authorized (in shares) | 280,250 | 280,250 | ||
Preferred stock, shares outstanding (in shares) | 280,250 | 280,250 | ||
Liquidation Preference | $ 280,250 | $ 280,250 | ||
Carrying Value | $ 269,071 | $ 269,071 | ||
Preferred Stock | Series C 8.00% non-cumulative perpetual | ||||
Class of Stock [Line Items] | ||||
Non cumulative preferred stock, dividend rate | 8.00% | 8.00% | ||
Preferred stock, authorized (in shares) | 40,250 | 40,250 | ||
Preferred stock, shares outstanding (in shares) | 40,250 | 40,250 | ||
Liquidation Preference | $ 40,250 | $ 40,250 | ||
Carrying Value | $ 37,943 | $ 37,943 | ||
Preferred Stock | Series D 7.375% non-cumulative perpetual | ||||
Class of Stock [Line Items] | ||||
Non cumulative preferred stock, dividend rate | 7.375% | 7.375% | ||
Preferred stock, authorized (in shares) | 115,000 | 115,000 | ||
Preferred stock, shares outstanding (in shares) | 115,000 | 115,000 | ||
Liquidation Preference | $ 115,000 | $ 115,000 | ||
Carrying Value | $ 110,873 | $ 110,873 | ||
Preferred Stock | Series E 7.00% non-cumulative perpetual | ||||
Class of Stock [Line Items] | ||||
Non cumulative preferred stock, dividend rate | 7.00% | 7.00% | ||
Preferred stock, authorized (in shares) | 125,000 | 125,000 | ||
Preferred stock, shares outstanding (in shares) | 125,000 | 125,000 | ||
Liquidation Preference | $ 125,000 | $ 125,000 | ||
Carrying Value | $ 120,255 | $ 120,255 |
STOCKHOLDERS' EQUITY - Stock Em
STOCKHOLDERS' EQUITY - Stock Employee Compensation Trust (Details) - Variable Interest Entity, Primary Beneficiary - Common Stock - USD ($) $ / shares in Units, $ in Millions | Dec. 28, 2017 | Aug. 03, 2016 | Dec. 31, 2017 | Dec. 27, 2017 |
Class of Stock [Line Items] | ||||
Shares sold during the period (in shares) | 2,500,000 | 2,500,000 | ||
Price per share sold to trust (in usd per share) | $ 21.45 | |||
Proceeds from sale of equity | $ 53.6 | $ 53.6 | ||
Number of shares repurchased (in shares) | 2,500,000 | |||
Share price of share repurchased (in dollars per share) | $ 21 | |||
Value of shares repurchased | $ 52.5 | |||
Proceeds used for funding benefit plan obligations | $ 2.7 | |||
Voting common stock allocated to funding benefit plan obligations (in shares) | 126,517 | |||
Portion of termination proceeds used to satisfy and terminate promissory note obligations | $ 49.8 | |||
Outstanding principal balance including accrued interest | $ 50.9 |
STOCKHOLDERS' EQUITY - Tangible
STOCKHOLDERS' EQUITY - Tangible Equity Units (Details) $ / shares in Units, $ in Thousands | May 21, 2014USD ($)$ / sharesshares | Dec. 31, 2017shares |
Class of Stock [Line Items] | ||
Minimum settlement rate | 4.4456 | |
Market value greater or equal to (in dollars per share) | $ / shares | $ 11.247 | |
Maximum settlement rate | 5.1124 | |
Market value less than or equal to (in dollars per share) | $ / shares | $ 9.78 | |
Issuance of shares of voting common stock (in shares) | shares | 6,134,988 | |
Junior Subordinated Debt | 7.50% Amortizing Note Due May 15, 2017 | ||
Class of Stock [Line Items] | ||
Tangible equity units issued during period, shares | shares | 1,380,000 | |
Tangible equity units issued to underwriter during period, shares | shares | 180,000 | |
Proceeds from issuance of tangible equity units, net of issuance costs | $ 65,000 | |
Fair value of debt instrument | 14,600 | |
Adjustments to additional paid in capital, issuance of tangible equity units | 54,400 | |
Tangible equity units issued, issuance costs | 4,000 | |
Debt instrument, deferred finance cost | 857 | |
Adjustments to additional paid in capital, tangible equity units issued, issuance costs | $ 3,200 |
STOCKHOLDERS' EQUITY - Changes
STOCKHOLDERS' EQUITY - Changes to Accumulate Other Comprehensive Income by Components (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning Balance | $ 980,239 | $ 652,405 | $ 503,315 |
Unrealized gain (loss) | (3,414) | ||
Reclassification adjustment from other comprehensive income | (14,768) | (29,405) | (2,340) |
Tax effect of current period changes | (9,287) | 4,261 | 2,386 |
Total other comprehensive income (loss) | 14,269 | (6,047) | (3,368) |
Ending Balance | 1,012,308 | 980,239 | 652,405 |
Unrealized Gain (Loss) on AFS Securities | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning Balance | (9,042) | (2,995) | 509 |
Reclassification adjustment from other comprehensive income | (14,768) | (29,405) | (3,258) |
Tax effect of current period changes | (9,287) | 4,261 | 2,485 |
Total other comprehensive income (loss) | 14,269 | (6,047) | (3,504) |
Ending Balance | 5,227 | (9,042) | (2,995) |
Unrealized gain (loss) on AFS securities arising during the period | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Unrealized gain (loss) | 16,334 | 19,097 | (2,731) |
Unrealized gain (loss) on AFS securities reclassification of HTM to AFS securities | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Unrealized gain (loss) | 21,990 | ||
Cash Flow Hedge | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning Balance | 0 | (136) | |
Unrealized gain (loss) | (683) | ||
Reclassification adjustment from other comprehensive income | 918 | ||
Tax effect of current period changes | (99) | ||
Total other comprehensive income (loss) | 136 | ||
Ending Balance | 0 | ||
Total | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning Balance | (9,042) | (2,995) | 373 |
Total other comprehensive income (loss) | 14,269 | (6,047) | (3,368) |
Ending Balance | $ 5,227 | $ (9,042) | $ (2,995) |
REGULATORY CAPITAL MATTERS - Ac
REGULATORY CAPITAL MATTERS - Actual and Required Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Banc of California, NA | ||
Total risk-based capital | ||
Total risk-based capital ratio, actual amount | $ 1,131,057 | $ 1,042,617 |
Total risk-based capital ratio, actual ratio | 16.56% | 14.73% |
Total risk-based capital ratio, minimum capital requirements amount | $ 546,359 | $ 566,405 |
Total risk-based capital ratio, minimum capital requirements ratio | 8.00% | 8.00% |
Total risk-based capital ratio, minimum required to be well capitalized under prompt corrective action provisions amount | $ 682,949 | $ 708,007 |
Total risk-based capital ratio, minimum required to be well capitalized under prompt corrective action provisions ratio | 10.00% | 10.00% |
Tier 1 risk-based capital | ||
Tier 1 risk-based capital ratio, actual amount | $ 1,078,008 | $ 999,788 |
Tier 1 risk-based capital ratio, actual ratio | 15.78% | 14.12% |
Tier 1 risk-based capital ratio, minimum capital requirements amount | $ 409,769 | $ 424,804 |
Tier 1 risk-based capital ratio, minimum capital requirements ratio | 6.00% | 6.00% |
Tier 1 risk-based capital ratio, minimum required to be well capitalized under prompt corrective action provisions amount | $ 546,359 | $ 566,405 |
Tier 1 risk-based capital ratio, minimum required to be well capitalized under prompt corrective action provisions ratio | 8.00% | 8.00% |
Common equity tier 1 capital | ||
Common equity tier 1 capital ratio, actual amount | $ 1,078,008 | $ 999,788 |
Common equity tier 1 capital ratio, actual ratio | 15.78% | 14.12% |
Common equity tier 1 capital ratio, minimum capital requirements amount | $ 307,327 | $ 318,603 |
Common equity tier 1 capital ratio, minimum capital requirements ratio | 4.50% | 4.50% |
Common equity tier 1 capital ratio, minimum required to be well capitalized under prompt corrective action provisions amount | $ 443,917 | $ 460,204 |
Common equity tier 1 capital ratio, minimum required to be well capitalized under prompt corrective action provisions ratio | 6.50% | 6.50% |
Tier 1 leverage | ||
Tier 1 leverage ratio, actual amount | $ 1,078,008 | $ 999,788 |
Tier 1 leverage ratio, actual ratio | 10.67% | 8.71% |
Tier 1 leverage ratio, minimum capital requirements amount | $ 404,060 | $ 459,368 |
Tier 1 leverage ratio, minimum capital requirements ratio | 4.00% | 4.00% |
Tier 1 leverage ratio, minimum required to be well capitalized under prompt corrective action provisions amount | $ 505,074 | $ 574,210 |
Tier 1 leverage ratio, minimum required to be well capitalized under prompt corrective action provisions ratio | 5.00% | 5.00% |
Banc of California, Inc. | ||
Total risk-based capital | ||
Total risk-based capital ratio, actual amount | $ 1,002,200 | $ 975,918 |
Total risk-based capital ratio, actual ratio | 14.56% | 13.70% |
Total risk-based capital ratio, minimum capital requirements amount | $ 550,499 | $ 569,856 |
Total risk-based capital ratio, minimum capital requirements ratio | 8.00% | 8.00% |
Tier 1 risk-based capital | ||
Tier 1 risk-based capital ratio, actual amount | $ 949,151 | $ 941,429 |
Tier 1 risk-based capital ratio, actual ratio | 13.79% | 13.22% |
Tier 1 risk-based capital ratio, minimum capital requirements amount | $ 412,874 | $ 427,392 |
Tier 1 risk-based capital ratio, minimum capital requirements ratio | 6.00% | 6.00% |
Common equity tier 1 capital | ||
Common equity tier 1 capital ratio, actual amount | $ 682,539 | $ 672,358 |
Common equity tier 1 capital ratio, actual ratio | 9.92% | 9.44% |
Common equity tier 1 capital ratio, minimum capital requirements amount | $ 309,656 | $ 320,544 |
Common equity tier 1 capital ratio, minimum capital requirements ratio | 4.50% | 4.50% |
Tier 1 leverage | ||
Tier 1 leverage ratio, actual amount | $ 949,151 | $ 941,429 |
Tier 1 leverage ratio, actual ratio | 9.39% | 8.17% |
Tier 1 leverage ratio, minimum capital requirements amount | $ 404,339 | $ 460,840 |
Tier 1 leverage ratio, minimum capital requirements ratio | 4.00% | 4.00% |
REGULATORY CAPITAL MATTERS - Ad
REGULATORY CAPITAL MATTERS - Additional Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |
Dividends payment | $ 18 |
Banc of California, NA | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |
Earnings available for dividend distribution | $ 276.9 |
VARIABLE INTEREST ENTITIES - Su
VARIABLE INTEREST ENTITIES - Summary of Unconsolidated VIEs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Variable Interest Entity [Line Items] | |||
Funded commitments | $ 55,400 | $ 57,300 | |
Loss on investments in alternative energy partnerships, net | 30,786 | 31,510 | $ 0 |
Aggregate funding commitment | 100,000 | ||
Total amount funded | 62,800 | ||
Amount of funding canceled | 37,200 | ||
Investment tax credit | 38,200 | 33,400 | |
Unfunded commitments | 50,100 | ||
Payments of capital lease obligations | 1,434 | 954 | 947 |
Affordable Housing Fund Investment | |||
Variable Interest Entity [Line Items] | |||
Total amount funded | 13,700 | 29,300 | |
Unfunded commitments | 15,600 | 11,000 | 50,600 |
Payments of capital lease obligations | 4,500 | 104 | 48 |
Investment amortization | 1,400 | 394 | 727 |
Variable Interest Entity, Not Primary Beneficiary | |||
Variable Interest Entity [Line Items] | |||
Loss on investments in alternative energy partnerships, net | (30,800) | (31,500) | |
Total unconsolidated assets | 265,259 | 152,072 | |
Investment tax credit | 38,200 | 33,400 | |
Maximum loss exposure | 98,910 | 68,298 | |
Variable Interest Entity, Not Primary Beneficiary | Affordable Housing Fund Investment | |||
Variable Interest Entity [Line Items] | |||
Investment tax credit | 849 | 435 | $ 632 |
Maximum loss exposure | 22,000 | ||
Variable Interest Entity, Not Primary Beneficiary | Other Assets | |||
Variable Interest Entity [Line Items] | |||
Total unconsolidated assets | 48,800 | 25,600 | |
Variable Interest Entity, Not Primary Beneficiary | Other Assets | Affordable Housing Fund Investment | |||
Variable Interest Entity [Line Items] | |||
Total unconsolidated assets | $ 22,000 | $ 23,200 |
VARIABLE INTEREST ENTITIES -175
VARIABLE INTEREST ENTITIES - Summary of the Carrying Value of the Assets and Liabilities and Maximum Loss Exposure for the Alternative Energy Partnerships (Details) - Variable Interest Entity, Not Primary Beneficiary - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Variable Interest Entity [Line Items] | ||
Cash | $ 16,518 | $ 0 |
Equipment, net of depreciation | 246,297 | 151,721 |
Other assets | 2,444 | 351 |
Total unconsolidated assets | 265,259 | 152,072 |
Total unconsolidated liabilities | 7,181 | 0 |
Maximum loss exposure | $ 98,910 | $ 68,298 |
VARIABLE INTEREST ENTITIES -176
VARIABLE INTEREST ENTITIES - Summary of Consolidated VIEs (Details) - Variable Interest Entity, Primary Beneficiary - Common Stock - USD ($) $ / shares in Units, $ in Millions | Dec. 28, 2017 | Aug. 03, 2016 | Dec. 31, 2017 | Dec. 27, 2017 |
Variable Interest Entity [Line Items] | ||||
Shares sold during the period (in shares) | 2,500,000 | 2,500,000 | ||
Price per share sold to trust (in usd per share) | $ 21.45 | |||
Proceeds from sale of equity | $ 53.6 | $ 53.6 | ||
Number of shares repurchased (in shares) | 2,500,000 | |||
Share price of share repurchased (in dollars per share) | $ 21 | |||
Value of shares repurchased | $ 52.5 | |||
Proceeds used for funding benefit plan obligations | $ 2.7 | |||
Voting common stock allocated to funding benefit plan obligations (in shares) | 126,517 | |||
Portion of termination proceeds used to satisfy and terminate promissory note obligations | $ 49.8 | |||
Outstanding principal balance including accrued interest | $ 50.9 |
EARNINGS PER COMMON SHARE - Com
EARNINGS PER COMMON SHARE - Computations for Basic and Diluted Earnings/(Loss) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Earnings Per Share [Line Items] | |||||||||||
Income from continuing operations | $ 10,852 | $ 18,108 | $ 15,138 | $ 9,376 | $ 24,495 | $ 25,179 | $ 19,760 | $ 17,306 | $ 53,474 | $ 86,740 | $ 41,118 |
Less: income allocated to participating securities | (311) | (2,274) | (1,310) | ||||||||
Less: participating securities dividends | (811) | (759) | (713) | ||||||||
Less: preferred stock dividends | (5,113) | (5,112) | (5,113) | (5,113) | (5,113) | (5,112) | (5,114) | (4,575) | (20,451) | (19,914) | (9,823) |
Income from continuing operations allocated to common stockholders | 31,901 | 63,793 | 29,272 | ||||||||
Income (loss) from discontinued operations | 450 | (1,159) | (2,881) | 7,825 | 8,769 | 10,758 | 6,768 | 2,381 | 4,235 | 28,676 | 20,954 |
Net income allocated to common stockholders | $ 6,189 | $ 11,837 | $ 7,144 | $ 12,088 | $ 28,151 | $ 30,825 | $ 21,414 | $ 15,112 | $ 36,136 | $ 92,469 | $ 50,226 |
Weighted-average common shares outstanding (shares) | 50,254,595 | 46,828,463 | 37,046,594 | ||||||||
Add: Dilutive effects of warrants (shares) | 332,806 | 394,086 | 383,255 | ||||||||
Average shares and dilutive common shares (shares) | 50,819,790 | 47,638,105 | 37,598,509 | ||||||||
Basic earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | $ 0.64 | $ 1.36 | $ 0.79 | ||||||||
Income from discontinued operations (in dollars per share) | 0.08 | 0.61 | 0.57 | ||||||||
Net income (in dollars per share) | 0.72 | 1.97 | 1.36 | ||||||||
Diluted earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.63 | 1.34 | 0.78 | ||||||||
Income from discontinued operations (in dollars per share) | 0.08 | 0.60 | 0.56 | ||||||||
Net income (in dollars per share) | $ 0.71 | $ 1.94 | $ 1.34 | ||||||||
Class A Common Stock | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Income from continuing operations | $ 53,136 | $ 86,500 | $ 41,103 | ||||||||
Less: income allocated to participating securities | (309) | (2,268) | (1,310) | ||||||||
Less: participating securities dividends | (806) | (757) | (713) | ||||||||
Less: preferred stock dividends | (20,322) | (19,859) | (9,820) | ||||||||
Income from continuing operations allocated to common stockholders | 31,699 | 63,616 | 29,260 | ||||||||
Income (loss) from discontinued operations | 4,208 | 28,597 | 20,947 | ||||||||
Net income allocated to common stockholders | $ 35,907 | $ 92,213 | $ 50,207 | ||||||||
Weighted-average common shares outstanding (shares) | 49,936,627 | 46,699,050 | 37,033,725 | ||||||||
Add: Dilutive effects of warrants (shares) | 332,806 | 394,086 | 383,255 | ||||||||
Average shares and dilutive common shares (shares) | 50,501,822 | 47,508,692 | 37,585,640 | ||||||||
Basic earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | $ 0.11 | $ 0.25 | $ 0.20 | $ 0.08 | $ 0.37 | $ 0.38 | $ 0.30 | $ 0.30 | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.22 | 0.14 | 0.06 | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.12 | 0.23 | 0.14 | 0.23 | 0.55 | 0.60 | 0.44 | 0.36 | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.11 | 0.25 | 0.20 | 0.08 | 0.36 | 0.38 | 0.29 | 0.30 | 0.63 | 1.34 | 0.78 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.21 | 0.14 | 0.06 | 0.08 | 0.60 | 0.56 |
Net income (in dollars per share) | 0.12 | 0.23 | 0.14 | 0.23 | 0.54 | 0.59 | 0.43 | 0.36 | $ 0.71 | $ 1.94 | $ 1.34 |
Class B Common Stock | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Income from continuing operations | $ 338 | $ 240 | $ 15 | ||||||||
Less: income allocated to participating securities | (2) | (6) | 0 | ||||||||
Less: participating securities dividends | (5) | (2) | 0 | ||||||||
Less: preferred stock dividends | (129) | (55) | (3) | ||||||||
Income from continuing operations allocated to common stockholders | 202 | 177 | 12 | ||||||||
Income (loss) from discontinued operations | 27 | 79 | 7 | ||||||||
Net income allocated to common stockholders | $ 229 | $ 256 | $ 19 | ||||||||
Weighted-average common shares outstanding (shares) | 317,968 | 129,413 | 12,869 | ||||||||
Add: Dilutive effects of warrants (shares) | 0 | 0 | 0 | ||||||||
Average shares and dilutive common shares (shares) | 317,968 | 129,413 | 12,869 | ||||||||
Basic earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.11 | 0.25 | 0.20 | 0.08 | 0.37 | 0.38 | 0.30 | 0.30 | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.22 | 0.14 | 0.06 | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.12 | 0.23 | 0.14 | 0.23 | 0.55 | 0.60 | 0.44 | 0.36 | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.11 | 0.25 | 0.20 | 0.08 | 0.37 | 0.38 | 0.30 | 0.30 | 0.64 | 1.36 | 0.79 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.22 | 0.14 | 0.06 | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | $ 0.12 | $ 0.23 | $ 0.14 | $ 0.23 | $ 0.55 | $ 0.60 | $ 0.44 | $ 0.36 | $ 0.72 | $ 1.97 | $ 1.36 |
Restricted Stock Units | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Add: Dilutive effects of restricted stock units and stock options (shares) | 72,655 | 218,121 | 138,646 | ||||||||
Restricted Stock Units | Class A Common Stock | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Add: Dilutive effects of restricted stock units and stock options (shares) | 72,655 | 218,121 | 138,646 | ||||||||
Restricted Stock Units | Class B Common Stock | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Add: Dilutive effects of restricted stock units and stock options (shares) | 0 | 0 | 0 | ||||||||
Stock Option | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Add: Dilutive effects of restricted stock units and stock options (shares) | 159,734 | 197,435 | 30,014 | ||||||||
Stock Option | Class A Common Stock | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Add: Dilutive effects of restricted stock units and stock options (shares) | 159,734 | 197,435 | 30,014 | ||||||||
Stock Option | Class B Common Stock | |||||||||||
Schedule of Earnings Per Share [Line Items] | |||||||||||
Add: Dilutive effects of restricted stock units and stock options (shares) | 0 | 0 | 0 |
EARNINGS PER COMMON SHARE - Add
EARNINGS PER COMMON SHARE - Additional Information (Details) - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restricted Stock Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Stock excluded from computation of earnings per share | 145,349 | 0 | 0 |
Stock Option | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Stock excluded from computation of earnings per share | 59,178 | 272,878 | 498,196 |
LOAN COMMITMENTS AND OTHER R179
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES - Contractual Amount of Financial Instruments with Off-Balance-Sheet Risk (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Commitments to extend credit | ||
Other Commitments [Line Items] | ||
Fixed Rate | $ 1,851 | $ 74,777 |
Variable Rate | 335,654 | 201,321 |
Unused lines of credit | ||
Other Commitments [Line Items] | ||
Fixed Rate | 19,085 | 27,151 |
Variable Rate | 1,309,170 | 888,236 |
Letters of credit | ||
Other Commitments [Line Items] | ||
Fixed Rate | 1,050 | 1,784 |
Variable Rate | 12,976 | 8,655 |
Banc Home Loan | Discontinued Operations | Commitments to extend credit | ||
Other Commitments [Line Items] | ||
Commitments to extend credit | $ 0 | $ 65,100 |
LOAN COMMITMENTS AND OTHER R180
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Aug. 22, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Other Commitments [Line Items] | |||||
Commitments to make loans period, maximum | 30 days | ||||
Unfunded commitments | $ 50.1 | ||||
Affordable Housing Fund Investment | |||||
Other Commitments [Line Items] | |||||
Unfunded commitments | $ 15.6 | $ 11 | $ 50.6 | ||
Los Angeles Football Club (LAFC) Naming Rights, Revenue Rights, And Other Sponsorship Rights | |||||
Other Commitments [Line Items] | |||||
Maximum commitment | $ 100 | ||||
Related party term of contract | 15 years | 15 years | |||
Payments for naming rights | $ 10 | $ 10 |
RESTRUCTURING - Additional Info
RESTRUCTURING - Additional Information (Details) $ in Millions | Dec. 31, 2017USD ($) |
Restructuring and Related Activities [Abstract] | |
Expected restructuring costs in next fiscal year | $ 9.1 |
RESTRUCTURING - Restructuring R
RESTRUCTURING - Restructuring Reserve (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring Reserve [Roll Forward] | |||
Balance at beginning of period | $ 0 | ||
Accrual: | |||
Continuing Operations | 5,326 | $ 0 | $ 0 |
Discontinued Operations | 3,794 | ||
Total | 9,120 | ||
Payments | (8,918) | ||
Balance at end of period | 202 | $ 0 | |
Severance and other employee related costs | |||
Accrual: | |||
Continuing Operations | 5,326 | ||
Discontinued Operations | 2,899 | ||
Total | 8,225 | ||
Payments | (8,023) | ||
Other restructuring expense | |||
Accrual: | |||
Continuing Operations | 0 | ||
Discontinued Operations | 895 | ||
Total | 895 | ||
Payments | $ (895) |
PARENT COMPANY FINANCIAL STA183
PARENT COMPANY FINANCIAL STATEMENTS - Condensed Statements of Financial Conditions (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
ASSETS | ||||
Cash and cash equivalents | $ 387,699 | $ 439,510 | $ 156,124 | $ 231,199 |
FHLB and other bank stock | 75,654 | 67,842 | ||
Loans and leases receivable | 6,610,074 | 5,994,308 | ||
Investments in alternative energy partnerships, net | 48,826 | 25,639 | ||
Other assets | 161,797 | 92,694 | ||
Total Assets | 10,327,852 | 11,029,853 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Other borrowings, net | 0 | 67,922 | ||
Long-term debt, net | 172,941 | 175,378 | ||
Accrued expenses and other liabilities | 140,575 | 81,469 | ||
Stockholders’ equity | 1,012,308 | 980,239 | 652,405 | 503,315 |
Total liabilities and stockholders’ equity | 10,327,852 | 11,029,853 | ||
Banc of California, Inc. | ||||
ASSETS | ||||
Cash and cash equivalents | 40,496 | 158,467 | $ 149,541 | $ 31,362 |
FHLB and other bank stock | 0 | 78 | ||
Loans and leases receivable | 0 | 405 | ||
Investments in alternative energy partnerships, net | 0 | 25,639 | ||
Other assets | 13,366 | 19,866 | ||
Investment in subsidiaries | 1,146,788 | 1,038,618 | ||
Total Assets | 1,200,650 | 1,243,073 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Other borrowings, net | 0 | 67,922 | ||
Long-term debt, net | 172,941 | 175,378 | ||
Accrued expenses and other liabilities | 15,401 | 19,534 | ||
Stockholders’ equity | 1,012,308 | 980,239 | ||
Total liabilities and stockholders’ equity | $ 1,200,650 | $ 1,243,073 |
PARENT COMPANY FINANCIAL STA184
PARENT COMPANY FINANCIAL STATEMENTS - Condensed Statements of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income | |||||||||||
Interest income on loans | $ 281,071 | $ 281,868 | $ 229,025 | ||||||||
Gain on sale of subsidiary | 0 | 3,694 | 0 | ||||||||
Total interest and dividend income | $ 97,157 | $ 96,751 | $ 96,440 | $ 98,842 | $ 99,731 | $ 98,122 | $ 90,929 | $ 81,062 | 389,190 | 369,844 | 253,807 |
Expenses | |||||||||||
Interest expense for notes payable and other borrowings | 10,755 | 12,744 | 14,700 | ||||||||
Provision for loan and lease losses | 5,052 | 3,561 | 2,503 | 2,583 | 589 | 2,592 | 1,769 | 321 | 13,699 | 5,271 | 7,469 |
Loss on investments in alternative energy partnerships, net | 30,786 | 31,510 | 0 | ||||||||
Income tax (benefit) expense | (3,418) | (3,939) | (12,753) | (6,471) | (2,543) | (9,016) | 13,647 | 11,661 | (26,581) | 13,749 | 28,048 |
Net income | $ 11,302 | $ 16,949 | $ 12,257 | $ 17,201 | $ 33,264 | $ 35,937 | $ 26,528 | $ 19,687 | 57,709 | 115,416 | 62,072 |
Banc of California, Inc. | |||||||||||
Income | |||||||||||
Dividends from subsidiaries | 18,000 | 57,505 | 8,500 | ||||||||
Interest income on loans | 0 | 5 | 5 | ||||||||
Gain on sale of subsidiary | 0 | 3,694 | 0 | ||||||||
Other operating income | 2,285 | 3,973 | 0 | ||||||||
Total interest and dividend income | 20,285 | 65,177 | 8,505 | ||||||||
Expenses | |||||||||||
Interest expense for notes payable and other borrowings | 10,764 | 12,703 | 14,659 | ||||||||
Provision for loan and lease losses | 13 | 0 | 0 | ||||||||
Loss on investments in alternative energy partnerships, net | 8,493 | 31,510 | 0 | ||||||||
Other operating expense | 37,201 | 23,730 | 13,810 | ||||||||
Total expenses | 56,471 | 67,943 | 28,469 | ||||||||
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | (36,186) | (2,766) | (19,964) | ||||||||
Income tax (benefit) expense | (31,453) | (52,989) | (8,431) | ||||||||
Income (loss) before equity in undistributed earnings of subsidiaries | (4,733) | 50,223 | (11,533) | ||||||||
Equity in undistributed earnings of subsidiaries | 62,442 | 65,193 | 73,605 | ||||||||
Net income | $ 57,709 | $ 115,416 | $ 62,072 |
PARENT COMPANY FINANCIAL STA185
PARENT COMPANY FINANCIAL STATEMENTS - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||||||||||
Net income | $ 11,302 | $ 16,949 | $ 12,257 | $ 17,201 | $ 33,264 | $ 35,937 | $ 26,528 | $ 19,687 | $ 57,709 | $ 115,416 | $ 62,072 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | |||||||||||
Amortization of debt issuance cost | 247 | 704 | 727 | ||||||||
Debt redemption costs | 0 | 2,737 | 0 | ||||||||
Gain on sale of subsidiary | 0 | (3,694) | 0 | ||||||||
Deferred income tax (benefit) expense | (30,372) | 5,613 | 7,279 | ||||||||
Loss on investments in alternative energy partnerships, net | 30,786 | 31,510 | 0 | ||||||||
Net cash provided by (used in) operating activities | 563,011 | 18,113 | (42,989) | ||||||||
Cash flows from investing activities: | |||||||||||
Loan purchases from bank and principal collections, net | 0 | (182,231) | (705,709) | ||||||||
Proceeds from sale of subsidiary | 0 | 259 | 0 | ||||||||
Investments in alternative energy partnerships | (55,400) | (57,300) | |||||||||
Net cash provided by (used in) investing activities | 151,858 | (2,318,286) | (2,256,550) | ||||||||
Cash flows from financing activities: | |||||||||||
Net increase (decrease) in other borrowings | (68,000) | 68,000 | 0 | ||||||||
Net proceeds from issuance of common stock | 0 | 175,078 | 0 | ||||||||
Net proceeds from issuance of preferred stock | 0 | 120,255 | 110,873 | ||||||||
Redemption of preferred stock | 0 | (42,000) | 0 | ||||||||
Redemption of senior notes | 0 | (84,750) | 0 | ||||||||
Payment of junior subordinated amortizing notes | (2,684) | (5,078) | (4,715) | ||||||||
Cash settlements of stock options | 0 | (359) | 0 | ||||||||
Proceeds from exercise of stock options | 2,043 | 0 | 501 | ||||||||
Restricted stock surrendered due to employee tax liability | (6,824) | (4,436) | (2,254) | ||||||||
Dividend equivalents paid on stock appreciation rights | (810) | (742) | (699) | ||||||||
Dividends paid on common stock | (25,707) | (21,844) | (16,955) | ||||||||
Dividends paid on preferred stock | (20,451) | (19,630) | (9,446) | ||||||||
Net cash provided by (used in) financing activities | (766,680) | 2,583,559 | 2,224,464 | ||||||||
Net change in cash and cash equivalents | (51,811) | 283,386 | (75,075) | ||||||||
Cash and cash equivalents at beginning of year | 439,510 | 156,124 | 439,510 | 156,124 | 231,199 | ||||||
Cash and cash equivalents at end of year | 387,699 | 439,510 | 387,699 | 439,510 | 156,124 | ||||||
Banc of California, Inc. | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | 57,709 | 115,416 | 62,072 | ||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | |||||||||||
Equity in undistributed earnings of subsidiaries | (62,442) | (65,193) | (73,605) | ||||||||
Stock-based compensation expense | 2,520 | 5,080 | 3,173 | ||||||||
Amortization of debt issuance cost | 247 | 704 | 727 | ||||||||
Debt redemption costs | 0 | 2,737 | 0 | ||||||||
Gain on sale of subsidiary | 0 | (3,694) | 0 | ||||||||
Deferred income tax (benefit) expense | 14,604 | 4,538 | (3,575) | ||||||||
Loss on investments in alternative energy partnerships, net | 8,493 | 31,510 | 0 | ||||||||
Net change in other assets and liabilities | (12,957) | (14,972) | 39,769 | ||||||||
Net cash provided by (used in) operating activities | 8,174 | 76,126 | 28,561 | ||||||||
Cash flows from investing activities: | |||||||||||
Loan purchases from bank and principal collections, net | 0 | 221 | 9 | ||||||||
Proceeds from sale of subsidiary | 0 | 259 | 0 | ||||||||
Investments in alternative energy partnerships | (3,712) | (57,149) | 0 | ||||||||
Net cash provided by (used in) investing activities | (3,712) | (251,694) | (159,991) | ||||||||
Cash flows from financing activities: | |||||||||||
Net increase (decrease) in other borrowings | (68,000) | 68,000 | 0 | ||||||||
Net proceeds from issuance of common stock | 0 | 175,078 | 0 | ||||||||
Net proceeds from issuance of preferred stock | 0 | 120,255 | 110,873 | ||||||||
Net proceeds from issuance of long-term debt | 0 | 0 | 172,304 | ||||||||
Redemption of preferred stock | 0 | (42,000) | 0 | ||||||||
Redemption of senior notes | 0 | (84,750) | 0 | ||||||||
Payment of junior subordinated amortizing notes | (2,684) | (5,078) | (4,715) | ||||||||
Cash settlements of stock options | 0 | (359) | 0 | ||||||||
Proceeds from exercise of stock options | 2,043 | 0 | 501 | ||||||||
Restricted stock surrendered due to employee tax liability | (6,824) | (4,436) | (2,254) | ||||||||
Dividend equivalents paid on stock appreciation rights | (810) | (742) | (699) | ||||||||
Dividends paid on common stock | (25,707) | (21,844) | (16,955) | ||||||||
Dividends paid on preferred stock | (20,451) | (19,630) | (9,446) | ||||||||
Net cash provided by (used in) financing activities | (122,433) | 184,494 | 249,609 | ||||||||
Net change in cash and cash equivalents | (117,971) | 8,926 | 118,179 | ||||||||
Cash and cash equivalents at beginning of year | $ 158,467 | $ 149,541 | 158,467 | 149,541 | 31,362 | ||||||
Cash and cash equivalents at end of year | $ 40,496 | $ 158,467 | 40,496 | 158,467 | 149,541 | ||||||
Banc of California, Inc. | Subsidiaries | |||||||||||
Cash flows from investing activities: | |||||||||||
Capital contribution to subsidiary | 0 | (195,000) | (160,000) | ||||||||
Banc of California, Inc. | Non-Bank Subsidiaries | |||||||||||
Cash flows from investing activities: | |||||||||||
Capital contribution to subsidiary | $ 0 | $ (25) | $ 0 |
RELATED-PARTY TRANSACTIONS - Re
RELATED-PARTY TRANSACTIONS - Related Party Transactions (Details) - Officers and Directors - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Related Party Transaction [Line Items] | ||
Loans to certain officers and directors and their related interests | $ 249 | $ 249 |
Deposits from principal officers, directors, and their related interests | $ 2,200 | $ 2,400 |
RELATED-PARTY TRANSACTIONS - Cu
RELATED-PARTY TRANSACTIONS - Current Related Party Indemnification Costs (Details) - USD ($) $ in Thousands | Apr. 06, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Related Party Transaction [Line Items] | |||
Expenses from transactions with related parties | $ 263 | ||
Special Committee Investigation | General Counsel | |||
Related Party Transaction [Line Items] | |||
Expenses from transactions with related parties | $ 501 | $ 0 |
RELATED-PARTY TRANSACTIONS - Sa
RELATED-PARTY TRANSACTIONS - Sale of Shares to and Purchase of Shares from SECT (Details) - shares | Dec. 28, 2017 | Feb. 13, 2017 | Dec. 31, 2016 |
Greater Than 5% Shareholder, Evercore Trust Company | |||
Related Party Transaction [Line Items] | |||
Common stock, shares outstanding (in shares) | 2,500,000 | ||
Company ownership percentage maximum threshold | 5.00% | ||
Common Stock | Variable Interest Entity, Primary Beneficiary | |||
Related Party Transaction [Line Items] | |||
Number of shares repurchased (in shares) | 2,500,000 |
RELATED-PARTY TRANSACTIONS -189
RELATED-PARTY TRANSACTIONS - Sabal Loan (Details) - Loan Purchase Commitments - Limited Liability Company Controlled By Affiliate Of Greater Than 5% Shareholder, Oaktree - USD ($) | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2017 | Jun. 11, 2017 | Jun. 26, 2015 | |
Related Party Transaction [Line Items] | |||||
Committed revolving repurchase facility | $ 40,000,000 | $ 35,000,000 | |||
Largest aggregate amount of principal outstanding during period | $ 94,700,000 | $ 55,100,000 | |||
Amount outstanding | 23,600,000 | 22,600,000 | |||
Proceeds from principal | 600,400,000 | 514,100,000 | |||
Proceeds from interest | 1,100,000 | $ 1,100,000 | |||
Maximum | |||||
Related Party Transaction [Line Items] | |||||
Committed revolving repurchase facility | $ 100,000,000 | $ 100,000,000 |
RELATED-PARTY TRANSACTIONS - Tr
RELATED-PARTY TRANSACTIONS - Transactions Involving Underwriting Services (Details) - USD ($) | Oct. 27, 2016 | May 11, 2016 | Mar. 08, 2016 | Feb. 08, 2016 | Apr. 08, 2015 | Apr. 06, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Related Party Transaction [Line Items] | ||||||||
Expenses from transactions with related parties | $ 263,000 | |||||||
Expenses from transactions with related parties, net of related expenses | 221,000 | |||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||||
Aggregate principal amount issued | $ 175,000,000 | $ 177,684,000 | ||||||
5.25% Senior Notes Due April 15, 2025 | Senior Notes | ||||||||
Related Party Transaction [Line Items] | ||||||||
Aggregate principal amount issued | $ 175,000,000 | $ 175,000,000 | $ 175,000,000 | |||||
Stated interest rate | 5.25% | |||||||
Series E 7.00% non-cumulative perpetual | ||||||||
Related Party Transaction [Line Items] | ||||||||
Depository shares to preferred stock ratio | 2.50% | |||||||
Non cumulative preferred stock, dividend rate | 7.00% | |||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||||
Offering price per share (in dollars per share) | $ 25 | |||||||
Series D 7.375% non-cumulative perpetual | ||||||||
Related Party Transaction [Line Items] | ||||||||
Depository shares to preferred stock ratio | 2.50% | |||||||
Non cumulative preferred stock, dividend rate | 7.375% | |||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||||
Offering price per share (in dollars per share) | $ 25 | |||||||
Underwritten Public Offering | ||||||||
Related Party Transaction [Line Items] | ||||||||
Depository shares issued | 5,000,000 | 4,600,000 | ||||||
Offering price per share (in dollars per share) | $ 25 | $ 25 | ||||||
Underwritten Public Offering | Series E 7.00% non-cumulative perpetual | ||||||||
Related Party Transaction [Line Items] | ||||||||
Depository shares issued | 5,000,000 | |||||||
Depository shares to preferred stock ratio | 2.50% | |||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||||
Underwritten Public Offering | Series D 7.375% non-cumulative perpetual | ||||||||
Related Party Transaction [Line Items] | ||||||||
Depository shares to preferred stock ratio | 2.50% | |||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | |||||||
Common Stock | ||||||||
Related Party Transaction [Line Items] | ||||||||
Issuance of stock shares (in shares) | 5,250,000 | 4,850,000 | ||||||
Common Stock | Underwritten Public Offering | ||||||||
Related Party Transaction [Line Items] | ||||||||
Issuance of stock shares (in shares) | 5,577,500 | |||||||
Director | Financial Advisory Services | ||||||||
Related Party Transaction [Line Items] | ||||||||
Expenses from transactions with related parties | $ 516,000 | |||||||
Expenses from transactions with related parties, net of related expenses | $ 500,000 | |||||||
Director | Underwriting Fees | ||||||||
Related Party Transaction [Line Items] | ||||||||
Expenses from transactions with related parties | $ 944,000 | $ 590,000 | ||||||
Expenses from transactions with related parties, net of related expenses | $ 849,000 | $ 515,000 | ||||||
Director | Underwriting Fees | Common Stock | ||||||||
Related Party Transaction [Line Items] | ||||||||
Expenses from transactions with related parties | $ 1,000,000 | |||||||
Expenses from transactions with related parties, net of related expenses | $ 846,000 |
RELATED-PARTY TRANSACTIONS - Le
RELATED-PARTY TRANSACTIONS - Legion Affiliates (Details) - Greater Than 5% Shareholder, Legion Partners Asset Management, LLC - USD ($) | Mar. 13, 2017 | May 19, 2017 |
Related Party Transaction [Line Items] | ||
Ownership percentage | 5.60% | |
Reimbursable expense threshold | $ 100,000 | |
Voting Common Stock | ||
Related Party Transaction [Line Items] | ||
Common stock, shares outstanding (in shares) | 2,938,679 | |
Company ownership percentage maximum threshold | 10.00% |
RELATED-PARTY TRANSACTIONS - PL
RELATED-PARTY TRANSACTIONS - PL Capital Affiliates (Details) - USD ($) $ in Thousands | Apr. 06, 2015 | Mar. 31, 2017 | Feb. 10, 2017 | Feb. 08, 2017 |
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 263 | |||
Greater Than 5% Shareholder, PL Capital Advisors, LLC | ||||
Related Party Transaction [Line Items] | ||||
Ownership percentage | 6.90% | |||
Expenses from transactions with related parties | $ 150 | |||
Voting Common Stock | Greater Than 5% Shareholder, PL Capital Advisors, LLC | ||||
Related Party Transaction [Line Items] | ||||
Common stock, shares outstanding (in shares) | 3,401,719 | |||
Company ownership percentage maximum threshold | 10.00% |
RELATED-PARTY TRANSACTIONS -193
RELATED-PARTY TRANSACTIONS - Transactions with Patriot Affiliates (Details) $ / shares in Units, $ in Thousands | Apr. 06, 2015USD ($) | Nov. 07, 2014USD ($)shares | Oct. 30, 2014USD ($)$ / sharesshares | Feb. 24, 2017shares | Nov. 08, 2014Branch |
Related Party Transaction [Line Items] | |||||
Expenses from transactions with related parties | $ 263 | ||||
Banco Popular North America (BPNA) | |||||
Related Party Transaction [Line Items] | |||||
Number of branches | Branch | 20 | ||||
Greater Than 5% Shareholder, Patriot | |||||
Related Party Transaction [Line Items] | |||||
Aggregate purchase price | $ 20,000 | ||||
Greater Than 5% Shareholder, Patriot | Equity Support Payment | |||||
Related Party Transaction [Line Items] | |||||
Expenses from transactions with related parties | $ 538 | ||||
Greater Than 5% Shareholder, Patriot | Reimbursement of Out-of-Pocket Expenses | |||||
Related Party Transaction [Line Items] | |||||
Expenses from transactions with related parties | $ 100 | ||||
Greater Than 5% Shareholder, Patriot | Voting Common Stock | |||||
Related Party Transaction [Line Items] | |||||
Common stock, shares outstanding (in shares) | shares | 3,100,564 | 2,850,564 | |||
Ownership percentage | 9.30% | ||||
Greater Than 5% Shareholder, Patriot | Voting Common Stock | Voting Common Stock Option One | |||||
Related Party Transaction [Line Items] | |||||
Common stock issuable (in shares) | shares | 1,076,000 | ||||
Price per share issuable (in dollars per share) | $ / shares | $ 9.78 | ||||
Greater Than 5% Shareholder, Patriot | Voting Common Stock | Voting Common Stock Option Two | |||||
Related Party Transaction [Line Items] | |||||
Common stock issuable (in shares) | shares | 824,000 | ||||
Price per share issuable (in dollars per share) | $ / shares | $ 11.55 |
RELATED-PARTY TRANSACTIONS - Fo
RELATED-PARTY TRANSACTIONS - Former Related Party Indemnification Costs (Details) - USD ($) $ in Thousands | Feb. 14, 2018 | Apr. 06, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 263 | |||
Special Committee Investigation | Former President And Chief Executive Officer | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 3,000 | $ 573 | ||
Special Committee Investigation | Former Management Vice Chair | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | 1,400 | 57 | ||
Special Committee Investigation | Former Interim Chief Financial Officer And Chief Strategy Officer And Former Chief Financial Officer | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | 631 | 135 | ||
Special Committee Investigation | Former Director | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 509 | $ 29 | ||
Subsequent Event [Member] | Settlement Agreement | Former Management Vice Chair | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 4,300 | |||
Company ownership percentage maximum threshold | 4.99% | |||
Subsequent Event [Member] | Settlement Agreement, Cash Proceeds From Unvested Stock Options And Restricted Stock Awards | Former Management Vice Chair | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 576 | |||
Subsequent Event [Member] | Settlement Agreement, Reimbursement For Health Care Premiums | Former Management Vice Chair | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | 38 | |||
Subsequent Event [Member] | Settlement Agreement, Attorneys Fees | Former Management Vice Chair | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 650 |
RELATED-PARTY TRANSACTIONS - LA
RELATED-PARTY TRANSACTIONS - LAFC Financing (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Aug. 22, 2016 | Dec. 31, 2032 | Dec. 31, 2031 | Dec. 31, 2030 | Dec. 31, 2029 | Dec. 31, 2028 | Dec. 31, 2027 | Dec. 31, 2026 | Dec. 31, 2025 | Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Nov. 24, 2017 | Aug. 08, 2016 |
Related Party Transaction [Line Items] | |||||||||||||||||||||
Deposits | $ 7,292,903 | $ 9,142,150 | |||||||||||||||||||
Los Angeles Football Club (LAFC) Naming Rights, Revenue Rights, And Other Sponsorship Rights | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Term of naming and sponsorship agreement | 15 years | 15 years | |||||||||||||||||||
Renewal term of the naming and sponsorship agreement | 10 years | ||||||||||||||||||||
Future annual payments for naming rights, revenue rights and other sponsorship rights | $ 10,000 | $ 10,000 | |||||||||||||||||||
Los Angeles Football Club (LAFC) Naming Rights, Revenue Rights, And Other Sponsorship Rights | Scenario, Forecast | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Future annual payments for naming rights, revenue rights and other sponsorship rights | $ 6,700 | $ 6,600 | $ 6,500 | $ 6,400 | $ 6,300 | $ 6,200 | $ 6,100 | $ 6,000 | $ 5,900 | $ 5,800 | $ 5,700 | $ 5,600 | $ 5,500 | $ 5,400 | $ 5,300 | ||||||
Stadco Loan | Immediate Family Member of Chief Executive Officer, Brother | Los Angeles Football Club (LAFC) | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Committed line of credit | $ 40,300 | ||||||||||||||||||||
Committed line of credit, maximum borrowing | 145,000 | ||||||||||||||||||||
Outstanding advances | 23,300 | 0 | |||||||||||||||||||
Largest amount of principal outstanding | 23,500 | 0 | |||||||||||||||||||
Unused loan fees | 295 | 59 | |||||||||||||||||||
Interest income | 325 | 0 | |||||||||||||||||||
Team Loan | Immediate Family Member of Chief Executive Officer, Brother | Los Angeles Football Club (LAFC) | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Committed line of credit | 9,700 | ||||||||||||||||||||
Committed line of credit, maximum borrowing | $ 35,000 | ||||||||||||||||||||
Outstanding advances | 5,400 | 0 | |||||||||||||||||||
Largest amount of principal outstanding | 5,500 | 0 | |||||||||||||||||||
Unused loan fees | 140 | 18 | |||||||||||||||||||
Interest income | 83 | 0 | |||||||||||||||||||
Various Entities Affiliated With LAFC | Affiliated Entity | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Deposits | 33,100 | $ 76,000 | |||||||||||||||||||
Standby Letters of Credit | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Letters of credit | $ 100 | ||||||||||||||||||||
Los Angeles Football Club (LAFC) | Corporate Credit Card | Line of Credit | |||||||||||||||||||||
Related Party Transaction [Line Items] | |||||||||||||||||||||
Amount of available line of credit | $ 100 |
RELATED-PARTY TRANSACTIONS -196
RELATED-PARTY TRANSACTIONS - Legal Fees and Other Matters (Details) | Apr. 06, 2015USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2017USD ($)letter_of_credit | Dec. 31, 2017USD ($)letter_of_credit |
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 263,000 | |||
Entity Affiliated With Former President And Chief Executive Officer | Legal Fees And Credit | ||||
Related Party Transaction [Line Items] | ||||
Legal services period (more than four months) | 4 months | |||
Expenses from transactions with related parties | $ 330,000 | $ 0 | ||
Number of letters of credit outstanding | letter_of_credit | 3 | 3 | ||
Committed line of credit | $ 0 | $ 0 | ||
Entity Affiliated With Former President And Chief Executive Officer | Reimbursement Of Legal Dispute | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 100,000 |
RELATED-PARTY TRANSACTIONS - Co
RELATED-PARTY TRANSACTIONS - Consulting Agreement for the Bank (Details) - USD ($) $ in Thousands | Nov. 30, 2016 | Apr. 06, 2015 | Dec. 31, 2017 |
Related Party Transaction [Line Items] | |||
Expenses from transactions with related parties | $ 263 | ||
Mr. Carlos Salas | |||
Related Party Transaction [Line Items] | |||
Compensation | $ 17 | ||
Chief Executive Officer Of COR Clearing, LLC | Management and Services Agreement | |||
Related Party Transaction [Line Items] | |||
Expenses from transactions with related parties | $ 108 |
RELATED-PARTY TRANSACTIONS -198
RELATED-PARTY TRANSACTIONS - Transactions with TWC Shared Opportunity Fund V, L.P., a Greater than 5 percent Shareholder (Details) | Aug. 03, 2015$ / sharesshares | Mar. 16, 2015shares | Jan. 20, 2015shares | Jan. 05, 2015shares | Jun. 03, 2013shares | Nov. 01, 2010$ / sharesshares | Nov. 30, 2010shares | Dec. 31, 2017$ / sharesshares | Dec. 31, 2016shares | Dec. 31, 2015shares | Dec. 10, 2014 | May 29, 2013 |
Related Party Transaction [Line Items] | ||||||||||||
Issuance of shares of voting common stock (in shares) | 6,134,988 | |||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ / shares | $ 11 | $ 8.49 | ||||||||||
Tcw Shared Opportunity Fund | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Warrant exercisable period | 5 years | 5 years | ||||||||||
Warrants issued (in shares) | 240,000 | 240,000 | 240,000 | |||||||||
Conversion ratio | 1 | |||||||||||
Exercise price of warrants for non-voting common stock (in dollars per share) | $ / shares | $ 9.13 | $ 11 | ||||||||||
Ownership percentage | 3.50% | |||||||||||
Tcw Shared Opportunity Fund | Voting Common Stock | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Maximum ownership percentage by noncontrolling owners to not be considered a bank holding company | 4.99% | |||||||||||
Maximum ownership percentage | 9.99% | |||||||||||
Shares outstanding | 1,318,462 | |||||||||||
Shares exchanged | 934 | 86,620 | 522,564 | 550,000 | ||||||||
Common stock, shares outstanding (in shares) | 1,318,462 | |||||||||||
Tcw Shared Opportunity Fund | Voting Common Stock | Common Stock | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Issuance of shares of voting common stock (in shares) | 70,690 | |||||||||||
Tcw Shared Opportunity Fund | Nonvoting Common Stock | Common Stock | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Issuance of shares of voting common stock (in shares) | 70,690 |
RELATED-PARTY TRANSACTIONS - Ag
RELATED-PARTY TRANSACTIONS - Agreement with Oaktree Capital Management (Details) | Apr. 06, 2015USD ($) | Nov. 08, 2014USD ($)Branch | Nov. 07, 2014$ / sharesshares | May 05, 2016USD ($) | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2017USD ($) | Jun. 11, 2017USD ($) | Mar. 07, 2017USD ($) | Sep. 30, 2015USD ($) | Jun. 26, 2015USD ($) | Jan. 16, 2015shares |
Related Party Transaction [Line Items] | |||||||||||||
Expenses from transactions with related parties | $ 263,000 | ||||||||||||
Banco Popular North America (BPNA) | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Number of branches | Branch | 20 | ||||||||||||
Greater Than 5% Shareholder, Oaktree | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Ownership percentage | 9.90% | 5.00% | |||||||||||
Greater Than 5% Shareholder, Oaktree | The Palisades Group | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Receipt of payments under management agreement | $ 1,000,000 | $ 5,100,000 | $ 5,300,000 | ||||||||||
Greater Than 5% Shareholder, Oaktree | Equity Support Payment | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Expenses from transactions with related parties | $ 1,600,000 | ||||||||||||
Limited Liability Company Controlled By Affiliate Of Greater Than 5% Shareholder, Oaktree | Loan Origination Commitments | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Committed revolving repurchase facility | $ 20,000,000 | $ 15,000,000 | |||||||||||
Largest aggregate amount of principal outstanding during period | $ 16,000,000 | 15,000,000 | |||||||||||
Amount outstanding | 15,000,000 | 3,600,000 | |||||||||||
Proceeds from principal | 4,000,000 | 2,000,000 | |||||||||||
Proceeds from interest | 1,000,000 | 462,000 | |||||||||||
Limited Liability Company Controlled By Affiliate Of Greater Than 5% Shareholder, Oaktree | Loan Purchase Commitments | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Committed revolving repurchase facility | $ 40,000,000 | $ 35,000,000 | |||||||||||
Largest aggregate amount of principal outstanding during period | 94,700,000 | 55,100,000 | |||||||||||
Amount outstanding | 23,600,000 | 22,600,000 | |||||||||||
Proceeds from principal | 600,400,000 | 514,100,000 | |||||||||||
Proceeds from interest | 1,100,000 | $ 1,100,000 | |||||||||||
Limited Liability Company Controlled By Affiliate Of Greater Than 5% Shareholder, Oaktree | Loan Purchase Commitments | Maximum | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Committed revolving repurchase facility | $ 100,000,000 | $ 100,000,000 | |||||||||||
Common Stock | Greater Than 5% Shareholder, Oaktree | |||||||||||||
Related Party Transaction [Line Items] | |||||||||||||
Common stock, shares outstanding (in shares) | shares | 3,288,947 | 671,702 | 3,288,947 | ||||||||||
Price per share issuable (in dollars per share) | $ / shares | $ 9.78 |
RELATED-PARTY TRANSACTIONS -200
RELATED-PARTY TRANSACTIONS - Transactions with The Palisades Group (Details) - USD ($) | Apr. 06, 2015 | Jul. 01, 2013 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 |
Related Party Transaction [Line Items] | |||||
Expenses from transactions with related parties | $ 263,000 | ||||
Subsidiaries | Immediate Family Member of Chief Executive Officer, Brother | Consulting Agreement | |||||
Related Party Transaction [Line Items] | |||||
Consulting agreement term | 5 years | ||||
Consulting agreement minimum payment | $ 30,000 | ||||
Consulting agreement payment | $ 600,000 | ||||
Expenses from transactions with related parties | $ 30,000 | $ 1,200,000 | $ 121,000 |
RELATED-PARTY TRANSACTIONS -201
RELATED-PARTY TRANSACTIONS - Transactions Involving CS Financial Acquisition (Details) - USD ($) $ / shares in Units, $ in Millions | Oct. 31, 2016 | Nov. 02, 2015 | Oct. 31, 2014 | Oct. 31, 2013 |
Performance Shares | ||||
Related Party Transaction [Line Items] | ||||
Number of shares | 92,781 | |||
CS Financial | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 173,791 | |||
Par value of stocks issued (in dollars per share) | $ 0.01 | |||
Cash paid for acquisition | $ 1.5 | |||
Noninterest-bearing note | $ 3.2 | |||
CS Financial | Managing Director and Chief Lending Officer | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 103,663 | |||
CS Financial | Managing Director and Chief Lending Officer | Performance Shares | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 28,547 | 28,545 | 28,545 | |
CS Financial | Brother of President and Chief Executive Officer | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 16,140 | |||
CS Financial | Brother of President and Chief Executive Officer | Performance Shares | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 1,083 | 1,082 | 1,082 | |
CS Financial | Sister-in-Law of President and Chief Executive Officer | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 16,140 | |||
Number of shares transferred from one related party to another related party | 103,663 | |||
CS Financial | Sister-in-Law of President and Chief Executive Officer | Performance Shares | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 1,083 | 1,082 | 1,082 | |
CS Financial | Father of President and Chief Executive Officer | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 3,228 | |||
CS Financial | Father of President and Chief Executive Officer | Performance Shares | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 218 | 216 | 216 | |
CS Financial | Certain Employees of Acquired Entity | ||||
Related Party Transaction [Line Items] | ||||
Shares paid as merger consideration | 34,620 |
LITIGATION (Details)
LITIGATION (Details) $ in Millions | Sep. 26, 2017defendant | Sep. 05, 2017USD ($) | Dec. 31, 2017USD ($) |
Loss Contingencies [Line Items] | |||
Accrued litigation expense | $ 4.7 | ||
Shareholder Derivative Action | |||
Loss Contingencies [Line Items] | |||
Number of defendants | defendant | 4 | ||
Jeffrey Seabold Matter | |||
Loss Contingencies [Line Items] | |||
Damages sought | $ 5 |
QUARTERLY RESULTS OF OPERATI203
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) - Quarterly Results of Operations (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Class of Stock [Line Items] | |||||||||||
Interest income | $ 97,157 | $ 96,751 | $ 96,440 | $ 98,842 | $ 99,731 | $ 98,122 | $ 90,929 | $ 81,062 | $ 389,190 | $ 369,844 | $ 253,807 |
Interest expense | 23,984 | 21,715 | 20,940 | 18,361 | 16,799 | 15,274 | 13,603 | 13,823 | 85,000 | 59,499 | 42,621 |
Net interest income | 73,173 | 75,036 | 75,500 | 80,481 | 82,932 | 82,848 | 77,326 | 67,239 | 304,190 | 310,345 | 211,186 |
Provision for loan losses | 5,052 | 3,561 | 2,503 | 2,583 | 589 | 2,592 | 1,769 | 321 | 13,699 | 5,271 | 7,469 |
Noninterest income | 5,695 | 18,365 | 5,707 | 14,903 | 32,504 | 22,030 | 22,903 | 21,193 | 44,670 | 98,630 | 75,748 |
Noninterest expense | 66,382 | 75,671 | 76,319 | 89,896 | 92,895 | 86,123 | 65,053 | 59,144 | 308,268 | 303,215 | 210,299 |
Income from continuing operations before income taxes | 7,434 | 14,169 | 2,385 | 2,905 | 21,952 | 16,163 | 33,407 | 28,967 | 26,893 | 100,489 | 69,166 |
Income tax (benefit) expense | (3,418) | (3,939) | (12,753) | (6,471) | (2,543) | (9,016) | 13,647 | 11,661 | (26,581) | 13,749 | 28,048 |
Income from continuing operations | 10,852 | 18,108 | 15,138 | 9,376 | 24,495 | 25,179 | 19,760 | 17,306 | 53,474 | 86,740 | 41,118 |
Income (loss) from discontinued operations before income taxes | 765 | (1,958) | (4,991) | 13,348 | 14,965 | 18,574 | 11,390 | 3,988 | 7,164 | 48,917 | 35,100 |
Income tax (benefit) expense | 315 | (799) | (2,110) | 5,523 | 6,196 | 7,816 | 4,622 | 1,607 | 2,929 | 20,241 | 14,146 |
Income (loss) from discontinued operations | 450 | (1,159) | (2,881) | 7,825 | 8,769 | 10,758 | 6,768 | 2,381 | 4,235 | 28,676 | 20,954 |
Net income | 11,302 | 16,949 | 12,257 | 17,201 | 33,264 | 35,937 | 26,528 | 19,687 | 57,709 | 115,416 | 62,072 |
Dividends on preferred stock | 5,113 | 5,112 | 5,113 | 5,113 | 5,113 | 5,112 | 5,114 | 4,575 | 20,451 | 19,914 | 9,823 |
Net income allocated to common stockholders | $ 6,189 | $ 11,837 | $ 7,144 | $ 12,088 | $ 28,151 | $ 30,825 | $ 21,414 | $ 15,112 | $ 36,136 | $ 92,469 | $ 50,226 |
Basic earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | $ 0.64 | $ 1.36 | $ 0.79 | ||||||||
Income from discontinued operations (in dollars per share) | 0.08 | 0.61 | 0.57 | ||||||||
Net income (in dollars per share) | 0.72 | 1.97 | 1.36 | ||||||||
Diluted earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.63 | 1.34 | 0.78 | ||||||||
Income from discontinued operations (in dollars per share) | 0.08 | 0.60 | 0.56 | ||||||||
Net income (in dollars per share) | $ 0.71 | $ 1.94 | $ 1.34 | ||||||||
Class A Common Stock | |||||||||||
Class of Stock [Line Items] | |||||||||||
Income from continuing operations | $ 53,136 | $ 86,500 | $ 41,103 | ||||||||
Income (loss) from discontinued operations | 4,208 | 28,597 | 20,947 | ||||||||
Dividends on preferred stock | 20,322 | 19,859 | 9,820 | ||||||||
Net income allocated to common stockholders | $ 35,907 | $ 92,213 | $ 50,207 | ||||||||
Basic earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | $ 0.11 | $ 0.25 | $ 0.20 | $ 0.08 | $ 0.37 | $ 0.38 | $ 0.30 | $ 0.30 | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.22 | 0.14 | 0.06 | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.12 | 0.23 | 0.14 | 0.23 | 0.55 | 0.60 | 0.44 | 0.36 | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.11 | 0.25 | 0.20 | 0.08 | 0.36 | 0.38 | 0.29 | 0.30 | 0.63 | 1.34 | 0.78 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.21 | 0.14 | 0.06 | 0.08 | 0.60 | 0.56 |
Net income (in dollars per share) | 0.12 | 0.23 | 0.14 | 0.23 | 0.54 | 0.59 | 0.43 | 0.36 | $ 0.71 | $ 1.94 | $ 1.34 |
Class B Common Stock | |||||||||||
Class of Stock [Line Items] | |||||||||||
Income from continuing operations | $ 338 | $ 240 | $ 15 | ||||||||
Income (loss) from discontinued operations | 27 | 79 | 7 | ||||||||
Dividends on preferred stock | 129 | 55 | 3 | ||||||||
Net income allocated to common stockholders | $ 229 | $ 256 | $ 19 | ||||||||
Basic earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.11 | 0.25 | 0.20 | 0.08 | 0.37 | 0.38 | 0.30 | 0.30 | $ 0.64 | $ 1.36 | $ 0.79 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.22 | 0.14 | 0.06 | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | 0.12 | 0.23 | 0.14 | 0.23 | 0.55 | 0.60 | 0.44 | 0.36 | 0.72 | 1.97 | 1.36 |
Diluted earnings per common share | |||||||||||
Income from continuing operations (in dollars per share) | 0.11 | 0.25 | 0.20 | 0.08 | 0.37 | 0.38 | 0.30 | 0.30 | 0.64 | 1.36 | 0.79 |
Income from discontinued operations (in dollars per share) | 0.01 | (0.02) | (0.06) | 0.15 | 0.18 | 0.22 | 0.14 | 0.06 | 0.08 | 0.61 | 0.57 |
Net income (in dollars per share) | $ 0.12 | $ 0.23 | $ 0.14 | $ 0.23 | $ 0.55 | $ 0.60 | $ 0.44 | $ 0.36 | $ 0.72 | $ 1.97 | $ 1.36 |