DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION - shares | 9 Months Ended | |
Sep. 30, 2015 | Nov. 05, 2015 | |
Class of Stock [Line Items] | ||
Entity Registrant Name | YADKIN FINANCIAL Corp | |
Entity Central Index Key | 1,366,367 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,015 | |
Common Stock, Voting | ||
Class of Stock [Line Items] | ||
Entity Common Stock, Shares Outstanding | 31,064,442 | |
Common Stock, Non-Voting | ||
Class of Stock [Line Items] | ||
Entity Common Stock, Shares Outstanding | 654,997 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | [1] |
Assets | |||
Cash and due from banks | $ 54,667 | $ 65,312 | |
Interest-earning deposits with banks | 23,088 | 66,548 | |
Federal funds sold | 0 | 505 | |
Investment securities available for sale, at fair value | 713,492 | 672,421 | |
Investment securities held to maturity | 39,292 | 39,620 | |
Loans held for sale | 37,962 | 20,205 | |
Loans | 2,979,779 | 2,898,266 | |
Allowance for loan losses | (9,000) | (7,817) | |
Net loans | 2,970,779 | 2,890,449 | |
Purchased accounts receivable | 69,383 | 44,821 | |
Federal Home Loan Bank stock, at cost | 22,932 | 19,499 | |
Premises and equipment, net | 75,530 | 80,379 | |
Bank-owned life insurance | 78,397 | 76,990 | |
Foreclosed assets | 11,793 | 12,891 | |
Deferred tax asset, net | 54,402 | 73,059 | |
Goodwill | 152,152 | 152,152 | |
Other intangible assets, net | 14,324 | 16,677 | |
Accrued interest receivable and other assets | 44,033 | 36,506 | |
Total assets | 4,362,226 | 4,268,034 | |
Deposits: | |||
Non-interest demand | 730,928 | 680,387 | |
Interest-bearing demand | 484,187 | 469,898 | |
Money market and savings | 1,001,739 | 1,004,796 | |
Time | 1,030,915 | 1,092,283 | |
Total deposits | 3,247,769 | 3,247,364 | |
Short-term borrowings | 395,500 | 250,500 | |
Long-term debt | 129,859 | 180,164 | |
Accrued interest payable and other liabilities | 32,301 | 32,204 | |
Total liabilities | 3,805,429 | 3,710,232 | |
Shareholders’ Equity | |||
Preferred stock, no par value, 1,000,000 shares authorized; 28,405 shares issued and outstanding at December 31, 2014 | 0 | 28,405 | |
Common stock, $1.00 par value, 75,000,000 shares authorized; 31,711,901 and 31,599,150 shares issued and outstanding at September 30, 2015 and December 31, 2014, respectively | 31,712 | 31,599 | |
Common stock warrants | 717 | 717 | |
Additional paid-in capital | 492,387 | 492,014 | |
Retained earnings | 36,109 | 7,311 | |
Accumulated other comprehensive loss | (4,128) | (2,244) | |
Total shareholders' equity | 556,797 | 557,802 | |
Total liabilities and shareholders' equity | $ 4,362,226 | $ 4,268,034 | |
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | ||
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 28,405 | |
Preferred stock, shares outstanding (in shares) | 28,405 | |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 75,000,000 | 75,000,000 |
Common stock, shares issued (in shares) | 31,711,901 | 31,599,150 |
Common stock, shares outstanding (in shares) | 31,711,901 | 31,599,150 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Interest income | ||||
Loans | $ 40,300 | $ 41,667 | $ 120,500 | $ 81,453 |
Investment securities | 3,957 | 3,756 | 11,739 | 7,733 |
Federal funds sold and interest-earning deposits | 47 | 38 | 142 | 90 |
Total interest income | 44,304 | 45,461 | 132,381 | 89,276 |
Interest expense | ||||
Deposits | 3,097 | 2,374 | 9,059 | 5,690 |
Short-term borrowings | 437 | 65 | 1,057 | 238 |
Long-term debt | 1,465 | 1,510 | 4,457 | 3,571 |
Total interest expense | 4,999 | 3,949 | 14,573 | 9,499 |
Net interest income | 39,305 | 41,512 | 117,808 | 79,777 |
Provision for loan losses | 1,576 | 816 | 3,531 | 2,570 |
Net interest income after provision for loan losses | 37,729 | 40,696 | 114,277 | 77,207 |
Non-interest income | ||||
Service charges and fees on deposit accounts | 3,566 | 3,265 | 10,314 | 6,068 |
Government-guaranteed lending | 3,009 | 2,072 | 9,559 | 6,533 |
Mortgage banking | 1,731 | 1,520 | 4,686 | 2,368 |
Bank-owned life insurance | 470 | 572 | 1,407 | 1,267 |
Gain (loss) on sales of available for sale securities | 0 | (96) | 85 | 122 |
Gain on sale of branch | 0 | 415 | 0 | 415 |
Other | 2,022 | 1,313 | 4,386 | 2,582 |
Total non-interest income | 10,798 | 9,061 | 30,437 | 19,355 |
Non-interest expense | ||||
Salaries and employee benefits | 14,528 | 16,800 | 45,121 | 34,555 |
Occupancy and equipment | 4,641 | 4,856 | 14,077 | 10,066 |
Data processing | 1,851 | 1,255 | 5,668 | 3,276 |
FDIC deposit insurance premiums | 732 | 700 | 2,218 | 1,455 |
Professional services | 1,196 | 1,153 | 3,695 | 2,512 |
Foreclosed asset expenses, net | 277 | 129 | 910 | 542 |
Loan, collection, and repossession expense | 931 | 1,192 | 2,717 | 2,226 |
Merger and conversion costs | 104 | 17,270 | 299 | 20,547 |
Restructuring charges | 50 | 180 | 3,251 | 1,109 |
Amortization of other intangible assets | 761 | 845 | 2,353 | 1,296 |
Other | 3,777 | 3,807 | 11,813 | 7,778 |
Total non-interest expense | 28,848 | 48,187 | 92,122 | 85,362 |
Income before income taxes | 19,679 | 1,570 | 52,592 | 11,200 |
Income tax expense | 7,891 | 621 | 19,813 | 4,806 |
Net income | 11,788 | 949 | 32,779 | 6,394 |
Dividends on preferred stock | 0 | 630 | 822 | 630 |
Net income attributable to non-controlling interests | 0 | 0 | 0 | 2,466 |
Net income available to common shareholders | $ 11,788 | $ 319 | $ 31,957 | $ 3,298 |
Net income per common share | ||||
Basic (in dollars per share) | $ 0.37 | $ 0.01 | $ 1.01 | $ 0.20 |
Diluted (in dollars per share) | $ 0.37 | $ 0.01 | $ 1.01 | $ 0.20 |
Weighted average common shares outstanding | ||||
Basic (in shares) | 31,608,909 | 31,597,659 | 31,608,287 | 16,760,777 |
Diluted (in shares) | 31,686,150 | 31,602,192 | 31,647,866 | 16,762,304 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 11,788 | $ 949 | $ 32,779 | $ 6,394 |
Securities available for sale: | ||||
Unrealized net gains (losses) on available for sale securities | 4,813 | (3,360) | 2,617 | 4,020 |
Tax effect | (1,841) | 1,295 | (887) | (1,549) |
Reclassification of (gains) losses on sales of securities | 0 | 96 | (85) | (122) |
Tax effect | 0 | (37) | 33 | 47 |
Net of tax amount | 2,972 | (2,006) | 1,678 | 2,396 |
Cash flow hedges: | ||||
Unrealized net gains (losses) on cash flow hedges | (5,156) | 423 | (5,826) | (1,800) |
Tax effect | 1,980 | (161) | 2,238 | 684 |
Reclassification of amounts into interest expense from termination of interest rate swaps | 35 | 0 | 43 | 0 |
Tax effect | (14) | 0 | (17) | 0 |
Net of tax amount | (3,155) | 262 | (3,562) | (1,116) |
Total other comprehensive income (loss) | (183) | (1,744) | (1,884) | 1,280 |
Comprehensive income (loss) | $ 11,605 | $ (795) | $ 30,895 | $ 7,674 |
CONSOLIDATED STATEMENT OF STOCK
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Common StockRestricted Stock | Common Stock Warrants | Additional Paid-in Capital | Additional Paid-in CapitalRestricted Stock | Retained Earnings (Accumulated Deficit) | Accumulated Other Comprehensive Loss | Shareholders' Equity Before Non-Controlling Interests | Non-Controlling Interests | |
Beginning balance (in shares) at Dec. 31, 2013 | 0 | 9,219,406 | ||||||||||
Beginning balance at Dec. 31, 2013 | $ 238,059 | $ 0 | $ 9,219 | $ 0 | $ 144,964 | $ (10,659) | $ (2,725) | $ 140,799 | $ 97,260 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 6,394 | 3,928 | 3,928 | 2,466 | ||||||||
Other comprehensive income | 1,280 | 0 | 214 | 214 | 1,066 | |||||||
Stock-based compensation | 796 | 685 | 685 | 111 | ||||||||
Subsidiary stock options exercised | 138 | 138 | ||||||||||
Issuance of subsidiary common stock | 44,466 | 1,301 | 97 | 1,398 | 43,068 | |||||||
Dividends paid on preferred stock | (944) | (630) | (630) | (314) | ||||||||
Repurchase of subsidiary preferred stock | (42,849) | (42,849) | ||||||||||
Repurchase of subsidiary common stock warrants | (2,552) | (2,552) | ||||||||||
Reverse merger with Piedmont Community Bank Holdings, Inc. and VantageSouth Bancshares, Inc. (in shares) | 28,405,000 | 22,431,701 | ||||||||||
Reverse merger with Piedmont Community Bank Holdings, Inc. and VantageSouth Bancshares, Inc. | 308,237 | $ 28,405 | $ 22,432 | 717 | 355,557 | 0 | (480) | 406,631 | (98,394) | |||
Distribution to legacy Piedmont Community Bank Holdings, Inc. shareholders | (9,809) | (9,809) | (9,809) | |||||||||
Cancellation of restricted shares for tax withholding (in shares) | (52,200) | |||||||||||
Cancellation of restricted shares for tax withholding | (872) | $ (52) | (820) | (872) | ||||||||
Cancellation of fractional shares | (14) | (14) | (14) | |||||||||
Ending balance (in shares) at Sep. 30, 2014 | 28,405,000 | 31,598,907 | ||||||||||
Ending balance at Sep. 30, 2014 | 542,330 | $ 28,405 | $ 31,599 | 717 | 491,864 | (7,361) | (2,894) | 542,330 | 0 | |||
Beginning balance (in shares) at Dec. 31, 2014 | 28,405 | 31,599,150 | ||||||||||
Beginning balance at Dec. 31, 2014 | 557,802 | [1] | $ 28,405 | $ 31,599 | 717 | 492,014 | 7,311 | (2,244) | 557,802 | 0 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 32,779 | 32,779 | 32,779 | 0 | ||||||||
Other comprehensive income | (1,884) | 0 | (1,884) | (1,884) | 0 | |||||||
Restricted stock grants (in shares) | 103,000 | |||||||||||
Restricted stock grants | $ 103 | $ (103) | ||||||||||
Stock-based compensation | 366 | 366 | 366 | 0 | ||||||||
Stock options exercised (in shares) | 9,871 | |||||||||||
Stock options exercised | 120 | $ 10 | 110 | 120 | 0 | |||||||
Stock redeemed during period (in shares) | (28,405) | |||||||||||
Redemption of preferred stock | (28,405) | $ (28,405) | (28,405) | |||||||||
Dividends paid on common stock | (3,159) | (3,159) | (3,159) | |||||||||
Dividends paid on preferred stock | (822) | (822) | (822) | |||||||||
Cancellation of fractional shares (in shares) | (120) | |||||||||||
Cancellation of fractional shares | 0 | 0 | 0 | |||||||||
Ending balance (in shares) at Sep. 30, 2015 | 0 | 31,711,901 | ||||||||||
Ending balance at Sep. 30, 2015 | $ 556,797 | $ 0 | $ 31,712 | $ 717 | $ 492,387 | $ 36,109 | $ (4,128) | $ 556,797 | $ 0 | |||
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities | ||
Net income | $ 32,779 | $ 6,394 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Stock-based compensation | 366 | 796 |
Provision for loan losses | 3,531 | 2,570 |
Accretion of acquisition discount on purchased loans | (18,899) | (19,772) |
Depreciation | 4,646 | 2,659 |
Amortization of core deposit intangible | 2,353 | 1,296 |
Amortization of acquisition premium on time deposits | (2,587) | (2,525) |
Net accretion of acquisition discount on long-term debt | 388 | 12 |
Gain on sale of branch | 0 | (415) |
(Gain) loss on mortgage loan commitments | (298) | 45 |
Gain on sales of loans held for sale | (13,380) | (5,243) |
Originations of loans held for sale | (300,605) | (133,412) |
Proceeds from sales of loans held for sale | 296,228 | 136,161 |
Increase in cash surrender value of bank-owned life insurance | (1,407) | (1,046) |
Deferred income taxes | 19,740 | 4,806 |
Gain on sales of available for sale securities | (85) | (122) |
Net amortization of premiums on available for sale securities | 4,557 | 2,253 |
Net (gain) loss on disposal of foreclosed assets | (144) | 20 |
Valuation adjustments on foreclosed assets | 605 | 599 |
Change in assets and liabilities: | ||
(Increase) decrease in accrued interest receivable | (431) | (5,851) |
Increase in other assets | (12,296) | (7,986) |
Increase (decrease) in accrued interest payable | (785) | 232 |
Increase in other liabilities | 882 | 3,329 |
Net cash provided by (used in) operating activities | 15,158 | (15,200) |
Cash flows from investing activities | ||
Purchases of investment securities available for sale | (129,623) | (343,769) |
Purchases of investment securities held to maturity | 0 | (39,776) |
Proceeds from maturities and repayments of investment securities available for sale | 67,770 | 284,085 |
Proceeds from call of investment securities held to maturity | 0 | 500 |
Proceeds from sales of investment securities available for sale | 19,169 | 28,549 |
Loan originations and principal collections, net | (70,109) | (54,760) |
Proceeds from sales of loans | 0 | 2,500 |
Net cash received in business combinations | 0 | 36,116 |
Net cash paid in branch sale | 0 | (10,837) |
Purchases of trade accounts receivable, net | (24,562) | (13,731) |
Purchases of premises and equipment | (1,524) | (6,496) |
Disposals of premises and equipment | 1,727 | 4,295 |
Proceeds from disposal of foreclosed assets | 5,784 | 4,758 |
Purchases of Federal Home Loan Bank stock | (3,433) | (6,613) |
Purchase of bank-owned life insurance | 0 | (15,000) |
Net cash used in investing activities | (134,801) | (130,179) |
Cash flows from financing activities | ||
Net increase in deposits | 2,992 | 16,499 |
Net change in short-term borrowings | 112,500 | (118,379) |
Proceeds from issuance of long-term debt | 0 | 249,990 |
Repayments of long-term debt | (18,193) | 0 |
Proceeds from exercise of stock options | 120 | 138 |
Proceeds from issuance of subsidiary common stock, net of issuance costs | 0 | 44,466 |
Repurchase of subsidiary preferred stock | 0 | (42,849) |
Repurchase of subsidiary common stock warrants | 0 | (2,552) |
Distribution to legacy shareholders of Piedmont Community Bank Holdings, Inc. | 0 | (9,809) |
Cancellation of restricted stock for tax withholding | 0 | (872) |
Cancellation of restricted stock for tax withholding | 0 | (14) |
Repurchase of preferred stock | (28,405) | 0 |
Dividends paid on subsidiary preferred stock | 0 | (314) |
Dividends paid on preferred stock | (822) | (630) |
Dividends paid on common stock | (3,159) | 0 |
Net cash provided by financing activities | 65,033 | 135,674 |
Net change in cash and cash equivalents | (54,610) | (9,705) |
Cash and cash equivalents, beginning of period | 132,365 | 100,780 |
Cash and cash equivalents, end of period | 77,755 | 91,075 |
SUPPLEMENTAL DISCLOSURES: | ||
Interest | 17,557 | 10,573 |
Income taxes | 0 | 0 |
Noncash investing activities: | ||
Transfers of loans to foreclosed assets | 5,147 | 4,267 |
Change in fair value of securities available for sale, net of tax | 1,678 | 2,396 |
Change in fair value of cash flow hedge, net of tax | $ (3,562) | $ (1,116) |
BASIS OF PRESENTATION AND SIGNI
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited consolidated financial statements include the accounts of Yadkin Financial Corporation (the "Company" or "Yadkin") and its wholly-owned subsidiary, Yadkin Bank. The interim unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). They do not include all of the information and footnotes required by such accounting principles for complete financial statements. These interim unaudited financial statements should be read in conjunction with the audited consolidated financial statements and accompanying footnotes of the Company's 2014 Form 10-K. In the opinion of management, all adjustments necessary for a fair presentation of the financial position and results of operations for the periods presented have been included, and all intercompany transactions have been eliminated in consolidation. Results of operations for the nine months ended September 30, 2015 are not necessarily indicative of the results of operations that may be expected for the year ending December 31, 2015. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts of assets and liabilities and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. On July 4, 2014, the Company completed its mergers (the “Mergers”) with VantageSouth Bancshares, Inc. ("VantageSouth") and Piedmont Community Bank Holdings, Inc. ("Piedmont"), pursuant to an Agreement and Plan of Merger dated January 27, 2014, as amended (the “Merger Agreement”). At closing, VantageSouth and Piedmont merged with and into Yadkin, with Yadkin continuing as the surviving corporation. Pursuant to the Merger Agreement, holders of VantageSouth common stock received 0.3125 shares of voting common stock of Yadkin for each share of VantageSouth common stock. Holders of Piedmont common stock received (i) 6.28597 shares of voting common stock of Yadkin; (ii) $6.6878 in cash; and (iii) a right to receive a pro rata portion of certain shares of voting common stock of Yadkin at a later date if such shares do not become payable under the Piedmont Phantom Equity Plan. Immediately following the Mergers, VantageSouth Bank, the wholly owned banking subsidiary of VantageSouth, merged with and into Yadkin Bank. The Mergers were accounted for as a reverse merger using the acquisition method of accounting primarily due to the relative voting interests in the Company upon completion of the Mergers. As a result, Piedmont and its consolidated subsidiaries represent the accounting acquirer, and Yadkin represents the accounting acquiree. Therefore, historical financial results of the Company prior to the Mergers reflect the historical balances of Piedmont. Financial results of the Company following the Mergers reflect balances of the combined organization. As required under the acquisition method of accounting, the assets and liabilities of Yadkin as of the date of the Mergers were recorded at estimated fair value and added to those of Piedmont. The Mergers had a significant impact on all aspects of the Company's financial statements, and as a result, financial results after the Mergers may not be comparable to financial results prior to the Mergers. Recently Adopted and Issued Accounting Standards In September 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-16: Business Combinations (Topic 805): Simplifying the Accounting for Measurement Period Adjustments. The new guidance requires acquirers to recognize adjustments to provisional amounts (that are identified during the measurement period) in the reporting period in which the adjustment amounts are determined. The new guidance also requires such amounts to be disclosed in the consolidated financial statements. The Company early adopted this guidance effective September 30, 2015. The adoption of this guidance was not material to the consolidated financial statements. In May 2015, the FASB issued ASU 2015-07: Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities that Calculate Net Asset Value per Share (or its Equivalent) (a Consensus of the Emerging Issues Task Force) . The new guidance eliminates the requirement to classify in the fair value hierarchy any investments for which fair value is measured at net asset value per share using the practical expedient. This guidance is effective for interim and annual periods beginning after December 15, 2015. The adoption of this guidance is not expected to be material to the consolidated financial statements. In April 2015, the FASB issued ASU 2015-03: Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. The amendments in ASU 2015-03 require a reporting entity to present debt issuance costs related to a recognized debt liability in the balance sheet as a direct deduction from the carrying amount of that debt liability. The recognition and measurement guidance for debt issuance costs are not affected by the amendments. The amendments in ASU 2015-03 are effective for interim and annual periods beginning after December 15, 2015 and are to be applied retrospectively. As of September 30, 2015 , the Company had $607 of debt issuance costs that were included in other assets. These costs will be reclassified to reduce the carrying amount of the related debt liability on the effective date. In August 2014, the FASB issued ASU No. 2014-14, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40): Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure. The amendments in ASU 2014-14 require a reporting entity to de-recognize a mortgage loan and recognize a separate other receivable upon foreclosure if certain conditions are met. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance expected to be recovered from the guarantor. The amendments in ASU No. 2014-14 were effective for interim and annual periods beginning after December 15, 2014. Adoption of ASU 2014-14 did not have a material impact on the Company’s financial position or results of operations. In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860) . The amendments in ASU 2014-11 change the accounting for repurchase-to-maturity transactions to secured borrowing accounting. The guidance also requires separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. ASU 2014-11 was effective for interim and annual reporting periods beginning after December 15, 2014. Adoption of ASU 2014-11 did not have a material impact on the Company’s financial position or results of operations. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . The amendments in ASU No. 2014-09 provide a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. ASU No. 2014-09 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The amendments in ASU No. 2014-09 are effective for periods beginning after December 15, 2017. Early adoption is allowed. Yadkin continues to evaluate the potential impact of ASU No. 2014-09 on its consolidated financial statements. In January 2014, the FASB issued ASU 2014-04, Receivables—Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure . The amendments in ASU 2014-04 clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. The amendments in ASU 2014-04 were effective for periods beginning after December 15, 2014. Adoption of ASU 2014-04 did not have a material impact on the Company’s financial position or results of operations. In January 2014, the FASB issued ASU 2014-01, Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects. The amendments in ASU 2014-01 permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in ASU 2014-01 were effective for periods beginning after December 15, 2014. Adoption of ASU 2014-01 did not have a material impact on the Company’s financial position or results of operations. |
PER SHARE RESULTS
PER SHARE RESULTS | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
PER SHARE RESULTS | PER SHARE RESULTS Basic and diluted net income per share are computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during each period. Diluted net income per share reflects the potential dilution that could occur if common stock options and warrants were exercised, resulting in the issuance of common stock that then shared in the net income of the Company. Basic and diluted net income per share have been computed based upon net income available to common shareholders as presented in the accompanying consolidated statements of operations divided by the weighted average number of common shares outstanding or assumed to be outstanding as summarized below. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Weighted average number of common shares 31,608,909 31,597,659 31,608,287 16,760,777 Effect of dilutive stock options and warrants 77,241 4,533 39,579 1,527 Weighted average number of common shares and dilutive potential common shares 31,686,150 31,602,192 31,647,866 16,762,304 Anti-dilutive stock options 33,695 51,247 34,695 17,270 Anti-dilutive stock warrants 91,178 91,178 91,178 30,727 |
MERGERS AND ACQUISITIONS
MERGERS AND ACQUISITIONS | 9 Months Ended |
Sep. 30, 2015 | |
Business Combinations [Abstract] | |
MERGERS AND ACQUISITIONS | MERGERS AND ACQUISITIONS Proposed Acquisition of NewBridge Bancorp and NewBridge Bank On October 12, 2015, the Company entered into an Agreement and Plan of Merger (the "NewBridge Merger Agreement") with NewBridge Bancorp ("NewBridge"), a bank holding company incorporated in North Carolina and headquartered in Greensboro, North Carolina, pursuant to which the Company will acquire NewBridge and NewBridge's wholly-owned subsidiary, NewBridge Bank, which will be merged with and into Yadkin Bank. For additional information regarding the proposed acquisition, see Note K. Mergers with VantageSouth Bancshares, Inc. and Piedmont Community Bank Holdings, Inc. On July 4, 2014, the Company completed the Mergers with VantageSouth and Piedmont pursuant to the Merger Agreement. At closing, VantageSouth and Piedmont merged with and into Yadkin, with Yadkin continuing as the surviving corporation. Piedmont owned a controlling interest in VantageSouth at the time of the Mergers. Pursuant to the Merger Agreement, holders of VantageSouth common stock received 0.3125 shares of voting common stock of Yadkin for each share of VantageSouth common stock. Holders of Piedmont common stock received (i) 6.28597 shares of voting common stock of Yadkin; (ii) $6.6878 in cash; and (iii) a right to receive a pro rata portion of certain shares of voting common stock of the Company at a later date if such shares do not become payable under the Piedmont Phantom Equity Plan. Immediately following the Mergers, VantageSouth Bank, the wholly owned banking subsidiary of VantageSouth, merged with and into Yadkin Bank. The Mergers were accounted for as a reverse merger using the acquisition method of accounting primarily due to the relative voting interests in the Company upon completion of the Mergers. As a result, Piedmont and its consolidated subsidiaries represent the accounting acquirer, and Yadkin represents the accounting acquiree. Therefore, the historical financial results of the Company prior to the Mergers reflect the historical balances of Piedmont, and the financial results of the Company after the Mergers reflect the combined organization. The assets and liabilities of Yadkin as of the date of the Mergers were recorded at estimated fair value and added to those of Piedmont. The Company completed its valuations of Yadkin's assets and liabilities but may refine those valuations for up to a year from the date of the Mergers. The Mergers had a significant impact on all aspects of the Company's financial statements, and as a result, financial results after the Mergers may not be comparable to financial results prior to the Mergers. The Piedmont Phantom Equity Plan, which is a type of deferred compensation plan, was assumed by the Company in the Mergers. A total of 856,447 shares of Yadkin’s voting common stock that otherwise would have been issued to Piedmont shareholders as merger consideration if the Piedmont Phantom Equity Plan did not exist was issued to a rabbi trust established by Yadkin to serve as a source of payment for both (i) payments due under the Piedmont Phantom Equity Plan and (ii) contingent merger consideration payable to former holders of Piedmont common stock. At the time of the Mergers, 28,405 shares of Yadkin's Series T and T-ACB Preferred Stock were assumed by the Company. The Series T and T-ACB Preferred Stock rank equally and have identical terms. They have no maturity date and pay cumulative dividends of 9.0 percent annually. The Company redeemed the Series T and T-ACB Preferred Stock in the second quarter of 2015. Yadkin issued 17.3 million shares of voting common stock in connection with the Mergers, which represented approximately 55 percent of the voting interests in the Company at the time of the Mergers. Guidance in FASB ASC 805-40-30-2 explains that the purchase price in a reverse merger is determined based on the number of equity interests the legal acquiree would have had to issue to give the owners of the legal acquirer the same equity interest in the combined entity that results from the reverse acquisition. The first step in estimating the purchase price in the Mergers is to determine the ownership of the combined institution following the Mergers. The table below summarizes, for each shareholder group immediately prior to the Mergers, the ownership of Yadkin common stock immediately following the Mergers as well as the market capitalization of the combined institution using Yadkin’s stock price at the time of the Mergers. Yadkin Financial Corporation Ownership and Market Value Table Shareholder Groups Immediately Prior to Mergers Number of Outstanding YDKN Shares Percentage Ownership Market Value at $19.41 YDKN Share Price Piedmont shareholders 9,219,406 29.1 % $ 178,949 VantageSouth shareholders (excluding Piedmont) 7,195,127 22.7 % 139,657 Shares issued and held in Rabbi Trust 856,447 2.7 % 16,624 Total Piedmont and VantageSouth shareholders 17,270,980 54.6 % 335,230 Yadkin shareholders 14,380,127 45.4 % 279,118 Total 31,651,107 100.0 % $ 614,348 Next, the number of shares Piedmont would have had to issue to give Yadkin and other owners the same percentage ownership in the combined institution is calculated in the table below. Hypothetical Piedmont Ownership Shareholder Groups Immediately Prior to Mergers Number of Outstanding Piedmont Shares Percentage Ownership Piedmont shareholders 1,466,664 29.1 % VantageSouth shareholders (excluding Piedmont) 1,144,633 22.7 % Shares issued and held in Rabbi Trust 136,247 2.7 % Total Piedmont and VantageSouth shareholders 2,747,544 54.6 % Yadkin shareholders 2,287,654 45.4 % Total 5,035,198 100.0 % Finally, the purchase price is calculated based on the number of hypothetical Piedmont shares issued to Yadkin shareholders multiplied by the share price as demonstrated in the table below. Because Piedmont was the accounting acquirer in the Mergers and was a private company, the market price per share was derived from Yadkin’s closing stock price at the time of the Mergers. The equivalent Piedmont market price per share was calculated based on the 6.28597 exchange ratio in the Mergers. Calculation of Purchase Price Equivalent Piedmont market price per share $ 122.01 Number of Piedmont shares issued to Yadkin shareholders 2,287,654 Purchase price (in thousands) $ 279,115 The following table presents the Yadkin assets acquired, liabilities assumed and other equity interests as of July 4, 2014 as well as the related purchase price allocation and calculation of the residual goodwill. As Reported by Yadkin at July 4, 2014 Initial Fair Value Adjustments Measurement Period Adjustments As Reported by the Company at July 4, 2014 Assets: Cash and cash equivalents $ 36,116 $ — $ — $ 36,116 Investment securities available for sale 259,143 (1,488 ) (a) — 257,655 Loans held for sale 15,696 — (b) — 15,696 Loans, net 1,403,419 (30,740 ) — 1,372,679 Federal Home Loan Bank stock, at cost 3,778 — — 3,778 Premises and equipment 40,204 (2,344 ) (c) — 37,860 Bank-owned life insurance 27,306 — — 27,306 Foreclosed assets 2,271 (601 ) (d) — 1,670 Deferred tax asset, net 16,955 5,939 (e) 1,197 (p) 24,091 Goodwill — 124,172 (f) 1,727 (n) 125,899 Other intangible assets 1,665 10,965 (g) 321 (o) 12,951 Accrued interest receivable and other assets 16,330 (2,229 ) (h) — 14,101 Total assets 1,822,883 103,674 3,245 1,929,802 Liabilities: Deposits 1,509,581 5,019 (i) — 1,514,600 Short-term borrowings 72,879 — — 72,879 Long-term debt 38,217 (15,486 ) (j) — 22,731 Accrued interest payable and other liabilities 8,448 (338 ) (k) 3,245 (q) 11,355 Total liabilities 1,629,125 (10,805 ) 3,245 1,621,565 Net assets acquired 193,758 114,479 — 308,237 Other equity interests: Preferred stock 28,405 — (l) — 28,405 Common stock warrants 1,850 (1,133 ) (m) — 717 Total other equity interests 30,255 (1,133 ) — 29,122 Purchase price $ 279,115 Explanation of fair value adjustments (a) Adjustment reflects opening fair value of securities portfolio, which was established as the new book basis of the portfolio. (b) Adjustment reflects the elimination of Yadkin's historical allowance for loan losses of $16,449 and the recording of a fair value discount of $47,189 on the loan portfolio. The fair value discount was calculated by forecasting cash flows over the expected remaining life of each loan and discounting those cash flows to present value using current market rates for similar loans. Forecasted cash flows include an estimate of lifetime credit losses on the loan portfolio. (c) Adjustment reflects fair value adjustments on certain acquired branch offices as well as certain software and computer equipment. (d) Adjustment reflects the write down of certain foreclosed assets based on current estimates of property values given current market conditions and additional discounts based on the Company's planned disposition strategy. (e) Adjustment reflects the tax impact of acquisition accounting fair value adjustments. (f) Goodwill represents the excess of the purchase price over the fair value of acquired net assets. (g) Adjustment reflects the fair value of the acquired core deposit intangible. (h) Adjustment reflects the impact of fair value adjustments on other assets, which include mortgage servicing assets, certain unusable prepaid expenses, and the elimination of accrued interest on purchased credit-impaired loans. (i) Adjustment reflects the fair value premium on time deposits, which was calculated by discounting future contractual interest payments at a current market interest rate. (j) Adjustments reflect the fair value adjustments for subordinated debt issued to fund trust preferred securities and long-term Federal Home Loan Bank ("FHLB") advances, which were calculated by discounting future contractual interest payments at a current market interest rate for similar instruments. For FHLB advances, the fair value adjustment is consistent with the prepayment penalty the FHLB would charge to terminate the advance. (k) Adjustments reflect accruals and fair value adjustments for other liabilities, which include the write-off of unearned income, deferred gains, and accrued liabilities that will not be paid. (l) No fair value adjustments were made to Yadkin's outstanding preferred stock. The acquisition date preferred dividend rate of 9.0 percent approximated the then-current market yield for issuances of similar perpetual preferred stock. The preferred stock was redeemable at the liquidation value on the acquisition date, and the Company expected the remaining life of the preferred stock would be relatively short. (m) The fair value of the common stock warrants was estimated using a Black-Scholes option pricing model assuming all 91,178 warrants will remain outstanding through expiration on July 24, 2019 . Assumptions and inputs used in the option pricing model included stock price volatility of 48.6 percent , no dividends, a risk free interest rate of 1.74 percent , and an exercise price of $21.90 per common warrant. (n) Amount reflects adjustments to goodwill resulting from adjustments (o), (p) and (q). (o) Amount reflects an adjustment to estimated fair value of the acquired core deposit intangible.(p) Amount reflects adjustments to acquired deferred tax assets and the tax impact of adjustments (o) and (q). (q) Amount reflects the adjustment of change in control obligations existing under various employment agreements that were triggered by the Mergers, an increase in reserves for unfunded letters of credit, and additional accruals for certain legal matters and other liabilities. Supplemental Pro Forma Information The table below presents supplemental pro forma information as if the Mergers with VantageSouth and Piedmont had occurred at the beginning of the earliest period presented, which was January 1, 2014. Pro forma results include adjustments for amortization and accretion of fair value adjustments and do not include any projected cost savings or other anticipated benefits of the Mergers. Therefore, the pro forma financial information is not indicative of the results of operations that would have occurred had the transactions been effected on the assumed date. Nine months ended September 30, 2014 Net interest income $ 118,700 Net income 19,778 Net income available to common shareholders 17,981 Basic income per common share 0.58 Diluted income per common share 0.57 Weighted average basic common shares outstanding 31,193,728 Weighted average diluted common shares outstanding 31,296,065 |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 9 Months Ended |
Sep. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | INVESTMENT SECURITIES The following tables summarize the amortized cost, gross unrealized gains and losses, and fair value of investment securities available for sale and held to maturity by major classification. September 30, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Securities available for sale: GSE obligations $ 19,938 $ 119 $ — $ 20,057 SBA-guaranteed securities 58,133 288 245 58,176 Mortgage-backed securities issued by GSEs 399,890 2,526 2,048 400,368 Municipal bonds 49,522 613 41 50,094 Corporate bonds 130,683 839 670 130,852 Collateralized loan obligations 47,506 — 2 47,504 Non-agency RMBS 3,943 98 14 4,027 Non-agency CMBS 454 — 1 453 Other debt securities 245 — — 245 Equity securities 2,381 19 684 1,716 Total securities available for sale $ 712,695 $ 4,502 $ 3,705 $ 713,492 Securities held to maturity: Municipal bonds $ 39,292 $ 984 $ — $ 40,276 December 31, 2014 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Securities available for sale: GSE obligations $ 14,914 $ 30 $ — $ 14,944 SBA-guaranteed securities 60,408 84 372 60,120 Mortgage-backed securities issued by GSEs 428,076 1,086 3,879 425,283 Municipal bonds 39,907 355 4 40,258 Corporate bonds 118,799 1,261 148 119,912 Non-agency RMBS 4,961 3 1 4,963 Non-agency CMBS 3,576 2 — 3,578 Other debt securities 498 — — 498 Equity securities 3,017 1 153 2,865 Total securities available for sale $ 674,156 $ 2,822 $ 4,557 $ 672,421 Securities held to maturity: Municipal bonds $ 39,620 $ 966 $ — $ 40,586 The following tables summarize gross unrealized losses and fair values, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position. Less than 12 months 12 months or more Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2015 Securities available for sale: SBA-guaranteed securities $ — $ — $ 25,388 $ 245 $ 25,388 $ 245 Mortgage-backed securities issued by GSEs 24,267 94 120,913 1,954 145,180 2,048 Municipal bonds 1,327 41 — — 1,327 41 Corporate bonds 47,741 559 3,708 111 51,449 670 Collateralized loan obligations 17,383 2 — — 17,383 2 Non-agency RMBS 81 1 951 13 1,032 14 Non-agency CMBS 453 1 — — 453 1 Equity securities 1,514 684 — — 1,514 684 Total temporarily impaired AFS securities $ 92,766 $ 1,382 $ 150,960 $ 2,323 $ 243,726 $ 3,705 December 31, 2014 Securities available for sale: SBA-guaranteed securities $ 94 $ 1 $ 41,950 $ 371 $ 42,044 $ 372 Mortgage-backed securities issued by GSEs 152,186 1,117 149,746 2,762 301,932 3,879 Municipal bonds 1,953 4 — — 1,953 4 Corporate bonds 18,123 64 3,767 84 21,890 148 Non-agency RMBS 1,318 1 — — 1,318 1 Equity securities 2,711 153 — — 2,711 153 Total temporarily impaired AFS securities $ 176,385 $ 1,340 $ 195,463 $ 3,217 $ 371,848 $ 4,557 The table below summarizes the number of investment securities in an unrealized loss position. September 30, December 31, 2014 Securities available for sale: SBA-guaranteed securities 11 19 Mortgage-backed securities issued by GSEs 59 76 Municipal bonds 2 6 Corporate bonds 13 5 Collateralized loan obligations 3 — Non-agency RMBS 2 1 Non-agency CMBS 1 — Equity securities 3 4 Total number of AFS securities in an unrealized loss position 94 111 Securities held to maturity: Municipal bonds — — Total number of investment securities in an unrealized loss position 94 111 As of September 30, 2015 , fifty-two securities had been in an unrealized loss position for more than a twelve month period. The Company had $111 thousand and $13 thousand in gross unrealized losses on one corporate bond and one non-agency RMBS, respectively, that had been in unrealized loss positions for more than twelve months as of September 30, 2015 . These were the only securities in loss positions for this period of time that were not issued or guaranteed by a U.S. government agency or GSE. Based on a review of financial statements and other financial data for this corporate issuer, the Company does not believe the unrealized loss on this bond was due to credit events. The securities in an unrealized loss position as of September 30, 2015 continue to perform and are expected to perform through maturity, and the issuers have not experienced significant adverse events that would call into question their ability to repay these debt obligations according to contractual terms. Further, because the Company does not intend to sell these investments and does not believe that it will be required to sell the investments before recovery of their amortized cost bases, which may be maturity, unrealized losses on such securities were not considered to represent other-than-temporary impairment as of September 30, 2015 . As of September 30, 2015 and December 31, 2014 , the Company held no individual investment securities with an aggregate book value greater than 10 percent of total shareholders’ equity. As of September 30, 2015 and December 31, 2014 , investment securities with carrying values of $292,624 and $314,184 , respectively, were pledged to secure public deposits, borrowings and for other purposes required or permitted by law. The amortized cost and fair values of securities available for sale, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2015 December 31, 2014 Amortized cost Fair value Amortized cost Fair value Securities available for sale: Due within one year $ 67,453 $ 68,128 $ 30,365 $ 30,536 Due after one year through five years 337,798 339,441 294,557 295,252 Due after five years through ten years 266,568 265,783 313,733 311,313 Due after ten years 38,495 38,424 32,484 32,455 Equity securities 2,381 1,716 3,017 2,865 $ 712,695 $ 713,492 $ 674,156 $ 672,421 Securities held to maturity: Due after one year through five years $ 31,541 $ 32,268 $ 20,177 $ 20,747 Due after five years through ten years 4,083 4,182 15,836 16,092 Due after ten years 3,668 3,826 3,607 3,747 $ 39,292 $ 40,276 $ 39,620 $ 40,586 The following table summarizes securities gains for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Gross gains on sales of securities available for sale $ — $ 217 $ 85 $ 435 Gross losses on sales of securities available for sale — (313 ) — (313 ) Total securities gains (losses) $ — $ (96 ) $ 85 $ 122 |
LOANS AND ALLOWANCE FOR LOAN LO
LOANS AND ALLOWANCE FOR LOAN LOSSES | 9 Months Ended |
Sep. 30, 2015 | |
Receivables [Abstract] | |
LOANS AND ALLOWANCE FOR LOAN LOSSES | LOANS AND ALLOWANCE FOR LOAN LOSSES The following table summarizes the Company's loans by type. September 30, December 31, 2014 Commercial: Commercial real estate $ 1,428,694 $ 1,355,536 Commercial and industrial 526,658 468,848 Construction and development 317,514 370,807 Consumer: Residential real estate 347,265 360,249 Construction and development 50,281 30,061 Home equity 274,151 276,662 Other consumer 36,196 36,874 Gross loans 2,980,759 2,899,037 Less: Deferred loan fees (980 ) (771 ) Allowance for loan losses (9,000 ) (7,817 ) Net loans $ 2,970,779 $ 2,890,449 As of September 30, 2015 , and December 31, 2014 , loans with a recorded investment of $936,883 and $828,365 , respectively, were pledged to secure borrowings or available lines of credit with correspondent banks. Purchased Credit-Impaired Loans Loans for which it is probable at acquisition that all contractually required payments will not be collected are considered purchased credit-impaired ("PCI") loans. The following table relates to acquired Yadkin PCI loans and summarizes the contractually required payments, which includes principal and interest, expected cash flows to be collected, and the fair value of acquired PCI loans at the merger date. Yadkin Merger July 4, 2014 Contractually required payments $ 110,365 Nonaccretable difference (21,102 ) Cash flows expected to be collected at acquisition 89,263 Accretable yield (8,604 ) Fair value of PCI loans at acquisition $ 80,659 The following table summarizes changes in accretable yield, or income expected to be collected, related to all of the Company's PCI loans for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Balance, beginning of period $ 24,100 $ 20,209 $ 25,181 $ 25,349 Loans purchased — 8,604 — 8,604 Accretion of income (3,246 ) (3,831 ) (10,164 ) (9,879 ) Reclassifications from nonaccretable difference 606 499 4,661 2,973 Other, net 2,100 878 3,882 (688 ) Balance, end of period $ 23,560 $ 26,359 $ 23,560 $ 26,359 The outstanding balance of PCI loans consists of the undiscounted sum of all amounts, including amounts deemed principal, interest, fees, penalties, and other under the loan, owed by the borrower at the reporting date, whether or not currently due and whether or not any such amounts have been written or charged off. The unpaid principal balance of PCI loans was $179,074 and $228,956 as of September 30, 2015 and December 31, 2014 , respectively. Purchased Non-impaired Loans Purchased non-impaired loans are also recorded at fair value at acquisition, and the related fair value discount or premium is recognized as an adjustment to yield over the remaining life of each loan. The following table relates to acquired Yadkin purchased non-impaired loans and provides the contractually required payments, fair value, and estimate of contractual cash flows not expected to be collected at the merger date. Yadkin Merger July 4, 2014 Contractually required payments $ 1,502,793 Fair value of acquired loans at acquisition 1,292,020 Contractual cash flows not expected to be collected 36,219 Allowance for Loan Losses The following tables summarize the activity in the allowance for loan losses for the periods presented. Commercial Real Estate Commercial and Industrial Commercial Construction Residential Real Estate Consumer Construction Home Equity Other Consumer Total Three months ended September 30, 2015 Beginning balance $ 3,137 $ 1,960 $ 665 $ 1,327 $ 269 $ 775 $ 225 $ 8,358 Charge-offs (103 ) (406 ) (134 ) (312 ) — (475 ) (101 ) (1,531 ) Recoveries 44 429 10 57 — 9 48 597 Provision for loan losses 319 185 201 232 (15 ) 593 61 1,576 Ending balance $ 3,397 $ 2,168 $ 742 $ 1,304 $ 254 $ 902 $ 233 $ 9,000 Nine months ended September 30, 2015 Beginning balance $ 2,796 $ 1,274 $ 1,691 $ 1,237 $ 194 $ 546 $ 79 $ 7,817 Charge-offs (359 ) (1,377 ) (201 ) (442 ) — (793 ) (349 ) (3,521 ) Recoveries 56 679 20 109 27 163 119 1,173 Provision for loan losses 904 1,592 (768 ) 400 33 986 384 3,531 Ending balance $ 3,397 $ 2,168 $ 742 $ 1,304 $ 254 $ 902 $ 233 $ 9,000 Three months ended September 30, 2014 Beginning balance $ 2,553 $ 878 $ 1,393 $ 1,786 $ 181 $ 561 $ 99 $ 7,451 Charge-offs (113 ) (170 ) (70 ) (251 ) — (100 ) (78 ) (782 ) Recoveries 13 3 67 49 — 14 10 156 Provision for loan losses 554 188 115 (129 ) 4 25 59 816 Ending balance $ 3,007 $ 899 $ 1,505 $ 1,455 $ 185 $ 500 $ 90 $ 7,641 Nine months ended September 30, 2014 Beginning balance $ 2,419 $ 805 $ 1,400 $ 1,673 $ 187 $ 476 $ 83 $ 7,043 Charge-offs (355 ) (616 ) (266 ) (458 ) — (371 ) (210 ) (2,276 ) Recoveries 18 31 69 73 — 90 23 304 Provision for loan losses 925 679 302 167 (2 ) 305 194 2,570 Ending balance $ 3,007 $ 899 $ 1,505 $ 1,455 $ 185 $ 500 $ 90 $ 7,641 The following tables summarize the ending allowance for loans losses and the recorded investment in loans by portfolio segment and impairment method. September 30, 2015 Commercial Real Estate Commercial and Industrial Commercial Construction Residential Real Estate Consumer Construction Home Equity Other Consumer Total Allowance for loan losses : Ending balance: Individually evaluated for impairment $ 209 $ 138 $ 58 $ 132 $ — $ — $ — $ 537 Collectively evaluated for impairment 2,771 2,009 679 637 248 555 166 7,065 Purchased credit-impaired 417 21 5 535 6 347 67 1,398 Total $ 3,397 $ 2,168 $ 742 $ 1,304 $ 254 $ 902 $ 233 $ 9,000 Loans : Ending balance: Individually evaluated for impairment $ 14,070 $ 3,120 $ 461 $ 3,439 $ — $ 19 $ — $ 21,109 Collectively evaluated for impairment 1,319,836 509,184 298,963 316,924 48,894 270,335 35,853 2,799,989 Purchased credit-impaired 94,788 14,354 18,090 26,902 1,387 3,797 343 159,661 Total $ 1,428,694 $ 526,658 $ 317,514 $ 347,265 $ 50,281 $ 274,151 $ 36,196 $ 2,980,759 December 31, 2014 Commercial Real Estate Commercial and Industrial Commercial Construction Residential Real Estate Consumer Construction Home Equity Other Consumer Total Allowance for loan losses : Ending balance: Individually evaluated for impairment $ 158 $ 229 $ — $ — $ — $ 3 $ — $ 390 Collectively evaluated for impairment 2,177 952 1,590 681 194 456 79 6,129 Purchased credit-impaired 461 93 101 556 — 87 — 1,298 Total $ 2,796 $ 1,274 $ 1,691 $ 1,237 $ 194 $ 546 $ 79 $ 7,817 Loans : Ending balance: Individually evaluated for impairment $ 5,398 $ 2,343 $ 910 $ 928 $ — $ 406 $ — $ 9,985 Collectively evaluated for impairment 1,227,597 452,487 337,540 328,693 28,436 271,928 36,244 2,682,925 Purchased credit-impaired 122,541 14,018 32,357 30,628 1,625 4,328 630 206,127 Total $ 1,355,536 $ 468,848 $ 370,807 $ 360,249 $ 30,061 $ 276,662 $ 36,874 $ 2,899,037 For non-PCI loans, the evaluation of the adequacy of the ALLL includes both loans evaluated collectively for impairment and loans evaluated individually for impairment. For loans evaluated collectively for impairment, loans are grouped based on common risk characteristics which include loan type and risk grade. Historical loss rates are calculated based on the historical probability of default ("PD") and loss given default ("LGD") for each loan grouping. PDs represent the likelihood that a loan will default within a one year period of time, and LGDs represent the estimated magnitude of loss the Company will incur if a loan defaults. A loan is considered to be in default if it becomes 90 days or more past due, meets the criteria for nonaccrual status, or incurs a charge-off. Historical loss rates are developed with four years of trailing default and loss data. These historical loss rates are then combined with certain qualitative factors to determine the ALLL reserve rates for each loan grouping. Qualitative factors include consideration of certain internal and external factors, such as loan delinquency levels and trends, loan growth, loan portfolio composition and concentrations, local and national economic conditions, the loan review function, and other factors management deems relevant to the ALLL calculation. In the second quarter of 2015, the Company enhanced its ALLL methodology by transitioning to the PD/LGD approach to calculating historical loss rates by loan grouping, as previously described. In prior periods, the Company calculated historical loss rates by loan type and then weighted these loss rates across its risk grade scale. Both methods use historical loss rates to calculate reserves on loans evaluated collectively for impairment, but the Company believes the enhanced PD/LGD approach provides a more precise and consistent estimate of loan losses across the risk grade scale based on actual default data. The enhanced ALLL calculation did not have a material impact on the total ALLL as of June 30, 2015, or on the provision for loan losses in the second quarter of 2015; however, the enhanced ALLL methodology did change the allocation of ALLL across certain loan classes, particularly commercial and industrial and construction loans. The Company held other significant inputs into the ALLL model consistent, such as the "lookback" period used to develop historical loss rates, the loan groupings for collective evaluation, and the application of qualitative factors. There were also no changes to the Company's evaluation of individually impaired loans. The Company categorizes loans 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 analyzes loans individually by classifying the loans according to credit risk. The Company uses the following general definitions for risk ratings: • Pass. These loans range from superior quality with minimal credit risk to loans requiring heightened management attention but that are still an acceptable risk and continue to perform as contracted. • Special Mention. Loans 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 of the institution's credit position at some future date. Loans where adverse economic conditions have developed that do not jeopardize liquidation of the debt, but substantially increase the level of risk may also warrant this rating. • Substandard. Loans 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 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 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. The following tables summarize the risk category of loans by class of loans. Pass Special Mention Substandard Doubtful Total September 30, 2015 Non-PCI Loans Commercial: Real estate $ 1,277,936 $ 32,061 $ 23,909 $ — $ 1,333,906 Commercial and industrial 492,049 4,128 16,127 — 512,304 Construction and development 295,080 3,353 936 55 299,424 Consumer: Residential real estate 307,614 5,028 7,721 — 320,363 Construction and development 47,407 744 743 — 48,894 Home equity 261,375 4,685 4,294 — 270,354 Other consumer 35,135 326 392 — 35,853 Total $ 2,716,596 $ 50,325 $ 54,122 $ 55 $ 2,821,098 PCI Loans Commercial: Real estate $ 43,698 $ 32,909 $ 18,181 $ — $ 94,788 Commercial and industrial 12,323 669 1,362 — 14,354 Construction and development 7,131 4,647 6,312 — 18,090 Consumer: Residential real estate 12,203 7,439 7,260 — 26,902 Construction and development 350 407 630 — 1,387 Home equity 421 2,058 1,087 231 3,797 Other consumer 1 277 65 — 343 Total $ 76,127 $ 48,406 $ 34,897 $ 231 $ 159,661 Pass Special Mention Substandard Doubtful Total December 31, 2014 Non-PCI Loans Commercial: Real estate $ 1,187,938 $ 32,142 $ 12,915 $ — $ 1,232,995 Commercial and industrial 433,093 15,148 6,510 79 454,830 Construction and development 334,213 2,128 2,109 — 338,450 Consumer: Residential real estate 316,743 4,527 8,351 — 329,621 Construction and development 27,447 735 254 — 28,436 Home equity 264,953 4,238 3,143 — 272,334 Other consumer 35,736 237 269 2 36,244 Total $ 2,600,123 $ 59,155 $ 33,551 $ 81 $ 2,692,910 PCI Loans Commercial: Real estate $ 57,095 $ 45,711 $ 19,735 $ — $ 122,541 Commercial and industrial 7,408 2,936 3,674 — 14,018 Construction and development 6,857 16,374 9,126 — 32,357 Consumer: Residential real estate 12,703 8,206 9,719 — 30,628 Construction and development 189 723 713 — 1,625 Home equity 143 2,827 1,358 — 4,328 Other consumer 2 488 140 — 630 Total $ 84,397 $ 77,265 $ 44,465 $ — $ 206,127 The following tables summarize the past due status of non-PCI loans based on contractual terms. 30-89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total September 30, 2015 Non-PCI Loans Commercial: Real estate $ 8,836 $ 5,071 $ 13,907 $ 1,319,999 $ 1,333,906 Commercial and industrial 4,503 2,299 6,802 505,502 512,304 Construction and development 128 539 667 298,757 299,424 Consumer: Residential real estate 3,048 2,684 5,732 314,631 320,363 Construction and development 564 535 1,099 47,795 48,894 Home equity 4,992 1,253 6,245 264,109 270,354 Other consumer 663 82 745 35,108 35,853 Total $ 22,734 $ 12,463 $ 35,197 $ 2,785,901 $ 2,821,098 30-89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total December 31, 2014 Non-PCI Loans Commercial: Real estate $ 7,971 $ 2,383 $ 10,354 $ 1,222,641 $ 1,232,995 Commercial and industrial 5,612 1,707 7,319 447,511 454,830 Construction and development 1,162 369 1,531 336,919 338,450 Consumer: Residential real estate 4,872 2,210 7,082 322,539 329,621 Construction and development 569 12 581 27,855 28,436 Home equity 3,985 395 4,380 267,954 272,334 Other Consumer 797 70 867 35,377 36,244 Total $ 24,968 $ 7,146 $ 32,114 $ 2,660,796 $ 2,692,910 The following table summarizes the recorded investment of non-PCI loans on nonaccrual status and loans greater than 90 days past due and accruing by class. September 30, 2015 December 31, 2014 Nonaccrual Loans greater than 90 days past due and accruing Nonaccrual Loans greater than 90 days past due and accruing Non-PCI Loans Commercial: Commercial real estate $ 14,816 $ 445 $ 5,685 $ — Commercial and industrial 4,079 146 4,594 2 Construction and development 594 — 1,692 — Consumer: Residential real estate 4,812 — 3,755 — Construction and development 699 — 254 — Home equity 2,587 — 1,721 — Other consumer 243 1 248 — Total $ 27,830 $ 592 $ 17,949 $ 2 The following table provides information on impaired loans. This table excludes PCI loans and loans evaluated collectively as a homogeneous group. Recorded Investment With a Recorded Allowance Recorded Investment With no Recorded Allowance Total Related Allowance Unpaid Principal Balance September 30, 2015 Non-PCI Loans Commercial: Commercial real estate $ 702 $ 13,368 $ 14,070 $ 209 $ 14,756 Commercial and industrial 504 2,616 3,120 138 4,052 Construction and development 282 179 461 58 1,291 Consumer: Residential real estate 1,923 1,516 3,439 132 4,812 Home equity — 19 19 — 2,829 Total $ 3,411 $ 17,698 $ 21,109 $ 537 $ 27,740 December 31, 2014 Non-PCI Loans Commercial: Commercial real estate $ 885 $ 4,513 $ 5,398 $ 158 $ 5,330 Commercial and industrial 525 1,818 2,343 229 2,718 Construction and development — 910 910 — 1,971 Consumer: Residential real estate — 928 928 — 3,863 Home equity 62 344 406 3 1,920 Other consumer — — — — — Total $ 1,472 $ 8,513 $ 9,985 $ 390 $ 15,802 Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Average Balance Interest Income Average Balance Interest Income Average Balance Interest Income Average Balance Interest Income Non-PCI Loans Commercial: Commercial real estate $ 12,915 $ 8 $ 9,523 $ 38 $ 9,734 $ 33 $ 6,932 $ 78 Commercial and industrial 3,113 2 918 — 2,732 3 726 — Construction and development 320 — 1,863 — 686 — 2,111 — Consumer: Residential real estate 3,276 22 1,423 7 2,184 65 1,180 10 Construction and development — — — — — — 81 — Home equity 20 — 418 — 213 — 420 — Other consumer — — — — — — 4 — Total $ 19,644 $ 32 $ 14,145 $ 45 $ 15,549 $ 101 $ 11,454 $ 88 The Company may modify certain loans under terms that are below market in order to maximize the amount collected from a borrower that is experiencing financial difficulties. These modifications are considered to be troubled debt restructurings ("TDRs"). TDRs are evaluated individually for impairment based on the collateral value, if the loan is determined to be collateral dependent, or discounted expected cash flows, if the loan is not determined to be collateral dependent. The Company has no commitments to lend additional funds to any borrowers that have had a loan modified in a TDR. The following table provides the number and recorded investment of TDRs outstanding. September 30, 2015 December 31, 2014 Recorded Investment Number Recorded Investment Number TDRs: Commercial real estate $ 4,692 6 $ 4,215 7 Commercial and industrial 811 11 172 4 Commercial construction 178 2 131 2 Residential real estate 1,626 4 1,770 6 Home equity 19 1 83 2 Consumer — — — — Total $ 7,326 24 $ 6,371 21 The following tables provide the number and recorded investment of TDRs modified during the three and nine months ended September 30, 2015 and 2014 . TDRs Modified Three months ended September 30, 2015 Three months ended September 30, 2014 Recorded Investment Number Recorded Investment Number TDRs: Below market interest rate modifications: Commercial real estate $ 255 5 $ 634 2 Commercial and industrial 196 1 58 1 Commercial construction — — 417 1 Residential real estate — — 424 2 Home equity — — — — Consumer — — — — Total $ 451 6 $ 1,533 $ 6 TDRs Modified Nine months ended September 30, 2015 Nine months ended September 30, 2014 Recorded Investment Number Recorded Investment Number TDRs: Below market interest rate modifications: Commercial real estate $ 902 7 $ 1,896 7 Commercial and industrial 196 1 62 2 Commercial construction — — 417 1 Residential real estate 398 1 424 2 Home equity — — — — Consumer — — — — Total $ 1,496 9 $ 2,799 $ 12 Two TDRs totaling $343 thousand that were modified in the twelve months ended September 30, 2015 subsequently defaulted during the nine months ended September 30, 2015 . No TDRs that were modified in the twelve months ended September 30, 2014 subsequently defaulted during the nine months ended September 30, 2014 . The Company does not generally forgive principal or unpaid interest as part of when restructuring loans. Therefore, the recorded investment in TDRs during 2015 and 2014 did not change following the modifications. |
LOAN SERVICING
LOAN SERVICING | 9 Months Ended |
Sep. 30, 2015 | |
Transfers and Servicing [Abstract] | |
LOAN SERVICING | LOAN SERVICING Mortgage Loan Servicing The Company retains the servicing rights on mortgage loans sold to its investors. The unpaid principal balance of loans serviced for investors was $540,770 and $455,033 as of September 30, 2015 and December 31, 2014 , respectively. Mortgage servicing rights ("MSRs") are initially recognized at fair value in other assets on the consolidated balance sheets and are subsequently accounted for at the lower of cost or market. MSRs are amortized in proportion to, and over the estimated period, that net servicing income is expected to be received based on estimates of net cash flows on the loans serviced. The amount and timing of estimated future net cash flows are updated based on actual results and updated projections. Mortgage servicing fees, which are recorded in mortgage banking income in the consolidated statements of operations, totaled $326 and $928 , respectively, in the three and nine months ended September 30, 2015 . The following table summarizes MSR activity for the 2015 periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Balance at beginning of period before valuation allowance $ 4,688 $ — $ 4,284 $ — Acquired Yadkin MSRs at fair value — 4,025 — 4,025 Additions 452 308 1,457 308 Repayments (65 ) (65 ) (309 ) (65 ) Amortization (185 ) (138 ) (542 ) (138 ) Balance at end of period before valuation allowance 4,890 4,130 4,890 4,130 Valuation allowance at end of period (138 ) (65 ) (138 ) (65 ) Balance at end of period after valuation allowance $ 4,752 $ 4,065 $ 4,752 $ 4,065 MSRs are separated into pools based on common risk characteristics of the underlying loans, and impairment is evaluated at least quarterly at the pool level. If impairment exists at the pool level, the MSR is written down through a valuation allowance and is charged against mortgage income. Valuation allowances at period end are summarized in the preceding table. The fair value of MSRs is highly sensitive to changes in assumptions and is determined by estimating the present value of the asset's future cash flows utilizing market-based prepayment rates, discount rates and other assumptions validated through comparison to trade information, industry surveys and with the use of independent third party appraisals. Changes in prepayment speed assumptions have the most significant impact on the fair value of MSRs. Generally, as interest rates decline, mortgage loan prepayments accelerate due to increased refinance activity, which results in a decrease in the fair value of the MSR. Measurement of fair value is limited to the conditions existing and the assumptions utilized as of a particular point in time, and those assumptions may not be appropriate if they are applied at a different time. The characteristics and sensitivity of the fair value of MSRs to changes in key assumptions is included in the accompanying table. September 30, 2015 December 31, 2014 Composition of mortgage loans serviced for others: Fixed rate loans 99.89 % 99.86 % Adjustable rate loans 0.11 % 0.14 % Total 100.00 % 100.00 % Weighted average life (years) 5.78 5.77 Prepayment speed 12.54 % 12.62 % Discount rate 9.49 % 9.60 % Effect on fair value due to change in interest rates: + 0.25% $ 716 $ 566 + 0.50% 1,064 801 - 0.25% (760 ) (668 ) - 0.50% (962 ) (844 ) The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. Changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the changes in assumptions to fair value may not be linear. Also, in the preceding table, the effects of an adverse variation in a particular assumption on the fair value of the MSRs is calculated without changing any other assumptions. Frequently, changes in one factor would result in another factor changing, which would magnify or contract the effect of the change. SBA-Guaranteed Loan Servicing The Company retains the servicing rights on SBA-guaranteed loans sold to investors. The standard sale structure under the SBA Secondary Participation Guaranty Agreement provides for the Company to retain a portion of the cash flow from the interest payment received on the loan, which is commonly known as a servicing spread. The unpaid principal balance of SBA-guaranteed loans serviced for investors was $204,339 and $136,093 as of September 30, 2015 and December 31, 2014 , respectively. SBA-guaranteed loan servicing assets are initially recognized at fair value in other assets on the consolidated balance sheets and are subsequently accounted for at the lower of cost or market. SBA servicing assets are amortized over the expected life of the related loans serviced as a reduction to the servicing income recognized from the servicing spread. SBA servicing fees, which are recorded in government-guaranteed lending income in the consolidated statements of operations, totaled $473 and $295 for the three months ended September 30, 2015 and 2014 , respectively, and $1,258 and $739 for the nine months ended September 30, 2015 and 2014 , respectively. The table below summarizes the activity in the SBA-guaranteed loan servicing asset for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Balance at beginning of period $ 3,936 2,127 $ 3,081 $ 1,759 Additions 786 688 1,881 1,186 Amortization (157 ) (73 ) (397 ) (203 ) Balance at end of period $ 4,565 2,742 $ 4,565 $ 2,742 The fair value of the servicing asset is compared to the amortized basis when certain triggering events occur. If the amortized basis exceeds the fair value, the asset is considered impaired and is written down to fair value through a valuation allowance on the asset and a charge against SBA income. There was no valuation allowance recorded on the SBA-guaranteed loan servicing asset as of September 30, 2015 or December 31, 2014 . |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Those instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheet. The contract or notional amounts of those instruments reflect the maximum exposure the Company has in particular classes of financial instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of conditions established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since some of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company, upon extension of credit is based on a credit evaluation of the borrower. Collateral obtained varies but may include real estate, equipment, stocks, bonds, and certificates of deposit. The following table is a summary of the contractual amount of the Company’s exposure to off-balance sheet commitments. September 30, December 31, 2014 Lending commitments: Commitments to extend credit $ 779,644 $ 658,925 Commercial letters of credit 19,046 12,421 Other commitments: Standby letters of credit issued by the FHLB on the Bank's behalf 10,000 10,000 Capital commitment to private investment funds 3,085 2,280 The reserve for unfunded commitments was $1,269 and $1,465 as of September 30, 2015 and December 31, 2014 , respectively, which was recorded in other liabilities on the consolidated balance sheets. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTS The Company uses derivative financial instruments to manage its interest rate risk. These instruments carry varying degrees of credit, interest rate, and market or liquidity risks. Derivative instruments are recognized as either assets or liabilities on the balance sheet and are measured at fair value. Subsequent changes in the fair value of derivatives are recognized in other comprehensive income ("OCI") for effective hedges, and changes in fair value are recognized in earnings for all other derivatives. Interest Rate Swaps In 2013 and 2014, the Company entered into six different forward starting interest rate swaps on a total of $175,000 of forecasted three-month FHLB advances to reduce its exposure to variability in interest payments attributable to changes in three-month LIBOR. Beginning on the respective effective dates, these interest rate swaps will exchange the three-month LIBOR component of interest on the FHLB advances with fixed interest rates. Each three-month FHLB advance will be executed to correspond to the effective dates of the respective interest rate swaps and will continue to be rolled for the full term of each swap. In August 2014, the Company entered into two additional forward starting interest rate swaps on a total of $50,000 of forecasted brokered money market deposits to reduce its exposure to variability in interest payments attributable to changes in one-month LIBOR, which is the underlying index of the brokered money market deposits. Beginning on the respective effective dates, these interest rate swaps began to exchange one-month LIBOR, plus the applicable spread, with fixed interest rates. The brokered money market accounts are expected to maintain at least $50,000 on deposit with the Company through the maturity of the interest rate swaps. In March 2015, the Company restructured certain of its derivative positions by terminating four interest rate swaps prior to their effective start dates and entering into two new forward starting interest rate swaps on a total of $50,000 of forecasted three-month FHLB advances. Beginning on the respective effective dates, these interest rate swaps will exchange the three-month LIBOR component of interest on the FHLB advances with fixed interest rates of 2.540 and 2.576 percent . Each three-month FHLB advance will be executed to correspond to the effective dates of the respective interest rate swaps and will continue to be rolled for the full term of each swap. The interest rate swaps outstanding as of September 30, 2015 are expected to be highly effective and are accounted for as cash flow hedges with the change in fair value recognized in OCI. The purpose of these cash flow hedges is to reduce the Company's earnings and economic value at risk in a rising interest rate environment. The following table summarizes key terms of each active interest rate swap. Interest Rate Swap Notional Amount Effective Start Date Maturity Date Pay Fixed Rate Receive Floating Rate Swap 1 $ 25,000 October 1, 2014 August 31, 2017 1.197 % 1-Month LIBOR + 0.10% Swap 2 25,000 October 16, 2014 August 16, 2018 1.596 1-Month LIBOR + 0.13% Swap 3 25,000 February 5, 2016 February 5, 2021 2.703 3-Month LIBOR Swap 4 50,000 August 5, 2016 August 5, 2021 2.882 3-Month LIBOR Swap 5 25,000 October 5, 2017 October 5, 2027 2.540 3-Month LIBOR Swap 6 25,000 March 5, 2018 March 5, 2028 2.576 3-Month LIBOR $ 175,000 For the terminated interest rate swaps, the changes in value that were recorded in accumulated other comprehensive income ("AOCI") before termination will be amortized to yield over the period the forecasted hedged transactions impact earnings. The forecasted hedged transactions remain probable of occurring. The following table summarizes information regarding the four terminated interest rate swaps. Terminated Interest Rate Swap Notional Amount Original Effective Start Date Original Maturity Date Date Terminated Termination Fee Paid Terminated Swap 1 $ 25,000 April 6, 2015 April 5, 2020 March 27, 2015 $ 123 Terminated Swap 2 25,000 May 5, 2015 May 5, 2020 March 27, 2015 122 Terminated Swap 3 25,000 June 5, 2015 June 5, 2020 March 27, 2015 121 Terminated Swap 4 25,000 August 5, 2015 August 5, 2020 March 27, 2015 921 $ 100,000 $ 1,287 Interest Rate Caps In May 2012, the Company purchased separate interest rate cap contracts on a $7,500 subordinated term loan and on $8,000 in junior subordinated debt previously issued to Crescent Financial Capital Trust I, an unconsolidated trust formed to issue trust preferred securities ("TRUPs"). In August 2014, the Company also purchased separate interest rate cap contracts on $25,000 in junior subordinated debt previously issued to Yadkin Valley Statutory Trust I and on $10,000 in junior subordinated debt previously issued to American Community Capital Trust. The underlying index for each debt instrument is three-month LIBOR. In the event that the underlying index rate exceeds the strike rate on the respective cap, the counterparty would pay the Company the difference between the underlying index and the strike rate. These interest rate cap contracts are classified as effective cash flow hedges. Therefore, the changes in fair value of the caps are recognized in OCI. The purpose of these cash flow hedges is to reduce the Company's earnings and economic value at risk in a rising interest rate environment. The following table summarizes key terms of each interest rate cap. Interest Rate Cap Notional Amount Effective Start Date Maturity Date Strike Rate Underlying Index of Cap Variable Rate on Underlying Debt Cap 1 $ 7,500 July 1, 2012 July 1, 2017 0.47 % 3-Month LIBOR 3-Month LIBOR + 4.00% Cap 2 8,000 July 7, 2012 July 7, 2017 0.47 % 3-Month LIBOR 3-Month LIBOR + 3.10% Cap 3 25,000 September 15, 2014 September 15, 2019 1.82 % 3-Month LIBOR 3-Month LIBOR + 1.32% Cap 4 10,000 September 30, 2014 September 30, 2019 1.85 % 3-Month LIBOR 3-Month LIBOR + 2.80% $ 50,500 Mortgage Loan Commitments The Company enters into interest rate lock commitments with customers and commitments to sell mortgages to investors. The forward sale commitments are entered into with investors to manage the interest rate risk associated with the customer interest rate lock commitments, and both are considered derivative financial instruments. These derivative instruments are carried at fair value and do not qualify for hedge accounting. The fair value of the interest rate lock commitments is based on the value that can be generated when the underlying loan is sold on the secondary market and is included on the consolidated balance sheets in other assets and on the consolidated statements of operations in mortgage banking income. The fair value of the forward sale commitments is based on changes in the value of the commitment, principally because of changes in interest rates, and is included on the consolidated balance sheets in other assets or other liabilities and on the consolidated statements of operations in mortgage banking income. The following table summarizes the balance sheet location and fair value amounts of derivative instruments grouped by the underlying hedged instrument. September 30, 2015 December 31, 2014 Balance Sheet Location Notional Amount Fair Value Notional Amount Fair Value FHLB advances: Interest rate swaps Other assets $ — $ — $ 75,000 $ 795 Interest rate swaps Other liabilities 125,000 4,797 100,000 2,249 Brokered money market deposits: Interest rate swaps Other liabilities 50,000 679 50,000 200 Subordinated term loan: Interest rate cap Other liabilities 7,500 166 7,500 128 TRUPs: Interest rate caps Other assets 43,000 204 43,000 1,104 Mortgage loan commitments: Interest rate lock commitments Other assets 36,857 640 23,274 342 Forward sale commitments Other liabilities 63,690 108 34,727 49 The Company only transacts with derivative counterparties with strong credit standings and requires liquid collateral to secure credit exposure. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS Fair value is defined as the exchange price that would be received on the measurement date to sell an asset or the price paid to transfer a liability in the principal or most advantageous market available to the entity in an orderly transaction between market participants, with a three level valuation input hierarchy. The following is a description of valuation methodologies used for assets and liabilities recorded at fair value. Investment Securities. Securities available for sale ("AFS") are recorded at fair value on a recurring basis. Fair value measurements are based upon quoted market exchange prices, if available. If quoted prices are not available, third-party pricing sources are generally utilized to determine fair value. These fair values are derived from market-based pricing matrices that were developed using observable inputs that include benchmark yields, benchmark securities, reported trades, offers, bids, issuer spreads, and broker quotes. Level 1 securities include securities traded on an active exchange, such as the New York Stock Exchange, or SBA-guaranteed securities where active market pricing is readily available. Level 2 securities generally include GSE securities and mortgage-backed securities issued by GSEs, private label mortgage-backed securities, municipal bonds, corporate debt securities, and collateralized loan obligations. Level 3 securities include one municipal bond and certain corporate debt securities with limited trading activity. The following table provides the components of the change in fair value of Level 3 available for sale securities for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Level 3 AFS securities at beginning of period $ 11,403 $ 6,793 $ 11,290 $ 7,583 Purchases 5,390 4,600 5,390 4,600 Sales, calls or maturities — — — (1,000 ) Changes in unrealized gains and losses (215 ) 30 (102 ) 240 Level 3 AFS securities at end of period $ 16,578 $ 11,423 $ 16,578 $ 11,423 SBA-Guaranteed Loans. The Company has elected to account for certain SBA-guaranteed loans at fair value on a recurring basis. Generally, the Company has reached an agreement with an investor to sell the guaranteed portion of these loans, and these amounts are classified in loans held for sale on the consolidated balance sheets until the sale is complete. The unguaranteed retained portion of the loans remains in loans held for investment and continues to be adjusted to fair value over the remaining life of the respective loans. Fair value estimates for these loans are based on observable market data and pricing and are therefore classified as recurring Level 2. Derivatives. Derivative instruments include interest rate swaps and caps and are valued on a recurring basis using quoted market prices, dealer quotes, or third party pricing models that are primarily sensitive to market observable data. Currently outstanding derivatives, except for mortgage interest rate lock commitments described below, are classified as Level 2 within the fair value hierarchy. Mortgage Loan Commitments. The fair value of interest rate lock commitments, which are included in derivatives assets and liabilities in the fair value measurement tables below, is based on servicing rate premium, origination income net of origination costs, fall out rates and changes in loan pricing between the commitment date and period end. Interest rate lock commitments are measured at fair value on a recurring basis and are classified as Level 3. The following table provides the components of the change in fair value of interest rate lock commitments for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Interest rate lock commitments at beginning of period $ 483 $ 296 $ 342 $ 354 Fair value of acquired Yadkin interest rate lock commitments — 231 — 231 Issuances 1,824 906 4,609 1,529 Settlements (1,667 ) (986 ) (4,311 ) (1,667 ) Interest rate lock commitments at end of period $ 640 $ 447 $ 640 $ 447 The fair value of forward sale commitments, also included in derivative assets and liabilities in the fair value measurement tables below, is based on changes in loan pricing between the commitment date and period end. Forward sale commitments are measured at fair value on a recurring basis and are classified as Level 2. The difference between the interest rate lock commitment issuances and settlements in the preceding table and the change in fair value of forward sale commitments in the period represents the gain on mortgage loan commitments and is included in mortgage banking income on the consolidated statements of operations. Loans. Loans are not generally recorded at fair value on a recurring basis. However, certain loans are determined to be impaired, and those loans are charged down to estimated fair value. The fair value of impaired loans that are collateral dependent is based on collateral value. For impaired loans that are not collateral dependent, estimated value is based on either an observable market price, if available, or the present value of expected future cash flows. Those impaired loans not requiring a charge-off represent loans for which the estimated fair value exceeds the recorded investments in such loans. When the fair value of an impaired loan is based on an observable market price or a current appraised value with no adjustments, the Company records the impaired loan as nonrecurring Level 2. When an appraised value is not available, or the Company determines the fair value of the collateral is further impaired below the appraised value, and there is no observable market price, the impaired loan is classified as nonrecurring Level 3. Foreclosed Assets. Foreclosed assets are adjusted to fair value upon transfer of loans to foreclosed assets. Subsequently, foreclosed assets are carried at lower of cost or net realizable value. Fair value is based upon independent market prices, appraised values of the collateral or management’s estimation of the value of the collateral. Given the lack of observable market prices for identical properties and market discounts applied to appraised values, the Company classifies foreclosed assets as nonrecurring Level 3. The following tables summarize fair value information for assets and liabilities measured on a recurring and nonrecurring basis. Total Level 1 Level 2 Level 3 September 30, 2015 Measured at fair value on a recurring basis: Securities available for sale: GSE obligations $ 20,057 $ — $ 20,057 $ — SBA-guaranteed securities 58,176 58,176 — — Mortgage-backed securities issued by GSE 400,368 — 400,368 — Municipal bonds 50,094 — 48,995 1,099 Corporate bonds 130,852 2,525 112,848 15,479 Collateralized loan obligations 47,504 — 47,504 — Non-agency RMBS 4,027 — 4,027 — Non-agency CMBS 453 — 453 — Other debt securities 245 245 — — Equity securities 1,716 1,716 — — SBA-guaranteed loans held for sale 11,036 — 11,036 — SBA loans held for investment 17,142 — 17,142 — Derivative assets 844 — 204 640 Derivative liabilities 5,750 — 5,750 — Measured at fair value on a non-recurring basis: Impaired loans $ 20,572 $ — $ — $ 20,572 Foreclosed assets 11,793 — — 11,793 Total Level 1 Level 2 Level 3 December 31, 2014 Measured at fair value on a recurring basis: Securities available for sale: GSE obligations $ 14,944 $ — $ 14,944 $ — SBA-guaranteed securities 60,120 60,120 — — Mortgage-backed securities issued by GSE 425,283 — 425,283 — Municipal bonds 40,258 — 40,258 — Corporate bonds 119,912 2,545 106,077 11,290 Non-agency RMBS 4,963 — 4,963 — Non-agency CMBS 3,578 — 3,578 — Other debt securities 498 498 — — Equity securities 2,865 2,865 — — SBA-guaranteed loans held for sale 8,365 — 8,365 — SBA loans held for investment 8,906 — 8,906 — Derivative assets 2,368 — 2,026 342 Derivative liabilities 2,497 — 2,497 — Measured at fair value on a non-recurring basis: Impaired loans $ 9,595 $ — $ — $ 9,595 Foreclosed assets 12,891 — — 12,891 Quantitative Information About Level 3 Fair Value Measurements The table below outlines the valuation techniques, unobservable inputs, and the range of quantitative inputs used in the valuations. Fair Value Valuation Technique Unobservable Input Range September 30, 2015 December 31, 2014 Recurring measurements: Investment securities Pricing model Illiquidity or credit factor in discount rates 1-2% $ 16,578 $ 11,290 Interest rate lock commitments Pricing model Pull through rates 80-95% 640 342 Nonrecurring measurements: Impaired loans Discounted appraisals Collateral discounts 15-50% 20,572 9,595 Discounted expected cash flows Expected loss rates 0-75% Discount rates 2-8% Foreclosed assets Discounted appraisals Collateral discounts 15-50% 11,793 12,891 The significant unobservable input used in the fair value measurement of the Company’s interest rate lock commitments is the closing ratio (or pull through rate), which represents the percentage of loans currently in a lock position which management estimates will ultimately close. Generally, the fair value of an interest rate lock commitment is positive (negative) if the prevailing interest rate is lower (higher) than the interest rate lock commitment rate. Therefore, an increase in the pull through rates (i.e., higher percentage of loans estimated to close) will result in the fair value of the interest rate lock commitments increasing in a gain position, or decreasing in a loss position. The pull through ratio is largely dependent on the loan processing stage that a loan is currently in and the change in prevailing interest rates from the time of the rate lock. The pull through rate is computed based on historical internal data and the ratio is periodically reviewed by the Company’s mortgage banking department. Due to the nature of the Company’s business, a significant portion of its assets and liabilities consist of financial instruments. Accordingly, the estimated fair values of these financial instruments are disclosed. Quoted market prices, if available, are utilized as an estimate of the fair value of financial instruments. The fair value of such instruments has been derived based on assumptions with respect to future economic conditions, the amount and timing of future cash flows and estimated discount rates. Different assumptions could significantly affect these estimates. Accordingly, the net amounts ultimately collected could be materially different from the estimates presented below. In addition, these estimates are only indicative of the values of individual financial instruments and should not be considered an indication of the fair value of the Company taken as a whole. Cash and Cash Equivalents. The carrying amounts for cash and cash equivalents are a reasonable estimate of fair value. Investment Securities Available for Sale. A description of fair value estimates for securities available for sale is included in the recurring fair value measurements section above. Investment Securities Held to Maturity. The fair value of the municipal bonds classified as held to maturity are derived from market-based pricing matrices that were developed using observable inputs that include benchmark yields, benchmark securities, reported trades, offers, bids, issuer spreads, and broker quotes. These securities are classified as Level 2 in the fair value hierarchy since the inputs used in the valuation are readily available market inputs. Loans Held For Sale. The fair value of mortgage loans held for sale is based on commitments on hand from investors within the secondary market. A description of fair value estimates for SBA-guaranteed loans held for sale is included in the recurring fair value measurements section above. Loans. Expected cash flows are forecasted over the remaining life of each loan and are discounted to present value at current market interest rates for similar loans considering loan collateral type and credit quality. Federal Home Loan Bank Stock. Given the option to redeem this stock at par through the FHLB, the carrying value of FHLB stock approximates fair value. Purchased Accounts Receivable. Purchased accounts receivable, which are classified in other assets on the consolidated balance sheet, are initially recorded at fair value, which is the same as the discounted purchase price, and generally have maturities between 30 and 60 days. Due to the short duration of these assets, the carrying amounts are a reasonable estimate of fair value. Deposits . The fair value of demand deposits, savings, money market and NOW accounts represents the amount payable on demand. The fair value of time deposits is estimated by calculating the present value of cash flows on the time deposit portfolio discounted using interest rates currently offered for instruments of similar remaining maturities. Short-term Borrowings and Long-term Debt. The fair value of short-term borrowings and long-term debt are based upon the discounted value when using current rates at which borrowings of similar maturity could be obtained. Accrued Interest Receivable and Accrued Interest Payable. The carrying amounts of accrued interest receivable and payable approximate fair value due to the short maturities of these instruments. Derivative Instruments. A description of fair value estimates for derivative instruments is included in the recurring fair value measurements section above. The following tables summarize the carrying amounts and estimated fair values of the Company's financial instruments. September 30, 2015 Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 77,755 $ 77,755 $ 77,755 $ — $ — Investment securities available for sale 713,492 713,492 62,662 634,252 16,578 Investment securities held to maturity 39,292 40,276 — 40,276 — Loans held for sale 37,962 37,962 — 37,962 — Loans, net 2,970,779 3,013,484 — 17,142 2,996,342 Purchased accounts receivable 69,383 69,383 — 69,383 — Federal Home Loan Bank stock 22,932 22,932 — 22,932 — Derivative assets 844 844 — 204 640 Accrued interest receivable 12,502 12,502 — 12,502 — Financial liabilities: Deposits 3,247,769 3,252,202 — 3,252,202 — Short-term borrowings 395,500 395,500 — — 395,500 Long-term debt 129,859 133,287 — — 133,287 Derivative liabilities 5,750 5,750 — 5,750 — Accrued interest payable 1,903 1,903 — 1,903 — December 31, 2014 Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 132,365 $ 132,365 $ 132,365 $ — $ — Investment securities available for sale 672,421 672,421 66,028 595,103 11,290 Investment securities held to maturity 39,620 40,404 — 40,404 — Loans held for sale 20,205 20,205 — 20,205 — Loans, net 2,890,449 2,919,573 — 1,241 2,918,332 Purchased accounts receivable 44,821 44,821 — 44,821 — Federal Home Loan Bank stock 19,499 19,499 — 19,499 — Derivative assets 2,368 2,368 — 2,027 341 Accrued interest receivable 12,071 12,071 — 12,071 — Financial liabilities: Deposits 3,247,364 3,245,431 — 3,245,431 — Short-term borrowings 250,500 250,500 — — 250,500 Long-term debt 180,164 183,326 — — 183,326 Derivative liabilities 2,497 2,497 — 2,497 — Accrued interest payable 2,688 2,688 — 2,688 — |
CHANGES IN ACCUMULATED OTHER CO
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 9 Months Ended |
Sep. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | |
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the activity in accumulated other comprehensive income for the periods presented. All amounts are net of tax. Unrealized Net Gains (Losses) on AFS Securities Unrealized Net Gains (Losses) on Cash Flow Hedges Total Three Months Ended Balance at July 1, 2015 $ (2,479 ) $ (1,466 ) $ (3,945 ) Other comprehensive income (loss) before reclassifications 2,972 (3,176 ) (204 ) Reclassification of amounts into interest expense from termination of interest rate swaps — 21 21 Net other comprehensive income (loss) during period 2,972 (3,155 ) (183 ) Balance at September 30, 2015 $ 493 $ (4,621 ) $ (4,128 ) Balance at July 1, 2014 $ (2,151 ) $ 1,003 $ (1,148 ) Other comprehensive income (loss) before reclassifications (2,065 ) 262 (1,803 ) Amounts reclassified for securities gains 59 — 59 Net other comprehensive income (loss) during period (2,006 ) 262 (1,744 ) Balance at September 30, 2014 $ (4,157 ) $ 1,265 $ (2,892 ) Nine Months Ended Balance at January 1, 2015 $ (1,185 ) $ (1,059 ) (2,244 ) Other comprehensive income (loss) before reclassifications 1,730 (3,588 ) (1,858 ) Reclassification of gains on AFS securities (52 ) — (52 ) Reclassification of amounts into interest expense from termination of interest rate swaps — 26 26 Net other comprehensive income (loss) during period 1,678 (3,562 ) (1,884 ) Balance at September 30, 2015 $ 493 $ (4,621 ) $ (4,128 ) Balance at January 1, 2014 $ (6,553 ) $ 2,381 $ (4,172 ) Other comprehensive income (loss) before reclassifications 2,471 (1,116 ) 1,355 Reclassification of gains on AFS securities (75 ) — (75 ) Net other comprehensive income (loss) during period 2,396 (1,116 ) 1,280 Balance at September 30, 2014 $ (4,157 ) $ 1,265 $ (2,892 ) |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS As previously disclosed in its Current Report on Form 8-K filed on October 13, 2015, on October 12, 2015, Yadkin entered into an Agreement and Plan of Merger (the “NewBridge Merger Agreement”) with NewBridge and Navy Merger Sub Corp., a North Carolina corporation and a wholly-owned subsidiary of Yadkin (“Merger Sub”). The NewBridge Merger Agreement provides that, upon the terms and subject to the conditions set forth therein, (i) Merger Sub will merge with and into NewBridge (the “NewBridge Merger”), with NewBridge continuing as the surviving corporation in the NewBridge Merger and as a wholly-owned subsidiary of Yadkin and (ii) immediately thereafter, NewBridge will merge with and into Yadkin (together with the NewBridge Merger, the “Integrated Mergers”), with Yadkin continuing as the surviving corporation. Immediately following the consummation of the Integrated Mergers, NewBridge’s wholly-owned subsidiary, NewBridge Bank, will merge with and into Yadkin’s wholly-owned subsidiary, Yadkin Bank (the “NewBridge Bank Merger”), with Yadkin Bank continuing as the surviving entity in the NewBridge Bank Merger. The NewBridge Merger Agreement was unanimously approved and adopted by the Board of Directors of each of Yadkin and NewBridge. Subject to fulfillment of customary closing conditions, including obtaining required shareholder and regulatory approvals, the Integrated Mergers and NewBridge Bank Merger are expected to occur during the second quarter of 2016. On November 3, 2015, Select Bancorp, Inc., the holding company for Select Bank & Trust, announced that it had received the necessary regulatory approvals to acquire two branches of Yadkin located in Morehead City and Leland, North Carolina. The sale of the two branches is scheduled to occur on December 11, 2015. |
BASIS OF PRESENTATION AND SIG19
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | The accompanying unaudited consolidated financial statements include the accounts of Yadkin Financial Corporation (the "Company" or "Yadkin") and its wholly-owned subsidiary, Yadkin Bank. The interim unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). They do not include all of the information and footnotes required by such accounting principles for complete financial statements. These interim unaudited financial statements should be read in conjunction with the audited consolidated financial statements and accompanying footnotes of the Company's 2014 Form 10-K. In the opinion of management, all adjustments necessary for a fair presentation of the financial position and results of operations for the periods presented have been included, and all intercompany transactions have been eliminated in consolidation. Results of operations for the nine months ended September 30, 2015 are not necessarily indicative of the results of operations that may be expected for the year ending December 31, 2015. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts of assets and liabilities and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. |
Recently Adopted and Issued Accounting Standards | Recently Adopted and Issued Accounting Standards In September 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-16: Business Combinations (Topic 805): Simplifying the Accounting for Measurement Period Adjustments. The new guidance requires acquirers to recognize adjustments to provisional amounts (that are identified during the measurement period) in the reporting period in which the adjustment amounts are determined. The new guidance also requires such amounts to be disclosed in the consolidated financial statements. The Company early adopted this guidance effective September 30, 2015. The adoption of this guidance was not material to the consolidated financial statements. In May 2015, the FASB issued ASU 2015-07: Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities that Calculate Net Asset Value per Share (or its Equivalent) (a Consensus of the Emerging Issues Task Force) . The new guidance eliminates the requirement to classify in the fair value hierarchy any investments for which fair value is measured at net asset value per share using the practical expedient. This guidance is effective for interim and annual periods beginning after December 15, 2015. The adoption of this guidance is not expected to be material to the consolidated financial statements. In April 2015, the FASB issued ASU 2015-03: Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. The amendments in ASU 2015-03 require a reporting entity to present debt issuance costs related to a recognized debt liability in the balance sheet as a direct deduction from the carrying amount of that debt liability. The recognition and measurement guidance for debt issuance costs are not affected by the amendments. The amendments in ASU 2015-03 are effective for interim and annual periods beginning after December 15, 2015 and are to be applied retrospectively. As of September 30, 2015 , the Company had $607 of debt issuance costs that were included in other assets. These costs will be reclassified to reduce the carrying amount of the related debt liability on the effective date. In August 2014, the FASB issued ASU No. 2014-14, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40): Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure. The amendments in ASU 2014-14 require a reporting entity to de-recognize a mortgage loan and recognize a separate other receivable upon foreclosure if certain conditions are met. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance expected to be recovered from the guarantor. The amendments in ASU No. 2014-14 were effective for interim and annual periods beginning after December 15, 2014. Adoption of ASU 2014-14 did not have a material impact on the Company’s financial position or results of operations. In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860) . The amendments in ASU 2014-11 change the accounting for repurchase-to-maturity transactions to secured borrowing accounting. The guidance also requires separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. ASU 2014-11 was effective for interim and annual reporting periods beginning after December 15, 2014. Adoption of ASU 2014-11 did not have a material impact on the Company’s financial position or results of operations. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . The amendments in ASU No. 2014-09 provide a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. ASU No. 2014-09 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The amendments in ASU No. 2014-09 are effective for periods beginning after December 15, 2017. Early adoption is allowed. Yadkin continues to evaluate the potential impact of ASU No. 2014-09 on its consolidated financial statements. In January 2014, the FASB issued ASU 2014-04, Receivables—Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure . The amendments in ASU 2014-04 clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. The amendments in ASU 2014-04 were effective for periods beginning after December 15, 2014. Adoption of ASU 2014-04 did not have a material impact on the Company’s financial position or results of operations. In January 2014, the FASB issued ASU 2014-01, Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects. The amendments in ASU 2014-01 permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in ASU 2014-01 were effective for periods beginning after December 15, 2014. Adoption of ASU 2014-01 did not have a material impact on the Company’s financial position or results of operations. |
PER SHARE RESULTS (Table)
PER SHARE RESULTS (Table) | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of basic and diluted net income (loss) per share | Basic and diluted net income per share have been computed based upon net income available to common shareholders as presented in the accompanying consolidated statements of operations divided by the weighted average number of common shares outstanding or assumed to be outstanding as summarized below. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Weighted average number of common shares 31,608,909 31,597,659 31,608,287 16,760,777 Effect of dilutive stock options and warrants 77,241 4,533 39,579 1,527 Weighted average number of common shares and dilutive potential common shares 31,686,150 31,602,192 31,647,866 16,762,304 Anti-dilutive stock options 33,695 51,247 34,695 17,270 Anti-dilutive stock warrants 91,178 91,178 91,178 30,727 |
MERGERS AND ACQUISITIONS (Table
MERGERS AND ACQUISITIONS (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions by Acquisition, Equity Interest Issued or Issuable | The table below summarizes, for each shareholder group immediately prior to the Mergers, the ownership of Yadkin common stock immediately following the Mergers as well as the market capitalization of the combined institution using Yadkin’s stock price at the time of the Mergers. Yadkin Financial Corporation Ownership and Market Value Table Shareholder Groups Immediately Prior to Mergers Number of Outstanding YDKN Shares Percentage Ownership Market Value at $19.41 YDKN Share Price Piedmont shareholders 9,219,406 29.1 % $ 178,949 VantageSouth shareholders (excluding Piedmont) 7,195,127 22.7 % 139,657 Shares issued and held in Rabbi Trust 856,447 2.7 % 16,624 Total Piedmont and VantageSouth shareholders 17,270,980 54.6 % 335,230 Yadkin shareholders 14,380,127 45.4 % 279,118 Total 31,651,107 100.0 % $ 614,348 Next, the number of shares Piedmont would have had to issue to give Yadkin and other owners the same percentage ownership in the combined institution is calculated in the table below. Hypothetical Piedmont Ownership Shareholder Groups Immediately Prior to Mergers Number of Outstanding Piedmont Shares Percentage Ownership Piedmont shareholders 1,466,664 29.1 % VantageSouth shareholders (excluding Piedmont) 1,144,633 22.7 % Shares issued and held in Rabbi Trust 136,247 2.7 % Total Piedmont and VantageSouth shareholders 2,747,544 54.6 % Yadkin shareholders 2,287,654 45.4 % Total 5,035,198 100.0 % The equivalent Piedmont market price per share was calculated based on the 6.28597 exchange ratio in the Mergers. Calculation of Purchase Price Equivalent Piedmont market price per share $ 122.01 Number of Piedmont shares issued to Yadkin shareholders 2,287,654 Purchase price (in thousands) $ 279,115 |
Schedule of assets acquired, liabilities assumed and other equity interest | The following table presents the Yadkin assets acquired, liabilities assumed and other equity interests as of July 4, 2014 as well as the related purchase price allocation and calculation of the residual goodwill. As Reported by Yadkin at July 4, 2014 Initial Fair Value Adjustments Measurement Period Adjustments As Reported by the Company at July 4, 2014 Assets: Cash and cash equivalents $ 36,116 $ — $ — $ 36,116 Investment securities available for sale 259,143 (1,488 ) (a) — 257,655 Loans held for sale 15,696 — (b) — 15,696 Loans, net 1,403,419 (30,740 ) — 1,372,679 Federal Home Loan Bank stock, at cost 3,778 — — 3,778 Premises and equipment 40,204 (2,344 ) (c) — 37,860 Bank-owned life insurance 27,306 — — 27,306 Foreclosed assets 2,271 (601 ) (d) — 1,670 Deferred tax asset, net 16,955 5,939 (e) 1,197 (p) 24,091 Goodwill — 124,172 (f) 1,727 (n) 125,899 Other intangible assets 1,665 10,965 (g) 321 (o) 12,951 Accrued interest receivable and other assets 16,330 (2,229 ) (h) — 14,101 Total assets 1,822,883 103,674 3,245 1,929,802 Liabilities: Deposits 1,509,581 5,019 (i) — 1,514,600 Short-term borrowings 72,879 — — 72,879 Long-term debt 38,217 (15,486 ) (j) — 22,731 Accrued interest payable and other liabilities 8,448 (338 ) (k) 3,245 (q) 11,355 Total liabilities 1,629,125 (10,805 ) 3,245 1,621,565 Net assets acquired 193,758 114,479 — 308,237 Other equity interests: Preferred stock 28,405 — (l) — 28,405 Common stock warrants 1,850 (1,133 ) (m) — 717 Total other equity interests 30,255 (1,133 ) — 29,122 Purchase price $ 279,115 Explanation of fair value adjustments (a) Adjustment reflects opening fair value of securities portfolio, which was established as the new book basis of the portfolio. (b) Adjustment reflects the elimination of Yadkin's historical allowance for loan losses of $16,449 and the recording of a fair value discount of $47,189 on the loan portfolio. The fair value discount was calculated by forecasting cash flows over the expected remaining life of each loan and discounting those cash flows to present value using current market rates for similar loans. Forecasted cash flows include an estimate of lifetime credit losses on the loan portfolio. (c) Adjustment reflects fair value adjustments on certain acquired branch offices as well as certain software and computer equipment. (d) Adjustment reflects the write down of certain foreclosed assets based on current estimates of property values given current market conditions and additional discounts based on the Company's planned disposition strategy. (e) Adjustment reflects the tax impact of acquisition accounting fair value adjustments. (f) Goodwill represents the excess of the purchase price over the fair value of acquired net assets. (g) Adjustment reflects the fair value of the acquired core deposit intangible. (h) Adjustment reflects the impact of fair value adjustments on other assets, which include mortgage servicing assets, certain unusable prepaid expenses, and the elimination of accrued interest on purchased credit-impaired loans. (i) Adjustment reflects the fair value premium on time deposits, which was calculated by discounting future contractual interest payments at a current market interest rate. (j) Adjustments reflect the fair value adjustments for subordinated debt issued to fund trust preferred securities and long-term Federal Home Loan Bank ("FHLB") advances, which were calculated by discounting future contractual interest payments at a current market interest rate for similar instruments. For FHLB advances, the fair value adjustment is consistent with the prepayment penalty the FHLB would charge to terminate the advance. (k) Adjustments reflect accruals and fair value adjustments for other liabilities, which include the write-off of unearned income, deferred gains, and accrued liabilities that will not be paid. (l) No fair value adjustments were made to Yadkin's outstanding preferred stock. The acquisition date preferred dividend rate of 9.0 percent approximated the then-current market yield for issuances of similar perpetual preferred stock. The preferred stock was redeemable at the liquidation value on the acquisition date, and the Company expected the remaining life of the preferred stock would be relatively short. (m) The fair value of the common stock warrants was estimated using a Black-Scholes option pricing model assuming all 91,178 warrants will remain outstanding through expiration on July 24, 2019 . Assumptions and inputs used in the option pricing model included stock price volatility of 48.6 percent , no dividends, a risk free interest rate of 1.74 percent , and an exercise price of $21.90 per common warrant. (n) Amount reflects adjustments to goodwill resulting from adjustments (o), (p) and (q). (o) Amount reflects an adjustment to estimated fair value of the acquired core deposit intangible.(p) Amount reflects adjustments to acquired deferred tax assets and the tax impact of adjustments (o) and (q). (q) Amount reflects the adjustment of change in control obligations existing under various employment agreements that were triggered by the Mergers, an increase in reserves for unfunded letters of credit, and additional accruals for certain legal matters and other liabilities. |
Pro forma information | The table below presents supplemental pro forma information as if the Mergers with VantageSouth and Piedmont had occurred at the beginning of the earliest period presented, which was January 1, 2014. Pro forma results include adjustments for amortization and accretion of fair value adjustments and do not include any projected cost savings or other anticipated benefits of the Mergers. Therefore, the pro forma financial information is not indicative of the results of operations that would have occurred had the transactions been effected on the assumed date. Nine months ended September 30, 2014 Net interest income $ 118,700 Net income 19,778 Net income available to common shareholders 17,981 Basic income per common share 0.58 Diluted income per common share 0.57 Weighted average basic common shares outstanding 31,193,728 Weighted average diluted common shares outstanding 31,296,065 |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost, gross unrealized gains and losses, and fair value of investment securities | The following tables summarize the amortized cost, gross unrealized gains and losses, and fair value of investment securities available for sale and held to maturity by major classification. September 30, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Securities available for sale: GSE obligations $ 19,938 $ 119 $ — $ 20,057 SBA-guaranteed securities 58,133 288 245 58,176 Mortgage-backed securities issued by GSEs 399,890 2,526 2,048 400,368 Municipal bonds 49,522 613 41 50,094 Corporate bonds 130,683 839 670 130,852 Collateralized loan obligations 47,506 — 2 47,504 Non-agency RMBS 3,943 98 14 4,027 Non-agency CMBS 454 — 1 453 Other debt securities 245 — — 245 Equity securities 2,381 19 684 1,716 Total securities available for sale $ 712,695 $ 4,502 $ 3,705 $ 713,492 Securities held to maturity: Municipal bonds $ 39,292 $ 984 $ — $ 40,276 December 31, 2014 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Securities available for sale: GSE obligations $ 14,914 $ 30 $ — $ 14,944 SBA-guaranteed securities 60,408 84 372 60,120 Mortgage-backed securities issued by GSEs 428,076 1,086 3,879 425,283 Municipal bonds 39,907 355 4 40,258 Corporate bonds 118,799 1,261 148 119,912 Non-agency RMBS 4,961 3 1 4,963 Non-agency CMBS 3,576 2 — 3,578 Other debt securities 498 — — 498 Equity securities 3,017 1 153 2,865 Total securities available for sale $ 674,156 $ 2,822 $ 4,557 $ 672,421 Securities held to maturity: Municipal bonds $ 39,620 $ 966 $ — $ 40,586 |
Schedule of gross unrealized losses and fair values of securities in a continuous unrealized loss position | The following tables summarize gross unrealized losses and fair values, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position. Less than 12 months 12 months or more Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2015 Securities available for sale: SBA-guaranteed securities $ — $ — $ 25,388 $ 245 $ 25,388 $ 245 Mortgage-backed securities issued by GSEs 24,267 94 120,913 1,954 145,180 2,048 Municipal bonds 1,327 41 — — 1,327 41 Corporate bonds 47,741 559 3,708 111 51,449 670 Collateralized loan obligations 17,383 2 — — 17,383 2 Non-agency RMBS 81 1 951 13 1,032 14 Non-agency CMBS 453 1 — — 453 1 Equity securities 1,514 684 — — 1,514 684 Total temporarily impaired AFS securities $ 92,766 $ 1,382 $ 150,960 $ 2,323 $ 243,726 $ 3,705 December 31, 2014 Securities available for sale: SBA-guaranteed securities $ 94 $ 1 $ 41,950 $ 371 $ 42,044 $ 372 Mortgage-backed securities issued by GSEs 152,186 1,117 149,746 2,762 301,932 3,879 Municipal bonds 1,953 4 — — 1,953 4 Corporate bonds 18,123 64 3,767 84 21,890 148 Non-agency RMBS 1,318 1 — — 1,318 1 Equity securities 2,711 153 — — 2,711 153 Total temporarily impaired AFS securities $ 176,385 $ 1,340 $ 195,463 $ 3,217 $ 371,848 $ 4,557 |
Trading Securities | The table below summarizes the number of investment securities in an unrealized loss position. September 30, December 31, 2014 Securities available for sale: SBA-guaranteed securities 11 19 Mortgage-backed securities issued by GSEs 59 76 Municipal bonds 2 6 Corporate bonds 13 5 Collateralized loan obligations 3 — Non-agency RMBS 2 1 Non-agency CMBS 1 — Equity securities 3 4 Total number of AFS securities in an unrealized loss position 94 111 Securities held to maturity: Municipal bonds — — Total number of investment securities in an unrealized loss position 94 111 |
Schedule of amortized cost and fair value by contractual maturity | The amortized cost and fair values of securities available for sale, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2015 December 31, 2014 Amortized cost Fair value Amortized cost Fair value Securities available for sale: Due within one year $ 67,453 $ 68,128 $ 30,365 $ 30,536 Due after one year through five years 337,798 339,441 294,557 295,252 Due after five years through ten years 266,568 265,783 313,733 311,313 Due after ten years 38,495 38,424 32,484 32,455 Equity securities 2,381 1,716 3,017 2,865 $ 712,695 $ 713,492 $ 674,156 $ 672,421 Securities held to maturity: Due after one year through five years $ 31,541 $ 32,268 $ 20,177 $ 20,747 Due after five years through ten years 4,083 4,182 15,836 16,092 Due after ten years 3,668 3,826 3,607 3,747 $ 39,292 $ 40,276 $ 39,620 $ 40,586 The following table summarizes securities gains for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Gross gains on sales of securities available for sale $ — $ 217 $ 85 $ 435 Gross losses on sales of securities available for sale — (313 ) — (313 ) Total securities gains (losses) $ — $ (96 ) $ 85 $ 122 |
LOANS AND ALLOWANCE FOR LOAN 23
LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Receivables [Abstract] | |
Schedule of loans by type | The following table summarizes the Company's loans by type. September 30, December 31, 2014 Commercial: Commercial real estate $ 1,428,694 $ 1,355,536 Commercial and industrial 526,658 468,848 Construction and development 317,514 370,807 Consumer: Residential real estate 347,265 360,249 Construction and development 50,281 30,061 Home equity 274,151 276,662 Other consumer 36,196 36,874 Gross loans 2,980,759 2,899,037 Less: Deferred loan fees (980 ) (771 ) Allowance for loan losses (9,000 ) (7,817 ) Net loans $ 2,970,779 $ 2,890,449 |
Schedule of contractually required payments | The following table relates to acquired Yadkin PCI loans and summarizes the contractually required payments, which includes principal and interest, expected cash flows to be collected, and the fair value of acquired PCI loans at the merger date. Yadkin Merger July 4, 2014 Contractually required payments $ 110,365 Nonaccretable difference (21,102 ) Cash flows expected to be collected at acquisition 89,263 Accretable yield (8,604 ) Fair value of PCI loans at acquisition $ 80,659 |
Schedule of changes in accretable yield or income expected to be collected | The following table summarizes changes in accretable yield, or income expected to be collected, related to all of the Company's PCI loans for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Balance, beginning of period $ 24,100 $ 20,209 $ 25,181 $ 25,349 Loans purchased — 8,604 — 8,604 Accretion of income (3,246 ) (3,831 ) (10,164 ) (9,879 ) Reclassifications from nonaccretable difference 606 499 4,661 2,973 Other, net 2,100 878 3,882 (688 ) Balance, end of period $ 23,560 $ 26,359 $ 23,560 $ 26,359 |
Schedule of activity in allowance for loan losses | The following table relates to acquired Yadkin purchased non-impaired loans and provides the contractually required payments, fair value, and estimate of contractual cash flows not expected to be collected at the merger date. Yadkin Merger July 4, 2014 Contractually required payments $ 1,502,793 Fair value of acquired loans at acquisition 1,292,020 Contractual cash flows not expected to be collected 36,219 |
Schedule of purchased non-impaired loans | The following tables summarize the activity in the allowance for loan losses for the periods presented. Commercial Real Estate Commercial and Industrial Commercial Construction Residential Real Estate Consumer Construction Home Equity Other Consumer Total Three months ended September 30, 2015 Beginning balance $ 3,137 $ 1,960 $ 665 $ 1,327 $ 269 $ 775 $ 225 $ 8,358 Charge-offs (103 ) (406 ) (134 ) (312 ) — (475 ) (101 ) (1,531 ) Recoveries 44 429 10 57 — 9 48 597 Provision for loan losses 319 185 201 232 (15 ) 593 61 1,576 Ending balance $ 3,397 $ 2,168 $ 742 $ 1,304 $ 254 $ 902 $ 233 $ 9,000 Nine months ended September 30, 2015 Beginning balance $ 2,796 $ 1,274 $ 1,691 $ 1,237 $ 194 $ 546 $ 79 $ 7,817 Charge-offs (359 ) (1,377 ) (201 ) (442 ) — (793 ) (349 ) (3,521 ) Recoveries 56 679 20 109 27 163 119 1,173 Provision for loan losses 904 1,592 (768 ) 400 33 986 384 3,531 Ending balance $ 3,397 $ 2,168 $ 742 $ 1,304 $ 254 $ 902 $ 233 $ 9,000 Three months ended September 30, 2014 Beginning balance $ 2,553 $ 878 $ 1,393 $ 1,786 $ 181 $ 561 $ 99 $ 7,451 Charge-offs (113 ) (170 ) (70 ) (251 ) — (100 ) (78 ) (782 ) Recoveries 13 3 67 49 — 14 10 156 Provision for loan losses 554 188 115 (129 ) 4 25 59 816 Ending balance $ 3,007 $ 899 $ 1,505 $ 1,455 $ 185 $ 500 $ 90 $ 7,641 Nine months ended September 30, 2014 Beginning balance $ 2,419 $ 805 $ 1,400 $ 1,673 $ 187 $ 476 $ 83 $ 7,043 Charge-offs (355 ) (616 ) (266 ) (458 ) — (371 ) (210 ) (2,276 ) Recoveries 18 31 69 73 — 90 23 304 Provision for loan losses 925 679 302 167 (2 ) 305 194 2,570 Ending balance $ 3,007 $ 899 $ 1,505 $ 1,455 $ 185 $ 500 $ 90 $ 7,641 The following tables summarize the ending allowance for loans losses and the recorded investment in loans by portfolio segment and impairment method. September 30, 2015 Commercial Real Estate Commercial and Industrial Commercial Construction Residential Real Estate Consumer Construction Home Equity Other Consumer Total Allowance for loan losses : Ending balance: Individually evaluated for impairment $ 209 $ 138 $ 58 $ 132 $ — $ — $ — $ 537 Collectively evaluated for impairment 2,771 2,009 679 637 248 555 166 7,065 Purchased credit-impaired 417 21 5 535 6 347 67 1,398 Total $ 3,397 $ 2,168 $ 742 $ 1,304 $ 254 $ 902 $ 233 $ 9,000 Loans : Ending balance: Individually evaluated for impairment $ 14,070 $ 3,120 $ 461 $ 3,439 $ — $ 19 $ — $ 21,109 Collectively evaluated for impairment 1,319,836 509,184 298,963 316,924 48,894 270,335 35,853 2,799,989 Purchased credit-impaired 94,788 14,354 18,090 26,902 1,387 3,797 343 159,661 Total $ 1,428,694 $ 526,658 $ 317,514 $ 347,265 $ 50,281 $ 274,151 $ 36,196 $ 2,980,759 December 31, 2014 Commercial Real Estate Commercial and Industrial Commercial Construction Residential Real Estate Consumer Construction Home Equity Other Consumer Total Allowance for loan losses : Ending balance: Individually evaluated for impairment $ 158 $ 229 $ — $ — $ — $ 3 $ — $ 390 Collectively evaluated for impairment 2,177 952 1,590 681 194 456 79 6,129 Purchased credit-impaired 461 93 101 556 — 87 — 1,298 Total $ 2,796 $ 1,274 $ 1,691 $ 1,237 $ 194 $ 546 $ 79 $ 7,817 Loans : Ending balance: Individually evaluated for impairment $ 5,398 $ 2,343 $ 910 $ 928 $ — $ 406 $ — $ 9,985 Collectively evaluated for impairment 1,227,597 452,487 337,540 328,693 28,436 271,928 36,244 2,682,925 Purchased credit-impaired 122,541 14,018 32,357 30,628 1,625 4,328 630 206,127 Total $ 1,355,536 $ 468,848 $ 370,807 $ 360,249 $ 30,061 $ 276,662 $ 36,874 $ 2,899,037 |
Schedule risk category of loans by class of loans | The following tables summarize the risk category of loans by class of loans. Pass Special Mention Substandard Doubtful Total September 30, 2015 Non-PCI Loans Commercial: Real estate $ 1,277,936 $ 32,061 $ 23,909 $ — $ 1,333,906 Commercial and industrial 492,049 4,128 16,127 — 512,304 Construction and development 295,080 3,353 936 55 299,424 Consumer: Residential real estate 307,614 5,028 7,721 — 320,363 Construction and development 47,407 744 743 — 48,894 Home equity 261,375 4,685 4,294 — 270,354 Other consumer 35,135 326 392 — 35,853 Total $ 2,716,596 $ 50,325 $ 54,122 $ 55 $ 2,821,098 PCI Loans Commercial: Real estate $ 43,698 $ 32,909 $ 18,181 $ — $ 94,788 Commercial and industrial 12,323 669 1,362 — 14,354 Construction and development 7,131 4,647 6,312 — 18,090 Consumer: Residential real estate 12,203 7,439 7,260 — 26,902 Construction and development 350 407 630 — 1,387 Home equity 421 2,058 1,087 231 3,797 Other consumer 1 277 65 — 343 Total $ 76,127 $ 48,406 $ 34,897 $ 231 $ 159,661 Pass Special Mention Substandard Doubtful Total December 31, 2014 Non-PCI Loans Commercial: Real estate $ 1,187,938 $ 32,142 $ 12,915 $ — $ 1,232,995 Commercial and industrial 433,093 15,148 6,510 79 454,830 Construction and development 334,213 2,128 2,109 — 338,450 Consumer: Residential real estate 316,743 4,527 8,351 — 329,621 Construction and development 27,447 735 254 — 28,436 Home equity 264,953 4,238 3,143 — 272,334 Other consumer 35,736 237 269 2 36,244 Total $ 2,600,123 $ 59,155 $ 33,551 $ 81 $ 2,692,910 PCI Loans Commercial: Real estate $ 57,095 $ 45,711 $ 19,735 $ — $ 122,541 Commercial and industrial 7,408 2,936 3,674 — 14,018 Construction and development 6,857 16,374 9,126 — 32,357 Consumer: Residential real estate 12,703 8,206 9,719 — 30,628 Construction and development 189 723 713 — 1,625 Home equity 143 2,827 1,358 — 4,328 Other consumer 2 488 140 — 630 Total $ 84,397 $ 77,265 $ 44,465 $ — $ 206,127 |
Schedule of past due status of loan portfolio based on contractual terms | The following tables summarize the past due status of non-PCI loans based on contractual terms. 30-89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total September 30, 2015 Non-PCI Loans Commercial: Real estate $ 8,836 $ 5,071 $ 13,907 $ 1,319,999 $ 1,333,906 Commercial and industrial 4,503 2,299 6,802 505,502 512,304 Construction and development 128 539 667 298,757 299,424 Consumer: Residential real estate 3,048 2,684 5,732 314,631 320,363 Construction and development 564 535 1,099 47,795 48,894 Home equity 4,992 1,253 6,245 264,109 270,354 Other consumer 663 82 745 35,108 35,853 Total $ 22,734 $ 12,463 $ 35,197 $ 2,785,901 $ 2,821,098 30-89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total December 31, 2014 Non-PCI Loans Commercial: Real estate $ 7,971 $ 2,383 $ 10,354 $ 1,222,641 $ 1,232,995 Commercial and industrial 5,612 1,707 7,319 447,511 454,830 Construction and development 1,162 369 1,531 336,919 338,450 Consumer: Residential real estate 4,872 2,210 7,082 322,539 329,621 Construction and development 569 12 581 27,855 28,436 Home equity 3,985 395 4,380 267,954 272,334 Other Consumer 797 70 867 35,377 36,244 Total $ 24,968 $ 7,146 $ 32,114 $ 2,660,796 $ 2,692,910 |
Schedule of recorded investment of loans on nonaccrual status and loans greater than 90 days past due | The following table summarizes the recorded investment of non-PCI loans on nonaccrual status and loans greater than 90 days past due and accruing by class. September 30, 2015 December 31, 2014 Nonaccrual Loans greater than 90 days past due and accruing Nonaccrual Loans greater than 90 days past due and accruing Non-PCI Loans Commercial: Commercial real estate $ 14,816 $ 445 $ 5,685 $ — Commercial and industrial 4,079 146 4,594 2 Construction and development 594 — 1,692 — Consumer: Residential real estate 4,812 — 3,755 — Construction and development 699 — 254 — Home equity 2,587 — 1,721 — Other consumer 243 1 248 — Total $ 27,830 $ 592 $ 17,949 $ 2 |
Schedule of impairment loans | The following table provides information on impaired loans. This table excludes PCI loans and loans evaluated collectively as a homogeneous group. Recorded Investment With a Recorded Allowance Recorded Investment With no Recorded Allowance Total Related Allowance Unpaid Principal Balance September 30, 2015 Non-PCI Loans Commercial: Commercial real estate $ 702 $ 13,368 $ 14,070 $ 209 $ 14,756 Commercial and industrial 504 2,616 3,120 138 4,052 Construction and development 282 179 461 58 1,291 Consumer: Residential real estate 1,923 1,516 3,439 132 4,812 Home equity — 19 19 — 2,829 Total $ 3,411 $ 17,698 $ 21,109 $ 537 $ 27,740 December 31, 2014 Non-PCI Loans Commercial: Commercial real estate $ 885 $ 4,513 $ 5,398 $ 158 $ 5,330 Commercial and industrial 525 1,818 2,343 229 2,718 Construction and development — 910 910 — 1,971 Consumer: Residential real estate — 928 928 — 3,863 Home equity 62 344 406 3 1,920 Other consumer — — — — — Total $ 1,472 $ 8,513 $ 9,985 $ 390 $ 15,802 |
Schedule of impaired financing receivables | Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Average Balance Interest Income Average Balance Interest Income Average Balance Interest Income Average Balance Interest Income Non-PCI Loans Commercial: Commercial real estate $ 12,915 $ 8 $ 9,523 $ 38 $ 9,734 $ 33 $ 6,932 $ 78 Commercial and industrial 3,113 2 918 — 2,732 3 726 — Construction and development 320 — 1,863 — 686 — 2,111 — Consumer: Residential real estate 3,276 22 1,423 7 2,184 65 1,180 10 Construction and development — — — — — — 81 — Home equity 20 — 418 — 213 — 420 — Other consumer — — — — — — 4 — Total $ 19,644 $ 32 $ 14,145 $ 45 $ 15,549 $ 101 $ 11,454 $ 88 |
Schedule of TDRs on financing receivables | The following table provides the number and recorded investment of TDRs outstanding. September 30, 2015 December 31, 2014 Recorded Investment Number Recorded Investment Number TDRs: Commercial real estate $ 4,692 6 $ 4,215 7 Commercial and industrial 811 11 172 4 Commercial construction 178 2 131 2 Residential real estate 1,626 4 1,770 6 Home equity 19 1 83 2 Consumer — — — — Total $ 7,326 24 $ 6,371 21 The following tables provide the number and recorded investment of TDRs modified during the three and nine months ended September 30, 2015 and 2014 . TDRs Modified Three months ended September 30, 2015 Three months ended September 30, 2014 Recorded Investment Number Recorded Investment Number TDRs: Below market interest rate modifications: Commercial real estate $ 255 5 $ 634 2 Commercial and industrial 196 1 58 1 Commercial construction — — 417 1 Residential real estate — — 424 2 Home equity — — — — Consumer — — — — Total $ 451 6 $ 1,533 $ 6 TDRs Modified Nine months ended September 30, 2015 Nine months ended September 30, 2014 Recorded Investment Number Recorded Investment Number TDRs: Below market interest rate modifications: Commercial real estate $ 902 7 $ 1,896 7 Commercial and industrial 196 1 62 2 Commercial construction — — 417 1 Residential real estate 398 1 424 2 Home equity — — — — Consumer — — — — Total $ 1,496 9 $ 2,799 $ 12 |
LOAN SERVICING (Tables)
LOAN SERVICING (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Transfers and Servicing [Abstract] | |
Schedule of servicing asset | The table below summarizes the activity in the SBA-guaranteed loan servicing asset for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Balance at beginning of period $ 3,936 2,127 $ 3,081 $ 1,759 Additions 786 688 1,881 1,186 Amortization (157 ) (73 ) (397 ) (203 ) Balance at end of period $ 4,565 2,742 $ 4,565 $ 2,742 The following table summarizes MSR activity for the 2015 periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Balance at beginning of period before valuation allowance $ 4,688 $ — $ 4,284 $ — Acquired Yadkin MSRs at fair value — 4,025 — 4,025 Additions 452 308 1,457 308 Repayments (65 ) (65 ) (309 ) (65 ) Amortization (185 ) (138 ) (542 ) (138 ) Balance at end of period before valuation allowance 4,890 4,130 4,890 4,130 Valuation allowance at end of period (138 ) (65 ) (138 ) (65 ) Balance at end of period after valuation allowance $ 4,752 $ 4,065 $ 4,752 $ 4,065 |
Schedule of Servicing Liabilities at Fair Value | The characteristics and sensitivity of the fair value of MSRs to changes in key assumptions is included in the accompanying table. September 30, 2015 December 31, 2014 Composition of mortgage loans serviced for others: Fixed rate loans 99.89 % 99.86 % Adjustable rate loans 0.11 % 0.14 % Total 100.00 % 100.00 % Weighted average life (years) 5.78 5.77 Prepayment speed 12.54 % 12.62 % Discount rate 9.49 % 9.60 % Effect on fair value due to change in interest rates: + 0.25% $ 716 $ 566 + 0.50% 1,064 801 - 0.25% (760 ) (668 ) - 0.50% (962 ) (844 ) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of contractual amount of off-balance sheet commitments | The following table is a summary of the contractual amount of the Company’s exposure to off-balance sheet commitments. September 30, December 31, 2014 Lending commitments: Commitments to extend credit $ 779,644 $ 658,925 Commercial letters of credit 19,046 12,421 Other commitments: Standby letters of credit issued by the FHLB on the Bank's behalf 10,000 10,000 Capital commitment to private investment funds 3,085 2,280 |
DERIVATIVE FINANCIAL INSTRUME26
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of key terms of each swap | The following table summarizes key terms of each interest rate cap. Interest Rate Cap Notional Amount Effective Start Date Maturity Date Strike Rate Underlying Index of Cap Variable Rate on Underlying Debt Cap 1 $ 7,500 July 1, 2012 July 1, 2017 0.47 % 3-Month LIBOR 3-Month LIBOR + 4.00% Cap 2 8,000 July 7, 2012 July 7, 2017 0.47 % 3-Month LIBOR 3-Month LIBOR + 3.10% Cap 3 25,000 September 15, 2014 September 15, 2019 1.82 % 3-Month LIBOR 3-Month LIBOR + 1.32% Cap 4 10,000 September 30, 2014 September 30, 2019 1.85 % 3-Month LIBOR 3-Month LIBOR + 2.80% $ 50,500 The following table summarizes information regarding the four terminated interest rate swaps. Terminated Interest Rate Swap Notional Amount Original Effective Start Date Original Maturity Date Date Terminated Termination Fee Paid Terminated Swap 1 $ 25,000 April 6, 2015 April 5, 2020 March 27, 2015 $ 123 Terminated Swap 2 25,000 May 5, 2015 May 5, 2020 March 27, 2015 122 Terminated Swap 3 25,000 June 5, 2015 June 5, 2020 March 27, 2015 121 Terminated Swap 4 25,000 August 5, 2015 August 5, 2020 March 27, 2015 921 $ 100,000 $ 1,287 The following table summarizes key terms of each active interest rate swap. Interest Rate Swap Notional Amount Effective Start Date Maturity Date Pay Fixed Rate Receive Floating Rate Swap 1 $ 25,000 October 1, 2014 August 31, 2017 1.197 % 1-Month LIBOR + 0.10% Swap 2 25,000 October 16, 2014 August 16, 2018 1.596 1-Month LIBOR + 0.13% Swap 3 25,000 February 5, 2016 February 5, 2021 2.703 3-Month LIBOR Swap 4 50,000 August 5, 2016 August 5, 2021 2.882 3-Month LIBOR Swap 5 25,000 October 5, 2017 October 5, 2027 2.540 3-Month LIBOR Swap 6 25,000 March 5, 2018 March 5, 2028 2.576 3-Month LIBOR $ 175,000 |
Schedule of balance sheet location and fair value amounts of derivative instruments | The following table summarizes the balance sheet location and fair value amounts of derivative instruments grouped by the underlying hedged instrument. September 30, 2015 December 31, 2014 Balance Sheet Location Notional Amount Fair Value Notional Amount Fair Value FHLB advances: Interest rate swaps Other assets $ — $ — $ 75,000 $ 795 Interest rate swaps Other liabilities 125,000 4,797 100,000 2,249 Brokered money market deposits: Interest rate swaps Other liabilities 50,000 679 50,000 200 Subordinated term loan: Interest rate cap Other liabilities 7,500 166 7,500 128 TRUPs: Interest rate caps Other assets 43,000 204 43,000 1,104 Mortgage loan commitments: Interest rate lock commitments Other assets 36,857 640 23,274 342 Forward sale commitments Other liabilities 63,690 108 34,727 49 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Components of change in fair value of level 3 available for sale securities | The following table provides the components of the change in fair value of Level 3 available for sale securities for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Level 3 AFS securities at beginning of period $ 11,403 $ 6,793 $ 11,290 $ 7,583 Purchases 5,390 4,600 5,390 4,600 Sales, calls or maturities — — — (1,000 ) Changes in unrealized gains and losses (215 ) 30 (102 ) 240 Level 3 AFS securities at end of period $ 16,578 $ 11,423 $ 16,578 $ 11,423 |
Schedule of changes in fair value of interest rate lock commitments | The following table provides the components of the change in fair value of interest rate lock commitments for the periods presented. Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Interest rate lock commitments at beginning of period $ 483 $ 296 $ 342 $ 354 Fair value of acquired Yadkin interest rate lock commitments — 231 — 231 Issuances 1,824 906 4,609 1,529 Settlements (1,667 ) (986 ) (4,311 ) (1,667 ) Interest rate lock commitments at end of period $ 640 $ 447 $ 640 $ 447 |
Fair value and measurement level of assets and liabilities | The following tables summarize fair value information for assets and liabilities measured on a recurring and nonrecurring basis. Total Level 1 Level 2 Level 3 September 30, 2015 Measured at fair value on a recurring basis: Securities available for sale: GSE obligations $ 20,057 $ — $ 20,057 $ — SBA-guaranteed securities 58,176 58,176 — — Mortgage-backed securities issued by GSE 400,368 — 400,368 — Municipal bonds 50,094 — 48,995 1,099 Corporate bonds 130,852 2,525 112,848 15,479 Collateralized loan obligations 47,504 — 47,504 — Non-agency RMBS 4,027 — 4,027 — Non-agency CMBS 453 — 453 — Other debt securities 245 245 — — Equity securities 1,716 1,716 — — SBA-guaranteed loans held for sale 11,036 — 11,036 — SBA loans held for investment 17,142 — 17,142 — Derivative assets 844 — 204 640 Derivative liabilities 5,750 — 5,750 — Measured at fair value on a non-recurring basis: Impaired loans $ 20,572 $ — $ — $ 20,572 Foreclosed assets 11,793 — — 11,793 Total Level 1 Level 2 Level 3 December 31, 2014 Measured at fair value on a recurring basis: Securities available for sale: GSE obligations $ 14,944 $ — $ 14,944 $ — SBA-guaranteed securities 60,120 60,120 — — Mortgage-backed securities issued by GSE 425,283 — 425,283 — Municipal bonds 40,258 — 40,258 — Corporate bonds 119,912 2,545 106,077 11,290 Non-agency RMBS 4,963 — 4,963 — Non-agency CMBS 3,578 — 3,578 — Other debt securities 498 498 — — Equity securities 2,865 2,865 — — SBA-guaranteed loans held for sale 8,365 — 8,365 — SBA loans held for investment 8,906 — 8,906 — Derivative assets 2,368 — 2,026 342 Derivative liabilities 2,497 — 2,497 — Measured at fair value on a non-recurring basis: Impaired loans $ 9,595 $ — $ — $ 9,595 Foreclosed assets 12,891 — — 12,891 |
Quantitative Information about level 3 fair value measurements | The table below outlines the valuation techniques, unobservable inputs, and the range of quantitative inputs used in the valuations. Fair Value Valuation Technique Unobservable Input Range September 30, 2015 December 31, 2014 Recurring measurements: Investment securities Pricing model Illiquidity or credit factor in discount rates 1-2% $ 16,578 $ 11,290 Interest rate lock commitments Pricing model Pull through rates 80-95% 640 342 Nonrecurring measurements: Impaired loans Discounted appraisals Collateral discounts 15-50% 20,572 9,595 Discounted expected cash flows Expected loss rates 0-75% Discount rates 2-8% Foreclosed assets Discounted appraisals Collateral discounts 15-50% 11,793 12,891 |
Schedule of carrying amounts and estimated fair values of financial instruments | The following tables summarize the carrying amounts and estimated fair values of the Company's financial instruments. September 30, 2015 Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 77,755 $ 77,755 $ 77,755 $ — $ — Investment securities available for sale 713,492 713,492 62,662 634,252 16,578 Investment securities held to maturity 39,292 40,276 — 40,276 — Loans held for sale 37,962 37,962 — 37,962 — Loans, net 2,970,779 3,013,484 — 17,142 2,996,342 Purchased accounts receivable 69,383 69,383 — 69,383 — Federal Home Loan Bank stock 22,932 22,932 — 22,932 — Derivative assets 844 844 — 204 640 Accrued interest receivable 12,502 12,502 — 12,502 — Financial liabilities: Deposits 3,247,769 3,252,202 — 3,252,202 — Short-term borrowings 395,500 395,500 — — 395,500 Long-term debt 129,859 133,287 — — 133,287 Derivative liabilities 5,750 5,750 — 5,750 — Accrued interest payable 1,903 1,903 — 1,903 — December 31, 2014 Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 132,365 $ 132,365 $ 132,365 $ — $ — Investment securities available for sale 672,421 672,421 66,028 595,103 11,290 Investment securities held to maturity 39,620 40,404 — 40,404 — Loans held for sale 20,205 20,205 — 20,205 — Loans, net 2,890,449 2,919,573 — 1,241 2,918,332 Purchased accounts receivable 44,821 44,821 — 44,821 — Federal Home Loan Bank stock 19,499 19,499 — 19,499 — Derivative assets 2,368 2,368 — 2,027 341 Accrued interest receivable 12,071 12,071 — 12,071 — Financial liabilities: Deposits 3,247,364 3,245,431 — 3,245,431 — Short-term borrowings 250,500 250,500 — — 250,500 Long-term debt 180,164 183,326 — — 183,326 Derivative liabilities 2,497 2,497 — 2,497 — Accrued interest payable 2,688 2,688 — 2,688 — |
CHANGES IN ACCUMULATED OTHER 28
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | |
Schedule of accumulated other comprehensive income (loss) | The following table summarizes the activity in accumulated other comprehensive income for the periods presented. All amounts are net of tax. Unrealized Net Gains (Losses) on AFS Securities Unrealized Net Gains (Losses) on Cash Flow Hedges Total Three Months Ended Balance at July 1, 2015 $ (2,479 ) $ (1,466 ) $ (3,945 ) Other comprehensive income (loss) before reclassifications 2,972 (3,176 ) (204 ) Reclassification of amounts into interest expense from termination of interest rate swaps — 21 21 Net other comprehensive income (loss) during period 2,972 (3,155 ) (183 ) Balance at September 30, 2015 $ 493 $ (4,621 ) $ (4,128 ) Balance at July 1, 2014 $ (2,151 ) $ 1,003 $ (1,148 ) Other comprehensive income (loss) before reclassifications (2,065 ) 262 (1,803 ) Amounts reclassified for securities gains 59 — 59 Net other comprehensive income (loss) during period (2,006 ) 262 (1,744 ) Balance at September 30, 2014 $ (4,157 ) $ 1,265 $ (2,892 ) Nine Months Ended Balance at January 1, 2015 $ (1,185 ) $ (1,059 ) (2,244 ) Other comprehensive income (loss) before reclassifications 1,730 (3,588 ) (1,858 ) Reclassification of gains on AFS securities (52 ) — (52 ) Reclassification of amounts into interest expense from termination of interest rate swaps — 26 26 Net other comprehensive income (loss) during period 1,678 (3,562 ) (1,884 ) Balance at September 30, 2015 $ 493 $ (4,621 ) $ (4,128 ) Balance at January 1, 2014 $ (6,553 ) $ 2,381 $ (4,172 ) Other comprehensive income (loss) before reclassifications 2,471 (1,116 ) 1,355 Reclassification of gains on AFS securities (75 ) — (75 ) Net other comprehensive income (loss) during period 2,396 (1,116 ) 1,280 Balance at September 30, 2014 $ (4,157 ) $ 1,265 $ (2,892 ) |
BASIS OF PRESENTATION AND SIG29
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Jul. 04, 2014 | |
Other assets | ||
Business Acquisition [Line Items] | ||
Debt issuance costs | $ 607 | |
Yadkin Financial Corporation | Vantagesouth Bancshares, Inc. | ||
Business Acquisition [Line Items] | ||
Stock exchange ratio | 0.3125 | |
Yadkin Financial Corporation | Piedmont Community Bank Holdings Inc | ||
Business Acquisition [Line Items] | ||
Stock exchange ratio | 6.28597 | |
Cash received per share | $ 6.6878 |
PER SHARE RESULTS (Details)
PER SHARE RESULTS (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Weighted Average Number of Shares Outstanding Reconciliation (in shares) [Abstract] | ||||
Weighted average number of common shares | 31,608,909 | 31,597,659 | 31,608,287 | 16,760,777 |
Effect of dilutive stock options and warrants | 77,241 | 4,533 | 39,579 | 1,527 |
Weighted average number of common shares and dilutive potential common shares | 31,686,150 | 31,602,192 | 31,647,866 | 16,762,304 |
Employee Stock Option | ||||
Weighted Average Number of Shares Outstanding Reconciliation (in shares) [Abstract] | ||||
Anti-dilutive securities | 33,695 | 51,247 | 34,695 | 17,270 |
Common Stock Warrants | ||||
Weighted Average Number of Shares Outstanding Reconciliation (in shares) [Abstract] | ||||
Anti-dilutive securities | 91,178 | 91,178 | 91,178 | 30,727 |
MERGERS AND ACQUISITIONS (Detai
MERGERS AND ACQUISITIONS (Details Textual) - Yadkin Financial Corporation | Jul. 04, 2014$ / sharesshares |
Shares issued in trust | 856,447 |
Shares issued | 17,300,000 |
Percentage of control | 55.00% |
Initial Fair Value Adjustments | |
Preferred stock, dividend rate (as a percentage) | 9.00% |
Series T and T-ACB Preferred Stock | |
Preferred stock | 28,405 |
Vantagesouth Bancshares, Inc. | |
Stock exchange ratio | 0.3125 |
Piedmont Community Bank Holdings Inc | |
Stock exchange ratio | 6.28597 |
Cash received per share | $ / shares | $ 6.6878 |
MERGERS AND ACQUISITIONS - Shar
MERGERS AND ACQUISITIONS - Shareholder Groups Immediately Prior to Mergers (Details) - Yadkin Financial Corporation $ / shares in Units, $ in Thousands | Jul. 04, 2014USD ($)$ / sharesshares |
Yadkin Financial Corporation | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 31,651,107 |
Percentage Ownership | 100.00% |
Market Value at $19.41 YDKN Share Price | $ | $ 614,348 |
Market price (in dollars per share) | $ / shares | $ 19.41 |
Yadkin Financial Corporation | Piedmont Community Bank Holdings Inc | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 9,219,406 |
Percentage Ownership | 29.10% |
Market Value at $19.41 YDKN Share Price | $ | $ 178,949 |
Yadkin Financial Corporation | Vantagesouth Bancshares, Inc. | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 7,195,127 |
Percentage Ownership | 22.70% |
Market Value at $19.41 YDKN Share Price | $ | $ 139,657 |
Yadkin Financial Corporation | Trust for Benefit of Employees | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 856,447 |
Percentage Ownership | 2.70% |
Market Value at $19.41 YDKN Share Price | $ | $ 16,624 |
Yadkin Financial Corporation | Piedmont Community Bank Holdings Inc and Vantage South Bancshares, Inc. | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 17,270,980 |
Percentage Ownership | 54.60% |
Market Value at $19.41 YDKN Share Price | $ | $ 335,230 |
Yadkin Financial Corporation | Yadkin Financial Corporation | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 14,380,127 |
Percentage Ownership | 45.40% |
Market Value at $19.41 YDKN Share Price | $ | $ 279,118 |
Piedmont Community Bank Holdings Inc | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 5,035,198 |
Percentage Ownership | 100.00% |
Market price (in dollars per share) | $ / shares | $ 122.01 |
Piedmont Community Bank Holdings Inc | Piedmont Community Bank Holdings Inc | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 1,466,664 |
Percentage Ownership | 29.10% |
Piedmont Community Bank Holdings Inc | Vantagesouth Bancshares, Inc. | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 1,144,633 |
Percentage Ownership | 22.70% |
Piedmont Community Bank Holdings Inc | Trust for Benefit of Employees | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 136,247 |
Percentage Ownership | 2.70% |
Piedmont Community Bank Holdings Inc | Piedmont Community Bank Holdings Inc and Vantage South Bancshares, Inc. | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 2,747,544 |
Percentage Ownership | 54.60% |
Piedmont Community Bank Holdings Inc | Yadkin Financial Corporation | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Shares, Outstanding | 2,287,654 |
Percentage Ownership | 45.40% |
MERGERS AND ACQUISITIONS - Calc
MERGERS AND ACQUISITIONS - Calculation of Purchase Price (Details) - Yadkin Financial Corporation $ / shares in Units, $ in Thousands | Jul. 04, 2014USD ($)$ / sharesshares |
Business Acquisition [Line Items] | |
Purchase price (in thousands) | $ | $ 279,115 |
Piedmont Community Bank Holdings Inc | |
Business Acquisition [Line Items] | |
Market price (in dollars per share) | $ / shares | $ 122.01 |
Shares, Outstanding | 5,035,198 |
Purchase price (in thousands) | $ | $ 279,115 |
Yadkin Financial Corporation | Piedmont Community Bank Holdings Inc | |
Business Acquisition [Line Items] | |
Shares, Outstanding | 2,287,654 |
MERGERS AND ACQUISITIOINS - Bal
MERGERS AND ACQUISITIOINS - Balance Sheet - Yadkin (Details) - USD ($) | Jul. 04, 2014 | Sep. 30, 2015 | Dec. 31, 2014 | [1] | |
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 54,667,000 | $ 65,312,000 | |||
Investment securities available for sale | 713,492,000 | 672,421,000 | |||
Loans, net | 2,970,779,000 | 2,890,449,000 | |||
Foreclosed assets | 11,793,000 | 12,891,000 | |||
Deferred tax asset, net | 54,402,000 | 73,059,000 | |||
Goodwill | 152,152,000 | 152,152,000 | |||
Accrued interest receivable and other assets | 44,033,000 | 36,506,000 | |||
Total assets | 4,362,226,000 | 4,268,034,000 | |||
Deposits | 3,247,769,000 | 3,247,364,000 | |||
Short-term borrowings | 395,500,000 | 250,500,000 | |||
Long-term debt | 129,859,000 | 180,164,000 | |||
Accrued interest payable and other liabilities | 32,301,000 | 32,204,000 | |||
Total liabilities | 3,805,429,000 | 3,710,232,000 | |||
Preferred stock | 0 | 28,405,000 | |||
Common stock warrants | $ 717,000 | $ 717,000 | |||
Yadkin Financial Corporation | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 36,116,000 | ||||
Investment securities available for sale | 257,655,000 | ||||
Loans held for sale | 15,696,000 | ||||
Loans, net | 1,372,679,000 | ||||
Federal Home Loan Bank stock, at cost | 3,778,000 | ||||
Premises and equipment | 37,860,000 | ||||
Bank-owned life insurance | 27,306,000 | ||||
Foreclosed assets | 1,670,000 | ||||
Deferred tax asset, net | 24,091,000 | ||||
Goodwill | 125,899,000 | ||||
Other intangible assets | 12,951,000 | ||||
Accrued interest receivable and other assets | 14,101,000 | ||||
Total assets | 1,929,802,000 | ||||
Deposits | 1,514,600,000 | ||||
Short-term borrowings | 72,879,000 | ||||
Long-term debt | 22,731,000 | ||||
Accrued interest payable and other liabilities | 11,355,000 | ||||
Total liabilities | 1,621,565,000 | ||||
Net assets acquired | 308,237,000 | ||||
Preferred stock | 28,405,000 | ||||
Common stock warrants | 717,000 | ||||
Total other equity interests | 29,122,000 | ||||
Purchase price | 279,115,000 | ||||
Yadkin Financial Corporation | Scenario, Previously Reported | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | 36,116,000 | ||||
Investment securities available for sale | 259,143,000 | ||||
Loans held for sale | 15,696,000 | ||||
Loans, net | 1,403,419,000 | ||||
Federal Home Loan Bank stock, at cost | 3,778,000 | ||||
Premises and equipment | 40,204,000 | ||||
Bank-owned life insurance | 27,306,000 | ||||
Foreclosed assets | 2,271,000 | ||||
Deferred tax asset, net | 16,955,000 | ||||
Goodwill | 0 | ||||
Other intangible assets | 1,665,000 | ||||
Accrued interest receivable and other assets | 16,330,000 | ||||
Total assets | 1,822,883,000 | ||||
Deposits | 1,509,581,000 | ||||
Short-term borrowings | 72,879,000 | ||||
Long-term debt | 38,217,000 | ||||
Accrued interest payable and other liabilities | 8,448,000 | ||||
Total liabilities | 1,629,125,000 | ||||
Net assets acquired | 193,758,000 | ||||
Preferred stock | 28,405,000 | ||||
Common stock warrants | 1,850,000 | ||||
Total other equity interests | 30,255,000 | ||||
Yadkin Financial Corporation | Initial Fair Value Adjustments | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | 0 | ||||
Investment securities available for sale | [2] | (1,488,000) | |||
Loans held for sale | [3] | 0 | |||
Loans, net | (30,740,000) | ||||
Federal Home Loan Bank stock, at cost | 0 | ||||
Premises and equipment | [4] | (2,344,000) | |||
Bank-owned life insurance | 0 | ||||
Foreclosed assets | [5] | (601,000) | |||
Deferred tax asset, net | [6] | 5,939,000 | |||
Goodwill | [7] | 124,172,000 | |||
Other intangible assets | [8] | 10,965,000 | |||
Accrued interest receivable and other assets | [9] | (2,229,000) | |||
Total assets | 103,674,000 | ||||
Deposits | [10] | 5,019,000 | |||
Short-term borrowings | 0 | ||||
Long-term debt | [11] | (15,486,000) | |||
Accrued interest payable and other liabilities | [12] | (338,000) | |||
Total liabilities | (10,805,000) | ||||
Net assets acquired | 114,479,000 | ||||
Preferred stock | [13] | 0 | |||
Common stock warrants | [14] | (1,133,000) | |||
Total other equity interests | (1,133,000) | ||||
Allowance loan losses | 16,449,000 | ||||
Fair value discount | $ (47,189,000) | ||||
Preferred stock, dividend rate (as a percentage) | 9.00% | ||||
Yadkin Financial Corporation | Initial Fair Value Adjustments | Common Stock Warrants | |||||
Business Acquisition [Line Items] | |||||
Number of warrants outstanding (in shares) | 91,178 | ||||
Volatility (as a percent) | 48.60% | ||||
Expected dividends | $ 0 | ||||
Risk free interest rate (as a percent) | 1.74% | ||||
Exercise price (in dollars per share) | $ 21.9 | ||||
Yadkin Financial Corporation | Measurement Period Adjustments | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 0 | ||||
Investment securities available for sale | 0 | ||||
Loans held for sale | 0 | ||||
Loans, net | 0 | ||||
Federal Home Loan Bank stock, at cost | 0 | ||||
Premises and equipment | 0 | ||||
Bank-owned life insurance | 0 | ||||
Foreclosed assets | 0 | ||||
Deferred tax asset, net | [15] | 1,197,000 | |||
Goodwill | [16] | 1,727,000 | |||
Other intangible assets | [17] | 321,000 | |||
Accrued interest receivable and other assets | [15] | 0 | |||
Total assets | 3,245,000 | ||||
Deposits | 0 | ||||
Short-term borrowings | 0 | ||||
Long-term debt | 0 | ||||
Accrued interest payable and other liabilities | [18] | 3,245,000 | |||
Total liabilities | 3,245,000 | ||||
Net assets acquired | 0 | ||||
Preferred stock | 0 | ||||
Common stock warrants | 0 | ||||
Total other equity interests | $ 0 | ||||
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. | ||||
[2] | Adjustment reflects opening fair value of securities portfolio, which was established as the new book basis of the portfolio. | ||||
[3] | Adjustment reflects the elimination of Yadkin's historical allowance for loan losses of $16,449 and the recording of a fair value discount of $47,189 on the loan portfolio. The fair value discount was calculated by forecasting cash flows over the expected remaining life of each loan and discounting those cash flows to present value using current market rates for similar loans. Forecasted cash flows include an estimate of lifetime credit losses on the loan portfolio. | ||||
[4] | Adjustment reflects fair value adjustments on certain acquired branch offices as well as certain software and computer equipment. | ||||
[5] | Adjustment reflects the write down of certain foreclosed assets based on current estimates of property values given current market conditions and additional discounts based on the Company's planned disposition strategy. | ||||
[6] | Adjustment reflects the tax impact of acquisition accounting fair value adjustments. | ||||
[7] | Goodwill represents the excess of the purchase price over the fair value of acquired net assets. | ||||
[8] | Adjustment reflects the fair value of the acquired core deposit intangible. | ||||
[9] | Adjustment reflects the impact of fair value adjustments on other assets, which include mortgage servicing assets, certain unusable prepaid expenses, and the elimination of accrued interest on purchased credit-impaired loans. | ||||
[10] | Adjustment reflects the fair value premium on time deposits, which was calculated by discounting future contractual interest payments at a current market interest rate. | ||||
[11] | Adjustments reflect the fair value adjustments for subordinated debt issued to fund trust preferred securities and long-term Federal Home Loan Bank ("FHLB") advances, which were calculated by discounting future contractual interest payments at a current market interest rate for similar instruments. For FHLB advances, the fair value adjustment is consistent with the prepayment penalty the FHLB would charge to terminate the advance. | ||||
[12] | Adjustments reflect accruals and fair value adjustments for other liabilities, which include the write-off of unearned income, deferred gains, and accrued liabilities that will not be paid. | ||||
[13] | No fair value adjustments were made to Yadkin's outstanding preferred stock. The acquisition date preferred dividend rate of 9.0 percent approximated the then-current market yield for issuances of similar perpetual preferred stock. The preferred stock was redeemable at the liquidation value on the acquisition date, and the Company expected the remaining life of the preferred stock would be relatively short. | ||||
[14] | The fair value of the common stock warrants was estimated using a Black-Scholes option pricing model assuming all 91,178 warrants will remain outstanding through expiration on July 24, 2019. Assumptions and inputs used in the option pricing model included stock price volatility of 48.6 percent, no dividends, a risk free interest rate of 1.74 percent, and an exercise price of $21.90 per common warrant. | ||||
[15] | Amount reflects adjustments to acquired deferred tax assets and the tax impact of adjustments (o) and (q). | ||||
[16] | Amount reflects adjustments to goodwill resulting from adjustments (o), (p) and (q). | ||||
[17] | Amount reflects an adjustment to estimated fair value of the acquired core deposit intangible. | ||||
[18] | Amount reflects the adjustment of change in control obligations existing under various employment agreements that were triggered by the Mergers, an increase in reserves for unfunded letters of credit, and additional accruals for certain legal matters and other liabilities. |
MERGERS AND ACQUISITIONS - Pro
MERGERS AND ACQUISITIONS - Pro Forma Information (Details) $ / shares in Units, $ in Thousands | 9 Months Ended |
Sep. 30, 2014USD ($)$ / sharesshares | |
Business Combinations [Abstract] | |
Net interest income | $ 118,700 |
Net income | 19,778 |
Net income available to common stockholders | $ 17,981 |
Basic income per common share | $ / shares | $ 0.58 |
Diluted income per common share | $ / shares | $ 0.57 |
Weighted average basic common shares outstanding (in shares) | shares | 31,193,728 |
Weighted average diluted common shares outstanding (in shares) | shares | 31,296,065 |
INVESTMENT SECURITIES (Details)
INVESTMENT SECURITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Securities available for sale: | |||
Amortized Cost | $ 712,695 | $ 674,156 | |
Gross Unrealized Gains | 4,502 | 2,822 | |
Gross Unrealized Losses | 3,705 | 4,557 | |
Investment securities available for sale | 713,492 | 672,421 | [1] |
GSE obligations | |||
Securities available for sale: | |||
Amortized Cost | 19,938 | 14,914 | |
Gross Unrealized Gains | 119 | 30 | |
Gross Unrealized Losses | 0 | 0 | |
Investment securities available for sale | 20,057 | 14,944 | |
SBA-guaranteed securities | |||
Securities available for sale: | |||
Amortized Cost | 58,133 | 60,408 | |
Gross Unrealized Gains | 288 | 84 | |
Gross Unrealized Losses | 245 | 372 | |
Investment securities available for sale | 58,176 | 60,120 | |
Mortgage-backed securities issued by GSEs | |||
Securities available for sale: | |||
Amortized Cost | 399,890 | 428,076 | |
Gross Unrealized Gains | 2,526 | 1,086 | |
Gross Unrealized Losses | 2,048 | 3,879 | |
Investment securities available for sale | 400,368 | 425,283 | |
Municipal bonds | |||
Securities available for sale: | |||
Amortized Cost | 49,522 | 39,907 | |
Gross Unrealized Gains | 613 | 355 | |
Gross Unrealized Losses | 41 | 4 | |
Investment securities available for sale | 50,094 | 40,258 | |
Securities held to maturity: | |||
Amortized Cost | 39,292 | ||
Gross Unrealized Gains | 984 | ||
Gross Unrealized Losses | 0 | ||
SBA loans held for investment | 40,276 | ||
Corporate bonds | |||
Securities available for sale: | |||
Amortized Cost | 130,683 | 118,799 | |
Gross Unrealized Gains | 839 | 1,261 | |
Gross Unrealized Losses | 670 | 148 | |
Investment securities available for sale | 130,852 | 119,912 | |
Securities held to maturity: | |||
Amortized Cost | 39,620 | ||
Gross Unrealized Gains | 966 | ||
Gross Unrealized Losses | 0 | ||
SBA loans held for investment | 40,586 | ||
Collateralized loan obligations | |||
Securities available for sale: | |||
Amortized Cost | 47,506 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 2 | ||
Investment securities available for sale | 47,504 | ||
Non-agency RMBS | |||
Securities available for sale: | |||
Amortized Cost | 3,943 | 4,961 | |
Gross Unrealized Gains | 98 | 3 | |
Gross Unrealized Losses | 14 | 1 | |
Investment securities available for sale | 4,027 | 4,963 | |
Non-agency CMBS | |||
Securities available for sale: | |||
Amortized Cost | 454 | 3,576 | |
Gross Unrealized Gains | 0 | 2 | |
Gross Unrealized Losses | 1 | 0 | |
Investment securities available for sale | 453 | 3,578 | |
Other debt securities | |||
Securities available for sale: | |||
Amortized Cost | 245 | 498 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Investment securities available for sale | 245 | 498 | |
Equity securities | |||
Securities available for sale: | |||
Amortized Cost | 2,381 | 3,017 | |
Gross Unrealized Gains | 19 | 1 | |
Gross Unrealized Losses | 684 | 153 | |
Investment securities available for sale | $ 1,716 | $ 2,865 | |
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
INVESTMENT SECURITIES (Details
INVESTMENT SECURITIES (Details 1) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Securities available for sale: | ||
Less Than 12 Months, Fair Value | $ 92,766 | $ 176,385 |
Less Than 12 Months, Unrealized Losses | 1,382 | 1,340 |
12 Months or More, Fair Value | 150,960 | 195,463 |
12 Months or More, Unrealized Losses | 2,323 | 3,217 |
Total Fair Value | 243,726 | 371,848 |
Total Unrealized Losses | 3,705 | 4,557 |
SBA-guaranteed securities | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 0 | 94 |
Less Than 12 Months, Unrealized Losses | 0 | 1 |
12 Months or More, Fair Value | 25,388 | 41,950 |
12 Months or More, Unrealized Losses | 245 | 371 |
Total Fair Value | 25,388 | 42,044 |
Total Unrealized Losses | 245 | 372 |
Mortgage-backed securities issued by GSEs | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 24,267 | 152,186 |
Less Than 12 Months, Unrealized Losses | 94 | 1,117 |
12 Months or More, Fair Value | 120,913 | 149,746 |
12 Months or More, Unrealized Losses | 1,954 | 2,762 |
Total Fair Value | 145,180 | 301,932 |
Total Unrealized Losses | 2,048 | 3,879 |
Municipal bonds | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 1,327 | 1,953 |
Less Than 12 Months, Unrealized Losses | 41 | 4 |
12 Months or More, Fair Value | 0 | 0 |
12 Months or More, Unrealized Losses | 0 | 0 |
Total Fair Value | 1,327 | 1,953 |
Total Unrealized Losses | 41 | 4 |
Corporate bonds | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 47,741 | 18,123 |
Less Than 12 Months, Unrealized Losses | 559 | 64 |
12 Months or More, Fair Value | 3,708 | 3,767 |
12 Months or More, Unrealized Losses | 111 | 84 |
Total Fair Value | 51,449 | 21,890 |
Total Unrealized Losses | 670 | 148 |
Collateralized loan obligations | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 17,383 | |
Less Than 12 Months, Unrealized Losses | 2 | |
12 Months or More, Fair Value | 0 | |
12 Months or More, Unrealized Losses | 0 | |
Total Fair Value | 17,383 | |
Total Unrealized Losses | 2 | |
Non-agency RMBS | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 81 | 1,318 |
Less Than 12 Months, Unrealized Losses | 1 | 1 |
12 Months or More, Fair Value | 951 | 0 |
12 Months or More, Unrealized Losses | 13 | 0 |
Total Fair Value | 1,032 | 1,318 |
Total Unrealized Losses | 14 | 1 |
Non-agency CMBS | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 453 | |
Less Than 12 Months, Unrealized Losses | 1 | |
12 Months or More, Fair Value | 0 | |
12 Months or More, Unrealized Losses | 0 | |
Total Fair Value | 453 | |
Total Unrealized Losses | 1 | 0 |
Equity securities | ||
Securities available for sale: | ||
Less Than 12 Months, Fair Value | 1,514 | 2,711 |
Less Than 12 Months, Unrealized Losses | 684 | 153 |
12 Months or More, Fair Value | 0 | 0 |
12 Months or More, Unrealized Losses | 0 | 0 |
Total Fair Value | 1,514 | 2,711 |
Total Unrealized Losses | $ 684 | $ 153 |
INVESTMENT SECURITIES (Detail38
INVESTMENT SECURITIES (Details 2) - investment_security | Sep. 30, 2015 | Dec. 31, 2014 |
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 94 | 111 |
Securities held to maturity: | ||
Available for sale securities and held-to-maturity securities, total number with unrealized losses | 94 | 111 |
SBA-guaranteed securities | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 11 | 19 |
Mortgage-backed securities issued by GSEs | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 59 | 76 |
Municipal bonds | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 2 | 6 |
Securities held to maturity: | ||
Number of held-to-maturity securities with unrealized losses | 0 | 0 |
Corporate bonds | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 13 | 5 |
Collateralized loan obligations | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 3 | 0 |
Non-agency RMBS | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 2 | 1 |
Non-agency CMBS | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 1 | 0 |
Equity securities | ||
Securities available for sale: | ||
Number of available for sale securities with unrealized losses | 3 | 4 |
INVESTMENT SECURITIES (Detail39
INVESTMENT SECURITIES (Details 3) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Securities available for sale: | |||
Due in one year or less, Amortized cost | $ 67,453 | $ 30,365 | |
Due from one to five years, Amortized cost | 337,798 | 294,557 | |
Due from five to ten years, Amortized cost | 266,568 | 313,733 | |
Due after ten years, Amortized cost | 38,495 | 32,484 | |
Equity Securities, Amortized cost | 2,381 | 3,017 | |
Amortized Cost | 712,695 | 674,156 | |
Due in one year or less, Fair value | 68,128 | 30,536 | |
Due from one to five years, Fair value | 339,441 | 295,252 | |
Due from five to ten years, Fair value | 265,783 | 311,313 | |
Due after ten years, Fair value | 38,424 | 32,455 | |
Equity Securities, Fair value | 1,716 | 2,865 | |
Fair value | 713,492 | 672,421 | [1] |
Securities held to maturity: | |||
Due after one year through five years, Amortized Cost | 31,541 | 20,177 | |
Due after five years through ten years, Amortized Cost | 4,083 | 15,836 | |
Due after ten years, Amortized Cost | 3,668 | 3,607 | |
Amortized cost | 39,292 | 39,620 | |
Due after one year through five years, Fair Value | 32,268 | 20,747 | |
Due after five years through ten years, Fair Value | 4,182 | 16,092 | |
Due after ten years, Fair Value | 3,826 | 3,747 | |
Fair value | $ 40,276 | $ 40,586 | |
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
INVESTMENT SECURITIES (Detail40
INVESTMENT SECURITIES (Details Textual) $ in Thousands | Sep. 30, 2015USD ($)investment_security | Dec. 31, 2014USD ($) |
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities with an unrealized loss position for more than 12 months | investment_security | 52 | |
12 Months or More, Unrealized Losses | $ 2,323 | $ 3,217 |
Investment securities, as a percentage of total stockholders' equity | 10.00% | 10.00% |
Carrying amount of investment securities pledged as collateral | $ 292,624 | $ 314,184 |
Corporate bonds | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities with an unrealized loss position for more than 12 months | investment_security | 1 | |
12 Months or More, Unrealized Losses | $ 111 | 84 |
Non-agency RMBS | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities with an unrealized loss position for more than 12 months | investment_security | 1 | |
12 Months or More, Unrealized Losses | $ 13 | $ 0 |
INVESTMENT SECURITIES - Securit
INVESTMENT SECURITIES - Securities Gains (Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Gross gains on sales of securities available for sale | $ 0 | $ 217 | $ 85 | $ 435 |
Gross losses on sales of securities available for sale | 0 | (313) | 0 | (313) |
Total securities gains (losses) | $ 0 | $ (96) | $ 85 | $ 122 |
LOANS AND ALLOWANCE FOR LOAN 42
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | $ 2,980,759 | $ 2,899,037 | |
Less: | |||
Deferred loan fees | (980) | (771) | |
Allowance for loan losses | (9,000) | (7,817) | [1] |
Net loans | 2,970,779 | 2,890,449 | |
Recorded investment of loans | 936,883 | 828,365 | |
Commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | 1,428,694 | 1,355,536 | |
Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | 526,658 | 468,848 | |
Construction and development | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | 317,514 | 370,807 | |
Residential real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | 347,265 | 360,249 | |
Construction and development | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | 50,281 | 30,061 | |
Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | 274,151 | 276,662 | |
Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Gross loans | $ 36,196 | $ 36,874 | |
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
LOANS AND ALLOWANCE FOR LOAN 43
LOANS AND ALLOWANCE FOR LOAN LOSSES (PCI Loans) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Jul. 04, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Fair value of PCI loans at acquisition | $ 179,074 | $ 228,956 | |
Yadkin Financial Corporation | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Contractually required payments | $ 110,365 | ||
Nonaccretable difference | (21,102) | ||
Cash flows expected to be collected at acquisition | 89,263 | ||
Accretable yield | (8,604) | ||
Fair value of PCI loans at acquisition | $ 80,659 |
LOANS AND ALLOWANCE FOR LOAN 44
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Purchased Credit-Impaired Loans [Roll Forward] | |||||
Balance, beginning of period | $ 24,100 | $ 20,209 | $ 25,181 | $ 25,349 | |
Loans purchased | 0 | 8,604 | 0 | 8,604 | |
Accretion of income | (3,246) | (3,831) | (10,164) | (9,879) | |
Reclassifications from nonaccretable difference | 606 | 499 | 4,661 | 2,973 | |
Other, net | 2,100 | 878 | 3,882 | (688) | |
Balance, end of period | 23,560 | $ 26,359 | 23,560 | $ 26,359 | |
Fair value of PCI loans at acquisition | $ 179,074 | $ 179,074 | $ 228,956 |
LOANS AND ALLOWANCE FOR LOAN 45
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 2) - Yadkin Financial Corporation $ in Thousands | Jul. 04, 2014USD ($) |
Business Acquisition [Line Items] | |
Contractually required payments | $ 1,502,793 |
Fair value of acquired loans at acquisition | 1,292,020 |
Contractual cash flows not expected to be collected | $ 36,219 |
LOANS AND ALLOWANCE FOR LOAN 46
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 3) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Dec. 31, 2014 | |
Allowance for loan losses | ||||||
Beginning balance | $ 8,358 | $ 7,451 | $ 7,817 | $ 7,043 | ||
Charge-offs | (1,531) | (782) | (3,521) | (2,276) | ||
Recoveries | 597 | 156 | 1,173 | 304 | ||
Provision for loan losses | 1,576 | 816 | 3,531 | 2,570 | ||
Ending balance | 9,000 | 7,641 | 9,000 | 7,641 | ||
Ending balance: | ||||||
Individually evaluated for impairment | $ 537 | $ 390 | ||||
Collectively evaluated for impairment | 7,065 | 6,129 | ||||
Total | 8,358 | 7,451 | 7,817 | 7,043 | 9,000 | 7,817 |
Ending balance: | ||||||
Individually evaluated for impairment | 21,109 | 9,985 | ||||
Collectively evaluated for impairment | 2,799,989 | 2,682,925 | ||||
Purchased credit-impaired | 159,661 | 206,127 | ||||
Total | 2,980,759 | 2,899,037 | ||||
Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 1,298 | |||||
Ending balance | 1,398 | 1,398 | ||||
Ending balance: | ||||||
Total | 1,398 | 1,298 | 1,398 | 1,298 | ||
Commercial real estate | ||||||
Allowance for loan losses | ||||||
Beginning balance | 3,137 | 2,553 | 2,796 | 2,419 | ||
Charge-offs | (103) | (113) | (359) | (355) | ||
Recoveries | 44 | 13 | 56 | 18 | ||
Provision for loan losses | 319 | 554 | 904 | 925 | ||
Ending balance | 3,397 | 3,007 | 3,397 | 3,007 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 209 | 158 | ||||
Collectively evaluated for impairment | 2,771 | 2,177 | ||||
Total | 3,137 | 2,553 | 2,796 | 2,419 | 3,397 | 2,796 |
Ending balance: | ||||||
Individually evaluated for impairment | 14,070 | 5,398 | ||||
Collectively evaluated for impairment | 1,319,836 | 1,227,597 | ||||
Purchased credit-impaired | 94,788 | 122,541 | ||||
Total | 1,428,694 | 1,355,536 | ||||
Commercial real estate | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 461 | |||||
Ending balance | 417 | 417 | ||||
Ending balance: | ||||||
Total | 417 | 461 | 417 | 461 | ||
Commercial and industrial | ||||||
Allowance for loan losses | ||||||
Beginning balance | 1,960 | 878 | 1,274 | 805 | ||
Charge-offs | (406) | (170) | (1,377) | (616) | ||
Recoveries | 429 | 3 | 679 | 31 | ||
Provision for loan losses | 185 | 188 | 1,592 | 679 | ||
Ending balance | 2,168 | 899 | 2,168 | 899 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 138 | 229 | ||||
Collectively evaluated for impairment | 2,009 | 952 | ||||
Total | 1,960 | 878 | 1,274 | 805 | 2,168 | 1,274 |
Ending balance: | ||||||
Individually evaluated for impairment | 3,120 | 2,343 | ||||
Collectively evaluated for impairment | 509,184 | 452,487 | ||||
Purchased credit-impaired | 14,354 | 14,018 | ||||
Total | 526,658 | 468,848 | ||||
Commercial and industrial | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 93 | |||||
Ending balance | 21 | 21 | ||||
Ending balance: | ||||||
Total | 21 | 93 | 21 | 93 | ||
Construction and development | ||||||
Allowance for loan losses | ||||||
Beginning balance | 665 | 1,393 | 1,691 | 1,400 | ||
Charge-offs | (134) | (70) | (201) | (266) | ||
Recoveries | 10 | 67 | 20 | 69 | ||
Provision for loan losses | 201 | 115 | (768) | 302 | ||
Ending balance | 742 | 1,505 | 742 | 1,505 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 58 | 0 | ||||
Collectively evaluated for impairment | 679 | 1,590 | ||||
Total | 665 | 1,393 | 1,691 | 1,400 | 742 | 1,691 |
Ending balance: | ||||||
Individually evaluated for impairment | 461 | 910 | ||||
Collectively evaluated for impairment | 298,963 | 337,540 | ||||
Purchased credit-impaired | 18,090 | 32,357 | ||||
Total | 317,514 | 370,807 | ||||
Construction and development | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 101 | |||||
Ending balance | 5 | 5 | ||||
Ending balance: | ||||||
Total | 5 | 101 | 5 | 101 | ||
Residential real estate | ||||||
Allowance for loan losses | ||||||
Beginning balance | 1,327 | 1,786 | 1,237 | 1,673 | ||
Charge-offs | (312) | (251) | (442) | (458) | ||
Recoveries | 57 | 49 | 109 | 73 | ||
Provision for loan losses | 232 | (129) | 400 | 167 | ||
Ending balance | 1,304 | 1,455 | 1,304 | 1,455 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 132 | 0 | ||||
Collectively evaluated for impairment | 637 | 681 | ||||
Total | 1,327 | 1,786 | 1,237 | 1,673 | 1,304 | 1,237 |
Ending balance: | ||||||
Individually evaluated for impairment | 3,439 | 928 | ||||
Collectively evaluated for impairment | 316,924 | 328,693 | ||||
Purchased credit-impaired | 26,902 | 30,628 | ||||
Total | 347,265 | 360,249 | ||||
Residential real estate | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 556 | |||||
Ending balance | 535 | 535 | ||||
Ending balance: | ||||||
Total | 535 | 556 | 535 | 556 | ||
Construction and development | ||||||
Allowance for loan losses | ||||||
Beginning balance | 269 | 181 | 194 | 187 | ||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries | 0 | 0 | 27 | 0 | ||
Provision for loan losses | (15) | 4 | 33 | (2) | ||
Ending balance | 254 | 185 | 254 | 185 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 248 | 194 | ||||
Total | 269 | 181 | 194 | 187 | 254 | 194 |
Ending balance: | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 48,894 | 28,436 | ||||
Purchased credit-impaired | 1,387 | 1,625 | ||||
Total | 50,281 | 30,061 | ||||
Construction and development | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 0 | |||||
Ending balance | 6 | 6 | ||||
Ending balance: | ||||||
Total | 6 | 0 | 6 | 0 | ||
Home equity | ||||||
Allowance for loan losses | ||||||
Beginning balance | 775 | 561 | 546 | 476 | ||
Charge-offs | (475) | (100) | (793) | (371) | ||
Recoveries | 9 | 14 | 163 | 90 | ||
Provision for loan losses | 593 | 25 | 986 | 305 | ||
Ending balance | 902 | 500 | 902 | 500 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 0 | 3 | ||||
Collectively evaluated for impairment | 555 | 456 | ||||
Total | 775 | 561 | 546 | 476 | 902 | 546 |
Ending balance: | ||||||
Individually evaluated for impairment | 19 | 406 | ||||
Collectively evaluated for impairment | 270,335 | 271,928 | ||||
Purchased credit-impaired | 3,797 | 4,328 | ||||
Total | 274,151 | 276,662 | ||||
Home equity | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 87 | |||||
Ending balance | 347 | 347 | ||||
Ending balance: | ||||||
Total | 347 | 87 | 347 | 87 | ||
Other consumer | ||||||
Allowance for loan losses | ||||||
Beginning balance | 225 | 99 | 79 | 83 | ||
Charge-offs | (101) | (78) | (349) | (210) | ||
Recoveries | 48 | 10 | 119 | 23 | ||
Provision for loan losses | 61 | 59 | 384 | 194 | ||
Ending balance | 233 | 90 | 233 | 90 | ||
Ending balance: | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 166 | 79 | ||||
Total | 225 | $ 99 | 79 | $ 83 | 233 | 79 |
Ending balance: | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 35,853 | 36,244 | ||||
Purchased credit-impaired | 343 | 630 | ||||
Total | 36,196 | 36,874 | ||||
Other consumer | Receivables Acquired with Deteriorated Credit Quality | ||||||
Allowance for loan losses | ||||||
Beginning balance | 0 | |||||
Ending balance | 67 | 67 | ||||
Ending balance: | ||||||
Total | $ 67 | $ 0 | $ 67 | $ 0 |
LOANS AND ALLOWANCE FOR LOAN 47
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 4) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 2,980,759 | $ 2,899,037 |
30-89 Days Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 8,836 | 7,971 |
Commercial, Commercial and industrial | 4,503 | 5,612 |
Commercial, Construction and development | 128 | 1,162 |
Consumer, Residential real estate | 3,048 | 4,872 |
Consumer, Construction and development | 564 | 569 |
Consumer, Home equity | 4,992 | 3,985 |
Consumer, Other consumer | 663 | 797 |
Total | 22,734 | 24,968 |
90 Days or Greater Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 5,071 | 2,383 |
Commercial, Commercial and industrial | 2,299 | 1,707 |
Commercial, Construction and development | 539 | 369 |
Consumer, Residential real estate | 2,684 | 2,210 |
Consumer, Construction and development | 535 | 12 |
Consumer, Home equity | 1,253 | 395 |
Consumer, Other consumer | 82 | 70 |
Total | 12,463 | 7,146 |
Total Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 13,907 | 10,354 |
Commercial, Commercial and industrial | 6,802 | 7,319 |
Commercial, Construction and development | 667 | 1,531 |
Consumer, Residential real estate | 5,732 | 7,082 |
Consumer, Construction and development | 1,099 | 581 |
Consumer, Home equity | 6,245 | 4,380 |
Consumer, Other consumer | 745 | 867 |
Total | 35,197 | 32,114 |
Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 1,319,999 | 1,222,641 |
Commercial, Commercial and industrial | 505,502 | 447,511 |
Commercial, Construction and development | 298,757 | 336,919 |
Consumer, Residential real estate | 314,631 | 322,539 |
Consumer, Construction and development | 47,795 | 27,855 |
Consumer, Home equity | 264,109 | 267,954 |
Consumer, Other consumer | 35,108 | 35,377 |
Total | 2,785,901 | 2,660,796 |
Total | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 1,333,906 | 1,232,995 |
Commercial, Commercial and industrial | 512,304 | 454,830 |
Commercial, Construction and development | 299,424 | 338,450 |
Consumer, Residential real estate | 320,363 | 329,621 |
Consumer, Construction and development | 48,894 | 28,436 |
Consumer, Home equity | 270,354 | 272,334 |
Consumer, Other consumer | 35,853 | 36,244 |
Total | 2,821,098 | 2,692,910 |
Non-PCI Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 1,333,906 | 1,232,995 |
Commercial, Commercial and industrial | 512,304 | 454,830 |
Commercial, Construction and development | 299,424 | 338,450 |
Consumer, Residential real estate | 320,363 | 329,621 |
Consumer, Construction and development | 48,894 | 28,436 |
Consumer, Home equity | 270,354 | 272,334 |
Consumer, Other consumer | 35,853 | 36,244 |
Total | 2,821,098 | 2,692,910 |
Non-PCI Loans | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 1,277,936 | 1,187,938 |
Commercial, Commercial and industrial | 492,049 | 433,093 |
Commercial, Construction and development | 295,080 | 334,213 |
Consumer, Residential real estate | 307,614 | 316,743 |
Consumer, Construction and development | 47,407 | 27,447 |
Consumer, Home equity | 261,375 | 264,953 |
Consumer, Other consumer | 35,135 | 35,736 |
Total | 2,716,596 | 2,600,123 |
Non-PCI Loans | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 32,061 | 32,142 |
Commercial, Commercial and industrial | 4,128 | 15,148 |
Commercial, Construction and development | 3,353 | 2,128 |
Consumer, Residential real estate | 5,028 | 4,527 |
Consumer, Construction and development | 744 | 735 |
Consumer, Home equity | 4,685 | 4,238 |
Consumer, Other consumer | 326 | 237 |
Total | 50,325 | 59,155 |
Non-PCI Loans | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 23,909 | 12,915 |
Commercial, Commercial and industrial | 16,127 | 6,510 |
Commercial, Construction and development | 936 | 2,109 |
Consumer, Residential real estate | 7,721 | 8,351 |
Consumer, Construction and development | 743 | 254 |
Consumer, Home equity | 4,294 | 3,143 |
Consumer, Other consumer | 392 | 269 |
Total | 54,122 | 33,551 |
Non-PCI Loans | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 0 | 0 |
Commercial, Commercial and industrial | 0 | 79 |
Commercial, Construction and development | 55 | 0 |
Consumer, Residential real estate | 0 | 0 |
Consumer, Construction and development | 0 | 0 |
Consumer, Home equity | 0 | 0 |
Consumer, Other consumer | 0 | 2 |
Total | 55 | 81 |
PCI Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 94,788 | 122,541 |
Commercial, Commercial and industrial | 14,354 | 14,018 |
Commercial, Construction and development | 18,090 | 32,357 |
Consumer, Residential real estate | 26,902 | 30,628 |
Consumer, Construction and development | 1,387 | 1,625 |
Consumer, Home equity | 3,797 | 4,328 |
Consumer, Other consumer | 343 | 630 |
Total | 159,661 | 206,127 |
PCI Loans | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 43,698 | 57,095 |
Commercial, Commercial and industrial | 12,323 | 7,408 |
Commercial, Construction and development | 7,131 | 6,857 |
Consumer, Residential real estate | 12,203 | 12,703 |
Consumer, Construction and development | 350 | 189 |
Consumer, Home equity | 421 | 143 |
Consumer, Other consumer | 1 | 2 |
Total | 76,127 | 84,397 |
PCI Loans | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 32,909 | 45,711 |
Commercial, Commercial and industrial | 669 | 2,936 |
Commercial, Construction and development | 4,647 | 16,374 |
Consumer, Residential real estate | 7,439 | 8,206 |
Consumer, Construction and development | 407 | 723 |
Consumer, Home equity | 2,058 | 2,827 |
Consumer, Other consumer | 277 | 488 |
Total | 48,406 | 77,265 |
PCI Loans | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 18,181 | 19,735 |
Commercial, Commercial and industrial | 1,362 | 3,674 |
Commercial, Construction and development | 6,312 | 9,126 |
Consumer, Residential real estate | 7,260 | 9,719 |
Consumer, Construction and development | 630 | 713 |
Consumer, Home equity | 1,087 | 1,358 |
Consumer, Other consumer | 65 | 140 |
Total | 34,897 | 44,465 |
PCI Loans | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial, Real estate | 0 | 0 |
Commercial, Commercial and industrial | 0 | 0 |
Commercial, Construction and development | 0 | 0 |
Consumer, Residential real estate | 0 | 0 |
Consumer, Construction and development | 0 | 0 |
Consumer, Home equity | 231 | 0 |
Consumer, Other consumer | 0 | 0 |
Total | $ 231 | $ 0 |
LOANS AND ALLOWANCE FOR LOAN 48
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 5) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | $ 27,830 | $ 17,949 |
Loans greater than 90 days past due and accruing | 592 | 2 |
Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 14,816 | 5,685 |
Loans greater than 90 days past due and accruing | 445 | 0 |
Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 4,079 | 4,594 |
Loans greater than 90 days past due and accruing | 146 | 2 |
Construction and development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 594 | 1,692 |
Loans greater than 90 days past due and accruing | 0 | 0 |
Residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 4,812 | 3,755 |
Loans greater than 90 days past due and accruing | 0 | 0 |
Construction and development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 699 | 254 |
Loans greater than 90 days past due and accruing | 0 | 0 |
Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 2,587 | 1,721 |
Loans greater than 90 days past due and accruing | 0 | 0 |
Other consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 243 | 248 |
Loans greater than 90 days past due and accruing | $ 1 | $ 0 |
LOANS AND ALLOWANCE FOR LOAN 49
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 6) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 2,980,759 | $ 2,899,037 |
Non-PCI Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 21,109 | 9,985 |
Related Allowance | 537 | 390 |
Unpaid Principal Balance | 27,740 | 15,802 |
Non-PCI Loans | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 3,411 | 1,472 |
Non-PCI Loans | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 17,698 | 8,513 |
Non-PCI Loans | Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 14,070 | 5,398 |
Related Allowance | 209 | 158 |
Unpaid Principal Balance | 14,756 | 5,330 |
Non-PCI Loans | Commercial real estate | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 702 | 885 |
Non-PCI Loans | Commercial real estate | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 13,368 | 4,513 |
Non-PCI Loans | Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 3,120 | 2,343 |
Related Allowance | 138 | 229 |
Unpaid Principal Balance | 4,052 | 2,718 |
Non-PCI Loans | Commercial and industrial | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 504 | 525 |
Non-PCI Loans | Commercial and industrial | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 2,616 | 1,818 |
Non-PCI Loans | Construction and development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 461 | 910 |
Related Allowance | 58 | 0 |
Unpaid Principal Balance | 1,291 | 1,971 |
Non-PCI Loans | Construction and development | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 282 | 0 |
Non-PCI Loans | Construction and development | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 179 | 910 |
Non-PCI Loans | Residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 3,439 | 928 |
Related Allowance | 132 | 0 |
Unpaid Principal Balance | 4,812 | 3,863 |
Non-PCI Loans | Residential real estate | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 1,923 | 0 |
Non-PCI Loans | Residential real estate | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 1,516 | 928 |
Non-PCI Loans | Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 19 | 406 |
Related Allowance | 0 | 3 |
Unpaid Principal Balance | 2,829 | 1,920 |
Non-PCI Loans | Home equity | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 0 | 62 |
Non-PCI Loans | Home equity | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 19 | 344 |
Non-PCI Loans | Other consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 0 | |
Related Allowance | 0 | |
Unpaid Principal Balance | 0 | |
Non-PCI Loans | Other consumer | Recorded Investment With a Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 0 | |
Non-PCI Loans | Other consumer | Recorded Investment With no Recorded Allowance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 0 |
LOANS AND ALLOWANCE FOR LOAN 50
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 7) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | $ 19,644 | $ 14,145 | $ 15,549 | $ 11,454 |
Interest Income | 32 | 45 | 101 | 88 |
Commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 12,915 | 9,523 | 9,734 | 6,932 |
Interest Income | 8 | 38 | 33 | 78 |
Commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 3,113 | 918 | 2,732 | 726 |
Interest Income | 2 | 0 | 3 | 0 |
Construction and development | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 320 | 1,863 | 686 | 2,111 |
Interest Income | 0 | 0 | 0 | 0 |
Residential real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 3,276 | 1,423 | 2,184 | 1,180 |
Interest Income | 22 | 7 | 65 | 10 |
Construction and development | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 0 | 0 | 0 | 81 |
Interest Income | 0 | 0 | 0 | 0 |
Home equity | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 20 | 418 | 213 | 420 |
Interest Income | 0 | 0 | 0 | 0 |
Other consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Balance | 0 | 0 | 0 | 4 |
Interest Income | $ 0 | $ 0 | $ 0 | $ 0 |
LOANS AND ALLOWANCE FOR LOAN 51
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 8) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015USD ($)loan | Sep. 30, 2014USD ($)loan | Sep. 30, 2015USD ($)TDRloan | Sep. 30, 2014USD ($)TDRloan | Dec. 31, 2014USD ($)loan | |
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 7,326 | $ 7,326 | $ 6,371 | ||
Number (in loans) | loan | 24 | 21 | |||
TDRs Modified, Recorded Investment | $ 451 | $ 1,533 | $ 1,496 | $ 2,799 | |
TDRs modified (in loans) | loan | 6 | 6 | 9 | 12 | |
Number of troubled debt restructurings | TDR | 2 | 0 | |||
Financing receivable, modifications, subsequent default, recorded investment | $ 343 | ||||
Commercial real estate | |||||
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 4,692 | $ 4,692 | $ 4,215 | ||
Number (in loans) | loan | 6 | 7 | |||
TDRs Modified, Recorded Investment | $ 255 | $ 634 | $ 902 | $ 1,896 | |
TDRs modified (in loans) | loan | 5 | 2 | 7 | 7 | |
Commercial and industrial | |||||
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 811 | $ 811 | $ 172 | ||
Number (in loans) | loan | 11 | 4 | |||
TDRs Modified, Recorded Investment | $ 196 | $ 58 | $ 196 | $ 62 | |
TDRs modified (in loans) | loan | 1 | 1 | 1 | 2 | |
Commercial construction | |||||
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 178 | $ 178 | $ 131 | ||
Number (in loans) | loan | 2 | 2 | |||
TDRs Modified, Recorded Investment | $ 0 | $ 417 | $ 0 | $ 417 | |
TDRs modified (in loans) | loan | 0 | 1 | 0 | 1 | |
Residential real estate | |||||
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 1,626 | $ 1,626 | $ 1,770 | ||
Number (in loans) | loan | 4 | 6 | |||
TDRs Modified, Recorded Investment | $ 0 | $ 424 | $ 398 | $ 424 | |
TDRs modified (in loans) | loan | 0 | 2 | 1 | 2 | |
Home equity | |||||
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 19 | $ 19 | $ 83 | ||
Number (in loans) | loan | 1 | 2 | |||
TDRs Modified, Recorded Investment | $ 0 | $ 0 | $ 0 | $ 0 | |
TDRs modified (in loans) | loan | 0 | 0 | 0 | 0 | |
Consumer | |||||
Financing Receivable, Modifications [Line Items] | |||||
Recorded Investment | $ 0 | $ 0 | $ 0 | ||
Number (in loans) | loan | 0 | 0 | |||
TDRs Modified, Recorded Investment | $ 0 | $ 0 | $ 0 | $ 0 | |
TDRs modified (in loans) | loan | 0 | 0 | 0 | 0 |
LOAN SERVICING (SBA Servicing A
LOAN SERVICING (SBA Servicing Asset) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Servicing Assets at Fair Value [Line Items] | |||||
Government-guaranteed lending | $ 3,009,000 | $ 2,072,000 | $ 9,559,000 | $ 6,533,000 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | |||||
Ending balance | 4,890,000 | 4,890,000 | |||
Mortgage Loan Servicing | |||||
Servicing Assets at Fair Value [Line Items] | |||||
Unpaid principal balance | 540,770,000 | 540,770,000 | $ 455,033,000 | ||
Mortgage servicing fees | 326,000 | 928,000 | |||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||||
Beginning balance | 4,688,000 | 0 | 4,284,000 | 0 | |
Acquired Yadkin MSRs at fair value | 0 | 4,025,000 | 0 | 4,025,000 | |
Additions | 452,000 | 308,000 | 1,457,000 | 308,000 | |
Repayments | (65,000) | (65,000) | (309,000) | (65,000) | |
Amortization | (185,000) | (138,000) | (542,000) | (138,000) | |
Ending balance | 4,890,000 | 4,130,000 | 4,890,000 | 4,130,000 | |
Valuation allowance at end of period | (138,000) | (65,000) | (138,000) | (65,000) | |
Balance at end of period after valuation allowance | 4,752,000 | 4,065,000 | 4,752,000 | 4,065,000 | |
SBA Loans | |||||
Servicing Assets at Fair Value [Line Items] | |||||
Unpaid principal balance | 204,339,000 | 204,339,000 | 136,093,000 | ||
Government-guaranteed lending | 473,000 | 295,000 | 1,258,000 | 739,000 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | |||||
Beginning balance | 3,936,000 | 2,127,000 | 3,081,000 | 1,759,000 | |
Additions | 786,000 | 688,000 | 1,881,000 | 1,186,000 | |
Amortization | (157,000) | (73,000) | (397,000) | (203,000) | |
Ending balance | 4,565,000 | $ 2,742,000 | 4,565,000 | $ 2,742,000 | |
Valuation allowance at end of period | $ 0 | $ 0 | $ 0 |
LOAN SERVICING (The characteris
LOAN SERVICING (The characteristics and sensitivity of the fair value of MSRs to changes in key assumptions) (Details) - Mortgage Loan Servicing - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Dec. 31, 2014 | |
Servicing Liabilities at Fair Value [Line Items] | ||
Composition of mortgage loans serviced for others: (as a percent) | 100.00% | 100.00% |
Weighted average life (years) | 5 years 9 months 11 days | 5 years 9 months 7 days |
Prepayment speed (as a percent) | 12.54% | 12.62% |
Discount rate (as a percent) | 9.49% | 9.60% |
0.25% | $ 716 | $ 566 |
0.50% | 1,064 | 801 |
- 0.25% | (760) | (668) |
- 0.50% | $ (962) | $ (844) |
Fixed rate loans | ||
Servicing Liabilities at Fair Value [Line Items] | ||
Composition of mortgage loans serviced for others: (as a percent) | 99.89% | 99.86% |
Adjustable rate loans | ||
Servicing Liabilities at Fair Value [Line Items] | ||
Composition of mortgage loans serviced for others: (as a percent) | 0.11% | 0.14% |
COMMITMENTS AND CONTINGENCIES54
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Lending commitments: | ||
Commitments to extend credit | $ 779,644 | $ 658,925 |
Commercial letters of credit | 19,046 | 12,421 |
Other commitments: | ||
Standby letters of credit issued by the FHLB on the Bank's behalf | 10,000 | 10,000 |
Capital commitment to private investment funds | 3,085 | 2,280 |
Reserve for unfunded commitments | $ 1,269 | $ 1,465 |
DERIVATIVE FINANCIAL INSTRUME55
DERIVATIVE FINANCIAL INSTRUMENTS (Details Textual) - Designated as Hedging Instrument | Sep. 30, 2015USD ($)swap | Mar. 31, 2015USD ($)swap | Dec. 31, 2014USD ($)swap | Aug. 31, 2014USD ($)swap | Dec. 31, 2013USD ($)swap | May. 31, 2012USD ($) |
Interest Rate Swap | ||||||
Number of interest rate derivatives held | swap | 2 | 6 | 2 | 6 | ||
Notional Amount | $ 175,000,000 | $ 50,000,000 | $ 175,000 | $ 50,000,000 | $ 175,000 | |
Terminated Interest Rate Swap | ||||||
Notional Amount | $ 100,000,000 | |||||
Number of instruments terminated | swap | 4 | 4 | ||||
Cap 1 | ||||||
Notional Amount | $ 7,500,000 | $ 7,500,000 | ||||
Cap 2 | ||||||
Notional Amount | 8,000,000 | $ 8,000,000 | ||||
Cap 3 | ||||||
Notional Amount | 25,000,000 | 25,000,000 | ||||
Cap 4 | ||||||
Notional Amount | $ 10,000,000 | $ 10,000,000 |
DERIVATIVE FINANCIAL INSTRUME56
DERIVATIVE FINANCIAL INSTRUMENTS (Terms of Interest Swaps and Caps) (Details) - USD ($) | 9 Months Ended | |||||
Sep. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Aug. 31, 2014 | Dec. 31, 2013 | May. 31, 2012 | |
Swap 1 | 1-Month LIBOR | ||||||
Derivative [Line Items] | ||||||
Variable rate spread (as a percentage) | 0.10% | |||||
Swap 2 | 1-Month LIBOR | ||||||
Derivative [Line Items] | ||||||
Variable rate spread (as a percentage) | 0.13% | |||||
Designated as Hedging Instrument | Swap 1 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Effective Start Date | Oct. 1, 2014 | |||||
Maturity Date | Aug. 31, 2017 | |||||
Pay Fixed Rate | 1.1973% | |||||
Designated as Hedging Instrument | Swap 2 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Effective Start Date | Oct. 16, 2014 | |||||
Maturity Date | Aug. 16, 2018 | |||||
Pay Fixed Rate | 1.5963% | |||||
Designated as Hedging Instrument | Swap 3 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Effective Start Date | Feb. 5, 2016 | |||||
Maturity Date | Feb. 5, 2021 | |||||
Pay Fixed Rate | 2.703% | |||||
Designated as Hedging Instrument | Swap 4 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 50,000,000 | |||||
Effective Start Date | Aug. 5, 2016 | |||||
Maturity Date | Aug. 5, 2021 | |||||
Pay Fixed Rate | 2.882% | |||||
Designated as Hedging Instrument | Swap 5 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Effective Start Date | Oct. 5, 2017 | |||||
Maturity Date | Oct. 5, 2027 | |||||
Pay Fixed Rate | 2.54% | |||||
Designated as Hedging Instrument | Swap 6 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Effective Start Date | Mar. 5, 2018 | |||||
Maturity Date | Mar. 5, 2028 | |||||
Pay Fixed Rate | 2.576% | |||||
Designated as Hedging Instrument | Interest Rate Swap | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 175,000,000 | $ 50,000,000 | $ 175,000 | $ 50,000,000 | $ 175,000 | |
Designated as Hedging Instrument | Terminated Swap 1 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Original Effective Start Date | Apr. 6, 2015 | |||||
Original Maturity Date | Apr. 5, 2020 | |||||
Date Terminated | Mar. 27, 2015 | |||||
Termination Fee Paid | $ 123,000 | |||||
Designated as Hedging Instrument | Terminated Swap 2 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Original Effective Start Date | May 5, 2015 | |||||
Original Maturity Date | May 5, 2020 | |||||
Date Terminated | Mar. 27, 2015 | |||||
Termination Fee Paid | $ 122,000 | |||||
Designated as Hedging Instrument | Terminated Swap 3 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Original Effective Start Date | Jun. 5, 2015 | |||||
Original Maturity Date | Jun. 5, 2020 | |||||
Date Terminated | Mar. 27, 2015 | |||||
Termination Fee Paid | $ 121,000 | |||||
Designated as Hedging Instrument | Terminated Swap 4 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | |||||
Original Effective Start Date | Aug. 5, 2015 | |||||
Original Maturity Date | Aug. 5, 2020 | |||||
Date Terminated | Mar. 27, 2015 | |||||
Termination Fee Paid | $ 921,000 | |||||
Designated as Hedging Instrument | Terminated Interest Rate Swap | ||||||
Derivative [Line Items] | ||||||
Notional Amount | 100,000,000 | |||||
Termination Fee Paid | 1,287,000 | |||||
Designated as Hedging Instrument | Cap 1 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 7,500,000 | $ 7,500,000 | ||||
Effective Start Date | Jul. 1, 2012 | |||||
Maturity Date | Jul. 1, 2017 | |||||
Strike Rate | 0.47% | |||||
Designated as Hedging Instrument | Cap 1 | 3-Month LIBOR | ||||||
Derivative [Line Items] | ||||||
Variable rate spread (as a percentage) | 4.00% | |||||
Designated as Hedging Instrument | Cap 2 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 8,000,000 | $ 8,000,000 | ||||
Effective Start Date | Jul. 7, 2012 | |||||
Maturity Date | Jul. 7, 2017 | |||||
Strike Rate | 0.47% | |||||
Designated as Hedging Instrument | Cap 2 | 3-Month LIBOR | ||||||
Derivative [Line Items] | ||||||
Variable rate spread (as a percentage) | 3.10% | |||||
Designated as Hedging Instrument | Cap 3 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 25,000,000 | 25,000,000 | ||||
Effective Start Date | Sep. 15, 2014 | |||||
Maturity Date | Sep. 15, 2019 | |||||
Strike Rate | 1.82% | |||||
Designated as Hedging Instrument | Cap 3 | 3-Month LIBOR | ||||||
Derivative [Line Items] | ||||||
Variable rate spread (as a percentage) | 1.32% | |||||
Designated as Hedging Instrument | Cap 4 | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 10,000,000 | $ 10,000,000 | ||||
Effective Start Date | Sep. 30, 2014 | |||||
Maturity Date | Sep. 30, 2019 | |||||
Strike Rate | 1.85% | |||||
Designated as Hedging Instrument | Cap 4 | 3-Month LIBOR | ||||||
Derivative [Line Items] | ||||||
Variable rate spread (as a percentage) | 2.80% | |||||
Designated as Hedging Instrument | Interest Rate Cap | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 50,500,000 |
DERIVATIVE FINANCIAL INSTRUME57
DERIVATIVE FINANCIAL INSTRUMENTS (Balance Sheet Location and Fair Value of Instruments) (Details) - Designated as Hedging Instrument - USD ($) | Sep. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Aug. 31, 2014 | Dec. 31, 2013 |
Interest rate swaps | |||||
Notional Amount | $ 175,000,000 | $ 50,000,000 | $ 175,000 | $ 50,000,000 | $ 175,000 |
Interest rate swaps | FHLB Advances | Other assets | |||||
Notional Amount | 0 | 75,000,000 | |||
Derivative asset, fair value, gross asset | 0 | 795,000 | |||
Interest rate swaps | FHLB Advances | Other liabilities | |||||
Notional Amount | 125,000,000 | 100,000,000 | |||
Derivative liability, fair value, gross liability | 4,797,000 | 2,249,000 | |||
Interest rate swaps | Brokered Money Market Deposits | Other liabilities | |||||
Notional Amount | 50,000,000 | 50,000,000 | |||
Derivative liability, fair value, gross liability | 679,000 | 200,000 | |||
Interest rate cap | |||||
Notional Amount | 50,500,000 | ||||
Interest rate cap | Subordinated Term Loan | Other liabilities | |||||
Notional Amount | 7,500,000 | 7,500,000 | |||
Derivative asset, fair value, gross asset | 166,000 | 128,000 | |||
Interest rate cap | Trust Preferred Securities | Other assets | |||||
Notional Amount | 43,000,000 | 43,000,000 | |||
Derivative asset, fair value, gross asset | 204,000 | 1,104,000 | |||
Interest rate lock commitments | Loan Commitments | Other assets | |||||
Notional Amount | 36,857,439 | 23,274,000 | |||
Derivative asset, fair value, gross asset | 640,000 | 342,000 | |||
Forward sale commitments | Loan Commitments | Other liabilities | |||||
Notional Amount | 63,690,076 | 34,727,000 | |||
Derivative liability, fair value, gross liability | $ 108,000 | $ 49,000 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) - Available-for-sale Securities - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Level 3 AFS securities at beginning of period | $ 11,403 | $ 6,793 | $ 11,290 | $ 7,583 |
Purchases | 5,390 | 4,600 | 5,390 | 4,600 |
Sales, calls or maturities | 0 | 0 | 0 | (1,000) |
Changes in unrealized gains and losses | (215) | 30 | (102) | 240 |
Level 3 AFS securities at end of period | $ 16,578 | $ 11,423 | $ 16,578 | $ 11,423 |
FAIR VALUE MEASUREMENTS (Deta59
FAIR VALUE MEASUREMENTS (Details 1) - Interest rate lock commitments - Level 3 - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Interest rate lock commitments at beginning of period | $ 483 | $ 296 | $ 342 | $ 354 |
Fair value of acquired Yadkin interest rate lock commitments | 0 | 231 | 0 | 231 |
Issuances | 1,824 | 906 | 4,609 | 1,529 |
Settlements | (1,667) | (986) | (4,311) | (1,667) |
Interest rate lock commitments at end of period | $ 640 | $ 447 | $ 640 | $ 447 |
FAIR VALUE MEASUREMENTS (Deta60
FAIR VALUE MEASUREMENTS (Details 2) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Recurring measurements: | |||
Investment securities available for sale | $ 713,492 | $ 672,421 | [1] |
Nonrecurring measurements: | |||
Foreclosed assets | 11,793 | 12,891 | [1] |
Level 1 | |||
Recurring measurements: | |||
Investment securities available for sale | 62,662 | 66,028 | |
SBA loans held for investment | 0 | 0 | |
Level 2 | |||
Recurring measurements: | |||
Investment securities available for sale | 634,252 | 595,103 | |
SBA loans held for investment | 40,276 | 40,404 | |
Level 3 | |||
Recurring measurements: | |||
Investment securities available for sale | 16,578 | 11,290 | |
SBA loans held for investment | 0 | 0 | |
Estimate of Fair Value Measurement | |||
Recurring measurements: | |||
Investment securities available for sale | 713,492 | 672,421 | |
SBA loans held for investment | 40,276 | 40,404 | |
Recurring | Level 1 | |||
Recurring measurements: | |||
Derivative assets | 0 | 0 | |
Derivative liabilities | 0 | 0 | |
Recurring | Level 1 | GSE obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 1 | SBA-guaranteed securities | |||
Recurring measurements: | |||
Investment securities available for sale | 58,176 | 60,120 | |
SBA-guaranteed loans held for sale | 0 | 0 | |
SBA loans held for investment | 0 | 0 | |
Recurring | Level 1 | Mortgage-backed securities issued by GSEs | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 1 | Municipal bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 1 | Corporate bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 2,525 | 2,545 | |
Recurring | Level 1 | Collateralized loan obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | ||
Recurring | Level 1 | Non-agency RMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 1 | Non-agency CMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 1 | Other debt securities | |||
Recurring measurements: | |||
Investment securities available for sale | 245 | 498 | |
Recurring | Level 1 | Equity securities | |||
Recurring measurements: | |||
Investment securities available for sale | 1,716 | 2,865 | |
Recurring | Level 2 | |||
Recurring measurements: | |||
Derivative assets | 204 | 2,026 | |
Derivative liabilities | 5,750 | 2,497 | |
Recurring | Level 2 | GSE obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 20,057 | 14,944 | |
Recurring | Level 2 | SBA-guaranteed securities | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
SBA-guaranteed loans held for sale | 11,036 | 8,365 | |
SBA loans held for investment | 17,142 | 8,906 | |
Recurring | Level 2 | Mortgage-backed securities issued by GSEs | |||
Recurring measurements: | |||
Investment securities available for sale | 400,368 | 425,283 | |
Recurring | Level 2 | Municipal bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 48,995 | 40,258 | |
Recurring | Level 2 | Corporate bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 112,848 | 106,077 | |
Recurring | Level 2 | Collateralized loan obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 47,504 | ||
Recurring | Level 2 | Non-agency RMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 4,027 | 4,963 | |
Recurring | Level 2 | Non-agency CMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 453 | 3,578 | |
Recurring | Level 2 | Other debt securities | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 2 | Equity securities | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 3 | |||
Recurring measurements: | |||
Derivative assets | 640 | 342 | |
Derivative liabilities | 0 | 0 | |
Recurring | Level 3 | GSE obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 3 | SBA-guaranteed securities | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
SBA-guaranteed loans held for sale | 0 | 0 | |
SBA loans held for investment | 0 | 0 | |
Recurring | Level 3 | Mortgage-backed securities issued by GSEs | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 3 | Municipal bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 1,099 | 0 | |
Recurring | Level 3 | Corporate bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 15,479 | 11,290 | |
Recurring | Level 3 | Collateralized loan obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | ||
Recurring | Level 3 | Non-agency RMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 3 | Non-agency CMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 3 | Other debt securities | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Level 3 | Equity securities | |||
Recurring measurements: | |||
Investment securities available for sale | 0 | 0 | |
Recurring | Estimate of Fair Value Measurement | |||
Recurring measurements: | |||
Derivative assets | 844 | 2,368 | |
Derivative liabilities | 5,750 | 2,497 | |
Recurring | Estimate of Fair Value Measurement | GSE obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 20,057 | 14,944 | |
Recurring | Estimate of Fair Value Measurement | SBA-guaranteed securities | |||
Recurring measurements: | |||
Investment securities available for sale | 58,176 | 60,120 | |
SBA-guaranteed loans held for sale | 11,036 | 8,365 | |
SBA loans held for investment | 17,142 | 8,906 | |
Recurring | Estimate of Fair Value Measurement | Mortgage-backed securities issued by GSEs | |||
Recurring measurements: | |||
Investment securities available for sale | 400,368 | 425,283 | |
Recurring | Estimate of Fair Value Measurement | Municipal bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 50,094 | 40,258 | |
Recurring | Estimate of Fair Value Measurement | Corporate bonds | |||
Recurring measurements: | |||
Investment securities available for sale | 130,852 | 119,912 | |
Recurring | Estimate of Fair Value Measurement | Collateralized loan obligations | |||
Recurring measurements: | |||
Investment securities available for sale | 47,504 | ||
Recurring | Estimate of Fair Value Measurement | Non-agency RMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 4,027 | 4,963 | |
Recurring | Estimate of Fair Value Measurement | Non-agency CMBS | |||
Recurring measurements: | |||
Investment securities available for sale | 453 | 3,578 | |
Recurring | Estimate of Fair Value Measurement | Other debt securities | |||
Recurring measurements: | |||
Investment securities available for sale | 245 | 498 | |
Recurring | Estimate of Fair Value Measurement | Equity securities | |||
Recurring measurements: | |||
Investment securities available for sale | 1,716 | 2,865 | |
Nonrecurring | Level 1 | Impaired loans | |||
Nonrecurring measurements: | |||
Impaired loans | 0 | 0 | |
Nonrecurring | Level 1 | Foreclosed assets | |||
Nonrecurring measurements: | |||
Foreclosed assets | 0 | 0 | |
Nonrecurring | Level 2 | Impaired loans | |||
Nonrecurring measurements: | |||
Impaired loans | 0 | 0 | |
Nonrecurring | Level 2 | Foreclosed assets | |||
Nonrecurring measurements: | |||
Foreclosed assets | 0 | 0 | |
Nonrecurring | Level 3 | Impaired loans | |||
Nonrecurring measurements: | |||
Impaired loans | 20,572 | 9,595 | |
Nonrecurring | Level 3 | Foreclosed assets | |||
Nonrecurring measurements: | |||
Foreclosed assets | 11,793 | ||
Nonrecurring | Estimate of Fair Value Measurement | Impaired loans | |||
Nonrecurring measurements: | |||
Impaired loans | 20,572 | 9,595 | |
Nonrecurring | Estimate of Fair Value Measurement | Foreclosed assets | |||
Nonrecurring measurements: | |||
Foreclosed assets | $ 11,793 | $ 12,891 | |
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
FAIR VALUE MEASUREMENTS (Deta61
FAIR VALUE MEASUREMENTS (Details 3) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2015 | Dec. 31, 2014 | ||
Recurring measurements: | |||
Investment securities available for sale | $ 713,492 | $ 672,421 | [1] |
Nonrecurring measurements: | |||
Foreclosed assets | 11,793 | 12,891 | [1] |
Level 3 | |||
Recurring measurements: | |||
Investment securities available for sale | 16,578 | 11,290 | |
Level 3 | Recurring | |||
Recurring measurements: | |||
Derivative assets | $ 640 | 342 | |
Level 3 | Recurring | Pricing model | Available-for-sale Securities | |||
Valuation Technique | Pricing model | ||
Unobservable Input | Illiquidity or credit factor in discount rates | ||
Recurring measurements: | |||
Investment securities available for sale | $ 16,578 | 11,290 | |
Level 3 | Recurring | Pricing model | Available-for-sale Securities | Minimum | |||
Nonrecurring measurements: | |||
Illiquidity of credit (as a percentage) | 1.00% | ||
Level 3 | Recurring | Pricing model | Available-for-sale Securities | Maximum | |||
Nonrecurring measurements: | |||
Illiquidity of credit (as a percentage) | 2.00% | ||
Level 3 | Recurring | Pricing model | Interest rate lock commitments | |||
Valuation Technique | Pricing model | ||
Unobservable Input | Pull through rates | ||
Recurring measurements: | |||
Derivative assets | $ 640 | 342 | |
Level 3 | Recurring | Pricing model | Interest rate lock commitments | Minimum | |||
Nonrecurring measurements: | |||
Pull through rates (as a percentage) | 80.00% | ||
Level 3 | Recurring | Pricing model | Interest rate lock commitments | Maximum | |||
Nonrecurring measurements: | |||
Pull through rates (as a percentage) | 95.00% | ||
Level 3 | Nonrecurring | Impaired loans | |||
Nonrecurring measurements: | |||
Impaired loans | $ 20,572 | 9,595 | |
Level 3 | Nonrecurring | Foreclosed assets | |||
Nonrecurring measurements: | |||
Foreclosed assets | $ 11,793 | ||
Level 3 | Nonrecurring | Discounted appraisals | Impaired loans | |||
Valuation Technique | Discounted appraisals | ||
Unobservable Input | Collateral discounts | ||
Level 3 | Nonrecurring | Discounted appraisals | Impaired loans | Minimum | |||
Nonrecurring measurements: | |||
Collateral discounts (as a percentage) | 15.00% | ||
Level 3 | Nonrecurring | Discounted appraisals | Impaired loans | Maximum | |||
Nonrecurring measurements: | |||
Collateral discounts (as a percentage) | 50.00% | ||
Level 3 | Nonrecurring | Discounted appraisals | Foreclosed assets | |||
Valuation Technique | Discounted appraisals | ||
Unobservable Input | Collateral discounts | ||
Nonrecurring measurements: | |||
Foreclosed assets | $ 11,793 | $ 12,891 | |
Level 3 | Nonrecurring | Discounted appraisals | Foreclosed assets | Minimum | |||
Nonrecurring measurements: | |||
Collateral discounts (as a percentage) | 15.00% | ||
Level 3 | Nonrecurring | Discounted appraisals | Foreclosed assets | Maximum | |||
Nonrecurring measurements: | |||
Collateral discounts (as a percentage) | 50.00% | ||
Level 3 | Nonrecurring | Discounted expected cash flows | Impaired loans | |||
Valuation Technique | Discounted expected cash flows | ||
Unobservable Input | Expected loss rates | ||
Level 3 | Nonrecurring | Discounted expected cash flows | Impaired loans | Minimum | |||
Nonrecurring measurements: | |||
Expected loss rates (as a percentage) | 0.00% | ||
Discount rates (as a percent) | 2.00% | ||
Level 3 | Nonrecurring | Discounted expected cash flows | Impaired loans | Maximum | |||
Nonrecurring measurements: | |||
Expected loss rates (as a percentage) | 75.00% | ||
Discount rates (as a percent) | 8.00% | ||
Level 3 | Nonrecurring | Discount rates | Impaired loans | |||
Unobservable Input | Discount rates | ||
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
FAIR VALUE MEASUREMENTS (Deta62
FAIR VALUE MEASUREMENTS (Details 4) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | |
Financial assets: | |||||
Cash and cash equivalents | $ 77,755 | $ 132,365 | $ 91,075 | $ 100,780 | |
Investment securities available for sale | 713,492 | 672,421 | [1] | ||
Investment securities held to maturity | 39,292 | 39,620 | [1] | ||
Loans held for sale | 37,962 | 20,205 | [1] | ||
Loans, net | 2,970,779 | 2,890,449 | [1] | ||
Purchased accounts receivable | 69,383 | 44,821 | [1] | ||
Federal Home Loan Bank stock | 22,932 | 19,499 | [1] | ||
Derivative assets | 844 | 2,368 | |||
Accrued interest receivable | 12,502 | 12,071 | |||
Financial liabilities: | |||||
Deposits | 3,247,769 | 3,247,364 | [1] | ||
Short-term borrowings | 395,500 | 250,500 | [1] | ||
Long-term debt | 129,859 | 180,164 | [1] | ||
Derivative liabilities | 5,750 | 2,497 | |||
Accrued interest payable | 1,903 | 2,688 | |||
Level 1 | |||||
Financial assets: | |||||
Cash and cash equivalents, Fair Value | 77,755 | 132,365 | |||
Investment securities available for sale | 62,662 | 66,028 | |||
Investment securities held to maturity, Fair Value | 0 | 0 | |||
Loans held for sale, Fair Value | 0 | 0 | |||
Loans held for investment, Fair Value | 0 | 0 | |||
Purchased accounts receivable | 0 | 0 | |||
Federal Home Loan Bank stock, at cost | 0 | 0 | |||
Derivative assets | 0 | 0 | |||
Accrued interest receivable, Fair Value | 0 | 0 | |||
Financial liabilities: | |||||
Deposits, Fair Value | 0 | 0 | |||
Short term borrowings, Fair Value | 0 | 0 | |||
Long-term debt, Fair Value | 0 | 0 | |||
Derivative liabilities, Fair Value | 0 | 0 | |||
Accrued interest payable, Fair Value | 0 | 0 | |||
Level 2 | |||||
Financial assets: | |||||
Cash and cash equivalents, Fair Value | 0 | 0 | |||
Investment securities available for sale | 634,252 | 595,103 | |||
Investment securities held to maturity, Fair Value | 40,276 | 40,404 | |||
Loans held for sale, Fair Value | 37,962 | 20,205 | |||
Loans held for investment, Fair Value | 17,142 | 1,241 | |||
Purchased accounts receivable | 69,383 | 44,821 | |||
Federal Home Loan Bank stock, at cost | 22,932 | 19,499 | |||
Derivative assets | 204 | 2,027 | |||
Accrued interest receivable, Fair Value | 12,502 | 12,071 | |||
Financial liabilities: | |||||
Deposits, Fair Value | 3,252,202 | 3,245,431 | |||
Short term borrowings, Fair Value | 0 | 0 | |||
Long-term debt, Fair Value | 0 | 0 | |||
Derivative liabilities, Fair Value | 5,750 | 2,497 | |||
Accrued interest payable, Fair Value | 1,903 | 2,688 | |||
Level 3 | |||||
Financial assets: | |||||
Cash and cash equivalents, Fair Value | 0 | 0 | |||
Investment securities available for sale | 16,578 | 11,290 | |||
Investment securities held to maturity, Fair Value | 0 | 0 | |||
Loans held for sale, Fair Value | 0 | 0 | |||
Loans held for investment, Fair Value | 2,996,342 | 2,918,332 | |||
Purchased accounts receivable | 0 | 0 | |||
Federal Home Loan Bank stock, at cost | 0 | 0 | |||
Derivative assets | 640 | 341 | |||
Accrued interest receivable, Fair Value | 0 | 0 | |||
Financial liabilities: | |||||
Deposits, Fair Value | 0 | 0 | |||
Short term borrowings, Fair Value | 395,500 | 250,500 | |||
Long-term debt, Fair Value | 133,287 | 183,326 | |||
Derivative liabilities, Fair Value | 0 | 0 | |||
Accrued interest payable, Fair Value | 0 | 0 | |||
Estimate of Fair Value Measurement | |||||
Financial assets: | |||||
Cash and cash equivalents, Fair Value | 77,755 | 132,365 | |||
Investment securities available for sale | 713,492 | 672,421 | |||
Investment securities held to maturity, Fair Value | 40,276 | 40,404 | |||
Loans held for sale, Fair Value | 37,962 | 20,205 | |||
Loans held for investment, Fair Value | 3,013,484 | 2,919,573 | |||
Purchased accounts receivable | 69,383 | 44,821 | |||
Federal Home Loan Bank stock, at cost | 22,932 | 19,499 | |||
Derivative assets | 844 | 2,368 | |||
Accrued interest receivable, Fair Value | 12,502 | 12,071 | |||
Financial liabilities: | |||||
Deposits, Fair Value | 3,252,202 | 3,245,431 | |||
Short term borrowings, Fair Value | 395,500 | 250,500 | |||
Long-term debt, Fair Value | 133,287 | 183,326 | |||
Derivative liabilities, Fair Value | 5,750 | 2,497 | |||
Accrued interest payable, Fair Value | $ 1,903 | $ 2,688 | |||
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
CHANGES IN ACCUMULATED OTHER 63
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Components of AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Accumulated Other Comprehensive Income [Roll Forward] | |||||
Beginning Balance | $ (3,945) | $ (1,148) | $ (2,244) | [1] | $ (4,172) |
Other comprehensive income (loss) before reclassifications | (204) | (1,803) | (1,858) | 1,355 | |
Reclassification of gains on AFS securities | 59 | (52) | (75) | ||
Reclassification of amounts into interest expense from termination of interest rate swaps | 21 | 26 | |||
Net other comprehensive income (loss) during period | (183) | (1,744) | (1,884) | 1,280 | |
Net other comprehensive income (loss) during period | (4,128) | (4,128) | |||
Ending Balance | (4,128) | (2,892) | (4,128) | (2,892) | |
Unrealized Net Gains (Losses) on AFS Securities | |||||
Accumulated Other Comprehensive Income [Roll Forward] | |||||
Beginning Balance | (2,479) | (2,151) | (1,185) | (6,553) | |
Other comprehensive income (loss) before reclassifications | 2,972 | (2,065) | 1,730 | 2,471 | |
Reclassification of gains on AFS securities | 59 | (52) | (75) | ||
Reclassification of amounts into interest expense from termination of interest rate swaps | 0 | 0 | |||
Net other comprehensive income (loss) during period | 2,972 | (2,006) | 1,678 | 2,396 | |
Net other comprehensive income (loss) during period | 493 | 493 | |||
Ending Balance | (4,157) | (4,157) | |||
Unrealized Net Gains (Losses) on Cash Flow Hedges | |||||
Accumulated Other Comprehensive Income [Roll Forward] | |||||
Beginning Balance | (1,466) | 1,003 | (1,059) | 2,381 | |
Other comprehensive income (loss) before reclassifications | (3,176) | 262 | (3,588) | (1,116) | |
Reclassification of gains on AFS securities | 0 | 0 | 0 | ||
Reclassification of amounts into interest expense from termination of interest rate swaps | 21 | 26 | |||
Net other comprehensive income (loss) during period | (3,155) | 262 | (3,562) | (1,116) | |
Net other comprehensive income (loss) during period | $ (4,621) | $ (4,621) | |||
Ending Balance | $ 1,265 | $ 1,265 | |||
[1] | Derived from the audited consolidated financial statements included in the Company's 2014 Annual Report on Form 10-K. |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) | Dec. 11, 2015branch_office |
Scenario, Forecast | |
Business Acquisition [Line Items] | |
Number of financial service branches divested | 2 |