Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 02, 2021 | |
Document Document And Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2021 | |
Entity File Number | 001-35654 | |
Entity Registrant Name | NATIONAL BANK HOLDINGS CORP | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 27-0563799 | |
Entity Address, Address Line One | 7800 East Orchard Road, Suite 300 | |
Entity Address, City or Town | Greenwood Village | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80111 | |
City Area Code | 303 | |
Local Phone Number | 892-8715 | |
Title of 12(b) Security | Class A Common Stock | |
Trading Symbol | NBHC | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 30,800,985 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001475841 | |
Amendment Flag | false |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
ASSETS | ||
Cash and due from banks | $ 1,003,993 | $ 605,065 |
Interest bearing bank deposits | 500 | 500 |
Cash and cash equivalents | 1,004,493 | 605,565 |
Investment securities available-for-sale (at fair value) | 605,798 | 661,955 |
Investment securities held-to-maturity (fair value of $517,448 and $381,691 at June 30, 2021 and December 31, 2020, respectively) | 687,635 | 376,615 |
Non-marketable securities | 14,741 | 16,493 |
Loans | 4,300,757 | 4,353,726 |
Allowance for credit losses | (49,030) | (59,777) |
Loans, net | 4,251,727 | 4,293,949 |
Loans held for sale | 134,805 | 247,813 |
Other real estate owned | 5,124 | 4,730 |
Premises and equipment, net | 95,019 | 106,982 |
Goodwill | 115,027 | 115,027 |
Intangible assets, net | 22,360 | 17,928 |
Other assets | 199,399 | 212,893 |
Total assets | 7,136,128 | 6,659,950 |
Liabilities: | ||
Non-interest bearing demand deposits | 2,437,328 | 2,111,045 |
Interest bearing demand deposits | 555,865 | 514,286 |
Savings and money market | 2,240,359 | 2,064,769 |
Time deposits | 924,501 | 986,132 |
Total deposits | 6,158,053 | 5,676,232 |
Securities sold under agreements to repurchase | 22,957 | 22,897 |
Other liabilities | 103,252 | 140,130 |
Total liabilities | 6,284,262 | 5,839,259 |
Shareholders' equity: | ||
Common stock, par value $0.01 per share: 400,000,000 shares authorized; 51,487,907 and 51,487,907 shares issued; 30,715,790 and 30,634,291 shares outstanding at June 30, 2021 and December 31, 2020, respectively | 515 | 515 |
Additional paid-in capital | 1,011,200 | 1,011,362 |
Retained earnings | 260,821 | 223,175 |
Treasury stock of 20,608,658 and 20,686,986 shares at June 30, 2021 and December 31, 2020, respectively, at cost | (422,365) | (424,127) |
Accumulated other comprehensive income, net of tax | 1,695 | 9,766 |
Total shareholders' equity | 851,866 | 820,691 |
Total liabilities and shareholders' equity | $ 7,136,128 | $ 6,659,950 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Investment securities held-to-maturity, fair value | $ 687,145 | $ 381,691 |
Common Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 400,000,000 | 400,000,000 |
Common Stock, shares issued | 51,487,907 | 51,487,907 |
Common Stock, shares outstanding | 30,800,985 | 30,634,291 |
Treasury stock, shares | 20,535,572 | 20,686,986 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Interest and dividend income: | ||||
Interest and fees on loans | $ 43,892 | $ 49,171 | $ 88,830 | $ 102,698 |
Interest and dividends on investment securities | 4,121 | 4,250 | 8,021 | 8,881 |
Dividends on non-marketable securities | 209 | 310 | 419 | 724 |
Interest on interest-bearing bank deposits | 228 | 13 | 393 | 109 |
Total interest and dividend income | 48,450 | 53,744 | 97,663 | 112,412 |
Interest expense: | ||||
Interest on deposits | 3,576 | 6,087 | 7,563 | 13,413 |
Interest on borrowings | 6 | 329 | 11 | 1,324 |
Total interest expense | 3,582 | 6,416 | 7,574 | 14,737 |
Net interest income before provision for loan losses | 44,868 | 47,328 | 90,089 | 97,675 |
Provision (release) expense for loan losses | (5,850) | 10,271 | (9,425) | 16,430 |
Net interest income after provision for loan losses | 50,718 | 37,057 | 99,514 | 81,245 |
Non-interest income: | ||||
Mortgage banking income | 13,979 | 30,630 | 36,358 | 44,303 |
Bank-owned life insurance income | 553 | 589 | 1,101 | 1,179 |
Other non-interest income | 2,552 | 870 | 5,404 | 2,472 |
OREO-related income | 35 | 28 | ||
Total non-interest income | 25,266 | 38,837 | 58,627 | 62,369 |
Non-interest expense: | ||||
Salaries and benefits | 31,439 | 36,457 | 64,962 | 69,637 |
Occupancy and equipment | 6,131 | 7,078 | 12,681 | 13,976 |
Telecommunications and data processing | 2,315 | 2,255 | 4,652 | 4,520 |
Marketing and business development | 570 | 600 | 1,022 | 1,296 |
FDIC deposit insurance | 456 | 411 | 900 | 335 |
Bank card expenses | 1,330 | 1,033 | 2,474 | 2,059 |
Professional fees | 649 | 759 | 1,391 | 1,368 |
Other non-interest expense | 2,348 | 2,479 | 4,824 | 5,569 |
Problem asset workout | 294 | 629 | 732 | 1,277 |
(Gain) loss on OREO sales, net | 221 | 55 | 192 | 94 |
Core deposit intangible asset amortization | 296 | 296 | 592 | 592 |
Banking center consolidation-related expense | 294 | 1,708 | 1,589 | 1,708 |
Total non-interest expense | 46,343 | 53,760 | 96,011 | 102,431 |
Income before income taxes | 29,641 | 22,134 | 62,130 | 41,183 |
Income tax expense | 5,441 | 4,429 | 11,118 | 7,654 |
Net income | $ 24,200 | $ 17,705 | $ 51,012 | $ 33,529 |
Earnings per share-basic (in dollars per share) | $ 0.78 | $ 0.57 | $ 1.65 | $ 1.08 |
Earnings per share-diluted (in dollars per share) | $ 0.77 | $ 0.57 | $ 1.63 | $ 1.08 |
Weighted average number of common shares outstanding: | ||||
Basic (Shares) | 30,947,206 | 30,731,758 | 30,888,062 | 30,944,617 |
Diluted (Shares) | 31,226,351 | 30,857,606 | 31,182,584 | 31,128,084 |
Service charges | ||||
Non-interest income: | ||||
Non-interest income | $ 3,568 | $ 3,094 | $ 7,042 | $ 7,220 |
Bank card fees | ||||
Non-interest income: | ||||
Non-interest income | $ 4,614 | $ 3,654 | $ 8,687 | $ 7,167 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 24,200 | $ 17,705 | $ 51,012 | $ 33,529 |
Securities available-for-sale: | ||||
Net unrealized (losses) gains arising during the period, net of tax benefit (expense) of $2,832 and ($3,301) for the three months ended June 30, 2021 and 2020, respectively. | 1,361 | 30 | (7,757) | 10,551 |
Less: amortization of net unrealized holding gains to income, net of tax benefit of $51 and $68 for the three months ended June 30, 2021 and 2020, respectively. | (151) | (202) | (314) | (418) |
Other comprehensive (loss) income | 1,210 | (172) | (8,071) | 10,133 |
Comprehensive income | $ 25,410 | $ 17,533 | $ 42,941 | $ 43,662 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Tax benefit (expense) on net unrealized (losses) gains arising during the period | $ 423 | $ 9 | $ 2,409 | $ 3,311 |
Tax benefit of amortization of net unrealized holding gains to income | $ 47 | $ 64 | $ 98 | $ 131 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Common stock [Member] | Additional paid-in capital [Member] | Retained earnings [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Retained earnings [Member] | Treasury stock [Member] | Accumulated other comprehensive (loss) income, net [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Total |
Balance in the beginning at Dec. 31, 2019 | $ 515 | $ 1,009,223 | $ 164,082 | $ (408,962) | $ 2,062 | $ 766,920 | ||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 33,529 | 33,529 | ||||||
Stock-based compensation | 2,839 | 2,839 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (3,289) | 3,385 | 96 | |||||
Repurchase of 734,117 shares | (19,476) | (19,476) | ||||||
Cash dividends declared | (12,451) | (12,451) | ||||||
Other comprehensive income (loss) | 10,133 | 10,133 | ||||||
Balance in the ending at Jun. 30, 2020 | 515 | 1,008,773 | $ 4,623 | 180,537 | (425,053) | 12,195 | $ 4,623 | 776,967 |
Balance in the beginning at Mar. 31, 2020 | 515 | 1,009,478 | 168,984 | (427,890) | 12,367 | 763,454 | ||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 17,705 | 17,705 | ||||||
Stock-based compensation | 1,616 | 1,616 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (2,321) | 2,837 | 516 | |||||
Cash dividends declared | (6,152) | (6,152) | ||||||
Other comprehensive income (loss) | (172) | (172) | ||||||
Balance in the ending at Jun. 30, 2020 | 515 | 1,008,773 | $ 4,623 | 180,537 | (425,053) | 12,195 | $ 4,623 | 776,967 |
Balance in the beginning at Dec. 31, 2020 | 515 | 1,011,362 | 223,175 | (424,127) | 9,766 | 820,691 | ||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 51,012 | 51,012 | ||||||
Stock-based compensation | 2,483 | 2,483 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (2,645) | 1,762 | (883) | |||||
Cash dividends declared | (13,366) | (13,366) | ||||||
Other comprehensive income (loss) | (8,071) | (8,071) | ||||||
Balance in the ending at Jun. 30, 2021 | 515 | 1,011,200 | 260,821 | (422,365) | 1,695 | 851,866 | ||
Balance in the beginning at Mar. 31, 2021 | 515 | 1,010,798 | 243,446 | (423,254) | 485 | 831,990 | ||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 24,200 | 24,200 | ||||||
Stock-based compensation | 1,353 | 1,353 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (951) | 889 | (62) | |||||
Cash dividends declared | (6,825) | (6,825) | ||||||
Other comprehensive income (loss) | 1,210 | 1,210 | ||||||
Balance in the ending at Jun. 30, 2021 | $ 515 | $ 1,011,200 | $ 260,821 | $ (422,365) | $ 1,695 | $ 851,866 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Stockholders' Equity [Abstract] | ||||
Gain on reissuance of treasury stock | $ 1,654 | $ 621 | $ 3,187 | $ 1,035 |
Shares repurchased (shares) | 734,117 | |||
Cash dividends declared per share | $ 0.22 | $ 0.20 | $ 0.43 | $ 0.40 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flows from operating activities: | ||
Net income | $ 51,012 | $ 33,529 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision (release) expense for loan losses | (9,425) | 16,430 |
Provision expense for mortgage loan repurchases | (102) | 320 |
Depreciation and amortization | 7,692 | 7,600 |
Change in current income tax receivable | (3,563) | 1,852 |
Change in deferred income taxes | 2,710 | 1,059 |
Net excess tax (benefit) expense on stock-based compensation | (392) | 128 |
Discount accretion, net of premium amortization on securities | 2,570 | 1,208 |
Loan accretion | (3,179) | (6,821) |
Gain on sale of mortgages, net | (33,326) | (43,315) |
Origination of loans held for sale, net of repayments | (1,064,145) | (984,452) |
Proceeds from sales of loans held for sale | 1,213,796 | 941,153 |
Bank-owned life insurance income | (1,101) | (1,179) |
(Gain) loss on the sale of other real estate owned, net | 192 | 94 |
Originations of mortgage serving rights | (5,949) | (3,189) |
(Recovery) impairment of mortgage servicing rights | (707) | 1,102 |
Impairment on fixed assets related to banking center consolidations | 1,552 | 1,631 |
Gain on sale of fixed assets | (2,315) | (55) |
Stock-based compensation | 2,483 | 2,839 |
Operating lease payments | (2,620) | (2,778) |
Change in other assets | 11,503 | (27,474) |
Change in other liabilities | (36,524) | 46,964 |
Net cash provided by operating activities | 130,162 | (13,328) |
Cash flows from investing activities: | ||
Purchase of FHLB stock | (3) | (437) |
Proceeds from redemption of FHLB stock | 1,755 | |
Proceeds from maturities of investment securities held-to-maturity | 64,762 | 34,150 |
Proceeds from maturities of investment securities available-for-sale | 131,113 | 110,102 |
Purchase of investment securities held-to-maturity | (377,687) | (67,361) |
Purchase of investment securities available-for-sale | (86,199) | (69,571) |
Increase in securities purchased under agreement to resell | 60 | |
Net decrease (increase) in loans | 52,462 | (379,420) |
Sales (purchases) of premises and equipment, net | 9,102 | (3,515) |
Proceeds from sales of other real estate owned | 936 | 1,835 |
Net cash used in investing activities | (203,759) | (374,217) |
Cash flows from financing activities: | ||
Net increase in deposits | 481,821 | 676,757 |
Net decrease in repurchase agreements and other short-term borrowings | (32,431) | |
Advances from FHLB | 947,431 | |
FHLB repayments | (1,140,106) | |
Issuance of stock under purchase and equity compensation plans | (2,424) | (936) |
Proceeds from exercise of stock options | 1,506 | 1,006 |
Payment of dividends | (13,438) | (12,505) |
Repurchase of common stock | (19,476) | |
Net cash provided by financing activities | 467,525 | 419,740 |
Increase in cash, cash equivalents and restricted cash | 393,928 | 32,195 |
Cash, cash equivalents and restricted cash at beginning of the year | 615,565 | 120,190 |
Cash, cash equivalents and restricted cash at end of period | 1,009,493 | 152,385 |
Supplemental disclosure of cash flow information during the period: | ||
Cash paid for interest | 9,581 | 15,535 |
Net tax payment | 9,464 | 7,923 |
Supplemental schedule of non-cash activities: | ||
Loans transferred to other real estate owned at fair value | 1,522 | 1,146 |
Decrease in loans purchased but not settled | 2,000 | (16,351) |
Loans transferred from loans held for sale to loans | $ 3,317 | $ 798 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2021 | Jun. 30, 2020 |
Peoples Inc | ||
Restricted cash placed in escrow | $ 5 | $ 10 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2021 | |
Basis of Presentation | |
Basis of Presentation | Note 1 Basis of Presentation National Bank Holdings Corporation ("NBHC" or the "Company") is a bank holding company that was incorporated in the State of Delaware in 2009. The Company is headquartered in Denver, Colorado, and its primary operations are conducted through its wholly owned subsidiary, NBH Bank (the "Bank"), a Colorado state-chartered bank and a member of the Federal Reserve System. The Company provides a variety of banking products to both commercial and consumer clients through a network of 82 banking centers, as of June 30, 2021, located primarily in Colorado and the greater Kansas City region, and through online and mobile banking products and services. The accompanying interim unaudited consolidated financial statements serve to update the National Bank Holdings Corporation Annual Report on Form 10-K Form 10-K While general economic conditions have been improving, the COVID-19 pandemic caused substantial disruption to the communities we serve and has changed the way we live and work. The length of the pandemic, the impact of new variants of the virus, the efficacy and public acceptance of vaccines and other treatment for COVID-19, and the potential for reinstitution of government measures to curb the spread of the virus and address the resulting economic effects have already had, and are likely to continue to have, a significant impact to the financial condition and operations of the Company. GAAP requires management to make estimates that affect the reported amounts of assets, liabilities, revenues and expenses and disclosures of contingent assets and liabilities. By their nature, estimates are based on judgment and available information. Management has made significant estimates in certain areas, such as the fair values of financial instruments, contingent liabilities and the allowance for credit losses (“ACL”). Because of the inherent uncertainties associated with any estimation process and future changes in market and economic conditions, it is possible that actual results could differ significantly from those estimates. The Company's significant accounting policies followed in the preparation of the unaudited consolidated financial statements are disclosed in note 2 of the audited financial statements and notes for the year ended December 31, 2020 and are contained in the Company's Annual Report on Form 10-K |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2021 | |
Recent Accounting Pronouncements | |
Recent Accounting Pronouncements | Note 2 Recent Accounting Pronouncements The Company has not adopted any recent accounting pronouncements in addition to those disclosed in our Annual Report on Form 10-K |
Investment Securities
Investment Securities | 6 Months Ended |
Jun. 30, 2021 | |
Investment Securities | |
Investment Securities | Note 3 Investment Securities The Company’s investment securities portfolio is comprised of available-for-sale and held-to-maturity investment securities. These investment securities totaled $1.3 billion at June 30, 2021 and included $0.6 billion of available-for-sale securities and $0.7 billion of held-to-maturity securities. At December 31, 2020, investment securities totaled $1.0 billion and included $0.6 billion of available-for-sale securities and $0.4 billion of held-to-maturity securities. Available-for-sale Available-for-sale securities are summarized as follows as of the dates indicated: June 30, 2021 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 217,026 $ 2,182 $ (2,977) $ 216,231 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 384,751 5,809 (3,988) 386,572 Municipal securities 362 9 — 371 Corporate debt 2,000 155 — 2,155 Other securities 469 — — 469 Total investment securities available-for-sale $ 604,608 $ 8,155 $ (6,965) $ 605,798 December 31, 2020 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 193,424 $ 2,952 $ (42) $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 454,345 8,778 (344) 462,779 Municipal securities 362 13 — 375 Corporate debt 2,000 — (2) 1,998 Other securities 469 — — 469 Total investment securities available-for-sale $ 650,600 $ 11,743 $ (388) $ 661,955 During the six months ended June 30, 2021 and 2020, purchases of available-for-sale securities totaled $86.2 million and $69.6 million, respectively. Maturities and paydowns of available-for-sale securities during the six months ended June 30, 2021 and 2020 totaled $131.1 million and $110.1 million, respectively. There were no sales of available-for-sale securities during the six months ended June 30, 2021 or 2020. At June 30, 2021 and December 31, 2020, the Company’s available-for-sale investment portfolio was primarily comprised of mortgage-backed securities backed by government sponsored enterprises collateral such as Federal Home Loan Mortgage Corporation (“FHLMC”) and Federal National Mortgage Association (“FNMA”) and the government owned agency Government National Mortgage Association (“GNMA”). The tables below summarize the available-for-sale securities with unrealized losses as of the dates shown, along with the length of the impairment period: June 30, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 157,105 $ (2,977) $ — $ — $ 157,105 $ (2,977) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 131,255 (3,978) 2,274 (10) 133,529 (3,988) Total $ 288,360 $ (6,955) $ 2,274 $ (10) $ 290,634 $ (6,965) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 26,878 $ (42) $ 1 $ — $ 26,879 $ (42) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 95,888 (328) 2,138 (16) 98,026 (344) Corporate debt 1,998 (2) — — 1,998 (2) Total $ 124,764 $ (372) $ 2,139 $ (16) $ 126,903 $ (388) Management evaluated all of the available-for-sale securities in an unrealized loss position at June 30, 2021 and December 31, 2020. The portfolio included 29 securities, which were in an unrealized loss position at June 30, 2021, compared to 22 securities at December 31, 2020. The unrealized losses in the Company's investment portfolio at June 30, 2021 were caused by changes in interest rates. The Company has no intention to sell these securities and believes it will not be required to sell the securities before the recovery of their amortized cost. Management believes that default of the available-for-sale securities is highly unlikely. FHLMC, FNMA and GNMA guaranteed mortgage-backed securities have a long history of zero credit losses, an explicit guarantee by the U.S. government (although limited for FNMA and FHLMC securities) and yields that generally trade based on market views of prepayment and liquidity risk rather than credit risk. Certain securities are pledged as collateral for public deposits, securities sold under agreements to repurchase and to secure borrowing capacity at the Federal Reserve Bank (“FRB”), if needed. The fair value of available-for-sale investment securities pledged as collateral totaled $404.9 million and $385.8 million at June 30, 2021 and at December 31, 2020, respectively. The Bank may also pledge available-for-sale investment securities as collateral for Federal Home Loan Bank (“FHLB”) advances. No securities were pledged for this purpose at June 30, 2021 or December 31, 2020. Mortgage-backed securities may have actual maturities that differ from contractual maturities depending on the repayment characteristics and experience of the underlying financial instruments. As of June 30, 2021, municipal securities with an amortized cost and fair value As of June 30, 2021 and December 31, 2020, accrued interest receivable (“AIR”) from available-for-sale investment securities totaled $0.9 million and $1.1 million, respectively, and was included within other assets on the statements of financial condition. Held-to-maturity Held-to-maturity investment securities are summarized as follows as of the dates indicated: June 30, 2021 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 337,831 $ 3,629 $ (3,419) $ 338,041 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 349,804 638 (1,338) 349,104 Total investment securities held-to-maturity $ 687,635 $ 4,267 $ (4,757) $ 687,145 December 31, 2020 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 306,187 $ 4,940 $ (197) $ 310,930 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 70,428 396 (63) 70,761 Total investment securities held-to-maturity $ 376,615 $ 5,336 $ (260) $ 381,691 During the six months ended June 30, 2021 and 2020, purchases of held-to-maturity securities totaled $377.7 million and $67.4 million, respectively. Maturities and paydowns of held-to-maturity securities totaled $64.8 million and $34.2 million during the six months ended June 30, 2021 and 2020, respectively. The held-to-maturity portfolio included 34 securities which were in an unrealized loss position as of June 30, 2021, compared to nine securities at December 31, 2020. The tables below summarize the held-to-maturity securities with unrealized losses as of the dates shown, along with the length of the impairment period: June 30, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 231,551 $ (3,419) $ — $ — $ 231,551 $ (3,419) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 147,039 (1,338) — — 147,039 (1,338) Total $ 378,590 $ (4,757) $ — $ — $ 378,590 $ (4,757) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 53,453 $ (197) $ — $ — $ 53,453 $ (197) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 19,554 (63) — — 19,554 (63) Total $ 73,007 $ (260) $ — $ — $ 73,007 $ (260) The Company does not measure expected credit losses on a financial asset, or group of financial assets, in which historical credit loss information adjusted for current conditions and reasonable and supportable forecasts results in an expectation that nonpayment of the amortized cost basis is zero. Management evaluated held-to-maturity securities noting they are backed by loans guaranteed by either U.S. government agencies or U.S. government sponsored entities, and management believes that default is highly unlikely given this governmental backing and long history without credit losses. Additionally, management notes that yields on which the portfolio generally trades are based upon market views of prepayment and liquidity risk and not credit risk. The Company has no intention to sell any held-to-maturity securities and believes it will not be required to sell any held-to-maturity securities before the recovery of their amortized cost. Certain securities are pledged as collateral for public deposits, securities sold under agreements to repurchase and to secure borrowing capacity at the FRB, if needed. The carrying value of held-to-maturity investment securities pledged as collateral totaled $147.0 million and $140.6 million at June 30, 2021 and December 31, 2020, respectively. The Bank may also pledge held-to-maturity investment securities as collateral for FHLB advances. No held-to-maturity investment securities were pledged for this purpose at June 30, 2021 or December 31, 2020. Actual maturities of mortgage-backed securities may differ from scheduled maturities depending on the repayment characteristics and experience of the underlying financial instruments. As of June 30, 2021 and December 31, 2020, AIR from held-to-maturity investment securities totaled $1.0 million and $0.7 million, respectively, and was included within other assets on the statements of financial condition. |
Loans
Loans | 6 Months Ended |
Jun. 30, 2021 | |
Loans | |
Loans | Note 4 Loans The loan portfolio is comprised of loans originated by the Company and loans that were acquired in connection with the Company’s acquisitions. The tables below show the loan portfolio composition including carrying value by segment as of the dates shown. The carrying value of loans is net of discounts, fees, costs and fair value marks of $15.8 million and $16.2 million as of June 30, 2021 and December 31, 2020, respectively. Included in commercial loans are fully-guaranteed loans originated as part of the Small Business Administration’s (“SBA”) Paycheck Protection Program (“PPP”) of which $129.6 million and $176.1 million, net of fees and costs, were outstanding at June 30, 2021 and December 31, 2020, respectively. June 30, 2021 Total loans % of total Commercial $ 2,981,926 69.4% Commercial real estate non-owner occupied 637,620 14.8% Residential real estate 662,929 15.4% Consumer 18,282 0.4% Total $ 4,300,757 100.0% December 31, 2020 Total loans % of total Commercial $ 3,044,065 70.0% Commercial real estate non-owner occupied 631,996 14.5% Residential real estate 658,659 15.1% Consumer 19,006 0.4% Total $ 4,353,726 100.0% Information about delinquent and non-accrual loans is shown in the following tables at June 30, 2021 and December 31, 2020: June 30, 2021 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 1,319 $ 361 $ 2,269 $ 3,949 $ 1,398,150 $ 1,402,099 Municipal and non-profit — — — — 861,099 861,099 Owner occupied commercial real estate 377 — 6,650 7,027 512,694 519,721 Food and agribusiness 177 — 76 253 198,754 199,007 Total commercial 1,873 361 8,995 11,229 2,970,697 2,981,926 Commercial real estate non-owner occupied: Construction — — — — 72,608 72,608 Acquisition/development — — 2 2 21,838 21,840 Multifamily — — — — 98,014 98,014 Non-owner occupied — 245 132 377 444,781 445,158 Total commercial real estate — 245 134 379 637,241 637,620 Residential real estate: Senior lien 195 161 4,260 4,616 596,481 601,097 Junior lien 21 — 485 506 61,326 61,832 Total residential real estate 216 161 4,745 5,122 657,807 662,929 Consumer 9 — 7 16 18,266 18,282 Total loans $ 2,098 $ 767 $ 13,881 $ 16,746 $ 4,284,011 $ 4,300,757 December 31, 2020 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 170 $ — $ 6,312 $ 6,482 $ 1,440,256 $ 1,446,738 Municipal and non-profit — — — — 870,791 870,791 Owner occupied commercial real estate — — 5,450 5,450 510,789 516,239 Food and agribusiness 146 — 422 568 209,729 210,297 Total commercial 316 — 12,184 12,500 3,031,565 3,044,065 Commercial real estate non-owner occupied: Construction — — — — 91,125 91,125 Acquisition/development — — 6 6 24,665 24,671 Multifamily — — 1,523 1,523 67,233 68,756 Non-owner occupied — — 135 135 447,309 447,444 Total commercial real estate — — 1,664 1,664 630,332 631,996 Residential real estate: Senior lien 527 160 5,820 6,507 577,764 584,271 Junior lien 95 — 709 804 73,584 74,388 Total residential real estate 622 160 6,529 7,311 651,348 658,659 Consumer 30 2 10 42 18,964 19,006 Total loans $ 968 $ 162 $ 20,387 $ 21,517 $ 4,332,209 $ 4,353,726 June 30, 2021 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 2,269 $ — $ 2,269 Municipal and non-profit — — — Owner occupied commercial real estate 4,803 1,847 6,650 Food and agribusiness 76 — 76 Total commercial 7,148 1,847 8,995 Commercial real estate non-owner occupied: Construction — — — Acquisition/development 2 — 2 Multifamily — — — Non-owner occupied 132 — 132 Total commercial real estate 134 — 134 Residential real estate: Senior lien 3,546 714 4,260 Junior lien 485 — 485 Total residential real estate 4,031 714 4,745 Consumer 7 — 7 Total loans $ 11,320 $ 2,561 $ 13,881 December 31, 2020 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 6,080 $ 232 $ 6,312 Municipal and non-profit — — — Owner occupied commercial real estate 2,698 2,752 5,450 Food and agribusiness 88 334 422 Total commercial 8,866 3,318 12,184 Commercial real estate non-owner occupied: Construction — — — Acquisition/development 6 — 6 Multifamily — 1,523 1,523 Non-owner occupied 135 — 135 Total commercial real estate 141 1,523 1,664 Residential real estate: Senior lien 4,158 1,662 5,820 Junior lien 709 — 709 Total residential real estate 4,867 1,662 6,529 Consumer 10 — 10 Total loans $ 13,884 $ 6,503 $ 20,387 Loans are considered past due or delinquent when the contractual principal or interest due in accordance with the terms of the loan agreement remains unpaid after the due date of the scheduled payment. Non-accrual loans include non-accrual loans and troubled debt restructurings (“TDRs”) on non-accrual status. There was no interest income recognized from non-accrual loans during the three or six months ended June 30, 2021 or 2020. The Company’s internal risk rating system uses a series of grades, which reflect our assessment of the credit quality of loans based on an analysis of the borrower's financial condition, liquidity and ability to meet contractual debt service requirements and are categorized as “Pass”, “Special mention”, “Substandard” and “Doubtful”. For a description of the general characteristics of the risk grades, refer to note 2 Summary of Significant Accounting Policies in our audited consolidated financial statements in our 2020 Annual Report on Form 10-K The amortized cost basis for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following tables as of June 30, 2021 and December 31, 2020: June 30, 2021 Revolving Revolving loans loans Origination year amortized converted 2021 2020 2019 2018 2017 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 291,810 $ 187,178 $ 193,434 $ 157,743 $ 76,346 $ 23,665 $ 430,813 $ 5,928 $ 1,366,917 Special mention — — 2,163 6,085 4,182 5,973 2,260 — 20,663 Substandard 205 21 338 835 11,288 723 675 — 14,085 Doubtful — — — 79 195 131 29 — 434 Total commercial and industrial 292,015 187,199 195,935 164,742 92,011 30,492 433,777 5,928 1,402,099 Municipal and non-profit: Pass 58,209 90,275 85,838 120,463 152,649 350,024 3,641 — 861,099 Total municipal and non-profit 58,209 90,275 85,838 120,463 152,649 350,024 3,641 — 861,099 Owner occupied commercial real estate: Pass 48,904 93,663 104,223 78,789 47,001 103,023 2,710 165 478,478 Special mention — — 1,744 12,085 1,469 16,542 — — 31,840 Substandard — 1,193 1,729 1,847 236 3,400 — — 8,405 Doubtful — 389 574 — — 35 — — 998 Total owner occupied commercial real estate 48,904 95,245 108,270 92,721 48,706 123,000 2,710 165 519,721 Food and agribusiness: Pass 7,758 27,464 7,773 17,668 5,930 28,307 102,986 12 197,898 Special mention — — — — — 219 — — 219 Substandard — — — — 271 619 — — 890 Total food and agribusiness 7,758 27,464 7,773 17,668 6,201 29,145 102,986 12 199,007 Total commercial 406,886 400,183 397,816 395,594 299,567 532,661 543,114 6,105 2,981,926 Commercial real estate non-owner occupied: Construction: Pass 3,965 7,058 57,375 — 226 — 3,984 — 72,608 Total construction 3,965 7,058 57,375 — 226 — 3,984 — 72,608 Acquisition/development: Pass 1,887 386 1,925 1,830 8,096 7,638 — 51 21,813 Substandard — — — — — 27 — — 27 Total acquisition/development 1,887 386 1,925 1,830 8,096 7,665 — 51 21,840 Multifamily: Pass 1,488 29,660 11,678 16,261 204 38,310 — — 97,601 Special mention — — — — — 413 — — 413 Total multifamily 1,488 29,660 11,678 16,261 204 38,723 — — 98,014 Non-owner occupied Pass 25,552 60,076 88,050 18,697 98,020 120,940 3,483 — 414,818 Special mention — — 5,742 5,748 9,866 3,970 100 — 25,426 Substandard — — — 750 — 4,164 — — 4,914 Total non-owner occupied 25,552 60,076 93,792 25,195 107,886 129,074 3,583 — 445,158 Total commercial real estate non-owner occupied 32,892 97,180 164,770 43,286 116,412 175,462 7,567 51 637,620 Residential real estate: Senior lien Pass 129,600 119,075 51,646 28,401 35,867 210,099 20,266 507 595,461 Special mention — — — — — 476 — — 476 Substandard — 196 796 19 308 3,841 — — 5,160 Total senior lien 129,600 119,271 52,442 28,420 36,175 214,416 20,266 507 601,097 Junior lien Pass 401 2,952 3,470 2,239 1,406 4,295 45,961 198 60,922 Special mention — — — — — 21 343 — 364 Substandard 8 20 108 66 102 223 — 19 546 Total junior lien 409 2,972 3,578 2,305 1,508 4,539 46,304 217 61,832 Total residential real estate 130,009 122,243 56,020 30,725 37,683 218,955 66,570 724 662,929 Consumer Pass 4,600 6,748 2,219 1,037 253 697 2,683 36 18,273 Substandard — — — 1 — 8 — — 9 Total consumer 4,600 6,748 2,219 1,038 253 705 2,683 36 18,282 Total loans $ 574,387 $ 626,354 $ 620,825 $ 470,643 $ 453,915 $ 927,783 $ 619,934 $ 6,916 $ 4,300,757 December 31, 2020 Revolving Revolving loans loans Origination year amortized converted 2020 2019 2018 2017 2016 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 372,041 $ 212,388 $ 189,753 $ 93,822 $ 15,145 $ 17,662 $ 499,283 $ 991 $ 1,401,085 Special mention — 1,445 7,381 4,845 5,810 729 2,329 1,478 24,017 Substandard 23 1,238 925 11,885 56 4,840 1,341 — 20,308 Doubtful — — 34 456 — 809 29 — 1,328 Total commercial and industrial 372,064 215,071 198,093 111,008 21,011 24,040 502,982 2,469 1,446,738 Municipal and non-profit: Pass 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Total municipal and non-profit 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Owner occupied commercial real estate: Pass 100,791 107,558 90,398 53,131 32,648 87,758 1,401 — 473,685 Special mention 1,581 2,236 2,714 544 3,254 19,341 — — 29,670 Substandard — 1,988 6,211 251 93 3,802 — — 12,345 Doubtful — 511 — — — 28 — — 539 Total owner occupied commercial real estate 102,372 112,293 99,323 53,926 35,995 110,929 1,401 — 516,239 Food and agribusiness: Pass 28,139 9,198 20,242 7,198 9,556 28,330 106,007 126 208,796 Special mention — — — — — 222 — — 222 Substandard — — — 302 — 977 — — 1,279 Total food and agribusiness 28,139 9,198 20,242 7,500 9,556 29,529 106,007 126 210,297 Total commercial 634,536 428,473 442,905 328,709 190,831 402,951 613,065 2,595 3,044,065 Commercial real estate non-owner occupied: Construction: Pass 15,841 49,658 17,349 4,072 — — 2,006 1,807 90,733 Special mention 392 — — — — — — — 392 Total construction 16,233 49,658 17,349 4,072 — — 2,006 1,807 91,125 Acquisition/development: Pass 3,762 1,997 1,947 8,373 4,559 3,694 11 — 24,343 Special mention — — — 34 — 253 — — 287 Substandard — — — — — 41 — — 41 Total acquisition/development 3,762 1,997 1,947 8,407 4,559 3,988 11 — 24,671 Multifamily: Pass 29,738 13,670 137 212 18,050 4,990 — — 66,797 Special mention — — — — — 436 — — 436 Substandard — — — — — 1,523 — — 1,523 Total multifamily 29,738 13,670 137 212 18,050 6,949 — — 68,756 Non-owner occupied Pass 51,445 92,225 25,362 86,975 26,613 118,144 3,083 643 404,490 Special mention 70 5,458 5,841 22,737 — 3,662 100 — 37,868 Substandard — — 779 — 3,937 370 — — 5,086 Total non-owner occupied 51,515 97,683 31,982 109,712 30,550 122,176 3,183 643 447,444 Total commercial real estate non-owner occupied 101,248 163,008 51,415 122,403 53,159 133,113 5,200 2,450 631,996 Residential real estate: Senior lien Pass 129,551 76,504 36,493 47,887 88,358 173,091 24,884 218 576,986 Special mention — — — — — 463 — — 463 Substandard 95 818 20 1,232 550 4,107 — — 6,822 Total senior lien 129,646 77,322 36,513 49,119 88,908 177,661 24,884 218 584,271 Junior lien Pass 3,479 4,217 2,553 1,775 1,226 3,760 55,860 365 73,235 Special mention — — — — — 21 341 — 362 Substandard — 112 101 177 55 287 — 59 791 Total junior lien 3,479 4,329 2,654 1,952 1,281 4,068 56,201 424 74,388 Total residential real estate 133,125 81,651 39,167 51,071 90,189 181,729 81,085 642 658,659 Consumer Pass 9,777 3,348 1,674 489 329 623 2,700 19 18,959 Substandard — — 37 — 2 8 — — 47 Total consumer 9,777 3,348 1,711 489 331 631 2,700 19 19,006 Total loans $ 878,686 $ 676,480 $ 535,198 $ 502,672 $ 334,510 $ 718,424 $ 702,050 $ 5,706 $ 4,353,726 Loans evaluated individually We evaluate loans individually when they no longer share risk characteristics with pooled loans. These loans include loans on non-accrual status, loans in bankruptcy, and TDRs described below. If a specific allowance is warranted based on the borrower’s overall financial condition, the specific allowance is calculated based on discounted expected cash flows using the loan’s initial contractual effective interest rate or the fair value of the collateral less selling costs for collateral-dependent loans. A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. Management individually evaluates collateral-dependent loans with an amortized cost basis of $250 thousand or more and includes collateral-dependent loans less than $250 thousand within the general allowance population. The amortized cost basis of collateral-dependent loans over $250 thousand was as follows at June 30, 2021 and December 31, 2020: June 30, 2021 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 3,956 $ 1,910 $ 5,866 Owner-occupied commercial real estate 4,667 284 4,951 Total Commercial 8,623 2,194 10,817 Commercial real estate non owner-occupied Acquisition/development 1,272 — 1,272 Total commercial real estate 1,272 — 1,272 Residential real estate Senior lien 1,970 — 1,970 Total residential real estate 1,970 — 1,970 Total loans $ 11,865 $ 2,194 $ 14,059 December 31, 2020 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 7,579 $ 3,005 $ 10,584 Owner-occupied commercial real estate 3,701 284 3,985 Food and agribusiness 334 — 334 Total Commercial 11,614 3,289 14,903 Commercial real estate non owner-occupied Acquisition/development 1,573 — 1,573 Multifamily 1,523 — 1,523 Total commercial real estate 3,096 — 3,096 Residential real estate Senior lien 2,021 — 2,021 Total residential real estate 2,021 — 2,021 Total loans $ 16,731 $ 3,289 $ 20,020 Loan modifications and troubled debt restructurings The Company’s policy is to review each prospective credit to determine the appropriateness and the adequacy of security or collateral prior to making a loan. In the event of borrower default, the Company seeks recovery in compliance with lending laws, the respective loan agreements, and credit monitoring and remediation procedures that may include restructuring a loan to provide a concession by the Company to the borrower from their original terms due to borrower financial difficulties in order to facilitate repayment. Additionally, if a borrower’s repayment obligation has been discharged by a court, and that debt has not been reaffirmed by the borrower, regardless of past due status, the loan is considered to be a TDR. The CARES Act afforded financial institutions the option to modify loans within certain parameters in response to the COVID-19 pandemic without requiring the modifications to be classified as TDRs under ASC Topic 310 if the borrower has been adversely impacted by COVID-19 and was current on their loan payments. The Company modified 13 loans totaling $4.6 million during the six months ended June 30, 2021 and 463 loans totaling $492.4 million during the six months ended June 30, 2020, due to the effects of the COVID-19 pandemic, that were not classified as TDRs. Modified loans that remained on a payment deferral plan at June 30, 2021 totaled $108.6 million, or 2.5% of the total loan portfolio. Of those loans, principal payment deferrals totaled $102.3 million and full payment deferrals totaled $6.3 million. At June 30, 2021, 0.9% of loan modifications related to COVID-19 were a subsequent modification. All COVID-19 modified loans were classified as performing as of June 30, 2021. At December 31, 2020, modified loans that remained on a payment deferral plan totaled $173.6 million, or 4.0% of the total loan portfolio, of which 26.2% were a subsequent modification. During the three months ended June 30, 2021, the Company restructured no loans to facilitate repayment that are considered TDRs. During the six months ended June 30, 2021, the Company restructured three loans with an amortized cost basis of $1.6 million to facilitate repayment that are considered TDRs. Loan modifications were a reduction of the principal payment, a reduction in interest rate, or an extension of term. The tables below provide additional information related to accruing TDRs at June 30, 2021 and December 31, 2020: June 30, 2021 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 6,809 $ 7,393 $ 7,215 $ 150 Commercial real estate non-owner occupied 2,075 2,120 3,417 — Residential real estate 2,960 2,994 3,784 35 Consumer — — — — Total $ 11,844 $ 12,507 $ 14,416 $ 185 December 31, 2020 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 9,387 $ 9,544 $ 9,978 $ 150 Commercial real estate non-owner occupied 2,400 2,351 4,105 — Residential real estate 2,121 2,185 2,922 12 Consumer 37 37 37 — Total $ 13,945 $ 14,117 $ 17,042 $ 162 The following table summarizes the Company’s carrying value of non-accrual TDRs as of June 30, 2021 and December 31, 2020: June 30, 2021 December 31, 2020 Commercial $ 2,623 $ 3,397 Commercial real estate non-owner occupied 123 1,644 Residential real estate 1,896 3,156 Consumer — — Total non-accruing TDRs $ 4,642 $ 8,197 Accrual of interest is resumed on loans that were previously on non-accrual only after the loan has performed sufficiently for a period of time. The Company had two TDRs totaling $49 thousand that were modified within the past 12 months and had defaulted on their restructured terms during the six months ended June 30, 2021. During the six months ended June 30, 2020, the Company had two TDRs totaling $0.4 million that were modified within the past 12 months and had defaulted on their restructured terms. For purposes of this disclosure, the Company considers “default” to mean 90 days or more past due on principal or interest. The allowance for credit losses related to TDRs on non-accrual status is determined by individual evaluation, including collateral adequacy, using the same process as loans on non-accrual status, which are not classified as TDRs. |
Allowance for Credit Losses
Allowance for Credit Losses | 6 Months Ended |
Jun. 30, 2021 | |
Allowance for Credit Losses | |
Allowance for Credit Losses | Note 5 Allowance for Credit Losses The tables below detail the Company’s allowance for credit losses as of the dates shown: Three months ended June 30, 2021 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 28,085 $ 15,054 $ 11,546 $ 372 $ 55,057 Charge-offs (781) — — (144) (925) Recoveries 128 — 37 33 198 Provision expense (release) for loan losses 1,208 (3,867) (2,732) 91 (5,300) Ending balance $ 28,640 $ 11,187 $ 8,851 $ 352 $ 49,030 Six months ended June 30, 2021 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,376 $ 17,448 $ 11,492 $ 461 $ 59,777 Charge-offs (942) — (22) (263) (1,227) Recoveries 257 6 44 73 380 Provision (release) expense for loan losses (1,051) (6,267) (2,663) 81 (9,900) Ending balance $ 28,640 $ 11,187 $ 8,851 $ 352 $ 49,030 Three months ended June 30, 2020 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,557 $ 9,278 $ 10,696 $ 425 $ 50,956 Charge-offs (694) — (12) (146) (852) Recoveries 172 — 15 49 236 Provision expense for loan losses 3,107 3,036 3,826 156 10,125 Ending balance $ 33,142 $ 12,314 $ 14,525 $ 484 $ 60,465 Six months ended June 30, 2020 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,442 $ 4,850 $ 3,468 $ 304 $ 39,064 Cumulative effect adjustment (1) (1,299) 1,666 5,314 155 5,836 Charge-offs (912) — (40) (397) (1,349) Recoveries 263 — 20 97 380 Provision expense for loan losses 4,648 5,798 5,763 325 16,534 Ending balance $ 33,142 $ 12,314 $ 14,525 $ 484 $ 60,465 (1) Related to the adoption of Accounting Standards Update No. 2016-13, Measurement of Credit Losses on Financial Instruments In evaluating the loan portfolio for an appropriate ACL level, excluding loans evaluated individually, loans were grouped into segments based on broad characteristics such as primary use and underlying collateral. Within the segments, the portfolio was further disaggregated into classes of loans with similar attributes and risk characteristics for purposes of developing the underlying data used within the discounted cash flow model including, but not limited to, prepayment and recovery rates as well as loss rates tied to macro-economic conditions within management’s reasonable and supportable forecast. The ACL also includes subjective adjustments based upon qualitative risk factors including asset quality, loss trends, lending management, portfolio growth and loan review/internal audit results. Net charge-offs on loans during the three and six months ended June 30, 2021 were and , respectively. $0.6 million $0.5 million Net charge-offs on loans during the three and six months ended June 30, 2020 were $0.6 million and $1.0 million, respectively. $0.2 $0.1 The Company has elected to exclude AIR from the allowance for credit losses calculation. As of June 30, 2021 and December 31, 2020, AIR from loans totaled $15.0 million and $16.7 million, respectively. |
Other Real Estate Owned
Other Real Estate Owned | 6 Months Ended |
Jun. 30, 2021 | |
Other Real Estate Owned | |
Other Real Estate Owned | Note 6 Other Real Estate Owned A summary of the activity in other real estate owned (“OREO”) during the six months ended June 30, 2021 and 2020 is as follows: For the six months ended June 30, 2021 2020 Beginning balance $ 4,730 $ 7,300 Transfers from loan portfolio, at fair value 1,522 1,146 Impairments — (26) Sales (1,128) (1,929) Ending balance $ 5,124 $ 6,491 During the six months ended June 30, 2021 and 2020, the Company sold OREO properties with net book balances of $1.1 million and $1.9 million, respectively. Sales of OREO properties resulted in net OREO losses of $0.2 million and $0.2 million, which were included in the consolidated statements of operations for the three and six months ended June 30, 2021, respectively. Net OREO losses of $0.1 million and $0.1 million were included in the consolidated statements of operations for the three and six months ended June 30, 2020, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets | |
Goodwill and Intangible Assets | Note 7 Goodwill and Intangible Assets Goodwill and core deposit intangible In connection with our acquisitions, the Company recorded goodwill of $115.0 million. Goodwill is measured as the excess of the fair value of consideration paid over the fair value of net assets acquired. No goodwill impairment was recorded during the three or six months ended June 30, 2021 or the year ended December 31, 2020. The gross carrying amount of the core deposit intangibles and the associated accumulated amortization at June 30, 2021 and December 31, 2020, are presented as follows: June 30, 2021 December 31, 2020 Gross Net Gross Net carrying Accumulated carrying carrying Accumulated carrying amount amortization amount amount amortization amount Core deposit intangible $ 48,834 $ (41,877) $ 6,957 $ 48,834 $ (41,286) $ 7,548 The Company is amortizing the core deposit intangibles from acquisitions on a straight-line basis over 7 amortization expense of $0.3 million and $0.6 million during the three and six months ended June 30, 2021, respectively. During the three and six months ended June 30, 2020, the Company recognized core deposit intangible amortization expense of $0.3 million and $0.6 million, respectively. The following table shows the estimated future amortization expense for the core deposit intangibles as of June 30, 2021: Years ending December 31, Amount For the six months ending December 31, 2021 $ 592 For the year ending December 31, 2022 1,127 For the year ending December 31, 2023 1,048 For the year ending December 31, 2024 1,048 For the year ending December 31, 2025 1,048 Mortgage servicing rights Mortgage servicing rights (“MSRs”) represent rights to service loans originated by the Company and sold to government-sponsored enterprises including FHLMC, FNMA, GNMA and FHLB and are included in intangible assets in the consolidated statements of financial condition. Mortgage loans serviced for others were $1.9 billion and $0.6 billion at June 30, 2021 and 2020, respectively. Below are the changes in the MSRs for the periods presented: For the six months ended June 30, 2021 2020 Beginning balance $ 10,380 $ 2,630 Originations 5,949 3,189 Recovery (impairment) 707 (1,102) Amortization (1,632) (682) Ending balance 15,404 4,035 Fair value of mortgage servicing rights $ 18,685 $ 4,173 The fair value of MSRs was determined based upon a discounted cash flow analysis. The cash flow analysis included assumptions for discount rates and prepayment speeds. Discount rates ranged from 9.5% to 10.5%, and the constant prepayment speed ranged from 11.4% to 18.7% for the June 30, 2021 valuation. Discount rates ranged from 9.5% to 10.5%, and the constant prepayment speed ranged from 18.3% to 21.3% for the June 30, 2020 valuation. Included in mortgage banking income in the consolidated statements of operations was servicing income of $1.1 million and $2.1 million for the three and six months ended June 30, 2021, respectively, and $0.3 million and $0.5 million for the three and six months ended June 30, 2020, respectively. MSRs are evaluated and impairment is recognized to the extent fair value is less than the carrying amount. The Company evaluates impairment by stratifying MSRs based on the predominant risk characteristics of the underlying loans, including loan type and loan term. The Company is amortizing the MSRs in proportion to and over the period of the estimated net servicing income of the underlying loans. The following table shows the estimated future amortization expense for the MSRs as of June 30, 2021: Years ending December 31, Amount For the six months ending December 31, 2021 $ 955 For the year ending December 31, 2022 1,793 For the year ending December 31, 2023 1,573 For the year ending December 31, 2024 1,381 For the year ending December 31, 2025 1,212 |
Borrowings
Borrowings | 6 Months Ended |
Jun. 30, 2021 | |
Borrowings | |
Borrowings | Note 8 Borrowings The Company enters into repurchase agreements to facilitate the needs of its clients. As of June 30, 2021 and December 31, 2020, the Company sold securities under agreements to repurchase totaling $23.0 million and $22.9 million, respectively. The Company pledged mortgage-backed securities with a fair value of approximately $26.1 million and $27.7 million as of June 30, 2021 and December 31, 2020, respectively, for these agreements. The Company monitors collateral levels on a continuous basis and may be required to provide additional collateral based on the fair value of the underlying securities. As of June 30, 2021 and December 31, 2020, the Company had $3.1 million and $4.8 million, respectively, of excess collateral pledged for repurchase agreements. As a member of the FHLB, the Bank has access to a line of credit and term financing from the FHLB with total available credit of $0.9 billion at June 30, 2021. The Bank may utilize its FHLB line of credit as a funding mechanism for originated loans and loans held for sale. At June 30, 2021 and December 31, 2020, the Bank had no outstanding borrowings from the FHLB. The Bank may pledge investment securities and loans as collateral for FHLB advances. There were no investment securities pledged at June 30, 2021 or December 31, 2020. Loans pledged were $1.3 billion and $1.2 billion at June 30, 2021 and December 31, 2020, respectively. There was no interest expense related to FHLB advances and other short-term borrowings for the three and six months ended June 30, 2021, compared to $0.3 million and $1.2 million during the three and six months ended June 30, 2020, respectively. |
Regulatory Capital
Regulatory Capital | 6 Months Ended |
Jun. 30, 2021 | |
Regulatory Capital | |
Regulatory Capital | Note 9 Regulatory Capital As a bank holding company, the Company is subject to regulatory capital adequacy requirements implemented by the Federal Reserve. The federal banking agencies have risk based capital adequacy regulations intended to provide a measure of capital adequacy that reflects the degree of risk associated with a banking organization’s operations. Under these regulations, assets are assigned to one of several risk categories, and nominal dollar amounts of assets and credit equivalent amounts of off-balance-sheet items are multiplied by a risk adjustment percentage for the category. Under the Basel III requirements, at June 30, 2021 and December 31, 2020, the Company and the Bank met all capital requirements. The Bank had regulatory capital ratios in excess of the levels established for well-capitalized institutions, as detailed in the tables below: June 30, 2021 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.6% $ 733,666 N/A N/A 4.0% $ 277,579 NBH Bank 9.0% 624,289 5.0% $ 346,699 4.0% 277,359 Common equity tier 1 risk based capital: Consolidated 15.3% $ 733,666 N/A N/A 7.0% $ 335,348 NBH Bank 13.1% 624,289 6.5% $ 310,925 7.0% 334,842 Tier 1 risk based capital ratio: Consolidated 15.3% $ 733,666 N/A N/A 8.5% $ 407,208 NBH Bank 13.1% 624,289 8.0% $ 382,677 8.5% 406,594 Total risk based capital ratio: Consolidated 16.3% $ 779,207 N/A N/A 10.5% $ 503,021 NBH Bank 14.0% 669,829 10.0% $ 478,346 10.5% 502,263 December 31, 2020 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.7% $ 696,311 N/A N/A 4.0% $ 260,370 NBH Bank 9.2% 600,622 5.0% $ 325,447 4.0% 260,358 Common equity tier 1 risk based capital: Consolidated 14.7% $ 696,311 N/A N/A 7.0% $ 331,632 NBH Bank 12.7% 600,622 6.5% $ 307,631 7.0% 331,295 Tier 1 risk based capital ratio: Consolidated 14.7% $ 696,311 N/A N/A 8.5% $ 402,696 NBH Bank 12.7% 600,622 8.0% $ 378,623 8.5% 402,287 Total risk based capital ratio: Consolidated 15.8% $ 749,899 N/A N/A 10.5% $ 497,448 NBH Bank 13.8% 654,209 10.0% $ 473,279 10.5% 496,943 |
Revenue from Contracts with Cli
Revenue from Contracts with Clients | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contracts with Clients | |
Revenue from Contracts with Clients | Note 10 Revenue from Contracts with Clients Revenue is recognized when obligations under the terms of a contract with clients are satisfied. Below is the detail of the Company’s revenue from contracts with clients. Service charges and other fees Service charge fees are primarily comprised of monthly service fees, check orders and other deposit account related fees. Other fees include revenue from processing Bank card fees Bank card fees are primarily comprised of debit card income, ATM fees, merchant services income and other fees. Debit card income is primarily comprised of interchange fees earned whenever the Company’s debit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Bank cardholder uses a non-Bank ATM or a non-Bank cardholder uses a Bank ATM. Merchant services income mainly represents fees charged to merchants to process their debit card transactions. The Company’s performance obligation for bank card fees are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Gain on OREO sales, net Gain on OREO sales, net is recognized when the Company meets its performance obligation to transfer title to the buyer. The gain or loss is measured as the excess of the proceeds received compared to the OREO carrying value. Sales proceeds are received in cash at the time of transfer. The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, and non-interest expense in-scope of Topic 606 for the three and six months ended June 30, 2021 and 2020: For the three months ended June 30, For the six months ended June 30, 2021 2020 2021 2020 Non-interest income In-scope of Topic 606: Service charges and other fees $ 4,415 $ 3,543 $ 8,367 $ 8,208 Bank card fees 4,614 3,654 8,687 7,167 Non-interest income (in-scope of Topic 606) 9,029 7,197 17,054 15,375 Non-interest income (out-of-scope of Topic 606) 16,237 31,640 41,573 46,994 Total non-interest income $ 25,266 $ 38,837 $ 58,627 $ 62,369 Non-interest expense In-scope of Topic 606: Loss on OREO sales, net $ (221) $ (55) $ (192) $ (94) Total revenue in-scope of Topic 606 $ 8,808 $ 7,142 $ 16,862 $ 15,281 Contract acquisition costs The Company utilizes the practical expedient which allows entities to expense immediately contract acquisition costs when the asset that would have resulted from capitalizing these costs would have been amortized in one year or less. The Company has not capitalized any contract acquisition costs. |
Stock-based Compensation and Be
Stock-based Compensation and Benefits | 6 Months Ended |
Jun. 30, 2021 | |
Stock-based Compensation and Benefits | |
Stock-based Compensation and Benefits | Note 11 Stock-based Compensation and Benefits The Company provides stock-based compensation in accordance with shareholder-approved plans and is authorized to issue awards of stock options, stock appreciation rights, restricted stock, restricted stock units, performance units, other stock-based awards, or any combination thereof to eligible persons. Stock options The Company issues stock options, which are primarily time-vesting with 1/3 The expense associated with the awarded stock options was measured at fair value using a Black-Scholes option-pricing model. The outstanding option awards vest or have vested on a graded basis over 1-4 years of continuous service and have 10-year contractual terms. The following table summarizes stock option activity for the six months ended June 30, 2021: Weighted average Weighted remaining average contractual Aggregate exercise term in intrinsic Options price years value Outstanding at December 31, 2020 768,129 $ 26.35 6.91 $ 5,224 Granted 80,615 40.16 Exercised (72,497) 27.61 Forfeited (24,853) 27.47 Outstanding at June 30, 2021 751,394 $ 27.68 6.86 $ 7,759 Options exercisable at June 30, 2021 494,874 26.33 5.85 5,675 Options vested and expected to vest 724,144 27.52 6.77 7,568 Stock option expense is a component of salaries and benefits in the consolidated statements of operations and totaled $0.5 million and $0.6 million for the three and six months ended June 30, 2021, respectively, and $0.5 million and $0.7 million for the three and six months ended June 30, 2020, respectively. At June 30, 2021, there was $0.6 million of total unrecognized compensation cost related to non-vested stock options granted under the plans. The cost is expected to be recognized over a weighted average period of 2.4 years. Restricted stock awards The Company issues primarily time-based restricted stock awards that vest over a range of a 1 - 3 year period. Restricted stock with time-based vesting was valued at the fair value of the shares on the date of grant as they are assumed to be held beyond the vesting period. Performance stock units The Company grants performance stock units which represent initial target awards and do not reflect potential increases or decreases resulting from the final performance results, which are to be determined at the end of the three-year performance period (vesting date). The actual number of shares to be awarded at the end of the performance period will range from 0% - 150% of the initial target awards. For awards granted prior to 2020, 60% of the award is based on the Company’s cumulative earnings per share (EPS target) during the performance period, and 40% of the award is based on the Company’s cumulative total shareholder return (TSR target), or TSR, during the performance period. On the vesting date, the Company’s TSR will be compared to the respective TSRs of the companies comprising the KBW Regional Index at the grant date to determine the shares awarded. The fair value of the EPS target portion of the award was determined based on the closing stock price of the Company’s common stock on the grant date. The fair value of the TSR target portion of the award was determined using a Monte Carlo Simulation at the grant date. In establishing the PSU components during 2021 and 2020, the Compensation Committee determined the EPS target portion of the award would not be an effective metric in light of economic uncertainty surrounding COVID-19. Consequently, the Compensation Committee granted an award based upon a relative return on tangible assets (“ROTA”). Annually, the Company’s ROTA will be compared to the respective ROTA of companies comprising the KBW Regional Index. At the end of the measurement period, the Company’s ranking will be averaged to determine the shares awarded. The fair value of the ROTA award was determined based on the closing stock price of the Company’s common stock on the grant date. The weighted-average grant date fair value per unit for the ROTA target portion and the TSR target portion granted during 2021 was $40.16 and $33.11, respectively. The initial weighted-average performance price for the TSR target portion granted during 2021 was $33.04. During the six months ended June 30, 2021, the Company awarded an additional 30,024 units due to final performance results related to performance stock units granted in 2018. The following table summarizes restricted stock and performance stock unit activity during the six months ended June 30, 2021: Weighted Weighted Restricted average grant- Performance average grant- stock shares date fair value stock units date fair value Unvested at December 31, 2020 166,630 $ 27.42 184,837 $ 29.21 Granted 81,481 40.07 52,526 37.01 Adjustment due to performance — — 30,024 30.38 Vested (77,679) 28.56 (90,016) 30.38 Forfeited (19,082) 29.20 (16,977) 28.96 Unvested at June 30, 2021 151,350 $ 33.42 160,394 $ 31.36 As of June 30, 2021, the total unrecognized compensation cost related to the non-vested restricted stock awards and performance stock units totaled $3.6 million and $3.3 million, respectively, and is expected to be recognized over a weighted average period of approximately 2.3 years and 2.1 years, respectively. Expense related to non-vested restricted stock awards totaled $0.6 million and $1.2 million during the three and six months ended June 30, 2021, respectively, and $0.7 million and $1.2 million during the three and six months ended June 30, 2020, respectively. Expense related to non-vested performance stock units totaled $0.2 million and $0.7 million during the three and six months ended June 30, 2021, respectively, and $0.4 million and $0.9 million during the three and six months ended June 30, 2020, respectively. Expense related to non-vested restricted stock awards and units is a component of salaries and benefits in the Company’s consolidated statements of operations. Employee stock purchase plan The 2014 Employee Stock Purchase Plan (“ESPP”) is intended to be a qualified plan within the meaning of Section 423 of the Internal Revenue Code of 1986 and allows eligible employees to purchase shares of common stock through payroll deductions up to a limit of $25,000 per calendar year and 2,000 shares per offering period. The price an employee pays for shares is 90.0% of the fair market value of Company common stock on the last day of the offering period. The offering periods are the six-month periods commencing on March 1 and September 1 of each year and ending on August 31 and February 28 (or February 29 in the case of a leap year) of each year. There are no vesting or other restrictions on the stock purchased by employees under the ESPP. Under the ESPP, the total number of shares of common stock reserved for issuance totaled 400,000 shares, of which 293,905 was available for issuance at June 30, 2021. Under the ESPP, employees purchased 8,971 shares and 8,890 shares during the six months ended June 30, 2021 and 2020, respectively. |
Common Stock
Common Stock | 6 Months Ended |
Jun. 30, 2021 | |
Common Stock | |
Common Stock | Note 12 Common Stock The Company had 30,800,985 and 30,634,291 shares of Class A common stock outstanding at June 30, 2021 and December 31, 2020, respectively. Additionally, the Company had 151,350 and 166,630 shares outstanding at June 30, 2021 and December 31, 2020, respectively, of restricted Class A common stock issued but not yet vested under the 2014 Omnibus Incentive Plan that are not included in shares outstanding until such time that they are vested; however, these shares do have voting and certain dividend rights during the vesting period. On February 24, 2021, the Company’s Board of Directors authorized a new program to repurchase up to $75.0 million of the Company’s stock from time to time in either the open market or through privately negotiated transactions. The new program of $75.0 million replaces the previously authorized $50.0 million stock repurchase program announced in February 2020 in its entirety. The remaining authorization under the new program as of June 30, 2021 was $75.0 million. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share | |
Earnings Per Share | Note 13 Earnings Per Share The Company calculates earnings per share under the two-class method, as certain non-vested share awards contain non-forfeitable rights to dividends. As such, these awards are considered securities that participate in the earnings of the Company. Non-vested shares are discussed further in note 11. The Company had 30,800,985 and 30,569,011 shares of Class A common stock outstanding as of June 30, 2021 and 2020, respectively, exclusive of issued non-vested restricted shares. Certain stock options and non-vested restricted shares are potentially dilutive securities, but are not included in the calculation of diluted earnings per share because to do so would have been anti-dilutive for the three and six months ended June 30, 2021 and 2020. The following table illustrates the computation of basic and diluted earnings per share for the three and six months ended June 30, 2021 and 2020: For the three months ended For the six months ended June 30, 2021 June 30, 2020 June 30, 2021 June 30, 2020 Net income $ 24,200 $ 17,705 $ 51,012 $ 33,529 Less: income allocated to participating securities (33) (37) (67) (61) Income allocated to common shareholders $ 24,167 $ 17,668 $ 50,945 $ 33,468 Weighted average shares outstanding for basic earnings per common share 30,947,206 30,731,758 30,888,062 30,944,617 Dilutive effect of equity awards 279,145 125,848 294,522 183,467 Weighted average shares outstanding for diluted earnings per common share 31,226,351 30,857,606 31,182,584 31,128,084 Basic earnings per share $ 0.78 $ 0.57 $ 1.65 $ 1.08 Diluted earnings per share 0.77 0.57 1.63 1.08 The Company had 751,394 and 825,031 outstanding stock options to purchase common stock at weighted average exercise prices of $27.68 and $26.11 per share at June 30, 2021 and 2020, respectively, which have time-vesting criteria, and as such, any dilution is derived only for the time frame in which the vesting criteria had been met and where the inclusion of those stock options is dilutive. The Company had 311,744 and 335,560 unvested restricted shares and performance stock units issued as of June 30, 2021 and 2020, respectively, which have performance, market and/or time-vesting criteria, and as such, any dilution is derived only for the time frame in which the vesting criteria had been met and where the inclusion of those restricted shares and units is dilutive. |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2021 | |
Derivatives | |
Derivatives | Note 14 Derivatives Risk management objective of using derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company has established policies that neither carrying value nor fair value at risk should exceed established guidelines. The Company has designed strategies to confine these risks within the established limits and identify appropriate trade-offs in the financial structure of its balance sheet. These strategies include the use of derivative financial instruments to help achieve the desired balance sheet repricing structure while meeting the desired objectives of its clients. Currently, the Company employs certain interest rate swaps that are designated as fair value hedges as well as economic hedges. The Company manages a matched book with respect to its derivative instruments in order to minimize its net risk exposure resulting from such transactions. Fair values of derivative instruments on the balance sheet The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated statements of financial condition as of June 30, 2021 and December 31, 2020. Information about the valuation methods used to measure fair value is provided in note 16. Asset derivatives fair value Liability derivatives fair value Balance Sheet June 30, December 31, Balance Sheet June 30, December 31, location 2021 2020 Location 2021 2020 Derivatives designated as hedging instruments: Interest rate products Other assets $ 42 $ — Other liabilities $ 21,670 $ 38,884 Total derivatives designated as hedging instruments $ 42 $ — $ 21,670 $ 38,884 Derivatives not designated as hedging instruments: Interest rate products Other assets $ 11,640 $ 18,149 Other liabilities $ 11,661 $ 18,176 Interest rate lock commitments Other assets 2,950 7,001 Other liabilities 414 298 Forward contracts Other assets 63 — Other liabilities 301 2,622 Total derivatives not designated as hedging instruments $ 14,653 $ 25,150 $ 12,376 $ 21,096 Fair value hedges Interest rate swaps designated as fair value hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without the exchange of the underlying notional amount. As of June 30, 2021, the Company had interest rate swaps with a notional amount of $339.2 million, which were designated as fair value hedges of interest rate risk. As of December 31, 2020, the Company had interest rate swaps with a notional amount of $387.1 million that were designated as fair value hedges. These interest rate swaps were associated with $339.3 million and $389.9 million of the Company’s fixed-rate loans as of June 30, 2021 and December 31, 2020, respectively, before a gain of $26.7 million and $40.1 million from the fair value hedge adjustment in the carrying amount, included in loans receivable on the statements of financial condition as of June 30, 2021 and December 31, 2020. For derivatives designated and that qualify as fair value hedges, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in earnings. The Company includes the gain or loss on the hedged items in the same line item as the offsetting loss or gain on the related derivatives. Non-designated hedges Derivatives not designated as hedges are not speculative and consist of interest rate swaps with commercial banking clients that facilitate their respective risk management strategies. Interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the client swaps and the offsetting swaps are recognized directly in earnings. As of June 30, 2021, the Company had matched interest rate swap transactions with an aggregate notional amount of $414.2 million related to this program. As of December 31, 2020, the Company had matched interest rate swap transactions with an aggregate notional amount of $456.0 million. As part of its mortgage banking activities, the Company enters into interest rate lock commitments, which are commitments to originate loans where the interest rate on the loan is determined prior to funding and the clients have locked into that interest rate. The Company then locks in the loan and interest rate with an investor and commits to deliver the loan if settlement occurs ("best efforts") or commits to deliver the locked loan in a binding ("mandatory") delivery program with an investor. Fair value changes of certain loans under interest rate lock commitments are hedged with forward sales contracts of MBS. Forward sales contracts of MBS are recorded at fair value with changes in fair value recorded in non-interest income. Interest rate lock commitments and commitments to deliver loans to investors are considered derivatives. The market value of interest rate lock commitments and best efforts contracts are not readily ascertainable with precision because they are not actively traded in stand-alone markets. The Company determines the fair value of interest rate lock commitments and delivery contracts by measuring the fair value of the underlying assets. The fair value of the underlying assets is impacted by current interest rates, remaining origination fees, costs of production to be incurred and the probability that the interest rate lock commitments will close or will be funded. Certain additional risks arise from these forward delivery contracts in that the counterparties to the contracts may not be able to meet the terms of the contracts. The Company does not expect any counterparty to any MBS contract to fail to meet its obligation. Additional risks inherent in mandatory delivery programs include the risk that, if the Company fails to deliver the loans subject to interest rate risk lock commitments, it will still be obligated to “pair off” MBS to the counterparty. Should this be required, the Company could incur significant costs in acquiring replacement loans and such costs could have an adverse effect on the consolidated financial statements. The fair value of the mortgage banking derivative is recorded as a freestanding asset or liability with the change in value being The Company had interest rate lock commitments with a notional value of $182.0 million and forward contracts with a notional value of $244.4 million at June 30, 2021. At December 31, 2020, the Company had interest rate lock commitments with a notional value of $258.8 million and forward contracts with a notional value of $375.3 million . Effect of derivative instruments on the consolidated statements of operations The tables below present the effect of the Company’s derivative financial instruments in the consolidated statements of operations for the three and six months ended June 30, 2021 and 2020: Location of gain (loss) Amount of (loss) gain recognized in income on derivatives Derivatives in fair value recognized in income on For the three months ended June 30, For the six months ended June 30, hedging relationships derivatives 2021 2020 2021 2020 Interest rate products Interest and fees on loans $ (28,100) $ 31,037 $ (7,228) $ (3,733) Total $ (28,100) $ 31,037 $ (7,228) $ (3,733) Location of gain (loss) Amount of gain (loss) recognized in income on hedged items recognized in income on For the three months ended June 30, For the six months ended June 30, Hedged items hedged items 2021 2020 2021 2020 Interest rate products Interest and fees on loans $ 23,726 $ (31,654) $ 5,157 $ 2,124 Total $ 23,726 $ (31,654) $ 5,157 $ 2,124 Location of gain (loss) Amount of gain (loss) recognized in income on derivatives Derivatives not designated recognized in income on For the three months ended June 30, For the six months ended June 30, as hedging instruments derivatives 2021 2020 2021 2020 Interest rate products Other non-interest expense $ 4 $ (50) $ 10 $ (73) Interest rate lock commitments Mortgage banking income (1,029) 3,428 (5,101) 10,931 Forward contracts Mortgage banking income (3,698) 3,617 2,384 (2,090) Total $ (4,723) $ 6,995 $ (2,707) $ 8,768 Credit-risk-related contingent features The Company has agreements with its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness for reasons other than an error or omission of an administrative or operational nature, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. The Company also has agreements with certain of its derivative counterparties that contain a provision where if the Company fails to maintain its status as a well/adequately capitalized institution, then the counterparty has the right to terminate the derivative positions and the Company would be required to settle its obligations under the agreements. As of June 30, 2021, the termination value of derivatives in a net liability position related to these agreements was $34.6 million, which includes accrued interest but excludes any adjustment for nonperformance risk. The Company has minimum collateral posting thresholds with certain of its derivative counterparties and, as of June 30, 2021, the Company had posted $36.8 million in eligible collateral. If the Company had breached any of these provisions at June 30, 2021, it could have been required to settle its obligations under the agreements at the termination value. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | Note 15 Commitments and Contingencies In the normal course of business, the Company enters into various off-balance sheet commitments to help meet the financing needs of clients. These financial instruments include commitments to extend credit, commercial and consumer lines of credit and standby letters of credit. The same credit policies are applied to these commitments as the loans on the consolidated statements of financial condition; however, these commitments involve varying degrees of credit risk in excess of the amount recognized in the consolidated statements of financial condition. The total amounts of unused commitments do not necessarily represent future credit exposure or cash requirements, as commitments often expire without being drawn upon. However, the contractual amount of these commitments, offset by any additional collateral pledged, represents the Company’s potential credit loss exposure. Total unfunded commitments at June 30, 2021 and December 31, 2020 were as follows: June 30, 2021 December 31, 2020 Commitments to fund loans $ 455,362 $ 311,237 Unfunded commitments under lines of credit 539,580 537,325 Commercial and standby letters of credit 9,162 7,320 Total unfunded commitments $ 1,004,104 $ 855,882 Commitments to fund loans Unfunded commitments under lines of credit Commercial and standby letters of credit Contingencies Mortgage loans sold to investors may be subject to repurchase or indemnification in the event of specific default by the borrower or subsequent discovery that underwriting standards were not met. The Company established a reserve liability for expected losses related to these representations and warranties based upon management’s evaluation of actual and historic loss history, delinquency trends in the portfolio and economic conditions. Charges against the reserve during the three and six months ended June 30, 2021 and 2020 were driven by early payoffs and repurchases. The repurchase reserve is included in other liabilities on the consolidated statements of financial condition. The following table summarizes mortgage repurchase reserve activity for the periods presented: For the three months ended June 30, For the six months ended June 30, 2021 2020 2021 2020 Beginning balance $ 2,620 $ 2,790 $ 2,741 $ 2,589 Provision (released from) charged to operating expense, net (106) 41 (102) 320 Charge-offs (116) (106) (241) (184) Ending balance $ 2,398 $ 2,725 $ 2,398 $ 2,725 In the ordinary course of business, the Company and the Bank may be subject to litigation. Based upon the available information and advice from the Company’s legal counsel, management does not believe that any potential, threatened or pending litigation to which it is a party will have a material adverse effect on the Company’s liquidity, financial condition or results of operations. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements | |
Fair Value Measurements | Note 16 Fair Value Measurements The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to disclose the fair value of its financial instruments. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. For disclosure purposes, the Company groups its financial and non-financial assets and liabilities into three different levels based on the nature of the instrument and the availability and reliability of the information that is used to determine fair value. The three levels are defined as follows: ● Level 1—Includes assets or liabilities in which the valuation methodologies are based on unadjusted quoted prices in active markets for identical assets or liabilities. ● Level 2—Includes assets or liabilities in which the inputs to the valuation methodologies are based on similar assets or liabilities in inactive markets, quoted prices for identical or similar assets or liabilities in inactive markets, and inputs other than quoted prices that are observable, such as interest rates, yield curves, volatilities, prepayment speeds and other inputs obtained from observable market input. ● Level 3—Includes assets or liabilities in which the inputs to the valuation methodology are based on at least one significant assumption that is not observable in the marketplace. These valuations may rely on management’s judgment and may include internally-developed model-based valuation techniques. Level 1 inputs are considered to be the most transparent and reliable and level 3 inputs are considered to be the least transparent and reliable. The Company assumes the use of the principal market to conduct a transaction of each particular asset or liability being measured and then considers the assumptions that market participants would use when pricing the asset or liability. Whenever possible, the Company first looks for quoted prices for identical assets or liabilities in active markets (level 1 inputs) to value each asset or liability. However, when inputs from identical assets or liabilities on active markets are not available, the Company utilizes market observable data for similar assets and liabilities. The Company maximizes the use of observable inputs and limits the use of unobservable inputs to occasions when observable inputs are not available. The need to use unobservable inputs generally results from the lack of market liquidity of the actual financial instrument or of the underlying collateral. While third-party price indications may be available in those cases, limited trading activity can challenge the observability of those inputs. Changes in the valuation inputs used for measuring the fair value of financial instruments may occur due to changes in current market conditions or other factors. Such changes may necessitate a transfer of the financial instruments to another level in the hierarchy based on the new inputs used. The Company recognizes these transfers at the end of the reporting period that the transfer occurs. During the six months ended June 30, 2021 and 2020, there were no transfers of financial instruments between the hierarchy levels. The following is a description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of each instrument under the valuation hierarchy: Fair Value of Financial Instruments Measured on a Recurring Basis Investment securities available-for-sale Loans held for sale Interest rate swap derivatives financial institutions ("dealers"). International Swaps and Derivative Association Master Agreements ("ISDA") and Credit Support Annexes ("CSA") are employed for all contracts with dealers. These contracts contain bilateral collateral arrangements. The fair value inputs of these financial instruments are determined using discounted cash flow analysis through the use of third-party models whose significant inputs are readily observable market parameters, primarily yield curves, with appropriate adjustments for liquidity and credit risk, and are classified as level 2. Mortgage banking derivatives valuation model to estimate the fair value of its forward commitments to sell residential mortgage loans (i.e., an estimate of what the Company would receive or pay to terminate the forward delivery contract based on market prices for similar financial instruments), which includes matching specific terms and maturities of the forward commitments against applicable investor pricing. The tables below present the financial instruments measured at fair value on a recurring basis as of June 30, 2021 and December 31, 2020 on the consolidated statements of financial condition utilizing the hierarchy structure described above: June 30, 2021 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 216,231 $ — $ 216,231 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 386,572 — 386,572 Municipal securities — 314 — 314 Corporate debt — 2,155 — 2,155 Loans held for sale — 134,805 — 134,805 Interest rate swap derivatives — 11,682 — 11,682 Mortgage banking derivatives — — 3,013 3,013 Total assets at fair value $ — $ 751,759 $ 3,013 $ 754,772 Liabilities: Interest rate swap derivatives $ — $ 33,331 $ — $ 33,331 Mortgage banking derivatives — — 715 715 Total liabilities at fair value $ — $ 33,331 $ 715 $ 34,046 December 31, 2020 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 196,334 $ — $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 462,779 — 462,779 Municipal securities — 318 — 318 Corporate debt — 1,998 — 1,998 Loans held for sale — 247,813 — 247,813 Interest rate swap derivatives — 18,149 — 18,149 Mortgage banking derivatives — — 7,001 7,001 Total assets at fair value $ — $ 927,391 $ 7,001 $ 934,392 Liabilities: Interest rate swap derivatives $ — $ 57,060 $ — $ 57,060 Mortgage banking derivatives — — 2,920 2,920 Total liabilities at fair value $ — $ 57,060 $ 2,920 $ 59,980 The table below details the changes in level 3 financial instruments during the six months ended June 30, 2021: Mortgage banking derivatives, net Balance at December 31, 2020 $ 4,081 Gain included in earnings, net (2,717) Fees and costs included in earnings, net 934 Balance at June 30, 2021 $ 2,298 Fair Value of Financial Instruments Measured on a Non-recurring Basis Certain assets may be recorded at fair value on a non-recurring basis as conditions warrant. These non-recurring fair value measurements typically result from the application of lower of cost or fair value accounting or a write-down occurring during the period. Individually evaluated loans OREO Mortgage servicing rights MSRs subject to impairment testing. The carrying values of these MSRs are reviewed quarterly for impairment based upon the calculation of fair value. For purposes of measuring impairment, the MSRs are stratified into certain risk characteristics including note type and note term. If the valuation model reflects a value less than the carrying value, MSRs are adjusted to fair value through a valuation allowance and the adjustment is included in mortgage banking income on the consolidated statements of operations. There was $0.7 million of recovery on MSRs during the six months ended June 30, 2021, compared to $1.1 million of impairment during the six months ended June 30, 2020. The inputs used to determine the fair values of MSRs are considered level 3 inputs in the fair value hierarchy. Premises and equipment The Company may be required to record fair value adjustments on other available-for-sale and municipal securities valued at par on a non-recurring basis. The tables below provide information regarding the assets recorded at fair value on a non-recurring basis during the six months ended June 30, 2021 and 2020: June 30, 2021 Total Losses from fair value changes Individually evaluated loans $ 20,807 $ 1,227 Premises and equipment 6,032 1,552 Total $ 26,839 $ 2,779 June 30, 2020 Total Losses from fair value changes Individually evaluated loans $ 33,075 $ 1,349 Premises and equipment 8,024 1,631 Mortgage servicing rights 4,035 1,102 Total $ 45,134 $ 4,082 The Company did not record any liabilities measured at fair value on a non-recurring basis during the six months ended June 30, 2021. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements | |
Fair Value of Financial Instruments | Note 17 Fair Value of Financial Instruments The fair value of a financial instrument is the amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is determined based upon quoted market prices to the extent possible; however, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques that may be significantly impacted by the assumptions used, including the discount rate and estimates of future cash flows. Changes in any of these assumptions could significantly affect the fair value estimates. The fair value of the financial instruments listed below does not reflect a premium or discount that could result from offering all of the Company’s holdings of financial instruments at one time, nor does it reflect the underlying value of the Company, as ASC Topic 825 excludes certain financial instruments and all non-financial instruments from its disclosure requirements. The estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methodologies and are based on the exit price concept within ASC Topic 825 and applied to this disclosure on a prospective basis. Considerable judgment is required to interpret market data in order to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The fair value of financial instruments at June 30, 2021 and December 31, 2020 are set forth below: Level in fair value June 30, 2021 December 31, 2020 measurement Carrying Estimated Carrying Estimated hierarchy amount fair value amount fair value ASSETS Cash and cash equivalents Level 1 $ 1,004,493 $ 1,004,493 $ 605,565 $ 605,565 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 216,231 216,231 196,334 196,334 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 386,572 386,572 462,779 462,779 Municipal securities available-for-sale Level 2 314 314 318 318 Municipal securities available-for-sale Level 3 57 57 57 57 Corporate debt Level 2 2,155 2,155 1,998 1,998 Other available-for-sale securities Level 3 469 469 469 469 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 337,831 338,041 306,187 310,930 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 349,804 349,104 70,428 70,761 Non-marketable securities Level 2 14,741 14,741 16,493 16,493 Loans receivable Level 3 4,300,757 4,384,071 4,353,726 4,511,357 Loans held for sale Level 2 134,805 134,805 247,813 247,813 Accrued interest receivable Level 2 17,156 17,156 18,795 18,795 Interest rate swap derivatives Level 2 11,682 11,682 18,149 18,149 Mortgage banking derivatives Level 3 3,013 3,013 7,001 7,001 LIABILITIES Deposit transaction accounts Level 2 5,233,552 5,233,552 4,690,100 4,690,100 Time deposits Level 2 924,501 928,221 986,132 993,070 Securities sold under agreements to repurchase Level 2 22,957 22,957 22,897 22,897 Accrued interest payable Level 2 4,755 4,755 6,762 6,762 Interest rate swap derivatives Level 2 33,331 33,331 57,060 57,060 Mortgage banking derivatives Level 3 715 715 2,920 2,920 |
Investment Securities (Tables)
Investment Securities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Investment Securities | |
Available-for-sale Securities | Available-for-sale securities are summarized as follows as of the dates indicated: June 30, 2021 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 217,026 $ 2,182 $ (2,977) $ 216,231 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 384,751 5,809 (3,988) 386,572 Municipal securities 362 9 — 371 Corporate debt 2,000 155 — 2,155 Other securities 469 — — 469 Total investment securities available-for-sale $ 604,608 $ 8,155 $ (6,965) $ 605,798 December 31, 2020 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 193,424 $ 2,952 $ (42) $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 454,345 8,778 (344) 462,779 Municipal securities 362 13 — 375 Corporate debt 2,000 — (2) 1,998 Other securities 469 — — 469 Total investment securities available-for-sale $ 650,600 $ 11,743 $ (388) $ 661,955 During the six months ended June 30, 2021 and 2020, purchases of available-for-sale securities totaled $86.2 million and $69.6 million, respectively. Maturities and paydowns of available-for-sale securities during the six months ended June 30, 2021 and 2020 totaled $131.1 million and $110.1 million, respectively. There were no sales of available-for-sale securities during the six months ended June 30, 2021 or 2020. |
Summary of unrealized losses for available-for-sale securities | The tables below summarize the available-for-sale securities with unrealized losses as of the dates shown, along with the length of the impairment period: June 30, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 157,105 $ (2,977) $ — $ — $ 157,105 $ (2,977) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 131,255 (3,978) 2,274 (10) 133,529 (3,988) Total $ 288,360 $ (6,955) $ 2,274 $ (10) $ 290,634 $ (6,965) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 26,878 $ (42) $ 1 $ — $ 26,879 $ (42) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 95,888 (328) 2,138 (16) 98,026 (344) Corporate debt 1,998 (2) — — 1,998 (2) Total $ 124,764 $ (372) $ 2,139 $ (16) $ 126,903 $ (388) |
Held-to-maturity Securities | Held-to-maturity investment securities are summarized as follows as of the dates indicated: June 30, 2021 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 337,831 $ 3,629 $ (3,419) $ 338,041 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 349,804 638 (1,338) 349,104 Total investment securities held-to-maturity $ 687,635 $ 4,267 $ (4,757) $ 687,145 December 31, 2020 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 306,187 $ 4,940 $ (197) $ 310,930 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 70,428 396 (63) 70,761 Total investment securities held-to-maturity $ 376,615 $ 5,336 $ (260) $ 381,691 |
Summary of unrealized losses for held-to-maturity securities | During the six months ended June 30, 2021 and 2020, purchases of held-to-maturity securities totaled $377.7 million and $67.4 million, respectively. Maturities and paydowns of held-to-maturity securities totaled $64.8 million and $34.2 million during the six months ended June 30, 2021 and 2020, respectively. The held-to-maturity portfolio included 34 securities which were in an unrealized loss position as of June 30, 2021, compared to nine securities at December 31, 2020. The tables below summarize the held-to-maturity securities with unrealized losses as of the dates shown, along with the length of the impairment period: June 30, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 231,551 $ (3,419) $ — $ — $ 231,551 $ (3,419) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 147,039 (1,338) — — 147,039 (1,338) Total $ 378,590 $ (4,757) $ — $ — $ 378,590 $ (4,757) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 53,453 $ (197) $ — $ — $ 53,453 $ (197) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 19,554 (63) — — 19,554 (63) Total $ 73,007 $ (260) $ — $ — $ 73,007 $ (260) |
Loans (Tables)
Loans (Tables) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Loans | ||
Loan Portfolio Composition Including Carrying Value by Segment of Originated and Acquired Loans Accounted for under ASC Topic 310-30 and Loans Covered by the FDIC Loss Sharing Agreements | June 30, 2021 Total loans % of total Commercial $ 2,981,926 69.4% Commercial real estate non-owner occupied 637,620 14.8% Residential real estate 662,929 15.4% Consumer 18,282 0.4% Total $ 4,300,757 100.0% December 31, 2020 Total loans % of total Commercial $ 3,044,065 70.0% Commercial real estate non-owner occupied 631,996 14.5% Residential real estate 658,659 15.1% Consumer 19,006 0.4% Total $ 4,353,726 100.0% | |
Carrying Value of Loan Portfolio by Segment and Credit Quality Indicator | December 31, 2020 Revolving Revolving loans loans Origination year amortized converted 2020 2019 2018 2017 2016 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 372,041 $ 212,388 $ 189,753 $ 93,822 $ 15,145 $ 17,662 $ 499,283 $ 991 $ 1,401,085 Special mention — 1,445 7,381 4,845 5,810 729 2,329 1,478 24,017 Substandard 23 1,238 925 11,885 56 4,840 1,341 — 20,308 Doubtful — — 34 456 — 809 29 — 1,328 Total commercial and industrial 372,064 215,071 198,093 111,008 21,011 24,040 502,982 2,469 1,446,738 Municipal and non-profit: Pass 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Total municipal and non-profit 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Owner occupied commercial real estate: Pass 100,791 107,558 90,398 53,131 32,648 87,758 1,401 — 473,685 Special mention 1,581 2,236 2,714 544 3,254 19,341 — — 29,670 Substandard — 1,988 6,211 251 93 3,802 — — 12,345 Doubtful — 511 — — — 28 — — 539 Total owner occupied commercial real estate 102,372 112,293 99,323 53,926 35,995 110,929 1,401 — 516,239 Food and agribusiness: Pass 28,139 9,198 20,242 7,198 9,556 28,330 106,007 126 208,796 Special mention — — — — — 222 — — 222 Substandard — — — 302 — 977 — — 1,279 Total food and agribusiness 28,139 9,198 20,242 7,500 9,556 29,529 106,007 126 210,297 Total commercial 634,536 428,473 442,905 328,709 190,831 402,951 613,065 2,595 3,044,065 Commercial real estate non-owner occupied: Construction: Pass 15,841 49,658 17,349 4,072 — — 2,006 1,807 90,733 Special mention 392 — — — — — — — 392 Total construction 16,233 49,658 17,349 4,072 — — 2,006 1,807 91,125 Acquisition/development: Pass 3,762 1,997 1,947 8,373 4,559 3,694 11 — 24,343 Special mention — — — 34 — 253 — — 287 Substandard — — — — — 41 — — 41 Total acquisition/development 3,762 1,997 1,947 8,407 4,559 3,988 11 — 24,671 Multifamily: Pass 29,738 13,670 137 212 18,050 4,990 — — 66,797 Special mention — — — — — 436 — — 436 Substandard — — — — — 1,523 — — 1,523 Total multifamily 29,738 13,670 137 212 18,050 6,949 — — 68,756 Non-owner occupied Pass 51,445 92,225 25,362 86,975 26,613 118,144 3,083 643 404,490 Special mention 70 5,458 5,841 22,737 — 3,662 100 — 37,868 Substandard — — 779 — 3,937 370 — — 5,086 Total non-owner occupied 51,515 97,683 31,982 109,712 30,550 122,176 3,183 643 447,444 Total commercial real estate non-owner occupied 101,248 163,008 51,415 122,403 53,159 133,113 5,200 2,450 631,996 Residential real estate: Senior lien Pass 129,551 76,504 36,493 47,887 88,358 173,091 24,884 218 576,986 Special mention — — — — — 463 — — 463 Substandard 95 818 20 1,232 550 4,107 — — 6,822 Total senior lien 129,646 77,322 36,513 49,119 88,908 177,661 24,884 218 584,271 Junior lien Pass 3,479 4,217 2,553 1,775 1,226 3,760 55,860 365 73,235 Special mention — — — — — 21 341 — 362 Substandard — 112 101 177 55 287 — 59 791 Total junior lien 3,479 4,329 2,654 1,952 1,281 4,068 56,201 424 74,388 Total residential real estate 133,125 81,651 39,167 51,071 90,189 181,729 81,085 642 658,659 Consumer Pass 9,777 3,348 1,674 489 329 623 2,700 19 18,959 Substandard — — 37 — 2 8 — — 47 Total consumer 9,777 3,348 1,711 489 331 631 2,700 19 19,006 Total loans $ 878,686 $ 676,480 $ 535,198 $ 502,672 $ 334,510 $ 718,424 $ 702,050 $ 5,706 $ 4,353,726 | |
Past Due Financing Receivables | Information about delinquent and non-accrual loans is shown in the following tables at June 30, 2021 and December 31, 2020: June 30, 2021 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 1,319 $ 361 $ 2,269 $ 3,949 $ 1,398,150 $ 1,402,099 Municipal and non-profit — — — — 861,099 861,099 Owner occupied commercial real estate 377 — 6,650 7,027 512,694 519,721 Food and agribusiness 177 — 76 253 198,754 199,007 Total commercial 1,873 361 8,995 11,229 2,970,697 2,981,926 Commercial real estate non-owner occupied: Construction — — — — 72,608 72,608 Acquisition/development — — 2 2 21,838 21,840 Multifamily — — — — 98,014 98,014 Non-owner occupied — 245 132 377 444,781 445,158 Total commercial real estate — 245 134 379 637,241 637,620 Residential real estate: Senior lien 195 161 4,260 4,616 596,481 601,097 Junior lien 21 — 485 506 61,326 61,832 Total residential real estate 216 161 4,745 5,122 657,807 662,929 Consumer 9 — 7 16 18,266 18,282 Total loans $ 2,098 $ 767 $ 13,881 $ 16,746 $ 4,284,011 $ 4,300,757 December 31, 2020 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 170 $ — $ 6,312 $ 6,482 $ 1,440,256 $ 1,446,738 Municipal and non-profit — — — — 870,791 870,791 Owner occupied commercial real estate — — 5,450 5,450 510,789 516,239 Food and agribusiness 146 — 422 568 209,729 210,297 Total commercial 316 — 12,184 12,500 3,031,565 3,044,065 Commercial real estate non-owner occupied: Construction — — — — 91,125 91,125 Acquisition/development — — 6 6 24,665 24,671 Multifamily — — 1,523 1,523 67,233 68,756 Non-owner occupied — — 135 135 447,309 447,444 Total commercial real estate — — 1,664 1,664 630,332 631,996 Residential real estate: Senior lien 527 160 5,820 6,507 577,764 584,271 Junior lien 95 — 709 804 73,584 74,388 Total residential real estate 622 160 6,529 7,311 651,348 658,659 Consumer 30 2 10 42 18,964 19,006 Total loans $ 968 $ 162 $ 20,387 $ 21,517 $ 4,332,209 $ 4,353,726 June 30, 2021 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 2,269 $ — $ 2,269 Municipal and non-profit — — — Owner occupied commercial real estate 4,803 1,847 6,650 Food and agribusiness 76 — 76 Total commercial 7,148 1,847 8,995 Commercial real estate non-owner occupied: Construction — — — Acquisition/development 2 — 2 Multifamily — — — Non-owner occupied 132 — 132 Total commercial real estate 134 — 134 Residential real estate: Senior lien 3,546 714 4,260 Junior lien 485 — 485 Total residential real estate 4,031 714 4,745 Consumer 7 — 7 Total loans $ 11,320 $ 2,561 $ 13,881 December 31, 2020 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 6,080 $ 232 $ 6,312 Municipal and non-profit — — — Owner occupied commercial real estate 2,698 2,752 5,450 Food and agribusiness 88 334 422 Total commercial 8,866 3,318 12,184 Commercial real estate non-owner occupied: Construction — — — Acquisition/development 6 — 6 Multifamily — 1,523 1,523 Non-owner occupied 135 — 135 Total commercial real estate 141 1,523 1,664 Residential real estate: Senior lien 4,158 1,662 5,820 Junior lien 709 — 709 Total residential real estate 4,867 1,662 6,529 Consumer 10 — 10 Total loans $ 13,884 $ 6,503 $ 20,387 | |
Credit Exposure for Loans as Determined by Company's Internal Risk Rating System | The amortized cost basis for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following tables as of June 30, 2021 and December 31, 2020: June 30, 2021 Revolving Revolving loans loans Origination year amortized converted 2021 2020 2019 2018 2017 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 291,810 $ 187,178 $ 193,434 $ 157,743 $ 76,346 $ 23,665 $ 430,813 $ 5,928 $ 1,366,917 Special mention — — 2,163 6,085 4,182 5,973 2,260 — 20,663 Substandard 205 21 338 835 11,288 723 675 — 14,085 Doubtful — — — 79 195 131 29 — 434 Total commercial and industrial 292,015 187,199 195,935 164,742 92,011 30,492 433,777 5,928 1,402,099 Municipal and non-profit: Pass 58,209 90,275 85,838 120,463 152,649 350,024 3,641 — 861,099 Total municipal and non-profit 58,209 90,275 85,838 120,463 152,649 350,024 3,641 — 861,099 Owner occupied commercial real estate: Pass 48,904 93,663 104,223 78,789 47,001 103,023 2,710 165 478,478 Special mention — — 1,744 12,085 1,469 16,542 — — 31,840 Substandard — 1,193 1,729 1,847 236 3,400 — — 8,405 Doubtful — 389 574 — — 35 — — 998 Total owner occupied commercial real estate 48,904 95,245 108,270 92,721 48,706 123,000 2,710 165 519,721 Food and agribusiness: Pass 7,758 27,464 7,773 17,668 5,930 28,307 102,986 12 197,898 Special mention — — — — — 219 — — 219 Substandard — — — — 271 619 — — 890 Total food and agribusiness 7,758 27,464 7,773 17,668 6,201 29,145 102,986 12 199,007 Total commercial 406,886 400,183 397,816 395,594 299,567 532,661 543,114 6,105 2,981,926 Commercial real estate non-owner occupied: Construction: Pass 3,965 7,058 57,375 — 226 — 3,984 — 72,608 Total construction 3,965 7,058 57,375 — 226 — 3,984 — 72,608 Acquisition/development: Pass 1,887 386 1,925 1,830 8,096 7,638 — 51 21,813 Substandard — — — — — 27 — — 27 Total acquisition/development 1,887 386 1,925 1,830 8,096 7,665 — 51 21,840 Multifamily: Pass 1,488 29,660 11,678 16,261 204 38,310 — — 97,601 Special mention — — — — — 413 — — 413 Total multifamily 1,488 29,660 11,678 16,261 204 38,723 — — 98,014 Non-owner occupied Pass 25,552 60,076 88,050 18,697 98,020 120,940 3,483 — 414,818 Special mention — — 5,742 5,748 9,866 3,970 100 — 25,426 Substandard — — — 750 — 4,164 — — 4,914 Total non-owner occupied 25,552 60,076 93,792 25,195 107,886 129,074 3,583 — 445,158 Total commercial real estate non-owner occupied 32,892 97,180 164,770 43,286 116,412 175,462 7,567 51 637,620 Residential real estate: Senior lien Pass 129,600 119,075 51,646 28,401 35,867 210,099 20,266 507 595,461 Special mention — — — — — 476 — — 476 Substandard — 196 796 19 308 3,841 — — 5,160 Total senior lien 129,600 119,271 52,442 28,420 36,175 214,416 20,266 507 601,097 Junior lien Pass 401 2,952 3,470 2,239 1,406 4,295 45,961 198 60,922 Special mention — — — — — 21 343 — 364 Substandard 8 20 108 66 102 223 — 19 546 Total junior lien 409 2,972 3,578 2,305 1,508 4,539 46,304 217 61,832 Total residential real estate 130,009 122,243 56,020 30,725 37,683 218,955 66,570 724 662,929 Consumer Pass 4,600 6,748 2,219 1,037 253 697 2,683 36 18,273 Substandard — — — 1 — 8 — — 9 Total consumer 4,600 6,748 2,219 1,038 253 705 2,683 36 18,282 Total loans $ 574,387 $ 626,354 $ 620,825 $ 470,643 $ 453,915 $ 927,783 $ 619,934 $ 6,916 $ 4,300,757 | |
Schedule of collateral dependent loans | The amortized cost basis of collateral-dependent loans over $250 thousand was as follows at June 30, 2021 and December 31, 2020: June 30, 2021 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 3,956 $ 1,910 $ 5,866 Owner-occupied commercial real estate 4,667 284 4,951 Total Commercial 8,623 2,194 10,817 Commercial real estate non owner-occupied Acquisition/development 1,272 — 1,272 Total commercial real estate 1,272 — 1,272 Residential real estate Senior lien 1,970 — 1,970 Total residential real estate 1,970 — 1,970 Total loans $ 11,865 $ 2,194 $ 14,059 | December 31, 2020 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 7,579 $ 3,005 $ 10,584 Owner-occupied commercial real estate 3,701 284 3,985 Food and agribusiness 334 — 334 Total Commercial 11,614 3,289 14,903 Commercial real estate non owner-occupied Acquisition/development 1,573 — 1,573 Multifamily 1,523 — 1,523 Total commercial real estate 3,096 — 3,096 Residential real estate Senior lien 2,021 — 2,021 Total residential real estate 2,021 — 2,021 Total loans $ 16,731 $ 3,289 $ 20,020 |
Additional Information Related to Accruing TDR's | The tables below provide additional information related to accruing TDRs at June 30, 2021 and December 31, 2020: June 30, 2021 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 6,809 $ 7,393 $ 7,215 $ 150 Commercial real estate non-owner occupied 2,075 2,120 3,417 — Residential real estate 2,960 2,994 3,784 35 Consumer — — — — Total $ 11,844 $ 12,507 $ 14,416 $ 185 December 31, 2020 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 9,387 $ 9,544 $ 9,978 $ 150 Commercial real estate non-owner occupied 2,400 2,351 4,105 — Residential real estate 2,121 2,185 2,922 12 Consumer 37 37 37 — Total $ 13,945 $ 14,117 $ 17,042 $ 162 | |
Summary of Company's Carrying Value of Non-Accrual TDR's | The following table summarizes the Company’s carrying value of non-accrual TDRs as of June 30, 2021 and December 31, 2020: June 30, 2021 December 31, 2020 Commercial $ 2,623 $ 3,397 Commercial real estate non-owner occupied 123 1,644 Residential real estate 1,896 3,156 Consumer — — Total non-accruing TDRs $ 4,642 $ 8,197 |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Allowance for Credit Losses | |
Summary of Company's Allowance for Loan Losses ("ALL") and Recorded Investment in Loans | The tables below detail the Company’s allowance for credit losses as of the dates shown: Three months ended June 30, 2021 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 28,085 $ 15,054 $ 11,546 $ 372 $ 55,057 Charge-offs (781) — — (144) (925) Recoveries 128 — 37 33 198 Provision expense (release) for loan losses 1,208 (3,867) (2,732) 91 (5,300) Ending balance $ 28,640 $ 11,187 $ 8,851 $ 352 $ 49,030 Six months ended June 30, 2021 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,376 $ 17,448 $ 11,492 $ 461 $ 59,777 Charge-offs (942) — (22) (263) (1,227) Recoveries 257 6 44 73 380 Provision (release) expense for loan losses (1,051) (6,267) (2,663) 81 (9,900) Ending balance $ 28,640 $ 11,187 $ 8,851 $ 352 $ 49,030 Three months ended June 30, 2020 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,557 $ 9,278 $ 10,696 $ 425 $ 50,956 Charge-offs (694) — (12) (146) (852) Recoveries 172 — 15 49 236 Provision expense for loan losses 3,107 3,036 3,826 156 10,125 Ending balance $ 33,142 $ 12,314 $ 14,525 $ 484 $ 60,465 Six months ended June 30, 2020 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,442 $ 4,850 $ 3,468 $ 304 $ 39,064 Cumulative effect adjustment (1) (1,299) 1,666 5,314 155 5,836 Charge-offs (912) — (40) (397) (1,349) Recoveries 263 — 20 97 380 Provision expense for loan losses 4,648 5,798 5,763 325 16,534 Ending balance $ 33,142 $ 12,314 $ 14,525 $ 484 $ 60,465 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Other Real Estate Owned | |
Summary of Activity in OREO Balances | A summary of the activity in other real estate owned (“OREO”) during the six months ended June 30, 2021 and 2020 is as follows: For the six months ended June 30, 2021 2020 Beginning balance $ 4,730 $ 7,300 Transfers from loan portfolio, at fair value 1,522 1,146 Impairments — (26) Sales (1,128) (1,929) Ending balance $ 5,124 $ 6,491 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Summary of gross carrying amount of intangible assets and the associated accumulated amortization | The gross carrying amount of the core deposit intangibles and the associated accumulated amortization at June 30, 2021 and December 31, 2020, are presented as follows: June 30, 2021 December 31, 2020 Gross Net Gross Net carrying Accumulated carrying carrying Accumulated carrying amount amortization amount amount amortization amount Core deposit intangible $ 48,834 $ (41,877) $ 6,957 $ 48,834 $ (41,286) $ 7,548 |
Summary of changes in the mortgage servicing rights | Below are the changes in the MSRs for the periods presented: For the six months ended June 30, 2021 2020 Beginning balance $ 10,380 $ 2,630 Originations 5,949 3,189 Recovery (impairment) 707 (1,102) Amortization (1,632) (682) Ending balance 15,404 4,035 Fair value of mortgage servicing rights $ 18,685 $ 4,173 |
Core Deposits | |
Summary of estimated future amortization expense for the next five fiscal years | The following table shows the estimated future amortization expense for the core deposit intangibles as of June 30, 2021: Years ending December 31, Amount For the six months ending December 31, 2021 $ 592 For the year ending December 31, 2022 1,127 For the year ending December 31, 2023 1,048 For the year ending December 31, 2024 1,048 For the year ending December 31, 2025 1,048 |
MSRs | |
Summary of estimated future amortization expense for the next five fiscal years | The following table shows the estimated future amortization expense for the MSRs as of June 30, 2021: Years ending December 31, Amount For the six months ending December 31, 2021 $ 955 For the year ending December 31, 2022 1,793 For the year ending December 31, 2023 1,573 For the year ending December 31, 2024 1,381 For the year ending December 31, 2025 1,212 |
Regulatory Capital (Tables)
Regulatory Capital (Tables) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Regulatory Capital | ||
Capital Ratio Requirements under Prompt Corrective Action or Other Regulatory Requirements | June 30, 2021 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.6% $ 733,666 N/A N/A 4.0% $ 277,579 NBH Bank 9.0% 624,289 5.0% $ 346,699 4.0% 277,359 Common equity tier 1 risk based capital: Consolidated 15.3% $ 733,666 N/A N/A 7.0% $ 335,348 NBH Bank 13.1% 624,289 6.5% $ 310,925 7.0% 334,842 Tier 1 risk based capital ratio: Consolidated 15.3% $ 733,666 N/A N/A 8.5% $ 407,208 NBH Bank 13.1% 624,289 8.0% $ 382,677 8.5% 406,594 Total risk based capital ratio: Consolidated 16.3% $ 779,207 N/A N/A 10.5% $ 503,021 NBH Bank 14.0% 669,829 10.0% $ 478,346 10.5% 502,263 | December 31, 2020 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.7% $ 696,311 N/A N/A 4.0% $ 260,370 NBH Bank 9.2% 600,622 5.0% $ 325,447 4.0% 260,358 Common equity tier 1 risk based capital: Consolidated 14.7% $ 696,311 N/A N/A 7.0% $ 331,632 NBH Bank 12.7% 600,622 6.5% $ 307,631 7.0% 331,295 Tier 1 risk based capital ratio: Consolidated 14.7% $ 696,311 N/A N/A 8.5% $ 402,696 NBH Bank 12.7% 600,622 8.0% $ 378,623 8.5% 402,287 Total risk based capital ratio: Consolidated 15.8% $ 749,899 N/A N/A 10.5% $ 497,448 NBH Bank 13.8% 654,209 10.0% $ 473,279 10.5% 496,943 |
Revenue from Contracts with C_2
Revenue from Contracts with Clients (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contracts with Clients | |
Summary of non-interest income segregated by revenue streams | The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, and non-interest expense in-scope of Topic 606 for the three and six months ended June 30, 2021 and 2020: For the three months ended June 30, For the six months ended June 30, 2021 2020 2021 2020 Non-interest income In-scope of Topic 606: Service charges and other fees $ 4,415 $ 3,543 $ 8,367 $ 8,208 Bank card fees 4,614 3,654 8,687 7,167 Non-interest income (in-scope of Topic 606) 9,029 7,197 17,054 15,375 Non-interest income (out-of-scope of Topic 606) 16,237 31,640 41,573 46,994 Total non-interest income $ 25,266 $ 38,837 $ 58,627 $ 62,369 Non-interest expense In-scope of Topic 606: Loss on OREO sales, net $ (221) $ (55) $ (192) $ (94) Total revenue in-scope of Topic 606 $ 8,808 $ 7,142 $ 16,862 $ 15,281 |
Stock-based Compensation and _2
Stock-based Compensation and Benefits (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Stock-based Compensation and Benefits | |
Summary of outstanding stock options | The following table summarizes stock option activity for the six months ended June 30, 2021: Weighted average Weighted remaining average contractual Aggregate exercise term in intrinsic Options price years value Outstanding at December 31, 2020 768,129 $ 26.35 6.91 $ 5,224 Granted 80,615 40.16 Exercised (72,497) 27.61 Forfeited (24,853) 27.47 Outstanding at June 30, 2021 751,394 $ 27.68 6.86 $ 7,759 Options exercisable at June 30, 2021 494,874 26.33 5.85 5,675 Options vested and expected to vest 724,144 27.52 6.77 7,568 |
Summary of Restricted Stock Activity | The following table summarizes restricted stock and performance stock unit activity during the six months ended June 30, 2021: Weighted Weighted Restricted average grant- Performance average grant- stock shares date fair value stock units date fair value Unvested at December 31, 2020 166,630 $ 27.42 184,837 $ 29.21 Granted 81,481 40.07 52,526 37.01 Adjustment due to performance — — 30,024 30.38 Vested (77,679) 28.56 (90,016) 30.38 Forfeited (19,082) 29.20 (16,977) 28.96 Unvested at June 30, 2021 151,350 $ 33.42 160,394 $ 31.36 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share | |
Schedule of Computation of Basic and Diluted Income (Loss) Per Share | The following table illustrates the computation of basic and diluted earnings per share for the three and six months ended June 30, 2021 and 2020: For the three months ended For the six months ended June 30, 2021 June 30, 2020 June 30, 2021 June 30, 2020 Net income $ 24,200 $ 17,705 $ 51,012 $ 33,529 Less: income allocated to participating securities (33) (37) (67) (61) Income allocated to common shareholders $ 24,167 $ 17,668 $ 50,945 $ 33,468 Weighted average shares outstanding for basic earnings per common share 30,947,206 30,731,758 30,888,062 30,944,617 Dilutive effect of equity awards 279,145 125,848 294,522 183,467 Weighted average shares outstanding for diluted earnings per common share 31,226,351 30,857,606 31,182,584 31,128,084 Basic earnings per share $ 0.78 $ 0.57 $ 1.65 $ 1.08 Diluted earnings per share 0.77 0.57 1.63 1.08 |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Derivatives | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated statements of financial condition as of June 30, 2021 and December 31, 2020. Information about the valuation methods used to measure fair value is provided in note 16. Asset derivatives fair value Liability derivatives fair value Balance Sheet June 30, December 31, Balance Sheet June 30, December 31, location 2021 2020 Location 2021 2020 Derivatives designated as hedging instruments: Interest rate products Other assets $ 42 $ — Other liabilities $ 21,670 $ 38,884 Total derivatives designated as hedging instruments $ 42 $ — $ 21,670 $ 38,884 Derivatives not designated as hedging instruments: Interest rate products Other assets $ 11,640 $ 18,149 Other liabilities $ 11,661 $ 18,176 Interest rate lock commitments Other assets 2,950 7,001 Other liabilities 414 298 Forward contracts Other assets 63 — Other liabilities 301 2,622 Total derivatives not designated as hedging instruments $ 14,653 $ 25,150 $ 12,376 $ 21,096 |
Derivative Instruments, Gain (Loss) | The tables below present the effect of the Company’s derivative financial instruments in the consolidated statements of operations for the three and six months ended June 30, 2021 and 2020: Location of gain (loss) Amount of (loss) gain recognized in income on derivatives Derivatives in fair value recognized in income on For the three months ended June 30, For the six months ended June 30, hedging relationships derivatives 2021 2020 2021 2020 Interest rate products Interest and fees on loans $ (28,100) $ 31,037 $ (7,228) $ (3,733) Total $ (28,100) $ 31,037 $ (7,228) $ (3,733) Location of gain (loss) Amount of gain (loss) recognized in income on hedged items recognized in income on For the three months ended June 30, For the six months ended June 30, Hedged items hedged items 2021 2020 2021 2020 Interest rate products Interest and fees on loans $ 23,726 $ (31,654) $ 5,157 $ 2,124 Total $ 23,726 $ (31,654) $ 5,157 $ 2,124 Location of gain (loss) Amount of gain (loss) recognized in income on derivatives Derivatives not designated recognized in income on For the three months ended June 30, For the six months ended June 30, as hedging instruments derivatives 2021 2020 2021 2020 Interest rate products Other non-interest expense $ 4 $ (50) $ 10 $ (73) Interest rate lock commitments Mortgage banking income (1,029) 3,428 (5,101) 10,931 Forward contracts Mortgage banking income (3,698) 3,617 2,384 (2,090) Total $ (4,723) $ 6,995 $ (2,707) $ 8,768 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies | |
Schedule of Total Unfunded Commitments | Total unfunded commitments at June 30, 2021 and December 31, 2020 were as follows: June 30, 2021 December 31, 2020 Commitments to fund loans $ 455,362 $ 311,237 Unfunded commitments under lines of credit 539,580 537,325 Commercial and standby letters of credit 9,162 7,320 Total unfunded commitments $ 1,004,104 $ 855,882 |
Schedule of Repurchase Reserve | The following table summarizes mortgage repurchase reserve activity for the periods presented: For the three months ended June 30, For the six months ended June 30, 2021 2020 2021 2020 Beginning balance $ 2,620 $ 2,790 $ 2,741 $ 2,589 Provision (released from) charged to operating expense, net (106) 41 (102) 320 Charge-offs (116) (106) (241) (184) Ending balance $ 2,398 $ 2,725 $ 2,398 $ 2,725 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements | |
Tables of Financial Instruments Measured At Fair Value on Recurring Basis | The tables below present the financial instruments measured at fair value on a recurring basis as of June 30, 2021 and December 31, 2020 on the consolidated statements of financial condition utilizing the hierarchy structure described above: June 30, 2021 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 216,231 $ — $ 216,231 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 386,572 — 386,572 Municipal securities — 314 — 314 Corporate debt — 2,155 — 2,155 Loans held for sale — 134,805 — 134,805 Interest rate swap derivatives — 11,682 — 11,682 Mortgage banking derivatives — — 3,013 3,013 Total assets at fair value $ — $ 751,759 $ 3,013 $ 754,772 Liabilities: Interest rate swap derivatives $ — $ 33,331 $ — $ 33,331 Mortgage banking derivatives — — 715 715 Total liabilities at fair value $ — $ 33,331 $ 715 $ 34,046 December 31, 2020 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 196,334 $ — $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 462,779 — 462,779 Municipal securities — 318 — 318 Corporate debt — 1,998 — 1,998 Loans held for sale — 247,813 — 247,813 Interest rate swap derivatives — 18,149 — 18,149 Mortgage banking derivatives — — 7,001 7,001 Total assets at fair value $ — $ 927,391 $ 7,001 $ 934,392 Liabilities: Interest rate swap derivatives $ — $ 57,060 $ — $ 57,060 Mortgage banking derivatives — — 2,920 2,920 Total liabilities at fair value $ — $ 57,060 $ 2,920 $ 59,980 |
Table of Changes in Level 3 Financial Instruments | The table below details the changes in level 3 financial instruments during the six months ended June 30, 2021: Mortgage banking derivatives, net Balance at December 31, 2020 $ 4,081 Gain included in earnings, net (2,717) Fees and costs included in earnings, net 934 Balance at June 30, 2021 $ 2,298 |
Table of Assets Recorded at Fair Value On a Non-Recurring Basis | The tables below provide information regarding the assets recorded at fair value on a non-recurring basis during the six months ended June 30, 2021 and 2020: June 30, 2021 Total Losses from fair value changes Individually evaluated loans $ 20,807 $ 1,227 Premises and equipment 6,032 1,552 Total $ 26,839 $ 2,779 June 30, 2020 Total Losses from fair value changes Individually evaluated loans $ 33,075 $ 1,349 Premises and equipment 8,024 1,631 Mortgage servicing rights 4,035 1,102 Total $ 45,134 $ 4,082 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements | |
Fair Value of Financial Instruments | The fair value of financial instruments at June 30, 2021 and December 31, 2020 are set forth below: Level in fair value June 30, 2021 December 31, 2020 measurement Carrying Estimated Carrying Estimated hierarchy amount fair value amount fair value ASSETS Cash and cash equivalents Level 1 $ 1,004,493 $ 1,004,493 $ 605,565 $ 605,565 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 216,231 216,231 196,334 196,334 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 386,572 386,572 462,779 462,779 Municipal securities available-for-sale Level 2 314 314 318 318 Municipal securities available-for-sale Level 3 57 57 57 57 Corporate debt Level 2 2,155 2,155 1,998 1,998 Other available-for-sale securities Level 3 469 469 469 469 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 337,831 338,041 306,187 310,930 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 349,804 349,104 70,428 70,761 Non-marketable securities Level 2 14,741 14,741 16,493 16,493 Loans receivable Level 3 4,300,757 4,384,071 4,353,726 4,511,357 Loans held for sale Level 2 134,805 134,805 247,813 247,813 Accrued interest receivable Level 2 17,156 17,156 18,795 18,795 Interest rate swap derivatives Level 2 11,682 11,682 18,149 18,149 Mortgage banking derivatives Level 3 3,013 3,013 7,001 7,001 LIABILITIES Deposit transaction accounts Level 2 5,233,552 5,233,552 4,690,100 4,690,100 Time deposits Level 2 924,501 928,221 986,132 993,070 Securities sold under agreements to repurchase Level 2 22,957 22,957 22,897 22,897 Accrued interest payable Level 2 4,755 4,755 6,762 6,762 Interest rate swap derivatives Level 2 33,331 33,331 57,060 57,060 Mortgage banking derivatives Level 3 715 715 2,920 2,920 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 6 Months Ended |
Jun. 30, 2021item | |
Basis of Presentation | |
Number of full service banking offices | 82 |
Investment Securities - Narrati
Investment Securities - Narrative (Details) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2021USD ($)security | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($)security | |
Investment securities total | $ 1,300,000 | $ 1,000,000 | |
Amortized cost | 604,608 | 650,600 | |
Available-for-sale securities | 605,798 | 661,955 | |
Held-to-maturity securities | 687,635 | $ 67,400 | $ 376,615 |
Purchases of available-for-sale securities | 86,199 | 69,571 | |
Maturities and paydowns of available-for-sale securities | $ 131,113 | 110,102 | |
Number of securities | security | 29 | 22 | |
Pledged as collateral for line of credit at the Federal Home Loan Bank | $ 0 | $ 0 | |
Fair value of collateral | $ 3,100 | $ 4,800 | |
Mortgage-backed securities as percentage of available-for-sale investment portfolio | 100.00% | 100.00% | |
Fair value of available-for-sale investment securities pledged as collateral | $ 404,900 | $ 385,800 | |
Purchases of held-to-maturity securities | 377,687 | 67,361 | |
Maturities and paydowns of held-to-maturity securities | $ 64,762 | $ 34,150 | |
Number of held-to-maturity securities in unrealized loss positions | security | 34 | 9 | |
Held-to-maturity investment securities pledged as collateral | $ 147,000 | $ 140,600 | |
Held-to-maturity investment securities held as collateral | 0 | 0 | |
Investment Securities Available-For-Sale [Member] | |||
Accrued interest receivable | 900 | 1,100 | |
Held-to-maturity Securities [Member] | |||
Purchases of held-to-maturity securities | 377,700 | ||
Accrued interest receivable | 1,000 | $ 700 | |
Municipal securities maturing within one to five years [Member] | |||
Amortized cost | 100 | ||
Available-for-sale securities | 200 | ||
Other Securities Investments with No Contractual Maturity [Member] | |||
Amortized cost | $ 500 |
Investment Securities - Summary
Investment Securities - Summary of Available-for-Sale Investment Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | $ 604,608 | $ 650,600 |
Gross unrealized gains | 8,155 | 11,743 |
Gross unrealized losses | (6,965) | (388) |
Investment securities available-for-sale (at fair value) | 605,798 | 661,955 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 217,026 | 193,424 |
Gross unrealized gains | 2,182 | 2,952 |
Gross unrealized losses | (2,977) | (42) |
Investment securities available-for-sale (at fair value) | 216,231 | 196,334 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 384,751 | 454,345 |
Gross unrealized gains | 5,809 | 8,778 |
Gross unrealized losses | (3,988) | (344) |
Investment securities available-for-sale (at fair value) | 386,572 | 462,779 |
Municipal [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 362 | 362 |
Gross unrealized gains | 9 | 13 |
Investment securities available-for-sale (at fair value) | 371 | 375 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 2,000 | 2,000 |
Gross unrealized gains | 155 | |
Gross unrealized losses | (2) | |
Investment securities available-for-sale (at fair value) | 2,155 | 1,998 |
Other Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 469 | 469 |
Investment securities available-for-sale (at fair value) | $ 469 | $ 469 |
Investment Securities - Summa_2
Investment Securities - Summary of Unrealized Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months Fair Value | $ 288,360 | $ 124,764 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (6,955) | (372) |
12 months or more, Fair Value | 2,274 | 2,139 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (10) | (16) |
Total, Fair Value | 290,634 | 126,903 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (6,965) | (388) |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months Fair Value | 157,105 | 26,878 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2,977) | (42) |
12 months or more, Fair Value | 1 | |
Total, Fair Value | 157,105 | 26,879 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (2,977) | (42) |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months Fair Value | 131,255 | 95,888 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (3,978) | (328) |
12 months or more, Fair Value | 2,274 | 2,138 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (10) | (16) |
Total, Fair Value | 133,529 | 98,026 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (3,988) | (344) |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months Fair Value | 1,998 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2) | |
Total, Fair Value | 1,998 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (2) |
Investment Securities - Summa_3
Investment Securities - Summary of Held-to-maturity Investment Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 |
Schedule of Held-to-maturity Securities [Line Items] | |||
Held-to-maturity Securities | $ 687,635 | $ 376,615 | $ 67,400 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 4,267 | 5,336 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (4,757) | (260) | |
Fair value | 687,145 | 381,691 | |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | |||
Schedule of Held-to-maturity Securities [Line Items] | |||
Held-to-maturity Securities | 337,831 | 306,187 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 3,629 | 4,940 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (3,419) | (197) | |
Fair value | 338,041 | 310,930 | |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | |||
Schedule of Held-to-maturity Securities [Line Items] | |||
Held-to-maturity Securities | 349,804 | 70,428 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 638 | 396 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (1,338) | (63) | |
Fair value | $ 349,104 | $ 70,761 |
Investment Securities - Summa_4
Investment Securities - Summary of Held-to-Maturity Securities, Unrealized Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | $ 378,590 | $ 73,007 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (4,757) | (260) |
Total Fair Value | 378,590 | 73,007 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (4,757) | (260) |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 231,551 | 53,453 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (3,419) | (197) |
Total Fair Value | 231,551 | 53,453 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (3,419) | (197) |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 147,039 | 19,554 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (1,338) | (63) |
Total Fair Value | 147,039 | 19,554 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (1,338) | $ (63) |
Loans - Loan Portfolio Composit
Loans - Loan Portfolio Composition Including Carrying Value by Segment of Loans Accounted for under ASC Topic 310-30 (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Loans [Line Items] | ||
Fees and cost related to loans | $ 15,800 | $ 16,200 |
Total Loans | $ 4,300,757 | $ 4,353,726 |
% of Total | 100.00% | 100.00% |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 2,981,926 | $ 3,044,065 |
% of Total | 69.40% | 70.00% |
Commercial Portfolio Segment [Member] | Paycheck Protection Program Loans [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 129,600 | $ 176,100 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 637,620 | $ 631,996 |
% of Total | 14.80% | 14.50% |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 662,929 | $ 658,659 |
% of Total | 15.40% | 15.10% |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 18,282 | $ 19,006 |
% of Total | 0.40% | 0.40% |
Loans - Loan Delinquency (Detai
Loans - Loan Delinquency (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Loans [Line Items] | ||
Non- accrual loans | $ 13,881 | $ 20,387 |
Total past due and non-accrual | 16,746 | 21,517 |
Current | 4,284,011 | 4,332,209 |
Total | 4,300,757 | 4,353,726 |
Non-accrual loans with a related allowance | 11,320 | 13,884 |
Non-accrual loans with no related allowance | 2,561 | 6,503 |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 8,995 | 12,184 |
Total past due and non-accrual | 11,229 | 12,500 |
Current | 2,970,697 | 3,031,565 |
Total | 2,981,926 | 3,044,065 |
Non-accrual loans with a related allowance | 7,148 | 8,866 |
Non-accrual loans with no related allowance | 1,847 | 3,318 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 2,269 | 6,312 |
Total past due and non-accrual | 3,949 | 6,482 |
Current | 1,398,150 | 1,440,256 |
Total | 1,402,099 | 1,446,738 |
Non-accrual loans with a related allowance | 2,269 | 6,080 |
Non-accrual loans with no related allowance | 232 | |
Commercial Portfolio Segment [Member] | Municipal [Member] | ||
Loans [Line Items] | ||
Current | 861,099 | 870,791 |
Total | 861,099 | 870,791 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 6,650 | 5,450 |
Total past due and non-accrual | 7,027 | 5,450 |
Current | 512,694 | 510,789 |
Total | 519,721 | 516,239 |
Non-accrual loans with a related allowance | 4,803 | 2,698 |
Non-accrual loans with no related allowance | 1,847 | 2,752 |
Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 76 | 422 |
Total past due and non-accrual | 253 | 568 |
Current | 198,754 | 209,729 |
Total | 199,007 | 210,297 |
Non-accrual loans with a related allowance | 76 | 88 |
Non-accrual loans with no related allowance | 334 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 134 | 1,664 |
Total past due and non-accrual | 379 | 1,664 |
Current | 637,241 | 630,332 |
Total | 637,620 | 631,996 |
Non-accrual loans with a related allowance | 134 | 141 |
Non-accrual loans with no related allowance | 1,523 | |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Loans [Line Items] | ||
Current | 72,608 | 91,125 |
Total | 72,608 | 91,125 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 2 | 6 |
Total past due and non-accrual | 2 | 6 |
Current | 21,838 | 24,665 |
Total | 21,840 | 24,671 |
Non-accrual loans with a related allowance | 2 | 6 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 1,523 | |
Total past due and non-accrual | 1,523 | |
Current | 98,014 | 67,233 |
Total | 98,014 | 68,756 |
Non-accrual loans with no related allowance | 1,523 | |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 132 | 135 |
Total past due and non-accrual | 377 | 135 |
Current | 444,781 | 447,309 |
Total | 445,158 | 447,444 |
Non-accrual loans with a related allowance | 132 | 135 |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 4,745 | 6,529 |
Total past due and non-accrual | 5,122 | 7,311 |
Current | 657,807 | 651,348 |
Total | 662,929 | 658,659 |
Non-accrual loans with a related allowance | 4,031 | 4,867 |
Non-accrual loans with no related allowance | 714 | 1,662 |
Residential Portfolio Segment [Member] | Senior lien | ||
Loans [Line Items] | ||
Non- accrual loans | 4,260 | 5,820 |
Total past due and non-accrual | 4,616 | 6,507 |
Current | 596,481 | 577,764 |
Total | 601,097 | 584,271 |
Non-accrual loans with a related allowance | 3,546 | 4,158 |
Non-accrual loans with no related allowance | 714 | 1,662 |
Residential Portfolio Segment [Member] | Junior lien | ||
Loans [Line Items] | ||
Non- accrual loans | 485 | 709 |
Total past due and non-accrual | 506 | 804 |
Current | 61,326 | 73,584 |
Total | 61,832 | 74,388 |
Non-accrual loans with a related allowance | 485 | 709 |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 7 | 10 |
Total past due and non-accrual | 16 | 42 |
Current | 18,266 | 18,964 |
Total | 18,282 | 19,006 |
Non-accrual loans with a related allowance | 7 | 10 |
30-89 Days Past Due | ||
Loans [Line Items] | ||
Past due loans | 2,098 | 968 |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Past due loans | 1,873 | 316 |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Loans [Line Items] | ||
Past due loans | 1,319 | 170 |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Past due loans | 377 | |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | ||
Loans [Line Items] | ||
Past due loans | 177 | 146 |
30-89 Days Past Due | Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Past due loans | 216 | 622 |
30-89 Days Past Due | Residential Portfolio Segment [Member] | Senior lien | ||
Loans [Line Items] | ||
Past due loans | 195 | 527 |
30-89 Days Past Due | Residential Portfolio Segment [Member] | Junior lien | ||
Loans [Line Items] | ||
Past due loans | 21 | 95 |
30-89 Days Past Due | Consumer Loan [Member] | ||
Loans [Line Items] | ||
Past due loans | 9 | 30 |
Greater than 90 Days Past Due | ||
Loans [Line Items] | ||
Past due loans | 767 | 162 |
Greater than 90 Days Past Due | Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Past due loans | 361 | |
Greater than 90 Days Past Due | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Loans [Line Items] | ||
Past due loans | 361 | |
Greater than 90 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Past due loans | 245 | |
Greater than 90 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Past due loans | 245 | |
Greater than 90 Days Past Due | Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Past due loans | 161 | 160 |
Greater than 90 Days Past Due | Residential Portfolio Segment [Member] | Senior lien | ||
Loans [Line Items] | ||
Past due loans | $ 161 | 160 |
Greater than 90 Days Past Due | Consumer Loan [Member] | ||
Loans [Line Items] | ||
Past due loans | $ 2 |
Loans - Carrying Value of Loan
Loans - Carrying Value of Loan Portfolio by Segment and Credit Quality Indicator (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | $ 574,387 | $ 878,686 |
2020/2019 | 626,354 | 676,480 |
2019/2018 | 620,825 | 535,198 |
2018/2017 | 470,643 | 502,672 |
2017/2016 | 453,915 | 334,510 |
Prior | 927,783 | 718,424 |
Revolving Loans Amortized Cost Basis | 619,934 | 702,050 |
Revolving Loans Converted to Term | 6,916 | 5,706 |
Total | 4,300,757 | 4,353,726 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 406,886 | 634,536 |
2020/2019 | 400,183 | 428,473 |
2019/2018 | 397,816 | 442,905 |
2018/2017 | 395,594 | 328,709 |
2017/2016 | 299,567 | 190,831 |
Prior | 532,661 | 402,951 |
Revolving Loans Amortized Cost Basis | 543,114 | 613,065 |
Revolving Loans Converted to Term | 6,105 | 2,595 |
Total | 2,981,926 | 3,044,065 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 292,015 | 372,064 |
2020/2019 | 187,199 | 215,071 |
2019/2018 | 195,935 | 198,093 |
2018/2017 | 164,742 | 111,008 |
2017/2016 | 92,011 | 21,011 |
Prior | 30,492 | 24,040 |
Revolving Loans Amortized Cost Basis | 433,777 | 502,982 |
Revolving Loans Converted to Term | 5,928 | 2,469 |
Total | 1,402,099 | 1,446,738 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 291,810 | 372,041 |
2020/2019 | 187,178 | 212,388 |
2019/2018 | 193,434 | 189,753 |
2018/2017 | 157,743 | 93,822 |
2017/2016 | 76,346 | 15,145 |
Prior | 23,665 | 17,662 |
Revolving Loans Amortized Cost Basis | 430,813 | 499,283 |
Revolving Loans Converted to Term | 5,928 | 991 |
Total | 1,366,917 | 1,401,085 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 1,445 | |
2019/2018 | 2,163 | 7,381 |
2018/2017 | 6,085 | 4,845 |
2017/2016 | 4,182 | 5,810 |
Prior | 5,973 | 729 |
Revolving Loans Amortized Cost Basis | 2,260 | 2,329 |
Revolving Loans Converted to Term | 1,478 | |
Total | 20,663 | 24,017 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 205 | 23 |
2020/2019 | 21 | 1,238 |
2019/2018 | 338 | 925 |
2018/2017 | 835 | 11,885 |
2017/2016 | 11,288 | 56 |
Prior | 723 | 4,840 |
Revolving Loans Amortized Cost Basis | 675 | 1,341 |
Total | 14,085 | 20,308 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Doubtful [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019/2018 | 34 | |
2018/2017 | 79 | 456 |
2017/2016 | 195 | |
Prior | 131 | 809 |
Revolving Loans Amortized Cost Basis | 29 | 29 |
Total | 434 | 1,328 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 48,904 | 102,372 |
2020/2019 | 95,245 | 112,293 |
2019/2018 | 108,270 | 99,323 |
2018/2017 | 92,721 | 53,926 |
2017/2016 | 48,706 | 35,995 |
Prior | 123,000 | 110,929 |
Revolving Loans Amortized Cost Basis | 2,710 | 1,401 |
Revolving Loans Converted to Term | 165 | |
Total | 519,721 | 516,239 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 48,904 | 100,791 |
2020/2019 | 93,663 | 107,558 |
2019/2018 | 104,223 | 90,398 |
2018/2017 | 78,789 | 53,131 |
2017/2016 | 47,001 | 32,648 |
Prior | 103,023 | 87,758 |
Revolving Loans Amortized Cost Basis | 2,710 | 1,401 |
Revolving Loans Converted to Term | 165 | |
Total | 478,478 | 473,685 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,581 | |
2020/2019 | 2,236 | |
2019/2018 | 1,744 | 2,714 |
2018/2017 | 12,085 | 544 |
2017/2016 | 1,469 | 3,254 |
Prior | 16,542 | 19,341 |
Total | 31,840 | 29,670 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 1,193 | 1,988 |
2019/2018 | 1,729 | 6,211 |
2018/2017 | 1,847 | 251 |
2017/2016 | 236 | 93 |
Prior | 3,400 | 3,802 |
Total | 8,405 | 12,345 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Doubtful [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 389 | |
2019/2018 | 574 | |
Prior | 35 | |
Total | 998 | |
Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 7,758 | 28,139 |
2020/2019 | 27,464 | 9,198 |
2019/2018 | 7,773 | 20,242 |
2018/2017 | 17,668 | 7,500 |
2017/2016 | 6,201 | 9,556 |
Prior | 29,145 | 29,529 |
Revolving Loans Amortized Cost Basis | 102,986 | 106,007 |
Revolving Loans Converted to Term | 12 | 126 |
Total | 199,007 | 210,297 |
Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 7,758 | 28,139 |
2020/2019 | 27,464 | 9,198 |
2019/2018 | 7,773 | 20,242 |
2018/2017 | 17,668 | 7,198 |
2017/2016 | 5,930 | 9,556 |
Prior | 28,307 | 28,330 |
Revolving Loans Amortized Cost Basis | 102,986 | 106,007 |
Revolving Loans Converted to Term | 12 | 126 |
Total | 197,898 | 208,796 |
Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 219 | 222 |
Total | 219 | 222 |
Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2018/2017 | 302 | |
2017/2016 | 271 | |
Prior | 619 | 977 |
Total | 890 | 1,279 |
Commercial Portfolio Segment [Member] | Municipal [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 58,209 | 131,961 |
2020/2019 | 90,275 | 91,911 |
2019/2018 | 85,838 | 125,247 |
2018/2017 | 120,463 | 156,275 |
2017/2016 | 152,649 | 124,269 |
Prior | 350,024 | 238,453 |
Revolving Loans Amortized Cost Basis | 3,641 | 2,675 |
Total | 861,099 | 870,791 |
Commercial Portfolio Segment [Member] | Municipal [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 58,209 | 131,961 |
2020/2019 | 90,275 | 91,911 |
2019/2018 | 85,838 | 125,247 |
2018/2017 | 120,463 | 156,275 |
2017/2016 | 152,649 | 124,269 |
Prior | 350,024 | 238,453 |
Revolving Loans Amortized Cost Basis | 3,641 | 2,675 |
Total | 861,099 | 870,791 |
Commercial Portfolio Segment [Member] | Non Owner-Occupied [Member] | Doubtful [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 511 | |
Prior | 28 | |
Total | 539 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 32,892 | 101,248 |
2020/2019 | 97,180 | 163,008 |
2019/2018 | 164,770 | 51,415 |
2018/2017 | 43,286 | 122,403 |
2017/2016 | 116,412 | 53,159 |
Prior | 175,462 | 133,113 |
Revolving Loans Amortized Cost Basis | 7,567 | 5,200 |
Revolving Loans Converted to Term | 51 | 2,450 |
Total | 637,620 | 631,996 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 3,965 | 16,233 |
2020/2019 | 7,058 | 49,658 |
2019/2018 | 57,375 | 17,349 |
2018/2017 | 4,072 | |
2017/2016 | 226 | |
Revolving Loans Amortized Cost Basis | 3,984 | 2,006 |
Revolving Loans Converted to Term | 1,807 | |
Total | 72,608 | 91,125 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 3,965 | 15,841 |
2020/2019 | 7,058 | 49,658 |
2019/2018 | 57,375 | 17,349 |
2018/2017 | 4,072 | |
2017/2016 | 226 | |
Revolving Loans Amortized Cost Basis | 3,984 | 2,006 |
Revolving Loans Converted to Term | 1,807 | |
Total | 72,608 | 90,733 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 392 | |
Total | 392 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,887 | 3,762 |
2020/2019 | 386 | 1,997 |
2019/2018 | 1,925 | 1,947 |
2018/2017 | 1,830 | 8,407 |
2017/2016 | 8,096 | 4,559 |
Prior | 7,665 | 3,988 |
Revolving Loans Amortized Cost Basis | 11 | |
Revolving Loans Converted to Term | 51 | |
Total | 21,840 | 24,671 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,887 | 3,762 |
2020/2019 | 386 | 1,997 |
2019/2018 | 1,925 | 1,947 |
2018/2017 | 1,830 | 8,373 |
2017/2016 | 8,096 | 4,559 |
Prior | 7,638 | 3,694 |
Revolving Loans Amortized Cost Basis | 11 | |
Revolving Loans Converted to Term | 51 | |
Total | 21,813 | 24,343 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2018/2017 | 34 | |
Prior | 253 | |
Total | 287 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 27 | 41 |
Total | 27 | 41 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,488 | 29,738 |
2020/2019 | 29,660 | 13,670 |
2019/2018 | 11,678 | 137 |
2018/2017 | 16,261 | 212 |
2017/2016 | 204 | 18,050 |
Prior | 38,723 | 6,949 |
Total | 98,014 | 68,756 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,488 | 29,738 |
2020/2019 | 29,660 | 13,670 |
2019/2018 | 11,678 | 137 |
2018/2017 | 16,261 | 212 |
2017/2016 | 204 | 18,050 |
Prior | 38,310 | 4,990 |
Total | 97,601 | 66,797 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 413 | 436 |
Total | 413 | 436 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 1,523 | |
Total | 1,523 | |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 25,552 | 51,515 |
2020/2019 | 60,076 | 97,683 |
2019/2018 | 93,792 | 31,982 |
2018/2017 | 25,195 | 109,712 |
2017/2016 | 107,886 | 30,550 |
Prior | 129,074 | 122,176 |
Revolving Loans Amortized Cost Basis | 3,583 | 3,183 |
Revolving Loans Converted to Term | 643 | |
Total | 445,158 | 447,444 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 25,552 | 51,445 |
2020/2019 | 60,076 | 92,225 |
2019/2018 | 88,050 | 25,362 |
2018/2017 | 18,697 | 86,975 |
2017/2016 | 98,020 | 26,613 |
Prior | 120,940 | 118,144 |
Revolving Loans Amortized Cost Basis | 3,483 | 3,083 |
Revolving Loans Converted to Term | 643 | |
Total | 414,818 | 404,490 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 70 | |
2020/2019 | 5,458 | |
2019/2018 | 5,742 | 5,841 |
2018/2017 | 5,748 | 22,737 |
2017/2016 | 9,866 | |
Prior | 3,970 | 3,662 |
Revolving Loans Amortized Cost Basis | 100 | 100 |
Total | 25,426 | 37,868 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019/2018 | 779 | |
2018/2017 | 750 | |
2017/2016 | 3,937 | |
Prior | 4,164 | 370 |
Total | 4,914 | 5,086 |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 130,009 | 133,125 |
2020/2019 | 122,243 | 81,651 |
2019/2018 | 56,020 | 39,167 |
2018/2017 | 30,725 | 51,071 |
2017/2016 | 37,683 | 90,189 |
Prior | 218,955 | 181,729 |
Revolving Loans Amortized Cost Basis | 66,570 | 81,085 |
Revolving Loans Converted to Term | 724 | 642 |
Total | 662,929 | 658,659 |
Residential Portfolio Segment [Member] | Senior lien | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 129,600 | 129,646 |
2020/2019 | 119,271 | 77,322 |
2019/2018 | 52,442 | 36,513 |
2018/2017 | 28,420 | 49,119 |
2017/2016 | 36,175 | 88,908 |
Prior | 214,416 | 177,661 |
Revolving Loans Amortized Cost Basis | 20,266 | 24,884 |
Revolving Loans Converted to Term | 507 | 218 |
Total | 601,097 | 584,271 |
Residential Portfolio Segment [Member] | Senior lien | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 129,600 | 129,551 |
2020/2019 | 119,075 | 76,504 |
2019/2018 | 51,646 | 36,493 |
2018/2017 | 28,401 | 47,887 |
2017/2016 | 35,867 | 88,358 |
Prior | 210,099 | 173,091 |
Revolving Loans Amortized Cost Basis | 20,266 | 24,884 |
Revolving Loans Converted to Term | 507 | 218 |
Total | 595,461 | 576,986 |
Residential Portfolio Segment [Member] | Senior lien | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 476 | 463 |
Total | 476 | 463 |
Residential Portfolio Segment [Member] | Senior lien | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 95 | |
2020/2019 | 196 | 818 |
2019/2018 | 796 | 20 |
2018/2017 | 19 | 1,232 |
2017/2016 | 308 | 550 |
Prior | 3,841 | 4,107 |
Total | 5,160 | 6,822 |
Residential Portfolio Segment [Member] | Junior lien | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 409 | 3,479 |
2020/2019 | 2,972 | 4,329 |
2019/2018 | 3,578 | 2,654 |
2018/2017 | 2,305 | 1,952 |
2017/2016 | 1,508 | 1,281 |
Prior | 4,539 | 4,068 |
Revolving Loans Amortized Cost Basis | 46,304 | 56,201 |
Revolving Loans Converted to Term | 217 | 424 |
Total | 61,832 | 74,388 |
Residential Portfolio Segment [Member] | Junior lien | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 401 | 3,479 |
2020/2019 | 2,952 | 4,217 |
2019/2018 | 3,470 | 2,553 |
2018/2017 | 2,239 | 1,775 |
2017/2016 | 1,406 | 1,226 |
Prior | 4,295 | 3,760 |
Revolving Loans Amortized Cost Basis | 45,961 | 55,860 |
Revolving Loans Converted to Term | 198 | 365 |
Total | 60,922 | 73,235 |
Residential Portfolio Segment [Member] | Junior lien | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 21 | 21 |
Revolving Loans Amortized Cost Basis | 343 | 341 |
Total | 364 | 362 |
Residential Portfolio Segment [Member] | Junior lien | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 8 | |
2020/2019 | 20 | 112 |
2019/2018 | 108 | 101 |
2018/2017 | 66 | 177 |
2017/2016 | 102 | 55 |
Prior | 223 | 287 |
Revolving Loans Converted to Term | 19 | 59 |
Total | 546 | 791 |
Consumer Loan [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 4,600 | 9,777 |
2020/2019 | 6,748 | 3,348 |
2019/2018 | 2,219 | 1,711 |
2018/2017 | 1,038 | 489 |
2017/2016 | 253 | 331 |
Prior | 705 | 631 |
Revolving Loans Amortized Cost Basis | 2,683 | 2,700 |
Revolving Loans Converted to Term | 36 | 19 |
Total | 18,282 | 19,006 |
Consumer Loan [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 4,600 | 9,777 |
2020/2019 | 6,748 | 3,348 |
2019/2018 | 2,219 | 1,674 |
2018/2017 | 1,037 | 489 |
2017/2016 | 253 | 329 |
Prior | 697 | 623 |
Revolving Loans Amortized Cost Basis | 2,683 | 2,700 |
Revolving Loans Converted to Term | 36 | 19 |
Total | 18,273 | 18,959 |
Consumer Loan [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019/2018 | 37 | |
2018/2017 | 1 | |
2017/2016 | 2 | |
Prior | 8 | 8 |
Total | $ 9 | $ 47 |
Loans - Collateral Dependent Lo
Loans - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | $ 14,059 | $ 20,020 |
Management evaluated loan with amortized cost basis | 250 | |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 10,817 | 14,903 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 5,866 | 10,584 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 4,951 | 3,985 |
Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 334 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,272 | 3,096 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,272 | 1,573 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Multifamily [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,523 | |
Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,970 | 2,021 |
Residential Portfolio Segment [Member] | Senior lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,970 | |
Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 11,865 | 16,731 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 8,623 | 11,614 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 3,956 | 7,579 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 4,667 | 3,701 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Food and Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 334 | |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,272 | 3,096 |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,272 | 1,573 |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Multifamily [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,523 | |
Real Estate [Member] | Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,970 | 2,021 |
Real Estate [Member] | Residential Portfolio Segment [Member] | Senior lien | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,970 | |
Equipment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,194 | 3,289 |
Equipment [Member] | Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,194 | 3,289 |
Equipment [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,910 | 3,005 |
Equipment [Member] | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | $ 284 | $ 284 |
Loans - Troubled Debt Restructu
Loans - Troubled Debt Restructuring and Loans Accounted for Under ASC Topic 310-30 Narratives (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021USD ($) | Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($)loan | Dec. 31, 2020USD ($) | |
Debt Instrument [Line Items] | ||||
Loans receivable | $ 4,251,727,000 | $ 4,251,727,000 | $ 4,293,949,000 | |
TDR's modified within the past year that defaulted on their restructured terms | 2 | 2 | ||
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 400,000 | |||
COVID-19 | ||||
Debt Instrument [Line Items] | ||||
Number of restructured loans not identified as TDRs | 13 | 463 | ||
Loans modified and not identified as TDRs | $ 4,600,000 | $ 492,400,000 | ||
Loans receivable | $ 108,600,000 | $ 108,600,000 | ||
Outstanding Notes Receivable Balance Granted Relief (As a Percent) | 0.025% | 0.025% | 0.04% | |
Financing Receivable Second Modifications Percent | 0.009% | 0.009% | 0.262% | |
COVID-19 | Contractual Interest Rate Reduction [Member] | ||||
Debt Instrument [Line Items] | ||||
Loans modified and not identified as TDRs | $ 102,300,000 | |||
Loans receivable | $ 173,600,000 | |||
COVID-19 | Payment Deferral [Member] | ||||
Debt Instrument [Line Items] | ||||
Loans modified and not identified as TDRs | $ 6,300,000 | |||
Troubled Debt Restructurings [Member] | ||||
Debt Instrument [Line Items] | ||||
Number of restructured loans | 0 | 3 | ||
Amortized cost basis of restructured loans | $ 1,600,000 | |||
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 49,000 |
Loans - Additional Information
Loans - Additional Information Related to Accruing TDR's (Details) - Accruing TDR [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Loans [Line Items] | ||
Recorded Investment | $ 11,844 | $ 13,945 |
Average year-to- date recorded investment | 12,507 | 14,117 |
Unpaid principal balance | 14,416 | 17,042 |
Unfunded commitments to fund TDRs | 185 | 162 |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 6,809 | 9,387 |
Average year-to- date recorded investment | 7,393 | 9,544 |
Unpaid principal balance | 7,215 | 9,978 |
Unfunded commitments to fund TDRs | 150 | 150 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 2,075 | 2,400 |
Average year-to- date recorded investment | 2,120 | 2,351 |
Unpaid principal balance | 3,417 | 4,105 |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 2,960 | 2,121 |
Average year-to- date recorded investment | 2,994 | 2,185 |
Unpaid principal balance | 3,784 | 2,922 |
Unfunded commitments to fund TDRs | $ 35 | 12 |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 37 | |
Average year-to- date recorded investment | 37 | |
Unpaid principal balance | $ 37 |
Loans - Summary of Company's Ca
Loans - Summary of Company's Carrying Value of Non-Accrual TDR's (Details) - Non-Accruing TDR [Member] - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | $ 4,642 | $ 8,197 |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | 2,623 | 3,397 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | 123 | 1,644 |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | $ 1,896 | $ 3,156 |
Allowance for Credit Losses - S
Allowance for Credit Losses - Summary of Company's Allowance for Loan Losses ("All") and Recorded Investment in Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | $ 55,057 | $ 50,956 | $ 59,777 | $ 39,064 |
Charge-offs | (925) | (852) | (1,227) | (1,349) |
Recoveries | 198 | 236 | 380 | 380 |
Provision (release) expense | (5,300) | 10,125 | (9,900) | 16,534 |
Ending balance | 49,030 | 60,465 | 49,030 | 60,465 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Ending balance | 5,836 | 5,836 | ||
Commercial Portfolio Segment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 28,085 | 30,557 | 30,376 | 30,442 |
Charge-offs | (781) | (694) | (942) | (912) |
Recoveries | 128 | 172 | 257 | 263 |
Provision (release) expense | 1,208 | 3,107 | (1,051) | 4,648 |
Ending balance | 28,640 | 33,142 | 28,640 | 33,142 |
Commercial Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Ending balance | (1,299) | (1,299) | ||
Commercial Real Estate Portfolio Segment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 15,054 | 9,278 | 17,448 | 4,850 |
Recoveries | 6 | |||
Provision (release) expense | (3,867) | 3,036 | (6,267) | 5,798 |
Ending balance | 11,187 | 12,314 | 11,187 | 12,314 |
Commercial Real Estate Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Ending balance | 1,666 | 1,666 | ||
Residential Portfolio Segment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 11,546 | 10,696 | 11,492 | 3,468 |
Charge-offs | (12) | (22) | (40) | |
Recoveries | 37 | 15 | 44 | 20 |
Provision (release) expense | (2,732) | 3,826 | (2,663) | 5,763 |
Ending balance | 8,851 | 14,525 | 8,851 | 14,525 |
Residential Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Ending balance | 5,314 | 5,314 | ||
Consumer Loan [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 372 | 425 | 461 | 304 |
Charge-offs | (144) | (146) | (263) | (397) |
Recoveries | 33 | 49 | 73 | 97 |
Provision (release) expense | 91 | 156 | 81 | 325 |
Ending balance | $ 352 | 484 | $ 352 | 484 |
Consumer Loan [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Ending balance | $ 155 | $ 155 |
Allowance for Credit Losses - N
Allowance for Credit Losses - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Allowance For Loan And Lease Losses [Line Items] | |||||
Charge-offs, net | $ 700 | $ 600 | $ 800 | $ 1,000 | |
Provision (release) expense | (5,300) | 10,125 | (9,900) | 16,534 | |
Provision (release) expense for loan losses | (5,850) | 10,271 | (9,425) | 16,430 | |
Accrued interest receivable | 15,000 | 15,000 | $ 16,700 | ||
Unfunded loan commitment reserves [Member] | |||||
Allowance For Loan And Lease Losses [Line Items] | |||||
Provision (release) expense | $ (600) | $ 200 | $ 500 | $ (100) |
Other Real Estate Owned - Summa
Other Real Estate Owned - Summary of Activity in OREO Balances (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Other Real Estate [Roll Forward] | ||
Beginning balance | $ 5,124 | $ 6,491 |
Transfers from loan portfolio, at fair value | 1,522 | 1,146 |
Impairments | (26) | |
Sales | (1,128) | (1,929) |
Ending balance | $ 4,730 | $ 7,300 |
Other Real Estate Owned - Narra
Other Real Estate Owned - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Other Real Estate Owned | ||||
OREO Sold | $ 1,100 | $ 1,900 | $ 1,100 | $ 1,900 |
Gain (loss) on OREO sales, net | $ (221) | $ (55) | $ (192) | $ (94) |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Narrative (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021USD ($)item | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)item | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Goodwill and Intangible Assets | |||||
Goodwill acquired | $ 115,027,000 | $ 115,027,000 | $ 115,027,000 | ||
Goodwill Impairment | 0 | $ 0 | |||
Amortization of acquired identifiable intangibles | 296,000 | $ 296,000 | 592,000 | $ 592,000 | |
Mortgage loans serviced | 1,900,000,000 | 600,000,000 | |||
Mortgage service fees | 1,100,000 | 300,000 | 2,100,000 | 500,000 | |
Core Deposits | |||||
Goodwill and Intangible Assets | |||||
Amortization of acquired identifiable intangibles | $ 300,000 | $ 300,000 | $ 600,000 | 600,000 | |
Core Deposits | Minimum | |||||
Goodwill and Intangible Assets | |||||
Amortization period | 7 years | ||||
Core Deposits | Maximum | |||||
Goodwill and Intangible Assets | |||||
Amortization period | 10 years | ||||
MSRs | |||||
Goodwill and Intangible Assets | |||||
Amortization of acquired identifiable intangibles | $ 1,632,000 | $ 682,000 | |||
MSRs | Measurement Input, Discount Rate [Member] | Minimum | |||||
Goodwill and Intangible Assets | |||||
Servicing assets measurement input (as a percent) | 0.095 | 0.095 | 0.095 | 0.095 | |
MSRs | Measurement Input, Discount Rate [Member] | Maximum | |||||
Goodwill and Intangible Assets | |||||
Servicing assets measurement input (as a percent) | 0.105 | 0.105 | 0.105 | 0.105 | |
MSRs | Measurement Input, Constant Prepayment Rate [Member] | Minimum | |||||
Goodwill and Intangible Assets | |||||
Servicing assets measurement input (as a percent) | 0.114 | 0.183 | 0.114 | 0.183 | |
MSRs | Measurement Input, Constant Prepayment Rate [Member] | Maximum | |||||
Goodwill and Intangible Assets | |||||
Servicing assets measurement input (as a percent) | 0.187 | 0.213 | 0.187 | 0.213 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Carrying Amounts (Details) - Core Deposits - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Carrying amount of intangible assets | ||
Gross carrying amount | $ 48,834 | $ 48,834 |
Accumulated amortization | 41,877 | 41,286 |
Net carrying amount | $ 6,957 | $ 7,548 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Summary of Estimated Future Amortization Expense (Details) $ in Thousands | Jun. 30, 2021USD ($) |
Core Deposits | |
Estimated future amortization expense | |
For the nine months ending December 31, 2021 | $ 592 |
For the year ending December 31, 2022 | 1,127 |
For the year ending December 31, 2023 | 1,048 |
For the year ending December 31, 2024 | 1,048 |
For the year ending December 31, 2025 | 1,048 |
MSRs | |
Estimated future amortization expense | |
For the nine months ending December 31, 2021 | 955 |
For the year ending December 31, 2022 | 1,793 |
For the year ending December 31, 2023 | 1,573 |
For the year ending December 31, 2024 | 1,381 |
For the year ending December 31, 2025 | $ 1,212 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Changes in Servicing Rights (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Changes in the mortgage servicing rights | ||||
Amortization | $ (296) | $ (296) | $ (592) | $ (592) |
MSRs | ||||
Changes in the mortgage servicing rights | ||||
Beginning balance | 10,380 | 2,630 | ||
Originations | 5,949 | 3,189 | ||
Recovery (impairment) | 707 | (1,102) | ||
Amortization | (1,632) | (682) | ||
Ending balance | 15,404 | 4,035 | 15,404 | 4,035 |
Fair value of mortgage servicing rights | $ 18,685 | $ 4,173 | $ 18,685 | $ 4,173 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Assets Sold under Agreements to Repurchase [Line Items] | |||||
Amount of repurchase agreements | $ 23 | $ 23 | $ 22.9 | ||
Fair value of collateral | 3.1 | 3.1 | 4.8 | ||
Federal home loan bank, advances, general debt obligations, maximum amount available | 900 | 900 | |||
Loans pledged | 1,300 | 1,300 | 1,200 | ||
Interest expense related to FHLB advances | 0 | $ 0.3 | 0 | $ 1.2 | |
Line of credit | |||||
Assets Sold under Agreements to Repurchase [Line Items] | |||||
FHLB advances | 0 | 0 | 0 | ||
Federal Home Loan Bank of Des Moines [Member] | |||||
Assets Sold under Agreements to Repurchase [Line Items] | |||||
Fair value of collateral | 0 | 0 | 0 | ||
U.S. Treasury Securities [Member] | |||||
Assets Sold under Agreements to Repurchase [Line Items] | |||||
Fair value of collateral | $ 26.1 | $ 26.1 | $ 27.7 |
Regulatory Capital - Capital Ra
Regulatory Capital - Capital Ratio Requirements under Prompt Corrective Action or Other Regulatory Requirements (Details) $ in Thousands | Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) |
Parent Company [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 10.6 | 10.7 |
Common equity risk-based ratio | 15.3 | 14.7 |
Risk-based capital Ratio | 15.3 | 14.7 |
Total risk-based capital Ratio | 16.3 | 15.8 |
Leverage Amount | $ 733,666 | $ 696,311 |
Common equity risk-based amount | 733,666 | 696,311 |
Risk-based capital amount | 733,666 | 696,311 |
Total risk-based capital Amount | $ 779,207 | $ 749,899 |
Required to be considered adequately capitalized Ratio, leverage ratio | 4 | 4 |
Required to be considered adequately capitalized Ratio, risk-based common equity capital ratio | 7.00% | 7.00% |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 8.5 | 8.5 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 10.5 | 10.5 |
Required to be considered adequately capitalized leverage Amount | $ 277,579 | $ 260,370 |
Required to be considered adequately capitalized common equity capital amount | 335,348 | 331,632 |
Required to be considered adequately capitalized risk-based capital Amount | 407,208 | 402,696 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 503,021 | $ 497,448 |
NBH Bank [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 9 | 9.2 |
Common equity risk-based ratio | 13.1 | 12.7 |
Risk-based capital Ratio | 13.1 | 12.7 |
Total risk-based capital Ratio | 14 | 13.8 |
Leverage Amount | $ 624,289 | $ 600,622 |
Common equity risk-based amount | 624,289 | 600,622 |
Risk-based capital amount | 624,289 | 600,622 |
Total risk-based capital Amount | $ 669,829 | $ 654,209 |
Required to be considered well capitalized Ratio, leverage ratio | 5 | 5 |
Required to be considered adequately capitalized Ratio, risk-based common equity capital ratio | 6.50% | 6.50% |
Required to be considered well capitalized Ratio, risk-based capital ratio | 8 | 8 |
Required to be considered well capitalized Ratio, Total risk-based capital ratio | 10 | 10 |
Required to be considered well capitalized leverage Amount | $ 346,699 | $ 325,447 |
Required to be considered well capitalized common equity capital amount | 310,925 | 307,631 |
Required to be considered well capitalized risk-based capital Amount | 382,677 | 378,623 |
Required to be considered well capitalized Total risk-based capital Amount | $ 478,346 | $ 473,279 |
Required to be considered adequately capitalized Ratio, leverage ratio | 4 | 4 |
Required to be considered adequately capitalized Ratio, risk-based common equity capital ratio | 7.00% | 7.00% |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 8.5 | 8.5 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 10.5 | 10.5 |
Required to be considered adequately capitalized leverage Amount | $ 277,359 | $ 260,358 |
Required to be considered adequately capitalized common equity capital amount | 334,842 | 331,295 |
Required to be considered adequately capitalized risk-based capital Amount | 406,594 | 402,287 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 502,263 | $ 496,943 |
Revenue from Contracts with C_3
Revenue from Contracts with Clients - Non-interest income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue from Contracts with Clients | ||||
Gain (loss) on OREO sales, net | $ (221) | $ (55) | $ (192) | $ (94) |
Service charges | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | 3,568 | 3,094 | 7,042 | 7,220 |
Bank card fees | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | 4,614 | 3,654 | 8,687 | 7,167 |
ASU 2014-09 | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | 25,266 | 38,837 | 58,627 | 62,369 |
ASU 2014-09 | In-scope of Topic 606 | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | 9,029 | 7,197 | 17,054 | 15,375 |
Gain (loss) on OREO sales, net | (221) | (55) | (192) | (94) |
Total Revenue | 8,808 | 7,142 | 16,862 | 15,281 |
ASU 2014-09 | In-scope of Topic 606 | Service charges | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | 4,415 | 3,543 | 8,367 | 8,208 |
ASU 2014-09 | In-scope of Topic 606 | Bank card fees | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | 4,614 | 3,654 | 8,687 | 7,167 |
ASU 2014-09 | Out-of-scope of Topic 606 | ||||
Revenue from Contracts with Clients | ||||
Non-interest income | $ 16,237 | $ 31,640 | $ 41,573 | $ 46,994 |
Stock-based Compensation and _3
Stock-based Compensation and Benefits - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 500,000 | $ 500,000 | $ 600,000 | $ 700,000 |
Unrecognized compensation expense | 600,000 | $ 600,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years 4 months 24 days | |||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | 600,000 | 700,000 | $ 1,200,000 | 1,200,000 |
Awards granted (in shares) | 81,481 | |||
Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation expense | 3,600,000 | $ 3,600,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years 3 months 18 days | |||
Performance stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | 200,000 | $ 400,000 | $ 700,000 | $ 900,000 |
Awards granted (in shares) | 52,526 | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation expense | $ 3,300,000 | $ 3,300,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years 1 month 6 days | |||
Awards granted (in shares) | 30,024 | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | EPS target | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of awards based on performance type | 60.00% | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | TSR target | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of awards based on performance type | 40.00% | |||
Employee Stock [Member] | Employee Stock Purchase Plan 2014 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum stock purchases by employees, value | $ 25,000 | |||
Maximum stock purchases by employees (in shares) | 2,000 | |||
Discount on purchase of common stock (as a percent) | 90.00% | |||
Offering period for employee stock purchases | 6 months | |||
Number of shares authorized | 400,000 | 400,000 | ||
Shares available for issuance | 293,905 | 293,905 | ||
Employees purchased shares (in shares) | 8,971 | 8,890 | ||
Minimum | Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Minimum | Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Minimum | Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of initial target awards | 0.00% | |||
Maximum | Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 4 years | |||
Contractual term (in years) | 10 years | |||
Maximum | Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Maximum | Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of initial target awards | 150.00% |
Stock-based Compensation and _4
Stock-based Compensation and Benefits - Summary of Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding Options, beginning | 768,129 | |
Granted, Options | 80,615 | |
Exercised, Options | (72,497) | |
Forfeited, Options | (24,853) | |
Outstanding Options, ending | 751,394 | 768,129 |
Options exercisable at end of period, Options | 494,874 | |
Options vested and expected to vest, Options | 724,144 | |
Outstanding, Weighted average exercise price, beginning | $ 26.35 | |
Granted, Weighted average exercise price | 40.16 | |
Exercised, Weighted average exercise price | 27.61 | |
Forfeited, Weighted average exercise price | 27.47 | |
Outstanding, Weighted average exercised price, ending | 27.68 | $ 26.35 |
Options exercisable at end of period, Weighted average exercise price | 26.33 | |
Options vested and expected to vest, Weighted average exercise price | $ 27.52 | |
Outstanding, Weighted average remaining contractual term in years | 6 years 10 months 9 days | 6 years 10 months 28 days |
Options exercisable at end of period, weighted average remaining contractual term in years | 5 years 10 months 6 days | |
Options vested and expected to vest, Weighted average remaining contractual term in years | 6 years 9 months 7 days | |
Outstanding, Aggregate intrinsic value, beginning | $ 5,224 | |
Outstanding, Aggregate intrinsic value, ending | 7,759 | $ 5,224 |
Aggregate intrinsic Value of Options exercisable at end of period | 5,675 | |
Options vested and expected to vest, Aggregate Intrinsic Value | $ 7,568 |
Stock-based Compensation and _5
Stock-based Compensation and Benefits - Summary of Restricted Stock Activity (Details) | 6 Months Ended |
Jun. 30, 2021USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average beginning measurement period price | $ | $ 33.04 |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Unvested Restricted shares, Beginning (in shares) | shares | 166,630 |
Unvested Restricted shares, Granted (in shares) | shares | 81,481 |
Unvested Restricted shares, Vested (in shares) | shares | (77,679) |
Unvested Restricted shares, Forfeited (in shares) | shares | (19,082) |
Unvested Restricted shares, Ending (in shares) | shares | 151,350 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Beginning (in dollars per share) | $ 27.42 |
Weighted average grant-date fair value, Granted (in dollars per share) | 40.07 |
Weighted average grant-date fair value, Vested (in dollars per share) | 28.56 |
Weighted average grant-date fair value, Forfeited (in dollars per share) | 29.20 |
Weighted average grant-date fair value, Ending (in dollars per share) | $ 33.42 |
Performance stock units | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Unvested Restricted shares, Beginning (in shares) | shares | 184,837 |
Unvested Restricted shares, Granted (in shares) | shares | 52,526 |
Unvested Restricted shares, Net adjustment due to performance (in shares) | shares | 30,024 |
Unvested Restricted shares, Vested (in shares) | shares | (90,016) |
Unvested Restricted shares, Forfeited (in shares) | shares | (16,977) |
Unvested Restricted shares, Ending (in shares) | shares | 160,394 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Beginning (in dollars per share) | $ 29.21 |
Weighted average grant-date fair value, Granted (in dollars per share) | 37.01 |
Weighted average grant-date fair value, Net adjustment due to performance (in dollars per share) | 30.38 |
Weighted average grant-date fair value, Vested (in dollars per share) | 30.38 |
Weighted average grant-date fair value, Forfeited (in dollars per share) | 28.96 |
Weighted average grant-date fair value, Ending (in dollars per share) | 31.36 |
ROTA | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Granted (in dollars per share) | 40.16 |
TSR | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Granted (in dollars per share) | $ 33.11 |
Common Stock - Narrative (Detai
Common Stock - Narrative (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Dec. 31, 2020 | Feb. 24, 2021 | Feb. 26, 2020 | |
Schedule Of Common Stock [Line Items] | ||||
Shares outstanding | 30,800,985 | 30,634,291 | ||
Common Class A [Member] | ||||
Schedule Of Common Stock [Line Items] | ||||
Shares outstanding | 30,800,985 | 30,634,291 | ||
Restricted issued but not yet vested, shares | 151,350 | 166,630 | ||
February 2021 Board Authorized Share Purchase Program | ||||
Schedule Of Common Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 75 | |||
February 2020 Board Authorized Share Repurchase Program | ||||
Schedule Of Common Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 50 | |||
Remaining authorized amount | $ 75 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - $ / shares | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Earnings Per Share | |||
Shares outstanding | 30,800,985 | 30,569,011 | |
Outstanding stock options to purchase common stock | 751,394 | 825,031 | 768,129 |
Outstanding stock options to purchase common stock, per share | $ 27.68 | $ 26.11 | $ 26.35 |
Restricted shares outstanding | 311,744 | 335,560 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Computation of Basic and Diluted Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Earnings Per Share | ||||
Net income | $ 24,200 | $ 17,705 | $ 51,012 | $ 33,529 |
Less: income allocated to participating securities | (33) | (37) | (67) | (61) |
Income allocated to common shareholders | $ 24,167 | $ 17,668 | $ 50,945 | $ 33,468 |
Weighted average shares outstanding for basic earnings per common share | 30,947,206 | 30,731,758 | 30,888,062 | 30,944,617 |
Dilutive effect of equity awards | 279,145 | 125,848 | 294,522 | 183,467 |
Weighted average shares outstanding for diluted earnings per common share | 31,226,351 | 30,857,606 | 31,182,584 | 31,128,084 |
Basic earnings per share (in dollars per share) | $ 0.78 | $ 0.57 | $ 1.65 | $ 1.08 |
Diluted earnings per share (in dollars per share) | $ 0.77 | $ 0.57 | $ 1.63 | $ 1.08 |
Derivatives - FV of Derivatives
Derivatives - FV of Derivatives on the Balance Sheet (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | $ 42 | |
Liability derivatives fair value | 21,670 | $ 38,884 |
Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 14,653 | 25,150 |
Liability derivatives fair value | 12,376 | 21,096 |
Other assets [Member] | Interest rate products [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 42 | |
Other assets [Member] | Interest rate products [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 11,640 | 18,149 |
Other assets [Member] | Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 2,950 | 7,001 |
Other assets [Member] | Forward Contracts [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 63 | |
Other liabilities [Member] | Interest rate products [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 21,670 | 38,884 |
Other liabilities [Member] | Interest rate products [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 11,661 | 18,176 |
Other liabilities [Member] | Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 414 | 298 |
Other liabilities [Member] | Forward Contracts [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | $ 301 | $ 2,622 |
Derivatives - Narrative (Detail
Derivatives - Narrative (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Derivative [Line Items] | ||
Hedged Loans | $ 339.3 | $ 389.9 |
Cumulative fair value hedge adjustment | 26.7 | 40.1 |
Termination value of derivatives in net liability position | 34.6 | |
Eligible collateral posted | 36.8 | |
Interest Rate Lock Commitments [Member] | ||
Derivative [Line Items] | ||
Notional amount | 258.8 | |
Interest Rate Lock Commitments Notional Amount Member | ||
Derivative [Line Items] | ||
Notional amount | 182 | |
Forward Loan Sales Commitments Notional Amount Member | ||
Derivative [Line Items] | ||
Notional amount | 244.4 | |
Forward Contract Notional [Member] | ||
Derivative [Line Items] | ||
Notional amount | 375.3 | |
Designated as Hedging Instrument [Member] | Interest rate swap derivatives [Member] | ||
Derivative [Line Items] | ||
Notional amount | 339.2 | 387.1 |
Not Designated as Hedging Instrument, Economic Hedge [Member] | Interest rate swap derivatives [Member] | ||
Derivative [Line Items] | ||
Notional amount | $ 414.2 | $ 456 |
Derivatives - Derivatives on th
Derivatives - Derivatives on the Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Not Designated as Hedging Instrument, Economic Hedge [Member] | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in income on derivatives | $ (4,723) | $ 6,995 | $ (2,707) | $ 8,768 |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in income on derivatives | (28,100) | 31,037 | (7,228) | (3,733) |
Amount of (loss) gain recognized in income on hedged items | 23,726 | (31,654) | 5,157 | 2,124 |
Interest rate products [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | Other Non-Interest income [Member] | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in income on derivatives | 4 | (50) | 10 | (73) |
Interest rate products [Member] | Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Interest income [Member] | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in income on derivatives | (28,100) | 31,037 | (7,228) | (3,733) |
Amount of (loss) gain recognized in income on hedged items | 23,726 | (31,654) | 5,157 | 2,124 |
Forward Contracts [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | Mortgage banking income [Member] | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in income on derivatives | (3,698) | 3,617 | 2,384 | (2,090) |
Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument, Economic Hedge [Member] | Mortgage banking income [Member] | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in income on derivatives | $ (1,029) | $ 3,428 | $ (5,101) | $ 10,931 |
Commitments and Contingencies -
Commitments and Contingencies - Schedule of Total Unfunded Commitments (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | $ 1,004,104 | $ 855,882 |
Unfunded loan commitment reserves [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 455,362 | 311,237 |
Unfunded Commitment Line Of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 539,580 | 537,325 |
Commercial And Standby Letters Of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | $ 9,162 | $ 7,320 |
Commitments and Contingencies_2
Commitments and Contingencies - Repurchase Reserve (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Commitment And Contingencies [Line Items] | ||||||||
Beginning balance | $ 2,620 | $ 2,790 | ||||||
Provision charged to operating expense, net | $ (106) | $ 41 | ||||||
Charge-offs | (116) | (106) | ||||||
Ending balance | $ 2,398 | $ 2,725 | ||||||
Loans Sold Subject to Repurchase [Member] | ||||||||
Commitment And Contingencies [Line Items] | ||||||||
Beginning balance | $ 2,741 | $ 2,589 | ||||||
Provision charged to operating expense, net | $ (102) | $ 320 | ||||||
Charge-offs | (241) | (184) | ||||||
Ending balance | $ 2,398 | $ 2,725 |
Fair Value Measurements - Trans
Fair Value Measurements - Transfer Between Hierarchy Levels (Details) $ in Thousands | Jun. 30, 2021USD ($) |
Fair Value Measurements | |
Level 1 to Level 2 Transfer, Asset | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | 6 Months Ended | ||
Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($)loan | Dec. 31, 2020USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Residential mortgage loans held for sale period | 45 days | ||
Interest Rate Lock Commitments, Average Percentage Of Estimated Pull Through Rate To Calculate Fair Value | 87.6 | ||
Loans | $ 4,300,757,000 | $ 4,353,726,000 | |
Impairment on other real estate owned | 0 | $ 26,000 | |
Impairment on fixed assets related to banking center consolidations | 1,600,000 | ||
Net Book Balance Of Fixed Assets Sold | 6,000,000 | ||
Banking centers classified as held-for-sale | $ 7 | ||
Minimum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Estimated selling cost (as a percent) | 6.00% | ||
Maximum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Estimated selling cost (as a percent) | 10.00% | ||
Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Estimated selling cost (as a percent) | 8.50% | ||
Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Nonrecurring Loans Reserves | $ 1,400,000 | $ 1,300,000 | |
Number of Loans measured | loan | 7 | 6 | |
Loans | $ 5,700,000 | $ 4,400,000 | |
Impaired Loans [Member] | Measurement Input, Discount Rate [Member] | Minimum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 0.00% | ||
Impaired Loans [Member] | Measurement Input, Discount Rate [Member] | Maximum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 26.00% | ||
Impaired Loans [Member] | Measurement Input, Discount Rate [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair value of loans measurement input (as a percent) | 0.092 | ||
Mortgage servicing rights member | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impairment on mortgage servicing rights | $ (700,000) | $ 1,100,000 | |
Mortgage servicing rights member | Minimum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 9.50% | ||
Servicing assets measurement input (as a percent) | 11.4 | ||
Mortgage servicing rights member | Maximum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 10.50% | ||
Servicing assets measurement input (as a percent) | 18.7 | ||
Mortgage servicing rights member | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 9.50% | ||
Mortgage servicing rights member | Measurement Input, Constant Prepayment Rate [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 11.7 |
Fair Value Measurements - Table
Fair Value Measurements - Tables of Financial Instruments Measured At Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 754,772 | $ 934,392 |
Total liabilities at fair value | 34,046 | 59,980 |
Municipal [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 314 | 318 |
Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 2,155 | 1,998 |
Loans held for sale member | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 134,805 | 247,813 |
Mortgage-Backed Securities (MBS) [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 216,231 | 196,334 |
Mortgage-Backed Securities (MBS) [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 386,572 | 462,779 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 751,759 | 927,391 |
Total liabilities at fair value | 33,331 | 57,060 |
Level 2 [Member] | Municipal [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 314 | 318 |
Level 2 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 2,155 | 1,998 |
Level 2 [Member] | Loans held for sale member | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 134,805 | 247,813 |
Level 2 [Member] | Mortgage-Backed Securities (MBS) [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 216,231 | 196,334 |
Level 2 [Member] | Mortgage-Backed Securities (MBS) [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 386,572 | 462,779 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 3,013 | 7,001 |
Total liabilities at fair value | 715 | 2,920 |
Interest rate swap derivatives [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 11,682 | 18,149 |
Total liabilities at fair value | 33,331 | 57,060 |
Interest rate swap derivatives [Member] | Level 2 [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 11,682 | 18,149 |
Total liabilities at fair value | 33,331 | 57,060 |
Mortgage banking derivatives | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 3,013 | 7,001 |
Total liabilities at fair value | 715 | 2,920 |
Mortgage banking derivatives | Level 3 [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 3,013 | 7,001 |
Total liabilities at fair value | $ 715 | $ 2,920 |
Fair Value Measurements - Tab_2
Fair Value Measurements - Table of Changes in Level 3 Financial Instruments (Details) - Derivative Financial Instruments Assets and Liabilities [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning Balance | $ 4,081 |
Gain included in earnings, net | (2,717) |
Fees and costs included in earnings, net | 934 |
Ending Balance | $ 2,298 |
Fair Value Measurements - Input
Fair Value Measurements - Inputs Used to Determine Fair Values of Oreo are Considered Level 3 Inputs in Fair Value Hierarchy (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets at fair value | $ 754,772 | $ 934,392 | |
Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets at fair value | 26,839 | $ 45,134 | |
Losses From Fair Value Changes | 2,779 | 4,082 | |
Impaired loans [Member] | Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets at fair value | 20,807 | 33,075 | |
Losses From Fair Value Changes | 1,227 | 1,349 | |
Mortgage servicing rights member | Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets at fair value | 4,035 | ||
Losses From Fair Value Changes | 1,102 | ||
Premise And Equipment [Member] | Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets at fair value | 6,032 | 8,024 | |
Losses From Fair Value Changes | $ 1,552 | $ 1,631 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Schedule of Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 |
ASSETS: | |||
Cash and cash equivalents | $ 1,004,493 | $ 605,565 | |
Investment securities available-for-sale (at fair value) | 605,798 | 661,955 | |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 687,635 | 376,615 | $ 67,400 |
Non-marketable securities | 14,741 | 16,493 | |
Loans receivable | 4,251,727 | 4,293,949 | |
Total Loans | 4,300,757 | 4,353,726 | |
Loans held-for-sale | 134,805 | 247,813 | |
Accrued interest receivable | 15,000 | 16,700 | |
LIABILITIES: | |||
Time deposits | 924,501 | 986,132 | |
Securities sold under agreements to repurchase | 22,957 | 22,897 | |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 216,231 | 196,334 | |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 337,831 | 306,187 | |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 386,572 | 462,779 | |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 349,804 | 70,428 | |
Other Securities [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 469 | 469 | |
Municipal [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 371 | 375 | |
Corporate Debt Securities [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 2,155 | 1,998 | |
Carrying Amount [Member] | Level 1 [Member] | |||
ASSETS: | |||
Cash and cash equivalents | 1,004,493 | 605,565 | |
Carrying Amount [Member] | Level 2 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 216,231 | 196,334 | |
Non-marketable securities | 14,741 | 16,493 | |
Loans held-for-sale | 134,805 | 247,813 | |
Accrued interest receivable | 17,156 | 18,795 | |
LIABILITIES: | |||
Deposit transaction accounts | 5,233,552 | 4,690,100 | |
Time deposits | 924,501 | 986,132 | |
Securities sold under agreements to repurchase | 22,957 | 22,897 | |
Accrued interest payable | 4,755 | 6,762 | |
Derivative liability | 33,331 | 57,060 | |
Carrying Amount [Member] | Level 3 [Member] | |||
ASSETS: | |||
Loans receivable | 4,300,757 | 4,353,726 | |
Carrying Amount [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | |||
ASSETS: | |||
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 337,831 | 306,187 | |
Carrying Amount [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 386,572 | 462,779 | |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 349,804 | 70,428 | |
Carrying Amount [Member] | Other Securities [Member] | Level 3 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 469 | 469 | |
Carrying Amount [Member] | Municipal [Member] | Level 2 [Member] | |||
ASSETS: | |||
Municipal obligations | 314 | 318 | |
Carrying Amount [Member] | Municipal [Member] | Level 3 [Member] | |||
ASSETS: | |||
Municipal obligations | 57 | 57 | |
Carrying Amount [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 2,155 | 1,998 | |
Estimated Fair Value [Member] | Level 1 [Member] | |||
ASSETS: | |||
Cash and cash equivalents | 1,004,493 | 605,565 | |
Estimated Fair Value [Member] | Level 2 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 216,231 | 196,334 | |
Non-marketable securities | 14,741 | 16,493 | |
Loans held-for-sale | 134,805 | 247,813 | |
Accrued interest receivable | 17,156 | 18,795 | |
LIABILITIES: | |||
Deposit transaction accounts | 5,233,552 | 4,690,100 | |
Time deposits | 928,221 | 993,070 | |
Securities sold under agreements to repurchase | 22,957 | 22,897 | |
Accrued interest payable | 4,755 | 6,762 | |
Derivative liability | 33,331 | 57,060 | |
Estimated Fair Value [Member] | Level 3 [Member] | |||
ASSETS: | |||
Loans receivable | 4,384,071 | 4,511,357 | |
Estimated Fair Value [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | |||
ASSETS: | |||
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 338,041 | 310,930 | |
Estimated Fair Value [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 386,572 | 462,779 | |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 349,104 | 70,761 | |
Estimated Fair Value [Member] | Other Securities [Member] | Level 3 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 469 | 469 | |
Estimated Fair Value [Member] | Municipal [Member] | Level 2 [Member] | |||
ASSETS: | |||
Municipal obligations | 314 | 318 | |
Estimated Fair Value [Member] | Municipal [Member] | Level 3 [Member] | |||
ASSETS: | |||
Municipal obligations | 57 | 57 | |
Estimated Fair Value [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | |||
ASSETS: | |||
Investment securities available-for-sale (at fair value) | 2,155 | 1,998 | |
Interest rate swap derivatives [Member] | Carrying Amount [Member] | Level 2 [Member] | |||
ASSETS: | |||
Derivative asset | 11,682 | 18,149 | |
Interest rate swap derivatives [Member] | Estimated Fair Value [Member] | Level 2 [Member] | |||
ASSETS: | |||
Derivative asset | 11,682 | 18,149 | |
Mortgage banking derivatives | Carrying Amount [Member] | Level 3 [Member] | |||
ASSETS: | |||
Derivative asset | 3,013 | 7,001 | |
LIABILITIES: | |||
Derivative liability | 715 | 2,920 | |
Mortgage banking derivatives | Estimated Fair Value [Member] | Level 3 [Member] | |||
ASSETS: | |||
Derivative asset | 3,013 | 7,001 | |
LIABILITIES: | |||
Derivative liability | $ 715 | $ 2,920 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Stockholders' equity | $ 851,866 | $ 831,990 | $ 820,691 | $ 776,967 | $ 763,454 | $ 766,920 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Stockholders' equity | $ 4,623 |
Loans - Impaired Loans - Averag
Loans - Impaired Loans - Average Recorded Investment and Interest Income Recognized (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Loans | |
Impaired Financing Receivable, Interest Income, Cash Basis Method | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Of Financial Instruments [Abstract] | |
Residential mortgage loans held for sale period | 45 days |
Interest Rate Lock Commitments, Average Percentage Of Estimated Pull Through Rate To Calculate Fair Value | 87.6 |
Fair Value Measurements - Tab_3
Fair Value Measurements - Table of Valuation Techniques and Unobservable Inputs Used in Valuation of Financial Instruments Falling Within Level 3 of Fair Value Hierarchy (Details) | Jun. 30, 2021 |
Minimum | Mortgage servicing rights member | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Servicing assets measurement input (as a percent) | 11.4 |
Maximum | Mortgage servicing rights member | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Servicing assets measurement input (as a percent) | 18.7 |
Weighted Average | Impaired Loans [Member] | Measurement Input, Discount Rate [Member] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Fair value of loans measurement input (as a percent) | 0.092 |
Weighted Average | Mortgage servicing rights member | Measurement Input, Constant Prepayment Rate [Member] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Servicing assets measurement input (as a percent) | 11.7 |