Cover Page
Cover Page - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 17, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-36441 | ||
Entity Registrant Name | Investors Bancorp, Inc. | ||
Entity Incorporation, State | DE | ||
Entity Tax Identification Number | 46-4702118 | ||
Entity Address, Street | 101 JFK Parkway, | ||
Entity Address, City | Short Hills, | ||
Entity Address, State | NJ | ||
Entity Address, Postal Zip Code | 07078 | ||
City Area Code | 973 | ||
Local Phone Number | 924-5100 | ||
Title of each class | Common | ||
Trading Symbol(s) | ISBC | ||
Name of each exchange on which registered | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
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 | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 249,038,728 | ||
Entity Public Float | $ 3,230 | ||
Documents Incorporated by Reference | None. | ||
Entity Central Index Key | 0001594012 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Audit Information [Abstract] | |
Auditor Name | KPMG LLP |
Auditor Firm ID | 185 |
Auditor Location | Short Hills, New Jersey |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
ASSETS | ||
Cash and cash equivalents | $ 287,990 | $ 170,432 |
Equity securities | 8,194 | 36,000 |
Debt securities available-for-sale, at estimated fair value | 2,393,540 | 2,758,437 |
Debt securities held-to-maturity, net (estimated fair value of $1,651,504 and $1,320,872 at December 31, 2021 and 2020, respectively) | 1,593,785 | 1,247,853 |
Loans receivable, net | 22,342,612 | 20,580,451 |
Loans held-for-sale | 809 | 30,357 |
Federal Home Loan Bank stock | 176,480 | 159,829 |
Accrued interest receivable | 78,636 | 79,705 |
Other real estate owned and other repossessed assets | 2,882 | 7,115 |
Office properties and equipment, net | 129,288 | 139,663 |
Operating lease right-of-use assets | 199,603 | 199,981 |
Net deferred tax asset | 87,251 | 116,805 |
Bank owned life insurance | 229,358 | 223,714 |
Goodwill and intangible assets | 131,993 | 109,633 |
Other assets | 144,197 | 163,184 |
Total assets | 27,806,618 | 26,023,159 |
Liabilities: | ||
Deposits | 20,824,638 | 19,525,419 |
Borrowed funds | 3,535,038 | 3,295,790 |
Advance payments by borrowers for taxes and insurance | 137,438 | 115,729 |
Operating lease liabilities | 212,678 | 212,559 |
Other liabilities | 158,398 | 163,659 |
Total liabilities | 24,868,190 | 23,313,156 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock, $0.01 par value, 100,000,000 authorized shares; none issued | 0 | 0 |
Common stock, $0.01 par value, 1,000,000,000 shares authorized; 361,869,872 issued at December 31, 2021 and 2020; 247,997,266 and 247,929,216 outstanding at December 31, 2021 and 2020, respectively | 3,619 | 3,619 |
Additional paid-in capital | 2,872,103 | 2,858,663 |
Retained earnings | 1,513,970 | 1,339,003 |
Treasury stock, at cost; 113,872,606 and 113,940,656 shares at December 31, 2021 and 2020, respectively | (1,375,126) | (1,375,996) |
Unallocated common stock held by the employee stock ownership plan | (69,845) | (75,270) |
Accumulated other comprehensive loss | (6,293) | (40,016) |
Total stockholders’ equity | 2,938,428 | 2,710,003 |
Total liabilities and stockholders’ equity | $ 27,806,618 | $ 26,023,159 |
Common stock, shares issued (shares) | 361,869,872 | 361,869,872 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Debt securities, fair value | $ 1,651,504 | $ 1,320,872 |
Preferred stock, par value (usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (shares) | 100,000,000 | 100,000,000 |
Preferred stock, shares issued (shares) | 0 | 0 |
Common stock, par value (usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (shares) | 361,869,872 | 361,869,872 |
Common stock, shares outstanding (shares) | 247,997,266 | 247,929,216 |
Treasury stock (shares) | 113,872,606 | 113,940,656 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Interest and dividend income: | |||
Loans receivable and loans held-for-sale | $ 836,171 | $ 871,411 | $ 912,091 |
Securities: | |||
Equity | 458 | 362 | 143 |
Government-sponsored enterprise obligations | 2,237 | 1,517 | 1,212 |
Mortgage-backed securities | 56,539 | 77,925 | 95,133 |
Municipal bonds and other debt | 14,039 | 13,480 | 11,494 |
Interest-bearing deposits | 648 | 1,460 | 2,805 |
Federal Home Loan Bank stock | 8,546 | 14,739 | 17,341 |
Total interest and dividend income | 918,638 | 980,894 | 1,040,219 |
Interest expense: | |||
Deposits | 67,905 | 155,589 | 261,857 |
Borrowed Funds | 79,718 | 99,619 | 123,289 |
Total interest expense | 147,623 | 255,208 | 385,146 |
Net interest income | 771,015 | 725,686 | 655,073 |
Provision for credit losses | (48,676) | 70,158 | (1,000) |
Net interest income after provision for credit losses | 819,691 | 655,528 | 656,073 |
Non-interest income | |||
Fees and service charges | 22,080 | 17,916 | 23,604 |
Income on bank owned life insurance | 6,548 | 6,638 | 6,542 |
Gain on loans, net | 6,911 | 16,226 | 5,345 |
Gain (loss) on securities, net | 506 | 406 | (5,536) |
Gain on sale-leaseback transactions | 0 | 23,129 | 0 |
Gain on sale of other real estate owned, net | 86 | 1,054 | 1,145 |
Other income | 28,332 | 25,149 | 22,313 |
Total non-interest income | 64,463 | 90,518 | 53,413 |
Non-interest expense | |||
Compensation and fringe benefits | 245,065 | 240,970 | 243,782 |
Advertising and promotional expense | 12,083 | 9,551 | 13,893 |
Office occupancy and equipment expense | 76,788 | 77,754 | 63,996 |
Federal deposit insurance premiums | 12,350 | 14,276 | 13,200 |
General and administrative | 2,254 | 2,133 | 2,222 |
Professional fees | 26,483 | 16,220 | 17,308 |
Data processing and communication | 39,042 | 35,702 | 31,987 |
Loss from extinguishment of debt | 10,159 | 24,098 | 0 |
Other operating expenses | 31,517 | 28,801 | 36,366 |
Total non-interest expenses | 455,741 | 449,505 | 422,754 |
Income before income tax expense | 428,413 | 296,541 | 286,732 |
Income tax expense | 115,080 | 74,961 | 91,248 |
Net income | $ 313,333 | $ 221,580 | $ 195,484 |
Basic earnings per share (usd per share) | $ 1.33 | $ 0.94 | $ 0.75 |
Diluted earnings per share (usd per share) | $ 1.33 | $ 0.94 | $ 0.74 |
Weighted average shares outstanding | |||
Basic (shares) | 235,315,487 | 235,761,457 | 262,202,598 |
Diluted (shares) | 236,436,081 | 235,838,808 | 262,519,788 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 313,333 | $ 221,580 | $ 195,484 |
Other comprehensive income (loss), net of tax: | |||
Change in funded status of retirement obligations | 1,666 | (2,795) | (3,672) |
Unrealized (losses) gains on debt securities available-for-sale | (41,756) | 27,748 | 34,119 |
Accretion of loss on debt securities reclassified to held to maturity | 107 | 202 | 535 |
Reclassification adjustment for security (gains) losses included in net income | (299) | 0 | 4,221 |
Other-than-temporary impairment accretion on debt securities recorded prior to January 1, 2020 | 735 | 820 | 768 |
Net gains (losses) on derivatives | 73,270 | (47,369) | (43,024) |
Total other comprehensive income (loss) | 33,723 | (21,394) | (7,053) |
Total comprehensive income | $ 347,056 | $ 200,186 | $ 188,431 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Adjustment | Adjusted Balance | Common stock | Common stockAdjusted Balance | Additional paid-in capital | Additional paid-in capitalAdjusted Balance | Retained earnings | Retained earningsAdjustment | Retained earningsAdjusted Balance | Treasury stock | Treasury stockAdjusted Balance | Unallocated Common Stock Held by ESOP | Unallocated Common Stock Held by ESOPAdjusted Balance | Accumulated other comprehensive loss | Accumulated other comprehensive lossAdjusted Balance |
Balance at Dec. 31, 2018 | $ 3,005,330 | $ 3,591 | $ 2,804,098 | $ 1,173,897 | $ (884,750) | $ (79,937) | $ (11,569) | |||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||||
Net income | 195,484 | 195,484 | ||||||||||||||
Other comprehensive income (loss), net of tax | (7,053) | (7,053) | ||||||||||||||
Purchase of treasury stock | (475,946) | (475,946) | ||||||||||||||
Treasury stock allocated to restricted stock plan | 0 | (29,321) | 31 | 29,290 | ||||||||||||
Compensation cost for stock options and restricted stock | 19,968 | 19,968 | ||||||||||||||
Exercise of stock options | 814 | (573) | 1,387 | |||||||||||||
Restricted stock forfeitures | 0 | 24,347 | (1,456) | (22,891) | ||||||||||||
Cash dividend paid | (122,163) | (122,163) | ||||||||||||||
ESOP shares allocated or committed to be released | 5,516 | 2,318 | 3,198 | |||||||||||||
Balance at Dec. 31, 2019 | $ 2,621,950 | $ (8,491) | $ 2,613,459 | 3,591 | $ 3,591 | 2,820,837 | $ 2,820,837 | 1,245,793 | $ (8,491) | $ 1,237,302 | (1,352,910) | $ (1,352,910) | (76,739) | $ (76,739) | (18,622) | $ (18,622) |
Increase (Decrease) in Stockholders' Equity | ||||||||||||||||
Accounting Standards Update | Accounting Standards Update 2016-13 [Member] | |||||||||||||||
Net income | $ 221,580 | 221,580 | ||||||||||||||
Other comprehensive income (loss), net of tax | (21,394) | (21,394) | ||||||||||||||
Common stock issued to finance acquisition | 20,881 | 28 | 20,853 | |||||||||||||
Purchase of treasury stock | (23,920) | (23,920) | ||||||||||||||
Treasury stock allocated to restricted stock plan | 0 | (913) | (200) | 1,113 | ||||||||||||
Compensation cost for stock options and restricted stock | 14,772 | 14,772 | ||||||||||||||
Restricted stock forfeitures | 0 | 283 | (4) | (279) | ||||||||||||
Cash dividend paid | (119,675) | (119,675) | ||||||||||||||
ESOP shares allocated or committed to be released | 4,300 | 1,103 | 3,197 | |||||||||||||
Balance at Dec. 31, 2020 | 2,710,003 | 3,619 | 2,856,935 | 1,339,003 | (1,375,996) | (73,542) | (40,016) | |||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||||
Net income | 313,333 | 313,333 | ||||||||||||||
Other comprehensive income (loss), net of tax | 33,723 | 33,723 | ||||||||||||||
Purchase of treasury stock | (12,124) | (12,124) | ||||||||||||||
Treasury stock allocated to restricted stock plan | 0 | (3,487) | 236 | 3,251 | ||||||||||||
Compensation cost for stock options and restricted stock | 14,314 | 14,314 | ||||||||||||||
Exercise of stock options | 9,987 | (161) | 10,148 | |||||||||||||
Restricted stock forfeitures | 0 | 400 | 5 | (405) | ||||||||||||
Cash dividend paid | (138,607) | (138,607) | ||||||||||||||
ESOP shares allocated or committed to be released | 7,799 | 4,102 | 3,697 | |||||||||||||
Balance at Dec. 31, 2021 | $ 2,938,428 | $ 3,619 | $ 2,872,103 | $ 1,513,970 | $ (1,375,126) | $ (69,845) | $ (6,293) |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | |||
Purchase of treasury stock (shares) | 975,469 | 2,377,814 | 39,365,145 |
Treasury stock allocated to restricted stock plan (shares) | 262,281 | 91,249 | 2,360,919 |
Restricted stock forfeitures (shares) | 33,351 | 23,141 | 1,940,788 |
Dividends paid per share (usd per share) | $ 0.56 | $ 0.48 | $ 0.44 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income | $ 313,333 | $ 221,580 | $ 195,484 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
ESOP and stock-based compensation expense | 22,113 | 19,072 | 25,484 |
Amortization of premiums and accretion of discounts on securities, net | 9,418 | 11,468 | 9,251 |
Amortization of premiums and accretion of fees and costs on loans, net | (1,076) | 1,151 | (3,730) |
Amortization of other intangible assets | 1,311 | 1,471 | 1,520 |
Amortization of debt modification costs and premium on borrowings | 2,248 | 2,225 | 1,186 |
Provision for credit losses | (48,676) | 70,158 | (1,000) |
Loss from extinguishment of debt | 10,159 | 24,098 | 0 |
Depreciation and amortization of office properties and equipment | 21,614 | 21,350 | 19,579 |
(Gain) loss on securities, net | (506) | (406) | 5,536 |
Mortgage loans originated for sale | (144,989) | (564,527) | (269,773) |
Proceeds from mortgage loan sales | 179,427 | 579,788 | 247,640 |
Gain on sales of mortgage loans, net | (4,891) | (15,822) | (3,590) |
Gain on sale of other real estate owned | (86) | (1,054) | (1,145) |
Gain on sale-leaseback transactions | 0 | (23,129) | 0 |
Income on bank owned life insurance | (6,548) | (6,638) | (6,542) |
Amortization of lease right-of-use assets | 25,893 | 21,551 | 17,608 |
Decrease (increase) in accrued interest receivable | 2,077 | 891 | (1,812) |
Deferred tax expense (benefit) | 14,379 | (34,190) | 45,624 |
Decrease (increase) in other assets | 116,830 | (121,081) | (42,170) |
(Decrease) increase in other liabilities | (17,250) | 16,341 | (78,496) |
Net cash provided by operating activities | 494,780 | 224,297 | 160,654 |
Cash flows from investing activities: | |||
Purchases of loans receivable | (103,686) | (158,420) | (427,053) |
Net (originations) payoffs of loans receivable | (1,481,130) | 1,055,802 | 101,227 |
Proceeds from disposition of loans receivable | 88,412 | 380,671 | 227,522 |
Gain on disposition of loans receivable | (2,020) | (404) | (1,755) |
Gain on disposition of leased equipment | (3,380) | (2,086) | (5,698) |
Net proceeds from sale of other real estate owned | 1,421 | 7,393 | 6,498 |
Proceeds from sales of equity securities | 33,983 | 0 | 0 |
Proceeds from principal repayments/calls/maturities of debt securities available for sale | 960,934 | 1,020,929 | 492,419 |
Proceeds from sales of debt securities available for sale | 8,171 | 0 | 399,435 |
Proceeds from paydowns/maturities on debt securities held-to-maturity | 302,881 | 278,532 | 251,574 |
Purchases of equity securities | (6,068) | (29,705) | (96) |
Purchases of debt securities available for sale | (666,822) | (1,005,649) | (1,034,131) |
Purchases of debt securities held-to-maturity | (647,881) | (372,712) | (238,670) |
Proceeds from redemptions of Federal Home Loan Bank stock | 89,575 | 182,182 | 303,245 |
Purchases of Federal Home Loan Bank stock | (106,226) | (74,171) | (310,230) |
Purchases of office properties and equipment | (10,875) | (17,755) | (11,761) |
Proceeds from sale of real estate property | 0 | 49,970 | 0 |
Death benefit proceeds from bank owned life insurance | 904 | 1,439 | 0 |
Cash received, net of cash consideration paid for acquisitions | 391,640 | 7,274 | 0 |
Net cash (used in) provided by investing activities | (1,150,167) | 1,323,290 | (247,474) |
Cash flows from financing activities: | |||
Net increase in deposits | 666,830 | 1,175,200 | 280,069 |
Repayments of principal under finance leases | (1,588) | (1,579) | (2) |
Funds borrowed under other repurchase agreements | 0 | 0 | 197,584 |
Net proceeds (repayments) of borrowed funds | 837,000 | (1,548,397) | 192,660 |
Payments related to extinguishment of debt | (610,159) | (1,024,098) | 0 |
Net increase (decrease) in advance payments by borrowers for taxes and insurance | 21,606 | (9,601) | (8,172) |
Dividends paid | (138,607) | (119,675) | (122,163) |
Exercise of stock options | 9,987 | 0 | 814 |
Purchase of treasury stock | (12,124) | (23,920) | (475,946) |
Net cash provided by (used in) financing activities | 772,945 | (1,552,070) | 64,844 |
Net increase (decrease) in cash and cash equivalents | 117,558 | (4,483) | (21,976) |
Cash and cash equivalents at beginning of period | 170,432 | 174,915 | 196,891 |
Cash and cash equivalents at end of period | 287,990 | 170,432 | 174,915 |
Non-cash investing activities: | |||
Real estate acquired through foreclosure and other assets repossessed | 344 | 1,050 | 12,567 |
Other repossessed assets transferred to active leases | 3,242 | 0 | 0 |
Cash paid during the year for: | |||
Interest | 150,612 | 268,284 | 390,359 |
Income taxes | 110,025 | 88,450 | 36,146 |
Significant non-cash transactions | |||
Debt securities transferred from held-to-maturity to available-for-sale | 0 | 0 | 393,359 |
Loans transferred to held-for-sale portfolio | 0 | 0 | 28,373 |
Investment in low income housing tax credit | 10,000 | 0 | 10,000 |
Right-of-use assets obtained in exchange for new lease liabilities | 16,372 | 43,062 | 2,996 |
Non-cash assets acquired: | |||
Debt securities available-for-sale | 0 | 51,524 | 0 |
Debt securities held to maturity | 0 | 8,402 | 0 |
Loans receivable, net | 212,538 | 443,499 | 0 |
Office properties and equipment, net | 364 | 485 | 0 |
Accrued interest receivable | 1,008 | 1,283 | 0 |
Right of use assets - leases | 9,310 | 3,697 | 0 |
Deferred tax asset | 1,212 | 3,915 | 0 |
Intangible assets, net | 25,291 | 14,491 | 0 |
Other assets | 509 | 705 | 0 |
Total non-cash assets acquired | 250,232 | 528,001 | 0 |
Liabilities assumed: | |||
Deposits | 632,389 | 489,881 | 0 |
Borrowed funds | 0 | 14,851 | 0 |
Advance payment by borrowers | 103 | 3,611 | 0 |
Other liabilities | 9,380 | 6,051 | 0 |
Total liabilities assumed | 641,872 | 514,394 | 0 |
Net non-cash (liabilities) assets acquired | $ (391,640) | 13,607 | $ 0 |
Gold Coast Bancorp, Inc. | |||
Common stock issued for acquisitions | $ 20,881 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Business Investors Bancorp Inc. (the “Company”) is the holding company for Investors Bank (“the Bank”) and the Bank’s wholly-owned subsidiaries. The Bank is a New Jersey-chartered commercial bank headquartered in Short Hills, NJ and provides a full range of banking and related financial services to consumer and commercial customers through its subsidiaries. The Company is subject to the regulations of certain federal and state regulatory authorities and undergoes periodic examinations by those regulatory authorities. Basis of Presentation The consolidated financial statements are comprised of the accounts of Investors Bancorp, Inc. and its wholly owned subsidiary, Investors Bank and the Bank’s wholly-owned subsidiaries (collectively, the “Company”). All significant intercompany accounts and transactions have been eliminated in consolidation. Certain reclassifications have been made in the consolidated financial statements to conform with current year classifications. In the opinion of management, all the adjustments (consisting of normal and recurring adjustments) necessary for the fair presentation of the consolidated financial condition and the consolidated results of operations for the periods presented have been included. The results of operations and other data presented are not necessarily indicative of the results of operations that may be expected for subsequent years. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Several accounting estimates are particularly significant and are susceptible to near-term change, including the allowance for credit losses, valuation of deferred tax assets, impairment judgments and fair value regarding securities, stock-based compensation and derivative instruments. These accounting estimates, which are included in the discussion below, involve a higher degree of complexity and subjectivity and require estimate and assumptions about highly uncertain matters. Adoption of New Accounting Standards On January 1, 2020, the Company adopted ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”, which replaced the previous incurred loss methodology, which encompassed allowance for current known and inherent losses within the portfolio, with an expected loss methodology, which encompasses allowance for losses expected to be incurred over the life of the portfolio, referred to as the current expected credit loss (“CECL”) methodology. The CECL model requires the measurement of all expected credit losses for financial assets measured at amortized cost and certain off-balance-sheet credit exposures based on historical experience, current conditions, and reasonable and supportable forecasts. The Company adopted ASU 2016-13 using a modified retrospective approach. Results for reporting periods beginning after January 1, 2020 are presented under Topic 326, while prior period amounts continue to be reported in accordance with previously applicable GAAP. At adoption, the Company increased its allowance for credit losses by $11.7 million, comprised of $12.7 million and $2.6 million, respectively, for unfunded commitments and held-to-maturity debt securities, partially offset by a decrease of $3.6 million for loans. Upon adoption the Company recorded a cumulative effect adjustment that reduced stockholders’ equity by $8.5 million net of an increase to deferred tax assets of $3.2 million. In connection with the adoption of ASC 326, the Company revised certain accounting policies and implemented certain accounting policy elections. Significant Accounting Principles Cash Equivalents Cash equivalents consist of cash on hand, amounts due from banks and interest-bearing deposits in other financial institutions. Cash equivalents may also consist of short-term U.S. Treasury securities with original maturities of three months or less. Effective March 26, 2020, the Federal Reserve Board reduced reserve requirement ratios to zero, effectively eliminating the requirements, due to a change in its approach to monetary policy. The Federal Reserve Board indicated that it has no plans to re-impose reserve requirements but could in the future if conditions warrant. Securities The Company’s securities portfolio includes equity securities, debt securities held-to-maturity and debt securities available-for-sale. Management determines the appropriate classification of securities at the time of purchase. If management has the positive intent not to sell and the Company would not be required to sell a debt security prior to maturity, it is classified as held-to-maturity. Such securities are stated at amortized cost, adjusted for unamortized purchase premiums and discounts and an allowance for credit losses. Securities in the available-for-sale category are securities which the Company may sell prior to maturity. Available-for-sale securities are reported at fair value with any unrealized appreciation or depreciation, net of tax effects, reported as accumulated other comprehensive income/loss in stockholders’ equity. Discounts and premiums on debt securities are accreted or amortized using the level-yield method over the estimated lives of the securities, including the effect of prepayments. Realized gains and losses are recognized when securities are sold or called using the specific identification method. Unrealized gains and losses on equity securities are recognized in the Consolidated Statements of Income. Loans Receivable, Net Loans receivable, other than loans held-for-sale, are stated at unpaid principal balance, adjusted for unamortized premiums, unearned discounts, deferred origination fees and costs, net purchase accounting adjustments, hedged items and the allowance for loan losses. Interest income on loans is accrued and credited to income as earned. Premiums and discounts on purchased loans and net loan origination fees and costs are deferred and amortized to interest income over the estimated life of the loan as an adjustment to yield. Also included in loans receivable are direct finance leases which are stated as the sum of remaining minimum lease payments from lessees plus estimated residual values less unearned lease income. At the inception of each lease, the Company records a residual value for the leased equipment based on its estimate of the future value of the equipment at the end of the lease term or end of the equipment’s estimated useful life. On at least an annual basis, the Company reviews the lease residuals for potential impairment. A loan is considered delinquent when we have not received a payment within 30 days of its contractual due date. The accrual of income on loans is discontinued when required interest or principal payments are 90 days in arrears or when the timely collection of such income is doubtful. Loans on which the accrual of income has been discontinued are designated as non-accrual loans and outstanding interest previously credited is reversed. Interest income on non-accrual loans and impaired loans is recognized in the period collected unless the ultimate collection of principal is considered doubtful. A loan is returned to accrual status when all amounts due have been received and the remaining principal is deemed collectible. Loans are generally charged off after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Troubled Debt Restructuring . On a case-by-case basis, the Company may agree to modify the contractual terms of a borrower’s loan to remain competitive and assist customers who may be experiencing financial difficulty, as well as preserve the Company’s position in the loan. If the borrower is experiencing financial difficulties and a concession has been made at the time of such modification, the loan is classified as a TDR. Substantially all of our TDR loan modifications involve lowering the monthly payments on such loans through either a reduction in interest rate below a market rate, an extension of the term of the loan, or a combination of these two methods. These modifications rarely result in the forgiveness of principal or accrued interest. In addition, we frequently obtain additional collateral or guarantor support when modifying commercial loans. Restructured loans remain on non-accrual status until there has been a sustained period of repayment performance (generally six consecutive months of payments) and both principal and interest are deemed collectible. Guidance on Non-TDR Loan Modifications due to COVID-19. The Company implemented various consumer and commercial loan modification programs to provide its borrowers relief from the economic impacts of COVID-19. In accordance with the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), the Company elected to not apply troubled debt restructuring classification to any COVID-19 related loan modifications that occurred after March 1, 2020 to borrowers who were current as of December 31, 2019. Accordingly, these modifications are exempt from troubled debt restructuring classification under U.S. generally accepted accounting principles (“U.S. GAAP”) and were not classified as troubled debt restructurings (“TDRs”). The Consolidated Appropriations Act of 2021 extended this provision of the CARES Act to January 1, 2022. In addition, for loans modified in response to the COVID-19 pandemic that did not meet the above criteria (e.g., current payment status at December 31, 2019), the Company applied the guidance included in an interagency statement issued by the bank regulatory agencies. For loan modifications that include a payment deferral and are not TDRs, the borrower’s past due and non-accrual status have not been impacted during the deferral period. Interest income has continued to be recognized over the contractual life of the loan. At December 31, 2021, loans with an aggregate outstanding balance of approximately $279.0 million were in COVID-19 related payment deferment and qualified for exemption from TDR classification. Allowance for Credit Losses The allowance for credit losses represents the estimated amount considered necessary to cover lifetime expected credit losses inherent in financial assets at the balance sheet date. The measurement of expected credit losses is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures such as loan commitments and unused lines of credit. The allowance is established through the provision for credit losses that is charged against income. The methodology for determining the allowance for credit losses is considered a critical accounting policy by management because of the high degree of judgment involved, the subjectivity of the assumptions used, and the potential for changes in the forecasted economic environment that could result in changes to the amount of the recorded allowance for credit losses. The allowance for loan and security losses is reported separately as contra-assets to loans and securities on the consolidated balance sheet. The expected credit loss for unfunded lending commitments and unfunded loan commitments is reported on the consolidated balance sheet in other liabilities. The provision for credit losses related to loans, unfunded commitments and debt securities is reported on the consolidated statement of income. Prior to the adoption of ASU 2016-13, the allowance for credit losses on loans was a contra-asset valuation account established through a provision for loan losses charged to expense, which represented management’s best estimate of inherent losses that had been incurred within the existing portfolio of loans. The allowance for credit losses on loans included allowance allocations calculated in accordance with ASC Topic 310, “Receivables” and allowance allocations calculated in accordance with ASC Topic 450, “Contingencies.” Prior to January 1, 2020, under previous other-than-temporary impairment guidance, the Company conducted a quarterly review and evaluation of the securities portfolio to determine if the value of any security had declined below its cost or amortized cost, and whether such decline was other-than-temporary. If a determination was made that a debt security was other-than-temporarily impaired, the Company would estimate the amount of the unrealized loss that was attributable to credit and all other non-credit related factors. The credit related component would be recognized as an other-than-temporary impairment charge in non-interest income. The non-credit related component would be recorded as an adjustment to accumulated other comprehensive income (loss), net of tax. Allowance for Credit Losses on Loans Receivable Collectively evaluated . The allowance for credit losses on loans is deducted from the amortized cost basis of the loan to present the net amount expected to be collected. Expected losses are evaluated and calculated on a collective basis for those loans which share similar risk characteristics. At each reporting period, the Company evaluates whether the loans in a pool continue to exhibit similar risk characteristics as the other loans in the pool. If the risk characteristics of a loan change, such that they are no longer similar to other loans in the pool, the Company will evaluate the loan with a different pool of loans that share similar risk characteristics. If the loan does not share risk characteristics with other loans, the Company will evaluate the allowance on an individual basis. The Company evaluates the segmentation at least annually to determine whether loans continue to share similar risk characteristics. Loans are charged off against the allowance when the Company believes the loan balances become uncollectible. Expected recoveries do not exceed the aggregate of amounts previously charged off or expected to be charged off. The Company has chosen to segment its portfolio consistent with the manner in which it manages the risk of the type of credit. The Company’s segments for loans include multi-family, commercial real estate, commercial and industrial, construction, residential and consumer. The Company calculates estimated credit loss on its loan portfolio primarily using quantitative methodologies that consider a variety of factors such as historical loss experience, loan characteristics, the current credit quality of the portfolio as well as an economic outlook over the life of the loan. The expected credit losses are the product of multiplying the Company’s estimates of probability of default (PD), loss given default (LGD) and individual loan level exposure at default on an undiscounted basis. For a small portion of the loan portfolio, i.e. unsecured consumer loans, small business loans and loans to individuals, the Company utilizes a loss rate method to calculate the expected credit loss of that asset segment. Included in the Company’s framework for estimating credit losses, the Company incorporates forward-looking information through the use of macroeconomic scenarios applied over a two-year reasonable and supportable forecast period, after which, the Company reverts to average historical losses on a straight line basis over a two-year period. These macroeconomic scenarios include variables that have historically been key drivers of increases and decreases in credit losses and include, but are not limited to, unemployment rates, real estate prices, gross domestic product levels, corporate bond spreads and long-term interest rate forecasts. The Company evaluates the use of multiple economic scenarios and the weighting of those scenarios on a quarterly basis. The scenarios that are chosen and the amount of weighting given to each scenario consider a variety of factors including third party economists and firms, industry trends and other available published economic information. Expected credit losses are estimated over the contractual term of each loan taking into consideration expected prepayments which are developed using industry standard estimation techniques. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a troubled debt restructuring will be executed with an individual borrower or the extension or renewal options are included in the original or modified contract at the reporting date and are not unconditionally cancelable by the Company. Also included in the allowance for loans are qualitative reserves to cover losses that are expected but, in the Company’s assessment, may not be adequately represented in the quantitative method or the economic assumptions described above. For example, factors that the Company considers include changes in lending policies and procedures, business conditions, the nature and size of the portfolio, portfolio concentrations, the volume and severity of past due loans and non-accrual loans, the effect of external factors such as competition, and the legal and regulatory requirements, among others. Individually evaluated . On a case-by-case basis, the Company may conclude a loan should be evaluated on an individual basis based on its disparate risk characteristics. The Company individually evaluates loans that meet the following criteria for expected credit loss, as the Company has determined that these loans generally do not share similar risk characteristics with other loans in the portfolio: • Commercial loans with an outstanding balance greater than $1.0 million and on non-accrual status; • Troubled debt restructured loans; and • Other commercial loans with greater than $1.0 million in outstanding principal, if management has specific information that it is probable they will not collect all principal amounts due under the contractual terms of the loan agreement. When the Company determines that the loan no longer shares similar risk characteristics of other loans in the portfolio, the allowance will be determined on an individual basis using the present value of expected cash flows or, for collateral-dependent loans, the fair value of the collateral as of the reporting date, less estimated selling costs, as applicable, to ensure that the credit loss is not delayed until actual loss. If the fair value of the collateral is less than the amortized cost basis of the loan, the Company will charge off the difference between the fair value of the collateral, less costs to sell at the reporting date and the amortized cost basis of the loan. In determining the fair value for collateral-dependent loans, the Company reviews whether there has been an adverse change in the collateral value supporting the loan. As a substantial amount of the Company’s loan portfolio is collateralized by real estate, appraisals of the underlying value of property are used. The Company utilizes information from its commercial lending officers and its credit department and special assets department’s knowledge of changes in real estate conditions to identify if possible deterioration has occurred. Based on the severity of the changes in market conditions, management determines if an updated appraisal is warranted or if downward adjustments to the previous appraisal are warranted. For residential mortgage loans, the Company’s policy is to obtain an appraisal upon the origination of the loan and an updated appraisal in the event a loan becomes 90 days delinquent. Thereafter, the appraisal is updated every two years if the loan remains in non-performing status and the foreclosure process has not been completed. Management adjusts the appraised value of residential loans to reflect estimated selling costs and declines in the real estate market. Management believes the potential risk for outdated appraisals has been mitigated due to the fact that the loans are individually assessed to determine that the loan’s carrying value is not in excess of the fair value of the collateral. Loans are generally charged off after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Acquired assets. Subsequent to the adoption of CECL, acquired assets are included in the Company's calculation of the allowance for credit losses. How the allowance on an acquired asset is recorded depends on whether it has been classified as a Purchased Financial Asset with Credit Deterioration (“PCD”). PCD assets are assets acquired at a discount that is due, in part, to credit quality. PCD assets are accounted for in accordance with ASC Subtopic 326-20 and are initially recorded at fair value as determined by the sum of the present value of expected future cash flows and an allowance for credit losses at acquisition. The allowance for PCD assets is recorded through a gross-up effect, while the allowance for acquired non-PCD assets such as loans is recorded through provision expense, consistent with originated loans. Thus, the determination of which assets are PCD and non-PCD can have a significant effect on the accounting for these assets. Subsequent to acquisition, the allowance for PCD loans will generally follow the same estimation, provision and charge-off process as non-PCD acquired and originated loans. Additionally, TDR identification for acquired loans (PCD and non-PCD) will be consistent with the TDR identification for originated loans. Allowance for Credit Losses on Debt Securities Management measures expected credit losses on held-to-maturity debt securities on a collective basis by major security type. Management classifies the held-to-maturity portfolio into the following major security types: mortgage-backed securities, municipal and corporate bonds, trust preferred securities (“TruPS”) and other. Nearly all of the mortgage-backed securities in the Company's portfolio are issued by U.S. government agencies and are either explicitly or implicitly guaranteed by the U.S government, are highly rated by major rating agencies and have a long history of no credit losses and therefore the expectation of non-payment is zero. At each reporting period, the Company evaluates whether the securities in a segment continue to exhibit similar risk characteristics as the other securities in the segment. If the risk characteristics of a security change, such that they are no longer similar to other securities in the segment, the Company will evaluate the security with a different segment that shares more similar risk characteristics. In estimating the net amount expected to be collected for mortgage-backed securities and municipal and corporate bonds, a range of historical losses method is utilized. In estimating the net amount expected to be collected for TruPS, the Company employs a single scenario forecast methodology. The scenario is informed by historical industry default data as well as current and near term operating conditions for the banks and other financial institutions that are the underlying issuers. In addition, expected prepayments are included in the analysis of the individually assessed TruPS applied at the collateral level. Allowance for Credit Losses on Off-Balance Sheet Credit Exposures The Company is required to include the unfunded commitment that is expected to be funded in the future within the allowance calculation. The Company participates in lending that results in an off-balance sheet unfunded commitment balance. The Company currently underwrites funding commitments with conditionally cancelable language. To determine the expected funding balance remaining, the Company uses a historical utilization rate for each of the segments to calculate the expected commitment balance. The reserve percentage for each respective loan portfolio is applied to the remaining unused portion of the expected commitment balance and the expected funded commitment in determining the allowance for credit loss on off-balance sheet credit exposures. Loans Held-for-Sale Loans held-for-sale are carried at the lower of cost or estimated fair value. Net unrealized losses, if any, are recognized in a valuation allowance through charges to earnings. Premiums and discounts and origination fees and costs on loans held-for-sale are deferred and recognized as a component of the gain or loss on sale. Gains and losses on sales of loans held-for-sale are recognized on settlement dates and are determined by the difference between the sale proceeds and the carrying value of the loans. These transactions are accounted for as sales based on our satisfaction of the criteria for such accounting which provide that, as transferor, we have surrendered control over the loans. Stock in the Federal Home Loan Bank The Bank, as a member of the Federal Home Loan Bank of New York (“FHLB”), is required to hold shares of capital stock of the FHLB based on our activities, primarily our outstanding borrowings, with the FHLB. The stock is carried at cost, less any impairment. Office Properties and Equipment, Net Land is carried at cost. Office buildings, leasehold improvements and furniture, fixtures and equipment are carried at cost, less accumulated depreciation and amortization. Office buildings and furniture, fixtures and equipment are depreciated using the straight-line method over the estimated useful lives of the respective assets. Leasehold improvements are amortized using the straight-line method over the terms of the respective leases or the lives of the assets, whichever is shorter. Right-of-Use Assets The determination of the presence of a lease in a contract is performed at the inception date. At the lease commencement date, the Company recognizes a right-of-use asset and a related lease liability for leases with an original term longer than twelve months. Right-of-use assets represent the Corporation’s right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease initially measured at the present value of future lease payments. The Company has operating leases for corporate offices, branch locations and certain equipment. Operating leases are capitalized at commencement and are discounted using the rate implicit in the lease unless that amount cannot be readily determined, in which case the Company is required to use its FHLB borrowing rate, which reflects the rates a lender would charge the Company to obtain a collateralized loan. Bank Owned Life Insurance Bank owned life insurance is carried at the amount that could be realized under the Company’s life insurance contracts as of the date of the Consolidated Balance Sheets and is classified as a non-interest earning asset. Increases in the carrying value are recorded as non-interest income in the Consolidated Statements of Income and insurance proceeds received are generally recorded as a reduction of the carrying value. At December 31, 2021 and 2020, the carrying value is the cash surrender value of $229.4 million and $223.7 million, respectively. Intangible Assets Goodwill. Goodwill is presumed to have an indefinite useful life and is tested, at least annually, for impairment at the reporting unit level. Impairment exists when the carrying amount of goodwill exceeds its implied fair value. For purposes of our goodwill impairment testing, we have identified the Bank as a single reporting unit. At December 31, 2021, the carrying amount of our goodwill totaled $116.2 million. In connection with our annual impairment assessment we performed a qualitative assessment of goodwill to determine whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount. For the year ended December 31, 2021, the Company’s qualitative assessment concluded that it was not more likely than not that the fair value of the reporting unit is less than its carrying amount. Mortgage Servicing Rights . The Company recognizes as separate assets the rights to service mortgage loans. The right to service loans for others is generally obtained through the sale of loans with servicing retained. The initial asset recognized for originated mortgage servicing rights (“MSR”) is measured at fair value. The estimated fair value of MSR is obtained through independent third party valuations through an analysis of future cash flows, incorporating assumptions market participants would use in determining fair value including market discount rates, prepayment speeds, servicing income, servicing costs, default rates and other market driven data, including the market’s perception of future interest rate movements. MSR are amortized in proportion to and over the period of estimated net servicing income. We apply the amortization method for measurements of our MSR. MSR are assessed for impairment based on fair value at each reporting date. MSR impairment, if any, is recognized in a valuation allowance through charges to earnings as a component of fees and service charges. Subsequent increases in the fair value of impaired MSR are recognized only up to the amount of the previously recognized valuation allowance. Fees earned for servicing loans are reported as income when the related mortgage loan payments are collected. Core Deposit Premiums . Core deposit premiums represent the intangible value of depositor relationships assumed in purchase acquisitions and are amortized on an accelerated basis over 20 years. The Company periodically evaluates the value of core deposit premiums to ensure the carrying amount exceeds its implied fair value. Other Real Estate Owned and Other Repossessed Assets Properties and other assets acquired through foreclosure, deed in lieu of foreclosure or repossession are carried at estimated fair value, less estimated selling costs. The estimated fair value of real estate property and other repossessed assets is generally based on independent appraisals. When an asset is acquired, the excess of the loan balance over fair value, less estimated selling costs, is charged to the allowance for credit losses. Thereafter, decreases in the property’s estimated fair value are charged to income along with any additional property maintenance and protection expenses incurred in owning the property. Borrowed Funds Our FHLB borrowings are advances collateralized by our residential and commercial mortgage portfolios. In addition, the Bank had uncommitted unsecured overnight borrowing lines with other institutions totaling $750.0 million, of which none was outstanding at December 31, 2021. The Bank also enters into sales of securities under agreements to repurchase with selected brokers and the FHLB. The securities underlying the agreements are delivered to the counterparty who agrees to resell to the Bank the identical securities at the maturity or call of the agreement. These agreements are recorded as financing transactions, as the Bank maintains effective control over the transferred securities, and no gain or loss is recognized. The dollar amount of the securities underlying the agreements continues to be carried in the Bank’s securities portfolio. The obligations to repurchase the securities are reported as a liability in the consolidated balance sheets. Income Taxes The Company records income taxes in accordance with ASC 740, “ Income Taxes ,” as amended, using the asset and liability method. Accordingly, deferred tax assets and liabilities: (i) are recognized for the expected future tax consequences of events that have been recognized in the financial statements or tax returns; (ii) are attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases; and (iii) are measured using enacted tax rates expected to apply in the years when those temporary differences are expected to be recovered or settled. The ultimate realization of the deferred tax asset is dependent upon the generation of future taxable income during the periods in which those temporary differences and carryforwards became deductible. Where applicable, deferred tax assets are reduced by a valuation allowance for any portions determined not likely to be realized. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income tax expense in the period of enactment. The valuation allowanc |
Stock Transactions
Stock Transactions | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Stock Transactions | Stock Transactions Stock Repurchase Programs On October 25, 2018, the Company announced its fourth share repurchase program, which authorized the purchase of 10% of its publicly-held outstanding shares of common stock, or 28,886,780 shares. The fourth program commenced immediately upon completion of the third program on December 10, 2018. This program has no expiration date and has 12,000,202 shares yet to be repurchased as of December 31, 2021. During the year ended December 31, 2021, the Company purchased 975,469 shares at a cost of $12.1 million, or approximately $12.43 per share. During the year ended December 31, 2020, the Company purchased 2,377,814 shares at a cost of $23.9 million, or approximately $10.06 per share. During the year ended December 31, 2019, the Company purchased 39,365,145 shares at a cost of $475.9 million, or approximately $12.09 per share. During December 2019, we entered into a purchase and sale agreement with Blue Harbour Group, L.P. (“Blue Harbour”), pursuant to which we purchased from Blue Harbour the 27,318,628 shares of our common stock beneficially owned by Blue Harbour, at a purchase price of $12.29 per share, representing aggregate consideration of approximately $335.7 million. This share repurchase was outside of, and did not count toward, our existing share repurchase program. For the years ended December 31, 2021, 2020 and 2019, shares repurchased include 350,469, 395,222 and 387,477 shares, respectively, purchased in connection with the vesting of shares of restricted stock under our 2015 Equity Incentive Plan and the withholding of shares to pay income taxes. These shares are repurchased pursuant to the terms of the 2015 Equity Incentive Plan and therefore are not part of the Company’s repurchase program. Cash Dividends Dividends paid for the years ended December 31, 2021, 2020 and 2019 were $0.56, $0.48 and $0.44, resulting in dividend payout ratios of 42%, 51% and 59%, respectively. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Business Combinations Citizens Financial Group, Inc. Merger Agreement On July 28, 2021, Citizens Financial Group, Inc. (“Citizens”) and Investors Bancorp, Inc. (“Investors”) announced that they had entered into a definitive agreement and plan of merger under which Citizens will acquire all of the outstanding shares of Investors for a combination of stock and cash. Under the terms of the agreement and plan of merger, shareholders of Investors will receive 0.297 of a share of Citizens common stock and $1.46 in cash for each share of Investors they own. Following completion of the transaction, former shareholders of Investors will collectively own approximately 14% of the combined company. The implied total transaction value based on closing prices on July 27, 2021 was approximately $3.5 billion. The agreement and plan of merger has been unanimously approved by the boards of directors of each company. On November 19, 2021, Investors’ shareholders approved the planned merger with Citizens at a special meeting. Citizens and Investors are targeting a transaction close in the second quarter of 2022, subject to the receipt of required regulatory approvals and other customary closing conditions. Berkshire Bank Branch Acquisition As of the close of business on August 27, 2021, the Company completed its acquisition of eight New Jersey and eastern Pennsylvania branches of Berkshire Bank, the wholly-owned subsidiary of Berkshire Hills Bancorp, Inc. pursuant to the definitive purchase and assumption agreement dated as of December 2, 2020 by and between the Company and Berkshire Bank. The acquisition included the assumption and acquisition of $632 million of deposits and $219 million of consumer and commercial loans, together with the related operations. The Company assumed a net liability of $413.0 million and received consideration of $391.3 million from Berkshire Bank. The acquisition was accounted for under the acquisition method of accounting as prescribed by Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 805 “Business Combinations”, as amended. Under this method of accounting, the purchase price has been allocated to the respective assets acquired based on their estimated fair values, net of applicable income tax effects. The excess cost over fair value of assets and liabilities acquired, or $21.7 million, has been recorded as goodwill. The acquired loans and deposits were fair valued on the date of acquisition based on guidance from ASC 820-10 which defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. The valuation methods utilized took into consideration adjustments for interest rate risk, funding cost, servicing cost, residual risk, credit and liquidity risk. As the Company finalizes its analysis of these assets, there may be adjustments to the recorded carrying values. Any adjustments to carrying values will be recorded in goodwill. The calculation of goodwill is subject to change for up to one year after closing date of the transaction as additional information relative to closing date estimates and uncertainties becomes available. Financial assets acquired in a business combination after January 1, 2020 are recorded in accordance with ASC Topic 326, after which acquired assets are separated into two types. PCD assets are acquired assets that, as of the acquisition date, have experienced a more-than-insignificant deterioration in credit quality since origination. Non-PCD assets are acquired assets that have experienced no or insignificant deterioration in credit quality since origination. To distinguish between the two types of acquired assets, the Company evaluates risk characteristics that have been determined to be indicators of deteriorated credit quality. In the case of loans, the determining criteria may involve general characteristics, such as loan payment history or changes in creditworthiness since the loan was originated, while others are relevant to recent economic conditions, such as borrowers in industries impacted by the pandemic. In its acquisition of the eight branches of Berkshire Bank, the Company has purchased loans which have been determined to be PCD. The carrying amount of those loans was as follows: At August 27, 2021 (In millions) Purchase price of loans at acquisition $ 90.0 Allowance for credit losses at acquisition 1.0 Accretable fair value marks at acquisition 3.8 Par value of acquired loans at acquisition $ 94.8 Fair Value Measurement of Assets Acquired and Liabilities Assumed Described below are the methods used to determine the fair values of the assets acquired and liabilities assumed in the Berkshire Bank branch acquisition based on guidance from ASC 820-10 which defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. Loans. The estimated fair values of the loan portfolio generally consider adjustments for interest rate risk, required equity return, servicing costs, credit and liquidity risk. Level 3 inputs were utilized to determine the fair value of the acquired loan portfolio and included the use of present value techniques employing cash flow estimates and incorporated assumptions that market participants would use in estimating fair values. In instances where reliable market information was not available, the Company used its own assumptions in an effort to determine fair value. The primary approach to determining the fair value of the loan portfolio was a discounted cash flow methodology that considered factors including the type of loan, underlying collateral, classification status or grade, interest rate structure (fixed or variable interest rate), and remaining term. For the non-credit component, loans were grouped together according to similar characteristics when applying the various valuations techniques. For the credit component, loans were also grouped based on whether they had more than insignificant deterioration in credit since origination (purchase credit deteriorated “PCD” as defined by ASC 326-20). The estimated lifetime loan losses were calculated based on an annual loss rate developed by using the historical annual average charge-off percentages for Mid- Atlantic institutions as a proxy for how a market participant acquirer would value the portfolio. Deposits / Core Deposit Intangible. The core deposit intangible represents the value assigned to the stable and below market rate funding sources within the acquired deposit base; typically demand deposits, interest checking, money market and savings accounts. The core deposit intangible value represents the value of the relationships with deposit customers as a below market rate funding source. The fair value was based on a discounted cash flow methodology that gave appropriate consideration to expected deposit attrition rates, net maintenance costs of the deposit base, projected interest costs and alternative funding costs. Certificates of deposit (time deposits) are not considered to be core deposits as they typically are less stable and generally do not have an “all-in” favorable funding advantage to alternative funding costs. The fair value of certificates of deposit represents the present value of the certificates’ expected contractual payments discounted by market rates for similar certificates and is determined utilizing Level 2 inputs. Gold Coast Bancorp As of the close of business on April 3, 2020, the Company completed its acquisition of Gold Coast Bancorp (“Gold Coast”) pursuant to the Agreement and Plan of Merger, dated as of July 24, 2019 by and between the Company and Gold Coast. As a result of the completion of the acquisition, the Company issued approximately 2.8 million shares to the former stockholders of Gold Coast and paid approximately $31.0 million in cash to the former stockholders of Gold Coast. Under the terms of the merger agreement, 50% of the common shares of Gold Coast were converted into Investors Bancorp common stock and the remaining 50% were exchanged for cash. For each share of Gold Coast Bancorp common stock, Gold Coast shareholders were given an option to receive either (i) 1.422 shares of Investors Bancorp common stock, $0.01 par value per share, (ii) a cash payment of $15.75, or (iii) a combination of Investors Bancorp common stock and cash. The foregoing was subject to proration to ensure that, in the aggregate, 50% of Gold Coast’s shares would be converted into Investors Bancorp common stock. The acquisition was accounted for under the acquisition method of accounting as prescribed by FASB ASC 805, as amended. Under this method of accounting, the purchase price has been allocated to the respective assets acquired based on their estimated fair values, net of applicable income tax effects. The excess cost over fair value of assets acquired, or $12.0 million, has been recorded as goodwill. The acquired portfolio was fair valued on the date of acquisition based on guidance from ASC 820-10 which defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. The valuation methods utilized took into consideration adjustments for interest rate risk, funding cost, servicing cost, residual risk, credit and liquidity risk. The accounting for the acquisition of Gold Coast is complete and is reflected in our Consolidated Financial Statements. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition for Gold Coast, net of cash consideration paid: At April 3, 2020 (In millions) Cash and cash equivalents $ 7.3 Debt securities available-for-sale 51.5 Debt securities held to maturity 8.4 Loans receivable, net 443.5 Accrued interest receivable 1.3 Right-of-use assets 3.7 Net deferred tax asset 3.9 Intangible assets 14.5 Other assets 1.2 Total assets acquired 535.3 Deposits 489.9 Borrowed funds 14.9 Other liabilities 9.7 Total liabilities assumed 514.5 Net assets acquired $ 20.8 In its acquisition of Gold Coast, the Company has purchased loans which have been determined to be PCD. The carrying amount of those loans was as follows: At April 3, 2020 (In millions) Purchase price of loans at acquisition $ 244.7 Allowance for credit losses at acquisition 4.2 Accretable fair value marks at acquisition 2.6 Par value of acquired loans at acquisition $ 251.5 Fair Value Measurement of Assets Acquired and Liabilities Assumed Described below are the methods used to determine the fair values of the significant assets acquired and liabilities assumed in the Gold Coast acquisition based on guidance from ASC 820-10 which defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. Securities . The securities acquired are bought and sold in active markets. The estimated fair values of securities were calculated using external third party broker opinions of the market values. Due to the instability of the market at the time of acquisition as well as the odd lot position sizes of the securities, the Company reviewed the data and assumptions used in pricing the securities by third-parties and made qualitative adjustments to reflect the then current market conditions and the characteristics of each position. Loans. The estimated fair values of the loan portfolio generally consider adjustments for interest rate risk, required funding costs, servicing costs, prepayments, credit and liquidity. Level 3 inputs were utilized to determine the fair value of the acquired loan portfolio and included the use of present value techniques employing cash flow estimates and incorporated assumptions that market participants would use in estimating fair values. In instances where reliable market information was not available, the Company used its own assumptions in an effort to determine fair value. The primary approach to determining the fair value of the loan portfolio was a discounted cash flow methodology that considered factors including the type of loan, underlying collateral, classification status or grade, interest rate structure (fixed or variable interest rate), and remaining term. For the non-credit component, loans were grouped together according to similar characteristics when applying the various valuations techniques. For the credit component, loans were also grouped based on whether they had more than insignificant deterioration in credit since origination (purchase credit deteriorated “PCD” as defined by ASC 326-20). The estimated lifetime loan losses were calculated based on an annual loss rate developed by using the historical annual average charge-off percentages for New York institutions as a proxy for how a market participant acquirer would value the portfolio. Additionally, a qualitative credit adjustment was applied to the historical annual loss rates, due to COVID-19 and the uncertainty of future losses. Deposits / Core Deposit Intangible. The core deposit intangible represents the value assigned to the stable and below market rate funding sources within the acquired deposit base; typically demand deposits, interest checking, money market and savings accounts. The core deposit intangible value represents the value of the relationships with deposit customers as a below market rate funding source. The fair value was based on a discounted cash flow methodology that gave appropriate consideration to expected deposit attrition rates, net maintenance costs of the deposit base, projected interest costs and alternative funding costs. Certificates of deposit (time deposits) are not considered to be core deposits as they typically are less stable and generally do not have an “all-in” favorable funding advantage to alternative funding costs. The fair value of certificates of deposit represents the present value of the certificates’ expected contractual payments discounted by market rates for similar certificates and is determined utilizing Level 2 inputs. Borrowed Funds. A discounted cash flow approach was used to determine the fair value of the debt acquired. The fair value of the liability represents the present value of the expected payments discounted using a risk adjusted discount rate. The discount rate was developed based on comparable rated securities, as that backed by companies with similar credit ratings as the Company. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities Equity Securities Equity securities are reported at fair value on the Company’s Consolidated Balance Sheets. The Company’s portfolio of equity securities had an estimated fair value of $8.2 million and $36.0 million as of December 31, 2021 and December 31, 2020, respectively. Realized gains and losses from sales of equity securities, as well as changes in fair value of equity securities still held at the reporting date are recognized in the Consolidated Statements of Income. The following table presents the disaggregated net gains and losses on equity securities reported in the Consolidated Statements of Income: For the Year Ended December 31, 2021 2020 2019 (In thousands) Unrealized gains recognized on equity securities $ 356 256 150 Net losses recognized on equity securities sold (248) — — Net gains recognized on equity securities $ 108 256 150 Debt Securities The following tables present the amortized cost, gross unrealized gains and losses, and estimated fair value for available-for-sale debt securities and the amortized cost, net unrealized losses, carrying value, gross unrecognized gains and losses, estimated fair value and allowance for credit losses for held-to-maturity debt securities as of the dates indicated. At December 31, 2021 Amortized cost Gross Gross Estimated (In thousands) Available-for-sale: Debt securities: Government-sponsored enterprises $ 3,434 152 — 3,586 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 1,242,073 13,979 6,009 1,250,043 Federal National Mortgage Association 1,022,851 18,076 6,591 1,034,336 Government National Mortgage Association 105,289 1,161 875 105,575 Total mortgage-backed securities available-for-sale 2,370,213 33,216 13,475 2,389,954 Total debt securities available-for-sale $ 2,373,647 33,368 13,475 2,393,540 At December 31, 2021 Amortized cost Net unrealized losses (1) Carrying value Gross unrecognized gains (2) Gross unrecognized losses (2) Estimated (In thousands) Held-to-maturity: Debt securities: Government-sponsored enterprises $ 133,128 — 133,128 2,254 3,326 132,056 Municipal bonds 214,298 — 214,298 12,906 260 226,944 Corporate and other debt securities 140,795 12,621 128,174 36,035 279 163,930 Total debt securities held-to-maturity 488,221 12,621 475,600 51,195 3,865 522,930 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 478,684 30 478,654 4,158 5,069 477,743 Federal National Mortgage Association 620,026 72 619,954 11,519 2,694 628,779 Government National Mortgage Association 21,444 — 21,444 608 — 22,052 Total mortgage-backed securities held-to-maturity 1,120,154 102 1,120,052 16,285 7,763 1,128,574 Total debt securities held-to-maturity $ 1,608,375 12,723 1,595,652 67,480 11,628 1,651,504 Allowance for credit losses 1,867 Total debt securities held-to-maturity, net of allowance for credit losses 1,593,785 (1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary impairment related to other non-credit factors recorded prior to the adoption of the current expected credit losses accounting standard on January 1, 2020 that is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale debt securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity debt securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other than temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet. Effective January 1, 2020, held-to-maturity debt securities are evaluated for credit losses to determine if an allowance is necessary. Any allowance required is recorded through the provision for credit losses. At December 31, 2020 Amortized cost Gross Gross Estimated (In thousands) Available-for-sale: Debt securities: Government-sponsored enterprises $ 4,260 222 — 4,482 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 1,286,195 30,930 73 1,317,052 Federal National Mortgage Association 1,167,057 38,568 199 1,205,426 Government National Mortgage Association 225,810 5,700 33 231,477 Total mortgage-backed securities available-for-sale 2,679,062 75,198 305 2,753,955 Total debt securities available-for-sale $ 2,683,322 75,420 305 2,758,437 At December 31, 2020 Amortized cost Net unrealized losses (1) Carrying value Gross unrecognized gains (2) Gross unrecognized losses (2) Estimated (In thousands) Held-to-maturity: Debt securities: Government-sponsored enterprises $ 109,016 — 109,016 4,107 709 112,414 Municipal bonds 246,601 — 246,601 14,990 — 261,591 Corporate and other debt securities 144,209 13,644 130,565 20,033 885 149,713 Total debt securities held-to-maturity 499,826 13,644 486,182 39,130 1,594 523,718 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 308,285 66 308,219 9,733 266 317,686 Federal National Mortgage Association 413,601 175 413,426 20,905 — 434,331 Government National Mortgage Association 43,290 — 43,290 1,847 — 45,137 Total mortgage-backed securities held-to-maturity 765,176 241 764,935 32,485 266 797,154 Total debt securities held-to-maturity $ 1,265,002 13,885 1,251,117 71,615 1,860 1,320,872 Allowance for credit losses 3,264 Total debt securities held-to-maturity, net of allowance for credit losses 1,247,853 (1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary impairment related to other non-credit factors recorded prior to the adoption of the current expected credit losses accounting standard on January 1, 2020 that is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale debt securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity debt securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other-than-temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet. Effective January 1, 2020, held-to-maturity debt securities are evaluated for credit losses to determine if an allowance is necessary. Any allowance required is recorded through the provision for credit losses. Gross unrealized losses on debt securities and the estimated fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2021 and December 31, 2020, were as follows: December 31, 2021 Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized (In thousands) Available-for-sale: Mortgage-backed securities: Federal Home Loan Mortgage Corporation $ 413,182 5,409 18,017 600 431,199 6,009 Federal National Mortgage Association 315,762 5,721 119,547 870 435,309 6,591 Government National Mortgage Association 20,713 477 7,714 398 28,427 875 Total debt securities available-for-sale 749,657 11,607 145,278 1,868 894,935 13,475 Held-to-maturity: Debt securities: Government-sponsored enterprises 62,529 2,074 26,068 1,252 88,597 3,326 Municipal bonds 16,623 260 — — 16,623 260 Corporate and other debt securities 6,746 279 — — 6,746 279 Total debt securities held-to-maturity 85,898 2,613 26,068 1,252 111,966 3,865 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 286,238 4,327 11,287 742 297,525 5,069 Federal National Mortgage Association 319,015 2,694 — — 319,015 2,694 Total mortgage-backed securities held-to-maturity 605,253 7,021 11,287 742 616,540 7,763 Total debt securities held-to-maturity 691,151 9,634 37,355 1,994 728,506 11,628 Total $ 1,440,808 21,241 182,633 3,862 1,623,441 25,103 December 31, 2020 Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized (In thousands) Available-for-sale: Mortgage-backed securities: Federal Home Loan Mortgage Corporation $ 60,502 73 — — 60,502 73 Federal National Mortgage Association 123,329 199 — — 123,329 199 Government National Mortgage Association 9,062 33 — — 9,062 33 Total debt securities available-for-sale 192,893 305 — — 192,893 305 Held-to-maturity: Debt securities: Government-sponsored enterprises 66,558 709 — — 66,558 709 Corporate and other debt securities 15,038 885 — — 15,038 885 Total debt securities held-to-maturity 81,596 1,594 — — 81,596 1,594 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 40,013 266 — — 40,013 266 Total debt securities held-to-maturity 121,609 1,860 — — 121,609 1,860 Total $ 314,502 2,165 — — 314,502 2,165 We conduct periodic reviews of individual securities to assess whether an allowance for credit loss is required. Held-to-maturity debt securities are evaluated for expected credit loss utilizing a historical loss methodology, or a discounted cash flows approach which is assessed against the book value of the investment security excluding accrued interest. Refer to Note 1 , Summary of Significant Accounting Principles, for additional information. Available-for-sale debt securities are evaluated to determine if a decline in fair value below the amortized cost basis has resulted from a credit loss or other factors. An impairment on available-for-sale securities related to credit factors would be recorded through an allowance for credit losses. The allowance would be limited to the amount by which the security’s amortized cost basis exceeds the fair value. An impairment on available-for-sale securities that has not been recorded through an allowance for credit losses shall be recorded through other comprehensive income, net of applicable taxes. Investment securities will be written down to fair value through the consolidated statement of income when management intends to sell (or may be required to sell) the securities before they recover in value. The majority of our held-to-maturity debt securities portfolio is comprised of agency mortgage-backed securities. For agency (FNMA, FHLMC and GNMA) mortgage-backed securities, and other agency debt instruments, the expectation of non-payment is zero. The timely payment of principal and interest on FNMA and FHLMC securities is guaranteed by each corporation. As each of these corporations is in conservatorship with the federal government, the payment guarantees are considered implicit obligations of the US government. GNMA securities carry the full faith and credit guarantee of the federal government. Because of the existence of government guarantees of timely payment of principal and interest, expected losses on agency securities are assumed to be zero. Changes in the fair value of agency securities in this portfolio are primarily driven by changes in interest rates and other non-credit related factors. At December 31, 2021, our held-to-maturity debt securities portfolio had an allowance for credit losses of $1.9 million. The allowance is related to non-agency corporate and other debt securities. The majority of the allowance is related to a portfolio of collateralized debt obligations backed by pooled TruPS, principally issued by banks and to a lesser extent insurance companies and real estate investment trusts. At December 31, 2021 the TruPS had a carrying value before allowance for credit losses and estimated fair value of $50.6 million and $83.1 million, respectively. The Company does not have the intent to sell these securities and does not believe it is more likely than not that the Company will be required to sell these securities before a recovery of amortized cost. Refer to Note 6 , Allowance for Credit Losses, for additional information on the Company’s allowance for credit losses. At December 31, 2021, the available-for-sale debt securities portfolio was almost entirely comprised of agency securities. As such, the unrealized losses in this portfolio are primarily driven by changes in interest rates and other non-credit related factors. The Company does not have the intent to sell these securities and does not believe it is more likely than not that the Company will be required to sell these securities before a recovery of amortized cost. At December 31, 2021, there is no allowance for credit losses related to the Company’s available-for-sale debt securities as the decline in fair value did not result from credit issues. Debt securities with a carrying value before allowance for credit losses of $2.07 billion and an estimated fair value of $2.11 billion are pledged to secure borrowings and municipal deposits. The contractual maturities of the Bank’s mortgage-backed securities are generally less than 20 years with effective lives expected to be shorter due to prepayments. Expected maturities may differ from contractual maturities due to underlying loan prepayments or early call privileges of the issuer; therefore, mortgage-backed securities are not included in the following table. Excluding the allowance for credit losses, the amortized cost and estimated fair value of debt securities other than mortgage-backed securities at December 31, 2021, by contractual maturity, are shown below. December 31, 2021 Carrying value Estimated (In thousands) Due in one year or less $ 9,988 9,996 Due after one year through five years 20,710 21,252 Due after five years through ten years 156,798 159,392 Due after ten years 288,104 332,290 Total $ 475,600 522,930 Gains and Losses Gains and losses are determined using the specific identification method. The Company recognized net unrealized gains on equity securities of $356,000 for the year ended December 31, 2021. For the year ended December 31, 2021, the Company received proceeds of $34.0 million from the sale of equity securities which resulted in a net loss of $248,000 and received proceeds of $8.2 million from the sale of available-for-sale debt securities which resulted in gains of $398,000. The Company recognized net unrealized gains on equity securities of $256,000 for the year ended December 31, 2020. For the year ended December 31, 2020, there were no sales of securities; however, the Company received proceeds of $16.5 million from the call of a held-to-maturity debt security which resulted in a gain of $124,000 and received a principal payment of $26,000 on a held-to-maturity debt security. The Company recognized net unrealized gains on equity securities of $150,000 for the year ended December 31, 2019. For the year ended December 31, 2019, the Company received proceeds of $399.4 million on securities sold from the debt securities available-for-sale portfolio resulting in gross realized losses of $5.7 million recognized in non-interest income. Proceeds from the sale were reinvested in higher yielding debt securities. There were no sales of equity securities or debt securities held-to-maturity for the year ended December 31, 2019. Other-Than-Temporary Impairment (“OTTI”) Prior to January 1, 2020, under previous other-than-temporary impairment guidance, the Company conducted a quarterly review and evaluation of the securities portfolio to determine if the value of any security had declined below its cost or amortized cost, and whether such decline was other-than-temporary. If a determination was made that a debt security was other-than-temporarily impaired, the Company would estimate the amount of the unrealized loss that was attributable to credit and all other non-credit related factors. The credit related component would be recognized as an other-than-temporary impairment charge in non-interest income. The non-credit related component would be recorded as an adjustment to accumulated other comprehensive income (loss), net of tax. With the assistance of a valuation specialist, the Company evaluated the credit and performance of each issuer underlying the Company’s pooled TruPS. Cash flows for each security were forecasted using assumptions for defaults, recoveries, pre-payments and amortization. At December 31, 2019, the Company deemed that the present value of projected cash flows for each security was greater than the book value and did not recognize any additional OTTI charges for the year ended December 31, 2019. The following table presents the changes in the credit loss component of the impairment loss of debt securities that the Company has written down for such loss as an other-than-temporary impairment recognized in earnings. For the Year Ended December 31, 2019 Balance of credit related OTTI, beginning of period $ 80,595 Reductions: Accretion of credit loss impairment due to an increase in expected cash flows (3,530) Reductions for securities sold or paid off during the period — Balance of credit related OTTI, end of period $ 77,065 The credit loss component of the impairment loss represented the difference between the present value of expected future cash flows and the amortized cost basis of the securities prior to considering credit losses. The beginning balance represented the credit loss component for debt securities for which OTTI occurred prior to the period presented. If OTTI was recognized in earnings for credit impaired debt securities, it would have been presented as an addition based upon whether it was the first time a debt security was credit impaired (initial credit impairment) or was not the first time a debt security was credit impaired (subsequent credit impairments). The credit loss component was reduced if the Company sold, intended to sell or believed it would have been required to sell previously credit impaired debt securities. Additionally, the credit loss component was reduced if (i) the Company received cash flows in excess of what it expected to receive over the remaining life of the credit impaired debt security, (ii) the security matured or (iii) the security was fully written down. |
Loans Receivable, Net
Loans Receivable, Net | 12 Months Ended |
Dec. 31, 2021 | |
Receivables [Abstract] | |
Loans Receivable, Net | Loans Receivable, Net On January 1, 2020, the Company adopted ASU 2016-13, “Financial Instruments- Credit Losses (Topic 326)” that is referred to as the current expected credit loss methodology (“CECL”) for measuring credit losses. Refer to Note 6, Allowance for Credit Losses, for further details. All disclosures as of and for the years ended December 31, 2021 and December 31, 2020 are presented in accordance with Topic 326. The detail of the loan portfolio as of December 31, 2021 and December 31, 2020 was as follows: December 31, December 31, (In thousands) Multi-family loans $ 7,865,592 7,122,840 Commercial real estate loans 5,371,758 4,947,212 Commercial and industrial loans 4,113,792 3,575,641 Construction loans 550,950 404,367 Total commercial loans 17,902,092 16,050,060 Residential mortgage loans 3,929,170 4,119,894 Consumer and other loans 766,785 702,801 Total loans 22,598,047 20,872,755 Deferred fees, premiums and accretable purchase accounting adjustments, net (14,754) (9,318) Allowance for credit losses (240,681) (282,986) Net loans $ 22,342,612 20,580,451 Credit Quality Indicators The Company has lending policies and procedures that provide target market, underwriting and other criteria for identified lending segments to codify the level of credit risk the Company is willing to accept. Approval authority levels are delegated to qualified individuals and approval bodies for the extension of credit within the guidance of these policies and procedures. In addition, the Company maintains an independent loan review department that reviews and validates risk assessment on a continual basis. The Company assigns ratings to borrowers and transactions based on the assessment of a borrower’s ability to service their debt based on relevant information such as: current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. In connection with the adoption of CECL on January 1, 2020, the Company implemented new risk rating models for borrowers and transactions within its commercial loan portfolio. The risk rating methodology transitioned to a dual risk rating framework which bifurcates ratings into probability of default (PD) and loss given default (LGD). Relevant risks are evaluated prior to approving a transaction to determine if the transaction is within the Company’s risk appetite and the appropriate rating. Strong credit analysis requires current, reliable financial information and documented assessment of the customer’s: • ability to perform in accordance with the terms of the credit, including adherence to covenants; • assets and liabilities, liquidity, net worth, and contingent and other off-balance sheet items; • tax liabilities; • cash reserves and ability to convert assets to cash; • income statement and the sources, level, stability, and quality of earnings; • projected performance, sensitized for stressed circumstances; and • industry performance relative to peers and industry. Each commercial credit facility is assigned a PD and LGD rating for the purpose of informing a credit decision, facilitating the determination of the expected level of credit loss and other portfolio management activities (as well as relationship profitability). The dual risk rating framework and risk rating methodologies allow for consistent determination of risk across the Commercial business as indicated by the risk rating assigned. The methodology used by the Bank applies the same criteria for identification of a credit as for the regulatory definitions of risk ratings: Pass - “Pass” assets are well protected by the current net worth and paying capacity of the obligor (or guarantors, if any) or by the fair value, less cost to acquire and sell, of any underlying collateral in a timely manner. Watch - A “Watch” asset has all the characteristics of a Pass asset but warrants more than the normal level of supervision. These loans may require more detailed reporting to management because some aspects of underwriting may not conform to policy or adverse events may have affected or could affect the cash flow or ability to continue operating profitably, provided, however, the events do not constitute an undue credit risk. Residential and consumer loans delinquent 30-59 days are considered watch if not a troubled debt restructuring (“TDR”). In addition, any residential or consumer loan currently on deferment in accordance with the CARES Act or the interagency statement issued by bank regulatory agencies are considered watch. Special Mention - A “Special Mention” asset has potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution’s credit position at some future date. Special Mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. Residential and consumer loans delinquent 60-89 days are considered special mention if not a TDR. Substandard - A “Substandard” asset is inadequately protected by the current worth and paying capacity of the obligor or by the collateral pledged, if any. Assets so classified must have a well-defined weakness, or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Residential and consumer loans delinquent 90 days or greater as well as TDRs are considered substandard. Doubtful - An asset classified “Doubtful” has all the weaknesses inherent in one classified substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable on the basis of currently known facts, conditions, and values. Loss - An asset or portion thereof, classified “Loss” is considered uncollectible and of such little value that its continuance on the institution’s books as an asset, without establishment of a specific valuation allowance or charge-off, is not warranted. This classification does not necessarily mean that an asset has no recovery or salvage value; but rather, there is much doubt about whether, how much, or when the recovery will occur. As such, it is not practical or desirable to defer the write-off. The following table presents the risk category of loans as of December 31, 2021 by class of loan and vintage year: Term Loans by Origination Year 2021 2020 2019 2018 2017 Prior Revolving Loans Total (In thousands) Multi-family Pass $ 2,409,672 951,908 458,618 879,180 512,459 1,552,631 6,594 6,771,062 Watch 28,312 6,071 93,352 122,476 41,999 210,354 3,194 505,758 Special mention — 2,174 — 10,220 9,739 103,059 — 125,192 Substandard — 27 5,026 24,052 21,210 412,768 497 463,580 Total Multi-family 2,437,984 960,180 556,996 1,035,928 585,407 2,278,812 10,285 7,865,592 Commercial real estate Pass 1,156,647 474,555 597,068 545,065 438,298 1,239,557 19,386 4,470,576 Watch 90,490 69,595 64,470 130,374 64,212 122,454 3,757 545,352 Special mention — 375 2,169 6,947 2,772 129,211 2,096 143,570 Substandard — — — 26,307 14,231 171,722 — 212,260 Total Commercial real estate 1,247,137 544,525 663,707 708,693 519,513 1,662,944 25,239 5,371,758 Commercial and industrial Pass 969,153 694,011 438,288 379,330 130,795 317,961 577,632 3,507,170 Watch 22,951 56,381 56,292 8,292 10,729 23,966 60,202 238,813 Special mention — 15,104 135,591 47,263 10,372 65,438 1,465 275,233 Substandard — 3,719 4,945 4,717 49,191 25,398 4,606 92,576 Total Commercial and industrial 992,104 769,215 635,116 439,602 201,087 432,763 643,905 4,113,792 Construction Pass 101,463 138,719 29,113 — — — 222,253 491,548 Watch 1,727 — 3,327 — — — — 5,054 Special mention — — — — — — 30,973 30,973 Substandard — — — 23,375 — — — 23,375 Total Construction 103,190 138,719 32,440 23,375 — — 253,226 550,950 Residential mortgage Pass 1,256,451 494,796 257,048 241,621 303,567 1,313,943 — 3,867,426 Watch — — 756 3,398 4,795 9,366 — 18,315 Special mention — — — 155 — 1,579 — 1,734 Substandard — — 1,641 1,497 427 38,042 88 41,695 Total residential mortgage 1,256,451 494,796 259,445 246,671 308,789 1,362,930 88 3,929,170 Consumer and other Pass 9,508 5,402 3,932 4,383 9,333 41,860 686,852 761,270 Watch — — — — 328 570 3,132 4,030 Special mention — — 36 7 — 146 12 201 Substandard — — — — 68 854 362 1,284 Total Consumer and other 9,508 5,402 3,968 4,390 9,729 43,430 690,358 766,785 All classes Pass 5,902,894 2,759,391 1,784,067 2,049,579 1,394,452 4,465,952 1,512,717 19,869,052 Watch 143,480 132,047 218,197 264,540 122,063 366,710 70,285 1,317,322 Special mention — 17,653 137,796 64,592 22,883 299,433 34,546 576,903 Substandard — 3,746 11,612 79,948 85,127 648,784 5,553 834,770 Total loans $ 6,046,374 2,912,837 2,151,672 2,458,659 1,624,525 5,780,879 1,623,101 22,598,047 The following table presents the risk category of loans as of December 31, 2020 by class of loan and vintage year: Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total (In thousands) Multi-family Pass 1,002,259 515,446 912,910 601,440 850,781 1,199,133 6,986 5,088,955 Watch 21,366 153,404 374,363 135,348 299,413 220,668 — 1,204,562 Special mention 4,560 — 86,119 32,506 48,020 205,916 — 377,121 Substandard — 7,285 8,436 17,580 139,975 277,535 1,391 452,202 Total Multi-family 1,028,185 676,135 1,381,828 786,874 1,338,189 1,903,252 8,377 7,122,840 Commercial real estate Pass 529,244 684,807 646,708 461,097 495,822 1,081,512 32,509 3,931,699 Watch 87,137 132,932 117,598 74,379 61,794 165,702 3,428 642,970 Special mention 375 6,988 5,279 13,295 51,880 71,745 250 149,812 Substandard — — 8,212 40,024 29,488 144,758 249 222,731 Total Commercial real estate 616,756 824,727 777,797 588,795 638,984 1,463,717 36,436 4,947,212 Commercial and industrial Pass 1,007,949 619,275 328,917 156,596 176,557 348,278 203,302 2,840,874 Watch 49,208 115,888 43,791 48,230 28,708 34,697 31,931 352,453 Special mention 16,813 111,399 48,887 14,770 14,102 76,554 798 283,323 Substandard — 6,128 8,236 42,297 4,341 22,707 15,282 98,991 Total Commercial and industrial 1,073,970 852,690 429,831 261,893 223,708 482,236 251,313 3,575,641 Construction Pass 85,915 58,041 23,375 — — — 197,437 364,768 Watch 6,891 5,350 — — — — — 12,241 Special mention — — 15,228 — — — — 15,228 Substandard — — — — — — 12,130 12,130 Total Construction 92,806 63,391 38,603 — — — 209,567 404,367 Residential mortgage Pass 556,761 450,363 425,617 530,676 407,201 1,601,457 — 3,972,075 Watch 809 12,929 13,465 14,704 8,517 44,299 — 94,723 Special mention — — 584 — — 3,402 — 3,986 Substandard — 1,523 1,972 1,336 246 43,936 97 49,110 Total residential mortgage 557,570 464,815 441,638 546,716 415,964 1,693,094 97 4,119,894 Consumer and other Pass 5,031 6,853 5,693 7,448 6,692 57,103 601,481 690,301 Watch — 39 137 56 156 440 7,655 8,483 Special mention — — — — — 292 1,184 1,476 Substandard — — — — — 1,796 745 2,541 Total Consumer and other 5,031 6,892 5,830 7,504 6,848 59,631 611,065 702,801 All classes Pass 3,187,159 2,334,785 2,343,220 1,757,257 1,937,053 4,287,483 1,041,715 16,888,672 Watch 165,411 420,542 549,354 272,717 398,588 465,806 43,014 2,315,432 Special mention 21,748 118,387 156,097 60,571 114,002 357,909 2,232 830,946 Substandard — 14,936 26,856 101,237 174,050 490,732 29,894 837,705 Total loans $ 3,374,318 2,888,650 3,075,527 2,191,782 2,623,693 5,601,930 1,116,855 20,872,755 Delinquent and Non-Accrual Loans In the absence of other intervening factors, loans on active payment deferral status related to COVID-19 are not reported as past due or placed on non-accrual status in accordance with the CARES Act and Interagency Guidance. The following tables present the payment status of the recorded investment in past due loans as of December 31, 2021 and December 31, 2020 by class of loans: December 31, 2021 30-59 Days 60-89 Days Greater Total Past Current Total (In thousands) Commercial loans: Multi-family $ 14,050 3,013 18,600 35,663 7,829,929 7,865,592 Commercial real estate 15,579 1,751 2,806 20,136 5,351,622 5,371,758 Commercial and industrial 21,304 133 2,175 23,612 4,090,180 4,113,792 Construction — — — — 550,950 550,950 Total commercial loans 50,933 4,897 23,581 79,411 17,822,681 17,902,092 Residential mortgage 9,624 2,624 25,521 37,769 3,891,401 3,929,170 Consumer and other 3,579 201 822 4,602 762,183 766,785 Total $ 64,136 7,722 49,924 121,782 22,476,265 22,598,047 December 31, 2020 30-59 Days 60-89 Days Greater Total Past Current Total (In thousands) Commercial loans: Multi-family $ 7,421 — 32,884 40,305 7,082,535 7,122,840 Commercial real estate 12,805 2,450 6,356 21,611 4,925,601 4,947,212 Commercial and industrial 986 3,116 1,769 5,871 3,569,770 3,575,641 Construction — — — — 404,367 404,367 Total commercial loans 21,212 5,566 41,009 67,787 15,982,273 16,050,060 Residential mortgage 13,768 4,258 29,124 47,150 4,072,744 4,119,894 Consumer and other 5,645 1,476 1,984 9,105 693,696 702,801 Total $ 40,625 11,300 72,117 124,042 20,748,713 20,872,755 The following table presents non-accrual loans at the dates indicated: December 31, 2021 December 31, 2020 # of loans Amount # of loans Amount (Dollars in thousands) Non-accrual: Multi-family 13 $ 55,276 15 $ 35,567 Commercial real estate 19 8,269 29 15,894 Commercial and industrial 15 3,329 21 9,212 Construction — — — — Total commercial loans 47 66,874 65 60,673 Residential mortgage and consumer 216 38,310 246 46,452 Total non-accrual loans 263 $ 105,184 311 $ 107,125 The increase in commercial non-accrual loans for the year ended December 31, 2021 was driven by a previously disclosed multi-family potential problem loan that was restructured and classified as a troubled debt restructuring. The Company recognized $1.0 million of interest income on non-accrual loans during the year ended December 31, 2021. Individually Evaluated Loans Loans which do not share common risk characteristics with other loans are individually evaluated as part of the process of calculating the allowance for credit losses. The evaluation is determined on an individual basis using the present value of expected cash flows or the fair value of the collateral as of the reporting date. When management determines that the fair value of collateral securing a collateral dependent loan inadequately covers the balance of net principal, the net principal balance is written down to the fair value of the collateral, net of estimated selling costs as applicable, rather than assigning an allowance. See Note 16, Fair Value Measurements , for information regarding the valuation process for individually evaluated loans. The following table presents individually evaluated loans by class of loans at the dates indicated: December 31, 2021 December 31, 2020 Real Estate Other Total Real Estate Other Total (Dollars in thousands) Multi-family $ 49,568 — 49,568 $ 31,484 — 31,484 Commercial real estate 4,306 — 4,306 8,758 — 8,758 Commercial and industrial 778 — 778 2,994 3,549 6,543 Construction — — — — — — Total commercial loans 54,652 — 54,652 43,236 3,549 46,785 Residential mortgage and consumer 19,849 81 19,930 25,158 103 25,261 Total individually evaluated loans $ 74,501 81 74,582 $ 68,394 3,652 72,046 For leases, the Company records a residual value of the equipment based on an estimate of the equipment’s value at the end of the lease. On at least an annual basis, the Company reviews the residual values of leased assets and assets off-lease and recognizes an impairment charge if the equipment’s current market value has declined below the estimated value. For the year ended December 31, 2019, the Company recorded an impairment charge of $2.6 million as the fair value of certain equipment decreased at a rate greater than originally projected. An additional impairment charge of $2.2 million was recorded on the same equipment class during the year ended December 31, 2020 given the extended downturn in the market for these assets. For the year ended December 31, 2021, the Company recognized an impairment charge of $150,000 on the value of equipment coming off lease. The Company subsequently sold the equipment in 2021, resulting in the realization of a nominal gain in non-interest income. TDR Loans Included in Non-Accrual Included in the non-accrual table above are TDR loans with no charge-offs whose payment status is current but the Company has classified as non-accrual as the loans have not maintained their current payment status for six consecutive months under the restructured terms and therefore do not meet the criteria for accrual status. As of December 31, 2021 and December 31, 2020, these loans are comprised of the following: December 31, 2021 December 31, 2020 # of loans Amount # of loans Amount (Dollars in thousands) TDR with payment status current classified as non-accrual: Commercial real estate 1 $ 2,543 3 $ 3,907 Residential mortgage and consumer 25 3,167 32 5,634 Total TDR with payment status current classified as non-accrual 26 $ 5,710 35 $ 9,541 The following table presents TDR loans which were also 30-89 days delinquent and classified as non-accrual at the dates indicated: December 31, 2021 December 31, 2020 # of loans Amount # of loans Amount (Dollars in thousands) TDR 30-89 days delinquent classified as non-accrual: Commercial real estate — $ — 1 $ 1,780 Residential mortgage and consumer 10 2,814 10 942 Total TDR 30-89 days delinquent classified as non-accrual 10 $ 2,814 11 $ 2,722 The Company has no loans past due 90 days or more delinquent that are still accruing interest. Guidance on Non-TDR Loan Modifications due to COVID-19 The Company implemented various consumer and commercial loan modification programs to provide its borrowers relief from the economic impacts of COVID-19. In accordance with the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), the Company elected to not apply troubled debt restructuring classification to any COVID-19 related loan modifications that occurred after March 1, 2020 to borrowers who were current as of December 31, 2019. Accordingly, these modifications are exempt from troubled debt restructuring classification under U.S. generally accepted accounting principles (“U.S. GAAP”) and were not classified as troubled debt restructurings (“TDRs”). The Consolidated Appropriations Act of 2021 extended this provision of the CARES Act to January 1, 2022. In addition, for loans modified in response to the COVID-19 pandemic that did not meet the above criteria (e.g., current payment status at December 31, 2019), the Company applied the guidance included in an interagency statement issued by the bank regulatory agencies. For loan modifications that include a payment deferral and are not TDRs, the borrower’s past due and non-accrual status have not been impacted during the deferral period. Interest income has continued to be recognized over the contractual life of the loan. Troubled Debt Restructurings On a case-by-case basis, the Company may agree to modify the contractual terms of a borrower’s loan to remain competitive and assist customers who may be experiencing financial difficulty, as well as preserve the Company’s position in the loan. If the borrower is experiencing financial difficulties and a concession has been made at the time of such modification, the loan is classified as a TDR. Substantially all of our TDR loan modifications involve lowering the monthly payments on such loans through either a reduction in interest rate below a market rate, principal deferral, an extension of the term of the loan, or a combination of these methods. These modifications rarely result in the forgiveness of principal or accrued interest. In addition, we frequently obtain additional collateral or guarantor support when modifying commercial loans. Restructured loans remain on non-accrual status until payment is reasonably assured (generally six consecutive months of payments) and both principal and interest are deemed collectible. Consistent with the CARES Act and interagency guidance which allows temporary relief for current borrowers affected by COVID-19, we have worked with borrowers and granted certain modifications through programs related to COVID-19 relief. At December 31, 2021, loans with an aggregate outstanding balance of approximately $279.0 million have been granted payment deferment as a result of financial disruptions associated with the COVID-19 pandemic. Such modifications that met the criteria are not included in our TDR totals and discussion below. The following tables present the total TDR loans at December 31, 2021 and December 31, 2020: December 31, 2021 Accrual Non-accrual Total # of loans Amount # of loans Amount # of loans Amount (Dollars in thousands) Commercial loans: Multi-family — $ — 1 $ 35,826 1 $ 35,826 Commercial real estate — — 3 4,306 3 4,306 Commercial and industrial — — 1 778 1 778 Total commercial loans — — 5 40,910 5 40,910 Residential mortgage and consumer 44 7,565 69 12,174 113 19,739 Total 44 $ 7,565 74 $ 53,084 118 $ 60,649 December 31, 2020 Accrual Non-accrual Total # of loans Amount # of loans Amount # of loans Amount (Dollars in thousands) Commercial loans: Commercial real estate — $ — 4 $ 5,687 4 $ 5,687 Commercial and industrial 2 630 2 2,919 4 3,549 Total commercial loans 2 630 6 8,606 8 9,236 Residential mortgage and consumer 45 8,602 83 16,659 128 25,261 Total 47 $ 9,232 89 $ 25,265 136 $ 34,497 The following tables present information about TDRs that occurred during the years ended December 31, 2021 and 2020: Years Ended December 31, 2021 2020 Number of Pre-modification Post- Number of Pre-modification Post- (Dollars in thousands) Troubled Debt Restructurings: Multi-family 1 $ 37,671 $ 35,826 — $ — $ — Commercial real estate 1 170 170 4 5,707 5,707 Commercial and industrial 1 795 783 1 933 933 Residential mortgage and consumer 4 226 226 7 1,813 1,813 Post-modification recorded investment represents the net book balance immediately following modification. Collateral dependent loans classified as TDRs were written down to the estimated fair value of the collateral. There were $2.0 million in charge-offs of TDRs of collateral dependent commercial loans, $12,000 in charge-offs of an unsecured commercial and industrial loan and $11,000 in charge offs for TDRs of collateral dependent residential loans during the year ended December 31, 2021. There were $163,000 in charge-offs for a TDR of an unsecured commercial and industrial loan and $159,000 in charge offs for TDRs of collateral dependent residential loans during the year ended December 31, 2020. The allowance for credit losses associated with the TDRs presented in the above tables totaled $1.5 million and $1.4 million at December 31, 2021 and 2020, respectively. Loan modifications generally involve the reduction in loan interest rate, principal deferral, and/or extension of loan maturity dates and also may include step up interest rates in their modified terms which will impact their weighted average yield in the future. Two of the commercial loan modifications which qualified as TDRs in the year ended December 31, 2021 resulted from forbearance agreements. The multi-family TDR which qualified as a TDR for the year ended December 31, 2021 was a previously disclosed potential problem loan granted a deferral of payment due to circumstances related to COVID-19. The residential loan modifications which qualified as TDRs during the year ended December 31, 2021 had their maturity extended and/or interest rate reduced to current market terms. Residential loans modified in the year ended December 31, 2020 and deemed to be TDRs were granted a payment deferral related to COVID-19 but did not meet the criteria to be excluded from TDR as described in Note 1, Summary of Significant Accounting Principles - Loans Receivable, Net - Guidance on Non-TDR Loan Modifications due to COVID-19. Three of the commercial loan modifications which qualified as a TDR in the year ended December 31, 2020 resulted from forbearance agreements. Two of the commercial loan modifications which qualified as a TDR in the year ended December 31, 2020 were loans which had already been on non-accrual status and were granted a deferral of payment due to circumstances related to COVID-19. Another commercial loan modification which qualified as a TDR in the first quarter of 2020 had its maturity extended. The following tables present information about pre and post modification interest yield for TDRs which occurred during the years ended December 31, 2021 and 2020: Years Ended December 31, 2021 2020 Number of Pre-modification Post- Number of Pre-modification Post- Multi-family 1 4.38 % 4.38 % — — % — % Commercial real estate 1 6.00 % 6.00 % 4 4.77 % 4.77 % Commercial and industrial 1 4.94 % 4.94 % 1 4.75 % 4.75 % Residential mortgage and consumer 4 6.82 % 3.07 % 7 5.94 % 5.94 % Payment defaults for loans modified as a TDR in the previous 12 months to December 31, 2021 consisted of 1 commercial real estate loan with a recorded investment of $166,000. Payment defaults for loans modified as a TDR in the previous 12 months to December 31, 2020 consisted of 1 commercial real estate loan and 5 residential loans with a recorded investment of $1.8 million and $1.2 million, respectively. Loan Sales During the year ended December 31, 2021, the Company sold three non-performing multi-family loans with a net book balance of $19.9 million. The Company recognized a recovery of $1.4 million in the allowance for credit losses on the sale of one of the loans. Also during the year ended December 31, 2021, the Company sold two non-performing commercial real estate loans with a net book balance of $1.6 million. For the year ended December 31, 2021, the Company sold its interest in $17.8 million of leased equipment resulting in a gain on sale of $297,000, which is included in other income in the Consolidated Statements of Income. For the year ended December 31, 2020, the Company sold its interest in $21.6 million of leased equipment resulting in a gain on sale of $1.5 million, which is included in other income in the Consolidated Statements of Income. |
Allowance for Credit Losses
Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2021 | |
Credit Loss [Abstract] | |
Allowance for Credit Losses | Allowance for Credit Losses On January 1, 2020, the Company adopted ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”, which replaces the incurred loss methodology with an expected loss methodology that is referred to as the CECL methodology. See Note 1, Summary of Significant Accounting Principles. An analysis of the provision for credit losses is summarized as follows: Year Ended December 31, 2021 2020 (In thousands) Provision for loan losses $ (43,843) 64,890 Provision for debt securities held-to-maturity (1,397) 700 Provision for off-balance sheet credit exposures (3,436) 4,568 Total provision for credit losses $ (48,676) 70,158 Allowance for Credit Losses on Loans Receivable An analysis of the allowance for credit losses for loans receivable is summarized as follows: Year Ended December 31, 2021 2020 (In thousands) Balance at beginning of the period $ 282,986 228,120 Adjustment for adoption of ASC 326 — (3,551) Gross charge offs (5,064) (18,388) Recoveries 5,605 7,735 Net charge-offs 541 (10,653) Allowance at acquisition on loans purchased with credit deterioration 997 4,180 Provision for credit loss expense (43,843) 64,890 Balance at end of the period $ 240,681 282,986 Accrued interest receivable on loans, reported as a component of accrued interest receivable on the balance sheet, totaled $70.3 million and $69.6 million at December 31, 2021 and December 31, 2020, respectively, and is excluded from the estimate of credit losses. During the years ended December 31, 2021 and December 31, 2020, loans in payment deferral with accrued interest and deferred escrow are included in credit losses. The allowance for credit losses represents the estimated amount considered necessary to cover lifetime expected credit losses inherent in financial assets at the balance sheet date. The lifetime estimate considers multiple economic scenarios, including recessionary scenarios that assume deterioration in key economic variables such as gross domestic product, unemployment rate and real estate prices. The Company assesses the selection and probability weightings of each economic scenario. In estimating the allowance for credit losses, multiple economic outlooks are used that include a base or consensus case, a downside recessionary case and an upside scenario to reflect the potential for continued improvement in the economic outlook. In addition, the allowance for credit losses includes qualitative reserves for certain segments that may not be fully recognized through its quantitative models. There are still many unknowns including the duration of the impact of COVID-19 on the economy and the results of the government fiscal and monetary actions. The Company will continue to evaluate the allowance for credit losses and the related economic outlook each quarter. The following tables present the balance in the allowance for credit losses for loans by portfolio segment as of December 31, 2021 and December 31, 2020: December 31, 2021 Multi- Commercial Commercial Construction Residential Consumer Unallocated Total (In thousands) Allowance for credit losses: Balance as of December 31, 2020 $ 56,731 115,918 79,327 7,267 19,941 3,802 — 282,986 Charge-offs (2,593) (322) (1,206) — (540) (403) — (5,064) Recoveries 1,977 447 1,592 — 1,469 120 — 5,605 Allowance at acquisition on loans purchased with credit deterioration 149 730 17 46 41 14 — 997 Provision for credit loss expense (16,918) (35,587) 5,383 4,226 (1,257) 310 — (43,843) Ending balance-December 31, 2021 $ 39,346 81,186 85,113 11,539 19,654 3,843 — 240,681 December 31, 2020 Multi- Commercial Commercial Construction Residential Consumer Unallocated Total (In thousands) Allowance for credit losses: Beginning balance-December 31, 2019 $ 74,099 50,925 74,396 6,816 17,391 2,548 1,945 228,120 Adjustment for adoption of ASC 326 (9,741) (4,631) (7,511) (1,901) 20,089 2,089 (1,945) (3,551) Balance as of January 1, 2020 64,358 46,294 66,885 4,915 37,480 4,637 — 224,569 Charge-offs (4,631) (521) (12,005) — (1,190) (41) — (18,388) Recoveries 1,965 412 4,459 — 677 222 — 7,735 Allowance at acquisition on loans purchased with credit deterioration 209 3,208 287 127 344 5 — 4,180 Provision for credit loss expense (5,170) 66,525 19,701 2,225 (17,370) (1,021) — 64,890 Ending balance-December 31, 2020 $ 56,731 115,918 79,327 7,267 19,941 3,802 — 282,986 Allowance for Credit Losses on Debt Securities An analysis of the allowance for credit losses for debt securities held-to-maturity is summarized as follows: Year Ended December 31, 2021 2020 (In thousands) Balance at beginning of the period $ 3,264 — Impact of adopting ASC 326 — 2,564 Provision for credit losses (1,397) 700 Balance at end of the period $ 1,867 3,264 The following table presents the balance in the allowance for credit losses for debt securities held-to-maturity by portfolio segment as of December 31, 2021 and December 31, 2020: December 31, 2021 December 31, 2020 Municipal Bonds Corporate and Other Debt Securities Total Municipal Bonds Corporate and Other Debt Securities Total (In thousands) Allowance for credit losses: Balance at beginning of the period $ 34 3,230 3,264 — — — Impact of adopting ASC 326 — — — 17 2,547 2,564 Provision for credit loss (12) (1,385) (1,397) 17 683 700 Balance at end of the period $ 22 1,845 1,867 34 3,230 3,264 Accrued interest receivable on debt securities held-to-maturity totaled $5.1 million and $5.2 million at December 31, 2021 and December 31, 2020, respectively, and is excluded from the estimate of credit losses. Allowance for Credit Losses on Off-Balance Sheet Credit Exposures An analysis of the allowance for credit losses for off-balance sheet credit exposures is as follows: Year Ended December 31, 2021 2020 (In thousands) Balance at beginning of the period $ 17,667 425 Impact of adopting ASC 326 — 12,674 Provision for credit losses (3,436) 4,568 Balance at end of the period $ 14,231 17,667 |
Office Properties and Equipment
Office Properties and Equipment, Net | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Office Properties and Equipment, Net | Office Properties and Equipment, Net Office properties and equipment are summarized as follows: December 31, 2021 2020 (In thousands) Land $ 10,142 10,731 Office buildings 37,486 44,895 Leasehold improvements 123,565 124,752 Furniture, fixtures and equipment 110,331 109,909 Construction in process 7,021 6,992 288,545 297,279 Less accumulated depreciation and amortization 159,257 157,616 $ 129,288 139,663 Depreciation and amortization expense for the years ended December 31, 2021, 2020 and 2019 was $21.6 million, $21.3 million and $19.6 million, respectively. During the year ended December 31, 2020, the Bank completed the sale-leaseback of 15 branch locations and a corporate office location. These transactions involved the sale of land and buildings with a net book value of $24.8 million. The Bank received proceeds of $50.0 million, realized a gain of $23.1 million ($16.7 million after-tax) net of transaction related expenses for the year ended December 31, 2020 and recorded operating lease right-of-use assets and operating lease liabilities of $32.2 million. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | Leases The Company has operating leases for corporate offices, branch locations and certain equipment. For these operating leases, the Company recognizes a lease liability and a right-of-use asset, measured at the present value of the future minimum lease payments, at the lease commencement date. The Company’s leases have remaining lease terms of up to 15 years, some of which include options to extend the leases for up to 10 years. Certain of our operating leases for branch locations contain variable lease payments related to consumer price index adjustments. The following table presents the balance sheet information related to our operating leases: December 31, 2021 2020 (Dollars in thousands) Operating lease right-of-use assets $ 199,603 $ 199,981 Operating lease liabilities 212,678 212,559 Weighted average remaining lease term 8.5 years 9.4 years Weighted average discount rate 2.40 % 2.49 % In determining the present value of lease payments, the discount rate used for each individual lease is the rate implicit in the lease, unless that rate cannot be readily determined, in which case the Company is required to use its incremental borrowing rate based on the information available at commencement date. For its incremental borrowing rate, the Company uses the borrowing rates offered to the Company by the Federal Home Loan Bank, which reflects the rates a lender would charge the Company to obtain a collateralized loan. The following table presents the components of total operating lease cost recognized in the Consolidated Statements of Income: Year Ended December 31, 2021 2020 2019 (In thousands) Included in office occupancy and equipment expense: Operating lease cost $ 29,986 $ 26,242 $ 25,245 Short-term lease cost 827 460 306 Variable lease cost (2) (2) (1) Included in other income: Sublease income 209 253 268 The following table presents supplemental cash flow information related to operating leases: Year Ended December 31, 2021 2020 2019 (In thousands) Cash paid for amounts included in the measurement of operating lease liabilities: Operating cash flows from operating leases $ 29,540 $ 24,973 $ 24,497 Operating leases 25,683 46,758 2,996 Future minimum operating lease payments and reconciliation to operating lease liabilities at December 31, 2021: December 31, 2021 (In thousands) 2022 $ 30,709 2023 29,746 2024 29,440 2025 28,786 2026 24,349 Thereafter 92,697 Total lease payments 235,727 Less: Imputed interest (23,049) Total operating lease liabilities $ 212,678 The Company also has finance leases for certain equipment. The Company’s right-of-use assets and lease liabilities for finance leases were $798,000 and $813,000, respectively, at December 31, 2021. The finance lease right-of-use assets and finance lease liabilities are included within Other assets Other liabilities |
Leases | Leases The Company has operating leases for corporate offices, branch locations and certain equipment. For these operating leases, the Company recognizes a lease liability and a right-of-use asset, measured at the present value of the future minimum lease payments, at the lease commencement date. The Company’s leases have remaining lease terms of up to 15 years, some of which include options to extend the leases for up to 10 years. Certain of our operating leases for branch locations contain variable lease payments related to consumer price index adjustments. The following table presents the balance sheet information related to our operating leases: December 31, 2021 2020 (Dollars in thousands) Operating lease right-of-use assets $ 199,603 $ 199,981 Operating lease liabilities 212,678 212,559 Weighted average remaining lease term 8.5 years 9.4 years Weighted average discount rate 2.40 % 2.49 % In determining the present value of lease payments, the discount rate used for each individual lease is the rate implicit in the lease, unless that rate cannot be readily determined, in which case the Company is required to use its incremental borrowing rate based on the information available at commencement date. For its incremental borrowing rate, the Company uses the borrowing rates offered to the Company by the Federal Home Loan Bank, which reflects the rates a lender would charge the Company to obtain a collateralized loan. The following table presents the components of total operating lease cost recognized in the Consolidated Statements of Income: Year Ended December 31, 2021 2020 2019 (In thousands) Included in office occupancy and equipment expense: Operating lease cost $ 29,986 $ 26,242 $ 25,245 Short-term lease cost 827 460 306 Variable lease cost (2) (2) (1) Included in other income: Sublease income 209 253 268 The following table presents supplemental cash flow information related to operating leases: Year Ended December 31, 2021 2020 2019 (In thousands) Cash paid for amounts included in the measurement of operating lease liabilities: Operating cash flows from operating leases $ 29,540 $ 24,973 $ 24,497 Operating leases 25,683 46,758 2,996 Future minimum operating lease payments and reconciliation to operating lease liabilities at December 31, 2021: December 31, 2021 (In thousands) 2022 $ 30,709 2023 29,746 2024 29,440 2025 28,786 2026 24,349 Thereafter 92,697 Total lease payments 235,727 Less: Imputed interest (23,049) Total operating lease liabilities $ 212,678 The Company also has finance leases for certain equipment. The Company’s right-of-use assets and lease liabilities for finance leases were $798,000 and $813,000, respectively, at December 31, 2021. The finance lease right-of-use assets and finance lease liabilities are included within Other assets Other liabilities |
Goodwill and Other Intangibles
Goodwill and Other Intangibles Assets | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles Assets | Goodwill and Other Intangible Assets The following table summarizes goodwill and intangible assets at December 31, 2021 and 2020: December 31, 2021 December 31, 2020 (In thousands) Mortgage servicing rights $ 9,403 10,957 Core deposit premiums 5,847 3,560 Other 515 581 Total other intangible assets 15,765 15,098 Goodwill 116,228 94,535 Goodwill and intangible assets $ 131,993 109,633 For the years ended December 31, 2021 the increase in goodwill reflects the Berkshire Bank branch acquisition. See Note 3, Business Combinations. The following table summarizes other intangible assets as of December 31, 2021 and December 31, 2020: Gross Intangible Asset Accumulated Amortization Valuation Allowance Net Intangible Assets (In thousands) December 31, 2021 Mortgage Servicing Rights $ 14,684 (5,211) (70) 9,403 Core Deposit Premiums 26,661 (20,814) — 5,847 Other 850 (335) — 515 Total other intangible assets $ 42,195 (26,360) (70) 15,765 December 31, 2020 Mortgage Servicing Rights $ 17,559 (5,592) (1,010) 10,957 Core Deposit Premiums 23,063 (19,503) — 3,560 Other 1,150 (569) — 581 Total other intangible assets $ 41,772 (25,664) (1,010) 15,098 Mortgage servicing rights are accounted for using the amortization method. Under this method, the Company amortizes the loan servicing asset in proportion to, and over the period of, estimated net servicing revenues. The Company sells loans on a servicing-retained basis. The unpaid principal balance of these loans were $1.33 billion and $1.69 billion at December 31, 2021 and 2020, respectively, all of which relate to mortgage loans. At December 31, 2021 and 2020, the servicing asset, included in intangible assets, had an estimated fair value of $10.8 million and $11.2 million, respectively. At December 31, 2021, fair value was based on expected future cash flows considering a weighted average discount rate of 11.31%, a weighted average constant prepayment rate on mortgages of 12.78% and a weighted average life of 5.5 years. Based on an analysis of fair values as of December 31, 2021, the Company determined that a $70,000 valuation allowance for mortgage servicing rights was required, a decrease of approximately $900,000 from December 31, 2020. See Note 16, Fair Value Measurements, for additional details. Core deposit premiums are amortized using an accelerated method and having a weighted average amortization period of 10 years. For the year ended December 31, 2021, the Company recorded $3.6 million in core deposit premiums resulting the Berkshire Bank branch acquisition. For the year ended December 31, 2020, the Company recorded $2.5 million in core deposit premiums resulting from the acquisition of Gold Coast. The following presents the estimated future amortization expense of other intangible assets for the next five years: Mortgage Servicing Rights Core Deposit Premiums Other (In thousands) 2022 $ 351 $ 1,371 $ 57 2023 360 965 57 2024 370 656 57 2025 379 585 57 2026 382 529 57 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2021 | |
Banking and Thrift, Other Disclosures [Abstract] | |
Deposits | Deposits Deposits are summarized as follows: December 31, 2021 2020 Weighted Average Rate Amount % of Total Weighted Average Rate Amount % of Total (In thousands) Non-interest bearing: Checking accounts — % $ 4,658,319 22.37 % — % $ 3,663,073 18.76 % Interest-bearing: Checking accounts 0.36 % 7,270,634 34.91 % 0.49 % 6,043,393 30.95 % Money market deposits 0.31 % 4,757,567 22.85 % 0.42 % 5,037,327 25.80 % Savings 0.24 % 2,043,152 9.81 % 0.48 % 2,063,447 10.57 % Certificates of deposit 0.43 % 2,094,966 10.06 % 0.97 % 2,718,179 13.92 % Total Deposits 0.26 % $ 20,824,638 100.00 % 0.45 % $ 19,525,419 100.00 % Uninsured deposits are the portion of deposit accounts that exceed FDIC insurance limit. Total uninsured deposits were $10.77 billion and $9.51 billion at December 31, 2021 and December 31, 2020, respectively. Scheduled maturities of certificates of deposit are as follows: December 31, 2021 2020 (In thousands) Within one year $ 1,788,084 2,386,850 One to two years 178,287 271,302 Two to three years 92,208 31,893 Three to four years 12,476 15,016 After four years 23,911 13,118 $ 2,094,966 2,718,179 Interest expense on deposits consists of the following: For the Years Ended December 31, 2021 2020 2019 (In thousands) Checking accounts $ 27,488 42,014 84,698 Money market deposits 20,508 42,568 60,896 Savings 5,591 12,056 17,148 Certificates of deposit 14,318 58,951 99,115 Total $ 67,905 155,589 261,857 |
Borrowed Funds
Borrowed Funds | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Borrowed Funds | Borrowed Funds Borrowed funds are summarized as follows: December 31, 2021 2020 Principal Weighted Average Rate (1) Principal Weighted Average Rate (1) (Dollars in thousands) Funds borrowed under repurchase agreements: Other brokers $ 449,117 1.97% $ 448,514 1.97% Other borrowed funds: FHLB advances 3,071,419 0.74% 2,662,574 1.20% Subordinated debt (2) 14,502 6.50% 14,702 6.50% Other — —% 170,000 0.13% Total other borrowed funds 3,085,921 0.77% 2,847,276 1.17% Total borrowed funds $ 3,535,038 0.92% $ 3,295,790 1.28% (1) The weighted average interest rate excludes the effects of our derivative contracts. See Note 15, Derivatives and Hedging Activities. (2) Subordinated debt was assumed in the acquisition of Gold Coast Bancorp in April 2020. Borrowed funds had contractual scheduled maturities as follows: December 31, 2021 2020 Principal Weighted Average Rate (1) Principal Weighted Average Rate (1) (Dollars in thousands) Within one year $ 2,350,000 0.36% $ 1,513,000 0.33% One to two years 497,448 2.12% 574,741 2.15% Two to three years 673,088 1.90% 520,989 2.10% Three to four years — —% 672,358 1.90% Four to five years — —% — —% After five years (2) 14,502 6.50% 14,702 6.50% Total borrowed funds $ 3,535,038 0.92% $ 3,295,790 1.28% (1) The weighted average interest rate excludes the effects of our derivative contracts. See Note 15, Derivatives and Hedging Activities. (2) Borrowed funds maturing after five years are subordinated notes maturing in 2027 assumed in the acquisition of Gold Coast Bancorp in April 2020. Interest on the notes is fixed at a rate of 6.50% until September 2022, after which interest is floating until maturity. Mortgage-backed securities have been sold, subject to repurchase agreements, to the FHLB and various brokers. Mortgage-backed securities sold, subject to repurchase agreements, are held by the FHLB for the benefit of the Company. Repurchase agreements require repurchase of the identical securities. Whole mortgage loans have been pledged to the FHLB as collateral for advances, but are held by the Company. The amortized cost and fair value of the underlying securities used as collateral for borrowings are as follows: December 31, 2021 2020 (Dollars in thousands) Amortized cost of collateral: Mortgage-backed securities $ 474,621 471,506 Total amortized cost of collateral $ 474,621 471,506 Fair value of collateral: Mortgage-backed securities $ 488,896 494,160 Total fair value of collateral $ 488,896 494,160 During the years ended December 31, 2021, 2020 and 2019, the maximum month-end balance of the repurchase agreements was $449.1 million, $548.0 million and $447.9 million, respectively. The average amount of repurchase agreements outstanding during the years ended December 31, 2021, 2020 and 2019 was $448.8 million, $451.7 million and $369.0 million, respectively, and the average interest rate was 2.14%, 2.17% and 2.45%, respectively. At December 31, 2021, our borrowing capacity at the FHLB was $11.55 billion, of which the Company had outstanding borrowings of $7.14 billion, which included letters of credit totaling $4.06 billion. In addition, the Bank had access to unsecured overnight borrowings (Fed Funds) with other financial institutions totaling $750.0 million, of which none was outstanding at December 31, 2021. In April 2020, we assumed $13.5 million of subordinated notes in the acquisition of Gold Coast Bancorp. The notes were originally issued in September 2017. Interest is payable in arrears at 6.50% on two fixed dates annually until September 2022, after which interest will be payable in arrears at 3-month LIBOR plus 4.55% on four fixed dates annually until maturity in October 2027. During the year ended December 31, 2021, we prepaid $600.0 million of FHLB advances with an average interest rate of 2.13% and maturity dates from 2022 to 2023 at a total cost of $10.2 million. During the year ended December 31, 2020, we prepaid $1.20 billion of FHLB advances with an average interest rate of 1.47% and maturity dates from 2020 to 2022 and terminated $400.0 million of interest rate swaps with an average interest rate of 2.30% and maturity dates in 2022 and 2023 at a total cost of $24.1 million. Since the debt was not replaced upon extinguishment in either 2021 or 2020, the prepayment penalties were recognized in non-interest expense in our Consolidated Statement of Income. In June 2019, we prepaid $200.0 million of FHLB advances and a $150.0 million repurchase agreement with a total average interest rate of 3.00% and maturity dates in 2020 and 2021. The prepaid borrowings were replaced with $200.0 million of FHLB advances and a $150.0 million repurchase agreement with a total average interest rate of 2.55% and maturity dates averaging 4 years. Included in the interest rate is a prepayment penalty of 0.47%. In August 2019, we prepaid $275.0 million of FHLB advances with a total average interest rate of 2.46% and maturity dates in 2021. The prepaid borrowings were replaced with $275.0 million of FHLB advances with a total average interest rate of 2.16% and maturity dates of 5 years. Included in the interest rate is a prepayment penalty of 0.27%. The prepayment penalties are amortized over the life of the new debt instruments in accordance with ASC 470-50, Debt - Modifications and Extinguishments . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of income tax expense are as follows: Years Ended December 31, 2021 2020 2019 (In thousands) Current tax expense: Federal $ 71,775 82,039 32,881 State 28,926 27,112 12,743 100,701 109,151 45,624 Deferred tax (benefit) expense: Federal 10,955 (25,104) 28,784 State 3,424 (9,086) 16,840 14,379 (34,190) 45,624 Total income tax expense $ 115,080 74,961 91,248 The following table presents the reconciliation between the actual income tax expense and the “expected” amount computed using the applicable statutory federal income tax rate of 21% for the years ended December 31, 2021, 2020 and 2019: Years Ended December 31, 2021 2020 2019 (In thousands) “Expected” federal income tax expense $ 89,967 62,273 60,214 State tax, net 27,637 12,790 19,075 Impact of tax law changes (1,240) — 7,823 Tax exempt interest (2,410) (2,399) (1,519) Non-deductible FDIC premiums 1,132 1,169 1,229 Bank owned life insurance (1,375) (1,394) (1,374) Tax credits (677) (1,610) — Other 2,046 4,132 5,800 Total income tax expense $ 115,080 74,961 91,248 The temporary differences and loss carryforwards which comprise the deferred tax asset and liability are as follows: December 31, 2021 2020 (In thousands) Deferred tax asset: Employee benefits $ 27,716 29,754 Deferred compensation 412 480 Premises and equipment 2,002 3,926 Allowance for credit losses 66,127 84,018 Net unrealized loss on hedging activities 1,749 30,399 ESOP 4,866 4,123 Fair value adjustments related to acquisitions 8,946 11,527 Loan origination costs 8,475 8,004 State NOL 399 312 Other 5,703 1,393 Gross deferred tax asset 126,395 173,936 Deferred tax liability: Mortgage servicing rights 2,640 3,034 Net unrealized gain on debt securities available-for-sale 645 14,018 Equipment financing 35,295 39,627 Other 564 452 Gross deferred tax liability 39,144 57,131 Net deferred tax asset $ 87,251 116,805 A deferred tax asset or liability is recognized for the estimated future tax effects attributable to temporary differences and carryforwards. The measurement of such deferred tax items is reduced by the amount that is more likely than not to be realized based on available evidence. The ultimate realization of the deferred tax asset is dependent upon the generation of future taxable income during the periods in which those temporary differences and carryforwards become deductible. A valuation allowance is recorded for tax benefits which management has determined are not more likely than not to be realized. At December 31, 2021 and 2020, there was no valuation allowance. Under ASC 740, “Income Taxes”, companies are required to recognize the effect of tax law changes in the period of enactment; therefore, the Company re-measures its deferred tax assets and liabilities at the enacted tax rate expected to apply when its temporary differences are expected to be realized or settled. In December 2019, a technical bulletin was issued by the State of New Jersey providing clarification on mandatory combined reporting, causing a remeasurement of the Company’s deferred tax balances. This remeasurement resulted in a decrease of $7.8 million to the deferred tax asset. In April 2021, New York State governor signed FY21-22 New York State budget legislation that increased the New York State corporate income tax rate from 6.5% to 7.25% causing a remeasurement of the Company’s deferred tax balances. The remeasurement resulted in an increase of $1.2 million to the deferred tax asset for the year ended December 31, 2021. Based upon projections of future taxable income and the ability to carry forward net operating losses indefinitely, management believes it is more likely than not the Company will realize the remaining deferred tax asset. Retained earnings at December 31, 2021 included approximately $45.2 million for which deferred income taxes of approximately $12.9 million have not been provided. The retained earnings amount represents the base year allocation of income to bad debt deductions for tax purposes only. Base year reserves are subject to recapture if the Bank makes certain non-dividend distributions, repurchases any of its stock, pays dividends in excess of tax earnings and profits, or ceases to maintain a bank charter. Under ASC 740, this amount is treated as a permanent difference and deferred taxes are not recognized unless it appears that it will be reduced and result in taxable income in the foreseeable future. Events that would result in taxation of these reserves include failure to qualify as a bank for tax purposes or distributions in complete or partial liquidation. The Company had no unrecognized tax benefits or related interest or penalties at December 31, 2021 and 2020. The Company files income tax returns in the United States federal jurisdiction, New Jersey, New York and various other state jurisdictions. As of December 31, 2021, the Company is no longer subject to federal income tax examination for years prior to 2017. The Company and its affiliates are currently under audit by the New York State Department of Taxation and Finance and the New York City Department of Finance for tax years 2016 through 2018. Neither the Company nor its subsidiaries are currently under audit by any other state jurisdiction. |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Benefit Plans | Benefit Plans Defined Benefit Pension Plan The Company participates in the Pentegra Defined Benefit Plan for Financial Institutions (“Pentegra DB Plan”), a tax-qualified defined-benefit pension plan. The Pentegra DB Plan’s Employer Identification Number is 13-5645888 and the Plan Number is 333. The Pentegra DB Plan operates as a multi-employer plan for accounting purposes and as a multiple-employer plan under the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code. There are no collective bargaining agreements in place that require contributions to the Pentegra DB Plan. The Pentegra DB Plan is a single plan under Internal Revenue Code Section 413(c) and, as a result, all of the assets stand behind all of the liabilities. Accordingly, under the Pentegra DB Plan, contributions made by a participating employer may be used to provide benefits to participants of other participating employers. As of December 31, 2016, the annual benefit provided under the Pentegra DB Plan was frozen by an amendment to the plan. Freezing the plan eliminated all future benefit accruals and each participant’s frozen accrued benefit was determined as of December 31, 2016 and no further benefits accrued subsequent to December 31, 2016. The funded status (fair value of plan assets divided by funding target) as of July 1, 2021 and 2020 was 104.37% and 87.34%, respectively. The fair value of plan assets reflects any contributions received through June 30, 2021. The Company’s contribution and pension cost was $7.3 million, $5.5 million and $4.8 million for the years ended December 31, 2021, 2020 and 2019, respectively. The Company’s contributions to the Pentegra DB Plan are not more than 5% of the total contributions to the Pentegra DB Plan. The Company will contribute at least the minimum required under the Plan for the 2022 plan year. The Company’s accrued pension liability was $266,132 and $874,000 at December 31, 2021 and 2020, respectively. SERPs, Directors’ Plan and Other Postretirement Benefits Plan The Company has an Executive Supplemental Retirement Wage Replacement Plan (“SERP II”) and the Supplemental ESOP and Retirement Plan (“SERP I”) (collectively, the “SERPs”). The SERP II is a nonqualified, defined benefit plan which provides benefits to certain executives as designated by the Compensation and Benefits Committee of the Board of Directors (the “Board”). More specifically, the SERP II was designed to provide participants with a normal retirement benefit equal to an annual benefit of 60% of the participant’s highest annual base salary and cash incentive (over a consecutive 36-month period within the participant’s credited service period) reduced by the sum of the benefits provided under the Pentegra DB Plan and the SERP I. Effective as of the close of business of December 31, 2016, the SERP II was amended to freeze future benefit accruals subsequent to the 2016 year of service. The SERP I compensates certain executives (as designated by the Compensation and Benefits Committee of the Board) participating in the ESOP whose contributions are limited by the Internal Revenue Code. The Company also maintains the Amended and Restated Director Retirement Plan (“Directors’ Plan”) for certain directors, which is a nonqualified, defined benefit plan. The Directors’ Plan was frozen on November 21, 2006 such that no new benefits accrued under, and no new directors were eligible to participate in the plan. The SERPs and the Directors’ Plan are unfunded and the costs of the plans are recognized over the period that services are provided. The following table sets forth information regarding the SERP II and the Directors’ Plan: December 31, 2021 2020 (In thousands) Change in benefit obligation: Benefit obligation at beginning of year $ 51,307 46,009 Interest cost 1,000 1,297 Loss (gain) due to change in mortality assumption 106 (451) (Gain) loss due to change in discount rate (2,203) 4,323 Loss due to demographic changes 1,081 813 Actuarial (gain) loss (12) 205 Benefits paid (870) (889) Benefit obligation at end of year 50,409 51,307 Funded status $ (50,409) (51,307) The unfunded pension benefits of $50.4 million and $51.3 million at December 31, 2021 and 2020, respectively, are included in other liabilities in the consolidated balance sheets. The components of accumulated other comprehensive loss related to pension plans, on a pre-tax basis, at December 31, 2021 and 2020, are summarized in the following table. December 31, 2021 2020 (In thousands) Net actuarial loss $ 10,182 11,777 Total amounts recognized in accumulated other comprehensive loss $ 10,182 11,777 The accumulated benefit obligation for the SERP II and the Directors’ Plan was $40.2 million and $39.5 million at December 31, 2021 and 2020, respectively. The measurement date for our SERP II and Directors’ Plan is December 31 for the years ended December 31, 2021 and 2020. The weighted-average actuarial assumptions used in the plan determinations at December 31, 2021 and 2020 were as follows: December 31, 2021 2020 Discount rate 2.46 % 2.01 % Rate of compensation increase — % — % The components of net periodic benefit cost are as follows: Years Ended December 31, 2021 2020 2019 (In thousands) Interest cost $ 1,000 1,297 1,588 Amortization of: Net loss 567 1,195 — Total net periodic benefit cost $ 1,567 2,492 1,588 The following are the weighted average assumptions used to determine net periodic benefit cost: Years Ended December 31, 2021 2020 2019 Discount rate 2.01 % 2.88 % 3.99 % Rate of compensation increase — % — % — % Estimated future benefit payments, which reflect expected future service, as appropriate for the next ten calendar years are as follows: Amount (In thousands) 2022 $ 3,026 2023 3,236 2024 3,202 2025 3,165 2026 3,125 2027 through 2031 16,160 401(k) Plan The Company has a 401(k) plan covering substantially all employees provided they meet the eligibility age requirement of age 21. For the years ended December 31, 2021, 2020 and 2019, the Company matched 50% of the first 8% contributed by the participants to the 401(k) plan. For the year ended December 31, 2021 and 2020, the 401(k) plan included no discretionary profit sharing contribution. For the year ended December 31, 2019, the 401(k) plan included a discretionary profit sharing contribution of 1% of eligible earnings for eligible employees. The Company’s aggregate contributions to the 401(k) plan for the years ended December 31, 2021, 2020 and 2019 were $4.1 million, $4.3 million and $3.6 million, respectively. Employee Stock Ownership Plan The ESOP is a tax-qualified plan designed to invest primarily in the Company’s common stock that provides employees with the opportunity to receive a funded retirement benefit from the Bank, based primarily on the value of the Company’s common stock. During the Company’s initial public stock offering in October 2005, the ESOP was authorized to purchase, and did purchase, 10,847,883 shares of the Company’s common stock at a price of $3.92 per share with the proceeds of a loan from the Company to the ESOP. In connection with the completion of the Company’s mutual to stock conversion on May 7, 2014, the ESOP purchased an additional 6,617,421 common shares of stock at a price of $10.00 per share with the proceeds of a loan from the Company to the ESOP. The Company refinanced the outstanding principal and interest balance of $33.9 million and borrowed an additional $66.2 million to purchase the additional shares. The outstanding loan principal balance at December 31, 2021 was $81.8 million. Shares of the Company’s common stock pledged as collateral for the loan are released from the pledge pro-rata for allocation to participants as loan payments are made. At December 31, 2021, shares allocated to participants were 7,117,934 since the plan inception. ESOP shares that were unallocated or not yet committed to be released totaled 10,347,370 at December 31, 2021 and had a fair value of $156.8 million. ESOP compensation expense recognized in the Consolidated Statements of Income for the years ended December 31, 2021, 2020 and 2019 was $4.5 million, $3.0 million and $5.1 million, respectively, representing the fair value of shares allocated or committed to be released during the year. The SERP I also provides supplemental benefits to certain executives as designated by the Compensation and Benefits Committee of the Board who are prevented from receiving the full benefits contemplated by ESOP’s benefit formula due to the Internal Revenue Code. During the year ended December 31, 2021, compensation expense related to this plan amounted to $2.1 million. During the year ended December 31, 2020, the decline in our stock price resulted in a compensation benefit related to this plan amounted to $105,000. During the year ended December 31, 2019, compensation expense related to this plan amounted to $827,000. Equity Incentive Plan At the annual meeting held on June 9, 2015, stockholders of the Company approved the Investors Bancorp, Inc. 2015 Equity Incentive Plan (“2015 Plan”) which provides for the issuance or delivery of up to 30,881,296 shares (13,234,841 restricted stock awards and 17,646,455 stock options) of Investors Bancorp, Inc. common stock. Restricted shares granted under the 2015 Plan vest in equal installments, over the service period generally ranging from 5 to 7 years beginning one year from the date of grant. Additionally, certain restricted shares awarded are performance vesting awards, which may or may not vest depending upon the attainment of certain corporate financial targets. The vesting of restricted stock may accelerate in accordance with the terms of the 2015 Plan. The product of the number of shares granted and the grant date closing market price of the Company’s common stock determine the fair value of restricted shares under the 2015 Plan. Management recognizes compensation expense for the fair value of restricted shares on a straight-line basis over the requisite service period. For the year ended December 31, 2021, the Company granted 262,281 shares of restricted stock awards under the 2015 Plan. Stock options granted under the 2015 Plan vest in equal installments, over the service period generally ranging from 5 to 7 years beginning one year from the date of grant. The vesting of stock options may accelerate in accordance with the terms of the 2015 Plan. Stock options were granted at an exercise price equal to the fair value of the Company’s common stock on the grant date based on the closing market price and have an expiration period of 10 years. For the year ended December 31, 2021, the Company granted no stock options under the 2015 Plan. During the year ended December 31, 2020, the Compensation and Benefits Committee approved the issuance of 91,249 restricted stock awards and no stock options to certain officers under the 2015 Plan. During the year ended December 31, 2019, the Compensation and Benefits Committee approved the issuance of 2,360,919 restricted stock awards and 995,216 stock options to certain officers under the 2015 Plan inclusive of the Replacement Awards - refer to Shareholder Litigation Settlement below. The fair value of stock options granted as part of the 2015 Plan was estimated utilizing the Black-Scholes option pricing model using the following assumptions for the periods presented below: For the Year Ended December 31, 2019 (1) Weighted average expected life (in years) 4.83 Weighted average risk-free rate of return 1.86 % Weighted average volatility 19.92 % Dividend yield 3.96 % Weighted average fair value of options granted $ 0.89 Total stock options granted 995,216 (1) Includes assumptions for the Replacement Award granted in 2019. For additional information about the Replacement Awards, refer to Shareholder Litigation Settlement below. The weighted average expected life of the stock option represents the period of time that stock options are expected to be outstanding and is estimated using historical data of stock option exercises and forfeitures. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant. The expected volatility is based on the historical volatility of the Company’s stock. The Company recognizes compensation expense for the fair values of these awards, which have graded vesting, on a straight-line basis over the requisite service period of the awards. Upon exercise of vested options, management expects to draw on treasury stock as the source for shares. The following table presents the share-based compensation expense for the years ended December 31, 2021, 2020 and 2019: Years Ended December 31, 2021 2020 2019 (Dollars in thousands) Stock option expense $ 3,707 3,869 5,935 Restricted stock expense 10,607 10,896 14,026 Total share-based compensation expense (1) $ 14,314 14,765 19,961 (1) Included in share-based compensation expense for the year ended December 31, 2019 was $2.0 million of accelerated stock compensation expense resulting from the settlement of shareholder litigation during 2019. For additional information about the settlement, refer to Shareholder Litigation Settlement below. The following is a summary of the status of the Company’s restricted shares as of December 31, 2021 and changes therein during the year then ended: Number of Weighted Outstanding at December 31, 2020 1,974,235 $ 12.44 Granted 262,281 13.29 Vested (807,337) 12.36 Forfeited (33,351) 12.00 Outstanding and non-vested at December 31, 2021 1,395,828 $ 12.39 Expected future expenses relating to the non-vested restricted shares outstanding as of December 31, 2021 is $10.2 million over a weighted average period of 2.03 years. The following is a summary of the Company’s stock option activity and related information for its option plan for the year ended December 31, 2021: Number of Weighted Weighted Aggregate Outstanding at December 31, 2020 5,570,858 $ 12.46 4.5 $ 191 Granted — — Exercised (814,592) 12.26 Forfeited (66,439) 12.54 Expired — — Outstanding at December 31, 2021 4,689,827 $ 12.49 3.6 $ 12,460 Exercisable at December 31, 2021 3,804,164 $ 12.49 3.5 $ 10,138 Expected future expense relating to the non-vested options outstanding as of December 31, 2021 is $1.9 million over a weighted average period of 0.33 years. Shareholder Litigation Settlement On March 6, 2019, a Stipulation and Agreement of Compromise, Settlement and Release was filed in the Court of Chancery of the State of Delaware (the “Court”) in relation to a lawsuit involving the Company and certain of its current and former directors entitled In re Investors Bancorp Inc. Stockholder Litigation, C.A. No. 12327-VCS (the “Settlement”). The Settlement resolves a lawsuit challenging the equity compensation granted on or about June 23, 2015 to persons who were then-directors of the Company. On June 21, 2019, the Court entered an order approving the Settlement. Following the expiration of a thirty-day appeal period, the Settlement became effective. Accordingly, pursuant to the Settlement (i) all of the stock options granted to non-employee directors (excluding Brendan J. Dugan who is deceased) and stock options granted to Paul Stathoulopoulos (who was not a director of the Company at the time of the equity grant on or about June 23, 2015), have been surrendered; (ii) a total of 95,694 shares of the restricted stock granted to the then non-employee directors of the Company (excluding Brendan J. Dugan) and to then non-director Paul Stathoulopoulos scheduled to vest in 2020 have been surrendered; and (iii) 925,000 shares of restricted stock and 1,333,333 stock options granted to the Company’s Chief Executive Officer and 740,000 shares of restricted stock and 1,066,667 stock options granted to the Company’s President have been surrendered. As a result of the Settlement, the Company recorded $2.0 million of accelerated stock compensation expense during the third quarter of 2019. The Compensation and Benefits Committee, with the assistance of its independent legal advisor and compensation consultant, considered the issuance of equity grants to both the Company’s Chief Executive Officer and President to replace those being surrendered pursuant to the Settlement. On May 20, 2019, the Compensation and Benefits Committee authorized and approved, and recommended to the Board, the issuance of (i) 925,000 shares of restricted stock and 525,120 stock options to the Company’s Chief Executive Officer, and (ii) 740,000 shares of restricted stock and 420,096 stock options to the Company’s President (the “Replacement Awards”). The Board, excluding both the Company’s Chief Executive Officer and President, determined that it was advisable and in the best interests of the Company to approve and issue the Replacement Awards, subject to the surrender of awards pursuant to the Settlement. The Replacement Awards were subsequently issued to both the Company’s Chief Executive Officer and President on July 22, 2019. The Replacement Awards were issued from the 2015 Equity Incentive Plan and were accounted for as a modification of the original awards, which resulted in no incremental expense as the compensation cost of the Replacement Awards was less than the compensation cost of the original awards. The stock options have an exercise price of $12.54 per share and vested 25% on July 22, 2019 with the remaining to vest ratably over a three-year period. Approximately 59% of the restricted shares vested on July 22, 2019 with the remainder to vest on the same vesting schedule as applicable to the June 23, 2015 award. On September 26, 2019, a related shareholder derivative action was filed in the Delaware Chancery Court. The complaint claims breach of fiduciary duty on the part of the Company’s Board in the issuance of the replacement awards to both the Company’s Chief Executive Officer and President in connection with the settlement of the case referenced above. The case is active and limited discovery is ongoing. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company is a defendant in certain claims and legal actions arising in the ordinary course of business. Management and the Company’s legal counsel are of the opinion that the ultimate disposition of these matters will not have a material adverse effect on the Company’s financial condition, results of operations or liquidity. At December 31, 2021, the Company was obligated under various non-cancelable operating leases on buildings and land used for office space and banking purposes. These operating leases contain escalation clauses which provide for increased rental expense, based primarily on increases in real estate taxes and cost-of-living indices. See Note 8, Leases, for further details on rental commitments. Financial Transactions with Off-Balance-Sheet Risk and Concentrations of Credit Risk The Company is a party to transactions with off-balance-sheet risk in the normal course of business in order to meet the financing needs of its customers. These transactions consist of commitments to extend credit. These transactions involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the accompanying consolidated balance sheets. We maintain an allowance at a level that is estimated to absorb estimated lifetime credit losses on unfunded loan commitments and letters of credit. See Note 6, Allowance for Credit Losses, and Note 1, Summary of Significant Accounting Policies, for further details of our allowance for credit losses on off-balance sheet credit exposures. At December 31, 2021, the Company had commitments to originate total commercial loans of $305.1 million. Additionally, the Company had commitments to originate residential loans of approximately $81.2 million, and the Company had commitments to correspondent banks to purchase residential loans of $13.1 million as of December 31, 2021. Unused home equity lines of credit and undisbursed business and construction lines totaled approximately $2.08 billion at December 31, 2021. No commitments are included in the accompanying consolidated financial statements. The Company has no exposure to credit loss if the customer does not exercise its rights to borrow under the commitment. The Company uses the same credit policies and collateral requirements in making commitments and conditional obligations as it does for on-balance-sheet loans. Commitments to extend credit are agreements to lend to customers as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained if deemed necessary by the Company upon extension of credit is based on management’s credit evaluation of the borrower. The Company principally grants commercial real estate loans, multi-family loans, commercial and industrial loans, construction loans, residential mortgage loans and consumer and other loans to borrowers throughout New Jersey, New York, Pennsylvania and states in close proximity. Its borrowers’ abilities to repay their obligations are dependent upon various factors, including the borrowers’ income and net worth, cash flows generated by the underlying collateral or from business operations, value of the underlying collateral and priority of the Company’s lien on the property. Such factors are dependent upon various economic conditions and individual circumstances beyond the Company’s control; the Company is, therefore, subject to risk of loss. The Company believes its lending policies and procedures adequately minimize the potential exposure to such risks and adequate provisions for loan losses are provided for all probable and estimable losses. Our portfolio contains interest-only and no income verification mortgage loans. We have not originated residential mortgage loans without verifying income in recent years. At December 31, 2021 and 2020, these loans totaled $81.3 million and $109.0 million. At December 31, 2021 and 2020, interest-only residential and consumer loans totaled $20.0 million and $32.1 million, respectively, which represented less than 1% of the residential and consumer portfolios. Although it is not a standard product offering for commercial real estate and multi-family loans, we originate interest-only in addition to amortizing loans in these segments. As of December 31, 2021 and 2020, interest-only loans in these segments totaled $2.56 billion and $1.25 billion, respectively. As part of its underwriting, these loans are evaluated as fully amortizing for risk classification purposes, with the interest-only period generally ranging from one year to ten years. In addition, the Company evaluates its policy limits on a regular basis. We believe these criteria adequately control the potential risks of such loans and that adequate provisions for loan losses are provided for all known and inherent risks. At the request of commercial borrowers experiencing financial difficulty resulting from the pandemic, we temporarily deferred the payment of principal and/or interest for an agreed-upon period of time. As of December 31, 2021, there were approximately $267 million of commercial loans not included in the amount of interest-only loans disclosed in this section. In the normal course of business the Company sells residential mortgage loans to third parties. These loan sales are subject to customary representations and warranties. In the event that the Company is found to be in breach of these representations and warranties, it may be obligated to repurchase certain of these loans. The Company has entered into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s borrowings and loans. During the year ended December 31, 2021, such derivatives were used (i) to hedge the variability in cash flows associated with borrowings and (ii) to hedge changes in the fair value of certain pools of prepayable fixed-rate assets. These derivatives had an aggregate notional amount of $3.48 billion as of December 31, 2021. The fair value of derivatives designated as hedging activities as of December 31, 2021 was an asset of $508,000, inclusive of accrued interest and variation margin posted in accordance with the Chicago Mercantile Exchange. During the year ended December 31, 2020, the Company terminated two interest rate swaps with an aggregate notional amount of $475.0 million which had been used to hedge changes in the fair value of certain pools of prepayable fixed- and adjustable-rate assets. Also during the year ended December 31, 2020, the Company terminated four interest rate swaps with an aggregate notional of $400.0 million which had been used to hedge the variability in cash flows associated with wholesale funding. The Company has credit derivatives resulting from participations in interest rate swaps provided to external lenders as part of loan participation arrangements which are, therefore, not used to manage interest rate risk in the Company’s assets or liabilities. Additionally, the Company provides interest rate risk management services to commercial customers, primarily interest rate swaps. The fair value of the derivatives resulting from participations in interest rate swaps provided to lenders was a liability of $160,000 as of December 31, 2021. The fair value of the derivatives resulting from customer interest rate risk management services was an asset of $8.2 million as of December 31, 2021; however, not all of the derivatives resulting from customer interest rate risk management services were cleared through a clearing agent, for which we have recorded an asset of $360,000 as a result. In connection with its mortgage banking activities, the Company may have certain freestanding derivative instruments. At December 31, 2021, the Company had no commitments to fund loans to be classified as held-for-sale. Such commitments would have a like amount of commitments to sell loans, which would be considered derivative instruments under ASC 815, “Derivatives and Hedging.” The Company had no commitments to sell loans at December 31, 2021. The fair values of these derivative instruments are immaterial to the Company’s financial condition and results of operations. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. The guarantees generally extend for a term of up to one year and are fully collateralized. For each guarantee issued, if the customer defaults on a payment or performance to the third party, the Company would have to perform under the guarantee. Outstanding standby letters of credit totaled $45.2 million at December 31, 2021. The fair values of these obligations were immaterial at December 31, 2021. At December 31, 2021, the Company had no commercial letters of credit outstanding. Other Commitments During the years ended December 31, 2021 and 2019, the Company invested $10.0 million in a low income housing tax credit program that qualifies for community reinvestment tax credits. There was no investment in a program during the year ended December 31, 2020. Commitments related to the tax credit investments are payable on demand and are recorded in other liabilities on our Consolidated Balance Sheets. Total commitments related to tax credit investments were $11.5 million and $5.5 million as of December 31, 2021 and 2020, respectively. |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Activities | Derivatives and Hedging Activities The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s floating rate borrowings and pools of fixed-rate assets. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are primarily to reduce cost and add stability to interest expense in an effort to manage its exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of amounts subject to variability caused by changes in interest rates from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Changes in the fair value of derivatives designated and that qualify as cash flow hedges are initially recorded in other comprehensive income and are subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. Such derivatives were used to hedge the variability in cash flows associated with wholesale funding. The Company is hedging its exposure to the variability in future cash flows for forecasted transactions over a maximum period of thirteen months (excluding forecasted transactions related to the payment of variable interest on existing financial instruments). During the year ended December 31, 2020, the Company terminated four interest rate swaps with an aggregate notional of $400.0 million. Upon termination, the Company accelerated the reclassification of amounts in other comprehensive income to earnings as a result of the hedged forecasted transactions becoming probable not to occur. Amounts reported in accumulated other comprehensive income (loss) related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate borrowings. During the next twelve months, the Company estimates that an additional $29.9 million will be reclassified as an increase to interest expense. Fair Value Hedges of Interest Rate Risk The Company is exposed to changes in the fair value of certain of its pools of fixed rate assets due to changes in benchmark interest rates. The Company may use interest rate swaps to manage its exposure to changes in fair value on these instruments attributable to changes in the designated benchmark interest rate. Interest rate swaps designated as fair value hedges involve the payment of fixed-rate amounts to a counterparty in exchange for the Company receiving variable-rate payments over the life of the agreements without the exchange of the underlying notional amount. Such derivatives were used to hedge the changes in fair value of certain of its pools of prepayable fixed rate assets. 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 interest income. The Company terminated two interest rate swaps with an aggregate notional of $475.0 million during the year ended December 31, 2020. The terminated swaps were due to mature in April and May 2021. The remaining balance of the fair value hedging adjustment included in the carrying amount of the assets previously hedged is being amortized into interest income on a straight-line basis over the remaining lives of the assets previously hedged. Derivatives Not Designated as Hedges The Company has credit derivatives resulting from participation in interest rate swaps provided to external lenders as part of loan participation arrangements which are, therefore, not used to manage interest rate risk in the Company’s assets or liabilities. Additionally, the Company provides interest rate risk management services to commercial customers, primarily interest rate swaps. The Company’s market risk from unfavorable movements in interest rates related to these derivative contracts is economically hedged by concurrently entering into offsetting derivative contracts that have identical notional values, terms and indices. Derivatives not designated as hedges are not speculative and result from a service the Company provides to certain lenders which participate in loans and commercial customers. Fair Values of Derivative Instruments on the Balance Sheet Amounts included in the Consolidated Balance Sheet related to the fair value of the Company’s derivative instruments are shown below. Asset derivatives depicted below represent derivatives with a positive fair value position, while liability derivatives represent derivatives with a negative fair value position. December 31, 2021 Asset Derivatives Liability Derivatives Notional Amount Fair Value Notional Amount Fair Value (in millions) (In thousands) (in millions) (In thousands) Derivatives designated as hedging instruments: Interest Rate Swaps $ 1,400 $ 39,248 $ 2,075 $ 49,875 Total derivatives designated as hedging instruments $ 39,248 $ 49,875 Derivatives not designated as hedging instruments: Interest Rate Swaps $ 973 $ 25,977 $ 973 $ 25,977 Other Contracts — — 51 160 Total derivatives not designated as hedging instruments $ 25,977 $ 26,137 Netting Adjustments (1) 46,913 66,613 Net Derivatives on the Balance Sheet $ 18,312 $ 9,399 Cash Collateral (2) — — Net Derivative Amounts $ 18,312 $ 9,399 (1) Netting adjustments represents the amounts recorded to convert derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance on the settle to market rules for cleared derivatives. The Chicago Mercantile Exchange (“CME”) legally characterizes the variation margin posted between counterparties as settlements of the outstanding derivative contracts instead of cash collateral. (2) Cash collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The application of collateral cannot reduce the net derivative position below zero. Therefore, excess collateral, if any, is not reflected above. December 31, 2020 Asset Derivatives Liability Derivatives Notional Amount Fair Value Notional Amount Fair Value (in millions) (In thousands) (in millions) (In thousands) Derivatives designated as hedging instruments: Interest Rate Swaps $ 400 $ 1,419 $ 2,925 $ 115,166 Total derivatives designated as hedging instruments $ 1,419 $ 115,166 Derivatives not designated as hedging instruments: Interest Rate Swaps $ 641 $ 34,155 $ 641 $ 34,155 Other Contracts — — 34 217 Total derivatives not designated as hedging instruments $ 34,155 $ 34,372 Netting Adjustments (1) 997 149,046 Net Derivatives on the Balance Sheet $ 34,577 $ 492 Cash Collateral (2) — 237 Net Derivative Amounts $ 34,577 $ 255 (1) Netting adjustments represents the amounts recorded to convert derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance on the settle to market rules for cleared derivatives. The Chicago Mercantile Exchange (“CME”) legally characterizes the variation margin posted between counterparties as settlements of the outstanding derivative contracts instead of cash collateral. (2) Cash collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The application of collateral cannot reduce the net derivative position below zero. Therefore, excess collateral, if any, is not reflected above. Effect of Derivative Instruments on Accumulated Other Comprehensive Income (Loss) The following table presents the effect of the Company’s derivative financial instruments on the Accumulated Comprehensive Income (Loss) for the years ended December 31, 2021 and 2020. Years Ended December 31, 2021 2020 (In thousands) Cash Flow Hedges - Interest rate swaps Amount of gain (loss) recognized in other comprehensive income (loss) $ 59,534 $ (111,851) Amount of loss reclassified from accumulated other comprehensive income (loss) to interest expense (42,386) (31,770) Amount of loss reclassified from accumulated other comprehensive income (loss) to other expense — (14,192) Location and Amount of Gain or (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships The following table presents the effect of the Company’s derivative financial instruments on the Consolidated Statements of Income as of December 31, 2021 and 2020. Years Ended December 31, 2021 2020 The effects of fair value and cash flow hedging: Income statement location (In thousands) Fair Value Hedges - Gain or (loss) on relationships in Subtopic 815-20 Interest contracts Hedged items Interest income $ (1,635) $ 4,529 Derivatives designated as hedging instruments (1) Interest income 1,599 (7,734) Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 Interest contracts Amount of loss reclassified from accumulated other comprehensive income (loss) Interest expense (42,386) (31,770) Amount of gain or (loss) reclassified from accumulated other comprehensive income (loss) as a result that a forecasted transaction is no longer probable of occurring Other expense — (14,192) Total amounts of income and expense line items presented in the income statement in which the effects of fair value are recorded $ (42,422) $ (49,167) (1) The amount includes reclassification of ineffectiveness and pre-tax gains on fair value hedging relationships which have been terminated. Fee income related to derivative interest rate swaps executed with commercial loan customers totaled $8.4 million and $8.5 million for the years ended December 31, 2021 and 2020. As of December 31, 2021 and 2020, the following amounts were recorded on the Consolidated Balance Sheets related to cumulative basis adjustment for fair value hedges: Carrying Amount of the Hedged Assets/(Liabilities) Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets/(Liabilities) Balance sheet location December 31, 2021 December 31, 2020 December 31, 2021 December 31, 2020 (In thousands) Loans receivable, net (1) $ 148,365 $ — $ 2,997 $ 8,798 (1) At December 31, 2021, the amortized cost basis of the closed portfolios used in these hedging relationships was $361.0 million; the cumulative basis adjustments associated with these hedging relationships was $3.0 million; and the amounts of the designated hedged items were $148.4 million. (1) The balance of Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets/(Liabilities) as of December 31, 2021 represents $4.6 million of hedging adjustment on discontinued hedging relationships. Location and Amount of Gain or (Loss) Recognized in Income on Derivatives Not Designated as Hedging Instruments The table below presents the effect of the Company’s derivative financial instruments that are not designated as hedging instruments on the Consolidated Statements of Income as of December 31, 2021: Consolidated Statements of Income location Amount of Gain (Loss) Recognized in Income on Derivative Years Ended December 31, 2021 2020 (In thousands) Other Contracts Other income / (expense) $ 186 126 Total $ 186 126 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements We use fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Our debt securities available-for-sale and derivatives are recorded at fair value on a recurring basis. Additionally, from time to time, we may be required to record at fair value other assets or liabilities on a non-recurring basis, such as held-to-maturity debt securities, mortgage servicing rights (“MSR”), loans receivable and other real estate owned. These non-recurring fair value adjustments involve the application of lower-of-cost-or-market accounting or write-downs of individual assets. Additionally, in connection with our mortgage banking activities we may have commitments to fund loans held-for-sale and commitments to sell loans, which are considered free-standing derivative instruments, the fair values of which are not material to our financial condition or results of operations. In accordance with FASB ASC 820, “ Fair Value Measurements and Disclosures ”, we group our assets and liabilities at fair value in three levels, based on the markets in which the assets are traded and the reliability of the assumptions used to determine fair value. These levels are: • Level 1 – Valuation is based upon quoted prices for identical instruments traded in active markets. • Level 2 – Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market. • Level 3 – Valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect our own estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include the use of option pricing models, discounted cash flow models and similar techniques. The results cannot be determined with precision and may not be realized in an actual sale or immediate settlement of the asset or liability. We base our fair values on 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. ASC 820 requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Assets Measured at Fair Value on a Recurring Basis Equity securities Our equity securities portfolio is carried at estimated fair value on a recurring basis, with any unrealized gains and losses recognized in the Consolidated Statements of Income. The fair values of equity securities are based on quoted market prices (Level 1). Debt securities available-for-sale Our debt securities available-for-sale portfolio is carried at estimated fair value on a recurring basis, with any unrealized gains and losses, net of taxes, reported as accumulated other comprehensive income (loss) in stockholders’ equity. The fair values of debt securities available-for-sale are provided by a third-party pricing service. The pricing service may use quoted market prices of comparable instruments or a variety of other forms of analysis, incorporating inputs that are currently observable in the markets for similar securities (Level 2). Inputs that are often used in the valuation methodologies include, but are not limited to, benchmark yields, credit spreads, default rates, prepayment speeds and non-binding broker quotes. As the Company is responsible for the determination of fair value, a quarterly analysis of the prices received from the pricing service is performed to determine whether the prices are reasonable estimates of fair value. Specifically, the Company compares the prices received from the pricing service to a secondary pricing source. Additionally, the Company compares changes in the reported market values to relevant market indices to test the reasonableness of the reported prices. The Company’s internal price verification procedures and the review of the fair value methodology documentation provided by the independent pricing services has not resulted in material adjustments in the prices obtained from the pricing services. Derivatives Derivatives are reported at fair value utilizing Level 2 inputs. The fair values of interest rate swap and risk participation agreements are based on a valuation model that uses primarily observable inputs, such as benchmark yield curves and interest rate spreads. The following tables present our assets and liabilities measured at fair value on a recurring basis by level within the valuation hierarchy at December 31, 2021 and December 31, 2020. At December 31, 2021 Total Level 1 Level 2 Level 3 (In thousands) Assets: Equity securities $ 8,194 8,194 — — Debt securities available for sale: Debt securities: Government-sponsored enterprises $ 3,586 — 3,586 — Mortgage-backed securities: Federal Home Loan Mortgage Corporation 1,250,043 — 1,250,043 — Federal National Mortgage Association 1,034,336 — 1,034,336 — Government National Mortgage Association 105,575 — 105,575 — Total debt securities available-for-sale $ 2,393,540 — 2,393,540 — Interest rate swaps $ 18,312 — 18,312 — Liabilities: Derivatives: Interest rate swaps $ 9,239 — 9,239 — Other contracts 160 — 160 — Total derivatives $ 9,399 — 9,399 — At December 31, 2020 Total Level 1 Level 2 Level 3 (In thousands) Assets: Equity securities $ 36,000 36,000 — — Debt securities available for sale: Debt securities: Government-sponsored enterprises 4,482 — 4,482 — Mortgage-backed securities: Federal Home Loan Mortgage Corporation $ 1,317,052 — 1,317,052 — Federal National Mortgage Association 1,205,426 — 1,205,426 — Government National Mortgage Association 231,477 — 231,477 — Total debt securities available-for-sale $ 2,758,437 — 2,758,437 — Interest rate swaps $ 34,577 — 34,577 — Liabilities: Derivatives: Interest rate swaps $ 275 — 275 — Other contracts 217 — 217 — Total derivatives $ 492 — 492 — There have been no changes in the methodologies used at December 31, 2021 from December 31, 2020, and there were no transfers between Level 1 and Level 2 during the year ended December 31, 2021. There were no Level 3 assets measured at fair value on a recurring basis for the years ended December 31, 2021 and December 31, 2020. Assets Measured at Fair Value on a Non-Recurring Basis Mortgage Servicing Rights, Net Mortgage servicing rights are carried at the lower of cost or estimated fair value. The estimated fair value of MSR is obtained through independent third party valuations through an analysis of future cash flows, incorporating assumptions market participants would use in determining fair value including market discount rates, prepayment speeds, servicing income, servicing costs, default rates and other market driven data, including the market’s perception of future interest rate movements. The prepayment speed and the discount rate are considered two of the most significant inputs in the model. At December 31, 2021, the fair value model used prepayment speeds ranging from 5.24% to 25.08% and a discount rate of 11.31% for the valuation of the mortgage servicing rights. At December 31, 2020, the fair value model used prepayment speeds ranging from 14.46% to 23.58% and a discount rate of 12.03% for the valuation of the mortgage servicing rights. A significant degree of judgment is involved in valuing the mortgage servicing rights using Level 3 inputs. The use of different assumptions could have a significant positive or negative effect on the fair value estimate. Individually Evaluated Loans A loan is individually evaluated when it is a collateral dependent commercial loan with an outstanding balance greater than $1.0 million and on non-accrual status, a loan modified in a troubled debt restructuring, or is a commercial loan with $1.0 million in outstanding principal if management has specific information that it is probable they will not collect all amounts due under the contractual terms of the loan agreement. A collateral dependent loan is a loan for which repayment is expected to be provided substantially through the operation or sale of the collateral. Collateral dependent loans secured by property are carried at the estimated fair value of the collateral less estimated selling costs. Estimated fair value is calculated using an independent third-party appraiser. In the event the most recent appraisal does not reflect the current market conditions due to the passage of time and other factors, management will obtain an updated appraisal or make downward adjustments to the existing appraised value based on their knowledge of the property, local real estate market conditions, recent real estate transactions, and for estimated selling costs, if applicable. Appraisals were generally discounted in a range of 0% to 25%. Collateral securing a loan may consist of real estate or other property such as equipment or inventory. Collateral securing commercial and industrial loans may include real estate, other property or the operating results of the business. For non-collateral dependent loans, management estimates the fair value using discounted cash flows based on inputs that are largely unobservable and instead reflect management’s own estimates of the assumptions as a market participant would in pricing such loans. Other Real Estate Owned and Other Repossessed Assets Other Real Estate Owned and Other Repossessed Assets are recorded at estimated fair value, less estimated selling costs when acquired, thus establishing a new cost basis. Repossessed assets that are available for lease are included in operating lease equipment reviewed below. Fair value of foreclosed real estate property and other repossessed assets is generally based on independent appraisals. These appraisals include adjustments to comparable assets based on the appraisers’ market knowledge and experience, and are discounted an additional 0% to 25% for estimated costs to sell. When an asset is acquired, the excess of the loan balance over fair value, less estimated selling costs, is charged to the allowance for loan losses. If further declines in the estimated fair value of the asset occur, a writedown is recorded through expense. The valuation of foreclosed and repossessed assets is subjective in nature and may be adjusted in the future because of changes in economic conditions. Operating costs after acquisition are generally expensed. Operating Lease Equipment On at least an annual basis, the Company reviews the lease residuals and off-lease equipment for potential impairment. Repossessed assets are also available for lease and are included in operating lease equipment reviewed. Operating lease equipment is recorded at estimated fair value, generally determined by independent appraisal. If declines in the estimated fair value of the asset occur, a writedown is recorded through expense. The following tables provide the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a non-recurring basis that have changed for the periods ended December 31, 2021 and December 31, 2020. For the three months ended December 31, 2021 there was no change to the carrying value of other real estate owned, individually evaluated loans or operating lease equipment. For the three months ended December 31, 2020, there was no change to the carrying value of other real estate owned or individually evaluated loans. Security Type Valuation Technique Unobservable Input Range Weighted Average Input Carrying Value at December 31, 2021 Minimum Maximum Total Level 1 Level 2 Level 3 (In thousands) MSR, net Estimated cash flow Prepayment speeds 5.2% 25.1% 12.78% $ 7,846 — — 7,846 $ 7,846 — — 7,846 Security Type Valuation Technique Unobservable Input Range Weighted Average Input Carrying Value at December 31, 2020 Minimum Maximum Total Level 1 Level 2 Level 3 (In thousands) MSR, net Estimated cash flow Prepayment speeds 14.5% 23.6% 17.76% $ 10,663 — — 10,663 Operating lease equipment Market comparable Lack of marketability —% 10.4% 10.41% 15,007 — — 15,007 $ 25,670 — — 25,670 Other Fair Value Disclosures Fair value estimates, methods and assumptions for the Company’s financial instruments that are not recorded at fair value on a recurring or non-recurring basis are set forth below. Cash and Cash Equivalents For cash, short-term U.S. Treasury securities and due from banks, the carrying amount approximates fair value. Debt Securities Held-to-Maturity, net Our debt securities held-to-maturity portfolio, consisting primarily of agency mortgage backed securities and other debt securities for which we have a positive intent and ability to hold to maturity, is carried at amortized cost less any allowance for credit losses. The fair values for the majority of debt securities held-to-maturity are provided by a third-party pricing service. The pricing service may use quoted market prices of comparable instruments or a variety of other forms of analysis, incorporating inputs that are currently observable in the markets for similar securities (Level 2). Inputs that are often used in the valuation methodologies include, but are not limited to, benchmark yields, credit spreads, default rates, prepayment speeds and non-binding broker quotes. As the Company is responsible for the determination of fair value, a quarterly analysis of the prices received from the pricing service is performed to determine whether the prices are reasonable estimates of fair value. Specifically, the Company compares the prices received from the pricing service to a secondary pricing source. Additionally, the Company compares changes in the reported market values to relevant market indices to test the reasonableness of the reported prices. The Company’s internal price verification procedures and the review of the fair value methodology documentation provided by the independent pricing services has not resulted in material adjustments in the prices obtained from the pricing services. For certain held-to-maturity debt securities that trade in illiquid markets, valuation techniques, which require inputs that are both significant to the fair value measurement and unobservable, are used to determine fair value of the investment. Valuation techniques are based on various assumptions, including, but not limited to forecasted cash flows, discount rates, required rate of return, adjustments for nonperformance and liquidity, and liquidation values (Level 3). FHLB Stock The fair value of the Federal Home Loan Bank of New York (“FHLB”) stock is its carrying value, since this is the amount for which it could be redeemed. There is no active market for FHLB stock. The Bank is required to hold and purchase FHLB stock based upon the balance of mortgage related assets held by the member and the amount of outstanding FHLB advances. Loans Fair values are estimated for portfolios of loans with similar financial characteristics. Loans are segregated by type such as residential mortgage and consumer. Each loan category is further segmented into fixed and adjustable rate interest terms and by performing and non-performing categories. The fair value estimates are made at a specific point in time based on relevant market information. The fair value estimates do not reflect any premium or discount that could result from offering for sale a particular financial instrument. Fair value estimates are based on judgments regarding future expected loss experience, risk characteristics and economic conditions. These estimates are subjective, involve uncertainties, and cannot be determined with precision. Loans Held for Sale Residential mortgage loans held for sale are recorded at the lower of cost or fair value and are therefore measured at fair value on a non-recurring basis. When available, the Company uses observable secondary market data, including pricing on recent closed market transactions for loans with similar characteristics. Deposit Liabilities The fair value of deposits with no stated maturity, such as savings, checking and money market accounts, is equal to the amount payable on demand. The fair value of certificates of deposit is based on the discounted value of contractual cash flows. The discount rate is estimated using rates for currently offered deposits of similar remaining maturities. Borrowings The fair value of borrowings are based on securities dealers’ estimated fair values, when available, or estimated using discounted cash flow analysis. The discount rates used approximate the rates offered for similar borrowings of similar remaining terms. Commitments to Extend Credit The fair value of commitments to extend credit is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For commitments to originate fixed rate loans, fair value also considers the difference between current levels of interest rates and the committed rates. Due to the short-term nature of our outstanding commitments, the fair values of these commitments are immaterial to our financial condition. The carrying values and estimated fair values of the Company’s financial instruments are presented in the following table. December 31, 2021 Carrying Estimated Fair Value value Total Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 287,990 287,990 287,990 — — Equities 8,194 8,194 8,194 — — Debt securities available-for-sale 2,393,540 2,393,540 — 2,393,540 — Debt securities held-to-maturity, net 1,593,785 1,651,504 — 1,568,380 83,124 FHLB stock 176,480 176,480 176,480 — — Loans held for sale 809 809 — 809 — Net loans 22,342,612 22,461,134 — — 22,461,134 Derivative financial instruments 18,312 18,312 — 18,312 — Financial liabilities: Deposits, other than time deposits $ 18,729,672 18,729,672 18,729,672 — — Time deposits 2,094,966 2,091,046 — 2,091,046 — Borrowed funds 3,535,038 3,558,356 — 3,558,356 — Derivative financial instruments 9,399 9,399 — 9,399 — December 31, 2020 Carrying Estimated Fair Value value Total Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 170,432 170,432 170,432 — — Equities 36,000 36,000 36,000 — — Debt securities available-for-sale 2,758,437 2,758,437 — 2,758,437 — Debt securities held-to-maturity, net 1,247,853 1,320,872 — 1,253,566 67,306 FHLB stock 159,829 159,829 159,829 — — Loans held for sale 30,357 30,357 — 30,357 — Net loans 20,580,451 20,787,917 — — 20,787,917 Derivative financial instruments 34,577 34,577 — 34,577 — Financial liabilities: Deposits, other than time deposits $ 16,807,240 16,807,240 16,807,240 — — Time deposits 2,718,179 2,726,230 — 2,726,230 — Borrowed funds 3,295,790 3,367,491 — 3,367,491 — Derivative financial instruments 492 492 — 492 — Limitations Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no market exists for a portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on- and off-balance-sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Significant assets that are not considered financial assets include deferred tax assets, premises and equipment and bank owned life insurance. Liabilities for pension and other postretirement benefits are not considered financial liabilities. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. |
Regulatory Capital
Regulatory Capital | 12 Months Ended |
Dec. 31, 2021 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Regulatory Capital | Regulatory Capital The Bank and the Company are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank and the Company must meet specific capital guidelines that involve quantitative measures of assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. Capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Bank and the Company to maintain minimum amounts and ratios of Tier 1 leverage ratio, Common equity tier 1 risk-based, Tier 1 risk-based capital and Total risk-based capital (as defined in the regulations). In July 2013, the Federal Deposit Insurance Corporation and the other federal bank regulatory agencies issued a final rule that revised their leverage and risk-based capital requirements and the method for calculating risk-weighted assets to make them consistent with agreements that were reached by the Basel Committee on Banking Supervision and certain provisions of the Dodd-Frank Act. The Final Capital Rules also revised the quantity and quality of required minimum risk-based and leverage capital requirements, consistent with the Reform Act and the Third Basel Accord adopted by the Basel Committee on Banking Supervision, or Basel III capital standards. The Common equity tier 1 risk-based ratio and changes to the calculation of risk-weighted assets became effective for the Bank and Company on January 1, 2015. The required minimum Conservation Buffer commenced on January 1, 2016 at 0.625% and increased in annual increments to 2.5% on January 1, 2019. The rules impose restrictions on capital distributions and certain discretionary cash bonus payments if the minimum Conservation Buffer is not met. As of December 31, 2021, the Company and the Bank met the currently applicable Conservation Buffer of 2.5%. As of December 31, 2021, the most recent notification from the Federal Deposit Insurance Corporation categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank and the Company must maintain minimum Tier 1 leverage ratio, Common equity tier 1 risk-based, Tier 1 risk-based capital and Total risk-based capital as set forth in the tables. There are no conditions or events since that notification that management believes have changed the Bank and the Company’s category. The following is a summary of the Bank and the Company’s actual capital amounts and ratios as of December 31, 2021 compared to the FDIC minimum capital adequacy requirements and the FDIC requirements for classification as a well-capitalized institution. Actual Minimum Capital Requirement with Conservation Buffer To be Well Capitalized Under Prompt Corrective Action Provisions (2) Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2021 (1) Bank: Tier 1 Leverage Ratio $ 2,494,982 8.99 % $ 1,109,641 4.00 % $ 1,387,051 5.00 % Common Equity Tier 1 risk-based 2,494,982 11.31 % 1,544,162 7.00 % 1,433,864 6.50 % Tier 1 Risk-Based Capital 2,494,982 11.31 % 1,875,053 8.50 % 1,764,756 8.00 % Total Risk-Based Capital 2,739,106 12.42 % 2,316,242 10.50 % 2,205,945 10.00 % Investors Bancorp, Inc: Tier 1 Leverage Ratio $ 2,834,720 10.20 % $ 1,111,822 4.00 % n/a n/a Common Equity Tier 1 risk-based 2,834,720 12.82 % 1,547,928 7.00 % n/a n/a Tier 1 Risk-Based Capital 2,834,720 12.82 % 1,879,627 8.50 % n/a n/a Total Risk-Based Capital 3,092,372 13.98 % 2,321,892 10.50 % n/a n/a Actual Minimum Capital Requirement with Conservation Buffer To be Well Capitalized Under Prompt Corrective Action Provisions (2) Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2020 (1) Bank: Tier 1 Leverage Ratio $ 2,391,126 9.08 % $ 1,053,636 4.00 % $ 1,317,045 5.00 % Common Equity Tier 1 risk-based 2,391,126 11.72 % 1,428,527 7.00 % 1,326,489 6.50 % Tier 1 Risk-Based Capital 2,391,126 11.72 % 1,734,640 8.50 % 1,632,602 8.00 % Total Risk-Based Capital 2,646,520 12.97 % 2,142,790 10.50 % 2,040,753 10.00 % Investors Bancorp, Inc: Tier 1 Leverage Ratio $ 2,674,590 10.14 % $ 1,054,677 4.00 % n/a n/a Common Equity Tier 1 risk-based 2,674,590 13.07 % 1,432,164 7.00 % n/a n/a Tier 1 Risk-Based Capital 2,674,590 13.07 % 1,739,056 8.50 % n/a n/a Total Risk-Based Capital 2,944,128 14.39 % 2,148,246 10.50 % n/a n/a (1) For purposes of calculating Tier 1 leverage ratio, assets are based on adjusted total average assets. In calculating Tier 1 risk-based capital and Total risk-based capital, assets are based on total risk-weighted assets. (2) Prompt corrective action provisions do not apply to the bank holding company. |
Parent Company Only Financial S
Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2021 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Only Financial Statements | Parent Company Only Financial Statements The following condensed financial statements for Investors Bancorp, Inc. (parent company only) reflect the investment in its wholly-owned subsidiary, Investors Bank, using the equity method of accounting. Balance Sheets December 31, 2021 2020 (In thousands) Assets: Cash and cash equivalents $ 201,377 144,955 Equity securities 3,100 30,826 Debt securities held-to-maturity, net (estimated fair value of $20,494 and $25,203 at December 31, 2021 and 2020, respectively) 19,859 24,767 Investment in subsidiary 2,603,052 2,426,386 ESOP loan receivable 81,789 85,124 Other assets 47,995 36,661 Total Assets $ 2,957,172 2,748,719 Liabilities and Stockholders’ Equity: Total liabilities $ 18,744 38,716 Total stockholders’ equity 2,938,428 2,710,003 Total Liabilities and Stockholders’ Equity $ 2,957,172 2,748,719 Statements of Operations Year Ended December 31, 2021 2020 2019 (In thousands) Income: Interest on ESOP loan receivable $ 2,767 4,140 4,889 Dividend from subsidiary 185,000 105,000 675,000 Interest on deposit with subsidiary 1 2 2 Interest and dividends on investments 373 249 424 Gain on securities, net 256 173 — Other income 1,017 1,081 12 189,414 110,645 680,327 Expenses: Interest expense 673 741 193 Provision for credit losses (92) 51 — Other expenses 2,084 2,003 2,265 Income before income tax expense 186,749 107,850 677,869 Income tax expense 453 748 1,457 Income before undistributed earnings of subsidiary 186,296 107,102 676,412 Equity in undistributed earnings of subsidiary (dividend in excess of earnings) 127,037 114,478 (480,928) Net income $ 313,333 221,580 195,484 Other Comprehensive Income Year Ended December 31, 2021 2020 2019 (In thousands) Net income $ 313,333 221,580 195,484 Total other comprehensive income — — — Total comprehensive income $ 313,333 221,580 195,484 Statements of Cash Flows Year Ended December 31, 2021 2020 2019 (In thousands) Cash flows from operating activities: Net income $ 313,333 221,580 195,484 Adjustments to reconcile net income to net cash provided by operating activities: (Equity in undistributed earnings of subsidiary) dividend in excess of earnings (127,037) (114,478) 480,928 Provision for credit losses (92) 51 — Gain on securities transactions, net (256) (173) — (Increase) decrease in other assets (12,596) 8,811 11,362 (Decrease) increase in other liabilities (12,504) 20,011 (2,906) Net cash provided by operating activities 160,848 135,802 684,868 Cash flows from investing activities: Cash consideration paid, net of cash consideration received for acquisition — (29,535) — Purchases of equity securities (6,000) (29,620) — Purchases of debt securities held-to-maturity — — (20,000) Proceeds from sales of equity securities 33,983 — — Proceeds from calls of debt securities held-to-maturity 5,000 — — Principal collected on ESOP loan 3,335 2,024 1,737 Net cash provided by (used in) investing activities 36,318 (57,131) (18,263) Cash flows from financing activities: Loan to ESOP — — (5,000) Purchase of treasury stock (12,124) (23,920) (475,946) Exercise of stock options — — 813 Dividends paid (138,607) (119,675) (122,163) Other 9,987 — — Net cash used in financing activities (140,744) (143,595) (602,296) Net increase (decrease) in cash and cash equivalents 56,422 (64,924) 64,309 Cash and cash equivalents at beginning of year 144,955 209,879 145,570 Cash and cash equivalents at end of year $ 201,377 144,955 209,879 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following is a summary of our earnings per share calculations and reconciliation of basic to diluted earnings per share. For the Year Ended December 31, 2021 2020 2019 (Dollars in thousands, except per share data) Earnings for basic and diluted earnings per common share Earnings applicable to common stockholders $ 313,333 $ 221,580 $ 195,484 Shares Weighted-average common shares outstanding - basic 235,315,487 235,761,457 262,202,598 Effect of dilutive common stock equivalents (1) 1,120,594 77,351 317,190 Weighted-average common shares outstanding - diluted 236,436,081 235,838,808 262,519,788 Earnings per common share Basic $ 1.33 $ 0.94 $ 0.75 Diluted $ 1.33 $ 0.94 $ 0.74 (1) For the years ended December 31, 2021, 2020 and 2019, there were 150,473, 7,390,470, and 6,468,307 equity awards, respectively, that could potentially dilute basic earnings per share in the future that were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive for the periods presented. |
Comprehensive Income
Comprehensive Income | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Comprehensive Income | Comprehensive Income The components of comprehensive income, gross and net of tax, are as follows: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Gross Tax Net Gross Tax Net Gross Tax Net (Dollars in thousands) Net income $ 428,413 (115,080) 313,333 296,541 (74,961) 221,580 286,732 (91,248) 195,484 Other comprehensive (loss) income: Change in funded status of retirement obligations 2,343 (677) 1,666 (3,889) 1,094 (2,795) (5,108) 1,436 (3,672) Unrealized gains (losses) on debt securities available-for-sale (54,824) 13,068 (41,756) 36,434 (8,686) 27,748 44,934 (10,815) 34,119 Accretion of loss on debt securities reclassified to held-to-maturity from available-for-sale 140 (33) 107 266 (64) 202 777 (242) 535 Reclassification adjustment for security losses included in net income (398) 99 (299) — — — 5,690 (1,469) 4,221 Other-than-temporary impairment accretion on debt securities recorded prior to January 1, 2020 1,022 (287) 735 1,141 (321) 820 1,068 (300) 768 Net losses on derivatives 101,920 (28,650) 73,270 (65,889) 18,520 (47,369) (59,847) 16,823 (43,024) Total other comprehensive (loss) income 50,203 (16,480) 33,723 (31,937) 10,543 (21,394) (12,486) 5,433 (7,053) Total comprehensive income $ 478,616 (131,560) 347,056 264,604 (64,418) 200,186 274,246 (85,815) 188,431 The following table presents the after-tax changes in the balances of each component of accumulated other comprehensive loss for the years ended December 31, 2021 and 2020: Change in funded status of retirement obligations Accretion of loss on debt securities reclassified to held-to-maturity Unrealized gains (losses) on debt securities available-for-sale and gains included in net income Other-than-temporary impairment accretion on debt securities Unrealized losses on derivatives Total accumulated other comprehensive loss (Dollars in thousands) Balance - December 31, 2020 $ (9,485) (184) 57,204 (9,809) (77,742) (40,016) Net change 1,666 107 (42,055) 735 73,270 33,723 Balance - December 31, 2021 $ (7,819) (77) 15,149 (9,074) (4,472) (6,293) Balance - December 31, 2019 $ (6,690) (386) 29,456 (10,629) (30,373) (18,622) Net change (2,795) 202 27,748 820 (47,369) (21,394) Balance - December 31, 2020 $ (9,485) (184) 57,204 (9,809) (77,742) (40,016) The following table presents information about amounts reclassified from accumulated other comprehensive loss to the consolidated statements of income and the affected line item in the statement where net income is presented. Year Ended December 31, 2021 2020 (In thousands) Reclassification adjustment for losses included in net income Gain on securities, net $ (398) — Change in funded status of retirement obligations Adjustment of net obligation 141 (64) Amortization of net loss 673 1,198 Compensation and fringe benefits 814 1,134 Reclassification adjustment for unrealized losses on derivatives Interest expense 42,386 31,770 Debt extinguishment — 14,192 Total unrealized losses on derivatives reclassified 42,386 45,962 Total before tax 42,802 47,096 Income tax expense (11,505) (11,905) Net of tax $ 31,297 35,191 |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition The Company’s contracts with customers in the scope of Topic 606, Revenue from Contracts with Customers , are contracts for deposit accounts and contracts for non-deposit investment accounts through a third-party service provider. Both types of contracts result in non-interest income being recognized. The revenue resulting from deposit accounts, which includes fees such as insufficient funds fees, wire transfer fees and out-of-network ATM transaction fees, is included as a component of fees and service charges on the Consolidated Statements of Income. The revenue resulting from non-deposit investment accounts is included as a component of other income on the Consolidated Statements of Income. Revenue from contracts with customers included in fees and service charges and other income was as follows: For the Year Ended December 31, 2021 2020 2019 (In thousands) Revenue from contracts with customers included in: Fees and service charges $ 15,428 13,764 15,780 Other income 16,686 12,100 9,520 Total revenue from contracts with customers $ 32,114 25,864 25,300 For our contracts with customers, we satisfy our performance obligations each day as services are rendered. For our deposit account revenue, we receive payment on a daily basis as services are rendered and for our non-deposit investment account revenue, we receive payment on a monthly basis from our third-party service provider as services are rendered. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Standards Adopted in 2021 Standard Description Required date of adoption Effect on Consolidated Financial Statements Government Assistance: Disclosures by Business Entities about Government Assistance The update requires annual disclosures by public and private business entities about transactions with a government that are accounted for by applying a grant or contribution model by analogy to other accounting guidance. December 15, 2021 The amendments in ASU 2021-10 impact disclosures of transactions with a government or related entities. The update did not impact the Company’s Consolidated Financial Statements. Codification Improvements The amendments include all disclosure guidance in the Disclosure Section to reduce the potential that disclosure requirements would be missed. January 1, 2021 The amendments in ASU 2020-10 do not change current GAAP. The update did not impact the Company’s Consolidated Financial Statements. Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs The amendments in this update clarify guidance as to whether a callable debt security with multiple call dates is within the scope of paragraph 310-20-35-33. January 1, 2021 The amendments in ASU 2020-08 will be applied under a prospective approach. The adoption of this ASU did not have a material impact on the Company’s Consolidated Financial Statements. Investments-Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 (a consensus of the Emerging Issues Task Force) This update clarifies the application of the alternative provided in ASU 2016-01 to measure certain equity securities without a readily determinable fair value. The amendments in this update clarify that a company should consider observable transactions that require it to either apply or discontinue the equity method of accounting under Topic 323 for the purposes of applying the measurement alternative in accordance with Topic 321 immediately before applying or upon discontinuing the equity method. The amendments further provide clarification related to the accounting for certain forward contracts and purchased options. January 1, 2021 The amendments in ASU 2020-01 will be applied prospectively. The Company does not currently apply the measurement alternative in Topic 321 to any of its investments and the update did not have a material impact on the Company’s Consolidated Financial Statements. Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The amendments simplify the accounting for income taxes by removing certain exceptions to general principles in Topic 740 and also clarify and amend existing guidance. January 1, 2021 The Company adopted ASU 2019-12 with no material impact on its Consolidated Financial Statements. Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans. The amendments in this update modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans by removing disclosures that no longer are considered cost beneficial, clarifying the specific requirements of disclosures, and adding disclosure requirements identified as relevant. January 1, 2021 ASU 2018-14 will be applied under a retrospective approach to disclosures with regard to the Company’s employee benefit plans. The adoption of this update did not have a material impact on the Company’s Consolidated Financial Statements. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events As defined in FASB ASC 855, “ Subsequent Events ”, subsequent events are events or transactions that occur after the balance sheet date but before financial statements are issued or available to be issued. Financial statements are considered issued when they are widely distributed to stockholders and other financial statement users for general use and reliance in a form and format that complies with U.S. GAAP. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements are comprised of the accounts of Investors Bancorp, Inc. and its wholly owned subsidiary, Investors Bank and the Bank’s wholly-owned subsidiaries (collectively, the “Company”). All significant intercompany accounts and transactions have been eliminated in consolidation. Certain reclassifications have been made in the consolidated financial statements to conform with current year classifications. In the opinion of management, all the adjustments (consisting of normal and recurring adjustments) necessary for the fair presentation of the consolidated financial condition and the consolidated results of operations for the periods presented have been included. The results of operations and other data presented are not necessarily indicative of the results of operations that may be expected for subsequent years. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Several accounting estimates are particularly significant and are susceptible to near-term change, including the allowance for credit losses, valuation of deferred tax assets, impairment judgments and fair value regarding securities, stock-based compensation and derivative instruments. These accounting estimates, which are included in the discussion below, involve a higher degree of complexity and subjectivity and require estimate and assumptions about highly uncertain matters. |
Adoption of New Accounting Standards | Adoption of New Accounting Standards On January 1, 2020, the Company adopted ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”, which replaced the previous incurred loss methodology, which encompassed allowance for current known and inherent losses within the portfolio, with an expected loss methodology, which encompasses allowance for losses expected to be incurred over the life of the portfolio, referred to as the current expected credit loss (“CECL”) methodology. The CECL model requires the measurement of all expected credit losses for financial assets measured at amortized cost and certain off-balance-sheet credit exposures based on historical experience, current conditions, and reasonable and supportable forecasts. The Company adopted ASU 2016-13 using a modified retrospective approach. Results for reporting periods beginning after January 1, 2020 are presented under Topic 326, while prior period amounts continue to be reported in accordance with previously applicable GAAP. At adoption, the Company increased its allowance for credit losses by $11.7 million, comprised of $12.7 million and $2.6 million, respectively, for unfunded commitments and held-to-maturity debt securities, partially offset by a decrease of $3.6 million for loans. Upon adoption the Company recorded a cumulative effect adjustment that reduced stockholders’ equity by $8.5 million net of an increase to deferred tax assets of $3.2 million. In connection with the adoption of ASC 326, the Company revised certain accounting policies and implemented certain accounting policy elections. Standards Adopted in 2021 Standard Description Required date of adoption Effect on Consolidated Financial Statements Government Assistance: Disclosures by Business Entities about Government Assistance The update requires annual disclosures by public and private business entities about transactions with a government that are accounted for by applying a grant or contribution model by analogy to other accounting guidance. December 15, 2021 The amendments in ASU 2021-10 impact disclosures of transactions with a government or related entities. The update did not impact the Company’s Consolidated Financial Statements. Codification Improvements The amendments include all disclosure guidance in the Disclosure Section to reduce the potential that disclosure requirements would be missed. January 1, 2021 The amendments in ASU 2020-10 do not change current GAAP. The update did not impact the Company’s Consolidated Financial Statements. Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs The amendments in this update clarify guidance as to whether a callable debt security with multiple call dates is within the scope of paragraph 310-20-35-33. January 1, 2021 The amendments in ASU 2020-08 will be applied under a prospective approach. The adoption of this ASU did not have a material impact on the Company’s Consolidated Financial Statements. Investments-Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 (a consensus of the Emerging Issues Task Force) This update clarifies the application of the alternative provided in ASU 2016-01 to measure certain equity securities without a readily determinable fair value. The amendments in this update clarify that a company should consider observable transactions that require it to either apply or discontinue the equity method of accounting under Topic 323 for the purposes of applying the measurement alternative in accordance with Topic 321 immediately before applying or upon discontinuing the equity method. The amendments further provide clarification related to the accounting for certain forward contracts and purchased options. January 1, 2021 The amendments in ASU 2020-01 will be applied prospectively. The Company does not currently apply the measurement alternative in Topic 321 to any of its investments and the update did not have a material impact on the Company’s Consolidated Financial Statements. Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The amendments simplify the accounting for income taxes by removing certain exceptions to general principles in Topic 740 and also clarify and amend existing guidance. January 1, 2021 The Company adopted ASU 2019-12 with no material impact on its Consolidated Financial Statements. Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans. The amendments in this update modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans by removing disclosures that no longer are considered cost beneficial, clarifying the specific requirements of disclosures, and adding disclosure requirements identified as relevant. January 1, 2021 ASU 2018-14 will be applied under a retrospective approach to disclosures with regard to the Company’s employee benefit plans. The adoption of this update did not have a material impact on the Company’s Consolidated Financial Statements. |
Cash Equivalents | Cash Equivalents Cash equivalents consist of cash on hand, amounts due from banks and interest-bearing deposits in other financial institutions. Cash equivalents may also consist of short-term U.S. Treasury securities with original maturities of three months or less. Effective March 26, 2020, the Federal Reserve Board reduced reserve requirement ratios to zero, effectively eliminating the requirements, due to a change in its approach to monetary policy. The Federal Reserve Board indicated that it has no plans to re-impose reserve requirements but could in the future if conditions warrant. |
Securities | Securities The Company’s securities portfolio includes equity securities, debt securities held-to-maturity and debt securities available-for-sale. Management determines the appropriate classification of securities at the time of purchase. If management has the positive intent not to sell and the Company would not be required to sell a debt security prior to maturity, it is classified as held-to-maturity. Such securities are stated at amortized cost, adjusted for unamortized purchase premiums and discounts and an allowance for credit losses. Securities in the available-for-sale category are securities which the Company may sell prior to maturity. Available-for-sale securities are reported at fair value with any unrealized appreciation or depreciation, net of tax effects, reported as accumulated other comprehensive income/loss in stockholders’ equity. Discounts and premiums on debt securities are accreted or amortized using the level-yield method over the estimated lives of the securities, including the effect of prepayments. Realized gains and losses are recognized when securities are sold or called using the specific identification method. Unrealized gains and losses on equity securities are recognized in the Consolidated Statements of Income. |
Loans Receivable, Net | Loans Receivable, Net Loans receivable, other than loans held-for-sale, are stated at unpaid principal balance, adjusted for unamortized premiums, unearned discounts, deferred origination fees and costs, net purchase accounting adjustments, hedged items and the allowance for loan losses. Interest income on loans is accrued and credited to income as earned. Premiums and discounts on purchased loans and net loan origination fees and costs are deferred and amortized to interest income over the estimated life of the loan as an adjustment to yield. Also included in loans receivable are direct finance leases which are stated as the sum of remaining minimum lease payments from lessees plus estimated residual values less unearned lease income. At the inception of each lease, the Company records a residual value for the leased equipment based on its estimate of the future value of the equipment at the end of the lease term or end of the equipment’s estimated useful life. On at least an annual basis, the Company reviews the lease residuals for potential impairment. A loan is considered delinquent when we have not received a payment within 30 days of its contractual due date. The accrual of income on loans is discontinued when required interest or principal payments are 90 days in arrears or when the timely collection of such income is doubtful. Loans on which the accrual of income has been discontinued are designated as non-accrual loans and outstanding interest previously credited is reversed. Interest income on non-accrual loans and impaired loans is recognized in the period collected unless the ultimate collection of principal is considered doubtful. A loan is returned to accrual status when all amounts due have been received and the remaining principal is deemed collectible. Loans are generally charged off after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Troubled Debt Restructuring . On a case-by-case basis, the Company may agree to modify the contractual terms of a borrower’s loan to remain competitive and assist customers who may be experiencing financial difficulty, as well as preserve the Company’s position in the loan. If the borrower is experiencing financial difficulties and a concession has been made at the time of such modification, the loan is classified as a TDR. Substantially all of our TDR loan modifications involve lowering the monthly payments on such loans through either a reduction in interest rate below a market rate, an extension of the term of the loan, or a combination of these two methods. These modifications rarely result in the forgiveness of principal or accrued interest. In addition, we frequently obtain additional collateral or guarantor support when modifying commercial loans. Restructured loans remain on non-accrual status until there has been a sustained period of repayment performance (generally six consecutive months of payments) and both principal and interest are deemed collectible. |
Allowance For Credit Loss | At December 31, 2021, loans with an aggregate outstanding balance of approximately $279.0 million were in COVID-19 related payment deferment and qualified for exemption from TDR classification. Allowance for Credit Losses The allowance for credit losses represents the estimated amount considered necessary to cover lifetime expected credit losses inherent in financial assets at the balance sheet date. The measurement of expected credit losses is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures such as loan commitments and unused lines of credit. The allowance is established through the provision for credit losses that is charged against income. The methodology for determining the allowance for credit losses is considered a critical accounting policy by management because of the high degree of judgment involved, the subjectivity of the assumptions used, and the potential for changes in the forecasted economic environment that could result in changes to the amount of the recorded allowance for credit losses. The allowance for loan and security losses is reported separately as contra-assets to loans and securities on the consolidated balance sheet. The expected credit loss for unfunded lending commitments and unfunded loan commitments is reported on the consolidated balance sheet in other liabilities. The provision for credit losses related to loans, unfunded commitments and debt securities is reported on the consolidated statement of income. Prior to the adoption of ASU 2016-13, the allowance for credit losses on loans was a contra-asset valuation account established through a provision for loan losses charged to expense, which represented management’s best estimate of inherent losses that had been incurred within the existing portfolio of loans. The allowance for credit losses on loans included allowance allocations calculated in accordance with ASC Topic 310, “Receivables” and allowance allocations calculated in accordance with ASC Topic 450, “Contingencies.” Prior to January 1, 2020, under previous other-than-temporary impairment guidance, the Company conducted a quarterly review and evaluation of the securities portfolio to determine if the value of any security had declined below its cost or amortized cost, and whether such decline was other-than-temporary. If a determination was made that a debt security was other-than-temporarily impaired, the Company would estimate the amount of the unrealized loss that was attributable to credit and all other non-credit related factors. The credit related component would be recognized as an other-than-temporary impairment charge in non-interest income. The non-credit related component would be recorded as an adjustment to accumulated other comprehensive income (loss), net of tax. Allowance for Credit Losses on Loans Receivable Collectively evaluated . The allowance for credit losses on loans is deducted from the amortized cost basis of the loan to present the net amount expected to be collected. Expected losses are evaluated and calculated on a collective basis for those loans which share similar risk characteristics. At each reporting period, the Company evaluates whether the loans in a pool continue to exhibit similar risk characteristics as the other loans in the pool. If the risk characteristics of a loan change, such that they are no longer similar to other loans in the pool, the Company will evaluate the loan with a different pool of loans that share similar risk characteristics. If the loan does not share risk characteristics with other loans, the Company will evaluate the allowance on an individual basis. The Company evaluates the segmentation at least annually to determine whether loans continue to share similar risk characteristics. Loans are charged off against the allowance when the Company believes the loan balances become uncollectible. Expected recoveries do not exceed the aggregate of amounts previously charged off or expected to be charged off. The Company has chosen to segment its portfolio consistent with the manner in which it manages the risk of the type of credit. The Company’s segments for loans include multi-family, commercial real estate, commercial and industrial, construction, residential and consumer. The Company calculates estimated credit loss on its loan portfolio primarily using quantitative methodologies that consider a variety of factors such as historical loss experience, loan characteristics, the current credit quality of the portfolio as well as an economic outlook over the life of the loan. The expected credit losses are the product of multiplying the Company’s estimates of probability of default (PD), loss given default (LGD) and individual loan level exposure at default on an undiscounted basis. For a small portion of the loan portfolio, i.e. unsecured consumer loans, small business loans and loans to individuals, the Company utilizes a loss rate method to calculate the expected credit loss of that asset segment. Included in the Company’s framework for estimating credit losses, the Company incorporates forward-looking information through the use of macroeconomic scenarios applied over a two-year reasonable and supportable forecast period, after which, the Company reverts to average historical losses on a straight line basis over a two-year period. These macroeconomic scenarios include variables that have historically been key drivers of increases and decreases in credit losses and include, but are not limited to, unemployment rates, real estate prices, gross domestic product levels, corporate bond spreads and long-term interest rate forecasts. The Company evaluates the use of multiple economic scenarios and the weighting of those scenarios on a quarterly basis. The scenarios that are chosen and the amount of weighting given to each scenario consider a variety of factors including third party economists and firms, industry trends and other available published economic information. Expected credit losses are estimated over the contractual term of each loan taking into consideration expected prepayments which are developed using industry standard estimation techniques. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a troubled debt restructuring will be executed with an individual borrower or the extension or renewal options are included in the original or modified contract at the reporting date and are not unconditionally cancelable by the Company. Also included in the allowance for loans are qualitative reserves to cover losses that are expected but, in the Company’s assessment, may not be adequately represented in the quantitative method or the economic assumptions described above. For example, factors that the Company considers include changes in lending policies and procedures, business conditions, the nature and size of the portfolio, portfolio concentrations, the volume and severity of past due loans and non-accrual loans, the effect of external factors such as competition, and the legal and regulatory requirements, among others. Individually evaluated . On a case-by-case basis, the Company may conclude a loan should be evaluated on an individual basis based on its disparate risk characteristics. The Company individually evaluates loans that meet the following criteria for expected credit loss, as the Company has determined that these loans generally do not share similar risk characteristics with other loans in the portfolio: • Commercial loans with an outstanding balance greater than $1.0 million and on non-accrual status; • Troubled debt restructured loans; and • Other commercial loans with greater than $1.0 million in outstanding principal, if management has specific information that it is probable they will not collect all principal amounts due under the contractual terms of the loan agreement. When the Company determines that the loan no longer shares similar risk characteristics of other loans in the portfolio, the allowance will be determined on an individual basis using the present value of expected cash flows or, for collateral-dependent loans, the fair value of the collateral as of the reporting date, less estimated selling costs, as applicable, to ensure that the credit loss is not delayed until actual loss. If the fair value of the collateral is less than the amortized cost basis of the loan, the Company will charge off the difference between the fair value of the collateral, less costs to sell at the reporting date and the amortized cost basis of the loan. In determining the fair value for collateral-dependent loans, the Company reviews whether there has been an adverse change in the collateral value supporting the loan. As a substantial amount of the Company’s loan portfolio is collateralized by real estate, appraisals of the underlying value of property are used. The Company utilizes information from its commercial lending officers and its credit department and special assets department’s knowledge of changes in real estate conditions to identify if possible deterioration has occurred. Based on the severity of the changes in market conditions, management determines if an updated appraisal is warranted or if downward adjustments to the previous appraisal are warranted. For residential mortgage loans, the Company’s policy is to obtain an appraisal upon the origination of the loan and an updated appraisal in the event a loan becomes 90 days delinquent. Thereafter, the appraisal is updated every two years if the loan remains in non-performing status and the foreclosure process has not been completed. Management adjusts the appraised value of residential loans to reflect estimated selling costs and declines in the real estate market. Management believes the potential risk for outdated appraisals has been mitigated due to the fact that the loans are individually assessed to determine that the loan’s carrying value is not in excess of the fair value of the collateral. Loans are generally charged off after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Acquired assets. Subsequent to the adoption of CECL, acquired assets are included in the Company's calculation of the allowance for credit losses. How the allowance on an acquired asset is recorded depends on whether it has been classified as a Purchased Financial Asset with Credit Deterioration (“PCD”). PCD assets are assets acquired at a discount that is due, in part, to credit quality. PCD assets are accounted for in accordance with ASC Subtopic 326-20 and are initially recorded at fair value as determined by the sum of the present value of expected future cash flows and an allowance for credit losses at acquisition. The allowance for PCD assets is recorded through a gross-up effect, while the allowance for acquired non-PCD assets such as loans is recorded through provision expense, consistent with originated loans. Thus, the determination of which assets are PCD and non-PCD can have a significant effect on the accounting for these assets. Subsequent to acquisition, the allowance for PCD loans will generally follow the same estimation, provision and charge-off process as non-PCD acquired and originated loans. Additionally, TDR identification for acquired loans (PCD and non-PCD) will be consistent with the TDR identification for originated loans. Allowance for Credit Losses on Debt Securities Management measures expected credit losses on held-to-maturity debt securities on a collective basis by major security type. Management classifies the held-to-maturity portfolio into the following major security types: mortgage-backed securities, municipal and corporate bonds, trust preferred securities (“TruPS”) and other. Nearly all of the mortgage-backed securities in the Company's portfolio are issued by U.S. government agencies and are either explicitly or implicitly guaranteed by the U.S government, are highly rated by major rating agencies and have a long history of no credit losses and therefore the expectation of non-payment is zero. At each reporting period, the Company evaluates whether the securities in a segment continue to exhibit similar risk characteristics as the other securities in the segment. If the risk characteristics of a security change, such that they are no longer similar to other securities in the segment, the Company will evaluate the security with a different segment that shares more similar risk characteristics. In estimating the net amount expected to be collected for mortgage-backed securities and municipal and corporate bonds, a range of historical losses method is utilized. In estimating the net amount expected to be collected for TruPS, the Company employs a single scenario forecast methodology. The scenario is informed by historical industry default data as well as current and near term operating conditions for the banks and other financial institutions that are the underlying issuers. In addition, expected prepayments are included in the analysis of the individually assessed TruPS applied at the collateral level. Allowance for Credit Losses on Off-Balance Sheet Credit Exposures The Company is required to include the unfunded commitment that is expected to be funded in the future within the allowance calculation. The Company participates in lending that results in an off-balance sheet unfunded commitment balance. The Company currently underwrites funding commitments with conditionally cancelable language. To determine the expected funding balance remaining, the Company uses a historical utilization rate for each of the segments to calculate the expected commitment balance. The reserve percentage for each respective loan portfolio is applied to the remaining unused portion of the expected commitment balance and the expected funded commitment in determining the allowance for credit loss on off-balance sheet credit exposures. |
Loans Held-for-Sale | Loans Held-for-Sale Loans held-for-sale are carried at the lower of cost or estimated fair value. Net unrealized losses, if any, are recognized in a valuation allowance through charges to earnings. Premiums and discounts and origination fees and costs on loans held-for-sale are deferred and recognized as a component of the gain or loss on sale. Gains and losses on sales of loans held-for-sale are recognized on settlement dates and are determined by the difference between the sale proceeds and the carrying value of the loans. These transactions are accounted for as sales based on our satisfaction of the criteria for such accounting which provide that, as transferor, we have surrendered control over the loans. |
Stock in Federal Home Loan Bank | Stock in the Federal Home Loan Bank The Bank, as a member of the Federal Home Loan Bank of New York (“FHLB”), is required to hold shares of capital stock of the FHLB based on our activities, primarily our outstanding borrowings, with the FHLB. The stock is carried at cost, less any impairment. |
Office Properties and Equipment, Net | Office Properties and Equipment, Net Land is carried at cost. Office buildings, leasehold improvements and furniture, fixtures and equipment are carried at cost, less accumulated depreciation and amortization. Office buildings and furniture, fixtures and equipment are depreciated using the straight-line method over the estimated useful lives of the respective assets. Leasehold improvements are amortized using the straight-line method over the terms of the respective leases or the lives of the assets, whichever is shorter. |
Right-of-Use Assets | Right-of-Use Assets The determination of the presence of a lease in a contract is performed at the inception date. At the lease commencement date, the Company recognizes a right-of-use asset and a related lease liability for leases with an original term longer than twelve months. Right-of-use assets represent the Corporation’s right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease initially measured at the present value of future lease payments. The Company has operating leases for corporate offices, branch locations and certain equipment. Operating leases are capitalized at commencement and are discounted using the rate implicit in the lease unless that amount cannot be readily determined, in which case the Company is required to use its FHLB borrowing rate, which reflects the rates a lender would charge the Company to obtain a collateralized loan. |
Bank Owned Life Insurance | Bank Owned Life Insurance Bank owned life insurance is carried at the amount that could be realized under the Company’s life insurance contracts as of the date of the Consolidated Balance Sheets and is classified as a non-interest earning asset. Increases in the carrying value are recorded as non-interest income in the Consolidated Statements of Income and insurance proceeds received are generally recorded as a reduction of the carrying value. |
Intangible Assets | Intangible Assets Goodwill. Goodwill is presumed to have an indefinite useful life and is tested, at least annually, for impairment at the reporting unit level. Impairment exists when the carrying amount of goodwill exceeds its implied fair value. For purposes of our goodwill impairment testing, we have identified the Bank as a single reporting unit. At December 31, 2021, the carrying amount of our goodwill totaled $116.2 million. In connection with our annual impairment assessment we performed a qualitative assessment of goodwill to determine whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount. For the year ended December 31, 2021, the Company’s qualitative assessment concluded that it was not more likely than not that the fair value of the reporting unit is less than its carrying amount. Mortgage Servicing Rights . The Company recognizes as separate assets the rights to service mortgage loans. The right to service loans for others is generally obtained through the sale of loans with servicing retained. The initial asset recognized for originated mortgage servicing rights (“MSR”) is measured at fair value. The estimated fair value of MSR is obtained through independent third party valuations through an analysis of future cash flows, incorporating assumptions market participants would use in determining fair value including market discount rates, prepayment speeds, servicing income, servicing costs, default rates and other market driven data, including the market’s perception of future interest rate movements. MSR are amortized in proportion to and over the period of estimated net servicing income. We apply the amortization method for measurements of our MSR. MSR are assessed for impairment based on fair value at each reporting date. MSR impairment, if any, is recognized in a valuation allowance through charges to earnings as a component of fees and service charges. Subsequent increases in the fair value of impaired MSR are recognized only up to the amount of the previously recognized valuation allowance. Fees earned for servicing loans are reported as income when the related mortgage loan payments are collected. Core Deposit Premiums |
Other Real Estate Owned | Other Real Estate Owned and Other Repossessed Assets Properties and other assets acquired through foreclosure, deed in lieu of foreclosure or repossession are carried at estimated fair value, less estimated selling costs. The estimated fair value of real estate property and other repossessed assets is generally based on independent appraisals. When an asset is acquired, the excess of the loan balance over fair value, less estimated selling costs, is charged to the allowance for credit losses. Thereafter, decreases in the property’s estimated fair value are charged to income along with any additional property maintenance and protection expenses incurred in owning the property. |
Federal Home Loan Bank Borrowings | Borrowed Funds Our FHLB borrowings are advances collateralized by our residential and commercial mortgage portfolios. |
Borrowed Funds | The Bank also enters into sales of securities under agreements to repurchase with selected brokers and the FHLB. The securities underlying the agreements are delivered to the counterparty who agrees to resell to the Bank the identical securities at the maturity or call of the agreement. These agreements are recorded as financing transactions, as the Bank maintains effective control over the transferred securities, and no gain or loss is recognized. The dollar amount of the securities underlying the agreements continues to be carried in the Bank’s securities portfolio. The obligations to repurchase the securities are reported as a liability in the consolidated balance sheets. |
Income Taxes | Income Taxes The Company records income taxes in accordance with ASC 740, “ Income Taxes ,” as amended, using the asset and liability method. Accordingly, deferred tax assets and liabilities: (i) are recognized for the expected future tax consequences of events that have been recognized in the financial statements or tax returns; (ii) are attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases; and (iii) are measured using enacted tax rates expected to apply in the years when those temporary differences are expected to be recovered or settled. The |
Share-based Compensation | Share Based Compensation The Company maintains an equity incentive plan under which restricted stock and stock options may be granted to employees and directors. The Company recognizes the cost of employee services received in exchange for awards of equity instruments based on the grant-date fair value of those awards in accordance with ASC 718, “ Compensation-Stock Compensation ”. The Company estimates the per share fair value of option grants on the date of grant using the Black-Scholes option pricing model using assumptions for the expected dividend yield, expected stock price volatility, risk-free interest rate and expected option term. These assumptions are subjective in nature, involve uncertainties and, therefore, cannot be determined with precision. The Black-Scholes option pricing model also contains certain inherent limitations when applied to options that are not traded on public markets. The per share fair value of options is highly sensitive to changes in assumptions. In general, the per share fair value of options will move in the same direction as changes in the expected stock price volatility, risk-free interest rate and expected option term, and in the opposite direction as changes in the expected dividend yield. For example, the per share fair value of options will generally increase as expected stock price volatility increases, risk-free interest rate increases, expected option term increases and expected dividend yield decreases. The use of different assumptions or different option pricing models could result in materially different per share fair values of options. |
Earnings Per Share | Earnings Per Share Basic earnings per common share, or EPS, are computed by dividing net income by the weighted-average common shares outstanding during the year. The weighted-average common shares outstanding includes the weighted-average number of shares of common stock outstanding less the weighted average number of unvested shares of restricted stock and unallocated shares held by the ESOP. For EPS calculations, ESOP shares that have been committed to be released are considered outstanding. ESOP shares that have not been committed to be released are excluded from outstanding shares on a weighted average basis for EPS calculations. Diluted EPS is computed using the same method as basic EPS, but includes the effect of all potentially dilutive common shares that were outstanding during the period, such as unexercised stock options and unvested shares of restricted stock, calculated using the treasury stock method. When applying the treasury stock method, we add: (1) the assumed proceeds from option exercises and (2) the average unamortized compensation costs related to unvested shares of restricted stock and stock options. We then divide this sum by our average stock price to calculate shares repurchased. The excess of the number of shares issuable over the number of shares assumed to be repurchased is added to basic weighted average common shares to calculate diluted EPS. |
Derivative Financial Instruments | Derivative Financial Instruments As required by ASC 815, the Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risks, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Summarizes the estimated fair values of the assets acquired and liabilities | The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition for Gold Coast, net of cash consideration paid: At April 3, 2020 (In millions) Cash and cash equivalents $ 7.3 Debt securities available-for-sale 51.5 Debt securities held to maturity 8.4 Loans receivable, net 443.5 Accrued interest receivable 1.3 Right-of-use assets 3.7 Net deferred tax asset 3.9 Intangible assets 14.5 Other assets 1.2 Total assets acquired 535.3 Deposits 489.9 Borrowed funds 14.9 Other liabilities 9.7 Total liabilities assumed 514.5 Net assets acquired $ 20.8 |
Summary of purchased loans for credit quality carrying amount | In its acquisition of the eight branches of Berkshire Bank, the Company has purchased loans which have been determined to be PCD. The carrying amount of those loans was as follows: At August 27, 2021 (In millions) Purchase price of loans at acquisition $ 90.0 Allowance for credit losses at acquisition 1.0 Accretable fair value marks at acquisition 3.8 Par value of acquired loans at acquisition $ 94.8 In its acquisition of Gold Coast, the Company has purchased loans which have been determined to be PCD. The carrying amount of those loans was as follows: At April 3, 2020 (In millions) Purchase price of loans at acquisition $ 244.7 Allowance for credit losses at acquisition 4.2 Accretable fair value marks at acquisition 2.6 Par value of acquired loans at acquisition $ 251.5 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of disaggregated net gains and losses on equity securities | The following table presents the disaggregated net gains and losses on equity securities reported in the Consolidated Statements of Income: For the Year Ended December 31, 2021 2020 2019 (In thousands) Unrealized gains recognized on equity securities $ 356 256 150 Net losses recognized on equity securities sold (248) — — Net gains recognized on equity securities $ 108 256 150 |
Summary of securities | The following tables present the amortized cost, gross unrealized gains and losses, and estimated fair value for available-for-sale debt securities and the amortized cost, net unrealized losses, carrying value, gross unrecognized gains and losses, estimated fair value and allowance for credit losses for held-to-maturity debt securities as of the dates indicated. At December 31, 2021 Amortized cost Gross Gross Estimated (In thousands) Available-for-sale: Debt securities: Government-sponsored enterprises $ 3,434 152 — 3,586 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 1,242,073 13,979 6,009 1,250,043 Federal National Mortgage Association 1,022,851 18,076 6,591 1,034,336 Government National Mortgage Association 105,289 1,161 875 105,575 Total mortgage-backed securities available-for-sale 2,370,213 33,216 13,475 2,389,954 Total debt securities available-for-sale $ 2,373,647 33,368 13,475 2,393,540 At December 31, 2021 Amortized cost Net unrealized losses (1) Carrying value Gross unrecognized gains (2) Gross unrecognized losses (2) Estimated (In thousands) Held-to-maturity: Debt securities: Government-sponsored enterprises $ 133,128 — 133,128 2,254 3,326 132,056 Municipal bonds 214,298 — 214,298 12,906 260 226,944 Corporate and other debt securities 140,795 12,621 128,174 36,035 279 163,930 Total debt securities held-to-maturity 488,221 12,621 475,600 51,195 3,865 522,930 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 478,684 30 478,654 4,158 5,069 477,743 Federal National Mortgage Association 620,026 72 619,954 11,519 2,694 628,779 Government National Mortgage Association 21,444 — 21,444 608 — 22,052 Total mortgage-backed securities held-to-maturity 1,120,154 102 1,120,052 16,285 7,763 1,128,574 Total debt securities held-to-maturity $ 1,608,375 12,723 1,595,652 67,480 11,628 1,651,504 Allowance for credit losses 1,867 Total debt securities held-to-maturity, net of allowance for credit losses 1,593,785 (1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary impairment related to other non-credit factors recorded prior to the adoption of the current expected credit losses accounting standard on January 1, 2020 that is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale debt securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity debt securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other than temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet. Effective January 1, 2020, held-to-maturity debt securities are evaluated for credit losses to determine if an allowance is necessary. Any allowance required is recorded through the provision for credit losses. At December 31, 2020 Amortized cost Gross Gross Estimated (In thousands) Available-for-sale: Debt securities: Government-sponsored enterprises $ 4,260 222 — 4,482 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 1,286,195 30,930 73 1,317,052 Federal National Mortgage Association 1,167,057 38,568 199 1,205,426 Government National Mortgage Association 225,810 5,700 33 231,477 Total mortgage-backed securities available-for-sale 2,679,062 75,198 305 2,753,955 Total debt securities available-for-sale $ 2,683,322 75,420 305 2,758,437 At December 31, 2020 Amortized cost Net unrealized losses (1) Carrying value Gross unrecognized gains (2) Gross unrecognized losses (2) Estimated (In thousands) Held-to-maturity: Debt securities: Government-sponsored enterprises $ 109,016 — 109,016 4,107 709 112,414 Municipal bonds 246,601 — 246,601 14,990 — 261,591 Corporate and other debt securities 144,209 13,644 130,565 20,033 885 149,713 Total debt securities held-to-maturity 499,826 13,644 486,182 39,130 1,594 523,718 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 308,285 66 308,219 9,733 266 317,686 Federal National Mortgage Association 413,601 175 413,426 20,905 — 434,331 Government National Mortgage Association 43,290 — 43,290 1,847 — 45,137 Total mortgage-backed securities held-to-maturity 765,176 241 764,935 32,485 266 797,154 Total debt securities held-to-maturity $ 1,265,002 13,885 1,251,117 71,615 1,860 1,320,872 Allowance for credit losses 3,264 Total debt securities held-to-maturity, net of allowance for credit losses 1,247,853 (1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary impairment related to other non-credit factors recorded prior to the adoption of the current expected credit losses accounting standard on January 1, 2020 that is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale debt securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity debt securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other-than-temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet. Effective January 1, 2020, held-to-maturity debt securities are evaluated for credit losses to determine if an allowance is necessary. Any allowance required is recorded through the provision for credit losses. |
Summary of gross unrealized losses on debt securities and the estimated fair value of the related securities, aggregated by investment category | Gross unrealized losses on debt securities and the estimated fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2021 and December 31, 2020, were as follows: December 31, 2021 Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized (In thousands) Available-for-sale: Mortgage-backed securities: Federal Home Loan Mortgage Corporation $ 413,182 5,409 18,017 600 431,199 6,009 Federal National Mortgage Association 315,762 5,721 119,547 870 435,309 6,591 Government National Mortgage Association 20,713 477 7,714 398 28,427 875 Total debt securities available-for-sale 749,657 11,607 145,278 1,868 894,935 13,475 Held-to-maturity: Debt securities: Government-sponsored enterprises 62,529 2,074 26,068 1,252 88,597 3,326 Municipal bonds 16,623 260 — — 16,623 260 Corporate and other debt securities 6,746 279 — — 6,746 279 Total debt securities held-to-maturity 85,898 2,613 26,068 1,252 111,966 3,865 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 286,238 4,327 11,287 742 297,525 5,069 Federal National Mortgage Association 319,015 2,694 — — 319,015 2,694 Total mortgage-backed securities held-to-maturity 605,253 7,021 11,287 742 616,540 7,763 Total debt securities held-to-maturity 691,151 9,634 37,355 1,994 728,506 11,628 Total $ 1,440,808 21,241 182,633 3,862 1,623,441 25,103 December 31, 2020 Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized (In thousands) Available-for-sale: Mortgage-backed securities: Federal Home Loan Mortgage Corporation $ 60,502 73 — — 60,502 73 Federal National Mortgage Association 123,329 199 — — 123,329 199 Government National Mortgage Association 9,062 33 — — 9,062 33 Total debt securities available-for-sale 192,893 305 — — 192,893 305 Held-to-maturity: Debt securities: Government-sponsored enterprises 66,558 709 — — 66,558 709 Corporate and other debt securities 15,038 885 — — 15,038 885 Total debt securities held-to-maturity 81,596 1,594 — — 81,596 1,594 Mortgage-backed securities: Federal Home Loan Mortgage Corporation 40,013 266 — — 40,013 266 Total debt securities held-to-maturity 121,609 1,860 — — 121,609 1,860 Total $ 314,502 2,165 — — 314,502 2,165 |
Schedule of investments classified by contractual maturity date | Excluding the allowance for credit losses, the amortized cost and estimated fair value of debt securities other than mortgage-backed securities at December 31, 2021, by contractual maturity, are shown below. December 31, 2021 Carrying value Estimated (In thousands) Due in one year or less $ 9,988 9,996 Due after one year through five years 20,710 21,252 Due after five years through ten years 156,798 159,392 Due after ten years 288,104 332,290 Total $ 475,600 522,930 |
Schedule of changes in credit loss component of the impairment loss of debt securities for other-than-temporary impairment recognized in earnings | The following table presents the changes in the credit loss component of the impairment loss of debt securities that the Company has written down for such loss as an other-than-temporary impairment recognized in earnings. For the Year Ended December 31, 2019 Balance of credit related OTTI, beginning of period $ 80,595 Reductions: Accretion of credit loss impairment due to an increase in expected cash flows (3,530) Reductions for securities sold or paid off during the period — Balance of credit related OTTI, end of period $ 77,065 |
Loans Receivable, Net (Tables)
Loans Receivable, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Receivables [Abstract] | |
Schedule of accounts, notes, loans and financing receivable | The detail of the loan portfolio as of December 31, 2021 and December 31, 2020 was as follows: December 31, December 31, (In thousands) Multi-family loans $ 7,865,592 7,122,840 Commercial real estate loans 5,371,758 4,947,212 Commercial and industrial loans 4,113,792 3,575,641 Construction loans 550,950 404,367 Total commercial loans 17,902,092 16,050,060 Residential mortgage loans 3,929,170 4,119,894 Consumer and other loans 766,785 702,801 Total loans 22,598,047 20,872,755 Deferred fees, premiums and accretable purchase accounting adjustments, net (14,754) (9,318) Allowance for credit losses (240,681) (282,986) Net loans $ 22,342,612 20,580,451 |
Schedule of risk category of loans by class of loans | The following table presents the risk category of loans as of December 31, 2021 by class of loan and vintage year: Term Loans by Origination Year 2021 2020 2019 2018 2017 Prior Revolving Loans Total (In thousands) Multi-family Pass $ 2,409,672 951,908 458,618 879,180 512,459 1,552,631 6,594 6,771,062 Watch 28,312 6,071 93,352 122,476 41,999 210,354 3,194 505,758 Special mention — 2,174 — 10,220 9,739 103,059 — 125,192 Substandard — 27 5,026 24,052 21,210 412,768 497 463,580 Total Multi-family 2,437,984 960,180 556,996 1,035,928 585,407 2,278,812 10,285 7,865,592 Commercial real estate Pass 1,156,647 474,555 597,068 545,065 438,298 1,239,557 19,386 4,470,576 Watch 90,490 69,595 64,470 130,374 64,212 122,454 3,757 545,352 Special mention — 375 2,169 6,947 2,772 129,211 2,096 143,570 Substandard — — — 26,307 14,231 171,722 — 212,260 Total Commercial real estate 1,247,137 544,525 663,707 708,693 519,513 1,662,944 25,239 5,371,758 Commercial and industrial Pass 969,153 694,011 438,288 379,330 130,795 317,961 577,632 3,507,170 Watch 22,951 56,381 56,292 8,292 10,729 23,966 60,202 238,813 Special mention — 15,104 135,591 47,263 10,372 65,438 1,465 275,233 Substandard — 3,719 4,945 4,717 49,191 25,398 4,606 92,576 Total Commercial and industrial 992,104 769,215 635,116 439,602 201,087 432,763 643,905 4,113,792 Construction Pass 101,463 138,719 29,113 — — — 222,253 491,548 Watch 1,727 — 3,327 — — — — 5,054 Special mention — — — — — — 30,973 30,973 Substandard — — — 23,375 — — — 23,375 Total Construction 103,190 138,719 32,440 23,375 — — 253,226 550,950 Residential mortgage Pass 1,256,451 494,796 257,048 241,621 303,567 1,313,943 — 3,867,426 Watch — — 756 3,398 4,795 9,366 — 18,315 Special mention — — — 155 — 1,579 — 1,734 Substandard — — 1,641 1,497 427 38,042 88 41,695 Total residential mortgage 1,256,451 494,796 259,445 246,671 308,789 1,362,930 88 3,929,170 Consumer and other Pass 9,508 5,402 3,932 4,383 9,333 41,860 686,852 761,270 Watch — — — — 328 570 3,132 4,030 Special mention — — 36 7 — 146 12 201 Substandard — — — — 68 854 362 1,284 Total Consumer and other 9,508 5,402 3,968 4,390 9,729 43,430 690,358 766,785 All classes Pass 5,902,894 2,759,391 1,784,067 2,049,579 1,394,452 4,465,952 1,512,717 19,869,052 Watch 143,480 132,047 218,197 264,540 122,063 366,710 70,285 1,317,322 Special mention — 17,653 137,796 64,592 22,883 299,433 34,546 576,903 Substandard — 3,746 11,612 79,948 85,127 648,784 5,553 834,770 Total loans $ 6,046,374 2,912,837 2,151,672 2,458,659 1,624,525 5,780,879 1,623,101 22,598,047 The following table presents the risk category of loans as of December 31, 2020 by class of loan and vintage year: Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total (In thousands) Multi-family Pass 1,002,259 515,446 912,910 601,440 850,781 1,199,133 6,986 5,088,955 Watch 21,366 153,404 374,363 135,348 299,413 220,668 — 1,204,562 Special mention 4,560 — 86,119 32,506 48,020 205,916 — 377,121 Substandard — 7,285 8,436 17,580 139,975 277,535 1,391 452,202 Total Multi-family 1,028,185 676,135 1,381,828 786,874 1,338,189 1,903,252 8,377 7,122,840 Commercial real estate Pass 529,244 684,807 646,708 461,097 495,822 1,081,512 32,509 3,931,699 Watch 87,137 132,932 117,598 74,379 61,794 165,702 3,428 642,970 Special mention 375 6,988 5,279 13,295 51,880 71,745 250 149,812 Substandard — — 8,212 40,024 29,488 144,758 249 222,731 Total Commercial real estate 616,756 824,727 777,797 588,795 638,984 1,463,717 36,436 4,947,212 Commercial and industrial Pass 1,007,949 619,275 328,917 156,596 176,557 348,278 203,302 2,840,874 Watch 49,208 115,888 43,791 48,230 28,708 34,697 31,931 352,453 Special mention 16,813 111,399 48,887 14,770 14,102 76,554 798 283,323 Substandard — 6,128 8,236 42,297 4,341 22,707 15,282 98,991 Total Commercial and industrial 1,073,970 852,690 429,831 261,893 223,708 482,236 251,313 3,575,641 Construction Pass 85,915 58,041 23,375 — — — 197,437 364,768 Watch 6,891 5,350 — — — — — 12,241 Special mention — — 15,228 — — — — 15,228 Substandard — — — — — — 12,130 12,130 Total Construction 92,806 63,391 38,603 — — — 209,567 404,367 Residential mortgage Pass 556,761 450,363 425,617 530,676 407,201 1,601,457 — 3,972,075 Watch 809 12,929 13,465 14,704 8,517 44,299 — 94,723 Special mention — — 584 — — 3,402 — 3,986 Substandard — 1,523 1,972 1,336 246 43,936 97 49,110 Total residential mortgage 557,570 464,815 441,638 546,716 415,964 1,693,094 97 4,119,894 Consumer and other Pass 5,031 6,853 5,693 7,448 6,692 57,103 601,481 690,301 Watch — 39 137 56 156 440 7,655 8,483 Special mention — — — — — 292 1,184 1,476 Substandard — — — — — 1,796 745 2,541 Total Consumer and other 5,031 6,892 5,830 7,504 6,848 59,631 611,065 702,801 All classes Pass 3,187,159 2,334,785 2,343,220 1,757,257 1,937,053 4,287,483 1,041,715 16,888,672 Watch 165,411 420,542 549,354 272,717 398,588 465,806 43,014 2,315,432 Special mention 21,748 118,387 156,097 60,571 114,002 357,909 2,232 830,946 Substandard — 14,936 26,856 101,237 174,050 490,732 29,894 837,705 Total loans $ 3,374,318 2,888,650 3,075,527 2,191,782 2,623,693 5,601,930 1,116,855 20,872,755 |
Schedule of payment status of the recorded investment in past due loans | The following tables present the payment status of the recorded investment in past due loans as of December 31, 2021 and December 31, 2020 by class of loans: December 31, 2021 30-59 Days 60-89 Days Greater Total Past Current Total (In thousands) Commercial loans: Multi-family $ 14,050 3,013 18,600 35,663 7,829,929 7,865,592 Commercial real estate 15,579 1,751 2,806 20,136 5,351,622 5,371,758 Commercial and industrial 21,304 133 2,175 23,612 4,090,180 4,113,792 Construction — — — — 550,950 550,950 Total commercial loans 50,933 4,897 23,581 79,411 17,822,681 17,902,092 Residential mortgage 9,624 2,624 25,521 37,769 3,891,401 3,929,170 Consumer and other 3,579 201 822 4,602 762,183 766,785 Total $ 64,136 7,722 49,924 121,782 22,476,265 22,598,047 December 31, 2020 30-59 Days 60-89 Days Greater Total Past Current Total (In thousands) Commercial loans: Multi-family $ 7,421 — 32,884 40,305 7,082,535 7,122,840 Commercial real estate 12,805 2,450 6,356 21,611 4,925,601 4,947,212 Commercial and industrial 986 3,116 1,769 5,871 3,569,770 3,575,641 Construction — — — — 404,367 404,367 Total commercial loans 21,212 5,566 41,009 67,787 15,982,273 16,050,060 Residential mortgage 13,768 4,258 29,124 47,150 4,072,744 4,119,894 Consumer and other 5,645 1,476 1,984 9,105 693,696 702,801 Total $ 40,625 11,300 72,117 124,042 20,748,713 20,872,755 |
Schedule of non-accrual loans status | The following table presents non-accrual loans at the dates indicated: December 31, 2021 December 31, 2020 # of loans Amount # of loans Amount (Dollars in thousands) Non-accrual: Multi-family 13 $ 55,276 15 $ 35,567 Commercial real estate 19 8,269 29 15,894 Commercial and industrial 15 3,329 21 9,212 Construction — — — — Total commercial loans 47 66,874 65 60,673 Residential mortgage and consumer 216 38,310 246 46,452 Total non-accrual loans 263 $ 105,184 311 $ 107,125 The following table presents individually evaluated loans by class of loans at the dates indicated: December 31, 2021 December 31, 2020 Real Estate Other Total Real Estate Other Total (Dollars in thousands) Multi-family $ 49,568 — 49,568 $ 31,484 — 31,484 Commercial real estate 4,306 — 4,306 8,758 — 8,758 Commercial and industrial 778 — 778 2,994 3,549 6,543 Construction — — — — — — Total commercial loans 54,652 — 54,652 43,236 3,549 46,785 Residential mortgage and consumer 19,849 81 19,930 25,158 103 25,261 Total individually evaluated loans $ 74,501 81 74,582 $ 68,394 3,652 72,046 Included in the non-accrual table above are TDR loans with no charge-offs whose payment status is current but the Company has classified as non-accrual as the loans have not maintained their current payment status for six consecutive months under the restructured terms and therefore do not meet the criteria for accrual status. As of December 31, 2021 and December 31, 2020, these loans are comprised of the following: December 31, 2021 December 31, 2020 # of loans Amount # of loans Amount (Dollars in thousands) TDR with payment status current classified as non-accrual: Commercial real estate 1 $ 2,543 3 $ 3,907 Residential mortgage and consumer 25 3,167 32 5,634 Total TDR with payment status current classified as non-accrual 26 $ 5,710 35 $ 9,541 The following table presents TDR loans which were also 30-89 days delinquent and classified as non-accrual at the dates indicated: December 31, 2021 December 31, 2020 # of loans Amount # of loans Amount (Dollars in thousands) TDR 30-89 days delinquent classified as non-accrual: Commercial real estate — $ — 1 $ 1,780 Residential mortgage and consumer 10 2,814 10 942 Total TDR 30-89 days delinquent classified as non-accrual 10 $ 2,814 11 $ 2,722 |
Schedule of troubled debt restructured loans | The following tables present the total TDR loans at December 31, 2021 and December 31, 2020: December 31, 2021 Accrual Non-accrual Total # of loans Amount # of loans Amount # of loans Amount (Dollars in thousands) Commercial loans: Multi-family — $ — 1 $ 35,826 1 $ 35,826 Commercial real estate — — 3 4,306 3 4,306 Commercial and industrial — — 1 778 1 778 Total commercial loans — — 5 40,910 5 40,910 Residential mortgage and consumer 44 7,565 69 12,174 113 19,739 Total 44 $ 7,565 74 $ 53,084 118 $ 60,649 December 31, 2020 Accrual Non-accrual Total # of loans Amount # of loans Amount # of loans Amount (Dollars in thousands) Commercial loans: Commercial real estate — $ — 4 $ 5,687 4 $ 5,687 Commercial and industrial 2 630 2 2,919 4 3,549 Total commercial loans 2 630 6 8,606 8 9,236 Residential mortgage and consumer 45 8,602 83 16,659 128 25,261 Total 47 $ 9,232 89 $ 25,265 136 $ 34,497 |
Schedule of troubled debt restructurings | The following tables present information about TDRs that occurred during the years ended December 31, 2021 and 2020: Years Ended December 31, 2021 2020 Number of Pre-modification Post- Number of Pre-modification Post- (Dollars in thousands) Troubled Debt Restructurings: Multi-family 1 $ 37,671 $ 35,826 — $ — $ — Commercial real estate 1 170 170 4 5,707 5,707 Commercial and industrial 1 795 783 1 933 933 Residential mortgage and consumer 4 226 226 7 1,813 1,813 |
Schedule of troubled debt restructuring, interest yield | The following tables present information about pre and post modification interest yield for TDRs which occurred during the years ended December 31, 2021 and 2020: Years Ended December 31, 2021 2020 Number of Pre-modification Post- Number of Pre-modification Post- Multi-family 1 4.38 % 4.38 % — — % — % Commercial real estate 1 6.00 % 6.00 % 4 4.77 % 4.77 % Commercial and industrial 1 4.94 % 4.94 % 1 4.75 % 4.75 % Residential mortgage and consumer 4 6.82 % 3.07 % 7 5.94 % 5.94 % |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Credit Loss [Abstract] | |
Schedule of provisions for credit loss | An analysis of the provision for credit losses is summarized as follows: Year Ended December 31, 2021 2020 (In thousands) Provision for loan losses $ (43,843) 64,890 Provision for debt securities held-to-maturity (1,397) 700 Provision for off-balance sheet credit exposures (3,436) 4,568 Total provision for credit losses $ (48,676) 70,158 |
Schedule of financing receivable, allowance for credit loss | An analysis of the allowance for credit losses for loans receivable is summarized as follows: Year Ended December 31, 2021 2020 (In thousands) Balance at beginning of the period $ 282,986 228,120 Adjustment for adoption of ASC 326 — (3,551) Gross charge offs (5,064) (18,388) Recoveries 5,605 7,735 Net charge-offs 541 (10,653) Allowance at acquisition on loans purchased with credit deterioration 997 4,180 Provision for credit loss expense (43,843) 64,890 Balance at end of the period $ 240,681 282,986 |
Summary of allowance for credit loss by segment | The following tables present the balance in the allowance for credit losses for loans by portfolio segment as of December 31, 2021 and December 31, 2020: December 31, 2021 Multi- Commercial Commercial Construction Residential Consumer Unallocated Total (In thousands) Allowance for credit losses: Balance as of December 31, 2020 $ 56,731 115,918 79,327 7,267 19,941 3,802 — 282,986 Charge-offs (2,593) (322) (1,206) — (540) (403) — (5,064) Recoveries 1,977 447 1,592 — 1,469 120 — 5,605 Allowance at acquisition on loans purchased with credit deterioration 149 730 17 46 41 14 — 997 Provision for credit loss expense (16,918) (35,587) 5,383 4,226 (1,257) 310 — (43,843) Ending balance-December 31, 2021 $ 39,346 81,186 85,113 11,539 19,654 3,843 — 240,681 December 31, 2020 Multi- Commercial Commercial Construction Residential Consumer Unallocated Total (In thousands) Allowance for credit losses: Beginning balance-December 31, 2019 $ 74,099 50,925 74,396 6,816 17,391 2,548 1,945 228,120 Adjustment for adoption of ASC 326 (9,741) (4,631) (7,511) (1,901) 20,089 2,089 (1,945) (3,551) Balance as of January 1, 2020 64,358 46,294 66,885 4,915 37,480 4,637 — 224,569 Charge-offs (4,631) (521) (12,005) — (1,190) (41) — (18,388) Recoveries 1,965 412 4,459 — 677 222 — 7,735 Allowance at acquisition on loans purchased with credit deterioration 209 3,208 287 127 344 5 — 4,180 Provision for credit loss expense (5,170) 66,525 19,701 2,225 (17,370) (1,021) — 64,890 Ending balance-December 31, 2020 $ 56,731 115,918 79,327 7,267 19,941 3,802 — 282,986 |
Schedule of debt securities, held-to-maturity, allowance for credit loss | An analysis of the allowance for credit losses for debt securities held-to-maturity is summarized as follows: Year Ended December 31, 2021 2020 (In thousands) Balance at beginning of the period $ 3,264 — Impact of adopting ASC 326 — 2,564 Provision for credit losses (1,397) 700 Balance at end of the period $ 1,867 3,264 The following table presents the balance in the allowance for credit losses for debt securities held-to-maturity by portfolio segment as of December 31, 2021 and December 31, 2020: December 31, 2021 December 31, 2020 Municipal Bonds Corporate and Other Debt Securities Total Municipal Bonds Corporate and Other Debt Securities Total (In thousands) Allowance for credit losses: Balance at beginning of the period $ 34 3,230 3,264 — — — Impact of adopting ASC 326 — — — 17 2,547 2,564 Provision for credit loss (12) (1,385) (1,397) 17 683 700 Balance at end of the period $ 22 1,845 1,867 34 3,230 3,264 Accrued interest receivable on debt securities held-to-maturity totaled $5.1 million and $5.2 million at December 31, 2021 and December 31, 2020, respectively, and is excluded from the estimate of credit losses. |
Schedule of fair value, off-balance sheet risks | An analysis of the allowance for credit losses for off-balance sheet credit exposures is as follows: Year Ended December 31, 2021 2020 (In thousands) Balance at beginning of the period $ 17,667 425 Impact of adopting ASC 326 — 12,674 Provision for credit losses (3,436) 4,568 Balance at end of the period $ 14,231 17,667 |
Office Properties and Equipme_2
Office Properties and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Summary of office properties and equipment | Office properties and equipment are summarized as follows: December 31, 2021 2020 (In thousands) Land $ 10,142 10,731 Office buildings 37,486 44,895 Leasehold improvements 123,565 124,752 Furniture, fixtures and equipment 110,331 109,909 Construction in process 7,021 6,992 288,545 297,279 Less accumulated depreciation and amortization 159,257 157,616 $ 129,288 139,663 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Summary of supplemental balance sheet information | The following table presents the balance sheet information related to our operating leases: December 31, 2021 2020 (Dollars in thousands) Operating lease right-of-use assets $ 199,603 $ 199,981 Operating lease liabilities 212,678 212,559 Weighted average remaining lease term 8.5 years 9.4 years Weighted average discount rate 2.40 % 2.49 % |
Schedule of lease cost | The following table presents the components of total operating lease cost recognized in the Consolidated Statements of Income: Year Ended December 31, 2021 2020 2019 (In thousands) Included in office occupancy and equipment expense: Operating lease cost $ 29,986 $ 26,242 $ 25,245 Short-term lease cost 827 460 306 Variable lease cost (2) (2) (1) Included in other income: Sublease income 209 253 268 The following table presents supplemental cash flow information related to operating leases: Year Ended December 31, 2021 2020 2019 (In thousands) Cash paid for amounts included in the measurement of operating lease liabilities: Operating cash flows from operating leases $ 29,540 $ 24,973 $ 24,497 Operating leases 25,683 46,758 2,996 |
Summary of maturity of operating lease liabilities | Future minimum operating lease payments and reconciliation to operating lease liabilities at December 31, 2021: December 31, 2021 (In thousands) 2022 $ 30,709 2023 29,746 2024 29,440 2025 28,786 2026 24,349 Thereafter 92,697 Total lease payments 235,727 Less: Imputed interest (23,049) Total operating lease liabilities $ 212,678 |
Goodwill and Other Intangible_2
Goodwill and Other Intangibles Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets and goodwill | The following table summarizes goodwill and intangible assets at December 31, 2021 and 2020: December 31, 2021 December 31, 2020 (In thousands) Mortgage servicing rights $ 9,403 10,957 Core deposit premiums 5,847 3,560 Other 515 581 Total other intangible assets 15,765 15,098 Goodwill 116,228 94,535 Goodwill and intangible assets $ 131,993 109,633 |
Summary of intangible assets | The following table summarizes other intangible assets as of December 31, 2021 and December 31, 2020: Gross Intangible Asset Accumulated Amortization Valuation Allowance Net Intangible Assets (In thousands) December 31, 2021 Mortgage Servicing Rights $ 14,684 (5,211) (70) 9,403 Core Deposit Premiums 26,661 (20,814) — 5,847 Other 850 (335) — 515 Total other intangible assets $ 42,195 (26,360) (70) 15,765 December 31, 2020 Mortgage Servicing Rights $ 17,559 (5,592) (1,010) 10,957 Core Deposit Premiums 23,063 (19,503) — 3,560 Other 1,150 (569) — 581 Total other intangible assets $ 41,772 (25,664) (1,010) 15,098 |
Schedule of estimated future amortization expense | The following presents the estimated future amortization expense of other intangible assets for the next five years: Mortgage Servicing Rights Core Deposit Premiums Other (In thousands) 2022 $ 351 $ 1,371 $ 57 2023 360 965 57 2024 370 656 57 2025 379 585 57 2026 382 529 57 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Banking and Thrift, Other Disclosures [Abstract] | |
Summary of deposits | Deposits are summarized as follows: December 31, 2021 2020 Weighted Average Rate Amount % of Total Weighted Average Rate Amount % of Total (In thousands) Non-interest bearing: Checking accounts — % $ 4,658,319 22.37 % — % $ 3,663,073 18.76 % Interest-bearing: Checking accounts 0.36 % 7,270,634 34.91 % 0.49 % 6,043,393 30.95 % Money market deposits 0.31 % 4,757,567 22.85 % 0.42 % 5,037,327 25.80 % Savings 0.24 % 2,043,152 9.81 % 0.48 % 2,063,447 10.57 % Certificates of deposit 0.43 % 2,094,966 10.06 % 0.97 % 2,718,179 13.92 % Total Deposits 0.26 % $ 20,824,638 100.00 % 0.45 % $ 19,525,419 100.00 % |
Scheduled maturities of certificates of deposit | Scheduled maturities of certificates of deposit are as follows: December 31, 2021 2020 (In thousands) Within one year $ 1,788,084 2,386,850 One to two years 178,287 271,302 Two to three years 92,208 31,893 Three to four years 12,476 15,016 After four years 23,911 13,118 $ 2,094,966 2,718,179 |
Schedule of interest expense on deposits | Interest expense on deposits consists of the following: For the Years Ended December 31, 2021 2020 2019 (In thousands) Checking accounts $ 27,488 42,014 84,698 Money market deposits 20,508 42,568 60,896 Savings 5,591 12,056 17,148 Certificates of deposit 14,318 58,951 99,115 Total $ 67,905 155,589 261,857 |
Borrowed Funds (Tables)
Borrowed Funds (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Summary of borrowed funds | Borrowed funds are summarized as follows: December 31, 2021 2020 Principal Weighted Average Rate (1) Principal Weighted Average Rate (1) (Dollars in thousands) Funds borrowed under repurchase agreements: Other brokers $ 449,117 1.97% $ 448,514 1.97% Other borrowed funds: FHLB advances 3,071,419 0.74% 2,662,574 1.20% Subordinated debt (2) 14,502 6.50% 14,702 6.50% Other — —% 170,000 0.13% Total other borrowed funds 3,085,921 0.77% 2,847,276 1.17% Total borrowed funds $ 3,535,038 0.92% $ 3,295,790 1.28% (1) The weighted average interest rate excludes the effects of our derivative contracts. See Note 15, Derivatives and Hedging Activities. (2) Subordinated debt was assumed in the acquisition of Gold Coast Bancorp in April 2020. |
Schedule of borrowed funds scheduled maturities | Borrowed funds had contractual scheduled maturities as follows: December 31, 2021 2020 Principal Weighted Average Rate (1) Principal Weighted Average Rate (1) (Dollars in thousands) Within one year $ 2,350,000 0.36% $ 1,513,000 0.33% One to two years 497,448 2.12% 574,741 2.15% Two to three years 673,088 1.90% 520,989 2.10% Three to four years — —% 672,358 1.90% Four to five years — —% — —% After five years (2) 14,502 6.50% 14,702 6.50% Total borrowed funds $ 3,535,038 0.92% $ 3,295,790 1.28% (1) The weighted average interest rate excludes the effects of our derivative contracts. See Note 15, Derivatives and Hedging Activities. (2) Borrowed funds maturing after five years are subordinated notes maturing in 2027 assumed in the acquisition of Gold Coast Bancorp in April 2020. Interest on the notes is fixed at a rate of 6.50% until September 2022, after which interest is floating until maturity. |
Summary of amortized cost and fair value of securities used as collateral for borrowings | The amortized cost and fair value of the underlying securities used as collateral for borrowings are as follows: December 31, 2021 2020 (Dollars in thousands) Amortized cost of collateral: Mortgage-backed securities $ 474,621 471,506 Total amortized cost of collateral $ 474,621 471,506 Fair value of collateral: Mortgage-backed securities $ 488,896 494,160 Total fair value of collateral $ 488,896 494,160 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Summary of components of income tax expense | The components of income tax expense are as follows: Years Ended December 31, 2021 2020 2019 (In thousands) Current tax expense: Federal $ 71,775 82,039 32,881 State 28,926 27,112 12,743 100,701 109,151 45,624 Deferred tax (benefit) expense: Federal 10,955 (25,104) 28,784 State 3,424 (9,086) 16,840 14,379 (34,190) 45,624 Total income tax expense $ 115,080 74,961 91,248 |
Summary of reconciliation between the actual income tax expense and the 'expected' amount computed using the applicable statutory federal income tax rate | The following table presents the reconciliation between the actual income tax expense and the “expected” amount computed using the applicable statutory federal income tax rate of 21% for the years ended December 31, 2021, 2020 and 2019: Years Ended December 31, 2021 2020 2019 (In thousands) “Expected” federal income tax expense $ 89,967 62,273 60,214 State tax, net 27,637 12,790 19,075 Impact of tax law changes (1,240) — 7,823 Tax exempt interest (2,410) (2,399) (1,519) Non-deductible FDIC premiums 1,132 1,169 1,229 Bank owned life insurance (1,375) (1,394) (1,374) Tax credits (677) (1,610) — Other 2,046 4,132 5,800 Total income tax expense $ 115,080 74,961 91,248 |
Summary of deferred tax asset and liability in temporary differences and loss carryforwards | The temporary differences and loss carryforwards which comprise the deferred tax asset and liability are as follows: December 31, 2021 2020 (In thousands) Deferred tax asset: Employee benefits $ 27,716 29,754 Deferred compensation 412 480 Premises and equipment 2,002 3,926 Allowance for credit losses 66,127 84,018 Net unrealized loss on hedging activities 1,749 30,399 ESOP 4,866 4,123 Fair value adjustments related to acquisitions 8,946 11,527 Loan origination costs 8,475 8,004 State NOL 399 312 Other 5,703 1,393 Gross deferred tax asset 126,395 173,936 Deferred tax liability: Mortgage servicing rights 2,640 3,034 Net unrealized gain on debt securities available-for-sale 645 14,018 Equipment financing 35,295 39,627 Other 564 452 Gross deferred tax liability 39,144 57,131 Net deferred tax asset $ 87,251 116,805 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Summary of information regarding supplemental executive retirement wage replacement plan and the directors' benefit plan | The following table sets forth information regarding the SERP II and the Directors’ Plan: December 31, 2021 2020 (In thousands) Change in benefit obligation: Benefit obligation at beginning of year $ 51,307 46,009 Interest cost 1,000 1,297 Loss (gain) due to change in mortality assumption 106 (451) (Gain) loss due to change in discount rate (2,203) 4,323 Loss due to demographic changes 1,081 813 Actuarial (gain) loss (12) 205 Benefits paid (870) (889) Benefit obligation at end of year 50,409 51,307 Funded status $ (50,409) (51,307) |
Summary of accumulated other comprehensive loss related to pension plans on a pre-tax basis | The components of accumulated other comprehensive loss related to pension plans, on a pre-tax basis, at December 31, 2021 and 2020, are summarized in the following table. December 31, 2021 2020 (In thousands) Net actuarial loss $ 10,182 11,777 Total amounts recognized in accumulated other comprehensive loss $ 10,182 11,777 |
Summary of weighted average assumptions used to determine net periodic benefit cost | The weighted-average actuarial assumptions used in the plan determinations at December 31, 2021 and 2020 were as follows: December 31, 2021 2020 Discount rate 2.46 % 2.01 % Rate of compensation increase — % — % The following are the weighted average assumptions used to determine net periodic benefit cost: Years Ended December 31, 2021 2020 2019 Discount rate 2.01 % 2.88 % 3.99 % Rate of compensation increase — % — % — % |
Summary of components net periodic benefit cost | The components of net periodic benefit cost are as follows: Years Ended December 31, 2021 2020 2019 (In thousands) Interest cost $ 1,000 1,297 1,588 Amortization of: Net loss 567 1,195 — Total net periodic benefit cost $ 1,567 2,492 1,588 |
Summary of estimated future benefit payments | Estimated future benefit payments, which reflect expected future service, as appropriate for the next ten calendar years are as follows: Amount (In thousands) 2022 $ 3,026 2023 3,236 2024 3,202 2025 3,165 2026 3,125 2027 through 2031 16,160 |
Schedule of fair value of option grants estimated on the date of grant | The fair value of stock options granted as part of the 2015 Plan was estimated utilizing the Black-Scholes option pricing model using the following assumptions for the periods presented below: For the Year Ended December 31, 2019 (1) Weighted average expected life (in years) 4.83 Weighted average risk-free rate of return 1.86 % Weighted average volatility 19.92 % Dividend yield 3.96 % Weighted average fair value of options granted $ 0.89 Total stock options granted 995,216 (1) Includes assumptions for the Replacement Award granted in 2019. For additional information about the Replacement Awards, refer to Shareholder Litigation Settlement below. |
Summary of compensation cost for share-based payment arrangements, allocation of share-based compensation costs by plan | The following table presents the share-based compensation expense for the years ended December 31, 2021, 2020 and 2019: Years Ended December 31, 2021 2020 2019 (Dollars in thousands) Stock option expense $ 3,707 3,869 5,935 Restricted stock expense 10,607 10,896 14,026 Total share-based compensation expense (1) $ 14,314 14,765 19,961 (1) Included in share-based compensation expense for the year ended December 31, 2019 was $2.0 million of accelerated stock compensation expense resulting from the settlement of shareholder litigation during 2019. For additional information about the settlement, refer to Shareholder Litigation Settlement below. |
Summary of non-vested options and restricted shares | The following is a summary of the status of the Company’s restricted shares as of December 31, 2021 and changes therein during the year then ended: Number of Weighted Outstanding at December 31, 2020 1,974,235 $ 12.44 Granted 262,281 13.29 Vested (807,337) 12.36 Forfeited (33,351) 12.00 Outstanding and non-vested at December 31, 2021 1,395,828 $ 12.39 |
Summary of stock option activity and related information | The following is a summary of the Company’s stock option activity and related information for its option plan for the year ended December 31, 2021: Number of Weighted Weighted Aggregate Outstanding at December 31, 2020 5,570,858 $ 12.46 4.5 $ 191 Granted — — Exercised (814,592) 12.26 Forfeited (66,439) 12.54 Expired — — Outstanding at December 31, 2021 4,689,827 $ 12.49 3.6 $ 12,460 Exercisable at December 31, 2021 3,804,164 $ 12.49 3.5 $ 10,138 |
Derivatives and Hedging Activ_2
Derivatives and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of derivatives instruments statements of financial performance and financial position, location | Fair Values of Derivative Instruments on the Balance Sheet Amounts included in the Consolidated Balance Sheet related to the fair value of the Company’s derivative instruments are shown below. Asset derivatives depicted below represent derivatives with a positive fair value position, while liability derivatives represent derivatives with a negative fair value position. December 31, 2021 Asset Derivatives Liability Derivatives Notional Amount Fair Value Notional Amount Fair Value (in millions) (In thousands) (in millions) (In thousands) Derivatives designated as hedging instruments: Interest Rate Swaps $ 1,400 $ 39,248 $ 2,075 $ 49,875 Total derivatives designated as hedging instruments $ 39,248 $ 49,875 Derivatives not designated as hedging instruments: Interest Rate Swaps $ 973 $ 25,977 $ 973 $ 25,977 Other Contracts — — 51 160 Total derivatives not designated as hedging instruments $ 25,977 $ 26,137 Netting Adjustments (1) 46,913 66,613 Net Derivatives on the Balance Sheet $ 18,312 $ 9,399 Cash Collateral (2) — — Net Derivative Amounts $ 18,312 $ 9,399 (1) Netting adjustments represents the amounts recorded to convert derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance on the settle to market rules for cleared derivatives. The Chicago Mercantile Exchange (“CME”) legally characterizes the variation margin posted between counterparties as settlements of the outstanding derivative contracts instead of cash collateral. (2) Cash collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The application of collateral cannot reduce the net derivative position below zero. Therefore, excess collateral, if any, is not reflected above. December 31, 2020 Asset Derivatives Liability Derivatives Notional Amount Fair Value Notional Amount Fair Value (in millions) (In thousands) (in millions) (In thousands) Derivatives designated as hedging instruments: Interest Rate Swaps $ 400 $ 1,419 $ 2,925 $ 115,166 Total derivatives designated as hedging instruments $ 1,419 $ 115,166 Derivatives not designated as hedging instruments: Interest Rate Swaps $ 641 $ 34,155 $ 641 $ 34,155 Other Contracts — — 34 217 Total derivatives not designated as hedging instruments $ 34,155 $ 34,372 Netting Adjustments (1) 997 149,046 Net Derivatives on the Balance Sheet $ 34,577 $ 492 Cash Collateral (2) — 237 Net Derivative Amounts $ 34,577 $ 255 (1) Netting adjustments represents the amounts recorded to convert derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance on the settle to market rules for cleared derivatives. The Chicago Mercantile Exchange (“CME”) legally characterizes the variation margin posted between counterparties as settlements of the outstanding derivative contracts instead of cash collateral. |
Schedule of cash flow hedges included in accumulated other comprehensive income (loss) | The following table presents the effect of the Company’s derivative financial instruments on the Accumulated Comprehensive Income (Loss) for the years ended December 31, 2021 and 2020. Years Ended December 31, 2021 2020 (In thousands) Cash Flow Hedges - Interest rate swaps Amount of gain (loss) recognized in other comprehensive income (loss) $ 59,534 $ (111,851) Amount of loss reclassified from accumulated other comprehensive income (loss) to interest expense (42,386) (31,770) Amount of loss reclassified from accumulated other comprehensive income (loss) to other expense — (14,192) The following table presents the effect of the Company’s derivative financial instruments on the Consolidated Statements of Income as of December 31, 2021 and 2020. Years Ended December 31, 2021 2020 The effects of fair value and cash flow hedging: Income statement location (In thousands) Fair Value Hedges - Gain or (loss) on relationships in Subtopic 815-20 Interest contracts Hedged items Interest income $ (1,635) $ 4,529 Derivatives designated as hedging instruments (1) Interest income 1,599 (7,734) Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 Interest contracts Amount of loss reclassified from accumulated other comprehensive income (loss) Interest expense (42,386) (31,770) Amount of gain or (loss) reclassified from accumulated other comprehensive income (loss) as a result that a forecasted transaction is no longer probable of occurring Other expense — (14,192) Total amounts of income and expense line items presented in the income statement in which the effects of fair value are recorded $ (42,422) $ (49,167) (1) The amount includes reclassification of ineffectiveness and pre-tax gains on fair value hedging relationships which have been terminated. |
Schedule of derivative instruments | As of December 31, 2021 and 2020, the following amounts were recorded on the Consolidated Balance Sheets related to cumulative basis adjustment for fair value hedges: Carrying Amount of the Hedged Assets/(Liabilities) Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets/(Liabilities) Balance sheet location December 31, 2021 December 31, 2020 December 31, 2021 December 31, 2020 (In thousands) Loans receivable, net (1) $ 148,365 $ — $ 2,997 $ 8,798 (1) At December 31, 2021, the amortized cost basis of the closed portfolios used in these hedging relationships was $361.0 million; the cumulative basis adjustments associated with these hedging relationships was $3.0 million; and the amounts of the designated hedged items were $148.4 million. (1) The balance of Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets/(Liabilities) as of December 31, 2021 represents $4.6 million of hedging adjustment on discontinued hedging relationships. |
Schedule of derivatives not designated as hedging instruments | The table below presents the effect of the Company’s derivative financial instruments that are not designated as hedging instruments on the Consolidated Statements of Income as of December 31, 2021: Consolidated Statements of Income location Amount of Gain (Loss) Recognized in Income on Derivative Years Ended December 31, 2021 2020 (In thousands) Other Contracts Other income / (expense) $ 186 126 Total $ 186 126 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value, assets measured on recurring basis | The following tables present our assets and liabilities measured at fair value on a recurring basis by level within the valuation hierarchy at December 31, 2021 and December 31, 2020. At December 31, 2021 Total Level 1 Level 2 Level 3 (In thousands) Assets: Equity securities $ 8,194 8,194 — — Debt securities available for sale: Debt securities: Government-sponsored enterprises $ 3,586 — 3,586 — Mortgage-backed securities: Federal Home Loan Mortgage Corporation 1,250,043 — 1,250,043 — Federal National Mortgage Association 1,034,336 — 1,034,336 — Government National Mortgage Association 105,575 — 105,575 — Total debt securities available-for-sale $ 2,393,540 — 2,393,540 — Interest rate swaps $ 18,312 — 18,312 — Liabilities: Derivatives: Interest rate swaps $ 9,239 — 9,239 — Other contracts 160 — 160 — Total derivatives $ 9,399 — 9,399 — At December 31, 2020 Total Level 1 Level 2 Level 3 (In thousands) Assets: Equity securities $ 36,000 36,000 — — Debt securities available for sale: Debt securities: Government-sponsored enterprises 4,482 — 4,482 — Mortgage-backed securities: Federal Home Loan Mortgage Corporation $ 1,317,052 — 1,317,052 — Federal National Mortgage Association 1,205,426 — 1,205,426 — Government National Mortgage Association 231,477 — 231,477 — Total debt securities available-for-sale $ 2,758,437 — 2,758,437 — Interest rate swaps $ 34,577 — 34,577 — Liabilities: Derivatives: Interest rate swaps $ 275 — 275 — Other contracts 217 — 217 — Total derivatives $ 492 — 492 — |
Schedule of carrying value of our assets measured at fair value on a non-recurring basis | The following tables provide the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a non-recurring basis that have changed for the periods ended December 31, 2021 and December 31, 2020. For the three months ended December 31, 2021 there was no change to the carrying value of other real estate owned, individually evaluated loans or operating lease equipment. For the three months ended December 31, 2020, there was no change to the carrying value of other real estate owned or individually evaluated loans. Security Type Valuation Technique Unobservable Input Range Weighted Average Input Carrying Value at December 31, 2021 Minimum Maximum Total Level 1 Level 2 Level 3 (In thousands) MSR, net Estimated cash flow Prepayment speeds 5.2% 25.1% 12.78% $ 7,846 — — 7,846 $ 7,846 — — 7,846 Security Type Valuation Technique Unobservable Input Range Weighted Average Input Carrying Value at December 31, 2020 Minimum Maximum Total Level 1 Level 2 Level 3 (In thousands) MSR, net Estimated cash flow Prepayment speeds 14.5% 23.6% 17.76% $ 10,663 — — 10,663 Operating lease equipment Market comparable Lack of marketability —% 10.4% 10.41% 15,007 — — 15,007 $ 25,670 — — 25,670 |
Schedule of carrying amounts and estimated fair values | The carrying values and estimated fair values of the Company’s financial instruments are presented in the following table. December 31, 2021 Carrying Estimated Fair Value value Total Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 287,990 287,990 287,990 — — Equities 8,194 8,194 8,194 — — Debt securities available-for-sale 2,393,540 2,393,540 — 2,393,540 — Debt securities held-to-maturity, net 1,593,785 1,651,504 — 1,568,380 83,124 FHLB stock 176,480 176,480 176,480 — — Loans held for sale 809 809 — 809 — Net loans 22,342,612 22,461,134 — — 22,461,134 Derivative financial instruments 18,312 18,312 — 18,312 — Financial liabilities: Deposits, other than time deposits $ 18,729,672 18,729,672 18,729,672 — — Time deposits 2,094,966 2,091,046 — 2,091,046 — Borrowed funds 3,535,038 3,558,356 — 3,558,356 — Derivative financial instruments 9,399 9,399 — 9,399 — December 31, 2020 Carrying Estimated Fair Value value Total Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 170,432 170,432 170,432 — — Equities 36,000 36,000 36,000 — — Debt securities available-for-sale 2,758,437 2,758,437 — 2,758,437 — Debt securities held-to-maturity, net 1,247,853 1,320,872 — 1,253,566 67,306 FHLB stock 159,829 159,829 159,829 — — Loans held for sale 30,357 30,357 — 30,357 — Net loans 20,580,451 20,787,917 — — 20,787,917 Derivative financial instruments 34,577 34,577 — 34,577 — Financial liabilities: Deposits, other than time deposits $ 16,807,240 16,807,240 16,807,240 — — Time deposits 2,718,179 2,726,230 — 2,726,230 — Borrowed funds 3,295,790 3,367,491 — 3,367,491 — Derivative financial instruments 492 492 — 492 — |
Regulatory Capital (Tables)
Regulatory Capital (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Schedule of regulatory capital | The following is a summary of the Bank and the Company’s actual capital amounts and ratios as of December 31, 2021 compared to the FDIC minimum capital adequacy requirements and the FDIC requirements for classification as a well-capitalized institution. Actual Minimum Capital Requirement with Conservation Buffer To be Well Capitalized Under Prompt Corrective Action Provisions (2) Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2021 (1) Bank: Tier 1 Leverage Ratio $ 2,494,982 8.99 % $ 1,109,641 4.00 % $ 1,387,051 5.00 % Common Equity Tier 1 risk-based 2,494,982 11.31 % 1,544,162 7.00 % 1,433,864 6.50 % Tier 1 Risk-Based Capital 2,494,982 11.31 % 1,875,053 8.50 % 1,764,756 8.00 % Total Risk-Based Capital 2,739,106 12.42 % 2,316,242 10.50 % 2,205,945 10.00 % Investors Bancorp, Inc: Tier 1 Leverage Ratio $ 2,834,720 10.20 % $ 1,111,822 4.00 % n/a n/a Common Equity Tier 1 risk-based 2,834,720 12.82 % 1,547,928 7.00 % n/a n/a Tier 1 Risk-Based Capital 2,834,720 12.82 % 1,879,627 8.50 % n/a n/a Total Risk-Based Capital 3,092,372 13.98 % 2,321,892 10.50 % n/a n/a Actual Minimum Capital Requirement with Conservation Buffer To be Well Capitalized Under Prompt Corrective Action Provisions (2) Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of December 31, 2020 (1) Bank: Tier 1 Leverage Ratio $ 2,391,126 9.08 % $ 1,053,636 4.00 % $ 1,317,045 5.00 % Common Equity Tier 1 risk-based 2,391,126 11.72 % 1,428,527 7.00 % 1,326,489 6.50 % Tier 1 Risk-Based Capital 2,391,126 11.72 % 1,734,640 8.50 % 1,632,602 8.00 % Total Risk-Based Capital 2,646,520 12.97 % 2,142,790 10.50 % 2,040,753 10.00 % Investors Bancorp, Inc: Tier 1 Leverage Ratio $ 2,674,590 10.14 % $ 1,054,677 4.00 % n/a n/a Common Equity Tier 1 risk-based 2,674,590 13.07 % 1,432,164 7.00 % n/a n/a Tier 1 Risk-Based Capital 2,674,590 13.07 % 1,739,056 8.50 % n/a n/a Total Risk-Based Capital 2,944,128 14.39 % 2,148,246 10.50 % n/a n/a (1) For purposes of calculating Tier 1 leverage ratio, assets are based on adjusted total average assets. In calculating Tier 1 risk-based capital and Total risk-based capital, assets are based on total risk-weighted assets. (2) Prompt corrective action provisions do not apply to the bank holding company. |
Parent Company Only Financial_2
Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Condensed Financial Information Disclosure [Abstract] | |
Statement of balance sheets | Balance Sheets December 31, 2021 2020 (In thousands) Assets: Cash and cash equivalents $ 201,377 144,955 Equity securities 3,100 30,826 Debt securities held-to-maturity, net (estimated fair value of $20,494 and $25,203 at December 31, 2021 and 2020, respectively) 19,859 24,767 Investment in subsidiary 2,603,052 2,426,386 ESOP loan receivable 81,789 85,124 Other assets 47,995 36,661 Total Assets $ 2,957,172 2,748,719 Liabilities and Stockholders’ Equity: Total liabilities $ 18,744 38,716 Total stockholders’ equity 2,938,428 2,710,003 Total Liabilities and Stockholders’ Equity $ 2,957,172 2,748,719 |
Statements of operations | Statements of Operations Year Ended December 31, 2021 2020 2019 (In thousands) Income: Interest on ESOP loan receivable $ 2,767 4,140 4,889 Dividend from subsidiary 185,000 105,000 675,000 Interest on deposit with subsidiary 1 2 2 Interest and dividends on investments 373 249 424 Gain on securities, net 256 173 — Other income 1,017 1,081 12 189,414 110,645 680,327 Expenses: Interest expense 673 741 193 Provision for credit losses (92) 51 — Other expenses 2,084 2,003 2,265 Income before income tax expense 186,749 107,850 677,869 Income tax expense 453 748 1,457 Income before undistributed earnings of subsidiary 186,296 107,102 676,412 Equity in undistributed earnings of subsidiary (dividend in excess of earnings) 127,037 114,478 (480,928) Net income $ 313,333 221,580 195,484 |
Statement of other comprehensive income | Other Comprehensive Income Year Ended December 31, 2021 2020 2019 (In thousands) Net income $ 313,333 221,580 195,484 Total other comprehensive income — — — Total comprehensive income $ 313,333 221,580 195,484 |
Statements of cash flows | Statements of Cash Flows Year Ended December 31, 2021 2020 2019 (In thousands) Cash flows from operating activities: Net income $ 313,333 221,580 195,484 Adjustments to reconcile net income to net cash provided by operating activities: (Equity in undistributed earnings of subsidiary) dividend in excess of earnings (127,037) (114,478) 480,928 Provision for credit losses (92) 51 — Gain on securities transactions, net (256) (173) — (Increase) decrease in other assets (12,596) 8,811 11,362 (Decrease) increase in other liabilities (12,504) 20,011 (2,906) Net cash provided by operating activities 160,848 135,802 684,868 Cash flows from investing activities: Cash consideration paid, net of cash consideration received for acquisition — (29,535) — Purchases of equity securities (6,000) (29,620) — Purchases of debt securities held-to-maturity — — (20,000) Proceeds from sales of equity securities 33,983 — — Proceeds from calls of debt securities held-to-maturity 5,000 — — Principal collected on ESOP loan 3,335 2,024 1,737 Net cash provided by (used in) investing activities 36,318 (57,131) (18,263) Cash flows from financing activities: Loan to ESOP — — (5,000) Purchase of treasury stock (12,124) (23,920) (475,946) Exercise of stock options — — 813 Dividends paid (138,607) (119,675) (122,163) Other 9,987 — — Net cash used in financing activities (140,744) (143,595) (602,296) Net increase (decrease) in cash and cash equivalents 56,422 (64,924) 64,309 Cash and cash equivalents at beginning of year 144,955 209,879 145,570 Cash and cash equivalents at end of year $ 201,377 144,955 209,879 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Summary of calculations and reconciliation of basic to diluted earnings per share | The following is a summary of our earnings per share calculations and reconciliation of basic to diluted earnings per share. For the Year Ended December 31, 2021 2020 2019 (Dollars in thousands, except per share data) Earnings for basic and diluted earnings per common share Earnings applicable to common stockholders $ 313,333 $ 221,580 $ 195,484 Shares Weighted-average common shares outstanding - basic 235,315,487 235,761,457 262,202,598 Effect of dilutive common stock equivalents (1) 1,120,594 77,351 317,190 Weighted-average common shares outstanding - diluted 236,436,081 235,838,808 262,519,788 Earnings per common share Basic $ 1.33 $ 0.94 $ 0.75 Diluted $ 1.33 $ 0.94 $ 0.74 (1) For the years ended December 31, 2021, 2020 and 2019, there were 150,473, 7,390,470, and 6,468,307 equity awards, respectively, that could potentially dilute basic earnings per share in the future that were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive for the periods presented. |
Comprehensive Income (Tables)
Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Schedule of components of comprehensive income, gross and net of tax | The components of comprehensive income, gross and net of tax, are as follows: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Gross Tax Net Gross Tax Net Gross Tax Net (Dollars in thousands) Net income $ 428,413 (115,080) 313,333 296,541 (74,961) 221,580 286,732 (91,248) 195,484 Other comprehensive (loss) income: Change in funded status of retirement obligations 2,343 (677) 1,666 (3,889) 1,094 (2,795) (5,108) 1,436 (3,672) Unrealized gains (losses) on debt securities available-for-sale (54,824) 13,068 (41,756) 36,434 (8,686) 27,748 44,934 (10,815) 34,119 Accretion of loss on debt securities reclassified to held-to-maturity from available-for-sale 140 (33) 107 266 (64) 202 777 (242) 535 Reclassification adjustment for security losses included in net income (398) 99 (299) — — — 5,690 (1,469) 4,221 Other-than-temporary impairment accretion on debt securities recorded prior to January 1, 2020 1,022 (287) 735 1,141 (321) 820 1,068 (300) 768 Net losses on derivatives 101,920 (28,650) 73,270 (65,889) 18,520 (47,369) (59,847) 16,823 (43,024) Total other comprehensive (loss) income 50,203 (16,480) 33,723 (31,937) 10,543 (21,394) (12,486) 5,433 (7,053) Total comprehensive income $ 478,616 (131,560) 347,056 264,604 (64,418) 200,186 274,246 (85,815) 188,431 |
Schedule of component of accumulated other comprehensive loss | The following table presents the after-tax changes in the balances of each component of accumulated other comprehensive loss for the years ended December 31, 2021 and 2020: Change in funded status of retirement obligations Accretion of loss on debt securities reclassified to held-to-maturity Unrealized gains (losses) on debt securities available-for-sale and gains included in net income Other-than-temporary impairment accretion on debt securities Unrealized losses on derivatives Total accumulated other comprehensive loss (Dollars in thousands) Balance - December 31, 2020 $ (9,485) (184) 57,204 (9,809) (77,742) (40,016) Net change 1,666 107 (42,055) 735 73,270 33,723 Balance - December 31, 2021 $ (7,819) (77) 15,149 (9,074) (4,472) (6,293) Balance - December 31, 2019 $ (6,690) (386) 29,456 (10,629) (30,373) (18,622) Net change (2,795) 202 27,748 820 (47,369) (21,394) Balance - December 31, 2020 $ (9,485) (184) 57,204 (9,809) (77,742) (40,016) The following table presents information about amounts reclassified from accumulated other comprehensive loss to the consolidated statements of income and the affected line item in the statement where net income is presented. Year Ended December 31, 2021 2020 (In thousands) Reclassification adjustment for losses included in net income Gain on securities, net $ (398) — Change in funded status of retirement obligations Adjustment of net obligation 141 (64) Amortization of net loss 673 1,198 Compensation and fringe benefits 814 1,134 Reclassification adjustment for unrealized losses on derivatives Interest expense 42,386 31,770 Debt extinguishment — 14,192 Total unrealized losses on derivatives reclassified 42,386 45,962 Total before tax 42,802 47,096 Income tax expense (11,505) (11,905) Net of tax $ 31,297 35,191 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of disaggregation of revenue | Revenue from contracts with customers included in fees and service charges and other income was as follows: For the Year Ended December 31, 2021 2020 2019 (In thousands) Revenue from contracts with customers included in: Fees and service charges $ 15,428 13,764 15,780 Other income 16,686 12,100 9,520 Total revenue from contracts with customers $ 32,114 25,864 25,300 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Standards Adopted in 2021 Standard Description Required date of adoption Effect on Consolidated Financial Statements Government Assistance: Disclosures by Business Entities about Government Assistance The update requires annual disclosures by public and private business entities about transactions with a government that are accounted for by applying a grant or contribution model by analogy to other accounting guidance. December 15, 2021 The amendments in ASU 2021-10 impact disclosures of transactions with a government or related entities. The update did not impact the Company’s Consolidated Financial Statements. Codification Improvements The amendments include all disclosure guidance in the Disclosure Section to reduce the potential that disclosure requirements would be missed. January 1, 2021 The amendments in ASU 2020-10 do not change current GAAP. The update did not impact the Company’s Consolidated Financial Statements. Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs The amendments in this update clarify guidance as to whether a callable debt security with multiple call dates is within the scope of paragraph 310-20-35-33. January 1, 2021 The amendments in ASU 2020-08 will be applied under a prospective approach. The adoption of this ASU did not have a material impact on the Company’s Consolidated Financial Statements. Investments-Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 (a consensus of the Emerging Issues Task Force) This update clarifies the application of the alternative provided in ASU 2016-01 to measure certain equity securities without a readily determinable fair value. The amendments in this update clarify that a company should consider observable transactions that require it to either apply or discontinue the equity method of accounting under Topic 323 for the purposes of applying the measurement alternative in accordance with Topic 321 immediately before applying or upon discontinuing the equity method. The amendments further provide clarification related to the accounting for certain forward contracts and purchased options. January 1, 2021 The amendments in ASU 2020-01 will be applied prospectively. The Company does not currently apply the measurement alternative in Topic 321 to any of its investments and the update did not have a material impact on the Company’s Consolidated Financial Statements. Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The amendments simplify the accounting for income taxes by removing certain exceptions to general principles in Topic 740 and also clarify and amend existing guidance. January 1, 2021 The Company adopted ASU 2019-12 with no material impact on its Consolidated Financial Statements. Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans. The amendments in this update modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans by removing disclosures that no longer are considered cost beneficial, clarifying the specific requirements of disclosures, and adding disclosure requirements identified as relevant. January 1, 2021 ASU 2018-14 will be applied under a retrospective approach to disclosures with regard to the Company’s employee benefit plans. The adoption of this update did not have a material impact on the Company’s Consolidated Financial Statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2021 | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Schedule of Accounting Policies | |||||
Debt securities, allowance for credit loss | $ 1,867,000 | $ 3,264,000 | $ 0 | ||
Total stockholders’ equity | 2,938,428,000 | 2,710,003,000 | 2,621,950,000 | $ 3,005,330,000 | |
Deferred tax asset | $ 87,251,000 | 116,805,000 | |||
Loan delinquent, not received payment, period (in days) | 30 days | ||||
Accrual of income on loans discontinued when interest or principal payments are in arrears, period (in days) | 90 days | ||||
Deferred loans, value | $ 279,000,000 | ||||
Loans impairment analysis to include minimum commercial real estate, multi-family and construction loans outstanding balance | 1,000,000 | ||||
Outstanding minimum balance of loans that are evaluated for impairment individually | 1,000,000 | ||||
Bank owned life insurance, carrying value consists of cash surrender value | 229,400,000 | 223,700,000 | |||
Carrying amount of goodwill | 116,228,000 | 94,535,000 | |||
Unsecured Debt | |||||
Schedule of Accounting Policies | |||||
Commitment for overnight with other institutions | 750,000,000 | ||||
Unsecured overnight borrowings | $ 0 | ||||
Core Deposit Premiums | |||||
Schedule of Accounting Policies | |||||
Core deposit premiums, amortized on an accelerated basis (in years) | 20 years | ||||
Adjustment | |||||
Schedule of Accounting Policies | |||||
Allowance for credit loss | $ 11,700,000 | ||||
Unfunded commitments, allowance for credit loss | 12,700,000 | ||||
Debt securities, allowance for credit loss | $ 0 | 2,600,000 | 2,564,000 | ||
Financing receivables gross | 3,600,000 | ||||
Total stockholders’ equity | (8,500,000) | $ (8,491,000) | |||
Deferred tax asset | $ 3,200,000 |
Stock Transactions Stock Transa
Stock Transactions Stock Transactions (Details) $ / shares in Units, $ in Thousands | Oct. 25, 2018shares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2021USD ($)$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares |
Stock Transactions | |||||
Percentage of shares to be repurchased | 10.00% | ||||
Number of shares authorized to be repurchased (shares) | 28,886,780 | ||||
Remaining number of shares authorized to be repurchased (shares) | 12,000,202 | ||||
Purchase of treasury stock, shares | 975,469 | 2,377,814 | 39,365,145 | ||
Stock repurchased during period, value | $ | $ 12,124 | $ 23,920 | $ 475,946 | ||
Stock repurchase cost, per share | $ / shares | $ 12.43 | $ 10.06 | $ 12.09 | ||
Dividends paid per share (usd per share) | $ / shares | $ 0.56 | $ 0.48 | $ 0.44 | ||
Dividend payout ratio (percentage) | 0.59 | 0.42 | 0.51 | 0.59 | |
2015 Equity Incentive Plan | |||||
Stock Transactions | |||||
Purchase of treasury stock, shares | 350,469 | 395,222 | 387,477 | ||
Blue Harbour | |||||
Stock Transactions | |||||
Purchase of treasury stock, shares | 27,318,628 | ||||
Stock repurchased during period, value | $ | $ 335,700 | ||||
Stock repurchase cost, per share | $ / shares | $ 12.29 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) $ in Thousands, shares in Millions | Aug. 27, 2021USD ($)branch | Apr. 03, 2020USD ($)$ / sharesshares | Dec. 31, 2021USD ($)$ / shares | Jul. 28, 2021$ / shares | Jul. 27, 2021USD ($) | Dec. 31, 2020USD ($)$ / shares |
Business Acquisition | ||||||
Goodwill | $ 116,228 | $ 94,535 | ||||
Common stock, par value (usd per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Berkshire Bank Branch | ||||||
Business Acquisition | ||||||
Branch location (branch) | branch | 8 | |||||
Deposits | $ 632,000 | |||||
Mortgage loans on real estate, commercial and consumer | 219,000 | |||||
Assumed a net liability | 413,000 | |||||
Asset acquisition, consideration | 391,300 | |||||
Goodwill | $ 21,700 | |||||
Investors Bancorp, Inc. | Citizens Financial Group, Inc. | ||||||
Business Acquisition | ||||||
Shares received in merger (shares) | $ / shares | 0.297 | |||||
Cash conversion ratio (usd per share) | $ / shares | $ 1.46 | |||||
Ownership interest (percent) | 14.00% | |||||
Investors Bancorp, Inc. | Citizens Financial Group, Inc. | Scenario, Plan | ||||||
Business Acquisition | ||||||
Transaction value | $ 3,500,000 | |||||
Gold Coast Bancorp, Inc. | ||||||
Business Acquisition | ||||||
Shares received in merger (shares) | $ / shares | 1.422 | |||||
Deposits | $ 489,900 | |||||
Goodwill | $ 12,000 | |||||
Shares issued to acquire business (shares) | shares | 2.8 | |||||
Payments to acquire business | $ 31,000 | |||||
Percentage of common shares of acquiree converted into Investors Bancorp common stock | 50.00% | |||||
Percentage of acquiree shares exchanged for cash | 50.00% | |||||
Common stock, par value (usd per share) | $ / shares | $ 0.01 | |||||
Cash per share received in merger (in usd per share) | $ / shares | $ 15.75 |
Business Combinations - Carryin
Business Combinations - Carrying amount of those loans (Details) - USD ($) $ in Millions | Aug. 27, 2021 | Apr. 03, 2020 |
Berkshire Bank Branch | ||
Business Acquisition | ||
Purchase price of loans at acquisition | $ 90 | |
Allowance for credit losses at acquisition | 1 | |
Accretable fair value marks at acquisition | 3.8 | |
Par value of acquired loans at acquisition | $ 94.8 | |
Gold Coast Bancorp, Inc. | ||
Business Acquisition | ||
Purchase price of loans at acquisition | $ 244.7 | |
Allowance for credit losses at acquisition | 4.2 | |
Accretable fair value marks at acquisition | 2.6 | |
Par value of acquired loans at acquisition | $ 251.5 |
Business Combinations - Summari
Business Combinations - Summarizes the estimated fair values of the assets acquired and liabilities (Details) - Gold Coast Bancorp, Inc. $ in Millions | Apr. 03, 2020USD ($) |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | |
Cash and cash equivalents | $ 7.3 |
Debt securities available-for-sale | 51.5 |
Debt securities held to maturity | 8.4 |
Loans receivable, net | 443.5 |
Accrued interest receivable | 1.3 |
Right-of-use assets | 3.7 |
Net deferred tax asset | 3.9 |
Intangible assets | 14.5 |
Other assets | 1.2 |
Total assets acquired | 535.3 |
Deposits | 489.9 |
Borrowed funds | 14.9 |
Other liabilities | 9.7 |
Total liabilities assumed | 514.5 |
Net assets acquired | $ 20.8 |
Securities - Narrative (Details
Securities - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Schedule f Investments | |||
Equity securities | $ 8,194,000 | $ 36,000,000 | |
Allowance for credit losses | 1,867,000 | 3,264,000 | $ 0 |
Debt securities held-to-maturity, net | 1,651,504,000 | 1,320,872,000 | |
Held-to-maturity securities pledged as collateral | 2,070,000,000 | ||
Held-to-maturity securities pledged as collateral, fair value | 2,110,000,000 | ||
Unrealized gains recognized during the period on equity securities | 356,000 | 256,000 | 150,000 |
Proceeds from sales of equity securities | 34,000,000 | ||
Net losses recognized on equity securities sold | 248,000 | 0 | 0 |
Proceeds from sales of debt securities available for sale | 8,171,000 | 0 | 399,435,000 |
Gains on sale of available for sale debt securities | 398,000 | ||
Proceeds from sales of debt securities held to maturity | 0 | 0 | |
Proceeds from sale and maturity of held-to-maturity securities | 16,500,000 | ||
Debt securities, held-to-maturity, sold, realized gain (loss) | 124,000 | ||
Principal proceeds from sale and maturity of held-to-maturity securities | 26,000 | ||
Available for sale, realized losses | $ 5,700,000 | ||
Corporate and other debt securities | |||
Schedule f Investments | |||
Debt securities, carrying value | 128,174,000 | 130,565,000 | |
Debt securities held-to-maturity, net | $ 163,930,000 | $ 149,713,000 | |
Held-to-maturity securities, Term ( in years) | 20 years | ||
TruP Security | Corporate and other debt securities | |||
Schedule f Investments | |||
Debt securities, carrying value | $ 50,600,000 | ||
Debt securities held-to-maturity, net | $ 83,100,000 |
Securities - Equity Securities
Securities - Equity Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |||
Unrealized gains recognized on equity securities | $ 356 | $ 256 | $ 150 |
Net losses recognized on equity securities sold | (248) | 0 | 0 |
Net gains recognized on equity securities | $ 108 | $ 256 | $ 150 |
Securities - Summary of Securit
Securities - Summary of Securities- Available for sale (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Securities, Available-for-sale | ||
Amortized cost | $ 2,373,647 | $ 2,683,322 |
Gross unrealized gains | 33,368 | 75,420 |
Gross unrealized losses | 13,475 | 305 |
Estimated fair value | 2,393,540 | 2,758,437 |
Government-sponsored enterprises | ||
Debt Securities, Available-for-sale | ||
Amortized cost | 3,434 | 4,260 |
Gross unrealized gains | 152 | 222 |
Gross unrealized losses | 0 | 0 |
Estimated fair value | 3,586 | 4,482 |
Total mortgage-backed securities held-to-maturity | ||
Debt Securities, Available-for-sale | ||
Amortized cost | 2,370,213 | 2,679,062 |
Gross unrealized gains | 33,216 | 75,198 |
Gross unrealized losses | 13,475 | 305 |
Estimated fair value | 2,389,954 | 2,753,955 |
Federal Home Loan Mortgage Corporation | ||
Debt Securities, Available-for-sale | ||
Amortized cost | 1,242,073 | 1,286,195 |
Gross unrealized gains | 13,979 | 30,930 |
Gross unrealized losses | 6,009 | 73 |
Estimated fair value | 1,250,043 | 1,317,052 |
Federal National Mortgage Association | ||
Debt Securities, Available-for-sale | ||
Amortized cost | 1,022,851 | 1,167,057 |
Gross unrealized gains | 18,076 | 38,568 |
Gross unrealized losses | 6,591 | 199 |
Estimated fair value | 1,034,336 | 1,205,426 |
Government National Mortgage Association | ||
Debt Securities, Available-for-sale | ||
Amortized cost | 105,289 | 225,810 |
Gross unrealized gains | 1,161 | 5,700 |
Gross unrealized losses | 875 | 33 |
Estimated fair value | $ 105,575 | $ 231,477 |
Securities - Held to Maturity (
Securities - Held to Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Held-to-maturity Securities | ||||
Net unrealized losses | $ 77,065 | $ 80,595 | ||
Gross unrealized losses | $ 11,628 | $ 1,860 | ||
Total | 1,651,504 | 1,320,872 | ||
Allowance for credit losses | 1,867 | 3,264 | $ 0 | |
Total debt securities held-to-maturity, net of allowance for credit losses | 1,593,785 | 1,247,853 | ||
Held-to-maturity Securities | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 1,608,375 | 1,265,002 | ||
Net unrealized losses | 12,723 | 13,885 | ||
Total | 1,595,652 | 1,251,117 | ||
Gross unrealized gains | 67,480 | 71,615 | ||
Gross unrealized losses | 11,628 | 1,860 | ||
Total | 1,651,504 | 1,320,872 | ||
Debt Securities | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 488,221 | 499,826 | ||
Net unrealized losses | 12,621 | 13,644 | ||
Total | 475,600 | 486,182 | ||
Gross unrealized gains | 51,195 | 39,130 | ||
Gross unrealized losses | 3,865 | 1,594 | ||
Total | 522,930 | 523,718 | ||
Government-sponsored enterprises | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 133,128 | 109,016 | ||
Net unrealized losses | 0 | 0 | ||
Total | 133,128 | 109,016 | ||
Gross unrealized gains | 2,254 | 4,107 | ||
Gross unrealized losses | 3,326 | 709 | ||
Total | 132,056 | 112,414 | ||
Municipal bonds | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 214,298 | 246,601 | ||
Net unrealized losses | 0 | 0 | ||
Total | 214,298 | 246,601 | ||
Gross unrealized gains | 12,906 | 14,990 | ||
Gross unrealized losses | 260 | 0 | ||
Total | 226,944 | 261,591 | ||
Corporate and other debt securities | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 140,795 | 144,209 | ||
Net unrealized losses | 12,621 | 13,644 | ||
Total | 128,174 | 130,565 | ||
Gross unrealized gains | 36,035 | 20,033 | ||
Gross unrealized losses | 279 | 885 | ||
Total | 163,930 | 149,713 | ||
Total mortgage-backed securities held-to-maturity | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 1,120,154 | 765,176 | ||
Net unrealized losses | 102 | 241 | ||
Total | 1,120,052 | 764,935 | ||
Gross unrealized gains | 16,285 | 32,485 | ||
Gross unrealized losses | 7,763 | 266 | ||
Total | 1,128,574 | 797,154 | ||
Federal Home Loan Mortgage Corporation | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 478,684 | 308,285 | ||
Net unrealized losses | 30 | 66 | ||
Total | 478,654 | 308,219 | ||
Gross unrealized gains | 4,158 | 9,733 | ||
Gross unrealized losses | 5,069 | 266 | ||
Total | 477,743 | 317,686 | ||
Federal National Mortgage Association | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 620,026 | 413,601 | ||
Net unrealized losses | 72 | 175 | ||
Total | 619,954 | 413,426 | ||
Gross unrealized gains | 11,519 | 20,905 | ||
Gross unrealized losses | 2,694 | 0 | ||
Total | 628,779 | 434,331 | ||
Government National Mortgage Association | ||||
Schedule of Held-to-maturity Securities | ||||
Amortized cost | 21,444 | 43,290 | ||
Net unrealized losses | 0 | 0 | ||
Total | 21,444 | 43,290 | ||
Gross unrealized gains | 608 | 1,847 | ||
Gross unrealized losses | 0 | 0 | ||
Total | $ 22,052 | $ 45,137 |
Securities - Investment Securit
Securities - Investment Securities, Continuous Unrealized Loss Position And Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Available-for-sale, Estimated fair value | ||
Less than 12 Months, Estimated fair value | $ 749,657 | $ 192,893 |
12 Months or more, Estimated fair value | 145,278 | 0 |
Total, Estimated fair value | 894,935 | 192,893 |
Available-for-sale, Unrealized losses | ||
Less than 12 Months, Unrealized losses | 11,607 | 305 |
12 Months or more, Unrealized losses | 1,868 | 0 |
Total, Unrealized loss | 13,475 | 305 |
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 691,151 | 121,609 |
12 months or more, Estimated fair value | 37,355 | 0 |
Total, Estimated fair value | 728,506 | 121,609 |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 9,634 | 1,860 |
12 months or more, Unrealized losses | 1,994 | 0 |
Total, Unrealized losses | 11,628 | 1,860 |
Estimated fair value, Less than 12 months, Total | 1,440,808 | 314,502 |
Unrealized losses, Less than 12 months, Total | 21,241 | 2,165 |
Estimated fair value, 12 months or more, Total | 182,633 | 0 |
Unrealized losses, 12 months or more, Total | 3,862 | 0 |
Estimated fair value, Total | 1,623,441 | 314,502 |
Unrealized losses, Total | 25,103 | 2,165 |
Total mortgage-backed securities held-to-maturity | ||
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 605,253 | |
12 months or more, Estimated fair value | 11,287 | |
Total, Estimated fair value | 616,540 | |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 7,021 | |
12 months or more, Unrealized losses | 742 | |
Total, Unrealized losses | 7,763 | 266 |
Federal Home Loan Mortgage Corporation | ||
Available-for-sale, Estimated fair value | ||
Less than 12 Months, Estimated fair value | 413,182 | 60,502 |
12 Months or more, Estimated fair value | 18,017 | 0 |
Total, Estimated fair value | 431,199 | 60,502 |
Available-for-sale, Unrealized losses | ||
Less than 12 Months, Unrealized losses | 5,409 | 73 |
12 Months or more, Unrealized losses | 600 | 0 |
Total, Unrealized loss | 6,009 | 73 |
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 286,238 | 40,013 |
12 months or more, Estimated fair value | 11,287 | 0 |
Total, Estimated fair value | 297,525 | 40,013 |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 4,327 | 266 |
12 months or more, Unrealized losses | 742 | 0 |
Total, Unrealized losses | 5,069 | 266 |
Federal National Mortgage Association | ||
Available-for-sale, Estimated fair value | ||
Less than 12 Months, Estimated fair value | 315,762 | 123,329 |
12 Months or more, Estimated fair value | 119,547 | 0 |
Total, Estimated fair value | 435,309 | 123,329 |
Available-for-sale, Unrealized losses | ||
Less than 12 Months, Unrealized losses | 5,721 | 199 |
12 Months or more, Unrealized losses | 870 | 0 |
Total, Unrealized loss | 6,591 | 199 |
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 319,015 | |
12 months or more, Estimated fair value | 0 | |
Total, Estimated fair value | 319,015 | |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 2,694 | |
12 months or more, Unrealized losses | 0 | |
Total, Unrealized losses | 2,694 | 0 |
Government National Mortgage Association | ||
Available-for-sale, Estimated fair value | ||
Less than 12 Months, Estimated fair value | 20,713 | 9,062 |
12 Months or more, Estimated fair value | 7,714 | 0 |
Total, Estimated fair value | 28,427 | 9,062 |
Available-for-sale, Unrealized losses | ||
Less than 12 Months, Unrealized losses | 477 | 33 |
12 Months or more, Unrealized losses | 398 | 0 |
Total, Unrealized loss | 875 | 33 |
Held-to-maturity, Unrealized losses | ||
Total, Unrealized losses | 0 | 0 |
Debt Securities | ||
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 85,898 | 81,596 |
12 months or more, Estimated fair value | 26,068 | 0 |
Total, Estimated fair value | 111,966 | 81,596 |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 2,613 | 1,594 |
12 months or more, Unrealized losses | 1,252 | 0 |
Total, Unrealized losses | 3,865 | 1,594 |
Government-sponsored enterprises | ||
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 62,529 | 66,558 |
12 months or more, Estimated fair value | 26,068 | 0 |
Total, Estimated fair value | 88,597 | 66,558 |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 2,074 | 709 |
12 months or more, Unrealized losses | 1,252 | 0 |
Total, Unrealized losses | 3,326 | 709 |
Municipal bonds | ||
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 16,623 | |
12 months or more, Estimated fair value | 0 | |
Total, Estimated fair value | 16,623 | |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 260 | |
12 months or more, Unrealized losses | 0 | |
Total, Unrealized losses | 260 | 0 |
Corporate and other debt securities | ||
Held-to-maturity Securities, Estimated Fair Value | ||
Less than 12 months, Estimated fair value | 6,746 | 15,038 |
12 months or more, Estimated fair value | 0 | 0 |
Total, Estimated fair value | 6,746 | 15,038 |
Held-to-maturity, Unrealized losses | ||
Less than 12 months, Unrealized losses | 279 | 885 |
12 months or more, Unrealized losses | 0 | 0 |
Total, Unrealized losses | $ 279 | $ 885 |
Securities - Amortized Cost and
Securities - Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Estimated fair value | ||
Total | $ 1,651,504 | $ 1,320,872 |
Debt Securities Other than Securities Pledged | ||
Carrying value | ||
Due in one year or less | 9,988 | |
Due after one year through five years | 20,710 | |
Due after five years through ten years | 156,798 | |
Due after ten years | 288,104 | |
Total | 475,600 | |
Estimated fair value | ||
Due in one year or less | 9,996 | |
Due after one year through five years | 21,252 | |
Due after five years through ten years | 159,392 | |
Due after ten years | 332,290 | |
Total | $ 522,930 |
Securities - Changes in Credit
Securities - Changes in Credit Loss Component of the Impairment Loss of Debt Securities for Other-than-Temporary Impairment Recognized in Earnings (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |
Balance of credit related OTTI, beginning of period | $ 80,595 |
Accretion of credit loss impairment due to an increase in expected cash flows | (3,530) |
Reductions for securities sold or paid off during the period | 0 |
Balance of credit related OTTI, end of period | $ 77,065 |
Loans Receivable, Net - Summary
Loans Receivable, Net - Summary of Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | $ 22,598,047 | $ 20,872,755 | |
Deferred fees, premiums and accretable purchase accounting adjustments, net | (14,754) | (9,318) | |
Allowance for credit losses | (240,681) | (282,986) | $ (228,120) |
Net loans | 22,342,612 | 20,580,451 | |
Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 17,902,092 | 16,050,060 | |
Commercial Portfolio Segment | Construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 550,950 | 404,367 | |
Allowance for credit losses | (11,539) | (7,267) | (6,816) |
Consumer Portfolio Segment | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 3,929,170 | 4,119,894 | |
Allowance for credit losses | (19,654) | (19,941) | (17,391) |
Consumer Portfolio Segment | Consumer and other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 766,785 | 702,801 | |
Allowance for credit losses | (3,843) | (3,802) | (2,548) |
Commercial real estate | Multi-family | Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 7,865,592 | 7,122,840 | |
Allowance for credit losses | (39,346) | (56,731) | (74,099) |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 5,371,758 | 4,947,212 | |
Allowance for credit losses | (81,186) | (115,918) | (50,925) |
Commercial and industrial | Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Total loans | 4,113,792 | 3,575,641 | |
Allowance for credit losses | $ (85,113) | $ (79,327) | $ (74,396) |
Loans Receivable, Net - Narrati
Loans Receivable, Net - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2021USD ($)loan | Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($) | |
Accounts, Notes, Loans and Financing Receivable | |||
Interest income on non accrual loans | $ 1,000,000 | ||
Impairment charge recorded | 150,000 | $ 2,200,000 | $ 2,600,000 |
Loans that are 90 days past due and still accruing | 0 | ||
Deferred loans, value | 279,000,000 | ||
Charges-offs for collateral dependent TDRs | $ 2,000,000 | ||
Number of deferred loan payments | loan | 2 | ||
Number of non accrual loans | loan | 263 | 311 | |
Paycheck Protection Program Loan | |||
Accounts, Notes, Loans and Financing Receivable | |||
Proceeds from sale of other loans held-for-sale | $ 328,000,000 | ||
Gain (loss) on sale of loans | (1,000) | ||
Collateral Dependant TDRs | |||
Accounts, Notes, Loans and Financing Receivable | |||
Charges-offs for collateral dependent TDRs | $ 11,000 | 159,000 | |
Allowance for loan losses, individually evaluated for impairment | $ 1,500,000 | $ 1,400,000 | |
Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Loans modified as TDR in the last 12 months for which there was a default payment | loan | 3 | ||
Number of non accrual loans | loan | 47 | 65 | |
Consumer Portfolio Segment | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Loans modified as TDR in the last 12 months for which there was a default payment | loan | 5 | ||
Recorded investment | $ 1,200,000 | ||
Number of non accrual loans | loan | 216 | 246 | |
Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Charges-offs for collateral dependent TDRs | $ 12,000,000,000 | $ 163,000 | |
Commercial and industrial | Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of non accrual loans | loan | 15 | 21 | |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Loans modified as TDR in the last 12 months for which there was a default payment | loan | 1 | 1 | |
Recorded investment | $ 166,000 | $ 1,800,000 | |
Number of non accrual loans | loan | 19 | 29 | |
Proceeds from sale of other loans held-for-sale | $ 1,600,000 | ||
Number of loans sold | loan | 2 | ||
Multi-family | |||
Accounts, Notes, Loans and Financing Receivable | |||
Charges-offs for collateral dependent TDRs | $ 1,400,000 | $ 1,900,000 | |
Number of non accrual loans | loan | 3 | ||
Proceeds from sale of other loans held-for-sale | $ 19,900,000 | $ 18,100,000 | |
Multi-family | Commercial real estate | Commercial Portfolio Segment | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of non accrual loans | loan | 13 | 15 | |
Assets Leased To Others | |||
Accounts, Notes, Loans and Financing Receivable | |||
Proceeds from sale of leased equipment | $ 17,800,000 | $ 21,600,000 | |
Gain on sale-leaseback transactions | $ 297,000 | $ 1,500,000 | |
Minimum | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 30 days | ||
Maximum | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 89 days | ||
Watch | Minimum | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 30 days | ||
Watch | Maximum | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 59 days | ||
Special Mention Residential | Minimum | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 60 days | ||
Special Mention Residential | Maximum | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 89 days | ||
Substandard Residential | |||
Accounts, Notes, Loans and Financing Receivable | |||
Delinquency period in days | 90 days |
Loans Receivable, Net - Schedul
Loans Receivable, Net - Schedule of Risk Category of Loans by Class of Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | $ 6,046,374 | $ 3,374,318 |
Financing receivable, year two | 2,912,837 | 2,888,650 |
Financing receivable, year three | 2,151,672 | 3,075,527 |
Financing receivable, year four | 2,458,659 | 2,191,782 |
Financing receivable, year five | 1,624,525 | 2,623,693 |
Prior | 5,780,879 | 5,601,930 |
Revolving Loans | 1,623,101 | 1,116,855 |
Total | 22,598,047 | 20,872,755 |
Pass | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 5,902,894 | 3,187,159 |
Financing receivable, year two | 2,759,391 | 2,334,785 |
Financing receivable, year three | 1,784,067 | 2,343,220 |
Financing receivable, year four | 2,049,579 | 1,757,257 |
Financing receivable, year five | 1,394,452 | 1,937,053 |
Prior | 4,465,952 | 4,287,483 |
Revolving Loans | 1,512,717 | 1,041,715 |
Total | 19,869,052 | 16,888,672 |
Watch | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 143,480 | 165,411 |
Financing receivable, year two | 132,047 | 420,542 |
Financing receivable, year three | 218,197 | 549,354 |
Financing receivable, year four | 264,540 | 272,717 |
Financing receivable, year five | 122,063 | 398,588 |
Prior | 366,710 | 465,806 |
Revolving Loans | 70,285 | 43,014 |
Total | 1,317,322 | 2,315,432 |
Special mention | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 21,748 |
Financing receivable, year two | 17,653 | 118,387 |
Financing receivable, year three | 137,796 | 156,097 |
Financing receivable, year four | 64,592 | 60,571 |
Financing receivable, year five | 22,883 | 114,002 |
Prior | 299,433 | 357,909 |
Revolving Loans | 34,546 | 2,232 |
Total | 576,903 | 830,946 |
Substandard | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 3,746 | 14,936 |
Financing receivable, year three | 11,612 | 26,856 |
Financing receivable, year four | 79,948 | 101,237 |
Financing receivable, year five | 85,127 | 174,050 |
Prior | 648,784 | 490,732 |
Revolving Loans | 5,553 | 29,894 |
Total | 834,770 | 837,705 |
Commercial Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator | ||
Total | 17,902,092 | 16,050,060 |
Commercial Portfolio Segment | Construction | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 103,190 | 92,806 |
Financing receivable, year two | 138,719 | 63,391 |
Financing receivable, year three | 32,440 | 38,603 |
Financing receivable, year four | 23,375 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 253,226 | 209,567 |
Total | 550,950 | 404,367 |
Commercial Portfolio Segment | Pass | Construction | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 101,463 | 85,915 |
Financing receivable, year two | 138,719 | 58,041 |
Financing receivable, year three | 29,113 | 23,375 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 222,253 | 197,437 |
Total | 491,548 | 364,768 |
Commercial Portfolio Segment | Watch | Construction | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 1,727 | 6,891 |
Financing receivable, year two | 0 | 5,350 |
Financing receivable, year three | 3,327 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 5,054 | 12,241 |
Commercial Portfolio Segment | Special mention | Construction | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 15,228 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 30,973 | 0 |
Total | 30,973 | 15,228 |
Commercial Portfolio Segment | Substandard | Construction | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 23,375 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 12,130 |
Total | 23,375 | 12,130 |
Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 1,256,451 | 557,570 |
Financing receivable, year two | 494,796 | 464,815 |
Financing receivable, year three | 259,445 | 441,638 |
Financing receivable, year four | 246,671 | 546,716 |
Financing receivable, year five | 308,789 | 415,964 |
Prior | 1,362,930 | 1,693,094 |
Revolving Loans | 88 | 97 |
Total | 3,929,170 | 4,119,894 |
Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 9,508 | 5,031 |
Financing receivable, year two | 5,402 | 6,892 |
Financing receivable, year three | 3,968 | 5,830 |
Financing receivable, year four | 4,390 | 7,504 |
Financing receivable, year five | 9,729 | 6,848 |
Prior | 43,430 | 59,631 |
Revolving Loans | 690,358 | 611,065 |
Total | 766,785 | 702,801 |
Consumer Portfolio Segment | Pass | Residential mortgage | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 1,256,451 | 556,761 |
Financing receivable, year two | 494,796 | 450,363 |
Financing receivable, year three | 257,048 | 425,617 |
Financing receivable, year four | 241,621 | 530,676 |
Financing receivable, year five | 303,567 | 407,201 |
Prior | 1,313,943 | 1,601,457 |
Revolving Loans | 0 | 0 |
Total | 3,867,426 | 3,972,075 |
Consumer Portfolio Segment | Pass | Consumer and other | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 9,508 | 5,031 |
Financing receivable, year two | 5,402 | 6,853 |
Financing receivable, year three | 3,932 | 5,693 |
Financing receivable, year four | 4,383 | 7,448 |
Financing receivable, year five | 9,333 | 6,692 |
Prior | 41,860 | 57,103 |
Revolving Loans | 686,852 | 601,481 |
Total | 761,270 | 690,301 |
Consumer Portfolio Segment | Watch | Residential mortgage | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 809 |
Financing receivable, year two | 0 | 12,929 |
Financing receivable, year three | 756 | 13,465 |
Financing receivable, year four | 3,398 | 14,704 |
Financing receivable, year five | 4,795 | 8,517 |
Prior | 9,366 | 44,299 |
Revolving Loans | 0 | 0 |
Total | 18,315 | 94,723 |
Consumer Portfolio Segment | Watch | Consumer and other | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 39 |
Financing receivable, year three | 0 | 137 |
Financing receivable, year four | 0 | 56 |
Financing receivable, year five | 328 | 156 |
Prior | 570 | 440 |
Revolving Loans | 3,132 | 7,655 |
Total | 4,030 | 8,483 |
Consumer Portfolio Segment | Special mention | Residential mortgage | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 584 |
Financing receivable, year four | 155 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 1,579 | 3,402 |
Revolving Loans | 0 | 0 |
Total | 1,734 | 3,986 |
Consumer Portfolio Segment | Special mention | Consumer and other | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 36 | 0 |
Financing receivable, year four | 7 | 0 |
Financing receivable, year five | 0 | 0 |
Prior | 146 | 292 |
Revolving Loans | 12 | 1,184 |
Total | 201 | 1,476 |
Consumer Portfolio Segment | Substandard | Residential mortgage | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 1,523 |
Financing receivable, year three | 1,641 | 1,972 |
Financing receivable, year four | 1,497 | 1,336 |
Financing receivable, year five | 427 | 246 |
Prior | 38,042 | 43,936 |
Revolving Loans | 88 | 97 |
Total | 41,695 | 49,110 |
Consumer Portfolio Segment | Substandard | Consumer and other | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 68 | 0 |
Prior | 854 | 1,796 |
Revolving Loans | 362 | 745 |
Total | 1,284 | 2,541 |
Commercial and industrial | Commercial Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 992,104 | 1,073,970 |
Financing receivable, year two | 769,215 | 852,690 |
Financing receivable, year three | 635,116 | 429,831 |
Financing receivable, year four | 439,602 | 261,893 |
Financing receivable, year five | 201,087 | 223,708 |
Prior | 432,763 | 482,236 |
Revolving Loans | 643,905 | 251,313 |
Total | 4,113,792 | 3,575,641 |
Commercial and industrial | Commercial Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 969,153 | 1,007,949 |
Financing receivable, year two | 694,011 | 619,275 |
Financing receivable, year three | 438,288 | 328,917 |
Financing receivable, year four | 379,330 | 156,596 |
Financing receivable, year five | 130,795 | 176,557 |
Prior | 317,961 | 348,278 |
Revolving Loans | 577,632 | 203,302 |
Total | 3,507,170 | 2,840,874 |
Commercial and industrial | Commercial Portfolio Segment | Watch | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 22,951 | 49,208 |
Financing receivable, year two | 56,381 | 115,888 |
Financing receivable, year three | 56,292 | 43,791 |
Financing receivable, year four | 8,292 | 48,230 |
Financing receivable, year five | 10,729 | 28,708 |
Prior | 23,966 | 34,697 |
Revolving Loans | 60,202 | 31,931 |
Total | 238,813 | 352,453 |
Commercial and industrial | Commercial Portfolio Segment | Special mention | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 16,813 |
Financing receivable, year two | 15,104 | 111,399 |
Financing receivable, year three | 135,591 | 48,887 |
Financing receivable, year four | 47,263 | 14,770 |
Financing receivable, year five | 10,372 | 14,102 |
Prior | 65,438 | 76,554 |
Revolving Loans | 1,465 | 798 |
Total | 275,233 | 283,323 |
Commercial and industrial | Commercial Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 3,719 | 6,128 |
Financing receivable, year three | 4,945 | 8,236 |
Financing receivable, year four | 4,717 | 42,297 |
Financing receivable, year five | 49,191 | 4,341 |
Prior | 25,398 | 22,707 |
Revolving Loans | 4,606 | 15,282 |
Total | 92,576 | 98,991 |
Multi-family | Commercial real estate | Commercial Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 2,437,984 | 1,028,185 |
Financing receivable, year two | 960,180 | 676,135 |
Financing receivable, year three | 556,996 | 1,381,828 |
Financing receivable, year four | 1,035,928 | 786,874 |
Financing receivable, year five | 585,407 | 1,338,189 |
Prior | 2,278,812 | 1,903,252 |
Revolving Loans | 10,285 | 8,377 |
Total | 7,865,592 | 7,122,840 |
Multi-family | Commercial real estate | Commercial Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 2,409,672 | 1,002,259 |
Financing receivable, year two | 951,908 | 515,446 |
Financing receivable, year three | 458,618 | 912,910 |
Financing receivable, year four | 879,180 | 601,440 |
Financing receivable, year five | 512,459 | 850,781 |
Prior | 1,552,631 | 1,199,133 |
Revolving Loans | 6,594 | 6,986 |
Total | 6,771,062 | 5,088,955 |
Multi-family | Commercial real estate | Commercial Portfolio Segment | Watch | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 28,312 | 21,366 |
Financing receivable, year two | 6,071 | 153,404 |
Financing receivable, year three | 93,352 | 374,363 |
Financing receivable, year four | 122,476 | 135,348 |
Financing receivable, year five | 41,999 | 299,413 |
Prior | 210,354 | 220,668 |
Revolving Loans | 3,194 | 0 |
Total | 505,758 | 1,204,562 |
Multi-family | Commercial real estate | Commercial Portfolio Segment | Special mention | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 4,560 |
Financing receivable, year two | 2,174 | 0 |
Financing receivable, year three | 0 | 86,119 |
Financing receivable, year four | 10,220 | 32,506 |
Financing receivable, year five | 9,739 | 48,020 |
Prior | 103,059 | 205,916 |
Revolving Loans | 0 | 0 |
Total | 125,192 | 377,121 |
Multi-family | Commercial real estate | Commercial Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 27 | 7,285 |
Financing receivable, year three | 5,026 | 8,436 |
Financing receivable, year four | 24,052 | 17,580 |
Financing receivable, year five | 21,210 | 139,975 |
Prior | 412,768 | 277,535 |
Revolving Loans | 497 | 1,391 |
Total | 463,580 | 452,202 |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 1,247,137 | 616,756 |
Financing receivable, year two | 544,525 | 824,727 |
Financing receivable, year three | 663,707 | 777,797 |
Financing receivable, year four | 708,693 | 588,795 |
Financing receivable, year five | 519,513 | 638,984 |
Prior | 1,662,944 | 1,463,717 |
Revolving Loans | 25,239 | 36,436 |
Total | 5,371,758 | 4,947,212 |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 1,156,647 | 529,244 |
Financing receivable, year two | 474,555 | 684,807 |
Financing receivable, year three | 597,068 | 646,708 |
Financing receivable, year four | 545,065 | 461,097 |
Financing receivable, year five | 438,298 | 495,822 |
Prior | 1,239,557 | 1,081,512 |
Revolving Loans | 19,386 | 32,509 |
Total | 4,470,576 | 3,931,699 |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | Watch | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 90,490 | 87,137 |
Financing receivable, year two | 69,595 | 132,932 |
Financing receivable, year three | 64,470 | 117,598 |
Financing receivable, year four | 130,374 | 74,379 |
Financing receivable, year five | 64,212 | 61,794 |
Prior | 122,454 | 165,702 |
Revolving Loans | 3,757 | 3,428 |
Total | 545,352 | 642,970 |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | Special mention | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 375 |
Financing receivable, year two | 375 | 6,988 |
Financing receivable, year three | 2,169 | 5,279 |
Financing receivable, year four | 6,947 | 13,295 |
Financing receivable, year five | 2,772 | 51,880 |
Prior | 129,211 | 71,745 |
Revolving Loans | 2,096 | 250 |
Total | 143,570 | 149,812 |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 8,212 |
Financing receivable, year four | 26,307 | 40,024 |
Financing receivable, year five | 14,231 | 29,488 |
Prior | 171,722 | 144,758 |
Revolving Loans | 0 | 249 |
Total | $ 212,260 | $ 222,731 |
Loans Receivable, Net - Payment
Loans Receivable, Net - Payment Status of the Recorded Investment in Past Due Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due | ||
Total loans | $ 22,598,047 | $ 20,872,755 |
Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Total loans | 17,902,092 | 16,050,060 |
Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Total loans | 550,950 | 404,367 |
Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Total loans | 4,113,792 | 3,575,641 |
Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 7,865,592 | 7,122,840 |
Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 5,371,758 | 4,947,212 |
Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Total loans | 3,929,170 | 4,119,894 |
Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Past Due | ||
Total loans | 766,785 | 702,801 |
Current | ||
Financing Receivable, Past Due | ||
Total loans | 22,476,265 | 20,748,713 |
Current | Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Total loans | 17,822,681 | 15,982,273 |
Current | Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Total loans | 550,950 | 404,367 |
Current | Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Total loans | 4,090,180 | 3,569,770 |
Current | Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 7,829,929 | 7,082,535 |
Current | Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 5,351,622 | 4,925,601 |
Current | Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Total loans | 3,891,401 | 4,072,744 |
Current | Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Past Due | ||
Total loans | 762,183 | 693,696 |
30-59 Days | ||
Financing Receivable, Past Due | ||
Total loans | 64,136 | 40,625 |
30-59 Days | Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Total loans | 50,933 | 21,212 |
30-59 Days | Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Total loans | 0 | 0 |
30-59 Days | Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Total loans | 21,304 | 986 |
30-59 Days | Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 14,050 | 7,421 |
30-59 Days | Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 15,579 | 12,805 |
30-59 Days | Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Total loans | 9,624 | 13,768 |
30-59 Days | Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Past Due | ||
Total loans | 3,579 | 5,645 |
60-89 Days | ||
Financing Receivable, Past Due | ||
Total loans | 7,722 | 11,300 |
60-89 Days | Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Total loans | 4,897 | 5,566 |
60-89 Days | Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Total loans | 0 | 0 |
60-89 Days | Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Total loans | 133 | 3,116 |
60-89 Days | Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 3,013 | 0 |
60-89 Days | Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 1,751 | 2,450 |
60-89 Days | Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Total loans | 2,624 | 4,258 |
60-89 Days | Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Past Due | ||
Total loans | 201 | 1,476 |
Greater than 90 Days | ||
Financing Receivable, Past Due | ||
Total loans | 49,924 | 72,117 |
Greater than 90 Days | Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Total loans | 23,581 | 41,009 |
Greater than 90 Days | Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Total loans | 0 | 0 |
Greater than 90 Days | Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Total loans | 2,175 | 1,769 |
Greater than 90 Days | Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 18,600 | 32,884 |
Greater than 90 Days | Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 2,806 | 6,356 |
Greater than 90 Days | Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Total loans | 25,521 | 29,124 |
Greater than 90 Days | Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Past Due | ||
Total loans | 822 | 1,984 |
Total Past Due | ||
Financing Receivable, Past Due | ||
Total loans | 121,782 | 124,042 |
Total Past Due | Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Total loans | 79,411 | 67,787 |
Total Past Due | Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Total loans | 0 | 0 |
Total Past Due | Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Total loans | 23,612 | 5,871 |
Total Past Due | Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 35,663 | 40,305 |
Total Past Due | Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Total loans | 20,136 | 21,611 |
Total Past Due | Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Total loans | 37,769 | 47,150 |
Total Past Due | Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Past Due | ||
Total loans | $ 4,602 | $ 9,105 |
Loans Receivable, Net - Non-Acc
Loans Receivable, Net - Non-Accrual Loans Status (Details) $ in Thousands | Dec. 31, 2021USD ($)loan | Dec. 31, 2020USD ($)loan |
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 263 | 311 |
Non-accrual, Amount | $ | $ 105,184 | $ 107,125 |
Financing Receivables, 1 to 29 Days Past Due | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 26 | 35 |
Non-accrual, Amount | $ | $ 5,710 | $ 9,541 |
Financing Receivables, 30 to 89 Days Past Due | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 10 | 11 |
Non-accrual, Amount | $ | $ 2,814 | $ 2,722 |
Multi-family | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 3 | |
Commercial real estate | Residential mortgage | Financing Receivables, 30 to 89 Days Past Due | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 0 | 1 |
Non-accrual, Amount | $ | $ 0 | $ 1,780 |
Commercial Portfolio Segment | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 47 | 65 |
Non-accrual, Amount | $ | $ 66,874 | $ 60,673 |
Commercial Portfolio Segment | Construction | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 0 | 0 |
Non-accrual, Amount | $ | $ 0 | $ 0 |
Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 15 | 21 |
Non-accrual, Amount | $ | $ 3,329 | $ 9,212 |
Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 13 | 15 |
Non-accrual, Amount | $ | $ 55,276 | $ 35,567 |
Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 19 | 29 |
Non-accrual, Amount | $ | $ 8,269 | $ 15,894 |
Commercial Portfolio Segment | Commercial real estate | Commercial real estate | Financing Receivables, 1 to 29 Days Past Due | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 1 | 3 |
Non-accrual, Amount | $ | $ 2,543 | $ 3,907 |
Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 216 | 246 |
Non-accrual, Amount | $ | $ 38,310 | $ 46,452 |
Consumer Portfolio Segment | Residential mortgage | Financing Receivables, 1 to 29 Days Past Due | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 25 | 32 |
Non-accrual, Amount | $ | $ 3,167 | $ 5,634 |
Consumer Portfolio Segment | Residential mortgage | Financing Receivables, 30 to 89 Days Past Due | ||
Financing Receivable, Past Due | ||
Non-accrual: # of loans | 10 | 10 |
Non-accrual, Amount | $ | $ 2,814 | $ 942 |
Loans Receivable, Net - Collate
Loans Receivable, Net - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | $ 74,582 | $ 72,046 |
Real Estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 74,501 | 68,394 |
Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 81 | 3,652 |
Commercial Loan | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 54,652 | 46,785 |
Commercial Loan | Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 778 | 6,543 |
Commercial Loan | Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 4,306 | 8,758 |
Commercial Loan | Real Estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 54,652 | 43,236 |
Commercial Loan | Real Estate | Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 778 | 2,994 |
Commercial Loan | Real Estate | Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 4,306 | 8,758 |
Commercial Loan | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 0 | 3,549 |
Commercial Loan | Other | Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 0 | 3,549 |
Commercial Loan | Other | Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 0 | 0 |
Residential mortgage and consumer | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 19,930 | 25,261 |
Residential mortgage and consumer | Real Estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 19,849 | 25,158 |
Residential mortgage and consumer | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 81 | 103 |
Multi-family | Commercial Loan | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 49,568 | 31,484 |
Multi-family | Commercial Loan | Real Estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 49,568 | 31,484 |
Multi-family | Commercial Loan | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 0 | 0 |
Construction | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 0 | 0 |
Construction | Real Estate | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | 0 | 0 |
Construction | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Total individually evaluated loans | $ 0 | $ 0 |
Loans Receivable, Net - Trouble
Loans Receivable, Net - Troubled Debt Restructured Loans (Details) $ in Thousands | Dec. 31, 2021USD ($)loan | Dec. 31, 2020USD ($)loan |
Financing Receivable, Troubled Debt Restructuring | ||
Accrual, number of loans | loan | 44 | 47 |
Accrual, amount | $ | $ 7,565 | $ 9,232 |
Non-accrual, number of loans | loan | 74 | 89 |
Non-accrual, amount | $ | $ 53,084 | $ 25,265 |
Troubled debt restructured, number of loans | loan | 118 | 136 |
Troubled debt restructuring, Amount | $ | $ 60,649 | $ 34,497 |
Commercial Portfolio Segment | ||
Financing Receivable, Troubled Debt Restructuring | ||
Accrual, number of loans | loan | 0 | 2 |
Accrual, amount | $ | $ 0 | $ 630 |
Non-accrual, number of loans | loan | 5 | 6 |
Non-accrual, amount | $ | $ 40,910 | $ 8,606 |
Troubled debt restructured, number of loans | loan | 5 | 8 |
Troubled debt restructuring, Amount | $ | $ 40,910 | $ 9,236 |
Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring | ||
Accrual, number of loans | loan | 0 | 2 |
Accrual, amount | $ | $ 0 | $ 630 |
Non-accrual, number of loans | loan | 1 | 2 |
Non-accrual, amount | $ | $ 778 | $ 2,919 |
Troubled debt restructured, number of loans | loan | 1 | 4 |
Troubled debt restructuring, Amount | $ | $ 778 | $ 3,549 |
Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Troubled Debt Restructuring | ||
Accrual, number of loans | loan | 0 | |
Accrual, amount | $ | $ 0 | |
Non-accrual, number of loans | loan | 1 | |
Non-accrual, amount | $ | $ 35,826 | |
Troubled debt restructured, number of loans | loan | 1 | |
Troubled debt restructuring, Amount | $ | $ 35,826 | |
Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Troubled Debt Restructuring | ||
Accrual, number of loans | loan | 0 | 0 |
Accrual, amount | $ | $ 0 | $ 0 |
Non-accrual, number of loans | loan | 3 | 4 |
Non-accrual, amount | $ | $ 4,306 | $ 5,687 |
Troubled debt restructured, number of loans | loan | 3 | 4 |
Troubled debt restructuring, Amount | $ | $ 4,306 | $ 5,687 |
Consumer Portfolio Segment | Residential mortgage and consumer | ||
Financing Receivable, Troubled Debt Restructuring | ||
Accrual, number of loans | loan | 44 | 45 |
Accrual, amount | $ | $ 7,565 | $ 8,602 |
Non-accrual, number of loans | loan | 69 | 83 |
Non-accrual, amount | $ | $ 12,174 | $ 16,659 |
Troubled debt restructured, number of loans | loan | 113 | 128 |
Troubled debt restructuring, Amount | $ | $ 19,739 | $ 25,261 |
Loans Receivable, Net - Sched_2
Loans Receivable, Net - Schedule Of Troubled Debt Restructurings (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021USD ($)loan | Dec. 31, 2020USD ($)loan | |
Commercial Portfolio Segment | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Loss | ||
Troubled debt restructured, number of loans | loan | 1 | 1 |
Pre-modification Recorded Investment | $ | $ 795 | $ 933 |
Pre-modification Recorded Investment | $ | $ 783 | $ 933 |
Number of Loans | loan | 1 | 1 |
Pre-modification Interest Yield | 4.94% | 4.75% |
Post- modification Interest Yield | 4.94% | 4.75% |
Commercial Portfolio Segment | Multi-family | Commercial real estate | ||
Financing Receivable, Allowance for Credit Loss | ||
Troubled debt restructured, number of loans | loan | 1 | 0 |
Pre-modification Recorded Investment | $ | $ 37,671 | $ 0 |
Pre-modification Recorded Investment | $ | $ 35,826 | $ 0 |
Number of Loans | loan | 1 | 0 |
Pre-modification Interest Yield | 4.38% | 0.00% |
Post- modification Interest Yield | 4.38% | 0.00% |
Commercial Portfolio Segment | Commercial real estate | Commercial real estate | ||
Financing Receivable, Allowance for Credit Loss | ||
Troubled debt restructured, number of loans | loan | 1 | 4 |
Pre-modification Recorded Investment | $ | $ 170 | $ 5,707 |
Pre-modification Recorded Investment | $ | $ 170 | $ 5,707 |
Number of Loans | loan | 1 | 4 |
Pre-modification Interest Yield | 6.00% | 4.77% |
Post- modification Interest Yield | 6.00% | 4.77% |
Consumer Portfolio Segment | Residential mortgage and consumer | ||
Financing Receivable, Allowance for Credit Loss | ||
Troubled debt restructured, number of loans | loan | 4 | 7 |
Pre-modification Recorded Investment | $ | $ 226 | $ 1,813 |
Pre-modification Recorded Investment | $ | $ 226 | $ 1,813 |
Number of Loans | loan | 4 | 7 |
Pre-modification Interest Yield | 6.82% | 5.94% |
Post- modification Interest Yield | 3.07% | 5.94% |
Allowance for Credit Losses - P
Allowance for Credit Losses - Provisions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Credit Loss [Abstract] | |||
Provision for credit loss expense | $ (43,843) | $ 64,890 | |
Provision for credit losses | (1,397) | 700 | |
Provision for off-balance sheet credit exposures | (3,436) | 4,568 | |
Provision for credit losses | $ (48,676) | $ 70,158 | $ (1,000) |
Allowance for Credit Losses - A
Allowance for Credit Losses - Allowance for Credit Losses On Loans Receivable (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 282,986 | $ 228,120 |
Gross charge offs | (5,064) | (18,388) |
Recoveries | 5,605 | 7,735 |
Net charge-offs | 541 | (10,653) |
Allowance at acquisition on loans purchased with credit deterioration | 997 | 4,180 |
Provision for credit loss expense | (43,843) | 64,890 |
Balance at ending of the period | 240,681 | 282,986 |
Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 0 | (3,551) |
Balance at ending of the period | $ 0 |
Allowance for Credit Losses - N
Allowance for Credit Losses - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Credit Loss [Abstract] | ||
Accrued interest receivable | $ 70.3 | $ 69.6 |
Held-to-maturity, accrued interest receivable | $ 5.1 | $ 5.2 |
Allowance for Credit Losses - B
Allowance for Credit Losses - By Portfolio Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 282,986 | $ 228,120 |
Gross charge offs | (5,064) | (18,388) |
Recoveries | 5,605 | 7,735 |
Allowance at acquisition on loans purchased with credit deterioration | 997 | 4,180 |
Provision for credit loss expense | (43,843) | 64,890 |
Balance at ending of the period | 240,681 | 282,986 |
Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 0 | (3,551) |
Balance at ending of the period | 0 | |
Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 224,569 | |
Unallocated | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 0 | 1,945 |
Gross charge offs | 0 | 0 |
Recoveries | 0 | 0 |
Allowance at acquisition on loans purchased with credit deterioration | 0 | 0 |
Provision for credit loss expense | 0 | 0 |
Balance at ending of the period | 0 | 0 |
Unallocated | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | (1,945) | |
Unallocated | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 0 | |
Commercial Portfolio Segment | Construction | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 7,267 | 6,816 |
Gross charge offs | 0 | 0 |
Recoveries | 0 | 0 |
Allowance at acquisition on loans purchased with credit deterioration | 46 | 127 |
Provision for credit loss expense | 4,226 | 2,225 |
Balance at ending of the period | 11,539 | 7,267 |
Commercial Portfolio Segment | Construction | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | (1,901) | |
Commercial Portfolio Segment | Construction | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 4,915 | |
Consumer Portfolio Segment | Residential mortgage | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 19,941 | 17,391 |
Gross charge offs | (540) | (1,190) |
Recoveries | 1,469 | 677 |
Allowance at acquisition on loans purchased with credit deterioration | 41 | 344 |
Provision for credit loss expense | (1,257) | (17,370) |
Balance at ending of the period | 19,654 | 19,941 |
Consumer Portfolio Segment | Residential mortgage | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 20,089 | |
Consumer Portfolio Segment | Residential mortgage | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 37,480 | |
Consumer Portfolio Segment | Consumer and other | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 3,802 | 2,548 |
Gross charge offs | (403) | (41) |
Recoveries | 120 | 222 |
Allowance at acquisition on loans purchased with credit deterioration | 14 | 5 |
Provision for credit loss expense | 310 | (1,021) |
Balance at ending of the period | 3,843 | 3,802 |
Consumer Portfolio Segment | Consumer and other | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 2,089 | |
Consumer Portfolio Segment | Consumer and other | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 4,637 | |
Commercial and industrial | Commercial Portfolio Segment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 79,327 | 74,396 |
Gross charge offs | (1,206) | (12,005) |
Recoveries | 1,592 | 4,459 |
Allowance at acquisition on loans purchased with credit deterioration | 17 | 287 |
Provision for credit loss expense | 5,383 | 19,701 |
Balance at ending of the period | 85,113 | 79,327 |
Commercial and industrial | Commercial Portfolio Segment | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | (7,511) | |
Commercial and industrial | Commercial Portfolio Segment | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 66,885 | |
Multi-family | Commercial real estate | Commercial Portfolio Segment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 56,731 | 74,099 |
Gross charge offs | (2,593) | (4,631) |
Recoveries | 1,977 | 1,965 |
Allowance at acquisition on loans purchased with credit deterioration | 149 | 209 |
Provision for credit loss expense | (16,918) | (5,170) |
Balance at ending of the period | 39,346 | 56,731 |
Multi-family | Commercial real estate | Commercial Portfolio Segment | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | (9,741) | |
Multi-family | Commercial real estate | Commercial Portfolio Segment | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 64,358 | |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | 115,918 | 50,925 |
Gross charge offs | (322) | (521) |
Recoveries | 447 | 412 |
Allowance at acquisition on loans purchased with credit deterioration | 730 | 3,208 |
Provision for credit loss expense | (35,587) | 66,525 |
Balance at ending of the period | $ 81,186 | 115,918 |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | Adjustment | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | (4,631) | |
Commercial real estate | Commercial real estate | Commercial Portfolio Segment | Adjusted Balance | ||
Financing Receivable, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 46,294 |
Allowance for Credit - Losses H
Allowance for Credit - Losses Held To Maturity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 3,264 | $ 0 |
Provision for credit losses | (1,397) | 700 |
Balance at end of the period | 1,867 | 3,264 |
Adjustment | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 0 | 2,564 |
Balance at end of the period | $ 0 |
Allowance for Credit Losses - H
Allowance for Credit Losses - Held to Maturity by Portfolio (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 3,264 | $ 0 |
Provision for credit losses | (1,397) | 700 |
Balance at end of the period | 1,867 | 3,264 |
Adjustment | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | 0 | 2,564 |
Balance at end of the period | 0 | |
Municipal bonds | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | 34 | 0 |
Provision for credit losses | (12) | 17 |
Balance at end of the period | 22 | 34 |
Municipal bonds | Adjustment | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | 17 | |
Balance at end of the period | ||
Corporate and other debt securities | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | 3,230 | 0 |
Provision for credit losses | (1,385) | 683 |
Balance at end of the period | $ 1,845 | 3,230 |
Corporate and other debt securities | Adjustment | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss | ||
Balance at beginning of the period | $ 2,547 | |
Balance at end of the period |
Allowance for Credit Losses - O
Allowance for Credit Losses - Off Balance Sheet (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Off-Balance Sheet, Credit Loss, Liability | ||
Balance at beginning of the period | $ 17,667 | $ 425 |
Provision for credit losses | (3,436) | 4,568 |
Balance at end of the period | 14,231 | 17,667 |
Adjustment | ||
Off-Balance Sheet, Credit Loss, Liability | ||
Balance at beginning of the period | $ 0 | 12,674 |
Balance at end of the period | $ 0 |
Office Properties and Equipme_3
Office Properties and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment | ||
Office properties and equipment, gross | $ 288,545 | $ 297,279 |
Less accumulated depreciation and amortization | 159,257 | 157,616 |
Office properties and equipment, net | 129,288 | 139,663 |
Land | ||
Property, Plant and Equipment | ||
Office properties and equipment, gross | 10,142 | 10,731 |
Office buildings | ||
Property, Plant and Equipment | ||
Office properties and equipment, gross | 37,486 | 44,895 |
Leasehold improvements | ||
Property, Plant and Equipment | ||
Office properties and equipment, gross | 123,565 | 124,752 |
Furniture, fixtures and equipment | ||
Property, Plant and Equipment | ||
Office properties and equipment, gross | 110,331 | 109,909 |
Construction in process | ||
Property, Plant and Equipment | ||
Office properties and equipment, gross | $ 7,021 | $ 6,992 |
Office Properties and Equipme_4
Office Properties and Equipment, Net - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($)branch | Dec. 31, 2019USD ($) | |
Property, Plant and Equipment | |||
Depreciation and amortization expense | $ 21,614 | $ 21,350 | $ 19,579 |
Proceeds from sale of real estate property | 0 | 49,970 | 0 |
Gain on sale-leaseback transactions | 0 | 23,129 | $ 0 |
Gain on sales lease back, net | 16,700 | ||
Operating lease right-of-use assets | 199,603 | 199,981 | |
Operating lease liabilities | $ 212,678 | 212,559 | |
15 Branch Location And Corporate Office | |||
Property, Plant and Equipment | |||
Operating lease right-of-use assets | 32,200 | ||
Operating lease liabilities | $ 32,200 | ||
Land and building | |||
Property, Plant and Equipment | |||
Branch location (branch) | branch | 15 | ||
Sales lease back assets | $ 24,800 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Lessee, Lease, Description | ||
Finance lease, right of use asset | $ 798 | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position | Other assets | Other assets |
Finance lease liability | $ 813 | |
Finance Lease, Liability, Statement of Financial Position | Other liabilities | Other liabilities |
Maximum | ||
Lessee, Lease, Description | ||
Remaining lease term (in years) | 15 years | |
Renewal term (in years) | 10 years |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 199,603 | $ 199,981 |
Operating lease liabilities | $ 212,678 | $ 212,559 |
Weighted average remaining lease term | 8 years 6 months | 9 years 4 months 24 days |
Weighted average discount rate | 2.40% | 2.49% |
Leases - Supplemental Income an
Leases - Supplemental Income and Expense Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Operating lease cost | $ 29,986 | $ 26,242 | $ 25,245 |
Short-term lease cost | 827 | 460 | 306 |
Variable lease cost | (2) | (2) | (1) |
Sublease income | $ 209 | $ 253 | $ 268 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Operating cash flows from operating leases | $ 29,540 | $ 24,973 | $ 24,497 |
Operating leases | $ 25,683 | $ 46,758 | $ 2,996 |
Leases - Maturity of Lease Liab
Leases - Maturity of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Lessee, Operating Lease, Liability, Payment, Due | ||
2022 | $ 30,709 | |
2023 | 29,746 | |
2024 | 29,440 | |
2025 | 28,786 | |
2026 | 24,349 | |
Thereafter | 92,697 | |
Total lease payments | 235,727 | |
Less: Imputed interest | (23,049) | |
Operating lease liabilities | $ 212,678 | $ 212,559 |
Goodwill and Other Intangible_3
Goodwill and Other Intangibles - Assets Summary of Other Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Finite-Lived Intangible Asset | ||
Gross Intangible Asset | $ 42,195 | $ 41,772 |
Accumulated Amortization | (26,360) | (25,664) |
Valuation Allowance | (70) | (1,010) |
Net Intangible Assets | 15,765 | 15,098 |
Goodwill | 116,228 | 94,535 |
Goodwill and intangible assets | 131,993 | 109,633 |
Mortgage servicing rights | ||
Finite-Lived Intangible Asset | ||
Gross Intangible Asset | 14,684 | 17,559 |
Accumulated Amortization | (5,211) | (5,592) |
Valuation Allowance | (70) | (1,010) |
Net Intangible Assets | 9,403 | 10,957 |
Core Deposit Premiums | ||
Finite-Lived Intangible Asset | ||
Gross Intangible Asset | 26,661 | 23,063 |
Accumulated Amortization | (20,814) | (19,503) |
Valuation Allowance | 0 | 0 |
Net Intangible Assets | 5,847 | 3,560 |
Other | ||
Finite-Lived Intangible Asset | ||
Gross Intangible Asset | 850 | 1,150 |
Accumulated Amortization | (335) | (569) |
Valuation Allowance | 0 | 0 |
Net Intangible Assets | $ 515 | $ 581 |
Goodwill and Other Intangible_4
Goodwill and Other Intangibles Assets - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Finite-Lived Intangible Asset | ||
Loans sold | $ 1,330,000 | $ 1,690,000 |
Estimated fair value of servicing asset in intangible assets | $ 10,800 | 11,200 |
Weighted average discount rate of servicing assets | 11.31% | |
Weighted average constant prepayment rate on mortgages | 12.78% | |
Weighted average life of servicing assets, years | 5 years 6 months | |
Finite intangible assets, valuation allowance | $ 70 | 1,010 |
Core Deposit Premiums | ||
Finite-Lived Intangible Asset | ||
Finite intangible assets, valuation allowance | $ 0 | 0 |
Useful life (in years) | 10 years | |
Core Deposit Premiums | Berkshire Bank Branch | ||
Finite-Lived Intangible Asset | ||
Finite lived intangible asses acquired | $ 3,600 | |
Core Deposit Premiums | Gold Coast Bancorp, Inc. | ||
Finite-Lived Intangible Asset | ||
Finite lived intangible asses acquired | 2,500 | |
Mortgage servicing rights | ||
Finite-Lived Intangible Asset | ||
Finite intangible assets, valuation allowance | $ 70 | 1,010 |
Valuation Allowance | $ 900 |
Goodwill and Other Intangible_5
Goodwill and Other Intangibles Assets - Estimated Future Amortization (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Mortgage servicing rights | |
Finite-Lived Intangible Asset | |
2022 | $ 351 |
2023 | 360 |
2024 | 370 |
2025 | 379 |
2026 | 382 |
Core Deposit Premiums | |
Finite-Lived Intangible Asset | |
2022 | 1,371 |
2023 | 965 |
2024 | 656 |
2025 | 585 |
2026 | 529 |
Other | |
Finite-Lived Intangible Asset | |
2022 | 57 |
2023 | 57 |
2024 | 57 |
2025 | 57 |
2026 | $ 57 |
Deposits - Summary of Deposits
Deposits - Summary of Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Non-interest bearing: | ||
Checking accounts, amount | $ 4,658,319 | $ 3,663,073 |
Checking accounts, Percentage of Total | 22.37% | 18.76% |
Interest-bearing: | ||
Checking accounts, Weighted Average Rate | 0.36% | 0.49% |
Money market deposits, Weighted Average Rate | 0.31% | 0.42% |
Savings, Weighted Average Rate | 0.24% | 0.48% |
Certificates of deposit, Weighted Average Rate | 0.43% | 0.97% |
Total deposits, Weighted Average Rate | 0.26% | 0.45% |
Checking account, Amount | $ 7,270,634 | $ 6,043,393 |
Money market deposits, Amount | 4,757,567 | 5,037,327 |
Savings, Amount | 2,043,152 | 2,063,447 |
Certificates of deposit, Amount | $ 2,094,966 | $ 2,718,179 |
Checking accounts, Percentage of Total | 34.91% | 30.95% |
Money market deposit, Percentage of Total | 22.85% | 25.80% |
Savings, Percentage of Total | 9.81% | 10.57% |
Certificate of deposit, Percentage of Total | 10.06% | 13.92% |
Total Deposit, Amount | $ 20,824,638 | $ 19,525,419 |
Total Deposits, Percentage of Total | 100.00% | 100.00% |
Deposits - Narrative (Details)
Deposits - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Banking and Thrift, Other Disclosures [Abstract] | ||
Total uninsured deposits | $ 10,770 | $ 9,510 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Certificates of Deposit (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Time Deposits, Fiscal Year Maturity | ||
Within one year | $ 1,788,084 | $ 2,386,850 |
One to two years | 178,287 | 271,302 |
Two to three years | 92,208 | 31,893 |
Three to four years | 12,476 | 15,016 |
After four years | 23,911 | 13,118 |
Total certificates of deposits | $ 2,094,966 | $ 2,718,179 |
Deposits - Interest Expense on
Deposits - Interest Expense on Deposits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Banking and Thrift, Other Disclosures [Abstract] | |||
Checking accounts | $ 27,488 | $ 42,014 | $ 84,698 |
Money market deposits | 20,508 | 42,568 | 60,896 |
Savings | 5,591 | 12,056 | 17,148 |
Certificates of deposit | 14,318 | 58,951 | 99,115 |
Total interest expense on deposits | $ 67,905 | $ 155,589 | $ 261,857 |
Borrowed Funds - Summary of Bor
Borrowed Funds - Summary of Borrowed Funds (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Funds borrowed under repurchase agreements: | ||
Funds borrowed under repurchase agreements, Principal | $ 449,117 | $ 448,514 |
Funds borrowed under repurchase agreements, Weighted Average Rage | 1.97% | 1.97% |
Other borrowed funds: | ||
FHLB advances | $ 3,071,419 | $ 2,662,574 |
FHLB advances, weighted average rate | 0.74% | 1.20% |
Subordinated debt, principal | $ 14,502 | $ 14,702 |
Subordinated debt weighted average rate | 6.50% | 6.50% |
Other, principal | $ 0 | $ 170,000 |
Other, weighted average interest rate | 0.00% | 0.13% |
Total other borrowed fund, principal | $ 3,085,921 | $ 2,847,276 |
Total other borrowed funds, weighted average rate | 0.77% | 1.17% |
Total borrowed funds | $ 3,535,038 | $ 3,295,790 |
Total borrowed funds, weighted average rate | 0.92% | 1.28% |
Borrowed Funds - Borrowed Funds
Borrowed Funds - Borrowed Funds Scheduled Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Long-term Debt, Fiscal Year Maturity | ||
Within one year | $ 2,350,000 | $ 1,513,000 |
One to two years | 497,448 | 574,741 |
Two to three years | 673,088 | 520,989 |
Three to four years | 0 | 672,358 |
Four to five years | 0 | 0 |
After five years | 14,502 | 14,702 |
Total borrowed funds | $ 3,535,038 | $ 3,295,790 |
Within one year, weighted average rate | 0.36% | 0.33% |
One to two years, weighted average rate | 2.12% | 2.15% |
Two to three years, weighted average rate | 1.90% | 2.10% |
Three to four years, weighted average rate | 0.00% | 1.90% |
Four to five years, weighted average rate | 0.00% | 0.00% |
After five years, weighted average rate | 6.50% | 6.50% |
Total borrowed funds, weighted average rate | 0.92% | 1.28% |
Borrowed Funds - Amortized Cost
Borrowed Funds - Amortized Cost and Fair Value of The Underlying Securities Used As Collateral For Securities Sold Under Agreements to Repurchase (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Debt and Equity Securities, FV-NI | ||
Amortized cost of collateral: | $ 474,621 | $ 471,506 |
Fair value of collateral: | 488,896 | 494,160 |
Mortgage-backed securities | ||
Debt and Equity Securities, FV-NI | ||
Amortized cost of collateral: | 474,621 | 471,506 |
Fair value of collateral: | $ 488,896 | $ 494,160 |
Borrowed Funds - Narrative (Det
Borrowed Funds - Narrative (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |||||
Apr. 30, 2020 | Aug. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Apr. 03, 2020 | |
Debt Instrument | |||||||
Maximum month end balance of repurchase agreements | $ 449,100,000 | $ 548,000,000 | $ 447,900,000 | ||||
Average amount of repurchase agreements outstanding during the years | $ 448,800,000 | $ 451,700,000 | $ 369,000,000 | ||||
Repurchase agreements, average interest rate | 2.14% | 2.17% | 2.45% | ||||
Letters of credit outstanding | $ 45,200,000 | ||||||
Gold Coast Bancorp, Inc. | |||||||
Debt Instrument | |||||||
Borrowed funds | $ 14,900,000 | ||||||
FHLB June Repayments | |||||||
Debt Instrument | |||||||
Average interest rate | 3.00% | ||||||
FHLB June Advances | |||||||
Debt Instrument | |||||||
Average interest rate | 2.55% | ||||||
Maturity dates, year | 4 years | ||||||
Prepayment penalty, percent | 0.47% | ||||||
FHLB August Repayments | |||||||
Debt Instrument | |||||||
Average interest rate | 2.46% | ||||||
FHLB August Advances | |||||||
Debt Instrument | |||||||
Average interest rate | 2.16% | ||||||
Maturity dates, year | 5 years | ||||||
Prepayment penalty, percent | 0.27% | ||||||
Subordinated debt | Gold Coast Bancorp, Inc. | |||||||
Debt Instrument | |||||||
Borrowed funds | $ 13,500,000 | ||||||
Interest payable in arrears | 6.50% | ||||||
Subordinated debt | London Interbank Offered Rate (LIBOR) | Gold Coast Bancorp, Inc. | |||||||
Debt Instrument | |||||||
Interest payable in arrears at 3-month LIBOR plus | 4.55% | ||||||
FHLB Advances | FHLB June Repayments | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement prepaid | $ 200,000,000 | ||||||
FHLB Advances | FHLB June Advances | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement replaced | 200,000,000 | ||||||
FHLB Advances | FHLB August Repayments | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement prepaid | $ 275,000,000 | ||||||
FHLB Advances | FHLB August Advances | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement replaced | $ 275,000,000 | ||||||
Repurchase Agreements | FHLB June Repayments | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement prepaid | 150,000,000 | ||||||
Repurchase Agreements | FHLB June Advances | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement replaced | $ 150,000,000 | ||||||
Unsecured Debt | |||||||
Debt Instrument | |||||||
Commitment for overnight with other institutions | 750,000,000 | ||||||
Unsecured overnight borrowings outstanding | 0 | ||||||
FHLB | |||||||
Debt Instrument | |||||||
FHLB, borrowing capacity | 11,550,000,000 | ||||||
FHLB, borrowing capacity outstanding | 7,140,000,000 | ||||||
Letters of credit outstanding | 4,060,000,000 | ||||||
FHLB | Interest Rate Swaps | |||||||
Debt Instrument | |||||||
Aggregate notional amount | $ 400,000,000 | ||||||
Derivative swaption interest rate | 2.30% | ||||||
FHLB | FHLB Advances | |||||||
Debt Instrument | |||||||
FHLB advances and repurchase agreement prepaid | $ 600,000,000 | $ 1,200,000,000 | |||||
Average interest rate | 2.13% | 1.47% | |||||
Total cost | $ 10,200,000 | $ 24,100,000 |
Income Taxes - Summary of Compo
Income Taxes - Summary of Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current tax expense: | |||
Federal | $ 71,775 | $ 82,039 | $ 32,881 |
State | 28,926 | 27,112 | 12,743 |
Current tax expense, Total | 100,701 | 109,151 | 45,624 |
Deferred tax (benefit) expense: | |||
Federal | 10,955 | (25,104) | 28,784 |
State | 3,424 | (9,086) | 16,840 |
Deferred tax (benefit) expense, Total | 14,379 | (34,190) | 45,624 |
Total income tax expense | $ 115,080 | $ 74,961 | $ 91,248 |
Income Taxes - Summary of Recon
Income Taxes - Summary of Reconciliation Between the Actual Income Tax Expense (Benefit) And The 'Expected' Amount Computed Using Applicable Statutory Federal Income Tax Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
“Expected” federal income tax expense | $ 89,967 | $ 62,273 | $ 60,214 |
State tax, net | 27,637 | 12,790 | 19,075 |
Impact of tax law changes | (1,240) | 0 | 7,823 |
Tax exempt interest | (2,410) | (2,399) | (1,519) |
Non-deductible FDIC premiums | 1,132 | 1,169 | 1,229 |
Bank owned life insurance | (1,375) | (1,394) | (1,374) |
Tax credits | (677) | (1,610) | 0 |
Other | 2,046 | 4,132 | 5,800 |
Total income tax expense | $ 115,080 | $ 74,961 | $ 91,248 |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Asset and Liability in Temporary Differences And Loss Carryforwards (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax asset: | ||
Employee benefits | $ 27,716 | $ 29,754 |
Deferred compensation | 412 | 480 |
Premises and equipment | 2,002 | 3,926 |
Allowance for credit losses | 66,127 | 84,018 |
Net unrealized loss on hedging activities | 1,749 | 30,399 |
ESOP | 4,866 | 4,123 |
Fair value adjustments related to acquisitions | 8,946 | 11,527 |
Loan origination costs | 8,475 | 8,004 |
State NOL | 399 | 312 |
Other | 5,703 | 1,393 |
Gross deferred tax asset | 126,395 | 173,936 |
Deferred tax liability: | ||
Mortgage servicing rights | 2,640 | 3,034 |
Net unrealized gain on debt securities available-for-sale | 645 | 14,018 |
Equipment financing | 35,295 | 39,627 |
Other | 564 | 452 |
Gross deferred tax liability | 39,144 | 57,131 |
Net deferred tax asset | $ 87,251 | $ 116,805 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Deferred tax asset valuation allowance | $ 0 | $ 0 | |
New Jersey Assembly Bill 4202, provisional income tax expense | $ (7,800,000) | 1,200,000 | |
Retained earnings without deferred income taxes | 45,200,000 | ||
Deferred income taxes | 12,900,000 | ||
Unrecognized tax benefits | 0 | 0 | |
Interest and penalties related to income taxes | $ 0 | $ 0 |
Benefit Plans - Narrative (Deta
Benefit Plans - Narrative (Details) - USD ($) | Jul. 22, 2019 | Jun. 21, 2019 | Jun. 09, 2015 | May 07, 2014 | Sep. 30, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Jul. 01, 2021 | Jul. 01, 2020 | May 20, 2019 | Oct. 31, 2005 |
Defined Benefit Plan Disclosure | ||||||||||||
Employee contribution percentage that company matches 50% (in percent) | 60.00% | |||||||||||
Matching contribution (in percent) | 50.00% | 50.00% | 50.00% | |||||||||
Contribution by participants (in percent) | 8.00% | 8.00% | 8.00% | |||||||||
Discretionary profit sharing contribution | $ 0 | $ 0 | $ 0 | |||||||||
Discretionary profit sharing contribution (percentage) | 1.00% | |||||||||||
Company's aggregate contributions | $ 4,100,000 | $ 4,300,000 | $ 3,600,000 | |||||||||
Total stock options granted (in shares) | 0 | |||||||||||
Future expense of non vested option outstanding | $ 1,900,000 | |||||||||||
Expected future compensation expense relating to unvested restricted shares | 3 months 29 days | |||||||||||
Stock options surrendered (in shares) | 66,439 | |||||||||||
Exercise price (usd per share) | $ 12.49 | $ 12.46 | ||||||||||
Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Number of shares granted (shares) | 262,281 | |||||||||||
Future expense of non vested option outstanding | $ 10,200,000 | |||||||||||
Expected future compensation expense relating to unvested restricted shares | 2 years 10 days | |||||||||||
Restricted stock surrendered (in shares) | 33,351 | |||||||||||
Accelerated stock compensation expense | $ 2,000,000 | $ 2,000,000 | ||||||||||
Non-Employee Directors And Non-Directors | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Restricted stock surrendered (in shares) | 95,694 | |||||||||||
Chief Executive Officer | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Stock options surrendered (in shares) | 1,333,333 | |||||||||||
Chief Executive Officer | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Restricted stock surrendered (in shares) | 925,000 | |||||||||||
President | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Stock options surrendered (in shares) | 1,066,667 | |||||||||||
President | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Restricted stock surrendered (in shares) | 740,000 | |||||||||||
2015 Equity Incentive Plan | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 30,881,296 | |||||||||||
Total stock options granted (in shares) | 0 | 995,216 | ||||||||||
Weighted average fair value of options granted (usd per share) | $ 0.89 | |||||||||||
2015 Equity Incentive Plan | Employee Stock Option | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 17,646,455 | |||||||||||
Contractual term of option (years) | 10 years | |||||||||||
Issuance of additional restricted stock (in shares) | 0 | 995,216 | ||||||||||
2015 Equity Incentive Plan | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 13,234,841 | |||||||||||
Number of shares granted (shares) | 262,281 | |||||||||||
Issuance of additional restricted stock (in shares) | 91,249 | 2,360,919 | ||||||||||
2015 Equity Incentive Plan | Minimum | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Vesting period (years) | 5 years | |||||||||||
2015 Equity Incentive Plan | Maximum | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Vesting period (years) | 7 years | |||||||||||
The Replacement Awards | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Vesting percentage | 59.00% | |||||||||||
The Replacement Awards | Equity Option | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Vesting period (years) | 3 years | |||||||||||
Exercise price (usd per share) | $ 12.54 | |||||||||||
Vesting percentage | 25.00% | |||||||||||
The Replacement Awards | Chief Executive Officer | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 925,000 | |||||||||||
The Replacement Awards | Chief Executive Officer | Equity Option | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 525,120 | |||||||||||
The Replacement Awards | President | Restricted Stock | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 740,000 | |||||||||||
The Replacement Awards | President | Equity Option | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 420,096 | |||||||||||
Employee Stock Ownership Plan | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Shares authorized to purchase (shares) | 10,847,883 | |||||||||||
Share price (usd per share) | $ 10 | $ 3.92 | ||||||||||
Investors bank employee stock ownership plan (shares) | 6,617,421 | |||||||||||
Outstanding loan principle balance | $ 33,900,000 | $ 81,800,000 | ||||||||||
ESOP, Incremental borrowing, amount | $ 66,200,000 | |||||||||||
Shares allocated to participants (shares) | 7,117,934 | |||||||||||
Shares unallocated or not yet committed to be released (shares) | 10,347,370 | |||||||||||
Fair market value | $ 156,800,000 | |||||||||||
Compensation expense | 4,500,000 | $ 3,000,000 | $ 5,100,000 | |||||||||
Amended And Restated Supplemental Esop And Retirement Plan | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Compensation benefit (expense) | (2,100,000) | 105,000 | (827,000) | |||||||||
Other Pension, Postretirement and Supplemental Plans | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Unfunded pension benefits | 50,409,000 | 51,307,000 | ||||||||||
Accumulated benefit obligation | 40,200,000 | 39,500,000 | ||||||||||
Pentegra DB Plan | ||||||||||||
Defined Benefit Plan Disclosure | ||||||||||||
Defined benefit plan, funded (percentage) | 104.37% | 87.34% | ||||||||||
Contribution and pension cost | $ 7,300,000 | 5,500,000 | $ 4,800,000 | |||||||||
Defined benefit plan maximum employer contribution, less than (percentage) | 5.00% | |||||||||||
Accrued liability in pension plan | $ 266,132 | $ 874,000 |
Benefit Plans - Summary of Info
Benefit Plans - Summary of Information Regarding Supplemental Executive Retirement Wage Replacement Plan And The Directors' Defined Benefit Plan (Details) - Other Pension, Postretirement and Supplemental Plans - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plan, Change in Benefit Obligation | |||
Benefit obligation at beginning of year | $ 51,307 | $ 46,009 | |
Interest cost | 1,000 | 1,297 | $ 1,588 |
Loss (gain) due to change in mortality assumption | 106 | (451) | |
(Gain) loss due to change in discount rate | (2,203) | 4,323 | |
Loss due to demographic changes | 1,081 | 813 | |
Actuarial (gain) loss | (12) | 205 | |
Benefits paid | (870) | (889) | |
Benefit obligation at end of year | 50,409 | 51,307 | $ 46,009 |
Funded status | $ (50,409) | $ (51,307) |
Benefit Plans - Components of A
Benefit Plans - Components of Accumulated Other Comprehensive Loss Related To Pension Plans On A Pre-Tax Basis (Details) - Other Pension, Postretirement and Supplemental Plans - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Defined Benefit Plan Disclosure | ||
Net actuarial loss | $ 10,182 | $ 11,777 |
Total amounts recognized in accumulated other comprehensive loss | $ 10,182 | $ 11,777 |
Benefit Plans - Summary of Weig
Benefit Plans - Summary of Weighted-Average Actuarial Assumptions Used (Details) - Other Pension, Postretirement and Supplemental Plans | Dec. 31, 2021 | Dec. 31, 2020 |
Defined Benefit Plan Disclosure | ||
Discount rate | 2.46% | 2.01% |
Rate of compensation increase | 0.00% | 0.00% |
Benefit Plans - Components of N
Benefit Plans - Components of Net Periodic Benefit Cost (Details) - Other Pension, Postretirement and Supplemental Plans - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plan Disclosure | |||
Interest cost | $ 1,000 | $ 1,297 | $ 1,588 |
Net loss | 567 | 1,195 | 0 |
Total net periodic benefit cost | $ 1,567 | $ 2,492 | $ 1,588 |
Benefit Plans - Weighted Averag
Benefit Plans - Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost (Details) - Other Pension, Postretirement and Supplemental Plans | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plan Disclosure | |||
Discount rate | 2.01% | 2.88% | 3.99% |
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Benefit Plans - Estimated Futur
Benefit Plans - Estimated Future Benefit Payments (Details) - Other Pension, Postretirement and Supplemental Plans $ in Thousands | Dec. 31, 2021USD ($) |
Amount | |
2022 | $ 3,026 |
2023 | 3,236 |
2024 | 3,202 |
2025 | 3,165 |
2026 | 3,125 |
2027 through 2031 | $ 16,160 |
Benefit Plans - Weighted Aver_2
Benefit Plans - Weighted Average Assumptions (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award | ||
Total stock options granted (in shares) | 0 | |
2015 Equity Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Weighted average expected life (in years) | 4 years 9 months 29 days | |
Weighted average risk-free rate of return | 1.86% | |
Weighted average volatility | 19.92% | |
Dividend yield | 3.96% | |
Weighted average fair value of options granted (usd per share) | $ 0.89 | |
Total stock options granted (in shares) | 0 | 995,216 |
Benefit Plans - Share-based com
Benefit Plans - Share-based compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |||
Stock option expense | $ 3,707 | $ 3,869 | $ 5,935 |
Restricted stock expense | 10,607 | 10,896 | 14,026 |
Total share-based compensation expense | $ 14,314 | $ 14,765 | $ 19,961 |
Benefit Plans - Summary of Non-
Benefit Plans - Summary of Non-Vested Options and Restricted Shares (Details) - Restricted Stock | 12 Months Ended |
Dec. 31, 2021$ / sharesshares | |
Number of Shares Awarded | |
Number of Shares Awarded, Non-vested Beginning Balance (shares) | shares | 1,974,235 |
Number of Shares Awarded, Granted (shares) | shares | 262,281 |
Number of Shares Awarded, Vested (shares) | shares | (807,337) |
Number of Shares Awarded, Forfeited (shares) | shares | (33,351) |
Number of Shares Awarded, Non-vested Ending Balance (shares) | shares | 1,395,828 |
Weighted Average Grant Date Fair Value | |
Weighted Average Grant Date Fair Value, Non-vested Beginning Balance (usd per share) | $ / shares | $ 12.44 |
Weighted Average Grant Date Fair Value, Granted (usd per share) | $ / shares | 13.29 |
Weighted Average Grant Date Fair Value, Vested (usd per share) | $ / shares | 12.36 |
Weighted Average Grant Date Fair Value, Forfeited (usd per share) | $ / shares | 12 |
Weighted Average Grant Date Fair Value, Non-vested Ending Balance (usd per share) | $ / shares | $ 12.39 |
Benefit Plans - Summary of Stoc
Benefit Plans - Summary of Stock Option Activity and Related Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Stock Options | ||
Number of Stock Options, Outstanding Beginning Balance (shares) | 5,570,858 | |
Number of Stock Options, Granted (shares) | 0 | |
Number of Stock Options, Exercised (shares) | (814,592) | |
Number of Stock Options, Forfeited (shares) | (66,439) | |
Number of Stock Options, Expired (shares) | 0 | |
Number of Stock Options, Outstanding Ending Balance (shares) | 4,689,827 | 5,570,858 |
Number of Stock Options, Exercisable Ending Balance (in shares) | 3,804,164 | |
Weighted Average Exercise Price | ||
Weighted Average Exercise Price, Outstanding Beginning Balance (usd per share) | $ 12.46 | |
Weighted Average Exercise Price, Granted (usd per share) | 0 | |
Weighted Average Exercise Price, Exercised (usd per share) | 12.26 | |
Weighted Average Exercise Price, Forfeited (usd per share) | 12.54 | |
Weighted Average Exercise Price, Expired (usd per share) | 0 | |
Weighted Average Exercise Price, Outstanding Ending Balance (usd per share) | 12.49 | $ 12.46 |
Weighted Average Exercise Price, Exercisable Ending Balance (usd per share) | $ 12.49 | |
Outstanding, Weighted Average Remaining Contractual Life (years) | 3 years 7 months 6 days | 4 years 6 months |
Weighted Average Remaining Contractual Life, Exercisable Ending Balance (years) | 3 years 6 months | |
Aggregate Intrinsic Value, Outstanding Beginning Balance | $ 191 | |
Aggregate Intrinsic Value, Outstanding Ending Balance | 12,460 | $ 191 |
Aggregate Intrinsic Value, Exercisable at Ending Balance | $ 10,138 |
Commitments and Contingencies (
Commitments and Contingencies (Details) | 12 Months Ended | |
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($)derivative | |
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans receivable, net | $ 22,342,612,000 | $ 20,580,451,000 |
Standby letters of credit extended for a term, years | 1 year | |
Letters of credit outstanding | $ 45,200,000 | |
Total commitments | 10,000,000 | |
Remaining commitment outstanding | 11,500,000 | $ 5,500,000 |
Interest Rate Swaps | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Number of swap contracts terminated | derivative | 2 | |
Interest Rate Swaps | Fair Value Hedging | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Aggregate notional amount | $ 475,000,000 | |
Interest Rate Swaps | Cash Flow Hedging | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Number of swap contracts terminated | derivative | 4 | |
Aggregate notional amount | $ 400,000,000 | |
Other assets | Designated as Hedging Instrument | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 39,248,000 | 1,419,000 |
Other assets | Designated as Hedging Instrument | Interest Rate Swaps | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 39,248,000 | 1,419,000 |
Aggregate notional amount | 3,480,000,000 | |
Other assets | Not Designated as Hedging Instrument | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 25,977,000 | 34,155,000 |
Other assets | Not Designated as Hedging Instrument | Interest Rate Swaps | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 25,977,000 | 34,155,000 |
Other assets | Not Designated as Hedging Instrument | Other Contracts | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 0 | 0 |
Other liabilities | Designated as Hedging Instrument | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivative liabilities | (49,875,000) | (115,166,000) |
Other liabilities | Designated as Hedging Instrument | Interest Rate Swaps | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 508,000 | |
Derivative liabilities | (49,875,000) | (115,166,000) |
Other liabilities | Not Designated as Hedging Instrument | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivatives asset | 8,200,000 | |
Derivative liabilities | (26,137,000) | (34,372,000) |
Other liabilities | Not Designated as Hedging Instrument | Interest Rate Swaps | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivative liabilities | (25,977,000) | (34,155,000) |
Interest rate derivative liabilities, at fair value | 360,000 | |
Other liabilities | Not Designated as Hedging Instrument | Other Contracts | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Derivative liabilities | $ (160,000) | (217,000) |
Minimum | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans, interest-only period (in years) | 1 year | |
Maximum | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans, interest-only period (in years) | 10 years | |
No Income Verification Residential Mortgage Loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans receivable, net | $ 81,300,000 | 109,000,000 |
Interest-Only Residential and Consumer Loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans receivable, net | $ 20,000,000 | $ 32,100,000 |
Percentage of portfolio | 1.00% | 1.00% |
Interest Only Commercial Real Estate and Multi-Family Loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans receivable, net | $ 2,560,000,000 | $ 1,250,000,000 |
Commercial Loan | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Loans receivable, net | 267,000,000 | |
Commitments to Originate Fixed | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Commitments to fixed- and variable-rate loans | 81,200,000 | |
Commitments to Purchase Fixed | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Commitments to fixed- and variable-rate loans | 13,100,000 | |
Unused lines of Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Commitment | 2,080,000,000 | |
Commitments to Fund Loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Commitment | 0 | |
Commitments to Sell Loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Commitment | 0 | |
Commercial real estate | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information | ||
Commitments to fixed- and variable-rate loans | 305,100,000 | |
Letters of credit outstanding | $ 0 |
Derivatives and Hedging Activ_3
Derivatives and Hedging Activities - Narrative (Details) - Interest Rate Swaps $ in Millions | 12 Months Ended | |
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($)derivative | |
Derivative | ||
Number of swap contracts terminated | derivative | 2 | |
Cash Flow Hedging | ||
Derivative | ||
Number of swap contracts terminated | derivative | 4 | |
Aggregate notional amount | $ 400 | |
Fair Value Hedging | ||
Derivative | ||
Aggregate notional amount | 475 | |
Designated as Hedging Instrument | ||
Derivative | ||
Hedging term | 13 months | |
Cash flow hedge gain (loss) to be reclassified within twelve months | $ 29.9 | |
Fee income from derivative instruments | $ 8.4 | $ 8.5 |
Derivatives and Hedging Activ_4
Derivatives and Hedging Activities - Fair Value of Derivative Instruments on the Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Other assets | ||
Asset Derivatives | ||
Netting Adjustments | $ 46,913 | $ 997 |
Net Derivatives on the Balance Sheet | 18,312 | 34,577 |
Cash Collateral | 0 | 0 |
Net Derivative Amounts | 18,312 | 34,577 |
Other assets | Designated as Hedging Instrument | ||
Asset Derivatives | ||
Fair Value | 39,248 | 1,419 |
Other assets | Designated as Hedging Instrument | Interest Rate Swaps | ||
Asset Derivatives | ||
Notional Amount | 1,400,000 | 400,000 |
Fair Value | 39,248 | 1,419 |
Other assets | Not Designated as Hedging Instrument | ||
Asset Derivatives | ||
Fair Value | 25,977 | 34,155 |
Other assets | Not Designated as Hedging Instrument | Interest Rate Swaps | ||
Asset Derivatives | ||
Notional Amount | 973,000 | 641,000 |
Fair Value | 25,977 | 34,155 |
Other assets | Not Designated as Hedging Instrument | Other Contracts | ||
Asset Derivatives | ||
Notional Amount | 0 | 0 |
Fair Value | 0 | 0 |
Other liabilities | ||
Liability Derivatives | ||
Netting Adjustments | 66,613 | 149,046 |
Net Derivatives on the Balance Sheet | 9,399 | 492 |
Cash Collateral | 0 | 237 |
Net Derivative Amounts | 9,399 | 255 |
Other liabilities | Designated as Hedging Instrument | ||
Liability Derivatives | ||
Fair Value | 49,875 | 115,166 |
Other liabilities | Designated as Hedging Instrument | Interest Rate Swaps | ||
Asset Derivatives | ||
Fair Value | 508 | |
Liability Derivatives | ||
Notional Amount | 2,075,000 | 2,925,000 |
Fair Value | 49,875 | 115,166 |
Other liabilities | Not Designated as Hedging Instrument | ||
Asset Derivatives | ||
Fair Value | 8,200 | |
Liability Derivatives | ||
Fair Value | 26,137 | 34,372 |
Other liabilities | Not Designated as Hedging Instrument | Interest Rate Swaps | ||
Liability Derivatives | ||
Notional Amount | 973,000 | 641,000 |
Fair Value | 25,977 | 34,155 |
Other liabilities | Not Designated as Hedging Instrument | Other Contracts | ||
Liability Derivatives | ||
Notional Amount | 51,000 | 34,000 |
Fair Value | $ 160 | $ 217 |
Derivatives and Hedging Activ_5
Derivatives and Hedging Activities - Effective Derivative Instrument (Details) - Cash Flow Hedging - Interest Rate Swaps - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative | ||
Amount of gain (loss) recognized in other comprehensive income (loss) | $ 59,534 | $ (111,851) |
Interest Expense | ||
Derivative | ||
Amount of (loss) gain reclassified from accumulated other comprehensive income (loss) | (42,386) | (31,770) |
Other expense | ||
Derivative | ||
Amount of (loss) gain reclassified from accumulated other comprehensive income (loss) | $ 0 | $ (14,192) |
Derivatives and Hedging Activ_6
Derivatives and Hedging Activities - Amount of Gain or (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 | |||
Interest expense | $ 771,015 | $ 725,686 | $ 655,073 |
Interest Rate Contract | |||
Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 | |||
Total amounts of income and expense line items presented in the income statement in which the effects of fair value are recorded | (42,422) | (49,167) | |
Interest Rate Contract | Interest income | Fair Value Hedging | |||
Fair Value Hedges - Gain or (loss) on relationships in Subtopic 815-20 | |||
Hedged items | (1,635) | 4,529 | |
Derivatives designated as hedging instruments | 1,599 | (7,734) | |
Interest Rate Contract | Other expense | Cash Flow Hedging | |||
Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 | |||
Amount of gain or (loss) reclassified from accumulated other comprehensive income (loss) as a result that a forecasted transaction is no longer probable of occurring | 0 | (14,192) | |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Reclassification out of Accumulated Other Comprehensive Income | |||
Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 | |||
Interest expense | 42,386 | 31,770 | |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Reclassification out of Accumulated Other Comprehensive Income | Interest Rate Contract | Interest expense | Cash Flow Hedging | |||
Cash Flow Hedges - Gain or (loss) on relationships in Subtopic 815-20 | |||
Interest expense | $ (42,386) | $ (31,770) |
Derivatives and Hedging Activ_7
Derivatives and Hedging Activities - Cumulative Basis Adjustment for Fair Value Hedges (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Carrying Amount of the Hedged Assets/(Liabilities) | $ 148,365 | $ 0 |
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets/(Liabilities) | 2,997 | $ 8,798 |
Amortized cost basis of hedged item | 361,000 | |
Cumulative adjustment basis of hedged item | 3,000 | |
Hedging adjustment on discontinued hedging relationships | $ 4,600 |
Derivatives and Hedging Activ_8
Derivatives and Hedging Activities - Location and Amount of Gain or (Loss) Recognized in Income on Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments, Gain (Loss) | ||
Amount of Gain (Loss) Recognized in Income on Derivative | $ 186 | $ 126 |
Other Contracts | Other income / (expense) | ||
Derivative Instruments, Gain (Loss) | ||
Amount of Gain (Loss) Recognized in Income on Derivative | $ 186 | $ 126 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Value of Our Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financial assets: | ||
Equity securities | $ 8,194 | $ 36,000 |
Debt securities available-for-sale, at estimated fair value | 2,393,540 | 2,758,437 |
Government-sponsored enterprises | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 3,586 | 4,482 |
Federal Home Loan Mortgage Corporation | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 1,250,043 | 1,317,052 |
Federal National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 1,034,336 | 1,205,426 |
Government National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 105,575 | 231,477 |
Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Equity securities | 8,194 | 36,000 |
Debt securities available-for-sale, at estimated fair value | 2,393,540 | 2,758,437 |
Financial liabilities: | ||
Derivative liabilities | 9,399 | 492 |
Fair Value, Measurements, Recurring | Government-sponsored enterprises | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 3,586 | 4,482 |
Fair Value, Measurements, Recurring | Federal Home Loan Mortgage Corporation | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 1,250,043 | 1,317,052 |
Fair Value, Measurements, Recurring | Federal National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 1,034,336 | 1,205,426 |
Fair Value, Measurements, Recurring | Government National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 105,575 | 231,477 |
Level 1 | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Equity securities | 8,194 | 36,000 |
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Financial liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Government-sponsored enterprises | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Federal Home Loan Mortgage Corporation | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Federal National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Government National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 2 | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Equity securities | 0 | 0 |
Debt securities available-for-sale, at estimated fair value | 2,393,540 | 2,758,437 |
Financial liabilities: | ||
Derivative liabilities | 9,399 | 492 |
Level 2 | Fair Value, Measurements, Recurring | Government-sponsored enterprises | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 3,586 | 4,482 |
Level 2 | Fair Value, Measurements, Recurring | Federal Home Loan Mortgage Corporation | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 1,250,043 | 1,317,052 |
Level 2 | Fair Value, Measurements, Recurring | Federal National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 1,034,336 | 1,205,426 |
Level 2 | Fair Value, Measurements, Recurring | Government National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 105,575 | 231,477 |
Level 3 | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Equity securities | 0 | 0 |
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Financial liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Government-sponsored enterprises | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Federal Home Loan Mortgage Corporation | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Federal National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Government National Mortgage Association | ||
Financial assets: | ||
Debt securities available-for-sale, at estimated fair value | 0 | 0 |
Interest Rate Swaps | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Fair Value | 18,312 | 34,577 |
Financial liabilities: | ||
Derivative liabilities | 9,239 | 275 |
Interest Rate Swaps | Level 1 | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Fair Value | 0 | 0 |
Financial liabilities: | ||
Derivative liabilities | 0 | 0 |
Interest Rate Swaps | Level 2 | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Fair Value | 18,312 | 34,577 |
Financial liabilities: | ||
Derivative liabilities | 9,239 | 275 |
Interest Rate Swaps | Level 3 | Fair Value, Measurements, Recurring | ||
Financial assets: | ||
Fair Value | 0 | 0 |
Financial liabilities: | ||
Derivative liabilities | 0 | 0 |
Other Contracts | Fair Value, Measurements, Recurring | ||
Financial liabilities: | ||
Derivative liabilities | 160 | 217 |
Other Contracts | Level 1 | Fair Value, Measurements, Recurring | ||
Financial liabilities: | ||
Derivative liabilities | 0 | 0 |
Other Contracts | Level 2 | Fair Value, Measurements, Recurring | ||
Financial liabilities: | ||
Derivative liabilities | 160 | 217 |
Other Contracts | Level 3 | Fair Value, Measurements, Recurring | ||
Financial liabilities: | ||
Derivative liabilities | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) | Dec. 31, 2021USD ($) | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Outstanding minimum balance of loans to be evaluated for impairment individually | $ 1,000,000 | |
Outstanding minimum balance of loans that are evaluated for impairment individually | $ 1,000,000 | |
Prepayment speeds | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Servicing asset, measurement input (in percent) | 0.0524 | 0.1446 |
Prepayment speeds | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Servicing asset, measurement input (in percent) | 0.2508 | 0.2358 |
Measurement Input, Discount Rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Servicing asset, measurement input (in percent) | 0.1131 | 0.1203 |
Measurement Input, Discount Rate | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Impaired financing receivable, measurement input (in percent) | 0.00% | |
Other real estate owned, measurement input (in percent) | 0 | |
Measurement Input, Discount Rate | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Impaired financing receivable, measurement input (in percent) | 25.00% | |
Other real estate owned, measurement input (in percent) | 0.25 |
Fair Value Measurements - Car_2
Fair Value Measurements - Carrying Value of Our Assets Measured at Fair Value on a Non-Recurring Basis (Details) $ in Thousands | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, carrying value | $ 10,800 | $ 11,200 |
Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Assets, fair value | 7,846 | 25,670 |
Fair Value, Measurements, Nonrecurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Assets, fair value | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Assets, fair value | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Assets, fair value | 7,846 | 25,670 |
Estimated cash flow | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, carrying value | 7,846 | 10,663 |
Estimated cash flow | Fair Value, Measurements, Nonrecurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, carrying value | 0 | 0 |
Estimated cash flow | Fair Value, Measurements, Nonrecurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, carrying value | 0 | 0 |
Estimated cash flow | Fair Value, Measurements, Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, carrying value | $ 7,846 | 10,663 |
Market comparable | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment | 15,007 | |
Market comparable | Fair Value, Measurements, Nonrecurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment | 0 | |
Market comparable | Fair Value, Measurements, Nonrecurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment | 0 | |
Market comparable | Fair Value, Measurements, Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment | $ 15,007 | |
Prepayment speeds | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, measurement input | 0.0524 | 0.1446 |
Prepayment speeds | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, measurement input | 0.2508 | 0.2358 |
Prepayment speeds | Estimated cash flow | Minimum | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, measurement input | 0.052 | 0.145 |
Prepayment speeds | Estimated cash flow | Maximum | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, measurement input | 0.251 | 0.236 |
Prepayment speeds | Estimated cash flow | Weighted Average | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
MSR, net, measurement input | 0.1278 | 0.1776 |
Lack of marketability | Market comparable | Minimum | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment, measurement input | 0 | |
Lack of marketability | Market comparable | Maximum | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment, measurement input | 0.104 | |
Lack of marketability | Market comparable | Weighted Average | Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Operating lease equipment, measurement input | 0.1041 |
Fair Value Measurements - Car_3
Fair Value Measurements - Carrying Amounts and Estimated Fair Values (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financial assets: | ||
Equities | $ 8,194 | $ 36,000 |
Debt securities available-for-sale | 2,393,540 | 2,758,437 |
Debt securities held-to-maturity, net | 1,651,504 | 1,320,872 |
Carrying value | ||
Financial assets: | ||
Cash and cash equivalents | 287,990 | 170,432 |
Equities | 8,194 | 36,000 |
Debt securities available-for-sale | 2,393,540 | 2,758,437 |
Debt securities held-to-maturity, net | 1,593,785 | 1,247,853 |
FHLB stock | 176,480 | 159,829 |
Loans held for sale | 809 | 30,357 |
Net loans | 22,342,612 | 20,580,451 |
Fair Value | 18,312 | 34,577 |
Financial liabilities: | ||
Deposits, other than time deposits | 18,729,672 | 16,807,240 |
Time deposits | 2,094,966 | 2,718,179 |
Borrowed funds | 3,535,038 | 3,295,790 |
Derivative financial instruments | 9,399 | 492 |
Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 287,990 | 170,432 |
Equities | 8,194 | 36,000 |
Debt securities available-for-sale | 2,393,540 | 2,758,437 |
Debt securities held-to-maturity, net | 1,651,504 | 1,320,872 |
FHLB stock | 176,480 | 159,829 |
Loans held for sale | 809 | 30,357 |
Net loans | 22,461,134 | 20,787,917 |
Fair Value | 18,312 | 34,577 |
Financial liabilities: | ||
Deposits, other than time deposits | 18,729,672 | 16,807,240 |
Time deposits | 2,091,046 | 2,726,230 |
Borrowed funds | 3,558,356 | 3,367,491 |
Derivative financial instruments | 9,399 | 492 |
Level 1 | Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 287,990 | 170,432 |
Equities | 8,194 | 36,000 |
Debt securities available-for-sale | 0 | 0 |
Debt securities held-to-maturity, net | 0 | 0 |
FHLB stock | 176,480 | 159,829 |
Loans held for sale | 0 | 0 |
Net loans | 0 | 0 |
Fair Value | 0 | 0 |
Financial liabilities: | ||
Deposits, other than time deposits | 18,729,672 | 16,807,240 |
Time deposits | 0 | 0 |
Borrowed funds | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Level 2 | Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Equities | 0 | 0 |
Debt securities available-for-sale | 2,393,540 | 2,758,437 |
Debt securities held-to-maturity, net | 1,568,380 | 1,253,566 |
FHLB stock | 0 | 0 |
Loans held for sale | 809 | 30,357 |
Net loans | 0 | 0 |
Fair Value | 18,312 | 34,577 |
Financial liabilities: | ||
Deposits, other than time deposits | 0 | 0 |
Time deposits | 2,091,046 | 2,726,230 |
Borrowed funds | 3,558,356 | 3,367,491 |
Derivative financial instruments | 9,399 | 492 |
Level 3 | Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Equities | 0 | 0 |
Debt securities available-for-sale | 0 | 0 |
Debt securities held-to-maturity, net | 83,124 | 67,306 |
FHLB stock | 0 | 0 |
Loans held for sale | 0 | 0 |
Net loans | 22,461,134 | 20,787,917 |
Fair Value | 0 | 0 |
Financial liabilities: | ||
Deposits, other than time deposits | 0 | 0 |
Time deposits | 0 | 0 |
Borrowed funds | 0 | 0 |
Derivative financial instruments | $ 0 | $ 0 |
Regulatory Capital (Details)
Regulatory Capital (Details) $ in Thousands | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations | ||
Tier I capital (to average assets) Actual, Amount | $ 2,494,982 | $ 2,391,126 |
Tier I capital (to average assets) Actual, Ratio | 0.0899 | 0.0908 |
Tier I capital (to average assets) For Capital Adequacy Purposes, Amount | $ 1,109,641 | $ 1,053,636 |
Tier I capital (to average assets) For Capital Adequacy Purposes, Ratio | 0.0400 | 0.0400 |
Tier I capital (to average assets) To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 1,387,051 | $ 1,317,045 |
Tier I capital (to average assets) To be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0500 | 0.0500 |
Tier One Common Equity | $ 2,494,982 | $ 2,391,126 |
Tier One Common Equity Leverage Capital to Average Assets | 11.31% | 11.72% |
Tier One Leverage Common Equity Capital Required for Capital Adequacy | $ 1,544,162 | $ 1,428,527 |
Tier One Risk Based Common Equity Leverage Capital Required for Capital Adequacy to Average Assets | 7.00% | 7.00% |
Tier One Common Equity Risk Based Capital Required to be Well Capitalized | $ 1,433,864 | $ 1,326,489 |
Tier One Common Equity Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 6.50% | 6.50% |
Tier I capital (to risk-weighted assets) Actual, Amount | $ 2,494,982 | $ 2,391,126 |
Tier I capital (to risk-weighted assets) Actual, Ratio | 0.1131 | 0.1172 |
Tier I capital (to risk-weighted assets) For Capital Adequacy Purposes, Amount | $ 1,875,053 | $ 1,734,640 |
Tier I capital (to risk-weighted assets) For Capital Adequacy Purposes, Ratio | 0.0850 | 0.0850 |
Tier I capital (to risk-weighted assets) To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 1,764,756 | $ 1,632,602 |
Tier I capital (to risk-weighted assets) To be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0800 | 0.0800 |
Total capital (to risk-weighted assets) Actual, Amount | $ 2,739,106 | $ 2,646,520 |
Total capital (to risk-weighted assets) Actual, Ratio | 0.1242 | 0.1297 |
Total capital (to risk-weighted assets) For Capital Adequacy Purposes, Amount | $ 2,316,242 | $ 2,142,790 |
Total capital (to risk-weighted assets) For Capital Adequacy Purposes, Ratio | 0.1050 | 0.1050 |
Total capital (to risk-weighted assets) To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 2,205,945 | $ 2,040,753 |
Total capital (to risk-weighted assets) To be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.1000 | 0.1000 |
Company | ||
Compliance with Regulatory Capital Requirements under Banking Regulations | ||
Tier I capital (to average assets) Actual, Amount | $ 2,834,720 | $ 2,674,590 |
Tier I capital (to average assets) Actual, Ratio | 0.1020 | 0.1014 |
Tier I capital (to average assets) For Capital Adequacy Purposes, Amount | $ 1,111,822 | $ 1,054,677 |
Tier I capital (to average assets) For Capital Adequacy Purposes, Ratio | 0.0400 | 0.0400 |
Tier One Common Equity | $ 2,834,720 | $ 2,674,590 |
Tier One Common Equity Leverage Capital to Average Assets | 12.82% | 13.07% |
Tier One Leverage Common Equity Capital Required for Capital Adequacy | $ 1,547,928 | $ 1,432,164 |
Tier One Risk Based Common Equity Leverage Capital Required for Capital Adequacy to Average Assets | 7.00% | 7.00% |
Tier I capital (to risk-weighted assets) Actual, Amount | $ 2,834,720 | $ 2,674,590 |
Tier I capital (to risk-weighted assets) Actual, Ratio | 0.1282 | 0.1307 |
Tier I capital (to risk-weighted assets) For Capital Adequacy Purposes, Amount | $ 1,879,627 | $ 1,739,056 |
Tier I capital (to risk-weighted assets) For Capital Adequacy Purposes, Ratio | 0.0850 | 0.0850 |
Total capital (to risk-weighted assets) Actual, Amount | $ 3,092,372 | $ 2,944,128 |
Total capital (to risk-weighted assets) Actual, Ratio | 0.1398 | 0.1439 |
Total capital (to risk-weighted assets) For Capital Adequacy Purposes, Amount | $ 2,321,892 | $ 2,148,246 |
Total capital (to risk-weighted assets) For Capital Adequacy Purposes, Ratio | 0.1050 | 0.1050 |
Parent Company Only Financial_3
Parent Company Only Financial Statements - Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||||
Cash and cash equivalents | $ 287,990 | $ 170,432 | ||
Equity securities | 8,194 | 36,000 | ||
Debt securities held-to-maturity, net (estimated fair value of $20,494 and $25,203 at December 31, 2021 and 2020, respectively) | 1,593,785 | 1,247,853 | ||
ESOP loan receivable | 22,342,612 | 20,580,451 | ||
Other assets | 144,197 | 163,184 | ||
Total assets | 27,806,618 | 26,023,159 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Total liabilities | 24,868,190 | 23,313,156 | ||
Total stockholders’ equity | 2,938,428 | 2,710,003 | $ 2,621,950 | $ 3,005,330 |
Total liabilities and stockholders’ equity | 27,806,618 | 26,023,159 | ||
Debt securities, fair value | 1,651,504 | 1,320,872 | ||
Parent Company | ||||
Assets: | ||||
Cash and cash equivalents | 201,377 | 144,955 | ||
Equity securities | 3,100 | 30,826 | ||
Debt securities held-to-maturity, net (estimated fair value of $20,494 and $25,203 at December 31, 2021 and 2020, respectively) | 19,859 | 24,767 | ||
Investment in subsidiary | 2,603,052 | 2,426,386 | ||
ESOP loan receivable | 81,789 | 85,124 | ||
Other assets | 47,995 | 36,661 | ||
Total assets | 2,957,172 | 2,748,719 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Total liabilities | 18,744 | 38,716 | ||
Total stockholders’ equity | 2,938,428 | 2,710,003 | ||
Total liabilities and stockholders’ equity | 2,957,172 | 2,748,719 | ||
Debt securities, fair value | $ 20,494 | $ 25,203 |
Parent Company Only Financial_4
Parent Company Only Financial Statements - Statements of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income: | |||
Interest on ESOP loan receivable | $ 836,171 | $ 871,411 | $ 912,091 |
Other income | 28,332 | 25,149 | 22,313 |
Total interest and dividend income | 918,638 | 980,894 | 1,040,219 |
Expenses: | |||
Interest expense | 147,623 | 255,208 | 385,146 |
Provision for credit losses | (1,397) | 700 | |
Other expenses | 31,517 | 28,801 | 36,366 |
Income tax expense | 115,080 | 74,961 | 91,248 |
Net income | 313,333 | 221,580 | 195,484 |
Parent Company | |||
Income: | |||
Interest on ESOP loan receivable | 2,767 | 4,140 | 4,889 |
Dividend from subsidiary | 185,000 | 105,000 | 675,000 |
Interest on deposit with subsidiary | 1 | 2 | 2 |
Interest and dividends on investments | 373 | 249 | 424 |
Gain on securities, net | 256 | 173 | 0 |
Other income | 1,017 | 1,081 | 12 |
Total interest and dividend income | 189,414 | 110,645 | 680,327 |
Expenses: | |||
Interest expense | 673 | 741 | 193 |
Provision for credit losses | (92) | 51 | 0 |
Other expenses | 2,084 | 2,003 | 2,265 |
Income before income tax expense | 186,749 | 107,850 | 677,869 |
Income tax expense | 453 | 748 | 1,457 |
Income before undistributed earnings of subsidiary | 186,296 | 107,102 | 676,412 |
(Equity in undistributed earnings of subsidiary) dividend in excess of earnings | 127,037 | 114,478 | (480,928) |
Net income | $ 313,333 | $ 221,580 | $ 195,484 |
Parent Company Only Financial_5
Parent Company Only Financial Statements - Statement of Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Condensed Statement of Income Captions | |||
Net income | $ 313,333 | $ 221,580 | $ 195,484 |
Other comprehensive income, net of tax: | |||
Other comprehensive income (loss), net of tax | 33,723 | (21,394) | (7,053) |
Total comprehensive income | 347,056 | 200,186 | 188,431 |
Parent Company | |||
Condensed Statement of Income Captions | |||
Net income | 313,333 | 221,580 | 195,484 |
Other comprehensive income, net of tax: | |||
Other comprehensive income (loss), net of tax | 0 | 0 | 0 |
Total comprehensive income | $ 313,333 | $ 221,580 | $ 195,484 |
Parent Company Only Financial_6
Parent Company Only Financial Statements - Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income | $ 313,333 | $ 221,580 | $ 195,484 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for credit losses | (1,397) | 700 | |
Gain on securities transactions, net | (506) | (406) | 5,536 |
(Increase) decrease in other assets | 116,830 | (121,081) | (42,170) |
Net cash provided by operating activities | 494,780 | 224,297 | 160,654 |
Cash flows from investing activities: | |||
Purchases of equity securities | (6,068) | (29,705) | (96) |
Purchases of debt securities held-to-maturity | (647,881) | (372,712) | (238,670) |
Proceeds from sales of equity securities | 33,983 | 0 | 0 |
Proceeds from paydowns/maturities on debt securities held-to-maturity | 302,881 | 278,532 | 251,574 |
Net cash (used in) provided by investing activities | (1,150,167) | 1,323,290 | (247,474) |
Cash flows from financing activities: | |||
Purchase of treasury stock | (12,124) | (23,920) | (475,946) |
Exercise of stock options | 9,987 | 0 | 814 |
Dividends paid | (138,607) | (119,675) | (122,163) |
Net cash provided by (used in) financing activities | 772,945 | (1,552,070) | 64,844 |
Net increase (decrease) in cash and cash equivalents | 117,558 | (4,483) | (21,976) |
Cash and cash equivalents at beginning of period | 170,432 | 174,915 | 196,891 |
Cash and cash equivalents at end of period | 287,990 | 170,432 | 174,915 |
Parent Company | |||
Cash flows from operating activities: | |||
Net income | 313,333 | 221,580 | 195,484 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
(Equity in undistributed earnings of subsidiary) dividend in excess of earnings | (127,037) | (114,478) | 480,928 |
Provision for credit losses | (92) | 51 | 0 |
Gain on securities transactions, net | (256) | (173) | 0 |
(Increase) decrease in other assets | (12,596) | 8,811 | 11,362 |
(Decrease) increase in other liabilities | (12,504) | 20,011 | (2,906) |
Net cash provided by operating activities | 160,848 | 135,802 | 684,868 |
Cash flows from investing activities: | |||
Cash received, net of cash consideration paid for acquisitions | 0 | (29,535) | 0 |
Purchases of equity securities | (6,000) | (29,620) | 0 |
Purchases of debt securities held-to-maturity | 0 | 0 | (20,000) |
Proceeds from sales of equity securities | 33,983 | 0 | 0 |
Proceeds from paydowns/maturities on debt securities held-to-maturity | 5,000 | 0 | 0 |
Principal collected on ESOP loan | 3,335 | 2,024 | 1,737 |
Net cash (used in) provided by investing activities | 36,318 | (57,131) | (18,263) |
Cash flows from financing activities: | |||
Loan to ESOP | 0 | 0 | (5,000) |
Purchase of treasury stock | (12,124) | (23,920) | (475,946) |
Exercise of stock options | 0 | 0 | 813 |
Dividends paid | (138,607) | (119,675) | (122,163) |
Other | 9,987 | 0 | 0 |
Net cash provided by (used in) financing activities | (140,744) | (143,595) | (602,296) |
Net increase (decrease) in cash and cash equivalents | 56,422 | (64,924) | 64,309 |
Cash and cash equivalents at beginning of period | 144,955 | 209,879 | 145,570 |
Cash and cash equivalents at end of period | $ 201,377 | $ 144,955 | $ 209,879 |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Calculations and Reconciliation of Basic to Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Earnings for basic and diluted earnings per common share | |||
Earnings applicable to common stockholders | $ 313,333 | $ 221,580 | $ 195,484 |
Shares | |||
Weighted-average common shares outstanding - basic (shares) | 235,315,487 | 235,761,457 | 262,202,598 |
Effect of dilutive common stock equivalents (shares) | 1,120,594 | 77,351 | 317,190 |
Weighted-average common shares outstanding - diluted (shares) | 236,436,081 | 235,838,808 | 262,519,788 |
Earnings per common share | |||
Basic earnings (loss) per common share (usd per share) | $ 1.33 | $ 0.94 | $ 0.75 |
Diluted earnings (loss) per common share (usd per share) | $ 1.33 | $ 0.94 | $ 0.74 |
Equity awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||
Securities excluded from computation of diluted earnings per share (shares) | 150,473 | 7,390,470 | 6,468,307 |
Comprehensive Income - Componen
Comprehensive Income - Components of Comprehensive Income (Loss), Gross and Net Of Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accumulated Other Comprehensive Income (Loss) | |||
Net income, Gross | $ 428,413 | $ 296,541 | $ 286,732 |
Net income, Tax | (115,080) | (74,961) | (91,248) |
Net income | 313,333 | 221,580 | 195,484 |
Total other comprehensive income (loss), Gross | 50,203 | (31,937) | (12,486) |
Total other comprehensive income (loss), Tax | (16,480) | 10,543 | 5,433 |
Total other comprehensive income (loss) | 33,723 | (21,394) | (7,053) |
Total comprehensive income, Gross | 478,616 | 264,604 | 274,246 |
Total comprehensive income, Tax | (131,560) | (64,418) | (85,815) |
Total comprehensive income | 347,056 | 200,186 | 188,431 |
Change in funded status of retirement obligations | |||
Accumulated Other Comprehensive Income (Loss) | |||
Total other comprehensive income (loss), Gross | 2,343 | (3,889) | (5,108) |
Total other comprehensive income (loss), Tax | (677) | 1,094 | 1,436 |
Total other comprehensive income (loss) | 1,666 | (2,795) | (3,672) |
Unrealized gains (losses) on debt securities available-for-sale and gains included in net income | |||
Accumulated Other Comprehensive Income (Loss) | |||
Total other comprehensive income (loss), Gross | (54,824) | 36,434 | 44,934 |
Total other comprehensive income (loss), Tax | 13,068 | (8,686) | (10,815) |
Total other comprehensive income (loss) | (41,756) | 27,748 | 34,119 |
Accretion of loss on debt securities reclassified to held-to-maturity from available-for-sale | |||
Accumulated Other Comprehensive Income (Loss) | |||
Total other comprehensive income (loss), Gross | 140 | 266 | 777 |
Total other comprehensive income (loss), Tax | (33) | (64) | (242) |
Total other comprehensive income (loss) | 107 | 202 | 535 |
Reclassification adjustment for security losses included in net income | |||
Accumulated Other Comprehensive Income (Loss) | |||
Total other comprehensive income (loss), Gross | (398) | 0 | 5,690 |
Total other comprehensive income (loss), Tax | 99 | 0 | (1,469) |
Total other comprehensive income (loss) | (299) | 0 | 4,221 |
Other-than-temporary impairment accretion on debt securities recorded prior to January 1, 2020 | |||
Accumulated Other Comprehensive Income (Loss) | |||
Total other comprehensive income (loss), Gross | 1,022 | 1,141 | 1,068 |
Total other comprehensive income (loss), Tax | (287) | (321) | (300) |
Total other comprehensive income (loss) | 735 | 820 | 768 |
Net losses on derivatives | |||
Accumulated Other Comprehensive Income (Loss) | |||
Total other comprehensive income (loss), Gross | 101,920 | (65,889) | (59,847) |
Total other comprehensive income (loss), Tax | (28,650) | 18,520 | 16,823 |
Total other comprehensive income (loss) | $ 73,270 | $ (47,369) | $ (43,024) |
Comprehensive Income - Compon_2
Comprehensive Income - Component of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
AOCI | |||
Balance | $ 2,710,003 | $ 2,621,950 | $ 3,005,330 |
Net change | 33,723 | (21,394) | (7,053) |
Balance | 2,938,428 | 2,710,003 | 2,621,950 |
Change in funded status of retirement obligations | |||
AOCI | |||
Balance | (9,485) | (6,690) | |
Net change | 1,666 | (2,795) | (3,672) |
Balance | (7,819) | (9,485) | (6,690) |
Accretion of loss on debt securities reclassified to held-to-maturity | |||
AOCI | |||
Balance | (184) | (386) | |
Net change | 107 | 202 | 535 |
Balance | (77) | (184) | (386) |
Unrealized gains (losses) on debt securities available-for-sale and gains included in net income | |||
AOCI | |||
Balance | 57,204 | 29,456 | |
Net change | (42,055) | 27,748 | |
Balance | 15,149 | 57,204 | 29,456 |
Other-than-temporary impairment accretion on debt securities | |||
AOCI | |||
Balance | (9,809) | (10,629) | |
Net change | 735 | 820 | 768 |
Balance | (9,074) | (9,809) | (10,629) |
Unrealized losses on derivatives | |||
AOCI | |||
Balance | (77,742) | (30,373) | |
Net change | 73,270 | (47,369) | |
Balance | (4,472) | (77,742) | (30,373) |
Total accumulated other comprehensive loss | |||
AOCI | |||
Balance | (40,016) | (18,622) | (11,569) |
Net change | 33,723 | (21,394) | (7,053) |
Balance | $ (6,293) | $ (40,016) | $ (18,622) |
Comprehensive Income - Reclassi
Comprehensive Income - Reclassification Adjustment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reclassification adjustment for unrealized losses on derivatives | |||
Gain on securities, net | $ 506 | $ 406 | $ (5,536) |
Change in funded status of retirement obligations | |||
Compensation and fringe benefits | 245,065 | 240,970 | 243,782 |
Reclassification adjustment for unrealized losses on derivatives | |||
Interest expense | 771,015 | 725,686 | 655,073 |
Debt extinguishment | (10,159) | (24,098) | 0 |
Total before tax | 428,413 | 296,541 | 286,732 |
Income tax expense | (115,080) | (74,961) | (91,248) |
Net income | 313,333 | 221,580 | $ 195,484 |
Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification adjustment for unrealized losses on derivatives | |||
Total before tax | 42,802 | 47,096 | |
Income tax expense | (11,505) | (11,905) | |
Net income | 31,297 | 35,191 | |
Unrealized gains (losses) on debt securities available-for-sale and gains included in net income | Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification adjustment for unrealized losses on derivatives | |||
Gain on securities, net | (398) | 0 | |
Change in funded status of retirement obligations | Reclassification out of Accumulated Other Comprehensive Income | |||
Change in funded status of retirement obligations | |||
Adjustment of net obligation | 141 | (64) | |
Amortization of net loss | 673 | 1,198 | |
Compensation and fringe benefits | 814 | 1,134 | |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification adjustment for unrealized losses on derivatives | |||
Interest expense | 42,386 | 31,770 | |
Debt extinguishment | 0 | 14,192 | |
Interest expense | $ 42,386 | $ 45,962 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue | |||
Revenue | $ 32,114 | $ 25,864 | $ 25,300 |
Fees and service charges | |||
Disaggregation of Revenue | |||
Revenue | 15,428 | 13,764 | 15,780 |
Other income | |||
Disaggregation of Revenue | |||
Revenue | $ 16,686 | $ 12,100 | $ 9,520 |
Subsequent Events (Details)
Subsequent Events (Details) | Jan. 26, 2022$ / shares |
Subsequent Event | |
Subsequent Event | |
Dividends declared per share (usd per share) | $ 0.16 |