Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Aug. 13, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | CADE | |
Entity Registrant Name | CADENCE BANCORPORATION | |
Entity Central Index Key | 1,614,184 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 83,625,000 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
ASSETS | ||
Cash and due from banks | $ 145,381 | $ 238,707 |
Interest-bearing deposits with banks | 437,828 | 482,568 |
Federal funds sold | 19,962 | 9,536 |
Total cash and cash equivalents | 603,171 | 730,811 |
Securities available-for-sale | 1,043,857 | 1,257,063 |
Securities held-to-maturity (estimated fair value of $311 at December 31, 2017) | 290 | |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Other securities - FRB and FHLB stock | 50,675 | 50,009 |
Loans held for sale | 33,118 | 61,359 |
Loans | 8,975,755 | 8,253,427 |
Less: allowance for credit losses | (90,620) | (87,576) |
Net loans | 8,885,135 | 8,165,851 |
Interest receivable | 52,465 | 47,793 |
Premises and equipment, net | 62,445 | 63,432 |
Other real estate owned | 4,797 | 7,605 |
Cash surrender value of life insurance | 108,462 | 108,148 |
Net deferred tax asset | 42,557 | 30,774 |
Goodwill | 307,083 | 317,817 |
Other intangible assets, net | 8,565 | 10,223 |
Other assets | 97,345 | 91,866 |
Total Assets | 11,305,528 | 10,948,926 |
Liabilities: | ||
Noninterest-bearing deposits | 2,137,407 | 2,242,765 |
Interest-bearing deposits | 7,193,648 | 6,768,750 |
Total deposits | 9,331,055 | 9,011,515 |
Securities sold under agreements to repurchase | 1,183 | 1,026 |
Federal Home Loan Bank advances | 150,000 | 150,000 |
Senior debt | 184,756 | 184,629 |
Subordinated debt | 98,802 | 98,687 |
Junior subordinated debentures | 36,712 | 36,472 |
Other liabilities | 113,064 | 107,541 |
Total liabilities | 9,915,572 | 9,589,870 |
Shareholders' Equity: | ||
Common Stock $0.01 par value, authorized 300,000,000 shares; 83,625,000 shares issued and outstanding at June 30, 2018 and December 31, 2017 | 836 | 836 |
Additional paid-in capital | 1,038,579 | 1,037,040 |
Retained earnings | 407,072 | 340,213 |
Accumulated other comprehensive loss ("OCI") | (56,531) | (19,033) |
Total shareholders' equity | 1,389,956 | 1,359,056 |
Total Liabilities and Shareholders' Equity | $ 11,305,528 | $ 10,948,926 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Estimated fair value of held-to-maturity securities | $ 311 | |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 83,625,000 | 83,625,000 |
Common Stock, Shares, Outstanding | 83,625,000 | 83,625,000 |
UNAUDITED CONSOLIDATED STATEMEN
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
INTEREST INCOME | ||||
Interest and fees on loans | $ 113,740 | $ 90,429 | $ 216,531 | $ 171,239 |
Interest and dividends on securities: | ||||
Taxable | 5,518 | 4,178 | 10,636 | 8,479 |
Tax-exempt | 2,802 | 3,385 | 6,068 | 6,799 |
Other interest income | 1,903 | 1,383 | 3,821 | 2,477 |
Total interest income | 123,963 | 99,375 | 237,056 | 188,994 |
INTEREST EXPENSE | ||||
Interest on time deposits | 10,497 | 5,298 | 17,988 | 9,419 |
Interest on other deposits | 11,833 | 6,473 | 20,972 | 12,117 |
Interest on borrowed funds | 6,249 | 5,220 | 11,601 | 10,316 |
Total interest expense | 28,579 | 16,991 | 50,561 | 31,852 |
Net interest income | 95,384 | 82,384 | 186,495 | 157,142 |
Provision for credit losses | 1,263 | 6,701 | 5,643 | 12,487 |
Net interest income after provision for credit losses | 94,121 | 75,683 | 180,852 | 144,655 |
NONINTEREST INCOME | ||||
Service charges on deposit accounts | 3,803 | 3,784 | 7,763 | 7,599 |
Other service fees | 1,346 | 1,071 | 2,679 | 2,043 |
Credit related fees | 3,807 | 2,741 | 7,384 | 5,488 |
Trust services revenue | 4,114 | 4,584 | 9,129 | 9,815 |
Mortgage banking income | 650 | 1,213 | 1,227 | 2,079 |
Investment advisory revenue | 5,343 | 5,061 | 10,642 | 9,977 |
Securities losses, net | (1,813) | (244) | (1,801) | (163) |
Other income | 7,422 | 4,779 | 12,632 | 10,256 |
Total noninterest income | 24,672 | 22,989 | 49,655 | 47,094 |
NONINTEREST EXPENSE | ||||
Salaries and employee benefits | 38,268 | 34,682 | 75,621 | 68,949 |
Premises and equipment | 7,131 | 7,180 | 14,722 | 13,873 |
Intangible asset amortization | 715 | 1,190 | 1,507 | 2,431 |
Other expense | 16,321 | 13,082 | 32,524 | 25,202 |
Total noninterest expense | 62,435 | 56,134 | 124,374 | 110,455 |
Income before income taxes | 56,358 | 42,538 | 106,133 | 81,294 |
Income tax expense | 8,384 | 13,570 | 19,334 | 26,209 |
Net income | $ 47,974 | $ 28,968 | $ 86,799 | $ 55,085 |
Weighted average common shares outstanding (Basic) | 83,625,000 | 81,918,956 | 83,625,000 | 78,478,591 |
Weighted average common shares outstanding (Diluted) | 84,792,657 | 81,951,795 | 84,733,732 | 78,831,386 |
Earnings per common share (Basic) | $ 0.57 | $ 0.35 | $ 1.04 | $ 0.70 |
Earnings per common share (Diluted) | $ 0.57 | $ 0.35 | $ 1.02 | $ 0.70 |
UNAUDITED CONSOLIDATED STATEME5
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 47,974 | $ 28,968 | $ 86,799 | $ 55,085 |
Net unrealized (losses) gains on securities available-for-sale: | ||||
Net unrealized (losses) gains arising during the period | (5,090) | 10,451 | (28,482) | 11,563 |
Reclassification adjustments for losses realized in net income | 1,394 | 154 | 1,385 | 103 |
Net unrealized (losses) gains on securities available-for-sale | (3,696) | 10,605 | (27,097) | 11,666 |
Unrealized losses on derivative instruments designated as cash flow hedges: | ||||
Net unrealized (losses) gains arising during the period | (2,931) | 3,111 | (11,564) | 2,101 |
Reclassification adjustments for losses (gains) realized in net income | 907 | (736) | 1,163 | (1,915) |
Net change in unrealized (losses) gains on derivative instruments | (2,024) | 2,375 | (10,401) | 186 |
Other comprehensive (losses) gains, net of tax | (5,720) | 12,980 | (37,498) | 11,852 |
Comprehensive income | $ 42,254 | $ 41,948 | $ 49,301 | $ 66,937 |
UNAUDITED CONSOLIDATED STATEME6
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net unrealized (losses) gains arising during the period, tax effect | $ 1,530 | $ (6,047) | $ 8,560 | $ (6,691) |
Reclassification adjustments for losses realized in net income, tax effect | (419) | (90) | (416) | (60) |
Net unrealized (losses) gains arising during the period, tax effect | 831 | (1,805) | 3,476 | (1,225) |
Reclassification adjustments for losses (gains) realized in net income, tax effect | $ (273) | $ 430 | $ (350) | $ 1,118 |
UNAUDITED STATEMENT OF CHANGES
UNAUDITED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY - 6 months ended Jun. 30, 2018 - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated OCI |
Balance at Dec. 31, 2017 | $ 1,359,056 | $ 836 | $ 1,037,040 | $ 340,213 | $ (19,033) |
Equity-based compensation cost | 1,539 | 1,539 | |||
Net income | 86,799 | 86,799 | |||
Cash dividends declared year to date ($0.25 per common share) | (20,906) | (20,906) | |||
Dividend equivalents on restricted stock units (Note 18) | (34) | (34) | |||
Cumulative effect of adoption of new accounting principle | 1,000 | 1,000 | |||
Other comprehensive loss | (37,498) | (37,498) | |||
Balance at Jun. 30, 2018 | $ 1,389,956 | $ 836 | $ 1,038,579 | $ 407,072 | $ (56,531) |
UNAUDITED STATEMENT OF CHANGES8
UNAUDITED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) | 6 Months Ended |
Jun. 30, 2018$ / shares | |
Statement Of Stockholders Equity [Abstract] | |
Cash dividends declared year to date, per common share | $ 0.25 |
UNAUDITED CONDENSED CONSOLIDATE
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Statement Of Cash Flows [Abstract] | ||
NET CASH FLOWS PROVIDED BY OPERATING ACTIVITIES | $ 108,977 | $ 51,546 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of securities available-for-sale | (131,234) | (116,363) |
Proceeds from sales of securities available-for-sale | 257,231 | 129,048 |
Proceeds from maturities, calls and paydowns of securities available-for-sale | 50,759 | 46,318 |
Proceeds from sale of commercial loans held for sale | 3,500 | |
Increase in loans, net | (728,948) | (290,758) |
Proceeds from sale of insurance subsidiary | 14,039 | |
Purchase of premises and equipment | (4,770) | (5,706) |
Proceeds from disposition of foreclosed property | 4,991 | 4,533 |
Other, net | (959) | (14,862) |
Net cash used in investing activities | (535,391) | (247,790) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Increase (decrease) in deposits, net | 319,540 | (86,354) |
Net change in securities sold under agreements to repurchase | 157 | 1,486 |
Advances from FHLB | 175,000 | |
Repayment of senior debt | (9,600) | |
Cash dividends paid on common stock | (20,923) | |
Proceeds from issuance of common stock | 155,662 | |
Net cash provided by financing activities | 298,774 | 236,194 |
Net (decrease) increase in cash and cash equivalents | (127,640) | 39,950 |
Cash and cash equivalents at beginning of period | 730,811 | 248,925 |
Cash and cash equivalents at end of period | $ 603,171 | $ 288,875 |
Summary of Accounting Policies
Summary of Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Accounting Policies | Note 1—Summary of Accounting Policies Basis of Presentation and Consolidation The accompanying unaudited condensed consolidated financial statements for the Company have been prepared in accordance with instructions to the SEC Form 10-Q and Article 10 of Regulation S-X; therefore, they do not include all information and footnotes necessary for a fair presentation of financial position, results of operations, comprehensive income, and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). All adjustments consisting of normally recurring accruals that, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the periods covered by this report have been included. These interim financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2017. Operating results for the period ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. The Company and its subsidiaries follow accounting principles generally accepted in the United States of America, including, where applicable, general practices within the banking industry. The consolidated financial statements include the accounts of the Company and its subsidiaries. Significant intercompany accounts and transactions have been eliminated in consolidation. The assessment of whether or not the Company has a controlling interest (i.e., the primary beneficiary) in a variable-interest entity (“VIE”) is performed on an on-going basis. All equity investments in non-consolidated VIEs are included in “other assets” in the Company’s consolidated balance sheets (Note 20). Certain amounts reported in prior years have been reclassified to conform to the 2018 presentation. These reclassifications did not materially impact the Company’s consolidated balance sheets or consolidated statements of income. Nature of Operations The Company’s subsidiaries include: • Town & Country Insurance Agency, Inc., dba Cadence Insurance—full service insurance agency (See “Sale of Subsidiary”) • The Bank The Bank operates under a national bank charter and is subject to regulation by the Office of the Comptroller of the Currency (OCC). The Bank provides lending services in Georgia and full banking services in five southern states: Alabama, Florida, Mississippi, Tennessee, and Texas. The Bank’s subsidiaries include: • Linscomb & Williams Inc. —financial advisory firm; and • Cadence Investment Services, Inc.—provides investment and insurance products, The Company and the Bank also have certain other non-operating and immaterial subsidiaries. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are susceptible to significant change in the near term are the allowance for credit losses, valuation of and accounting for acquired credit impaired loans, valuation of goodwill, intangible assets and deferred income taxes. Proposed merger with State Bank Financial Corporation (“State Bank”) On May 11, 2018, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with State Bank Financial Corporation, a Georgia corporation (“State Bank”). The Merger Agreement provides that, upon the terms and subject to the conditions set forth therein, State Bank will merge with and into Cadence (the “Merger”), with the Company surviving the Merger. Immediately following the Merger, State Bank’s wholly owned bank subsidiary, State Bank and Trust Company, will merge with and into the Bank (the “Bank Merger”). The Bank will be the surviving entity in the Bank Merger. The Merger Agreement was unanimously approved by the Board of Directors of each of the Company and State Bank. Subject to the terms and conditions of the Merger Agreement, at the effective time of the Merger (the “Effective Time”), State Bank shareholders will have the right to receive 1.160 shares (the “Exchange Ratio”) of Class A common stock, par value $0.01 per share, of the Company (“Cadence Common Stock”) for each share of common stock, par value $0.01 per share, of State Bank (“State Bank Common Stock”). Each State Bank restricted stock award will vest and be cancelled and converted automatically at the Effective Time into the right to receive 1.160 shares of Cadence Common Stock in respect of each share of State Bank Common Stock underlying such award. Each State Bank warrant will be converted automatically at the Effective Time into a warrant to purchase shares of Cadence Common Stock, with the number of underlying shares and per share exercise price adjusted to reflect the Exchange Ratio. Based on the number of shares of Cadence Class A common stock and State Bank common stock outstanding as of May 11, 2018, the last trading day before public announcement of the merger, it is expected that Cadence stockholders will hold approximately 65%, and State Bank shareholders will hold approximately 35%, of the shares of the combined company outstanding immediately after the merger. The Company has filed a registration statement on Form S-4 with the Securities and Exchange Commission with respect to the issuance of its common stock in connection with the Merger, which registration statement was declared effective by the Securities and Exchange Commission on July 24, 2018. The Merger is expected to close in the fourth quarter of 2018. Sale of Subsidiary On May 31, 2018 the Company completed the sale of its subsidiary, Town & Country Insurance Agency, Inc. (“T&C”) to an unrelated third party, selling Recently Adopted Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” (ASU 2014-09), which is intended to improve and converge the financial reporting requirements for revenue contracts with customers. Previous accounting guidance comprised broad revenue recognition concepts along with numerous industry-specific requirements. The new guidance establishes a five-step model which entities must follow to recognize revenue and removes inconsistencies and weaknesses in existing guidance. Our major sources of revenue are from financial instruments that have been excluded from the scope of the new standard (including loans, derivatives, debt and equity securities, etc.). The standard required us to change how we recognize certain recurring revenue streams within insurance commissions and fees and other categories of noninterest income. The adoption at January 1, 2018 of ASU 2014-09 did not have a material effect on the Company’s financial statements. In January 2016, the FASB issued ASU 2016-01, “Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-1, among other things, (i) requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income, (ii) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment, (iii) eliminates the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheets, (iv) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes, (v) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments, (vi) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheets or the accompanying notes to the financial statements and (viii) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale. The adoption at January 1, 2018 of ASU 2016-01 resulted in an adjustment to retained earnings of $1.0 million at January 1, 2018 related to fair value measurement changes to equity securities and certain limited partnership investments (See Notes 2, 16 and 20). In August 2016, the FASB issued ASU No. 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments”, to reduce current diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The adoption at January 1, 2018 of ASU 2016-15 did not have a material effect on the Company’s financial statements. In January 2017, the FASB issued ASU No. 2017-01, “Business Combinations (Topic 805): Clarifying the Definition of a Business”, which introduces amendments that are intended to clarify the definition of a business to assist companies and other reporting organizations with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments are intended to narrow the current interpretation of a business. The adoption at January 1, 2018 of ASU No. 2017-01 did not have a material effect on the Company’s financial statements. In March 2017, the FASB issued ASU 2017-07, “Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Costs,” to improve the presentation of net periodic pension cost and net periodic postretirement benefit cost. The amendments require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. The amendments also allow only the service cost component to be eligible for capitalization when applicable. The Company adopted the standard effective January 1, 2018, which did not have a material impact on the Company’s financial statements. In May 2017, the FASB issued ASU 2017-09, “Stock Compensation (Topic 718): Scope of Modification Accounting”, which clarifies when modification accounting should be applied to changes in terms or conditions of share-based payment awards. The amendments narrow the scope of modification accounting by clarifying that modification accounting should be applied to awards if the change affects the fair value, vesting conditions, or classification of the award. The amendments do not impact current disclosure requirements for modifications, regardless of whether modification accounting is required under the new guidance. The adoption of ASU 2017-09 at January 1, 2018 did not have a material effect on the Company’s financial statements. In August 2017, the FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815) - Targeted Improvements to Accounting for Hedging Activities.” ASU 2017-12 amends the hedge accounting recognition and presentation requirements in ASC 815 to improve the transparency and understandability of information conveyed to financial statement users about an entity’s risk management activities to better align the entity’s financial reporting for hedging relationships with those risk management activities and to reduce the complexity of and simplify the application of hedge accounting. The Company elected to early adopt the provisions of ASU 2017-12 at January 1, 2018 which did not have a material effect on the Company’s financial statements. Pending Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, “Leases” . In June 2016, the FASB has issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. The guidance is intended to improve financial reporting by requiring timelier recording of credit losses on loans and other financial instruments. The guidance will replace the current incurred loss accounting model with an expected loss approach and requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. The guidance requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The Company is evaluating the effect of adopting this new accounting guidance. In January 2017, the FASB issued ASU No. 2017-04, “Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment”, which simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Therefore, any carrying amount which exceeds the reporting unit’s fair value (up to the amount of goodwill recorded) will be recognized as an impairment loss. ASU No. 2017-04 will be effective for annual reporting periods beginning after December 15, 2019, including interim reporting periods within those periods. The amendments will be applied prospectively on or after the effective date. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. Based on recent goodwill impairments tests, which did not require the application of Step 2, the Company does not expect the adoption of this ASU to have an immediate impact. In March 2017, the FASB issued ASU No. 2017-08, “Receivables-Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities”, which will shorten the amortization period for callable debt securities held at a premium to the earliest call date instead of the maturity date. The amendments do not require an accounting change for securities held at a discount, which will continue to be amortized to the maturity date. ASU No. 2017-08 will be effective for annual reporting periods beginning after December 15, 2018, including interim reporting periods within those periods. The amendments should be applied using a modified-retrospective transition method as of the beginning of the period of adoption. Early adoption is permitted, including adoption in an interim period. The Company is currently assessing this pronouncement and it is not expected to have a material impact on the Company’s financial condition or results of operations. |
Securities
Securities | 6 Months Ended |
Jun. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Securities | Note 2—Securities A summary of amortized cost and estimated fair value of securities, excluding equity securities with readily determinable fair values not held for trading, at June 30, 2018 and December 31, 2017 is as follows: (In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value June 30, 2018 Securities available-for-sale: U.S. Treasury securities $ 100,494 $ — $ 4,814 $ 95,680 Obligations of U.S. government agencies 67,704 2 448 67,258 Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 95,795 226 2,568 93,453 Issued by FNMA and FHLMC 432,558 418 12,604 420,372 Other residential mortgage-backed securities 41,409 10 1,676 39,743 Commercial mortgage-backed securities 116,234 127 6,057 110,304 Total MBS 685,996 781 22,905 663,872 Obligations of states and municipal subdivisions 230,404 102 13,459 217,047 Total securities available-for-sale $ 1,084,598 $ 885 $ 41,626 $ 1,043,857 (In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value December 31, 2017 Securities available-for-sale: U.S. Treasury securities $ 100,575 $ — $ 3,731 $ 96,844 Obligations of U.S. government agencies 80,552 738 66 81,224 Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 106,461 676 1,110 106,027 Issued by FNMA and FHLMC 431,409 1,284 2,271 430,422 Other residential mortgage-backed securities 47,379 97 1,084 46,392 Commercial mortgage-backed securities 76,201 63 4,069 72,195 Total MBS 661,450 2,120 8,534 655,036 Obligations of states and municipal subdivisions 420,111 7,539 3,691 423,959 Total securities available-for-sale $ 1,262,688 $ 10,397 $ 16,022 $ 1,257,063 Securities held-to-maturity: Obligations of states and municipal subdivisions $ 290 $ 21 $ — $ 311 The Company elected to reclassify the one held-to-maturity security as of December 31, 2017 to available-for-sale in the first quarter under the transition election guidance in ASC Topic 815. The adoption of ASU 2016-01 resulted in a classification change of equity securities from securities available-for-sale to equity securities with readily determinable fair values not held for trading. The Company recorded an adjustment of $95 thousand to retained earnings for the adoption of the accounting principle. The scheduled contractual maturities of securities available-for-sale and securities held-to-maturity at June 30, 2018 were as follows: Available-for-Sale Amortized Estimated (In thousands) Cost Fair Value Due in one year or less $ 1,490 $ 1,493 Due after one year through five years 106,875 102,037 Due after five years through ten years 42,839 42,675 Due after ten years 247,398 233,780 Mortgage-backed securities 685,996 663,872 Total $ 1,084,598 $ 1,043,857 Gross gains and gross losses on sales of securities available for sale for the three and six months ended June 30, 2018 and 2017 are presented below. There were no other-than-temporary impairment charges included in gross realized losses for the three and six months ended June 30, 2018 and 2017. For the Three Months Ended June 30, For the Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Gross realized gains $ 800 $ 69 $ 811 $ 150 Gross realized losses (2,613 ) (313 ) (2,612 ) (313 ) Realized losses on sale of securities available for sale, net $ (1,813 ) $ (244 ) $ (1,801 ) $ (163 ) Securities with a carrying value of $488.7 million and $507.3 million at June 30, 2018 and December 31, 2017, respectively, were pledged to secure public and trust deposits, FHLB borrowings, repurchase agreements and for other purposes as required or permitted by law. The detail concerning securities classified as available-for-sale with unrealized losses as of June 30, 2018 and December 31, 2017 was as follows: Unrealized loss analysis Losses < 12 Months Losses > 12 Months Gross Gross Estimated Unrealized Estimated Unrealized (In thousands) Fair Value Losses Fair Value Losses June 30, 2018 U.S. Treasury securities $ — $ — $ 95,680 $ 4,814 Obligations of U.S. government agencies 52,182 337 10,732 111 Mortgage-backed securities 459,095 11,764 172,979 11,141 Obligations of states and municipal subdivisions 84,377 2,572 121,701 10,887 Total $ 595,654 $ 14,673 $ 401,092 $ 26,953 Unrealized loss analysis Losses < 12 Months Losses > 12 Months Gross Gross Estimated Unrealized Estimated Unrealized (In thousands) Fair Value Losses Fair Value Losses December 31, 2017 U.S. Treasury securities $ — $ — $ 96,844 $ 3,731 Obligations of U.S. government agencies 1,577 9 14,323 57 Mortgage-backed securities 306,274 1,490 172,324 7,044 Obligations of states and municipal subdivisions 2,601 22 134,870 3,669 Total $ 310,452 $ 1,521 $ 418,361 $ 14,501 There were no securities classified as held-to-maturity with unrealized losses as of June 30, 2018 and December 31, 2017. As of June 30, 2018 and December 31, 2017, approximately 95% and 58%, respectively, of the fair value of securities in the investment portfolio reflected an unrealized loss. As of June 30, 2018, there were 91 securities that had been in a loss position for more than twelve months, and 128 securities that had been in a loss position for less than 12 months. None of the unrealized losses relate to the marketability of the securities or the issuer’s ability to honor redemption of the obligations. The Company has adequate liquidity and, therefore, does not plan to sell and, more likely than not, will not be required to sell these securities before recovery of the indicated impairment. Accordingly, the unrealized losses on these securities have been determined to be temporary. In the second quarter of 2018, we sold approximately $187.8 million of available-for-sale investment securities as part of an effort to rebalance the portfolio. We reduced our target concentration of tax free municipal securities from approximately 35% down to 25%. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 6 Months Ended |
Jun. 30, 2018 | |
Receivables [Abstract] | |
Loans and Allowance for Credit Losses | Note 3—Loans and Allowance for Credit Losses The following table presents total loans outstanding by portfolio segment and class of financing receivable as of June 30, 2018 and December 31, 2017. Outstanding balances also include Acquired Noncredit Impaired (“ANCI”) loans, originated loans and Acquired Credit Impaired (“ACI”) loans net of any remaining purchase accounting adjustments. Information about ACI loans is presented separately in the “Acquired Credit-Impaired Loans” section of this Note. As of (In thousands) June 30, 2018 December 31, 2017 Commercial and Industrial General C&I $ 3,162,087 $ 2,746,454 Restaurant industry 1,072,843 1,035,538 Energy sector 993,751 935,371 Healthcare 469,043 416,423 Total commercial and industrial 5,697,724 5,133,786 Commercial Real Estate Income producing 1,083,041 1,082,929 Land and development 78,257 75,472 Total commercial real estate 1,161,298 1,158,401 Consumer Residential real estate 1,844,122 1,690,814 Other 63,304 74,922 Total consumer 1,907,426 1,765,736 Small Business Lending 239,719 221,855 Total (Gross of unearned discount and fees) 9,006,167 8,279,778 Unearned discount and fees (30,412 ) (26,351 ) Total (Net of unearned discount and fees) $ 8,975,755 $ 8,253,427 During the three months ended June 30, 2018, the Company purchased $32.5 million of consumer residential real estate loans at a premium of approximately 6.3%. These loans were evaluated and determined not to be credit impaired before purchase and are classified as ANCI as of June 30, 2018. Allowance for Credit Losses (“ACL”) The ACL is management’s estimate of credit losses inherent in the loan portfolio at the balance sheet date. The Company has an established process to determine the adequacy of the ACL that assesses the losses inherent in our portfolio. While management attributes portions of the ACL to specific portfolio segments, the entire ACL is available to absorb credit losses inherent in the total loan portfolio. The ACL process involves procedures that appropriately consider the unique risk characteristics of the loan portfolio segments based on management’s assessment of the underlying risks and cash flows. For each portfolio segment, losses are estimated collectively for groups of loans with similar characteristics, individually for impaired loans or, for ACI loans, based on the changes in cash flows expected to be collected on a pool or individual basis. The level of the ACL is influenced by loan volumes, risk rating migration, historic loss experience influencing loss factors, and other conditions influencing loss expectations, such as economic conditions. The primary indicator of credit quality for the portfolio segments is its internal risk ratings. The assignment of loan risk ratings is the primary responsibility of the lending officer and is subject to independent review by internal credit review, which also performs ongoing, independent review of the risk management process. Credit review is centralized and independent of the lending function. The credit review results are reported to senior management and the Board of Directors. A summary of the activity in the ACL for the three and six months ended June 30, 2018 and 2017: For the Three Months Ended June 30, 2018 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of March 31, 2018 $ 61,209 $ 11,686 $ 13,882 $ 4,760 $ 91,537 Provision for loan losses 485 (224 ) 954 48 1,263 Charge-offs (3,407 ) — (215 ) (28 ) (3,650 ) Recoveries 1,333 8 82 47 1,470 As of June 30, 2018 $ 59,620 $ 11,470 $ 14,703 $ 4,827 $ 90,620 For the Six Months Ended June 30, 2018 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of December 31, 2017 $ 55,919 $ 11,990 $ 14,983 $ 4,684 $ 87,576 Provision for loan losses 5,815 (737 ) 51 514 5,643 Charge-offs (3,465 ) — (516 ) (481 ) (4,462 ) Recoveries 1,351 217 185 110 1,863 As of June 30, 2018 $ 59,620 $ 11,470 $ 14,703 $ 4,827 $ 90,620 Allocation of ending ACL Loans collectively evaluated for impairment $ 54,460 $ 11,468 $ 14,455 $ 4,806 $ 85,189 Loans individually evaluated for impairment 5,160 2 248 21 5,431 ACL as of June 30, 2018 $ 59,620 $ 11,470 $ 14,703 $ 4,827 $ 90,620 Loans Loans collectively evaluated for impairment $ 5,646,884 $ 1,153,950 $ 1,905,191 $ 239,189 $ 8,945,214 Loans individually evaluated for impairment 50,840 7,348 2,235 530 60,953 Loans as of June 30, 2018 $ 5,697,724 $ 1,161,298 $ 1,907,426 $ 239,719 $ 9,006,167 For the Three Months Ended June 30, 2017 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of March 31, 2017 $ 60,007 $ 10,555 $ 13,298 $ 4,444 $ 88,304 Provision for loan losses 4,416 2,591 (330 ) 24 6,701 Charge-offs (2,551 ) — (161 ) (167 ) (2,879 ) Recoveries 363 114 578 34 1,089 As of June 30, 2017 $ 62,235 $ 13,260 $ 13,385 $ 4,335 $ 93,215 For the Six Months Ended June 30, 2017 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of December 31, 2016 $ 54,688 $ 10,103 $ 13,265 $ 4,212 $ 82,268 Provision for loan losses 9,513 3,029 (119 ) 64 12,487 Charge-offs (2,861 ) — (402 ) (167 ) (3,430 ) Recoveries 895 128 641 226 1,890 As of June 30, 2017 $ 62,235 $ 13,260 $ 13,385 $ 4,335 $ 93,215 Allocation of ending ACL Loans collectively evaluated for impairment $ 48,882 $ 13,253 $ 13,131 $ 4,301 $ 79,567 Loans individually evaluated for impairment 13,353 7 254 34 13,648 ACL as of June 30, 2017 $ 62,235 $ 13,260 $ 13,385 $ 4,335 $ 93,215 Loans Held-for-sale The Company had held-for-sale (“HFS”) loans totaling $33.1 million as of June 30, 2018 consisting of $26.4 million in commercial loans and $6.7 million in mortgage loans. Impaired Originated and ANCI Loans Including TDRs The following includes certain key information about individually impaired originated and ANCI loans as of June 30, 2018 and December 31, 2017 and for the three and six months ended June 30, 2018 and 2017. Originated and ANCI Loans Identified as Impaired As of June 30, 2018 (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments With no related allowance for credit losses Commercial and Industrial General C&I $ 184 $ 197 $ — $ 184 $ — Total commercial and industrial 184 197 — 184 — Consumer Residential real estate 1,073 1,078 — 32 — Other 267 267 — — — Total consumer 1,340 1,345 — 32 — Small Business Lending 225 688 225 — Total $ 1,749 $ 2,230 $ — $ 441 $ — With allowance for credit losses recorded Commercial and Industrial General C&I $ 4,699 $ 4,677 $ 7 $ — $ — Energy sector 24,888 37,389 3,703 24,888 480 Restaurant industry 10,764 10,969 1,451 10,764 2,500 Total commercial and industrial 40,351 53,035 5,161 35,652 2,980 Consumer Residential real estate 491 488 34 — — Other 87 87 4 — — Total consumer 578 575 38 — — Small Business Lending 306 594 22 92 10 Total $ 41,235 $ 54,204 $ 5,221 $ 35,744 $ 2,990 As of December 31, 2017 (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments With no related allowance for credit losses Commercial and Industrial General C&I $ 5,010 $ 4,994 $ — $ 192 $ — Energy sector 14,822 23,307 — 14,822 387 Total commercial and industrial 19,832 28,301 — 15,014 387 Consumer Residential real estate 1,093 1,097 — 35 — Other 416 415 — — — Total consumer 1,509 1,512 — 35 — Small Business Lending 249 695 — 249 — Total $ 21,590 $ 30,508 $ — $ 15,298 $ 387 With allowance for credit losses recorded Commercial and Industrial Energy sector $ 39,857 $ 43,416 $ 8,353 $ 28,000 $ 402 Restaurant industry 11,017 10,969 106 — 2,500 Total commercial and industrial 50,874 54,385 8,459 28,000 2,902 Consumer Residential real estate 496 494 36 — — Small Business Lending 650 921 27 60 — Total $ 52,020 $ 55,800 $ 8,522 $ 28,060 $ 2,902 (1) The recorded investment of a loan also includes any interest receivable, net unearned discount or fees, and unamortized premium or discount. The related amount of interest income recognized for impaired loans was $91 thousand and $177 thousand for the three and six months ended June 30, 2018 compared to $445 thousand and $867 thousand for the same periods in 2017. Generally, cash receipts on nonperforming loans are used to reduce principal rather than recorded as interest income. Past due status is determined based upon contractual terms. A nonaccrual loan may be returned to accrual status when repayment is reasonably assured and there has been demonstrated performance under the terms of the loan or, if applicable, under the terms of the restructured loan. Approximately $1.3 million and $1.6 million of contractual interest paid was recognized on the cash basis for the three and six months ended June 30, 2018 compared to $1.0 million and $1.2 million for same periods in 2017. Average Recorded Investment in Impaired Originated and ANCI Loans Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Commercial and Industrial General C&I $ 4,915 $ 12,697 $ 4,947 $ 12,576 Restaurant industry 10,867 — 10,917 — Energy sector 33,074 129,639 40,276 132,599 Total commercial and industrial 48,856 142,336 56,140 145,175 Consumer Residential real estate 1,570 1,381 1,576 1,312 Other 367 319 383 356 Total consumer 1,937 1,700 1,959 1,668 Small Business Lending 478 983 618 969 Total $ 51,271 $ 145,019 $ 58,717 $ 147,812 Included in impaired loans are loans considered to be TDRs. The Company attempts to work with borrowers when necessary to extend or modify loan terms to better align with the borrower’s ability to repay. Extensions and modifications to loans are made in accordance with internal policies and guidelines which conform to regulatory guidance. Each occurrence is unique to the borrower and is evaluated separately. The Bank considers regulatory guidelines when restructuring loans to ensure that prudent lending practices are followed. Qualifying criteria and payment terms are structured by the borrower’s current and prospective ability to comply with the modified terms of the loan. A modification is classified as a TDR if the borrower is experiencing financial difficulty and it is determined that the Company has granted a concession to the borrower. The Company may determine that a borrower is experiencing financial difficulty if the borrower is currently in default on any of its debt, or if it is probable that a borrower may default in the foreseeable future without the modification. Concessions could include reductions of interest rates at a rate lower than current market rate for a new loan with similar risk, extension of the maturity date, reduction of accrued interest, principal forgiveness, forbearance, or other concessions. The assessments of whether a borrower is experiencing or will likely experience financial difficulty and whether a concession has been granted is highly subjective in nature, and management’s judgment is required when determining whether a modification is classified as a TDR. Current amendments to the accounting guidance preclude a creditor from using the effective interest rate test in the debtor’s guidance on restructuring of payables (ASC 470-60-55-10) when evaluating whether a restructuring constitutes a TDR. All TDRs are reported as impaired. Impaired classification may be removed if the borrower demonstrates compliance with the modified terms and the restructuring agreement specifies an interest rate equal to that which would be provided to a borrower with similar credit at the time of restructuring. The majority of TDRs are classified as impaired loans for the remaining life of the loan. Nonperforming loans and impaired loans are defined differently. Some loans may be included in both categories, whereas other loans may only be included in one category. There were two small business loans modified into a TDR by rate concessions with a combined recorded investment of $134 thousand for the three and six months ended June 30, 2018. There were two loans modified into a TDR with a combined recorded investment of $610 thousand during the three months ended June 30, 2017. One of these modifications was residential real estate and had modified terms or other concessions, while the other was a small business loan modified by rate concession. The six months ended June 30, 2017 also included a commercial and industrial loan with a recorded investment of $196 thousand modified into a TDR by a rate concession. There were no TDRs experiencing payment default during the three and six months ended June 30, 2018 and 2017. Residential Mortgage Loans in Process of Foreclosure Credit Exposure in the Originated and ANCI Loan Portfolios The following provides information regarding the credit exposure by portfolio segment and class of receivable as of June 30, 2018 and December 31, 2017: As of June 30, 2018 (Recorded Investment in thousands) Special Mention Substandard Doubtful Total Criticized / Classified Commercial and Industrial General C&I $ 92,742 $ 43,243 $ — $ 135,985 Restaurant industry 40,551 25,761 — 66,312 Energy sector 11,862 44,762 3,407 60,031 Healthcare 5,645 67 — 5,712 Total commercial and industrial 150,800 113,833 3,407 268,040 Commercial Real Estate Income producing — 2 — 2 Land and development 19 751 — 770 Total commercial real estate 19 753 — 772 Consumer Residential real estate 6,961 10,415 — 17,376 Other 1,738 369 1 2,108 Total consumer 8,699 10,784 1 19,484 Small Business Lending 1,803 1,703 23 3,529 Total $ 161,321 $ 127,073 $ 3,431 $ 291,825 As of December 31, 2017 (Recorded Investment in thousands) Special Mention Substandard Doubtful Total Criticized / Classified Commercial and Industrial General C&I $ 80,550 $ 47,324 $ — $ 127,874 Restaurant industry 4,536 12,506 — 17,042 Energy sector — 99,979 7,634 107,613 Healthcare — 71 — 71 Total commercial and industrial 85,086 159,880 7,634 252,600 Commercial Real Estate Income producing — 26 — 26 Land and development 20 — — 20 Total commercial real estate 20 26 — 46 Consumer Residential real estate 7,610 12,416 — 20,026 Other 673 356 4 1,033 Total consumer 8,283 12,772 4 21,059 Small Business Lending 3,480 1,375 27 4,882 Total $ 96,869 $ 174,053 $ 7,665 $ 278,587 The following provides an aging of past due originated and ANCI loans by portfolio segment and class of receivable as of June 30, 2018 and December 31, 2017: Aging of Past due Originated and ANCI Loans As of June 30, 2018 Accruing Loans Non-Accruing Loans (Recorded Investment in thousands) 30-59 DPD 60-89 DPD 90+DPD 0-29 DPD 30-59 DPD 60-89 DPD 90+DPD Commercial and Industrial General C&I $ — $ — $ — $ — $ 184 $ 1 $ — Restaurant industry — — — 10,764 — — — Energy sector — — — 2,557 — — 22,331 Healthcare — — — 67 — — — Total commercial and industrial — — — 13,388 184 1 22,331 Commercial Real Estate Income producing — — — — — 2 — Land and development — — 50 — — — — Total commercial real estate — — 50 — — 2 — Consumer Residential real estate 5,010 516 137 1,632 117 28 1,135 Other 361 — — — — — — Total consumer 5,371 516 137 1,632 117 28 1,135 Small Business Lending 316 — — 339 56 33 95 Total $ 5,687 $ 516 $ 187 $ 15,359 $ 357 $ 64 $ 23,561 As of December 31, 2017 Accruing Loans Non-Accruing Loans (Recorded Investment in thousands) 30-59 DPD 60-89 DPD 90+DPD 0-29 DPD 30-59 DPD 60-89 DPD 90+DPD Commercial and Industrial General C&I $ 59 $ — $ 476 $ — $ 192 $ — $ — Energy sector — — — 32,315 — — 10,507 Healthcare — — — — 71 — — Total commercial and industrial 59 — 476 32,315 263 — 10,507 Commercial Real Estate Income producing — — 26 — — — — Land and development 55 — — — — — — Total commercial real estate 55 — 26 — — — — Consumer Residential real estate 3,191 1,030 325 1,070 173 293 2,205 Other 532 3 — — — — — Total consumer 3,723 1,033 325 1,070 173 293 2,205 Small Business Lending 931 328 — 110 38 — 494 Total $ 4,768 $ 1,361 $ 827 $ 33,495 $ 474 $ 293 $ 13,206 Acquired Credit Impaired (“ACI”) Loans The following table presents total ACI loans outstanding by portfolio segment and class of financing receivable as of June 30, 2018 and December 31, 2017. As of (In thousands) June 30, 2018 December 31, 2017 Commercial and Industrial General C&I $ 22,198 $ 23,428 Healthcare 5,917 6,149 Total commercial and industrial 28,115 29,577 Commercial Real Estate Income producing 73,506 79,861 Total commercial real estate 73,506 79,861 Consumer Residential real estate 134,309 149,942 Other 707 1,180 Total consumer 135,016 151,122 Total $ 236,637 $ 260,560 The excess of cash flows expected to be collected over the carrying value of ACI loans is referred to as the accretable yield and is recognized in interest income using an effective yield method over the remaining life of the loan, or pools of loans. The accretable yield is affected by: • Changes in interest rate indices for variable rate ACI loans—Expected future cash flows are based on the variable rates in effect at the time of the regular evaluations of cash flows expected to be collected; • Changes in prepayment assumptions—Prepayments affect the estimated life of ACI loans which may change the amount of interest income, and possibly principal, expected to be collected; and • Changes in the expected principal and interest payments over the estimated life—Updates to expected cash flows are driven by the credit outlook and actions taken with borrowers. Changes in the amount of accretable discount for ACI loans for the six months ended June 30, 2018 and 2017 were as follows: Changes in Accretable Yield on ACI Loans For the Six Months Ended June 30, (In thousands) 2018 2017 Balance at beginning of period $ 78,422 $ 98,728 Maturities/payoff (3,584 ) (5,773 ) Charge-offs (26 ) (90 ) Foreclosure (385 ) (1,040 ) Accretion (10,208 ) (12,406 ) Reclass from nonaccretable difference due to increases in expected cash flow 8,070 6,369 Balance at end of period $ 72,289 $ 85,788 Impaired ACI Loans and Pools Including TDRs The following includes certain key information about individually impaired ACI loans and pooled ACI loans as of June 30, 2018 and December 31, 2017 and for the three and six months ended June 30, 2018 and 2017. ACI Loans / Pools Identified as Impaired As of June 30, 2018 ACI Loans / Pools Identified as Impaired (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments Commercial and Industrial $ 12,021 $ 12,887 $ 263 $ — $ — Commercial Real Estate 82,481 109,018 1,460 — — Consumer 21,448 22,922 6,268 — — Total $ 115,950 $ 144,827 $ 7,991 $ — $ — As of December 31, 2017 ACI Loans / Pools Identified as Impaired (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments Commercial and Industrial $ 13,541 $ 17,630 $ 5 $ — $ — Commercial Real Estate 82,856 112,330 2,010 225 — Consumer 18,603 22,064 6,509 — — Total $ 115,000 $ 152,024 $ 8,524 $ 225 $ — (1) The recorded investment of a loan also includes any interest receivable, net unearned discount or fees, and unamortized premium or discount. ACI Loans that Were Modified into TDRs There were no ACI loans modified into a TDR for the six months ended June 30, 2018 and 2017. There were no ACI TDRs experiencing payment default during the three and six months ended June 30, 2018 and 2017. Credit Exposure in the ACI Portfolio The following provides information regarding the credit exposure by portfolio segment and class of receivable as of June 30, 2018 and December 31, 2017: ACI Loans by Risk Rating / Delinquency Stratification Commercial and Industrial credit exposure on ACI loans, based on internal risk rating: As of June 30, 2018 December 31, 2017 (Recorded Investment in thousands) Special Mention Substandard Doubtful Special Mention Substandard Doubtful Commercial and Industrial General C&I $ 533 $ 1,281 $ 39 $ 737 $ 1,173 $ 37 Healthcare — 5,917 — — 6,148 — Total commercial and industrial 533 7,198 39 737 7,321 37 Commercial Real Estate Income producing 1,670 5,224 — 2,179 6,515 — Consumer . Residential real estate 3,728 18,877 — 3,900 22,635 — Other 94 292 — 114 417 — Total consumer 3,822 19,169 — 4,014 23,052 — Total $ 6,025 $ 31,591 $ 39 $ 6,930 $ 36,888 $ 37 Consumer credit exposure on ACI loans, based on past due status: As of June 30, 2018 December 31, 2017 (Recorded Investment in thousands) Residential Real Estate Other Residential Real Estate Other 0 – 29 Days Past Due $ 125,781 $ 977 $ 139,662 $ 1,356 30 – 59 Days Past Due 3,153 125 2,299 120 60 – 89 Days Past Due 1,260 - 2,496 62 90 – 119 Days Past Due 862 — 399 — 120 + Days Past Due 5,469 — 7,480 45 Total $ 136,525 $ 1,102 $ 152,336 $ 1,583 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Note 4—Goodwill and Other Intangible Assets The following table summarizes the Company’s goodwill and other intangible assets at June 30, 2018 and December 31, 2017: (In thousands) June 30, 2018 December 31, 2017 Goodwill $ 307,083 $ 317,817 Core deposit intangible, net of accumulated amortization of $38,842 and $38,091, respectively 843 1,595 Customer lists, net of accumulated amortization of $18,852 and $18,097, respectively 7,698 8,604 Trademarks 24 24 Total goodwill and intangible assets $ 315,648 $ 328,040 The decline in goodwill is related to the sale of the insurance subsidiary in the second quarter of 2018. (See “Sale of Subsidiary in Note 1). |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivatives | Note 5—Derivatives The Company primarily uses derivatives to manage exposure to market risk, including interest rate risk, credit risk and foreign currency risk, and to assist customers with their risk management objectives. Management will designate certain derivatives as hedging instruments in a qualifying hedge accounting relationship. The Company’s remaining derivatives consist of economic hedges that do not qualify for hedge accounting and derivatives held for customer accommodation, or other purposes. The fair value of derivative positions outstanding is included in other assets and other liabilities in the accompanying consolidated balance sheets and in the net change in each of these financial statement line items in the accompanying consolidated statements of cash flows. For derivatives not designated as hedging instruments, gains and losses due to changes in fair value are included in noninterest income and the operating section of the consolidated statement of cash flows. For derivatives designated as hedging instruments, the effective portion of the gain or loss related to the derivative instrument is recognized as a component of other comprehensive income and subsequently reclassified as interest income when the forecasted transaction affects income. The ineffective portion of the gain or loss is recognized immediately as noninterest income. The notional amounts and estimated fair values as of June 30, 2018 and December 31, 2017 were as follows: June 30, 2018 December 31, 2017 Fair Value Fair Value (In thousands) Notional Amount Other Assets Other Liabilities Notional Amount Other Assets Other Liabilities Derivatives designated as hedging instruments (cash flow hedges): Commercial loan interest rate swaps $ 1,032,000 $ — $ 35,164 $ 1,032,000 $ — $ 21,394 Derivatives not designated as hedging instruments: Commercial loan interest rate swaps 827,427 2,776 2,776 737,533 2,056 2,056 Commercial loan interest rate caps 117,954 331 331 186,290 153 153 Commercial loan interest rate floors 480,248 4,179 4,179 330,764 1,054 1,054 Mortgage loan held for sale interest rate lock commitments 10,908 113 — 6,119 50 — Mortgage loan forward sale commitments 3,662 — — 4,565 10 — Mortgage loan held for sale floating commitments 16,618 — — 11,800 — — Foreign exchange contracts 43,144 1,432 1,399 41,688 635 623 Total derivatives not designated as hedging instruments 1,499,961 8,831 8,685 1,318,759 3,958 3,886 Total derivatives $ 2,531,961 $ 8,831 $ 43,849 $ 2,350,759 $ 3,958 $ 25,280 The Company is party to collateral support agreements with certain derivative counterparties. Such agreements require that the Company maintain collateral based on the fair values of derivative transactions. In the event of default by the Company, the counterparty would be entitled to the collateral. At June 30, 2018 and December 31, 2017, the Company was required to post $29.1 million and $20.2 million, respectively, in cash or securities as collateral for its derivative transactions, which are included in “interest-bearing deposits in banks” on the Company’s consolidated balance sheets. The Company’s master agreements represent written, legally enforceable bilateral agreements that (1) create a single legal obligation for all individual transactions covered by the master agreement and (2) in the event of default, provide the non-defaulting counterparty the right to accelerate, terminate, and close-out on a net basis all transactions under the agreement and to promptly liquidate or set-off collateral posted by the defaulting counterparty. As permitted by U.S. GAAP, the Company does not offset fair value amounts for the right to reclaim cash collateral or the obligation to return cash collateral against fair value amounts of derivatives executed with the same counterparty under the master agreement. Gain (loss) included in the consolidated statements of income related to derivative instruments for the three and six months ended June 30, 2018 and 2017 were as follows: For the Three Months Ended June 30, 2018 2017 (In thousands) OCI Reclassified from AOCI to interest income Noninterest income OCI Reclassified from AOCI to interest income Noninterest income Derivatives designated as hedging instruments (cash flow hedges): Commercial loan interest rate swaps $ (3,762 ) $ (1,180 ) $ — $ 4,916 $ 1,116 $ — Derivatives not designated as hedging instruments: Mortgage loan held for sale interest rate lock commitments $ — $ — $ 3 $ — $ — $ (99 ) Foreign exchange contracts — — 515 — — 552 For the Six Months Ended June 30, 2018 2017 (In thousands) OCI Reclassified from AOCI to interest income Noninterest income OCI Reclassified from AOCI to interest income Noninterest income Derivatives designated as hedging instruments (cash flow hedges): Commercial loan interest rate swaps $ (15,040 ) $ (1,513 ) $ — $ 3,326 $ 3,033 $ — Derivatives not designated as hedging instruments: Mortgage loan held for sale interest rate lock commitments $ — $ — $ 64 $ — $ — $ 79 Foreign exchange contracts — — 1,023 — — 1,021 Interest Rate Swap and Cap Agreements not designated as hedging derivatives The Company enters into certain interest rate swap, floor and cap agreements on commercial loans that are not designated as hedging instruments. These derivative contracts relate to transactions in which the Company enters into an interest rate swap, floor or cap with a loan customer while at the same time entering into an offsetting interest rate swap or cap with another financial institution. In connection with each swap transaction, the Company agrees to pay interest to the customer on a notional amount at a variable interest rate and receive interest from the customer on a similar notional amount at a fixed interest rate. At the same time, the Company agrees to pay another financial institution the same fixed interest rate on the same notional amount and receive the same variable interest rate on the same notional amount. The interest rate swap transaction allows the Company’s customer to effectively convert a variable rate loan to a fixed rate. The interest rate cap transaction allows the Company’s customer to minimize interest rate risk exposure to rising interest rates. Because the Company acts as an intermediary for its customer, changes in the fair value of the underlying derivative contracts for the most part offset each other and do not significantly impact the Company’s consolidated statements of income. The Company is exposed to credit loss in the event of nonperformance by the parties to the interest rate swap and cap agreements. However, the Company does not anticipate nonperformance by the counterparties. The estimated fair value has been recorded as an asset and a corresponding liability in the accompanying consolidated balance sheets as of June 30, 2018 and December 31, 2017. Cash Flow Hedges Cash flow hedge relationships mitigate exposure to the variability of future cash flows or other forecasted transactions. The Company uses interest rate swaps to manage overall cash flow changes related to interest rate risk exposure on benchmark interest rate loans. In June 2015 and March 2016, the Company entered into the following interest rate swap agreements to manage overall cash flow changes related to interest rate risk exposure on benchmark interest rate loans. Effective Date Maturity Date Notional Amount (In Thousands) Fixed Rate Variable Rate June 15, 2015 December 17, 2018 $ 382,000 1.3250 % 1 Month LIBOR June 30, 2015 December 31, 2019 300,000 1.5120 1 Month LIBOR March 8, 2016 February 27, 2026 175,000 1.5995 1 Month LIBOR March 8, 2016 February 27, 2026 175,000 1.5890 1 Month LIBOR Based on our current interest rate forecast, $8.8 million of deferred net loss on derivatives in OCI at June 30, 2018 is estimated to be reclassified into net interest income during the next twelve months. Future changes to interest rates may significantly change actual amounts reclassified to income. There were no reclassifications into income during the six months ended June 30, 2018 and 2017 as a result of any discontinuance of cash flow hedges because the forecasted transaction was no longer probable. The maximum length of time over which the Company is hedging a portion of its exposure to the variability in future cash flows for forecasted transactions is approximately eight years as of June 30, 2018. |
Deposits
Deposits | 6 Months Ended |
Jun. 30, 2018 | |
Banking And Thrift [Abstract] | |
Deposits | Note 6—Deposits Domestic time deposits $250,000 and over were $461.3 million and $382.4 million at June 30, 2018 and December 31, 2017, respectively. There were no foreign time deposits at either June 30, 2018 or December 31, 2017. |
Borrowed Funds
Borrowed Funds | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Borrowed Funds | Note 7—Borrowed Funds Repurchase Agreements Securities sold under agreements to repurchase generally mature within one to seven days from the transaction date. Securities underlying the repurchase agreements remain under the control of the Company. Information concerning the Company’s securities sold under agreements to repurchase as of June 30, 2018 and December 31, 2017 is summarized as follows: (In thousands) June 30, 2018 December 31, 2017 Balance at period end $ 1,183 $ 1,026 Average balance during the period 1,438 3,371 Average interest rate during the period 0.25 % 0.25 % Maximum month-end balance during the period $ 1,783 $ 6,286 Repurchase agreements are treated as collateralized financing obligations and are reflected as a liability in the consolidated balance sheets. Senior and Subordinated Debt In June 2014, the Company and the Bank completed an unregistered $245 million multi-tranche debt transaction and in March 2015, the Company completed an unregistered $50 million debt transaction. These transactions enhanced our liquidity and the Bank’s capital levels to support balance sheet growth. Details of the debt transactions are as follows: (In thousands) June 30, 2018 December 31, 2017 Cadence Bancorporation: 4.875% senior notes, due June 28, 2019 $ 145,000 $ 145,000 5.375% senior notes, due June 28, 2021 50,000 50,000 7.250% subordinated notes, due June 28, 2029, callable in 2024 35,000 35,000 6.500% subordinated notes, due March 2025, callable in 2020 40,000 40,000 Total long-term debt—Cadence Bancorporation 270,000 270,000 Cadence Bank: 6.250% subordinated notes, due June 28, 2029, callable in 2024 25,000 25,000 Debt Issue Cost and unamortized (1,364 ) (1,606 ) Purchased (10,078 ) (10,078 ) Total long-term debt - Cadence Bancorp, LLC $ 283,558 $ 283,316 The senior transactions were structured with 4 and 7 year maturities to provide holding company liquidity and to stagger the Company’s debt maturity profile. The $35 million and $25 million subordinated debt transactions were structured with a 15 year maturity, 10 year call options, and fixed-to-floating interest rates in order to maximize regulatory capital treatment. These subordinated debt structures were designed to achieve full Tier 2 capital treatment for 10 years. The $40 million subordinated debt transaction has a 5 year call option. The Company’s senior notes are unsecured, unsubordinated obligations and are equal in right of payment to all of the Company’s other unsecured debt. The Company’s subordinated notes are unsecured obligations and will be subordinated in right of payment to all of the Company’s senior indebtedness and general creditors and to depositors at the Bank. The Company’s senior notes and subordinated notes are not guaranteed by any subsidiary of the Company, including the Bank. The Bank’s subordinated notes are unsecured obligations and are subordinated in right of payment to all of the Bank’s senior indebtedness and general creditors and to depositors of the Bank. The Bank’s subordinated notes are not guaranteed by the Company or any subsidiary of the Bank. Payment of principal on the Company’s and Bank’s subordinated notes may be accelerated by holders of such subordinated notes only in the case of certain insolvency events. There is no right of acceleration under the subordinated notes in the case of default. The Company and/or the Bank may be required to obtain the prior written approval of the Federal Reserve, and, in the case of the Bank, the OCC, before it may repay the subordinated notes issued thereby upon acceleration or otherwise. Junior Subordinated Debentures In conjunction with the Company’s acquisition of Cadence Financial Corporation and Encore Bank, N.A., the junior subordinated debentures were marked to their fair value as of their respective acquisition dates. The related mark is being amortized over the remaining term of the junior subordinated debentures. The following is a list of junior subordinated debt: (In thousands) June 30, 2018 December 31, 2017 Junior subordinated debentures, 3 month LIBOR plus 2.85%, due 2033 $ 30,000 $ 30,000 Junior subordinated debentures, 3 month LIBOR plus 2.95%, due 2033 5,155 5,155 Junior subordinated debentures, 3 month LIBOR plus 1.75%, due 2037 15,464 15,464 Total par value 50,619 50,619 Purchase accounting adjustment, net of amortization (13,907 ) (14,147 ) Total junior subordinated debentures $ 36,712 $ 36,472 Advances from FHLB and Borrowings from FRB FHLB advances are collateralized by deposits with the FHLB, FHLB stock and loans. FHLB advances were $150 million as of June 30, 2018 and December 31, 2017. The advances as of December 31, 2017 matured in January 2018. The advances as of June 30, 2018 are fixed rate and will mature in February 2019. Any advances are collateralized by $1.6 billion of commercial and residential real estate loans pledged under a blanket lien arrangement as of June 30, 2018. As of June 30, 2018 and December 31, 2017, the FHLB has issued for the benefit of the Bank irrevocable letters of credit totaling $385.6 million and $386.5 million, respectively. Included in the FHLB letters of credit is a $35 million irrevocable letter of credit in favor of the State of Alabama SAFE Program to secure certain deposits of the State of Alabama. This letter of credit expires September 27, 2018 upon 45 days’ prior notice of non-renewal; otherwise it automatically extends for a successive one-year term. Also included is a $350 million irrevocable letter of credit to secure a large treasury management deposit. This letter of credit expires May 26, 2019 upon 45 days’ prior notice of non-renewal; otherwise it automatically extends for a successive one-year term. There were no borrowings from the FRB discount window as of June 30, 2018 and December 31, 2017. Any borrowings from the FRB will be collateralized by $781.1 million in commercial loans pledged under a borrower-in-custody arrangement. |
Other Noninterest Income and Ot
Other Noninterest Income and Other Noninterest Expense | 6 Months Ended |
Jun. 30, 2018 | |
Other Nonoperating Income Expense [Abstract] | |
Other Noninterest Income and Other Noninterest Expense | Note 8—Other Noninterest Income and Other Noninterest Expense The detail of the other noninterest income and other noninterest expense captions presented in the consolidated statements of income is as follows: Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Other noninterest income Insurance revenue $ 417 $ 1,828 $ 2,677 $ 3,957 Bankcard fees 1,915 1,862 3,799 3,674 Income from bank owned life insurance policies 910 767 1,845 1,826 Other 4,180 322 4,311 799 Total other noninterest income $ 7,422 $ 4,779 $ 12,632 $ 10,256 Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Other noninterest expenses Net cost of operation of other real estate owned 112 427 60 723 Data processing expense 2,304 1,702 4,677 3,398 Consulting and professional fees 2,545 1,502 5,480 2,641 Loan related expenses 645 757 900 1,037 FDIC Insurance 1,223 954 2,178 2,447 Communications 703 675 1,407 1,330 Advertising and public relations 575 499 916 844 Legal expenses 468 508 3,095 979 Other 7,746 6,058 13,811 11,803 Total other noninterest expenses $ 16,321 $ 13,082 $ 32,524 $ 25,202 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9—Income Taxes Income tax expense for the three and six months ended June 30, 2018 was $8.4 million and $19.3 million compared to $13.6 million and $26.2 million for the same periods in 2017. The effective tax rate was 14.9% and 18.2% for the three and six months ended June 30, 2018 compared to 31.9% and 32.2% for the same periods in 2017. The decrease in the effective tax rate for the three and six months ended June 30, 2018 compared to the same periods in 2017 was primarily driven by the decrease in the statutory Federal tax rate established by The Tax Cuts and Jobs Act (“Tax Reform”) enacted on December 22, 2017 The effective tax rate is primarily affected by the amount of pre-tax income, tax-exempt interest income, and the increase in cash surrender value of bank-owned life insurance. The effective tax rate is also affected by discrete items that may occur in any given period, but are not consistent from period-to-period, which may impact the comparability of the effective tax rate between periods. As a result of Tax Reform enacted on December 22, 2017, deferred taxes are based on the newly enacted U.S. federal statutory income tax rate of 21%. Deferred taxes as of June 30, 2017 are based on the previously enacted U.S. statutory federal income tax rate of 35%. The provisional amount recorded related to the remeasurement of the Company’s deferred tax asset was $19.0 million, which was recorded in the fourth quarter of 2017 as income tax expense. Based on the information available and our current interpretation of Tax Reform, the Company has made reasonable estimates of the impact from the reduction in the U.S. federal statutory rate on the remeasurement of the deferred tax asset. However, the Company’s deferred tax asset will continue to be evaluated in the context of Tax Reform, and may change as a result of evolving management interpretations, elections, and assumptions, as well as new guidance that may be issued by the Internal Revenue Service. Management expects to complete its analysis within the measurement period in accordance with SAB 118. Nonetheless, there has been no change to the provisional net tax benefit we recorded in the fourth quarter of 2017. |
Earnings Per Common Share
Earnings Per Common Share | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Note 10—Earnings Per Common Share Basic earnings per share is calculated by dividing net income by the weighted average number of common shares outstanding during the period including certain participating securities that contain rights to common stock dividend distributions. Diluted earnings per share includes the dilutive effect of additional potential common shares from stock compensation awards. There were no anti-dilutive securities excluded from the computation of earnings per share in the periods presented. The following table displays a reconciliation of the information used in calculating basic and diluted net income per common share for the three and six months ended June 30, 2018 and 2017. See Note 18 – Equity-based Compensation for more information related to participating securities and dilutive shares. Three Months Ended June 30, Six Months Ended June 30, (In thousands, except per share data) 2018 2017 2018 2017 Net income per consolidated statements of income $ 47,974 $ 28,968 $ 86,799 $ 55,085 Net income allocated to participating securities (60 ) — (106 ) — Net income allocated to common stock $ 47,914 $ 28,968 $ 86,693 $ 55,085 Weighted average common shares outstanding Basic 83,625,000 81,918,956 83,625,000 78,478,591 Weighted average dilutive restricted stock units 1,167,657 32,839 1,108,732 352,795 Weighted average common shares outstanding (Diluted) 84,792,657 81,951,795 84,733,732 78,831,386 Earnings per common share (Basic) $ 0.57 $ 0.35 $ 1.04 $ 0.70 Earnings per common share (Diluted) $ 0.57 $ 0.35 $ 1.02 $ 0.70 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 11—Related Party Transactions In the normal course of business, loans are made to directors and executive officers and to companies in which they have a significant ownership interest. In the opinion of management, these loans are made on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with other parties, are consistent with sound banking practices, and are within applicable regulatory and lending limitations. The aggregate balances of related party loans and deposits as of June 30, 2018 and December 31, 2017 were insignificant. |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Jun. 30, 2018 | |
Banking And Thrift [Abstract] | |
Regulatory Matters | Note 12—Regulatory Matters The Bank is subject to the capital adequacy requirements of the OCC. The Company, as a bank holding company, is subject to the capital adequacy requirements of the Federal Reserve. 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 Company and the Bank 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 classifications are also subject to qualitative judgment by regulators about components, risk weightings, and other related factors. The risk-based capital requirements of the Federal Reserve and the OCC define capital and establish minimum capital requirements in relation to assets and off-balance sheet exposure, adjusted for credit risk. The risk-based capital standards currently in effect are designed to make regulatory capital requirements sensitive to differences in risk profiles among bank holding companies and banks, to account for off-balance sheet exposure and to minimize disincentives for holding liquid assets. Assets and off-balance sheet items are assigned to broad risk categories, each with appropriate relative risk weights. The resulting capital ratios represent capital as a percentage of total risk-weighted assets and off-balance sheet items. The Federal Reserve, the FDIC and the OCC have issued guidelines governing the levels of capital that banks must maintain. The bank guidelines for the period as of June 30, 2018 specify capital tiers, which include the following classifications: Capital Tiers Tier 1 Capital to Average Assets (Leverage) Common Risk - Weighted Assets (CET1) Tier 1 Capital to Risk – Weighted Assets Total Capital to Risk – Weighted Assets Well capitalized 5% or above 6.5% or above 8% or above 10% or above Adequately capitalized 4% or above 4.5% or above 6% or above 8% or above Undercapitalized Less than 4% Less than 4.5% Less than 6% Less than 8% Significantly undercapitalized Less than 3% Less than 3% Less than 4% Less than 6% Critically undercapitalized Tangible Equity / Total Assets less than 2% The most recent notification from the OCC categorized the Bank as well-capitalized under the regulatory framework for prompt corrective action (the prompt corrective action requirements are not applicable to the Company). The actual capital amounts and ratios for the Company and the bank as of June 30, 2018 and December 31, 2017 are presented in the following table and as shown, are above the thresholds necessary to be considered “well-capitalized”. Management believes there are no conditions or events that would change that classification in the foreseeable future. Consolidated Company Bank (In thousands) Amount Ratio Amount Ratio June 30, 2018 Tier 1 leverage $ 1,171,531 10.7 % $ 1,265,583 11.6 % Common equity tier 1 capital 1,131,751 10.5 1,215,583 11.3 Tier 1 risk-based capital 1,171,531 10.9 1,265,583 11.8 Total risk-based capital 1,362,159 12.7 1,382,138 12.9 The minimum amounts of capital and ratios established by banking regulators are as follows: Tier 1 leverage $ 436,292 4.0 % $ 435,617 4.0 % Common equity tier 1 capital 484,088 4.5 483,920 4.5 Tier 1 risk-based capital 645,451 6.0 645,226 6.0 Total risk-based capital 860,601 8.0 860,302 8.0 Well capitalized requirement: Tier 1 leverage N/A N/A $ 544,522 5.0 % Common equity tier 1 capital N/A N/A 698,995 6.5 Tier 1 risk-based capital N/A N/A 860,302 8.0 Total risk-based capital N/A N/A 1,075,377 10.0 Consolidated Company Bank (In thousands) Amount Amount Amount Ratio December 31, 2017 Tier 1 leverage $ 1,096,438 10.7 % $ 1,198,234 11.7 % Common equity tier 1 (transitional) 1,058,888 10.6 1,149,181 11.5 Tier 1 risk-based capital 1,096,438 10.9 1,198,234 12.0 Total risk-based capital 1,283,561 12.8 1,311,376 13.1 The minimum amounts of capital and ratios established by banking regulators are as follows: Tier 1 leverage $ 410,770 4.0 % $ 410,743 4.0 % Common equity tier 1 (transitional) 450,951 4.5 450,874 4.5 Tier 1 risk-based capital 601,269 6.0 601,165 6.0 Total risk-based capital 801,691 8.0 801,553 8.0 Well capitalized requirement: Tier 1 leverage N/A N/A $ 513,429 5.0 % Common equity tier 1 (transitional) N/A N/A 651,262 6.5 Tier 1 risk-based capital N/A N/A 801,553 8.0 Total risk-based capital N/A N/A 1,001,941 10.0 Under regulations controlling national banks, the payment of any dividends by a bank without prior approval of the OCC is limited to the current year’s net profits (as defined by the OCC) and retained net profits of the two preceding years. The Federal Reserve, as primary regulator for bank holding companies, has also stated that all common stock dividends should be paid out of current income. As the Company does not generate income on a stand-alone basis, it does not have the capability to pay common stock dividends without receiving dividends from the Bank. The Bank is required to maintain average reserve balances in the form of cash or deposits with the Federal Reserve Bank. The reserve balance varies depending upon the types and amounts of deposits. At June 30, 2018 and December 31, 2017, the required reserve balance with the Federal Reserve Bank was approximately $60.9 million and $70.9 million, respectively. |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 6 Months Ended |
Jun. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingent Liabilities | Note 13—Commitments and Contingent Liabilities The consolidated financial statements do not reflect various commitments and contingent liabilities which arise in the normal course of banking business and which involve elements of credit risk, interest rate risk, and liquidity risk. The commitments and contingent liabilities are commitments to extend credit, home equity lines, overdraft protection lines, and standby letters of credit. Such financial instruments are recorded when they are funded. A summary of commitments and contingent liabilities at June 30, 2018 and December 31, 2017 is as follows: (In thousands) June 30, 2018 December 31, 2017 Commitments to extend credit $ 3,584,668 $ 3,270,097 Commitments to grant loans 304,137 522,967 Standby letters of credit 139,543 101,718 Performance letters of credit 26,594 17,638 Commercial letters of credit 8,291 11,790 Commitments to extend credit and letters of credit include some exposure to credit loss in the event of nonperformance of the customer. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Standby letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. The credit policies and procedures for such commitments are the same as those used for lending activities. Because these instruments have fixed maturity dates and because a number expire without being drawn upon, they generally do not present any significant liquidity risk. No significant losses on commitments were incurred during the three and six months ended June 30, 2018 and 2017. The Company does not anticipate any significant future losses as a result of these transactions. The Company makes investments in limited partnerships, including certain low income housing partnerships for which tax credits are received. As of June 30, 2018 and December 31, 2017, unfunded capital commitments totaled $28.3 million and $20.3 million, respectively. The Company and the Bank are defendants in various pending and threatened legal actions arising in the normal course of business. In the opinion of management, based upon the advice of legal counsel, the ultimate disposition of all pending and threatened legal action will not have a material effect on the Company’s consolidated financial statements. |
Concentrations of Credit
Concentrations of Credit | 6 Months Ended |
Jun. 30, 2018 | |
Risks And Uncertainties [Abstract] | |
Concentrations of Credit | Note 14—Concentrations of Credit Most of the loans, commitments and letters of credit involve customers or sponsors in the Company’s market areas. Investments in state and municipal securities also involve governmental entities within the Company’s market areas. General concentrations of credit by type of loan are set forth in Note 3 of these consolidated financial statements. The distribution of commitments to extend credit approximates the distribution of loans outstanding. Letters of credit were granted primarily to commercial borrowers. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2018 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Note 15—Supplemental Cash Flow Information For the Six Months Ended June 30, (In thousands) 2018 2017 Cash paid during the year for: Interest $ 48,428 $ 31,708 Income taxes, net of refunds 22,980 30,606 Non-cash investing activities (at fair value): Transfers of loans to other real estate 2,208 6,415 Transfers of commercial loans to loans held for sale 3,500 — |
Disclosure About Fair Values of
Disclosure About Fair Values of Financial Instruments | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Disclosure About Fair Values of Financial Instruments | Note 16—Disclosure About Fair Values of Financial Instruments The Company groups its assets and liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. This hierarchy requires the Company to maximize the use of observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. Each fair value measurement is placed into the proper level based on the lowest level of significant input. 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 management’s estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include use of option pricing models, discounted cash flow models, and similar techniques. Transfers between fair value levels are recognized at the end of the fiscal quarter in which the associated change in inputs occurs. Assets and Liabilities Recorded at Fair Value on a Recurring Basis The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis categorized by the level of inputs used in the valuation of each asset at June 30, 2018 and December 31, 2017: (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) June 30, 2018 Investment securities available-for-sale: U.S. Treasury securities $ 95,680 $ — $ 95,680 $ — Obligations of U.S. government agencies 67,258 — 67,258 — Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 93,453 — 93,453 — Issued by FNMA and FHLMC 420,372 — 420,372 — Other residential mortgage-backed securities 39,743 — 39,743 — Commercial mortgage-backed securities 110,304 — 110,304 — Total MBS 663,872 — 663,872 — Obligations of states and municipal subdivisions 217,047 — 217,047 — Total investment securities available-for-sale 1,043,857 — 1,043,857 — Equity securities with readily determinable fair values not held for trading 5,853 5,853 — — Derivative assets 8,831 — 8,831 — Net profits interests 12,839 — — 12,839 Investments in limited partnerships 8,852 — — 8,852 Total recurring basis measured assets $ 1,080,232 $ 5,853 $ 1,052,688 $ 21,691 Derivative liabilities $ 43,849 $ — $ 43,849 $ — Total recurring basis measured liabilities $ 43,849 $ — $ 43,849 $ — (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) December 31, 2017 Investment securities available-for-sale: U.S. Treasury securities $ 96,844 $ — $ 96,844 $ — Obligations of U.S. government agencies 81,224 — 81,224 — Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 106,027 — 106,027 — Issued by FNMA and FHLMC 430,422 — 430,422 — Other residential mortgage-backed securities 46,392 — 46,392 — Commercial mortgage-backed securities 72,195 — 72,195 — Total MBS 655,036 — 655,036 — Obligations of states and municipal subdivisions 423,959 — 423,959 — Total investment securities available-for-sale 1,257,063 — 1,257,063 — Equity securities with readily determinable fair values not held for trading 5,885 5,885 — — Derivative assets 3,985 — 3,985 — Net profits interests 15,833 — — 15,833 Total recurring basis measured assets $ 1,282,766 $ 5,885 $ 1,261,048 $ 15,833 Derivative liabilities $ 25,307 $ — $ 25,307 $ — Total recurring basis measured liabilities $ 25,307 $ — $ 25,307 $ — There were no transfers between the Level 1 and Level 2 fair value categories during the three and six months ended June 30, 2018 and 2017. Changes in Level 3 Fair Value Measurements The tables below include a roll-forward of the condensed consolidated balance sheet amounts for the three and six months ended June 30, 2018 and 2017 for changes in the fair value of financial instruments within Level 3 of the valuation hierarchy that are recorded on a recurring basis. Level 3 financial instruments typically include unobservable components, but may also include some observable components that may be validated to external sources. The gains or (losses) in the following table may include changes to fair value due in part to observable factors that may be part of the valuation methodology: Level 3 Assets Measured at Fair Value on a Recurring Basis For the Three Months Ended June 30, 2018 2017 2018 2017 (In thousands) Net Profits Interests Investments in Limited Partnerships Beginning Balance $ 14,295 $ 16,550 $ 7,514 $ — Net (losses) gains included in earnings (1,333 ) 114 719 — Contributions paid — — 883 — Distributions received (123 ) (259 ) (264 ) — Ending Balance at June 30, 2018 $ 12,839 $ 16,405 $ 8,852 $ — Net unrealized (losses) gains included in earnings relating to assets held at the end of the period $ (1,333 ) $ 114 $ 719 $ — For the Six Months Ended June 30, 2018 2017 2018 2017 (In thousands) Net Profits Interests Investments in Limited Partnerships Beginning Balance $ 15,833 $ 19,425 $ — $ — Transfers in due to adoption of ASU 2016-01 — — 5,518 — Adjustment recorded in retained earnings due to adoption of ASU 2016-01 — — 1,201 — Net (losses) gains included in earnings (2,202 ) (2,531 ) 1,395 — Contributions paid — — 1,108 — Distributions received (792 ) (489 ) (370 ) — Ending Balance at June 30, 2018 $ 12,839 $ 16,405 $ 8,852 $ — Net unrealized (losses) gains included in earnings relating to assets held at the end of the period $ (2,202 ) $ (2,531 ) $ 1,395 $ — The fair value of the net profits interests in oil and gas reserves was estimated using discounted cash flow analyses applied to the expected cash flows from producing developed wells. Expected cash flows are derived from reports prepared by consulting engineers under established professional standards for the industry. These expected cash flow projections contain significant unobservable inputs regarding the net recoverable oil and gas reserves and forward-looking commodity prices discounted at a rate of 10%. Therefore, the fair value is subject to change based on these commodity markets. An increase of 5% in the discount rate would not produce a material change in the fair value of the net profits interests. The adoption of ASU 2016-01 on January 1, 2018 resulted in certain investments in limited partnerships being estimated using the net asset value “NAV” practical expedient provided by the partnership as allowed by ASC 820 for an equity security without a readily determinable fair value. These investments are within Level 3 of the valuation hierarchy and are measured on a recurring basis. Prior to the adoption of the accounting standard, these investments were accounted for under the cost method. On January 1, 2018, an adjustment of $1.2 million was recorded to retained earnings to account for the adoption of the accounting principle. Assets Recorded at Fair Value on a Nonrecurring Basis From time to time, the Company may be required to measure certain other financial assets at fair value on a nonrecurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower of cost or fair value accounting or write-downs of individual assets. For assets measured at fair value on a nonrecurring basis which were still held on the balance sheets at June 30, 2018 and December 31, 2017, the following tables provide the level of valuation assumptions used to determine each adjustment and the related carrying value: (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) June 30, 2018 Loans held for sale $ 33,118 — $ 33,118 $ — Impaired loans, net of specific allowance 37,765 — — 37,765 Other real estate 4,797 — — 4,797 Total assets measured on a nonrecurring basis $ 75,680 $ — $ 33,118 $ 42,562 (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) December 31, 2017 Loans held for sale $ 61,359 $ — $ 61,359 $ — Impaired loans, net of specific allowance 65,087 — — 65,087 Other real estate 7,605 — — 7,605 Total assets measured on a nonrecurring basis $ 134,051 $ — $ 61,359 $ 72,692 The fair value of collateral-dependent impaired loans and OREO and the related fair value adjustments are generally based on unadjusted third-party appraisals. Appraisals that are not based on observable inputs or that require significant adjustments or fair value measurements that are not based on third-party appraisals are considered to be based on significant unobservable inputs. Nonrecurring fair value measurements of collateral dependent loans secured by oil and gas reserves and mineral rights are generally based on borrower provided or third-party reserve reports (which are reviewed by the Company’s engineering team) that utilize projected cash flows under current market conditions and include significant unobservable inputs. Projected cash flows are discounted according to risk characteristics of the underlying oil and gas properties. Assets are evaluated to demonstrate with reasonable certainty that crude oil, natural gas and natural gas liquids can be recovered from known oil and gas reservoirs under existing economic and operating conditions at current prices with existing conventional equipment, operating methods and costs. The significant unobservable inputs used in these valuations have been developed through our contacts with oil and gas industry participants, asset management and workout professionals and approved by senior management. Significant unobservable inputs used in Level 3 fair value measurements for financial assets measured at fair value on a nonrecurring basis at June 30, 2018 and December 31, 2017 are summarized below: Quantitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Value Valuation Methods Unobservable Inputs Range June 30, 2018 Impaired loans, net of specific allowance $ 37,765 Appraised value, as adjusted Discount to fair value 0% - 20% Discounted cash flow Net recoverable oil and gas reserves and forward-looking commodity prices. Discount rate - 10% 0% - 13% (1) Discounted cash flow Discount rates - 2.9% to 8.7% 0% - 20% (1) Enterprise value Exit multiple 5x 13% Estimated closing costs 10% Other real estate 4,797 Appraised value, as adjusted Discount to fair value 0% - 20% Estimated closing costs 10% (1) - Represents fair value as a percent of the unpaid principal balance. Quantitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Value Valuation Methods Unobservable Inputs Range December 31, 2017 Impaired loans, net of specific allowance $ 65,087 Appraised value, as adjusted Discount to fair value 0%-50% Discounted cash flow Net recoverable oil and gas reserves and forward-looking commodity prices. Discount rate - 9% 0% - 29%(1) Discounted cash flow Discount rates - 3.6% to 8.0% 0% - 1%(1) Estimated closing costs 10% Other real estate 7,605 Appraised value, as adjusted Discount of fair value 0%-20% Estimated closing costs 10% (1) - Represents fair value as a percent of the unpaid principal balance. Determination of Fair Values In accordance with ASC 820-10-35, fair values are based 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. The following describes the assumptions and methodologies used to estimate the fair value of financial instruments recorded at fair value in the consolidated balance sheets and for estimating the fair value of financial instruments for which fair value is disclosed under ASC 825-10-50. Investment Securities . When quoted prices are available in an active market, securities are classified as Level 1. For securities reported at fair value utilizing Level 2 inputs, the Company obtains fair value measurements from an independent pricing service. These fair value measurements consider observable market data that may include benchmark yield curves, reported trades, broker/dealer quotes, issuer spreads and credit information, among other inputs. Loans Held for Sale . Loans held for sale are recorded at the lower of aggregate cost or fair value. Fair value is generally based on quoted market prices of similar loans and is considered to be Level 2. Net Loans . Loans are valued on an individual basis, with consideration given to the loans’ underlying characteristics, including account types, remaining terms, annual interest rates or coupons, interest types, accrual basis, timing of principal and interest payments, current market rates, and remaining balances. A discounted cash flow model is used to estimate the fair value of the loans using assumptions for the coupon rates, remaining maturities, prepayment speeds, projected default probabilities by risk grade, and estimates of prevailing discount rates. The discounted cash flow approach models the projected cash flows, applying various assumptions regarding interest and payment risks for the loans based on the loan types, payment types and fixed or variable classifications. For variable rate loans, forward interest rate curves are integrated into the projection of cash flows. The forward curves are index specific and obtained from a leading third-party provider. Future coupon payments are determined based upon the applicable forward curve, spread, next repricing date, and repricing frequency. Derivative Financial Instruments . Derivative financial instruments are measured at fair value based on modeling that utilizes observable market inputs for various interest rates published by leading third-party financial news and data providers. This is observable data that represents the rates used by market participants for instruments entered into at that date; however, they are not based on actual transactions so they are classified as Level 2. Net profits interests. The fair value of the net profits interests in oil and gas reserves was estimated using discounted cash flow analyses applied to the expected cash flows from producing developed wells. Expected cash flows are derived from reports prepared by consulting engineers under established professional standards for the industry. Investments in Limited Partnerships. The fair value of certain investments in limited partnerships was estimated using the net asset value practical expedient provided by the partnership as allowed by ASC 820 for an equity security without a readily determinable fair value. Certain other limited partnerships without readily determinable fair values that do not qualify for the practical expedient are accounted for at cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. The investments in affordable housing projects are carried at amortized costs which approximates fair value (Note 20). Deposits . The fair values disclosed for demand deposits are, by definition, equal to the amount payable on demand at the reporting date (that is, their carrying amounts). Fair values for CDs are estimated using a discounted cash flow calculation that applies interest rate spreads to current Treasury yields. FHLB . The fair value of the FHLB advance approximates its book value. Security Sold Under Agreements to Repurchase . The carrying amount of security repurchase agreements approximates their fair values. Senior Debt . The fair value of senior debt was estimated by obtaining broker indications that compared the Company’s senior debt to other comparable financial institutions. Subordinated Debt. The fair value of subordinated debentures was estimated by obtaining broker indications that compared the Company’s subordinated debentures to other comparable financial institutions. Junior Subordinated Debentures. The fair value of junior subordinated debentures was estimated by obtaining broker indications that compared the Company’s junior subordinated debentures to other comparable financial institutions. Limitations . The following fair value estimates are determined as of a specific point in time utilizing various assumptions and estimates. The use of assumptions and various valuation techniques, as well as the absence of secondary markets for certain financial instruments, will likely reduce the comparability of fair value disclosures between financial institutions. The fair values for loans involve the use of significant internally-developed pricing assumptions due to market-illiquidity for loans net of unearned income and loans held for sale as of June 30, 2018 and December 31, 2017. These assumptions are considered to reflect inputs that market participants would use in transactions involving these instruments as of the measurement date. This table only includes financial instruments of the Company, and, accordingly, the total of the fair value amounts does not represent, and should not be construed to represent, the underlying value of the Company. The estimated fair values of the Company’s financial instruments are as follows: June 30, 2018 (In thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 145,381 $ 145,381 $ 145,381 $ — $ — Interest-bearing deposits in other banks 437,828 437,828 437,828 — — Federal funds sold 19,962 19,962 19,962 — — Securities available-for-sale 1,043,857 1,043,857 — 1,043,857 — Equity securities with readily determinable fair values not held for trading 5,853 5,853 5,853 — — Loans held for sale 33,118 33,118 — 33,118 — Net loans 8,885,135 8,762,213 — — 8,762,213 Derivative assets 8,831 8,831 — 8,831 — Net profits interests 12,839 12,839 — — 12,839 Investments in limited partnerships 33,865 33,865 — — 33,865 Financial Liabilities: Deposits 9,331,055 9,324,089 — 9,324,089 — Advances from FHLB 150,000 150,000 — 150,000 — Securities sold under agreements to repurchase 1,183 1,183 — 1,183 — Senior debt 184,756 193,940 — 193,940 — Subordinated debt 98,802 95,124 — 95,124 — Junior subordinated debentures 36,712 48,939 — 48,939 — Derivative liabilities 43,849 43,849 — 43,849 — December 31, 2017 (In thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 238,707 $ 238,707 $ 238,707 $ — $ — Interest-bearing deposits in other banks 482,568 482,568 482,568 — — Federal funds sold 9,536 9,536 9,536 — — Securities available-for-sale 1,257,063 1,257,063 — 1,257,063 — Securities held-to-maturity 290 311 — 311 — Equity securities with readily determinable fair values not held for trading 5,885 5,885 5,885 — — Loans held for sale 61,359 61,359 — 61,359 — Net loans 8,165,851 8,134,903 — — 8,134,903 Derivative assets 3,985 3,985 — 3,985 — Net profits interests 15,833 15,833 — — 15,833 Financial Liabilities: Deposits 9,011,515 9,006,890 — 9,006,890 — Advances from FHLB 150,000 150,000 — 150,000 — Securities sold under agreements to repurchase 1,026 1,026 — 1,026 — Senior debt 184,629 194,484 — 194,484 — Subordinated debt 98,687 94,724 — 94,724 — Junior subordinated debentures 36,472 49,161 — 49,161 — Derivative liabilities 25,307 25,307 — 25,307 — |
Segment Reporting
Segment Reporting | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting | Note 17—Segment Reporting The Company determines reportable segments based on the services offered, the significance of the services offered, the significance of those services to the Company’s financial condition and operating results and management’s regular review of the operating results of those services. The Company operates through three operating segments: Banking, Financial Services and Corporate. The Banking Segment includes the Commercial Banking, Retail Banking and Private Banking lines of business. The Commercial Banking line of business includes a general business services component primarily focusing on commercial & industrial (C&I), community banking, business banking and commercial real estate lending to clients in the geographic footprint in Texas and the southeast United States. In addition, the Commercial Banking line of business includes within C&I a separate component that focuses on select industries (which is referred to as the “specialized industries”) in which the Company believes it has specialized experience and service capabilities, including energy, healthcare, restaurant industry, and technology. The Company serves clients in these specialized industries both within the geographic footprint and throughout the United States as a result of the national orientation of many of these businesses. The Retail Banking line of business offers a broad range of retail banking services including mortgage services through the branch network to serve the needs of consumer and small businesses in the geographic footprint. The Private Banking line of business offers banking services and loan products tailored to the needs of the high-net worth clients in the geographic footprint. The Financial Services Segment includes the Trust, Retail Brokerage, Investment Services and Insurance businesses. These businesses offer products independently to their own customers as well as to Banking Segment clients. Investment Services operates through the “Linscomb & Williams” name and prior to sale of the insurance business, Insurance operated though the “Cadence Insurance” name. (See “Sale of Subsidiary” in Note 1). The products offered by the businesses in the Financial Services Segment primarily generate non-banking service fee income. The Corporate Segment reflects parent-only activities and intercompany eliminations. Business segment results are determined based upon the management reporting system, which assigns balance sheet and income statement items to each of the business segments. The process is designed around the organizational and management structure and, accordingly, the results derived are not necessarily comparable with similar information published by other financial institutions or in accordance with generally accepted accounting principles. The Company evaluates performance and allocates resources based on profit or loss from operations. There are no material inter-segment sales or transfers. The accounting policies used by each reportable segment are the same as those discussed in Note 1. All costs, except corporate administration and income taxes, have been allocated to the reportable segments. Therefore, combined amounts agree to the consolidated totals. The following tables present the operating results of the segments as of and for the three and six months ended June 30, 2018 and 2017: Three Months Ended June 30, 2018 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 100,515 $ (700 ) $ (4,431 ) $ 95,384 Provision for credit losses 1,263 — — 1,263 Noninterest income 9,320 14,980 372 24,672 Noninterest expense 50,035 9,815 2,585 62,435 Income tax expense (benefit) 13,480 3,239 (8,335 ) 8,384 Net income $ 45,057 $ 1,226 $ 1,691 $ 47,974 Three Months Ended June 30, 2017 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 85,813 $ 1,617 $ (5,046 ) $ 82,384 Provision for credit losses 6,701 — — 6,701 Noninterest income 11,511 11,398 80 22,989 Noninterest expense 46,997 8,593 544 56,134 Income tax expense (benefit) 15,269 1,548 (3,247 ) 13,570 Net income $ 28,357 $ 2,874 $ (2,263 ) $ 28,968 Six Months Ended June 30, 2018 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 196,615 $ (1,307 ) $ (8,813 ) $ 186,495 Provision for credit losses 5,643 — — 5,643 Noninterest income 21,758 27,338 559 49,655 Noninterest expense 100,567 19,792 4,015 124,374 Income tax expense (benefit) 25,926 3,547 (10,139 ) 19,334 Net income $ 86,237 $ 2,692 $ (2,130 ) $ 86,799 Total assets $ 11,204,713 $ 95,232 $ 5,583 $ 11,305,528 Six Months Ended June 30, 2017 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 165,117 $ 1,467 $ (9,442 ) $ 157,142 Provision for credit losses 12,487 — — 12,487 Noninterest income 23,211 23,719 164 47,094 Noninterest expense 92,454 17,274 727 110,455 Income tax expense (benefit) 29,185 2,769 (5,745 ) 26,209 Net income $ 54,202 $ 5,143 $ (4,260 ) $ 55,085 |
Equity-based Compensation
Equity-based Compensation | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Equity-based Compensation | Note 18—Equity-based Compensation The Company administers a long-term incentive compensation plan that permits the granting of incentive awards in the form of stock options, restricted stock, restricted stock units, performance units, stock appreciation rights, or other stock-based awards. The terms of all awards issued under these plans are determined by the Compensation Committee of the Board of Directors. The Amended and Restated 2015 Omnibus Incentive Plan (the “Plan”) permits the Company to grant to employees and directors various forms of incentive compensation. The principal purposes of this plan are to focus directors, officers and other employees and consultants on business performance that creates shareholder value, to encourage innovative approaches to the business of the Company, and to encourage ownership of the Company’s stock. The Plan authorizes 7,500,000 common share equivalents available for grant, where grants of full value awards (e.g., shares of restricted stock, restricted stock units and performance stock units) count as one share equivalent. The number of remaining share equivalents available for future issuance under the Plan was 6,557,145 at June 30, 2018 assuming applicable performance goals are satisfied at target levels. On April 2, 2018, the Company granted 270,105 shares of stock-based awards in the form of restricted stock units pursuant to and subject to the provisions of the Plan. While the grant specifies a stated target number of units, the determination of the actual settlement in shares will be based in part on the achievement of certain financial performance measures of the Company over the three years ended December 31, 2020. For half of the units granted, these performance conditions will determine the actual units vested on March 31, 2021 and can be in the range of zero to two times the units granted. The remaining half of the restricted stock units vest equally on March 31 of each of the next three years. These grants include rights as a shareholder in the form of dividend equivalents. Dividend equivalents for time vested restricted stock units will be paid on each dividend payment date for the Company; dividend equivalents for the performance vesting restricted stock will be accrued and paid on the vested number of shares once the performance is achieved and the shares are issued. On June 1, 2018, the Company commenced the 2018 Employee Stock Purchase Plan (“ESPP”) whereby employees may purchase the Company’s Class A Common Stock (“Common Stock”) at a discount of 15% of the fair market value of a share of Class A Common Stock, defined as the closing price of Common Stock on the stock exchange for the first and last days of the purchase period (as defined). The total amount of the Company’s Common Stock on which options may be granted under the ESPP shall not exceed 500,000 shares. Shares of Common Stock subject to any unexercised portion of a terminated, canceled or expired option granted under the ESPP may again be used for options under the ESPP. No participating employee shall have any rights as a shareholder until the issuance of a stock certificate to the employee. There were 6,992 shares issued under the ESPP in the second quarter of 2018 which resulted in compensation expense of $29 thousand. As of June 30, 2018, there were 942,855 outstanding non-vested restricted stock units with a weighted average grant date fair value of $11.26. There were no forfeitures for the six months ended June 30, 2018 and 2017. The following table is a summary of the restricted stock unit activity for the six months ended June 30, 2018: For the Six Months Ended June 30, 2018 Number of Shares Fair Value per Unit at Award Date Non-vested at beginning of period 672,750 $ 5.14 Granted during the period 270,105 26.50 Non-vested at end of period 942,855 $ 11.26 The Company recorded $1.0 million and $1.4 million equity-based compensation expense for the outstanding restricted stock units for the three and six months ended June 30, 2018, respectively, compared to $385 thousand and $780 thousand for the same periods in 2017. The remaining expense related to unvested restricted stock units is $7.6 million as of June 30, 2018 and will be recognized over the next 33 months. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jun. 30, 2018 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Note 19—Accumulated Other Comprehensive Loss Activity within the balances in accumulated other comprehensive loss is shown in the following tables for the six months ended June 30, 2018. (In thousands) Unrealized gains (losses) on securities available for sale Unrealized gains (losses) on defined benefit pension plans Unrealized gains (losses) on derivative instruments designated as cash flow hedges Accumulated other comprehensive gain (loss) Balance at December 31, 2017 $ (2,160 ) $ (531 ) $ (16,342 ) $ (19,033 ) Net change (27,097 ) — (10,401 ) (37,498 ) Balance at June 30, 2018 $ (29,257 ) $ (531 ) $ (26,743 ) $ (56,531 ) |
Variable Interest Entities and
Variable Interest Entities and Other Investments | 6 Months Ended |
Jun. 30, 2018 | |
Variable Interest Entities And Other Investments [Abstract] | |
Variable Interest Entities and Other Investments | Note 20—Variable Interest Entities and Other Investments Under ASC 810-10-65, the Company is deemed to be the primary beneficiary and required to consolidate a variable interest entity (“VIE”) if it has a variable interest in the VIE that provides it with a controlling financial interest. For such purposes, the determination of whether a controlling financial interest exists is based on whether a single party has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and the obligation to absorb the losses of the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. ASC 810-10-65, as amended, requires continual reconsideration of conclusions reached regarding which interest holder is a VIE’s primary beneficiary. The Bank has invested in several affordable housing projects as a limited partner. The partnerships have qualified to receive annual affordable housing federal tax credits that are recognized as a reduction of current tax expense. The Company has determined that these structures meet the definition of VIE’s under Topic ASC 810 but that consolidation is not required, as the Bank is not the primary beneficiary. At June 30, 2018 and December 31, 2017, the Bank’s maximum exposure to loss associated with these limited partnerships was limited to the Bank’s investment. The Company accounts for these investments and the related tax credits using either the effective yield method or the proportional amortization method, depending upon the date of the investment. Under the effective yield method, the Bank recognizes the tax credits as they are allocated and amortizes the initial costs of the investments to provide a constant effective yield over the period that the tax credits are allocated. Under the proportional amortization method, the Bank amortizes the cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense. At June 30, 2018 and December 31, 2017, the Company had recorded investments in other assets on its consolidated balance sheets of approximately $8.0 million and $7.9 million, respectively related to these investments. Additionally, the Company invests in other certain limited partnerships accounted for under the fair value practical expedient of net asset value totaling $8.9 million as of June 30, 2018. The company recognized a $0.5 million and $1.2 million gain for the three and six months ended June 30, 2018 related to these assets recorded at fair value through net income. Certain other limited partnerships without readily determinable fair values that do not qualify for the practical expedient are accounted for at its cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. These investments totaled $8.6 million as of June 30, 2018. Other limited partnerships are accounted for under the equity method totaling $8.5 million as of June 30, 2018. As of December 31, 2017 and prior to the adoption of ASU 2016-01, certain limited partnerships were accounted for under the cost method totaling $14.0 million and the equity method totaling $8.8 million The following table presents a summary of the Company’s investments in limited partnerships subsequent to the adoption of ASU 2016-01 and as of June 30, 2018: (In thousands) As of June 30, 2018 Affordable housing projects (amortized cost) $ 7,967 Limited partnerships accounted for under the fair value practical expedient of NAV 8,852 Limited partnerships without readily determinable fair values that do not qualify for the practical expedient of NAV accounted for under the cost method 8,586 Limited partnerships required to be accounted for under the equity method 8,460 Total investments in limited partnerships $ 33,865 During 2016, the Bank received net profits interests in oil and gas reserves, in connection with the reorganization under bankruptcy of two loan customers. The Company has determined that these contracts meet the definition of VIE’s under Topic ASC 810, but that consolidation is not required as the Bank is not the primary beneficiary. The net profits interests are financial instruments and recorded at estimated fair value, which was $12.8 million and $15.8 million at June 30, 2018 and December 31, 2017, respectively, representing the maximum exposure to loss as of that date. The Company has established a rabbi trust related to the deferred compensation plan offered to certain of its employees. The Company contributes employee cash compensation deferrals to the trust. The assets of the trust are available to creditors of the Company only in the event the Company becomes insolvent. This trust is considered a VIE because either there is no equity at risk in the trust or because the Company provided the equity interest to its employees in exchange for services rendered. The Company is considered the primary beneficiary of the rabbi trust as it has the ability to select the underlying investments made by the trust, the activities that most significantly impact the economic performance of the rabbi trust. The Company includes the assets of the rabbi trust as a component of other assets and a corresponding liability for the associated benefit obligation in other liabilities in its consolidated balance sheets. At June 30, 2018 and December 31, 2017, the amount of rabbi trust assets and benefit obligation was $3.7 million and $3.6 million, respectively. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 21—Subsequent Events On July 20, 2018, the Board of Directors of the Company declared a quarterly cash dividend in the amount of $0.15 per share of common stock, representing an annualized dividend of $0.60 per share. The dividend will be paid on September 17, 2018 to holders of record of the Class A common stock on September 4, 2018. On July 26, 2018, Cadence Bancorp, LLC completed a secondary offering of 12,500,000 shares of Class A common stock, par value $0.01 per share of the Company, at a price to the public of $28.40 per share, less underwriting discounts and commissions, as described in a prospectus supplement, dated July 24, 2018, filed with the Securities and Commission on July 26, 2018. The Company itself did not sell any shares of Class A Common Stock and did not receive any proceeds from the offering, and the offering did not change the number of shares of the Company’s Class A Common Stock that are currently outstanding. |
Summary of Accounting Policies
Summary of Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation The accompanying unaudited condensed consolidated financial statements for the Company have been prepared in accordance with instructions to the SEC Form 10-Q and Article 10 of Regulation S-X; therefore, they do not include all information and footnotes necessary for a fair presentation of financial position, results of operations, comprehensive income, and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). All adjustments consisting of normally recurring accruals that, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the periods covered by this report have been included. These interim financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2017. Operating results for the period ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. The Company and its subsidiaries follow accounting principles generally accepted in the United States of America, including, where applicable, general practices within the banking industry. The consolidated financial statements include the accounts of the Company and its subsidiaries. Significant intercompany accounts and transactions have been eliminated in consolidation. The assessment of whether or not the Company has a controlling interest (i.e., the primary beneficiary) in a variable-interest entity (“VIE”) is performed on an on-going basis. All equity investments in non-consolidated VIEs are included in “other assets” in the Company’s consolidated balance sheets (Note 20). Certain amounts reported in prior years have been reclassified to conform to the 2018 presentation. These reclassifications did not materially impact the Company’s consolidated balance sheets or consolidated statements of income. |
Nature of Operations | Nature of Operations The Company’s subsidiaries include: • Town & Country Insurance Agency, Inc., dba Cadence Insurance—full service insurance agency (See “Sale of Subsidiary”) • The Bank The Bank operates under a national bank charter and is subject to regulation by the Office of the Comptroller of the Currency (OCC). The Bank provides lending services in Georgia and full banking services in five southern states: Alabama, Florida, Mississippi, Tennessee, and Texas. The Bank’s subsidiaries include: • Linscomb & Williams Inc. —financial advisory firm; and • Cadence Investment Services, Inc.—provides investment and insurance products, The Company and the Bank also have certain other non-operating and immaterial subsidiaries. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are susceptible to significant change in the near term are the allowance for credit losses, valuation of and accounting for acquired credit impaired loans, valuation of goodwill, intangible assets and deferred income taxes. |
Proposed merger with State Bank Financial Corporation (“State Bank”) | Proposed merger with State Bank Financial Corporation (“State Bank”) On May 11, 2018, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with State Bank Financial Corporation, a Georgia corporation (“State Bank”). The Merger Agreement provides that, upon the terms and subject to the conditions set forth therein, State Bank will merge with and into Cadence (the “Merger”), with the Company surviving the Merger. Immediately following the Merger, State Bank’s wholly owned bank subsidiary, State Bank and Trust Company, will merge with and into the Bank (the “Bank Merger”). The Bank will be the surviving entity in the Bank Merger. The Merger Agreement was unanimously approved by the Board of Directors of each of the Company and State Bank. Subject to the terms and conditions of the Merger Agreement, at the effective time of the Merger (the “Effective Time”), State Bank shareholders will have the right to receive 1.160 shares (the “Exchange Ratio”) of Class A common stock, par value $0.01 per share, of the Company (“Cadence Common Stock”) for each share of common stock, par value $0.01 per share, of State Bank (“State Bank Common Stock”). Each State Bank restricted stock award will vest and be cancelled and converted automatically at the Effective Time into the right to receive 1.160 shares of Cadence Common Stock in respect of each share of State Bank Common Stock underlying such award. Each State Bank warrant will be converted automatically at the Effective Time into a warrant to purchase shares of Cadence Common Stock, with the number of underlying shares and per share exercise price adjusted to reflect the Exchange Ratio. Based on the number of shares of Cadence Class A common stock and State Bank common stock outstanding as of May 11, 2018, the last trading day before public announcement of the merger, it is expected that Cadence stockholders will hold approximately 65%, and State Bank shareholders will hold approximately 35%, of the shares of the combined company outstanding immediately after the merger. The Company has filed a registration statement on Form S-4 with the Securities and Exchange Commission with respect to the issuance of its common stock in connection with the Merger, which registration statement was declared effective by the Securities and Exchange Commission on July 24, 2018. The Merger is expected to close in the fourth quarter of 2018. |
Sale of Subsidiary | Sale of Subsidiary On May 31, 2018 the Company completed the sale of its subsidiary, Town & Country Insurance Agency, Inc. (“T&C”) to an unrelated third party, selling |
Recently Adopted and Pending Accounting Pronouncements | Recently Adopted Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” (ASU 2014-09), which is intended to improve and converge the financial reporting requirements for revenue contracts with customers. Previous accounting guidance comprised broad revenue recognition concepts along with numerous industry-specific requirements. The new guidance establishes a five-step model which entities must follow to recognize revenue and removes inconsistencies and weaknesses in existing guidance. Our major sources of revenue are from financial instruments that have been excluded from the scope of the new standard (including loans, derivatives, debt and equity securities, etc.). The standard required us to change how we recognize certain recurring revenue streams within insurance commissions and fees and other categories of noninterest income. The adoption at January 1, 2018 of ASU 2014-09 did not have a material effect on the Company’s financial statements. In January 2016, the FASB issued ASU 2016-01, “Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-1, among other things, (i) requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income, (ii) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment, (iii) eliminates the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheets, (iv) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes, (v) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments, (vi) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheets or the accompanying notes to the financial statements and (viii) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale. The adoption at January 1, 2018 of ASU 2016-01 resulted in an adjustment to retained earnings of $1.0 million at January 1, 2018 related to fair value measurement changes to equity securities and certain limited partnership investments (See Notes 2, 16 and 20). In August 2016, the FASB issued ASU No. 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments”, to reduce current diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The adoption at January 1, 2018 of ASU 2016-15 did not have a material effect on the Company’s financial statements. In January 2017, the FASB issued ASU No. 2017-01, “Business Combinations (Topic 805): Clarifying the Definition of a Business”, which introduces amendments that are intended to clarify the definition of a business to assist companies and other reporting organizations with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments are intended to narrow the current interpretation of a business. The adoption at January 1, 2018 of ASU No. 2017-01 did not have a material effect on the Company’s financial statements. In March 2017, the FASB issued ASU 2017-07, “Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Costs,” to improve the presentation of net periodic pension cost and net periodic postretirement benefit cost. The amendments require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. The amendments also allow only the service cost component to be eligible for capitalization when applicable. The Company adopted the standard effective January 1, 2018, which did not have a material impact on the Company’s financial statements. In May 2017, the FASB issued ASU 2017-09, “Stock Compensation (Topic 718): Scope of Modification Accounting”, which clarifies when modification accounting should be applied to changes in terms or conditions of share-based payment awards. The amendments narrow the scope of modification accounting by clarifying that modification accounting should be applied to awards if the change affects the fair value, vesting conditions, or classification of the award. The amendments do not impact current disclosure requirements for modifications, regardless of whether modification accounting is required under the new guidance. The adoption of ASU 2017-09 at January 1, 2018 did not have a material effect on the Company’s financial statements. In August 2017, the FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815) - Targeted Improvements to Accounting for Hedging Activities.” ASU 2017-12 amends the hedge accounting recognition and presentation requirements in ASC 815 to improve the transparency and understandability of information conveyed to financial statement users about an entity’s risk management activities to better align the entity’s financial reporting for hedging relationships with those risk management activities and to reduce the complexity of and simplify the application of hedge accounting. The Company elected to early adopt the provisions of ASU 2017-12 at January 1, 2018 which did not have a material effect on the Company’s financial statements. Pending Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, “Leases” . In June 2016, the FASB has issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. The guidance is intended to improve financial reporting by requiring timelier recording of credit losses on loans and other financial instruments. The guidance will replace the current incurred loss accounting model with an expected loss approach and requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. The guidance requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The Company is evaluating the effect of adopting this new accounting guidance. In January 2017, the FASB issued ASU No. 2017-04, “Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment”, which simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Therefore, any carrying amount which exceeds the reporting unit’s fair value (up to the amount of goodwill recorded) will be recognized as an impairment loss. ASU No. 2017-04 will be effective for annual reporting periods beginning after December 15, 2019, including interim reporting periods within those periods. The amendments will be applied prospectively on or after the effective date. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. Based on recent goodwill impairments tests, which did not require the application of Step 2, the Company does not expect the adoption of this ASU to have an immediate impact. In March 2017, the FASB issued ASU No. 2017-08, “Receivables-Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities”, which will shorten the amortization period for callable debt securities held at a premium to the earliest call date instead of the maturity date. The amendments do not require an accounting change for securities held at a discount, which will continue to be amortized to the maturity date. ASU No. 2017-08 will be effective for annual reporting periods beginning after December 15, 2018, including interim reporting periods within those periods. The amendments should be applied using a modified-retrospective transition method as of the beginning of the period of adoption. Early adoption is permitted, including adoption in an interim period. The Company is currently assessing this pronouncement and it is not expected to have a material impact on the Company’s financial condition or results of operations. |
Securities (Tables)
Securities (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Amortized Cost and Estimated Fair Value of Securities Excluding Equity Securities With Readily Determinable Fair Values Not Held For Trading | A summary of amortized cost and estimated fair value of securities, excluding equity securities with readily determinable fair values not held for trading, at June 30, 2018 and December 31, 2017 is as follows: (In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value June 30, 2018 Securities available-for-sale: U.S. Treasury securities $ 100,494 $ — $ 4,814 $ 95,680 Obligations of U.S. government agencies 67,704 2 448 67,258 Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 95,795 226 2,568 93,453 Issued by FNMA and FHLMC 432,558 418 12,604 420,372 Other residential mortgage-backed securities 41,409 10 1,676 39,743 Commercial mortgage-backed securities 116,234 127 6,057 110,304 Total MBS 685,996 781 22,905 663,872 Obligations of states and municipal subdivisions 230,404 102 13,459 217,047 Total securities available-for-sale $ 1,084,598 $ 885 $ 41,626 $ 1,043,857 (In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value December 31, 2017 Securities available-for-sale: U.S. Treasury securities $ 100,575 $ — $ 3,731 $ 96,844 Obligations of U.S. government agencies 80,552 738 66 81,224 Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 106,461 676 1,110 106,027 Issued by FNMA and FHLMC 431,409 1,284 2,271 430,422 Other residential mortgage-backed securities 47,379 97 1,084 46,392 Commercial mortgage-backed securities 76,201 63 4,069 72,195 Total MBS 661,450 2,120 8,534 655,036 Obligations of states and municipal subdivisions 420,111 7,539 3,691 423,959 Total securities available-for-sale $ 1,262,688 $ 10,397 $ 16,022 $ 1,257,063 Securities held-to-maturity: Obligations of states and municipal subdivisions $ 290 $ 21 $ — $ 311 |
Schedule of Contractual Maturities of Securities Available-for-Sale and Securities Held-to-Maturity | The scheduled contractual maturities of securities available-for-sale and securities held-to-maturity at June 30, 2018 were as follows: Available-for-Sale Amortized Estimated (In thousands) Cost Fair Value Due in one year or less $ 1,490 $ 1,493 Due after one year through five years 106,875 102,037 Due after five years through ten years 42,839 42,675 Due after ten years 247,398 233,780 Mortgage-backed securities 685,996 663,872 Total $ 1,084,598 $ 1,043,857 |
Summary of Gross Gains, and Gross Losses on Sales of Securities Available for Sale | Gross gains and gross losses on sales of securities available for sale for the three and six months ended June 30, 2018 and 2017 are presented below. For the Three Months Ended June 30, For the Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Gross realized gains $ 800 $ 69 $ 811 $ 150 Gross realized losses (2,613 ) (313 ) (2,612 ) (313 ) Realized losses on sale of securities available for sale, net $ (1,813 ) $ (244 ) $ (1,801 ) $ (163 ) |
Schedule of Securities Classified as Available-for-Sale with Unrealized Losses | The detail concerning securities classified as available-for-sale with unrealized losses as of June 30, 2018 and December 31, 2017 was as follows: Unrealized loss analysis Losses < 12 Months Losses > 12 Months Gross Gross Estimated Unrealized Estimated Unrealized (In thousands) Fair Value Losses Fair Value Losses June 30, 2018 U.S. Treasury securities $ — $ — $ 95,680 $ 4,814 Obligations of U.S. government agencies 52,182 337 10,732 111 Mortgage-backed securities 459,095 11,764 172,979 11,141 Obligations of states and municipal subdivisions 84,377 2,572 121,701 10,887 Total $ 595,654 $ 14,673 $ 401,092 $ 26,953 Unrealized loss analysis Losses < 12 Months Losses > 12 Months Gross Gross Estimated Unrealized Estimated Unrealized (In thousands) Fair Value Losses Fair Value Losses December 31, 2017 U.S. Treasury securities $ — $ — $ 96,844 $ 3,731 Obligations of U.S. government agencies 1,577 9 14,323 57 Mortgage-backed securities 306,274 1,490 172,324 7,044 Obligations of states and municipal subdivisions 2,601 22 134,870 3,669 Total $ 310,452 $ 1,521 $ 418,361 $ 14,501 |
Loans and Allowance for Credi33
Loans and Allowance for Credit Losses (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Accounts Notes And Loans Receivable [Line Items] | |
Summary of Total Loans Outstanding by Portfolio Segment and Class of Financing Receivable | The following table presents total loans outstanding by portfolio segment and class of financing receivable as of June 30, 2018 and December 31, 2017. Outstanding balances also include Acquired Noncredit Impaired (“ANCI”) loans, originated loans and Acquired Credit Impaired (“ACI”) loans net of any remaining purchase accounting adjustments. Information about ACI loans is presented separately in the “Acquired Credit-Impaired Loans” section of this Note. As of (In thousands) June 30, 2018 December 31, 2017 Commercial and Industrial General C&I $ 3,162,087 $ 2,746,454 Restaurant industry 1,072,843 1,035,538 Energy sector 993,751 935,371 Healthcare 469,043 416,423 Total commercial and industrial 5,697,724 5,133,786 Commercial Real Estate Income producing 1,083,041 1,082,929 Land and development 78,257 75,472 Total commercial real estate 1,161,298 1,158,401 Consumer Residential real estate 1,844,122 1,690,814 Other 63,304 74,922 Total consumer 1,907,426 1,765,736 Small Business Lending 239,719 221,855 Total (Gross of unearned discount and fees) 9,006,167 8,279,778 Unearned discount and fees (30,412 ) (26,351 ) Total (Net of unearned discount and fees) $ 8,975,755 $ 8,253,427 |
Summary of Allowance for Credit Losses | A summary of the activity in the ACL for the three and six months ended June 30, 2018 and 2017: For the Three Months Ended June 30, 2018 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of March 31, 2018 $ 61,209 $ 11,686 $ 13,882 $ 4,760 $ 91,537 Provision for loan losses 485 (224 ) 954 48 1,263 Charge-offs (3,407 ) — (215 ) (28 ) (3,650 ) Recoveries 1,333 8 82 47 1,470 As of June 30, 2018 $ 59,620 $ 11,470 $ 14,703 $ 4,827 $ 90,620 For the Six Months Ended June 30, 2018 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of December 31, 2017 $ 55,919 $ 11,990 $ 14,983 $ 4,684 $ 87,576 Provision for loan losses 5,815 (737 ) 51 514 5,643 Charge-offs (3,465 ) — (516 ) (481 ) (4,462 ) Recoveries 1,351 217 185 110 1,863 As of June 30, 2018 $ 59,620 $ 11,470 $ 14,703 $ 4,827 $ 90,620 Allocation of ending ACL Loans collectively evaluated for impairment $ 54,460 $ 11,468 $ 14,455 $ 4,806 $ 85,189 Loans individually evaluated for impairment 5,160 2 248 21 5,431 ACL as of June 30, 2018 $ 59,620 $ 11,470 $ 14,703 $ 4,827 $ 90,620 Loans Loans collectively evaluated for impairment $ 5,646,884 $ 1,153,950 $ 1,905,191 $ 239,189 $ 8,945,214 Loans individually evaluated for impairment 50,840 7,348 2,235 530 60,953 Loans as of June 30, 2018 $ 5,697,724 $ 1,161,298 $ 1,907,426 $ 239,719 $ 9,006,167 For the Three Months Ended June 30, 2017 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of March 31, 2017 $ 60,007 $ 10,555 $ 13,298 $ 4,444 $ 88,304 Provision for loan losses 4,416 2,591 (330 ) 24 6,701 Charge-offs (2,551 ) — (161 ) (167 ) (2,879 ) Recoveries 363 114 578 34 1,089 As of June 30, 2017 $ 62,235 $ 13,260 $ 13,385 $ 4,335 $ 93,215 For the Six Months Ended June 30, 2017 (In thousands) Commercial and Industrial Commercial Real Estate Consumer Small Business Total As of December 31, 2016 $ 54,688 $ 10,103 $ 13,265 $ 4,212 $ 82,268 Provision for loan losses 9,513 3,029 (119 ) 64 12,487 Charge-offs (2,861 ) — (402 ) (167 ) (3,430 ) Recoveries 895 128 641 226 1,890 As of June 30, 2017 $ 62,235 $ 13,260 $ 13,385 $ 4,335 $ 93,215 Allocation of ending ACL Loans collectively evaluated for impairment $ 48,882 $ 13,253 $ 13,131 $ 4,301 $ 79,567 Loans individually evaluated for impairment 13,353 7 254 34 13,648 ACL as of June 30, 2017 $ 62,235 $ 13,260 $ 13,385 $ 4,335 $ 93,215 |
Summary of Impaired Loans | The following includes certain key information about individually impaired originated and ANCI loans as of June 30, 2018 and December 31, 2017 and for the three and six months ended June 30, 2018 and 2017. Originated and ANCI Loans Identified as Impaired As of June 30, 2018 (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments With no related allowance for credit losses Commercial and Industrial General C&I $ 184 $ 197 $ — $ 184 $ — Total commercial and industrial 184 197 — 184 — Consumer Residential real estate 1,073 1,078 — 32 — Other 267 267 — — — Total consumer 1,340 1,345 — 32 — Small Business Lending 225 688 225 — Total $ 1,749 $ 2,230 $ — $ 441 $ — With allowance for credit losses recorded Commercial and Industrial General C&I $ 4,699 $ 4,677 $ 7 $ — $ — Energy sector 24,888 37,389 3,703 24,888 480 Restaurant industry 10,764 10,969 1,451 10,764 2,500 Total commercial and industrial 40,351 53,035 5,161 35,652 2,980 Consumer Residential real estate 491 488 34 — — Other 87 87 4 — — Total consumer 578 575 38 — — Small Business Lending 306 594 22 92 10 Total $ 41,235 $ 54,204 $ 5,221 $ 35,744 $ 2,990 As of December 31, 2017 (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments With no related allowance for credit losses Commercial and Industrial General C&I $ 5,010 $ 4,994 $ — $ 192 $ — Energy sector 14,822 23,307 — 14,822 387 Total commercial and industrial 19,832 28,301 — 15,014 387 Consumer Residential real estate 1,093 1,097 — 35 — Other 416 415 — — — Total consumer 1,509 1,512 — 35 — Small Business Lending 249 695 — 249 — Total $ 21,590 $ 30,508 $ — $ 15,298 $ 387 With allowance for credit losses recorded Commercial and Industrial Energy sector $ 39,857 $ 43,416 $ 8,353 $ 28,000 $ 402 Restaurant industry 11,017 10,969 106 — 2,500 Total commercial and industrial 50,874 54,385 8,459 28,000 2,902 Consumer Residential real estate 496 494 36 — — Small Business Lending 650 921 27 60 — Total $ 52,020 $ 55,800 $ 8,522 $ 28,060 $ 2,902 (1) The recorded investment of a loan also includes any interest receivable, net unearned discount or fees, and unamortized premium or discount. |
Originated and Acquired Non Credit Impaired Loans | |
Accounts Notes And Loans Receivable [Line Items] | |
Summary of Average Recorded Investment in Impaired Originated and ANCI Loans | Average Recorded Investment in Impaired Originated and ANCI Loans Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Commercial and Industrial General C&I $ 4,915 $ 12,697 $ 4,947 $ 12,576 Restaurant industry 10,867 — 10,917 — Energy sector 33,074 129,639 40,276 132,599 Total commercial and industrial 48,856 142,336 56,140 145,175 Consumer Residential real estate 1,570 1,381 1,576 1,312 Other 367 319 383 356 Total consumer 1,937 1,700 1,959 1,668 Small Business Lending 478 983 618 969 Total $ 51,271 $ 145,019 $ 58,717 $ 147,812 |
Summary of Credit Exposure by Portfolio Segment and Class of Receivable | The following provides information regarding the credit exposure by portfolio segment and class of receivable as of June 30, 2018 and December 31, 2017: As of June 30, 2018 (Recorded Investment in thousands) Special Mention Substandard Doubtful Total Criticized / Classified Commercial and Industrial General C&I $ 92,742 $ 43,243 $ — $ 135,985 Restaurant industry 40,551 25,761 — 66,312 Energy sector 11,862 44,762 3,407 60,031 Healthcare 5,645 67 — 5,712 Total commercial and industrial 150,800 113,833 3,407 268,040 Commercial Real Estate Income producing — 2 — 2 Land and development 19 751 — 770 Total commercial real estate 19 753 — 772 Consumer Residential real estate 6,961 10,415 — 17,376 Other 1,738 369 1 2,108 Total consumer 8,699 10,784 1 19,484 Small Business Lending 1,803 1,703 23 3,529 Total $ 161,321 $ 127,073 $ 3,431 $ 291,825 As of December 31, 2017 (Recorded Investment in thousands) Special Mention Substandard Doubtful Total Criticized / Classified Commercial and Industrial General C&I $ 80,550 $ 47,324 $ — $ 127,874 Restaurant industry 4,536 12,506 — 17,042 Energy sector — 99,979 7,634 107,613 Healthcare — 71 — 71 Total commercial and industrial 85,086 159,880 7,634 252,600 Commercial Real Estate Income producing — 26 — 26 Land and development 20 — — 20 Total commercial real estate 20 26 — 46 Consumer Residential real estate 7,610 12,416 — 20,026 Other 673 356 4 1,033 Total consumer 8,283 12,772 4 21,059 Small Business Lending 3,480 1,375 27 4,882 Total $ 96,869 $ 174,053 $ 7,665 $ 278,587 |
Past Due Financing Receivables | The following provides an aging of past due originated and ANCI loans by portfolio segment and class of receivable as of June 30, 2018 and December 31, 2017: Aging of Past due Originated and ANCI Loans As of June 30, 2018 Accruing Loans Non-Accruing Loans (Recorded Investment in thousands) 30-59 DPD 60-89 DPD 90+DPD 0-29 DPD 30-59 DPD 60-89 DPD 90+DPD Commercial and Industrial General C&I $ — $ — $ — $ — $ 184 $ 1 $ — Restaurant industry — — — 10,764 — — — Energy sector — — — 2,557 — — 22,331 Healthcare — — — 67 — — — Total commercial and industrial — — — 13,388 184 1 22,331 Commercial Real Estate Income producing — — — — — 2 — Land and development — — 50 — — — — Total commercial real estate — — 50 — — 2 — Consumer Residential real estate 5,010 516 137 1,632 117 28 1,135 Other 361 — — — — — — Total consumer 5,371 516 137 1,632 117 28 1,135 Small Business Lending 316 — — 339 56 33 95 Total $ 5,687 $ 516 $ 187 $ 15,359 $ 357 $ 64 $ 23,561 As of December 31, 2017 Accruing Loans Non-Accruing Loans (Recorded Investment in thousands) 30-59 DPD 60-89 DPD 90+DPD 0-29 DPD 30-59 DPD 60-89 DPD 90+DPD Commercial and Industrial General C&I $ 59 $ — $ 476 $ — $ 192 $ — $ — Energy sector — — — 32,315 — — 10,507 Healthcare — — — — 71 — — Total commercial and industrial 59 — 476 32,315 263 — 10,507 Commercial Real Estate Income producing — — 26 — — — — Land and development 55 — — — — — — Total commercial real estate 55 — 26 — — — — Consumer Residential real estate 3,191 1,030 325 1,070 173 293 2,205 Other 532 3 — — — — — Total consumer 3,723 1,033 325 1,070 173 293 2,205 Small Business Lending 931 328 — 110 38 — 494 Total $ 4,768 $ 1,361 $ 827 $ 33,495 $ 474 $ 293 $ 13,206 |
ACI Loans | |
Accounts Notes And Loans Receivable [Line Items] | |
Summary of Total Loans Outstanding by Portfolio Segment and Class of Financing Receivable | Acquired Credit Impaired (“ACI”) Loans The following table presents total ACI loans outstanding by portfolio segment and class of financing receivable as of June 30, 2018 and December 31, 2017. As of (In thousands) June 30, 2018 December 31, 2017 Commercial and Industrial General C&I $ 22,198 $ 23,428 Healthcare 5,917 6,149 Total commercial and industrial 28,115 29,577 Commercial Real Estate Income producing 73,506 79,861 Total commercial real estate 73,506 79,861 Consumer Residential real estate 134,309 149,942 Other 707 1,180 Total consumer 135,016 151,122 Total $ 236,637 $ 260,560 |
Summary of Credit Exposure by Portfolio Segment and Class of Receivable | The following provides information regarding the credit exposure by portfolio segment and class of receivable as of June 30, 2018 and December 31, 2017: ACI Loans by Risk Rating / Delinquency Stratification Commercial and Industrial credit exposure on ACI loans, based on internal risk rating: As of June 30, 2018 December 31, 2017 (Recorded Investment in thousands) Special Mention Substandard Doubtful Special Mention Substandard Doubtful Commercial and Industrial General C&I $ 533 $ 1,281 $ 39 $ 737 $ 1,173 $ 37 Healthcare — 5,917 — — 6,148 — Total commercial and industrial 533 7,198 39 737 7,321 37 Commercial Real Estate Income producing 1,670 5,224 — 2,179 6,515 — Consumer . Residential real estate 3,728 18,877 — 3,900 22,635 — Other 94 292 — 114 417 — Total consumer 3,822 19,169 — 4,014 23,052 — Total $ 6,025 $ 31,591 $ 39 $ 6,930 $ 36,888 $ 37 |
Past Due Financing Receivables | Consumer credit exposure on ACI loans, based on past due status: As of June 30, 2018 December 31, 2017 (Recorded Investment in thousands) Residential Real Estate Other Residential Real Estate Other 0 – 29 Days Past Due $ 125,781 $ 977 $ 139,662 $ 1,356 30 – 59 Days Past Due 3,153 125 2,299 120 60 – 89 Days Past Due 1,260 - 2,496 62 90 – 119 Days Past Due 862 — 399 — 120 + Days Past Due 5,469 — 7,480 45 Total $ 136,525 $ 1,102 $ 152,336 $ 1,583 |
Summary of Changes in Accretable Discount for ACI Loans | Changes in the amount of accretable discount for ACI loans for the six months ended June 30, 2018 and 2017 were as follows: Changes in Accretable Yield on ACI Loans For the Six Months Ended June 30, (In thousands) 2018 2017 Balance at beginning of period $ 78,422 $ 98,728 Maturities/payoff (3,584 ) (5,773 ) Charge-offs (26 ) (90 ) Foreclosure (385 ) (1,040 ) Accretion (10,208 ) (12,406 ) Reclass from nonaccretable difference due to increases in expected cash flow 8,070 6,369 Balance at end of period $ 72,289 $ 85,788 |
Summary of Individually Impaired ACI Loans and Pooled ACI Loans | The following includes certain key information about individually impaired ACI loans and pooled ACI loans as of June 30, 2018 and December 31, 2017 and for the three and six months ended June 30, 2018 and 2017. ACI Loans / Pools Identified as Impaired As of June 30, 2018 ACI Loans / Pools Identified as Impaired (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments Commercial and Industrial $ 12,021 $ 12,887 $ 263 $ — $ — Commercial Real Estate 82,481 109,018 1,460 — — Consumer 21,448 22,922 6,268 — — Total $ 115,950 $ 144,827 $ 7,991 $ — $ — As of December 31, 2017 ACI Loans / Pools Identified as Impaired (In thousands) Recorded Investment in Impaired Loans (1) Unpaid Principal Balance Related Specific Allowance Nonaccrual Loans Included in Impaired Loans Undisbursed Commitments Commercial and Industrial $ 13,541 $ 17,630 $ 5 $ — $ — Commercial Real Estate 82,856 112,330 2,010 225 — Consumer 18,603 22,064 6,509 — — Total $ 115,000 $ 152,024 $ 8,524 $ 225 $ — (1) The recorded investment of a loan also includes any interest receivable, net unearned discount or fees, and unamortized premium or discount. |
Goodwill and Other Intangible34
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill and Other Intangible Assets | The following table summarizes the Company’s goodwill and other intangible assets at June 30, 2018 and December 31, 2017: (In thousands) June 30, 2018 December 31, 2017 Goodwill $ 307,083 $ 317,817 Core deposit intangible, net of accumulated amortization of $38,842 and $38,091, respectively 843 1,595 Customer lists, net of accumulated amortization of $18,852 and $18,097, respectively 7,698 8,604 Trademarks 24 24 Total goodwill and intangible assets $ 315,648 $ 328,040 The decline in goodwill is related to the sale of the insurance subsidiary in the second quarter of 2018. (See “Sale of Subsidiary in Note 1). |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of Notional Amounts and Estimated Fair Values | The notional amounts and estimated fair values as of June 30, 2018 and December 31, 2017 were as follows: June 30, 2018 December 31, 2017 Fair Value Fair Value (In thousands) Notional Amount Other Assets Other Liabilities Notional Amount Other Assets Other Liabilities Derivatives designated as hedging instruments (cash flow hedges): Commercial loan interest rate swaps $ 1,032,000 $ — $ 35,164 $ 1,032,000 $ — $ 21,394 Derivatives not designated as hedging instruments: Commercial loan interest rate swaps 827,427 2,776 2,776 737,533 2,056 2,056 Commercial loan interest rate caps 117,954 331 331 186,290 153 153 Commercial loan interest rate floors 480,248 4,179 4,179 330,764 1,054 1,054 Mortgage loan held for sale interest rate lock commitments 10,908 113 — 6,119 50 — Mortgage loan forward sale commitments 3,662 — — 4,565 10 — Mortgage loan held for sale floating commitments 16,618 — — 11,800 — — Foreign exchange contracts 43,144 1,432 1,399 41,688 635 623 Total derivatives not designated as hedging instruments 1,499,961 8,831 8,685 1,318,759 3,958 3,886 Total derivatives $ 2,531,961 $ 8,831 $ 43,849 $ 2,350,759 $ 3,958 $ 25,280 |
Schedule of Gain (Loss) in Consolidated Statements of Income Related to Derivative Instruments | Gain (loss) included in the consolidated statements of income related to derivative instruments for the three and six months ended June 30, 2018 and 2017 were as follows: For the Three Months Ended June 30, 2018 2017 (In thousands) OCI Reclassified from AOCI to interest income Noninterest income OCI Reclassified from AOCI to interest income Noninterest income Derivatives designated as hedging instruments (cash flow hedges): Commercial loan interest rate swaps $ (3,762 ) $ (1,180 ) $ — $ 4,916 $ 1,116 $ — Derivatives not designated as hedging instruments: Mortgage loan held for sale interest rate lock commitments $ — $ — $ 3 $ — $ — $ (99 ) Foreign exchange contracts — — 515 — — 552 For the Six Months Ended June 30, 2018 2017 (In thousands) OCI Reclassified from AOCI to interest income Noninterest income OCI Reclassified from AOCI to interest income Noninterest income Derivatives designated as hedging instruments (cash flow hedges): Commercial loan interest rate swaps $ (15,040 ) $ (1,513 ) $ — $ 3,326 $ 3,033 $ — Derivatives not designated as hedging instruments: Mortgage loan held for sale interest rate lock commitments $ — $ — $ 64 $ — $ — $ 79 Foreign exchange contracts — — 1,023 — — 1,021 |
Schedule of Interest Rate Swap Agreements | In June 2015 and March 2016, the Company entered into the following interest rate swap agreements to manage overall cash flow changes related to interest rate risk exposure on benchmark interest rate loans. Effective Date Maturity Date Notional Amount (In Thousands) Fixed Rate Variable Rate June 15, 2015 December 17, 2018 $ 382,000 1.3250 % 1 Month LIBOR June 30, 2015 December 31, 2019 300,000 1.5120 1 Month LIBOR March 8, 2016 February 27, 2026 175,000 1.5995 1 Month LIBOR March 8, 2016 February 27, 2026 175,000 1.5890 1 Month LIBOR |
Borrowed Funds (Tables)
Borrowed Funds (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Summary of Securities Sold Under Agreements to Repurchase | Information concerning the Company’s securities sold under agreements to repurchase as of June 30, 2018 and December 31, 2017 is summarized as follows: (In thousands) June 30, 2018 December 31, 2017 Balance at period end $ 1,183 $ 1,026 Average balance during the period 1,438 3,371 Average interest rate during the period 0.25 % 0.25 % Maximum month-end balance during the period $ 1,783 $ 6,286 |
Summary of Debt | Details of the debt transactions are as follows: (In thousands) June 30, 2018 December 31, 2017 Cadence Bancorporation: 4.875% senior notes, due June 28, 2019 $ 145,000 $ 145,000 5.375% senior notes, due June 28, 2021 50,000 50,000 7.250% subordinated notes, due June 28, 2029, callable in 2024 35,000 35,000 6.500% subordinated notes, due March 2025, callable in 2020 40,000 40,000 Total long-term debt—Cadence Bancorporation 270,000 270,000 Cadence Bank: 6.250% subordinated notes, due June 28, 2029, callable in 2024 25,000 25,000 Debt Issue Cost and unamortized (1,364 ) (1,606 ) Purchased (10,078 ) (10,078 ) Total long-term debt - Cadence Bancorp, LLC $ 283,558 $ 283,316 |
Summary of Junior Subordinated Debt | The following is a list of junior subordinated debt: (In thousands) June 30, 2018 December 31, 2017 Junior subordinated debentures, 3 month LIBOR plus 2.85%, due 2033 $ 30,000 $ 30,000 Junior subordinated debentures, 3 month LIBOR plus 2.95%, due 2033 5,155 5,155 Junior subordinated debentures, 3 month LIBOR plus 1.75%, due 2037 15,464 15,464 Total par value 50,619 50,619 Purchase accounting adjustment, net of amortization (13,907 ) (14,147 ) Total junior subordinated debentures $ 36,712 $ 36,472 |
Other Noninterest Income and 37
Other Noninterest Income and Other Noninterest Expense (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Other Nonoperating Income Expense [Abstract] | |
Summary of Other Noninterest Income and Other Noninterest Expense | The detail of the other noninterest income and other noninterest expense captions presented in the consolidated statements of income is as follows: Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Other noninterest income Insurance revenue $ 417 $ 1,828 $ 2,677 $ 3,957 Bankcard fees 1,915 1,862 3,799 3,674 Income from bank owned life insurance policies 910 767 1,845 1,826 Other 4,180 322 4,311 799 Total other noninterest income $ 7,422 $ 4,779 $ 12,632 $ 10,256 Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2018 2017 2018 2017 Other noninterest expenses Net cost of operation of other real estate owned 112 427 60 723 Data processing expense 2,304 1,702 4,677 3,398 Consulting and professional fees 2,545 1,502 5,480 2,641 Loan related expenses 645 757 900 1,037 FDIC Insurance 1,223 954 2,178 2,447 Communications 703 675 1,407 1,330 Advertising and public relations 575 499 916 844 Legal expenses 468 508 3,095 979 Other 7,746 6,058 13,811 11,803 Total other noninterest expenses $ 16,321 $ 13,082 $ 32,524 $ 25,202 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Reconciliation of Basic and Diluted Net Income Per Common Share | The following table displays a reconciliation of the information used in calculating basic and diluted net income per common share for the three and six months ended June 30, 2018 and 2017. Three Months Ended June 30, Six Months Ended June 30, (In thousands, except per share data) 2018 2017 2018 2017 Net income per consolidated statements of income $ 47,974 $ 28,968 $ 86,799 $ 55,085 Net income allocated to participating securities (60 ) — (106 ) — Net income allocated to common stock $ 47,914 $ 28,968 $ 86,693 $ 55,085 Weighted average common shares outstanding Basic 83,625,000 81,918,956 83,625,000 78,478,591 Weighted average dilutive restricted stock units 1,167,657 32,839 1,108,732 352,795 Weighted average common shares outstanding (Diluted) 84,792,657 81,951,795 84,733,732 78,831,386 Earnings per common share (Basic) $ 0.57 $ 0.35 $ 1.04 $ 0.70 Earnings per common share (Diluted) $ 0.57 $ 0.35 $ 1.02 $ 0.70 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Banking And Thrift [Abstract] | |
Schedule of Actual Capital Amounts and Ratios | The actual capital amounts and ratios for the Company and the bank as of June 30, 2018 and December 31, 2017 are presented in the following table and as shown, are above the thresholds necessary to be considered “well-capitalized”. Management believes there are no conditions or events that would change that classification in the foreseeable future. Consolidated Company Bank (In thousands) Amount Ratio Amount Ratio June 30, 2018 Tier 1 leverage $ 1,171,531 10.7 % $ 1,265,583 11.6 % Common equity tier 1 capital 1,131,751 10.5 1,215,583 11.3 Tier 1 risk-based capital 1,171,531 10.9 1,265,583 11.8 Total risk-based capital 1,362,159 12.7 1,382,138 12.9 The minimum amounts of capital and ratios established by banking regulators are as follows: Tier 1 leverage $ 436,292 4.0 % $ 435,617 4.0 % Common equity tier 1 capital 484,088 4.5 483,920 4.5 Tier 1 risk-based capital 645,451 6.0 645,226 6.0 Total risk-based capital 860,601 8.0 860,302 8.0 Well capitalized requirement: Tier 1 leverage N/A N/A $ 544,522 5.0 % Common equity tier 1 capital N/A N/A 698,995 6.5 Tier 1 risk-based capital N/A N/A 860,302 8.0 Total risk-based capital N/A N/A 1,075,377 10.0 Consolidated Company Bank (In thousands) Amount Amount Amount Ratio December 31, 2017 Tier 1 leverage $ 1,096,438 10.7 % $ 1,198,234 11.7 % Common equity tier 1 (transitional) 1,058,888 10.6 1,149,181 11.5 Tier 1 risk-based capital 1,096,438 10.9 1,198,234 12.0 Total risk-based capital 1,283,561 12.8 1,311,376 13.1 The minimum amounts of capital and ratios established by banking regulators are as follows: Tier 1 leverage $ 410,770 4.0 % $ 410,743 4.0 % Common equity tier 1 (transitional) 450,951 4.5 450,874 4.5 Tier 1 risk-based capital 601,269 6.0 601,165 6.0 Total risk-based capital 801,691 8.0 801,553 8.0 Well capitalized requirement: Tier 1 leverage N/A N/A $ 513,429 5.0 % Common equity tier 1 (transitional) N/A N/A 651,262 6.5 Tier 1 risk-based capital N/A N/A 801,553 8.0 Total risk-based capital N/A N/A 1,001,941 10.0 |
Commitments and Contingent Li40
Commitments and Contingent Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Summary of Commitments and Contingent Liabilities | A summary of commitments and contingent liabilities at June 30, 2018 and December 31, 2017 is as follows: (In thousands) June 30, 2018 December 31, 2017 Commitments to extend credit $ 3,584,668 $ 3,270,097 Commitments to grant loans 304,137 522,967 Standby letters of credit 139,543 101,718 Performance letters of credit 26,594 17,638 Commercial letters of credit 8,291 11,790 |
Supplemental Cash Flow Inform41
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Supplemental Cash Flow Elements [Abstract] | |
Summary of Supplemental Cash Flow Information | For the Six Months Ended June 30, (In thousands) 2018 2017 Cash paid during the year for: Interest $ 48,428 $ 31,708 Income taxes, net of refunds 22,980 30,606 Non-cash investing activities (at fair value): Transfers of loans to other real estate 2,208 6,415 Transfers of commercial loans to loans held for sale 3,500 — |
Disclosure About Fair Values 42
Disclosure About Fair Values of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis | The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis categorized by the level of inputs used in the valuation of each asset at June 30, 2018 and December 31, 2017: (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) June 30, 2018 Investment securities available-for-sale: U.S. Treasury securities $ 95,680 $ — $ 95,680 $ — Obligations of U.S. government agencies 67,258 — 67,258 — Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 93,453 — 93,453 — Issued by FNMA and FHLMC 420,372 — 420,372 — Other residential mortgage-backed securities 39,743 — 39,743 — Commercial mortgage-backed securities 110,304 — 110,304 — Total MBS 663,872 — 663,872 — Obligations of states and municipal subdivisions 217,047 — 217,047 — Total investment securities available-for-sale 1,043,857 — 1,043,857 — Equity securities with readily determinable fair values not held for trading 5,853 5,853 — — Derivative assets 8,831 — 8,831 — Net profits interests 12,839 — — 12,839 Investments in limited partnerships 8,852 — — 8,852 Total recurring basis measured assets $ 1,080,232 $ 5,853 $ 1,052,688 $ 21,691 Derivative liabilities $ 43,849 $ — $ 43,849 $ — Total recurring basis measured liabilities $ 43,849 $ — $ 43,849 $ — (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) December 31, 2017 Investment securities available-for-sale: U.S. Treasury securities $ 96,844 $ — $ 96,844 $ — Obligations of U.S. government agencies 81,224 — 81,224 — Mortgage-backed securities issued or guaranteed by U.S. agencies (MBS) Residential pass-through: Guaranteed by GNMA 106,027 — 106,027 — Issued by FNMA and FHLMC 430,422 — 430,422 — Other residential mortgage-backed securities 46,392 — 46,392 — Commercial mortgage-backed securities 72,195 — 72,195 — Total MBS 655,036 — 655,036 — Obligations of states and municipal subdivisions 423,959 — 423,959 — Total investment securities available-for-sale 1,257,063 — 1,257,063 — Equity securities with readily determinable fair values not held for trading 5,885 5,885 — — Derivative assets 3,985 — 3,985 — Net profits interests 15,833 — — 15,833 Total recurring basis measured assets $ 1,282,766 $ 5,885 $ 1,261,048 $ 15,833 Derivative liabilities $ 25,307 $ — $ 25,307 $ — Total recurring basis measured liabilities $ 25,307 $ — $ 25,307 $ — |
Summary of Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis | The tables below include a roll-forward of the condensed consolidated balance sheet amounts for the three and six months ended June 30, 2018 and 2017 for changes in the fair value of financial instruments within Level 3 of the valuation hierarchy that are recorded on a recurring basis. Level 3 financial instruments typically include unobservable components, but may also include some observable components that may be validated to external sources. The gains or (losses) in the following table may include changes to fair value due in part to observable factors that may be part of the valuation methodology: Level 3 Assets Measured at Fair Value on a Recurring Basis For the Three Months Ended June 30, 2018 2017 2018 2017 (In thousands) Net Profits Interests Investments in Limited Partnerships Beginning Balance $ 14,295 $ 16,550 $ 7,514 $ — Net (losses) gains included in earnings (1,333 ) 114 719 — Contributions paid — — 883 — Distributions received (123 ) (259 ) (264 ) — Ending Balance at June 30, 2018 $ 12,839 $ 16,405 $ 8,852 $ — Net unrealized (losses) gains included in earnings relating to assets held at the end of the period $ (1,333 ) $ 114 $ 719 $ — For the Six Months Ended June 30, 2018 2017 2018 2017 (In thousands) Net Profits Interests Investments in Limited Partnerships Beginning Balance $ 15,833 $ 19,425 $ — $ — Transfers in due to adoption of ASU 2016-01 — — 5,518 — Adjustment recorded in retained earnings due to adoption of ASU 2016-01 — — 1,201 — Net (losses) gains included in earnings (2,202 ) (2,531 ) 1,395 — Contributions paid — — 1,108 — Distributions received (792 ) (489 ) (370 ) — Ending Balance at June 30, 2018 $ 12,839 $ 16,405 $ 8,852 $ — Net unrealized (losses) gains included in earnings relating to assets held at the end of the period $ (2,202 ) $ (2,531 ) $ 1,395 $ — |
Summary of Assets Recorded at Fair Value on a Nonrecurring Basis | From time to time, the Company may be required to measure certain other financial assets at fair value on a nonrecurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower of cost or fair value accounting or write-downs of individual assets. For assets measured at fair value on a nonrecurring basis which were still held on the balance sheets at June 30, 2018 and December 31, 2017, the following tables provide the level of valuation assumptions used to determine each adjustment and the related carrying value: (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) June 30, 2018 Loans held for sale $ 33,118 — $ 33,118 $ — Impaired loans, net of specific allowance 37,765 — — 37,765 Other real estate 4,797 — — 4,797 Total assets measured on a nonrecurring basis $ 75,680 $ — $ 33,118 $ 42,562 (In thousands) Carrying Value (Level 1) (Level 2) (Level 3) December 31, 2017 Loans held for sale $ 61,359 $ — $ 61,359 $ — Impaired loans, net of specific allowance 65,087 — — 65,087 Other real estate 7,605 — — 7,605 Total assets measured on a nonrecurring basis $ 134,051 $ — $ 61,359 $ 72,692 |
Summary of Significant Unobservable Inputs Used in Level 3 Fair Value Measurements for Financial Assets Measured at Fair Value on a Nonrecurring Basis | Significant unobservable inputs used in Level 3 fair value measurements for financial assets measured at fair value on a nonrecurring basis at June 30, 2018 and December 31, 2017 are summarized below: Quantitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Value Valuation Methods Unobservable Inputs Range June 30, 2018 Impaired loans, net of specific allowance $ 37,765 Appraised value, as adjusted Discount to fair value 0% - 20% Discounted cash flow Net recoverable oil and gas reserves and forward-looking commodity prices. Discount rate - 10% 0% - 13% (1) Discounted cash flow Discount rates - 2.9% to 8.7% 0% - 20% (1) Enterprise value Exit multiple 5x 13% Estimated closing costs 10% Other real estate 4,797 Appraised value, as adjusted Discount to fair value 0% - 20% Estimated closing costs 10% (1) - Represents fair value as a percent of the unpaid principal balance. Quantitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Value Valuation Methods Unobservable Inputs Range December 31, 2017 Impaired loans, net of specific allowance $ 65,087 Appraised value, as adjusted Discount to fair value 0%-50% Discounted cash flow Net recoverable oil and gas reserves and forward-looking commodity prices. Discount rate - 9% 0% - 29%(1) Discounted cash flow Discount rates - 3.6% to 8.0% 0% - 1%(1) Estimated closing costs 10% Other real estate 7,605 Appraised value, as adjusted Discount of fair value 0%-20% Estimated closing costs 10% (1) - Represents fair value as a percent of the unpaid principal balance. |
Summary of Estimated Fair Values of Financial Instruments | The estimated fair values of the Company’s financial instruments are as follows: June 30, 2018 (In thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 145,381 $ 145,381 $ 145,381 $ — $ — Interest-bearing deposits in other banks 437,828 437,828 437,828 — — Federal funds sold 19,962 19,962 19,962 — — Securities available-for-sale 1,043,857 1,043,857 — 1,043,857 — Equity securities with readily determinable fair values not held for trading 5,853 5,853 5,853 — — Loans held for sale 33,118 33,118 — 33,118 — Net loans 8,885,135 8,762,213 — — 8,762,213 Derivative assets 8,831 8,831 — 8,831 — Net profits interests 12,839 12,839 — — 12,839 Investments in limited partnerships 33,865 33,865 — — 33,865 Financial Liabilities: Deposits 9,331,055 9,324,089 — 9,324,089 — Advances from FHLB 150,000 150,000 — 150,000 — Securities sold under agreements to repurchase 1,183 1,183 — 1,183 — Senior debt 184,756 193,940 — 193,940 — Subordinated debt 98,802 95,124 — 95,124 — Junior subordinated debentures 36,712 48,939 — 48,939 — Derivative liabilities 43,849 43,849 — 43,849 — December 31, 2017 (In thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 238,707 $ 238,707 $ 238,707 $ — $ — Interest-bearing deposits in other banks 482,568 482,568 482,568 — — Federal funds sold 9,536 9,536 9,536 — — Securities available-for-sale 1,257,063 1,257,063 — 1,257,063 — Securities held-to-maturity 290 311 — 311 — Equity securities with readily determinable fair values not held for trading 5,885 5,885 5,885 — — Loans held for sale 61,359 61,359 — 61,359 — Net loans 8,165,851 8,134,903 — — 8,134,903 Derivative assets 3,985 3,985 — 3,985 — Net profits interests 15,833 15,833 — — 15,833 Financial Liabilities: Deposits 9,011,515 9,006,890 — 9,006,890 — Advances from FHLB 150,000 150,000 — 150,000 — Securities sold under agreements to repurchase 1,026 1,026 — 1,026 — Senior debt 184,629 194,484 — 194,484 — Subordinated debt 98,687 94,724 — 94,724 — Junior subordinated debentures 36,472 49,161 — 49,161 — Derivative liabilities 25,307 25,307 — 25,307 — |
Segment Reporting (Tables)
Segment Reporting (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Summary of Operating Results of Segments | The following tables present the operating results of the segments as of and for the three and six months ended June 30, 2018 and 2017: Three Months Ended June 30, 2018 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 100,515 $ (700 ) $ (4,431 ) $ 95,384 Provision for credit losses 1,263 — — 1,263 Noninterest income 9,320 14,980 372 24,672 Noninterest expense 50,035 9,815 2,585 62,435 Income tax expense (benefit) 13,480 3,239 (8,335 ) 8,384 Net income $ 45,057 $ 1,226 $ 1,691 $ 47,974 Three Months Ended June 30, 2017 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 85,813 $ 1,617 $ (5,046 ) $ 82,384 Provision for credit losses 6,701 — — 6,701 Noninterest income 11,511 11,398 80 22,989 Noninterest expense 46,997 8,593 544 56,134 Income tax expense (benefit) 15,269 1,548 (3,247 ) 13,570 Net income $ 28,357 $ 2,874 $ (2,263 ) $ 28,968 Six Months Ended June 30, 2018 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 196,615 $ (1,307 ) $ (8,813 ) $ 186,495 Provision for credit losses 5,643 — — 5,643 Noninterest income 21,758 27,338 559 49,655 Noninterest expense 100,567 19,792 4,015 124,374 Income tax expense (benefit) 25,926 3,547 (10,139 ) 19,334 Net income $ 86,237 $ 2,692 $ (2,130 ) $ 86,799 Total assets $ 11,204,713 $ 95,232 $ 5,583 $ 11,305,528 Six Months Ended June 30, 2017 (In thousands) Banking Financial Services Corporate Consolidated Net interest income $ 165,117 $ 1,467 $ (9,442 ) $ 157,142 Provision for credit losses 12,487 — — 12,487 Noninterest income 23,211 23,719 164 47,094 Noninterest expense 92,454 17,274 727 110,455 Income tax expense (benefit) 29,185 2,769 (5,745 ) 26,209 Net income $ 54,202 $ 5,143 $ (4,260 ) $ 55,085 |
Equity-based Compensation (Tabl
Equity-based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Restricted Stock Unit Activity | The following table is a summary of the restricted stock unit activity for the six months ended June 30, 2018: For the Six Months Ended June 30, 2018 Number of Shares Fair Value per Unit at Award Date Non-vested at beginning of period 672,750 $ 5.14 Granted during the period 270,105 26.50 Non-vested at end of period 942,855 $ 11.26 |
Accumulated Other Comprehensi45
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Activity within the balances in accumulated other comprehensive loss is shown in the following tables for the six months ended June 30, 2018. (In thousands) Unrealized gains (losses) on securities available for sale Unrealized gains (losses) on defined benefit pension plans Unrealized gains (losses) on derivative instruments designated as cash flow hedges Accumulated other comprehensive gain (loss) Balance at December 31, 2017 $ (2,160 ) $ (531 ) $ (16,342 ) $ (19,033 ) Net change (27,097 ) — (10,401 ) (37,498 ) Balance at June 30, 2018 $ (29,257 ) $ (531 ) $ (26,743 ) $ (56,531 ) |
Variable Interest Entities an46
Variable Interest Entities and Other Investments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Variable Interest Entities And Other Investments [Abstract] | |
Summary of Investment in Limited Partnerships Subsequent to Adoption of ASU 2016-01 | The following table presents a summary of the Company’s investments in limited partnerships subsequent to the adoption of ASU 2016-01 and as of June 30, 2018: (In thousands) As of June 30, 2018 Affordable housing projects (amortized cost) $ 7,967 Limited partnerships accounted for under the fair value practical expedient of NAV 8,852 Limited partnerships without readily determinable fair values that do not qualify for the practical expedient of NAV accounted for under the cost method 8,586 Limited partnerships required to be accounted for under the equity method 8,460 Total investments in limited partnerships $ 33,865 |
Summary of Accounting Policie47
Summary of Accounting Policies - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | May 31, 2018 | May 11, 2018 | Jan. 01, 2018 | Jun. 30, 2018 | Jun. 30, 2018 | Dec. 31, 2017 |
Significant Of Accounting Policies [Line Items] | ||||||
Common stock, par value | $ 0.01 | $ 0.01 | $ 0.01 | |||
Percentage of share hold by parent | 65.00% | |||||
ASU 2016-01 | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Adjustment to retained earnings | $ 1,000 | $ 95 | ||||
State Bank Financial Corporation | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Percentage of shares hold | 35.00% | |||||
State Bank Financial Corporation | Class A Common Stock | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Common stock, par value | $ 0.01 | |||||
State Bank Financial Corporation | Stock-for-stock transaction | Class A Common Stock | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Number of common shares entitled to receive for each share under merger agreement | 1.160 | |||||
Unrelated Third Party | Town & Country Insurance Agency, Inc. | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Sale of net assets | $ 11,100 | |||||
Unrelated Third Party | Town & Country Insurance Agency, Inc. | Noninterest Income | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Sale of assets, pre-tax gain | $ 4,900 | |||||
Unrelated Third Party | Town & Country Insurance Agency, Inc. | Noninterest expenses | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Sale related expenses | $ 1,100 | |||||
Unrelated Third Party | Town & Country Insurance Agency, Inc. | Goodwill and Intangible Assets | ||||||
Significant Of Accounting Policies [Line Items] | ||||||
Sale of net assets | $ 10,900 |
Securities - Summary of Amortiz
Securities - Summary of Amortized Cost and Estimated Fair Value of Securities Excluding Equity Securities With Readily Determinable Fair Values Not Held For Trading (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | $ 1,084,598 | $ 1,262,688 |
Securities available-for-sale, Gross Unrealized Gains | 885 | 10,397 |
Securities available-for-sale, Gross Unrealized Losses | 41,626 | 16,022 |
Securities available-for-sale, Estimated Fair Value | 1,043,857 | 1,257,063 |
Securities held-to-maturity, Amortized Cost | 290 | |
Securities held-to-maturity, Estimated Fair Value | 311 | |
U.S. Treasury Securities | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 100,494 | 100,575 |
Securities available-for-sale, Gross Unrealized Losses | 4,814 | 3,731 |
Securities available-for-sale, Estimated Fair Value | 95,680 | 96,844 |
Obligations of U.S. Government Agencies | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 67,704 | 80,552 |
Securities available-for-sale, Gross Unrealized Gains | 2 | 738 |
Securities available-for-sale, Gross Unrealized Losses | 448 | 66 |
Securities available-for-sale, Estimated Fair Value | 67,258 | 81,224 |
Residential Pass-through | Guaranteed by GNMA | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 95,795 | 106,461 |
Securities available-for-sale, Gross Unrealized Gains | 226 | 676 |
Securities available-for-sale, Gross Unrealized Losses | 2,568 | 1,110 |
Securities available-for-sale, Estimated Fair Value | 93,453 | 106,027 |
Residential Pass-through | Issued by FNMA and FHLMC | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 432,558 | 431,409 |
Securities available-for-sale, Gross Unrealized Gains | 418 | 1,284 |
Securities available-for-sale, Gross Unrealized Losses | 12,604 | 2,271 |
Securities available-for-sale, Estimated Fair Value | 420,372 | 430,422 |
Other Residential Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 41,409 | 47,379 |
Securities available-for-sale, Gross Unrealized Gains | 10 | 97 |
Securities available-for-sale, Gross Unrealized Losses | 1,676 | 1,084 |
Securities available-for-sale, Estimated Fair Value | 39,743 | 46,392 |
Commercial Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 116,234 | 76,201 |
Securities available-for-sale, Gross Unrealized Gains | 127 | 63 |
Securities available-for-sale, Gross Unrealized Losses | 6,057 | 4,069 |
Securities available-for-sale, Estimated Fair Value | 110,304 | 72,195 |
Total MBS | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 685,996 | 661,450 |
Securities available-for-sale, Gross Unrealized Gains | 781 | 2,120 |
Securities available-for-sale, Gross Unrealized Losses | 22,905 | 8,534 |
Securities available-for-sale, Estimated Fair Value | 663,872 | 655,036 |
Obligations of States and Municipal Subdivisions | ||
Schedule Of Available For Sale Securities And Held To Maturity [Line Items] | ||
Securities available-for-sale, Amortized Cost | 230,404 | 420,111 |
Securities available-for-sale, Gross Unrealized Gains | 102 | 7,539 |
Securities available-for-sale, Gross Unrealized Losses | 13,459 | 3,691 |
Securities available-for-sale, Estimated Fair Value | $ 217,047 | 423,959 |
Securities held-to-maturity, Amortized Cost | 290 | |
Securities held-to-maturity, Gross Unrealized Gains | 21 | |
Securities held-to-maturity, Estimated Fair Value | $ 311 |
Securities - Additional Informa
Securities - Additional Information (Details) | Jan. 01, 2018USD ($) | Jun. 30, 2018USD ($)Security | Jun. 30, 2017USD ($) | Jun. 30, 2018USD ($)Security | Jun. 30, 2017USD ($) | Dec. 31, 2017USD ($)Security | Mar. 31, 2018Security |
Schedule Of Available For Sale Securities [Line Items] | |||||||
Number of held to maturity securities | Security | 1 | ||||||
Held to maturity securities transferred to available for sale securities | Security | 1 | ||||||
Other-than-temporary impairment charges | $ 0 | $ 0 | $ 0 | $ 0 | |||
Carrying value of securities pledged | $ 488,700,000 | 488,700,000 | $ 507,300,000 | ||||
Securities, held-to-maturity with unrealized losses | $ 0 | $ 0 | |||||
Percentage of fair value of securities in investment portfolio reflect unrealized loss | 95.00% | 95.00% | 58.00% | ||||
Number of securities in a loss position for more than twelve months | Security | 91 | 91 | |||||
Number of securities in a loss position for less than twelve months | Security | 128 | 128 | |||||
Proceeds from sales of securities available-for-sale | $ 187,800,000 | $ 257,231,000 | $ 129,048,000 | ||||
Maximum | |||||||
Schedule Of Available For Sale Securities [Line Items] | |||||||
Target concentration of tax free municipal securities, percentage | 35.00% | ||||||
Minimum | |||||||
Schedule Of Available For Sale Securities [Line Items] | |||||||
Target concentration of tax free municipal securities, percentage | 25.00% | ||||||
ASU 2016-01 | |||||||
Schedule Of Available For Sale Securities [Line Items] | |||||||
Adjustment to retained earnings | $ 1,000,000 | $ 95,000 |
Securities - Schedule of Contra
Securities - Schedule of Contractual Maturities of Securities Available-for-Sale and Securities Held-to-Maturity (Details) $ in Thousands | Jun. 30, 2018USD ($) |
Investments Debt And Equity Securities [Abstract] | |
Available-for-Sale, Due in one year or less, Amortized Cost | $ 1,490 |
Available-for-Sale, Due after one year through five years, Amortized Cost | 106,875 |
Available-for-Sale, Due after five years through ten years, Amortized Cost | 42,839 |
Available-for-Sale, Due after ten years, Amortized Cost | 247,398 |
Available-for-Sale, Mortgage-backed securities, Amortized Cost | 685,996 |
Available-for-Sale, Total, Amortized Cost | 1,084,598 |
Available-for-Sale, Due in one year or less, Estimated Fair Value | 1,493 |
Available-for-Sale, Due after one year through five years, Estimated Fair Value | 102,037 |
Available-for-Sale, Due after five years through ten years, Estimated Fair Value | 42,675 |
Available-for-Sale, Due after ten years, Estimated Fair Value | 233,780 |
Available-for-Sale, Mortgage-backed securities, Estimated Fair Value | 663,872 |
Available-for-Sale, Total, Estimated Fair Value | $ 1,043,857 |
Securities - Summary of Gross G
Securities - Summary of Gross Gains, and Gross Losses on Sales of Securities Available for Sale (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Investments Debt And Equity Securities [Abstract] | ||||
Gross realized gains | $ 800 | $ 69 | $ 811 | $ 150 |
Gross realized losses | (2,613) | (313) | (2,612) | (313) |
Realized losses on sale of securities available for sale, net | $ (1,813) | $ (244) | $ (1,801) | $ (163) |
Securities - Schedule of Securi
Securities - Schedule of Securities Classified as Available-for-Sale with Unrealized Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Schedule Of Available For Sale Securities [Line Items] | ||
Losses less than 12 Months, Estimated Fair Value | $ 595,654 | $ 310,452 |
Losses less than 12 Months, Gross Unrealized Losses | 14,673 | 1,521 |
Losses more than 12 Months, Estimated Fair Value | 401,092 | 418,361 |
Losses more than 12 Months, Gross Unrealized Losses | 26,953 | 14,501 |
U.S. Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Losses more than 12 Months, Estimated Fair Value | 95,680 | 96,844 |
Losses more than 12 Months, Gross Unrealized Losses | 4,814 | 3,731 |
Obligations of U.S. Government Agencies | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Losses less than 12 Months, Estimated Fair Value | 52,182 | 1,577 |
Losses less than 12 Months, Gross Unrealized Losses | 337 | 9 |
Losses more than 12 Months, Estimated Fair Value | 10,732 | 14,323 |
Losses more than 12 Months, Gross Unrealized Losses | 111 | 57 |
MBS | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Losses less than 12 Months, Estimated Fair Value | 459,095 | 306,274 |
Losses less than 12 Months, Gross Unrealized Losses | 11,764 | 1,490 |
Losses more than 12 Months, Estimated Fair Value | 172,979 | 172,324 |
Losses more than 12 Months, Gross Unrealized Losses | 11,141 | 7,044 |
Obligations of States and Municipal Subdivisions | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Losses less than 12 Months, Estimated Fair Value | 84,377 | 2,601 |
Losses less than 12 Months, Gross Unrealized Losses | 2,572 | 22 |
Losses more than 12 Months, Estimated Fair Value | 121,701 | 134,870 |
Losses more than 12 Months, Gross Unrealized Losses | $ 10,887 | $ 3,669 |
Loans and Allowance for Credi53
Loans and Allowance for Credit Losses - Total Loans Outstanding by Portfolio Segment and Class of Financing Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | $ 9,006,167 | $ 8,279,778 |
Unearned discount and fees | (30,412) | (26,351) |
Total (Net of unearned discount and fees) | 8,975,755 | 8,253,427 |
Commercial and Industrial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 5,697,724 | 5,133,786 |
Commercial and Industrial | General C&I | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 3,162,087 | 2,746,454 |
Commercial and Industrial | Energy Sector | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 993,751 | 935,371 |
Commercial and Industrial | Restaurant Industry | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,072,843 | 1,035,538 |
Commercial and Industrial | Healthcare | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 469,043 | 416,423 |
Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,161,298 | 1,158,401 |
Commercial Real Estate | Income Producing | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,083,041 | 1,082,929 |
Commercial Real Estate | Land and Development | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 78,257 | 75,472 |
Consumer | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,907,426 | 1,765,736 |
Consumer | Residential Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,844,122 | 1,690,814 |
Consumer | Other | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 63,304 | 74,922 |
Small Business Lending | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | $ 239,719 | $ 221,855 |
Loans and Allowance for Credi54
Loans and Allowance for Credit Losses - Additional Information (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018USD ($)TDR | Jun. 30, 2017USD ($)TDR | Jun. 30, 2018USD ($)TDR | Jun. 30, 2017USD ($)TDR | Dec. 31, 2017USD ($) | |
Accounts Notes And Loans Receivable [Line Items] | |||||
Loans held for sale | $ 33,118,000 | $ 33,118,000 | $ 61,359,000 | ||
Interest income recognized for impaired loans | 91,000 | $ 445,000 | 177,000 | $ 867,000 | |
Contractual interest recognized on cash basis | $ 1,300,000 | $ 1,000,000 | $ 1,600,000 | $ 1,200,000 | |
Number of TDRs experiencing payment default | TDR | 0 | 0 | 0 | 0 | |
Commercial Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Loans held for sale | $ 26,400,000 | $ 26,400,000 | |||
Mortgage Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Loans held for sale | $ 6,700,000 | $ 6,700,000 | |||
ACI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Number of TDRs experiencing payment default | TDR | 0 | 0 | 0 | 0 | |
Number of TDRs | TDR | 0 | 0 | |||
Residential Real Estate | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Number of TDRs | TDR | 1 | ||||
Foreclosed residential properties | $ 2,200,000 | $ 2,200,000 | 2,700,000 | ||
Residential Real Estate | Consumer Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Residential mortgage loans in process of foreclosure | 2,600,000 | 2,600,000 | $ 4,400,000 | ||
Consumer | Residential Real Estate | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Purchase of consumer residential real estate loans | $ 32,500,000 | ||||
Premium percentage of consumer residential real estate loans | 6.30% | ||||
Consumer | Residential Real Estate | ANCI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Loans evaluated and determined credit impaired | $ 0 | $ 0 | |||
Commercial and Industrial | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Number of TDRs | TDR | 2 | 2 | 2 | ||
Recorded Investment | $ 134,000 | $ 610,000 | $ 134,000 | $ 196,000 |
Loans and Allowance for Credi55
Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Accounts Notes And Loans Receivable [Line Items] | |||||
Balance at beginning of period | $ 91,537 | $ 88,304 | $ 87,576 | $ 82,268 | |
Provision for loan losses | 1,263 | 6,701 | 5,643 | 12,487 | |
Charge-offs | (3,650) | (2,879) | (4,462) | (3,430) | |
Recoveries | 1,470 | 1,089 | 1,863 | 1,890 | |
Balance at end of period | 90,620 | 93,215 | 90,620 | 93,215 | |
Loans ending balance | 9,006,167 | 9,006,167 | $ 8,279,778 | ||
ACI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Allowance for credit losses, collectively evaluated for impairment | 85,189 | 79,567 | 85,189 | 79,567 | |
Allowance for credit losses, individually evaluated for impairment | 5,431 | 13,648 | 5,431 | 13,648 | |
Loans collectively evaluated for impairment | 8,945,214 | 8,945,214 | |||
Loans individually evaluated for impairment | 60,953 | 60,953 | |||
Loans ending balance | 236,637 | 236,637 | 260,560 | ||
Commercial and Industrial | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Balance at beginning of period | 61,209 | 60,007 | 55,919 | 54,688 | |
Provision for loan losses | 485 | 4,416 | 5,815 | 9,513 | |
Charge-offs | (3,407) | (2,551) | (3,465) | (2,861) | |
Recoveries | 1,333 | 363 | 1,351 | 895 | |
Balance at end of period | 59,620 | 62,235 | 59,620 | 62,235 | |
Loans ending balance | 5,697,724 | 5,697,724 | 5,133,786 | ||
Commercial and Industrial | ACI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Allowance for credit losses, collectively evaluated for impairment | 54,460 | 48,882 | 54,460 | 48,882 | |
Allowance for credit losses, individually evaluated for impairment | 5,160 | 13,353 | 5,160 | 13,353 | |
Loans collectively evaluated for impairment | 5,646,884 | 5,646,884 | |||
Loans individually evaluated for impairment | 50,840 | 50,840 | |||
Loans ending balance | 28,115 | 28,115 | 29,577 | ||
Commercial Real Estate | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Balance at beginning of period | 11,686 | 10,555 | 11,990 | 10,103 | |
Provision for loan losses | (224) | 2,591 | (737) | 3,029 | |
Recoveries | 8 | 114 | 217 | 128 | |
Balance at end of period | 11,470 | 13,260 | 11,470 | 13,260 | |
Loans ending balance | 1,161,298 | 1,161,298 | 1,158,401 | ||
Commercial Real Estate | ACI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Allowance for credit losses, collectively evaluated for impairment | 11,468 | 13,253 | 11,468 | 13,253 | |
Allowance for credit losses, individually evaluated for impairment | 2 | 7 | 2 | 7 | |
Loans collectively evaluated for impairment | 1,153,950 | 1,153,950 | |||
Loans individually evaluated for impairment | 7,348 | 7,348 | |||
Loans ending balance | 73,506 | 73,506 | 79,861 | ||
Consumer | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Balance at beginning of period | 13,882 | 13,298 | 14,983 | 13,265 | |
Provision for loan losses | 954 | (330) | 51 | (119) | |
Charge-offs | (215) | (161) | (516) | (402) | |
Recoveries | 82 | 578 | 185 | 641 | |
Balance at end of period | 14,703 | 13,385 | 14,703 | 13,385 | |
Loans ending balance | 1,907,426 | 1,907,426 | 1,765,736 | ||
Consumer | ACI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Allowance for credit losses, collectively evaluated for impairment | 14,455 | 13,131 | 14,455 | 13,131 | |
Allowance for credit losses, individually evaluated for impairment | 248 | 254 | 248 | 254 | |
Loans collectively evaluated for impairment | 1,905,191 | 1,905,191 | |||
Loans individually evaluated for impairment | 2,235 | 2,235 | |||
Loans ending balance | 135,016 | 135,016 | 151,122 | ||
Small Business Lending | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Balance at beginning of period | 4,760 | 4,444 | 4,684 | 4,212 | |
Provision for loan losses | 48 | 24 | 514 | 64 | |
Charge-offs | (28) | (167) | (481) | (167) | |
Recoveries | 47 | 34 | 110 | 226 | |
Balance at end of period | 4,827 | 4,335 | 4,827 | 4,335 | |
Loans ending balance | 239,719 | 239,719 | $ 221,855 | ||
Small Business Lending | ACI Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Allowance for credit losses, collectively evaluated for impairment | 4,806 | 4,301 | 4,806 | 4,301 | |
Allowance for credit losses, individually evaluated for impairment | 21 | $ 34 | 21 | $ 34 | |
Loans collectively evaluated for impairment | 239,189 | 239,189 | |||
Loans individually evaluated for impairment | $ 530 | $ 530 |
Loans and Allowance for Credi56
Loans and Allowance for Credit Losses - Summary of Impaired Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 | |
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | $ 1,749 | $ 21,590 |
Unpaid Principal Balance, With no related allowance for credit losses | 2,230 | 30,508 | |
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 441 | 15,298 | |
Undisbursed Commitments, With no related allowance for credit losses | 387 | ||
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 41,235 | 52,020 |
Unpaid Principal Balance, With allowance for credit losses recorded | 54,204 | 55,800 | |
Related Specific Allowance, With allowance for credit losses recorded | 5,221 | 8,522 | |
Nonaccrual Loans Included in Impaired Loans, With allowance for credit losses recorded | 35,744 | 28,060 | |
Undisbursed Commitments, With allowance for credit losses recorded | 2,990 | 2,902 | |
Commercial and Industrial | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 184 | 19,832 |
Unpaid Principal Balance, With no related allowance for credit losses | 197 | 28,301 | |
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 184 | 15,014 | |
Undisbursed Commitments, With no related allowance for credit losses | 387 | ||
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 40,351 | 50,874 |
Unpaid Principal Balance, With allowance for credit losses recorded | 53,035 | 54,385 | |
Related Specific Allowance, With allowance for credit losses recorded | 5,161 | 8,459 | |
Nonaccrual Loans Included in Impaired Loans, With allowance for credit losses recorded | 35,652 | 28,000 | |
Undisbursed Commitments, With allowance for credit losses recorded | 2,980 | 2,902 | |
Commercial and Industrial | General C&I | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 184 | 5,010 |
Unpaid Principal Balance, With no related allowance for credit losses | 197 | 4,994 | |
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 184 | 192 | |
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 4,699 | |
Unpaid Principal Balance, With allowance for credit losses recorded | 4,677 | ||
Related Specific Allowance, With allowance for credit losses recorded | 7 | ||
Commercial and Industrial | Energy Sector | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 14,822 | |
Unpaid Principal Balance, With no related allowance for credit losses | 23,307 | ||
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 14,822 | ||
Undisbursed Commitments, With no related allowance for credit losses | 387 | ||
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 24,888 | 39,857 |
Unpaid Principal Balance, With allowance for credit losses recorded | 37,389 | 43,416 | |
Related Specific Allowance, With allowance for credit losses recorded | 3,703 | 8,353 | |
Nonaccrual Loans Included in Impaired Loans, With allowance for credit losses recorded | 24,888 | 28,000 | |
Undisbursed Commitments, With allowance for credit losses recorded | 480 | 402 | |
Commercial and Industrial | Restaurant Industry | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 10,764 | 11,017 |
Unpaid Principal Balance, With allowance for credit losses recorded | 10,969 | 10,969 | |
Related Specific Allowance, With allowance for credit losses recorded | 1,451 | 106 | |
Nonaccrual Loans Included in Impaired Loans, With allowance for credit losses recorded | 10,764 | ||
Undisbursed Commitments, With allowance for credit losses recorded | 2,500 | 2,500 | |
Consumer | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 1,340 | 1,509 |
Unpaid Principal Balance, With no related allowance for credit losses | 1,345 | 1,512 | |
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 32 | 35 | |
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 578 | |
Unpaid Principal Balance, With allowance for credit losses recorded | 575 | ||
Related Specific Allowance, With allowance for credit losses recorded | 38 | ||
Consumer | Residential Real Estate | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 1,073 | 1,093 |
Unpaid Principal Balance, With no related allowance for credit losses | 1,078 | 1,097 | |
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 32 | 35 | |
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 491 | 496 |
Unpaid Principal Balance, With allowance for credit losses recorded | 488 | 494 | |
Related Specific Allowance, With allowance for credit losses recorded | 34 | 36 | |
Consumer | Other | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 267 | 416 |
Unpaid Principal Balance, With no related allowance for credit losses | 267 | 415 | |
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 87 | |
Unpaid Principal Balance, With allowance for credit losses recorded | 87 | ||
Related Specific Allowance, With allowance for credit losses recorded | 4 | ||
Small Business Lending | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Recorded Investment in Impaired Loans, With no related allowance for credit losses | [1] | 225 | 249 |
Unpaid Principal Balance, With no related allowance for credit losses | 688 | 695 | |
Nonaccrual Loans Included in Impaired Loans, with no related allowance for credit losses | 225 | 249 | |
Recorded Investment in Impaired Loans, With allowance for credit losses recorded | [1] | 306 | 650 |
Unpaid Principal Balance, With allowance for credit losses recorded | 594 | 921 | |
Related Specific Allowance, With allowance for credit losses recorded | 22 | 27 | |
Nonaccrual Loans Included in Impaired Loans, With allowance for credit losses recorded | 92 | $ 60 | |
Undisbursed Commitments, With allowance for credit losses recorded | $ 10 | ||
[1] | The recorded investment of a loan also includes any interest receivable, net unearned discount or fees, and unamortized premium or discount. |
Loans and Allowance for Credi57
Loans and Allowance for Credit Losses - Summary of Average Recorded Investment in Impaired Originated and ANCI Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | $ 51,271 | $ 145,019 | $ 58,717 | $ 147,812 |
Commercial and Industrial | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 48,856 | 142,336 | 56,140 | 145,175 |
Commercial and Industrial | General C&I | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 4,915 | 12,697 | 4,947 | 12,576 |
Commercial and Industrial | Energy Sector | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 33,074 | 129,639 | 40,276 | 132,599 |
Commercial and Industrial | Restaurant Industry | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 10,867 | 10,917 | ||
Consumer | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 1,937 | 1,700 | 1,959 | 1,668 |
Consumer | Residential Real Estate | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 1,570 | 1,381 | 1,576 | 1,312 |
Consumer | Other | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | 367 | 319 | 383 | 356 |
Small Business Lending | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Average recorded investment | $ 478 | $ 983 | $ 618 | $ 969 |
Loans and Allowance for Credi58
Loans and Allowance for Credit Losses - Summary of Credit Exposure by Portfolio Segment and Class of Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | $ 291,825 | $ 278,587 |
Commercial and Industrial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 268,040 | 252,600 |
Commercial and Industrial | General C&I | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 135,985 | 127,874 |
Commercial and Industrial | Energy Sector | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 60,031 | 107,613 |
Commercial and Industrial | Restaurant Industry | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 66,312 | 17,042 |
Commercial and Industrial | Healthcare | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 5,712 | 71 |
Commercial Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 772 | 46 |
Commercial Real Estate | Income Producing | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 2 | 26 |
Commercial Real Estate | Land and Development | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 770 | 20 |
Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 19,484 | 21,059 |
Consumer | Residential Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 17,376 | 20,026 |
Consumer | Other | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 2,108 | 1,033 |
Small Business Lending | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 3,529 | 4,882 |
Special Mention | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 161,321 | 96,869 |
Special Mention | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 6,025 | 6,930 |
Special Mention | Commercial and Industrial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 150,800 | 85,086 |
Special Mention | Commercial and Industrial | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 533 | 737 |
Special Mention | Commercial and Industrial | General C&I | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 92,742 | 80,550 |
Special Mention | Commercial and Industrial | General C&I | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 533 | 737 |
Special Mention | Commercial and Industrial | Energy Sector | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 11,862 | |
Special Mention | Commercial and Industrial | Restaurant Industry | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 40,551 | 4,536 |
Special Mention | Commercial and Industrial | Healthcare | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 5,645 | |
Special Mention | Commercial Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 19 | 20 |
Special Mention | Commercial Real Estate | Income Producing | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1,670 | 2,179 |
Special Mention | Commercial Real Estate | Land and Development | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 19 | 20 |
Special Mention | Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 8,699 | 8,283 |
Special Mention | Consumer | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 3,822 | 4,014 |
Special Mention | Consumer | Residential Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 6,961 | 7,610 |
Special Mention | Consumer | Residential Real Estate | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 3,728 | 3,900 |
Special Mention | Consumer | Other | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1,738 | 673 |
Special Mention | Consumer | Other | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 94 | 114 |
Special Mention | Small Business Lending | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1,803 | 3,480 |
Substandard | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 127,073 | 174,053 |
Substandard | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 31,591 | 36,888 |
Substandard | Commercial and Industrial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 113,833 | 159,880 |
Substandard | Commercial and Industrial | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 7,198 | 7,321 |
Substandard | Commercial and Industrial | General C&I | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 43,243 | 47,324 |
Substandard | Commercial and Industrial | General C&I | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1,281 | 1,173 |
Substandard | Commercial and Industrial | Energy Sector | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 44,762 | 99,979 |
Substandard | Commercial and Industrial | Restaurant Industry | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 25,761 | 12,506 |
Substandard | Commercial and Industrial | Healthcare | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 67 | 71 |
Substandard | Commercial and Industrial | Healthcare | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 5,917 | 6,148 |
Substandard | Commercial Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 753 | 26 |
Substandard | Commercial Real Estate | Income Producing | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 2 | 26 |
Substandard | Commercial Real Estate | Income Producing | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 5,224 | 6,515 |
Substandard | Commercial Real Estate | Land and Development | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 751 | |
Substandard | Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 10,784 | 12,772 |
Substandard | Consumer | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 19,169 | 23,052 |
Substandard | Consumer | Residential Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 10,415 | 12,416 |
Substandard | Consumer | Residential Real Estate | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 18,877 | 22,635 |
Substandard | Consumer | Other | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 369 | 356 |
Substandard | Consumer | Other | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 292 | 417 |
Substandard | Small Business Lending | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1,703 | 1,375 |
Doubtful | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 3,431 | 7,665 |
Doubtful | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 39 | 37 |
Doubtful | Commercial and Industrial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 3,407 | 7,634 |
Doubtful | Commercial and Industrial | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 39 | 37 |
Doubtful | Commercial and Industrial | General C&I | ACI Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 39 | 37 |
Doubtful | Commercial and Industrial | Energy Sector | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 3,407 | 7,634 |
Doubtful | Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1 | 4 |
Doubtful | Consumer | Other | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | 1 | 4 |
Doubtful | Small Business Lending | ||
Financing Receivable Recorded Investment [Line Items] | ||
Recorded investment | $ 23 | $ 27 |
Loans and Allowance for Credi59
Loans and Allowance for Credit Losses - Summary of Aging of Past Due Originated and ANCI Loans by Portfolio Segment and Class of Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | $ 5,687 | $ 4,768 |
Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 516 | 1,361 |
Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 187 | 827 |
Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 15,359 | |
Accruing Loans | Restaurant Industry | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 10,764 | |
Non-Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 357 | 474 |
Non-Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 64 | 293 |
Non-Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 23,561 | 13,206 |
Non-Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 33,495 | |
Commercial Real Estate | Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 55 | |
Commercial Real Estate | Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 50 | 26 |
Commercial Real Estate | Non-Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 2 | |
Commercial Real Estate | Income Producing | Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 26 | |
Commercial Real Estate | Income Producing | Non-Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 2 | |
Commercial Real Estate | Land and Development | Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 55 | |
Commercial Real Estate | Land and Development | Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 50 | |
Commercial and Industrial | Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 59 | |
Commercial and Industrial | Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 476 | |
Commercial and Industrial | Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 13,388 | |
Commercial and Industrial | Accruing Loans | General C&I | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 59 | |
Commercial and Industrial | Accruing Loans | General C&I | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 476 | |
Commercial and Industrial | Accruing Loans | Healthcare | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 67 | |
Commercial and Industrial | Accruing Loans | Energy Sector | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 2,557 | |
Commercial and Industrial | Non-Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 184 | 263 |
Commercial and Industrial | Non-Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1 | |
Commercial and Industrial | Non-Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 22,331 | 10,507 |
Commercial and Industrial | Non-Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 32,315 | |
Commercial and Industrial | Non-Accruing Loans | General C&I | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 184 | 192 |
Commercial and Industrial | Non-Accruing Loans | General C&I | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1 | |
Commercial and Industrial | Non-Accruing Loans | Healthcare | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 71 | |
Commercial and Industrial | Non-Accruing Loans | Energy Sector | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 22,331 | 10,507 |
Commercial and Industrial | Non-Accruing Loans | Energy Sector | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 32,315 | |
Consumer | Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 5,371 | 3,723 |
Consumer | Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 516 | 1,033 |
Consumer | Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 137 | 325 |
Consumer | Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1,632 | |
Consumer | Accruing Loans | Residential Real Estate | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 5,010 | 3,191 |
Consumer | Accruing Loans | Residential Real Estate | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 516 | 1,030 |
Consumer | Accruing Loans | Residential Real Estate | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 137 | 325 |
Consumer | Accruing Loans | Residential Real Estate | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1,632 | |
Consumer | Accruing Loans | Other | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 361 | 532 |
Consumer | Accruing Loans | Other | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 3 | |
Consumer | Non-Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 117 | 173 |
Consumer | Non-Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 28 | 293 |
Consumer | Non-Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1,135 | 2,205 |
Consumer | Non-Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1,070 | |
Consumer | Non-Accruing Loans | Residential Real Estate | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 117 | 173 |
Consumer | Non-Accruing Loans | Residential Real Estate | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 28 | 293 |
Consumer | Non-Accruing Loans | Residential Real Estate | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1,135 | 2,205 |
Consumer | Non-Accruing Loans | Residential Real Estate | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 1,070 | |
Small Business Lending | Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 316 | 931 |
Small Business Lending | Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 328 | |
Small Business Lending | Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 339 | |
Small Business Lending | Non-Accruing Loans | 30-59 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 56 | 38 |
Small Business Lending | Non-Accruing Loans | 60-89 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | 33 | |
Small Business Lending | Non-Accruing Loans | 90+DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | $ 95 | 494 |
Small Business Lending | Non-Accruing Loans | 0-29 DPD | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Loans Past Due | $ 110 |
Loans and Allowance for Credi60
Loans and Allowance for Credit Losses - Total Acquired Credit Impaired Loans Outstanding by Portfolio Segment and Class of Financing Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | $ 9,006,167 | $ 8,279,778 |
ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 236,637 | 260,560 |
Commercial and Industrial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 5,697,724 | 5,133,786 |
Commercial and Industrial | ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 28,115 | 29,577 |
Commercial and Industrial | General C&I | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 3,162,087 | 2,746,454 |
Commercial and Industrial | General C&I | ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 22,198 | 23,428 |
Commercial and Industrial | Healthcare | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 469,043 | 416,423 |
Commercial and Industrial | Healthcare | ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 5,917 | 6,149 |
Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,161,298 | 1,158,401 |
Commercial Real Estate | ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 73,506 | 79,861 |
Commercial Real Estate | Income Producing | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,083,041 | 1,082,929 |
Commercial Real Estate | Income Producing | ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 73,506 | 79,861 |
Consumer | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,907,426 | 1,765,736 |
Consumer | Residential Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 1,844,122 | 1,690,814 |
Consumer | Other | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 63,304 | 74,922 |
Consumer | ACI | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 135,016 | 151,122 |
Consumer | ACI | Residential Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | 134,309 | 149,942 |
Consumer | ACI | Other | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loan outstanding and financing receivable | $ 707 | $ 1,180 |
Loans and Allowance for Credi61
Loans and Allowance for Credit Losses - Summary of Changes in Accretable Discount for ACI Loans (Details) - ACI Loans - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Financing Receivable Recorded Investment [Line Items] | ||
Balance at beginning of period | $ 78,422 | $ 98,728 |
Maturities/payoff | (3,584) | (5,773) |
Charge-offs | (26) | (90) |
Foreclosure | (385) | (1,040) |
Accretion | (10,208) | (12,406) |
Reclass from nonaccretable difference due to increases in expected cash flow | 8,070 | 6,369 |
Balance at end of period | $ 72,289 | $ 85,788 |
Loans and Allowance for Credi62
Loans and Allowance for Credit Losses - Summary of Individually Impaired ACI Loans and Pooled ACI Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 | |
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | $ 291,825 | $ 278,587 | |
Commercial Real Estate | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | 772 | 46 | |
Commercial and Industrial | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | 268,040 | 252,600 | |
Consumer | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | 19,484 | 21,059 | |
ACI Loans and Pooled ACI Loans | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | [1] | 115,950 | 115,000 |
Unpaid Principal Balance | 144,827 | 152,024 | |
Related Specific Allowance | 7,991 | 8,524 | |
Nonaccrual Loans Included in Impaired Loans | 225 | ||
ACI Loans and Pooled ACI Loans | Commercial Real Estate | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | [1] | 82,481 | 82,856 |
Unpaid Principal Balance | 109,018 | 112,330 | |
Related Specific Allowance | 1,460 | 2,010 | |
Nonaccrual Loans Included in Impaired Loans | 225 | ||
ACI Loans and Pooled ACI Loans | Commercial and Industrial | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | [1] | 12,021 | 13,541 |
Unpaid Principal Balance | 12,887 | 17,630 | |
Related Specific Allowance | 263 | 5 | |
ACI Loans and Pooled ACI Loans | Consumer | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment in Impaired Loans | [1] | 21,448 | 18,603 |
Unpaid Principal Balance | 22,922 | 22,064 | |
Related Specific Allowance | $ 6,268 | $ 6,509 | |
[1] | The recorded investment of a loan also includes any interest receivable, net unearned discount or fees, and unamortized premium or discount. |
Loans and Allowance for Credi63
Loans and Allowance for Credit Losses - Summary of Consumer Credit Exposure on ACI loans, Based on Past Due Status (Details) - ACI Loans - Consumer - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Residential Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | $ 136,525 | $ 152,336 |
Residential Real Estate | 0-29 DPD | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 125,781 | 139,662 |
Residential Real Estate | 30-59 DPD | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 3,153 | 2,299 |
Residential Real Estate | 60-89 DPD | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 1,260 | 2,496 |
Residential Real Estate | Financing Receivables 90 to 119 Days Past Due | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 862 | 399 |
Residential Real Estate | Financing Receivables 120 Days Past Due | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 5,469 | 7,480 |
Other | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 1,102 | 1,583 |
Other | 0-29 DPD | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 977 | 1,356 |
Other | 30-59 DPD | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | $ 125 | 120 |
Other | 60-89 DPD | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | 62 | |
Other | Financing Receivables 120 Days Past Due | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans Past Due | $ 45 |
Goodwill and Other Intangible64
Goodwill and Other Intangible Assets - Summary of Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Goodwill And Other Intangible Assets [Line Items] | ||
Goodwill | $ 307,083 | $ 317,817 |
Other intangible assets, net | 8,565 | 10,223 |
Total goodwill and intangible assets | 315,648 | 328,040 |
Core Deposit | ||
Goodwill And Other Intangible Assets [Line Items] | ||
Other intangible assets, net | 843 | 1,595 |
Customer Lists | ||
Goodwill And Other Intangible Assets [Line Items] | ||
Other intangible assets, net | 7,698 | 8,604 |
Trademarks | ||
Goodwill And Other Intangible Assets [Line Items] | ||
Other intangible assets, net | $ 24 | $ 24 |
Goodwill and Other Intangible65
Goodwill and Other Intangible Assets - Summary of Goodwill and Other Intangible Assets (Parenthetical) (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Core Deposit | ||
Goodwill And Other Intangible Assets [Line Items] | ||
Accumulated amortization of intangible assets | $ 38,842 | $ 38,091 |
Customer Lists | ||
Goodwill And Other Intangible Assets [Line Items] | ||
Accumulated amortization of intangible assets | $ 18,852 | $ 18,097 |
Derivatives - Schedule of Notio
Derivatives - Schedule of Notional Amounts and Estimated Fair Values (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Derivatives Fair Value [Line Items] | ||
Notional Amount | $ 2,531,961 | $ 2,350,759 |
Fair Value, Other Assets | 8,831 | 3,958 |
Fair Value, Other Liabilities | 43,849 | 25,280 |
Derivatives Designated as Hedging Instruments | Cash Flow Hedges | Commercial Loans | Interest Rate Swaps | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 1,032,000 | 1,032,000 |
Fair Value, Other Liabilities | 35,164 | 21,394 |
Derivatives Not Designated as Hedging Instruments | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 1,499,961 | 1,318,759 |
Fair Value, Other Assets | 8,831 | 3,958 |
Fair Value, Other Liabilities | 8,685 | 3,886 |
Derivatives Not Designated as Hedging Instruments | Mortgage Loan Held for Sale Interest Rate Lock Commitments | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 10,908 | 6,119 |
Fair Value, Other Assets | 113 | 50 |
Derivatives Not Designated as Hedging Instruments | Mortgage Loan Held for Sale Floating Commitments | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 16,618 | 11,800 |
Derivatives Not Designated as Hedging Instruments | Foreign Exchange Contracts | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 43,144 | 41,688 |
Fair Value, Other Assets | 1,432 | 635 |
Fair Value, Other Liabilities | 1,399 | 623 |
Derivatives Not Designated as Hedging Instruments | Commercial Loans | Interest Rate Swaps | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 827,427 | 737,533 |
Fair Value, Other Assets | 2,776 | 2,056 |
Fair Value, Other Liabilities | 2,776 | 2,056 |
Derivatives Not Designated as Hedging Instruments | Commercial Loans | Interest Rate Caps | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 117,954 | 186,290 |
Fair Value, Other Assets | 331 | 153 |
Fair Value, Other Liabilities | 331 | 153 |
Derivatives Not Designated as Hedging Instruments | Commercial Loans | Interest Rate Floors | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 480,248 | 330,764 |
Fair Value, Other Assets | 4,179 | 1,054 |
Fair Value, Other Liabilities | 4,179 | 1,054 |
Derivatives Not Designated as Hedging Instruments | Forward Contracts | Mortgage Loan Forward Sale Commitments | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | $ 3,662 | 4,565 |
Fair Value, Other Assets | $ 10 |
Derivatives - Additional Inform
Derivatives - Additional Information (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | ||
Deferred net gains (loss) on derivatives | $ (8.8) | |
Cash Flow Hedges | ||
Derivative [Line Items] | ||
Maximum period for hedging transactions | 8 years | |
Interest-bearing Deposits in Banks | ||
Derivative [Line Items] | ||
Cash or securities pledged as collateral | $ 29.1 | $ 20.2 |
Derivatives - Schedule of Gain
Derivatives - Schedule of Gain (Loss) in Consolidated Statements of Income Related to Derivative Instruments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Noninterest income | $ (8,800) | |||
Derivatives Designated as Hedging Instruments | Cash Flow Hedges | Commercial Loans | Interest Rate Swaps | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
OCI | $ (3,762) | $ 4,916 | (15,040) | $ 3,326 |
Reclassified from AOCI to interest income | (1,180) | 1,116 | (1,513) | 3,033 |
Derivatives Not Designated as Hedging Instruments | Mortgage Loan Held for Sale Interest Rate Lock Commitments | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Noninterest income | 3 | (99) | 64 | 79 |
Derivatives Not Designated as Hedging Instruments | Foreign Exchange Contracts | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Noninterest income | $ 515 | $ 552 | $ 1,023 | $ 1,021 |
Derivative - Schedule of Intere
Derivative - Schedule of Interest Rate Swap Agreements (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | ||
Notional Amount | $ 2,531,961 | $ 2,350,759 |
1.3250% Interest Rate Swap | ||
Derivative [Line Items] | ||
Effective Date | Jun. 15, 2015 | |
Maturity Date | Dec. 17, 2018 | |
Notional Amount | $ 382,000 | |
Fixed Rate | 1.325% | |
Variable Rate | 1 Month LIBOR | |
1.5120% Interest Rate Swap | ||
Derivative [Line Items] | ||
Effective Date | Jun. 30, 2015 | |
Maturity Date | Dec. 31, 2019 | |
Notional Amount | $ 300,000 | |
Fixed Rate | 1.512% | |
Variable Rate | 1 Month LIBOR | |
1.5995% Interest Rate Swap | ||
Derivative [Line Items] | ||
Effective Date | Mar. 8, 2016 | |
Maturity Date | Feb. 27, 2026 | |
Notional Amount | $ 175,000 | |
Fixed Rate | 1.5995% | |
Variable Rate | 1 Month LIBOR | |
1.5890% Interest Rate Swap | ||
Derivative [Line Items] | ||
Effective Date | Mar. 8, 2016 | |
Maturity Date | Feb. 27, 2026 | |
Notional Amount | $ 175,000 | |
Fixed Rate | 1.589% | |
Variable Rate | 1 Month LIBOR |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Domestic | ||
Time Deposits [Line Items] | ||
Time deposits $250,000 and over | $ 461,300,000 | $ 382,400,000 |
Foreign | ||
Time Deposits [Line Items] | ||
Time Deposits | $ 0 | $ 0 |
Borrowed Funds - Additional Inf
Borrowed Funds - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended | 12 Months Ended | |
Mar. 31, 2015 | Jun. 30, 2014 | Jun. 30, 2018 | Dec. 31, 2017 | |
Borrowed Funds [Line Items] | ||||
Unregistered multi tranche debt Transactions | $ 245,000 | |||
Unregistered debt transactions | $ 50,000 | |||
Subordinated debt | $ 98,802 | $ 98,687 | ||
Subordinate debt capital treatment achievement period | 10 years | |||
FHLB advances | $ 150,000 | $ 150,000 | ||
FHLB advances maturity period | 2019-02 | 2018-01 | ||
Irrevocable letter of credit | $ 385,600 | $ 386,500 | ||
FRB | ||||
Borrowed Funds [Line Items] | ||||
Borrowings from FRB | 0 | $ 0 | ||
SAFE Program Deposits | ||||
Borrowed Funds [Line Items] | ||||
Irrevocable letter of credit | $ 35,000 | |||
Letter of credit expiration date | Sep. 27, 2018 | |||
Letter of credit expiration period | 45 days | |||
Letter of credit extended expiration term | 1 year | |||
Treasury Management Deposit | ||||
Borrowed Funds [Line Items] | ||||
Irrevocable letter of credit | $ 350,000 | |||
Letter of credit expiration date | May 26, 2019 | |||
Letter of credit expiration period | 45 days | |||
Letter of credit extended expiration term | 1 year | |||
Commercial Loans | FRB | ||||
Borrowed Funds [Line Items] | ||||
Collateralized borrowings from FRB | $ 781,100 | |||
Commercial and Residential Real Estate Loan | ||||
Borrowed Funds [Line Items] | ||||
FHLB advances collateral amount | $ 1,600,000 | |||
4.875% Senior Notes, Due June 28, 2019 | ||||
Borrowed Funds [Line Items] | ||||
Subordinated debt maturity period | 4 years | |||
5.375% Senior Notes, Due June 28, 2021 | ||||
Borrowed Funds [Line Items] | ||||
Subordinated debt maturity period | 7 years | |||
7.250% Subordinated Notes, Due June 28, 2029, Callable in 2024 | ||||
Borrowed Funds [Line Items] | ||||
Subordinated debt maturity period | 15 years | |||
Subordinated debt | $ 35,000 | |||
Call option period | 10 years | |||
6.250% Subordinated Notes, Due June 28, 2029, Callable in 2024 | ||||
Borrowed Funds [Line Items] | ||||
Subordinated debt maturity period | 15 years | |||
Subordinated debt | $ 25,000 | |||
Call option period | 10 years | |||
6.500% Subordinated Notes, Due March 2025, Callable in 2020 | ||||
Borrowed Funds [Line Items] | ||||
Subordinated debt | $ 40,000 | |||
Call option period | 5 years | |||
Minimum | ||||
Borrowed Funds [Line Items] | ||||
Repurchase agreement maturity period | P1D | |||
Maximum | ||||
Borrowed Funds [Line Items] | ||||
Repurchase agreement maturity period | seven days |
Borrowed Funds - Summary of Sec
Borrowed Funds - Summary of Securities Sold Under Agreements to Repurchase (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Debt Disclosure [Abstract] | ||
Balance at period end | $ 1,183,000 | $ 1,026,000 |
Average balance during the period | $ 1,438,000 | $ 3,371,000 |
Average interest rate during the period | 0.25% | 0.25% |
Maximum month-end balance during the period | $ 1,783,000 | $ 6,286,000 |
Borrowed Funds - Summary of Deb
Borrowed Funds - Summary of Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Debt Issue Cost and unamortized | $ (1,364) | $ (1,606) |
Purchased | (10,078) | (10,078) |
Total long-term debt - Cadence Bancorp, LLC | 283,558 | 283,316 |
Cadence Bancorporation | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 270,000 | 270,000 |
Cadence Bancorporation | 4.875% Senior Notes, Due June 28, 2019 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 145,000 | 145,000 |
Cadence Bancorporation | 5.375% Senior Notes, Due June 28, 2021 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 50,000 | 50,000 |
Cadence Bancorporation | 7.250% Subordinated Notes, Due June 28, 2029, Callable in 2024 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 35,000 | 35,000 |
Cadence Bancorporation | 6.500% Subordinated Notes, Due March 2025, Callable in 2020 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 40,000 | 40,000 |
Cadence Bank | 6.250% Subordinated Notes, Due June 28, 2029, Callable in 2024 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 25,000 | $ 25,000 |
Borrowed Funds - Summary of D74
Borrowed Funds - Summary of Debt (Parenthetical) (Details) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
4.875% Senior Notes, Due June 28, 2019 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 4.875% | 4.875% |
Debt instrument, maturity date | Jun. 28, 2019 | Jun. 28, 2019 |
5.375% Senior Notes, Due June 28, 2021 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 5.375% | 5.375% |
Debt instrument, maturity date | Jun. 28, 2021 | Jun. 28, 2021 |
7.250% Subordinated Notes, Due June 28, 2029, Callable in 2024 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 7.25% | 7.25% |
Debt instrument, maturity date | Jun. 28, 2029 | Jun. 28, 2029 |
6.500% Subordinated Notes, Due March 2025, Callable in 2020 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 6.50% | 6.50% |
Debt instrument, maturity date | Mar. 31, 2025 | Mar. 31, 2025 |
6.250% Subordinated Notes, Due June 28, 2029, Callable in 2024 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 6.25% | 6.25% |
Debt instrument, maturity date | Jun. 28, 2029 | Jun. 28, 2029 |
Borrowed Funds - Summary of Jun
Borrowed Funds - Summary of Junior Subordinated Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Junior subordinated debentures, gross | $ 50,619 | $ 50,619 |
Purchase accounting adjustment, net of amortization | (13,907) | (14,147) |
Total junior subordinated debentures | 36,712 | 36,472 |
3 month LIBOR plus 2.85%, due 2033 | ||
Debt Instrument [Line Items] | ||
Junior subordinated debentures, gross | 30,000 | 30,000 |
3 month LIBOR plus 2.95%, due 2033 | ||
Debt Instrument [Line Items] | ||
Junior subordinated debentures, gross | 5,155 | 5,155 |
3 month LIBOR plus 1.75%, due 2037 | ||
Debt Instrument [Line Items] | ||
Junior subordinated debentures, gross | $ 15,464 | $ 15,464 |
Borrowed Funds - Summary of J76
Borrowed Funds - Summary of Junior Subordinated Debt (Parenthetical) (Details) - Junior subordinated debt | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
3 month LIBOR plus 2.85%, due 2033 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 2.85% | 2.85% |
Debt instrument maturity year | 2,033 | 2,033 |
3 month LIBOR plus 2.95%, due 2033 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 2.95% | 2.95% |
Debt instrument maturity year | 2,033 | 2,033 |
3 month LIBOR plus 1.75%, due 2037 | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 1.75% | 1.75% |
Debt instrument maturity year | 2,037 | 2,037 |
Other Noninterest Income and 77
Other Noninterest Income and Other Noninterest Expense - Summary of Other Noninterest Income and Other Noninterest Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Other noninterest income | ||||
Insurance revenue | $ 417 | $ 1,828 | $ 2,677 | $ 3,957 |
Bankcard fees | 1,915 | 1,862 | 3,799 | 3,674 |
Income from bank owned life insurance policies | 910 | 767 | 1,845 | 1,826 |
Other | 4,180 | 322 | 4,311 | 799 |
Total other noninterest income | 7,422 | 4,779 | 12,632 | 10,256 |
Other noninterest expenses | ||||
Net cost of operation of other real estate owned | 112 | 427 | 60 | 723 |
Data processing expense | 2,304 | 1,702 | 4,677 | 3,398 |
Consulting and professional fees | 2,545 | 1,502 | 5,480 | 2,641 |
Loan related expenses | 645 | 757 | 900 | 1,037 |
FDIC Insurance | 1,223 | 954 | 2,178 | 2,447 |
Communications | 703 | 675 | 1,407 | 1,330 |
Advertising and public relations | 575 | 499 | 916 | 844 |
Legal expenses | 468 | 508 | 3,095 | 979 |
Other | 7,746 | 6,058 | 13,811 | 11,803 |
Total other noninterest expenses | $ 16,321 | $ 13,082 | $ 32,524 | $ 25,202 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |||||
Income tax expense | $ 8,384 | $ 13,570 | $ 19,334 | $ 26,209 | |
Effective tax rate | 14.90% | 31.90% | 18.20% | 32.20% | |
Statutory Federal income tax rate | 21.00% | 35.00% | |||
Provisional income tax expense relating to from Tax Reform | $ 19,000 |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Earnings Per Share [Abstract] | ||||
Anti-dilutive securities excluded from computation of earnings per share | 0 | 0 | 0 | 0 |
Earnings Per Common Share - Rec
Earnings Per Common Share - Reconciliation of Basic and Diluted Net Income Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Earnings Per Share [Abstract] | ||||
Net income per consolidated statements of income | $ 47,974 | $ 28,968 | $ 86,799 | $ 55,085 |
Net income allocated to participating securities | (60) | (106) | ||
Net income allocated to common stock | $ 47,914 | $ 28,968 | $ 86,693 | $ 55,085 |
Weighted average common shares outstanding Basic | 83,625,000 | 81,918,956 | 83,625,000 | 78,478,591 |
Weighted average dilutive restricted stock units | 1,167,657 | 32,839 | 1,108,732 | 352,795 |
Weighted average common shares outstanding (Diluted) | 84,792,657 | 81,951,795 | 84,733,732 | 78,831,386 |
Earnings per common share (Basic) | $ 0.57 | $ 0.35 | $ 1.04 | $ 0.70 |
Earnings per common share (Diluted) | $ 0.57 | $ 0.35 | $ 1.02 | $ 0.70 |
Regulatory Matters - Schedule o
Regulatory Matters - Schedule of Actual Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Tier 1 leverage | $ 1,171,531 | $ 1,096,438 |
Common equity tier 1 capital (transitional) | 1,131,751 | 1,058,888 |
Tier 1 risk-based capital | 1,171,531 | 1,096,438 |
Total risk-based capital | 1,362,159 | 1,283,561 |
Tier 1 leverage | 436,292 | 410,770 |
Common equity tier 1 capital (transitional) | 484,088 | 450,951 |
Tier 1 risk-based capital | 645,451 | 601,269 |
Total risk-based capital | $ 860,601 | $ 801,691 |
Tier 1 leverage | 10.70% | 10.70% |
Common equity tier 1 capital (transitional) | 10.50% | 10.60% |
Tier 1 risk-based capital | 10.90% | 10.90% |
Total risk-based capital | 12.70% | 12.80% |
Tier 1 leverage | 4.00% | 4.00% |
Common equity tier 1 capital (transitional) | 4.50% | 4.50% |
Tier 1 risk-based capital | 6.00% | 6.00% |
Total risk-based capital | 8.00% | 8.00% |
Cadence Bank | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Tier 1 leverage | $ 1,265,583 | $ 1,198,234 |
Common equity tier 1 capital (transitional) | 1,215,583 | 1,149,181 |
Tier 1 risk-based capital | 1,265,583 | 1,198,234 |
Total risk-based capital | 1,382,138 | 1,311,376 |
Tier 1 leverage | 435,617 | 410,743 |
Common equity tier 1 capital (transitional) | 483,920 | 450,874 |
Tier 1 risk-based capital | 645,226 | 601,165 |
Total risk-based capital | 860,302 | 801,553 |
Tier 1 leverage | 544,522 | 513,429 |
Common equity tier 1 capital (transitional) | 698,995 | 651,262 |
Tier 1 risk-based capital | 860,302 | 801,553 |
Total risk-based capital | $ 1,075,377 | $ 1,001,941 |
Tier 1 leverage | 11.60% | 11.70% |
Common equity tier 1 capital (transitional) | 11.30% | 11.50% |
Tier 1 risk-based capital | 11.80% | 12.00% |
Total risk-based capital | 12.90% | 13.10% |
Tier 1 leverage | 4.00% | 4.00% |
Common equity tier 1 capital (transitional) | 4.50% | 4.50% |
Tier 1 risk-based capital | 6.00% | 6.00% |
Total risk-based capital | 8.00% | 8.00% |
Tier 1 leverage | 5.00% | 5.00% |
Common equity tier 1 capital (transitional) | 6.50% | 6.50% |
Tier 1 risk-based capital | 8.00% | 8.00% |
Total risk-based capital | 10.00% | 10.00% |
Regulatory Matters - Additional
Regulatory Matters - Additional Information (Details) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Banking And Thrift [Abstract] | ||
Reserve requirement with FRB | $ 60.9 | $ 70.9 |
Commitments and Contingent Li83
Commitments and Contingent Liabilities - Summary of Commitments and Contingent Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Commitments to Grant Loans | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Commitments to grant loans | $ 304,137 | $ 522,967 |
Standby Letters of Credit | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Letters of credit | 139,543 | 101,718 |
Performance Letters of Credit | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Performance letters of credit | 26,594 | 17,638 |
Commercial Letters of Credit | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Letters of credit | 8,291 | 11,790 |
Commitments to Extend Credit | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Commitments to extend credit | $ 3,584,668 | $ 3,270,097 |
Commitments and Contingent Li84
Commitments and Contingent Liabilities - Additional Information (Details) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Commitments And Contingencies Disclosure [Abstract] | ||
Unfunded commitments - LLC Investments | $ 28.3 | $ 20.3 |
Supplemental Cash Flow Inform85
Supplemental Cash Flow Information - Summary of Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Cash paid during the year for: | ||
Interest | $ 48,428 | $ 31,708 |
Income taxes, net of refunds | 22,980 | 30,606 |
Non-cash investing activities (at fair value): | ||
Transfers of loans to other real estate | 2,208 | $ 6,415 |
Transfers of commercial loans to loans held for sale | $ 3,500 |
Disclosure About Fair Values 86
Disclosure About Fair Values of Financial Instruments - Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | $ 1,043,857 | $ 1,257,063 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Derivative assets | 8,831 | 3,958 |
Derivative liabilities | 43,849 | 25,280 |
Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 1,043,857 | 1,257,063 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Derivative assets | 8,831 | 3,985 |
Net profits interests | 12,839 | 15,833 |
Investments in limited partnerships | 33,865 | |
Derivative liabilities | 43,849 | 25,307 |
Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 1,043,857 | 1,257,063 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Derivative assets | 8,831 | 3,985 |
Net profits interests | 12,839 | 15,833 |
Investments in limited partnerships | 8,852 | |
Total recurring basis measured assets | 1,080,232 | 1,282,766 |
Derivative liabilities | 43,849 | 25,307 |
Total recurring basis measured liabilities | 43,849 | 25,307 |
Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Total recurring basis measured assets | 5,853 | 5,885 |
Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 1,043,857 | 1,257,063 |
Derivative assets | 8,831 | 3,985 |
Total recurring basis measured assets | 1,052,688 | 1,261,048 |
Derivative liabilities | 43,849 | 25,307 |
Total recurring basis measured liabilities | 43,849 | 25,307 |
Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Net profits interests | 12,839 | 15,833 |
Investments in limited partnerships | 8,852 | |
Total recurring basis measured assets | 21,691 | 15,833 |
U.S. Treasury Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 95,680 | 96,844 |
U.S. Treasury Securities | Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 95,680 | 96,844 |
U.S. Treasury Securities | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 95,680 | 96,844 |
Obligations of U.S. Government Agencies | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 67,258 | 81,224 |
Obligations of U.S. Government Agencies | Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 67,258 | 81,224 |
Obligations of U.S. Government Agencies | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 67,258 | 81,224 |
Residential Pass-through | Fair Value, Measurements, Recurring | Guaranteed by GNMA | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 93,453 | 106,027 |
Residential Pass-through | Fair Value, Measurements, Recurring | Guaranteed by GNMA | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 93,453 | 106,027 |
Residential Pass-through | Fair Value, Measurements, Recurring | Issued by FNMA and FHLMC | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 420,372 | 430,422 |
Residential Pass-through | Fair Value, Measurements, Recurring | Issued by FNMA and FHLMC | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 420,372 | 430,422 |
Other Residential Mortgage-Backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 39,743 | 46,392 |
Other Residential Mortgage-Backed Securities | Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 39,743 | 46,392 |
Other Residential Mortgage-Backed Securities | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 39,743 | 46,392 |
Commercial Mortgage-Backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 110,304 | 72,195 |
Commercial Mortgage-Backed Securities | Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 110,304 | 72,195 |
Commercial Mortgage-Backed Securities | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 110,304 | 72,195 |
Total MBS | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 663,872 | 655,036 |
Total MBS | Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 663,872 | 655,036 |
Total MBS | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 663,872 | 655,036 |
Obligations of States and Municipal Subdivisions | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 217,047 | 423,959 |
Obligations of States and Municipal Subdivisions | Fair Value, Measurements, Recurring | Carrying Value | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | 217,047 | 423,959 |
Obligations of States and Municipal Subdivisions | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investment securities available-for-sale | $ 217,047 | $ 423,959 |
Disclosure About Fair Values 87
Disclosure About Fair Values of Financial Instruments - Summary of Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 |
ASU 2016-01 | |||||
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||||
Adjustment recorded in retained earnings due to adoption of ASU 2016-01 | $ 1,000 | $ 95 | |||
Fair Value, Measurements, Recurring | Net Profits Interests | |||||
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||||
Beginning Balance | $ 15,833 | $ 14,295 | $ 16,550 | 15,833 | $ 19,425 |
Net (losses) gains included in earnings | (1,333) | 114 | (2,202) | (2,531) | |
Distributions received | (123) | (259) | (792) | (489) | |
Ending Balance | 12,839 | 16,405 | 12,839 | 16,405 | |
Net unrealized (losses) gains included in earnings relating to assets held at the end of the period | (1,333) | $ 114 | (2,202) | $ (2,531) | |
Fair Value, Measurements, Recurring | Investments in Limited Partnerships | |||||
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||||
Beginning Balance | 7,514 | ||||
Net (losses) gains included in earnings | 719 | 1,395 | |||
Contributions paid | 883 | 1,108 | |||
Distributions received | (264) | (370) | |||
Ending Balance | 8,852 | 8,852 | |||
Net unrealized (losses) gains included in earnings relating to assets held at the end of the period | $ 719 | 1,395 | |||
Fair Value, Measurements, Recurring | Investments in Limited Partnerships | ASU 2016-01 | |||||
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||||
Transfers in due to adoption of ASU 2016-01 | 5,518 | ||||
Adjustment recorded in retained earnings due to adoption of ASU 2016-01 | $ 1,201 |
Disclosure About Fair Values 88
Disclosure About Fair Values of Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Jun. 30, 2018 | Dec. 31, 2017 |
Fair value inputs, increase (decrease) in discount rate | 5.00% | ||
ASU 2016-01 | |||
Adjustment to retained earnings | $ 1,000 | $ 95 | |
ASU 2016-01 | Level 3 | |||
Adjustment to retained earnings | $ 1,200 | ||
Discounted Cash Flow | Net Recoverable Oil and Gas Reserves and Forward Looking Commodity Prices | |||
Fair value inputs, discount rate | 10.00% | ||
Discounted Cash Flow | Net Recoverable Oil and Gas Reserves and Forward Looking Commodity Prices | Level 3 | |||
Fair value inputs, discount rate | 10.00% | 9.00% |
Disclosure About Fair Values 89
Disclosure About Fair Values of Financial Instruments - Summary of Assets Recorded at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans, net of specific allowance | $ 291,825 | $ 278,587 |
Other real estate | 4,797 | 7,605 |
Fair Value, Nonrecurring | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Loans held for sale | 33,118 | 61,359 |
Impaired loans, net of specific allowance | 37,765 | 65,087 |
Other real estate | 4,797 | 7,605 |
Total assets measured on a nonrecurring basis | 75,680 | 134,051 |
Fair Value, Nonrecurring | Level 2 | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Loans held for sale | 33,118 | 61,359 |
Total assets measured on a nonrecurring basis | 33,118 | 61,359 |
Fair Value, Nonrecurring | Level 3 | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans, net of specific allowance | 37,765 | 65,087 |
Other real estate | 4,797 | 7,605 |
Total assets measured on a nonrecurring basis | $ 42,562 | $ 72,692 |
Disclosure About Fair Values 90
Disclosure About Fair Values of Financial Instruments - Summary of Significant Unobservable Inputs Used in Level 3 Fair Value Measurements for Financial Assets Measured at Fair Value On a Nonrecurring Basis (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2018 | Dec. 31, 2017 | |||
Discounted Cash Flow | Net Recoverable Oil and Gas Reserves and Forward Looking Commodity Prices | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Fair value inputs, discount rate | 10.00% | |||
Level 3 | Discount of Fair Value | Impaired Loans Net Of Specific Allowance | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Carrying Value | $ 37,765 | $ 65,087 | ||
Valuation Methods | Appraised value, as adjusted | Appraised value, as adjusted | ||
Unobservable Inputs | Discount to fair value | Discount to fair value | ||
Level 3 | Discount of Fair Value | Impaired Loans Net Of Specific Allowance | Minimum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 0.00% | 0.00% | ||
Level 3 | Discount of Fair Value | Impaired Loans Net Of Specific Allowance | Maximum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 20.00% | 50.00% | ||
Level 3 | Discount of Fair Value | Other | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Carrying Value | $ 4,797 | $ 7,605 | ||
Valuation Methods | Appraised value, as adjusted | Appraised value, as adjusted | ||
Unobservable Inputs | Discount to fair value | Discount of fair value | ||
Level 3 | Discount of Fair Value | Other | Minimum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 0.00% | 0.00% | ||
Level 3 | Discount of Fair Value | Other | Maximum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 20.00% | 20.00% | ||
Level 3 | Discounted Cash Flow | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Valuation Methods | Discounted cash flow | Discounted cash flow | ||
Unobservable Inputs | Discount rates - 2.9% to 8.7% | Discount rates - 3.6% to 8.0% | ||
Level 3 | Discounted Cash Flow | Net Recoverable Oil and Gas Reserves and Forward Looking Commodity Prices | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Valuation Methods | Discounted cash flow | Discounted cash flow | ||
Unobservable Inputs | Net recoverable oil and gas reserves and forward-looking commodity prices. Discount rate - 10% | Net recoverable oil and gas reserves and forward-looking commodity prices. Discount rate - 9% | ||
Fair value inputs, discount rate | 10.00% | 9.00% | ||
Level 3 | Discounted Cash Flow | Minimum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 0.00% | [1] | 0.00% | [2] |
Fair value inputs, discount rate | 2.90% | 3.60% | ||
Level 3 | Discounted Cash Flow | Minimum | Net Recoverable Oil and Gas Reserves and Forward Looking Commodity Prices | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 0.00% | [1] | 0.00% | [2] |
Level 3 | Discounted Cash Flow | Maximum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 20.00% | [1] | 1.00% | [2] |
Fair value inputs, discount rate | 8.70% | 8.00% | ||
Level 3 | Discounted Cash Flow | Maximum | Net Recoverable Oil and Gas Reserves and Forward Looking Commodity Prices | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Range | 13.00% | [1] | 29.00% | [2] |
Level 3 | Enterprise Value | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Valuation Methods | Enterprise value | |||
Unobservable Inputs | Exit multiple 5x | |||
Fair value measurements, percentage of enterprise value | 13.00% | |||
Level 3 | Estimated Closing Costs | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Unobservable Inputs | Estimated closing costs | Estimated closing costs | ||
Range | 10.00% | 10.00% | ||
[1] | Represents fair value as a percent of the unpaid principal balance. | |||
[2] | Represents fair value as a percent of the unpaid principal balance |
Disclosure About Fair Values 91
Disclosure About Fair Values of Financial Instruments - Summary of Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Financial Assets: | ||
Interest-bearing deposits with banks | $ 437,828 | $ 482,568 |
Federal funds sold | 19,962 | 9,536 |
Securities available-for-sale | 1,043,857 | 1,257,063 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Derivative assets | 8,831 | 3,958 |
Estimated fair value of held-to-maturity securities | 311 | |
Financial Liabilities: | ||
FHLB advances | 150,000 | 150,000 |
Securities sold under agreements to repurchase | 1,183 | 1,026 |
Senior debt | 184,756 | 184,629 |
Subordinated debt | 98,802 | 98,687 |
Junior subordinated debentures | 36,712 | 36,472 |
Derivative liabilities | 43,849 | 25,280 |
Carrying Amount | ||
Financial Assets: | ||
Cash and due from banks | 145,381 | 238,707 |
Interest-bearing deposits with banks | 437,828 | 482,568 |
Federal funds sold | 19,962 | 9,536 |
Securities available-for-sale | 1,043,857 | 1,257,063 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Loans held for sale | 33,118 | 61,359 |
Net loans | 8,885,135 | 8,165,851 |
Derivative assets | 8,831 | 3,985 |
Net profits interests | 12,839 | 15,833 |
Investments in limited partnerships | 33,865 | |
Estimated fair value of held-to-maturity securities | 290 | |
Financial Liabilities: | ||
Deposits | 9,331,055 | 9,011,515 |
FHLB advances | 150,000 | 150,000 |
Securities sold under agreements to repurchase | 1,183 | 1,026 |
Senior debt | 184,756 | 184,629 |
Subordinated debt | 98,802 | 98,687 |
Junior subordinated debentures | 36,712 | 36,472 |
Derivative liabilities | 43,849 | 25,307 |
Fair Value | ||
Financial Assets: | ||
Cash and due from banks | 145,381 | 238,707 |
Interest-bearing deposits with banks | 437,828 | 482,568 |
Federal funds sold | 19,962 | 9,536 |
Securities available-for-sale | 1,043,857 | 1,257,063 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Loans held for sale | 33,118 | 61,359 |
Net loans | 8,762,213 | 8,134,903 |
Derivative assets | 8,831 | 3,985 |
Net profits interests | 12,839 | 15,833 |
Investments in limited partnerships | 33,865 | |
Estimated fair value of held-to-maturity securities | 311 | |
Financial Liabilities: | ||
Deposits | 9,324,089 | 9,006,890 |
FHLB advances | 150,000 | 150,000 |
Securities sold under agreements to repurchase | 1,183 | 1,026 |
Senior debt | 193,940 | 194,484 |
Subordinated debt | 95,124 | 94,724 |
Junior subordinated debentures | 48,939 | 49,161 |
Derivative liabilities | 43,849 | 25,307 |
Fair Value | Level 1 | ||
Financial Assets: | ||
Cash and due from banks | 145,381 | 238,707 |
Interest-bearing deposits with banks | 437,828 | 482,568 |
Federal funds sold | 19,962 | 9,536 |
Equity securities with readily determinable fair values not held for trading | 5,853 | 5,885 |
Fair Value | Level 2 | ||
Financial Assets: | ||
Securities available-for-sale | 1,043,857 | 1,257,063 |
Loans held for sale | 33,118 | 61,359 |
Derivative assets | 8,831 | 3,985 |
Estimated fair value of held-to-maturity securities | 311 | |
Financial Liabilities: | ||
Deposits | 9,324,089 | 9,006,890 |
FHLB advances | 150,000 | 150,000 |
Securities sold under agreements to repurchase | 1,183 | 1,026 |
Senior debt | 193,940 | 194,484 |
Subordinated debt | 95,124 | 94,724 |
Junior subordinated debentures | 48,939 | 49,161 |
Derivative liabilities | 43,849 | 25,307 |
Fair Value | Level 3 | ||
Financial Assets: | ||
Net loans | 8,762,213 | 8,134,903 |
Net profits interests | 12,839 | $ 15,833 |
Investments in limited partnerships | $ 33,865 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2018Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Segment Reporting - Summary of
Segment Reporting - Summary of Operating Results of Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||
Net interest income | $ 95,384 | $ 82,384 | $ 186,495 | $ 157,142 | |
Provision for credit losses | 1,263 | 6,701 | 5,643 | 12,487 | |
Noninterest income | 24,672 | 22,989 | 49,655 | 47,094 | |
Noninterest expense | 62,435 | 56,134 | 124,374 | 110,455 | |
Income tax expense (benefit) | 8,384 | 13,570 | 19,334 | 26,209 | |
Net income | 47,974 | 28,968 | 86,799 | 55,085 | |
Total assets | 11,305,528 | 11,305,528 | $ 10,948,926 | ||
Banking | |||||
Segment Reporting Information [Line Items] | |||||
Net interest income | 100,515 | 85,813 | 196,615 | 165,117 | |
Provision for credit losses | 1,263 | 6,701 | 5,643 | 12,487 | |
Noninterest income | 9,320 | 11,511 | 21,758 | 23,211 | |
Noninterest expense | 50,035 | 46,997 | 100,567 | 92,454 | |
Income tax expense (benefit) | 13,480 | 15,269 | 25,926 | 29,185 | |
Net income | 45,057 | 28,357 | 86,237 | 54,202 | |
Total assets | 11,204,713 | 11,204,713 | |||
Financial Services | |||||
Segment Reporting Information [Line Items] | |||||
Net interest income | (700) | 1,617 | (1,307) | 1,467 | |
Noninterest income | 14,980 | 11,398 | 27,338 | 23,719 | |
Noninterest expense | 9,815 | 8,593 | 19,792 | 17,274 | |
Income tax expense (benefit) | 3,239 | 1,548 | 3,547 | 2,769 | |
Net income | 1,226 | 2,874 | 2,692 | 5,143 | |
Total assets | 95,232 | 95,232 | |||
Corporate | |||||
Segment Reporting Information [Line Items] | |||||
Net interest income | (4,431) | (5,046) | (8,813) | (9,442) | |
Noninterest income | 372 | 80 | 559 | 164 | |
Noninterest expense | 2,585 | 544 | 4,015 | 727 | |
Income tax expense (benefit) | (8,335) | (3,247) | (10,139) | (5,745) | |
Net income | 1,691 | $ (2,263) | (2,130) | $ (4,260) | |
Total assets | $ 5,583 | $ 5,583 |
Equity-based Compensation - Add
Equity-based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 01, 2018 | Apr. 02, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 |
Restricted Stock Units | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Restricted stock granted | 270,105 | ||||||
Equity-based compensation expense | $ 1,000 | $ 385 | $ 1,400 | $ 780 | |||
Number of shares outstanding, non-vested | 942,855 | 942,855 | 672,750 | ||||
Fair value per unit at weighted average grant date, non-vested | $ 11.26 | $ 11.26 | $ 5.14 | ||||
Stock units forfeited | 0 | 0 | |||||
Remaining expense related to unvested restricted stock units | $ 7,600 | $ 7,600 | |||||
Expense recognition period | 33 months | ||||||
Plan | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Common stock shares available for grant | 7,500,000 | 7,500,000 | |||||
Shares of common stock remain available for future grants | 6,557,145 | 6,557,145 | |||||
Plan | Restricted Stock Units | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Restricted stock granted | 270,105 | ||||||
Plan | Restricted Stock Units | Half of Units Granted | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Award vesting period | 3 years | ||||||
Plan | Restricted Stock Units | Remaining Half of Units Granted | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Award vesting period | 3 years | ||||||
Award vesting rights | The remaining half of the restricted stock units vest equally on March 31 of each of the next three years | ||||||
Plan | Restricted Stock Units | Minimum | Half of Units Granted | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Award vesting rights, percentage | 0.00% | ||||||
Plan | Restricted Stock Units | Maximum | Half of Units Granted | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Award vesting rights, percentage | 200.00% | ||||||
2018 Employee Stock Purchase Plan | Class A Common Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Percentage of discount on fair market value of common stock | 15.00% | ||||||
Common stock shares issued | 6,992 | ||||||
Equity-based compensation expense | $ 29 | ||||||
2018 Employee Stock Purchase Plan | Maximum | Class A Common Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Amount of common stock may be granted | 500,000 |
Equity-based Compensation - Sum
Equity-based Compensation - Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units | 6 Months Ended |
Jun. 30, 2018$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares, Non-vested at beginning of period | shares | 672,750 |
Number of Shares, Granted during the period | shares | 270,105 |
Number of Shares, Non-vested at end of period | shares | 942,855 |
Fair value per unit at award date, Non-vested at beginning of period | $ / shares | $ 5.14 |
Fair value per unit at award date, Granted during the period | $ / shares | 26.50 |
Fair value per unit at award date, Non-vested at end of period | $ / shares | $ 11.26 |
Accumulated Other Comprehensi96
Accumulated Other Comprehensive Loss - Schedule of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance | $ 1,359,056 | |||
Net change | $ (5,720) | $ 12,980 | (37,498) | $ 11,852 |
Balance | 1,389,956 | 1,389,956 | ||
Unrealized Gains (Losses) on Securities Available for Sale | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance | (2,160) | |||
Net change | (27,097) | |||
Balance | (29,257) | (29,257) | ||
Unrealized Gains (Losses) on Defined Benefit Pension Plans | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance | (531) | |||
Balance | (531) | (531) | ||
Unrealized Gains (Losses) on Derivative Instruments Designated as Cash Flow Hedges | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance | (16,342) | |||
Net change | (10,401) | |||
Balance | (26,743) | (26,743) | ||
Accumulated OCI | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance | (19,033) | |||
Net change | (37,498) | |||
Balance | $ (56,531) | $ (56,531) |
Variable Interest Entities an97
Variable Interest Entities and Other Investments - Additional Information (Details) - Variable Interest Entity, Not Primary Beneficiary | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016Customer | |
Variable Interest Entities and Other Investments [Line Items] | ||||
Cost method investments | $ 8,900,000 | $ 8,900,000 | ||
Gain recognized from assets at fair value | 500,000 | 1,200,000 | ||
Equity method investments | 8,600,000 | 8,600,000 | ||
Number of loan customers | Customer | 2 | |||
Net Profits interest | 12,800,000 | 12,800,000 | $ 15,800,000 | |
Rabbi Trust | ||||
Variable Interest Entities and Other Investments [Line Items] | ||||
Defined rabbi trust assets and benefit obligation | 3,700,000 | 3,700,000 | 3,600,000 | |
Limited Partner | ||||
Variable Interest Entities and Other Investments [Line Items] | ||||
Equity method investments | 8,800,000 | 8,800,000 | ||
ASU 2016-01 | ||||
Variable Interest Entities and Other Investments [Line Items] | ||||
Cost method investments | 14,000,000 | |||
Equity method investments | 8,500,000 | |||
Other Assets | ||||
Variable Interest Entities and Other Investments [Line Items] | ||||
Investments in affordable Housing Project | $ 8,000,000 | $ 8,000,000 | $ 7,900,000 |
Variable Interest Entities an98
Variable Interest Entities and Other Investments - Summary of Investment in Limited Partnerships Subsequent to Adoption of ASU 2016-01 (Details) - Investments in Limited Partnerships $ in Thousands | Jun. 30, 2018USD ($) |
Variable Interest Entities and Other Investments [Line Items] | |
Affordable housing projects (amortized cost) | $ 7,967 |
Limited partnerships accounted for under the fair value practical expedient of NAV | 8,852 |
Limited partnerships without readily determinable fair values that do not qualify for the practical expedient of NAV accounted for under the cost method | 8,586 |
Equity method investments | 8,460 |
Total investments in limited partnerships | $ 33,865 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) - USD ($) | Jul. 26, 2018 | Jul. 20, 2018 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 |
Subsequent Event [Line Items] | |||||
Cash dividend per share | $ 0.25 | ||||
Common stock, par value | $ 0.01 | $ 0.01 | |||
Subsequent Event | Common Stock | |||||
Subsequent Event [Line Items] | |||||
Dividend declared date | Jul. 20, 2018 | ||||
Cash dividend per share | $ 0.15 | ||||
Dividend paid date | Sep. 17, 2018 | ||||
Dividend record date | Sep. 4, 2018 | ||||
Subsequent Event | Common Stock | Cadence Bancorp, LLC | Secondary Public Offering | |||||
Subsequent Event [Line Items] | |||||
Issuance of common stock | 12,500,000 | ||||
Common stock, par value | $ 0.01 | ||||
Price per share, less underwriting discounts and commission | $ 28.40 | ||||
Number of shares sold | 0 | ||||
Proceeds from offering | $ 0 | ||||
Change in number of shares due to offering | 0 | ||||
Scenario Plan | Common Stock | |||||
Subsequent Event [Line Items] | |||||
Cash dividend per share | $ 0.60 |