Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 01, 2022 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 000-09439 | |
Entity Registrant Name | INTERNATIONAL BANCSHARES CORPORATION | |
Entity Incorporation, State or Country Code | TX | |
Entity Tax Identification Number | 74-2157138 | |
Entity Address, Address Line One | 1200 San Bernardo Avenue | |
Entity Address, City or Town | Laredo | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 78042-1359 | |
City Area Code | 956 | |
Local Phone Number | 722-7611 | |
Title of 12(b) Security | Common Stock, $1.00 par value | |
Trading Symbol | IBOC | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 62,242,125 | |
Entity Central Index Key | 0000315709 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Consolidated Statements of Cond
Consolidated Statements of Condition - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 3,416,716,000 | $ 3,209,242,000 |
Investment securities: | ||
Held to maturity debt securities (Market value of $3,400 on June 30, 2022 and $3,400 on December 31, 2021) | 3,400,000 | 3,400,000 |
Available for sale debt securities (Amortized cost of $4,648,031 on June 30, 2022 and $4,254,960 on December 31, 2021) | 4,294,360,000 | 4,213,920,000 |
Equity securities with readily determinable fair values | 5,581,000 | 6,079,000 |
Total investment securities | 4,303,341,000 | 4,223,399,000 |
Loans | 7,027,129,000 | 7,209,151,000 |
Less allowance for credit losses | (112,572,000) | (110,374,000) |
Net loans | 6,914,557,000 | 7,098,777,000 |
Bank premises and equipment, net | 435,183,000 | 447,082,000 |
Accrued interest receivable | 30,730,000 | 30,593,000 |
Other investments | 368,601,000 | 296,882,000 |
Cash surrender value of life insurance policies | 300,494,000 | 297,218,000 |
Goodwill | 282,532,000 | 282,532,000 |
Other assets | 219,025,000 | 160,511,000 |
Total assets | 16,271,179,000 | 16,046,236,000 |
Deposits: | ||
Demand-non-interest bearing | 6,102,050,000 | 5,838,526,000 |
Savings and interest bearing demand | 4,660,835,000 | 4,590,548,000 |
Time | 2,180,367,000 | 2,188,803,000 |
Total deposits | 12,943,252,000 | 12,617,877,000 |
Securities sold under repurchase agreements | 513,368,000 | 439,672,000 |
Other borrowed funds | 436,042,000 | 436,138,000 |
Junior subordinated deferrable interest debentures | 134,642,000 | 134,642,000 |
Other liabilities | 146,644,000 | 109,426,000 |
Total liabilities | 14,173,948,000 | 13,737,755,000 |
Shareholders' equity: | ||
Common shares of $1.00 par value. Authorized 275,000,000 shares; issued 96,368,414 shares on June 30, 2022 and 96,350,977 shares on December 31, 2021 | 96,368,000 | 96,351,000 |
Surplus | 152,743,000 | 152,144,000 |
Retained earnings | 2,544,148,000 | 2,470,710,000 |
Accumulated other comprehensive loss | (276,735,000) | (31,980,000) |
Total shareholders' equity before treasury stock | 2,516,524,000 | 2,687,225,000 |
Less cost of shares in treasury, 33,993,101 shares on June 30, 2022 and 32,979,273 on December 31, 2021 | (419,293,000) | (378,744,000) |
Total shareholders' equity | 2,097,231,000 | 2,308,481,000 |
Total liabilities and shareholders' equity | $ 16,271,179,000 | $ 16,046,236,000 |
Consolidated Statements of Co_2
Consolidated Statements of Condition (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Consolidated Statements of Condition | ||
Held to maturity, Market value (in dollars) | $ 3,400 | $ 3,400 |
Available for sale, Amortized cost (in dollars) | $ 4,648,031 | $ 4,254,960 |
Common shares, par value (in dollars per share) | $ 1 | $ 1 |
Common shares, Authorized shares | 275,000,000 | 275,000,000 |
Common shares, issued shares | 96,368,414 | 96,350,977 |
Treasury, shares | 33,993,101 | 32,979,273 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Interest income: | ||||
Loans, including fees | $ 87,630 | $ 91,816 | $ 169,118 | $ 183,930 |
Investment securities: | ||||
Taxable | 16,938 | 5,014 | 30,128 | 9,889 |
Tax-exempt | 351 | 377 | 701 | 772 |
Other interest income | 4,665 | 772 | 6,069 | 1,262 |
Total interest income | 109,584 | 97,979 | 206,016 | 195,853 |
Interest expense: | ||||
Savings deposits | 1,296 | 990 | 2,397 | 1,919 |
Time deposits | 2,277 | 2,929 | 4,781 | 6,127 |
Securities sold under repurchase agreements | 241 | 142 | 425 | 283 |
Other borrowings | 1,907 | 1,908 | 3,795 | 3,797 |
Junior subordinated deferrable interest debentures | 962 | 702 | 1,671 | 1,410 |
Total interest expense | 6,683 | 6,671 | 13,069 | 13,536 |
Net interest income | 102,901 | 91,308 | 192,947 | 182,317 |
Provision for credit losses | 3,735 | 1,144 | 5,216 | 2,336 |
Net interest income after provision for credit losses | 99,166 | 90,164 | 187,731 | 179,981 |
Non-interest income: | ||||
Investment securities transactions, net | (4) | |||
Other investments, net | 1,219 | 58,920 | 4,101 | 63,005 |
Other income | 8,798 | 7,634 | 17,890 | 11,264 |
Total non-interest income | 43,242 | 97,906 | 86,754 | 134,143 |
Non-interest expense: | ||||
Employee compensation and benefits | 31,045 | 30,548 | 62,164 | 60,710 |
Occupancy | 6,189 | 6,530 | 12,461 | 12,147 |
Depreciation of bank premises and equipment | 5,455 | 6,436 | 10,930 | 13,235 |
Professional fees | 2,942 | 2,281 | 5,260 | 5,117 |
Deposit insurance assessments | 1,979 | 927 | 3,036 | 1,814 |
Net operations, other real estate owned | (47) | 3,668 | (455) | 4,913 |
Advertising | 1,455 | 1,456 | 2,895 | 2,879 |
Software and software maintenance | 4,372 | 4,526 | 8,549 | 8,966 |
Other | 15,366 | 13,582 | 28,034 | 22,358 |
Total non-interest expense | 68,756 | 69,954 | 132,874 | 132,139 |
Income before income taxes | 73,652 | 118,116 | 141,611 | 181,985 |
Provision for income taxes | 15,681 | 26,090 | 30,147 | 39,188 |
Net income | $ 57,971 | $ 92,026 | $ 111,464 | $ 142,797 |
Basic earnings per common share: | ||||
Weighted average number of shares outstanding (in shares) | 62,950,103 | 63,362,817 | 63,150,061 | 63,335,289 |
Net income (in dollars per share) | $ 0.92 | $ 1.45 | $ 1.77 | $ 2.25 |
Fully diluted earnings per common share: | ||||
Weighted average number of shares outstanding (in shares) | 63,085,429 | 63,518,556 | 63,290,738 | 63,469,284 |
Net income (in dollars per share) | $ 0.92 | $ 1.45 | $ 1.76 | $ 2.25 |
Services charges on deposit accounts | ||||
Non-interest income: | ||||
Service charges | $ 18,248 | $ 15,774 | $ 35,505 | $ 30,677 |
Other service charges, commissions and fees, Banking | ||||
Non-interest income: | ||||
Service charges | 12,935 | 13,233 | 25,451 | 25,416 |
Other service charges, commissions and fees, Non-banking | ||||
Non-interest income: | ||||
Service charges | $ 2,042 | $ 2,345 | $ 3,807 | $ 3,785 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Consolidated Statements of Comprehensive Income | ||||
Net income | $ 57,971 | $ 92,026 | $ 111,464 | $ 142,797 |
Other comprehensive loss, net of tax: | ||||
Net unrealized holding (losses) gains on securities available for sale arising during period (net of tax effects of $(19,033), $127, $(65,061), and $(674)) | (71,599) | 479 | (244,755) | (2,536) |
Reclassification adjustment for losses on securities available for sale included in net income (net of tax effects of $0, $0, $0 and $1) | 3 | |||
Other comprehensive income, net of tax | (71,599) | 479 | (244,755) | (2,533) |
Comprehensive (loss) income | $ (13,628) | $ 92,505 | $ (133,291) | $ 140,264 |
Consolidated Statements of Co_3
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Consolidated Statements of Comprehensive Income | ||||
Net unrealized holding gains (losses) on securities available for sale arising during period, tax effects | $ (19,033) | $ 127 | $ (65,061) | $ (674) |
Reclassification adjustment for losses on securities available for sale included in net income, tax effects | $ 0 | $ 0 | $ 0 | $ 1 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Total |
Balance at Dec. 31, 2020 | $ 96,241 | $ 149,334 | $ 2,289,626 | $ 20,825 | $ (378,028) | $ 2,177,998 |
Balance (in shares) at Dec. 31, 2020 | 96,241 | |||||
Increase (decrease) in shareholders' equity | ||||||
Net income | 142,797 | 142,797 | ||||
Dividends: | ||||||
Cash | (34,813) | (34,813) | ||||
Purchase of treasury stock | (48) | (48) | ||||
Exercise of stock options | $ 91 | 1,905 | 1,996 | |||
Exercise of stock options (in shares) | 91 | |||||
Stock compensation expense recognized in earnings | 273 | 273 | ||||
Other comprehensive loss, net of tax: | ||||||
Net change in unrealized gains and losses on available for sale securities, net of reclassification adjustments | (2,533) | (2,533) | ||||
Balance at Jun. 30, 2021 | $ 96,332 | 151,512 | 2,397,610 | 18,292 | (378,076) | 2,285,670 |
Balance (in shares) at Jun. 30, 2021 | 96,332 | |||||
Balance at Mar. 31, 2021 | $ 96,312 | 150,972 | 2,305,584 | 17,813 | (378,076) | 2,192,605 |
Balance (in shares) at Mar. 31, 2021 | 96,312 | |||||
Increase (decrease) in shareholders' equity | ||||||
Net income | 92,026 | 92,026 | ||||
Dividends: | ||||||
Exercise of stock options | $ 20 | 426 | 446 | |||
Exercise of stock options (in shares) | 20 | |||||
Stock compensation expense recognized in earnings | 114 | 114 | ||||
Other comprehensive loss, net of tax: | ||||||
Net change in unrealized gains and losses on available for sale securities, net of reclassification adjustments | 479 | 479 | ||||
Balance at Jun. 30, 2021 | $ 96,332 | 151,512 | 2,397,610 | 18,292 | (378,076) | 2,285,670 |
Balance (in shares) at Jun. 30, 2021 | 96,332 | |||||
Balance at Dec. 31, 2021 | $ 96,351 | 152,144 | 2,470,710 | (31,980) | (378,744) | 2,308,481 |
Balance (in shares) at Dec. 31, 2021 | 96,351 | |||||
Increase (decrease) in shareholders' equity | ||||||
Net income | 111,464 | 111,464 | ||||
Dividends: | ||||||
Cash | (38,026) | (38,026) | ||||
Purchase of treasury stock | (40,549) | (40,549) | ||||
Exercise of stock options | $ 17 | 370 | 387 | |||
Exercise of stock options (in shares) | 17 | |||||
Stock compensation expense recognized in earnings | 229 | 229 | ||||
Other comprehensive loss, net of tax: | ||||||
Net change in unrealized gains and losses on available for sale securities, net of reclassification adjustments | (244,755) | (244,755) | ||||
Balance at Jun. 30, 2022 | $ 96,368 | 152,743 | 2,544,148 | (276,735) | (419,293) | 2,097,231 |
Balance (in shares) at Jun. 30, 2022 | 96,368 | |||||
Balance at Mar. 31, 2022 | $ 96,357 | 152,405 | 2,486,177 | (205,136) | (382,124) | 2,147,679 |
Balance (in shares) at Mar. 31, 2022 | 96,357 | |||||
Increase (decrease) in shareholders' equity | ||||||
Net income | 57,971 | 57,971 | ||||
Dividends: | ||||||
Purchase of treasury stock | (37,169) | (37,169) | ||||
Exercise of stock options | $ 11 | 230 | 241 | |||
Exercise of stock options (in shares) | 11 | |||||
Stock compensation expense recognized in earnings | 108 | 108 | ||||
Other comprehensive loss, net of tax: | ||||||
Net change in unrealized gains and losses on available for sale securities, net of reclassification adjustments | (71,599) | (71,599) | ||||
Balance at Jun. 30, 2022 | $ 96,368 | $ 152,743 | $ 2,544,148 | $ (276,735) | $ (419,293) | $ 2,097,231 |
Balance (in shares) at Jun. 30, 2022 | 96,368 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | |
Consolidated Statements of Shareholders' Equity | |||
Cash Dividends (in dollars per share) | $ 0.60 | $ 0.55 | |
Purchase of treasury stock (in shares) | 930,762 | 1,013,828 | 999 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Operating activities: | ||
Net income | $ 111,464,000 | $ 142,797,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision for credit loss | 5,216,000 | 2,336,000 |
Specific reserve, other real estate owned | 16,000 | 2,065,000 |
Depreciation of bank premises and equipment | 10,930,000 | 13,235,000 |
(Gain) loss on sale of bank premises and equipment | (3,080,000) | 15,000 |
(Gain) loss on sale of other real estate owned | (1,174,000) | 519,000 |
Accretion of investment securities discounts | (732,000) | (279,000) |
Amortization of investment securities premiums | 8,773,000 | 22,329,000 |
Investment securities transactions, net | 4,000 | |
Unrealized loss on equity securities with readily determinable fair values | 498,000 | 65,000 |
Proceeds from settlements of claims | 2,870,000 | |
Stock based compensation expense | 229,000 | 273,000 |
Earnings from affiliates and other investments | (4,079,000) | (61,313,000) |
Deferred income taxes | (589,000) | (821,000) |
(Increase) decrease in accrued interest receivable | (137,000) | 4,902,000 |
(Increase) decrease in other assets | (3,774,000) | 12,097,000 |
Increase in other liabilities | 43,821,000 | 24,904,000 |
Net cash provided by operating activities | 167,382,000 | 165,998,000 |
Investing activities: | ||
Proceeds from maturities of securities | 2,075,000 | 1,200,000 |
Proceeds from sales and calls of available for sale securities | 0 | 2,865,000 |
Purchases of available for sale securities | (818,988,000) | (2,129,883,000) |
Principal collected on mortgage backed securities | 415,801,000 | 1,009,379,000 |
Net decrease in loans | 177,727,000 | 134,517,000 |
Purchases of other investments | (68,253,000) | (42,037,000) |
Distributions from other investments | 3,133,000 | 59,955,000 |
Purchases of bank premises and equipment | (8,571,000) | (4,259,000) |
Proceeds from sales of bank premises and equipment | 10,144,000 | 1,255,000 |
Proceeds from sales of other real estate owned | 6,237,000 | 6,320,000 |
Net cash used in investing activities | (280,695,000) | (960,688,000) |
Financing activities: | ||
Net increase in non-interest bearing demand deposits | 263,524,000 | 703,414,000 |
Net increase in savings and interest bearing demand deposits | 70,287,000 | 461,049,000 |
Net decrease in time deposits | (8,436,000) | (9,554,000) |
Net increase in securities sold under repurchase agreements | 73,696,000 | 2,382,000 |
Net decrease in other borrowed funds | (96,000) | (94,000) |
Purchase of treasury stock | (40,549,000) | (48,000) |
Proceeds from stock transactions | 387,000 | 1,996,000 |
Payments of cash dividends | (38,026,000) | (34,813,000) |
Net cash provided by financing activities | 320,787,000 | 1,124,332,000 |
Increase in cash and cash equivalents | 207,474,000 | 329,642,000 |
Cash and cash equivalents at beginning of period | 3,209,242,000 | 1,997,238,000 |
Cash and cash equivalents at end of period | 3,416,716,000 | 2,326,880,000 |
Supplemental cash flow information: | ||
Interest paid | 12,701,000 | 13,991,000 |
Income taxes paid | 3,643,000 | 16,130,000 |
Non-cash investing and financing activities: | ||
Net transfers from loans to other real estate owned | 1,277,000 | $ 16,587,000 |
Net transfers from bank premises and equipment to other assets | $ 2,476,000 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Basis of Presentation | |
Basis of Presentation | Note 1 — Basis of Presentation Our accounting and reporting policies conform to accounting principles generally accepted in the United States of America and to general practices within the banking industry. Our consolidated financial statements include the accounts of International Bancshares Corporation, and our wholly-owned bank subsidiaries, International Bank of Commerce, Laredo (“IBC”), Commerce Bank, International Bank of Commerce, Zapata, International Bank of Commerce, Brownsville, International Bank of Commerce, Oklahoma (the “Subsidiary Banks”) and our wholly-owned non-bank subsidiaries, IBC Trading Company, Premier Tierra Holdings, Inc., IBC Charitable and Community Development Corporation, Emerald Galveston Holdings, LLC, IBC Capital Corporation, and Diamond Beach Holdings, LLC. Our consolidated financial statements are unaudited, but include all adjustments, which, in the opinion of management, are necessary for a fair presentation of the results of the periods presented. All such adjustments were of a normal and recurring nature. These financial statements should be read in conjunction with the financial statements and the notes thereto in our latest Annual Report on Form 10-K. Our consolidated statement of condition at December 31, 2021 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (“US GAAP”) for complete financial statements. Certain reclassifications have been made to make prior periods comparable. Operating results for the three and six months ended June 30, 2022 are not necessarily indicative of the results for the year ending December 31, 2022 or any future period. We operate as one segment. The operating information used by our chief executive officer for purposes of assessing performance and making operating decisions is the consolidated statements presented in this report. We have We have evaluated all events or transactions that occurred through the date we issued these financial statements. During this period, we did not have any material recognizable or non-recognizable subsequent events. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Measurements | |
Fair Value Measurements | Note 2 — Fair Value Measurements ASC Topic 820, “Fair Value Measurements and Disclosures” (“ASC 820”), defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and expands disclosures about fair value measurements. ASC 820 applies to all financial instruments that are being measured and reported on a fair value basis. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; it also establishes a fair value hierarchy that prioritizes the inputs used in valuation methodologies into the following three levels: ● Level 1 Inputs - Unadjusted quoted prices in active markets for identical assets or liabilities. ● Level 2 Inputs - Observable inputs other than Level 1 inputs, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. ● Level 3 Inputs - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or other valuation techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. The following table represents assets and liabilities reported on the consolidated balance sheets at their fair value on a recurring basis as of June 30, 2022 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in Thousands) Quoted Prices in Active Significant Assets/Liabilities Markets for Other Significant Measured at Identical Observable Unobservable Fair Value Assets Inputs Inputs June 30, 2022 (Level 1) (Level 2) (Level 3) Measured on a recurring basis: Assets: Available for sale debt securities U.S. Treasury securities $ 48,951 $ — $ 48,951 $ — Residential mortgage-backed securities 4,203,931 — 4,203,931 — States and political subdivisions 41,478 — 41,478 — Equity Securities 5,581 5,581 — — $ 4,299,941 $ 5,581 $ 4,294,360 $ — The following table represents assets and liabilities reported on the consolidated balance sheets at their fair value on a recurring basis as of December 31, 2021 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in Thousands) Quoted Prices in Active Significant Assets/Liabilities Markets for Other Significant Measured at Identical Observable Unobservable Fair Value Assets Inputs Inputs December 31, 2021 (Level 1) (Level 2) (Level 3) Measured on a recurring basis: Assets: Available for sale securities Residential mortgage - backed securities $ 4,169,363 $ — $ 4,169,363 $ — States and political subdivisions 44,557 — 44,557 — Equity Securities 6,079 6,079 — — $ 4,219,999 $ 6,079 $ 4,213,920 $ — Available-for-sale debt securities are classified within Level 1 or 2 of the valuation hierarchy. Equity securities with readily determinable fair values are classified within Level 1. For debt investments classified as Level 2 in the fair value hierarchy, we obtain fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond’s terms and conditions, among other things. Certain financial assets and financial liabilities are measured at fair value on a non-recurring basis. The instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). The following table represents financial instruments measured at fair value on a non-recurring basis as of and for the period ended June 30, 2022 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in thousands) Quoted Assets/Liabilities Prices in Measured at Active Significant Fair Value Markets for Other Significant Net Provision Period ended Identical Observable Unobservable (Credit) June 30, Assets Inputs Inputs During 2022 (Level 1) (Level 2) (Level 3) Period Measured on a non-recurring basis: Assets: Watch-List doubtful loans $ 105 $ — $ — $ 105 $ 29 Other real estate owned $ 144 $ — $ — $ 144 $ 16 The following table represents financial instruments measured at fair value on a non-recurring basis as of and for the period ended December 31, 2021 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in thousands) Quoted Assets/Liabilities Prices in Measured at Active Significant Fair Value Markets Other Significant Net (Credit) Year ended for Identical Observable Unobservable Provision December 31, Assets Inputs Inputs During 2021 (Level 1) (Level 2) (Level 3) Period Measured on a non-recurring basis: Assets: Watch-List doubtful loans $ 55 $ — $ — $ 55 $ 209 Other real estate owned 18,095 — — 18,095 2,655 Our assets measured at fair value on a non-recurring basis are limited to loans classified as Watch List – Doubtful and other real estate owned. The fair value of Watch List-Doubtful loans is derived in accordance with FASB ASC 310, “Receivables”. They are primarily comprised of collateral-dependent commercial loans. As the primary sources of loan repayments decline, the secondary repayment source, the collateral, takes on greater significance. Correctly evaluating the fair value becomes even more important. Re-measurement of the loan to fair value is done through a specific valuation allowance included in the allowance for credit losses (“ACL”). The fair value of the loan is based on the fair value of the collateral, as determined through either an appraisal or internal evaluation process. The basis for our appraisal and appraisal review process is based on regulatory guidelines and strives to comply with all regulatory appraisal laws, regulations, and the Uniform Standards of Professional Appraisal Practice. All appraisals and internal evaluations are “as is” (the property’s highest and best use) valuations based on the current conditions of the property/project at that point in time. The determination of the fair value of the collateral is based on the net realizable value, which is the appraised value less any closing costs, when applicable. As of June 30, 2022, we had had an internal evaluation performed within the immediately preceding twelve months. As of December 31, 2021, we had approximately Our determination to either seek an appraisal or to perform an internal evaluation begins in weekly credit quality meetings, where the committee analyzes the existing collateral values of the doubtful loans and where obsolete appraisals are identified. In order to determine whether we would obtain a new appraisal or perform an internal evaluation to determine the fair value of the collateral, the credit committee reviews the existing appraisal to determine if the collateral value is reasonable in view of the current use of the collateral and the economic environment related to the collateral. If the analysis of the existing appraisal does not find that the collateral value is reasonable under the current circumstances, we would obtain a new appraisal on the collateral or perform an internal evaluation of the collateral. The ultimate decision to get a new appraisal rests with the independent credit administration group. A new appraisal is not required if an internal evaluation, as performed by in-house experts, is able to appropriately update the original appraisal assumptions to reflect current market conditions and provide an estimate of the collateral’s market value for analysis of the doubtful loan. The internal evaluations must be in writing and contain sufficient information detailing the analysis, assumptions and conclusions, and they must support performing an evaluation in lieu of ordering a new appraisal. Other real estate owned is comprised of real estate acquired by foreclosure and deeds in lieu of foreclosure. Other real estate owned is carried at the lower of the recorded investment in the property or its fair value less estimated costs to sell such property (as determined by independent appraisal) within Level 3 of the fair value hierarchy. Prior to foreclosure, the value of the underlying loan is written down to the fair value of the real estate to be acquired by a charge to the ACL, if necessary. The fair value is reviewed periodically, and subsequent write-downs are made, accordingly, through a charge to operations. Other real estate owned is included in other assets on the consolidated financial statements. For the three and six months ended June 30, 2022 and the twelve months ended December 31, 2021, we recorded n charges to the ACL in connection with loans transferred to other real estate owned. For the three and six months ended June 30, 2022 and the twelve months ended December 31, 2021, we recorded The fair value estimates, methods, and assumptions for our financial instruments at June 30, 2022 and December 31, 2021 are outlined below. Cash and Cash Equivalents For these short-term instruments, the carrying amount is a reasonable estimate of fair value. Time Deposits with Banks The carrying amounts of time deposits with banks approximate fair value. Investment Securities Held-to-Maturity The carrying amounts of investments held-to-maturity approximate fair value. Investment Securities For investment securities, which include U.S. Treasury securities, obligations of other U.S. government agencies, obligations of states and political subdivisions and mortgage pass-through and related securities, fair values are from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond’s terms and conditions, among other things. See disclosures of fair value of investment securities in Note 6. Loans Fair values are estimated for portfolios of loans with similar financial characteristics. Loans are segregated by type, such as commercial, real estate and consumer loans, as outlined by regulatory reporting guidelines. Each category is segmented into fixed and variable interest rate terms and by performing and non-performing categories. For variable rate performing loans, the carrying amount approximates the fair value. For fixed-rate performing loans, except residential mortgage loans, the fair value is calculated by discounting scheduled cash flows through the estimated maturity using estimated market discount rates that reflect the credit and interest rate risk inherent in the loan. For performing residential mortgage loans, fair value is estimated by discounting contractual cash flows adjusted for prepayment estimates using discount rates based on secondary market sources or the primary origination market. Fixed-rate performing loans are within Level 3 of the fair value hierarchy. At June 30, 2022 and December 31, 2021, the carrying amount of fixed rate performing loans w Accrued Interest The carrying amounts of accrued interest approximate fair value. Deposits The fair value of deposits with no stated maturity, such as non-interest-bearing demand deposit accounts, savings accounts and interest-bearing demand deposit accounts, was equal to the amount payable on demand as of June 30, 2022 and December 31, 2021. The fair value of time deposits is based on the discounted value of contractual cashflows. The discount rate is based on currently offered rates. Time deposits are within Level 3 of the fair value hierarchy. At June 30, 2022 and December 31, 2021, the carrying amount of time deposits was Securities Sold Under Repurchase Agreements Securities sold under repurchase agreements are short-term maturities. Due to the contractual terms of the instruments, the carrying amounts approximated fair value at June 30, 2022 and December 31, 2021. Junior Subordinated Deferrable Interest Debentures We currently have floating-rate junior subordinated deferrable interest debentures outstanding. Due to the contractual terms of the floating-rate junior subordinated deferrable interest debentures, the carrying amounts approximated fair value at June 30, 2022 and December 31, 2021. Other Borrowed Funds We currently have long-term borrowings issued from the Federal Home Loan Bank (“FHLB”). The long-term borrowings outstanding at June 30, 2022 and December 31, 2021 are fixed-rate borrowings and the fair value is based on established market spreads for similar types of borrowings. The fixed rate long-term borrowings are included in Level 2 of the fair value hierarchy. At June 30, 2022 and December 31, 2021, the carrying amount of the fixed rate long-term FHLB borrowings was , respectively. Commitments to Extend Credit and Letters of Credit Commitments to extend credit and fund letters of credit are principally at current interest rates, and, therefore, the carrying amount approximates fair value. Limitations Fair value estimates are made at a point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time our entire holdings of a particular financial instrument. Because no market exists for a significant portion of our financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on- and off-statement of condition financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Other significant assets and liabilities that are not considered financial assets or liabilities include the bank premises and equipment and core deposit value. In addition, the tax ramifications related to the effect of fair value estimates have not been considered in the above estimates. |
Loans
Loans | 6 Months Ended |
Jun. 30, 2022 | |
Loans | |
Loans | Note 3 — Loans A summary of loans, by loan type at June 30, 2022 and December 31, 2021 is as follows: June 30, December 31, 2022 2021 (Dollars in Thousands) Commercial, financial and agricultural $ 4,252,063 $ 4,497,444 Real estate - mortgage 842,742 867,831 Real estate - construction 1,733,234 1,668,113 Consumer 40,815 40,966 Foreign 158,275 134,797 Total loans $ 7,027,129 $ 7,209,151 |
Allowance for Credit Losses
Allowance for Credit Losses | 6 Months Ended |
Jun. 30, 2022 | |
Allowance for Credit Losses | |
Allowance for Credit Losses | Note 4 — Allowance for Credit Losses The estimation of the ACL is based on a loss-rate methodology that measures lifetime losses on loan pools that have similar risk characteristics. Loans that do not have similar risk characteristics are evaluated on an individual basis. The segmentation of the loan portfolio into pools requires a balancing process between capturing similar risk characteristics and containing sufficient loss history to provide meaningful results. Our segmentation starts at the general loan category with further sub-segmentation based on collateral types that may be of meaningful size and/or may contain sufficient differences in risk characteristics based on management’s judgement that would warrant further segmentation. The general loan categories along with primary risk characteristics used in our calculation are as follows: Commercial and industrial loans. Construction and land development loans. family development loans also include mortgage rate risk and the practice by the mortgage industry of more restrictive underwriting standards, which inhibits the buyer from obtaining long term financing creating excessive housing and lot inventory in the market. Commercial real estate loans. This category includes loans secured by farmland, multifamily properties, owner occupied commercial properties, and non-owner occupied commercial properties. Owner occupied commercial properties include warehouses often along the border for import/export operations, office space where the borrower is the primary tenant, restaurants and other single-tenant retail. Non-owner occupied commercial properties include hotels, retail centers, office and professional buildings, and leased warehouses. These loans carry risk of repayment when market values deteriorate, the business experiences turnover in key management, the business has an inability to attract or keep occupancy levels stable, or when the market experiences an exit of a specific business type that is significant to the local economy, such as a manufacturing plant. 1-4 family mortgages. This category includes both first and second lien mortgages for the purpose of home purchases or refinancing of existing mortgage loans. A small portion of this loan category is related to home equity lines of credits, lots purchases, and home construction. Loan repayments may be affected by unemployment or underemployment and deteriorating market values of real estate. Consumer loans. The loan pools are further broken down using a risk-based segmentation based on internal classifications for commercial loans and past due status for consumer mortgage loans. Non-mortgage consumer loans are evaluated as one segment. On a weekly basis, commercial loan past due reports are reviewed by the credit quality committee to determine if a loan has any potential problems and if a loan should be placed on our internal Watch List report. Additionally, our credit department reviews the majority of our loans for proper internal classification purposes regardless of whether they are past due and segregates any loans with potential problems for further review. The credit department will discuss the potential problem loans with the servicing loan officers to determine any relevant issues that were not discovered in the evaluation. Also, an analysis of loans that is provided through examinations by regulatory authorities is considered in the review process. After the above analysis is completed, we will determine if a loan should be placed on an internal Watch List report because of issues related to the analysis of the credit, credit documents, collateral and/or payment history. Our internal Watch List report is segregated into the following categories: (i) Pass, (ii) Economic Monitoring, (iii) Special Review, (iv) Watch List—Pass, (v) Watch List—Substandard, and (vi) Watch List—Doubtful. The loans placed in the Special Review category and lower rated credits reflect our opinion that the loans reflect potential weakness which require monitoring on a more frequent basis. Credits in those categories are reviewed and discussed on a regular basis, no less frequently than quarterly, with the credit department and the lending staff to determine if a change in category is warranted. The loans placed in the Watch List—Pass category and lower rated credits reflect our opinion that the credit contains weaknesses which represent a greater degree of risk, which warrant “extra attention.” Credits in this category are reviewed and discussed on a regular basis with the credit department and the lending staff to determine if a change in category is warranted. The loans placed in the Watch List—Substandard category are considered to be potentially inadequately protected by the current sound worth and debt service capacity of the borrower or of any pledged collateral. These credit obligations, even if apparently protected by collateral value, have shown defined weaknesses related to adverse financial, managerial, economic, market or political conditions which may jeopardize repayment of principal and interest. Furthermore, there is the possibility that we may sustain some future loss if such weaknesses are not corrected. The loans placed in the Watch List—Doubtful category have shown defined weaknesses and it is likely, based on current information and events, that we will be unable to collect all principal and/or interest amounts contractually due. Watch List—Doubtful loans are placed on non-accrual when they are moved to that category. For the purposes of the ACL, in order to maintain segments with sufficient history for meaningful results, the credits in the Pass and Economic Monitoring categories are aggregated, the credits in the Special Review and Watch List—Pass credits are aggregated, and the credits in the Watch List—Substandard category remain in their own segment. For loans that are classified as Watch List—Doubtful, management evaluates these credits in accordance with ASC 310-10, “Receivables,” and, if deemed necessary, a specific reserve is allocated to the loan. The specific reserve allocated under ASC 310-10, is based on (i) the present value of expected future cash flows discounted at the loan’s effective interest rate; (ii) the loan’s observable market price; or (iii) net realizable value of the fair value of the collateral if the loan is collateral dependent. Substantially all of our loans evaluated as Watch List—Doubtful under ASC 310-10 are measured using the fair value of collateral method. In rare cases, we may use other methods to determine the specific reserve of a loan under ASC 310-10 if such loan is not collateral dependent. Within each collectively evaluated pool, the robustness of the lifetime historical loss-rate is evaluated and, if needed, is supplemented with peer loss rates through a model risk adjustment. Certain qualitative loss factors are then evaluated to incorporate management’s two-year reasonable and supportable forecast period followed by a reversion to the pool’s average lifetime loss-rate. Those qualitative loss factors are: (i) trends in portfolio volume and composition, (ii) volume and trends in classified loans, delinquencies, non-accruals and TDR’s, (iii) concentration risk, (iv) trends in underlying collateral value, (v) changes in policies, procedures, and strategies, and (vi) economic conditions. Qualitative factors also include potential losses stemming from operational risk factors arising from fraud, natural disasters, pandemics and geopolitical events. Should any of the factors considered by management in evaluating the adequacy of the ACL change, our estimate could also change, which could affect the level of future credit loss expense. We have elected to not measure an ACL for accrued interest receivable given our timely approach in identifying and writing off uncollectible accrued interest. An ACL for off-balance sheet exposure is derived from a projected usage rate of any unfunded commitment multiplied by the historical loss rate, plus model risk adjustment, if any, of the on-balance sheet loan pools. Our management continually reviews the ACL of the Subsidiary Banks using the amounts determined from the estimates established on specific doubtful loans, the estimate established on quantitative historical loss percentages, and the estimate based on qualitative current conditions and reasonable and supportable two-year forecasted data. Our methodology reverts to the average lifetime loss-rate beyond the forecast period when we can no longer develop reasonable and supportable forecasts. Should any of the factors considered by management in evaluating the adequacy of the estimate for current expected credit losses change, our estimate of current expected credit losses could also change, which could affect the level of future credit loss expense. While the calculation of our ACL utilizes management’s best judgment and all information reasonably available, the adequacy of the ACL is dependent on a variety of factors beyond our control, including, among other things, the performance of the entire loan portfolio, the economy, government actions, changes in interest rates and the view of regulatory authorities towards loan classifications. A summary of the transactions in the allowance for credit loan losses by loan class is as follows: Three Months Ended June 30, 2022 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at March 31, 2022 $ 23,901 $ 36,372 $ 34,854 $ 3,062 $ 4,016 $ 7,046 $ 264 $ 712 $ 110,227 Losses charged to allowance (2,001) — — — (57) — (34) — (2,092) Recoveries credited to allowance 508 1 6 — 168 14 5 — 702 Net (losses) recoveries charged to allowance (1,493) 1 6 — 111 14 (29) — (1,390) Credit loss expense 3,169 340 410 (206) 10 (166) 35 143 3,735 Balance at June 30, 2022 $ 25,577 $ 36,713 $ 35,270 $ 2,856 $ 4,137 $ 6,894 $ 270 $ 855 $ 112,572 Three Months Ended June 30, 2021 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at March 31, 2021 $ 22,163 $ 34,406 $ 32,203 $ 5,935 $ 3,917 $ 8,736 $ 279 $ 769 $ 108,408 Losses charged to allowance (1,655) — — — (117) (21) (55) — (1,848) Recoveries credited to allowance 498 — 7 — 24 37 11 — 577 Net (losses) recoveries charged to allowance (1,157) — 7 — (93) 16 (44) — (1,271) Credit loss expense 2,057 (803) 2,028 (1,729) 92 (556) 33 22 1,144 Balance at June 30, 2021 $ 23,063 $ 33,603 $ 34,238 $ 4,206 $ 3,916 $ 8,196 $ 268 $ 791 $ 108,281 Six Months Ended June 30, 2022 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at December 31, 2021 $ 23,178 $ 35,390 $ 35,654 $ 3,291 $ 4,073 $ 7,754 $ 272 $ 762 $ 110,374 Losses charged to allowance (4,113) (2) — — (156) (28) (122) — (4,421) Recoveries credited to allowance 1,110 3 14 — 198 62 16 — 1,403 Net (losses) recoveries charged to allowance (3,003) 1 14 — 42 34 (106) — (3,018) Credit loss expense 5,402 1,322 (398) (435) 22 (894) 104 93 5,216 Balance at June 30, 2022 $ 25,577 $ 36,713 $ 35,270 $ 2,856 $ 4,137 $ 6,894 $ 270 $ 855 $ 112,572 Six Months Ended June 30, 2021 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at December 31, 2020 $ 21,908 $ 37,612 $ 30,000 $ 5,051 $ 3,874 $ 9,570 $ 291 $ 753 $ 109,059 Losses charged to allowance (3,548) — (356) — (189) (21) (87) — (4,201) Recoveries credited to allowance 956 — 19 — 35 58 19 — 1,087 Net (losses) recoveries charged to allowance (2,592) — (337) — (154) 37 (68) — (3,114) Credit loss expense 3,747 (4,009) 4,575 (845) 196 (1,411) 45 38 2,336 Balance at June 30, 2021 $ 23,063 $ 33,603 $ 34,238 $ 4,206 $ 3,916 $ 8,196 $ 268 $ 791 $ 108,281 The pool specific qualitative loss factors management deemed appropriate for the ACL calculation at December 31, 2021 remained constant in the June 30, 2022 ACL calculation. The table below provides additional information on the balance of loans individually or collectively evaluated for impairment and their related allowance, by loan class as of June 30, 2022 and December 31, 2021: June 30, 2022 Loans Individually Loans Collectively Evaluated For Evaluated For Impairment Impairment Recorded Recorded Investment Allowance Investment Allowance (Dollars in Thousands) Domestic Commercial $ 238 $ — $ 1,475,126 $ 25,577 Commercial real estate: other construction & land development 564 70 1,732,670 36,643 Commercial real estate: farmland & commercial 333 — 2,542,421 35,270 Commercial real estate: multifamily 123 — 233,822 2,856 Residential: first lien 83 — 405,303 4,137 Residential: junior lien — — 437,356 6,894 Consumer — — 40,815 270 Foreign — — 158,275 855 Total $ 1,341 $ 70 $ 7,025,788 $ 112,502 December 31, 2021 Loans Individually Loans Collectively Evaluated For Evaluated For Impairment Impairment Recorded Recorded Investment Allowance Investment Allowance (Dollars in Thousands) Domestic Commercial $ 298 $ 29 $ 1,501,554 $ 23,149 Commercial real estate: other construction & land development 589 70 1,667,524 35,320 Commercial real estate: farmland & commercial 562 — 2,710,494 35,654 Commercial real estate: multifamily 131 — 284,405 3,291 Residential: first lien 87 — 403,571 4,073 Residential: junior lien — — 464,173 7,754 Consumer — — 40,966 272 Foreign — — 134,797 762 Total $ 1,667 $ 99 $ 7,207,484 $ 110,275 The table below provides additional information on loans accounted for on a non-accrual basis by loan class at June 30, 2022 and December 31, 2021: June 30, 2022 December 31, 2021 (Dollars in Thousands) Domestic Commercial $ 238 $ 298 Commercial real estate: other construction & land development 564 589 Commercial real estate: farmland & commercial 333 562 Commercial real estate: multifamily 123 131 Residential: first lien 313 341 Total non-accrual loans $ 1,571 $ 1,921 The following table details loans accounted for as “troubled debt restructuring,” segregated by loan class. Loans accounted for as troubled debt restructuring are included in Watch List—Doubtful loans. June 30, 2022 December 31, 2021 (Dollars in Thousands) Domestic Residential: first lien $ 1,670 $ 2,254 Residential: junior lien 103 105 Consumer 763 878 Foreign 59 16 Total troubled debt restructuring $ 2,595 $ 3,253 We have worked with our customers affected by the prolonged economic crisis arising from COVID-19. We have offered and are prepared to continue to offer assistance in accordance with regulatory guidance. That includes continuously reaching out to our customers and, in some cases, offering deferral plans. As of August 2, 2022, we had approximately in loans with some degree of payment deferrals in our system. In accordance with interagency regulatory guidance, these short-term deferrals are not considered troubled debt restructurings. The is comprised primarily of loans related to industries that have been significantly impacted by the COVID-19 pandemic, including the hospitality sector and special use facilities. With the passage of the Paycheck Protection Program (“PPP”), administered by the Small Business Association (“SBA”), we assisted our customers with applications for loans through the PPP. PPP loans earn interest at term; however, PPP loans also include forgiveness provisions that we expect most customers will utilize. Customers began submitting applications for the forgiveness program in the third quarter of 2020. PPP loans were intended to support up to weeks of payroll and certain other costs to help those businesses remain viable and allow their employees to pay their bills. As of August 1, 2022, we had outstanding. The PPP loans are fully guaranteed by the U.S. government through the SBA. The Subsidiary Banks charge-off that portion of any loan which management considers to represent a loss as well as that portion of any other loan which is classified as a “loss” by bank examiners. Commercial and industrial or real estate loans are generally considered by management to represent a loss, in whole or part, when an exposure beyond any collateral coverage is apparent and when no further collection of the loss portion is anticipated based on the borrower’s financial condition and general economic conditions in the borrower’s industry. Generally, unsecured consumer loans are charged-off when While our management believes that it is generally able to identify borrowers with financial problems reasonably early and to monitor credit extended to such borrowers carefully, there is no precise method of predicting loan losses. The determination that a loan is likely to be uncollectible and that it should be wholly or partially charged-off as a loss is an exercise of judgment. Similarly, the determination of the adequacy of the ACL can be made only on a subjective basis. It is the judgment of our management that the ACL at June 30, 2022 was adequate to absorb probable losses from loans in the portfolio at that date. The following tables present information regarding the aging of past due loans by loan class at June 30, 2022 and December 31, 2021: June 30, 2022 90 Days or Total 30 - 59 60 - 89 90 Days or greater & Past Total Days Days Greater still accruing Due Current Portfolio (Dollars in Thousands) Domestic Commercial $ 3,498 $ 440 $ 101 $ 68 $ 4,039 $ 1,471,325 $ 1,475,364 Commercial real estate: other construction & land development 8,133 30,203 499 34 38,835 1,694,399 1,733,234 Commercial real estate: farmland & commercial 8,253 420 1,647 1,314 10,320 2,532,434 2,542,754 Commercial real estate: multifamily 72 123 — — 195 233,750 233,945 Residential: first lien 2,035 696 5,596 5,452 8,327 397,059 405,386 Residential: junior lien 525 277 1,328 1,328 2,130 435,226 437,356 Consumer 260 78 18 18 356 40,459 40,815 Foreign 286 123 16 16 425 157,850 158,275 Total past due loans $ 23,062 $ 32,360 $ 9,205 $ 8,230 $ 64,627 $ 6,962,502 $ 7,027,129 December 31, 2021 90 Days or Total 30 - 59 60 - 89 90 Days or greater & Past Total Days Days Greater still accruing Due Current Portfolio (Dollars in Thousands) Domestic Commercial $ 2,534 $ 303 $ 577 $ 577 $ 3,414 $ 1,498,438 $ 1,501,852 Commercial real estate: other construction & land development 499 334 188 188 1,021 1,667,092 1,668,113 Commercial real estate: farmland & commercial 18,164 172 644 307 18,980 2,692,076 2,711,056 Commercial real estate: multifamily — — — — — 284,536 284,536 Residential: first lien 2,342 1,212 5,129 4,937 8,683 394,975 403,658 Residential: junior lien 747 115 1,055 1,055 1,917 462,256 464,173 Consumer 231 88 4 4 323 40,643 40,966 Foreign 1,319 232 1,574 1,574 3,125 131,672 134,797 Total past due loans $ 25,836 $ 2,456 $ 9,171 $ 8,642 $ 37,463 $ 7,171,688 $ 7,209,151 The increase in Commercial real estate – other construction and land development loans past due 60 – 89 days at June 30, 2022 can be primarily attributed to a relationship secured by a commercial property used in the production of soft drinks that matured and is in the process of being renewed. A summary of the loan portfolio by credit quality indicator by loan class and by year of origination at June 30, 2022 and December 31, 2021 is presented below: 2022 2021 2020 2019 2018 Prior Total (Dollars in Thousands) Balance at June 30, 2022 Domestic Commercial Pass $ 357,293 $ 820,154 $ 124,285 $ 53,239 $ 49,922 $ 32,410 $ 1,437,303 Special Review 81 537 — 58 — — 676 Watch List - Pass 3,002 — — 743 — — 3,745 Watch List - Substandard 30,023 3,067 258 — 54 — 33,402 Watch List - Doubtful — 179 32 — — 27 238 Total Commercial $ 390,399 $ 823,937 $ 124,575 $ 54,040 $ 49,976 $ 32,437 $ 1,475,364 Commercial real estate: other construction & land development Pass $ 388,540 $ 847,686 $ 204,559 $ 221,348 $ 33,028 $ 14,199 $ 1,709,360 Special Review — — — 210 — — 210 Watch List - Substandard — — 23,100 — — — 23,100 Watch List - Doubtful — 465 99 — — — 564 Total Commercial real estate: other construction & land development $ 388,540 $ 848,151 $ 227,758 $ 221,558 $ 33,028 $ 14,199 $ 1,733,234 Commercial real estate: farmland & commercial Pass $ 378,503 $ 693,221 $ 585,581 $ 258,592 $ 373,049 $ 129,821 $ 2,418,767 Special Review 233 670 863 — — 1 1,767 Watch List - Pass 17,242 257 — 3,218 — — 20,717 Watch List - Substandard 34,662 — 63,646 553 — 2,309 101,170 Watch List - Doubtful — — — 333 — — 333 Total Commercial real estate: farmland & commercial $ 430,640 $ 694,148 $ 650,090 $ 262,696 $ 373,049 $ 132,131 $ 2,542,754 Commercial real estate: multifamily Pass $ 46,317 $ 90,621 $ 60,405 $ 12,523 $ 6,529 $ 17,427 $ 233,822 Watch List - Doubtful — — 123 — — — 123 Total Commercial real estate: multifamily $ 46,317 $ 90,621 $ 60,528 $ 12,523 $ 6,529 $ 17,427 $ 233,945 Residential: first lien Pass $ 88,520 $ 86,918 $ 54,395 $ 44,902 $ 37,259 $ 92,776 $ 404,770 Watch List - Substandard 100 433 — — — — 533 Watch List - Doubtful — — 83 — — — 83 Total Residential: first lien $ 88,620 $ 87,351 $ 54,478 $ 44,902 $ 37,259 $ 92,776 $ 405,386 Residential: junior lien Pass $ 48,374 $ 119,846 $ 102,124 $ 45,454 $ 24,213 $ 97,345 $ 437,356 Total Residential: junior lien $ 48,374 $ 119,846 $ 102,124 $ 45,454 $ 24,213 $ 97,345 $ 437,356 Residential: junior lien Consumer Pass $ 19,081 $ 17,005 $ 2,274 $ 740 $ 65 $ 1,650 $ 40,815 Total Consumer $ 19,081 $ 17,005 $ 2,274 $ 740 $ 65 $ 1,650 $ 40,815 Foreign Pass $ 85,738 $ 50,331 $ 6,787 $ 5,513 $ 5,614 $ 4,292 $ 158,275 Total Foreign $ 85,738 $ 50,331 $ 6,787 $ 5,513 $ 5,614 $ 4,292 $ 158,275 Total Loans $ 1,497,709 $ 2,731,390 $ 1,228,614 $ 647,426 $ 529,733 $ 392,257 $ 7,027,129 2021 2020 2019 2018 2017 Prior Total (Dollars in Thousands) Balance at December 31, 2021 Domestic Commercial Pass $ 1,041,763 $ 167,691 $ 77,579 $ 58,439 $ 37,104 $ 5,144 $ 1,387,720 Special Review 74,559 497 139 81 — — 75,276 Watch List - Pass 33,920 — — — — 10 33,930 Watch List - Substandard 3,581 273 716 57 — 1 4,628 Watch List - Doubtful 224 — — — 74 — 298 Total Commercial $ 1,154,047 $ 168,461 $ 78,434 $ 58,577 $ 37,178 $ 5,155 $ 1,501,852 Commercial Commercial real estate: other construction & land development Pass $ 966,946 $ 312,389 $ 308,673 $ 37,124 $ 16,642 $ 2,439 $ 1,644,213 Special Review — — 211 — — — 211 Watch List - Pass — 23,100 — — — — 23,100 Watch List - Doubtful 485 104 — — — — 589 Total Commercial real estate: other construction & land development $ 967,431 $ 335,593 $ 308,884 $ 37,124 $ 16,642 $ 2,439 $ 1,668,113 Commercial real estate: farmland & commercial Pass $ 1,001,335 $ 680,777 $ 288,333 $ 417,353 $ 96,096 $ 97,119 $ 2,581,013 Special Review 929 1,292 — 3,448 61 — 5,730 Watch List - Pass 18,790 44,059 — — 94 1 62,944 Watch List - Substandard — 54,097 3,899 — 2,355 456 60,807 Watch List - Doubtful — 224 337 — — 1 562 Total Commercial real estate: farmland & commercial $ 1,021,054 $ 780,449 $ 292,569 $ 420,801 $ 98,606 $ 97,577 $ 2,711,056 Commercial real estate: multifamily Pass $ 133,152 $ 40,766 $ 78,609 $ 10,632 $ 14,217 $ 7,029 $ 284,405 Watch List - Doubtful — 131 — — — — 131 Total Commercial real estate: multifamily $ 133,152 $ 40,897 $ 78,609 $ 10,632 $ 14,217 $ 7,029 $ 284,536 Residential: first lien Pass $ 128,742 $ 52,725 $ 57,249 $ 49,259 $ 29,477 $ 85,838 $ 403,290 Watch List - Substandard 56 — 103 — 122 — 281 Watch List - Doubtful — 87 — — — — 87 Total Residential: first lien $ 128,798 $ 52,812 $ 57,352 $ 49,259 $ 29,599 $ 85,838 $ 403,658 Residential: junior lien Pass $ 130,629 $ 123,062 $ 59,113 $ 30,603 $ 40,855 $ 79,911 $ 464,173 Total Residential: junior lien $ 130,629 $ 123,062 $ 59,113 $ 30,603 $ 40,855 $ 79,911 $ 464,173 Consumer Pass $ 32,053 $ 5,693 $ 1,370 $ 189 $ 9 $ 1,652 $ 40,966 Total Consumer $ 32,053 $ 5,693 $ 1,370 $ 189 $ 9 $ 1,652 $ 40,966 Foreign Pass $ 74,811 $ 33,360 $ 9,223 $ 8,852 $ 4,790 $ 3,761 $ 134,797 Total Foreign $ 74,811 $ 33,360 $ 9,223 $ 8,852 $ 4,790 $ 3,761 $ 134,797 Total Loans $ 3,641,975 $ 1,540,327 $ 885,554 $ 616,037 $ 241,896 $ 283,362 $ 7,209,151 The decrease in Commercial Special Review loans at June 30, 2022 compared to December 31, 2021 can be primarily attributed to a relationship in the oil and gas production industry that was upgraded to Pass. The decrease in Commercial Watch-List Pass loans at June 30, 2022 compared to December 31, 2021 can be primarily attributed to a relationship in energy production that was downgraded to Watch-List Substandard. The decrease in Commercial real estate: farmland & commercial Watch-List Pass loans can be primarily attributed to a relationship securing commercial property that was downgraded to Watch-List Substandard. |
Stock Options
Stock Options | 6 Months Ended |
Jun. 30, 2022 | |
Stock Options | |
Stock Options | Note 5 — Stock Options On April 5, 2012, the Board of Directors adopted the 2012 International Bancshares Corporation Stock Option Plan (the “2012 Plan”). There are 800,000 shares of common stock available for stock option grants under the 2012 Plan, which may be qualified incentive stock options (“ISOs”) or non-qualified stock options. Options granted may be exercisable for a period of up to 10 years from the date of grant, excluding ISOs granted to 10% shareholders, which may be exercisable for a period of up to only five years . On April 4, 2022 the 2012 plan expired and was not renewed. On April 18, 2022, the Board of Directors adopted the 2022 International Bancshares Corporation Stock Appreciation Rights Plan (the “SAR Plan”). There are shares of underlying common stock that may be used for stock appreciation rights (“SAR”) grants under the plan, however, no actual shares will be granted. Upon exercise the SAR will be settled in cash. SARs granted may be exercisable for a period of up to from the date of grant. A summary of option activity under the stock option plan for the six months ended June 30, 2022 is as follows: Weighted Weighted average average remaining Aggregate Number of exercise contractual intrinsic options price term (years) value ($) (in Thousands) Options outstanding at December 31, 2021 520,551 $ 28.28 Plus: Options granted 31,150 38.92 Less: Options exercised 17,437 22.27 Options expired — — Options forfeited 7,650 32.89 Options outstanding at June 30, 2022 526,614 29.04 4.36 $ 5,812 Options fully vested and exercisable at June 30, 2022 302,669 $ 24.70 2.59 $ 4,656 Stock-based compensation expense included in the consolidated statements of income for the three and six months ended June 30, 2022 was $108,000 and $229,000 , respectively. Stock-based compensation expense included in the consolidated statements of income for the three and six months ended June 30, 2021 was respectively. As of June 30, 2022, there was approximately |
Investment Securities, Equity S
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments | 6 Months Ended |
Jun. 30, 2022 | |
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments | |
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments | Note 6 — Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments We classify debt securities into one of three categories: held-to-maturity, available-for-sale, or trading. Such debt securities are reassessed for appropriate classification at each reporting date. Securities classified as “held-to-maturity” are carried at amortized cost for financial statement reporting, while securities classified as “available-for-sale” and “trading” are carried at their fair value. Unrealized holding gains and losses are included in net income for those securities classified as “trading,” while unrealized holding gains and losses related to those securities classified as “available-for-sale” are excluded from net income and reported net of tax as other comprehensive income (loss) and accumulated other comprehensive income (loss) until realized, or in the case of losses, when deemed other than temporary. Available-for-sale and held-to-maturity debt securities in an unrealized loss position are evaluated for the underlying cause of the loss. In the event that the deterioration in value is attributable to credit related reasons, then the amount of credit-related impairment will be recorded as a charge to our ACL with subsequent changes in the amount of impairment, up or down, also recorded through our ACL. We have evaluated the debt securities classified as available-for-sale and held-to-maturity at June 30, 2022 and have determined that no debt securities in an unrealized loss position are arising from credit related reasons and have therefore not recorded any allowances for debt securities in our ACL for the period. Unrealized gains and losses related to equity securities with readily determinable fair values are included in net income. The amortized cost and estimated fair value by type of investment security at June 30, 2022 are as follows: Held to Maturity Gross Gross Amortized unrealized unrealized Estimated Carrying cost gains losses fair value value (Dollars in Thousands) Other securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Total investment securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Available for Sale Debt Securities Gross Gross Amortized unrealized unrealized Estimated Carrying cost gains losses fair value value (1) (Dollars in Thousands) U.S. Treasury securities $ 49,314 $ — $ (363) $ 48,951 $ 48,951 Residential mortgage-backed securities 4,557,327 423 (353,819) 4,203,931 4,203,931 Obligations of states and political subdivisions 41,390 261 (173) 41,478 41,478 Total investment securities $ 4,648,031 $ 684 $ (354,355) $ 4,294,360 $ 4,294,360 (1) Included in the carrying value of residential mortgage-backed securities are $680,229 of mortgage-backed securities issued by Ginnie Mae and $3,523,702 of mortgage-backed securities issued by Fannie Mae and Freddie Mac. The amortized cost and estimated fair value by type of investment security at December 31, 2021 are as follows: Held to Maturity Gross Gross Amortized unrealized unrealized Estimated Carrying cost gains losses fair value value (Dollars in Thousands) Other securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Total investment securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Available for Sale Gross Gross Estimated Amortized unrealized unrealized fair Carrying cost gains losses value value (1) (Dollars in Thousands) Residential mortgage-backed securities $ 4,213,441 $ 14,159 $ (58,237) $ 4,169,363 $ 4,169,363 Obligations of states and political subdivisions 41,519 3,038 — 44,557 44,557 Total investment securities $ 4,254,960 $ 17,197 $ (58,237) $ 4,213,920 $ 4,213,920 (1) Included in the carrying value of residential mortgage-backed securities are $824,474 of mortgage-backed securities issued by Ginnie Mae and $3,344,899 of mortgage-backed securities issued by Fannie Mae and Freddie. The amortized cost and estimated fair value of investment securities at June 30, 2022, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to prepay obligations with or without prepayment penalties. Held to Maturity Available for Sale Amortized Estimated Amortized Estimated Cost fair value Cost fair value (Dollars in Thousands) Due in one year or less $ 1,325 $ 1,325 $ — $ — Due after one year through five years 2,075 2,075 49,314 48,951 Due after ten years — — 41,390 41,478 Residential mortgage-backed securities — — 4,557,327 4,203,931 Total investment securities $ 3,400 $ 3,400 $ 4,648,031 $ 4,294,360 Residential mortgage-backed securities are securities primarily issued by the Federal Home Loan Mortgage Corporation (“Freddie Mac”), Federal National Mortgage Association (“Fannie Mae”), or the Government National Mortgage Association (“Ginnie Mae”). Investments in residential mortgage-backed securities issued by Ginnie Mae are fully guaranteed by the U.S. Government. Investments in residential mortgage-backed securities issued by Freddie Mac and Fannie Mae are not fully guaranteed by the U.S. Government, however, we believe that the quality of the bonds is similar to other AAA rated bonds with limited credit risk, particularly given the placement of Fannie Mae and Freddie Mac into conservatorship by the federal government in early September 2008 and because securities issued by others that are collateralized by residential mortgage-backed securities issued by Fannie Mae or Freddie Mac are rated consistently as AAA rated securities. The amortized cost and fair value of available-for-sale debt investment securities pledged to qualify for fiduciary powers, to secure public monies as required by law, repurchase agreements and short-term fixed borrowings was $1,557,395,000 and $1,410,743,000, respectively, at June 30, 2022. Proceeds from the sale and calls of debt securities available-for-sale were $0 and $0 for the three and six months ended June 30, 2022, which included $0 and $0 of mortgage-backed securities. Gross gains of $0 and $0 and gross losses of $0 and $0 were realized on the sales and calls for the three and six months ended June 30, 2022. Proceeds from the sale and call of debt securities available-for-sale were of mortgage-backed securities. Gross gains of Gross unrealized losses on debt investment securities and the fair value of the related securities, aggregated by investment category and length of time that individual debt securities have been in a continuous unrealized loss position at June 30, 2022, were as follows: Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (Dollars in Thousands) Available for sale: U.S. Treasury securities $ 48,951 $ (363) $ — $ — $ 48,951 $ (363) Residential mortgage-backed securities 2,892,440 (254,453) 1,029,269 (99,366) 3,921,709 (353,819) Obligations of states and political subdivisions 19,489 (173) — — 19,489 (173) $ 2,960,880 $ (254,989) $ 1,029,269 $ (99,366) $ 3,990,149 $ (354,355) Gross unrealized losses on investment securities and the fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2021 were as follows: Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (Dollars in Thousands) Available for sale: Residential mortgage-backed securities $ 3,037,188 $ (53,060) $ 423,733 $ (5,177) $ 3,460,921 $ (58,237) $ 3,037,188 $ (53,060) $ 423,733 $ (5,177) $ 3,460,921 $ (58,237) The unrealized losses on investments in residential mortgage-backed securities are primarily caused by changes in market interest rates. We have no intent to sell and will more than likely not be required to sell before a market price recovery or maturity of the securities; therefore, it is our conclusion that the investments in residential mortgage-backed securities issued by Freddie Mac, Fannie Mae and Ginnie Mae are not considered other-than-temporarily impaired. Equity securities with readily determinable fair values consist primarily of Community Reinvestment Act funds. At June 30, 2022 and December 31, 2021, the balance in equity securities with readily determinable fair values recorded at fair value were , respectively. The following is a summary of unrealized and realized gains and losses recognized in net income on equity securities during the three and six months ended June 30, 2022 and the three and six months ended June 30, 2021: Three Months Ended June 30, 2022 (Dollars in Thousands) Net losses recognized during the period on equity securities $ (229) Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (229) Six Months Ended June 30, 2022 (Dollars in Thousands) Net losses recognized during the period on equity securities $ (498) Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (498) Three Months Ended June 30, 2021 (Dollars in Thousands) Net gains recognized during the period on equity securities $ 11 Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ 11 Six Months Ended June 30, 2021 (Dollars in Thousands) Net losses recognized during the period on equity securities $ (65) Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (65) Other investments include equity and merchant banking investments held by our subsidiary banks and non-banking entities. We hold ownership interests in limited partnerships for the purpose of investing in low-income housing tax credit (“LIHTC”) projects. The partnerships may acquire, construct or rehabilitate housing for low- and moderate-income individuals. We realize a return primarily from federal tax credits and other federal tax deductions associated with the underlying projects. We are a limited partner in the partnerships, and not required to consolidate the entities in our consolidated financial statements. Investments in LIHTC projects totaled at December 31, 2021, and are included in other investments on the consolidated financial statements. Unfunded commitments to LIHTC projects totaled |
Other Borrowed Funds
Other Borrowed Funds | 6 Months Ended |
Jun. 30, 2022 | |
Other Borrowed Funds | |
Other Borrowed Funds | Note 7 — Other Borrowed Funds Other borrowed funds include FHLB borrowings, which are short-term and long-term borrowings issued by the FHLB of Dallas and the FHLB of Topeka at the market price offered at the time of funding. These borrowings are secured by residential mortgage-backed investment securities and a portion of our loan portfolio. At June 30, 2022, other borrowed funds totaled |
Junior Subordinated Deferrable
Junior Subordinated Deferrable Interest Debentures | 6 Months Ended |
Jun. 30, 2022 | |
Junior Subordinated Deferrable Interest Debentures | |
Junior Subordinated Interest Deferrable Debentures | Note 8 — Junior Subordinated Interest Deferrable Debentures As of June 30, 2022, we have five statutory business trusts under the laws of the State of Delaware, for the purpose of issuing trust preferred securities. The five statutory business trusts we formed (the “Trusts”) have each issued Capital and Common Securities and invested the proceeds thereof in an equivalent amount of junior subordinated debentures (“Debentures”) that we issued. As of June 30, 2022 and December 31, 2021, the principal amount of Debentures outstanding totaled $134,642,000. The Debentures are subordinated and junior in right of payment to all present and future senior indebtedness (as defined in the respective Indentures) and are pari passu Common Securities issued by the Trusts. We have fully and unconditionally guaranteed the obligations of each of the Trusts with respect to the Capital and Common Securities. We have the right, unless an Event of Default (as defined in the Indentures) has occurred and is continuing, to defer payment of interest on the Debentures for up to twenty consecutive quarterly periods on Trusts VIII, IX, X, XI and XII. If interest payments on any of the Debentures are deferred, distributions on both the Capital and Common Securities related to that Debenture would also be deferred. The redemption prior to maturity of any of the Debentures may require the prior approval of the Federal Reserve and/or other regulatory bodies. For financial reporting purposes, the Trusts are treated as our investments and not consolidated in our consolidated financial statements. Although the Capital and Common Securities issued by each of the Trusts are not included as a component of shareholders’ equity on the consolidated statement of condition, the Capital and Common Securities are treated as capital for regulatory purposes. Specifically, under applicable regulatory guidelines, the Capital and Common Securities issued by the Trusts qualify as Tier 1 capital up to a maximum of of Tier 1 capital on an aggregate basis. Any amount that exceeds the threshold would qualify as Tier 2 capital. At June 30, 2022 and December 31, 2021, the total $ The following table illustrates key information about each of the Capital and Common Securities and their interest rate at June 30, 2022: Junior Subordinated Deferrable Interest Repricing Interest Interest Optional Debentures Frequency Rate Rate Index(1) Maturity Date Redemption Date (1) (Dollars in Thousands) Trust VIII $ 25,774 Quarterly 4.09 % LIBOR + 3.05 October 2033 October 2008 Trust IX 41,238 Quarterly 2.59 % LIBOR + 1.62 October 2036 October 2011 Trust X 21,021 Quarterly 2.94 % LIBOR + 1.65 February 2037 February 2012 Trust XI 25,990 Quarterly 2.59 % LIBOR + 1.62 July 2037 July 2012 Trust XII 20,619 Quarterly 3.05 % LIBOR + 1.45 September 2037 September 2012 $ 134,642 (1) The Capital and Common Securities may be redeemed in whole or in part on any interest payment date after the Optional Redemption Date. |
Common Stock and Dividends
Common Stock and Dividends | 6 Months Ended |
Jun. 30, 2022 | |
Common Stock and Dividends | |
Common Stock and Dividends | Note 9 — Common Stock and Dividends We paid cash dividends of $.60 per share on February 28, 2022 to record holders of our common stock on February 15, 2022. We paid cash dividends of on February 17, 2021, to record holders of our common Stock on February 5, 2021. In April 2009, the Board of Directors re-established a formal stock repurchase program that authorized the repurchase of up to $40 million of common stock within the following 12 months . Annually since then, including on February 23, 2022, the Board of Directors extended and increased the repurchase program to purchase up to 13,435,377 shares had been repurchased under all programs at a cost of $403,680,000. We are not obligated to purchase shares under our stock repurchase program outside of its Rule 10b5-1 trading plan. |
Commitments and Contingent Liab
Commitments and Contingent Liabilities and Other Tax Matters | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingent Liabilities and Other Tax Matters | |
Commitments and Contingent Liabilities and Other Tax Matters | Note 10 — Commitments and Contingent Liabilities and Other Tax Matters We are involved in various legal proceedings that are in various stages of litigation. We have determined, based on discussions with its counsel, that any material loss in such actions, individually or in the aggregate, is remote or the damages sought, even if fully recovered, would not be considered material to our consolidated financial position or results of operations. However, many of these matters are in various stages of proceedings and further developments could cause management to revise its assessment of these matters. |
Capital Ratios
Capital Ratios | 6 Months Ended |
Jun. 30, 2022 | |
Capital Ratios | |
Capital Ratios | Note 11 — Capital Ratios Banks and bank holding companies are subject to various regulatory capital requirements administered by state and federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amount and classifications are also subject to qualitative judgements by regulators about components, risk-weighting and other factors. In July 2013, the Federal Deposit Insurance Corporation (“FDIC”) and other regulatory bodies established a new, comprehensive capital framework for U.S. banking organizations, consisting of minimum requirements that increase both the quantity and quality of capital held by banking organizations. The final rules are a result of the implementation of the BASEL III capital reforms and various Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd Frank”) related capital provisions. Consistent with the Basel international framework, the rules include a minimum ratio of Common Equity Tier 1 (“CET1”) to risk-weighted assets of 4.5% and a CET1 capital conservation buffer of 2.5% of risk-weighted assets. The capital conservation buffer began phasing-in on January 1, 2016 at .625% and increased each year until January 1, 2019, when we were required to have a 2.5% capital conservation buffer, effectively resulting in a minimum ratio of CET1 capital to risk-weighted assets of at least 7% upon full implementation. The rules also raised the minimum ratio of Tier 1 capital to risk-weighted assets from 4% to 6% and include a minimum leverage ratio of 4% for all banking organizations. Regarding the quality of capital, the rules emphasize CET1 capital and implements strict eligibility criteria for regulatory capital instruments. The rules also improve the methodology for calculating risk-weighted assets to enhance risk sensitivity. The rules were subject to a four-year phase in period for mandatory compliance and we were required to begin to phase in the rules beginning on January 1, 2015. We believe that as of June 30, 2022, we continue to meet all fully phased-in capital adequacy requirements. On November 21, 2017, the OCC, the Federal Reserve and the FDIC finalized a proposed rule that extends the current treatment under the regulatory capital rules for certain regulatory capital deductions and risk weights and certain minority interest requirements, as they apply to banking organizations that are not subject to the advanced approaches capital rules. Effective January 1, 2018, the rule also paused the full transition to the Basel III treatment of mortgage servicing assets, certain deferred tax assets, investments in the capital of unconsolidated financial institutions and minority interests. The agencies are also considering whether to make adjustments to the capital rules in response to CECL (the FASB Standard relating to current expected credit loss) and its potential impact on regulatory capital. On December 7, 2017, the Basel Committee on Banking Supervision unveiled the latest round of its regulatory capital framework, commonly called “Basel IV.” The framework makes changes to the capital framework first introduced as “Basel III” in 2010. The committee targeted 2022-2027 as the timeframe for implementation by regulators in individual countries, including the U.S. federal bank regulatory agencies (after notice and comment). On May 24, 2018, the EGRRCPA was enacted and, among other things, it includes a simplified capital rule change which effectively exempts banks with assets of less than $10 billion that exceed the “community bank leverage ratio,” from all risk-based capital requirements, including Basel III and its predecessors. The federal banking agencies must establish the “community bank leverage ratio” (a ratio of tangible equity to average consolidated assets) between 8% and 10% before community banks can begin to take advantage of this regulatory relief provision. Some of the Subsidiary Banks, with assets of less than $10 billion, may qualify for this exemption. Additionally, under the EGRRCPA, qualified bank holding companies with assets of up to $3 billion (currently $1 billion) will be eligible for the Federal Reserve’s Small Bank Holding Company Policy Statement, which eases limitations on the issuance of debt by holding companies. On August 28, 2018, the Federal Reserve issued an interim final rule expanding the applicability of its Small Bank Holding Company Policy Statement. While holding companies that meet the conditions of the policy statement are excluded from consolidated capital requirements, their depository institutions continue to be subject to minimum capital requirements. Finally, for banks that continue to be subject to the risk-based capital rules of Basel III (e.g., 150%), certain commercial real estate loans that were formally classified as high volatility commercial real estate 31 (“HVCRE”) will not be subject to heightened risk weights if they meet certain criteria. Also, while acquisition, development, and construction (“ADC”) loans will generally be subject to heightened risk weights, certain exceptions will apply. On September 18, 2018, the federal banking agencies issued a proposed rule modifying the agencies’ capital rules for HVCRE. We had a CET1 to risk-weighted assets ratio of 19.96% on June 30, 2022 and 20.47% on December 31, 2021. We had a Tier 1 capital-to-average-total-asset (leverage) ratio of at June 30, 2022 and December 31, 2021, respectively. Our CET1 capital consists of common stock and related surplus, net of treasury stock, and retained earnings. We and our Subsidiary Banks elected to opt-out of the requirement to include most components of accumulated other comprehensive income (loss) in the calculation of CET1 capital. CET1 is reduced by goodwill and other intangible assets, net of associated deferred tax liabilities and subject to transition provisions. Tier 1 capital includes CET1 capital and additional Tier 1 capital. Additional Tier 1 capital includes the Capital and Common Securities issued by the Trusts (see Note 8 above) up to a maximum of of Tier 1 capital on an aggregate basis. Any amount that exceeds the threshold qualifies as Tier 2 capital. As of June 30, 2022, the total of of the Capital and Common Securities outstanding qualified as Tier 1 capital. We actively monitor the regulatory capital ratios to ensure that our Subsidiary Banks are well-capitalized under the regulatory framework. The CET1, Tier 1 and Total capital ratios are calculated by dividing the respective capital amounts by risk-weighted assets. Risk-weighted assets are calculated based on regulatory requirements and include total assets, excluding goodwill and other intangible assets, allocated by risk-weight category, and certain off-balance-sheet items, among other things. The leverage ratio is calculated by dividing Tier 1 capital by adjusted quarterly average total assets, which exclude goodwill and other intangible assets, among other things. We and our Subsidiary Banks are subject to the regulatory capital requirements administered by the Federal Reserve, and, for our Subsidiary Banks, the FDIC. Regulatory authorities can initiate certain mandatory actions if we or any of our Subsidiary Banks fail to meet the minimum capital requirements, which could have a direct material effect on our financial statements. Management believes, as of June 30, 2022, that we and each of our Subsidiary Banks meet all capital adequacy requirements to which we are subject. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Measurements | |
Assets and liabilities measured at fair value on a recurring basis | The following table represents assets and liabilities reported on the consolidated balance sheets at their fair value on a recurring basis as of June 30, 2022 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in Thousands) Quoted Prices in Active Significant Assets/Liabilities Markets for Other Significant Measured at Identical Observable Unobservable Fair Value Assets Inputs Inputs June 30, 2022 (Level 1) (Level 2) (Level 3) Measured on a recurring basis: Assets: Available for sale debt securities U.S. Treasury securities $ 48,951 $ — $ 48,951 $ — Residential mortgage-backed securities 4,203,931 — 4,203,931 — States and political subdivisions 41,478 — 41,478 — Equity Securities 5,581 5,581 — — $ 4,299,941 $ 5,581 $ 4,294,360 $ — The following table represents assets and liabilities reported on the consolidated balance sheets at their fair value on a recurring basis as of December 31, 2021 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in Thousands) Quoted Prices in Active Significant Assets/Liabilities Markets for Other Significant Measured at Identical Observable Unobservable Fair Value Assets Inputs Inputs December 31, 2021 (Level 1) (Level 2) (Level 3) Measured on a recurring basis: Assets: Available for sale securities Residential mortgage - backed securities $ 4,169,363 $ — $ 4,169,363 $ — States and political subdivisions 44,557 — 44,557 — Equity Securities 6,079 6,079 — — $ 4,219,999 $ 6,079 $ 4,213,920 $ — |
Assets measured at fair value on a non-recurring basis | The following table represents financial instruments measured at fair value on a non-recurring basis as of and for the period ended June 30, 2022 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in thousands) Quoted Assets/Liabilities Prices in Measured at Active Significant Fair Value Markets for Other Significant Net Provision Period ended Identical Observable Unobservable (Credit) June 30, Assets Inputs Inputs During 2022 (Level 1) (Level 2) (Level 3) Period Measured on a non-recurring basis: Assets: Watch-List doubtful loans $ 105 $ — $ — $ 105 $ 29 Other real estate owned $ 144 $ — $ — $ 144 $ 16 The following table represents financial instruments measured at fair value on a non-recurring basis as of and for the period ended December 31, 2021 by level within the fair value measurement hierarchy: Fair Value Measurements at Reporting Date Using (in thousands) Quoted Assets/Liabilities Prices in Measured at Active Significant Fair Value Markets Other Significant Net (Credit) Year ended for Identical Observable Unobservable Provision December 31, Assets Inputs Inputs During 2021 (Level 1) (Level 2) (Level 3) Period Measured on a non-recurring basis: Assets: Watch-List doubtful loans $ 55 $ — $ — $ 55 $ 209 Other real estate owned 18,095 — — 18,095 2,655 |
Loans (Tables)
Loans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Loans | |
Summary of loans, by loan type | June 30, December 31, 2022 2021 (Dollars in Thousands) Commercial, financial and agricultural $ 4,252,063 $ 4,497,444 Real estate - mortgage 842,742 867,831 Real estate - construction 1,733,234 1,668,113 Consumer 40,815 40,966 Foreign 158,275 134,797 Total loans $ 7,027,129 $ 7,209,151 |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Allowance for Credit Losses | |
Loans individually or collectively evaluated for their impairment and related allowance, by loan class | Three Months Ended June 30, 2022 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at March 31, 2022 $ 23,901 $ 36,372 $ 34,854 $ 3,062 $ 4,016 $ 7,046 $ 264 $ 712 $ 110,227 Losses charged to allowance (2,001) — — — (57) — (34) — (2,092) Recoveries credited to allowance 508 1 6 — 168 14 5 — 702 Net (losses) recoveries charged to allowance (1,493) 1 6 — 111 14 (29) — (1,390) Credit loss expense 3,169 340 410 (206) 10 (166) 35 143 3,735 Balance at June 30, 2022 $ 25,577 $ 36,713 $ 35,270 $ 2,856 $ 4,137 $ 6,894 $ 270 $ 855 $ 112,572 Three Months Ended June 30, 2021 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at March 31, 2021 $ 22,163 $ 34,406 $ 32,203 $ 5,935 $ 3,917 $ 8,736 $ 279 $ 769 $ 108,408 Losses charged to allowance (1,655) — — — (117) (21) (55) — (1,848) Recoveries credited to allowance 498 — 7 — 24 37 11 — 577 Net (losses) recoveries charged to allowance (1,157) — 7 — (93) 16 (44) — (1,271) Credit loss expense 2,057 (803) 2,028 (1,729) 92 (556) 33 22 1,144 Balance at June 30, 2021 $ 23,063 $ 33,603 $ 34,238 $ 4,206 $ 3,916 $ 8,196 $ 268 $ 791 $ 108,281 Six Months Ended June 30, 2022 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at December 31, 2021 $ 23,178 $ 35,390 $ 35,654 $ 3,291 $ 4,073 $ 7,754 $ 272 $ 762 $ 110,374 Losses charged to allowance (4,113) (2) — — (156) (28) (122) — (4,421) Recoveries credited to allowance 1,110 3 14 — 198 62 16 — 1,403 Net (losses) recoveries charged to allowance (3,003) 1 14 — 42 34 (106) — (3,018) Credit loss expense 5,402 1,322 (398) (435) 22 (894) 104 93 5,216 Balance at June 30, 2022 $ 25,577 $ 36,713 $ 35,270 $ 2,856 $ 4,137 $ 6,894 $ 270 $ 855 $ 112,572 Six Months Ended June 30, 2021 Domestic Foreign Commercial Real Estate: Other Commercial Construction & Real Estate: Commercial Land Farmland & Real Estate: Residential: Residential: Commercial Development Commercial Multifamily First Lien Junior Lien Consumer Foreign Total (Dollars in Thousands) Balance at December 31, 2020 $ 21,908 $ 37,612 $ 30,000 $ 5,051 $ 3,874 $ 9,570 $ 291 $ 753 $ 109,059 Losses charged to allowance (3,548) — (356) — (189) (21) (87) — (4,201) Recoveries credited to allowance 956 — 19 — 35 58 19 — 1,087 Net (losses) recoveries charged to allowance (2,592) — (337) — (154) 37 (68) — (3,114) Credit loss expense 3,747 (4,009) 4,575 (845) 196 (1,411) 45 38 2,336 Balance at June 30, 2021 $ 23,063 $ 33,603 $ 34,238 $ 4,206 $ 3,916 $ 8,196 $ 268 $ 791 $ 108,281 June 30, 2022 Loans Individually Loans Collectively Evaluated For Evaluated For Impairment Impairment Recorded Recorded Investment Allowance Investment Allowance (Dollars in Thousands) Domestic Commercial $ 238 $ — $ 1,475,126 $ 25,577 Commercial real estate: other construction & land development 564 70 1,732,670 36,643 Commercial real estate: farmland & commercial 333 — 2,542,421 35,270 Commercial real estate: multifamily 123 — 233,822 2,856 Residential: first lien 83 — 405,303 4,137 Residential: junior lien — — 437,356 6,894 Consumer — — 40,815 270 Foreign — — 158,275 855 Total $ 1,341 $ 70 $ 7,025,788 $ 112,502 December 31, 2021 Loans Individually Loans Collectively Evaluated For Evaluated For Impairment Impairment Recorded Recorded Investment Allowance Investment Allowance (Dollars in Thousands) Domestic Commercial $ 298 $ 29 $ 1,501,554 $ 23,149 Commercial real estate: other construction & land development 589 70 1,667,524 35,320 Commercial real estate: farmland & commercial 562 — 2,710,494 35,654 Commercial real estate: multifamily 131 — 284,405 3,291 Residential: first lien 87 — 403,571 4,073 Residential: junior lien — — 464,173 7,754 Consumer — — 40,966 272 Foreign — — 134,797 762 Total $ 1,667 $ 99 $ 7,207,484 $ 110,275 |
Loans accounted on non-accrual basis, by loan class | June 30, 2022 December 31, 2021 (Dollars in Thousands) Domestic Commercial $ 238 $ 298 Commercial real estate: other construction & land development 564 589 Commercial real estate: farmland & commercial 333 562 Commercial real estate: multifamily 123 131 Residential: first lien 313 341 Total non-accrual loans $ 1,571 $ 1,921 |
Loans accounted for as trouble debt restructuring, by loan class | June 30, 2022 December 31, 2021 (Dollars in Thousands) Domestic Residential: first lien $ 1,670 $ 2,254 Residential: junior lien 103 105 Consumer 763 878 Foreign 59 16 Total troubled debt restructuring $ 2,595 $ 3,253 |
Information regarding the aging of past due loans, by loan class | June 30, 2022 90 Days or Total 30 - 59 60 - 89 90 Days or greater & Past Total Days Days Greater still accruing Due Current Portfolio (Dollars in Thousands) Domestic Commercial $ 3,498 $ 440 $ 101 $ 68 $ 4,039 $ 1,471,325 $ 1,475,364 Commercial real estate: other construction & land development 8,133 30,203 499 34 38,835 1,694,399 1,733,234 Commercial real estate: farmland & commercial 8,253 420 1,647 1,314 10,320 2,532,434 2,542,754 Commercial real estate: multifamily 72 123 — — 195 233,750 233,945 Residential: first lien 2,035 696 5,596 5,452 8,327 397,059 405,386 Residential: junior lien 525 277 1,328 1,328 2,130 435,226 437,356 Consumer 260 78 18 18 356 40,459 40,815 Foreign 286 123 16 16 425 157,850 158,275 Total past due loans $ 23,062 $ 32,360 $ 9,205 $ 8,230 $ 64,627 $ 6,962,502 $ 7,027,129 December 31, 2021 90 Days or Total 30 - 59 60 - 89 90 Days or greater & Past Total Days Days Greater still accruing Due Current Portfolio (Dollars in Thousands) Domestic Commercial $ 2,534 $ 303 $ 577 $ 577 $ 3,414 $ 1,498,438 $ 1,501,852 Commercial real estate: other construction & land development 499 334 188 188 1,021 1,667,092 1,668,113 Commercial real estate: farmland & commercial 18,164 172 644 307 18,980 2,692,076 2,711,056 Commercial real estate: multifamily — — — — — 284,536 284,536 Residential: first lien 2,342 1,212 5,129 4,937 8,683 394,975 403,658 Residential: junior lien 747 115 1,055 1,055 1,917 462,256 464,173 Consumer 231 88 4 4 323 40,643 40,966 Foreign 1,319 232 1,574 1,574 3,125 131,672 134,797 Total past due loans $ 25,836 $ 2,456 $ 9,171 $ 8,642 $ 37,463 $ 7,171,688 $ 7,209,151 |
Summary of the loan portfolio by credit quality indicator, by loan class | 2022 2021 2020 2019 2018 Prior Total (Dollars in Thousands) Balance at June 30, 2022 Domestic Commercial Pass $ 357,293 $ 820,154 $ 124,285 $ 53,239 $ 49,922 $ 32,410 $ 1,437,303 Special Review 81 537 — 58 — — 676 Watch List - Pass 3,002 — — 743 — — 3,745 Watch List - Substandard 30,023 3,067 258 — 54 — 33,402 Watch List - Doubtful — 179 32 — — 27 238 Total Commercial $ 390,399 $ 823,937 $ 124,575 $ 54,040 $ 49,976 $ 32,437 $ 1,475,364 Commercial real estate: other construction & land development Pass $ 388,540 $ 847,686 $ 204,559 $ 221,348 $ 33,028 $ 14,199 $ 1,709,360 Special Review — — — 210 — — 210 Watch List - Substandard — — 23,100 — — — 23,100 Watch List - Doubtful — 465 99 — — — 564 Total Commercial real estate: other construction & land development $ 388,540 $ 848,151 $ 227,758 $ 221,558 $ 33,028 $ 14,199 $ 1,733,234 Commercial real estate: farmland & commercial Pass $ 378,503 $ 693,221 $ 585,581 $ 258,592 $ 373,049 $ 129,821 $ 2,418,767 Special Review 233 670 863 — — 1 1,767 Watch List - Pass 17,242 257 — 3,218 — — 20,717 Watch List - Substandard 34,662 — 63,646 553 — 2,309 101,170 Watch List - Doubtful — — — 333 — — 333 Total Commercial real estate: farmland & commercial $ 430,640 $ 694,148 $ 650,090 $ 262,696 $ 373,049 $ 132,131 $ 2,542,754 Commercial real estate: multifamily Pass $ 46,317 $ 90,621 $ 60,405 $ 12,523 $ 6,529 $ 17,427 $ 233,822 Watch List - Doubtful — — 123 — — — 123 Total Commercial real estate: multifamily $ 46,317 $ 90,621 $ 60,528 $ 12,523 $ 6,529 $ 17,427 $ 233,945 Residential: first lien Pass $ 88,520 $ 86,918 $ 54,395 $ 44,902 $ 37,259 $ 92,776 $ 404,770 Watch List - Substandard 100 433 — — — — 533 Watch List - Doubtful — — 83 — — — 83 Total Residential: first lien $ 88,620 $ 87,351 $ 54,478 $ 44,902 $ 37,259 $ 92,776 $ 405,386 Residential: junior lien Pass $ 48,374 $ 119,846 $ 102,124 $ 45,454 $ 24,213 $ 97,345 $ 437,356 Total Residential: junior lien $ 48,374 $ 119,846 $ 102,124 $ 45,454 $ 24,213 $ 97,345 $ 437,356 Residential: junior lien Consumer Pass $ 19,081 $ 17,005 $ 2,274 $ 740 $ 65 $ 1,650 $ 40,815 Total Consumer $ 19,081 $ 17,005 $ 2,274 $ 740 $ 65 $ 1,650 $ 40,815 Foreign Pass $ 85,738 $ 50,331 $ 6,787 $ 5,513 $ 5,614 $ 4,292 $ 158,275 Total Foreign $ 85,738 $ 50,331 $ 6,787 $ 5,513 $ 5,614 $ 4,292 $ 158,275 Total Loans $ 1,497,709 $ 2,731,390 $ 1,228,614 $ 647,426 $ 529,733 $ 392,257 $ 7,027,129 2021 2020 2019 2018 2017 Prior Total (Dollars in Thousands) Balance at December 31, 2021 Domestic Commercial Pass $ 1,041,763 $ 167,691 $ 77,579 $ 58,439 $ 37,104 $ 5,144 $ 1,387,720 Special Review 74,559 497 139 81 — — 75,276 Watch List - Pass 33,920 — — — — 10 33,930 Watch List - Substandard 3,581 273 716 57 — 1 4,628 Watch List - Doubtful 224 — — — 74 — 298 Total Commercial $ 1,154,047 $ 168,461 $ 78,434 $ 58,577 $ 37,178 $ 5,155 $ 1,501,852 Commercial Commercial real estate: other construction & land development Pass $ 966,946 $ 312,389 $ 308,673 $ 37,124 $ 16,642 $ 2,439 $ 1,644,213 Special Review — — 211 — — — 211 Watch List - Pass — 23,100 — — — — 23,100 Watch List - Doubtful 485 104 — — — — 589 Total Commercial real estate: other construction & land development $ 967,431 $ 335,593 $ 308,884 $ 37,124 $ 16,642 $ 2,439 $ 1,668,113 Commercial real estate: farmland & commercial Pass $ 1,001,335 $ 680,777 $ 288,333 $ 417,353 $ 96,096 $ 97,119 $ 2,581,013 Special Review 929 1,292 — 3,448 61 — 5,730 Watch List - Pass 18,790 44,059 — — 94 1 62,944 Watch List - Substandard — 54,097 3,899 — 2,355 456 60,807 Watch List - Doubtful — 224 337 — — 1 562 Total Commercial real estate: farmland & commercial $ 1,021,054 $ 780,449 $ 292,569 $ 420,801 $ 98,606 $ 97,577 $ 2,711,056 Commercial real estate: multifamily Pass $ 133,152 $ 40,766 $ 78,609 $ 10,632 $ 14,217 $ 7,029 $ 284,405 Watch List - Doubtful — 131 — — — — 131 Total Commercial real estate: multifamily $ 133,152 $ 40,897 $ 78,609 $ 10,632 $ 14,217 $ 7,029 $ 284,536 Residential: first lien Pass $ 128,742 $ 52,725 $ 57,249 $ 49,259 $ 29,477 $ 85,838 $ 403,290 Watch List - Substandard 56 — 103 — 122 — 281 Watch List - Doubtful — 87 — — — — 87 Total Residential: first lien $ 128,798 $ 52,812 $ 57,352 $ 49,259 $ 29,599 $ 85,838 $ 403,658 Residential: junior lien Pass $ 130,629 $ 123,062 $ 59,113 $ 30,603 $ 40,855 $ 79,911 $ 464,173 Total Residential: junior lien $ 130,629 $ 123,062 $ 59,113 $ 30,603 $ 40,855 $ 79,911 $ 464,173 Consumer Pass $ 32,053 $ 5,693 $ 1,370 $ 189 $ 9 $ 1,652 $ 40,966 Total Consumer $ 32,053 $ 5,693 $ 1,370 $ 189 $ 9 $ 1,652 $ 40,966 Foreign Pass $ 74,811 $ 33,360 $ 9,223 $ 8,852 $ 4,790 $ 3,761 $ 134,797 Total Foreign $ 74,811 $ 33,360 $ 9,223 $ 8,852 $ 4,790 $ 3,761 $ 134,797 Total Loans $ 3,641,975 $ 1,540,327 $ 885,554 $ 616,037 $ 241,896 $ 283,362 $ 7,209,151 |
Stock Options (Tables)
Stock Options (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Stock Options | |
Summary of option activity under stock option plans | Weighted Weighted average average remaining Aggregate Number of exercise contractual intrinsic options price term (years) value ($) (in Thousands) Options outstanding at December 31, 2021 520,551 $ 28.28 Plus: Options granted 31,150 38.92 Less: Options exercised 17,437 22.27 Options expired — — Options forfeited 7,650 32.89 Options outstanding at June 30, 2022 526,614 29.04 4.36 $ 5,812 Options fully vested and exercisable at June 30, 2022 302,669 $ 24.70 2.59 $ 4,656 |
Investment Securities, Equity_2
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments | |
Amortized cost and estimated fair value by type of investment security | The amortized cost and estimated fair value by type of investment security at June 30, 2022 are as follows: Held to Maturity Gross Gross Amortized unrealized unrealized Estimated Carrying cost gains losses fair value value (Dollars in Thousands) Other securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Total investment securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Available for Sale Debt Securities Gross Gross Amortized unrealized unrealized Estimated Carrying cost gains losses fair value value (1) (Dollars in Thousands) U.S. Treasury securities $ 49,314 $ — $ (363) $ 48,951 $ 48,951 Residential mortgage-backed securities 4,557,327 423 (353,819) 4,203,931 4,203,931 Obligations of states and political subdivisions 41,390 261 (173) 41,478 41,478 Total investment securities $ 4,648,031 $ 684 $ (354,355) $ 4,294,360 $ 4,294,360 (1) Included in the carrying value of residential mortgage-backed securities are $680,229 of mortgage-backed securities issued by Ginnie Mae and $3,523,702 of mortgage-backed securities issued by Fannie Mae and Freddie Mac. The amortized cost and estimated fair value by type of investment security at December 31, 2021 are as follows: Held to Maturity Gross Gross Amortized unrealized unrealized Estimated Carrying cost gains losses fair value value (Dollars in Thousands) Other securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Total investment securities $ 3,400 $ — $ — $ 3,400 $ 3,400 Available for Sale Gross Gross Estimated Amortized unrealized unrealized fair Carrying cost gains losses value value (1) (Dollars in Thousands) Residential mortgage-backed securities $ 4,213,441 $ 14,159 $ (58,237) $ 4,169,363 $ 4,169,363 Obligations of states and political subdivisions 41,519 3,038 — 44,557 44,557 Total investment securities $ 4,254,960 $ 17,197 $ (58,237) $ 4,213,920 $ 4,213,920 (1) Included in the carrying value of residential mortgage-backed securities are $824,474 of mortgage-backed securities issued by Ginnie Mae and $3,344,899 of mortgage-backed securities issued by Fannie Mae and Freddie. |
Amortized cost and fair value of investment securities, by contractual maturity | Held to Maturity Available for Sale Amortized Estimated Amortized Estimated Cost fair value Cost fair value (Dollars in Thousands) Due in one year or less $ 1,325 $ 1,325 $ — $ — Due after one year through five years 2,075 2,075 49,314 48,951 Due after ten years — — 41,390 41,478 Residential mortgage-backed securities — — 4,557,327 4,203,931 Total investment securities $ 3,400 $ 3,400 $ 4,648,031 $ 4,294,360 |
Gross unrealized losses on investment securities and the related fair value | Gross unrealized losses on debt investment securities and the fair value of the related securities, aggregated by investment category and length of time that individual debt securities have been in a continuous unrealized loss position at June 30, 2022, were as follows: Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (Dollars in Thousands) Available for sale: U.S. Treasury securities $ 48,951 $ (363) $ — $ — $ 48,951 $ (363) Residential mortgage-backed securities 2,892,440 (254,453) 1,029,269 (99,366) 3,921,709 (353,819) Obligations of states and political subdivisions 19,489 (173) — — 19,489 (173) $ 2,960,880 $ (254,989) $ 1,029,269 $ (99,366) $ 3,990,149 $ (354,355) Gross unrealized losses on investment securities and the fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2021 were as follows: Less than 12 months 12 months or more Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses (Dollars in Thousands) Available for sale: Residential mortgage-backed securities $ 3,037,188 $ (53,060) $ 423,733 $ (5,177) $ 3,460,921 $ (58,237) $ 3,037,188 $ (53,060) $ 423,733 $ (5,177) $ 3,460,921 $ (58,237) |
Summary of unrealized and realized gains and losses recognized in net income on equity securities | Three Months Ended June 30, 2022 (Dollars in Thousands) Net losses recognized during the period on equity securities $ (229) Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (229) Six Months Ended June 30, 2022 (Dollars in Thousands) Net losses recognized during the period on equity securities $ (498) Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (498) Three Months Ended June 30, 2021 (Dollars in Thousands) Net gains recognized during the period on equity securities $ 11 Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ 11 Six Months Ended June 30, 2021 (Dollars in Thousands) Net losses recognized during the period on equity securities $ (65) Less: Net gains and (losses) recognized during the period on equity securities sold during the period — Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (65) |
Junior Subordinated Deferrabl_2
Junior Subordinated Deferrable Interest Debentures (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Junior Subordinated Deferrable Interest Debentures | |
Junior subordinated interest deferrable debentures, major types of business trusts | Junior Subordinated Deferrable Interest Repricing Interest Interest Optional Debentures Frequency Rate Rate Index(1) Maturity Date Redemption Date (1) (Dollars in Thousands) Trust VIII $ 25,774 Quarterly 4.09 % LIBOR + 3.05 October 2033 October 2008 Trust IX 41,238 Quarterly 2.59 % LIBOR + 1.62 October 2036 October 2011 Trust X 21,021 Quarterly 2.94 % LIBOR + 1.65 February 2037 February 2012 Trust XI 25,990 Quarterly 2.59 % LIBOR + 1.62 July 2037 July 2012 Trust XII 20,619 Quarterly 3.05 % LIBOR + 1.45 September 2037 September 2012 $ 134,642 (1) The Capital and Common Securities may be redeemed in whole or in part on any interest payment date after the Optional Redemption Date. |
Basis of Presentation (Details)
Basis of Presentation (Details) | 6 Months Ended |
Jun. 30, 2022 segment subsidiary | |
Basis of Presentation | |
Number of operating segments | segment | 1 |
Number of active operating bank subsidiaries | subsidiary | 5 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value By Level) (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Available for sale debt securities | $ 4,294,360,000 | $ 4,213,920,000 |
Equity Securities | 5,581,000 | 6,079,000 |
Estimate of Fair Value Measurement [Member] | US Treasury Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 48,951,000 | |
Estimate of Fair Value Measurement [Member] | Residential Mortgage Backed Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 4,203,931,000 | 4,169,363,000 |
Estimate of Fair Value Measurement [Member] | States and Political Subdivisions Debt Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 41,478,000 | 44,557,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | ||
Assets: | ||
Equity Securities | 5,581,000 | 6,079,000 |
Marketable Securities | 4,299,941,000 | 4,219,999,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | US Treasury Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 48,951,000 | |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Residential Mortgage Backed Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 4,203,931,000 | 4,169,363,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | States and Political Subdivisions Debt Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 41,478,000 | 44,557,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets: | ||
Equity Securities | 5,581,000 | 6,079,000 |
Marketable Securities | 5,581,000 | 6,079,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets: | ||
Marketable Securities | 4,294,360,000 | 4,213,920,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | US Treasury Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 48,951,000 | |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | Residential Mortgage Backed Securities [Member] | ||
Assets: | ||
Available for sale debt securities | 4,203,931,000 | 4,169,363,000 |
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | States and Political Subdivisions Debt Securities [Member] | ||
Assets: | ||
Available for sale debt securities | $ 41,478,000 | $ 44,557,000 |
Fair Value Measurements (Fair_2
Fair Value Measurements (Fair Value Measurement and Assumptions) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Assumptions used in discounted cash flow model to determine fair value of investments classified within level 3 | |||
Doubtful and Impaired commercial collateral dependent loans | $ 1,030,000 | $ 1,030,000 | $ 993,000 |
Impaired commercial collateral dependent receivables appraisals to determine fair value within immediately preceding twelve months | 0 | 0 | 0 |
Impaired collateral dependent commercial loans with internal evaluation completed within last twelve months | 1,030,000 | 1,030,000 | 896,000 |
Charges to allowance for probable loan losses in connection with other real estate owned | 0 | 0 | 2,000 |
Adjustment to fair value in connection with other real estate owned | 16,000 | 16,000 | 2,655,000 |
Fair Value, Measurements, Nonrecurring [Member] | |||
Assumptions used in discounted cash flow model to determine fair value of investments classified within level 3 | |||
Change in net provision, impaired loans | 29,000 | 29,000 | 209,000 |
Change in net provision, other real estate owned | 16,000 | 16,000 | 2,655,000 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Assets: | |||
Watch-List doubtful loans | 105,000 | 105,000 | 55,000 |
Non-financial assets: | |||
Other real estate owned | 144,000 | 144,000 | 18,095,000 |
Fair Value, Measurements, Nonrecurring [Member] | Estimate of Fair Value Measurement [Member] | |||
Assets: | |||
Watch-List doubtful loans | 105,000 | 105,000 | 55,000 |
Non-financial assets: | |||
Other real estate owned | $ 144,000 | $ 144,000 | $ 18,095,000 |
Fair Value Measurements (Other
Fair Value Measurements (Other Assumptions) (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Deposits | ||
Carrying amount of time deposits | $ 2,180,367,000 | $ 2,188,803,000 |
Fair Value, Inputs, Level 3 [Member] | ||
Loans | ||
Carrying amount of fixed rate performing loans | 1,256,737,000 | 1,363,313,000 |
Estimated fair value of fixed rate performing loans | 1,202,590,000 | 1,323,223,000 |
Deposits | ||
Carrying amount of time deposits | 2,180,367,000 | 2,188,803,000 |
Estimated fair value of time deposits | 2,180,348,000 | 2,186,547,000 |
Fair Value, Inputs, Level 2 [Member] | ||
Other borrowed funds | ||
Carrying amount of the long-term FHLB borrowings | 436,042,000 | 436,138,000 |
Estimated fair value of long-term FHLB borrowings | $ 438,843,000 | $ 455,187,000 |
Loans (Details)
Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Summary of loans, by loan type | ||
Total loans | $ 7,027,129 | $ 7,209,151 |
Commercial, financial and agricultural | ||
Summary of loans, by loan type | ||
Total loans | 4,252,063 | 4,497,444 |
Real estate - mortgage | ||
Summary of loans, by loan type | ||
Total loans | 842,742 | 867,831 |
Obligations of states and political subdivisions | ||
Summary of loans, by loan type | ||
Total loans | 1,733,234 | 1,668,113 |
Consumer | ||
Summary of loans, by loan type | ||
Total loans | 40,815 | 40,966 |
Foreign. | ||
Summary of loans, by loan type | ||
Total loans | $ 158,275 | $ 134,797 |
Allowance for Credit Losses (By
Allowance for Credit Losses (By Loan Class) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | $ 110,227 | $ 108,408 | $ 110,374 | $ 109,059 |
Losses charged to allowance | (2,092) | (1,848) | (4,421) | (4,201) |
Recoveries credited to allowance | 702 | 577 | 1,403 | 1,087 |
Net (losses) recoveries charged to allowance | (1,390) | (1,271) | (3,018) | (3,114) |
Credit loss expense | 3,735 | 1,144 | 5,216 | 2,336 |
Balance at the end of the period | 112,572 | 108,281 | 112,572 | 108,281 |
Commercial, financial and agricultural | Domestic | Commercial. | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 23,901 | 22,163 | 23,178 | 21,908 |
Losses charged to allowance | (2,001) | (1,655) | (4,113) | (3,548) |
Recoveries credited to allowance | 508 | 498 | 1,110 | 956 |
Net (losses) recoveries charged to allowance | (1,493) | (1,157) | (3,003) | (2,592) |
Credit loss expense | 3,169 | 2,057 | 5,402 | 3,747 |
Balance at the end of the period | 25,577 | 23,063 | 25,577 | 23,063 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 34,854 | 32,203 | 35,654 | 30,000 |
Losses charged to allowance | (356) | |||
Recoveries credited to allowance | 6 | 7 | 14 | 19 |
Net (losses) recoveries charged to allowance | 6 | 7 | 14 | (337) |
Credit loss expense | 410 | 2,028 | (398) | 4,575 |
Balance at the end of the period | 35,270 | 34,238 | 35,270 | 34,238 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 3,062 | 5,935 | 3,291 | 5,051 |
Credit loss expense | (206) | (1,729) | (435) | (845) |
Balance at the end of the period | 2,856 | 4,206 | 2,856 | 4,206 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 36,372 | 34,406 | 35,390 | 37,612 |
Losses charged to allowance | (2) | |||
Recoveries credited to allowance | 1 | 3 | ||
Net (losses) recoveries charged to allowance | 1 | 1 | ||
Credit loss expense | 340 | (803) | 1,322 | (4,009) |
Balance at the end of the period | 36,713 | 33,603 | 36,713 | 33,603 |
Real estate - mortgage | Domestic | Residential: first lien | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 4,016 | 3,917 | 4,073 | 3,874 |
Losses charged to allowance | (57) | (117) | (156) | (189) |
Recoveries credited to allowance | 168 | 24 | 198 | 35 |
Net (losses) recoveries charged to allowance | 111 | (93) | 42 | (154) |
Credit loss expense | 10 | 92 | 22 | 196 |
Balance at the end of the period | 4,137 | 3,916 | 4,137 | 3,916 |
Real estate - mortgage | Domestic | Residential Junior Lien | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 7,046 | 8,736 | 7,754 | 9,570 |
Losses charged to allowance | (21) | (28) | (21) | |
Recoveries credited to allowance | 14 | 37 | 62 | 58 |
Net (losses) recoveries charged to allowance | 14 | 16 | 34 | 37 |
Credit loss expense | (166) | (556) | (894) | (1,411) |
Balance at the end of the period | 6,894 | 8,196 | 6,894 | 8,196 |
Consumer | Domestic | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 264 | 279 | 272 | 291 |
Losses charged to allowance | (34) | (55) | (122) | (87) |
Recoveries credited to allowance | 5 | 11 | 16 | 19 |
Net (losses) recoveries charged to allowance | (29) | (44) | (106) | (68) |
Credit loss expense | 35 | 33 | 104 | 45 |
Balance at the end of the period | 270 | 268 | 270 | 268 |
Foreign. | Foreign | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Balance at the beginning of the period | 712 | 769 | 762 | 753 |
Credit loss expense | 143 | 22 | 93 | 38 |
Balance at the end of the period | $ 855 | $ 791 | $ 855 | $ 791 |
Allowance for Credit Losses (Im
Allowance for Credit Losses (Impairment By Loan Class) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Individually Evaluated for Impairment, Recorded Investment | $ 1,341 | $ 1,667 |
Loans Individually Evaluated for Impairment, Allowance | 70 | 99 |
Loans Collectively Evaluated for Impairment, Recorded Investment | 7,025,788 | 7,207,484 |
Loans Collectively Evaluated for Impairment, Allowance | 112,502 | 110,275 |
Commercial, financial and agricultural | Domestic | Commercial. | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Individually Evaluated for Impairment, Recorded Investment | 238 | 298 |
Loans Individually Evaluated for Impairment, Allowance | 29 | |
Loans Collectively Evaluated for Impairment, Recorded Investment | 1,475,126 | 1,501,554 |
Loans Collectively Evaluated for Impairment, Allowance | 25,577 | 23,149 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Individually Evaluated for Impairment, Recorded Investment | 333 | 562 |
Loans Collectively Evaluated for Impairment, Recorded Investment | 2,542,421 | 2,710,494 |
Loans Collectively Evaluated for Impairment, Allowance | 35,270 | 35,654 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Individually Evaluated for Impairment, Recorded Investment | 123 | 131 |
Loans Collectively Evaluated for Impairment, Recorded Investment | 233,822 | 284,405 |
Loans Collectively Evaluated for Impairment, Allowance | 2,856 | 3,291 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Individually Evaluated for Impairment, Recorded Investment | 564 | 589 |
Loans Individually Evaluated for Impairment, Allowance | 70 | 70 |
Loans Collectively Evaluated for Impairment, Recorded Investment | 1,732,670 | 1,667,524 |
Loans Collectively Evaluated for Impairment, Allowance | 36,643 | 35,320 |
Real estate - mortgage | Domestic | Residential: first lien | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Individually Evaluated for Impairment, Recorded Investment | 83 | 87 |
Loans Collectively Evaluated for Impairment, Recorded Investment | 405,303 | 403,571 |
Loans Collectively Evaluated for Impairment, Allowance | 4,137 | 4,073 |
Real estate - mortgage | Domestic | Residential Junior Lien | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Collectively Evaluated for Impairment, Recorded Investment | 437,356 | 464,173 |
Loans Collectively Evaluated for Impairment, Allowance | 6,894 | 7,754 |
Consumer | Domestic | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Collectively Evaluated for Impairment, Recorded Investment | 40,815 | 40,966 |
Loans Collectively Evaluated for Impairment, Allowance | 270 | 272 |
Foreign. | Foreign | ||
Loan loss allowances, impaired financing receivable, evaluated individually or collectively | ||
Loans Collectively Evaluated for Impairment, Recorded Investment | 158,275 | 134,797 |
Loans Collectively Evaluated for Impairment, Allowance | $ 855 | $ 762 |
Allowance for Credit Losses (No
Allowance for Credit Losses (Non-accrual Basis By Loan Class) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Loan loss allowances, financing receivable past due | ||
Non-accrual loans, total | $ 1,571 | $ 1,921 |
Commercial, financial and agricultural | Domestic | Commercial. | ||
Loan loss allowances, financing receivable past due | ||
Non-accrual loans, total | 238 | 298 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | ||
Loan loss allowances, financing receivable past due | ||
Non-accrual loans, total | 333 | 562 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | ||
Loan loss allowances, financing receivable past due | ||
Non-accrual loans, total | 123 | 131 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | ||
Loan loss allowances, financing receivable past due | ||
Non-accrual loans, total | 564 | 589 |
Real estate - mortgage | Domestic | Residential: first lien | ||
Loan loss allowances, financing receivable past due | ||
Non-accrual loans, total | $ 313 | $ 341 |
Allowance for Credit Losses (_2
Allowance for Credit Losses (Impaired Loans) (Details) | 6 Months Ended | |||
Jun. 30, 2022 USD ($) | Aug. 02, 2022 USD ($) | Aug. 01, 2022 USD ($) loan | Dec. 31, 2021 USD ($) | |
Loan loss allowances | ||||
Total troubled debt restructuring | $ 2,595,000 | $ 3,253,000 | ||
Amount of loans with some degree of payment deferral | $ 113,347,000 | |||
Period of charge off for past due unsecured commercial loans | 90 days | |||
Paycheck protection program loans (COVID-19 program) | ||||
Loan loss allowances | ||||
Period of time PPP loans cover payroll and certain other costs | 168 days | |||
Interest rate on receivable | 1% | |||
Number of loans | loan | 393 | |||
Amount of loans outstanding | $ 20,933,000 | |||
Paycheck protection program loans (COVID-19 program) | Loans made prior to June 5, 2020 | ||||
Loan loss allowances | ||||
Term of receivable (in years) | 2 years | |||
Paycheck protection program loans (COVID-19 program) | Loans made after June 5, 2020 | ||||
Loan loss allowances | ||||
Term of receivable (in years) | 5 years | |||
Real estate - mortgage | Domestic | Residential: first lien | ||||
Loan loss allowances | ||||
Total troubled debt restructuring | $ 1,670,000 | 2,254,000 | ||
Real estate - mortgage | Domestic | Residential Junior Lien | ||||
Loan loss allowances | ||||
Total troubled debt restructuring | 103,000 | 105,000 | ||
Consumer | Domestic | ||||
Loan loss allowances | ||||
Total troubled debt restructuring | 763,000 | 878,000 | ||
Foreign. | Foreign | ||||
Loan loss allowances | ||||
Total troubled debt restructuring | $ 59,000 | $ 16,000 |
Allowance for Credit Losses (Ag
Allowance for Credit Losses (Aging By Loan Class) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | $ 8,230 | $ 8,642 |
Loans | 7,027,129 | 7,209,151 |
Current | ||
Financing receivable recorded investment | ||
Loans | 6,962,502 | 7,171,688 |
Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 64,627 | 37,463 |
30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 23,062 | 25,836 |
60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 32,360 | 2,456 |
90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 9,205 | 9,171 |
Commercial, financial and agricultural | ||
Financing receivable recorded investment | ||
Loans | 4,252,063 | 4,497,444 |
Commercial, financial and agricultural | Domestic | Commercial. | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 68 | 577 |
Loans | 1,475,364 | 1,501,852 |
Commercial, financial and agricultural | Domestic | Commercial. | Current | ||
Financing receivable recorded investment | ||
Loans | 1,471,325 | 1,498,438 |
Commercial, financial and agricultural | Domestic | Commercial. | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 4,039 | 3,414 |
Commercial, financial and agricultural | Domestic | Commercial. | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 3,498 | 2,534 |
Commercial, financial and agricultural | Domestic | Commercial. | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 440 | 303 |
Commercial, financial and agricultural | Domestic | Commercial. | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 101 | 577 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 1,314 | 307 |
Loans | 2,542,754 | 2,711,056 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Current | ||
Financing receivable recorded investment | ||
Loans | 2,532,434 | 2,692,076 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 10,320 | 18,980 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 8,253 | 18,164 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 420 | 172 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 1,647 | 644 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | ||
Financing receivable recorded investment | ||
Loans | 233,945 | 284,536 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | Current | ||
Financing receivable recorded investment | ||
Loans | 233,750 | 284,536 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 195 | |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 72 | |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 123 | |
Obligations of states and political subdivisions | ||
Financing receivable recorded investment | ||
Loans | 1,733,234 | 1,668,113 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 34 | 188 |
Loans | 1,733,234 | 1,668,113 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Current | ||
Financing receivable recorded investment | ||
Loans | 1,694,399 | 1,667,092 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 38,835 | 1,021 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 8,133 | 499 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 30,203 | 334 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 499 | 188 |
Real estate - mortgage | ||
Financing receivable recorded investment | ||
Loans | 842,742 | 867,831 |
Real estate - mortgage | Domestic | Residential: first lien | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 5,452 | 4,937 |
Loans | 405,386 | 403,658 |
Real estate - mortgage | Domestic | Residential: first lien | Current | ||
Financing receivable recorded investment | ||
Loans | 397,059 | 394,975 |
Real estate - mortgage | Domestic | Residential: first lien | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 8,327 | 8,683 |
Real estate - mortgage | Domestic | Residential: first lien | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 2,035 | 2,342 |
Real estate - mortgage | Domestic | Residential: first lien | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 696 | 1,212 |
Real estate - mortgage | Domestic | Residential: first lien | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 5,596 | 5,129 |
Real estate - mortgage | Domestic | Residential Junior Lien | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 1,328 | 1,055 |
Loans | 437,356 | 464,173 |
Real estate - mortgage | Domestic | Residential Junior Lien | Current | ||
Financing receivable recorded investment | ||
Loans | 435,226 | 462,256 |
Real estate - mortgage | Domestic | Residential Junior Lien | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 2,130 | 1,917 |
Real estate - mortgage | Domestic | Residential Junior Lien | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 525 | 747 |
Real estate - mortgage | Domestic | Residential Junior Lien | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 277 | 115 |
Real estate - mortgage | Domestic | Residential Junior Lien | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 1,328 | 1,055 |
Consumer | ||
Financing receivable recorded investment | ||
Loans | 40,815 | 40,966 |
Consumer | Domestic | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 18 | 4 |
Loans | 40,815 | 40,966 |
Consumer | Domestic | Current | ||
Financing receivable recorded investment | ||
Loans | 40,459 | 40,643 |
Consumer | Domestic | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 356 | 323 |
Consumer | Domestic | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 260 | 231 |
Consumer | Domestic | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 78 | 88 |
Consumer | Domestic | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | 18 | 4 |
Foreign. | ||
Financing receivable recorded investment | ||
Loans | 158,275 | 134,797 |
Foreign. | Foreign | ||
Financing receivable recorded investment | ||
Past due 90 days or Greater and Still Accruing | 16 | 1,574 |
Loans | 158,275 | 134,797 |
Foreign. | Foreign | Current | ||
Financing receivable recorded investment | ||
Loans | 157,850 | 131,672 |
Foreign. | Foreign | Total Past Due | ||
Financing receivable recorded investment | ||
Loans | 425 | 3,125 |
Foreign. | Foreign | 30 to 59 Days | ||
Financing receivable recorded investment | ||
Loans | 286 | 1,319 |
Foreign. | Foreign | 60 to 89 Days | ||
Financing receivable recorded investment | ||
Loans | 123 | 232 |
Foreign. | Foreign | 90 Days or Greater | ||
Financing receivable recorded investment | ||
Loans | $ 16 | $ 1,574 |
Allowance for Credit Losses (Po
Allowance for Credit Losses (Portfolio Credit Quality) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Loan portfolio by credit quality indicator | ||
2022 | $ 1,497,709 | |
2021 | 2,731,390 | $ 3,641,975 |
2020 | 1,228,614 | 1,540,327 |
2019 | 647,426 | 885,554 |
2018 | 529,733 | 616,037 |
2017/Prior | 392,257 | 241,896 |
Prior | 283,362 | |
Total loans | 7,027,129 | 7,209,151 |
Commercial, financial and agricultural | ||
Loan portfolio by credit quality indicator | ||
Total loans | 4,252,063 | 4,497,444 |
Commercial, financial and agricultural | Domestic | Commercial. | ||
Loan portfolio by credit quality indicator | ||
2022 | 390,399 | |
2021 | 823,937 | 1,154,047 |
2020 | 124,575 | 168,461 |
2019 | 54,040 | 78,434 |
2018 | 49,976 | 58,577 |
2017/Prior | 32,437 | 37,178 |
Prior | 5,155 | |
Total loans | 1,475,364 | 1,501,852 |
Commercial, financial and agricultural | Domestic | Commercial. | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 357,293 | |
2021 | 820,154 | 1,041,763 |
2020 | 124,285 | 167,691 |
2019 | 53,239 | 77,579 |
2018 | 49,922 | 58,439 |
2017/Prior | 32,410 | 37,104 |
Prior | 5,144 | |
Total loans | 1,437,303 | 1,387,720 |
Commercial, financial and agricultural | Domestic | Commercial. | Special Review | ||
Loan portfolio by credit quality indicator | ||
2022 | 81 | |
2021 | 537 | 74,559 |
2020 | 497 | |
2019 | 58 | 139 |
2018 | 81 | |
Total loans | 676 | 75,276 |
Commercial, financial and agricultural | Domestic | Commercial. | Watch List - Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 3,002 | |
2021 | 33,920 | |
2019 | 743 | |
Prior | 10 | |
Total loans | 3,745 | 33,930 |
Commercial, financial and agricultural | Domestic | Commercial. | Watch List - Substandard | ||
Loan portfolio by credit quality indicator | ||
2022 | 30,023 | |
2021 | 3,067 | 3,581 |
2020 | 258 | 273 |
2019 | 716 | |
2018 | 54 | 57 |
Prior | 1 | |
Total loans | 33,402 | 4,628 |
Commercial, financial and agricultural | Domestic | Commercial. | Watch List - Doubtful | ||
Loan portfolio by credit quality indicator | ||
2021 | 179 | 224 |
2020 | 32 | |
2017/Prior | 27 | 74 |
Total loans | 238 | 298 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | ||
Loan portfolio by credit quality indicator | ||
2022 | 430,640 | |
2021 | 694,148 | 1,021,054 |
2020 | 650,090 | 780,449 |
2019 | 262,696 | 292,569 |
2018 | 373,049 | 420,801 |
2017/Prior | 132,131 | 98,606 |
Prior | 97,577 | |
Total loans | 2,542,754 | 2,711,056 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 378,503 | |
2021 | 693,221 | 1,001,335 |
2020 | 585,581 | 680,777 |
2019 | 258,592 | 288,333 |
2018 | 373,049 | 417,353 |
2017/Prior | 129,821 | 96,096 |
Prior | 97,119 | |
Total loans | 2,418,767 | 2,581,013 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Special Review | ||
Loan portfolio by credit quality indicator | ||
2022 | 233 | |
2021 | 670 | 929 |
2020 | 863 | 1,292 |
2018 | 3,448 | |
2017/Prior | 1 | 61 |
Total loans | 1,767 | 5,730 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Watch List - Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 17,242 | |
2021 | 257 | 18,790 |
2020 | 44,059 | |
2019 | 3,218 | |
2017/Prior | 94 | |
Prior | 1 | |
Total loans | 20,717 | 62,944 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Watch List - Substandard | ||
Loan portfolio by credit quality indicator | ||
2022 | 34,662 | |
2020 | 63,646 | 54,097 |
2019 | 553 | 3,899 |
2017/Prior | 2,309 | 2,355 |
Prior | 456 | |
Total loans | 101,170 | 60,807 |
Commercial, financial and agricultural | Domestic | Commercial real estate: farmland & commercial | Watch List - Doubtful | ||
Loan portfolio by credit quality indicator | ||
2020 | 224 | |
2019 | 333 | 337 |
Prior | 1 | |
Total loans | 333 | 562 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | ||
Loan portfolio by credit quality indicator | ||
2022 | 46,317 | |
2021 | 90,621 | 133,152 |
2020 | 60,528 | 40,897 |
2019 | 12,523 | 78,609 |
2018 | 6,529 | 10,632 |
2017/Prior | 17,427 | 14,217 |
Prior | 7,029 | |
Total loans | 233,945 | 284,536 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 46,317 | |
2021 | 90,621 | 133,152 |
2020 | 60,405 | 40,766 |
2019 | 12,523 | 78,609 |
2018 | 6,529 | 10,632 |
2017/Prior | 17,427 | 14,217 |
Prior | 7,029 | |
Total loans | 233,822 | 284,405 |
Commercial, financial and agricultural | Domestic | Commercial real estate: multifamily | Watch List - Doubtful | ||
Loan portfolio by credit quality indicator | ||
2020 | 123 | 131 |
Total loans | 123 | 131 |
Obligations of states and political subdivisions | ||
Loan portfolio by credit quality indicator | ||
Total loans | 1,733,234 | 1,668,113 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | ||
Loan portfolio by credit quality indicator | ||
2022 | 388,540 | |
2021 | 848,151 | 967,431 |
2020 | 227,758 | 335,593 |
2019 | 221,558 | 308,884 |
2018 | 33,028 | 37,124 |
2017/Prior | 14,199 | 16,642 |
Prior | 2,439 | |
Total loans | 1,733,234 | 1,668,113 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 388,540 | |
2021 | 847,686 | 966,946 |
2020 | 204,559 | 312,389 |
2019 | 221,348 | 308,673 |
2018 | 33,028 | 37,124 |
2017/Prior | 14,199 | 16,642 |
Prior | 2,439 | |
Total loans | 1,709,360 | 1,644,213 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Special Review | ||
Loan portfolio by credit quality indicator | ||
2019 | 210 | 211 |
Total loans | 210 | 211 |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Watch List - Pass | ||
Loan portfolio by credit quality indicator | ||
2020 | 23,100 | |
Total loans | 23,100 | |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Watch List - Substandard | ||
Loan portfolio by credit quality indicator | ||
2020 | 23,100 | |
Total loans | 23,100 | |
Obligations of states and political subdivisions | Domestic | Commercial Real Estate: other construction and land development | Watch List - Doubtful | ||
Loan portfolio by credit quality indicator | ||
2021 | 465 | 485 |
2020 | 99 | 104 |
Total loans | 564 | 589 |
Real estate - mortgage | ||
Loan portfolio by credit quality indicator | ||
Total loans | 842,742 | 867,831 |
Real estate - mortgage | Domestic | Residential: first lien | ||
Loan portfolio by credit quality indicator | ||
2022 | 88,620 | |
2021 | 87,351 | 128,798 |
2020 | 54,478 | 52,812 |
2019 | 44,902 | 57,352 |
2018 | 37,259 | 49,259 |
2017/Prior | 92,776 | 29,599 |
Prior | 85,838 | |
Total loans | 405,386 | 403,658 |
Real estate - mortgage | Domestic | Residential: first lien | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 88,520 | |
2021 | 86,918 | 128,742 |
2020 | 54,395 | 52,725 |
2019 | 44,902 | 57,249 |
2018 | 37,259 | 49,259 |
2017/Prior | 92,776 | 29,477 |
Prior | 85,838 | |
Total loans | 404,770 | 403,290 |
Real estate - mortgage | Domestic | Residential: first lien | Watch List - Substandard | ||
Loan portfolio by credit quality indicator | ||
2022 | 100 | |
2021 | 433 | 56 |
2019 | 103 | |
2017/Prior | 122 | |
Total loans | 533 | 281 |
Real estate - mortgage | Domestic | Residential: first lien | Watch List - Doubtful | ||
Loan portfolio by credit quality indicator | ||
2020 | 83 | 87 |
Total loans | 83 | 87 |
Real estate - mortgage | Domestic | Residential Junior Lien | ||
Loan portfolio by credit quality indicator | ||
2022 | 48,374 | |
2021 | 119,846 | 130,629 |
2020 | 102,124 | 123,062 |
2019 | 45,454 | 59,113 |
2018 | 24,213 | 30,603 |
2017/Prior | 97,345 | 40,855 |
Prior | 79,911 | |
Total loans | 437,356 | 464,173 |
Real estate - mortgage | Domestic | Residential Junior Lien | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 48,374 | |
2021 | 119,846 | 130,629 |
2020 | 102,124 | 123,062 |
2019 | 45,454 | 59,113 |
2018 | 24,213 | 30,603 |
2017/Prior | 97,345 | 40,855 |
Prior | 79,911 | |
Total loans | 437,356 | 464,173 |
Consumer | ||
Loan portfolio by credit quality indicator | ||
Total loans | 40,815 | 40,966 |
Consumer | Domestic | ||
Loan portfolio by credit quality indicator | ||
2022 | 19,081 | |
2021 | 17,005 | 32,053 |
2020 | 2,274 | 5,693 |
2019 | 740 | 1,370 |
2018 | 65 | 189 |
2017/Prior | 1,650 | 9 |
Prior | 1,652 | |
Total loans | 40,815 | 40,966 |
Consumer | Domestic | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 19,081 | |
2021 | 17,005 | 32,053 |
2020 | 2,274 | 5,693 |
2019 | 740 | 1,370 |
2018 | 65 | 189 |
2017/Prior | 1,650 | 9 |
Prior | 1,652 | |
Total loans | 40,815 | 40,966 |
Foreign. | ||
Loan portfolio by credit quality indicator | ||
Total loans | 158,275 | 134,797 |
Foreign. | Foreign | ||
Loan portfolio by credit quality indicator | ||
2022 | 85,738 | |
2021 | 50,331 | 74,811 |
2020 | 6,787 | 33,360 |
2019 | 5,513 | 9,223 |
2018 | 5,614 | 8,852 |
2017/Prior | 4,292 | 4,790 |
Prior | 3,761 | |
Total loans | 158,275 | 134,797 |
Foreign. | Foreign | Pass | ||
Loan portfolio by credit quality indicator | ||
2022 | 85,738 | |
2021 | 50,331 | 74,811 |
2020 | 6,787 | 33,360 |
2019 | 5,513 | 9,223 |
2018 | 5,614 | 8,852 |
2017/Prior | 4,292 | 4,790 |
Prior | 3,761 | |
Total loans | $ 158,275 | $ 134,797 |
Stock Options (Details)
Stock Options (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Apr. 18, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Apr. 05, 2012 | |
Employee Stock Options | ||||||
Stock Options, Aggregate intrinsic value | ||||||
Stock-based compensation expense | $ 108,000 | $ 114,000 | $ 229,000 | $ 273,000 | ||
Employee Stock Options | 2012 Plan | ||||||
Stock option details | ||||||
Shares available for future grants | 800,000 | |||||
Maximum exercisable period for granted share-based compensation | 10 years | |||||
Number of options granted (in shares) | 31,150 | |||||
Stock option activity | ||||||
Options outstanding at the beginning of the period (in shares) | 520,551 | |||||
Plus: Options granted (in shares) | 31,150 | |||||
Less: | ||||||
Exercise of stock options (in shares) | 17,437 | |||||
Options forfeited (in shares) | 7,650 | |||||
Options outstanding at the end of the period (in shares) | 526,614 | 526,614 | ||||
Options fully vested and exercisable at the end of the period (in shares) | 302,669 | 302,669 | ||||
Stock Options, Weighted average exercise price | ||||||
Options outstanding at the beginning, weighted average exercise price (in dollars per share) | $ 28.28 | |||||
Plus: Options granted, weighted average exercise price (in dollars per share) | 38.92 | |||||
Less: | ||||||
Options exercised, weighted average exercise price (in dollars per share) | 22.27 | |||||
Options forfeited, weighted average exercise price (in dollars per share) | 32.89 | |||||
Options outstanding at the end, weighted average exercise price (in dollars per share) | $ 29.04 | 29.04 | ||||
Options fully vested and exercisable at the end, weighted average exercise price (in dollars per share) | $ 24.70 | $ 24.70 | ||||
Stock Options, Weighted average remaining contractual term (years) | ||||||
Options outstanding at the end, weighted average remaining contractual term (years) | 4 years 4 months 9 days | |||||
Options fully vested and exercisable at the end, weighted average remaining contractual term (years) | 2 years 7 months 2 days | |||||
Stock Options, Aggregate intrinsic value | ||||||
Options outstanding at the end, aggregate intrinsic value | $ 5,812,000 | $ 5,812,000 | ||||
Options fully vested and exercisable at the end, aggregate intrinsic value | 4,656,000 | 4,656,000 | ||||
Stock-based compensation cost, unrecognized, related to non-vested options | $ 982,000 | $ 982,000 | ||||
Stock-based compensation cost, unrecognized, related to non-vested options, weighted-average period of recognition | 1 year 9 months 18 days | |||||
Stock Appreciation Rights | SAR Plan | ||||||
Stock option details | ||||||
Shares available for future grants | 750,000 | |||||
Maximum exercisable period for granted share-based compensation | 10 years | |||||
Incentive Stock Options to 10 Percent Shareholders [Member] | 2012 Plan | ||||||
Stock option details | ||||||
Maximum exercisable period for granted share-based compensation | 5 years |
Investment Securities, Equity_3
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Held-to-maturity securities | ||
Amortized cost | $ 3,400 | $ 3,400 |
Estimated fair value | 3,400 | 3,400 |
Carrying Value | 3,400 | 3,400 |
Available-for-sale securities | ||
Amortized cost | 4,648,031 | 4,254,960 |
Available for sale debt securities | 4,294,360 | 4,213,920 |
Total Amortized cost | 4,648,031 | 4,254,960 |
Total Gross unrealized gains | 684 | 17,197 |
Total Gross unrealized losses | 354,355 | 58,237 |
Estimate of Fair Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities and equity securities | 4,294,360 | 4,213,920 |
Reported Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities and equity securities | 4,294,360 | 4,213,920 |
US Treasury Securities [Member] | ||
Available-for-sale securities | ||
Amortized cost | 49,314 | |
Gross unrealized losses | (363) | |
US Treasury Securities [Member] | Estimate of Fair Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 48,951 | |
US Treasury Securities [Member] | Reported Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 48,951 | |
Residential mortgage-backed securities | ||
Available-for-sale securities | ||
Amortized cost | 4,557,327 | 4,213,441 |
Gross unrealized gains | 423 | 14,159 |
Gross unrealized losses | (353,819) | (58,237) |
Residential mortgage-backed securities | Estimate of Fair Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 4,203,931 | 4,169,363 |
Residential mortgage-backed securities | Reported Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 4,203,931 | 4,169,363 |
US Government Corporations and Agencies Securities [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 680,229 | 824,474 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 3,523,702 | 3,344,899 |
States and Political Subdivisions Debt Securities [Member] | ||
Available-for-sale securities | ||
Amortized cost | 41,390 | 41,519 |
Gross unrealized gains | 261 | 3,038 |
Gross unrealized losses | (173) | |
States and Political Subdivisions Debt Securities [Member] | Estimate of Fair Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 41,478 | 44,557 |
States and Political Subdivisions Debt Securities [Member] | Reported Value Measurement [Member] | ||
Available-for-sale securities | ||
Available for sale debt securities | 41,478 | 44,557 |
Other Debt Obligations [Member] | ||
Held-to-maturity securities | ||
Amortized cost | 3,400 | 3,400 |
Estimated fair value | 3,400 | 3,400 |
Carrying Value | $ 3,400 | $ 3,400 |
Investment Securities, Equity_4
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments (Contractual Maturities and Estimated Fair Values) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Amortized Cost | |||||
Due in one year or less, held-to-maturity debt securities amortized cost | $ 1,325,000 | $ 1,325,000 | |||
Due after one year through five years, held-to-maturity debt securities amortized cost | 2,075,000 | 2,075,000 | |||
Amortized cost, held-to-maturity debt securities | 3,400,000 | 3,400,000 | $ 3,400,000 | ||
Fair Value | |||||
Due in one year or less, held-to-maturity debt securities, Estimated fair value | 1,325,000 | 1,325,000 | |||
Due after one year through five years, held-to-maturity debt securities, Estimated fair value | 2,075,000 | 2,075,000 | |||
Estimated fair value | 3,400,000 | 3,400,000 | 3,400,000 | ||
Available-for-sale debt securities amortized cost disclosures | |||||
Due after one year through five years, available-for-sale debt securities amortized cost | 49,314,000 | 49,314,000 | |||
Due after ten years, available-for-sale debt securities amortized cost | 41,390,000 | 41,390,000 | |||
Residential mortgage-backed securities, amortized cost | 4,557,327,000 | 4,557,327,000 | |||
Amortized cost, Available-for-sale securities | 4,648,031,000 | 4,648,031,000 | 4,254,960,000 | ||
Available for sale debt securities, Estimated Fair Value Disclosures | |||||
Due after one year through five years, available-for-sale debt securities, Estimated Fair Value | 48,951,000 | 48,951,000 | |||
Due after ten years, available-for-sale debt securities, Estimated Fair Value | 41,478,000 | 41,478,000 | |||
Residential mortgage-backed securities, Estimated Fair Value | 4,203,931,000 | 4,203,931,000 | |||
Estimated fair value, Available for sale securities | 4,294,360,000 | 4,294,360,000 | $ 4,213,920,000 | ||
Available for sale debt securities, Estimated Fair Value Disclosures | |||||
Proceeds from sales and calls of available for sale securities | 0 | $ 355,000 | 0 | $ 2,865,000 | |
Proceeds from sales of mortgage-backed securities | 0 | 0 | 0 | 0 | |
Gross gains realized on sales | 0 | 0 | 0 | 0 | |
Gross losses realized on sales | 0 | $ 0 | 0 | $ 4,000 | |
Collateral Pledged | |||||
Available-for-sale debt securities amortized cost disclosures | |||||
Amortized cost, Available-for-sale securities | 1,557,395,000 | 1,557,395,000 | |||
Available for sale debt securities, Estimated Fair Value Disclosures | |||||
Fair value of available for sale investment securities pledged | $ 1,410,743,000 | $ 1,410,743,000 |
Investment Securities, Equity_5
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments (Unrealized Losses) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Available for sale: | ||
Fair value, less than 12 months | $ 2,960,880 | $ 3,037,188 |
Unrealized losses, less than 12 Months | (254,989) | (53,060) |
Fair value, 12 months or more | 1,029,269 | 423,733 |
Unrealized losses, 12 Months or More | (99,366) | (5,177) |
Fair value, Total | 3,990,149 | 3,460,921 |
Unrealized losses, Total | (354,355) | (58,237) |
US Treasury Securities [Member] | ||
Available for sale: | ||
Fair value, less than 12 months | 48,951 | |
Unrealized losses, less than 12 Months | (363) | |
Fair value, Total | 48,951 | |
Unrealized losses, Total | (363) | |
Residential Mortgage Backed Securities [Member] | ||
Available for sale: | ||
Fair value, less than 12 months | 2,892,440 | 3,037,188 |
Unrealized losses, less than 12 Months | (254,453) | (53,060) |
Fair value, 12 months or more | 1,029,269 | 423,733 |
Unrealized losses, 12 Months or More | (99,366) | (5,177) |
Fair value, Total | 3,921,709 | 3,460,921 |
Unrealized losses, Total | (353,819) | $ (58,237) |
States and Political Subdivisions Debt Securities [Member] | ||
Available for sale: | ||
Fair value, less than 12 months | 19,489 | |
Unrealized losses, less than 12 Months | (173) | |
Fair value, Total | 19,489 | |
Unrealized losses, Total | $ (173) |
Investment Securities, Equity_6
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments (Unrealized and realized gains and losses recognized in net income on equity securities ) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments | |||||
Equity Securities | $ 5,581,000 | $ 5,581,000 | $ 6,079,000 | ||
Summary of unrealized and realized gains and losses recognized in net income on equity securities | |||||
Net gains (losses) recognized during the period on equity securities | (229,000) | $ 11,000 | (498,000) | $ (65,000) | |
Unrealized gain on equity securities with readily determinable fair values | $ (229,000) | $ 11,000 | $ (498,000) | $ (65,000) |
Investment Securities, Equity_7
Investment Securities, Equity Securities with Readily Determinable Fair Values and Other Investments (Other Investments) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Other investments | ||
LIHTC | ||
Investments | $ 236,718 | $ 179,543 |
Other liabilities | ||
LIHTC | ||
Unfunded commitments | $ 45,890 | $ 40,094 |
Other Borrowed Funds (Details)
Other Borrowed Funds (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Federal Home Loan Bank advances | ||
Other borrowed funds | $ 436,042,000 | $ 436,138,000 |
Junior Subordinated Deferrabl_3
Junior Subordinated Deferrable Interest Debentures (Details) | 6 Months Ended | |
Jun. 30, 2022 USD ($) item | Dec. 31, 2021 USD ($) | |
Junior Subordinated Deferrable Interest Debentures | ||
Number of statutory business trusts issuing trust preferred securities | item | 5 | |
Junior subordinated deferrable interest debentures | $ | $ 134,642,000 | $ 134,642,000 |
Maximum number of consecutive quarterly period available for deferral of interest payment on Trusts VIII, IX, X, XI and XII | item | 20 | |
Percentage of capital securities issued by trust qualifying as Tier I capital, maximum | 25% | |
Percentage of capital securities issued by trust qualifying as Tier II capital, minimum | 25% | |
Capital securities issued by the trust, qualifying as Tier I capital | $ | $ 134,642,000 | $ 134,642,000 |
Junior Subordinated Deferrabl_4
Junior Subordinated Deferrable Interest Debentures (Key Information) (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Junior subordinated interest deferrable debentures, major types of business trusts | ||
Junior subordinated deferrable interest debentures | $ 134,642,000 | $ 134,642,000 |
Trust VIII | ||
Junior subordinated interest deferrable debentures, major types of business trusts | ||
Junior subordinated deferrable interest debentures | $ 25,774,000 | |
Interest rate (as a percent) | 4.09% | |
Interest rate index | LIBOR | |
Spread on interest rate index (as a percent) | 3.05% | |
Trust IX | ||
Junior subordinated interest deferrable debentures, major types of business trusts | ||
Junior subordinated deferrable interest debentures | $ 41,238,000 | |
Interest rate (as a percent) | 2.59% | |
Interest rate index | LIBOR | |
Spread on interest rate index (as a percent) | 1.62% | |
Trust X | ||
Junior subordinated interest deferrable debentures, major types of business trusts | ||
Junior subordinated deferrable interest debentures | $ 21,021,000 | |
Interest rate (as a percent) | 2.94% | |
Interest rate index | LIBOR | |
Spread on interest rate index (as a percent) | 1.65% | |
Trust XI | ||
Junior subordinated interest deferrable debentures, major types of business trusts | ||
Junior subordinated deferrable interest debentures | $ 25,990,000 | |
Interest rate (as a percent) | 2.59% | |
Interest rate index | LIBOR | |
Spread on interest rate index (as a percent) | 1.62% | |
Trust XII | ||
Junior subordinated interest deferrable debentures, major types of business trusts | ||
Junior subordinated deferrable interest debentures | $ 20,619,000 | |
Interest rate (as a percent) | 3.05% | |
Interest rate index | LIBOR | |
Spread on interest rate index (as a percent) | 1.45% |
Common Stock and Dividends (Det
Common Stock and Dividends (Details) - USD ($) | 1 Months Ended | ||||
Aug. 01, 2022 | Feb. 28, 2022 | Feb. 23, 2022 | Feb. 17, 2021 | Apr. 30, 2009 | |
Common Stock and Dividends | |||||
Cash dividends paid to common shareholders (in dollars per share) | $ 0.60 | $ 0.60 | |||
Repurchase of common stock, authorized amount | $ 150,000,000 | $ 40,000,000 | |||
Period of repurchase of common stock | 12 months | 12 months | |||
Cumulative number of shares repurchased under all stock repurchase programs | 13,435,377 | ||||
Cumulative cost of shares repurchased under all stock repurchase programs | $ 403,680,000 |
Capital Ratios (Capital Amounts
Capital Ratios (Capital Amounts and Ratios) (Details) | Jun. 30, 2022 | Dec. 31, 2021 |
Capital Ratios | ||
CET 1 ratio | 0.1996 | 0.2047 |
Total Capital (to Risk Weighted Assets), Actual Ratio (as a percent) | 0.2197 | 0.2273 |
Tier 1 capital (to Risk Weighted Assets), Actual Ratio (as a percent) | 0.2086 | 0.2159 |
Tier 1 capital (to Average Assets), Actual Ratio (as a percent) | 0.1351 | 0.1394 |