1st Source (SRCE) 10-Q 21 Oct 21 2021 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Oct. 15, 2021
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	0-6233
Entity Incorporation, State or Country Code	IN
Entity Tax Identification Number	35-1068133
Entity Address, Address Line One	100 North Michigan Street
Entity Address, City or Town	South Bend,
Entity Address, State or Province	IN
Entity Address, Postal Zip Code	46601
City Area Code	574
Local Phone Number	235-2000
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Shell Company	false
Title of 12(b) Security	Common Stock - without par value
Trading Symbol	SRCE
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding		24,797,533
Entity Registrant Name	1st Source Corp
Entity Central Index Key	0000034782
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Amendment Flag	false

CONSOLIDATED STATEMENTS OF FINA

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
ASSETS
Cash and due from banks	$ 77,740	$ 74,186
Federal funds sold and interest bearing deposits with other banks	559,542	168,861
Investment securities available-for-sale	1,583,240	1,197,467
Other investments	27,189	27,429
Mortgages held for sale	34,594	12,885
Loans and leases - net of unearned discount
Loans and leases	5,358,797	5,489,301
Allowance for loan and lease losses	(133,755)	(140,654)
Net loans and leases	5,225,042	5,348,647
Equipment owned under operating leases, net	51,478	65,040
Net premises and equipment	46,748	49,373
Goodwill and intangible assets	83,931	83,948
Accrued income and other assets	274,588	288,575
Total assets	7,964,092	7,316,411
Deposits:
Noninterest-bearing demand	2,012,389	1,636,684
Interest-bearing deposits:
Interest-bearing demand	2,358,512	2,059,139
Savings	1,214,088	1,082,848
Time	937,516	1,167,357
Total interest-bearing deposits	4,510,116	4,309,344
Total deposits	6,522,505	5,946,028
Short-term borrowings:
Federal funds purchased and securities sold under agreements to repurchase	210,275	143,564
Other short-term borrowings	5,390	7,077
Total short-term borrowings	215,665	150,641
Long-term debt and mandatorily redeemable securities	81,301	81,864
Subordinated notes	58,764	58,764
Accrued expenses and other liabilities	129,460	148,444
Total liabilities	7,007,695	6,385,741
SHAREHOLDERS' EQUITY
Preferred stock; no par value Authorized 10,000,000 shares; none issued or outstanding	0	0
Common stock; no par value Authorized 40,000,000 shares; issued 28,205,674 at September 30, 2021 and December 31, 2020	436,538	436,538
Retained earnings	583,631	514,176
Cost of common stock in treasury (3,408,141 shares at September 30, 2021 and 2,816,557 shares at December 31, 2020)	(111,253)	(82,240)
Accumulated other comprehensive income	2,417	18,371
Total shareholders’ equity	911,333	886,845
Noncontrolling interests	45,064	43,825
Total equity	956,397	930,670
Total liabilities and equity	$ 7,964,092	$ 7,316,411
Preferred stock; no par value (in dollars per share)	$ 0	$ 0
Preferred stock, Authorized shares	10,000,000	10,000,000
Preferred stock, issued shares	0	0
Preferred stock, outstanding shares	0	0
Common stock; no par value (in dollars per share)	$ 0	$ 0
Common stock, Authorized shares	40,000,000	40,000,000
Common stock, issued shares	28,205,674	28,205,674
Cost of common stock in treasury, shares	3,408,141	2,816,557
Commercial and agricultural
Loans and leases - net of unearned discount
Loans and leases	$ 1,005,849	$ 1,186,118
Allowance for loan and lease losses	(15,166)	(16,680)
Solar
Loans and leases - net of unearned discount
Loans and leases	303,995	292,604
Allowance for loan and lease losses	(5,852)	(5,549)
Auto and light truck
Loans and leases - net of unearned discount
Loans and leases	605,258	542,369
Allowance for loan and lease losses	(25,842)	(28,926)
Medium and heavy duty truck
Loans and leases - net of unearned discount
Loans and leases	248,604	279,172
Allowance for loan and lease losses	(5,730)	(6,400)
Aircraft
Loans and leases - net of unearned discount
Loans and leases	900,077	861,460
Allowance for loan and lease losses	(36,429)	(34,053)
Construction equipment
Loans and leases - net of unearned discount
Loans and leases	729,412	714,888
Allowance for loan and lease losses	(16,444)	(19,166)
Commercial real estate
Loans and leases - net of unearned discount
Loans and leases	939,131	969,864
Allowance for loan and lease losses	(21,325)	(22,758)
Residential real estate and home equity
Loans and leases - net of unearned discount
Loans and leases	492,893	511,379
Allowance for loan and lease losses	(5,165)	(5,374)
Consumer
Loans and leases - net of unearned discount
Loans and leases	133,578	131,447
Allowance for loan and lease losses	$ (1,802)	$ (1,748)

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020		Sep. 30, 2021	Sep. 30, 2020
Interest income:
Loans and leases	$ 61,696	$ 58,318		$ 176,704	$ 178,659
Investment securities, taxable	4,533	4,103		12,676	14,140
Investment securities, tax-exempt	140	207		468	703
Other	360	289		943	951
Total interest income	66,729	62,917		190,791	194,453
Interest expense:
Deposits	2,924	6,532		9,652	25,648
Short-term borrowings	25	83		90	427
Subordinated notes	816	824		2,448	2,543
Long-term debt and mandatorily redeemable securities	740	610		2,030	2,122
Total interest expense	4,505	8,049		14,220	30,740
Net interest income	62,224	54,868		176,571	163,713
(Recovery of) provision for credit losses*	(2,559)	9,303	[1]	(3,186)	31,031	[2]
Net interest income after provision for loan and lease losses	64,783	45,565		179,757	132,682
Noninterest income:
Mortgage banking	3,149	6,474		9,909	12,125
Insurance commissions	1,862	1,825		5,698	5,401
Equipment rental	3,946	5,593		12,830	18,213
(Losses) gains on investment securities available-for-sale	0	0		(680)	279
Other	3,317	2,641		9,446	8,452
Total noninterest income	25,497	28,041		76,264	77,904
Noninterest expense:
Salaries and employee benefits	26,974	25,609		77,680	74,009
Net occupancy	2,654	2,512		7,900	7,737
Furniture and equipment	6,444	6,247		19,239	18,912
Depreciation - leased equipment	3,239	4,694		10,562	15,263
Professional fees	1,815	2,041		5,574	4,741
Supplies and communication	1,427	1,305		4,332	4,329
FDIC and other insurance	396	868		1,833	1,755
Business development and marketing	4,465	923		6,813	3,403
Loan and lease collection and repossession	(585)	1,054		30	2,655
Other	1,235	1,790		3,439	5,599
Total noninterest expense	48,064	47,043		137,402	138,403
Income before income taxes	42,216	26,563		118,619	72,183
Income tax expense	9,735	6,509		27,797	17,185
Net income	32,481	20,054		90,822	54,998
Net loss (income) attributable to noncontrolling interests	2	4		(11)	(25)
Net income available to common shareholders	$ 32,483	$ 20,058		$ 90,811	$ 54,973
Per common share:
Basic net income per common share (in dollars per share)	$ 1.29	$ 0.78		$ 3.59	$ 2.14
Diluted net income per common share (in dollars per share)	1.29	0.78		3.59	2.14
Cash dividends (in dollars per share)	$ 0.31	$ 0.28		$ 0.90	$ 0.85
Basic weighted average common shares outstanding (in shares)	24,919,956	25,552,374		25,126,703	25,538,910
Diluted weighted average common shares outstanding (in shares)	24,919,956	25,552,374		25,126,703	25,538,910
Trust and wealth advisory
Noninterest income:
Trust and wealth advisory, service charges on deposit accounts, and debit card income	$ 5,886	$ 5,153		$ 17,833	$ 15,590
Service charges on deposit accounts
Noninterest income:
Trust and wealth advisory, service charges on deposit accounts, and debit card income	2,767	2,336		7,722	6,851
Debit card
Noninterest income:
Trust and wealth advisory, service charges on deposit accounts, and debit card income	$ 4,570	$ 4,019		$ 13,506	$ 10,993
[1]	*ASU 2016-13 adopted during the fourth quarter of 2020 therefore September 30, 2020 provision amount reflects the incurred loss method.
[2]	*ASU 2016-13 adopted during the fourth quarter of 2020 therefore September 30, 2020 provision amount reflects the incurred loss method.

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 32,481	$ 20,054	$ 90,822	$ 54,998
Other comprehensive income (loss):
Unrealized (depreciation) appreciation of available-for-sale securities	(6,833)	(303)	(21,695)	19,360
Reclassification adjustment for realized losses (gains) included in net income	0	0	680	(279)
Income tax effect	1,646	73	5,061	(4,595)
Other comprehensive (loss) income, net of tax	(5,187)	(230)	(15,954)	14,486
Comprehensive income	27,294	19,824	74,868	69,484
Comprehensive loss (income) attributable to noncontrolling interests	2	4	(11)	(25)
Comprehensive income available to common shareholders	$ 27,296	$ 19,828	$ 74,857	$ 69,459

CONSOLIDATED STATEMENTS OF SHAR

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Retained Earnings	Cost of Common Stock in Treasury	Accumulated Other Comprehensive Income (Loss), Net	Total Shareholders' Equity	Noncontrolling Interests
Balance at Dec. 31, 2019	$ 848,636	$ 436,538	$ 463,269	$ (76,702)	$ 5,172	$ 828,277	$ 20,359
Increase (Decrease) in Shareholders' Equity
Net income	54,998		54,973			54,973	25
Other comprehensive (loss) income	14,486				14,486	14,486
Issuance of 6,936 and 3,289 common shares under stock based compensation awards for the three months ended September 30, 2021 and 2020, respectively and 57,762 and 44,170 common shares under stock based compensation awards for the nine months ended September 30, 2021 and 2020, respectively	1,775		934	841		1,775
Cost of 210,130 and 0 shares of common stock acquired for treasury for the three months ended September 30, 2021 and 2020, respectively and 649,346 and 0 shares of common stock acquired for treasury for the nine months ended September 30, 2021 and 2020, respectively	0			0		0
Common stock dividend ($0.31 and $0.28 per share for the three months ended September 30, 2021 and 2020, respectively and $0.90 and $0.85 per share for the nine months ended September 30, 2021 and 2020, respectively)	(21,757)		(21,757)			(21,757)
Contributions from noncontrolling interests	17,369					0	17,369
Distributions to noncontrolling interests	$ (492)					0	(492)
Issuance of common shares under stock based compensation awards (in shares)	44,170
Common stock acquired for treasury (in shares)	0
Cash dividends (in dollars per share)	$ 0.85
Balance at Sep. 30, 2020	$ 915,015	436,538	497,419	(75,861)	19,658	877,754	37,261
Balance at Jun. 30, 2020	901,653	436,538	484,491	(75,922)	19,888	864,995	36,658
Increase (Decrease) in Shareholders' Equity
Net income	20,054		20,058			20,058	(4)
Other comprehensive (loss) income	(230)				(230)	(230)
Issuance of 6,936 and 3,289 common shares under stock based compensation awards for the three months ended September 30, 2021 and 2020, respectively and 57,762 and 44,170 common shares under stock based compensation awards for the nine months ended September 30, 2021 and 2020, respectively	113		52	61		113
Cost of 210,130 and 0 shares of common stock acquired for treasury for the three months ended September 30, 2021 and 2020, respectively and 649,346 and 0 shares of common stock acquired for treasury for the nine months ended September 30, 2021 and 2020, respectively	0			0		0
Common stock dividend ($0.31 and $0.28 per share for the three months ended September 30, 2021 and 2020, respectively and $0.90 and $0.85 per share for the nine months ended September 30, 2021 and 2020, respectively)	(7,182)		(7,182)			(7,182)
Contributions from noncontrolling interests	928					0	928
Distributions to noncontrolling interests	$ (321)					0	(321)
Issuance of common shares under stock based compensation awards (in shares)	3,289
Common stock acquired for treasury (in shares)	0
Cash dividends (in dollars per share)	$ 0.28
Balance at Sep. 30, 2020	$ 915,015	436,538	497,419	(75,861)	19,658	877,754	37,261
Balance at Dec. 31, 2020	930,670	436,538	514,176	(82,240)	18,371	886,845	43,825
Increase (Decrease) in Shareholders' Equity
Net income	90,822		90,811			90,811	11
Other comprehensive (loss) income	(15,954)				(15,954)	(15,954)
Issuance of 6,936 and 3,289 common shares under stock based compensation awards for the three months ended September 30, 2021 and 2020, respectively and 57,762 and 44,170 common shares under stock based compensation awards for the nine months ended September 30, 2021 and 2020, respectively	2,453		1,399	1,054		2,453
Cost of 210,130 and 0 shares of common stock acquired for treasury for the three months ended September 30, 2021 and 2020, respectively and 649,346 and 0 shares of common stock acquired for treasury for the nine months ended September 30, 2021 and 2020, respectively	(30,067)			(30,067)		(30,067)
Common stock dividend ($0.31 and $0.28 per share for the three months ended September 30, 2021 and 2020, respectively and $0.90 and $0.85 per share for the nine months ended September 30, 2021 and 2020, respectively)	(22,755)		(22,755)			(22,755)
Contributions from noncontrolling interests	2,005					0	2,005
Distributions to noncontrolling interests	$ (777)					0	(777)
Issuance of common shares under stock based compensation awards (in shares)	57,762
Common stock acquired for treasury (in shares)	649,346
Cash dividends (in dollars per share)	$ 0.90
Balance at Sep. 30, 2021	$ 956,397	436,538	583,631	(111,253)	2,417	911,333	45,064
Balance at Jun. 30, 2021	945,457	436,538	558,795	(101,711)	7,604	901,226	44,231
Increase (Decrease) in Shareholders' Equity
Net income	32,481		32,483			32,483	(2)
Other comprehensive (loss) income	(5,187)				(5,187)	(5,187)
Issuance of 6,936 and 3,289 common shares under stock based compensation awards for the three months ended September 30, 2021 and 2020, respectively and 57,762 and 44,170 common shares under stock based compensation awards for the nine months ended September 30, 2021 and 2020, respectively	255		128	127		255
Cost of 210,130 and 0 shares of common stock acquired for treasury for the three months ended September 30, 2021 and 2020, respectively and 649,346 and 0 shares of common stock acquired for treasury for the nine months ended September 30, 2021 and 2020, respectively	(9,669)			(9,669)		(9,669)
Common stock dividend ($0.31 and $0.28 per share for the three months ended September 30, 2021 and 2020, respectively and $0.90 and $0.85 per share for the nine months ended September 30, 2021 and 2020, respectively)	(7,775)		(7,775)			(7,775)
Contributions from noncontrolling interests	1,118					0	1,118
Distributions to noncontrolling interests	$ (283)					0	(283)
Issuance of common shares under stock based compensation awards (in shares)	6,936
Common stock acquired for treasury (in shares)	210,130
Cash dividends (in dollars per share)	$ 0.31
Balance at Sep. 30, 2021	$ 956,397	$ 436,538	$ 583,631	$ (111,253)	$ 2,417	$ 911,333	$ 45,064

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Statement of Cash Flows [Abstract]
Net income	$ 90,822	$ 54,998
Adjustments to reconcile net income to net cash provided by operating activities:
(Recovery of) provision for credit losses*	(3,186)	31,031	[1]
Depreciation of premises and equipment	3,891	4,255
Depreciation of equipment owned and leased to others	10,562	15,263
Stock-based compensation	2,962	2,377
Amortization of investment securities premiums and accretion of discounts, net	5,024	4,238
Amortization of mortgage servicing rights	1,663	1,757
Mortgage servicing rights impairment (recoveries) charges	(812)	808
Amortization of right of use assets	3,406	2,115
Deferred income taxes	13,087	(10,509)
Losses (gains) on investment securities available-for-sale	680	(279)
Originations of loans held for sale, net of principal collected	(210,258)	(248,639)
Proceeds from the sales of loans held for sale	194,549	258,253
Net gain on sale of loans held for sale	(6,000)	(10,327)
Net gain on sale of other real estate and repossessions	(636)	(73)
Change in interest receivable	1,687	(2,440)
Change in interest payable	(1,572)	(6,271)
Change in other assets	10,811	2,312
Change in other liabilities	(11,829)	(2,906)
Other	223	1,049
Net Cash Provided by (Used in) Operating Activities	105,074	97,012
Investing activities:
Proceeds from sales of investment securities available-for-sale	99,208	8,403
Proceeds from maturities and paydowns of investment securities available-for-sale	256,538	301,050
Purchases of investment securities available-for-sale	(768,238)	(337,175)
Net change in partnership investments	(15,146)	(31,298)
Net change in other investments	240	740
Loans sold or participated to others	25,970	10,722
Proceeds from principal payments on direct finance leases	27,072	35,384
Net change in loans and leases	72,195	(596,052)
Net change in equipment owned under operating leases	3,000	16,691
Purchases of premises and equipment	(1,389)	(1,988)
Proceeds from disposal of premises and equipment	125	19
Proceeds from sales of other real estate and repossessions	3,527	6,303
Net Cash Provided by (Used in) Investing Activities	(296,898)	(587,201)
Financing activities:
Net change in demand deposits and savings accounts	806,318	890,031
Net change in time deposits	(229,841)	(350,502)
Net change in short-term borrowings	65,024	19,681
Proceeds from issuance of long-term debt	0	10,000
Payments on long-term debt	(3,288)	(2,710)
Stock issued under stock purchase plans	90	39
Acquisition of treasury stock	(30,067)	0
Net change in noncontrolling interests	1,228	16,877
Cash dividends paid on common stock	(23,405)	(22,376)
Net change in financing activities	586,059	561,040
Net change in cash and cash equivalents	394,235	70,851
Cash and cash equivalents, beginning of year	243,047	83,365
Cash and cash equivalents, end of period	637,282	154,216
Non-cash transactions:
Loans transferred to other real estate and repossessed assets	1,554	2,969
Common stock matching contribution to Employee Stock Ownership and Profit Sharing Plan	715	622
Right of use assets obtained in exchange for lease obligations	$ 698	$ 253
[1]	*ASU 2016-13 adopted during the fourth quarter of 2020 therefore September 30, 2020 provision amount reflects the incurred loss method.

Accounting Policies

Accounting Policies	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Accounting Policies	Accounting Policies 1st Source Corporation is a bank holding company headquartered in South Bend, Indiana that provides, through its subsidiaries (collectively referred to as “1st Source” or “the Company”), a broad array of financial products and services. Basis of Presentation – The accompanying unaudited consolidated financial statements reflect all adjustments (all of which are normal and recurring in nature) which are, in the opinion of management, necessary for a fair presentation of the consolidated financial position, the results of operations, changes in comprehensive income, changes in shareholders’ equity, and cash flows for the periods presented. These unaudited consolidated financial statements have been prepared according to the rules and regulations of the Securities and Exchange Commission (SEC) and, therefore, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP) have been omitted. The Notes to the Consolidated Financial Statements appearing in 1st Source Corporation’s Annual Report on Form 10-K (2020 Annual Report), which include descriptions of significant accounting policies, should be read in conjunction with these interim financial statements. The Consolidated Statement of Financial Condition at December 31, 2020 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by GAAP for complete financial statements. Certain amounts in the prior period consolidated financial statements have been reclassified to conform to the current period presentation. Use of Estimates in the Preparation of Financial Statements – Financial statements prepared in accordance with GAAP require the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expense during the reporting period. Actual results could differ from those estimates. Loans and Leases – Loans are stated at the principal amount outstanding, net of unamortized deferred loan origination fees and costs and net of unearned income. Interest income is accrued as earned based on unpaid principal balances. Origination fees and direct loan and lease origination costs are deferred, and the net amount amortized to interest income over the estimated life of the related loan or lease. Loan commitment fees are deferred and amortized into other income over the commitment period. Direct financing leases are carried at the aggregate of lease payments plus estimated residual value of the leased property, net of unamortized deferred lease origination fees and costs and unearned income. Interest income on direct financing leases is recognized over the term of the lease to achieve a constant periodic rate of return on the outstanding investment. Effective January 1, 2019, as part of the new leasing standard, only those costs incurred as a direct result of closing a lease transaction are capitalized. All existing deferrals will continue to be amortized over the estimated life of the lease while all new incremental direct costs are expensed immediately. Accrued interest is included in Accrued Income and Other Assets on the Consolidated Statements of Financial Condition and is excluded from the calculation of the allowance for credit losses. The accrual of interest on loans and leases is discontinued when a loan or lease becomes contractually delinquent for 90 days, or when an individual analysis of a borrower’s credit worthiness indicates a credit should be placed on nonperforming status, except for residential mortgage loans and consumer loans that are well secured and in the process of collection. Residential mortgage loans are placed on nonaccrual at the time the loan is placed in foreclosure. When interest accruals are discontinued, interest credited to income in the current year is reversed and interest accrued in the prior year is charged to the allowance for loan and lease losses. However, in some cases, the Company may elect to continue the accrual of interest when the net realizable value of collateral is sufficient to cover the principal and accrued interest. When a loan or lease is classified as nonaccrual and the future collectability of the recorded loan or lease balance is doubtful, collections on interest and principal are applied as a reduction to principal outstanding. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured, which is typically evidenced by a sustained repayment performance of at least six months. Loans and leases that have been modified and economic concessions have been granted to borrowers who have experienced financial difficulties are considered a troubled debt restructuring (TDR). These concessions typically result from the Company’s loss mitigation activities and may include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance or other actions. Certain TDRs are classified as nonperforming at the time of restructuring and typically are returned to performing status after considering the borrower’s sustained repayment performance for a reasonable period of at least six months. When the Company modifies loans and leases in a TDR, it evaluates any possible impairment based on the present value of expected future cash flows, discounted at the contractual interest rate of the original loan or lease agreement, or uses the current fair value of the collateral, less selling costs for collateral dependent loans. If the Company determines that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized through an allowance for loan and lease losses estimate or a charge-off to the allowance for loan and lease losses. In periods subsequent to modification, the Company evaluates all TDRs, including those that have payment defaults, for possible impairment and recognizes impairment through the allowance for loan and lease losses. On March 27, 2020, the President of the United States signed the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which provides entities with optional temporary relief from certain accounting and financial reporting requirements under U.S. GAAP. Section 4013 of the CARES Act allows financial institutions to suspend application of certain TDR accounting guidance for loan and lease modifications related to the COVID-19 pandemic made between March 1, 2020 and the earlier of December 31, 2020 or 60 days after the end of the COVID-19 national emergency, provided certain criteria are met. Section 4013 of the Cares Act was amended on December 27, 2020 to extend this relief until January 1, 2022. The relief can be applied to loan and lease modifications for borrowers that were not more than 30 days past due as of December 31, 2019 and to loan and lease modifications that defer or delay the payment of principal or interest, or change the interest rate on the loan. The Company chose to apply this relief to eligible loan and lease modifications. At September 30, 2021 and December 31, 2020, loan and lease modification balances related to the COVID-19 pandemic were $1 million and $129 million, respectively.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2021
Accounting Standards Update and Change in Accounting Principle [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements Presentation of Financial Statements: In August 2021, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2021-06 “Presentation of Financial Statements (Topic 205), Financial Services—Depository and Lending (Topic 942), and Financial Services—Investment Companies (Topic 946): Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 33-10786, Amendments to Financial Disclosures about Acquired and Disposed Businesses, and No. 33-10835, Update of Statistical Disclosures for Bank and Savings and Loan Registrants.” This ASU amends the SEC sections of the Codification related to Final Rule Releases No. 33-10786, Amendments to Financial Disclosures about Acquired and Disposed Businesses, and No. 33-10835, Update to Statistical Disclosures for Bank and Savings and Loan Registrants. The guidance is effective upon its addition to the FASB codification. The Company is assessing the impact of ASU 2021-06 and its impact on its disclosures. Reference Rate Reform: In March 2020, the FASB issued ASU No. 2020-04 “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” These amendments provide temporary optional guidance to ease the potential burden in accounting for reference rate reform. The ASU provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. It is intended to help stakeholders during the global market-wide reference rate transition period. In January 2021, the FASB issued ASU 2021-01 which clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The guidance is effective for all entities as of March 12, 2020 through December 31, 2022. The Company continues to implement its transition plan toward cessation of LIBOR and the modification of its loans and other financial instruments with attributes that are either directly or indirectly influenced by LIBOR. The Company expects to utilize the LIBOR transition relief allowed under ASU 2020-04 and ASU 2020-01, as applicable, and does not expect such adoption to have a material impact on its accounting and disclosures. The Company will continue to assess the impact as the reference rate transition occurs over the next two years .

Investment Securities

Investment Securities	9 Months Ended
	Sep. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Investment Securities	Investment Securities Available-For-Sale The following table shows investment securities available-for-sale. (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2021 U.S. Treasury and Federal agencies securities $ 893,378 $ 5,192 $ (4,898) $ 893,672 U.S. States and political subdivisions securities 93,764 1,537 (751) 94,550 Mortgage-backed securities — Federal agencies 569,805 7,140 (5,795) 571,150 Corporate debt securities 22,509 759 — 23,268 Foreign government and other securities 600 — — 600 Total debt securities available-for-sale $ 1,580,056 $ 14,628 $ (11,444) $ 1,583,240 December 31, 2020 U.S. Treasury and Federal agencies securities $ 610,195 $ 9,521 $ (234) $ 619,482 U.S. States and political subdivisions securities 78,812 2,346 (31) 81,127 Mortgage-backed securities — Federal agencies 442,748 11,237 (196) 453,789 Corporate debt securities 40,813 1,556 — 42,369 Foreign government and other securities 700 — — 700 Total debt securities available-for-sale $ 1,173,268 $ 24,660 $ (461) $ 1,197,467 Amortized cost excludes accrued interest receivable which is included in Accrued Income and Other Assets on the Consolidated Statements of Financial Condition. At September 30, 2021 and December 31, 2020, accrued interest receivable on investment securities available-for-sale was $4.52 million and $3.84 million, respectively. At September 30, 2021 and December 31, 2020, the residential mortgage-backed securities held by the Company consisted primarily of GNMA, FNMA and FHLMC pass-through certificates which are guaranteed by those respective agencies of the United States government (Government Sponsored Enterprise, GSEs). The following table shows the contractual maturities of investments in debt securities available-for-sale at September 30, 2021. Expected maturities will differ from contractual maturities, because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (Dollars in thousands) Amortized Cost Fair Value Due in one year or less $ 127,657 $ 128,770 Due after one year through five years 752,143 754,188 Due after five years through ten years 129,981 128,687 Due after ten years 470 445 Mortgage-backed securities 569,805 571,150 Total debt securities available-for-sale $ 1,580,056 $ 1,583,240 The following table summarizes gross unrealized losses and fair value by investment category and age. At September 30, 2021, the Company’s available-for-sale securities portfolio consisted of 679 securities, 218 of which were in an unrealized loss position. Less than 12 Months 12 months or Longer Total (Dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2021 U.S. Treasury and Federal agencies securities $ 562,067 $ (4,100) $ 47,727 $ (798) $ 609,794 $ (4,898) U.S. States and political subdivisions securities 38,980 (729) 418 (22) 39,398 (751) Mortgage-backed securities - Federal agencies 346,008 (5,791) 344 (4) 346,352 (5,795) Corporate debt securities — — — — — — Foreign government and other securities 600 — — — 600 — Total debt securities available-for-sale $ 947,655 $ (10,620) $ 48,489 $ (824) $ 996,144 $ (11,444) December 31, 2020 U.S. Treasury and Federal agencies securities $ 136,534 $ (234) $ — $ — $ 136,534 $ (234) U.S. States and political subdivisions securities 6,391 (30) 199 (1) 6,590 (31) Mortgage-backed securities - Federal agencies 67,736 (187) 3,274 (9) 71,010 (196) Corporate debt securities — — — — — — Foreign government and other securities 200 — — — 200 — Total debt securities available-for-sale $ 210,861 $ (451) $ 3,473 $ (10) $ 214,334 $ (461) The Company does not consider available-for-sale securities with unrealized losses at September 30, 2021 to be experiencing credit losses and recognized no resulting allowance for credit losses. The Company does not intend to sell these investments and it is more likely than not that the Company will not be required to sell these investments before recovery of the amortized cost basis, which may be the maturity dates of the securities. The unrealized losses occurred as a result of changes in interest rates, market spreads and market conditions subsequent to purchase. The following table shows the gross realized gains and losses from the available-for-sale debt securities portfolio. Realized gains and losses of all securities are computed using the specific identification cost basis. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Gross realized gains $ — $ — $ 221 $ 285 Gross realized losses — — (901) (6) Net realized (losses) gains $ — $ — $ (680) $ 279 At September 30, 2021 and December 31, 2020, investment securities available-for-sale with carrying values of $377.41 million and $338.68 million, respectively, were pledged as collateral for security repurchase agreements and for other purposes.

Loan and Lease Financings

Loan and Lease Financings	9 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Loan and Lease Financings	Loan and Lease FinancingsThe Company evaluates loans and leases for credit quality at least annually but more frequently if certain circumstances occur (such as material new information which becomes available and indicates a potential change in credit risk). The Company uses two methods to assess credit risk: loan or lease credit quality grades and credit risk classifications. The purpose of the loan or lease credit quality grade is to document the degree of risk associated with individual credits as well as inform management of the degree of risk in the portfolio taken as a whole. Credit risk classifications are used to categorize loans by degree of risk and to designate individual or committee approval authorities for higher risk credits at the time of origination. Credit risk classifications include categories for: Acceptable, Marginal, Special Attention, Special Risk, Restricted by Policy, Regulated and Prohibited by Law. All loans and leases, except residential real estate and home equity loans and consumer loans, are assigned credit quality grades on a scale from 1 to 12 with grade 1 representing superior credit quality. The criteria used to assign grades to extensions of credit that exhibit potential problems or well-defined weaknesses are primarily based upon the degree of risk and the likelihood of orderly repayment, and their effect on the Company’s safety and soundness. Loans or leases graded 7 or weaker are considered “special attention” credits and, as such, relationships in excess of $250,000 are reviewed quarterly as part of management’s evaluation of the appropriateness of the allowance for loan and lease losses. Grade 7 credits are defined as “watch” and contain greater than average credit risk and are monitored to limit the exposure to increased risk; grade 8 credits are “special mention” and, following regulatory guidelines, are defined as having potential weaknesses that deserve management’s close attention. Credits that exhibit well-defined weaknesses and a distinct possibility of loss are considered “classified” and are graded 9 through 12 corresponding to the regulatory definitions of “substandard” (grades 9 and 10) and the more severe “doubtful” (grade 11) and “loss” (grade 12). For residential real estate and home equity and consumer loans, credit quality is based on the aging status of the loan and by payment activity. Nonperforming loans are those loans which are on nonaccrual status or are 90 days or more past due. Below is a summary of the Company’s loan and lease portfolio segments and a discussion of the risk characteristics relevant to each portfolio segment. Commercial and agricultural – loans are to entities within the Company’s local market communities. Loans are for business or agri-business purposes and include working capital lines of credit secured by accounts receivable and inventory that are generally renewable annually and term loans secured by equipment with amortizations based on the expected life of the underlying collateral, generally three Solar – loans are for the purpose of financing solar related projects and may include construction draw notes, operating loans, letters of credit and may entail a tax equity structure. Collateral in a multi-state area includes tangible assets of the borrower, assignment of intangible assets including power purchase agreements, and pledges of permits and licenses. Financing is provided to qualified borrowers throughout the continental United States with an emphasis on the region east of the Rocky Mountains. Auto and light truck – loans are secured by vehicles and borrowers are nationwide. The portfolio consists of multiple industries: auto rental, auto leasing and specialty vehicle which includes bus, funeral car and step van. Borrowers in the auto rental segment are primarily independent auto rental entities with on-airport and off-airport locations, and some insurance replacement business. Loan amortizations are relatively short, generally eighteen months, but up to four years. Auto leasing customers lease to businesses and the Company takes assignment of the lease stream and places its lien on the vehicles. Terms are generally longer than the auto rental sector, three Medium and heavy duty truck – loans and full-service truck leases are secured by heavy-duty trucks, commonly Class 8 trucks, and are generally personally guaranteed. In addition to economic risks, collateral risk is significant. Financing is generally at full cost, plus additional expenditures to get the vehicle operational, such as taxes, insurance and fees. It takes three Aircraft – loans are to domestic and foreign borrowers with the domestic segment further divided into two pools: 1) personal and business use, and 2) dealers and operators. The Company’s focus for the foreign sector is Latin America, principally Mexico and Brazil. Loans are primarily secured by new and used business jets and helicopters, with appropriate advances, amortizations of ten Construction equipment – loans are to borrowers throughout the United States secured by specific equipment. The borrowers include highway and road builders, asphalt producers and pavers, suppliers of aggregate products, site developers, frac sand operations, general construction equipment dealers and operators, crane rental entities, forestry, and mining operations. Generally, loans include personal or business guarantees. The construction equipment industry is heavily dependent on the U.S. economy and the global economy. Market growth is reliant on investments from public and private sectors into urbanization and infrastructure projects. Commercial real estate – loans are generally to entities within the local market communities served by the Company with advances generally within regulatory guidelines. Historically, the Company’s exposure to commercial real estate had been primarily to the less risky owner-occupied segment although growth in recent years has been in the non-owner-occupied segment which now accounts for slightly less than half of the portfolio. The non-owner-occupied segment includes hotels, apartment complexes and warehousing facilities. There is limited exposure to development or construction loans. Many commercial real estate loans carry personal guarantees. Additional risks in the commercial real estate portfolio stem from geographical concentration in northern Indiana and southwest Michigan and general economic conditions. Residential real estate and home equity – loans predominantly include one-to-four family mortgages to borrowers in the Company’s local market communities and are appropriately underwritten and secured by residential real estate. Consumer – loans are to individuals in the Company’s local markets and auto loans are generally secured by personal vehicles and appropriately underwritten. The following table shows the amortized cost of loans and leases, segregated by portfolio segment, credit quality rating and year of origination as of September 30, 2021. Term Loans and Leases by Origination Year (Dollars in thousands) 2021 2020 2019 2018 2017 Prior Revolving Loans Revolving Loans Converted to Term Total Commercial and agricultural Grades 1-6 $ 259,015 $ 164,059 $ 69,021 $ 65,697 $ 38,019 $ 22,880 $ 352,797 $ — $ 971,488 Grades 7-12 5,005 236 3,384 2,862 2,250 524 20,100 — 34,361 Total commercial and agricultural 264,020 164,295 72,405 68,559 40,269 23,404 372,897 — 1,005,849 Solar Grades 1-6 95,941 59,984 81,811 19,084 35,536 3,807 — — 296,163 Grades 7-12 — 1,151 5,950 731 — — — — 7,832 Total solar 95,941 61,135 87,761 19,815 35,536 3,807 — — 303,995 Auto and light truck Grades 1-6 273,260 150,752 89,456 30,896 14,202 1,498 — — 560,064 Grades 7-12 8,009 15,891 8,995 5,172 5,917 1,210 — — 45,194 Total auto and light truck 281,269 166,643 98,451 36,068 20,119 2,708 — — 605,258 Medium and heavy duty truck Grades 1-6 49,844 74,581 69,054 28,790 17,651 8,363 — — 248,283 Grades 7-12 — — — — — 321 — — 321 Total medium and heavy duty truck 49,844 74,581 69,054 28,790 17,651 8,684 — — 248,604 Aircraft Grades 1-6 309,624 316,914 104,713 56,148 62,412 36,119 7,308 — 893,238 Grades 7-12 731 692 — 1,442 498 2,976 500 — 6,839 Total aircraft 310,355 317,606 104,713 57,590 62,910 39,095 7,808 — 900,077 Construction equipment Grades 1-6 227,587 224,825 125,132 57,157 19,888 6,548 16,316 3,797 681,250 Grades 7-12 28,546 8,864 4,967 1,532 337 61 752 3,103 48,162 Total construction equipment 256,133 233,689 130,099 58,689 20,225 6,609 17,068 6,900 729,412 Commercial real estate Grades 1-6 133,207 191,237 170,497 146,222 151,008 123,105 525 — 915,801 Grades 7-12 2,475 6,019 5,680 515 6,294 2,347 — — 23,330 Total commercial real estate 135,682 197,256 176,177 146,737 157,302 125,452 525 — 939,131 Residential real estate and home equity Performing 72,849 119,749 46,096 13,632 13,736 97,876 122,849 5,008 491,795 Nonperforming — — — — — 779 236 83 1,098 Total residential real estate and home equity 72,849 119,749 46,096 13,632 13,736 98,655 123,085 5,091 492,893 Consumer Performing 47,476 28,490 20,519 10,204 3,084 922 22,436 — 133,131 Nonperforming 51 40 62 46 243 5 — — 447 Total consumer $ 47,527 $ 28,530 $ 20,581 $ 10,250 $ 3,327 $ 927 $ 22,436 $ — $ 133,578 The following table shows the amortized cost of loans and leases, segregated by portfolio segment, credit quality rating and year of origination as of December 31, 2020. Term Loans and Leases by Origination Year (Dollars in thousands) 2020 2019 2018 2017 2016 Prior Revolving Loans Revolving Loans Converted to Term Total Commercial and agricultural Grades 1-6 $ 525,816 $ 103,120 $ 114,251 $ 56,007 $ 22,023 $ 19,790 $ 291,990 $ — $ 1,132,997 Grades 7-12 6,788 1,699 4,726 3,507 1,200 2,134 33,067 — 53,121 Total commercial and agricultural 532,604 104,819 118,977 59,514 23,223 21,924 325,057 — 1,186,118 Solar Grades 1-6 141,089 90,435 20,160 36,909 4,011 — — — 292,604 Grades 7-12 — — — — — — — — — Total solar 141,089 90,435 20,160 36,909 4,011 — — — 292,604 Auto and light truck Grades 1-6 248,932 141,841 52,749 24,101 4,210 608 — — 472,441 Grades 7-12 19,113 27,136 12,796 8,612 2,250 21 — — 69,928 Total auto and light truck 268,045 168,977 65,545 32,713 6,460 629 — — 542,369 Medium and heavy duty truck Grades 1-6 92,698 88,314 44,205 31,773 15,644 4,840 — — 277,474 Grades 7-12 — 978 — — 632 88 — — 1,698 Total medium and heavy duty truck 92,698 89,292 44,205 31,773 16,276 4,928 — — 279,172 Aircraft Grades 1-6 429,283 153,358 93,042 95,457 43,972 20,966 6,370 — 842,448 Grades 7-12 11,519 2,561 479 596 2,187 1,670 — — 19,012 Total aircraft 440,802 155,919 93,521 96,053 46,159 22,636 6,370 — 861,460 Construction equipment Grades 1-6 311,174 180,550 96,320 42,713 12,624 5,722 17,502 737 667,342 Grades 7-12 17,518 13,743 10,642 398 237 85 2,988 1,935 47,546 Total construction equipment 328,692 194,293 106,962 43,111 12,861 5,807 20,490 2,672 714,888 Commercial real estate Grades 1-6 190,725 204,477 173,847 175,009 69,022 122,762 373 — 936,215 Grades 7-12 9,518 7,990 5,173 6,684 1,762 2,522 — — 33,649 Total commercial real estate 200,243 212,467 179,020 181,693 70,784 125,284 373 — 969,864 Residential real estate and home equity Performing 133,829 65,690 18,194 22,929 41,847 86,106 135,255 5,703 509,553 Nonperforming — — 21 14 — 1,435 247 109 1,826 Total residential real estate and home equity 133,829 65,690 18,215 22,943 41,847 87,541 135,502 5,812 511,379 Consumer Performing 43,824 34,409 18,904 7,005 2,259 793 23,869 — 131,063 Nonperforming 2 99 78 36 8 2 159 — 384 Total consumer $ 43,826 $ 34,508 $ 18,982 $ 7,041 $ 2,267 $ 795 $ 24,028 $ — $ 131,447 The following table shows the amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status. (Dollars in thousands) Current 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due and Accruing Total Nonaccrual Total September 30, 2021 Commercial and agricultural $ 998,092 $ 5,107 $ 129 $ — $ 1,003,328 $ 2,521 $ 1,005,849 Solar 303,995 — — — 303,995 — 303,995 Auto and light truck 576,291 275 — — 576,566 28,692 605,258 Medium and heavy duty truck 247,937 346 — — 248,283 321 248,604 Aircraft 895,911 — 3,474 — 899,385 692 900,077 Construction equipment 721,521 174 — — 721,695 7,717 729,412 Commercial real estate 937,133 224 — — 937,357 1,774 939,131 Residential real estate and home equity 491,351 334 110 96 491,891 1,002 492,893 Consumer 132,845 222 64 — 133,131 447 133,578 Total $ 5,305,076 $ 6,682 $ 3,777 $ 96 $ 5,315,631 $ 43,166 $ 5,358,797 December 31, 2020 Commercial and agricultural $ 1,180,151 $ 34 $ — $ — $ 1,180,185 $ 5,933 $ 1,186,118 Solar 292,604 — — — 292,604 — 292,604 Auto and light truck 504,659 560 205 — 505,424 36,945 542,369 Medium and heavy duty truck 278,452 — — — 278,452 720 279,172 Aircraft 860,632 — — — 860,632 828 861,460 Construction equipment 701,124 1,093 298 — 702,515 12,373 714,888 Commercial real estate 968,370 — — — 968,370 1,494 969,864 Residential real estate and home equity 508,532 782 239 108 509,661 1,718 511,379 Consumer 130,458 504 101 7 131,070 377 131,447 Total $ 5,424,982 $ 2,973 $ 843 $ 115 $ 5,428,913 $ 60,388 $ 5,489,301 Accrued interest receivable on loans and leases at September 30, 2021 and December 31, 2020 was $14.00 million and $16.39 million, respectively. The following table shows average recorded investment and interest income recognized on impaired loans and leases, segregated by portfolio segment for the three and nine months ended September 30, 2020. Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 (Dollars in thousands) Average Interest Average Interest Commercial and agricultural $ 8,989 $ 1 $ 7,393 $ 139 Solar — — — — Auto and light truck 32,369 — 14,632 — Medium and heavy duty truck 985 — 1,011 — Aircraft 1,957 — 2,015 — Construction equipment 15,543 — 12,541 4 Commercial real estate 1,306 — 1,235 — Residential real estate and home equity 332 4 334 11 Consumer — — — — Total $ 61,481 $ 5 $ 39,161 $ 154 There was one nonperforming loan and lease modification classified as a troubled debt restructuring (TDR) during the three and nine months ended September 30, 2021. There were no loan and lease modifications classified as TDR during the three months ended September 30, 2020 and two nonperforming loan and lease modifications classified as TDR during the nine months ended September 30, 2020. The classification between nonperforming and performing is determined at the time of modification. Modification programs focus on extending maturity dates or modifying payment patterns with most TDRs experiencing a combination of concessions. Modifications do not result in the contractual forgiveness of principal or interest. There was one modification during the three and nine months ended September 30, 2021 and no modifications during the three and nine months ended September 30, 2020 that resulted in an interest rate below market rate. There were no TDRs which had payment defaults within the twelve months following modification during the three months ended September 30, 2021 and 2020, respectively. There were no TDRs which had a payment default within the twelve months following modification during the nine months ended September 30, 2021 and one TDR which had a payment default within the twelve months following modification during the nine months ended September 30, 2020. Default occurs when a loan or lease is 90 days or more past due under the modified terms or transferred to nonaccrual. The following table shows the recorded investment of loans and leases classified as troubled debt restructurings as of September 30, 2021 and December 31, 2020. (Dollars in thousands) September 30, December 31, Performing TDRs $ 322 $ 330 Nonperforming TDRs 7,087 11,156 Total TDRs $ 7,409 $ 11,486

Allowance for Credit Losses

Allowance for Credit Losses	9 Months Ended
	Sep. 30, 2021
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]
Allowance for Credit Losses	Allowance for Credit Losses Allowance for Loan and Lease Losses The allowance for credit losses is established for current expected credit losses on the Company’s loan and lease portfolios utilizing guidance in Accounting Standards Codification (ASC) Topic 326. As permitted under The Cares Act, the Company adopted ASU 2016-13 on December 31, 2020. Therefore, the September 30, 2020 provision for credit losses and other allowance for loan and lease loss disclosures for the three and nine months ended September 30, 2020 were calculated under the incurred loss method. The determination of the allowance requires significant judgment to estimate credit losses measured on a collective pool basis when similar risk characteristics exist, and for loans evaluated individually. In determining the allowance, the Company estimates expected future losses for the loan’s entire contractual term adjusted for expected payments when appropriate. The allowance estimate considers relevant available information, from internal and external sources relating to the historical loss experience, current conditions, and reasonable and supportable forecasts for the Company’s outstanding loan and lease balances. The allowance is an estimation that reflects management’s evaluation of expected losses related to the Company’s financial assets measured at amortized cost. To ensure that the allowance is maintained at an adequate level, a detailed analysis is performed on a quarterly basis and an appropriate provision is made to adjust the allowance. The Company categorizes its loan portfolios into nine segments based on similar risk characteristics. Loans within each segment are collectively evaluated using either: 1) a cohort cumulative loss rate methodology (“cohort”) or, 2) the probability of default (“PD”)/loss given default (“LGD”) methodology (PD/LGD). The following table shows the changes in the allowance for loan and lease losses, segregated by portfolio segment, for the three months ended September 30, 2021 and 2020. (Dollars in thousands) Commercial and Solar Auto and Medium Aircraft Construction Commercial Residential Consumer Total September 30, 2021 Balance, beginning of period $ 14,832 $ 5,867 $ 27,221 $ 5,888 $ 35,301 $ 17,908 $ 22,578 $ 5,066 $ 1,700 $ 136,361 Charge-offs 21 — 407 — — 551 — — 98 1,077 Recoveries 176 — 479 — 153 170 — 3 49 1,030 Net charge-offs (recoveries) (155) — (72) — (153) 381 — (3) 49 47 Provision (recovery of provision) 179 (15) (1,451) (158) 975 (1,083) (1,253) 96 151 (2,559) Balance, end of period $ 15,166 $ 5,852 $ 25,842 $ 5,730 $ 36,429 $ 16,444 $ 21,325 $ 5,165 $ 1,802 $ 133,755 September 30, 2020 Balance, beginning of period* $ 25,059 $ 3,948 $ 17,371 $ 4,649 $ 31,101 $ 23,872 $ 19,936 $ 3,821 $ 1,526 $ 131,283 Charge-offs 182 — 4,382 — — 21 36 61 210 4,892 Recoveries 231 — 263 — 191 347 15 1 75 1,123 Net charge-offs (recoveries) (49) — 4,119 — (191) (326) 21 60 135 3,769 Provision (recovery of provision)* (4,378) 392 11,997 (192) 953 (1,395) 1,834 (29) 121 9,303 Balance, end of period* $ 20,730 $ 4,340 $ 25,249 $ 4,457 $ 32,245 $ 22,803 $ 21,749 $ 3,732 $ 1,512 $ 136,817 *ASU 2016-13 adopted during the fourth quarter of 2020 therefore amounts during the third quarter of 2020 reflect the incurred loss method. The following table shows the changes in the allowance for loan and lease losses, segregated by portfolio segment, for the nine months ended September 30, 2021 and 2020. (Dollars in thousands) Commercial and Solar Auto and Medium Aircraft Construction Commercial Residential Consumer Total September 30, 2021 Balance, beginning of period $ 16,680 $ 5,549 $ 28,926 $ 6,400 $ 34,053 $ 19,166 $ 22,758 $ 5,374 $ 1,748 $ 140,654 Charge-offs 307 — 5,060 — — 559 — 42 355 6,323 Recoveries 694 — 664 — 513 424 19 14 282 2,610 Net charge-offs (recoveries) (387) — 4,396 — (513) 135 (19) 28 73 3,713 Provision (recovery of provision) (1,901) 303 1,312 (670) 1,863 (2,587) (1,452) (181) 127 (3,186) Balance, end of period $ 15,166 $ 5,852 $ 25,842 $ 5,730 $ 36,429 $ 16,444 $ 21,325 $ 5,165 $ 1,802 $ 133,755 September 30, 2020 Balance, beginning of period* $ 20,926 $ 2,745 $ 14,400 $ 4,612 $ 31,058 $ 14,120 $ 18,350 $ 3,609 $ 1,434 $ 111,254 Charge-offs 753 — 4,416 — 840 1,582 37 74 640 8,342 Recoveries 533 — 403 — 694 937 43 31 233 2,874 Net charge-offs (recoveries) 220 — 4,013 — 146 645 (6) 43 407 5,468 Provision (recovery of provision)* 24 1,595 14,862 (155) 1,333 9,328 3,393 166 485 31,031 Balance, end of period* $ 20,730 $ 4,340 $ 25,249 $ 4,457 $ 32,245 $ 22,803 $ 21,749 $ 3,732 $ 1,512 $ 136,817 *ASU 2016-13 adopted during the fourth quarter of 2020 therefore amounts during the first nine months of 2020 reflect the incurred loss method. The allowance for credit losses decreased during the most recent quarter and year-to-date in 2021 in response to improving credit quality as evidenced by declining total special attention credit outstandings. Customers benefited from recent economic growth, particularly beginning in the second quarter, and many businesses’ balance sheets were enhanced by stimulus funds. Bus segment customers of the auto and light truck portfolio have generally resumed full principal and interest payments, and many received Coronavirus Economic Relief for Transportation Services (“CERTS”) funds during the third quarter. The Company continues to have concerns about the long-term sustainability of many of these customers and has therefore maintained large reserves for this portfolio segment. The Company reviewed its qualitative factors and forecast adjustments as of quarter-end and made minor adjustments to the forecast factors given the economy is beginning to slow sooner than was anticipated when it revised the forecast adjustment last quarter-end. Previously, the Company reduced qualitative adjustments related to COVID-19 in most of its portfolios and believes those adjustments remain pertinent. This quarter, increases in the allowance for various portfolios, particularly aircraft, were driven by loan growth and to a lesser extent, the forecast adjustment. Decreases in the auto and light truck and construction equipment portfolios were due to decreased balances on special attention credits and in the commercial real estate portfolio were due to lower loan balances. Year-to-date, increases in the allowance for aircraft and solar are attributable to loan growth and in auto and light truck are due to loan growth and increased risk in the bus segment. Decreases in the allowance for the commercial and agriculture portfolio and the construction equipment portfolio are due principally to lower special attention balances and in the commercial real estate portfolio, the decrease is due to a decline in outstanding loan balances. The impact of adopting ASC 326 is included in the beginning balance (December 31, 2020) of each loan segment. Commercial and agricultural – loan balances decreased during the quarter due to a $143.47 million net decrease in PPP loans offset somewhat by loan originations from core business products. Allowances established for new loans as well as the forecast adjustment resulted in a slight increase in the allowance for the quarter. Minimal allowances were established for PPP loans, which have negligible risk. For the nine months ended September 30, 2021, allowances were released primarily from adjustments made to COVID-19 related qualitative factors and lower special attention outstanding balances slightly offset by limited growth in core business products. Solar – allowance decreased slightly for the quarter and increased year-to-date to accommodate the limited loan growth and payments in this portfolio segment. A COVID-19 adjustment was not established for this portfolio as it was deemed to not be materially impacted by the pandemic. Auto and light truck – allowance decreased for the quarter due to upgrading a significant special attention credit somewhat offset by loan growth and revising the forecast adjustment. The decrease in the allowance year-to-date is due to net charge-offs primarily in the bus segment partially offset by increased provision expense resulting from loan growth in the auto rental and leasing segments and credit deterioration in the bus segment. Medium and heavy duty truck – allowance decrease was principally attributable to a decline in loan balances during the periods. Aircraft – the allowance increase was attributable to loan growth in the domestic sector and, to a lesser extent, the impact of revisions to the forecast factors. Year-to-date, the increase in the allowance was principally impacted by loan growth in both the foreign and domestic sector. Construction equipment – allowance decrease for the third quarter was driven by paydowns and the elimination of an impairment reserve on special attention loans somewhat offset by the impact of the forecast adjustment. Year-to-date, the decrease is driven by lower total impairments on loans evaluated individually. Commercial real estate – allowance decrease was due to a decline in outstanding loan balances. For the nine months ended September 30, 2021, the decrease is due to a decline in loan balances and adjustments to the COVID-19 factors. Residential real estate and home equity – allowance increased during the third quarter due to the impact of revising the forecast adjustment. Year-to-date, the decrease in the allowance is due to the slight decline in portfolio outstanding balances. Consumer – segment saw a slight increase in the allowance for the third quarter and year-to-date due to loan growth and the forecast adjustment. Economic Outlook As of September 30, 2021, the impact of the COVID-19 pandemic continues to adversely affect the loan and lease portfolios. The forecast considers global and domestic economic effects from the ongoing pandemic as well as the potential impact of U.S. monetary and fiscal policy, which may impact clients, particularly those who benefited from paycheck protection program funds or from targeted funds for struggling industry sectors such as transportation. The Company’s assumption was revised this quarter given the softening GDP growth projections. The Company continues to believe that the pandemic will have an adverse impact on the loan and lease portfolio over the next two years with the impact on the portfolios being more severe in the first twelve months of the forecast period than previously anticipated. GDP growth exceeded expectations during the first half of 2021 but is slowing at a faster pace than we projected last quarter and was a significant impetus for the forecast adjustments made this quarter. Likewise, job growth is lower than the Company initially anticipated. As a result of the unprecedented economic uncertainty caused by the COVID-19 pandemic, the Company’s future loss estimates may vary considerably from the September 30, 2021 assumptions. Liability for Credit Losses on Unfunded Loan Commitments The liability for credit losses inherent in unfunded loan commitments is included in Accrued Expenses and Other Liabilities on the Consolidated Statements of Financial Condition. The following table shows the changes in the liability for credit losses on unfunded loan commitments. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Balance, beginning of period* $ 4,317 $ 3,525 $ 4,499 $ 3,172 Provision (recovery of provision)* 46 39 (136) 392 Balance, end of period* $ 4,363 $ 3,564 $ 4,363 $ 3,564 *ASU 2016-13 adopted during the fourth quarter of 2020 therefore third quarter 2020 amounts reflect the incurred loss method.

Lease Investments

Lease Investments	9 Months Ended
	Sep. 30, 2021
Leases [Abstract]
Lease Investments	Lease Investments As a lessor, the Company’s loan and lease portfolio includes direct finance leases, which are included in commercial and agricultural, solar, auto and light truck, medium and heavy duty truck, aircraft, and construction equipment on the Consolidated Statements of Financial Condition. The Company also finances various types of construction equipment, medium and heavy duty trucks, automobiles and other equipment under leases classified as operating leases, which are included in Equipment Owned Under Operating Leases, net, on the Consolidated Statements of Financial Condition. The following table shows interest income recognized from direct finance lease payments and operating lease equipment rental income and related depreciation expense. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Direct finance leases: Interest income on lease receivable $ 1,629 $ 1,880 $ 4,880 $ 6,310 Operating leases: Income related to lease payments $ 3,946 $ 5,593 $ 12,830 $ 18,213 Depreciation expense 3,239 4,694 10,562 15,263

Mortgage Servicing Rights

Mortgage Servicing Rights	9 Months Ended
	Sep. 30, 2021
Transfers and Servicing of Financial Assets [Abstract]
Mortgage Servicing Rights	Mortgage Servicing Rights The Company recognizes the rights to service residential mortgage loans for others as separate assets, whether the servicing rights are acquired through a separate purchase or through the sale of originated loans with servicing rights retained. The Company allocates a portion of the total proceeds of a mortgage loan to servicing rights based on the relative fair value. The unpaid principal balance of residential mortgage loans serviced for third parties was $858.70 million and $838.45 million at September 30, 2021 and December 31, 2020, respectively. Mortgage servicing rights (MSRs) are evaluated for impairment at each reporting date. For purposes of impairment measurement, MSRs are stratified based on the predominant risk characteristics of the underlying servicing, principally by loan type. If temporary impairment exists within a tranche, a valuation allowance is established through a charge to income equal to the amount by which the carrying value exceeds the fair value. If it is later determined all or a portion of the temporary impairment no longer exists for a particular tranche, the valuation allowance is reduced through a recovery of income. The following table shows changes in the carrying value of MSRs and the associated valuation allowance. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Mortgage servicing rights: Balance at beginning of period $ 4,678 $ 4,294 $ 4,616 $ 4,200 Additions 395 897 1,566 2,094 Amortization (554) (654) (1,663) (1,757) Sales — — — — Carrying value before valuation allowance at end of period 4,519 4,537 4,519 4,537 Valuation allowance: Balance at beginning of period (223) (546) (812) — Impairment recoveries (charges) 223 (262) 812 (808) Balance at end of period $ — $ (808) $ — $ (808) Net carrying value of mortgage servicing rights at end of period $ 4,519 $ 3,729 $ 4,519 $ 3,729 Fair value of mortgage servicing rights at end of period $ 4,999 $ 4,000 $ 4,999 $ 4,000 At September 30, 2021 and 2020, the fair value of MSRs exceeded the carrying value reported in the Consolidated Statements of Financial Condition by $0.48 million and $0.27 million, respectively. This difference represents increases in the fair value of certain MSRs that could not be recorded above cost basis. Mortgage loan contractual servicing fees, including late fees and ancillary income, were $0.81 million and $0.81 million for the three months ended September 30, 2021 and 2020, respectively. Mortgage loan contractual servicing fees, including late fees and ancillary income, were $2.40 million and $2.31 million for the nine months ended September 30, 2021 and 2020, respectively. Mortgage loan contractual servicing fees are included in Mortgage Banking on the Consolidated Statements of Income.

Commitments and Financial Instr

Commitments and Financial Instruments with Off-Balance-Sheet Risk	9 Months Ended
	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Financial Instruments with Off-Balance-Sheet Risk	Commitments and Financial Instruments with Off-Balance-Sheet Risk Financial Instruments with Off-Balance-Sheet Risk — 1st Source and its subsidiaries are parties to financial instruments with off-balance-sheet risk in the normal course of business. These off-balance-sheet financial instruments include commitments to originate and sell loans and standby letters of credit. The instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the Consolidated Statements of Financial Condition. The following table shows financial instruments whose contract amounts represent credit risk. (Dollars in thousands) September 30, December 31, Amounts of commitments: Loan commitments to extend credit $ 1,156,994 $ 1,140,892 Standby letters of credit $ 28,868 $ 24,884 Commercial and similar letters of credit $ 6,115 $ 7,095 The exposure to credit loss in the event of nonperformance by the other party to the financial instruments for loan commitments and standby letters of credit is represented by the dollar amount of those instruments. The Company uses the same credit policies and collateral requirements in making commitments and conditional obligations as it does for on-balance-sheet instruments. The Company grants mortgage loan commitments to borrowers, subject to normal loan underwriting standards. The interest rate risk associated with these loan commitments is managed by entering into contracts for future deliveries of loans. Loan commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Standby letters of credit are conditional commitments that guarantee the performance of a client to a third party. The credit risk involved in and collateral obtained when issuing standby letters of credit is essentially the same as that involved in extending loan commitments to clients. Standby letters of credit generally have terms ranging from two months to one year. Commercial letters of credit are issued specifically to facilitate commerce and typically result in the commitment being drawn on when the underlying transaction is consummated between the customer and the third party. Commercial letters of credit generally have terms ranging from two months to six months.

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
	Sep. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Commitments to originate residential mortgage loans held for sale and forward commitments to sell residential mortgage loans are considered derivative instruments. See Note 8 for further information. The Company has certain interest rate derivative positions that are not designated as hedging instruments. Derivative assets and liabilities are recorded at fair value on the Consolidated Statements of Financial Condition and do not take into account the effects of master netting agreements. Master netting agreements allow the Company to settle all derivative contracts held with a single counterparty on a net basis, and to offset net derivative positions with related collateral, where applicable. These derivative positions relate to transactions in which the Company enters into an interest rate swap with a client while at the same time entering into an offsetting interest rate swap with another financial institution. In connection with each transaction, the Company agrees to pay interest to the client on a notional amount at a variable interest rate and receive interest from the client on the same notional amount at a fixed interest rate. At the same time, the Company agrees to pay another financial institution the same fixed interest rate on the same notional amount and receive the same variable interest rate on the same notional amount. The transaction allows the client to effectively convert a variable rate loan to a fixed rate. Because the terms of the swaps with the customers and the other financial institutions offset each other, with the only difference being counterparty credit risk, changes in the fair value of the underlying derivative contracts are not materially different and do not significantly impact the Company’s results of operations. The following table shows the amounts of non-hedging derivative financial instruments. Asset derivatives Liability derivatives (Dollars in thousands) Notional or contractual amount Statement of Financial Condition classification Fair value Statement of Financial Condition classification Fair value September 30, 2021 Interest rate swap contracts $ 1,117,657 Other assets $ 28,368 Other liabilities $ 28,975 Loan commitments 30,800 Mortgages held for sale 783 N/A — Forward contracts - mortgage loan 48,000 Mortgages held for sale 222 N/A — Total $ 1,196,457 $ 29,373 $ 28,975 December 31, 2020 Interest rate swap contracts $ 1,155,252 Other assets $ 46,654 Other liabilities $ 47,681 Loan commitments 32,588 Mortgages held for sale 1,487 N/A — Forward contracts - mortgage loan 38,310 N/A — Mortgages held for sale 290 Total $ 1,226,150 $ 48,141 $ 47,971 The following table shows the amounts included in the Consolidated Statements of Income for non-hedging derivative financial instruments. Gain (loss) Three Months Ended Nine Months Ended (Dollars in thousands) Statement of Income classification 2021 2020 2021 2020 Interest rate swap contracts Other expense $ 101 $ 50 $ 420 $ (583) Interest rate swap contracts Other income 69 23 307 560 Loan commitments Mortgage banking (75) 1,406 (704) 2,292 Forward contracts - mortgage loan Mortgage banking 246 26 512 (37) Total $ 341 $ 1,505 $ 535 $ 2,232 The following table shows the offsetting of financial assets and derivative assets. Gross Amounts Not Offset in the Statement of Financial Condition (Dollars in thousands) Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Financial Instruments Cash Collateral Received Net Amount September 30, 2021 Interest rate swaps $ 32,806 $ 4,438 $ 28,368 $ — $ — $ 28,368 December 31, 2020 Interest rate swaps $ 52,872 $ 6,218 $ 46,654 $ — $ — $ 46,654 The following table shows the offsetting of financial liabilities and derivative liabilities. Gross Amounts Not Offset in the Statement of Financial Condition (Dollars in thousands) Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Liabilities Presented in the Statement of Financial Condition Financial Instruments Cash Collateral Pledged Net Amount September 30, 2021 Interest rate swaps $ 33,413 $ 4,438 $ 28,975 $ 28,168 $ — $ 807 Repurchase agreements 210,275 — 210,275 210,275 — — Total $ 243,688 $ 4,438 $ 239,250 $ 238,443 $ — $ 807 December 31, 2020 Interest rate swaps $ 53,899 $ 6,218 $ 47,681 $ 46,978 $ — $ 703 Repurchase agreements 143,564 — 143,564 143,564 — — Total $ 197,463 $ 6,218 $ 191,245 $ 190,542 $ — $ 703 If a default in performance of any obligation of a repurchase agreement occurs, each party will set-off property held in respect of transactions against obligations owing in respect of any other transactions. At September 30, 2021 and December 31, 2020, repurchase agreements had a remaining contractual maturity of $207.08 million and $141.42 million in overnight and $3.20 million and $2.14 million in up to 30 days, respectively and were collateralized by U.S. Treasury and Federal agencies securities.

Variable Interest Entities

Variable Interest Entities	9 Months Ended
	Sep. 30, 2021
Variable Interest Entities [Abstract]
Variable Interest Entities Disclosure	Variable Interest Entities A variable interest entity (VIE) is a partnership, limited liability company, trust or other legal entity that meets any one of the following criteria: • The entity does not have sufficient equity to conduct its activities without additional subordinated financial support from another party. • The entity’s investors lack the power to direct the activities that most significantly affect the entity’s economic performance. • The entity’s at-risk holders do not have the obligation to absorb the losses or the right to receive residual returns. • The voting rights of some investors are not proportional to their economic interests in the entity, and substantially all of the entity’s activities involve, or are conducted on behalf of, investors with disproportionately few voting rights. The Company is involved in various entities that are considered to be VIEs. The Company’s investments in VIEs are primarily related to investments promoting affordable housing, community development and renewable energy sources. Some of these tax-advantaged investments support the Company’s regulatory compliance with the Community Reinvestment Act. The Company’s investments in these entities generate a return primarily through the realization of federal and state income tax credits, and other tax benefits, such as tax deductions from operating losses of the investments, over specified time periods. Tax credits from affordable housing investments and community development investments are recognized as a reduction of tax expense. Investments in renewable energy sources qualify as investment tax credits and are recognized as a reduction to the related investment asset. The Company recognized federal income tax credits related to its affordable housing and community development tax-advantaged investments in tax expense of $0.55 million and $0.43 million for the three months ended September 30, 2021 and 2020, respectively and $1.56 million and $1.29 million for the nine months ended September 30, 2021 and 2020, respectively. The Company also recognized $0.32 million and $0.00 million of investment tax credits for the three months ended September 30, 2021 and 2020, respectively and $3.32 million and $7.84 million for the nine months ended September 30, 2021 and 2020, respectively. The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not have both the power to direct the entities’ most significant activities and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIEs. As a limited partner in these operating partnerships, we are allocated credits and deductions associated with the underlying properties. The Company has determined that it is not the primary beneficiary of these investments because the general partners have the power to direct activities that most significantly influence the economic performance of their respective partnerships. The Company’s investments in these unconsolidated VIEs are carried in Other Assets on the Consolidated Statements of Financial Condition. The Company’s unfunded capital and other commitments related to these unconsolidated VIEs are generally carried in Other Liabilities on the Consolidated Statements of Financial Condition. The Company’s maximum exposure to loss from these unconsolidated VIEs include the investment recorded on the Company’s Consolidated Statements of Financial Condition, net of unfunded capital commitments, and previously recorded tax credits which remain subject to recapture by taxing authorities based on compliance features required to be met at the project level. While the Company believes potential losses from these investments are remote, the maximum exposure was determined by assuming a scenario where the community-based business, housing projects and renewable energy projects completely fail and do not meet certain taxing authority compliance requirements resulting in recapture of the related tax credits. The following table provides a summary of investments in affordable housing, community development and renewable energy VIEs that the Company has not consolidated. (Dollars in thousands) September 30, 2021 December 31, 2020 Investment carrying amount $ 31,339 $ 22,742 Unfunded capital and other commitments 25,829 26,716 Maximum exposure to loss 57,804 52,106 The Company is required to consolidate VIEs in which it has concluded it has significant involvement in and the ability to direct the activities that impact the entity’s economic performance. The Company is the managing general partner of entities to which it shares interest in tax-advantaged investments with third parties. At September 30, 2021 and December 31, 2020, approximately $58.97 million and $53.61 million of the Company’s assets and $8.91 million and $4.93 million of its liabilities included on the Consolidated Statements of Financial Condition were related to tax-advantaged investment VIEs which the Company has consolidated, respectively. The assets of the consolidated VIEs are reported in Other Assets, the liabilities are reported in Other Liabilities and the non-controlling interest is reported in Equity on the Consolidated Statements of Financial Condition. The assets of a particular VIE are the primary source of funds to settle its obligations. The creditors of the VIE do not have recourse to the general credit of the Company. The Company’s exposure to the consolidated VIE is generally limited to the carrying value of its variable interest plus any related tax credits previously recognized. Additionally, the Company sponsors one trust, 1st Source Master Trust (Capital Trust) of which 100% of the common equity is owned by the Company. The Capital Trust was formed in 2007 for the purpose of issuing corporation-obligated mandatorily redeemable capital securities (the capital securities) to third-party investors and investing the proceeds from the sale of the capital securities solely in junior subordinated debenture securities of the Company (the subordinated notes). The subordinated notes held by the Capital Trust are the sole assets of the Capital Trust. The Capital Trust qualifies as a variable interest entity for which the Company is not the primary beneficiary and therefore reported in the financial statements as an unconsolidated subsidiary. The junior subordinated debentures are reflected as subordinated notes in the Statements of Financial Condition with the corresponding interest distributions reflected as Interest Expense in the Statements of Income. The common shares issued by the Capital Trust are included in Other Assets in the Statements of Financial Condition. Distributions on the capital securities issued by the Capital Trust are payable quarterly at a rate per annum equal to the interest rate being earned by the Capital Trust on the subordinated notes held by the Capital Trust. The capital securities are subject to mandatory redemption, in whole or in part, upon repayment of the subordinated notes. The Company has entered into agreements which, taken collectively, fully and unconditionally guarantee the capital securities subject to the terms of each of the guarantees. The capital securities held by the Capital Trust qualify as Tier 1 capital under Federal Reserve Board guidelines. The following table shows subordinated notes at September 30, 2021. (Dollars in thousands) Amount of Subordinated Notes Interest Rate Maturity Date June 2007 issuance (1) $ 41,238 7.22 % 6/15/2037 August 2007 issuance (2) 17,526 1.60 % 9/15/2037 Total $ 58,764 (1) Fixed rate through life of debt. (2) 3-Month LIBOR +1.48% through remaining life of debt.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Earnings per common share is computed using the two-class method. Basic earnings per common share is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding during the applicable period, excluding outstanding participating securities. Participating securities include non-vested restricted stock awards. Non-vested restricted stock awards are considered participating securities to the extent the holders of these securities receive non-forfeitable dividends at the same rate as holders of common stock. Diluted earnings per common share is computed using the weighted-average number of shares determined for the basic earnings per common share computation plus the dilutive effect of stock compensation using the treasury stock method. Stock options, where the exercise price was greater than the average market price of the common shares, were excluded from the computation of diluted earnings per common share because the result would have been antidilutive. There were no stock options outstanding as of September 30, 2021 and 2020. The following table presents a reconciliation of the number of shares used in the calculation of basic and diluted earnings per common share. Three Months Ended Nine Months Ended (Dollars in thousands - except per share amounts) 2021 2020 2021 2020 Distributed earnings allocated to common stock $ 7,749 $ 7,166 $ 22,681 $ 21,714 Undistributed earnings allocated to common stock 24,472 12,755 67,422 32,941 Net earnings allocated to common stock 32,221 19,921 90,103 54,655 Net earnings allocated to participating securities 262 137 708 318 Net income allocated to common stock and participating securities $ 32,483 $ 20,058 $ 90,811 $ 54,973 Weighted average shares outstanding for basic earnings per common share 24,919,956 25,552,374 25,126,703 25,538,910 Dilutive effect of stock compensation — — — — Weighted average shares outstanding for diluted earnings per common share 24,919,956 25,552,374 25,126,703 25,538,910 Basic earnings per common share $ 1.29 $ 0.78 $ 3.59 $ 2.14 Diluted earnings per common share $ 1.29 $ 0.78 $ 3.59 $ 2.14

Stock Based Compensation

Stock Based Compensation	9 Months Ended
	Sep. 30, 2021
Share-based Payment Arrangement [Abstract]
Stock Based Compensation	Stock Based Compensation As of September 30, 2021, the Company had four active stock-based employee compensation plans, which are more fully described in Note 16 of the Consolidated Financial Statements in 1st Source’s Annual Report on Form 10-K for the year ended December 31, 2020. These plans include three executive stock award plans, the Executive Incentive Plan, the Restricted Stock Award Plan, the Strategic Deployment Incentive Plan; and the Employee Stock Purchase Plan. The 2011 Stock Option Plan was approved by the shareholders on April 21, 2011 but the Company had not made any grants through September 30, 2021. Stock-based compensation expense for all stock-based compensation awards granted is based on the grant-date fair value. For all awards except stock option awards, the grant date fair value is either the fair market value per share or book value per share (corresponding to the type of stock awarded) as of the grant date. For stock option awards, the grant date fair value is estimated using the Black-Scholes option pricing model. For all awards, the Company recognizes these compensation costs on a straight-line basis over the requisite service period of the award, for which the Company uses the related vesting term. Total fair value of options vested and expensed was zero for the nine months ended September 30, 2021 and 2020. As of September 30, 2021 and 2020 there were no outstanding stock options. There were no stock options exercised during the nine months ended September 30, 2021 and 2020. All shares issued in connection with stock option exercises are issued from available treasury stock. As of September 30, 2021, there was $8.05 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements. That cost is expected to be recognized over a weighted-average period of 3.32 years.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income	9 Months Ended
	Sep. 30, 2021
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Income	Accumulated Other Comprehensive Income (Loss) The following table presents reclassifications out of accumulated other comprehensive income (loss) related to unrealized gains and losses on available-for-sale securities. Three Months Ended September 30, Nine Months Ended September 30, Affected Line Item in the Statements of Income (Dollars in thousands) 2021 2020 2021 2020 Realized (losses) gains included in net income $ — $ — $ (680) $ 279 (Losses) gains on investment securities available-for-sale — — (680) 279 Income before income taxes Tax effect — — 164 (65) Income tax expense Net of tax $ — $ — $ (516) $ 214 Net income

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The total amount of unrecognized tax benefits that would affect the effective tax rate if recognized was zero at September 30, 2021 and December 31, 2020. Interest and penalties are recognized through the income tax provision. For the three and nine months ended September 30, 2021 and 2020, the Company recognized no interest or penalties. There were no accrued interest and penalties at September 30, 2021 and December 31, 2020. Tax years that remain open and subject to audit include the federal 2017-2020 years and the Indiana 2017-2020 years. The Company does not anticipate a significant change in the amount of uncertain tax positions within the next 12 months.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The Company records certain assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements are also utilized to determine the initial value of certain assets and liabilities, to perform impairment assessments, and for disclosure purposes. The Company uses quoted market prices and observable inputs to the maximum extent possible when measuring fair value. In the absence of quoted market prices, various valuation techniques are utilized to measure fair value. When possible, observable market data for identical or similar financial instruments is used in the valuation. When market data is not available, fair value is determined using valuation models that incorporate management’s estimates of the assumptions a market participant would use in pricing the asset or liability. Fair value measurements are classified within one of three levels based on the observability of the inputs used to determine fair value, as follows: • Level 1 — The valuation is based on quoted prices in active markets for identical instruments. • Level 2 — The valuation is based on observable inputs such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. • Level 3 — The valuation is based on unobservable inputs that are supported by minimal or no market activity and that are significant to the fair value of the instrument. Level 3 valuations are typically performed using pricing models, discounted cash flow methodologies, or similar techniques that incorporate management’s own estimates of assumptions that market participants would use in pricing the instrument, or valuations that require significant management judgment or estimation. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company elected fair value accounting for mortgages held for sale and for its best-efforts forward sales commitments. The Company economically hedges its mortgages held for sale at the time the interest rate locks are issued to the customers. The Company believes the election for mortgages held for sale will reduce certain timing differences and better match changes in the value of these assets with changes in the value of derivatives or best-best efforts forward sales commitments. At September 30, 2021 and December 31, 2020, all mortgages held for sale were carried at fair value. The following table shows the differences between the fair value carrying amount of mortgages held for sale measured at fair value and the aggregate unpaid principal amount the Company is contractually entitled to receive at maturity. (Dollars in thousands) Fair value Aggregate Excess of fair value carrying amount over (under) unpaid principal September 30, 2021 Mortgages held for sale reported at fair value $ 34,594 $ 32,824 $ 1,770 (1) December 31, 2020 Mortgages held for sale reported at fair value $ 12,885 $ 11,045 $ 1,840 (1) (1) The excess of fair value carrying amount over (under) unpaid principal is included in mortgage banking income and includes changes in fair value at and subsequent to funding and gains and losses on the related loan commitment prior to funding. Financial Instruments on Recurring Basis: The following is a description of the valuation methodologies used for financial instruments measured at fair value on a recurring basis: Investment securities available-for-sale are valued primarily by a third party pricing agent. Prices supplied by the independent pricing agent, as well as their pricing methodologies and assumptions, are reviewed by the Company for reasonableness and to ensure such prices are aligned with market levels. In general, the Company’s investment securities do not possess a complex structure that could introduce greater valuation risk. The portfolio mainly consists of traditional investments including U.S. Treasury and Federal agencies securities, Federal agency mortgage pass-through securities, and general obligation and revenue municipal bonds. Pricing for such instruments is fairly generic and is easily obtained. On a quarterly basis, prices supplied by the pricing agent are validated by comparison to prices obtained from other third party sources for a material portion of the portfolio. The valuation policy and procedures for Level 3 fair value measurements of available-for-sale debt securities are decided through collaboration between management of the Corporate Accounting and Funds Management departments. The changes in fair value measurement for Level 3 securities are analyzed on a periodic basis under a collaborative framework with the aforementioned departments. The methodology and variables used for input are derived from the combination of observable and unobservable inputs. The unobservable inputs are determined through internal assumptions that may vary from period to period due to external factors, such as market movement and credit rating adjustments. Both the market and income valuation approaches are implemented using the following types of inputs: • U.S. treasuries are priced using the market approach and utilizing live data feeds from active market exchanges for identical securities. • Government-sponsored agency debt securities and corporate bonds are primarily priced using available market information through processes such as benchmark curves, market valuations of like securities, sector groupings and matrix pricing. • Other government-sponsored agency securities, mortgage-backed securities and some of the actively traded REMICs and CMOs, are primarily priced using available market information including benchmark yields, prepayment speeds, spreads and volatility of similar securities. • State and political subdivisions are largely grouped by characteristics, i.e., geographical data and source of revenue in trade dissemination systems. Since some securities are not traded daily and due to other grouping limitations, active market quotes are often obtained using benchmarking for like securities. Local direct placement municipal securities, with very little market activity, are priced using an appropriate market yield curve, which includes a credit spread assumption. Mortgages held for sale and the related loan commitments and forward contracts (hedges) are valued by a third party pricing agent. Prices supplied by the independent pricing agent, as well as their pricing methodologies, are reviewed by the Company for reasonableness and to ensure such prices are aligned with market values. On a quarterly basis, prices supplied by the pricing agent are validated by comparison to the prices obtained from other third party sources. Interest rate swap positions, both assets and liabilities, are valued by a third-party pricing agent using an income approach and utilizing models that use as their basis readily observable market parameters. This valuation process considers various factors including interest rate yield curves, time value and volatility factors. Validation of third party agent valuations is accomplished by comparing those values to the Company’s swap counterparty valuations. Management believes an adjustment is required to “mid-market” valuations for derivatives tied to its performing loan portfolio to recognize the imprecision and related exposure inherent in the process of estimating expected credit losses as well as velocity of deterioration evident with systemic risks embedded in these portfolios. Any change in the mid-market derivative valuation adjustment will be recognized immediately through the Consolidated Statements of Income. The following table shows the balance of assets and liabilities measured at fair value on a recurring basis. (Dollars in thousands) Level 1 Level 2 Level 3 Total September 30, 2021 Assets: Investment securities available-for-sale: U.S. Treasury and Federal agencies securities $ 372,074 $ 521,598 $ — $ 893,672 U.S. States and political subdivisions securities — 92,721 1,829 94,550 Mortgage-backed securities — Federal agencies — 571,150 — 571,150 Corporate debt securities — 23,268 — 23,268 Foreign government and other securities — 600 — 600 Total debt securities available-for-sale 372,074 1,209,337 1,829 1,583,240 Mortgages held for sale — 34,594 — 34,594 Accrued income and other assets (interest rate swap agreements) — 28,368 — 28,368 Total $ 372,074 $ 1,272,299 $ 1,829 $ 1,646,202 Liabilities: Accrued expenses and other liabilities (interest rate swap agreements) $ — $ 28,975 $ — $ 28,975 Total $ — $ 28,975 $ — $ 28,975 December 31, 2020 Assets: Investment securities available-for-sale: U.S. Treasury and Federal agencies securities $ 80,285 $ 539,197 $ — $ 619,482 U.S. States and political subdivisions securities — 78,975 2,152 81,127 Mortgage-backed securities — Federal agencies — 453,789 — 453,789 Corporate debt securities — 42,369 — 42,369 Foreign government and other securities — 700 — 700 Total debt securities available-for-sale 80,285 1,115,030 2,152 1,197,467 Mortgages held for sale — 12,885 — 12,885 Accrued income and other assets (interest rate swap agreements) — 46,654 — 46,654 Total $ 80,285 $ 1,174,569 $ 2,152 $ 1,257,006 Liabilities: Accrued expenses and other liabilities (interest rate swap agreements) $ — $ 47,681 $ — $ 47,681 Total $ — $ 47,681 $ — $ 47,681 The following table shows changes in Level 3 assets measured at fair value on a recurring basis for the quarter ended September 30, 2021 and 2020. (Dollars in thousands) U.S. States and Beginning balance July 1, 2021 $ 1,921 Total gains or losses (realized/unrealized): Included in earnings — Included in other comprehensive income (7) Purchases — Issuances — Sales — Settlements — Maturities (85) Transfers into Level 3 — Transfers out of Level 3 — Ending balance September 30, 2021 $ 1,829 Beginning balance July 1, 2020 $ 3,179 Total gains or losses (realized/unrealized): Included in earnings — Included in other comprehensive income 166 Purchases — Issuances — Sales — Settlements — Maturities (80) Transfers into Level 3 — Transfers out of Level 3 — Ending balance September 30, 2020 $ 3,265 There were no gains or losses for the period included in earnings attributable to the change in unrealized gains or losses relating to assets still held at September 30, 2021 or 2020. The following table shows the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a recurring basis. (Dollars in thousands) Fair Value Valuation Methodology Unobservable Inputs Range of Inputs Weighted Average September 30, 2021 Debt securities available-for sale Direct placement municipal securities $ 1,829 Discounted cash flows Credit spread assumption 1.61% - 2.79% 2.11 % December 31, 2020 Debt securities available-for sale Direct placement municipal securities $ 2,152 Discounted cash flows Credit spread assumption 0.04% - 2.30% 1.55 % Financial Instruments on Non-recurring Basis: The Company may be required, from time to time, to measure certain other financial assets at fair value on a non-recurring basis in accordance with GAAP. These adjustments to fair value usually result from application of lower of cost or market accounting or impairment charges of individual assets. The Credit Policy Committee (CPC), a management committee, is responsible for overseeing the valuation processes and procedures for Level 3 measurements of impaired loans, other real estate and repossessions. The CPC reviews these assets on a quarterly basis to determine the accuracy of the observable inputs, generally third party appraisals, auction values, values derived from trade publications and data submitted by the borrower, and the appropriateness of the unobservable inputs, generally discounts due to current market conditions and collection issues. The CPC establishes discounts based on asset type and valuation source; deviations from the standard are documented. The discounts are reviewed periodically, annually at a minimum, to determine they remain appropriate. Consideration is given to current trends in market values for the asset categories and gains and losses on sales of similar assets. The Loan and Funds Management Committee of the Board of Directors is responsible for overseeing the CPC. Discounts vary depending on the nature of the assets and the source of value. Aircraft are generally valued using quarterly trade publications adjusted for engine time, condition, maintenance programs, discounted by 10%. Likewise, autos are valued using current auction values, discounted by 10%; medium and heavy duty trucks are valued using trade publications and auction values, discounted by 15%. Construction equipment is generally valued using trade publications and auction values, discounted by 20%. Real estate is valued based on appraisals or evaluations, discounted by 20% with higher discounts for property in poor condition or property with characteristics which may make it more difficult to market. Commercial loans subject to borrowing base certificates are generally discounted by 20% for receivables and 40% - 75% for inventory with higher discounts when monthly borrowing base certificates are not required or received. Collateral-dependent impaired loans and related write-downs are based on the fair value of the underlying collateral if repayment is expected solely from the collateral. Collateral values are reviewed quarterly and estimated using customized discounting criteria, appraisals and dealer and trade magazine quotes which are used in a market valuation approach. In accordance with fair value measurements, only impaired loans for which an allowance for loan loss has been established based on the fair value of collateral require classification in the fair value hierarchy. As a result, only a portion of the Company’s impaired loans are classified in the fair value hierarchy. The Company has established MSRs valuation policies and procedures based on industry standards and to ensure valuation methodologies are consistent and verifiable. MSRs and related adjustments to fair value result from application of lower of cost or fair value accounting. For purposes of impairment, MSRs are stratified based on the predominant risk characteristics of the underlying servicing, principally by loan type. The fair value of each tranche of the servicing portfolio is estimated by calculating the present value of estimated future net servicing cash flows, taking into consideration actual and expected mortgage loan prepayment rates, discount rates, servicing costs, and other economic factors. Prepayment rates and discount rates are derived through a third party pricing agent. Changes in the most significant inputs, including prepayment rates and discount rates, are compared to the changes in the fair value measurements and appropriate resolution is made. A fair value analysis is also obtained from an independent third party agent and compared to the internal valuation for reasonableness. MSRs do not trade in an active, open market with readily observable prices and though sales of MSRs do occur, precise terms and conditions typically are not readily available and the characteristics of the Company’s servicing portfolio may differ from those of any servicing portfolios that do trade. Other real estate is based on the fair value of the underlying collateral less expected selling costs. Collateral values are estimated primarily using appraisals and reflect a market value approach. Fair values are reviewed quarterly, and new appraisals are obtained annually. Repossessions are similarly valued. For assets measured at fair value on a nonrecurring basis the following represents impairment charges (recoveries) recognized on these assets during the quarter ended September 30, 2021: collateral-dependent impaired loans - $0.10 million; mortgage servicing rights - ($0.22) million; repossessions - $0.00 million; and other real estate - $0.00 million. The following table shows the carrying value of assets measured at fair value on a non-recurring basis. (Dollars in thousands) Level 1 Level 2 Level 3 Total September 30, 2021 Collateral-dependent impaired loans $ — $ — $ 1,332 $ 1,332 Accrued income and other assets (mortgage servicing rights) — — 4,519 4,519 Accrued income and other assets (repossessions) — — 690 690 Accrued income and other assets (other real estate) — — — — Total $ — $ — $ 6,541 $ 6,541 December 31, 2020 Collateral-dependent impaired loans $ — $ — $ 11,991 $ 11,991 Accrued income and other assets (mortgage servicing rights) — — 3,804 3,804 Accrued income and other assets (repossessions) — — 1,976 1,976 Accrued income and other assets (other real estate) — — 359 359 Total $ — $ — $ 18,130 $ 18,130 The following table below shows the valuation methodology and unobservable inputs for Level 3 assets and liabilities measured at fair value on a non-recurring basis. (Dollars in thousands) Carrying Value Fair Value Valuation Methodology Unobservable Inputs Range of Inputs Weighted Average September 30, 2021 Collateral-dependent impaired loans $ 1,332 $ 1,332 Collateral based measurements including appraisals, trade publications, and auction values Discount for lack of marketability and current conditions 20% - 90% 30.7 % Mortgage servicing rights 4,519 4,999 Discounted cash flows Constant prepayment rate (CPR) 12.7% - 20.2% 17.7 % Discount rate 8.6% - 11.5% 8.8 % Repossessions 690 725 Appraisals, trade publications and auction values Discount for lack of marketability 3% - 11% 5 % Other real estate — — Appraisals Discount for lack of marketability 0% - 0% 0 % December 31, 2020 Collateral-dependent impaired loans $ 11,991 $ 11,991 Collateral based measurements including appraisals, trade publications, and auction values Discount for lack of marketability and current conditions 0% - 100% 43.7 % Mortgage servicing rights 3,804 4,038 Discounted cash flows Constant prepayment rate (CPR) 16.2% - 30.5% 22.8 % Discount rate 8.3% - 11.1% 8.5 % Repossessions 1,976 2,144 Appraisals, trade publications and auction values Discount for lack of marketability 0% - 16% 8 % Other real estate 359 388 Appraisals Discount for lack of marketability 6% - 13% 7 % GAAP requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring or non-recurring basis. The following table shows the fair values of the Company’s financial instruments. (Dollars in thousands) Carrying or Contract Value Fair Value Level 1 Level 2 Level 3 September 30, 2021 Assets: Cash and due from banks $ 77,740 $ 77,740 $ 77,740 $ — $ — Federal funds sold and interest bearing deposits with other banks 559,542 559,542 559,542 — — Investment securities, available-for-sale 1,583,240 1,583,240 372,074 1,209,337 1,829 Other investments 27,189 27,189 27,189 — — Mortgages held for sale 34,594 34,594 — 34,594 — Loans and leases, net of allowance for loan and lease losses 5,225,042 5,290,270 — — 5,290,270 Mortgage servicing rights 4,519 4,999 — — 4,999 Accrued interest receivable 18,556 18,556 — 18,556 — Interest rate swaps 28,368 28,368 — 28,368 — Liabilities: Deposits $ 6,522,505 $ 6,526,220 $ 5,584,989 $ 941,231 $ — Short-term borrowings 215,665 215,665 208,398 7,267 — Long-term debt and mandatorily redeemable securities 81,301 81,753 — 81,753 — Subordinated notes 58,764 58,537 — 58,537 — Accrued interest payable 2,424 2,424 — 2,424 — Interest rate swaps 28,975 28,975 — 28,975 — Off-balance-sheet instruments * — 385 — 385 — December 31, 2020 Assets: Cash and due from banks $ 74,186 $ 74,186 $ 74,186 $ — $ — Federal funds sold and interest bearing deposits with other banks 168,861 168,861 168,861 — — Investment securities, available-for-sale 1,197,467 1,197,467 80,285 1,115,030 2,152 Other investments 27,429 27,429 27,429 — — Mortgages held for sale 12,885 12,885 — 12,885 — Loans and leases, net of allowance for loan and lease losses 5,348,647 5,417,396 — — 5,417,396 Mortgage servicing rights 3,804 4,038 — — 4,038 Accrued interest receivable 20,242 20,242 — 20,242 — Interest rate swaps 46,654 46,654 — 46,654 — Liabilities: Deposits $ 5,946,028 $ 5,955,545 $ 4,778,671 $ 1,176,874 $ — Short-term borrowings 150,641 150,641 143,730 6,911 — Long-term debt and mandatorily redeemable securities 81,864 82,965 — 82,965 — Subordinated notes 58,764 58,560 — 58,560 — Accrued interest payable 3,996 3,996 — 3,996 — Interest rate swaps 47,681 47,681 — 47,681 — Off-balance-sheet instruments * — 321 — 321 — * Represents estimated cash outflows required to currently settle the obligations at current market rates. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. These estimates are subjective in nature and require considerable judgment to interpret market data. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange, nor are they intended to represent the fair value of the Company as a whole. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. The fair value estimates presented herein are based on pertinent information available to management as of the respective balance sheet date. Although the Company is not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been comprehensively revalued since the presentation dates, and therefore, estimates of fair value after the balance sheet date may differ significantly from the amounts presented herein.

Accounting Policies (Policies)

Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation – The accompanying unaudited consolidated financial statements reflect all adjustments (all of which are normal and recurring in nature) which are, in the opinion of management, necessary for a fair presentation of the consolidated financial position, the results of operations, changes in comprehensive income, changes in shareholders’ equity, and cash flows for the periods presented. These unaudited consolidated financial statements have been prepared according to the rules and regulations of the Securities and Exchange Commission (SEC) and, therefore, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP) have been omitted. The Notes to the Consolidated Financial Statements appearing in 1st Source Corporation’s Annual Report on Form 10-K (2020 Annual Report), which include descriptions of significant accounting policies, should be read in conjunction with these interim financial statements. The Consolidated Statement of Financial Condition at December 31, 2020 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by GAAP for complete financial statements. Certain amounts in the prior period consolidated financial statements have been reclassified to conform to the current period presentation.
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements – Financial statements prepared in accordance with GAAP require the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expense during the reporting period. Actual results could differ from those estimates.
Loans and Leases	Loans and Leases – Loans are stated at the principal amount outstanding, net of unamortized deferred loan origination fees and costs and net of unearned income. Interest income is accrued as earned based on unpaid principal balances. Origination fees and direct loan and lease origination costs are deferred, and the net amount amortized to interest income over the estimated life of the related loan or lease. Loan commitment fees are deferred and amortized into other income over the commitment period. Direct financing leases are carried at the aggregate of lease payments plus estimated residual value of the leased property, net of unamortized deferred lease origination fees and costs and unearned income. Interest income on direct financing leases is recognized over the term of the lease to achieve a constant periodic rate of return on the outstanding investment. Effective January 1, 2019, as part of the new leasing standard, only those costs incurred as a direct result of closing a lease transaction are capitalized. All existing deferrals will continue to be amortized over the estimated life of the lease while all new incremental direct costs are expensed immediately. Accrued interest is included in Accrued Income and Other Assets on the Consolidated Statements of Financial Condition and is excluded from the calculation of the allowance for credit losses. The accrual of interest on loans and leases is discontinued when a loan or lease becomes contractually delinquent for 90 days, or when an individual analysis of a borrower’s credit worthiness indicates a credit should be placed on nonperforming status, except for residential mortgage loans and consumer loans that are well secured and in the process of collection. Residential mortgage loans are placed on nonaccrual at the time the loan is placed in foreclosure. When interest accruals are discontinued, interest credited to income in the current year is reversed and interest accrued in the prior year is charged to the allowance for loan and lease losses. However, in some cases, the Company may elect to continue the accrual of interest when the net realizable value of collateral is sufficient to cover the principal and accrued interest. When a loan or lease is classified as nonaccrual and the future collectability of the recorded loan or lease balance is doubtful, collections on interest and principal are applied as a reduction to principal outstanding. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured, which is typically evidenced by a sustained repayment performance of at least six months. Loans and leases that have been modified and economic concessions have been granted to borrowers who have experienced financial difficulties are considered a troubled debt restructuring (TDR). These concessions typically result from the Company’s loss mitigation activities and may include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance or other actions. Certain TDRs are classified as nonperforming at the time of restructuring and typically are returned to performing status after considering the borrower’s sustained repayment performance for a reasonable period of at least six months. When the Company modifies loans and leases in a TDR, it evaluates any possible impairment based on the present value of expected future cash flows, discounted at the contractual interest rate of the original loan or lease agreement, or uses the current fair value of the collateral, less selling costs for collateral dependent loans. If the Company determines that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized through an allowance for loan and lease losses estimate or a charge-off to the allowance for loan and lease losses. In periods subsequent to modification, the Company evaluates all TDRs, including those that have payment defaults, for possible impairment and recognizes impairment through the allowance for loan and lease losses. On March 27, 2020, the President of the United States signed the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which provides entities with optional temporary relief from certain accounting and financial reporting requirements under U.S. GAAP. Section 4013 of the CARES Act allows financial institutions to suspend application of certain TDR accounting guidance for loan and lease modifications related to the COVID-19 pandemic made between March 1, 2020 and the earlier of December 31, 2020 or 60 days after the end of the COVID-19 national emergency, provided certain criteria are met. Section 4013 of the Cares Act was amended on December 27, 2020 to extend this relief until January 1, 2022. The relief can be applied to loan and lease modifications for borrowers that were not more than 30 days past due as of December 31, 2019 and to loan and lease modifications that defer or delay the payment of principal or interest, or change the interest rate on the loan. The Company chose to apply this relief to eligible loan and lease modifications. At September 30, 2021 and December 31, 2020, loan and lease modification balances related to the COVID-19 pandemic were $1 million and $129 million, respectively.

Investment Securities (Tables)

Investment Securities (Tables)	9 Months Ended
	Sep. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Schedule of investment securities available-for-sale	The following table shows investment securities available-for-sale. (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2021 U.S. Treasury and Federal agencies securities $ 893,378 $ 5,192 $ (4,898) $ 893,672 U.S. States and political subdivisions securities 93,764 1,537 (751) 94,550 Mortgage-backed securities — Federal agencies 569,805 7,140 (5,795) 571,150 Corporate debt securities 22,509 759 — 23,268 Foreign government and other securities 600 — — 600 Total debt securities available-for-sale $ 1,580,056 $ 14,628 $ (11,444) $ 1,583,240 December 31, 2020 U.S. Treasury and Federal agencies securities $ 610,195 $ 9,521 $ (234) $ 619,482 U.S. States and political subdivisions securities 78,812 2,346 (31) 81,127 Mortgage-backed securities — Federal agencies 442,748 11,237 (196) 453,789 Corporate debt securities 40,813 1,556 — 42,369 Foreign government and other securities 700 — — 700 Total debt securities available-for-sale $ 1,173,268 $ 24,660 $ (461) $ 1,197,467
Schedule of contractual maturities of investments in debt securities available-for-sale	The following table shows the contractual maturities of investments in debt securities available-for-sale at September 30, 2021. Expected maturities will differ from contractual maturities, because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (Dollars in thousands) Amortized Cost Fair Value Due in one year or less $ 127,657 $ 128,770 Due after one year through five years 752,143 754,188 Due after five years through ten years 129,981 128,687 Due after ten years 470 445 Mortgage-backed securities 569,805 571,150 Total debt securities available-for-sale $ 1,580,056 $ 1,583,240
Schedule of gross unrealized losses and fair value by investment category and age	The following table summarizes gross unrealized losses and fair value by investment category and age. At September 30, 2021, the Company’s available-for-sale securities portfolio consisted of 679 securities, 218 of which were in an unrealized loss position. Less than 12 Months 12 months or Longer Total (Dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2021 U.S. Treasury and Federal agencies securities $ 562,067 $ (4,100) $ 47,727 $ (798) $ 609,794 $ (4,898) U.S. States and political subdivisions securities 38,980 (729) 418 (22) 39,398 (751) Mortgage-backed securities - Federal agencies 346,008 (5,791) 344 (4) 346,352 (5,795) Corporate debt securities — — — — — — Foreign government and other securities 600 — — — 600 — Total debt securities available-for-sale $ 947,655 $ (10,620) $ 48,489 $ (824) $ 996,144 $ (11,444) December 31, 2020 U.S. Treasury and Federal agencies securities $ 136,534 $ (234) $ — $ — $ 136,534 $ (234) U.S. States and political subdivisions securities 6,391 (30) 199 (1) 6,590 (31) Mortgage-backed securities - Federal agencies 67,736 (187) 3,274 (9) 71,010 (196) Corporate debt securities — — — — — — Foreign government and other securities 200 — — — 200 — Total debt securities available-for-sale $ 210,861 $ (451) $ 3,473 $ (10) $ 214,334 $ (461)
Schedule of gross realized gains and losses from securities available-for-sale portfolio	The following table shows the gross realized gains and losses from the available-for-sale debt securities portfolio. Realized gains and losses of all securities are computed using the specific identification cost basis. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Gross realized gains $ — $ — $ 221 $ 285 Gross realized losses — — (901) (6) Net realized (losses) gains $ — $ — $ (680) $ 279

Loan and Lease Financings (Tabl

Loan and Lease Financings (Tables)	9 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Schedule of amortized cost of loans and leases, segregated by portfolio segment, credit quality rating and year of origination	The following table shows the amortized cost of loans and leases, segregated by portfolio segment, credit quality rating and year of origination as of September 30, 2021. Term Loans and Leases by Origination Year (Dollars in thousands) 2021 2020 2019 2018 2017 Prior Revolving Loans Revolving Loans Converted to Term Total Commercial and agricultural Grades 1-6 $ 259,015 $ 164,059 $ 69,021 $ 65,697 $ 38,019 $ 22,880 $ 352,797 $ — $ 971,488 Grades 7-12 5,005 236 3,384 2,862 2,250 524 20,100 — 34,361 Total commercial and agricultural 264,020 164,295 72,405 68,559 40,269 23,404 372,897 — 1,005,849 Solar Grades 1-6 95,941 59,984 81,811 19,084 35,536 3,807 — — 296,163 Grades 7-12 — 1,151 5,950 731 — — — — 7,832 Total solar 95,941 61,135 87,761 19,815 35,536 3,807 — — 303,995 Auto and light truck Grades 1-6 273,260 150,752 89,456 30,896 14,202 1,498 — — 560,064 Grades 7-12 8,009 15,891 8,995 5,172 5,917 1,210 — — 45,194 Total auto and light truck 281,269 166,643 98,451 36,068 20,119 2,708 — — 605,258 Medium and heavy duty truck Grades 1-6 49,844 74,581 69,054 28,790 17,651 8,363 — — 248,283 Grades 7-12 — — — — — 321 — — 321 Total medium and heavy duty truck 49,844 74,581 69,054 28,790 17,651 8,684 — — 248,604 Aircraft Grades 1-6 309,624 316,914 104,713 56,148 62,412 36,119 7,308 — 893,238 Grades 7-12 731 692 — 1,442 498 2,976 500 — 6,839 Total aircraft 310,355 317,606 104,713 57,590 62,910 39,095 7,808 — 900,077 Construction equipment Grades 1-6 227,587 224,825 125,132 57,157 19,888 6,548 16,316 3,797 681,250 Grades 7-12 28,546 8,864 4,967 1,532 337 61 752 3,103 48,162 Total construction equipment 256,133 233,689 130,099 58,689 20,225 6,609 17,068 6,900 729,412 Commercial real estate Grades 1-6 133,207 191,237 170,497 146,222 151,008 123,105 525 — 915,801 Grades 7-12 2,475 6,019 5,680 515 6,294 2,347 — — 23,330 Total commercial real estate 135,682 197,256 176,177 146,737 157,302 125,452 525 — 939,131 Residential real estate and home equity Performing 72,849 119,749 46,096 13,632 13,736 97,876 122,849 5,008 491,795 Nonperforming — — — — — 779 236 83 1,098 Total residential real estate and home equity 72,849 119,749 46,096 13,632 13,736 98,655 123,085 5,091 492,893 Consumer Performing 47,476 28,490 20,519 10,204 3,084 922 22,436 — 133,131 Nonperforming 51 40 62 46 243 5 — — 447 Total consumer $ 47,527 $ 28,530 $ 20,581 $ 10,250 $ 3,327 $ 927 $ 22,436 $ — $ 133,578 The following table shows the amortized cost of loans and leases, segregated by portfolio segment, credit quality rating and year of origination as of December 31, 2020. Term Loans and Leases by Origination Year (Dollars in thousands) 2020 2019 2018 2017 2016 Prior Revolving Loans Revolving Loans Converted to Term Total Commercial and agricultural Grades 1-6 $ 525,816 $ 103,120 $ 114,251 $ 56,007 $ 22,023 $ 19,790 $ 291,990 $ — $ 1,132,997 Grades 7-12 6,788 1,699 4,726 3,507 1,200 2,134 33,067 — 53,121 Total commercial and agricultural 532,604 104,819 118,977 59,514 23,223 21,924 325,057 — 1,186,118 Solar Grades 1-6 141,089 90,435 20,160 36,909 4,011 — — — 292,604 Grades 7-12 — — — — — — — — — Total solar 141,089 90,435 20,160 36,909 4,011 — — — 292,604 Auto and light truck Grades 1-6 248,932 141,841 52,749 24,101 4,210 608 — — 472,441 Grades 7-12 19,113 27,136 12,796 8,612 2,250 21 — — 69,928 Total auto and light truck 268,045 168,977 65,545 32,713 6,460 629 — — 542,369 Medium and heavy duty truck Grades 1-6 92,698 88,314 44,205 31,773 15,644 4,840 — — 277,474 Grades 7-12 — 978 — — 632 88 — — 1,698 Total medium and heavy duty truck 92,698 89,292 44,205 31,773 16,276 4,928 — — 279,172 Aircraft Grades 1-6 429,283 153,358 93,042 95,457 43,972 20,966 6,370 — 842,448 Grades 7-12 11,519 2,561 479 596 2,187 1,670 — — 19,012 Total aircraft 440,802 155,919 93,521 96,053 46,159 22,636 6,370 — 861,460 Construction equipment Grades 1-6 311,174 180,550 96,320 42,713 12,624 5,722 17,502 737 667,342 Grades 7-12 17,518 13,743 10,642 398 237 85 2,988 1,935 47,546 Total construction equipment 328,692 194,293 106,962 43,111 12,861 5,807 20,490 2,672 714,888 Commercial real estate Grades 1-6 190,725 204,477 173,847 175,009 69,022 122,762 373 — 936,215 Grades 7-12 9,518 7,990 5,173 6,684 1,762 2,522 — — 33,649 Total commercial real estate 200,243 212,467 179,020 181,693 70,784 125,284 373 — 969,864 Residential real estate and home equity Performing 133,829 65,690 18,194 22,929 41,847 86,106 135,255 5,703 509,553 Nonperforming — — 21 14 — 1,435 247 109 1,826 Total residential real estate and home equity 133,829 65,690 18,215 22,943 41,847 87,541 135,502 5,812 511,379 Consumer Performing 43,824 34,409 18,904 7,005 2,259 793 23,869 — 131,063 Nonperforming 2 99 78 36 8 2 159 — 384 Total consumer $ 43,826 $ 34,508 $ 18,982 $ 7,041 $ 2,267 $ 795 $ 24,028 $ — $ 131,447
Schedule of amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status	The following table shows the amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status. (Dollars in thousands) Current 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due and Accruing Total Nonaccrual Total September 30, 2021 Commercial and agricultural $ 998,092 $ 5,107 $ 129 $ — $ 1,003,328 $ 2,521 $ 1,005,849 Solar 303,995 — — — 303,995 — 303,995 Auto and light truck 576,291 275 — — 576,566 28,692 605,258 Medium and heavy duty truck 247,937 346 — — 248,283 321 248,604 Aircraft 895,911 — 3,474 — 899,385 692 900,077 Construction equipment 721,521 174 — — 721,695 7,717 729,412 Commercial real estate 937,133 224 — — 937,357 1,774 939,131 Residential real estate and home equity 491,351 334 110 96 491,891 1,002 492,893 Consumer 132,845 222 64 — 133,131 447 133,578 Total $ 5,305,076 $ 6,682 $ 3,777 $ 96 $ 5,315,631 $ 43,166 $ 5,358,797 December 31, 2020 Commercial and agricultural $ 1,180,151 $ 34 $ — $ — $ 1,180,185 $ 5,933 $ 1,186,118 Solar 292,604 — — — 292,604 — 292,604 Auto and light truck 504,659 560 205 — 505,424 36,945 542,369 Medium and heavy duty truck 278,452 — — — 278,452 720 279,172 Aircraft 860,632 — — — 860,632 828 861,460 Construction equipment 701,124 1,093 298 — 702,515 12,373 714,888 Commercial real estate 968,370 — — — 968,370 1,494 969,864 Residential real estate and home equity 508,532 782 239 108 509,661 1,718 511,379 Consumer 130,458 504 101 7 131,070 377 131,447 Total $ 5,424,982 $ 2,973 $ 843 $ 115 $ 5,428,913 $ 60,388 $ 5,489,301
Schedule of average recorded investment and interest income recognized on impaired loans and leases, segregated by portfolio segment	The following table shows average recorded investment and interest income recognized on impaired loans and leases, segregated by portfolio segment for the three and nine months ended September 30, 2020. Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 (Dollars in thousands) Average Interest Average Interest Commercial and agricultural $ 8,989 $ 1 $ 7,393 $ 139 Solar — — — — Auto and light truck 32,369 — 14,632 — Medium and heavy duty truck 985 — 1,011 — Aircraft 1,957 — 2,015 — Construction equipment 15,543 — 12,541 4 Commercial real estate 1,306 — 1,235 — Residential real estate and home equity 332 4 334 11 Consumer — — — — Total $ 61,481 $ 5 $ 39,161 $ 154
Schedule of recorded investment in loans and leases classified as troubled debt restructuring	The following table shows the recorded investment of loans and leases classified as troubled debt restructurings as of September 30, 2021 and December 31, 2020. (Dollars in thousands) September 30, December 31, Performing TDRs $ 322 $ 330 Nonperforming TDRs 7,087 11,156 Total TDRs $ 7,409 $ 11,486

Allowance for Credit Losses (Ta

Allowance for Credit Losses (Tables)	9 Months Ended
	Sep. 30, 2021
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]
Schedule of changes in allowance for loan and lease losses, segregated by portfolio segment	The following table shows the changes in the allowance for loan and lease losses, segregated by portfolio segment, for the three months ended September 30, 2021 and 2020. (Dollars in thousands) Commercial and Solar Auto and Medium Aircraft Construction Commercial Residential Consumer Total September 30, 2021 Balance, beginning of period $ 14,832 $ 5,867 $ 27,221 $ 5,888 $ 35,301 $ 17,908 $ 22,578 $ 5,066 $ 1,700 $ 136,361 Charge-offs 21 — 407 — — 551 — — 98 1,077 Recoveries 176 — 479 — 153 170 — 3 49 1,030 Net charge-offs (recoveries) (155) — (72) — (153) 381 — (3) 49 47 Provision (recovery of provision) 179 (15) (1,451) (158) 975 (1,083) (1,253) 96 151 (2,559) Balance, end of period $ 15,166 $ 5,852 $ 25,842 $ 5,730 $ 36,429 $ 16,444 $ 21,325 $ 5,165 $ 1,802 $ 133,755 September 30, 2020 Balance, beginning of period* $ 25,059 $ 3,948 $ 17,371 $ 4,649 $ 31,101 $ 23,872 $ 19,936 $ 3,821 $ 1,526 $ 131,283 Charge-offs 182 — 4,382 — — 21 36 61 210 4,892 Recoveries 231 — 263 — 191 347 15 1 75 1,123 Net charge-offs (recoveries) (49) — 4,119 — (191) (326) 21 60 135 3,769 Provision (recovery of provision)* (4,378) 392 11,997 (192) 953 (1,395) 1,834 (29) 121 9,303 Balance, end of period* $ 20,730 $ 4,340 $ 25,249 $ 4,457 $ 32,245 $ 22,803 $ 21,749 $ 3,732 $ 1,512 $ 136,817 *ASU 2016-13 adopted during the fourth quarter of 2020 therefore amounts during the third quarter of 2020 reflect the incurred loss method. The following table shows the changes in the allowance for loan and lease losses, segregated by portfolio segment, for the nine months ended September 30, 2021 and 2020. (Dollars in thousands) Commercial and Solar Auto and Medium Aircraft Construction Commercial Residential Consumer Total September 30, 2021 Balance, beginning of period $ 16,680 $ 5,549 $ 28,926 $ 6,400 $ 34,053 $ 19,166 $ 22,758 $ 5,374 $ 1,748 $ 140,654 Charge-offs 307 — 5,060 — — 559 — 42 355 6,323 Recoveries 694 — 664 — 513 424 19 14 282 2,610 Net charge-offs (recoveries) (387) — 4,396 — (513) 135 (19) 28 73 3,713 Provision (recovery of provision) (1,901) 303 1,312 (670) 1,863 (2,587) (1,452) (181) 127 (3,186) Balance, end of period $ 15,166 $ 5,852 $ 25,842 $ 5,730 $ 36,429 $ 16,444 $ 21,325 $ 5,165 $ 1,802 $ 133,755 September 30, 2020 Balance, beginning of period* $ 20,926 $ 2,745 $ 14,400 $ 4,612 $ 31,058 $ 14,120 $ 18,350 $ 3,609 $ 1,434 $ 111,254 Charge-offs 753 — 4,416 — 840 1,582 37 74 640 8,342 Recoveries 533 — 403 — 694 937 43 31 233 2,874 Net charge-offs (recoveries) 220 — 4,013 — 146 645 (6) 43 407 5,468 Provision (recovery of provision)* 24 1,595 14,862 (155) 1,333 9,328 3,393 166 485 31,031 Balance, end of period* $ 20,730 $ 4,340 $ 25,249 $ 4,457 $ 32,245 $ 22,803 $ 21,749 $ 3,732 $ 1,512 $ 136,817 *ASU 2016-13 adopted during the fourth quarter of 2020 therefore amounts during the first nine months of 2020 reflect the incurred loss method.
Schedule of changes in allowance for credit losses on unfunded loan commitments	The following table shows the changes in the liability for credit losses on unfunded loan commitments. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Balance, beginning of period* $ 4,317 $ 3,525 $ 4,499 $ 3,172 Provision (recovery of provision)* 46 39 (136) 392 Balance, end of period* $ 4,363 $ 3,564 $ 4,363 $ 3,564 *ASU 2016-13 adopted during the fourth quarter of 2020 therefore third quarter 2020 amounts reflect the incurred loss method.

Lease Investments (Tables)

Lease Investments (Tables)	9 Months Ended
	Sep. 30, 2021
Leases [Abstract]
Schedule of the components of income from direct finance and operating lease equipment	The following table shows interest income recognized from direct finance lease payments and operating lease equipment rental income and related depreciation expense. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Direct finance leases: Interest income on lease receivable $ 1,629 $ 1,880 $ 4,880 $ 6,310 Operating leases: Income related to lease payments $ 3,946 $ 5,593 $ 12,830 $ 18,213 Depreciation expense 3,239 4,694 10,562 15,263

Mortgage Servicing Rights (Tabl

Mortgage Servicing Rights (Tables)	9 Months Ended
	Sep. 30, 2021
Transfers and Servicing of Financial Assets [Abstract]
Schedule of changes in carrying value of mortgage servicing rights and associated valuation allowance	The following table shows changes in the carrying value of MSRs and the associated valuation allowance. Three Months Ended Nine Months Ended (Dollars in thousands) 2021 2020 2021 2020 Mortgage servicing rights: Balance at beginning of period $ 4,678 $ 4,294 $ 4,616 $ 4,200 Additions 395 897 1,566 2,094 Amortization (554) (654) (1,663) (1,757) Sales — — — — Carrying value before valuation allowance at end of period 4,519 4,537 4,519 4,537 Valuation allowance: Balance at beginning of period (223) (546) (812) — Impairment recoveries (charges) 223 (262) 812 (808) Balance at end of period $ — $ (808) $ — $ (808) Net carrying value of mortgage servicing rights at end of period $ 4,519 $ 3,729 $ 4,519 $ 3,729 Fair value of mortgage servicing rights at end of period $ 4,999 $ 4,000 $ 4,999 $ 4,000

Commitments and Financial Ins_2

Commitments and Financial Instruments with Off-Balance-Sheet Risk (Tables)	9 Months Ended
	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Schedule of financial instruments whose contract amounts represent credit risk	The following table shows financial instruments whose contract amounts represent credit risk. (Dollars in thousands) September 30, December 31, Amounts of commitments: Loan commitments to extend credit $ 1,156,994 $ 1,140,892 Standby letters of credit $ 28,868 $ 24,884 Commercial and similar letters of credit $ 6,115 $ 7,095

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of amounts of non-hedging derivative financial instruments	The following table shows the amounts of non-hedging derivative financial instruments. Asset derivatives Liability derivatives (Dollars in thousands) Notional or contractual amount Statement of Financial Condition classification Fair value Statement of Financial Condition classification Fair value September 30, 2021 Interest rate swap contracts $ 1,117,657 Other assets $ 28,368 Other liabilities $ 28,975 Loan commitments 30,800 Mortgages held for sale 783 N/A — Forward contracts - mortgage loan 48,000 Mortgages held for sale 222 N/A — Total $ 1,196,457 $ 29,373 $ 28,975 December 31, 2020 Interest rate swap contracts $ 1,155,252 Other assets $ 46,654 Other liabilities $ 47,681 Loan commitments 32,588 Mortgages held for sale 1,487 N/A — Forward contracts - mortgage loan 38,310 N/A — Mortgages held for sale 290 Total $ 1,226,150 $ 48,141 $ 47,971
Schedule of amounts included in the consolidated statements of income for non-hedging derivative financial instruments	The following table shows the amounts included in the Consolidated Statements of Income for non-hedging derivative financial instruments. Gain (loss) Three Months Ended Nine Months Ended (Dollars in thousands) Statement of Income classification 2021 2020 2021 2020 Interest rate swap contracts Other expense $ 101 $ 50 $ 420 $ (583) Interest rate swap contracts Other income 69 23 307 560 Loan commitments Mortgage banking (75) 1,406 (704) 2,292 Forward contracts - mortgage loan Mortgage banking 246 26 512 (37) Total $ 341 $ 1,505 $ 535 $ 2,232
Schedule of offsetting of financial assets and derivative assets	The following table shows the offsetting of financial assets and derivative assets. Gross Amounts Not Offset in the Statement of Financial Condition (Dollars in thousands) Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Financial Instruments Cash Collateral Received Net Amount September 30, 2021 Interest rate swaps $ 32,806 $ 4,438 $ 28,368 $ — $ — $ 28,368 December 31, 2020 Interest rate swaps $ 52,872 $ 6,218 $ 46,654 $ — $ — $ 46,654
Schedule of offsetting of financial liabilities and derivative liabilities	The following table shows the offsetting of financial liabilities and derivative liabilities. Gross Amounts Not Offset in the Statement of Financial Condition (Dollars in thousands) Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Liabilities Presented in the Statement of Financial Condition Financial Instruments Cash Collateral Pledged Net Amount September 30, 2021 Interest rate swaps $ 33,413 $ 4,438 $ 28,975 $ 28,168 $ — $ 807 Repurchase agreements 210,275 — 210,275 210,275 — — Total $ 243,688 $ 4,438 $ 239,250 $ 238,443 $ — $ 807 December 31, 2020 Interest rate swaps $ 53,899 $ 6,218 $ 47,681 $ 46,978 $ — $ 703 Repurchase agreements 143,564 — 143,564 143,564 — — Total $ 197,463 $ 6,218 $ 191,245 $ 190,542 $ — $ 703

Variable Interest Entities (Tab

Variable Interest Entities (Tables)	9 Months Ended
	Sep. 30, 2021
Variable Interest Entities [Abstract]
Schedule of unconsolidated variable interest entities	The following table provides a summary of investments in affordable housing, community development and renewable energy VIEs that the Company has not consolidated. (Dollars in thousands) September 30, 2021 December 31, 2020 Investment carrying amount $ 31,339 $ 22,742 Unfunded capital and other commitments 25,829 26,716 Maximum exposure to loss 57,804 52,106
Summary of subordinated notes	The following table shows subordinated notes at September 30, 2021. (Dollars in thousands) Amount of Subordinated Notes Interest Rate Maturity Date June 2007 issuance (1) $ 41,238 7.22 % 6/15/2037 August 2007 issuance (2) 17,526 1.60 % 9/15/2037 Total $ 58,764 (1) Fixed rate through life of debt. (2) 3-Month LIBOR +1.48% through remaining life of debt.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Schedule of reconciliation of the number of shares used in the calculation of basic and diluted earnings per common share	The following table presents a reconciliation of the number of shares used in the calculation of basic and diluted earnings per common share. Three Months Ended Nine Months Ended (Dollars in thousands - except per share amounts) 2021 2020 2021 2020 Distributed earnings allocated to common stock $ 7,749 $ 7,166 $ 22,681 $ 21,714 Undistributed earnings allocated to common stock 24,472 12,755 67,422 32,941 Net earnings allocated to common stock 32,221 19,921 90,103 54,655 Net earnings allocated to participating securities 262 137 708 318 Net income allocated to common stock and participating securities $ 32,483 $ 20,058 $ 90,811 $ 54,973 Weighted average shares outstanding for basic earnings per common share 24,919,956 25,552,374 25,126,703 25,538,910 Dilutive effect of stock compensation — — — — Weighted average shares outstanding for diluted earnings per common share 24,919,956 25,552,374 25,126,703 25,538,910 Basic earnings per common share $ 1.29 $ 0.78 $ 3.59 $ 2.14 Diluted earnings per common share $ 1.29 $ 0.78 $ 3.59 $ 2.14

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Tables)	9 Months Ended
	Sep. 30, 2021
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of reclassifications out of accumulated other comprehensive income	The following table presents reclassifications out of accumulated other comprehensive income (loss) related to unrealized gains and losses on available-for-sale securities. Three Months Ended September 30, Nine Months Ended September 30, Affected Line Item in the Statements of Income (Dollars in thousands) 2021 2020 2021 2020 Realized (losses) gains included in net income $ — $ — $ (680) $ 279 (Losses) gains on investment securities available-for-sale — — (680) 279 Income before income taxes Tax effect — — 164 (65) Income tax expense Net of tax $ — $ — $ (516) $ 214 Net income

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2021
Fair value measurements
Schedule of differences between the fair value carrying amount of mortgages held for sale measured at fair value and the aggregate unpaid principal amount	The following table shows the differences between the fair value carrying amount of mortgages held for sale measured at fair value and the aggregate unpaid principal amount the Company is contractually entitled to receive at maturity. (Dollars in thousands) Fair value Aggregate Excess of fair value carrying amount over (under) unpaid principal September 30, 2021 Mortgages held for sale reported at fair value $ 34,594 $ 32,824 $ 1,770 (1) December 31, 2020 Mortgages held for sale reported at fair value $ 12,885 $ 11,045 $ 1,840 (1) (1) The excess of fair value carrying amount over (under) unpaid principal is included in mortgage banking income and includes changes in fair value at and subsequent to funding and gains and losses on the related loan commitment prior to funding.
Schedule of assets and liabilities measured at fair value on a recurring basis	The following table shows the balance of assets and liabilities measured at fair value on a recurring basis. (Dollars in thousands) Level 1 Level 2 Level 3 Total September 30, 2021 Assets: Investment securities available-for-sale: U.S. Treasury and Federal agencies securities $ 372,074 $ 521,598 $ — $ 893,672 U.S. States and political subdivisions securities — 92,721 1,829 94,550 Mortgage-backed securities — Federal agencies — 571,150 — 571,150 Corporate debt securities — 23,268 — 23,268 Foreign government and other securities — 600 — 600 Total debt securities available-for-sale 372,074 1,209,337 1,829 1,583,240 Mortgages held for sale — 34,594 — 34,594 Accrued income and other assets (interest rate swap agreements) — 28,368 — 28,368 Total $ 372,074 $ 1,272,299 $ 1,829 $ 1,646,202 Liabilities: Accrued expenses and other liabilities (interest rate swap agreements) $ — $ 28,975 $ — $ 28,975 Total $ — $ 28,975 $ — $ 28,975 December 31, 2020 Assets: Investment securities available-for-sale: U.S. Treasury and Federal agencies securities $ 80,285 $ 539,197 $ — $ 619,482 U.S. States and political subdivisions securities — 78,975 2,152 81,127 Mortgage-backed securities — Federal agencies — 453,789 — 453,789 Corporate debt securities — 42,369 — 42,369 Foreign government and other securities — 700 — 700 Total debt securities available-for-sale 80,285 1,115,030 2,152 1,197,467 Mortgages held for sale — 12,885 — 12,885 Accrued income and other assets (interest rate swap agreements) — 46,654 — 46,654 Total $ 80,285 $ 1,174,569 $ 2,152 $ 1,257,006 Liabilities: Accrued expenses and other liabilities (interest rate swap agreements) $ — $ 47,681 $ — $ 47,681 Total $ — $ 47,681 $ — $ 47,681
Schedule of changes in investment securities available-for-sale Level 3 assets measured at fair value on a recurring basis	The following table shows changes in Level 3 assets measured at fair value on a recurring basis for the quarter ended September 30, 2021 and 2020. (Dollars in thousands) U.S. States and Beginning balance July 1, 2021 $ 1,921 Total gains or losses (realized/unrealized): Included in earnings — Included in other comprehensive income (7) Purchases — Issuances — Sales — Settlements — Maturities (85) Transfers into Level 3 — Transfers out of Level 3 — Ending balance September 30, 2021 $ 1,829 Beginning balance July 1, 2020 $ 3,179 Total gains or losses (realized/unrealized): Included in earnings — Included in other comprehensive income 166 Purchases — Issuances — Sales — Settlements — Maturities (80) Transfers into Level 3 — Transfers out of Level 3 — Ending balance September 30, 2020 $ 3,265
Schedule of carrying value of assets measured at fair value on a non-recurring basis	The following table shows the carrying value of assets measured at fair value on a non-recurring basis. (Dollars in thousands) Level 1 Level 2 Level 3 Total September 30, 2021 Collateral-dependent impaired loans $ — $ — $ 1,332 $ 1,332 Accrued income and other assets (mortgage servicing rights) — — 4,519 4,519 Accrued income and other assets (repossessions) — — 690 690 Accrued income and other assets (other real estate) — — — — Total $ — $ — $ 6,541 $ 6,541 December 31, 2020 Collateral-dependent impaired loans $ — $ — $ 11,991 $ 11,991 Accrued income and other assets (mortgage servicing rights) — — 3,804 3,804 Accrued income and other assets (repossessions) — — 1,976 1,976 Accrued income and other assets (other real estate) — — 359 359 Total $ — $ — $ 18,130 $ 18,130
Schedule of fair values of financial instruments	The following table shows the fair values of the Company’s financial instruments. (Dollars in thousands) Carrying or Contract Value Fair Value Level 1 Level 2 Level 3 September 30, 2021 Assets: Cash and due from banks $ 77,740 $ 77,740 $ 77,740 $ — $ — Federal funds sold and interest bearing deposits with other banks 559,542 559,542 559,542 — — Investment securities, available-for-sale 1,583,240 1,583,240 372,074 1,209,337 1,829 Other investments 27,189 27,189 27,189 — — Mortgages held for sale 34,594 34,594 — 34,594 — Loans and leases, net of allowance for loan and lease losses 5,225,042 5,290,270 — — 5,290,270 Mortgage servicing rights 4,519 4,999 — — 4,999 Accrued interest receivable 18,556 18,556 — 18,556 — Interest rate swaps 28,368 28,368 — 28,368 — Liabilities: Deposits $ 6,522,505 $ 6,526,220 $ 5,584,989 $ 941,231 $ — Short-term borrowings 215,665 215,665 208,398 7,267 — Long-term debt and mandatorily redeemable securities 81,301 81,753 — 81,753 — Subordinated notes 58,764 58,537 — 58,537 — Accrued interest payable 2,424 2,424 — 2,424 — Interest rate swaps 28,975 28,975 — 28,975 — Off-balance-sheet instruments * — 385 — 385 — December 31, 2020 Assets: Cash and due from banks $ 74,186 $ 74,186 $ 74,186 $ — $ — Federal funds sold and interest bearing deposits with other banks 168,861 168,861 168,861 — — Investment securities, available-for-sale 1,197,467 1,197,467 80,285 1,115,030 2,152 Other investments 27,429 27,429 27,429 — — Mortgages held for sale 12,885 12,885 — 12,885 — Loans and leases, net of allowance for loan and lease losses 5,348,647 5,417,396 — — 5,417,396 Mortgage servicing rights 3,804 4,038 — — 4,038 Accrued interest receivable 20,242 20,242 — 20,242 — Interest rate swaps 46,654 46,654 — 46,654 — Liabilities: Deposits $ 5,946,028 $ 5,955,545 $ 4,778,671 $ 1,176,874 $ — Short-term borrowings 150,641 150,641 143,730 6,911 — Long-term debt and mandatorily redeemable securities 81,864 82,965 — 82,965 — Subordinated notes 58,764 58,560 — 58,560 — Accrued interest payable 3,996 3,996 — 3,996 — Interest rate swaps 47,681 47,681 — 47,681 — Off-balance-sheet instruments * — 321 — 321 — * Represents estimated cash outflows required to currently settle the obligations at current market rates.
Recurring
Fair value measurements
Schedule of valuation methodology and unobservable inputs for Level 3 assets and liabilities measured at fair value on a recurring and non-recurring basis	The following table shows the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a recurring basis. (Dollars in thousands) Fair Value Valuation Methodology Unobservable Inputs Range of Inputs Weighted Average September 30, 2021 Debt securities available-for sale Direct placement municipal securities $ 1,829 Discounted cash flows Credit spread assumption 1.61% - 2.79% 2.11 % December 31, 2020 Debt securities available-for sale Direct placement municipal securities $ 2,152 Discounted cash flows Credit spread assumption 0.04% - 2.30% 1.55 %
Non-recurring
Fair value measurements
Schedule of valuation methodology and unobservable inputs for Level 3 assets and liabilities measured at fair value on a recurring and non-recurring basis	The following table below shows the valuation methodology and unobservable inputs for Level 3 assets and liabilities measured at fair value on a non-recurring basis. (Dollars in thousands) Carrying Value Fair Value Valuation Methodology Unobservable Inputs Range of Inputs Weighted Average September 30, 2021 Collateral-dependent impaired loans $ 1,332 $ 1,332 Collateral based measurements including appraisals, trade publications, and auction values Discount for lack of marketability and current conditions 20% - 90% 30.7 % Mortgage servicing rights 4,519 4,999 Discounted cash flows Constant prepayment rate (CPR) 12.7% - 20.2% 17.7 % Discount rate 8.6% - 11.5% 8.8 % Repossessions 690 725 Appraisals, trade publications and auction values Discount for lack of marketability 3% - 11% 5 % Other real estate — — Appraisals Discount for lack of marketability 0% - 0% 0 % December 31, 2020 Collateral-dependent impaired loans $ 11,991 $ 11,991 Collateral based measurements including appraisals, trade publications, and auction values Discount for lack of marketability and current conditions 0% - 100% 43.7 % Mortgage servicing rights 3,804 4,038 Discounted cash flows Constant prepayment rate (CPR) 16.2% - 30.5% 22.8 % Discount rate 8.3% - 11.1% 8.5 % Repossessions 1,976 2,144 Appraisals, trade publications and auction values Discount for lack of marketability 0% - 16% 8 % Other real estate 359 388 Appraisals Discount for lack of marketability 6% - 13% 7 %

Accounting Policies (Details)

Accounting Policies (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Summary of Significant Accounting Policies [Line Items]
COVID-19 related loan and lease modifications	$ 1,000	$ 129,000
Minimum
Summary of Significant Accounting Policies [Line Items]
Period of sustained performance required to change from non-performing to performing status	6 months

Investment Securities (Details)

Investment Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Contractual maturities of investments in debt securities available-for-sale, Amortized Cost
Due in one year or less	$ 127,657
Due after one year through five years	752,143
Due after five years through ten years	129,981
Due after ten years	470
Mortgage-backed securities	569,805
Total debt securities available-for-sale	1,580,056	$ 1,173,268
Contractual maturities of investments in debt securities available-for-sale, Fair Value
Due in one year or less	128,770
Due after one year through five years	754,188
Due after five years through ten years	128,687
Due after ten years	445
Mortgage-backed securities	571,150
Total debt securities available-for-sale	1,583,240	1,197,467
Accrued interest receivable on investment securities available-for-sale	4,520	3,840
U.S. Treasury and Federal agencies securities
Contractual maturities of investments in debt securities available-for-sale, Amortized Cost
Total debt securities available-for-sale	893,378	610,195
Contractual maturities of investments in debt securities available-for-sale, Fair Value
Total debt securities available-for-sale	893,672	619,482
U.S. States and political subdivisions securities
Contractual maturities of investments in debt securities available-for-sale, Amortized Cost
Total debt securities available-for-sale	93,764	78,812
Contractual maturities of investments in debt securities available-for-sale, Fair Value
Total debt securities available-for-sale	94,550	81,127
Mortgage-backed securities - Federal agencies
Contractual maturities of investments in debt securities available-for-sale, Amortized Cost
Total debt securities available-for-sale	569,805	442,748
Contractual maturities of investments in debt securities available-for-sale, Fair Value
Total debt securities available-for-sale	571,150	453,789
Corporate debt securities
Contractual maturities of investments in debt securities available-for-sale, Amortized Cost
Total debt securities available-for-sale	22,509	40,813
Contractual maturities of investments in debt securities available-for-sale, Fair Value
Total debt securities available-for-sale	23,268	42,369
Foreign government and other securities
Contractual maturities of investments in debt securities available-for-sale, Amortized Cost
Total debt securities available-for-sale	600	700
Contractual maturities of investments in debt securities available-for-sale, Fair Value
Total debt securities available-for-sale	$ 600	$ 700

Investment Securities (Details

Investment Securities (Details 2) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Dec. 31, 2020USD ($)
Schedule Of Available For Sale Debt Securities [Line Items]
Total debt securities available-for-sale	$ 1,580,056		$ 1,580,056		$ 1,173,268
Gross Unrealized Gains	14,628		14,628		24,660
Gross Unrealized Losses	(11,444)		(11,444)		(461)
Investment securities available-for-sale	1,583,240		1,583,240		1,197,467
Fair Value
Less than 12 Months	947,655		947,655		210,861
12 months or Longer	48,489		48,489		3,473
Total fair value	996,144		996,144		214,334
Unrealized Losses
Less than 12 Months	(10,620)		(10,620)		(451)
12 months or Longer	(824)		(824)		(10)
Total unrealized losses	(11,444)		(11,444)		(461)
Gross realized gains and losses
Gross realized gains	0	$ 0	221	$ 285
Gross realized losses	0	0	(901)	(6)
Net realized (losses) gains	0	$ 0	(680)	$ 279
Investment securities pledged as collateral	$ 377,410		$ 377,410		338,680
Number of available-for-sale debt securities	679		679
Number of available-for-sale debt securities in an unrealized loss position	218		218
U.S. Treasury and Federal agencies securities
Schedule Of Available For Sale Debt Securities [Line Items]
Total debt securities available-for-sale	$ 893,378		$ 893,378		610,195
Gross Unrealized Gains	5,192		5,192		9,521
Gross Unrealized Losses	(4,898)		(4,898)		(234)
Investment securities available-for-sale	893,672		893,672		619,482
Fair Value
Less than 12 Months	562,067		562,067		136,534
12 months or Longer	47,727		47,727		0
Total fair value	609,794		609,794		136,534
Unrealized Losses
Less than 12 Months	(4,100)		(4,100)		(234)
12 months or Longer	(798)		(798)		0
Total unrealized losses	(4,898)		(4,898)		(234)
U.S. States and political subdivisions securities
Schedule Of Available For Sale Debt Securities [Line Items]
Total debt securities available-for-sale	93,764		93,764		78,812
Gross Unrealized Gains	1,537		1,537		2,346
Gross Unrealized Losses	(751)		(751)		(31)
Investment securities available-for-sale	94,550		94,550		81,127
Fair Value
Less than 12 Months	38,980		38,980		6,391
12 months or Longer	418		418		199
Total fair value	39,398		39,398		6,590
Unrealized Losses
Less than 12 Months	(729)		(729)		(30)
12 months or Longer	(22)		(22)		(1)
Total unrealized losses	(751)		(751)		(31)
Mortgage-backed securities - Federal agencies
Schedule Of Available For Sale Debt Securities [Line Items]
Total debt securities available-for-sale	569,805		569,805		442,748
Gross Unrealized Gains	7,140		7,140		11,237
Gross Unrealized Losses	(5,795)		(5,795)		(196)
Investment securities available-for-sale	571,150		571,150		453,789
Fair Value
Less than 12 Months	346,008		346,008		67,736
12 months or Longer	344		344		3,274
Total fair value	346,352		346,352		71,010
Unrealized Losses
Less than 12 Months	(5,791)		(5,791)		(187)
12 months or Longer	(4)		(4)		(9)
Total unrealized losses	(5,795)		(5,795)		(196)
Corporate debt securities
Schedule Of Available For Sale Debt Securities [Line Items]
Total debt securities available-for-sale	22,509		22,509		40,813
Gross Unrealized Gains	759		759		1,556
Gross Unrealized Losses	0		0		0
Investment securities available-for-sale	23,268		23,268		42,369
Fair Value
Less than 12 Months	0		0		0
12 months or Longer	0		0		0
Total fair value	0		0		0
Unrealized Losses
Less than 12 Months	0		0		0
12 months or Longer	0		0		0
Total unrealized losses	0		0		0
Foreign government and other securities
Schedule Of Available For Sale Debt Securities [Line Items]
Total debt securities available-for-sale	600		600		700
Gross Unrealized Gains	0		0		0
Gross Unrealized Losses	0		0		0
Investment securities available-for-sale	600		600		700
Fair Value
Less than 12 Months	600		600		200
12 months or Longer	0		0		0
Total fair value	600		600		200
Unrealized Losses
Less than 12 Months	0		0		0
12 months or Longer	0		0		0
Total unrealized losses	$ 0		$ 0		$ 0

Loan and Lease Financings (Deta

Loan and Lease Financings (Details)	9 Months Ended	12 Months Ended
	Sep. 30, 2021USD ($)itemclass	Dec. 31, 2020USD ($)
Receivables [Abstract]
Number of methods to assess credit risk | item	2
Loan and Lease Financings
Number of methods to assess credit risk | item	2
PPP loan originations	$ 261,460,000	$ 597,450,000
PPP loan balance	171,620,000
PPP loans receivable deferred income	$ 6,280,000
Number of domestic aircraft loan pools | class	2
Amortized cost of loans and leases	$ 5,358,797,000	5,489,301,000
Commercial and agricultural
Loan and Lease Financings
Financing receivable originated during current fiscal year	264,020,000	532,604,000
Financing receivable originated one year prior to current fiscal year	164,295,000	104,819,000
Financing receivable originated two years prior to current fiscal year	72,405,000	118,977,000
Financing receivable originated three years prior to current fiscal year	68,559,000	59,514,000
Financing receivable originated four years prior to current fiscal year	40,269,000	23,223,000
Financing receivable originated five years or more prior to current fiscal year	23,404,000	21,924,000
Revolving Loans	372,897,000	325,057,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	$ 1,005,849,000	1,186,118,000
Commercial and agricultural | Minimum
Loan and Lease Financings
Expected life of underlying collateral	3 years
Commercial and agricultural | Maximum
Loan and Lease Financings
Expected life of underlying collateral	7 years
Solar
Loan and Lease Financings
Financing receivable originated during current fiscal year	$ 95,941,000	141,089,000
Financing receivable originated one year prior to current fiscal year	61,135,000	90,435,000
Financing receivable originated two years prior to current fiscal year	87,761,000	20,160,000
Financing receivable originated three years prior to current fiscal year	19,815,000	36,909,000
Financing receivable originated four years prior to current fiscal year	35,536,000	4,011,000
Financing receivable originated five years or more prior to current fiscal year	3,807,000	0
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	303,995,000	292,604,000
Auto and light truck
Loan and Lease Financings
Financing receivable originated during current fiscal year	281,269,000	268,045,000
Financing receivable originated one year prior to current fiscal year	166,643,000	168,977,000
Financing receivable originated two years prior to current fiscal year	98,451,000	65,545,000
Financing receivable originated three years prior to current fiscal year	36,068,000	32,713,000
Financing receivable originated four years prior to current fiscal year	20,119,000	6,460,000
Financing receivable originated five years or more prior to current fiscal year	2,708,000	629,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	$ 605,258,000	542,369,000
Auto and light truck | Minimum
Loan and Lease Financings
Loan amortization period	18 months
Direct finance lease term	3 years
Auto and light truck | Maximum
Loan and Lease Financings
Loan amortization period	4 years
Direct finance lease term	7 years
Medium and heavy duty truck
Loan and Lease Financings
Financing receivable originated during current fiscal year	$ 49,844,000	92,698,000
Financing receivable originated one year prior to current fiscal year	74,581,000	89,292,000
Financing receivable originated two years prior to current fiscal year	69,054,000	44,205,000
Financing receivable originated three years prior to current fiscal year	28,790,000	31,773,000
Financing receivable originated four years prior to current fiscal year	17,651,000	16,276,000
Financing receivable originated five years or more prior to current fiscal year	8,684,000	4,928,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	$ 248,604,000	279,172,000
Medium and heavy duty truck | Minimum
Loan and Lease Financings
Period of amortization to reach equity position in collateral	3 years
Medium and heavy duty truck | Maximum
Loan and Lease Financings
Period of amortization to reach equity position in collateral	4 years
Aircraft
Loan and Lease Financings
Financing receivable originated during current fiscal year	$ 310,355,000	440,802,000
Financing receivable originated one year prior to current fiscal year	317,606,000	155,919,000
Financing receivable originated two years prior to current fiscal year	104,713,000	93,521,000
Financing receivable originated three years prior to current fiscal year	57,590,000	96,053,000
Financing receivable originated four years prior to current fiscal year	62,910,000	46,159,000
Financing receivable originated five years or more prior to current fiscal year	39,095,000	22,636,000
Revolving Loans	7,808,000	6,370,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	$ 900,077,000	861,460,000
Aircraft | Minimum
Loan and Lease Financings
Loan amortization period	10 years
Aircraft | Maximum
Loan and Lease Financings
Loan amortization period	15 years
Construction equipment
Loan and Lease Financings
Financing receivable originated during current fiscal year	$ 256,133,000	328,692,000
Financing receivable originated one year prior to current fiscal year	233,689,000	194,293,000
Financing receivable originated two years prior to current fiscal year	130,099,000	106,962,000
Financing receivable originated three years prior to current fiscal year	58,689,000	43,111,000
Financing receivable originated four years prior to current fiscal year	20,225,000	12,861,000
Financing receivable originated five years or more prior to current fiscal year	6,609,000	5,807,000
Revolving Loans	17,068,000	20,490,000
Revolving Loans Converted to Term	6,900,000	2,672,000
Amortized cost of loans and leases	729,412,000	714,888,000
Commercial real estate
Loan and Lease Financings
Financing receivable originated during current fiscal year	135,682,000	200,243,000
Financing receivable originated one year prior to current fiscal year	197,256,000	212,467,000
Financing receivable originated two years prior to current fiscal year	176,177,000	179,020,000
Financing receivable originated three years prior to current fiscal year	146,737,000	181,693,000
Financing receivable originated four years prior to current fiscal year	157,302,000	70,784,000
Financing receivable originated five years or more prior to current fiscal year	125,452,000	125,284,000
Revolving Loans	525,000	373,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	939,131,000	969,864,000
Residential real estate and home equity
Loan and Lease Financings
Financing receivable originated during current fiscal year	72,849,000	133,829,000
Financing receivable originated one year prior to current fiscal year	119,749,000	65,690,000
Financing receivable originated two years prior to current fiscal year	46,096,000	18,215,000
Financing receivable originated three years prior to current fiscal year	13,632,000	22,943,000
Financing receivable originated four years prior to current fiscal year	13,736,000	41,847,000
Financing receivable originated five years or more prior to current fiscal year	98,655,000	87,541,000
Revolving Loans	123,085,000	135,502,000
Revolving Loans Converted to Term	5,091,000	5,812,000
Amortized cost of loans and leases	492,893,000	511,379,000
Consumer
Loan and Lease Financings
Financing receivable originated during current fiscal year	47,527,000	43,826,000
Financing receivable originated one year prior to current fiscal year	28,530,000	34,508,000
Financing receivable originated two years prior to current fiscal year	20,581,000	18,982,000
Financing receivable originated three years prior to current fiscal year	10,250,000	7,041,000
Financing receivable originated four years prior to current fiscal year	3,327,000	2,267,000
Financing receivable originated five years or more prior to current fiscal year	927,000	795,000
Revolving Loans	22,436,000	24,028,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	133,578,000	131,447,000
Credit Quality Grades 1-6 | Commercial and agricultural
Loan and Lease Financings
Financing receivable originated during current fiscal year	259,015,000	525,816,000
Financing receivable originated one year prior to current fiscal year	164,059,000	103,120,000
Financing receivable originated two years prior to current fiscal year	69,021,000	114,251,000
Financing receivable originated three years prior to current fiscal year	65,697,000	56,007,000
Financing receivable originated four years prior to current fiscal year	38,019,000	22,023,000
Financing receivable originated five years or more prior to current fiscal year	22,880,000	19,790,000
Revolving Loans	352,797,000	291,990,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	971,488,000	1,132,997,000
Credit Quality Grades 1-6 | Solar
Loan and Lease Financings
Financing receivable originated during current fiscal year	95,941,000	141,089,000
Financing receivable originated one year prior to current fiscal year	59,984,000	90,435,000
Financing receivable originated two years prior to current fiscal year	81,811,000	20,160,000
Financing receivable originated three years prior to current fiscal year	19,084,000	36,909,000
Financing receivable originated four years prior to current fiscal year	35,536,000	4,011,000
Financing receivable originated five years or more prior to current fiscal year	3,807,000	0
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	296,163,000	292,604,000
Credit Quality Grades 1-6 | Auto and light truck
Loan and Lease Financings
Financing receivable originated during current fiscal year	273,260,000	248,932,000
Financing receivable originated one year prior to current fiscal year	150,752,000	141,841,000
Financing receivable originated two years prior to current fiscal year	89,456,000	52,749,000
Financing receivable originated three years prior to current fiscal year	30,896,000	24,101,000
Financing receivable originated four years prior to current fiscal year	14,202,000	4,210,000
Financing receivable originated five years or more prior to current fiscal year	1,498,000	608,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	560,064,000	472,441,000
Credit Quality Grades 1-6 | Medium and heavy duty truck
Loan and Lease Financings
Financing receivable originated during current fiscal year	49,844,000	92,698,000
Financing receivable originated one year prior to current fiscal year	74,581,000	88,314,000
Financing receivable originated two years prior to current fiscal year	69,054,000	44,205,000
Financing receivable originated three years prior to current fiscal year	28,790,000	31,773,000
Financing receivable originated four years prior to current fiscal year	17,651,000	15,644,000
Financing receivable originated five years or more prior to current fiscal year	8,363,000	4,840,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	248,283,000	277,474,000
Credit Quality Grades 1-6 | Aircraft
Loan and Lease Financings
Financing receivable originated during current fiscal year	309,624,000	429,283,000
Financing receivable originated one year prior to current fiscal year	316,914,000	153,358,000
Financing receivable originated two years prior to current fiscal year	104,713,000	93,042,000
Financing receivable originated three years prior to current fiscal year	56,148,000	95,457,000
Financing receivable originated four years prior to current fiscal year	62,412,000	43,972,000
Financing receivable originated five years or more prior to current fiscal year	36,119,000	20,966,000
Revolving Loans	7,308,000	6,370,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	893,238,000	842,448,000
Credit Quality Grades 1-6 | Construction equipment
Loan and Lease Financings
Financing receivable originated during current fiscal year	227,587,000	311,174,000
Financing receivable originated one year prior to current fiscal year	224,825,000	180,550,000
Financing receivable originated two years prior to current fiscal year	125,132,000	96,320,000
Financing receivable originated three years prior to current fiscal year	57,157,000	42,713,000
Financing receivable originated four years prior to current fiscal year	19,888,000	12,624,000
Financing receivable originated five years or more prior to current fiscal year	6,548,000	5,722,000
Revolving Loans	16,316,000	17,502,000
Revolving Loans Converted to Term	3,797,000	737,000
Amortized cost of loans and leases	681,250,000	667,342,000
Credit Quality Grades 1-6 | Commercial real estate
Loan and Lease Financings
Financing receivable originated during current fiscal year	133,207,000	190,725,000
Financing receivable originated one year prior to current fiscal year	191,237,000	204,477,000
Financing receivable originated two years prior to current fiscal year	170,497,000	173,847,000
Financing receivable originated three years prior to current fiscal year	146,222,000	175,009,000
Financing receivable originated four years prior to current fiscal year	151,008,000	69,022,000
Financing receivable originated five years or more prior to current fiscal year	123,105,000	122,762,000
Revolving Loans	525,000	373,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	915,801,000	936,215,000
Credit Quality Grades 7-12
Loan and Lease Financings
Relationships reviewed quarterly as part of management's evaluation of the appropriateness of the allowance for loan and lease losses	250,000
Credit Quality Grades 7-12 | Commercial and agricultural
Loan and Lease Financings
Financing receivable originated during current fiscal year	5,005,000	6,788,000
Financing receivable originated one year prior to current fiscal year	236,000	1,699,000
Financing receivable originated two years prior to current fiscal year	3,384,000	4,726,000
Financing receivable originated three years prior to current fiscal year	2,862,000	3,507,000
Financing receivable originated four years prior to current fiscal year	2,250,000	1,200,000
Financing receivable originated five years or more prior to current fiscal year	524,000	2,134,000
Revolving Loans	20,100,000	33,067,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	34,361,000	53,121,000
Credit Quality Grades 7-12 | Solar
Loan and Lease Financings
Financing receivable originated during current fiscal year	0	0
Financing receivable originated one year prior to current fiscal year	1,151,000	0
Financing receivable originated two years prior to current fiscal year	5,950,000	0
Financing receivable originated three years prior to current fiscal year	731,000	0
Financing receivable originated four years prior to current fiscal year	0	0
Financing receivable originated five years or more prior to current fiscal year	0	0
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	7,832,000	0
Credit Quality Grades 7-12 | Auto and light truck
Loan and Lease Financings
Financing receivable originated during current fiscal year	8,009,000	19,113,000
Financing receivable originated one year prior to current fiscal year	15,891,000	27,136,000
Financing receivable originated two years prior to current fiscal year	8,995,000	12,796,000
Financing receivable originated three years prior to current fiscal year	5,172,000	8,612,000
Financing receivable originated four years prior to current fiscal year	5,917,000	2,250,000
Financing receivable originated five years or more prior to current fiscal year	1,210,000	21,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	45,194,000	69,928,000
Credit Quality Grades 7-12 | Medium and heavy duty truck
Loan and Lease Financings
Financing receivable originated during current fiscal year	0	0
Financing receivable originated one year prior to current fiscal year	0	978,000
Financing receivable originated two years prior to current fiscal year	0	0
Financing receivable originated three years prior to current fiscal year	0	0
Financing receivable originated four years prior to current fiscal year	0	632,000
Financing receivable originated five years or more prior to current fiscal year	321,000	88,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	321,000	1,698,000
Credit Quality Grades 7-12 | Aircraft
Loan and Lease Financings
Financing receivable originated during current fiscal year	731,000	11,519,000
Financing receivable originated one year prior to current fiscal year	692,000	2,561,000
Financing receivable originated two years prior to current fiscal year	0	479,000
Financing receivable originated three years prior to current fiscal year	1,442,000	596,000
Financing receivable originated four years prior to current fiscal year	498,000	2,187,000
Financing receivable originated five years or more prior to current fiscal year	2,976,000	1,670,000
Revolving Loans	500,000	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	6,839,000	19,012,000
Credit Quality Grades 7-12 | Construction equipment
Loan and Lease Financings
Financing receivable originated during current fiscal year	28,546,000	17,518,000
Financing receivable originated one year prior to current fiscal year	8,864,000	13,743,000
Financing receivable originated two years prior to current fiscal year	4,967,000	10,642,000
Financing receivable originated three years prior to current fiscal year	1,532,000	398,000
Financing receivable originated four years prior to current fiscal year	337,000	237,000
Financing receivable originated five years or more prior to current fiscal year	61,000	85,000
Revolving Loans	752,000	2,988,000
Revolving Loans Converted to Term	3,103,000	1,935,000
Amortized cost of loans and leases	48,162,000	47,546,000
Credit Quality Grades 7-12 | Commercial real estate
Loan and Lease Financings
Financing receivable originated during current fiscal year	2,475,000	9,518,000
Financing receivable originated one year prior to current fiscal year	6,019,000	7,990,000
Financing receivable originated two years prior to current fiscal year	5,680,000	5,173,000
Financing receivable originated three years prior to current fiscal year	515,000	6,684,000
Financing receivable originated four years prior to current fiscal year	6,294,000	1,762,000
Financing receivable originated five years or more prior to current fiscal year	2,347,000	2,522,000
Revolving Loans	0	0
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	23,330,000	33,649,000
Performing | Residential real estate and home equity
Loan and Lease Financings
Financing receivable originated during current fiscal year	72,849,000	133,829,000
Financing receivable originated one year prior to current fiscal year	119,749,000	65,690,000
Financing receivable originated two years prior to current fiscal year	46,096,000	18,194,000
Financing receivable originated three years prior to current fiscal year	13,632,000	22,929,000
Financing receivable originated four years prior to current fiscal year	13,736,000	41,847,000
Financing receivable originated five years or more prior to current fiscal year	97,876,000	86,106,000
Revolving Loans	122,849,000	135,255,000
Revolving Loans Converted to Term	5,008,000	5,703,000
Amortized cost of loans and leases	491,795,000	509,553,000
Performing | Consumer
Loan and Lease Financings
Financing receivable originated during current fiscal year	47,476,000	43,824,000
Financing receivable originated one year prior to current fiscal year	28,490,000	34,409,000
Financing receivable originated two years prior to current fiscal year	20,519,000	18,904,000
Financing receivable originated three years prior to current fiscal year	10,204,000	7,005,000
Financing receivable originated four years prior to current fiscal year	3,084,000	2,259,000
Financing receivable originated five years or more prior to current fiscal year	922,000	793,000
Revolving Loans	22,436,000	23,869,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	$ 133,131,000	131,063,000
Nonperforming
Loan and Lease Financings
Classification of nonperforming loans, threshold period past due	90 days
Nonperforming | Residential real estate and home equity
Loan and Lease Financings
Financing receivable originated during current fiscal year	$ 0	0
Financing receivable originated one year prior to current fiscal year	0	0
Financing receivable originated two years prior to current fiscal year	0	21,000
Financing receivable originated three years prior to current fiscal year	0	14,000
Financing receivable originated four years prior to current fiscal year	0	0
Financing receivable originated five years or more prior to current fiscal year	779,000	1,435,000
Revolving Loans	236,000	247,000
Revolving Loans Converted to Term	83,000	109,000
Amortized cost of loans and leases	1,098,000	1,826,000
Nonperforming | Consumer
Loan and Lease Financings
Financing receivable originated during current fiscal year	51,000	2,000
Financing receivable originated one year prior to current fiscal year	40,000	99,000
Financing receivable originated two years prior to current fiscal year	62,000	78,000
Financing receivable originated three years prior to current fiscal year	46,000	36,000
Financing receivable originated four years prior to current fiscal year	243,000	8,000
Financing receivable originated five years or more prior to current fiscal year	5,000	2,000
Revolving Loans	0	159,000
Revolving Loans Converted to Term	0	0
Amortized cost of loans and leases	$ 447,000	$ 384,000

Loan and Lease Financings (De_2

Loan and Lease Financings (Details 2) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
90 Days or More Past Due and Accruing	$ 96	$ 115
Total Accruing Loans	5,315,631	5,428,913
Nonaccrual	43,166	60,388
Total loans and leases	5,358,797	5,489,301
Accrued interest receivable on loans and leases	14,000	16,390
Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	5,305,076	5,424,982
30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	6,682	2,973
60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	3,777	843
Commercial and agricultural
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	1,003,328	1,180,185
Nonaccrual	2,521	5,933
Total loans and leases	1,005,849	1,186,118
Commercial and agricultural | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	998,092	1,180,151
Commercial and agricultural | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	5,107	34
Commercial and agricultural | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	129	0
Solar
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	303,995	292,604
Nonaccrual	0	0
Total loans and leases	303,995	292,604
Solar | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	303,995	292,604
Solar | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	0
Solar | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	0
Auto and light truck
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	576,566	505,424
Nonaccrual	28,692	36,945
Total loans and leases	605,258	542,369
Auto and light truck | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	576,291	504,659
Auto and light truck | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	275	560
Auto and light truck | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	205
Medium and heavy duty truck
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	248,283	278,452
Nonaccrual	321	720
Total loans and leases	248,604	279,172
Medium and heavy duty truck | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	247,937	278,452
Medium and heavy duty truck | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	346	0
Medium and heavy duty truck | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	0
Aircraft
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	899,385	860,632
Nonaccrual	692	828
Total loans and leases	900,077	861,460
Aircraft | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	895,911	860,632
Aircraft | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	0
Aircraft | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	3,474	0
Construction equipment
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	721,695	702,515
Nonaccrual	7,717	12,373
Total loans and leases	729,412	714,888
Construction equipment | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	721,521	701,124
Construction equipment | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	174	1,093
Construction equipment | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	298
Commercial real estate
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total Accruing Loans	937,357	968,370
Nonaccrual	1,774	1,494
Total loans and leases	939,131	969,864
Commercial real estate | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	937,133	968,370
Commercial real estate | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	224	0
Commercial real estate | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	0	0
Residential real estate and home equity
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
90 Days or More Past Due and Accruing	96	108
Total Accruing Loans	491,891	509,661
Nonaccrual	1,002	1,718
Total loans and leases	492,893	511,379
Residential real estate and home equity | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	491,351	508,532
Residential real estate and home equity | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	334	782
Residential real estate and home equity | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	110	239
Consumer
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
90 Days or More Past Due and Accruing	0	7
Total Accruing Loans	133,131	131,070
Nonaccrual	447	377
Total loans and leases	133,578	131,447
Consumer | Current
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	132,845	130,458
Consumer | 30 to 59 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	222	504
Consumer | 60 to 89 Days Past Due
Amortized cost of loans and leases, segregated by portfolio segment, with delinquency aging and nonaccrual status
Total loans and leases	$ 64	$ 101

Loan and Lease Financings (De_3

Loan and Lease Financings (Details 3) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2020
Impaired loans and leases
Average Recorded Investment	$ 61,481	$ 39,161
Interest Income	5	154
Commercial and agricultural
Impaired loans and leases
Average Recorded Investment	8,989	7,393
Interest Income	1	139
Solar
Impaired loans and leases
Average Recorded Investment	0	0
Interest Income	0	0
Auto and light truck
Impaired loans and leases
Average Recorded Investment	32,369	14,632
Interest Income	0	0
Medium and heavy duty truck
Impaired loans and leases
Average Recorded Investment	985	1,011
Interest Income	0	0
Aircraft
Impaired loans and leases
Average Recorded Investment	1,957	2,015
Interest Income	0	0
Construction equipment
Impaired loans and leases
Average Recorded Investment	15,543	12,541
Interest Income	0	4
Commercial real estate
Impaired loans and leases
Average Recorded Investment	1,306	1,235
Interest Income	0	0
Residential real estate and home equity
Impaired loans and leases
Average Recorded Investment	332	334
Interest Income	4	11
Consumer
Impaired loans and leases
Average Recorded Investment	0	0
Interest Income	$ 0	$ 0

Loan and Lease Financings (De_4

Loan and Lease Financings (Details 4) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021USD ($)defaultitem	Sep. 30, 2020defaultitem	Sep. 30, 2021USD ($)defaultitem	Sep. 30, 2020defaultitem	Dec. 31, 2020USD ($)
Loans and leases classified as TDR
Number of Modifications | item	1	0	1	2
Number of Defaults | default	0	0	0	1
Loans and leases classified as troubled debt restructuring	$ 7,409		$ 7,409		$ 11,486
Troubled debt restructured loans and leases which had payment defaults within twelve months following modification
Default threshold			90 days
Performing
Loans and leases classified as TDR
Loans and leases classified as troubled debt restructuring	322		$ 322		330
Nonperforming
Loans and leases classified as TDR
Loans and leases classified as troubled debt restructuring	$ 7,087		$ 7,087		$ 11,156
Interest Rate Below Market Reduction [Member]
Loans and leases classified as TDR
Number of Modifications | item	1	0	1	0

Allowance for Credit Losses (De

Allowance for Credit Losses (Details) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2021USD ($)item	Sep. 30, 2020USD ($)		Sep. 30, 2021USD ($)item	Sep. 30, 2020USD ($)
Allowance for credit losses
Number of classes existing in loan and lease portfolio | item	9			9
Changes in allowance for loan and lease losses
Balance at the beginning of the period	$ 136,361	$ 131,283	[1]	$ 140,654	$ 111,254	[2]
Charge-offs	1,077	4,892		6,323	8,342
Recoveries	1,030	1,123		2,610	2,874
Net charge-offs (recoveries)	47	3,769		3,713	5,468
Provision (recovery of provision)	(2,559)	9,303	[1]	(3,186)	31,031	[2]
Balance at the end of the period	133,755	136,817	[1],[2]	133,755	136,817	[1],[2]
Commercial and agricultural
Changes in allowance for loan and lease losses
Balance at the beginning of the period	14,832	25,059	[1]	16,680	20,926	[2]
Charge-offs	21	182		307	753
Recoveries	176	231		694	533
Net charge-offs (recoveries)	(155)	(49)		(387)	220
Provision (recovery of provision)	179	(4,378)	[1]	(1,901)	24	[2]
Balance at the end of the period	15,166	20,730	[1],[2]	15,166	20,730	[1],[2]
Solar
Changes in allowance for loan and lease losses
Balance at the beginning of the period	5,867	3,948	[1]	5,549	2,745	[2]
Charge-offs	0	0		0	0
Recoveries	0	0		0	0
Net charge-offs (recoveries)	0	0		0	0
Provision (recovery of provision)	(15)	392	[1]	303	1,595	[2]
Balance at the end of the period	5,852	4,340	[1],[2]	5,852	4,340	[1],[2]
Auto and light truck
Changes in allowance for loan and lease losses
Balance at the beginning of the period	27,221	17,371	[1]	28,926	14,400	[2]
Charge-offs	407	4,382		5,060	4,416
Recoveries	479	263		664	403
Net charge-offs (recoveries)	(72)	4,119		4,396	4,013
Provision (recovery of provision)	(1,451)	11,997	[1]	1,312	14,862	[2]
Balance at the end of the period	25,842	25,249	[1],[2]	25,842	25,249	[1],[2]
Medium and heavy duty truck
Changes in allowance for loan and lease losses
Balance at the beginning of the period	5,888	4,649	[1]	6,400	4,612	[2]
Charge-offs	0	0		0	0
Recoveries	0	0		0	0
Net charge-offs (recoveries)	0	0		0	0
Provision (recovery of provision)	(158)	(192)	[1]	(670)	(155)	[2]
Balance at the end of the period	5,730	4,457	[1],[2]	5,730	4,457	[1],[2]
Aircraft
Changes in allowance for loan and lease losses
Balance at the beginning of the period	35,301	31,101	[1]	34,053	31,058	[2]
Charge-offs	0	0		0	840
Recoveries	153	191		513	694
Net charge-offs (recoveries)	(153)	(191)		(513)	146
Provision (recovery of provision)	975	953	[1]	1,863	1,333	[2]
Balance at the end of the period	36,429	32,245	[1],[2]	36,429	32,245	[1],[2]
Construction equipment
Changes in allowance for loan and lease losses
Balance at the beginning of the period	17,908	23,872	[1]	19,166	14,120	[2]
Charge-offs	551	21		559	1,582
Recoveries	170	347		424	937
Net charge-offs (recoveries)	381	(326)		135	645
Provision (recovery of provision)	(1,083)	(1,395)	[1]	(2,587)	9,328	[2]
Balance at the end of the period	16,444	22,803	[1],[2]	16,444	22,803	[1],[2]
Commercial real estate
Changes in allowance for loan and lease losses
Balance at the beginning of the period	22,578	19,936	[1]	22,758	18,350	[2]
Charge-offs	0	36		0	37
Recoveries	0	15		19	43
Net charge-offs (recoveries)	0	21		(19)	(6)
Provision (recovery of provision)	(1,253)	1,834	[1]	(1,452)	3,393	[2]
Balance at the end of the period	21,325	21,749	[1],[2]	21,325	21,749	[1],[2]
Residential real estate and home equity
Changes in allowance for loan and lease losses
Balance at the beginning of the period	5,066	3,821	[1]	5,374	3,609	[2]
Charge-offs	0	61		42	74
Recoveries	3	1		14	31
Net charge-offs (recoveries)	(3)	60		28	43
Provision (recovery of provision)	96	(29)	[1]	(181)	166	[2]
Balance at the end of the period	5,165	3,732	[1],[2]	5,165	3,732	[1],[2]
Consumer
Changes in allowance for loan and lease losses
Balance at the beginning of the period	1,700	1,526	[1]	1,748	1,434	[2]
Charge-offs	98	210		355	640
Recoveries	49	75		282	233
Net charge-offs (recoveries)	49	135		73	407
Provision (recovery of provision)	151	121	[1]	127	485	[2]
Balance at the end of the period	$ 1,802	$ 1,512	[1],[2]	$ 1,802	$ 1,512	[1],[2]
[1]	*ASU 2016-13 adopted during the fourth quarter of 2020 therefore amounts during the third quarter of 2020 reflect the incurred loss method.
[2]	*ASU 2016-13 adopted during the fourth quarter of 2020 therefore amounts during the first nine months of 2020 reflect the incurred loss method.

Allowance for Credit Losses (_2

Allowance for Credit Losses (Details 2) - Unfunded Loan Commitment - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	[1]	Sep. 30, 2021	Sep. 30, 2020	[1]
Allowance for credit losses
Balance, beginning of period	$ 4,317	$ 3,525		$ 4,499	$ 3,172
Provision (recovery of provision)	46	39		(136)	392
Balance, end of period	$ 4,363	$ 3,564		$ 4,363	$ 3,564
[1]	*ASU 2016-13 adopted during the fourth quarter of 2020 therefore third quarter 2020 amounts reflect the incurred loss method.

Allowance for Credit Losses (_3

Allowance for Credit Losses (Details 3) $ in Thousands	3 Months Ended
	Sep. 30, 2021USD ($)
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]
PPP loans net decrease	$ 143,470

Lease Investments (Details)

Lease Investments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Leases [Abstract]
Interest income on lease receivable	$ 1,629	$ 1,880	$ 4,880	$ 6,310
Income related to lease payments	3,946	5,593	12,830	18,213
Depreciation - leased equipment	3,239	4,694	10,562	15,263
Income from reimbursements for personal property tax payments on operating leased equipment	20	20	400	440
Expense for payments of personal property taxes on operating leased equipment	$ 20	$ 20	$ 400	$ 440

Mortgage Servicing Rights (Deta

Mortgage Servicing Rights (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Residential mortgage loans
Mortgage Servicing Rights
Unpaid principal balance	$ 858,700	$ 838,450

Mortgage Servicing Rights (De_2

Mortgage Servicing Rights (Details 2) - Residential mortgage loans - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Changes in mortgage servicing assets
Balance at the beginning of the period	$ 4,678	$ 4,294	$ 4,616	$ 4,200
Additions	395	897	1,566	2,094
Amortization	(554)	(654)	(1,663)	(1,757)
Sales	0	0	0	0
Carrying value before valuation allowance at end of period	4,519	4,537	4,519	4,537
Changes in valuation allowance
Balance at the beginning of the period	(223)	(546)	(812)	0
Impairment recoveries (charges)	223	(262)	812	(808)
Balance at the end of the period	0	(808)	0	(808)
Net carrying value of mortgage servicing rights at end of period	4,519	3,729	4,519	3,729
Fair value of mortgage servicing rights at end of period	4,999	4,000	4,999	4,000
Fair value of mortgage servicing rights exceeding the carrying value	480	270	480	270
Mortgage loan contractual servicing fees, including late fees and ancillary income	$ 810	$ 810	$ 2,400	$ 2,310

Commitments and Financial Ins_3

Commitments and Financial Instruments with Off-Balance-Sheet Risk (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Loan commitments to extend credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet instruments	$ 1,156,994	$ 1,140,892
Standby letters of credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet instruments	$ 28,868	24,884
Standby letters of credit | Minimum
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Letter of credit term	2 months
Standby letters of credit | Maximum
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Letter of credit term	1 year
Commercial and similar letters of credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet instruments	$ 6,115	$ 7,095
Commercial and similar letters of credit | Minimum
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Letter of credit term	2 months
Commercial and similar letters of credit | Maximum
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Letter of credit term	6 months

Derivative Financial Instrume_3

Derivative Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Non-hedging derivative financial instruments
Derivative Financial Instruments
Notional or contractual amount	$ 1,196,457	$ 1,226,150
Asset derivatives, Fair value	29,373	48,141
Liability derivatives, Fair value	28,975	47,971
Interest rate swap contracts
Derivative Financial Instruments
Asset derivatives, Fair value	32,806	52,872
Interest rate swap contracts | Non-hedging derivative financial instruments
Derivative Financial Instruments
Notional or contractual amount	1,117,657	1,155,252
Asset derivatives, Fair value	28,368	46,654
Liability derivatives, Fair value	28,975	47,681
Loan commitments | Non-hedging derivative financial instruments
Derivative Financial Instruments
Notional or contractual amount	30,800	32,588
Asset derivatives, Fair value	783	1,487
Liability derivatives, Fair value	0	0
Forward contracts - mortgage loan | Non-hedging derivative financial instruments
Derivative Financial Instruments
Notional or contractual amount	48,000	38,310
Asset derivatives, Fair value	222	0
Liability derivatives, Fair value	$ 0	$ 290

Derivative Financial Instrume_4

Derivative Financial Instruments (Details 2) - Non-hedging derivative financial instruments - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Derivative Financial Instruments
Gain (loss)	$ 341	$ 1,505	$ 535	$ 2,232
Interest rate swap contracts | Other expense
Derivative Financial Instruments
Gain (loss)	101	50	420	(583)
Interest rate swap contracts | Other income
Derivative Financial Instruments
Gain (loss)	69	23	307	560
Loan commitments | Mortgage banking income
Derivative Financial Instruments
Gain (loss)	(75)	1,406	(704)	2,292
Forward contracts - mortgage loan | Mortgage banking income
Derivative Financial Instruments
Gain (loss)	$ 246	$ 26	$ 512	$ (37)

Derivative Financial Instrume_5

Derivative Financial Instruments (Details 3) - Interest rate swaps - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Offsetting Assets
Asset derivatives, Fair value	$ 32,806	$ 52,872
Gross Amounts Offset in the Statement of Financial Position	4,438	6,218
Net Amounts of Assets Presented in the Statement of Financial Position	28,368	46,654
Derivative Asset, Fair Value, Amount Offset Against Collateral [Abstract]
Financial instruments	0	0
Cash collateral received	0	0
Net Amount	$ 28,368	$ 46,654

Derivative Financial Instrume_6

Derivative Financial Instruments (Details 4) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Offsetting of financial liabilities and derivative liabilities
Derivative Liability, Fair Value, Gross Liability Including Not Subject to Master Netting Arrangement	$ 243,688	$ 197,463
Gross Amounts Offset in the Statement of Financial Position	4,438	6,218
Net Amounts of Liabilities Presented in the Statement of Financial Position	239,250	191,245
Gross amounts Not Offset in the Statement of Financial Position
Financial Instruments	238,443	190,542
Cash Collateral Pledged	0	0
Net Amount	807	703
Interest rate swaps
Offsetting of financial liabilities and derivative liabilities
Derivative Liability, Fair Value, Gross Liability Including Not Subject to Master Netting Arrangement	33,413	53,899
Gross Amounts Offset in the Statement of Financial Position	4,438	6,218
Net Amounts of Liabilities Presented in the Statement of Financial Position	28,975	47,681
Derivative, Collateral, Right to Reclaim Securities	28,168	46,978
Gross amounts Not Offset in the Statement of Financial Position
Cash Collateral Pledged	0	0
Net Amount	807	703
Repurchase agreements
Offsetting of financial liabilities and derivative liabilities
Derivative Liability, Fair Value, Gross Liability Including Not Subject to Master Netting Arrangement	210,275	143,564
Net Amounts of Liabilities Presented in the Statement of Financial Position	210,275	143,564
Gross amounts Not Offset in the Statement of Financial Position
Financial Instruments	$ 210,275	$ 143,564

Derivative Financial Instrume_7

Derivative Financial Instruments (Details 5) - U.S. Treasury and Federal agencies securities - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Overnight and Continuous
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
Repurchase agreements	$ 207,080	$ 141,420
Up to 30 Days
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
Repurchase agreements	$ 3,200	$ 2,140

Variable Interest Entities (Det

Variable Interest Entities (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Subordinated Borrowing [Line Items]
Federal tax credits recognized in tax expense	$ 550	$ 430	$ 1,560	$ 1,290
Investment tax credits	320	$ 0	3,320	$ 7,840
Investment carrying amount	7,964,092		7,964,092		$ 7,316,411
Unfunded capital and other commitments	7,007,695		7,007,695		6,385,741
Maximum exposure to loss, unconsolidated VIEs	57,804		57,804		52,106
Variable interest entity, primary beneficiary
Subordinated Borrowing [Line Items]
Investment carrying amount	58,970		58,970		53,610
Unfunded capital and other commitments	8,910		8,910		4,930
Variable interest entity, not primary beneficiary
Subordinated Borrowing [Line Items]
Investment carrying amount	31,339		31,339		22,742
Unfunded capital and other commitments	$ 25,829		$ 25,829		$ 26,716

Variable Interest Entities (D_2

Variable Interest Entities (Details 2) $ in Thousands	9 Months Ended
	Sep. 30, 2021USD ($)trust	Dec. 31, 2020USD ($)
Variable Interest Entities [Abstract]
Number of trusts sponsored | trust	1
Percentage of ownership interest	100.00%
Subordinated Borrowing [Line Items]
Amount of subordinated notes	$ 58,764	$ 58,764
June 2007 issuance
Subordinated Borrowing [Line Items]
Amount of subordinated notes	$ 41,238
Interest rate (as a percent)	7.22%
Maturity date of subordinated notes	Jun. 15, 2037
August 2007 issuance
Subordinated Borrowing [Line Items]
Amount of subordinated notes	$ 17,526
Interest rate (as a percent)	1.60%
Maturity date of subordinated notes	Sep. 15, 2037
London Interbank Offered Rate (LIBOR) | August 2007 issuance
Subordinated Borrowing [Line Items]
Basis spread on variable rate (as a percent)	1.48%

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Earnings Per Share [Abstract]
Outstanding stock options (in shares)	0	0	0	0
Distributed earnings allocated to common stock	$ 7,749	$ 7,166	$ 22,681	$ 21,714
Undistributed earnings allocated to common stock	24,472	12,755	67,422	32,941
Net earnings allocated to common stock	32,221	19,921	90,103	54,655
Net earnings allocated to participating securities	262	137	708	318
Net income available to common shareholders	$ 32,483	$ 20,058	$ 90,811	$ 54,973
Weighted average shares outstanding for basic earnings per common share	24,919,956	25,552,374	25,126,703	25,538,910
Dilutive effect of stock compensation (in shares)	0	0	0	0
Weighted average shares outstanding for diluted earnings per common share	24,919,956	25,552,374	25,126,703	25,538,910
Basic earnings per common share (in dollars per share)	$ 1.29	$ 0.78	$ 3.59	$ 2.14
Diluted earnings per common share (in dollars per share)	$ 1.29	$ 0.78	$ 3.59	$ 2.14

Stock Based Compensation (Detai

Stock Based Compensation (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2021USD ($)itemshares	Sep. 30, 2020USD ($)shares
Stock-based compensation
Number of stock-based employee compensation plans | item	4
Number of executive stock award plans | item	3
Outstanding stock options (in shares)	0	0
Total unrecognized compensation cost related to non-vested share-based compensation arrangements | $	$ 8,050
Weighted-average period over which unrecognized compensation cost is expected to be recognized	3 years 3 months 25 days
Stock options
Stock-based compensation
Total fair value of options vested and expensed | $	$ 0	$ 0
Outstanding stock options (in shares)	0	0
Stock options exercised (in shares)	0	0

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Reclassifications out of accumulated other comprehensive income
(Losses) gains on investment securities available-for-sale	$ 0	$ 0	$ (680)	$ 279
Income tax expense	(9,735)	(6,509)	(27,797)	(17,185)
Unrealized gains and losses on available-for-sale securities | Amount Reclassified from Accumulated Other Comprehensive Income
Reclassifications out of accumulated other comprehensive income
(Losses) gains on investment securities available-for-sale	0	0	(680)	279
Income before income taxes	0	0	(680)	279
Income tax expense	0	0	164	(65)
Net income	$ 0	$ 0	$ (516)	$ 214

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Unrecognized tax benefits that would affect the effective tax rate if recognized	$ 0		$ 0		$ 0
Interest and penalties net of tax recognized	0	$ 0	0	$ 0
Accrued interest and penalties	$ 0		$ 0		$ 0

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands		Sep. 30, 2021	Dec. 31, 2020
Fair value measurements
Fair value carrying amount		$ 34,594	$ 12,885
Mortgages held for sale reported at fair value
Fair value measurements
Fair value carrying amount		34,594	12,885
Aggregate unpaid principal		32,824	11,045
Excess of fair value carrying amount over (under) unpaid principal	[1]	$ 1,770	$ 1,840
[1]	The excess of fair value carrying amount over (under) unpaid principal is included in mortgage banking income and includes changes in fair value at and subsequent to funding and gains and losses on the related loan commitment prior to funding.

Fair Value Measurements (Deta_2

Fair Value Measurements (Details 2) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Fair value measurements
Investment securities available-for-sale	$ 1,583,240	$ 1,197,467
Assets:
Mortgages held for sale	34,594	12,885
U.S. Treasury and Federal agencies securities
Fair value measurements
Investment securities available-for-sale	893,672	619,482
U.S. States and political subdivisions securities
Fair value measurements
Investment securities available-for-sale	94,550	81,127
Mortgage-backed securities - Federal agencies
Fair value measurements
Investment securities available-for-sale	571,150	453,789
Corporate debt securities
Fair value measurements
Investment securities available-for-sale	23,268	42,369
Foreign government and other securities
Fair value measurements
Investment securities available-for-sale	600	700
Total
Fair value measurements
Investment securities available-for-sale	1,583,240	1,197,467
Assets:
Mortgages held for sale	34,594	12,885
Level 1
Fair value measurements
Investment securities available-for-sale	372,074	80,285
Assets:
Mortgages held for sale	0	0
Level 2
Fair value measurements
Investment securities available-for-sale	1,209,337	1,115,030
Assets:
Mortgages held for sale	34,594	12,885
Level 3
Fair value measurements
Investment securities available-for-sale	1,829	2,152
Assets:
Mortgages held for sale	0	0
Recurring basis | Total
Fair value measurements
Investment securities available-for-sale	1,583,240	1,197,467
Assets:
Mortgages held for sale	34,594	12,885
Total	1,646,202	1,257,006
Liabilities:
Total	28,975	47,681
Recurring basis | Total | Interest rate swap contracts
Assets:
Accrued income and other assets	28,368	46,654
Liabilities:
Accrued expenses and other liabilities	28,975	47,681
Recurring basis | Total | U.S. Treasury and Federal agencies securities
Fair value measurements
Investment securities available-for-sale	893,672	619,482
Recurring basis | Total | U.S. States and political subdivisions securities
Fair value measurements
Investment securities available-for-sale	94,550	81,127
Recurring basis | Total | Mortgage-backed securities - Federal agencies
Fair value measurements
Investment securities available-for-sale	571,150	453,789
Recurring basis | Total | Corporate debt securities
Fair value measurements
Investment securities available-for-sale	23,268	42,369
Recurring basis | Total | Foreign government and other securities
Fair value measurements
Investment securities available-for-sale	600	700
Recurring basis | Level 1
Fair value measurements
Investment securities available-for-sale	372,074	80,285
Assets:
Mortgages held for sale	0	0
Total	372,074	80,285
Liabilities:
Total	0	0
Recurring basis | Level 1 | Interest rate swap contracts
Assets:
Accrued income and other assets	0	0
Liabilities:
Accrued expenses and other liabilities	0	0
Recurring basis | Level 1 | U.S. Treasury and Federal agencies securities
Fair value measurements
Investment securities available-for-sale	372,074	80,285
Recurring basis | Level 1 | U.S. States and political subdivisions securities
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 1 | Mortgage-backed securities - Federal agencies
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 1 | Corporate debt securities
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 1 | Foreign government and other securities
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 2
Fair value measurements
Investment securities available-for-sale	1,209,337	1,115,030
Assets:
Mortgages held for sale	34,594	12,885
Total	1,272,299	1,174,569
Liabilities:
Total	28,975	47,681
Recurring basis | Level 2 | Interest rate swap contracts
Assets:
Accrued income and other assets	28,368	46,654
Liabilities:
Accrued expenses and other liabilities	28,975	47,681
Recurring basis | Level 2 | U.S. Treasury and Federal agencies securities
Fair value measurements
Investment securities available-for-sale	521,598	539,197
Recurring basis | Level 2 | U.S. States and political subdivisions securities
Fair value measurements
Investment securities available-for-sale	92,721	78,975
Recurring basis | Level 2 | Mortgage-backed securities - Federal agencies
Fair value measurements
Investment securities available-for-sale	571,150	453,789
Recurring basis | Level 2 | Corporate debt securities
Fair value measurements
Investment securities available-for-sale	23,268	42,369
Recurring basis | Level 2 | Foreign government and other securities
Fair value measurements
Investment securities available-for-sale	600	700
Recurring basis | Level 3
Fair value measurements
Investment securities available-for-sale	1,829	2,152
Assets:
Mortgages held for sale	0	0
Total	1,829	2,152
Liabilities:
Total	0	0
Recurring basis | Level 3 | Interest rate swap contracts
Assets:
Accrued income and other assets	0	0
Liabilities:
Accrued expenses and other liabilities	0	0
Recurring basis | Level 3 | U.S. Treasury and Federal agencies securities
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 3 | U.S. States and political subdivisions securities
Fair value measurements
Investment securities available-for-sale	1,829	2,152
Recurring basis | Level 3 | Mortgage-backed securities - Federal agencies
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 3 | Corporate debt securities
Fair value measurements
Investment securities available-for-sale	0	0
Recurring basis | Level 3 | Foreign government and other securities
Fair value measurements
Investment securities available-for-sale	$ 0	$ 0

Fair Value Measurements (Deta_3

Fair Value Measurements (Details 3) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2020
Changes in the fair value of Level 3 assets measured on a recurring basis
Total gains or losses (unrealized): included in earnings	$ 0		$ 0
U.S. States and political subdivisions securities
Changes in the fair value of Level 3 assets measured on a recurring basis
Balance at the beginning of the period	1,921	$ 3,179
Total gains or losses (realized/unrealized): included in earnings	0	0
Total gains or losses (realized/unrealized): included in other comprehensive income	(7)	166
Purchases	0	0
Issuances	0	0
Sales	0	0
Settlements	0	0
Maturities	(85)	(80)
Transfers into Level 3	0	0
Transfers out of Level 3	0	0
Balance at the end of the period	$ 1,829	$ 3,265	$ 3,265

Fair Value Measurements (Deta_4

Fair Value Measurements (Details 4) $ in Thousands	Sep. 30, 2021USD ($)	Dec. 31, 2020USD ($)
Valuation Methodology
Investment securities, available-for-sale	$ 1,583,240	$ 1,197,467
Level 3
Valuation Methodology
Investment securities, available-for-sale	1,829	2,152
Recurring | Level 3
Valuation Methodology
Investment securities, available-for-sale	1,829	2,152
Recurring | Level 3 | Discounted cash flows | Direct placement municipal securities
Valuation Methodology
Investment securities, available-for-sale	$ 1,829	$ 2,152
Discount for lack of marketability | Non-recurring | Level 3 | Trade publications | Aircraft
Unobservable Inputs
Discount rate (as a percent)	0.10
Discount for lack of marketability | Non-recurring | Level 3 | Auction values | Autos
Unobservable Inputs
Discount rate (as a percent)	0.10
Discount for lack of marketability | Non-recurring | Level 3 | Trade publications and auction values | Medium and heavy duty trucks
Unobservable Inputs
Discount rate (as a percent)	0.15
Discount for lack of marketability | Non-recurring | Level 3 | Trade publications and auction values | Construction equipment
Unobservable Inputs
Discount rate (as a percent)	0.20
Discount for lack of marketability | Non-recurring | Level 3 | Appraisals | Real estate
Unobservable Inputs
Discount rate (as a percent)	0.20
Credit spread assumption | Recurring | Level 3 | Discounted cash flows | Direct placement municipal securities | Minimum
Unobservable Inputs
Debt securities available-for-sale unobservable inputs (as a percent)	0.0161	0.0004
Credit spread assumption | Recurring | Level 3 | Discounted cash flows | Direct placement municipal securities | Maximum
Unobservable Inputs
Debt securities available-for-sale unobservable inputs (as a percent)	0.0279	0.0230
Credit spread assumption | Recurring | Level 3 | Discounted cash flows | Direct placement municipal securities | Weighted Average
Unobservable Inputs
Debt securities available-for-sale unobservable inputs (as a percent)	0.0211	0.0155
Receivables | Discount for lack of marketability | Non-recurring | Level 3 | Commercial loans
Unobservable Inputs
Discount rate (as a percent)	0.20
Inventory | Discount for lack of marketability | Non-recurring | Level 3 | Minimum | Commercial loans
Unobservable Inputs
Discount rate (as a percent)	0.40
Inventory | Discount for lack of marketability | Non-recurring | Level 3 | Maximum | Commercial loans
Unobservable Inputs
Discount rate (as a percent)	0.75

Fair Value Measurements (Deta_5

Fair Value Measurements (Details 5) - Non-recurring - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Impaired loans
Fair value measurements
Impairment charges	$ 100
Mortgage servicing rights
Fair value measurements
Impairment recoveries	(220)
Repossessions
Fair value measurements
Impairment charges	0
Other real estate
Fair value measurements
Impairment charges	0
Total
Fair value measurements
Impaired loans - collateral based	1,332	$ 11,991
Assets measured at fair value	6,541	18,130
Total | Mortgage servicing rights
Fair value measurements
Accrued income and other assets	4,519	3,804
Total | Repossessions
Fair value measurements
Accrued income and other assets	690	1,976
Total | Other real estate
Fair value measurements
Accrued income and other assets	0	359
Level 3
Fair value measurements
Impaired loans - collateral based	1,332	11,991
Assets measured at fair value	6,541	18,130
Level 3 | Mortgage servicing rights
Fair value measurements
Accrued income and other assets	4,519	3,804
Level 3 | Repossessions
Fair value measurements
Accrued income and other assets	690	1,976
Level 3 | Other real estate
Fair value measurements
Accrued income and other assets	$ 0	$ 359

Fair Value Measurements (Deta_6

Fair Value Measurements (Details 6) - Non-recurring $ in Thousands	Sep. 30, 2021USD ($)	Dec. 31, 2020USD ($)
Level 3
Valuation Methodology
Assets measured at fair value	$ 6,541	$ 18,130
Carrying Value | Level 3 | Collateral based measurements | Impaired loans
Valuation Methodology
Assets measured at fair value	1,332	11,991
Carrying Value | Level 3 | Discounted cash flows | Mortgage servicing rights
Valuation Methodology
Assets measured at fair value	4,519	3,804
Carrying Value | Level 3 | Appraisals trade publications and auction values | Repossessions
Valuation Methodology
Assets measured at fair value	690	1,976
Carrying Value | Level 3 | Appraisals | Other real estate
Valuation Methodology
Assets measured at fair value	0	359
Fair Value
Valuation Methodology
Assets measured at fair value	6,541	18,130
Fair Value | Level 3 | Collateral based measurements | Impaired loans
Valuation Methodology
Assets measured at fair value	1,332	11,991
Fair Value | Level 3 | Discounted cash flows | Mortgage servicing rights
Valuation Methodology
Assets measured at fair value	4,999	4,038
Fair Value | Level 3 | Appraisals trade publications and auction values | Repossessions
Valuation Methodology
Assets measured at fair value	725	2,144
Fair Value | Level 3 | Appraisals | Other real estate
Valuation Methodology
Assets measured at fair value	$ 0	$ 388
Discount for lack of marketability and current conditions | Level 3 | Collateral based measurements | Impaired loans | Minimum
Unobservable Inputs
Impaired loans unobservable inputs (as a percent)	0.20	0
Discount for lack of marketability and current conditions | Level 3 | Collateral based measurements | Impaired loans | Maximum
Unobservable Inputs
Impaired loans unobservable inputs (as a percent)	0.90	1
Discount for lack of marketability and current conditions | Level 3 | Collateral based measurements | Impaired loans | Weighted Average
Unobservable Inputs
Impaired loans unobservable inputs (as a percent)	0.307	0.437
Constant prepayment rate (CPR) | Level 3 | Discounted cash flows | Mortgage servicing rights | Minimum
Unobservable Inputs
Mortgage servicing rights unobservable inputs (as a percent)	0.127	0.162
Constant prepayment rate (CPR) | Level 3 | Discounted cash flows | Mortgage servicing rights | Maximum
Unobservable Inputs
Mortgage servicing rights unobservable inputs (as a percent)	0.202	0.305
Constant prepayment rate (CPR) | Level 3 | Discounted cash flows | Mortgage servicing rights | Weighted Average
Unobservable Inputs
Mortgage servicing rights unobservable inputs (as a percent)	0.177	0.228
Discount rate | Level 3 | Discounted cash flows | Mortgage servicing rights | Minimum
Unobservable Inputs
Mortgage servicing rights unobservable inputs (as a percent)	0.086	0.083
Discount rate | Level 3 | Discounted cash flows | Mortgage servicing rights | Maximum
Unobservable Inputs
Mortgage servicing rights unobservable inputs (as a percent)	0.115	0.111
Discount rate | Level 3 | Discounted cash flows | Mortgage servicing rights | Weighted Average
Unobservable Inputs
Mortgage servicing rights unobservable inputs (as a percent)	0.088	0.085
Discount for lack of marketability | Level 3 | Appraisals trade publications and auction values | Repossessions | Minimum
Unobservable Inputs
Repossessions unobservable inputs (as a percent)	0.03	0
Discount for lack of marketability | Level 3 | Appraisals trade publications and auction values | Repossessions | Maximum
Unobservable Inputs
Repossessions unobservable inputs (as a percent)	0.11	0.16
Discount for lack of marketability | Level 3 | Appraisals trade publications and auction values | Repossessions | Weighted Average
Unobservable Inputs
Repossessions unobservable inputs (as a percent)	0.05	0.08
Discount for lack of marketability | Level 3 | Appraisals | Other real estate | Minimum
Unobservable Inputs
Other real estate unobservable inputs (as a percent)	0	0.06
Discount for lack of marketability | Level 3 | Appraisals | Other real estate | Maximum
Unobservable Inputs
Other real estate unobservable inputs (as a percent)	0	0.13
Discount for lack of marketability | Level 3 | Appraisals | Other real estate | Weighted Average
Unobservable Inputs
Other real estate unobservable inputs (as a percent)	0	0.07

Fair Value Measurements (Deta_7

Fair Value Measurements (Details 7) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Assets:
Cash and due from banks	$ 77,740	$ 74,186
Federal funds sold and interest bearing deposits with other banks	559,542	168,861
Investment securities available-for-sale	1,583,240	1,197,467
Other investments	27,189	27,429
Mortgages held for sale	34,594	12,885
Loans and leases, net of allowance for loan and lease losses	5,225,042	5,348,647
Liabilities:
Long-term debt and mandatorily redeemable securities	81,301	81,864
Subordinated notes	58,764	58,764
Carrying or Contract Value
Assets:
Cash and due from banks	77,740	74,186
Federal funds sold and interest bearing deposits with other banks	559,542	168,861
Investment securities available-for-sale	1,583,240	1,197,467
Other investments	27,189	27,429
Mortgages held for sale	34,594	12,885
Loans and leases, net of allowance for loan and lease losses	5,225,042	5,348,647
Mortgage servicing rights	4,519	3,804
Accrued interest receivable	18,556	20,242
Interest rate swaps	28,368	46,654
Liabilities:
Deposits	6,522,505	5,946,028
Short-term borrowings	215,665	150,641
Long-term debt and mandatorily redeemable securities	81,301	81,864
Subordinated notes	58,764	58,764
Accrued interest payable	2,424	3,996
Interest rate swaps	28,975	47,681
Off-balance-sheet instruments	0	0
Fair Value
Assets:
Cash and due from banks	77,740	74,186
Federal funds sold and interest bearing deposits with other banks	559,542	168,861
Investment securities available-for-sale	1,583,240	1,197,467
Other investments	27,189	27,429
Mortgages held for sale	34,594	12,885
Loans and leases, net of allowance for loan and lease losses	5,290,270	5,417,396
Mortgage servicing rights	4,999	4,038
Accrued interest receivable	18,556	20,242
Interest rate swaps	28,368	46,654
Liabilities:
Deposits	6,526,220	5,955,545
Short-term borrowings	215,665	150,641
Long-term debt and mandatorily redeemable securities	81,753	82,965
Subordinated notes	58,537	58,560
Accrued interest payable	2,424	3,996
Interest rate swaps	28,975	47,681
Off-balance-sheet instruments	385	321
Level 1
Assets:
Cash and due from banks	77,740	74,186
Federal funds sold and interest bearing deposits with other banks	559,542	168,861
Investment securities available-for-sale	372,074	80,285
Other investments	27,189	27,429
Mortgages held for sale	0	0
Loans and leases, net of allowance for loan and lease losses	0	0
Mortgage servicing rights	0	0
Accrued interest receivable	0	0
Interest rate swaps	0	0
Liabilities:
Deposits	5,584,989	4,778,671
Short-term borrowings	208,398	143,730
Long-term debt and mandatorily redeemable securities	0	0
Subordinated notes	0	0
Accrued interest payable	0	0
Interest rate swaps	0	0
Off-balance-sheet instruments	0	0
Level 2
Assets:
Cash and due from banks	0	0
Federal funds sold and interest bearing deposits with other banks	0	0
Investment securities available-for-sale	1,209,337	1,115,030
Other investments	0	0
Mortgages held for sale	34,594	12,885
Loans and leases, net of allowance for loan and lease losses	0	0
Mortgage servicing rights	0	0
Accrued interest receivable	18,556	20,242
Interest rate swaps	28,368	46,654
Liabilities:
Deposits	941,231	1,176,874
Short-term borrowings	7,267	6,911
Long-term debt and mandatorily redeemable securities	81,753	82,965
Subordinated notes	58,537	58,560
Accrued interest payable	2,424	3,996
Interest rate swaps	28,975	47,681
Off-balance-sheet instruments	385	321
Level 3
Assets:
Cash and due from banks	0	0
Federal funds sold and interest bearing deposits with other banks	0	0
Investment securities available-for-sale	1,829	2,152
Other investments	0	0
Mortgages held for sale	0	0
Loans and leases, net of allowance for loan and lease losses	5,290,270	5,417,396
Mortgage servicing rights	4,999	4,038
Accrued interest receivable	0	0
Interest rate swaps	0	0
Liabilities:
Deposits	0	0
Short-term borrowings	0	0
Long-term debt and mandatorily redeemable securities	0	0
Subordinated notes	0	0
Accrued interest payable	0	0
Interest rate swaps	0	0
Off-balance-sheet instruments	$ 0	$ 0