Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 17, 2015 | Jun. 30, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | CVBF | ||
Entity Registrant Name | CVB FINANCIAL CORP | ||
Entity Central Index Key | 354647 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 106,031,416 | ||
Entity Public Float | $1,567,800,268 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets | ||
Cash and due from banks | $95,030 | $88,776 |
Interest-earning balances due from Federal Reserve | 10,738 | 5,917 |
Total cash and cash equivalents | 105,768 | 94,693 |
Interest-earning balances due from depository institutions | 27,118 | 70,000 |
Investment securities available-for-sale, at fair value (with amortized cost of $3,083,582 at December 31, 2014, and $2,679,727 at December 31, 2013) | 3,137,158 | 2,663,642 |
Investment securities held-to-maturity | 1,528 | 1,777 |
Investment in stock of Federal Home Loan Bank (FHLB) | 25,338 | 32,331 |
Loans held-for-sale | 0 | 3,667 |
Loans and lease finance receivables | 3,817,067 | 3,546,231 |
Allowance for loan losses | -59,825 | -75,235 |
Net loans and lease finance receivables | 3,757,242 | 3,470,996 |
Premises and equipment, net | 33,591 | 32,831 |
Bank owned life insurance | 126,927 | 123,168 |
Accrued interest receivable | 23,194 | 22,051 |
Intangibles | 3,214 | 2,261 |
Goodwill | 74,244 | 55,097 |
FDIC loss sharing asset | 299 | 4,764 |
Other real estate owned | 5,637 | 6,979 |
Income taxes | 31,461 | 59,786 |
Other assets | 25,201 | 20,924 |
Total assets | 7,377,920 | 6,664,967 |
Deposits: | ||
Noninterest-bearing | 2,866,365 | 2,562,980 |
Interest-bearing | 2,738,293 | 2,327,651 |
Total deposits | 5,604,658 | 4,890,631 |
Customer repurchase agreements | 563,627 | 643,251 |
FHLB advances | 199,479 | 199,206 |
Other borrowings | 46,000 | 69,000 |
Accrued interest payable | 1,161 | 1,111 |
Deferred compensation | 10,291 | 9,449 |
Junior subordinated debentures | 25,774 | 25,774 |
Payable for securities purchased | 0 | 3,533 |
Other liabilities | 48,821 | 51,125 |
TOTAL LIABILITIES | 6,499,811 | 5,893,080 |
COMMITMENTS AND CONTINGENCIES | ||
Stockholders' Equity: | ||
Common stock, authorized, 225,000,000 shares without par; issued and outstanding 105,893,216 at December 31, 2014, and 105,370,170 at December 31, 2013. | 495,220 | 491,068 |
Retained earnings | 351,814 | 290,149 |
Accumulated other comprehensive income, net of tax | 31,075 | -9,330 |
Total stockholders' equity | 878,109 | 771,887 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $7,377,920 | $6,664,967 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Amortized cost | $3,083,582 | $2,679,727 |
Common stock, par value | $0 | $0 |
Common stock, authorized | 225,000,000 | 225,000,000 |
Common stock, shares issued | 105,893,216 | 105,370,170 |
Common stock, shares outstanding | 105,893,216 | 105,370,170 |
Consolidated_Statements_of_Ear
Consolidated Statements of Earnings and Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Interest income: | |||
Loans and leases, including fees | $181,619 | $179,631 | $205,753 |
Investment securities: | |||
Taxable | 47,465 | 28,374 | 32,025 |
Tax-advantaged | 20,913 | 22,025 | 22,718 |
Total investment income | 68,378 | 50,399 | 54,743 |
Dividends from FHLB stock | 2,130 | 2,033 | 671 |
Federal funds sold | 427 | 221 | 616 |
Interest-earning deposits with other institutions | 349 | 489 | 439 |
Total interest income | 252,903 | 232,773 | 262,222 |
Interest expense: | |||
Deposits | 4,977 | 4,887 | 5,911 |
Borrowings | 10,991 | 10,999 | 16,662 |
Junior subordinated debentures | 421 | 621 | 2,699 |
Total interest expense | 16,389 | 16,507 | 25,272 |
Net interest income before provision for loan losses | 236,514 | 216,266 | 236,950 |
(Recapture of) provision for loan losses | -16,100 | -16,750 | 0 |
Net interest income after provision for loan losses | 252,614 | 233,016 | 236,950 |
Noninterest income: | |||
Service charges on deposit accounts | 15,778 | 15,923 | 16,106 |
Trust and investment services | 8,118 | 8,071 | 8,169 |
Bankcard services | 3,386 | 3,481 | 3,650 |
BOLI income | 2,428 | 2,511 | 2,973 |
Gain on sale of loans held-for-sale | 6,001 | 0 | 0 |
Gain on sale of investment securities, net | 0 | 2,094 | 0 |
Decrease in FDIC loss sharing asset, net | -3,591 | -12,860 | -21,916 |
Gain on OREO, net | 1,020 | 3,131 | 1,544 |
Other | 3,272 | 2,936 | 5,377 |
Total noninterest income | 36,412 | 25,287 | 15,903 |
Noninterest expense: | |||
Salaries and employee benefits | 77,118 | 71,015 | 68,496 |
Occupancy and equipment | 15,264 | 14,504 | 15,473 |
Professional services | 6,018 | 5,709 | 7,170 |
Software licenses and maintenance | 4,464 | 4,671 | 4,279 |
Promotion | 5,195 | 4,681 | 4,869 |
Provision for unfunded loan commitments | -1,250 | 500 | -1,000 |
Amortization of intangible assets | 1,137 | 1,127 | 2,159 |
Debt termination expense | 0 | 0 | 20,379 |
OREO expense | 307 | 856 | 2,146 |
Insurance reimbursements | -372 | -4,155 | -921 |
Acquisition related expenses | 1,973 | 0 | 0 |
Other | 16,375 | 15,120 | 15,110 |
Total noninterest expense | 126,229 | 114,028 | 138,160 |
Earnings before income taxes | 162,797 | 144,275 | 114,693 |
Income taxes | 58,776 | 48,667 | 37,413 |
Net earnings | 104,021 | 95,608 | 77,280 |
Other comprehensive (loss) income: | |||
Unrealized (loss) gain on securities arising during the period | 69,661 | -88,562 | 3,074 |
Less: Reclassification adjustment for net gain on securities included in net income | 0 | -2,094 | 0 |
Other comprehensive (loss) income, before tax | 69,661 | -90,656 | 3,074 |
Less: income tax benefit (expense) related to items of other comprehensive income | -29,256 | 38,075 | -1,292 |
Net change, After-Tax | 40,405 | -52,581 | 1,782 |
Comprehensive income | $144,426 | $43,027 | $79,062 |
Basic earnings per common share | $0.98 | $0.91 | $0.74 |
Diluted earnings per common share | $0.98 | $0.91 | $0.74 |
Cash dividends declared per common share | $0.40 | $0.39 | $0.34 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income/(Loss) [Member] |
In Thousands | ||||
Beginning balance at Dec. 31, 2011 | $714,814 | $479,973 | $193,372 | $41,469 |
Beginning balance, shares at Dec. 31, 2011 | 104,482 | |||
Repurchase of common stock | -54 | -54 | ||
Repurchase of common stock, shares | -5 | |||
Exercise of stock options | 2,557 | 2,557 | ||
Exercise of stock options, shares | 292 | |||
Tax benefit from exercise of stock options | 194 | 194 | ||
Shares issued pursuant to stock-based compensation plan | 2,039 | 2,039 | ||
Shares issued pursuant to stock-based compensation plan, shares | 121 | |||
Cash dividends declared | -35,642 | -35,642 | ||
Net earnings | 77,280 | 77,280 | ||
Other comprehensive income (loss), net of tax | 1,782 | 1,782 | ||
Ending balance at Dec. 31, 2012 | 762,970 | 484,709 | 235,010 | 43,251 |
Ending balance, shares at Dec. 31, 2012 | 104,890 | |||
Repurchase of common stock | -559 | -559 | ||
Repurchase of common stock, shares | -42 | |||
Exercise of stock options | 4,517 | 4,517 | ||
Exercise of stock options, shares | 428 | |||
Tax benefit from exercise of stock options | 475 | 475 | ||
Shares issued pursuant to stock-based compensation plan | 1,926 | 1,926 | ||
Shares issued pursuant to stock-based compensation plan, shares | 94 | |||
Cash dividends declared | -40,469 | -40,469 | ||
Net earnings | 95,608 | 95,608 | ||
Other comprehensive income (loss), net of tax | -52,581 | -52,581 | ||
Ending balance at Dec. 31, 2013 | 771,887 | 491,068 | 290,149 | -9,330 |
Ending balance, shares at Dec. 31, 2013 | 105,370 | |||
Repurchase of common stock | -5,474 | -5,474 | ||
Repurchase of common stock, shares | -384 | |||
Exercise of stock options | 5,522 | 5,522 | ||
Exercise of stock options, shares | 512 | 512 | ||
Tax benefit from exercise of stock options | 1,116 | 1,116 | ||
Shares issued pursuant to stock-based compensation plan | 2,988 | 2,988 | ||
Shares issued pursuant to stock-based compensation plan, shares | 395 | |||
Cash dividends declared | -42,356 | -42,356 | ||
Net earnings | 104,021 | 104,021 | ||
Other comprehensive income (loss), net of tax | 40,405 | 40,405 | ||
Ending balance at Dec. 31, 2014 | $878,109 | $495,220 | $351,814 | $31,075 |
Ending balance, shares at Dec. 31, 2014 | 105,893 |
Consolidated_Statements_of_Sto1
Consolidated Statements of Stockholders' Equity (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends per common share | $0.40 | $0.39 | $0.34 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Interest and dividends received | $263,878 | $244,205 | $264,482 |
Service charges and other fees received | 34,527 | 30,494 | 36,399 |
Interest paid | -16,067 | -16,616 | -27,034 |
Net cash paid to vendors and employees | -134,913 | -93,076 | -130,605 |
Income taxes paid | -58,589 | -53,200 | -7,455 |
(Payments to) proceeds from FDIC loss share agreement | -1,134 | 4 | 18,974 |
Net cash provided by operating activities | 87,702 | 111,811 | 154,761 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from redemption of FHLB stock | 10,413 | 24,320 | 16,038 |
Proceeds from maturity of interest-earning balances from depository institutions | 63,687 | 0 | 0 |
Purchases of interest-earning balances from depository institutions | -10,000 | 0 | 0 |
Proceeds from sale of investment securities | 0 | 99,155 | 0 |
Proceeds from repayment of investment securities | 349,473 | 414,881 | 559,187 |
Proceeds from maturity of investment securities | 75,916 | 80,546 | 84,345 |
Purchases of investment securities | -805,544 | -920,657 | -942,710 |
Net (increase) decrease in loan and lease finance receivables | -16,767 | -87,276 | 48,001 |
Proceeds from sale of loans | 9,668 | 0 | 0 |
Proceeds from sales of premises and equipment | 663 | 25 | 27 |
Purchase of premises and equipment | -1,893 | -2,421 | -4,271 |
Proceeds from sales of other real estate owned | 5,825 | 12,971 | 18,295 |
Cash acquired on purchase of American Security Bank, net of cash paid | 50,038 | 0 | 0 |
Net cash used in investing activities | -268,521 | -378,456 | -221,088 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Net increase in transaction deposits | 291,005 | 149,271 | 292,422 |
Net increase (decrease) in time deposits | 44,647 | -32,627 | -122,983 |
Repayment of FHLB advances | 0 | 0 | -250,000 |
Repayment of junior subordinated debentures | 0 | -41,238 | -48,043 |
Net (decrease) increase in other borrowings | 23,000 | 43,000 | 26,000 |
Net (decrease) increase in customer repurchase agreements | -79,624 | 170,007 | -36,126 |
Cash dividends on common stock | -42,298 | -29,939 | -44,552 |
Repurchase of common stock | -5,474 | -559 | -54 |
Proceeds from exercise of stock options | 5,522 | 4,517 | 2,557 |
Tax benefit related to exercise of stock options | 1,116 | 475 | 194 |
Net cash provided by (used in) financing activities | 191,894 | 262,907 | -180,585 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 11,075 | -3,738 | -246,912 |
CASH AND CASH EQUIVALENTS, beginning of period | 94,693 | 98,431 | 345,343 |
CASH AND CASH EQUIVALENTS, end of period | 105,768 | 94,693 | 98,431 |
RECONCILIATION OF NET EARNINGS TO NET CASH PROVIDED BY OPERATING ACTIVITIES | |||
Net earnings | 104,021 | 95,608 | 77,280 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Gain on sale of loans held for sale | -6,001 | 0 | 0 |
Gain on sale of investment securities | 0 | -2,094 | 0 |
Loss (gain) on sale of premises and equipment, net | 66 | -14 | 70 |
Gain on sale of other real estate owned | -957 | -3,048 | -1,393 |
Amortization of capitalized prepayment penalty on borrowings | 273 | 272 | 272 |
Increase in bank owned life insurance | -2,314 | -2,435 | -3,612 |
Net amortization of premiums and discounts on investment securities | 21,020 | 27,064 | 24,082 |
Accretion of PCI discount | -5,825 | -12,856 | -22,607 |
Provision for loan losses | -16,100 | -16,750 | 0 |
Provision for unfunded loan commitments | -1,250 | 500 | -1,000 |
Valuation adjustment on other real estate owned | 65 | 489 | 1,047 |
Change in FDIC loss share asset | 3,591 | 12,860 | 21,916 |
(Payments to) proceeds from FDIC loss share agreement | -1,134 | 4 | 18,974 |
Stock-based compensation | 2,988 | 1,926 | 2,039 |
Depreciation and amortization, net | 559 | 2,449 | 7,532 |
Change in accrued interest receivable | -419 | 304 | 1,157 |
Change in accrued interest payable | 5 | -382 | -2,033 |
Change in other assets and liabilities | -10,886 | 7,914 | 31,037 |
Total adjustments | -16,319 | 16,203 | 77,481 |
Net cash provided by operating activities | 87,702 | 111,811 | 154,761 |
Net cash used in investing activities | -268,521 | -378,456 | -221,088 |
Net cash provided by financing activities | 191,894 | 262,907 | -180,585 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 11,075 | -3,738 | -246,912 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING ACTIVITIES | |||
Securities purchased and not settled | 0 | 3,533 | 0 |
Transfer of loans to other real estate owned | 1,963 | 1,492 | 10,246 |
Transfer of loans held for investment to loans held-for-sale | $0 | $3,667 | $0 |
Business
Business | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Business | 1. BUSINESS |
The consolidated financial statements include the accounts of CVB Financial Corp. (referred to herein on an unconsolidated basis as “CVB” and on a consolidated basis as “we,” “our” or the “Company”) and its wholly owned subsidiaries: Citizens Business Bank (the “Bank” or “CBB”) after elimination of all intercompany transactions and balances. The Company has one inactive subsidiary, Chino Valley Bancorp. The Company is also the common stockholder of CVB Statutory Trust III. CVB Statutory Trust III was created in January 2006 to issue trust preferred securities in order to raise capital for the Company. In accordance with ASC 810 Consolidation (previously Financial Accounting Standards Board (“FASB”) Interpretation No. 46R “Consolidation of Variable Interest Entities”), this trust does not meet the criteria for consolidation. | |
The Company’s primary operations are related to traditional banking activities, including the acceptance of deposits and the lending and investing of money through the operations of the Bank. The Bank also provides automobile and equipment leasing to customers through its Citizens Financial Services Group and trust and investment-related services to customers through its CitizensTrust Division. The Bank’s customers consist primarily of small to mid-sized businesses and individuals located in San Bernardino County, Riverside County, Los Angeles County, Orange County, San Diego County, Madera County, Fresno County, Tulare County and Kern County, California. The Bank operates 40 Business Financial Centers, six Commercial Banking Centers, and three trust office locations. The Company is headquartered in the city of Ontario, California. | |
On May 15, 2014, we acquired American Security Bank (“ASB”), a Newport Beach, CA headquartered regional bank with approximately $433 million in total assets and five branch locations throughout Orange County, San Bernardino County, and Los Angeles County. Our consolidated financial statements for 2014 include ASB operations, post-merger. In the latter half of the third quarter of 2014, we converted the ASB core operating system into the CBB application infrastructure, consolidated branch locations, and closed two electronic banking vestibules. See Note 4 — Business Combinations, included herein. |
Basis_of_Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Basis of Presentation | 2. BASIS OF PRESENTATION |
The accompanying consolidated financial statements and notes thereto have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for Form 10-K and conform to practices within the banking industry and include all of the information and disclosures required by accounting principles generally accepted in the United States of America (“GAAP”) for financial reporting. | |
Reclassification — Certain amounts in the prior periods’ financial statements and related footnote disclosures have been reclassified to conform to the current presentation with no impact on previously reported net income or stockholders’ equity. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Accounting Policies [Abstract] | ||||
Summary of Significant Accounting Policies | 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||
Segments — The Company’s operating business units have been divided into two main segments: (i) Business Financial and Commercial Banking Centers (“Centers”) and (ii) Treasury. The Business Financial and Commercial Banking Centers lines of business generally consist of loans, deposits, and fee generating products and services that the Bank offers to its clients and prospects. The other segment is Treasury, which manages the investment portfolio of the Company. The Company’s remaining centralized functions and eliminations of inter-segment amounts have been aggregated and included in “Other.” | ||||
The internal reporting of the Company considers all business units. Funds are allocated to each business unit based on its need to fund assets (use of funds) or its need to invest funds (source of funds). Net income is determined based on the actual net income of the business unit plus the allocated income or expense based on the sources and uses of funds for each business unit. Noninterest income and noninterest expense are those items directly attributable to a business unit. | ||||
Cash and cash equivalents — Cash on hand, cash items in the process of collection, and amounts due from correspondent banks, the Federal Reserve Bank and interest-bearing balances due from depository institutions, with initial terms of ninety days or less, are included in Cash and cash equivalents. | ||||
Investment Securities — The Company classifies as held-to-maturity those debt securities that the Company has the positive intent and ability to hold to maturity. Securities classified as trading are those securities that are bought and held principally for the purpose of selling them in the near term. All other debt and equity securities are classified as available-for-sale. Securities held-to-maturity are accounted for at cost and adjusted for amortization of premiums and accretion of discounts. Trading securities are accounted for at fair value with the unrealized gains and losses being included in current earnings. Available-for-sale securities are accounted for at fair value, with the net unrealized gains and losses, net of income tax effects, presented as a separate component of stockholders’ equity. Realized gains and losses on sales of securities are recognized in earnings at the time of sale and are determined on a specific-identification basis. Purchase premiums and discounts are recognized in interest income using the effective-yield method over the terms of the securities. For mortgage-backed securities (“MBS”), the amortization or accretion is based on estimated average lives of the securities. The lives of these securities can fluctuate based on the amount of prepayments received on the underlying collateral of the securities. The Company’s investment in the Federal Home Loan Bank of San Francisco (“FHLB”) stock is carried at cost. | ||||
At each reporting date, securities are assessed to determine whether there is an other-than-temporary impairment (“OTTI”). Other-than-temporary impairment on investment securities is recognized in earnings when there are credit losses on a debt security for which management does not intend to sell and for which it is more-likely-than-not that the Company will not have to sell prior to recovery of the noncredit impairment. In those situations, the portion of the total impairment that is attributable to the credit loss would be recognized in earnings, and the remaining difference between the debt security’s amortized cost and its fair value would be included in other comprehensive income. | ||||
Loans Held-for-Sale — Loans held-for-sale include loans transferred from our held-for-investment portfolio when a decision is made to sell a loan(s) and are reported at the lower of cost or fair value and if a reduction in value is required at time of the transfer, a charge-off is recorded against the allowance for loan losses (“ALLL”). Normally a formal marketing strategy or plan for sale is developed at the time the decision to sell the loan(s) is made. Any subsequent decline in value or any subsequent gain on sale of the loan(s) is recorded to current earnings and reported as part of other noninterest income. Gains or losses on the sale of loans that are held-for-sale are recognized at the time of sale and determined by the difference between net sale proceeds and the net book value of the loans. We do not currently retain servicing on any loans sold. | ||||
Loans and Lease Finance Receivables — Loans and lease finance receivables that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, less deferred net loan origination fees and purchase price discounts. Purchase Credit Impaired (“PCI”) loans are those loans that when we acquired them were deemed to be impaired. PCI loans are included in total loans and lease finance receivables as of December 31, 2014. Refer to Note 7, “Loans and Lease Finance Receivables” for total loans, excluding PCI loans, by type and to Note 6, — Acquired SJB Assets and FDIC Loss Sharing Asset for PCI loans by type. | ||||
In the ordinary course of business, the Company enters into commitments to extend credit to its customers. To the extent that such commitments are unfunded, the related unfunded amounts are not reflected in the accompanying consolidated financial statements. | ||||
The Company receives collateral to support loans, lease finance receivables, and commitments to extend credit for which collateral is deemed necessary. The most significant categories of collateral are real estate, principally commercial and industrial income-producing properties, Small Business Administration (“SBA”) loans, real estate mortgages, assets utilized in dairy & livestock and agribusiness, and various personal property assets utilized in commercial and industrial business governed by the Uniform Commercial Code. | ||||
Nonrefundable fees and direct costs associated with the origination or purchase of loans are deferred and netted against outstanding loan balances. The deferred net loan fees and costs and purchase price discounts are recognized in interest income over the loan term using the effective-yield method. | ||||
Interest on loans and lease finance receivables, excluding PCI loans, is credited to income based on the principal amounts of such loans or receivables outstanding. Loans are considered delinquent when principal or interest payments are past due 30 days or more and generally remain on accrual status between 30 and 89 days past due. Interest income is not recognized on loans and lease finance receivables when collection of interest is deemed by management to be doubtful. Loans, excluding PCI loans, on which the accrual of interest has been discontinued are designated as nonaccrual loans. In general, the accrual of interest on loans, excluding PCI loans, is discontinued when the loan becomes 90 days past due, or when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Factors considered in determining that the full collection of principal and interest is no longer probable include cash flow and liquidity of the borrower or property, the financial position of the guarantors and their willingness to support the loan as well as other factors, and this determination involves significant judgment. When an asset is placed on nonaccrual status, previously accrued but unpaid interest is reversed against income. Subsequent collections of cash are applied as reductions to the principal balance unless the loan is returned to accrual status. Interest is not recognized using a cash-basis method. Nonaccrual loans may be restored to accrual status when principal and interest become current and when the borrower is able to demonstrate payment performance for a sustained period, typically for six months. A nonaccrual loan may return to accrual status sooner based on other significant events or mitigating circumstances. This policy is consistently applied to all classes of loans and lease finance receivables, excluding PCI loans. | ||||
Troubled Debt Restructurings — Loans are reported as a Troubled Debt Restructuring (“TDR”) if the Company for economic or legal reasons related to the debtor’s financial difficulties grants a concession to the debtor that it would not otherwise consider. Types of modifications that may be considered concessions, which in turn result in a TDR include, but are not limited to, (i) a reduction of the stated interest rate for the remaining original life of the debt, (ii) an extension of the maturity date or dates at a stated interest rate lower than the current market rate for new debt with similar risk, (iii) a reduction of the face amount or maturity amount of the debt as stated in the instrument or other agreement, or (iv) a reduction of interest. As a result of these concessions, restructured loans are considered impaired, and the measurement of impairment is based on the Company’s policy for impaired loans. In addition, the Company may provide a concession to the debtor where it offers collateral and the value of such collateral is significant in proportion to the nature of the concession requested, and it substantially reduces the Company’s risk of loss. In such cases, these modifications are not considered a TDR as, in substance, no concession was made as a result of the significant additional collateral obtained. | ||||
When determining whether or not a loan modification is a TDR under ASC 310-40, the Company evaluates loan modification requests from borrowers experiencing financial difficulties on a case-by-case basis. Any such modifications granted are unique to the borrower’s circumstances. Because of the Company’s focus on the commercial lending sector, each business customer has unique attributes, which in turn means that modifications of loans to those customers are not easily categorized by type, key features, or other terms, but are evaluated individually based on all relevant facts and circumstances pertaining to the modification request and the borrower’s/guarantor’s financial condition at the time of the request. The evaluation of whether or not a borrower is experiencing financial difficulties will include, among other relevant factors considered by the Company, a review of significant factors such as (i) whether the borrower is in default on any of its debt, (ii) whether the borrower is experiencing payment delinquency, (iii) whether the global cash flows of the borrower and the owner guarantor(s) of the borrower have diminished below what is necessary to service existing debt obligations, (iv) whether the borrowers’ forecasted cash flows will be insufficient to service the debt in future periods or in accordance with the contractual terms of the existing agreement through maturity, (v) whether the borrower is unable to refinance the subject debt from other financing sources with similar terms, and (vi) whether the borrower is in jeopardy as a going-concern and/or considering bankruptcy. In any case, the debtor is presumed to be experiencing financial difficulties if the Company determines it is probable the debtor will default on the original loan if the modification is not granted. | ||||
The types of loans subject to modification vary greatly, but during the subject period are concentrated in commercial and industrial loans, dairy and agricultural loans, and term loans to commercial real estate investors. Some examples of key features include payment deferrals and delays, interest rate reductions, and extensions or renewals where the contract rate may or may not be below the market rate of interest for debt with similar characteristics as those of the modified debt. The typical length of the modified terms ranges from three (3) to twelve (12) months; however, all actual modified terms will depend on the facts, circumstances and attributes of the specific borrower requesting a modification. In general, after a careful evaluation of all relevant facts and circumstances taken together, including the nature of any concession, certain modification requests will result in troubled debt restructurings while certain other modifications will not, pursuant to the criteria and judgments as discussed throughout this report. In certain cases, modification requests for delays or deferrals of principal were evaluated and determined to be exempt from TDR reporting because they constituted insignificant delays under ASC 310-40-15. | ||||
In situations where the Company has determined that the borrower is experiencing financial difficulties and is evaluating whether a concession is insignificant, and therefore does not result in a troubled debt restructuring, such analysis is based on an evaluation of both the amount and the timing of the restructured payments, including the following factors: | ||||
1 | Whether the amount of the restructured payments subject to delay is insignificant relative to the unpaid principal balance or collateral value of the debt and will result in an insignificant shortfall in the contractual amount due; and | |||
2 | The delay is insignificant relative to any of the following: | |||
• | The frequency of payments due; | |||
• | The debt’s original contractual maturity; or | |||
• | The debt’s original expected duration. | |||
Most modified loans not classified and accounted for as troubled debt restructurings were performing and paying as agreed under their original terms in the six-month period immediately preceding a request for modification. Subsequently, these modified loans have continued to perform under the modified terms and deferrals that amounted to insignificant delays, which in turn is supported by the facts and circumstances of each individual customer and loan as described above. Payment performance continues to be monitored once modifications are made. The Company’s favorable experience regarding “re-defaults” under modified terms, or upon return of the loan to its original terms, indicates that such relief may improve ultimate collection and reduces the Company’s risk of loss. | ||||
Impaired Loans — A loan is generally considered impaired when based on current events and information it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. A loan, including a restructured loan, for which there is an insignificant delay relative to the frequency of payments due, and/or the original contractual maturity, is not considered an impaired loan. Generally, impaired loans include loans on nonaccrual status and TDRs. | ||||
The Company’s policy is to record a specific valuation allowance, which is included in the allowance for loan losses, or to charge off that portion of an impaired loan that represents the impairment or shortfall amount as determined utilizing one of the three methods described in ASC 310-10-35-22. Impairment on non-collateral dependent restructured loans is measured by comparing the present value of expected future cash flows on the restructured loans discounted at the interest rate of the original loan agreement to the loan’s carrying value. The impairment amount, if any, is generally charged off and recorded against the allowance for loan losses at the time impairment is measurable and a probable loss is determined. As a result, most of the TDRs have no specific allowance allocated because, consistent with the Company’s stated practice, any impairment is typically charged off in the period in which it is identified. The Company measures impairment based on the present value of expected future cash flows discounted at the loan’s effective interest rate, except that as a practical expedient, the Company may also measure impairment based on an observable market price for the loan, or the value of the collateral, for collateral dependent loans. Impairment on collateral dependent restructured loans is measured by determining the amount by which our recorded investment in the impaired loan exceeds the fair value of the collateral less estimated selling costs. The fair value is generally determined by one or more appraisals of the collateral, performed by a Company-approved third-party independent appraiser. The majority of impaired loans that are collateral dependent are charged off down to their estimated fair value of the collateral (less selling costs) at each reporting date based on current appraised value. | ||||
Appraisals of the collateral for impaired collateral dependent loans are typically ordered at the time the loan is identified as showing signs of inherent weakness. These appraisals are normally updated at least annually, or more frequently, if there are concerns or indications that the value of the collateral may have changed significantly since the previous appraisal. On an exception basis, a specific valuation allowance is recorded on collateral dependent impaired loans when a current appraisal is not yet available, a recent appraisal is still under review or on single-family mortgage loans if the loans are currently under review for a loan modification. Such valuation allowances are generally based on previous appraisals adjusted for current market conditions, based on preliminary appraisal values that are still being reviewed or for single-family loans under review for modification on an appraisal or indications of comparable home sales from external sources. | ||||
Charge-offs of unsecured consumer loans are recorded when the loan reaches 120 days past due or sooner as circumstances indicate. Except for the charge-offs of unsecured consumer loans, the charge-off policy is applied consistently across all portfolio segments. Impaired single-family mortgage loans that have been modified in accordance with the various government modification programs are also measured based on the present value of the expected cash flows discounted at the loan’s pre-modification interest rate. The Company recognizes the change in present value attributable to the passage of time as interest income on such performing single-family mortgage loans and the amount of interest income recognized to date has been insignificant. | ||||
Provision and Allowance for Loan Losses — The allowance for loan losses is management’s estimate of probable losses inherent in the loan and lease receivables portfolio. The allowance is increased by the provision for losses and decreased by charge-offs when management believes the uncollectability of a loan is confirmed. Subsequent recoveries, if any, are credited to the allowance. The determination of the balance in the allowance for loan losses is based on an analysis of the loan and lease finance receivables portfolio using a systematic methodology and reflects an amount that, in management’s judgment, is appropriate to provide for probable loan losses inherent in the portfolio, after giving consideration to the character of the loan portfolio, current economic conditions, past loan loss experience, and such other factors that would deserve current recognition in estimating inherent loan losses. | ||||
There are different qualitative risks for the loans in each portfolio segment. The construction and real estate segments’ predominant risk characteristic is the collateral and the geographic location of the property collateralizing the loan as well as the operating cash flow for commercial real estate properties. The commercial and industrial segment’s predominant risk characteristics are the cash flows of the businesses we lend to, the global cash flows and liquidity of the guarantors of such losses, as well as economic and market conditions. The dairy & livestock segment’s predominant risk characteristics are milk and beef prices in the market as well as the cost of feed and cattle. The municipal lease segment’s predominant risk characteristics are the municipality’s general financial condition and tax revenues or if applicable the specific project related financial condition. The consumer, auto and other segment’s predominant risk characteristics are employment and income levels as they relate to consumers and cash flows of the businesses as they relate to equipment and vehicle leases to businesses. The Agribusiness segment’s predominant risk characteristics are the supply and demand conditions of the product, production seasonality, the scale of operations and ability to control costs, the availability and cost of water, and operator experience. | ||||
The Company’s methodology is consistently applied across all portfolio segments taking into account the applicable historical loss rates and the qualitative factors applicable to each pool of loans. A key factor in the Company’s methodology is the loan risk rating (Pass, Special Mention, Substandard, Doubtful and Loss). Loan risk ratings are updated as facts related to the loan or borrower become available. In addition, all term loans in excess of $1.0 million are subject to an annual internal credit review process where all factors underlying the loan, borrower and guarantors are subject to review which may result in changes to the loan’s risk rating. Periodically, we assess various attributes utilized in adjusting our historical loss factors to reflect our view of current economic conditions. The estimate is reviewed quarterly by the Board of Directors and management and periodically by various regulatory agencies and, as adjustments become necessary, they are reported in earnings in the periods in which they become known. | ||||
Our methodology for assessing the appropriateness of the allowance is conducted on a regular basis and considers the Bank’s overall loan portfolio. The Bank’s methodology consists of two major phases. | ||||
In the first phase, individual loans are reviewed to identify loans for impairment. Impairment is measured based on the Company’s policy for impaired loans for collateral dependent loans. If the Company determines that the fair value of the collateral is less than the recorded investment in the loan, the Company either recognizes an impairment reserve as a specific allowance, or charges off the impaired balance if it is determined that such amount represents a confirmed loss. Loans determined to be impaired are excluded from the formula allowance so as not to double count the loss exposure. | ||||
The second phase is conducted by evaluating or segmenting the remainder of the loan portfolio into groups or pools of loans with similar characteristics. In this second phase, groups or pools of homogeneous loans are reviewed to determine a portfolio formula allowance. In the case of the portfolio formula allowance, homogeneous portfolios, such as small business loans, consumer loans, agricultural loans, and real estate loans, are aggregated or pooled in determining the appropriate allowance. The risk assessment process in this case emphasizes trends in the different portfolios for delinquency, loss, and other behavioral characteristics of the subject portfolio over a relevant period. | ||||
Included in this second phase is our consideration of qualitative factors, including, all known relevant internal and external factors that may affect the collectability of a loan. This includes our estimates of the amounts necessary for concentrations, economic uncertainties, the volatility of the market value of collateral, and other relevant factors. These qualitative factors are used to adjust the historical loan loss rates for each pool of loans to determine the probable loan losses inherent in the portfolio. | ||||
Periodically, we assess various attributes utilized in adjusting our historical loss factors to reflect current economic conditions. The methodology is consistently applied across all the portfolio segments taking into account the applicable historical loss rates and the qualitative factors applicable to each pool of loans. | ||||
In the fourth quarter ended December 31, 2013, the Bank implemented a change in its methodology to calculate the Allowance for Loan and Lease Losses (“ALLL”). Previously, the Bank used an annual three-year look-back period of historical losses, segmented by loan type, with the loss factors updated annually to include the current year’s loss experience in the fourth quarter of each year. In the selection of an appropriate look-back period, management considered that its historical loss experience was low in the most recent three year period and higher in the past fourth and fifth year. The three-year average loss factor for 2011 to 2013 would have been less than the previously used 2010 to 2012 three-year average loss factor. External factors that were considered were the improving credit environment and the stabilizing economy. The impact on our methodology was to reduce the volatility of credit losses. In determining the look-back period, management considered the period used to develop the historical loss rate should be long enough to capture sufficient loss data. We determined that a rolling twenty quarters look-back period was appropriate as of December 31, 2013 because we believe it represents the best indicator of inherent losses within the loan portfolio as many of the economic factors in the early stages of the economic recovery still exist. | ||||
Purchase Credit Impaired Loans — Purchase Credit Impaired (“PCI”) loans are those loans that we acquired in the San Joaquin Bank (“SJB”) acquisition for which we were “covered” for reimbursement for a substantial portion of any future losses under the terms of the FDIC loss sharing agreement. We account for PCI loans under ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality (“acquired impaired loan accounting”) when (i) we acquire loans deemed to be impaired when there is evidence of credit deterioration since their origination and it is probable at the date of acquisition that we would be unable to collect all contractually required payments and (ii) as a general policy election for non-impaired loans that we acquire in a distressed bank acquisition. Acquired impaired loans are accounted for individually or in pools of loans based on common risk characteristics. The excess of the loan’s or pool’s scheduled contractual principal and interest payments over all cash flows expected at acquisition is the nonaccretable difference. The remaining amount, representing the excess of the loan’s cash flows expected to be collected over the fair value is the accretable yield (accreted into interest income over the remaining life of the loan or pool). Refer to Note 6 — Acquired SJB Assets and FDIC Loss Sharing Asset for PCI loans by type at December 31, 2014. | ||||
A provision for loan losses on the PCI portfolio will be recorded if there is deterioration in the expected cash flows on PCI loans as a result of deteriorated credit quality, compared to those previously. The portion of the loss on SJB loans reimbursable from the FDIC was recorded in noninterest income as a decrease in the FDIC loss sharing asset. Decreases in expected cash flows on the acquired impaired loans as of the measurement date compared to previously estimated are recognized by recording a provision for loan losses on acquired impaired loans. Loans accounted for as part of a pool are measured based on the expected cash flows of the entire pool. | ||||
FDIC Loss Sharing Asset — On October 16, 2009, the Bank acquired substantially all of the assets and assumed substantially all of the liabilities of SJB from the FDIC in an FDIC-assisted transaction. The Bank entered into a loss sharing agreement with the FDIC, whereby the FDIC covered a substantial portion of any future losses on certain acquired assets. The acquired assets subject to the loss sharing agreement are referred to collectively as “covered assets” during the term of the indemnification agreement.” Under the terms of such loss sharing agreement, the FDIC absorbs 80% of losses and shares in 80% of loss recoveries up to $144.0 million with respect to “covered” assets, after a first loss amount of $26.7 million. The FDIC will reimburse the Bank for 95% of losses and share in 95% of loss recoveries in excess of $144.0 million with respect to covered assets. The loss sharing agreement covered 5 years for commercial loans and covers 10 years for single-family residential loans from the October 16, 2009 acquisition date and the loss recovery provisions are in effect for 8 and 10 years, respectively, for commercial and single-family residential loans from the acquisition date. | ||||
The FDIC loss sharing asset was initially recorded at fair value which represents the present value of the estimated cash payments from the FDIC for future losses on covered loans. The ultimate collectability of this asset was dependent upon the performance of the underlying covered loans, the passage of time and claims paid by the FDIC. The loss estimates used in calculating the FDIC loss sharing asset were determined on the same basis as the loss estimates on the related covered loans and is the present value of the cash flows the Company expected to collect from the FDIC under the loss sharing agreement. The difference between the present value and the undiscounted cash flow the Company expected to collect from the FDIC was accreted (or amortized) into noninterest income over the life of the FDIC indemnification asset. The FDIC indemnification asset was adjusted for any changes in expected cash flows based on covered loan performance. Any increases in the cash flows of covered loans over those expected reduced the FDIC indemnification asset and any decreases in the cash flows of covered loans over those acquired decreased the FDIC indemnification asset, with the remaining balance amortized on the same basis as the discount, not to exceed its remaining contract life. These increases and decreases to the FDIC indemnification asset were recorded as adjustments to noninterest income. As the loss sharing agreement for commercial loans expired on October 16, 2014, the receivable at December 31, 2014 reflect amounts for which we expect reimbursement from the FDIC. | ||||
Other Real Estate Owned — Other real estate owned (“OREO”) represents real estate acquired through foreclosure in lieu of repayment of commercial and real estate loans and is stated at fair value, less estimated costs to sell (fair value at time of foreclosure). Loan balances in excess of fair value of the real estate acquired at the date of acquisition are charged against the allowance for loan losses. Any subsequent operating expenses or income, reduction in estimated values, and gains or losses on disposition of such properties are charged to current operations. Gain recognition upon disposition of a property is dependent on the sale having met certain criteria relating to the buyer’s initial investment in the property sold. | ||||
Premises and Equipment — Premises and equipment are stated at cost, less accumulated depreciation, which is provided for in amounts sufficient to relate the cost of depreciable assets to operations over the estimated service lives of the respective asset and are computed on a straight-line basis. The ranges of useful lives of the principal classes of assets are as follows: | ||||
Bank premises | 15 – 40 years | |||
Leasehold improvements | Shorter of estimated economic lives of 15 years or term of the lease. | |||
Computer equipment | 3 – 5 years | |||
Furniture, fixtures and equipment | 5 – 7 years | |||
Long-lived assets are reviewed periodically for impairment when events or changes in circumstances indicate that the carrying amount may not be recoverable. The existence of impairment is based on undiscounted cash flows. To the extent impairment exists, the impairment is calculated as the difference in fair value of assets and their carrying value. The impairment loss, if any, would be recorded in noninterest expense. | ||||
Goodwill and Intangible Assets — Goodwill resulting from business combinations prior to January 1, 2009, represents the excess of the purchase price over the fair value of the net assets of the businesses acquired. Goodwill resulting from business combinations after January 1, 2009, is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any non-controlling interest in the acquiree, over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized, but tested for impairment at least annually, or more frequently if events and circumstances exist that indicate that a goodwill impairment test should be performed. | ||||
Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Goodwill is the only intangible asset with an indefinite life on our balance sheets. Based on the Company’s annual impairment test, there was zero recorded impairment as of December 31, 2014. | ||||
Other intangible assets consist of core deposit intangible assets arising from business combinations and are amortized using an accelerated method over their estimated useful lives. | ||||
Fair Value of Financial Instruments — We use fair value measurements to record fair value adjustments to certain financial instruments and to determine fair value disclosures. Investment securities available-for-sale and interest-rate swaps are financial instruments recorded at fair value on a recurring basis. Additionally, from time to time, we may be required to record at fair value other financial assets on a non-recurring basis, such as impaired loans and OREO. These nonrecurring fair value adjustments typically involve application of lower-of-cost-or-market accounting or write-downs of individual assets. Further, we include in Note 20 — Fair Value Information of the consolidated financial statements information about the extent to which fair value is used to measure assets and liabilities, the valuation methodologies used and its impact to earnings. Additionally, for financial instruments not recorded at fair value we disclose the estimate of their fair value. | ||||
Bank Owned Life Insurance — The Company invests in Bank-Owned Life Insurance (“BOLI”). BOLI involves the purchasing of life insurance by the Company on a select group of employees. The Company is the owner and primary beneficiary of these policies. BOLI is recorded as an asset at the cash surrender value. Increases in the cash value of these policies, as well as insurance proceeds received, are recorded in other noninterest income and are not subject to income tax. | ||||
Income Taxes — Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Future realization of deferred tax assets ultimately depends on the existence of sufficient taxable income of the appropriate character (for example, ordinary income or capital gain) within the carryback or carryforward periods available under the tax law. Based on historical and future expected taxable earnings and available strategies, the Company considers the future realization of these deferred tax assets more likely than not. | ||||
The tax effects from an uncertain tax position are recognized in the financial statements only if, based on its merits, the position is more likely than not to be sustained on audit by the taxing authorities. Interest and penalties related to uncertain tax positions are recorded as part of other operating expense. | ||||
Earnings per Common Share — The Company calculates earnings per common share (“EPS”) using the two-class method. The two-class method requires the Company to present EPS as if all of the earnings for the period are distributed to common shareholders and any participating securities. All outstanding unvested share-based payment awards that contain rights to non-forfeitable dividends are considered participating securities. The Company grants restricted shares under the 2008 Equity Incentive Plan that qualify as participating securities. Restricted shares issued under this plan are entitled to dividends at the same rate as common stock. A reconciliation of the numerator and the denominator used in the computation of basic and diluted earnings per common share is included in Note 17 — Earnings Per Share Reconciliation of these consolidated financial statements. | ||||
Stock-Based Compensation — Consistent with the provisions of ASC 718, Stock Compensation, we recognize expense for the grant date fair value of stock options and restricted shares issued to employees, officers and non-employee directors over the their requisite service periods (generally the vesting period). The service periods may be subject to performance conditions. | ||||
At December 31, 2014, the Company has three stock-based employee compensation plans. The Company accounts for stock compensation using the “modified prospective” method. Under this method, awards that are granted, modified, or settled after December 31, 2005, are measured at fair value as of the grant date with compensation costs recognized over the vesting period on a straight-lined basis. Also under this method, unvested stock awards as of January 1, 2006 are recognized over the remaining service period with no change in historical reported earnings. | ||||
The fair value of each stock option grant is estimated as of the grant date using the Black-Scholes option-pricing model. Management assumptions used at the time of grant impact the fair value of the option calculated under the Black-Scholes option-pricing model, and ultimately, the expense that will be recognized over the life of the option. | ||||
The grant date fair value of restricted stock awards is measured at the fair value of the Company’s common stock as if the restricted share was vested and issued on the date of grant. | ||||
Additional information is included in Note 18 — Stock Option Plans and Restricted Stock Awards of the consolidated financial statements included herein. | ||||
Derivative Financial Instruments — All derivative instruments, including certain derivative instruments embedded in other contracts, are recognized on the consolidated balance sheets at fair value. For derivatives designated as fair value hedges, changes in the fair value of the derivative and the hedged item related to the hedged risk are recognized in earnings. Changes in fair value of derivatives designated and accounted for as cash flow hedges, to the extent they are effective as hedges, are recorded in “Other Comprehensive Income,” net of deferred taxes, and are subsequently reclassified to earnings when the hedged transaction affects earnings. Any hedge ineffectiveness would be recognized in the income statement line item pertaining to the hedged item. | ||||
Statement of Cash Flows — Cash and cash equivalents as reported in the statements of cash flows include cash and due from banks, interest-bearing balances due from depository institutions and federal funds sold with original maturities of three months or less. Cash flows from loans and deposits are reported net. | ||||
CitizensTrust — This division provides trust, investment and brokerage related services, as well as financial, estate and business succession planning services. CitizensTrust services its clients through three offices in Southern California: Pasadena, Ontario and Newport Beach. CitizensTrust has approximately $2.41 billion in assets under administration, including $1.87 billion in assets under management. The amount of these funds and the related liability have not been recorded in the accompanying consolidated balance sheets because they are not assets or liabilities of the Bank or Company, with the exception of any funds held on deposit with the Bank. | ||||
Use of Estimates in the Preparation of Financial Statements — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. A material estimate that is particularly susceptible to significant change in the near term relates to the determination of the allowance for loan losses. Other significant estimates which may be subject to change include fair value determinations and disclosures, impairment of investments, goodwill, loans, and valuation of deferred tax assets, other intangibles and OREO. | ||||
Other Contingencies — In the ordinary course of business, the Company becomes involved in litigation. Based upon the Company’s internal records and discussions with legal counsel, the Company records reserves as appropriate, for estimates of the probable outcome of all cases brought against the Company. Except as discussed in Note 15 — Commitments and Contingencies at December 31, 2014, the Company does not have any litigation reserves and is not aware of any material pending legal action or complaints asserted against the Company. | ||||
Recent Accounting Pronouncements — In January 2014, the FASB issued ASU No. 2014-01, “Investments — Equity Method and Joint Ventures (Topic 323) — Accounting for Investments in Qualified Affordable Housing Projects.” This ASU allows reporting entities to make an accounting policy election concerning investments in Low Income Housing Tax Credit (“LIHTC”) programs, that meet specified conditions, to present the net tax benefits (net of the amortization of the cost of the investment) within income tax expense. The cost of LIHTC investments, that meet the specified conditions, may be amortized in proportion to the total expected tax benefits, including the tax credits and other tax benefits, as they are realized on the tax return. This ASU is effective beginning after December 15, 2014. This ASU is required to be applied retrospectively, if investors elect the proportional amortization method. However, if investors have existing LIHTC investments accounted for under the effective-yield method at adoption, they may continue to apply that method for those existing investments. The adoption of this new guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In January 2014, the FASB issued ASU No. 2014-04, “Receivables — Troubled Debt Restructurings by Creditors (Subtopic 310-40) — Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans Upon Foreclosure.” This ASU clarifies when a creditor should reclassify mortgage loans collateralized by residential real estate from loans receivable to other real estate owned. ASU 2014-04 defines when an in-substance repossession or foreclosure has occurred and when a creditor is considered to have received physical possession of residential real estate collateralizing a mortgage loan. This ASU is effective for us on January 1, 2015 and can be applied either prospectively or using a modified retrospective transition method, and early adoption is permitted. The adoption of this new guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. This update to the ASC is the culmination of efforts by the FASB and the International Accounting Standards Board (IASB) to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards (IFRS). ASU 2014-09 supersedes Topic 605 — Revenue Recognition and most industry-specific guidance. The core principal of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance in ASU 2014-09 describes a 5-step process entities can apply to achieve the core principle of revenue recognition and requires disclosures sufficient to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers and the significant judgments used in determining that information. The amendments in ASU 2014-9 are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period and early application is not allowed. The adoption of this new guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In June 2014, the FASB issued ASU No. 2014-12, “Compensation — Stock Compensation (Topic 718) — Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Services Period”. The amendments in ASU 2014-12 provide guidance for determining compensation cost under specific circumstances when an employee is eligible to vest in an award regardless of whether the employee is rendering service on the date the performance target is achieved. ASU 2014-12 becomes effective for annual and interim periods beginning after December 15, 2015 with early adoption permitted. The Company is currently evaluating the effects of ASU 2014-12 on its consolidated financial statements and disclosures, if any. | ||||
In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements — Going Concern (Subtopic 205-40) — Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern”. The new guidance addresses management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Management’s evaluation should be based on relevant conditions and events that are known and reasonably knowable at the date that the financial statements are issued. ASU 2014-15 will be effective for the first interim period within annual reporting periods beginning after December 15, 2016. Early adoption is permitted. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In February 2015, the FASB issued ASU No. 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis”. The new guidance reduces the number of consolidation models from four to two as well as simplifies the FASB Accounting Standards Codification and improves GAAP by placing more of an emphasis on risk of loss when determining a controlling financial interest, reducing the frequency of the application of related party guidance when determining a controlling financial interest in a variable interest entity (VIE), and changing the consolidation conclusions for public and private companies in several industries that typically make use of VIE’s. ASU 2015-02 will be effective for the first interim period within annual reporting periods beginning after December 15, 2016. Early adoption is permitted. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. |
Business_Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Business Combinations | 4. BUSINESS COMBINATIONS |
American Security Bank Acquisition | |
On May 15, 2014, the Bank acquired all of the assets and assumed all of the liabilities of ASB for $57.0 million in cash. As a result, ASB was merged with CBB, the principal subsidiary of CVB. The Company believes this transaction serves to further expand its footprint in Southern California. At close, ASB had five branches located in the Southern California communities of: Newport Beach, Laguna Niguel, Corona, Lancaster, and Apple Valley. ASB also had two electronic branch vestibules in the High Desert area of California and a loan production office in Ontario, California. In the latter half of the third quarter of 2014, branch locations were consolidated and the two electronic banking vestibules were closed. By the end of 2014, the integration of ASB into CBB was completed. This included personnel decisions, center consolidations and system conversions. | |
Goodwill of $19.1 million from the acquisition represents the excess of the purchase price over the fair value of the net tangible and identified intangible assets acquired. | |
The total fair value of assets acquired approximated $436.4 million, which included $117.8 million in cash and cash due from banks, $44.5 million in investment securities available for sale, $1.9 million in FHLB stock, $242.7 million in loans receivable, $4.8 million in fixed assets, $2.1 million in core deposit intangible assets acquired, $1.6 million in OREO, and $1.8 million in other assets. The total fair value of liabilities assumed was $379.4 million, which included $378.4 million in deposits and $1.0 million in other liabilities. The assets and liabilities, both tangible and intangible, were recorded at their estimated fair values as of May 15, 2014. The assets acquired and liabilities assumed have been accounted for under the purchase accounting method. The final purchase price allocation was completed in the fourth quarter of 2014. | |
We have included the financial results of the business combination in the consolidated statement of earnings and comprehensive income beginning on the acquisition date. | |
For the year ended December 31, 2014, the Company incurred non-recurring merger related expenses associated with the ASB acquisition of $2.0 million. |
Investment_Securities
Investment Securities | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Investment Securities | 5. INVESTMENT SECURITIES | ||||||||||||||||||||||||
The amortized cost and estimated fair value of investment securities are summarized below. The majority of securities held are publicly traded, and the estimated fair values were obtained from an independent pricing service based upon market quotes. | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Fair | Total | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | Percent | |||||||||||||||||||||
Holding Gain | Holding Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 339,071 | $ | — | $ | (8,228 | ) | $ | 330,843 | 10.55 | % | ||||||||||||||
Residential mortgage-backed securities | 1,884,370 | 36,154 | (3,028 | ) | 1,917,496 | 61.12 | % | ||||||||||||||||||
CMOs / REMICs — residential | 297,318 | 7,050 | (277 | ) | 304,091 | 9.69 | % | ||||||||||||||||||
Municipal bonds | 557,823 | 22,463 | (645 | ) | 579,641 | 18.48 | % | ||||||||||||||||||
Other securities | 5,000 | 87 | — | 5,087 | 0.16 | % | |||||||||||||||||||
Total | $ | 3,083,582 | $ | 65,754 | $ | (12,178) | $ | 3,137,158 | 100 | % | |||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized Cost | Gross | Gross | Fair | Total | |||||||||||||||||||||
Unrealized | Unrealized | Value | Percent | ||||||||||||||||||||||
Holding Gain | Holding Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 350,378 | $ | 22 | $ | (23,875 | ) | $ | 326,525 | 12.26 | % | ||||||||||||||
Residential mortgage-backed securities | 1,391,631 | 13,100 | (24,788 | ) | 1,379,943 | 51.81 | % | ||||||||||||||||||
CMOs / REMICs — residential | 361,573 | 6,576 | (1,974 | ) | 366,175 | 13.75 | % | ||||||||||||||||||
Municipal bonds | 571,145 | 18,839 | (3,893 | ) | 586,091 | 22 | % | ||||||||||||||||||
Other securities | 5,000 | — | (92 | ) | 4,908 | 0.18 | % | ||||||||||||||||||
Total | $ | 2,679,727 | $ | 38,537 | $ | (54,622) | $ | 2,663,642 | 100 | % | |||||||||||||||
Approximately 81% of the available-for-sale portfolio at December 31, 2014 represents securities issued by the U.S government or U.S. government-sponsored enterprises, with the implied guarantee of payment of principal and interest. All non-agency available-for-sale CMO/REMIC issues held are rated investment grade or better by either Standard & Poor’s or Moody’s, as of December 31, 2014 and 2013. At December 31, 2014, the Bank had $343,000 in CMO/REMIC’s backed by whole loans issued by private-label companies (non-government sponsored). | |||||||||||||||||||||||||
During 2013, management identified 13 securities with a par value of $94.2 million that were experiencing accelerated prepayment speeds that were causing a deterioration in yield. These securities were sold and the Company recognized a net pre-tax gain on sale of $2.1 million. There were no realized gains or losses for the year ended December 31, 2014. | |||||||||||||||||||||||||
The tables below show the Company’s investment securities’ gross unrealized losses and fair value by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2014, and 2013. Management has reviewed individual securities to determine whether a decline in fair value below the amortized cost basis is other-than-temporary. | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Holding | Holding | Holding | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 22,224 | $ | 28 | $ | 307,873 | $ | 8,200 | $ | 330,097 | $ | 8,228 | |||||||||||||
Residential mortgage-backed securities | 19,636 | 4 | 145,681 | 3,024 | 165,317 | 3,028 | |||||||||||||||||||
CMOs /REMICs — residential | — | — | 31,143 | 277 | 31,143 | 277 | |||||||||||||||||||
Municipal bonds | 1,953 | 23 | 24,812 | 622 | 26,765 | 645 | |||||||||||||||||||
Other securities | — | — | — | — | — | — | |||||||||||||||||||
Total | $ | 43,813 | $ | 55 | $ | 509,509 | $ | 12,123 | $ | 553,322 | $ | 12,178 | |||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Holding | Holding | Holding | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 267,936 | $ | 20,514 | $ | 38,563 | $ | 3,361 | $ | 306,499 | $ | 23,875 | |||||||||||||
Residential mortgage-backed securities | 851,621 | 23,313 | 22,999 | 1,475 | 874,620 | 24,788 | |||||||||||||||||||
CMOs / REMICs — residential | 104,322 | 1,780 | 17,747 | 194 | 122,069 | 1,974 | |||||||||||||||||||
Municipal bonds | 47,116 | 3,359 | 10,338 | 534 | 57,454 | 3,893 | |||||||||||||||||||
Other securities | 4,908 | 92 | — | — | 4,908 | 92 | |||||||||||||||||||
Total | $ | 1,275,903 | $ | 49,058 | $ | 89,647 | $ | 5,564 | $ | 1,365,550 | $ | 54,622 | |||||||||||||
The following summarizes management’s analysis of these securities and the unrealized losses. This assessment was based on the following factors: i) the length of the time and the extent to which the fair value has been less than amortized cost; ii) adverse condition specifically related to the security, an industry, or a geographic area and whether or not the Company expects to recover the entire amortized cost, iii) historical and implied volatility of the fair value of the security; iv) the payment structure of the security and the likelihood of the issuer being able to make payments in the future; v) failure of the issuer of the security to make scheduled interest or principal payments, vi) any changes to the rating of the security by a rating agency, and vii) recoveries or additional declines in fair value subsequent to the balance sheet date. | |||||||||||||||||||||||||
CMO Held-to-Maturity — the Company has one investment security classified as held-to-maturity. This security was issued by Countrywide Financial and is collateralized by Alt-A mortgages. The mortgages are primarily fixed-rate, 30-year loans, originated in early 2006 with average FICO scores of 715 and an average LTV of 71% at origination. The security was a senior security in the securitization, was rated triple AAA at origination and was supported by subordinate securities. This security is classified as held-to-maturity as the Bank has both the intent and ability to hold this debt security to maturity. The Bank acquired this security in February 2008 at a price of 98.25%. The significant decline in the fair value of the security first appeared in August 2008 at the time the financial crisis in the markets occurred and the market for securities collateralized by Alt-A mortgages diminished. | |||||||||||||||||||||||||
As of December 31, 2014, the unrealized loss on this security was zero and the current fair value on the security was 81% of the current par value. This Alt-A bond, with a book value of $1.5 million as of December 31, 2014, has had $1.9 million in net impairment losses to date. These losses have been recorded as a reduction to noninterest income. The security is rated non-investment grade. We evaluated the security for an other-than-temporary decline in fair value as of December 31, 2014. The key assumptions include default rates, loss severities and prepayment rates. There were no changes in credit related other-than temporary impairment recognized in earnings for the years ended December 31, 2014, and 2013. | |||||||||||||||||||||||||
Government Agency & Government-Sponsored Enterprise — The government agency bonds are backed by the full faith and credit of agencies of the U.S. Government. While the Government-Sponsored Enterprise bonds are not expressly guaranteed by the U.S. Government, they are currently being supported by the U.S. Government under a conservatorship arrangement. As of December 31, 2014, approximately $223.2 million in U.S. government agency bonds were callable. These securities are bullet securities, that is, they have a defined maturity date on which the principal is paid. The contractual term of these investments provides that the Company will receive the face value of the bond at maturity which will equal the amortized cost of the bond. Interest is received throughout the life of the security. | |||||||||||||||||||||||||
Mortgage-Backed Securities and CMO/REMICs — Almost all of the available-for-sale mortgage-backed and CMO/REMICs securities are issued by government agencies or government-sponsored enterprises such as Ginnie Mae, Fannie Mae and Freddie Mac. These securities are collateralized or backed by the underlying residential mortgages. All mortgage-backed securities are considered to be rated investment grade with a weighted average life of approximately 4 years. Of the total MBS/CMO, 99.98% have the implied guarantee of U.S. government-sponsored agencies and enterprises. The remaining 0.02% are issued by banks. Accordingly, it is expected the securities would not be settled at a price less than the amortized cost of the bonds. | |||||||||||||||||||||||||
Municipal Bonds — The majority of the Company’s municipal bonds are insured by the largest bond insurance companies with maturities of approximately 8.5 years. The Company diversifies its holdings by owning selections of securities from different issuers and by holding securities from geographically diversified municipal issuers, thus reducing the Company’s exposure to any single adverse event. Because we believe the decline in fair value is attributable to the changes in interest rates and not credit quality and because the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized costs, which may be at maturity, management does not consider these investments to be other than temporarily impaired at December 31, 2014. | |||||||||||||||||||||||||
On an ongoing basis, we monitor the quality of our municipal bond portfolio in light of the current financial problems exhibited by certain monoline insurance companies. Many of the securities that would not be rated without insurance are pre-refunded and/or are general obligation bonds. We continue to monitor municipalities, which includes a review of the respective municipalities’ audited financial statements to determine whether there are any audit or performance issues. We use outside brokers to assist us in these analyses. Based on our monitoring of the municipal marketplace, to our knowledge, none of the municipalities are exhibiting financial problems that would lead us to believe that there is an OTTI for any given security. | |||||||||||||||||||||||||
At December 31, 2014, and 2013, investment securities having a carrying value of approximately $3.11 billion and $2.60 billion, respectively, were pledged to secure public deposits, short and long-term borrowings, and for other purposes as required or permitted by law. | |||||||||||||||||||||||||
The amortized cost and fair value of debt securities at December 31, 2014, by contractual maturity, are shown below. Although mortgage-backed securities and CMO/REMICs have contractual maturities through 2043, expected maturities will differ from contractual maturities because borrowers may have the right to prepay such obligations without penalty. Mortgage-backed securities and CMO/REMICs are included in maturity categories based upon estimated prepayment speeds. | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Amortized Cost | Fair Value | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Available-for-sale: | |||||||||||||||||||||||||
Due in one year or less | $ | 156,040 | $ | 159,389 | |||||||||||||||||||||
Due after one year through five years | 2,056,835 | 2,107,877 | |||||||||||||||||||||||
Due after five years through ten years | 757,260 | 754,160 | |||||||||||||||||||||||
Due after ten years | 113,447 | 115,732 | |||||||||||||||||||||||
Total | $ | 3,083,582 | $ | 3,137,158 | |||||||||||||||||||||
The investment in FHLB stock is periodically evaluated for impairment based on, among other things, the capital adequacy of the FHLB and its overall financial condition. No impairment losses have been recorded through December 31, 2014. |
Acquired_SJB_Assets_and_FDIC_L
Acquired SJB Assets and FDIC Loss Sharing Asset | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Text Block [Abstract] | |||||||||
Acquired SJB Assets and FDIC Loss Sharing Asset | 6. ACQUIRED SJB ASSETS AND FDIC LOSS SHARING ASSET | ||||||||
FDIC Assisted Acquisition | |||||||||
On October 16, 2009, the Bank acquired SJB and entered into a loss sharing agreements with the FDIC that is more fully discussed in the Significant Accounting Policies (Note 3) included herein. The acquisition has been accounted for under the purchase method of accounting. The assets and liabilities were recorded at their estimated fair values as of the October 16, 2009 acquisition date. The acquired loans were accounted for as PCI loans. The application of the purchase method of accounting resulted in an after-tax gain of $12.3 million which was included in 2009 earnings. The gain was the negative goodwill resulting from the acquired assets and liabilities recognized at fair value. | |||||||||
At December 31, 2014, the remaining discount associated with the PCI loans approximated $7.1 million. Based on the Company’s regular forecast of expected cash flows from these loans, approximately $4.6 million of the related discount is expected to accrete into interest income over the remaining average lives of the respective pools and individual loans, which approximates 4 years and 0.3 years, respectively. The loss sharing agreement for commercial loans expired October 16, 2014. The FDIC loss sharing asset of $299,000 at December 31, 2014 reflects the amount for which we expect reimbursement from the FDIC. | |||||||||
The following tables provide a summary of PCI loans and lease finance receivables by type and their credit quality indicators as of December 31, 2014 and 2013, respectively: | |||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Commercial and industrial | $ | 14,605 | $ | 19,047 | |||||
SBA | 1,110 | 1,414 | |||||||
Real estate: | |||||||||
Commercial real estate | 109,350 | 141,141 | |||||||
Construction | — | 644 | |||||||
SFR mortgage | 205 | 313 | |||||||
Dairy & livestock and agribusiness | 4,890 | 6,000 | |||||||
Municipal lease finance receivables | — | — | |||||||
Consumer and other loans | 3,336 | 4,545 | |||||||
Gross PCI loans | 133,496 | 173,104 | |||||||
Less: Purchase accounting discount | (7,129 | ) | (12,789 | ) | |||||
Gross PCI loans, net of discount | 126,367 | 160,315 | |||||||
Less: Allowance for PCI loan losses | — | — | |||||||
Net PCI loans | $ | 126,367 | $ | 160,315 | |||||
Credit Quality Indicators | |||||||||
The following table summarizes PCI loans by internal risk ratings by loan class as of December 31, 2014 and 2013: | |||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Pass | $ | 26,706 | $ | 38,961 | |||||
Watch list | 77,371 | 74,369 | |||||||
Special mention | 8,203 | 15,492 | |||||||
Substandard | 21,216 | 44,241 | |||||||
Doubtful & loss | — | 41 | |||||||
Total PCI gross loans | $ | 133,496 | $ | 173,104 | |||||
Allowance for Loan Losses | |||||||||
The Company’s Credit Management Division is responsible for regularly reviewing the ALLL methodology for PCI loans. The ALLL for PCI loans is determined separately, and is based on expectations of future cash flows from the underlying pools of loans or individual loans in accordance with ASC 310-30, as more fully discussed in Note 3 — Summary of Significant Accounting Policies. As of December 31, 2014 and 2013, the Company had zero allowance for loan losses recorded for PCI loans. | |||||||||
FDIC Loss Sharing Asset | |||||||||
The following table summarizes the activity related to the FDIC loss sharing asset for the years ended December 31, 2014 and 2013: | |||||||||
For the Year Ended December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Balance, beginning of period | $ | 4,764 | $ | 18,489 | |||||
FDIC share of additional losses, net of recoveries | 342 | (81 | ) | ||||||
Cash paid to (received from) FDIC, net | 1,134 | (4 | ) | ||||||
Net amortization (1) | (3,932 | ) | (12,779 | ) | |||||
Other reductions, net | (2,009 | ) | (861 | ) | |||||
Balance, end of period | $ | 299 | $ | 4,764 | |||||
-1 | Net amortization included accelerated amortization as a result of loans being paid off in full, sold, or transferred to OREO. | ||||||||
Through December 31, 2014, the Bank has submitted claims to the FDIC for net losses on PCI loans totaling $122.0 million. |
Loans_and_Lease_Finance_Receiv
Loans and Lease Finance Receivables and Allowance for Loans Losses | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||
Loans and Lease Finance Receivables and Allowance for Loans Losses | 7. LOANS AND LEASE FINANCE RECEIVABLES AND ALLOWANCE FOR LOAN LOSSES | ||||||||||||||||||||||||
The following table provides a summary of total loans and lease finance receivables, excluding PCI loans, by type: | |||||||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 390,011 | $ | 376,800 | |||||||||||||||||||||
SBA | 134,265 | 135,992 | |||||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 2,487,803 | 2,207,515 | |||||||||||||||||||||||
Construction | 55,173 | 47,109 | |||||||||||||||||||||||
SFR mortgage | 205,124 | 189,233 | |||||||||||||||||||||||
Dairy & livestock and agribusiness | 279,173 | 294,292 | |||||||||||||||||||||||
Municipal lease finance receivables | 77,834 | 89,106 | |||||||||||||||||||||||
Consumer and other loans | 69,884 | 55,103 | |||||||||||||||||||||||
Gross loans, excluding PCI loans, | 3,699,267 | 3,395,150 | |||||||||||||||||||||||
Less: | |||||||||||||||||||||||||
Deferred loan fees, net | (8,567 | ) | (9,234 | ) | |||||||||||||||||||||
Gross loans, excluding PCI loans, net of deferred loan fees | 3,690,700 | 3,385,916 | |||||||||||||||||||||||
Less: Allowance for loan losses | (59,825 | ) | (75,235 | ) | |||||||||||||||||||||
Net loans, excluding PCI loans | 3,630,875 | 3,310,681 | |||||||||||||||||||||||
PCI Loans | 133,496 | 173,104 | |||||||||||||||||||||||
Discount on PCI loans | (7,129 | ) | (12,789 | ) | |||||||||||||||||||||
PCI loans, net | 126,367 | 160,315 | |||||||||||||||||||||||
Total loans and lease finance receivables | $ | 3,757,242 | $ | 3,470,996 | |||||||||||||||||||||
As of December 31, 2014, 67.25% of the total loan portfolio consisted of commercial real estate loans and 1.49% of the total loan portfolio consisted of construction loans, respectively. Substantially all of the Company’s real estate loans and construction loans are secured by real properties located in California. At December 31, 2014, the Company held approximately $1.79 billion of fixed rate loans. | |||||||||||||||||||||||||
At December 31, 2014 and 2013, loans totaling $2.78 billion and $2.31 billion, respectively, were pledged to secure the borrowings from the FHLB and the Federal Reserve Bank. | |||||||||||||||||||||||||
Loans Held-for-Sale | |||||||||||||||||||||||||
The following table provides a summary of the activity related to loans held-for-sale for the years ended December 31, 2014 and 2013: | |||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Balance, beginning of period | $ | 3,667 | $ | — | |||||||||||||||||||||
Originations of mortgage loans | — | 485 | |||||||||||||||||||||||
Sales of mortgage loans | — | (485 | ) | ||||||||||||||||||||||
Transfer of mortgage loans to held for investment | — | — | |||||||||||||||||||||||
Sales of other loans | (3,667 | ) | — | ||||||||||||||||||||||
Transfers of other loans to held-for-sale | — | 3,667 | |||||||||||||||||||||||
Write-down of loans held-for-sale | — | — | |||||||||||||||||||||||
Balance, end of period | $ | — | $ | 3,667 | |||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||
Central to our credit risk management is our loan risk rating system. The originating credit officer assigns borrowers an initial risk rating, which is reviewed and confirmed or changed, as appropriate, by Credit Management. Approvals are made based upon the amount of inherent credit risk specific to the transaction and are reviewed for appropriateness by senior line and credit management personnel. Credits are monitored by line and credit management personnel for deterioration in a borrower’s financial condition, which would impact the ability of the borrower to perform under the contract. Risk ratings are adjusted as necessary. | |||||||||||||||||||||||||
Loans are risk rated into the following categories (Credit Quality Indicators): Pass, Pass Watch List, Special Mention, Substandard, Doubtful and Loss. Each of these groups is assessed for the proper amount to be used in determining the adequacy of our allowance for losses. These categories can be described as follows: | |||||||||||||||||||||||||
Pass — These loans range from minimal credit risk to lower than average, but still acceptable, credit risk. | |||||||||||||||||||||||||
Pass Watch List — Pass Watch list loans usually require more than normal management attention. Loans which qualify for the Pass Watch List may involve borrowers with adverse financial trends, higher debt/equity ratios, or weaker liquidity positions, but not to the degree of being considered a defined weakness or problem loan where risk of loss may be apparent. | |||||||||||||||||||||||||
Special Mention — Loans assigned to this category are currently protected but are weak. Although concerns exist, the Company is currently protected and loss is unlikely. Such loans have potential weaknesses that may, if not checked or corrected, weaken the asset or inadequately protect the Company’s credit position at some future date. | |||||||||||||||||||||||||
Substandard — Loans classified as substandard include poor liquidity, high leverage, and erratic earnings or losses. The primary source of repayment is no longer realistic, and asset or collateral liquidation may be the only source of repayment. Substandard loans are marginal and require continuing and close supervision by credit management. Substandard loans have the distinct possibility that the Company will sustain some loss if deficiencies are not corrected. | |||||||||||||||||||||||||
Doubtful — Loans classified as doubtful have all the weaknesses inherent in those classified substandard with the added provision that the weaknesses make collection or the liquidation, on the basis of currently existing facts, conditions and values, highly questionable and improbable. The possibility of loss is extremely high, but because of certain important and reasonable specific pending factors which may work to the advantage and strengthening of the assets, their classifications as losses are deferred until their more exact status may be determined. | |||||||||||||||||||||||||
Loss — Loans classified as loss are considered uncollectible and of such little value that their continuance as active assets of the Company is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be achieved in the future. | |||||||||||||||||||||||||
The following table summarizes each class of loans, excluding PCI loans, according to internal risk ratings as of December 31, 2014 and 2013: | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Pass | Watch List | Special | Substandard | Doubtful & | Total | ||||||||||||||||||||
Mention | Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 234,029 | $ | 105,904 | $ | 33,795 | $ | 16,031 | $ | 252 | $ | 390,011 | |||||||||||||
SBA | 84,769 | 24,124 | 15,858 | 7,920 | 1,594 | 134,265 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 552,072 | 159,908 | 46,248 | 32,139 | — | 790,367 | |||||||||||||||||||
Non-owner occupied | 1,347,006 | 241,809 | 56,353 | 52,268 | — | 1,697,436 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 28,310 | 613 | — | 7,651 | — | 36,574 | |||||||||||||||||||
Non-speculative | 18,071 | 528 | — | — | — | 18,599 | |||||||||||||||||||
SFR mortgage | 174,311 | 20,218 | 2,442 | 8,153 | — | 205,124 | |||||||||||||||||||
Dairy & livestock and agribusiness | 174,783 | 85,660 | 8,612 | 10,015 | 103 | 279,173 | |||||||||||||||||||
Municipal lease finance receivables | 35,463 | 22,349 | 20,022 | — | — | 77,834 | |||||||||||||||||||
Consumer and other loans | 62,904 | 2,233 | 1,789 | 2,763 | 195 | 69,884 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 2,711,718 | $ | 663,346 | $ | 185,119 | $ | 136,940 | $ | 2,144 | $ | 3,699,267 | |||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Pass | Watch List | Special | Substandard | Doubtful & | Total | ||||||||||||||||||||
Mention | Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 228,976 | $ | 100,016 | $ | 38,219 | $ | 9,560 | $ | 29 | $ | 376,800 | |||||||||||||
SBA | 83,951 | 28,052 | 15,198 | 8,390 | 401 | 135,992 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 449,853 | 147,165 | 74,999 | 57,934 | — | 729,951 | |||||||||||||||||||
Non-owner occupied | 1,104,065 | 242,431 | 81,088 | 49,980 | — | 1,477,564 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 8,611 | 21 | 1,529 | 17,617 | — | 27,778 | |||||||||||||||||||
Non-speculative | 6,940 | 3,190 | — | 9,201 | — | 19,331 | |||||||||||||||||||
SFR mortgage | 152,500 | 20,485 | 3,302 | 12,946 | — | 189,233 | |||||||||||||||||||
Dairy & livestock and agribusiness | 43,588 | 86,580 | 92,514 | 69,005 | 2,605 | 294,292 | |||||||||||||||||||
Municipal lease finance receivables | 43,445 | 18,338 | 20,893 | 6,430 | — | 89,106 | |||||||||||||||||||
Consumer and other loans | 43,225 | 6,938 | 3,449 | 1,491 | — | 55,103 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 2,165,154 | $ | 653,216 | $ | 331,191 | $ | 242,554 | $ | 3,035 | $ | 3,395,150 | |||||||||||||
Allowance for Loan losses | |||||||||||||||||||||||||
The Company’s Credit Management Division is responsible for regularly reviewing the ALLL methodology, including loss factors and economic risk factors. The Bank’s Director Loan Committee provides Board oversight of the ALLL process and approves the ALLL methodology on a quarterly basis. | |||||||||||||||||||||||||
Our methodology for assessing the appropriateness of the allowance is conducted on a regular basis and considers the Bank’s overall loan portfolio. Refer to Note 3 — Summary of Significant Accounting Policies for a more detailed discussion concerning the allowance for loan losses. | |||||||||||||||||||||||||
Management believes that the ALLL was appropriate at December 31, 2014 and 2013. No assurance can be given that economic conditions which adversely affect the Company’s service areas or other circumstances will not be reflected in increased provisions for loan losses in the future. | |||||||||||||||||||||||||
The following tables present the balance and activity related to the allowance for loan losses for held-for-investment loans, excluding PCI loans, by portfolio segment as of December 31, 2014, 2013 and 2012: | |||||||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||||||
Ending | Charge-offs | Recoveries | (Recapture | Ending | |||||||||||||||||||||
Balance | of) | Balance | |||||||||||||||||||||||
December 31, | Provision for | December 31, | |||||||||||||||||||||||
2013 | Loan Losses | 2014 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 8,502 | $ | (888 | ) | $ | 873 | $ | (1,413 | ) | $ | 7,074 | |||||||||||||
SBA | 2,332 | (50 | ) | 114 | 161 | 2,557 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 39,402 | (353 | ) | 140 | (5,816 | ) | 33,373 | ||||||||||||||||||
Construction | 1,305 | — | 885 | (1,202 | ) | 988 | |||||||||||||||||||
SFR mortgage | 2,718 | — | 401 | (775 | ) | 2,344 | |||||||||||||||||||
Dairy & livestock and agribusiness | 11,728 | (1,061 | ) | 492 | (5,680 | ) | 5,479 | ||||||||||||||||||
Municipal lease finance receivables | 2,335 | — | — | (923 | ) | 1,412 | |||||||||||||||||||
Consumer and other loans | 960 | (17 | ) | 154 | 165 | 1,262 | |||||||||||||||||||
Unallocated | 5,953 | — | — | (617 | ) | 5,336 | |||||||||||||||||||
Total allowance for loan losses | $ | 75,235 | $ | (2,369 | ) | $ | 3,059 | $ | (16,100 | ) | $ | 59,825 | |||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||||||
Ending | Charge-offs | Recoveries | (Recapture | Ending | |||||||||||||||||||||
Balance | of) | Balance | |||||||||||||||||||||||
December 31, | Provision for | December 31, | |||||||||||||||||||||||
2012 | Loan Losses | 2013 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 8,901 | $ | (2,491 | ) | $ | 544 | $ | 1,548 | $ | 8,502 | ||||||||||||||
SBA | 2,751 | — | 215 | (634 | ) | 2,332 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 47,457 | — | 402 | (8,457 | ) | 39,402 | |||||||||||||||||||
Construction | 2,291 | — | 703 | (1,689 | ) | 1,305 | |||||||||||||||||||
SFR mortgage | 3,448 | (252 | ) | 367 | (845 | ) | 2,718 | ||||||||||||||||||
Dairy & livestock and agribusiness | 18,696 | — | 109 | (7,077 | ) | 11,728 | |||||||||||||||||||
Municipal lease finance receivables | 1,588 | — | — | 747 | 2,335 | ||||||||||||||||||||
Consumer and other loans | 1,170 | (108 | ) | 55 | (157 | ) | 960 | ||||||||||||||||||
Unallocated | 6,139 | — | — | (186 | ) | 5,953 | |||||||||||||||||||
Total allowance for loan losses | $ | 92,441 | $ | (2,851 | ) | $ | 2,395 | $ | (16,750 | ) | $ | 75,235 | |||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||
Ending | Charge-offs | Recoveries | (Recapture | Ending | |||||||||||||||||||||
Balance | of) | Balance | |||||||||||||||||||||||
December 31, | Provision for | December 31, | |||||||||||||||||||||||
2011 | Loan Losses | 2012 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 8,030 | $ | (1,158 | ) | $ | 876 | $ | 1,153 | $ | 8,901 | ||||||||||||||
SBA | 2,624 | (101 | ) | 404 | (176 | ) | 2,751 | ||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 47,841 | (1,873 | ) | 514 | 975 | 47,457 | |||||||||||||||||||
Construction | 4,947 | — | 1,139 | (3,795 | ) | 2,291 | |||||||||||||||||||
SFR mortgage | 4,032 | (642 | ) | (108 | ) | 166 | 3,448 | ||||||||||||||||||
Dairy & livestock and agribusiness | 17,278 | (1,150 | ) | 166 | 2,402 | 18,696 | |||||||||||||||||||
Municipal lease finance receivables | 2,403 | — | — | (815 | ) | 1,588 | |||||||||||||||||||
Consumer and other loans | 1,590 | (283 | ) | 36 | (173 | ) | 1,170 | ||||||||||||||||||
Unallocated | 5,219 | — | — | 920 | 6,139 | ||||||||||||||||||||
Total allowance for loan losses | $ | 93,964 | $ | (5,207 | ) | $ | 3,027 | $ | 657 | $ | 92,441 | ||||||||||||||
The following tables present the recorded investment in loans held-for-investment, excluding PCI loans, and the related allowance for loan losses by portfolio segment, based on the Company’s methodology for determining the allowance for loan losses as December 31, 2014 and 2013: | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Recorded Investment in Loans | Allowance for Loan Losses | ||||||||||||||||||||||||
Individually | Collectively | Individually | Collectively | ||||||||||||||||||||||
Evaluated for | Evaluated for | Evaluated for | Evaluated for | ||||||||||||||||||||||
Impairment | Impairment | Impairment | Impairment | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 3,020 | $ | 386,991 | $ | 615 | $ | 6,459 | |||||||||||||||||
SBA | 3,180 | 131,085 | 296 | 2,261 | |||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 48,011 | 2,439,792 | 154 | 33,219 | |||||||||||||||||||||
Construction | 7,651 | 47,522 | — | 988 | |||||||||||||||||||||
SFR mortgage | 6,979 | 198,145 | 35 | 2,309 | |||||||||||||||||||||
Dairy & livestock and agribusiness | 15,796 | 263,377 | — | 5,479 | |||||||||||||||||||||
Municipal lease finance receivables | — | 77,834 | — | 1,412 | |||||||||||||||||||||
Consumer and other loans | 1,155 | 58,749 | 449 | 813 | |||||||||||||||||||||
Unallocated | — | 9,980 | — | 5,336 | |||||||||||||||||||||
Total | $ | 85,792 | $ | 3,613,475 | $ | 1,549 | $ | 58,276 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Recorded Investment in Loans | Allowance for Loan Losses | ||||||||||||||||||||||||
Individually | Collectively | Individually | Collectively | ||||||||||||||||||||||
Evaluated for | Evaluated for | Evaluated for | Evaluated for | ||||||||||||||||||||||
Impairment | Impairment | Impairment | Impairment | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 3,348 | $ | 373,452 | $ | 293 | $ | 8,209 | |||||||||||||||||
SBA | 1,685 | 134,307 | 72 | 2,260 | |||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 33,440 | 2,174,075 | — | 39,402 | |||||||||||||||||||||
Construction | 26,818 | 20,291 | — | 1,305 | |||||||||||||||||||||
SFR mortgage | 11,405 | 177,828 | 103 | 2,615 | |||||||||||||||||||||
Dairy & livestock and agribusiness | 29,812 | 264,480 | 2,702 | 9,026 | |||||||||||||||||||||
Municipal lease finance receivables | — | 89,106 | — | 2,335 | |||||||||||||||||||||
Consumer and other loans | 401 | 54,702 | 4 | 956 | |||||||||||||||||||||
Unallocated | 5,953 | ||||||||||||||||||||||||
Total | $ | 106,909 | $ | 3,288,241 | $ | 3,174 | $ | 72,061 | |||||||||||||||||
Past Due and Nonperforming Loans | |||||||||||||||||||||||||
We seek to manage asset quality and control credit risk through diversification of the loan portfolio and the application of policies designed to promote sound underwriting and loan monitoring practices. The Bank’s Credit Management Division is in charge of monitoring asset quality, establishing credit policies and procedures and enforcing the consistent application of these policies and procedures across the Bank. Reviews of nonperforming, past due loans and larger credits, designed to identify potential charges to the allowance for loan losses, and to determine the adequacy of the allowance, are conducted on an ongoing basis. These reviews consider such factors as the financial strength of borrowers and any guarantors, the value of the applicable collateral, loan loss experience, estimated loan losses, growth in the loan portfolio, prevailing economic conditions and other factors. Refer to Note 3 — Summary of Significant Accounting Policies for additional discussion concerning the Bank’s policy for past due and nonperforming loans. | |||||||||||||||||||||||||
Loans are reported as a troubled debt restructuring when the Bank grants a concession(s) to a borrower experiencing financial difficulties that the Bank would not otherwise consider. Examples of such concessions include a reduction in the interest rate, deferral of principal or accrued interest, extending the payment due dates or loan maturity date(s), or providing a lower interest rate than would be normally available for new debt of similar risk. As a result of these concessions, restructured loans are classified as impaired. Impairment reserves on non-collateral dependent restructured loans are measured by comparing the present value of expected future cash flows on the restructured loans discounted at the interest rate of the original loan agreement to the loan’s carrying value. These impairment reserves are recognized as a specific component to be provided for in the allowance for loan losses. | |||||||||||||||||||||||||
Generally, when loans are identified as impaired they are moved to our Special Assets Department. When we identify a loan as impaired, we measure the loan for potential impairment using discounted cash flows, unless the loan is determined to be collateral dependent. In these cases, we use the current fair value of collateral, less selling costs. Generally, the determination of fair value is established through obtaining external appraisals of the collateral. | |||||||||||||||||||||||||
Speculative construction loans are generally for properties where there is no identified buyer or renter. | |||||||||||||||||||||||||
The following tables present the recorded investment in the aging of past due and nonaccrual loans, excluding PCI loans, by class of loans as of December 31, 2014 and 2013: | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
30-59 | 60-89 | Total Past | Nonaccrual (1) | Current | Total Loans | ||||||||||||||||||||
Days Past | Days Past | Due and | and Lease Finance | ||||||||||||||||||||||
Due | Due | Accruing | Receivables | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 943 | $ | 35 | $ | 978 | $ | 2,308 | $ | 386,725 | 390,011 | ||||||||||||||
SBA | 75 | — | 75 | 2,481 | 131,709 | 134,265 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 36 | 86 | 122 | 4,072 | 786,173 | 790,367 | |||||||||||||||||||
Non-owner occupied | — | — | — | 19,246 | 1,678,190 | 1,697,436 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | 36,574 | 36,574 | ||||||||||||||||||||
Non-speculative | — | — | — | — | 18,599 | 18,599 | |||||||||||||||||||
SFR mortgage | 425 | — | 425 | 3,240 | 201,459 | 205,124 | |||||||||||||||||||
Dairy & livestock and agribusiness | — | — | — | 103 | 279,070 | 279,173 | |||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | 77,834 | 77,834 | |||||||||||||||||||
Consumer and other loans | 64 | 17 | 81 | 736 | 69,067 | 69,884 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 1,543 | $ | 138 | $ | 1,681 | $ | 32,186 | $ | 3,665,400 | $ | 3,699,267 | |||||||||||||
-1 | As of December 31, 2014, $20.1 million of nonaccruing loans were current, $3.7 million were 30-59 days past due, $8.5 million were 90+ days past due. | ||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
30-59 | 60-89 | Total Past | Nonaccrual (1) | Current | Total Loans and | ||||||||||||||||||||
Days Past | Days Past | Due and | Lease Finance | ||||||||||||||||||||||
Due | Due | Accruing | Receivables | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 900 | $ | 93 | $ | 993 | $ | 2,175 | $ | 373,632 | $ | 376,800 | |||||||||||||
SBA | — | — | — | 1,686 | 134,306 | 135,992 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 220 | — | 220 | 4,105 | 725,626 | 729,951 | |||||||||||||||||||
Non-owner occupied | 303 | — | 303 | 8,305 | 1,468,956 | 1,477,564 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | 9,966 | 17,812 | 27,778 | |||||||||||||||||||
Non-speculative | — | — | — | — | 19,331 | 19,331 | |||||||||||||||||||
SFR mortgage | 773 | 935 | 1,708 | 7,577 | 179,948 | 189,233 | |||||||||||||||||||
Dairy & livestock and agribusiness | — | — | — | 5,739 | 288,553 | 294,292 | |||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | 89,106 | 89,106 | |||||||||||||||||||
Consumer and other loans | 75 | — | 75 | 401 | 54,627 | 55,103 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 2,271 | $ | 1,028 | $ | 3,299 | $ | 39,954 | $ | 3,351,897 | $ | 3,395,150 | |||||||||||||
-1 | As of December 31, 2013, $23.9 million of nonaccruing loans were current, $473,000 were 30-59 days past due, $854,000 were 60-89 days past due, and $14.7 million were 90+ days past due. | ||||||||||||||||||||||||
Impaired Loans | |||||||||||||||||||||||||
At December 31, 2014, the Company had impaired loans, excluding PCI loans, of $85.8 million. Of this amount, there was, $3.2 million of nonaccrual SFR mortgage loans, $23.3 million of nonaccrual commercial real estate loans, $2.3 million of nonaccrual commercial and industrial loans, $2.5 million of SBA loans, $103,000 of nonaccrual dairy & livestock and agribusiness loans and $736,000 of consumer and other loans. These impaired loans included $73.9 million of loans whose terms were modified in a troubled debt restructuring, of which $20.3 million are classified as nonaccrual. The remaining balance of $53.6 million consisted of 36 loans performing according to the restructured terms. The impaired loans had a specific allowance of $1.5 million at December 31, 2014. At December 31, 2013, the Company had classified as impaired, loans, excluding PCI loans, with a balance of $106.9 million with a related allowance of $3.2 million. | |||||||||||||||||||||||||
The following tables present held-for-investment loans, excluding PCI loans, individually evaluated for impairment by class of loans, as of December 31, 2014, 2013 and 2012: | |||||||||||||||||||||||||
As of and For the Year Ended | |||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | |||||||||||||||||||||
Balance | Investment | Recognized | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | $ | 2,391 | $ | 3,624 | $ | — | $ | 2,487 | $ | 41 | |||||||||||||||
SBA | 1,853 | 2,197 | — | 1,886 | 53 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 16,961 | 18,166 | — | 18,027 | 938 | ||||||||||||||||||||
Non-owner occupied | 30,068 | 38,156 | — | 30,133 | 723 | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 7,651 | 7,651 | — | 7,651 | 310 | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 6,512 | 7,493 | — | 6,566 | 110 | ||||||||||||||||||||
Dairy & livestock and agribusiness | 15,796 | 17,587 | — | 19,060 | 1,057 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 673 | 1,094 | — | 623 | 2 | ||||||||||||||||||||
Total | 81,905 | 995,968 | — | 86,433 | 3,234 | ||||||||||||||||||||
With a related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | 629 | 698 | 615 | 552 | — | ||||||||||||||||||||
SBA | 1,327 | 1,591 | 296 | 714 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | — | — | — | — | — | ||||||||||||||||||||
Non-owner occupied | 982 | 1,278 | 154 | 573 | — | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | — | — | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 467 | 484 | 35 | 474 | — | ||||||||||||||||||||
Dairy & livestock and agribusiness | — | — | — | — | — | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 482 | 508 | 449 | 285 | — | ||||||||||||||||||||
Total | 3,887 | 4,559 | 1,549 | 2,598 | — | ||||||||||||||||||||
Total impaired loans | $ | 86,077 | $ | 100,527 | $ | 1,549 | $ | 89,031 | $ | 3,234 | |||||||||||||||
As of and For the Year Ended | |||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | |||||||||||||||||||||
Balance | Investment | Recognized | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | $ | 3,055 | $ | 3,843 | $ | — | $ | 3,248 | $ | 66 | |||||||||||||||
SBA | 1,613 | 2,084 | — | 1,717 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 13,041 | 14,133 | — | 13,463 | 548 | ||||||||||||||||||||
Non-owner occupied | 20,399 | 26,155 | — | 21,313 | 817 | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 17,617 | 18,408 | — | 18,043 | 310 | ||||||||||||||||||||
Non-speculative | 9,201 | 9,201 | — | 9,217 | 572 | ||||||||||||||||||||
SFR mortgage | 10,919 | 12,516 | — | 10,408 | 103 | ||||||||||||||||||||
Dairy & livestock and agribusiness | 17,702 | 17,702 | — | 19,205 | 434 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 385 | 445 | — | 389 | — | ||||||||||||||||||||
Total | 93,932 | 104,487 | — | 97,003 | 2,850 | ||||||||||||||||||||
With a related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | 293 | 301 | 293 | 305 | — | ||||||||||||||||||||
SBA | 72 | 78 | 72 | 81 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | — | — | — | — | — | ||||||||||||||||||||
Non-owner occupied | — | — | — | — | — | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | — | — | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 486 | 489 | 103 | 479 | — | ||||||||||||||||||||
Dairy & livestock and agribusiness | 12,110 | 12,783 | 2,702 | 13,377 | 209 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 16 | 19 | 4 | 18 | — | ||||||||||||||||||||
Total | 12,977 | 13,670 | 3,174 | 14,260 | 209 | ||||||||||||||||||||
Total impaired loans | $ | 106,909 | $ | 118,157 | $ | 3,174 | $ | 111,263 | $ | 3,059 | |||||||||||||||
As of and For the Year Ended | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | |||||||||||||||||||||
Balance | Investment | Recognized | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | $ | 1,936 | $ | 2,476 | $ | — | $ | 2,131 | $ | 43 | |||||||||||||||
SBA | 1,449 | 1,739 | — | 1,635 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 13,478 | 14,569 | — | 14,459 | 397 | ||||||||||||||||||||
Non-owner occupied | 28,639 | 38,633 | — | 29,801 | 670 | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 21,314 | 21,607 | — | 21,650 | 311 | ||||||||||||||||||||
Non-speculative | 9,219 | 9,219 | — | 9,219 | 574 | ||||||||||||||||||||
SFR mortgage | 11,079 | 14,342 | — | 11,292 | 54 | ||||||||||||||||||||
Dairy & livestock and agribusiness | 12,406 | 13,756 | — | 11,834 | 173 | ||||||||||||||||||||
Municipal lease finance receivables | 263 | 263 | — | 443 | 5 | ||||||||||||||||||||
Consumer and other loans | 142 | 196 | — | 145 | — | ||||||||||||||||||||
Total | 99,925 | 116,800 | — | 102,609 | 2,227 | ||||||||||||||||||||
With a related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | 304 | 327 | 289 | 387 | — | ||||||||||||||||||||
SBA | — | — | — | — | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 19 | 19 | 2 | 28 | — | ||||||||||||||||||||
Non-owner occupied | — | — | — | — | — | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | — | — | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 3,766 | 4,071 | 434 | 3,363 | — | ||||||||||||||||||||
Dairy & livestock and agribusiness | 4,303 | 4,340 | 1,596 | 4,017 | 73 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 73 | 74 | 11 | 75 | — | ||||||||||||||||||||
Total | 8,465 | 8,831 | 2,332 | 7,870 | 73 | ||||||||||||||||||||
Total impaired loans | $ | 108,390 | $ | 125,631 | $ | 2,332 | $ | 110,479 | $ | 2,300 | |||||||||||||||
The Company recognizes the charge-off of impairment allowance on impaired loans in the period it arises for collateral dependent loans. Therefore, the majority of the nonaccrual loans as of December 31, 2014 and 2013 have already been written down to their estimated net realizable value. The impaired loans with a related allowance recorded are on nonaccrual loans where a charge-off is not yet processed, on nonaccrual SFR loans where there is a potential modification in process, or on smaller balance non-collateral dependent loans. | |||||||||||||||||||||||||
Construction was completed on one $9.6 million impaired construction speculative loans which was therefore reflected as a nonperforming commercial real estate loan as of December 31, 2014. | |||||||||||||||||||||||||
Reserve for Unfunded Loan Commitments | |||||||||||||||||||||||||
The allowance for off-balance sheet credit exposure relates to commitments to extend credit, letters of credit and undisbursed funds on lines of credit. The Company evaluates credit risk associated with the off-balance sheet loan commitments at the same time it evaluates credit risk associated with the loan and lease portfolio. The Company recorded a reduction of the reserve for unfunded loan commitments of $1.3 million for the year ended December 31, 2014, compared with a provision for unfunded loan commitments of $500,000 for the year ended December 31, 2013 and a $1.0 million reduction of the reserve for the year ended December 31, 2012. As of December 31, 2014 and December 31, 2013, the balance in this reserve was $7.8 million and $9.1 million, respectively, and was included in other liabilities. | |||||||||||||||||||||||||
Troubled Debt Restructurings | |||||||||||||||||||||||||
Loans that are reported as TDRs are considered impaired and charge-off amounts are taken on an individual loan basis, as deemed appropriate. The majority of restructured loans are loans for which the terms of repayment have been renegotiated, resulting in a reduction in interest rate or deferral of principal. Refer to Note 3 — Summary of Significant Accounting Policies, Troubled Debt Restructurings, included herein. | |||||||||||||||||||||||||
As of December 31 2014, there were $73.9 million of loans classified as a TDR, of which $20.3 million were nonperforming and $53.6 million were performing. TDRs on accrual status are comprised of loans that were accruing interest at the time of restructuring or have demonstrated repayment performance in compliance with the restructured terms for a sustained period and for which the Company anticipates full repayment of both principal and interest. At December 31, 2014, performing TDRs were comprised primarily of 11 commercial real estate loans of $24.7 million, one construction loan of $7.7 million, eight dairy & livestock loans of $15.7 million, 11 SFR mortgage loans of $3.7 million, three commercial and industrial loans of $711,000, and one SBA loan of $699,000. There were no loans removed from TDR classification for the years ended December 31, 2014 and 2013. | |||||||||||||||||||||||||
The majority of TDRs have no specific allowance allocated as any impairment amount is normally charged off at the time a probable loss is determined. We have allocated $726,000 and $2.7 million of specific allowance to TDRs as of December 31, 2014 and December 31, 2013, respectively. | |||||||||||||||||||||||||
The following table provides a summary of the activity related to TDRs for the years ended December 31, 2014, and 2013: | |||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Performing TDRs: | |||||||||||||||||||||||||
Beginning balance | $ | 66,955 | $ | 50,392 | |||||||||||||||||||||
New modifications | 462 | 30,796 | |||||||||||||||||||||||
Payoffs and payments, net | (14,527 | ) | (15,492 | ) | |||||||||||||||||||||
TDRs returned to accrual status | 699 | 1,259 | |||||||||||||||||||||||
TDRs placed on nonaccrual status | — | — | |||||||||||||||||||||||
Ending balance | $ | 53,589 | $ | 66,955 | |||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Nonperforming TDRs: | |||||||||||||||||||||||||
Beginning balance | $ | 25,119 | $ | 31,309 | |||||||||||||||||||||
New modifications (1) | 4,372 | 4,187 | |||||||||||||||||||||||
Charge-offs | (1,061 | ) | (92 | ) | |||||||||||||||||||||
Payoffs and payments, net | (7,446 | ) | (9,026 | ) | |||||||||||||||||||||
TDRs returned to accrual status | (699 | ) | (1,259 | ) | |||||||||||||||||||||
TDRs placed on nonaccrual status | — | — | |||||||||||||||||||||||
Ending balance | $ | 20,285 | $ | 25,119 | |||||||||||||||||||||
The following are the loans modified as troubled debt restructurings for the years ended December 31, 2014, 2013, and 2012: | |||||||||||||||||||||||||
Modifications (1) | |||||||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Outstanding | Financial Effect | |||||||||||||||||||||
of | Outstanding | Outstanding | Recorded | Resulting From | |||||||||||||||||||||
Loans | Recorded | Recorded | Investment at | Modifications (2) | |||||||||||||||||||||
Investment | Investment | December 31, 2014 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial: | |||||||||||||||||||||||||
Interest rate reduction (3)(4) | 3 | $ | 553 | $ | 553 | $ | 522 | $ | 185 | ||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||
Owner occupied | |||||||||||||||||||||||||
Interest rate reduction (3) | 1 | 199 | — | 187 | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||||||
Non-owner occupied | |||||||||||||||||||||||||
Interest rate reduction (3) | 3 | 3,573 | — | 3,469 | |||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||||||
Dairy & livestock and agribusiness: | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | |||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||
Interest rate reduction (4) | 1 | 421 | 421 | 419 | — | ||||||||||||||||||||
Total loans | 8 | $ | 4,746 | $ | 974 | $ | 4,597 | $ | 185 | ||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Outstanding | Financial Effect | |||||||||||||||||||||
of | Outstanding | Outstanding | Recorded | Resulting From | |||||||||||||||||||||
Loans | Recorded | Recorded | Investment at | Modifications (2) | |||||||||||||||||||||
Investment | Investment | December 31, 2013 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial: | |||||||||||||||||||||||||
Interest rate reduction | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Change in amortization period or maturity | 4 | 621 | 621 | 570 | 95 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||
Owner occupied | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 1 | 168 | 168 | 138 | — | ||||||||||||||||||||
Non-owner occupied | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Construction: | |||||||||||||||||||||||||
Speculative | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage: | |||||||||||||||||||||||||
Interest rate reduction | 3 | 1,365 | 1,365 | 1,349 | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Dairy & livestock and agribusiness: | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 10 | 26,915 | 26,915 | 22,662 | 149 | ||||||||||||||||||||
Total loans | 18 | $ | 29,069 | $ | 29,069 | $ | 24,719 | $ | 244 | ||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Outstanding | Financial Effect | |||||||||||||||||||||
of Loans | Outstanding | Outstanding | Recorded | Resulting From | |||||||||||||||||||||
Recorded | Recorded | Investment at | Modifications (2) | ||||||||||||||||||||||
Investment | Investment | December 31 2012 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial: | |||||||||||||||||||||||||
Interest rate reduction | 1 | $ | 80 | $ | 80 | $ | 66 | $ | — | ||||||||||||||||
Change in amortization period or maturity | 8 | 2,301 | 2,301 | 1,817 | 3 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||
Owner occupied | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 6 | 4,225 | 4,225 | 3,903 | — | ||||||||||||||||||||
Non-owner occupied | |||||||||||||||||||||||||
Interest rate reduction | 1 | 3,378 | 3,378 | 3,359 | — | ||||||||||||||||||||
Change in amortization period or maturity | 4 | 5,906 | 5,906 | 5,303 | — | ||||||||||||||||||||
Construction: | |||||||||||||||||||||||||
Speculative | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 1 | 10,966 | 10,966 | 10,663 | — | ||||||||||||||||||||
Non-speculative | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage: | |||||||||||||||||||||||||
Interest rate reduction | 1 | 399 | 399 | 398 | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Dairy & livestock and agribusiness: | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 7 | 9,447 | 9,447 | 9,184 | — | ||||||||||||||||||||
Municipal lease finance receivables | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 2 | 519 | 519 | 263 | — | ||||||||||||||||||||
Total loans | 31 | $ | 37,221 | $ | 37,221 | $ | 34,956 | $ | 3 | ||||||||||||||||
-1 | The tables exclude modified loans that were paid off prior to the end of the period. | ||||||||||||||||||||||||
-2 | Financial effects resulting from modifications represent charge-offs and specific allowance recorded at modification date. | ||||||||||||||||||||||||
-3 | New modifications for the year ended December 31, 2014 included six TDR’s acquired from ASB. | ||||||||||||||||||||||||
-4 | New modifications for the year ended December 31, 2014 included three TDR’s that encompass both an interest rate reduction and a maturity extension. | ||||||||||||||||||||||||
As of December 31 2014, there were no loans that were previously modified as a troubled debt restructuring within the previous 12 months that subsequently defaulted during the year ended December 31, 2014. | |||||||||||||||||||||||||
As of December 31 2013, there were no loans that were previously modified as a troubled debt restructuring within the previous 12 months that subsequently defaulted during the year ended December 31, 2013. | |||||||||||||||||||||||||
As of December 31 2012, there was one construction loan with an outstanding balance of $10.7 million and one commercial real estate loan with an outstanding balance of $2.4 million that were previously modified as a troubled debt restructuring within the previous 12 months that subsequently defaulted during the year ended December 31, 2012. |
Other_Real_Estate_Owned
Other Real Estate Owned | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Text Block [Abstract] | |||||||||
Other Real Estate Owned | 8. OTHER REAL ESTATE OWNED | ||||||||
The following table summarizes the activity related to total OREO for the years ended December 31, 2014 and 2013: | |||||||||
For the Year Ended December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Balance, beginning of period | $ | 6,979 | $ | 15,899 | |||||
Additions | 3,591 | 1,492 | |||||||
Dispositions | (4,868 | ) | (9,923 | ) | |||||
Valuation adjustments | (65 | ) | (489 | ) | |||||
Balance, end of period | $ | 5,637 | $ | 6,979 | |||||
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||
Goodwill and Other Intangible Assets | 9. GOODWILL AND OTHER INTANGIBLE ASSETS | ||||||||||||||||||||||||
The following table presents the changes in the carrying amount of goodwill for the years indicated: | |||||||||||||||||||||||||
As of And for the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Balance, beginning of period | $ | 55,097 | $ | 55,097 | |||||||||||||||||||||
Addition from the ASB acquisition | 19,147 | — | |||||||||||||||||||||||
Balance, end of period | $ | 74,244 | $ | 55,097 | |||||||||||||||||||||
The following summarizes activity of amortizable core deposit intangible (“CDI”) assets for the years ended December 31, 2014 and 2013: | |||||||||||||||||||||||||
As of And For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Gross CDI | Accumulated | Net CDI | Gross Carrying | Accumulated | Net CDI | ||||||||||||||||||||
Amount | Amortization | Amount | Amount | Amortization | Amount | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Balance of intangible assets, beginning of period | $ | 31,999 | $ | (29,738 | ) | $ | 2,261 | $ | 31,999 | $ | (28,610 | ) | $ | 3,389 | |||||||||||
Additions due to acquisitions | 2,090 | — | |||||||||||||||||||||||
Balance of intangible assets, end of period | $ | 34,089 | $ | (30,875 | ) | $ | 3,214 | $ | 31,999 | $ | (29,738 | ) | $ | 2,261 | |||||||||||
Aggregate amortization expense: | |||||||||||||||||||||||||
For year ended December 31, | $ | 1,137 | $ | 1,127 | |||||||||||||||||||||
Estimated Amortization Expense: | |||||||||||||||||||||||||
For the year ended December 31, 2015 | $ | 949 | |||||||||||||||||||||||
For the year ended December 31, 2016 | 737 | ||||||||||||||||||||||||
For the year ended December 31, 2017 | 631 | ||||||||||||||||||||||||
For the year ended December 31, 2018 | 562 | ||||||||||||||||||||||||
For the year ended December 31, 2019 | 335 | ||||||||||||||||||||||||
Thereafter | — | ||||||||||||||||||||||||
At December 31, 2014 the weighted average remaining life of intangible assets is approximately 1.5 years. The weighted average remaining life of the intangible asset related to the ASB acquisition is 1.4 years. |
Premises_and_Equipment
Premises and Equipment | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Premises and Equipment | 10. PREMISES AND EQUIPMENT | ||||||||
Premises and equipment were comprised of the following as of December 31, 2014 and 2013, respectively: | |||||||||
As of December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Land | $ | 8,425 | $ | 8,329 | |||||
Bank premises | 48,481 | 47,535 | |||||||
Furniture and equipment | 39,272 | 39,502 | |||||||
Premises and equipment, gross | 96,178 | 95,366 | |||||||
Accumulated depreciation and amortization | (62,587 | ) | (62,535 | ) | |||||
Premises and equipment, net | $ | 33,591 | $ | 32,831 | |||||
Leases | |||||||||
The Company leases land and buildings under operating leases for varying periods extending to 2022, at which time the Company can exercise options that could extend certain leases through 2034. The future minimum annual rental payments required for leases that have initial or remaining noncancelable lease terms in excess of one year as of December 31, 2014, excluding property taxes and insurance, are as follows: | |||||||||
Year: | As of December 31, 2014 | ||||||||
(Dollars in thousands) | |||||||||
2015 | $ | 5,479 | |||||||
2016 | 4,915 | ||||||||
2017 | 4,053 | ||||||||
2018 | 2,746 | ||||||||
2019 | 1,567 | ||||||||
Thereafter | 845 | ||||||||
Total | $ | 19,605 | |||||||
Total rental expense for the Company was approximately $5.7 million, $5.5 million and $5.6 million for the years ended December 31, 2014, 2013 and 2012, respectively. |
Other_Assets
Other Assets | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||
Other Assets | 11. OTHER ASSETS | ||||||||
Other assets were comprised of the following as of December 31, 2014 and 2013, respectively: | |||||||||
As of December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Prepaid Expenses | $ | 4,109 | $ | 3,703 | |||||
Interest Rate Swaps | 10,080 | 10,846 | |||||||
Other Assets | 11,012 | 6,375 | |||||||
$ | 25,201 | $ | 20,924 |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||
Income Taxes | 12. INCOME TAXES | ||||||||||||||||||||||||
Income tax expense consists of the following: | |||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Current provision: | |||||||||||||||||||||||||
Federal | $ | 38,957 | $ | 38,881 | $ | 35,089 | |||||||||||||||||||
State | 15,968 | 13,996 | 15,910 | ||||||||||||||||||||||
54,925 | 52,877 | 50,999 | |||||||||||||||||||||||
Deferred provision (benefit): | |||||||||||||||||||||||||
Federal | 2,534 | (3,260 | ) | (10,102 | ) | ||||||||||||||||||||
State | 1,317 | (950 | ) | (3,484 | ) | ||||||||||||||||||||
3,851 | (4,210 | ) | (13,586 | ) | |||||||||||||||||||||
Total | $ | 58,776 | $ | 48,667 | $ | 37,413 | |||||||||||||||||||
Income tax asset consists of the following: | |||||||||||||||||||||||||
As of December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Current: | |||||||||||||||||||||||||
Federal | $ | 4,522 | $ | 2,838 | |||||||||||||||||||||
State | 4,437 | 1,337 | |||||||||||||||||||||||
8,959 | 4,175 | ||||||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||
Federal | 18,304 | 42,545 | |||||||||||||||||||||||
State | 4,198 | 13,066 | |||||||||||||||||||||||
22,502 | 55,611 | ||||||||||||||||||||||||
Total | $ | 31,461 | $ | 59,786 | |||||||||||||||||||||
The components of the net deferred tax asset are as follows: | |||||||||||||||||||||||||
As of December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Federal | |||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Bad debt and credit loss deduction | $ | 23,805 | $ | 29,700 | |||||||||||||||||||||
Net operating loss carryforward | 672 | 781 | |||||||||||||||||||||||
Deferred compensation | 3,300 | 3,024 | |||||||||||||||||||||||
Other intangibles | 5 | 8 | |||||||||||||||||||||||
PCI loans | 23,667 | 26,360 | |||||||||||||||||||||||
California franchise tax | 3,461 | 1,629 | |||||||||||||||||||||||
Unrealized loss on investment securities, net | — | 5,012 | |||||||||||||||||||||||
Other, net | 6,140 | 4,907 | |||||||||||||||||||||||
Gross deferred tax asset | 61,050 | 71,421 | |||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | 4,019 | 5,489 | |||||||||||||||||||||||
Intangibles — acquistions | 1,858 | 2,024 | |||||||||||||||||||||||
FDIC indemnification asset | 13,831 | 14,269 | |||||||||||||||||||||||
FHLB stock | 3,913 | 4,388 | |||||||||||||||||||||||
Deferred income | 2,430 | 2,706 | |||||||||||||||||||||||
Unrealized gain on investment securities, net | 16,695 | — | |||||||||||||||||||||||
Gross deferred tax liability | 42,746 | 28,876 | |||||||||||||||||||||||
Net deferred tax asset — federal | $ | 18,304 | $ | 42,545 | |||||||||||||||||||||
State | |||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Bad debt and credit loss deduction | $ | 6,014 | $ | 8,226 | |||||||||||||||||||||
Net operating loss carryforward | 34 | 34 | |||||||||||||||||||||||
Deferred compensation | 1,030 | 942 | |||||||||||||||||||||||
Other intangibles | 668 | 620 | |||||||||||||||||||||||
FDIC indemnification asset | 6,498 | 6,363 | |||||||||||||||||||||||
Unrealized loss on investment securities, net | — | 1,744 | |||||||||||||||||||||||
Other, net | 1,911 | 1,554 | |||||||||||||||||||||||
Gross deferred tax asset | 16,155 | 19,483 | |||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | 589 | 1,058 | |||||||||||||||||||||||
PCI loans | 4,389 | 3,935 | |||||||||||||||||||||||
FHLB stock | 797 | 945 | |||||||||||||||||||||||
Deferred income | 374 | 479 | |||||||||||||||||||||||
Unrealized gain on investment securities, net | 5,808 | — | |||||||||||||||||||||||
Gross deferred tax liability | 11,957 | 6,417 | |||||||||||||||||||||||
Net deferred tax asset — state | $ | 4,198 | $ | 13,066 | |||||||||||||||||||||
A reconciliation of the statutory income tax rate to the consolidated effective income tax rate follows: | |||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Federal income tax at statutory rate | $ | 56,979 | 35 | % | $ | 50,496 | 35 | % | $ | 40,143 | 35 | % | |||||||||||||
State franchise taxes, net of federal benefit | 11,233 | 6.9 | % | 8,734 | 6.1 | % | 8,081 | 7 | % | ||||||||||||||||
Tax-exempt income | (8,622 | ) | (5.3 | %) | (10,189 | ) | (7.1 | %) | (10,654 | ) | (9.3 | %) | |||||||||||||
Tax credits | (1,014 | ) | (0.6 | %) | (940 | ) | (0.7 | %) | (1,279 | ) | (1.1 | %) | |||||||||||||
Other, net | 200 | 0.1 | % | 566 | 0.4 | % | 1,122 | 1 | % | ||||||||||||||||
Provision for income taxes | $ | 58,776 | 36.1 | % | $ | 48,667 | 33.7 | % | $ | 37,413 | 32.6 | % | |||||||||||||
The change in unrecognized tax benefits in 2014 and 2013 follows: | |||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
( Dollars in thousands ) | |||||||||||||||||||||||||
Balance, beginning of period | $ | 3,016 | $ | 889 | |||||||||||||||||||||
Additions for tax positions related to prior years | — | 1,603 | |||||||||||||||||||||||
Reductions due to lapse of statue of limitations | — | 524 | |||||||||||||||||||||||
Balance, end of period | $ | 3,016 | $ | 3,016 | |||||||||||||||||||||
The total amount of unrecognized tax benefits at December 31, 2014, of $3.0 million would, if recognized, affect the effective tax rate. The amount accrued for payment of interest as of December 31, 2013 was $196,000. The Company records interest and penalties related to uncertain tax positions as part of other operating expense. We do not expect the total amount of unrecognized tax benefits to significantly increase or decrease within the next twelve months. | |||||||||||||||||||||||||
The Company is subject to federal income tax and franchise tax of the state of California. Our federal income tax returns for the years ended December 31, 2008 through 2014 are open to audit by the federal authorities and our California state tax returns for the years ended December 31, 2006 through 2014 are open to audit by state authorities. |
Deposits
Deposits | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||
Deposits | 13. DEPOSITS | ||||||||||||||||
The table below summarizes deposits by type: | |||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Noninterest-bearing deposits | |||||||||||||||||
Demand deposits | $ | 2,866,365 | 51.1 | % | $ | 2,562,980 | 52.4 | % | |||||||||
Interest-bearing deposits | |||||||||||||||||
Savings deposits | 1,962,086 | 35 | % | 1,646,111 | 33.7 | % | |||||||||||
Time deposits | 776,207 | 13.9 | % | 681,540 | 13.9 | % | |||||||||||
Total deposits | $ | 5,604,658 | 100.0 | % | $ | 4,890,631 | 100.0 | % | |||||||||
Time deposits with balances of $100,000 or more amounted to approximately $702.4 million and $611.9 million at December 31, 2014 and 2013, respectively. Interest expense on such deposits amounted to approximately $1.1 million, $1.1 million, and $1.5 million, for the years ended December 31, 2014, 2013 and 2012, respectively. | |||||||||||||||||
At December 31, 2014, the scheduled maturities of time certificates of deposit are as follows: | |||||||||||||||||
Year of maturity: | December 31, 2014 | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
2015 | $ | 752,149 | |||||||||||||||
2016 | 15,506 | ||||||||||||||||
2017 | 1,610 | ||||||||||||||||
2018 | 856 | ||||||||||||||||
2019 and thereafter | 6,086 | ||||||||||||||||
Total | $ | 776,207 | |||||||||||||||
At December 31, 2014, the Company had a single public depositor with certificates of deposit balances of approximately $280.0 million. These certificates mature January through March 2015. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2014 | |
Debt Disclosure [Abstract] | |
Borrowings | 14. BORROWINGS |
Customer Repurchase Agreements | |
In November 2006, the Bank began a repurchase agreement product with its customers. This product, known as Citizens Sweep Manager, sells the Bank’s securities overnight to its customers under an agreement to repurchase them the next day. As of December 31, 2014 and 2013, total funds borrowed under these agreements were $563.6 million and $643.3 million, respectively, with weighted average interest rates of 0.24% and 0.29%. | |
Federal Home Loan Bank Advances | |
During 2009 and 2008, the Bank entered into borrowing agreements with the FHLB. The Bank had $199.5 million of a term FHLB advance at December 31, 2014 with a weighted average rate of 4.52% and $199.2 million at December 31, 2013 with a weighted average rate of 4.52% and maturity date of November 28, 2016. FHLB held certain investment securities and loans of the Bank as collateral for these borrowings. The average outstanding balance for 2014 and 2013 was $199.4 million and $199.1 million, respectively. The maximum outstanding at any month-end was $199.5 million during 2014 and $199.2 million during 2013. | |
At December 31, 2014, $2.78 billion of loans and $3.11 billion of investment securities, at carrying value, were pledged to secure public deposits, short and long-term borrowings, and for other purposes as required or permitted by law. | |
The Bank incurred prepayment penalties on borrowings of zero in 2014 and 2013, and $20.4 million in 2012. | |
Other Borrowings | |
At December 31, 2014, the Bank had $46.0 million of overnight borrowings with the FHLB at a cost of 10 basis points, compared to $69.0 million of overnight borrowings with the FHLB at a cost of 6 basis points at December 31, 2013. | |
Junior Subordinated Debentures | |
On December 15, 2003, CVB Statutory Trust II completed a $40,000,000 offering of Trust Preferred Securities and used the gross proceeds from the offering and other cash totaling $41,238,000 to purchase a like amount of junior subordinated debenture of the Company. The junior subordinated debenture was issued concurrent with the issuance of the Trust Preferred Securities. The interest on junior subordinated debenture, paid by the Company to CVB Statutory Trust II, represents the sole revenues of CVB Statutory Trust II and the sole source of dividend distribution to the holders of the Trust Preferred Securities. The Company has fully and conditionally guaranteed all of CVB Statutory Trust II’s obligations under the Trust Preferred Securities. The Company has the right, assuming no default has occurred, to defer payments of interest on the junior subordinated debenture at any time for a period not to exceed 20 consecutive quarters. The Trust Preferred Securities will mature on January 7, 2034, but became callable in part or in total on January 7, 2009 by CVB Statutory Trust II. The Trust Preferred Securities had a fixed interest rate of 6.46% during the first five years. In January 2009, the interest rate changed to floating rate of three-month Libor rate plus 2.85% and resets quarterly. During 2013, the Company redeemed all of capital and common securities associated with CVB Statutory Trust II. | |
On January 31, 2006, CVB Statutory Trust III completed a $25,000,000 offering of Trust Preferred Securities and used the gross proceeds from the offering and other cash totaling $25,774,000 to purchase a like amount of junior subordinated debenture of the Company. The junior subordinated debenture was issued concurrent with the issuance of the Trust Preferred Securities. The interest on junior subordinated debenture, paid by the Company to CVB Statutory Trust III, represents the sole revenues of CVB Statutory Trust III and the sole source of dividend distribution to the holders of the Trust Preferred Securities. The Company has fully and conditionally guaranteed all of CVB Statutory Trust III’s obligations under the Trust Preferred Securities. The Company has the right, assuming no default has occurred, to defer payments of interest on the junior subordinated debenture at any time for a period not to exceed 20 consecutive quarters. The Trust Preferred Securities will mature on March 15, 2036, but became callable in part or in total on March 15, 2011 by CVB Statutory Trust III. The Trust Preferred Securities have a variable per annum rate equal to LIBOR (as defined in the indenture dated as of January 31, 2006 (“Indenture”) between the Company and U.S. Bank National Association, as debenture trustee) plus 1.38% (the “Variable Rate”). As of December 31, 2014, these securities continue to be outstanding. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 15. COMMITMENTS AND CONTINGENCIES |
Commitments | |
At December 31, 2014 and 2013, the Bank had commitments to extend credit of approximately $694.4 million and $588.9 million, respectively, and obligations under letters of credit of $34.6 million and $37.0 million, respectively. Commitments to extend credit are agreements to lend to customers, provided there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Commitments are generally variable rate, and many of these commitments are expected to expire without being drawn upon. As such, the total commitment amounts do not necessarily represent future cash requirements. The Bank uses the same credit underwriting policies in granting or accepting such commitments or contingent obligations as it does for on-balance-sheet instruments, which consist of evaluating customers’ creditworthiness individually. The Bank has a reserve for unfunded loan commitments of $7.8 million as of December 31, 2014 and $9.1 million as of December 31, 2013. | |
Standby letters of credit written are conditional commitments issued by the Bank to guarantee the financial performance of a customer to a third party. Those guarantees are primarily issued to support private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. When deemed necessary, the Bank holds appropriate collateral supporting those commitments. Management does not anticipate any material losses as a result of these transactions. | |
At December 31, 2014, the Bank has available lines of credit totaling $3.37 billion from correspondent banks, FHLB and Federal Reserve Bank of which $2.90 billion were secured. | |
Other Contingencies | |
Certain lawsuits and claims arising in the ordinary course of business have been filed or are pending against us or our affiliates. Where appropriate, we establish reserves in accordance with FASB guidance over contingencies (ASC 450). The outcome of litigation and other legal and regulatory matters is inherently uncertain, however, and it is possible that one or more of the legal or regulatory matters currently pending or threatened could have a material adverse effect on the Company’s liquidity, consolidated financial position, and/or results of operations. As of December 31, 2014, the Company does not have any litigation reserves. | |
The Company is involved in the following significant legal actions and complaints. | |
On July 26, 2010, we received a subpoena from the Los Angeles office of the SEC regarding the Company’s allowance for loan loss methodology, loan underwriting guidelines, methodology for grading loans, and the process for making provisions for loan losses. In addition, the subpoena requested information regarding certain presentations Company officers have given or conferences Company officers have attended with analysts, brokers, investors or prospective investors. We have fully cooperated with the SEC in its investigation, and we will continue to do so if and to the extent any further information is requested, although we have not been contacted by the SEC in connection with this matter since October 2011. We cannot predict the timing or outcome of the SEC investigation or if it is still continuing. | |
In the wake of the Company’s disclosure of the SEC investigation, on August 23, 2010, a purported shareholder class action complaint was filed against the Company, in an action captioned Lloyd v. CVB Financial Corp., et al., Case No. CV 10-06256- MMM, in the United States District Court for the Central District of California. Along with the Company, Christopher D. Myers (our President and Chief Executive Officer) and Edward J. Biebrich, Jr. (our former Chief Financial Officer) were also named as defendants. On September 14, 2010, a second purported shareholder class action complaint was filed against the Company, in an action originally captioned Englund v. CVB Financial Corp., et al., Case No. CV 10-06815-RGK, in the United States District Court for the Central District of California. The Englund complaint named the same defendants as the Lloyd complaint and made allegations substantially similar to those included in the Lloyd complaint. On January 21, 2011, the District Court consolidated the two actions for all purposes under the Lloyd action, now captioned as Case No. CV 10-06256-MMM (PJWx). That same day, the District Court also appointed the Jacksonville Police and Fire Pension Fund (the “Jacksonville Fund”) as lead plaintiff in the consolidated action and approved the Jacksonville Fund’s selection of lead counsel for the plaintiffs in the consolidated action. On March 7, 2011, the Jacksonville Fund filed a consolidated complaint naming the same defendants and alleging violations by all defendants of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and violations by the individual defendants of Section 20(a) of the Exchange Act. Specifically, the complaint alleges that defendants misrepresented and failed to disclose conditions adversely affecting the Company throughout the purported class period, which is alleged to be between October 21, 2009 and August 9, 2010. The consolidated complaint sought compensatory damages and other relief in favor of the purported class. | |
Following the filing by each side of various motions and briefs, and a hearing on August 29, 2011, the District Court issued a ruling on January 12, 2012, granting defendants’ motion to dismiss the consolidated complaint, but the ruling provided the plaintiffs with leave to file an amended complaint within 45 days of the date of the order. On February 27, 2012, the plaintiffs filed a first amended complaint against the same defendants, and, following filings by both sides and another hearing on June 4, 2012, the District Court issued a ruling on August 21, 2012, granting defendants’ motion to dismiss the first amended complaint, but providing the plaintiffs with leave to file another amended complaint within 30 days of the ruling. On September 20, 2012, the plaintiffs filed a second amended complaint against the same defendants, the Company filed its third motion to dismiss on October 25, 2012, and following another hearing on February 25, 2013, the District Court issued an order dismissing the plaintiffs’ complaint for the third time on May 9, 2013. | |
Although the District Court’s most recent order of dismissal provided the plaintiffs with leave to file a third amended and restated complaint within 30 days of the issuance of the order, on June 3, 2013, counsel for the plaintiffs instead filed a Notice of Intent Not to File an Amended Complaint, along with a request that the District Court convert its order to a dismissal with prejudice, so that plaintiffs could proceed straight to appeal at the U.S. Court of Appeals for the Ninth Circuit. On September 30, 2013, the District Court entered its order dismissing the plaintiffs’ second amended complaint with prejudice, and the plaintiffs filed their notice of appeal on October 24, 2013. | |
With respect to the appeal, the plaintiffs’ opening brief was filed on June 7, 2014, the Company’s reply brief was filed on July 7, 2014, and the plaintiff’s rebuttal brief was filed on August 20, 2014. It is expected that the Court of Appeals will schedule oral argument at some point within the next six to nine months, and would then issue its opinion at some point six to nine months thereafter. | |
The Company intends to continue to vigorously contest the plaintiff’s allegations in this case. | |
On February 28, 2011, a purported and related shareholder derivative complaint was filed in an action captioned Sanderson v. Borba, et al., Case No. CIVRS1102119, in California State Superior Court in San Bernardino County. The complaint names as defendants the members of our board of directors and also refers to unnamed defendants allegedly responsible for the conduct alleged. The Company is included as a nominal defendant. The complaint alleges breaches of fiduciary duties, abuse of control, gross mismanagement and corporate waste. Specifically, the complaint alleges, among other things, that defendants engaged in accounting manipulations in order to falsely portray the Company’s financial results in connection with its commercial real estate portfolio. Plaintiff seeks compensatory and exemplary damages to be paid by the defendants and awarded to the Company, as well as other relief. | |
On June 20, 2011, defendants filed a demurrer requesting dismissal of the derivative complaint. Following the filing by each side of additional motions, the parties have subsequently filed repeated notices to postpone the Court’s hearing on the defendants’ demurrer, pending resolution of the federal securities shareholder class action complaint. On July 30, 2013, the Court signed a Minute Order agreeing to the parties’ stipulation to further extend the postponement of the derivative action hearing, at least to the date of any ruling by the Ninth Circuit Court of Appeals in connection with the pending appeal in the federal class action securities case, subject to brief status conferences every six months or so, with the next status update scheduled for March 25, 2015. | |
Because the outcome of these proceedings is uncertain, we cannot predict any range of loss or even if any loss is probable related to the actions described above. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2014 | |
Postemployment Benefits [Abstract] | |
Employee Benefit Plans | 16. EMPLOYEE BENEFIT PLANS |
Deferred Compensation Plans | |
As of December 31, 2014, the Company has various deferred compensation plans, and severance arrangements it assumed through the acquisition of other banks in prior years. These plans require the Company to make periodic payments to former employees upon retirement, upon a change in control, and in certain instances, to beneficiaries of former employees upon death. Payments made by the Company under these agreements totaled approximately $866,000, $881,000, and $961,000 for each of the years ended December 31, 2014, 2013, and 2012, respectively. The total expense recorded by the Company for these deferred compensation agreements was approximately $544,000, $561,000, and $494,000 for each of the years ended December 31, 2014, 2013, and 2012, respectively. | |
On December 22, 2006, the Company approved a deferred compensation plan for its President and Chief Executive Officer, Christopher D. Myers. Under the Plan, which became effective on January 1, 2007, Mr. Myers may defer up to 75% of his base salary and up to 100% of his bonus for each calendar year in which the Plan is effective. The Company has the discretion to make additional contributions to the Plan for the benefit of Mr. Myers. No discretionary payments were made by the Company during the years ended December 31, 2014, 2013, and 2012. | |
On March 31, 2007, the Company approved the Executive Non-qualified Excess Plan, a deferred compensation plan for certain management employees to provide a means by which they may elect to defer receipt of compensation in order to provide retirement benefits. The Plan is intended to be unfunded and primarily serve the purpose of providing deferred compensation benefits for a select group of employees. The Bank, however, does fund the cost of these plans through the purchase of life insurance policies, which are recorded in other assets of the consolidated balance sheets. The amounts funded by employees totaled $2.1 million as of December 31, 2014. | |
401(k) and Profit Sharing Plan | |
The Bank sponsors a 401(k) and profit-sharing plan for the benefit of its employees. Employees are eligible to participate in the plan immediately upon hire. Employees may make contributions to the plan under the plan’s 401(k) component. The Bank contributes 3%, non-matching, to the plan to comply with ERISA’s safe harbor provisions. The Bank may make additional contributions under the plan’s profit-sharing component, subject to certain limitations. The Bank’s total contributions are determined by the Board of Directors and amounted to approximately $3.1 million in 2014, $2.7 million in 2013 and $2.4 million in 2012. |
Earnings_Per_Share_Reconciliat
Earnings Per Share Reconciliation | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Earnings Per Share Reconciliation | 17. EARNINGS PER SHARE RECONCILIATION | ||||||||||||
Basic earnings per common share are computed by dividing income allocated to common stockholders by the weighted-average number of common shares outstanding during each period. The computation of diluted earnings per common share considers the number of tax-effected shares issuable upon the assumed exercise of outstanding common stock options. Potentially dilutive common shares are excluded from the computation of diluted earnings per share in periods in which the effect would be antidilutive. For the years ended December 31, 2014, 2013, and 2012, shares deemed to be antidilutive, and thus excluded from the computation of earnings per common share were 213,000, 744,000, and 1.3 million,, respectively. | |||||||||||||
The table below shows earnings per common share and diluted earnings per common share and reconciles the numerator and denominator of both earnings per common share calculations. | |||||||||||||
For the Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(In thousands, except per share amounts) | |||||||||||||
Earnings per common share: | |||||||||||||
Net earnings | $ | 104,021 | $ | 95,608 | $ | 77,280 | |||||||
Less: Net earnings allocated to restricted stock | 544 | 298 | 247 | ||||||||||
Net earnings allocated to common shareholders | $ | 103,477 | $ | 95,310 | $ | 77,033 | |||||||
Weighted average shares outstanding | 105,239 | 104,729 | 104,419 | ||||||||||
Basic earnings per common share | $ | 0.98 | $ | 0.91 | $ | 0.74 | |||||||
Diluted earnings per common share: | |||||||||||||
Net income allocated to common shareholders | $ | 103,477 | $ | 95,310 | $ | 77,033 | |||||||
Weighted average shares outstanding | 105,239 | 104,729 | 104,419 | ||||||||||
Incremental shares from assumed exercise of outstanding options | 520 | 397 | 239 | ||||||||||
Diluted weighted average shares outstanding | 105,759 | 105,126 | 104,658 | ||||||||||
Diluted earnings per common share | $ | 0.98 | $ | 0.91 | $ | 0.74 | |||||||
Stock_Option_Plans_and_Restric
Stock Option Plans and Restricted Stock Awards | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Stock Option Plans and Restricted Stock Awards | 18. STOCK OPTION PLANS AND RESTRICTED STOCK AWARDS | ||||||||||||||||
In May 2008, the shareholders approved the 2008 Equity Incentive Plan which authorizes the issuance of up to 3,949,891 shares of Company common stock for grants of stock options and restricted stock to employees, officers, consultants and directors of the Company and its subsidiaries, and expires in 2018. The plan authorizes the issuance of incentive and non-qualified stock options, as well as, restricted stock awards. The 2008 Equity Incentive Plan replaced the 2000 Stock Option Plan. No further grants will be made under the 2000 Stock Option Plan, but shares may continue to be issued under such plan pursuant to grants previously made. As of December 31, 2014, we have 390,698 outstanding options under our 2000 Stock Option Plan. | |||||||||||||||||
Stock Options | |||||||||||||||||
The Company expensed $876,000, $850,000, and $1.1 million, for the years ended December 31, 2014, 2013 and 2012, respectively. | |||||||||||||||||
The estimated fair value of the options granted during 2014 and prior years was calculated using the Black-Scholes options pricing model. There were 169,000, 45,000 and 248,000 options granted during 2014, 2013, and 2012, respectively. The options will vest, in equal installments, over a five-year period. The fair value of each stock option granted in 2014, 2013, and 2012, was estimated on the date of grant using the following weighted-average assumptions: | |||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Dividend yield | 2.6 | % | 2.9 | % | 2.9 | % | |||||||||||
Volatility | 50.3 | % | 50.5 | % | 51 | % | |||||||||||
Risk-free interest rate | 1.5 | % | 1.2 | % | 1.1 | % | |||||||||||
Expected life | 6.3 years | 6.6 years | 6.8 years | ||||||||||||||
Weighted average grant date fair value | $ | 5.70 | $ | 4.68 | $ | 4.44 | |||||||||||
The expected volatility is solely based on the daily historical stock price volatility over the expected option life. The expected life of options granted is derived from the output of the option valuation model and represents the period of time an optionee will hold an option before exercising it. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury five-year constant maturity yield curve in effect at the time of the grant. The Company estimates its forfeiture rates based on its historical experience. The forfeiture rate for 2014 was 6.0%. | |||||||||||||||||
Option activity under the Company’s stock option plans as of and for the year ended December 31, 2014 was as follows: | |||||||||||||||||
Number of | Weighted | Weighted | Aggregate | ||||||||||||||
Stock | Average | Average | Intrinsic Value | ||||||||||||||
Options | Exercise Price | Remaining | (In thousands) | ||||||||||||||
Outstanding | Contractual | ||||||||||||||||
(In thousands) | Term | ||||||||||||||||
(In years) | |||||||||||||||||
Outstanding at January 1, 2014 | 2,106 | $ | 10.61 | ||||||||||||||
Granted | 169 | 14.8 | |||||||||||||||
Exercised | (512 | ) | 10.79 | ||||||||||||||
Forfeited or expired | (75 | ) | 11.83 | ||||||||||||||
Outstanding at December 31, 2014 | 1,688 | $ | 10.92 | 4.55 | $ | 8,618 | |||||||||||
Vested or expected to vest at December 31, 2014 | 1,646 | $ | 10.9 | 4.48 | $ | 8,431 | |||||||||||
Exercisable at December 31, 2014 | 1,317 | $ | 10.41 | 3.6 | $ | 7,390 | |||||||||||
The total intrinsic value of options exercised during the years ended December 31, 2014, 2013 and 2012 was $2.5 million, $1.4 million, and $618,000, respectively. | |||||||||||||||||
As of December 31, 2014, there was a total of $1.3 million in unrecognized compensation cost related to nonvested options granted under the Plan. That cost is expected to be recognized over a weighted-average period of approximately 3.4 years. The total fair value of options vested was $841,000, $918,000,, and $1.1 million during 2014, 2013, and 2012, respectively. Cash received from stock option exercises was $5.5 million, $4.5 million, and $2.6 million, in 2014, 2013, and 2012, respectively. | |||||||||||||||||
At December 31, 2014, options for the purchase of 1,688,326 shares of the Company’s common stock were outstanding under the above plans, of which options to purchase 1,316,726, shares were exercisable at prices ranging from $7.68 to $16.97. | |||||||||||||||||
The Company has a policy of issuing new shares to satisfy share option exercises. | |||||||||||||||||
Restricted Stock | |||||||||||||||||
Under the 2008 Equity Incentive Plan, the Company granted 400,000, 100,000, and 173,000 restricted stock awards during 2014, 2013, and 2012 respectively. . The weighted average grant date fair value of restricted stock awards granted in 2014, 2013, and 2012 was $14.78 per share, $13.25 per share, and $11.10 per share, respectively. These awards will vest, in equal installments, over a five-year period. | |||||||||||||||||
Compensation cost is recognized over the requisite service period, which is five years, and amounted to $2.1 million, $1.1 million and $911,000 during the years ended December 31, 2014, 2013 and 2012, respectively. Total unrecognized compensation cost related to restricted stock awards was $6.3 million at December 31, 2014. | |||||||||||||||||
Activity related to the Company’s non-vested restricted shares for the year ended December 31, 2013, is presented below: | |||||||||||||||||
Shares | Weighted | ||||||||||||||||
(In thousands) | Average Fair Value | ||||||||||||||||
Nonvested at January 1, 2014 | 311 | $ | 10.87 | ||||||||||||||
Granted | 400 | 14.78 | |||||||||||||||
Vested | (135 | ) | 10.31 | ||||||||||||||
Forfeited | (6 | ) | 11.41 | ||||||||||||||
Nonvested at December 31, 2014 | 570 | $ | 13.81 | ||||||||||||||
Under the 2008 Equity Incentive Plan, 1,021,822 shares of common stock were available for the granting of future options and restricted stock awards as of December 31, 2014. |
Regulatory_Matters
Regulatory Matters | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||||||||||||||||||
Regulatory Matters | 19. REGULATORY MATTERS | ||||||||||||||||||||||||||||||||
The Company (on a consolidated basis) and the Bank are subject to various regulatory capital requirements administered by the federal banking regulatory agencies. Failure to meet minimum capital requirements can initiate certain mandatory — and possibly additional discretionary — actions by regulators that, if undertaken, could have a direct, material effect on the Company’s and the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgment by the regulators about components, risk-weightings, and other factors. Prompt corrective action provisions are not applicable to bank holding companies. | |||||||||||||||||||||||||||||||||
Quantitative measures established by regulation to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios (set forth in the table below) of total and Tier 1 capital (primarily common stock and retained earnings, less goodwill) to risk-weighted assets, and of Tier 1 capital to average assets. Management believes that, as of December 31, 2014 and 2013, the Company and the Bank meet all capital adequacy requirements to which they are subject. | |||||||||||||||||||||||||||||||||
As of December 31, 2014 and 2013, the most recent notifications from the FDIC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the minimum total risk-based, Tier 1 risk-based, and Tier 1 leverage (tangible Tier 1 capital divided by average total assets) ratios as set forth in the table below must be maintained. There are no conditions or events since said notification that management believes have changed the Bank’s category. | |||||||||||||||||||||||||||||||||
As of December 31, 2014 and 2013, the Company had $25.0 million of trust-preferred securities, which were included in Tier 1 capital for regulatory purposes, respectively. The following table summarizes regulatory capital amounts and ratios for the Company and the Bank as of December 31, 2014, and 2013: | |||||||||||||||||||||||||||||||||
To Be Well Capitalized | |||||||||||||||||||||||||||||||||
For Capital | under Prompt Corrective | ||||||||||||||||||||||||||||||||
Actual | Adequacy Purposes | Action Provisions | |||||||||||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||||||||
As of December 31, 2014: | |||||||||||||||||||||||||||||||||
Total Capital (to Risk- Weighted Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 853,147 | 18.24 | % | $ | 374,144 | ³ | 8 | % | N/A | |||||||||||||||||||||||
Bank | $ | 845,951 | 18.11 | % | $ | 373,758 | ³ | 8 | % | $ | 467,197 | ³ | 10 | % | |||||||||||||||||||
Tier I Capital (to Risk- Weighted | |||||||||||||||||||||||||||||||||
Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 794,576 | 16.99 | % | $ | 187,072 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 787,439 | 16.85 | % | $ | 186,879 | ³ | 4 | % | $ | 280,318 | ³ | 6 | % | |||||||||||||||||||
Tier I Capital (to Average- Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 794,576 | 10.86 | % | $ | 292,615 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 787,439 | 10.77 | % | $ | 292,392 | ³ | 4 | % | $ | 365,490 | ³ | 5 | % | |||||||||||||||||||
As of December 31, 2013: | |||||||||||||||||||||||||||||||||
Total Capital (to Risk- Weighted Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 801,719 | 19.09 | % | $ | 336,008 | ³ | 8 | % | N/A | |||||||||||||||||||||||
Bank | $ | 794,239 | 18.93 | % | $ | 335,740 | ³ | 8 | % | $ | 419,675 | ³ | 10 | % | |||||||||||||||||||
Tier I Capital (to Risk- Weighted Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 748,825 | 17.83 | % | $ | 168,004 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 741,386 | 17.67 | % | $ | 167,870 | ³ | 4 | % | $ | 251,805 | ³ | 6 | % | |||||||||||||||||||
Tier I Capital (to Average- Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 748,825 | 11.3 | % | $ | 265,035 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 741,386 | 11.2 | % | $ | 264,893 | ³ | 4 | % | $ | 331,117 | ³ | 5 | % | |||||||||||||||||||
In addition, California Banking Law limits the amount of dividends a bank can pay without obtaining prior approval from bank regulators. Under this law, the Bank could, as of December 31, 2014, declare and pay additional dividends of approximately $98 million. |
Fair_Value_Information
Fair Value Information | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||
Fair Value Information | 20. FAIR VALUE INFORMATION | ||||||||||||||||||||
Fair Value Hierarchy | |||||||||||||||||||||
The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities. Available-for-sale investment securities are recorded at fair value on a recurring basis. The Company may be required to reflect other assets at fair value on a non-recurring basis, such as OREO, impaired loans, investment securities held-to-maturity, goodwill and identified intangible assets. Nonrecurring fair value measurements typically involve assets that are periodically evaluated for impairment and for which any impairment is recorded in the period in which the remeasurement is performed. These non-recurring fair value adjustments typically involve the lower-of-cost or fair value accounting for individual assets. | |||||||||||||||||||||
In accordance with the Fair Value Measurement and Disclosure topic of the Codification, the Company bases its fair values on the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. | |||||||||||||||||||||
The Company groups its assets and liabilities measured at fair value into a three-level hierarchy based on the markets in which the respective assets and liabilities are traded and the reliability of the assumptions used to determine the fair values. The following disclosure provides the fair value information for financial assets and liabilities as of December 31, 2014. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels (Level 1, Level 2, and Level 3). | |||||||||||||||||||||
• | Level 1 — Valuation is based upon quoted prices for identical instruments traded in active markets. Level 1 includes highly liquid assets such as cash and cash equivalents. | ||||||||||||||||||||
• | Level 2 — Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. | ||||||||||||||||||||
• | Level 3 — Valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect the Company’s own estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include use of option pricing models, discounted cash flows and similar techniques. | ||||||||||||||||||||
There were no transfers in and out of Levels 1, 2 or 3 measurement during the years ended December 31, 2014 and 2013. | |||||||||||||||||||||
Determination of Fair Value | |||||||||||||||||||||
The following is a description of valuation methodologies used for assets and liabilities recorded at fair value and for estimating fair value for financial instruments not recorded at fair value. | |||||||||||||||||||||
Cash and Cash Equivalents — The carrying amount of cash and cash equivalents is considered to approximate fair value due to the liquidity of these instruments. | |||||||||||||||||||||
Interest-Bearing Balances Due from Depository Institutions — The carrying value of due from depository institutions is considered to approximate fair value due to the short-term nature of these deposits. | |||||||||||||||||||||
FHLB Stock — The carrying amount of FHLB stock approximates fair value, as the stock may be sold back to the FHLB at carrying value. | |||||||||||||||||||||
Investment Securities Held–to–Maturity — Investment securities held-to-maturity are valued based upon quotes obtained from an independent third-party pricing service. The Company categorized its held-to-maturity investment as a level 3 valuation. | |||||||||||||||||||||
Investment Securities Available-for-Sale — Investment securities available-for-sale (“AFS”) are generally valued based upon quotes obtained from an independent third-party pricing service. This service uses evaluated pricing applications and model processes. Observable market inputs, such as, benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data are considered as part of the evaluation. The inputs are related directly to the security being evaluated, or indirectly to a similarly situated security. Market assumptions and market data are utilized in the valuation models. The Company reviews the market prices provided by the third-party pricing service for reasonableness based on the Company’s understanding of the market place and credit issues related to the securities. The Company has not made any adjustments to the market quotes provided by them and accordingly, the Company categorized its investment portfolio within Level 2 of the fair value hierarchy. | |||||||||||||||||||||
Loans Held-for-Sale — Loans held-for-sale are carried at the lower of cost or fair value. The fair value is derived from third party sale analysis, existing sale agreements, or appraisal reports on the loans’ underlying collateral. | |||||||||||||||||||||
Loans — The carrying amount of loans and lease finance receivables is their contractual amounts outstanding, reduced by deferred net loan origination fees, purchase price discounts and the allocable portion of the allowance for loan losses. | |||||||||||||||||||||
The fair value of loans, other than loans on nonaccrual status, was estimated by discounting the remaining contractual cash flows using the estimated current rate at which similar loans would be made to borrowers with similar credit risk characteristics and for the same remaining maturities, reduced by deferred net loan origination fees and the allocable portion of the allowance for loan losses. Accordingly, in determining the estimated current rate for discounting purposes, no adjustment has been made for any change in borrowers’ specific credit risks since the origination or purchase of such loans. Rather, the allocable portion of the allowance for loan losses and the purchase price discounts are considered to provide for such changes in estimating fair value. As a result, this fair value is not necessarily the value which would be derived using an exit price. These loans are included within Level 3 of the fair value hierarchy. | |||||||||||||||||||||
Impaired loans and OREO are generally measured using the fair value of the underlying collateral, which is determined based on the most recent appraisal information received, less costs to sell. Appraised values may be adjusted based on factors such as the changes in market conditions from the time of valuation or discounted cash flows of the property. As such, these loans and OREO fall within Level 3 of the fair value hierarchy. | |||||||||||||||||||||
The majority of our commitments to extend credit carry current market interest rates if converted to loans. Because these commitments are generally unassignable by either the borrower or us, they only have value to the borrower and us. The estimated fair value approximates the recorded deferred fee amounts and is excluded from the following table because it is not material. | |||||||||||||||||||||
Swaps — The fair value of the interest rate swap contracts are provided by our counterparty using a system that constructs a yield curve based on cash LIBOR rates, Eurodollar futures contracts, and 3-year through 30-year swap rates. The yield curve determines the valuations of the interest rate swaps. Accordingly, the swap is categorized as a Level 2 valuation. | |||||||||||||||||||||
Deposits & Borrowings — The amounts payable to depositors for demand, savings, and money market accounts, and short-term borrowings are considered to approximate fair value. The fair value of fixed-maturity certificates of deposit is estimated using the rates currently offered for deposits of similar remaining maturities. The fair value of long-term borrowings and junior subordinated debentures is estimated using the rates currently offered for borrowings of similar remaining maturities. Interest-bearing deposits and borrowings are included within Level 2 of the fair value hierarchy. | |||||||||||||||||||||
Accrued Interest Receivable/Payable — The amounts of accrued interest receivable on loans and lease finance receivables and investments and accrued interest payable on deposits and borrowings are considered to approximate fair value and are included within Level 2 of the fair value hierarchy. | |||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Recurring Basis | |||||||||||||||||||||
The tables below presents the balances of assets and liabilities measured at fair value on a recurring basis as of December 31, 2014 and 2013. | |||||||||||||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | ||||||||||||||||||
December 31, 2014 | Active Markets for | Observable Inputs | Unobservable | ||||||||||||||||||
Identical Assets | (Level 2) | Inputs (Level 3) | |||||||||||||||||||
(Level 1) | |||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Investment securities — AFS: | |||||||||||||||||||||
Government agency | $ | 330,843 | $ | — | $ | 330,843 | $ | — | |||||||||||||
Residential mortgage-backed securities | 1,917,496 | — | 1,917,496 | — | |||||||||||||||||
CMO’s / REMIC’s —residential | 304,091 | — | 304,091 | — | |||||||||||||||||
Municipal bonds | 579,641 | — | 579,641 | — | |||||||||||||||||
Other securities | 5,087 | — | 5,087 | — | |||||||||||||||||
Total investment securities — AFS | 3,137,158 | — | 3,137,158 | — | |||||||||||||||||
Interest rate swaps | 10,080 | — | 10,080 | — | |||||||||||||||||
Total assets | $ | 3,147,238 | $ | — | $ | 3,147,238 | $ | — | |||||||||||||
Description of liability | |||||||||||||||||||||
Interest rate swaps | $ | 10,080 | $ | — | $ | 10,080 | $ | — | |||||||||||||
Total liabilities | $ | 10,080 | $ | — | $ | 10,080 | $ | — | |||||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | ||||||||||||||||||
December 31, 2013 | Active Markets for | Observable Inputs | Unobservable | ||||||||||||||||||
Identical Assets | (Level 2) | Inputs | |||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Investment securities — AFS: | |||||||||||||||||||||
Government agency | $ | 326,525 | $ | — | $ | 326,525 | $ | — | |||||||||||||
Residential mortgage-backed securities | 1,379,943 | — | 1,379,943 | — | |||||||||||||||||
CMO’s / REMIC’s — residential | 366,175 | — | 366,175 | — | |||||||||||||||||
Municipal bonds | 586,091 | — | 586,091 | — | |||||||||||||||||
Other securities | 4,908 | — | 4,908 | — | |||||||||||||||||
Total investment securities —AFS | 2,663,642 | — | 2,663,642 | — | |||||||||||||||||
Interest rate swaps | 10,846 | — | 10,846 | — | |||||||||||||||||
Total assets | $ | 2,674,488 | $ | — | $ | 2,674,488 | $ | — | |||||||||||||
Description of liability | |||||||||||||||||||||
Interest rate swaps | $ | 10,846 | $ | — | $ | 10,846 | $ | — | |||||||||||||
Total liabilities | $ | 10,846 | $ | — | $ | 10,846 | $ | — | |||||||||||||
Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis | |||||||||||||||||||||
We may be required to measure certain 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 write-downs of individual assets. For assets measured at fair value on a non-recurring basis that were held on the balance sheet at December 31, 2014 and December 31, 2013, respectively, the following tables provide the level of valuation assumptions used to determine each adjustment and the carrying value of the related assets that had losses during the period. | |||||||||||||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | Total Losses | |||||||||||||||||
December 31, 2014 | Active Markets for | Observable Inputs | Unobservable | For the Year Ended | |||||||||||||||||
Identical Assets | (Level 2) | Inputs | December 31, 2014 | ||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Impaired loans, excluding PCI loans: | |||||||||||||||||||||
Commercial and industrial | $ | 1,911 | $ | — | $ | — | $ | 1,911 | $ | 771 | |||||||||||
SBA | 1,327 | — | — | 1,327 | 296 | ||||||||||||||||
Real estate: | |||||||||||||||||||||
Commercial real estate | 2,500 | — | — | 2,500 | 271 | ||||||||||||||||
Construction | — | — | — | — | — | ||||||||||||||||
SFR mortgage | — | — | — | — | — | ||||||||||||||||
Dairy & livestock and agribusiness | 103 | — | — | 103 | 1,061 | ||||||||||||||||
Consumer and other loans | 482 | — | — | 482 | 447 | ||||||||||||||||
Other real estate owned | — | — | — | — | — | ||||||||||||||||
Total assets | $ | 6,323 | $ | — | $ | — | $ | 6,323 | $ | 2,846 | |||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | Total Losses | |||||||||||||||||
December 31, 2013 | Active Markets for | Observable Inputs | Unobservable | For the Year Ended | |||||||||||||||||
Identical Assets | (Level 2) | Inputs | 31-Dec-13 | ||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Impaired loans, excluding PCI loans: | |||||||||||||||||||||
Commercial and industrial | $ | 529 | $ | — | $ | — | $ | 529 | $ | 627 | |||||||||||
Real estate: | |||||||||||||||||||||
Commercial real estate | — | — | — | — | — | ||||||||||||||||
Construction | — | — | — | — | — | ||||||||||||||||
SFR mortgage | — | — | — | — | — | ||||||||||||||||
Dairy & livestock and agribusiness | 11,899 | — | — | 11,899 | 2,096 | ||||||||||||||||
Consumer and other loans | 2 | — | — | 2 | 2 | ||||||||||||||||
Other real estate owned | 504 | — | — | 504 | 434 | ||||||||||||||||
Total assets | $ | 12,934 | $ | — | $ | — | $ | 12,934 | $ | 3,159 | |||||||||||
Fair Value of Financial Instruments | |||||||||||||||||||||
The following disclosure presents estimated fair value of financial instruments. The estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is required to develop the estimates of fair value. Accordingly, the estimates presented below are not necessarily indicative of the amounts the Company could have realized in a current market exchange as of December 31, 2014 and 2013, respectively. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. | |||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Total cash and cash equivalents | $ | 105,768 | $ | 105,768 | $ | — | $ | — | $ | 105,768 | |||||||||||
Interest-earning balances due from depository institutions | 27,118 | — | 27,118 | — | 27,118 | ||||||||||||||||
FHLB stock | 25,338 | — | 25,338 | — | 25,338 | ||||||||||||||||
Investment securities available-for-sale | 3,137,158 | — | 3,137,158 | — | 3,137,158 | ||||||||||||||||
Investment securities held-to-maturity | 1,528 | — | — | 2,177 | 2,177 | ||||||||||||||||
Loans held-for-sale | — | — | — | — | — | ||||||||||||||||
Total loans, net of allowance for loan losses | 3,757,242 | — | — | 3,794,454 | 3,794,454 | ||||||||||||||||
Accrued interest receivable | 23,194 | — | 23,194 | — | 23,194 | ||||||||||||||||
Swaps | 10,080 | — | 10,080 | — | 10,080 | ||||||||||||||||
Liabilities | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Noninterest-bearing | $ | 2,866,365 | $ | 2,866,365 | $ | — | $ | — | $ | 2,866,365 | |||||||||||
Interest-bearing | 2,738,293 | — | 2,739,221 | — | 2,739,221 | ||||||||||||||||
Borrowings | 809,106 | — | 822,607 | — | 822,607 | ||||||||||||||||
Junior subordinated debentures | 25,774 | — | 26,005 | — | 26,005 | ||||||||||||||||
Accrued interest payable | 1,161 | — | 1,161 | — | 1,161 | ||||||||||||||||
Swaps | 10,080 | — | 10,080 | — | 10,080 | ||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Total cash and cash equivalents | $ | 94,693 | $ | 94,693 | $ | — | $ | — | $ | 94,693 | |||||||||||
Interest-earning balances due from depository institutions | 70,000 | — | 70,000 | — | 70,000 | ||||||||||||||||
FHLB stock | 32,331 | — | 32,331 | — | 32,331 | ||||||||||||||||
Investment securities available-for-sale | 2,663,642 | — | 2,663,642 | — | 2,663,642 | ||||||||||||||||
Investment securities held-to-maturity | 1,777 | — | — | 2,296 | 2,296 | ||||||||||||||||
Loans held-for-sale | 3,667 | — | — | 8,897 | 8,897 | ||||||||||||||||
Total loans, net of allowance for loan losses | 3,470,996 | — | — | 3,527,725 | 3,527,725 | ||||||||||||||||
Accrued interest receivable | 22,051 | — | 22,051 | — | 22,051 | ||||||||||||||||
Swaps | 10,846 | — | 10,846 | — | 10,846 | ||||||||||||||||
Liabilities | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Noninterest-bearing | $ | 2,562,980 | $ | 2,562,980 | $ | — | $ | — | $ | 2,562,980 | |||||||||||
Interest-bearing | 2,327,651 | — | 2,328,488 | — | 2,328,488 | ||||||||||||||||
Borrowings | 911,457 | — | 932,408 | — | 932,408 | ||||||||||||||||
Junior subordinated debentures | 25,774 | — | 25,819 | — | 25,819 | ||||||||||||||||
Accrued interest payable | 1,111 | — | 1,111 | — | 1,111 | ||||||||||||||||
Swaps | 10,846 | — | 10,846 | — | 10,846 | ||||||||||||||||
The fair value estimates presented herein are based on pertinent information available to management as of December 31, 2014 and 2013. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since that date, and therefore, current estimates of fair value may differ significantly from the amounts presented above. |
Business_Segments
Business Segments | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||
Business Segments | 21. BUSINESS SEGMENTS | ||||||||||||||||||||
The Company has identified two principal reportable segments: Business Financial and Commercial Banking Centers (“Centers”) and the Treasury Department. The Company’s subsidiary bank has 40 Business Financial Centers and six Commercial Banking Centers organized in geographic regions, which are the focal points for customer sales and services. The Company utilizes an internal reporting system to measure the performance of various operating segments within the Bank which is the basis for determining the Bank’s reportable segments. The chief operating decision maker (currently our CEO) regularly reviews the financial information of these segments in deciding how to allocate resources and to assess performance. Business Financial and Commercial Banking Centers are considered one operating segment as their products and services are similar and are sold to similar types of customers, have similar production and distribution processes, have similar economic characteristics, and have similar reporting and organizational structures. The Treasury Department’s primary focus is managing the Bank’s investments, liquidity, and interest rate risk. Information related to the Company’s remaining operating segments, which include construction lending, dairy & livestock and agribusiness lending, leasing, CitizensTrust, and centralized functions have been aggregated and included in “Other.” In addition, the Company allocates internal funds transfer pricing to the segments using a methodology that charges users of funds interest expense and credits providers of funds interest income with the net effect of this allocation being recorded in administration. | |||||||||||||||||||||
The following table represents the selected financial information for these two business segments. GAAP does not have an authoritative body of knowledge regarding the management accounting used in presenting segment financial information. The accounting policies for each of the business units is the same as those policies identified for the consolidated Company and disclosed in Note 3—Summary of Significant Accounting Policies. The income numbers represent the actual income and expenses of each business unit. In addition, each segment has allocated income and expenses based on management’s internal reporting system, which allows management to determine the performance of each of its business units. Loan fees included in the Centers category are the actual loan fees paid to the Company by its customers. These fees are eliminated and deferred in the “Other” category, resulting in deferred loan fees for the consolidated financial statements. All income and expense items not directly associated with the two business segments are grouped in the “Other” category. Future changes in the Company’s management structure or reporting methodologies may result in changes in the measurement of operating segment results. | |||||||||||||||||||||
The following tables present the operating results and other key financial measures for the individual operating segments for the periods indicated: | |||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||
Centers | Treasury | Other | Eliminations | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Interest income, including loan fees | $ | 142,467 | $ | 71,369 | $ | 39,067 | $ | — | $ | 252,903 | |||||||||||
Credit for funds provided (1) | 31,188 | — | 46,770 | (77,958 | ) | — | |||||||||||||||
Total interest income | 173,655 | 71,369 | 85,837 | (77,958 | ) | 252,903 | |||||||||||||||
Interest expense | 6,494 | 9,590 | 305 | — | 16,389 | ||||||||||||||||
Charge for funds used (1) | 5,123 | 54,885 | 17,950 | (77,958 | ) | — | |||||||||||||||
Total interest expense | 11,617 | 64,475 | 18,255 | (77,958 | ) | 16,389 | |||||||||||||||
Net interest income | 162,038 | 6,894 | 67,582 | — | 236,514 | ||||||||||||||||
Provision for loan losses | — | — | (16,100 | ) | — | (16,100 | ) | ||||||||||||||
Net interest income after provision for loan losses | 162,038 | 6,894 | 83,682 | — | 252,614 | ||||||||||||||||
Noninterest income | 20,513 | — | 15,899 | — | 36,412 | ||||||||||||||||
Noninterest expense | 47,871 | 784 | 77,574 | — | 126,229 | ||||||||||||||||
Debt termination expense | — | — | — | — | — | ||||||||||||||||
Segment pre-tax profit | $ | 134,680 | $ | 6,110 | $ | 22,007 | $ | — | $ | 162,797 | |||||||||||
Segment assets as of December 31, 2014 | $ | 6,006,415 | $ | 3,268,551 | $ | 753,068 | $ | (2,650,114) | $ | 7,377,920 | |||||||||||
-1 | Credit for funds provided and charges for funds used are eliminated in the consolidated presentation. | ||||||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||
Centers | Treasury | Other | Eliminations | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Interest income, including loan fees | $ | 139,369 | $ | 53,234 | $ | 40,170 | $ | — | $ | 232,773 | |||||||||||
Credit for funds provided (1) | 26,754 | — | 41,987 | (68,741 | ) | — | |||||||||||||||
Total interest income | 166,123 | 53,234 | 82,157 | (68,741 | ) | 232,773 | |||||||||||||||
Interest expense | 6,138 | 9,700 | 670 | — | 16,507 | ||||||||||||||||
Charge for funds used (1) | 3,193 | 45,269 | 20,279 | (68,741 | ) | — | |||||||||||||||
Total interest expense | 9,331 | 54,969 | 20,949 | (68,741 | ) | 16,507 | |||||||||||||||
Net interest income | 156,793 | (1,735 | ) | 61,208 | — | 216,266 | |||||||||||||||
Provision for loan losses | — | — | (16,750 | ) | — | (16,750 | ) | ||||||||||||||
Net interest income after provision for loan losses | 156,793 | (1,735 | ) | 77,958 | — | 233,016 | |||||||||||||||
Noninterest income | 20,733 | 2,094 | 2,460 | — | 25,287 | ||||||||||||||||
Noninterest expense | 45,268 | 714 | 68,046 | — | 114,028 | ||||||||||||||||
Debt termination expense | — | — | — | — | — | ||||||||||||||||
Segment pre-tax profit | $ | 132,258 | $ | (355 | ) | $ | 12,372 | $ | — | $ | 144,275 | ||||||||||
Segment assets as of December 31, 2013 | $ | 5,405,939 | $ | 2,866,760 | $ | 710,844 | $ | (2,318,576) | $ | 6,664,967 | |||||||||||
-1 | Credit for funds provided and charges for funds used are eliminated in the consolidated presentation. | ||||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||
Centers | Treasury | Other | Eliminations | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Interest income, including loan fees | $ | 147,726 | $ | 56,559 | $ | 57,937 | $ | — | $ | 262,222 | |||||||||||
Credit for funds provided (1) | 25,764 | — | 31,505 | (57,269 | ) | — | |||||||||||||||
Total interest income | 173,490 | 56,559 | 89,442 | (57,269 | ) | 262,222 | |||||||||||||||
Interest expense | 7,162 | 15,396 | 2,714 | — | 25,272 | ||||||||||||||||
Charge for funds used (1) | 3,204 | 41,270 | 12,795 | (57,269 | ) | — | |||||||||||||||
Total interest expense | 10,366 | 56,666 | 15,509 | (57,269 | ) | 25,272 | |||||||||||||||
Net interest income | 163,124 | (107 | ) | 73,933 | — | 236,950 | |||||||||||||||
Provision for loan losses | — | — | — | — | — | ||||||||||||||||
Net interest income after provision for loan losses | 163,124 | (107 | ) | 73,933 | — | 236,950 | |||||||||||||||
Noninterest income | 22,807 | — | (6,904 | ) | — | 15,903 | |||||||||||||||
Noninterest expense | 44,780 | 729 | 72,272 | — | 117,781 | ||||||||||||||||
Debt termination expense | — | 20,379 | — | — | 20,379 | ||||||||||||||||
Segment pre-tax profit | $ | 141,151 | $ | (21,215 | ) | $ | (5,243 | ) | $ | — | $ | 114,693 | |||||||||
Segment assets as of December 31, 2012 | $ | 5,196,244 | $ | 2,642,445 | $ | 637,976 | $ | (2,113,301) | $ | 6,363,364 | |||||||||||
-1 | Credit for funds provided and charges for funds used are eliminated in the consolidated presentation. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||
Derivative Financial Instruments | 22. DERIVATIVE FINANCIAL INSTRUMENTS | ||||||||||||||||
The Bank is exposed to certain risks relating to its ongoing business operations and utilizes interest rate swap agreements (“swaps”) as part of its asset/liability management strategy to help manage its interest rate risk position. As of December 31, 2014, the Bank has entered into 76 interest-rate swap agreements with customers, all of which also involve a counterparty bank. The swap agreements are not designated as hedging instruments. The purpose of entering into offsetting derivatives not designated as a hedging instrument is to provide the Bank a variable-rate loan receivable and provide the customer the financial effects of a fixed-rate loan without creating significant volatility in the Bank’s earnings. | |||||||||||||||||
The structure of the swaps is as follows. The Bank enters into a swap with its customers to allow them to convert variable rate loans to fixed rate loans, and at the same time, the Bank enters into a swap with the counterparty bank to allow the Bank to pass on the interest-rate risk associated with fixed rate loans. The net effect of the transaction allows the Bank to receive interest on the loan from the customer at a variable rate based on LIBOR plus a spread. The changes in the fair value of the swaps primarily offset each other and therefore should not have a significant impact on the Company’s results of operations, although the Company does incur credit and counterparty risk with respect to performance on the swap agreements by the Bank’s customer and counterparty, respectively. Our interest rate swap derivatives are subject to a master netting arrangement with one counterparty bank. None of our derivative assets and liabilities are offset in the balance sheet. | |||||||||||||||||
We believe our risk of loss associated with our counterparty borrowers related to interest rate swaps is mitigated as the loans with swaps are underwritten to take into account potential additional exposure, although there can be no assurances in this regard since the performance of our swaps is subject to market and counterparty risk. | |||||||||||||||||
Balance Sheet Classification of Derivative Financial Instruments | |||||||||||||||||
As of December 31, 2014, and 2013, the total notional amount of the Company’s swaps was $197.4 million, and $221.5 million, respectively. The location of the asset and liability, and their respective fair values are summarized in the table below: | |||||||||||||||||
December 31, 2014 | |||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Location | Location | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||
Interest rate swaps | Other assets | $ | 10,080 | Other liabilities | $ | 10,080 | |||||||||||
Total derivatives | $ | 10,080 | $ | 10,080 | |||||||||||||
31-Dec-13 | |||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Location | Location | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||
Interest rate swaps | Other assets | $ | 10,846 | Other liabilities | $ | 10,846 | |||||||||||
Total derivatives | $ | 10,846 | $ | 10,846 | |||||||||||||
The Effect of Derivative Financial Instruments on the Consolidated Statements of Earnings | |||||||||||||||||
The following table summarizes the effect of derivative financial instruments on the consolidated statements of earnings for the years ended December 31, 2014, 2013, and 2012: | |||||||||||||||||
Derivatives Not | Location of Gain | Amount of Gain Recognized in | |||||||||||||||
Designated as Hedging | Recognized in Income on | Income on Derivative Instruments | |||||||||||||||
Instruments | Derivative Instruments | ||||||||||||||||
For the Year Ended Dec 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Interest rate swaps | Other income | $ | 133 | $ | — | $ | 1,252 | ||||||||||
Total | $ | 133 | $ | — | $ | 1,252 | |||||||||||
Other_Comprehensive_Income_Los
Other Comprehensive Income (Loss) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Equity [Abstract] | |||||||||||||
Other Comprehensive Income (Loss) | 23. OTHER COMPREHENSIVE INCOME (LOSS) | ||||||||||||
The tables below provide a summary of the components of OCI for the years ended December 31, 2014, 2013, and 2012: | |||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||
Before-Tax | Tax Effect | After-Tax | |||||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net change in fair value recorded in accumulated OCI | $ | 69,661 | $ | 29,256 | $ | 40,405 | |||||||
Net realized gains reclassified into earnings | — | — | — | ||||||||||
Net change | $ | 69,661 | $ | 29,256 | $ | 40,405 | |||||||
For the Year Ended December 31, 2013 | |||||||||||||
Before-Tax | Tax Effect | After-Tax | |||||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net change in fair value recorded in accumulated OCI | $ | -88,562 | $ | -37,196 | $ | -51,366 | |||||||
Net realized gains reclassified into earnings (1) | $ | (2,094 | ) | $ | -879 | $ | -1,215 | ||||||
Net change | $ | (90,656) | $ | (38,075) | $ | (52,581) | |||||||
For the Year Ended December 31, 2012 | |||||||||||||
Before-Tax | Tax Effect | After-Tax | |||||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net change in fair value recorded in accumulated OCI | $ | 3,074 | $ | 1,292 | $ | 1,782 | |||||||
Net change | $ | 3,074 | $ | 1,292 | $ | 1,782 | |||||||
-1 | Net realized gains are included in other income in the condensed consolidated statement of earnings and comprehensive income for the year ended December 31, 2013. | ||||||||||||
The following table provides a summary of the change in accumulated other comprehensive income for years ended December 31, 2014, and 2013: | |||||||||||||
Investment Securities | |||||||||||||
Available-for-Sale | |||||||||||||
(Dollars in thousands) | |||||||||||||
Balance, January 1, 2013 | $ | 43,251 | |||||||||||
Net change in fair value recorded in accumulated OCI | (52,581 | ) | |||||||||||
Balance, December 31, 2013 | $ | (9,330 | ) | ||||||||||
Net change in fair value recorded in accumulated OCI | 40,405 | ||||||||||||
Net realized gains reclassified into earnings | — | ||||||||||||
Balance, December 31, 2014 | $ | 31,075 | |||||||||||
Balance_Sheet_Offsetting
Balance Sheet Offsetting | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Text Block [Abstract] | |||||||||||||||||||||||||
Balance Sheet Offsetting | 24. BALANCE SHEET OFFSETTING | ||||||||||||||||||||||||
Assets and liabilities relating to certain financial instruments, including, derivatives and securities sold under repurchase agreements (“repurchase agreements”), may be eligible for offset in the consolidated balance sheets as permitted under accounting guidance. Our interest rate swap derivatives are subject to a master netting arrangement with one counterparty bank. Our interest rate swap derivatives require the Company to pledge investment securities as collateral based on certain risk thresholds. Investment securities that have been pledged by the Company to the counterparty bank continue to be reported in the Company’s consolidated balance sheets unless the Company defaults. In November 2006, we began a repurchase agreement product with our customers, which include master netting agreements that allow for the netting of collateral positions. This product, known as Citizens Sweep Manager, sells the Bank’s securities overnight to its customers under an agreement to repurchase them the next day. The repurchase agreements are not offset in the consolidated balances. | |||||||||||||||||||||||||
Gross Amounts | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | |||||||||||||||||||||
Recognized in the | offset in the | Assets Presented in | Condensed Consolidated | ||||||||||||||||||||||
Condensed | Condensed | the Condensed | Balance Sheets | ||||||||||||||||||||||
Consolidated | Consolidated | Consolidated | |||||||||||||||||||||||
Balance Sheets | Balance Sheets | Balance Sheets | Financial | Collateral | |||||||||||||||||||||
Instruments | Pledged | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,080 | $ | — | $ | — | $ | 10,080 | $ | — | $ | 10,080 | |||||||||||||
Total | $ | 10,080 | $ | — | $ | — | $ | 10,080 | $ | — | $ | 10,080 | |||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,200 | $ | (120 | ) | $ | 10,080 | $ | 120 | $ | (16,734 | ) | $ | (6,534 | ) | ||||||||||
Repurchase agreements | 563,627 | — | 563,627 | — | (624,578 | ) | (60,951 | ) | |||||||||||||||||
Total | $ | 573,827 | $ | (120 | ) | $ | 573,707 | $ | 120 | $ | (641,312 | ) | $ | (67,485 | ) | ||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,846 | $ | — | $ | — | $ | 10,846 | $ | — | $ | 10,846 | |||||||||||||
Total | $ | 10,846 | $ | — | $ | — | $ | 10,846 | $ | — | $ | 10,846 | |||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 12,908 | $ | (2,062 | ) | $ | 10,846 | $ | 2,062 | $ | (16,179 | ) | $ | (3,271 | ) | ||||||||||
Repurchase agreements | 643,251 | — | 643,251 | — | (649,385 | ) | (6,134 | ) | |||||||||||||||||
Total | $ | 656,159 | $ | (2,062) | $ | 654,097 | $ | 2,062 | $ | (665,564) | $ | (9,405) | |||||||||||||
Condensed_Financial_Informatio
Condensed Financial Information of Parent Company | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||||||
Condensed Financial Information of Parent Company | 25. CONDENSED FINANCIAL INFORMATION OF PARENT COMPANY | ||||||||||||
The parent company only condensed balance sheets as of December 31, 2014 and 2013 and the related condensed statements of earnings and condensed statements of cash flows for each of the three years ended December 31, 2014, 2013, and 2012 are presented below: | |||||||||||||
CVB FINANCIAL CORP. | |||||||||||||
CONDENSED BALANCE SHEETS | |||||||||||||
As of December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
(Dollars in thousands) | |||||||||||||
Assets | |||||||||||||
Investment in subsidiaries | $ | 895,972 | $ | 789,448 | |||||||||
Other assets, net | 19,069 | 19,120 | |||||||||||
Total assets | $ | 915,041 | $ | 808,568 | |||||||||
Liabilities | $ | 36,932 | $ | 36,681 | |||||||||
Stockholders’ equity | 878,109 | 771,887 | |||||||||||
Total liabilities and stockholders’ equity | $ | 915,041 | $ | 808,568 | |||||||||
CVB FINANCIAL CORP. | |||||||||||||
CONDENSED STATEMENTS OF EARNINGS | |||||||||||||
For the Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Dollars in thousands) | |||||||||||||
Excess in net earnings of subsidiaries | $ | 66,119 | $ | 33,149 | $ | (1,261 | ) | ||||||
Dividends from the Bank | 41,000 | 63,000 | 82,300 | ||||||||||
Other expense, net | (3,098 | ) | (541 | ) | (3,759 | ) | |||||||
Net earnings | $ | 104,021 | $ | 95,608 | $ | 77,280 | |||||||
CVB FINANCIAL CORP. | |||||||||||||
CONDENSED STATEMENTS OF CASH FLOWS | |||||||||||||
For the Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Dollars in thousands) | |||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||
Net earnings | $ | 104,021 | $ | 95,608 | $ | 77,280 | |||||||
Adjustments to reconcile net earnings to cash used in operating activities: | |||||||||||||
Earnings of subsidiaries | (107,119 | ) | (96,149 | ) | (81,039 | ) | |||||||
Tax settlement received from the Bank | 1,812 | 1,903 | 5,240 | ||||||||||
Stock-based compensation | 2,988 | 1,926 | 2,039 | ||||||||||
Other operating activities, net | (3,080 | ) | 241 | (1,717 | ) | ||||||||
Total adjustments | (105,399 | ) | (92,079 | ) | (75,477 | ) | |||||||
Net cash (used in) provided by operating activities | (1,378 | ) | 3,529 | 1,803 | |||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||
Dividends received from the Bank | 41,000 | 63,000 | 82,300 | ||||||||||
Net cash provided by investing activities | 41,000 | 63,000 | 82,300 | ||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||
Repayment of junior subordinated debentures | — | (41,238 | ) | (48,043 | ) | ||||||||
Cash dividends on common stock | (42,298 | ) | (29,939 | ) | (44,552 | ) | |||||||
Proceeds from exercise of stock options | 5,522 | 4,517 | 2,557 | ||||||||||
Tax benefit from exercise of stock options | 1,116 | 475 | 194 | ||||||||||
Repurchase of common stock | (5,474 | ) | (559 | ) | (54 | ) | |||||||
Net cash used in financing activities | (41,134 | ) | (66,744 | ) | (89,898 | ) | |||||||
NET DECREASE IN CASH AND CASH EQUIVALIENTS | (1,512 | ) | (215 | ) | (5,795 | ) | |||||||
CASH AND CASH EQUIVALENTS, beginning of year | 15,044 | 15,259 | 21,054 | ||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | 13,532 | $ | 15,044 | $ | 15,259 | |||||||
Quarterly_Financial_Data
Quarterly Financial Data | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Quarterly Financial Data | 26. QUARTERLY FINANCIAL DATA (UNAUDITED) | ||||||||||||||||
The following table sets forth our unaudited, quarterly results for the periods indicated: | |||||||||||||||||
For the Three Months Ended | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
(Dollars in thousands, except per share amounts) | |||||||||||||||||
2014 | |||||||||||||||||
Net interest income | $ | 56,942 | $ | 57,159 | $ | 61,238 | $ | 61,175 | |||||||||
Provision for loan losses | (7,500 | ) | (7,600 | ) | (1,000 | ) | — | ||||||||||
Net earnings | 28,661 | (25,484 | ) | 24,295 | 25,581 | ||||||||||||
Basic earnings per common share | 0.27 | 0.24 | 0.23 | 0.24 | |||||||||||||
Diluted earnings per common share | 0.27 | 0.24 | 0.23 | 0.24 | |||||||||||||
2013 | |||||||||||||||||
Net interest income | $ | 54,589 | $ | 52,595 | $ | 53,973 | $ | 55,109 | |||||||||
Provision for loan losses | — | (6,200 | ) | (3,750 | ) | (6,800 | ) | ||||||||||
Net earnings | 21,615 | 24,466 | 24,239 | 25,288 | |||||||||||||
Basic earnings per common share | 0.21 | 0.23 | 0.23 | 0.24 | |||||||||||||
Diluted earnings per common share | 0.21 | 0.23 | 0.23 | 0.24 | |||||||||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Accounting Policies [Abstract] | ||||
Reclassification | Reclassification — Certain amounts in the prior periods’ financial statements and related footnote disclosures have been reclassified to conform to the current presentation with no impact on previously reported net income or stockholders’ equity. | |||
Segments | Segments — The Company’s operating business units have been divided into two main segments: (i) Business Financial and Commercial Banking Centers (“Centers”) and (ii) Treasury. The Business Financial and Commercial Banking Centers lines of business generally consist of loans, deposits, and fee generating products and services that the Bank offers to its clients and prospects. The other segment is Treasury, which manages the investment portfolio of the Company. The Company’s remaining centralized functions and eliminations of inter-segment amounts have been aggregated and included in “Other.” | |||
The internal reporting of the Company considers all business units. Funds are allocated to each business unit based on its need to fund assets (use of funds) or its need to invest funds (source of funds). Net income is determined based on the actual net income of the business unit plus the allocated income or expense based on the sources and uses of funds for each business unit. Noninterest income and noninterest expense are those items directly attributable to a business unit. | ||||
Cash and cash equivalents | Cash and cash equivalents — Cash on hand, cash items in the process of collection, and amounts due from correspondent banks, the Federal Reserve Bank and interest-bearing balances due from depository institutions, with initial terms of ninety days or less, are included in Cash and cash equivalents. | |||
Investment Securities | Investment Securities — The Company classifies as held-to-maturity those debt securities that the Company has the positive intent and ability to hold to maturity. Securities classified as trading are those securities that are bought and held principally for the purpose of selling them in the near term. All other debt and equity securities are classified as available-for-sale. Securities held-to-maturity are accounted for at cost and adjusted for amortization of premiums and accretion of discounts. Trading securities are accounted for at fair value with the unrealized gains and losses being included in current earnings. Available-for-sale securities are accounted for at fair value, with the net unrealized gains and losses, net of income tax effects, presented as a separate component of stockholders’ equity. Realized gains and losses on sales of securities are recognized in earnings at the time of sale and are determined on a specific-identification basis. Purchase premiums and discounts are recognized in interest income using the effective-yield method over the terms of the securities. For mortgage-backed securities (“MBS”), the amortization or accretion is based on estimated average lives of the securities. The lives of these securities can fluctuate based on the amount of prepayments received on the underlying collateral of the securities. The Company’s investment in the Federal Home Loan Bank of San Francisco (“FHLB”) stock is carried at cost. | |||
At each reporting date, securities are assessed to determine whether there is an other-than-temporary impairment (“OTTI”). Other-than-temporary impairment on investment securities is recognized in earnings when there are credit losses on a debt security for which management does not intend to sell and for which it is more-likely-than-not that the Company will not have to sell prior to recovery of the noncredit impairment. In those situations, the portion of the total impairment that is attributable to the credit loss would be recognized in earnings, and the remaining difference between the debt security’s amortized cost and its fair value would be included in other comprehensive income. | ||||
Loans Held-for-Sale | Loans Held-for-Sale — Loans held-for-sale include loans transferred from our held-for-investment portfolio when a decision is made to sell a loan(s) and are reported at the lower of cost or fair value and if a reduction in value is required at time of the transfer, a charge-off is recorded against the allowance for loan losses (“ALLL”). Normally a formal marketing strategy or plan for sale is developed at the time the decision to sell the loan(s) is made. Any subsequent decline in value or any subsequent gain on sale of the loan(s) is recorded to current earnings and reported as part of other noninterest income. Gains or losses on the sale of loans that are held-for-sale are recognized at the time of sale and determined by the difference between net sale proceeds and the net book value of the loans. We do not currently retain servicing on any loans sold. | |||
Loans and Lease Finance Receivables | Loans and Lease Finance Receivables — Loans and lease finance receivables that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, less deferred net loan origination fees and purchase price discounts. Purchase Credit Impaired (“PCI”) loans are those loans that when we acquired them were deemed to be impaired. PCI loans are included in total loans and lease finance receivables as of December 31, 2014. Refer to Note 7, “Loans and Lease Finance Receivables” for total loans, excluding PCI loans, by type and to Note 6, — Acquired SJB Assets and FDIC Loss Sharing Asset for PCI loans by type. | |||
In the ordinary course of business, the Company enters into commitments to extend credit to its customers. To the extent that such commitments are unfunded, the related unfunded amounts are not reflected in the accompanying consolidated financial statements. | ||||
The Company receives collateral to support loans, lease finance receivables, and commitments to extend credit for which collateral is deemed necessary. The most significant categories of collateral are real estate, principally commercial and industrial income-producing properties, Small Business Administration (“SBA”) loans, real estate mortgages, assets utilized in dairy & livestock and agribusiness, and various personal property assets utilized in commercial and industrial business governed by the Uniform Commercial Code. | ||||
Nonrefundable fees and direct costs associated with the origination or purchase of loans are deferred and netted against outstanding loan balances. The deferred net loan fees and costs and purchase price discounts are recognized in interest income over the loan term using the effective-yield method. | ||||
Interest on loans and lease finance receivables, excluding PCI loans, is credited to income based on the principal amounts of such loans or receivables outstanding. Loans are considered delinquent when principal or interest payments are past due 30 days or more and generally remain on accrual status between 30 and 89 days past due. Interest income is not recognized on loans and lease finance receivables when collection of interest is deemed by management to be doubtful. Loans, excluding PCI loans, on which the accrual of interest has been discontinued are designated as nonaccrual loans. In general, the accrual of interest on loans, excluding PCI loans, is discontinued when the loan becomes 90 days past due, or when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Factors considered in determining that the full collection of principal and interest is no longer probable include cash flow and liquidity of the borrower or property, the financial position of the guarantors and their willingness to support the loan as well as other factors, and this determination involves significant judgment. When an asset is placed on nonaccrual status, previously accrued but unpaid interest is reversed against income. Subsequent collections of cash are applied as reductions to the principal balance unless the loan is returned to accrual status. Interest is not recognized using a cash-basis method. Nonaccrual loans may be restored to accrual status when principal and interest become current and when the borrower is able to demonstrate payment performance for a sustained period, typically for six months. A nonaccrual loan may return to accrual status sooner based on other significant events or mitigating circumstances. This policy is consistently applied to all classes of loans and lease finance receivables, excluding PCI loans. | ||||
Troubled Debt Restructurings | Troubled Debt Restructurings — Loans are reported as a Troubled Debt Restructuring (“TDR”) if the Company for economic or legal reasons related to the debtor’s financial difficulties grants a concession to the debtor that it would not otherwise consider. Types of modifications that may be considered concessions, which in turn result in a TDR include, but are not limited to, (i) a reduction of the stated interest rate for the remaining original life of the debt, (ii) an extension of the maturity date or dates at a stated interest rate lower than the current market rate for new debt with similar risk, (iii) a reduction of the face amount or maturity amount of the debt as stated in the instrument or other agreement, or (iv) a reduction of interest. As a result of these concessions, restructured loans are considered impaired, and the measurement of impairment is based on the Company’s policy for impaired loans. In addition, the Company may provide a concession to the debtor where it offers collateral and the value of such collateral is significant in proportion to the nature of the concession requested, and it substantially reduces the Company’s risk of loss. In such cases, these modifications are not considered a TDR as, in substance, no concession was made as a result of the significant additional collateral obtained. | |||
When determining whether or not a loan modification is a TDR under ASC 310-40, the Company evaluates loan modification requests from borrowers experiencing financial difficulties on a case-by-case basis. Any such modifications granted are unique to the borrower’s circumstances. Because of the Company’s focus on the commercial lending sector, each business customer has unique attributes, which in turn means that modifications of loans to those customers are not easily categorized by type, key features, or other terms, but are evaluated individually based on all relevant facts and circumstances pertaining to the modification request and the borrower’s/guarantor’s financial condition at the time of the request. The evaluation of whether or not a borrower is experiencing financial difficulties will include, among other relevant factors considered by the Company, a review of significant factors such as (i) whether the borrower is in default on any of its debt, (ii) whether the borrower is experiencing payment delinquency, (iii) whether the global cash flows of the borrower and the owner guarantor(s) of the borrower have diminished below what is necessary to service existing debt obligations, (iv) whether the borrowers’ forecasted cash flows will be insufficient to service the debt in future periods or in accordance with the contractual terms of the existing agreement through maturity, (v) whether the borrower is unable to refinance the subject debt from other financing sources with similar terms, and (vi) whether the borrower is in jeopardy as a going-concern and/or considering bankruptcy. In any case, the debtor is presumed to be experiencing financial difficulties if the Company determines it is probable the debtor will default on the original loan if the modification is not granted. | ||||
The types of loans subject to modification vary greatly, but during the subject period are concentrated in commercial and industrial loans, dairy and agricultural loans, and term loans to commercial real estate investors. Some examples of key features include payment deferrals and delays, interest rate reductions, and extensions or renewals where the contract rate may or may not be below the market rate of interest for debt with similar characteristics as those of the modified debt. The typical length of the modified terms ranges from three (3) to twelve (12) months; however, all actual modified terms will depend on the facts, circumstances and attributes of the specific borrower requesting a modification. In general, after a careful evaluation of all relevant facts and circumstances taken together, including the nature of any concession, certain modification requests will result in troubled debt restructurings while certain other modifications will not, pursuant to the criteria and judgments as discussed throughout this report. In certain cases, modification requests for delays or deferrals of principal were evaluated and determined to be exempt from TDR reporting because they constituted insignificant delays under ASC 310-40-15. | ||||
In situations where the Company has determined that the borrower is experiencing financial difficulties and is evaluating whether a concession is insignificant, and therefore does not result in a troubled debt restructuring, such analysis is based on an evaluation of both the amount and the timing of the restructured payments, including the following factors: | ||||
1 | Whether the amount of the restructured payments subject to delay is insignificant relative to the unpaid principal balance or collateral value of the debt and will result in an insignificant shortfall in the contractual amount due; and | |||
2 | The delay is insignificant relative to any of the following: | |||
• | The frequency of payments due; | |||
• | The debt’s original contractual maturity; or | |||
• | The debt’s original expected duration. | |||
Most modified loans not classified and accounted for as troubled debt restructurings were performing and paying as agreed under their original terms in the six-month period immediately preceding a request for modification. Subsequently, these modified loans have continued to perform under the modified terms and deferrals that amounted to insignificant delays, which in turn is supported by the facts and circumstances of each individual customer and loan as described above. Payment performance continues to be monitored once modifications are made. The Company’s favorable experience regarding “re-defaults” under modified terms, or upon return of the loan to its original terms, indicates that such relief may improve ultimate collection and reduces the Company’s risk of loss. | ||||
Impaired Loans | Impaired Loans — A loan is generally considered impaired when based on current events and information it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. A loan, including a restructured loan, for which there is an insignificant delay relative to the frequency of payments due, and/or the original contractual maturity, is not considered an impaired loan. Generally, impaired loans include loans on nonaccrual status and TDRs. | |||
The Company’s policy is to record a specific valuation allowance, which is included in the allowance for loan losses, or to charge off that portion of an impaired loan that represents the impairment or shortfall amount as determined utilizing one of the three methods described in ASC 310-10-35-22. Impairment on non-collateral dependent restructured loans is measured by comparing the present value of expected future cash flows on the restructured loans discounted at the interest rate of the original loan agreement to the loan’s carrying value. The impairment amount, if any, is generally charged off and recorded against the allowance for loan losses at the time impairment is measurable and a probable loss is determined. As a result, most of the TDRs have no specific allowance allocated because, consistent with the Company’s stated practice, any impairment is typically charged off in the period in which it is identified. The Company measures impairment based on the present value of expected future cash flows discounted at the loan’s effective interest rate, except that as a practical expedient, the Company may also measure impairment based on an observable market price for the loan, or the value of the collateral, for collateral dependent loans. Impairment on collateral dependent restructured loans is measured by determining the amount by which our recorded investment in the impaired loan exceeds the fair value of the collateral less estimated selling costs. The fair value is generally determined by one or more appraisals of the collateral, performed by a Company-approved third-party independent appraiser. The majority of impaired loans that are collateral dependent are charged off down to their estimated fair value of the collateral (less selling costs) at each reporting date based on current appraised value. | ||||
Appraisals of the collateral for impaired collateral dependent loans are typically ordered at the time the loan is identified as showing signs of inherent weakness. These appraisals are normally updated at least annually, or more frequently, if there are concerns or indications that the value of the collateral may have changed significantly since the previous appraisal. On an exception basis, a specific valuation allowance is recorded on collateral dependent impaired loans when a current appraisal is not yet available, a recent appraisal is still under review or on single-family mortgage loans if the loans are currently under review for a loan modification. Such valuation allowances are generally based on previous appraisals adjusted for current market conditions, based on preliminary appraisal values that are still being reviewed or for single-family loans under review for modification on an appraisal or indications of comparable home sales from external sources. | ||||
Charge-offs of unsecured consumer loans are recorded when the loan reaches 120 days past due or sooner as circumstances indicate. Except for the charge-offs of unsecured consumer loans, the charge-off policy is applied consistently across all portfolio segments. Impaired single-family mortgage loans that have been modified in accordance with the various government modification programs are also measured based on the present value of the expected cash flows discounted at the loan’s pre-modification interest rate. The Company recognizes the change in present value attributable to the passage of time as interest income on such performing single-family mortgage loans and the amount of interest income recognized to date has been insignificant. | ||||
Provision and Allowance for Loan Losses | Provision and Allowance for Loan Losses — The allowance for loan losses is management’s estimate of probable losses inherent in the loan and lease receivables portfolio. The allowance is increased by the provision for losses and decreased by charge-offs when management believes the uncollectability of a loan is confirmed. Subsequent recoveries, if any, are credited to the allowance. The determination of the balance in the allowance for loan losses is based on an analysis of the loan and lease finance receivables portfolio using a systematic methodology and reflects an amount that, in management’s judgment, is appropriate to provide for probable loan losses inherent in the portfolio, after giving consideration to the character of the loan portfolio, current economic conditions, past loan loss experience, and such other factors that would deserve current recognition in estimating inherent loan losses. | |||
There are different qualitative risks for the loans in each portfolio segment. The construction and real estate segments’ predominant risk characteristic is the collateral and the geographic location of the property collateralizing the loan as well as the operating cash flow for commercial real estate properties. The commercial and industrial segment’s predominant risk characteristics are the cash flows of the businesses we lend to, the global cash flows and liquidity of the guarantors of such losses, as well as economic and market conditions. The dairy & livestock segment’s predominant risk characteristics are milk and beef prices in the market as well as the cost of feed and cattle. The municipal lease segment’s predominant risk characteristics are the municipality’s general financial condition and tax revenues or if applicable the specific project related financial condition. The consumer, auto and other segment’s predominant risk characteristics are employment and income levels as they relate to consumers and cash flows of the businesses as they relate to equipment and vehicle leases to businesses. The Agribusiness segment’s predominant risk characteristics are the supply and demand conditions of the product, production seasonality, the scale of operations and ability to control costs, the availability and cost of water, and operator experience. | ||||
The Company’s methodology is consistently applied across all portfolio segments taking into account the applicable historical loss rates and the qualitative factors applicable to each pool of loans. A key factor in the Company’s methodology is the loan risk rating (Pass, Special Mention, Substandard, Doubtful and Loss). Loan risk ratings are updated as facts related to the loan or borrower become available. In addition, all term loans in excess of $1.0 million are subject to an annual internal credit review process where all factors underlying the loan, borrower and guarantors are subject to review which may result in changes to the loan’s risk rating. Periodically, we assess various attributes utilized in adjusting our historical loss factors to reflect our view of current economic conditions. The estimate is reviewed quarterly by the Board of Directors and management and periodically by various regulatory agencies and, as adjustments become necessary, they are reported in earnings in the periods in which they become known. | ||||
Our methodology for assessing the appropriateness of the allowance is conducted on a regular basis and considers the Bank’s overall loan portfolio. The Bank’s methodology consists of two major phases. | ||||
In the first phase, individual loans are reviewed to identify loans for impairment. Impairment is measured based on the Company’s policy for impaired loans for collateral dependent loans. If the Company determines that the fair value of the collateral is less than the recorded investment in the loan, the Company either recognizes an impairment reserve as a specific allowance, or charges off the impaired balance if it is determined that such amount represents a confirmed loss. Loans determined to be impaired are excluded from the formula allowance so as not to double count the loss exposure. | ||||
The second phase is conducted by evaluating or segmenting the remainder of the loan portfolio into groups or pools of loans with similar characteristics. In this second phase, groups or pools of homogeneous loans are reviewed to determine a portfolio formula allowance. In the case of the portfolio formula allowance, homogeneous portfolios, such as small business loans, consumer loans, agricultural loans, and real estate loans, are aggregated or pooled in determining the appropriate allowance. The risk assessment process in this case emphasizes trends in the different portfolios for delinquency, loss, and other behavioral characteristics of the subject portfolio over a relevant period. | ||||
Included in this second phase is our consideration of qualitative factors, including, all known relevant internal and external factors that may affect the collectability of a loan. This includes our estimates of the amounts necessary for concentrations, economic uncertainties, the volatility of the market value of collateral, and other relevant factors. These qualitative factors are used to adjust the historical loan loss rates for each pool of loans to determine the probable loan losses inherent in the portfolio. | ||||
Periodically, we assess various attributes utilized in adjusting our historical loss factors to reflect current economic conditions. The methodology is consistently applied across all the portfolio segments taking into account the applicable historical loss rates and the qualitative factors applicable to each pool of loans. | ||||
In the fourth quarter ended December 31, 2013, the Bank implemented a change in its methodology to calculate the Allowance for Loan and Lease Losses (“ALLL”). Previously, the Bank used an annual three-year look-back period of historical losses, segmented by loan type, with the loss factors updated annually to include the current year’s loss experience in the fourth quarter of each year. In the selection of an appropriate look-back period, management considered that its historical loss experience was low in the most recent three year period and higher in the past fourth and fifth year. The three-year average loss factor for 2011 to 2013 would have been less than the previously used 2010 to 2012 three-year average loss factor. External factors that were considered were the improving credit environment and the stabilizing economy. The impact on our methodology was to reduce the volatility of credit losses. In determining the look-back period, management considered the period used to develop the historical loss rate should be long enough to capture sufficient loss data. We determined that a rolling twenty quarters look-back period was appropriate as of December 31, 2013 because we believe it represents the best indicator of inherent losses within the loan portfolio as many of the economic factors in the early stages of the economic recovery still exist. | ||||
Purchase Credit Impaired Loans | Purchase Credit Impaired Loans — Purchase Credit Impaired (“PCI”) loans are those loans that we acquired in the San Joaquin Bank (“SJB”) acquisition for which we were “covered” for reimbursement for a substantial portion of any future losses under the terms of the FDIC loss sharing agreement. We account for PCI loans under ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality (“acquired impaired loan accounting”) when (i) we acquire loans deemed to be impaired when there is evidence of credit deterioration since their origination and it is probable at the date of acquisition that we would be unable to collect all contractually required payments and (ii) as a general policy election for non-impaired loans that we acquire in a distressed bank acquisition. Acquired impaired loans are accounted for individually or in pools of loans based on common risk characteristics. The excess of the loan’s or pool’s scheduled contractual principal and interest payments over all cash flows expected at acquisition is the nonaccretable difference. The remaining amount, representing the excess of the loan’s cash flows expected to be collected over the fair value is the accretable yield (accreted into interest income over the remaining life of the loan or pool). Refer to Note 6 — Acquired SJB Assets and FDIC Loss Sharing Asset for PCI loans by type at December 31, 2014. | |||
A provision for loan losses on the PCI portfolio will be recorded if there is deterioration in the expected cash flows on PCI loans as a result of deteriorated credit quality, compared to those previously. The portion of the loss on SJB loans reimbursable from the FDIC was recorded in noninterest income as a decrease in the FDIC loss sharing asset. Decreases in expected cash flows on the acquired impaired loans as of the measurement date compared to previously estimated are recognized by recording a provision for loan losses on acquired impaired loans. Loans accounted for as part of a pool are measured based on the expected cash flows of the entire pool. | ||||
FDIC Loss Sharing Asset | FDIC Loss Sharing Asset — On October 16, 2009, the Bank acquired substantially all of the assets and assumed substantially all of the liabilities of SJB from the FDIC in an FDIC-assisted transaction. The Bank entered into a loss sharing agreement with the FDIC, whereby the FDIC covered a substantial portion of any future losses on certain acquired assets. The acquired assets subject to the loss sharing agreement are referred to collectively as “covered assets” during the term of the indemnification agreement.” Under the terms of such loss sharing agreement, the FDIC absorbs 80% of losses and shares in 80% of loss recoveries up to $144.0 million with respect to “covered” assets, after a first loss amount of $26.7 million. The FDIC will reimburse the Bank for 95% of losses and share in 95% of loss recoveries in excess of $144.0 million with respect to covered assets. The loss sharing agreement covered 5 years for commercial loans and covers 10 years for single-family residential loans from the October 16, 2009 acquisition date and the loss recovery provisions are in effect for 8 and 10 years, respectively, for commercial and single-family residential loans from the acquisition date. | |||
The FDIC loss sharing asset was initially recorded at fair value which represents the present value of the estimated cash payments from the FDIC for future losses on covered loans. The ultimate collectability of this asset was dependent upon the performance of the underlying covered loans, the passage of time and claims paid by the FDIC. The loss estimates used in calculating the FDIC loss sharing asset were determined on the same basis as the loss estimates on the related covered loans and is the present value of the cash flows the Company expected to collect from the FDIC under the loss sharing agreement. The difference between the present value and the undiscounted cash flow the Company expected to collect from the FDIC was accreted (or amortized) into noninterest income over the life of the FDIC indemnification asset. The FDIC indemnification asset was adjusted for any changes in expected cash flows based on covered loan performance. Any increases in the cash flows of covered loans over those expected reduced the FDIC indemnification asset and any decreases in the cash flows of covered loans over those acquired decreased the FDIC indemnification asset, with the remaining balance amortized on the same basis as the discount, not to exceed its remaining contract life. These increases and decreases to the FDIC indemnification asset were recorded as adjustments to noninterest income. As the loss sharing agreement for commercial loans expired on October 16, 2014, the receivable at December 31, 2014 reflect amounts for which we expect reimbursement from the FDIC. | ||||
Other Real Estate Owned | Other Real Estate Owned — Other real estate owned (“OREO”) represents real estate acquired through foreclosure in lieu of repayment of commercial and real estate loans and is stated at fair value, less estimated costs to sell (fair value at time of foreclosure). Loan balances in excess of fair value of the real estate acquired at the date of acquisition are charged against the allowance for loan losses. Any subsequent operating expenses or income, reduction in estimated values, and gains or losses on disposition of such properties are charged to current operations. Gain recognition upon disposition of a property is dependent on the sale having met certain criteria relating to the buyer’s initial investment in the property sold. | |||
Premises and Equipment | Premises and Equipment — Premises and equipment are stated at cost, less accumulated depreciation, which is provided for in amounts sufficient to relate the cost of depreciable assets to operations over the estimated service lives of the respective asset and are computed on a straight-line basis. | |||
Long-lived assets are reviewed periodically for impairment when events or changes in circumstances indicate that the carrying amount may not be recoverable. The existence of impairment is based on undiscounted cash flows. To the extent impairment exists, the impairment is calculated as the difference in fair value of assets and their carrying value. The impairment loss, if any, would be recorded in noninterest expense. | ||||
Goodwill and Intangible Assets | Goodwill and Intangible Assets — Goodwill resulting from business combinations prior to January 1, 2009, represents the excess of the purchase price over the fair value of the net assets of the businesses acquired. Goodwill resulting from business combinations after January 1, 2009, is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any non-controlling interest in the acquiree, over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized, but tested for impairment at least annually, or more frequently if events and circumstances exist that indicate that a goodwill impairment test should be performed. | |||
Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Goodwill is the only intangible asset with an indefinite life on our balance sheets. Based on the Company’s annual impairment test, there was zero recorded impairment as of December 31, 2014. | ||||
Other intangible assets consist of core deposit intangible assets arising from business combinations and are amortized using an accelerated method over their estimated useful lives. | ||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments — We use fair value measurements to record fair value adjustments to certain financial instruments and to determine fair value disclosures. Investment securities available-for-sale and interest-rate swaps are financial instruments recorded at fair value on a recurring basis. Additionally, from time to time, we may be required to record at fair value other financial assets on a non-recurring basis, such as impaired loans and OREO. These nonrecurring fair value adjustments typically involve application of lower-of-cost-or-market accounting or write-downs of individual assets. Further, we include in Note 20 — Fair Value Information of the consolidated financial statements information about the extent to which fair value is used to measure assets and liabilities, the valuation methodologies used and its impact to earnings. Additionally, for financial instruments not recorded at fair value we disclose the estimate of their fair value. | |||
Bank Owned Life Insurance | Bank Owned Life Insurance — The Company invests in Bank-Owned Life Insurance (“BOLI”). BOLI involves the purchasing of life insurance by the Company on a select group of employees. The Company is the owner and primary beneficiary of these policies. BOLI is recorded as an asset at the cash surrender value. Increases in the cash value of these policies, as well as insurance proceeds received, are recorded in other noninterest income and are not subject to income tax. | |||
Income Taxes | Income Taxes — Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Future realization of deferred tax assets ultimately depends on the existence of sufficient taxable income of the appropriate character (for example, ordinary income or capital gain) within the carryback or carryforward periods available under the tax law. Based on historical and future expected taxable earnings and available strategies, the Company considers the future realization of these deferred tax assets more likely than not. | |||
The tax effects from an uncertain tax position are recognized in the financial statements only if, based on its merits, the position is more likely than not to be sustained on audit by the taxing authorities. Interest and penalties related to uncertain tax positions are recorded as part of other operating expense. | ||||
Earnings per Common Share | Earnings per Common Share — The Company calculates earnings per common share (“EPS”) using the two-class method. The two-class method requires the Company to present EPS as if all of the earnings for the period are distributed to common shareholders and any participating securities. All outstanding unvested share-based payment awards that contain rights to non-forfeitable dividends are considered participating securities. The Company grants restricted shares under the 2008 Equity Incentive Plan that qualify as participating securities. Restricted shares issued under this plan are entitled to dividends at the same rate as common stock. A reconciliation of the numerator and the denominator used in the computation of basic and diluted earnings per common share is included in Note 17 — Earnings Per Share Reconciliation of these consolidated financial statements. | |||
Stock-Based Compensation | Stock-Based Compensation — Consistent with the provisions of ASC 718, Stock Compensation, we recognize expense for the grant date fair value of stock options and restricted shares issued to employees, officers and non-employee directors over the their requisite service periods (generally the vesting period). The service periods may be subject to performance conditions. | |||
At December 31, 2014, the Company has three stock-based employee compensation plans. The Company accounts for stock compensation using the “modified prospective” method. Under this method, awards that are granted, modified, or settled after December 31, 2005, are measured at fair value as of the grant date with compensation costs recognized over the vesting period on a straight-lined basis. Also under this method, unvested stock awards as of January 1, 2006 are recognized over the remaining service period with no change in historical reported earnings. | ||||
The fair value of each stock option grant is estimated as of the grant date using the Black-Scholes option-pricing model. Management assumptions used at the time of grant impact the fair value of the option calculated under the Black-Scholes option-pricing model, and ultimately, the expense that will be recognized over the life of the option. | ||||
The grant date fair value of restricted stock awards is measured at the fair value of the Company’s common stock as if the restricted share was vested and issued on the date of grant. | ||||
Additional information is included in Note 18 — Stock Option Plans and Restricted Stock Awards of the consolidated financial statements included herein. | ||||
Derivative Financial Instruments | Derivative Financial Instruments — All derivative instruments, including certain derivative instruments embedded in other contracts, are recognized on the consolidated balance sheets at fair value. For derivatives designated as fair value hedges, changes in the fair value of the derivative and the hedged item related to the hedged risk are recognized in earnings. Changes in fair value of derivatives designated and accounted for as cash flow hedges, to the extent they are effective as hedges, are recorded in “Other Comprehensive Income,” net of deferred taxes, and are subsequently reclassified to earnings when the hedged transaction affects earnings. Any hedge ineffectiveness would be recognized in the income statement line item pertaining to the hedged item. | |||
Statement of Cash Flows | Statement of Cash Flows — Cash and cash equivalents as reported in the statements of cash flows include cash and due from banks, interest-bearing balances due from depository institutions and federal funds sold with original maturities of three months or less. Cash flows from loans and deposits are reported net. | |||
CitizensTrust | CitizensTrust — This division provides trust, investment and brokerage related services, as well as financial, estate and business succession planning services. CitizensTrust services its clients through three offices in Southern California: Pasadena, Ontario and Newport Beach. CitizensTrust has approximately $2.41 billion in assets under administration, including $1.87 billion in assets under management. The amount of these funds and the related liability have not been recorded in the accompanying consolidated balance sheets because they are not assets or liabilities of the Bank or Company, with the exception of any funds held on deposit with the Bank. | |||
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. A material estimate that is particularly susceptible to significant change in the near term relates to the determination of the allowance for loan losses. Other significant estimates which may be subject to change include fair value determinations and disclosures, impairment of investments, goodwill, loans, and valuation of deferred tax assets, other intangibles and OREO. | |||
Other Contingencies | Other Contingencies — In the ordinary course of business, the Company becomes involved in litigation. Based upon the Company’s internal records and discussions with legal counsel, the Company records reserves as appropriate, for estimates of the probable outcome of all cases brought against the Company. Except as discussed in Note 15 — Commitments and Contingencies at December 31, 2014, the Company does not have any litigation reserves and is not aware of any material pending legal action or complaints asserted against the Company. | |||
Recent Accounting Pronouncements | Recent Accounting Pronouncements — In January 2014, the FASB issued ASU No. 2014-01, “Investments — Equity Method and Joint Ventures (Topic 323) — Accounting for Investments in Qualified Affordable Housing Projects.” This ASU allows reporting entities to make an accounting policy election concerning investments in Low Income Housing Tax Credit (“LIHTC”) programs, that meet specified conditions, to present the net tax benefits (net of the amortization of the cost of the investment) within income tax expense. The cost of LIHTC investments, that meet the specified conditions, may be amortized in proportion to the total expected tax benefits, including the tax credits and other tax benefits, as they are realized on the tax return. This ASU is effective beginning after December 15, 2014. This ASU is required to be applied retrospectively, if investors elect the proportional amortization method. However, if investors have existing LIHTC investments accounted for under the effective-yield method at adoption, they may continue to apply that method for those existing investments. The adoption of this new guidance is not expected to have a material impact on the Company’s consolidated financial statements. | |||
In January 2014, the FASB issued ASU No. 2014-04, “Receivables — Troubled Debt Restructurings by Creditors (Subtopic 310-40) — Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans Upon Foreclosure.” This ASU clarifies when a creditor should reclassify mortgage loans collateralized by residential real estate from loans receivable to other real estate owned. ASU 2014-04 defines when an in-substance repossession or foreclosure has occurred and when a creditor is considered to have received physical possession of residential real estate collateralizing a mortgage loan. This ASU is effective for us on January 1, 2015 and can be applied either prospectively or using a modified retrospective transition method, and early adoption is permitted. The adoption of this new guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. This update to the ASC is the culmination of efforts by the FASB and the International Accounting Standards Board (IASB) to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards (IFRS). ASU 2014-09 supersedes Topic 605 — Revenue Recognition and most industry-specific guidance. The core principal of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance in ASU 2014-09 describes a 5-step process entities can apply to achieve the core principle of revenue recognition and requires disclosures sufficient to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers and the significant judgments used in determining that information. The amendments in ASU 2014-9 are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period and early application is not allowed. The adoption of this new guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In June 2014, the FASB issued ASU No. 2014-12, “Compensation — Stock Compensation (Topic 718) — Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Services Period”. The amendments in ASU 2014-12 provide guidance for determining compensation cost under specific circumstances when an employee is eligible to vest in an award regardless of whether the employee is rendering service on the date the performance target is achieved. ASU 2014-12 becomes effective for annual and interim periods beginning after December 15, 2015 with early adoption permitted. The Company is currently evaluating the effects of ASU 2014-12 on its consolidated financial statements and disclosures, if any. | ||||
In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements — Going Concern (Subtopic 205-40) — Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern”. The new guidance addresses management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Management’s evaluation should be based on relevant conditions and events that are known and reasonably knowable at the date that the financial statements are issued. ASU 2014-15 will be effective for the first interim period within annual reporting periods beginning after December 15, 2016. Early adoption is permitted. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
In February 2015, the FASB issued ASU No. 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis”. The new guidance reduces the number of consolidation models from four to two as well as simplifies the FASB Accounting Standards Codification and improves GAAP by placing more of an emphasis on risk of loss when determining a controlling financial interest, reducing the frequency of the application of related party guidance when determining a controlling financial interest in a variable interest entity (VIE), and changing the consolidation conclusions for public and private companies in several industries that typically make use of VIE’s. ASU 2015-02 will be effective for the first interim period within annual reporting periods beginning after December 15, 2016. Early adoption is permitted. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. | ||||
Fair Value Hierarchy | Fair Value Hierarchy | |||
The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities. Available-for-sale investment securities are recorded at fair value on a recurring basis. The Company may be required to reflect other assets at fair value on a non-recurring basis, such as OREO, impaired loans, investment securities held-to-maturity, goodwill and identified intangible assets. Nonrecurring fair value measurements typically involve assets that are periodically evaluated for impairment and for which any impairment is recorded in the period in which the remeasurement is performed. These non-recurring fair value adjustments typically involve the lower-of-cost or fair value accounting for individual assets. | ||||
In accordance with the Fair Value Measurement and Disclosure topic of the Codification, the Company bases its fair values on the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. | ||||
The Company groups its assets and liabilities measured at fair value into a three-level hierarchy based on the markets in which the respective assets and liabilities are traded and the reliability of the assumptions used to determine the fair values. The following disclosure provides the fair value information for financial assets and liabilities as of December 31, 2014. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels (Level 1, Level 2, and Level 3). | ||||
• | Level 1 — Valuation is based upon quoted prices for identical instruments traded in active markets. Level 1 includes highly liquid assets such as cash and cash equivalents. | |||
• | Level 2 — Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. | |||
• | Level 3 — Valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect the Company’s own estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include use of option pricing models, discounted cash flows and similar techniques. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||
Dec. 31, 2014 | |||
Accounting Policies [Abstract] | |||
Summary of Useful Lives of Principal Classes of Assets | The ranges of useful lives of the principal classes of assets are as follows: | ||
Bank premises | 15 – 40 years | ||
Leasehold improvements | Shorter of estimated economic lives of 15 years or term of the lease. | ||
Computer equipment | 3 – 5 years | ||
Furniture, fixtures and equipment | 5 – 7 years |
Investment_Securities_Tables
Investment Securities (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Summary of Amortized Cost and Estimated Fair Value of Investment Securities | The majority of securities held are publicly traded, and the estimated fair values were obtained from an independent pricing service based upon market quotes. | ||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Fair | Total | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | Percent | |||||||||||||||||||||
Holding Gain | Holding Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 339,071 | $ | — | $ | (8,228 | ) | $ | 330,843 | 10.55 | % | ||||||||||||||
Residential mortgage-backed securities | 1,884,370 | 36,154 | (3,028 | ) | 1,917,496 | 61.12 | % | ||||||||||||||||||
CMOs / REMICs — residential | 297,318 | 7,050 | (277 | ) | 304,091 | 9.69 | % | ||||||||||||||||||
Municipal bonds | 557,823 | 22,463 | (645 | ) | 579,641 | 18.48 | % | ||||||||||||||||||
Other securities | 5,000 | 87 | — | 5,087 | 0.16 | % | |||||||||||||||||||
Total | $ | 3,083,582 | $ | 65,754 | $ | (12,178) | $ | 3,137,158 | 100 | % | |||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized Cost | Gross | Gross | Fair | Total | |||||||||||||||||||||
Unrealized | Unrealized | Value | Percent | ||||||||||||||||||||||
Holding Gain | Holding Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 350,378 | $ | 22 | $ | (23,875 | ) | $ | 326,525 | 12.26 | % | ||||||||||||||
Residential mortgage-backed securities | 1,391,631 | 13,100 | (24,788 | ) | 1,379,943 | 51.81 | % | ||||||||||||||||||
CMOs / REMICs — residential | 361,573 | 6,576 | (1,974 | ) | 366,175 | 13.75 | % | ||||||||||||||||||
Municipal bonds | 571,145 | 18,839 | (3,893 | ) | 586,091 | 22 | % | ||||||||||||||||||
Other securities | 5,000 | — | (92 | ) | 4,908 | 0.18 | % | ||||||||||||||||||
Total | $ | 2,679,727 | $ | 38,537 | $ | (54,622) | $ | 2,663,642 | 100 | % | |||||||||||||||
Summary of Continuous Unrealized Loss Position of Securities | The tables below show the Company’s investment securities’ gross unrealized losses and fair value by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2014, and 2013. Management has reviewed individual securities to determine whether a decline in fair value below the amortized cost basis is other-than-temporary. | ||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Holding | Holding | Holding | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 22,224 | $ | 28 | $ | 307,873 | $ | 8,200 | $ | 330,097 | $ | 8,228 | |||||||||||||
Residential mortgage-backed securities | 19,636 | 4 | 145,681 | 3,024 | 165,317 | 3,028 | |||||||||||||||||||
CMOs /REMICs — residential | — | — | 31,143 | 277 | 31,143 | 277 | |||||||||||||||||||
Municipal bonds | 1,953 | 23 | 24,812 | 622 | 26,765 | 645 | |||||||||||||||||||
Other securities | — | — | — | — | — | — | |||||||||||||||||||
Total | $ | 43,813 | $ | 55 | $ | 509,509 | $ | 12,123 | $ | 553,322 | $ | 12,178 | |||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Holding | Holding | Holding | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Available-for-sale: | |||||||||||||||||||||||||
Government agency | $ | 267,936 | $ | 20,514 | $ | 38,563 | $ | 3,361 | $ | 306,499 | $ | 23,875 | |||||||||||||
Residential mortgage-backed securities | 851,621 | 23,313 | 22,999 | 1,475 | 874,620 | 24,788 | |||||||||||||||||||
CMOs / REMICs — residential | 104,322 | 1,780 | 17,747 | 194 | 122,069 | 1,974 | |||||||||||||||||||
Municipal bonds | 47,116 | 3,359 | 10,338 | 534 | 57,454 | 3,893 | |||||||||||||||||||
Other securities | 4,908 | 92 | — | — | 4,908 | 92 | |||||||||||||||||||
Total | $ | 1,275,903 | $ | 49,058 | $ | 89,647 | $ | 5,564 | $ | 1,365,550 | $ | 54,622 | |||||||||||||
Summary of Amortized Cost and Fair Value of Debt Securities by Contractual Maturity | Mortgage-backed securities and CMO/REMICs are included in maturity categories based upon estimated prepayment speeds. | ||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Amortized Cost | Fair Value | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Available-for-sale: | |||||||||||||||||||||||||
Due in one year or less | $ | 156,040 | $ | 159,389 | |||||||||||||||||||||
Due after one year through five years | 2,056,835 | 2,107,877 | |||||||||||||||||||||||
Due after five years through ten years | 757,260 | 754,160 | |||||||||||||||||||||||
Due after ten years | 113,447 | 115,732 | |||||||||||||||||||||||
Total | $ | 3,083,582 | $ | 3,137,158 | |||||||||||||||||||||
Acquired_SJB_Assets_and_FDIC_L1
Acquired SJB Assets and FDIC Loss Sharing Asset (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Text Block [Abstract] | |||||||||
Summary of PCI Loans and Lease Finance Receivables | The following tables provide a summary of PCI loans and lease finance receivables by type and their credit quality indicators as of December 31, 2014 and 2013, respectively: | ||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Commercial and industrial | $ | 14,605 | $ | 19,047 | |||||
SBA | 1,110 | 1,414 | |||||||
Real estate: | |||||||||
Commercial real estate | 109,350 | 141,141 | |||||||
Construction | — | 644 | |||||||
SFR mortgage | 205 | 313 | |||||||
Dairy & livestock and agribusiness | 4,890 | 6,000 | |||||||
Municipal lease finance receivables | — | — | |||||||
Consumer and other loans | 3,336 | 4,545 | |||||||
Gross PCI loans | 133,496 | 173,104 | |||||||
Less: Purchase accounting discount | (7,129 | ) | (12,789 | ) | |||||
Gross PCI loans, net of discount | 126,367 | 160,315 | |||||||
Less: Allowance for PCI loan losses | — | — | |||||||
Net PCI loans | $ | 126,367 | $ | 160,315 | |||||
Summary of PCI Loans by Internal Risk Ratings | The following table summarizes PCI loans by internal risk ratings by loan class as of December 31, 2014 and 2013: | ||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Pass | $ | 26,706 | $ | 38,961 | |||||
Watch list | 77,371 | 74,369 | |||||||
Special mention | 8,203 | 15,492 | |||||||
Substandard | 21,216 | 44,241 | |||||||
Doubtful & loss | — | 41 | |||||||
Total PCI gross loans | $ | 133,496 | $ | 173,104 | |||||
Summary of Activity Related to FDIC Loss Sharing Asset | The following table summarizes the activity related to the FDIC loss sharing asset for the years ended December 31, 2014 and 2013: | ||||||||
For the Year Ended December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Balance, beginning of period | $ | 4,764 | $ | 18,489 | |||||
FDIC share of additional losses, net of recoveries | 342 | (81 | ) | ||||||
Cash paid to (received from) FDIC, net | 1,134 | (4 | ) | ||||||
Net amortization (1) | (3,932 | ) | (12,779 | ) | |||||
Other reductions, net | (2,009 | ) | (861 | ) | |||||
Balance, end of period | $ | 299 | $ | 4,764 | |||||
-1 | Net amortization included accelerated amortization as a result of loans being paid off in full, sold, or transferred to OREO. |
Loans_and_Lease_Finance_Receiv1
Loans and Lease Finance Receivables and Allowance for Loans Losses (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||
Summary of Components of Loan and Lease Finance Receivables, Excluding PCI Loans | The following table provides a summary of total loans and lease finance receivables, excluding PCI loans, by type: | ||||||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 390,011 | $ | 376,800 | |||||||||||||||||||||
SBA | 134,265 | 135,992 | |||||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 2,487,803 | 2,207,515 | |||||||||||||||||||||||
Construction | 55,173 | 47,109 | |||||||||||||||||||||||
SFR mortgage | 205,124 | 189,233 | |||||||||||||||||||||||
Dairy & livestock and agribusiness | 279,173 | 294,292 | |||||||||||||||||||||||
Municipal lease finance receivables | 77,834 | 89,106 | |||||||||||||||||||||||
Consumer and other loans | 69,884 | 55,103 | |||||||||||||||||||||||
Gross loans, excluding PCI loans, | 3,699,267 | 3,395,150 | |||||||||||||||||||||||
Less: | |||||||||||||||||||||||||
Deferred loan fees, net | (8,567 | ) | (9,234 | ) | |||||||||||||||||||||
Gross loans, excluding PCI loans, net of deferred loan fees | 3,690,700 | 3,385,916 | |||||||||||||||||||||||
Less: Allowance for loan losses | (59,825 | ) | (75,235 | ) | |||||||||||||||||||||
Net loans, excluding PCI loans | 3,630,875 | 3,310,681 | |||||||||||||||||||||||
PCI Loans | 133,496 | 173,104 | |||||||||||||||||||||||
Discount on PCI loans | (7,129 | ) | (12,789 | ) | |||||||||||||||||||||
PCI loans, net | 126,367 | 160,315 | |||||||||||||||||||||||
Total loans and lease finance receivables | $ | 3,757,242 | $ | 3,470,996 | |||||||||||||||||||||
Summary of Activity Related to Loans Held-for-Sale | The following table provides a summary of the activity related to loans held-for-sale for the years ended December 31, 2014 and 2013: | ||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Balance, beginning of period | $ | 3,667 | $ | — | |||||||||||||||||||||
Originations of mortgage loans | — | 485 | |||||||||||||||||||||||
Sales of mortgage loans | — | (485 | ) | ||||||||||||||||||||||
Transfer of mortgage loans to held for investment | — | — | |||||||||||||||||||||||
Sales of other loans | (3,667 | ) | — | ||||||||||||||||||||||
Transfers of other loans to held-for-sale | — | 3,667 | |||||||||||||||||||||||
Write-down of loans held-for-sale | — | — | |||||||||||||||||||||||
Balance, end of period | $ | — | $ | 3,667 | |||||||||||||||||||||
Summary of Loan, Excluding PCI Loans by Internal Risk Ratings | The following table summarizes each class of loans, excluding PCI loans, according to internal risk ratings as of December 31, 2014 and 2013: | ||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Pass | Watch List | Special | Substandard | Doubtful & | Total | ||||||||||||||||||||
Mention | Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 234,029 | $ | 105,904 | $ | 33,795 | $ | 16,031 | $ | 252 | $ | 390,011 | |||||||||||||
SBA | 84,769 | 24,124 | 15,858 | 7,920 | 1,594 | 134,265 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 552,072 | 159,908 | 46,248 | 32,139 | — | 790,367 | |||||||||||||||||||
Non-owner occupied | 1,347,006 | 241,809 | 56,353 | 52,268 | — | 1,697,436 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 28,310 | 613 | — | 7,651 | — | 36,574 | |||||||||||||||||||
Non-speculative | 18,071 | 528 | — | — | — | 18,599 | |||||||||||||||||||
SFR mortgage | 174,311 | 20,218 | 2,442 | 8,153 | — | 205,124 | |||||||||||||||||||
Dairy & livestock and agribusiness | 174,783 | 85,660 | 8,612 | 10,015 | 103 | 279,173 | |||||||||||||||||||
Municipal lease finance receivables | 35,463 | 22,349 | 20,022 | — | — | 77,834 | |||||||||||||||||||
Consumer and other loans | 62,904 | 2,233 | 1,789 | 2,763 | 195 | 69,884 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 2,711,718 | $ | 663,346 | $ | 185,119 | $ | 136,940 | $ | 2,144 | $ | 3,699,267 | |||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Pass | Watch List | Special | Substandard | Doubtful & | Total | ||||||||||||||||||||
Mention | Loss | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 228,976 | $ | 100,016 | $ | 38,219 | $ | 9,560 | $ | 29 | $ | 376,800 | |||||||||||||
SBA | 83,951 | 28,052 | 15,198 | 8,390 | 401 | 135,992 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 449,853 | 147,165 | 74,999 | 57,934 | — | 729,951 | |||||||||||||||||||
Non-owner occupied | 1,104,065 | 242,431 | 81,088 | 49,980 | — | 1,477,564 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 8,611 | 21 | 1,529 | 17,617 | — | 27,778 | |||||||||||||||||||
Non-speculative | 6,940 | 3,190 | — | 9,201 | — | 19,331 | |||||||||||||||||||
SFR mortgage | 152,500 | 20,485 | 3,302 | 12,946 | — | 189,233 | |||||||||||||||||||
Dairy & livestock and agribusiness | 43,588 | 86,580 | 92,514 | 69,005 | 2,605 | 294,292 | |||||||||||||||||||
Municipal lease finance receivables | 43,445 | 18,338 | 20,893 | 6,430 | — | 89,106 | |||||||||||||||||||
Consumer and other loans | 43,225 | 6,938 | 3,449 | 1,491 | — | 55,103 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 2,165,154 | $ | 653,216 | $ | 331,191 | $ | 242,554 | $ | 3,035 | $ | 3,395,150 | |||||||||||||
Schedule of Balance and Activity Related to Allowance for Loan Losses for Held-for-Investment Loans, Excluding PCI Loans by Portfolio Segment | The following tables present the balance and activity related to the allowance for loan losses for held-for-investment loans, excluding PCI loans, by portfolio segment as of December 31, 2014, 2013 and 2012: | ||||||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||||||
Ending | Charge-offs | Recoveries | (Recapture | Ending | |||||||||||||||||||||
Balance | of) | Balance | |||||||||||||||||||||||
December 31, | Provision for | December 31, | |||||||||||||||||||||||
2013 | Loan Losses | 2014 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 8,502 | $ | (888 | ) | $ | 873 | $ | (1,413 | ) | $ | 7,074 | |||||||||||||
SBA | 2,332 | (50 | ) | 114 | 161 | 2,557 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 39,402 | (353 | ) | 140 | (5,816 | ) | 33,373 | ||||||||||||||||||
Construction | 1,305 | — | 885 | (1,202 | ) | 988 | |||||||||||||||||||
SFR mortgage | 2,718 | — | 401 | (775 | ) | 2,344 | |||||||||||||||||||
Dairy & livestock and agribusiness | 11,728 | (1,061 | ) | 492 | (5,680 | ) | 5,479 | ||||||||||||||||||
Municipal lease finance receivables | 2,335 | — | — | (923 | ) | 1,412 | |||||||||||||||||||
Consumer and other loans | 960 | (17 | ) | 154 | 165 | 1,262 | |||||||||||||||||||
Unallocated | 5,953 | — | — | (617 | ) | 5,336 | |||||||||||||||||||
Total allowance for loan losses | $ | 75,235 | $ | (2,369 | ) | $ | 3,059 | $ | (16,100 | ) | $ | 59,825 | |||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||||||
Ending | Charge-offs | Recoveries | (Recapture | Ending | |||||||||||||||||||||
Balance | of) | Balance | |||||||||||||||||||||||
December 31, | Provision for | December 31, | |||||||||||||||||||||||
2012 | Loan Losses | 2013 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 8,901 | $ | (2,491 | ) | $ | 544 | $ | 1,548 | $ | 8,502 | ||||||||||||||
SBA | 2,751 | — | 215 | (634 | ) | 2,332 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 47,457 | — | 402 | (8,457 | ) | 39,402 | |||||||||||||||||||
Construction | 2,291 | — | 703 | (1,689 | ) | 1,305 | |||||||||||||||||||
SFR mortgage | 3,448 | (252 | ) | 367 | (845 | ) | 2,718 | ||||||||||||||||||
Dairy & livestock and agribusiness | 18,696 | — | 109 | (7,077 | ) | 11,728 | |||||||||||||||||||
Municipal lease finance receivables | 1,588 | — | — | 747 | 2,335 | ||||||||||||||||||||
Consumer and other loans | 1,170 | (108 | ) | 55 | (157 | ) | 960 | ||||||||||||||||||
Unallocated | 6,139 | — | — | (186 | ) | 5,953 | |||||||||||||||||||
Total allowance for loan losses | $ | 92,441 | $ | (2,851 | ) | $ | 2,395 | $ | (16,750 | ) | $ | 75,235 | |||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||
Ending | Charge-offs | Recoveries | (Recapture | Ending | |||||||||||||||||||||
Balance | of) | Balance | |||||||||||||||||||||||
December 31, | Provision for | December 31, | |||||||||||||||||||||||
2011 | Loan Losses | 2012 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 8,030 | $ | (1,158 | ) | $ | 876 | $ | 1,153 | $ | 8,901 | ||||||||||||||
SBA | 2,624 | (101 | ) | 404 | (176 | ) | 2,751 | ||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 47,841 | (1,873 | ) | 514 | 975 | 47,457 | |||||||||||||||||||
Construction | 4,947 | — | 1,139 | (3,795 | ) | 2,291 | |||||||||||||||||||
SFR mortgage | 4,032 | (642 | ) | (108 | ) | 166 | 3,448 | ||||||||||||||||||
Dairy & livestock and agribusiness | 17,278 | (1,150 | ) | 166 | 2,402 | 18,696 | |||||||||||||||||||
Municipal lease finance receivables | 2,403 | — | — | (815 | ) | 1,588 | |||||||||||||||||||
Consumer and other loans | 1,590 | (283 | ) | 36 | (173 | ) | 1,170 | ||||||||||||||||||
Unallocated | 5,219 | — | — | 920 | 6,139 | ||||||||||||||||||||
Total allowance for loan losses | $ | 93,964 | $ | (5,207 | ) | $ | 3,027 | $ | 657 | $ | 92,441 | ||||||||||||||
Schedule of Recorded Investment in Loans Held-for-Investment, Excluding PCI Loans, and Related Allowance for Loan Losses by Portfolio Segment | The following tables present the recorded investment in loans held-for-investment, excluding PCI loans, and the related allowance for loan losses by portfolio segment, based on the Company’s methodology for determining the allowance for loan losses as December 31, 2014 and 2013: | ||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Recorded Investment in Loans | Allowance for Loan Losses | ||||||||||||||||||||||||
Individually | Collectively | Individually | Collectively | ||||||||||||||||||||||
Evaluated for | Evaluated for | Evaluated for | Evaluated for | ||||||||||||||||||||||
Impairment | Impairment | Impairment | Impairment | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 3,020 | $ | 386,991 | $ | 615 | $ | 6,459 | |||||||||||||||||
SBA | $ | 3,180 | 131,085 | $ | 296 | 2,261 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 48,011 | 2,439,792 | 154 | 33,219 | |||||||||||||||||||||
Construction | 7,651 | 47,522 | — | 988 | |||||||||||||||||||||
SFR mortgage | 6,979 | 198,145 | 35 | 2,309 | |||||||||||||||||||||
Dairy & livestock and agribusiness | 15,796 | 263,377 | — | 5,479 | |||||||||||||||||||||
Municipal lease finance receivables | — | 77,834 | — | 1,412 | |||||||||||||||||||||
Consumer and other loans | 1,155 | 58,749 | 449 | 813 | |||||||||||||||||||||
Unallocated | — | 9,980 | — | 5,336 | |||||||||||||||||||||
Total | $ | 85,792 | $ | 3,613,475 | $ | 1,549 | $ | 58,276 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Recorded Investment in Loans | Allowance for Loan Losses | ||||||||||||||||||||||||
Individually | Collectively | Individually | Collectively | ||||||||||||||||||||||
Evaluated for | Evaluated for | Evaluated for | Evaluated for | ||||||||||||||||||||||
Impairment | Impairment | Impairment | Impairment | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 3,348 | $ | 373,452 | $ | 293 | $ | 8,209 | |||||||||||||||||
SBA | 1,685 | 134,307 | 72 | $ | 2,260 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | 33,440 | 2,174,075 | — | 39,402 | |||||||||||||||||||||
Construction | 26,818 | 20,291 | — | 1,305 | |||||||||||||||||||||
SFR mortgage | 11,405 | 177,828 | 103 | 2,615 | |||||||||||||||||||||
Dairy & livestock and agribusiness | 29,812 | 264,480 | 2,702 | 9,026 | |||||||||||||||||||||
Municipal lease finance receivables | — | 89,106 | — | 2,335 | |||||||||||||||||||||
Consumer and other loans | 401 | 54,702 | 4 | 956 | |||||||||||||||||||||
Unallocated | 5,953 | ||||||||||||||||||||||||
Total | $ | 106,909 | $ | 3,288,241 | $ | 3,174 | $ | 72,061 | |||||||||||||||||
Schedule of Recorded Investment in, and Aging of, Past Due and Nonaccrual Loans, Excluding PCI Loans by Class of Loans | The following tables present the recorded investment in the aging of past due and nonaccrual loans, excluding PCI loans, by class of loans as of December 31, 2014 and 2013: | ||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
30-59 | 60-89 | Total Past | Nonaccrual (1) | Current | Total Loans | ||||||||||||||||||||
Days Past | Days Past | Due and | and Lease Finance | ||||||||||||||||||||||
Due | Due | Accruing | Receivables | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 943 | $ | 35 | $ | 978 | $ | 2,308 | $ | 386,725 | 390,011 | ||||||||||||||
SBA | 75 | — | 75 | 2,481 | 131,709 | 134,265 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 36 | 86 | 122 | 4,072 | 786,173 | 790,367 | |||||||||||||||||||
Non-owner occupied | — | — | — | 19,246 | 1,678,190 | 1,697,436 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | 36,574 | 36,574 | ||||||||||||||||||||
Non-speculative | — | — | — | — | 18,599 | 18,599 | |||||||||||||||||||
SFR mortgage | 425 | — | 425 | 3,240 | 201,459 | 205,124 | |||||||||||||||||||
Dairy & livestock and agribusiness | — | — | — | 103 | 279,070 | 279,173 | |||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | 77,834 | 77,834 | |||||||||||||||||||
Consumer and other loans | 64 | 17 | 81 | 736 | 69,067 | 69,884 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 1,543 | $ | 138 | $ | 1,681 | $ | 32,186 | $ | 3,665,400 | $ | 3,699,267 | |||||||||||||
-1 | As of December 31, 2014, $20.1 million of nonaccruing loans were current, $3.7 million were 30-59 days past due, $8.5 million were 90+ days past due. | ||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
30-59 | 60-89 | Total Past | Nonaccrual (1) | Current | Total Loans and | ||||||||||||||||||||
Days Past | Days Past | Due and | Lease Finance | ||||||||||||||||||||||
Due | Due | Accruing | Receivables | ||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial | $ | 900 | $ | 93 | $ | 993 | $ | 2,175 | $ | 373,632 | $ | 376,800 | |||||||||||||
SBA | — | — | — | 1,686 | 134,306 | 135,992 | |||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 220 | — | 220 | 4,105 | 725,626 | 729,951 | |||||||||||||||||||
Non-owner occupied | 303 | — | 303 | 8,305 | 1,468,956 | 1,477,564 | |||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | 9,966 | 17,812 | 27,778 | |||||||||||||||||||
Non-speculative | — | — | — | — | 19,331 | 19,331 | |||||||||||||||||||
SFR mortgage | 773 | 935 | 1,708 | 7,577 | 179,948 | 189,233 | |||||||||||||||||||
Dairy & livestock and agribusiness | — | — | — | 5,739 | 288,553 | 294,292 | |||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | 89,106 | 89,106 | |||||||||||||||||||
Consumer and other loans | 75 | — | 75 | 401 | 54,627 | 55,103 | |||||||||||||||||||
Total gross loans, excluding PCI loans | $ | 2,271 | $ | 1,028 | $ | 3,299 | $ | 39,954 | $ | 3,351,897 | $ | 3,395,150 | |||||||||||||
-1 | As of December 31, 2013, $23.9 million of nonaccruing loans were current, $473,000 were 30-59 days past due, $854,000 were 60-89 days past due, and $14.7 million were 90+ days past due. | ||||||||||||||||||||||||
Schedule of Held-for-Investment Loans, Excluding PCI Loans, Individually Evaluated for Impairment by Class of Loans | The following tables present held-for-investment loans, excluding PCI loans, individually evaluated for impairment by class of loans, as of December 31, 2014, 2013 and 2012: | ||||||||||||||||||||||||
As of and For the Year Ended | |||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | |||||||||||||||||||||
Balance | Investment | Recognized | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | $ | 2,391 | $ | 3,624 | $ | — | $ | 2,487 | $ | 41 | |||||||||||||||
SBA | 1,853 | 2,197 | — | 1,886 | 53 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 16,961 | 18,166 | — | 18,027 | 938 | ||||||||||||||||||||
Non-owner occupied | 30,068 | 38,156 | — | 30,133 | 723 | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 7,651 | 7,651 | — | 7,651 | 310 | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 6,512 | 7,493 | — | 6,566 | 110 | ||||||||||||||||||||
Dairy & livestock and agribusiness | 15,796 | 17,587 | — | 19,060 | 1,057 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 673 | 1,094 | — | 623 | 2 | ||||||||||||||||||||
Total | 81,905 | 95,968 | — | 86,433 | 3,234 | ||||||||||||||||||||
With a related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | 629 | 698 | 615 | 552 | — | ||||||||||||||||||||
SBA | 1,327 | 1,591 | 296 | 714 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | — | — | — | — | — | ||||||||||||||||||||
Non-owner occupied | 982 | 1,278 | 154 | 573 | — | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | — | — | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 467 | 484 | 35 | 474 | — | ||||||||||||||||||||
Dairy & livestock and agribusiness | — | — | — | — | — | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 482 | 508 | 449 | 285 | — | ||||||||||||||||||||
Total | 3,887 | 4,559 | 1,549 | 2,598 | — | ||||||||||||||||||||
Total impaired loans | $ | 85,792 | $ | 100,527 | $ | 1,549 | $ | 89,031 | $ | 3,234 | |||||||||||||||
As of and For the Year Ended | |||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | |||||||||||||||||||||
Balance | Investment | Recognized | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | $ | 3,055 | $ | 3,843 | $ | — | $ | 3,248 | $ | 66 | |||||||||||||||
SBA | 1,613 | 2,084 | — | 1,717 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 13,041 | 14,133 | — | 13,463 | 548 | ||||||||||||||||||||
Non-owner occupied | 20,399 | 26,155 | — | 21,313 | 817 | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 17,617 | 18,408 | — | 18,043 | 310 | ||||||||||||||||||||
Non-speculative | 9,201 | 9,201 | — | 9,217 | 572 | ||||||||||||||||||||
SFR mortgage | 10,919 | 12,516 | — | 10,408 | 103 | ||||||||||||||||||||
Dairy & livestock and agribusiness | 17,702 | 17,702 | — | 19,205 | 434 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 385 | 445 | — | 389 | — | ||||||||||||||||||||
Total | 93,932 | 104,487 | — | 97,003 | 2,850 | ||||||||||||||||||||
With a related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | 293 | 301 | 293 | 305 | — | ||||||||||||||||||||
SBA | 72 | 78 | 72 | 81 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | — | — | — | — | — | ||||||||||||||||||||
Non-owner occupied | — | — | — | — | — | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | — | — | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 486 | 489 | 103 | 479 | — | ||||||||||||||||||||
Dairy & livestock and agribusiness | 12,110 | 12,783 | 2,702 | 13,377 | 209 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 16 | 19 | 4 | 18 | — | ||||||||||||||||||||
Total | 12,977 | 13,670 | 3,174 | 14,260 | 209 | ||||||||||||||||||||
Total impaired loans | $ | 106,909 | $ | 118,157 | $ | 3,174 | $ | 111,263 | $ | 3,059 | |||||||||||||||
As of and For the Year Ended | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | |||||||||||||||||||||
Balance | Investment | Recognized | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | $ | 1,936 | $ | 2,476 | $ | — | $ | 2,131 | $ | 43 | |||||||||||||||
SBA | 1,449 | 1,739 | — | 1,635 | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 13,478 | 14,569 | — | 14,459 | 397 | ||||||||||||||||||||
Non-owner occupied | 28,639 | 38,633 | — | 29,801 | 670 | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | 21,314 | 21,607 | — | 21,650 | 311 | ||||||||||||||||||||
Non-speculative | 9,219 | 9,219 | — | 9,219 | 574 | ||||||||||||||||||||
SFR mortgage | 11,079 | 14,342 | — | 11,292 | 54 | ||||||||||||||||||||
Dairy & livestock and agribusiness | 12,406 | 13,756 | — | 11,834 | 173 | ||||||||||||||||||||
Municipal lease finance receivables | 263 | 263 | — | 443 | 5 | ||||||||||||||||||||
Consumer and other loans | 142 | 196 | — | 145 | — | ||||||||||||||||||||
Total | 99,925 | 116,800 | — | 102,609 | 2,227 | ||||||||||||||||||||
With a related allowance recorded: | |||||||||||||||||||||||||
Commercial and industrial | 304 | 327 | 289 | 387 | — | ||||||||||||||||||||
SBA | — | — | — | — | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||
Owner occupied | 19 | 19 | 2 | 28 | — | ||||||||||||||||||||
Non-owner occupied | — | — | — | — | — | ||||||||||||||||||||
Construction | |||||||||||||||||||||||||
Speculative | — | — | — | — | — | ||||||||||||||||||||
Non-speculative | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage | 3,766 | 4,071 | 434 | 3,363 | — | ||||||||||||||||||||
Dairy & livestock and agribusiness | 4,303 | 4,340 | 1,596 | 4,017 | 73 | ||||||||||||||||||||
Municipal lease finance receivables | — | — | — | — | — | ||||||||||||||||||||
Consumer and other loans | 73 | 74 | 11 | 75 | — | ||||||||||||||||||||
Total | 8,465 | 8,831 | 2,332 | 7,870 | 73 | ||||||||||||||||||||
Total impaired loans | $ | 108,390 | $ | 125,631 | $ | 2,332 | $ | 110,479 | $ | 2,300 | |||||||||||||||
Summary of Activity Related to Troubled Debt Restructurings | The following table provides a summary of the activity related to TDRs for the years ended December 31, 2014, and 2013: | ||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Performing TDRs: | |||||||||||||||||||||||||
Beginning balance | $ | 66,955 | $ | 50,392 | |||||||||||||||||||||
New modifications | 462 | 30,796 | |||||||||||||||||||||||
Payoffs and payments, net | (14,527 | ) | (15,492 | ) | |||||||||||||||||||||
TDRs returned to accrual status | 699 | 1,259 | |||||||||||||||||||||||
TDRs placed on nonaccrual status | — | — | |||||||||||||||||||||||
Ending balance | $ | 53,589 | $ | 66,955 | |||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Nonperforming TDRs: | |||||||||||||||||||||||||
Beginning balance | $ | 25,119 | $ | 31,309 | |||||||||||||||||||||
New modifications (1) | 4,372 | 4,187 | |||||||||||||||||||||||
Charge-offs | (1,061 | ) | (92 | ) | |||||||||||||||||||||
Payoffs and payments, net | (7,446 | ) | (9,026 | ) | |||||||||||||||||||||
TDRs returned to accrual status | (699 | ) | (1,259 | ) | |||||||||||||||||||||
TDRs placed on nonaccrual status | — | — | |||||||||||||||||||||||
Ending balance | $ | 20,285 | $ | 25,119 | |||||||||||||||||||||
Summary of Loans Modified as Troubled Debt Restructurings | The following are the loans modified as troubled debt restructurings for the years ended December 31, 2014, 2013, and 2012: | ||||||||||||||||||||||||
Modifications (1) | |||||||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Outstanding | Financial Effect | |||||||||||||||||||||
of | Outstanding | Outstanding | Recorded | Resulting From | |||||||||||||||||||||
Loans | Recorded | Recorded | Investment at | Modifications (2) | |||||||||||||||||||||
Investment | Investment | December 31, 2014 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial: | |||||||||||||||||||||||||
Interest rate reduction (3)(4) | 3 | $ | 553 | $ | 553 | $ | 522 | $ | 185 | ||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||
Owner occupied | |||||||||||||||||||||||||
Interest rate reduction (3) | 1 | 199 | — | 187 | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||||||
Non-owner occupied | |||||||||||||||||||||||||
Interest rate reduction (3) | 3 | 3,573 | — | 3,469 | |||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||||||
Dairy & livestock and agribusiness: | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | |||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||
Interest rate reduction (4) | 1 | 421 | 421 | 419 | — | ||||||||||||||||||||
Total loans | 8 | $ | 4,746 | $ | 974 | $ | 4,597 | $ | 185 | ||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Outstanding | Financial Effect | |||||||||||||||||||||
of | Outstanding | Outstanding | Recorded | Resulting From | |||||||||||||||||||||
Loans | Recorded | Recorded | Investment at | Modifications (2) | |||||||||||||||||||||
Investment | Investment | December 31, 2013 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial: | |||||||||||||||||||||||||
Interest rate reduction | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Change in amortization period or maturity | 4 | 621 | 621 | 570 | 95 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||
Owner occupied | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 1 | 168 | 168 | 138 | — | ||||||||||||||||||||
Non-owner occupied | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Construction: | |||||||||||||||||||||||||
Speculative | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage: | |||||||||||||||||||||||||
Interest rate reduction | 3 | 1,365 | 1,365 | 1,349 | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Dairy & livestock and agribusiness: | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 10 | 26,915 | 26,915 | 22,662 | 149 | ||||||||||||||||||||
Total loans | 18 | $ | 29,069 | $ | 29,069 | $ | 24,719 | $ | 244 | ||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Outstanding | Financial Effect | |||||||||||||||||||||
of Loans | Outstanding | Outstanding | Recorded | Resulting From | |||||||||||||||||||||
Recorded | Recorded | Investment at | Modifications (2) | ||||||||||||||||||||||
Investment | Investment | December 31 2012 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Commercial and industrial: | |||||||||||||||||||||||||
Interest rate reduction | 1 | $ | 80 | $ | 80 | $ | 66 | $ | — | ||||||||||||||||
Change in amortization period or maturity | 8 | 2,301 | 2,301 | 1,817 | 3 | ||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||
Commercial real estate: | |||||||||||||||||||||||||
Owner occupied | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 6 | 4,225 | 4,225 | 3,903 | — | ||||||||||||||||||||
Non-owner occupied | |||||||||||||||||||||||||
Interest rate reduction | 1 | 3,378 | 3,378 | 3,359 | — | ||||||||||||||||||||
Change in amortization period or maturity | 4 | 5,906 | 5,906 | 5,303 | — | ||||||||||||||||||||
Construction: | |||||||||||||||||||||||||
Speculative | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 1 | 10,966 | 10,966 | 10,663 | — | ||||||||||||||||||||
Non-speculative | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Other | — | — | — | — | — | ||||||||||||||||||||
SFR mortgage: | |||||||||||||||||||||||||
Interest rate reduction | 1 | 399 | 399 | 398 | — | ||||||||||||||||||||
Change in amortization period or maturity | — | — | — | — | — | ||||||||||||||||||||
Dairy & livestock and agribusiness: | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 7 | 9,447 | 9,447 | 9,184 | — | ||||||||||||||||||||
Municipal lease finance receivables | |||||||||||||||||||||||||
Interest rate reduction | — | — | — | — | — | ||||||||||||||||||||
Change in amortization period or maturity | 2 | 519 | 519 | 263 | — | ||||||||||||||||||||
Total loans | 31 | $ | 37,221 | $ | 37,221 | $ | 34,956 | $ | 3 | ||||||||||||||||
-1 | The tables exclude modified loans that were paid off prior to the end of the period. | ||||||||||||||||||||||||
-2 | Financial effects resulting from modifications represent charge-offs and specific allowance recorded at modification date. | ||||||||||||||||||||||||
-3 | New modifications for the year ended December 31, 2014 included six TDR’s acquired from ASB. | ||||||||||||||||||||||||
-4 | New modifications for the year ended December 31, 2014 included three TDR’s that encompass both an interest rate reduction and a maturity extension. |
Other_Real_Estate_Owned_Tables
Other Real Estate Owned (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Text Block [Abstract] | |||||||||
Summary of Activity Related to Total OREO | The following table summarizes the activity related to total OREO for the years ended December 31, 2014 and 2013: | ||||||||
For the Year Ended December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Balance, beginning of period | $ | 6,979 | $ | 15,899 | |||||
Additions | 3,591 | 1,492 | |||||||
Dispositions | (4,868 | ) | (9,923 | ) | |||||
Valuation adjustments | (65 | ) | (489 | ) | |||||
Balance, end of period | $ | 5,637 | $ | 6,979 | |||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||
Changes in Carrying Amount of Goodwill | The following table presents the changes in the carrying amount of goodwill for the years indicated: | ||||||||||||||||||||||||
As of And for the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Balance, beginning of period | $ | 55,097 | $ | 55,097 | |||||||||||||||||||||
Addition from the ASB acquisition | 19,147 | — | |||||||||||||||||||||||
Balance, end of period | $ | 74,244 | $ | 55,097 | |||||||||||||||||||||
Summary of Amortizable Intangible Assets | The following summarizes activity of amortizable core deposit intangible (“CDI”) assets for the years ended December 31, 2014 and 2013: | ||||||||||||||||||||||||
As of And For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Gross CDI | Accumulated | Net CDI | Gross Carrying | Accumulated | Net CDI | ||||||||||||||||||||
Amount | Amortization | Amount | Amount | Amortization | Amount | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Balance of intangible assets, beginning of period | $ | 31,999 | $ | (29,738 | ) | $ | 2,261 | $ | 31,999 | $ | (28,610 | ) | $ | 3,389 | |||||||||||
Additions due to acquisitions | 2,090 | — | |||||||||||||||||||||||
Balance of intangible assets, end of period | $ | 34,089 | $ | (30,875 | ) | $ | 3,214 | $ | 31,999 | $ | (29,738 | ) | $ | 2,261 | |||||||||||
Aggregate amortization expense: | |||||||||||||||||||||||||
For year ended December 31, | $ | 1,137 | $ | 1,127 | |||||||||||||||||||||
Estimated Amortization Expense: | |||||||||||||||||||||||||
For the year ended December 31, 2015 | $ | 949 | |||||||||||||||||||||||
For the year ended December 31, 2016 | 737 | ||||||||||||||||||||||||
For the year ended December 31, 2017 | 631 | ||||||||||||||||||||||||
For the year ended December 31, 2018 | 562 | ||||||||||||||||||||||||
For the year ended December 31, 2019 | 335 | ||||||||||||||||||||||||
Thereafter | — |
Premises_and_Equipment_Tables
Premises and Equipment (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Schedule of Premises and Equipment | Premises and equipment were comprised of the following as of December 31, 2014 and 2013, respectively: | ||||||||
As of December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Land | $ | 8,425 | $ | 8,329 | |||||
Bank premises | 48,481 | 47,535 | |||||||
Furniture and equipment | 39,272 | 39,502 | |||||||
Premises and equipment, gross | 96,178 | 95,366 | |||||||
Accumulated depreciation and amortization | (62,587 | ) | (62,535 | ) | |||||
Premises and equipment, net | $ | 33,591 | $ | 32,831 | |||||
Future Minimum Annual Rental Payments for Noncancelable Leases | The future minimum annual rental payments required for leases that have initial or remaining noncancelable lease terms in excess of one year as of December 31, 2014, excluding property taxes and insurance, are as follows: | ||||||||
Year: | As of December 31, 2014 | ||||||||
(Dollars in thousands) | |||||||||
2015 | $ | 5,479 | |||||||
2016 | 4,915 | ||||||||
2017 | 4,053 | ||||||||
2018 | 2,746 | ||||||||
2019 | 1,567 | ||||||||
Thereafter | 845 | ||||||||
Total | $ | 19,605 | |||||||
Other_Assets_Tables
Other Assets (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||
Summary of Other Assets | Other assets were comprised of the following as of December 31, 2014 and 2013, respectively: | ||||||||
As of December 31, | |||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Prepaid Expenses | $ | 4,109 | $ | 3,703 | |||||
Interest Rate Swaps | 10,080 | 10,846 | |||||||
Other Assets | 11,012 | 6,375 | |||||||
$ | 25,201 | $ | 20,924 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||
Schedule of Income Tax Expense | Income tax expense consists of the following: | ||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Current provision: | |||||||||||||||||||||||||
Federal | $ | 38,957 | $ | 38,881 | $ | 35,089 | |||||||||||||||||||
State | 15,968 | 13,996 | 15,910 | ||||||||||||||||||||||
54,925 | 52,877 | 50,999 | |||||||||||||||||||||||
Deferred provision (benefit): | |||||||||||||||||||||||||
Federal | 2,534 | (3,260 | ) | (10,102 | ) | ||||||||||||||||||||
State | 1,317 | (950 | ) | (3,484 | ) | ||||||||||||||||||||
3,851 | (4,210 | ) | (13,586 | ) | |||||||||||||||||||||
Total | $ | 58,776 | $ | 48,667 | $ | 37,413 | |||||||||||||||||||
Schedule of Income Tax Asset | Income tax asset consists of the following: | ||||||||||||||||||||||||
As of December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Current: | |||||||||||||||||||||||||
Federal | $ | 4,522 | $ | 2,838 | |||||||||||||||||||||
State | 4,437 | 1,337 | |||||||||||||||||||||||
8,959 | 4,175 | ||||||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||
Federal | 18,304 | 42,545 | |||||||||||||||||||||||
State | 4,198 | 13,066 | |||||||||||||||||||||||
22,502 | 55,611 | ||||||||||||||||||||||||
Total | $ | 31,461 | $ | 59,786 | |||||||||||||||||||||
Components of Net Deferred Tax Asset | The components of the net deferred tax asset are as follows: | ||||||||||||||||||||||||
As of December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Federal | |||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Bad debt and credit loss deduction | $ | 23,805 | $ | 29,700 | |||||||||||||||||||||
Net operating loss carryforward | 672 | 781 | |||||||||||||||||||||||
Deferred compensation | 3,300 | 3,024 | |||||||||||||||||||||||
Other intangibles | 5 | 8 | |||||||||||||||||||||||
PCI loans | 23,667 | 26,360 | |||||||||||||||||||||||
California franchise tax | 3,461 | 1,629 | |||||||||||||||||||||||
Unrealized loss on investment securities, net | — | 5,012 | |||||||||||||||||||||||
Other, net | 6,140 | 4,907 | |||||||||||||||||||||||
Gross deferred tax asset | 61,050 | 71,421 | |||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | 4,019 | 5,489 | |||||||||||||||||||||||
Intangibles — acquistions | 1,858 | 2,024 | |||||||||||||||||||||||
FDIC indemnification asset | 13,831 | 14,269 | |||||||||||||||||||||||
FHLB stock | 3,913 | 4,388 | |||||||||||||||||||||||
Deferred income | 2,430 | 2,706 | |||||||||||||||||||||||
Unrealized gain on investment securities, net | 16,695 | — | |||||||||||||||||||||||
Gross deferred tax liability | 42,746 | 28,876 | |||||||||||||||||||||||
Net deferred tax asset — federal | $ | 18,304 | $ | 42,545 | |||||||||||||||||||||
State | |||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Bad debt and credit loss deduction | $ | 6,014 | $ | 8,226 | |||||||||||||||||||||
Net operating loss carryforward | 34 | 34 | |||||||||||||||||||||||
Deferred compensation | 1,030 | 942 | |||||||||||||||||||||||
Other intangibles | 668 | 620 | |||||||||||||||||||||||
FDIC indemnification asset | 6,498 | 6,363 | |||||||||||||||||||||||
Unrealized loss on investment securities, net | — | 1,744 | |||||||||||||||||||||||
Other, net | 1,911 | 1,554 | |||||||||||||||||||||||
Gross deferred tax asset | 16,155 | 19,483 | |||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | 589 | 1,058 | |||||||||||||||||||||||
PCI loans | 4,389 | 3,935 | |||||||||||||||||||||||
FHLB stock | 797 | 945 | |||||||||||||||||||||||
Deferred income | 374 | 479 | |||||||||||||||||||||||
Unrealized gain on investment securities, net | 5,808 | — | |||||||||||||||||||||||
Gross deferred tax liability | 11,957 | 6,417 | |||||||||||||||||||||||
Net deferred tax asset — state | $ | 4,198 | $ | 13,066 | |||||||||||||||||||||
Reconciliation of Statutory Income Tax Rate to Consolidated Effective Income Tax Rate | A reconciliation of the statutory income tax rate to the consolidated effective income tax rate follows: | ||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
Federal income tax at statutory rate | $ | 56,979 | 35 | % | $ | 50,496 | 35 | % | $ | 40,143 | 35 | % | |||||||||||||
State franchise taxes, net of federal benefit | 11,233 | 6.9 | % | 8,734 | 6.1 | % | 8,081 | 7 | % | ||||||||||||||||
Tax-exempt income | (8,622 | ) | (5.3 | %) | (10,189 | ) | (7.1 | %) | (10,654 | ) | (9.3 | %) | |||||||||||||
Tax credits | (1,014 | ) | (0.6 | %) | (940 | ) | (0.7 | %) | (1,279 | ) | (1.1 | %) | |||||||||||||
Other, net | 200 | 0.1 | % | 566 | 0.4 | % | 1,122 | 1 | % | ||||||||||||||||
Provision for income taxes | $ | 58,776 | 36.1 | % | $ | 48,667 | 33.7 | % | $ | 37,413 | 32.6 | % | |||||||||||||
Change in Unrecognized Tax Benefits | The change in unrecognized tax benefits in 2014 and 2013 follows: | ||||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
( Dollars in thousands ) | |||||||||||||||||||||||||
Balance, beginning of period | $ | 3,016 | $ | 889 | |||||||||||||||||||||
Additions for tax positions related to prior years | — | 1,603 | |||||||||||||||||||||||
Reductions due to lapse of statue of limitations | — | 524 | |||||||||||||||||||||||
Balance, end of period | $ | 3,016 | $ | 3,016 | |||||||||||||||||||||
Deposits_Tables
Deposits (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||
Composition of Deposits | The table below summarizes deposits by type: | ||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Noninterest-bearing deposits | |||||||||||||||||
Demand deposits | $ | 2,866,365 | 51.1 | % | $ | 2,562,980 | 52.4 | % | |||||||||
Interest-bearing deposits | |||||||||||||||||
Savings deposits | 1,962,086 | 35 | % | 1,646,111 | 33.7 | % | |||||||||||
Time deposits | 776,207 | 13.9 | % | 681,540 | 13.9 | % | |||||||||||
Total deposits | $ | 5,604,658 | 100.0 | % | $ | 4,890,631 | 100.0 | % | |||||||||
Scheduled Maturities of Time Certificates of Deposit | At December 31, 2014, the scheduled maturities of time certificates of deposit are as follows: | ||||||||||||||||
Year of maturity: | December 31, 2014 | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
2015 | $ | 752,149 | |||||||||||||||
2016 | 15,506 | ||||||||||||||||
2017 | 1,610 | ||||||||||||||||
2018 | 856 | ||||||||||||||||
2019 and thereafter | 6,086 | ||||||||||||||||
Total | $ | 776,207 | |||||||||||||||
Earnings_Per_Share_Reconciliat1
Earnings Per Share Reconciliation (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Schedule of Earnings Per Common Share Reconciliation | The table below shows earnings per common share and diluted earnings per common share and reconciles the numerator and denominator of both earnings per common share calculations. | ||||||||||||
For the Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(In thousands, except per share amounts) | |||||||||||||
Earnings per common share: | |||||||||||||
Net earnings | $ | 104,021 | $ | 95,608 | $ | 77,280 | |||||||
Less: Net earnings allocated to restricted stock | 544 | 298 | 247 | ||||||||||
Net earnings allocated to common shareholders | $ | 103,477 | $ | 95,310 | $ | 77,033 | |||||||
Weighted average shares outstanding | 105,239 | 104,729 | 104,419 | ||||||||||
Basic earnings per common share | $ | 0.98 | $ | 0.91 | $ | 0.74 | |||||||
Diluted earnings per common share: | |||||||||||||
Net income allocated to common shareholders | $ | 103,477 | $ | 95,310 | $ | 77,033 | |||||||
Weighted average shares outstanding | 105,239 | 104,729 | 104,419 | ||||||||||
Incremental shares from assumed exercise of outstanding options | 520 | 397 | 239 | ||||||||||
Diluted weighted average shares outstanding | 105,759 | 105,126 | 104,658 | ||||||||||
Diluted earnings per common share | $ | 0.98 | $ | 0.91 | $ | 0.74 | |||||||
Stock_Option_Plans_and_Restric1
Stock Option Plans and Restricted Stock Awards (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Estimated Fair Value of Stock Options | The fair value of each stock option granted in 2014, 2013, and 2012, was estimated on the date of grant using the following weighted-average assumptions: | ||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Dividend yield | 2.6 | % | 2.9 | % | 2.9 | % | |||||||||||
Volatility | 50.3 | % | 50.5 | % | 51 | % | |||||||||||
Risk-free interest rate | 1.5 | % | 1.2 | % | 1.1 | % | |||||||||||
Expected life | 6.3 years | 6.6 years | 6.8 years | ||||||||||||||
Weighted average grant date fair value | $ | 5.70 | $ | 4.68 | $ | 4.44 | |||||||||||
Option Activity under Company's Stock Option Plans | Option activity under the Company’s stock option plans as of and for the year ended December 31, 2014 was as follows: | ||||||||||||||||
Number of | Weighted | Weighted | Aggregate | ||||||||||||||
Stock | Average | Average | Intrinsic Value | ||||||||||||||
Options | Exercise Price | Remaining | (In thousands) | ||||||||||||||
Outstanding | Contractual | ||||||||||||||||
(In thousands) | Term | ||||||||||||||||
(In years) | |||||||||||||||||
Outstanding at January 1, 2014 | 2,106 | $ | 10.61 | ||||||||||||||
Granted | 169 | 14.8 | |||||||||||||||
Exercised | (512 | ) | 10.79 | ||||||||||||||
Forfeited or expired | (75 | ) | 11.83 | ||||||||||||||
Outstanding at December 31, 2014 | 1,688 | $ | 10.92 | 4.55 | $ | 8,618 | |||||||||||
Vested or expected to vest at December 31, 2014 | 1,646 | $ | 10.9 | 4.48 | $ | 8,431 | |||||||||||
Exercisable at December 31, 2014 | 1,317 | $ | 10.41 | 3.6 | $ | 7,390 | |||||||||||
Summary of Status of Company's Non-Vested Restricted Shares | Activity related to the Company’s non-vested restricted shares for the year ended December 31, 2013, is presented below: | ||||||||||||||||
Shares | Weighted | ||||||||||||||||
(In thousands) | Average Fair Value | ||||||||||||||||
Nonvested at January 1, 2014 | 311 | $ | 10.87 | ||||||||||||||
Granted | 400 | 14.78 | |||||||||||||||
Vested | (135 | ) | 10.31 | ||||||||||||||
Forfeited | (6 | ) | 11.41 | ||||||||||||||
Nonvested at December 31, 2014 | 570 | $ | 13.81 | ||||||||||||||
Regulatory_Matters_Tables
Regulatory Matters (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||||||||||||||||||
Regulatory Capital Amounts and Ratios for Company and Bank | The following table summarizes regulatory capital amounts and ratios for the Company and the Bank as of December 31, 2014, and 2013: | ||||||||||||||||||||||||||||||||
To Be Well Capitalized | |||||||||||||||||||||||||||||||||
For Capital | under Prompt Corrective | ||||||||||||||||||||||||||||||||
Actual | Adequacy Purposes | Action Provisions | |||||||||||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||||||||
As of December 31, 2014: | |||||||||||||||||||||||||||||||||
Total Capital (to Risk- Weighted Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 853,147 | 18.24 | % | $ | 374,144 | ³ | 8 | % | N/A | |||||||||||||||||||||||
Bank | $ | 845,951 | 18.11 | % | $ | 373,758 | ³ | 8 | % | $ | 467,197 | ³ | 10 | % | |||||||||||||||||||
Tier I Capital (to Risk- Weighted | |||||||||||||||||||||||||||||||||
Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 794,576 | 16.99 | % | $ | 187,072 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 787,439 | 16.85 | % | $ | 186,879 | ³ | 4 | % | $ | 280,318 | ³ | 6 | % | |||||||||||||||||||
Tier I Capital (to Average- Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 794,576 | 10.86 | % | $ | 292,615 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 787,439 | 10.77 | % | $ | 292,392 | ³ | 4 | % | $ | 365,490 | ³ | 5 | % | |||||||||||||||||||
As of December 31, 2013: | |||||||||||||||||||||||||||||||||
Total Capital (to Risk- Weighted Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 801,719 | 19.09 | % | $ | 336,008 | ³ | 8 | % | N/A | |||||||||||||||||||||||
Bank | $ | 794,239 | 18.93 | % | $ | 335,740 | ³ | 8 | % | $ | 419,675 | ³ | 10 | % | |||||||||||||||||||
Tier I Capital (to Risk- Weighted Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 748,825 | 17.83 | % | $ | 168,004 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 741,386 | 17.67 | % | $ | 167,870 | ³ | 4 | % | $ | 251,805 | ³ | 6 | % | |||||||||||||||||||
Tier I Capital (to Average- Assets) | |||||||||||||||||||||||||||||||||
Company | $ | 748,825 | 11.3 | % | $ | 265,035 | ³ | 4 | % | N/A | |||||||||||||||||||||||
Bank | $ | 741,386 | 11.2 | % | $ | 264,893 | ³ | 4 | % | $ | 331,117 | ³ | 5 | % |
Fair_Value_Information_Tables
Fair Value Information (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | The tables below presents the balances of assets and liabilities measured at fair value on a recurring basis as of December 31, 2014 and 2013. | ||||||||||||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | ||||||||||||||||||
December 31, 2014 | Active Markets for | Observable Inputs | Unobservable | ||||||||||||||||||
Identical Assets | (Level 2) | Inputs (Level 3) | |||||||||||||||||||
(Level 1) | |||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Investment securities — AFS: | |||||||||||||||||||||
Government agency | $ | 330,843 | $ | — | $ | 330,843 | $ | — | |||||||||||||
Residential mortgage-backed securities | 1,917,496 | — | 1,917,496 | — | |||||||||||||||||
CMO’s / REMIC’s —residential | 304,091 | — | 304,091 | — | |||||||||||||||||
Municipal bonds | 579,641 | — | 579,641 | — | |||||||||||||||||
Other securities | 5,087 | — | 5,087 | — | |||||||||||||||||
Total investment securities — AFS | 3,137,158 | — | 3,137,158 | — | |||||||||||||||||
Interest rate swaps | 10,080 | — | 10,080 | — | |||||||||||||||||
Total assets | $ | 3,147,238 | $ | — | $ | 3,147,238 | $ | — | |||||||||||||
Description of liability | |||||||||||||||||||||
Interest rate swaps | $ | 10,080 | $ | — | $ | 10,080 | $ | — | |||||||||||||
Total liabilities | $ | 10,080 | $ | — | $ | 10,080 | $ | — | |||||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | ||||||||||||||||||
December 31, 2013 | Active Markets for | Observable Inputs | Unobservable | ||||||||||||||||||
Identical Assets | (Level 2) | Inputs | |||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Investment securities — AFS: | |||||||||||||||||||||
Government agency | $ | 326,525 | $ | — | $ | 326,525 | $ | — | |||||||||||||
Residential mortgage-backed securities | 1,379,943 | — | 1,379,943 | — | |||||||||||||||||
CMO’s / REMIC’s — residential | 366,175 | — | 366,175 | — | |||||||||||||||||
Municipal bonds | 586,091 | — | 586,091 | — | |||||||||||||||||
Other securities | 4,908 | — | 4,908 | — | |||||||||||||||||
Total investment securities —AFS | 2,663,642 | — | 2,663,642 | — | |||||||||||||||||
Interest rate swaps | 10,846 | — | 10,846 | — | |||||||||||||||||
Total assets | $ | 2,674,488 | $ | — | $ | 2,674,488 | $ | — | |||||||||||||
Description of liability | |||||||||||||||||||||
Interest rate swaps | $ | 10,846 | $ | — | $ | 10,846 | $ | — | |||||||||||||
Total liabilities | $ | 10,846 | $ | — | $ | 10,846 | $ | — | |||||||||||||
Assets and Liabilities Measured at Fair Value on Non-Recurring Basis | the following tables provide the level of valuation assumptions used to determine each adjustment and the carrying value of the related assets that had losses during the period. | ||||||||||||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | Total Losses | |||||||||||||||||
December 31, 2014 | Active Markets for | Observable Inputs | Unobservable | For the Year Ended | |||||||||||||||||
Identical Assets | (Level 2) | Inputs | December 31, 2014 | ||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Impaired loans, excluding PCI loans: | |||||||||||||||||||||
Commercial and industrial | $ | 1,911 | $ | — | $ | — | $ | 1,911 | $ | 771 | |||||||||||
SBA | 1,327 | — | — | 1,327 | 296 | ||||||||||||||||
Real estate: | |||||||||||||||||||||
Commercial real estate | 2,500 | — | — | 2,500 | 271 | ||||||||||||||||
Construction | — | — | — | — | — | ||||||||||||||||
SFR mortgage | — | — | — | — | — | ||||||||||||||||
Dairy & livestock and agribusiness | 103 | — | — | 103 | 1,061 | ||||||||||||||||
Consumer and other loans | 482 | — | — | 482 | 447 | ||||||||||||||||
Other real estate owned | — | — | — | — | — | ||||||||||||||||
Total assets | $ | 6,323 | $ | — | $ | — | $ | 6,323 | $ | 2,846 | |||||||||||
Carrying Value at | Quoted Prices in | Significant Other | Significant | Total Losses | |||||||||||||||||
December 31, 2013 | Active Markets for | Observable Inputs | Unobservable | For the Year Ended | |||||||||||||||||
Identical Assets | (Level 2) | Inputs | 31-Dec-13 | ||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Description of assets | |||||||||||||||||||||
Impaired loans, excluding PCI loans: | |||||||||||||||||||||
Commercial and industrial | $ | 529 | $ | — | $ | — | $ | 529 | $ | 627 | |||||||||||
Real estate: | |||||||||||||||||||||
Commercial real estate | — | — | — | — | — | ||||||||||||||||
Construction | — | — | — | — | — | ||||||||||||||||
SFR mortgage | — | — | — | — | — | ||||||||||||||||
Dairy & livestock and agribusiness | 11,899 | — | — | 11,899 | 2,096 | ||||||||||||||||
Consumer and other loans | 2 | — | — | 2 | 2 | ||||||||||||||||
Other real estate owned | 504 | — | — | 504 | 434 | ||||||||||||||||
Total assets | $ | 12,934 | $ | — | $ | — | $ | 12,934 | $ | 3,159 | |||||||||||
Estimated Fair Value of Financial Instruments | The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. | ||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Total cash and cash equivalents | $ | 105,768 | $ | 105,768 | $ | — | $ | — | $ | 105,768 | |||||||||||
Interest-earning balances due from depository institutions | 27,118 | — | 27,118 | — | 27,118 | ||||||||||||||||
FHLB stock | 25,338 | — | 25,338 | — | 25,338 | ||||||||||||||||
Investment securities available-for-sale | 3,137,158 | — | 3,137,158 | — | 3,137,158 | ||||||||||||||||
Investment securities held-to-maturity | 1,528 | — | — | 2,177 | 2,177 | ||||||||||||||||
Loans held-for-sale | — | — | — | — | — | ||||||||||||||||
Total loans, net of allowance for loan losses | 3,757,242 | — | — | 3,794,454 | 3,794,454 | ||||||||||||||||
Accrued interest receivable | 23,194 | — | 23,194 | — | 23,194 | ||||||||||||||||
Swaps | 10,080 | — | 10,080 | — | 10,080 | ||||||||||||||||
Liabilities | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Noninterest-bearing | $ | 2,866,365 | $ | 2,866,365 | $ | — | $ | — | $ | 2,866,365 | |||||||||||
Interest-bearing | 2,738,293 | — | 2,739,221 | — | 2,739,221 | ||||||||||||||||
Borrowings | 809,106 | — | 822,607 | — | 822,607 | ||||||||||||||||
Junior subordinated debentures | 25,774 | — | 26,005 | — | 26,005 | ||||||||||||||||
Accrued interest payable | 1,161 | — | 1,161 | — | 1,161 | ||||||||||||||||
Swaps | 10,080 | — | 10,080 | — | 10,080 | ||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Total cash and cash equivalents | $ | 94,693 | $ | 94,693 | $ | — | $ | — | $ | 94,693 | |||||||||||
Interest-earning balances due from depository institutions | 70,000 | — | 70,000 | — | 70,000 | ||||||||||||||||
FHLB stock | 32,331 | — | 32,331 | — | 32,331 | ||||||||||||||||
Investment securities available-for-sale | 2,663,642 | — | 2,663,642 | — | 2,663,642 | ||||||||||||||||
Investment securities held-to-maturity | 1,777 | — | — | 2,296 | 2,296 | ||||||||||||||||
Loans held-for-sale | 3,667 | — | — | 8,897 | 8,897 | ||||||||||||||||
Total loans, net of allowance for loan losses | 3,470,996 | — | — | 3,527,725 | 3,527,725 | ||||||||||||||||
Accrued interest receivable | 22,051 | — | 22,051 | — | 22,051 | ||||||||||||||||
Swaps | 10,846 | — | 10,846 | — | 10,846 | ||||||||||||||||
Liabilities | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Noninterest-bearing | $ | 2,562,980 | $ | 2,562,980 | $ | — | $ | — | $ | 2,562,980 | |||||||||||
Interest-bearing | 2,327,651 | — | 2,328,488 | — | 2,328,488 | ||||||||||||||||
Borrowings | 911,457 | — | 932,408 | — | 932,408 | ||||||||||||||||
Junior subordinated debentures | 25,774 | — | 25,819 | — | 25,819 | ||||||||||||||||
Accrued interest payable | 1,111 | — | 1,111 | — | 1,111 | ||||||||||||||||
Swaps | 10,846 | — | 10,846 | — | 10,846 |
Business_Segments_Tables
Business Segments (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||
Schedule of Segment Reporting Information by Segment | The following tables present the operating results and other key financial measures for the individual operating segments for the periods indicated: | ||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||
Centers | Treasury | Other | Eliminations | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Interest income, including loan fees | $ | 142,467 | $ | 71,369 | $ | 39,067 | $ | — | $ | 252,903 | |||||||||||
Credit for funds provided (1) | 31,188 | — | 46,770 | (77,958 | ) | — | |||||||||||||||
Total interest income | 173,655 | 71,369 | 85,837 | (77,958 | ) | 252,903 | |||||||||||||||
Interest expense | 6,494 | 9,590 | 305 | — | 16,389 | ||||||||||||||||
Charge for funds used (1) | 5,123 | 54,885 | 17,950 | (77,958 | ) | — | |||||||||||||||
Total interest expense | 11,617 | 64,475 | 18,255 | (77,958 | ) | 16,389 | |||||||||||||||
Net interest income | 162,038 | 6,894 | 67,582 | — | 236,514 | ||||||||||||||||
Provision for loan losses | — | — | (16,100 | ) | — | (16,100 | ) | ||||||||||||||
Net interest income after provision for loan losses | 162,038 | 6,894 | 83,682 | — | 252,614 | ||||||||||||||||
Noninterest income | 20,513 | — | 15,899 | — | 36,412 | ||||||||||||||||
Noninterest expense | 47,871 | 784 | 77,574 | — | 126,229 | ||||||||||||||||
Debt termination expense | — | — | — | — | — | ||||||||||||||||
Segment pre-tax profit | $ | 134,680 | $ | 6,110 | $ | 22,007 | $ | — | $ | 162,797 | |||||||||||
Segment assets as of December 31, 2014 | $ | 6,006,415 | $ | 3,268,551 | $ | 753,068 | $ | (2,650,114) | $ | 7,377,920 | |||||||||||
-1 | Credit for funds provided and charges for funds used are eliminated in the consolidated presentation. | ||||||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||
Centers | Treasury | Other | Eliminations | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Interest income, including loan fees | $ | 139,369 | $ | 53,234 | $ | 40,170 | $ | — | $ | 232,773 | |||||||||||
Credit for funds provided (1) | 26,754 | — | 41,987 | (68,741 | ) | — | |||||||||||||||
Total interest income | 166,123 | 53,234 | 82,157 | (68,741 | ) | 232,773 | |||||||||||||||
Interest expense | 6,138 | 9,700 | 670 | — | 16,507 | ||||||||||||||||
Charge for funds used (1) | 3,193 | 45,269 | 20,279 | (68,741 | ) | — | |||||||||||||||
Total interest expense | 9,331 | 54,969 | 20,949 | (68,741 | ) | 16,507 | |||||||||||||||
Net interest income | 156,793 | (1,735 | ) | 61,208 | — | 216,266 | |||||||||||||||
Provision for loan losses | — | — | (16,750 | ) | — | (16,750 | ) | ||||||||||||||
Net interest income after provision for loan losses | 156,793 | (1,735 | ) | 77,958 | — | 233,016 | |||||||||||||||
Noninterest income | 20,733 | 2,094 | 2,460 | — | 25,287 | ||||||||||||||||
Noninterest expense | 45,268 | 714 | 68,046 | — | 114,028 | ||||||||||||||||
Debt termination expense | — | — | — | — | — | ||||||||||||||||
Segment pre-tax profit | $ | 132,258 | $ | (355 | ) | $ | 12,372 | $ | — | $ | 144,275 | ||||||||||
Segment assets as of December 31, 2013 | $ | 5,405,939 | $ | 2,866,760 | $ | 710,844 | $ | (2,318,576) | $ | 6,664,967 | |||||||||||
-1 | Credit for funds provided and charges for funds used are eliminated in the consolidated presentation. | ||||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||
Centers | Treasury | Other | Eliminations | Total | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Interest income, including loan fees | $ | 147,726 | $ | 56,559 | $ | 57,937 | $ | — | $ | 262,222 | |||||||||||
Credit for funds provided (1) | 25,764 | — | 31,505 | (57,269 | ) | — | |||||||||||||||
Total interest income | 173,490 | 56,559 | 89,442 | (57,269 | ) | 262,222 | |||||||||||||||
Interest expense | 7,162 | 15,396 | 2,714 | — | 25,272 | ||||||||||||||||
Charge for funds used (1) | 3,204 | 41,270 | 12,795 | (57,269 | ) | — | |||||||||||||||
Total interest expense | 10,366 | 56,666 | 15,509 | (57,269 | ) | 25,272 | |||||||||||||||
Net interest income | 163,124 | (107 | ) | 73,933 | — | 236,950 | |||||||||||||||
Provision for loan losses | — | — | — | — | — | ||||||||||||||||
Net interest income after provision for loan losses | 163,124 | (107 | ) | 73,933 | — | 236,950 | |||||||||||||||
Noninterest income | 22,807 | — | (6,904 | ) | — | 15,903 | |||||||||||||||
Noninterest expense | 44,780 | 729 | 72,272 | — | 117,781 | ||||||||||||||||
Debt termination expense | — | 20,379 | — | — | 20,379 | ||||||||||||||||
Segment pre-tax profit | $ | 141,151 | $ | (21,215 | ) | $ | (5,243 | ) | $ | — | $ | 114,693 | |||||||||
Segment assets as of December 31, 2012 | $ | 5,196,244 | $ | 2,642,445 | $ | 637,976 | $ | (2,113,301) | $ | 6,363,364 | |||||||||||
-1 | Credit for funds provided and charges for funds used are eliminated in the consolidated presentation. |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||
Fair Value of Derivative Instruments | The location of the asset and liability, and their respective fair values are summarized in the table below: | ||||||||||||||||
December 31, 2014 | |||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Location | Location | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||
Interest rate swaps | Other assets | $ | 10,080 | Other liabilities | $ | 10,080 | |||||||||||
Total derivatives | $ | 10,080 | $ | 10,080 | |||||||||||||
31-Dec-13 | |||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Location | Location | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||
Interest rate swaps | Other assets | $ | 10,846 | Other liabilities | $ | 10,846 | |||||||||||
Total derivatives | $ | 10,846 | $ | 10,846 | |||||||||||||
Effect of Derivative Instruments on Consolidated Statement of Earnings | The following table summarizes the effect of derivative financial instruments on the consolidated statements of earnings for the years ended December 31, 2014, 2013, and 2012: | ||||||||||||||||
Derivatives Not | Location of Gain | Amount of Gain Recognized in | |||||||||||||||
Designated as Hedging | Recognized in Income on | Income on Derivative Instruments | |||||||||||||||
Instruments | Derivative Instruments | ||||||||||||||||
For the Year Ended Dec 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Interest rate swaps | Other income | $ | 133 | $ | — | $ | 1,252 | ||||||||||
Total | $ | 133 | $ | — | $ | 1,252 | |||||||||||
Other_Comprehensive_Income_Los1
Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Equity [Abstract] | |||||||||||||
Summary of Components of OCI | The tables below provide a summary of the components of OCI for the years ended December 31, 2014, 2013, and 2012: | ||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||
Before-Tax | Tax Effect | After-Tax | |||||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net change in fair value recorded in accumulated OCI | $ | 69,661 | $ | 29,256 | $ | 40,405 | |||||||
Net realized gains reclassified into earnings | — | — | — | ||||||||||
Net change | $ | 69,661 | $ | 29,256 | $ | 40,405 | |||||||
For the Year Ended December 31, 2013 | |||||||||||||
Before-Tax | Tax Effect | After-Tax | |||||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net change in fair value recorded in accumulated OCI | $ | -88,562 | $ | -37,196 | $ | -51,366 | |||||||
Net realized gains reclassified into earnings (1) | $ | (2,094 | ) | $ | -879 | $ | -1,215 | ||||||
Net change | $ | (90,656) | $ | (38,075) | $ | (52,581) | |||||||
For the Year Ended December 31, 2012 | |||||||||||||
Before-Tax | Tax Effect | After-Tax | |||||||||||
(Dollars in thousands) | |||||||||||||
Investment securities available-for-sale: | |||||||||||||
Net change in fair value recorded in accumulated OCI | $ | 3,074 | $ | 1,292 | $ | 1,782 | |||||||
Net change | $ | 3,074 | $ | 1,292 | $ | 1,782 | |||||||
-1 | Net realized gains are included in other income in the condensed consolidated statement of earnings and comprehensive income for the year ended December 31, 2013. | ||||||||||||
Summary of Change in Accumulated Other Comprehensive Income | The following table provides a summary of the change in accumulated other comprehensive income for years ended December 31, 2014, and 2013: | ||||||||||||
Investment Securities | |||||||||||||
Available-for-Sale | |||||||||||||
(Dollars in thousands) | |||||||||||||
Balance, January 1, 2013 | $ | 43,251 | |||||||||||
Net change in fair value recorded in accumulated OCI | (52,581 | ) | |||||||||||
Balance, December 31, 2013 | $ | (9,330 | ) | ||||||||||
Net change in fair value recorded in accumulated OCI | 40,405 | ||||||||||||
Net realized gains reclassified into earnings | — | ||||||||||||
Balance, December 31, 2014 | $ | 31,075 | |||||||||||
Balance_Sheet_Offsetting_Table
Balance Sheet Offsetting (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Text Block [Abstract] | |||||||||||||||||||||||||
Schedule of Balance Sheet Offsetting | The repuThe repurchase agreements are not offset in the consolidated balances. | ||||||||||||||||||||||||
Gross Amounts | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | |||||||||||||||||||||
Recognized in the | offset in the | Assets Presented in | Condensed Consolidated | ||||||||||||||||||||||
Condensed | Condensed | the Condensed | Balance Sheets | ||||||||||||||||||||||
Consolidated | Consolidated | Consolidated | |||||||||||||||||||||||
Balance Sheets | Balance Sheets | Balance Sheets | Financial | Collateral | |||||||||||||||||||||
Instruments | Pledged | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,080 | $ | — | $ | — | $ | 10,080 | $ | — | $ | 10,080 | |||||||||||||
Total | $ | 10,080 | $ | — | $ | — | $ | 10,080 | $ | — | $ | 10,080 | |||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,200 | $ | (120 | ) | $ | 10,080 | $ | 120 | $ | (16,734 | ) | $ | (6,534 | ) | ||||||||||
Repurchase agreements | 563,627 | — | 563,627 | — | (624,578 | ) | (60,951 | ) | |||||||||||||||||
Total | $ | 573,827 | $ | (120 | ) | $ | 573,707 | $ | 120 | $ | (641,312 | ) | $ | (67,485 | ) | ||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,846 | $ | — | $ | — | $ | 10,846 | $ | — | $ | 10,846 | |||||||||||||
Total | $ | 10,846 | $ | — | $ | — | $ | 10,846 | $ | — | $ | 10,846 | |||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 12,908 | $ | (2,062 | ) | $ | 10,846 | $ | 2,062 | $ | (16,179 | ) | $ | (3,271 | ) | ||||||||||
Repurchase agreements | 643,251 | — | 643,251 | — | (649,385 | ) | (6,134 | ) | |||||||||||||||||
Total | $ | 656,159 | $ | (2,062) | $ | 654,097 | $ | 2,062 | $ | (665,564) | $ | (9,405) | |||||||||||||
Gross Amounts | Gross Amounts | Net Amounts of | Gross Amounts Not Offset in the | Net Amount | |||||||||||||||||||||
Recognized in the | offset in the | Assets Presented in | Condensed Consolidated | ||||||||||||||||||||||
Condensed | Condensed | the Condensed | Balance Sheets | ||||||||||||||||||||||
Consolidated | Consolidated | Consolidated | |||||||||||||||||||||||
Balance Sheets | Balance Sheets | Balance Sheets | Financial | Collateral | |||||||||||||||||||||
Instruments | Pledged | ||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,080 | $ | — | $ | — | $ | 10,080 | $ | — | $ | 10,080 | |||||||||||||
Total | $ | 10,080 | $ | — | $ | — | $ | 10,080 | $ | — | $ | 10,080 | |||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,200 | $ | (120 | ) | $ | 10,080 | $ | 120 | $ | (16,734 | ) | $ | (6,534 | ) | ||||||||||
Repurchase agreements | 563,627 | — | 563,627 | — | (624,578 | ) | (79,624 | ) | |||||||||||||||||
Total | $ | 573,827 | $ | (120 | ) | $ | 573,707 | $ | 120 | $ | (641,312 | ) | $ | (86,158 | ) | ||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 10,846 | $ | — | $ | — | $ | 10,846 | $ | — | $ | 10,846 | |||||||||||||
Total | $ | 10,846 | $ | — | $ | — | $ | 10,846 | $ | — | $ | 10,846 | |||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Derivatives not designated as hedging instruments | $ | 12,908 | $ | (2,062 | ) | $ | 10,846 | $ | 2,062 | $ | (16,179 | ) | $ | (3,271 | ) | ||||||||||
Repurchase agreements | 643,251 | — | 643,251 | — | (649,385 | ) | (6,134 | ) | |||||||||||||||||
Total | $ | 656,159 | $ | (2,062) | $ | 654,097 | $ | 2,062 | $ | (665,564) | $ | (9,405) | |||||||||||||
Condensed_Financial_Informatio1
Condensed Financial Information of Parent Company (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||||||
Condensed Balance Sheets | |||||||||||||
CONDENSED BALANCE SHEETS | |||||||||||||
As of December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
(Dollars in thousands) | |||||||||||||
Assets | |||||||||||||
Investment in subsidiaries | $ | 895,972 | $ | 789,448 | |||||||||
Other assets, net | 19,069 | 19,120 | |||||||||||
Total assets | $ | 915,041 | $ | 808,568 | |||||||||
Liabilities | $ | 36,932 | $ | 36,681 | |||||||||
Stockholders’ equity | 878,109 | 771,887 | |||||||||||
Total liabilities and stockholders’ equity | $ | 915,041 | $ | 808,568 | |||||||||
Condensed Statements of Earnings | |||||||||||||
CONDENSED STATEMENTS OF EARNINGS | |||||||||||||
For the Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Dollars in thousands) | |||||||||||||
Excess in net earnings of subsidiaries | $ | 66,119 | $ | 33,149 | $ | (1,261 | ) | ||||||
Dividends from the Bank | 41,000 | 63,000 | 82,300 | ||||||||||
Other expense, net | (3,098 | ) | (541 | ) | (3,759 | ) | |||||||
Net earnings | $ | 104,021 | $ | 95,608 | $ | 77,280 | |||||||
Condensed Statements of Cash Flows | CONDENSED STATEMENTS OF CASH FLOWS | ||||||||||||
For the Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Dollars in thousands) | |||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||
Net earnings | $ | 104,021 | $ | 95,608 | $ | 77,280 | |||||||
Adjustments to reconcile net earnings to cash used in operating activities: | |||||||||||||
Earnings of subsidiaries | (107,119 | ) | (96,149 | ) | (81,039 | ) | |||||||
Tax settlement received from the Bank | 1,812 | 1,903 | 5,240 | ||||||||||
Stock-based compensation | 2,988 | 1,926 | 2,039 | ||||||||||
Other operating activities, net | (3,080 | ) | 241 | (1,717 | ) | ||||||||
Total adjustments | (105,399 | ) | (92,079 | ) | (75,477 | ) | |||||||
Net cash (used in) provided by operating activities | (1,378 | ) | 3,529 | 1,803 | |||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||
Dividends received from the Bank | 41,000 | 63,000 | 82,300 | ||||||||||
Net cash provided by investing activities | 41,000 | 63,000 | 82,300 | ||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||
Repayment of junior subordinated debentures | — | (41,238 | ) | (48,043 | ) | ||||||||
Cash dividends on common stock | (42,298 | ) | (29,939 | ) | (44,552 | ) | |||||||
Proceeds from exercise of stock options | 5,522 | 4,517 | 2,557 | ||||||||||
Tax benefit from exercise of stock options | 1,116 | 475 | 194 | ||||||||||
Repurchase of common stock | (5,474 | ) | (559 | ) | (54 | ) | |||||||
Net cash used in financing activities | (41,134 | ) | (66,744 | ) | (89,898 | ) | |||||||
NET DECREASE IN CASH AND CASH EQUIVALIENTS | (1,512 | ) | (215 | ) | (5,795 | ) | |||||||
CASH AND CASH EQUIVALENTS, beginning of year | 15,044 | 15,259 | 21,054 | ||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | 13,532 | $ | 15,044 | $ | 15,259 | |||||||
Quarterly_Financial_Data_Table
Quarterly Financial Data (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Summarized Quarterly Financial Data | The following table sets forth our unaudited, quarterly results for the periods indicated: | ||||||||||||||||
For the Three Months Ended | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
(Dollars in thousands, except per share amounts) | |||||||||||||||||
2014 | |||||||||||||||||
Net interest income | $ | 56,942 | $ | 57,159 | $ | 61,238 | $ | 61,175 | |||||||||
Provision for loan losses | (7,500 | ) | (7,600 | ) | (1,000 | ) | — | ||||||||||
Net earnings | 28,661 | (25,484 | ) | 24,295 | 25,581 | ||||||||||||
Basic earnings per common share | 0.27 | 0.24 | 0.23 | 0.24 | |||||||||||||
Diluted earnings per common share | 0.27 | 0.24 | 0.23 | 0.24 | |||||||||||||
2013 | |||||||||||||||||
Net interest income | $ | 54,589 | $ | 52,595 | $ | 53,973 | $ | 55,109 | |||||||||
Provision for loan losses | — | (6,200 | ) | (3,750 | ) | (6,800 | ) | ||||||||||
Net earnings | 21,615 | 24,466 | 24,239 | 25,288 | |||||||||||||
Basic earnings per common share | 0.21 | 0.23 | 0.23 | 0.24 | |||||||||||||
Diluted earnings per common share | 0.21 | 0.23 | 0.23 | 0.24 | |||||||||||||
Business_Additional_Informatio
Business - Additional Information (Detail) (USD $) | Dec. 31, 2014 | 15-May-14 | Sep. 30, 2014 |
In Millions, unless otherwise specified | FinancialCenters | Branch | Branch |
Subsidiary | |||
Schedule Of Description Of Company [Line Items] | |||
Number of inactive subsidiaries | 1 | ||
Bank operated Business Financial Centers, number | 40 | ||
Bank operated Commercial Banking Centers, number | 6 | ||
Bank operated trust office locations, number | 3 | ||
American Security Bank [Member] | |||
Schedule Of Description Of Company [Line Items] | |||
Total assets | $433 | ||
Number of bank branches | 5 | ||
Electronic Branch [Member] | American Security Bank [Member] | |||
Schedule Of Description Of Company [Line Items] | |||
Number of bank branches | 2 | ||
Number of banking vestibules closed | 2 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |
Oct. 16, 2009 | Dec. 31, 2014 | Oct. 16, 2009 | |
Segment | |||
Office | |||
Plans | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Number of operating business segments | 2 | ||
Number of days on which collection of interest on principal is no longer probable | 90 days | ||
Period over which borrower has to demonstrate repayment performance in compliance with restructured terms to take loan out of nonaccrual status | 6 months | ||
Original terms of modified loans | 6 months | ||
Number of days on which charge-offs unsecured consumer loans are recorded | 120 days | ||
Minimum loan amount for credit review process | $1,000,000 | ||
Allowance for loan losses look-back period, revised | Rolling twenty quarters | ||
Agreed percentage of losses in loss sharing agreement | 80.00% | 80.00% | |
Loss amount with respect to covered assets | 26,700,000 | ||
Agreed percentage of reimbursement in loss sharing agreement | 95.00% | ||
Commercial loans expiration date | 16-Oct-14 | ||
Goodwill impairment | 0 | ||
Number of stock-based employee compensation plans | 3 | ||
Number of offices providing services, CitizensTrust | 3 | ||
Assets under administration, CitizensTrust | 2,410,000,000 | ||
Assets under management, CitizensTrust | 1,870,000,000 | ||
Commercial Loans [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Loss sharing agreement term | 5 years | ||
Loss recovery provisions term | 8 years | ||
Single-family Residential Loans [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Loss sharing agreement term | 10 years | ||
Loss recovery provisions term | 10 years | ||
Previously Reported [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Allowance for loan losses look-back period, previous | 3 years | ||
Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Number of days over which principal or interest payments are past due to consider loans, excluding PCI loans | 30 days | ||
Number of days for which principal or interest payments on loans, excluding PCI loans remain accrual | 30 days | ||
Length of modified debt term | 3 months | ||
Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Number of days for which principal or interest payments on loans, excluding PCI loans remain accrual | 89 days | ||
Length of modified debt term | 12 months | ||
Loss recoveries on covered assets | $144,000,000 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Summary of Useful Lives of Principal Classes of Assets (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |
Estimated economic lives of leasehold improvements | Shorter of estimated economic lives of 15 years or term of the lease. |
Minimum [Member] | Bank premises [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of asset | 15 years |
Minimum [Member] | Computer equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of asset | 3 years |
Minimum [Member] | Furniture, fixtures and equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of asset | 5 years |
Maximum [Member] | Bank premises [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of asset | 40 years |
Maximum [Member] | Computer equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of asset | 5 years |
Maximum [Member] | Furniture, fixtures and equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of asset | 7 years |
Business_Combinations_Addition
Business Combinations - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | 15-May-14 | Sep. 30, 2014 | |
Branch | |||||
Business Acquisition [Line Items] | |||||
Business acquisition date | 16-Oct-09 | ||||
Goodwill | $74,244,000 | $55,097,000 | $55,097,000 | ||
Non-recurring merger related expenses | 1,973,000 | 0 | 0 | ||
American Security Bank [Member] | |||||
Business Acquisition [Line Items] | |||||
Business acquisition date | 15-May-14 | ||||
Acquired assets and assumed liabilities for cash | 57,000,000 | ||||
Number of bank branches | 5 | ||||
Goodwill | 19,100,000 | ||||
Total fair value of assets acquired | 436,400,000 | ||||
Cash and cash due from banks | 117,800,000 | ||||
Investment securities available for sale | 44,500,000 | ||||
FHLB stock | 1,900,000 | ||||
Loans receivable | 242,700,000 | ||||
Fixed assets | 4,800,000 | ||||
Core deposit intangible assets | 2,100,000 | ||||
Other real estate owned | 1,600,000 | ||||
Other assets | 1,800,000 | ||||
Total fair value of liabilities assumed | 379,400,000 | ||||
Deposits | 378,400,000 | ||||
Other liabilities | 1,000,000 | ||||
Non-recurring merger related expenses | $2,000,000 | ||||
American Security Bank [Member] | Electronic Branch [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of bank branches | 2 | ||||
Number of banking vestibules closed | 2 | ||||
American Security Bank [Member] | Loan Production Office [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of bank branches | 1 |
Investment_Securities_Summary_
Investment Securities - Summary of Amortized Cost and Estimated Fair Value of Investment Securities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $3,083,582 | $2,679,727 |
Gross Unrealized Holding Gain | 65,754 | 38,537 |
Gross Unrealized Holding Loss | -12,178 | -54,622 |
Fair Value | 3,137,158 | 2,663,642 |
Total Percent | 100.00% | 100.00% |
CMO's / REMIC's - residential [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 297,318 | 361,573 |
Gross Unrealized Holding Gain | 7,050 | 6,576 |
Gross Unrealized Holding Loss | -277 | -1,974 |
Fair Value | 304,091 | 366,175 |
Total Percent | 9.69% | 13.75% |
Municipal bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 557,823 | 571,145 |
Gross Unrealized Holding Gain | 22,463 | 18,839 |
Gross Unrealized Holding Loss | -645 | -3,893 |
Fair Value | 579,641 | 586,091 |
Total Percent | 18.48% | 22.00% |
Government agency [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 339,071 | 350,378 |
Gross Unrealized Holding Gain | 0 | 22 |
Gross Unrealized Holding Loss | -8,228 | -23,875 |
Fair Value | 330,843 | 326,525 |
Total Percent | 10.55% | 12.26% |
Residential mortgage-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 1,884,370 | 1,391,631 |
Gross Unrealized Holding Gain | 36,154 | 13,100 |
Gross Unrealized Holding Loss | -3,028 | -24,788 |
Fair Value | 1,917,496 | 1,379,943 |
Total Percent | 61.12% | 51.81% |
Other securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 5,000 | 5,000 |
Gross Unrealized Holding Gain | 87 | 0 |
Gross Unrealized Holding Loss | 0 | -92 |
Fair Value | $5,087 | $4,908 |
Total Percent | 0.16% | 0.18% |
Investment_Securities_Addition
Investment Securities - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Securities | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Number of securities | 13 | ||
Investment securities, par value | $94,200,000 | ||
Pre-tax gain on sale of securities | 0 | 2,094,000 | 0 |
Gains (loss) recognized | 0 | ||
Average life of investment grade debt securities, years | 4 years | ||
Gross unrealized holding losses | 0 | ||
Book value of the bond | 1,528,000 | 1,777,000 | |
Credit-related impairment loss on investment securities held-to-maturity | 0 | 0 | |
Investment securities pledged as collateral | 3,110,000,000 | 2,600,000,000 | |
Investment in FHLB stock, impairment losses | 0 | ||
United States [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Securities issued by U.S. government percentage | 81.00% | ||
Government agency [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Agency bond callable | 223,200,000 | ||
CMO's / REMIC's - residential [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
CMO/REMICs backed by whole loans issued by private-label companies (non-government sponsored) | 343,000 | ||
Investment security classified as held-to-maturity, number | 1 | ||
Held-to-Maturity securities, average FICO score | 715 | ||
Held-to-Maturity securities, acquired price, percentage | 98.25% | ||
Average percentage of LTV | 71.00% | ||
Average life of investment grade debt securities, years | 30 years | ||
Current fair value percentage of Held-to-Maturity security against par value | 81.00% | ||
Investment contractual cash flows guaranteed by Government, percentage | 99.98% | ||
Investment contractual cash flows guaranteed by banks, percentage | 0.02% | ||
Alt-A bond [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Book value of the bond | 1,500,000 | ||
Net impairment losses | $1,900,000 | ||
Municipal bonds [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Average life of investment grade debt securities, years | 8 years 6 months |
Investment_Securities_Summary_1
Investment Securities - Summary of Continuous Unrealized Loss Position of Securities (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less Than 12 Months | $43,813 | $1,275,903 |
Gross Unrealized Holding Losses, Less Than 12 Months | 55 | 49,058 |
Fair Value, 12 Months or Longer | 509,509 | 89,647 |
Gross Unrealized Holding Losses, 12 Months or Longer | 12,123 | 5,564 |
Fair Value | 553,322 | 1,365,550 |
Gross Unrealized Holding Losses | 12,178 | 54,622 |
CMO's / REMIC's - residential [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less Than 12 Months | 0 | 104,322 |
Gross Unrealized Holding Losses, Less Than 12 Months | 0 | 1,780 |
Fair Value, 12 Months or Longer | 31,143 | 17,747 |
Gross Unrealized Holding Losses, 12 Months or Longer | 277 | 194 |
Fair Value | 31,143 | 122,069 |
Gross Unrealized Holding Losses | 277 | 1,974 |
Municipal bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less Than 12 Months | 1,953 | 47,116 |
Gross Unrealized Holding Losses, Less Than 12 Months | 23 | 3,359 |
Fair Value, 12 Months or Longer | 24,812 | 10,338 |
Gross Unrealized Holding Losses, 12 Months or Longer | 622 | 534 |
Fair Value | 26,765 | 57,454 |
Gross Unrealized Holding Losses | 645 | 3,893 |
Government agency [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less Than 12 Months | 22,224 | 267,936 |
Gross Unrealized Holding Losses, Less Than 12 Months | 28 | 20,514 |
Fair Value, 12 Months or Longer | 307,873 | 38,563 |
Gross Unrealized Holding Losses, 12 Months or Longer | 8,200 | 3,361 |
Fair Value | 330,097 | 306,499 |
Gross Unrealized Holding Losses | 8,228 | 23,875 |
Residential mortgage-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less Than 12 Months | 19,636 | 851,621 |
Gross Unrealized Holding Losses, Less Than 12 Months | 4 | 23,313 |
Fair Value, 12 Months or Longer | 145,681 | 22,999 |
Gross Unrealized Holding Losses, 12 Months or Longer | 3,024 | 1,475 |
Fair Value | 165,317 | 874,620 |
Gross Unrealized Holding Losses | 3,028 | 24,788 |
Other securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less Than 12 Months | 0 | 4,908 |
Gross Unrealized Holding Losses, Less Than 12 Months | 0 | 92 |
Fair Value, 12 Months or Longer | 0 | 0 |
Gross Unrealized Holding Losses, 12 Months or Longer | 0 | 0 |
Fair Value | 0 | 4,908 |
Gross Unrealized Holding Losses | $0 | $92 |
Investment_Securities_Summary_2
Investment Securities - Summary of Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Investments, Debt and Equity Securities [Abstract] | |
Due in one year or less, Amortized Cost | $156,040 |
Due after one year through five years, Amortized Cost | 2,056,835 |
Due after five years through ten years, Amortized Cost | 757,260 |
Due after ten years, Amortized Cost | 113,447 |
Total Available-for-sale Securities, Debt Maturities, Amortized Cost Basis | 3,083,582 |
Due in one year or less, Fair Value | 159,389 |
Due after one year through five years, Fair Value | 2,107,877 |
Due after five years through ten years, Fair Value | 754,160 |
Due after ten years, Fair Value | 115,732 |
Total, Available-for-sale, Fair Value | $3,137,158 |
Acquired_SJB_Assets_and_FDIC_L2
Acquired SJB Assets and FDIC Loss Sharing Asset - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | ||
Oct. 16, 2009 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Business Combinations [Abstract] | ||||
Acquisition date | 16-Oct-09 | |||
After-tax gain included in earnings due to purchase method | $12,300,000 | |||
Remaining discount associated with SJB loans | 7,100,000 | |||
Expected cash flows | 4,600,000 | |||
Remaining average lives of respective pools loans | 4 years | |||
Remaining average lives of respective individual loans | 3 months 18 days | |||
FDIC loss sharing asset | 299,000 | 4,764,000 | 18,489,000 | |
Loss sharing agreement expiration date | 16-Oct-14 | |||
Allowance for SJB loans | 0 | 0 | ||
Claims submitted for net losses on PCI loans | $122,000,000 |
Acquired_SJB_Assets_and_FDIC_L3
Acquired SJB Assets and FDIC Loss Sharing Asset - Summary of PCI Loans and Lease Finance Receivables (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Real estate: | ||
Less: Allowance for PCI loan losses | $0 | $0 |
PCI Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | 14,605 | 19,047 |
SBA | 1,110 | 1,414 |
Real estate: | ||
Commercial real estate | 109,350 | 141,141 |
Construction | 0 | 644 |
SFR mortgage | 205 | 313 |
Dairy & livestock and agribusiness | 4,890 | 6,000 |
Municipal lease finance receivables | 0 | 0 |
Consumer and other loans | 3,336 | 4,545 |
Gross PCI loans | 133,496 | 173,104 |
Less: Purchase accounting discount | -7,129 | -12,789 |
Gross PCI loans, net of discount | 126,367 | 160,315 |
Less: Allowance for PCI loan losses | 0 | 0 |
Net PCI loans | $126,367 | $160,315 |
Acquired_SJB_Assets_and_FDIC_L4
Acquired SJB Assets and FDIC Loss Sharing Asset - Summary of PCI Loans by Internal Risk Ratings (Detail) (PCI Loans [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total PCI gross loans | $133,496 | $173,104 |
Pass [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total PCI gross loans | 26,706 | 38,961 |
Watch List [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total PCI gross loans | 77,371 | 74,369 |
Special Mention [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total PCI gross loans | 8,203 | 15,492 |
Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total PCI gross loans | 21,216 | 44,241 |
Doubtful & Loss [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total PCI gross loans | $0 | $41 |
Acquired_SJB_Assets_and_FDIC_L5
Acquired SJB Assets and FDIC Loss Sharing Asset - Summary of Activity Related to FDIC Loss Sharing Asset (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
FDIC Indemnification Asset [Roll Forward] | ||
Balance, beginning of period | $4,764 | $18,489 |
FDIC share of additional losses, net of recoveries | 342 | -81 |
Cash paid to (received from) FDIC, net | 1,134 | -4 |
Net amortization | -3,932 | -12,779 |
Other reductions, net | -2,009 | -861 |
Balance, end of period | $299 | $4,764 |
Loans_and_Lease_Finance_Receiv2
Loans and Lease Finance Receivables and Allowance for Loan Losses - Summary of Components of Loan and Lease Finance Receivables, Excluding PCI Loans (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans, excluding PCI loans | $2,780,000 | |||
Gross loans, excluding PCI loans, net of deferred loan fees | 3,817,067 | 3,546,231 | ||
Less: Allowance for loan losses | -59,825 | -75,235 | ||
Total loans and lease finance receivables | 3,757,242 | 3,470,996 | ||
Loans, Excluding PCI Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Commercial and industrial | 390,011 | 376,800 | ||
SBA | 134,265 | 135,992 | ||
Commercial real estate | 2,487,803 | 2,207,515 | ||
Construction | 55,173 | 47,109 | ||
SFR mortgage | 205,124 | 189,233 | ||
Dairy & livestock and agribusiness | 279,173 | 294,292 | ||
Municipal lease finance receivables | 77,834 | 89,106 | ||
Consumer and other loans | 69,884 | 55,103 | ||
Gross loans, excluding PCI loans | 3,699,267 | 3,395,150 | ||
Less: Deferred loan fees, net | -8,567 | -9,234 | ||
Gross loans, excluding PCI loans, net of deferred loan fees | 3,690,700 | 3,385,916 | ||
Less: Allowance for loan losses | -59,825 | -75,235 | -92,441 | -93,964 |
Net PCI loans | 3,630,875 | 3,310,681 | ||
PCI Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Commercial and industrial | 14,605 | 19,047 | ||
PCI Loans | 133,496 | 173,104 | ||
SBA | 1,110 | 1,414 | ||
Discount on PCI loans | -7,129 | -12,789 | ||
Commercial real estate | 109,350 | 141,141 | ||
Construction | 0 | 644 | ||
SFR mortgage | 205 | 313 | ||
Dairy & livestock and agribusiness | 4,890 | 6,000 | ||
Municipal lease finance receivables | 0 | 0 | ||
Consumer and other loans | 3,336 | 4,545 | ||
Net PCI loans | $126,367 | $160,315 |
Loans_and_Lease_Finance_Receiv3
Loans and Lease Finance Receivables and Allowance for Loan Losses - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | |
SecurityLoan | SecurityLoan | SecurityLoan | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Fixed rate loans held | $1,790,000,000 | $1,790,000,000 | ||
Secure borrowings from FHLB and Federal Reserve Bank | 2,780,000,000 | 2,310,000,000 | 2,780,000,000 | |
Impaired construction speculative loans | 85,792,000 | 106,909,000 | 108,390,000 | 85,792,000 |
Loans classified as troubled debt restructured | 73,900,000 | 73,900,000 | ||
Provision for unfunded loan commitments | -1,250,000 | 500,000 | -1,000,000 | |
Reserve for credit risk for undisbursed commitments | 7,800,000 | 9,100,000 | 7,800,000 | |
Number of loans | 0 | 0 | ||
Allocation of allowance to troubled debt restructuring | 726,000 | 2,700,000 | 726,000 | |
Nonaccrual commercial real estate loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 23,300,000 | 23,300,000 | ||
Nonaccrual consumer loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 736,000 | 736,000 | ||
Loans, Excluding PCI Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Impaired construction speculative loans | 106,900,000 | |||
Outstanding balance | 32,186,000 | 39,954,000 | 32,186,000 | |
Nonaccrual commercial and industrial loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 2,300,000 | 2,300,000 | ||
Small Business Administration [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 2,500,000 | 2,500,000 | ||
Small Business Administration [Member] | Loans, Excluding PCI Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 2,481,000 | 1,686,000 | 2,481,000 | |
Construction Speculative [Member] | Loans, Excluding PCI Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 9,966,000 | |||
Performing financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Impaired construction speculative loans | 85,800,000 | 85,800,000 | ||
Loans classified as troubled debt restructured | 53,600,000 | 53,600,000 | ||
Number of performing loans | 36 | |||
Number of loans removed from TDR classification | 0 | 0 | ||
Performing financing receivable [Member] | Small Business Administration [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 699,000 | 699,000 | ||
Number of loans | 1 | |||
Nonperforming financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Impaired construction speculative loans | 20,300,000 | 20,300,000 | ||
Loans classified as troubled debt restructured | 20,300,000 | 20,300,000 | ||
Nonperforming financing receivable [Member] | Construction Speculative [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Impaired construction speculative loans | 9,600,000 | 9,600,000 | ||
Nonaccrual single family mortgage loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 3,200,000 | 3,200,000 | ||
Allowance impaired loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 1,500,000 | 1,500,000 | ||
Allowance impaired non-covered loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Impaired construction speculative loans | 3,200,000 | |||
Commercial real estate loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage of total loan portfolio | 67.25% | 67.25% | ||
Number of loans | 1 | |||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 2,400,000 | |||
Commercial real estate loans [Member] | Performing financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 24,700,000 | 24,700,000 | ||
Number of loans | 11 | |||
Construction [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percentage of total loan portfolio | 1.44% | 1.44% | ||
Number of loans | 1 | |||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 10,700,000 | |||
Construction [Member] | Performing financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 7,700,000 | 7,700,000 | ||
Number of loans | 1 | |||
Dairy & livestock and agribusiness [Member] | Performing financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 15,700,000 | 15,700,000 | ||
Number of loans | 8 | |||
Single-family Residential Loans [Member] | Performing financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 3,700,000 | 3,700,000 | ||
Number of loans | 11 | |||
Commercial and industrial [Member] | Performing financing receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans classified as troubled debt restructured | 711,000 | 711,000 | ||
Number of loans | 3 | |||
Nonaccrual dairy and livestock loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Outstanding balance | 103,000 | 103,000 | ||
Impaired loans modified in troubled debt restructure [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Impaired construction speculative loans | $73,900,000 | $73,900,000 |
Loans_and_Lease_Finance_Receiv4
Loans and Lease Finance Receivables and Allowance for Loan Losses - Summary of Activity Related to Loans Held-for-Sale (Detail) (Loans Held-for-Sale [Member], USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Loans Held-for-Sale [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance, beginning of period | $3,667 | $0 |
Originations of mortgage loans | 0 | 485 |
Sales of mortgage loans | 0 | -485 |
Transfer of mortgage loans to held for investment | 0 | 0 |
Sales of other loans | -3,667 | 0 |
Transfers of other loans to held-for-sale | 0 | 3,667 |
Write-down of loans held-for-sale | 0 | 0 |
Balance, end of period | $0 | $3,667 |
Loans_and_Lease_Finance_Receiv5
Loans and Lease Finance Receivables and Allowance for Loan Losses - Summary of Loan, Excluding PCI Loans by Internal Risk Ratings (Detail) (Loans, Excluding PCI Loans [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | $390,011 | $376,800 |
SBA | 134,265 | 135,992 |
Commercial real estate, Owner occupied | 790,367 | 729,951 |
Commercial real estate, Non-owner occupied | 1,697,436 | 1,477,564 |
Construction, Speculative | 36,574 | 27,778 |
Construction, Non-speculative | 18,599 | |
Construction, Non-speculative | 19,331 | |
SFR mortgage | 205,124 | 189,233 |
Dairy & livestock and agribusiness | 279,173 | 294,292 |
Municipal lease finance receivables | 77,834 | 89,106 |
Consumer and other loans | 69,884 | 55,103 |
Total gross loans, excluding PCI loans | 3,699,267 | 3,395,150 |
Pass [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | 234,029 | 228,976 |
SBA | 84,769 | 83,951 |
Commercial real estate, Owner occupied | 552,072 | 449,853 |
Commercial real estate, Non-owner occupied | 1,347,006 | 1,104,065 |
Construction, Speculative | 28,310 | 8,611 |
Construction, Non-speculative | 18,071 | |
Construction, Non-speculative | 6,940 | |
SFR mortgage | 174,311 | 152,500 |
Dairy & livestock and agribusiness | 174,783 | 43,588 |
Municipal lease finance receivables | 35,463 | 43,445 |
Consumer and other loans | 62,904 | 43,225 |
Total gross loans, excluding PCI loans | 2,711,718 | 2,165,154 |
Watch List [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | 105,904 | 100,016 |
SBA | 24,124 | 28,052 |
Commercial real estate, Owner occupied | 159,908 | 147,165 |
Commercial real estate, Non-owner occupied | 241,809 | 242,431 |
Construction, Speculative | 613 | 21 |
Construction, Non-speculative | 528 | |
Construction, Non-speculative | 3,190 | |
SFR mortgage | 20,218 | 20,485 |
Dairy & livestock and agribusiness | 85,660 | 86,580 |
Municipal lease finance receivables | 22,349 | 18,338 |
Consumer and other loans | 2,233 | 6,938 |
Total gross loans, excluding PCI loans | 663,346 | 653,216 |
Special Mention [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | 33,795 | 38,219 |
SBA | 15,858 | 15,198 |
Commercial real estate, Owner occupied | 46,248 | 74,999 |
Commercial real estate, Non-owner occupied | 56,353 | 81,088 |
Construction, Speculative | 0 | 1,529 |
Construction, Non-speculative | 0 | |
Construction, Non-speculative | 0 | |
SFR mortgage | 2,442 | 3,302 |
Dairy & livestock and agribusiness | 8,612 | 92,514 |
Municipal lease finance receivables | 20,022 | 20,893 |
Consumer and other loans | 1,789 | 3,449 |
Total gross loans, excluding PCI loans | 185,119 | 331,191 |
Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | 16,031 | 9,560 |
SBA | 7,920 | 8,390 |
Commercial real estate, Owner occupied | 32,139 | 57,934 |
Commercial real estate, Non-owner occupied | 52,268 | 49,980 |
Construction, Speculative | 7,651 | 17,617 |
Construction, Non-speculative | 0 | |
Construction, Non-speculative | 9,201 | |
SFR mortgage | 8,153 | 12,946 |
Dairy & livestock and agribusiness | 10,015 | 69,005 |
Municipal lease finance receivables | 0 | 6,430 |
Consumer and other loans | 2,763 | 1,491 |
Total gross loans, excluding PCI loans | 136,940 | 242,554 |
Doubtful & Loss [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial and industrial | 252 | 29 |
SBA | 1,594 | 401 |
Commercial real estate, Owner occupied | 0 | 0 |
Commercial real estate, Non-owner occupied | 0 | 0 |
Construction, Speculative | 0 | 0 |
Construction, Non-speculative | 0 | |
Construction, Non-speculative | 0 | |
SFR mortgage | 0 | 0 |
Dairy & livestock and agribusiness | 103 | 2,605 |
Municipal lease finance receivables | 0 | 0 |
Consumer and other loans | 195 | 0 |
Total gross loans, excluding PCI loans | $2,144 | $3,035 |
Loans_and_Lease_Finance_Receiv6
Loans and Lease Finance Receivables and Allowance for Loan Losses - Schedule of Balance and Activity Related to Allowance for Loan Losses for Held-for-Investment Loans, Excluding PCI Loans by Portfolio Segment (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | $75,235 | $75,235 | |||||||||
Provision for loan losses | 0 | -1,000 | -7,600 | -7,500 | -6,800 | -3,750 | -6,200 | 0 | -16,100 | -16,750 | 0 |
Ending Balance | 59,825 | 75,235 | 59,825 | 75,235 | |||||||
Loans, Excluding PCI Loans [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 75,235 | 92,441 | 75,235 | 92,441 | 93,964 | ||||||
Charge-offs | -2,369 | -2,851 | -5,207 | ||||||||
Recoveries | 3,059 | 2,395 | 3,027 | ||||||||
Provision for loan losses | -16,100 | -16,750 | 657 | ||||||||
Ending Balance | 59,825 | 75,235 | 59,825 | 75,235 | 92,441 | ||||||
Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 8,502 | 8,901 | 8,502 | 8,901 | 8,030 | ||||||
Charge-offs | -888 | -2,491 | -1,158 | ||||||||
Recoveries | 873 | 544 | 876 | ||||||||
Provision for loan losses | -1,413 | 1,548 | 1,153 | ||||||||
Ending Balance | 7,074 | 8,502 | 7,074 | 8,502 | 8,901 | ||||||
Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 2,332 | 2,751 | 2,332 | 2,751 | 2,624 | ||||||
Charge-offs | -50 | 0 | -101 | ||||||||
Recoveries | 114 | 215 | 404 | ||||||||
Provision for loan losses | 161 | -634 | -176 | ||||||||
Ending Balance | 2,557 | 2,332 | 2,557 | 2,332 | 2,751 | ||||||
Loans, Excluding PCI Loans [Member] | Commercial real estate [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 39,402 | 47,457 | 39,402 | 47,457 | 47,841 | ||||||
Charge-offs | -353 | 0 | -1,873 | ||||||||
Recoveries | 140 | 402 | 514 | ||||||||
Provision for loan losses | -5,816 | -8,457 | 975 | ||||||||
Ending Balance | 33,373 | 39,402 | 33,373 | 39,402 | 47,457 | ||||||
Loans, Excluding PCI Loans [Member] | Construction [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 1,305 | 2,291 | 1,305 | 2,291 | 4,947 | ||||||
Charge-offs | 0 | 0 | 0 | ||||||||
Recoveries | 885 | 703 | 1,139 | ||||||||
Provision for loan losses | -1,202 | -1,689 | -3,795 | ||||||||
Ending Balance | 988 | 1,305 | 988 | 1,305 | 2,291 | ||||||
Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 2,718 | 3,448 | 2,718 | 3,448 | 4,032 | ||||||
Charge-offs | 0 | -252 | -642 | ||||||||
Recoveries | 401 | 367 | -108 | ||||||||
Provision for loan losses | -775 | -845 | 166 | ||||||||
Ending Balance | 2,344 | 2,718 | 2,344 | 2,718 | 3,448 | ||||||
Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 11,728 | 18,696 | 11,728 | 18,696 | 17,278 | ||||||
Charge-offs | -1,061 | 0 | -1,150 | ||||||||
Recoveries | 492 | 109 | 166 | ||||||||
Provision for loan losses | -5,680 | -7,077 | 2,402 | ||||||||
Ending Balance | 5,479 | 11,728 | 5,479 | 11,728 | 18,696 | ||||||
Loans, Excluding PCI Loans [Member] | Municipal lease finance receivables [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 2,335 | 1,588 | 2,335 | 1,588 | 2,403 | ||||||
Charge-offs | 0 | 0 | 0 | ||||||||
Recoveries | 0 | 0 | 0 | ||||||||
Provision for loan losses | -923 | 747 | -815 | ||||||||
Ending Balance | 1,412 | 2,335 | 1,412 | 2,335 | 1,588 | ||||||
Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 960 | 1,170 | 960 | 1,170 | 1,590 | ||||||
Charge-offs | -17 | -108 | -283 | ||||||||
Recoveries | 154 | 55 | 36 | ||||||||
Provision for loan losses | 165 | -157 | -173 | ||||||||
Ending Balance | 1,262 | 960 | 1,262 | 960 | 1,170 | ||||||
Loans, Excluding PCI Loans [Member] | Unallocated [Member] | |||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||
Beginning Balance | 5,953 | 6,139 | 5,953 | 6,139 | 5,219 | ||||||
Charge-offs | 0 | 0 | 0 | ||||||||
Recoveries | 0 | 0 | 0 | ||||||||
Provision for loan losses | -617 | -186 | 920 | ||||||||
Ending Balance | $5,336 | $5,953 | $5,336 | $5,953 | $6,139 |
Loans_and_Lease_Finance_Receiv7
Loans and Lease Finance Receivables and Allowance for Loan Losses - Schedule of Recorded Investment in Loans Held-for-Investment, Excluding PCI Loans, and Related Allowance for Loan Losses by Portfolio Segment (Detail) (Loans, Excluding PCI Loans [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | $85,792 | $106,909 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 3,613,475 | 3,288,241 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 1,549 | 3,174 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 58,276 | 72,061 |
Commercial and industrial [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 3,020 | 3,348 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 386,991 | 373,452 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 615 | 293 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 6,459 | 8,209 |
Small Business Administration [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 3,180 | 1,685 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 131,085 | 134,307 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 296 | 72 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 2,261 | 2,260 |
Commercial real estate [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 48,011 | 33,440 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 2,439,792 | 2,174,075 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 154 | 0 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 33,219 | 39,402 |
Construction [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 7,651 | 26,818 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 47,522 | 20,291 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 988 | 1,305 |
SFR mortgage [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 6,979 | 11,405 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 198,145 | 177,828 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 35 | 103 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 2,309 | 2,615 |
Dairy & livestock and agribusiness [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 15,796 | 29,812 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 263,377 | 264,480 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 2,702 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 5,479 | 9,026 |
Municipal lease finance receivables [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | 0 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 77,834 | 89,106 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 1,412 | 2,335 |
Consumer and other loans [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 1,155 | 401 |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 58,749 | 54,702 |
Allowance for Loan Losses, Individually Evaluated for Impairment | 449 | 4 |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 813 | 956 |
Unallocated [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | |
Recorded Investment in Loans, Collectively Evaluated for Impairment | 9,980 | |
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | |
Allowance for Loan Losses, Collectively Evaluated for Impairment | $5,336 | $5,953 |
Loans_and_Lease_Finance_Receiv8
Loans and Lease Finance Receivables and Allowance for Loan Losses - Schedule of Recorded Investment in, and Aging of, Past Due and Nonaccrual Loans, Excluding PCI Loans by Class of Loans (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans, excluding PCI loans | $2,780,000,000 | |
Small Business Administration [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Nonaccrual | 2,500,000 | |
Loans, Excluding PCI Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 1,543,000 | 2,271,000 |
60-89 Days Past Due | 138,000 | 1,028,000 |
Total Past Due and Accruing | 1,681,000 | 3,299,000 |
Nonaccrual | 32,186,000 | 39,954,000 |
Current | 3,665,400,000 | 3,351,897,000 |
Gross loans, excluding PCI loans | 3,699,267,000 | 3,395,150,000 |
Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 943,000 | 900,000 |
60-89 Days Past Due | 35,000 | 93,000 |
Total Past Due and Accruing | 978,000 | 993,000 |
Nonaccrual | 2,308,000 | 2,175,000 |
Current | 386,725,000 | 373,632,000 |
Gross loans, excluding PCI loans | 390,011,000 | 376,800,000 |
Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 75,000 | 0 |
60-89 Days Past Due | 0 | 0 |
Total Past Due and Accruing | 75,000 | 0 |
Nonaccrual | 2,481,000 | 1,686,000 |
Current | 131,709,000 | 134,306,000 |
Gross loans, excluding PCI loans | 134,265,000 | 135,992,000 |
Loans, Excluding PCI Loans [Member] | Commercial real estate Owner occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 36,000 | 220,000 |
60-89 Days Past Due | 86,000 | 0 |
Total Past Due and Accruing | 122,000 | 220,000 |
Nonaccrual | 4,072,000 | 4,105,000 |
Current | 786,173,000 | 725,626,000 |
Gross loans, excluding PCI loans | 790,367,000 | 729,951,000 |
Loans, Excluding PCI Loans [Member] | Commercial real estate Non-owner occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 0 | 303,000 |
60-89 Days Past Due | 0 | 0 |
Total Past Due and Accruing | 0 | 303,000 |
Nonaccrual | 19,246,000 | 8,305,000 |
Current | 678,190,000 | 1,468,956,000 |
Gross loans, excluding PCI loans | 1,697,436,000 | 1,477,564,000 |
Loans, Excluding PCI Loans [Member] | Construction Speculative [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 0 | 0 |
60-89 Days Past Due | 0 | 0 |
Total Past Due and Accruing | 0 | 0 |
Nonaccrual | 9,966,000 | |
Current | 36,574,000 | 17,812,000 |
Gross loans, excluding PCI loans | 36,574,000 | 27,778,000 |
Loans, Excluding PCI Loans [Member] | Construction Non-speculative [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 0 | 0 |
60-89 Days Past Due | 0 | 0 |
Total Past Due and Accruing | 0 | 0 |
Nonaccrual | 0 | 0 |
Current | 18,599,000 | 19,331,000 |
Gross loans, excluding PCI loans | 18,599,000 | 19,331,000 |
Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 425,000 | 773,000 |
60-89 Days Past Due | 0 | 935,000 |
Total Past Due and Accruing | 425,000 | 1,708,000 |
Nonaccrual | 3,240,000 | 7,577,000 |
Current | 201,459,000 | 179,948,000 |
Gross loans, excluding PCI loans | 205,124,000 | 189,233,000 |
Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 0 | 0 |
60-89 Days Past Due | 0 | 0 |
Total Past Due and Accruing | 0 | 0 |
Nonaccrual | 103,000 | 5,739,000 |
Current | 279,070,000 | 288,553,000 |
Gross loans, excluding PCI loans | 279,173,000 | 294,292,000 |
Loans, Excluding PCI Loans [Member] | Municipal lease finance receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 0 | 0 |
60-89 Days Past Due | 0 | 0 |
Total Past Due and Accruing | 0 | 0 |
Nonaccrual | 0 | 0 |
Current | 77,834,000 | 89,106,000 |
Gross loans, excluding PCI loans | 77,834,000 | 89,106,000 |
Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
30-59 Days Past Due | 64,000 | 75,000 |
60-89 Days Past Due | 17,000 | 0 |
Total Past Due and Accruing | 81,000 | 75,000 |
Nonaccrual | 736,000 | 401,000 |
Current | 69,067,000 | 54,627,000 |
Gross loans, excluding PCI loans | $69,884,000 | $55,103,000 |
Loans_and_Lease_Finance_Receiv9
Loans and Lease Finance Receivables and Allowance for Loan Losses - Schedule of Recorded Investment in, and Aging of, Past Due and Nonaccrual Loans, Excluding PCI Loans by Class of Loans (Parenthetical) (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Receivables [Abstract] | ||
Nonaccruing loans, current | $20,100,000 | $23,900,000 |
Nonaccruing loans, 30-59 days past due | 3,700,000 | 473,000 |
Nonaccruing loans, 90+ days past due | 8,500,000 | 14,700,000 |
Nonaccruing loans, 60-89 days past due | $854,000 |
Recovered_Sheet1
Loans and Lease Finance Receivables and Allowance for Loan Losses - Schedule of Held-for-Investment Loans, Excluding PCI Loans, Individually Evaluated for Impairment by Class of Loans (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, Total impaired loans | $85,792 | $106,909 | $108,390 |
Unpaid Principal Balance, Total impaired loans | 100,527 | 118,157 | 125,631 |
Related Allowance, Total impaired loans | 1,549 | 3,174 | 2,332 |
Average Recorded Investment, Total impaired loans | 89,031 | 111,263 | 110,479 |
Interest Income Recognized, Total impaired loans | 3,234 | 3,059 | 2,300 |
Recorded Investment, With no related allowance recorded | 81,905 | 93,932 | 99,925 |
Unpaid Principal Balance, With no related allowance recorded | 95,968 | 104,487 | 116,800 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 86,433 | 97,003 | 102,609 |
Interest Income Recognized, With no related allowance recorded | 3,234 | 2,850 | 2,227 |
Recorded Investment, With a related allowance recorded | 3,887 | 12,977 | 8,465 |
Unpaid Principal Balance, With a related allowance recorded | 3,624 | 13,670 | 8,831 |
Related Allowance, With a related allowance recorded | 1,549 | 3,174 | 2,332 |
Average Recorded Investment, With a related allowance recorded | 2,598 | 14,260 | 7,870 |
Interest Income Recognized, With a related allowance recorded | 0 | 209 | 73 |
Commercial and industrial [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 2,391 | 3,055 | 1,936 |
Unpaid Principal Balance, With no related allowance recorded | 3,624 | 3,843 | 2,476 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 2,487 | 3,248 | 2,131 |
Interest Income Recognized, With no related allowance recorded | 41 | 66 | 43 |
Recorded Investment, With a related allowance recorded | 629 | 293 | 304 |
Unpaid Principal Balance, With a related allowance recorded | 698 | 301 | 327 |
Related Allowance, With a related allowance recorded | 615 | 293 | 289 |
Average Recorded Investment, With a related allowance recorded | 552 | 305 | 387 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Small Business Administration [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 1,853 | 1,613 | 1,449 |
Unpaid Principal Balance, With no related allowance recorded | 2,197 | 2,084 | 1,739 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 1,886 | 1,717 | 1,635 |
Interest Income Recognized, With no related allowance recorded | 53 | 0 | 0 |
Recorded Investment, With a related allowance recorded | 1,327 | 72 | 0 |
Unpaid Principal Balance, With a related allowance recorded | 1,591 | 78 | 0 |
Related Allowance, With a related allowance recorded | 296 | 72 | 0 |
Average Recorded Investment, With a related allowance recorded | 714 | 81 | 0 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Commercial real estate Owner occupied [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 16,961 | 13,041 | 13,478 |
Unpaid Principal Balance, With no related allowance recorded | 18,166 | 14,133 | 14,569 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 18,027 | 13,463 | 14,459 |
Interest Income Recognized, With no related allowance recorded | 938 | 548 | 397 |
Recorded Investment, With a related allowance recorded | 0 | 0 | 19 |
Unpaid Principal Balance, With a related allowance recorded | 0 | 0 | 19 |
Related Allowance, With a related allowance recorded | 0 | 0 | 2 |
Average Recorded Investment, With a related allowance recorded | 0 | 0 | 28 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Commercial real estate Non-owner occupied [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 30,068 | 20,399 | 28,639 |
Unpaid Principal Balance, With no related allowance recorded | 38,156 | 26,155 | 38,633 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 30,133 | 21,313 | 29,801 |
Interest Income Recognized, With no related allowance recorded | 723 | 817 | 670 |
Recorded Investment, With a related allowance recorded | 982 | 0 | 0 |
Unpaid Principal Balance, With a related allowance recorded | 1,278 | 0 | 0 |
Related Allowance, With a related allowance recorded | 154 | 0 | 0 |
Average Recorded Investment, With a related allowance recorded | 573 | 0 | 0 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Construction Speculative [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 7,651 | 17,617 | 21,314 |
Unpaid Principal Balance, With no related allowance recorded | 7,651 | 18,408 | 21,607 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 7,651 | 18,043 | 21,650 |
Interest Income Recognized, With no related allowance recorded | 310 | 310 | 311 |
Recorded Investment, With a related allowance recorded | 0 | 0 | 0 |
Unpaid Principal Balance, With a related allowance recorded | 0 | 0 | 0 |
Related Allowance, With a related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With a related allowance recorded | 0 | 0 | 0 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Construction Non-speculative [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 0 | 9,201 | 9,219 |
Unpaid Principal Balance, With no related allowance recorded | 0 | 9,201 | 9,219 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 0 | 9,217 | 9,219 |
Interest Income Recognized, With no related allowance recorded | 0 | 572 | 574 |
Recorded Investment, With a related allowance recorded | 0 | 0 | 0 |
Unpaid Principal Balance, With a related allowance recorded | 0 | 0 | 0 |
Related Allowance, With a related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With a related allowance recorded | 0 | 0 | 0 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
SFR mortgage [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 6,512 | 10,919 | 11,079 |
Unpaid Principal Balance, With no related allowance recorded | 7,493 | 12,516 | 14,342 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 6,566 | 10,408 | 11,292 |
Interest Income Recognized, With no related allowance recorded | 110 | 103 | 54 |
Recorded Investment, With a related allowance recorded | 467 | 486 | 3,766 |
Unpaid Principal Balance, With a related allowance recorded | 484 | 489 | 4,071 |
Related Allowance, With a related allowance recorded | 35 | 103 | 434 |
Average Recorded Investment, With a related allowance recorded | 474 | 479 | 3,363 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Dairy & livestock and agribusiness [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 15,796 | 17,702 | 12,406 |
Unpaid Principal Balance, With no related allowance recorded | 17,587 | 17,702 | 13,756 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 19,060 | 19,205 | 11,834 |
Interest Income Recognized, With no related allowance recorded | 1,057 | 434 | 173 |
Recorded Investment, With a related allowance recorded | 0 | 12,110 | 4,303 |
Unpaid Principal Balance, With a related allowance recorded | 0 | 12,783 | 4,340 |
Related Allowance, With a related allowance recorded | 0 | 2,702 | 1,596 |
Average Recorded Investment, With a related allowance recorded | 0 | 13,377 | 4,017 |
Interest Income Recognized, With a related allowance recorded | 0 | 209 | 73 |
Municipal lease finance receivables [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 0 | 0 | 263 |
Unpaid Principal Balance, With no related allowance recorded | 0 | 0 | 263 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 0 | 0 | 443 |
Interest Income Recognized, With no related allowance recorded | 0 | 0 | 5 |
Recorded Investment, With a related allowance recorded | 0 | 0 | 0 |
Unpaid Principal Balance, With a related allowance recorded | 0 | 0 | 0 |
Related Allowance, With a related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With a related allowance recorded | 0 | 0 | 0 |
Interest Income Recognized, With a related allowance recorded | 0 | 0 | 0 |
Consumer and other loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recorded Investment, With no related allowance recorded | 673 | 385 | 142 |
Unpaid Principal Balance, With no related allowance recorded | 1,094 | 445 | 196 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Average Recorded Investment, With no related allowance recorded | 623 | 389 | 145 |
Interest Income Recognized, With no related allowance recorded | 2 | 0 | 0 |
Recorded Investment, With a related allowance recorded | 482 | 16 | 73 |
Unpaid Principal Balance, With a related allowance recorded | 508 | 19 | 74 |
Related Allowance, With a related allowance recorded | 449 | 4 | 11 |
Average Recorded Investment, With a related allowance recorded | 285 | 18 | 75 |
Interest Income Recognized, With a related allowance recorded | $0 | $0 | $0 |
Recovered_Sheet2
Loans and Lease Finance Receivables and Allowance for Loan Losses - Schedule of Held-for-Investment Loans, Excluding PCI Loans, Individually Evaluated for Impairment by Class of Loans (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Receivables [Abstract] | |||
Recorded Investment, With no related allowance recorded | $81,905 | $93,932 | $99,925 |
Recorded Investment, With a related allowance recorded | 3,887 | 12,977 | 8,465 |
Recorded Investment, Total impaired loans | 85,792 | 106,909 | 108,390 |
Unpaid Principal Balance, With no related allowance recorded | 95,968 | 104,487 | 116,800 |
Unpaid Principal Balance, With a related allowance recorded | 3,624 | 13,670 | 8,831 |
Related Allowance, Total impaired loans | 100,527 | 118,157 | 125,631 |
Related Allowance, With no related allowance recorded | 0 | 0 | 0 |
Related Allowance, With a related allowance recorded | 1,549 | 3,174 | 2,332 |
Related Allowance, Total impaired loans | 1,549 | 3,174 | 2,332 |
Average Recorded Investment, With no related allowance recorded | 86,433 | 97,003 | 102,609 |
Average Recorded Investment, With a related allowance recorded | 2,598 | 14,260 | 7,870 |
Average Recorded Investment, Total impaired loans | 89,031 | 111,263 | 110,479 |
Interest Income Recognized, With no related allowance recorded | 3,234 | 2,850 | 2,227 |
Interest Income Recognized, With a related allowance recorded | 0 | 209 | 73 |
Interest Income Recognized, Total impaired loans | $3,234 | $3,059 | $2,300 |
Recovered_Sheet3
Loans and Lease Finance Receivables and Allowance for Loan Losses - Summary of Activity Related to Troubled Debt Restructurings (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Performing TDRs [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Beginning balance | $66,955 | $50,392 |
New modifications | 462 | 30,796 |
Payoffs and payments, net | -14,527 | -15,492 |
TDRs returned to accrual status | 699 | 1,259 |
TDRs placed on nonaccrual status | 0 | 0 |
Ending balance | 53,589 | 66,955 |
Nonperforming TDRs [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Beginning balance | 25,119 | 31,309 |
New modifications | 4,372 | 4,187 |
Charge-offs | -1,061 | -92 |
Payoffs and payments, net | -7,446 | -9,026 |
TDRs returned to accrual status | -699 | -1,259 |
TDRs placed on nonaccrual status | 0 | 0 |
Ending balance | $20,285 | $25,119 |
Recovered_Sheet4
Loans and Lease Finance Receivables and Allowance for Loan Losses - Summary of Loans Modified as Troubled Debt Restructurings (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Contract | Contract | Contract | |
American Security Bank [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 6 | ||
Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 3 | ||
Loans [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 8 | 18 | 31 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | $4,746 | $29,069 | $37,221 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 974 | 29,069 | 37,221 |
Troubled debt restructurings, Outstanding Recorded Investment | 4,597 | 24,719 | 34,956 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 185 | 244 | 3 |
Commercial and industrial [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 3 | 0 | 1 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 553 | 0 | 80 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 553 | 0 | 80 |
Troubled debt restructurings, Outstanding Recorded Investment | 522 | 0 | 66 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 185 | 0 | 0 |
Commercial and industrial [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 4 | 8 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 621 | 2,301 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 621 | 2,301 |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 570 | 1,817 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 95 | 3 |
Commercial real estate Owner occupied [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 1 | 0 | 0 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 199 | 0 | 0 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Troubled debt restructurings, Outstanding Recorded Investment | 187 | 0 | 0 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | 0 |
Commercial real estate Owner occupied [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 1 | 6 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 168 | 4,225 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 168 | 4,225 |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 138 | 3,903 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | 0 |
Commercial real estate Owner occupied [Member] | Other [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Commercial real estate Non-owner occupied [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 3 | 0 | 1 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 3,573 | 0 | 3,378 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 0 | 3,378 |
Troubled debt restructurings, Outstanding Recorded Investment | 3,469 | 0 | 3,359 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | 0 |
Commercial real estate Non-owner occupied [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 0 | 4 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 0 | 5,906 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 0 | 5,906 |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 0 | 5,303 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | 0 |
Commercial real estate Non-owner occupied [Member] | Other [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Construction Speculative [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 0 | |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 0 | |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 0 | |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 0 | |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | |
Construction Speculative [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 1 | |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 10,966 | |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 10,966 | |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 10,663 | |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | |
Construction Non-speculative [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Construction Non-speculative [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Construction Non-speculative [Member] | Other [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Single Family Mortgage Loans [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 3 | 1 | |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 1,365 | 399 | |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 1,365 | 399 | |
Troubled debt restructurings, Outstanding Recorded Investment | 1,349 | 398 | |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | |
Single Family Mortgage Loans [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 0 | |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 0 | |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 0 | |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 0 | |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | |
Dairy & livestock and agribusiness [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 0 | 0 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 0 | 0 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 0 | 0 |
Dairy & livestock and agribusiness [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | 10 | 7 |
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | 26,915 | 9,447 |
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | 26,915 | 9,447 |
Troubled debt restructurings, Outstanding Recorded Investment | 0 | 22,662 | 9,184 |
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | 149 | 0 |
Municipal lease finance receivables [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 0 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 0 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Municipal lease finance receivables [Member] | Change in amortization period or maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 2 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 519 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 519 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 263 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | 0 | ||
Consumer [Member] | Interest rate reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, Number of Loans | 1 | ||
Troubled debt restructurings, Pre-Modification Outstanding Recorded Investment | 421 | ||
Troubled debt restructurings, Post-Modification Outstanding Recorded Investment | 421 | ||
Troubled debt restructurings, Outstanding Recorded Investment | 419 | ||
Troubled debt restructurings, Financial Effect Resulting From Modifications | $0 |
Other_Real_Estate_Owned_Summar
Other Real Estate Owned - Summary of Activity Related to Total OREO (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
SEC Schedule III, Real Estate and Accumulated Depreciation Disclosure [Abstract] | ||
Balance, beginning of period | $6,979 | $15,899 |
Additions | 3,591 | 1,492 |
Dispositions | -4,868 | -9,923 |
Valuation adjustments | -65 | -489 |
Balance, end of period | $5,637 | $6,979 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Changes in Carrying Amount of Goodwill (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Balance, beginning of period | $55,097 | $55,097 |
Addition from the ASB acquisition | 19,147 | 0 |
Balance, end of period | $74,244 | $55,097 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Summary of Amortizable Intangible Assets (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Balance of intangible assets, Gross CDI Carrying Amount, Beginning of period | $31,999 | $31,999 | |
Additions due to acquisitions | 2,090 | 0 | |
Balance of intangible assets, Gross CDI Carrying Amount, End of period | 34,089 | 31,999 | 31,999 |
Aggregate amortization expense, Gross CDI Carrying Amount | 1,137 | 1,127 | 2,159 |
Estimated Amortization Expense, 2015 | 949 | ||
Estimated Amortization Expense, 2016 | 737 | ||
Estimated Amortization Expense, 2017 | 631 | ||
Estimated Amortization Expense, 2018 | 562 | ||
Estimated Amortization Expense, 2019 | 335 | ||
Estimated Amortization Expense, Thereafter | 0 | ||
Balance of intangible assets, Accumulated Amortization, Beginning of period | -29,738 | -28,610 | |
Amortizing intangible assets, Accumulated Amortization, End of period | -30,875 | -29,738 | -28,610 |
Balance of intangible assets, Net CDI Amount, Beginning of period | 2,261 | 3,389 | |
Balance of intangible assets, Net CDI Amount, End of period | $3,214 | $2,261 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |
Approximately weighted average remaining life of intangible assets | 1 year 6 months |
American Security Bank [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Approximately weighted average remaining life of intangible assets | 1 year 4 months 24 days |
Premises_and_Equipment_Schedul
Premises and Equipment - Schedule of Premises and Equipment (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Abstract] | ||
Land | $8,425 | $8,329 |
Bank premises | 48,481 | 47,535 |
Furniture and equipment | 39,272 | 39,502 |
Premises and equipment, gross | 96,178 | 95,366 |
Accumulated depreciation and amortization | -62,587 | -62,535 |
Premises and equipment, net | $33,591 | $32,831 |
Premises_and_Equipment_Future_
Premises and Equipment - Future Minimum Annual Rental Payments for Noncancelable Leases (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Leases [Abstract] | |
2015 | $5,479 |
2016 | 4,915 |
2017 | 4,053 |
2018 | 2,746 |
2019 | 1,567 |
Thereafter | 845 |
Total | $19,605 |
Premises_and_Equipment_Additio
Premises and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Abstract] | |||
Rental expense | $5.70 | $5.50 | $5.60 |
Other_Assets_Summary_of_Other_
Other Assets - Summary of Other Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Prepaid Expenses | $4,109 | $3,703 |
Interest rate swaps | 10,080 | 10,846 |
Other Assets | 11,012 | 6,375 |
Total | $25,201 | $20,924 |
Income_Taxes_Schedule_of_Incom
Income Taxes - Schedule of Income Tax Expense (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current provision: | |||
Federal | $38,957 | $38,881 | $35,089 |
State | 15,968 | 13,996 | 15,910 |
Current provision, total | 54,925 | 52,877 | 50,999 |
Deferred provision (benefit): | |||
Federal | 2,534 | -3,260 | -10,102 |
State | 1,317 | -950 | -3,484 |
Deferred provision (benefit), total | 3,851 | -4,210 | -13,586 |
Provision for income taxes | $58,776 | $48,667 | $37,413 |
Income_Taxes_Schedule_of_Incom1
Income Taxes - Schedule of Income Tax Asset (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current: | ||
Income tax asset , Current, Total | $8,959 | $4,175 |
Deferred: | ||
Income tax asset , Deferred, Total | 22,502 | 55,611 |
Income tax asset (liability), Total | 31,461 | 59,786 |
Federal [Member] | ||
Current: | ||
Income tax asset , Current, Total | 4,522 | 2,838 |
Deferred: | ||
Income tax asset , Deferred, Total | 18,304 | 42,545 |
State [Member] | ||
Current: | ||
Income tax asset , Current, Total | 4,437 | 1,337 |
Deferred: | ||
Income tax asset , Deferred, Total | $4,198 | $13,066 |
Income_Taxes_Components_of_Net
Income Taxes - Components of Net Deferred Tax Asset (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Federal [Member] | ||
Deferred tax assets: | ||
Bad debt and credit loss deduction | $23,805 | $29,700 |
Net operating loss carryforward | 672 | 781 |
Deferred compensation | 3,300 | 3,024 |
Other intangibles | 5 | 8 |
PCI loans | 23,667 | 26,360 |
California franchise tax | 3,461 | 1,629 |
Unrealized loss on investment securities, net | 0 | 5,012 |
Other, net | 6,140 | 4,907 |
Gross deferred tax asset | 61,050 | 71,421 |
Deferred tax liabilities: | ||
Depreciation | 4,019 | 5,489 |
Intangibles - acquistions | 1,858 | 2,024 |
FDIC indemnification asset | 13,831 | 14,269 |
FHLB stock | 3,913 | 4,388 |
Deferred income | 2,430 | 2,706 |
Unrealized gain on investment securities, net | 16,695 | 0 |
Gross deferred tax liability | 42,746 | 28,876 |
Net deferred tax asset | 18,304 | 42,545 |
State [Member] | ||
Deferred tax assets: | ||
Bad debt and credit loss deduction | 6,014 | 8,226 |
Net operating loss carryforward | 34 | 34 |
Deferred compensation | 1,030 | 942 |
Other intangibles | 668 | 620 |
FDIC indemnification asset | 6,498 | 6,363 |
Unrealized loss on investment securities, net | 0 | 1,744 |
Other, net | 1,911 | 1,554 |
Gross deferred tax asset | 16,155 | 19,483 |
Deferred tax liabilities: | ||
Depreciation | -589 | -1,058 |
PCI loans | 4,389 | 3,935 |
FHLB stock | -797 | -945 |
Deferred income | -374 | -479 |
Unrealized gain on investment securities, net | -5,808 | 0 |
Gross deferred tax liability | 11,957 | 6,417 |
Net deferred tax asset | $4,198 | $13,066 |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Statutory Income Tax Rate to Consolidated Effective Income Tax Rate (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||
Federal income tax at statutory rate, rate | 35.00% | 35.00% | 35.00% |
State franchise taxes, net of federal benefit, rate | 6.90% | 6.10% | 7.00% |
Tax-exempt income, rate | -5.30% | -7.10% | -9.30% |
Tax credits, rate | -0.60% | -0.70% | -1.10% |
Other, net, rate | 0.10% | 0.40% | 1.00% |
Provision for income taxes, rate | 36.10% | 33.70% | 32.60% |
Federal income tax at statutory rate | $56,979 | $50,496 | $40,143 |
State franchise taxes, net of federal benefit | 11,233 | 8,734 | 8,081 |
Tax-exempt income | -8,622 | -10,189 | -10,654 |
Tax credits | -1,014 | -940 | -1,279 |
Other, net | 200 | 566 | 1,122 |
Provision for income taxes | $58,776 | $48,667 | $37,413 |
Income_Taxes_Change_in_Unrecog
Income Taxes - Change in Unrecognized Tax Benefits (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Income Tax Disclosure [Abstract] | ||
Balance, beginning of period | $3,016 | $889 |
Additions for tax positions related to prior years | 0 | 1,603 |
Reductions due to lapse of statue of limitations | 0 | 524 |
Balance, end of period | $3,016 | $3,016 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||
Amount of unrecognized tax benefits | $3,016,000 | $3,016,000 | $889,000 |
Amount accrued for payment of interest | $196,000 |
Deposits_Composition_of_Deposi
Deposits - Composition of Deposits (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Noninterest-bearing deposits | ||
Demand deposits | $2,866,365 | $2,562,980 |
Interest-bearing deposits | ||
Savings deposits | 1,962,086 | 1,646,111 |
Time deposits | 776,207 | 681,540 |
Total deposits | $5,604,658 | $4,890,631 |
Demand deposits, percentage of total deposits | 51.10% | 52.40% |
Savings deposits, percentage of total deposits | 35.00% | 33.70% |
Time deposits, percentage of total deposits | 13.90% | 13.90% |
Percentage of deposit, total | 100.00% | 100.00% |
Deposits_Additional_Informatio
Deposits - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Deposits [Abstract] | |||
Balance of accounts with more than $100,000 balance | $702.40 | $611.90 | |
Interest expenses on accounts with more than $100,000 balance | 1.1 | 1.1 | 1.5 |
Balance of certificates of deposit with single public depositor | $280 | ||
Certificate of deposits, Maturity | January through March 2015 |
Deposits_Scheduled_Maturities_
Deposits - Scheduled Maturities of Time Certificates of Deposit (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Year of maturity: | ||
2015 | $752,149 | |
2016 | 15,506 | |
2017 | 1,610 | |
2018 | 856 | |
2019 and thereafter | 6,086 | |
Total | $776,207 | $681,540 |
Borrowings_Additional_Informat
Borrowings - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 31, 2009 | Dec. 31, 2009 | Dec. 31, 2006 | Dec. 15, 2013 | Jan. 31, 2006 | |
Debt Instrument [Line Items] | ||||||||
Funds borrowed under repurchase agreement | $563,600,000 | $643,300,000 | ||||||
Weighted average interest rates | 0.24% | 0.29% | ||||||
FHLB advance | 199,500,000 | 199,200,000 | ||||||
Weighted average interest rate | 4.52% | 4.52% | ||||||
FHLB advance maturity date | 28-Nov-16 | |||||||
Average outstanding balance | 199,400,000 | 199,100,000 | ||||||
Maximum outstanding balance | 199,500,000 | 199,200,000 | ||||||
Loans at carrying value | 2,780,000,000 | |||||||
Investment securities at carrying value | 3,110,000,000 | |||||||
Prepayment penalties on borrowings | 0 | 0 | 20,400,000 | |||||
Overnight borrowings | 46,000,000 | 69,000,000 | ||||||
Overnight borrowings with cost basis points | 0.10% | 0.06% | ||||||
CVB Statutory Trust II [Member] | Junior Subordinated Debenture Held by CVB Statutory Trust II [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Trust preferred securities, offered fair value | 40,000,000 | |||||||
Proceeds from the offering and other cash | 41,238,000 | |||||||
Maximum Period of Deferred payments of interest | 20 consecutive quarters | |||||||
Trust Preferred Securities, maturity date | 7-Jan-34 | |||||||
Trust Preferred Securities, fixed interest rate during first five years | 6.46% | |||||||
Trust Preferred Securities, interest rate in excess of LIBOR | 2.85% | |||||||
Period of LIBOR | 3 months | |||||||
Trust Preferred Securities callable date | 7-Jan-09 | |||||||
CVB Statutory Trust III [Member] | Junior Subordinated Debenture Held by CVB Statutory Trust III [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Trust preferred securities, offered fair value | 25,000,000 | |||||||
Proceeds from the offering and other cash | $25,774,000 | |||||||
Maximum Period of Deferred payments of interest | 20 consecutive quarters | |||||||
Trust Preferred Securities, maturity date | 15-Mar-36 | |||||||
Trust Preferred Securities, interest rate in excess of LIBOR | 1.38% | |||||||
Period of LIBOR | 1 year | |||||||
Trust Preferred Securities callable date | 15-Mar-11 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Contingencies And Commitments [Line Items] | ||
Commitments to extend credit | $694,400,000 | $588,900,000 |
Obligations under letters of credit | 34,600,000 | 37,000,000 |
Reserve for undisbursed commitments | 7,800,000 | 9,100,000 |
Available lines of credit | 3,370,000,000 | |
Litigation reserves | 0 | |
Secured [Member] | ||
Contingencies And Commitments [Line Items] | ||
Available lines of credit | $2,900,000,000 |
Employee_Benefit_Plans_Additio
Employee Benefit Plans - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Compensation Related Costs [Abstract] | |||
Severance costs | $866,000 | $881,000 | $961,000 |
Deferred compensation agreements expenses | 544,000 | 561,000 | 494,000 |
Maximum percentage of salary defer by individual under deferred compensation plan | 75.00% | ||
Maximum percentage of bonus defer by individual under deferred compensation plan | 100.00% | ||
Deferred compensation plan, discretionary payments | 0 | 0 | 0 |
Amounts paid under deferred compensation and salary continuation agreements | 2,100,000 | ||
Employer contribution percentage to 401(k) plan | 3.00% | ||
Employer contribution in profit-sharing plan | $3,100,000 | $2,700,000 | $2,400,000 |
Earnings_Per_Share_Reconciliat2
Earnings Per Share Reconciliation - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Earnings Per Share [Abstract] | |||
Antidilutive securities excluded from computation of earnings per common share | 213,000 | 744,000 | 1,300,000 |
Earnings_Per_Share_Reconciliat3
Earnings Per Share Reconciliation - Schedule of Earnings Per Common Share Reconciliation (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings per common share: | |||||||||||
Net earnings | $25,581 | $24,295 | ($25,484) | $28,661 | $25,288 | $24,239 | $24,466 | $21,615 | $104,021 | $95,608 | $77,280 |
Less: Net earnings allocated to restricted stock | 544 | 298 | 247 | ||||||||
Net earnings allocated to common shareholders | 103,477 | 95,310 | 77,033 | ||||||||
Weighted average shares outstanding | 105,239 | 104,729 | 104,419 | ||||||||
Basic earnings per common share | $0.24 | $0.23 | $0.24 | $0.27 | $0.24 | $0.23 | $0.23 | $0.21 | $0.98 | $0.91 | $0.74 |
Diluted earnings per common share: | |||||||||||
Net income allocated to common shareholders | $103,477 | $95,310 | $77,033 | ||||||||
Weighted average shares outstanding | 105,239 | 104,729 | 104,419 | ||||||||
Incremental shares from assumed exercise of outstanding options | 520 | 397 | 239 | ||||||||
Diluted weighted average shares outstanding | 105,759 | 105,126 | 104,658 | ||||||||
Diluted earnings per common share | $0.24 | $0.23 | $0.24 | $0.27 | $0.24 | $0.23 | $0.23 | $0.21 | $0.98 | $0.91 | $0.74 |
Stock_Option_Plans_and_Restric2
Stock Option Plans and Restricted Stock Awards - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||
31-May-08 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option plan, options outstanding | 1,688,000 | 2,106,000 | ||
Total expenses on stock option | $876,000 | $850,000 | $1,100,000 | |
Stock options granted under Black-Scholes options pricing model | 169,000 | 45,000 | 248,000 | |
Forfeiture rate | 6.00% | |||
Intrinsic value of options exercised | 2,500,000 | 1,400,000 | 618,000 | |
Unrecognized compensation cost related to nonvested options granted | 1,300,000 | |||
Weighted-average period for expected cost recognized | 3 years 4 months 24 days | |||
Fair value of options vested | 841,000 | 918,000 | 1,100,000 | |
Cash received from stock option exercises | 5,500,000 | 4,500,000 | 2,600,000 | |
Common stock, shares outstanding | 105,893,216 | 105,370,170 | ||
Number of common shares, options exercisable | 1,317,000 | |||
Options exercisable lower price range | $7.68 | |||
Options exercisable upper price range | $16.97 | |||
Period of compensation cost recognized | 5 years | |||
Amount of compensation cost recognized | 2,100,000 | 1,100,000 | 911,000 | |
Common stock available for the granting of future options and restricted stock | 1,021,822 | |||
Common Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of common shares, options exercisable | 1,316,726 | |||
2008 Equity Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Authorized issuance of shares of Company common stock | 3,949,891 | |||
Expiry of equity incentive plan | 2018 | |||
Vesting period | 5 years | 5 years | 5 years | |
2008 Equity Incentive Plan, granted restricted stock awards | 400,000 | 100,000 | 173,000 | |
Weighted average fair value of restricted stock | $14.78 | $13.25 | $11.10 | |
2008 Stock Option Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option plan, options outstanding | 390,698 | |||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 5 years | |||
Common stock, shares outstanding | 1,688,326 | |||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation cost related to nonvested options granted | $6,300,000 | |||
Weighted average fair value of restricted stock | $14.78 |
Stock_Option_Plans_and_Restric3
Stock Option Plans and Restricted Stock Awards - Estimated Fair Value of Stock Options (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Dividend yield | 2.60% | 2.90% | 2.90% |
Volatility | 50.30% | 50.50% | 51.00% |
Risk-free interest rate | 1.50% | 1.20% | 1.10% |
Expected life | 6 years 3 months 18 days | 6 years 7 months 6 days | 6 years 9 months 18 days |
Weighted average grant date fair value | $5.70 | $4.68 | $4.44 |
Stock_Option_Plans_and_Restric4
Stock Option Plans and Restricted Stock Awards - Option Activity under Company's Stock Option Plans (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Outstanding, Number of Stock Options, Beginning Balance | 2,106,000 | ||
Granted, Number of Stock Options Outstanding | 169,000 | 45,000 | 248,000 |
Exercised, Number of Stock Options Outstanding | -512,000 | ||
Forfeited or expired, Number of Stock Options Outstanding | -75,000 | ||
Outstanding, Number of Stock Options, Ending Balance | 1,688,000 | 2,106,000 | |
Vested or expected to vest, Number of Stock Options Outstanding | 1,646,000 | ||
Exercisable, Number of Stock Options Outstanding | 1,317,000 | ||
Outstanding, Weighted Average Exercise Price, Beginning Balance | $10.61 | ||
Granted, Weighted Average Exercise Price | $14.80 | ||
Exercised, Weighted Average Exercise Price | $10.79 | ||
Forfeited or expired, Weighted Average Exercise Price | $11.83 | ||
Outstanding, Weighted Average Exercise Price, Ending Balance | $10.92 | $10.61 | |
Vested or expected to vest, Weighted Average Exercise Price | $10.90 | ||
Exercisable, Weighted Average Exercise Price | $10.41 | ||
Outstanding, Weighted Average Remaining Contractual Term | 4 years 6 months 18 days | ||
Vested or expected to vest, Weighted Average Remaining Contractual Term | 4 years 5 months 23 days | ||
Exercisable, Weighted Average Remaining Contractual Term | 3 years 7 months 6 days | ||
Outstanding, Aggregate Intrinsic Value | $8,618 | ||
Vested or expected to vest, Aggregate Intrinsic Value | 8,431 | ||
Exercisable, Aggregate Intrinsic Value | $7,390 |
Stock_Option_Plans_and_Restric5
Stock Option Plans and Restricted Stock Awards - Summary of Status of Company's Non-Vested Restricted Shares (Detail) (Restricted Stock [Member], USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested, Shares, Beginning Balance | 311 |
Granted, Shares | 400 |
Vested, Shares | -135 |
Forfeited, Shares | -6 |
Nonvested, Shares, Ending Balance | 570 |
Nonvested, Weighted Average Fair Value, Beginning Balance | $10.87 |
Granted, Weighted Average Fair Value | $14.78 |
Vested, Weighted Average Fair Value | $10.31 |
Forfeited, Weighted Average Fair Value | $11.41 |
Nonvested, Weighted Average Fair Value, Ending Balance | $13.81 |
Regulatory_Matters_Additional_
Regulatory Matters - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Regulated Operations [Abstract] | ||
Trust-preferred securities included in Tier 1 capital | $25 | $25 |
Additional dividends without obtaining prior approval from bank regulators declared and paid | $98 |
Regulatory_Matters_Regulatory_
Regulatory Matters - Regulatory Capital Amounts and Ratios for Company and Bank (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Company [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets), Actual, Amount | $853,147 | $801,719 |
Total Capital (to Risk-Weighted Assets), Actual, Ratio | 18.24% | 19.09% |
Total Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Amount | 374,144 | 336,008 |
Tier 1 Capital (to Risk-Weighted Assets), Actual, Amount | 794,576 | 748,825 |
Tier 1 Capital (to Risk-Weighted Assets), Actual, Ratio | 16.99% | 17.83% |
Tier 1 Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Amount | 187,072 | 168,004 |
Tier 1 Capital (to Average-Assets), Actual, Amount | 794,576 | 748,825 |
Tier 1 Capital (to Average-Assets), Actual, Ratio | 10.86% | 11.30% |
Tier 1 Capital (to Average-Assets), For Capital Adequacy Purposes, Amount | 292,615 | 265,035 |
Bank [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets), Actual, Amount | 845,951 | 794,239 |
Total Capital (to Risk-Weighted Assets), Actual, Ratio | 18.11% | 18.93% |
Total Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Amount | 373,758 | 335,740 |
Total Capital (to Risk-Weighted Assets), Required To Be Well Capitalized, Amount | 467,197 | 419,675 |
Tier 1 Capital (to Risk-Weighted Assets), Actual, Amount | 787,439 | 741,386 |
Tier 1 Capital (to Risk-Weighted Assets), Actual, Ratio | 16.85% | 17.67% |
Tier 1 Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Amount | 186,879 | 167,870 |
Tier 1 Capital (to Risk-Weighted Assets), Required To Be Well Capitalized, Amount | 280,318 | 251,805 |
Tier 1 Capital (to Average-Assets), Actual, Amount | 787,439 | 741,386 |
Tier 1 Capital (to Average-Assets), Actual, Ratio | 10.77% | 11.20% |
Tier 1 Capital (to Average-Assets), For Capital Adequacy Purposes, Amount | 292,392 | 264,893 |
Tier 1 Capital (to Average-Assets), Required To Be Well Capitalized, Amount | $365,490 | $331,117 |
Minimum [Member] | Company [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Tier 1 Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Tier 1 Capital (to Average-Assets), For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Minimum [Member] | Bank [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total Capital (to Risk-Weighted Assets), Required To Be Well Capitalized, Ratio | 10.00% | 10.00% |
Tier 1 Capital (to Risk-Weighted Assets), For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Tier 1 Capital (to Risk-Weighted Assets), Required To Be Well Capitalized, Ratio | 6.00% | 6.00% |
Tier 1 Capital (to Average-Assets), For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Tier 1 Capital (to Average-Assets), Required To Be Well Capitalized, Ratio | 5.00% | 5.00% |
Fair_Value_Information_Additio
Fair Value Information - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Fair value assets transfers from Level 1 to Level 2 | 0 | $0 |
Fair value assets transfers from Level 2 to Level 1 | 0 | 0 |
Fair value assets transfers from Level 2 to Level 3 | 0 | 0 |
Fair value assets transfers from Level 3 to Level 2 | 0 | 0 |
Fair value assets transfers from Level 1 to Level 3 | 0 | 0 |
Fair value assets transfers from Level 3 to Level 1 | 0 | $0 |
Minimum [Member] | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Term of interest rate swap contracts by the counterparty, years | 3 years | |
Maximum [Member] | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Term of interest rate swap contracts by the counterparty, years | 30 years |
Fair_Value_Information_Assets_
Fair Value Information - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | $10,080 | $10,846 |
Interest rate swaps | 573,707 | 654,097 |
Interest rate swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | 0 | 0 |
Carrying Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | 10,080 | 10,846 |
Interest rate swaps | 10,080 | 10,846 |
Fair Value on Recurring Basis [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value on Recurring Basis [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 3,147,238 | 2,674,488 |
Total liabilities | 10,080 | 10,846 |
Fair Value on Recurring Basis [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value on Recurring Basis [Member] | Government agency [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Government agency [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 330,843 | 326,525 |
Fair Value on Recurring Basis [Member] | Government agency [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Residential mortgage-backed securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | |
Fair Value on Recurring Basis [Member] | Residential mortgage-backed securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 1,379,943 | |
Fair Value on Recurring Basis [Member] | Residential mortgage-backed securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | |
Fair Value on Recurring Basis [Member] | CMO's / REMIC's - residential [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | CMO's / REMIC's - residential [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 304,091 | 366,175 |
Fair Value on Recurring Basis [Member] | CMO's / REMIC's - residential [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Municipal bonds [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Municipal bonds [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 579,641 | 586,091 |
Fair Value on Recurring Basis [Member] | Municipal bonds [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Other securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Other securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 5,087 | 4,908 |
Fair Value on Recurring Basis [Member] | Other securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Investment securities - AFS [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Investment securities - AFS [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 3,137,158 | 2,663,642 |
Fair Value on Recurring Basis [Member] | Investment securities - AFS [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | 0 |
Fair Value on Recurring Basis [Member] | Interest rate swaps [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | 0 | 0 |
Interest rate swaps | 0 | 0 |
Fair Value on Recurring Basis [Member] | Interest rate swaps [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | 10,080 | 10,846 |
Interest rate swaps | 10,080 | 10,846 |
Fair Value on Recurring Basis [Member] | Interest rate swaps [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | 0 | 0 |
Interest rate swaps | 0 | 0 |
Fair Value on Recurring Basis [Member] | Residential Mortgage Backed Securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | |
Fair Value on Recurring Basis [Member] | Residential Mortgage Backed Securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 1,917,496 | |
Fair Value on Recurring Basis [Member] | Residential Mortgage Backed Securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 0 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 3,147,238 | 2,674,488 |
Total liabilities | 10,080 | 10,846 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Government agency [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 330,843 | 326,525 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Residential mortgage-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 1,379,943 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | CMO's / REMIC's - residential [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 304,091 | 366,175 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Municipal bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 579,641 | 586,091 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Other securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 5,087 | 4,908 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Investment securities - AFS [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | 3,137,158 | 2,663,642 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Interest rate swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | 10,080 | 10,846 |
Interest rate swaps | 10,080 | 10,846 |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Residential Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities - AFS | $1,917,496 |
Fair_Value_Information_Assets_1
Fair Value Information - Assets and Liabilities Measured at Fair Value on Non-Recurring Basis (Detail) (Fair Value on Non-Recurring Basis [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Description of assets | ||
Total assets | $2,846 | $3,159 |
Other real estate owned [Member] | ||
Description of assets | ||
Total assets | 0 | 434 |
Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | ||
Description of assets | ||
Total assets | 771 | 627 |
Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | ||
Description of assets | ||
Total assets | 296 | |
Loans, Excluding PCI Loans [Member] | Commercial real estate [Member] | ||
Description of assets | ||
Total assets | 271 | 0 |
Loans, Excluding PCI Loans [Member] | Construction [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | ||
Description of assets | ||
Total assets | 1,061 | 2,096 |
Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | ||
Description of assets | ||
Total assets | 447 | 2 |
Level 1 [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Other real estate owned [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | ||
Description of assets | ||
Total assets | 0 | |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | Commercial real estate [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | Construction [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 1 [Member] | Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Other real estate owned [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | ||
Description of assets | ||
Total assets | 0 | |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | Commercial real estate [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | Construction [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 2 [Member] | Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 3 [Member] | ||
Description of assets | ||
Total assets | 6,323 | 12,934 |
Level 3 [Member] | Other real estate owned [Member] | ||
Description of assets | ||
Total assets | 0 | 504 |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | ||
Description of assets | ||
Total assets | 1,911 | 529 |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | ||
Description of assets | ||
Total assets | 1,327 | |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | Commercial real estate [Member] | ||
Description of assets | ||
Total assets | 2,500 | 0 |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | Construction [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | ||
Description of assets | ||
Total assets | 103 | 11,899 |
Level 3 [Member] | Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | ||
Description of assets | ||
Total assets | 482 | 2 |
Carrying Value [Member] | ||
Description of assets | ||
Total assets | 6,323 | 12,934 |
Carrying Value [Member] | Other real estate owned [Member] | ||
Description of assets | ||
Total assets | 0 | 504 |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | Commercial and industrial [Member] | ||
Description of assets | ||
Total assets | 1,911 | 529 |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | Small Business Administration [Member] | ||
Description of assets | ||
Total assets | 1,327 | |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | Commercial real estate [Member] | ||
Description of assets | ||
Total assets | 2,500 | 0 |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | Construction [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | SFR mortgage [Member] | ||
Description of assets | ||
Total assets | 0 | 0 |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | Dairy & livestock and agribusiness [Member] | ||
Description of assets | ||
Total assets | 103 | 11,899 |
Carrying Value [Member] | Loans, Excluding PCI Loans [Member] | Consumer and other loans [Member] | ||
Description of assets | ||
Total assets | $482 | $2 |
Fair_Value_Information_Estimat
Fair Value Information - Estimated Fair Value of Financial Instruments (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Assets | ||||
Total cash and cash equivalents | $105,768 | $94,693 | $98,431 | $345,343 |
Interest-earning balances due from depository institutions | 27,118 | 70,000 | ||
FHLB stock | 25,338 | 32,331 | ||
Investment securities available-for-sale | 3,137,158 | 2,663,642 | ||
Investment securities held-to-maturity | 1,528 | 1,777 | ||
Total loans, net of allowance for loan losses | 3,757,242 | 3,470,996 | ||
Accrued interest receivable | 23,194 | 22,051 | ||
Swaps | 10,080 | 10,846 | ||
Deposits: | ||||
Noninterest-bearing | 2,866,365 | 2,562,980 | ||
Interest-bearing | 2,738,293 | 2,327,651 | ||
Junior subordinated debentures | 25,774 | 25,774 | ||
Accrued interest payable | 1,161 | 1,111 | ||
Swaps | 573,707 | 654,097 | ||
Carrying Value [Member] | ||||
Assets | ||||
Total cash and cash equivalents | 105,768 | 94,693 | ||
Interest-earning balances due from depository institutions | 27,118 | 70,000 | ||
FHLB stock | 25,338 | 32,331 | ||
Investment securities available-for-sale | 3,137,158 | 2,663,642 | ||
Investment securities held-to-maturity | 1,528 | 1,777 | ||
Loans held-for-sale | 0 | 3,667 | ||
Total loans, net of allowance for loan losses | 3,757,242 | 3,470,996 | ||
Accrued interest receivable | 23,194 | 22,051 | ||
Swaps | 10,080 | 10,846 | ||
Deposits: | ||||
Noninterest-bearing | 2,866,365 | 2,562,980 | ||
Interest-bearing | 2,738,293 | 2,327,651 | ||
Borrowings | 809,106 | 911,457 | ||
Junior subordinated debentures | 25,774 | 25,774 | ||
Accrued interest payable | 1,161 | 1,111 | ||
Swaps | 10,080 | 10,846 | ||
Estimated Fair Value [Member] | ||||
Assets | ||||
Total cash and cash equivalents | 105,768 | 94,693 | ||
Interest-earning balances due from depository institutions | 27,118 | 70,000 | ||
FHLB stock | 25,338 | 32,331 | ||
Investment securities available-for-sale | 3,137,158 | 2,663,642 | ||
Investment securities held-to-maturity | 2,177 | 2,296 | ||
Loans held-for-sale | 0 | 8,897 | ||
Total loans, net of allowance for loan losses | 3,794,454 | 3,527,725 | ||
Accrued interest receivable | 23,194 | 22,051 | ||
Swaps | 10,080 | 10,846 | ||
Deposits: | ||||
Noninterest-bearing | 2,866,365 | 2,562,980 | ||
Interest-bearing | 2,739,221 | 2,328,488 | ||
Borrowings | 822,607 | 932,408 | ||
Junior subordinated debentures | 26,005 | 25,819 | ||
Accrued interest payable | 1,161 | 1,111 | ||
Swaps | 10,080 | 10,846 | ||
Estimated Fair Value [Member] | Level 1 [Member] | ||||
Assets | ||||
Total cash and cash equivalents | 105,768 | 94,693 | ||
Interest-earning balances due from depository institutions | 0 | 0 | ||
FHLB stock | 0 | 0 | ||
Investment securities available-for-sale | 0 | 0 | ||
Investment securities held-to-maturity | 0 | 0 | ||
Loans held-for-sale | 0 | 0 | ||
Total loans, net of allowance for loan losses | 0 | 0 | ||
Accrued interest receivable | 0 | 0 | ||
Swaps | 0 | 0 | ||
Deposits: | ||||
Noninterest-bearing | 2,866,365 | 2,562,980 | ||
Interest-bearing | 0 | 0 | ||
Borrowings | 0 | 0 | ||
Junior subordinated debentures | 0 | 0 | ||
Accrued interest payable | 0 | 0 | ||
Swaps | 0 | 0 | ||
Estimated Fair Value [Member] | Level 2 [Member] | ||||
Assets | ||||
Total cash and cash equivalents | 0 | 0 | ||
Interest-earning balances due from depository institutions | 27,118 | 70,000 | ||
FHLB stock | 25,338 | 32,331 | ||
Investment securities available-for-sale | 3,137,158 | 2,663,642 | ||
Investment securities held-to-maturity | 0 | 0 | ||
Loans held-for-sale | 0 | 0 | ||
Total loans, net of allowance for loan losses | 0 | 0 | ||
Accrued interest receivable | 23,194 | 22,051 | ||
Swaps | 10,080 | 10,846 | ||
Deposits: | ||||
Noninterest-bearing | 0 | 0 | ||
Interest-bearing | 2,739,221 | 2,328,488 | ||
Borrowings | 822,607 | 932,408 | ||
Junior subordinated debentures | 26,005 | 25,819 | ||
Accrued interest payable | 1,161 | 1,111 | ||
Swaps | 10,080 | 10,846 | ||
Estimated Fair Value [Member] | Level 3 [Member] | ||||
Assets | ||||
Total cash and cash equivalents | 0 | 0 | ||
Interest-earning balances due from depository institutions | 0 | 0 | ||
FHLB stock | 0 | 0 | ||
Investment securities available-for-sale | 0 | 0 | ||
Investment securities held-to-maturity | 2,177 | 2,296 | ||
Loans held-for-sale | 0 | 8,897 | ||
Total loans, net of allowance for loan losses | 3,794,454 | 3,527,725 | ||
Accrued interest receivable | 0 | 0 | ||
Swaps | 0 | 0 | ||
Deposits: | ||||
Noninterest-bearing | 0 | 0 | ||
Interest-bearing | 0 | 0 | ||
Borrowings | 0 | 0 | ||
Junior subordinated debentures | 0 | 0 | ||
Accrued interest payable | 0 | 0 | ||
Swaps | $0 | $0 |
Business_Segments_Additional_I
Business Segments - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Segment | |
FinancialCenters | |
Segment Reporting Information [Line Items] | |
Number of principal reporting segments | 2 |
Bank operated Business Financial Centers, number | 40 |
Bank operated Commercial Banking Centers, number | 6 |
Consideration of Business Financial and Commercial Banking Centers | 1 |
Subsidiary bank [Member] | |
Segment Reporting Information [Line Items] | |
Bank operated Business Financial Centers, number | 40 |
Bank operated Commercial Banking Centers, number | 6 |
Business_Segments_Schedule_of_
Business Segments - Schedule of Segment Reporting Information by Segment (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||||||||||
Interest income, including loan fees | $252,903 | $232,773 | $262,222 | ||||||||
Credit for funds provided | 0 | 0 | 0 | ||||||||
Total interest income | 252,903 | 232,773 | 262,222 | ||||||||
Interest expense | 16,389 | 16,507 | 25,272 | ||||||||
Charge for funds used | 0 | 0 | 0 | ||||||||
Total interest expense | 16,389 | 16,507 | 25,272 | ||||||||
Net interest income | 61,175 | 61,238 | 57,159 | 56,942 | 55,109 | 53,973 | 52,595 | 54,589 | 236,514 | 216,266 | 236,950 |
Provision for loan losses | 0 | -1,000 | -7,600 | -7,500 | -6,800 | -3,750 | -6,200 | 0 | -16,100 | -16,750 | 0 |
Net interest income after provision for loan losses | 252,614 | 233,016 | 236,950 | ||||||||
Noninterest income | 36,412 | 25,287 | 15,903 | ||||||||
Noninterest expense | 126,229 | 114,028 | 138,160 | ||||||||
Debt termination expense | 0 | 0 | 20,379 | ||||||||
Earnings before income taxes | 162,797 | 144,275 | 114,693 | ||||||||
Segment assets | 7,377,920 | 6,664,967 | 7,377,920 | 6,664,967 | 6,363,364 | ||||||
Operating segments [Member] | Centers [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income, including loan fees | 142,467 | 139,369 | 147,726 | ||||||||
Credit for funds provided | 31,188 | 26,754 | 25,764 | ||||||||
Total interest income | 173,655 | 166,123 | 173,490 | ||||||||
Interest expense | 6,494 | 6,138 | 7,162 | ||||||||
Charge for funds used | 5,123 | 3,193 | 3,204 | ||||||||
Total interest expense | 11,617 | 9,331 | 10,366 | ||||||||
Net interest income | 162,038 | 156,793 | 163,124 | ||||||||
Provision for loan losses | 0 | 0 | 0 | ||||||||
Net interest income after provision for loan losses | 162,038 | 156,793 | 163,124 | ||||||||
Noninterest income | 20,513 | 20,733 | 22,807 | ||||||||
Noninterest expense | 47,871 | 45,268 | 44,780 | ||||||||
Debt termination expense | 0 | 0 | 0 | ||||||||
Earnings before income taxes | 134,680 | 132,258 | 141,151 | ||||||||
Segment assets | 6,006,415 | 5,405,939 | 6,006,415 | 5,405,939 | 5,196,244 | ||||||
Operating segments [Member] | Treasury [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income, including loan fees | 71,369 | 53,234 | 56,559 | ||||||||
Credit for funds provided | 0 | 0 | 0 | ||||||||
Total interest income | 71,369 | 53,234 | 56,559 | ||||||||
Interest expense | 9,590 | 9,700 | 15,396 | ||||||||
Charge for funds used | 54,885 | 45,269 | 41,270 | ||||||||
Total interest expense | 64,475 | 54,969 | 56,666 | ||||||||
Net interest income | 6,894 | -1,735 | -107 | ||||||||
Provision for loan losses | 0 | 0 | 0 | ||||||||
Net interest income after provision for loan losses | 6,894 | -1,735 | -107 | ||||||||
Noninterest income | 0 | 2,094 | 0 | ||||||||
Noninterest expense | 784 | 714 | 729 | ||||||||
Debt termination expense | 0 | 0 | 20,379 | ||||||||
Earnings before income taxes | 6,110 | -355 | -21,215 | ||||||||
Segment assets | 3,268,551 | 2,866,760 | 3,268,551 | 2,866,760 | 2,642,445 | ||||||
Operating segments [Member] | Other [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income, including loan fees | 39,067 | 40,170 | 57,937 | ||||||||
Credit for funds provided | 46,770 | 41,987 | 31,505 | ||||||||
Total interest income | 85,837 | 82,157 | 89,442 | ||||||||
Interest expense | 305 | 670 | 2,714 | ||||||||
Charge for funds used | 17,950 | 20,279 | 12,795 | ||||||||
Total interest expense | 18,255 | 20,949 | 15,509 | ||||||||
Net interest income | 67,582 | 61,208 | 73,933 | ||||||||
Provision for loan losses | -16,100 | -16,750 | 0 | ||||||||
Net interest income after provision for loan losses | 83,682 | 77,958 | 73,933 | ||||||||
Noninterest income | 15,899 | 2,460 | -6,904 | ||||||||
Noninterest expense | 77,574 | 68,046 | 72,272 | ||||||||
Debt termination expense | 0 | 0 | 0 | ||||||||
Earnings before income taxes | 22,007 | 12,372 | -5,243 | ||||||||
Segment assets | 753,068 | 710,844 | 753,068 | 710,844 | 637,976 | ||||||
Eliminations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income, including loan fees | 0 | 0 | 0 | ||||||||
Credit for funds provided | -77,958 | -68,741 | -57,269 | ||||||||
Total interest income | -77,958 | -68,741 | -57,269 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Charge for funds used | -77,958 | -68,741 | -57,269 | ||||||||
Total interest expense | -77,958 | -68,741 | -57,269 | ||||||||
Net interest income | 0 | 0 | 0 | ||||||||
Provision for loan losses | 0 | 0 | 0 | ||||||||
Net interest income after provision for loan losses | 0 | 0 | 0 | ||||||||
Noninterest income | 0 | 0 | 0 | ||||||||
Noninterest expense | 0 | 0 | 0 | ||||||||
Debt termination expense | 0 | 0 | 0 | ||||||||
Earnings before income taxes | 0 | 0 | 0 | ||||||||
Segment assets | ($2,650,114) | ($2,318,576) | ($2,650,114) | ($2,318,576) | ($2,113,301) |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative assets and liabilities offset in balance sheet | $0 | |
Total notional amount of the Company's swaps | $197,400,000 | $221,500,000 |
Interest-rate swap agreements with customers [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Number of interest-rate swap agreements | 76 |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Fair Value of Derivative Instruments (Detail) (Derivatives not designated as hedging instruments [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability Derivatives | $10,080 | $10,846 |
Other liabilities [Member] | Interest rate swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability Derivatives | 10,080 | 10,846 |
Other assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 10,080 | 10,846 |
Other assets [Member] | Interest rate swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | $10,080 | $10,846 |
Derivative_Financial_Instrumen4
Derivative Financial Instruments - Effect of Derivative Instruments on Consolidated Statement of Earnings (Detail) (Derivatives not designated as hedging instruments [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Derivatives, Fair Value [Line Items] | |||
Amount of Gain Recognized in Income on Derivative Instruments | $133 | $0 | $1,252 |
Interest rate swaps [Member] | Other Income [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Amount of Gain Recognized in Income on Derivative Instruments | $133 | $0 | $1,252 |
Other_Comprehensive_Income_Los2
Other Comprehensive Income (Loss) - Summary of Components of OCI (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Investment securities available-for-sale: Before-Tax | |||
Net change in fair value recorded in accumulated OCI, Before-Tax | $69,661 | ($88,562) | $3,074 |
Net realized gains reclassified into earnings, Before-Tax | 0 | -2,094 | 0 |
Net change, Before-Tax | 69,661 | -90,656 | 3,074 |
Investment securities available-for-sale: Tax Effect | |||
Net change in fair value recorded in accumulated OCI, Tax Effect | 29,256 | -37,196 | 1,292 |
Net realized gains reclassified into earnings, Tax Effect | 0 | -879 | |
Net change, Tax Effect | 29,256 | -38,075 | 1,292 |
Investment securities available-for-sale: After-Tax | |||
Net change in fair value recorded in accumulated OCI, After-Tax | 40,405 | -51,366 | 1,782 |
Net realized gains reclassified into earnings, After-Tax | 0 | -1,215 | |
Net change, After-Tax | 40,405 | -52,581 | 1,782 |
Net change in fair value recorded in accumulated OCI, After-Tax | 40,405 | -51,366 | 1,782 |
Net change in fair value recorded in accumulated OCI, Before-Tax | 69,661 | -88,562 | 3,074 |
Net change, After-Tax | 40,405 | -52,581 | 1,782 |
Net change, Before-Tax | 69,661 | -90,656 | 3,074 |
Net change in fair value recorded in accumulated OCI, Tax Effect | 29,256 | -37,196 | 1,292 |
Net change, Tax Effect | $29,256 | ($38,075) | $1,292 |
Other_Comprehensive_Income_Los3
Other Comprehensive Income (Loss) - Summary of Change in Accumulated Other Comprehensive Income (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Amounts Reclassified Out Of Accumulated Other Comprehensive Income Loss [Abstract] | |||
Beginning balance | ($9,330) | $43,251 | |
Net change in fair value recorded in accumulated OCI | 40,405 | -51,366 | 1,782 |
Net realized gains reclassified into earnings | 0 | -1,215 | |
Ending balance | $31,075 | ($9,330) | $43,251 |
Balance_Sheet_Offsetting_Sched
Balance Sheet Offsetting - Schedule of Balance Sheet Offsetting (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Offsetting Assets Liabilities [Line Items] | ||
Financial assets, Net Amounts of Assets presented in the Condensed Consolidated Balance Sheets | $10,080 | $10,846 |
Financial liabilities, Gross Amounts Recognized in the Condensed Consolidated Balance Sheets | 573,827 | 656,159 |
Financial liabilities, Gross Amounts offset in the Condensed Consolidated Balance Sheets | -120 | -2,062 |
Financial liabilities, Net Amounts of Assets presented in the Condensed Consolidated Balance Sheets | 573,707 | 654,097 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Financial Instruments | 120 | 2,062 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Collateral Pledged | -641,312 | -665,564 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Net Amount | -67,485 | -9,405 |
Repurchase agreements [Member] | ||
Offsetting Assets Liabilities [Line Items] | ||
Financial liabilities, Gross Amounts Recognized in the Condensed Consolidated Balance Sheets | 563,627 | 643,251 |
Financial liabilities, Gross Amounts offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Financial liabilities, Net Amounts of Assets presented in the Condensed Consolidated Balance Sheets | 563,627 | 643,251 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Financial Instruments | 0 | 0 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Collateral Pledged | -624,578 | -649,385 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Net Amount | -60,951 | -6,134 |
Interest rate swaps [Member] | ||
Offsetting Assets Liabilities [Line Items] | ||
Financial assets, Gross Amounts Recognized in the Condensed Consolidated Balance Sheets | 10,080 | 10,846 |
Financial assets, Gross Amounts offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Financial assets, Net Amounts of Assets presented in the Condensed Consolidated Balance Sheets | 0 | 0 |
Financial assets, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Financial Instruments | 10,080 | 10,846 |
Financial assets, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Collateral Pledged | 0 | 0 |
Financial assets, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Net Amount | 10,080 | 10,846 |
Interest rate swaps [Member] | Derivatives not designated as hedging instruments [Member] | ||
Offsetting Assets Liabilities [Line Items] | ||
Financial assets, Gross Amounts Recognized in the Condensed Consolidated Balance Sheets | 10,080 | 10,846 |
Financial assets, Gross Amounts offset in the Condensed Consolidated Balance Sheets | 0 | 0 |
Financial assets, Net Amounts of Assets presented in the Condensed Consolidated Balance Sheets | 0 | 0 |
Financial assets, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Financial Instruments | 10,080 | 10,846 |
Financial assets, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Collateral Pledged | 0 | 0 |
Financial assets, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Net Amount | 10,080 | 10,846 |
Financial liabilities, Gross Amounts Recognized in the Condensed Consolidated Balance Sheets | 10,200 | 12,908 |
Financial liabilities, Gross Amounts offset in the Condensed Consolidated Balance Sheets | -120 | -2,062 |
Financial liabilities, Net Amounts of Assets presented in the Condensed Consolidated Balance Sheets | 10,080 | 10,846 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Financial Instruments | 120 | 2,062 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Collateral Pledged | -16,734 | -16,179 |
Financial liabilities, Gross Amounts Not Offset in the Condensed Consolidated Balance Sheets, Net Amount | ($6,534) | ($3,271) |
Condensed_Financial_Informatio2
Condensed Financial Information of Parent Company - Condensed Balance Sheets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Assets | ||||
Other assets, net | $25,201 | $20,924 | ||
Total assets | 7,377,920 | 6,664,967 | 6,363,364 | |
Liabilities | 6,499,811 | 5,893,080 | ||
Stockholders' equity | 878,109 | 771,887 | 762,970 | 714,814 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 7,377,920 | 6,664,967 | ||
Parent Company [Member] | ||||
Assets | ||||
Investment in subsidiaries | 895,972 | 789,448 | ||
Other assets, net | 19,069 | 19,120 | ||
Total assets | 915,041 | 808,568 | ||
Liabilities | 36,932 | 36,681 | ||
Stockholders' equity | 878,109 | 771,887 | ||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $915,041 | $808,568 |
Condensed_Financial_Informatio3
Condensed Financial Information of Parent Company - Condensed Statements of Earnings (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Other expense, net | ($126,229) | ($114,028) | ($138,160) | ||||||||
Net earnings | 25,581 | 24,295 | -25,484 | 28,661 | 25,288 | 24,239 | 24,466 | 21,615 | 104,021 | 95,608 | 77,280 |
Parent Company [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Excess in net earnings of subsidiaries | 66,119 | 33,149 | -1,261 | ||||||||
Dividends from the Bank | 41,000 | 63,000 | 82,300 | ||||||||
Other expense, net | -3,098 | -541 | -3,759 | ||||||||
Net earnings | $104,021 | $95,608 | $77,280 |
Condensed_Financial_Informatio4
Condensed Financial Information of Parent Company - Condensed Statements of Cash Flows (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net earnings | $104,021 | $95,608 | $77,280 |
Adjustments to reconcile net earnings to cash used in operating activities: | |||
Stock-based compensation | 2,988 | 1,926 | 2,039 |
Total adjustments | -16,319 | 16,203 | 77,481 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Repayment of junior subordinated debentures | 0 | -41,238 | -48,043 |
Cash dividends on common stock | -42,298 | -29,939 | -44,552 |
Proceeds from exercise of stock options | 5,522 | 4,517 | 2,557 |
Tax benefit from exercise of stock options | 1,116 | 475 | 194 |
Repurchase of common stock | -5,474 | -559 | -54 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 11,075 | -3,738 | -246,912 |
CASH AND CASH EQUIVALENTS, beginning of period | 94,693 | 98,431 | 345,343 |
CASH AND CASH EQUIVALENTS, end of period | 105,768 | 94,693 | 98,431 |
Parent Company [Member] | |||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net earnings | 104,021 | 95,608 | 77,280 |
Adjustments to reconcile net earnings to cash used in operating activities: | |||
Earnings of subsidiaries | -107,119 | -96,149 | -81,039 |
Tax settlement received from the Bank | 1,812 | 1,903 | 5,240 |
Stock-based compensation | 2,988 | 1,926 | 2,039 |
Other operating activities, net | -3,080 | 241 | -1,717 |
Total adjustments | -105,399 | -92,079 | -75,477 |
Net cash (used in) provided by operating activities | -1,378 | 3,529 | 1,803 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Dividends received from the Bank | 41,000 | 63,000 | 82,300 |
Net cash provided by investing activities | 41,000 | 63,000 | 82,300 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Repayment of junior subordinated debentures | -41,238 | -48,043 | |
Cash dividends on common stock | -42,298 | -29,939 | -44,552 |
Proceeds from exercise of stock options | 5,522 | 4,517 | 2,557 |
Tax benefit from exercise of stock options | 1,116 | 475 | 194 |
Repurchase of common stock | -5,474 | -559 | -54 |
Net cash used in financing activities | -41,134 | -66,744 | -89,898 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | -1,512 | -215 | -5,795 |
CASH AND CASH EQUIVALENTS, beginning of period | 15,044 | 15,259 | 21,054 |
CASH AND CASH EQUIVALENTS, end of period | $13,532 | $15,044 | $15,259 |
Quarterly_Financial_Data_Summa
Quarterly Financial Data - Summarized Quarterly Financial Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Selected Quarterly Financial Information [Abstract] | |||||||||||
Net interest income | $61,175 | $61,238 | $57,159 | $56,942 | $55,109 | $53,973 | $52,595 | $54,589 | $236,514 | $216,266 | $236,950 |
Provision for loan losses | 0 | -1,000 | -7,600 | -7,500 | -6,800 | -3,750 | -6,200 | 0 | -16,100 | -16,750 | 0 |
Net earnings | $25,581 | $24,295 | ($25,484) | $28,661 | $25,288 | $24,239 | $24,466 | $21,615 | $104,021 | $95,608 | $77,280 |
Basic earnings per common share | $0.24 | $0.23 | $0.24 | $0.27 | $0.24 | $0.23 | $0.23 | $0.21 | $0.98 | $0.91 | $0.74 |
Diluted earnings per common share | $0.24 | $0.23 | $0.24 | $0.27 | $0.24 | $0.23 | $0.23 | $0.21 | $0.98 | $0.91 | $0.74 |