Document and Entity Information
Document and Entity Information | 3 Months Ended |
Mar. 31, 2018shares | |
Document And Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Mar. 31, 2018 |
Document Fiscal Year Focus | 2,018 |
Document Fiscal Period Focus | Q1 |
Trading Symbol | ONB |
Entity Registrant Name | Old National Bancorp /IN/ |
Entity Central Index Key | 707,179 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 152,172,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Assets | |||
Cash and due from banks | $ 192,022 | $ 222,753 | $ 184,974 |
Money market and other interest-earning investments | 86,219 | 67,679 | 32,061 |
Total cash and cash equivalents | 278,241 | 290,432 | 217,035 |
Trading securities, at fair value | 5,569 | 5,584 | 5,083 |
Investment securities - available-for-sale, at fair value | |||
Total investment securities - available-for-sale | 3,219,863 | 3,196,207 | 2,816,943 |
Investment securities - held-to-maturity, at amortized cost (fair value $536,143; $727,703; and $784,906, respectively) | 535,153 | 684,063 | 741,448 |
Federal Home Loan Bank/Federal Reserve Bank stock, at cost | 136,206 | 119,686 | 107,501 |
Loans held for sale, at fair value | 17,635 | 17,930 | 17,373 |
Loans: | |||
Commercial | 2,811,629 | 2,717,269 | 1,910,536 |
Commercial real estate | 4,449,980 | 4,354,552 | 3,222,865 |
Residential real estate | 2,158,532 | 2,167,053 | 2,112,262 |
Consumer credit, net of unearned income | 1,818,541 | 1,879,247 | 1,886,110 |
Total loans | 11,238,682 | 11,118,121 | 9,131,773 |
Allowance for loan losses | (50,381) | (50,381) | (49,834) |
Net loans | 11,188,301 | 11,067,740 | 9,081,939 |
Premises and equipment, net | 453,603 | 458,074 | 420,866 |
Accrued interest receivable | 81,621 | 87,102 | 76,674 |
Goodwill | 828,804 | 828,051 | 655,018 |
Other intangible assets | 48,833 | 53,096 | 34,657 |
Company-owned life insurance | 404,561 | 403,753 | 353,786 |
Net deferred tax assets | 88,773 | 110,857 | 165,376 |
Loan servicing rights | 24,380 | 24,661 | 25,446 |
Assets held for sale | 6,331 | 7,180 | 14,604 |
Other real estate owned and repossessed personal property | 6,735 | 8,810 | 12,547 |
Other assets | 171,678 | 155,066 | 123,349 |
Total assets | 17,496,287 | 17,518,292 | 14,869,645 |
Deposits: | |||
Noninterest-bearing demand | 3,655,732 | 3,680,807 | 3,024,111 |
Interest-bearing: | |||
NOW | 3,135,778 | 3,115,822 | 2,635,317 |
Savings | 3,091,101 | 3,035,622 | 2,997,919 |
Money market | 1,130,258 | 1,139,077 | 697,287 |
Time | 1,775,731 | 1,634,436 | 1,466,718 |
Total deposits | 12,788,600 | 12,605,764 | 10,821,352 |
Federal funds purchased and interbank borrowings | 150,026 | 335,033 | 61,016 |
Securities sold under agreements to repurchase | 308,189 | 384,810 | 345,550 |
Federal Home Loan Bank advances | 1,664,179 | 1,609,579 | 1,441,030 |
Other borrowings | 248,898 | 248,782 | 219,021 |
Accrued expenses and other liabilities | 157,277 | 179,927 | 135,317 |
Total liabilities | 15,317,169 | 15,363,895 | 13,023,286 |
Shareholders' Equity | |||
Preferred stock, 2,000 shares authorized, no shares issued or outstanding | |||
Common stock, $1.00 per share stated value, 300,000 shares authorized, 152,172; 152,040; and 135,435 shares issued and outstanding, respectively | 152,172 | 152,040 | 135,435 |
Capital surplus | 1,640,776 | 1,639,499 | 1,350,866 |
Retained earnings | 447,696 | 413,130 | 408,623 |
Accumulated other comprehensive income (loss), net of tax | (61,526) | (50,272) | (48,565) |
Total shareholders' equity | 2,179,118 | 2,154,397 | 1,846,359 |
Total liabilities and shareholders' equity | 17,496,287 | 17,518,292 | 14,869,645 |
U.S. Treasury [Member] | |||
Investment securities - available-for-sale, at fair value | |||
Total investment securities - available-for-sale | 9,295 | 5,551 | 12,117 |
U.S. Government-Sponsored Entities and Agencies [Member] | |||
Investment securities - available-for-sale, at fair value | |||
Total investment securities - available-for-sale | 572,689 | 664,286 | 543,034 |
Mortgage-Backed Securities - Agency [Member] | |||
Investment securities - available-for-sale, at fair value | |||
Total investment securities - available-for-sale | 1,477,896 | 1,667,682 | 1,474,995 |
States and Political Subdivisions [Member] | |||
Investment securities - available-for-sale, at fair value | |||
Total investment securities - available-for-sale | 843,488 | 530,193 | 452,551 |
Other Debt Securities Including Pooled Trust Preferred Securities [Member] | |||
Investment securities - available-for-sale, at fair value | |||
Total investment securities - available-for-sale | $ 316,495 | $ 328,495 | $ 334,246 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Investment securities - held-to-maturity, fair value | $ 536,143 | $ 727,703 | $ 784,906 |
Common stock, stated value | $ 1 | $ 1 | $ 1 |
Authorized and unissued common shares reserved for issuance | 300,000,000 | 300,000,000 | 300,000,000 |
Common stock, shares issued | 152,172,000 | 152,040,000 | 135,435,000 |
Common stock, shares outstanding | 152,172,000 | 152,040,000 | 135,435,000 |
Series A Preferred Stock [Member] | |||
Preferred stock, shares authorized | 2,000,000 | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Loans including fees: | ||
Taxable | $ 118,389 | $ 92,201 |
Nontaxable | 3,874 | 3,179 |
Investment securities: | ||
Taxable | 18,804 | 15,685 |
Nontaxable | 6,549 | 7,372 |
Money market and other interest-earning investments | 90 | 31 |
Total interest income | 147,706 | 118,468 |
Interest Expense | ||
Deposits | 7,255 | 4,383 |
Federal funds purchased and interbank borrowings | 1,017 | 356 |
Securities sold under agreements to repurchase | 359 | 256 |
Federal Home Loan Bank advances | 7,780 | 5,312 |
Other borrowings | 2,723 | 2,360 |
Total interest expense | 19,134 | 12,667 |
Net interest income | 128,572 | 105,801 |
Provision for loan losses | 380 | 347 |
Net interest income after provision for loan losses | 128,192 | 105,454 |
Noninterest Income | ||
Wealth management fees | 9,026 | 8,999 |
Service charges on deposit accounts | 10,759 | 9,843 |
Debit card and ATM fees | 4,865 | 4,236 |
Mortgage banking revenue | 4,192 | 4,226 |
Investment product fees | 5,515 | 4,989 |
Capital markets income | 498 | 1,031 |
Company-owned life insurance | 2,605 | 2,149 |
Net securities gains (losses) | 788 | 1,500 |
Recognition of deferred gain on sale leaseback transactions | 395 | 537 |
Other income | 3,746 | 5,410 |
Total noninterest income | 42,389 | 42,920 |
Noninterest Expense | ||
Salaries and employee benefits | 64,179 | 56,564 |
Occupancy | 13,280 | 12,134 |
Equipment | 3,565 | 3,227 |
Marketing | 3,697 | 3,050 |
Data processing | 8,884 | 7,608 |
Communication | 3,064 | 2,414 |
Professional fees | 2,730 | 2,651 |
Loan expense | 1,744 | 1,631 |
Supplies | 722 | 579 |
FDIC assessment | 2,645 | 2,487 |
Other real estate owned expense | 349 | 1,115 |
Amortization of intangibles | 3,609 | 3,020 |
Amortization of tax credit investments | 716 | |
Other expense | 8,457 | 5,411 |
Total noninterest expense | 117,641 | 101,891 |
Income before income taxes | 52,940 | 46,483 |
Income tax expense | 4,957 | 10,491 |
Net income | $ 47,983 | $ 35,992 |
Net income per common share - basic | $ 0.32 | $ 0.27 |
Net income per common share - diluted | $ 0.31 | $ 0.27 |
Weighted average number of common shares outstanding - basic | 151,721 | 134,912 |
Weighted average number of common shares outstanding - diluted | 152,370 | 135,431 |
Dividends per common share | $ 0.13 | $ 0.13 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 47,983 | $ 35,992 |
Change in securities available-for-sale: | ||
Unrealized holding gains (losses) for the period | (25,794) | 15,780 |
Reclassification for securities transferred to held-to-maturity | 14,007 | |
Reclassification adjustment for securities gains realized in income | (788) | (1,500) |
Income tax effect | 3,110 | (5,260) |
Unrealized gains (losses) on available-for-sale securities | (9,465) | 9,020 |
Change in securities held-to-maturity: | ||
Adjustment for securities transferred to available-for-sale | 19,412 | |
Adjustment for securities transferred from available-for-sale | (14,007) | |
Amortization of fair value for securities held-to-maturity previously recognized into accumulated other comprehensive income | 591 | 449 |
Income tax effect | (1,026) | (154) |
Changes from securities held-to-maturity | 4,970 | 295 |
Cash flow hedges: | ||
Net unrealized derivative gains (losses) on cash flow hedges | 4,563 | 580 |
Reclassification adjustment for losses realized in net income | 769 | 1,799 |
Income tax effect | (1,308) | (904) |
Changes from cash flow hedges | 4,024 | 1,475 |
Defined benefit pension plans: | ||
Amortization of net loss recognized in income | 51 | 27 |
Income tax effect | (31) | (10) |
Changes from defined benefit pension plans | 20 | 17 |
Other comprehensive income (loss), net of tax | (451) | 10,807 |
Comprehensive income | $ 47,532 | $ 46,799 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Capital Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Beginning Balance at Dec. 31, 2016 | $ 1,814,417 | $ 135,159 | $ 1,348,338 | $ 390,292 | $ (59,372) |
Net income | 35,992 | 35,992 | |||
Other comprehensive income (loss) | 10,807 | 10,807 | |||
Dividends - common stock | (17,602) | (17,602) | |||
Common stock issued | 91 | 5 | 86 | ||
Common stock repurchased | (1,267) | (70) | (1,197) | ||
Stock-based compensation expense | 1,331 | 1,331 | |||
Stock activity under incentive compensation plans | 2,590 | 341 | 2,308 | (59) | |
Ending Balance at Mar. 31, 2017 | 1,846,359 | 135,435 | 1,350,866 | 408,623 | (48,565) |
Beginning Balance at Dec. 31, 2017 | 2,154,397 | 152,040 | 1,639,499 | 413,130 | (50,272) |
Reclassification of certain tax effects related to the Tax Cuts and Jobs Act of 2017 (Note 3) | 10,751 | (10,751) | |||
Net income | 47,983 | 47,983 | |||
Other comprehensive income (loss) | (451) | (451) | |||
Dividends - common stock | (19,782) | (19,782) | |||
Common stock issued | 105 | 6 | 99 | ||
Common stock repurchased | (1,115) | (64) | (1,051) | ||
Stock-based compensation expense | 1,931 | 1,931 | |||
Stock activity under incentive compensation plans | 229 | 190 | 298 | (259) | |
Ending Balance at Mar. 31, 2018 | 2,179,118 | $ 152,172 | $ 1,640,776 | 447,696 | (61,526) |
Cumulative effect of change in accounting principles (Note 3) | $ (4,179) | $ (4,127) | $ (52) |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Shareholders' Equity (unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statement of Stockholders' Equity [Abstract] | ||
Common stock, dividends per share | $ 0.13 | $ 0.13 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash Flows From Operating Activities | ||
Net income | $ 47,983 | $ 35,992 |
Adjustments to reconcile net income to cash provided by operating activities: | ||
Depreciation | 5,833 | 5,211 |
Amortization of other intangible assets | 3,609 | 3,020 |
Amortization of tax credit investments | 716 | |
Net premium amortization on investment securities | 3,845 | 3,846 |
Stock-based compensation expense | 1,931 | 1,331 |
Excess tax (benefit) expense on stock-based compensation | 536 | 288 |
Provision for loan losses | 380 | 347 |
Net securities (gains) losses | (788) | (1,500) |
Recognition of deferred gain on sale leaseback transactions | (395) | (537) |
Net (gains) losses on sales of loans and other assets | 5,365 | (2,520) |
Increase in cash surrender value of company-owned life insurance | (2,605) | (2,149) |
Residential real estate loans originated for sale | (92,377) | (51,823) |
Proceeds from sales of residential real estate loans | 93,686 | 127,656 |
(Increase) decrease in interest receivable | 5,481 | 4,706 |
(Increase) decrease in other real estate owned | 2,075 | 5,999 |
(Increase) decrease in other assets | 9,211 | 2,548 |
Increase (decrease) in accrued expenses and other liabilities | (22,172) | (12,451) |
Total adjustments | 14,331 | 83,972 |
Net cash flows provided by (used in) operating activities | 62,314 | 119,964 |
Cash Flows From Investing Activities | ||
Purchases of investment securities available-for-sale | (113,525) | (133,288) |
Purchases of Federal Home Loan Bank/Federal Reserve Bank stock | (16,520) | (5,794) |
Proceeds from maturities, prepayments, and calls of investment securities available-for-sale | 118,694 | 93,040 |
Proceeds from sales of investment securities available-for-sale | 84,257 | 33,588 |
Proceeds from maturities, prepayments, and calls of investment securities held-to-maturity | 26,117 | 2,714 |
Proceeds from sales of Federal Home Loan Bank/Federal Reserve Bank stock | 9 | |
Proceeds from sales of trading securities | 128 | 127 |
Net principal collected from (loans made to) loan customers | (120,941) | (121,582) |
Proceeds from settlements on company-owned life insurance | 1,797 | 1,319 |
Proceeds from sale of premises and equipment and other assets | 2,578 | |
Purchases of premises and equipment and other assets | (9,593) | (5,093) |
Net cash flows provided by (used in) investing activities | (27,008) | (134,960) |
Cash Flows From Financing Activities | ||
Deposits | 182,697 | 78,099 |
Federal funds purchased and interbank borrowings | (185,007) | (151,987) |
Securities sold under agreements to repurchase | (76,621) | (21,502) |
Payments for maturities of Federal Home Loan Bank advances | (772,928) | (641,830) |
Payments for maturities of other borrowings | (32) | (80) |
Proceeds from Federal Home Loan Bank advances | 825,000 | 730,000 |
Cash dividends paid on common stock | (19,782) | (17,602) |
Common stock repurchased | (1,115) | (1,267) |
Proceeds from exercise of stock options | 186 | 2,590 |
Common stock issued | 105 | 91 |
Net cash flows provided by (used in) financing activities | (47,497) | (23,488) |
Net increase (decrease) in cash and cash equivalents | (12,191) | (38,484) |
Cash and cash equivalents at beginning of period | 290,432 | 255,519 |
Cash and cash equivalents at end of period | 278,241 | 217,035 |
Supplemental cash flow information: | ||
Total interest paid | 20,775 | $ 14,642 |
Total taxes paid (net of refunds) | (183) | |
Securities transferred from held-to-maturity to available-for-sale | 447,026 | |
Securities transferred from available-for-sale to held-to-maturity | $ 323,990 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | NOTE 1 - BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements include the accounts of Old National Bancorp and its wholly-owned affiliates (hereinafter collectively referred to as “Old National”) and have been prepared in conformity with accounting principles generally accepted in the United States of America and prevailing practices within the banking industry. Such principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and the disclosures of contingent assets and liabilities at the date of the financial statements and amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In the opinion of management, the consolidated financial statements contain all the normal and recurring adjustments necessary for a fair statement of the financial position of Old National as of March 31, 2018 and 2017, and December 31, 2017, and the results of its operations for the three months ended March 31, 2018 and 2017. Interim results do not necessarily represent annual results. These financial statements should be read in conjunction with Old National’s Annual Report for the year ended December 31, 2017. All significant intercompany transactions and balances have been eliminated. Certain prior year amounts have been reclassified to conform to the 2018 presentation. Such reclassifications had no effect on net income or shareholders’ equity and were insignificant amounts. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | NOTE 2 – REVENUE RECOGNITION In May 2014, the FASB issued an update (ASU No. 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients In December 2016, the FASB issued ASU No. 2016-20, Revenue from Contracts with Customers (Topic 606): Technical Corrections and Improvements On January 1, 2018, we adopted ASU 2014-09, Revenue from Contracts with Customers Wealth management fees Service charges on deposit accounts Debit card and ATM fees Investment product fees The consolidated statements of income include all categories of noninterest income. The following table reflects only the categories of noninterest income that are within the scope of Topic 606: Three Months Ended March 31, (dollars in thousands) 2018 2017 Wealth management fees $ 9,026 $ 8,999 Service charges on deposit accounts 10,759 9,843 Debit card and ATM fees 4,865 4,236 Investment product fees 5,515 4,989 Other income: Gain (loss) on other real estate owned 135 658 Merchant processing fees 641 597 Safe deposit box fees 404 307 Insurance premiums and commissions 104 107 Total $ 31,449 $ 29,736 The adoption of Topic 606 did not have a material impact on our consolidated financial position, results of operations, equity, or cash flows as of the adoption date or for the three months ended March 31, 2018. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | NOTE 3 – RECENT ACCOUNTING PRONOUNCEMENTS FASB ASC 825 Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities) FASB ASC 842 – Leases (Topic 842) FASB ASC 815 Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. FASB ASC 718 – Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting. FASB ASC 326 Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments FASB ASC 740 Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory FASB ASC 805 Business Combinations (Topic 805): Clarifying the Definition of a Business FASB ASC 350 Intangibles: Goodwill and Other: Simplifying the Test for Goodwill Impairment FASB ASC 610 Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets (Topic 610): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets FASB ASC 715 Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost FASB ASC 310 Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities FASB ASC 220 Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income FASB ASC 825 Technical Corrections and Improvements to Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities) |
Acquisition and Divestiture Act
Acquisition and Divestiture Activity | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisition and Divestiture Activity | NOTE 4 – ACQUISITION AND DIVESTITURE ACTIVITY Acquisitions Anchor Bancorp, Inc. Effective November 1, 2017, Old National completed the acquisition of St. Paul, Minnesota-based Anchor (MN) through a stock and cash merger. Anchor (MN) was a bank holding company with Anchor Bank (MN) as its wholly-owned subsidiary. Founded in 1967 and with 17 total branches, Anchor Bank (MN) was one of the largest community banks headquartered in the Twin Cities, and also served Mankato, Minnesota. Anchor Bank (MN) has no affiliation with the former AnchorBank (WI) in Madison, Wisconsin, which Old National acquired in 2016. Old National believes that it will be able to achieve cost savings by integrating the two companies and combining accounting, data processing, retail and lending support, and other administrative functions, which will enable Old National to achieve economies of scale in these areas. Pursuant to the merger agreement, each holder of Anchor (MN) common stock received $2.625 in cash and 1.350 shares of Old National Common Stock per share of Anchor (MN) common stock such holder owned. The total fair value of consideration for Anchor (MN) was $332.8 million, consisting of $31.9 million of cash and the issuance of 16.5 million shares of Old National Common Stock valued at $300.8 million. This acquisition was accounted for under the acquisition method of accounting. Accordingly, Old National recognized amounts for identifiable assets acquired and liabilities assumed at their estimated acquisition date fair values. Through March 31, 2018, transaction and integration costs of $14.6 million associated with this acquisition have been expensed and remaining integration costs will be expensed in future periods as incurred. The following table reflects management’s preliminary valuation of the assets acquired and liabilities assumed (in thousands): Cash and cash equivalents $ 34,501 Investment securities 302,195 FHLB/Federal Reserve Bank stock 6,585 Loans held for sale 1,407 Loans 1,593,991 Premises and equipment 33,433 Accrued interest receivable 5,872 Other real estate owned 1,058 Company-owned life insurance 44,490 Other assets 30,036 Deposits (1,777,588 ) Federal funds purchased and interbank borrowings (45,600 ) Securities sold under agreements to repurchase (22,965 ) Other borrowings (49,257 ) Accrued expenses and other liabilities (25,784 ) Net tangible assets acquired 132,374 Definite-lived intangible assets acquired 26,606 Goodwill 173,785 Total consideration $ 332,765 Prior to the end of the one-year measurement period for finalizing acquisition-date fair values, if information becomes available which would indicate adjustments are required to the allocation, such adjustments will be included in the allocation in the reporting period in which the adjustment amounts are determined. During the first quarter of 2018, immaterial adjustments were made to the preliminary valuation of the assets acquired and liabilities assumed. These adjustments affected goodwill, definite lived intangible assets, premises and equipment, other assets, and deposits. Goodwill related to this acquisition will not be deductible for tax purposes. The estimated fair value of the core deposit intangible was $26.6 million and is being amortized over an estimated useful life of 10 years. Acquired loan data for Anchor (MN) can be found in the table below: Best Estimate at Acquisition Date of Fair Value Gross Contractual Contractual Cash of Acquired Loans Cash Flows at Flows Not Expected (in thousands) at Acquisition Date Acquisition Date to be Collected Acquired receivables subject to ASC 310-30 $ 10,555 $ 16,898 $ 4,787 Acquired receivables not subject to ASC 310-30 $ 1,583,436 $ 1,879,449 $ 87,767 Divestitures Based on an ongoing assessment of our service and delivery network, Old National consolidated 29 branches during 2017. There are ten branches located throughout the footprint scheduled to be consolidated; nine in the second quarter and one in the third quarter of this year. In addition, Old National entered into a branch purchase and assumption agreement for the sale of ten Old National branches in Wisconsin to Marine Credit Union of La Crosse, Wisconsin. The branch sale includes the assumption of approximately $274 million in deposits and no loans. Subject to regulatory approval and other terms and conditions, the sale is expected to close in the third quarter of 2018. |
Net Income Per Share
Net Income Per Share | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | NOTE 5 – NET INCOME PER SHARE Basic and diluted net income per share are calculated using the two-class method. Net income is divided by the weighted-average number of common shares outstanding during the period. Adjustments to the weighted average number of common shares outstanding are made only when such adjustments will dilute net income per common share. Net income is then divided by the weighted-average number of common shares and common share equivalents during the period. The following table reconciles basic and diluted net income per share for the three months ended March 31, 2018 and 2017: Three Months Ended (dollars and shares in thousands, March 31, except per share data) 2018 2017 Basic Earnings Per Share Net income $ 47,983 $ 35,992 Weighted average common shares outstanding 151,721 134,912 Basic Net Income Per Share $ 0.32 $ 0.27 Diluted Earnings Per Share Net income $ 47,983 $ 35,992 Weighted average common shares outstanding 151,721 134,912 Effect of dilutive securities: Restricted stock 569 445 Stock options (1) 80 74 Weighted average shares outstanding 152,370 135,431 Diluted Net Income Per Share $ 0.31 $ 0.27 (1) Options to purchase 15 thousand shares and 55 thousand shares outstanding at March 31, 2018 and 2017, respectively, were not included in the computation of net income per diluted share because the exercise price of these options was greater than the average market price of the common shares and, therefore, the effect would be antidilutive. |
Investment Securities
Investment Securities | 3 Months Ended |
Mar. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | NOTE 6 – INVESTMENT SECURITIES The following table summarizes the amortized cost and fair value of the available-for-sale and held-to-maturity investment securities portfolio at March 31, 2018 and December 31, 2017 and the corresponding amounts of unrealized gains and losses therein: Amortized Unrealized Unrealized Fair (dollars in thousands) Cost Gains Losses Value March 31, 2018 Available-for-Sale U.S. Treasury $ 9,292 $ 32 $ (29 ) $ 9,295 U.S. government-sponsored entities and agencies 587,140 1 (14,452 ) 572,689 Mortgage-backed securities - Agency 1,527,777 648 (50,529 ) 1,477,896 States and political subdivisions 837,946 9,930 (4,388 ) 843,488 Pooled trust preferred securities 13,899 — (5,704 ) 8,195 Other securities 312,763 594 (5,057 ) 308,300 Total available-for-sale securities $ 3,288,817 $ 11,205 $ (80,159 ) $ 3,219,863 Held-to-Maturity U.S. government-sponsored entities and agencies $ 73,369 $ — $ (1,925 ) $ 71,444 Mortgage-backed securities - Agency 145,658 75 (2,966 ) 142,767 States and political subdivisions 316,126 8,278 (2,472 ) 321,932 Total held-to-maturity securities $ 535,153 $ 8,353 $ (7,363 ) $ 536,143 December 31, 2017 Available-for-Sale U.S. Treasury $ 5,473 $ 83 $ (5 ) $ 5,551 U.S. government-sponsored entities and agencies 675,643 3 (11,360 ) 664,286 Mortgage-backed securities - Agency 1,704,014 1,600 (37,932 ) 1,667,682 States and political subdivisions 529,835 5,085 (4,727 ) 530,193 Pooled trust preferred securities 16,605 — (8,157 ) 8,448 Other securities 321,016 1,172 (2,141 ) 320,047 Total available-for-sale securities $ 3,252,586 $ 7,943 $ (64,322 ) $ 3,196,207 Held-to-Maturity Mortgage-backed securities - Agency $ 6,903 $ 153 $ — $ 7,056 States and political subdivisions 677,160 43,495 (8 ) 720,647 Total held-to-maturity securities $ 684,063 $ 43,648 $ (8 ) $ 727,703 As previously disclosed in Note 3, upon the early adoption of ASU No. 2017-12 on January 1, 2018, Old National reclassified $447.0 million in state and political subdivision securities from the held-to-maturity portfolio to the available-for-sale portfolio. Separately, on January 1, 2018, U.S. government-sponsored entities and agencies, agency mortgage-backed securities, and state and political subdivision securities with a fair value of $324.0 million were transferred from the available-for-sale portfolio to the held-to-maturity portfolio. The $10.8 million unrealized holding loss, net of tax, at the date of transfer shall continue to be reported as a separate component of shareholders’ equity and will be amortized over the remaining life of the securities as an adjustment to yield. The corresponding discount on these securities will offset this adjustment to yield as it is amortized. Proceeds from sales or calls of available-for-sale investment securities, the resulting realized gains and realized losses, and other securities gains or losses were as follows for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Proceeds from sales of available-for-sale securities $ 84,257 $ 33,588 Proceeds from calls of available-for-sale securities 17,436 10,520 Total $ 101,693 $ 44,108 Realized gains on sales of available-for-sale securities $ 2,008 $ 1,329 Realized gains on calls of available-for-sale securities 1 — Realized losses on sales of available-for-sale securities (1,257 ) (30 ) Realized losses on calls of available-for-sale securities (49 ) (1 ) Other securities gains (losses) (1) 85 202 Net securities gains (losses) $ 788 $ 1,500 (1) Other securities gains (losses) includes net realized and unrealized gains or losses associated with trading securities and mutual funds. Trading securities, which consist of mutual funds held in trusts associated with deferred compensation plans for former directors and executives, are recorded at fair value and totaled $5.6 million at March 31, 2018 and December 31, 2017. All the mortgage-backed securities in the investment portfolio are residential mortgage-backed securities. The amortized cost and fair value of the investment securities portfolio are shown by expected maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Weighted average yield is based on amortized cost. At March 31, 2018 (dollars in thousands) Weighted Amortized Fair Average Maturity Cost Value Yield Available-for-Sale Within one year $ 60,568 $ 60,503 2.16 % One to five years 495,123 490,729 2.28 Five to ten years 377,525 374,850 2.83 Beyond ten years 2,355,601 2,293,781 2.61 Total $ 3,288,817 $ 3,219,863 2.58 % Held-to-Maturity Within one year $ 22,368 $ 22,563 3.74 % One to five years 36,340 37,201 4.04 Five to ten years 80,260 82,779 4.35 Beyond ten years 396,185 393,600 4.59 Total $ 535,153 $ 536,143 3.74 % The following table summarizes the investment securities with unrealized losses at March 31, 2018 and December 31, 2017 by aggregated major security type and length of time in a continuous unrealized loss position: Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) Value Losses Value Losses Value Losses March 31, 2018 Available-for-Sale U.S. Treasury $ 5,273 $ (29 ) $ — $ — $ 5,273 $ (29 ) U.S. government-sponsored entities and agencies 240,181 (4,428 ) 331,504 (10,024 ) 571,685 (14,452 ) Mortgage-backed securities - Agency 753,315 (19,422 ) 630,193 (31,107 ) 1,383,508 (50,529 ) States and political subdivisions 294,601 (4,065 ) 7,782 (323 ) 302,383 (4,388 ) Pooled trust preferred securities — — 8,195 (5,704 ) 8,195 (5,704 ) Other securities 110,546 (2,522 ) 122,440 (2,535 ) 232,986 (5,057 ) Total available-for-sale $ 1,403,916 $ (30,466 ) $ 1,100,114 $ (49,693 ) $ 2,504,030 $ (80,159 ) Held-to-Maturity U.S. government-sponsored entities and agencies $ — $ — $ 71,444 $ (1,925 ) $ 71,444 $ (1,925 ) Mortgage-backed securities - Agency 37,880 (664 ) 103,727 (2,302 ) 141,607 (2,966 ) States and political subdivisions 38,606 (860 ) 67,909 (1,612 ) 106,515 (2,472 ) Total held-to-maturity $ 76,486 $ (1,524 ) $ 243,080 $ (5,839 ) $ 319,566 $ (7,363 ) December 31, 2017 Available-for-Sale U.S. Treasury $ 1,480 $ (5 ) $ — $ — $ 1,480 $ (5 ) U.S. government-sponsored entities and agencies 201,773 (1,333 ) 408,493 (10,027 ) 610,266 (11,360 ) Mortgage-backed securities - Agency 789,804 (8,692 ) 774,825 (29,240 ) 1,564,629 (37,932 ) States and political subdivisions 196,024 (1,899 ) 90,637 (2,828 ) 286,661 (4,727 ) Pooled trust preferred securities — — 8,448 (8,157 ) 8,448 (8,157 ) Other securities 61,260 (429 ) 125,517 (1,712 ) 186,777 (2,141 ) Total available-for-sale $ 1,250,341 $ (12,358 ) $ 1,407,920 $ (51,964 ) $ 2,658,261 $ (64,322 ) Held-to-Maturity States and political subdivisions $ 2,309 $ (8 ) $ — $ — $ 2,309 $ (8 ) Total held-to-maturity $ 2,309 $ (8 ) $ — $ — $ 2,309 $ (8 ) In addition to the unrealized losses at March 31, 2018 presented above, there is an additional $14.0 million of unrealized losses on securities that exist due to securities previously transferred from available-for-sale to held-to-maturity. Management evaluates securities for OTTI at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Investment securities classified as available-for-sale or held-to-maturity are generally evaluated for OTTI under FASB ASC 320, Investments – Debt and Equity Securities. In determining OTTI under FASB ASC 320, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. The assessment of whether an other-than-temporary decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. When OTTI occurs, the amount of the OTTI recognized in earnings depends on whether an entity intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss. If an entity intends to sell or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss, the OTTI shall be recognized in earnings equal to the entire difference between the investment’s amortized cost basis and its fair value at the balance sheet date. Otherwise, the OTTI shall be separated into the amount representing the credit loss and the amount related to all other factors. The amount of the total OTTI related to the credit loss is determined based on the present value of cash flows expected to be collected and is recognized in earnings. The amount of the total OTTI related to other factors shall be recognized in other comprehensive income, net of applicable taxes. The previous amortized cost basis less the OTTI recognized in earnings shall become the new amortized cost basis of the investment. There was no OTTI recorded during the three months ended March 31, 2018 or 2017. At March 31, 2018, Old National’s securities portfolio consisted of 1,690 securities, 850 of which were in an unrealized loss position. The unrealized losses attributable to our U.S. Treasury, U.S. government-sponsored entities and agencies, agency mortgage-backed securities, states and political subdivisions, and other securities are the result of fluctuations in interest rates. Our pooled trust preferred securities are discussed below. At March 31, 2018, we had no intent to sell any securities that were in an unrealized loss position nor is it expected that we would be required to sell any securities. Pooled Trust Preferred Securities At March 31, 2018, our securities portfolio contained two pooled trust preferred securities with a fair value of $8.2 million and unrealized losses of $5.7 million. These securities are not subject to FASB ASC 325-10 and are evaluated using collateral-specific assumptions to estimate the expected future interest and principal cash flows. For the three months ended March 31, 2018 and 2017, our analysis indicated no OTTI on these securities. During the first quarter of 2018, Old National sold a pooled trust security that fell within the scope of FASB ASC 325-10 (EITF 99-20). Proceeds from the sale were $1.8 million, which resulted in a loss of $0.9 million. Although Old National typically does not sell securities in an unrealized loss position, this security was sold because the final liquidation value was significantly higher than our assessment of value for this position. The table below summarizes the relevant characteristics of our pooled trust preferred securities as well as our single issuer trust preferred securities that are included in the “other securities” category in this footnote. Each of the pooled trust preferred securities support a more senior tranche of security holders. Both pooled trust preferred securities have experienced credit defaults. However, these securities have excess subordination and are not other-than-temporarily impaired as a result of their class hierarchy, which provides more loss protection. Trust preferred securities Actual Expected Excess March 31, 2018 Deferrals Defaults as Subordination (dollars in # of Issuers and Defaults a % of as a % of thousands) Lowest Unrealized Realized Currently as a % of Remaining Current Credit Amortized Fair Gain/ Losses Performing/ Original Performing Performing Class Rating (1) Cost Value (Loss) 2018 Remaining Collateral Collateral Collateral Pooled trust preferred securities: Pretsl XXVII LTD B B $ 4,399 $ 2,442 $ (1,957 ) $ — 35/44 16.7 % 4.2 % 46.7 % Trapeza Ser 13A A2A BBB 9,500 5,753 (3,747 ) — 48/53 4.5 % 4.5 % 46.2 % 13,899 8,195 (5,704 ) — Single Issuer trust preferred securities: Fleet Cap Tr V (BOA) BBB- 3,409 3,325 (84 ) — JP Morgan Chase Cap XIII BBB- 4,780 4,650 (130 ) — NB-Global BBB- 808 941 133 — 8,997 8,916 (81 ) — Total $ 22,896 $ 17,111 $ (5,785 ) $ — (1) Lowest rating for the security provided by any nationally recognized credit rating agency. |
Loans Held for Sale
Loans Held for Sale | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Loans Held for Sale | NOTE 7 – LOANS HELD FOR SALE Mortgage loans held for immediate sale in the secondary market were $17.6 million at March 31, 2018, compared to $17.9 million at December 31, 2017. Residential loans that Old National has originated with the intent to sell are recorded at fair value in accordance with FASB ASC 825-10, Financial Instruments |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 3 Months Ended |
Mar. 31, 2018 | |
Text Block [Abstract] | |
Loans and Allowance for Loan Losses | NOTE 8 – LOANS AND ALLOWANCE FOR LOAN LOSSES Old National’s loans consist primarily of loans made to consumers and commercial clients in various industries including manufacturing, agribusiness, transportation, mining, wholesaling, and retailing. Most of Old National’s lending activity occurs within our principal geographic markets of Indiana, Kentucky, Michigan, Wisconsin, and Minnesota. Old National manages concentrations of credit exposure by industry, product, geography, customer relationship, and loan size. While loans to lessors of both residential and non-residential real estate exceed 10% of total loans, no individual sub-segment category within those broader categories reach the 10% threshold. The composition of loans by lending classification was as follows: March 31, December 31, (dollars in thousands) 2018 2017 Commercial (1) $ 2,811,629 $ 2,717,269 Commercial real estate: Construction 351,448 374,306 Other 4,098,532 3,980,246 Residential real estate 2,158,532 2,167,053 Consumer credit: Home equity 487,237 507,507 Auto 1,117,027 1,148,672 Other 214,277 223,068 Total loans 11,238,682 11,118,121 Allowance for loan losses (50,381 ) (50,381 ) Net loans $ 11,188,301 $ 11,067,740 (1) Includes direct finance leases of $27.4 million at March 31, 2018 and $29.5 million at December 31, 2017. The risk characteristics of each loan portfolio segment are as follows: Commercial Commercial loans are primarily based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected and the collateral securing these loans may fluctuate in value. Most commercial loans are secured by the assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee; however, some loans may be made on an unsecured basis. In the case of loans secured by accounts receivable, the availability of funds for the repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. Commercial Real Estate These loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves higher loan principal amounts, and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be adversely affected by conditions in the real estate markets or in the general economy. The properties securing Old National’s commercial real estate portfolio are diverse in terms of type and geographic location. Management monitors and evaluates commercial real estate loans based on collateral, geography and risk grade criteria. In addition, management tracks the level of owner-occupied commercial real estate loans versus non-owner occupied loans. Included with commercial real estate are construction loans, which are underwritten utilizing independent appraisal reviews, sensitivity analysis of absorption and lease rates, financial analysis of the developers and property owners, and feasibility studies, if available. Construction loans are generally based on estimates of costs and value associated with the complete project. These estimates may be inaccurate. Construction loans often involve the disbursement of substantial funds with repayment substantially dependent on the success of the ultimate project. Sources of repayment for these types of loans may be pre-committed permanent loans from approved long-term lenders (including Old National), sales of developed property, or an interim loan commitment from Old National until permanent financing is obtained. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, governmental regulation of real property, general economic conditions, and the availability of long-term financing. The acquisition of Anchor (MN) on November 1, 2017 added $864.4 million of commercial real estate loans to our portfolio. At 208%, Old National Bank’s commercial real estate loans as a percentage of its risk-based capital remained well below the regulatory guideline limit of 300% at March 31, 2018. Residential With respect to residential loans that are secured by 1-4 family residences and are generally owner occupied, Old National typically establishes a maximum loan-to-value ratio and generally requires private mortgage insurance if that ratio is exceeded. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Repayment can also be impacted by changes in residential property values. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Consumer Home equity loans are typically secured by a subordinate interest in 1-4 family residences, and consumer loans are secured by consumer assets such as automobiles or recreational vehicles. We assumed student loans in the acquisition of Anchor (WI) in May 2016. Student loans are guaranteed by the government from 97% to 100% and totaled $66.0 million at March 31, 2018, compared to $68.2 million at December 31, 2017. Some consumer loans are unsecured such as small installment loans and certain lines of credit. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Repayment can also be impacted by changes in residential property or other collateral values. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Allowance for Loan Losses The allowance for loan losses is maintained at a level believed adequate by management to absorb probable losses incurred in the consolidated loan portfolio. Management’s evaluation of the adequacy of the allowance is an estimate based on reviews of individual loans, pools of homogeneous loans, assessments of the impact of current and anticipated economic conditions on the portfolio, and historical loss experience. The allowance is increased through a provision charged to operating expense. Loans deemed to be uncollectible are charged to the allowance. Recoveries of loans previously charged-off are added to the allowance. We utilize a PD and LGD model as a tool to determine the adequacy of the allowance for loan losses for performing commercial and commercial real estate loans. The PD is forecast using a transition matrix to determine the likelihood of a customer’s AQR migrating from its current AQR to any other status within the time horizon. Transition rates are measured using Old National’s own historical experience. The model assumes that recent historical transition rates will continue into the future. The LGD is defined as credit loss incurred when an obligor of the bank defaults. The sum of all net charge-offs for a particular portfolio segment are divided by all loans that have defaulted over a given period of time. The expected loss derived from the model considers the PD, LGD, and exposure at default. Additionally, qualitative factors, such as changes in lending policies or procedures, and economic business conditions are also considered. We use historic loss ratios adjusted for economic conditions to determine the appropriate level of allowance for residential real estate and consumer loans. No allowance was brought forward on any of the acquired loans as any credit deterioration evident in the loans was included in the determination of the fair value of the loans at the acquisition date. An allowance for loan losses will be established for any subsequent credit deterioration or adverse changes in expected cash flows. Old National’s activity in the allowance for loan losses for the three months ended March 31, 2018 and 2017 was as follows: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended March 31, 2018 Balance at beginning of period $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Charge-offs (245 ) (3 ) (362 ) (2,075 ) (2,685 ) Recoveries 511 484 148 1,162 2,305 Provision 79 (1,121 ) 214 1,208 380 Balance at end of period $ 19,591 $ 20,796 $ 1,763 $ 8,231 $ 50,381 Three Months Ended March 31, 2017 Balance at beginning of period $ 21,481 $ 18,173 $ 1,643 $ 8,511 $ 49,808 Charge-offs (470 ) (568 ) (414 ) (1,787 ) (3,239 ) Recoveries 603 1,225 79 1,011 2,918 Provision 494 (877 ) 428 302 347 Balance at end of period $ 22,108 $ 17,953 $ 1,736 $ 8,037 $ 49,834 The following table provides Old National’s recorded investment in loans by portfolio segment at March 31, 2018 and December 31, 2017 and other information regarding the allowance: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total March 31, 2018 Allowance for loan losses: Individually evaluated for impairment $ 4,024 $ 6,054 $ — $ — $ 10,078 Collectively evaluated for impairment 15,557 14,742 1,763 8,069 40,131 Loans acquired with deteriorated credit quality 10 — — 162 172 Total allowance for loan losses $ 19,591 $ 20,796 $ 1,763 $ 8,231 $ 50,381 Loans and leases outstanding: Individually evaluated for impairment $ 30,092 $ 64,693 $ — $ — $ 94,785 Collectively evaluated for impairment 2,776,738 4,364,309 2,147,693 1,813,910 11,102,650 Loans acquired with deteriorated credit quality 4,799 20,978 10,839 4,631 41,247 Total loans and leases outstanding $ 2,811,629 $ 4,449,980 $ 2,158,532 $ 1,818,541 $ 11,238,682 December 31, 2017 Allowance for loan losses: Individually evaluated for impairment $ 3,424 $ 6,654 $ — $ — $ 10,078 Collectively evaluated for impairment 15,790 14,782 1,763 7,802 40,137 Loans acquired with deteriorated credit quality 32 — — 134 166 Total allowance for loan losses $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Loans and leases outstanding: Individually evaluated for impairment $ 26,270 $ 66,061 $ — $ — $ 92,331 Collectively evaluated for impairment 2,685,847 4,266,665 2,155,750 1,874,002 10,982,264 Loans acquired with deteriorated credit quality 5,152 21,826 11,303 5,245 43,526 Total loans and leases outstanding $ 2,717,269 $ 4,354,552 $ 2,167,053 $ 1,879,247 $ 11,118,121 Credit Quality Old National’s management monitors the credit quality of its loans in an on-going manner. Internally, management assigns an AQR to each non-homogeneous commercial and commercial real estate loan in the portfolio, with the exception of certain FICO-scored small business loans. The primary determinants of the AQR are based upon the reliability of the primary source of repayment and the past, present, and projected financial condition of the borrower. The AQR will also consider current industry conditions. Major factors used in determining the AQR can vary based on the nature of the loan, but commonly include factors such as debt service coverage, internal cash flow, liquidity, leverage, operating performance, debt burden, FICO scores, occupancy, interest rate sensitivity, and expense burden. Old National uses the following definitions for risk ratings: Criticized Classified – Substandard Classified – Nonaccrual Classified – Doubtful Pass rated loans are those loans that are other than criticized, classified – substandard, classified – nonaccrual, or classified – doubtful. The risk category of commercial and commercial real estate loans by class of loans at March 31, 2018 and December 31, 2017 was as follows: (dollars in thousands) Commercial Commercial Real Estate - Real Estate - Corporate Credit Exposure Commercial Construction Other Credit Risk Profile by March 31, December 31, March 31, December 31, March 31, December 31, Internally Assigned Grade 2018 2017 2018 2017 2018 2017 Grade: Pass $ 2,657,943 $ 2,577,824 $ 335,761 $ 357,438 $ 3,886,508 $ 3,762,896 Criticized 78,612 74,876 14,782 14,758 81,479 98,451 Classified - substandard 41,899 37,367 — — 71,047 58,584 Classified - nonaccrual 30,823 24,798 905 2,110 31,364 30,108 Classified - doubtful 2,352 2,404 — — 28,134 30,207 Total $ 2,811,629 $ 2,717,269 $ 351,448 $ 374,306 $ 4,098,532 $ 3,980,246 Old National considers the performance of the loan portfolio and its impact on the allowance for loan losses. For residential and consumer loan classes, Old National also evaluates credit quality based on the aging status of the loan and by payment activity. The following table presents the recorded investment in residential and consumer loans based on payment activity at March 31, 2018 and December 31, 2017: Consumer (dollars in thousands) Residential Home Auto Other March 31, 2018 Performing $ 2,137,395 $ 482,214 $ 1,114,511 $ 209,235 Nonperforming 21,137 5,023 2,515 5,043 Total $ 2,158,532 $ 487,237 $ 1,117,026 $ 214,278 December 31, 2017 Performing $ 2,144,882 $ 502,322 $ 1,145,977 $ 217,819 Nonperforming 22,171 5,185 2,695 5,249 Total $ 2,167,053 $ 507,507 $ 1,148,672 $ 223,068 Impaired Loans Large commercial credits are subject to individual evaluation for impairment. Retail credits and other small balance credits that are part of a homogeneous group are not tested for individual impairment unless they are modified as a TDR. A loan is considered impaired when it is probable that contractual interest and principal payments will not be collected either for the amounts or by the dates as scheduled in the loan agreement. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported net, at the present value of estimated cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Old National’s policy, for all but PCI loans, is to recognize interest income on impaired loans unless the loan is placed on nonaccrual status. The following table shows Old National’s impaired loans at March 31, 2018 and December 31, 2017, respectively. Only purchased loans that have experienced subsequent impairment since the date acquired are included in the table below. Unpaid Recorded Principal Related (dollars in thousands) Investment Balance Allowance March 31, 2018 With no related allowance recorded: Commercial $ 20,869 $ 21,656 $ — Commercial Real Estate - Other 42,923 44,688 — Residential 2,107 2,128 — Consumer 2,000 2,436 — With an allowance recorded: Commercial 9,223 9,276 4,024 Commercial Real Estate - Construction 905 1,371 401 Commercial Real Estate - Other 20,865 21,081 5,653 Residential 950 950 48 Consumer 2,022 2,022 101 Total $ 101,864 $ 105,608 $ 10,227 December 31, 2017 With no related allowance recorded: Commercial $ 20,557 $ 21,483 $ — Commercial Real Estate - Other 38,678 44,564 — Residential 2,443 2,464 — Consumer 1,685 2,105 — With an allowance recorded: Commercial 5,713 5,713 3,424 Commercial Real Estate - Construction 905 1,371 401 Commercial Real Estate - Other 26,478 26,902 6,253 Residential 870 870 44 Consumer 2,211 2,228 110 Total $ 99,540 $ 107,700 $ 10,232 The average balance of impaired loans during the three months ended March 31, 2018 and 2017 are included in the table below. Three Months Ended March 31, (dollars in thousands) 2018 2017 Average Recorded Investment With no related allowance recorded: Commercial $ 20,714 $ 28,780 Commercial Real Estate - Other 40,801 32,671 Residential 2,275 1,931 Consumer 1,842 1,377 With an allowance recorded: Commercial 7,468 8,743 Commercial Real Estate - Construction 905 — Commercial Real Estate - Other 23,672 20,650 Residential 910 1,118 Consumer 2,117 2,003 Total $ 100,704 $ 97,273 Old National does not record interest on nonaccrual loans until principal is recovered. Interest income recognized on impaired loans during the three months ended March 31, 2018 and 2017 was immaterial. For all loan classes, a loan is generally placed on nonaccrual status when principal or interest becomes 90 days past due unless it is well secured and in the process of collection, or earlier when concern exists as to the ultimate collectibility of principal or interest. Interest accrued during the current year on such loans is reversed against earnings. Interest accrued in the prior year, if any, is charged to the allowance for loan losses. Cash interest received on these loans is applied to the principal balance until the principal is recovered or until the loan returns to accrual status. Loans may be returned to accrual status when all the principal and interest amounts contractually due are brought current, remain current for a prescribed period, and future payments are reasonably assured. Loans accounted for under FASB ASC Topic 310-30 accrue interest, even though they may be contractually past due, as any nonpayment of contractual principal or interest is considered in the periodic re-estimation of expected cash flows and is included in the resulting recognition of current period loan loss provision or prospective yield adjustments. Old National’s past due financing receivables at March 31, 2018 and December 31, 2017 were as follows: (dollars in thousands) 30-59 Days 60-89 Days Past Due Nonaccrual Total Current March 31, 2018 Commercial $ 1,068 $ 195 $ 10 $ 33,175 $ 34,448 $ 2,777,181 Commercial Real Estate: Construction — — — 905 905 350,543 Other 1,779 932 — 59,498 62,209 4,036,323 Residential 21,071 909 16 21,137 43,133 2,115,399 Consumer: Home equity 1,965 183 16 5,023 7,187 480,050 Auto 4,904 1,139 214 2,515 8,772 1,108,255 Other 2,121 1,014 71 5,043 8,249 206,028 Total loans $ 32,908 $ 4,372 $ 327 $ 127,296 $ 164,903 $ 11,073,779 December 31, 2017 Commercial $ 986 $ 360 $ 144 $ 27,202 $ 28,692 $ 2,688,577 Commercial Real Estate: Construction — — — 2,110 2,110 372,196 Other 2,247 89 — 60,315 62,651 3,917,595 Residential 18,948 3,416 — 22,171 44,535 2,122,518 Consumer: Home equity 1,467 230 68 5,185 6,950 500,557 Auto 6,487 1,402 532 2,695 11,116 1,137,556 Other 3,967 1,514 150 5,249 10,880 212,188 Total loans $ 34,102 $ 7,011 $ 894 $ 124,927 $ 166,934 $ 10,951,187 Loan Participations Old National has loan participations, which qualify as participating interests, with other financial institutions. At March 31, 2018, these loans totaled $580.2 million, of which $301.4 million had been sold to other financial institutions and $278.8 million was retained by Old National. The loan participations convey proportionate ownership rights with equal priority to each participating interest holder; involve no recourse (other than ordinary representations and warranties) to, or subordination by, any participating interest holder; all cash flows are divided among the participating interest holders in proportion to each holder’s share of ownership; and no holder has the right to pledge the entire financial asset unless all participating interest holders agree. Troubled Debt Restructurings Old National may choose to restructure the contractual terms of certain loans. The decision to restructure a loan, versus aggressively enforcing the collection of the loan, may benefit Old National by increasing the ultimate probability of collection. Any loans that are modified are reviewed by Old National to identify if a TDR has occurred, which is when for economic or legal reasons related to a borrower’s financial difficulties, Old National Bank grants a concession to the borrower that it would not otherwise consider. Terms may be modified to fit the ability of the borrower to repay in line with its current financial status. The modification of the terms of such loans include one or a combination of the following: a reduction of the stated interest rate of the loan, an extension of the maturity date at a stated rate of interest lower than the current market rate of new debt with similar risk, or a permanent reduction of the recorded investment of the loan. Loans modified in a TDR are typically placed on nonaccrual status until we determine the future collection of principal and interest is reasonably assured, which generally requires that the borrower demonstrate a period of performance according to the restructured terms for six months. If we are unable to resolve a nonperforming loan issue, the credit will be charged off when it is apparent there will be a loss. For large commercial type loans, each relationship is individually analyzed for evidence of apparent loss based on quantitative benchmarks or subjectively based upon certain events or particular circumstances. Generally, Old National charges off small commercial loans scored through our small business credit center with contractual balances under $250,000 that are 90 days or more delinquent and do not have adequate collateral support. For residential and consumer loans, a charge off is recorded at the time foreclosure is initiated or when the loan becomes 120 to 180 days past due, whichever is earlier. For commercial TDRs, an allocated reserve is established within the allowance for loan losses for the difference between the carrying value of the loan and its computed value. To determine the value of the loan, one of the following methods is selected: (1) the present value of expected cash flows discounted at the loan’s original effective interest rate, (2) the loan’s observable market price, or (3) the fair value of the collateral value, if the loan is collateral dependent. The allocated reserve is established as the difference between the carrying value of the loan and the collectable value. If there are significant changes in the amount or timing of the loan’s expected future cash flows, impairment is recalculated and the valuation allowance is adjusted accordingly. When a residential or consumer loan is identified as a TDR, the loan is typically written down to its collateral value less selling costs. The following table presents activity in TDRs for the three months ended March 31, 2018 and 2017: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended March 31, 2018 Balance at beginning of period $ 12,088 $ 34,705 $ 3,315 $ 3,895 $ 54,003 (Charge-offs)/recoveries (129 ) (10 ) 23 298 182 Payments (476 ) (495 ) (276 ) (537 ) (1,784 ) Additions 539 566 — 432 1,537 Interest collected on nonaccrual loans (104 ) (278 ) (4 ) (68 ) (454 ) Balance at end of period $ 11,918 $ 34,488 $ 3,058 $ 4,020 $ 53,484 Three Months Ended March 31, 2017 Balance at beginning of period $ 16,802 $ 18,327 $ 2,985 $ 2,602 $ 40,716 (Charge-offs)/recoveries 35 355 — (100 ) 290 Payments (3,827 ) (1,751 ) (142 ) (508 ) (6,228 ) Additions 9,442 — 564 1,924 11,930 Interest collected on nonaccrual loans 2,170 358 — 11 2,539 Balance at end of period $ 24,622 $ 17,289 $ 3,407 $ 3,929 $ 49,247 Approximately $36.9 million of the TDRs at March 31, 2018 were included with nonaccrual loans, compared to $34.0 million of the TDRs at December 31, 2017. Old National has allocated specific reserves to customers whose loan terms have been modified in TDRs totaling $5.9 million at March 31, 2018 and $5.7 million at December 31, 2017. At March 31, 2018, Old National had committed to lend an additional $4.6 million to customers with outstanding loans that are classified as TDRs. The pre-modification and post-modification outstanding recorded investments of loans modified as TDRs during the three months ended March 31, 2018 and 2017 are the same except for when the loan modifications involve the forgiveness of principal. The following table presents loans by class modified as TDRs that occurred during the three months ended March 31, 2018 and 2017: Pre-modification Post-modification Number Outstanding Recorded Outstanding Recorded (dollars in thousands) of Loans Investment Investment Three Months Ended March 31, 2018 TDR: Commercial 1 $ 539 $ 539 Commercial Real Estate - Other 1 566 566 Consumer 1 432 432 Total 3 $ 1,537 $ 1,537 Three Months Ended March 31, 2017 TDR: Commercial 6 $ 9,442 $ 9,442 Residential 3 564 564 Consumer 5 1,924 1,924 Total 14 $ 11,930 $ 11,930 The TDRs that occurred during the three months ended March 31, 2018 did not change the allowance for loan losses and resulted in no charge-offs during the three months ended March 31, 2018. The TDRs that occurred during the three months ended March 31, 2017 decreased the allowance for loan losses by $0.1 million due to a change in collateral position on a large commercial loan and resulted in no charge-offs. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. TDRs for which there was a payment default within twelve months following the modification were insignificant during the three months ended March 31, 2018 and 2017. The terms of certain other loans were modified during the three months ended March 31, 2018 that did not meet the definition of a TDR. It is our process to review all classified and criticized loans that, during the period, have been renewed, have entered into a forbearance agreement, have gone from principal and interest to interest only, or have extended the maturity date. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on its debt in the foreseeable future without the modification. The evaluation is performed under our internal underwriting policy. We also evaluate whether a concession has been granted or if we were adequately compensated through a market interest rate, additional collateral or a bona fide guarantee. We also consider whether the modification was insignificant relative to the other terms of the agreement or the delay in a payment. PCI loans are not considered impaired until after the point at which there has been a degradation of cash flows below our expected cash flows at acquisition. If a PCI loan is subsequently modified, and meets the definition of a TDR, it will be removed from PCI accounting and accounted for as a TDR only if the PCI loan was being accounted for individually. If the PCI loan is being accounted for as part of a pool, it will not be removed from the pool. As of March 31, 2018, it has not been necessary to remove any loans from PCI accounting. In general, once a modified loan is considered a TDR, the loan will always be considered a TDR, and therefore impaired, until it is paid in full, otherwise settled, sold or charged off. However, guidance also permits for loans to be removed from TDR status when subsequently restructured under these circumstances: (1) at the time of the subsequent restructuring, the borrower is not experiencing financial difficulties, and this is documented by a current credit evaluation at the time of the restructuring, (2) under the terms of the subsequent restructuring agreement, the institution has granted no concession to the borrower; and (3) the subsequent restructuring agreement includes market terms that are no less favorable than those that would be offered for a comparable new loan. For loans subsequently restructured that have cumulative principal forgiveness, the loan should continue to be measured in accordance with ASC 310-10, Receivables – Overall Troubled Debt Restructurings by Creditors, Creditor Disclosure of Troubled Debt Restructurings Purchased Credit Impaired Loans Purchased loans acquired in a business combination are recorded at estimated fair value on their purchase date with no carryover of the related allowance for loan and lease losses. In determining the estimated fair value of purchased loans, management considers a number of factors including, among others, the remaining life of the acquired loans, estimated prepayments, estimated loss ratios, estimated value of the underlying collateral, and net present value of cash flows expected to be received. Purchased loans are accounted for in accordance with guidance for certain loans acquired in a transfer (ASC 310-30), when the loans have evidence of credit deterioration since origination and it is probable at the date of acquisition that the acquirer will not collect all contractually required principal and interest payments. The difference between contractually required payments and the cash flows expected to be collected at acquisition is referred to as the non-accretable difference. Subsequent decreases to the expected cash flows will generally result in a provision for loan and lease losses. Subsequent increases in expected cash flows will result in a reversal of the provision for loan losses to the extent of prior charges and then an adjustment to accretable yield, which would have a positive impact on interest income. Old National has purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. For these loans that meet the criteria of ASC 310-30 treatment, the carrying amount was as follows: March 31, December 31, (dollars in thousands) 2018 2017 Commercial $ 4,799 $ 5,152 Commercial real estate 20,978 21,826 Residential 10,839 11,303 Consumer 4,631 5,245 Carrying amount 41,247 43,526 Allowance for loan losses (172 ) (166 ) Carrying amount, net of allowance $ 41,075 $ 43,360 The outstanding balance of loans accounted for under ASC 310-30, including contractual principal, interest, fees and penalties, was $230.5 million at March 31, 2018 and $235.9 million at December 31, 2017. The accretable difference on PCI loans is the difference between the expected cash flows and the net present value of expected cash flows with such difference accreted into earnings using the effective yield method over the term of the loans. Accretion recorded as loan interest income totaled $4.5 million during the three months ended March 31, 2018 and $4.7 million during the three months ended March 31, 2017. Improvement in cash flow expectations has resulted in a reclassification from nonaccretable difference to accretable yield as shown in the table below. Accretable yield of PCI loans, or income expected to be collected, is as follows: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 27,835 $ 33,603 Accretion of income (4,526 ) (4,685 ) Reclassifications from (to) nonaccretable difference 1,379 610 Disposals/other adjustments 4 6 Balance at end of period $ 24,692 $ 29,534 Included in Old National’s allowance for loan losses is $0.2 million related to the purchased loans disclosed above at March 31, 2018 and December 31, 2017. PCI loans purchased during 2017 for which it was probable at acquisition that all contractually required payments would not be collected were as follows: (dollars in thousands) Anchor (MN) (1) Contractually required payments $ 16,898 Nonaccretable difference (4,787 ) Cash flows expected to be collected at acquisition 12,111 Accretable yield (1,556 ) Fair value of acquired loans at acquisition $ 10,555 (1) Old National acquired Anchor (MN) effective November 1, 2017. Income would not be recognized on certain purchased loans if Old National could not reasonably estimate cash flows to be collected. Old National had no purchased loans for which it could not reasonably estimate cash flows to be collected. |
Other Real Estate Owned
Other Real Estate Owned | 3 Months Ended |
Mar. 31, 2018 | |
Banking and Thrift [Abstract] | |
Other Real Estate Owned | NOTE 9 – OTHER REAL ESTATE OWNED The following table presents activity in other real estate owned for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 8,810 $ 18,546 Additions 550 291 Sales (2,351 ) (5,420 ) Impairment (274 ) (870 ) Balance at end of period (1) $ 6,735 $ 12,547 (1) Includes repossessed personal property of $0.3 million at March 31, 2018 and 2017. At March 31, 2018, foreclosed residential real estate property included in the table above totaled $1.0 million. At March 31, 2018, consumer mortgage loans collateralized by residential real property that were in the process of foreclosure totaled $6.2 million. |
Premises and Equipment
Premises and Equipment | 3 Months Ended |
Mar. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | NOTE 10 – PREMISES AND EQUIPMENT The composition of premises and equipment at March 31, 2018 and December 31, 2017 was as follows: March 31, December 31, (dollars in thousands) 2018 2017 Land $ 71,618 $ 73,046 Buildings 342,757 343,833 Furniture, fixtures, and equipment 95,729 94,254 Leasehold improvements 39,715 38,918 Total 549,819 550,051 Accumulated depreciation (96,216 ) (91,977 ) Premises and equipment, net $ 453,603 $ 458,074 Depreciation expense was $5.8 million for the three months ended March 31, 2018, compared to $5.2 million for the three months ended March 31, 2017. Operating Leases Old National rents certain premises and equipment under operating leases, which expire at various dates. Many of these leases require the payment of property taxes, insurance premiums, maintenance, and other costs. In some cases, rentals are subject to increase in relation to a cost-of-living index. The leases have original terms ranging from two years and six months to twenty-five years, and Old National has the right, at its option, to extend the terms of certain leases for four additional successive terms of five years. Old National does not have any material sub-lease agreements. Rent expense was $4.4 million for the three months ended March 31, 2018, compared to $3.9 million for the three months ended March 31, 2017. Old National had deferred gains remaining associated with prior sale leaseback transactions totaling $7.7 million at March 31, 2018 and $8.2 million at December 31, 2017. The gains will be recognized over the remaining term of the leases. The leases had original terms ranging from five to twenty-four years. Capital Leases Old National leases two branch buildings and certain equipment under capital leases. See Note 16 to the consolidated financial statements for detail regarding these leases. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | NOTE 11 – GOODWILL AND OTHER INTANGIBLE ASSETS The following table shows the changes in the carrying amount of goodwill for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 828,051 $ 655,018 Acquisition adjustments 753 — Balance at end of period $ 828,804 $ 655,018 Goodwill is reviewed annually for impairment. No events or circumstances since the August 31, 2017 annual impairment test were noted that would indicate it was more likely than not a goodwill impairment exists. During the first quarter of 2018, Old National recorded a $0.8 million increase to goodwill associated with the acquisition of Anchor (MN). The gross carrying amount and accumulated amortization of other intangible assets at March 31, 2018 and December 31, 2017 were as follows: Gross Accumulated Net Carrying Amortization Carrying (dollars in thousands) Amount and Impairment Amount March 31, 2018 Core deposit $ 108,268 $ (66,037 ) $ 42,231 Customer trust relationships 16,547 (9,945 ) 6,602 Total intangible assets $ 124,815 $ (75,982 ) $ 48,833 December 31, 2017 Core deposit $ 108,923 $ (62,874 ) $ 46,049 Customer trust relationships 16,547 (9,533 ) 7,014 Customer loan relationships 4,413 (4,380 ) 33 Total intangible assets $ 129,883 $ (76,787 ) $ 53,096 Other intangible assets consist of core deposit intangibles and customer relationship intangibles and are being amortized primarily on an accelerated basis over their estimated useful lives, generally over a period of 5 to 15 years. During the first quarter of 2018, Old National recorded a $0.7 million decrease to core deposit intangibles related to the updated valuation associated with the acquisition of Anchor (MN). Old National reviews other intangible assets for possible impairment whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. No impairment charges were recorded during the three months ended March 31, 2018 or 2017. Total amortization expense associated with intangible assets was $3.6 million for the three months ended March 31, 2018 and $3.0 million for the three months ended March 31, 2017. Estimated amortization expense for future years is as follows: (dollars in thousands) 2018 remaining $ 9,815 2019 11,010 2020 8,672 2021 6,417 2022 4,595 Thereafter 8,324 Total $ 48,833 |
Loan Servicing Rights
Loan Servicing Rights | 3 Months Ended |
Mar. 31, 2018 | |
Text Block [Abstract] | |
Loan Servicing Rights | NOTE 12 – LOAN SERVICING RIGHTS At March 31, 2018, loan servicing rights derived from loans sold with servicing retained totaled $24.4 million, compared to $24.7 million at December 31, 2017. Loans serviced for others are not reported as assets. The principal balance of loans serviced for others was $3.305 billion at March 31, 2018, compared to $3.321 billion at December 31, 2017. Approximately 99.6% of the loans serviced for others at March 31, 2018 were residential mortgage loans. Custodial escrow balances maintained in connection with serviced loans were $23.9 million at March 31, 2018 and $8.9 million at December 31, 2017. The following table summarizes the carrying values and activity related to loan servicing rights and the related valuation allowance for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 24,690 $ 25,629 Additions 770 1,041 Amortization (1,060 ) (1,174 ) Balance before valuation allowance at end of period 24,400 25,496 Valuation allowance: Balance at beginning of period (29 ) (68 ) (Additions)/recoveries 9 18 Balance at end of period (20 ) (50 ) Loan servicing rights, net $ 24,380 $ 25,446 At March 31, 2018, the fair value of servicing rights was $26.6 million, which was determined using a discount rate of 13% and a weighted average prepayment speed of 121% PSA. At December 31, 2017, the fair value of servicing rights was $25.8 million, which was determined using a discount rate of 13% and a weighted average prepayment speed of 140% PSA. |
Qualified Affordable Housing Pr
Qualified Affordable Housing Projects and Other Tax Credit Investments | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Qualified Affordable Housing Projects and Other Tax Credit Investments | NOTE 13 – QUALIFIED AFFORDABLE HOUSING PROJECTS AND OTHER TAX CREDIT INVESTMENTS Old National is a limited partner in several tax-advantaged limited partnerships whose purpose is to invest in approved qualified affordable housing or other renovation or community revitalization projects. As of March 31, 2018, Old National expects to recover its remaining investments using the tax credits that are generated by the investments. The following table summarizes Old National’s investments in qualified affordable housing projects and other tax credit investments at March 31, 2018 and December 31, 2017: (dollars in thousands) March 31, 2018 December 31, 2017 Unfunded Unfunded Investment Accounting Method Investment Commitment (1) Investment Commitment LIHTC Proportional amortization $ 30,495 $ 11,966 $ 31,183 $ 15,553 FHTC Equity 10,645 12,040 10,645 12,040 CReED Equity 704 1,502 704 1,502 Renewable Energy Equity 21,633 19,279 22,364 19,771 Total $ 63,477 $ 44,787 $ 64,896 $ 48,866 (1) All commitments will be paid by Old National by 2027. The following table summarizes the amortization expense and tax benefit recognized for Old National’s qualified affordable housing projects and other tax credit investments for the three months ended March 31, 2018 and 2017: Tax Expense Amortization (Benefit) (dollars in thousands) Expense (1) Recognized (2) Three Months Ended March 31, 2018 LIHTC $ 639 $ (831 ) FHTC — (1,948 ) Renewable Energy 716 (3,415 ) Total $ 1,355 $ (6,194 ) Three Months Ended March 31, 2017 LIHTC $ 941 $ (1,297 ) FHTC — (1,520 ) Total $ 941 $ (2,817 ) (1) The amortization expense for the LIHTC investments is included in our income tax expense. The amortization expense for the FHTC and Renewable Energy tax credits is included in noninterest expense. (2) All of the tax benefits recognized are included in our income tax expense. The tax benefit recognized for the FHTC and Renewable Energy investments primarily reflects the tax credits generated from the investments, and excludes the net tax expense/benefit of the investments’ income/loss. |
Securities Sold Under Agreement
Securities Sold Under Agreements to Repurchase | 3 Months Ended |
Mar. 31, 2018 | |
Transfers and Servicing [Abstract] | |
Securities Sold Under Agreements to Repurchase | NOTE 14 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE Securities sold under agreements to repurchase are secured borrowings. Old National pledges investment securities to secure these borrowings. The following table presents securities sold under agreements to repurchase and related weighted-average interest rates at or for the three months ended March 31: (dollars in thousands) 2018 2017 Outstanding at March 31, $ 308,189 $ 345,550 Average amount outstanding 342,682 331,400 Maximum amount outstanding at any month-end 336,319 345,550 Weighted average interest rate: During the three months ended March 31, 0.42 % 0.31 % At March 31, 0.48 0.35 The following table presents the contractual maturity of our secured borrowings and class of collateral pledged: At March 31, 2018 Remaining Contractual Maturity of the Agreements Overnight and Up to Greater Than (dollars in thousands) Continuous 30 Days 30-90 Days 90 days Total Repurchase Agreements: U.S. Treasury and agency securities $ 308,189 $ — $ — $ — $ 308,189 Total $ 308,189 $ — $ — $ — $ 308,189 The fair value of securities pledged to secure repurchase agreements may decline. Old National has pledged securities valued at 130% of the gross outstanding balance of repurchase agreements at March 31, 2018 to manage this risk. |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances | 3 Months Ended |
Mar. 31, 2018 | |
Banking and Thrift [Abstract] | |
Federal Home Loan Bank Advances | NOTE 15 – FEDERAL HOME LOAN BANK ADVANCES The following table summarizes Old National Bank’s FHLB advances at March 31, 2018 and December 31, 2017: March 31, December 31, (dollars in thousands) 2018 2017 FHLB advances (fixed rates 1.49% to 6.08% and variable rates 1.80% to 1.99%) maturing April 2018 to February 2028 $ 1,662,603 $ 1,610,531 ASC 815 fair value hedge and other basis adjustments 1,576 (952 ) Total other borrowings $ 1,664,179 $ 1,609,579 FHLB advances had weighted-average rates of 1.89% at March 31, 2018 and 1.55% at December 31, 2017. Investment securities and residential real estate loans collateralize these borrowings up to 140% of outstanding debt. Contractual maturities of FHLB advances at March 31, 2018 were as follows: (dollars in thousands) Due in 2018 $ 902,032 Due in 2019 201,902 Due in 2020 100,000 Due in 2021 — Due in 2022 58,500 Thereafter 400,169 ASC 815 fair value hedge and other basis adjustments 1,576 Total $ 1,664,179 |
Other Borrowings
Other Borrowings | 3 Months Ended |
Mar. 31, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Other Borrowings | NOTE 16 – OTHER BORROWINGS The following table summarizes Old National’s other borrowings at March 31, 2018 and December 31, 2017: March 31, December 31, (dollars in thousands) 2018 2017 Old National Bancorp: Senior unsecured notes (fixed rate 4.125%) maturing August 2024 $ 175,000 $ 175,000 Unamortized debt issuance costs related to senior unsecured notes (988 ) (1,026 ) Junior subordinated debentures (variable rates of 3.30% to 5.29%) maturing April 2032 to September 2037 60,310 60,310 Other basis adjustments (3,454 ) (3,585 ) Old National Bank: Capital lease obligations 5,358 5,389 Subordinated debentures (fixed rate 5.75%) 12,000 12,000 Premium on subordinated debentures 672 694 Total other borrowings $ 248,898 $ 248,782 Contractual maturities of other borrowings at March 31, 2018 were as follows: (dollars in thousands) Due in 2018 $ 96 Due in 2019 137 Due in 2020 147 Due in 2021 160 Due in 2022 172 Thereafter 251,956 Unamortized debt issuance costs and other basis adjustments (3,770 ) Total $ 248,898 Senior Notes In August 2014, Old National issued $175.0 million of senior unsecured notes with a 4.125% interest rate. These notes pay interest on February 15 and August 15. The notes mature on August 15, 2024. Junior Subordinated Debentures Junior subordinated debentures related to trust preferred securities are classified in “other borrowings.” With the addition of Anchor (MN) assets, these securities now qualify as Tier 2 capital for regulatory purposes, subject to certain limitations. Prior to the fourth quarter of 2017, these securities qualified as Tier 1 capital for regulatory purposes. Through various acquisitions, Old National assumed junior subordinated debenture obligations related to various trusts that issued trust preferred securities. Old National guarantees the payment of distributions on the trust preferred securities issued by the trusts. Proceeds from the issuance of each of these securities were used to purchase junior subordinated debentures with the same financial terms as the securities issued by the trusts. Old National, at any time, may redeem the junior subordinated debentures at par and, thereby cause a redemption of the trust preferred securities in whole or in part. The following table summarizes the terms of our outstanding junior subordinated debentures at March 31, 2018: (dollars in thousands) Rate at Issuance March 31, Name of Trust Issuance Date Amount Rate 2018 Maturity Date VFSC Capital Trust I April 2002 $ 3,093 3-month LIBOR plus 3.70% 5.06 % April 22, 2032 VFSC Capital Trust II October 2002 4,124 3-month LIBOR plus 3.45% 5.29 % November 7, 2032 VFSC Capital Trust III April 2004 3,093 3-month LIBOR plus 2.80% 4.81 % September 8, 2034 St. Joseph Capital Trust II March 2005 5,000 3-month LIBOR plus 1.75% 3.93 % March 20, 2035 Anchor Capital Trust III August 2005 5,000 3-month LIBOR plus 1.55% 3.86 % August 23, 2035 Tower Capital Trust 2 December 2005 8,000 3-month LIBOR plus 1.34% 3.65 % December 4, 2035 Home Federal Statutory Trust I September 2006 15,000 3-month LIBOR plus 1.65% 3.77 % September 15, 2036 Monroe Bancorp Capital Trust I July 2006 3,000 3-month LIBOR plus 1.60% 3.30 % October 7, 2036 Monroe Bancorp Statutory Trust II March 2007 5,000 3-month LIBOR plus 1.60% 3.72 % June 15, 2037 Tower Capital Trust 3 December 2006 9,000 3-month LIBOR plus 1.69% 3.70 % September 15, 2037 Total $ 60,310 Subordinated Debentures On November 1, 2017, Old National assumed $12.0 million of subordinated fixed-to-floating notes related to the acquisition of Anchor (MN). The subordinated debentures have a 5.75% fixed rate of interest through October 29, 2020. From October 30, 2020 to the October 30, 2025 maturity date, the debentures have a floating rate of interest equal to the three-month LIBOR rate plus 4.356%. Capital Lease Obligations On January 1, 2004, Old National entered into a long-term capital lease obligation for a branch office building in Owensboro, Kentucky, which extends for 25 years with one renewal option for 10 years. The economic substance of this lease is that Old National is financing the acquisition of the building through the lease and accordingly, the building is recorded as an asset and the lease is recorded as a liability. The fair value of the capital lease obligation was estimated using a discounted cash flow analysis based on Old National’s current incremental borrowing rate for similar types of borrowing arrangements. On May 1, 2016, Old National acquired Anchor (WI), assuming a five-year capital lease obligation for equipment. On November 1, 2017, Old National assumed a capital lease obligation for a banking center in Arden Hills, Minnesota related to the acquisition of Anchor (MN). The remaining base term of the lease is five years with one renewal option of ten years. For purposes of measuring the lease obligation, we determined that we would be “reasonably assured” to exercise the renewal option. The fair value of the capital lease obligation was estimated using a discounted cash flow analysis based on a market rate for similar types of borrowing arrangements. Based on the above assumptions, Old National measured the capital lease obligation at $1.5 million as of the date of acquisition. At March 31, 2018, the future minimum lease payments under the capital lease arrangements were as follows: (dollars in thousands) 2018 $ 426 2019 589 2020 589 2021 589 2022 589 Thereafter 9,275 Total minimum lease payments 12,057 Less amounts representing interest (6,699 ) Present value of net minimum lease payments $ 5,358 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 3 Months Ended |
Mar. 31, 2018 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | NOTE 17 – ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes within each classification of AOCI, net of tax, for the three months ended March 31, 2018 and 2017: Unrealized Gains Unrealized Gains Gains and Defined and Losses on and Losses on Losses on Benefit Available-for-Sale Held-to-Maturity Cash Flow Pension (dollars in thousands) Securities Securities Hedges Plans Total Three Months Ended March 31, 2018 Balance at beginning of period $ (35,557 ) $ (12,107 ) $ (2,337 ) $ (271 ) $ (50,272 ) Other comprehensive income (loss) before reclassifications (8,872 ) 4,514 3,444 — (914 ) Amounts reclassified from AOCI to income (a) (593 ) 456 580 20 463 Amount reclassified from AOCI to retained earnings for cumulative effect of change in accounting principle (b) — — (52 ) — (52 ) Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 (c) (7,583 ) (2,600 ) (509 ) (59 ) (10,751 ) Balance at end of period $ (52,605 ) $ (9,737 ) $ 1,126 $ (310 ) $ (61,526 ) Three Months Ended March 31, 2017 Balance at beginning of period $ (39,012 ) $ (13,310 ) $ (6,715 ) $ (335 ) $ (59,372 ) Other comprehensive income (loss) before reclassifications 9,967 — 360 — 10,327 Amounts reclassified from AOCI to income (a) (947 ) 295 1,115 17 480 Balance at end of period $ (29,992 ) $ (13,015 ) $ (5,240 ) $ (318 ) $ (48,565 ) (a) See table below for details about reclassifications to income. (b) See Note 3 for details about reclassification from AOCI to beginning retained earnings resulting from the adoption of ASU 2017-12. (c) See Note 3 for details about reclassification from AOCI to beginning retained earnings resulting from the adoption of ASU 2018-02. The following table summarizes the significant amounts reclassified out of each component of AOCI for the three months ended March 31, 2018 and 2017: Amount Reclassified Affected Line Item in the Details about AOCI Components from AOCI Statement of Income Three Months Ended March 31, (dollars in thousands) 2018 2017 Unrealized gains and losses on available-for-sale securities $ 788 $ 1,500 Net securities gains (195 ) (553 ) Income tax (expense) benefit $ 593 $ 947 Net income Unrealized gains and losses on held-to-maturity securities $ (591 ) $ (449 ) Interest income (expense) 135 154 Income tax (expense) benefit $ (456 ) $ (295 ) Net income Gains and losses on cash flow hedges Interest rate contracts $ (769 ) $ (1,799 ) Interest income (expense) 189 684 Income tax (expense) benefit $ (580 ) $ (1,115 ) Net income Amortization of defined benefit pension items Actuarial gains (losses) $ (51 ) $ (27 ) Salaries and employee benefits 31 10 Income tax (expense) benefit $ (20 ) $ (17 ) Net income Total reclassifications for the period $ (463 ) $ (480 ) Net income |
Employee Benefit Plans
Employee Benefit Plans | 3 Months Ended |
Mar. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | NOTE 18 – EMPLOYEE BENEFIT PLANS Old National had a funded noncontributory defined benefit plan (the “Retirement Plan”) that had been frozen since December 31, 2005. During the first quarter of 2016, we notified plan participants of our intent to terminate the Retirement Plan effective May 15, 2016. During October 2016, the Retirement Plan settled plan liabilities through either lump sum distributions to plan participants or annuity contracts purchased from a third-party insurance company that provided for the payment of vested benefits to those participants that did not elect the lump sum option. At March 31, 2018, there were no remaining plan assets. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | NOTE 19 – STOCK-BASED COMPENSATION At March 31, 2018, Old National had 4.6 million shares remaining available for issuance under the Company’s Amended and Restated 2008 Incentive Compensation Plan. The granting of awards to key employees is typically in the form of restricted stock awards or units. Restricted Stock Awards Old National granted 73 thousand time-based restricted stock awards to certain key officers during the three months ended March 31, 2018, with shares vesting generally over a thirty-six month period. Compensation expense is recognized on a straight-line basis over the vesting period. Shares are subject to certain restrictions and risk of forfeiture by the participants. At March 31, 2018, unrecognized compensation expense was estimated to be $4.5 million for unvested restricted stock awards. The cost is expected to be recognized over a weighted-average period of 2.1 years. Old National recorded stock-based compensation expense, net of tax, related to restricted stock awards of $0.5 million, net of tax, during the three months ended March 31, 2018, compared to $0.4 million, net of tax, during the three months ended March 31, 2017. Restricted Stock Units Old National granted 288 thousand shares of performance based restricted stock units to certain key officers during the three months ended March 31, 2018, with shares vesting at the end of a thirty-six month period based on the achievement of certain targets. For certain awards, the level of performance could increase or decrease the percentage of shares earned. Compensation expense is recognized on a straight-line basis over the vesting period. Shares are subject to certain restrictions and risk of forfeiture by the participants. At March 31, 2018, unrecognized compensation expense was estimated to be $7.3 million. The cost is expected to be recognized over a weighted-average period of 2.3 years. Old National recorded stock-based compensation expense, net of tax, related to restricted stock units of $0.9 million during the three months ended March 31, 2018, compared to $0.4 million during the three months ended March 31, 2017. Stock Options Old National has not granted stock options since 2009. However, Old National did acquire stock options through prior year acquisitions. Old National did not record any stock-based compensation expense related to these stock options during the three months ended March 31, 2018 or 2017. Stock Appreciation Rights Old National has never granted stock appreciation rights. However, Old National did acquire stock appreciation rights through a prior year acquisition. Old National did not record any incremental expense associated with the conversion of these stock appreciation rights during the three months ended March 31, 2018 or 2017. At March 31, 2018, 62 thousand stock appreciation rights remained outstanding. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 20 – INCOME TAXES Following is a summary of the major items comprising the differences in taxes from continuing operations computed at the federal statutory rate and as recorded in the consolidated statements of income: Three Months Ended March 31, (dollars in thousands) 2018 2017 Provision at statutory rate (1) $ 11,117 $ 16,269 Tax-exempt income: Tax-exempt interest (2,191 ) (3,702 ) Section 291/265 interest disallowance 62 57 Company-owned life insurance income (547 ) (752 ) Tax-exempt income (2,676 ) (4,397 ) State income taxes 1,188 851 Interim period effective rate adjustment 92 (455 ) Tax credit investments - federal (5,769 ) (1,876 ) Other, net 1,005 99 Income tax expense $ 4,957 $ 10,491 Effective tax rate 9.4 % 22.6 % (1) The statutory rate was 21% for the three months ended March 31, 2018, compared to 35% for the three months ended March 31, 2017. In accordance with ASC 740-270, Accounting for Interim Reporting The lower effective tax rate during the three months ended March 31, 2018 when compared to the three months ended March 31, 2017 is primarily the result of the lowering of the federal corporate tax rate to 21% and an increase in federal tax credits available. On December 22, 2017, the Tax Cuts and Jobs Act (“H.R. 1”) was enacted into legislation. Under ASC 740, the effects of changes in tax rates and laws are recognized in the period in which the new legislation is enacted. Accordingly, Old National recorded an estimated $39.3 million for the revaluation of Old National’s deferred tax assets in December 2017. Shortly after the enactment date, the SEC issued SAB 118, which addresses the situations where the accounting for changes in tax laws is complete, incomplete but can be reasonably estimated, and incomplete and cannot be reasonably estimated. SAB 118 also permits a measurement period of up to one year from the date of enactment to refine the provisional accounting. During the three months ended March 31, 2018, the immaterial adjustments made to the preliminary valuation of assets acquired and liabilities assumed in the acquisition of Anchor (MN) impacted our estimated revaluation of Old National’s deferred tax assets. Old National continues to analyze H.R. 1, including the impact on alternative minimum tax credits disclosed further below, as well as the acquisition accounting of Anchor (MN), and expects any refinements to the provisional accounting to be complete in 2018. Unrecognized Tax Benefits Old National and its subsidiaries file a consolidated U.S. federal income tax return, as well as filing various state returns. Unrecognized state income tax benefits are reported net of their related deferred federal income tax benefit. A reconciliation of the beginning and ending amounts of unrecognized tax benefits was as follows: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 874 $ 777 Additions based on tax positions related to the current year 39 32 Balance at end of period $ 913 $ 809 If recognized, approximately $0.9 million of unrecognized tax benefits, net of interest, would favorably affect the effective income tax rate in future periods. Old National expects the total amount of unrecognized tax benefits to decrease by approximately $0.3 million in the next twelve months. Net Deferred Tax Assets Significant components of net deferred tax assets (liabilities) were as follows at March 31, 2018 and December 31, 2017: March 31, December 31, (dollars in thousands) 2018 2017 Deferred Tax Assets Allowance for loan losses, net of recapture $ 13,062 $ 12,958 Benefit plan accruals 11,173 11,080 Alternative minimum tax credit 2,545 25,084 Unrealized losses on benefit plans 101 108 Net operating loss carryforwards 33,463 39,631 Federal tax credits 11,089 5,516 Other-than-temporary impairment 36 1,424 Deferred gain on securities 2,118 — Acquired loans 27,207 29,669 Lease exit obligation 1,270 1,337 Unrealized losses on available-for-sale investment securities 16,661 14,011 Unrealized losses on held-to-maturity investment securities 2,865 3,630 Unrealized losses on hedges — 923 Other real estate owned 379 369 Other, net 3,214 829 Total deferred tax assets 125,183 146,569 Deferred Tax Liabilities Accretion on investment securities (499 ) (493 ) Purchase accounting (16,314 ) (16,718 ) Loan servicing rights (5,989 ) (6,058 ) Premises and equipment (9,277 ) (10,052 ) Prepaid expenses (1,277 ) (1,277 ) Tax credit investments (1,036 ) (168 ) Unrealized gains on hedges (367 ) — Other, net (1,651 ) (946 ) Total deferred tax liabilities (36,410 ) (35,712 ) Net deferred tax assets $ 88,773 $ 110,857 Through the acquisition of Anchor (WI) in the second quarter of 2016 and Lafayette Savings Bank in the fourth quarter of 2014, both former thrifts, Old National Bank’s retained earnings at March 31, 2018 include base-year bad debt reserves, created for tax purposes prior to 1988, totaling $52.8 million. Of this total, $50.9 million was acquired from Anchor (WI), and $1.9 million was acquired from Lafayette Savings Bank. Base-year reserves are subject to recapture in the unlikely event that Old National Bank (1) makes distributions in excess of current and accumulated earnings and profits, as calculated for federal income tax purposes, (2) redeems its stock, or (3) liquidates. Old National Bank has no intention of making such a nondividend distribution. Accordingly, under current accounting principles, a related deferred income tax liability of $13.0 million has not been recognized. No valuation allowance was recorded at March 31, 2018 or December 31, 2017 because, based on current expectations, Old National believes it will generate sufficient income in future years to realize deferred tax assets. Old National has federal net operating loss carryforwards totaling $104.5 million at March 31, 2018 and $130.7 million at December 31, 2017. This federal net operating loss was acquired from the acquisition of Anchor (WI) in 2016. If not used, the federal net operating loss carryforwards will expire from 2028 to 2033. Old National has alternative minimum tax (“AMT”) credit carryforwards totaling $25.1 million at March 31, 2018 and December 31, 2017. The enactment of H.R.1 eliminates the parallel tax system known as the AMT and allows any existing AMT credits to be used to reduce regular tax or be refunded from 2018 to 2021. ASC 740 allows for the reclassification of the AMT credit from a deferred tax asset to a current tax asset, except for the amount limited by section 382. Old National has $2.5 million of AMT credit carryforward subject to section 382 limitations. The $2.5 million is maintained in deferred tax assets and the remaining $22.6 million has been reclassified to a current tax asset. Old National has federal tax credit carryforwards of $11.0 million at March 31, 2018 and $5.5 million at December 31, 2017. The federal tax credits consist mainly of federal historic credits, energy efficient home credits, low income housing credits, and research and development credits that, if not used, will expire from 2025 to 2038. Old National has recorded state net operating loss carryforwards totaling $191.2 million at March 31, 2018 and $203.6 million at December 31, 2017. If not used, the state net operating loss carryforwards will expire from 2024 to 2033. Old National has state tax credit carryforwards totaling $1.3 million at March 31, 2018 and $1.3 million at December 31, 2017. The state tax credits will not expire. The federal and recorded state net operating loss carryforwards are subject to an annual limitation under Internal Revenue Code section 382. Old National believes that all of the recorded net operating loss carryforwards will be used prior to expiration. |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Mar. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | NOTE 21 - DERIVATIVE FINANCIAL INSTRUMENTS As discussed in Note 3, Old National adopted ASU 2017-12 in the first quarter of 2018. This adoption primarily impacted our existing cash flow and fair value hedges related to certain FHLB advances. For cash flow hedges as of the date of adoption, the transition guidance in paragraph 815-20-65-3(d) eliminated the separate measurement of ineffectiveness by means of a cumulative-effect adjustment to accumulated other comprehensive income with a corresponding adjustment to the opening balance of retained earnings. For fair value hedges of interest rate risk, the provisions of paragraph 815-25-35-13 permit Old National to elect to modify the measurement methodology to be based on the benchmark rate component of the contractual coupon cash flows without dedesignation of the hedging relationship. The measurement methodology modification shall be applied as of the hedging relationship’s original inception date. The cumulative effect of applying this election shall be recognized as an adjustment to the basis adjustment of the hedged item recognized on the balance sheet with a corresponding adjustment to the opening balance of retained earnings as of the initial application date. As part of our overall interest rate risk management, Old National uses derivative instruments, including interest rate swaps, caps, and floors. The notional amount of these derivative instruments was $758.5 million at March 31, 2018 and $708.5 million at December 31, 2017. These derivative financial instruments at March 31, 2018 consisted of $133.5 million notional amount of receive-fixed, pay-variable interest rate swaps on certain of its FHLB advances and $625.0 million notional amount of pay-fixed, receive-variable interest rate swaps on certain of its FHLB advances. Derivative financial instruments at December 31, 2017 consisted of $33.5 million notional amount of receive-fixed, pay-variable interest rate swaps on certain of its FHLB advances and $675.0 million notional amount of pay-fixed, receive-variable interest rate swaps on certain of its FHLB advances. These hedges were entered into to manage interest rate risk. Derivative instruments are recognized on the balance sheet at their fair value and are not reported on a net basis. In accordance with ASC 815-20-35-1, subsequent changes in fair value for a hedging instrument that has been designated and qualifies as part of a hedging relationship should be accounted for in the following manner: Cash flow hedges Fair value hedges Consistent with this guidance, as long as a hedging instrument is designated and the results of the effectiveness testing support that the instrument qualifies for hedge accounting treatment, 100% of the periodic changes in fair value of the hedging instrument will be accounted for as outlined above. This is the case whether or not economic mismatches exist in the hedging relationship. As a result, there will be no periodic measurement or recognition of ineffectiveness. Rather, the full impact of hedge gains and losses will be recognized in the period in which the hedged transactions impact earnings. While separate measurement and presentation of ineffectiveness is being eliminated, paragraph 815-20-45-1A requires the change in fair value of the hedging instrument that is included in the assessment of hedge effectiveness be presented in the same income statement line item that is used to present the earnings effect of the hedged item. Commitments to fund certain mortgage loans (interest rate lock commitments) and forward commitments for the future delivery of mortgage loans to third party investors are considered derivatives. These derivative contracts do not qualify for hedge accounting. At March 31, 2018, the notional amount of the interest rate lock commitments was $61.0 million and forward commitments were $68.3 million. At December 31, 2017, the notional amount of the interest rate lock commitments was $29.9 million and forward commitments were $41.2 million. It is our practice to enter into forward commitments for the future delivery of residential mortgage loans to third party investors when interest rate lock commitments are entered into in order to economically hedge the effect of changes in interest rates resulting from our commitment to fund the loans. Old National also enters into derivative instruments for the benefit of its customers. The notional amounts of these customer derivative instruments and the offsetting counterparty derivative instruments were $839.3 million at March 31, 2018. The notional amounts of these customer derivative instruments and the offsetting counterparty derivative instruments were $826.6 million at December 31, 2017. These derivative contracts do not qualify for hedge accounting. These instruments include interest rate swaps, caps, and collars. Commonly, Old National will economically hedge significant exposures related to these derivative contracts entered into for the benefit of customers by entering into offsetting contracts with approved, reputable, independent counterparties with substantially matching terms. Old National enters into derivative financial instruments as part of its foreign currency risk management strategies. These derivative instruments consist of foreign currency forward contracts to accommodate the business needs of its customers. Old National does not designate these foreign currency forward contracts for hedge accounting treatment. The notional amounts of these foreign currency forward contracts and the offsetting counterparty derivative instruments were $1.2 million at March 31, 2018 and $0.8 million at December 31, 2017. Credit risk arises from the possible inability of counterparties to meet the terms of their contracts. Old National’s exposure is limited to the replacement value of the contracts rather than the notional, principal, or contract amounts. There are provisions in our agreements with the counterparties that allow for certain unsecured credit exposure up to an agreed threshold. Exposures in excess of the agreed thresholds are collateralized. In addition, we minimize credit risk through credit approvals, limits, and monitoring procedures. Amounts reported in AOCI related to cash flow hedges will be reclassified to interest income or interest expense as interest payments are received or paid on Old National’s derivative instruments. During the next 12 months, we estimate that $2.0 million will be reclassified to interest income and $1.3 million will be reclassified to interest expense. The following table summarizes the fair value of derivative financial instruments utilized by Old National: (dollars in thousands) Balance Sheet Fair Balance Sheet Location Fair March 31, 2018 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 4,720 Other liabilities $ 3,382 Total derivatives designated as hedging instruments $ 4,720 $ 3,382 Derivatives not designated as hedging instruments Interest rate contracts Other assets $ 8,113 Other liabilities $ 16,256 Mortgage contracts Other assets 1,475 Other liabilities 90 Foreign currency contracts Other assets 13 Other liabilities 2 Total derivatives not designated as hedging instruments $ 9,601 $ 16,348 Total $ 14,321 $ 19,730 December 31, 2017 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 3,351 Other liabilities $ 5,351 Total derivatives designated as hedging instruments $ 3,351 $ 5,351 Derivatives not designated as hedging instruments Interest rate contracts Other assets $ 10,012 Other liabilities $ 10,933 Mortgage contracts Other assets 747 Other liabilities — Foreign currency contracts Other assets 8 Other liabilities 8 Total derivatives not designated as hedging instruments $ 10,767 $ 10,941 Total $ 14,118 $ 16,292 The effect of derivative instruments in fair value hedging relationships on the consolidated statements of income for the three months ended March 31, 2018 and 2017 were as follows: (dollars in thousands) Gain (Loss) Derivatives in Fair Value Hedging Relationships Location of Gain or (Loss) Recognized in in Income on Derivative Gain (Loss) Hedged Items in Location of Gain or (Loss) Recognized in Hedged Item Recognized Three Months Ended March 31, 2018 Interest rate contracts Interest income/(expense) $ (720 ) Fixed-rate debt Interest income/(expense) $ 722 Three Months Ended March 31, 2017 Interest rate contracts Interest income/(expense) $ (254 ) Fixed-rate debt Interest income/(expense) $ 290 The difference between the gain (loss) recognized in income on derivatives and the gain (loss) recognized in income on the related hedged items represents hedge ineffectiveness. In addition, the net swap settlements that accrue each period are also reported in interest expense. The effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the three months ended March 31, 2018 and 2017 were as follows: (dollars in thousands) Three Months Ended Three Months Ended March 31, March 31, 2018 2017 2018 2017 Derivatives in Cash Flow Hedging Relationships Location of Gain or (Loss) Reclassified (Effective Portion) Gain (Loss) Gain (Loss) Interest rate contracts Interest income/(expense) $ 4,563 $ 580 $ (769 ) $ (1,799 ) The ineffective portion and amount excluded from effectiveness testing related to derivatives in cash flow hedging relationships was immaterial for the three months ended March 31, 2018 and 2017. The effect of derivatives not designated as hedging instruments on the consolidated statements of income for the three months ended March 31, 2018 and 2017 were as follows: (dollars in thousands) Three Months Ended March 31, 2018 2017 Derivatives Not Designated as Hedging Instruments Location of Gain or (Loss) Recognized in Income on Derivative Gain (Loss) Interest rate contracts (1) Other income/(expense) $ — $ 10 Mortgage contracts Mortgage banking revenue 638 (1,494 ) Foreign currency contracts Other income/(expense) 17 — Total $ 655 $ (1,484 ) (1) Includes the valuation differences between the customer and offsetting swaps. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 22 – COMMITMENTS AND CONTINGENCIES Litigation In the normal course of business, Old National Bancorp and its subsidiaries have been named, from time to time, as defendants in various legal actions. Certain of the actual or threatened legal actions may include claims for substantial compensatory and/or punitive damages or claims for indeterminate amounts of damages. Old National contests liability and/or the amount of damages as appropriate in each pending matter. In view of the inherent difficulty of predicting the outcome of such matters, particularly in cases where claimants seek substantial or indeterminate damages or where investigations and proceedings are in the early stages, Old National cannot predict with certainty the loss or range of loss, if any, related to such matters, how or if such matters will be resolved, when they will ultimately be resolved, or what the eventual settlement, or other relief, if any, might be. Subject to the foregoing, Old National believes, based on current knowledge and after consultation with counsel, that the outcome of such pending matters will not have a material adverse effect on the consolidated financial condition of Old National, although the outcome of such matters could be material to Old National’s operating results and cash flows for a particular future period, depending on, among other things, the level of Old National’s revenues or income for such period. Old National will accrue for a loss contingency if (1) it is probable that a future event will occur and confirm the loss and (2) the amount of the loss can be reasonably estimated. Old National is not currently involved in any material litigation. Credit-Related Financial Instruments In the normal course of business, Old National’s banking affiliates have entered into various agreements to extend credit, including loan commitments of $3.181 billion and standby letters of credit of $71.9 million at March 31, 2018. At March 31, 2018, approximately $2.945 billion of the loan commitments had fixed rates and $236.0 million had floating rates, with the floating interest rates ranging from 0% to 25%. At December 31, 2017, loan commitments totaled $3.144 billion and standby letters of credit totaled $68.7 million. These commitments are not reflected in the consolidated financial statements. The allowance for unfunded loan commitments totaled $3.4 million at March 31, 2018 and $3.1 million at December 31, 2017. Old National had credit extensions with various unaffiliated banks related to letter of credit commitments issued on behalf of Old National’s clients totaling $12.3 million at March 31, 2018 and $12.4 million at December 31, 2017. Old National provided collateral to the unaffiliated banks to secure credit extensions totaling $11.5 million at March 31, 2018 and December 31, 2017. Old National did not provide collateral for the remaining credit extensions. |
Financial Guarantees
Financial Guarantees | 3 Months Ended |
Mar. 31, 2018 | |
Guarantees and Product Warranties [Abstract] | |
Financial Guarantees | NOTE 23 – FINANCIAL GUARANTEES Old National holds instruments, in the normal course of business with clients, that are considered financial guarantees in accordance with FASB ASC 460-10 (FIN 45, Guarantor’s Accounting and Disclosure Requirements for Guarantees, Including Indirect Guarantees of Indebtedness of Others , Old National is a party in three separate risk participation transactions of interest rate swaps, which had total notional amount of $17.3 million at March 31, 2018. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | NOTE 24 – SEGMENT INFORMATION Operating segments are components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Old National Bank, Old National’s bank subsidiary, is the only significant subsidiary upon which management makes decisions regarding how to allocate resources and assess performance. Each of the branches of Old National Bank provide a group of similar community banking services, including such products and services as commercial, real estate and consumer loans, time deposits, checking and savings accounts, cash management, brokerage, trust, and investment advisory services. The individual bank branches located throughout our Midwest footprint have similar operating and economic characteristics. While the chief decision maker monitors the revenue streams of the various products, services, and regional locations, operations are managed and financial performance is evaluated on a Company-wide basis. Accordingly, all of the community banking services and branch locations are considered by management to be aggregated into one reportable operating segment, community banking. |
Fair Value
Fair Value | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value | NOTE 25 – FAIR VALUE FASB ASC 820-10 defines fair value as 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. FASB ASC 820-10 also establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair values: • Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. • Level 2 – Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 – Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Old National used the following methods and significant assumptions to estimate the fair value of each type of financial instrument: Investment securities Residential loans held for sale Derivative financial instruments Assets and liabilities measured at fair value on a recurring basis, including financial assets and liabilities for which we have elected the fair value option, are summarized below: Fair Value Measurements at March 31, 2018 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant (Level 3) Financial Assets Trading securities $ 5,569 $ 5,569 $ — $ — Investment securities available-for-sale: U.S. Treasury 9,295 9,295 — — U.S. government-sponsored entities and agencies 572,689 — 572,689 — Mortgage-backed securities - Agency 1,477,896 — 1,477,896 — States and political subdivisions 843,488 — 839,427 4,061 Pooled trust preferred securities 8,195 — — 8,195 Other securities 308,300 30,435 277,865 — Residential loans held for sale 17,635 — 17,635 — Derivative assets 14,321 — 14,321 — Financial Liabilities Derivative liabilities 19,730 — 19,730 — Fair Value Measurements at December 31, 2017 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant (Level 3) Financial Assets Trading securities $ 5,584 $ 5,584 $ — $ — Investment securities available-for-sale: U.S. Treasury 5,551 5,551 — — U.S. government-sponsored entities and agencies 664,286 — 664,286 — Mortgage-backed securities - Agency 1,667,682 — 1,667,682 — States and political subdivisions 530,193 — 530,193 Pooled trust preferred securities 8,448 — — 8,448 Other securities 320,047 30,965 289,082 — Residential loans held for sale 17,930 — 17,930 — Derivative assets 14,118 — 14,118 — Financial Liabilities Derivative liabilities 16,292 — 16,292 — The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Pooled Trust States and Preferred Political (dollars in thousands) Securities Subdivisions Three Months Ended March 31, 2018 Balance at beginning of period $ 8,448 $ — Accretion of discount 5 — Sales/payments received (288 ) — Increase (decrease) in fair value of securities 30 — Transfers into Level 3 — 4,061 Balance at end of period $ 8,195 $ 4,061 Three Months Ended March 31, 2017 Balance at beginning of period $ 8,119 $ — Accretion of discount 4 — Sales/payments received (163 ) — Increase (decrease) in fair value of securities 328 — Balance at end of period $ 8,288 $ — The accretion of discounts on securities in the table above is included in interest income. An increase in fair value is reflected in the balance sheet as an increase in the fair value of investment securities available-for-sale, an increase in accumulated other comprehensive income, which is included in shareholders’ equity, and a decrease in other assets related to the tax impact. Old National transferred a $4.1 million state and political subdivisions security to Level 3 during the three months ended March 31, 2018 because Old National could no longer obtain evidence of observable inputs. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) March 31, 2018 Pooled trust preferred securities $ 8,195 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 3.4% - 4.3% (4.0%) Expected asset recoveries (c) 0.00% State and political subdivisions 4,061 Discounted cash flow No unobservable inputs N/A Local municipality issuance Old National owns 100% Carried at par December 31, 2017 Pooled trust preferred securities $ 8,448 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 4.2% - 9.6% (7.5%) Expected asset recoveries (c) 0.0% - 4.1% (0.6%) (a) Assuming no prepayments. (b) Each currently performing pool asset is assigned a default probability based on the banking environment, which is adjusted for specific issuer evaluation, of 0%, 50%, or 100%. (c) Each currently defaulted pool asset is assigned a recovery probability based on specific issuer evaluation of 0%, 25%, or 100%. Significant changes in any of the unobservable inputs used in the fair value measurement in isolation would result in a significant change to the fair value measurement. The pooled trust preferred securities Old National owns are subordinate note classes that rely on an ongoing cash flow stream to support their values. The senior note classes receive the benefit of prepayments to the detriment of subordinate note classes since the ongoing interest cash flow stream is reduced by the early redemption. Generally, a change in prepayment rates or additional pool asset defaults has an impact that is directionally opposite from a change in the expected recovery of a defaulted pool asset. Assets measured at fair value on a non-recurring basis at March 31, 2018 are summarized below: Fair Value Measurements at March 31, 2018 Using (dollars in thousands) Carrying Quoted Prices in (Level 1) Significant Significant Collateral Dependent Impaired Loans: Commercial loans $ 2,453 $ — $ — $ 2,453 Commercial real estate loans 15,267 — — 15,267 Foreclosed Assets: Commercial real estate 671 — — 671 Residential 228 — — 228 Loan servicing rights 187 — 187 — Impaired commercial and commercial real estate loans that are deemed collateral dependent are valued based on the fair value of the underlying collateral. These estimates are based on the most recently available appraisals with certain adjustments made based on the type of property, age of appraisal, current status of the property, and other related factors to estimate the current value of the collateral. These impaired commercial and commercial real estate loans had a principal amount of $27.2 million, with a valuation allowance of $9.4 million at March 31, 2018. Old National recorded provision recapture associated with these loans totaling $1.6 million for the three months ended March 31, 2018. Old National recorded provision expense associated with impaired commercial and commercial real estate loans that were deemed collateral dependent totaling $1.1 million for the three months ended March 31, 2017. Other real estate owned and other repossessed property is measured at fair value less costs to sell and had a net carrying amount of $0.9 million at March 31, 2018. The estimates of fair value are based on the most recently available appraisals with certain adjustments made based on the type of property, age of appraisal, current status of the property, and other related factors to estimate the current value of the collateral. There were write-downs of other real estate owned of $0.3 million during the three months ended March 31, 2018 and $0.8 million for the three months ended March 31, 2017. Loan servicing rights are evaluated for impairment based upon the fair value of the rights as compared to the carrying amount. If the carrying amount of an individual tranche exceeds fair value, impairment is recorded on that tranche so that the servicing asset is carried at fair value. Fair value is determined at a tranche level, based on market prices for comparable mortgage servicing contracts when available, or alternatively based on a valuation model that calculates the present value of estimated future net servicing income. The valuation model utilizes a discount rate, weighted average prepayment speed, and other economic factors that market participants would use in estimating future net servicing income and that can be validated against available market data (Level 2). The valuation allowance for loan servicing rights with impairments at March 31, 2018 totaled $20 thousand. Old National recorded recoveries associated with these loan servicing rights totaling $9 thousand for the three months ended March 31, 2018 and $18 thousand for the three months ended March 31, 2017. Assets measured at fair value on a non-recurring basis at December 31, 2017 are summarized below: Fair Value Measurements at December 31, 2017 Using (dollars in thousands) Carrying Quoted Prices in (Level 1) Significant Significant Collateral Dependent Impaired Loans: Commercial loans $ 2,217 $ — $ — $ 2,217 Commercial real estate loans 26,319 — — 26,319 Foreclosed Assets: Commercial real estate 1,726 — — 1,726 Residential 55 — — 55 Loan servicing rights 2,964 — 2,964 — At December 31, 2017, impaired commercial and commercial real estate loans had a principal amount of $38.6 million, with a valuation allowance of $10.1 million. Other real estate owned and other repossessed property had a net carrying amount of $1.8 million at December 31, 2017. The valuation allowance for loan servicing rights with impairments at December 31, 2017 totaled $29 thousand. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) March 31, 2018 Collateral Dependent Impaired Loans Commercial loans $ 2,453 Fair value of collateral Discount for type of property, age of appraisal, and current status 25% - 35% (30%) Commercial real estate loans 15,267 Fair value of collateral Discount for type of property, age of appraisal and current status 0% - 20% (10%) Foreclosed Assets Commercial real estate 671 Fair value of collateral Discount for type of property, age of appraisal, and current status 14% - 43% (25%) Residential 228 Fair value of collateral Discount for type of property, age of appraisal, and current status 18% - 19% (18%) December 31, 2017 Collateral Dependent Impaired Loans Commercial loans $ 2,217 Fair value of collateral Discount for type of property, age of appraisal, and current status 0% - 98% (49%) Commercial real estate loans 26,319 Fair value of collateral Discount for type of property, age of appraisal and current status 10% - 78% (32%) Foreclosed Assets Commercial real estate 1,726 Fair value of collateral Discount for type of property, age of appraisal, and current status 7% - 25% (18%) Residential (1) 55 Fair value of collateral Discount for type of property, age of appraisal, and current status 39% (1) There was only one foreclosed residential asset at December 31, 2017, so no range or weighted average rate is reported. Financial instruments recorded using fair value option Under FASB ASC 825-10, we may elect to report most financial instruments and certain other items at fair value on an instrument-by instrument basis with changes in fair value reported in net income. After the initial adoption, the election is made at the acquisition of an eligible financial asset, financial liability or firm commitment or when certain specified reconsideration events occur. The fair value election may not be revoked once an election is made. We have elected the fair value option for residential loans held for sale. For these loans, interest income is recorded in the consolidated statements of income based on the contractual amount of interest income earned on the financial assets (except any that are on nonaccrual status). None of these loans are 90 days or more past due, nor are any on nonaccrual status. Included in the income statement is interest income for loans held for sale totaling $22 thousand for the three months ended March 31, 2018 and $28 thousand for the three months ended March 31, 2017. Residential loans held for sale Old National has elected the fair value option for newly originated conforming fixed-rate and adjustable-rate first mortgage loans held for sale. These loans are intended for sale and are hedged with derivative instruments. Old National has elected the fair value option to mitigate accounting mismatches in cases where hedge accounting is complex and to achieve operational simplification. The fair value option was not elected for loans held for investment. The difference between the aggregate fair value and the aggregate remaining principal balance for loans for which the fair value option has been elected at March 31, 2018 and December 31, 2017 was as follows: Aggregate Contractual (dollars in thousands) Fair Value Difference Principal March 31, 2018 Residential loans held for sale $ 17,635 $ 577 $ 17,058 December 31, 2017 Residential loans held for sale $ 17,930 $ 546 $ 17,384 Accrued interest at period end is included in the fair value of the instruments. The following table presents the amount of gains and losses from fair value changes included in income before income taxes for financial assets carried at fair value: Total Changes in Fair Values Other Included in Gains and Interest Interest Current Period (dollars in thousands) (Losses) Income (Expense) Earnings Three months ended March 31, 2018 Residential loans held for sale $ 35 $ — $ (4 ) $ 31 Three months ended March 31, 2017 Residential loans held for sale $ 418 $ 1 $ — $ 419 The carrying amounts and estimated fair values of financial instruments not carried at fair value on the balance sheet at March 31, 2018 and December 31, 2017 were as follows: Fair Value Measurements at March 31, 2018 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 278,241 $ 278,241 $ — $ — Investment securities held-to-maturity: — — U.S. government-sponsored entities and agencies 73,369 — 71,444 — Mortgage-backed securities - Agency 145,658 — 142,767 — State and political subdivisions 316,126 — 321,932 — FHLB/Federal Reserve Bank stock 136,206 N/A N/A N/A Loans, net: Commercial 2,792,038 — — 2,727,325 Commercial real estate 4,429,184 — — 4,313,955 Residential real estate 2,156,769 — — 2,135,119 Consumer credit 1,810,310 — — 1,777,935 Accrued interest receivable 81,621 74 20,502 61,045 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,655,732 $ 3,655,732 $ — $ — NOW, savings, and money market deposits 7,357,137 7,357,137 — — Time deposits 1,775,731 — 1,771,277 — Federal funds purchased and interbank borrowings 150,026 150,026 — — Securities sold under agreements to repurchase 308,189 308,189 — — FHLB advances 1,664,179 — — 1,658,911 Other borrowings 248,898 — 251,538 — Accrued interest payable 5,388 — 5,388 — Standby letters of credit 408 — — 408 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 3,225 N/A = not applicable Fair Value Measurements at December 31, 2017 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 290,432 $ 290,432 $ — $ — Investment securities held-to-maturity: Mortgage-backed securities - Agency 6,903 — 7,056 — State and political subdivisions 677,160 — 720,647 — FHLB/Federal Reserve Bank stock 119,686 N/A N/A N/A Loans, net: Commercial 2,698,023 — — 2,707,385 Commercial real estate 4,333,116 — — 4,347,949 Residential real estate 2,165,290 — — 2,210,951 Consumer credit 1,871,311 — — 1,998,194 Accrued interest receivable 87,102 16 24,001 63,085 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,680,807 $ 3,680,807 $ — $ — NOW, savings, and money market deposits 7,290,521 7,290,521 — — Time deposits 1,634,436 — 1,620,685 — Federal funds purchased and interbank borrowings 335,033 335,033 — — Securities sold under agreements to repurchase 384,810 359,810 25,133 — FHLB advances 1,609,579 — — 1,607,189 Other borrowings 248,782 — 250,443 — Accrued interest payable 7,029 — 7,029 — Standby letters of credit 351 — — 351 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 2,449 N/A = not applicable The methods utilized to estimate the fair value of financial instruments at December 31, 2017 did not necessarily represent an exit price. In accordance with our adoption of ASU 2016-01 in 2018, the methods utilized to measure the fair value of financial instruments at March 31, 2018 represent an approximation of exit price, however, an actual exit price may differ. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The accompanying unaudited consolidated financial statements include the accounts of Old National Bancorp and its wholly-owned affiliates (hereinafter collectively referred to as “Old National”) and have been prepared in conformity with accounting principles generally accepted in the United States of America and prevailing practices within the banking industry. Such principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and the disclosures of contingent assets and liabilities at the date of the financial statements and amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In the opinion of management, the consolidated financial statements contain all the normal and recurring adjustments necessary for a fair statement of the financial position of Old National as of March 31, 2018 and 2017, and December 31, 2017, and the results of its operations for the three months ended March 31, 2018 and 2017. Interim results do not necessarily represent annual results. These financial statements should be read in conjunction with Old National’s Annual Report for the year ended December 31, 2017. All significant intercompany transactions and balances have been eliminated. Certain prior year amounts have been reclassified to conform to the 2018 presentation. Such reclassifications had no effect on net income or shareholders’ equity and were insignificant amounts. |
Revenue Recognition | In May 2014, the FASB issued an update (ASU No. 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients In December 2016, the FASB issued ASU No. 2016-20, Revenue from Contracts with Customers (Topic 606): Technical Corrections and Improvements On January 1, 2018, we adopted ASU 2014-09, Revenue from Contracts with Customers |
Recent Accounting Pronouncements | FASB ASC 825 Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities) FASB ASC 842 – Leases (Topic 842) FASB ASC 815 Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. FASB ASC 718 – Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting. FASB ASC 326 Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments FASB ASC 740 Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory FASB ASC 805 Business Combinations (Topic 805): Clarifying the Definition of a Business FASB ASC 350 Intangibles: Goodwill and Other: Simplifying the Test for Goodwill Impairment FASB ASC 610 Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets (Topic 610): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets FASB ASC 715 Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost FASB ASC 310 Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities FASB ASC 220 Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income FASB ASC 825 Technical Corrections and Improvements to Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities) |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Information | The following table reflects only the categories of noninterest income that are within the scope of Topic 606: Three Months Ended March 31, (dollars in thousands) 2018 2017 Wealth management fees $ 9,026 $ 8,999 Service charges on deposit accounts 10,759 9,843 Debit card and ATM fees 4,865 4,236 Investment product fees 5,515 4,989 Other income: Gain (loss) on other real estate owned 135 658 Merchant processing fees 641 597 Safe deposit box fees 404 307 Insurance premiums and commissions 104 107 Total $ 31,449 $ 29,736 |
Acquisition and Divestiture A36
Acquisition and Divestiture Activity (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Summary of Fair Values of Acquired Assets, Liabilities Assumed and Resulting Goodwill | The following table reflects management’s preliminary valuation of the assets acquired and liabilities assumed (in thousands): Cash and cash equivalents $ 34,501 Investment securities 302,195 FHLB/Federal Reserve Bank stock 6,585 Loans held for sale 1,407 Loans 1,593,991 Premises and equipment 33,433 Accrued interest receivable 5,872 Other real estate owned 1,058 Company-owned life insurance 44,490 Other assets 30,036 Deposits (1,777,588 ) Federal funds purchased and interbank borrowings (45,600 ) Securities sold under agreements to repurchase (22,965 ) Other borrowings (49,257 ) Accrued expenses and other liabilities (25,784 ) Net tangible assets acquired 132,374 Definite-lived intangible assets acquired 26,606 Goodwill 173,785 Total consideration $ 332,765 |
Summary of Acquired Loan Data | Acquired loan data for Anchor (MN) can be found in the table below: Best Estimate at Acquisition Date of Fair Value Gross Contractual Contractual Cash of Acquired Loans Cash Flows at Flows Not Expected (in thousands) at Acquisition Date Acquisition Date to be Collected Acquired receivables subject to ASC 310-30 $ 10,555 $ 16,898 $ 4,787 Acquired receivables not subject to ASC 310-30 $ 1,583,436 $ 1,879,449 $ 87,767 |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Summary of Table Reconciling Basic and Diluted Net Income Per Share | The following table reconciles basic and diluted net income per share for the three months ended March 31, 2018 and 2017: Three Months Ended (dollars and shares in thousands, March 31, except per share data) 2018 2017 Basic Earnings Per Share Net income $ 47,983 $ 35,992 Weighted average common shares outstanding 151,721 134,912 Basic Net Income Per Share $ 0.32 $ 0.27 Diluted Earnings Per Share Net income $ 47,983 $ 35,992 Weighted average common shares outstanding 151,721 134,912 Effect of dilutive securities: Restricted stock 569 445 Stock options (1) 80 74 Weighted average shares outstanding 152,370 135,431 Diluted Net Income Per Share $ 0.31 $ 0.27 (1) Options to purchase 15 thousand shares and 55 thousand shares outstanding at March 31, 2018 and 2017, respectively, were not included in the computation of net income per diluted share because the exercise price of these options was greater than the average market price of the common shares and, therefore, the effect would be antidilutive. |
Investment Securities (Tables)
Investment Securities (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost and Fair Value of Available-for-Sale and Held-to-Maturity Investment Securities Portfolio | The following table summarizes the amortized cost and fair value of the available-for-sale and held-to-maturity investment securities portfolio at March 31, 2018 and December 31, 2017 and the corresponding amounts of unrealized gains and losses therein: Amortized Unrealized Unrealized Fair (dollars in thousands) Cost Gains Losses Value March 31, 2018 Available-for-Sale U.S. Treasury $ 9,292 $ 32 $ (29 ) $ 9,295 U.S. government-sponsored entities and agencies 587,140 1 (14,452 ) 572,689 Mortgage-backed securities - Agency 1,527,777 648 (50,529 ) 1,477,896 States and political subdivisions 837,946 9,930 (4,388 ) 843,488 Pooled trust preferred securities 13,899 — (5,704 ) 8,195 Other securities 312,763 594 (5,057 ) 308,300 Total available-for-sale securities $ 3,288,817 $ 11,205 $ (80,159 ) $ 3,219,863 Held-to-Maturity U.S. government-sponsored entities and agencies $ 73,369 $ — $ (1,925 ) $ 71,444 Mortgage-backed securities - Agency 145,658 75 (2,966 ) 142,767 States and political subdivisions 316,126 8,278 (2,472 ) 321,932 Total held-to-maturity securities $ 535,153 $ 8,353 $ (7,363 ) $ 536,143 December 31, 2017 Available-for-Sale U.S. Treasury $ 5,473 $ 83 $ (5 ) $ 5,551 U.S. government-sponsored entities and agencies 675,643 3 (11,360 ) 664,286 Mortgage-backed securities - Agency 1,704,014 1,600 (37,932 ) 1,667,682 States and political subdivisions 529,835 5,085 (4,727 ) 530,193 Pooled trust preferred securities 16,605 — (8,157 ) 8,448 Other securities 321,016 1,172 (2,141 ) 320,047 Total available-for-sale securities $ 3,252,586 $ 7,943 $ (64,322 ) $ 3,196,207 Held-to-Maturity Mortgage-backed securities - Agency $ 6,903 $ 153 $ — $ 7,056 States and political subdivisions 677,160 43,495 (8 ) 720,647 Total held-to-maturity securities $ 684,063 $ 43,648 $ (8 ) $ 727,703 |
Schedule of Proceeds from Sales or Calls and Realized Gain and Losses of Available-for-Sale Investment Securities and Other Securities | Proceeds from sales or calls of available-for-sale investment securities, the resulting realized gains and realized losses, and other securities gains or losses were as follows for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Proceeds from sales of available-for-sale securities $ 84,257 $ 33,588 Proceeds from calls of available-for-sale securities 17,436 10,520 Total $ 101,693 $ 44,108 Realized gains on sales of available-for-sale securities $ 2,008 $ 1,329 Realized gains on calls of available-for-sale securities 1 — Realized losses on sales of available-for-sale securities (1,257 ) (30 ) Realized losses on calls of available-for-sale securities (49 ) (1 ) Other securities gains (losses) (1) 85 202 Net securities gains (losses) $ 788 $ 1,500 (1) Other securities gains (losses) includes net realized and unrealized gains or losses associated with trading securities and mutual funds. |
Expected Maturities of Investment Securities Portfolio | Weighted average yield is based on amortized cost. At March 31, 2018 (dollars in thousands) Weighted Amortized Fair Average Maturity Cost Value Yield Available-for-Sale Within one year $ 60,568 $ 60,503 2.16 % One to five years 495,123 490,729 2.28 Five to ten years 377,525 374,850 2.83 Beyond ten years 2,355,601 2,293,781 2.61 Total $ 3,288,817 $ 3,219,863 2.58 % Held-to-Maturity Within one year $ 22,368 $ 22,563 3.74 % One to five years 36,340 37,201 4.04 Five to ten years 80,260 82,779 4.35 Beyond ten years 396,185 393,600 4.59 Total $ 535,153 $ 536,143 3.74 % |
Investment Securities with Unrealized Losses by Aggregated Major Security Type and Length of Time in Continuous Unrealized Loss Position | The following table summarizes the investment securities with unrealized losses at March 31, 2018 and December 31, 2017 by aggregated major security type and length of time in a continuous unrealized loss position: Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) Value Losses Value Losses Value Losses March 31, 2018 Available-for-Sale U.S. Treasury $ 5,273 $ (29 ) $ — $ — $ 5,273 $ (29 ) U.S. government-sponsored entities and agencies 240,181 (4,428 ) 331,504 (10,024 ) 571,685 (14,452 ) Mortgage-backed securities - Agency 753,315 (19,422 ) 630,193 (31,107 ) 1,383,508 (50,529 ) States and political subdivisions 294,601 (4,065 ) 7,782 (323 ) 302,383 (4,388 ) Pooled trust preferred securities — — 8,195 (5,704 ) 8,195 (5,704 ) Other securities 110,546 (2,522 ) 122,440 (2,535 ) 232,986 (5,057 ) Total available-for-sale $ 1,403,916 $ (30,466 ) $ 1,100,114 $ (49,693 ) $ 2,504,030 $ (80,159 ) Held-to-Maturity U.S. government-sponsored entities and agencies $ — $ — $ 71,444 $ (1,925 ) $ 71,444 $ (1,925 ) Mortgage-backed securities - Agency 37,880 (664 ) 103,727 (2,302 ) 141,607 (2,966 ) States and political subdivisions 38,606 (860 ) 67,909 (1,612 ) 106,515 (2,472 ) Total held-to-maturity $ 76,486 $ (1,524 ) $ 243,080 $ (5,839 ) $ 319,566 $ (7,363 ) December 31, 2017 Available-for-Sale U.S. Treasury $ 1,480 $ (5 ) $ — $ — $ 1,480 $ (5 ) U.S. government-sponsored entities and agencies 201,773 (1,333 ) 408,493 (10,027 ) 610,266 (11,360 ) Mortgage-backed securities - Agency 789,804 (8,692 ) 774,825 (29,240 ) 1,564,629 (37,932 ) States and political subdivisions 196,024 (1,899 ) 90,637 (2,828 ) 286,661 (4,727 ) Pooled trust preferred securities — — 8,448 (8,157 ) 8,448 (8,157 ) Other securities 61,260 (429 ) 125,517 (1,712 ) 186,777 (2,141 ) Total available-for-sale $ 1,250,341 $ (12,358 ) $ 1,407,920 $ (51,964 ) $ 2,658,261 $ (64,322 ) Held-to-Maturity States and political subdivisions $ 2,309 $ (8 ) $ — $ — $ 2,309 $ (8 ) Total held-to-maturity $ 2,309 $ (8 ) $ — $ — $ 2,309 $ (8 ) |
Trust Preferred Securities | The table below summarizes the relevant characteristics of our pooled trust preferred securities as well as our single issuer trust preferred securities that are included in the “other securities” category in this footnote. Each of the pooled trust preferred securities support a more senior tranche of security holders. Both pooled trust preferred securities have experienced credit defaults. However, these securities have excess subordination and are not other-than-temporarily impaired as a result of their class hierarchy, which provides more loss protection. Trust preferred securities Actual Expected Excess March 31, 2018 Deferrals Defaults as Subordination (dollars in # of Issuers and Defaults a % of as a % of thousands) Lowest Unrealized Realized Currently as a % of Remaining Current Credit Amortized Fair Gain/ Losses Performing/ Original Performing Performing Class Rating (1) Cost Value (Loss) 2018 Remaining Collateral Collateral Collateral Pooled trust preferred securities: Pretsl XXVII LTD B B $ 4,399 $ 2,442 $ (1,957 ) $ — 35/44 16.7 % 4.2 % 46.7 % Trapeza Ser 13A A2A BBB 9,500 5,753 (3,747 ) — 48/53 4.5 % 4.5 % 46.2 % 13,899 8,195 (5,704 ) — Single Issuer trust preferred securities: Fleet Cap Tr V (BOA) BBB- 3,409 3,325 (84 ) — JP Morgan Chase Cap XIII BBB- 4,780 4,650 (130 ) — NB-Global BBB- 808 941 133 — 8,997 8,916 (81 ) — Total $ 22,896 $ 17,111 $ (5,785 ) $ — (1) Lowest rating for the security provided by any nationally recognized credit rating agency. |
Loans and Allowance for Loan 39
Loans and Allowance for Loan Losses (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Text Block [Abstract] | |
Schedule of Composition of Loans | The composition of loans by lending classification was as follows: March 31, December 31, (dollars in thousands) 2018 2017 Commercial (1) $ 2,811,629 $ 2,717,269 Commercial real estate: Construction 351,448 374,306 Other 4,098,532 3,980,246 Residential real estate 2,158,532 2,167,053 Consumer credit: Home equity 487,237 507,507 Auto 1,117,027 1,148,672 Other 214,277 223,068 Total loans 11,238,682 11,118,121 Allowance for loan losses (50,381 ) (50,381 ) Net loans $ 11,188,301 $ 11,067,740 (1) Includes direct finance leases of $27.4 million at March 31, 2018 and $29.5 million at December 31, 2017. |
Schedule of Activity in Allowance for Loan Losses | Old National’s activity in the allowance for loan losses for the three months ended March 31, 2018 and 2017 was as follows: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended March 31, 2018 Balance at beginning of period $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Charge-offs (245 ) (3 ) (362 ) (2,075 ) (2,685 ) Recoveries 511 484 148 1,162 2,305 Provision 79 (1,121 ) 214 1,208 380 Balance at end of period $ 19,591 $ 20,796 $ 1,763 $ 8,231 $ 50,381 Three Months Ended March 31, 2017 Balance at beginning of period $ 21,481 $ 18,173 $ 1,643 $ 8,511 $ 49,808 Charge-offs (470 ) (568 ) (414 ) (1,787 ) (3,239 ) Recoveries 603 1,225 79 1,011 2,918 Provision 494 (877 ) 428 302 347 Balance at end of period $ 22,108 $ 17,953 $ 1,736 $ 8,037 $ 49,834 |
Schedule of Recorded Investment in Loans | The following table provides Old National’s recorded investment in loans by portfolio segment at March 31, 2018 and December 31, 2017 and other information regarding the allowance: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total March 31, 2018 Allowance for loan losses: Individually evaluated for impairment $ 4,024 $ 6,054 $ — $ — $ 10,078 Collectively evaluated for impairment 15,557 14,742 1,763 8,069 40,131 Loans acquired with deteriorated credit quality 10 — — 162 172 Total allowance for loan losses $ 19,591 $ 20,796 $ 1,763 $ 8,231 $ 50,381 Loans and leases outstanding: Individually evaluated for impairment $ 30,092 $ 64,693 $ — $ — $ 94,785 Collectively evaluated for impairment 2,776,738 4,364,309 2,147,693 1,813,910 11,102,650 Loans acquired with deteriorated credit quality 4,799 20,978 10,839 4,631 41,247 Total loans and leases outstanding $ 2,811,629 $ 4,449,980 $ 2,158,532 $ 1,818,541 $ 11,238,682 December 31, 2017 Allowance for loan losses: Individually evaluated for impairment $ 3,424 $ 6,654 $ — $ — $ 10,078 Collectively evaluated for impairment 15,790 14,782 1,763 7,802 40,137 Loans acquired with deteriorated credit quality 32 — — 134 166 Total allowance for loan losses $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Loans and leases outstanding: Individually evaluated for impairment $ 26,270 $ 66,061 $ — $ — $ 92,331 Collectively evaluated for impairment 2,685,847 4,266,665 2,155,750 1,874,002 10,982,264 Loans acquired with deteriorated credit quality 5,152 21,826 11,303 5,245 43,526 Total loans and leases outstanding $ 2,717,269 $ 4,354,552 $ 2,167,053 $ 1,879,247 $ 11,118,121 |
Schedule of Risk Category of Commercial and Commercial Real Estate Loans | The risk category of commercial and commercial real estate loans by class of loans at March 31, 2018 and December 31, 2017 was as follows: (dollars in thousands) Commercial Commercial Real Estate - Real Estate - Corporate Credit Exposure Commercial Construction Other Credit Risk Profile by March 31, December 31, March 31, December 31, March 31, December 31, Internally Assigned Grade 2018 2017 2018 2017 2018 2017 Grade: Pass $ 2,657,943 $ 2,577,824 $ 335,761 $ 357,438 $ 3,886,508 $ 3,762,896 Criticized 78,612 74,876 14,782 14,758 81,479 98,451 Classified - substandard 41,899 37,367 — — 71,047 58,584 Classified - nonaccrual 30,823 24,798 905 2,110 31,364 30,108 Classified - doubtful 2,352 2,404 — — 28,134 30,207 Total $ 2,811,629 $ 2,717,269 $ 351,448 $ 374,306 $ 4,098,532 $ 3,980,246 |
Schedule of Recorded Investment in Residential and Consumer Loans Based on Payment Activity | The following table presents the recorded investment in residential and consumer loans based on payment activity at March 31, 2018 and December 31, 2017: Consumer (dollars in thousands) Residential Home Auto Other March 31, 2018 Performing $ 2,137,395 $ 482,214 $ 1,114,511 $ 209,235 Nonperforming 21,137 5,023 2,515 5,043 Total $ 2,158,532 $ 487,237 $ 1,117,026 $ 214,278 December 31, 2017 Performing $ 2,144,882 $ 502,322 $ 1,145,977 $ 217,819 Nonperforming 22,171 5,185 2,695 5,249 Total $ 2,167,053 $ 507,507 $ 1,148,672 $ 223,068 |
Schedule of Impaired Loans | The following table shows Old National’s impaired loans at March 31, 2018 and December 31, 2017, respectively. Only purchased loans that have experienced subsequent impairment since the date acquired are included in the table below. Unpaid Recorded Principal Related (dollars in thousands) Investment Balance Allowance March 31, 2018 With no related allowance recorded: Commercial $ 20,869 $ 21,656 $ — Commercial Real Estate - Other 42,923 44,688 — Residential 2,107 2,128 — Consumer 2,000 2,436 — With an allowance recorded: Commercial 9,223 9,276 4,024 Commercial Real Estate - Construction 905 1,371 401 Commercial Real Estate - Other 20,865 21,081 5,653 Residential 950 950 48 Consumer 2,022 2,022 101 Total $ 101,864 $ 105,608 $ 10,227 December 31, 2017 With no related allowance recorded: Commercial $ 20,557 $ 21,483 $ — Commercial Real Estate - Other 38,678 44,564 — Residential 2,443 2,464 — Consumer 1,685 2,105 — With an allowance recorded: Commercial 5,713 5,713 3,424 Commercial Real Estate - Construction 905 1,371 401 Commercial Real Estate - Other 26,478 26,902 6,253 Residential 870 870 44 Consumer 2,211 2,228 110 Total $ 99,540 $ 107,700 $ 10,232 |
Schedule of Average Balance of Impaired Loans | The average balance of impaired loans during the three months ended March 31, 2018 and 2017 are included in the table below. Three Months Ended March 31, (dollars in thousands) 2018 2017 Average Recorded Investment With no related allowance recorded: Commercial $ 20,714 $ 28,780 Commercial Real Estate - Other 40,801 32,671 Residential 2,275 1,931 Consumer 1,842 1,377 With an allowance recorded: Commercial 7,468 8,743 Commercial Real Estate - Construction 905 — Commercial Real Estate - Other 23,672 20,650 Residential 910 1,118 Consumer 2,117 2,003 Total $ 100,704 $ 97,273 |
Schedule of Past Due Financing Receivables | Old National’s past due financing receivables at March 31, 2018 and December 31, 2017 were as follows: (dollars in thousands) 30-59 Days 60-89 Days Past Due Nonaccrual Total Current March 31, 2018 Commercial $ 1,068 $ 195 $ 10 $ 33,175 $ 34,448 $ 2,777,181 Commercial Real Estate: Construction — — — 905 905 350,543 Other 1,779 932 — 59,498 62,209 4,036,323 Residential 21,071 909 16 21,137 43,133 2,115,399 Consumer: Home equity 1,965 183 16 5,023 7,187 480,050 Auto 4,904 1,139 214 2,515 8,772 1,108,255 Other 2,121 1,014 71 5,043 8,249 206,028 Total loans $ 32,908 $ 4,372 $ 327 $ 127,296 $ 164,903 $ 11,073,779 December 31, 2017 Commercial $ 986 $ 360 $ 144 $ 27,202 $ 28,692 $ 2,688,577 Commercial Real Estate: Construction — — — 2,110 2,110 372,196 Other 2,247 89 — 60,315 62,651 3,917,595 Residential 18,948 3,416 — 22,171 44,535 2,122,518 Consumer: Home equity 1,467 230 68 5,185 6,950 500,557 Auto 6,487 1,402 532 2,695 11,116 1,137,556 Other 3,967 1,514 150 5,249 10,880 212,188 Total loans $ 34,102 $ 7,011 $ 894 $ 124,927 $ 166,934 $ 10,951,187 |
Schedule of Activity in Trouble Debt Restructurings | The following table presents activity in TDRs for the three months ended March 31, 2018 and 2017: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended March 31, 2018 Balance at beginning of period $ 12,088 $ 34,705 $ 3,315 $ 3,895 $ 54,003 (Charge-offs)/recoveries (129 ) (10 ) 23 298 182 Payments (476 ) (495 ) (276 ) (537 ) (1,784 ) Additions 539 566 — 432 1,537 Interest collected on nonaccrual loans (104 ) (278 ) (4 ) (68 ) (454 ) Balance at end of period $ 11,918 $ 34,488 $ 3,058 $ 4,020 $ 53,484 Three Months Ended March 31, 2017 Balance at beginning of period $ 16,802 $ 18,327 $ 2,985 $ 2,602 $ 40,716 (Charge-offs)/recoveries 35 355 — (100 ) 290 Payments (3,827 ) (1,751 ) (142 ) (508 ) (6,228 ) Additions 9,442 — 564 1,924 11,930 Interest collected on nonaccrual loans 2,170 358 — 11 2,539 Balance at end of period $ 24,622 $ 17,289 $ 3,407 $ 3,929 $ 49,247 |
Schedule of Loans by Class Modified as Troubled Debt Restructuring | The following table presents loans by class modified as TDRs that occurred during the three months ended March 31, 2018 and 2017: Pre-modification Post-modification Number Outstanding Recorded Outstanding Recorded (dollars in thousands) of Loans Investment Investment Three Months Ended March 31, 2018 TDR: Commercial 1 $ 539 $ 539 Commercial Real Estate - Other 1 566 566 Consumer 1 432 432 Total 3 $ 1,537 $ 1,537 Three Months Ended March 31, 2017 TDR: Commercial 6 $ 9,442 $ 9,442 Residential 3 564 564 Consumer 5 1,924 1,924 Total 14 $ 11,930 $ 11,930 |
Schedule of Activity of Purchased Impaired Loans | For these loans that meet the criteria of ASC 310-30 treatment, the carrying amount was as follows: March 31, December 31, (dollars in thousands) 2018 2017 Commercial $ 4,799 $ 5,152 Commercial real estate 20,978 21,826 Residential 10,839 11,303 Consumer 4,631 5,245 Carrying amount 41,247 43,526 Allowance for loan losses (172 ) (166 ) Carrying amount, net of allowance $ 41,075 $ 43,360 |
Schedule of Accretable Yield of PCI Loans, or Income Expected to be Collected | Accretable yield of PCI loans, or income expected to be collected, is as follows: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 27,835 $ 33,603 Accretion of income (4,526 ) (4,685 ) Reclassifications from (to) nonaccretable difference 1,379 610 Disposals/other adjustments 4 6 Balance at end of period $ 24,692 $ 29,534 |
Schedule of Receivables for which Contractually Required Payments would not be Collected | PCI loans purchased during 2017 for which it was probable at acquisition that all contractually required payments would not be collected were as follows: (dollars in thousands) Anchor (MN) (1) Contractually required payments $ 16,898 Nonaccretable difference (4,787 ) Cash flows expected to be collected at acquisition 12,111 Accretable yield (1,556 ) Fair value of acquired loans at acquisition $ 10,555 (1) Old National acquired Anchor (MN) effective November 1, 2017. |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Banking and Thrift [Abstract] | |
Activity in Other Real Estate Owned | The following table presents activity in other real estate owned for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 8,810 $ 18,546 Additions 550 291 Sales (2,351 ) (5,420 ) Impairment (274 ) (870 ) Balance at end of period (1) $ 6,735 $ 12,547 (1) Includes repossessed personal property of $0.3 million at March 31, 2018 and 2017. |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | The composition of premises and equipment at March 31, 2018 and December 31, 2017 was as follows: March 31, December 31, (dollars in thousands) 2018 2017 Land $ 71,618 $ 73,046 Buildings 342,757 343,833 Furniture, fixtures, and equipment 95,729 94,254 Leasehold improvements 39,715 38,918 Total 549,819 550,051 Accumulated depreciation (96,216 ) (91,977 ) Premises and equipment, net $ 453,603 $ 458,074 |
Goodwill and Other Intangible42
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Amount of Goodwill | The following table shows the changes in the carrying amount of goodwill for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 828,051 $ 655,018 Acquisition adjustments 753 — Balance at end of period $ 828,804 $ 655,018 |
Schedule of Gross Carrying Amounts and Accumulated Amortization of Other Intangible Assets | The gross carrying amount and accumulated amortization of other intangible assets at March 31, 2018 and December 31, 2017 were as follows: Gross Accumulated Net Carrying Amortization Carrying (dollars in thousands) Amount and Impairment Amount March 31, 2018 Core deposit $ 108,268 $ (66,037 ) $ 42,231 Customer trust relationships 16,547 (9,945 ) 6,602 Total intangible assets $ 124,815 $ (75,982 ) $ 48,833 December 31, 2017 Core deposit $ 108,923 $ (62,874 ) $ 46,049 Customer trust relationships 16,547 (9,533 ) 7,014 Customer loan relationships 4,413 (4,380 ) 33 Total intangible assets $ 129,883 $ (76,787 ) $ 53,096 |
Schedule of Estimated Amortization Expense for Future Years | Estimated amortization expense for future years is as follows: (dollars in thousands) 2018 remaining $ 9,815 2019 11,010 2020 8,672 2021 6,417 2022 4,595 Thereafter 8,324 Total $ 48,833 |
Loan Servicing Rights (Tables)
Loan Servicing Rights (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Text Block [Abstract] | |
Components of Loan Servicing Rights and Valuation Allowance | The following table summarizes the carrying values and activity related to loan servicing rights and the related valuation allowance for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 24,690 $ 25,629 Additions 770 1,041 Amortization (1,060 ) (1,174 ) Balance before valuation allowance at end of period 24,400 25,496 Valuation allowance: Balance at beginning of period (29 ) (68 ) (Additions)/recoveries 9 18 Balance at end of period (20 ) (50 ) Loan servicing rights, net $ 24,380 $ 25,446 |
Qualified Affordable Housing 44
Qualified Affordable Housing Projects and Other Tax Credit Investments (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Qualified Affordable Housing Projects and Other Tax Credit Investments | The following table summarizes Old National’s investments in qualified affordable housing projects and other tax credit investments at March 31, 2018 and December 31, 2017: (dollars in thousands) March 31, 2018 December 31, 2017 Unfunded Unfunded Investment Accounting Method Investment Commitment (1) Investment Commitment LIHTC Proportional amortization $ 30,495 $ 11,966 $ 31,183 $ 15,553 FHTC Equity 10,645 12,040 10,645 12,040 CReED Equity 704 1,502 704 1,502 Renewable Energy Equity 21,633 19,279 22,364 19,771 Total $ 63,477 $ 44,787 $ 64,896 $ 48,866 (1) All commitments will be paid by Old National by 2027. The following table summarizes the amortization expense and tax benefit recognized for Old National’s qualified affordable housing projects and other tax credit investments for the three months ended March 31, 2018 and 2017: Tax Expense Amortization (Benefit) (dollars in thousands) Expense (1) Recognized (2) Three Months Ended March 31, 2018 LIHTC $ 639 $ (831 ) FHTC — (1,948 ) Renewable Energy 716 (3,415 ) Total $ 1,355 $ (6,194 ) Three Months Ended March 31, 2017 LIHTC $ 941 $ (1,297 ) FHTC — (1,520 ) Total $ 941 $ (2,817 ) (1) The amortization expense for the LIHTC investments is included in our income tax expense. The amortization expense for the FHTC and Renewable Energy tax credits is included in noninterest expense. (2) All of the tax benefits recognized are included in our income tax expense. The tax benefit recognized for the FHTC and Renewable Energy investments primarily reflects the tax credits generated from the investments, and excludes the net tax expense/benefit of the investments’ income/loss. |
Securities Sold Under Agreeme45
Securities Sold Under Agreements to Repurchase (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Transfers and Servicing [Abstract] | |
Schedule of Securities Sold under Agreements to Repurchase and Related Weighted-Average Interest Rates | The following table presents securities sold under agreements to repurchase and related weighted-average interest rates at or for the three months ended March 31: (dollars in thousands) 2018 2017 Outstanding at March 31, $ 308,189 $ 345,550 Average amount outstanding 342,682 331,400 Maximum amount outstanding at any month-end 336,319 345,550 Weighted average interest rate: During the three months ended March 31, 0.42 % 0.31 % At March 31, 0.48 0.35 |
Schedule of Remaining Contractual Maturity of Secured Borrowings and Class of Collateral Pledged Under Repurchase Agreements | The following table presents the contractual maturity of our secured borrowings and class of collateral pledged: At March 31, 2018 Remaining Contractual Maturity of the Agreements Overnight and Up to Greater Than (dollars in thousands) Continuous 30 Days 30-90 Days 90 days Total Repurchase Agreements: U.S. Treasury and agency securities $ 308,189 $ — $ — $ — $ 308,189 Total $ 308,189 $ — $ — $ — $ 308,189 |
Federal Home Loan Bank Advanc46
Federal Home Loan Bank Advances (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Banking and Thrift [Abstract] | |
Summary of FHLB Advances | The following table summarizes Old National Bank’s FHLB advances at March 31, 2018 and December 31, 2017: March 31, December 31, (dollars in thousands) 2018 2017 FHLB advances (fixed rates 1.49% to 6.08% and variable rates 1.80% to 1.99%) maturing April 2018 to February 2028 $ 1,662,603 $ 1,610,531 ASC 815 fair value hedge and other basis adjustments 1,576 (952 ) Total other borrowings $ 1,664,179 $ 1,609,579 |
Summary of Contractual Maturities of FHLB Advances | Contractual maturities of FHLB advances at March 31, 2018 were as follows: (dollars in thousands) Due in 2018 $ 902,032 Due in 2019 201,902 Due in 2020 100,000 Due in 2021 — Due in 2022 58,500 Thereafter 400,169 ASC 815 fair value hedge and other basis adjustments 1,576 Total $ 1,664,179 |
Other Borrowings (Tables)
Other Borrowings (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Other Borrowings | The following table summarizes Old National’s other borrowings at March 31, 2018 and December 31, 2017: March 31, December 31, (dollars in thousands) 2018 2017 Old National Bancorp: Senior unsecured notes (fixed rate 4.125%) maturing August 2024 $ 175,000 $ 175,000 Unamortized debt issuance costs related to senior unsecured notes (988 ) (1,026 ) Junior subordinated debentures (variable rates of 3.30% to 5.29%) maturing April 2032 to September 2037 60,310 60,310 Other basis adjustments (3,454 ) (3,585 ) Old National Bank: Capital lease obligations 5,358 5,389 Subordinated debentures (fixed rate 5.75%) 12,000 12,000 Premium on subordinated debentures 672 694 Total other borrowings $ 248,898 $ 248,782 |
Contractual Maturities of Other Borrowings | Contractual maturities of other borrowings at March 31, 2018 were as follows: (dollars in thousands) Due in 2018 $ 96 Due in 2019 137 Due in 2020 147 Due in 2021 160 Due in 2022 172 Thereafter 251,956 Unamortized debt issuance costs and other basis adjustments (3,770 ) Total $ 248,898 |
Future Minimum Lease Payments under Capital Lease Arrangements | At March 31, 2018, the future minimum lease payments under the capital lease arrangements were as follows: (dollars in thousands) 2018 $ 426 2019 589 2020 589 2021 589 2022 589 Thereafter 9,275 Total minimum lease payments 12,057 Less amounts representing interest (6,699 ) Present value of net minimum lease payments $ 5,358 |
Junior Subordinated Debt [Member] | |
Other Borrowings | The following table summarizes the terms of our outstanding junior subordinated debentures at March 31, 2018: (dollars in thousands) Rate at Issuance March 31, Name of Trust Issuance Date Amount Rate 2018 Maturity Date VFSC Capital Trust I April 2002 $ 3,093 3-month LIBOR plus 3.70% 5.06 % April 22, 2032 VFSC Capital Trust II October 2002 4,124 3-month LIBOR plus 3.45% 5.29 % November 7, 2032 VFSC Capital Trust III April 2004 3,093 3-month LIBOR plus 2.80% 4.81 % September 8, 2034 St. Joseph Capital Trust II March 2005 5,000 3-month LIBOR plus 1.75% 3.93 % March 20, 2035 Anchor Capital Trust III August 2005 5,000 3-month LIBOR plus 1.55% 3.86 % August 23, 2035 Tower Capital Trust 2 December 2005 8,000 3-month LIBOR plus 1.34% 3.65 % December 4, 2035 Home Federal Statutory Trust I September 2006 15,000 3-month LIBOR plus 1.65% 3.77 % September 15, 2036 Monroe Bancorp Capital Trust I July 2006 3,000 3-month LIBOR plus 1.60% 3.30 % October 7, 2036 Monroe Bancorp Statutory Trust II March 2007 5,000 3-month LIBOR plus 1.60% 3.72 % June 15, 2037 Tower Capital Trust 3 December 2006 9,000 3-month LIBOR plus 1.69% 3.70 % September 15, 2037 Total $ 60,310 |
Accumulated Other Comprehensi48
Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Equity [Abstract] | |
Schedule of AOCI | The following table summarizes the changes within each classification of AOCI, net of tax, for the three months ended March 31, 2018 and 2017: Unrealized Gains Unrealized Gains Gains and Defined and Losses on and Losses on Losses on Benefit Available-for-Sale Held-to-Maturity Cash Flow Pension (dollars in thousands) Securities Securities Hedges Plans Total Three Months Ended March 31, 2018 Balance at beginning of period $ (35,557 ) $ (12,107 ) $ (2,337 ) $ (271 ) $ (50,272 ) Other comprehensive income (loss) before reclassifications (8,872 ) 4,514 3,444 — (914 ) Amounts reclassified from AOCI to income (a) (593 ) 456 580 20 463 Amount reclassified from AOCI to retained earnings for cumulative effect of change in accounting principle (b) — — (52 ) — (52 ) Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 (c) (7,583 ) (2,600 ) (509 ) (59 ) (10,751 ) Balance at end of period $ (52,605 ) $ (9,737 ) $ 1,126 $ (310 ) $ (61,526 ) Three Months Ended March 31, 2017 Balance at beginning of period $ (39,012 ) $ (13,310 ) $ (6,715 ) $ (335 ) $ (59,372 ) Other comprehensive income (loss) before reclassifications 9,967 — 360 — 10,327 Amounts reclassified from AOCI to income (a) (947 ) 295 1,115 17 480 Balance at end of period $ (29,992 ) $ (13,015 ) $ (5,240 ) $ (318 ) $ (48,565 ) (a) See table below for details about reclassifications to income. (b) See Note 3 for details about reclassification from AOCI to beginning retained earnings resulting from the adoption of ASU 2017-12. (c) See Note 3 for details about reclassification from AOCI to beginning retained earnings resulting from the adoption of ASU 2018-02. |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the significant amounts reclassified out of each component of AOCI for the three months ended March 31, 2018 and 2017: Amount Reclassified Affected Line Item in the Details about AOCI Components from AOCI Statement of Income Three Months Ended March 31, (dollars in thousands) 2018 2017 Unrealized gains and losses on available-for-sale securities $ 788 $ 1,500 Net securities gains (195 ) (553 ) Income tax (expense) benefit $ 593 $ 947 Net income Unrealized gains and losses on held-to-maturity securities $ (591 ) $ (449 ) Interest income (expense) 135 154 Income tax (expense) benefit $ (456 ) $ (295 ) Net income Gains and losses on cash flow hedges Interest rate contracts $ (769 ) $ (1,799 ) Interest income (expense) 189 684 Income tax (expense) benefit $ (580 ) $ (1,115 ) Net income Amortization of defined benefit pension items Actuarial gains (losses) $ (51 ) $ (27 ) Salaries and employee benefits 31 10 Income tax (expense) benefit $ (20 ) $ (17 ) Net income Total reclassifications for the period $ (463 ) $ (480 ) Net income |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Summary of Differences in Taxes from Continuing Operations Computed at Statutory Rate | Following is a summary of the major items comprising the differences in taxes from continuing operations computed at the federal statutory rate and as recorded in the consolidated statements of income: Three Months Ended March 31, (dollars in thousands) 2018 2017 Provision at statutory rate (1) $ 11,117 $ 16,269 Tax-exempt income: Tax-exempt interest (2,191 ) (3,702 ) Section 291/265 interest disallowance 62 57 Company-owned life insurance income (547 ) (752 ) Tax-exempt income (2,676 ) (4,397 ) State income taxes 1,188 851 Interim period effective rate adjustment 92 (455 ) Tax credit investments - federal (5,769 ) (1,876 ) Other, net 1,005 99 Income tax expense $ 4,957 $ 10,491 Effective tax rate 9.4 % 22.6 % (1) The statutory rate was 21% for the three months ended March 31, 2018, compared to 35% for the three months ended March 31, 2017. |
Summary of Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amounts of unrecognized tax benefits was as follows: Three Months Ended March 31, (dollars in thousands) 2018 2017 Balance at beginning of period $ 874 $ 777 Additions based on tax positions related to the current year 39 32 Balance at end of period $ 913 $ 809 |
Schedule of Significant Components of Net Deferred Tax Assets (Liabilities) | Significant components of net deferred tax assets (liabilities) were as follows at March 31, 2018 and December 31, 2017: March 31, December 31, (dollars in thousands) 2018 2017 Deferred Tax Assets Allowance for loan losses, net of recapture $ 13,062 $ 12,958 Benefit plan accruals 11,173 11,080 Alternative minimum tax credit 2,545 25,084 Unrealized losses on benefit plans 101 108 Net operating loss carryforwards 33,463 39,631 Federal tax credits 11,089 5,516 Other-than-temporary impairment 36 1,424 Deferred gain on securities 2,118 — Acquired loans 27,207 29,669 Lease exit obligation 1,270 1,337 Unrealized losses on available-for-sale investment securities 16,661 14,011 Unrealized losses on held-to-maturity investment securities 2,865 3,630 Unrealized losses on hedges — 923 Other real estate owned 379 369 Other, net 3,214 829 Total deferred tax assets 125,183 146,569 Deferred Tax Liabilities Accretion on investment securities (499 ) (493 ) Purchase accounting (16,314 ) (16,718 ) Loan servicing rights (5,989 ) (6,058 ) Premises and equipment (9,277 ) (10,052 ) Prepaid expenses (1,277 ) (1,277 ) Tax credit investments (1,036 ) (168 ) Unrealized gains on hedges (367 ) — Other, net (1,651 ) (946 ) Total deferred tax liabilities (36,410 ) (35,712 ) Net deferred tax assets $ 88,773 $ 110,857 |
Derivative Financial Instrume50
Derivative Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Value of Derivative Financial Instruments | The following table summarizes the fair value of derivative financial instruments utilized by Old National: (dollars in thousands) Balance Sheet Fair Balance Sheet Location Fair March 31, 2018 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 4,720 Other liabilities $ 3,382 Total derivatives designated as hedging instruments $ 4,720 $ 3,382 Derivatives not designated as hedging instruments Interest rate contracts Other assets $ 8,113 Other liabilities $ 16,256 Mortgage contracts Other assets 1,475 Other liabilities 90 Foreign currency contracts Other assets 13 Other liabilities 2 Total derivatives not designated as hedging instruments $ 9,601 $ 16,348 Total $ 14,321 $ 19,730 December 31, 2017 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 3,351 Other liabilities $ 5,351 Total derivatives designated as hedging instruments $ 3,351 $ 5,351 Derivatives not designated as hedging instruments Interest rate contracts Other assets $ 10,012 Other liabilities $ 10,933 Mortgage contracts Other assets 747 Other liabilities — Foreign currency contracts Other assets 8 Other liabilities 8 Total derivatives not designated as hedging instruments $ 10,767 $ 10,941 Total $ 14,118 $ 16,292 |
Schedule of Effect of Derivative Instruments on the Consolidated Statements of Income | The effect of derivative instruments in fair value hedging relationships on the consolidated statements of income for the three months ended March 31, 2018 and 2017 were as follows: (dollars in thousands) Gain (Loss) Derivatives in Fair Value Hedging Relationships Location of Gain or (Loss) Recognized in in Income on Derivative Gain (Loss) Hedged Items in Location of Gain or (Loss) Recognized in Hedged Item Recognized Three Months Ended March 31, 2018 Interest rate contracts Interest income/(expense) $ (720 ) Fixed-rate debt Interest income/(expense) $ 722 Three Months Ended March 31, 2017 Interest rate contracts Interest income/(expense) $ (254 ) Fixed-rate debt Interest income/(expense) $ 290 The difference between the gain (loss) recognized in income on derivatives and the gain (loss) recognized in income on the related hedged items represents hedge ineffectiveness. In addition, the net swap settlements that accrue each period are also reported in interest expense. The effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the three months ended March 31, 2018 and 2017 were as follows: (dollars in thousands) Three Months Ended Three Months Ended March 31, March 31, 2018 2017 2018 2017 Derivatives in Cash Flow Hedging Relationships Location of Gain or (Loss) Reclassified (Effective Portion) Gain (Loss) Gain (Loss) Interest rate contracts Interest income/(expense) $ 4,563 $ 580 $ (769 ) $ (1,799 ) The ineffective portion and amount excluded from effectiveness testing related to derivatives in cash flow hedging relationships was immaterial for the three months ended March 31, 2018 and 2017. The effect of derivatives not designated as hedging instruments on the consolidated statements of income for the three months ended March 31, 2018 and 2017 were as follows: (dollars in thousands) Three Months Ended March 31, 2018 2017 Derivatives Not Designated as Hedging Instruments Location of Gain or (Loss) Recognized in Income on Derivative Gain (Loss) Interest rate contracts (1) Other income/(expense) $ — $ 10 Mortgage contracts Mortgage banking revenue 638 (1,494 ) Foreign currency contracts Other income/(expense) 17 — Total $ 655 $ (1,484 ) (1) Includes the valuation differences between the customer and offsetting swaps. |
Fair Value (Tables)
Fair Value (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis, including financial assets and liabilities for which we have elected the fair value option, are summarized below: Fair Value Measurements at March 31, 2018 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant (Level 3) Financial Assets Trading securities $ 5,569 $ 5,569 $ — $ — Investment securities available-for-sale: U.S. Treasury 9,295 9,295 — — U.S. government-sponsored entities and agencies 572,689 — 572,689 — Mortgage-backed securities - Agency 1,477,896 — 1,477,896 — States and political subdivisions 843,488 — 839,427 4,061 Pooled trust preferred securities 8,195 — — 8,195 Other securities 308,300 30,435 277,865 — Residential loans held for sale 17,635 — 17,635 — Derivative assets 14,321 — 14,321 — Financial Liabilities Derivative liabilities 19,730 — 19,730 — Fair Value Measurements at December 31, 2017 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant (Level 3) Financial Assets Trading securities $ 5,584 $ 5,584 $ — $ — Investment securities available-for-sale: U.S. Treasury 5,551 5,551 — — U.S. government-sponsored entities and agencies 664,286 — 664,286 — Mortgage-backed securities - Agency 1,667,682 — 1,667,682 — States and political subdivisions 530,193 — 530,193 Pooled trust preferred securities 8,448 — — 8,448 Other securities 320,047 30,965 289,082 — Residential loans held for sale 17,930 — 17,930 — Derivative assets 14,118 — 14,118 — Financial Liabilities Derivative liabilities 16,292 — 16,292 — |
Reconciliation of All Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) | The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Pooled Trust States and Preferred Political (dollars in thousands) Securities Subdivisions Three Months Ended March 31, 2018 Balance at beginning of period $ 8,448 $ — Accretion of discount 5 — Sales/payments received (288 ) — Increase (decrease) in fair value of securities 30 — Transfers into Level 3 — 4,061 Balance at end of period $ 8,195 $ 4,061 Three Months Ended March 31, 2017 Balance at beginning of period $ 8,119 $ — Accretion of discount 4 — Sales/payments received (163 ) — Increase (decrease) in fair value of securities 328 — Balance at end of period $ 8,288 $ — |
Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements | The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) March 31, 2018 Pooled trust preferred securities $ 8,195 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 3.4% - 4.3% (4.0%) Expected asset recoveries (c) 0.00% State and political subdivisions 4,061 Discounted cash flow No unobservable inputs N/A Local municipality issuance Old National owns 100% Carried at par December 31, 2017 Pooled trust preferred securities $ 8,448 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 4.2% - 9.6% (7.5%) Expected asset recoveries (c) 0.0% - 4.1% (0.6%) (a) Assuming no prepayments. (b) Each currently performing pool asset is assigned a default probability based on the banking environment, which is adjusted for specific issuer evaluation, of 0%, 50%, or 100%. (c) Each currently defaulted pool asset is assigned a recovery probability based on specific issuer evaluation of 0%, 25%, or 100%. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) March 31, 2018 Collateral Dependent Impaired Loans Commercial loans $ 2,453 Fair value of collateral Discount for type of property, age of appraisal, and current status 25% - 35% (30%) Commercial real estate loans 15,267 Fair value of collateral Discount for type of property, age of appraisal and current status 0% - 20% (10%) Foreclosed Assets Commercial real estate 671 Fair value of collateral Discount for type of property, age of appraisal, and current status 14% - 43% (25%) Residential 228 Fair value of collateral Discount for type of property, age of appraisal, and current status 18% - 19% (18%) December 31, 2017 Collateral Dependent Impaired Loans Commercial loans $ 2,217 Fair value of collateral Discount for type of property, age of appraisal, and current status 0% - 98% (49%) Commercial real estate loans 26,319 Fair value of collateral Discount for type of property, age of appraisal and current status 10% - 78% (32%) Foreclosed Assets Commercial real estate 1,726 Fair value of collateral Discount for type of property, age of appraisal, and current status 7% - 25% (18%) Residential (1) 55 Fair value of collateral Discount for type of property, age of appraisal, and current status 39% (1) There was only one foreclosed residential asset at December 31, 2017, so no range or weighted average rate is reported. |
Assets Measured at Fair Value on a Non-Recurring Basis | Assets measured at fair value on a non-recurring basis at March 31, 2018 are summarized below: Fair Value Measurements at March 31, 2018 Using (dollars in thousands) Carrying Quoted Prices in (Level 1) Significant Significant Collateral Dependent Impaired Loans: Commercial loans $ 2,453 $ — $ — $ 2,453 Commercial real estate loans 15,267 — — 15,267 Foreclosed Assets: Commercial real estate 671 — — 671 Residential 228 — — 228 Loan servicing rights 187 — 187 — Assets measured at fair value on a non-recurring basis at December 31, 2017 are summarized below: Fair Value Measurements at December 31, 2017 Using (dollars in thousands) Carrying Quoted Prices in (Level 1) Significant Significant Collateral Dependent Impaired Loans: Commercial loans $ 2,217 $ — $ — $ 2,217 Commercial real estate loans 26,319 — — 26,319 Foreclosed Assets: Commercial real estate 1,726 — — 1,726 Residential 55 — — 55 Loan servicing rights 2,964 — 2,964 — |
Schedule of Difference Between the Aggregate Fair Value and the Aggregate Remaining Principal Balance | The difference between the aggregate fair value and the aggregate remaining principal balance for loans for which the fair value option has been elected at March 31, 2018 and December 31, 2017 was as follows: Aggregate Contractual (dollars in thousands) Fair Value Difference Principal March 31, 2018 Residential loans held for sale $ 17,635 $ 577 $ 17,058 December 31, 2017 Residential loans held for sale $ 17,930 $ 546 $ 17,384 The following table presents the amount of gains and losses from fair value changes included in income before income taxes for financial assets carried at fair value: Total Changes in Fair Values Other Included in Gains and Interest Interest Current Period (dollars in thousands) (Losses) Income (Expense) Earnings Three months ended March 31, 2018 Residential loans held for sale $ 35 $ — $ (4 ) $ 31 Three months ended March 31, 2017 Residential loans held for sale $ 418 $ 1 $ — $ 419 |
Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Carried at Fair Value | The carrying amounts and estimated fair values of financial instruments not carried at fair value on the balance sheet at March 31, 2018 and December 31, 2017 were as follows: Fair Value Measurements at March 31, 2018 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 278,241 $ 278,241 $ — $ — Investment securities held-to-maturity: — — U.S. government-sponsored entities and agencies 73,369 — 71,444 — Mortgage-backed securities - Agency 145,658 — 142,767 — State and political subdivisions 316,126 — 321,932 — FHLB/Federal Reserve Bank stock 136,206 N/A N/A N/A Loans, net: Commercial 2,792,038 — — 2,727,325 Commercial real estate 4,429,184 — — 4,313,955 Residential real estate 2,156,769 — — 2,135,119 Consumer credit 1,810,310 — — 1,777,935 Accrued interest receivable 81,621 74 20,502 61,045 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,655,732 $ 3,655,732 $ — $ — NOW, savings, and money market deposits 7,357,137 7,357,137 — — Time deposits 1,775,731 — 1,771,277 — Federal funds purchased and interbank borrowings 150,026 150,026 — — Securities sold under agreements to repurchase 308,189 308,189 — — FHLB advances 1,664,179 — — 1,658,911 Other borrowings 248,898 — 251,538 — Accrued interest payable 5,388 — 5,388 — Standby letters of credit 408 — — 408 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 3,225 N/A = not applicable Fair Value Measurements at December 31, 2017 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 290,432 $ 290,432 $ — $ — Investment securities held-to-maturity: Mortgage-backed securities - Agency 6,903 — 7,056 — State and political subdivisions 677,160 — 720,647 — FHLB/Federal Reserve Bank stock 119,686 N/A N/A N/A Loans, net: Commercial 2,698,023 — — 2,707,385 Commercial real estate 4,333,116 — — 4,347,949 Residential real estate 2,165,290 — — 2,210,951 Consumer credit 1,871,311 — — 1,998,194 Accrued interest receivable 87,102 16 24,001 63,085 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,680,807 $ 3,680,807 $ — $ — NOW, savings, and money market deposits 7,290,521 7,290,521 — — Time deposits 1,634,436 — 1,620,685 — Federal funds purchased and interbank borrowings 335,033 335,033 — — Securities sold under agreements to repurchase 384,810 359,810 25,133 — FHLB advances 1,609,579 — — 1,607,189 Other borrowings 248,782 — 250,443 — Accrued interest payable 7,029 — 7,029 — Standby letters of credit 351 — — 351 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 2,449 N/A = not applicable |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Topic 606 Revenue Items (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue, Initial Application Period Cumulative Effect Transition [Abstract] | ||
Wealth management fees | $ 9,026 | $ 8,999 |
Service charges on deposit accounts | 10,759 | 9,843 |
Debit card and ATM fees | 4,865 | 4,236 |
Investment product fees | 5,515 | 4,989 |
Other income: | ||
Gain (loss) on other real estate owned | 135 | 658 |
Merchant processing fees | 641 | 597 |
Safe deposit box fees | 404 | 307 |
Insurance premiums and commissions | 104 | 107 |
Total | $ 31,449 | $ 29,736 |
Recent Accounting Pronounceme53
Recent Accounting Pronouncements - Additional Information (Detail) - USD ($) | Jan. 01, 2018 | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Retained earnings | $ 447,696,000 | $ 408,623,000 | $ 413,130,000 | |
Unrealized holding gains on available-for-sale portfolio | (9,465,000) | $ 9,020,000 | ||
Modified retrospective basis through a cumulative-effect adjustment to retained earnings | 1,000,000 | |||
Amounts reclassified from accumulated other comprehensive income | $ 10,800,000 | |||
Accounting Standards Update 2017-12 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Retained earnings | 3,200,000 | |||
Reclassification of securities | 324,000,000 | |||
Unrealized holding gains on available-for-sale portfolio | 26,100,000 | |||
Accounting Standards Update 2017-12 [Member] | States and Political Subdivisions [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Reclassification of securities | 447,000,000 | |||
Minimum [Member] | Accounting Standards Update 2016-02 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Anticipated increase in assets and liabilities | 115,000,000 | |||
Maximum [Member] | Accounting Standards Update 2016-02 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Anticipated increase in assets and liabilities | $ 135,000,000 |
Acquisition and Divestiture A54
Acquisition and Divestiture Activity - Additional Information (Detail) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2018Branch | Jun. 30, 2018Branch | Mar. 31, 2018USD ($)Branch$ / sharesshares | Dec. 31, 2017Branch | Nov. 01, 2017Branch | |
Business Acquisition [Line Items] | |||||
Number of banking centers consolidated | Branch | 29 | ||||
Scenario, Forecast [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of banking centers consolidated | Branch | 1 | 9 | |||
Marine Credit Union of La Crosse, Wisconsin [member] | |||||
Business Acquisition [Line Items] | |||||
Number of branches for sale | Branch | 10 | ||||
Branch sale, assumed deposits | $ 274 | ||||
Anchor Bank (MN) [Member] | |||||
Business Acquisition [Line Items] | |||||
Portion of share received by merged entity | 1.350 | ||||
Consideration received in cash by merged entity | $ / shares | $ 2.625 | ||||
Total fair value of consideration paid | $ 332.8 | ||||
Purchase price of acquisition, cash | $ 31.9 | ||||
Issuance of common stock shares for acquisitions of business | shares | 16.5 | ||||
Value of issuance common stock shares | $ 300.8 | ||||
Transaction and integration costs associated with the acquisition | $ 14.6 | ||||
Anchor Bank (MN) [Member] | Core Deposit [Member] | |||||
Business Acquisition [Line Items] | |||||
Estimated useful life of intangible assets | 10 years | ||||
Estimated fair value of intangible assets acquired | $ 26.6 | ||||
Anchor Bank (MN) [Member] | Minnesota [Member] | |||||
Business Acquisition [Line Items] | |||||
Number of branches | Branch | 17 |
Acquisition and Divestiture A55
Acquisition and Divestiture Activity - Summary of Fair Values of Acquired Assets, Liabilities Assumed and Resulting Goodwill (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 828,804 | $ 828,051 | $ 655,018 | $ 655,018 |
Anchor Bank (MN) [Member] | ||||
Business Acquisition [Line Items] | ||||
Cash and cash equivalents | 34,501 | |||
Investment securities | 302,195 | |||
FHLB/Federal Reserve Bank stock | 6,585 | |||
Loans held for sale | 1,407 | |||
Loans | 1,593,991 | |||
Premises and equipment | 33,433 | |||
Accrued interest receivable | 5,872 | |||
Other real estate owned | 1,058 | |||
Company-owned life insurance | 44,490 | |||
Other assets | 30,036 | |||
Deposits | (1,777,588) | |||
Federal funds purchased and interbank borrowings | (45,600) | |||
Securities sold under agreements to repurchase | (22,965) | |||
Other borrowings | (49,257) | |||
Accrued expenses and other liabilities | (25,784) | |||
Net tangible assets acquired | 132,374 | |||
Definite-lived intangible assets acquired | 26,606 | |||
Goodwill | 173,785 | |||
Total consideration | $ 332,765 |
Acquisition and Divestiture A56
Acquisition and Divestiture Activity - Schedule of Acquired Loan Data (Detail) - Anchor Bank (MN) [Member] $ in Thousands | Mar. 31, 2018USD ($) |
Loans at Acquisition Date [Line Items] | |
Fair Value of Acquired Loans at Acquisition Date | $ 1,593,991 |
Acquired Receivables Subject to ASC 310-30 [Member] | |
Loans at Acquisition Date [Line Items] | |
Fair Value of Acquired Loans at Acquisition Date | 10,555 |
Gross Contractual Cash Flows at Acquisition Date | 16,898 |
Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected | 4,787 |
Acquired Receivables Not Subject to ASC 310-30 [Member] | |
Loans at Acquisition Date [Line Items] | |
Fair Value of Acquired Loans at Acquisition Date | 1,583,436 |
Gross Contractual Cash Flows at Acquisition Date | 1,879,449 |
Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected | $ 87,767 |
Net Income Per Share - Summary
Net Income Per Share - Summary of Table Reconciling Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | ||
Net income | $ 47,983 | $ 35,992 |
Basic Earnings Per Share, Weighted average common shares outstanding | 151,721 | 134,912 |
Basic Net Income Per Share | $ 0.32 | $ 0.27 |
Net income | $ 47,983 | $ 35,992 |
Diluted Earnings Per Share, Weighted average common shares outstanding | 151,721 | 134,912 |
Effect of dilutive securities: Restricted stock | 569 | 445 |
Effect of dilutive securities: Stock options | 80 | 74 |
Diluted Earnings Per Share, Weighted average shares outstanding | 152,370 | 135,431 |
Diluted Net Income Per Share | $ 0.31 | $ 0.27 |
Net Income Per Share - Summar58
Net Income Per Share - Summary of Table Reconciling Basic and Diluted Net Income Per Share (Parenthetical) (Detail) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Stock Options [Member] | ||
Summary Of Computation Of Basic And Diluted Earnings Per Share [Line Items] | ||
Antidilutive securities not included in the computation of net income per diluted share | 15 | 55 |
Investment Securities - Amortiz
Investment Securities - Amortized Cost and Fair Value of Available-for-Sale and Held-to-Maturity Investment Securities Portfolio (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | $ 3,288,817 | $ 3,252,586 | |
Available-for-Sale, Unrealized Gains | 11,205 | 7,943 | |
Available-for-Sale, Unrealized Losses | (80,159) | (64,322) | |
Available-for-Sale securities, Fair Value | 3,219,863 | 3,196,207 | $ 2,816,943 |
Held-to-Maturity, Amortized Cost | 535,153 | 684,063 | 741,448 |
Held-to-Maturity, Unrealized Gains | 8,353 | 43,648 | |
Held-to-Maturity, Unrealized Losses | (7,363) | (8) | |
Held-to-Maturity, Fair Value | 536,143 | 727,703 | $ 784,906 |
U.S. Treasury [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 9,292 | 5,473 | |
Available-for-Sale, Unrealized Gains | 32 | 83 | |
Available-for-Sale, Unrealized Losses | (29) | (5) | |
Available-for-Sale securities, Fair Value | 9,295 | 5,551 | |
U.S. Government-Sponsored Entities and Agencies [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 587,140 | 675,643 | |
Available-for-Sale, Unrealized Gains | 1 | 3 | |
Available-for-Sale, Unrealized Losses | (14,452) | (11,360) | |
Available-for-Sale securities, Fair Value | 572,689 | 664,286 | |
Held-to-Maturity, Amortized Cost | 73,369 | ||
Held-to-Maturity, Unrealized Losses | (1,925) | ||
Held-to-Maturity, Fair Value | 71,444 | ||
Mortgage-Backed Securities - Agency [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 1,527,777 | 1,704,014 | |
Available-for-Sale, Unrealized Gains | 648 | 1,600 | |
Available-for-Sale, Unrealized Losses | (50,529) | (37,932) | |
Available-for-Sale securities, Fair Value | 1,477,896 | 1,667,682 | |
Held-to-Maturity, Amortized Cost | 145,658 | 6,903 | |
Held-to-Maturity, Unrealized Gains | 75 | 153 | |
Held-to-Maturity, Unrealized Losses | (2,966) | ||
Held-to-Maturity, Fair Value | 142,767 | 7,056 | |
States and Political Subdivisions [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 837,946 | 529,835 | |
Available-for-Sale, Unrealized Gains | 9,930 | 5,085 | |
Available-for-Sale, Unrealized Losses | (4,388) | (4,727) | |
Available-for-Sale securities, Fair Value | 843,488 | 530,193 | |
Held-to-Maturity, Amortized Cost | 316,126 | 677,160 | |
Held-to-Maturity, Unrealized Gains | 8,278 | 43,495 | |
Held-to-Maturity, Unrealized Losses | (2,472) | (8) | |
Held-to-Maturity, Fair Value | 321,932 | 720,647 | |
Pooled Trust Preferred Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 13,899 | 16,605 | |
Available-for-Sale, Unrealized Losses | (5,704) | (8,157) | |
Available-for-Sale securities, Fair Value | 8,195 | 8,448 | |
Other Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 312,763 | 321,016 | |
Available-for-Sale, Unrealized Gains | 594 | 1,172 | |
Available-for-Sale, Unrealized Losses | (5,057) | (2,141) | |
Available-for-Sale securities, Fair Value | $ 308,300 | $ 320,047 |
Investment Securities - Additio
Investment Securities - Additional Information (Detail) | 3 Months Ended | ||
Mar. 31, 2018USD ($)Security | Mar. 31, 2017USD ($) | Dec. 31, 2017USD ($) | |
Investment [Line Items] | |||
Trading securities that consist of mutual funds | $ 5,569,000 | $ 5,083,000 | $ 5,584,000 |
Unrealized losses | 14,000,000 | ||
OTTI losses on securities | $ 0 | 0 | |
Number of securities in security portfolio | Security | 1,690 | ||
Number of securities in unrealized loss position | Security | 850 | ||
Unrealized losses | $ 80,159,000 | 64,322,000 | |
Proceeds from sale of trust preferred securities | 84,257,000 | 33,588,000 | |
Loss from sale of trust preferred securities | 1,257,000 | $ 30,000 | |
States and Political Subdivisions [Member] | |||
Investment [Line Items] | |||
Unrealized losses | $ 4,388,000 | 4,727,000 | |
Pooled Trust Preferred Securities [Member] | |||
Investment [Line Items] | |||
Number of pooled trust preferred securities | Security | 2 | ||
Securities portfolio at fair value | $ 8,200,000 | ||
Unrealized losses | 5,704,000 | 8,157,000 | |
Pooled Trust Preferred Securities, Subject To FASB ASC 325-10 [Member] | |||
Investment [Line Items] | |||
Proceeds from sale of trust preferred securities | 1,800,000 | ||
Loss from sale of trust preferred securities | 900,000 | ||
Accounting Standards Update 2017-12 [Member] | |||
Investment [Line Items] | |||
Reclassification of securities | 324,000,000 | ||
Unrealized holding loss net of tax | 10,800,000 | ||
Accounting Standards Update 2017-12 [Member] | States and Political Subdivisions [Member] | |||
Investment [Line Items] | |||
Reclassification of securities | 447,000,000 | ||
Former Directors and Executives [Member] | |||
Investment [Line Items] | |||
Trading securities that consist of mutual funds | $ 5,600,000 | $ 5,600,000 |
Investment Securities - Schedul
Investment Securities - Schedule of Proceeds from Sales or Calls and Realized Gain and Losses of Available-for-sale Investment Securities and Other Securities (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Proceeds from sales of available-for-sale securities | $ 84,257 | $ 33,588 |
Proceeds from calls of available-for-sale securities | 118,694 | 93,040 |
Total | 101,693 | 44,108 |
Realized gains on sales of available-for-sale securities | 2,008 | 1,329 |
Realized losses on sales of available-for-sale securities | (1,257) | (30) |
Other securities gains (losses) | 85 | 202 |
Net securities gains (losses) | 788 | 1,500 |
Calls [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Proceeds from calls of available-for-sale securities | 17,436 | 10,520 |
Realized gains on calls of available-for-sale securities | 1 | |
Realized losses on calls of available-for-sale securities | $ (49) | $ (1) |
Investment Securities - Expecte
Investment Securities - Expected Maturities of Investment Securities Portfolio (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Investments, Debt and Equity Securities [Abstract] | |||
Available-for-Sale, Maturity, Within one year, Amortized Cost | $ 60,568 | ||
Available-for-Sale, Maturity, One to five years, Amortized Cost | 495,123 | ||
Available-for-Sale, Maturity, Five to ten years, Amortized Cost | 377,525 | ||
Available-for-Sale, Maturity, Beyond ten years, Amortized Cost | 2,355,601 | ||
Available-for-Sale, Amortized Cost | 3,288,817 | $ 3,252,586 | |
Held-to-Maturity, Maturity, Within one year, Amortized Cost | 22,368 | ||
Held-to-Maturity, Maturity, One to five years, Amortized Cost | 36,340 | ||
Held-to-Maturity, Maturity, Five to ten years, Amortized Cost | 80,260 | ||
Held-to-Maturity, Maturity, Beyond ten years, Amortized Cost | 396,185 | ||
Held-to-Maturity, Amortized Cost | 535,153 | 684,063 | $ 741,448 |
Available-for-Sale, Maturity, Within one year, Fair Value | 60,503 | ||
Available-for-Sale, Maturity, One to five years, Fair Value | 490,729 | ||
Available-for-Sale, Maturity, Five to ten years, Fair Value | 374,850 | ||
Available-for-Sale, Maturity, Beyond ten years, Fair Value | 2,293,781 | ||
Available-for-Sale securities, Fair Value | 3,219,863 | 3,196,207 | 2,816,943 |
Held-to-Maturity, Maturity, Within one year, Fair Value | 22,563 | ||
Held-to-Maturity, Maturity, One to five years, Fair Value | 37,201 | ||
Held-to-Maturity, Maturity, Five to ten years, Fair Value | 82,779 | ||
Held-to-Maturity, Maturity, Beyond ten years, Fair Value | 393,600 | ||
Held-to-Maturity, Fair Value | $ 536,143 | $ 727,703 | $ 784,906 |
Available-for-Sale, Maturity, Within one year, Weighted Average Yield | 2.16% | ||
Available-for-Sale, Maturity, One to five years, Weighted Average Yield | 2.28% | ||
Available-for-Sale, Maturity, Five to ten years, Weighted Average Yield | 2.83% | ||
Available-for-Sale, Maturity, Beyond ten years, Weighted Average Yield | 2.61% | ||
Available-for-Sale, Weighted Average Yield | 2.58% | ||
Held-to-Maturity, Maturity, Within one year, Weighted Average Yield | 3.74% | ||
Held-to-Maturity, Maturity, One to five years, Weighted Average Yield | 4.04% | ||
Held-to-Maturity, Maturity, Five to ten years, Weighted Average Yield | 4.35% | ||
Held-to-Maturity, Maturity, Beyond ten years, Weighted Average Yield | 4.59% | ||
Held-to-Maturity, Weighted Average Yield | 3.74% |
Investment Securities - Investm
Investment Securities - Investment Securities with Unrealized Losses by Aggregated Major Security Type and Length of Time in Continuous Unrealized Loss Position (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | $ 1,403,916 | $ 1,250,341 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (30,466) | (12,358) |
Available-for-Sale, 12 months or longer, Fair Value | 1,100,114 | 1,407,920 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (49,693) | (51,964) |
Available-for-Sale, Fair Value | 2,504,030 | 2,658,261 |
Available-for-Sale, Unrealized Losses | (80,159) | (64,322) |
Held-to-Maturity, Less than 12 Months, Fair Value | 76,486 | 2,309 |
Held-to-Maturity, Less than 12 Months, Unrealized Losses | (1,524) | (8) |
Held-to-Maturity, 12 months or longer, Fair Value | 243,080 | |
Held-to-Maturity, 12 months or longer, Unrealized Losses | (5,839) | |
Held-to-Maturity, Fair Value | 319,566 | 2,309 |
Held-to-Maturity, Unrealized Losses | (7,363) | (8) |
U.S. Treasury [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 5,273 | 1,480 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (29) | (5) |
Available-for-Sale, Fair Value | 5,273 | 1,480 |
Available-for-Sale, Unrealized Losses | (29) | (5) |
U.S. Government-Sponsored Entities and Agencies [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 240,181 | 201,773 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (4,428) | (1,333) |
Available-for-Sale, 12 months or longer, Fair Value | 331,504 | 408,493 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (10,024) | (10,027) |
Available-for-Sale, Fair Value | 571,685 | 610,266 |
Available-for-Sale, Unrealized Losses | (14,452) | (11,360) |
Held-to-Maturity, 12 months or longer, Fair Value | 71,444 | |
Held-to-Maturity, 12 months or longer, Unrealized Losses | (1,925) | |
Held-to-Maturity, Fair Value | 71,444 | |
Held-to-Maturity, Unrealized Losses | (1,925) | |
Mortgage-Backed Securities - Agency [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 753,315 | 789,804 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (19,422) | (8,692) |
Available-for-Sale, 12 months or longer, Fair Value | 630,193 | 774,825 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (31,107) | (29,240) |
Available-for-Sale, Fair Value | 1,383,508 | 1,564,629 |
Available-for-Sale, Unrealized Losses | (50,529) | (37,932) |
Held-to-Maturity, Less than 12 Months, Fair Value | 37,880 | |
Held-to-Maturity, Less than 12 Months, Unrealized Losses | (664) | |
Held-to-Maturity, 12 months or longer, Fair Value | 103,727 | |
Held-to-Maturity, 12 months or longer, Unrealized Losses | (2,302) | |
Held-to-Maturity, Fair Value | 141,607 | |
Held-to-Maturity, Unrealized Losses | (2,966) | |
States and Political Subdivisions [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 294,601 | 196,024 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (4,065) | (1,899) |
Available-for-Sale, 12 months or longer, Fair Value | 7,782 | 90,637 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (323) | (2,828) |
Available-for-Sale, Fair Value | 302,383 | 286,661 |
Available-for-Sale, Unrealized Losses | (4,388) | (4,727) |
Held-to-Maturity, Less than 12 Months, Fair Value | 38,606 | 2,309 |
Held-to-Maturity, Less than 12 Months, Unrealized Losses | (860) | (8) |
Held-to-Maturity, 12 months or longer, Fair Value | 67,909 | |
Held-to-Maturity, 12 months or longer, Unrealized Losses | (1,612) | |
Held-to-Maturity, Fair Value | 106,515 | 2,309 |
Held-to-Maturity, Unrealized Losses | (2,472) | (8) |
Pooled Trust Preferred Securities [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, 12 months or longer, Fair Value | 8,195 | 8,448 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (5,704) | (8,157) |
Available-for-Sale, Fair Value | 8,195 | 8,448 |
Available-for-Sale, Unrealized Losses | (5,704) | (8,157) |
Other Securities [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 110,546 | 61,260 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (2,522) | (429) |
Available-for-Sale, 12 months or longer, Fair Value | 122,440 | 125,517 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (2,535) | (1,712) |
Available-for-Sale, Fair Value | 232,986 | 186,777 |
Available-for-Sale, Unrealized Losses | $ (5,057) | $ (2,141) |
Investment Securities - Trust P
Investment Securities - Trust Preferred Securities (Detail) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018USD ($)Item | Dec. 31, 2017USD ($) | Mar. 31, 2017USD ($) | |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale securities, Fair Value | $ 3,219,863 | $ 3,196,207 | $ 2,816,943 |
Pooled Trust Preferred Securities One [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Amortized Cost | 13,899 | ||
Available-for-Sale securities, Fair Value | 8,195 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (5,704) | ||
Realized Losses 2017 | $ 0 | ||
Pooled Trust Preferred Securities One [Member] | Pretsl XXVII LTD [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Pooled trust preferred securities, Class | B | ||
Lowest Credit Rating | B | ||
Amortized Cost | $ 4,399 | ||
Available-for-Sale securities, Fair Value | 2,442 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (1,957) | ||
Realized Losses 2017 | $ 0 | ||
# of Issuers Currently Performing | Item | 35 | ||
# of Issuers Currently Remaining | Item | 44 | ||
Actual Deferrals and Defaults as a Percent of Original Collateral | 16.70% | ||
Expected Defaults as a % of Remaining Performing Collateral | 4.20% | ||
Excess Subordination as a % of Current Performing Collateral | 46.70% | ||
Pooled Trust Preferred Securities One [Member] | Trapeza Ser 13A [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Pooled trust preferred securities, Class | A2A | ||
Lowest Credit Rating | BBB | ||
Amortized Cost | $ 9,500 | ||
Available-for-Sale securities, Fair Value | 5,753 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (3,747) | ||
Realized Losses 2017 | $ 0 | ||
# of Issuers Currently Performing | Item | 48 | ||
# of Issuers Currently Remaining | Item | 53 | ||
Actual Deferrals and Defaults as a Percent of Original Collateral | 4.50% | ||
Expected Defaults as a % of Remaining Performing Collateral | 4.50% | ||
Excess Subordination as a % of Current Performing Collateral | 46.20% | ||
Single Issuer Trust Preferred Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Amortized Cost | $ 8,997 | ||
Available-for-Sale securities, Fair Value | 8,916 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (81) | ||
Realized Losses 2017 | $ 0 | ||
Single Issuer Trust Preferred Securities [Member] | Fleet Cap Tr V (BOA) [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Lowest Credit Rating | BBB- | ||
Amortized Cost | $ 3,409 | ||
Available-for-Sale securities, Fair Value | 3,325 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (84) | ||
Realized Losses 2017 | $ 0 | ||
Single Issuer Trust Preferred Securities [Member] | J P Morgan Chase Cap XIII [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Lowest Credit Rating | BBB- | ||
Amortized Cost | $ 4,780 | ||
Available-for-Sale securities, Fair Value | 4,650 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (130) | ||
Realized Losses 2017 | $ 0 | ||
Single Issuer Trust Preferred Securities [Member] | NB-Global [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Lowest Credit Rating | BBB- | ||
Amortized Cost | $ 808 | ||
Available-for-Sale securities, Fair Value | 941 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | 133 | ||
Realized Losses 2017 | 0 | ||
Trust Preferred Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Amortized Cost | 22,896 | ||
Available-for-Sale securities, Fair Value | 17,111 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (5,785) | ||
Realized Losses 2017 | $ 0 |
Loans Held for Sale - Additiona
Loans Held for Sale - Additional Information (Detail) - USD ($) $ in Millions | Mar. 31, 2018 | Dec. 31, 2017 |
Residential Mortgage Loans [Member] | ||
Servicing Assets at Fair Value [Line Items] | ||
Mortgage loans held for sale | $ 17.6 | $ 17.9 |
Loans and Allowance for Loan 66
Loans and Allowance for Loan Losses - Additional Information (Detail) - USD ($) | 3 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | Nov. 01, 2017 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Commercial real estate | $ 4,449,980,000 | $ 3,222,865,000 | $ 4,354,552,000 | |
Total loans | $ 11,238,682,000 | 9,131,773,000 | 11,118,121,000 | |
Loan placed on nonaccrual when past due, number of days | 90 days | |||
Loan participations | $ 580,200,000 | |||
Loan participations sold | 301,400,000 | |||
Loan participations retained | $ 278,800,000 | |||
Troubled debt restructuring term | 6 months | |||
Minimum number of days for loan charge off to be recorded | 120 days | |||
Maximum number of days for loan charge off to be recorded | 180 days | |||
Nonaccrual period for loans | 90 days | |||
Financing receivable TDR's included with non-accrual loans | $ 36,900,000 | 34,000,000 | ||
Financing receivable troubled debt restructurings specific reserves | 5,900,000 | 5,700,000 | ||
Unfunded commitments on TDRs | 4,600,000 | |||
Increase (decrease) in allowance for loan losses | 0 | 100,000 | ||
Allowance for loan losses charge-offs | $ 0 | 0 | ||
Number of days for a loan to be considered to be in payment default | 90 days | |||
Outstanding loans including principal, interest, fees and penalties | $ 230,500,000 | 235,900,000 | ||
Accretion recorded as loan interest income | 4,500,000 | $ 4,700,000 | ||
Financing receivable allowance for loan losses related to purchased loans | 200,000 | 200,000 | ||
Residential Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 2,158,532,000 | 2,167,053,000 | ||
Consumer [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 1,818,541,000 | 1,879,247,000 | ||
Commercial Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | $ 4,449,980,000 | 4,354,552,000 | ||
Credit Concentration Risk [Member] | Residential Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Concentration Risk Percentage | 10.00% | |||
Credit Concentration Risk [Member] | Non Residential Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Concentration Risk Percentage | 10.00% | |||
Maximum [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Value of small commercial loans on nonaccrual status or 90 days or more delinquent | $ 250,000 | |||
AnchorBank WI [Member] | Consumer [Member] | Student Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | $ 66,000,000 | $ 68,200,000 | ||
AnchorBank WI [Member] | Maximum [Member] | Consumer [Member] | Student Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loan guarantee percentage | 100.00% | |||
AnchorBank WI [Member] | Minimum [Member] | Consumer [Member] | Student Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loan guarantee percentage | 97.00% | |||
Anchor Bank (MN) [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Commercial real estate | $ 864,400,000 | |||
Anchor Bank (MN) [Member] | Commercial Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Percentage of risk-based capital | 208.00% | |||
Regulatory guideline limit | 300.00% |
Loans and Allowance for Loan 67
Loans and Allowance for Loan Losses - Schedule of Composition of Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | $ 11,238,682 | $ 11,118,121 | $ 9,131,773 | |
Allowance for loan losses | (50,381) | (50,381) | (49,834) | $ (49,808) |
Net loans | 11,188,301 | 11,067,740 | 9,081,939 | |
Commercial Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 2,811,629 | 2,717,269 | ||
Allowance for loan losses | (19,591) | (19,246) | $ (22,108) | $ (21,481) |
Residential Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 2,158,532 | 2,167,053 | ||
Consumer [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 1,818,541 | 1,879,247 | ||
Consumer [Member] | Consumer Credit - Home Equity [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 487,237 | 507,507 | ||
Commercial Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 4,449,980 | 4,354,552 | ||
Construction [Member] | Commercial Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 351,448 | 374,306 | ||
Other [Member] | Consumer [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 214,277 | 223,068 | ||
Other [Member] | Commercial Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | 4,098,532 | 3,980,246 | ||
Consumer Credit - Auto [Member] | Consumer [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans by lending classification | $ 1,117,027 | $ 1,148,672 |
Loans and Allowance for Loan 68
Loans and Allowance for Loan Losses - Schedule of Composition of Loans (Parenthetical) (Detail) - USD ($) $ in Millions | Mar. 31, 2018 | Dec. 31, 2017 |
Receivables [Abstract] | ||
Direct finance leases | $ 27.4 | $ 29.5 |
Loans and Allowance for Loan 69
Loans and Allowance for Loan Losses - Schedule of Activity in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | $ 50,381 | $ 49,808 |
Charge-offs | (2,685) | (3,239) |
Recoveries | 2,305 | 2,918 |
Provision | 380 | 347 |
Ending balance | 50,381 | 49,834 |
Commercial Loan [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 19,246 | 21,481 |
Charge-offs | (245) | (470) |
Recoveries | 511 | 603 |
Provision | 79 | 494 |
Ending balance | 19,591 | 22,108 |
Commercial Real Estate [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 21,436 | 18,173 |
Charge-offs | (3) | (568) |
Recoveries | 484 | 1,225 |
Provision | (1,121) | (877) |
Ending balance | 20,796 | 17,953 |
Residential [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 1,763 | 1,643 |
Charge-offs | (362) | (414) |
Recoveries | 148 | 79 |
Provision | 214 | 428 |
Ending balance | 1,763 | 1,736 |
Consumer Loan [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 7,936 | 8,511 |
Charge-offs | (2,075) | (1,787) |
Recoveries | 1,162 | 1,011 |
Provision | 1,208 | 302 |
Ending balance | $ 8,231 | $ 8,037 |
Loans and Allowance for Loan 70
Loans and Allowance for Loan Losses - Schedule of Recorded Investment in Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Individually evaluated for impairment | $ 10,078 | $ 10,078 | |
Allowance for loan losses, Collectively evaluated for impairment | 40,131 | 40,137 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 172 | 166 | |
Total allowance for loan losses | 50,381 | 50,381 | |
Loans and leases outstanding, Individually evaluated for impairment | 94,785 | 92,331 | |
Loans and leases outstanding, Collectively evaluated for impairment | 11,102,650 | 10,982,264 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 41,247 | 43,526 | |
Total loans | 11,238,682 | 11,118,121 | $ 9,131,773 |
Commercial [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Individually evaluated for impairment | 4,024 | 3,424 | |
Allowance for loan losses, Collectively evaluated for impairment | 15,557 | 15,790 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 10 | 32 | |
Total allowance for loan losses | 19,591 | 19,246 | |
Loans and leases outstanding, Individually evaluated for impairment | 30,092 | 26,270 | |
Loans and leases outstanding, Collectively evaluated for impairment | 2,776,738 | 2,685,847 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 4,799 | 5,152 | |
Total loans | 2,811,629 | 2,717,269 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Individually evaluated for impairment | 6,054 | 6,654 | |
Allowance for loan losses, Collectively evaluated for impairment | 14,742 | 14,782 | |
Total allowance for loan losses | 20,796 | 21,436 | |
Loans and leases outstanding, Individually evaluated for impairment | 64,693 | 66,061 | |
Loans and leases outstanding, Collectively evaluated for impairment | 4,364,309 | 4,266,665 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 20,978 | 21,826 | |
Total loans | 4,449,980 | 4,354,552 | |
Residential [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Collectively evaluated for impairment | 1,763 | 1,763 | |
Total allowance for loan losses | 1,763 | 1,763 | |
Loans and leases outstanding, Collectively evaluated for impairment | 2,147,693 | 2,155,750 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 10,839 | 11,303 | |
Total loans | 2,158,532 | 2,167,053 | |
Consumer [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Collectively evaluated for impairment | 8,069 | 7,802 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 162 | 134 | |
Total allowance for loan losses | 8,231 | 7,936 | |
Loans and leases outstanding, Collectively evaluated for impairment | 1,813,910 | 1,874,002 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 4,631 | 5,245 | |
Total loans | $ 1,818,541 | $ 1,879,247 |
Loans and Allowance for Loan 71
Loans and Allowance for Loan Losses - Schedule of Risk Category of Commercial and Commercial Real Estate Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Risk Category Of Loans [Line Items] | |||
Total | $ 2,811,629 | $ 2,717,269 | $ 1,910,536 |
Commercial [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 2,811,629 | 2,717,269 | |
Commercial [Member] | Pass [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 2,657,943 | 2,577,824 | |
Commercial [Member] | Criticized [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 78,612 | 74,876 | |
Commercial [Member] | Classified - Substandard [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 41,899 | 37,367 | |
Commercial [Member] | Classified - Nonaccrual [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 30,823 | 24,798 | |
Commercial [Member] | Classified - Doubtful [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 2,352 | 2,404 | |
Commercial Real Estate [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 351,448 | 374,306 | |
Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 4,098,532 | 3,980,246 | |
Commercial Real Estate [Member] | Pass [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 335,761 | 357,438 | |
Commercial Real Estate [Member] | Pass [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 3,886,508 | 3,762,896 | |
Commercial Real Estate [Member] | Criticized [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 14,782 | 14,758 | |
Commercial Real Estate [Member] | Criticized [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 81,479 | 98,451 | |
Commercial Real Estate [Member] | Classified - Substandard [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 71,047 | 58,584 | |
Commercial Real Estate [Member] | Classified - Nonaccrual [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 905 | 2,110 | |
Commercial Real Estate [Member] | Classified - Nonaccrual [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 31,364 | 30,108 | |
Commercial Real Estate [Member] | Classified - Doubtful [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | $ 28,134 | $ 30,207 |
Loans and Allowance for Loan 72
Loans and Allowance for Loan Losses - Schedule of Recorded Investment in Residential and Consumer Loans Based on Payment Activity (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment | $ 1,818,541 | $ 1,879,247 | $ 1,886,110 |
Residential real estate | 2,158,532 | 2,167,053 | $ 2,112,262 |
Consumer Home Equity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment | 487,237 | 507,507 | |
Consumer Home Equity [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 482,214 | 502,322 | |
Consumer Home Equity [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | 5,023 | 5,185 | |
Consumer Auto [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment | 1,117,026 | 1,148,672 | |
Consumer Auto [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 1,114,511 | 1,145,977 | |
Consumer Auto [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | 2,515 | 2,695 | |
Consumer - Other [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment | 214,278 | 223,068 | |
Consumer - Other [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 209,235 | 217,819 | |
Consumer - Other [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | 5,043 | 5,249 | |
Residential [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Residential real estate | 2,158,532 | 2,167,053 | |
Residential [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 2,137,395 | 2,144,882 | |
Residential [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | $ 21,137 | $ 22,171 |
Loans and Allowance for Loan 73
Loans and Allowance for Loan Losses - Schedule of Impaired Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, Total | $ 101,864 | $ 99,540 |
Unpaid Principal Balance, Total | 105,608 | 107,700 |
Related Allowance | 10,227 | 10,232 |
Commercial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment with related allowance | 9,223 | 5,713 |
Unpaid Principal Balance with related allowance | 9,276 | 5,713 |
Related Allowance | 4,024 | 3,424 |
Recorded Investment with no related allowance | 20,869 | 20,557 |
Unpaid Principal Balance with no related allowance | 21,656 | 21,483 |
Commercial Real Estate - Other [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment with related allowance | 20,865 | 26,478 |
Unpaid Principal Balance with related allowance | 21,081 | 26,902 |
Related Allowance | 5,653 | 6,253 |
Recorded Investment with no related allowance | 42,923 | 38,678 |
Unpaid Principal Balance with no related allowance | 44,688 | 44,564 |
Residential [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment with related allowance | 950 | 870 |
Unpaid Principal Balance with related allowance | 950 | 870 |
Related Allowance | 48 | 44 |
Recorded Investment with no related allowance | 2,107 | 2,443 |
Unpaid Principal Balance with no related allowance | 2,128 | 2,464 |
Consumer [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment with related allowance | 2,022 | 2,211 |
Unpaid Principal Balance with related allowance | 2,022 | 2,228 |
Related Allowance | 101 | 110 |
Recorded Investment with no related allowance | 2,000 | 1,685 |
Unpaid Principal Balance with no related allowance | 2,436 | 2,105 |
Commercial Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment with related allowance | 905 | 905 |
Unpaid Principal Balance with related allowance | 1,371 | 1,371 |
Related Allowance | $ 401 | $ 401 |
Loans and Allowance for Loan 74
Loans and Allowance for Loan Losses - Schedule of Average Balance (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment, Total | $ 100,704 | $ 97,273 |
Commercial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment with no related allowance | 20,714 | 28,780 |
Average Recorded Investment with an allowance recorded | 7,468 | 8,743 |
Commercial Real Estate - Other [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment with an allowance recorded | 23,672 | 20,650 |
Residential [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment with no related allowance | 2,275 | 1,931 |
Average Recorded Investment with an allowance recorded | 910 | 1,118 |
Consumer [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment with no related allowance | 1,842 | 1,377 |
Average Recorded Investment with an allowance recorded | 2,117 | 2,003 |
Commercial Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment with no related allowance | 40,801 | $ 32,671 |
Average Recorded Investment with an allowance recorded | $ 905 |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses - Schedule of Past Due Financing Receivables (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due 90 Days or More and Accruing | $ 327 | $ 894 |
Nonaccrual | 127,296 | 124,927 |
Financing Receivables, Past Due | 164,903 | 166,934 |
Current | 11,073,779 | 10,951,187 |
30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 32,908 | 34,102 |
60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 4,372 | 7,011 |
Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due 90 Days or More and Accruing | 10 | 144 |
Nonaccrual | 33,175 | 27,202 |
Financing Receivables, Past Due | 34,448 | 28,692 |
Current | 2,777,181 | 2,688,577 |
Commercial [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,068 | 986 |
Commercial [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 195 | 360 |
Construction [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | 905 | 2,110 |
Financing Receivables, Past Due | 905 | 2,110 |
Current | 350,543 | 372,196 |
Other [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | 59,498 | 60,315 |
Financing Receivables, Past Due | 62,209 | 62,651 |
Current | 4,036,323 | 3,917,595 |
Other [Member] | Commercial Real Estate [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,779 | 2,247 |
Other [Member] | Commercial Real Estate [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 932 | 89 |
Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due 90 Days or More and Accruing | 16 | |
Nonaccrual | 21,137 | 22,171 |
Financing Receivables, Past Due | 43,133 | 44,535 |
Current | 2,115,399 | 2,122,518 |
Residential [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 21,071 | 18,948 |
Residential [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 909 | 3,416 |
Consumer Home Equity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due 90 Days or More and Accruing | 16 | 68 |
Nonaccrual | 5,023 | 5,185 |
Financing Receivables, Past Due | 7,187 | 6,950 |
Current | 480,050 | 500,557 |
Consumer Home Equity [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,965 | 1,467 |
Consumer Home Equity [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 183 | 230 |
Consumer Auto [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due 90 Days or More and Accruing | 214 | 532 |
Nonaccrual | 2,515 | 2,695 |
Financing Receivables, Past Due | 8,772 | 11,116 |
Current | 1,108,255 | 1,137,556 |
Consumer Auto [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 4,904 | 6,487 |
Consumer Auto [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,139 | 1,402 |
Consumer - Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due 90 Days or More and Accruing | 71 | 150 |
Nonaccrual | 5,043 | 5,249 |
Financing Receivables, Past Due | 8,249 | 10,880 |
Current | 206,028 | 212,188 |
Consumer - Other [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 2,121 | 3,967 |
Consumer - Other [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | $ 1,014 | $ 1,514 |
Loans and Allowance for Credi76
Loans and Allowance for Credit Losses - Schedule of Activity in Troubled Debt Restructurings (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Financing Receivable, Impaired [Line Items] | ||
Balance at beginning of period | $ 54,003 | $ 40,716 |
(Charge-offs)/recoveries | 182 | 290 |
Payments | (1,784) | (6,228) |
Additions | 1,537 | 11,930 |
Interest collected on nonaccrual loans | (454) | 2,539 |
Balance at end of period | 53,484 | 49,247 |
Commercial Loan [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Balance at beginning of period | 12,088 | 16,802 |
(Charge-offs)/recoveries | (129) | 35 |
Payments | (476) | (3,827) |
Additions | 539 | 9,442 |
Interest collected on nonaccrual loans | (104) | 2,170 |
Balance at end of period | 11,918 | 24,622 |
Commercial Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Balance at beginning of period | 34,705 | 18,327 |
(Charge-offs)/recoveries | (10) | 355 |
Payments | (495) | (1,751) |
Additions | 566 | |
Interest collected on nonaccrual loans | (278) | 358 |
Balance at end of period | 34,488 | 17,289 |
Residential [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Balance at beginning of period | 3,315 | 2,985 |
(Charge-offs)/recoveries | 23 | |
Payments | (276) | (142) |
Additions | 564 | |
Interest collected on nonaccrual loans | (4) | |
Balance at end of period | 3,058 | 3,407 |
Consumer Loan [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Balance at beginning of period | 3,895 | 2,602 |
(Charge-offs)/recoveries | 298 | (100) |
Payments | (537) | (508) |
Additions | 432 | 1,924 |
Interest collected on nonaccrual loans | (68) | 11 |
Balance at end of period | $ 4,020 | $ 3,929 |
Loans and Allowance for Loan 77
Loans and Allowance for Loan Losses - Schedule of Loans by Class Modified as Troubled Debt Restructuring (Detail) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018USD ($)SecurityLoan | Mar. 31, 2017USD ($)SecurityLoan | |
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 3 | 14 |
Pre-modification Outstanding Recorded Investment | $ 1,537 | $ 11,930 |
Post-modification Outstanding Recorded Investment | $ 1,537 | $ 11,930 |
Commercial Loan [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 1 | 6 |
Pre-modification Outstanding Recorded Investment | $ 539 | $ 9,442 |
Post-modification Outstanding Recorded Investment | $ 539 | $ 9,442 |
Other [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 1 | |
Pre-modification Outstanding Recorded Investment | $ 566 | |
Post-modification Outstanding Recorded Investment | $ 566 | |
Residential [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 3 | |
Pre-modification Outstanding Recorded Investment | $ 564 | |
Post-modification Outstanding Recorded Investment | $ 564 | |
Consumer - Other [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 1 | 5 |
Pre-modification Outstanding Recorded Investment | $ 432 | $ 1,924 |
Post-modification Outstanding Recorded Investment | $ 432 | $ 1,924 |
Loans and Allowance for Loan 78
Loans and Allowance for Loan Losses - Schedule of Activity of Purchased Impaired Loans (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Impaired [Line Items] | ||
Purchased impaired loans | $ 41,247 | $ 43,526 |
Allowance for loan losses | (172) | (166) |
Carrying amount, net of allowance | 41,075 | 43,360 |
Commercial Loan [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased impaired loans | 4,799 | 5,152 |
Commercial Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased impaired loans | 20,978 | 21,826 |
Residential [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased impaired loans | 10,839 | 11,303 |
Consumer Loan [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased impaired loans | $ 4,631 | $ 5,245 |
Loans and Allowance for Loan 79
Loans and Allowance for Loan Losses - Schedule of Accretable Yield of Noncovered PCI Loans, or Income Expected to be Collected (Detail) - Purchased Credit Impaired Loans [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Balance at beginning of period | $ 27,835 | $ 33,603 |
Accretion of income | (4,526) | (4,685) |
Reclassifications from (to) nonaccretable difference | 1,379 | 610 |
Disposals/other adjustments | 4 | 6 |
Balance at end of period | $ 24,692 | $ 29,534 |
Loans and Allowance for Loan 80
Loans and Allowance for Loan Losses - Schedule of Receivables for which Contractually Required Payments would not be Collected (Detail) - Anchor Bank (MN) [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Contractually required payments | $ 16,898 |
Nonaccretable difference | (4,787) |
Cash flows expected to be collected at acquisition | 12,111 |
Accretable yield | (1,556) |
Fair value of acquired loans at acquisition | $ 10,555 |
Loans and Allowance for Loan 81
Loans and Allowance for Loan Losses - Schedule of Receivables for which Contractually Required Payments would not be Collected (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Anchor Bank (MN) [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Effective date of acquisition | Nov. 1, 2017 |
Other Real Estate Owned - Activ
Other Real Estate Owned - Activity in Other Real Estate Owned (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Regulatory Assets [Abstract] | ||
Balance at beginning of period | $ 8,810 | $ 18,546 |
Additions | 550 | 291 |
Sales | (2,351) | (5,420) |
Impairment | (274) | (870) |
Balance at end of period | $ 6,735 | $ 12,547 |
Other Real Estate Owned - Act83
Other Real Estate Owned - Activity in Other Real Estate Owned (Parenthetical) (Detail) - USD ($) $ in Millions | Mar. 31, 2018 | Mar. 31, 2017 |
Regulatory Assets [Abstract] | ||
Repossessed personal property | $ 0.3 | $ 0.3 |
Other Real Estate Owned - Addit
Other Real Estate Owned - Additional Information (Detail) $ in Millions | Mar. 31, 2018USD ($) |
Regulatory Assets [Abstract] | |
Value of foreclosed residential real estate property | $ 1 |
Value of mortgage loans in process of foreclosure | $ 6.2 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Property, Plant and Equipment [Line Items] | |||
Total | $ 549,819 | $ 550,051 | |
Accumulated depreciation | (96,216) | (91,977) | |
Premises and equipment, net | 453,603 | 458,074 | $ 420,866 |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | 71,618 | 73,046 | |
Buildings [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | 342,757 | 343,833 | |
Furniture, Fixtures, and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | 95,729 | 94,254 | |
Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | $ 39,715 | $ 38,918 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Detail) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018USD ($)BuildingTerms | Mar. 31, 2017USD ($) | |
Property, Plant and Equipment [Line Items] | ||
Depreciation | $ 5,833 | $ 5,211 |
Number of additional successive terms extendable at the option | Terms | 4 | |
Period of extendable lease term, in years | 5 years | |
Lease term, description | Two years and six months | |
Rent expense | $ 4,400 | 3,900 |
Sale leaseback transaction, gain recognized over lease term | $ 7,700 | $ 8,200 |
Number of branch buildings under capital leases | Building | 2 | |
Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Lease Term | 2 years 6 months | |
Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Lease Term | 25 years | |
Prior Sale Leaseback Transactions [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Lease Term | 5 years | |
Prior Sale Leaseback Transactions [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Lease Term | 24 years |
Goodwill and Other Intangible87
Goodwill and Other Intangible Assets - Schedule of Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Balance at beginning of period | $ 828,051 | $ 655,018 |
Acquisition adjustments | 753 | 0 |
Balance at end of period | $ 828,804 | $ 655,018 |
Goodwill and Other Intangible88
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Goodwill [Line Items] | ||
Amortization expense of other intangible assets | $ 3,609,000 | $ 3,020,000 |
Impairment charges | 0 | $ 0 |
Anchor Bank (MN) [Member] | ||
Goodwill [Line Items] | ||
Increase (decrease) to goodwill | $ 800,000 | |
Core Deposits and Other Intangible Assets [Member] | Minimum [Member] | ||
Goodwill [Line Items] | ||
Estimated useful lives of core deposits and customer relationships | 5 years | |
Core Deposits and Other Intangible Assets [Member] | Maximum [Member] | ||
Goodwill [Line Items] | ||
Estimated useful lives of core deposits and customer relationships | 15 years | |
Core Deposit [Member] | Anchor Bank (MN) [Member] | ||
Goodwill [Line Items] | ||
Increase (decrease) in core deposit intangibles | $ (700,000) |
Goodwill and Other Intangible89
Goodwill and Other Intangible Assets - Schedule of Gross Carrying Amounts and Accumulated Amortization of Other Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 124,815 | $ 129,883 | |
Accumulated Amortization and Impairment | (75,982) | (76,787) | |
Net Carrying Amount | 48,833 | 53,096 | $ 34,657 |
Core Deposit [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 108,268 | 108,923 | |
Accumulated Amortization and Impairment | (66,037) | (62,874) | |
Net Carrying Amount | 42,231 | 46,049 | |
Customer Trust Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 16,547 | 16,547 | |
Accumulated Amortization and Impairment | (9,945) | (9,533) | |
Net Carrying Amount | $ 6,602 | 7,014 | |
Customer Loan Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 4,413 | ||
Accumulated Amortization and Impairment | (4,380) | ||
Net Carrying Amount | $ 33 |
Goodwill and Other Intangible90
Goodwill and Other Intangible Assets - Schedule of Estimated Amortization Expense for Future Years (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
2018 remaining | $ 9,815 | ||
2,019 | 11,010 | ||
2,020 | 8,672 | ||
2,021 | 6,417 | ||
2,022 | 4,595 | ||
Thereafter | 8,324 | ||
Net Carrying Amount | $ 48,833 | $ 53,096 | $ 34,657 |
Loan Servicing Rights - Additio
Loan Servicing Rights - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | |
Transfers and Servicing [Abstract] | |||
Loan servicing rights | $ 24,380 | $ 24,661 | $ 25,446 |
Principal balance of loans serviced for others | 3,305,000 | 3,321,000 | |
Funds held in escrow | $ 23,900 | 8,900 | |
Percentage of mortgage loan | 99.60% | ||
Fair value of servicing rights | $ 26,600 | $ 25,800 | |
Fair value at discount rate | 13.00% | 13.00% | |
Fair value inputs weighted average prepayment speed | 121.00% | 140.00% |
Loan Servicing Rights - Compone
Loan Servicing Rights - Components of Loan Servicing Rights and Valuation Allowance (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Transfers and Servicing [Abstract] | |||
Balance at beginning of period | $ 24,690 | $ 25,629 | |
Additions | 770 | 1,041 | |
Amortization | (1,060) | (1,174) | |
Balance before valuation allowance at end of period | 24,400 | 25,496 | |
Valuation allowance: | |||
Balance at beginning of period | (29) | (68) | |
(Additions)/recoveries | 9 | 18 | |
Balance at end of period | (20) | (50) | |
Loan servicing rights, net | $ 24,380 | $ 25,446 | $ 24,661 |
Qualified Affordable Housing 93
Qualified Affordable Housing Projects and Other Tax Credit Investments - Schedule of Qualified Affordable Housing Projects and Other Tax Credit Investments (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Investment Holdings [Line Items] | ||
Total | $ 63,477 | $ 64,896 |
Total | 44,787 | 48,866 |
Amortization Expense | 1,355 | 941 |
Tax Expense (Benefit) Recognized | (6,194) | (2,817) |
LIHTC [Member] | ||
Investment Holdings [Line Items] | ||
Proportional amortization method of investment | 30,495 | 31,183 |
Unfunded commitment, Proportional amortization | 11,966 | 15,553 |
Amortization Expense | 639 | 941 |
Tax Expense (Benefit) Recognized | (831) | (1,297) |
FHTC [Member] | ||
Investment Holdings [Line Items] | ||
Equity method investment | 10,645 | 10,645 |
Unfunded commitment, Equity | 12,040 | 12,040 |
Tax Expense (Benefit) Recognized | (1,948) | (1,520) |
CReED [Member] | ||
Investment Holdings [Line Items] | ||
Equity method investment | 704 | 704 |
Unfunded commitment, Equity | 1,502 | 1,502 |
Renewable Energy [Member] | ||
Investment Holdings [Line Items] | ||
Equity method investment | 21,633 | 22,364 |
Unfunded commitment, Equity | 19,279 | $ 19,771 |
Amortization Expense | 716 | |
Tax Expense (Benefit) Recognized | $ (3,415) |
Securities Sold Under Agreeme94
Securities Sold Under Agreements to Repurchase - Schedule of Securities Sold under Agreements to Repurchase and Related Weighted-Average Interest Rates (Detail) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Securities Sold under Agreements to Repurchase [Abstract] | |||
Outstanding at end of period | $ 308,189,000 | $ 345,550,000 | $ 384,810,000 |
Average amount outstanding | 342,682,000 | 331,400,000 | |
Maximum amount outstanding at any month-end | $ 336,319,000 | $ 345,550,000 | |
Weighted average interest rate during period | 0.42% | 0.31% | |
Weighted average interest rate at end of period | 0.48% | 0.35% |
Securities Sold Under Agreeme95
Securities Sold Under Agreements to Repurchase - Schedule of Remaining Contractual Maturity of Secured Borrowings and Class of Collateral Pledged Under Repurchase Agreements (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Assets Sold under Agreements to Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | $ 308,189 | $ 384,810 | $ 345,550 |
U.S. Treasury [Member] | |||
Assets Sold under Agreements to Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | 308,189 | ||
Overnight and Continuous [Member] | |||
Assets Sold under Agreements to Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | 308,189 | ||
Overnight and Continuous [Member] | U.S. Treasury [Member] | |||
Assets Sold under Agreements to Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | $ 308,189 |
Securities Sold Under Agreeme96
Securities Sold Under Agreements to Repurchase - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2018 | |
Securities Sold under Agreements to Repurchase [Abstract] | |
Gross outstanding balance of repurchase agreements collateralized by securities percentage | 130.00% |
Federal Home Loan Bank Advanc97
Federal Home Loan Bank Advances - Summary of FHLB Advances (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Federal Home Loan Bank, Advances [Line Items] | ||
ASC 815 fair value hedge and other basis adjustments | $ 1,576 | |
Total other borrowings | 1,664,179 | $ 1,609,579 |
Old National Bank [Member] | ||
Federal Home Loan Bank, Advances [Line Items] | ||
FHLB advances (fixed rates 1.49% to 6.08% and variable rates 1.80% to 1.99%) maturing April 2018 to February 2028 | 1,662,603 | 1,610,531 |
ASC 815 fair value hedge and other basis adjustments | $ 1,576 | $ (952) |
Federal Home Loan Bank Advanc98
Federal Home Loan Bank Advances - Summary of FHLB Advances (Parenthetical) (Detail) - Old National Bank [Member] - Federal Home Loan Bank Advances [Member] | 3 Months Ended |
Mar. 31, 2018 | |
Federal Home Loan Bank, Advances [Line Items] | |
Maturity, Start date | Apr. 30, 2018 |
Maturity, End date | Feb. 29, 2028 |
Minimum [Member] | |
Federal Home Loan Bank, Advances [Line Items] | |
Fixed rates | 1.49% |
Variable rates | 1.80% |
Maximum [Member] | |
Federal Home Loan Bank, Advances [Line Items] | |
Fixed rates | 6.08% |
Variable rates | 1.99% |
Federal Home Loan Bank Advanc99
Federal Home Loan Bank Advances - Additional Information (Detail) | Mar. 31, 2018 | Dec. 31, 2017 |
Federal Home Loan Bank, Advances [Line Items] | ||
Weighted-average rates of FHLB advances | 1.89% | 1.55% |
Federal Home Loan Bank Advances [Member] | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Percentage of borrowings collateralized by investment securities and residential real estate loans | 140.00% |
Federal Home Loan Bank Advan100
Federal Home Loan Bank Advances - Summary of Contractual Maturities of FHLB Advances (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | |
Federal Home Loan Banks [Abstract] | |||
Due in 2018 | $ 902,032 | ||
Due in 2019 | 201,902 | ||
Due in 2020 | 100,000 | ||
Due in 2021 | 0 | ||
Due in 2022 | 58,500 | ||
Thereafter | 400,169 | ||
ASC 815 fair value hedge and other basis adjustments | 1,576 | ||
Total | $ 1,664,179 | $ 1,609,579 | $ 1,441,030 |
Other Borrowings - Other Borrow
Other Borrowings - Other Borrowings (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Aug. 31, 2014 | |
Debt Instrument [Line Items] | ||||
Total other borrowings | $ 248,898 | $ 248,782 | $ 219,021 | |
Old National Bancorp [Member] | ||||
Debt Instrument [Line Items] | ||||
Other basis adjustments | (3,454) | (3,585) | ||
Old National Bank [Member] | ||||
Debt Instrument [Line Items] | ||||
Capital lease obligations | 5,358 | 5,389 | ||
Premium on subordinated debentures | 672 | 694 | ||
Senior Unsecured Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior unsecured notes (fixed rate 4.125%) maturing August 2024 | $ 175,000 | |||
Senior Unsecured Notes [Member] | Old National Bancorp [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior unsecured notes (fixed rate 4.125%) maturing August 2024 | 175,000 | 175,000 | ||
Unamortized debt issuance costs related to senior unsecured notes | (988) | (1,026) | ||
Junior Subordinated Debt [Member] | Old National Bancorp [Member] | ||||
Debt Instrument [Line Items] | ||||
Junior subordinated debentures (variable rates of [2.89% to 5.06%]) maturing April 2032 to September 2037 | 60,310 | 60,310 | ||
5.75% Fixed Rate Subordinated Debentures [Member] | Old National Bank [Member] | ||||
Debt Instrument [Line Items] | ||||
Subordinated debentures (fixed rate 5.75%) | $ 12,000 | $ 12,000 |
Other Borrowings - Other Bor102
Other Borrowings - Other Borrowings (Parenthetical) (Detail) | 3 Months Ended | |
Mar. 31, 2018 | Aug. 31, 2014 | |
Senior Unsecured Notes [Member] | ||
Debt Instrument [Line Items] | ||
Fixed rates | 4.125% | |
Maturity Date | Aug. 15, 2024 | |
Old National Bank [Member] | 5.75% Fixed Rate Subordinated Debentures [Member] | ||
Debt Instrument [Line Items] | ||
Fixed rates | 5.75% | |
Old National Bancorp [Member] | Senior Unsecured Notes [Member] | ||
Debt Instrument [Line Items] | ||
Fixed rates | 4.125% | |
Maturity Date | Aug. 15, 2024 | |
Old National Bancorp [Member] | Trust Preferred Securities [Member] | Junior Subordinated Debt [Member] | ||
Debt Instrument [Line Items] | ||
Maturity, Start date | Apr. 30, 2032 | |
Maturity, End date | Sep. 30, 2037 | |
Old National Bancorp [Member] | Trust Preferred Securities [Member] | Junior Subordinated Debt [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Variable rates | 3.30% | |
Old National Bancorp [Member] | Trust Preferred Securities [Member] | Junior Subordinated Debt [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Variable rates | 5.29% |
Other Borrowings - Contractual
Other Borrowings - Contractual Maturities of Other Borrowings (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |||
Due in 2018 | $ 96 | ||
Due in 2019 | 137 | ||
Due in 2020 | 147 | ||
Due in 2021 | 160 | ||
Due in 2022 | 172 | ||
Thereafter | 251,956 | ||
Unamortized debt issuance costs and other basis adjustments | (3,770) | ||
Total | $ 248,898 | $ 248,782 | $ 219,021 |
Other Borrowings - Additional I
Other Borrowings - Additional Information (Detail) $ in Millions | Nov. 01, 2017USD ($) | May 01, 2016 | Jan. 01, 2004Item | Mar. 31, 2018 | Aug. 31, 2014USD ($) |
Debt Instrument [Line Items] | |||||
Long-term capital lease obligation period, in years | 25 years | ||||
Long-term capital lease obligation renewal period, in years | 10 years | ||||
Number of renewal option for 10 years period | Item | 1 | ||||
Anchor Bank (MN) [Member] | |||||
Debt Instrument [Line Items] | |||||
Remaining base term of lease | 5 years | ||||
Renewal option available for lease in years | 10 years | ||||
Capital lease obligation | $ 1.5 | ||||
AnchorBank WI [Member] | |||||
Debt Instrument [Line Items] | |||||
Capital lease obligation period | 5 years | ||||
Senior Unsecured Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured notes | $ 175 | ||||
Fixed rates | 4.125% | ||||
Maturity Date | Aug. 15, 2024 | ||||
Subordinated Debentures [Member] | Anchor Bank (MN) [Member] | Subordinated Fixed-To-Floating Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Fixed rates | 5.75% | ||||
Maturity Date | Oct. 30, 2025 | ||||
Value of subordinated fixed-to-floating notes assumed | $ 12 | ||||
Subordinated debentures, maturity date | Oct. 29, 2020 | ||||
Description of LIBOR Rate | Three-month LIBOR rate plus 435.6 basis points | ||||
LIBOR rate | 4.356% | ||||
Debt instrument start date | Oct. 30, 2020 |
Other Borrowings - Summary of T
Other Borrowings - Summary of Terms of Outstanding Junior Subordinated Debentures (Detail) - Trust Preferred Securities [Member] - Junior Subordinated Debt [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 60,310 |
VFSC Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Apr. 30, 2002 |
Issuance Amount | $ 3,093 |
Description of LIBOR Rate | 3-month LIBOR plus 3.70% |
Rate | 5.06% |
Maturity Date | Apr. 22, 2032 |
VFSC Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Oct. 31, 2002 |
Issuance Amount | $ 4,124 |
Description of LIBOR Rate | 3-month LIBOR plus 3.45% |
Rate | 5.29% |
Maturity Date | Nov. 7, 2032 |
VFSC Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Apr. 30, 2004 |
Issuance Amount | $ 3,093 |
Description of LIBOR Rate | 3-month LIBOR plus 2.80% |
Rate | 4.81% |
Maturity Date | Sep. 8, 2034 |
St Joseph Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Mar. 31, 2005 |
Issuance Amount | $ 5,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.75% |
Rate | 3.93% |
Maturity Date | Mar. 20, 2035 |
Anchor Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Aug. 31, 2005 |
Issuance Amount | $ 5,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.55% |
Rate | 3.86% |
Maturity Date | Aug. 23, 2035 |
Tower Capital Trust 2 [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Dec. 31, 2005 |
Issuance Amount | $ 8,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.34% |
Rate | 3.65% |
Maturity Date | Dec. 4, 2035 |
Home Federal Statutory Trust I [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Sep. 30, 2006 |
Issuance Amount | $ 15,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.65% |
Rate | 3.77% |
Maturity Date | Sep. 15, 2036 |
Monroe Bancorp Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Jul. 31, 2006 |
Issuance Amount | $ 3,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.60% |
Rate | 3.30% |
Maturity Date | Oct. 7, 2036 |
Monroe Bancorp Statutory Trust II [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Mar. 31, 2007 |
Issuance Amount | $ 5,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.60% |
Rate | 3.72% |
Maturity Date | Jun. 15, 2037 |
Tower Capital Trust 3 [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Dec. 31, 2006 |
Issuance Amount | $ 9,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.69% |
Rate | 3.70% |
Maturity Date | Sep. 15, 2037 |
Other Borrowings - Summary o106
Other Borrowings - Summary of Terms of Outstanding Junior Subordinated Debentures (Parenthetical) (Detail) - Trust Preferred Securities [Member] - Junior Subordinated Debt [Member] - London Interbank Offered Rate (LIBOR) [Member] | 3 Months Ended |
Mar. 31, 2018 | |
VFSC Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 3.70% |
VFSC Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 3.45% |
VFSC Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 2.80% |
St Joseph Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.75% |
Anchor Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.55% |
Tower Capital Trust 2 [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.34% |
Home Federal Statutory Trust I [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.65% |
Monroe Bancorp Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.60% |
Monroe Bancorp Statutory Trust II [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.60% |
Tower Capital Trust 3 [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.69% |
Other Borrowings - Future Minim
Other Borrowings - Future Minimum Lease Payments under Capital Lease Arrangements (Detail) $ in Thousands | Mar. 31, 2018USD ($) |
Debt Disclosure [Abstract] | |
2,018 | $ 426 |
2,019 | 589 |
2,020 | 589 |
2,021 | 589 |
2,022 | 589 |
Thereafter | 9,275 |
Total minimum lease payments | 12,057 |
Less amounts representing interest | (6,699) |
Present value of net minimum lease payments | $ 5,358 |
Accumulated Other Comprehens108
Accumulated Other Comprehensive Income (Loss) - Schedule of AOCI (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | $ 2,154,397 | $ 1,814,417 |
Other comprehensive income (loss) before reclassifications | (914) | 10,327 |
Amounts reclassified from AOCI to income | 463 | 480 |
Amount reclassified from AOCI to retained earnings for cumulative effect of change in accounting principle | (52) | |
Ending Balance | 2,179,118 | 1,846,359 |
Unrealized Gains and Losses on Available-for-Sale Securities [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (35,557) | (39,012) |
Other comprehensive income (loss) before reclassifications | (8,872) | 9,967 |
Amounts reclassified from AOCI to income | (593) | (947) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (7,583) | |
Ending Balance | (52,605) | (29,992) |
Accumulated Unrealized Gains and Losses on Held-to-Maturity Securities [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (12,107) | (13,310) |
Other comprehensive income (loss) before reclassifications | 4,514 | |
Amounts reclassified from AOCI to income | 456 | 295 |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (2,600) | |
Ending Balance | (9,737) | (13,015) |
Gains and Losses on Cash Flow Hedges [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (2,337) | (6,715) |
Other comprehensive income (loss) before reclassifications | 3,444 | 360 |
Amounts reclassified from AOCI to income | 580 | 1,115 |
Amount reclassified from AOCI to retained earnings for cumulative effect of change in accounting principle | (52) | |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (509) | |
Ending Balance | 1,126 | (5,240) |
Defined Benefit Pension Plans [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (271) | (335) |
Amounts reclassified from AOCI to income | 20 | 17 |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (59) | |
Ending Balance | (310) | (318) |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (50,272) | (59,372) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (10,751) | |
Ending Balance | $ (61,526) | $ (48,565) |
Accumulated Other Comprehens109
Accumulated Other Comprehensive Income (Loss) - Reclassifications out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net securities gains | $ (788) | $ (1,500) |
Interest income (expense) | (128,572) | (105,801) |
Salaries and employee benefits | (51) | (27) |
Income tax (expense) benefit | 4,957 | 10,491 |
Net income | (47,983) | (35,992) |
Total reclassifications for Net income the period | (463) | (480) |
Unrealized Gains and Losses on Available-for-Sale Securities [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total reclassifications for Net income the period | 593 | 947 |
Accumulated Unrealized Gains and Losses on Held-to-Maturity Securities [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total reclassifications for Net income the period | (456) | (295) |
Gains and Losses on Cash Flow Hedges [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total reclassifications for Net income the period | (580) | (1,115) |
Defined Benefit Pension Plans [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total reclassifications for Net income the period | (20) | (17) |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Unrealized Gains and Losses on Available-for-Sale Securities [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net securities gains | 788 | 1,500 |
Income tax (expense) benefit | (195) | (553) |
Net income | 593 | 947 |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Unrealized Gains and Losses on Held-to-Maturity Securities [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Interest income (expense) | (591) | (449) |
Income tax (expense) benefit | 135 | 154 |
Net income | (456) | (295) |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Gains and Losses on Cash Flow Hedges [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Income tax (expense) benefit | 189 | 684 |
Net income | (580) | (1,115) |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Gains and Losses on Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Interest income (expense) | (769) | (1,799) |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Defined Benefit Pension Plans [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Salaries and employee benefits | (51) | (27) |
Income tax (expense) benefit | 31 | 10 |
Net income | $ (20) | $ (17) |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Retirement Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Plan assets | $ 0 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Remaining shares available for issuance | 4,600,000 | |
Restricted Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation expense | $ 7,300,000 | |
Shares granted during period | 288,000 | |
Share-based compensation awards, vesting period | 36 months | |
Expected weighted-average period for cost recognition (in years) | 2 years 3 months 19 days | |
Stock-based compensation expense | $ 900,000 | $ 400,000 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation expense | $ 4,500,000 | |
Shares granted during period | 73,000 | |
Share-based compensation awards, vesting period | 36 months | |
Expected weighted-average period for cost recognition (in years) | 2 years 1 month 6 days | |
Stock-based compensation expense | $ 500,000 | 400,000 |
Stock Appreciation Rights (SARs) [Member] | Old National Bancorp [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock appreciation rights, Outstanding | 62,000 | |
Incremental expense associated with conversion of stock appreciation rights | $ 0 | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 0 | $ 0 |
Income Taxes - Summary of Diffe
Income Taxes - Summary of Differences in Taxes from Continuing Operations Computed at Statutory Rate (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Provision at statutory rate | $ 11,117 | $ 16,269 |
Tax-exempt interest | (2,191) | (3,702) |
Section 291/265 interest disallowance | 62 | 57 |
Company-owned life insurance income | (547) | (752) |
Tax-exempt income | (2,676) | (4,397) |
State income taxes | 1,188 | 851 |
Interim period effective rate adjustment | 92 | (455) |
Tax credit investments - federal | (5,769) | (1,876) |
Other, net | 1,005 | 99 |
Income tax expense | $ 4,957 | $ 10,491 |
Effective tax rate | 9.40% | 22.60% |
Statutory rate | 21.00% | 35.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Income Taxes [Line Items] | |||
Estimated revaluation of deferred tax assets | $ 39,300,000 | ||
Statutory rate | 21.00% | 35.00% | |
Unrecognized tax benefits, if recognized, would favorably affect the effective tax rate | $ 900,000 | ||
Decrease in unrecognized tax benefits | 300,000 | ||
Bad debt reserves, created for tax purposes | 52,800,000 | ||
Unrecognized deferred income tax liability | 13,000,000 | ||
Valuation allowance recorded | 0 | 0 | |
Operating loss carryforwards, federal | 104,500,000 | 130,700,000 | |
AMT credit carryforwards | 25,100,000 | 25,100,000 | |
Federal tax credits | 11,089,000 | 5,516,000 | |
Operating loss carryforwards, state | 191,200,000 | 203,600,000 | |
AMT carryforwards | 2,545,000 | 25,084,000 | |
State [Member] | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 1,300,000 | $ 1,300,000 | |
Internal Revenue Code Section One Zero Three One [Member] | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards reclassified to current tax asset | 22,600,000 | ||
AMT carryforwards | $ 2,500,000 | ||
Minimum [Member] | State Net Operating Loss [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards, expiration date | 2,024 | ||
Minimum [Member] | Federal Net Operating Loss [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards, expiration date | 2,025 | ||
Minimum [Member] | Federal Tax Credits [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards, expiration date | 2,028 | ||
Maximum [Member] | State Net Operating Loss [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards, expiration date | 2,033 | ||
Maximum [Member] | Federal Net Operating Loss [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards, expiration date | 2,038 | ||
Maximum [Member] | Federal Tax Credits [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards, expiration date | 2,033 | ||
AnchorBank WI [Member] | |||
Income Taxes [Line Items] | |||
Bad debt reserves, created for tax purposes | $ 50,900,000 | ||
Lafayette Savings Bank [Member] | |||
Income Taxes [Line Items] | |||
Bad debt reserves, created for tax purposes | $ 1,900,000 |
Income Taxes - Summary of Recon
Income Taxes - Summary of Reconciliation of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Balance at beginning of period | $ 874 | $ 777 |
Additions based on tax positions related to the current year | 39 | 32 |
Balance at end of period | $ 913 | $ 809 |
Income Taxes - Schedule of Sign
Income Taxes - Schedule of Significant Components of Net Deferred Tax Assets (Liabilities) (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Deferred Tax Assets | ||
Allowance for loan losses, net of recapture | $ 13,062 | $ 12,958 |
Benefit plan accruals | 11,173 | 11,080 |
Alternative minimum tax credit | 2,545 | 25,084 |
Unrealized losses on benefit plans | 101 | 108 |
Net operating loss carryforwards | 33,463 | 39,631 |
Federal tax credits | 11,089 | 5,516 |
Other-than-temporary impairment | 36 | 1,424 |
Deferred gain on securities | 2,118 | |
Acquired loans | 27,207 | 29,669 |
Lease exit obligation | 1,270 | 1,337 |
Unrealized losses on available-for-sale investment securities | 16,661 | 14,011 |
Unrealized losses on held-to-maturity investment securities | 2,865 | 3,630 |
Unrealized losses on hedges | 923 | |
Other real estate owned | 379 | 369 |
Other, net | 3,214 | 829 |
Total deferred tax assets | 125,183 | 146,569 |
Deferred Tax Liabilities | ||
Accretion on investment securities | (499) | (493) |
Purchase accounting | (16,314) | (16,718) |
Loan servicing rights | (5,989) | (6,058) |
Premises and equipment | (9,277) | (10,052) |
Prepaid expenses | (1,277) | (1,277) |
Tax credit investments | (1,036) | (168) |
Unrealized gains on hedges | (367) | |
Other, net | (1,651) | (946) |
Total deferred tax liabilities | (36,410) | (35,712) |
Net deferred tax assets | $ 88,773 | $ 110,857 |
Derivative Financial Instrum116
Derivative Financial Instruments - Additional Information (Detail) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Derivative [Line Items] | |||
Notional amount | $ 758,500,000 | $ 708,500,000 | |
Percentage of periodic changes in fair value qualifies for hedge accounting treatment | 100.00% | ||
Reclassified interest income (expense) | $ 128,572,000 | $ 105,801,000 | |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Interest Income [Member] | |||
Derivative [Line Items] | |||
Reclassified interest income (expense) | 2,000,000 | ||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Interest Expense [Member] | |||
Derivative [Line Items] | |||
Reclassified interest income (expense) | 1,300,000 | ||
Fixed Interest Swap [Member] | |||
Derivative [Line Items] | |||
Notional amount | 133,500,000 | 33,500,000 | |
Variable Interest Rate Swap [Member] | |||
Derivative [Line Items] | |||
Notional amount | 625,000,000 | 675,000,000 | |
Interest Rate Lock Commitments [Member] | |||
Derivative [Line Items] | |||
Notional amount | 61,000,000 | 29,900,000 | |
Forward Commitments [Member] | |||
Derivative [Line Items] | |||
Notional amount | 68,300,000 | 41,200,000 | |
Customer Derivative Instrument [Member] | |||
Derivative [Line Items] | |||
Notional amount | 839,300,000 | 826,600,000 | |
Offsetting Counter Party Derivative Instrument [Member] | |||
Derivative [Line Items] | |||
Notional amount | 839,300,000 | 826,600,000 | |
Offsetting Counter Party Derivative Instrument [Member] | Foreign Currency Contracts [Member] | |||
Derivative [Line Items] | |||
Notional amount | 1,200,000 | 800,000 | |
Foreign Currency Forward Contract [Member] | Foreign Currency Contracts [Member] | |||
Derivative [Line Items] | |||
Notional amount | $ 1,200,000 | $ 800,000 |
Derivative Financial Instrum117
Derivative Financial Instruments - Summary of Fair Value of Derivative Financial Instruments (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Total derivative assets | $ 14,321 | $ 14,118 |
Total derivative liabilities | 19,730 | 16,292 |
Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 4,720 | 3,351 |
Total derivative liabilities | 3,382 | 5,351 |
Designated as Hedging Instrument [Member] | Interest Rate Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 4,720 | 3,351 |
Total derivative liabilities | 3,382 | 5,351 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 9,601 | 10,767 |
Total derivative liabilities | 16,348 | 10,941 |
Not Designated as Hedging Instrument [Member] | Interest Rate Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 8,113 | 10,012 |
Total derivative liabilities | 16,256 | 10,933 |
Not Designated as Hedging Instrument [Member] | Mortgage Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 1,475 | 747 |
Total derivative liabilities | 90 | |
Not Designated as Hedging Instrument [Member] | Foreign Currency Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 13 | 8 |
Total derivative liabilities | $ 2 | $ 8 |
Derivative Financial Instrum118
Derivative Financial Instruments - Schedule of Effect of Derivative Instruments on the Consolidated Statements of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | $ 655 | $ (1,484) |
Foreign Currency Contracts [Member] | Other Income / (Expense) [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | 17 | |
Fixed Rate Debt [Member] | Interest Income / (Expense) [Member] | Fair Value Hedging [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income on Related Hedged Items | 722 | 290 |
Interest Rate Contracts [Member] | Interest Income / (Expense) [Member] | Fair Value Hedging [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | (720) | (254) |
Interest Rate Contracts [Member] | Interest Income / (Expense) [Member] | Cash Flow Hedging [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) Recognized in Other Comprehensive Income on Derivative (Effective Portion) | 4,563 | 580 |
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (769) | (1,799) |
Interest Rate Contracts [Member] | Other Income / (Expense) [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | 10 | |
Mortgage Contracts [Member] | Mortgage Banking Revenue [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | $ 638 | $ (1,494) |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Loan commitments | $ 3,181 | $ 3,144 |
Fixed rate loan commitment | 2,945 | |
Floating rate loan commitment | 236 | |
Standby letters of credit | $ 71.9 | 68.7 |
Loan commitments floating rate, minimum | 0.00% | |
Loan commitments floating rate, maximum | 25.00% | |
Allowance for unfunded loan commitments | $ 3.4 | 3.1 |
Extended credit | 12.3 | 12.4 |
Credit extensions with collateral | $ 11.5 | $ 11.5 |
Financial Guarantees - Addition
Financial Guarantees - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Financial Guarantees [Line Items] | ||
Term of standby letters of credit, years | 1 year | |
Notional amount of standby letters of credit | $ 71,900,000 | $ 68,700,000 |
Carrying value of letters of credit | 400,000 | 400,000 |
Notional amount | 758,500,000 | $ 708,500,000 |
Interest Rate Swap [Member] | ||
Financial Guarantees [Line Items] | ||
Notional amount | $ 17,300,000 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2018Segment | |
Community Banking Segment [Member] | |
Segment Reporting Information [Line Items] | |
Number of reportable operating segment | 1 |
Fair Value - Schedule of Fair V
Fair Value - Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Trading securities | $ 5,569 | $ 5,584 | $ 5,083 |
Investment securities available-for-sale | 3,219,863 | 3,196,207 | $ 2,816,943 |
Derivative assets | 14,321 | 14,118 | |
Derivative liabilities | 19,730 | 16,292 | |
U.S. Treasury [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 9,295 | 5,551 | |
U.S. Government-Sponsored Entities and Agencies [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 572,689 | 664,286 | |
Mortgage-Backed Securities - Agency [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 1,477,896 | 1,667,682 | |
States and Political Subdivisions [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 843,488 | 530,193 | |
Pooled Trust Preferred Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 8,195 | 8,448 | |
Other Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 308,300 | 320,047 | |
Estimate of Fair Value Measurement [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Trading securities | 5,569 | 5,584 | |
Estimate of Fair Value Measurement [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Residential loans held for sale | 17,635 | 17,930 | |
Derivative assets | 14,321 | 14,118 | |
Derivative liabilities | 19,730 | 16,292 | |
Estimate of Fair Value Measurement [Member] | U.S. Treasury [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 9,295 | 5,551 | |
Estimate of Fair Value Measurement [Member] | U.S. Government-Sponsored Entities and Agencies [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 572,689 | 664,286 | |
Estimate of Fair Value Measurement [Member] | Mortgage-Backed Securities - Agency [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 1,477,896 | 1,667,682 | |
Estimate of Fair Value Measurement [Member] | States and Political Subdivisions [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 839,427 | 530,193 | |
Estimate of Fair Value Measurement [Member] | States and Political Subdivisions [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 4,061 | ||
Estimate of Fair Value Measurement [Member] | Pooled Trust Preferred Securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 8,195 | 8,448 | |
Estimate of Fair Value Measurement [Member] | Other Securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 30,435 | 30,965 | |
Estimate of Fair Value Measurement [Member] | Other Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 277,865 | 289,082 | |
Carrying Value [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Trading securities | 5,569 | 5,584 | |
Residential loans held for sale | 17,635 | 17,930 | |
Derivative assets | 14,321 | 14,118 | |
Derivative liabilities | 19,730 | 16,292 | |
Carrying Value [Member] | U.S. Treasury [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 9,295 | 5,551 | |
Carrying Value [Member] | U.S. Government-Sponsored Entities and Agencies [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 572,689 | 664,286 | |
Carrying Value [Member] | Mortgage-Backed Securities - Agency [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 1,477,896 | 1,667,682 | |
Carrying Value [Member] | States and Political Subdivisions [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 843,488 | 530,193 | |
Carrying Value [Member] | Pooled Trust Preferred Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 8,195 | 8,448 | |
Carrying Value [Member] | Other Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | $ 308,300 | $ 320,047 |
Fair Value - Reconciliation of
Fair Value - Reconciliation of All Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) - Significant Unobservable Inputs (Level 3) [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Pooled Trust Preferred Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Balance at beginning of period | $ 8,448 | $ 8,119 |
Accretion of discount | 5 | 4 |
Sales/payments received | (288) | (163) |
Increase (decrease) in fair value of securities | 30 | 328 |
Balance at end of period | 8,195 | $ 8,288 |
States and Political Subdivisions [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Transfers into Level 3 | 4,061 | |
Balance at end of period | $ 4,061 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Net carrying amount other real estate owned and other repossessed property | $ 900 | $ 1,800 | ||
Other real estate owned property write-downs | 300 | $ 800 | ||
Valuation allowance for loan servicing rights with impairments | 20 | 50 | 29 | $ 68 |
(Additions)/recoveries on loan servicing rights | $ (9) | (18) | ||
Past due period of mortgage loans held for sale, days | 90 days | |||
Interest income for residential loans held for sale | $ 22 | 28 | ||
Impaired Commercial and Commercial Real Estate Loans [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Principal amount of impaired commercial and commercial real estate loans | 27,200 | 38,600 | ||
Valuation allowance | 9,400 | $ 10,100 | ||
Provision for loan losses expensed | 0 | $ 1,100 | ||
Recapture of provision loan | 1,600 | |||
States and Political Subdivisions [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Pooled trust preferred securities | 4,061 | |||
States and Political Subdivisions [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Pooled trust preferred securities | $ 4,100 |
Fair Value - Quantitative Infor
Fair Value - Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 13.00% | 13.00% |
Commercial Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 2,453 | $ 2,217 |
Valuation Techniques | Fair value of collateral | Fair value of collateral |
Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 15,267 | $ 26,319 |
Valuation Techniques | Fair value of collateral | Fair value of collateral |
Minimum [Member] | Commercial Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 25.00% | 0.00% |
Minimum [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 0.00% | 10.00% |
Maximum [Member] | Commercial Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 35.00% | 98.00% |
Maximum [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 20.00% | 78.00% |
Weighted Average [Member] | Commercial Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 30.00% | 49.00% |
Weighted Average [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 10.00% | 32.00% |
Pooled Trust Preferred Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 8,195 | $ 8,448 |
Valuation Techniques | Discounted cash flow | Discounted cash flow |
Pooled Trust Preferred Securities [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Additional asset defaults | 3.40% | 4.20% |
Expected asset recoveries | 0.00% | 0.00% |
Pooled Trust Preferred Securities [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Additional asset defaults | 4.30% | 9.60% |
Expected asset recoveries | 4.10% | |
Pooled Trust Preferred Securities [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Additional asset defaults | 4.00% | 7.50% |
Expected asset recoveries | 0.60% | |
States and Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 4,061 | |
Valuation Techniques | Discounted cash flow | |
Commercial Real Estate Foreclosed Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 671 | $ 1,726 |
Valuation Techniques | Fair value of collateral | Fair value of collateral |
Commercial Real Estate Foreclosed Assets [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 14.00% | 7.00% |
Commercial Real Estate Foreclosed Assets [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 43.00% | 25.00% |
Commercial Real Estate Foreclosed Assets [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 25.00% | 18.00% |
Residential Foreclosed Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 228 | $ 55 |
Valuation Techniques | Fair value of collateral | Fair value of collateral |
Discount for type of property, age of appraisal and current status | 39.00% | |
Residential Foreclosed Assets [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 18.00% | |
Residential Foreclosed Assets [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 19.00% | |
Residential Foreclosed Assets [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 18.00% |
Fair Value - Quantitative In126
Fair Value - Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements (Parenthetical) (Detail) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation defaults | 100.00% | 100.00% |
Percentage of adjusted specific issuer evaluation recoveries | 100.00% | 100.00% |
Discount for type of property, age of appraisal and current status | 13.00% | 13.00% |
Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation defaults | 0.00% | 0.00% |
Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation defaults | 50.00% | 50.00% |
Commercial Loan [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 25.00% | 0.00% |
Commercial Loan [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 35.00% | 98.00% |
Commercial Loan [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 30.00% | 49.00% |
Commercial Real Estate [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 0.00% | 10.00% |
Commercial Real Estate [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 20.00% | 78.00% |
Commercial Real Estate [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 10.00% | 32.00% |
Pooled Trust Preferred Securities [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation recoveries | 0.00% | 0.00% |
Pooled Trust Preferred Securities [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation recoveries | 25.00% | 25.00% |
Commercial Real Estate Foreclosed Assets [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 14.00% | 7.00% |
Commercial Real Estate Foreclosed Assets [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 43.00% | 25.00% |
Commercial Real Estate Foreclosed Assets [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount for type of property, age of appraisal and current status | 25.00% | 18.00% |
Fair Value - Assets Measured at
Fair Value - Assets Measured at Fair Value on a Non-Recurring Basis (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Commercial Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 2,453 | $ 2,217 |
Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 15,267 | 26,319 |
Commercial Real Estate Foreclosed Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 671 | 1,726 |
Residential Foreclosed Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 228 | 55 |
Loan Servicing Rights [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 187 | 2,964 |
Significant Other Observable Inputs (Level 2) [Member] | Loan Servicing Rights [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 187 | 2,964 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 2,453 | 2,217 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 15,267 | 26,319 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate Foreclosed Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 671 | 1,726 |
Significant Unobservable Inputs (Level 3) [Member] | Residential Foreclosed Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 228 | $ 55 |
Fair Value - Schedule of Differ
Fair Value - Schedule of Difference between the Aggregate Fair Value and the Aggregate Remaining Principal Balance (Detail) - Residential Loans Held for Sale [Member] - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Fair Value, Estimate Not Practicable, Financial Statement Captions [Line Items] | ||
Aggregate Fair Value | $ 17,635 | $ 17,930 |
Difference | 577 | 546 |
Contractual Principal | $ 17,058 | $ 17,384 |
Fair Value - Changes in Fair Va
Fair Value - Changes in Fair Value for Items Measured at Fair Value Pursuant to Election of the Fair Value (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Interest Income | $ 128,572 | $ 105,801 |
Interest (Expense) | (19,134) | (12,667) |
Residential Loans Held for Sale [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Other Gains and (Losses) | 35 | 418 |
Interest Income | 1 | |
Interest (Expense) | (4) | |
Total Changes in Fair Values Included in Current Period Earnings | $ 31 | $ 419 |
Fair Value - Carrying Amounts a
Fair Value - Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Carried at Fair Value (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash, due from banks, money market, and other interest-earning investments | $ 278,241 | $ 290,432 | $ 217,035 | $ 255,519 |
Investment securities - held-to-maturity | 535,153 | 684,063 | 741,448 | |
Federal Home Loan Bank/Federal Reserve Bank stock | 136,206 | 119,686 | 107,501 | |
Commercial | 2,811,629 | 2,717,269 | 1,910,536 | |
Commercial real estate | 4,449,980 | 4,354,552 | 3,222,865 | |
Residential real estate | 2,158,532 | 2,167,053 | 2,112,262 | |
Consumer credit | 1,818,541 | 1,879,247 | 1,886,110 | |
Accrued interest receivable | 81,621 | 87,102 | 76,674 | |
Noninterest-bearing demand deposits | 3,655,732 | 3,680,807 | 3,024,111 | |
Time deposits | 1,775,731 | 1,634,436 | 1,466,718 | |
Federal funds purchased and interbank borrowings | 150,026 | 335,033 | 61,016 | |
Securities sold under agreements to repurchase | 308,189 | 384,810 | $ 345,550 | |
Other borrowings | 1,664,179 | 1,609,579 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash, due from banks, money market, and other interest-earning investments | 278,241 | 290,432 | ||
Accrued interest receivable | 74 | 16 | ||
Noninterest-bearing demand deposits | 3,655,732 | 3,680,807 | ||
NOW, savings, and money market deposits | 7,357,137 | 7,290,521 | ||
Federal funds purchased and interbank borrowings | 150,026 | 335,033 | ||
Securities sold under agreements to repurchase | 308,189 | 359,810 | ||
Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Accrued interest receivable | 20,502 | 24,001 | ||
Time deposits | 1,771,277 | 1,620,685 | ||
Securities sold under agreements to repurchase | 25,133 | |||
Other borrowings | 251,538 | 250,443 | ||
Accrued interest payable | 5,388 | 7,029 | ||
Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Commercial | 2,727,325 | 2,707,385 | ||
Commercial real estate | 4,313,955 | 4,347,949 | ||
Residential real estate | 2,135,119 | 2,210,951 | ||
Consumer credit | 1,777,935 | 1,998,194 | ||
Accrued interest receivable | 61,045 | 63,085 | ||
FHLB advances | 1,658,911 | 1,607,189 | ||
Standby letters of credit | 408 | 351 | ||
Commitments to extend credit | 3,225 | 2,449 | ||
US Government Agencies Debt Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 71,444 | |||
Mortgage-Backed Securities - Agency [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 145,658 | 6,903 | ||
Mortgage-Backed Securities - Agency [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 142,767 | 7,056 | ||
States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 316,126 | 677,160 | ||
States and Political Subdivisions [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 321,932 | 720,647 | ||
Carrying Value [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash, due from banks, money market, and other interest-earning investments | 278,241 | 290,432 | ||
Federal Home Loan Bank/Federal Reserve Bank stock | 136,206 | 119,686 | ||
Commercial | 2,792,038 | 2,698,023 | ||
Commercial real estate | 4,429,184 | 4,333,116 | ||
Residential real estate | 2,156,769 | 2,165,290 | ||
Consumer credit | 1,810,310 | 1,871,311 | ||
Accrued interest receivable | 81,621 | 87,102 | ||
Noninterest-bearing demand deposits | 3,655,732 | 3,680,807 | ||
NOW, savings, and money market deposits | 7,357,137 | 7,290,521 | ||
Time deposits | 1,775,731 | 1,634,436 | ||
Federal funds purchased and interbank borrowings | 150,026 | 335,033 | ||
Securities sold under agreements to repurchase | 308,189 | 384,810 | ||
FHLB advances | 1,664,179 | 1,609,579 | ||
Other borrowings | 248,898 | 248,782 | ||
Accrued interest payable | 5,388 | 7,029 | ||
Standby letters of credit | 408 | 351 | ||
Carrying Value [Member] | US Government Agencies Debt Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 73,369 | |||
Carrying Value [Member] | Mortgage-Backed Securities - Agency [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | 145,658 | 6,903 | ||
Carrying Value [Member] | States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities - held-to-maturity | $ 316,126 | $ 677,160 |