Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Nov. 09, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | ConnectOne Bancorp, Inc. | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 30,084,744 | |
Amendment Flag | true | |
Amendment Description | Correct certain data in the notes to financial statements. | |
Entity Central Index Key | 712,771 | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Accelerated Filer | |
Entity Well-known Seasoned Issuer | No | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED STATEMENTS OF COND
CONSOLIDATED STATEMENTS OF CONDITION - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
ASSETS | ||
Cash and due from banks | $ 41,454 | $ 31,813 |
Interest-bearing deposits with banks | 84,029 | 95,034 |
Cash and cash equivalents | 125,483 | 126,847 |
Investment securities: | ||
Available-for-sale | 264,098 | 289,532 |
Held-to-maturity (fair value of $237,205 and $231,445) | 232,557 | 224,682 |
Loans held for sale | 124 | |
Loans receivable | 2,765,288 | 2,538,641 |
Less: Allowance for loan and lease losses | 17,480 | 14,160 |
Net loans receivable | 2,747,808 | 2,524,481 |
Investment in restricted stock, at cost | 27,078 | 23,535 |
Bank premises and equipment, net | 21,252 | 20,653 |
Accrued interest receivable | 12,055 | 11,700 |
Bank-owned life insurance | 53,293 | 52,518 |
Other real estate owned | 1,564 | 1,108 |
Goodwill | 145,909 | 145,909 |
Core deposit intangibles | 4,343 | 4,825 |
Other assets | 24,493 | 22,782 |
Total assets | 3,660,057 | 3,448,572 |
Deposits: | ||
Noninterest-bearing | 558,388 | 492,515 |
Interest-bearing | 2,010,843 | 1,983,092 |
Total deposits | 2,569,231 | 2,475,607 |
Borrowings | 548,758 | 495,553 |
Subordinated debentures | 55,155 | 5,155 |
Other liabilities | 22,931 | 26,038 |
Total liabilities | $ 3,196,075 | $ 3,002,353 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS’ EQUITY | ||
Preferred stock, $1,000 liquidation value per share, authorized 5,000,000 shares; issued and outstanding 11,250 shares of Series B preferred stock at June 30, 2015 and December 31, 2014; total liquidation value of $11,250 at June 30, 2015 and December 31, 2014 | $ 11,250 | $ 11,250 |
Common stock, no par value, authorized 50,000,000 shares; issued 32,260,653 shares at June 30, 2015 and 31,758,828 at December 31, 2014; outstanding 30,196,731 shares at June 30, 2015 and 29,694,906 at December 31, 2014 | 374,287 | 374,287 |
Additional paid-in capital | 8,120 | 6,015 |
Retained earnings | 88,772 | 72,398 |
Treasury stock, at cost (2,063,922 common shares at June 30, 2015 and December 31, 2014) | (16,717) | (16,717) |
Accumulated other comprehensive loss | (1,730) | (1,014) |
Total stockholders’ equity | 463,982 | 446,219 |
Total liabilities and stockholders’ equity | $ 3,660,057 | $ 3,448,572 |
CONSOLIDATED STATEMENTS OF CON3
CONSOLIDATED STATEMENTS OF CONDITION (Parentheticals) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Held-to-maturity, fair value (in Dollars) | $ 237,205 | $ 231,445 |
Preferred stock, liquidation value (in Dollars per share) | $ 1,000 | $ 1,000 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred Stock, total liquidation value (in Dollars) | $ 11,250 | $ 11,250 |
Common stock, par value (in Dollars per share) | ||
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 32,260,653 | 31,758,828 |
Common stock, shares outstanding | 30,196,731 | 29,694,906 |
Treasury Stock, Shares | 2,063,922 | 2,063,922 |
Series B Preferred Stock [Member] | ||
Preferred stock, shares issued | 11,250 | 11,250 |
Preferred stock, shares outstanding | 11,250 | 11,250 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Interest income | ||||
Interest and fees on loans | $ 30,217 | $ 10,461 | $ 59,531 | $ 20,572 |
Interest and dividends on investment securities: | ||||
Taxable | 2,760 | 2,909 | 5,671 | 5,925 |
Tax-exempt | 883 | 895 | 1,765 | 1,951 |
Dividends | 280 | 136 | 500 | 290 |
Interest on federal funds sold and other short-term investments | 41 | 84 | ||
Total interest income | 34,181 | 14,401 | 67,551 | 28,738 |
Interest expense | ||||
Deposits | 3,301 | 1,301 | 6,325 | 2,617 |
Borrowings | 2,202 | 1,432 | 4,256 | 2,843 |
Total interest expense | 5,503 | 2,733 | 10,581 | 5,460 |
Net interest income | 28,678 | 11,668 | 56,970 | 23,278 |
Provision for loan and lease losses | 1,550 | 284 | 3,375 | 909 |
Net interest income after provision for loan and lease losses | 27,128 | 11,384 | 53,595 | 22,369 |
Noninterest income | ||||
Annuities and insurance commissions | 46 | 105 | 133 | 205 |
Bank-owned life insurance | 388 | 256 | 774 | 511 |
Net gains on sale of loans held for sale | 99 | 43 | 213 | 79 |
Deposit, loan and other income | 458 | 746 | 921 | 1,461 |
Insurance recovery | 2,224 | 2,224 | ||
Net gains on sales of investment securities | 221 | 574 | 726 | 1,989 |
Total noninterest income | 3,436 | 1,724 | 4,991 | 4,245 |
Noninterest expenses | ||||
Salaries and employee benefits | 6,948 | 3,184 | 13,575 | 6,519 |
Occupancy and equipment | 1,788 | 816 | 3,869 | 1,896 |
FDIC insurance | 440 | 288 | 1,000 | 588 |
Professional and consulting | 715 | 306 | 1,209 | 561 |
Marketing and advertising | 193 | 27 | 387 | 67 |
Data processing | 829 | 373 | 1,729 | 718 |
Merger-related expenses | 729 | 1,789 | ||
Loss on extinguishment of debt | 2,397 | 2,397 | ||
Amortization of core deposit intangible | 241 | 483 | ||
Other expenses | 1,423 | 1,021 | 2,955 | 2,105 |
Total noninterest expenses | 14,974 | 6,744 | 27,604 | 14,240 |
Income before income tax expense | 15,590 | 6,364 | 30,982 | 12,374 |
Income tax expense | 5,069 | 1,986 | 10,081 | 3,598 |
Net income | 10,521 | 4,378 | 20,901 | 8,776 |
Less: Preferred stock dividends | 28 | 28 | 56 | 56 |
Net income available to common stockholders | $ 10,493 | $ 4,350 | $ 20,845 | $ 8,720 |
Earnings per common share: | ||||
Basic (in Dollars per share) | $ 0.35 | $ 0.27 | $ 0.70 | $ 0.53 |
Diluted (in Dollars per share) | $ 0.35 | $ 0.26 | $ 0.69 | $ 0.53 |
Weighted average common shares outstanding: | ||||
Basic (in Shares) | 29,868,247 | 16,372,885 | 29,812,521 | 16,361,596 |
Diluted (in Shares) | 30,231,480 | 16,430,376 | 30,203,682 | 16,422,339 |
Dividend per common share (in Dollars per share) | $ 0.075 | $ 0.075 | $ 0.15 | $ 0.15 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Net income | $ 10,521 | $ 4,378 | $ 20,901 | $ 8,776 |
Unrealized gains and losses on securities available-for-sale: | ||||
Unrealized holding (losses) gains on available-for-sale securities | (2,811) | 3,311 | (1,304) | 6,827 |
Tax effect | 1,119 | (1,276) | 524 | (2,466) |
Net of tax amount | (1,692) | 2,035 | (780) | 4,361 |
Reclassification adjustment for realized gains arising during this period | (221) | (574) | (726) | (1,989) |
Tax effect | 90 | 179 | 297 | 559 |
Net of tax amount | (131) | (395) | (429) | (1,430) |
Amortization of unrealized holding losses on securities transferred from available-for-sale to held-to-maturity | 63 | 54 | 128 | 99 |
Tax effect | (27) | (23) | (52) | (43) |
Net of tax amount | 36 | 31 | 76 | 56 |
Unrealized gains (losses) on cash flow hedges | 236 | (298) | ||
Tax effect | (96) | 122 | ||
Net of tax amount | 140 | (176) | ||
Pension plan: | ||||
Actuarial gains | 261 | 1,003 | 1,281 | |
Tax effect | (107) | (410) | (523) | |
Net of tax amount | 154 | 593 | 758 | |
Total other comprehensive (loss) income | (1,493) | 1,671 | (716) | 3,745 |
Total comprehensive income | $ 9,028 | $ 6,049 | $ 20,185 | $ 12,521 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | AOCI Attributable to Parent [Member] | Total |
Balance at Dec. 31, 2013 | $ 11,250 | $ 110,056 | $ 4,986 | $ 61,914 | $ (17,078) | $ (2,544) | $ 168,584 |
Net income | 18,565 | 18,565 | |||||
Other comprehensive income (loss), net of tax | 1,530 | 1,530 | |||||
Dividends on series B preferred stock | (112) | (112) | |||||
Issuance cost of common stock | (7) | (7) | |||||
Cash dividends declared on common stock | (7,962) | (7,962) | |||||
Exercise of stock options | 806 | 361 | 1,167 | ||||
Stock issued (13,221,152 shares) and options acquired (783,732 shares) in acquisition of Legacy ConnectOne | 264,231 | 264,231 | |||||
Stock-based compensation expense | 223 | 223 | |||||
Balance at Dec. 31, 2014 | $ 11,250 | $ 374,287 | 6,015 | 72,398 | (16,717) | (1,014) | 446,219 |
Net income | 20,901 | 20,901 | |||||
Other comprehensive income (loss), net of tax | $ (716) | (716) | |||||
Dividends on series B preferred stock | (56) | (56) | |||||
Cash dividends declared on common stock | $ (4,471) | (4,471) | |||||
Exercise of stock options | 1,379 | 1,379 | |||||
Restricted stock and performance units grants (162,491 shares) | |||||||
Stock-based compensation expense | 726 | 726 | |||||
Balance at Jun. 30, 2015 | $ 11,250 | $ 374,287 | $ 8,120 | $ 88,772 | $ (16,717) | $ (1,730) | $ 463,982 |
CONSOLIDATED STATEMENTS OF CHA7
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parentheticals) - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Cash dividends declared on common stock (in Dollars per share) | $ 0.15 | $ 0.300 |
Exercise of stock options, shares | 339,334 | 100,911 |
Stock issued in acquisition | 13,221,152 | |
Options acquired acquisition | 783,732 | |
Restricted stock and performance units grants, shares | 162,491 | |
Common Stock [Member] | ||
Stock issued in acquisition | 13,221,152 | |
Options acquired acquisition | 783,732 | |
Additional Paid-in Capital [Member] | ||
Exercise of stock options, shares | 339,334 | 100,911 |
Retained Earnings [Member] | ||
Cash dividends declared on common stock (in Dollars per share) | $ 0.15 | $ 0.300 |
Treasury Stock [Member] | ||
Exercise of stock options, shares | 339,334 | 100,911 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Cash flows from operating activities: | ||
Net income | $ 20,901 | $ 8,776 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of premiums and accretion of discounts on investment securities, net | 1,136 | 941 |
Depreciation and amortization | 1,616 | 428 |
Provision for loan losses | 3,375 | 909 |
Stock-based compensation | 726 | 34 |
Gains on sales of investment securities, net | (726) | (1,989) |
Net loss on sale of other real estate owned | 112 | |
Loans originated for resale | (13,602) | (2,821) |
Proceeds from sale of loans held for sale | 13,691 | 2,417 |
Gains on sale of loans held for sale | (213) | (79) |
(Increase) decrease in accrued interest receivable | (355) | 388 |
Increase in cash surrender value of bank-owned life insurance | (774) | (511) |
(Increase) decrease in other assets | (2,010) | 2,545 |
Decrease in other liabilities | (1,600) | (645) |
Net cash provided by operating activities | 22,277 | 10,393 |
Investment securities available-for-sale: | ||
Purchases | (10,909) | (10,487) |
Sales | 12,271 | 66,738 |
Maturities, calls and principal repayments | 22,074 | 14,486 |
Investment securities held-to-maturity: | ||
Purchases | (14,497) | (8,310) |
Maturities and principal repayments | 6,308 | 5,068 |
Net purchases of restricted investment in bank stocks | (3,543) | (2,303) |
Net increase in loans | (227,396) | (45,730) |
Purchases of premises and equipment | (1,733) | (747) |
Proceeds from sale of other real estate owned | 126 | |
Net cash (used in) provided by investing activities | (217,299) | 18,715 |
Cash flows from financing activities: | ||
Net increase (decrease) in deposits | 93,624 | (67,385) |
Increase in subordinated debt | 50,000 | |
Advances in FHLB borrowings | 500,000 | 50,000 |
Repayments of FHLB borrowings | (430,795) | |
Net decrease in repurchase agreements | (16,000) | |
Cash dividends on preferred stock | (56) | (56) |
Cash dividends paid on common stock | (4,494) | (2,456) |
Issuance cost of common stock | (7) | |
Tax benefit from options exercised | 241 | |
Proceeds from exercise of stock options | 1,379 | 480 |
Net cash provided (used in) by financing activities | 193,658 | (19,183) |
Net change in cash and cash equivalents | (1,364) | 9,925 |
Cash and cash equivalents at beginning of period | 126,847 | 82,692 |
Cash and cash equivalents at end of period | 125,483 | 992,617 |
Cash payments for: | ||
Interest paid on deposits and borrowings | 10,149 | 5,425 |
Income taxes | 12,545 | 2,553 |
Supplemental disclosures of non-cash investing activities: | ||
Transfer of loans to other real estate owned | 694 | |
Dividends declared, not paid | $ 23 | $ 1,063 |
Nature of Operations and Princi
Nature of Operations and Principles of Consolidation | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure Text Block [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1. Nature of Operations and Principles of Consolidation The consolidated financial statements of ConnectOne Bancorp, Inc. (the “Parent Corporation”) are prepared on an accrual basis and include the accounts of the Parent Corporation and its wholly-owned subsidiary, ConnectOne Bank (the “Bank” and, collectively with the Parent Corporation and the Parent Corporation’s other direct and indirect subsidiaries, the “Company”). All significant intercompany accounts and transactions have been eliminated from the accompanying consolidated financial statements. The Bank is a community-based, full-service New Jersey-chartered commercial bank that was founded in 2005. The Bank operates from its headquarters located at 301 Sylvan Avenue in the Borough of Englewood Cliffs, Bergen County, New Jersey and through its twenty-three other banking offices. Substantially all loans are secured by specific items of collateral including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from business operations. There are no significant concentrations of loans to any one industry or client. However, the clients’ ability to repay their loans is dependent on the cash flows, real estate and general economic conditions in the area. The following unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X, and, accordingly, do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. However, in the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2015, or for any other interim period. The Company’s 2014 Annual Report on Form 10-K, should be read in conjunction with these financial statements. In preparing the consolidated financial statements, management has made estimates and assumptions that affect the reported amounts of assets and liabilities as of the dates of the consolidated statements of condition and that affect the results of operations for the periods presented. Actual results could differ significantly from those estimates. The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”). Some items in the prior year financial statements were reclassified to conform to current presentation. Reclassifications had no effect on prior year net income for stockholders’ equity. Note 1a. Restatement In connection with the Company’s review of its loan portfolio in connection with the preparation of its Quarterly Report on Form 10-Q for the quarter ended September 30, 2015, the Company identified that approximately $75.4 million of loans secured by New York City taxi medallions which were modified during the second quarter of 2015 should have been classified as troubled debt restructurings (“TDRs”) at June 30, 2015. The Company originally determined that the loans secured by taxi medallions were not TDRs, and reported only $2.8 million in TDRs at June 30, 2015. No specific allowance for loan loss allocations were required for the loans newly classified as TDRs and the change in classification does not affect the Registrant’s reported results of operations for the three and six months ended June 30, 2015. The Company originally determined that $56.8 million of the loans were pass rated and has also modified disclosures related to $56.8 million of these loans that are deemed to be special mention as of June 30, 2015. The remaining $18.6 million of loans were originally classified as special mention at June 30, 2015. None of the modified loans involved a rate reduction or an extension of maturity. The modifications involved (i) changing the amortization schedule from 25 or 30 years to “interest-only” (ii) increasing the interest rate from approximately 3% - 3.25% to 3.75% while (iii) not revising the applicable maturity dates or forgiving any principal. All of the modified loans are fully performing in accordance with their modified terms, and there have been no missed payments regarding any of the modified loans. As a result of the forgoing changes, the Company has revised Note 6 to the financial statements. The financial information contained herein reflects the changes described above. |
Business Combinations
Business Combinations | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Note 2. Business Combinations On January 20, 2014, the Parent Corporation entered into an Agreement and Plan of Merger (the “Merger Agreement”) with ConnectOne Bancorp, Inc., a New Jersey Company (“Legacy ConnectOne”). Effective July 1, 2014 (the “Effective Time”), the Parent Corporation completed the merger contemplated by the Merger Agreement (the “Merger”) with Legacy ConnectOne. At closing, Legacy ConnectOne merged with and into the Parent Corporation, with the Parent Corporation as the surviving Company. Also at closing, the Parent Corporation changed its name from “Center Bancorp, Inc.” to “ConnectOne Bancorp, Inc.” and changed its NASDAQ trading symbol to “CNOB” from “CNBC.” Pursuant to the Merger Agreement, holders of Legacy ConnectOne common stock, no par value per share (the “Legacy ConnectOne Common Stock”), received 2.6 shares of common stock of the Parent Corporation, no par value per share (the “Company Common Stock”), for each share of Legacy ConnectOne Common Stock held immediately prior to the effective time of the Merger, with cash to be paid in lieu of fractional shares. Each outstanding share of Company Common Stock remained outstanding and was unaffected by the Merger. Each option granted by Legacy ConnectOne to purchase shares of Legacy ConnectOne Common Stock was converted into an option to purchase Company Common Stock on the same terms and conditions as were applicable prior to the Merger (taking into account any acceleration or vesting by reason of the consummation of the Merger and its related transactions), subject to adjustment of the exercise price and the number of shares of Company Common Stock issuable upon exercise of such option based on the 2.6 exchange ratio. Immediately following the Merger, Union Center National Bank, a bank organized pursuant to the laws of the United States, and a wholly owned subsidiary of the Parent Corporation (“UNCB”), merged (the “Bank Merger”) with and into ConnectOne Bank, a New Jersey state-chartered commercial bank and a wholly owned subsidiary of Legacy ConnectOne, with ConnectOne Bank as the surviving entity (the “Bank”). The Bank now conducts business only in the name of and under the brand of ConnectOne. The assets acquired and liabilities assumed have been accounted for under the acquisition method of accounting. The assets and liabilities, both tangible and intangible, were recorded at their fair values as of July 1, 2014 based on management’s best estimate using the information available as of the Merger date. The application of the acquisition method of accounting resulted in the recognition of goodwill of $129,105,000 and a core deposit intangible of $5,308,000. As of July 1, 2014, Legacy ConnectOne had assets with a carrying value of approximately $1.5 billion, including loans with a carrying value of approximately $1.2 billion, and deposits with a carrying value of approximately $1.1 billion. The table below summarizes the amounts recognized as of the Merger date for each major class of assets acquired and liabilities assumed, the estimated fair value adjustments and the amounts recorded in the Company’s financial statements at fair value at the Merger date (in thousands): Consideration paid through Parent Corporation common stock issued to Legacy ConnectOne shareholders and fair value of stock options acceleration was: $264,231 Legacy Fair value As recorded Cash and cash equivalents $ 70,318 $ — $ 70,318 Investment securities 28,436 16 (a) 28,452 Restricted stock 13,646 — 13,646 Loans held for sale 190 — 190 Loans 1,304,600 (5,316 ) (b) 1,299,284 Bank owned life insurance 15,481 — 15,481 Premises and equipment 7,380 (905 ) (c) 6,475 Accrued interest receivable 4,470 — 4,470 Core deposit and other intangibles — 5,308 (d) 5,308 Other real estate owned 2,455 — 2,455 Other assets 10,636 3,650 (e) 14,286 Deposits (1,049,666 ) (1,676 ) (f) (1,051,342 ) FHLB borrowings (262,046 ) (1,324 ) (g) (263,370 ) Other liabilities (10,527 ) — (10,527 ) Total identifiable net assets $ 135,373 $ (247 ) $ 135,126 Goodwill recorded in the Merger $ 129,105 The following provides an explanation of certain fair value adjustments presented in the above table: a) Represents the fair value adjustment on investment securities held to maturity. b) Represents the elimination of Legacy ConnectOne’s allowance for loan and lease losses, deferred fees, deferred costs and an adjustment of the amortized cost of loans to estimated fair value, which includes an interest rate mark and credit mark. c) Represent an adjustment to reflect the fair value of above-market rent on leased premises. The above-market rent adjustment will be amortized on a straight-line basis over the remaining term of the respective leases. d) Represents intangible assets recorded to reflect the fair value of core deposits. The core deposit asset was recorded as an identifiable intangible asset and will be amortized on an accelerated basis over the estimated average life of the deposit base. e) Consist primarily of adjustments in net deferred tax assets resulting from the fair value adjustments related to acquired assets, liabilities assumed and identifiable intangibles recorded. f) Represents fair value adjustment on time deposits as the weighted average interest rates of time deposits assumed exceeded the costs of similar funding available in the market at the time of the Merger, as well as the elimination of fees paid on brokered time deposits. g) Represents the fair value adjustment on FHLB borrowings as the weighted average interest rate of FHLB borrowings assumed exceeded the cost of similar funding available in the market at the time of the Merger. The amount of goodwill recorded represents the excess purchase price over the estimated fair value of the net assets acquired by the Company and reflects the economies of scale, increased market share and lending capabilities, greater access to best-in-class banking technology, and related synergies that are expected to result from the acquisition. Except for collateral dependent loans with deteriorated credit quality, the fair values for loans acquired from Legacy ConnectOne were estimated using cash flow projections based on the remaining maturity and repricing terms. Cash flows were adjusted by estimated future credit losses and the rate of prepayments. Projected monthly cash flows were then discounted to present value using a risk-adjusted market rate for similar loans. For collateral dependent loans with deteriorated credit quality, fair value was estimated by analyzing the value of the underlying collateral, assuming the fair values of the loans were derived from the eventual sale of the collateral. These values were discounted using marked derived rates of returns, with consideration given to the period of time and costs associated with the foreclosure and disposition of the collateral. There was no carryover of Legacy ConnectOne allowance for loan and lease losses associated with the loans that were acquired, as the loans were initially recorded at fair value on the date of the Merger. The acquired loan portfolio subject to purchased credit impairment accounting guidance (ASC 310-30) as of July 1, 2014 was comprised of collateral dependent loans with deteriorated credit quality as follows (in thousands): ASC 310-30 Contractual principal and accrued interest at acquisition $ 23,284 Principal not expected to be collected (non-accretable discount) (6,942 ) Expected cash flows at acquisition 16,342 Interest component of expected cash flows (accretable discount) (5,013 ) Fair value of acquired loans $ 11,329 The core deposit intangible asset recognized is being amortized over its estimated useful life of approximately 10 years utilizing the accelerated method. Other intangibles consist of below market rents, which are amortized over the remaining life of each lease using the straight-line method. Goodwill is not amortized for book purposes; however, it is reviewed at least annually for impairment and is not deductible for tax purposes. The fair value of retail demand and interest bearing deposit accounts was assumed to approximate the carrying value as these accounts have no stated maturity and are payable on demand. The fair value of time deposits was estimated by discounting the contractual future cash flows using market rates offered for time deposits of similar remaining maturities. The fair value of borrowed funds was estimated by discounting the future cash flows using market rates for similar borrowings. Direct acquisition and integration costs of the Merger were expensed as incurred and totaled $12.4 million for the full year 2014. These items were recorded as merger-related expenses on the statement of operations. |
Earnings per Common Share
Earnings per Common Share | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Note 3. Earnings per Common Share Basic earnings per common share (“EPS”) is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding. Diluted EPS includes any additional common shares as if all potentially dilutive common shares were issued (e.g., stock options). The Company’s weighted average common shares outstanding for diluted EPS include the effect of stock options and restricted stock awards outstanding using the Treasury Stock Method, which are not included in the calculation of basic EPS. Earnings per common share have been computed as follows: Three Months Ended Six Months Ended (in thousands, except per share amounts) 2015 2014 2015 2014 Net income $ 10,521 $ 4,378 $ 20,901 $ 8,776 Less: preferred stock dividends (28 ) (28 ) (56 ) (56 ) Net income available to common stockholders $ 10,493 $ 4,350 20,845 8,720 Basic weighted average common shares outstanding 29,868 16,373 29,813 16,362 Plus: effect of dilutive options and awards 363 57 391 60 Diluted weighted average common shares outstanding 30,231 16,430 30,204 16,422 Earnings per common share: Basic $ 0.35 $ 0.27 $ 0.70 $ 0.53 Diluted $ 0.35 $ 0.26 $ 0.69 $ 0.53 |
Investment Securities
Investment Securities | 6 Months Ended |
Jun. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Note 4. Investment Securities The Company’s investment securities are classified as available-for-sale and held-to-maturity at June 30, 2015 and December 31, 2014. Investment securities available-for-sale are reported at fair value with unrealized gains or losses included in equity, net of tax. Accordingly, the carrying value of such securities reflects their fair value as of June 31, 2015. Fair value is based upon either quoted market prices, or in certain cases where there is limited activity in the market for a particular instrument, assumptions are made to determine their fair value. See Note 7 of the Notes to Consolidated Financial Statements for a further discussion. Transfers of debt securities from the available-for-sale category to the held-to-maturity category are made at fair value at the date of transfer. The unrealized holding gain or loss at the date of transfer remains in accumulated other comprehensive income and in the carrying value of the held-to-maturity investment security. Premiums or discounts on investment securities are amortized or accreted using the effective interest method over the life of the security as an adjustment of yield. Unrealized holding gains or losses that remain in accumulated other comprehensive income are amortized or accreted over the remaining life of the security as an adjustment of yield, offsetting the related amortization of the premium or accretion of the discount. The following tables present information related to the Company’s investment securities at June 30, 2015 and December 31, 2014. Amortized Gross Gross Fair June 30, 2015 (in thousands) Investment securities available-for-sale Federal agency obligations $ 30,713 $ 304 $ (45 ) $ 30,972 Residential mortgage pass-through securities 53,624 1,181 (71 ) 54,734 Commercial mortgage pass-through securities 3,012 11 — 3,023 Obligations of U.S. states and political subdivisions 8,194 164 — 8,358 Trust preferred securities 16,087 456 (237 ) 16,306 Corporate bonds and notes 105,518 4,386 (66 ) 109,838 Asset-backed securities 24,592 103 (13 ) 24,682 Certificates of deposit 2,096 27 (8 ) 2,115 Equity securities 376 — (49 ) 327 Other securities 13,845 18 (120 ) 13,743 Total $ 258,057 $ 6,650 $ (609 ) $ 264,098 Investment securities held-to-maturity U.S. Treasury and agency securities $ 28,367 $ 649 $ — $ 29,016 Federal agency obligations 35,146 368 (140 ) 35,374 Residential mortgage-backed securities 4,751 2 (28 ) 4,725 Commercial mortgage-backed securities 4,188 56 (1 ) 4,243 Obligations of U.S. states and political subdivisions 119,130 3,466 (277 ) 122,319 Corporate bonds and notes 40,975 684 (131 ) 41,528 Total $ 232,557 $ 5,225 $ (577 ) $ 237,205 Total investment securities $ 490,614 $ 11,875 $ (1,186 ) $ 501,303 Amortized Gross Gross Fair December 31, 2014 (in thousands) Investment securities available-for-sale Federal agency obligations $ 32,650 $ 217 $ (50 ) $ 32,817 Residential mortgage pass-through securities 58,836 1,531 (11 ) 60,356 Commercial mortgage pass-through securities 3,042 4 — 3,046 Obligations of U.S. states and political subdivisions 8,201 205 — 8,406 Trust preferred securities 16,086 489 (269 ) 16,306 Corporate bonds and notes 119,838 5,950 (11 ) 125,777 Asset-backed securities 27,393 140 (31 ) 27,502 Certificates of deposit 2,098 27 (2 ) 2,123 Equity securities 376 — (69 ) 307 Other securities 12,941 33 (82 ) 12,892 Total $ 281,461 $ 8,596 $ (525 ) $ 289,532 Investment securities held-to-maturity U.S. Treasury and agency securities $ 28,264 $ 920 $ — $ 29,184 Federal agency obligations 27,103 322 (28 ) 27,397 Residential mortgage-backed securities 5,955 28 — 5,983 Commercial mortgage-backed securities 4,266 50 — 4,316 Obligations of U.S. states and political subdivisions 120,144 4,512 (60 ) 124,596 Corporate bonds and notes 38,950 1,026 (7 ) 39,969 Total $ 224,682 $ 6,858 $ (95 ) $ 231,445 Total investment securities $ 506,143 $ 15,454 $ (620 ) $ 520,977 The following table presents information for investment securities at June 30, 2015, based on scheduled maturities. Actual maturities can be expected to differ from scheduled maturities due to prepayment or early call options of the issuer. June 30, 2015 Amortized Fair (in thousands) Investment securities available-for-sale Due in one year or less $ 21,828 $ 22,070 Due after one year through five years 34,670 36,039 Due after five years through ten years 77,279 80,288 Due after ten years 53,423 53,874 Residential mortgage pass-through securities 53,624 54,734 Commercial mortgage pass-through securities 3,012 3,023 Equity securities 376 327 Other securities 13,845 13,743 Total $ 258,057 $ 264,098 Investment securities held-to-maturity Due in one year or less $ 4,982 $ 4,983 Due after one year through five years 11,202 11,354 Due after five years through ten years 73,367 74,931 Due after ten years 134,067 136,969 Residential mortgage-backed securities 4,751 4,725 Commercial mortgage-backed securities 4,188 4,243 Total $ 232,557 $ 237,205 Total investment securities $ 490,614 $ 501,296 Gross gains and losses from the sales, calls and maturities of investment securities for the three-month and six-month periods ended June 30, 2015 and 2014 were as follows: Three Months Ended Six Months Ended (in thousands) 2015 2014 2015 2014 Proceeds $ 2,734 16,127 12,271 66,738 Gross gains on sales of investment securities 221 $ 579 $ 726 $ 2,011 Gross losses on sales of investment securities — (5 ) — (22 ) Net gains on sales of investment securities $ 221 $ 574 $ 726 $ 1,989 Less: tax provision on net gains 90 179 297 559 Total 131 395 429 1,430 The Company performs regular analysis on the available-for-sale securities portfolio to determine whether a decline in fair value indicates that an investment is other-than-temporarily impaired in accordance with FASB ASC 320-10. FASB ASC 320-10 requires companies to record other-than-temporary impairment (“OTTI”) charges, through earnings, if they have the intent to sell, or more likely than not will be required to sell, an impaired debt security before recovery of its amortized cost basis. If the Company intends to sell or it is more likely than not it will be required to sell the security before recovery of its amortized cost basis, less any current period credit loss, the OTTI is recognized in earnings equal to the entire difference between the investment’s amortized cost basis and its estimated fair value at the balance sheet date. If the Company does not intend to sell the security and it is more likely than not that the entity will be required to sell the security before recovery of its amortized cost basis less any current period loss, and as such, it determines that a decline in fair value is other than temporary, the OTTI is separated into the amount representing the credit loss and the amount related to all other factors. The amount of the 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 is recognized in other comprehensive income, net of applicable taxes. The previous amortized cost basis less the OTTI recognized in earnings becomes the new amortized cost basis of the investment. The Company reviews all securities for potential recognition of other-than-temporary impairment. The Company maintains a watch list for the identification and monitoring of securities experiencing problems that require a heightened level of review. This could include credit rating downgrades. The Company’s assessment of whether an impairment in the portfolio is other than temporary includes factors such as whether the issuer has defaulted on scheduled payments, announced restructuring and/or filed for bankruptcy, has disclosed severe liquidity problems that cannot be resolved, disclosed deteriorating financial condition or sustained significant losses. The following table presents detailed information for each single issuer trust preferred security held by the Company at June 30, 2015, of which all but one has at least one rating below investment grade (in thousands): Issuer Amortized Fair Gross Lowest Countrywide Capital IV $ 1,771 $ 1,804 $ 33 BB Countrywide Capital V 2,747 2,831 84 BB Countrywide Capital V 250 258 8 BB Nationsbank Cap Trust III 1,576 1,339 (237 ) BB Morgan Stanley Cap Trust IV 2,500 2,544 44 BB Morgan Stanley Cap Trust IV 1,743 1,779 36 BB Goldman Sachs 1,000 1,161 161 BB Stifel Financial 4,500 4,590 90 BBB- Total $ 16,087 $ 16,306 $ 219 Temporarily Impaired Investments The Company does not believe that the unrealized losses, for all securities, which were comprised of 85 and 54 investment securities as of June 30, 2015 and December 31, 2014, respectively, represent an other-than-temporary impairment. The gross unrealized losses associated with U.S. Treasury and agency securities, federal agency obligations, mortgage-backed securities, corporate bonds, tax-exempt securities, asset-backed securities, trust preferred securities, mutual funds and equity securities are not considered to be other than temporary because these unrealized losses are related to changes in interest rates and do not affect the expected cash flows of the underlying collateral or issuer. Factors affecting the market price include credit risk, market risk, interest rates, economic cycles, and liquidity risk. The magnitude of any unrealized loss may be affected by the relative concentration of the Company’s investment in any one issuer or industry. The Company has established policies to reduce exposure through diversification of concentration of the investment portfolio including limits on concentrations to any one issuer. The Company believes the investment portfolio is prudently diversified. The decline in value is related to a change in interest rates and subsequent change in credit spreads required for these issues affecting market price. All issues are performing and are expected to continue to perform in accordance with their respective contractual terms and conditions. Short to intermediate average durations and in certain cases monthly principal payments should reduce further market value exposure to increases in rates. The Company evaluates all securities with unrealized losses quarterly to determine whether the loss is other than temporary. Unrealized losses in the corporate debt securities category consist primarily of senior unsecured corporate debt securities issued by large financial institutions, insurance companies and other corporate issuers. Single issuer corporate trust preferred securities are also included, and in the case of one holding the market valuation loss is largely based upon the floating rate coupon and corresponding market valuation. Neither that trust preferred issuer, nor any other corporate issuers, have defaulted on interest payments. The unrealized loss in equity securities consists of losses on other bank equities. The decline in fair value is due in large part to the lack of an active trading market for these securities, changes in market credit spreads and rating agency downgrades. Management concluded that these securities were not other-than-temporarily impaired at June 30, 2015. In determining that the securities giving rise to the previously mentioned unrealized losses were not other than temporary, the Company evaluated the factors cited above, which the Company considers when assessing whether a security is other-than-temporarily impaired. In making these evaluations the Company must exercise considerable judgment. Accordingly, there can be no assurance that the actual results will not differ from the Company’s judgments and that such differences may not require the future recognition of other-than-temporary impairment charges that could have a material effect on the Company’s financial position and results of operations. In addition, the value of, and the realization of any loss on, an investment security is subject to numerous risks as cited above. The following tables indicate gross unrealized losses not recognized in income and fair value, aggregated by investment category and the length of time individual securities have been in a continuous unrealized loss position at June 30, 2015 and December 31, 2014: June 30, 2015 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) Investment securities available-for-sale: Federal agency obligation $ 6,020 $ (45 ) $ 5,738 $ (43 ) $ 282 $ (2 ) Residential mortgage pass-through securities 14,130 (71 ) 13,997 (71 ) 133 — Trust preferred securities 1,339 (237 ) — — 1,339 (237 ) Corporate bonds and notes 7,915 (66 ) 7,915 (66 ) — — Asset-backed securities 6,165 (13 ) 6,165 (13 ) — — Certificates of deposit 214 (8 ) 214 (8 ) — — Equity securities 327 (49 ) — — 327 (49 ) Other securities 5,380 (120 ) — — 5,380 (120 ) Total $ 41,490 $ (609 ) $ 34,029 $ (201 ) $ 7,461 $ (408 ) Investment securities held-to-maturity Federal agency obligation $ 9,640 $ (140 ) $ 9,640 $ (140 ) $ — $ — Residential mortgage pass-through securities 3,224 (28 ) 3,224 (28 ) — — Commercial mortgage-backed securities 1,364 (1 ) 1,364 (1 ) — — Obligations of U.S. states and political subdivisions 22,791 (277 ) 22,791 (277 ) — — Corporate bonds and notes 5,545 (131 ) 5,545 (131 ) — — Total $ 42,564 $ (577 ) $ 42,564 $ (577 ) $ — $ — Total temporarily impaired securities $ 84,054 $ (1,186 ) $ 76,593 $ (778 ) $ 7,461 $ (408 ) December 31, 2014 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) Investment securities available-for-sale: Federal agency obligation $ 6,755 $ (50 ) $ 2,770 $ (9 ) $ 3,985 $ (41 ) Residential mortgage pass-through securities 5,694 (11 ) 5,694 (11 ) — — Trust preferred securities 1,307 (269 ) — — 1,307 (269 ) Corporate bonds and notes 1,961 (11 ) 1,961 (11 ) — — Asset-backed securities 9,773 (31 ) 9,773 (31 ) — — Certificates of deposit 369 (2 ) 369 (2 ) — — Equity securities 307 (69 ) — — 307 (69 ) Other securities 5,417 (82 ) 1,978 (21 ) 3,439 (61 ) Total $ 31,583 $ (525 ) $ 22,545 $ (85 ) $ 9,038 $ (440 ) Investment securities held-to-maturity: Federal agency obligation $ 3,228 $ (28 ) $ 3,228 $ (28 ) $ — $ — Obligations of U.S. states and political subdivisions 8,341 (60 ) 1,401 (3 ) 6,940 (57 ) Corporate bonds and notes 993 (7 ) 993 (7 ) — — Total $ 12,562 $ (95 ) $ 5,622 $ (38 ) $ 6,940 $ (57 ) Total temporarily impaired securities $ 44,145 $ (620 ) $ 28,167 $ (123 ) $ 15,978 $ (497 ) Investment securities having a carrying value of approximately $192.6 million and $224.7 million at June 30, 2015 and December 31, 2014, respectively, were pledged to secure public deposits, borrowings, Federal Reserve Discount Window, and Federal Home Loan Bank advances and for other purposes required or permitted by law. As of June 30, 2015 and December 31, 2014, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Note 5. Derivatives The Company utilizes interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. The notional amount of the interest rate swap does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate swap agreements. Interest rate swaps were entered into on October 15, 2014 and December 30, 2014, each with a respective notional amount of $25.0 million and were designated as a cash flow hedge of a Federal Home Loan Bank advance. The swaps were determined to be fully effective during the period presented and therefore no amount of ineffectiveness has been included in net income while the aggregate fair value of the swaps is recorded in other assets (liabilities) with changes in fair value recorded in other comprehensive income (loss). The amount included in accumulated other comprehensive income (loss) would be reclassified to current earnings should the hedges no longer be considered effective. The Company expects the hedges to remain fully effective during the remaining term of the swaps. Summary information about the interest rate swaps designated as cash flow hedges as of June 30, 2015 and 2014 and December 31, 2014 is presented in the following table. (dollars in thousands) June 30, December 31, June 30, Notional amount $ 50,000 $ 50,000 $ — Weighted average pay rates 1.58 % 1.58 % — % Weighted average receive rates 0.26 % 0.24 % — % Weighted average maturity 3.9 years 4.4 years — Fair value $ (250 ) $ 48 $ — Interest expense recorded on these swap transactions totaled approximately $165,000 and $331,000 for the three and six months ended June 31, 2015, respectively. There were 0 related expenses during the six months ended June 30, 2014. Cash Flow Hedge The following table presents the net gains (losses), recorded in other comprehensive income and the Consolidated Statements of Income relating to the cash flow derivative instruments for the six months ended June 30, 2015: 2015 (in thousands) Amount of loss Amount of loss Amount of loss Interest rate contracts $ (298 ) $ — $ — There were 0 net gains (losses) recorded in accumulated other comprehensive income or in the Consolidated Statement of Income relating to cash flow derivative instruments for the six months ended June 30, 2014. |
Loans and the Allowance for Loa
Loans and the Allowance for Loan and Lease Losses | 6 Months Ended |
Jun. 30, 2015 | |
Receivables [Abstract] | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Note 6. Loans and the Allowance for Loan and Lease Losses Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of deferred loan fees and costs, and an allowance for loan and lease losses. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level-yield method without anticipating prepayments. Loan segments are defined as a group of loans and leases, which share similar initial measurement attributes, risk characteristics, and methods for monitoring and assessing credit risk. Management has determined that the Company has five segments of loans and leases: commercial (including lease financing), commercial real estate, commercial construction, residential real estate (including home equity) and consumer. Interest income on commercial, commercial real estate, commercial construction and residential loans are discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. A loan is moved to nonaccrual status in accordance with the Company’s policy, typically after 90 days of non-payment. All interest accrued but not received for loans placed on nonaccrual are reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The policy of the Company is to generally grant commercial, residential and consumer loans to residents and businesses within its market area. The borrowers’ abilities to repay their obligations are dependent upon various factors including the borrowers’ income and net worth, cash flows generated by the borrowers’ underlying collateral, value of the underlying collateral, and priority of the lender’s lien on the property. Such factors are dependent upon various economic conditions and individual circumstances beyond the control of the Company. The Company is therefore subject to risk of loss. The Company believes its lending policies and procedures adequately minimize the potential exposure to such risks and that adequate provisions for loan and lease losses are provided for all known and inherent risks. Collateral and/or personal guarantees are required for a large majority of the Company’s loans. Allowance for Loan and Lease Losses The allowance for loan and lease losses is a valuation allowance for probable incurred credit losses. Losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan and lease loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired. A loan is impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans, for which the terms have been modified, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings (“TDRs”) and classified as impaired. As part of the evaluation of impaired loans, the Company individually reviews for impairment all non-homogeneous loans internally classified as substandard or below. Generally, smaller impaired non-homogeneous loans and impaired homogeneous loans are collectively evaluated for impairment. The Bank has defined its population of impaired loans to include all loans on nonaccrual status; all troubled debt restructuring loans; and all loans (above an established dollar threshold of $250,000) internally classified as “Special Mention” or below that require a specific reserve. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Troubled debt restructurings are separately identified for impairment disclosures and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan and lease losses. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience, the primary factor, is determined by loan class and is based on the actual loss history experienced by the Bank over an actual three year rolling calculation. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. This actual loss experience is supplemented with the exogenous factor adjustments based on the risks present for each loan category. These exogenous factors (nine total) include consideration of the following: concentrations of credit; delinquency & nonaccrual trends; economic & business conditions including evaluation of the national and regional economies and industries with significant loan concentrations; external factors including legal, regulatory or competitive pressures that may impact the loan portfolio; changes in the experience, ability, or size of the lending staff, management, or board of directors that may impact the loan portfolio; changes in underwriting standards, collection procedures, charge-off practices, or other changes in lending policies and procedures that may impact the loan portfolio; loss and recovery trends; changes in portfolio size and mix; and trends in problem loans. Purchased Credit-Impaired Loans The Company purchases groups of loans in conjunction with mergers, some of which have shown evidence of credit deterioration since origination. These purchased credit impaired loans are recorded at the amount paid, such that there is no carryover of the seller’s allowance for loan and lease losses. After acquisition, losses are recognized by an increase in the allowance for loan and lease losses. Such purchased credit impaired loans are accounted for individually. The Company estimates the amount and timing of expected cash flows for each loan and the expected cash flows in excess of amount paid is recorded as interest income over the remaining life of the loan (accretable yield). The excess of the loan’s contractual principal and interest over expected cash flows is not recorded (nonaccretable difference). Over the life of the loan, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income. Composition of Loan Portfolio The following table sets forth the composition of the Company’s loan portfolio, including net deferred loan fees, at June 30, 2015 and December 31, 2014: June 30, December 31, (in thousands) Commercial $ 568,969 $ 499,816 Commercial real estate 1,751,391 1,634,510 Commercial construction 220,267 167,359 Residential real estate 224,134 234,967 Consumer 2,454 2,879 Gross loans 2,767,215 2,539,531 Net deferred loan fees (1,927 ) (890 ) Total loans receivable $ 2,765,288 $ 2,538,641 At June 30, 2015 and December 31, 2014, loan balances of approximately $1.4 billion and $1.0 billion, respectively, were pledged to secure borrowings from the Federal Home Loan Bank of New York. Purchased Credit-Impaired Loans The Company holds purchased loans for which there was, at their acquisition date, evidence of deterioration of credit quality since their origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans is as follows at June 30, 2015 and December 31, 2014. June 30, December 31, (in thousands) Commercial $ 7,120 $ 7,199 Commercial real estate 1,803 1,816 Residential real estate 317 806 Total carrying amount $ 9,240 $ 9,821 For those purchased loans disclosed above, the Company did not increase the allowance for loan and lease losses for the six months ended June 30, 2015. The accretable yield, or income expected to be collected, on the purchased loans disclosed above for the six months ended June 30, 2015 is as follows (in thousands): June 30, 2015 Balance at December 31, 2014 $ 4,805 New loans purchased — Accretion of income (127 ) Reclassifications from nonaccretable difference — Disposals — Balance at June 30, 2015 $ 4,678 The following table presents information about the recorded investment in loan receivables on nonaccrual status by segment at June 30, 2015 and December 31, 2014: Loans Receivable on Nonaccrual Status June 30, December 31, (in thousands) Commercial $ 5,070 $ 616 Commercial real estate 3,903 8,197 Residential real estate 3,172 2,796 Total loans receivable on nonaccrual status $ 12,145 $ 11,609 Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogenous loans that are collectively evaluated for impairment and individually classified impaired loans. The Company continuously monitors the credit quality of its loans receivable. In addition to its internal staff, the Company utilizes the services of a third party loan review firm to rate the credit quality of its loans receivable. Credit quality is monitored by reviewing certain credit quality indicators. Assets classified “Pass” are deemed to possess average to superior credit quality, requiring no more than normal attention. Assets classified as “Special Mention” have generally acceptable credit quality yet possess higher risk characteristics/circumstances than satisfactory assets. Such conditions include strained liquidity, slow pay, stale financial statements, or other conditions that require more stringent attention from the lending staff. These conditions, if not corrected, may weaken the loan quality or inadequately protect the Company’s credit position at some future date. Assets are classified “Substandard” if the asset has a well-defined weakness that requires management’s attention to a greater degree than for loans classified special mention. Such weakness, if left uncorrected, could possibly result in the compromised ability of the loan to perform to contractual requirements. An asset is classified as “Doubtful” if it is inadequately protected by the net worth and/or paying capacity of the obligor or of the collateral, if any, that secures the obligation. Assets classified as doubtful include assets for which there is a “distinct possibility” that a degree of loss will occur if the inadequacies are not corrected. The following table presents information, excluding net deferred loan fees, about the Company’s loan credit quality at June 30, 2015 and December 31, 2014: As Reported: June 30, 2015 Pass Special Substandard Doubtful Total (in thousands) Commercial $ 533,287 $ 22,608 $ 12,810 $ 264 $ 568,969 Commercial real estate 1,707,191 21,488 22,712 — 1,751,391 Commercial construction 218,788 — 1,479 — 220,267 Residential real estate 220,376 — 3,758 — 224,134 Consumer 2,362 — 92 — 2,454 Total loans $ 2,682,004 $ 44,096 $ 40,851 $ 264 $ 2,767,215 As Restated: June 30, 2015 Pass Special Substandard Doubtful Total (in thousands) Commercial $ 476,528 $ 79,367 $ 12,810 $ 264 $ 568,969 Commercial real estate 1,707,191 21,488 22,712 — 1,751,391 Commercial construction 218,788 — 1,479 — 220,267 Residential real estate 220,376 — 3,758 — 224,134 Consumer 2,362 — 92 — 2,454 Total loans $ 2,625,245 $ 100,855 $ 40,851 $ 264 $ 2,767,215 December 31, 2014 Pass Special Substandard Doubtful Total (in thousands) Commercial $ 481,638 $ 3,686 $ 14,203 $ 289 $ 499,816 Commercial real estate 1,596,606 14,140 23,764 — 1,634,510 Commercial construction 165,880 1,479 — — 167,359 Residential real estate 230,772 — 4,195 — 234,967 Consumer 2,778 — 101 — 2,879 Total loans $ 2,477,674 $ 19,305 $ 42,263 $ 289 $ 2,539,531 The following table provides an analysis of the impaired loans, by loan segment, at June 30, 2015 and December 31, 2014: June 30, 2015 As Reported Recorded Unpaid Related No related allowance recorded (in thousands) Commercial $ 713 $ 741 Commercial real estate 3,857 4,222 Residential real estate 3,446 3,849 Consumer 100 92 Total $ 8,116 $ 8,904 With an allowance recorded Commercial $ 4,357 $ 4,365 $ 642 Commercial real estate 1,492 1,435 249 Total $ 5,849 $ 5,800 $ 891 Total Commercial $ 5,070 $ 5,106 $ 642 Commercial real estate 5,349 5,657 249 Residential real estate 3,446 3,849 — Consumer 100 92 — Total $ 13,965 $ 14,704 $ 891 June 30, 2015 As Restated Recorded Unpaid Related (in thousands) No related allowance recorded Commercial $ 76,088 $ 75,881 Commercial real estate 3,857 4,222 Residential real estate 3,446 3,849 Consumer 100 92 Total $ 83,491 $ 84,044 With an allowance recorded Commercial $ 4,357 $ 4,365 $ 642 Commercial real estate 1,492 1,435 249 Total $ 5,849 $ 5,800 $ 891 Total Commercial $ 80,445 $ 80,246 $ 642 Commercial real estate 5,349 5,657 249 Residential real estate 3,446 3,849 — Consumer 100 92 — Total $ 89,340 $ 89,844 $ 891 December 31, 2014 Recorded Investment Unpaid Principal Balance Related Allowance No related allowance recorded (in thousands) Commercial $ 481 $ 527 Commercial real estate 5,890 6,587 Residential real estate 3,072 3,407 Consumer 109 101 Total $ 9,552 $ 10,622 With an allowance recorded Commercial $ 387 $ 390 $ 111 Commercial real estate 3,520 3,520 151 Total $ 3,907 $ 3,910 $ 262 Total Commercial $ 868 $ 917 $ 111 Commercial real estate 9,410 10,107 151 Residential real estate 3,072 3,407 — Consumer 109 101 — Total $ 13,459 $ 14,532 $ 262 The following table provides an analysis related to the average recorded investment and interest income recognized on impaired loans by segment as of and for the three and six months ended June 30, 2015 and 2014 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 As Reported Average Interest Average Interest Average Interest Average Interest Impaired loans with no related allowance recorded: Commercial $ 722 $ — $ 1,357 $ 16 $ 713 $ — $ 1,370 $ 30 Commercial real estate 3,898 13 3,112 42 3,935 32 3,123 43 Residential real estate 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 8,203 17 $ 6,811 83 $ 8,265 $ 38 $ 6,888 $ 107 Impaired loans with an allowance recorded: Commercial $ 1,559 $ — $ — $ — $ 1,569 $ — $ — $ — Commercial real estate 4,298 — 3,600 43 4,268 — 3,600 85 Total $ 5,857 $ — $ 3,600 $ 43 $ 5,837 $ — $ 3,600 $ 85 Total impaired loans: Commercial $ 2,281 $ — $ 1,357 $ 16 $ 2,282 $ — $ 1,370 $ 30 Commercial real estate 8,196 13 6,712 85 8,202 32 6,723 128 Residential mortgage 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 14,060 $ 17 $ 10,411 $ 126 14,101 $ 38 $ $10,488 $ 192 As Restated Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Average Interest Average Interest Average Interest Average Interest Impaired loans with no related allowance recorded: Commercial $ 76,744 $ 484 $ 1,357 $ 16 $ 37,855 $ 484 $ 1,370 $ 30 Commercial real estate 3,898 13 3,112 42 3,935 32 3,123 43 Residential real estate 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 84,225 $ 501 $ 6,811 $ 83 $ 45,407 $ 522 $ 6,888 $ 107 Impaired loans with an allowance recorded: Commercial $ 1,559 $ — $ — $ — $ 1,569 $ — $ — $ — Commercial real estate 4,298 — 3,600 43 4,268 — 3,600 85 Total $ 5,857 $ — $ 3,600 $ 43 $ 5,837 $ — $ 3,600 $ 85 Total impaired loans: Commercial $ 78,303 $ 484 $ 1,357 $ 16 $ 39,424 $ 484 $ 1,370 $ 30 Commercial real estate 8,196 13 6,712 85 8,203 32 6,723 128 Residential mortgage 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 90,082 $ 501 $ 10,411 $ 126 $ 51,244 $ 522 $ 10,488 $ 192 Included in impaired loans at June 30, 2015, December 31, 2014 and June 30, 2014 are loans that are deemed troubled debt restructurings. The recorded investment in loans include accrued interest receivable and other capitalized costs such as real estate taxes paid on behalf of the borrower and loan origination fees, net, when applicable. Cash basis interest and interest income recognized on accrual basis approximate each other. The following table provides an analysis of the aging of the recorded investment of loans, excluding net deferred loan fees that are past due at June 30, 2015 and December 31, 2014 by segment: Aging Analysis June 30, 2015 30-59 Days 60-89 Days 90 Days or Total Past Current Total Loans Loans (in thousands) Commercial $ 500 $ 497 $ 4,812 $ 5,809 $ 563,160 $ 568,969 $ — Commercial real estate 1,298 1,647 3,478 6,423 1,744,968 1,751,391 — Commercial construction — — — — 220,267 220,267 — Residential real estate 597 1,999 2,298 4,894 219,240 224,134 — Consumer — — — — 2,454 2,454 Total $ 2,395 $ 4,143 $ 10,588 $ 17,126 $ 2,750,089 $ 2,767,215 $ — Aging Analysis December 31, 2014 30-59 Days 60-89 Days 90 Days or Total Past Current Total Loans Loans (in thousands) Commercial $ 6,060 $ — $ 662 $ 6,722 $ 493,094 $ 499,816 $ 45 Commercial real estate 4,937 638 5,961 11,535 1,622,975 1,634,510 609 Commercial construction — — — — 167,359 167,359 — Residential real estate 1,821 210 3,200 5,231 229,736 234,967 557 Consumer 30 1 — 31 2,848 2,879 — Total $ 12,848 $ 849 $ 9,823 $ 23,519 $ 2,516,012 $ 2,539,531 $ 1,211 The following table details, at the period presented, the amount of loans receivable that are evaluated individually, and collectively, for impairment (excluding net deferred loan fees), acquired, and the related portion of the allowance for loan and lease losses that are allocated to each loan portfolio segment: June 30, 2015 As Reported Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Allowance for loan and lease losses Individually evaluated for impairment $ 642 $ 249 $ — $ — $ — $ — $ 891 Collectively evaluated for impairment 3,991 8,946 1,945 1,161 7 539 16,589 Acquired with deteriorated credit quality — — — — — — — Total $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Loans receivable Individually evaluated for impairment $ 5,070 $ 5,349 $ — $ 3,446 $ 100 $ — $ 13,965 Collectively evaluated for impairment 556,779 1,744,239 220,267 220,371 2,354 — 2,744,010 Acquired with deteriorated credit quality 7,120 1,803 — 317 — — 9,240 Total $ 568,969 $ 1,751,391 $ 220,267 $ 224,134 $ 2,454 $ — $ 2,767,215 June 30, 2015 As Restated Commercial Commercial real estate Commercial construction Residential real estate Consumer Unallocated Total (in thousands) Allowance for loan and lease losses Individually evaluated for impairment $ 642 $ 249 $ — $ — $ — $ — $ 891 Collectively evaluated for impairment 3,991 8,946 1,945 1,161 7 539 16,589 Acquired with deteriorated credit quality — — — — — — — Total $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Loans receivable Individually evaluated for impairment $ 80,445 $ 5,349 $ — $ 3,446 $ 100 $ — $ 89,340 Collectively evaluated for impairment 481,404 1,744,239 220,267 220,371 2,354 — 2,668,635 Acquired with deteriorated credit quality 7,120 1,803 — 317 — — 9,240 Total $ 568,969 $ 1,751,391 $ 220,267 $ 224,134 $ 2,454 $ — $ 2,767,215 The table above includes approximately $1.1 billion of acquired loans for the period ended June 30, 2015 reported as collectively evaluated for impairment. The following table, at the period presented, details the amount of loans that are evaluated individually, and collectively, for impairment (excluding net deferred loan fees), acquired, and the related portion of the allowance for loan and lease losses that are allocated to each loan portfolio segment: December 31, 2014 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Allowance for loan and lease losses Individually evaluated for impairment $ 111 $ 151 $ — $ — $ — $ — $ 262 Collectively evaluated for impairment 2,972 7,648 1,239 1,113 7 919 13,898 Acquired with deteriorated credit quality — — — — — — — Total $ 3,083 $ 7,799 $ 1,239 $ 1,113 $ 7 $ 919 $ 14,160 Loans receivable Individually evaluated for impairment $ 868 $ 9,410 $ — $ 3,072 $ 109 $ — $ 13,459 Collectively evaluated for impairment 491,749 1,623,384 167,359 231,809 2,770 — 2,516,251 Acquired with deteriorated credit quality 7,199 1,816 — 806 — — 9,821 Total $ 499,816 $ 1,634,510 $ 167,359 $ 234,967 $ 2,879 $ — $ 2,539,531 The tables above includes approximately $1.2 billion of acquired loans for the period ended December 31, 2014 reported as collectively evaluated for impairment. The Company’s allowance for loan and lease losses is analyzed quarterly. Many factors are considered, including growth in the portfolio, delinquencies, nonaccrual loan levels, and other factors inherent in the extension of credit. There have been no material changes to the allowance for loan and lease losses methodology as disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. A summary of the activity in the allowance for loan and lease losses is as follows: Three Months Ended June 30, 2015 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at March 31, 2015 $ 3,927 $ 8,846 $ 1,518 $ 981 $ 4 $ 657 $ 15,933 Charge-offs (55 ) (278 ) — — (1 ) — (334 ) Recoveries 3 327 — — 1 — 331 Provision 758 300 427 180 3 (118 ) 1,550 Balance at June 30, 2015 $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Three Months Ended June 30, 2014 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at March 31, 2014 $ 2,225 $ 5,384 $ 434 $ 1,004 $ 79 $ 1,507 $ 10,633 Charge-offs — — — (90 ) (4 ) — (94 ) Recoveries — — — 1 1 — 2 Provision (83 ) 357 70 96 (13 ) (143 ) 284 Balance at June 30, 2014 $ 2,142 $ 5,741 $ 504 $ 1,011 $ 63 $ 1,364 $ 10,825 Six Months Ended June 30, 2015 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at December 31, 2014 $ 3,083 $ 7,799 $ 1,239 $ 1,113 $ 7 $ 919 $ 14,160 Charge-offs (100 ) (282 ) — — (13 ) — (395 ) Recoveries 10 327 — 2 1 — 340 Provision 1,640 1,351 706 46 12 (380 ) 3,375 Balance at June 30, 2015 $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Six Months Ended June 30, 2014 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at December 31, 2013 $ 1,698 $ 5,746 $ 362 $ 990 $ 146 $ 1,391 $ 10,333 Charge-offs (333 ) — — (90 ) (7 ) — (430 ) Recoveries — — — 11 2 — 13 Provision 777 (5 ) 142 100 (78 ) (27 ) 909 Balance at June 30, 2014 $ 2,142 $ 5,741 $ 504 $ 1,011 $ 63 $ 1,364 $ 10,825 Trouble Debt Restructurings At June 30, 2015, there were 0 commitments to lend additional funds to borrowers whose loans were on nonaccrual status or were contractually past due in excess of 90 days and still accruing interest, or whose terms have been modified in troubled debt restructurings. The policy of the Company generally is to grant commercial, mortgage and consumer loans to residents and businesses within its market area. The borrowers’ abilities to repay their obligations are dependent upon various factors, including the borrowers’ income and net worth, cash flows generated by the borrowers’ underlying collateral, value of the underlying collateral, and priority of the lender’s lien on the property. Such factors are dependent upon various economic conditions and individual circumstances beyond the control of the Company. The Company is therefore subject to risk of loss. The Company believes its lending policies and procedures adequately minimize the potential exposure to such risks and that adequate provisions for loan and lease losses are provided for all known and inherent risks. Collateral and/or personal guarantees are required for virtually all loans. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. As Reported As Restated As Restated As Reported: As Restated: Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Troubled debt restructurings: Commercial 47 $ 75,375 $ 75,375 Commercial real estate — — — Commercial construction — — — Residential real estate — — — Consumer — — — Total 47 $ 75,375 $ 75,375 As Restated There were 0 charge-offs in connection with a loan modification at the time of modification during the six months ended June 30, 2015. There were 0 troubled debt restructurings for which there was a payment default within twelve months following the modification during the six months ended June 30, 2015. The following table presents loans by class modified as troubled debt restructurings that occurred during the six months ended June 30, 2014 (dollars in thousands): Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Troubled debt restructurings: Commercial 1 $ 672 $ 315 Commercial real estate — — — Commercial construction — — — Residential real estate 1 53 51 Consumer — — — Total 2 $ 725 $ 366 The Company had a $333,000 charge-off in connection with a loan modification at the time of modification during the six months ended June 30, 2014. There were 0 troubled debt restructurings for which there was a payment default within twelve months following the modification during the six months ended June 30, 2014. |
Fair Value Measurements and Fai
Fair Value Measurements and Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | Note 7. Fair Value Measurements and Fair Value of Financial Instruments ASC Topic 820, “Fair Value Measurements and Disclosures,” establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1: Level 2: Level 3: An asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The following information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only provided for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a recurring basis at June 30, 2015 and December 31, 2014: Securities available-for-sale - Where quoted prices are available in an active market, securities are classified with Level 1 of the valuation hierarchy. Level 1 inputs include securities that have quoted prices in active markets for identical assets. Level 1 securities held: U.S. Treasury securities, publicly traded equity securities, mutual funds and overnight money market funds. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Examples of instruments, which would generally be classified within Level 2 of the valuation hierarchy, include municipal bonds and certain agency collateralized mortgage obligations. In certain cases where there is limited activity in the market for a particular instrument, assumptions must be made to determine their fair value and are classified as Level 3. Due to the inactive condition of the markets amidst the financial crisis, the Company treated certain securities as Level 3 securities in order to provide more appropriate valuations. For assets in an inactive market, the infrequent trades that do occur are not a true indication of fair value. When measuring fair value, the valuation techniques available under the market approach, income approach and/or cost approach are used. The Company’s evaluations are based on market data and the Company employs combinations of these approaches for its valuation methods depending on the asset class. Derivatives Loans held for sale - Loans held for sale are required to be measured at the lower of cost or fair value. Under FASB ASC 820-10-05, market value is to represent fair value. Management obtains quotes or bids on all or part of these loans directly from the purchasing financial institutions. Loans receivable - The fair value of performing loans, except residential mortgages, is calculated by discounting scheduled cash flows through the estimated maturity using estimated market discount rates that reflect the credit and interest rate risks inherent in the loan. The estimate of maturity is based on the historical experience of the Bank with prepayments for each loan classification, modified as required by an estimate of the effect of current economic and lending conditions. For performing residential mortgage loans, fair value is estimated by discounting contractual cash flows adjusted for prepayment estimates using discount rates based on secondary market sources adjusted to reflect differences in servicing and credit costs. Off-balance sheet financial instruments - The fair value of commitments to extend credit is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed rate loan commitments, fair value also considers the difference between current levels of interest rate and the committed rates. The fair value of financial standby letters of credit is based on fees currently charged for similar agreements or on the estimated cost to terminate them or otherwise settle the obligations with the counterparties. Assets and Liabilities Measured at Fair Value on a Recurring Basis For financial assets and liabilities measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at June 30, 2015 and December 31, 2014 are as follows: June 30, 2015 Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant (in thousands) Recurring fair value measurements: Assets Investment securities Available-for-sale: Federal agency obligations $ 30,972 $ — $ 30,972 $ — Residential mortgage pass-through securities 54,734 — 54,734 — Commercial mortgage pass-through securities 3,023 — 3,023 — Obligations of U.S. states and political subdivision 8,358 — 8,358 — Trust preferred securities 16,306 — 16,306 — Corporate bonds and notes 109,838 — 109,838 — Asset-backed securities 24,682 — 24,682 — Certificates of deposit 2,115 — 2,115 — Equity securities 327 327 — — Other securities 13,743 13,743 — — Total available-for-sale 264,098 14,070 250,028 — Loans held for sale 124 — 124 — Total assets $ 264,222 $ 14,070 $ 250,152 $ — Liabilities Derivatives $ 250 $ — $ 250 $ — Total liabilities $ 250 $ — $ 250 $ — December 31, 2014 Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant (in thousands) Recurring fair value measurements: Assets Investment securities: Available-for-sale: Federal agency obligations $ 32,817 $ — $ 32,817 $ — Residential mortgage pass-through securities 60,356 — 60,356 — Commercial mortgage pass-through securities 3,046 — 3,046 — Obligations of U.S. states and political subdivision 8,406 — 8,406 — Trust preferred securities 16,306 — 16,306 — Corporate bonds and notes 125,777 — 125,777 — Asset-backed securities 27,502 — 27,502 — Certificates of deposit 2,123 — 2,123 — Equity securities 307 307 — — Other securities 12,892 12,892 — — Total available-for-sale 289,532 13,199 276,333 — Derivatives 48 — 48 — Total assets $ 289,580 $ 13,199 $ 276,381 $ — For the six months ended June 30, 2015, there were 0 transfers of investment securities available-for-sale into or out of Level 1, Level 2, or Level 3 assets. Assets Measured at Fair Value on a Non-Recurring Basis For assets measured at fair value on a non-recurring basis, the unobservable inputs used to derive fair value measurements at June 30, 2014 and December 31, 2014 were as follows: June 30, 2014 Range Impaired loans Valuation Techniques Range of Unobservable Inputs Minimum Maximum Commercial Appraisals of collateral value Adjustment for age of comparable sales 0% 15% Commercial real estate Appraisals of collateral value Market capitalization rates, Market rental rates for similar properties 8% 12% December 31, 2014 Range Impaired loans Valuation Techniques Range of Unobservable Inputs Minimum Maximum Commercial Appraisals of collateral value Adjustment for age of comparable sales 0% 15% Commercial real estate Appraisals of collateral value Market capitalization rates, Market rental rates for similar properties 8% 12% Fair Value Measurements at Reporting Date Using Assets measured at fair value on a nonrecurring June 30, Quoted Significant Significant Impaired loans (in thousands) Commercial $ 3,516 $ — $ — $ 3,516 Commercial real estate 1,113 — — 1,113 Fair Value Measurements at Reporting Date Using Assets Measured at Fair Value on a Non- December 31, Quoted Significant Significant Impaired loans (in thousands) Commercial $ 276 $ — $ — $ 276 Commercial real estate 3,369 — — 3,369 The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a non-recurring basis at June 30, 2015 and December 31, 2014. Impaired loans Fair Value of Financial Instruments FASB ASC 825-10 requires all entities to disclose the estimated fair value of their financial instrument assets and liabilities. For the Company, as for most financial institutions, the majority of its assets and liabilities are considered financial instruments as defined in FASB ASC 825-10. Many of the Company’s financial instruments, however, lack an available trading market as characterized by a willing buyer and willing seller engaging in an exchange transaction. It is also the Company’s general practice and intent to hold its financial instruments to maturity and not to engage in trading or sales activities except for loans held-for-sale and investment securities available-for-sale. Therefore, significant estimations and assumptions, as well as present value calculations, were used by the Company for the purposes of this disclosure. Cash and cash equivalents FHLB stock Investment securities held-to-maturity Loans Noninterest-bearing deposits Interest-bearing deposits Borrowings and subordinated debentures - Accrued interest receivable/payable The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments as of June 30, 2015 and December 31, 2014. Fair Value Measurements Carrying Fair Quoted Significant Significant (in thousands) June 30, 2015 Financial assets Cash and cash equivalents $ 125,483 $ 125,483 $ 125,483 $ — $ — Investment securities available-for-sale 264,098 264,098 14,070 250,028 — Investment securities held-to-maturity 232,557 237,205 29,016 189,523 18,666 Restricted investment in bank stocks 27,078 n/a n/a n/a n/a Loans held for sale 124 124 124 Net loans 2,747,808 2,734,082 — — 2,734,082 Accrued interest receivable 12,055 12,055 67 3,458 8,530 Financial liabilities Noninterest-bearing deposits 553,008 553,008 553,008 — — Interest-bearing deposits 2,016,223 2,019,036 — 2,019,036 — Borrowings 548,758 552,752 — 552,752 — Subordinated debentures 55,155 54,944 — 54,944 — Derivatives 250 250 — 250 — Accrued interest payable 4,428 4,428 — 4,428 — Fair Value Measurements Carrying Fair Quoted Significant Significant (in thousands) December 31, 2014 Financial assets Cash and cash equivalents $ 126,847 $ 126,847 $ 126,847 $ — $ — Investment securities available-for-sale 289,532 289,532 13,199 276,333 — Investment securities held-to-maturity 224,682 231,445 29,184 183,489 18,772 Restricted investment in bank stocks 23,535 n/a n/a n/a n/a Net loans 2,524,481 2,538,415 — — 2,538,415 Derivatives 48 48 — 48 — Accrued interest receivable 11,700 11,700 68 3,674 7,958 Financial liabilities Noninterest-bearing deposits 492,515 492,515 492,515 — — Interest-bearing deposits 1,983,092 1,990,484 — 1,990,484 — Borrowings 495,553 505,641 — 505,641 — Subordinated debentures 5,155 4,768 — 4,768 — Accrued interest payable 3,930 3,930 — 3,930 — The fair value of commitments to originate loans is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates. The fair values of letters of credit and lines of credit are based on fees currently charged for similar agreements or on the estimated cost to terminate or otherwise settle the obligations with the counterparties at the reporting date. Changes in assumptions or estimation methodologies may have a material effect on these estimated fair values. The Company’s remaining assets and liabilities, which are not considered financial instruments, have not been valued differently than has been customary with historical cost accounting. No disclosure of the relationship value of the Company’s core deposit base is required by FASB ASC 825-10. Fair value estimates are based on existing balance sheet financial instruments, without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. For example, there are certain significant assets and liabilities that are not considered financial assets or liabilities, such as the brokerage network, deferred taxes, premises and equipment, and goodwill. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. Management believes that reasonable comparability between financial institutions may not be likely, due to the wide range of permitted valuation techniques and numerous estimates which must be made, given the absence of active secondary markets for many of the financial instruments. This lack of uniform valuation methodologies also introduces a greater degree of subjectivity to these estimated fair values. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure Text Block [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | Note 8. Accumulated Other Comprehensive Income Accumulated other comprehensive loss (net of tax) at June 30, 2015 and December 31, 2014 consisted of the following: June 30, December 31, (in thousands) Net unrealized gain on investment securities available-for-sale $ 3,665 $ 4,874 Cash flow hedge (148 ) 28 Unamortized component of securities transferred from available-for-sale to held-to-maturity (1,225 ) (1,301 ) Defined benefit pension and post-retirement plans (4,022 ) (4,615 ) Total accumulated other comprehensive loss $ (1,730 ) $ (1,014 ) |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 9. Stock-Based Compensation The Company’s stock-based compensation plans permit Parent Corporation common stock to be issued to key employees and directors of the Company and its subsidiaries. The options granted under the plans are intended to be either incentive stock options or non-qualified options. Under the 2009 Equity Incentive Plan, a total of 303,615 shares are available for grant and issuance as of June 30, 2015. In addition, a total of 114,327 shares remain available for grant and issuance under Legacy ConnectOne equity plans. Options may be exercised with shares issued from Treasury shares, newly issued shares or a combination of both. Options have been granted to purchase common stock at the fair market value of the stock at the date of grant. Options granted to date are exercisable after a three to five-year vesting period starting one year after the date of grant and generally expire ten years from the date of grant. Restricted shares granted to date have a vesting schedule ranging from 1-3 years. Stock-based compensation expense for share-based payment awards is based on the grant date fair value estimated on the date of grant. The Company recognizes compensation costs for those shares expected to vest on a straight-line basis over the requisite service period of the award, which is generally the option vesting term of three years. The Company estimates the forfeiture rate based on its historical experience during the preceding seven fiscal years. Under the principal stock-based compensation plans, the Company may also grant stock awards to certain employees. Stock awards are independent of option grants and are generally subject to forfeiture if employment terminates prior to the release of any applicable restrictions. During that period, ownership of the shares cannot be transferred. Restricted stock and stock awards that are fully vested at the time of grant have the same cash dividend and voting rights as other common stock and are considered to be currently issued and outstanding. The Company expenses the cost of stock awards, which is determined to be the fair market value of the shares at the date of grant, ratably over the period during which any restrictions lapse. There were 97,544 and 50,203 restricted stock awards outstanding at June 30, 2015 and December 31, 2014, respectively. These awards were issued with an award price equal to the market price of the Company’s common stock on the award date and with a three year vesting period. Forfeiture provisions exist for personnel that separate employment before the vesting period expires. There were 0 shares of common stock underlying options that were granted during the three and six months ended June 30, 2015 and 2014, respectively. Options activity under the stock-based compensation plans as of June 30, 2015 and changes during the six months ended June 30, 2015 were as follows: Shares Weighted- Weighted- Aggregate Outstanding at December 31, 2014 882,657 $ 5.65 Exercised (339,334 ) $ 4.16 Canceled/expired — Forfeited (4,731 ) Outstanding at June 30, 2015 538,592 $ 6.51 3.67 $ 8,087,713 Exercisable at June 30, 2015 533,794 $ 6.45 3.64 $ 8,052,735 The aggregate intrinsic value of options above represents the total pre-tax intrinsic value (the difference between the Company’s closing stock price on the last trading day of the second quarter of 2015 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on June 30, 2015. This amount changes based on the fair value of the Company’s stock. In conjunction with the plans above, the Company granted restricted shares to certain executive officers. Compensation expense is recognized over the vesting period of the awards based on the fair value of the stock at issue date. The fair value of the stock granted was based on the closing market price of the Company’s common stock as of the grant date. Generally, grants of restricted shares to date vest one-third, each, on the first, second and third anniversaries of the grant date. Nonvested Shares Weighted- Nonvested at December 31, 2014 50,203 $ 11.79 Granted 67,906 18.50 Vested (20,565 ) 10.76 Forfeited/cancelled/expired — — Outstanding at June 30, 2015 97,544 $ 16.62 As of June 30, 2015, there was approximately $33,500 of total unrecognized compensation expense relating to unvested stock options. As of June 30, 2015, there was approximately $1,341,000 of total unrecognized compensation expense relating to unvested restricted stock awards. These costs are expected to be recognized over a weighted average period of 1.8 years. On April 30, 2015, the Company granted to various key employees performance unit awards (which are classified as equity awards), with each unit entitling the holder to one share of the Company’s common stock contingent upon the Company meeting or exceeding certain return on asset targets over the course of a three-year period ending April 30, 2018. Under the agreement, and assuming the Company has met or exceeded the applicable targets, grants of performance unit awards will vest on the third anniversary of the grant date or on an earlier date in the event of a change in control, as defined in the grant agreement. At June 30, 2015, the specific number of shares related to performance unit awards that were expected to vest was 94,585, determined by actual performance in consideration of the established range of the performance targets, which is consistent with the level of expense currently being recognized over the vesting period. Should this expectation change, additional compensation expense could be recorded in future periods or previously recognized expense could be reversed. The maximum amount of performance unit awards is 113,502. A summary of the status of unearned performance unit awards and the change during the period is presented in the table below: Shares Weighted- Unearned at April 30, 2015 94,585 $ 19.46 Awarded — — Forfeited — — Expired — — Unearned at June 30, 2015 94,585 $ 19.46 The Company recognized $102,000 in compensation related to the performance units for the quarter ended June 30, 2015. As of June 30, 2015, there was approximately $1,789,000 of unrecognized compensation expense related to unearned performance units. These costs are expected to be recognized over a period of 2.8 years. |
Components of Net Periodic Pens
Components of Net Periodic Pension Cost | 6 Months Ended |
Jun. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | Note 10. Components of Net Periodic Pension Cost The Company maintained a non-contributory defined benefit pension plan for substantially all of its employees until March 31, 2007, at which time the Company froze the plan. The following table sets forth the net periodic pension cost of the Company’s pension plan for the periods indicated. Three Months Ended Six Months Ended 2015 2014 2015 2014 (in thousands) Interest cost $ 129 $ 144 $ 267 $ 288 Expected return on plan assets (127 ) (149 ) (264 ) (298 ) Net amortization 108 56 216 112 Recognized settlement loss 115 — 565 — Net periodic pension cost $ 225 $ 51 $ 784 $ 102 Net actuarial gain $ (261 ) $ — $ (1,003 ) $ (1,281 ) Total recognized in other comprehensive income $ (261 ) $ — $ (1,003 ) $ (1,281 ) Total recognized in net expense and OCI (before tax) $ (36 ) $ 51 $ (219 ) $ (1,179 ) Contributions The Company contributed $2.0 million to its Pension Trust during the second quarter of 2015. The Company does not plan on contributing additional amounts to the Pension Trust for the remainder of 2015. The trust is established to provide retirement and other benefits for eligible employees and their beneficiaries. No part of the trust assets may be applied to any purpose other than providing benefits under the plan and for defraying expenses of administering the plan and the trust. |
FHLB and other borrowings
FHLB and other borrowings | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | Note 11. FHLB and other borrowings The Company’s FHLB and other borrowings and weighted average interest rates are summarized below: June 30, 2015 December 31, 2014 Amount Rate Amount Rate (in thousands) By type of borrowing: FHLB borrowings $ 533,758 1.20 % $ 464,553 1.18 % Repurchase agreements 15,000 5.95 % 31,000 5.90 % Total borrowings $ 548,758 1.33 % $ 495,553 1.48 % By remaining period to maturity: One year or less $ 252,758 0.50 % 258,553 0.50 % One to two years 85,000 1.23 % 30,000 1.40 % Two to three years 56,000 2.79 % 71,000 2.33 % Three to four years 90,000 1.89 % 96,000 2.67 % Four to five years 25,000 1.85 % — — Greater than five years 40,000 3.43 % 40,000 3.42 % Total borrowings $ 548,758 1.33 % $ 495,553 1.48 % The FHLB borrowings are secured by pledges of certain collateral, including but not limited to U.S. government and agency mortgage-backed securities and a blanket assignment of qualifying first lien mortgage loans, consisting of both residential mortgages and commercial real estate loans. The Company has entered into agreements under which it has sold securities subject to an obligation to repurchase the same or similar securities. Under these arrangements, the Company may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Company to repurchase the assets. The obligation to repurchase the securities is reflected as a liability in the Company’s consolidated statement of condition, while the securities underlying the securities sold under agreements to repurchase remain in the respective asset accounts and are delivered to and held as collateral by third party trustees. Three of the FHLB notes ($2,500,000 and $7,500,000 each due April 2, 2018, and $5,000,000 due July 16, 2018) contain a convertible option which allows the FHLB, at quarterly intervals, to convert the fixed convertible advance into replacement funding for the same or lesser principal based on any advance then offered by the FHLB at its current market rate. The Company has the option to repay these advances, if converted, without penalty. The remaining advances are payable at stated maturity, with a prepayment penalty for fixed rate advances. All FHLB advances are fixed rate while the REPOs are variable rate advances. The advances at June 30, 2015 were collateralized by approximately $1,083 million of commercial mortgage loans, net of required over collateralization amounts, under a blanket lien arrangement. At June 30, 2015 the Company had remaining borrowing capacity of approximately $550 million. On June 30, 2015, the Company extinguished $16,000,000 of repurchase agreements with a variable interest rate, which was currently capped at 5.85% and a maturity of 3.2 years. The repos were putable at the option of the holder. A prepayment penalty of $2.4 million associated with the extinguishment was recorded to noninterest expense. |
Subordinated Debentures
Subordinated Debentures | 6 Months Ended |
Jun. 30, 2015 | |
Subordinated Borrowings [Abstract] | |
Subordinated Borrowings Disclosure [Text Block] | Note 12. Subordinated Debentures During 2003, the Company formed a statutory business trust, which exists for the exclusive purpose of (i) issuing Trust Securities representing undivided beneficial interests in the assets of the Trust; (ii) investing the gross proceeds of the Trust securities in junior subordinated deferrable interest debentures (subordinated debentures) of the Company; and (iii) engaging in only those activities necessary or incidental thereto. On December 19, 2003, Center Bancorp Statutory Trust II, a statutory business trust and wholly-owned subsidiary of the Parent Corporation issued $5.0 million of, MMCapS capital securities to investors due on January 23, 2034. The capital securities presently qualify as Tier I capital. The trust loaned the proceeds of this offering to the Company and received in exchange $5.2 million of the Parent Corporation’s subordinated debentures. The subordinated debentures are redeemable in whole or in part prior to maturity. The floating interest rate on the subordinate debentures is three-month LIBOR plus 2.85% and reprices quarterly. The rate at June 30, 2015 was 3.13%. These subordinated debentures and the related income effects are not eliminated in the consolidated financial statements as the statutory business trust is not consolidated in accordance with FASB ASC 810-10. Distributions on the subordinated debentures owned by the subsidiary trust have been classified as interest expense in the Consolidated Statements of Income. The following table summarizes the mandatory redeemable trust preferred securities of the Company’s Statutory Trust II at June 30, 2015. Issuance Date Securities Issued Liquidation Value Coupon Rate Maturity Redeemable by Issuer Beginning 12/19/2003 $ 5,000,000 $1,000 per Capital Security Floating 3-month LIBOR + 285 Basis Points 01/23/2034 01/23/2009 The following table summarizes the mandatory redeemable trust preferred securities of the Company’s Statutory Trust II at December 31, 2014. Issuance Date Securities Issued Liquidation Value Coupon Rate Maturity Redeemable by Issuer Beginning 12/19/2003 $ 5,000,000 $1,000 per Capital Security Floating 3-month LIBOR + 285 Basis Points 01/23/2034 01/23/2009 During June 2015, the Corporation issued $50 million in aggregate principal amount of fixed-to-floating rate subordinated notes (the “Notes”) to certain institutional investors. The Notes are non-callable for five years, have a stated maturity of July 1, 2025, and bear interest at a fixed rate of 5.75% per year, from and including June 30, 2015 to, but excluding July 1, 2020. From and including July 1, 2020 to the maturity date or early redemption date, the interest rate will reset quarterly to a level equal to the then current three-month LIBOR rate plus 393 basis points. There were an estimated $900,000 in costs related to the debt issuance that are being amortized over a weighted average period of 5 years. The net proceeds from the sale of the Notes will be used to redeem $11.3 million outstanding of its Senior Noncumulative Perpetual Preferred Stock, issued in 2011, to the U.S. Treasury under the Small Business Lending Fund Program, which will be paid by January 1, 2016, and for general corporate purposes, which included the Corporation contributing $35 million of the net proceeds to the Bank in the form of common equity. In connection with the issuance of the Notes, the Company obtained ratings from Kroll Bond Rating Agency (“KBRA”). KBRA assigned investment grade ratings of BBB- for the Company’s subordinated debt and a senior deposit rating of BBB+ for the Bank. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | The consolidated financial statements of ConnectOne Bancorp, Inc. (the “Parent Corporation”) are prepared on an accrual basis and include the accounts of the Parent Corporation and its wholly-owned subsidiary, ConnectOne Bank (the “Bank” and, collectively with the Parent Corporation and the Parent Corporation’s other direct and indirect subsidiaries, the “Company”). All significant intercompany accounts and transactions have been eliminated from the accompanying consolidated financial statements. |
Use of Estimates, Policy [Policy Text Block] | In preparing the consolidated financial statements, management has made estimates and assumptions that affect the reported amounts of assets and liabilities as of the dates of the consolidated statements of condition and that affect the results of operations for the periods presented. Actual results could differ significantly from those estimates. |
Basis of Accounting, Policy [Policy Text Block] | The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”). Some items in the prior year financial statements were reclassified to conform to current presentation. Reclassifications had no effect on prior year net income for stockholders’ equity. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments FASB ASC 825-10 requires all entities to disclose the estimated fair value of their financial instrument assets and liabilities. For the Company, as for most financial institutions, the majority of its assets and liabilities are considered financial instruments as defined in FASB ASC 825-10. Many of the Company’s financial instruments, however, lack an available trading market as characterized by a willing buyer and willing seller engaging in an exchange transaction. It is also the Company’s general practice and intent to hold its financial instruments to maturity and not to engage in trading or sales activities except for loans held-for-sale and investment securities available-for-sale. Therefore, significant estimations and assumptions, as well as present value calculations, were used by the Company for the purposes of this disclosure. |
Business Combinations (Tables)
Business Combinations (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The table below summarizes the amounts recognized as of the Merger date for each major class of assets acquired and liabilities assumed, the estimated fair value adjustments and the amounts recorded in the Company’s financial statements at fair value at the Merger date (in thousands): Legacy Fair value As recorded Cash and cash equivalents $ 70,318 $ — $ 70,318 Investment securities 28,436 16 (a) 28,452 Restricted stock 13,646 — 13,646 Loans held for sale 190 — 190 Loans 1,304,600 (5,316 ) (b) 1,299,284 Bank owned life insurance 15,481 — 15,481 Premises and equipment 7,380 (905 ) (c) 6,475 Accrued interest receivable 4,470 — 4,470 Core deposit and other intangibles — 5,308 (d) 5,308 Other real estate owned 2,455 — 2,455 Other assets 10,636 3,650 (e) 14,286 Deposits (1,049,666 ) (1,676 ) (f) (1,051,342 ) FHLB borrowings (262,046 ) (1,324 ) (g) (263,370 ) Other liabilities (10,527 ) — (10,527 ) Total identifiable net assets $ 135,373 $ (247 ) $ 135,126 Goodwill recorded in the Merger $ 129,105 |
Schedule of Accountable Loans for Business Combinations in Accordance with FASB ASC 310-30 [Table Text Block] | The acquired loan portfolio subject to purchased credit impairment accounting guidance (ASC 310-30) as of July 1, 2014 was comprised of collateral dependent loans with deteriorated credit quality as follows (in thousands): ASC 310-30 Contractual principal and accrued interest at acquisition $ 23,284 Principal not expected to be collected (non-accretable discount) (6,942 ) Expected cash flows at acquisition 16,342 Interest component of expected cash flows (accretable discount) (5,013 ) Fair value of acquired loans $ 11,329 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Earnings per common share have been computed as follows: Three Months Ended Six Months Ended (in thousands, except per share amounts) 2015 2014 2015 2014 Net income $ 10,521 $ 4,378 $ 20,901 $ 8,776 Less: preferred stock dividends (28 ) (28 ) (56 ) (56 ) Net income available to common stockholders $ 10,493 $ 4,350 20,845 8,720 Basic weighted average common shares outstanding 29,868 16,373 29,813 16,362 Plus: effect of dilutive options and awards 363 57 391 60 Diluted weighted average common shares outstanding 30,231 16,430 30,204 16,422 Earnings per common share: Basic $ 0.35 $ 0.27 $ 0.70 $ 0.53 Diluted $ 0.35 $ 0.26 $ 0.69 $ 0.53 |
Investment Securities (Tables)
Investment Securities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Unrealized Gain (Loss) on Investments [Table Text Block] | The following tables present information related to the Company’s investment securities at June 30, 2015 and December 31, 2014. Amortized Gross Gross Fair June 30, 2015 (in thousands) Investment securities available-for-sale Federal agency obligations $ 30,713 $ 304 $ (45 ) $ 30,972 Residential mortgage pass-through securities 53,624 1,181 (71 ) 54,734 Commercial mortgage pass-through securities 3,012 11 — 3,023 Obligations of U.S. states and political subdivisions 8,194 164 — 8,358 Trust preferred securities 16,087 456 (237 ) 16,306 Corporate bonds and notes 105,518 4,386 (66 ) 109,838 Asset-backed securities 24,592 103 (13 ) 24,682 Certificates of deposit 2,096 27 (8 ) 2,115 Equity securities 376 — (49 ) 327 Other securities 13,845 18 (120 ) 13,743 Total $ 258,057 $ 6,650 $ (609 ) $ 264,098 Investment securities held-to-maturity U.S. Treasury and agency securities $ 28,367 $ 649 $ — $ 29,016 Federal agency obligations 35,146 368 (140 ) 35,374 Residential mortgage-backed securities 4,751 2 (28 ) 4,725 Commercial mortgage-backed securities 4,188 56 (1 ) 4,243 Obligations of U.S. states and political subdivisions 119,130 3,466 (277 ) 122,319 Corporate bonds and notes 40,975 684 (131 ) 41,528 Total $ 232,557 $ 5,225 $ (577 ) $ 237,205 Total investment securities $ 490,614 $ 11,875 $ (1,186 ) $ 501,303 Amortized Gross Gross Fair December 31, 2014 (in thousands) Investment securities available-for-sale Federal agency obligations $ 32,650 $ 217 $ (50 ) $ 32,817 Residential mortgage pass-through securities 58,836 1,531 (11 ) 60,356 Commercial mortgage pass-through securities 3,042 4 — 3,046 Obligations of U.S. states and political subdivisions 8,201 205 — 8,406 Trust preferred securities 16,086 489 (269 ) 16,306 Corporate bonds and notes 119,838 5,950 (11 ) 125,777 Asset-backed securities 27,393 140 (31 ) 27,502 Certificates of deposit 2,098 27 (2 ) 2,123 Equity securities 376 — (69 ) 307 Other securities 12,941 33 (82 ) 12,892 Total $ 281,461 $ 8,596 $ (525 ) $ 289,532 Investment securities held-to-maturity U.S. Treasury and agency securities $ 28,264 $ 920 $ — $ 29,184 Federal agency obligations 27,103 322 (28 ) 27,397 Residential mortgage-backed securities 5,955 28 — 5,983 Commercial mortgage-backed securities 4,266 50 — 4,316 Obligations of U.S. states and political subdivisions 120,144 4,512 (60 ) 124,596 Corporate bonds and notes 38,950 1,026 (7 ) 39,969 Total $ 224,682 $ 6,858 $ (95 ) $ 231,445 Total investment securities $ 506,143 $ 15,454 $ (620 ) $ 520,977 |
Investments Classified by Contractual Maturity Date [Table Text Block] | The following table presents information for investment securities at June 30, 2015, based on scheduled maturities. Actual maturities can be expected to differ from scheduled maturities due to prepayment or early call options of the issuer. June 30, 2015 Amortized Fair (in thousands) Investment securities available-for-sale Due in one year or less $ 21,828 $ 22,070 Due after one year through five years 34,670 36,039 Due after five years through ten years 77,279 80,288 Due after ten years 53,423 53,874 Residential mortgage pass-through securities 53,624 54,734 Commercial mortgage pass-through securities 3,012 3,023 Equity securities 376 327 Other securities 13,845 13,743 Total $ 258,057 $ 264,098 Investment securities held-to-maturity Due in one year or less $ 4,982 $ 4,983 Due after one year through five years 11,202 11,354 Due after five years through ten years 73,367 74,931 Due after ten years 134,067 136,969 Residential mortgage-backed securities 4,751 4,725 Commercial mortgage-backed securities 4,188 4,243 Total $ 232,557 $ 237,205 Total investment securities $ 490,614 $ 501,296 |
Schedule of Realized Gain (Loss) [Table Text Block] | Gross gains and losses from the sales, calls and maturities of investment securities for the three-month and six-month periods ended June 30, 2015 and 2014 were as follows: Three Months Ended Six Months Ended (in thousands) 2015 2014 2015 2014 Proceeds $ 2,734 16,127 12,271 66,738 Gross gains on sales of investment securities 221 $ 579 $ 726 $ 2,011 Gross losses on sales of investment securities — (5 ) — (22 ) Net gains on sales of investment securities $ 221 $ 574 $ 726 $ 1,989 Less: tax provision on net gains 90 179 297 559 Total 131 395 429 1,430 |
Schedule of Preferred Security and Associated Ratings [Table Text Block] | The following table presents detailed information for each single issuer trust preferred security held by the Company at June 30, 2015, of which all but one has at least one rating below investment grade (in thousands): Issuer Amortized Fair Gross Lowest Countrywide Capital IV $ 1,771 $ 1,804 $ 33 BB Countrywide Capital V 2,747 2,831 84 BB Countrywide Capital V 250 258 8 BB Nationsbank Cap Trust III 1,576 1,339 (237 ) BB Morgan Stanley Cap Trust IV 2,500 2,544 44 BB Morgan Stanley Cap Trust IV 1,743 1,779 36 BB Goldman Sachs 1,000 1,161 161 BB Stifel Financial 4,500 4,590 90 BBB- Total $ 16,087 $ 16,306 $ 219 |
Schedule of Unrealized Loss on Investments [Table Text Block] | The following tables indicate gross unrealized losses not recognized in income and fair value, aggregated by investment category and the length of time individual securities have been in a continuous unrealized loss position at June 30, 2015 and December 31, 2014: June 30, 2015 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) Investment securities available-for-sale: Federal agency obligation $ 6,020 $ (45 ) $ 5,738 $ (43 ) $ 282 $ (2 ) Residential mortgage pass-through securities 14,130 (71 ) 13,997 (71 ) 133 — Trust preferred securities 1,339 (237 ) — — 1,339 (237 ) Corporate bonds and notes 7,915 (66 ) 7,915 (66 ) — — Asset-backed securities 6,165 (13 ) 6,165 (13 ) — — Certificates of deposit 214 (8 ) 214 (8 ) — — Equity securities 327 (49 ) — — 327 (49 ) Other securities 5,380 (120 ) — — 5,380 (120 ) Total $ 41,490 $ (609 ) $ 34,029 $ (201 ) $ 7,461 $ (408 ) Investment securities held-to-maturity Federal agency obligation $ 9,640 $ (140 ) $ 9,640 $ (140 ) $ — $ — Residential mortgage pass-through securities 3,224 (28 ) 3,224 (28 ) — — Commercial mortgage-backed securities 1,364 (1 ) 1,364 (1 ) — — Obligations of U.S. states and political subdivisions 22,791 (277 ) 22,791 (277 ) — — Corporate bonds and notes 5,545 (131 ) 5,545 (131 ) — — Total $ 42,564 $ (577 ) $ 42,564 $ (577 ) $ — $ — Total temporarily impaired securities $ 84,054 $ (1,186 ) $ 76,593 $ (778 ) $ 7,461 $ (408 ) December 31, 2014 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) Investment securities available-for-sale: Federal agency obligation $ 6,755 $ (50 ) $ 2,770 $ (9 ) $ 3,985 $ (41 ) Residential mortgage pass-through securities 5,694 (11 ) 5,694 (11 ) — — Trust preferred securities 1,307 (269 ) — — 1,307 (269 ) Corporate bonds and notes 1,961 (11 ) 1,961 (11 ) — — Asset-backed securities 9,773 (31 ) 9,773 (31 ) — — Certificates of deposit 369 (2 ) 369 (2 ) — — Equity securities 307 (69 ) — — 307 (69 ) Other securities 5,417 (82 ) 1,978 (21 ) 3,439 (61 ) Total $ 31,583 $ (525 ) $ 22,545 $ (85 ) $ 9,038 $ (440 ) Investment securities held-to-maturity: Federal agency obligation $ 3,228 $ (28 ) $ 3,228 $ (28 ) $ — $ — Obligations of U.S. states and political subdivisions 8,341 (60 ) 1,401 (3 ) 6,940 (57 ) Corporate bonds and notes 993 (7 ) 993 (7 ) — — Total $ 12,562 $ (95 ) $ 5,622 $ (38 ) $ 6,940 $ (57 ) Total temporarily impaired securities $ 44,145 $ (620 ) $ 28,167 $ (123 ) $ 15,978 $ (497 ) |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Interest Rate Derivatives [Table Text Block] | Summary information about the interest rate swaps designated as cash flow hedges as of June 30, 2015 and 2014 and December 31, 2014 is presented in the following table. (dollars in thousands) June 30, December 31, June 30, Notional amount $ 50,000 $ 50,000 $ — Weighted average pay rates 1.58 % 1.58 % — % Weighted average receive rates 0.26 % 0.24 % — % Weighted average maturity 3.9 years 4.4 years — Fair value $ (250 ) $ 48 $ — |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table presents the net gains (losses), recorded in other comprehensive income and the Consolidated Statements of Income relating to the cash flow derivative instruments for the six months ended June 30, 2015: 2015 (in thousands) Amount of loss Amount of loss Amount of loss Interest rate contracts $ (298 ) $ — $ — |
Loans and the Allowance for L26
Loans and the Allowance for Loan and Lease Losses (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | The following table sets forth the composition of the Company’s loan portfolio, including net deferred loan fees, at June 30, 2015 and December 31, 2014: June 30, December 31, (in thousands) Commercial $ 568,969 $ 499,816 Commercial real estate 1,751,391 1,634,510 Commercial construction 220,267 167,359 Residential real estate 224,134 234,967 Consumer 2,454 2,879 Gross loans 2,767,215 2,539,531 Net deferred loan fees (1,927 ) (890 ) Total loans receivable $ 2,765,288 $ 2,538,641 |
Loans and Leases Receivable Purchase Credit Impaired Loans [Table Text Block] | The carrying amount of those loans is as follows at June 30, 2015 and December 31, 2014. June 30, December 31, (in thousands) Commercial $ 7,120 $ 7,199 Commercial real estate 1,803 1,816 Residential real estate 317 806 Total carrying amount $ 9,240 $ 9,821 |
Loans and Leases Receivable Purchased Loans [Table Text Block] | The accretable yield, or income expected to be collected, on the purchased loans disclosed above for the six months ended June 30, 2015 is as follows (in thousands): June 30, 2015 Balance at December 31, 2014 $ 4,805 New loans purchased — Accretion of income (127 ) Reclassifications from nonaccretable difference — Disposals — Balance at June 30, 2015 $ 4,678 |
Schedule of Financing Receivables, Non Accrual Status [Table Text Block] | The following table presents information about the recorded investment in loan receivables on nonaccrual status by segment at June 30, 2015 and December 31, 2014: Loans Receivable on Nonaccrual Status June 30, December 31, (in thousands) Commercial $ 5,070 $ 616 Commercial real estate 3,903 8,197 Residential real estate 3,172 2,796 Total loans receivable on nonaccrual status $ 12,145 $ 11,609 |
Financing Receivable Credit Quality Indicators [Table Text Block] | The following table presents information, excluding net deferred loan fees, about the Company’s loan credit quality at June 30, 2015 and December 31, 2014: As Reported: June 30, 2015 Pass Special Substandard Doubtful Total (in thousands) Commercial $ 533,287 $ 22,608 $ 12,810 $ 264 $ 568,969 Commercial real estate 1,707,191 21,488 22,712 — 1,751,391 Commercial construction 218,788 — 1,479 — 220,267 Residential real estate 220,376 — 3,758 — 224,134 Consumer 2,362 — 92 — 2,454 Total loans $ 2,682,004 $ 44,096 $ 40,851 $ 264 $ 2,767,215 As Restated: June 30, 2015 Pass Special Substandard Doubtful Total (in thousands) Commercial $ 476,528 $ 79,367 $ 12,810 $ 264 $ 568,969 Commercial real estate 1,707,191 21,488 22,712 — 1,751,391 Commercial construction 218,788 — 1,479 — 220,267 Residential real estate 220,376 — 3,758 — 224,134 Consumer 2,362 — 92 — 2,454 Total loans $ 2,625,245 $ 100,855 $ 40,851 $ 264 $ 2,767,215 December 31, 2014 Pass Special Substandard Doubtful Total (in thousands) Commercial $ 481,638 $ 3,686 $ 14,203 $ 289 $ 499,816 Commercial real estate 1,596,606 14,140 23,764 — 1,634,510 Commercial construction 165,880 1,479 — — 167,359 Residential real estate 230,772 — 4,195 — 234,967 Consumer 2,778 — 101 — 2,879 Total loans $ 2,477,674 $ 19,305 $ 42,263 $ 289 $ 2,539,531 |
Impaired Financing Receivables [Table Text Block] | The following table provides an analysis of the impaired loans, by loan segment, at June 30, 2015 and December 31, 2014: June 30, 2015 As Reported Recorded Unpaid Related No related allowance recorded (in thousands) Commercial $ 713 $ 741 Commercial real estate 3,857 4,222 Residential real estate 3,446 3,849 Consumer 100 92 Total $ 8,116 $ 8,904 With an allowance recorded Commercial $ 4,357 $ 4,365 $ 642 Commercial real estate 1,492 1,435 249 Total $ 5,849 $ 5,800 $ 891 Total Commercial $ 5,070 $ 5,106 $ 642 Commercial real estate 5,349 5,657 249 Residential real estate 3,446 3,849 — Consumer 100 92 — Total $ 13,965 $ 14,704 $ 891 June 30, 2015 As Restated Recorded Unpaid Related (in thousands) No related allowance recorded Commercial $ 76,088 $ 75,881 Commercial real estate 3,857 4,222 Residential real estate 3,446 3,849 Consumer 100 92 Total $ 83,491 $ 84,044 With an allowance recorded Commercial $ 4,357 $ 4,365 $ 642 Commercial real estate 1,492 1,435 249 Total $ 5,849 $ 5,800 $ 891 Total Commercial $ 80,445 $ 80,246 $ 642 Commercial real estate 5,349 5,657 249 Residential real estate 3,446 3,849 — Consumer 100 92 — Total $ 89,340 $ 89,844 $ 891 December 31, 2014 Recorded Investment Unpaid Principal Balance Related Allowance No related allowance recorded (in thousands) Commercial $ 481 $ 527 Commercial real estate 5,890 6,587 Residential real estate 3,072 3,407 Consumer 109 101 Total $ 9,552 $ 10,622 With an allowance recorded Commercial $ 387 $ 390 $ 111 Commercial real estate 3,520 3,520 151 Total $ 3,907 $ 3,910 $ 262 Total Commercial $ 868 $ 917 $ 111 Commercial real estate 9,410 10,107 151 Residential real estate 3,072 3,407 — Consumer 109 101 — Total $ 13,459 $ 14,532 $ 262 |
Schedule of Average Balance and Interest Income Recognized on Impaired Loans [Table Text Block] | The following table provides an analysis related to the average recorded investment and interest income recognized on impaired loans by segment as of and for the three and six months ended June 30, 2015 and 2014 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 As Reported Average Interest Average Interest Average Interest Average Interest Impaired loans with no related allowance recorded: Commercial $ 722 $ — $ 1,357 $ 16 $ 713 $ — $ 1,370 $ 30 Commercial real estate 3,898 13 3,112 42 3,935 32 3,123 43 Residential real estate 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 8,203 17 $ 6,811 83 $ 8,265 $ 38 $ 6,888 $ 107 Impaired loans with an allowance recorded: Commercial $ 1,559 $ — $ — $ — $ 1,569 $ — $ — $ — Commercial real estate 4,298 — 3,600 43 4,268 — 3,600 85 Total $ 5,857 $ — $ 3,600 $ 43 $ 5,837 $ — $ 3,600 $ 85 Total impaired loans: Commercial $ 2,281 $ — $ 1,357 $ 16 $ 2,282 $ — $ 1,370 $ 30 Commercial real estate 8,196 13 6,712 85 8,202 32 6,723 128 Residential mortgage 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 14,060 $ 17 $ 10,411 $ 126 14,101 $ 38 $ $10,488 $ 192 As Restated Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Average Interest Average Interest Average Interest Average Interest Impaired loans with no related allowance recorded: Commercial $ 76,744 $ 484 $ 1,357 $ 16 $ 37,855 $ 484 $ 1,370 $ 30 Commercial real estate 3,898 13 3,112 42 3,935 32 3,123 43 Residential real estate 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 84,225 $ 501 $ 6,811 $ 83 $ 45,407 $ 522 $ 6,888 $ 107 Impaired loans with an allowance recorded: Commercial $ 1,559 $ — $ — $ — $ 1,569 $ — $ — $ — Commercial real estate 4,298 — 3,600 43 4,268 — 3,600 85 Total $ 5,857 $ — $ 3,600 $ 43 $ 5,837 $ — $ 3,600 $ 85 Total impaired loans: Commercial $ 78,303 $ 484 $ 1,357 $ 16 $ 39,424 $ 484 $ 1,370 $ 30 Commercial real estate 8,196 13 6,712 85 8,203 32 6,723 128 Residential mortgage 3,481 2 2,229 24 3,512 4 2,280 31 Consumer 102 2 113 1 105 2 115 3 Total $ 90,082 $ 501 $ 10,411 $ 126 $ 51,244 $ 522 $ 10,488 $ 192 |
Past Due Financing Receivables [Table Text Block] | The following table provides an analysis of the aging of the recorded investment of loans, excluding net deferred loan fees that are past due at June 30, 2015 and December 31, 2014 by segment: Aging Analysis June 30, 2015 30-59 Days 60-89 Days 90 Days or Total Past Current Total Loans Loans (in thousands) Commercial $ 500 $ 497 $ 4,812 $ 5,809 $ 563,160 $ 568,969 $ — Commercial real estate 1,298 1,647 3,478 6,423 1,744,968 1,751,391 — Commercial construction — — — — 220,267 220,267 — Residential real estate 597 1,999 2,298 4,894 219,240 224,134 — Consumer — — — — 2,454 2,454 Total $ 2,395 $ 4,143 $ 10,588 $ 17,126 $ 2,750,089 $ 2,767,215 $ — Aging Analysis December 31, 2014 30-59 Days 60-89 Days 90 Days or Total Past Current Total Loans Loans (in thousands) Commercial $ 6,060 $ — $ 662 $ 6,722 $ 493,094 $ 499,816 $ 45 Commercial real estate 4,937 638 5,961 11,535 1,622,975 1,634,510 609 Commercial construction — — — — 167,359 167,359 — Residential real estate 1,821 210 3,200 5,231 229,736 234,967 557 Consumer 30 1 — 31 2,848 2,879 — Total $ 12,848 $ 849 $ 9,823 $ 23,519 $ 2,516,012 $ 2,539,531 $ 1,211 |
Schedule of Recorded Investment in Financing Receivables [Table Text Block] | The following table details, at the period presented, the amount of loans receivable that are evaluated individually, and collectively, for impairment (excluding net deferred loan fees), acquired, and the related portion of the allowance for loan and lease losses that are allocated to each loan portfolio segment: June 30, 2015 As Reported Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Allowance for loan and lease losses Individually evaluated for impairment $ 642 $ 249 $ — $ — $ — $ — $ 891 Collectively evaluated for impairment 3,991 8,946 1,945 1,161 7 539 16,589 Acquired with deteriorated credit quality — — — — — — — Total $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Loans receivable Individually evaluated for impairment $ 5,070 $ 5,349 $ — $ 3,446 $ 100 $ — $ 13,965 Collectively evaluated for impairment 556,779 1,744,239 220,267 220,371 2,354 — 2,744,010 Acquired with deteriorated credit quality 7,120 1,803 — 317 — — 9,240 Total $ 568,969 $ 1,751,391 $ 220,267 $ 224,134 $ 2,454 $ — $ 2,767,215 June 30, 2015 As Restated Commercial Commercial real estate Commercial construction Residential real estate Consumer Unallocated Total (in thousands) Allowance for loan and lease losses Individually evaluated for impairment $ 642 $ 249 $ — $ — $ — $ — $ 891 Collectively evaluated for impairment 3,991 8,946 1,945 1,161 7 539 16,589 Acquired with deteriorated credit quality — — — — — — — Total $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Loans receivable Individually evaluated for impairment $ 80,445 $ 5,349 $ — $ 3,446 $ 100 $ — $ 89,340 Collectively evaluated for impairment 481,404 1,744,239 220,267 220,371 2,354 — 2,668,635 Acquired with deteriorated credit quality 7,120 1,803 — 317 — — 9,240 Total $ 568,969 $ 1,751,391 $ 220,267 $ 224,134 $ 2,454 $ — $ 2,767,215 December 31, 2014 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Allowance for loan and lease losses Individually evaluated for impairment $ 111 $ 151 $ — $ — $ — $ — $ 262 Collectively evaluated for impairment 2,972 7,648 1,239 1,113 7 919 13,898 Acquired with deteriorated credit quality — — — — — — — Total $ 3,083 $ 7,799 $ 1,239 $ 1,113 $ 7 $ 919 $ 14,160 Loans receivable Individually evaluated for impairment $ 868 $ 9,410 $ — $ 3,072 $ 109 $ — $ 13,459 Collectively evaluated for impairment 491,749 1,623,384 167,359 231,809 2,770 — 2,516,251 Acquired with deteriorated credit quality 7,199 1,816 — 806 — — 9,821 Total $ 499,816 $ 1,634,510 $ 167,359 $ 234,967 $ 2,879 $ — $ 2,539,531 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | A summary of the activity in the allowance for loan and lease losses is as follows: Three Months Ended June 30, 2015 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at March 31, 2015 $ 3,927 $ 8,846 $ 1,518 $ 981 $ 4 $ 657 $ 15,933 Charge-offs (55 ) (278 ) — — (1 ) — (334 ) Recoveries 3 327 — — 1 — 331 Provision 758 300 427 180 3 (118 ) 1,550 Balance at June 30, 2015 $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Three Months Ended June 30, 2014 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at March 31, 2014 $ 2,225 $ 5,384 $ 434 $ 1,004 $ 79 $ 1,507 $ 10,633 Charge-offs — — — (90 ) (4 ) — (94 ) Recoveries — — — 1 1 — 2 Provision (83 ) 357 70 96 (13 ) (143 ) 284 Balance at June 30, 2014 $ 2,142 $ 5,741 $ 504 $ 1,011 $ 63 $ 1,364 $ 10,825 Six Months Ended June 30, 2015 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at December 31, 2014 $ 3,083 $ 7,799 $ 1,239 $ 1,113 $ 7 $ 919 $ 14,160 Charge-offs (100 ) (282 ) — — (13 ) — (395 ) Recoveries 10 327 — 2 1 — 340 Provision 1,640 1,351 706 46 12 (380 ) 3,375 Balance at June 30, 2015 $ 4,633 $ 9,195 $ 1,945 $ 1,161 $ 7 $ 539 $ 17,480 Six Months Ended June 30, 2014 Commercial Commercial Commercial Residential Consumer Unallocated Total (in thousands) Balance at December 31, 2013 $ 1,698 $ 5,746 $ 362 $ 990 $ 146 $ 1,391 $ 10,333 Charge-offs (333 ) — — (90 ) (7 ) — (430 ) Recoveries — — — 11 2 — 13 Provision 777 (5 ) 142 100 (78 ) (27 ) 909 Balance at June 30, 2014 $ 2,142 $ 5,741 $ 504 $ 1,011 $ 63 $ 1,364 $ 10,825 |
Schedule of Debtor Troubled Debt Restructuring, Current Period [Table Text Block] | The following table presents loans by class modified as troubled debt restructurings that occurred during the six months ended June 30, 2015 (as Restated) and June 30, 2014 (dollars in thousands): Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Troubled debt restructurings: Commercial 47 $ 75,375 $ 75,375 Commercial real estate — — — Commercial construction — — — Residential real estate — — — Consumer — — — Total 47 $ 75,375 $ 75,375 Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Troubled debt restructurings: Commercial 1 $ 672 $ 315 Commercial real estate — — — Commercial construction — — — Residential real estate 1 53 51 Consumer — — — Total 2 $ 725 $ 366 |
Fair Value Measurements and F27
Fair Value Measurements and Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | For financial assets and liabilities measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at June 30, 2015 and December 31, 2014 are as follows: June 30, 2015 Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant (in thousands) Recurring fair value measurements: Assets Investment securities Available-for-sale: Federal agency obligations $ 30,972 $ — $ 30,972 $ — Residential mortgage pass-through securities 54,734 — 54,734 — Commercial mortgage pass-through securities 3,023 — 3,023 — Obligations of U.S. states and political subdivision 8,358 — 8,358 — Trust preferred securities 16,306 — 16,306 — Corporate bonds and notes 109,838 — 109,838 — Asset-backed securities 24,682 — 24,682 — Certificates of deposit 2,115 — 2,115 — Equity securities 327 327 — — Other securities 13,743 13,743 — — Total available-for-sale 264,098 14,070 250,028 — Loans held for sale 124 — 124 — Total assets $ 264,222 $ 14,070 $ 250,152 $ — Liabilities Derivatives $ 250 $ — $ 250 $ — Total liabilities $ 250 $ — $ 250 $ — December 31, 2014 Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant (in thousands) Recurring fair value measurements: Assets Investment securities: Available-for-sale: Federal agency obligations $ 32,817 $ — $ 32,817 $ — Residential mortgage pass-through securities 60,356 — 60,356 — Commercial mortgage pass-through securities 3,046 — 3,046 — Obligations of U.S. states and political subdivision 8,406 — 8,406 — Trust preferred securities 16,306 — 16,306 — Corporate bonds and notes 125,777 — 125,777 — Asset-backed securities 27,502 — 27,502 — Certificates of deposit 2,123 — 2,123 — Equity securities 307 307 — — Other securities 12,892 12,892 — — Total available-for-sale 289,532 13,199 276,333 — Derivatives 48 — 48 — Total assets $ 289,580 $ 13,199 $ 276,381 $ — |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | For assets measured at fair value on a non-recurring basis, the unobservable inputs used to derive fair value measurements at June 30, 2014 and December 31, 2014 were as follows: Range Impaired loans Valuation Techniques Range of Unobservable Inputs Minimum Maximum Commercial Appraisals of collateral value Adjustment for age of comparable sales 0% 15% Commercial real estate Appraisals of collateral value Market capitalization rates, Market rental rates for similar properties 8% 12% Range Impaired loans Valuation Techniques Range of Unobservable Inputs Minimum Maximum Commercial Appraisals of collateral value Adjustment for age of comparable sales 0% 15% Commercial real estate Appraisals of collateral value Market capitalization rates, Market rental rates for similar properties 8% 12% |
Fair Value Measurements, Nonrecurring [Table Text Block] | Fair Value Measurements at Reporting Date Using Assets measured at fair value on a nonrecurring June 30, Quoted Significant Significant Impaired loans (in thousands) Commercial $ 3,516 $ — $ — $ 3,516 Commercial real estate 1,113 — — 1,113 Fair Value Measurements at Reporting Date Using Assets Measured at Fair Value on a Non- December 31, Quoted Significant Significant Impaired loans (in thousands) Commercial $ 276 $ — $ — $ 276 Commercial real estate 3,369 — — 3,369 |
Fair Value, by Balance Sheet Grouping [Table Text Block] | The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments as of June 30, 2015 and December 31, 2014. Fair Value Measurements Carrying Fair Quoted Significant Significant (in thousands) June 30, 2015 Financial assets Cash and cash equivalents $ 125,483 $ 125,483 $ 125,483 $ — $ — Investment securities available-for-sale 264,098 264,098 14,070 250,028 — Investment securities held-to-maturity 232,557 237,205 29,016 189,523 18,666 Restricted investment in bank stocks 27,078 n/a n/a n/a n/a Loans held for sale 124 124 124 Net loans 2,747,808 2,734,082 — — 2,734,082 Accrued interest receivable 12,055 12,055 67 3,458 8,530 Financial liabilities Noninterest-bearing deposits 553,008 553,008 553,008 — — Interest-bearing deposits 2,016,223 2,019,036 — 2,019,036 — Borrowings 548,758 552,752 — 552,752 — Subordinated debentures 55,155 54,944 — 54,944 — Derivatives 250 250 — 250 — Accrued interest payable 4,428 4,428 — 4,428 — Fair Value Measurements Carrying Fair Quoted Significant Significant (in thousands) December 31, 2014 Financial assets Cash and cash equivalents $ 126,847 $ 126,847 $ 126,847 $ — $ — Investment securities available-for-sale 289,532 289,532 13,199 276,333 — Investment securities held-to-maturity 224,682 231,445 29,184 183,489 18,772 Restricted investment in bank stocks 23,535 n/a n/a n/a n/a Net loans 2,524,481 2,538,415 — — 2,538,415 Derivatives 48 48 — 48 — Accrued interest receivable 11,700 11,700 68 3,674 7,958 Financial liabilities Noninterest-bearing deposits 492,515 492,515 492,515 — — Interest-bearing deposits 1,983,092 1,990,484 — 1,990,484 — Borrowings 495,553 505,641 — 505,641 — Subordinated debentures 5,155 4,768 — 4,768 — Accrued interest payable 3,930 3,930 — 3,930 — |
Accumulated Other Comprehensi28
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure Text Block [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Accumulated other comprehensive loss (net of tax) at June 30, 2015 and December 31, 2014 consisted of the following: June 30, December 31, (in thousands) Net unrealized gain on investment securities available-for-sale $ 3,665 $ 4,874 Cash flow hedge (148 ) 28 Unamortized component of securities transferred from available-for-sale to held-to-maturity (1,225 ) (1,301 ) Defined benefit pension and post-retirement plans (4,022 ) (4,615 ) Total accumulated other comprehensive loss $ (1,730 ) $ (1,014 ) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block] | Options activity under the stock-based compensation plans as of June 30, 2015 and changes during the Six months ended June 30, 2015 were as follows: Shares Weighted- Weighted- Aggregate Outstanding at December 31, 2014 882,657 $ 5.65 Exercised (339,334 ) $ 4.16 Canceled/expired — Forfeited (4,731 ) Outstanding at June 30, 2015 538,592 $ 6.51 3.67 $ 8,087,713 Exercisable at June 30, 2015 533,794 $ 6.45 3.64 $ 8,052,735 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | The fair value of the stock granted was based on the closing market price of the Company’s common stock as of the grant date. Generally, grants of restricted shares to date vest one-third, each, on the first, second and third anniversaries of the grant date. Nonvested Shares Weighted- Nonvested at December 31, 2014 50,203 $ 11.79 Granted 67,906 18.50 Vested (20,565 ) 10.76 Forfeited/cancelled/expired — — Outstanding at June 30, 2015 97,544 $ 16.62 |
Schedule of Unearned Performance Unit Awards [Table Text Block] | A summary of the status of unearned performance unit awards and the change during the period is presented in the table below: Shares Weighted- Unearned at April 30, 2015 94,585 $ 19.46 Awarded — — Forfeited — — Expired — — Unearned at June 30, 2015 94,585 $ 19.46 |
Components of Net Periodic Pe30
Components of Net Periodic Pension Cost (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of Net Benefit Costs [Table Text Block] | The following table sets forth the net periodic pension cost of the Company’s pension plan for the periods indicated. Three Months Ended Six Months Ended 2015 2014 2015 2014 (in thousands) Interest cost $ 129 $ 144 $ 267 $ 288 Expected return on plan assets (127 ) (149 ) (264 ) (298 ) Net amortization 108 56 216 112 Recognized settlement loss 115 — 565 — Net periodic pension cost $ 225 $ 51 $ 784 $ 102 Net actuarial gain $ (261 ) $ — $ (1,003 ) $ (1,281 ) Total recognized in other comprehensive income $ (261 ) $ — $ (1,003 ) $ (1,281 ) Total recognized in net expense and OCI (before tax) $ (36 ) $ 51 $ (219 ) $ (1,179 ) |
FHLB and other borrowings (Tabl
FHLB and other borrowings (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | The Company’s FHLB and other borrowings and weighted average interest rates are summarized below: June 30, 2015 December 31, 2014 Amount Rate Amount Rate (in thousands) By type of borrowing: FHLB borrowings $ 533,758 1.20 % $ 464,553 1.18 % Repurchase agreements 15,000 5.95 % 31,000 5.90 % Total borrowings $ 548,758 1.33 % $ 495,553 1.48 % By remaining period to maturity: One year or less $ 252,758 0.50 % 258,553 0.50 % One to two years 85,000 1.23 % 30,000 1.40 % Two to three years 56,000 2.79 % 71,000 2.33 % Three to four years 90,000 1.89 % 96,000 2.67 % Four to five years 25,000 1.85 % — — Greater than five years 40,000 3.43 % 40,000 3.42 % Total borrowings $ 548,758 1.33 % $ 495,553 1.48 % |
Subordinated Debentures (Tables
Subordinated Debentures (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Subordinated Borrowings [Abstract] | |
Schedule of Subordinated Borrowing [Table Text Block] | The following table summarizes the mandatory redeemable trust preferred securities of the Company’s Statutory Trust II at June 30, 2015. Issuance Date Securities Issued Liquidation Value Coupon Rate Maturity Redeemable by Issuer Beginning 12/19/2003 $ 5,000,000 $1,000 per Capital Security Floating 3-month LIBOR + 285 Basis Points 01/23/2034 01/23/2009 Issuance Date Securities Issued Liquidation Value Coupon Rate Maturity Redeemable by Issuer Beginning 12/19/2003 $ 5,000,000 $1,000 per Capital Security Floating 3-month LIBOR + 285 Basis Points 01/23/2034 01/23/2009 |
Nature of Operations and Prin33
Nature of Operations and Principles of Consolidation (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Nature of Operations and Principles of Consolidation (Details) [Line Items] | |
Number of offices merge | 23 |
Restatement Adjustment [Member] | |
Nature of Operations and Principles of Consolidation (Details) [Line Items] | |
Loans Secured by Taxi Medallions | $ 75.4 |
Financing Receivable Recorded Investment Originally Reported | $ 2.8 |
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Minimum | 3.00% |
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Maximum | 3.25% |
Debt Instrument, Interest Rate, Increase (Decrease) | 3.75% |
Restatement Adjustment [Member] | Pass [Member] | |
Nature of Operations and Principles of Consolidation (Details) [Line Items] | |
Loans Secured by Taxi Medallions | $ 56.8 |
Restatement Adjustment [Member] | Special Mention [Member] | |
Nature of Operations and Principles of Consolidation (Details) [Line Items] | |
Loans Secured by Taxi Medallions | $ 18.6 |
Minimum [Member] | Restatement Adjustment [Member] | |
Nature of Operations and Principles of Consolidation (Details) [Line Items] | |
Amortization Period for Interest | 25 years |
Maximum [Member] | Restatement Adjustment [Member] | |
Nature of Operations and Principles of Consolidation (Details) [Line Items] | |
Amortization Period for Interest | 30 years |
Business Combinations (Details)
Business Combinations (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2015 | Dec. 31, 2014 | Jul. 01, 2014 | |
Business Combinations (Details) [Line Items] | |||
Common Stock Conversion Ratio Shares (in Shares) | 2.6 | ||
Goodwill Recorded in Business Acquisition | $ 129,105,000 | $ 129,105,000 | |
Finite Lived Intangible Asset Acquired | 5,308,000 | ||
Business Combination, Consideration Transferred | $ 264,231 | ||
Finite-Lived Intangible Asset, Useful Life | 10 years | ||
Business Combination, Acquisition Related Costs | $ 12,400,000 | ||
Legacy ConnectOne [Member] | |||
Business Combinations (Details) [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 1,500,000,000 | ||
Business Combination Recognized Identifiable Assets Acquired and Liabilities Assumed Non Current Loans | 1,200,000,000 | ||
Business Combination Recognized Identifiable Assets Acquired and Liabilities Assumed Non Current Deposits | $ 1,100,000,000 |
Business Combinations (Detail35
Business Combinations (Details) - Schedule of business combinations - USD ($) | Jun. 30, 2015 | Jul. 01, 2014 | |
Business Acquisition [Line Items] | |||
Cash and cash equivalents | $ 70,318,000 | ||
Investment securities | 28,452,000 | ||
Restricted stock | 13,646,000 | ||
Loans held for sale | 190,000 | ||
Loans | 1,299,284,000 | ||
Bank owned life insurance | 15,481,000 | ||
Premises and equipment | 6,475,000 | ||
Accrued interest receivable | 4,470,000 | ||
Core deposit and other intangibles | 5,308,000 | ||
Other real estate owned | 2,455,000 | ||
Other assets | 14,286,000 | ||
Deposits | (1,051,342,000) | ||
FHLB borrowings | (263,370,000) | ||
Other liabilities | (10,527,000) | ||
Total identifiable net assets | 135,126,000 | ||
Goodwill recorded in the Merger | 129,105,000 | $ 129,105,000 | |
Fair Value Adjustments [Member] | |||
Business Acquisition [Line Items] | |||
Investment securities | [1] | 16,000 | |
Loans | [2] | (5,316,000) | |
Premises and equipment | [3] | (905,000) | |
Core deposit and other intangibles | [4] | 5,308,000 | |
Other assets | [5] | 3,650,000 | |
Deposits | [6] | (1,676,000) | |
FHLB borrowings | [7] | (1,324,000) | |
Total identifiable net assets | (247,000) | ||
Legacy ConnectOne [Member] | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | 70,318,000 | ||
Investment securities | 28,436,000 | ||
Restricted stock | 13,646,000 | ||
Loans held for sale | 190,000 | ||
Loans | 1,304,600,000 | ||
Bank owned life insurance | 15,481,000 | ||
Premises and equipment | 7,380,000 | ||
Accrued interest receivable | 4,470,000 | ||
Other real estate owned | 2,455,000 | ||
Other assets | 10,636,000 | ||
Deposits | (1,049,666,000) | ||
FHLB borrowings | (262,046,000) | ||
Other liabilities | (10,527,000) | ||
Total identifiable net assets | $ 135,373,000 | ||
[1] | Represents the fair value adjustment on investment securities held to maturity. | ||
[2] | Represents the elimination of Legacy ConnectOne's allowance for loan and lease losses, deferred fees, deferred costs and an adjustment of the amortized cost of loans to estimated fair value, which includes an interest rate mark and credit mark. | ||
[3] | Represent an adjustment to reflect the fair value of above-market rent on leased premises. The above-market rent adjustment will be amortized on a straight-line basis over the remaining term of the respective leases. | ||
[4] | Represents intangible assets recorded to reflect the fair value of core deposits. The core deposit asset was recorded as an identifiable intangible asset and will be amortized on an accelerated basis over the estimated average life of the deposit base. | ||
[5] | Consist primarily of adjustments in net deferred tax assets resulting from the fair value adjustments related to acquired assets, liabilities assumed and identifiable intangibles recorded. | ||
[6] | Represents fair value adjustment on time deposits as the weighted average interest rates of time deposits assumed exceeded the costs of similar funding available in the market at the time of the Merger, as well as the elimination of fees paid on brokered time deposits. | ||
[7] | Represents the fair value adjustment on FHLB borrowings as the weighted average interest rate of FHLB borrowings assumed exceeded the cost of similar funding available in the market at the time of the Merger. |
Business Combinations (Detail36
Business Combinations (Details) - Loans accounted for in accordance with ASC 310-30 - Loans accounted for in accordance with FASB ASC 310-30 [Member] $ in Thousands | Jul. 01, 2014USD ($) |
Business Combinations (Details) - Loans accounted for in accordance with ASC 310-30 [Line Items] | |
Contractual principal and accrued interest at acquisition | $ 23,284 |
Principal not expected to be collected (non-accretable discount) | (6,942) |
Expected cash flows at acquisition | 16,342 |
Interest component of expected cash flows (accretable discount) | (5,013) |
Fair value of acquired loans | $ 11,329 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - Schedule of earnings per common share - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Schedule of earnings per common share [Abstract] | |||||
Net income | $ 10,521 | $ 4,378 | $ 20,901 | $ 8,776 | $ 18,565 |
Less: preferred stock dividends | (28) | (28) | (56) | (56) | |
Net income available to common stockholders | $ 10,493 | $ 4,350 | $ 20,845 | $ 8,720 | |
Basic weighted average common shares outstanding | 29,868,247 | 16,372,885 | 29,812,521 | 16,361,596 | |
Plus: effect of dilutive options and awards | 363,000 | 57,000 | 391,000 | 60,000 | |
Diluted weighted average common shares outstanding | 30,231,480 | 16,430,376 | 30,203,682 | 16,422,339 | |
Earnings per common share: | |||||
Basic | $ 0.35 | $ 0.27 | $ 0.70 | $ 0.53 | |
Diluted | $ 0.35 | $ 0.26 | $ 0.69 | $ 0.53 |
Investment Securities (Details)
Investment Securities (Details) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015USD ($) | Dec. 31, 2014USD ($) | |
Investments, Debt and Equity Securities [Abstract] | ||
Number of Investment Securities Sold | 85 | 54 |
Available-for-sale Securities Pledged as Collateral | $ 192.6 | $ 224.7 |
Description of Holding Securities | there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. |
Investment Securities (Detail39
Investment Securities (Details) - Unrealized gains on investment securities - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | $ 258,057 | $ 281,461 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 6,650 | 8,596 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (609) | (525) |
Investment Securities Available-for-Sale, Fair Value | 264,098 | 289,532 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 232,557 | 224,682 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 5,225 | 6,858 |
Investment Securities Held-to-Maturity, Gross Unrealized Losses | (577) | (95) |
Investment Securities Held-to-Maturity, Fair Value | 237,205 | 231,445 |
Total, Amortized Cost | 490,614 | 506,143 |
Total, Gross Unrealized Gains | 11,875 | 15,454 |
Total, Gross Unrealized Losses | (1,186) | (620) |
Total, Fair Value | 501,303 | 520,977 |
Federal Agency Obligations [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 30,713 | 32,650 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 304 | 217 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (45) | (50) |
Investment Securities Available-for-Sale, Fair Value | 30,972 | 32,817 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 35,146 | 27,103 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 368 | 322 |
Investment Securities Held-to-Maturity, Gross Unrealized Losses | (140) | (28) |
Investment Securities Held-to-Maturity, Fair Value | 35,374 | 27,397 |
Residential Mortgage Backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 53,624 | 58,836 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 1,181 | 1,531 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (71) | (11) |
Investment Securities Available-for-Sale, Fair Value | 54,734 | 60,356 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 4,751 | 5,955 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 2 | 28 |
Investment Securities Held-to-Maturity, Gross Unrealized Losses | (28) | |
Investment Securities Held-to-Maturity, Fair Value | 4,725 | 5,983 |
Commercial Mortgage Backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 3,012 | 3,042 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 11 | 4 |
Investment Securities Available-for-Sale, Fair Value | 3,023 | 3,046 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 4,188 | 4,266 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 56 | 50 |
Investment Securities Held-to-Maturity, Gross Unrealized Losses | (1) | |
Investment Securities Held-to-Maturity, Fair Value | 4,243 | 4,316 |
US States and Political Subdivisions Debt Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 8,194 | 8,201 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 164 | 205 |
Investment Securities Available-for-Sale, Fair Value | 8,358 | 8,406 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 119,130 | 120,144 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 3,466 | 4,512 |
Investment Securities Held-to-Maturity, Gross Unrealized Losses | (277) | (60) |
Investment Securities Held-to-Maturity, Fair Value | 122,319 | 124,596 |
Trust Preferred Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 16,087 | 16,086 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 456 | 489 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (237) | (269) |
Investment Securities Available-for-Sale, Fair Value | 16,306 | 16,306 |
Corporate Bonds and Notes [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 105,518 | 119,838 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 4,386 | 5,950 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (66) | (11) |
Investment Securities Available-for-Sale, Fair Value | 109,838 | 125,777 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 40,975 | 38,950 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 684 | 1,026 |
Investment Securities Held-to-Maturity, Gross Unrealized Losses | (131) | (7) |
Investment Securities Held-to-Maturity, Fair Value | 41,528 | 39,969 |
Asset-backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 24,592 | 27,393 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 103 | 140 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (13) | (31) |
Investment Securities Available-for-Sale, Fair Value | 24,682 | 27,502 |
Certificates of Deposit [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 2,096 | 2,098 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 27 | 27 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (8) | (2) |
Investment Securities Available-for-Sale, Fair Value | 2,115 | 2,123 |
Equity Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 376 | 376 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (49) | (69) |
Investment Securities Available-for-Sale, Fair Value | 327 | 307 |
Other Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale, Amortized Cost | 13,845 | 12,941 |
Investment Securities Available-for-Sale, Gross Unrealized Gains | 18 | 33 |
Investment Securities Available-for-Sale, Gross Unrealized Losses | (120) | (82) |
Investment Securities Available-for-Sale, Fair Value | 13,743 | 12,892 |
US Treasury Securities [Member] | ||
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity, Amortized Cost | 28,367 | 28,264 |
Investment Securities Held-to-Maturity, Gross Unrealized Gains | 649 | 920 |
Investment Securities Held-to-Maturity, Fair Value | $ 29,016 | $ 29,184 |
Investment Securities (Detail40
Investment Securities (Details) - Investments classified by maturity date - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Investment securities available-for-sale: | ||
Due in one year or less | $ 21,828 | |
Due in one year or less | 22,070 | |
Due after one year through five years | 34,670 | |
Due after one year through five years | 36,039 | |
Due after five years through ten years | 77,279 | |
Due after five years through ten years | 80,288 | |
Due after ten years | 53,423 | |
Due after ten years | 53,874 | |
Total | 258,057 | $ 281,461 |
Total | 264,098 | |
Investment securities held-to-maturity: | ||
Due in one year or less | 4,982 | |
Due in one year or less | 4,983 | |
Due after one year through five years | 11,202 | |
Due after one year through five years | 11,354 | |
Due after five years through ten years | 73,367 | |
Due after five years through ten years | 74,931 | |
Due after ten years | 134,067 | |
Due after ten years | 136,969 | |
Total | 232,557 | 224,682 |
Total | 237,205 | 231,445 |
Total investment securities | 490,614 | |
Total investment securities | 501,296 | |
Residential Mortgage Backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Amortized Cost | 53,624 | |
Investment Securities Available-for-Sale: Fair Value | 54,734 | |
Total | 53,624 | 58,836 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Amoritzed Cost | 4,751 | |
Investment Securities Held-to-Maturity: Fair Value | 4,725 | |
Total | 4,725 | 5,983 |
Commercial Mortgage Backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Amortized Cost | 3,012 | |
Investment Securities Available-for-Sale: Fair Value | 3,023 | |
Total | 3,012 | 3,042 |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Amoritzed Cost | 4,188 | |
Investment Securities Held-to-Maturity: Fair Value | 4,243 | |
Total | 4,243 | 4,316 |
Equity Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Amortized Cost | 376 | |
Investment Securities Available-for-Sale: Fair Value | 327 | |
Total | 376 | 376 |
Other Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Amortized Cost | 13,845 | |
Investment Securities Available-for-Sale: Fair Value | 13,743 | |
Total | $ 13,845 | $ 12,941 |
Investment Securities (Detail41
Investment Securities (Details) - Schedule of realized gains and losses - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of realized gains and losses [Abstract] | ||||
Proceeds | $ 2,734 | $ 16,127 | $ 12,271 | $ 66,738 |
Gross gains on sales of investment securities | 221 | 579 | 726 | 2,011 |
Gross losses on sales of investment securities | (5) | (22) | ||
Net gains on sales of investment securities | 221 | 574 | 726 | 1,989 |
Less: tax provision on net gains | 90 | 179 | 297 | 559 |
Total | $ 131 | $ 395 | $ 429 | $ 1,430 |
Investment Securities (Detail42
Investment Securities (Details) - Schedule of preferred security and associated ratings - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Dec. 31, 2014 | |
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 258,057 | $ 281,461 |
Available-for-sale Securities, Fair Value | 264,098 | 289,532 |
Trust Preferred Securities [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 16,087 | 16,086 |
Available-for-sale Securities, Fair Value | 16,306 | $ 16,306 |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | 219 | |
Trust Preferred Securities [Member] | Countrywide Capital IV [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 1,771 | |
Available-for-sale Securities, Fair Value | 1,804 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 33 | |
Lowest Credit Rating Assigned | BB | |
Trust Preferred Securities [Member] | Countrywide Capital V [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 2,747 | |
Available-for-sale Securities, Fair Value | 2,831 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 84 | |
Lowest Credit Rating Assigned | BB | |
Trust Preferred Securities [Member] | Nationsbank Cap Trust III [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 1,576 | |
Available-for-sale Securities, Fair Value | 1,339 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ (237) | |
Lowest Credit Rating Assigned | BB | |
Trust Preferred Securities [Member] | Morgan Stanley Cap Trust IV [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 2,500 | |
Available-for-sale Securities, Fair Value | 2,544 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 44 | |
Lowest Credit Rating Assigned | BB | |
Trust Preferred Securities [Member] | Goldman Sachs [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 1,000 | |
Available-for-sale Securities, Fair Value | 1,161 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 161 | |
Lowest Credit Rating Assigned | BB | |
Trust Preferred Securities [Member] | Stifel Financial [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 4,500 | |
Available-for-sale Securities, Fair Value | 4,590 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 90 | |
Lowest Credit Rating Assigned | BBB- | |
Additional Deal Value [Member] | Trust Preferred Securities [Member] | Countrywide Capital V [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 250 | |
Available-for-sale Securities, Fair Value | 258 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 8 | |
Lowest Credit Rating Assigned | BB | |
Additional Deal Value [Member] | Trust Preferred Securities [Member] | Morgan Stanley Cap Trust IV [Member] | ||
Investment Securities (Details) - Schedule of preferred security and associated ratings [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 1,743 | |
Available-for-sale Securities, Fair Value | 1,779 | |
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 36 | |
Lowest Credit Rating Assigned | BB |
Investment Securities (Detail43
Investment Securities (Details) - Schedule of unrealized losses not recognized in income - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | $ 41,490 | $ 31,583 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (609) | (525) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 34,029 | 22,545 |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (201) | (85) |
Investment Securities Available-for-Sale: 12 Months or Longer, Fair Value | 7,461 | 9,038 |
Investment Securities Available-for-Sale: 12 Months or Longer, Unrealized Losses | (408) | (440) |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Total, Fair Value | 42,564 | 12,562 |
Investment Securities Held-to-Maturity: Total, Unrealized Losses | (577) | (95) |
Investment Securities Held-to-Maturity: Less than 12 Months, Fair Value | 42,564 | 5,622 |
Investment Securities Held-to-Maturity: Less than 12 Months, Unrealized Losses | (577) | (38) |
Investment Securities Held-to-Maturity: 12 Months or Longer, Fair Value | 6,940 | |
Investment Securities Held-to-Maturity: 12 Months or Longer, Unrealized Losses | (57) | |
Fair Value, Total | 84,054 | 44,145 |
Unrealized Losses, Total | (1,186) | (620) |
Fair Value, Less than 12 Months | 76,593 | 28,167 |
Unrealized Losses, Less than 12 Months | (778) | (123) |
Fair Value, 12 Months or Longer | 7,461 | 15,978 |
Unrealized Losses, 12 Months or Longer | (408) | (497) |
Federal Agency Obligations [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 6,020 | 6,755 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (45) | (50) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 5,738 | 2,770 |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (43) | (9) |
Investment Securities Available-for-Sale: 12 Months or Longer, Fair Value | 282 | 3,985 |
Investment Securities Available-for-Sale: 12 Months or Longer, Unrealized Losses | (2) | (41) |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Total, Fair Value | 9,640 | 3,228 |
Investment Securities Held-to-Maturity: Total, Unrealized Losses | (140) | (28) |
Investment Securities Held-to-Maturity: Less than 12 Months, Fair Value | 9,640 | 3,228 |
Investment Securities Held-to-Maturity: Less than 12 Months, Unrealized Losses | (140) | (28) |
Residential Mortgage Backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 14,130 | 5,694 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (71) | (11) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 13,997 | 5,694 |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (71) | (11) |
Investment Securities Available-for-Sale: 12 Months or Longer, Fair Value | 133 | |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Total, Fair Value | 3,224 | |
Investment Securities Held-to-Maturity: Total, Unrealized Losses | (28) | |
Investment Securities Held-to-Maturity: Less than 12 Months, Fair Value | 3,224 | |
Investment Securities Held-to-Maturity: Less than 12 Months, Unrealized Losses | (28) | |
Trust Preferred Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 1,339 | 1,307 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (237) | (269) |
Investment Securities Available-for-Sale: 12 Months or Longer, Fair Value | 1,339 | 1,307 |
Investment Securities Available-for-Sale: 12 Months or Longer, Unrealized Losses | (237) | (269) |
Corporate Bonds and Notes [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 7,915 | 1,961 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (66) | (11) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 7,915 | 1,961 |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (66) | (11) |
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Total, Fair Value | 5,545 | 993 |
Investment Securities Held-to-Maturity: Total, Unrealized Losses | (131) | (7) |
Investment Securities Held-to-Maturity: Less than 12 Months, Fair Value | 5,545 | 993 |
Investment Securities Held-to-Maturity: Less than 12 Months, Unrealized Losses | (131) | (7) |
Asset-backed Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 6,165 | 9,773 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (13) | (31) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 6,165 | 9,773 |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (13) | (31) |
Certificates of Deposit [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 214 | 369 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (8) | (2) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 214 | 369 |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (8) | (2) |
Equity Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 327 | 307 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (49) | (69) |
Investment Securities Available-for-Sale: 12 Months or Longer, Fair Value | 327 | 307 |
Investment Securities Available-for-Sale: 12 Months or Longer, Unrealized Losses | (49) | (69) |
Other Securities [Member] | ||
Investment securities available-for-sale: | ||
Investment Securities Available-for-Sale: Total, Fair Value | 5,380 | 5,417 |
Investment Securities Available-for-Sale: Total, Unrealized Losses | (120) | (82) |
Investment Securities Available-for-Sale: Less than 12 Months, Fair Value | 1,978 | |
Investment Securities Available-for-Sale: Less than 12 Months, Unrealized Losses | (21) | |
Investment Securities Available-for-Sale: 12 Months or Longer, Fair Value | 5,380 | 3,439 |
Investment Securities Available-for-Sale: 12 Months or Longer, Unrealized Losses | (120) | (61) |
Commercial Mortgage Backed Securities [Member] | ||
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Total, Fair Value | 1,364 | |
Investment Securities Held-to-Maturity: Total, Unrealized Losses | (1) | |
Investment Securities Held-to-Maturity: Less than 12 Months, Fair Value | 1,364 | |
Investment Securities Held-to-Maturity: Less than 12 Months, Unrealized Losses | (1) | |
Obligation of U.S. States and Political Subdivisions [Member] | ||
Investment securities held-to-maturity: | ||
Investment Securities Held-to-Maturity: Total, Fair Value | 22,791 | 8,341 |
Investment Securities Held-to-Maturity: Total, Unrealized Losses | (277) | (60) |
Investment Securities Held-to-Maturity: Less than 12 Months, Fair Value | 22,791 | 1,401 |
Investment Securities Held-to-Maturity: Less than 12 Months, Unrealized Losses | $ (277) | (3) |
Investment Securities Held-to-Maturity: 12 Months or Longer, Fair Value | 6,940 | |
Investment Securities Held-to-Maturity: 12 Months or Longer, Unrealized Losses | $ (57) |
Derivatives (Details)
Derivatives (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | Oct. 15, 2014 | |
Derivatives (Details) [Line Items] | ||||||
Derivative, Notional Amount | $ 50,000,000 | $ 50,000,000 | $ 50,000,000 | |||
Interest Expense | 5,503,000 | $ 2,733,000 | 10,581,000 | $ 5,460,000 | ||
Cash Flow Derivative Instruments Gain (Loss) Recognized In Accumulated Other Comprehensive Income | 0 | |||||
Interest Rate Swap [Member] | ||||||
Derivatives (Details) [Line Items] | ||||||
Interest Expense | $ 165,000 | $ 331,000 | $ 0 | |||
Cash Flow Hedging [Member] | Interest Rate Swap [Member] | ||||||
Derivatives (Details) [Line Items] | ||||||
Derivative, Notional Amount | $ 25,000,000 |
Derivatives (Details) - Summary
Derivatives (Details) - Summary of interest rate swap designated as a cash flow hedges - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Summary of interest rate swap designated as a cash flow hedges [Abstract] | |||
Notional amount | $ 50,000 | $ 50,000 | |
Weighted average pay rates | 1.58% | 1.58% | |
Weighted average receive rates | 0.26% | 0.24% | |
Weighted average maturity | 3 years 328 days | 4 years 146 days | |
Fair value | $ (250) | $ 48 |
Derivatives (Details) - Summa46
Derivatives (Details) - Summary of net gains (losses) recorded in accumulated other comprehensive income and statements of income relating to cash flow derivative instruments $ in Thousands | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Interest Rate Contract [Member] | |
Derivatives (Details) - Summary of net gains (losses) recorded in accumulated other comprehensive income and statements of income relating to cash flow derivative instruments [Line Items] | |
Interest rate contracts | $ (298) |
Loans and the Allowance for L47
Loans and the Allowance for Loan and Lease Losses (Details) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |
Loans and the Allowance for Loan and Lease Losses (Details) [Line Items] | |||
Number of Segments of Loans and Leases | 5 | ||
Non Accrual Contractual Due | 90 years | ||
Threshold to Determine Impaired Loans | $ 250,000 | ||
Period Considered to Calculate Actual Loss | 3 years | ||
Loans Pledged as Collateral | $ 1,400,000,000 | $ 1,000,000,000 | |
Financing Receivable, Collectively Evaluated for Impairment | 2,744,010,000 | 2,516,251,000 | |
Commitments to Lend Additional Funds | 0 | ||
Financing Receivable, Modifications, Recorded Investment | 2,800,000 | 2,800,000 | |
Loans Modified In Troubled Debt Restructuring On Non Accrual Status | $ 1,100,000 | 1,000,000 | |
Financing Receivable, Modifications, Number of Contracts | 0 | 2 | |
Financing Receivables, Impaired, Troubled Debt Restructuring, Write-down | $ 0 | $ 333,000 | |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 0 | ||
Acquired Loans [Member] | |||
Loans and the Allowance for Loan and Lease Losses (Details) [Line Items] | |||
Financing Receivable, Collectively Evaluated for Impairment | $ 1,100,000,000 | 1,200,000,000 | |
Restatement Adjustment [Member] | |||
Loans and the Allowance for Loan and Lease Losses (Details) [Line Items] | |||
Financing Receivable, Collectively Evaluated for Impairment | 2,668,635,000 | ||
Financing Receivable, Modifications, Recorded Investment | 75,400,000 | 2,800,000 | |
Loans Modified In Troubled Debt Restructuring On Non Accrual Status | 1,100,000 | $ 1,000,000 | |
Valuation Per Medallion Amount | $ 884,000 | ||
Financing Receivable, Modifications, Number of Contracts | 47 | ||
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Minimum | 3.00% | ||
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Maximum | 3.25% | ||
Debt Instrument, Interest Rate, Increase (Decrease) | 3.75% | ||
Minimum [Member] | Restatement Adjustment [Member] | |||
Loans and the Allowance for Loan and Lease Losses (Details) [Line Items] | |||
Amortization Period for Interest | 25 years | ||
Maximum [Member] | Restatement Adjustment [Member] | |||
Loans and the Allowance for Loan and Lease Losses (Details) [Line Items] | |||
Amortization Period for Interest | 30 years |
Loans and the Allowance for L48
Loans and the Allowance for Loan and Lease Losses (Details) - Composition of loan portfolio - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 2,767,215 | $ 2,539,531 |
Net deferred loan fees | (1,927) | (890) |
Total loans receivable | 2,765,288 | 2,538,641 |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 568,969 | 499,816 |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 1,751,391 | 1,634,510 |
Construction Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 220,267 | 167,359 |
Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 224,134 | 234,967 |
Consumer Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 2,454 | $ 2,879 |
Loans and the Allowance for L49
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | $ 9,240 | $ 9,821 |
Commercial Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | 7,120 | 7,199 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | 1,803 | 1,816 |
Residential Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | $ 317 | $ 806 |
Loans and the Allowance for L50
Loans and the Allowance for Loan and Lease Losses (Details) - Schedule of accretable yield, or income expected to be collected $ in Thousands | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Schedule of accretable yield, or income expected to be collected [Abstract] | |
Balance at December 31, 2014 | $ 4,805 |
Accretion of income | (127) |
Balance at June 30, 2015 | $ 4,678 |
Loans and the Allowance for L51
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 12,145 | $ 11,609 |
Commercial Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 5,070 | 616 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 3,903 | 8,197 |
Residential Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 3,172 | $ 2,796 |
Loans and the Allowance for L52
Loans and the Allowance for Loan and Lease Losses (Details) - Credit quality indicators - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | $ 2,767,215 | $ 2,539,531 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,682,004 | 2,477,674 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 44,096 | 19,305 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 40,851 | 42,263 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 264 | 289 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 568,969 | 499,816 |
Commercial Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 533,287 | 481,638 |
Commercial Portfolio Segment [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 22,608 | 3,686 |
Commercial Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 12,810 | 14,203 |
Commercial Portfolio Segment [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 264 | 289 |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,751,391 | 1,634,510 |
Commercial Real Estate Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,707,191 | 1,596,606 |
Commercial Real Estate Portfolio Segment [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 21,488 | 14,140 |
Commercial Real Estate Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 22,712 | 23,764 |
Construction Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 220,267 | 167,359 |
Construction Loans [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 218,788 | 165,880 |
Construction Loans [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,479 | |
Construction Loans [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,479 | |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 224,134 | 234,967 |
Residential Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 220,376 | 230,772 |
Residential Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 3,758 | 4,195 |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,454 | 2,879 |
Consumer Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,362 | 2,778 |
Consumer Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 92 | $ 101 |
Restatement Adjustment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,767,215 | |
Restatement Adjustment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,625,245 | |
Restatement Adjustment [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 100,855 | |
Restatement Adjustment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 40,851 | |
Restatement Adjustment [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 264 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 568,969 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 476,528 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 79,367 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 12,810 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 264 | |
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,751,391 | |
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,707,191 | |
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 21,488 | |
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 22,712 | |
Restatement Adjustment [Member] | Construction Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 220,267 | |
Restatement Adjustment [Member] | Construction Loans [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 218,788 | |
Restatement Adjustment [Member] | Construction Loans [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 1,479 | |
Restatement Adjustment [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 224,134 | |
Restatement Adjustment [Member] | Residential Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 220,376 | |
Restatement Adjustment [Member] | Residential Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 3,758 | |
Restatement Adjustment [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,454 | |
Restatement Adjustment [Member] | Consumer Portfolio Segment [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | 2,362 | |
Restatement Adjustment [Member] | Consumer Portfolio Segment [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross, Carrying Amount | $ 92 |
Loans and the Allowance for L53
Loans and the Allowance for Loan and Lease Losses (Details) - Schedule of analysis of impaired loans, by class - USD ($) | Jun. 30, 2015 | Dec. 31, 2014 |
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | $ 8,116,000 | $ 9,552,000 |
No related allowance recorded, Unpaid Principal Balance | 8,904,000 | 10,622,000 |
With an allowance recorded | ||
With an allowance recorded, Recorded Investment | 5,849,000 | 3,907,000 |
With an allowance recorded, Unpaid Principal Balance | 5,800,000 | 3,910,000 |
With an allowance recorded, Related Allowance | 891,000 | 262,000 |
Total | ||
Total, Recorded Investment | 13,965,000 | 13,459,000 |
Total, Unpaid Principal Balance | 14,704,000 | 14,532,000 |
Total, Related Allowance | 891,000 | 262,000 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 713,000 | 481,000 |
No related allowance recorded, Unpaid Principal Balance | 741,000 | 527,000 |
With an allowance recorded | ||
With an allowance recorded, Recorded Investment | 4,357,000 | 387,000 |
With an allowance recorded, Unpaid Principal Balance | 4,365,000 | 390,000 |
With an allowance recorded, Related Allowance | 642,000 | 111,000 |
Total | ||
Total, Recorded Investment | 5,070,000 | 868,000 |
Total, Unpaid Principal Balance | 5,106,000 | 917,000 |
Total, Related Allowance | 642,000 | 111,000 |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 3,857,000 | 5,890,000 |
No related allowance recorded, Unpaid Principal Balance | 4,222,000 | 6,587,000 |
With an allowance recorded | ||
With an allowance recorded, Recorded Investment | 1,492,000 | 3,520,000 |
With an allowance recorded, Unpaid Principal Balance | 1,435,000 | 3,520,000 |
With an allowance recorded, Related Allowance | 249,000 | 151,000 |
Total | ||
Total, Recorded Investment | 5,349,000 | 9,410,000 |
Total, Unpaid Principal Balance | 5,657,000 | 10,107,000 |
Total, Related Allowance | 249,000 | 151,000 |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 3,446,000 | 3,072,000 |
No related allowance recorded, Unpaid Principal Balance | 3,849,000 | 3,407,000 |
Total | ||
Total, Recorded Investment | 3,446,000 | 3,072,000 |
Total, Unpaid Principal Balance | 3,849,000 | 3,407,000 |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 100,000 | 109,000 |
No related allowance recorded, Unpaid Principal Balance | 92,000 | 101,000 |
Total | ||
Total, Recorded Investment | 100,000 | 109,000 |
Total, Unpaid Principal Balance | 92,000 | $ 101,000 |
Restatement Adjustment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 83,491,000 | |
No related allowance recorded, Unpaid Principal Balance | 84,044,000 | |
With an allowance recorded | ||
With an allowance recorded, Recorded Investment | 5,849,000 | |
With an allowance recorded, Unpaid Principal Balance | 5,800,000 | |
With an allowance recorded, Related Allowance | 891,000 | |
Total | ||
Total, Recorded Investment | 89,340,000 | |
Total, Unpaid Principal Balance | 89,844,000 | |
Total, Related Allowance | 891,000 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 76,088,000 | |
No related allowance recorded, Unpaid Principal Balance | 75,881,000 | |
With an allowance recorded | ||
With an allowance recorded, Recorded Investment | 4,357,000 | |
With an allowance recorded, Unpaid Principal Balance | 4,365,000 | |
With an allowance recorded, Related Allowance | 642,000 | |
Total | ||
Total, Recorded Investment | 80,445,000 | |
Total, Unpaid Principal Balance | 80,246,000 | |
Total, Related Allowance | 642,000 | |
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 3,857,000 | |
No related allowance recorded, Unpaid Principal Balance | 4,222,000 | |
With an allowance recorded | ||
With an allowance recorded, Recorded Investment | 1,492,000 | |
With an allowance recorded, Unpaid Principal Balance | 1,435,000 | |
With an allowance recorded, Related Allowance | 249,000 | |
Total | ||
Total, Recorded Investment | 5,349,000 | |
Total, Unpaid Principal Balance | 5,657,000 | |
Total, Related Allowance | 249,000 | |
Restatement Adjustment [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 3,446,000 | |
No related allowance recorded, Unpaid Principal Balance | 3,849,000 | |
Total | ||
Total, Recorded Investment | 3,446,000 | |
Total, Unpaid Principal Balance | 3,849,000 | |
Restatement Adjustment [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
No related allowance recorded, Recorded Investment | 100,000 | |
No related allowance recorded, Unpaid Principal Balance | 92,000 | |
Total | ||
Total, Recorded Investment | 100,000 | |
Total, Unpaid Principal Balance | $ 92,000 |
Loans and the Allowance for L54
Loans and the Allowance for Loan and Lease Losses (Details) - Schedule of analysis related to the average recorded investment - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | $ 8,203 | $ 6,811 | $ 8,265 | $ 6,888 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 17 | 83 | 38 | 107 |
Impaired loans with an allowance recorded: | ||||
Impaired loans with an allowance recorded, Average Recorded Investment | 5,857 | 3,600 | 5,837 | 3,600 |
Impaired loans with an allowance recorded, Interest Income Recognized | 43 | 85 | ||
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 14,060 | 10,411 | 14,101 | 10,488 |
Total impaired loans, Interest Income Recognized | 17 | 126 | 38 | 192 |
Commercial Portfolio Segment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 722 | 1,357 | 713 | 1,370 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 16 | 30 | ||
Impaired loans with an allowance recorded: | ||||
Impaired loans with an allowance recorded, Average Recorded Investment | 1,559 | 1,569 | ||
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 2,281 | 1,357 | 2,282 | 1,370 |
Total impaired loans, Interest Income Recognized | 16 | 30 | ||
Commercial Real Estate Portfolio Segment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 3,898 | 3,112 | 3,935 | 3,123 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 13 | 42 | 32 | 43 |
Impaired loans with an allowance recorded: | ||||
Impaired loans with an allowance recorded, Average Recorded Investment | 4,298 | 3,600 | 4,268 | 3,600 |
Impaired loans with an allowance recorded, Interest Income Recognized | 43 | 85 | ||
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 8,196 | 6,712 | 8,202 | 6,723 |
Total impaired loans, Interest Income Recognized | 13 | 85 | 32 | 128 |
Residential Mortgage [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 3,481 | 2,229 | 3,512 | 2,280 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 2 | 24 | 4 | 31 |
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 3,481 | 2,229 | 3,512 | 2,280 |
Total impaired loans, Interest Income Recognized | 2 | 24 | 4 | 31 |
Consumer Portfolio Segment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 102 | 113 | 105 | 115 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 2 | 1 | 2 | 3 |
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 102 | 113 | 105 | 115 |
Total impaired loans, Interest Income Recognized | 2 | 1 | 2 | 3 |
Restatement Adjustment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 84,225 | 6,811 | 45,407 | 6,888 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 501 | 83 | 522 | 107 |
Impaired loans with an allowance recorded: | ||||
Impaired loans with an allowance recorded, Average Recorded Investment | 5,857 | 3,600 | 5,837 | 3,600 |
Impaired loans with an allowance recorded, Interest Income Recognized | 43 | 85 | ||
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 90,082 | 10,411 | 51,244 | 10,488 |
Total impaired loans, Interest Income Recognized | 501 | 126 | 522 | 192 |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 76,744 | 1,357 | 37,855 | 1,370 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 484 | 16 | 484 | 30 |
Impaired loans with an allowance recorded: | ||||
Impaired loans with an allowance recorded, Average Recorded Investment | 1,559 | 1,569 | ||
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 78,303 | 1,357 | 39,424 | 1,370 |
Total impaired loans, Interest Income Recognized | 484 | 16 | 484 | 30 |
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 3,898 | 3,112 | 3,935 | 3,123 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 13 | 42 | 32 | 43 |
Impaired loans with an allowance recorded: | ||||
Impaired loans with an allowance recorded, Average Recorded Investment | 4,298 | 3,600 | 4,268 | 3,600 |
Impaired loans with an allowance recorded, Interest Income Recognized | 43 | 85 | ||
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 8,196 | 6,712 | 8,203 | 6,723 |
Total impaired loans, Interest Income Recognized | 13 | 85 | 32 | 128 |
Restatement Adjustment [Member] | Residential Mortgage [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 3,481 | 2,229 | 3,512 | 2,280 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 2 | 24 | 4 | 31 |
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 3,481 | 2,229 | 3,512 | 2,280 |
Total impaired loans, Interest Income Recognized | 2 | 24 | 4 | 31 |
Restatement Adjustment [Member] | Consumer Portfolio Segment [Member] | ||||
Impaired loans with no related allowance recorded: | ||||
Impaired loans with no related allowance recorded, Average Recorded Investment | 102 | 113 | 105 | 115 |
Impaired loans with no related allowance recorded, Interest Income Recognized | 2 | 1 | 2 | 3 |
Total impaired loans: | ||||
Total impaired loans, Average Recorded Investment | 102 | 113 | 105 | 115 |
Total impaired loans, Interest Income Recognized | $ 2 | $ 1 | $ 2 | $ 3 |
Loans and the Allowance for L55
Loans and the Allowance for Loan and Lease Losses (Details) - Aging analysis - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | $ 2,395 | $ 12,848 |
60-89 Days Past Due | 4,143 | 849 |
90 Days or Greater Past Due | 10,588 | 9,823 |
Total Past Due | 17,126 | 23,519 |
Current | 2,750,089 | 2,516,012 |
Total Loans Receivable | 2,767,215 | 2,539,531 |
Loans Receivable > 90 Days Past Due and Accruing | 1,211 | |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 500 | 6,060 |
60-89 Days Past Due | 497 | |
90 Days or Greater Past Due | 4,812 | 662 |
Total Past Due | 5,809 | 6,722 |
Current | 563,160 | 493,094 |
Total Loans Receivable | 568,969 | 499,816 |
Loans Receivable > 90 Days Past Due and Accruing | 45 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 1,298 | 4,937 |
60-89 Days Past Due | 1,647 | 638 |
90 Days or Greater Past Due | 3,478 | 5,961 |
Total Past Due | 6,423 | 11,535 |
Current | 1,744,968 | 1,622,975 |
Total Loans Receivable | 1,751,391 | 1,634,510 |
Loans Receivable > 90 Days Past Due and Accruing | 609 | |
Construction Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 220,267 | 167,359 |
Total Loans Receivable | 220,267 | 167,359 |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 597 | 1,821 |
60-89 Days Past Due | 1,999 | 210 |
90 Days or Greater Past Due | 2,298 | 3,200 |
Total Past Due | 4,894 | 5,231 |
Current | 219,240 | 229,736 |
Total Loans Receivable | 224,134 | 234,967 |
Loans Receivable > 90 Days Past Due and Accruing | 557 | |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 30 | |
60-89 Days Past Due | 1 | |
Total Past Due | 31 | |
Current | 2,454 | 2,848 |
Total Loans Receivable | $ 2,454 | $ 2,879 |
Loans and the Allowance for L56
Loans and the Allowance for Loan and Lease Losses (Details) - Allowance for loan and lease losses - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 |
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, individually evaluated for impairment | $ 891 | $ 262 | ||||
Allowance for loan and lease losses, collectively evaluated for impairment | 16,589 | 13,898 | ||||
Allowance for loan and lease losses, total | 17,480 | $ 15,933 | 14,160 | $ 10,825 | $ 10,633 | $ 10,333 |
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 13,965 | 13,459 | ||||
Loans Receivable, collectively evaluated for impairment | 2,744,010 | 2,516,251 | ||||
Loans Receivables, acquired with deteriorated credit quality | 9,240 | 9,821 | ||||
Loans Receivable, Total | 2,767,215 | 2,539,531 | ||||
Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 9,240 | 9,821 | ||||
Commercial Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, individually evaluated for impairment | 642 | 111 | ||||
Allowance for loan and lease losses, collectively evaluated for impairment | 3,991 | 2,972 | ||||
Allowance for loan and lease losses, total | 4,633 | 3,927 | 3,083 | 2,142 | 2,225 | 1,698 |
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 5,070 | 868 | ||||
Loans Receivable, collectively evaluated for impairment | 556,779 | 491,749 | ||||
Loans Receivables, acquired with deteriorated credit quality | 7,120 | 7,199 | ||||
Loans Receivable, Total | 568,969 | 499,816 | ||||
Commercial Portfolio Segment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 7,120 | 7,199 | ||||
Commercial Real Estate Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, individually evaluated for impairment | 249 | 151 | ||||
Allowance for loan and lease losses, collectively evaluated for impairment | 8,946 | 7,648 | ||||
Allowance for loan and lease losses, total | 9,195 | 8,846 | 7,799 | 5,741 | 5,384 | 5,746 |
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 5,349 | 9,410 | ||||
Loans Receivable, collectively evaluated for impairment | 1,744,239 | 1,623,384 | ||||
Loans Receivables, acquired with deteriorated credit quality | 1,803 | 1,816 | ||||
Loans Receivable, Total | 1,751,391 | 1,634,510 | ||||
Commercial Real Estate Portfolio Segment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 1,803 | 1,816 | ||||
Construction Loans [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 1,945 | 1,239 | ||||
Allowance for loan and lease losses, total | 1,945 | 1,518 | 1,239 | 504 | 434 | 362 |
Loans receivable | ||||||
Loans Receivable, collectively evaluated for impairment | 220,267 | 167,359 | ||||
Loans Receivable, Total | 220,267 | 167,359 | ||||
Residential Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 1,161 | 1,113 | ||||
Allowance for loan and lease losses, total | 1,161 | 981 | 1,113 | 1,011 | 1,004 | 990 |
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 3,446 | 3,072 | ||||
Loans Receivable, collectively evaluated for impairment | 220,371 | 231,809 | ||||
Loans Receivables, acquired with deteriorated credit quality | 317 | 806 | ||||
Loans Receivable, Total | 224,134 | 234,967 | ||||
Residential Portfolio Segment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 317 | 806 | ||||
Consumer Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 7 | 7 | ||||
Allowance for loan and lease losses, total | 7 | 4 | 7 | 63 | 79 | 146 |
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 100 | 109 | ||||
Loans Receivable, collectively evaluated for impairment | 2,354 | 2,770 | ||||
Loans Receivable, Total | 2,454 | 2,879 | ||||
Unallocated Financing Receivables [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 539 | 919 | ||||
Allowance for loan and lease losses, total | 539 | $ 657 | $ 919 | $ 1,364 | $ 1,507 | $ 1,391 |
Restatement Adjustment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, individually evaluated for impairment | 891 | |||||
Allowance for loan and lease losses, collectively evaluated for impairment | 16,589 | |||||
Allowance for loan and lease losses, total | 17,480 | |||||
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 89,340 | |||||
Loans Receivable, collectively evaluated for impairment | 2,668,635 | |||||
Loans Receivable, Total | 2,767,215 | |||||
Restatement Adjustment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 9,240 | |||||
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, individually evaluated for impairment | 642 | |||||
Allowance for loan and lease losses, collectively evaluated for impairment | 3,991 | |||||
Allowance for loan and lease losses, total | 4,633 | |||||
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 80,445 | |||||
Loans Receivable, collectively evaluated for impairment | 481,404 | |||||
Loans Receivable, Total | 568,969 | |||||
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 7,120 | |||||
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, individually evaluated for impairment | 249 | |||||
Allowance for loan and lease losses, collectively evaluated for impairment | 8,946 | |||||
Allowance for loan and lease losses, total | 9,195 | |||||
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 5,349 | |||||
Loans Receivable, collectively evaluated for impairment | 1,744,239 | |||||
Loans Receivable, Total | 1,751,391 | |||||
Restatement Adjustment [Member] | Commercial Real Estate Portfolio Segment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 1,803 | |||||
Restatement Adjustment [Member] | Construction Loans [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 1,945 | |||||
Allowance for loan and lease losses, total | 1,945 | |||||
Loans receivable | ||||||
Loans Receivable, collectively evaluated for impairment | 220,267 | |||||
Loans Receivable, Total | 220,267 | |||||
Restatement Adjustment [Member] | Residential Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 1,161 | |||||
Allowance for loan and lease losses, total | 1,161 | |||||
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 3,446 | |||||
Loans Receivable, collectively evaluated for impairment | 220,371 | |||||
Loans Receivable, Total | 224,134 | |||||
Restatement Adjustment [Member] | Residential Portfolio Segment [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Loans receivable | ||||||
Loans Receivables, acquired with deteriorated credit quality | 317 | |||||
Restatement Adjustment [Member] | Consumer Portfolio Segment [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 7 | |||||
Allowance for loan and lease losses, total | 7 | |||||
Loans receivable | ||||||
Loans Receivable, individually evaluated for impairment | 100 | |||||
Loans Receivable, collectively evaluated for impairment | 2,354 | |||||
Loans Receivable, Total | 2,454 | |||||
Restatement Adjustment [Member] | Unallocated Financing Receivables [Member] | ||||||
Allowance for loan and lease losses | ||||||
Allowance for loan and lease losses, collectively evaluated for impairment | 539 | |||||
Allowance for loan and lease losses, total | $ 539 |
Loans and the Allowance for L57
Loans and the Allowance for Loan and Lease Losses (Details) - Schedule of allowance for loan losses - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | $ 17,480 | $ 10,825 | $ 17,480 | $ 10,825 | $ 15,933 | $ 14,160 | $ 10,633 | $ 10,333 |
Charged-offs | (334) | (94) | (395) | (430) | ||||
Recoveries | 331 | 2 | 340 | 13 | ||||
Provision | 1,550 | 284 | 3,375 | 909 | ||||
Commercial Portfolio Segment [Member] | ||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | 4,633 | 2,142 | 4,633 | 2,142 | 3,927 | 3,083 | 2,225 | 1,698 |
Charged-offs | (55) | (100) | (333) | |||||
Recoveries | 3 | 10 | ||||||
Provision | 758 | (83) | 1,640 | 777 | ||||
Commercial Real Estate Portfolio Segment [Member] | ||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | 9,195 | 5,741 | 9,195 | 5,741 | 8,846 | 7,799 | 5,384 | 5,746 |
Charged-offs | (278) | (282) | ||||||
Recoveries | 327 | 327 | ||||||
Provision | 300 | 357 | 1,351 | (5) | ||||
Construction Loans [Member] | ||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | 1,945 | 504 | 1,945 | 504 | 1,518 | 1,239 | 434 | 362 |
Provision | 427 | 70 | 706 | 142 | ||||
Residential Portfolio Segment [Member] | ||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | 1,161 | 1,011 | 1,161 | 1,011 | 981 | 1,113 | 1,004 | 990 |
Charged-offs | (90) | (90) | ||||||
Recoveries | 1 | 2 | 11 | |||||
Provision | 180 | 96 | 46 | 100 | ||||
Consumer Portfolio Segment [Member] | ||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | 7 | 63 | 7 | 63 | 4 | 7 | 79 | 146 |
Charged-offs | (1) | (4) | (13) | (7) | ||||
Recoveries | 1 | 1 | 1 | 2 | ||||
Provision | 3 | (13) | 12 | (78) | ||||
Unallocated Financing Receivables [Member] | ||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||||
Balance | 539 | 1,364 | 539 | 1,364 | $ 657 | $ 919 | $ 1,507 | $ 1,391 |
Provision | $ (118) | $ (143) | $ (380) | $ (27) |
Loans and the Allowance for L58
Loans and the Allowance for Loan and Lease Losses (Details) - Schedule of troubled debt restructuring by class $ in Thousands | 6 Months Ended | |
Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | ||
Number of Loans | 0 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 725 | |
Post-Modification Outstanding Recorded Investment | $ 366 | |
Commercial Portfolio Segment [Member] | ||
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | ||
Number of Loans | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 672 | |
Post-Modification Outstanding Recorded Investment | $ 315 | |
Residential Portfolio Segment [Member] | ||
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | ||
Number of Loans | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 53 | |
Post-Modification Outstanding Recorded Investment | $ 51 | |
Restatement Adjustment [Member] | ||
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | ||
Number of Loans | 47 | |
Pre-Modification Outstanding Recorded Investment | $ 75,375 | |
Post-Modification Outstanding Recorded Investment | $ 75,375 | |
Restatement Adjustment [Member] | Commercial Portfolio Segment [Member] | ||
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | ||
Number of Loans | 47 | |
Pre-Modification Outstanding Recorded Investment | $ 75,375 | |
Post-Modification Outstanding Recorded Investment | $ 75,375 |
Fair Value Measurements and F59
Fair Value Measurements and Fair Value of Financial Instruments (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Fair Value Disclosures [Abstract] | |||||
Transfer of Investment Securities Available for Sale | $ 0 | ||||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | $ 5,849,000 | 5,849,000 | $ 3,907,000 | ||
Impaired Financing Receivable, Related Allowance | 891,000 | 891,000 | $ 262,000 | ||
Allowance for Loan and Lease Losses, Period Increase (Decrease) | $ 185,000 | $ 110,000 | $ 629,000 | $ 222,000 |
Fair Value Measurements and F60
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of fair value, assets and liabilities measured on recurring basis - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | $ 264,098 | $ 289,532 |
Loans held for sale | 124 | |
Assets: Available-for-sale, Fair Value | 264,222 | 289,580 |
Liabilities | ||
Derivatives | 250 | |
Total liabilities | 250 | |
Available-for-sale: | ||
Derivatives | 48 | |
Federal Agency Obligations [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 30,972 | 32,817 |
Residential Mortgage Backed Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 54,734 | 60,356 |
Commercial Mortgage Backed Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 3,023 | 3,046 |
US States and Political Subdivisions Debt Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 8,358 | 8,406 |
Trust Preferred Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 16,306 | 16,306 |
Corporate Bonds and Notes [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 109,838 | 125,777 |
Asset-backed Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 24,682 | 27,502 |
Certificate of Deposit [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 2,115 | 2,123 |
Equity Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 327 | 307 |
Other Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 13,743 | 12,892 |
Fair Value, Inputs, Level 1 [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 14,070 | 13,199 |
Assets: Available-for-sale, Fair Value | 14,070 | 13,199 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 327 | 307 |
Fair Value, Inputs, Level 1 [Member] | Other Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 13,743 | 12,892 |
Fair Value, Inputs, Level 2 [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 250,028 | 276,333 |
Loans held for sale | 124 | |
Assets: Available-for-sale, Fair Value | 250,152 | 276,381 |
Liabilities | ||
Derivatives | 250 | |
Total liabilities | 250 | |
Available-for-sale: | ||
Derivatives | 48 | |
Fair Value, Inputs, Level 2 [Member] | Federal Agency Obligations [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 30,972 | 32,817 |
Fair Value, Inputs, Level 2 [Member] | Residential Mortgage Backed Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 54,734 | 60,356 |
Fair Value, Inputs, Level 2 [Member] | Commercial Mortgage Backed Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 3,023 | 3,046 |
Fair Value, Inputs, Level 2 [Member] | US States and Political Subdivisions Debt Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 8,358 | 8,406 |
Fair Value, Inputs, Level 2 [Member] | Trust Preferred Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 16,306 | 16,306 |
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds and Notes [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 109,838 | 125,777 |
Fair Value, Inputs, Level 2 [Member] | Asset-backed Securities [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | 24,682 | 27,502 |
Fair Value, Inputs, Level 2 [Member] | Certificate of Deposit [Member] | ||
Available-for-sale: | ||
Investment securities: Available-for-sale, Fair Value | $ 2,115 | $ 2,123 |
Fair Value Measurements and F61
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques - Appraisals of Collateral Valuation Technique [Member] - Impaired Loans [Member] | 6 Months Ended | 12 Months Ended |
Jun. 30, 2014 | Dec. 31, 2014 | |
Commercial Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Valuation Technique | Appraisals of collateral value | Appraisals of collateral value |
Commercial Real Estate Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Valuation Technique | Appraisals of collateral value | Appraisals of collateral value |
Minimum [Member] | Commercial Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Discounted Range | 0.00% | 0.00% |
Minimum [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Discounted Range | 8.00% | 8.00% |
Maximum [Member] | Commercial Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Discounted Range | 15.00% | 15.00% |
Maximum [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Discounted Range | 12.00% | 12.00% |
Fair Value Measurements and F62
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of assets at fair value on non-recurring basis - Impaired Loans [Member] - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Commercial Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of assets at fair value on non-recurring basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 3,516 | $ 276 |
Commercial Real Estate Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of assets at fair value on non-recurring basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 1,113 | 3,369 |
Fair Value, Inputs, Level 3 [Member] | Commercial Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of assets at fair value on non-recurring basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 3,516 | 276 |
Fair Value, Inputs, Level 3 [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of assets at fair value on non-recurring basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 1,113 | $ 3,369 |
Fair Value Measurements and F63
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of fair value hierarchy - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Financial assets | ||||
Cash and cash equivalents, Carrying Amount | $ 125,483 | $ 126,847 | $ 992,617 | $ 82,692 |
Cash and cash equivalents, Fair Value | 125,483 | 126,847 | ||
Investment securities available-for-sale, Carrying Amount | 264,098 | 289,532 | ||
Investment securities: available-for-sale, Fair Value | 264,098 | 289,532 | ||
Investment securities held-to-maturity, Carrying Amount | 232,557 | 224,682 | ||
Investment securities held-to-maturity, Fair Value | 237,205 | 231,445 | ||
Restricted investment in bank stocks, Carrying Amount | $ 27,078 | $ 23,535 | ||
Restricted investment in bank stocks, Fair Value | ||||
Loans held for sale | $ 124 | |||
Loans held for sale | 124 | |||
Net loans, Carrying Amount | 2,747,808 | $ 2,524,481 | ||
Net loans, Fair Value | 2,734,082 | 2,538,415 | ||
Derivatives | 48 | |||
Derivatives | 48 | |||
Accrued interest receivable, Carrying Amount | 12,055 | 11,700 | ||
Accrued interest receivable, Fair Value | 12,055 | 11,700 | ||
Financial liabilities | ||||
Noninterest-bearing deposits, Carrying Amount | 558,388 | 492,515 | ||
Noninterest-bearing deposits, Fair Value | 553,008 | 492,515 | ||
Interest-bearing deposits, Carrying Amount | 2,010,843 | 1,983,092 | ||
Interest-bearing deposits, Fair Value | 2,019,036 | 1,990,484 | ||
Borrowings, Carrying Amount | 548,758 | 495,553 | ||
Borrowings, Fair Value | 552,752 | 505,641 | ||
Subordinated debentures, Carrying Amount | 55,155 | 5,155 | ||
Subordinated debentures, Fair Value | 54,944 | 4,768 | ||
Derivatives | 250 | |||
Derivatives | 250 | |||
Accrued interest payable, Carrying Amount | 4,428 | 3,930 | ||
Accrued interest payable, Fair Value | 4,428 | 3,930 | ||
Fair Value, Inputs, Level 1 [Member] | ||||
Financial assets | ||||
Cash and cash equivalents, Fair Value | 125,483 | 126,847 | ||
Investment securities: available-for-sale, Fair Value | 14,070 | 13,199 | ||
Investment securities held-to-maturity, Fair Value | $ 29,016 | $ 29,184 | ||
Restricted investment in bank stocks, Fair Value | ||||
Accrued interest receivable, Fair Value | $ 67 | $ 68 | ||
Financial liabilities | ||||
Noninterest-bearing deposits, Fair Value | 553,008 | 492,515 | ||
Fair Value, Inputs, Level 2 [Member] | ||||
Financial assets | ||||
Investment securities: available-for-sale, Fair Value | 250,028 | 276,333 | ||
Investment securities held-to-maturity, Fair Value | $ 189,523 | $ 183,489 | ||
Restricted investment in bank stocks, Fair Value | ||||
Loans held for sale | $ 124 | |||
Derivatives | $ 48 | |||
Accrued interest receivable, Fair Value | 3,458 | 3,674 | ||
Financial liabilities | ||||
Interest-bearing deposits, Fair Value | 2,019,036 | 1,990,484 | ||
Borrowings, Fair Value | 552,752 | 505,641 | ||
Subordinated debentures, Fair Value | 54,944 | 4,768 | ||
Derivatives | 250 | |||
Accrued interest payable, Fair Value | 4,428 | 3,930 | ||
Fair Value, Inputs, Level 3 [Member] | ||||
Financial assets | ||||
Investment securities held-to-maturity, Fair Value | $ 18,666 | $ 18,772 | ||
Restricted investment in bank stocks, Fair Value | ||||
Net loans, Fair Value | $ 2,734,082 | $ 2,538,415 | ||
Accrued interest receivable, Fair Value | $ 8,530 | $ 7,958 |
Accumulated Other Comprehensi64
Accumulated Other Comprehensive Income (Details) - Schedule of accumulated other comprehensive loss - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Schedule of accumulated other comprehensive loss [Abstract] | ||
Net unrealized gain on investment securities available-for-sale | $ 3,665 | $ 4,874 |
Cash flow hedge | (148) | 28 |
Unamortized component of securities transferred from available-for-sale to held-to-maturity | (1,225) | (1,301) |
Defined benefit pension and post-retirement plans | (4,022) | (4,615) |
Total accumulated other comprehensive loss | $ (1,730) | $ (1,014) |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Stock-Based Compensation (Details) [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights | The Company’s stock-based compensation plans permit Parent Corporation common stock to be issued to key employees and directors of the Company and its subsidiaries. The options granted under the plans are intended to be either incentive stock options or non-qualified options. Under the 2009 Equity Incentive Plan, a total of 303,615 shares are available for grant and issuance as of June 30, 2015. In addition, a total of 114,327 shares remain available for grant and issuance under Legacy ConnectOne equity plans. Options may be exercised with shares issued from Treasury shares, newly issued shares or a combination of both.Options have been granted to purchase common stock at the fair market value of the stock at the date of grant. Options granted to date are exercisable after a three to five-year vesting period starting one year after the date of grant and generally expire ten years from the date of grant. Restricted shares granted to date have a vesting schedule ranging from 1-3 years.Stock-based compensation expense for share-based payment awards is based on the grant date fair value estimated on the date of grant. The Company recognizes compensation costs for those shares expected to vest on a straight-line basis over the requisite service period of the award, which is generally the option vesting term of three years. The Company estimates the forfeiture rate based on its historical experience during the preceding seven fiscal years. | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||||
Employee Director Stock Option Plan 2009 [Member] | |||||
Stock-Based Compensation (Details) [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 303,615 | 303,615 | |||
Legacy ConnectOne Equity Plan [Member] | |||||
Stock-Based Compensation (Details) [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 114,327 | 114,327 | |||
Restricted Stock [Member] | |||||
Stock-Based Compensation (Details) [Line Items] | |||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 97,544 | 50,203 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized (in Dollars) | $ 1,341,000 | $ 1,341,000 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 292 days | ||||
Employee Stock Option [Member] | |||||
Stock-Based Compensation (Details) [Line Items] | |||||
Common Stock Underlying Grant Options | 0 | 0 | 0 | 0 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized (in Dollars) | $ 33,500 | $ 33,500 | |||
Performance Shares [Member] | |||||
Stock-Based Compensation (Details) [Line Items] | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years 292 days | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Description | On April 30, 2015, the Company granted to various key employees performance unit awards (which are classified as equity awards), with each unit entitling the holder to one share of the Company’s common stock contingent upon the Company meeting or exceeding certain return on asset targets over the course of a three-year period ending April 30, 2018. | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 94,585 | 94,585 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 113,502 | 113,502 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost (in Dollars) | $ 102,000 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options (in Dollars) | $ 1,789,000 | $ 1,789,000 |
Stock-Based Compensation (Det66
Stock-Based Compensation (Details) - Disclosure of share-based compensation arrangements by share-based payment award - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Disclosure of share-based compensation arrangements by share-based payment award [Abstract] | ||
Outstanding at December 31, 2014 | 882,657 | |
Outstanding at December 31, 2014 (in Dollars per share) | $ 5.65 | |
Exercised | (339,334) | (100,911) |
Exercised (in Dollars per share) | $ 4.16 | |
Forfeited | (4,731) | |
Outstanding at June 30, 2015 | 538,592 | |
Outstanding at June 30, 2015 (in Dollars per share) | $ 6.51 | |
Outstanding at June 30, 2015 | 3 years 244 days | |
Outstanding at June 30, 2015 (in Dollars) | $ 8,087,713 | |
Exercisable at June 30, 2015 | 533,794 | |
Exercisable at June 30, 2015 (in Dollars per share) | $ 6.45 | |
Exercisable at June 30, 2015 | 3 years 233 days | |
Exercisable at June 30, 2015 (in Dollars) | $ 8,052,735 |
Stock-Based Compensation (Det67
Stock-Based Compensation (Details) - Schedule of share-based payment award, nonvested shares | 6 Months Ended |
Jun. 30, 2015$ / sharesshares | |
Schedule of share-based payment award, nonvested shares [Abstract] | |
Nonvested at December 31, 2014 | shares | 50,203 |
Nonvested at December 31, 2014 | $ 11.79 |
Granted | shares | 67,906 |
Granted | $ 18.50 |
Vested | shares | (20,565) |
Vested | $ 10.76 |
Outstanding at June 30, 2015 | shares | 97,544 |
Outstanding at June 30, 2015 | $ 16.62 |
Stock-Based Compensation (Det68
Stock-Based Compensation (Details) - Schedule of unearned performance unit awards | Jun. 30, 2015$ / sharesshares |
Schedule of unearned performance unit awards [Abstract] | |
Unearned at April 30, 2015 | shares | 94,585 |
Unearned at April 30, 2015 | $ 19.46 |
Unearned at June 30, 2015 | shares | 94,585 |
Unearned at June 30, 2015 | $ 19.46 |
Components of Net Periodic Pe69
Components of Net Periodic Pension Cost (Details) $ in Millions | 3 Months Ended |
Jun. 30, 2015USD ($) | |
Compensation and Retirement Disclosure [Abstract] | |
Defined Benefit Plan, Contributions by Employer | $ 2 |
Components of Net Periodic Pe70
Components of Net Periodic Pension Cost (Details) - Schedule of net benefit costs - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of net benefit costs [Abstract] | ||||
Interest cost | $ 129 | $ 144 | $ 267 | $ 288 |
Expected return on plan assets | (127) | (149) | (264) | (298) |
Net amortization | 108 | 56 | 216 | 112 |
Recognized settlement loss | 115 | 565 | ||
Net periodic pension cost | 225 | 51 | 784 | 102 |
Net actuarial gain | (261) | (1,003) | (1,281) | |
Total recognized in other comprehensive income | (261) | (1,003) | (1,281) | |
Total recognized in net expense and OCI (before tax) | $ (36) | $ 51 | $ (219) | $ (1,179) |
FHLB and other borrowings (Deta
FHLB and other borrowings (Details) | 6 Months Ended |
Jun. 30, 2015USD ($) | |
FHLB and other borrowings (Details) [Line Items] | |
Number of Federal Home Loan Bank Notes | 3 |
Extinguishment of Debt, Amount | $ 16,000,000 |
Debt Instrument, Maturity Date | Jul. 1, 2025 |
Long-term Line of Credit | $ 1,083,000,000 |
Line of Credit Facility, Remaining Borrowing Capacity | $ 550,000,000 |
Long-term Debt, Weighted Average Interest Rate | 5.85% |
Debt Instrument Weighted Average Maturity Terms | 3 years 73 days |
Extinguishment of Debt Gain Loss Pretax Prepayment Penalty | $ 2,400,000 |
Federal Home Loan Bank Note One [Member] | |
FHLB and other borrowings (Details) [Line Items] | |
Extinguishment of Debt, Amount | $ 2,500,000 |
Debt Instrument, Maturity Date | Apr. 2, 2018 |
Federal Home Loan Bank Note Two [Member] | |
FHLB and other borrowings (Details) [Line Items] | |
Extinguishment of Debt, Amount | $ 7,500,000 |
Debt Instrument, Maturity Date | Apr. 2, 2018 |
Federal Home Loan Bank Note Three [Member] | |
FHLB and other borrowings (Details) [Line Items] | |
Extinguishment of Debt, Amount | $ 5,000,000 |
Debt Instrument, Maturity Date | Jul. 16, 2018 |
FHLB and other borrowings (De72
FHLB and other borrowings (Details) - Schedule of components of FHLB and other borrowings and weighted average interest rates - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
By type of borrowing: | ||
FHLB and other borrowings | $ 548,758 | $ 495,553 |
Weighted average interest rates | 1.33% | 1.48% |
By remaining period to maturity: | ||
One year or less | $ 252,758 | $ 258,553 |
One year or less | 0.50% | 0.50% |
One to two years | $ 85,000 | $ 30,000 |
One to two years | 1.23% | 1.40% |
Two to three years | $ 56,000 | $ 71,000 |
Two to three years | 2.79% | 2.33% |
Three to four years | $ 90,000 | $ 96,000 |
Three to four years | 1.89% | 2.67% |
Four to five years | $ 25,000 | |
Four to five years | 1.85% | |
Greater than five years | $ 40,000 | $ 40,000 |
Greater than five years | 3.43% | 3.42% |
Federal Home Loan Bank Advances [Member] | ||
By type of borrowing: | ||
FHLB and other borrowings | $ 533,758 | $ 464,553 |
Weighted average interest rates | 1.20% | 1.18% |
Repurchase Agreements [Member] | ||
By type of borrowing: | ||
FHLB and other borrowings | $ 15,000 | $ 31,000 |
Weighted average interest rates | 5.95% | 5.90% |
Subordinated Debentures (Detail
Subordinated Debentures (Details) | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Subordinated Debentures (Details) [Line Items] | |
Value of subordinated debentures received by Trust | $ 5,200,000 |
Percentage Rate Added to Libor | 2.85% |
Floating interest rate on subordinated debentures | 3.13% |
Proceeds from Issuance of Debt | $ 50,000,000 |
Debt Instrument, Term | 5 years |
Debt Instrument, Maturity Date | Jul. 1, 2025 |
Debt Instrument, Interest Rate, Stated Percentage | 5.75% |
Debt Instrument, Description of Variable Rate Basis | three-month LIBOR rate plus 393 basis points |
Debt Instrument, Basis Spread on Variable Rate | 3.93% |
Debt Issuance Cost | $ 900,000 |
Debt Instrument Weighted Average Period | 5 years |
Proceeds from Stock Plans | $ 35,000,000 |
Noncumulative Preferred Stock [Member] | |
Subordinated Debentures (Details) [Line Items] | |
Preferred Stock, Value, Outstanding | $ 11,300,000 |
Subordinated Debentures (Deta74
Subordinated Debentures (Details) - Schedule of Subordinated Borrowing - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Schedule of Subordinated Borrowing [Abstract] | ||
Issuance Date | Dec. 19, 2003 | Dec. 19, 2003 |
Securities Issued | $ 5,000,000 | $ 5,000,000 |
Liquidation Value | $1,000 per Capital Security | $1,000 per Capital Security |
Coupon Rate | Floating 3-month LIBOR + 285 Basis Points | Floating 3-month LIBOR + 285 Basis Points |
Maturity | Jan. 23, 2034 | Jan. 23, 2034 |
Redeemable by Issuer Beginning | Jan. 23, 2009 | Jan. 23, 2009 |