Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Jan. 31, 2014 | Jun. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'COMMUNITY BANK SYSTEM, INC. | ' | ' |
Entity Central Index Key | '0000723188 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $1,177,067,787 |
Entity Common Stock, Shares Outstanding | ' | 40,521,881 | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CON
CONSOLIDATED STATEMENTS OF CONDITION (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Cash and cash equivalents | $149,647 | $228,558 |
Available-for-sale investment securities (cost of $2,217,165 and $1,989,938, respectively) | 2,186,163 | 2,121,394 |
Held-to-maturity investment securities (fair value of $0 and $703,957, respectively) | 0 | 637,894 |
Other securities, at cost | 32,562 | 59,239 |
Loans held for sale, at fair value | 728 | 0 |
Loans | 4,109,083 | 3,865,576 |
Allowance for loan losses | -44,319 | -42,888 |
Net loans | 4,064,764 | 3,822,688 |
Core deposit intangibles, net | 13,460 | 14,492 |
Goodwill | 374,991 | 369,703 |
Other intangibles, net | 2,048 | 2,939 |
Intangible assets, net | 390,499 | 387,134 |
Premises and equipment, net | 93,636 | 89,938 |
Accrued interest and fee receivable | 25,475 | 32,305 |
Other assets | 152,390 | 117,650 |
Total assets | 7,095,864 | 7,496,800 |
Liabilities: | ' | ' |
Noninterest-bearing deposits | 1,203,346 | 1,110,994 |
Interest-bearing deposits | 4,692,698 | 4,517,045 |
Total deposits | 5,896,044 | 5,628,039 |
Borrowings | 141,913 | 728,061 |
Subordinated debt held by unconsolidated subsidiary trusts | 102,097 | 102,073 |
Accrued interest and other liabilities | 79,998 | 135,849 |
Total liabilities | 6,220,052 | 6,594,022 |
Commitments and contingencies (See Note N) | ' | ' |
Shareholders' equity: | ' | ' |
Preferred stock $1.00 par value, 500,000 shares authorized, 0 shares issued | 0 | 0 |
Common stock, $1.00 par value, 75,000,000 shares authorized; 41,213,491 and 40,421,493 shares issued, respectively | 41,213 | 40,421 |
Additional paid-in capital | 396,528 | 378,413 |
Retained earnings | 481,732 | 447,018 |
Accumulated other comprehensive (loss) gain | -26,546 | 54,334 |
Treasury stock, at cost (782,173 and 795,560 shares, respectively) | -17,115 | -17,408 |
Total shareholders' equity | 875,812 | 902,778 |
Total liabilities and shareholders' equity | $7,095,864 | $7,496,800 |
CONSOLIDATED_STATEMENTS_OF_CON1
CONSOLIDATED STATEMENTS OF CONDITION (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Assets: | ' | ' |
Available-for-sale investment securities, cost | $2,217,165 | $1,989,938 |
Held-to-maturity investment securities, fair value | $0 | $703,957 |
Shareholders' equity: | ' | ' |
Preferred stock, par value (in dollars per share) | $1 | $1 |
Preferred stock, authorized (in shares) | 500,000 | 500,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $1 | $1 |
Common stock, authorized (in shares) | 75,000,000 | 75,000,000 |
Common stock, issued (in shares) | 41,213,491 | 40,421,493 |
Treasury stock, at cost (in shares) | 782,173 | 795,560 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Interest income: | ' | ' | ' |
Interest and fees on loans | $188,197 | $192,710 | $192,981 |
Interest and dividends on taxable investments | 54,995 | 65,165 | 55,634 |
Interest and dividends on nontaxable investments | 20,967 | 23,525 | 22,354 |
Total interest income | 264,159 | 281,400 | 270,969 |
Interest expense: | ' | ' | ' |
Interest on deposits | 10,732 | 18,162 | 26,156 |
Interest on borrowings | 12,813 | 30,098 | 29,599 |
Interest on subordinated debt held by unconsolidated subsidiary trusts | 2,520 | 2,716 | 5,801 |
Total interest expense | 26,065 | 50,976 | 61,556 |
Net interest income | 238,094 | 230,424 | 209,413 |
Provision for loan losses | 7,992 | 9,108 | 4,736 |
Net interest income after provision for loan losses | 230,102 | 221,316 | 204,677 |
Noninterest income: | ' | ' | ' |
Deposit service fees | 49,357 | 46,064 | 42,334 |
Other banking services | 5,245 | 4,069 | 4,651 |
Employee Benefit Services | 38,596 | 35,946 | 31,601 |
Wealth management services | 15,550 | 12,876 | 10,697 |
Gain on sales of investment securities, net | 80,768 | 291 | 30 |
Loss on debt extinguishments | -87,336 | 0 | -91 |
Total noninterest income | 102,180 | 99,246 | 89,222 |
Noninterest expenses: | ' | ' | ' |
Salaries and employee benefits | 121,629 | 112,034 | 102,278 |
Occupancy and equipment | 27,045 | 25,799 | 24,502 |
Data processing and communications | 27,186 | 23,696 | 20,525 |
Amortization of intangible assets | 4,469 | 4,607 | 4,381 |
Legal and professional fees | 7,008 | 7,950 | 5,889 |
Office supplies and postage | 6,122 | 5,742 | 5,246 |
Business development and marketing | 6,815 | 5,919 | 5,931 |
FDIC insurance premiums | 3,829 | 3,804 | 3,920 |
Acquisition expenses | 2,181 | 5,747 | 4,831 |
Other | 14,971 | 16,459 | 12,869 |
Total noninterest expenses | 221,255 | 211,757 | 190,372 |
Income before income taxes | 111,027 | 108,805 | 103,527 |
Income taxes | 32,198 | 31,737 | 30,385 |
Net income | $78,829 | $77,068 | $73,142 |
Basic earnings per share (in dollars per share) | $1.96 | $1.95 | $2.03 |
Diluted earnings per share (in dollars per share) | $1.94 | $1.93 | $2.01 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension and other post retirement obligations: | ' | ' | ' |
Amortization of actuarial (gains) losses included in net periodic pension cost, gross | $35,395 | ($3,786) | ($16,006) |
Tax effect | -13,841 | 1,469 | 6,167 |
Amortization of actuarial (gains) losses included in net periodic pension cost, net | 21,554 | -2,317 | -9,839 |
Amortization of prior service cost included in net periodic pension cost, gross | -1,502 | -970 | -1,207 |
Tax effect | 588 | 376 | 465 |
Amortization of prior service cost included in net periodic pension cost, net | -914 | -594 | -742 |
Other comprehensive income/(loss) related to pension and other post retirement obligations, net of taxes | 20,640 | -2,911 | -10,581 |
Derivative instruments used in cash flow hedging relationships: | ' | ' | ' |
Unrealized losses on derivative instruments used in cash flow hedging relationships, gross | 0 | 0 | 3,232 |
Tax effect | 0 | 0 | -1,252 |
Unrealized losses on derivative instruments, net | 0 | 0 | 1,980 |
Unrealized gains on securities: | ' | ' | ' |
Net unrealized holding (losses) gains arising during period, gross | -79,899 | 46,236 | 75,609 |
Tax effect | 30,385 | -17,978 | -28,485 |
Net unrealized holding (losses) gains arising during period, net | -49,514 | 28,258 | 47,124 |
Reclassification adjustment for net gains included in net income, gross | -80,768 | -291 | -30 |
Tax effect | 29,756 | 113 | 12 |
Reclassification adjustment for net gains included in net income, net | -51,012 | -178 | -18 |
Unrealized holding loss, net related to securities transferred from held-to-maturity to available-for-sale, gross | -1,791 | 0 | 0 |
Tax effect | 797 | 0 | 0 |
Reclassification adjustment for net loss transferred from held-to-maturity to available-for-sale, gross | -994 | 0 | 0 |
Other comprehensive (loss)/income related to unrealized (loss) gain on available-for-sale securities, net of taxes | -101,520 | 28,080 | 47,106 |
Other comprehensive (loss) income, net of tax | -80,880 | 25,169 | 38,505 |
Net income | 78,829 | 77,068 | 73,142 |
Comprehensive income(loss) | -2,051 | 102,237 | 111,647 |
Accumulated Other Comprehensive Income By Component: | ' | ' | ' |
Unrealized loss for pension and other postretirement obligations | -11,339 | -45,232 | -40,477 |
Tax effect | 4,194 | 17,447 | 15,603 |
Net unrealized loss for pension and other postretirement obligations | -7,145 | -27,785 | -24,874 |
Unrealized (loss) gain on available-for-sale securities | -31,002 | 131,456 | 85,512 |
Tax effect | 11,601 | -49,337 | -31,473 |
Net unrealized (loss) gain on available-for-sale securities | -19,401 | 82,119 | 54,039 |
Accumulated other comprehensive (loss) income | ($26,546) | $54,334 | $29,165 |
CONSOLIDATED_STATEMENT_OF_CHAN
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (USD $) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive (Loss)/Income [Member] | Treasury Stock [Member] | Total |
In Thousands, except Share data, unless otherwise specified | ||||||
Balance at Dec. 31, 2010 | $34,131 | $225,543 | $374,700 | ($9,340) | ($17,776) | $607,258 |
Balance (in shares) at Dec. 31, 2010 | 33,318,943 | ' | ' | ' | ' | ' |
Net income | ' | ' | 73,142 | ' | ' | 73,142 |
Other comprehensive income (loss), net of tax | ' | ' | ' | 38,505 | ' | 38,505 |
Dividends declared: | ' | ' | ' | ' | ' | ' |
Common, per share | ' | ' | -36,037 | ' | ' | -36,037 |
Common stock issued under employee stock plan, including tax benefits | 311 | 4,947 | ' | ' | 93 | 5,351 |
Common stock issued under Employee stock plan, including tax benefits (in shares) | 314,665 | ' | ' | ' | ' | ' |
Stock-based compensation | ' | 3,784 | ' | ' | ' | 3,784 |
Stock issued for acquisition | 3,353 | 79,227 | ' | ' | ' | 82,580 |
Stock issued for acquisition (in shares) | 3,352,801 | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2011 | 37,795 | 313,501 | 411,805 | 29,165 | -17,683 | 774,583 |
Balance (in shares) at Dec. 31, 2011 | 36,986,409 | ' | ' | ' | ' | ' |
Net income | ' | ' | 77,068 | ' | ' | 77,068 |
Other comprehensive income (loss), net of tax | ' | ' | ' | 25,169 | ' | 25,169 |
Dividends declared: | ' | ' | ' | ' | ' | ' |
Common, per share | ' | ' | -41,855 | ' | ' | -41,855 |
Common stock issued under employee stock plan, including tax benefits | 496 | 8,457 | ' | ' | 275 | 9,228 |
Common stock issued under Employee stock plan, including tax benefits (in shares) | 509,724 | ' | ' | ' | ' | ' |
Stock-based compensation | ' | 3,668 | ' | ' | ' | 3,668 |
Common stock issuance | 2,130 | 52,787 | ' | ' | ' | 54,917 |
Common stock issuance (in shares) | 2,129,800 | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | 40,421 | 378,413 | 447,018 | 54,334 | -17,408 | 902,778 |
Balance (in shares) at Dec. 31, 2012 | 39,625,933 | ' | ' | ' | ' | ' |
Net income | ' | ' | 78,829 | ' | ' | 78,829 |
Other comprehensive income (loss), net of tax | ' | ' | ' | -80,880 | ' | -80,880 |
Dividends declared: | ' | ' | ' | ' | ' | ' |
Common, per share | ' | ' | -44,115 | ' | ' | -44,115 |
Common stock issued under employee stock plan, including tax benefits | 792 | 14,154 | ' | ' | 293 | 15,239 |
Common stock issued under Employee stock plan, including tax benefits (in shares) | 805,385 | ' | ' | ' | ' | ' |
Stock-based compensation | ' | 3,961 | ' | ' | ' | 3,961 |
Balance at Dec. 31, 2013 | $41,213 | $396,528 | $481,732 | ($26,546) | ($17,115) | $875,812 |
Balance (in shares) at Dec. 31, 2013 | 40,431,318 | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENT_OF_CHAN1
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash dividends declared: | ' | ' | ' |
Dividends declared per common share (in dollars per share) | $1.10 | $1.06 | $1 |
Common stock issued under employee stock plan, tax benefits | $1,825 | $1,524 | $703 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Operating activities: | ' | ' | ' |
Net income | $78,829 | $77,068 | $73,142 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation | 12,236 | 11,482 | 11,374 |
Amortization of intangible assets | 4,469 | 4,607 | 4,381 |
Net accretion of premiums & discounts on securities, loans and borrowings | -5,959 | -9,379 | -5,373 |
Stock-based compensation | 3,961 | 3,668 | 3,784 |
Provision for loan losses | 7,992 | 9,108 | 4,736 |
Provision for deferred income taxes | 7,130 | 12,032 | 12,942 |
Amortization of mortgage servicing rights | 529 | 687 | 868 |
Income from bank-owned life insurance policies | -1,066 | -1,121 | -894 |
Gain on sales of investment securities, net | -80,768 | -291 | -30 |
Loss on debt extinguishments | 87,336 | 0 | 91 |
Net loss (gain) on sale of loans and other assets | 257 | 247 | -422 |
Net change in loans originated for sale | -515 | 608 | 4,047 |
Change in other assets and liabilities | -11,247 | -292 | -14,268 |
Net cash provided by (used in) operating activities | 103,184 | 108,424 | 94,378 |
Investing activities: | ' | ' | ' |
Proceeds from sales of available-for-sale investment securities | 713,694 | 5,378 | 15,330 |
Proceeds from sales of held-to-maturity investment securities | 450,032 | 0 | 0 |
Proceeds from sales of other securities | 26,649 | 278 | 1,032 |
Proceeds from maturities of held-to-maturity investment securities | 31,595 | 28,340 | 65,062 |
Proceeds from maturities of available-for-sale investment securities | 234,021 | 215,223 | 254,368 |
Purchases of held-to-maturity investment securities | -8,308 | -110,925 | -13,292 |
Purchases of available-for-sale investment securities | -923,588 | -752,891 | -353,498 |
Purchases of other securities | 0 | -615 | -2,908 |
Net change in loans | -248,962 | -239,174 | 16,078 |
Cash received for acquisitions, net of cash acquired of $291,990, $5,510, and $26,901, respectively | 291,980 | 600,972 | 4,746 |
Purchases of premises and equipment | -13,855 | -10,846 | -9,613 |
Net cash (used in) provided by investing activities | 553,258 | -264,260 | -22,695 |
Financing activities: | ' | ' | ' |
Net change in deposits | -35,451 | 34,832 | 89,646 |
Net change in borrowings, net of payments of $815,384, $220 and $25,938 | -673,484 | -220 | -19,938 |
Issuance of common stock | 15,239 | 64,145 | 5,351 |
Cash dividends paid | -43,482 | -40,765 | -34,404 |
Tax benefits from share-based payment arrangements | 1,825 | 1,524 | 703 |
Net cash provided by (used in) financing activities | -735,353 | 59,516 | 41,358 |
Change in cash and cash equivalents | -78,911 | -96,320 | 113,041 |
Cash and cash equivalents at beginning of year | 228,558 | 324,878 | 211,837 |
Cash and cash equivalents at end of year | 149,647 | 228,558 | 324,878 |
Supplemental disclosures of cash flow information: | ' | ' | ' |
Cash paid for interest | 30,141 | 51,541 | 61,564 |
Cash paid for income taxes | 23,648 | 16,462 | 20,810 |
Supplemental disclosures of noncash financing and investing activities: | ' | ' | ' |
Dividends declared and unpaid | 11,332 | 10,699 | 9,609 |
Transfers from loans to other real estate | 8,325 | 5,059 | 5,186 |
Transfer of investment securities from held-to-maturity to available-for-sale | 198,890 | 0 | 0 |
Acquisitions: | ' | ' | ' |
Fair value of assets acquired, excluding acquired cash and intangibles | 3,678 | 165,885 | 815,824 |
Fair value of liabilities assumed | $303,494 | $798,031 | $791,222 |
CONSOLIDATED_STATEMENTS_OF_CAS1
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Investing activities: | ' | ' | ' |
Cash acquired related to acquisition | $291,990 | $5,510 | $26,901 |
Financing activities: | ' | ' | ' |
Payment made on borrowings | $815,384 | $220 | $25,938 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | |
Dec. 31, 2013 | ||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |
NOTE A: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||
Nature of Operations | ||
Community Bank System, Inc. (the “Company”) is a single bank holding company which wholly-owns five consolidated subsidiaries: Community Bank, N.A. (the “Bank”), Benefit Plans Administrative Services, Inc. (“BPAS”), CFSI Closeout Corp. (“CFSICC”), First of Jermyn Realty Co. (“FJRC”), and Town & Country Agency LLC (“T&C”). BPAS owns four subsidiaries, Benefit Plans Administrative Services, LLC (“BPA”), Harbridge Consulting Group, LLC (“Harbrdge”), BPAS Trust Company of Puerto Rico; and Hand Benefits & Trust, Inc. (“HB&T”), which, as of December 31, 2013 owned two subsidiaries Hand Securities Inc. (“HSI”), and Flex Corporation (“Flex”), which was merged with BPA on January 1, 2014. BPAS provides administration, consulting and actuarial services to sponsors of employee benefit plans. CFSICC, FJRC and T&C are inactive companies. The Company also wholly-owns two unconsolidated subsidiary business trusts formed for the purpose of issuing mandatorily-redeemable preferred securities which are considered Tier I capital under regulatory capital adequacy guidelines (see Note P). | ||
As of December 31, 2013, the Bank operated 183 full service branches under the Community Bank, N.A. name throughout 35 counties of Upstate New York and six counties of Northeastern Pennsylvania offering a range of commercial and retail banking services. The Bank owns the following subsidiaries: CBNA Insurance Agency, Inc. (“CBNA Insurance”), CBNA Preferred Funding Corporation (“PFC”), CBNA Treasury Management Corporation (“TMC”), Community Investment Services, Inc. (“CISI”), First Liberty Service Corp. (“FLSC”), Nottingham Advisors, Inc. (“Nottingham”), Brilie Corporation (“Brilie”), and Western Catskill Realty, LLC (“WCR”). CBNA Insurance is a full-service insurance agency offering primarily property and casualty products. PFC primarily acts as an investor in residential real estate loans. TMC provides cash management, investment, and treasury services to the Bank. CISI provides broker-dealer and investment advisory services. FLSC provides banking-related services to the Pennsylvania branches of the Bank. Nottingham provides asset management services to individuals, corporate pension and profit sharing plans, and foundations. Brilie and WCR are inactive companies. | ||
Principles of Consolidation | ||
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | ||
Variable Interest Entities (“VIE”) are required to be consolidated by a company if it is determined the company is the primary beneficiary of a VIE. The primary beneficiary of a VIE is the enterprise that has: (1) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (2) the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits of the VIE that could potentially be significant to the VIE. The Company’s wholly-owned subsidiaries, Community Statutory Trust III and Community Capital Trust IV, are VIEs for which the Company is not the primary beneficiary. Accordingly, the accounts of these entities are not included in the Company’s consolidated financial statements. | ||
Critical Accounting Estimates in the Preparation of Financial Statements | ||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Critical accounting estimates include the allowance for loan losses, actuarial assumptions associated with the pension, post-retirement and other employee benefit plans, the provision for income taxes, investment valuation and other-than-temporary impairment, the carrying value of goodwill and other intangible assets, and acquired loan valuations. | ||
Risk and Uncertainties | ||
In the normal course of its business, the Company encounters economic and regulatory risks. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk to the degree that its interest-bearing liabilities mature or reprice at different speeds, or on different basis, from its interest-earning assets. The Company’s primary credit risk is the risk of default on the Company’s loan portfolio that results from the borrowers’ inability or unwillingness to make contractually required payments. Market risk reflects potential changes in the value of collateral underlying loans, the fair value of investment securities, and loans held for sale. | ||
The Company is subject to regulations of various governmental agencies. These regulations can change significantly from period to period. The Company also undergoes periodic examinations by the regulatory agencies which may subject it to further changes with respect to asset valuations, amounts of required loan loss allowances, and operating restrictions resulting from the regulators’ judgments based on information available to them at the time of their examinations. | ||
Revenue Recognition | ||
The Company recognizes income on an accrual basis. CISI recognizes fee income when investment and insurance products are sold to customers. Nottingham provides asset management services to brokerage firms and clients and recognizes income ratably over the contract period during which service is performed. Revenue from BPA’s administration and recordkeeping services is recognized ratably over the service contract period. Revenue from consulting and actuarial services is recognized when services are rendered. CBNA Insurance recognizes commission revenue at the later of the effective date of the insurance policy, or the date on which the policy premium is billed to the customer. At that date, the earnings process has been completed and the impact of refunds for policy cancellations can be reasonably estimated to establish reserves. The reserve for policy cancellations is based upon historical cancellation experience adjusted for known circumstances. All intercompany revenue and expense among related entities are eliminated in consolidation. | ||
Cash and Cash Equivalents | ||
For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks and highly liquid investments with original maturities of less than 90 days. The carrying amounts reported in the balance sheet for cash and cash equivalents approximate those assets’ fair values. | ||
Investment Securities | ||
The Company has classified its investments in debt and equity securities as held-to-maturity or available-for-sale. Held-to-maturity securities are those for which the Company has the positive intent and ability to hold until maturity, and are reported at cost, which is adjusted for amortization of premiums and accretion of discounts. As discussed further in Note D, the Company reclassified its held-to-maturity portfolio to available-for-sale and the Company will not be able to use the held-to-maturity classification for the foreseeable future. Securities classified as available-for-sale and are reported at fair value with net unrealized gains and losses reflected as a separate component of shareholders' equity, net of applicable income taxes. None of the Company's investment securities have been classified as trading securities at December 31, 2013. Certain equity securities are stated at cost and include restricted stock of the Federal Reserve Bank of New York (“Federal Reserve”) and Federal Home Loan Bank of New York (“FHLB”). During 2013 the Company sold certain held-to-maturity securities. As a result of the transaction, the Company will not be able to use the held-to-maturity classification for the foreseeable future. | ||
Fair values for investment securities are based upon quoted market prices, where available. If quoted market prices are not available, fair values are based upon quoted market prices of comparable instruments, or a discounted cash flow model using market estimates of interest rates and volatility. | ||
The Company conducts an assessment of all securities in an unrealized loss position to determine if other-than-temporary impairment (“OTTI”) exists on a quarterly basis. An unrealized loss exists when the current fair value of an individual security is less than its amortized cost basis. The OTTI assessment considers the security structure, recent security collateral performance metrics, if applicable, external credit ratings, failure of the issuer to make scheduled interest or principal payments, judgment about and expectations of future performance, and relevant independent industry research, analysis and forecasts. The severity of the impairment and the length of time the security has been impaired is also considered in the assessment. The assessment of whether an OTTI decline exists is performed on each security, regardless of the classification of the security as available-for-sale or held-to-maturity and involves a high degree of subjectivity and judgment that is based on the information available to management at a point in time. | ||
An OTTI loss must be recognized for a debt security in an unrealized loss position if there is intent to sell the security or it is more likely than not the Company will be required to sell the security prior to recovery of its amortized cost basis. In this situation, the amount of loss recognized in income is equal to the difference between the fair value and the amortized cost basis of the security. Even if management does not have the intent, and it is not more likely than not that the Company will be required to sell the securities, an evaluation of the expected cash flows to be received is performed to determine if a credit loss has occurred. For debt securities, a critical component of the evaluation for OTTI is the identification of credit-impaired securities, where the Company does not expect to receive cash flows sufficient to recover the entire amortized cost basis of the security. In the event of a credit loss, only the amount of impairment associated with the credit loss would be recognized in income. The portion of the unrealized loss relating to other factors, such as liquidity conditions in the market or changes in market interest rates, is recorded in accumulated other comprehensive loss. | ||
Equity securities are also evaluated to determine whether the unrealized loss is expected to be recoverable based on whether evidence exists to support a realizable value equal to or greater than the amortized cost basis. If it is probable that the amortized cost basis will not be recovered, taking into consideration the estimated recovery period and the ability to hold the equity security until recovery, OTTI is recognized in earnings equal to the difference between the fair value and the amortized cost basis of the security. | ||
The specific identification method is used in determining the realized gains and losses on sales of investment securities and OTTI charges. Premiums and discounts on securities are amortized and accreted, respectively, on the interest method basis over the period to maturity or estimated life of the related security. Purchases and sales of securities are recognized on a trade date basis. | ||
Derivative Financial Instruments | ||
The Company has utilized interest rate swap agreements, considered to be cash flow hedges, as part of the management of interest rate risk to modify the repricing characteristics of certain portions of its portfolios of interest-bearing liabilities. These derivative instruments, when used, are required to be carried at fair value on the balance sheet. | ||
Cash flow hedges are accounted for by recording the fair value of the derivative instrument on the balance sheet as either a freestanding asset or liability, with a corresponding offset recorded in other comprehensive income within shareholders’ equity, net of income tax effect. Amounts are reclassified from other comprehensive income to the income statement in the period or periods the hedged transaction affects earnings. Derivative gains and losses not effective in hedging the expected cash flows of the hedged item are recognized immediately in the income statement. At the hedge’s inception and at least quarterly thereafter, a formal assessment is performed to determine the effectiveness of the cash flow hedge. If it is determined that a derivative instrument has not been or will not continue to be highly effective as a hedge, hedge accounting is discontinued. | ||
Loans | ||
Loans are stated at unpaid principal balances, net of unearned income. Mortgage loans held for sale are carried at fair value and are included in loans held for sale on the balance sheet. Fair values for variable rate loans that reprice frequently are based on carrying values. Fair values for fixed rate loans are estimated using discounted cash flows and interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. The carrying amount of accrued interest approximates its fair value. | ||
Interest on loans is accrued and credited to operations based upon the principal amount outstanding. Nonrefundable loan fees and related direct costs are deferred and included in the loan balances where they are amortized over the life of the loan as an adjustment to loan yield using the effective yield method. Premiums and discounts on purchased loans are amortized using the effective yield method over the life of the loans. | ||
Acquired loans | ||
Acquired loans are initially recorded at their acquisition date fair values. The carryover of allowance for loan losses is prohibited as any credit losses in the loans are included in the determination of the fair value of the loans at the acquisition date. Fair values for acquired loans are based on a discounted cash flow methodology that involves assumptions and judgments as to credit risk, prepayment risk, liquidity risk, default rates, loss severity, payment speeds, collateral values and discount rate. | ||
Acquired impaired loans | ||
Acquired loans that have evidence of deterioration in credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments are accounted for as impaired loans under ASC 310-30. The excess of undiscounted cash flows expected at acquisition over the estimated fair value is referred to as the accretable discount and is recognized into interest income over the remaining life of the loans using the interest method. The difference between contractually required payments at acquisition and the undiscounted cash flows expected to be collected at acquisition is referred to as the non-accretable discount. The non-accretable discount represents estimated future credit losses and other contractually required payments that the Company does not expect to collect. Subsequent decreases in expected cash flows are recognized as impairments through a charge to the provision for credit losses resulting in an increase in the allowance for loan losses. Subsequent improvements in expected cash flows result in a recovery of previously recorded allowance for loan losses or a reversal of a corresponding amount of the non-accretable discount, which the Company then reclassifies as an accretable discount that is recognized into interest income over the remaining life of the loans using the interest method. | ||
Acquired loans that met the criteria for non-accrual of interest prior to acquisition may be considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if the Company can reasonably estimate the timing and amount of the expected cash flows on such loans and if the Company expects to fully collect the new carrying value of the loans. As such, the Company may no longer consider the loan to be non-accrual or non-performing and may accrue interest on these loans, including the impact of any accretable discount. | ||
Acquired non-impaired loans | ||
Acquired loans that do not meet the requirements under ASC 310-30 are considered acquired non-impaired loans. The difference between the acquisition date fair value and the outstanding balance represents the fair value adjustment for a loan and includes both credit and interest rate considerations. Fair value adjustments may be discounts (or premiums) to a loan’s cost basis and are accreted (or amortized) to net interest income (or expense) over the loan’s remaining life in accordance with ASC 310- 20. Fair value adjustments for revolving loans are accreted (or amortized) using a straight line method. Term loans are accreted (or amortized) using the constant effective yield method. | ||
Subsequent to the purchase date, the methods used to estimate the allowance for loan losses for the acquired non-impaired loans is consistent with the policy described below. However, the Company compares the net realizable value of the loans to the carrying value, for loans collectively evaluated for impairment. The carrying value represents the net of the loan’s unpaid principal balance and the remaining purchase discount (or premium) that has yet to be accreted into interest income. When the carrying value exceeds the net realizable value, an allowance for loan losses is recognized. | ||
Impaired and Other Nonaccrual Loans | ||
The Company places a loan on nonaccrual status when the loan becomes 90 days past due (or sooner, if management concludes collection is doubtful), except when, in the opinion of management, it is well-collateralized and in the process of collection. A loan may be placed on nonaccrual status earlier than ninety days past due if there is deterioration in the financial position of the borrower or if other conditions of the loan so warrant. When a loan is placed on nonaccrual status, uncollected accrued interest is reversed against interest income and the amortization of nonrefundable loan fees and related direct costs is discontinued. Interest income during the period the loan is on nonaccrual status is recorded on a cash basis after recovery of principal is reasonably assured. Nonaccrual loans are returned to accrual status when management determines that the borrower’s performance has improved and that both principal and interest are collectible. This generally requires a sustained period of timely principal and interest payments and a well-documented credit evaluation of the borrower’s financial condition. | ||
A loan is considered modified in a troubled debt restructuring (“TDR”) when, due to a borrower’s financial difficulties, the Company makes a concession(s) to the borrower that it would not otherwise consider. These modifications may include, among others, an extension for the term of the loan, or granting a period when interest–only payments can be made with the principal payments and interest caught up over the remaining term of the loan or at maturity. Generally, a nonaccrual loan that has been modified in a TDR remains on nonaccrual status for a period of 12 months to demonstrate that the borrower is able to meet the terms of the modified loan. If the borrower’s ability to meet the revised payment schedule is uncertain, the loan remains on nonaccrual status. | ||
During 2012, new regulatory guidance was issued by the OCC addressing the accounting of certain loans that have been discharged in Chapter 7 bankruptcy. In accordance with this new guidance, loans that have been discharged in Chapter 7 bankruptcy but not reaffirmed by the borrower are classified as TDRs, irrespective of payment history or delinquency status, even if the repayment terms for the loan have not been otherwise modified. The Company’s lien position against the underlying collateral remains unchanged. Pursuant to that guidance, the Company records a charge-off equal to any portion of the carrying value that exceeds the net realizable value of the collateral. | ||
Commercial loans greater than $0.5 million are evaluated individually for impairment. A loan is considered impaired, based on current information and events, if it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. The measurement of impaired loans is generally based upon the present value of expected future cash flows or the fair value of the collateral, if the loan is collateral-dependent. | ||
The Company’s charge-off policy by loan type is as follows: | ||
· | Business lending loans are generally charged-off to the extent outstanding principal exceeds the fair value of estimated proceeds from collection efforts, including liquidation of collateral. The charge-off is recognized when the loss becomes reasonably quantifiable. | |
· | Consumer installment loans are generally charged-off to the extent outstanding principal balance exceeds the fair value of collateral, and are recognized by the end of the month in which the loan becomes 90 days past due. | |
· | Consumer mortgage and home equity loans are generally charged-off to the extent outstanding principal exceeds the fair value of the property, less estimated costs to sell, and are recognized when the loan becomes 180 days past due. | |
Allowance for Loan Losses | ||
Management continually evaluates the credit quality of the Company’s loan portfolio, and performs a formal review of the adequacy of the allowance for loan losses on a quarterly basis. The allowance reflects management’s best estimate of probable losses inherent in the loan portfolio. Determination of the allowance is subjective in nature and requires significant estimates. The Company’s allowance methodology consists of two broad components - general and specific loan loss allocations. | ||
The general loan loss allocation is composed of two calculations that are computed on five main loan segments: business lending, consumer installment - direct, consumer installment - indirect, home equity and consumer mortgage. The first calculation is quantitative and determines an allowance level based on the latest 36 months of historical net charge-off data for each loan class (commercial loans exclude balances with specific loan loss allocations). The second calculation is qualitative and takes into consideration eight qualitative environmental factors: levels and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards, and other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. A component of the qualitative calculation is the unallocated allowance for loan loss. The qualitative and quantitative calculations are added together to determine the general loan loss allocation. The specific loan loss allocation relates to individual commercial loans that are both greater than $0.5 million and in a nonaccruing status with respect to interest. Specific loan losses are based on discounted estimated cash flows, including any cash flows resulting from the conversion of collateral or collateral shortfalls. The allowance levels computed from the specific and general loan loss allocation methods are combined with unallocated allowances and allowances needed for acquired loans to derive the total required allowance for loan losses to be reflected on the Consolidated Statement of Condition. | ||
Loan losses are charged off against the allowance, while recoveries of amounts previously charged off are credited to the allowance. A provision for loan losses is charged to operations based on management’s periodic evaluation of factors previously mentioned. | ||
Intangible Assets | ||
Intangible assets include core deposit intangibles, customer relationship intangibles and goodwill arising from acquisitions. Core deposit intangibles and customer relationship intangibles are amortized on either an accelerated or straight-line basis over periods ranging from seven to 20 years. The initial and ongoing carrying value of goodwill and other intangible assets is based upon discounted cash flow modeling techniques that require management to make estimates regarding the amount and timing of expected future cash flows. It also requires use of a discount rate that reflects the current return requirements of the market in relation to present risk-free interest rates, required equity market premiums, peer volatility indicators, and company-specific risk indicators. | ||
The Company evaluates goodwill for impairment on an annual basis, or more often if events or circumstances indicate there may be impairment. The implied fair value of a reporting unit’s goodwill is compared to its carrying amount and the impairment loss is measured by the excess of the carrying value over fair value. The fair value of each reporting unit is compared to the carrying amount of that reporting unit in order to determine if impairment is indicated. | ||
Premises and Equipment | ||
Premises and equipment are stated at cost less accumulated depreciation. Computer software costs that are capitalized only include external direct costs of obtaining and installing the software. The Company has not developed any internal use software. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Useful lives range from three to 10 years for equipment; three to seven years for software and hardware; and 10 to 40 years for building and building improvements. Land improvements are depreciated over 20 years and leasehold improvements are amortized over the shorter of the term of the respective lease plus any optional renewal periods that are reasonably assured or life of the asset. Maintenance and repairs are charged to expense as incurred. | ||
Other Real Estate | ||
Other real estate owned is comprised of properties acquired through foreclosure, or by deed in lieu of foreclosure. These assets are carried at fair value less estimated costs of disposal. At foreclosure, if the fair value, less estimated costs to sell, of the real estate acquired is less than the Company’s recorded investment in the related loan, a write-down is recognized through a charge to the allowance for loan losses. Any subsequent reduction in value is recognized by a charge to income. Operating costs associated with the properties are charged to expense as incurred. At December 31, 2013 and 2012, other real estate amounted to $5.1 million and $4.8 million, respectively, and is included in other assets. | ||
Mortgage Servicing Rights | ||
Originated mortgage servicing rights are recorded at their fair value at the time of sale of the underlying loan, and are amortized in proportion to and over the period of estimated net servicing income or loss. The Company uses a valuation model that calculates the present value of future cash flows to determine the fair value of servicing rights. In using this valuation method, the Company incorporates assumptions that market participants would use in estimating future net servicing income, which includes estimates of the servicing cost per loan, the discount rate, and prepayment speeds. The carrying value of the originated mortgage servicing rights is included in other assets and is evaluated quarterly for impairment using these same market assumptions. The amount of impairment recognized is the amount by which the carrying value of the capitalized servicing rights for a stratum exceeds estimated fair value. Impairment is recognized through a valuation allowance. | ||
Treasury Stock | ||
Repurchases of shares of the Company’s common stock are recorded at cost as a reduction of shareholders’ equity. Reissuance of shares of treasury stock is recorded at average cost. | ||
Income Taxes | ||
The Company and its subsidiaries file a consolidated federal income tax return. Provisions for income taxes are based on taxes currently payable or refundable as well as deferred taxes that are based on temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements. Deferred tax assets and liabilities are reported in the financial statements at currently enacted income tax rates applicable to the period in which the deferred tax assets and liabilities are expected to be realized or settled. | ||
Benefits from tax positions should be recognized in the financial statements only when it is more likely than not that the tax position will be sustained upon examination by the appropriate taxing authority having full knowledge of all relevant information. A tax position meeting the more-likely-than-not recognition threshold should be measured at the largest amount of benefit for which the likelihood of realization upon ultimate settlement exceeds 50 percent. | ||
Retirement Benefits | ||
The Company provides defined benefit pension benefits to eligible employees and post-retirement health and life insurance benefits to certain eligible retirees. The Company also provides deferred compensation and supplemental executive retirement plans for selected current and former employees, officers, and directors. Expense under these plans is charged to current operations and consists of several components of net periodic benefit cost based on various actuarial assumptions regarding future experience under the plans, including discount rate, rate of future compensation increases and expected return on plan assets. | ||
Assets Under Management or Administration | ||
Assets held in fiduciary or agency capacities for customers are not included in the accompanying consolidated statements of condition as they are not assets of the Company. All fees associated with providing asset management services are recorded on an accrual basis of accounting and are included in noninterest income. | ||
Advertising | ||
Advertising costs amounting to approximately $3.0 million, $2.6 million and $2.5 million for the years ending December 31, 2013, 2012 and 2011, respectively, are nondirect response in nature and expensed as incurred. | ||
Earnings Per Share | ||
Using the two-class method, basic earnings per common share is computed based upon net income available to common shareholders divided by the weighted average number of common shares outstanding during each period, which excludes the outstanding unvested restricted stock as they contain nonforfeitable rights to dividends. Diluted earnings per share is computed using the weighted average number of common shares determined for the basic earnings per common share computation plus the dilutive effect of stock options using the treasury stock method. Stock options where the exercise price is greater than the average market price of common shares were not included in the computation of earnings per diluted share as they would have been anti-dilutive. | ||
Stock-based Compensation | ||
Companies are required to measure and record compensation expense for stock options and other share-based payments on the instruments’ fair value on the date of grant. The Company uses the modified prospective method. Under this method, expense is recognized for awards that are granted, modified, or settled after December 31, 2005, as well as for unvested awards that were granted prior to January 1, 2006. Stock-based compensation expense is recognized ratably over the requisite service period for all awards (see Note L). | ||
Fair Values of Financial Instruments | ||
The Company determines fair values based on quoted market values where available or on estimates using present values or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instrument. Certain financial instruments and all nonfinancial instruments are excluded from this disclosure requirement. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. The fair values of investment securities, loans, deposits, and borrowings have been disclosed in Note R. | ||
Reclassifications | ||
Certain reclassifications have been made to prior years’ balances to conform to the current year presentation. | ||
New Accounting Pronouncements | ||
In January 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. This new guidance clarifies when an in substance repossession or foreclosure occurs, and requires all creditors who obtain physical possession (resulting from an in substance repossession or foreclosure) of residential real estate property collateralizing a consumer mortgage loan in satisfaction of a receivable to reclassify the collateralized mortgage loan such that the loan should be derecognized and the collateral asset recognized. This guidance is effective prospectively for the Company for annual and interim periods beginning after December 15, 2014. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. |
ACQUISITIONS
ACQUISITIONS | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
ACQUISITIONS [Abstract] | ' | ||||||||||||
ACQUISITIONS | ' | ||||||||||||
NOTE B: ACQUISITIONS | |||||||||||||
On December 13, 2013, the Bank completed its acquisition of eight branches in Northern Pennsylvania from Bank of America, N.A. (“B of A”), acquiring approximately $303 million of deposits and $1 million of loans. The assumed deposits consist primarily of core deposits (checking, savings and money market accounts) and the purchased loans consist of in-market performing commercial loans. Under the terms of the purchase agreement, the Bank paid a blended deposit premium of 2.4%, or approximately $7.3 million. The effects of the acquired assets and liabilities have been included in the consolidated financial statements since that date. | |||||||||||||
On September 7, 2012, the Bank completed its acquisition of three branches in Western New York from First Niagara Bank, N.A. (“First Niagara”), acquiring approximately $54 million of loans and $101 million of deposits. The assumed deposits consist primarily of core deposits (checking, savings and money market accounts) and the purchased loans consist of in-market performing loans, primarily residential real estate loans. Under the terms of the purchase agreement, the Bank paid a blended deposit premium of 3.1%, or approximately $3 million. The effects of the acquired assets and liabilities have been included in the consolidated financial statements since that date. | |||||||||||||
On July 20, 2012, the Bank completed its acquisition of 16 retail branches in Central, Northern and Western New York from HSBC Bank USA, N.A. (“HSBC”), acquiring approximately $106 million in loans and $697 million of deposits. The assumed deposits consist primarily of core deposits (checking, savings and money markets accounts) and the purchased loans consist of in-market performing loans, primarily residential real estate loans. Under the terms of the purchase agreement, the Bank paid First Niagara (who acquired HSBC’s Upstate New York banking business and assigned its right to purchase the 16 branches to the Bank) a blended deposit premium of 3.4%, or approximately $24 million. The effects of the acquired assets and liabilities have been included in the consolidated financial statements since that date. | |||||||||||||
On November 30, 2011, the Company, through its BPAS subsidiary, acquired certain assets and liabilities of CAI Benefits, Inc. (“CAI”), a provider of actuarial, consulting and retirement plan administration services, with offices in New York City and Northern New Jersey. The Company acquired $1.4 million of assets and $0.2 million of liabilities. The results of CAI’s operations have been included in the consolidated financial statements since that date. The transaction adds valuable service capacity and enhances distribution prospects in support of the Company’s broader-based employee benefits business, including daily valuation plan and collective investment fund administration. | |||||||||||||
On April 8, 2011, the Company acquired The Wilber Corporation (“Wilber”), parent company of Wilber National Bank, for approximately $103 million in stock and cash, comprised of $20.4 million in cash and the issuance of 3.35 million additional shares of the Company’s common stock. Based in Oneonta, New York, Wilber operated 22 branches in the Central, Greater Capital District, and Catskill regions of Upstate New York. Wilber was merged into the Company and Wilber National Bank was merged into the Bank. The Company acquired $462.3 million of loans, $297.6 million of investments, $771.6 million of deposits, and $19.7 million of borrowings. The results of Wilber’s operations have been included in the Company’s financial statements since that date. | |||||||||||||
The assets and liabilities assumed in the acquisitions were recorded at their estimated fair values based on management's best estimates using information available at the dates of the acquisition, and are subject to adjustment based on updated information not available at the time of acquisition. The following table summarizes the estimated fair value of the assets acquired and liabilities assumed. | |||||||||||||
(000s omitted) | 2013 | 2012 | 2011 | ||||||||||
Consideration paid (received): | |||||||||||||
Community Bank System, Inc. common stock | $ | 0 | $ | 0 | $ | 82,580 | |||||||
Cash | (291,980 | ) | (595,462 | ) | 22,155 | ||||||||
Total net consideration paid (received) | (291,980 | ) | (595,462 | ) | 104,735 | ||||||||
Recognized amounts of identifiable assets | |||||||||||||
acquired and liabilities assumed: | |||||||||||||
Cash and cash equivalents | 0 | 5,510 | 26,901 | ||||||||||
Investment securities | 0 | 0 | 297,573 | ||||||||||
Loans | 1,106 | 160,116 | 462,334 | ||||||||||
Premises and equipment | 2,549 | 4,941 | 6,360 | ||||||||||
Accrued interest receivable | 5 | 588 | 2,615 | ||||||||||
Other assets/(liabilities), net | (18 | ) | 171 | 46,942 | |||||||||
Core deposit intangibles | 2,537 | 6,521 | 4,016 | ||||||||||
Other intangibles | 9 | 0 | 1,858 | ||||||||||
Deposits | (303,456 | ) | (797,962 | ) | (771,554 | ) | |||||||
Borrowings | 0 | 0 | (19,668 | ) | |||||||||
Total identifiable assets (liabilities), net | (297,268 | ) | (620,115 | ) | 57,377 | ||||||||
Goodwill | $ | 5,288 | $ | 24,653 | $ | 47,358 | |||||||
Acquired loans that have evidence of deterioration in credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments were aggregated by comparable characteristics and recorded at fair value without a carryover of the related allowance for loan losses. Cash flows for each loan were determined using an estimate of credit losses and an estimated rate of prepayments. Projected monthly cash flows were then discounted to present value using a market-based discount rate. The excess of the undiscounted expected cash flows over the estimated fair value is referred to as the “accretable yield” and is recognized into interest income over the remaining lives of the acquired loans. | |||||||||||||
The following is a summary of the loans acquired in the Wilber acquisition at the date of acquisition: | |||||||||||||
Acquired Impaired | Acquired | Total | |||||||||||
(000’s omitted) | Loans | Non-Impaired | Acquired | ||||||||||
Loans | Loans | ||||||||||||
Contractually required principal and interest at acquisition | $ | 41,730 | $ | 680,516 | $ | 722,246 | |||||||
Contractual cash flows not expected to be collected | (20,061 | ) | (31,115 | ) | (51,176 | ) | |||||||
Expected cash flows at acquisition | 21,669 | 649,401 | 671,070 | ||||||||||
Interest component of expected cash flows | (2,509 | ) | (206,227 | ) | (208,736 | ) | |||||||
Fair value of acquired loans | $ | 19,160 | $ | 443,174 | $ | 462,334 | |||||||
The following is a summary of the loans acquired from HSBC and First Niagara at the date of acquisition: | |||||||||||||
Acquired Impaired | Acquired | Total | |||||||||||
(000’s omitted) | Loans | Non-Impaired | Acquired | ||||||||||
Loans | Loans | ||||||||||||
Contractually required principal and interest at acquisition | $ | 0 | $ | 201,745 | $ | 201,745 | |||||||
Contractual cash flows not expected to be collected | 0 | (3,555 | ) | (3,555 | ) | ||||||||
Expected cash flows at acquisition | 0 | 198,190 | 198,190 | ||||||||||
Interest component of expected cash flows | 0 | (38,074 | ) | (38,074 | ) | ||||||||
Fair value of acquired loans | $ | 0 | $ | 160,116 | $ | 160,116 | |||||||
The fair value of checking, savings and money market deposit accounts acquired were assumed to approximate the carrying value as these accounts have no stated maturity and are payable on demand. Certificate of deposit accounts were valued as the present value of the certificates’ expected contractual payments discounted at market rates for similar certificates. | |||||||||||||
The core deposit intangibles and other intangibles related to the B of A, HSBC, Wilber, and CAI acquisitions are being amortized using an accelerated method over their estimated useful life of approximately eight to ten years. The goodwill, which is not amortized for book purposes, was assigned to the Banking segment for the B of A, First Niagara, HSBC and Wilber acquisitions and to the Employee Benefit Services segment for the CAI acquisition. The goodwill arising from the Wilber acquisition is not deductible for tax purposes while the goodwill arising from the CAI, B of A branch, HSBC branch and First Niagara branch acquisitions is deductible for tax purposes. | |||||||||||||
Direct costs related to the acquisitions were expensed as incurred. Merger and acquisition integration-related expenses amount to $2.2 million, $5.7 million and $4.8 million during 2013, 2012 and 2011, respectively, and have been separately stated in the Consolidated Statements of Income. | |||||||||||||
Supplemental pro forma financial information related to the B of A, HSBC and First Niagara acquisitions has not been provided as it would be impracticable to do so. Historical financial information regarding the acquired branches is not accessible and thus the amounts would require estimates so significant as to render the disclosure irrelevant. | |||||||||||||
During the fourth quarter, the Company announced that its subsidiary, Harbridge, reached an agreement to acquire a professional services practice from EBS-RMSCO, Inc., a subsidiary of The Lifetime Healthcare Companies. This professional services practice, which provides actuarial valuation and consulting services to clients who sponsor pension and post-retirement medical and welfare plans, enhances the Company’s participation in the Western New York. The transaction was completed as planned on January 1, 2014. |
INVESTMENT_SECURITIES
INVESTMENT SECURITIES | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
INVESTMENT SECURITIES [Abstract] | ' | ||||||||||||||||||||||||||||||||
INVESTMENT SECURITIES | ' | ||||||||||||||||||||||||||||||||
NOTE C: INVESTMENT SECURITIES | |||||||||||||||||||||||||||||||||
The amortized cost and estimated fair value of investment securities as of December 31 are as follows: | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Gross | Gross | Estimated | Gross | Gross | Estimated | ||||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair | Amortized | Unrealized | Unrealized | Fair | ||||||||||||||||||||||||||
(000's omitted) | Cost | Gains | Losses | Value | Cost | Gains | Losses | Value | |||||||||||||||||||||||||
Held-to-Maturity Portfolio: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 548,634 | $ | 59,081 | $ | 0 | $ | 607,715 | |||||||||||||||||
Obligations of state and political subdivisions | 0 | 0 | 0 | 0 | 65,742 | 5,850 | 0 | 71,592 | |||||||||||||||||||||||||
Government agency mortgage-backed securities | 0 | 0 | 0 | 0 | 20,578 | 1,079 | 0 | 21,657 | |||||||||||||||||||||||||
Corporate debt securities | 0 | 0 | 0 | 0 | 2,924 | 53 | 0 | 2,977 | |||||||||||||||||||||||||
Other securities | 0 | 0 | 0 | 0 | 16 | 0 | 0 | 16 | |||||||||||||||||||||||||
Total held-to-maturity portfolio | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 637,894 | $ | 66,063 | $ | 0 | $ | 703,957 | |||||||||||||||||
Available-for-Sale Portfolio: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 1,252,332 | $ | 1,119 | $ | 41,304 | $ | 1,212,147 | $ | 988,217 | $ | 91,040 | $ | 0 | $ | 1,079,257 | |||||||||||||||||
Obligations of state and political subdivisions | 665,441 | 15,919 | 12,378 | 668,982 | 629,883 | 33,070 | 61 | 662,892 | |||||||||||||||||||||||||
Government agency mortgage-backed securities | 250,431 | 8,660 | 4,113 | 254,978 | 253,013 | 16,989 | 51 | 269,951 | |||||||||||||||||||||||||
Pooled trust preferred securities | 0 | 0 | 0 | 0 | 61,979 | 0 | 12,379 | 49,600 | |||||||||||||||||||||||||
Corporate debt securities | 26,932 | 873 | 218 | 27,587 | 24,136 | 1,265 | 44 | 25,357 | |||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 21,779 | 362 | 93 | 22,048 | 32,359 | 1,579 | 3 | 33,935 | |||||||||||||||||||||||||
Marketable equity securities | 250 | 171 | 0 | 421 | 351 | 94 | 43 | 402 | |||||||||||||||||||||||||
Total available-for-sale portfolio | $ | 2,217,165 | $ | 27,104 | $ | 58,106 | $ | 2,186,163 | $ | 1,989,938 | $ | 144,037 | $ | 12,581 | $ | 2,121,394 | |||||||||||||||||
Other Securities: | |||||||||||||||||||||||||||||||||
Federal Reserve Bank common stock | $ | 16,050 | $ | 16,050 | $ | 16,050 | $ | 16,050 | |||||||||||||||||||||||||
Federal Home Loan Bank common stock | 12,053 | 12,053 | 38,111 | 38,111 | |||||||||||||||||||||||||||||
Other equity securities | 4,459 | 4,459 | 5,078 | 5,078 | |||||||||||||||||||||||||||||
Total other securities | $ | 32,562 | $ | 32,562 | $ | 59,239 | $ | 59,239 | |||||||||||||||||||||||||
The Company undertook a balance sheet restructuring program during the first half of 2013 through the sale of certain longer duration investment securities and retirement of the Company’s existing FHLB term borrowings. During the first half of 2013, the Company sold $648.7 million of U.S. Treasury and agency securities classified as available-for-sale, realizing $63.8 million of gains. The proceeds from those sales were utilized to retire FHLB term borrowings. | |||||||||||||||||||||||||||||||||
In December 2013, in response to the issuance of the “Volcker Rule”, the Company sold its entire portfolio of pooled trust preferred securities, realizing a loss of $15.5 million, as well as U.S. Treasury securities with a book value of $417.6 million that were previously classified as held-to-maturity, realizing $32.4 million of gains. The proceeds from these sales were utilized to retire the remaining FHLB term borrowings. As a result of the securities sold from the held-to-maturity classification, the remaining unsold securities within the held-to-maturity classification, with a book value of $198.9 million, were transferred to the available-for-sale classification prior to December 31, 2013. An unrealized loss of $1.8 million was recorded in accumulated other comprehensive income. In addition, as a result of the sale of securities classified as held-to-maturity, the Company will not be able to use the held-to-maturity classification for the foreseeable future. | |||||||||||||||||||||||||||||||||
A summary of investment securities that have been in a continuous unrealized loss position for less than or greater than twelve months is as follows: | |||||||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||||||
Less than 12 Months | Total | ||||||||||||||||||||||||||||||||
12 Months or Longer | |||||||||||||||||||||||||||||||||
Gross | Gross | Gross | |||||||||||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||||||||||
(000's omitted) | # | Value | Losses | # | Value | Losses | # | Value | Losses | ||||||||||||||||||||||||
Available-for-Sale Portfolio: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency obligations | 43 | $1,181,214 | $41,304 | 0 | $0 | $0 | 43 | $1,181,214 | $41,304 | ||||||||||||||||||||||||
Obligations of state and political subdivisions | 302 | 195,526 | 11,774 | 9 | 4,974 | 604 | 311 | 200,500 | 12,378 | ||||||||||||||||||||||||
Government agency mortgage-backed securities | 43 | 68,917 | 3,262 | 6 | 8,713 | 851 | 49 | 77,630 | 4,113 | ||||||||||||||||||||||||
Corporate debt securities | 1 | 3,026 | 31 | 1 | 2,703 | 187 | 2 | 5,729 | 218 | ||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 1 | 2,601 | 93 | 1 | 7 | 0 | 2 | 2,608 | 93 | ||||||||||||||||||||||||
Total available-for-sale/investment portfolio | 390 | $1,451,284 | $56,464 | 17 | $16,397 | $1,642 | 407 | $1,467,681 | $58,106 | ||||||||||||||||||||||||
As of December 31, 2012 | |||||||||||||||||||||||||||||||||
Total | |||||||||||||||||||||||||||||||||
Less than 12 Months | 12 Months or Longer | ||||||||||||||||||||||||||||||||
Gross | Gross | Gross | |||||||||||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||||||||||
(000's omitted) | # | Value | Losses | # | Value | Losses | # | Value | Losses | ||||||||||||||||||||||||
Available-for-Sale Portfolio: | |||||||||||||||||||||||||||||||||
Obligations of state and political subdivisions | 19 | $11,503 | $61 | 0 | $0 | $0 | 19 | $11,503 | $61 | ||||||||||||||||||||||||
Pooled trust preferred securities | 0 | 0 | 0 | 3 | 49,600 | 12,379 | 3 | 49,600 | 12,379 | ||||||||||||||||||||||||
Government agency mortgage-backed securities | 8 | 14,354 | 51 | 0 | 0 | 0 | 8 | 14,354 | 51 | ||||||||||||||||||||||||
Corporate debt securities | 1 | 2,905 | 44 | 0 | 0 | 0 | 1 | 2,905 | 44 | ||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 4 | 426 | 2 | 2 | 1,041 | 1 | 6 | 1,467 | 3 | ||||||||||||||||||||||||
Marketable equity securities | 0 | 0 | 0 | 1 | 158 | 43 | 1 | 158 | 43 | ||||||||||||||||||||||||
Total available-for-sale/investment portfolio | 32 | $29,188 | $158 | 6 | $50,799 | $12,423 | 38 | $79,987 | $12,581 | ||||||||||||||||||||||||
The unrealized losses reported pertaining to securities issued by the U.S. government and its’ sponsored entities, include treasuries, agencies, and mortgage-backed securities issued by GNMA, FNMA and FHLMC which are currently rated AAA by Moody’s Investor Services, AA+ by Standard & Poor’s and are guaranteed by the U.S. government. The majority of the obligations of state and political subdivisions and corporations carry a credit rating of A or better. Additionally, a majority of the obligations of state and political subdivisions carry a secondary level of credit enhancement. The Company does not intend to sell these securities, nor is it more likely than not that the Company will be required to sell these securities prior to recovery of the amortized cost. The unrealized losses in the portfolios are primarily attributable to changes in interest rates. As such, management does not believe any individual unrealized loss as of December 31, 2013 represents OTTI. | |||||||||||||||||||||||||||||||||
The amortized cost and estimated fair value of debt securities at December 31, 2013, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. | |||||||||||||||||||||||||||||||||
Available-for-Sale | |||||||||||||||||||||||||||||||||
Amortized | Fair | ||||||||||||||||||||||||||||||||
(000's omitted) | Cost | Value | |||||||||||||||||||||||||||||||
Due in one year or less | $ | 40,802 | $ | 41,307 | |||||||||||||||||||||||||||||
Due after one through five years | 177,826 | 184,053 | |||||||||||||||||||||||||||||||
Due after five years through ten years | 1,452,472 | 1,414,410 | |||||||||||||||||||||||||||||||
Due after ten years | 273,605 | 268,946 | |||||||||||||||||||||||||||||||
Subtotal | 1,944,705 | 1,908,716 | |||||||||||||||||||||||||||||||
Government agency mortgage-backed securities | 250,431 | 254,978 | |||||||||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 21,779 | 22,048 | |||||||||||||||||||||||||||||||
Total | $ | 2,216,915 | $ | 2,185,742 | |||||||||||||||||||||||||||||
Cash flow information on investment securities for the years ended December 31 is as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||
Gross gains on sales of investment securities | $ | 96,258 | $ | 350 | $ | 349 | |||||||||||||||||||||||||||
Gross losses on sales of investment securities | 15,490 | 59 | 319 | ||||||||||||||||||||||||||||||
Proceeds from the maturities of mortgage-backed securities and CMO's | 83,232 | 109,843 | 97,224 | ||||||||||||||||||||||||||||||
Purchases of mortgage-backed securities and CMO's | 51,194 | 26,292 | 253,378 | ||||||||||||||||||||||||||||||
Investment securities with a carrying value of $0.978 billion and $1.176 billion at December 31, 2013 and 2012, respectively, were pledged to collateralize certain deposits and borrowings. |
LOANS
LOANS | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
LOANS [Abstract] | ' | ||||||||||||||||||||||||||||||||
LOANS | ' | ||||||||||||||||||||||||||||||||
NOTE D: LOANS | |||||||||||||||||||||||||||||||||
The segments of the Company’s loan portfolio are disaggregated into the following classes that allow management to monitor risk and performance: | |||||||||||||||||||||||||||||||||
· | Consumer mortgages - consist primarily of fixed rate residential instruments, typically 15 – 30 years in contractual term, secured by first liens on real property. | ||||||||||||||||||||||||||||||||
· | Business lending - is comprised of general purpose commercial and industrial loans including, but not limited to agricultural-related and dealer floor plans, as well as mortgages on commercial property. | ||||||||||||||||||||||||||||||||
· | Consumer indirect - consists primarily of installment loans originated through selected dealerships and are secured by automobiles, marine and other recreational vehicles. | ||||||||||||||||||||||||||||||||
· | Consumer direct - all other loans to consumers such as personal installment loans and lines of credit. | ||||||||||||||||||||||||||||||||
· | Home equity products - are consumer purpose installment loans or lines of credit most often secured by a first or second lien position on residential real estate with terms of up to 30 years. | ||||||||||||||||||||||||||||||||
The balance of these classes at December 31 are summarized as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Consumer mortgage | $ | 1,582,058 | $ | 1,448,415 | |||||||||||||||||||||||||||||
Business lending | 1,260,364 | 1,233,944 | |||||||||||||||||||||||||||||||
Consumer indirect | 740,002 | 647,518 | |||||||||||||||||||||||||||||||
Consumer direct | 180,139 | 171,474 | |||||||||||||||||||||||||||||||
Home equity | 346,520 | 364,225 | |||||||||||||||||||||||||||||||
Gross loans, including net deferred origination costs | 4,109,083 | 3,865,576 | |||||||||||||||||||||||||||||||
Allowance for loan losses | (44,319 | ) | (42,888 | ) | |||||||||||||||||||||||||||||
Loans, net of allowance for loan losses | $ | 4,064,764 | $ | 3,822,688 | |||||||||||||||||||||||||||||
The Company had approximately $18.5 million and $16.5 million of net deferred loan origination costs included in gross loans as of December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||
Certain directors and executive officers of the Company, as well as associates of such persons, are loan customers. Loans to these individuals were made in the ordinary course of business under normal credit terms and do not have more than a normal risk of collection. Following is a summary of the aggregate amount of such loans during 2013 and 2012. | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Balance at beginning of year | $ | 8,292 | $ | 11,550 | |||||||||||||||||||||||||||||
New loans | 3,643 | 2,259 | |||||||||||||||||||||||||||||||
Payments | (2,487 | ) | (5,517 | ) | |||||||||||||||||||||||||||||
Balance at end of year | $ | 9,448 | $ | 8,292 | |||||||||||||||||||||||||||||
Acquired loans | |||||||||||||||||||||||||||||||||
Acquired loans are recorded at fair value as of the date of purchase with no allowance for loan loss. As discussed in Note B (Acquisitions), the company acquired loans of $1 million on December 13, 2013 in its Bank of America branch acquisition, $54 million on September 7, 2012 in its acquisition of First Niagara branches, $106 million on July 20, 2012 in its HSBC branch acquisition, and $462 million on April 8, 2011 in its acquisition of Wilber. The outstanding principal balance and the related carrying amount of acquired loans included in the Consolidated Statement of Condition at December 31 are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Credit impaired acquired loans: | |||||||||||||||||||||||||||||||||
Outstanding principal balance | $ | 13,052 | $ | 19,940 | |||||||||||||||||||||||||||||
Carrying amount | 7,090 | 13,761 | |||||||||||||||||||||||||||||||
Non-impaired acquired loans: | |||||||||||||||||||||||||||||||||
Outstanding principal balance | 342,542 | 449,739 | |||||||||||||||||||||||||||||||
Carrying amount | 330,118 | 433,594 | |||||||||||||||||||||||||||||||
Total acquired loans: | |||||||||||||||||||||||||||||||||
Outstanding principal balance | 355,594 | 469,679 | |||||||||||||||||||||||||||||||
Carrying amount | 337,208 | 447,355 | |||||||||||||||||||||||||||||||
The outstanding balance related to credit impaired acquired loans was $15.5 million and $22.4 million at December 31, 2013 and 2012, respectively. The changes in the accretable discount related to the credit impaired acquired loans are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Balance at beginning of year | $ | 1,770 | $ | 2,610 | |||||||||||||||||||||||||||||
Accretion recognized | (1,025 | ) | (1,418 | ) | |||||||||||||||||||||||||||||
Net reclassification to accretable from nonaccretable | 252 | 578 | |||||||||||||||||||||||||||||||
Balance at end of year | $ | 997 | $ | 1,770 | |||||||||||||||||||||||||||||
Credit Quality | |||||||||||||||||||||||||||||||||
Management monitors the credit quality of its loan portfolio on an ongoing basis. Measurement of delinquency and past due status are based on the contractual terms of each loan. Past due loans are reviewed on a monthly basis to identify loans for non-accrual status. The following is an aged analysis of the Company’s past due loans by class as of December 31, 2013: | |||||||||||||||||||||||||||||||||
Legacy Loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Past Due | 90+ Days Past | Nonaccrual | Total | Current | Total Loans | |||||||||||||||||||||||||||
30 - 89 | Due and | Past Due | |||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 16,589 | $ | 1,253 | $ | 11,097 | $ | 28,939 | $ | 1,473,320 | $ | 1,502,259 | |||||||||||||||||||||
Business lending | 2,960 | 164 | 3,083 | 6,207 | 1,079,818 | 1,086,025 | |||||||||||||||||||||||||||
Consumer indirect | 11,647 | 738 | 14 | 12,399 | 723,878 | 736,277 | |||||||||||||||||||||||||||
Consumer direct | 1,858 | 90 | 4 | 1,952 | 169,452 | 171,404 | |||||||||||||||||||||||||||
Home equity | 2,635 | 173 | 1,867 | 4,675 | 271,235 | 275,910 | |||||||||||||||||||||||||||
Total | $ | 35,689 | $ | 2,418 | $ | 16,065 | $ | 54,172 | $ | 3,717,703 | $ | 3,771,875 | |||||||||||||||||||||
Acquired Loans (includes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
Past Due | 90+ Days Past | Nonaccrual | Total | Acquired Impaired(1) | Current | Total Loans | |||||||||||||||||||||||||||
(000’s omitted) | 30 - 89 | Due and | Past Due | ||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 1,857 | $ | 85 | $ | 1,463 | $ | 3,405 | $ | 0 | $ | 76,394 | $ | 79,799 | |||||||||||||||||||
Business lending | 531 | 0 | 1,472 | 2,003 | 7,090 | 165,246 | 174,339 | ||||||||||||||||||||||||||
Consumer indirect | 157 | 17 | 0 | 174 | 0 | 3,551 | 3,725 | ||||||||||||||||||||||||||
Consumer direct | 385 | 27 | 0 | 412 | 0 | 8,323 | 8,735 | ||||||||||||||||||||||||||
Home equity | 592 | 8 | 473 | 1,073 | 0 | 69,537 | 70,610 | ||||||||||||||||||||||||||
Total | $ | 3,522 | $ | 137 | $ | 3,408 | $ | 7,067 | $ | 7,090 | $ | 323,051 | $ | 337,208 | |||||||||||||||||||
(1) Acquired impaired loans were not classified as nonperforming assets as the loans are considered to be performing under ASC 310-30. As a result interest income, through the accretion of the difference between the carrying amount of the loans and the expected cashflows, is being recognized on acquired impaired loans. | |||||||||||||||||||||||||||||||||
The following is an aged analysis of the Company’s past due loans by class as of December 31, 2012: | |||||||||||||||||||||||||||||||||
Legacy Loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Past Due | 90+ Days Past | Nonaccrual | Total | Current | Total Loans | |||||||||||||||||||||||||||
30 - 89 | Due and | Past Due | |||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 16,334 | $ | 1,553 | $ | 8,866 | $ | 26,753 | $ | 1,318,534 | $ | 1,345,287 | |||||||||||||||||||||
Business lending | 6,012 | 167 | 12,010 | 18,189 | 984,665 | 1,002,854 | |||||||||||||||||||||||||||
Consumer indirect | 9,743 | 73 | 0 | 9,816 | 627,541 | 637,357 | |||||||||||||||||||||||||||
Consumer direct | 1,725 | 71 | 8 | 1,804 | 154,462 | 156,266 | |||||||||||||||||||||||||||
Home equity | 4,124 | 491 | 1,044 | 5,659 | 270,798 | 276,457 | |||||||||||||||||||||||||||
Total | $ | 37,938 | $ | 2,355 | $ | 21,928 | $ | 62,221 | $ | 3,356,000 | $ | 3,418,221 | |||||||||||||||||||||
Acquired Loans (includes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
Past Due | 90+ Days Past | Nonaccrual | Total | Acquired Impaired(1) | Current | Total Loans | |||||||||||||||||||||||||||
(000’s omitted) | 30 - 89 | Due and | Past Due | ||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 1,726 | $ | 265 | $ | 2,420 | $ | 4,411 | $ | 0 | $ | 98,717 | $ | 103,128 | |||||||||||||||||||
Business lending | 3,665 | 80 | 1,681 | 5,426 | 13,761 | 211,903 | 231,090 | ||||||||||||||||||||||||||
Consumer indirect | 434 | 0 | 0 | 434 | 0 | 9,727 | 10,161 | ||||||||||||||||||||||||||
Consumer direct | 470 | 0 | 0 | 470 | 0 | 14,738 | 15,208 | ||||||||||||||||||||||||||
Home equity | 959 | 48 | 331 | 1,338 | 0 | 86,430 | 87,768 | ||||||||||||||||||||||||||
Total | $ | 7,254 | $ | 393 | $ | 4,432 | $ | 12,079 | $ | 13,761 | $ | 421,515 | $ | 447,355 | |||||||||||||||||||
(1) Acquired impaired loans were not classified as nonperforming assets as the loans are considered to be performing under ASC 310-30. As a result interest income, through the accretion of the difference between the carrying amount of the loans and the expected cashflows, is being recognized on acquired impaired loans. | |||||||||||||||||||||||||||||||||
The Company uses several credit quality indicators to assess credit risk in an ongoing manner. The Company’s primary credit quality indicator for its business lending portfolio is an internal credit risk rating system that categorizes loans as “pass”, “special mention”, or “classified”. Credit risk ratings are applied individually to those classes of loans that have significant or unique credit characteristics that benefit from a case-by-case evaluation. In general, the following are the definitions of the Company’s credit quality indicators: | |||||||||||||||||||||||||||||||||
Pass | The condition of the borrower and the performance of the loans are satisfactory or better. | ||||||||||||||||||||||||||||||||
Special mention | The condition of the borrower has deteriorated although the loan performs as agreed. | ||||||||||||||||||||||||||||||||
Classified | The condition of the borrower has significantly deteriorated and the performance of the loan could further deteriorate if deficiencies are not corrected. | ||||||||||||||||||||||||||||||||
Doubtful | The condition of the borrower has deteriorated to the point that collection of the balance is improbable based on current facts and conditions. | ||||||||||||||||||||||||||||||||
The following table shows the amount of business lending loans by credit quality category: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000’s omitted) | Legacy | Acquired | Total | Legacy | Acquired | Total | |||||||||||||||||||||||||||
Pass | $ | 908,885 | $ | 116,271 | $ | 1,025,156 | $ | 818,469 | $ | 144,869 | $ | 963,338 | |||||||||||||||||||||
Special mention | 93,600 | 24,264 | 117,864 | 92,739 | 32,328 | 125,067 | |||||||||||||||||||||||||||
Classified | 83,379 | 26,714 | 110,093 | 90,035 | 40,132 | 130,167 | |||||||||||||||||||||||||||
Doubtful | 161 | 0 | 161 | 1,611 | 0 | 1,611 | |||||||||||||||||||||||||||
Acquired impaired | 0 | 7,090 | 7,090 | 0 | 13,761 | 13,761 | |||||||||||||||||||||||||||
Total | $ | 1,086,025 | $ | 174,339 | $ | 1,260,364 | $ | 1,002,854 | $ | 231,090 | $ | 1,233,944 | |||||||||||||||||||||
All other loans are underwritten and structured using standardized criteria and characteristics, primarily payment performance, and are normally risk rated and monitored collectively on a monthly basis. These are typically loans to individuals in the consumer categories and are delineated as either performing or nonperforming. Performing loans include current, 30 – 89 days past due and acquired impaired loans. Nonperforming loans include 90+ days past due and still accruing and nonaccrual loans. | |||||||||||||||||||||||||||||||||
The following tables detail the balances in all loan categories except for business lending at December 31, 2013: | |||||||||||||||||||||||||||||||||
Legacy loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 1,489,909 | $ | 735,525 | $ | 171,310 | $ | 273,870 | $ | 2,670,614 | |||||||||||||||||||||||
Nonperforming | 12,350 | 752 | 94 | 2,040 | 15,236 | ||||||||||||||||||||||||||||
Total | $ | 1,502,259 | $ | 736,277 | $ | 171,404 | $ | 275,910 | $ | 2,685,850 | |||||||||||||||||||||||
Acquired loans (includes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 78,251 | $ | 3,708 | $ | 8,708 | $ | 70,129 | $ | 160,796 | |||||||||||||||||||||||
Nonperforming | 1,548 | 17 | 27 | 481 | 2,073 | ||||||||||||||||||||||||||||
Total | $ | 79,799 | $ | 3,725 | $ | 8,735 | $ | 70,610 | $ | 162,869 | |||||||||||||||||||||||
The following table details the balances in all other loan categories at December 31, 2012: | |||||||||||||||||||||||||||||||||
Legacy loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 1,334,868 | $ | 637,284 | $ | 156,187 | $ | 274,922 | $ | 2,403,261 | |||||||||||||||||||||||
Nonperforming | 10,419 | 73 | 79 | 1,535 | 12,106 | ||||||||||||||||||||||||||||
Total | $ | 1,345,287 | $ | 637,357 | $ | 156,266 | $ | 276,457 | $ | 2,415,367 | |||||||||||||||||||||||
Acquired loans (includes loans acquired after January 1, 2009 | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 100,443 | $ | 10,161 | $ | 15,208 | $ | 87,389 | $ | 213,201 | |||||||||||||||||||||||
Nonperforming | 2,685 | 0 | 0 | 379 | 3,064 | ||||||||||||||||||||||||||||
Total | $ | 103,128 | $ | 10,161 | $ | 15,208 | $ | 87,768 | $ | 216,265 | |||||||||||||||||||||||
All loan classes are collectively evaluated for impairment except business lending, as described in Note A. A summary of impaired loans, excluding purchased impaired, as of December 31, 2013 and 2012 are summarized as follows: | |||||||||||||||||||||||||||||||||
(000’s omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Loans with reserve | $ | 945 | $ | 1,611 | |||||||||||||||||||||||||||||
Loans without reserve | 600 | 7,798 | |||||||||||||||||||||||||||||||
Carrying balance | 1,545 | 9,409 | |||||||||||||||||||||||||||||||
Contractual balance | 1,852 | 12,804 | |||||||||||||||||||||||||||||||
Specifically allocated allowance | 50 | 800 | |||||||||||||||||||||||||||||||
Average impaired loans | 10,729 | 19,787 | |||||||||||||||||||||||||||||||
Interest income recognized | 18 | 185 | |||||||||||||||||||||||||||||||
In the course of working with borrowers, the Company may choose to restructure the contractual terms of certain loans. In this scenario, the Company attempts to work-out an alternative payment schedule with the borrower in order to optimize collectability of the loan. Any loans that are modified are reviewed by the Company to identify if a troubled debt restructuring (“TDR”) has occurred, which is when, for economic or legal reasons related to a borrower’s financial difficulties, the Company grants a concession to the borrower that it would not otherwise consider. Terms may be modified to fit the ability of the borrower to repay in line with its current financial standing and the restructuring of the loan may include the transfer of assets from the borrower to satisfy the debt, a modification of loan terms, or a combination of the two. With regard to determination of the amount of the allowance for loan losses, troubled debt restructured loans are considered to be impaired. As a result, the determination of the amount of allowance for loan losses related to impaired loans for each portfolio segment within troubled debt restructurings is the same as detailed previously. | |||||||||||||||||||||||||||||||||
During 2012, clarified guidance was issued by the OCC addressing the accounting for certain loans that have been discharged in Chapter 7 bankruptcy. In accordance with this clarified guidance, loans that have been discharged in Chapter 7 bankruptcy, but not reaffirmed by the borrower, are classified as TDRs, irrespective of payment history or delinquency status, even if the repayment terms for the loan have not been otherwise modified. The Company’s lien position against the underlying collateral remains unchanged. Pursuant to that guidance, the Company records a charge-off equal to any portion of the carrying value that exceeds the net realizable value of the collateral. The amount of loss incurred in 2012 and 2013 was immaterial. | |||||||||||||||||||||||||||||||||
TDRs less than $0.5 million are collectively included in the general loan loss allocation and the qualitative review, if necessary. Commercial loans greater than $0.5 million are individually evaluated for impairment, and if necessary, a specific allocation of the allowance for loan losses is provided. At December 31, 2013 there were no impaired loans that were considered a TDR. | |||||||||||||||||||||||||||||||||
Information regarding troubled debt restructurings as of December 31, 2013 and December 31, 2012 is as follows | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000’s omitted) | Nonaccrual | Accruing | Total | Nonaccrual | Accruing | Total | |||||||||||||||||||||||||||
# | Amount | # | Amount | # | Amount | # | Amount | # | Amount | # | Amount | ||||||||||||||||||||||
Consumer mortgage | 31 | $1,682 | 48 | $2,171 | 79 | $3,853 | 3 | $160 | 45 | $2,074 | 48 | $2,234 | |||||||||||||||||||||
Business lending | 4 | 162 | 1 | 47 | 5 | 209 | 10 | 3,046 | 0 | 0 | 10 | 3,046 | |||||||||||||||||||||
Consumer indirect | 0 | 0 | 98 | 692 | 98 | 692 | 0 | 0 | 106 | 718 | 106 | 718 | |||||||||||||||||||||
Consumer direct | 0 | 0 | 46 | 116 | 46 | 116 | 0 | 0 | 19 | 116 | 19 | 116 | |||||||||||||||||||||
Home equity | 12 | 202 | 20 | 363 | 32 | 565 | 5 | 70 | 19 | 266 | 24 | 336 | |||||||||||||||||||||
Total | 47 | $2,046 | 213 | $3,389 | 260 | $5,435 | 18 | $3,276 | 189 | $3,174 | 207 | $6,450 | |||||||||||||||||||||
The following table presents information related to loans modified in a TDR during the years ended December 31, 2013 and 2012. Of the loans noted in the table below, all loans for the year ended December 31, 2012 and all but two loans for the year ended December 31, 2013, were modified due to a Chapter 7 bankruptcy as described previously. The others were a business loan restructured via an extension of term and a consumer mortgage restructured via an extension of term and a rate concession. The financial effects of these restructurings were immaterial. | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000’s omitted) | # | Amount | # | Amount | |||||||||||||||||||||||||||||
Consumer mortgage | 31 | $1,758 | 23 | $1,176 | |||||||||||||||||||||||||||||
Business lending | 3 | 183 | 9 | 2,709 | |||||||||||||||||||||||||||||
Consumer indirect | 36 | 327 | 47 | 281 | |||||||||||||||||||||||||||||
Consumer direct | 22 | 75 | 13 | 95 | |||||||||||||||||||||||||||||
Home equity | 14 | 298 | 12 | 126 | |||||||||||||||||||||||||||||
Total | 106 | $2,641 | 104 | $4,387 | |||||||||||||||||||||||||||||
Allowance for Loan Losses | |||||||||||||||||||||||||||||||||
The allowance for loan losses is general in nature and is available to absorb losses from any loan type despite the analysis below. The following presents by class the activity in the allowance for loan losses: | |||||||||||||||||||||||||||||||||
Consumer | Business | Home | Consumer | Consumer | Acquired | ||||||||||||||||||||||||||||
(000’s omitted) | Mortgage | Lending | Equity | Indirect | Direct | Unallocated | Impaired | Total | |||||||||||||||||||||||||
Balance at | $ | 4,651 | $ | 20,574 | $ | 1,130 | $ | 8,960 | $ | 3,290 | $ | 3,222 | $ | 386 | $ | 42,213 | |||||||||||||||||
31-Dec-11 | |||||||||||||||||||||||||||||||||
Charge-offs | (1,004 | ) | (5,654 | ) | (423 | ) | (5,407 | ) | (1,694 | ) | 0 | 0 | (14,182 | ) | |||||||||||||||||||
Recoveries | 59 | 1,295 | 23 | 3,551 | 821 | 0 | 0 | 5,749 | |||||||||||||||||||||||||
Provision | 3,364 | 1,798 | 721 | 2,502 | 886 | (556 | ) | 393 | 9,108 | ||||||||||||||||||||||||
Balance at | 7,070 | 18,013 | 1,451 | 9,606 | 3,303 | 2,666 | 779 | 42,888 | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||||||||||
Charge-offs | (1,012 | ) | (2,788 | ) | (650 | ) | (4,544 | ) | (1,954 | ) | 0 | (883 | ) | (11,831 | ) | ||||||||||||||||||
Recoveries | 36 | 692 | 20 | 3,488 | 1,034 | 0 | 0 | 5,270 | |||||||||||||||||||||||||
Provision | 2,900 | 1,590 | 1,009 | 1,698 | 798 | (637 | ) | 634 | 7,992 | ||||||||||||||||||||||||
Balance at | $ | 8,994 | $ | 17,507 | $ | 1,830 | $ | 10,248 | $ | 3,181 | $ | 2,029 | $ | 530 | $ | 44,319 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
PREMISES_AND_EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PREMISES AND EQUIPMENT [Abstract] | ' | ||||||||
PREMISES AND EQUIPMENT | ' | ||||||||
NOTE E: PREMISES AND EQUIPMENT | |||||||||
Premises and equipment consist of the following at December 31: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
Land and land improvements | $ | 15,714 | $ | 15,480 | |||||
Bank premises | 95,275 | 90,899 | |||||||
Equipment and construction in progress | 75,523 | 73,404 | |||||||
Premises and equipment, gross | 186,512 | 179,783 | |||||||
Accumulated depreciation | (92,876 | ) | (89,845 | ) | |||||
Premises and equipment, net | $ | 93,636 | $ | 89,938 |
GOODWILL_AND_IDENTIFIABLE_INTA
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS [Abstract] | ' | ||||||||||||||||||||||||
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS | ' | ||||||||||||||||||||||||
NOTE F: GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS | |||||||||||||||||||||||||
The gross carrying amount and accumulated amortization for each type of identifiable intangible asset are as follows: | |||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||
Gross | Net | Gross | Net | ||||||||||||||||||||||
Carrying | Accumulated | Carrying | Carrying | Accumulated | Carrying | ||||||||||||||||||||
(000's omitted) | Amount | Amortization | Amount | Amount | Amortization | Amount | |||||||||||||||||||
Amortizing intangible assets: | |||||||||||||||||||||||||
Core deposit intangibles | $ | 40,722 | $ | (27,262 | ) | $ | 13,460 | $ | 38,185 | $ | (23,693 | ) | $ | 14,492 | |||||||||||
Other intangibles | 9,441 | (7,393 | ) | 2,048 | 9,432 | (6,493 | ) | 2,939 | |||||||||||||||||
Total amortizing intangibles | $ | 50,163 | $ | (34,655 | ) | $ | 15,508 | $ | 47,617 | $ | (30,186 | ) | $ | 17,431 | |||||||||||
The estimated aggregate amortization expense for each of the five succeeding fiscal years ended December 31 is as follows: | |||||||||||||||||||||||||
2014 | $4,160 | ||||||||||||||||||||||||
2015 | 3,296 | ||||||||||||||||||||||||
2016 | 2,515 | ||||||||||||||||||||||||
2017 | 1,828 | ||||||||||||||||||||||||
2018 | 1,359 | ||||||||||||||||||||||||
Thereafter | 2,350 | ||||||||||||||||||||||||
Total | $15,508 | ||||||||||||||||||||||||
Shown below are the components of the Company’s goodwill at December 31, 2013 and 2012: | |||||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | |||||||||||||||||||||||
(000’s omitted) | 31-Dec-11 | Activity | 31-Dec-12 | Activity | 31-Dec-13 | ||||||||||||||||||||
Goodwill | $ | 349,874 | $ | 24,653 | $ | 374,527 | $ | 5,288 | $ | 379,815 | |||||||||||||||
Accumulated impairment | (4,824 | ) | 0 | (4,824 | ) | 0 | (4,824 | ) | |||||||||||||||||
Goodwill, net | $ | 345,050 | $ | 24,653 | $ | 369,703 | $ | 5,288 | $ | 374,991 | |||||||||||||||
During the first quarter, the Company performed its annual internal valuation of goodwill and impairment analysis by comparing the fair value of each reporting unit to its carrying value. Results of the valuations indicate there was no goodwill impairment. | |||||||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||||||
Under certain circumstances, the Company sells consumer residential mortgage loans in the secondary market and typically retains the right to service the loans sold. Generally, the Company’s residential mortgage loans sold to third parties are sold on a non-recourse basis. Upon sale, a mortgage servicing right (“MSR”) is established, which represents the then current fair value of future net cash flows expected to be realized for performing the servicing activities. The Company stratifies these assets based on predominant risk characteristics, namely expected term of the underlying financial instruments, and uses a valuation model that calculates the present value of future cash flows to determine the fair value of servicing rights. MSRs are recorded in other assets at the lower of the initial capitalized amount, net of accumulated amortization or fair value. Mortgage loans serviced for others are not included in the accompanying consolidated statements of condition. | |||||||||||||||||||||||||
The following table summarizes the changes in carrying value of MSRs and the associated valuation allowance: | |||||||||||||||||||||||||
(000’s omitted) | 2013 | 2012 | |||||||||||||||||||||||
Carrying value before valuation allowance at beginning of period | $ | 1,458 | $ | 2,145 | |||||||||||||||||||||
Additions | 289 | 0 | |||||||||||||||||||||||
Amortization | (529 | ) | (687 | ) | |||||||||||||||||||||
Carrying value before valuation allowance at end of period | 1,218 | 1,458 | |||||||||||||||||||||||
Valuation allowance balance at beginning of period | (430 | ) | (397 | ) | |||||||||||||||||||||
Impairment charges | (111 | ) | (279 | ) | |||||||||||||||||||||
Impairment recoveries | 541 | 246 | |||||||||||||||||||||||
Valuation allowance balance at end of period | 0 | (430 | ) | ||||||||||||||||||||||
Net carrying value at end of period | $ | 1,218 | $ | 1,028 | |||||||||||||||||||||
Fair value of MSRs at end of period | $ | 1,495 | $ | 1,028 | |||||||||||||||||||||
Principal balance of loans sold during the year | $ | 25,179 | $ | 3,554 | |||||||||||||||||||||
Principal balance of loans serviced for others | $ | 322,030 | $ | 367,241 | |||||||||||||||||||||
Custodial escrow balances maintained in connection with loans serviced for others | $ | 4,519 | $ | 5,011 | |||||||||||||||||||||
The following table summarizes the key economic assumptions used to estimate the value of the MSRs at December 31: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Weighted-average contractual life (in years) | 19.2 | 18.8 | |||||||||||||||||||||||
Weighted-average constant prepayment rate (CPR) | 18 | % | 34.4 | % | |||||||||||||||||||||
Weighted-average discount rate | 4.5 | % | 3.1 | % |
DEPOSITS
DEPOSITS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
DEPOSITS [Abstract] | ' | ||||||||
DEPOSITS | ' | ||||||||
NOTE G: DEPOSITS | |||||||||
Deposits consist of the following at December 31: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
Noninterest checking | $ | 1,203,346 | $ | 1,110,994 | |||||
Interest checking | 1,289,676 | 1,151,522 | |||||||
Savings | 1,010,196 | 940,985 | |||||||
Money market | 1,466,273 | 1,409,123 | |||||||
Time | 926,553 | 1,015,415 | |||||||
Total deposits | $ | 5,896,044 | $ | 5,628,039 | |||||
At December 31, 2013 and 2012, time deposits in denominations of $100,000 and greater totaled $206.4 million and $244.9 million, respectively. The approximate maturities of these time deposits at December 31, 2013 are as follows: | |||||||||
(000's omitted) | Amount | ||||||||
2014 | $ | 142,691 | |||||||
2015 | 20,938 | ||||||||
2016 | 17,880 | ||||||||
2017 | 14,347 | ||||||||
2018 | 8,213 | ||||||||
Thereafter | 2,346 | ||||||||
Total | $ | 206,415 |
BORROWINGS
BORROWINGS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
BORROWINGS [Abstract] | ' | ||||||||
BORROWINGS | ' | ||||||||
NOTE H: BORROWINGS | |||||||||
Outstanding borrowings at December 31 are as follows: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
FHLB overnight advance | $ | 141,900 | $ | 0 | |||||
FHLB term advances | 0 | 728,034 | |||||||
Capital lease obligations | 13 | 27 | |||||||
Subordinated debt held by unconsolidated subsidiary trusts, | |||||||||
net of discount of $430 and $454, respectively | 102,097 | 102,073 | |||||||
Total borrowings | $ | 244,010 | $ | 830,134 | |||||
FHLB advances are collateralized by a blanket lien on the Company's residential real estate loan portfolio and various investment securities. | |||||||||
The Company undertook a balance sheet restructuring program during the first half of 2013 through the sale of certain longer duration investment securities and retirement of the Company’s existing FHLB term advances. During the first half of 2013, the Company sold securities and utilized the proceeds to retire $501.6 million of FHLB term borrowings with $63.5 million of associated early extinguishments costs. | |||||||||
During December 2013, in response to the issuance of the “Volker Rule”, the Company sold certain investment securities and utilized the proceeds to retire the remaining $226.4 million FHLB term advances with $23.8 million of associated early extinguishment costs. | |||||||||
Borrowings at December 31, 2013 have contractual maturity dates as follows: | |||||||||
(000's omitted, except rate) | Carrying Value | Weighted-average | |||||||
Rate at | |||||||||
31-Dec-13 | |||||||||
2-Jan-14 | $ | 141,900 | 0.4 | % | |||||
1-Feb-15 | 13 | 3.25 | % | ||||||
31-Jul-31 | 24,777 | 3.82 | % | ||||||
15-Dec-36 | 77,320 | 1.89 | % | ||||||
Total | $ | 244,010 | 1.22 | % | |||||
The weighted-average interest rate on borrowings for the years ended December 31, 2013 and 2012 was 2.70% and 3.46%, respectively. | |||||||||
The Company sponsors two business trusts, Community Statutory Trust III and Community Capital Trust IV, of which 100% of the common stock is owned by the Company. The trusts were formed for the purpose of issuing company-obligated mandatorily redeemable preferred securities to third-party investors and investing the proceeds from the sale of such preferred securities solely in junior subordinated debt securities of the Company. The debentures held by each trust are the sole assets of that trust. Distributions on the preferred securities issued by each trust are payable quarterly at a rate per annum equal to the interest rate being earned by the trust on the debentures held by that trust and are recorded as interest expense in the consolidated financial statements. The preferred securities are subject to mandatory redemption, in whole or in part, upon repayment of the debentures. The Company has entered into agreements which, taken collectively, fully and unconditionally guarantee the preferred securities subject to the terms of each of the guarantees. The terms of the preferred securities of each trust are as follows: | |||||||||
Issuance | Par | Interest | Maturity | Call | |||||
Trust | Date | Amount | Rate | Date | Price | ||||
III | 7/31/01 | $24.5 million | 3 month LIBOR plus 3.58% (3.82%) | 7/31/31 | Par | ||||
IV | 12/8/06 | $75 million | 3 month LIBOR plus 1.65% (1.89%) | 12/15/36 | Par | ||||
On December 8, 2006, the Company established Community Capital Trust IV, which completed the sale of $75 million of trust preferred securities. At the time of the offering, the Company also entered into an interest rate swap agreement to convert the variable rate trust preferred securities into fixed rate securities for a term of five years at a fixed rate of 6.43%. The interest rate swap agreement expired December 15, 2011. Additional interest expense of $3.2 million was recognized in the year ended December 31, 2011 due to the interest rate swap agreement and is included in interest on subordinated debt held by unconsolidated subsidiary trust in the Consolidated Statements of Income. | |||||||||
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INCOME TAXES [Abstract] | ' | ||||||||||||
INCOME TAXES | ' | ||||||||||||
NOTE I: INCOME TAXES | |||||||||||||
The provision for income taxes for the years ended December 31 is as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||
Current: | |||||||||||||
Federal | $ | 24,202 | $ | 18,875 | $ | 17,145 | |||||||
State and other | 866 | 830 | 375 | ||||||||||
Deferred: | |||||||||||||
Federal | 5,806 | 9,051 | 10,674 | ||||||||||
State and other | 1,324 | 2,981 | 2,191 | ||||||||||
Provision for income taxes | $ | 32,198 | $ | 31,737 | $ | 30,385 | |||||||
Components of the net deferred tax liability, included in other liabilities, as of December 31 are as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||
Allowance for loan losses | $ | 17,246 | $ | 16,755 | |||||||||
Employee benefits | 6,329 | 6,748 | |||||||||||
Investment securities | 4,882 | 0 | |||||||||||
Debt extinguishment | 1,215 | 1,517 | |||||||||||
Other | 1,799 | 2,292 | |||||||||||
Deferred tax asset | 31,471 | 27,312 | |||||||||||
Investment securities | 0 | 58,824 | |||||||||||
Intangible assets, net | 22,095 | 16,648 | |||||||||||
Loan origination costs | 6,883 | 6,069 | |||||||||||
Depreciation | 4,838 | 5,138 | |||||||||||
Mortgage servicing rights | 473 | 399 | |||||||||||
Pension | 21,735 | 5,481 | |||||||||||
Deferred tax liability | 56,024 | 92,559 | |||||||||||
Net deferred tax liability | $ | (24,553 | ) | $ | (65,247 | ) | |||||||
The Company has determined that no valuation allowance is necessary as it is more likely than not that the gross deferred tax assets will be realized through carryback of future deductions to taxable income in prior years, future reversals of existing temporary differences, and through future taxable income. | |||||||||||||
A reconciliation of the differences between the federal statutory income tax rate and the effective tax rate for the years ended December 31 is shown in the following table: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Federal statutory income tax rate | 35 | % | 35 | % | 35 | % | |||||||
Increase (reduction) in taxes resulting from: | |||||||||||||
Tax-exempt interest | (6.3 | ) | (7.1 | ) | (7.1 | ) | |||||||
State income taxes, net of federal benefit | 1.3 | 2.3 | 1.6 | ||||||||||
Other | (1.0 | ) | (1.0 | ) | (0.1 | ) | |||||||
Effective income tax rate | 29 | % | 29.2 | % | 29.4 | % | |||||||
A reconciliation of the unrecognized tax benefits for the years ended December 31 is shown in the following table: | |||||||||||||
(000’s omitted) | 2013 | 2012 | 2011 | ||||||||||
Unrecognized tax benefits at beginning of year | $ | 70 | $ | 133 | $ | 98 | |||||||
Changes related to: | |||||||||||||
Positions taken during the current year | 68 | 35 | 35 | ||||||||||
Settlements with taxing authorities | 0 | (98 | ) | 0 | |||||||||
Lapse of statutes of limitation | 0 | 0 | 0 | ||||||||||
Unrecognized tax benefits at end of year | $ | 138 | $ | 70 | $ | 133 | |||||||
As of December 31, 2013, the total amount of unrecognized tax benefits that would impact the Company’s effective tax rate if recognized is $0.1 million. It is reasonably possible that the amount of unrecognized tax benefits could change in the next twelve months as a result of various examinations and expiration of statutes of limitations on prior tax returns. | |||||||||||||
The Company’s policy is to recognize interest and penalties related to unrecognized tax benefits as part of income taxes in the consolidated statement of income. The accrued interest related to tax positions was immaterial. | |||||||||||||
The Company’s federal and state income tax returns are routinely subject to examination from various governmental taxing authorities. Such examinations may result in challenges to the tax return treatment applied by the Company to specific transactions. Management believes that the assumptions and judgment used to record tax-related assets or liabilities have been appropriate. Future examinations by taxing authorities of the Company’s federal or state tax returns could have a material impact on the Company’s results of operations. The Company’s federal income tax returns for years after 2009 may still be examined by the Internal Revenue Service. New York State income tax returns for years after 2010 may still be examined by the New York Department of Taxation and Finance. It is not possible to estimate when those examinations may be completed. |
LIMITS_ON_DIVIDENDS_AND_OTHER_
LIMITS ON DIVIDENDS AND OTHER REVENUE SOURCES | 12 Months Ended |
Dec. 31, 2013 | |
LIMITS ON DIVIDENDS AND OTHER REVENUE SOURCES [Abstract] | ' |
LIMITS ON DIVIDENDS AND OTHER REVENUE SOURCES | ' |
NOTE J: LIMITS ON DIVIDENDS AND OTHER REVENUE SOURCES | |
The Company’s ability to pay dividends to its shareholders is largely dependent on the Bank’s ability to pay dividends to the Company. In addition to state law requirements and the capital requirements discussed below, the circumstances under which the Bank may pay dividends are limited by federal statutes, regulations, and policies. For example, as a national bank, the Bank must obtain the approval of the Office of the Comptroller of the Currency (“OCC”) for payments of dividends if the total of all dividends declared in any calendar year would exceed the total of the Bank’s net profits, as defined by applicable regulations, for that year, combined with its retained net profits for the preceding two years. Furthermore, the Bank may not pay a dividend in an amount greater than its undivided profits then on hand after deducting its losses and bad debts, as defined by applicable regulations. At December 31, 2013, the Bank had approximately $114 million in undivided profits legally available for the payment of dividends. | |
In addition, the Federal Reserve Board and the OCC are authorized to determine under certain circumstances that the payment of dividends would be an unsafe or unsound practice and to prohibit payment of such dividends. The Federal Reserve Board has indicated that banking organizations should generally pay dividends only out of current operating earnings. | |
There are also statutory limits on the transfer of funds to the Company by its banking subsidiary, whether in the form of loans or other extensions of credit, investments or assets purchases. Such transfer by the Bank to the Company generally is limited in amount to 10% of the Bank’s capital and surplus, or 20% in the aggregate. Furthermore, such loans and extensions of credit are required to be collateralized in specific amounts. |
BENEFIT_PLANS
BENEFIT PLANS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
BENEFIT PLANS [Abstract] | ' | ||||||||||||||||||||||||
BENEFIT PLANS | ' | ||||||||||||||||||||||||
NOTE K: BENEFIT PLANS | |||||||||||||||||||||||||
Pension and post-retirement plans | |||||||||||||||||||||||||
The Company provides a qualified defined benefit pension to qualified employees and retirees, and other post-retirement health and life insurance benefits to certain retirees, an unfunded supplemental pension plan for certain key executives, and an unfunded stock balance plan for certain of its nonemployee directors. Using a measurement date of December 31, the following table shows the funded status of the Company's plans reconciled with amounts reported in the Company's consolidated statements of condition: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||
Benefit obligation at the beginning of year | $ | 123,739 | $ | 112,857 | $ | 3,051 | $ | 3,352 | |||||||||||||||||
Service cost | 3,988 | 3,392 | 0 | 0 | |||||||||||||||||||||
Interest cost | 4,120 | 4,393 | 88 | 114 | |||||||||||||||||||||
Participant contributions | 0 | 608 | 502 | ||||||||||||||||||||||
Deferred actuarial loss (gain) | (14,610 | ) | 9,352 | (301 | ) | (72 | ) | ||||||||||||||||||
Benefits paid | (6,063 | ) | (6,255 | ) | (1,106 | ) | (845 | ) | |||||||||||||||||
Benefit obligation at end of year | 111,174 | 123,739 | 2,340 | 3,051 | |||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | 143,661 | 126,309 | 0 | 0 | |||||||||||||||||||||
Actual return of plan assets | 25,196 | 10,992 | 0 | 0 | |||||||||||||||||||||
Participant contributions | 0 | 0 | 608 | 502 | |||||||||||||||||||||
Employer contributions | 10,622 | 12,615 | 498 | 343 | |||||||||||||||||||||
Benefits paid | (6,063 | ) | (6,255 | ) | (1,106 | ) | (845 | ) | |||||||||||||||||
Fair value of plan assets at end of year | 173,416 | 143,661 | 0 | 0 | |||||||||||||||||||||
Over/(Under) funded status at year end | $ | 62,242 | $ | 19,922 | $ | (2,340 | ) | $ | (3,051 | ) | |||||||||||||||
Amounts recognized in the consolidated balance sheet were: | |||||||||||||||||||||||||
Other assets | $ | 73,790 | $ | 32,135 | $ | 0 | $ | 0 | |||||||||||||||||
Other liabilities | (11,548 | ) | (12,213 | ) | (2,340 | ) | (3,051 | ) | |||||||||||||||||
Amounts recognized in accumulated other comprehensive income (loss) (“AOCI”) were: | |||||||||||||||||||||||||
Net loss (gain) | $ | 12,905 | $ | 47,321 | $ | (25 | ) | $ | 288 | ||||||||||||||||
Net prior service cost (credit) | 797 | 141 | (2,338 | ) | (2,517 | ) | |||||||||||||||||||
Pre-tax AOCI | 13,702 | 47,462 | (2,363 | ) | (2,229 | ) | |||||||||||||||||||
Taxes | (5,095 | ) | (18,296 | ) | 901 | 848 | |||||||||||||||||||
AOCI at year end | $ | 8,607 | $ | 29,166 | $ | (1,462 | ) | $ | (1,381 | ) | |||||||||||||||
The benefit obligation for the defined benefit pension plan was $99.6 million and $111.5 million as of December 31, 2013 and 2012, respectively, and the fair value of plan assets as of December 31, 2013 and 2012 was $173.4 million and $143.7 million, respectively. | |||||||||||||||||||||||||
The Company has unfunded supplemental pension plans for certain key active and retired executives. The projected benefit obligation for the unfunded supplemental pension plan for certain key executives was $11.4 million for 2013 and $12.0 million for 2012, respectively. The Company also has an unfunded stock balance plan for certain of its nonemployee directors. The projected benefit obligation for the unfunded stock balance plan was $0.1 million for 2013 and $0.2 million for 2012, respectively. The plan was frozen effective December 31, 2009. | |||||||||||||||||||||||||
Effective December 31, 2009, the Company terminated its post-retirement medical program for current and future employees. Remaining plan participants will include only existing retirees as of December 31, 2010. This change was accounted for as a negative plan amendment and a $3.5 million, net of income taxes, benefit for prior service was recognized in AOCI in 2009. This negative plan amendment is being amortized over the expected benefit utilization period of remaining plan participants. | |||||||||||||||||||||||||
Amounts recognized in accumulated other comprehensive income, net of tax, for the year ended December 31, are as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Prior service cost | $ | (46 | ) | $ | 90 | $ | 109 | $ | 503 | ||||||||||||||||
Net (gain) loss | (20,513 | ) | 2,368 | (190 | ) | (51 | ) | ||||||||||||||||||
Total | $ | (20,559 | ) | $ | 2,458 | $ | (81 | ) | $ | 452 | |||||||||||||||
The estimated costs, net of tax, that will be amortized from accumulated other comprehensive (income) loss into net periodic (income) cost over the next fiscal year are as follows: | |||||||||||||||||||||||||
Pension | Post-retirement | ||||||||||||||||||||||||
(000's omitted) | Benefits | Benefits | |||||||||||||||||||||||
Prior service credit | $ | 5 | $ | (179 | ) | ||||||||||||||||||||
Net loss | (308 | ) | 1 | ||||||||||||||||||||||
Total | $ | (303 | ) | $ | (178 | ) | |||||||||||||||||||
The weighted-average assumptions used to determine the benefit obligations as of December 31 are as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||
Discount rate | 5 | % | 3.4 | % | 4.8 | % | 3.2 | % | |||||||||||||||||
Expected return on plan assets | 7 | % | 7 | % | N/ | A | N/ | A | |||||||||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | N/ | A | N/ | A | |||||||||||||||||
The net periodic benefit cost as of December 31 is as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 3,988 | $ | 3,392 | $ | 2,959 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||
Interest cost | 4,120 | 4,393 | 4,497 | 88 | 114 | 153 | |||||||||||||||||||
Expected return on plan assets | (10,149 | ) | (9,196 | ) | (8,097 | ) | 0 | 0 | 0 | ||||||||||||||||
Amortization of unrecognized net loss | 4,028 | 3,687 | 2,362 | 12 | 11 | 8 | |||||||||||||||||||
Amortization of prior service cost | 75 | (147 | ) | (149 | ) | (179 | ) | (822 | ) | (1,057 | ) | ||||||||||||||
Net periodic benefit cost | $ | 2,062 | $ | 2,129 | $ | 1,572 | $ | (79 | ) | $ | (697 | ) | $ | (896 | ) | ||||||||||
Prior service costs in which all or almost all of the plan’s participants are fully eligible for benefits under the plan are amortized on a straight-line basis over the expected future working years of all active plan participants. Unrecognized gains or losses are amortized using the “corridor approach”, which is the minimum amortization required. Under the corridor approach, the net gain or loss in excess of 10 percent of the greater of the projected benefit obligation or the market-related value of the assets is amortized on a straight-line basis over the expected future working years of all active plan participants. | |||||||||||||||||||||||||
The weighted-average assumptions used to determine the net periodic pension cost for the years ended December 31 are as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||
Discount rate | 3.4 | % | 4.1 | % | 4.4 | % | 3.2 | % | 3.9 | % | 4.5 | % | |||||||||||||
Expected return on plan assets | 7 | % | 7.5 | % | 7.5 | % | N/ | A | N/ | A | N/ | A | |||||||||||||
Rate of compensation increase | 3.5 | % | 4 | % | 4 | % | N/ | A | N/ | A | N/ | A | |||||||||||||
The amount of benefit payments that are expected to be paid over the next ten years are as follows: | |||||||||||||||||||||||||
Pension | Post-retirement | ||||||||||||||||||||||||
(000's omitted) | Benefits | Benefits | |||||||||||||||||||||||
2014 | $ | 6,021 | $ | 230 | |||||||||||||||||||||
2015 | 7,396 | 220 | |||||||||||||||||||||||
2016 | 7,882 | 196 | |||||||||||||||||||||||
2017 | 8,110 | 194 | |||||||||||||||||||||||
2018 | 8,132 | 192 | |||||||||||||||||||||||
2019-2023 | 48,507 | 811 | |||||||||||||||||||||||
The payments reflect future service and are based on various assumptions including retirement age and form of payment (lump-sum versus annuity). Actual results may differ from these estimates. | |||||||||||||||||||||||||
The assumed discount rate is used to reflect the time value of future benefit obligations. The discount rate was determined based upon the yield on high-quality fixed income investments expected to be available during the period to maturity of the pension benefits. This rate is sensitive to changes in interest rates. A decrease in the discount rate would increase the Company’s obligation and future expense while an increase would have the opposite effect. The expected long-term rate of return was estimated by taking into consideration asset allocation, reviewing historical returns on the type of assets held and current economic factors. The appropriateness of the assumptions is reviewed annually. | |||||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
The investment objective for the defined benefit pension plan is to achieve an average annual total return over a five-year period equal to the assumed rate of return used in the actuarial calculations. At a minimum performance level, the portfolio should earn the return obtainable on high quality intermediate-term bonds. The Company’s perspective regarding portfolio assets combines both preservation of capital and moderate risk-taking. Asset allocation favors equities, with a target allocation of approximately 60% equity securities and 40% fixed income securities. In order to diversify the risk within the pension portfolio, the pension committee authorized that up to 15% of the assets may be in alternative investments, which are primarily hedge funds. No more than 10% of the portfolio can be in stock of the Company. Due to the volatility in the market, the target allocation is not always desirable and asset allocations will fluctuate between acceptable ranges. Prohibited transactions include purchase of securities on margin, uncovered call options, and short sale transactions. | |||||||||||||||||||||||||
The fair values of the Company’s defined benefit pension plan assets at December 31, 2013 by asset category are as follows: | |||||||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||||||
in Active | Observable | Unobservable | |||||||||||||||||||||||
Markets for | Inputs | Inputs | |||||||||||||||||||||||
Asset category (000’s omitted) | Identical | Level 2 | Level 3 | ||||||||||||||||||||||
Assets Level 1 | |||||||||||||||||||||||||
Money Market Accounts | $ | 709 | $ | 10,231 | $ | 0 | $ | 10,940 | |||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
U.S. large-cap | 50,513 | 0 | 0 | 50,513 | |||||||||||||||||||||
U.S mid/small cap | 19,308 | 0 | 0 | 19,308 | |||||||||||||||||||||
CBSI stock | 9,913 | 0 | 0 | 9,913 | |||||||||||||||||||||
International | 33,485 | 0 | 0 | 33,485 | |||||||||||||||||||||
113,219 | 0 | 0 | 113,219 | ||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||||
Government securities | 7,676 | 6,814 | 0 | 14,490 | |||||||||||||||||||||
Investment grade bonds | 17,400 | 0 | 0 | 17,400 | |||||||||||||||||||||
International bonds | 2,712 | 0 | 0 | 2,712 | |||||||||||||||||||||
High yield(b) | 14,243 | 0 | 0 | 14,243 | |||||||||||||||||||||
42,031 | 6,814 | 0 | 48,845 | ||||||||||||||||||||||
Other types of investments: | |||||||||||||||||||||||||
Alternative investments (c) | 0 | 77 | 0 | 77 | |||||||||||||||||||||
Total (d) | $ | 155,959 | $ | 17,122 | $ | 0 | $ | 173,081 | |||||||||||||||||
The fair values of the Company’s defined benefit pension plan assets at December 31, 2012 by asset category are as follows: | |||||||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||||||
in Active | Observable | Unobservable | |||||||||||||||||||||||
Markets for | Inputs | Inputs | |||||||||||||||||||||||
Asset category (000’s omitted) | Identical | Level 2 | Level 3 | ||||||||||||||||||||||
Assets Level 1 | |||||||||||||||||||||||||
Money Market Accounts | $ | 410 | $ | 19,977 | $ | 0 | $ | 20,387 | |||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
U.S. large-cap | 40,547 | 0 | 0 | 40,547 | |||||||||||||||||||||
U.S mid/small cap | 10,311 | 0 | 0 | 10,311 | |||||||||||||||||||||
CBSI stock | 11,486 | 0 | 0 | 11,486 | |||||||||||||||||||||
International | 22,428 | 0 | 0 | 22,428 | |||||||||||||||||||||
Commodities (a) | 2,735 | 0 | 0 | 2,735 | |||||||||||||||||||||
87,507 | 0 | 0 | 87,507 | ||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||||
Government securities | 5,383 | 8,269 | 0 | 13,652 | |||||||||||||||||||||
Investment grade bonds | 10,517 | 0 | 0 | 10,517 | |||||||||||||||||||||
High yield(b) | 11,516 | 0 | 0 | 11,516 | |||||||||||||||||||||
27,416 | 8,269 | 0 | 35,685 | ||||||||||||||||||||||
Other types of investments: | |||||||||||||||||||||||||
Alternative investments (c) | 0 | 82 | 0 | 82 | |||||||||||||||||||||
Total (d) | $ | 115,333 | $ | 28,328 | $ | 0 | $ | 143,661 | |||||||||||||||||
(a) | This category includes investments in exchange-traded funds reflecting the performance of an underlying commodity index. | ||||||||||||||||||||||||
(b) | This category is exchange-traded funds representing a diversified index of high yield corporate bonds. | ||||||||||||||||||||||||
(c) This category is comprised of non-traditional investment classes including private equity funds and alternative exchange funds. | |||||||||||||||||||||||||
(d) | Excludes dividends and interest receivable totaling $335,000 and $352,000 at December 31, 2013 and 2012, respectively. | ||||||||||||||||||||||||
The Company makes contributions to its funded qualified pension plan as required by government regulation or as deemed appropriate by management after considering the fair value of plan assets, expected return on such assets, and the value of the accumulated benefit obligation. The Company made a contribution to its defined benefit pension plan of $10 million during the third quarter of 2013. The Company funds the payment of benefit obligations for the supplemental pension and post-retirement plans because such plans do not hold assets for investment. | |||||||||||||||||||||||||
Tupper Lake National Bank (“TLNB”), acquired in 2007, participated in the Pentegra Defined Benefit Plan for Financial Institutions (“Pentegra DB Plan”), a multi-employer tax qualified defined benefit pension plan. The identification number and plan number of the Pentegra DB Plan are 13-5645888 and 333, respectively. All employees of TLNB who met minimum service requirements participated in the plan. As of June 30, 2012, the Pentegra DB Plan had total assets of $2.8 billion, actuarial present value of accumulated benefits of $3.0 billion and was at least 80 percent funded. The assets of the multi-employer plan may be used to satisfy obligations of any of the employers participating in the plan. As a result, contributions made by the Company may be used to provide benefits to participants of other participating employers. Contributions for 2013, 2012 and 2011 were $22,000, $53,000 and $131,000, respectively. Contributions made by the Company to the Pentegra DB Plan do not represent more than 5% of contributions made to the Pentegra DB Plan. | |||||||||||||||||||||||||
The assumed health care cost trend rate used in the post-retirement health plan at December 31, 2013 was 7.50% for the pre-65 participants and 5.80% for the post-65 participants for medical costs and 6.25% for prescription drugs. The rate to which the cost trend rate is assumed to decline (the ultimate trend rate) and the year that the rate reaches the ultimate trend rate is 5.0% and 2021, respectively. | |||||||||||||||||||||||||
Assumed health care cost trend rates impact the amounts reported for the health care plan. A one-percentage-point increase in the trend rate would increase the service and interest cost components by $200 and increase the benefit obligation by $5,000. A one-percentage-point decrease in the trend rate would decrease the service and interest cost components by $200 and decrease the benefit obligation by $6,000. | |||||||||||||||||||||||||
401(k) Employee Stock Ownership Plan | |||||||||||||||||||||||||
The Company has a 401(k) Employee Stock Ownership Plan in which employees can contribute from 1% to 90% of eligible compensation, with the first 3% being eligible for a 100% matching contribution in the form of Company common stock and the next 3% being eligible for a 50% matching contributions in the form of Company common stock. The expense recognized under this plan for the years ended December 31, 2013, 2012 and 2011 was $3,215,000, $2,956,000, and $2,752,000, respectively. Effective January 1, 2010 the defined benefit pension plan was modified to a new plan design that includes an interest credit contribution to be made to the 401(k) plan. The expense recognized for this interest credit contribution for the years ended December 31, 2013, 2012 and 2011 was $650,000, $419,000 and $203,000, respectively. | |||||||||||||||||||||||||
Other Deferred Compensation Arrangements | |||||||||||||||||||||||||
In addition to the supplemental pension plans for certain executives, the Company has nonqualified deferred compensation arrangements for several former directors, officers and key employees. All benefits provided under these plans are unfunded and payments to plan participants are made by the Company. At December 31, 2013 and 2012, the Company has recorded a liability of $4,238,000 and $4,729,000, respectively. The (income)/expense recognized under these plans for the years ended December 31, 2013, 2012, and 2011 was ($52,000), $439,000, and $584,000, respectively. | |||||||||||||||||||||||||
Deferred Compensation Plan for Directors | |||||||||||||||||||||||||
Directors may defer all or a portion of their director fees under the Deferred Compensation Plan for Directors. Under this plan, there is a separate account for each participating director which is credited with the amount of shares that could have been purchased with the director’s fees as well as any dividends on such shares. On the distribution date, the director will receive common stock equal to the accumulated share balance in his account. As of December 31, 2013 and 2012, there were 153,396 and 146,298 shares credited to the participants’ accounts, for which a liability of $3,424,000 and $3,117,000 was accrued, respectively. The expense recognized under the plan for the years ended December 31, 2013, 2012 and 2011, was $162,000, $148,000, and $125,000, respectively. |
STOCKBASED_COMPENSATION_PLANS
STOCK-BASED COMPENSATION PLANS | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||
STOCK-BASED COMPENSATION PLANS [Abstract] | ' | ||||||||||||||||||||||
STOCK-BASED COMPENSATION PLANS | ' | ||||||||||||||||||||||
NOTE L: STOCK-BASED COMPENSATION PLANS | |||||||||||||||||||||||
The Company has a long-term incentive program for directors, officers and employees. Under this program, the Company initially authorized 4,000,000 shares of Company common stock for the grant of incentive stock options, nonqualified stock options, restricted stock awards, and retroactive stock appreciation rights. The long-term incentive program was amended effective May 25, 2011 to authorize an additional 900,000 shares of Company common stock for the grant of incentive stock options, nonqualified stock options, restricted stock awards, and retroactive stock appreciation rights. As of December 31, 2013, the Company has authorization to grant up to 1,008,234 additional shares of Company common stock for these instruments. The nonqualified (offset) stock options in its Director’s Stock Balance Plan vest and become exercisable immediately and expire one year after the date the director retires or two years in the event of death. The remaining options have a ten-year term, and vest and become exercisable on a grant-by-grant basis, ranging from immediate vesting to ratably over a five-year period. | |||||||||||||||||||||||
Activity in this long-term incentive program is as follows: | |||||||||||||||||||||||
Stock Options | |||||||||||||||||||||||
Weighted-average | |||||||||||||||||||||||
Exercise Price of | |||||||||||||||||||||||
Outstanding | Shares | ||||||||||||||||||||||
Outstanding at December 31, 2011 | 2,947,215 | $ | 21.43 | ||||||||||||||||||||
Granted | 356,765 | 28.78 | |||||||||||||||||||||
Exercised | (526,141 | ) | 18.91 | ||||||||||||||||||||
Forfeited | (17,116 | ) | 21.47 | ||||||||||||||||||||
Outstanding at December 31, 2012 | 2,760,723 | 22.86 | |||||||||||||||||||||
Granted | 369,589 | 29.79 | |||||||||||||||||||||
Exercised | (840,556 | ) | 22.7 | ||||||||||||||||||||
Forfeited | (14,865 | ) | 24.45 | ||||||||||||||||||||
Outstanding at December 31, 2013 | 2,274,891 | 24.03 | |||||||||||||||||||||
Exercisable at December 31, 2013 | 1,478,489 | $ | 22.4 | ||||||||||||||||||||
The following table summarizes the information about stock options outstanding under the Company’s stock option plan at December 31, 2013: | |||||||||||||||||||||||
Options outstanding | Options exercisable | ||||||||||||||||||||||
Range of Exercise Price | Shares | Weighted | Weighted- | Shares | Weighted | ||||||||||||||||||
-average | average | -average | |||||||||||||||||||||
Exercise | Remaining | Exercise | |||||||||||||||||||||
Price | Life (years) | Price | |||||||||||||||||||||
$0.00 – $18.00 | 176,801 | $ | 17.59 | 5.14 | 176,801 | $ | 17.59 | ||||||||||||||||
$18.001 – $23.00 | 742,163 | 19.59 | 4.74 | 588,118 | 19.75 | ||||||||||||||||||
$23.001 – $28.00 | 667,072 | 25.22 | 4.14 | 546,370 | 24.75 | ||||||||||||||||||
$28.001 – $29.00 | 327,464 | 28.78 | 8.22 | 107,915 | 28.78 | ||||||||||||||||||
$29.001 – $30.00 | 361,391 | 29.79 | 9.21 | 59,285 | 29.79 | ||||||||||||||||||
TOTAL | 2,274,891 | $ | 24.03 | 5.81 | 1,478,489 | $ | 22.4 | ||||||||||||||||
The weighted-average remaining contractual term of outstanding and exercisable stock options at December 31, 2013 is 5.8 years and 4.7 years, respectively. The aggregate intrinsic value of outstanding and exercisable stock options at December 31, 2013 is $35.6 million and $25.5 million, respectively. | |||||||||||||||||||||||
The Company recognized stock-based compensation expense related to incentive and non-qualified stock options of $2.0 million, $1.8 million and $1.8 million for the years ended December 31, 2013, 2012 and 2011, respectively. A related income tax benefit was recognized of $1.1 million, $0.8 million and $0.8 million for the 2013, 2012 and 2011 years, respectively. Compensation expense related to restricted stock vesting recognized in the income statement for 2013, 2012 and 2011 was approximately $2.0 million, $1.8 million and $2.0 million, respectively. | |||||||||||||||||||||||
Management estimated the fair value of options granted using the Black-Scholes option-pricing model. This model was originally developed to estimate the fair value of exchange-traded equity options, which (unlike employee stock options) have no vesting period or transferability restrictions. As a result, the Black-Scholes model is not necessarily a precise indicator of the value of an option, but it is commonly used for this purpose. The Black-Scholes model requires several assumptions, which management developed based on historical trends and current market observations. | |||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||
Weighted-average Fair Value of Options Granted | $ | 6.24 | $ | 6.4 | $ | 6.69 | |||||||||||||||||
Assumptions: | |||||||||||||||||||||||
Weighted-average expected life (in years) | 7.23 | 7.4 | 7.72 | ||||||||||||||||||||
Future dividend yield | 3.9 | % | 3.9 | % | 3.9 | % | |||||||||||||||||
Share price volatility | 31.21 | % | 31.79 | % | 32.12 | % | |||||||||||||||||
Weighted-average risk-free interest rate | 1.91 | % | 2.34 | % | 3.34 | % | |||||||||||||||||
Unrecognized stock-based compensation expense related to non-vested stock options totaled $3.5 million at December 31, 2013, which will be recognized as expense over the next five years. The weighted-average period over which this unrecognized expense would be recognized is 2.9 years. The total fair value of stock options vested during 2013, 2012, and 2011 were $2.0 million, $1.7 million and $1.8 million, respectively. | |||||||||||||||||||||||
During the 12 months ended December 31, 2013 and 2012, proceeds from stock option exercises totaled $16.0 million and $9.6 million, respectively, and the related tax benefits from exercise were approximately $1.6 million and $1.1 million, respectively. During the twelve months ended December 31, 2013 and 2012, 680,705 and 479,353 shares, respectively, were issued in connection with stock option exercises. The total intrinsic value of options exercised during 2013, 2012 and 2011 were $7.9 million, $4.9 million and $2.3 million, respectively. | |||||||||||||||||||||||
A summary of the status of the Company’s unvested restricted stock awards as of December 31, 2013, and changes during the twelve months ended December 31, 2013 and 2012, is presented below: | |||||||||||||||||||||||
Restricted | Weighted-average | ||||||||||||||||||||||
Shares | grant date fair value | ||||||||||||||||||||||
Unvested at December 31, 2011 | 269,641 | $ | 20.12 | ||||||||||||||||||||
Awards | 64,705 | 28.77 | |||||||||||||||||||||
Forfeitures | (2,743 | ) | 23.19 | ||||||||||||||||||||
Vestings | (139,520 | ) | 18.76 | ||||||||||||||||||||
Unvested at December 31, 2012 | 192,083 | 23.98 | |||||||||||||||||||||
Awards | 142,353 | 22.13 | |||||||||||||||||||||
Forfeitures | (2,896 | ) | 25.34 | ||||||||||||||||||||
Vestings | (70,575 | ) | 22.28 | ||||||||||||||||||||
Unvested at December 31, 2013 | 260,965 | $ | 23.42 |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
EARNINGS PER SHARE [Abstract] | ' | ||||||||||||
EARNINGS PER SHARE | ' | ||||||||||||
NOTE M: EARNINGS PER SHARE | |||||||||||||
Basic earnings per share are computed based on the weighted-average of the common shares outstanding for the period. Diluted earnings per share are based on the weighted-average of the shares outstanding adjusted for the dilutive effect of restricted stock and the assumed exercise of stock options during the year. The dilutive effect of options is calculated using the treasury stock method of accounting. The treasury stock method determines the number of common shares that would be outstanding if all the dilutive options (those where the average market price is greater than the exercise price) were exercised and the proceeds were used to repurchase common shares in the open market at the average market price for the applicable time period. There were approximately 0.3 million, 0.5 million and 0.6 million weighted-average anti-dilutive stock options outstanding at December 31, 2013, 2012 and 2011, respectively, which were not included in the computation below. | |||||||||||||
The following is a reconciliation of basic to diluted earnings per share for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||
(000's omitted, except per share data) | 2013 | 2012 | 2011 | ||||||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Income attributable to unvested stock-based compensation awards | (433 | ) | (499 | ) | (553 | ) | |||||||
Income available to common shareholders | $ | 78,396 | $ | 76,569 | $ | 72,589 | |||||||
Weighted-average common shares outstanding - basic | 40,000 | 39,192 | 35,767 | ||||||||||
Basic earnings per share | $ | 1.96 | $ | 1.95 | $ | 2.03 | |||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Income attributable to unvested stock-based compensation awards | (433 | ) | (499 | ) | (553 | ) | |||||||
Income available to common shareholders | $ | 78,396 | $ | 76,569 | $ | 72,589 | |||||||
Weighted-average common shares outstanding | 40,000 | 39,192 | 35,767 | ||||||||||
Assumed exercise of stock options | 504 | 479 | 415 | ||||||||||
Weighted-average common shares outstanding – diluted | 40,504 | 39,671 | 36,182 | ||||||||||
Diluted earnings per share | $ | 1.94 | $ | 1.93 | $ | 2.01 | |||||||
Cash dividends declared per share | $ | 1.1 | $ | 1.06 | $ | 1 | |||||||
In late January 2012, the Company completed a public common stock offering and raised $57.5 million through the issuance of 2.13 million shares of the Company’s common stock. The net proceeds of the offering were approximately $54.9 million. The Company used the capital raised in this offering to support the HSBC and First Niagara branch acquisitions. In April 2011, the Company issued 3.35 million additional shares of the Company’s common stock in conjunction with the Wilber acquisition. | |||||||||||||
Stock Repurchase Program | |||||||||||||
On July 22, 2009, the Company announced an authorization to repurchase up to 1,000,000 of its outstanding shares in open market transactions or privately negotiated transactions in accordance with securities laws and regulations through December 31, 2011. At its December 2011 meeting, the Board approved extending the stock repurchase program authorizing the repurchase, at the discretion of senior management, of up to 1,500,000 shares through December 31, 2012. At its December 2012 meeting, the Board approved a new repurchase program authorizing the repurchase of up to 2,000,000 shares of the Company’s common stock, in accordance with securities laws and regulations, through December 31, 2013. There were no treasury stock purchases in 2013, 2012 or 2011. At its December 2013 meeting, the Board approved a new repurchase program authorizing the repurchase of up to 2,000,000 shares of the Company’s common stock, in accordance with securities laws and regulations, through December 31, 2014. Any repurchased shares will be used for general corporate purposes, including those related to stock plan activities. The timing and extent of repurchases will depend on market conditions and other corporate considerations as determined at the Company’s discretion. |
COMMITMENTS_CONTINGENT_LIABILI
COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS [Abstract] | ' | ||||||||
COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS | ' | ||||||||
NOTE N: COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS | |||||||||
The Company is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments consist primarily of commitments to extend credit and standby letters of credit. Commitments to extend credit are agreements to lend to customers, generally having fixed expiration dates or other termination clauses that may require payment of a fee. These commitments consist principally of unused commercial and consumer credit lines. Standby letters of credit generally are contingent upon the failure of the customer to perform according to the terms of an underlying contract with a third party. The credit risks associated with commitments to extend credit and standby letters of credit are essentially the same as that involved with extending loans to customers and are subject to the Company’s normal credit policies. Collateral may be obtained based on management’s assessment of the customer’s creditworthiness. The fair value of the standby letters of credit is immaterial for disclosure. | |||||||||
The contract amount of commitments and contingencies is as follows at December 31: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
Commitments to extend credit | $ | 704,904 | $ | 750,178 | |||||
Standby letters of credit | 24,449 | 24,168 | |||||||
Total | $ | 729,353 | $ | 774,346 | |||||
The Company has unused lines of credit of $65.0 million at December 31, 2013. The Company has unused borrowing capacity of approximately $1.2 billion through collateralized transactions with the FHLB and $10.1 million through collateralized transactions with the Federal Reserve Bank. | |||||||||
The Company is required to maintain a reserve balance, as established by the Federal Reserve Bank of New York. The required average total reserve for the 14-day maintenance period of December 26, 2013 through January 8, 2014 was $52.8 million, none of which was required to be on deposit with the Federal Reserve Bank of New York as the entire balance was represented by cash on hand. | |||||||||
The Company and its subsidiaries are subject in the normal course of business to various pending and threatened legal proceedings in which claims for monetary damages are asserted. As of December 31, 2013, management, after consultation with legal counsel, does not anticipate that the aggregate ultimate liability arising out of litigation pending or threatened against the Company or its subsidiaries will be material to the Company’s consolidated financial position. On at least a quarterly basis the Company assesses its liabilities and contingencies in connection with such legal proceedings. For those matters where it is probable that the Company will incur losses and the amounts of the losses can be reasonably estimated, the Company records an expense and corresponding liability in its consolidated financial statements. To the extent the pending or threatened litigation could result in exposure in excess of that liability, the amount of such excess is not currently estimable. Although not considered probable, the range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, is between $0 and $5million. Although the Company does not believe that the outcome of pending litigation will be material to the Company’s consolidated financial position, it cannot rule out the possibility that such outcomes will be material to the consolidated results of operations for a particular reporting period in the future. | |||||||||
The Bank was named a defendant in an action commenced October 30, 2013 which is pending in the United States District Court for the Middle District of Pennsylvania. The plaintiff alleges that the notices provided to her in connection with the repossession of her automobile failed to comply with certain requirements of Pennsylvania’s Uniform Commercial Code (UCC). Plaintiff seeks to pursue the action as a class action on behalf of herself and other similarly situated plaintiffs who had their automobiles repossessed and seeks to recover statutory damages under the UCC. The Bank has filed a motion to dismiss the action on the basis of mootness and contests the allegation that the repossession notices were deficient. The Bank also maintains that the case should not proceed as a class action and will oppose class certification. At this early stage in the litigation it is difficult to estimate when the action will be resolved. As set forth in the preceding paragraph, all current litigation matters, including this action, are within a range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, and are included in the range of reasonably possible losses set forth above. |
LEASES
LEASES | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
LEASES [Abstract] | ' | ||||
LEASES | ' | ||||
NOTE O: LEASES | |||||
The Company leases buildings, office space, and equipment under agreements that expire in various years. Rental expense included in operating expenses amounted to $5.1 million, $4.9 million and $4.2 million in 2013, 2012 and 2011, respectively. The future minimum rental commitments as of December 31, 2013 for all non-cancelable operating leases are as follows: | |||||
2014 | $ | 5,342 | |||
2015 | 4,662 | ||||
2016 | 4,442 | ||||
2017 | 3,780 | ||||
2018 | 3,161 | ||||
Thereafter | 5,138 | ||||
Total | $ | 26,525 |
REGULATORY_MATTERS
REGULATORY MATTERS | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
REGULATORY MATTERS [Abstract] | ' | ||||||||||||||||
REGULATORY MATTERS | ' | ||||||||||||||||
NOTE P: REGULATORY MATTERS | |||||||||||||||||
The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the Company’s and the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Company’s and the Bank's capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. | |||||||||||||||||
Quantitative measures established by regulation to ensure capital adequacy require the Company and Bank to maintain minimum total core capital to risk-weighted assets of 8%, and Tier I capital to risk-weighted assets and Tier I capital to average assets of 4%. Management believes, as of December 31, 2013, that the Company and Bank meet all capital adequacy requirements to which they are subject. | |||||||||||||||||
As of December 31, 2013, the most recent notification from the Office of the Comptroller of the Currency (“OCC”) categorized the Company and Bank as “well capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well capitalized,” the Company and Bank must maintain minimum total core capital to risk-weighted assets of 10%, Tier I capital to risk-weighted assets of 6% and Tier I capital to average assets of 5%. There are no conditions or events since that notification that management believes have changed the institution’s category. Except in connection with the regulatory approval of the Citizens branch acquisition in November 2008 by the OCC, there were no significant capital requirements imposed or agreed to during the regulatory approval process of any of our acquisitions. In connection with the Citizens acquisition, the Bank agreed to an approval condition to maintain capital at the “well-capitalized” level. | |||||||||||||||||
The capital ratios and amounts of the Company and the Bank as of December 31 are presented below: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
(000's omitted) | Company | Bank | Company | Bank | |||||||||||||
Tier 1 capital to average assets | |||||||||||||||||
Amount | $ | 643,286 | $ | 547,464 | $ | 588,220 | $ | 530,753 | |||||||||
Ratio | 9.29 | % | 7.93 | % | 8.4 | % | 7.6 | % | |||||||||
Minimum required amount | $ | 276,918 | $ | 276,226 | $ | 280,151 | $ | 279,524 | |||||||||
Tier 1 capital to risk-weighted assets | |||||||||||||||||
Amount | $ | 643,286 | $ | 547,464 | $ | 588,220 | $ | 530,753 | |||||||||
Ratio | 16.42 | % | 14.03 | % | 15.09 | % | 13.66 | % | |||||||||
Minimum required amount | $ | 156,661 | $ | 156,083 | $ | 155,904 | $ | 155,392 | |||||||||
Total core capital to risk-weighted assets | |||||||||||||||||
Amount | $ | 687,946 | $ | 592,124 | $ | 631,409 | $ | 573,942 | |||||||||
Ratio | 17.57 | % | 15.17 | % | 16.2 | % | 14.77 | % | |||||||||
Minimum required amount | $ | 313,322 | $ | 312,166 | $ | 311,808 | $ | 310,784 |
PARENT_COMPANY_STATEMENTS
PARENT COMPANY STATEMENTS | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
PARENT COMPANY STATEMENTS [Abstract] | ' | ||||||||||||
PARENT COMPANY STATEMENTS | ' | ||||||||||||
NOTE Q: PARENT COMPANY STATEMENTS | |||||||||||||
The condensed balance sheets of the parent company at December 31 are as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||
Assets: | |||||||||||||
Cash and cash equivalents | $ | 83,783 | $ | 43,800 | |||||||||
Investment securities | 3,601 | 3,587 | |||||||||||
Investment in and advances to subsidiaries | 895,211 | 961,718 | |||||||||||
Other assets | 8,847 | 8,613 | |||||||||||
Total assets | $ | 991,442 | $ | 1,017,718 | |||||||||
Liabilities and shareholders' equity: | |||||||||||||
Accrued interest and other liabilities | $ | 13,533 | $ | 12,867 | |||||||||
Borrowings | 102,097 | 102,073 | |||||||||||
Shareholders' equity | 875,812 | 902,778 | |||||||||||
Total liabilities and shareholders' equity | $ | 991,442 | $ | 1,017,718 | |||||||||
The condensed statements of income of the parent company for the years ended December 31 is as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||
Revenues: | |||||||||||||
Dividends from subsidiaries | $ | 66,000 | $ | 0 | $ | 52,251 | |||||||
Interest and dividends on investments | 91 | 98 | 87 | ||||||||||
Other income | 9 | 198 | 0 | ||||||||||
Total revenues | 66,100 | 296 | 52,338 | ||||||||||
Expenses: | |||||||||||||
Interest on borrowings | 2,520 | 2,716 | 5,815 | ||||||||||
Other expenses | 61 | 155 | 273 | ||||||||||
Total expenses | 2,581 | 2,871 | 6,088 | ||||||||||
(Loss) Income before tax benefit and equity in undistributed net income of subsidiaries | 63,519 | (2,575 | ) | 46,250 | |||||||||
Income tax benefit | 862 | 1,274 | 2,237 | ||||||||||
(Loss) Income before equity in undistributed net income of subsidiaries | 64,381 | (1,301 | ) | 48,487 | |||||||||
Equity in undistributed net income of subsidiaries | 14,448 | 78,369 | 24,655 | ||||||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Comprehensive (loss)/income | $ | (2,051 | ) | $ | 102,237 | $ | 111,647 | ||||||
The statements of cash flows of the parent company for the years ended December 31 is as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||
Operating activities: | |||||||||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities | |||||||||||||
(Gain)/loss on sale of investments | (9 | ) | 0 | 0 | |||||||||
Equity in undistributed net income of subsidiaries | (14,448 | ) | (78,369 | ) | (24,655 | ) | |||||||
Net change in other assets and other liabilities | (221 | ) | (746 | ) | (504 | ) | |||||||
Net cash provided by (used in) operating activities | 64,151 | (2,047 | ) | 47,983 | |||||||||
Investing activities: | |||||||||||||
Purchase of investment securities | 0 | (3 | ) | 0 | |||||||||
Proceeds from sale of investment securities | 114 | 30 | 2 | ||||||||||
Repayments from subsidiaries, net | 0 | 0 | 51 | ||||||||||
Capital contributions to subsidiaries | 0 | (20,081 | ) | (102,462 | ) | ||||||||
Net cash provided by (used in) investing activities | 114 | (20,054 | ) | (102,409 | ) | ||||||||
Financing activities: | |||||||||||||
Issuance of common stock | 19,200 | 67,813 | 91,714 | ||||||||||
Cash dividends paid | (43,482 | ) | (40,765 | ) | (34,404 | ) | |||||||
Net cash provided by (used in) financing activities | (24,282 | ) | 27,048 | 57,310 | |||||||||
Change in cash and cash equivalents | 39,983 | 4,947 | 2,884 | ||||||||||
Cash and cash equivalents at beginning of year | 43,800 | 38,853 | 35,969 | ||||||||||
Cash and cash equivalents at end of year | $ | 83,783 | $ | 43,800 | $ | 38,853 | |||||||
Supplemental disclosures of cash flow information: | |||||||||||||
Cash paid for interest | $ | 2,521 | $ | 2,738 | $ | 5,959 | |||||||
Supplemental disclosures of noncash financing activities | |||||||||||||
Dividends declared and unpaid | $ | 11,332 | $ | 10,699 | $ | 9,609 |
FAIR_VALUE
FAIR VALUE | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
FAIR VALUE [Abstract] | ' | ||||||||||||||||||||||||||||||||
FAIR VALUE | ' | ||||||||||||||||||||||||||||||||
NOTE R: FAIR VALUE | |||||||||||||||||||||||||||||||||
Accounting standards allow entities an irrevocable option to measure certain financial assets and financial liabilities at fair value. Unrealized gains and losses on items for which the fair value option has been elected are reported in earnings. The Company has elected to value mortgage loans held for sale at fair value in order to more closely match the gains and losses associated with loans held for sale with the gains and losses on forward sales contracts. Accordingly, the impact on the valuation will be recognized in the Company’s consolidated statement of income. All mortgage loans held for sale are current and in performing status. | |||||||||||||||||||||||||||||||||
Accounting standards establish a framework for measuring fair value and require certain disclosures about such fair value instruments. It defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e. exit price). Inputs used to measure fair value are classified into the following hierarchy: | |||||||||||||||||||||||||||||||||
· | Level 1 – Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||||||||||||||||||
· | Level 2 – Quoted prices in active markets for similar assets or liabilities, or quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability. | ||||||||||||||||||||||||||||||||
· | Level 3 – Significant valuation assumptions not readily observable in a market. | ||||||||||||||||||||||||||||||||
A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following tables set forth the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis. There were no transfers between any of the levels for the periods presented. | |||||||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
(000's omitted) | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 1,182,261 | $ | 29,886 | $ | 0 | $ | 1,212,147 | |||||||||||||||||||||||||
Obligations of state and political subdivisions | 0 | 668,982 | 0 | 668,982 | |||||||||||||||||||||||||||||
Government agency mortgage-backed securities | 0 | 254,978 | 0 | 254,978 | |||||||||||||||||||||||||||||
Corporate debt securities | 0 | 27,587 | 0 | 27,587 | |||||||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 0 | 22,048 | 0 | 22,048 | |||||||||||||||||||||||||||||
Marketable equity securities | 421 | 0 | 0 | 421 | |||||||||||||||||||||||||||||
Total available-for-sale investment securities | 1,182,682 | 1,003,481 | 0 | 2,186,163 | |||||||||||||||||||||||||||||
Mortgage loans held for sale | 0 | 728 | 0 | 728 | |||||||||||||||||||||||||||||
Commitments to originate real estate loans for sale | 0 | 0 | 44 | 44 | |||||||||||||||||||||||||||||
Forward sales commitments | 0 | 27 | 0 | 27 | |||||||||||||||||||||||||||||
Total | $ | 1,182,682 | $ | 1,004,236 | $ | 44 | $ | 2,186,962 | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||||||||||
(000's omitted) | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 891,803 | $ | 187,454 | $ | 0 | $ | 1,079,257 | |||||||||||||||||||||||||
Obligations of state and political subdivisions | 0 | 662,892 | 0 | 662,892 | |||||||||||||||||||||||||||||
Government agency mortgage-backed securities | 0 | 269,951 | 0 | 269,951 | |||||||||||||||||||||||||||||
Pooled trust preferred securities | 0 | 0 | 49,600 | 49,600 | |||||||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 0 | 33,935 | 0 | 33,935 | |||||||||||||||||||||||||||||
Corporate debt securities | 0 | 25,357 | 0 | 25,357 | |||||||||||||||||||||||||||||
Marketable equity securities | 402 | 0 | 0 | 402 | |||||||||||||||||||||||||||||
Total available-for-sale investment securities/Total | $ | 892,205 | $ | 1,179,589 | $ | 49,600 | $ | 2,121,394 | |||||||||||||||||||||||||
The valuation techniques used to measure fair value for the items in the table above are as follows: | |||||||||||||||||||||||||||||||||
· | Available for sale investment securities – The fair value of available-for-sale investment securities is based upon quoted prices, if available. If quoted prices are not available, fair values are measured using quoted market prices for similar securities or model-based valuation techniques. Level 1 securities include U.S. Treasury obligations and marketable equity securities that are traded by dealers or brokers in active over-the-counter markets. Level 2 securities include U.S. agency securities, mortgage-backed securities issued by government-sponsored entities, municipal securities and corporate debt securities that are valued by reference to prices for similar securities or through model-based techniques in which all significant inputs, such as reported trades, trade execution data, LIBOR swap yield curve, market prepayment speeds, credit information, market spreads, and security’s terms and conditions, are observable. Securities classified as Level 3 include pooled trust preferred securities in less liquid markets. The value of these instruments is determined using multiple pricing models or similar techniques from third party sources as well as significant unobservable inputs such as judgment or estimation by the Company in the weighting of the models. See Note C for further discussion of the fair value of investment securities. | ||||||||||||||||||||||||||||||||
· | Mortgage loans held for sale – Mortgage loans held for sale are carried at fair value, which is determined using quoted secondary-market prices of loans with similar characteristics and, as such, have been classified as a Level 2 valuation. The unpaid principal value of mortgage loans held for sale at December 31, 2013 is approximately $723,000. The unrealized gain of $5,000 was recognized in other banking services in the Consolidate Statement of Income for the year ended December 31, 2013. | ||||||||||||||||||||||||||||||||
· | Forward sales commitments – The Company enters into forward sales commitments to sell certain residential real estate loans. Such commitments are considered to be derivative financial instruments and, therefore, are carried at estimated fair value in the other asset or other liability section of the consolidated balance sheet. The fair value of these forward sales commitments is primarily measured by obtaining pricing from certain government-sponsored entities and reflects the underlying price the entity would pay the Company for an immediate sale on these mortgages. As such, these instruments are classified as Level 2 in the fair value hierarchy. | ||||||||||||||||||||||||||||||||
· | Commitments to originate real estate loans for sale – The Company enters into various commitments to originate residential real estate loans for sale. Such commitments are considered to be derivative financial instruments and, therefore, are carried at estimated fair value in the other asset or other liability section of the consolidated balance sheet. The estimated fair value of these commitments is determined using quoted secondary market prices obtained from certain government-sponsored entities. Additionally, accounting guidance requires the expected net future cash flows related to the associated servicing of the loan to be included in the fair value measurement of the derivative. The expected net future cash flows are based on a valuation model that calculates the present value of estimated net servicing income. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income. Such assumptions include estimates of the cost of servicing loans, appropriate discount rate and prepayment speeds. The determination of expected net cash flows is considered a significant unobservable input contributing to the Level 3 classification of commitments to originate real estate loans for sale. | ||||||||||||||||||||||||||||||||
The changes in Level 3 assets measured at fair value on a recurring basis are summarized in the following tables: | |||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
(000's omitted) | Pooled trust preferred | Commitments | Total | Pooled trust preferred securities | |||||||||||||||||||||||||||||
securities | to originate | ||||||||||||||||||||||||||||||||
real estate | |||||||||||||||||||||||||||||||||
loans for sale | |||||||||||||||||||||||||||||||||
Beginning balance | $ | 49,600 | $ | 0 | $ | 49,600 | $ | 43,846 | |||||||||||||||||||||||||
Total gains/(losses) included in earnings (1)(2) | (15,201 | ) | (249 | ) | (15,450 | ) | 220 | ||||||||||||||||||||||||||
Total gains/(losses) included in other comprehensive income(3) | 12,379 | 0 | 12,379 | 11,890 | |||||||||||||||||||||||||||||
Principal reductions | (5,944 | ) | 0 | (5,944 | ) | (6,356 | ) | ||||||||||||||||||||||||||
Sales | (40,834 | ) | 0 | (40,834 | ) | 0 | |||||||||||||||||||||||||||
Commitments to originate real estate loans held for sale, net | 0 | 293 | 293 | 0 | |||||||||||||||||||||||||||||
Ending balance | $ | 0 | $ | 44 | $ | 44 | $ | 49,600 | |||||||||||||||||||||||||
(1) Amounts included in earnings associated with the pooled trust preferred securities relate to accretion of related discount, which are reported in interest and dividends on taxable investments, and the loss realized upon the sale of the securities, which is included in gain on sales of investment securities, net. | |||||||||||||||||||||||||||||||||
(2) Amounts included in earnings associated with the commitments to originate real estate loans for sale are reported as a component of other banking services in the Consolidated Statement of Income. | |||||||||||||||||||||||||||||||||
(3) Amounts included in other comprehensive income associated with the pooled trust preferred securities relate to changes in unrealized loss and are reported as a component of unrealized gains/(losses) on available-for sale securities in the Statement of Comprehensive Income. | |||||||||||||||||||||||||||||||||
Assets and liabilities measured on a non-recurring basis: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000's omitted) | Level 1 | Level 2 | Level 3 | Total Fair Value | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||
Impaired loans | $ | 0 | $ | 600 | $ | 0 | $ | 600 | $ | 0 | $ | 0 | $ | 1,186 | $ | 1,186 | |||||||||||||||||
Other real estate owned | 0 | 0 | 5,060 | 5,060 | 0 | 0 | 4,788 | 4,788 | |||||||||||||||||||||||||
Mortgage servicing rights | 0 | 0 | 0 | 0 | 0 | 0 | 1,028 | 1,028 | |||||||||||||||||||||||||
Total | $ | 0 | $ | 600 | $ | 5,060 | $ | 5,660 | $ | 0 | $ | 0 | $ | 7,002 | $ | 7,002 | |||||||||||||||||
Loans are generally not recorded at fair value on a recurring basis. Periodically, the Company records nonrecurring adjustments to the carrying value of loans based on fair value measurements for partial charge-offs of the uncollectible portions of those loans. Nonrecurring adjustments also include certain impairment amounts for collateral-dependent loans calculated when establishing the allowance for credit losses. Such amounts are generally based on the fair value of the underlying collateral supporting the loan and, as a result, the carrying value of the loan less the calculated valuation amount does not necessarily represent the fair value of the loan. Real estate collateral is typically valued using independent appraisals or other indications of value based on recent comparable sales of similar properties or assumptions generally observable in the marketplace, adjusted for non-observable inputs. Thus, the resulting nonrecurring fair value measurements are generally classified as Level 3. Estimates of fair value used for other collateral supporting commercial loans generally are based on assumptions not observable in the marketplace and, therefore, such valuations classify as Level 3. At December 31, 2013, impaired loans recorded at fair value consisted of one loan that was valued using a purchase offer that did not require an adjustment for estimated costs. As such, no unobservable inputs were utilized and it was classified as a Level 2 valuation. | |||||||||||||||||||||||||||||||||
Other real estate owned is valued at the time the loan is foreclosed upon and the asset is transferred to other real estate owned. The value is based primarily on third party appraisals, less estimated costs to sell. The appraisals are sometimes further discounted based on management’s historical knowledge, changes in market conditions from the time of valuation, and/or management’s expertise and knowledge of the client and client’s business. Such discounts are significant, ranging from 11% to 54% at December 31, 2013 and result in a Level 3 classification of the inputs for determining fair value. Other real estate owned is reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly, based on the same factors identified above. The Company recovers the carrying value of other real estate owned through the sale of the property. The ability to affect future sales prices is subject to market conditions and factors beyond our control and may impact the estimated fair value of a property. | |||||||||||||||||||||||||||||||||
Originated mortgage servicing rights are recorded at their fair value at the time of sale of the underlying loan, and are amortized in proportion to and over the estimated period of net servicing income. The fair value of mortgage servicing rights is based on a valuation model incorporating inputs that market participants would use in estimating future net servicing income. Such inputs include estimates of the cost of servicing loans, appropriate discount rate, and prepayment speeds and are considered to be unobservable and contribute to the Level 3 classification of mortgage servicing rights. In accordance with GAAP, the Company must record impairment charges, on a nonrecurring basis, when the carrying value of a stratum exceeds its estimated fair value. Impairment is recognized through a valuation allowance. There is no valuation allowance at December 31, 2013 as the fair value of approximately $1,495,000 exceeded the carrying value of approximately $1,218,000. | |||||||||||||||||||||||||||||||||
The Company evaluates goodwill for impairment on an annual basis, or more often if events or circumstances indicate there may be impairment. The fair value of each reporting unit is compared to the carrying amount of that reporting unit in order to determine if impairment is indicated. If so, the implied fair value of the reporting unit’s goodwill is compared to its carrying amount and the impairment loss is measured by the excess of the carrying value of the goodwill over fair value of the goodwill. In such situations, the Company performs a discounted cash flow modeling technique that requires management to make estimates regarding the amount and timing of expected future cash flows of the assets and liabilities of the reporting unit that enable the Company to calculate the implied fair value of the goodwill. It also requires use of a discount rate that reflects the current return expectation of the market in relation to present risk-free interest rates, expected equity market premiums, peer volatility indicators and company-specific risk indicators. The Company did not recognize an impairment charge during 2013 or 2012. | |||||||||||||||||||||||||||||||||
The significant unobservable inputs used in the determination of fair value of assets classified as Level 3 on a recurring or non-recurring basis as of December 31, 2013 are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | Fair Value | Valuation Technique | Significant Unobservable Inputs | Input Range | |||||||||||||||||||||||||||||
(Weighted Average) | |||||||||||||||||||||||||||||||||
Other real estate owned | 5,060 | Fair value of collateral | Estimated cost of disposal/market adjustment | 11.0% - 54.4% (28.1 | %) | ||||||||||||||||||||||||||||
Commitments to originate | 44 | Discounted cash flow | Embedded servicing value | 1 | % | ||||||||||||||||||||||||||||
real estate loans for sale | |||||||||||||||||||||||||||||||||
The significant unobservable inputs used in the determination of fair value of assets classified as Level 3 on a recurring or non-recurring basis as of December 31, 2012 are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | Fair Value | Valuation Technique | Significant Unobservable Inputs | Significant Unobservable Input Range | |||||||||||||||||||||||||||||
(Weighted Average) | |||||||||||||||||||||||||||||||||
Pooled trust preferred securities | $ | 49,600 | Consensus pricing | Weighting of offered quotes | 65.3% - 85.1% (78.4 | %) | |||||||||||||||||||||||||||
Impaired loans | 1,186 | Fair value of collateral | Estimated cost of disposal/market adjustment | 25.0% - 50.0% (27.5 | %) | ||||||||||||||||||||||||||||
Other real estate owned | 4,788 | Fair value of collateral | Estimated cost of disposal/market adjustment | 11.0% - 60.2% (19.9 | %) | ||||||||||||||||||||||||||||
Mortgage servicing rights | 1,028 | Discounted cash flow | Weighted average constant prepayment rate | 1.1% - 39.6% (34.4 | %) | ||||||||||||||||||||||||||||
Discount rate | 2.5% - 3.3% (3.1 | %) | |||||||||||||||||||||||||||||||
Adequate compensation | $7/loan | ||||||||||||||||||||||||||||||||
The Company determines fair values based on quoted market values, where available, estimates of present values, or other valuation techniques. Those techniques are significantly affected by the assumptions used, including, but not limited to, the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, may not be realized in immediate settlement of the instrument. Certain financial instruments and all nonfinancial instruments are excluded from fair value disclosure requirements. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. | |||||||||||||||||||||||||||||||||
The carrying amounts and estimated fair values of the Company’s other financial instruments that are not accounted for at fair value at December 31, 2013 and 2012 are as follows: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||||||||||||||||||
(000's omitted) | Value | Value | Value | Value | |||||||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||||||
Net loans | $ | 4,064,764 | $ | 4,044,449 | $ | 3,822,688 | $ | 3,881,354 | |||||||||||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||||||||||
Deposits | 5,896,044 | 5,898,138 | 5,628,039 | 5,635,320 | |||||||||||||||||||||||||||||
Borrowings | 141,913 | 141,913 | 728,061 | 820,377 | |||||||||||||||||||||||||||||
Subordinated debt held by unconsolidated subsidiary trusts | 102,097 | 109,284 | 102,073 | 97,899 | |||||||||||||||||||||||||||||
The following is a further description of the principal valuation methods used by the Company to estimate the fair values of its financial instruments. | |||||||||||||||||||||||||||||||||
Loans have been classified as a Level 3 valuation. Fair values for variable rate loans that reprice frequently are based on carrying values. Fair values for fixed rate loans are estimated using discounted cash flows and interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. | |||||||||||||||||||||||||||||||||
Deposits have been classified as a Level 2 valuation. The fair value of demand deposits, interest-bearing checking deposits, savings accounts and money market deposits is the amount payable on demand at the reporting date. The fair value of time deposit obligations are based on current market rates for similar products. | |||||||||||||||||||||||||||||||||
Borrowings have been classified as a Level 2 valuation. Fair values for long-term borrowings are estimated using discounted cash flows and interest rates currently being offered on similar borrowings. | |||||||||||||||||||||||||||||||||
Subordinated debt held by unconsolidated subsidiary trusts have been classified as a Level 2 valuation. The fair value of subordinated debt held by unconsolidated subsidiary trusts are estimated using discounted cash flows and interest rates currently being offered on similar securities. | |||||||||||||||||||||||||||||||||
Other financial assets and liabilities – Cash and cash equivalents have been classified as a Level 1 valuation, while accrued interest receivable and accrued interest payable have been classified as a Level 2 valuation. The fair values of each approximate the respective carrying values because the instruments are payable on demand or have short-term maturities and present relatively low credit risk and interest rate risk. |
DERIVATIVE_INSTRUMENTS
DERIVATIVE INSTRUMENTS | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
DERIVATIVE INSTRUMENTS [Abstract] | ' | |||||||||
DERIVATIVE INSTRUMENTS | ' | |||||||||
NOTE S: DERIVATIVE INSTRUMENTS | ||||||||||
The Company is party to derivative financial instruments in the normal course of its business to meet the financing needs of its customers and to manage its own exposure to fluctuations in interest rates. These financial instruments have been limited to commitments to originate real estate loans held for sale and forward sales commitments. The Company does not hold nor issue derivative financial instruments for trading or other speculative purposes. | ||||||||||
The Company enters into forward sales commitments for the future delivery of residential mortgage loans, and interest rate lock commitments to fund loans at a specified interest rate. The forward sales commitments are utilized to reduce interest rate risk associated with interest rate lock commitments and loans held for sale. Changes in the estimated fair value of the forward sales commitments and interest rate lock commitments subsequent to inception are based on changes in the fair value of the underlying loan resulting from the fulfillment of the commitment and changes in the probability that the loan will fund within the terms of the commitment, which is affected primarily by changes in interest rates and the passage of time. At inception and during the life of the interest rate lock commitment, the Company includes the expected net future cash flows related to the associated servicing of the loan as part of the fair value measurement of the interest rate lock commitments. These derivatives are recorded at fair value. | ||||||||||
The following table presents the Company’s derivative financial instruments, their estimated fair values, and balance sheet location as of December 31, 2013: | ||||||||||
(000's omitted) | Location | Notional | Fair Value | |||||||
Derivatives not designated as hedging instruments: | ||||||||||
Forward sales commitments | Other liabilities | $ | 2,508 | $ | 27 | |||||
Commitments to originate real estate loans for sale | Other assets | 2,946 | 44 | |||||||
Total derivatives | $ | 71 | ||||||||
The following table presents the Company’s derivative financial instruments and the location of the net gain or loss recognized in the statement of income for the year ended December 31, 2013: | ||||||||||
(000's omitted) | Location | Gain Recognized in the Statement of | ||||||||
Income for the Year Ending | ||||||||||
31-Dec-13 | ||||||||||
Forward sales commitments | Mortgage banking and other services | $ | 27 | |||||||
Commitments to originate real estate loans for sale | Mortgage banking and other services | 44 | ||||||||
Total | $ | 71 |
SEGMENT_INFORMATION
SEGMENT INFORMATION | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
SEGMENT INFORMATION [Abstract] | ' | ||||||||||||||||||||
SEGMENT INFORMATION | ' | ||||||||||||||||||||
NOTE T: SEGMENT INFORMATION | |||||||||||||||||||||
Operating segments are components of an enterprise, which are evaluated regularly by the “chief operating decision maker” in deciding how to allocate resources and assess performance. The Company’s chief operating decision maker is the President and Chief Executive Officer of the Company. The Company has identified Banking, Employee Benefit Services and Wealth Management as its reportable operating business segments. CBNA operates the banking segment that provides full-service banking to consumers, businesses and governmental units in northern, central and western New York as well as northern Pennsylvania. Employee benefit services, which includes BPAS, Harbridge and HB&T provides employee benefit trust, collective investment fund, retirement plan administration, actuarial, VEBA/HRA and health and welfare consulting services. Wealth management services activities include trust services provided by the personal trust unit within the Bank, investment and insurance products and services provided by CISI and CBNA Insurance and asset management provided by Nottingham. The accounting policies used in the disclosure of business segments are the same as those described in the summary of significant accounting policies (See Note A). | |||||||||||||||||||||
Information about reportable segments and reconciliation of the information to the consolidated financial statements follows: | |||||||||||||||||||||
Banking | Employee | Wealth Management | Eliminations | Consolidated | |||||||||||||||||
(000's omitted) | Benefit Services | Total | |||||||||||||||||||
2013 | |||||||||||||||||||||
Net interest income | $ | 237,915 | $ | 101 | $ | 78 | $ | 0 | $ | 238,094 | |||||||||||
Provision for loan losses | 7,992 | 0 | 0 | 0 | 7,992 | ||||||||||||||||
Noninterest income | 48,030 | 39,534 | 16,265 | (1,649 | ) | 102,180 | |||||||||||||||
Amortization of intangible assets | 3,569 | 662 | 238 | 0 | 4,469 | ||||||||||||||||
Other operating expenses | 175,139 | 31,049 | 12,247 | (1,649 | ) | 216,786 | |||||||||||||||
Income before income taxes | $ | 99,245 | $ | 7,924 | $ | 3,858 | $ | 0 | $ | 111,027 | |||||||||||
Assets | $ | 7,070,866 | $ | 27,970 | $ | 13,259 | $ | (16,231 | ) | $ | 7,095,864 | ||||||||||
Goodwill | $ | 364,495 | $ | 7,836 | $ | 2,660 | $ | 0 | $ | 374,991 | |||||||||||
2012 | |||||||||||||||||||||
Net interest income | $ | 230,251 | $ | 104 | $ | 69 | $ | 0 | $ | 230,424 | |||||||||||
Provision for loan losses | 9,108 | 0 | 0 | 0 | 9,108 | ||||||||||||||||
Noninterest income | 50,422 | 36,781 | 13,549 | (1,506 | ) | 99,246 | |||||||||||||||
Amortization of intangible assets | 3,548 | 779 | 280 | 0 | 4,607 | ||||||||||||||||
Other operating expenses | 167,332 | 30,617 | 10,707 | (1,506 | ) | 207,150 | |||||||||||||||
Income before income taxes | $ | 100,685 | $ | 5,489 | $ | 2,631 | $ | 0 | $ | 108,805 | |||||||||||
Assets | $ | 7,472,628 | $ | 30,405 | $ | 12,101 | $ | (18,334 | ) | $ | 7,496,800 | ||||||||||
Goodwill | $ | 359,207 | $ | 7,836 | $ | 2,660 | $ | 0 | $ | 369,703 | |||||||||||
2011 | |||||||||||||||||||||
Net interest income | $ | 209,302 | $ | 60 | $ | 51 | $ | 0 | $ | 209,413 | |||||||||||
Provision for loan losses | 4,736 | 0 | 0 | 0 | 4,736 | ||||||||||||||||
Noninterest income | 46,921 | 32,395 | 11,228 | (1,322 | ) | 89,222 | |||||||||||||||
Amortization of intangible assets | 3,393 | 752 | 236 | 0 | 4,381 | ||||||||||||||||
Other operating expenses | 152,468 | 25,622 | 9,223 | (1,322 | ) | 185,991 | |||||||||||||||
Income before income taxes | $ | 95,626 | $ | 6,081 | $ | 1,820 | $ | 0 | $ | 103,527 | |||||||||||
Assets | $ | 6,461,694 | $ | 27,446 | $ | 11,111 | $ | (11,976 | ) | $ | 6,488,275 | ||||||||||
Goodwill | $ | 334,554 | $ | 7,836 | $ | 2,660 | $ | 0 | $ | 345,050 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | |
Dec. 31, 2013 | ||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | |
Nature of Operations | ' | |
Nature of Operations | ||
Community Bank System, Inc. (the “Company”) is a single bank holding company which wholly-owns five consolidated subsidiaries: Community Bank, N.A. (the “Bank”), Benefit Plans Administrative Services, Inc. (“BPAS”), CFSI Closeout Corp. (“CFSICC”), First of Jermyn Realty Co. (“FJRC”), and Town & Country Agency LLC (“T&C”). BPAS owns four subsidiaries, Benefit Plans Administrative Services, LLC (“BPA”), Harbridge Consulting Group, LLC (“Harbrdge”), BPAS Trust Company of Puerto Rico; and Hand Benefits & Trust, Inc. (“HB&T”), which, as of December 31, 2013 owned two subsidiaries Hand Securities Inc. (“HSI”), and Flex Corporation (“Flex”), which was merged with BPA on January 1, 2014. BPAS provides administration, consulting and actuarial services to sponsors of employee benefit plans. CFSICC, FJRC and T&C are inactive companies. The Company also wholly-owns two unconsolidated subsidiary business trusts formed for the purpose of issuing mandatorily-redeemable preferred securities which are considered Tier I capital under regulatory capital adequacy guidelines (see Note P). | ||
As of December 31, 2013, the Bank operated 183 full service branches under the Community Bank, N.A. name throughout 35 counties of Upstate New York and six counties of Northeastern Pennsylvania offering a range of commercial and retail banking services. The Bank owns the following subsidiaries: CBNA Insurance Agency, Inc. (“CBNA Insurance”), CBNA Preferred Funding Corporation (“PFC”), CBNA Treasury Management Corporation (“TMC”), Community Investment Services, Inc. (“CISI”), First Liberty Service Corp. (“FLSC”), Nottingham Advisors, Inc. (“Nottingham”), Brilie Corporation (“Brilie”), and Western Catskill Realty, LLC (“WCR”). CBNA Insurance is a full-service insurance agency offering primarily property and casualty products. PFC primarily acts as an investor in residential real estate loans. TMC provides cash management, investment, and treasury services to the Bank. CISI provides broker-dealer and investment advisory services. FLSC provides banking-related services to the Pennsylvania branches of the Bank. Nottingham provides asset management services to individuals, corporate pension and profit sharing plans, and foundations. Brilie and WCR are inactive companies. | ||
Principles of Consolidation | ' | |
Principles of Consolidation | ||
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | ||
Variable Interest Entities (“VIE”) are required to be consolidated by a company if it is determined the company is the primary beneficiary of a VIE. The primary beneficiary of a VIE is the enterprise that has: (1) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (2) the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits of the VIE that could potentially be significant to the VIE. The Company’s wholly-owned subsidiaries, Community Statutory Trust III and Community Capital Trust IV, are VIEs for which the Company is not the primary beneficiary. Accordingly, the accounts of these entities are not included in the Company’s consolidated financial statements. | ||
Critical Accounting Estimates in the Preparation of Financial Statements | ' | |
Critical Accounting Estimates in the Preparation of Financial Statements | ||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Critical accounting estimates include the allowance for loan losses, actuarial assumptions associated with the pension, post-retirement and other employee benefit plans, the provision for income taxes, investment valuation and other-than-temporary impairment, the carrying value of goodwill and other intangible assets, and acquired loan valuations. | ||
Risk and Uncertainties | ' | |
Risk and Uncertainties | ||
In the normal course of its business, the Company encounters economic and regulatory risks. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk to the degree that its interest-bearing liabilities mature or reprice at different speeds, or on different basis, from its interest-earning assets. The Company’s primary credit risk is the risk of default on the Company’s loan portfolio that results from the borrowers’ inability or unwillingness to make contractually required payments. Market risk reflects potential changes in the value of collateral underlying loans, the fair value of investment securities, and loans held for sale. | ||
The Company is subject to regulations of various governmental agencies. These regulations can change significantly from period to period. The Company also undergoes periodic examinations by the regulatory agencies which may subject it to further changes with respect to asset valuations, amounts of required loan loss allowances, and operating restrictions resulting from the regulators’ judgments based on information available to them at the time of their examinations. | ||
Revenue Recognition | ' | |
Revenue Recognition | ||
The Company recognizes income on an accrual basis. CISI recognizes fee income when investment and insurance products are sold to customers. Nottingham provides asset management services to brokerage firms and clients and recognizes income ratably over the contract period during which service is performed. Revenue from BPA’s administration and recordkeeping services is recognized ratably over the service contract period. Revenue from consulting and actuarial services is recognized when services are rendered. CBNA Insurance recognizes commission revenue at the later of the effective date of the insurance policy, or the date on which the policy premium is billed to the customer. At that date, the earnings process has been completed and the impact of refunds for policy cancellations can be reasonably estimated to establish reserves. The reserve for policy cancellations is based upon historical cancellation experience adjusted for known circumstances. All intercompany revenue and expense among related entities are eliminated in consolidation. | ||
Cash and Cash Equivalents | ' | |
Cash and Cash Equivalents | ||
For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks and highly liquid investments with original maturities of less than 90 days. The carrying amounts reported in the balance sheet for cash and cash equivalents approximate those assets’ fair values. | ||
Investment Securities | ' | |
Investment Securities | ||
The Company has classified its investments in debt and equity securities as held-to-maturity or available-for-sale. Held-to-maturity securities are those for which the Company has the positive intent and ability to hold until maturity, and are reported at cost, which is adjusted for amortization of premiums and accretion of discounts. As discussed further in Note D, the Company reclassified its held-to-maturity portfolio to available-for-sale and the Company will not be able to use the held-to-maturity classification for the foreseeable future. Securities classified as available-for-sale and are reported at fair value with net unrealized gains and losses reflected as a separate component of shareholders' equity, net of applicable income taxes. None of the Company's investment securities have been classified as trading securities at December 31, 2013. Certain equity securities are stated at cost and include restricted stock of the Federal Reserve Bank of New York (“Federal Reserve”) and Federal Home Loan Bank of New York (“FHLB”). During 2013 the Company sold certain held-to-maturity securities. As a result of the transaction, the Company will not be able to use the held-to-maturity classification for the foreseeable future. | ||
Fair values for investment securities are based upon quoted market prices, where available. If quoted market prices are not available, fair values are based upon quoted market prices of comparable instruments, or a discounted cash flow model using market estimates of interest rates and volatility. | ||
The Company conducts an assessment of all securities in an unrealized loss position to determine if other-than-temporary impairment (“OTTI”) exists on a quarterly basis. An unrealized loss exists when the current fair value of an individual security is less than its amortized cost basis. The OTTI assessment considers the security structure, recent security collateral performance metrics, if applicable, external credit ratings, failure of the issuer to make scheduled interest or principal payments, judgment about and expectations of future performance, and relevant independent industry research, analysis and forecasts. The severity of the impairment and the length of time the security has been impaired is also considered in the assessment. The assessment of whether an OTTI decline exists is performed on each security, regardless of the classification of the security as available-for-sale or held-to-maturity and involves a high degree of subjectivity and judgment that is based on the information available to management at a point in time. | ||
An OTTI loss must be recognized for a debt security in an unrealized loss position if there is intent to sell the security or it is more likely than not the Company will be required to sell the security prior to recovery of its amortized cost basis. In this situation, the amount of loss recognized in income is equal to the difference between the fair value and the amortized cost basis of the security. Even if management does not have the intent, and it is not more likely than not that the Company will be required to sell the securities, an evaluation of the expected cash flows to be received is performed to determine if a credit loss has occurred. For debt securities, a critical component of the evaluation for OTTI is the identification of credit-impaired securities, where the Company does not expect to receive cash flows sufficient to recover the entire amortized cost basis of the security. In the event of a credit loss, only the amount of impairment associated with the credit loss would be recognized in income. The portion of the unrealized loss relating to other factors, such as liquidity conditions in the market or changes in market interest rates, is recorded in accumulated other comprehensive loss. | ||
Equity securities are also evaluated to determine whether the unrealized loss is expected to be recoverable based on whether evidence exists to support a realizable value equal to or greater than the amortized cost basis. If it is probable that the amortized cost basis will not be recovered, taking into consideration the estimated recovery period and the ability to hold the equity security until recovery, OTTI is recognized in earnings equal to the difference between the fair value and the amortized cost basis of the security. | ||
The specific identification method is used in determining the realized gains and losses on sales of investment securities and OTTI charges. Premiums and discounts on securities are amortized and accreted, respectively, on the interest method basis over the period to maturity or estimated life of the related security. Purchases and sales of securities are recognized on a trade date basis. | ||
Derivative Financial Instruments | ' | |
Derivative Financial Instruments | ||
The Company has utilized interest rate swap agreements, considered to be cash flow hedges, as part of the management of interest rate risk to modify the repricing characteristics of certain portions of its portfolios of interest-bearing liabilities. These derivative instruments, when used, are required to be carried at fair value on the balance sheet. | ||
Cash flow hedges are accounted for by recording the fair value of the derivative instrument on the balance sheet as either a freestanding asset or liability, with a corresponding offset recorded in other comprehensive income within shareholders’ equity, net of income tax effect. Amounts are reclassified from other comprehensive income to the income statement in the period or periods the hedged transaction affects earnings. Derivative gains and losses not effective in hedging the expected cash flows of the hedged item are recognized immediately in the income statement. At the hedge’s inception and at least quarterly thereafter, a formal assessment is performed to determine the effectiveness of the cash flow hedge. If it is determined that a derivative instrument has not been or will not continue to be highly effective as a hedge, hedge accounting is discontinued. | ||
Loans | ' | |
Loans | ||
Loans are stated at unpaid principal balances, net of unearned income. Mortgage loans held for sale are carried at fair value and are included in loans held for sale on the balance sheet. Fair values for variable rate loans that reprice frequently are based on carrying values. Fair values for fixed rate loans are estimated using discounted cash flows and interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. The carrying amount of accrued interest approximates its fair value. | ||
Interest on loans is accrued and credited to operations based upon the principal amount outstanding. Nonrefundable loan fees and related direct costs are deferred and included in the loan balances where they are amortized over the life of the loan as an adjustment to loan yield using the effective yield method. Premiums and discounts on purchased loans are amortized using the effective yield method over the life of the loans. | ||
Acquired Loans | ' | |
Acquired loans | ||
Acquired loans are initially recorded at their acquisition date fair values. The carryover of allowance for loan losses is prohibited as any credit losses in the loans are included in the determination of the fair value of the loans at the acquisition date. Fair values for acquired loans are based on a discounted cash flow methodology that involves assumptions and judgments as to credit risk, prepayment risk, liquidity risk, default rates, loss severity, payment speeds, collateral values and discount rate. | ||
Acquired impaired loans | ||
Acquired loans that have evidence of deterioration in credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments are accounted for as impaired loans under ASC 310-30. The excess of undiscounted cash flows expected at acquisition over the estimated fair value is referred to as the accretable discount and is recognized into interest income over the remaining life of the loans using the interest method. The difference between contractually required payments at acquisition and the undiscounted cash flows expected to be collected at acquisition is referred to as the non-accretable discount. The non-accretable discount represents estimated future credit losses and other contractually required payments that the Company does not expect to collect. Subsequent decreases in expected cash flows are recognized as impairments through a charge to the provision for credit losses resulting in an increase in the allowance for loan losses. Subsequent improvements in expected cash flows result in a recovery of previously recorded allowance for loan losses or a reversal of a corresponding amount of the non-accretable discount, which the Company then reclassifies as an accretable discount that is recognized into interest income over the remaining life of the loans using the interest method. | ||
Acquired loans that met the criteria for non-accrual of interest prior to acquisition may be considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if the Company can reasonably estimate the timing and amount of the expected cash flows on such loans and if the Company expects to fully collect the new carrying value of the loans. As such, the Company may no longer consider the loan to be non-accrual or non-performing and may accrue interest on these loans, including the impact of any accretable discount. | ||
Acquired non-impaired loans | ||
Acquired loans that do not meet the requirements under ASC 310-30 are considered acquired non-impaired loans. The difference between the acquisition date fair value and the outstanding balance represents the fair value adjustment for a loan and includes both credit and interest rate considerations. Fair value adjustments may be discounts (or premiums) to a loan’s cost basis and are accreted (or amortized) to net interest income (or expense) over the loan’s remaining life in accordance with ASC 310- 20. Fair value adjustments for revolving loans are accreted (or amortized) using a straight line method. Term loans are accreted (or amortized) using the constant effective yield method. | ||
Subsequent to the purchase date, the methods used to estimate the allowance for loan losses for the acquired non-impaired loans is consistent with the policy described below. However, the Company compares the net realizable value of the loans to the carrying value, for loans collectively evaluated for impairment. The carrying value represents the net of the loan’s unpaid principal balance and the remaining purchase discount (or premium) that has yet to be accreted into interest income. When the carrying value exceeds the net realizable value, an allowance for loan losses is recognized. | ||
Impaired and Other Nonaccrual Loans | ' | |
Impaired and Other Nonaccrual Loans | ||
The Company places a loan on nonaccrual status when the loan becomes 90 days past due (or sooner, if management concludes collection is doubtful), except when, in the opinion of management, it is well-collateralized and in the process of collection. A loan may be placed on nonaccrual status earlier than ninety days past due if there is deterioration in the financial position of the borrower or if other conditions of the loan so warrant. When a loan is placed on nonaccrual status, uncollected accrued interest is reversed against interest income and the amortization of nonrefundable loan fees and related direct costs is discontinued. Interest income during the period the loan is on nonaccrual status is recorded on a cash basis after recovery of principal is reasonably assured. Nonaccrual loans are returned to accrual status when management determines that the borrower’s performance has improved and that both principal and interest are collectible. This generally requires a sustained period of timely principal and interest payments and a well-documented credit evaluation of the borrower’s financial condition. | ||
A loan is considered modified in a troubled debt restructuring (“TDR”) when, due to a borrower’s financial difficulties, the Company makes a concession(s) to the borrower that it would not otherwise consider. These modifications may include, among others, an extension for the term of the loan, or granting a period when interest–only payments can be made with the principal payments and interest caught up over the remaining term of the loan or at maturity. Generally, a nonaccrual loan that has been modified in a TDR remains on nonaccrual status for a period of 12 months to demonstrate that the borrower is able to meet the terms of the modified loan. If the borrower’s ability to meet the revised payment schedule is uncertain, the loan remains on nonaccrual status. | ||
During 2012, new regulatory guidance was issued by the OCC addressing the accounting of certain loans that have been discharged in Chapter 7 bankruptcy. In accordance with this new guidance, loans that have been discharged in Chapter 7 bankruptcy but not reaffirmed by the borrower are classified as TDRs, irrespective of payment history or delinquency status, even if the repayment terms for the loan have not been otherwise modified. The Company’s lien position against the underlying collateral remains unchanged. Pursuant to that guidance, the Company records a charge-off equal to any portion of the carrying value that exceeds the net realizable value of the collateral. | ||
Commercial loans greater than $0.5 million are evaluated individually for impairment. A loan is considered impaired, based on current information and events, if it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. The measurement of impaired loans is generally based upon the present value of expected future cash flows or the fair value of the collateral, if the loan is collateral-dependent. | ||
The Company’s charge-off policy by loan type is as follows: | ||
· | Business lending loans are generally charged-off to the extent outstanding principal exceeds the fair value of estimated proceeds from collection efforts, including liquidation of collateral. The charge-off is recognized when the loss becomes reasonably quantifiable. | |
· | Consumer installment loans are generally charged-off to the extent outstanding principal balance exceeds the fair value of collateral, and are recognized by the end of the month in which the loan becomes 90 days past due. | |
· | Consumer mortgage and home equity loans are generally charged-off to the extent outstanding principal exceeds the fair value of the property, less estimated costs to sell, and are recognized when the loan becomes 180 days past due. | |
Allowance for Loan Losses | ' | |
Allowance for Loan Losses | ||
Management continually evaluates the credit quality of the Company’s loan portfolio, and performs a formal review of the adequacy of the allowance for loan losses on a quarterly basis. The allowance reflects management’s best estimate of probable losses inherent in the loan portfolio. Determination of the allowance is subjective in nature and requires significant estimates. The Company’s allowance methodology consists of two broad components - general and specific loan loss allocations. | ||
The general loan loss allocation is composed of two calculations that are computed on five main loan segments: business lending, consumer installment - direct, consumer installment - indirect, home equity and consumer mortgage. The first calculation is quantitative and determines an allowance level based on the latest 36 months of historical net charge-off data for each loan class (commercial loans exclude balances with specific loan loss allocations). The second calculation is qualitative and takes into consideration eight qualitative environmental factors: levels and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards, and other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. A component of the qualitative calculation is the unallocated allowance for loan loss. The qualitative and quantitative calculations are added together to determine the general loan loss allocation. The specific loan loss allocation relates to individual commercial loans that are both greater than $0.5 million and in a nonaccruing status with respect to interest. Specific loan losses are based on discounted estimated cash flows, including any cash flows resulting from the conversion of collateral or collateral shortfalls. The allowance levels computed from the specific and general loan loss allocation methods are combined with unallocated allowances and allowances needed for acquired loans to derive the total required allowance for loan losses to be reflected on the Consolidated Statement of Condition. | ||
Loan losses are charged off against the allowance, while recoveries of amounts previously charged off are credited to the allowance. A provision for loan losses is charged to operations based on management’s periodic evaluation of factors previously mentioned. | ||
Intangible Assets | ' | |
Intangible Assets | ||
Intangible assets include core deposit intangibles, customer relationship intangibles and goodwill arising from acquisitions. Core deposit intangibles and customer relationship intangibles are amortized on either an accelerated or straight-line basis over periods ranging from seven to 20 years. The initial and ongoing carrying value of goodwill and other intangible assets is based upon discounted cash flow modeling techniques that require management to make estimates regarding the amount and timing of expected future cash flows. It also requires use of a discount rate that reflects the current return requirements of the market in relation to present risk-free interest rates, required equity market premiums, peer volatility indicators, and company-specific risk indicators. | ||
The Company evaluates goodwill for impairment on an annual basis, or more often if events or circumstances indicate there may be impairment. The implied fair value of a reporting unit’s goodwill is compared to its carrying amount and the impairment loss is measured by the excess of the carrying value over fair value. The fair value of each reporting unit is compared to the carrying amount of that reporting unit in order to determine if impairment is indicated. | ||
Premises and Equipment | ' | |
Premises and Equipment | ||
Premises and equipment are stated at cost less accumulated depreciation. Computer software costs that are capitalized only include external direct costs of obtaining and installing the software. The Company has not developed any internal use software. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Useful lives range from three to 10 years for equipment; three to seven years for software and hardware; and 10 to 40 years for building and building improvements. Land improvements are depreciated over 20 years and leasehold improvements are amortized over the shorter of the term of the respective lease plus any optional renewal periods that are reasonably assured or life of the asset. Maintenance and repairs are charged to expense as incurred. | ||
Other Real Estate | ' | |
Other Real Estate | ||
Other real estate owned is comprised of properties acquired through foreclosure, or by deed in lieu of foreclosure. These assets are carried at fair value less estimated costs of disposal. At foreclosure, if the fair value, less estimated costs to sell, of the real estate acquired is less than the Company’s recorded investment in the related loan, a write-down is recognized through a charge to the allowance for loan losses. Any subsequent reduction in value is recognized by a charge to income. Operating costs associated with the properties are charged to expense as incurred. At December 31, 2013 and 2012, other real estate amounted to $5.1 million and $4.8 million, respectively, and is included in other assets. | ||
Mortgage Servicing Rights | ' | |
Mortgage Servicing Rights | ||
Originated mortgage servicing rights are recorded at their fair value at the time of sale of the underlying loan, and are amortized in proportion to and over the period of estimated net servicing income or loss. The Company uses a valuation model that calculates the present value of future cash flows to determine the fair value of servicing rights. In using this valuation method, the Company incorporates assumptions that market participants would use in estimating future net servicing income, which includes estimates of the servicing cost per loan, the discount rate, and prepayment speeds. The carrying value of the originated mortgage servicing rights is included in other assets and is evaluated quarterly for impairment using these same market assumptions. The amount of impairment recognized is the amount by which the carrying value of the capitalized servicing rights for a stratum exceeds estimated fair value. Impairment is recognized through a valuation allowance. | ||
Treasury Stock | ' | |
Treasury Stock | ||
Repurchases of shares of the Company’s common stock are recorded at cost as a reduction of shareholders’ equity. Reissuance of shares of treasury stock is recorded at average cost. | ||
Income Taxes | ' | |
Income Taxes | ||
The Company and its subsidiaries file a consolidated federal income tax return. Provisions for income taxes are based on taxes currently payable or refundable as well as deferred taxes that are based on temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements. Deferred tax assets and liabilities are reported in the financial statements at currently enacted income tax rates applicable to the period in which the deferred tax assets and liabilities are expected to be realized or settled. | ||
Benefits from tax positions should be recognized in the financial statements only when it is more likely than not that the tax position will be sustained upon examination by the appropriate taxing authority having full knowledge of all relevant information. A tax position meeting the more-likely-than-not recognition threshold should be measured at the largest amount of benefit for which the likelihood of realization upon ultimate settlement exceeds 50 percent. | ||
Retirement Benefits | ' | |
Retirement Benefits | ||
The Company provides defined benefit pension benefits to eligible employees and post-retirement health and life insurance benefits to certain eligible retirees. The Company also provides deferred compensation and supplemental executive retirement plans for selected current and former employees, officers, and directors. Expense under these plans is charged to current operations and consists of several components of net periodic benefit cost based on various actuarial assumptions regarding future experience under the plans, including discount rate, rate of future compensation increases and expected return on plan assets. | ||
Assets Under Management or Administration | ' | |
Assets Under Management or Administration | ||
Assets held in fiduciary or agency capacities for customers are not included in the accompanying consolidated statements of condition as they are not assets of the Company. All fees associated with providing asset management services are recorded on an accrual basis of accounting and are included in noninterest income. | ||
Advertising | ' | |
Advertising | ||
Advertising costs amounting to approximately $3.0 million, $2.6 million and $2.5 million for the years ending December 31, 2013, 2012 and 2011, respectively, are nondirect response in nature and expensed as incurred. | ||
Earnings Per Share | ' | |
Earnings Per Share | ||
Using the two-class method, basic earnings per common share is computed based upon net income available to common shareholders divided by the weighted average number of common shares outstanding during each period, which excludes the outstanding unvested restricted stock as they contain nonforfeitable rights to dividends. Diluted earnings per share is computed using the weighted average number of common shares determined for the basic earnings per common share computation plus the dilutive effect of stock options using the treasury stock method. Stock options where the exercise price is greater than the average market price of common shares were not included in the computation of earnings per diluted share as they would have been anti-dilutive. | ||
Stock-based Compensation | ' | |
Stock-based Compensation | ||
Companies are required to measure and record compensation expense for stock options and other share-based payments on the instruments’ fair value on the date of grant. The Company uses the modified prospective method. Under this method, expense is recognized for awards that are granted, modified, or settled after December 31, 2005, as well as for unvested awards that were granted prior to January 1, 2006. Stock-based compensation expense is recognized ratably over the requisite service period for all awards (see Note L). | ||
Fair Values of Financial Instruments | ' | |
Fair Values of Financial Instruments | ||
The Company determines fair values based on quoted market values where available or on estimates using present values or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instrument. Certain financial instruments and all nonfinancial instruments are excluded from this disclosure requirement. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. The fair values of investment securities, loans, deposits, and borrowings have been disclosed in Note R. | ||
Reclassifications | ' | |
Reclassifications | ||
Certain reclassifications have been made to prior years’ balances to conform to the current year presentation. | ||
New Accounting Pronouncements | ' | |
New Accounting Pronouncements | ||
In January 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. This new guidance clarifies when an in substance repossession or foreclosure occurs, and requires all creditors who obtain physical possession (resulting from an in substance repossession or foreclosure) of residential real estate property collateralizing a consumer mortgage loan in satisfaction of a receivable to reclassify the collateralized mortgage loan such that the loan should be derecognized and the collateral asset recognized. This guidance is effective prospectively for the Company for annual and interim periods beginning after December 15, 2014. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. |
ACQUISITIONS_Tables
ACQUISITIONS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
ACQUISITIONS [Abstract] | ' | ||||||||||||
Estimated fair value of assets acquired and liabilities assumed | ' | ||||||||||||
The assets and liabilities assumed in the acquisitions were recorded at their estimated fair values based on management's best estimates using information available at the dates of the acquisition, and are subject to adjustment based on updated information not available at the time of acquisition. The following table summarizes the estimated fair value of the assets acquired and liabilities assumed. | |||||||||||||
(000s omitted) | 2013 | 2012 | 2011 | ||||||||||
Consideration paid (received): | |||||||||||||
Community Bank System, Inc. common stock | $ | 0 | $ | 0 | $ | 82,580 | |||||||
Cash | (291,980 | ) | (595,462 | ) | 22,155 | ||||||||
Total net consideration paid (received) | (291,980 | ) | (595,462 | ) | 104,735 | ||||||||
Recognized amounts of identifiable assets | |||||||||||||
acquired and liabilities assumed: | |||||||||||||
Cash and cash equivalents | 0 | 5,510 | 26,901 | ||||||||||
Investment securities | 0 | 0 | 297,573 | ||||||||||
Loans | 1,106 | 160,116 | 462,334 | ||||||||||
Premises and equipment | 2,549 | 4,941 | 6,360 | ||||||||||
Accrued interest receivable | 5 | 588 | 2,615 | ||||||||||
Other assets/(liabilities), net | (18 | ) | 171 | 46,942 | |||||||||
Core deposit intangibles | 2,537 | 6,521 | 4,016 | ||||||||||
Other intangibles | 9 | 0 | 1,858 | ||||||||||
Deposits | (303,456 | ) | (797,962 | ) | (771,554 | ) | |||||||
Borrowings | 0 | 0 | (19,668 | ) | |||||||||
Total identifiable assets (liabilities), net | (297,268 | ) | (620,115 | ) | 57,377 | ||||||||
Goodwill | $ | 5,288 | $ | 24,653 | $ | 47,358 | |||||||
Summary of loans acquired | ' | ||||||||||||
The following is a summary of the loans acquired in the Wilber acquisition at the date of acquisition: | |||||||||||||
Acquired Impaired | Acquired | Total | |||||||||||
(000’s omitted) | Loans | Non-Impaired | Acquired | ||||||||||
Loans | Loans | ||||||||||||
Contractually required principal and interest at acquisition | $ | 41,730 | $ | 680,516 | $ | 722,246 | |||||||
Contractual cash flows not expected to be collected | (20,061 | ) | (31,115 | ) | (51,176 | ) | |||||||
Expected cash flows at acquisition | 21,669 | 649,401 | 671,070 | ||||||||||
Interest component of expected cash flows | (2,509 | ) | (206,227 | ) | (208,736 | ) | |||||||
Fair value of acquired loans | $ | 19,160 | $ | 443,174 | $ | 462,334 | |||||||
The following is a summary of the loans acquired from HSBC and First Niagara at the date of acquisition: | |||||||||||||
Acquired Impaired | Acquired | Total | |||||||||||
(000’s omitted) | Loans | Non-Impaired | Acquired | ||||||||||
Loans | Loans | ||||||||||||
Contractually required principal and interest at acquisition | $ | 0 | $ | 201,745 | $ | 201,745 | |||||||
Contractual cash flows not expected to be collected | 0 | (3,555 | ) | (3,555 | ) | ||||||||
Expected cash flows at acquisition | 0 | 198,190 | 198,190 | ||||||||||
Interest component of expected cash flows | 0 | (38,074 | ) | (38,074 | ) | ||||||||
Fair value of acquired loans | $ | 0 | $ | 160,116 | $ | 160,116 |
INVESTMENT_SECURITIES_Tables
INVESTMENT SECURITIES (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
INVESTMENT SECURITIES [Abstract] | ' | ||||||||||||||||||||||||||||||||
Amortized cost and estimated fair value of investment securities | ' | ||||||||||||||||||||||||||||||||
The amortized cost and estimated fair value of investment securities as of December 31 are as follows: | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Gross | Gross | Estimated | Gross | Gross | Estimated | ||||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair | Amortized | Unrealized | Unrealized | Fair | ||||||||||||||||||||||||||
(000's omitted) | Cost | Gains | Losses | Value | Cost | Gains | Losses | Value | |||||||||||||||||||||||||
Held-to-Maturity Portfolio: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 548,634 | $ | 59,081 | $ | 0 | $ | 607,715 | |||||||||||||||||
Obligations of state and political subdivisions | 0 | 0 | 0 | 0 | 65,742 | 5,850 | 0 | 71,592 | |||||||||||||||||||||||||
Government agency mortgage-backed securities | 0 | 0 | 0 | 0 | 20,578 | 1,079 | 0 | 21,657 | |||||||||||||||||||||||||
Corporate debt securities | 0 | 0 | 0 | 0 | 2,924 | 53 | 0 | 2,977 | |||||||||||||||||||||||||
Other securities | 0 | 0 | 0 | 0 | 16 | 0 | 0 | 16 | |||||||||||||||||||||||||
Total held-to-maturity portfolio | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 637,894 | $ | 66,063 | $ | 0 | $ | 703,957 | |||||||||||||||||
Available-for-Sale Portfolio: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 1,252,332 | $ | 1,119 | $ | 41,304 | $ | 1,212,147 | $ | 988,217 | $ | 91,040 | $ | 0 | $ | 1,079,257 | |||||||||||||||||
Obligations of state and political subdivisions | 665,441 | 15,919 | 12,378 | 668,982 | 629,883 | 33,070 | 61 | 662,892 | |||||||||||||||||||||||||
Government agency mortgage-backed securities | 250,431 | 8,660 | 4,113 | 254,978 | 253,013 | 16,989 | 51 | 269,951 | |||||||||||||||||||||||||
Pooled trust preferred securities | 0 | 0 | 0 | 0 | 61,979 | 0 | 12,379 | 49,600 | |||||||||||||||||||||||||
Corporate debt securities | 26,932 | 873 | 218 | 27,587 | 24,136 | 1,265 | 44 | 25,357 | |||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 21,779 | 362 | 93 | 22,048 | 32,359 | 1,579 | 3 | 33,935 | |||||||||||||||||||||||||
Marketable equity securities | 250 | 171 | 0 | 421 | 351 | 94 | 43 | 402 | |||||||||||||||||||||||||
Total available-for-sale portfolio | $ | 2,217,165 | $ | 27,104 | $ | 58,106 | $ | 2,186,163 | $ | 1,989,938 | $ | 144,037 | $ | 12,581 | $ | 2,121,394 | |||||||||||||||||
Other Securities: | |||||||||||||||||||||||||||||||||
Federal Reserve Bank common stock | $ | 16,050 | $ | 16,050 | $ | 16,050 | $ | 16,050 | |||||||||||||||||||||||||
Federal Home Loan Bank common stock | 12,053 | 12,053 | 38,111 | 38,111 | |||||||||||||||||||||||||||||
Other equity securities | 4,459 | 4,459 | 5,078 | 5,078 | |||||||||||||||||||||||||||||
Total other securities | $ | 32,562 | $ | 32,562 | $ | 59,239 | $ | 59,239 | |||||||||||||||||||||||||
Summary of investment securities that have been in a continuous unrealized loss position for less than or greater than twelve months | ' | ||||||||||||||||||||||||||||||||
A summary of investment securities that have been in a continuous unrealized loss position for less than or greater than twelve months is as follows: | |||||||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||||||
Less than 12 Months | Total | ||||||||||||||||||||||||||||||||
12 Months or Longer | |||||||||||||||||||||||||||||||||
Gross | Gross | Gross | |||||||||||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||||||||||
(000's omitted) | # | Value | Losses | # | Value | Losses | # | Value | Losses | ||||||||||||||||||||||||
Available-for-Sale Portfolio: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency obligations | 43 | $1,181,214 | $41,304 | 0 | $0 | $0 | 43 | $1,181,214 | $41,304 | ||||||||||||||||||||||||
Obligations of state and political subdivisions | 302 | 195,526 | 11,774 | 9 | 4,974 | 604 | 311 | 200,500 | 12,378 | ||||||||||||||||||||||||
Government agency mortgage-backed securities | 43 | 68,917 | 3,262 | 6 | 8,713 | 851 | 49 | 77,630 | 4,113 | ||||||||||||||||||||||||
Corporate debt securities | 1 | 3,026 | 31 | 1 | 2,703 | 187 | 2 | 5,729 | 218 | ||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 1 | 2,601 | 93 | 1 | 7 | 0 | 2 | 2,608 | 93 | ||||||||||||||||||||||||
Total available-for-sale/investment portfolio | 390 | $1,451,284 | $56,464 | 17 | $16,397 | $1,642 | 407 | $1,467,681 | $58,106 | ||||||||||||||||||||||||
As of December 31, 2012 | |||||||||||||||||||||||||||||||||
Total | |||||||||||||||||||||||||||||||||
Less than 12 Months | 12 Months or Longer | ||||||||||||||||||||||||||||||||
Gross | Gross | Gross | |||||||||||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||||||||||
(000's omitted) | # | Value | Losses | # | Value | Losses | # | Value | Losses | ||||||||||||||||||||||||
Available-for-Sale Portfolio: | |||||||||||||||||||||||||||||||||
Obligations of state and political subdivisions | 19 | $11,503 | $61 | 0 | $0 | $0 | 19 | $11,503 | $61 | ||||||||||||||||||||||||
Pooled trust preferred securities | 0 | 0 | 0 | 3 | 49,600 | 12,379 | 3 | 49,600 | 12,379 | ||||||||||||||||||||||||
Government agency mortgage-backed securities | 8 | 14,354 | 51 | 0 | 0 | 0 | 8 | 14,354 | 51 | ||||||||||||||||||||||||
Corporate debt securities | 1 | 2,905 | 44 | 0 | 0 | 0 | 1 | 2,905 | 44 | ||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 4 | 426 | 2 | 2 | 1,041 | 1 | 6 | 1,467 | 3 | ||||||||||||||||||||||||
Marketable equity securities | 0 | 0 | 0 | 1 | 158 | 43 | 1 | 158 | 43 | ||||||||||||||||||||||||
Total available-for-sale/investment portfolio | 32 | $29,188 | $158 | 6 | $50,799 | $12,423 | 38 | $79,987 | $12,581 | ||||||||||||||||||||||||
Amortized cost and estimated fair value of debt securities by contractual maturity | ' | ||||||||||||||||||||||||||||||||
The amortized cost and estimated fair value of debt securities at December 31, 2013, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. | |||||||||||||||||||||||||||||||||
Available-for-Sale | |||||||||||||||||||||||||||||||||
Amortized | Fair | ||||||||||||||||||||||||||||||||
(000's omitted) | Cost | Value | |||||||||||||||||||||||||||||||
Due in one year or less | $ | 40,802 | $ | 41,307 | |||||||||||||||||||||||||||||
Due after one through five years | 177,826 | 184,053 | |||||||||||||||||||||||||||||||
Due after five years through ten years | 1,452,472 | 1,414,410 | |||||||||||||||||||||||||||||||
Due after ten years | 273,605 | 268,946 | |||||||||||||||||||||||||||||||
Subtotal | 1,944,705 | 1,908,716 | |||||||||||||||||||||||||||||||
Government agency mortgage-backed securities | 250,431 | 254,978 | |||||||||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 21,779 | 22,048 | |||||||||||||||||||||||||||||||
Total | $ | 2,216,915 | $ | 2,185,742 | |||||||||||||||||||||||||||||
Cash flow information on investment securities | ' | ||||||||||||||||||||||||||||||||
Cash flow information on investment securities for the years ended December 31 is as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||
Gross gains on sales of investment securities | $ | 96,258 | $ | 350 | $ | 349 | |||||||||||||||||||||||||||
Gross losses on sales of investment securities | 15,490 | 59 | 319 | ||||||||||||||||||||||||||||||
Proceeds from the maturities of mortgage-backed securities and CMO's | 83,232 | 109,843 | 97,224 | ||||||||||||||||||||||||||||||
Purchases of mortgage-backed securities and CMO's | 51,194 | 26,292 | 253,378 | ||||||||||||||||||||||||||||||
Investment securities with a carrying value of $0.978 billion and $1.176 billion at December 31, 2013 and 2012, respectively, were pledged to collateralize certain deposits and borrowings. |
LOANS_Tables
LOANS (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
LOANS [Abstract] | ' | ||||||||||||||||||||||||||||||||
Schedule of loans receivable, net | ' | ||||||||||||||||||||||||||||||||
The balance of these classes at December 31 are summarized as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Consumer mortgage | $ | 1,582,058 | $ | 1,448,415 | |||||||||||||||||||||||||||||
Business lending | 1,260,364 | 1,233,944 | |||||||||||||||||||||||||||||||
Consumer indirect | 740,002 | 647,518 | |||||||||||||||||||||||||||||||
Consumer direct | 180,139 | 171,474 | |||||||||||||||||||||||||||||||
Home equity | 346,520 | 364,225 | |||||||||||||||||||||||||||||||
Gross loans, including net deferred origination costs | 4,109,083 | 3,865,576 | |||||||||||||||||||||||||||||||
Allowance for loan losses | (44,319 | ) | (42,888 | ) | |||||||||||||||||||||||||||||
Loans, net of allowance for loan losses | $ | 4,064,764 | $ | 3,822,688 | |||||||||||||||||||||||||||||
Summary of aggregate amounts loaned to related parties of the company | ' | ||||||||||||||||||||||||||||||||
Certain directors and executive officers of the Company, as well as associates of such persons, are loan customers. Loans to these individuals were made in the ordinary course of business under normal credit terms and do not have more than a normal risk of collection. Following is a summary of the aggregate amount of such loans during 2013 and 2012. | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Balance at beginning of year | $ | 8,292 | $ | 11,550 | |||||||||||||||||||||||||||||
New loans | 3,643 | 2,259 | |||||||||||||||||||||||||||||||
Payments | (2,487 | ) | (5,517 | ) | |||||||||||||||||||||||||||||
Balance at end of year | $ | 9,448 | $ | 8,292 | |||||||||||||||||||||||||||||
Outstanding principal balance and related carrying amount of acquired loans | ' | ||||||||||||||||||||||||||||||||
Acquired loans | |||||||||||||||||||||||||||||||||
Acquired loans are recorded at fair value as of the date of purchase with no allowance for loan loss. As discussed in Note B (Acquisitions), the company acquired loans of $1 million on December 13, 2013 in its Bank of America branch acquisition, $54 million on September 7, 2012 in its acquisition of First Niagara branches, $106 million on July 20, 2012 in its HSBC branch acquisition, and $462 million on April 8, 2011 in its acquisition of Wilber. The outstanding principal balance and the related carrying amount of acquired loans included in the Consolidated Statement of Condition at December 31 are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Credit impaired acquired loans: | |||||||||||||||||||||||||||||||||
Outstanding principal balance | $ | 13,052 | $ | 19,940 | |||||||||||||||||||||||||||||
Carrying amount | 7,090 | 13,761 | |||||||||||||||||||||||||||||||
Non-impaired acquired loans: | |||||||||||||||||||||||||||||||||
Outstanding principal balance | 342,542 | 449,739 | |||||||||||||||||||||||||||||||
Carrying amount | 330,118 | 433,594 | |||||||||||||||||||||||||||||||
Total acquired loans: | |||||||||||||||||||||||||||||||||
Outstanding principal balance | 355,594 | 469,679 | |||||||||||||||||||||||||||||||
Carrying amount | 337,208 | 447,355 | |||||||||||||||||||||||||||||||
Schedule of accretable discount related to credit impaired acquired loans | ' | ||||||||||||||||||||||||||||||||
The outstanding balance related to credit impaired acquired loans was $15.5 million and $22.4 million at December 31, 2013 and 2012, respectively. The changes in the accretable discount related to the credit impaired acquired loans are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Balance at beginning of year | $ | 1,770 | $ | 2,610 | |||||||||||||||||||||||||||||
Accretion recognized | (1,025 | ) | (1,418 | ) | |||||||||||||||||||||||||||||
Net reclassification to accretable from nonaccretable | 252 | 578 | |||||||||||||||||||||||||||||||
Balance at end of year | $ | 997 | $ | 1,770 | |||||||||||||||||||||||||||||
Aged analysis of the company's past due loans by class | ' | ||||||||||||||||||||||||||||||||
Management monitors the credit quality of its loan portfolio on an ongoing basis. Measurement of delinquency and past due status are based on the contractual terms of each loan. Past due loans are reviewed on a monthly basis to identify loans for non-accrual status. The following is an aged analysis of the Company’s past due loans by class as of December 31, 2013: | |||||||||||||||||||||||||||||||||
Legacy Loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Past Due | 90+ Days Past | Nonaccrual | Total | Current | Total Loans | |||||||||||||||||||||||||||
30 - 89 | Due and | Past Due | |||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 16,589 | $ | 1,253 | $ | 11,097 | $ | 28,939 | $ | 1,473,320 | $ | 1,502,259 | |||||||||||||||||||||
Business lending | 2,960 | 164 | 3,083 | 6,207 | 1,079,818 | 1,086,025 | |||||||||||||||||||||||||||
Consumer indirect | 11,647 | 738 | 14 | 12,399 | 723,878 | 736,277 | |||||||||||||||||||||||||||
Consumer direct | 1,858 | 90 | 4 | 1,952 | 169,452 | 171,404 | |||||||||||||||||||||||||||
Home equity | 2,635 | 173 | 1,867 | 4,675 | 271,235 | 275,910 | |||||||||||||||||||||||||||
Total | $ | 35,689 | $ | 2,418 | $ | 16,065 | $ | 54,172 | $ | 3,717,703 | $ | 3,771,875 | |||||||||||||||||||||
Acquired Loans (includes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
Past Due | 90+ Days Past | Nonaccrual | Total | Acquired Impaired(1) | Current | Total Loans | |||||||||||||||||||||||||||
(000’s omitted) | 30 - 89 | Due and | Past Due | ||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 1,857 | $ | 85 | $ | 1,463 | $ | 3,405 | $ | 0 | $ | 76,394 | $ | 79,799 | |||||||||||||||||||
Business lending | 531 | 0 | 1,472 | 2,003 | 7,090 | 165,246 | 174,339 | ||||||||||||||||||||||||||
Consumer indirect | 157 | 17 | 0 | 174 | 0 | 3,551 | 3,725 | ||||||||||||||||||||||||||
Consumer direct | 385 | 27 | 0 | 412 | 0 | 8,323 | 8,735 | ||||||||||||||||||||||||||
Home equity | 592 | 8 | 473 | 1,073 | 0 | 69,537 | 70,610 | ||||||||||||||||||||||||||
Total | $ | 3,522 | $ | 137 | $ | 3,408 | $ | 7,067 | $ | 7,090 | $ | 323,051 | $ | 337,208 | |||||||||||||||||||
(1) Acquired impaired loans were not classified as nonperforming assets as the loans are considered to be performing under ASC 310-30. As a result interest income, through the accretion of the difference between the carrying amount of the loans and the expected cashflows, is being recognized on acquired impaired loans. | |||||||||||||||||||||||||||||||||
The following is an aged analysis of the Company’s past due loans by class as of December 31, 2012: | |||||||||||||||||||||||||||||||||
Legacy Loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Past Due | 90+ Days Past | Nonaccrual | Total | Current | Total Loans | |||||||||||||||||||||||||||
30 - 89 | Due and | Past Due | |||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 16,334 | $ | 1,553 | $ | 8,866 | $ | 26,753 | $ | 1,318,534 | $ | 1,345,287 | |||||||||||||||||||||
Business lending | 6,012 | 167 | 12,010 | 18,189 | 984,665 | 1,002,854 | |||||||||||||||||||||||||||
Consumer indirect | 9,743 | 73 | 0 | 9,816 | 627,541 | 637,357 | |||||||||||||||||||||||||||
Consumer direct | 1,725 | 71 | 8 | 1,804 | 154,462 | 156,266 | |||||||||||||||||||||||||||
Home equity | 4,124 | 491 | 1,044 | 5,659 | 270,798 | 276,457 | |||||||||||||||||||||||||||
Total | $ | 37,938 | $ | 2,355 | $ | 21,928 | $ | 62,221 | $ | 3,356,000 | $ | 3,418,221 | |||||||||||||||||||||
Acquired Loans (includes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
Past Due | 90+ Days Past | Nonaccrual | Total | Acquired Impaired(1) | Current | Total Loans | |||||||||||||||||||||||||||
(000’s omitted) | 30 - 89 | Due and | Past Due | ||||||||||||||||||||||||||||||
days | Still Accruing | ||||||||||||||||||||||||||||||||
Consumer mortgage | $ | 1,726 | $ | 265 | $ | 2,420 | $ | 4,411 | $ | 0 | $ | 98,717 | $ | 103,128 | |||||||||||||||||||
Business lending | 3,665 | 80 | 1,681 | 5,426 | 13,761 | 211,903 | 231,090 | ||||||||||||||||||||||||||
Consumer indirect | 434 | 0 | 0 | 434 | 0 | 9,727 | 10,161 | ||||||||||||||||||||||||||
Consumer direct | 470 | 0 | 0 | 470 | 0 | 14,738 | 15,208 | ||||||||||||||||||||||||||
Home equity | 959 | 48 | 331 | 1,338 | 0 | 86,430 | 87,768 | ||||||||||||||||||||||||||
Total | $ | 7,254 | $ | 393 | $ | 4,432 | $ | 12,079 | $ | 13,761 | $ | 421,515 | $ | 447,355 | |||||||||||||||||||
(1) Acquired impaired loans were not classified as nonperforming assets as the loans are considered to be performing under ASC 310-30. As a result interest income, through the accretion of the difference between the carrying amount of the loans and the expected cashflows, is being recognized on acquired impaired loans. | |||||||||||||||||||||||||||||||||
Schedule of business lending loans by credit quality category | ' | ||||||||||||||||||||||||||||||||
The following table shows the amount of business lending loans by credit quality category: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000’s omitted) | Legacy | Acquired | Total | Legacy | Acquired | Total | |||||||||||||||||||||||||||
Pass | $ | 908,885 | $ | 116,271 | $ | 1,025,156 | $ | 818,469 | $ | 144,869 | $ | 963,338 | |||||||||||||||||||||
Special mention | 93,600 | 24,264 | 117,864 | 92,739 | 32,328 | 125,067 | |||||||||||||||||||||||||||
Classified | 83,379 | 26,714 | 110,093 | 90,035 | 40,132 | 130,167 | |||||||||||||||||||||||||||
Doubtful | 161 | 0 | 161 | 1,611 | 0 | 1,611 | |||||||||||||||||||||||||||
Acquired impaired | 0 | 7,090 | 7,090 | 0 | 13,761 | 13,761 | |||||||||||||||||||||||||||
Total | $ | 1,086,025 | $ | 174,339 | $ | 1,260,364 | $ | 1,002,854 | $ | 231,090 | $ | 1,233,944 | |||||||||||||||||||||
Schedule of loans by credit quality indicator | ' | ||||||||||||||||||||||||||||||||
The following tables detail the balances in all loan categories except for business lending at December 31, 2013: | |||||||||||||||||||||||||||||||||
Legacy loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 1,489,909 | $ | 735,525 | $ | 171,310 | $ | 273,870 | $ | 2,670,614 | |||||||||||||||||||||||
Nonperforming | 12,350 | 752 | 94 | 2,040 | 15,236 | ||||||||||||||||||||||||||||
Total | $ | 1,502,259 | $ | 736,277 | $ | 171,404 | $ | 275,910 | $ | 2,685,850 | |||||||||||||||||||||||
Acquired loans (includes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 78,251 | $ | 3,708 | $ | 8,708 | $ | 70,129 | $ | 160,796 | |||||||||||||||||||||||
Nonperforming | 1,548 | 17 | 27 | 481 | 2,073 | ||||||||||||||||||||||||||||
Total | $ | 79,799 | $ | 3,725 | $ | 8,735 | $ | 70,610 | $ | 162,869 | |||||||||||||||||||||||
The following table details the balances in all other loan categories at December 31, 2012: | |||||||||||||||||||||||||||||||||
Legacy loans (excludes loans acquired after January 1, 2009) | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 1,334,868 | $ | 637,284 | $ | 156,187 | $ | 274,922 | $ | 2,403,261 | |||||||||||||||||||||||
Nonperforming | 10,419 | 73 | 79 | 1,535 | 12,106 | ||||||||||||||||||||||||||||
Total | $ | 1,345,287 | $ | 637,357 | $ | 156,266 | $ | 276,457 | $ | 2,415,367 | |||||||||||||||||||||||
Acquired loans (includes loans acquired after January 1, 2009 | |||||||||||||||||||||||||||||||||
(000’s omitted) | Consumer | Consumer Indirect | Consumer Direct | Home Equity | Total | ||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
Performing | $ | 100,443 | $ | 10,161 | $ | 15,208 | $ | 87,389 | $ | 213,201 | |||||||||||||||||||||||
Nonperforming | 2,685 | 0 | 0 | 379 | 3,064 | ||||||||||||||||||||||||||||
Total | $ | 103,128 | $ | 10,161 | $ | 15,208 | $ | 87,768 | $ | 216,265 | |||||||||||||||||||||||
Summary of non-business impaired loans | ' | ||||||||||||||||||||||||||||||||
All loan classes are collectively evaluated for impairment except business lending, as described in Note A. A summary of impaired loans, excluding purchased impaired, as of December 31, 2013 and 2012 are summarized as follows: | |||||||||||||||||||||||||||||||||
(000’s omitted) | 2013 | 2012 | |||||||||||||||||||||||||||||||
Loans with reserve | $ | 945 | $ | 1,611 | |||||||||||||||||||||||||||||
Loans without reserve | 600 | 7,798 | |||||||||||||||||||||||||||||||
Carrying balance | 1,545 | 9,409 | |||||||||||||||||||||||||||||||
Contractual balance | 1,852 | 12,804 | |||||||||||||||||||||||||||||||
Specifically allocated allowance | 50 | 800 | |||||||||||||||||||||||||||||||
Average impaired loans | 10,729 | 19,787 | |||||||||||||||||||||||||||||||
Interest income recognized | 18 | 185 | |||||||||||||||||||||||||||||||
Troubled debt restructurings on financing receivables | ' | ||||||||||||||||||||||||||||||||
Information regarding troubled debt restructurings as of December 31, 2013 and December 31, 2012 is as follows | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000’s omitted) | Nonaccrual | Accruing | Total | Nonaccrual | Accruing | Total | |||||||||||||||||||||||||||
# | Amount | # | Amount | # | Amount | # | Amount | # | Amount | # | Amount | ||||||||||||||||||||||
Consumer mortgage | 31 | $1,682 | 48 | $2,171 | 79 | $3,853 | 3 | $160 | 45 | $2,074 | 48 | $2,234 | |||||||||||||||||||||
Business lending | 4 | 162 | 1 | 47 | 5 | 209 | 10 | 3,046 | 0 | 0 | 10 | 3,046 | |||||||||||||||||||||
Consumer indirect | 0 | 0 | 98 | 692 | 98 | 692 | 0 | 0 | 106 | 718 | 106 | 718 | |||||||||||||||||||||
Consumer direct | 0 | 0 | 46 | 116 | 46 | 116 | 0 | 0 | 19 | 116 | 19 | 116 | |||||||||||||||||||||
Home equity | 12 | 202 | 20 | 363 | 32 | 565 | 5 | 70 | 19 | 266 | 24 | 336 | |||||||||||||||||||||
Total | 47 | $2,046 | 213 | $3,389 | 260 | $5,435 | 18 | $3,276 | 189 | $3,174 | 207 | $6,450 | |||||||||||||||||||||
The following table presents information related to loans modified in a TDR during the years ended December 31, 2013 and 2012. Of the loans noted in the table below, all loans for the year ended December 31, 2012 and all but two loans for the year ended December 31, 2013, were modified due to a Chapter 7 bankruptcy as described previously. The others were a business loan restructured via an extension of term and a consumer mortgage restructured via an extension of term and a rate concession. The financial effects of these restructurings were immaterial. | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000’s omitted) | # | Amount | # | Amount | |||||||||||||||||||||||||||||
Consumer mortgage | 31 | $1,758 | 23 | $1,176 | |||||||||||||||||||||||||||||
Business lending | 3 | 183 | 9 | 2,709 | |||||||||||||||||||||||||||||
Consumer indirect | 36 | 327 | 47 | 281 | |||||||||||||||||||||||||||||
Consumer direct | 22 | 75 | 13 | 95 | |||||||||||||||||||||||||||||
Home equity | 14 | 298 | 12 | 126 | |||||||||||||||||||||||||||||
Total | 106 | $2,641 | 104 | $4,387 | |||||||||||||||||||||||||||||
Schedule of allowance for loan losses by class | ' | ||||||||||||||||||||||||||||||||
The allowance for loan losses is general in nature and is available to absorb losses from any loan type despite the analysis below. The following presents by class the activity in the allowance for loan losses: | |||||||||||||||||||||||||||||||||
Consumer | Business | Home | Consumer | Consumer | Acquired | ||||||||||||||||||||||||||||
(000’s omitted) | Mortgage | Lending | Equity | Indirect | Direct | Unallocated | Impaired | Total | |||||||||||||||||||||||||
Balance at | $ | 4,651 | $ | 20,574 | $ | 1,130 | $ | 8,960 | $ | 3,290 | $ | 3,222 | $ | 386 | $ | 42,213 | |||||||||||||||||
31-Dec-11 | |||||||||||||||||||||||||||||||||
Charge-offs | (1,004 | ) | (5,654 | ) | (423 | ) | (5,407 | ) | (1,694 | ) | 0 | 0 | (14,182 | ) | |||||||||||||||||||
Recoveries | 59 | 1,295 | 23 | 3,551 | 821 | 0 | 0 | 5,749 | |||||||||||||||||||||||||
Provision | 3,364 | 1,798 | 721 | 2,502 | 886 | (556 | ) | 393 | 9,108 | ||||||||||||||||||||||||
Balance at | 7,070 | 18,013 | 1,451 | 9,606 | 3,303 | 2,666 | 779 | 42,888 | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||||||||||
Charge-offs | (1,012 | ) | (2,788 | ) | (650 | ) | (4,544 | ) | (1,954 | ) | 0 | (883 | ) | (11,831 | ) | ||||||||||||||||||
Recoveries | 36 | 692 | 20 | 3,488 | 1,034 | 0 | 0 | 5,270 | |||||||||||||||||||||||||
Provision | 2,900 | 1,590 | 1,009 | 1,698 | 798 | (637 | ) | 634 | 7,992 | ||||||||||||||||||||||||
Balance at | $ | 8,994 | $ | 17,507 | $ | 1,830 | $ | 10,248 | $ | 3,181 | $ | 2,029 | $ | 530 | $ | 44,319 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
PREMISES_AND_EQUIPMENT_Tables
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PREMISES AND EQUIPMENT [Abstract] | ' | ||||||||
Premises and equipment | ' | ||||||||
Premises and equipment consist of the following at December 31: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
Land and land improvements | $ | 15,714 | $ | 15,480 | |||||
Bank premises | 95,275 | 90,899 | |||||||
Equipment and construction in progress | 75,523 | 73,404 | |||||||
Premises and equipment, gross | 186,512 | 179,783 | |||||||
Accumulated depreciation | (92,876 | ) | (89,845 | ) | |||||
Premises and equipment, net | $ | 93,636 | $ | 89,938 |
GOODWILL_AND_IDENTIFIABLE_INTA1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS [Abstract] | ' | ||||||||||||||||||||||||
Gross carrying amount and accumulated amortization of identifiable intangible assets | ' | ||||||||||||||||||||||||
The gross carrying amount and accumulated amortization for each type of identifiable intangible asset are as follows: | |||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||
Gross | Net | Gross | Net | ||||||||||||||||||||||
Carrying | Accumulated | Carrying | Carrying | Accumulated | Carrying | ||||||||||||||||||||
(000's omitted) | Amount | Amortization | Amount | Amount | Amortization | Amount | |||||||||||||||||||
Amortizing intangible assets: | |||||||||||||||||||||||||
Core deposit intangibles | $ | 40,722 | $ | (27,262 | ) | $ | 13,460 | $ | 38,185 | $ | (23,693 | ) | $ | 14,492 | |||||||||||
Other intangibles | 9,441 | (7,393 | ) | 2,048 | 9,432 | (6,493 | ) | 2,939 | |||||||||||||||||
Total amortizing intangibles | $ | 50,163 | $ | (34,655 | ) | $ | 15,508 | $ | 47,617 | $ | (30,186 | ) | $ | 17,431 | |||||||||||
Estimated aggregate amortization expense | ' | ||||||||||||||||||||||||
The estimated aggregate amortization expense for each of the five succeeding fiscal years ended December 31 is as follows: | |||||||||||||||||||||||||
2014 | $ | 4,160 | |||||||||||||||||||||||
2015 | 3,296 | ||||||||||||||||||||||||
2016 | 2,515 | ||||||||||||||||||||||||
2017 | 1,828 | ||||||||||||||||||||||||
2018 | 1,359 | ||||||||||||||||||||||||
Thereafter | 2,350 | ||||||||||||||||||||||||
Total | $ | 15,508 | |||||||||||||||||||||||
Components of goodwill | ' | ||||||||||||||||||||||||
Shown below are the components of the Company’s goodwill at December 31, 2013 and 2012: | |||||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | |||||||||||||||||||||||
(000’s omitted) | 31-Dec-11 | Activity | 31-Dec-12 | Activity | 31-Dec-13 | ||||||||||||||||||||
Goodwill | $ | 349,874 | $ | 24,653 | $ | 374,527 | $ | 5,288 | $ | 379,815 | |||||||||||||||
Accumulated impairment | (4,824 | ) | 0 | (4,824 | ) | 0 | (4,824 | ) | |||||||||||||||||
Goodwill, net | $ | 345,050 | $ | 24,653 | $ | 369,703 | $ | 5,288 | $ | 374,991 | |||||||||||||||
Changes in Mortgage servicing rights | ' | ||||||||||||||||||||||||
The following table summarizes the changes in carrying value of MSRs and the associated valuation allowance: | |||||||||||||||||||||||||
(000’s omitted) | 2013 | 2012 | |||||||||||||||||||||||
Carrying value before valuation allowance at beginning of period | $ | 1,458 | $ | 2,145 | |||||||||||||||||||||
Additions | 289 | 0 | |||||||||||||||||||||||
Amortization | (529 | ) | (687 | ) | |||||||||||||||||||||
Carrying value before valuation allowance at end of period | 1,218 | 1,458 | |||||||||||||||||||||||
Valuation allowance balance at beginning of period | (430 | ) | (397 | ) | |||||||||||||||||||||
Impairment charges | (111 | ) | (279 | ) | |||||||||||||||||||||
Impairment recoveries | 541 | 246 | |||||||||||||||||||||||
Valuation allowance balance at end of period | 0 | (430 | ) | ||||||||||||||||||||||
Net carrying value at end of period | $ | 1,218 | $ | 1,028 | |||||||||||||||||||||
Fair value of MSRs at end of period | $ | 1,495 | $ | 1,028 | |||||||||||||||||||||
Principal balance of loans sold during the year | $ | 25,179 | $ | 3,554 | |||||||||||||||||||||
Principal balance of loans serviced for others | $ | 322,030 | $ | 367,241 | |||||||||||||||||||||
Custodial escrow balances maintained in connection with loans serviced for others | $ | 4,519 | $ | 5,011 | |||||||||||||||||||||
Table of key economic assumptions used to estimate fair value of MSRs | ' | ||||||||||||||||||||||||
The following table summarizes the key economic assumptions used to estimate the value of the MSRs at December 31: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Weighted-average contractual life (in years) | 19.2 | 18.8 | |||||||||||||||||||||||
Weighted-average constant prepayment rate (CPR) | 18 | % | 34.4 | % | |||||||||||||||||||||
Weighted-average discount rate | 4.5 | % | 3.1 | % |
DEPOSITS_Tables
DEPOSITS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
DEPOSITS [Abstract] | ' | ||||||||
Deposits | ' | ||||||||
Deposits consist of the following at December 31: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
Noninterest checking | $ | 1,203,346 | $ | 1,110,994 | |||||
Interest checking | 1,289,676 | 1,151,522 | |||||||
Savings | 1,010,196 | 940,985 | |||||||
Money market | 1,466,273 | 1,409,123 | |||||||
Time | 926,553 | 1,015,415 | |||||||
Total deposits | $ | 5,896,044 | $ | 5,628,039 | |||||
Maturities of time deposits in denominations of $100,000 and greater | ' | ||||||||
At December 31, 2013 and 2012, time deposits in denominations of $100,000 and greater totaled $206.4 million and $244.9 million, respectively. The approximate maturities of these time deposits at December 31, 2013 are as follows: | |||||||||
(000's omitted) | Amount | ||||||||
2014 | $ | 142,691 | |||||||
2015 | 20,938 | ||||||||
2016 | 17,880 | ||||||||
2017 | 14,347 | ||||||||
2018 | 8,213 | ||||||||
Thereafter | 2,346 | ||||||||
Total | $ | 206,415 |
BORROWINGS_Tables
BORROWINGS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
BORROWINGS [Abstract] | ' | ||||||||
Outstanding borrowings | ' | ||||||||
Outstanding borrowings at December 31 are as follows: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
FHLB overnight advance | $ | 141,900 | $ | 0 | |||||
FHLB term advances | 0 | 728,034 | |||||||
Capital lease obligations | 13 | 27 | |||||||
Subordinated debt held by unconsolidated subsidiary trusts, | |||||||||
net of discount of $430 and $454, respectively | 102,097 | 102,073 | |||||||
Total borrowings | $ | 244,010 | $ | 830,134 | |||||
Borrowings by maturity date | ' | ||||||||
Borrowings at December 31, 2013 have contractual maturity dates as follows: | |||||||||
(000's omitted, except rate) | Carrying Value | Weighted-average | |||||||
Rate at | |||||||||
31-Dec-13 | |||||||||
2-Jan-14 | $ | 141,900 | 0.4 | % | |||||
1-Feb-15 | 13 | 3.25 | % | ||||||
31-Jul-31 | 24,777 | 3.82 | % | ||||||
15-Dec-36 | 77,320 | 1.89 | % | ||||||
Total | $ | 244,010 | 1.22 | % | |||||
Preferred securities | ' | ||||||||
The terms of the preferred securities of each trust are as follows: | |||||||||
Issuance | Par | Interest | Maturity | Call | |||||
Trust | Date | Amount | Rate | Date | Price | ||||
III | 7/31/01 | $24.5 million | 3 month LIBOR plus 3.58% (3.82%) | 7/31/31 | Par | ||||
IV | 12/8/06 | $75 million | 3 month LIBOR plus 1.65% (1.89%) | 12/15/36 | Par |
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
INCOME TAXES [Abstract] | ' | ||||||||||||||||
Provision for income taxes | ' | ||||||||||||||||
The Company provides a qualified defined benefit pension to qualified employees and retirees, and other post-retirement health and life insurance benefits to certain retirees, an unfunded supplemental pension plan for certain key executives, and an unfunded stock balance plan for certain of its nonemployee directors. Using a measurement date of December 31, the following table shows the funded status of the Company's plans reconciled with amounts reported in the Company's consolidated statements of condition: | |||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||
(000's omitted) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Change in benefit obligation: | |||||||||||||||||
Benefit obligation at the beginning of year | $ | 123,739 | $ | 112,857 | $ | 3,051 | $ | 3,352 | |||||||||
Service cost | 3,988 | 3,392 | 0 | 0 | |||||||||||||
Interest cost | 4,120 | 4,393 | 88 | 114 | |||||||||||||
Participant contributions | 0 | 608 | 502 | ||||||||||||||
Deferred actuarial loss (gain) | (14,610 | ) | 9,352 | (301 | ) | (72 | ) | ||||||||||
Benefits paid | (6,063 | ) | (6,255 | ) | (1,106 | ) | (845 | ) | |||||||||
Benefit obligation at end of year | 111,174 | 123,739 | 2,340 | 3,051 | |||||||||||||
Change in plan assets: | |||||||||||||||||
Fair value of plan assets at beginning of year | 143,661 | 126,309 | 0 | 0 | |||||||||||||
Actual return of plan assets | 25,196 | 10,992 | 0 | 0 | |||||||||||||
Participant contributions | 0 | 0 | 608 | 502 | |||||||||||||
Employer contributions | 10,622 | 12,615 | 498 | 343 | |||||||||||||
Benefits paid | (6,063 | ) | (6,255 | ) | (1,106 | ) | (845 | ) | |||||||||
Fair value of plan assets at end of year | 173,416 | 143,661 | 0 | 0 | |||||||||||||
Over/(Under) funded status at year end | $ | 62,242 | $ | 19,922 | $ | (2,340 | ) | $ | (3,051 | ) | |||||||
Amounts recognized in the consolidated balance sheet were: | |||||||||||||||||
Other assets | $ | 73,790 | $ | 32,135 | $ | 0 | $ | 0 | |||||||||
Other liabilities | (11,548 | ) | (12,213 | ) | (2,340 | ) | (3,051 | ) | |||||||||
Amounts recognized in accumulated other comprehensive income (loss) (“AOCI”) were: | |||||||||||||||||
Net loss (gain) | $ | 12,905 | $ | 47,321 | $ | (25 | ) | $ | 288 | ||||||||
Net prior service cost (credit) | 797 | 141 | (2,338 | ) | (2,517 | ) | |||||||||||
Pre-tax AOCI | 13,702 | 47,462 | (2,363 | ) | (2,229 | ) | |||||||||||
Taxes | (5,095 | ) | (18,296 | ) | 901 | 848 | |||||||||||
AOCI at year end | $ | 8,607 | $ | 29,166 | $ | (1,462 | ) | $ | (1,381 | ) | |||||||
Components of the net deferred tax liability | ' | ||||||||||||||||
Components of the net deferred tax liability, included in other liabilities, as of December 31 are as follows: | |||||||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||||||
Allowance for loan losses | $ | 17,246 | $ | 16,755 | |||||||||||||
Employee benefits | 6,329 | 6,748 | |||||||||||||||
Investment securities | 4,882 | 0 | |||||||||||||||
Debt extinguishment | 1,215 | 1,517 | |||||||||||||||
Other | 1,799 | 2,292 | |||||||||||||||
Deferred tax asset | 31,471 | 27,312 | |||||||||||||||
Investment securities | 0 | 58,824 | |||||||||||||||
Intangible assets, net | 22,095 | 16,648 | |||||||||||||||
Loan origination costs | 6,883 | 6,069 | |||||||||||||||
Depreciation | 4,838 | 5,138 | |||||||||||||||
Mortgage servicing rights | 473 | 399 | |||||||||||||||
Pension | 21,735 | 5,481 | |||||||||||||||
Deferred tax liability | 56,024 | 92,559 | |||||||||||||||
Net deferred tax liability | $ | (24,553 | ) | $ | (65,247 | ) | |||||||||||
Income tax rate reconciliation | ' | ||||||||||||||||
A reconciliation of the differences between the federal statutory income tax rate and the effective tax rate for the years ended December 31 is shown in the following table: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Federal statutory income tax rate | 35 | % | 35 | % | 35 | % | |||||||||||
Increase (reduction) in taxes resulting from: | |||||||||||||||||
Tax-exempt interest | (6.3 | ) | (7.1 | ) | (7.1 | ) | |||||||||||
State income taxes, net of federal benefit | 1.3 | 2.3 | 1.6 | ||||||||||||||
Other | (1.0 | ) | (1.0 | ) | (0.1 | ) | |||||||||||
Effective income tax rate | 29 | % | 29.2 | % | 29.4 | % | |||||||||||
Reconciliation of unrecognized tax benefits | ' | ||||||||||||||||
A reconciliation of the unrecognized tax benefits for the years ended December 31 is shown in the following table: | |||||||||||||||||
(000’s omitted) | 2013 | 2012 | 2011 | ||||||||||||||
Unrecognized tax benefits at beginning of year | $ | 70 | $ | 133 | $ | 98 | |||||||||||
Changes related to: | |||||||||||||||||
Positions taken during the current year | 68 | 35 | 35 | ||||||||||||||
Settlements with taxing authorities | 0 | (98 | ) | 0 | |||||||||||||
Lapse of statutes of limitation | 0 | 0 | 0 | ||||||||||||||
Unrecognized tax benefits at end of year | $ | 138 | $ | 70 | $ | 133 |
BENEFIT_PLANS_Tables
BENEFIT PLANS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
BENEFIT PLANS [Abstract] | ' | ||||||||||||||||||||||||
Funded status of the plans reconciled with amounts reported in consolidated statement of condition. | ' | ||||||||||||||||||||||||
The Company provides a qualified defined benefit pension to qualified employees and retirees, and other post-retirement health and life insurance benefits to certain retirees, an unfunded supplemental pension plan for certain key executives, and an unfunded stock balance plan for certain of its nonemployee directors. Using a measurement date of December 31, the following table shows the funded status of the Company's plans reconciled with amounts reported in the Company's consolidated statements of condition: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||
Benefit obligation at the beginning of year | $ | 123,739 | $ | 112,857 | $ | 3,051 | $ | 3,352 | |||||||||||||||||
Service cost | 3,988 | 3,392 | 0 | 0 | |||||||||||||||||||||
Interest cost | 4,120 | 4,393 | 88 | 114 | |||||||||||||||||||||
Participant contributions | 0 | 608 | 502 | ||||||||||||||||||||||
Deferred actuarial loss (gain) | (14,610 | ) | 9,352 | (301 | ) | (72 | ) | ||||||||||||||||||
Benefits paid | (6,063 | ) | (6,255 | ) | (1,106 | ) | (845 | ) | |||||||||||||||||
Benefit obligation at end of year | 111,174 | 123,739 | 2,340 | 3,051 | |||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | 143,661 | 126,309 | 0 | 0 | |||||||||||||||||||||
Actual return of plan assets | 25,196 | 10,992 | 0 | 0 | |||||||||||||||||||||
Participant contributions | 0 | 0 | 608 | 502 | |||||||||||||||||||||
Employer contributions | 10,622 | 12,615 | 498 | 343 | |||||||||||||||||||||
Benefits paid | (6,063 | ) | (6,255 | ) | (1,106 | ) | (845 | ) | |||||||||||||||||
Fair value of plan assets at end of year | 173,416 | 143,661 | 0 | 0 | |||||||||||||||||||||
Over/(Under) funded status at year end | $ | 62,242 | $ | 19,922 | $ | (2,340 | ) | $ | (3,051 | ) | |||||||||||||||
Amounts recognized in the consolidated balance sheet were: | |||||||||||||||||||||||||
Other assets | $ | 73,790 | $ | 32,135 | $ | 0 | $ | 0 | |||||||||||||||||
Other liabilities | (11,548 | ) | (12,213 | ) | (2,340 | ) | (3,051 | ) | |||||||||||||||||
Amounts recognized in accumulated other comprehensive income (loss) (“AOCI”) were: | |||||||||||||||||||||||||
Net loss (gain) | $ | 12,905 | $ | 47,321 | $ | (25 | ) | $ | 288 | ||||||||||||||||
Net prior service cost (credit) | 797 | 141 | (2,338 | ) | (2,517 | ) | |||||||||||||||||||
Pre-tax AOCI | 13,702 | 47,462 | (2,363 | ) | (2,229 | ) | |||||||||||||||||||
Taxes | (5,095 | ) | (18,296 | ) | 901 | 848 | |||||||||||||||||||
AOCI at year end | $ | 8,607 | $ | 29,166 | $ | (1,462 | ) | $ | (1,381 | ) | |||||||||||||||
After tax amounts recognized in accumulated other comprehensive income (loss) | ' | ||||||||||||||||||||||||
Amounts recognized in accumulated other comprehensive income, net of tax, for the year ended December 31, are as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Prior service cost | $ | (46 | ) | $ | 90 | $ | 109 | $ | 503 | ||||||||||||||||
Net (gain) loss | (20,513 | ) | 2,368 | (190 | ) | (51 | ) | ||||||||||||||||||
Total | $ | (20,559 | ) | $ | 2,458 | $ | (81 | ) | $ | 452 | |||||||||||||||
Accumulated other comprehensive (income) loss into net periodic (income) cost over the next fiscal year | ' | ||||||||||||||||||||||||
The estimated costs, net of tax, that will be amortized from accumulated other comprehensive (income) loss into net periodic (income) cost over the next fiscal year are as follows: | |||||||||||||||||||||||||
Pension | Post-retirement | ||||||||||||||||||||||||
(000's omitted) | Benefits | Benefits | |||||||||||||||||||||||
Prior service credit | $ | 5 | $ | (179 | ) | ||||||||||||||||||||
Net loss | (308 | ) | 1 | ||||||||||||||||||||||
Total | $ | (303 | ) | $ | (178 | ) | |||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations | ' | ||||||||||||||||||||||||
The weighted-average assumptions used to determine the benefit obligations as of December 31 are as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||
Discount rate | 5 | % | 3.4 | % | 4.8 | % | 3.2 | % | |||||||||||||||||
Expected return on plan assets | 7 | % | 7 | % | N/ | A | N/ | A | |||||||||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | N/ | A | N/ | A | |||||||||||||||||
Net periodic benefit cost | ' | ||||||||||||||||||||||||
The net periodic benefit cost as of December 31 is as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 3,988 | $ | 3,392 | $ | 2,959 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||
Interest cost | 4,120 | 4,393 | 4,497 | 88 | 114 | 153 | |||||||||||||||||||
Expected return on plan assets | (10,149 | ) | (9,196 | ) | (8,097 | ) | 0 | 0 | 0 | ||||||||||||||||
Amortization of unrecognized net loss | 4,028 | 3,687 | 2,362 | 12 | 11 | 8 | |||||||||||||||||||
Amortization of prior service cost | 75 | (147 | ) | (149 | ) | (179 | ) | (822 | ) | (1,057 | ) | ||||||||||||||
Net periodic benefit cost | $ | 2,062 | $ | 2,129 | $ | 1,572 | $ | (79 | ) | $ | (697 | ) | $ | (896 | ) | ||||||||||
Weighted-average assumptions used to determine net periodic pension cost | ' | ||||||||||||||||||||||||
The weighted-average assumptions used to determine the net periodic pension cost for the years ended December 31 are as follows: | |||||||||||||||||||||||||
Pension Benefits | Post-retirement Benefits | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||
Discount rate | 3.4 | % | 4.1 | % | 4.4 | % | 3.2 | % | 3.9 | % | 4.5 | % | |||||||||||||
Expected return on plan assets | 7 | % | 7.5 | % | 7.5 | % | N/ | A | N/ | A | N/ | A | |||||||||||||
Rate of compensation increase | 3.5 | % | 4 | % | 4 | % | N/ | A | N/ | A | N/ | A | |||||||||||||
Amount of expected benefit payments | ' | ||||||||||||||||||||||||
The amount of benefit payments that are expected to be paid over the next ten years are as follows: | |||||||||||||||||||||||||
Pension | Post-retirement | ||||||||||||||||||||||||
(000's omitted) | Benefits | Benefits | |||||||||||||||||||||||
2014 | $ | 6,021 | $ | 230 | |||||||||||||||||||||
2015 | 7,396 | 220 | |||||||||||||||||||||||
2016 | 7,882 | 196 | |||||||||||||||||||||||
2017 | 8,110 | 194 | |||||||||||||||||||||||
2018 | 8,132 | 192 | |||||||||||||||||||||||
2019-2023 | 48,507 | 811 | |||||||||||||||||||||||
Fair value of defined benefit plan assets | ' | ||||||||||||||||||||||||
The fair values of the Company’s defined benefit pension plan assets at December 31, 2013 by asset category are as follows: | |||||||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||||||
in Active | Observable | Unobservable | |||||||||||||||||||||||
Markets for | Inputs | Inputs | |||||||||||||||||||||||
Asset category (000’s omitted) | Identical | Level 2 | Level 3 | ||||||||||||||||||||||
Assets Level 1 | |||||||||||||||||||||||||
Money Market Accounts | $ | 709 | $ | 10,231 | $ | 0 | $ | 10,940 | |||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
U.S. large-cap | 50,513 | 0 | 0 | 50,513 | |||||||||||||||||||||
U.S mid/small cap | 19,308 | 0 | 0 | 19,308 | |||||||||||||||||||||
CBSI stock | 9,913 | 0 | 0 | 9,913 | |||||||||||||||||||||
International | 33,485 | 0 | 0 | 33,485 | |||||||||||||||||||||
113,219 | 0 | 0 | 113,219 | ||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||||
Government securities | 7,676 | 6,814 | 0 | 14,490 | |||||||||||||||||||||
Investment grade bonds | 17,400 | 0 | 0 | 17,400 | |||||||||||||||||||||
International bonds | 2,712 | 0 | 0 | 2,712 | |||||||||||||||||||||
High yield(b) | 14,243 | 0 | 0 | 14,243 | |||||||||||||||||||||
42,031 | 6,814 | 0 | 48,845 | ||||||||||||||||||||||
Other types of investments: | |||||||||||||||||||||||||
Alternative investments (c) | 0 | 77 | 0 | 77 | |||||||||||||||||||||
Total (d) | $ | 155,959 | $ | 17,122 | $ | 0 | $ | 173,081 | |||||||||||||||||
The fair values of the Company’s defined benefit pension plan assets at December 31, 2012 by asset category are as follows: | |||||||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||||||
in Active | Observable | Unobservable | |||||||||||||||||||||||
Markets for | Inputs | Inputs | |||||||||||||||||||||||
Asset category (000’s omitted) | Identical | Level 2 | Level 3 | ||||||||||||||||||||||
Assets Level 1 | |||||||||||||||||||||||||
Money Market Accounts | $ | 410 | $ | 19,977 | $ | 0 | $ | 20,387 | |||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
U.S. large-cap | 40,547 | 0 | 0 | 40,547 | |||||||||||||||||||||
U.S mid/small cap | 10,311 | 0 | 0 | 10,311 | |||||||||||||||||||||
CBSI stock | 11,486 | 0 | 0 | 11,486 | |||||||||||||||||||||
International | 22,428 | 0 | 0 | 22,428 | |||||||||||||||||||||
Commodities (a) | 2,735 | 0 | 0 | 2,735 | |||||||||||||||||||||
87,507 | 0 | 0 | 87,507 | ||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||||
Government securities | 5,383 | 8,269 | 0 | 13,652 | |||||||||||||||||||||
Investment grade bonds | 10,517 | 0 | 0 | 10,517 | |||||||||||||||||||||
High yield(b) | 11,516 | 0 | 0 | 11,516 | |||||||||||||||||||||
27,416 | 8,269 | 0 | 35,685 | ||||||||||||||||||||||
Other types of investments: | |||||||||||||||||||||||||
Alternative investments (c) | 0 | 82 | 0 | 82 | |||||||||||||||||||||
Total (d) | $ | 115,333 | $ | 28,328 | $ | 0 | $ | 143,661 | |||||||||||||||||
(a) | This category includes investments in exchange-traded funds reflecting the performance of an underlying commodity index. | ||||||||||||||||||||||||
(b) | This category is exchange-traded funds representing a diversified index of high yield corporate bonds. | ||||||||||||||||||||||||
(c) This category is comprised of non-traditional investment classes including private equity funds and alternative exchange funds. | |||||||||||||||||||||||||
(d) | Excludes dividends and interest receivable totaling $335,000 and $352,000 at December 31, 2013 and 2012, respectively. |
STOCKBASED_COMPENSATION_PLANS_
STOCK-BASED COMPENSATION PLANS (Tables) | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||
STOCK-BASED COMPENSATION PLANS [Abstract] | ' | ||||||||||||||||||||||
Long-term share-based incentive program stock activity | ' | ||||||||||||||||||||||
Activity in this long-term incentive program is as follows: | |||||||||||||||||||||||
Stock Options | |||||||||||||||||||||||
Weighted-average | |||||||||||||||||||||||
Exercise Price of | |||||||||||||||||||||||
Outstanding | Shares | ||||||||||||||||||||||
Outstanding at December 31, 2011 | 2,947,215 | $ | 21.43 | ||||||||||||||||||||
Granted | 356,765 | 28.78 | |||||||||||||||||||||
Exercised | (526,141 | ) | 18.91 | ||||||||||||||||||||
Forfeited | (17,116 | ) | 21.47 | ||||||||||||||||||||
Outstanding at December 31, 2012 | 2,760,723 | 22.86 | |||||||||||||||||||||
Granted | 369,589 | 29.79 | |||||||||||||||||||||
Exercised | (840,556 | ) | 22.7 | ||||||||||||||||||||
Forfeited | (14,865 | ) | 24.45 | ||||||||||||||||||||
Outstanding at December 31, 2013 | 2,274,891 | 24.03 | |||||||||||||||||||||
Exercisable at December 31, 2013 | 1,478,489 | $ | 22.4 | ||||||||||||||||||||
Stock options outstanding and range of exercise price | ' | ||||||||||||||||||||||
The following table summarizes the information about stock options outstanding under the Company’s stock option plan at December 31, 2013: | |||||||||||||||||||||||
Options outstanding | Options exercisable | ||||||||||||||||||||||
Range of Exercise Price | Shares | Weighted | Weighted- | Shares | Weighted | ||||||||||||||||||
-average | average | -average | |||||||||||||||||||||
Exercise | Remaining | Exercise | |||||||||||||||||||||
Price | Life (years) | Price | |||||||||||||||||||||
$0.00 – $18.00 | 176,801 | $ | 17.59 | 5.14 | 176,801 | $ | 17.59 | ||||||||||||||||
$18.001 – $23.00 | 742,163 | 19.59 | 4.74 | 588,118 | 19.75 | ||||||||||||||||||
$23.001 – $28.00 | 667,072 | 25.22 | 4.14 | 546,370 | 24.75 | ||||||||||||||||||
$28.001 – $29.00 | 327,464 | 28.78 | 8.22 | 107,915 | 28.78 | ||||||||||||||||||
$29.001 – $30.00 | 361,391 | 29.79 | 9.21 | 59,285 | 29.79 | ||||||||||||||||||
TOTAL | 2,274,891 | $ | 24.03 | 5.81 | 1,478,489 | $ | 22.4 | ||||||||||||||||
Summary of valuation assumptions used to value stock options | ' | ||||||||||||||||||||||
Management estimated the fair value of options granted using the Black-Scholes option-pricing model. This model was originally developed to estimate the fair value of exchange-traded equity options, which (unlike employee stock options) have no vesting period or transferability restrictions. As a result, the Black-Scholes model is not necessarily a precise indicator of the value of an option, but it is commonly used for this purpose. The Black-Scholes model requires several assumptions, which management developed based on historical trends and current market observations. | |||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||
Weighted-average Fair Value of Options Granted | $ | 6.24 | $ | 6.4 | $ | 6.69 | |||||||||||||||||
Assumptions: | |||||||||||||||||||||||
Weighted-average expected life (in years) | 7.23 | 7.4 | 7.72 | ||||||||||||||||||||
Future dividend yield | 3.9 | % | 3.9 | % | 3.9 | % | |||||||||||||||||
Share price volatility | 31.21 | % | 31.79 | % | 32.12 | % | |||||||||||||||||
Weighted-average risk-free interest rate | 1.91 | % | 2.34 | % | 3.34 | % | |||||||||||||||||
Unvested stock awards activity | ' | ||||||||||||||||||||||
A summary of the status of the Company’s unvested restricted stock awards as of December 31, 2013, and changes during the twelve months ended December 31, 2013 and 2012, is presented below: | |||||||||||||||||||||||
Restricted | Weighted-average | ||||||||||||||||||||||
Shares | grant date fair value | ||||||||||||||||||||||
Unvested at December 31, 2011 | 269,641 | $ | 20.12 | ||||||||||||||||||||
Awards | 64,705 | 28.77 | |||||||||||||||||||||
Forfeitures | (2,743 | ) | 23.19 | ||||||||||||||||||||
Vestings | (139,520 | ) | 18.76 | ||||||||||||||||||||
Unvested at December 31, 2012 | 192,083 | 23.98 | |||||||||||||||||||||
Awards | 142,353 | 22.13 | |||||||||||||||||||||
Forfeitures | (2,896 | ) | 25.34 | ||||||||||||||||||||
Vestings | (70,575 | ) | 22.28 | ||||||||||||||||||||
Unvested at December 31, 2013 | 260,965 | $ | 23.42 |
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
EARNINGS PER SHARE [Abstract] | ' | ||||||||||||
Reconciliation of basic to diluted earnings per share | ' | ||||||||||||
The following is a reconciliation of basic to diluted earnings per share for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||
(000's omitted, except per share data) | 2013 | 2012 | 2011 | ||||||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Income attributable to unvested stock-based compensation awards | (433 | ) | (499 | ) | (553 | ) | |||||||
Income available to common shareholders | $ | 78,396 | $ | 76,569 | $ | 72,589 | |||||||
Weighted-average common shares outstanding - basic | 40,000 | 39,192 | 35,767 | ||||||||||
Basic earnings per share | $ | 1.96 | $ | 1.95 | $ | 2.03 | |||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Income attributable to unvested stock-based compensation awards | (433 | ) | (499 | ) | (553 | ) | |||||||
Income available to common shareholders | $ | 78,396 | $ | 76,569 | $ | 72,589 | |||||||
Weighted-average common shares outstanding | 40,000 | 39,192 | 35,767 | ||||||||||
Assumed exercise of stock options | 504 | 479 | 415 | ||||||||||
Weighted-average common shares outstanding – diluted | 40,504 | 39,671 | 36,182 | ||||||||||
Diluted earnings per share | $ | 1.94 | $ | 1.93 | $ | 2.01 | |||||||
Cash dividends declared per share | $ | 1.1 | $ | 1.06 | $ | 1 |
COMMITMENTS_CONTINGENT_LIABILI1
COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS [Abstract] | ' | ||||||||
Off-Balance-Sheet Financial instruments contract amount | ' | ||||||||
The contract amount of commitments and contingencies is as follows at December 31: | |||||||||
(000's omitted) | 2013 | 2012 | |||||||
Commitments to extend credit | $ | 704,904 | $ | 750,178 | |||||
Standby letters of credit | 24,449 | 24,168 | |||||||
Total | $ | 729,353 | $ | 774,346 |
LEASES_Tables
LEASES (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
LEASES [Abstract] | ' | ||||
Future minimum rental commitments | ' | ||||
The Company leases buildings, office space, and equipment under agreements that expire in various years. Rental expense included in operating expenses amounted to $5.1 million, $4.9 million and $4.2 million in 2013, 2012 and 2011, respectively. The future minimum rental commitments as of December 31, 2013 for all non-cancelable operating leases are as follows: | |||||
2014 | $ | 5,342 | |||
2015 | 4,662 | ||||
2016 | 4,442 | ||||
2017 | 3,780 | ||||
2018 | 3,161 | ||||
Thereafter | 5,138 | ||||
Total | $ | 26,525 |
REGULATORY_MATTERS_Tables
REGULATORY MATTERS (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
REGULATORY MATTERS [Abstract] | ' | ||||||||||||||||
Capital ratios and amounts | ' | ||||||||||||||||
The capital ratios and amounts of the Company and the Bank as of December 31 are presented below: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
(000's omitted) | Company | Bank | Company | Bank | |||||||||||||
Tier 1 capital to average assets | |||||||||||||||||
Amount | $ | 643,286 | $ | 547,464 | $ | 588,220 | $ | 530,753 | |||||||||
Ratio | 9.29 | % | 7.93 | % | 8.4 | % | 7.6 | % | |||||||||
Minimum required amount | $ | 276,918 | $ | 276,226 | $ | 280,151 | $ | 279,524 | |||||||||
Tier 1 capital to risk-weighted assets | |||||||||||||||||
Amount | $ | 643,286 | $ | 547,464 | $ | 588,220 | $ | 530,753 | |||||||||
Ratio | 16.42 | % | 14.03 | % | 15.09 | % | 13.66 | % | |||||||||
Minimum required amount | $ | 156,661 | $ | 156,083 | $ | 155,904 | $ | 155,392 | |||||||||
Total core capital to risk-weighted assets | |||||||||||||||||
Amount | $ | 687,946 | $ | 592,124 | $ | 631,409 | $ | 573,942 | |||||||||
Ratio | 17.57 | % | 15.17 | % | 16.2 | % | 14.77 | % | |||||||||
Minimum required amount | $ | 313,322 | $ | 312,166 | $ | 311,808 | $ | 310,784 |
PARENT_COMPANY_STATEMENTS_Tabl
PARENT COMPANY STATEMENTS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
PARENT COMPANY STATEMENTS [Abstract] | ' | ||||||||||||
Condensed balance sheet of the parent company | ' | ||||||||||||
The condensed balance sheets of the parent company at December 31 are as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | |||||||||||
Assets: | |||||||||||||
Cash and cash equivalents | $ | 83,783 | $ | 43,800 | |||||||||
Investment securities | 3,601 | 3,587 | |||||||||||
Investment in and advances to subsidiaries | 895,211 | 961,718 | |||||||||||
Other assets | 8,847 | 8,613 | |||||||||||
Total assets | $ | 991,442 | $ | 1,017,718 | |||||||||
Liabilities and shareholders' equity: | |||||||||||||
Accrued interest and other liabilities | $ | 13,533 | $ | 12,867 | |||||||||
Borrowings | 102,097 | 102,073 | |||||||||||
Shareholders' equity | 875,812 | 902,778 | |||||||||||
Total liabilities and shareholders' equity | $ | 991,442 | $ | 1,017,718 | |||||||||
Condensed statement of income of parent company | ' | ||||||||||||
The condensed statements of income of the parent company for the years ended December 31 is as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||
Revenues: | |||||||||||||
Dividends from subsidiaries | $ | 66,000 | $ | 0 | $ | 52,251 | |||||||
Interest and dividends on investments | 91 | 98 | 87 | ||||||||||
Other income | 9 | 198 | 0 | ||||||||||
Total revenues | 66,100 | 296 | 52,338 | ||||||||||
Expenses: | |||||||||||||
Interest on borrowings | 2,520 | 2,716 | 5,815 | ||||||||||
Other expenses | 61 | 155 | 273 | ||||||||||
Total expenses | 2,581 | 2,871 | 6,088 | ||||||||||
(Loss) Income before tax benefit and equity in undistributed net income of subsidiaries | 63,519 | (2,575 | ) | 46,250 | |||||||||
Income tax benefit | 862 | 1,274 | 2,237 | ||||||||||
(Loss) Income before equity in undistributed net income of subsidiaries | 64,381 | (1,301 | ) | 48,487 | |||||||||
Equity in undistributed net income of subsidiaries | 14,448 | 78,369 | 24,655 | ||||||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Comprehensive (loss)/income | $ | (2,051 | ) | $ | 102,237 | $ | 111,647 | ||||||
Statement of cash flows of the parent company | ' | ||||||||||||
The statements of cash flows of the parent company for the years ended December 31 is as follows: | |||||||||||||
(000's omitted) | 2013 | 2012 | 2011 | ||||||||||
Operating activities: | |||||||||||||
Net income | $ | 78,829 | $ | 77,068 | $ | 73,142 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities | |||||||||||||
(Gain)/loss on sale of investments | (9 | ) | 0 | 0 | |||||||||
Equity in undistributed net income of subsidiaries | (14,448 | ) | (78,369 | ) | (24,655 | ) | |||||||
Net change in other assets and other liabilities | (221 | ) | (746 | ) | (504 | ) | |||||||
Net cash provided by (used in) operating activities | 64,151 | (2,047 | ) | 47,983 | |||||||||
Investing activities: | |||||||||||||
Purchase of investment securities | 0 | (3 | ) | 0 | |||||||||
Proceeds from sale of investment securities | 114 | 30 | 2 | ||||||||||
Repayments from subsidiaries, net | 0 | 0 | 51 | ||||||||||
Capital contributions to subsidiaries | 0 | (20,081 | ) | (102,462 | ) | ||||||||
Net cash provided by (used in) investing activities | 114 | (20,054 | ) | (102,409 | ) | ||||||||
Financing activities: | |||||||||||||
Issuance of common stock | 19,200 | 67,813 | 91,714 | ||||||||||
Cash dividends paid | (43,482 | ) | (40,765 | ) | (34,404 | ) | |||||||
Net cash provided by (used in) financing activities | (24,282 | ) | 27,048 | 57,310 | |||||||||
Change in cash and cash equivalents | 39,983 | 4,947 | 2,884 | ||||||||||
Cash and cash equivalents at beginning of year | 43,800 | 38,853 | 35,969 | ||||||||||
Cash and cash equivalents at end of year | $ | 83,783 | $ | 43,800 | $ | 38,853 | |||||||
Supplemental disclosures of cash flow information: | |||||||||||||
Cash paid for interest | $ | 2,521 | $ | 2,738 | $ | 5,959 | |||||||
Supplemental disclosures of noncash financing activities | |||||||||||||
Dividends declared and unpaid | $ | 11,332 | $ | 10,699 | $ | 9,609 |
FAIR_VALUE_Tables
FAIR VALUE (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
FAIR VALUE [Abstract] | ' | ||||||||||||||||||||||||||||||||
Summary of fair value measured on a recurring basis | ' | ||||||||||||||||||||||||||||||||
A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following tables set forth the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis. There were no transfers between any of the levels for the periods presented. | |||||||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
(000's omitted) | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 1,182,261 | $ | 29,886 | $ | 0 | $ | 1,212,147 | |||||||||||||||||||||||||
Obligations of state and political subdivisions | 0 | 668,982 | 0 | 668,982 | |||||||||||||||||||||||||||||
Government agency mortgage-backed securities | 0 | 254,978 | 0 | 254,978 | |||||||||||||||||||||||||||||
Corporate debt securities | 0 | 27,587 | 0 | 27,587 | |||||||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 0 | 22,048 | 0 | 22,048 | |||||||||||||||||||||||||||||
Marketable equity securities | 421 | 0 | 0 | 421 | |||||||||||||||||||||||||||||
Total available-for-sale investment securities | 1,182,682 | 1,003,481 | 0 | 2,186,163 | |||||||||||||||||||||||||||||
Mortgage loans held for sale | 0 | 728 | 0 | 728 | |||||||||||||||||||||||||||||
Commitments to originate real estate loans for sale | 0 | 0 | 44 | 44 | |||||||||||||||||||||||||||||
Forward sales commitments | 0 | 27 | 0 | 27 | |||||||||||||||||||||||||||||
Total | $ | 1,182,682 | $ | 1,004,236 | $ | 44 | $ | 2,186,962 | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||||||||||
(000's omitted) | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 891,803 | $ | 187,454 | $ | 0 | $ | 1,079,257 | |||||||||||||||||||||||||
Obligations of state and political subdivisions | 0 | 662,892 | 0 | 662,892 | |||||||||||||||||||||||||||||
Government agency mortgage-backed securities | 0 | 269,951 | 0 | 269,951 | |||||||||||||||||||||||||||||
Pooled trust preferred securities | 0 | 0 | 49,600 | 49,600 | |||||||||||||||||||||||||||||
Government agency collateralized mortgage obligations | 0 | 33,935 | 0 | 33,935 | |||||||||||||||||||||||||||||
Corporate debt securities | 0 | 25,357 | 0 | 25,357 | |||||||||||||||||||||||||||||
Marketable equity securities | 402 | 0 | 0 | 402 | |||||||||||||||||||||||||||||
Total available-for-sale investment securities/Total | $ | 892,205 | $ | 1,179,589 | $ | 49,600 | $ | 2,121,394 | |||||||||||||||||||||||||
Changes in level 3 assets measured at fair value on a recurring basis | ' | ||||||||||||||||||||||||||||||||
The changes in Level 3 assets measured at fair value on a recurring basis are summarized in the following tables: | |||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
(000's omitted) | Pooled trust preferred | Commitments | Total | Pooled trust preferred securities | |||||||||||||||||||||||||||||
securities | to originate | ||||||||||||||||||||||||||||||||
real estate | |||||||||||||||||||||||||||||||||
loans for sale | |||||||||||||||||||||||||||||||||
Beginning balance | $ | 49,600 | $ | 0 | $ | 49,600 | $ | 43,846 | |||||||||||||||||||||||||
Total gains/(losses) included in earnings (1)(2) | (15,201 | ) | (249 | ) | (15,450 | ) | 220 | ||||||||||||||||||||||||||
Total gains/(losses) included in other comprehensive income(3) | 12,379 | 0 | 12,379 | 11,890 | |||||||||||||||||||||||||||||
Principal reductions | (5,944 | ) | 0 | (5,944 | ) | (6,356 | ) | ||||||||||||||||||||||||||
Sales | (40,834 | ) | 0 | (40,834 | ) | 0 | |||||||||||||||||||||||||||
Commitments to originate real estate loans held for sale, net | 0 | 293 | 293 | 0 | |||||||||||||||||||||||||||||
Ending balance | $ | 0 | $ | 44 | $ | 44 | $ | 49,600 | |||||||||||||||||||||||||
(1) Amounts included in earnings associated with the pooled trust preferred securities relate to accretion of related discount, which are reported in interest and dividends on taxable investments, and the loss realized upon the sale of the securities, which is included in gain on sales of investment securities, net. | |||||||||||||||||||||||||||||||||
(2) Amounts included in earnings associated with the commitments to originate real estate loans for sale are reported as a component of other banking services in the Consolidated Statement of Income. | |||||||||||||||||||||||||||||||||
(3) Amounts included in other comprehensive income associated with the pooled trust preferred securities relate to changes in unrealized loss and are reported as a component of unrealized gains/(losses) on available-for sale securities in the Statement of Comprehensive Income. | |||||||||||||||||||||||||||||||||
Assets and liabilities measured on a non-recurring basis | ' | ||||||||||||||||||||||||||||||||
Assets and liabilities measured on a non-recurring basis: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
(000's omitted) | Level 1 | Level 2 | Level 3 | Total Fair Value | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||
Impaired loans | $ | 0 | $ | 600 | $ | 0 | $ | 600 | $ | 0 | $ | 0 | $ | 1,186 | $ | 1,186 | |||||||||||||||||
Other real estate owned | 0 | 0 | 5,060 | 5,060 | 0 | 0 | 4,788 | 4,788 | |||||||||||||||||||||||||
Mortgage servicing rights | 0 | 0 | 0 | 0 | 0 | 0 | 1,028 | 1,028 | |||||||||||||||||||||||||
Total | $ | 0 | $ | 600 | $ | 5,060 | $ | 5,660 | $ | 0 | $ | 0 | $ | 7,002 | $ | 7,002 | |||||||||||||||||
Significant unobservable inputs, fair value valuation techniques | ' | ||||||||||||||||||||||||||||||||
The significant unobservable inputs used in the determination of fair value of assets classified as Level 3 on a recurring or non-recurring basis as of December 31, 2013 are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | Fair Value | Valuation Technique | Significant Unobservable Inputs | Input Range | |||||||||||||||||||||||||||||
(Weighted Average) | |||||||||||||||||||||||||||||||||
Other real estate owned | 5,060 | Fair value of collateral | Estimated cost of disposal/market adjustment | 11.0% - 54.4% (28.1 | %) | ||||||||||||||||||||||||||||
Commitments to originate | 44 | Discounted cash flow | Embedded servicing value | 1 | % | ||||||||||||||||||||||||||||
real estate loans for sale | |||||||||||||||||||||||||||||||||
The significant unobservable inputs used in the determination of fair value of assets classified as Level 3 on a recurring or non-recurring basis as of December 31, 2012 are as follows: | |||||||||||||||||||||||||||||||||
(000's omitted) | Fair Value | Valuation Technique | Significant Unobservable Inputs | Significant Unobservable Input Range | |||||||||||||||||||||||||||||
(Weighted Average) | |||||||||||||||||||||||||||||||||
Pooled trust preferred securities | $ | 49,600 | Consensus pricing | Weighting of offered quotes | 65.3% - 85.1% (78.4 | %) | |||||||||||||||||||||||||||
Impaired loans | 1,186 | Fair value of collateral | Estimated cost of disposal/market adjustment | 25.0% - 50.0% (27.5 | %) | ||||||||||||||||||||||||||||
Other real estate owned | 4,788 | Fair value of collateral | Estimated cost of disposal/market adjustment | 11.0% - 60.2% (19.9 | %) | ||||||||||||||||||||||||||||
Mortgage servicing rights | 1,028 | Discounted cash flow | Weighted average constant prepayment rate | 1.1% - 39.6% (34.4 | %) | ||||||||||||||||||||||||||||
Discount rate | 2.5% - 3.3% (3.1 | %) | |||||||||||||||||||||||||||||||
Adequate compensation | $7/loan | ||||||||||||||||||||||||||||||||
Carrying amounts and estimated Fair Values of other financial instruments | ' | ||||||||||||||||||||||||||||||||
The carrying amounts and estimated fair values of the Company’s other financial instruments that are not accounted for at fair value at December 31, 2013 and 2012 are as follows: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||||||||||||||||||
(000's omitted) | Value | Value | Value | Value | |||||||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||||||
Net loans | $ | 4,064,764 | $ | 4,044,449 | $ | 3,822,688 | $ | 3,881,354 | |||||||||||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||||||||||
Deposits | 5,896,044 | 5,898,138 | 5,628,039 | 5,635,320 | |||||||||||||||||||||||||||||
Borrowings | 141,913 | 141,913 | 728,061 | 820,377 | |||||||||||||||||||||||||||||
Subordinated debt held by unconsolidated subsidiary trusts | 102,097 | 109,284 | 102,073 | 97,899 |
DERIVATIVE_INSTRUMENTS_Tables
DERIVATIVE INSTRUMENTS (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
DERIVATIVE INSTRUMENTS [Abstract] | ' | |||||||||
Derivative Instruments Fair Value and Balance Sheet Location | ' | |||||||||
The following table presents the Company’s derivative financial instruments, their estimated fair values, and balance sheet location as of December 31, 2013: | ||||||||||
(000's omitted) | Location | Notional | Fair Value | |||||||
Derivatives not designated as hedging instruments: | ||||||||||
Forward sales commitments | Other liabilities | $ | 2,508 | $ | 27 | |||||
Commitments to originate real estate loans for sale | Other assets | 2,946 | 44 | |||||||
Total derivatives | $ | 71 | ||||||||
Derivative Instruments and Location of Net Gain or Loss In Statement of Income | ' | |||||||||
The following table presents the Company’s derivative financial instruments and the location of the net gain or loss recognized in the statement of income for the year ended December 31, 2013: | ||||||||||
(000's omitted) | Location | Gain Recognized in the Statement of | ||||||||
Income for the Year Ending | ||||||||||
31-Dec-13 | ||||||||||
Forward sales commitments | Mortgage banking and other services | $ | 27 | |||||||
Commitments to originate real estate loans for sale | Mortgage banking and other services | 44 | ||||||||
Total | $ | 71 |
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
SEGMENT INFORMATION [Abstract] | ' | ||||||||||||||||||||
Schedule of segment reporting information by segment | ' | ||||||||||||||||||||
Information about reportable segments and reconciliation of the information to the consolidated financial statements follows: | |||||||||||||||||||||
Banking | Employee | Wealth Management | Eliminations | Consolidated | |||||||||||||||||
(000's omitted) | Benefit Services | Total | |||||||||||||||||||
2013 | |||||||||||||||||||||
Net interest income | $ | 237,915 | $ | 101 | $ | 78 | $ | 0 | $ | 238,094 | |||||||||||
Provision for loan losses | 7,992 | 0 | 0 | 0 | 7,992 | ||||||||||||||||
Noninterest income | 48,030 | 39,534 | 16,265 | (1,649 | ) | 102,180 | |||||||||||||||
Amortization of intangible assets | 3,569 | 662 | 238 | 0 | 4,469 | ||||||||||||||||
Other operating expenses | 175,139 | 31,049 | 12,247 | (1,649 | ) | 216,786 | |||||||||||||||
Income before income taxes | $ | 99,245 | $ | 7,924 | $ | 3,858 | $ | 0 | $ | 111,027 | |||||||||||
Assets | $ | 7,070,866 | $ | 27,970 | $ | 13,259 | $ | (16,231 | ) | $ | 7,095,864 | ||||||||||
Goodwill | $ | 364,495 | $ | 7,836 | $ | 2,660 | $ | 0 | $ | 374,991 | |||||||||||
2012 | |||||||||||||||||||||
Net interest income | $ | 230,251 | $ | 104 | $ | 69 | $ | 0 | $ | 230,424 | |||||||||||
Provision for loan losses | 9,108 | 0 | 0 | 0 | 9,108 | ||||||||||||||||
Noninterest income | 50,422 | 36,781 | 13,549 | (1,506 | ) | 99,246 | |||||||||||||||
Amortization of intangible assets | 3,548 | 779 | 280 | 0 | 4,607 | ||||||||||||||||
Other operating expenses | 167,332 | 30,617 | 10,707 | (1,506 | ) | 207,150 | |||||||||||||||
Income before income taxes | $ | 100,685 | $ | 5,489 | $ | 2,631 | $ | 0 | $ | 108,805 | |||||||||||
Assets | $ | 7,472,628 | $ | 30,405 | $ | 12,101 | $ | (18,334 | ) | $ | 7,496,800 | ||||||||||
Goodwill | $ | 359,207 | $ | 7,836 | $ | 2,660 | $ | 0 | $ | 369,703 | |||||||||||
2011 | |||||||||||||||||||||
Net interest income | $ | 209,302 | $ | 60 | $ | 51 | $ | 0 | $ | 209,413 | |||||||||||
Provision for loan losses | 4,736 | 0 | 0 | 0 | 4,736 | ||||||||||||||||
Noninterest income | 46,921 | 32,395 | 11,228 | (1,322 | ) | 89,222 | |||||||||||||||
Amortization of intangible assets | 3,393 | 752 | 236 | 0 | 4,381 | ||||||||||||||||
Other operating expenses | 152,468 | 25,622 | 9,223 | (1,322 | ) | 185,991 | |||||||||||||||
Income before income taxes | $ | 95,626 | $ | 6,081 | $ | 1,820 | $ | 0 | $ | 103,527 | |||||||||||
Assets | $ | 6,461,694 | $ | 27,446 | $ | 11,111 | $ | (11,976 | ) | $ | 6,488,275 | ||||||||||
Goodwill | $ | 334,554 | $ | 7,836 | $ | 2,660 | $ | 0 | $ | 345,050 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Branch | |||
Nature of Operations [Abstract] | ' | ' | ' |
Number of bank branches | 183 | ' | ' |
Number of counties in New York where the bank has facilities | 35 | ' | ' |
Number of counties in Pennsylvania where the bank has facilities | 6 | ' | ' |
Impaired and Other Nonaccrual Loans [Abstract] | ' | ' | ' |
Number of days past due for loans to be placed on nonaccrual status | '90 days | ' | ' |
Threshold amount of individual commercial loans evaluated for impairment | $0.50 | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Other real estate | 5.1 | 4.8 | ' |
Advertising [Abstract] | ' | ' | ' |
Advertising costs | $3 | $2.60 | $2.50 |
Minimum [Member] | Equipment [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '3 years | ' | ' |
Minimum [Member] | Software and Hardware [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '3 years | ' | ' |
Minimum [Member] | Building and Building Improvements [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '10 years | ' | ' |
Maximum [Member] | Equipment [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '10 years | ' | ' |
Maximum [Member] | Software and Hardware [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '7 years | ' | ' |
Maximum [Member] | Building and Building Improvements [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '40 years | ' | ' |
Maximum [Member] | Land Improvements [Member] | ' | ' | ' |
Premises and Equipment [Abstract] | ' | ' | ' |
Estimated useful life | '20 years | ' | ' |
Core Deposits [Member] | Minimum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible asset useful life (amortization period) | '7 years | ' | ' |
Core Deposits [Member] | Maximum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible asset useful life (amortization period) | '20 years | ' | ' |
Customer Relationships [Member] | Minimum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible asset useful life (amortization period) | '7 years | ' | ' |
Customer Relationships [Member] | Maximum [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible asset useful life (amortization period) | '12 years | ' | ' |
ACQUISITIONS_Details
ACQUISITIONS (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Apr. 08, 2011 | Apr. 08, 2011 | Apr. 08, 2011 | Dec. 31, 2011 | Nov. 30, 2011 | Dec. 31, 2012 | Jul. 20, 2012 | Jul. 20, 2012 | Jul. 20, 2012 | Jul. 20, 2012 | Sep. 07, 2012 | Dec. 31, 2013 | Dec. 13, 2013 | |
Maximum [Member] | Maximum [Member] | Maximum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Wilber Corporation [Member] | Wilber Corporation [Member] | Wilber Corporation [Member] | Combined CAI Benefits and Wilber Corporation Acquisitions [Member] | CAI Benefits [Member] | HSBC and First Niagara [Member] | HSBC and First Niagara [Member] | HSBC and First Niagara [Member] | HSBC and First Niagara [Member] | HSBC Branch Agreement [Member] | First Niagara Branch Agreement [Member] | Bank of America Agreement [Member] | Bank of America Agreement [Member] | ||||
Core Deposits [Member] | Core Deposits From Acquisitions [Member] | Other Intangibles [Member] | Core Deposits [Member] | Core Deposits From Acquisitions [Member] | Other Intangibles [Member] | Branch | Acquired Impaired Loans [Member] | Acquired Non-Impaired Loans [Member] | Acquired Impaired Loans [Member] | Acquired Non-Impaired Loans [Member] | Branch | Branch | Branch | |||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of new branch locations included in acquisition or purchase agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | 22 | ' | ' | ' | ' | ' | ' | ' | ' | 16 | 3 | ' | 8 |
Loans acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | $462,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | $106,000,000 | $54,000,000 | ' | $1,000,000 |
Deposits acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 697,000,000 | 101,000,000 | ' | 303,000,000 |
Blended deposit premium (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.40% | 3.10% | ' | 2.40% |
Total deposit premium paid | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24,000,000 | 3,000,000 | ' | 7,300,000 |
Business acquisition, description of acquired entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'certain assets and liabilities of CAI Benefits, Inc. ("CAI"), a provider of actuarial, consulting and retirement plan administration services, with offices in New York City and Northern New Jersey. | ' | ' | ' | ' | ' | ' | ' | ' |
Assets acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Liabilities acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of shares of common stock (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,350,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash portion of purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20,400,000 | ' | ' | 22,155,000 | ' | -595,462,000 | ' | ' | ' | ' | ' | -291,980,000 | ' |
Loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | 462,300,000 | ' | ' | 462,334,000 | ' | 160,116,000 | ' | ' | ' | ' | ' | 1,106,000 | ' |
Investment securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | 297,600,000 | ' | ' | 297,573,000 | ' | 0 | ' | ' | ' | ' | ' | 0 | ' |
Deposits | ' | ' | ' | ' | ' | ' | ' | ' | ' | 771,600,000 | ' | ' | 771,554,000 | ' | 797,962,000 | ' | ' | ' | ' | ' | 303,456,000 | ' |
Borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19,700,000 | ' | ' | 19,668,000 | ' | 0 | ' | ' | ' | ' | ' | 0 | ' |
Consideration received [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Community Bank System, Inc. common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 82,580,000 | ' | 0 | ' | ' | ' | ' | ' | 0 | ' |
Cash portion of purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20,400,000 | ' | ' | 22,155,000 | ' | -595,462,000 | ' | ' | ' | ' | ' | -291,980,000 | ' |
Total net consideration paid (received) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103,000,000 | ' | ' | 104,735,000 | ' | -595,462,000 | ' | ' | ' | ' | ' | -291,980,000 | ' |
Recognized amounts of identifiable assets acquired and liabilities assumed [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26,901,000 | ' | 5,510,000 | ' | ' | ' | ' | ' | 0 | ' |
Investment securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | 297,600,000 | ' | ' | 297,573,000 | ' | 0 | ' | ' | ' | ' | ' | 0 | ' |
Loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | 462,300,000 | ' | ' | 462,334,000 | ' | 160,116,000 | ' | ' | ' | ' | ' | 1,106,000 | ' |
Premises and equipment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,360,000 | ' | 4,941,000 | ' | ' | ' | ' | ' | 2,549,000 | ' |
Accrued interest receivable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,615,000 | ' | 588,000 | ' | ' | ' | ' | ' | 5,000 | ' |
Other assets/(liabilities), net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 46,942,000 | ' | 171,000 | ' | ' | ' | ' | ' | -18,000 | ' |
Core deposit intangibles | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,016,000 | ' | 6,521,000 | ' | ' | ' | ' | ' | 2,537,000 | ' |
Other intangibles | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,858,000 | ' | 0 | ' | ' | ' | ' | ' | 9,000 | ' |
Deposits | ' | ' | ' | ' | ' | ' | ' | ' | ' | -771,600,000 | ' | ' | -771,554,000 | ' | -797,962,000 | ' | ' | ' | ' | ' | -303,456,000 | ' |
Borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | -19,700,000 | ' | ' | -19,668,000 | ' | 0 | ' | ' | ' | ' | ' | 0 | ' |
Total identifiable assets/(liabilities), net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57,377,000 | ' | -620,115,000 | ' | ' | ' | ' | ' | -297,268,000 | ' |
Goodwill | 374,991,000 | 369,703,000 | 345,050,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 47,358,000 | ' | 24,653,000 | ' | ' | ' | ' | ' | 5,288,000 | ' |
Summary of loans acquired [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contractually required principal and interest at acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | 722,246,000 | 41,730,000 | 680,516,000 | ' | ' | ' | 201,745,000 | 0 | 201,745,000 | ' | ' | ' | ' |
Contractual cash flows not expected to be collected | ' | ' | ' | ' | ' | ' | ' | ' | ' | -51,176,000 | -20,061,000 | -31,115,000 | ' | ' | ' | -3,555,000 | 0 | -3,555,000 | ' | ' | ' | ' |
Expected cash flows at acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | 671,070,000 | 21,669,000 | 649,401,000 | ' | ' | ' | 198,190,000 | 0 | 198,190,000 | ' | ' | ' | ' |
Interest component of expected cash flows | ' | ' | ' | ' | ' | ' | ' | ' | ' | -208,736,000 | -2,509,000 | -206,227,000 | ' | ' | ' | -38,074,000 | 0 | -38,074,000 | ' | ' | ' | ' |
Fair value of acquired loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | 462,334,000 | 19,160,000 | 443,174,000 | ' | ' | ' | 160,116,000 | 0 | 160,116,000 | ' | ' | ' | ' |
Merger and acquisition integration related expenses | $2,200,000 | $5,700,000 | $4,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated useful life of core deposit intangible and other intangible | ' | ' | ' | '20 years | '10 years | '10 years | '7 years | '8 years | '8 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INVESTMENT_SECURITIES_Details
INVESTMENT SECURITIES (Details) (USD $) | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Position | Position | |||
Held-to-Maturity Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | $0 | $637,894,000 | ' |
Gross Unrealized Gains | ' | 0 | 66,063,000 | ' |
Gross Unrealized Losses | ' | 0 | 0 | ' |
Fair Value | ' | 0 | 703,957,000 | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 2,217,165,000 | 1,989,938,000 | ' |
Gross Unrealized Gains | ' | 27,104,000 | 144,037,000 | ' |
Gross Unrealized Losses | ' | 58,106,000 | 12,581,000 | ' |
Fair value | ' | 2,186,163,000 | 2,121,394,000 | ' |
Other Equity Securities [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 32,562,000 | 59,239,000 | ' |
Estimated Fair Value | ' | 32,562,000 | 59,239,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | 390 | 32 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | 17 | 6 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | 407 | 38 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | 1,451,284,000 | 29,188,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | 16,397,000 | 50,799,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | 1,467,681,000 | 79,987,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | 56,464,000 | 158,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | 1,642,000 | 12,423,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | 58,106,000 | 12,581,000 | ' |
Available-for-Sale Securities, Debt Maturities, Amortized Cost [Abstract] | ' | ' | ' | ' |
Available-for-sale securities, Amortized Cost, Due in one year or less | ' | 40,802,000 | ' | ' |
Available-for-sale securities, Amortized Cost, Due in one to five years | ' | 177,826,000 | ' | ' |
Available-for-sale securities, Amortized Cost, Due in five through ten years | ' | 1,452,472,000 | ' | ' |
Available-for-sale securities, Amortized Cost, Due after ten years | ' | 273,605,000 | ' | ' |
Available-for-sale Securities, Amortized Cost, with a single maturity date, Subtotal | ' | 1,944,705,000 | ' | ' |
Available-for-sale government agency mortgage-backed securities, amortized cost, without a single maturity date | ' | 250,431,000 | ' | ' |
Available-for-sale government agency collateralized mortgage obligations, amortized cost, without a single maturity date | ' | 21,779,000 | ' | ' |
Available-for-sale securities, Amortized Cost | ' | 2,216,915,000 | ' | ' |
Available-for-Sale Securities, Debt Maturities, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale securities, Fair value, Due in one year or less | ' | 41,307,000 | ' | ' |
Available-for-sale securities, Fair value, Due in one to five years | ' | 184,053,000 | ' | ' |
Available-for-sale securities, Fair value, Due in five through ten years | ' | 1,414,410,000 | ' | ' |
Available-for-sale securities, Fair value, Due after ten years | ' | 268,946,000 | ' | ' |
Available-for-sale Securities, Fair Value, Subtotal | ' | 1,908,716,000 | ' | ' |
Available-for-sale government agency mortgage-backed securities, fair value, without single maturity date | ' | 254,978,000 | ' | ' |
Available-for-sale government agency collateralized mortgage obligations, fair value, without single maturity date | ' | 22,048,000 | ' | ' |
Available-for-sale securities, Fair value | ' | 2,185,742,000 | ' | ' |
Pooled trust preferred, class A-1 securities, realized loss | ' | 15,500,000 | ' | ' |
U.S. Treasury securities held-to-maturity sales, book value | ' | 417,600,000 | ' | ' |
Held-to-maturity, realized gains | ' | 32,400,000 | ' | ' |
Held-to-maturity transferred to available-for-sale, book value | ' | 198,900,000 | ' | ' |
Held-to-maturity transferred to available-for-sale, unrealized losses | ' | 1,800,000 | ' | ' |
U.S. Treasury and agency securities sold due to balance sheet restructuring | 648,700,000 | ' | ' | ' |
Gains on investment securities sold due to balance sheet restructuring | 63,800,000 | ' | ' | ' |
Cash flow information on investment securities [Abstract] | ' | ' | ' | ' |
Gross gains on sales of investment securities | ' | 96,258,000 | 350,000 | 349,000 |
Gross losses on sales of investment securities | ' | 15,490,000 | 59,000 | 319,000 |
Proceeds from the maturities of mortgage backed securities and CMO's | ' | 83,232,000 | 109,843,000 | 97,224,000 |
Purchases of mortgage backed securities and CMO's | ' | 51,194,000 | 26,292,000 | 253,378,000 |
Investment securities pledged to collateralize certain deposits and borrowings | ' | 978,000,000 | 1,176,000,000 | ' |
U.S. Treasury and Agency Securities [Member] | ' | ' | ' | ' |
Held-to-Maturity Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 0 | 548,634,000 | ' |
Gross Unrealized Gains | ' | 0 | 59,081,000 | ' |
Gross Unrealized Losses | ' | 0 | 0 | ' |
Fair Value | ' | 0 | 607,715,000 | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 1,252,332,000 | 988,217,000 | ' |
Gross Unrealized Gains | ' | 1,119,000 | 91,040,000 | ' |
Gross Unrealized Losses | ' | 41,304,000 | 0 | ' |
Fair value | ' | 1,212,147,000 | 1,079,257,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | 43 | ' | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | 0 | ' | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | 43 | ' | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | 1,181,214,000 | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | 0 | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | 1,181,214,000 | ' | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | 41,304,000 | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | 0 | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | 41,304,000 | ' | ' |
Obligations of State and Political Subdivisions [Member] | ' | ' | ' | ' |
Held-to-Maturity Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 0 | 65,742,000 | ' |
Gross Unrealized Gains | ' | 0 | 5,850,000 | ' |
Gross Unrealized Losses | ' | 0 | 0 | ' |
Fair Value | ' | 0 | 71,592,000 | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 665,441,000 | 629,883,000 | ' |
Gross Unrealized Gains | ' | 15,919,000 | 33,070,000 | ' |
Gross Unrealized Losses | ' | 12,378,000 | 61,000 | ' |
Fair value | ' | 668,982,000 | 662,892,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | 302 | 19 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | 9 | 0 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | 311 | 19 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | 195,526,000 | 11,503,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | 4,974,000 | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | 200,500,000 | 11,503,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | 11,774,000 | 61,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | 604,000 | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | 12,378,000 | 61,000 | ' |
Government Agency Mortgage-Backed Securities [Member] | ' | ' | ' | ' |
Held-to-Maturity Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 0 | 20,578,000 | ' |
Gross Unrealized Gains | ' | 0 | 1,079,000 | ' |
Gross Unrealized Losses | ' | 0 | 0 | ' |
Fair Value | ' | 0 | 21,657,000 | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 250,431,000 | 253,013,000 | ' |
Gross Unrealized Gains | ' | 8,660,000 | 16,989,000 | ' |
Gross Unrealized Losses | ' | 4,113,000 | 51,000 | ' |
Fair value | ' | 254,978,000 | 269,951,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | 43 | 8 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | 6 | 0 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | 49 | 8 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | 68,917,000 | 14,354,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | 8,713,000 | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | 77,630,000 | 14,354,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | 3,262,000 | 51,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | 851,000 | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | 4,113,000 | 51,000 | ' |
Government Agency Collateralized Mortgage Obligations [Member] | ' | ' | ' | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 21,779,000 | 32,359,000 | ' |
Gross Unrealized Gains | ' | 362,000 | 1,579,000 | ' |
Gross Unrealized Losses | ' | 93,000 | 3,000 | ' |
Fair value | ' | 22,048,000 | 33,935,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | 1 | 4 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | 1 | 2 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | 2 | 6 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | 2,601,000 | 426,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | 7,000 | 1,041,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | 2,608,000 | 1,467,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | 93,000 | 2,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | 0 | 1,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | 93,000 | 3,000 | ' |
Pooled Trust Preferred Securities [Member] | ' | ' | ' | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 0 | 61,979,000 | ' |
Gross Unrealized Gains | ' | 0 | 0 | ' |
Gross Unrealized Losses | ' | 0 | 12,379,000 | ' |
Fair value | ' | 0 | 49,600,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | ' | 0 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | ' | 3 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | ' | 3 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | ' | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | ' | 49,600,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | ' | 49,600,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | ' | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | ' | 12,379,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | ' | 12,379,000 | ' |
Corporate Debt Securities [Member] | ' | ' | ' | ' |
Held-to-Maturity Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 0 | 2,924,000 | ' |
Gross Unrealized Gains | ' | 0 | 53,000 | ' |
Gross Unrealized Losses | ' | 0 | 0 | ' |
Fair Value | ' | 0 | 2,977,000 | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 26,932,000 | 24,136,000 | ' |
Gross Unrealized Gains | ' | 873,000 | 1,265,000 | ' |
Gross Unrealized Losses | ' | 218,000 | 44,000 | ' |
Fair value | ' | 27,587,000 | 25,357,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | 1 | 1 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | 1 | 0 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | 2 | 1 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | 3,026,000 | 2,905,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | 2,703,000 | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | 5,729,000 | 2,905,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | 31,000 | 44,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | 187,000 | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | 218,000 | 44,000 | ' |
Marketable Equity Security [Member] | ' | ' | ' | ' |
Available-for-Sale Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 250,000 | 351,000 | ' |
Gross Unrealized Gains | ' | 171,000 | 94,000 | ' |
Gross Unrealized Losses | ' | 0 | 43,000 | ' |
Fair value | ' | 421,000 | 402,000 | ' |
Available-for-Sale Securities in Unrealized Loss Positions, Number of Positions [Abstract] | ' | ' | ' | ' |
Available For Sale Securities In Unrealized Loss Positions Less Than 12 Months Qualitative Disclosure Number Of Positions | ' | ' | 0 | ' |
Available-for-sale securities in unrealized loss positions for 12 Months or Longer, number of positions | ' | ' | 1 | ' |
Total available-for-sale securities in unrealized loss positions, number of positions | ' | ' | 1 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Fair value [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Fair Value | ' | ' | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Fair Value | ' | ' | 158,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Fair Value | ' | ' | 158,000 | ' |
Available-for-Sale Securities, in Unrealized Loss Position, Gross Unrealized Losses [Abstract] | ' | ' | ' | ' |
Available-for-sale Securities, Unrealized Loss Position, Less than 12 Months, Gross unrealized losses | ' | ' | 0 | ' |
Available-for-sale Securities, Unrealized Loss Position, 12 Months or Longer, Gross unrealized losses | ' | ' | 43,000 | ' |
Available-for-sale Securities, Unrealized Loss Position, Gross unrealized losses | ' | ' | 43,000 | ' |
Federal Home Loan Bank Common Stock [Member] | ' | ' | ' | ' |
Other Equity Securities [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 12,053,000 | 38,111,000 | ' |
Estimated Fair Value | ' | 12,053,000 | 38,111,000 | ' |
Federal Reserve Bank Common Stock [Member] | ' | ' | ' | ' |
Other Equity Securities [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 16,050,000 | 16,050,000 | ' |
Estimated Fair Value | ' | 16,050,000 | 16,050,000 | ' |
Other Securities [Member] | ' | ' | ' | ' |
Held-to-Maturity Portfolio [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 0 | 16,000 | ' |
Gross Unrealized Gains | ' | 0 | 0 | ' |
Gross Unrealized Losses | ' | 0 | 0 | ' |
Fair Value | ' | 0 | 16,000 | ' |
Other Equity Securities [Member] | ' | ' | ' | ' |
Other Equity Securities [Abstract] | ' | ' | ' | ' |
Amortized Cost | ' | 4,459,000 | 5,078,000 | ' |
Estimated Fair Value | ' | $4,459,000 | $5,078,000 | ' |
LOANS_Loan_Summary_Details
LOANS, Loan Summary (Details) (USD $) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Apr. 08, 2011 | Jul. 20, 2012 | Sep. 07, 2012 | Dec. 13, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Wilber Corporation [Member] | HSBC Branch Agreement [Member] | First Niagara Branch Agreement [Member] | Bank of America Agreement [Member] | Consumer Mortgage [Member] | Consumer Mortgage [Member] | Business Lending [Member] | Business Lending [Member] | Consumer Indirect [Member] | Consumer Indirect [Member] | Consumer Direct [Member] | Consumer Direct [Member] | Home Equity [Member] | Home Equity [Member] | ||||
Loans receivable, net [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Typical contract term of consumer mortgages, minimum | '15 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Typical contract term of consumer mortgages, maximum | '30 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Typical contract term of home equity loans, maximum | '30 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gross loans, including deferred origination costs | $4,109,083,000 | $3,865,576,000 | ' | ' | ' | ' | ' | $1,582,058,000 | $1,448,415,000 | $1,260,364,000 | $1,233,944,000 | $740,002,000 | $647,518,000 | $180,139,000 | $171,474,000 | $346,520,000 | $364,225,000 |
Allowance for loan losses | -44,319,000 | -42,888,000 | -42,213,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loans | 4,064,764,000 | 3,822,688,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net deferred loan origination costs | 18,500,000 | 16,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans receivable, related parties [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at beginning of year | 8,292,000 | 11,550,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
New loans | 3,643,000 | 2,259,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments | -2,487,000 | -5,517,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at end of year | 9,448,000 | 8,292,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans Acquired | ' | ' | ' | 462,300,000 | 106,000,000 | 54,000,000 | 1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit impaired acquired loans: [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding principal balance | 13,052,000 | 19,940,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying amount | 7,090,000 | 13,761,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-impaired acquired loans [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding principal balance | 342,542,000 | 449,739,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying amount | 330,118,000 | 433,594,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total acquired loans [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding principal balance | 355,594,000 | 469,679,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying amount | 337,208,000 | 447,355,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Certain loans acquired in transfer credit impaired loans | 15,500,000 | 22,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accretable discount related to acquired loans [Roll forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | 1,770,000 | 2,610,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accretion recognized | -1,025,000 | -1,418,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net reclassification to accretable from nonaccretable | 252,000 | 578,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ending Balance | $997,000 | $1,770,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
LOANS_Credit_Quality_By_Past_D
LOANS, Credit Quality By Past Due Status (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Total Loans | $4,109,083 | $3,865,576 | ||
Legacy Loan [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 35,689 | 37,938 | ||
90 + Days Past Due and Still Accruing | 2,418 | 2,355 | ||
Nonaccrual | 16,065 | 21,928 | ||
Total Past Due | 54,172 | 62,221 | ||
Current | 3,717,703 | 3,356,000 | ||
Total Loans | 3,771,875 | 3,418,221 | ||
Acquired Loans [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 3,522 | 7,254 | ||
90 + Days Past Due and Still Accruing | 137 | 393 | ||
Nonaccrual | 3,408 | 4,432 | ||
Total Past Due | 7,067 | 12,079 | ||
Acquired Impaired | 7,090 | [1] | 13,761 | [1] |
Current | 323,051 | 421,515 | ||
Total Loans | 337,208 | 447,355 | [1] | |
Consumer Mortgage [Member] | Legacy Loan [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 16,589 | 16,334 | ||
90 + Days Past Due and Still Accruing | 1,253 | 1,553 | ||
Nonaccrual | 11,097 | 8,866 | ||
Total Past Due | 28,939 | 26,753 | ||
Current | 1,473,320 | 1,318,534 | ||
Total Loans | 1,502,259 | 1,345,287 | ||
Consumer Mortgage [Member] | Acquired Loans [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 1,857 | 1,726 | ||
90 + Days Past Due and Still Accruing | 85 | 265 | ||
Nonaccrual | 1,463 | 2,420 | ||
Total Past Due | 3,405 | 4,411 | ||
Acquired Impaired | 0 | [1] | 0 | [1] |
Current | 76,394 | 98,717 | ||
Total Loans | 79,799 | 103,128 | [1] | |
Business Lending [Member] | Legacy Loan [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 2,960 | 6,012 | ||
90 + Days Past Due and Still Accruing | 164 | 167 | ||
Nonaccrual | 3,083 | 12,010 | ||
Total Past Due | 6,207 | 18,189 | ||
Current | 1,079,818 | 984,665 | ||
Total Loans | 1,086,025 | 1,002,854 | ||
Business Lending [Member] | Acquired Loans [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 531 | 3,665 | ||
90 + Days Past Due and Still Accruing | 0 | 80 | ||
Nonaccrual | 1,472 | 1,681 | ||
Total Past Due | 2,003 | 5,426 | ||
Acquired Impaired | 7,090 | [1] | 13,761 | [1] |
Current | 165,246 | 211,903 | ||
Total Loans | 174,339 | 231,090 | [1] | |
Consumer Indirect [Member] | Legacy Loan [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 11,647 | 9,743 | ||
90 + Days Past Due and Still Accruing | 738 | 73 | ||
Nonaccrual | 14 | 0 | ||
Total Past Due | 12,399 | 9,816 | ||
Current | 723,878 | 627,541 | ||
Total Loans | 736,277 | 637,357 | ||
Consumer Indirect [Member] | Acquired Loans [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 157 | 434 | ||
90 + Days Past Due and Still Accruing | 17 | 0 | ||
Nonaccrual | 0 | 0 | ||
Total Past Due | 174 | 434 | ||
Acquired Impaired | 0 | [1] | 0 | [1] |
Current | 3,551 | 9,727 | ||
Total Loans | 3,725 | 10,161 | [1] | |
Consumer Direct [Member] | Legacy Loan [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 1,858 | 1,725 | ||
90 + Days Past Due and Still Accruing | 90 | 71 | ||
Nonaccrual | 4 | 8 | ||
Total Past Due | 1,952 | 1,804 | ||
Current | 169,452 | 154,462 | ||
Total Loans | 171,404 | 156,266 | ||
Consumer Direct [Member] | Acquired Loans [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 385 | 470 | ||
90 + Days Past Due and Still Accruing | 27 | 0 | ||
Nonaccrual | 0 | 0 | ||
Total Past Due | 412 | 470 | ||
Acquired Impaired | 0 | [1] | 0 | [1] |
Current | 8,323 | 14,738 | ||
Total Loans | 8,735 | 15,208 | [1] | |
Home Equity [Member] | Legacy Loan [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 2,635 | 4,124 | ||
90 + Days Past Due and Still Accruing | 173 | 491 | ||
Nonaccrual | 1,867 | 1,044 | ||
Total Past Due | 4,675 | 5,659 | ||
Current | 271,235 | 270,798 | ||
Total Loans | 275,910 | 276,457 | ||
Home Equity [Member] | Acquired Loans [Member] | ' | ' | ||
Aged analysis of the company's loans [Abstract] | ' | ' | ||
Past Due 30 - 89 Days | 592 | 959 | ||
90 + Days Past Due and Still Accruing | 8 | 48 | ||
Nonaccrual | 473 | 331 | ||
Total Past Due | 1,073 | 1,338 | ||
Acquired Impaired | 0 | [1] | 0 | [1] |
Current | 69,537 | 86,430 | ||
Total Loans | $70,610 | $87,768 | [1] | |
[1] | Acquired impaired loans were not classified as nonperforming assets as the loans are considered to be performingunder ASC 310-30. As a result interest income, through the accretion of the difference between the carryingamount of the loans and the expected cashflows, is being recognized on acquired impaired loans. |
LOANS_Amount_of_Business_Lendi
LOANS, Amount of Business Lending Loans by Credit Quality Category (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | |
In Thousands, unless otherwise specified | |||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | $4,109,083 | $3,865,576 | |
Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 1,260,364 | 1,233,944 | |
Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 3,771,875 | 3,418,221 | |
Legacy Loan [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 1,086,025 | 1,002,854 | |
Legacy Loan [Member] | All Other Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 2,685,850 | 2,415,367 | |
Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 337,208 | 447,355 | [1] |
Acquired Loans [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 174,339 | 231,090 | |
Acquired Loans [Member] | All Other Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 162,869 | 216,265 | |
Pass [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 1,025,156 | 963,338 | |
Pass [Member] | Legacy Loan [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 908,885 | 818,469 | |
Pass [Member] | Acquired Loans [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 116,271 | 144,869 | |
Special Mention [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 117,864 | 125,067 | |
Special Mention [Member] | Legacy Loan [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 93,600 | 92,739 | |
Special Mention [Member] | Acquired Loans [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 24,264 | 32,328 | |
Classified [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 110,093 | 130,167 | |
Classified [Member] | Legacy Loan [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 83,379 | 90,035 | |
Classified [Member] | Acquired Loans [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 26,714 | 40,132 | |
Doubtful [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 161 | 1,611 | |
Doubtful [Member] | Legacy Loan [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 161 | 1,611 | |
Doubtful [Member] | Acquired Loans [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 0 | 0 | |
Acquired Impaired [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 7,090 | 13,761 | |
Acquired Impaired [Member] | Legacy Loan [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 0 | 0 | |
Acquired Impaired [Member] | Acquired Loans [Member] | Business Lending [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 7,090 | 13,761 | |
Performing [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 2,670,614 | 2,403,261 | |
Performing [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 160,796 | 213,201 | |
Nonperforming [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 15,236 | 12,106 | |
Nonperforming [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 2,073 | 3,064 | |
Consumer Mortgage [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 1,502,259 | 1,345,287 | |
Consumer Mortgage [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 79,799 | 103,128 | [1] |
Consumer Mortgage [Member] | Performing [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 1,489,909 | 1,334,868 | |
Consumer Mortgage [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 78,251 | 100,443 | |
Consumer Mortgage [Member] | Nonperforming [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 12,350 | 10,419 | |
Consumer Mortgage [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 1,548 | 2,685 | |
Consumer Indirect [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 736,277 | 637,357 | |
Consumer Indirect [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 3,725 | 10,161 | [1] |
Consumer Indirect [Member] | Performing [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 735,525 | 637,284 | |
Consumer Indirect [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 3,708 | 10,161 | |
Consumer Indirect [Member] | Nonperforming [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 752 | 73 | |
Consumer Indirect [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 17 | 0 | |
Consumer Direct [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 171,404 | 156,266 | |
Consumer Direct [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 8,735 | 15,208 | [1] |
Consumer Direct [Member] | Performing [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 171,310 | 156,187 | |
Consumer Direct [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 8,708 | 15,208 | |
Consumer Direct [Member] | Nonperforming [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 94 | 79 | |
Consumer Direct [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 27 | 0 | |
Home Equity [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 275,910 | 276,457 | |
Home Equity [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 70,610 | 87,768 | [1] |
Home Equity [Member] | Performing [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 273,870 | 274,922 | |
Home Equity [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 70,129 | 87,389 | |
Home Equity [Member] | Nonperforming [Member] | Legacy Loan [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | 2,040 | 1,535 | |
Home Equity [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' | |
Financing Receivable, Recorded Investment [Line Items] | ' | ' | |
Loans | $481 | $379 | |
[1] | Acquired impaired loans were not classified as nonperforming assets as the loans are considered to be performingunder ASC 310-30. As a result interest income, through the accretion of the difference between the carryingamount of the loans and the expected cashflows, is being recognized on acquired impaired loans. |
LOANS_Troubled_Debt_Restructur
LOANS, Troubled Debt Restructuring (TDR) (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | |||
Loan | Loan | |||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Individual commercial loan evaluated for impairment, minimum | $500,000 | ' | ||
TDR included in general loan loss allocation and the qualitative review, maximum | 500,000 | ' | ||
Troubled debt restructurings , Nonaccrual, Number of loans | 47 | 18 | ||
Troubled debt restructurings, Nonaccrual amount | 2,046,000 | 3,276,000 | ||
Troubled debt restructurings accruing, Number of loans | 213 | [1] | 189 | [1] |
Troubled debt restructurings , Accruing amount | 3,389,000 | 3,174,000 | ||
Troubled Debt Restructurings, Total number of loans | 260 | 207 | ||
Troubled debt restructurings , Total | 5,435,000 | 6,450,000 | ||
TDR occurring during the year, Number of contracts | 106 | 104 | ||
TDR occurring during the year, post-modification recorded investment | 2,641,000 | 4,387,000 | ||
Consumer Mortgage [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Troubled debt restructurings , Nonaccrual, Number of loans | 31 | 3 | ||
Troubled debt restructurings, Nonaccrual amount | 1,682,000 | 160,000 | ||
Troubled debt restructurings accruing, Number of loans | 48 | [1] | 45 | [1] |
Troubled debt restructurings , Accruing amount | 2,171,000 | 2,074,000 | ||
Troubled Debt Restructurings, Total number of loans | 79 | 48 | ||
Troubled debt restructurings , Total | 3,853,000 | 2,234,000 | ||
TDR occurring during the year, Number of contracts | 31 | 23 | ||
TDR occurring during the year, post-modification recorded investment | 1,758,000 | 1,176,000 | ||
Business Lending [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Troubled debt restructurings , Nonaccrual, Number of loans | 4 | 10 | ||
Troubled debt restructurings, Nonaccrual amount | 162,000 | 3,046,000 | ||
Troubled debt restructurings accruing, Number of loans | 1 | [1] | 0 | [1] |
Troubled debt restructurings , Accruing amount | 47,000 | 0 | ||
Troubled Debt Restructurings, Total number of loans | 5 | 10 | ||
Troubled debt restructurings , Total | 209,000 | 3,046,000 | ||
TDR occurring during the year, Number of contracts | 3 | 9 | ||
TDR occurring during the year, post-modification recorded investment | 183,000 | 2,709,000 | ||
Consumer Indirect [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Troubled debt restructurings , Nonaccrual, Number of loans | 0 | 0 | ||
Troubled debt restructurings, Nonaccrual amount | 0 | 0 | ||
Troubled debt restructurings accruing, Number of loans | 98 | [1] | 106 | [1] |
Troubled debt restructurings , Accruing amount | 692,000 | 718,000 | ||
Troubled Debt Restructurings, Total number of loans | 98 | 106 | ||
Troubled debt restructurings , Total | 692,000 | 718,000 | ||
TDR occurring during the year, Number of contracts | 36 | 47 | ||
TDR occurring during the year, post-modification recorded investment | 327,000 | 281,000 | ||
Consumer Direct [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Troubled debt restructurings , Nonaccrual, Number of loans | 0 | 0 | ||
Troubled debt restructurings, Nonaccrual amount | 0 | 0 | ||
Troubled debt restructurings accruing, Number of loans | 46 | [1] | 19 | [1] |
Troubled debt restructurings , Accruing amount | 116,000 | 116,000 | ||
Troubled Debt Restructurings, Total number of loans | 46 | 19 | ||
Troubled debt restructurings , Total | 116,000 | 116,000 | ||
TDR occurring during the year, Number of contracts | 22 | 13 | ||
TDR occurring during the year, post-modification recorded investment | 75,000 | 95,000 | ||
Home Equity [Member] | ' | ' | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ||
Troubled debt restructurings , Nonaccrual, Number of loans | 12 | 5 | ||
Troubled debt restructurings, Nonaccrual amount | 202,000 | 70,000 | ||
Troubled debt restructurings accruing, Number of loans | 20 | [1] | 19 | [1] |
Troubled debt restructurings , Accruing amount | 363,000 | 266,000 | ||
Troubled Debt Restructurings, Total number of loans | 32 | 24 | ||
Troubled debt restructurings , Total | 565,000 | 336,000 | ||
TDR occurring during the year, Number of contracts | 14 | 12 | ||
TDR occurring during the year, post-modification recorded investment | $298,000 | $126,000 | ||
[1] | Accruing loans have demonstrated a period of at least six months of payment performance under the restructured terms and are excluded from nonperforming loans. |
LOANS_Allowance_For_Loan_Losse
LOANS, Allowance For Loan Losses (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Impaired loans [Abstract] | ' | ' | ' |
Loans with reserve | $945 | $1,611 | ' |
Loans without reserve | 600 | 7,798 | ' |
Carrying balance | 1,545 | 9,409 | ' |
Contractual balance | 1,852 | 12,804 | ' |
Specifically allocated allowance | 50 | 800 | ' |
Average impaired loans | 10,729 | 19,787 | ' |
Interest income recognized | 18 | 185 | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 42,888 | 42,213 | ' |
Charge-offs | -11,831 | -14,182 | ' |
Recoveries | 5,270 | 5,749 | ' |
Provision | 7,992 | 9,108 | 4,736 |
Ending balance | 44,319 | 42,888 | 42,213 |
Consumer Mortgage [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 7,070 | 4,651 | ' |
Charge-offs | -1,012 | -1,004 | ' |
Recoveries | 36 | 59 | ' |
Provision | 2,900 | 3,364 | ' |
Ending balance | 8,994 | 7,070 | ' |
Business Lending [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 18,013 | 20,574 | ' |
Charge-offs | -2,788 | -5,654 | ' |
Recoveries | 692 | 1,295 | ' |
Provision | 1,590 | 1,798 | ' |
Ending balance | 17,507 | 18,013 | ' |
Consumer Indirect [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 9,606 | 8,960 | ' |
Charge-offs | -4,544 | -5,407 | ' |
Recoveries | 3,488 | 3,551 | ' |
Provision | 1,698 | 2,502 | ' |
Ending balance | 10,248 | 9,606 | ' |
Consumer Direct [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 3,303 | 3,290 | ' |
Charge-offs | -1,954 | -1,694 | ' |
Recoveries | 1,034 | 821 | ' |
Provision | 798 | 886 | ' |
Ending balance | 3,181 | 3,303 | ' |
Home Equity [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 1,451 | 1,130 | ' |
Charge-offs | -650 | -423 | ' |
Recoveries | 20 | 23 | ' |
Provision | 1,009 | 721 | ' |
Ending balance | 1,830 | 1,451 | ' |
Unallocated [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 2,666 | 3,222 | ' |
Charge-offs | 0 | 0 | ' |
Recoveries | 0 | 0 | ' |
Provision | -637 | -556 | ' |
Ending balance | 2,029 | 2,666 | ' |
Acquired Impaired [Member] | ' | ' | ' |
Allowance for loan losses [Roll Forward] | ' | ' | ' |
Beginning balance | 779 | 386 | ' |
Charge-offs | -883 | 0 | ' |
Recoveries | 0 | 0 | ' |
Provision | 634 | 393 | ' |
Ending balance | $530 | $779 | ' |
PREMISES_AND_EQUIPMENT_Details
PREMISES AND EQUIPMENT (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Premises and equipment, Gross | $186,512 | $179,783 |
Accumulated depreciation | -92,876 | -89,845 |
Premises and equipment, net | 93,636 | 89,938 |
Land and Land Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Premises and equipment, Gross | 15,714 | 15,480 |
Bank Premises [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Premises and equipment, Gross | 95,275 | 90,899 |
Equipment and Construction in Progress [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Premises and equipment, Gross | $75,523 | $73,404 |
GOODWILL_AND_IDENTIFIABLE_INTA2
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | $50,163,000 | $47,617,000 | ' |
Accumulated Amortization | -34,655,000 | -30,186,000 | ' |
Net Carrying Amount | 15,508,000 | 17,431,000 | ' |
Finite-lived intangible assets, future amortization expense [Abstract] | ' | ' | ' |
2014 | 4,160,000 | ' | ' |
2015 | 3,296,000 | ' | ' |
2016 | 2,515,000 | ' | ' |
2017 | 1,828,000 | ' | ' |
2018 | 1,359,000 | ' | ' |
Thereafter | 2,350,000 | ' | ' |
Net Carrying Amount | 15,508,000 | 17,431,000 | ' |
Components of goodwill [Abstract] | ' | ' | ' |
Goodwill | 379,815,000 | 374,527,000 | 349,874,000 |
Goodwill, Activity | 5,288,000 | 24,653,000 | ' |
Accumulated Impairment | -4,824,000 | -4,824,000 | -4,824,000 |
Accumulated impairment, Activity | 0 | 0 | ' |
Goodwill, net | 374,991,000 | 369,703,000 | 345,050,000 |
Goodwill, net, Activity | 5,288,000 | 24,653,000 | ' |
Servicing Asset at Fair Value, Amount [Roll Forward] | ' | ' | ' |
Carrying value before valuation allowance at end of period | 1,218,000 | ' | ' |
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward] | ' | ' | ' |
Fair value of MSRs at end of period | 1,495,000 | ' | ' |
Key economic assumptions used to estimate the value of the MSRs [Abstract] | ' | ' | ' |
Weighted-average contractual life | '19 years 2 months 12 days | '18 years 9 months 18 days | ' |
Weighted-average constant prepayment rate (CPR) (in hundredths) | 18.00% | 34.40% | ' |
Weighted-average discount rate (in hundredths) | 4.50% | 3.10% | ' |
Core Deposit Intangibles [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | 40,722,000 | 38,185,000 | ' |
Accumulated Amortization | -27,262,000 | -23,693,000 | ' |
Net Carrying Amount | 13,460,000 | 14,492,000 | ' |
Finite-lived intangible assets, future amortization expense [Abstract] | ' | ' | ' |
Net Carrying Amount | 13,460,000 | 14,492,000 | ' |
Other Intangibles [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | 9,441,000 | 9,432,000 | ' |
Accumulated Amortization | -7,393,000 | -6,493,000 | ' |
Net Carrying Amount | 2,048,000 | 2,939,000 | ' |
Finite-lived intangible assets, future amortization expense [Abstract] | ' | ' | ' |
Net Carrying Amount | 2,048,000 | 2,939,000 | ' |
Mortgage Servicing Rights [Member] | ' | ' | ' |
Servicing Asset at Fair Value, Amount [Roll Forward] | ' | ' | ' |
Carrying value before valuation allowance at beginning of period | 1,458,000 | 2,145,000 | ' |
Additions | 289,000 | 0 | ' |
Amortization | -529,000 | -687,000 | ' |
Carrying value before valuation allowance at end of period | 1,218,000 | 1,458,000 | ' |
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward] | ' | ' | ' |
Valuation allowance balance at beginning of period | -430,000 | -397,000 | ' |
Impairment charges | -111,000 | -279,000 | ' |
Impairment recoveries | 541,000 | 246,000 | ' |
Valuation allowance balance at end of period | 0 | -430,000 | ' |
Net carrying value at end of period | 1,218,000 | 1,028,000 | ' |
Fair value of MSRs at end of period | 1,495,000 | 1,028,000 | ' |
Principal balance of loans sold during the year | 25,179,000 | 3,554,000 | ' |
Principal balance of loans serviced for others | 322,030,000 | 367,241,000 | ' |
Custodial escrow balances maintained in connection with loans serviced for others | $4,519,000 | $5,011,000 | ' |
DEPOSITS_Details
DEPOSITS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
DEPOSITS [Abstract] | ' | ' |
Noninterest checking | $1,203,346 | $1,110,994 |
Interest checking | 1,289,676 | 1,151,522 |
Savings | 1,010,196 | 940,985 |
Money market | 1,466,273 | 1,409,123 |
Time | 926,553 | 1,015,415 |
Total deposits | 5,896,044 | 5,628,039 |
Contractual Maturities, Time Deposits, $100,000 or More [Abstract] | ' | ' |
2014 | 142,691 | ' |
2015 | 20,938 | ' |
2016 | 17,880 | ' |
2017 | 14,347 | ' |
2018 | 8,213 | ' |
Thereafter | 2,346 | ' |
Total | $206,415 | $244,900 |
BORROWINGS_Details
BORROWINGS (Details) (USD $) | 12 Months Ended | 1 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
Subsidiary | Interest Rate Swap [Member] | Interest Rate Swap [Member] | Federal Home Loan Bank overnight advance [Member] | Federal Home Loan Bank overnight advance [Member] | Federal Home Loan Bank term advances [Member] | Federal Home Loan Bank term advances [Member] | Federal Home Loan Bank term advances [Member] | Community Statutory Trust III [Member] | Community Capital Trust IV [Member] | Capital Lease Obligations [Member] | Capital Lease Obligations [Member] | Subordinated Debt Held By Unconsolidated Subsidiary Trust [Member] | Subordinated Debt Held By Unconsolidated Subsidiary Trust [Member] | January 2, 2014 [Member] | February 1, 2015 [Member] | July 31, 2031 [Member] | December 15, 2036 [Member] | ||
Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Federal Home Loan Bank overnight advance [Member] | Capital Lease Obligations [Member] | Subordinated Debt Held By Unconsolidated Subsidiary Trust [Member] | Subordinated Debt Held By Unconsolidated Subsidiary Trust [Member] | ||||||||||||||
Total outstanding borrowings [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying value | $244,010,000 | $830,134,000 | ' | ' | $141,900,000 | $0 | $0 | ' | $728,034,000 | ' | ' | $13,000 | $27,000 | $102,097,000 | $102,073,000 | $141,900,000 | $13,000 | $24,777,000 | $77,320,000 |
Subordinated debt held by unconsolidated subsidiary trust, discount | 430,000 | 454,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt retirement | ' | ' | ' | ' | ' | ' | 226,400,000 | 501,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Early extinguishments costs | ' | ' | ' | ' | ' | ' | 23,800,000 | 63,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average interest rate on borrowings (in hundredths) | 2.70% | 3.46% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowings by contractual maturity date [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying value | 244,010,000 | 830,134,000 | ' | ' | 141,900,000 | 0 | 0 | ' | 728,034,000 | ' | ' | 13,000 | 27,000 | 102,097,000 | 102,073,000 | 141,900,000 | 13,000 | 24,777,000 | 77,320,000 |
Weighted Average Interest Rate (in hundredths) | 1.22% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.40% | 3.25% | 3.82% | 1.89% |
Number of wholly owned, unconsolidated subsidiary trusts | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent ownership of unconsolidated subsidiary trusts (in hundredths) | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Junior Subordinated Debenture Owed to Unconsolidated Subsidiary Trust [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-Jul-01 | 8-Dec-06 | ' | ' | ' | ' | ' | ' | ' | ' |
Par Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24,500,000 | 75,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Variable Interest Rate Basis | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 month LIBOR | '3 month LIBOR | ' | ' | ' | ' | ' | ' | ' | ' |
Variable Interest Rate, Basis Spread (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.58% | 1.65% | ' | ' | ' | ' | ' | ' | ' | ' |
Effective Interest Rate (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.82% | 1.89% | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | '7/31/2031 | '12/15/2036 | ' | ' | ' | ' | ' | ' | ' | ' |
Current call price | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Par | 'Par | ' | ' | ' | ' | ' | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate swap agreement interest rate (in hundredths) | ' | ' | 6.43% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate swap agreement term (in years) | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional interest expense recognized, interest rate swap agreement | ' | ' | ' | $3,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Current: [Abstract] | ' | ' | ' |
Federal | $24,202,000 | $18,875,000 | $17,145,000 |
State and other | 866,000 | 830,000 | 375,000 |
Deferred: [Abstract] | ' | ' | ' |
Federal | 5,806,000 | 9,051,000 | 10,674,000 |
State and other | 1,324,000 | 2,981,000 | 2,191,000 |
Provision for income taxes | 32,198,000 | 31,737,000 | 30,385,000 |
Components of net deferred tax liability [Abstract] | ' | ' | ' |
Allowance for loan losses | 17,246,000 | 16,755,000 | ' |
Employee benefits | 6,329,000 | 6,748,000 | ' |
Investment securities | 4,882,000 | 0 | ' |
Debt extinguishment | 1,215,000 | 1,517,000 | ' |
Other | 1,799,000 | 2,292,000 | ' |
Deferred tax asset | 31,471,000 | 27,312,000 | ' |
Investment securities | 0 | 58,824,000 | ' |
Intangible assets, net | 22,095,000 | 16,648,000 | ' |
Loan origination costs | 6,883,000 | 6,069,000 | ' |
Depreciation | 4,838,000 | 5,138,000 | ' |
Mortgage servicing rights | 473,000 | 399,000 | ' |
Pension | 21,735,000 | 5,481,000 | ' |
Deferred tax liability | 56,024,000 | 92,559,000 | ' |
Net deferred tax liability | -24,553,000 | -65,247,000 | ' |
Effective tax rate reconciliation [Abstract] | ' | ' | ' |
Federal statutory income tax rate (in hundredths) | 35.00% | 35.00% | 35.00% |
Increase (reduction) in taxes resulting from: [Abstract] | ' | ' | ' |
Tax-exempt interest (in hundredths) | -6.30% | -7.10% | -7.10% |
State income taxes, net of federal benefit (in hundredths) | 1.30% | 2.30% | 1.60% |
Other (in hundredths) | -1.00% | -1.00% | -0.10% |
Effective income tax rate (in hundredths) | 29.00% | 29.20% | 29.40% |
Unrecognized tax benefits [Roll forward] | ' | ' | ' |
Unrecognized tax benefits at beginning of year | 70,000 | 133,000 | 98,000 |
Changes related to: [Abstract] | ' | ' | ' |
Positions taken during the current year | 68,000 | 35,000 | 35,000 |
Settlements with taxing authorities | 0 | -98,000 | 0 |
Lapse of statutes of limitation | 0 | 0 | 0 |
Unrecognized tax benefits at end of year | 138,000 | 70,000 | 133,000 |
Unrecognized tax benefits that would impact effective tax rate, if recognized | $100,000 | ' | ' |
LIMITS_ON_DIVIDENDS_AND_OTHER_1
LIMITS ON DIVIDENDS AND OTHER REVENUE SOURCES (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
LIMITS ON DIVIDENDS AND OTHER REVENUE SOURCES [Abstract] | ' |
Criteria for the bank to seek approval of the Office of the Comptroller of the Currency (OCC) for the payments dividends | 'The Companybs ability to pay dividends to its shareholders is largely dependent on the Bankbs ability to pay dividends to the Company. In addition to state law requirements and the capital requirements discussed below, the circumstances under which the Bank may pay dividends are limited by federal statutes, regulations, and policies. For example, as a national bank, the Bank must obtain the approval of the Office of the Comptroller of the Currency (bOCCb) for payments of dividends if the total of all dividends declared in any calendar year would exceed the total of the Bankbs net profits, as defined by applicable regulations, for that year, combined with its retained net profits for the preceding two years. |
Undivided profits legally available for the payments of dividends | $114 |
Statutory restrictions on the company's banking subsidiary to transfer funds | 'Such transfer by the Bank to the Company generally is limited in amount to 10% of the Bank's capital and surplus, or 20% in the aggregate. Furthermore, such loans and extensions of credit are required to be collateralized in specific amounts. |
Percentage of Bank's capital and surplus that can be transferred to Company, maximum (in hundredths) | 10.00% |
Aggregate percentage of Bank's capital and surplus that can be transferred to Company, maximum (in hundredths) | 20.00% |
BENEFIT_PLANS_Details
BENEFIT PLANS (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
Change in plan assets [Roll Forward] | ' | ' | ' | ' | ||
Fair value of plan assets at end of year | ' | $173,081 | [1] | $143,661 | [1] | ' |
Amounts recognized in accumulated other comprehensive income (AOCI) [Abstract] | ' | ' | ' | ' | ||
AOCI at year end | ' | 7,145 | 27,785 | 24,874 | ||
Pension Benefits [Member] | ' | ' | ' | ' | ||
Change in benefit obligation [Roll Forward] | ' | ' | ' | ' | ||
Benefit obligation at the beginning of year | ' | 123,739 | 112,857 | ' | ||
Service cost | ' | 3,988 | 3,392 | 2,959 | ||
Interest cost | ' | 4,120 | 4,393 | 4,497 | ||
Participant contributions | ' | ' | 0 | ' | ||
Deferred actuarial loss (gain) | ' | -14,610 | 9,352 | ' | ||
Benefits paid | ' | -6,063 | -6,255 | ' | ||
Benefit obligation at end of year | ' | 111,174 | 123,739 | 112,857 | ||
Change in plan assets [Roll Forward] | ' | ' | ' | ' | ||
Fair value of plan assets at beginning of year | ' | 143,661 | 126,309 | ' | ||
Actual return of plan assets | ' | 25,196 | 10,992 | ' | ||
Participant contributions | ' | ' | 0 | ' | ||
Employer contributions | 10,000 | 10,622 | 12,615 | ' | ||
Benefits paid | ' | -6,063 | -6,255 | ' | ||
Fair value of plan assets at end of year | ' | 173,416 | 143,661 | 126,309 | ||
Defined Benefit Plan, Funded Status of Plan [Abstract] | ' | ' | ' | ' | ||
Over/(Under) funded status at year end | ' | 62,242 | 19,922 | ' | ||
Amounts recognized in the consolidated balance sheet [Abstract] | ' | ' | ' | ' | ||
Other assets | ' | 73,790 | 32,135 | ' | ||
Other liabilities | ' | -11,548 | -12,213 | ' | ||
Amounts recognized in accumulated other comprehensive income (AOCI) [Abstract] | ' | ' | ' | ' | ||
Net loss (gain) | ' | 12,905 | 47,321 | ' | ||
Net prior service cost (credit) | ' | 797 | 141 | ' | ||
Pre-tax AOCI | ' | 13,702 | 47,462 | ' | ||
Taxes | ' | -5,095 | -18,296 | ' | ||
AOCI at year end | ' | 8,607 | 29,166 | ' | ||
Post-retirement Benefits [Member] | ' | ' | ' | ' | ||
Change in benefit obligation [Roll Forward] | ' | ' | ' | ' | ||
Benefit obligation at the beginning of year | ' | 3,051 | 3,352 | ' | ||
Service cost | ' | 0 | 0 | 0 | ||
Interest cost | ' | 88 | 114 | 153 | ||
Participant contributions | ' | 608 | 502 | ' | ||
Deferred actuarial loss (gain) | ' | -301 | -72 | ' | ||
Benefits paid | ' | -1,106 | -845 | ' | ||
Benefit obligation at end of year | ' | 2,340 | 3,051 | 3,352 | ||
Change in plan assets [Roll Forward] | ' | ' | ' | ' | ||
Fair value of plan assets at beginning of year | ' | 0 | 0 | ' | ||
Actual return of plan assets | ' | 0 | 0 | ' | ||
Participant contributions | ' | 608 | 502 | ' | ||
Employer contributions | ' | 498 | 343 | ' | ||
Benefits paid | ' | -1,106 | -845 | ' | ||
Fair value of plan assets at end of year | ' | 0 | 0 | 0 | ||
Defined Benefit Plan, Funded Status of Plan [Abstract] | ' | ' | ' | ' | ||
Over/(Under) funded status at year end | ' | -2,340 | -3,051 | ' | ||
Amounts recognized in the consolidated balance sheet [Abstract] | ' | ' | ' | ' | ||
Other assets | ' | 0 | 0 | ' | ||
Other liabilities | ' | -2,340 | -3,051 | ' | ||
Amounts recognized in accumulated other comprehensive income (AOCI) [Abstract] | ' | ' | ' | ' | ||
Net loss (gain) | ' | -25 | 288 | ' | ||
Net prior service cost (credit) | ' | -2,338 | -2,517 | ' | ||
Pre-tax AOCI | ' | -2,363 | -2,229 | ' | ||
Taxes | ' | 901 | 848 | ' | ||
AOCI at year end | ' | -1,462 | -1,381 | ' | ||
Unfunded Supplementary Pension Plans [Member] | ' | ' | ' | ' | ||
Change in benefit obligation [Roll Forward] | ' | ' | ' | ' | ||
Benefit obligation at end of year | ' | 11,400 | 12,000 | ' | ||
Unfunded Stock Balance [Member] | Nonemployee Directors [Member] | ' | ' | ' | ' | ||
Change in benefit obligation [Roll Forward] | ' | ' | ' | ' | ||
Benefit obligation at end of year | ' | $100 | $200 | ' | ||
[1] | Excludes dividends and interest receivable totaling $335,000 and $352,000 at December 31, 2013 and 2012, respectively. |
BENEFIT_PLANS_Benefits_Details
BENEFIT PLANS, Benefits (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Benefit obligation for defined benefit pension plan prior to plan revaluation | $99,600,000 | $111,500,000 | ' | ' |
Accumulated other comprehensive income (loss), negative postretirement medical plan amendment, arising during period, net of tax | ' | ' | ' | 3,500,000 |
Amounts recognized in AOCI, net of tax [Abstract] | ' | ' | ' | ' |
Total | -20,640,000 | 2,911,000 | 10,581,000 | ' |
Prior service costs [Abstract] | ' | ' | ' | ' |
Maximum percentage of net gain or loss over the greater of the projected benefit obligation or the market-related value of assets without requiring amortization (hundredths) | 10.00% | ' | ' | ' |
Pension Benefits [Member] | ' | ' | ' | ' |
Amounts recognized in AOCI, net of tax [Abstract] | ' | ' | ' | ' |
Prior service cost | -46,000 | 90,000 | ' | ' |
Net (gain) loss | -20,513,000 | 2,368,000 | ' | ' |
Total | -20,559,000 | 2,458,000 | ' | ' |
Costs that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in net periodic (income) cost in next fiscal year [Abstract] | ' | ' | ' | ' |
Prior service cost | 5,000 | ' | ' | ' |
Net loss | -308,000 | ' | ' | ' |
Total | -303,000 | ' | ' | ' |
Weighed average assumption used in calculating benefit obligations [Abstract] | ' | ' | ' | ' |
Discount rate (in hundredths) | 5.00% | 3.40% | ' | ' |
Expected return on plan assets (in hundredths) | 7.00% | 7.00% | ' | ' |
Rate of compensation increase (in hundredths) | 3.50% | 3.50% | ' | ' |
Net periodic benefit cost [Abstract] | ' | ' | ' | ' |
Service cost | 3,988,000 | 3,392,000 | 2,959,000 | ' |
Interest cost | 4,120,000 | 4,393,000 | 4,497,000 | ' |
Expected return on plan assets | -10,149,000 | -9,196,000 | -8,097,000 | ' |
Amortization of unrecognized net loss | 4,028,000 | 3,687,000 | 2,362,000 | ' |
Amortization of prior service cost | 75,000 | -147,000 | -149,000 | ' |
Net periodic benefit cost | 2,062,000 | 2,129,000 | 1,572,000 | ' |
Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | ' | ' | ' | ' |
Discount rate (in hundredths) | 3.40% | 4.10% | 4.40% | ' |
Expected return on plan assets (in hundredths) | 7.00% | 7.50% | 7.50% | ' |
Rate of compensation increase (in hundredths) | 3.50% | 4.00% | 4.00% | ' |
Post-retirement Benefits [Member] | ' | ' | ' | ' |
Amounts recognized in AOCI, net of tax [Abstract] | ' | ' | ' | ' |
Prior service cost | 109,000 | 503,000 | ' | ' |
Net (gain) loss | -190,000 | -51,000 | ' | ' |
Total | -81,000 | 452,000 | ' | ' |
Costs that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in net periodic (income) cost in next fiscal year [Abstract] | ' | ' | ' | ' |
Prior service cost | -179,000 | ' | ' | ' |
Net loss | 1,000 | ' | ' | ' |
Total | -178,000 | ' | ' | ' |
Weighed average assumption used in calculating benefit obligations [Abstract] | ' | ' | ' | ' |
Discount rate (in hundredths) | 4.80% | 3.20% | ' | ' |
Net periodic benefit cost [Abstract] | ' | ' | ' | ' |
Service cost | 0 | 0 | 0 | ' |
Interest cost | 88,000 | 114,000 | 153,000 | ' |
Expected return on plan assets | 0 | 0 | 0 | ' |
Amortization of unrecognized net loss | 12,000 | 11,000 | 8,000 | ' |
Amortization of prior service cost | -179,000 | -822,000 | -1,057,000 | ' |
Net periodic benefit cost | ($79,000) | ($697,000) | ($896,000) | ' |
Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | ' | ' | ' | ' |
Discount rate (in hundredths) | 3.20% | 3.90% | 4.50% | ' |
BENEFIT_PLANS_Estimated_Future
BENEFIT PLANS, Estimated Future Benefit Payments (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Pension Benefits [Member] | ' |
Estimated Future Benefit Payments [Abstract] | ' |
2014 | $6,021 |
2015 | 7,396 |
2016 | 7,882 |
2017 | 8,110 |
2018 | 8,132 |
2019-2023 | 48,507 |
Post-retirement Benefits [Member] | ' |
Estimated Future Benefit Payments [Abstract] | ' |
2014 | 230 |
2015 | 220 |
2016 | 196 |
2017 | 194 |
2018 | 192 |
2019-2023 | $811 |
BENEFIT_PLANS_Plan_Assets_Deta
BENEFIT PLANS, Plan Assets (Details) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |||||||||||||||||||||||||||||
Other Deferred Compensation Arrangement [Member] | Other Deferred Compensation Arrangement [Member] | Other Deferred Compensation Arrangement [Member] | Employee Stock Ownership Plan 401K Plan [Member] | Employee Stock Ownership Plan 401K Plan [Member] | Employee Stock Ownership Plan 401K Plan [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Money Market Accounts [Member] | Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Large-Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | U.S Mid/Small Cap [Member] | CBSI Stock [Member] | CBSI Stock [Member] | CBSI Stock [Member] | CBSI Stock [Member] | CBSI Stock [Member] | CBSI Stock [Member] | CBSI Stock [Member] | CBSI Stock [Member] | International [Member] | International [Member] | International [Member] | International [Member] | International [Member] | International [Member] | International [Member] | International [Member] | Commodities [Member] | Commodities [Member] | Commodities [Member] | Commodities [Member] | Fixed Income [Member] | Fixed Income [Member] | Fixed Income [Member] | Fixed Income [Member] | Fixed Income [Member] | Fixed Income [Member] | Fixed Income [Member] | Fixed Income [Member] | Government Securities [Member] | Government Securities [Member] | Government Securities [Member] | Government Securities [Member] | Government Securities [Member] | Government Securities [Member] | Government Securities [Member] | Government Securities [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Grade Bonds [Member] | Investment Bonds [Member] | Investment Bonds [Member] | Investment Bonds [Member] | Investment Bonds [Member] | High Yield [Member] | High Yield [Member] | High Yield [Member] | High Yield [Member] | High Yield [Member] | High Yield [Member] | High Yield [Member] | High Yield [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Alternative Investments [Member] | Director [Member] | Director [Member] | Director [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Post-retirement Benefits [Member] | Post-retirement Benefits [Member] | Post-retirement Benefits [Member] | Pentegra DB Plan [Member] | Pentegra DB Plan [Member] | Pentegra DB Plan [Member] | Pentegra DB Plan [Member] | Unfunded Supplementary Pension Plans [Member] | Unfunded Supplementary Pension Plans [Member] | Unfunded Stock Balance [Member] | Unfunded Stock Balance [Member] | |||||||||||||||||||||||||||||||
Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Quoted Prices in Active Markets For Identical Assets, Level 1 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Observable Inputs, Level 2 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Significant Unobservable Inputs, Level 3 [Member] | Deferred Compensation Plan [Member] | Deferred Compensation Plan [Member] | Deferred Compensation Plan [Member] | Tupper Lake National Bank [Member] | Tupper Lake National Bank [Member] | Tupper Lake National Bank [Member] | Tupper Lake National Bank [Member] | Nonemployee Directors [Member] | Nonemployee Directors [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Plan Assets [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Target allocation percentage of assets (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Maximum percentage of alternative investments authorized to be purchased (in hundredths) | 15.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Maximum percentage of portfolio invested in company stock (in hundredths) | 10.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Fair value of plan assets | $173,081,000 | [1] | $143,661,000 | [1] | ' | ' | ' | ' | ' | ' | $155,959,000 | [1] | $115,333,000 | [1] | $17,122,000 | [1] | $28,328,000 | [1] | $0 | [1] | $0 | [1] | $10,940,000 | $20,387,000 | $709,000 | $410,000 | $10,231,000 | $19,977,000 | $0 | $0 | $113,219,000 | $87,507,000 | $113,219,000 | $87,507,000 | $0 | $0 | $0 | $0 | $50,513,000 | $40,547,000 | $50,513,000 | $40,547,000 | $0 | $0 | $0 | $0 | $19,308,000 | $10,311,000 | $19,308,000 | $10,311,000 | $0 | $0 | $0 | $0 | $9,913,000 | $11,486,000 | $9,913,000 | $11,486,000 | $0 | $0 | $0 | $0 | $33,485,000 | $22,428,000 | $33,485,000 | $22,428,000 | $0 | $0 | $0 | $0 | $2,735,000 | [2] | $2,735,000 | [2] | $0 | [2] | $0 | [2] | $48,845,000 | $35,685,000 | $42,031,000 | $27,416,000 | $6,814,000 | $8,269,000 | $0 | $0 | $14,490,000 | $13,652,000 | $7,676,000 | $5,383,000 | $6,814,000 | $8,269,000 | $0 | $0 | $17,400,000 | $10,517,000 | $17,400,000 | $10,517,000 | $0 | $0 | $0 | $0 | $2,712,000 | $2,712,000 | $0 | $0 | $14,243,000 | [3] | $11,516,000 | [3] | $14,243,000 | [3] | $11,516,000 | [3] | $0 | [3] | $0 | [3] | $0 | [3] | $0 | [3] | $77,000 | [4] | $82,000 | [4] | $0 | [4] | $0 | [4] | $77,000 | [4] | $82,000 | [4] | $0 | [4] | $0 | [4] | ' | ' | ' | ' | $173,416,000 | $143,661,000 | $126,309,000 | $0 | $0 | $0 | ' | ' | ' | $2,800,000,000 | ' | ' | ' | ' |
Employer contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | 10,622,000 | 12,615,000 | ' | 498,000 | 343,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Total dividends and interest receivable excluded from plan assets | 335,000 | 352,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Projected benefit obligation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 111,174,000 | 123,739,000 | 112,857,000 | 2,340,000 | 3,051,000 | 3,352,000 | ' | ' | ' | 3,000,000,000 | 11,400,000 | 12,000,000 | 100,000 | 200,000 | ||||||||||||||||||||||||||||
Defined Benefit Plan, Minimum Percentage Plan Funded (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 80.00% | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Multi-employer plan, contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 22,000 | 53,000 | 131,000 | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Assumed Health Care Cost Trend Rates [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Assumed health care cost trend rate for medical costs for participants younger than 65 (in hundredths) | 7.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Assumed health care cost trend rate for medical cost for participants older than 65 (in hundredths) | 5.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Assumed health care cost trend rate for prescription drugs (in hundredths) | 6.25% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Ultimate health care cost trend rate (in hundredths) | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Year that rate reaches ultimate trend rate | '2021 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Effect of One-Percentage Point Change in Assumed Health Care Cost Trend Rates [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Effect of one percentage point increase on service and interest cost components | 200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Effect of one percentage point increase on benefit obligation | 5,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Effect of One percentage point decrease on service and interest cost components | 200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Effect of One percentage point decrease on benefit obligation | 6,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
401(k) Employee Stock Ownership Plan [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Contribution from eligible compensation, minimum (in hundredths) | ' | ' | ' | ' | ' | 1.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Contribution from eligible compensation, maximum (in hundredths) | ' | ' | ' | ' | ' | 90.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Percentage of first eligible compensation fully matched by employer (in hundredths) | ' | ' | ' | ' | ' | 3.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Percentage of matching contribution in the form of common stock (in hundredths) | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Percentage of the next eligible compensation matched at 50% by employer (in hundredths) | ' | ' | ' | ' | ' | 3.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Percentage of matching contributions for the next eligible compensation in the form of company stock (in hundredths) | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Interest credit contribution expense recognized for 401(k) plan | ' | ' | ' | ' | ' | 650,000 | 419,000 | 203,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Nonqualified deferred compensation arrangements [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
(Income)/expense recognized under plan | ' | ' | -52,000 | 439,000 | 584,000 | 3,215,000 | 2,956,000 | 2,752,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 162,000 | 148,000 | 125,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Liability recorded for compensation plan | ' | ' | $4,238,000 | $4,729,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,424,000 | $3,117,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
Deferred Compensation Arrangement with Individual, Shares credited (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 153,396 | 146,298 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||||||||||
[1] | Excludes dividends and interest receivable totaling $335,000 and $352,000 at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | This category includes investments in exchange-traded funds reflecting the performance of an underlying commodity index. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | This category is exchange-traded funds representing a diversified index of high yield corporate bonds. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[4] | This category is comprised of non-traditional investment classes including private equity funds and alternative exchange funds. |
STOCKBASED_COMPENSATION_PLANS_1
STOCK-BASED COMPENSATION PLANS (Details) (USD $) | 12 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | 25-May-11 |
STOCK-BASED COMPENSATION PLANS [Abstract] | ' | ' | ' | ' |
Shares of common stock authorized for stock-based compensation plan (in shares) | 4,000,000 | ' | ' | ' |
Additional shares of common stock authorized for stock-based compensation plan ( in shares) | ' | ' | ' | 900,000 |
Number of shares available for grant (in shares) | 1,008,234 | ' | ' | ' |
Term of options | '10 years | ' | ' | ' |
Options vesting period | '5 years | ' | ' | ' |
Options [Abstract] | ' | ' | ' | ' |
Options outstanding, Shares (in shares) | 2,274,891 | ' | ' | ' |
Options outstanding, Weighted-average Exercise Price (in dollars per share) | $24.03 | ' | ' | ' |
Options outstanding, Weighted-average Remaining Life (years) | '5 years 9 months 22 days | ' | ' | ' |
Options exercisable, Shares (in shares) | 1,478,489 | ' | ' | ' |
Options exercisable, Weighted-average Exercise Price (in dollars per share) | $22.40 | ' | ' | ' |
Weighted-average remaining contractual term of outstanding stock options (in years) | '5 years 9 months 18 days | ' | ' | ' |
Weighted-average remaining contractual term of outstanding and exercisable stock options (in years) | '4 years 8 months 12 days | ' | ' | ' |
Aggregate intrinsic value of outstanding stock options | $35.60 | ' | ' | ' |
Aggregate intrinsic value of exercisable stock options | 25.5 | ' | ' | ' |
Fair value assumptions and methodology [Abstract] | ' | ' | ' | ' |
Fair value assumptions, method used | 'Black-Scholes model | 'Black-Scholes model | 'Black-Scholes model | ' |
Weighted-average fair value of options granted (in dollars per share) | $6.24 | $6.40 | $6.69 | ' |
Assumptions [Abstract] | ' | ' | ' | ' |
Weighted-average expected life | '7 years 2 months 23 days | '7 years 4 months 24 days | '7 years 8 months 19 days | ' |
Future dividend yield (in hundredths) | 3.90% | 3.90% | 3.90% | ' |
Share price volatility (in hundredths) | 31.21% | 31.79% | 32.12% | ' |
Weighted-average risk-free interest rate (in hundredths) | 1.91% | 2.34% | 3.34% | ' |
Unrecognized stock-based compensation expense | 3.5 | ' | ' | ' |
Weighted average period for recognition of unrecognized compensation cost (in years) | '2 years 10 months 24 days | ' | ' | ' |
Total fair value of shares vested | 2 | 1.7 | 1.8 | ' |
Proceeds from stock option exercises | 16 | 9.6 | ' | ' |
Related tax benefits from stock option exercises | 1.6 | 1.1 | ' | ' |
Shares issued in connection with stock option exercise (in shares) | 680,705 | 479,353 | ' | ' |
Total intrinsic value of options exercised | 7.9 | 4.9 | 2.3 | ' |
$0.00 - $18.00 [Member] | ' | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' |
Exercise price range, lower range limit (in dollars per share) | $0 | ' | ' | ' |
Exercise price range, upper range limit (in dollars per share) | $18 | ' | ' | ' |
Options [Abstract] | ' | ' | ' | ' |
Options outstanding, Shares (in shares) | 176,801 | ' | ' | ' |
Options outstanding, Weighted-average Exercise Price (in dollars per share) | $17.59 | ' | ' | ' |
Options outstanding, Weighted-average Remaining Life (years) | '5 years 1 month 20 days | ' | ' | ' |
Options exercisable, Shares (in shares) | 176,801 | ' | ' | ' |
Options exercisable, Weighted-average Exercise Price (in dollars per share) | $17.59 | ' | ' | ' |
$18.001 - $23.00 [Member] | ' | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' |
Exercise price range, lower range limit (in dollars per share) | $18.00 | ' | ' | ' |
Exercise price range, upper range limit (in dollars per share) | $23 | ' | ' | ' |
Options [Abstract] | ' | ' | ' | ' |
Options outstanding, Shares (in shares) | 742,163 | ' | ' | ' |
Options outstanding, Weighted-average Exercise Price (in dollars per share) | $19.59 | ' | ' | ' |
Options outstanding, Weighted-average Remaining Life (years) | '4 years 8 months 26 days | ' | ' | ' |
Options exercisable, Shares (in shares) | 588,118 | ' | ' | ' |
Options exercisable, Weighted-average Exercise Price (in dollars per share) | $19.75 | ' | ' | ' |
$23.001 - $28.00 [Member] | ' | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' |
Exercise price range, lower range limit (in dollars per share) | $23.00 | ' | ' | ' |
Exercise price range, upper range limit (in dollars per share) | $28 | ' | ' | ' |
Options [Abstract] | ' | ' | ' | ' |
Options outstanding, Shares (in shares) | 667,072 | ' | ' | ' |
Options outstanding, Weighted-average Exercise Price (in dollars per share) | $25.22 | ' | ' | ' |
Options outstanding, Weighted-average Remaining Life (years) | '4 years 1 month 20 days | ' | ' | ' |
Options exercisable, Shares (in shares) | 546,370 | ' | ' | ' |
Options exercisable, Weighted-average Exercise Price (in dollars per share) | $24.75 | ' | ' | ' |
$28.001 - $29.00 [Member] | ' | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' |
Exercise price range, lower range limit (in dollars per share) | $28.00 | ' | ' | ' |
Exercise price range, upper range limit (in dollars per share) | $29 | ' | ' | ' |
Options [Abstract] | ' | ' | ' | ' |
Options outstanding, Shares (in shares) | 327,464 | ' | ' | ' |
Options outstanding, Weighted-average Exercise Price (in dollars per share) | $28.78 | ' | ' | ' |
Options outstanding, Weighted-average Remaining Life (years) | '8 years 2 months 19 days | ' | ' | ' |
Options exercisable, Shares (in shares) | 107,915 | ' | ' | ' |
Options exercisable, Weighted-average Exercise Price (in dollars per share) | $28.78 | ' | ' | ' |
$29.001 - $30.00 [Member] | ' | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' |
Exercise price range, lower range limit (in dollars per share) | $29.00 | ' | ' | ' |
Exercise price range, upper range limit (in dollars per share) | $30 | ' | ' | ' |
Options [Abstract] | ' | ' | ' | ' |
Options outstanding, Shares (in shares) | 361,391 | ' | ' | ' |
Options outstanding, Weighted-average Exercise Price (in dollars per share) | $29.79 | ' | ' | ' |
Options outstanding, Weighted-average Remaining Life (years) | '9 years 2 months 16 days | ' | ' | ' |
Options exercisable, Shares (in shares) | 59,285 | ' | ' | ' |
Options exercisable, Weighted-average Exercise Price (in dollars per share) | $29.79 | ' | ' | ' |
Stock Options [Member] | ' | ' | ' | ' |
Options, Outstanding [Roll Forward] | ' | ' | ' | ' |
Outstanding, Beginning Period (in shares) | 2,760,723 | 2,947,215 | ' | ' |
Granted (in shares) | 369,589 | 356,765 | ' | ' |
Exercised (in shares) | -840,556 | -526,141 | ' | ' |
Forfeited (in shares) | -14,865 | -17,116 | ' | ' |
Outstanding, Ending Period (in shares) | 2,274,891 | 2,760,723 | 2,947,215 | ' |
Exercisable (in shares) | 1,478,489 | ' | ' | ' |
Weighted-average exercise price of shares [Abstract] | ' | ' | ' | ' |
Outstanding, Beginning Period (in dollars per share) | $22.86 | $21.43 | ' | ' |
Granted (in dollars per share) | $29.79 | $28.78 | ' | ' |
Exercised (in dollars per share) | $22.70 | $18.91 | ' | ' |
Forfeited (in dollars per share) | $24.45 | $21.47 | ' | ' |
Outstanding, Ending Period (in dollars per share) | $24.03 | $22.86 | $21.43 | ' |
Exercisable (in dollars per share) | $22.40 | ' | ' | ' |
Stock-based compensation expense related to restricted stock vesting | 2 | 1.8 | 1.8 | ' |
Income tax benefit recognized | 1.1 | 0.8 | 0.8 | ' |
Restricted Stock [Member] | ' | ' | ' | ' |
Weighted-average exercise price of shares [Abstract] | ' | ' | ' | ' |
Stock-based compensation expense related to restricted stock vesting | $2 | $1.80 | $2 | ' |
Restricted Shares [Roll Forward] | ' | ' | ' | ' |
Unvested, beginning balance (in shares) | 192,083 | 269,641 | ' | ' |
Awards (in shares) | 142,353 | 64,705 | ' | ' |
Forfeitures (in shares) | -2,896 | -2,743 | ' | ' |
Vestings (in shares) | -70,575 | -139,520 | ' | ' |
Unvested, ending balance (in shares) | 260,965 | 192,083 | 269,641 | ' |
Weighted-average grant date fair value [Abstract] | ' | ' | ' | ' |
Unvested, beginning balance (in dollars per share) | $23.98 | $20.12 | ' | ' |
Awards (in dollars per share) | $22.13 | $28.77 | ' | ' |
Forfeitures (in dollars per share) | $25.34 | $23.19 | ' | ' |
Vestings (in dollars per share) | $22.28 | $18.76 | ' | ' |
Unvested, ending balance (in dollars per share) | $23.42 | $23.98 | $20.12 | ' |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) (USD $) | 1 Months Ended | 12 Months Ended | ||||
In Thousands, except Share data, unless otherwise specified | Jan. 31, 2012 | Apr. 30, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jul. 22, 2009 |
EARNINGS PER SHARE [Abstract] | ' | ' | ' | ' | ' | ' |
Weighted-average anti-dilutive stock options outstanding (in shares) | ' | ' | 300,000 | 500,000 | 600,000 | ' |
Basic earnings per share [Abstract] | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | $78,829 | $77,068 | $73,142 | ' |
Income attributable to unvested stock-based compensation awards | ' | ' | -433 | -499 | -553 | ' |
Income available to common shareholders | ' | ' | 78,396 | 76,569 | 72,589 | ' |
Weighted-average common shares outstanding - basic (in shares) | ' | ' | 40,000,000 | 39,192,000 | 35,767,000 | ' |
Basic earnings per share (in dollars per share) | ' | ' | $1.96 | $1.95 | $2.03 | ' |
Diluted earnings per share [Abstract] | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | 78,829 | 77,068 | 73,142 | ' |
Income attributable to unvested stock-based compensation awards | ' | ' | -433 | -499 | -553 | ' |
Income available to common shareholders | ' | ' | 78,396 | 76,569 | 72,589 | ' |
Weighted-average common shares outstanding (in shares) | ' | ' | 40,000,000 | 39,192,000 | 35,767,000 | ' |
Assumed exercise of stock options (in shares) | ' | ' | 504,000 | 479,000 | 415,000 | ' |
Weighted-average shares - diluted (in shares) | ' | ' | 40,504,000 | 39,671,000 | 36,182,000 | ' |
Diluted earnings per share (in dollars per share) | ' | ' | $1.94 | $1.93 | $2.01 | ' |
Cash dividends declared per share (in dollars per share) | ' | ' | $1.10 | $1.06 | $1 | ' |
Common stock issuance | 57,500 | ' | 15,239 | 64,145 | 5,351 | ' |
Common stock issuance (in shares) | 2,130,000 | 3,350,000 | ' | ' | ' | ' |
Net proceeds from offerings | $54,900 | ' | ' | $54,917 | ' | ' |
Stock Repurchase Program [Abstract] | ' | ' | ' | ' | ' | ' |
Number of common shares authorized to be repurchased (in shares) | ' | ' | 2,000,000 | 2,000,000 | 1,500,000 | 1,000,000 |
COMMITMENTS_CONTINGENT_LIABILI2
COMMITMENTS, CONTINGENT LIABILITIES AND RESTRICTIONS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Off-balance Sheet Risks, Disclosure Information [Line Items] | ' | ' |
Face Value Disclosure Off-balance Sheet Risks Face Amount Liability | $729,353,000 | $774,346,000 |
Unused lines of credit | 65,000,000 | ' |
Federal Home Loan Bank unused borrowing capacity | 1,200,000,000 | ' |
Federal Reserve Bank unused borrowing capacity | 10,100,000 | ' |
Federal Reserve required average total reserve | 52,800,000 | ' |
Required deposit with Federal Reserve Bank of New York | 0 | ' |
Range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, lower range | 0 | ' |
Range of reasonably possible losses for such matters in the aggregate, beyond the existing recorded liability, upper range | 5,000,000 | ' |
Commitments to Extend Credit [Member] | ' | ' |
Off-balance Sheet Risks, Disclosure Information [Line Items] | ' | ' |
Face Value Disclosure Off-balance Sheet Risks Face Amount Liability | 704,904,000 | 750,178,000 |
Standby Letters of Credit [Member] | ' | ' |
Off-balance Sheet Risks, Disclosure Information [Line Items] | ' | ' |
Face Value Disclosure Off-balance Sheet Risks Face Amount Liability | $24,449,000 | $24,168,000 |
LEASES_Details
LEASES (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
LEASES [Abstract] | ' | ' | ' |
Rental expense | $5,100,000 | $4,900,000 | $4,200,000 |
Future minimum rental commitments [Abstract] | ' | ' | ' |
2014 | 5,342,000 | ' | ' |
2015 | 4,662,000 | ' | ' |
2016 | 4,442,000 | ' | ' |
2017 | 3,780,000 | ' | ' |
2018 | 3,161,000 | ' | ' |
Thereafter | 5,138,000 | ' | ' |
Total | $26,525,000 | ' | ' |
REGULATORY_MATTERS_Details
REGULATORY MATTERS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Total core capital to risk-weighted assets [Abstract] | ' | ' |
Minimum total core capital to risk-weighted assets for capital adequacy (in hundredths) | 8.00% | ' |
Minimum Tier I capital to risk-weighted assets for capital adequacy (in hundredths) | 4.00% | ' |
Minimum Tier I capital to average assets for capital adequacy (in hundredths) | 4.00% | ' |
Minimum total core capital to risk-weighted assets to be well capitalized (in hundredths) | 10.00% | ' |
Minimum Tier I capital to risk-weighted assets to be well capitalized (in hundredths) | 6.00% | ' |
Minimum Tier I capital to average assets to be well capitalized (in hundredths) | 5.00% | ' |
Community Bank System, Inc [Member] | ' | ' |
Tier 1 capital to average assets [Abstract] | ' | ' |
Tier 1 Capital | $643,286 | $588,220 |
Tier 1 capital to average assets (in hundredths) | 9.29% | 8.40% |
Minimum required amount | 276,918 | 280,151 |
Tier 1 capital to risk-weighted assets [Abstract] | ' | ' |
Tier 1 Capital | 643,286 | 588,220 |
Tier 1 capital to risk-weighted assets (in hundredths) | 16.42% | 15.09% |
Minimum required amount | 156,661 | 155,904 |
Total core capital to risk-weighted assets [Abstract] | ' | ' |
Core Capital | 687,946 | 631,409 |
Total core capital to risk-weighted assets (in hundredths) | 17.57% | 16.20% |
Minimum required amount | 313,322 | 311,808 |
Community Bank, N.A. [Member] | ' | ' |
Tier 1 capital to average assets [Abstract] | ' | ' |
Tier 1 Capital | 547,464 | 530,753 |
Tier 1 capital to average assets (in hundredths) | 7.93% | 7.60% |
Minimum required amount | 276,226 | 279,524 |
Tier 1 capital to risk-weighted assets [Abstract] | ' | ' |
Tier 1 Capital | 547,464 | 530,753 |
Tier 1 capital to risk-weighted assets (in hundredths) | 14.03% | 13.66% |
Minimum required amount | 156,083 | 155,392 |
Total core capital to risk-weighted assets [Abstract] | ' | ' |
Core Capital | 592,124 | 573,942 |
Total core capital to risk-weighted assets (in hundredths) | 15.17% | 14.77% |
Minimum required amount | $312,166 | $310,784 |
PARENT_COMPANY_STATEMENTS_Deta
PARENT COMPANY STATEMENTS (Details) (USD $) | 1 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Jan. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Assets [Abstract] | ' | ' | ' | ' | ' |
Cash and cash equivalents | ' | $149,647 | $228,558 | $324,878 | ' |
Other assets | ' | 152,390 | 117,650 | ' | ' |
Total assets | ' | 7,095,864 | 7,496,800 | 6,488,275 | ' |
Liabilities and shareholders' equity [Abstract] | ' | ' | ' | ' | ' |
Accrued interest and other liabilities | ' | 79,998 | 135,849 | ' | ' |
Borrowings | ' | 102,097 | 102,073 | ' | ' |
Shareholders' equity | ' | 875,812 | 902,778 | 774,583 | 607,258 |
Total liabilities and shareholders' equity | ' | 7,095,864 | 7,496,800 | ' | ' |
Revenues [Abstract] | ' | ' | ' | ' | ' |
Other income | ' | 102,180 | 99,246 | 89,222 | ' |
Expenses [Abstract] | ' | ' | ' | ' | ' |
Interest on borrowings | ' | 2,520 | 2,716 | 5,801 | ' |
Other expenses | ' | 14,971 | 16,459 | 12,869 | ' |
(Loss) Income before tax benefit and equity in undistributed net income of subsidiaries | ' | 111,027 | 108,805 | 103,527 | ' |
Income tax benefit | ' | -32,198 | -31,737 | -30,385 | ' |
Net income | ' | 78,829 | 77,068 | 73,142 | ' |
Comprehensive (loss)/income | ' | -2,051 | 102,237 | 111,647 | ' |
Operating activities [Abstract] | ' | ' | ' | ' | ' |
Net income | ' | 78,829 | 77,068 | 73,142 | ' |
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | ' | ' | ' | ' | ' |
Net change in other assets and other liabilities | ' | 11,247 | 292 | 14,268 | ' |
Net cash provided by (used in) operating activities | ' | 103,184 | 108,424 | 94,378 | ' |
Investing activities [Abstract] | ' | ' | ' | ' | ' |
Net cash (used in) provided by investing activities | ' | 553,258 | -264,260 | -22,695 | ' |
Financing activities [Abstract] | ' | ' | ' | ' | ' |
Issuance of common stock | 57,500 | 15,239 | 64,145 | 5,351 | ' |
Net cash provided by (used in) financing activities | ' | -735,353 | 59,516 | 41,358 | ' |
Change in cash and cash equivalents | ' | -78,911 | -96,320 | 113,041 | ' |
Cash and cash equivalents at beginning of year | 324,878 | 228,558 | 324,878 | 211,837 | ' |
Cash and cash equivalents at end of year | ' | 149,647 | 228,558 | 324,878 | ' |
Supplemental disclosures of cash flow information [Abstract] | ' | ' | ' | ' | ' |
Cash paid for interest | ' | 30,141 | 51,541 | 61,564 | ' |
Supplemental disclosures of noncash financing activities [Abstract] | ' | ' | ' | ' | ' |
Dividends declared and unpaid | ' | 11,332 | 10,699 | 9,609 | ' |
Parent Company [Member] | ' | ' | ' | ' | ' |
Assets [Abstract] | ' | ' | ' | ' | ' |
Cash and cash equivalents | ' | 83,783 | 43,800 | 38,853 | ' |
Investment securities | ' | 3,601 | 3,587 | ' | ' |
Investment in and advances to subsidiaries | ' | 895,211 | 961,718 | ' | ' |
Other assets | ' | 8,847 | 8,613 | ' | ' |
Total assets | ' | 991,442 | 1,017,718 | ' | ' |
Liabilities and shareholders' equity [Abstract] | ' | ' | ' | ' | ' |
Accrued interest and other liabilities | ' | 13,533 | 12,867 | ' | ' |
Borrowings | ' | 102,097 | 102,073 | ' | ' |
Shareholders' equity | ' | 875,812 | 902,778 | ' | ' |
Total liabilities and shareholders' equity | ' | 991,442 | 1,017,718 | ' | ' |
Revenues [Abstract] | ' | ' | ' | ' | ' |
Dividends from subsidiaries | ' | 66,000 | 0 | 52,251 | ' |
Interest and dividends on investments | ' | 91 | 98 | 87 | ' |
Other income | ' | 9 | 198 | 0 | ' |
Total revenues | ' | 66,100 | 296 | 52,338 | ' |
Expenses [Abstract] | ' | ' | ' | ' | ' |
Interest on borrowings | ' | 2,520 | 2,716 | 5,815 | ' |
Other expenses | ' | 61 | 155 | 273 | ' |
Total expenses | ' | 2,581 | 2,871 | 6,088 | ' |
(Loss) Income before tax benefit and equity in undistributed net income of subsidiaries | ' | 63,519 | -2,575 | 46,250 | ' |
Income tax benefit | ' | 862 | 1,274 | 2,237 | ' |
(Loss) Income before equity in undistributed net income of subsidiaries | ' | 64,381 | -1,301 | 48,487 | ' |
Equity in undistributed net income of subsidiaries | ' | 14,448 | 78,369 | 24,655 | ' |
Net income | ' | 78,829 | 77,068 | 73,142 | ' |
Comprehensive (loss)/income | ' | -2,051 | 102,237 | 111,647 | ' |
Operating activities [Abstract] | ' | ' | ' | ' | ' |
Net income | ' | 78,829 | 77,068 | 73,142 | ' |
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | ' | ' | ' | ' | ' |
(Gain)/loss on sale of investments | ' | -9 | 0 | 0 | ' |
Equity in undistributed net income of subsidiaries | ' | -14,448 | -78,369 | -24,655 | ' |
Net change in other assets and other liabilities | ' | -221 | -746 | -504 | ' |
Net cash provided by (used in) operating activities | ' | 64,151 | -2,047 | 47,983 | ' |
Investing activities [Abstract] | ' | ' | ' | ' | ' |
Purchase of investment securities | ' | 0 | -3 | 0 | ' |
Proceeds from sale of investment securities | ' | 114 | 30 | 2 | ' |
Repayments from subsidiaries, net | ' | 0 | 0 | 51 | ' |
Capital contributions to subsidiaries | ' | 0 | -20,081 | -102,462 | ' |
Net cash (used in) provided by investing activities | ' | 114 | -20,054 | -102,409 | ' |
Financing activities [Abstract] | ' | ' | ' | ' | ' |
Issuance of common stock | ' | 19,200 | 67,813 | 91,714 | ' |
Cash dividends paid | ' | -43,482 | -40,765 | -34,404 | ' |
Net cash provided by (used in) financing activities | ' | -24,282 | 27,048 | 57,310 | ' |
Change in cash and cash equivalents | ' | 39,983 | 4,947 | 2,884 | ' |
Cash and cash equivalents at beginning of year | 38,853 | 43,800 | 38,853 | 35,969 | ' |
Cash and cash equivalents at end of year | ' | 83,783 | 43,800 | 38,853 | ' |
Supplemental disclosures of cash flow information [Abstract] | ' | ' | ' | ' | ' |
Cash paid for interest | ' | 2,521 | 2,738 | 5,959 | ' |
Supplemental disclosures of noncash financing activities [Abstract] | ' | ' | ' | ' | ' |
Dividends declared and unpaid | ' | $11,332 | $10,699 | $9,609 | ' |
FAIR_VALUE_Details
FAIR VALUE (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Available-for-sale investment securities: | ' | ' |
Fair value | $2,186,163,000 | $2,121,394,000 |
Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ' | ' |
Discount on appraisal value of foreclosed real estate, minimum (in hundredths) | 11.00% | ' |
Discount on appraisal value of foreclosed real estate, maximum (in hundredths) | 54.00% | ' |
Mortgage Servicing Rights, Valuation Allowance | 0 | ' |
Fair value of MSRs at end of period | 1,495,000 | ' |
Impaired Loans Valuation Allowance | 0 | ' |
Carrying value before valuation allowance at end of period | 1,218,000 | ' |
Recurring [Member] | ' | ' |
Available-for-sale investment securities: | ' | ' |
U.S. Treasury and agency securities | 1,212,147,000 | 1,079,257,000 |
Obligations of state and political subdivisions | 668,982,000 | 662,892,000 |
Government agency mortgage-backed securities | 254,978,000 | 269,951,000 |
Pooled trust preferred securities | ' | 49,600,000 |
Government agency collateralized mortgage obligations | 22,048,000 | 33,935,000 |
Corporate debt securities | 27,587,000 | 25,357,000 |
Marketable equity securities | 421,000 | 402,000 |
Fair value | 2,186,163,000 | 2,121,394,000 |
Mortgages loans held for sale | 728,000 | ' |
Commitments to originate real estate loans for sale | 44,000 | ' |
Forward sales commitments | 27,000 | ' |
Total | 2,186,962,000 | ' |
Recurring [Member] | Level 1 [Member] | ' | ' |
Available-for-sale investment securities: | ' | ' |
U.S. Treasury and agency securities | 1,182,261,000 | 891,803,000 |
Obligations of state and political subdivisions | 0 | 0 |
Government agency mortgage-backed securities | 0 | 0 |
Pooled trust preferred securities | ' | 0 |
Government agency collateralized mortgage obligations | 0 | 0 |
Corporate debt securities | 0 | 0 |
Marketable equity securities | 421,000 | 402,000 |
Fair value | 1,182,682,000 | 892,205,000 |
Mortgages loans held for sale | 0 | ' |
Commitments to originate real estate loans for sale | 0 | ' |
Forward sales commitments | 0 | ' |
Total | 1,182,682,000 | ' |
Recurring [Member] | Level 2 [Member] | ' | ' |
Available-for-sale investment securities: | ' | ' |
U.S. Treasury and agency securities | 29,886,000 | 187,454,000 |
Obligations of state and political subdivisions | 668,982,000 | 662,892,000 |
Government agency mortgage-backed securities | 254,978,000 | 269,951,000 |
Pooled trust preferred securities | ' | 0 |
Government agency collateralized mortgage obligations | 22,048,000 | 33,935,000 |
Corporate debt securities | 27,587,000 | 25,357,000 |
Marketable equity securities | 0 | 0 |
Fair value | 1,003,481,000 | 1,179,589,000 |
Mortgages loans held for sale | 728,000 | ' |
Commitments to originate real estate loans for sale | 0 | ' |
Forward sales commitments | 27,000 | ' |
Total | 1,004,236,000 | ' |
Recurring [Member] | Level 3 [Member] | ' | ' |
Available-for-sale investment securities: | ' | ' |
U.S. Treasury and agency securities | 0 | 0 |
Obligations of state and political subdivisions | 0 | 0 |
Government agency mortgage-backed securities | 0 | 0 |
Pooled trust preferred securities | ' | 49,600,000 |
Government agency collateralized mortgage obligations | 0 | 0 |
Corporate debt securities | 0 | 0 |
Marketable equity securities | 0 | 0 |
Fair value | 0 | 49,600,000 |
Mortgages loans held for sale | 0 | ' |
Commitments to originate real estate loans for sale | 44,000 | ' |
Forward sales commitments | 0 | ' |
Total | 44,000 | ' |
Nonrecurring [Member] | ' | ' |
Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ' | ' |
Impaired loans | 600,000 | 1,186,000 |
Other real estate owned | 5,060,000 | 4,788,000 |
Mortgage servicing rights | 0 | 1,028,000 |
Total | 5,660,000 | 7,002,000 |
Nonrecurring [Member] | Level 1 [Member] | ' | ' |
Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ' | ' |
Impaired loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Mortgage servicing rights | 0 | 0 |
Total | 0 | 0 |
Nonrecurring [Member] | Level 2 [Member] | ' | ' |
Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ' | ' |
Impaired loans | 600,000 | 0 |
Other real estate owned | 0 | 0 |
Mortgage servicing rights | 0 | 0 |
Total | 600,000 | 0 |
Nonrecurring [Member] | Level 3 [Member] | ' | ' |
Assets and Liabilities Measured on Nonrecurring Basis [Abstract] | ' | ' |
Impaired loans | 0 | 1,186,000 |
Other real estate owned | 5,060,000 | 4,788,000 |
Mortgage servicing rights | 0 | 1,028,000 |
Total | $5,060,000 | $7,002,000 |
FAIR_VALUE_Unobservable_Input_
FAIR VALUE, Unobservable Input Reconciliation (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | ||
Level 3 Assets Measured at Fair Value on a Recurring Basis [Abstract] | ' | ' | ||
Beginning balance | $49,600 | ' | ||
Total gains/(losses) included in earnings | -15,450 | [1],[2] | ' | |
Total gains/(losses) included in other comprehensive income | 12,379 | [3] | ' | |
Principal reductions | -5,944 | ' | ||
Sales | -40,834 | ' | ||
Commitments to originate real estate loans held for sale, net | 293 | ' | ||
Ending balance | 44 | ' | ||
Pooled Trust Preferred Securities [Member] | ' | ' | ||
Level 3 Assets Measured at Fair Value on a Recurring Basis [Abstract] | ' | ' | ||
Beginning balance | 49,600 | 43,846 | ||
Total gains/(losses) included in earnings | -15,201 | [1],[2] | 220 | [1],[2] |
Total gains/(losses) included in other comprehensive income | 12,379 | [3] | 11,890 | [3] |
Principal reductions | -5,944 | -6,356 | ||
Sales | -40,834 | 0 | ||
Commitments to originate real estate loans held for sale, net | 0 | 0 | ||
Ending balance | 0 | 49,600 | ||
Commitments to Originate Real Estate Loans for Sale [Member] | ' | ' | ||
Level 3 Assets Measured at Fair Value on a Recurring Basis [Abstract] | ' | ' | ||
Beginning balance | 0 | ' | ||
Total gains/(losses) included in earnings | -249 | [1],[2] | ' | |
Total gains/(losses) included in other comprehensive income | 0 | [3] | ' | |
Principal reductions | 0 | ' | ||
Sales | 0 | ' | ||
Commitments to originate real estate loans held for sale, net | 293 | ' | ||
Ending balance | $44 | ' | ||
[1] | Amounts included in earnings associated with the pooled trust preferred securities relate to accretion of related discount and are reported in interest and dividends on taxable investments. | |||
[2] | Amounts included in earnings associated with the commitments to originate real estate loans for sale are reported as a component of other banking services in the Consolidated Statement of Income. | |||
[3] | Amounts included in other comprehensive income associated with the pooled trust preferred securitiesB B relate to changes in unrealized loss and are reported as a component of unrealized gains on securities in the Statement of Comprehensive Income. |
FAIR_VALUE_Valuation_Technique
FAIR VALUE, Valuation Techniques (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Pooled Trust Preferred Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Fair value of assets classified as Level 3 | ' | $49,600 |
Pooled Trust Preferred Securities, Valuation Techniques | ' | 'Consensus pricing |
Significant Unobservable Inputs, Inputs Description | ' | 'Weighting of offered quotes |
Significant Unobservable Input Range, Minimum (in hundredths) | ' | 65.30% |
Significant Unobservable Input Range, Maximum (in hundredths) | ' | 85.10% |
Significant Unobservable Input Range, Weighted Average (in hundredths) | ' | 78.40% |
Impaired Loans [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Fair value of assets classified as Level 3 | ' | 1,186 |
Impaired Loans, Valuation Techniques | ' | 'Fair value of collateral |
Significant Unobservable Inputs, Inputs Description | ' | 'Estimated cost of disposal/market adjustment |
Significant Unobservable Input Range, Minimum (in hundredths) | ' | 25.00% |
Significant Unobservable Input Range, Maximum (in hundredths) | ' | 50.00% |
Significant Unobservable Input Range, Weighted Average (in hundredths) | ' | 27.50% |
Other Real Estate Owned [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Fair value of assets classified as Level 3 | 5,060 | 4,788 |
Other Real Estate Owned, Valuation Techniques | 'Fair value of collateral | 'Fair value of collateral |
Significant Unobservable Inputs, Inputs Description | 'Estimated cost of disposal/market adjustment | 'Estimated cost of disposal/market adjustment |
Significant Unobservable Input Range, Minimum (in hundredths) | 11.00% | 11.00% |
Significant Unobservable Input Range, Maximum (in hundredths) | 54.40% | 60.20% |
Significant Unobservable Input Range, Weighted Average (in hundredths) | 28.10% | 19.90% |
Mortgage Servicing Rights [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Fair value of assets classified as Level 3 | ' | 1,028 |
Mortgage Servicing Rights, Valuation Techniques | ' | 'Discounted cash flow |
Significant Unobservable Inputs, Inputs Description | ' | 'Weighted average constant prepayment rate |
Constant Prepayment Input Range Minimum (in hundredths) | ' | 1.10% |
Constant Prepayment Input Range Maximum (in hundredths) | ' | 39.60% |
Constant Prepayment Input Range Weighted Average (in hundredths) | ' | 34.40% |
Weighted average discount rate Minimum (in hundredths) | ' | 2.50% |
Weighted average discount rate Maximum (in hundredths) | ' | 3.30% |
Weighted average discount rate Weighted Average (in hundredths) | ' | 3.10% |
Adequate Compensation Input Range | ' | '$7/loan |
Commitments To Originate Real Estate Loans For Sale [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Fair value of assets classified as Level 3 | $44 | ' |
Impaired Loans, Valuation Techniques | 'Discounted cash flow | ' |
Significant Unobservable Inputs, Inputs Description | 'Embedded servicing value | ' |
Significant Unobservable Input Range, Weighted Average (in hundredths) | 1.00% | ' |
FAIR_VALUE_Balance_Sheet_Group
FAIR VALUE, Balance Sheet Grouping (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Carrying Value [Member] | ' | ' |
Financial assets [Abstract] | ' | ' |
Net loans | $4,064,764 | $3,822,688 |
Financial liabilities [Abstract] | ' | ' |
Deposits | 5,896,044 | 5,628,039 |
Borrowings | 141,913 | 728,061 |
Subordinated debt held by unconsolidated subsidiary trusts | 102,097 | 102,073 |
Fair Value [Member] | ' | ' |
Financial assets [Abstract] | ' | ' |
Net loans | 4,044,449 | 3,881,354 |
Financial liabilities [Abstract] | ' | ' |
Deposits | 5,898,138 | 5,635,320 |
Borrowings | 141,913 | 820,377 |
Subordinated debt held by unconsolidated subsidiary trusts | $109,284 | $97,899 |
DERIVATIVE_INSTRUMENTS_Details
DERIVATIVE INSTRUMENTS (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Derivative, Gain (Loss) | $71 |
Not Designated as Hedging Instrument [Member] | ' |
Derivatives, Estimated Fair Value and Balance Sheet Location [Line Items] | ' |
Fair Value | 71 |
Forward sales commitments [Member] | Mortgage banking and other services [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Derivative, Gain (Loss) | 27 |
Commitments to originate real estate loans for sale [Member] | Mortgage banking and other services [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Derivative, Gain (Loss) | 44 |
Other Assets [Member] | Commitments to originate real estate loans for sale [Member] | Not Designated as Hedging Instrument [Member] | ' |
Derivatives, Estimated Fair Value and Balance Sheet Location [Line Items] | ' |
Derivative, Notional Amount | 2,946 |
Fair Value | 44 |
Other Liabilities [Member] | Forward sales commitments [Member] | Not Designated as Hedging Instrument [Member] | ' |
Derivatives, Estimated Fair Value and Balance Sheet Location [Line Items] | ' |
Derivative, Notional Amount | 2,508 |
Fair Value | $27 |
SEGMENT_INFORMATION_Details
SEGMENT INFORMATION (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Information about reportable segments [Abstract] | ' | ' | ' |
Net interest income | $238,094 | $230,424 | $209,413 |
Provision for loan losses | 7,992 | 9,108 | 4,736 |
Noninterest income | 102,180 | 99,246 | 89,222 |
Amortization of intangible assets | 4,469 | 4,607 | 4,381 |
Other operating expenses | 216,786 | 207,150 | 185,991 |
Income before income taxes | 111,027 | 108,805 | 103,527 |
Assets | 7,095,864 | 7,496,800 | 6,488,275 |
Goodwill | 374,991 | 369,703 | 345,050 |
Eliminations [Member] | ' | ' | ' |
Information about reportable segments [Abstract] | ' | ' | ' |
Net interest income | 0 | 0 | 0 |
Provision for loan losses | 0 | 0 | 0 |
Noninterest income | -1,649 | -1,506 | -1,322 |
Amortization of intangible assets | 0 | 0 | 0 |
Other operating expenses | -1,649 | -1,506 | -1,322 |
Income before income taxes | 0 | 0 | 0 |
Assets | -16,231 | -18,334 | -11,976 |
Goodwill | 0 | 0 | 0 |
Banking [Member] | ' | ' | ' |
Information about reportable segments [Abstract] | ' | ' | ' |
Net interest income | 237,915 | 230,251 | 209,302 |
Provision for loan losses | 7,992 | 9,108 | 4,736 |
Noninterest income | 48,030 | 50,422 | 46,921 |
Amortization of intangible assets | 3,569 | 3,548 | 3,393 |
Other operating expenses | 175,139 | 167,332 | 152,468 |
Income before income taxes | 99,245 | 100,685 | 95,626 |
Assets | 7,070,866 | 7,472,628 | 6,461,694 |
Goodwill | 364,495 | 359,207 | 334,554 |
Employee Benefit Services [Member] | ' | ' | ' |
Information about reportable segments [Abstract] | ' | ' | ' |
Net interest income | 101 | 104 | 60 |
Provision for loan losses | 0 | 0 | 0 |
Noninterest income | 39,534 | 36,781 | 32,395 |
Amortization of intangible assets | 662 | 779 | 752 |
Other operating expenses | 31,049 | 30,617 | 25,622 |
Income before income taxes | 7,924 | 5,489 | 6,081 |
Assets | 27,970 | 30,405 | 27,446 |
Goodwill | 7,836 | 7,836 | 7,836 |
Wealth Management [Member] | ' | ' | ' |
Information about reportable segments [Abstract] | ' | ' | ' |
Net interest income | 78 | 69 | 51 |
Provision for loan losses | 0 | 0 | 0 |
Noninterest income | 16,265 | 13,549 | 11,228 |
Amortization of intangible assets | 238 | 280 | 236 |
Other operating expenses | 12,247 | 10,707 | 9,223 |
Income before income taxes | 3,858 | 2,631 | 1,820 |
Assets | 13,259 | 12,101 | 11,111 |
Goodwill | $2,660 | $2,660 | $2,660 |