Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 25, 2020 | Jun. 30, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document annual report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity File Number | 001-34084 | ||
Entity Registrant Name | POPULAR, INC. | ||
Entity Incorporation State Country Code | PR | ||
Entity TaxI dentification Number | 66-0667416 | ||
Entity Address Address Line 1 | 209 Muñoz Rivera Avenue | ||
Entity Address City Or Town | Hato Rey | ||
Entity Address Country | PR | ||
Entity Address Postal Zip Code | 00918 | ||
City Area Code | 787 | ||
Local Phone Number | 765-9800 | ||
Well known season issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock Shares Outstanding | 88,581,796 | ||
Document Incorporated by reference | (1) Portions of Popular, Inc.’s Annual Report to Stockholders for the fiscal year ended December 31, 2019 (the “Annual Report”) are incorporated herein by reference in response to Item 1 of Part I, Items 5 through 8 of Part II and Item 15 (a)(1) of Part IV. (2) Portions of Popular, Inc.’s definitive proxy statement relating to the 2020 Annual Meeting of Stockholders of Popular, Inc. (the “Proxy Statement”) are incorporated herein by reference in response to Items 10 through 14 of Part III. The Proxy Statement will be filed with the Securities and Exchange Commission (the “SEC”) on or about March 31, 2020. | ||
Entity Central Index Key | 0000763901 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Listings | |||
Entity Public Float | $ 5,171,784,000 | ||
Common Stock | |||
Entity Listings | |||
Security 12b Title | Common Stock ($0.01 par value) | ||
Trading Symbol | BPOP | ||
Security Exchange Name | NASDAQ | ||
6.70% Cumulative Monthly Income Trust Preferred Securities | |||
Entity Listings | |||
Security 12b Title | 6.70% Cumulative Monthly Income Trust Preferred Securities | ||
Trading Symbol | BPOPN | ||
Security Exchange Name | NASDAQ | ||
Cumulative Preferred Stock 6.125% | |||
Entity Listings | |||
Security 12b Title | 6.125% Cumulative Monthly Income Trust Preferred Securities | ||
Trading Symbol | BPOPM | ||
Security Exchange Name | NASDAQ |
CONSOLIDATED STATEMENTS OF COND
CONSOLIDATED STATEMENTS OF CONDITION - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Cash and due from banks | $ 388,311,000 | $ 394,035,000 |
Money market investments: | ||
Time deposits with other banks | 3,262,286,000 | 4,171,048,000 |
Total money market investments | 3,262,286,000 | 4,171,048,000 |
Trading account debt securities, at fair value: | ||
Pledged securities with creditors' right to repledge | 598,000 | 598,000 |
Other trading account debt securities | 39,723,000 | 37,189,000 |
Debt securities available-for-sale, at fair value: | ||
Pledged securities with creditors' right to repledge | 202,585,000 | 280,502,000 |
Other debt securities available-for-sale | 17,445,888,000 | 13,019,682,000 |
Debt securities held-to-maturity, at amortized cost (fair value 2019 - $105,110; 2018 - $102,653) | 97,662,000 | 101,575,000 |
Equity securities (realizable value 2019 -$165,952); (2018 - $159,821) | 159,887,000 | 155,584,000 |
Loans held-for-sale, at lower of cost or fair value | 59,203,000 | 51,422,000 |
Loans held-in-portfolio: | ||
Loans held-in-portfolio | 27,587,856,000 | 26,663,713,000 |
Less - Unearned income | 180,983,000 | 155,824,000 |
Allowance for loan losses | 477,708,000 | 569,348,000 |
Total loans held-in-portfolio, net | 26,929,165,000 | 25,938,541,000 |
Premises and equipment, net | 556,650,000 | 569,808,000 |
Other real estate | 122,072,000 | 136,705,000 |
Accrued income receivable | 180,871,000 | 166,022,000 |
Mortgage servicing assets, at fair value | 150,906,000 | 169,777,000 |
Other Assets | 1,819,615,000 | 1,714,134,000 |
Goodwill | 671,122,000 | 671,122,000 |
Other intangible assets | 28,780,000 | 26,833,000 |
Total assets | 52,115,324,000 | 47,604,577,000 |
Deposits: | ||
Non-interest bearing | 9,160,173,000 | 9,149,036,000 |
Interest bearing | 34,598,433,000 | 30,561,003,000 |
Total deposits | 43,758,606,000 | 39,710,039,000 |
Assets sold under agreements to repurchase | 193,378,000 | 281,529,000 |
Other short-term borrowings | 0 | 42,000 |
Notes payable | 1,101,608,000 | 1,256,102,000 |
Other liabilities | 1,044,953,000 | 921,808,000 |
Total liabilities | 46,098,545,000 | 42,169,520,000 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, 30,000,000 shares authorized; 2,006,391 shares issued and outstanding | 50,160,000 | 50,160,000 |
Common stock, $0.01 par value; 170,000,000 shares authorized;104,392,222 shares issued (2018 - 104,320,303) and 95,589,629 shares outstanding (2018 - 99,942,845) | 1,044,000 | 1,043,000 |
Surplus | 4,447,412,000 | 4,365,606,000 |
Retained earnings | 2,147,915,000 | 1,651,731,000 |
Treasury stock - at cost, 8,802,593 shares (2018 - 4,377,458) | (459,814,000) | (205,509,000) |
Accumulated other comprehensive loss, net of tax | (169,938,000) | (427,974,000) |
Total stockholders' equity | 6,016,779,000 | 5,435,057,000 |
Total liabilities and stockholders' equity | $ 52,115,324,000 | $ 47,604,577,000 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF CONDITION (PARENTHETICAL) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Held To Maturity Securities Fair Value | $ 105,110 | $ 102,653 |
Realizable Value Of Equity Securities | $ 165,952 | $ 159,821 |
Preferred stock, shares authorized | 30,000,000 | 30,000,000 |
Preferred stock, shares issued | 2,006,391 | 2,006,391 |
Preferred stock, shares outstanding | 2,006,391 | 2,006,391 |
Common Stock Par Or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock Shares Authorized | 170,000,000 | 170,000,000 |
Common Stock Shares Issued | 104,392,222 | 104,320,303 |
Common Stock Shares Outstanding | 95,589,629 | 99,942,845 |
Treasury stock | 8,802,593 | 4,377,458 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Interest income: | |||
Loans | $ 1,802,968,000 | $ 1,645,736,000 | $ 1,478,765,000 |
Money market investments | 89,823,000 | 111,288,000 | 51,495,000 |
Investment securities | 368,002,000 | 264,824,000 | 195,684,000 |
Total interest income | 2,260,793,000 | 2,021,848,000 | 1,725,944,000 |
Interest expense: | |||
Deposits | 304,858,000 | 204,265,000 | 141,864,000 |
Short-term borrowings | 6,100,000 | 7,210,000 | 5,724,000 |
Long-term debt | 58,141,000 | 75,496,000 | 76,392,000 |
Total interest expense | 369,099,000 | 286,971,000 | 223,980,000 |
Net interest income | 1,891,694,000 | 1,734,877,000 | 1,501,964,000 |
Provision for loan losses | 165,779,000 | 228,072,000 | 325,424,000 |
Net interest income after provision for loan losses | 1,725,915,000 | 1,506,805,000 | 1,176,540,000 |
Mortgage banking activities | 32,093,000 | 52,802,000 | 25,496,000 |
Net (loss) gain on sale of debt securities | (20,000) | 0 | 83,000 |
Other-than-temporary impairment losses on debt securities | 0 | 0 | (8,299,000) |
Net gain (loss), including impairment on equity securities | 2,506,000 | (2,081,000) | 251,000 |
Net profit (loss) on trading account debt securities | 994,000 | (208,000) | (817,000) |
Net gain (loss) on sale of loans, including valuation adjustments on loans held-for-sale | 0 | 33,000 | (420,000) |
Indemnity reserves on loans sold expense | (343,000) | (12,959,000) | (22,377,000) |
FDIC loss-share expense | 0 | 94,725,000 | (10,066,000) |
Other operating income | 88,514,000 | 111,485,000 | 64,340,000 |
Total non-interest income | 569,883,000 | 652,494,000 | 419,167,000 |
Operating expenses: | |||
Personnel costs | 590,625,000 | 562,988,000 | 476,762,000 |
Net occupancy expenses | 96,339,000 | 88,329,000 | 89,194,000 |
Equipment expenses | 84,215,000 | 71,788,000 | 65,142,000 |
Other taxes | 51,653,000 | 46,284,000 | 43,382,000 |
Professional fees | 384,411,000 | 349,844,000 | 292,488,000 |
Communications | 23,450,000 | 23,107,000 | 22,466,000 |
Business promotion | 75,372,000 | 65,918,000 | 58,445,000 |
FDIC deposit insurance | 18,179,000 | 27,757,000 | 26,392,000 |
Loss on early extinguishment of debt | 0 | 12,522,000 | 0 |
Other real estate owned (O R E O) expenses | 4,298,000 | 23,338,000 | 48,540,000 |
Other operating expenses | 139,570,000 | 140,361,000 | 125,007,000 |
Amortization of intangibles | 9,370,000 | 9,326,000 | 9,378,000 |
Total operating expenses | 1,477,482,000 | 1,421,562,000 | 1,257,196,000 |
Income before income tax | 818,316,000 | 737,737,000 | 338,511,000 |
Income tax expense | 147,181,000 | 119,579,000 | 230,830,000 |
Net Income | 671,135,000 | 618,158,000 | 107,681,000 |
Net Income Applicable to Common Stock | $ 667,412,000 | $ 614,435,000 | $ 103,958,000 |
Net Income per Common Share - Basic | $ 6.89 | $ 6.07 | $ 1.02 |
Net Income per Common Share - Diluted | $ 6.88 | $ 6.06 | $ 1.02 |
Service charges on deposit accounts | |||
Interest expense: | |||
Revenue from contract with customer | $ 160,933,000 | $ 150,677,000 | $ 153,709,000 |
Other services | |||
Interest expense: | |||
Revenue from contract with customer | 285,206,000 | 258,020,000 | 217,267,000 |
Non-covered loans | |||
Interest expense: | |||
Provision for loan losses | 165,779,000 | 226,342,000 | 319,682,000 |
Covered loans | |||
Interest expense: | |||
Provision for loan losses | $ 0 | $ 1,730,000 | $ 5,742,000 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Income and Comprehensive Income | |||
Net income | $ 671,135 | $ 618,158 | $ 107,681 |
Reclassification to retained earnings due to cumulative effect of accounting change | (50) | (605) | 0 |
Other comprehensive income (loss) before tax: | |||
Foreing currency translation adjustment | (6,847) | (6,902) | (3,078) |
Adjustment of pension and postretirement benefit plans | (21,874) | (15,497) | (8,465) |
Amortization of net losses of pension and postretirement benefit plans | 23,508 | 21,542 | 22,428 |
Amortization of prior service credit of pension and postretirement benefit plans | 0 | (3,470) | (3,800) |
Unrealized holding gains (losses) on debt securities arising during the period | 286,063 | (71,255) | (45,307) |
Other-than-temporary impairment included in net income | 0 | 0 | 8,299 |
Reclassification adjustment for (gains) losses included in net income (loss) | 20 | 0 | (83) |
Unrealized holding gains on equity securities arising during the period | 0 | 0 | 151 |
Reclassification adjustment for gains included in net income | 0 | 0 | (251) |
Unrealized net (losses) gains on cash flow hedges | (5,741) | 536 | (1,295) |
Reclassification adjustment for net losses (gains) included in net income | 3,882 | (1,110) | 1,888 |
Other comprehensive income (loss) before tax | 278,961 | (76,761) | (29,513) |
Income tax (expense) benefit | (20,925) | (561) | (853) |
Total other comprehensive income (loss), net of tax | 258,036 | (77,322) | (30,366) |
Comprehensive income (loss), net of tax | $ 929,171 | $ 540,836 | $ 77,315 |
TAX EFFECT ALLOCATED TO EACH CO
TAX EFFECT ALLOCATED TO EACH COMPONENT OF OTHER COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Income and Comprehensive Income | |||
Adjustment of pension and postretirement benefit plans | $ 8,203 | $ 6,044 | $ 3,301 |
Amortization of net losses of pension and postretirement benefit plans | (8,817) | (8,401) | (8,744) |
Amortization of prior service credit of pension and postretirement benefit plans | 0 | 1,354 | 1,482 |
Unrealized holding gains (losses) on debt securities arising during the period | (20,113) | 219 | 4,861 |
Other-than-temporary impairment included in net income | 0 | 0 | (1,559) |
Reclassification adjustment for gains included in net income | (4) | 0 | 17 |
Unrealized holding gains on equity securities arising during the period | 0 | 0 | (30) |
Reclassification adjustment for gains included in net income | 0 | 0 | 50 |
Unrealized net (losses) gains on cash flow hedges | 1,302 | (210) | 505 |
Reclassification adjustment for net losses (gains) included in net income | (1,496) | 433 | (736) |
Income tax (expense) benefit | $ (20,925) | $ (561) | $ (853) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Preferred Stock | Capital surplus | Retained earnings | Treasury stock | Accumulated other comprehensive income (loss) |
Beginning Balance at Dec. 31, 2016 | $ 5,197,957 | $ 1,040 | $ 50,160 | $ 4,255,022 | $ 1,220,307 | $ (8,286) | $ (320,286) |
Increase Decrease In Stockholders Equity [Roll Forward] | |||||||
Net income | 107,681 | 107,681 | |||||
Issuance of stock | 6,947 | 2 | 6,945 | ||||
Dividends declared: | |||||||
Common stock | (102,136) | (102,136) | |||||
Preferred stock | (3,723) | (3,723) | |||||
Common stock purchases | (77,420) | 4,518 | (81,938) | ||||
Common stock reissuance | 69 | (13) | 82 | ||||
Stock based compensation | 4,896 | 4,896 | |||||
Other comprehensive loss, net of tax | (30,366) | (30,366) | |||||
Transfer to statutory reserve | 0 | 27,135 | (27,135) | ||||
Ending Balance at Dec. 31, 2017 | 5,103,905 | 1,042 | 50,160 | 4,298,503 | 1,194,994 | (90,142) | (350,652) |
Increase Decrease In Stockholders Equity [Roll Forward] | |||||||
Cumulative effect of accounting change | 1,935 | 1,935 | |||||
Net income | 618,158 | 618,158 | |||||
Issuance of stock | 3,341 | 1 | 3,340 | ||||
Dividends declared: | |||||||
Common stock | (101,293) | (101,293) | |||||
Preferred stock | (3,723) | (3,723) | |||||
Common stock purchases | (127,465) | (86) | (127,379) | ||||
Common stock reissuance | 3,927 | 351 | 3,576 | ||||
Stock based compensation | 13,594 | 5,158 | 8,436 | ||||
Other comprehensive loss, net of tax | (77,322) | (77,322) | |||||
Transfer to statutory reserve | 0 | 58,340 | (58,340) | ||||
Ending Balance at Dec. 31, 2018 | 5,435,057 | 1,043 | 50,160 | 4,365,606 | 1,651,731 | (205,509) | (427,974) |
Increase Decrease In Stockholders Equity [Roll Forward] | |||||||
Cumulative effect of accounting change | 4,905 | 4,905 | |||||
Net income | 671,135 | 671,135 | |||||
Issuance of stock | 3,497 | 1 | 3,496 | ||||
Dividends declared: | |||||||
Common stock | (116,022) | (116,022) | |||||
Preferred stock | (3,723) | (3,723) | |||||
Common stock purchases | (256,012) | 15,740 | (271,752) | ||||
Common stock reissuance | 5,222 | 374 | 4,848 | ||||
Stock based compensation | 14,684 | 2,085 | 12,599 | ||||
Other comprehensive loss, net of tax | 258,036 | 258,036 | |||||
Transfer to statutory reserve | 0 | 60,111 | (60,111) | ||||
Ending Balance at Dec. 31, 2019 | $ 6,016,779 | $ 1,044 | $ 50,160 | $ 4,447,412 | $ 2,147,915 | $ (459,814) | $ (169,938) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends Declared per Common Share | $ 1.20 | $ 1 | $ 1 |
Accelerated Share Repurchases [Line Items] | |||
Accelerated share repurchases settlement receipt | $ 250 | $ 125 | $ 75 |
DISCLOSURE OF CHANGES IN NUMBER
DISCLOSURE OF CHANGES IN NUMBER OF SHARES - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Treasury stock | (8,802,593) | (4,377,458) | |
Common Stock - Outstanding | 95,589,629 | 99,942,845 | |
Common Stock | |||
Beginning balance | 104,320,303 | 104,238,159 | 104,058,684 |
Issuance of stock | 71,919 | 82,144 | 179,475 |
Balance at end of year | 104,392,222 | 104,320,303 | 104,238,159 |
Treasury stock | (8,802,593) | (4,377,458) | (2,169,178) |
Common Stock - Outstanding | 95,589,629 | 99,942,845 | 102,068,981 |
Preferred Stock | |||
Beginning balance | 2,006,391 | 2,006,391 | 2,006,391 |
Balance at end of year | 2,006,391 | 2,006,391 | 2,006,391 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | |||
Net income | $ 671,135,000 | $ 618,158,000 | $ 107,681,000 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Provision for loan losses | 165,779,000 | 228,072,000 | 325,424,000 |
Amortization of intangibles | 9,370,000 | 9,326,000 | 9,378,000 |
Depreciation and amortization of premises and equipment | 58,067,000 | 53,300,000 | 48,364,000 |
Net accretion of discounts and amortization of premiums and deferred fees | (158,070,000) | (87,154,000) | (22,310,000) |
Share-based compensation | 12,303,000 | 10,521,000 | 0 |
Impairment losses on long-lived assets | 2,591,000 | 272,000 | 4,784,000 |
Other-than-temporary impairment on investment securities | 0 | 0 | 8,299,000 |
Fair value adjustments on mortgage servicing rights | 27,771,000 | 8,477,000 | 36,519,000 |
FDIC loss share expense | 0 | (94,725,000) | 10,066,000 |
Adjustments (expense) to indemnity reserves on loans sold | 343,000 | 12,959,000 | 22,377,000 |
Earnings from investments under the equity method, net of dividends or distributions | (28,011,000) | (24,217,000) | (18,247,000) |
Deferred income tax expense | 141,332,000 | (12,320,000) | 207,428,000 |
Gain on: | |||
Disposition of premises and equipment and other productive assets | (6,666,000) | 15,984,000 | 4,281,000 |
Proceeds from insurance claims | (1,205,000) | (20,147,000) | 0 |
Early extinguishment of debt | 0 | 12,522,000 | 0 |
Sale of debt securities | 20,000 | 0 | (83,000) |
Sale of loans, including valuation adjustments on loans held-for-sale and mortgage banking activities | (15,888,000) | (9,681,000) | (16,670,000) |
Sale of foreclosed assets, including write-downs | (21,982,000) | 6,833,000 | 21,715,000 |
Acquisitions of loans held-for-sale | (223,939,000) | (232,264,000) | (244,385,000) |
Proceeds from sale of loans held-for-sale | 71,075,000 | 66,687,000 | 69,464,000 |
Net originations on loans held-for-sale | (289,430,000) | (254,582,000) | (315,522,000) |
Net decrease (increase) in: | |||
Trading debt securities | 460,969,000 | 458,447,000 | 503,108,000 |
Equity securities | (8,032,000) | (1,622,000) | (1,269,000) |
Accrued income receivable | (8,369,000) | 49,288,000 | (75,802,000) |
Other assets | (37,847,000) | 264,841,000 | (65,844,000) |
Net (decrease) increase in: | |||
Interest payable | (284,000) | (9,786,000) | 2,549,000 |
Pension and other postretirement benefits obligation | 778,000 | 4,558,000 | (13,100,000) |
Other liabilities | (116,443,000) | (226,244,000) | 28,279,000 |
Total adjustments | 34,232,000 | 229,345,000 | 528,803,000 |
Net cash provided by operating activities | 705,367,000 | 847,503,000 | 636,484,000 |
Cash flows from investing activities: | |||
Net decrease in money market investments | 905,558,000 | 1,083,515,000 | (2,366,932,000) |
Purchases of investment securities: | |||
Available-for-sale | (18,733,295,000) | (10,050,165,000) | (4,139,650,000) |
Equity | (16,300,000) | (13,068,000) | (29,672,000) |
Proceeds from calls, paydowns, maturities and redemptions of investment securities: | |||
Available-for-sale | 14,650,440,000 | 6,946,209,000 | 2,023,295,000 |
Held-to-maturity | 5,913,000 | 7,280,000 | 6,232,000 |
Proceeds from sale of investment securities: | |||
Available-for-sale | 99,445,000 | 0 | 14,423,000 |
Equity | 20,030,000 | 24,209,000 | 30,250,000 |
Net (disbursements) repayments on loans | (641,029,000) | (6,665,000) | (398,676,000) |
Proceeds from sale of loans | 110,534,000 | 29,669,000 | 415,000 |
Acquisition of loan portfolios | (619,737,000) | (601,550,000) | (535,534,000) |
Payments to acquire other intangible | (10,382,000) | 0 | 0 |
Net payments (to) from FDIC under loss sharing agreements | 0 | (25,012,000) | (7,679,000) |
Payments to acquire businesses, net of cash acquired | 0 | (1,843,333,000) | 0 |
Return of capital from equity method investments | 6,942,000 | 4,090,000 | 8,194,000 |
Acquisition of premises and equipment | (75,665,000) | (80,549,000) | (62,697,000) |
Proceeds from insurance claims | 1,205,000 | 20,147,000 | 0 |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 18,608,000 | 9,185,000 | 9,753,000 |
Foreclosed assets | 107,881,000 | 105,371,000 | 96,540,000 |
Net cash used in investing activities | (4,169,852,000) | (4,390,667,000) | (5,351,738,000) |
Net increase (decrease) in: | |||
Deposits | 4,043,955,000 | 4,259,651,000 | 4,954,105,000 |
Assets sold under agreements to repurchase | (88,151,000) | (109,391,000) | (88,505,000) |
Other short-term borrowings | (41,000) | (96,167,000) | 95,008,000 |
Payments of notes payable | (210,377,000) | (755,966,000) | (95,607,000) |
Principal payments of finance leases | (1,726,000) | 0 | 0 |
Payments for debt extinguishment | 0 | 12,522,000 | 0 |
Proceeds from issuance of notes payable | 75,000,000 | 473,819,000 | 55,000,000 |
Proceeds from issuance of common stock | 8,719,000 | 7,268,000 | 7,016,000 |
Dividends paid | (115,810,000) | (105,441,000) | (95,910,000) |
Net payments for repurchase of common stock | (250,581,000) | (125,264,000) | (75,664,000) |
Payments related to tax witholding for share-based compensation | (5,431,000) | (2,201,000) | (1,756,000) |
Net cash provided by financing activities | 3,455,557,000 | 3,533,786,000 | 4,753,687,000 |
Net (decrease) increase in cash and due from banks, and restricted cash | (8,928,000) | (9,378,000) | 38,433,000 |
Cash and due from banks and restricted cash at beginning of period | 403,251,000 | 412,629,000 | 374,196,000 |
Cash and due from banks and restricted cash at end of period | $ 394,323,000 | $ 403,251,000 | $ 412,629,000 |
Nature of operations
Nature of operations | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Nature Of Operations | Note 1 – Nature of operations Popular, Inc. (the “Corporation or “Popular”) is a diversified, publicly-owned financial holding company subject to the supervision and regulation of the Board of Governors of the Federal Reserve System. The Corporation has operations in Puerto Rico, the mainland United States (“U.S.”) and the U.S. and British Virgin Islands. In Puerto Rico, the Corporation provides retail, mortgage and commercial banking services, through its principal banking subsidiary, Banco Popular de Puerto Rico (“BPPR”), as well as investment banking, broker-dealer, auto and equipment leasing and financing, and insurance services through specialized subsidiaries. In the mainland U.S., the Corporation provides retail, mortgage and commercial banking services through its New York-chartered banking subsidiary, Popular Bank (“PB”), which has branches located in New York, New Jersey and Florida. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies | |
Summary of significant accounting policies | Note 2 – Summary of significant accounting policies The accounting and financial reporting policies of Popular, Inc. and its subsidiaries (the “Corporation”) conform with accounting principles generally accepted in the United States of America and with prevailing practices within the financial services industry. The following is a description of the most significant of these policies: Principles of consolidation The consolidated financial statements include the accounts of Popular, Inc. and its subsidiaries. Intercompany accounts and transactions have been eliminated in consolidation. In accordance with the consolidation guidance for variable interest entities, the Corporation would also consolidate any variable interest entities (“VIEs”) for which it has a controlling financial interest; and therefore, it is the primary beneficiary. Assets held in a fiduciary capacity are not assets of the Corporation and, accordingly, are not included in the Consolidated Statements of Financial Condition. Unconsolidated investments, in which there is at least 20% ownership and the Corporation exercises significant influence, are generally accounted for by the equity method with earnings recorded in other operating income. These investments are included in other assets and the Corporation’s proportionate share of income or loss is included in other operating income. Those investments in which there is less than 20% ownership, are generally carried under the cost method of accounting, unless significant influence is exercised. Under the cost method, the Corporation recognizes income when dividends are received. Limited partnerships are accounted for by the equity method unless the investor’s interest is so “minor” that the limited partner may have virtually no influence over partnership operating and financial policies. Statutory business trusts that are wholly-owned by the Corporation and are issuers of trust preferred securities are not consolidated in the Corporation’s Consolidated Financial Statements. Business combinations Business combinations are accounted for under the acquisition method. Under this method, assets acquired, liabilities assumed and any noncontrolling interest in the acquiree at the acquisition date are measured at their fair values as of the acquisition date. The acquisition date is the date the acquirer obtains control. Also, assets or liabilities arising from noncontractual contingencies are measured at their acquisition date at fair value only if it is more likely than not that they meet the definition of an asset or liability. Acquisition-related restructuring costs that do not meet certain criteria of exit or disposal activities are expensed as incurred. Transaction costs are expensed as incurred. Changes in income tax valuation allowances for acquired deferred tax assets are recognized in earnings subsequent to the measurement period as an adjustment to income tax expense. Contingent consideration classified as an asset or a liability is remeasured to fair value at each reporting date until the contingency is resolved. The changes in fair value of the contingent consideration are recognized in earnings unless the arrangement is a hedging instrument for which changes are initially recognized in other comprehensive income. On August 1, 2018, Popular, Inc., through its subsidiary Popular Auto, LLC, acquired and assumed from Reliable Financial Services, Inc. and Reliable Finance Holding Co. (“Reliable”), subsidiaries of Wells Fargo & Company, certain assets and liabilities related to their auto finance business in Puerto Rico (the “Reliable Transaction” or “Transaction”). The Corporation determined that this acquisition constituted a business combination as defined by the Financial Accounting Standards Board (“FASB”) Codification (“ASC”) Topic 805 “Business Combinations”. Refer to Note 4, Business combination, for further details on the Reliable Transaction. There were no significant business combinations during 2019. Use of 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 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. Fair value measurements The Corporation determines the fair values of its financial instruments based on the fair value framework established in the guidance for Fair Value Measurements in ASC Subtopic 820-10, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The standard describes three levels of inputs that may be used to measure fair value which are (1) quoted market prices for identical assets or liabilities in active markets, (2) observable market-based inputs or unobservable inputs that are corroborated by market data, and (3) unobservable inputs that are not corroborated by market data. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. The guidance in ASC Subtopic 820-10 also addresses measuring fair value in situations where markets are inactive and transactions are not orderly. Transactions or quoted prices for assets and liabilities may not be determinative of fair value when transactions are not orderly, and thus, may require adjustments to estimate fair value. Price quotes based on transactions that are not orderly should be given little, if any, weight in measuring fair value. Price quotes based on transactions that are orderly shall be considered in determining fair value, and the weight given is based on facts and circumstances. If sufficient information is not available to determine if price quotes are based on orderly transactions, less weight should be given to the price quote relative to other transactions that are known to be orderly. Investment securities Investment securities are classified in four categories and accounted for as follows: Debt securities that the Corporation has the intent and ability to hold to maturity are classified as debt securities held-to-maturity and reported at amortized cost. The Corporation may not sell or transfer held-to-maturity securities without calling into question its intent to hold other debt securities to maturity, unless a nonrecurring or unusual event that could not have been reasonably anticipated has occurred. An investment in debt securities is considered impaired if the fair value of the investment is less than its amortized cost. For other-than-temporary impairments, the Corporation assesses if it has both the intent and the ability to hold the security for a period of time sufficient to allow for an anticipated recovery in its fair value to its amortized cost. An other-than-temporary impairment not related to a credit loss (defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis) for a held-to-maturity security is recognized in accumulated other comprehensive loss and amortized over the remaining life of the debt security. The amortized cost basis for a debt security is adjusted by the credit loss amount of other-than-temporary impairments. Debt securities classified as trading securities are reported at fair value, with unrealized gains and losses included in non-interest income. Debt securities not classified as either held-to-maturity or trading, and which have a readily available fair value, are classified as debt securities available-for-sale and reported at fair value, with unrealized gains and losses excluded from earnings and reported, net of taxes, in accumulated other comprehensive income or loss. The specific identification method is used to determine realized gains and losses on debt securities available-for-sale, which are included in net (loss) gain on sale of debt securities in the Consolidated Statements of Operations. Declines in the value of debt securities that are considered other-than-temporary reduce the value of the asset, and the estimated loss is recorded in non-interest income. For debt securities, the Corporation assesses whether (a) it has the intent to sell the debt security, or (b) it is more likely than not that it will be required to sell the debt security before its anticipated recovery. If either of these conditions is met, an other-than-temporary impairment on the security is recognized. In instances in which a determination is made that a credit loss (defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis) exists but the entity does not intend to sell the debt security and it is not more likely than not that the entity will be required to sell the debt security before the anticipated recovery of its remaining amortized cost basis (i.e., the amortized cost basis less any current-period credit loss), the impairment is separated into (a) the amount of the total impairment related to the credit loss, and (b) the amount of the total impairment related to all other factors. The amount of the total impairment related to the credit loss is recognized in the Consolidated Statements of Operations. The amount of the total impairment related to all other factors is recognized in other comprehensive loss. The other-than-temporary impairment analyses for debt securities are performed on a quarterly basis. Equity securities that have readily available fair values are reported at fair value. Equity securities that do not have readily available fair values are measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. Stock that is owned by the Corporation to comply with regulatory requirements, such as Federal Reserve Bank and Federal Home Loan Bank (“FHLB”) stock, is included in this category, and their realizable value equals their cost. Unrealized gains and losses of equity securities are included in net gain (loss), including impairment on equity securities in the Consolidated Statements of Operations. The amortization of premiums is deducted and the accretion of discounts is added to net interest income based on the interest method over the outstanding period of the related securities. Purchases and sales of securities are recognized on a trade date basis. Derivative financial instruments All derivatives are recognized on the Statements of Financial Condition at fair value. The Corporation’s policy is not to offset the fair value amounts recognized for multiple derivative instruments executed with the same counterparty under a master netting arrangement nor to offset the fair value amounts recognized for the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) arising from the same master netting arrangement as the derivative instruments. For a cash flow hedge, changes in the fair value of the derivative instrument, to the extent that it is effective, are recorded net of taxes in accumulated other comprehensive income/(loss) and subsequently reclassified to net income (loss) in the same period(s) that the hedged transaction impacts earnings. The ineffective portion of cash flow hedges is immediately recognized in current earnings. For free-standing derivative instruments, changes in fair values are reported in current period earnings. Prior to entering a hedge transaction, the Corporation formally documents the relationship between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes linking all derivative instruments to specific assets and liabilities on the Statements of Financial Condition or to specific forecasted transactions or firm commitments along with a formal assessment, at both inception of the hedge and on an ongoing basis, as to the effectiveness of the derivative instrument in offsetting changes in fair values or cash flows of the hedged item. Hedge accounting is discontinued when the derivative instrument is not highly effective as a hedge, a derivative expires, is sold, terminated, when it is unlikely that a forecasted transaction will occur or when it is determined that it is no longer appropriate. When hedge accounting is discontinued the derivative continues to be carried at fair value with changes in fair value included in earnings. For non-exchange traded contracts, fair value is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. The fair value of derivative instruments considers the risk of non-performance by the counterparty or the Corporation, as applicable. The Corporation obtains or pledges collateral in connection with its derivative activities when applicable under the agreement . Loans Loans are classified as loans held-in-portfolio when management has the intent and ability to hold the loan for the foreseeable future, or until maturity or payoff. The foreseeable future is a management judgment which is determined based upon the type of loan, business strategies, current market conditions, balance sheet management and liquidity needs. Management’s view of the foreseeable future may change based on changes in these conditions. When a decision is made to sell or securitize a loan that was not originated or initially acquired with the intent to sell or securitize, the loan is reclassified from held-in-portfolio into held-for-sale. Due to changing market conditions or other strategic initiatives, management’s intent with respect to the disposition of the loan may change, and accordingly, loans previously classified as held-for-sale may be reclassified into held-in-portfolio. Loans transferred between loans held-for-sale and held-in-portfolio classifications are recorded at the lower of cost or fair value at the date of transfer. Purchased loans are accounted at fair value upon acquisition. Credit discounts are included in the determination of fair value; therefore, an allowance for loan losses is not recorded at the acquisition date. Loans held-for-sale are stated at the lower of cost or fair value, cost being determined based on the outstanding loan balance less unearned income, and fair value determined, generally in the aggregate. Fair value is measured based on current market prices for similar loans, outstanding investor commitments, prices of recent sales or discounted cash flow analyses which utilize inputs and assumptions which are believed to be consistent with market participants’ views. The cost basis also includes consideration of deferred origination fees and costs, which are recognized in earnings at the time of sale. Upon reclassification to held-for-sale, credit related fair value adjustments are recorded as a reduction in the allowance for loan losses (“ALLL”). To the extent that the loan's reduction in value has not already been provided for in the allowance for loan losses, an additional loan loss provision is recorded. Subsequent to reclassification to held-for-sale, the amount, by which cost exceeds fair value, if any, is accounted for as a valuation allowance with changes therein included in the determination of net income (loss) for the period in which the change occurs. Loans held-in-portfolio are reported at their outstanding principal balances net of any unearned income, charge-offs, unamortized deferred fees and costs on originated loans, and premiums or discounts on purchased loans. Fees collected and costs incurred in the origination of new loans are deferred and amortized using the interest method or a method which approximates the interest method over the term of the loan as an adjustment to interest yield. The past due status of a loan is determined in accordance with its contractual repayment terms. Furthermore, loans are reported as past due when either interest or principal remains unpaid for 30 days or more in accordance with its contractual repayment terms. Non-accrual loans are those loans on which the accrual of interest is discontinued. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is charged against income and the loan is accounted for either on a cash-basis method or on the cost-recovery method. Loans designated as non-accruing are returned to accrual status when the Corporation expects repayment of the remaining contractual principal and interest. Recognition of interest income on commercial and construction loans is discontinued when the loans are 90 days or more in arrears on payments of principal or interest or when other factors indicate that the collection of principal and interest is doubtful. The impaired portion of secured loan past due as to principal and interest is charged-off not later than 365 days past due. However, in the case of a collateral dependent loan individually evaluated for impairment, the excess of the recorded investment over the fair value of the collateral (portion deemed uncollectible) is generally promptly charged-off, but in any event, not later than the quarter following the quarter in which such excess was first recognized. Commercial unsecured loans are charged-off no later than 180 days past due. Recognition of interest income on mortgage loans is generally discontinued when loans are 90 days or more in arrears on payments of principal or interest. The impaired portion of a mortgage loan is charged-off when the loan is 180 days past due. The Corporation discontinues the recognition of interest on residential mortgage loans insured by the Federal Housing Administration (“FHA”) or guaranteed by the U.S. Department of Veterans Affairs (“VA”) when 15-months delinquent as to principal or interest. The principal repayment on these loans is insured. Recognition of interest income on closed-end consumer loans and home equity lines of credit is discontinued when the loans are 90 days or more in arrears on payments of principal or interest. Income is generally recognized on open-end consumer loans, except for home equity lines of credit, until the loans are charged-off. Recognition of interest income for lease financing is ceased when loans are 90 days or more in arrears. Closed-end consumer loans and leases are charged-off when they are 120 days in arrears. Open-end (revolving credit) consumer loans are charged-off when 180 days in arrears. Commercial and consumer overdrafts are generally charged-off no later than 60 days past their due date. A loan classified as a troubled debt restructuring (“TDR”) is typically in non-accrual status at the time of the modification. The TDR loan continues in non-accrual status until the borrower has demonstrated a willingness and ability to make the restructured loan payments (at least six months of sustained performance after the modification (or one year for loans providing for quarterly or semi-annual payments)) and management has concluded that it is probable that the borrower would not be in payment default in the foreseeable future. Lease financing The Corporation leases passenger and commercial vehicles and equipment to individual and corporate customers. The finance method of accounting is used to recognize revenue on lease contracts that meet the criteria specified in the guidance for leases in ASC Topic 842. Aggregate rentals due over the term of the leases less unearned income are included in finance lease contracts receivable. Unearned income is amortized using a method which results in approximate level rates of return on the principal amounts outstanding. Finance lease origination fees and costs are deferred and amortized over the average life of the lease as an adjustment to the interest yield. Revenue for other leases is recognized as it becomes due under the terms of the agreement. Loans acquired with deteriorated credit quality accounted for under ASC 310-30 Loans accounted for under ASC Subtopic 310-30 represent loans showing evidence of credit deterioration and that it is probable, at the date of acquisition, that the Corporation would not collect all contractually required principal and interest payments. Generally, acquired loans that meet the definition for nonaccrual status fall within the Corporation’s definition of impaired loans under ASC Subtopic 310-30. Also, for acquisitions that include a significant amount of impaired loans, an election can be made for non-impaired loans included in such transactions to apply the accretable yield method (expected cash flow model of ASC Subtopic 310-30), by analogy, to those loans. Those loans are disclosed as a loan that was acquired with credit deterioration and impairment. Under ASC Subtopic 310-30, impaired loans are aggregated into pools based on loans that have common risk characteristics. Each loan pool is accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Characteristics considered in pooling loans include loan type, interest rate type, accruing status, amortization type, rate index and source type. Once the pools are defined, the Corporation maintains the integrity of the pool of multiple loans accounted for as a single asset. Under ASC Subtopic 310-30, the difference between the undiscounted cash flows expected at acquisition and the fair value in the loans, or the “accretable yield,” is recognized as interest income using the effective yield method over the estimated life of the loan if the timing and amount of the future cash flows of the pool is reasonably estimable. Therefore, these loans are not considered non- performing. The non-accretable difference represents the difference between contractually required principal and interest and the cash flows expected to be collected. Subsequent to the acquisition date, increases in cash flows over those expected at the acquisition date are recognized as a reduction of any allowance for loan losses established after the acquisition and then as an increase in the accretable yield for the loans prospectively. Decreases in expected cash flows after the acquisition date are recognized by recording an allowance for loan losses. Loans charged-off against the non-accretable difference established in purchase accounting are not reported as charge-offs. Charge-offs on loans accounted under ASC Subtopic 310-30 are recorded only to the extent that losses exceed the non-accretable difference established with purchase accounting. Refer to Note 8 to the Consolidated Financial Statements for additional information with respect to loans acquired with deteriorated credit quality under ASC 310-30. Allowance for loan losses The Corporation follows a systematic methodology to establish and evaluate the adequacy of the allowance for loan losses to provide for inherent losses in the loan portfolio. This methodology includes the consideration of factors such as current economic conditions, portfolio risk characteristics, prior loss experience and results of periodic credit reviews of individual loans. The provision for loan losses charged to current operations is based on this methodology. Loan losses are charged and recoveries are credited to the allowance for loan losses. The Corporation’s assessment of the allowance for loan losses is determined in accordance with the guidance of loss contingencies in ASC Subtopic 450-20 and loan impairment guidance in ASC Section 310-10-35. Also, the Corporation determines the allowance for loan losses on purchased impaired loans and purchased loans accounted for under ASC Subtopic 310-30, by evaluating decreases in expected cash flows after the acquisition date. For a detailed description of the principal factors used to determine the general reserves of the allowance for loan losses and for the principal enhancements Management made to its methodology, refer to Note 9 to the Consolidated Financial Statements. According to the loan impairment accounting guidance in ASC Section 310-10-35, a loan is impaired when, based on current information and events, it is probable that the principal and/or interest are not going to be collected according to the original contractual terms of the loan agreement. Current information and events include “environmental” factors, e.g. existing industry, geographical, economic and political factors. Probable means the future event or events which will confirm the loss or impairment of the loan is likely to occur. The Corporation defines commercial and construction impaired loans as borrowers with total debt greater than or equal to $1 million with 90 days or more past due, as well as all loans whose terms have been modified in a troubled debt restructuring (“TDRs”). In addition, larger commercial and construction loans ($1 million and over) that exhibit probable or observed credit weaknesses are subject to individual review and thus evaluated for impairment. Commercial and construction loans that originally met the Corporation’s threshold for impairment identification in a prior period, but due to charge-offs or payments are currently below the $1 million threshold and are still 90 days past due, except for TDRs, are accounted for under the Corporation’s general reserve methodology. Although the accounting codification guidance for specific impairment of a loan excludes large groups of smaller balance homogeneous loans that are collectively evaluated for impairment (e.g. mortgage and consumer loans), it specifically requires that loan modifications considered troubled debt restructurings (“TDRs”) be analyzed under its provisions. An allowance for loan impairment is recognized to the extent that the carrying value of an impaired loan exceeds the present value of the expected future cash flows discounted at the loan’s effective rate, the observable market price of the loan, if available, or the fair value of the collateral if the loan is collateral dependent. The fair value of the collateral is generally based on appraisals. Appraisals may be adjusted due to their age, and the type, location, and condition of the property or area or general market conditions to reflect the expected change in value between the effective date of the appraisal and the impairment measurement date. The Corporation requests updated appraisal reports from pre-approved appraisers for loans that are considered impaired following the Corporation’s reappraisals policy. This policy requires updated appraisals for loans secured by real estate (including construction loans) either annually or every two years depending on the total exposure of the borrower. As a general procedure, the Corporation internally reviews appraisals as part of the underwriting and approval process and also for credits considered impaired. Troubled debt restructurings A restructuring constitutes a TDR when the Corporation separately concludes that both of the following conditions exist: 1) the restructuring constitute a concession and 2) the debtor is experiencing financial difficulties. The concessions stem from an agreement between the Corporation and the debtor or are imposed by law or a court. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. A concession has been granted when, as a result of the restructuring, the Corporation does not expect to collect all amounts due, including interest accrued at the original contract rate. If the payment of principal is dependent on the value of collateral, the current value of the collateral is taken into consideration in determining the amount of principal to be collected; therefore, all factors that changed are considered to determine if a concession was granted, including the change in the fair value of the underlying collateral that may be used to repay the loan. Classification of loan modifications as TDRs involves a degree of judgment. Indicators that the debtor is experiencing financial difficulties which are considered include: (i) the borrower is currently in default on any of its debt or it is probable that the borrower would be in payment default on any of its debt in the foreseeable future without the modification; (ii) the borrower has declared or is in the process of declaring bankruptcy; (iii) there is significant doubt as to whether the borrower will continue to be a going concern; (iv) the borrower has securities that have been delisted, are in the process of being delisted, or are under threat of being delisted from an exchange; (v) based on estimates and projections that only encompass the borrower’s current business capabilities, it is forecasted that the entity-specific cash flows will be insufficient to service the debt (both interest and principal) in accordance with the contractual terms of the existing agreement through maturity; and (vi) absent the current modification, the borrower cannot obtain funds from sources other than the existing creditors at an effective interest rate equal to the current market interest rate for similar debt for a non-troubled debtor. The identification of TDRs is critical in the determination of the adequacy of the allowance for loan losses. Loans classified as TDRs may be excluded from TDR status if performance under the restructured terms exists for a reasonable period (at least twelve months of sustained performance) and the loan yields a market rate. A loan may be restructured in a troubled debt restructuring into two (or more) loan agreements, for example, Note A and Note B. Note A represents the portion of the original loan principal amount that is expected to be fully collected along with contractual interest. Note B represents the portion of the original loan that may be considered uncollectible and charged-off, but the obligation is not forgiven to the borrower. Note A may be returned to accrual status provided all of the conditions for a TDR to be returned to accrual status are met. The modified loans are considered TDRs and thus, are evaluated under the framework of ASC Section 310-10-35 as long as the loans are not part of a pool of loans accounted for under ASC Subtopic 310-30. Refer to Note 9 to the Consolidated Financial Statements for additional qualitative information on TDRs and the Corporation’s determination of the allowance for loan losses. Reserve for unfunded commitments The reserve for unfunded commitments is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to unfunded credit facilities and is included in other liabilities in the Consolidated Statements of Financial Condition. The determination of the adequacy of the reserve is based upon an evaluation of the unfunded credit facilities. Net adjustments to the reserve for unfunded commitments are included in other operating expenses in the Consolidated Statements of Operations. Transfers and servicing of financial assets The transfer of an entire financial asset, a group of entire financial assets, or a participating interest in an entire financial asset in which the Corporation surrenders control over the assets is accounted for as a sale if all of the following conditions set forth in ASC Topic 860 are met: (1) the assets must be isolated from creditors of the transferor, (2) the transferee must obtain the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the transferor cannot maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. When the Corporation transfers financial assets and the transfer fails any one of these criteria, the Corporation is prevented from derecognizing the transferred financial assets and the transaction is accounted for as a secured borrowing. For federal and Puerto Rico income tax purposes, the Corporation treats the transfers of loans which do not qualify as “true s |
New accounting pronouncements
New accounting pronouncements | 12 Months Ended |
Dec. 31, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles | |
New Accounting Pronouncements | Note 3 - New accounting pronouncements Recently Adopted Accounting Standards Updates Standard Description Date of adoption Effect on the financial statements FASB Accounting Standards Update (“ASU”) 2018-14, Compensation – Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans The FASB issued ASU 2018-14 in August 2018, which modifies the disclosure requirements for employers that sponsor defined benefit pension or postretirement plans. The most significant changes include the removal of the amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost over the next fiscal year and the effects of a one-percentage point change in assumed health care cost trend rates on the aggregate of the service and interest cost components of net periodic benefit costs and benefit obligation for postretirement health care benefits. In addition, certain disclosure requirements were added which include, but are not limited to, an explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period. December 31, 2019 The Corporation early adopted ASU 2018-14 during the fiscal year ended December 31, 2019 and was mainly impacted by the simplified disclosures of this ASU. Refer to amended disclosures on Note 32, Employee benefits. FASB ASU 2019-01, Leases (Topic 842): Codification Improvements The FASB issued ASU 2019-01 in March 2019 which, among other things, reinstates the specific fair value guidance in ASC Topic 840 for lessors that are not manufacturers or dealers to continue to measure the fair value of an underlying asset at its cost and clarifies that lessors that are depository or lending institutions in the scope of ASC Topic 942 are required to present the principal portion of lessee payments received from sales-type or direct financing leases as cash flows from investing activities. January 1, 2019 The Corporation early adopted ASU 2019-01 during the first quarter of 2019, but was not impacted by the adoption of this ASU. Standard Description Date of adoption Effect on the financial statements FASB ASUs, Leases (Topic 842) The FASB has issued a series of ASUs which supersede ASC Topic 840 and set out the principles for the recognition, measurement, presentation and disclosure of leases for both lessors and lessees. The new guidance requires lessees to apply a dual approach, classifying leases as either finance or operating leases. A lessee is also required to record a right-of-use asset (“ROU asset”) and a lease liability for all leases with a term greater than 12 months regardless of their classification. The new standard requires lessors to account for leases using an approach that is substantially equivalent to previous guidance for sales-type leases, direct financing leases and operating leases. In addition, the new leases standard requires lessors, among other things, to present lessor costs paid by the lessee to the lessor on a gross basis. January 1, 2019 The Corporation adopted the new leases standard during the first quarter of 2019 using the modified retrospective approach. The Corporation made the following elections: to not reassess at the date of adoption whether any existing contracts were or contained leases, their lease classification, and initial direct costs; applied the transition provisions of the new leases standard at the adoption date; used hindsight in evaluating lessee options to extend or terminate a lease; and to not apply ASC Topic 842 to short-term leases. As of January 1, 2019, the Corporation recognized ROU assets of $ 139 million, net of deferred rent liability of $ 15 million, and lease liabilities of $ 154 million on its operating leases. In addition, the Corporation recorded a positive cumulative effect adjustment of $ 4.8 million to retained earnings as a result of the reclassification of previously deferred gains on sale and operating lease back transactions. FASB ASU 2018-16, Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes The FASB issued ASU 2018-16 in October 2018 which permits use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under Topic 815 in addition to other permissible U.S. benchmark rates. January 1, 2019 The Corporation adopted ASU 2018-16 during the first quarter of 2019. As such, the Corporation will consider this guidance for qualifying new hedging relationships entered into on or after the effective date. Standard Description Date of adoption Effect on the financial statements FASB ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income The FASB issued ASU 2018-02 in February 2018, which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. These stranded tax effects result from recognizing in income the impact of changes in tax rates even when the related tax effects were recognized in accumulated other comprehensive income. The amendments also require certain disclosures about stranded tax effects. January 1, 2019 The Corporation adopted ASU 2018-02 during the first quarter of 2019. As of December 31, 2018, the Corporation maintained a full valuation allowance on the deferred tax assets that were recognized in accumulated other comprehensive income related to its U.S. operations. As such, the Corporation was not impacted by the adoption of this accounting pronouncement. FASB ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities The FASB issued ASU 2017-12 in August 2017, which makes more financial and nonfinancial hedging strategies eligible for hedge accounting and changes how companies assess effectiveness by, among other things, eliminating the requirement for entities to recognize hedge ineffectiveness each reporting period for cash flow hedges and requiring presentation of the changes in fair value of cash flow hedges in the same income statement line item(s) as the earnings effect of the hedged items when the hedged item affects earnings. January 1, 2019 The Corporation adopted ASU 2017-12 during the first quarter of 2019. The cumulative effect adjustment recorded to retained earnings to reverse the hedge ineffectiveness as of December 31, 2018 was not significant. There were no changes in presentation since the earnings effect of the hedges and the hedged items are already presented in the same income statement line item. In addition, the Corporation elected to continue to perform subsequent assessments of hedge effectiveness quantitatively. Additionally, adoption of the following standards during 2019 did not have a significant impact on the Corporation’s Consolidated Financial Statements: FASB ASUs 2019-07, Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 33-10532, Disclosure Update and Simplification and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates FASB ASU 2018-09, Codification Improvements FASB ASU 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting FASB ASU 2017-11, Earnings per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): Part I: Accounting for Certain Financial Instruments with Down Round Features; Part II: Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception FASB ASU 2017-08, Receivables– Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities Accounting Standards Updates Not Yet Adopted Standard Description Date of adoption Effect on the financial statements FASB ASU 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323 and Topic 815 The FASB issued ASU 2020-01 in January 2020, which clarifies that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting for the purposes of applying the measurement alternative in accordance with Topic 321 and includes scope considerations for entities that hold certain non-derivative forward contracts and purchased options to acquire equity securities that, upon settlement of the forward contract or exercise of the purchase option, would be accounted for under the equity method of accounting. January 1, 2021 The Corporation does not expect to be materially impacted by these amendments. FASB ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The FASB issued ASU 2019-12 in December 2019, which simplifies the accounting for income taxes by removing certain exceptions such as the incremental approach for intra-period tax allocation and interim period income tax accounting for year-to-date losses that exceed anticipated losses. In addition, the ASU simplifies GAAP in a number of areas such as when separate financial statements of legal entities are not subject to tax and enacted changes in tax laws in interim periods. January 1, 2021 The Corporation does not anticipate that the adoption of this accounting pronouncement will have a material effect on its Consolidated Statements of Financial Condition and Results of Operations. FASB ASU 2019-08, Compensation – Stock Compensation (Topic 718) and Revenue from Contracts with Customers (Topic 606): Codification Improvements – Share-Based Consideration Payable to a Customer The FASB issued ASU 2019-08 in November 2019, which requires that an entity measure and classify share-based payment awards granted to a customer in accordance with Topic 718. Therefore, the grant-date fair value of the share-based payment awards will be the basis for the reduction of the transaction price. January 1, 2020 The Corporation does not expect to be impacted by these amendments since it does not grant share-based payment awards to its customers. Standard Description Date of adoption Effect on the financial statements FASB ASU 2018-18, Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 The FASB issued ASU 2018-18 in November 2018 which, among other things, provides guidance on how to assess whether certain collaborative arrangement transactions should be accounted for under Topic 606. January 1, 2020 The Corporation does not expect to be impacted by these amendments since it does not have collaborative arrangements. FASB ASU 2018-17, Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities The FASB issued ASU 2018-17 in October 2018, which requires entities to consider indirect interests held through related parties under common control on a proportional basis rather than as the equivalent of a direct interest in its entirety when determining whether a decision-making fee is a variable interest. January 1, 2020 The Corporation does not expect to be materially impacted by these amendments. Standard Description Date of adoption Effect on the financial statements FASB ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract The FASB issued ASU 2018-15 in August 2018 which, among other things, aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software, and clarifies the term over which such capitalized implementation costs should be amortized. January 1, 2020 The Corporation does not expect to be significantly impacted by these amendments. FASB ASU 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment The FASB issued ASU 2017-04 in January 2017, which simplifies the accounting for goodwill impairment by removing Step 2 of the two-step goodwill impairment test under the current guidance. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. Entities will be required to disclose the amount of goodwill at reporting units with zero or negative carrying amounts. January 1, 2020 Upon adoption of this standard, if the carrying amount of any of the reporting units exceeds its fair value, the Corporation would be required to record an impairment charge for the difference up to the amount of the goodwill. FASB ASU 2017-03, Accounting Changes and Error Corrections (Topic 250) and Investments-Equity Method and Joint Ventures (Topic 323): Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings (SEC Update) The FASB issued ASU 2017-03 in January 2017, which incorporates into the Accounting Standards Codification recent SEC guidance about certain investments in qualified affordable housing and disclosing under SEC SAB Topic 11.M the effect on financial statements of adopting the revenue, leases and credit losses standards. January 1, 2020 The Corporation has considered the guidance in this Update in its disclosures on the effect in its consolidated financial statements of adoption on the new Credit Loss Standard, discussed below. FASB ASUs Financial Instruments – Credit Losses (Topic 326) Since June 2016, the FASB has issued a series of ASUs mainly related to credit losses (Topic 326), which replace the incurred loss model with a current expected credit loss (“CECL”) model. The CECL model applies to financial assets measured at amortized cost that are subject to credit losses and certain off-balance sheet exposures. CECL establishes a forw ard-looking methodology that reflects the expected credit losses over the lives of financial assets, starting when such assets are first acquired. Under the revised methodology, credit losses will be measured based on past events, current conditions and reasonable and supportable forecasts that affect the collectability of financial assets. CECL also revises the approach to recognizing credit losses for available-for-sale securities by replacing the direct write-down approach with the allowance approach and limiting the allowance to the amount at which the security’s fair value is less than the amortized cost. In addition, CECL provides that the initial allowance for credit losses on purchased credit deteriorated (“PCD”) financial assets will be recorded as an increase to the purchase price, with subsequent changes to the allowance recorded as a credit loss expense. The amendments to Topic 326 include the areas of accrued interest receivable, transfers of loans and debt securities between classifications and the inclusion of expected recoveries in the allowance for credit losses including PCD assets. The standards also expand credit quality disclosures. These accounting standards updates were effective on January 1, 2020. The Corporation expects that its allowance for loan and lease losses would increase by a range from $ 298 million to $ 326 million, or 62% to 68%. This increase is driven mainly by the Puerto Rico retail loan portfolios, including mortgage, auto and credit cards loans. In addition, the Corporation expects to recognize an allowance for credit losses of approximately $ 12 million related to its held-to-maturity debt securities portfolio. The increase in the allowance for the loans and securities portfolios will be reflected as a decrease to the opening balance of retained earnings, net of income taxes, except for approximately $ 10 million related to loans currently accounted under ASC Subtopic 310-30, which would result in a reclassification between certain contra loan balance accounts to the allowance for credit losses. As part of the adoption of CECL, the Corporation has made the election to break the existing pools of purchased credit impaired (“PCI”) loans previously accounted for under the ASC Subtopic 310-30 guidance. These loans will be accounted for on an individual loan basis under the PCD accounting methodology under CECL. Following existing accounting guidance, PCI loans have been excluded from non-performing status. Upon transition to the individual loan measurement, these loans will no longer be excluded from non-performing status, resulting in an increase of $ 283 million in reported NPLs during the first quarter of 2020. This increase includes $ 156 million in loans currently over 90 days past due and $ 127 million in loans that are not delinquent in their payment terms but would be reported as non-performing due to other credit quality considerations. The Corporation expects to continue to be well capitalized under the Basel III regulatory framework after the adoption of this standard. The Corporation will avail itself of the option to phase in over a period of three years the day-one effects on regulatory capital arising from the adoption of CECL. Considering the phase-in period provided by the regulatory framework, the estimated decrease of the Common Equity Tier One and Total Capital ratios would be of approximately 23 bps. |
Business combination
Business combination | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Business Combination | Note 4 – Business combination On August 1, 2018, Popular, Inc., through its subsidiary Popular Auto, LLC (“Popular Auto”), acquired and assumed from Reliable Financial Services, Inc. and Reliable Finance Holding Co. (“Reliable”), subsidiaries of Wells Fargo & Company, certain assets and liabilities related to their auto finance business in Puerto Rico (the “Reliable Transaction” or “Transaction”). Popular Auto acquired approximately $ 1.6 billion in retail auto loans and $ 341 million in primarily auto-related commercial loans. The Corporation completed the integration of these operations during the third quarter of 2019 and continues to operate this business under the name of Popular Auto. Wells Fargo retained approximately $ 398 million in retail auto loans as part of the Transaction and subsequently sold the same to a third party. Popular Auto has entered into a separate servicing agreement with respect to such loans. Popular entered into the Transaction as part of its growth strategy to increase its market share in the auto finance business in Puerto Rico. The following table presents the fair values of the consideration and major classes of identifiable assets acquired and liabilities assumed by the Corporation as of August 1, 2018 , net of cumulative measurement period adjustments as of period end. Book value prior to purchase accounting Fair value Measurement As recorded by (In thousands) adjustments adjustments period adjustments Popular, Inc. Cash consideration $ 1,843,256 $ - $ - $ 1,843,256 Assets: Loans $ 1,912,866 $ ( 126,908) [1] $ 16,505 [1] $ 1,802,463 Premises and equipment 1,246 - - 1,246 Accrued income receivable 1,466 - - 1,466 Other assets 5,020 - ( 91) 4,929 Trademark - 488 - 488 Total assets $ 1,920,598 $ ( 126,420) $ 16,414 $ 1,810,592 Liabilities: Other liabilities $ 11,164 $ - $ - $ 11,164 Total liabilities $ 11,164 $ - $ - $ 11,164 Net assets acquired $ 1,909,434 $ ( 126,420) $ 16,414 $ 1,799,428 Goodwill on acquisition $ 43,828 [1] The fair value discount is comprised of $ 106 million related to the retail auto loans portfolio and $ 4 million related to the commercial loans portfolio. During the fourth quarter of 2018, measurement period adjustments amounting to $ 16.5 million, were made to the estimated fair values of the loans acquired as part of the Transaction to reflect new information obtained about facts and circumstances that existed as of the acquisition date. The increase in the fair value of retail auto loans and commercial loans by $ 12.2 million and $ 4.3 million, respectively, was mainly attributed to decreases in credit loss expectations. The related cumulative adjustment to the amortization of the fair value discounts for the retail and commercial portfolios offset each other, resulting in an immaterial impact to the Corporation’s results. Following is a description of the methods used to determine the fair values of significant assets acquired on the Reliable Transaction: Loans Retail Auto Loans Fair values for retail auto loans were based on a discounted cash flow methodology. Aggregation into pools considered characteristics such as payment terms, remaining terms, and credit quality. Principal and interest projections considered prepayment rates and credit loss expectations. The discount rates were developed based on the relative risk of the cash flows as of the valuation date, taking into account the expected life of the loans. Retail auto loans were accounted for under ASC Subtopic 310-20. As of August 1, 2018, contractual cash flows amounted to $ 1.8 billion, from which $ 105 million are not expected to be collected. Commercial Loans Fair values for commercial loans were based on a probability of default/loss given default (“PD/LGD”) methodology. The PD was determined based on characteristics such as payment terms, remaining terms, and credit quality. Commercial loans were accounted for under ASC Subtopic 310-20. As of August 1, 2018, contractual cash flows amounted to $ 348 million, from which $ 3 million are not expected to be collected. Goodwill The amount of goodwill is the residual difference between the consideration transferred to Wells Fargo and the fair value of the assets acquired, net of the liabilities assumed. The goodwill is deductible for income tax purposes. Trademark The fair value of the Reliable trademark was calculated using the relief-from-royalty method. The Reliable trademark is subject to amortization, since Popular intends to use the trademark for a limited period of time. The operating results of the Corporation for the year ended December 31, 2018 include the operating results produced by the acquired assets and liabilities assumed for the period of August 1, 2018 to December 31, 2018. This includes approximately $ 84.5 million in gross revenues, including $ 28.1 million in accretion of the fair value discount, and approximately $ 20.3 million in operating expenses, including $ 3.8 million of transaction-related expenses. The Corporation believes that given the amount of assets and liabilities assumed and the size of the operations acquired in relation to Popular’s operations, the historical results of Reliable are not significant to Popular’s results, and thus no pro forma information is presented. |
Restrictions on cash and due fr
Restrictions on cash and due from banks and certain securities | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Restricted On Cash And Due From Banks And Certain Securities | Note 5 - Restrictions on cash and due from banks and certain securities The Corporation’s banking subsidiaries, BPPR and PB, are required by federal and state regulatory agencies to maintain average reserve balances with the Federal Reserve Bank of New York (the “Fed”) or other banks. Those required average reserve balances amounted to $ 1.6 billion at December 31, 2019 (December 31, 2018 - $ 1.6 billion). Cash and due from banks, as well as other highly liquid securities, are used to cover the required average reserve balances. At December 31, 2019, the Corporation held $ 52 million in restricted assets in the form of funds deposited in money market accounts, debt securities available for sale and equity securities (December 31, 2018 - $ 62 million). The restricted assets held in debt securities available for sale and equity securities consist primarily of assets held for the Corporation’s non-qualified retirement plans and fund deposits guaranteeing possible liens or encumbrances over the title of insured properties. |
Debt securities available-for-s
Debt securities available-for-sale | 12 Months Ended |
Dec. 31, 2019 | |
Debt securities available-for-sale | |
Debt Securities, Available-for-sale | |
Investments in debt and marketable equity securities | Note 6 – Debt securities available-for-sale The following tables present the amortized cost, gross unrealized gains and losses, approximate fair value, weighted average yield and contractual maturities of debt securities available-for-sale at December 31, 2019 and December 31, 2018 At December 31, 2019 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield U.S. Treasury securities Within 1 year $ 5,071,201 $ 3,262 $ 567 $ 5,073,896 1.58 % After 1 to 5 years 5,137,804 75,597 3,435 5,209,966 2.19 After 5 to 10 years 1,778,568 429 6,604 1,772,393 1.70 Total U.S. Treasury securities 11,987,573 79,288 10,606 12,056,255 1.86 Obligations of U.S. Government sponsored entities Within 1 year 62,492 2 21 62,473 1.45 After 1 to 5 years 60,021 - 90 59,931 1.48 Total obligations of U.S. Government sponsored entities 122,513 2 111 122,404 1.47 Obligations of Puerto Rico, States and political subdivisions Within 1 year 6,975 - - 6,975 - Total obligations of Puerto Rico, States and political subdivisions 6,975 - - 6,975 - Collateralized mortgage obligations - federal agencies Within 1 year 236 - - 236 1.83 After 1 to 5 years 350 1 - 351 2.16 After 5 to 10 years 85,079 31 1,180 83,930 1.63 After 10 years 504,391 3,640 6,373 501,658 2.08 Total collateralized mortgage obligations - federal agencies 590,056 3,672 7,553 586,175 2.02 Mortgage-backed securities Within 1 year 16 - - 16 2.13 After 1 to 5 years 36,717 852 1 37,568 3.38 After 5 to 10 years 350,373 1,958 1,303 351,028 2.02 After 10 years 4,447,561 60,384 20,243 4,487,702 2.60 Total mortgage-backed securities 4,834,667 63,194 21,547 4,876,314 2.57 Other After 1 to 5 years 341 9 - 350 3.62 Total other 341 9 - 350 3.62 Total debt securities available-for-sale [1] $ 17,542,125 $ 146,165 $ 39,817 $ 17,648,473 2.05 % [1] Includes $ 12.2 billion pledged to secure public and trust deposits, assets sold under agreements to repurchase, credit facilities and loan servicing agreements that the secured parties are not permitted to sell or repledge the collateral, of which $ 10.9 billion serve as collateral for public funds. At December 31, 2018 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield U.S. Treasury securities Within 1 year $ 3,565,571 $ 108 $ 5,319 $ 3,560,360 2.10 % After 1 to 5 years 4,483,741 13,647 35,213 4,462,175 2.25 After 5 to 10 years 245,891 3,770 - 249,661 2.84 Total U.S. Treasury securities 8,295,203 17,525 40,532 8,272,196 2.21 Obligations of U.S. Government sponsored entities Within 1 year 212,951 - 1,406 211,545 1.44 After 1 to 5 years 123,857 1 2,094 121,764 1.51 Total obligations of U.S. Government sponsored entities 336,808 1 3,500 333,309 1.47 Obligations of Puerto Rico, States and political subdivisions After 1 to 5 years 6,926 - 184 6,742 0.70 Total obligations of Puerto Rico, States and political subdivisions 6,926 - 184 6,742 0.70 Collateralized mortgage obligations - federal agencies After 1 to 5 years 749 - 7 742 1.92 After 5 to 10 years 115,744 1 4,715 111,030 1.71 After 10 years 638,995 1,584 23,680 616,899 2.10 Total collateralized mortgage obligations - federal agencies 755,488 1,585 28,402 728,671 2.04 Mortgage-backed securities Within 1 year 431 4 - 435 4.30 After 1 to 5 years 6,762 43 1 6,804 2.74 After 5 to 10 years 365,727 1,090 8,499 358,318 2.19 After 10 years 3,710,731 10,679 128,189 3,593,221 2.45 Total mortgage-backed securities 4,083,651 11,816 136,689 3,958,778 2.43 Other After 5 to 10 years 486 2 - 488 3.62 Total other 486 2 - 488 3.62 Total debt securities available-for-sale [1] $ 13,478,562 $ 30,929 $ 209,307 $ 13,300,184 2.25 % [1] Includes $ 8.9 billion pledged to secure public and trust deposits, assets sold under agreements to repurchase, credit facilities and loan servicing agreements that the secured parties are not permitted to sell or repledge the collateral, of which $ 7.9 billion serve as collateral for public funds. The weighted average yield on debt securities available-for-sale is based on amortized cost; therefore, it does not give effect to changes in fair value. Securities not due on a single contractual maturity date, such as mortgage-backed securities and collateralized mortgage obligations, are classified in the period of final contractual maturity. The expected maturities of collateralized mortgage obligations, mortgage-backed securities and certain other securities may differ from their contractual maturities because they may be subject to prepayments or may be called by the issuer. The following table presents the aggregate amortized cost and fair value of debt securities available-for-sale at December 31, 2019 by contractual maturity. (In thousands) Amortized cost Fair value Within 1 year $ 5,140,920 $ 5,143,596 After 1 to 5 years 5,235,233 5,308,166 After 5 to 10 years 2,214,020 2,207,351 After 10 years 4,951,952 4,989,360 Total debt securities available-for-sale $ 17,542,125 $ 17,648,473 During the year ended December 31, 2019 , the Corporation sold U.S. Treasury Bills. The proceeds from these sales were $ 99 million. There were no debt securities available-for-sale sold during year ended December 31, 2018. Gross realized gains and losses on the sale of debt securities available-for-sale for the years ended December 31, 2019, 2018 and 2017 were as follows: (In thousands) 2019 2018 2017 Gross realized gains $ - $ - $ 95 Gross realized losses ( 20) - ( 12) Net realized gains (losses) on sale of debt securities available-for-sale $ ( 20) $ - $ 83 The following tables present the Corporation’s fair value and gross unrealized losses of debt securities available-for-sale, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2019 and 2018. At December 31, 2019 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses U.S. Treasury securities $ 2,439,114 $ 9,798 $ 452,784 $ 808 $ 2,891,898 $ 10,606 Obligations of U.S. Government sponsored entities 9,973 4 99,846 107 109,819 111 Collateralized mortgage obligations - federal agencies 114,603 537 310,315 7,016 424,918 7,553 Mortgage-backed securities 179,312 693 1,784,414 20,854 1,963,726 21,547 Total debt securities available-for-sale in an unrealized loss position $ 2,743,002 $ 11,032 $ 2,647,359 $ 28,785 $ 5,390,361 $ 39,817 At December 31, 2018 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses U.S. Treasury securities $ 3,189,007 $ 4,188 $ 2,607,276 $ 36,343 $ 5,796,283 $ 40,531 Obligations of U.S. Government sponsored entities 14,847 46 318,271 3,454 333,118 3,500 Obligations of Puerto Rico, States and political subdivisions - - 6,742 184 6,742 184 Collateralized mortgage obligations - federal agencies 66,652 489 587,869 27,913 654,521 28,402 Mortgage-backed securities 125,872 2,280 3,478,635 134,410 3,604,507 136,690 Total debt securities available-for-sale in an unrealized loss position $ 3,396,378 $ 7,003 $ 6,998,793 $ 202,304 $ 10,395,171 $ 209,307 As of December 31, 2019, the portfolio of available-for-sale debt securities reflects gross unrealized losses of approximately $ 40 million, driven mainly by mortgage-backed securities, U.S. Treasury securities and collateralized mortgage obligations. Management evaluates debt securities for other-than-temporary (“OTTI”) declines in fair value on a quarterly basis. Once a decline in value is determined to be other-than-temporary, the value of a debt security is reduced and a corresponding charge to earnings is recognized for anticipated credit losses. The OTTI analysis requires management to consider various factors, which include, but are not limited to: (1) the length of time and the extent to which fair value has been less than the amortized cost basis, (2) the financial condition of the issuer or issuers, (3) actual collateral attributes, (4) the payment structure of the debt security and the likelihood of the issuer being able to make payments, (5) any rating changes by a rating agency, (6) adverse conditions specifically related to the security, industry, or a geographic area, and (7) management’s intent to sell the debt security or whether it is more likely than not that the Corporation would be required to sell the debt security before a forecasted recovery occurs. At December 31, 2019 , management performed its quarterly analysis of all debt securities in an unrealized loss position. Based on the analysis performed, management concluded that no individual debt security was other-than-temporarily impaired as of such date. At December 31, 2019, the Corporation did not have the intent to sell debt securities in an unrealized loss position and it was not more likely than not that the Corporation would have to sell the debt securities prior to recovery of their amortized cost basis. The following table states the name of issuers, and the aggregate amortized cost and fair value of the debt securities of such issuer (includes available-for-sale and held-to-maturity debt securities), in which the aggregate amortized cost of such securities exceeds 10% of stockholders’ equity. This information excludes debt securities backed by the full faith and credit of the U.S. Government. Investments in obligations issued by a state of the U.S. and its political subdivisions and agencies, which are payable and secured by the same source of revenue or taxing authority, other than the U.S. Government, are considered securities of a single issuer. 2019 2018 (In thousands) Amortized cost Fair value Amortized cost Fair value FNMA $ 3,113,373 $ 3,129,538 $ 2,999,110 $ 2,901,904 Freddie Mac 1,623,116 1,638,796 1,095,855 1,058,013 |
Debt securities held-to-maturit
Debt securities held-to-maturity | 12 Months Ended |
Dec. 31, 2019 | |
Held To Maturity Debt Securities | |
Debt Securities, Held-to-maturity | |
Investments in debt and marketable equity securities | Note 7 –Debt securities held-to-maturity The following tables present the amortized cost, gross unrealized gains and losses, approximate fair value, weighted average yield and contractual maturities of debt securities held-to-maturity at December 31, 2019 and 2018. At December 31, 2019 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield Obligations of Puerto Rico, States and political subdivisions Within 1 year $ 3,745 $ - $ 11 $ 3,734 6.01 % After 1 to 5 years 17,580 - 320 17,260 6.11 After 5 to 10 years 18,195 - 1,607 16,588 3.11 After 10 years 46,036 9,384 - 55,420 1.67 Total obligations of Puerto Rico, States and political subdivisions 85,556 9,384 1,938 93,002 3.08 Collateralized mortgage obligations - federal agencies After 1 to 5 years 45 2 - 47 6.44 Total collateralized mortgage obligations - federal agencies 45 2 - 47 6.44 Securities in wholly owned statutory business trusts After 10 years 11,561 - - 11,561 6.51 Total securities in wholly owned statutory business trusts 11,561 - - 11,561 6.51 Other Within 1 year 500 - - 500 2.97 Total other 500 - - 500 2.97 Total debt securities held-to-maturity $ 97,662 $ 9,386 $ 1,938 $ 105,110 3.49 % At December 31, 2018 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield Obligations of Puerto Rico, States and political subdivisions Within 1 year $ 3,510 $ - $ 36 $ 3,474 5.99 % After 1 to 5 years 16,505 - 1,081 15,424 6.07 After 5 to 10 years 23,885 - 1,704 22,181 3.61 After 10 years 45,559 3,943 47 49,455 1.79 Total obligations of Puerto Rico, States and political subdivisions 89,459 3,943 2,868 90,534 3.23 Collateralized mortgage obligations - federal agencies After 5 to 10 years 55 3 - 58 5.45 Total collateralized mortgage obligations - federal agencies 55 3 - 58 5.45 Securities in wholly owned statutory business trusts After 10 years 11,561 - - 11,561 6.51 Total securities in wholly owned statutory business trusts 11,561 - - 11,561 6.51 Other After 1 to 5 years 500 - - 500 2.97 Total other 500 - - 500 2.97 Total debt securities held-to-maturity $ 101,575 $ 3,946 $ 2,868 $ 102,653 3.60 % Securities not due on a single contractual maturity date, such as collateralized mortgage obligations, are classified in the period of final contractual maturity. The expected maturities of collateralized mortgage obligations and certain other securities may differ from their contractual maturities because they may be subject to prepayments or may be called by the issuer. The following table presents the aggregate amortized cost and fair value of debt securities held-to-maturity at December 31, 2019 by contractual maturity. (In thousands) Amortized cost Fair value Within 1 year $ 4,245 $ 4,234 After 1 to 5 years 17,625 17,307 After 5 to 10 years 18,195 16,588 After 10 years 57,597 66,981 Total debt securities held-to-maturity $ 97,662 $ 105,110 The following tables present the Corporation’s fair value and gross unrealized losses of debt securities held-to-maturity, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2019 and 2018. At December 31, 2019 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses Obligations of Puerto Rico, States and political subdivisions $ 17,544 $ 291 $ 12,673 $ 1,647 $ 30,217 $ 1,938 Total debt securities held-to-maturity in an unrealized loss position $ 17,544 $ 291 $ 12,673 $ 1,647 $ 30,217 $ 1,938 At December 31, 2018 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses Obligations of Puerto Rico, States and political subdivisions $ 27,471 $ 1,165 $ 13,307 $ 1,703 $ 40,778 $ 2,868 Total debt securities held-to-maturity in an unrealized loss position $ 27,471 $ 1,165 $ 13,307 $ 1,703 $ 40,778 $ 2,868 As indicated in Note 6 to these Consolidated Financial Statements, management evaluates debt securities for OTTI declines in fair value on a quarterly basis. The “Obligations of Puerto Rico, States and political subdivisions” classified as held-to-maturity at December 31, 2019 includes securities issued by municipalities of Puerto Rico that are generally not rated by a credit rating agency. This includes $ 40 million of general and special obligation bonds issued by three municipalities of Puerto Rico, which are payable primarily from certain property taxes imposed by the issuing municipality. In the case of general obligations, they also benefit from a pledge of the full faith, credit and unlimited taxing power of the issuing municipality, which is required by law to levy property taxes in an amount sufficient for the payment of debt service on such general obligation bonds. The portfolio also includes $ 46 million in securities for which the underlying source of payment is second mortgage loans in Puerto Rico residential properties (not the government), but in which a government instrumentality provides a guarantee in the event of default and upon the satisfaction of certain other conditions. The Corporation performs periodic credit quality reviews on these issuers. Based on the quarterly analysis performed, management concluded that no individual debt security held-to-maturity was other-than-temporarily impaired at December 31, 2019. A deterioration of the Puerto Rico economy or of the fiscal health of the Government of Puerto Rico and/or its instrumentalities (including if any of the issuing municipalities become subject to a debt restructuring proceeding under PROMESA) could further affect the value of these securities, resulting in losses to the Corporation. The Corporation does not have the intent to sell debt securities held-to-maturity and it is more likely than not that the Corporation will not have to sell these debt securities prior to recovery of their amortized cost basis. Refer to Note 26 for additional information on the Corporation’s exposure to the Puerto Rico Government. |
Loans
Loans | 12 Months Ended |
Dec. 31, 2019 | |
Receivables | |
Loans | Note 8 – Loans For a summary of the accounting policies related to loans, interest recognition and allowance for loan losses refer to Note 2 - Summary of Significant Accounting Policies of this Form 10-K. As previously disclosed in Note 4, as a result of the Reliable Transaction completed on August 1, 2018, Popular Auto, LLC, acquired approximately $ 1.6 billion in retail auto loans and $ 341 million in primarily auto-related commercial loans. These loans are included in the information presented in this note. During the year ended December 31, 2019 , the Corporation recorded purchases (including repurchases) of mortgage loans amounting to $ 423 million, consumer loans of $ 359 million including the acquisition of a credit card portfolio with an unpaid principal balance of $ 74 million, and commercial loans of $ 141 million, compared to purchases (including repurchases) of mortgage loans of $ 624 million and consumer loans of $ 205 million, during the year ended December 31, 2018 . The Corporation performed whole-loan sales involving approximately $ 64 million of residential mortgage loans and $ 114 million of commercial and construction loans during the year ended December 31, 2019 ( December 31, 2018 - $ 59 million of residential mortgage and $ 30 million of commercial loans). Also, during the year ended December 31, 2019 , the Corporation securitized approximately $ 347 million of mortgage loans into Government National Mortgage Association (“GNMA”) mortgage-backed securities and $ 111 million of mortgage loans into Federal National Mortgage Association (“FNMA”) mortgage-backed securities, compared to $ 413 million and $ 94 million, respectively, during the year ended December 31, 2018. Delinquency status The following table presents the composition of loans held-in-portfolio (“HIP”), net of unearned income, by past due status, and by loan class including those that are in non-performing status or that are accruing interest but are past due 90 days or more at December 31, 2019 and December 31, 2018. December 31, 2019 Puerto Rico Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 2,941 $ 129 $ 1,512 $ 4,582 $ 143,267 $ 147,849 $ 1,473 $ - Commercial real estate: Non-owner occupied 10,439 5,244 43,664 59,347 2,048,871 2,108,218 39,968 - Owner occupied 5,704 3,978 84,537 94,219 1,492,110 1,586,329 69,276 - Commercial and industrial 8,780 1,646 37,156 47,582 3,371,152 3,418,734 36,538 544 Construction 1,555 - 119 1,674 135,796 137,470 119 - Mortgage 285,006 146,197 837,651 1,268,854 4,897,894 6,166,748 283,708 439,662 Leasing 12,014 3,053 3,657 18,724 1,040,783 1,059,507 3,657 - Consumer: Credit cards 11,358 7,928 19,461 38,747 1,085,053 1,123,800 - 19,461 Home equity lines of credit - 85 - 85 4,953 5,038 - - Personal 13,481 9,352 20,296 43,129 1,325,021 1,368,150 19,529 61 Auto 81,169 23,182 31,148 135,499 2,782,023 2,917,522 31,148 - Other 358 1,418 14,189 15,965 124,902 140,867 13,784 405 Total $ 432,805 $ 202,212 $ 1,093,390 $ 1,728,407 $ 18,451,825 $ 20,180,232 $ 499,200 $ 460,133 [1] Loans HIP of $ 134 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. Refer to Note 3, New Accounting Pronouncements, for a description of the impact of CECL on the classification of non-performing loans. December 31, 2019 Popular U.S. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 9 $ - $ 2,097 $ 2,106 $ 1,645,204 $ 1,647,310 $ 2,097 $ - Commercial real estate: Non-owner occupied 1,047 - 281 1,328 1,868,968 1,870,296 281 - Owner occupied 1,750 - 251 2,001 337,134 339,135 251 - Commercial and industrial 454 128 19,945 20,527 1,174,353 1,194,880 876 - Construction - - 26 26 693,596 693,622 26 - Mortgage 15,474 4,024 11,091 30,589 986,195 1,016,784 11,091 - Legacy 49 8 1,999 2,056 20,049 22,105 1,999 - Consumer: Credit cards - - - - 36 36 - - Home equity lines of credit 404 267 9,954 10,625 106,718 117,343 9,954 - Personal 2,286 1,582 2,066 5,934 318,506 324,440 2,066 - Other 3 - - 3 687 690 - - Total $ 21,476 $ 6,009 $ 47,710 $ 75,195 $ 7,151,446 $ 7,226,641 $ 28,641 $ - [1] Loans HIP of $ 19 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. Refer to Note 3, New Accounting Pronouncements, for a description of the impact of CECL on the classification of non-performing loans. December 31, 2019 Popular, Inc. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP [3] [4] loans loans [5] Commercial multi-family $ 2,950 $ 129 $ 3,609 $ 6,688 $ 1,788,471 $ 1,795,159 $ 3,570 $ - Commercial real estate: Non-owner occupied 11,486 5,244 43,945 60,675 3,917,839 3,978,514 40,249 - Owner occupied 7,454 3,978 84,788 96,220 1,829,244 1,925,464 69,527 - Commercial and industrial 9,234 1,774 57,101 68,109 4,545,505 4,613,614 37,414 544 Construction 1,555 - 145 1,700 829,392 831,092 145 - Mortgage [1] 300,480 150,221 848,742 1,299,443 5,884,089 7,183,532 294,799 439,662 Leasing 12,014 3,053 3,657 18,724 1,040,783 1,059,507 3,657 - Legacy [2] 49 8 1,999 2,056 20,049 22,105 1,999 - Consumer: Credit cards 11,358 7,928 19,461 38,747 1,085,089 1,123,836 - 19,461 Home equity lines of credit 404 352 9,954 10,710 111,671 122,381 9,954 - Personal 15,767 10,934 22,362 49,063 1,643,527 1,692,590 21,595 61 Auto 81,169 23,182 31,148 135,499 2,782,023 2,917,522 31,148 - Other 361 1,418 14,189 15,968 125,589 141,557 13,784 405 Total $ 454,281 $ 208,221 $ 1,141,100 $ 1,803,602 $ 25,603,271 $ 27,406,873 $ 527,841 $ 460,133 [1] It is the Corporation’s policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. [2] The legacy portfolio is comprised of commercial loans, construction loans and lease financings related to certain lending products exited by the Corporation as part of restructuring efforts carried out in prior years at the Popular U.S. segment. [3] Loans held-in-portfolio are net of $ 181 million in unearned income and exclude $ 59 million in loans held-for-sale. [4] Includes $ 6.7 billion pledged to secure credit facilities and public funds that the secured parties are not permitted to sell or repledge the collateral, of which $ 4.6 billion were pledged at the Federal Home Loan Bank ("FHLB") as collateral for borrowings and $ 2.1 billion at the Federal Reserve Bank ("FRB") for discount window borrowings. [5] Loans HIP of $ 153 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. Refer to Note 3, New Accounting Pronouncements, for a description of the impact of CECL on the classification of non-performing loans. December 31, 2018 Puerto Rico Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 1,441 $ 112 $ 598 $ 2,151 $ 143,477 $ 145,628 $ 546 $ - Commercial real estate: Non-owner occupied 92,075 839 45,691 138,605 2,183,996 2,322,601 39,257 - Owner occupied 6,681 10,839 99,235 116,755 1,605,498 1,722,253 88,069 - Commercial and industrial 4,137 641 55,321 60,099 3,122,062 3,182,161 55,078 243 Construction - - 1,788 1,788 84,167 85,955 1,788 - Mortgage 275,367 128,104 1,043,607 1,447,078 4,986,245 6,433,323 323,565 595,525 Leasing 7,663 1,827 3,313 12,803 921,970 934,773 3,313 - Consumer: Credit cards 9,504 7,391 16,035 32,930 1,014,343 1,047,273 - 16,035 Home equity lines of credit - 97 165 262 5,089 5,351 11 154 Personal 13,069 7,907 18,515 39,491 1,211,134 1,250,625 17,887 35 Auto 52,204 9,862 24,177 86,243 2,522,542 2,608,785 24,050 127 Other 566 288 14,958 15,812 128,932 144,744 14,534 424 Total $ 462,707 $ 167,907 $ 1,323,403 $ 1,954,017 $ 17,929,455 $ 19,883,472 $ 568,098 $ 612,543 [1] Non-covered loans HIP of $ 143 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. December 31, 2018 Popular U.S. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 3,163 $ - $ - $ 3,163 $ 1,398,377 $ 1,401,540 $ - $ - Commercial real estate: Non-owner occupied 707 288 365 1,360 1,880,384 1,881,744 365 - Owner occupied 5,125 1,728 381 7,234 291,705 298,939 381 - Commercial and industrial 2,354 995 73,726 77,075 1,011,078 1,088,153 330 - Construction - - 12,060 12,060 681,434 693,494 12,060 - Mortgage 13,615 3,197 11,033 27,845 774,090 801,935 11,033 - Legacy 195 445 2,627 3,267 22,682 25,949 2,627 - Consumer: Credit cards 2 - - 2 36 38 - - Home equity lines of credit 886 464 13,579 14,929 128,123 143,052 13,579 - Personal 2,319 1,723 2,610 6,652 282,697 289,349 2,610 - Other - - 4 4 220 224 4 - Total $ 28,366 $ 8,840 $ 116,385 $ 153,591 $ 6,470,826 $ 6,624,417 $ 42,989 $ - [1] Non-covered loans HIP of $ 73 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. December 31, 2018 Popular, Inc. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP [3] [4] loans loans [5] Commercial multi-family $ 4,604 $ 112 $ 598 $ 5,314 $ 1,541,854 $ 1,547,168 $ 546 $ - Commercial real estate: Non-owner occupied 92,782 1,127 46,056 139,965 4,064,380 4,204,345 39,622 - Owner occupied 11,806 12,567 99,616 123,989 1,897,203 2,021,192 88,450 - Commercial and industrial 6,491 1,636 129,047 137,174 4,133,140 4,270,314 55,408 243 Construction - - 13,848 13,848 765,601 779,449 13,848 - Mortgage [1] 288,982 131,301 1,054,640 1,474,923 5,760,335 7,235,258 334,598 595,525 Leasing 7,663 1,827 3,313 12,803 921,970 934,773 3,313 - Legacy [2] 195 445 2,627 3,267 22,682 25,949 2,627 - Consumer: Credit cards 9,506 7,391 16,035 32,932 1,014,379 1,047,311 - 16,035 Home equity lines of credit 886 561 13,744 15,191 133,212 148,403 13,590 154 Personal 15,388 9,630 21,125 46,143 1,493,831 1,539,974 20,497 35 Auto 52,204 9,862 24,177 86,243 2,522,542 2,608,785 24,050 127 Other 566 288 14,962 15,816 129,152 144,968 14,538 424 Total $ 491,073 $ 176,747 $ 1,439,788 $ 2,107,608 $ 24,400,281 $ 26,507,889 $ 611,087 $ 612,543 [1] It is the Corporation’s policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. [2] The legacy portfolio is comprised of commercial loans, construction loans and lease financings related to certain lending products exited by the Corporation as part of restructuring efforts carried out in prior years at the Popular U.S. segment. [3] Loans held-in-portfolio are net of $ 156 million in unearned income and exclude $ 51 million in loans held-for-sale. [4] Includes $ 6.9 billion pledged to secure credit facilities and public funds that the secured parties are not permitted to sell or repledge the collateral, of which $ 4.8 billion were pledged at the FHLB as collateral for borrowings and $ 2.1 billion at the FRB for discount window borrowings. [5] Non-covered loans HIP of $ 216 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. At December 31, 2019, mortgage loans held-in-portfolio include $ 1.4 billion of loans insured by the Federal Housing Administration (“FHA”), or guaranteed by the U.S. Department of Veterans Affairs (“VA”) of which $ 441 million are 90 days or more past due, including $ 103 million of loans rebooked under the GNMA buyback option, discussed below (December 31, 2018 - $ 1.4 billion, $ 598 million and $ 134 million, respectively). Within this portfolio, loans in a delinquency status of 90 days or more are reported as accruing loans as opposed to non-performing since the principal repayment is insured. These balances include $ 213 million of residential mortgage loans in Puerto Rico that are no longer accruing interest as of December 31, 2019 (December 31, 2018 - $ 283 million). Additionally, the Corporation has approximately $ 65 million in reverse mortgage loans in Puerto Rico which are guaranteed by FHA, but which are currently not accruing interest at December 31, 2019 (December 31, 2018 - $ 69 million). Loans with a delinquency status of 90 days past due as of December 31, 2019 include $ 103 million in loans previously pooled into GNMA securities (December 31, 2018 - $ 134 million). Under the GNMA program, issuers such as BPPR have the option but not the obligation to repurchase loans that are 90 days or more past due. For accounting purposes, these loans subject to the repurchase option are required to be reflected on the financial statements of BPPR with an offsetting liability. The components of the net financing leases receivable at December 31, 2019 and 2018 were as follows: (In thousands) 2019 2018 Total minimum lease payments $ 863,755 $ 781,060 Estimated residual value of leased property (unguaranteed) 356,560 293,495 Deferred origination costs, net of fees 15,422 12,261 Less - Unearned financing income 176,121 151,881 Net minimum lease payments 1,059,616 934,935 Less - Allowance for loan losses 10,768 11,487 Net minimum lease payments, net of allowance for loan losses $ 1,048,848 $ 923,448 At December 31, 2019, future minimum lease payments are expected to be received as follows: (In thousands) 2020 $ 48,511 2021 90,049 2022 147,742 2023 205,834 2024 and thereafter 371,619 Total $ 863,755 Loans acquired with deteriorated credit quality accounted for under ASC 310-30 The following provides information of loans acquired with evidence of credit deterioration as of the acquisition date, accounted for under the guidance of ASC 310-30. The outstanding principal balance of acquired loans accounted pursuant to ASC Subtopic 310-30, amounted to $ 1.9 billion at December 31, 2019 (December 31, 2018 - $ 2.2 billion). The carrying amount of these loans consisted of loans determined to be impaired at the time of acquisition, which are accounted for in accordance with ASC Subtopic 310-30 (“credit impaired loans”), and loans that were considered to be performing at the acquisition date, accounted for by analogy to ASC Subtopic 310-30 (“non-credit impaired loans”). The following table provides the carrying amount of acquired loans accounted for under ASC 310-30 by portfolio at December 31, 2019 and 2018. Carrying amount (In thousands) December 31, 2019 December 31, 2018 Commercial real estate $ 670,566 $ 801,774 Commercial and industrial 104,756 84,465 Mortgage 856,618 982,821 Consumer 11,778 14,496 Carrying amount 1,643,718 1,883,556 Allowance for loan losses ( 74,039) ( 122,135) Carrying amount, net of allowance $ 1,569,679 $ 1,761,421 At December 31, 2019, none of the acquired loans accounted for under ASC Subtopic 310-30 were considered non-performing loans. Therefore, interest income, through accretion of the difference between the carrying amount of the loans and the expected cash flows, was recognized on all acquired loans. Changes in the carrying amount and the accretable yield for the loans accounted pursuant to the ASC Subtopic 310-30, for the years ended December 31, 2019 and 2018, were as follows: Carrying amount of acquired loans accounted for pursuant to ASC 310-30 For the years ended (In thousands) December 31, 2019 December 31, 2018 Beginning balance $ 1,883,556 $ 2,108,993 Additions 39,492 16,645 Accretion 144,976 166,272 Collections / loan sales / charge-offs ( 424,306) ( 408,354) Ending balance [1] $ 1,643,718 $ 1,883,556 Allowance for loan losses ( 74,039) ( 122,135) Ending balance, net of ALLL $ 1,569,679 $ 1,761,421 [1] At December 31, 2019, includes $ 1.2 billion of loans considered non-credit impaired at the acquisition date (December 31, 2018 - $ 1.4 billion). Activity in the accretable yield of acquired loans accounted for pursuant to ASC 310-30 For the years ended (In thousands) December 31, 2019 December 31, 2018 Beginning balance $ 1,092,504 $ 1,214,488 Additions 23,556 6,535 Accretion ( 144,976) ( 166,272) Change in expected cash flows 30,258 37,753 Ending balance [1] $ 1,001,342 $ 1,092,504 [1] At December 31, 2019, includes $ 0.7 billion for loans considered non-credit impaired at the acquisition date (December 31, 2018 - $ 0.8 billion). |
Allowance for loan losses
Allowance for loan losses | 12 Months Ended |
Dec. 31, 2019 | |
Receivables | |
Allowance for loan losses | Note 9 – Allowance for loan losses The Corporation follows a systematic methodology to establish and evaluate the adequacy of the allowance for loan losses (“ALLL”) to provide for inherent losses in the loan portfolio. This methodology includes the consideration of factors such as current economic conditions, portfolio risk characteristics, prior loss experience and results of periodic credit reviews of individual loans. The provision for loan losses charged to current operations is based on this methodology. Loan losses are charged and recoveries are credited to the ALLL. The Corporation’s assessment of the ALLL is determined in accordance with the guidance of loss contingencies in ASC Subtopic 450-20 and loan impairment guidance in ASC Section 310-10-35. Also, the Corporation determines the ALLL on purchased impaired loans and purchased loans accounted for under ASC Subtopic 310-30, by evaluating decreases in expected cash flows after the acquisition date. The accounting guidance provides for the recognition of a loss allowance for groups of homogeneous loans. The determination of the general ALLL includes the following principal factors: Base net loss rates, which are based on the moving average of annualized net loss rates computed over a 5-year historical loss period for the commercial and construction loan portfolios, and an 18-month period for the consumer and mortgage loan portfolios. The base net loss rates are applied by loan type and by legal entity. Recent loss trend adjustment, which replaces the base loss rate with a 12-month average loss rate, when these trends are higher than the respective base loss rates. The objective of this adjustment is to allow for a more recent loss trend to be captured and reflected in the ALLL estimation process. For the period ended December 31, 2019, 25% (December 31, 2018 - 26%) of the ALLL for the BPPR segment loan portfolios utilized the recent loss trend adjustment instead of the base loss. The effect of replacing the base loss with the recent loss trend adjustment was mainly concentrated in the leasing, auto and commercial real estate non-owner occupied portfolios for 2019 and in the commercial, mortgage, and overall consumer portfolios for 2018. For the period ended December 31, 2019, 21% (December 31, 2018 - 28 %) of the Popular U.S. segment loan portfolios utilized the recent loss trend adjustment instead of the base loss. The effect of replacing the base loss with the recent loss trend adjustment was concentrated in the commercial multi-family, legacy, commercial real estate owner occupied and construction portfolios for 2019 and in the consumer portfolio for 2018. Environmental factors, which include credit and macroeconomic indicators such as unemployment rate, economic activity index and delinquency rates, adopted to account for current market conditions that are likely to cause estimated credit losses to differ from historical losses. The Corporation reflects the effect of these environmental factors on each loan group as an adjustment that, as appropriate, increases the historical loss rate applied to each group. Environmental factors provide updated perspective on credit and economic conditions. Regression analysis is used to select these indicators and quantify the effect on the general ALLL. The Corporation’s methodology also includes qualitative judgmental reserves based on stressed credit quality assumptions to provide for probable losses in the loan portfolios not embedded in the historical loss rates. During the third quarter of 2019, management completed the recalibration analysis of the environmental factors adjustments. The environmental factors adjustments are developed by performing regression analyses on selected credit and economic indicators for each applicable loan segment. The environmental factor models used to account for changes in current credit and macroeconomic conditions were reviewed and recalibrated based on the latest applicable trends. The effect of the recalibration resulted in an increase of $ 4.6 million to the environmental factors adjustments reserve at the Popular U.S. segment. The following tables present the changes in the allowance for loan losses, loan ending balances and whether such loans and the allowance pertain to loans individually or collectively evaluated for impairment for the years ended December 31, 2019 and 2018. For the year ended December 31, 2019 Puerto Rico (In thousands) Commercial Construction Mortgage Leasing Consumer Total Allowance for credit losses: Beginning balance $ 207,214 $ 886 $ 142,978 $ 11,486 $ 144,594 $ 507,158 Provision (reversal of provision) ( 41,440) ( 3,417) 14,658 8,619 157,331 135,751 Charge-offs ( 53,852) ( 109) ( 47,577) ( 11,834) ( 167,983) ( 281,355) Recoveries 19,141 3,214 6,222 2,497 40,023 71,097 Ending balance $ 131,063 $ 574 $ 116,281 $ 10,768 $ 173,965 $ 432,651 Specific ALLL $ 20,533 $ 6 $ 40,596 $ 61 $ 20,259 $ 81,455 General ALLL $ 110,530 $ 568 $ 75,685 $ 10,707 $ 153,706 $ 351,196 Loans held-in-portfolio: Impaired loans $ 397,452 $ 119 $ 522,469 $ 507 $ 91,157 $ 1,011,704 Loans held-in-portfolio excluding impaired loans 6,863,678 137,351 5,644,279 1,059,000 5,464,220 19,168,528 Total loans held-in-portfolio $ 7,261,130 $ 137,470 $ 6,166,748 $ 1,059,507 $ 5,555,377 $ 20,180,232 For the year ended December 31, 2019 Popular U.S. (In thousands) Commercial Construction Mortgage Legacy Consumer Total Allowance for credit losses: Beginning balance $ 31,901 $ 6,538 $ 4,434 $ 969 $ 18,348 $ 62,190 Provision (reversal of provision) 15,496 ( 127) 828 ( 1,738) 15,569 30,028 Charge-offs ( 40,329) ( 2,215) ( 605) 105 ( 21,280) ( 64,324) Recoveries 8,921 8 170 1,294 6,770 17,163 Ending balance $ 15,989 $ 4,204 $ 4,827 $ 630 $ 19,407 $ 45,057 Specific ALLL $ - $ - $ 2,208 $ - $ 1,563 $ 3,771 General ALLL $ 15,989 $ 4,204 $ 2,619 $ 630 $ 17,844 $ 41,286 Loans held-in-portfolio: Impaired loans $ 2,097 $ - $ 9,386 $ - $ 9,634 $ 21,117 Loans held-in-portfolio excluding impaired loans 5,049,524 693,622 1,007,398 22,105 432,875 7,205,524 Total loans held-in-portfolio $ 5,051,621 $ 693,622 $ 1,016,784 $ 22,105 $ 442,509 $ 7,226,641 For the year ended December 31, 2019 Popular, Inc. (In thousands) Commercial Construction Mortgage Legacy Leasing Consumer Total Allowance for credit losses: Beginning balance $ 239,115 $ 7,424 $ 147,412 $ 969 $ 11,486 $ 162,942 $ 569,348 Provision (reversal of provision) ( 25,944) ( 3,544) 15,486 ( 1,738) 8,619 172,900 165,779 Charge-offs ( 94,181) ( 2,324) ( 48,182) 105 ( 11,834) ( 189,263) ( 345,679) Recoveries 28,062 3,222 6,392 1,294 2,497 46,793 88,260 Ending balance $ 147,052 $ 4,778 $ 121,108 $ 630 $ 10,768 $ 193,372 $ 477,708 Specific ALLL $ 20,533 $ 6 $ 42,804 $ - $ 61 $ 21,822 $ 85,226 General ALLL $ 126,519 $ 4,772 $ 78,304 $ 630 $ 10,707 $ 171,550 $ 392,482 Loans held-in-portfolio: Impaired loans $ 399,549 $ 119 $ 531,855 $ - $ 507 $ 100,791 $ 1,032,821 Loans held-in-portfolio excluding impaired loans 11,913,202 830,973 6,651,677 22,105 1,059,000 5,897,095 26,374,052 Total loans held-in-portfolio $ 12,312,751 $ 831,092 $ 7,183,532 $ 22,105 $ 1,059,507 $ 5,997,886 $ 27,406,873 For the year ended December 31, 2018 Puerto Rico - Non-covered loans (In thousands) Commercial Construction Mortgage Leasing Consumer Total Allowance for credit losses: Beginning balance $ 171,531 $ 1,286 $ 159,081 $ 11,991 $ 174,215 $ 518,104 Provision (reversal of provision) 101,614 ( 1,754) 15,297 5,525 75,779 196,461 Charge-offs ( 82,352) ( 9) ( 69,393) ( 8,297) ( 138,161) ( 298,212) Recoveries 16,421 1,363 4,571 2,267 32,573 57,195 Allowance transferred from covered loans - - 33,422 - 188 33,610 Ending balance $ 207,214 $ 886 $ 142,978 $ 11,486 $ 144,594 $ 507,158 Specific ALLL $ 52,190 $ 56 $ 38,760 $ 320 $ 24,083 $ 115,409 General ALLL $ 155,024 $ 830 $ 104,218 $ 11,166 $ 120,511 $ 391,749 Loans held-in-portfolio: Impaired non-covered loans $ 398,518 $ 1,788 $ 509,468 $ 1,099 $ 104,235 $ 1,015,108 Non-covered loans held-in-portfolio excluding impaired loans 6,974,125 84,167 5,923,855 933,674 4,952,543 18,868,364 Total non-covered loans held-in-portfolio $ 7,372,643 $ 85,955 $ 6,433,323 $ 934,773 $ 5,056,778 $ 19,883,472 For the year ended December 31, 2018 Puerto Rico - Covered Loans (In thousands) Commercial Construction Mortgage Leasing Consumer Total Allowance for credit losses: Beginning balance $ - $ - $ 32,521 $ - $ 723 $ 33,244 Provision (reversal of provision) - - 2,265 - ( 535) 1,730 Charge-offs - - ( 1,446) - ( 2) ( 1,448) Recoveries - - 82 - 2 84 Allowance transferred to non-covered loans - - ( 33,422) - ( 188) ( 33,610) Ending balance $ - $ - $ - $ - $ - $ - Specific ALLL $ - $ - $ - $ - $ - $ - General ALLL $ - $ - $ - $ - $ - $ - Loans held-in-portfolio: Impaired covered loans $ - $ - $ - $ - $ - $ - Covered loans held-in-portfolio excluding impaired loans - - - - - - Total covered loans held-in-portfolio $ - $ - $ - $ - $ - $ - For the year ended December 31, 2018 Popular U.S. (In thousands) Commercial Construction Mortgage Legacy Consumer Total Allowance for credit losses: Beginning balance $ 44,134 $ 7,076 $ 4,541 $ 798 $ 15,529 $ 72,078 Provision (reversal of provision) 7,551 5,268 ( 478) ( 1,861) 19,401 29,881 Charge-offs ( 24,920) ( 5,806) ( 232) 114 ( 22,118) ( 52,962) Recoveries 5,136 - 603 1,918 5,536 13,193 Ending balance $ 31,901 $ 6,538 $ 4,434 $ 969 $ 18,348 $ 62,190 Specific ALLL $ - $ - $ 2,451 $ - $ 1,810 $ 4,261 General ALLL $ 31,901 $ 6,538 $ 1,983 $ 969 $ 16,538 $ 57,929 Loans held-in-portfolio: Impaired loans $ - $ 12,060 $ 9,420 $ - $ 8,507 $ 29,987 Loans held-in-portfolio excluding impaired loans 4,670,376 681,434 792,515 25,949 424,156 6,594,430 Total loans held-in-portfolio $ 4,670,376 $ 693,494 $ 801,935 $ 25,949 $ 432,663 $ 6,624,417 For the year ended December 31, 2018 Popular, Inc. (In thousands) Commercial Construction Mortgage Legacy Leasing Consumer Total Allowance for credit losses: Beginning balance $ 215,665 $ 8,362 $ 196,143 $ 798 $ 11,991 $ 190,467 $ 623,426 Provision (reversal of provision) 109,165 3,514 17,084 ( 1,861) 5,525 94,645 228,072 Charge-offs ( 107,272) ( 5,815) ( 71,071) 114 ( 8,297) ( 160,281) ( 352,622) Recoveries 21,557 1,363 5,256 1,918 2,267 38,111 70,472 Ending balance $ 239,115 $ 7,424 $ 147,412 $ 969 $ 11,486 $ 162,942 $ 569,348 Specific ALLL $ 52,190 $ 56 $ 41,211 $ - $ 320 $ 25,893 $ 119,670 General ALLL $ 186,925 $ 7,368 $ 106,201 $ 969 $ 11,166 $ 137,049 $ 449,678 Loans held-in-portfolio: Impaired loans $ 398,518 $ 13,848 $ 518,888 $ - $ 1,099 $ 112,742 $ 1,045,095 Loans held-in-portfolio excluding impaired loans 11,644,501 765,601 6,716,370 25,949 933,674 5,376,699 25,462,794 Total loans held-in-portfolio $ 12,043,019 $ 779,449 $ 7,235,258 $ 25,949 $ 934,773 $ 5,489,441 $ 26,507,889 The following table provides the activity in the allowance for loan losses related to loans accounted for pursuant to ASC Subtopic 310-30. ASC 310-30 For the years ended (In thousands) December 31, 2019 December 31, 2018 Balance at beginning of period $ 122,135 $ 119,505 Provision 1,119 61,270 Net charge-offs ( 49,215) ( 58,640) Balance at end of period $ 74,039 $ 122,135 Impaired loans The following tables present loans individually evaluated for impairment at December 31, 2019 and 2018. December 31, 2019 Puerto Rico Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 1,196 $ 1,229 $ 4 $ 1,017 $ 1,247 $ 2,213 $ 2,476 $ 4 Commercial real estate non-owner occupied 44,975 45,803 12,281 149,587 173,124 194,562 218,927 12,281 Commercial real estate owner occupied 105,841 122,814 5,077 26,365 58,540 132,206 181,354 5,077 Commercial and industrial 43,640 47,611 3,171 24,831 44,255 68,471 91,866 3,171 Construction 119 119 6 - - 119 119 6 Mortgage 420,949 479,936 40,596 101,520 134,331 522,469 614,267 40,596 Leasing 507 507 61 - - 507 507 61 Consumer: Credit cards 24,475 24,475 2,957 - - 24,475 24,475 2,957 Personal 65,521 65,521 17,142 - - 65,521 65,521 17,142 Auto 310 310 51 - - 310 310 51 Other 851 851 109 - - 851 851 109 Total Puerto Rico $ 708,384 $ 789,176 $ 81,455 $ 303,320 $ 411,497 $ 1,011,704 $ 1,200,673 $ 81,455 December 31, 2019 Popular U.S. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ - $ - $ - $ 2,097 $ 2,539 $ 2,097 $ 2,539 $ - Mortgage 6,906 7,257 2,208 2,480 2,844 9,386 10,101 2,208 Consumer: HELOCs 6,691 6,691 1,560 2,829 3,087 9,520 9,778 1,560 Personal 26 26 3 88 88 114 114 3 Total Popular U.S. $ 13,623 $ 13,974 $ 3,771 $ 7,494 $ 8,558 $ 21,117 $ 22,532 $ 3,771 December 31, 2019 Popular, Inc. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 1,196 $ 1,229 $ 4 $ 3,114 $ 3,786 $ 4,310 $ 5,015 $ 4 Commercial real estate non-owner occupied 44,975 45,803 12,281 149,587 173,124 194,562 218,927 12,281 Commercial real estate owner occupied 105,841 122,814 5,077 26,365 58,540 132,206 181,354 5,077 Commercial and industrial 43,640 47,611 3,171 24,831 44,255 68,471 91,866 3,171 Construction 119 119 6 - - 119 119 6 Mortgage 427,855 487,193 42,804 104,000 137,175 531,855 624,368 42,804 Leasing 507 507 61 - - 507 507 61 Consumer: Credit cards 24,475 24,475 2,957 - - 24,475 24,475 2,957 HELOCs 6,691 6,691 1,560 2,829 3,087 9,520 9,778 1,560 Personal 65,547 65,547 17,145 88 88 65,635 65,635 17,145 Auto 310 310 51 - - 310 310 51 Other 851 851 109 - - 851 851 109 Total Popular, Inc. $ 722,007 $ 803,150 $ 85,226 $ 310,814 $ 420,055 $ 1,032,821 $ 1,223,205 $ 85,226 December 31, 2018 Puerto Rico Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 932 $ 932 $ 4 $ - $ - $ 932 $ 932 $ 4 Commercial real estate non-owner occupied 85,583 86,282 27,494 96,005 138,378 181,588 224,660 27,494 Commercial real estate owner occupied 113,592 132,677 7,857 26,474 60,485 140,066 193,162 7,857 Commercial and industrial 65,208 67,094 16,835 10,724 20,968 75,932 88,062 16,835 Construction 1,788 1,788 56 - - 1,788 1,788 56 Mortgage 408,767 458,010 38,760 100,701 135,084 509,468 593,094 38,760 Leasing 1,099 1,099 320 - - 1,099 1,099 320 Consumer: Credit cards 28,829 28,829 4,571 - - 28,829 28,829 4,571 Personal 72,989 72,989 19,098 - - 72,989 72,989 19,098 Auto 1,161 1,161 228 - - 1,161 1,161 228 Other 1,256 1,256 186 - - 1,256 1,256 186 Total Puerto Rico $ 781,204 $ 852,117 $ 115,409 $ 233,904 $ 354,915 $ 1,015,108 $ 1,207,032 $ 115,409 December 31, 2018 Popular U.S. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Construction $ - $ - $ - $ 12,060 $ 18,127 $ 12,060 $ 18,127 $ - Mortgage 7,237 8,899 2,451 2,183 3,127 9,420 12,026 2,451 Consumer: HELOCs 6,236 6,285 1,558 1,498 1,572 7,734 7,857 1,558 Personal 631 631 252 142 143 773 774 252 Total Popular U.S. $ 14,104 $ 15,815 $ 4,261 $ 15,883 $ 22,969 $ 29,987 $ 38,784 $ 4,261 December 31, 2018 Popular, Inc. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 932 $ 932 $ 4 $ - $ - $ 932 $ 932 $ 4 Commercial real estate non-owner occupied 85,583 86,282 27,494 96,005 138,378 181,588 224,660 27,494 Commercial real estate owner occupied 113,592 132,677 7,857 26,474 60,485 140,066 193,162 7,857 Commercial and industrial 65,208 67,094 16,835 10,724 20,968 75,932 88,062 16,835 Construction 1,788 1,788 56 12,060 18,127 13,848 19,915 56 Mortgage 416,004 466,909 41,211 102,884 138,211 518,888 605,120 41,211 Leasing 1,099 1,099 320 - - 1,099 1,099 320 Consumer: Credit cards 28,829 28,829 4,571 - - 28,829 28,829 4,571 HELOCs 6,236 6,285 1,558 1,498 1,572 7,734 7,857 1,558 Personal 73,620 73,620 19,350 142 143 73,762 73,763 19,350 Auto 1,161 1,161 228 - - 1,161 1,161 228 Other 1,256 1,256 186 - - 1,256 1,256 186 Total Popular, Inc. $ 795,308 $ 867,932 $ 119,670 $ 249,787 $ 377,884 $ 1,045,095 $ 1,245,816 $ 119,670 The following tables present the average recorded investment and interest income recognized on impaired loans for the years ended December 31, 2019 and 2018. For the year ended December 31, 2019 Puerto Rico Popular U.S. Popular, Inc. Average Interest Average Interest Average Interest recorded income recorded income recorded income (In thousands) investment recognized investment recognized investment recognized Commercial multi-family $ 1,470 $ 50 $ 1,343 $ - $ 2,813 $ 50 Commercial real estate non-owner occupied 183,233 5,742 - - 183,233 5,742 Commercial real estate owner occupied 137,710 6,528 626 - 138,336 6,528 Commercial and industrial 71,828 4,097 - - 71,828 4,097 Construction 1,151 25 9,248 - 10,399 25 Mortgage 518,487 16,810 9,416 153 527,903 16,963 Leasing 823 - - - 823 - Consumer: Credit cards 26,775 - - - 26,775 - HELOCs - - 8,988 - 8,988 - Personal 69,664 282 380 - 70,044 282 Auto 823 - - - 823 - Other 1,044 - - - 1,044 - Total Popular, Inc. $ 1,013,008 $ 33,534 $ 30,001 $ 153 $ 1,043,009 $ 33,687 For the year ended December 31, 2018 Puerto Rico Popular U.S. Popular, Inc. Average Interest Average Interest Average Interest recorded income recorded income recorded income (In thousands) investment recognized investment recognized investment recognized Commercial multi-family $ 693 $ 50 $ - $ - $ 693 $ 50 Commercial real estate non-owner occupied 138,832 5,742 - - 138,832 5,742 Commercial real estate owner occupied 148,967 6,528 - - 148,967 6,528 Commercial and industrial 69,406 4,097 - - 69,406 4,097 Construction 2,094 25 9,565 - 11,659 25 Mortgage 509,038 17,663 9,258 165 518,296 17,828 Leasing 1,195 - - - 1,195 - Consumer: Credit cards 31,953 - - - 31,953 - HELOCs - - 5,904 - 5,904 - Personal 68,237 415 770 - 69,007 415 Auto 1,413 - - - 1,413 - Other 1,248 - - - 1,248 - Total Popular, Inc. $ 973,076 $ 34,520 $ 25,497 $ 165 $ 998,573 $ 34,685 Modifications A modification of a loan constitutes a troubled debt restructuring when a borrower is experiencing financial difficulty and the modification constitutes a concession. For a summary of the accounting policy related to troubled debt restructurings (“TDRs”), refer to the Summary of Significant Accounting Policies included in Note 2 to these Consolidated Financial Statements. TDRs amounted to $ 1.6 billion at December 31, 2019 (December 31, 2018 - $ 1.5 billion). The amount of outstanding commitments to lend additional funds to debtors owing receivables whose terms have been modified in TDRs amounted to $ 14 million related to the commercial loan portfolio at December 31, 2019 (December 31, 2018 - $ 16 million). At December 31, 2019, the mortgage loan TDRs include $ 625 million guaranteed by U.S. sponsored entities at BPPR, compared to $ 543 million at December 31, 2018. The following table presents the non-covered and covered loans classified as TDRs according to their accruing status and the related allowance at December 31, 2019 and 2018. December 31, 2019 December 31, 2018 (In thousands) Accruing Non-Accruing Total Related Allowance Accruing Non-Accruing Total Related Allowance Loans held-in-portfolio: Commercial $ 237,861 $ 111,587 $ 349,448 $ 16,443 $ 229,758 $ 130,921 $ 360,679 $ 46,889 Construction - 119 119 6 - 1,788 1,788 56 Mortgage 1,013,561 126,036 1,139,597 42,012 906,712 135,758 1,042,470 41,211 Leases 264 243 507 61 668 440 1,108 320 Consumer 82,205 15,808 98,013 21,404 94,193 15,651 109,844 24,523 Loans held-in-portfolio $ 1,333,891 $ 253,793 $ 1,587,684 $ 79,926 $ 1,231,331 $ 284,558 $ 1,515,889 $ 112,999 The following tables present the loan count by type of modification for those loans modified in a TDR during the years ended December 31, 2019 and 2018. Loans modified as TDRs for the U.S. operations are considered insignificant to the Corporation. For the year ended December 31, 2019 Reduction in interest rate Extension of maturity date Combination of reduction in interest rate and extension of maturity date Other Commercial multi-family - 3 - - Commercial real estate non-owner occupied - 13 - - Commercial real estate owner occupied 1 29 - - Commercial and industrial 2 67 - - Mortgage 37 130 672 6 Leasing - 1 2 - Consumer: Credit cards 515 - 2 189 HELOCs - 16 12 - Personal 668 4 - 3 Auto - 6 2 - Other 31 - - - Total 1,254 269 690 198 For the year ended December 31, 2018 Reduction in interest rate Extension of maturity date Combination of reduction in interest rate and extension of maturity date Other Commercial multi-family - 2 - - Commercial real estate non-owner occupied 3 17 - - Commercial real estate owner occupied 4 64 - - Commercial and industrial 6 87 - - Construction 1 - - - Mortgage 85 49 359 57 Leasing - - 4 - Consumer: Credit cards 579 - 4 432 HELOCs - 27 11 1 Personal 1,356 6 - 2 Auto - 7 3 - Other 25 - 2 - Total 2,059 259 383 492 The following tables present, by class, quantitative information related to loans modified as TDRs during the years ended December 31, 2019 and 2018. Popular, Inc. For the year ended December 31, 2019 (Dollars in thousands) Loan count Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Increase (decrease) in the allowance for loan losses as a result of modification Commercial multi-family 3 $ 346 $ 295 $ ( 40) Commercial real estate non-owner occupied 13 58,142 58,116 2,811 Commercial real estate owner occupied 30 7,533 7,249 81 Commercial and industrial 69 14,991 15,435 1,368 Mortgage 845 83,833 77,308 2,814 Leasing 3 264 266 7 Consumer: Credit cards 706 5,702 5,867 554 HELOCs 28 2,725 2,423 364 Personal 675 10,831 10,835 3,023 Auto 8 121 128 21 Other 31 206 206 30 Total 2,411 $ 184,694 $ 178,128 $ 11,033 Popular, Inc. For the year ended December 31, 2018 (Dollars in thousands) Loan count Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Increase (decrease) in the allowance for loan losses as a result of modification Commercial multi-family 2 $ 1,377 $ 1,375 $ 106 Commercial real estate non-owner occupied 20 109,081 79,695 6,230 Commercial real estate owner occupied 68 31,233 29,962 1,170 Commercial and industrial 93 52,653 51,855 13,981 Construction 1 4,210 4,293 474 Mortgage 550 67,518 59,919 2,696 Leasing 4 98 96 30 Consumer: Credit cards 1,015 10,065 10,671 1,331 HELOCs 39 3,961 3,891 935 Personal 1,364 21,976 21,979 6,320 Auto 10 173 152 26 Other 27 601 599 99 Total 3,193 $ 302,946 $ 264,487 $ 33,398 During the year ended December 31, 2019, four loans with an aggregate unpaid principal balance of $ 9.1 million were restructured into multiple notes (“Note A / B split”). No charge-offs were recorded as part of those loan restructurings. The following tables present, by class, TDRs that were subject to payment default and that had been modified as a TDR during the twelve months preceding the default date. Payment default is defined as a restructured loan becoming 90 days past due after being modified, foreclosed or charged-off, whichever occurs first. The recorded investment as of period end is inclusive of all partial paydowns and charge-offs since the modification date. Loans modified as a TDR that were fully paid down, charged-off or foreclosed upon by period end are not reported. Defaulted during the year ended December 31, 2019 (Dollars in thousands) Loan count Recorded investment as of first default date Commercial real estate non-owner occupied 1 $ 47 Commercial real estate owner occupied 3 495 Commercial and industrial 9 7,281 Mortgage 63 4,424 Leasing 1 22 Consumer: Credit cards 302 2,808 HELOCs 1 135 Personal 197 5,640 Auto 2 24 Other 3 8 Total 582 $ 20,884 Defaulted during the year ended December 31, 2018 (Dollars in thousands) Loan count Recorded investment as of first default date Commercial real estate non-owner occupied 2 $ 11,245 Commercial real estate owner occupied 5 480 Commercial and industrial 8 7,208 Mortgage 161 12,362 Consumer: Credit cards 236 2,098 HELOCs 2 205 Personal 107 2,300 Auto 5 115 Other 1 7 Total 527 $ 36,020 Commercial, consumer and mortgage loans modified in a TDR are closely monitored for delinquency as an early indicator of possible future default. If loans modified in a TDR subsequently default, the Corporation evaluates the loan for possible further impairment. The allowance for loan losses may be increased or partial charge-offs may be taken to further write-down the carrying value of the loan. Credit Quality The Corporation has defined a risk rating system to assign a rating to all credit exposures, particularly for the commercial and construction loan portfolios. Risk ratings in the aggregate provide the Corporation’s management the asset quality profile for the loan portfolio. The risk rating system provides for the assignment of ratings at the obligor level based on the financial condition of the borrower. The Corporation’s consumer and mortgage loans are not subject to the risk rating system. Consumer and mortgage loans are classified substandard or loss based on their delinquency status. All other consumer and mortgage loans that are not classified as substandard or loss would be considered “unrated”. The Corporation’s obligor risk rating scales range from rating 1 (Excellent) to rating 14 (Loss). The obligor risk rating reflects the risk of payment default of a borrower in the ordinary course of business. Pass Credit Classifications: Pass (Scales 1 through 8) – Loans classified as pass have a well defined primary source of repayment, with no apparent risk, strong financial position, minimal operating risk, profitability, liquidity and strong capitalization. Watch (Scale 9) – Loans classified as watch have acceptable business credit, but borrower’s operations, cash flow or financial condition evidence more than average risk, requires above average levels of supervision and attention from Loan Officers. Special Mention (Scale 10) - Loans classified as special mention have potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Corporation’s credit position at some future date. Adversely Classified Classifications: Substandard (Scales 11 and 12) - Loans classified as substandard are deemed to be inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Loans classified as such have well-defined weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful (Scale 13) - Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the additional characteristic that the weaknesses make the collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loss (Scale 14) - Uncollectible and of such little value that continuance as a bankable asset is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this asset even though partial recovery may be effected in the future. Risk ratings scales 10 through 14 conform to regulatory ratings. The assignment of the obligor risk rating is based on relevant information about the ability of borrowers to service their debts such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Corporation periodically reviews its loans classification to evaluate if they are properly classified, and to determine impairment, if any. The frequency of these reviews will depend on the amount of the aggregate outstanding debt, and the risk rating classification of the obligor. In addition, during the renewal and annual review process of applicable credit facilities, the Corporation evaluates the corresponding loan grades. The Corporation has a Commercial Loan Review department within the Corporate Risk Reviews Division that reports directly to the Corporation’s Risk Management Committee and administratively to the Chief Risk Officer, which performs annual comprehensive credit process reviews of all lending groups in BPPR. This group evaluates the credit risk profile of each originating unit along with each unit’s credit administration effectiveness, including the assessment of the risk rating representative of the current credit quality of the loans, and the evaluation of collateral documentation. The monitoring performed by this group contributes to assess compliance with credit policies and underwriting standards, determine the current level of credit risk, evaluate the effectiveness of the credit management process and identify control deficiencies that may arise in the credit-granting process. Based on its findings, Commercial Loan Review recommends corrective actions, if necessary, that help in maintaining a sound credit process. The Loan Review Group reports the results of the credit process reviews to the Risk Management Committee of the Corporation’s Board of Directors. The following tables present the outstanding balance, net of unearned income, of non-covered loans held-in-portfolio based on the Corporation’s assignment of obligor risk ratings as defined at December 31, 2019 and 2018. December 31, 2019 Special Pass/ (In thousands) Watch Mention Substandard Doubtful Loss Sub-total Unrated Total Puerto Rico Commercial multi-family $ 1,341 $ 3,870 $ 1,793 $ - $ - $ 7,004 $ 140,845 $ 147,849 Commercial real estate non-owner occupied 492,357 166,810 239,448 3,290 - 901,905 1,206,313 2,108,218 Commercial real estate owner occupied 192,895 184,678 183,377 1,629 - 562,579 1,023,750 1,586,329 Commercial and industrial 592,861 170,183 130,872 148 16 894,080 2,524,654 3,418,734 Total Commercial 1,279,454 525,541 555,490 5,067 16 2,365,568 4,895,562 7,261,130 Construction 340 649 20,771 - - 21,760 115,710 137,470 Mortgage 2,187 2,218 127,621 - - 132,026 6,034,722 6,166,748 Leasing - - 3,590 - 68 3,658 1,055,849 1,059,507 Consumer: Credit cards - - 19,461 - - 19,461 1,104,339 1,123,800 HELOCs - - - - - - 5,038 5,038 Personal 77 - 19,558 - - 19,635 1,348,515 1,368,150 Auto - - 30,775 - 372 31,147 2,886,375 2,917,522 Other 459 11 15,020 - 53 15,543 125,324 140,867 Total Consumer 536 11 84,814 - 425 85,786 5,469,591 5,555,377 Total Puerto Rico $ 1,282,517 $ 528,419 $ 792,286 $ 5,067 $ 509 $ 2,608,798 $ 17,571,434 $ 20,180,232 Popular U.S. Commercial multi-family $ 48,359 $ 13,827 $ 8,433 $ - $ - $ 70,619 $ 1,576,691 $ 1,647,310 Commercial real estate non-owner occupied 80,608 24,383 100,658 - - 205,649 1,664,647 1,870,296 Commercial real estate owner occupied 27,298 5,709 13,826 - - 46,833 292,302 339,135 Commercial and industrial 25,679 1,460 20,386 - - 47,525 1,147,355 1,194,880 Total Commercial 181,944 45,379 143,303 - - 370,626 4,680,995 5,051,621 Construction 46,644 17,291 44,798 - - 108,733 584,889 693,622 Mortgage - - 11,091 - - 11,091 1,005,693 1,016,784 Legacy 388 202 1,528 - - 2,118 19,987 22,105 Consumer: Credit cards - - - - - - 36 36 HELOCs - - 2,024 - 7,930 9,954 107,389 117,343 Personal - - 1,664 - 403 2,067 322,373 324,440 Other - - - - - - 690 690 Total Consumer - - 3,688 - 8,333 12,021 430,488 442,509 Total Popular U.S. $ 228,976 $ 62,872 $ 204,408 $ - $ 8,333 $ 504,589 $ 6,722,052 $ 7,226,641 Popular, Inc. Commercial multi-family $ 49,700 $ 17,697 $ 10,226 $ - $ - $ 77,623 $ 1,717,536 $ 1,795, |
FDIC loss share asset and true
FDIC loss share asset and true up payment obligation | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
FDIC loss share asset and true-up payment obligation | Note 10 – FDIC loss-share asset and true-up payment obligation In connection with the Westernbank FDIC-assisted transaction, BPPR entered into loss-share arrangements with the FDIC with respect to the covered loans and other real estate owned. Pursuant to the terms of the loss-share arrangements, the FDIC’s obligation to reimburse BPPR for losses with respect to covered assets began with the first dollar of loss incurred. The FDIC reimbursed BPPR for 80% of losses with respect to covered assets, and BPPR reimbursed the FDIC for 80% of recoveries with respect to losses for which the FDIC paid reimbursement under loss-share arrangements. The loss-share component of the arrangements applicable to commercial (including construction) and consumer loans expired during the quarter ended June 30, 2015, but the arrangement provided for reimbursement of recoveries to the FDIC to continue through the quarter ending June 30, 2018, and for the single family mortgage loss-share component of such agreement to expire in the quarter ended June 30, 2020. As of March 31, 2018, the Corporation had an FDIC loss share asset of $ 44.5 million related to the covered assets. As part of the loss-share agreements, BPPR had agreed to make a true-up payment to the FDIC 45 days following the last day (such day, the “true-up measurement date”) of the final shared-loss month, or upon the final disposition of all covered assets under the loss-share agreements, in the event losses on the loss-share agreements fail to reach expected levels. The estimated fair value of such true-up payment obligation at March 31, 2018 was approximately $ 171 million and was included as a contingent consideration within the caption of other liabilities in the Consolidated Statements of Financial Condition. On May 22, 2018, the Corporation entered into a Termination Agreement (the “Termination Agreement”) with the FDIC to terminate all loss-share arrangements in connection with the Westernbank FDIC-assisted transaction. Under the terms of the Termination Agreement, BPPR made a payment of approximately $ 23.7 million (the “Termination Payment”) to the FDIC as consideration for the termination of the loss-share agreements. Popular recorded a gain of $ 102.8 million within the FDIC loss share income (expense) caption in the Consolidated Statements of Operations calculated based on the difference between the Termination Payment and the net amount of the true-up payment obligation and the FDIC loss share asset. The following table sets forth the activity in the FDIC loss-share asset for the years ended December 31, 2018 and 2017. Years ended December 31, (In thousands) 2018 2017 Balance at beginning of year $ 46,316 $ 69,334 FDIC loss-share Termination Agreement ( 45,659) - Amortization ( 934) ( 469) Credit impairment losses to be covered under loss sharing agreements 104 3,136 Reimbursable expenses 537 2,454 Net payments from FDIC under loss-sharing agreements ( 364) ( 22,589) Other adjustments attributable to FDIC loss-sharing agreements - ( 5,550) Balance at end of period $ - $ 46,316 Balance due to the FDIC for recoveries on covered assets - ( 1,124) Balance at end of period $ - $ 45,192 As a result of the Termination Agreement, assets that were covered by the loss share agreement, including covered loans in the amount of approximately $ 514.6 million and covered real estate owned assets in the amount of approximately $ 15.3 million as of March 31, 2018, were reclassified as non-covered. The Corporation now recognizes entirely all future credit losses, expenses, gains, and recoveries related to the formerly covered assets with no offset due to or from the FDIC. |
Mortgage banking activities
Mortgage banking activities | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Mortgage Banking Activities | Note 11 – Mortgage banking activities Income from mortgage banking activities includes mortgage servicing fees earned in connection with administering residential mortgage loans and valuation adjustments on mortgage servicing rights. It also includes gain on sales and securitizations of residential mortgage loans and trading gains and losses on derivative contracts used to hedge the Corporation’s securitization activities. In addition, lower-of-cost-or-market valuation adjustments to residential mortgage loans held for sale, if any, are recorded as part of the mortgage banking activities. The following table presents the components of mortgage banking activities: Years ended December 31, (In thousands) 2019 2018 2017 Mortgage servicing fees, net of fair value adjustments: Mortgage servicing fees $ 46,952 $ 49,532 $ 48,300 Mortgage servicing rights fair value adjustments ( 27,430) ( 8,477) ( 36,519) Total mortgage servicing fees, net of fair value adjustments 19,522 41,055 11,781 Net gain on sale of loans, including valuation on loans held for sale 18,817 9,424 17,088 Trading account (loss) profit: Unrealized (losses) gains on outstanding derivative positions - ( 253) 184 Realized (losses) gains on closed derivative positions ( 6,246) 2,576 ( 3,557) Total trading account (loss) profit ( 6,246) 2,323 ( 3,373) Total mortgage banking activities $ 32,093 $ 52,802 $ 25,496 |
Transfers of financial assets a
Transfers of financial assets and mortgage servicing assets | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing of Financial Assets | |
Transfers Of Financial Assets And Mortgage Servicing Assets | Note 12 – Transfers of financial assets and mortgage servicing assets The Corporation typically transfers conforming residential mortgage loans in conjunction with GNMA and FNMA securitization transactions whereby the loans are exchanged for cash or securities and servicing rights. As seller, the Corporation has made certain representations and warranties with respect to the originally transferred loans and, in the past, has sold certain loans with credit recourse to a government-sponsored entity, namely FNMA. Refer to Note 25 to the Consolidated Financial Statements for a description of such arrangements. No liabilities were incurred as a result of these securitizations during the years ended December 31, 2019 and 2018 because they did not contain any credit recourse arrangements. The Corporation recorded a net gain of $ 17.2 million and $ 8.9 million, respectively, during the years ended December 31, 2019 and 2018 related to the residential mortgage loans securitized. The following tables present the initial fair value of the assets obtained as proceeds from residential mortgage loans securitized during the years ended December 31, 2019 and 2018: Proceeds Obtained During the Year Ended December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Initial fair value Assets Trading account debt securities: Mortgage-backed securities - GNMA $ - $ 347,396 $ - $ 347,396 Mortgage-backed securities - FNMA - 111,362 - 111,362 Total trading account debt securities $ - $ 458,758 $ - $ 458,758 Mortgage servicing rights $ - $ - $ 8,185 $ 8,185 Total $ - $ 458,758 $ 8,185 $ 466,943 Proceeds Obtained During the Year Ended December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Initial fair value Assets Debt securities available for sale: Mortgage-backed securities - FNMA $ - $ 11,865 $ - $ 11,865 Total debt securities available-for-sale $ - $ 11,865 - $ 11,865 Trading account debt securities: Mortgage-backed securities - GNMA $ - $ 412,500 $ - $ 412,500 Mortgage-backed securities - FNMA - 82,320 - 82,320 Total trading account debt securities $ - $ 494,820 $ - $ 494,820 Mortgage servicing rights $ - $ - $ 9,337 $ 9,337 Total $ - $ 506,685 $ 9,337 $ 516,022 During the year ended December 31, 2019, the Corporation retained servicing rights on whole loan sales involving approximately $ 63 million in principal balance outstanding (2018 - $ 57 million), with net realized gains of approximately $ 1.6 million (2018 - $ 0.8 million). All loan sales performed during the years ended December 31, 2019 and 2018 were without credit recourse agreements. The Corporation recognizes as assets the rights to service loans for others, whether these rights are purchased or result from asset transfers such as sales and securitizations. These mortgage servicing rights (“MSR”) are measured at fair value. The Corporation uses a discounted cash flow model to estimate the fair value of MSRs. The discounted cash flow model incorporates assumptions that market participants would use in estimating future net servicing income, including estimates of prepayment speeds, discount rate, cost to service, escrow account earnings, contractual servicing fee income, prepayment and late fees, among other considerations. Prepayment speeds are adjusted for the Corporation’s loan characteristics and portfolio behavior. The following table presents the changes in MSRs measured using the fair value method for the years ended December 31, 2019 and 2018. Residential MSRs (In thousands) December 31, 2019 December 31, 2018 Fair value at beginning of period $ 169,777 $ 168,031 Additions 9,143 10,223 Changes due to payments on loans [1] ( 11,549) ( 13,459) Reduction due to loan repurchases ( 1,777) ( 3,721) Changes in fair value due to changes in valuation model inputs or assumptions ( 14,190) 8,703 Other disposals ( 498) - Fair value at end of period $ 150,906 $ 169,777 [1] Represents changes due to collection / realization of expected cash flows over time. Residential mortgage loans serviced for others were $ 14.8 billion at December 31, 2019 (2018 - $ 15.7 billion). Net mortgage servicing fees, a component of mortgage banking activities in the Consolidated Statements of Operations, include the changes from period to period in the fair value of the MSRs, including changes due to collection / realization of expected cash flows. The banking subsidiaries receive servicing fees based on a percentage of the outstanding loan balance. These servicing fees are credited to income when they are collected. At December 31, 2019, those weighted average mortgage servicing fees were 0.30% (2018 – 0.30%). Under these servicing agreements, the banking subsidiaries do not generally earn significant prepayment penalty fees on the underlying loans serviced. The section below includes information on assumptions used in the valuation model of the MSRs, originated and purchased. Key economic assumptions used in measuring the servicing rights derived from loans securitized or sold by the Corporation during the years ended December 31, 2019 and 2018 were as follows: Years ended December 31, 2019 December 31, 2018 Prepayment speed 7.0 % 5.0 % Weighted average life (in years) 9.5 10.8 Discount rate (annual rate) 10.9 % 11.0 % Key economic assumptions used to estimate the fair value of MSRs derived from sales and securitizations of mortgage loans performed by the banking subsidiaries and servicing rights purchased from other financial institutions, and the sensitivity to immediate changes in those assumptions, were as follows as of the end of the periods reported: Originated MSRs Purchased MSRs December 31, December 31, December 31, December 31, (In thousands) 2019 2018 2019 2018 Fair value of servicing rights $ 58,842 $ 69,400 $ 92,064 $ 100,377 Weighted average life (in years) 6.7 7.1 6.3 6.6 Weighted average prepayment speed (annual rate) 5.7 % 5.1 % 6.2 % 5.5 % Impact on fair value of 10% adverse change $ ( 1,303) $ ( 1,430) $ ( 2,306) $ ( 2,200) Impact on fair value of 20% adverse change $ ( 2,568) $ ( 2,817) $ ( 4,525) $ ( 4,328) Weighted average discount rate (annual rate) 11.4 % 11.5 % 11.0 % 11.0 % Impact on fair value of 10% adverse change $ ( 2,381) $ ( 3,125) $ ( 3,603) $ ( 4,354) Impact on fair value of 20% adverse change $ ( 4,596) $ ( 6,019) $ ( 6,959) $ ( 8,394) The sensitivity analyses presented in the tables above for servicing rights are hypothetical and should be used with caution. As the figures indicate, changes in fair value based on a 10 and 20 percent variation in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in the sensitivity tables included herein, the effect of a variation in a particular assumption on the fair value of the retained interest is calculated without changing any other assumption. In reality, changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments and increased credit losses), which might magnify or counteract the sensitivities. At December 31, 2019, the Corporation serviced $ 1.2 billion (2018 - $ 1.3 billion) in residential mortgage loans with credit recourse to the Corporation. Refer to Note 25 for information on changes in the Corporation’s liability of estimated losses related to loans serviced with credit recourse. Under the GNMA securitizations, the Corporation, as servicer, has the right to repurchase (but not the obligation), at its option and without GNMA’s prior authorization, any loan that is collateral for a GNMA guaranteed mortgage-backed security when certain delinquency criteria are met. At the time that individual loans meet GNMA’s specified delinquency criteria and are eligible for repurchase, the Corporation is deemed to have regained effective control over these loans if the Corporation was the pool issuer. At December 31, 2019, the Corporation had recorded $ 103 million in mortgage loans on its Consolidated Statements of Financial Condition related to this buy-back option program (2018 - $ 134 million). As long as the Corporation continues to service the loans that continue to be collateral in a GNMA guaranteed mortgage-backed security, the MSR is recognized by the Corporation. During the year ended December 31, 2019, the Corporation repurchased approximately $ 104 million of mortgage loans under the GNMA buy-back option program (2018 - $ 321 million). The determination to repurchase these loans was based on the economic benefits of the transaction, which results in a reduction of the servicing costs for these severely delinquent loans, mostly related to principal and interest advances. Furthermore, the risk associated with these loans is reduced due to their guaranteed nature. The Corporation places these loans under its loss mitigation programs and once brought back to current status, these may be either retained in portfolio or re-sold in the secondary market. Quantitative information about delinquencies, net credit losses, and components of securitized financial assets and other assets managed together with them by the Corporation, including its own loan portfolio, for the years ended December 31, 2019 and 2018, are disclosed in the following tables. Loans securitized/sold represent loans in which the Corporation has continuing involvement in the form of credit recourse. 2019 (In thousands) Total principal amount of loans, net of unearned Principal amount 60 days or more past due Net credit losses (recoveries) Loans (owned and managed): Commercial $ 12,312,751 $ 200,568 $ 66,119 Construction 831,092 145 ( 898) Legacy 22,105 2,007 ( 1,399) Lease financing 1,059,507 6,710 9,337 Mortgage 8,404,911 1,071,537 40,644 Consumer 5,997,886 140,928 142,470 Less: Loans securitized / sold 1,162,176 72,574 ( 1,146) Loans held-for-sale 59,203 - - Loans held-in-portfolio $ 27,406,873 $ 1,349,321 $ 257,419 2018 (In thousands) Total principal amount of loans, net of unearned Principal amount 60 days or more past due Net credit losses (recoveries) Loans (owned and managed): Commercial $ 12,043,019 $ 290,759 $ 85,715 Construction 779,449 13,848 4,452 Legacy 25,949 3,072 ( 2,032) Lease financing 934,773 5,140 6,030 Mortgage 8,620,667 1,315,384 66,209 Consumer 5,489,441 117,775 122,170 Less: Loans securitized / sold 1,333,987 129,443 394 Loans held-for-sale 51,422 - - Loans held-in-portfolio $ 26,507,889 $ 1,616,535 $ 282,150 |
Premises and equipment
Premises and equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment | |
Premises and Equipment | Note 13 - Premises and equipment Premises and equipment are stated at cost less accumulated depreciation and amortization as follows: (In thousands) Useful life in years 2019 2018 Premises and equipment: Land $ 114,481 $ 120,519 Buildings 10- 50 535,602 515,985 Equipment 2- 10 362,543 336,722 Leasehold improvements 3- 10 92,923 84,244 991,068 936,951 Less - Accumulated depreciation and amortization 561,742 533,930 Subtotal 429,326 403,021 Construction in progress 12,843 32,334 Premises and equipment, net $ 556,650 $ 555,874 Other premises and equipment: Buildings under capital leases 7- 20 $ - $ 28,264 Less - Accumulated amortization - 14,330 Other premises and equipment, net $ - $ 13,934 Total premises and equipment, net $ 556,650 $ 569,808 Depreciation and amortization of premises and equipment for the year 2019 was $ 58.1 million (2018 -$ 52.5 million; 2017 - $ 47.1 million), of which $ 27.3 million (2018 - $ 24.3 million; 2017 - $ 22.4 million) was charged to occupancy expense and $ 30.8 million (2018 - $ 28.2 million; 2017 - $ 24.7 million) was charged to equipment, communications and other operating expenses. Occupancy expense of premises and equipment is net of rental income of $ 19.3 million (2018 - $ 28.2 million; 2017 - $ 26.6 million). For information related to the amortization expense of finance leases, refer to Note 35 - Leases. |
Other Real Estate Owned
Other Real Estate Owned | 12 Months Ended |
Dec. 31, 2019 | |
Other Real Estate [Abstract] | |
Other Real Estate Owned | Note 14 – Other real estate owned The following tables present the activity related to Other Real Estate Owned (“OREO”), for the years ended December 31, 2019, 2018 and 2017. For the year ended December 31, 2019 Non-covered Non-covered OREO OREO (In thousands) Commercial/Construction Mortgage Total Balance at beginning of period $ 21,794 $ 114,911 $ 136,705 Write-downs in value ( 1,584) ( 4,541) ( 6,125) Additions 6,801 62,630 69,431 Sales ( 9,892) ( 67,137) ( 77,029) Other adjustments ( 160) ( 750) ( 910) Ending balance $ 16,959 $ 105,113 $ 122,072 For the year ended December 31, 2018 Non-covered Non-covered Covered OREO OREO OREO (In thousands) Commercial/Construction Mortgage Mortgage Total Balance at beginning of period $ 21,411 $ 147,849 $ 19,595 $ 188,855 Write-downs in value ( 2,974) ( 10,380) ( 287) ( 13,641) Additions 10,688 41,167 - 51,855 Sales ( 8,108) ( 78,330) ( 3,282) ( 89,720) Other adjustments 777 ( 728) ( 693) ( 644) Transfer to non-covered status [1] - 15,333 ( 15,333) - Ending balance $ 21,794 $ 114,911 $ - $ 136,705 [1] Represents the reclassification of OREOs to the non-covered category, pursuant to the Termination Agreement of all shared-loss agreements with the Federal Deposit Insurance Corporation related to loans acquired from Westernbank, that was completed on May 22, 2018. For the year ended December 31, 2017 Non-covered Non-covered Covered OREO OREO OREO (In thousands) Commercial/ Construction Mortgage Mortgage Total Balance at beginning of period $ 20,401 $ 160,044 $ 32,128 $ 212,573 Write-downs in value [1] ( 5,011) ( 16,876) ( 3,311) ( 25,198) Additions 8,918 70,763 9,912 89,593 Sales ( 2,765) ( 68,145) ( 16,273) ( 87,183) Other adjustments ( 132) 2,063 ( 2,861) ( 930) Ending balance $ 21,411 $ 147,849 $ 19,595 $ 188,855 [1] Includes $ 2.7 million related to the damages from Hurricane Maria, of which $ 1.3 million were for commercial and $ 1.4 million for residential. |
Other assets
Other assets | 12 Months Ended |
Dec. 31, 2019 | |
Other Assets Abstract | |
Other assets | Note 15 − Other assets The caption of other assets in the consolidated statements of financial condition consists of the following major categories: (In thousands) December 31, 2019 December 31, 2018 Net deferred tax assets (net of valuation allowance) $ 886,353 $ 1,049,895 Investments under the equity method 237,081 228,072 Prepaid taxes 47,226 33,842 Other prepaid expenses 82,425 82,742 Derivative assets 17,966 13,603 Trades receivable from brokers and counterparties 47,049 40,088 Principal, interest and escrow servicing advances 77,800 88,371 Guaranteed mortgage loan claims receivable 108,946 59,613 Operating ROU assets (Note 35) 149,849 - Finance ROU assets (Note 35) 12,888 - Others 152,032 117,908 Total other assets $ 1,819,615 $ 1,714,134 |
Investments in equity investees
Investments in equity investees | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments And Joint Ventures | |
Investment In Equity Investees | Note 16 - Investments in equity investees During the year ended December 31, 2019, the Corporation recorded earnings of $ 43.0 million, from its equity investments, compared to $ 38.0 million for the year ended December 31, 2018. The carrying value of the Corporation’s equity method investments was $ 237 million and $ 228 million at December 31, 2019 and 2018, respectively. The following table presents aggregated summarized financial information of the Corporation’s equity method investees: Years ended December 31, 2019 2018 2017 (In thousands) Operating results: Total revenues $ 927,510 $ 1,074,055 $ 931,627 Total expenses 677,385 673,632 663,069 Income tax expense 54,936 65,817 42,799 Net income $ 195,189 $ 334,606 $ 225,759 At December 31, 2019 2018 (In thousands) Balance Sheet: Total assets $ 7,911,752 $ 8,652,539 Total liabilities $ 6,425,642 $ 6,090,722 Summarized financial information for these investees may be presented on a lag, due to the unavailability of information for the investees, at the respective balance sheet dates. |
Goodwill and other intangible a
Goodwill and other intangible assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure | |
Goodwill And Other Intangible Assets | Note 17 – Goodwill and other intangible assets There were no changes in the carrying amount of goodwill for the year ended December 31, 2019. The changes in the carrying amount of goodwill for the year ended December 31, 2018, allocated by reportable segments, were as follows (refer to Note 40 for the definition of the Corporation’s reportable segments): 2018 Purchase Balance at Goodwill on accounting Goodwill Balance at (In thousands) January 1, 2018 acquisition adjustments impairment December 31, 2018 Banco Popular de Puerto Rico $ 276,420 $ 60,242 $ ( 16,414) $ - $ 320,248 Popular U.S. 350,874 - - - 350,874 Total Popular, Inc. $ 627,294 $ 60,242 $ ( 16,414) $ - $ 671,122 The goodwill recognized during the year ended December 31, 2018 in the reportable segment of Banco Popular de Puerto Rico of $ 43.8 million, net of purchase accounting adjustments, was related to the Reliable Transaction. Refer to Note 4, Business combination, for additional information. At December 31, 2019 and 2018, the Corporation had $ 6.1 million of identifiable intangible assets with indefinite useful lives, mostly associated with the E-LOAN trademark. The following table reflects the components of other intangible assets subject to amortization: Gross Net Carrying Accumulated Carrying (In thousands) Amount Amortization Value December 31, 2019 Core deposits $ 37,224 $ 29,792 $ 7,432 Other customer relationships 42,909 28,075 14,834 Trademark 488 138 350 Total other intangible assets $ 80,621 $ 58,005 $ 22,616 December 31, 2018 Core deposits $ 37,224 $ 26,070 $ 11,154 Other customer relationships 34,915 25,847 9,068 Trademark 488 41 447 Total other intangible assets $ 72,627 $ 51,958 $ 20,669 During the year ended December 31, 2019, the Corporation recognized $ 9.6 million in customer relationship intangibles in connection with the acquisition of a credit card portfolio in Puerto Rico. The trademark recognized during the year ended December 31, 2018 of $ 0.5 million was related to the Reliable Transaction. Refer to Note 4, Business combination, for additional information. During the year ended December 31, 2019, the Corporation recognized $ 9.4 million in amortization expense related to other intangible assets with definite useful lives (2018 - $ 9.3 million; 2017 - $ 9.4 million). The following table presents the estimated amortization of the intangible assets with definite useful lives for each of the following periods: (In thousands) Year 2020 $ 6,369 Year 2021 3,559 Year 2022 2,683 Year 2023 2,642 Year 2024 2,355 Later years 5,008 Results of the Annual Goodwill Impairment Test The Corporation’s goodwill and other identifiable intangible assets having an indefinite useful life are tested for impairment, at least annually and on a more frequent basis if events or circumstances indicate impairment could have taken place. Such events could include, among others, a significant adverse change in the business climate, an adverse action by a regulator, an unanticipated change in the competitive environment and a decision to change the operations or dispose of a reporting unit. Under applicable accounting standards, goodwill impairment analysis is a two-step test. The first step of the goodwill impairment test involves comparing the fair value of the reporting unit with its carrying amount, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not impaired; however, if the carrying amount of the reporting unit exceeds its fair value, the second step must be performed. The second step involves calculating an implied fair value of goodwill for each reporting unit for which the first step indicated possible impairment. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination, which is the excess of the fair value of the reporting unit, as determined in the first step, over the aggregate fair values of the individual assets, liabilities and identifiable intangibles (including any unrecognized intangible assets, such as unrecognized core deposits and trademark) as if the reporting unit was being acquired in a business combination and the fair value of the reporting unit was the price paid to acquire the reporting unit. The Corporation estimates the fair values of the assets and liabilities of a reporting unit, consistent with the requirements of the fair value measurements accounting standard, which 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. The fair value of the assets and liabilities reflects market conditions, thus volatility in prices could have a material impact on the determination of the implied fair value of the reporting unit goodwill at the impairment test date. The adjustments to measure the assets, liabilities and intangibles at fair value are for the purpose of measuring the implied fair value of goodwill and such adjustments are not reflected in the consolidated statement of condition. If the implied fair value of goodwill exceeds the goodwill assigned to the reporting unit, there is no impairment. If the goodwill assigned to a reporting unit exceeds the implied fair value of the goodwill, an impairment charge is recorded for the excess. An impairment loss recognized cannot exceed the amount of goodwill assigned to a reporting unit, and the loss establishes a new basis in the goodwill. Subsequent reversal of goodwill impairment losses is not permitted under applicable accounting standards. The Corporation performed the annual goodwill impairment evaluation for the entire organization during the third quarter of 2019 using July 31, 2019 as the annual evaluation date. The reporting units utilized for this evaluation were those that are one level below the business segments, which are the legal entities within the reportable segment. The Corporation follows push-down accounting, as such all goodwill is assigned to the reporting units when carrying out a business combination. In determining the fair value of a reporting unit, the Corporation generally uses a combination of methods, including market price multiples of comparable companies and transactions, as well as discounted cash flow analysis. Management evaluates the particular circumstances of each reporting unit in order to determine the most appropriate valuation methodology. The Corporation evaluates the results obtained under each valuation methodology to identify and understand the key value drivers in order to ascertain that the results obtained are reasonable and appropriate under the circumstances. Elements considered include current market and economic conditions, developments in specific lines of business, and any particular features in the individual reporting units. The computations require management to make estimates and assumptions. Critical assumptions that are used as part of these evaluations include: a selection of comparable publicly traded companies, based on nature of business, location and size; a selection of comparable acquisition and capital raising transactions; the discount rate applied to future earnings, based on an estimate of the cost of equity; the potential future earnings of the reporting unit; and the market growth and new business assumptions. For purposes of the market comparable approach, valuations were determined by calculating average price multiples of relevant value drivers from a group of companies that are comparable to the reporting unit being analyzed and applying those price multiples to the value drivers of the reporting unit. Multiples used are minority based multiples and thus, no control premium adjustment is made to the comparable companies market multiples. While the market price multiple is not an assumption, a presumption that it provides an indicator of the value of the reporting unit is inherent in the valuation. The determination of the market comparables also involves a degree of judgment. For purposes of the discounted cash flows (“DCF”) approach, the valuation is based on estimated future cash flows. The financial projections used in the DCF valuation analysis for each reporting unit are based on the most recent (as of the valuation date) financial projections presented to the Corporation’s Asset / Liability Management Committee (“ALCO”). The growth assumptions included in these projections are based on management’s expectations for each reporting unit’s financial prospects considering economic and industry conditions as well as particular plans of each entity (i.e. restructuring plans, de-leveraging, etc.). The cost of equity used to discount the cash flows was calculated using the Ibbotson Build-Up Method and ranged from 11.14% to 12.58% for the 2019 analysis. The Ibbotson Build-Up Method builds up a cost of equity starting with the rate of return of a “risk-free” asset (20-year U.S. Treasury note) and adds to it additional risk elements such as equity risk premium, size premium and industry risk premium. The resulting discount rates were analyzed in terms of reasonability given the current market conditions and adjustments were made when necessary. BPPR passed Step 1 in the annual test as of July 31, 2019. The results indicated that the average estimated fair value calculated in Step 1 using all valuation methodologies exceeded BPPR’s equity value by approximately $ 1.2 billion or 37%. Accordingly, there was no indication of impairment on the goodwill recorded in BPPR at July 31, 2019 and there was no need for a Step 2 analysis. PB also passed Step 1 in the annual test as of July 31, 2019. The results indicated that the average estimated fair value calculated in Step 1 using all valuation methodologies exceeded PB’s equity value by approximately $ 338 million or 21%. Accordingly, there was no indication of impairment on the goodwill recorded in PB at July 31, 2019 and there was no need for a Step 2 analysis. The goodwill balance of BPPR and PB, as legal entities, represented approximately 91% of the Corporation’s total goodwill balance as of the July 31, 2019 valuation date. Furthermore, as part of the analyses, management performed a reconciliation of the aggregate fair values determined for the reporting units to the market capitalization of the Corporation concluding that the fair value results determined for the reporting units in the July 31, 2019 annual assessment were reasonable. The goodwill impairment evaluation process requires the Corporation to make estimates and assumptions with regard to the fair value of the reporting units. Actual values may differ significantly from these estimates. Such differences could result in future impairment of goodwill that would, in turn, negatively impact the Corporation’s results of operations and the reporting units where the goodwill is recorded. Declines in the Corporation’s market capitalization could increase the risk of goodwill impairment in the future. Refer to Note 3, New Accounting Pronouncements, for changes on the annual goodwill impairment test in accordance with ASU 2017-04. Management monitors events or changes in circumstances between annual tests to determine if these events or changes in circumstances would more likely than not reduce the fair value of a reporting unit below its carrying amount. The following tables present the gross amount of goodwill and accumulated impairment losses by reportable segments. December 31, 2019 Balance at Balance at Balance at Balance at January 1, Accumulated January 1, December 31, Accumulated December 31, 2019 impairment 2019 2019 impairment 2019 (In thousands) (gross amounts) losses (net amounts) (gross amounts) losses (net amounts) Banco Popular de Puerto Rico $ 324,049 $ 3,801 $ 320,248 $ 324,049 $ 3,801 $ 320,248 Popular U.S. 515,285 164,411 350,874 515,285 164,411 350,874 Total Popular, Inc. $ 839,334 $ 168,212 $ 671,122 $ 839,334 $ 168,212 $ 671,122 December 31, 2018 Balance at Balance at Balance at Balance at January 1, Accumulated January 1, December 31, Accumulated December 31, 2018 impairment 2018 2018 impairment 2018 (In thousands) (gross amounts) losses (net amounts) (gross amounts) losses (net amounts) Banco Popular de Puerto Rico $ 280,221 $ 3,801 $ 276,420 $ 324,049 $ 3,801 $ 320,248 Popular U.S. 515,285 164,411 350,874 515,285 164,411 350,874 Total Popular, Inc. $ 795,506 $ 168,212 $ 627,294 $ 839,334 $ 168,212 $ 671,122 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Deposits | Note 18 – Deposits Total interest bearing deposits as of the end of the periods presented consisted of: (In thousands) December 31, 2019 December 31, 2018 Savings accounts $ 10,618,629 $ 9,722,824 NOW, money market and other interest bearing demand deposits 16,305,007 13,221,415 Total savings, NOW, money market and other interest bearing demand deposits 26,923,636 22,944,239 Certificates of deposit: Under $100,000 3,133,840 3,260,330 $100,000 and over 4,540,957 4,356,434 Total certificates of deposit 7,674,797 7,616,764 Total interest bearing deposits $ 34,598,433 $ 30,561,003 A summary of certificates of deposit by maturity at December 31, 2019 follows: (In thousands) 2020 $ 4,612,460 2021 1,149,007 2022 734,322 2023 502,572 2024 615,875 2025 and thereafter 60,561 Total certificates of deposit $ 7,674,797 At December 31, 2019, the Corporation had brokered deposits amounting to $ 0.5 billion (December 31, 2018 - $ 0.5 billion). The aggregate amount of overdrafts in demand deposit accounts that were reclassified to loans was $ 4 million at December 31, 2019 (December 31, 2018 - $ 5 million). |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Borrowings | Note 19 – Borrowings Assets sold under agreements to repurchase amounted $ 193 million at December 31, 2019 and $ 282 million December 31, 2018. The Corporation’s repurchase transactions are overcollateralized with the securities detailed in the table below. The Corporation’s repurchase agreements have a right of set-off with the respective counterparty under the supplemental terms of the master repurchase agreements. In an event of default each party has a right of set-off against the other party for amounts owed in the related agreement and any other amount or obligation owed in respect of any other agreement or transaction between them. Pursuant to the Corporation’s accounting policy, the repurchase agreements are not offset with other repurchase agreements held with the same counterparty. The following table presents information related to the Corporation’s repurchase transactions accounted for as secured borrowings that are collateralized with debt securities available-for-sale, other assets held-for-trading purposes or which have been obtained under agreements to resell. It is the Corporation’s policy to maintain effective control over assets sold under agreements to repurchase; accordingly, such securities continue to be carried on the Consolidated Statements of Financial Condition. Repurchase agreements accounted for as secured borrowings December 31, 2019 December 31, 2018 Repurchase liability Repurchase liability Repurchase weighted average Repurchase weighted average (Dollars in thousands) liability interest rate liability interest rate U.S. Treasury securities Within 30 days $ 88,646 2.59 % $ 138,689 2.56 % After 30 to 90 days 78,061 2.36 79,374 2.47 After 90 days 24,538 2.52 19,558 2.72 Total U.S. Treasury securities 191,245 2.49 237,621 2.54 Obligations of U.S. government sponsored entities After 30 to 90 days - - 6,055 2.45 Total obligations of U.S. government sponsored entities - - 6,055 2.45 Mortgage-backed securities Within 30 days 1,235 0.30 6,859 1.15 After 90 days - - 20,465 2.75 Total mortgage-backed securities 1,235 0.30 27,324 2.35 Collateralized mortgage obligations Within 30 days 898 0.24 10,529 0.25 Total collateralized mortgage obligations 898 0.24 10,529 0.25 Total $ 193,378 2.46 % $ 281,529 2.43 % Repurchase agreements in this portfolio are generally short-term, often overnight. As such our risk is very limited. We manage the liquidity risks arising from secured funding by sourcing funding globally from a diverse group of counterparties, providing a range of securities collateral and pursuing longer durations, when appropriate. There were no other short-term borrowings outstanding at December 31, 2019, compared to $ 42 thousand at December 31, 2018 Assets sold under agreements to repurchase: (Dollars in thousands) 2019 2018 Maximum aggregate balance outstanding at any month-end $ 281,833 $ 401,606 Average monthly aggregate balance outstanding $ 222,565 $ 330,585 Weighted average interest rate: For the year 2.64 % 2.01 % At December 31 2.50 % 2.44 % The following table presents information related to the Corporation’s other short-term borrowings for the periods ended December 31, 2019 and December 31, 2018. Other short-term borrowings: (Dollars in thousands) 2019 2018 Others $ - $ 42 Balance outstanding at the end of the period $ - $ 42 Maximum aggregate balance outstanding at any month-end $ 160,000 $ 186,200 Average monthly aggregate balance outstanding $ 8,703 $ 27,833 Weighted average interest rate: For the year 2.50 % 2.04 % At December 31 1.85 % 2.53 % The following table presents the composition of notes payable at December 31, 2019 and December 31, 2018. (In thousands) December 31, 2019 December 31, 2018 Advances with the FHLB with maturities ranging from 2020 through 2029 paying interest at monthly fixed rates ranging from 1.14% to 4.19% (2018 - 0.95% to 4.19%) $ 421,399 $ 524,052 Advances with the FHLB maturing on 2019 paying interest monthly at a floating rate of 0.34% over 1 month LIBOR - 13,000 Advances with the FHLB maturing on 2019 paying interest quarterly at floating rates ranging from 0.12% to 0.24% over the 3 month LIBOR - 19,724 Unsecured senior debt securities maturing on 2023 paying interest semiannually at a fixed rate of 6.125%, net of debt issuance costs of $ 4,693 (2018 - $ 5,961) 295,307 294,039 Junior subordinated deferrable interest debentures (related to trust preferred securities) with maturities ranging from 2033 to 2034 with fixed interest rates ranging from 6.125% to 6.7%, net of debt issuance costs of $ 396 (2018 - $ 423) 384,902 384,875 Capital lease obligations - 20,412 Total notes payable $ 1,101,608 $ 1,256,102 A breakdown of borrowings by contractual maturities at December 31, 2019 is included in the table below. Assets sold under (In thousands) agreements to repurchase Notes payable Total 2020 $ 193,378 $ 139,920 $ 333,298 2021 - 50,040 50,040 2022 - 103,148 103,148 2023 - 318,568 318,568 2024 - 28,373 28,373 Later years - 461,559 461,559 Total borrowings $ 193,378 $ 1,101,608 $ 1,294,986 At December 31, 2019 and 2018, the Corporation had FHLB borrowing facilities whereby the Corporation could borrow up to $ 3.6 billion and $ 3.4 billion, respectively, of which $ 0.4 billion and $ 0.6 billion, respectively, were used. In addition, at December 31, 2019 and 2018, the Corporation had placed $ 0.9 billion of the available FHLB credit facility as collateral for a municipal letter of credit to secure deposits. The FHLB borrowing facilities are collateralized with loans held-in-portfolio, and do not have restrictive covenants or callable features. Also, at December 31, 2019, the Corporation has a borrowing facility at the discount window of the Federal Reserve Bank of New York amounting to $ 1.1 billion (2018 - $ 1.2 billion), which remained unused at December 31, 2019 and December 31, 2018. |
Trust preferred securities
Trust preferred securities | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Trust Preferred Securities | Note 20 – Trust preferred securities Statutory trusts established by the Corporation (Popular Capital Trust I, Popular North America Capital Trust I and Popular Capital Trust II) had issued trust preferred securities (also referred to as “capital securities”) to the public. The proceeds from such issuances, together with the proceeds of the related issuances of common securities of the trusts (the “common securities”), were used by the trusts to purchase junior subordinated deferrable interest debentures (the “junior subordinated debentures”) issued by the Corporation. The sole assets of the trusts consisted of the junior subordinated debentures of the Corporation and the related accrued interest receivable. These trusts are not consolidated by the Corporation pursuant to accounting principles generally accepted in the United States of America. The junior subordinated debentures are included by the Corporation as notes payable in the Consolidated Statements of Financial Condition, while the common securities issued by the issuer trusts are included as debt securities held-to-maturity. The common securities of each trust are wholly-owned, or indirectly wholly-owned, by the Corporation. During the quarter ended September 30, 2018, Popular North America, Inc. (“PNA”), a wholly-owned subsidiary of the Corporation, redeemed all outstanding capital securities issued by BanPonce Trust I (the “Trust”), a statutory trust established by PNA, with an aggregate book value of $ 53 million, along with the common securities issued by the Trust, which resulted in the concurrent extinguishment of the related junior subordinated debentures amounting to $ 55 million. The following table presents financial data pertaining to the different trusts at December 31, 2019 and 2018. (Dollars in thousands) Popular Popular North America Popular Issuer Capital Trust I Capital Trust I Capital Trust Il Capital securities $ 181,063 $ 91,651 $ 101,023 Distribution rate 6.700 % 6.564 % 6.125 % Common securities $ 5,601 $ 2,835 $ 3,125 Junior subordinated debentures aggregate liquidation amount $ 186,664 $ 94,486 $ 104,148 Stated maturity date November 2033 September 2034 December 2034 Reference notes [2],[4],[5] [1],[3],[5] [2],[4],[5] [1] Statutory business trust that is wholly-owned by PNA and indirectly wholly-owned by the Corporation. [2] Statutory business trust that is wholly-owned by the Corporation. [3] The obligations of PNA under the junior subordinated debentures and its guarantees of the capital securities under the trust are fully and unconditionally guaranteed on a subordinated basis by the Corporation to the extent set forth in the applicable guarantee agreement. [4] These capital securities are fully and unconditionally guaranteed on a subordinated basis by the Corporation to the extent set forth in the applicable guarantee agreement. [5] The Corporation has the right, subject to any required prior approval from the Federal Reserve, to redeem after certain dates or upon the occurrence of certain events mentioned below, the junior subordinated debentures at a redemption price equal to 100% of the principal amount, plus accrued and unpaid interest to the date of redemption. The maturity of the junior subordinated debentures may be shortened at the option of the Corporation prior to their stated maturity dates (i) on or after the stated optional redemption dates stipulated in the agreements, in whole at any time or in part from time to time, or (ii) in whole, but not in part, at any time within 90 days following the occurrence and during the continuation of a tax event, an investment company event or a capital treatment event as set forth in the indentures relating to the capital securities, in each case subject to regulatory approval. At December 31, 2019 and 2018, the Corporation’s $ million in trust preferred securities outstanding do not qualify for Tier 1 capital treatment, but instead qualify for Tier 2 capital treatment. |
Other liabilities
Other liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities Disclosure Abstract | |
Other liabilites | Note 21 − Other liabilities The caption of other liabilities in the consolidated statements of financial condition consists of the following major categories: (In thousands) December 31, 2019 December 31, 2018 Accrued expenses $ 273,184 $ 276,120 Accrued interest payable 44,026 44,638 Accounts payable 65,688 66,381 Dividends payable 29,027 25,092 Trades payable 4,084 64 Liability for GNMA loans sold with an option to repurchase 102,663 134,260 Reserves for loan indemnifications 38,074 67,066 Reserve for operational losses 35,665 40,921 Operating lease liabilities (Note 35) 165,139 - Finance lease liabilities (Note 35) 19,810 - Pension benefit obligation 52,616 68,736 Postretirement benefit obligation 168,681 153,415 Others 46,296 45,115 Total other liabilities $ 1,044,953 $ 921,808 |
Stockholders' equity
Stockholders' equity | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Note | |
Stockholders' Equity | Note 22 – Stockholders’ equity The Corporation’s common stock ranks junior to all series of preferred stock as to dividend rights and / or as to rights on liquidation, dissolution or winding up of the Corporation. Dividends on each series of preferred stocks are payable if declared. The Corporation’s ability to declare or pay dividends on, or purchase, redeem or otherwise acquire, its common stock is subject to certain restrictions in the event that the Corporation fails to pay or set aside full dividends on the preferred stock for the latest dividend period. The ability of the Corporation to pay dividends in the future is limited by regulatory requirements, legal availability of funds, recent and projected financial results, capital levels and liquidity of the Corporation, general business conditions and other factors deemed relevant by the Corporation’s Board of Directors. The Corporation’s common stock trades on the NASDAQ Stock Market LLC (the “NASDAQ”) under the symbol BPOP. The 2003 Series A and 2008 Series B Preferred Stock are not listed on NASDAQ. Preferred stocks The Corporation has 30,000,000 shares of authorized preferred stock that may be issued in one or more series, and the shares of each series shall have such rights and preferences as shall be fixed by the Board of Directors when authorizing the issuance of that particular series. The Corporation’s shares of preferred stock issued and outstanding at December 31, 2019 and 2018 consisted of: 6.375% non-cumulative monthly income preferred stock, 2003 Series A, no par value, liquidation preference value of $ 25 per share. Holders on record of the 2003 Series A Preferred Stock are entitled to receive, when, as and if declared by the Board of Directors of the Corporation or an authorized committee thereof, out of funds legally available, non-cumulative cash dividends at the annual rate per share of 6.375% of their liquidation preference value, or $ 0.1328125 per share per month. These shares of preferred stock are perpetual, nonconvertible, have no preferential rights to purchase any securities of the Corporation and are redeemable solely at the option of the Corporation with the consent of the Board of Governors of the Federal Reserve System. The redemption price per share is $ 25.00. The shares of 2003 Series A Preferred Stock have no voting rights, except for certain rights in instances when the Corporation does not pay dividends for a defined period. These shares are not subject to any sinking fund requirement. Cash dividends declared and paid on the 2003 Series A Preferred Stock amounted to $ 1.4 million for the year ended December 31, 2019, 2018 and 2017. Outstanding shares of 2003 Series A Preferred Stock amounted to 885,726 at December 31, 2019, 2018 and 2017. 8.25% non-cumulative monthly income preferred stock, 2008 Series B, no par value, liquidation preference value of $ 25 per share. The shares of 2008 Series B Preferred Stock were issued in May 2008. Holders of record of the 2008 Series B Preferred Stock are entitled to receive, when, as and if declared by the Board of Directors of the Corporation or an authorized committee thereof, out of funds legally available, non-cumulative cash dividends at the annual rate per share of 8.25% of their liquidation preferences, or $ 0.171875 per share per month. These shares of preferred stock are perpetual, nonconvertible, have no preferential rights to purchase any securities of the Corporation and are redeemable solely at the option of the Corporation with the consent of the Board of Governors of the Federal Reserve System beginning on May 28, 2013. Cash dividends declared and paid on the 2008 Series B Preferred Stock amounted to $ 2.3 million for the year ended December 31, 2019, 2018 and 2017. Outstanding shares of 2008 Series B Preferred Stock amounted to 1,120,665 at December 31, 2019, 2018 and 2017. On February 24, 2020, the Corporation redeemed all the outstanding shares of the 2008 Series B Preferred Stock. The redemption price of the 2008 Series B Preferred Stock was $ 25.00 per share, plus $ 0.1375 (representing the amount of accrued and unpaid dividends for the current monthly dividend period to the redemption date), for a total payment per share in the amount of $ 25.1375. Common stocks Dividends During the year 2019, c ash dividends of $ 1.20 (2018 - $ 1.00; 2017 - $ 1.00) per common share outstanding were declared amounting to $ 116.0 million (2018 - $ 101.3 million; 2017 - $ 102.1 million) of which $ 29.0 million were payable to shareholders of common stock at December 31, 2019 (2018 - $ 25.1 million; 2017 - $ 25.5 million) . The quarterly dividend of $ 0.30 per share declared to shareholders of record as of the close of business on December 5 , 2019 January 2, 2020. On January 9, 2020, the Corporation announced as part of its capital plan for 2020, an increase in its quarterly common stock dividend from $ 0.30 per share to $ 0.40 per share, beginning in the second quarter of 2020, subject to approval by its Board of Directors. On February 28, 2020, the Corporation’s Board of Directors approved a quarterly cash dividend of $ 0.40 per share on its outstanding common stock, payable on April 1, 2020 to shareholders of record at the close of business on March 19, 2020. Accelerated share repurchase transaction (“ASR”) During the fourth quarter of 2019, the Corporation completed a $ 250 million ASR. In connection therewith, the Corporation received an initial delivery of 3,500,000 shares of common stock during the first quarter of 2019 and received 1,165,607 additional shares of common stock during the fourth quarter of 2019. The final number of shares delivered at settlement was based on the average daily volume weighted average prince (“VWAP”) of its common stock, net of a discount, during the term of the ASR of $ 53.58. In connection with the transaction, the Corporation recognized $ 266 million in treasury stock, offset by $ 16 million adjustment to capital surplus. During 2018, the Corporation completed a $ 125 million ASR receiving 2,438,180 shares and recording $ 125 million in treasury stock. During 2017, the Corporation completed a $ 75 million ASR receiving 1,847,372 shares and recording $ 80 million in treasury stock, based on the stock’s spot price, offset by $ 5 million adjustment to capital surplus, resulting from the decline in the Corporation’s stock price during the term of the ASR. On January 31, 2020, the Corporation entered into a $ 500 million ASR with respect to its common stock, which was accounted for as a treasury stock transaction. As a result of the receipt of the initial shares, the Corporation recognized $ 400 million in treasury stock and $ 100 million as a reduction in capital surplus. The Corporation expects to further adjust its treasury stock and capital surplus to reflect the delivery or receipt of cash or shares upon the termination of the ASR agreement, which will depend on the average price of the Corporation’s shares during the term of the ASR. Statutory reserve The Banking Act of the Commonwealth of Puerto Rico requires that a minimum of 10% of BPPR’s net income for the year be transferred to a statutory reserve account until such statutory reserve equals the total of paid-in capital on common and preferred stock. Any losses incurred by a bank must first be charged to retained earnings and then to the reserve fund. Amounts credited to the reserve fund may not be used to pay dividends without the prior consent of the Puerto Rico Commissioner of Financial Institutions. The failure to maintain sufficient statutory reserves would preclude BPPR from paying dividends. BPPR’s statutory reserve fund amounted to $ 659 million at December 31, 2019 ( 2018 - $ 599 million; 2017 - $ 540 million). During 2019 , $ 60 million was transferred to the statutory reserve account ( 2018 - $ 58 million, 2017 - $ 27 million). BPPR was in compliance with the statutory reserve requirement in 2019 , 2018 and 2017 . |
Regulatory capital requirements
Regulatory capital requirements | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Capital Requirements | |
Regulatory Capital Requirments | Note 23 – Regulatory capital requirements The Corporation, BPPR and PB are subject to various regulatory capital requirements imposed by the federal banking agencies. Failure to meet minimum capital requirements can lead to certain mandatory and additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Corporation’s consolidated financial statements. Popular, Inc., BPPR and PB are subject to Basel III capital requirements, including also revised minimum and well capitalized regulatory capital ratios and compliance with the standardized approach for determining risk-weighted assets. The Basel III Capital Rules established a Common Equity Tier I (“CET1”) capital measure and related regulatory capital ratio CET1 to risk-weighted assets. The Basel III Capital Rules provide that a depository institution will be deemed to be well capitalized if it maintained a leverage ratio of at least 5%, a CET1 ratio of at least 6.5%, a Tier 1 risk-based capital ratio of at least 8% and a total risk-based ratio of at least 10%. Management has determined that at December 31, 2019 and 2018, the Corporation exceeded all capital adequacy requirements to which it is subject. The Corporation has been designated by the Federal Reserve Board as a Financial Holding Company (“FHC”) and is eligible to engage in certain financial activities permitted under the Gramm-Leach-Bliley Act of 1999. At December 31, 2019 and 2018, BPPR and PB were well-capitalized under the regulatory framework for prompt corrective action. The following tables present the Corporation’s risk-based capital and leverage ratios at December 31, 2019 and 2018 under the Basel III regulatory guidance Actual Capital adequacy minimum requirement (including conservation capital buffer) (Dollars in thousands) Amount Ratio Amount Ratio 2019 Total Capital (to Risk-Weighted Assets): Corporation $ 5,858,615 20.31 % $ 3,028,239 10.500 % BPPR 4,226,374 19.98 2,220,908 10.500 PB 1,211,045 16.98 748,836 10.500 Common Equity Tier I Capital (to Risk-Weighted Assets): Corporation $ 5,121,240 17.76 % $ 2,018,826 7.000 % BPPR 3,958,518 18.72 1,480,605 7.000 PB 1,165,710 16.35 499,224 7.000 Tier I Capital (to Risk-Weighted Assets): Corporation $ 5,121,240 17.76 % $ 2,451,431 8.500 % BPPR 3,958,518 18.72 1,797,878 8.500 PB 1,165,710 16.35 606,200 8.500 Tier I Capital (to Average Assets): Corporation $ 5,121,240 10.03 % $ 2,042,299 4 % BPPR 3,958,518 9.62 1,645,851 4 PB 1,165,710 12.33 378,041 4 Actual Capital adequacy minimum requirement (including conservation capital buffer) (Dollars in thousands) Amount Ratio Amount Ratio 2018 Total Capital (to Risk-Weighted Assets): Corporation $ 5,354,199 19.54 % $ 2,706,117 9.875 % BPPR 3,900,536 19.00 2,027,005 9.875 PB 1,148,253 17.82 636,450 9.875 Common Equity Tier I Capital (to Risk-Weighted Assets): Corporation $ 4,631,511 16.90 % $ 1,746,987 6.375 % BPPR 3,638,009 17.72 1,308,573 6.375 PB 1,085,829 16.85 410,873 6.375 Tier I Capital (to Risk-Weighted Assets): Corporation $ 4,631,511 16.90 % $ 2,158,043 7.875 % BPPR 3,638,009 17.72 1,616,473 7.875 PB 1,085,829 16.85 507,549 7.875 Tier I Capital (to Average Assets): Corporation $ 4,631,511 9.88 % $ 1,875,057 4 % BPPR 3,638,009 9.62 1,512,568 4 PB 1,085,829 12.42 349,580 4 The following table presents the minimum amounts and ratios for the Corporation’s banks to be categorized as well-capitalized. 2019 2018 (Dollars in thousands) Amount Ratio Amount Ratio Total Capital (to Risk-Weighted Assets): BPPR $ 2,115,150 10 % $ 2,052,664 10 % PB 713,177 10 644,506 10 Common Equity Tier I Capital (to Risk-Weighted Assets): BPPR $ 1,374,848 6.5 % $ 1,334,231 6.5 % PB 463,565 6.5 418,929 6.5 Tier I Capital (to Risk-Weighted Assets): BPPR $ 1,692,120 8 % $ 1,642,131 8 % PB 570,542 8 515,605 8 Tier I Capital (to Average Assets): BPPR $ 2,057,314 5 % $ 1,890,709 5 % PB 472,551 5 436,975 5 |
Other comprehensive income (los
Other comprehensive income (loss) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Other Comprehensive Income (Loss) | Note 24 – Other comprehensive loss The following table presents changes in accumulated other comprehensive loss by component for the years ended December 31, 2019, 2018 and 2017. Changes in Accumulated Other Comprehensive Loss by Component [1] Years ended December 31, (In thousands) 2019 2018 2017 Foreign currency translation Beginning Balance $ ( 49,936) $ ( 43,034) $ ( 39,956) Other comprehensive loss ( 6,847) ( 6,902) ( 3,078) Net change ( 6,847) ( 6,902) ( 3,078) Ending balance $ ( 56,783) $ ( 49,936) $ ( 43,034) Adjustment of pension and postretirement benefit plans Beginning Balance $ ( 203,836) $ ( 205,408) $ ( 211,610) Other comprehensive loss before reclassifications ( 13,671) ( 9,453) ( 5,164) Amounts reclassified from accumulated other comprehensive loss for amortization of net losses 14,691 13,141 13,684 Amounts reclassified from accumulated other comprehensive loss for amortization of prior service credit - ( 2,116) ( 2,318) Net change 1,020 1,572 6,202 Ending balance $ ( 202,816) $ ( 203,836) $ ( 205,408) Unrealized net holding gains (losses) on debt securities Beginning Balance $ ( 173,811) $ ( 102,775) $ ( 69,003) Other comprehensive income (loss) before reclassifications 265,950 ( 71,036) ( 40,446) Other-than-temporary impairment amounts reclassified from accumulated other comprehensive loss - - 6,740 Amounts reclassified from accumulated other comprehensive loss for losses (gains) on securities 16 - ( 66) Net change 265,966 ( 71,036) ( 33,772) Ending balance $ 92,155 $ ( 173,811) $ ( 102,775) Unrealized net holding gains on equity securities Beginning Balance $ - $ 605 $ 685 Reclassification to retained earnings due to cumulative effect adjustment of accounting change - ( 605) - Other comprehensive income before reclassifications - - 121 Amounts reclassified from accumulated other comprehensive income for gains on securities - - ( 201) Net change - ( 605) ( 80) Ending balance $ - $ - $ 605 Unrealized net losses on cash flow hedges Beginning Balance $ ( 391) $ ( 40) $ ( 402) Reclassification to retained earnings due to cumulative effect adjustment of accounting change ( 50) - - Other comprehensive (loss) income before reclassifications ( 4,439) 326 ( 790) Amounts reclassified from accumulated other comprehensive loss 2,386 ( 677) 1,152 Net change ( 2,103) ( 351) 362 Ending balance $ ( 2,494) $ ( 391) $ ( 40) Total $ ( 169,938) $ ( 427,974) $ ( 350,652) [1] All amounts presented are net of tax. The following table presents the amounts reclassified out of each component of accumulated other comprehensive loss for the years ended December 31, 2019, 2018, and 2017. Reclassifications Out of Accumulated Other Comprehensive Loss Affected Line Item in the Years ended December 31, (In thousands) Consolidated Statements of Operations 2019 2018 2017 Adjustment of pension and postretirement benefit plans Amortization of net losses Personnel costs $ ( 23,508) $ ( 21,542) $ ( 22,428) Amortization of prior service credit Personnel costs - 3,470 3,800 Total before tax ( 23,508) ( 18,072) ( 18,628) Income tax benefit 8,817 7,047 7,262 Total net of tax $ ( 14,691) $ ( 11,025) $ ( 11,366) Unrealized holding gains (losses) on debt securities Realized (loss) gain on sale of debt securities Net (loss) gain on sale of debt securities $ ( 20) $ - $ 83 Other-than-temporary impairment losses on debt securities - - ( 8,299) Total before tax ( 20) - ( 8,216) Income tax benefit 4 - 1,542 Total net of tax $ ( 16) $ - $ ( 6,674) Unrealized holding gains on equity securities Realized gain on sale of equity securities Net gain, including impairment on equity securities $ - $ - $ 251 Total before tax - - 251 Income tax expense - - ( 50) Total net of tax $ - $ - $ 201 Unrealized net (losses) gains on cash flow hedges Forward contracts Mortgage banking activities $ ( 3,992) $ 1,110 $ ( 1,888) Interest rate swaps Other operating income 110 - - Total before tax ( 3,882) 1,110 ( 1,888) Income tax benefit (expense) 1,496 ( 433) 736 Total net of tax $ ( 2,386) $ 677 $ ( 1,152) Total reclassification adjustments, net of tax $ ( 17,093) $ ( 10,348) $ ( 18,991) |
Guarantees
Guarantees | 12 Months Ended |
Dec. 31, 2019 | |
Guarantees | |
Guarantees | Note 25 – Guarantees The Corporation has obligations upon the occurrence of certain events under financial guarantees provided in certain contractual agreements as summarized below. The Corporation issues financial standby letters of credit and has risk participation in standby letters of credit issued by other financial institutions, in each case to guarantee the performance of various customers to third parties. If the customers failed to meet its financial or performance obligation to the third party under the terms of the contract, then, upon their request, the Corporation would be obligated to make the payment to the guaranteed party. At December 31, 2019, the Corporation recorded a liability of $ 0.3 million (December 31, 2018 - $ 0.3 million), which represents the unamortized balance of the obligations undertaken in issuing the guarantees under the standby letters of credit. In accordance with the provisions of ASC Topic 460, the Corporation recognizes at fair value the obligation at inception of the standby letters of credit. The fair value approximates the fee received from the customer for issuing such commitments. These fees are deferred and are recognized over the commitment period. The contracted amounts in standby letters of credit outstanding at December 31, 2019 and 2018, shown in Note 26, represent the maximum potential amount of future payments that the Corporation could be required to make under the guarantees in the event of nonperformance by the customers. These standby letters of credit are used by the customers as a credit enhancement and typically expire without being drawn upon. The Corporation’s standby letters of credit are generally secured, and in the event of nonperformance by the customers, the Corporation has rights to the underlying collateral provided, which normally includes cash, marketable securities, real estate, receivables, and others. Management does not anticipate any material losses related to these instruments. Also, from time to time, the Corporation securitized mortgage loans into guaranteed mortgage-backed securities subject in certain instances, to lifetime credit recourse on the loans that serve as collateral for the mortgage-backed securities. The Corporation has not sold any mortgage loans subject to credit recourse since 2009. Also, from time to time, the Corporation may sell, in bulk sale transactions, residential mortgage loans and Small Business Administration (“SBA”) commercial loans subject to credit recourse or to certain representations and warranties from the Corporation to the purchaser. These representations and warranties may relate, for example, to borrower creditworthiness, loan documentation, collateral, prepayment and early payment defaults. The Corporation may be required to repurchase the loans under the credit recourse agreements or representation and warranties. At December 31, 2019, the Corporation serviced $ 1.2 billion (December 31, 2018 - $ 1.3 billion) in residential mortgage loans subject to credit recourse provisions, principally loans associated with FNMA and FHLMC residential mortgage loan securitization programs. In the event of any customer default, pursuant to the credit recourse provided, the Corporation is required to repurchase the loan or reimburse the third party investor for the incurred loss. The maximum potential amount of future payments that the Corporation would be required to make under the recourse arrangements in the event of nonperformance by the borrowers is equivalent to the total outstanding balance of the residential mortgage loans serviced with recourse and interest, if applicable. During 2019, the Corporation repurchased approximately $ 57 million of unpaid principal balance in mortgage loans subject to the credit recourse provisions (2018 - $ 27 million). In the event of nonperformance by the borrower, the Corporation has rights to the underlying collateral securing the mortgage loan. The Corporation suffers losses on these loans when the proceeds from a foreclosure sale of the property underlying a defaulted mortgage loan are less than the outstanding principal balance of the loan plus any uncollected interest advanced and the costs of holding and disposing the related property. At December 31, 2019, the Corporation’s liability established to cover the estimated credit loss exposure related to loans sold or serviced with credit recourse amounted to $ 35 million (December 31, 2018 - $ 56 million). The following table shows the changes in the Corporation’s liability of estimated losses from these credit recourses agreements, included in the consolidated statements of financial condition during the years ended December 31, 2019 and 2018. Years ended December 31, (In thousands) 2019 2018 Balance as of beginning of period $ 56,230 $ 58,820 Provision for recourse liability 2,122 12,200 Net charge-offs ( 23,490) ( 14,790) Balance as of end of period $ 34,862 $ 56,230 The estimated losses to be absorbed under the credit recourse arrangements are recorded as a liability when the loans are sold and are updated by accruing or reversing expense (categorized in the line item “Adjustments (expense) to indemnity reserves on loans sold” in the consolidated statements of operations) throughout the life of the loan, as necessary, when additional relevant information becomes available. The methodology used to estimate the recourse liability is a function of the recourse arrangements given and considers a variety of factors, which include actual defaults and historical loss experience, foreclosure rate, estimated future defaults and the probability that a loan would be delinquent. Statistical methods are used to estimate the recourse liability. Expected loss rates are applied to different loan segmentations. The expected loss, which represents the amount expected to be lost on a given loan, considers the probability of default and loss severity. The probability of default represents the probability that a loan in good standing would become 90 days delinquent within the following twelve-month period. Regression analysis quantifies the relationship between the default event and loan-specific characteristics, including credit scores, loan-to-value ratios, and loan aging, among others. When the Corporation sells or securitizes mortgage loans, it generally makes customary representations and warranties regarding the characteristics of the loans sold. The Corporation’s mortgage operations in Puerto Rico group conforming mortgage loans into pools which are exchanged for FNMA and GNMA mortgage-backed securities, which are generally sold to private investors, or are sold directly to FNMA for cash. As required under the government agency programs, quality review procedures are performed by the Corporation to ensure that asset guideline qualifications are met. To the extent the loans do not meet specified characteristics, the Corporation may be required to repurchase such loans or indemnify for losses and bear any subsequent loss related to the loans. There were no repurchases under BPPR’s representation and warranty arrangements during the year ended December 31, 2019 compared to $ 12 million during the year ended December 31, 2018. A substantial amount of these loans reinstate to performing status or have mortgage insurance, and thus the ultimate losses on the loans are not deemed significant. During the second quarter of 2019, the Corporation recorded the release of a $ 4.4 million reserve taken in connection with a sale of loans completed during the year 2013. The following table presents the changes in the Corporation’s liability for estimated losses associated with the indemnifications and representations and warranties related to loans sold during the years ended December 31, 2019 and 2018. Years ended December 31, (In thousands) 2019 2018 Balance as of beginning of period $ 10,837 $ 11,742 Provision (reversal) for representation and warranties ( 5,020) 78 Net charge-offs ( 75) ( 983) Settlements paid ( 2,530) - Balance as of end of period $ 3,212 $ 10,837 Servicing agreements relating to the mortgage-backed securities programs of FNMA and GNMA, and to mortgage loans sold or serviced to certain other investors, including FHLMC, require the Corporation to advance funds to make scheduled payments of principal, interest, taxes and insurance, if such payments have not been received from the borrowers. At December 31, 2019, the Corporation serviced $ 14.8 billion in mortgage loans for third-parties, including the loans serviced with credit recourse (December 31, 2018 - $ 15.7 billion). The Corporation generally recovers funds advanced pursuant to these arrangements from the mortgage owner, from liquidation proceeds when the mortgage loan is foreclosed or, in the case of FHA/VA loans, under the applicable FHA and VA insurance and guarantees programs. However, in the meantime, the Corporation must absorb the cost of the funds it advances during the time the advance is outstanding. The Corporation must also bear the costs of attempting to collect on delinquent and defaulted mortgage loans. In addition, if a defaulted loan is not cured, the mortgage loan would be canceled as part of the foreclosure proceedings and the Corporation would not receive any future servicing incom e with respect to that loan. At December 31, 2019, the outstanding balance of funds advanced by the Corporation under such mortgage loan servicing agreements was approximately $ 78 million (December 31, 2018 - $ 88 million). To the extent the mortgage loans underlying the Corporation’s servicing portfolio experience increased delinquencies, the Corporation would be required to dedicate additional cash resources to comply with its obligation to advance funds as well as incur addition al administrative costs related to increases in collection efforts. Popular, Inc. Holding Company (“PIHC”) fully and unconditionally guarantees certain borrowing obligations issued by certain of its 100% owned consolidated subsidiaries amounting to $ 94 million at both December 31, 2019 and December 31, 2018, respectively. In addition, at both December 31, 2019 and December 31, 2018, PIHC fully and unconditionally guaranteed on a subordinated basis $ 374 million of capital securities (trust preferred securities) issued by wholly-owned issuing trust entities to the extent set forth in the applicable guarantee agreement. Refer to Note 20 to the consolidated financial statements for further information on the trust preferred securities. |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure | |
Commitments And Contingencies | Note 26 – Commitments and contingencies Off-balance sheet risk The Corporation is a party to financial instruments with off-balance sheet credit risk in the normal course of business to meet the financial needs of its customers. These financial instruments include loan commitments, letters of credit and standby letters of credit. These instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated statements of financial condition. The Corporation’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit, standby letters of credit and financial guarantees is represented by the contractual notional amounts of those instruments. The Corporation uses the same credit policies in making these commitments and conditional obligations as it does for those reflected on the consolidated statements of financial condition. Financial instruments with off-balance sheet credit risk, whose contract amounts represent potential credit risk as of the end of the periods presented were as follows: (In thousands) December 31, 2019 December 31, 2018 Commitments to extend credit: Credit card lines $ 4,889,694 $ 4,468,481 Commercial and construction lines of credit 3,205,306 2,751,390 Other consumer unused credit commitments 262,516 254,491 Commercial letters of credit 2,629 2,695 Standby letters of credit 75,186 26,479 Commitments to originate or fund mortgage loans 96,653 22,629 At December 31, 2019 and 2018, the Corporation maintained a reserve of approximately $ 9 million and $ 8 million, respectively, for potential losses associated with unfunded loan commitments related to commercial and consumer lines of credit. Other commitments At December 31, 2019, the Corporation’s also maintained other non-credit commitments for approximately $ 2.5 million, primarily for the acquisition of other investments. Business concentration Since the Corporation’s business activities are concentrated primarily in Puerto Rico, its results of operations and financial condition are dependent upon the general trends of the Puerto Rico economy and, in particular, the residential and commercial real estate markets. The concentration of the Corporation’s operations in Puerto Rico exposes it to greater risk than other banking companies with a wider geographic base. Its asset and revenue composition by geographical area is presented in Note 40 to the Consolidated Financial Statements. Puerto Rico remains in the midst of a profound fiscal and economic crisis. In response to such crisis, the U.S. Congress enacted the Puerto Rico Oversight Management and Economic Stability Act (“PROMESA”) in 2016, which, among other things, established a Fiscal Oversight and Management Board for Puerto Rico (the “Oversight Board”) and a framework for the restructuring of the debts of the Commonwealth, its instrumentalities and municipalities. The Commonwealth and several of its instrumentalities have commenced debt restructuring proceedings under PROMESA. As of the date of this report, while municipalities have been recently designated as covered entities under PROMESA, no municipality has commenced, or has been authorized by the Oversight Board to commence, any such debt restructuring proceeding under PROMESA. At December 31, 2019 and 2018, the Corporation’s direct exposure to the Puerto Rico government and its instrumentalities and municipalities totaled $ 432 million and $ 458 million, respectively, which amounts were fully outstanding on such dates. Of this amount, $ 391 million consists of loans and $ 41 million are securities ($ 413 million and $ 45 million at December 31, 2018). Substantially all of the amount outstanding at December 31, 2019 were obligations from various Puerto Rico municipalities. In most cases, these were “general obligations” of a municipality, to which the applicable municipality has pledged its good faith, credit and unlimited taxing power, or “special obligations” of a municipality, to which the applicable municipality has pledged other revenues. At December 31, 2019, 75% of the Corporation’s exposure to municipal loans and securities was concentrated in the municipalities of San Juan, Guaynabo, Carolina and Bayamón. On July 1, 2019 the Corporation received principal payments amounting to $ 22 million from various obligations from Puerto Rico municipalities. The following table details the loans and investments representing the Corporation’s direct exposure to the Puerto Rico government according to their maturities as of December 31, 2019: (In thousands) Investment Portfolio Loans Total Outstanding Total Exposure Central Government After 1 to 5 years $ 8 $ - $ 8 $ 8 After 5 to 10 years 30 - 30 30 After 10 years 540 - 540 540 Total Central Government 578 - 578 578 Municipalities Within 1 year 3,745 78,108 81,853 81,853 After 1 to 5 years 17,580 139,283 156,863 156,863 After 5 to 10 years 18,195 82,967 101,162 101,162 After 10 years 655 90,601 91,256 91,256 Total Municipalities 40,175 390,959 431,134 431,134 Total Direct Government Exposure $ 40,753 $ 390,959 $ 431,712 $ 431,712 In addition, at December 31, 2019, the Corporation had $ 350 million in loans insured or securities issued by Puerto Rico governmental entities but for which the principal source of repayment is non-governmental ($ 368 million at December 31, 2018 ). These included $ 276 million in residential mortgage loans insured by the Puerto Rico Housing Finance Authority (“HFA”), a governmental instrumentality that has been designated as a covered entity under PROMESA (December 31, 2018 - $ 293 million). These mortgage loans are secured by first mortgages on Puerto Rico residential properties and the HFA insurance covers losses in the event of a borrower default and upon the satisfaction of certain other conditions. The Corporation also had at December 31, 2019, $ 46 million in bonds issued by HFA which are secured by second mortgage loans on Puerto Rico residential properties, and for which HFA also provides insurance to cover losses in the event of a borrower default and upon the satisfaction of certain other conditions (December 31, 2018 - $ 45 million). In the event that the mortgage loans insured by HFA and held by the Corporation directly or those serving as collateral for the HFA bonds default and the collateral is insufficient to satisfy the outstanding balance of these loans, HFA’s ability to honor its insurance will depend, among other factors, on the financial condition of HFA at the time such obligations become due and payable. Although the Governor is currently authorized by local legislation to impose a temporary moratorium on the financial obligations of the HFA, the Governor has not exercised this power as of the date hereof. In addition, at December 31, 2019, the Corporation had $ 7 million in securities issued by HFA that have been economically defeased and refunded and for which securities consisting of U.S. agencies and Treasury obligations have been escrowed (December 31, 2018 - $ 7 million), and $ 21 million of commercial real estate notes issued by government entities but that are payable from rent paid by non-governmental parties (December 31, 2018 - $ 23 million). BPPR’s commercial loan portfolio also includes loans to private borrowers who are service providers, lessors, suppliers or have other relationships with the government. These borrowers could be negatively affected by the fiscal measures to be implemented to address the Commonwealth’s fiscal crisis and the ongoing Title III proceedings under PROMESA described above. Similarly, BPPR’s mortgage and consumer loan portfolios include loans to government employees which could also be negatively affected by fiscal measures such as employee layoffs or furloughs. The Corporation has operations in the United States Virgin Islands (the “USVI”) and has approximately $ 71 million in direct exposure to USVI government entities. The USVI has been experiencing a number of fiscal and economic challenges that could adversely affect the ability of its public corporations and instrumentalities to service their outstanding debt obligations. Legal Proceedings The nature of Popular’s business ordinarily results in a certain number of claims, litigation, investigations, and legal and administrative cases and proceedings (“Legal Proceedings”). When the Corporation determines that it has meritorious defenses to the claims asserted, it vigorously defends itself. The Corporation will consider the settlement of cases (including cases where it has meritorious defenses) when, in management’s judgment, it is in the best interest of both the Corporation and its shareholders to do so. On at least a quarterly basis, Popular assesses its liabilities and contingencies relating to outstanding Legal Proceedings utilizing the latest information available. For matters where it is probable that the Corporation will incur a material loss and the amount can be reasonably estimated, the Corporation establishes an accrual for the loss. Once established, the accrual is adjusted on at least a quarterly basis as appropriate to reflect any relevant developments. For matters where a material loss is not probable, or the amount of the loss cannot be reasonably estimated, no accrual is established. In certain cases, exposure to loss exists in excess of the accrual to the extent such loss is reasonably possible, but not probable. Management believes and estimates that the range of reasonably possible losses (with respect to those matters where such limits may be determined, in excess of amounts accrued) for current Legal Proceedings ranged from $ 0 to approximately $ 28.4 million as of December 31, 2019. For certain other cases, management cannot reasonably estimate the possible loss at this time. Any estimate involves significant judgment, given the varying stages of the Legal Proceedings (including the fact that many of them are currently in preliminary stages), the existence of multiple defendants in several of the current Legal Proceedings whose share of liability has yet to be determined, the numerous unresolved issues in many of the Legal Proceedings, and the inherent uncertainty of the various potential outcomes of such Legal Proceedings. Accordingly, management’s estimate will change from time-to-time, and actual losses may be more or less than the current estimate. While the outcome of Legal Proceedings is inherently uncertain, based on information currently available, advice of counsel, and available insurance coverage, management believes that the amount it has already accrued is adequate and any incremental liability arising from the Legal Proceedings in matters in which a loss amount can be reasonably estimated will not have a material adverse effect on the Corporation’s consolidated financial position. However, in the event of unexpected future developments, it is possible that the ultimate resolution of these matters in a reporting period, if unfavorable, could have a material adverse effect on the Corporation’s consolidated financial position for that particular period. Set forth below is a description of the Corporation’s significant Legal Proceedings. BANCO POPULAR DE PUERTO RICO Hazard Insurance Commission-Related Litigation Popular, Inc., BPPR and Popular Insurance, LLC (the “Popular Defendants”) have been named defendants in a putative class action complaint captioned Pérez Díaz v. Popular, Inc., et al, filed before the Court of First Instance, Arecibo Part. The complaint seeks damages and preliminary and permanent injunctive relief on behalf of the purported class against the Popular Defendants, as well as Antilles Insurance Company and MAPFRE-PRAICO Insurance Company (the “Defendant Insurance Companies”). Plaintiffs allege that the Popular Defendants have been unjustly enriched by failing to reimburse them for commissions paid by the Defendant Insurance Companies to the insurance agent and/or mortgagee for policy years when no claims were filed against their hazard insurance policies. They demand the reimbursement to the purported “class” of an estimated $ 400 million plus legal interest, for the “good experience” commissions allegedly paid by the Defendant Insurance Companies during the relevant time period, as well as injunctive relief seeking to enjoin the Defendant Insurance Companies from paying commissions to the insurance agent/mortgagee and ordering them to pay those fees directly to the insured. A motion for dismissal on the merits filed by the Defendant Insurance Companies was denied with a right to replead following limited targeted discovery. Each of the Puerto Rico Court of Appeals and the Puerto Rico Supreme Court denied the Popular Defendants’ request to review the lower court’s denial of the motion to dismiss. In December 2017, plaintiffs amended the complaint and, on January 2018, defendants filed an answer thereto. Separately, in October 2017, the Court entered an order whereby it broadly certified the class, after which the Popular Defendants filed a certiorari petition before the Puerto Rico Court of Appeals in relation to the class certification, which the Court declined to entertain. In November 2018 and in January 2019, Plaintiffs filed voluntary dismissal petitions against MAPFRE-PRAICO Insurance Company and Antilles Insurance Company, respectively, leaving the Popular Defendants as the sole remaining defendants in the action. In April 2019, the Court amended the class definition to limit it to individual homeowners whose residential units were subject to a mortgage from BPPR who, in turn, obtained risk insurance policies with Antilles Insurance or MAPFRE Insurance through Popular Insurance from 2002 to 2015, and who did not make insurance claims against said policies during their effective term. The Court set March 20, 2020 as the deadline to complete discovery and scheduled a pre-trial hearing and tentative trial dates for the second half of 2020. BPPR has separately been named a defendant in a putative class action complaint captioned Ramirez Torres, et al. v. Banco Popular de Puerto Rico, et al, filed before the Puerto Rico Court of First Instance, San Juan Part. The complaint seeks damages and preliminary and permanent injunctive relief on behalf of the purported class against the same Popular Defendants, as well as other financial institutions with insurance brokerage subsidiaries in Puerto Rico. Plaintiffs contend that in November 2015 Antilles Insurance Company obtained approval from the Puerto Rico Insurance Commissioner to market an endorsement that allowed its customers to obtain reimbursement on their insurance deductible for good experience, but that defendants failed to offer this product or disclose its existence to their customers, favoring other products instead, in violation of their duties as insurance brokers. Plaintiffs seek a determination that defendants unlawfully failed to comply with their duty to disclose the existence of this new insurance product, as well as double or treble damages (the latter subject to a determination that defendants engaged in monopolistic practices in failing to offer this product). In July 2017, after co-defendants filed motions to dismiss the complaint and opposed the request for preliminary injunctive relief, the Court dismissed the complaint with prejudice. In August 2017, plaintiffs appealed this judgment and, in March 2018, the Court of Appeals reversed the Court of First Instance’s dismissal. The Puerto Rico Supreme Court denied review. On August 15, 2019, the Popular Defendants and the Plaintiffs filed a Joint Motion where they informed the Court that Plaintiffs were simultaneously filing voluntary dismissals with prejudice against all other parties. On September 13, 2019, a status hearing was held where the Plaintiffs and the Popular Defendants informed the Court that the parties were in the process of stipulating a class for settlement purposes. The Court held a further status hearing on February 20, 2020, where it set a hearing for March 12, 2020 to preliminarily approve the terms of a proposed class settlement being negotiated among the parties. Mortgage-Related Litigation and Claims BPPR has been named a defendant in a putative class action captioned Lilliam González Camacho, et al. v. Banco Popular de Puerto Rico, et al., filed before the United States District Court for the District of Puerto Rico on behalf of mortgage-holders who have allegedly been subjected to illegal foreclosures and/or loan modifications through their mortgage servicers. Plaintiffs maintain that when they sought to reduce their loan payments, defendants failed to provide them with such reduced loan payments, instead subjecting them to lengthy loss mitigation processes while filing foreclosure claims against them in parallel (or dual tracking). Plaintiffs assert that such actions violate the Home Affordable Modification Program (“HAMP”), the Home Affordable Refinance Program (“HARP”) and other federally sponsored loan modification programs, as well as the Puerto Rico Mortgage Debtor Assistance Act and the Truth in Lending Act (“TILA”). For the alleged violations stated above, plaintiffs request that all defendants (over 20, including all local banks) be held jointly and severally liable in an amount no less than $ 400 million. BPPR filed a motion to dismiss in August 2017, as did most co-defendants, and, in March 2018, the District Court dismissed the complaint in its entirety. After being denied reconsideration by the District Court, on August 2018, plaintiffs filed a Notice of Appeal to the U.S. Court of Appeals for the First Circuit. The Court of Appeals has entered an order where it consolidated three pending appeals related to the same subset of facts. The plaintiffs filed their appellate brief on August 2019, but on September 2019, the Court of Appeals ordered plaintiffs to submit a new brief for the consolidated appeals that complied with the applicable appellate procedural rules. In October 2019, plaintiffs filed a revised brief, which defendants believe yet again do not comply with applicable court rules. On November 4, 2019, defendants filed their appellate brief, along with a motion to dismiss the appeal due to the plaintiffs’ repeated failure to comply with the Circuit Court’s rules and orders. The appeal is now fully briefed and pending resolution. BPPR has also been named a defendant in another putative class action captioned Yiries Josef Saad Maura v. Banco Popular, et al., filed by the same counsel who filed the González Camacho action referenced above, on behalf of residential customers of the defendant banks who have allegedly been subject to illegal foreclosures and/or loan modifications through their mortgage servicers. As in González Camacho, plaintiffs contend that when they sought to reduce their loan payments, defendants failed to provide them with such reduced loan payments, instead subjecting them to lengthy loss mitigation processes while filing foreclosure claims against them in parallel, all in violation of TILA, the Real Estate Settlement Procedures Act (“RESPA”), the Equal Credit Opportunity Act (“ECOA”), the Fair Credit Reporting Act (“FCRA”), the Fair Debt Collection Practices Act (“FDCPA”) and other consumer-protection laws and regulations. Plaintiffs did not include a specific amount of damages in their complaint. After waiving service of process, BPPR filed a motion to dismiss the complaint on the same grounds as those asserted in the González Camacho action (as did most co-defendants, separately). BPPR further filed a motion to oppose class certification, which the Court granted in September 2018. On April 5, 2019, the Court entered an Opinion and Order granting BPPR’s and several other defendants’ motions to dismiss with prejudice. Plaintiffs filed a Motion for Reconsideration in April 2019, which Popular timely opposed. In September 2019, the Court issued an Amended Opinion and Order dismissing plaintiffs’ claims against all defendants, denying the reconsideration requests and other pending motions, and issuing final judgment. On October 17, 2019, the Plaintiffs filed a Motion for Reconsideration of the Court’s Amended Opinion and Order, which was denied on December 16, 2019. On January 13, 2020, Plaintiffs filed a Notice of Appeal to the U.S. Court of Appeals for the First Circuit. The Court has yet to set a briefing schedule. BPPR has been named a defendant in a complaint for damages and breach of contract captioned Héctor Robles Rodriguez et al. v. Municipio de Ceiba, et al. Plaintiffs are residents of a development called Hacienda Las Lomas. Through the Doral Bank-FDIC assisted transaction, BPPR acquired a significant number of mortgage loans within this development and is currently the primary mortgage lender in the project. Plaintiffs claim damages against the developer, contractor, the relevant insurance companies, and most recently, their mortgage lenders, because of a landslide that occurred in October 2015, affecting various streets and houses within the development. Plaintiffs specifically allege that the mortgage lenders, including BPPR, should be deemed liable for their alleged failure to properly inspect the subject properties. Plaintiffs demand $ 30 million in damages plus attorney’s fees, costs and the annulment of their mortgages. BPPR extended plaintiffs four consecutive six-month payment forbearances, the last of which is still in effect. In November 2017, the FDIC notified BPPR that it had agreed to indemnify the Bank in connection with its Doral Bank-related exposure, pursuant to the terms of the relevant Purchase and Assumption Agreement with the FDIC. The FDIC filed a Notice of Removal to the United States District Court for the District of Puerto Rico on March 2018 and, in April 2018, the state court stayed the proceedings in response thereto. In October 2018, the Court granted the FDIC’s motion to stay the proceedings until plaintiffs have exhausted administrative remedies and, thereafter, the FDIC filed a motion to dismiss all claims for lack of subject matter jurisdiction due to plaintiffs’ failure to properly make any applicable administrative claims. Such motion was referred to a Magistrate Judge, which on May 17, 2019 recommended that the motion be granted and all claims against the FDIC be dismissed. On September 30, 2019, the District Judge issued an order where she adopted the Report and Recommendation of the Magistrate Judge granting the FDIC’s Motion to Dismiss and remanding the remaining claims related to mortgage loans not acquired from Doral (approximately eight ( 8) loans) to the Commonwealth of Puerto Rico’s Court of First Instance. The District Judge has yet to issue an Opinion and Order triggering the applicable appeal terms. The parties, however, have reached a settlement in principle and expect to complete documentation related thereto during the first half of 2020. Insufficient Funds Fees Class Action On February 7, 2020, BPPR was served with a putative class action complaint captioned Soto-Melendez vs. Banco Popular de Puerto Rico, filed before the United States District Court for the District of Puerto Rico. The complaint alleges breach of contract due to BPPR’s purported practice of (a) assessing more than one insufficient funds fees (“NSF Fees”) on the same “item” or transaction and (b) charging both NSF Fees and overdraft fees (“OD Fees”) on the same item or transaction, and is filed on behalf of all persons who during the applicable statute of limitations period were charged NSF Fees and/or OD Fees pursuant to this purported practices. BPPR was served with process and expects to timely file a responsive pleading. Other Significant Proceedings In June 2017, a syndicate comprised of BPPR and other local banks (the “Lenders”) filed an involuntary Chapter 11 bankruptcy proceeding against Betteroads Asphalt and Betterecycling Corporation (the “Involuntary Debtors”). This filing followed attempts by the Lenders to restructure and resolve the Involuntary Debtors’ obligations and outstanding defaults under a certain credit agreement, first through good faith negotiations and subsequently, through the filing of a collection action against the Involuntary Debtors in local court. The Involuntary Debtors subsequently counterclaimed, asserting damages in excess of $ 900 million. The Lenders ultimately joined in the commencement of these involuntary bankruptcy proceedings against the Debtors in order to preserve and recover the Involuntary Debtors’ assets, having confirmed that the Involuntary Debtors were transferring assets out of their estate for little or no consideration. The Involuntary Debtors filed a motion to dismiss the proceedings and for damages against the syndicate, arguing both that this petition was filed in bad faith and that there was a bona fide dispute as to the petitioners’ claims, as set forth in the counterclaim filed by the Involuntary Debtors in local court. After the Court held hearings on June and July 2019 to consider whether the involuntary petitions were filed in bad faith, that is, for an improper purpose that constitutes an abuse of the bankruptcy process on October 11, 2019, the Court entered an Opinion and Order determining that the involuntary petitions were not filed in bad faith and issued an order for relief under Chapter 11 of the U.S. Bankruptcy Code granting the involuntary petitions. On October 25, 2019, the debtors filed a Notice of Appeal to the U.S. District Court. Debtors’ appellate briefs are due by March 4, 2020 and Lenders’ appellate briefs are due thirty (30) days thereafter. On February 11, 2020, the Debtors initiated an adversary proceeding seeking in excess of $ 80 million in damages, alleging that in 2016 the Lenders illegally foreclosed on their accounts receivable and as a result illegally interfered with contracts entered with third parties, forcing the Debtors into bankruptcy. Debtors further seek a judgment declaring that Lenders do not possess security interests over certain personal property of the Debtors because either such security interests were not adequately perfected according to Puerto Rico law, or the security interests were lost upon the lapsing date of the financing statements that the Lenders had originally perfected in connection with such interests. Lenders expect to timely file a responsive pleading to the adversary proceeding. POPULAR BANK Employment-Related Litigation On July 30, 2019, Popular Bank (“PB”) was served in a putative class complaint in which it was named as a defendant along with five ( 5) current PB employees (collectively, the “AB Defendants”), captioned Aileen Betances, et al. v. Popular Bank, et al., filed before the Supreme Court of the State of New York (the “AB Action”). The complaint, filed by five ( 5) current and former PB employees, seeks to recover damages for the AB Defendants' alleged violation of local and state sexual harassment, discrimination and retaliation laws. Additionally, on July 30, 2019, PB was served in a putative class complaint in which it was named as a defendant along with six ( 6) current PB employees (collectively, the “DR Defendants”), captioned Damian Reyes, et al. v. Popular Bank, et al., filed before the Supreme Court of the State of New York (the “DR Action”). The DR Action, filed by three ( 3) current and former PB employees, seeks to recover damages for the DR Defendants’ alleged violation of local and state discrimination and retaliation laws. Plaintiffs in both complaints are represented by the same legal counsel, and five of the six named individual defendants in the DR Action are the same named individual defendants in the AB Action. Both complaints are related, among other things, to allegations of purported sexual harassment and/or misconduct by a former PB employee as well as PB’s actions in connection thereto and seek no less than $ 100 million in damages each. On October 21, 2019, PB and the other defendants filed several Motions to Dismiss. Plaintiffs opposed such motions on December 11, 2019 and PB and the other defendants replied on January 22, 2020. The Motions to Dismiss are pending resolution. POPULAR SECURITIES Puerto Rico Bonds and Closed-End Investment Funds The volatility in prices and declines in value that Puerto Rico municipal bonds and closed-end investment companies that invest primarily in Puerto Rico municipal bonds have experienced since August 2013 have led to regulatory inquiries, customer complaints and arbitrations for most broker-dealers in Puerto Rico, including Popular Securities. Popular Securities has received customer complaints and, as of February 28, 2020, is named as a respondent (among other broker-dealers) in 173 pending arbitration proceedings with aggregate claimed amounts of approximately $ 226 million, including one arbitration with claimed damages of approximately $ 30 million. While Popular Securities believes it has meritorious defenses to the claims asserted in these proceedings, it has often determined that it is in its best interest to settle certain claims rather than expend the money and resources required to see such cases to completion. The Puerto Rico Government’s defaults and non-payment of its various debt obligations, as well as the Commonwealth’s and the Financial Oversight Management Board’s (the “Oversight Board”) decision to pursue restructurings under Title III and Title VI of PROMESA, have increased and may continue to increase the number of customer complaints (and claimed damages) filed against Popular Securities concerning Puerto Rico bonds and closed-end investment companies that invest primarily in Puerto Rico bonds. An adverse result in the arbitration proceedings described above, or a significant increase in customer complaints, could have a material adverse effect on Popular. PROMESA Title III Proceedings In 2017, the Oversight Board engaged the law firm of Kobre & Kim to carry out an independent investigation on behalf of the Oversight Board regarding, among other things, the causes of the Puerto Rico financial crisis. Popular, Inc., BPPR and Popular Securities (collectively, the “Popular Companies”) were served by, and cooperated with, the Oversight Board in connection with requests for the preservation and voluntary production of certain documents and witnesses with respect to Kobre & Kim’s independent investigation. On August 20, 2018, Kobre & Kim issued its Final Report, which contained various references to the Popular Companies, including an allegation that Popular Securities participated as an underwriter in the Commonwealth’s 2014 issuance of government obligation bonds notwithstanding having allegedly advised against it. The report noted that such allegation could give rise to an unjust enrichment claim against the Corporation and could also serve as a basis to equitably subordinate claims filed by the Corporation in the Title III proceeding to other third-party claims. After the publication of the Final Report, the Oversight Board created a special claims committee (“SCC”) and, before the end of the applicable two-year statute of limitations for the filing of such claims pursuant to the U.S. Bankruptcy Code, the SCC, along with the Commonwealth’s Unsecured Creditors’ Committee (“UCC”), filed various avoidance, fraudulent transfer and other claims against third parties, including government vendors and financial institutions and other professionals involved in bond issuances being challenged as invalid by the SCC and the UCC. The Popular Companies, the SCC and the UCC have entered into a tolling agreement with respect to potential claims the SCC and the UCC, on behalf of the Commonwealth or other Title III debtors, may assert against the Popular Companies for the avoidance and recovery of payments and/or transfers made to the Popular Companies or as a result of any role of the Popular Companies in the offering of the aforementioned challenged bond issuances. |
Non-consolidated variable inter
Non-consolidated variable interest entities | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Non-consolidated Variable Interest Entities | Note 27 – Non-consolidated variable interest entities The Corporation is involved with three statutory trusts which it established to issue trust preferred securities to the public. These trusts are deemed to be variable interest entities (“VIEs”) since the equity investors at risk have no substantial decision-making rights. The Corporation does not hold any variable interest in the trusts, and therefore, cannot be the trusts’ primary beneficiary. Furthermore, the Corporation concluded that it did not hold a controlling financial interest in these trusts since the decisions of the trusts are predetermined through the trust documents and the guarantee of the trust preferred securities is irrelevant since in substance the sponsor is guaranteeing its own debt. Also, the Corporation is involved with various special purpose entities mainly in guaranteed mortgage securitization transactions, including GNMA and FNMA. These special purpose entities are deemed to be VIEs since they lack equity investments at risk. The Corporation’s continuing involvement in these guaranteed loan securitizations includes owning certain beneficial interests in the form of securities as well as the servicing rights retained. The Corporation is not required to provide additional financial support to any of the variable interest entities to which it has transferred the financial assets. The mortgage-backed securities, to the extent retained, are classified in the Corporation’s Consolidated Statements of Financial Condition as available-for-sale or trading securities. The Corporation concluded that, essentially, these entities (FNMA and GNMA) control the design of their respective VIEs, dictate the quality and nature of the collateral, require the underlying insurance, set the servicing standards via the servicing guides and can change them at will, and can remove a primary servicer with cause, and without cause in the case of FNMA. Moreover, through their guarantee obligations, agencies (FNMA and GNMA) have the obligation to absorb losses that could be potentially significant to the VIE. The Corporation holds variable interests in these VIEs in the form of agency mortgage-backed securities and collateralized mortgage obligations, including those securities originated by the Corporation and those acquired from third parties. Additionally, the Corporation holds agency mortgage-backed securities and agency collateralized mortgage obligations issued by third party VIEs in which it has no other form of continuing involvement. Refer to Note 30 to the Consolidated Financial Statements for additional information on the debt securities outstanding at December 31, 2019 and 2018, which are classified as available-for-sale and trading securities in the Corporation’s Consolidated Statements of Financial Condition. In addition, the Corporation holds variable interests in the form of servicing fees, since it retains the right to service the transferred loans in those government-sponsored special purpose entities (“SPEs”) and may also purchase the right to service loans in other government-sponsored SPEs that were transferred to those SPEs by a third-party. The following table presents the carrying amount and classification of the assets related to the Corporation’s variable interests in non-consolidated VIEs and the maximum exposure to loss as a result of the Corporation’s involvement as servicer of GNMA and FNMA loans at December 31, 2019 and 2018. (In thousands) December 31, 2019 December 31, 2018 Assets Servicing assets: Mortgage servicing rights $ 115,718 $ 136,280 Total servicing assets $ 115,718 $ 136,280 Other assets: Servicing advances $ 29,212 $ 37,988 Total other assets $ 29,212 $ 37,988 Total assets $ 144,930 $ 174,268 Maximum exposure to loss $ 144,930 $ 174,268 The size of the non-consolidated VIEs, in which the Corporation has a variable interest in the form of servicing fees, measured as the total unpaid principal balance of the loans, amounted to $ 9.9 billion at December 31, 2019 (December 31, 2018 - $ 10.6 billion). The Corporation determined that the maximum exposure to loss includes the fair value of the MSRs and the assumption that the servicing advances at December 31, 2019 and 2018 will not be recovered. The agency debt securities are not included as part of the maximum exposure to loss since they are guaranteed by the related agencies. In September of 2011, BPPR sold construction and commercial real estate loans to a newly created joint venture, PRLP 2011 Holdings, LLC. In March of 2013, BPPR completed a sale of commercial and construction loans, and commercial and single family real estate owned to a newly created joint venture, PR Asset Portfolio 2013-1 International, LLC. These joint ventures were created for the limited purpose of acquiring the loans from BPPR; servicing the loans through a third-party servicer; ultimately working out, resolving and/or foreclosing the loans; and indirectly owning, operating, constructing, developing, leasing and selling any real properties acquired by the joint ventures through deed in lieu of foreclosure, foreclosure, or by resolution of any loan. BPPR provided financing to these entities for the acquisition of the assets. In addition, BPPR provided these joint ventures with a non-revolving advance facility to cover unfunded commitments and costs-to-complete related to certain construction projects, and a revolving working capital line to fund certain operating expenses of the joint venture. As part of these transactions, BPPR received $ 48 million and $ 92 million, for PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC, respectively, in cash and a 24.9% equity interest in each joint venture. The Corporation is not required to provide any other financial support to these joint ventures. BPPR accounted for both transactions as a true sale pursuant to ASC Subtopic 860-10. The Corporation has determined that PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC are VIEs but it is not the primary beneficiary. All decisions are made by Caribbean Property Group (“CPG”) (or an affiliate thereof) (the “Manager”), except for certain limited material decisions which would require the unanimous consent of all members. The Manager is authorized to execute and deliver on behalf of the joint ventures any and all documents, contracts, certificates, agreements and instruments, and to take any action deemed necessary in the benefit of the joint ventures. All financing facilities extended by BPPR to these joint ventures have been repaid in full. The Corporation maintains a variable interests in these VIEs in the form of the 24.9% equity interests. The equity interest is accounted for under the equity method of accounting pursuant to ASC Subtopic 323-10. The following tables present the carrying amount and classification of the assets and liabilities related to the Corporation’s variable interests in the non-consolidated VIEs, PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013- International, LLC, and their maximum exposure to loss at December 31, 2019 and 2018. PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC (In thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Assets Other assets: Equity investment $ 6,306 $ 6,469 $ 3,333 $ 5,794 Total assets $ 6,306 $ 6,469 $ 3,333 $ 5,794 Liabilities Deposits $ ( 3) $ ( 2,566) $ ( 5,081) $ ( 7,994) Total liabilities $ ( 3) $ ( 2,566) $ ( 5,081) $ ( 7,994) Total net assets $ 6,303 $ 3,903 $ ( 1,748) $ ( 2,200) Maximum exposure to loss $ 6,303 $ 3,903 $ - $ - ASU 2009-17 requires that an ongoing primary beneficiary assessment should be made to determine whether the Corporation is the primary beneficiary of any of the VIEs it is involved with. The conclusion on the assessment of these non-consolidated VIEs has not changed since their initial evaluation. The Corporation concluded that it is still not the primary beneficiary of these VIEs, and therefore, these VIEs are not required to be consolidated in the Corporation’s financial statements at December 31, 2019. |
Derivative instruments and hedg
Derivative instruments and hedging activities | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure | |
Derivative Instruments and Hedging Activities | Note 28 – Derivative instruments and hedging activities The use of derivatives is incorporated as part of the Corporation’s overall interest rate risk management strategy to minimize significant unplanned fluctuations in earnings and cash flows that are caused by interest rate volatility. The Corporation’s goal is to manage interest rate sensitivity by modifying the repricing or maturity characteristics of certain balance sheet assets and liabilities so that the net interest income is not materially affected by movements in interest rates. The Corporation uses derivatives in its trading activities to facilitate customer transactions, and as a means of risk management. As a result of interest rate fluctuations, hedged fixed and variable interest rate assets and liabilities will appreciate or depreciate in fair value. The effect of this unrealized appreciation or depreciation is expected to be substantially offset by the Corporation’s gains or losses on the derivative instruments that are linked to these hedged assets and liabilities. As a matter of policy, the Corporation does not use highly leveraged derivative instruments for interest rate risk management. Market risk is the adverse effect that a change in interest rates, currency exchange rates, or implied volatility rates might have on the value of a financial instrument. The Corporation manages the market risk associated with interest rates and, to a limited extent, with fluctuations in foreign currency exchange rates by establishing and monitoring limits for the types and degree of risk that may be undertaken. By using derivative instruments, the Corporation exposes itself to credit and market risk. If a counterparty fails to fulfill its performance obligations under a derivative contract, the Corporation’s credit risk will equal the fair value of the derivative asset. Generally, when the fair value of a derivative contract is positive, this indicates that the counterparty owes the Corporation, thus creating a repayment risk for the Corporation. To manage the level of credit risk, the Corporation deals with counterparties of good credit standing, enters into master netting agreements whenever possible and, when appropriate, obtains collateral. On the other hand, when the fair value of a derivative contract is negative, the Corporation owes the counterparty and, therefore, the fair value of derivatives liabilities incorporates nonperformance risk or the risk that the obligation will not be fulfilled. The credit risk attributed to the counterparty’s nonperformance risk is incorporated in the fair value of the derivatives. Additionally, as required by the fair value measurements guidance, the fair value of the Corporation’s own credit standing is considered in the fair value of the derivative liabilities. During the year ended December 31, 2019, inclusion of the credit risk in the fair value of the derivatives resulted in a gain of $ 0.2 million from the Corporation’s credit standing adjustment. During the years ended December 31, 2018 and 2017, the Corporation recognized a loss of $ 0.6 million and a gain of $ 0.2 million, respectively, from the Corporation’s credit standing adjustment. During the year ended December 31, 2017, the Corporation recognized a loss of $ 0.1 million from the assessment of the counterparties’ credit risk. The Corporation’s derivatives are subject to agreements which allow a right of set-off with each respective counterparty. In an event of default each party has a right of set-off against the other party for amounts owed in the related agreement and any other amount or obligation owed in respect of any other agreement or transaction between them. Pursuant to the Corporation’s accounting policy, the fair value of derivatives is not offset with the fair value of other derivatives held with the same counterparty even if these agreements allow a right of set-off. In addition, the fair value of derivatives is not offset with the amounts for the right to reclaim financial collateral or the obligation to return financial collateral. Financial instruments designated as cash flow hedges or non-hedging derivatives outstanding at December 31, 2019 and 2018 were as follows: Notional amount Derivative assets Derivative liabilities Statement of Fair value at Statement of Fair value at At December 31, condition December 31, condition December 31, (In thousands) 2019 2018 classification 2019 2018 classification 2019 2018 Derivatives designated as hedging instruments: Forward contracts $ 97,600 $ 89,590 Other assets $ 32 $ 12 Other liabilities $ 264 $ 734 Total derivatives designated as hedging instruments $ 97,600 $ 89,590 $ 32 $ 12 $ 264 $ 734 Derivatives not designated as hedging instruments: Interest rate caps 169,962 177,826 Other assets 1 125 Other liabilities 1 119 Indexed options on deposits 69,354 69,254 Other assets 17,933 13,466 - - - Bifurcated embedded options 66,755 62,902 - - - Interest bearing deposits 16,354 11,467 Total derivatives not designated as hedging instruments $ 306,071 $ 309,982 $ 17,934 $ 13,591 $ 16,355 $ 11,586 Total derivative assets and liabilities $ 403,671 $ 399,572 $ 17,966 $ 13,603 $ 16,619 $ 12,320 Cash Flow Hedges The Corporation utilizes forward contracts to hedge the sale of mortgage-backed securities with duration terms over one month. Interest rate forwards are contracts for the delayed delivery of securities, which the seller agrees to deliver on a specified future date at a specified price or yield. These forward contracts are hedging a forecasted transaction and thus qualify for cash flow hedge accounting. Changes in the fair value of the derivatives are recorded in other comprehensive income (loss). The amount included in accumulated other comprehensive income (loss) corresponding to these forward contracts is expected to be reclassified to earnings in the next twelve months. These contracts have a maximum remaining maturity of 83 days at December 31, 2019. For cash flow hedges, net gains (losses) on derivative contracts that are reclassified from accumulated other comprehensive income (loss) to current period earnings are included in the line item in which the hedged item is recorded and during the period in which the forecasted transaction impacts earnings, as presented in the tables below. Year ended December 31, 2019 (In thousands) Amount of net gain (loss) recognized in OCI on derivatives (effective portion) Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) Amount of net gain (loss) reclassified from AOCI into income (effective portion) Amount of net gain (loss) recognized in income on derivatives (ineffective portion) Forward contracts $ ( 3,502) Mortgage banking activities $ ( 3,992) $ - Total $ ( 3,502) $ ( 3,992) $ - Year ended December 31, 2018 (In thousands) Amount of net gain (loss) recognized in OCI on derivatives (effective portion) Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) Amount of net gain (loss) reclassified from AOCI into income (effective portion) Amount of net gain (loss) recognized in income on derivatives (ineffective portion) Forward contracts $ 536 Mortgage banking activities $ 1,202 $ ( 92) Total $ 536 $ 1,202 $ ( 92) Year ended December 31, 2017 (In thousands) Amount of net gain (loss) recognized in OCI on derivatives (effective portion) Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) Amount of net gain (loss) reclassified from AOCI into income (effective portion) Amount of net gain (loss) recognized in income on derivatives (ineffective portion) Forward contracts $ ( 1,295) Mortgage banking activities $ ( 1,920) $ 32 Total $ ( 1,295) $ ( 1,920) $ 32 Fair Value Hedges At December 31, 2019 and 2018, there were no derivatives designated as fair value hedges. Non-Hedging Activities For the year ended December 31, 2019, the Corporation recognized a loss of $ 1.2 million (2018 – gain of $ 1.3 million; 2017 – loss of $ 0.9 million) related to its non-hedging derivatives, as detailed in the table below. Amount of Net Gain (Loss) Recognized in Income on Derivatives Year ended Year ended Year ended Classification of Net Gain (Loss) December 31, December 31, December 31, (In thousands) Recognized in Income on Derivatives 2019 2018 2017 Forward contracts Mortgage banking activities $ ( 2,254) $ 1,213 $ ( 1,484) Interest rate swaps Other operating income - - 51 Foreign currency forward contracts Other operating income - - 67 Foreign currency forward contracts Interest expense - - ( 14) Interest rate caps Other operating income ( 5) ( 4) ( 48) Indexed options on deposits Interest expense 7,898 114 5,934 Bifurcated embedded options Interest expense ( 6,883) ( 50) ( 5,429) Total $ ( 1,244) $ 1,273 $ ( 923) Forward Contracts The Corporation has forward contracts to sell mortgage-backed securities, which are accounted for as trading derivatives. Changes in their fair value are recognized in mortgage banking activities. Interest Rates Swaps and Foreign Currency and Exchange Rate Commitments In addition to using derivative instruments as part of its interest rate risk management strategy, the Corporation also utilizes derivatives, such as interest rate swaps and foreign exchange forward contracts, in its capacity as an intermediary on behalf of its customers. The Corporation minimizes its market risk and credit risk by taking offsetting positions under the same terms and conditions with credit limit approvals and monitoring procedures. Market value changes on these swaps and other derivatives are recognized in earnings in the period of change. Interest Rate Caps The Corporation enters into interest rate caps as an intermediary on behalf of its customers and simultaneously takes offsetting positions under the same terms and conditions, thus minimizing its market and credit risks. Indexed and Embedded Options The Corporation offers certain customers’ deposits whose return are tied to the performance of the Standard and Poor’s (“S&P 500”) stock market indexes, and other deposits whose returns are tied to other stock market indexes or other equity securities performance. The Corporation bifurcated the related options embedded within these customers’ deposits from the host contract in accordance with ASC Subtopic 815-15. In order to limit the Corporation’s exposure to changes in these indexes, the Corporation purchases indexed options which returns are tied to the same indexes from major broker dealer companies in the over the counter market. Accordingly, the embedded options and the related indexed options are marked-to-market through earnings. |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions | |
Related Party Transactions | Note 29 – Related party transactions The Corporation grants loans to its directors, executive officers, including certain related individuals or organizations, and affiliates in the ordinary course of business. The activity and balance of these loans were as follows: (In thousands) Balance at December 31, 2017 $ 182,989 New loans 1,068 Payments ( 12,040) Other changes ( 38,698) Balance at December 31, 2018 $ 133,319 New loans 1,491 Payments ( 1,800) Other changes, including existing loans to new related parties 44 Balance at December 31, 2019 $ 133,054 New loans and payments include disbursements and collections from existing lines of credit. In June 2006, family members of a director of the Corporation, obtained a $ 0.8 million mortgage loan from Popular Mortgage, Inc., now a division of BPPR, secured by a residential property. The director was not a director of the Corporation at the time the loan was made. In March, 2012 the loan was restructured under BPPR’s loss mitigation program. During 2017, the borrower defaulted on his payment obligations under the restructured loan and as of December 31, 2018 the loan was 670 days past due. On October 2019, the Corporation completed a short sale of this loan which resulted in a charge-off of $ 0.4 million. In 2010, as part of the Westernbank FDIC assisted transaction, BPPR acquired (i) four commercial loans made to entities that were wholly owned by one brother-in-law of a director of the Corporation and (ii) one commercial loan made to an entity that was owned by the same brother-in-law together with this director’s father-in-law and another brother-in-law. The loans were secured by real estate and personally guaranteed by the owners of each entity. The loans were originated by Westernbank between 2001 and 2005 and had an aggregate outstanding principal balance of approximately $ 33.5 million when they were acquired by BPPR in 2010. Between 2011 and 2014, the loans were restructured to consist of (i) five notes with an aggregate outstanding principal balance of $ 19.8 million with a 6% annual interest rate (“Notes A”) and (ii) five notes with an aggregate outstanding balance of $ 13.5 million with a 1% annual interest rate, to be paid upon maturity (“Notes B”). The restructured notes had a maturity of September 30, 2016 and, thereafter, various interim renewals were approved, with the last two renewals occurring in July and October 2019. The July and October 2019 renewals each included a three ( 3 ) month interim renewal from June 30, 2019 to September 30, 2019 and from September 30, 2019 to December 31, 2019, respectively, continuing under the same repayment schedule at a % fixed rate in Notes A and % fixed rate in Notes B. In February 2020, and pursuant to the terms of the Related Party Policy, the Audit Committee approved another renewal which includes a four ( 4 ) month interim renewal from December 31, 2019 to April 30, 2020 continuing at the same repayment schedule in Notes A and Notes B as the July and October 2019 renewals. After April 30, 2020, the approved renewal provides for a 24 -month extension, from April 30, 2020 to April 30, 2022, with Notes A subject to an interest rate of 5%, and Notes B continuing at a 1% interest rate. The approved renewal also contemplates the modification and addition of certain covenants to Notes A. Also, the approved renewal provides for the entity owned by one brother-in-law together with a director’s father-in-law and another brother-in-law to purchase the participation of a director’s father-in-law and another brother-in-law, the consent for said entity and another related entity to incur in additional indebtedness, and the issuance by a third related entity of an unsecured term note in the amount of $ 49 thousand with a 5 year maturity at 7% interest rate. The aggregate outstanding balance on the loans as of December 31, 2019 was approximately $ 31.2 million. The brother of an executive officer of the Corporation and his wife have three outstanding loans, each secured by the borrowers’ principal residence, where BPPR acts as either lender or servicer. The aggregate original amount of these loans was of $ 0.7 million, comprised of one mortgage loan of approximately $ 0.5 million, which is owned by a third-party investor and in which BPPR is the servicer, one mortgage loan of $ 0.1 million secured by a second mortgage and another mortgage loan of $ 0.1 million secured by a third mortgage. As of December 31, 2019, the borrowers were in default with their respective obligations under all of these loan agreements. In February 2019, and pursuant to the terms of the Related Party Policy, the Audit Committee approved a series of transactions related to the aforementioned mortgages. With respect to the first mortgage, the parties will enter into a deed in lieu of foreclosure pursuant to which the property will be transferred to the investor free and clear of liens. In connection therewith, BPPR will also release the second and third mortgages over the residential property, subject to the following conditions. The borrowers will be required to make a cash contribution of $ 20 thousand to reduce the principal amount of the second mortgage loan and issue, for the benefit of BPPR, a promissory note in the amount of $ 82 thousand in order to grant BPPR the right to collect from borrowers the balance of such debt. With respect to the third mortgage loan, the borrowers will issue an unsecured promissory note that will benefit from a corporate guaranty from the entity under which the Corporation’s brother operates a property appraisal business. Borrowers will be required to make monthly payments of $ 500 until the maturity date of the promissory note, when the financial capacity of borrowers will be re-evaluated, and a new payment plan is expected to be entered into. In April 2010, in connection with the acquisition of the Westernbank assets from the FDIC, as receiver, BPPR acquired a term loan to a corporate borrower partially owned by an investment corporation in which the Corporation’s Chairman, at that time the Chief Executive Officer, as well as certain of his family members, are the owners. In addition, the Chairman’s sister and brother-in-law are owners of an entity that holds an ownership interest in the borrower. At the time the loan was acquired by BPPR, it had an unpaid principal balance of $ 40.2 million. In May 2017, this loan was sold by BPPR to Popular, Inc., holding company (“PIHC”). At the time of sale, the loan had an unpaid principal balance of $ 37.9 million. PIHC paid $ 37.9 million to BPPR for the loan, of which $ 6.0 million was recognized by BPPR as a capital contribution representing the difference between the fair value and the book value of the loan at the time of transfer. Immediately upon being acquired by PIHC, the loan’s maturity was extended by 90 days (under the same terms as originally contracted) to provide the PIHC additional time to evaluate a refinancing or long-term extension of the loan. In August 2017, the credit facility was refinanced with a stated maturity in February 2019. During 2017, the facility was subject to the loan payment moratorium offered as part of the hurricane relief efforts. As such, interest payments amounting to approximately $ 0.5 million were deferred and capitalized as part of the loan balance. In February 2019, the Audit Committee approved, under the Related Party Policy, a 36-month renewal of the loan at an interest rate of 5.75% and a 30 -year amortization schedule. As of December 31, 2019, the unpaid principal balance amounted to $ 37.1 million. In August 2018, BPPR acquired certain assets and assumed certain liabilities of Reliable Financial Services and Reliable Finance Holding Company, Puerto Rico-based subsidiaries of Wells Fargo & Company engaged in the auto finance business in Puerto Rico. Refer to Note 4 for additional information on this transaction. As part of the acquisition transaction, the Corporation entered into an agreement with Reliable Financial Services to sublease the space necessary to continue the acquired operations. Reliable Financial Services’ underlying lease agreement was with an entity in which the Chairman of the Corporation’s Board and his family members hold an ownership interest, described in the preceding paragraph as having a loan with the Corporation. This lease expired on April 30, 2019 pursuant to its terms. During 2019, the Corporation paid to Reliable Financial Services approximately $ 0.5 million under the sublease. The Corporation has had loan transactions with the Corporation’s directors, executive officers, including certain related individuals or organizations, and affiliates, and proposes to continue such transactions in the ordinary course of its business, on substantially the same terms, including interest rates and collateral, as those prevailing for comparable loan transactions with third parties, except as disclosed above. Except as discussed above, the extensions of credit have not involved and do not currently involve more than normal risks of collection or present other unfavorable features. At December 31, 2019, the Corporation’s banking subsidiaries held deposits from related parties, excluding EVERTEC, Inc. (“EVERTEC”) amounting to $ 576 million (2018 - $ 632 million). From time to time, the Corporation, in the ordinary course of business, obtains services from related parties that have some association with the Corporation. Management believes the terms of such arrangements are consistent with arrangements entered into with independent third parties. For the year ended December 31, 2019, the Corporation made contributions of approximately $ 1.1 million to Fundación Banco Popular and Popular Bank Foundation, which are not-for-profit corporations dedicated to philanthropic work (2018 - $ 2.1 million). The Corporation also provided human and operational resources to support the activities of the Fundación Banco Popular which in 2019 amounted to approximately $ 1.4 million (2018- $ 1.3 million). Related party transactions with EVERTEC, as an affiliate The Corporation has an investment in EVERTEC, Inc. (“EVERTEC”), which provides various processing and information technology services to the Corporation and its subsidiaries and gives BPPR access to the ATH network owned and operated by EVERTEC. As of December 31, 2019, the Corporation’s stake in EVERTEC was 16.19%.The Corporation continues to have significant influence over EVERTEC. Accordingly, the investment in EVERTEC is accounted for under the equity method and is evaluated for impairment if events or circumstances indicate that a decrease in value of the investment has occurred that is other than temporary. The Corporation received $ 2.3 million in dividend distributions during the year ended December 31, 2019 from its investments in EVERTEC’s holding company (December 31, 2018 - $ 1.2 million). The Corporation’s equity in EVERTEC is presented in the table which follows and is included as part of “other assets” in the consolidated statement of financial condition. (In thousands) December 31, 2019 December 31, 2018 Equity investment in EVERTEC $ 73,534 $ 60,591 The Corporation had the following financial condition balances outstanding with EVERTEC at December 31, 2019 and December 31, 2018. Items that represent liabilities to the Corporation are presented with parenthesis. (In thousands) December 31, 2019 December 31, 2018 Accounts receivable (Other assets) $ 7,779 $ 6,829 Deposits ( 63,850) ( 28,606) Accounts payable (Other liabilities) ( 1,290) ( 3,671) Net total $ ( 57,361) $ ( 25,448) The Corporation’s proportionate share of income from EVERTEC is included in other operating income in the consolidated statements of operations. The following table presents the Corporation’s proportionate share of EVERTEC’s income and changes in stockholders’ equity for the years ended December 31, 2019 and 2018. Years ended December 31, (In thousands) 2019 2018 2017 Share of income from investment in EVERTEC $ 16,749 $ 13,892 $ 8,924 Share of other changes in EVERTEC's stockholders' equity 516 1,659 2,659 Share of EVERTEC's changes in equity recognized in income $ 17,265 $ 15,551 $ 11,583 The following tables present the impact of transactions and service payments between the Corporation and EVERTEC (as an affiliate) and their impact on the results of operations for the years ended December 31, 2019, 2018 and 2017. Items that represent expenses to the Corporation are presented with parenthesis. Years ended December 31, (In thousands) 2019 2018 2017 Category Interest expense on deposits $ ( 106) $ ( 79) $ ( 44) Interest expense ATH and credit cards interchange income from services to EVERTEC 29,224 33,658 28,136 Other service fees Rental income charged to EVERTEC 7,418 7,271 6,855 Net occupancy Fees on services provided by EVERTEC ( 219,992) ( 174,048) ( 176,971) Professional fees Other services provided to EVERTEC 1,118 1,059 1,236 Other operating expenses Total $ ( 182,338) $ ( 132,139) $ ( 140,788) PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC As indicated in Note 27 to the Consolidated Financial Statements, the Corporation holds a 24.9 % equity interest in PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC. The Corporation’s equity in PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC is presented in the table which follows and is included as part of “other assets” in the Consolidated Statements of Financial Condition. PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC (In thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Equity investment $ 6,306 $ 6,469 $ 3,333 $ 5,794 The Corporation held deposits from these entities, as follows: PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC (In thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Deposits (non-interest bearing) $ ( 3) $ ( 2,566) $ ( 5,081) $ ( 7,994) The Corporation’s proportionate share of income or loss from these entities is presented in the following table and is included in other operating income in the Consolidated Statements of Operations. PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC Years ended December 31, (In thousands) 2019 2018 2019 2018 Share of (loss) income from the equity investment $ ( 163) $ ( 356) $ 231 $ ( 5,073) During the year ended December 31, 2019, the Corporation received $ 2.7 million in capital distributions from its investment in PR Asset Portfolio 2013-1 International, LLC (December 31, 2018 - $ 2.0 million) . No capital distributions was received from its investment in PRLP Holdings, LLC during the year ended December 31, 2019 ( December 31, 2018 - $ 0.4 million) . Centro Financiero BHD León At December 31, 2019, the Corporation had a 15.84% equity interest in Centro Financiero BHD León, S.A. (“BHD León”), one of the largest banking and financial services groups in the Dominican Republic. During the year ended December 31, 2019, the Corporation recorded $ 26.6 million in earnings from its investment in BHD León (December 31, 2018 - $ 27.2 million), which had a carrying amount of $ 151.6 million at December 31, 2019 (December 31, 2018 - $ 143.5 million). On December 2017, BPPR extended a credit facility of $ 40 million to BHD León. This credit facility was repaid during the quarter ended March 31, 2018. The Corporation received $ 12.6 million in dividend distributions during the year ended December 31, 2019 from its investment in BHD León (December 31, 2018 - $ 12.6 million). On June 30, 2017, BPPR extended an $ 8 million credit facility to Grupo Financiero Leon, S.A. Panamá (“GFL”), a shareholder of BHD León. The sources of repayment for this loan were the dividends to be received by GFL from its investment in BHD León. BPPR’s credit facility ranked pari passu with another $ 8 million credit facility extended to GFL by BHD International Panama, an affiliate of BHD León. This credit facility was repaid during the quarter ended June 30, 2018. Investment Companies The Corporation provides advisory services to several investment companies registered under the Puerto Rico Investment Companies Act in exchange for a fee. The Corporation also provides administrative, custody and transfer agency services to these investment companies. These fees are calculated at an annual rate of the average net assets of the investment company, as defined in each agreement. Due to its advisory role, the Corporation considers these investment companies as related parties. For the year ended December 31, 2019 administrative fees charged to these investment companies amounted to $ 6.4 million (December 31, 2018 - $ 6.7 million) and waived fees amounted to $ 2.2 million (December 31, 2018 - $ 2.1 million), for a net fee of $ 4.2 million (December 31, 2018 - $ 4.6 million). The Corporation, through its subsidiary BPPR, has also entered into certain uncommitted credit facilities with those investment companies. As of December 31, 2019, the available lines of credit facilities amounted to $ 330 million (December 31, 2018 - $ 330 million). The aggregate sum of all outstanding balances under all credit facilities that may be made available by BPPR, from time to time, to those investment companies for which BPPR acts as investment advisor or co-investment advisor, shall never exceed the lesser of $200 million or 10% of BPPR’s capital. At December 31, 2019 there was no outstanding balance for these credit facilities. |
Fair value measurement
Fair value measurement | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures | |
Fair Value Measurement | Note 30 – Fair value measurement ASC Subtopic 820-10 “Fair Value Measurements and Disclosures” establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three levels in order to increase consistency and comparability in fair value measurements and disclosures. The hierarchy is broken down into three levels based on the reliability of inputs as follows: Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the Corporation has the ability to access at the measurement date. Valuation on these instruments does not necessitate a significant degree of judgment since valuations are based on quoted prices that are readily available in an active market. Level 2 - Quoted prices other than those included in Level 1 that are observable either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or that can be corroborated by observable market data for substantially the full term of the financial instrument. Level 3 - Inputs are unobservable and significant to the fair value measurement. Unobservable inputs reflect the Corporation’s own judgements about assumptions that market participants would use in pricing the asset or liability. The Corporation maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the observable inputs be used when available. Fair value is based upon quoted market prices when available. If listed prices or quotes are not available, the Corporation employs internally-developed models that primarily use market-based inputs including yield curves, interest rates, volatilities, and credit curves, among others. Valuation adjustments are limited to those necessary to ensure that the financial instrument’s fair value is adequately representative of the price that would be received or paid in the marketplace. These adjustments include amounts that reflect counterparty credit quality, the Corporation’s credit standing, constraints on liquidity and unobservable parameters that are applied consistently. The estimated fair value may be subjective in nature and may involve uncertainties and matters of significant judgment for certain financial instruments. Changes in the underlying assumptions used in calculating fair value could significantly affect the results. Fair Value on a Recurring and Nonrecurring Basis The following fair value hierarchy tables present information about the Corporation’s assets and liabilities measured at fair value on a recurring basis at December 31, 2019 and 2018 and on a nonrecurring basis in periods subsequent to initial recognition for the years ended December 31, 2019, 2018, and 2017 : At December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Total RECURRING FAIR VALUE MEASUREMENTS Assets Debt securities available-for-sale: U.S. Treasury securities $ 3,841,715 $ 8,214,540 $ - $ 12,056,255 Obligations of U.S. Government sponsored entities - 122,404 - 122,404 Obligations of Puerto Rico, States and political subdivisions - 6,975 - 6,975 Collateralized mortgage obligations - federal agencies - 586,175 - 586,175 Mortgage-backed securities - 4,875,132 1,182 4,876,314 Other - 350 - 350 Total debt securities available-for-sale $ 3,841,715 $ 13,805,576 $ 1,182 $ 17,648,473 Trading account debt securities, excluding derivatives: U.S. Treasury securities $ 7,081 $ 2 $ - $ 7,083 Obligations of Puerto Rico, States and political subdivisions - 633 - 633 Collateralized mortgage obligations - 76 530 606 Mortgage-backed securities - 28,556 - 28,556 Other - 3,003 440 3,443 Total trading account debt securities, excluding derivatives $ 7,081 $ 32,270 $ 970 $ 40,321 Equity securities $ - $ 21,327 $ - $ 21,327 Mortgage servicing rights - - 150,906 150,906 Derivatives - 17,966 - 17,966 Total assets measured at fair value on a recurring basis $ 3,848,796 $ 13,877,139 $ 153,058 $ 17,878,993 Liabilities Derivatives $ - $ ( 16,619) $ - $ ( 16,619) Total liabilities measured at fair value on a recurring basis $ - $ ( 16,619) $ - $ ( 16,619) At December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Total RECURRING FAIR VALUE MEASUREMENTS Assets Debt securities available-for-sale: U.S. Treasury securities $ 2,719,740 $ 5,552,456 $ - $ 8,272,196 Obligations of U.S. Government sponsored entities - 333,309 - 333,309 Obligations of Puerto Rico, States and political subdivisions - 6,742 - 6,742 Collateralized mortgage obligations - federal agencies - 728,671 - 728,671 Mortgage-backed securities - 3,957,545 1,233 3,958,778 Other - 488 - 488 Total debt securities available-for-sale $ 2,719,740 $ 10,579,211 $ 1,233 $ 13,300,184 Trading account debt securities, excluding derivatives: U.S. Treasury securities $ 6,278 $ - $ - $ 6,278 Obligations of Puerto Rico, States and political subdivisions - 134 - 134 Collateralized mortgage obligations - 48 611 659 Mortgage-backed securities - 27,214 43 27,257 Other - 2,974 485 3,459 Total trading account debt securities, excluding derivatives $ 6,278 $ 30,370 $ 1,139 $ 37,787 Equity securities $ - $ 13,296 $ - $ 13,296 Mortgage servicing rights - - 169,777 169,777 Derivatives - 13,603 - 13,603 Total assets measured at fair value on a recurring basis $ 2,726,018 $ 10,636,480 $ 172,149 $ 13,534,647 Liabilities Derivatives $ - $ ( 12,320) $ - $ ( 12,320) Total liabilities measured at fair value on a recurring basis $ - $ ( 12,320) $ - $ ( 12,320) The fair value information included in the following tables is not as of period end, but as of the date that the fair value measurement was recorded during the years ended December 31, 2019, 2018 and 2017 and excludes nonrecurring fair value measurements of assets no longer outstanding as of the reporting date. Year ended December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Total NONRECURRING FAIR VALUE MEASUREMENTS Assets Write-downs Loans [1] $ - $ - $ 35,363 $ 35,363 $ ( 13,533) Other real estate owned [2] - - 18,132 18,132 ( 3,526) Other foreclosed assets [2] - - 1,213 1,213 ( 156) Long-lived assets held-for-sale [3] - - 2,500 2,500 ( 2,591) Total assets measured at fair value on a nonrecurring basis $ - $ - $ 57,208 $ 57,208 $ ( 19,806) [1] Relates mostly to certain impaired collateral dependent loans. The impairment was measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35. Costs to sell are excluded from the reported fair value amount. [2] Represents the fair value of foreclosed real estate and other collateral owned that were written down to their fair value. Costs to sell are excluded from the reported fair value amount. [3] Represents the fair value of long-lived assets held-for-sale that were written down to their fair value. Year ended December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Total NONRECURRING FAIR VALUE MEASUREMENTS Assets Write-downs Loans [1] $ - $ - $ 73,893 $ 73,893 $ ( 25,745) Other real estate owned [2] - - 43,463 43,463 ( 9,189) Other foreclosed assets [2] - - 1,349 1,349 ( 722) Total assets measured at fair value on a nonrecurring basis $ - $ - $ 118,705 $ 118,705 $ ( 35,656) [1] Relates mostly to certain impaired collateral dependent loans. The impairment was measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35. Costs to sell are excluded from the reported fair value amount. [2] Represents the fair value of foreclosed real estate and other collateral owned that were written down to their fair value. Costs to sell are excluded from the reported fair value amount. Year ended December 31, 2017 (In thousands) Level 1 Level 2 Level 3 Total NONRECURRING FAIR VALUE MEASUREMENTS Assets Write-downs Loans [1] $ - $ - $ 64,041 $ 64,041 $ ( 16,807) Other real estate owned [2] [3] - - 89,743 89,743 ( 19,085) Other foreclosed assets [2] - - 2,176 2,176 ( 890) Total assets measured at fair value on a nonrecurring basis $ - $ - $ 155,960 $ 155,960 $ ( 36,782) [1] Relates mostly to certain impaired collateral dependent loans. The impairment was measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35. Costs to sell are excluded from the reported fair value amount. [2] Represents the fair value of foreclosed real estate and other collateral owned that were written down to their fair value. Costs to sell are excluded from the reported fair value amount. [3] Write-down include $ 2.7 million related to estimated damages caused by Hurricanes Irma and Maria based on the sample of properties examined. The following tables present the changes in Level 3 assets and liabilities measured at fair value on a recurring basis for the years ended December 31, 2019, 2018, and 2017 . Year ended December 31, 2019 MBS Other classified CMOs securities as debt classified MBS classified securities as trading classified as as trading Mortgage available- account debt trading account account debt servicing Total (In thousands) for-sale securities debt securities securities rights assets Balance at January 1, 2019 $ 1,233 $ 611 $ 43 $ 485 $ 169,777 $ 172,149 Gains (losses) included in earnings - ( 1) ( 1) ( 45) ( 27,516) ( 27,563) Gains (losses) included in OCI ( 1) - - - - ( 1) Additions - 71 25 - 9,143 9,239 Settlements ( 50) ( 151) ( 41) - ( 498) ( 740) Transfers out of Level 3 - - ( 26) - - ( 26) Balance at December 31, 2019 $ 1,182 $ 530 $ - $ 440 $ 150,906 $ 153,058 Changes in unrealized gains (losses) included in earnings relating to assets still held at December 31, 2019 $ - $ 1 $ - $ 20 $ ( 14,190) $ ( 14,169) Year ended December 31, 2018 MBS Other classified CMOs securities as debt classified MBS classified securities as trading classified as as trading Mortgage available- account debt trading account account debt servicing Total Contingent Total (In thousands) for-sale securities debt securities securities rights assets consideration [1] liabilities Balance at January 1, 2018 $ 1,288 $ 529 $ 43 $ 529 $ 168,031 $ 170,420 $ ( 164,858) $ ( 164,858) Gains (losses) included in earnings - 2 - ( 44) ( 8,477) ( 8,519) ( 6,112) ( 6,112) Gains (losses) included in OCI ( 5) - - - - ( 5) - - Additions - 260 - - 10,223 10,483 - - Settlements ( 50) ( 180) - - - ( 230) 170,970 170,970 Balance at December 31, 2018 $ 1,233 $ 611 $ 43 $ 485 $ 169,777 $ 172,149 $ - $ - Changes in unrealized gains (losses) included in earnings relating to assets still held at December 31, 2018 $ - $ 2 $ - $ 20 $ 8,703 $ 8,725 $ - $ - [1] Effective May 22, 2018, the Corporation entered into a Termination Agreement with the FDIC to terminate the Corporation’s loss share arrangement ahead of their contractual maturities. Refer to Note 10 for additional information. Year ended December 31, 2017 MBS Other classified CMOs securities as debt classified MBS classified securities as trading classified as as trading Mortgage available- account debt trading account account debt servicing Total Contingent Total (In thousands) for-sale securities debt securities securities rights assets consideration liabilities Balance at January 1, 2017 $ 1,392 $ 1,321 $ 4,755 $ 602 $ 196,889 $ 204,959 $ ( 153,158) $ ( 153,158) Gains (losses) included in earnings - - ( 124) ( 73) ( 36,519) ( 36,716) ( 11,700) ( 11,700) Gains (losses) included in OCI 9 - - - - 9 - - Additions - 44 332 - 7,661 8,037 - - Sales - ( 365) ( 156) - - ( 521) - - Settlements ( 25) ( 195) ( 876) - - ( 1,096) - - Transfers out of Level 3 ( 88) ( 276) ( 3,888) - - ( 4,252) - - Balance at December 31, 2017 $ 1,288 $ 529 $ 43 $ 529 $ 168,031 $ 170,420 $ ( 164,858) $ ( 164,858) Changes in unrealized gains (losses) included in earnings relating to assets still held at December 31, 2017 $ - $ - $ ( 3) $ 42 $ ( 18,986) $ ( 18,947) $ ( 11,700) $ ( 11,700) During the years ended December 31, 2019 and 2017, certain MBS and CMO’s were transferred from Level 3 to Level 2 due to a change in valuation technique from an internally-prepared pricing matrix and discounted cash flow models, respectively, to a bond’s theoretical value. Gains and losses (realized and unrealized) included in earnings for the years ended December 31, 2019, 2018, and 2017 for Level 3 assets and liabilities included in the previous tables are reported in the consolidated statement of operations as follows: 2019 2018 2017 Total Changes in unrealized Total Changes in unrealized Total Changes in unrealized gains (losses) gains (losses) gains (losses) gains (losses) gains (losses) gains (losses) included relating to assets still included relating to assets still included relating to assets still (In thousands) in earnings held at reporting date in earnings held at reporting date in earnings held at reporting date FDIC loss share (expense) income $ - $ - $ ( 6,112) $ - $ ( 11,700) $ ( 11,700) Mortgage banking activities ( 27,516) ( 14,190) ( 8,477) 8,703 ( 36,519) ( 18,986) Trading account (loss) profit ( 47) 21 ( 42) 22 ( 197) 39 Total $ ( 27,563) $ ( 14,169) $ ( 14,631) $ 8,725 $ ( 48,416) $ ( 30,647) The following tables include quantitative information about significant unobservable inputs used to derive the fair value of Level 3 instruments, excluding those instruments for which the unobservable inputs were not developed by the Corporation such as prices of prior transactions and/or unadjusted third-party pricing sources at December 31, 2019 and 2018. Fair value at December 31, (In thousands) 2019 Valuation technique Unobservable inputs Weighted average (range) [1] CMO's - trading $ 530 Discounted cash flow model Weighted average life 1.6 years ( 1.3 - 1.8 years) Yield 4.0% ( 3.9% - 4.4%) Prepayment speed 18.3% ( 14.8% - 20.7%) Other - trading $ 440 Discounted cash flow model Weighted average life 3.8 years Yield 12.0% Prepayment speed 10.8% Mortgage servicing rights $ 150,906 Discounted cash flow model Prepayment speed 6%( 0.2% - 18.5%) Weighted average life 6.5 years ( 0.1 - 14.4 years) Discount rate 11.1% ( 9.5% - 14.7%) Loans held-in-portfolio $ 38,907 [2] External appraisal Haircut applied on external appraisals 10.0% Other real estate owned $ 16,119 [3] External appraisal Haircut applied on external appraisals 23.8% ( 5.0% - 35.0%) [1] Weighted average of significant unobservable inputs used to develop Level 3 fair value measurements were calculated by relative fair value. [2] Loans held-in-portfolio in which haircuts were not applied to external appraisals were excluded from this table. [3] Other real estate owned in which haircuts were not applied to external appraisals were excluded from this table. Fair value at December 31, (In thousands) 2018 Valuation technique Unobservable inputs Weighted average (range) [1] CMO's - trading $ 611 Discounted cash flow model Weighted average life 1.9 years ( 1.3 - 2.1 years) Yield 4.1% ( 3.9% - 4.4%) Prepayment speed 18.9% ( 16.3% - 20.7%) Other - trading $ 485 Discounted cash flow model Weighted average life 5.2 years Yield 12.0% Prepayment speed 10.8% Mortgage servicing rights $ 169,777 Discounted cash flow model Prepayment speed 5.3% ( 0.2% - 17.8%) Weighted average life 6.8 years ( 0.1 - 17.4 years) Discount rate 11.2% ( 9.5% - 15.0%) Loans held-in-portfolio $ 61,020 [2] External appraisal Haircut applied on external appraisals 10.3% ( 10.0% - 20.0%) Other real estate owned $ 35,233 [3] External appraisal Haircut applied on external appraisals 24.7% ( 15.0% - 30.0%) [1] Weighted average of significant unobservable inputs used to develop Level 3 fair value measurements were calculated by relative fair value. [2] Loans held-in-portfolio in which haircuts were not applied to external appraisals were excluded from this table. [3] Other real estate owned in which haircuts were not applied to external appraisals were excluded from this table. The significant unobservable inputs used in the fair value measurement of the Corporation’s collateralized mortgage obligations and interest-only collateralized mortgage obligation (reported as “other”), which are classified in the “trading” category, are yield, constant prepayment rate, and weighted average life. S ignificant increases (decreases) in any of those inputs in isolation would result in significantly lower (higher) fair value measurement. Generally, a change in the assumption used for the constant prepayment rate will generate a directionally opposite change in the weighted average life. For example, as the average life is reduced by a higher constant prepayment rate, a lower yield will be realized, and when there is a reduction in the constant prepayment rate, the average life of these collateralized mortgage obligations will extend, thus resulting in a higher yield. The significant unobservable inputs used in the fair value measurement of the Corporation’s mortgage servicing rights are constant prepayment rates and discount rates. Increases in interest rates may result in lower prepayments. Discount rates vary according to products and / or portfolios depending on the perceived risk. Increases in discount rates result in a lower fair value measurement . Following is a description of the Corporation’s valuation methodologies used for assets and liabilities measured at fair value. The disclosure requirements exclude certain financial instruments and all non-financial instruments. Accordingly, the aggregate fair value amounts of the financial instruments disclosed do not represent management’s estimate of the underlying value of the Corporation. Trading account debt securities and debt securities available-for-sale U.S. Treasury securities: The fair value of U.S. Treasury notes is based on yields that are interpolated from the constant maturity treasury curve. These securities are classified as Level 2. U.S. Treasury bills are classified as Level 1 given the high volume of trades and pricing based on those trades. Obligations of U.S. Government sponsored entities: The Obligations of U.S. Government sponsored entities include U.S. agency securities, which fair value is based on an active exchange market and on quoted market prices for similar securities. The U.S. agency securities are classified as Level 2. Obligations of Puerto Rico, States and political subdivisions: Obligations of Puerto Rico, States and political subdivisions include municipal bonds. The bonds are segregated and the like characteristics divided into specific sectors. Market inputs used in the evaluation process include all or some of the following: trades, bid price or spread, two sided markets, quotes, benchmark curves including but not limited to Treasury benchmarks, LIBOR and swap curves, market data feeds such as those obtained from municipal market sources, discount and capital rates, and trustee reports. The municipal bonds are classified as Level 2. Mortgage-backed securities: Certain agency mortgage-backed securities (“MBS”) are priced based on a bond’s theoretical value derived from similar bonds defined by credit quality and market sector. Their fair value incorporates an option adjusted spread. The agency MBS are classified as Level 2. Other agency MBS such as GNMA Puerto Rico Serials are priced using an internally-prepared pricing matrix with quoted prices from local brokers dealers. These particular MBS are classified as Level 3. Collateralized mortgage obligations: Agency collateralized mortgage obligations (“CMOs”) are priced based on a bond’s theoretical value derived from similar bonds defined by credit quality and market sector and for which fair value incorporates an option adjusted spread. The option adjusted spread model includes prepayment and volatility assumptions, ratings (whole loans collateral) and spread adjustments. These CMOs are classified as Level 2. Other CMOs, due to their limited liquidity, are classified as Level 3 due to the insufficiency of inputs such as broker quotes, executed trades, credit information and cash flows. Corporate securities (included as “other” in the “available-for-sale” category): Given that the quoted prices are for similar instruments, these securities are classified as Level 2. Mutual funds, other equity securities, corporate securities, U.S. Treasury bills, and interest-only strips (included as “other” in the “trading account debt securities” category): For corporate securities and mutual funds, quoted prices for these security types are obtained from broker dealers. Given that the quoted prices are for similar instruments or do not trade in highly liquid markets, these securities are classified as Level 2. The important variables in determining the prices of Puerto Rico tax-exempt mutual fund shares are net asset value, dividend yield and type of assets in the fund. All funds trade based on a relevant dividend yield taking into consideration the aforementioned variables. In addition, demand and supply also affect the price. Other equity securities that do not trade in highly liquid markets are classified as Level 2. U.S. Treasury bills are classified as Level 1 given the high volume of trades and pricing based on those trades. Given that the fair value was estimated based on a discounted cash flow model using unobservable inputs, interest-only strips are classified as Level 3. Equity securities Equity securities are comprised principally of shares in closed-ended and open-ended mutual funds. Closed-end funds are traded on the secondary market at the shares’ market value. Open-ended funds are considered to be liquid, as investors can sell their shares continually to the fund and are priced at NAV. These equity securities are classified as Level 2. Mortgage servicing rights Mortgage servicing rights (“MSRs”) do not trade in an active market with readily observable prices. MSRs are priced internally using a discounted cash flow model. The discounted cash flow model incorporates assumptions that market participants would use in estimating future net servicing income, including portfolio characteristics, prepayments assumptions, discount rates, delinquency and foreclosure rates, late charges, other ancillary revenues, cost to service and other economic factors. Prepayment speeds are adjusted for the Corporation’s loan characteristics and portfolio behavior. Due to the unobservable nature of certain valuation inputs, the MSRs are classified as Level 3. Derivatives Interest rate swaps, interest rate caps and indexed options are traded in over-the-counter active markets. These derivatives are indexed to an observable interest rate benchmark, such as LIBOR or equity indexes, and are priced using an income approach based on present value and option pricing models using observable inputs. Other derivatives are liquid and have quoted prices, such as forward contracts or “to be announced securities” (“TBAs”). All of these derivatives are classified as Level 2. The non-performance risk is determined using internally-developed models that consider the collateral held, the remaining term, and the creditworthiness of the entity that bears the risk, and uses available public data or internally-developed data related to current spreads that denote their probability of default. Contingent consideration liability The fair value of the true-up payment obligation (contingent consideration) to the FDIC as it relates to the Westernbank FDIC-assisted transaction was estimated using projected cash flows related to the loss sharing agreements at the true-up measurement date. It took into consideration the intrinsic loss estimate, asset premium/discount, cumulative shared loss payments, and the cumulative servicing amount related to the loan portfolio. On a quarterly basis, management evaluated and revised the estimated credit loss rates that are used to determine expected cash flows on the covered loan pools. The expected credit losses on the loan pools are used to determine the loss share cash flows expected to be paid to the FDIC when the true-up payment is due. The true-up payment obligation was discounted using a term rate consistent with the time remaining until the payment is due. The discount rate was an estimate of the sum of the risk-free benchmark rate for the term remaining before the true-up payment is due and a risk premium to account for the credit risk profile of BPPR. The risk premium was calculated based on a volume weighted average spread of the Corporation’s outstanding senior unsecured debt over the equivalent T Note. The true-up payment obligation was classified as Level 3. As disclosed in Note 10, this true-up payment obligation ended as part of the Termination Agreement with the FDIC. Loans held-in-portfolio considered impaired under ASC Section 310-10-35 that are collateral dependent The impairment is measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35, and which could be subject to internal adjustments based on the age of the appraisal. Currently, the associated loans considered impaired are classified as Level 3. Loans measured at fair value pursuant to lower of cost or fair value adjustments Loans measured at fair value on a nonrecurring basis pursuant to lower of cost or fair value were priced based on secondary market prices and discounted cash flow models which incorporate internally-developed assumptions for prepayments and credit loss estimates. These loans are classified as Level 3. Other real estate owned and other foreclosed assets Other real estate owned includes real estate properties securing mortgage, consumer, and commercial loans. Other foreclosed assets include primarily automobiles securing auto loans. The fair value of foreclosed assets may be determined using an external appraisal, broker price opinion, or an internal valuation. These foreclosed assets are classified as Level 3 since they are subject to internal adjustments. |
Fair value of financial instrum
Fair value of financial instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures | |
Fair Value of Financial Instruments | Note 31 – Fair value of financial instruments The fair value of financial instruments is the amount at which an asset or obligation could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. For those financial instruments with no quoted market prices available, fair values have been estimated using present value calculations or other valuation techniques, as well as management’s best judgment with respect to current economic conditions, including discount rates, estimates of future cash flows, and prepayment assumptions. Many of these estimates involve various assumptions and may vary significantly from amounts that could be realized in actual transactions. The fair values reflected herein have been determined based on the prevailing rate environment at December 31, 2019 and December 31, 2018, as applicable. In different interest rate environments, fair value estimates can differ significantly, especially for certain fixed rate financial instruments. In addition, the fair values presented do not attempt to estimate the value of the Corporation’s fee generating businesses and anticipated future business activities, that is, they do not represent the Corporation’s value as a going concern. The following tables present the carrying amount and estimated fair values of financial instruments with their corresponding level in the fair value hierarchy. The aggregate fair value amounts of the financial instruments disclosed do not represent management’s estimate of the underlying value of the Corporation. December 31, 2019 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Assets: Cash and due from banks $ 388,311 $ 388,311 $ - $ - $ 388,311 Money market investments 3,262,286 3,256,274 6,012 - 3,262,286 Trading account debt securities, excluding derivatives [1] 40,321 7,081 32,270 970 40,321 Debt securities available-for-sale [1] 17,648,473 3,841,715 13,805,576 1,182 17,648,473 Debt securities held-to-maturity: Obligations of Puerto Rico, States and political subdivisions $ 85,556 $ - $ - $ 93,002 $ 93,002 Collateralized mortgage obligation-federal agency 45 - - 47 47 Securities in wholly owned statutory business trusts 11,561 - 11,561 - 11,561 Other 500 - 500 - 500 Total debt securities held-to-maturity $ 97,662 $ - $ 12,061 $ 93,049 $ 105,110 Equity securities: FHLB stock $ 43,787 $ - $ 43,787 $ - $ 43,787 FRB stock 93,470 - 93,470 - 93,470 Other investments 22,630 - 21,328 7,367 28,695 Total equity securities $ 159,887 $ - $ 158,585 $ 7,367 $ 165,952 Loans held-for-sale $ 59,203 $ - $ - $ 60,030 $ 60,030 Loans held-in-portfolio 26,929,165 - - 25,051,400 25,051,400 Mortgage servicing rights 150,906 - - 150,906 150,906 Derivatives 17,966 - 17,966 - 17,966 December 31, 2019 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Liabilities: Deposits: Demand deposits $ 36,083,809 $ - $ 36,083,809 $ - $ 36,083,809 Time deposits 7,674,797 - 7,598,732 - 7,598,732 Total deposits $ 43,758,606 $ - $ 43,682,541 $ - $ 43,682,541 Assets sold under agreements to repurchase $ 193,378 $ - $ 193,271 $ - $ 193,271 Notes payable: FHLB advances $ 421,399 $ - $ 429,718 $ - $ 429,718 Unsecured senior debt securities 295,307 - 323,415 - 323,415 Junior subordinated deferrable interest debentures (related to trust preferred securities) 384,902 - 395,216 - 395,216 Total notes payable $ 1,101,608 $ - $ 1,148,349 $ - $ 1,148,349 Derivatives $ 16,619 $ - $ 16,619 $ - $ 16,619 [1] Refer to Note 30 to the Consolidated Financial Statements for the fair value by class of financial asset and its hierarchy level December 31, 2018 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Assets: Cash and due from banks $ 394,035 $ 394,035 $ - $ - $ 394,035 Money market investments 4,171,048 4,161,832 9,216 - 4,171,048 Trading account debt securities, excluding derivatives [1] 37,787 6,278 30,370 1,139 37,787 Debt securities available-for-sale [1] 13,300,184 2,719,740 10,579,211 1,233 13,300,184 Debt securities held-to-maturity: Obligations of Puerto Rico, States and political subdivisions $ 89,459 $ - $ - $ 90,534 $ 90,534 Collateralized mortgage obligation-federal agency 55 - - 58 58 Securities in wholly owned statutory business trusts 11,561 - 11,561 - 11,561 Other 500 - 500 - 500 Total debt securities held-to-maturity $ 101,575 $ - $ 12,061 $ 90,592 $ 102,653 Equity securities: FHLB stock $ 51,628 $ - $ 51,628 $ - $ 51,628 FRB stock 89,358 - 89,358 - 89,358 Other investments 14,598 - 13,296 5,539 18,835 Total equity securities $ 155,584 $ - $ 154,282 $ 5,539 $ 159,821 Loans held-for-sale $ 51,422 $ - $ - $ 52,474 $ 52,474 Loans held-in-portfolio 25,938,541 - - 23,143,027 23,143,027 Mortgage servicing rights 169,777 - - 169,777 169,777 Derivatives 13,603 - 13,603 - 13,603 December 31, 2018 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Liabilities: Deposits: Demand deposits $ 32,093,274 $ - $ 32,093,274 $ - $ 32,093,274 Time deposits 7,616,765 - 7,392,698 - 7,392,698 Total deposits $ 39,710,039 $ - $ 39,485,972 $ - $ 39,485,972 Assets sold under agreements to repurchase $ 281,529 $ - $ 281,535 $ - $ 281,535 Other short-term borrowings [2] $ 42 $ - $ 42 $ - $ 42 Notes payable: FHLB advances $ 556,776 $ - $ 553,111 $ - $ 553,111 Unsecured senior debt 294,039 - 302,664 - 302,664 Junior subordinated deferrable interest debentures (related to trust preferred securities) 384,875 - 381,079 - 381,079 Capital lease obligations 20,412 - - 20,412 20,412 Total notes payable $ 1,256,102 $ - $ 1,236,854 $ 20,412 $ 1,257,266 Derivatives $ 12,320 $ - $ 12,320 $ - $ 12,320 [1] Refer to Note 30 to the Consolidated Financial Statements for the fair value by class of financial asset and its hierarchy level. [2] Refer to Note 19 to the Consolidated Financial Statements for the composition of other short-term borrowings. The notional amount of commitments to extend credit at December 31, 2019 and December 31, 2018 is $ 8.4 billion and $ 7.5 billion, respectively, and represents the unused portion of credit facilities granted to customers. The notional amount of letters of credit at December 31, 2019 and December 31, 2018 is $ 78 million and $ 29 million respectively, and represents the contractual amount that is required to be paid in the event of nonperformance. The fair value of commitments to extend credit and letters of credit, which are based on the fees charged to enter into those agreements, are not material to Popular’s financial statements. |
Employee benefits
Employee benefits | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Employee Benefits | Note 32 – Employee benefits Certain employees of BPPR are covered by three non-contributory defined benefit pension plans, the Banco Popular de Puerto Rico Retirement Plan and two Restoration Plans. Pension benefits are based on age, years of credited service, and final average compensation (the “Pension Plans”). The Pension Plans are currently closed to new hires and the accrual of benefits are frozen to all participants. The Pension Plans’ benefit formula is based on a percentage of average final compensation and years of service as of the plan freeze date. Normal retirement age under the retirement plan is age 65 with 5 years of service. Pension costs are funded in accordance with minimum funding standards under the Employee Retirement Income Security Act of 1974 (“ERISA”). Benefits under the Pension Plans are subject to the U.S. and Puerto Rico Internal Revenue Code limits on compensation and benefits. Benefits under restoration plans restore benefits to selected employees that are limited under the Banco Popular de Puerto Rico Retirement Plan due to U.S. and Puerto Rico Internal Revenue Code limits and a compensation definition that excludes amounts deferred pursuant to nonqualified arrangements. In addition to providing pension benefits, BPPR provides certain health care benefits for certain retired employees (the “OPEB Plan”). Regular employees of BPPR, hired before February 1, 2000, may become eligible for health care benefits, provided they reach retirement age while working for BPPR. The Corporation’s funding policy is to make annual contributions to the plans, when necessary, in amounts which fully provide for all benefits as they become due under the plans. The Corporation’s pension fund investment strategy is to invest in a prudent manner for the exclusive purpose of providing benefits to participants. A well defined internal structure has been established to develop and implement a risk-controlled investment strategy that is targeted to produce a total return that, when combined with BPPR contributions to the fund, will maintain the fund’s ability to meet all required benefit obligations. Risk is controlled through diversification of asset types, such as investments in domestic and international equities and fixed income. Equity investments include various types of stock and index funds. Also, this category includes Popular, Inc.’s common stock. Fixed income investments include U.S. Government securities and other U.S. agencies’ obligations, corporate bonds, mortgage loans, mortgage-backed securities and index funds, among others. A designated committee periodically reviews the performance of the pension plans’ investments and assets allocation. The Trustee and the money managers are allowed to exercise investment discretion, subject to limitations established by the pension plans’ investment policies. The plans forbid money managers to enter into derivative transactions, unless approved by the Trustee. The overall expected long-term rate-of-return-on-assets assumption reflects the average rate of earnings expected on the funds invested or to be invested to provide for the benefits included in the benefit obligation. The assumption has been determined by reflecting expectations regarding future rates of return for the plan assets, with consideration given to the distribution of the investments by asset class and historical rates of return for each individual asset class. This process is reevaluated at least on an annual basis and if market, actuarial and economic conditions change, adjustments to the rate of return may come into place. The Pension Plans weighted average asset allocation as of December 31, 2019 and 2018 and the approved asset allocation ranges, by asset category, are summarized in the table below. Minimum allotment Maximum allotment 2019 2018 Equity 0 % 70 % 36 % 32 % Debt securities 0 % 100 % 62 % 65 % Popular related securities 0 % 5 % 1 % 1 % Cash and cash equivalents 0 % 100 % 1 % 2 % The following table sets forth by level, within the fair value hierarchy, the Pension Plans’ assets at fair value at December 31, 2019 and 2018. Investments measured at net asset value per share (“NAV”) as a practical expedient have not been classified in the fair value hierarchy, but are presented in order to permit reconciliation of the plans’ assets. 2019 2018 (In thousands) Level 1 Level 2 Level 3 Measured at NAV Total Level 1 Level 2 Level 3 Measured at NAV Total Obligations of the U.S. Government, its agencies, states and political subdivisions $ - $ 171,744 $ - $ 7,239 $ 178,983 $ - $ 165,832 $ - $ 7,137 $ 172,969 Corporate bonds and debentures - 304,958 - 7,730 312,688 - 256,657 - 6,987 263,644 Equity securities - Common Stocks 116,254 - - - 116,254 90,175 - - - 90,175 Equity securities - ETF's 52,083 35,559 - - 87,642 39,394 29,635 - - 69,029 Foreign commingled trust funds - - - 82,030 82,030 - - - 59,362 59,362 Mutual fund - 4,490 - - 4,490 - 3,630 - - 3,630 Mortgage-backed securities - 5,777 - - 5,777 - 11,349 - - 11,349 Private equity investments - - 74 - 74 - - 68 - 68 Cash and cash equivalents 7,401 - - - 7,401 10,573 - - - 10,573 Accrued investment income - - 4,596 - 4,596 - - 5,024 - 5,024 Total assets $ 175,738 $ 522,528 $ 4,670 $ 96,999 $ 799,935 $ 140,142 $ 467,103 $ 5,092 $ 73,486 $ 685,823 The closing prices reported in the active markets in which the securities are traded are used to value the investments. Following is a description of the valuation methodologies used for investments measured at fair value: Obligations of U.S. Government, its agencies, states and political subdivisions - The fair value of Obligations of U.S. Government and its agencies obligations are based on an active exchange market and on quoted market prices for similar securities. U.S. agency structured notes are priced based on a bond’s theoretical value from similar bonds defined by credit quality and market sector and for which the fair value incorporates an option adjusted spread in deriving their fair value. The fair value of municipal bonds are based on trade data on these instruments reported on Municipal Securities Rulemaking Board (“MSRB”) transaction reporting system or comparable bonds from the same issuer and credit quality. These securities are classified as Level 2, except for the governmental index funds that are measured at NAV. Corporate bonds and debentures - Corporate bonds and debentures are valued at fair value at the closing price reported in the active market in which the bond is traded. These securities are classified as Level 2, except for the c orporate bond funds that are measured at NAV. Equity securities – common stocks - Equity securities with quoted market prices obtained from an active exchange market and high liquidity are classified as Level 1. Equity securities – ETF’s – Exchange Traded Funds shares with quoted market prices obtained from an active exchange market. Highly liquid ETF’s are classified as Level 1 while less liquid ETF’s are classified as Level 2. Foreign commingled trust fund- Collective investment funds are valued at the NAV of shares held by the plan at year end. Mutual funds – Mutual funds are valued at the NAV of shares held by the plan at year end. Mutual funds are classified as Level 2. Mortgage-backed securities – The fair value is based on trade data from brokers and exchange platforms where these instruments regularly trade. Certain agency mortgage and other asset backed securities (“MBS”) are priced based on a bond’s theoretical value from similar bonds defined by credit quality and market sector. Their fair value incorporates an option adjusted spread and prepayment projections. The agency MBS are classified as Level 2. Private equity investments - Private equity investments include an investment in a private equity fund. The fund value is recorded at its net realizable value which is affected by the changes in the fair market value of the investments held in the fund. This fund is classified as Level 3. Cash and cash equivalents - The carrying amount of cash and cash equivalents is a reasonable estimate of the fair value since it is available on demand or due to their short-term maturity. Cash and cash equivalents are classified as Level 1. Accrued investment income – Given the short-term nature of these assets, their carrying amount approximates fair value. Since there is a lack of observable inputs related to instrument specific attributes, these are reported as Level 3. The preceding valuation methods may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. The following table presents the change in Level 3 assets measured at fair value. (In thousands) 2019 2018 Balance at beginning of year $ 5,092 $ 4,758 Actual return on plan assets: Purchases, sales, issuance and settlements (net) ( 422) 334 Balance at end of year $ 4,670 $ 5,092 There were transfers in and/or out of Level 3 for financial instruments measured at fair value on a recurring basis during the years ended December 31, 2019 and 2018. There were transfers in and/or out of Level 1 and Level 2 during the years ended December 31, 2019 and 2018. Information on the shares of common stock held by the pension plans is provided in the table that follows. (In thousands, except number of shares information) 2019 2018 Shares of Popular, Inc. common stock 156,444 152,804 Fair value of shares of Popular, Inc. common stock $ 9,191 $ 7,215 Dividends paid on shares of Popular, Inc. common stock held by the plan $ 177 $ 151 The following table presents the components of net periodic benefit cost for the years ended December 31, 2019 and 2018. Pension Plans OPEB Plan (In thousands) 2019 2018 2017 2019 2018 2017 Personnel costs: Service cost $ - $ - $ - $ 759 $ 1,028 $ 1,026 Other operating expenses: Interest cost 28,439 25,493 25,889 5,955 5,562 5,703 Expected return on plan assets ( 32,388) ( 40,240) ( 42,752) - - - Amortization of prior service cost (credit) - - - - ( 3,470) ( 3,800) Recognized net actuarial loss 23,508 20,260 21,859 - 1,282 569 Net periodic benefit (credit) cost $ 19,559 $ 5,513 $ 4,996 $ 6,714 $ 4,402 $ 3,498 Termination benefit loss - - - - 1,790 - Total benefit cost $ 19,559 $ 5,513 $ 4,996 $ 6,714 $ 6,192 $ 3,498 During the year 2018, the termination benefit loss of $ 1.8 million related to the additional health care benefits provided to the eligible employees that accepted to participate in the “VRP” was recorded as “Personnel costs” in the consolidated statement of operations. During the years ended December 31, 2019, 2018 and 2017 , there is no service cost recognized as part of the net periodic cost for the Pension Plans since the accrual of benefits for all participants has been frozen. As part of the implementation of ASU 2017-07, the other components of net periodic cost other than the service cost components were reclassified from “Personnel costs” to “Other operating expenses” in the consolidated statement of operations in the amount of $ 5.0 million for the year ended December 31, 2017 for Pension Plans and $ 2.5 million for the year ended December 31, 2017 for the OPEB Plan . The following table sets forth the aggregate status of the plans and the amounts recognized in the consolidated financial statements at December 31, 2019 and 2018. Pension Plans OPEB Plan (In thousands) 2019 2018 2019 2018 Change in benefit obligation: Benefit obligation at beginning of year $ 754,558 $ 816,988 $ 153,415 $ 170,720 Service cost - - 759 1,028 Interest cost 28,439 25,493 5,955 5,562 Termination benefit loss - - - 1,790 Actuarial (gain) loss [1] 113,642 ( 47,549) 15,752 ( 20,547) Benefits paid ( 44,088) ( 40,374) ( 7,200) ( 5,138) Benefit obligation at end of year $ 852,551 $ 754,558 $ 168,681 $ 153,415 Change in fair value of plan assets: Fair value of plan assets at beginning of year $ 685,823 $ 767,539 $ - $ - Actual return on plan assets 137,970 ( 41,572) - - Employer contributions 20,230 230 7,200 5,138 Benefits paid ( 44,088) ( 40,374) ( 7,200) ( 5,138) Fair value of plan assets at end of year $ 799,935 $ 685,823 $ - $ - Funded status of the plan: Benefit obligation at end of year $ ( 852,551) $ ( 754,558) $ ( 168,681) $ ( 153,415) Fair value of plan assets at end of year 799,935 685,823 - - Funded status at year end $ ( 52,616) $ ( 68,735) $ ( 168,681) $ ( 153,415) Amounts recognized in accumulated other comprehensive loss: Net loss 288,882 304,330 21,472 5,720 Accumulated other comprehensive loss (AOCL) $ 288,882 $ 304,330 $ 21,472 $ 5,720 Reconciliation of net (liabilities) assets: Net liabilities at beginning of year $ ( 68,735) $ ( 49,449) $ ( 153,415) $ ( 170,720) Amount recognized in AOCL at beginning of year, pre-tax 304,330 290,327 5,720 24,079 Amount prepaid at beginning of year 235,595 240,878 ( 147,695) ( 146,641) Net periodic benefit cost ( 19,559) ( 5,513) ( 6,714) ( 4,402) Additional benefit cost - - - ( 1,790) Contributions 20,230 230 7,200 5,138 Amount prepaid at end of year 236,266 235,595 ( 147,209) ( 147,695) Amount recognized in AOCL ( 288,882) ( 304,330) ( 21,472) ( 5,720) Net liabilities at end of year $ ( 52,616) $ ( 68,735) $ ( 168,681) $ ( 153,415) [1] For 2019, significant components of the Pension Plans actuarial loss that changed the benefit obligation were mainly related to updates in discount and mortality rates. For OPEB Plans significant components of the actuarial loss that change the benefit obligation were mainly related to updates in discount and mortality rates partially offset by update in healthcare election rates and expected annual healthcare costs. For 2018, significant components of the Pension Plans actuarial gains that change the benefit obligation were mostly related to updates in discount rate partially offset by the impact of the 2018 Voluntary Retirement Program. For OPEB Plans significant components of the actuarial gain that change the benefit obligation were mainly related to updates in discount rate and expected annual healthcare costs. The following table presents the change in accumulated other comprehensive loss (“AOCL”), pre-tax, for the years ended December 31, 2019 and 2018. (In thousands) Pension Plans OPEB Plan 2019 2018 2019 2018 Accumulated other comprehensive loss at beginning of year $ 304,330 $ 290,327 $ 5,720 $ 24,079 Increase (decrease) in AOCL: Recognized during the year: Prior service credit - - - 3,470 Amortization of actuarial losses ( 23,508) ( 20,260) - ( 1,282) Occurring during the year: Net actuarial (gains) losses 8,060 34,263 15,752 ( 20,547) Total (decrease) increase in AOCL ( 15,448) 14,003 15,752 ( 18,359) Accumulated other comprehensive loss at end of year $ 288,882 $ 304,330 $ 21,472 $ 5,720 The Corporation estimates the service and interest cost components utilizing a full yield curve approach in the estimation of these components by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to their underlying projected cash flows. To determine benefit obligation at year end, the Corporation used a weighted average of annual spot rates applied to future expected cash flows for years ended December 31, 2019 and 2018 . The following table presents the discount rate and assumed health care cost trend rates used to determine the benefit obligation and net periodic benefit cost for the plans: Pension Plans OPEB Plan Weighted average assumptions used to determine net periodic benefit cost for the years ended December 31: 2019 2018 2017 2019 2018 2017 Discount rate for benefit obligation 4.20- 4.23 % 3.54- 3.56 % 3.98- 4.02 % 4.30 % 3.62 % 4.10 % Discount rate for service cost N/A N/A N/A 4.49 % 3.74 % 4.30 % Discount rate for interest cost 3.87- 3.90 % 3.16- 3.20 % 3.35- 3.42 % 3.99 % 3.32 % 3.58 % Expected return on plan assets 5.30- 6.00 % 5.50- 6.00 % 6.50 % N/A N/A N/A Initial health care cost trend rate N/A N/A N/A 5.00 % 5.50 % 6.00 % Ultimate health care cost trend rate N/A N/A N/A 5.00 % 5.00 % 5.00 % Year that the ultimate trend rate is reached N/A N/A N/A 2019 2019 2019 Pension Plans OPEB Plan Weighted average assumptions used to determine benefit obligation at December 31: 2019 2018 2019 2018 Discount rate for benefit obligation 3.22- 3.27 % 4.20- 4.23 % 3.38 % 4.30 % Initial health care cost trend rate N/A N/A 5.00 % 5.00 % Ultimate health care cost trend rate N/A N/A 5.00 % 5.00 % Year that the ultimate trend rate is reached N/A N/A 2019 2019 The following table presents information for plans with a projected benefit obligation and accumulated benefit obligation in excess of plan assets for the years ended December 31, 2019 and 2018. Pension Plans OPEB Plan (In thousands) 2019 2018 2019 2018 Projected benefit obligation $ 852,551 $ 754,558 $ 168,681 $ 153,415 Accumulated benefit obligation 852,551 754,558 168,681 153,415 Fair value of plan assets 799,935 685,823 - - The Corporation expects to pay the following contributions to the plans during the year ended December 31, 2019. (In thousands) 2020 Pension Plans $ 229 OPEB Plan $ 6,515 Benefit payments projected to be made from the plans during the next ten years are presented in the table below. (In thousands) Pension Plans OPEB Plan 2020 $ 48,161 $ 6,515 2021 45,152 6,510 2022 45,295 6,661 2023 45,498 6,843 2024 45,696 7,057 2025 - 2029 228,701 38,483 The table below presents a breakdown of the plans’ assets and liabilities at December 31, 2019 and 2018. Pension Plans OPEB Plan (In thousands) 2019 2018 2019 2018 Current liabilities $ 227 $ 225 $ 6,456 $ 8,007 Non-current liabilities 52,389 68,510 162,225 145,408 Savings plans The Corporation also provides defined contribution savings plans pursuant to Section 1081.01(d) of the Puerto Rico Internal Revenue Code and Section 401(k) of the U.S. Internal Revenue Code, as applicable, for substantially all the employees of the Corporation. Investments in the plans are participant-directed, and employer matching contributions are determined based on the specific provisions of each plan. Employees are fully vested in the employer’s contribution after five years of service. The cost of providing these benefits in the year ended December 31, 2019 was $ 15.1 million (2018 - $ 12.7 million, 2017 - $ 10 million). The plans held 1,378,048 (2018 – 1,490,253) shares of common stock of the Corporation with a market value of approximately $ 81 million at December 31, 2019 (2018 - $ 70.4 million). |
Net income per common share
Net income per common share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share | |
Net Income (Loss) Per Common Share | Note 33 – Net income per common share The following table sets forth the computation of net income per common share (“EPS”), basic and diluted, for the years ended December 31, 2019, 2018 and 2017: (In thousands, except per share information) 2019 2018 2017 Net income from continuing operations $ 671,135 $ 618,158 $ 107,681 Preferred stock dividends ( 3,723) ( 3,723) ( 3,723) Net income applicable to common stock $ 667,412 $ 614,435 $ 103,958 Average common shares outstanding 96,848,835 101,142,258 101,966,429 Average potential dilutive common shares 148,965 166,385 78,907 Average common shares outstanding - assuming dilution 96,997,800 101,308,643 102,045,336 Basic EPS from continuing operations $ 6.89 $ 6.07 $ 1.02 Total Basic EPS $ 6.89 $ 6.07 $ 1.02 Diluted EPS from continuing operations $ 6.88 $ 6.06 $ 1.02 Total Diluted EPS $ 6.88 $ 6.06 $ 1.02 As disclosed in Note 22, as of December 31, 2019, the Corporation completed a $ 250 million accelerated share repurchase transaction (“ASR”) and, in connection therewith, received an initial delivery of 3,500,000 shares of common stock during the first quarter of 2019 and 1,165,607 additional shares of common stock during the fourth quarter of 2019. The final number of shares delivered at settlement was based on the average daily volume weighted average price (“VWAP”) of its common stock, net of a discount, during the term of the ASR, which amounted to $ 53.58. Potential common shares consist of common stock issuable under the assumed exercise of stock options, restricted stock and performance shares awards using the treasury stock method. This method assumes that the potential common shares are issued and the proceeds from exercise, in addition to the amount of compensation cost attributed to future services, are used to purchase common stock at the exercise date. The difference between the number of potential shares issued and the shares purchased is added as incremental shares to the actual number of shares outstanding to compute diluted earnings per share. Warrants, stock options, restricted stock and performance shares awards, if any, that result in lower potential shares issued than shares purchased under the treasury stock method are not included in the computation of dilutive earnings per share since their inclusion would have an antidilutive effect in earnings per common share. |
Revenue from contract with cust
Revenue from contract with customers | 12 Months Ended |
Dec. 31, 2019 | |
Revenue From Contract With Customer Abstract | |
Revenue From Contract With Customer Text Block | Note 34 – Revenue from contracts with customers The following table presents the Corporation’s revenue streams from contracts with customers by reportable segment for the years ended December 31, 2019, 2018 and 2017: Years ended December 31, (In thousands) 2019 2018 2017 BPPR Popular U.S. BPPR Popular U.S. BPPR Popular U.S. Service charges on deposit accounts $ 146,384 $ 14,549 $ 137,062 $ 13,615 $ 140,342 $ 13,367 Other service fees: Debit card fees 46,066 1,076 45,139 1,035 41,851 870 Insurance fees, excluding reinsurance 42,995 3,803 33,951 3,667 31,030 3,060 Credit card fees, excluding late fees and membership fees 86,884 866 74,609 921 56,938 890 Sale and administration of investment products 23,072 - 21,895 - 21,958 - Trust fees 21,198 - 20,351 - 20,408 - Total revenue from contracts with customers [1] $ 366,599 $ 20,294 $ 333,007 $ 19,238 $ 312,527 $ 18,187 [1] The amounts include intersegment transactions of $ 3.8 million, $ 3.2 million and $ 3.3 million, respectively, for the years ended December 31, 2019, 2018 and 2017. Revenue from contracts with customers is recognized when, or as, the performance obligations are satisfied by the Corporation by transferring the promised services to the customers. A service is transferred to the customer when, or as, the customer obtains control of that service. A performance obligation may be satisfied over time or at a point in time. Revenue from a performance obligation satisfied over time is recognized based on the services that have been rendered to date. Revenue from a performance obligation satisfied at a point in time is recognized when the customer obtains control over the service. The transaction price, or the amount of revenue recognized, reflects the consideration the Corporation expects to be entitled to in exchange for those promised services. In determining the transaction price, the Corporation considers the effects of variable consideration. Variable consideration is included in the transaction price only to the extent it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur. The Corporation is the principal in a transaction if it obtains control of the specified goods or services before they are transferred to the customer. If the Corporation acts as principal, revenues are presented in the gross amount of consideration to which it expects to be entitled and are not netted with any related expenses. On the other hand, the Corporation is an agent if it does not control the specified goods or services before they are transferred to the customer. If the Corporation acts as an agent, revenues are presented in the amount of consideration to which it expects to be entitled, net of related expenses. Following is a description of the nature and timing of revenue streams from contracts with customers: Service charges on deposit accounts Service charges on deposit accounts are earned on retail and commercial deposit activities and include, but are not limited to, nonsufficient fund fees, overdraft fees and checks stop payment fees. These transaction-based fees are recognized at a point in time, upon occurrence of an activity or event or upon the occurrence of a condition which triggers the fee assessment. The Corporation is acting as principal in these transactions. Debit card fees Debit card fees include, but are not limited to, interchange fees, surcharging income and foreign transaction fees. These transaction-based fees are recognized at a point in time, upon occurrence of an activity or event or upon the occurrence of a condition which triggers the fee assessment. Interchange fees are recognized upon settlement of the debit card payment transactions. The Corporation is acting as principal in these transactions. Insurance fees Insurance fees include, but are not limited to, commissions and contingent commissions. Commissions and fees are recognized when related policies are effective since the Corporation does not have an enforceable right to payment for services completed to date. An allowance is created for expected adjustments to commissions earned related to policy cancellations. Contingent commissions are recorded on an accrual basis when the amount to be received is notified by the insurance company. The Corporation is acting as an agent since it arranges for the sale of the policies and receives commissions if, and when, it achieves the sale. Credit card fees Credit card fees include, but are not limited to, interchange fees, additional card fees, cash advance fees, balance transfer fees, foreign transaction fees, and returned payments fees. Credit card fees are recognized at a point in time, upon the occurrence of an activity or an event. Interchange fees are recognized upon settlement of the credit card payment transactions. The Corporation is acting as principal in these transactions. Sale and administration of investment products Fees from the sale and administration of investment products include, but are not limited to, commission income from the sale of investment products, asset management fees, underwriting fees, and mutual fund fees. Commission income from investment products is recognized on the trade date since clearing, trade execution, and custody services are satisfied when the customer acquires or disposes of the rights to obtain the economic benefits of the investment products and brokerage contracts have no fixed duration and are terminable at will by either party. The Corporation is acting as principal in these transactions since it performs the service of providing the customer with the ability to acquire or dispose of the rights to obtain the economic benefits of investment products. Asset management fees are satisfied over time and are recognized in arrears. At contract inception, the estimate of the asset management fee is constrained from the inclusion in the transaction price since the promised consideration is dependent on the market and thus is highly susceptible to factors outside the manager’s influence. As advisor, the broker-dealer subsidiary is acting as principal. Underwriting fees are recognized at a point in time, when the investment products are sold in the open market at a markup. When the broker-dealer subsidiary is lead underwriter, it is acting as an agent. In turn, when it is a participating underwriter, it is acting as principal. Mutual fund fees, such as distribution fees, are considered variable consideration and are recognized over time, as the uncertainty of the fees to be received is resolved as NAV is determined and investor activity occurs. The promise to provide distribution-related services is considered a single performance obligation as it requires the provision of a series of distinct services that are substantially the same and have the same pattern of transfer. When the broker-dealer subsidiary is acting as a distributor, it is acting as principal. In turn, when it acts as third-party dealer, it is acting as an agent. Trust fees Trust fees are recognized from retirement plan, mutual fund administration, investment management, trustee, escrow, and custody and safekeeping services. These asset management services are considered a single performance obligation as it requires the provision of a series of distinct services that are substantially the same and have the same pattern of transfer. The performance obligation is satisfied over time, except for optional services and certain other services that are satisfied at a point in time. Revenues are recognized in arrears, when, or as, the services are rendered. The Corporation is acting as principal since, as asset manager, it has the obligation to provide the specified service to the customer and has the ultimate discretion in establishing the fee paid by the customer for the specified services. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | Note 35 – Leases The Corporation enters in the ordinary course of business into operating and finance leases for land, buildings and equipment. These contracts generally do not include purchase options or residual value guarantees. The remaining lease terms of 0.1 to 34.0years considers options to extend the leases for up to 20.0 years. The Corporation identifies leases when it has both the right to obtain substantially all of the economic benefits from the use of the asset and the right to direct the use of the asset. The Corporation recognizes right-of-use assets (“ROU assets”) and lease liabilities related to operating and finance leases in its Consolidated Statements of Financial Condition under the caption of other assets and other liabilities, respectively. Refer to Note 15 and Note 21, respectively, for information on the balances of these lease assets and liabilities. The Corporation uses the incremental borrowing rate for purposes of discounting lease payments for operating and finance leases, since it does not have enough information to determine the rates implicit in the leases. The discount rates are based on fixed-rate and fully amortizing borrowing facilities of its banking subsidiaries that are collateralized. For leases held by non-banking subsidiaries, a credit spread is added to this rate based on financing transactions with a similar credit risk profile. The following table presents the undiscounted cash flows of operating and finance leases for each of the following periods: (In thousands) 2020 2021 2022 2023 2024 Later Years Total Lease Payments Less: Imputed Interest Total Operating Leases $ 29,872 $ 27,445 $ 23,540 $ 21,257 $ 20,176 $ 70,842 $ 193,132 $ ( 27,993) $ 165,139 Finance Leases 3,068 3,159 3,252 3,349 3,448 8,220 24,496 ( 4,686) 19,810 At December 31, 2018, operating lease commitments under lessee arrangements were $ 33.4 million, $ 29.5 million, $ 26.9 million, $ 23.3 million, $ 21.1 million for 2019 through 2023, respectively, and $ 77.9 million in the aggregate for all years thereafter. The following table presents the lease cost recognized by the Corporation in the Consolidated Statements of Operations as follows: Year ended (In thousands) December 31, 2019 Finance lease cost: Amortization of ROU assets $ 1,701 Interest on lease liabilities 1,194 Operating lease cost 30,664 Short-term lease cost 252 Variable lease cost 97 Sublease income ( 113) Total lease cost $ 33,795 Total rental expense for all operating leases, except those with terms of a month or less that were not renewed, for the year ended December 31, 2018 was $ 31.2 million (2017 - $ 32.1 million), which is included in net occupancy, equipment and communication expenses, according to their nature. Total amortization and interest expense for capital leases for the year ended December 31, 2018 was $ 1.5 million (2017 - $ 1.3 million) and $ 1.2 million (2017 - $ 1.2 million), respectively. The following table presents supplemental cash flow information and other related information related to operating and finance leases. Year ended (Dollars in thousands) December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 30,073 Operating cash flows from finance leases 1,200 Financing cash flows from finance leases 1,726 ROU assets obtained in exchange for new lease obligations: Operating leases $ 28,430 Finance leases 661 Weighted-average remaining lease term: Operating leases 8.7 years Finance leases 7.3 years Weighted-average discount rate: Operating leases 3.4 % Finance leases 5.9 % As of December 31, 2019, the Corporation has additional operating leases contracts that have not yet commenced with an undiscounted contract amount of $ 3.8 million, which will have lease terms ranging from 10 to 20 years. |
FDIC loss share expense
FDIC loss share expense | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
FDIC Loss Share (Expense) Income | Note 36 – FDIC loss share income (expense) On May 22, 2018, the Corporation entered into a Termination Agreement with the FDIC to terminate all loss-share arrangements in connection with the Westernbank FDIC-assisted transaction. Refer to Note 10 for additional information of the Termination Agreement with the FDIC. The caption of FDIC loss-share income (expense) in the Consolidated Statements of Operations consists of the following major categories: Years ended December 31, (In thousands) 2018 2017 Amortization $ ( 934) $ ( 469) 80% mirror accounting on credit impairment losses 104 3,136 80% mirror accounting on reimbursable expenses 537 2,454 80% mirror accounting on recoveries on covered assets, including rental income on OREOs, subject to reimbursement to the FDIC ( 1,658) 2,405 Change in true-up payment obligation ( 6,112) ( 11,700) Gain on FDIC loss-share Termination Agreement [1] 102,752 - Other 36 ( 5,892) Total FDIC loss share income (expense) $ 94,725 $ ( 10,066) [1] Refer to Note 10 for additional information of the Termination Agreement with the FDIC. |
Stock-based compensation
Stock-based compensation | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Stock-based Compensation | Note 37 - Stock-based compensation Incentive Plan The Popular, Inc. 2004 Omnibus Incentive Plan (the “Incentive Plan”) permits the issuance of several types of stock based compensation for employees and directors of the Corporation and/or any of its subsidiaries. Participants in the Incentive Plan are designated by the Compensation Committee of the Board of Directors (or its delegate as determined by the Board). Under the Incentive Plan, the Corporation has issued restricted stock and performance shares for its employees and restricted stock and restricted stock units (“RSU”) to its directors. The restricted shares for employees, will become vested based on the employees’ continued service with Popular. Unless otherwise stated in an agreement, the compensation cost associated with the shares of restricted stock is determined based on a two-prong vesting schedule. The first part is vested ratably over five years commencing at the date of grant (the “graduated vesting portion”) and the second part is vested at termination of employment after attaining 55 years of age and 10 years of service (the “retirement vesting portion”). The graduated vesting portion is accelerated at termination of employment after attaining 55 years of age and 10 years of service. The vesting schedule for restricted shares granted on or after 2014 was modified as follows, the first part is vested ratably over four years commencing at the date of the grant (the “graduated vesting portion”) and the second part is vested at termination of employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service (the “retirement vesting portion”). The graduated vesting portion is accelerated at termination of employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service. The performance share awards consist of the opportunity to receive shares of Popular, Inc.’s common stock provided that the Corporation achieves certain goals during a three-year performance cycle. The goals will be based on two metrics weighted equally: the Relative Total Shareholder Return (“TSR”) and the Absolute Earnings per Share (“EPS”) goals. The TSR metric is considered to be a market condition under ASC 718. For equity settled awards based on a market condition, the fair value is determined as of the grant date and is not subsequently revised based on actual performance. The EPS performance metric is considered to be a performance condition under ASC 718. The fair value is determined based on the probability of achieving the EPS goal as of each reporting period. The TSR and EPS metrics are equally weighted and work independently. The number of shares that will ultimately vest ranges from 50% to a 150% of target based on both market (TSR) and performance (EPS) conditions. The performance shares vest at the end of the three-year performance cycle. If a participant terminate employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service, the performance shares shall continue outstanding and vest at the end of the performance cycle. The following table summarizes the restricted stock and performance shares activity under the Incentive Plan for members of management. (Not in thousands) Shares Weighted-average grant date fair value Non-vested at January 1, 2017 383,982 $ 26.35 Granted 212,200 42.57 Performance Shares Quantity Adjustment ( 232,989) 29.10 Vested ( 67,853) 48.54 Non-vested at December 31, 2017 295,340 $ 30.75 Granted 239,062 45.81 Performance Shares Quantity Adjustment 234,076 33.09 Vested ( 372,271) 35.83 Forfeited ( 14,021) 37.35 Non-vested at December 31, 2018 382,186 $ 36.41 Granted 218,169 55.55 Performance Shares Quantity Adjustment 15,061 55.72 Vested ( 270,051) 44.73 Non-vested at December 31, 2019 345,365 $ 41.68 During the year ended December 31, 2019, 152,773 shares of restricted stock (2018 - 166,648; 2017 - 138,516) were awarded to management under the Incentive Plan. During the year ended December 31, 2019 , 65,396 performance shares (2018 - 72,414; 2017 - 73,684 ) were awarded to management under the Incentive Plan. During the year ended December 31, 2019, the Corporation recognized $ 7.7 million of restricted stock expense related to management incentive awards, with a tax benefit of $ 1.2 million (2018 - $ 6.9 million, with a tax benefit of $ 1.1 million; 2017 - $ 5.6 million, with a tax benefit of $ 1.1 million). During the year ended December 31, 2019, the fair market value of the restricted stock vested was $ 13.7 million at grant date and $ 18.9 million at vesting date. This triggers a windfall of $ 1.9 million that was recorded as a reduction on income tax expense. During the year ended December 31, 2019 the Corporation recognized $ 4.6 million of performance shares expense, with a tax benefit of $ 0.3 million (2018 - $ 5.6 million, with a tax benefit of $ 0.4 million; 2017 - $ 1.2 million, with a tax benefit of $ 0.1 million ). T he total unrecognized compensation cost related to non-vested restricted stock awards to members of management at December 31, 2019 was $ 8.8 million and is expected to be recognized over a weighted-average period of 2.4 years. The following table summarizes the restricted stock and RSU activity under the Incentive Plan for members of the Board of Directors: (Not in thousands) Restricted stock Weighted-average grant date fair value RSU Weighted-average grant date fair value Non-vested at January 1, 2017 - - - - Granted 25,771 $ 38.42 - $ - Vested ( 25,771) 38.42 - - Forfeited - - - - Non-vested at December 31, 2017 - - - - Granted 25,159 $ 46.71 - $ - Vested ( 25,159) 46.71 - - Forfeited - - - - Non-vested at December 31, 2018 - - - - Granted 1,052 $ 49.25 27,449 $ 57.64 Vested ( 1,052) 49.25 ( 27,449) 57.64 Forfeited - - - - Non-vested at December 31, 2019 - - - - Effective on May 2019, all equity awards granted to the directors may be paid in either restricted stocks or RSU, at the directors’ election. For the year 2019, all directors elected RSU. The directors’ equity awards will vest and become non-forfeitable on the grant date of such award. At the director’s option, the shares of common stocks underlying the RSU award shall be delivered to the director after its retirement, either on a fix date or in annual installments. To the extent that cash dividends are paid on the Corporation’s outstanding common stocks, the director will receive an additional number of RSU that reflect reinvested dividend equivalent. During the year ended December 31, 2019, the Corporation granted 1,052 shares of restricted stock to members of the Board of Directors of Popular, Inc. (2018 - 25,159; 2017 – 25,771) and 27,449 RSUs were granted to members of the Board of Directors of Popular, Inc., which became vested at grant date. No RSU were granted to the members of the Board of Directors of Popular, Inc. for the years ended December 31, 2018 and 2017. During 2019, the Corporation recognized $ 52 thousand of restricted stock expense related to these restricted stock grants, with a tax benefit of $ 6 thousand (2018 - $ 1.6 million, with a tax benefit of $ 0.2 million; 2017 - $ 1.3 million, with a tax benefit of $ 0.1 million) and $ 1.6 million of restricted stock expense related to these RSU, with a tax benefit of $ 0.2 million. No restricted stock expense was recognized for years ended December 31, 2018 and 2017 related to RSU. The fair value at vesting date of the restricted stock shares and RSU vested during the year ended December 31, 2019 for directors was $ 52 thousand and $ 1.6 million respectively. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure | |
Income Taxes | Note 38 – Income taxes The components of income tax expense for the years ended December 31, are summarized in the following table. (In thousands) 2019 2018 2017 Current income tax (benefit) expense: Puerto Rico $ 2,251 $ 126,700 $ 17,356 Federal and States 3,598 6,841 6,046 Subtotal 5,849 133,541 23,402 Deferred income tax expense (benefit): Puerto Rico 123,337 ( 62,601) 31,132 Federal and States 17,995 20,953 7,938 Adjustment for enacted changes in income tax laws - 27,686 168,358 Subtotal 141,332 ( 13,962) 207,428 Total income tax expense $ 147,181 $ 119,579 $ 230,830 The reasons for the difference between the income tax expense applicable to income before provision for income taxes and the amount computed by applying the statutory tax rate in Puerto Rico were as follows: 2019 2018 2017 (In thousands) Amount % of pre-tax income Amount % of pre-tax income Amount % of pre-tax income Computed income tax at statutory rates $ 306,869 38 % $ 287,717 39 % $ 132,020 39 % Benefit of net tax exempt interest income ( 145,597) ( 18) ( 97,199) ( 13) ( 76,815) ( 23) Effect of income subject to preferential tax rate [1] ( 9,562) ( 1) ( 111,738) ( 15) ( 13,104) ( 4) Deferred tax asset valuation allowance 16,992 2 27,336 4 20,882 6 Difference in tax rates due to multiple jurisdictions ( 12,888) ( 2) ( 16,324) ( 3) ( 2,217) ( 1) Adjustment in net deferred tax due to change in the applicable tax rate ( 6,559) ( 1) 27,686 4 168,358 50 Unrecognized tax benefits - - ( 1,621) - ( 1,185) - State and local taxes 4,749 1 8,772 1 4,123 1 Others ( 6,823) ( 1) ( 5,050) ( 1) ( 1,232) - Income tax expense $ 147,181 18 % $ 119,579 16 % $ 230,830 68 % [1] For the year ended December 31,2018, includes the impact of the Tax Closing Agreement entered into in connection with the Westernbank FDIC-assisted Transaction. For the year ended December 31,2019, the Corporation recorded income tax expense of $ 147.2 million, compared to $ 119.6 million for the previous year. The results for the year 2019 include an income tax benefit of approximately $ 26 million related to a revision of the amount of exempt income earned in prior years and certain adjustments pertaining to tax periods for which the statute of limitations had expired. Income tax expense of $ 119.6 million for the year ended December 31, 2018 reflects the impact of the Termination Agreement with the FDIC. In June 2012, the Puerto Rico Department of the Treasury and the Corporation entered into a Tax Closing Agreement (the “Tax Closing Agreement”) to clarify the tax treatment related to the loans acquired in the FDIC Transaction in accordance with the provisions of the Puerto Rico Tax Code. The Tax Closing Agreement provides that these loans are capital assets and any principal amount collected in excess of the amount paid for such loans will be taxed as a capital gain. The Tax Closing Agreement further provides that the Corporation’s tax liability upon the termination of the Shared-Loss Agreements be calculated based on the “deemed sale” of the underlying loans. As a result, in connection with the Termination Agreement with the FDIC, the Corporation recognized an additional income tax expense of $ 49.8 million associated with the “deemed sale” incremental tax liability at the capital gains rate per the Tax Closing Agreement. In addition, the Corporation recognized an income tax benefit of $ 158.7 million related to the increase in deferred tax assets due to increase in the tax basis of the loans as a result of the “deemed sale” for a net tax benefit of $ 108.9 million. Also, the Corporation recorded an income tax expense of $ 45.0 million related to the gain resulting from the Termination Agreement, mainly related to the reversal of net deferred tax liability of the true-up payment obligation and the FDIC Loss Share Asset. On December 10, 2018, the Governor of Puerto Rico signed into law Act No. 257 of 2018, which amended the Puerto Rico Internal Revenue Code to, among other things, reduce the Puerto Rico corporate income tax rate from 39% to 37.5%. The Corporation recognized $ 27.7 million of income tax expense as a result of a reduction in the Corporation’s net deferred tax asset related to its Puerto Rico operations, due to aforementioned reduction in tax rate at which it expects to realize the benefit of the deferred tax asset. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their tax bases. Significant components of the Corporation’s deferred tax assets and liabilities at December 31 were as follows: December 31, 2019 (In thousands) PR US Total Deferred tax assets: Tax credits available for carryforward $ 2,368 $ 5,269 $ 7,637 Net operating loss and other carryforward available 112,803 716,796 829,599 Postretirement and pension benefits 82,623 - 82,623 Deferred loan origination fees 2,519 ( 2,759) ( 240) Allowance for loan losses 405,475 10,981 416,456 Accelerated depreciation 3,439 4,914 8,353 FDIC-assisted transaction 82,684 - 82,684 Intercompany deferred gains 1,604 - 1,604 Lease liability 22,694 23,387 46,081 Difference in outside basis from pass-through entities 21,670 - 21,670 Other temporary differences 26,554 7,460 34,014 Total gross deferred tax assets 764,433 766,048 1,530,481 Deferred tax liabilities: Indefinite-lived intangibles 37,411 36,058 73,469 Unrealized net gain (loss) on trading and available-for-sale securities 15,635 432 16,067 Right of use assets 20,598 21,430 42,028 Other temporary differences 12,778 1,179 13,957 Total gross deferred tax liabilities 86,422 59,099 145,521 Valuation allowance 100,175 399,800 499,975 Net deferred tax asset $ 577,836 $ 307,149 $ 884,985 December 31, 2018 (In thousands) PR US Total Deferred tax assets: Tax credits available for carryforward $ 15,900 $ 7,757 $ 23,657 Net operating loss and other carryforward available 116,154 720,933 837,087 Postretirement and pension benefits 83,390 - 83,390 Deferred loan origination fees 3,216 ( 1,280) 1,936 Allowance for loan losses 516,643 18,612 535,255 Deferred gains - 2,551 2,551 Accelerated depreciation 1,963 5,786 7,749 FDIC-assisted transaction 95,851 - 95,851 Intercompany deferred gains 1,518 - 1,518 Difference in outside basis from pass-through entities 20,209 - 20,209 Other temporary differences 24,957 7,522 32,479 Total gross deferred tax assets 879,801 761,881 1,641,682 Deferred tax liabilities: Indefinite-lived intangibles 34,081 39,597 73,678 Unrealized net gain (loss) on trading and available-for-sale securities 23,823 ( 12,783) 11,040 Other temporary differences 10,579 1,109 11,688 Total gross deferred tax liabilities 68,483 27,923 96,406 Valuation allowance 89,852 406,455 496,307 Net deferred tax asset $ 721,466 $ 327,503 $ 1,048,969 The net deferred tax asset shown in the table above at December 31, 2019 is reflected in the consolidated statements of financial condition as $ 0.9 billion in net deferred tax assets (in the “other assets” caption) (2018 - $ 1.0 billion in deferred tax asset in the “other assets” caption) and $ 1.4 million in deferred tax liabilities (in the “other liabilities” caption) (2018 - $ 926 thousands in deferred tax liabilities in the “other liabilities” caption), reflecting the aggregate deferred tax assets or liabilities of individual tax-paying subsidiaries of the Corporation. Included as part of the other carryforwards available are $ 29 million related to contributions to BPPR’s qualified pension plan that have no expiration date. Additionally, the deferred tax asset related to the NOLs outstanding at December 31, 2019 expires as follows: (In thousands) 2020 $ 492 2021 16 2022 396 2024 9,181 2025 13,516 2026 13,403 2027 22,343 2028 324,569 2029 110,075 2030 100,017 2031 94,332 2032 16,801 2033 2,945 2034 81,253 2037 7,489 2038 1,642 2039 2,104 $ 800,574 A deferred tax asset should be reduced by a valuation allowance if based on the weight of all available evidence, it is more likely than not (a likelihood of more than 50%) that some portion or the entire deferred tax asset will not be realized. The valuation allowance should be sufficient to reduce the deferred tax asset to the amount that is more likely than not to be realized. At December 31, 2019 the net deferred tax asset of the U.S. operations amounted to $ 707 million with a valuation allowance of approximately $ 400 million, for a net deferred tax asset after valuation allowance of approximately $ 307 million. As of December 31, 2019, after weighting all positive and negative evidence, the Corporation concluded that it is more likely than not that approximately $ 307 million of the deferred tax asset from the U.S. operations, comprised mainly of net operating losses, will be realized. The Corporation based this determination on its estimated earnings available to realize the deferred tax asset for the remaining carryforward period, together with the historical level of book income adjusted by permanent differences. Management will continue to evaluate the realization of the deferred tax asset each quarter and adjust as any changes arise. At December 31, 2019, the Corporation’s net deferred tax assets related to its Puerto Rico operations amounted to $ 578 million. The Corporation’s Puerto Rico Banking operation is not in a cumulative loss position and has sustained profitability for the three year period ended December 31, 2019. This is considered a strong piece of objectively verifiable positive evidence that out weights any negative evidence considered by management in the evaluation of the realization of the deferred tax asset. Based on this evidence and management’s estimate of future taxable income, the Corporation has concluded that it is more likely than not that such net deferred tax asset of the Puerto Rico Banking operations will be realized. The Holding Company operation is in a cumulative loss position, taking into account taxable income exclusive of reversing temporary differences, for the three years period ending December 31, 2019. Management expect these losses will be a trend in future years. This objectively verifiable negative evidence is considered by management a strong negative evidence that will suggest that income in future years will be insufficient to support the realization of all deferred tax asset. After weighting of all positive and negative evidence management concluded, as of the reporting date, that it is more likely than not that the Holding Company will not be able to realize any portion of the deferred tax assets, considering the criteria of ASC Topic 740. Accordingly, the Corporation has maintained a full valuation allowance on the deferred tax asset of $ 100 million as of December 2019. Under the Puerto Rico Internal Revenue Code, the Corporation and its subsidiaries are treated as separate taxable entities and are not entitled to file consolidated tax returns. However, certain subsidiaries that are organized as limited liability companies with a partnership election are treated as pass-through entities for Puerto Rico tax purposes. The Code provides a dividends-received deduction of 100% on dividends received from “controlled” subsidiaries subject to taxation in Puerto Rico and 85% on dividends received from other taxable domestic corporations. The Corporation’s subsidiaries in the United States file a consolidated federal income tax return. The intercompany settlement of taxes paid is based on tax sharing agreements which generally allocate taxes to each entity based on a separate return basis. The following table presents a reconciliation of unrecognized tax benefits. (In millions) Balance at January 1, 2018 $ 7.3 Additions for tax positions related to 2018 1.1 Reduction as a result of lapse of statute of limitations ( 1.2) Balance at December 31, 2018 $ 7.2 Additions for tax positions related to prior years [1] 9.1 Balance at December 31, 2019 $ 16.3 [1] The Corporation recorded a deferred tax asset of $ 8.7 million associated with the unrecognized tax benefit. Since the uncertainty of the tax position is related to the timing of the tax benefit, it met the more likely than not standard of ASC 740-10-25-6. At December 31, 2019, the total amount of interest recognized in the statement of financial condition approximated $ 3.5 million (2018 - $ 2.8 million). The total interest expense recognized during 2019 was $ 664 thousand (2018 - $ 615 thousand net of the reduction of $ 483 thousand due to the expiration of the statute of limitations). Management determined that, as of December 31, 2019 and 2018, there was no need to accrue for the payment of penalties. The Corporation’s policy is to report interest related to unrecognized tax benefits in income tax expense, while the penalties, if any, are reported in other operating expenses in the consolidated statements of operations. After consideration of the effect on U.S. federal tax of unrecognized U.S. state tax benefits, the total amount of unrecognized tax benefits, including U.S. and Puerto Rico that, if recognized, would affect the Corporation’s effective tax rate, was approximately $ 10.5 million at December 31, 2019 (2018 - $ 9.0 million). The amount of unrecognized tax benefits may increase or decrease in the future for various reasons including adding amounts for current tax year positions, expiration of open income tax returns due to the statute of limitations, changes in management’s judgment about the level of uncertainty, status of examinations, litigation and legislative activity, and the addition or elimination of uncertain tax positions. The Corporation and its subsidiaries file income tax returns in Puerto Rico, the U.S. federal jurisdiction, various U.S. states and political subdivisions, and foreign jurisdictions. As of December 31, 2019, the following years remain subject to examination in the U.S. Federal jurisdiction – 2016 and thereafter and in the Puerto Rico jurisdiction – 2014 and thereafter. The Corporation anticipates a reduction in the total amount of unrecognized tax benefits within the next 12 months, which could amount to approximately $ 2.1 million. |
Supplemental disclosure on the
Supplemental disclosure on the consolidated statements of cash flows | 12 Months Ended |
Dec. 31, 2019 | |
Supplemental Cash Flow Information | |
Supplemental Disclosure on the Consolidated Statements of Cash Flows | Note 39 – Supplemental disclosure on the consolidated statements of cash flows Additional disclosures on cash flow information and non-cash activities for the years ended December 31, 2019, 2018 and 2017 are listed in the following table: (In thousands) 2019 2018 2017 Income taxes paid $ 14,461 $ 4,116 $ 2,433 Interest paid 369,383 296,757 221,432 Non-cash activities: Loans transferred to other real estate 67,056 47,965 82,035 Loans transferred to other property 53,286 43,645 27,407 Total loans transferred to foreclosed assets 120,342 91,610 109,442 Loans transferred to other assets 16,503 16,843 7,514 Financed sales of other real estate assets 15,907 16,779 11,237 Financed sales of other foreclosed assets 30,840 17,867 8,435 Total financed sales of foreclosed assets 46,747 34,646 19,672 Transfers from loans held-in-portfolio to loans held-for-sale - - 2,472 Transfers from loans held-for-sale to loans held-in-portfolio 7,829 20,938 1,705 Loans securitized into investment securities [1] 458,758 506,685 462,033 Trades receivables from brokers and counterparties 39,364 40,088 7,514 Trades payable to brokers and counterparties 4,084 64 2 Receivables from investments securities - 70,000 70,000 Recognition of mortgage servicing rights on securitizations or asset transfers 9,143 10,223 7,661 Interest capitalized on loans subject to the temporary payment moratorium - 481 46,944 Loans booked under the GNMA buy-back option 72,480 384,371 790,942 Capitalization of Right of Use Assets 189,097 - - Gain from the FDIC Termination Agreement - 102,752 - [1] Includes loans securitized into trading securities and subsequently sold before year end. The following table provides a reconciliation of cash and due from banks, and restricted cash reported within the Consolidated Statement of Financial Condition that sum to the total of the same such amounts shown in the Consolidated Statement of Cash Flows. (In thousands) December 31, 2019 December 31, 2018 December 31, 2017 Cash and due from banks $ 361,705 $ 353,936 $ 381,289 Restricted cash and due from banks 26,606 40,099 21,568 Restricted cash in money market investments 6,012 9,216 9,772 Total cash and due from banks, and restricted cash [2] $ 394,323 $ 403,251 $ 412,629 [2] Refer to Note 5 - Restrictions on cash and due from banks and certain securities for nature of restrictions. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Segment Reporting | Note 40 – Segment reporting The Corporation’s corporate structure consists of two reportable segments – Banco Popular de Puerto Rico and Popular U.S. Management determined the reportable segments based on the internal reporting used to evaluate performance and to assess where to allocate resources. The segments were determined based on the organizational structure, which focuses primarily on the markets the segments serve, as well as on the products and services offered by the segments. Banco Popular de Puerto Rico: Given that Banco Popular de Puerto Rico constitutes a significant portion of the Corporation’s results of operations and total assets at December 31, 2019, additional disclosures are provided for the business areas included in this reportable segment, as described below: Commercial banking represents the Corporation’s banking operations conducted at BPPR, which are targeted mainly to corporate, small and middle size businesses. It includes aspects of the lending and depository businesses, as well as other finance and advisory services. BPPR allocates funds across business areas based on duration matched transfer pricing at market rates. This area also incorporates income related with the investment of excess funds, as well as a proportionate share of the investment function of BPPR. Consumer and retail banking represents the branch banking operations of BPPR which focus on retail clients. It includes the consumer lending business operations of BPPR, as well as the lending operations of Popular Auto and Popular Mortgage. Popular Auto focuses on auto and lease financing, while Popular Mortgage focuses principally on residential mortgage loan originations. During 2018, the Reliable brand was transferred to Popular, Inc. and is being used by Popular Auto. The consumer and retail banking area also incorporates income related with the investment of excess funds from the branch network, as well as a proportionate share of the investment function of BPPR. Other financial services include the trust and asset management service units of BPPR, the brokerage and investment banking operations of Popular Securities, and the insurance agency and reinsurance businesses of Popular Insurance, Popular Insurance V.I., Popular Risk Services, and Popular Life Re. Most of the services that are provided by these subsidiaries generate profits based on fee income. Popular Insurance V.I. was dissolved on December 31, 2018. Popular U.S.: Popular U.S. reportable segment consists of the banking operations of Popular Bank (PB) and Popular Insurance Agency, U.S.A. PB operates through a retail branch network in the U.S. mainland under the name of Popular. Popular Insurance Agency, U.S.A. offers investment and insurance services across the PB branch network. The Corporate group consists primarily of the holding companies Popular, Inc., Popular North America, Popular International Bank and certain of the Corporation’s investments accounted for under the equity method, including EVERTEC and Centro Financiero BHD, León. The accounting policies of the individual operating segments are the same as those of the Corporation. Transactions between reportable segments are primarily conducted at market rates, resulting in profits that are eliminated for reporting consolidated results of operations. Effective on January 1, 2019, the Corporation’s management changed the measurement basis for its reportable segments. Historically, for management reporting purposes, the Corporation had reversed the effect of the intercompany billings from Popular Inc., holding company, to its subsidiaries for certain services or expenses incurred on their behalf. In addition, the Corporation used to reflect an income tax expense allocation for several of its subsidiaries which are Limited Liability Companies (“LLCs”) and had made an election to be treated as a pass through entities for income tax purposes. The Corporation’s management has determined to discontinue making these adjustments, effective on January 1, 2019, for purposes of its management and reportable segment reporting. The Corporation reflected these changes in the measurement of the reportable segments’ results prospectively beginning on January 1, 2019. For the year ended December 31, 2018, the intercompany billings from Popular, Inc to Banco Popular de Puerto Rico amounted to $ 78.3 million (2017 - $ 66.4 million) and to the Popular U.S. reportable segments amounted to $ 12.5 million (2017 - $ 10.3 million). The tables that follow present the results of operations and total assets by reportable segments: December 31, 2019 Banco Popular Intersegment (In thousands) de Puerto Rico Popular U.S. Eliminations Net interest income $ 1,633,950 $ 295,470 $ ( 51) Provision for loan losses 135,495 30,028 - Non-interest income 506,739 23,160 ( 561) Amortization of intangibles 8,610 664 - Depreciation expense 49,058 8,263 - Other operating expenses 1,208,458 205,219 ( 547) Income tax expense 129,145 19,164 - Net income $ 609,923 $ 55,292 $ ( 65) Segment assets $ 41,756,864 $ 10,056,316 $ ( 18,576) December 31, 2019 Reportable Total (In thousands) Segments Corporate Eliminations Popular, Inc. Net interest income (expense) $ 1,929,369 $ ( 37,675) $ - $ 1,891,694 Provision for loan losses 165,523 256 - 165,779 Non-interest income 529,338 43,901 ( 3,356) 569,883 Amortization of intangibles 9,274 96 - 9,370 Depreciation expense 57,321 746 - 58,067 Other operating expenses 1,413,130 55 ( 3,140) 1,410,045 Income tax expense (expense) 148,309 ( 1,041) ( 87) 147,181 Net income $ 665,150 $ 6,114 $ ( 129) $ 671,135 Segment assets $ 51,794,604 $ 5,228,276 $ ( 4,907,556) $ 52,115,324 December 31, 2018 Banco Popular Intersegment (In thousands) de Puerto Rico Popular U.S. Eliminations Net interest income $ 1,482,178 $ 304,576 $ ( 2) Provision for loan losses 198,442 29,881 - Non-interest income 592,938 19,988 ( 560) Amortization of intangibles 8,620 665 - Depreciation expense 43,504 9,053 - Other operating expenses 1,073,012 182,154 ( 546) Income tax expense 121,195 25,294 - Net income $ 630,343 $ 77,517 $ ( 16) Segment assets $ 38,037,696 $ 9,381,636 $ ( 114,923) December 31, 2018 Reportable Total (In thousands) Segments Corporate Eliminations Popular, Inc. Net interest income (expense) $ 1,786,752 $ ( 51,875) $ - $ 1,734,877 Provision (reversal) for loan losses 228,323 ( 251) - 228,072 Non-interest income 612,366 42,914 ( 2,786) 652,494 Amortization of intangibles 9,285 41 - 9,326 Depreciation expense 52,557 743 - 53,300 Loss on early extinguishment of debt - 12,522 - 12,522 Other operating expenses 1,254,620 94,640 ( 2,846) 1,346,414 Income tax expense (benefit) 146,489 ( 26,947) 37 119,579 Net income (loss) $ 707,844 $ ( 89,709) $ 23 $ 618,158 Segment assets $ 47,304,409 $ 5,099,491 $ ( 4,799,323) $ 47,604,577 December 31, 2017 Banco Popular Intersegment (In thousands) de Puerto Rico Popular U.S. Eliminations Net interest income $ 1,279,844 $ 280,946 $ ( 217) Provision for loan losses 253,032 77,944 - Non-interest income 364,164 20,430 ( 572) Amortization of intangibles 8,713 665 - Depreciation expense 39,162 8,553 - Other operating expenses 957,924 170,042 ( 551) Income tax expense 72,741 191,749 ( 93) Net income (loss) $ 312,436 $ ( 147,577) $ ( 145) Segment assets $ 34,843,668 $ 9,168,256 $ ( 16,992) December 31, 2017 Reportable Total (In thousands) Segments Corporate Eliminations Popular, Inc. Net interest income (expense) $ 1,560,573 $ ( 58,609) $ - $ 1,501,964 Provision for loan losses 330,976 403 ( 5,955) 325,424 Non-interest income 384,022 37,949 ( 2,804) 419,167 Amortization of intangibles 9,378 - - 9,378 Depreciation expense 47,715 649 - 48,364 Other operating expenses 1,127,415 74,731 ( 2,692) 1,199,454 Income tax expense (benefit) 264,397 ( 35,835) 2,268 230,830 Net income (loss) $ 164,714 $ ( 60,608) $ 3,575 $ 107,681 Segment assets $ 43,994,932 $ 5,046,153 $ ( 4,763,748) $ 44,277,337 Additional disclosures with respect to the Banco Popular de Puerto Rico reportable segment are as follows: December 31, 2019 Banco Popular de Puerto Rico Consumer Other Total Banco Commercial and Retail Financial Popular de (In thousands) Banking Banking Services Eliminations Puerto Rico Net interest income $ 619,926 $ 1,009,196 $ 4,828 $ - $ 1,633,950 Provision (reversal) for loan losses ( 46,099) 181,594 - - 135,495 Non-interest income 99,758 303,268 106,218 ( 2,505) 506,739 Amortization of intangibles 195 4,294 4,121 - 8,610 Depreciation expense 20,024 28,411 623 - 49,058 Other operating expenses 309,762 835,582 65,631 ( 2,517) 1,208,458 Income tax expense 104,636 11,999 12,510 - 129,145 Net income $ 331,166 $ 250,584 $ 28,161 $ 12 $ 609,923 Segment assets $ 34,340,842 $ 23,976,004 $ 380,557 $ ( 16,940,539) $ 41,756,864 December 31, 2017 Banco Popular de Puerto Rico Consumer Other Total Banco Commercial and Retail Financial Popular de (In thousands) Banking Banking Services Eliminations Puerto Rico Net interest income $ 518,404 $ 753,922 $ 7,499 $ 19 $ 1,279,844 Provision for loan losses 8,911 244,121 - - 253,032 Non-interest income 79,630 194,741 90,222 ( 429) 364,164 Amortization of intangibles 211 4,274 4,228 - 8,713 Depreciation expense 17,338 21,120 704 - 39,162 Other operating expenses 239,369 656,998 62,030 ( 473) 957,924 Income tax expense (benefit) 93,378 ( 31,404) 10,767 - 72,741 Net income $ 238,827 $ 53,554 $ 19,992 $ 63 $ 312,436 Segment assets $ 21,735,909 $ 20,180,173 $ 520,717 $ ( 7,593,131) $ 34,843,668 Geographic Information The following information presents selected financial information based on the geographic location where the Corporation conducts its business. The banking operations of BPPR are primarily based in Puerto Rico, where it has the largest retail banking franchise. BPPR also conducts banking operations in the U.S. Virgin Islands, the British Virgin Islands and New York. BPPR’s banking operations in the United States include E-loan, an online platform used to offer personal loans, co-branded credit cards offerings and an online deposit gathering platform. In the Virgin Islands, the BPPR segment offers banking products, including loans and deposits. During the year ended December 31, 2019, the BPPR segment generated approximately $ 55.7 million (2018 - $ 37.6 million, 2017 - $ 24.5 million) in revenues from its operations in the United States, including net interest income, service charges on deposit accounts and other service fees. In addition, the BPPR segment generated $ 47.6 million in revenues (2018 - $ 48.8 million, 2017 - $ 50.5 million) from its operations in the U.S. and British Virgin Islands. At December 31, 2019, total assets for the BPPR segment related to its operations in the United States amounted to $ 635 million (2018 - $ 455 million) and total deposits amounted to $ 46 million (2018 - $ 92 million). (In thousands) 2019 2018 2017 Revenues: [1] Puerto Rico $ 2,016,089 $ 1,953,671 $ 1,527,758 United States 371,368 357,680 318,093 Other 74,120 76,020 75,280 Total consolidated revenues $ 2,461,577 $ 2,387,371 $ 1,921,131 [1] Total revenues include net interest income, service charges on deposit accounts, other service fees, mortgage banking activities, net (loss) gain on sale of debt securities, other-than-temporary impairment losses on debt securities, net gain (loss), including impairment on equity securities, net profit (loss) on trading account debt securities, net gain (loss) on sale of loans, including valuation adjustments on loans held-for-sale, indemnity reserves on loans sold expense, FDIC loss-share income (expense) and other operating income. Selected Balance Sheet Information (In thousands) 2019 2018 2017 Puerto Rico Total assets $ 40,544,255 $ 36,863,930 $ 33,705,624 Loans 18,989,286 18,837,742 17,591,078 Deposits 34,664,243 31,237,529 27,575,292 United States Total assets $ 10,693,536 $ 9,847,944 $ 9,648,865 Loans 7,819,187 7,034,075 6,608,056 Deposits 7,664,792 6,878,599 6,635,153 Other Total assets $ 877,533 $ 892,703 $ 922,848 Loans 657,603 687,494 743,329 Deposits [1] 1,429,571 1,593,911 1,243,063 [1] Represents deposits from BPPR operations located in the U.S. and British Virgin Islands. |
Popular, Inc. (Holding company
Popular, Inc. (Holding company only) financial information | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Popular, Inc (Holding Company Only) Financial Information | Note 41 - Popular, Inc. (holding company only) financial information The following condensed financial information presents the financial position of Popular, Inc. Holding Company only at December 31, 2019 and 2018, and the results of its operations and cash flows for the years ended December 31, 2019, 2018 and 2017. Condensed Statements of Condition December 31, (In thousands) 2019 2018 ASSETS Cash and due from banks (includes $ 56,008 due from bank subsidiary (2018 - $ 68,022)) $ 55,956 $ 68,022 Money market investments 221,598 176,256 Debt securities held-to-maturity, at amortized cost (includes $ 8,726 in common securities from statutory trusts (2018 - $ 8,726)) 8,726 8,726 Equity securities, at lower of cost or realizable value [1] 10,744 6,693 Investment in BPPR and subsidiaries, at equity 4,233,046 3,813,640 Investment in Popular North America and subsidiaries, at equity 1,749,518 1,648,577 Investment in other non-bank subsidiaries, at equity 260,501 241,902 Other loans 32,027 32,678 Less - Allowance for loan losses 410 155 Premises and equipment 3,893 3,394 Investment in equity method investees 75,739 62,781 Other assets (includes $ 4,353 due from subsidiaries and affiliate (2018 - $ 1,355)) 25,087 20,281 Total assets $ 6,676,425 $ 6,082,795 LIABILITIES AND STOCKHOLDERS' EQUITY Notes payable $ 586,119 $ 584,851 Other liabilities (includes $ 2,109 due to subsidiaries and affiliate (2018 - $ 3,110)) 73,596 62,799 Stockholders’ equity 6,016,710 5,435,145 Total liabilities and stockholders’ equity $ 6,676,425 $ 6,082,795 [1] Refer to Note 20 to the consolidated financial statements for information on the statutory trusts. Condensed Statements of Operations Years ended December 31, (In thousands) 2019 2018 2017 Income: Dividends from subsidiaries $ 408,000 $ 453,200 $ 211,500 Interest income (includes $ 4,237 due from subsidiaries and affiliates (2018 - $ 6,121; 2017 - $ 3,183)) 6,669 8,366 4,238 Earnings from investments in equity method investees 17,279 15,498 11,761 Other operating income 1 253 86 Net gain (loss), including impairment, on equity securities 988 ( 777) - Net gain on trading account debt securities - - 266 Total income 432,937 476,540 227,851 Expenses: Interest expense 38,528 51,218 52,470 Provision (reversal) for loan losses 256 ( 251) 403 Loss on early extinguishment of debt - 12,522 - Operating expenses (includes expenses for services provided by subsidiaries and affiliate of $ 14,400 (2018 - $ 10,511 ; 2017 - $ 8,225)), net of reimbursement by subsidiaries for services provided by parent of $ 106,725 (2018 - $ 90,807 ; 2017 - $ 76,720) 80 3,656 ( 1,773) Total expenses 38,864 67,145 51,100 Income before equity in undistributed earnings of subsidiaries 394,073 409,395 176,751 Equity in undistributed earnings (losses) of subsidiaries 277,062 208,763 ( 69,070) Net income $ 671,135 $ 618,158 $ 107,681 Comprehensive income, net of tax $ 929,171 $ 540,836 $ 77,315 Condensed Statements of Cash Flows Years ended December 31, (In thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 671,135 $ 618,158 $ 107,681 Adjustments to reconcile net income to net cash provided by operating activities: Equity in (earnings) losses of subsidiaries, net of dividends or distributions ( 277,062) ( 208,763) 69,070 Provision (reversal) for loan losses 256 ( 251) 403 Amortization of intangibles 96 41 - Net accretion of discounts and amortization of premiums and deferred fees 1,240 2,022 2,086 Share-based compensation 7,927 7,441 - Earnings from investments under the equity method, net of dividends or distributions ( 14,948) ( 14,333) ( 7,765) Loss on early extinguishment of debt - 12,522 - Net (increase) decrease in: Equity securities ( 4,051) ( 1,583) ( 1,346) Other assets 1,134 344 8,696 Net (decrease) increase in: Interest payable - ( 10,288) - Other liabilities 2,508 8,059 3,230 Total adjustments ( 282,900) ( 204,789) 74,374 Net cash provided by operating activities 388,235 413,369 182,055 Cash flows from investing activities: Net (increase) decrease in money market investments ( 45,000) 70,000 6,000 Net repayments on other loans 677 536 181 Capital contribution to subsidiaries ( 9,000) ( 87,000) ( 5,955) Return of capital from wholly owned subsidiaries 13,000 13,000 22,400 Acquisition of loans portfolio - - ( 31,909) Acquisition of trademark - - ( 5,560) Acquisition of premises and equipment ( 1,289) ( 1,099) ( 965) Proceeds from sale of: Premises and equipment 3 293 23 Foreclosed assets - - 38 Net cash used in investing activities ( 41,609) ( 4,270) ( 15,747) Cash flows from financing activities: Payments of notes payable - ( 448,518) - Payments of debt extinguishment - ( 12,522) - Proceeds from issuance of notes payable - 293,819 - Proceeds from issuance of common stock 13,451 11,653 7,016 Dividends paid ( 115,810) ( 105,441) ( 95,910) Net payments for repurchase of common stock ( 250,571) ( 125,731) ( 75,668) Payments related to tax withholding for share-based compensation ( 5,420) ( 2,201) ( 1,756) Net cash used in financing activities ( 358,350) ( 388,941) ( 166,318) Net (decrease) increase in cash and due from banks, and restricted cash ( 11,724) 20,158 ( 10) Cash and due from banks, and restricted cash at beginning of period 68,278 48,120 48,130 Cash and due from banks, and restricted cash at end of period $ 56,554 $ 68,278 $ 48,120 Popular, Inc. (parent company only) received dividend distributions from its direct equity method investees amounting to $ 2.3 million for the year ended December 31, 2019 (2018 - $ 1.2 million). Notes payable include junior subordinated debentures issued by the Corporation that are associated to capital securities issued by the Popular Capital Trust I and Popular Capital Trust II and medium-term notes. Refer to Note 20 for a description of significant provisions related to these junior subordinated debentures. The following table presents the aggregate amounts by contractual maturities of notes payable at December 31, 2019: Year (In thousands) 2020 $ - 2021 - 2022 - 2023 - 2024 295,307 Later years 290,812 Total $ 586,119 |
Condensed consolidating financi
Condensed consolidating financial information of guarantor and issuers of registered guaranteed securities | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Condensed Consolidating Financial Information of Guarantor and Issuers of Registeres Guranteed Securities | Note 42 – Condensed consolidating financial information of guarantor and issuers of registered guaranteed securities The following condensed consolidating financial information presents the financial position of Popular, Inc. Holding Company (“PIHC”) (parent only), Popular North America, Inc. (“PNA”) and all other subsidiaries of the Corporation at December 31, 2019 and 2018, and the results of their operations and cash flows for the periods ended December 31, 2019, 2018 and 2017. PNA is an operating, 100% subsidiary of PIHC and is the holding company of its wholly-owned subsidiaries: Equity One, Inc. and Popular Bank, including Popular Bank’s wholly-owned subsidiaries Popular Equipment Finance, Inc., Popular Insurance Agency, U.S.A., and E-LOAN, Inc. PIHC fully and unconditionally guarantees all registered debt securities issued by PNA. Condensed Consolidating Statement of Financial Condition At December 31, 2019 All other Popular Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Assets: Cash and due from banks $ 55,956 $ - $ 388,363 $ ( 56,008) $ 388,311 Money market investments 221,598 16,029 3,261,688 ( 237,029) 3,262,286 Trading account debt securities, at fair value - - 40,321 - 40,321 Debt securities available-for-sale, at fair value - - 17,648,473 - 17,648,473 Debt securities held-to-maturity, at amortized cost 8,726 2,835 86,101 - 97,662 Equity securities 10,744 20 149,322 ( 199) 159,887 Investment in subsidiaries 6,243,065 1,806,583 - ( 8,049,648) - Loans held-for-sale, at lower of cost or fair value - - 59,203 - 59,203 Loans held-in-portfolio 32,027 - 27,549,874 5,955 27,587,856 Less - Unearned income - - 180,983 - 180,983 Allowance for loan losses 410 - 477,298 - 477,708 Total loans held-in-portfolio, net 31,617 - 26,891,593 5,955 26,929,165 Premises and equipment, net 3,893 - 552,757 - 556,650 Other real estate 146 - 121,926 - 122,072 Accrued income receivable 382 108 180,630 ( 249) 180,871 Mortgage servicing assets, at fair value - - 150,906 - 150,906 Other assets 93,835 21,324 1,722,839 ( 18,383) 1,819,615 Goodwill - - 671,123 ( 1) 671,122 Other intangible assets 6,463 - 22,317 - 28,780 Total assets $ 6,676,425 $ 1,846,899 $ 51,947,562 $ ( 8,355,562) $ 52,115,324 Liabilities and Stockholders' Equity Liabilities: Deposits: Non-interest bearing $ - $ - $ 9,216,181 $ ( 56,008) $ 9,160,173 Interest bearing - - 34,835,462 ( 237,029) 34,598,433 Total deposits - - 44,051,643 ( 293,037) 43,758,606 Assets sold under agreements to repurchase - - 193,378 - 193,378 Notes payable 586,119 94,090 421,399 - 1,101,608 Other liabilities 73,596 3,200 986,865 ( 18,708) 1,044,953 Total liabilities 659,715 97,290 45,653,285 ( 311,745) 46,098,545 Stockholders' equity: Preferred stock 50,160 - - - 50,160 Common stock 1,044 2 56,307 ( 56,309) 1,044 Surplus 4,438,706 4,173,169 5,847,389 ( 10,011,852) 4,447,412 Retained earnings (accumulated deficit) 2,156,442 ( 2,425,429) 555,398 1,861,504 2,147,915 Treasury stock, at cost ( 459,704) - - ( 110) ( 459,814) Accumulated other comprehensive (loss) income, net of tax ( 169,938) 1,867 ( 164,817) 162,950 ( 169,938) Total stockholders' equity 6,016,710 1,749,609 6,294,277 ( 8,043,817) 6,016,779 Total liabilities and stockholders' equity $ 6,676,425 $ 1,846,899 $ 51,947,562 $ ( 8,355,562) $ 52,115,324 Condensed Consolidating Statement of Financial Condition At December 31, 2018 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Assets: Cash and due from banks $ 68,022 $ - $ 394,035 $ ( 68,022) $ 394,035 Money market investments 176,256 15,288 4,170,792 ( 191,288) 4,171,048 Trading account debt securities, at fair value - - 37,787 - 37,787 Debt securities available-for-sale, at fair value - - 13,300,184 - 13,300,184 Debt securities held-to-maturity, at amortized cost 8,726 2,835 90,014 - 101,575 Equity securities 6,693 20 149,012 ( 141) 155,584 Investment in subsidiaries 5,704,119 1,700,082 - ( 7,404,201) - Loans held-for-sale, at lower of cost or fair value - - 51,422 - 51,422 Loans held-in-portfolio 32,678 - 26,625,080 5,955 26,663,713 Less - Unearned income - - 155,824 - 155,824 Allowance for loan losses 155 - 569,193 - 569,348 Total loans held-in-portfolio, net 32,523 - 25,900,063 5,955 25,938,541 Premises and equipment, net 3,394 - 566,414 - 569,808 Other real estate 146 - 136,559 - 136,705 Accrued income receivable 284 116 165,767 ( 145) 166,022 Mortgage servicing assets, at fair value - - 169,777 - 169,777 Other assets 76,073 27,639 1,626,119 ( 15,697) 1,714,134 Goodwill - - 671,123 ( 1) 671,122 Other intangible assets 6,559 - 20,274 - 26,833 Total assets $ 6,082,795 $ 1,745,980 $ 47,449,342 $ ( 7,673,540) $ 47,604,577 Liabilities and Stockholders' Equity Liabilities: Deposits: Non-interest bearing $ - $ - $ 9,217,058 $ ( 68,022) $ 9,149,036 Interest bearing - - 30,752,291 ( 191,288) 30,561,003 Total deposits - - 39,969,349 ( 259,310) 39,710,039 Assets sold under agreements to repurchase - - 281,529 - 281,529 Other short-term borrowings - - 42 - 42 Notes payable 584,851 94,063 577,188 - 1,256,102 Other liabilities 62,799 3,287 871,733 ( 16,011) 921,808 Total liabilities 647,650 97,350 41,699,841 ( 275,321) 42,169,520 Stockholders' equity: Preferred stock 50,160 - - - 50,160 Common stock 1,043 2 56,307 ( 56,309) 1,043 Surplus 4,357,079 4,172,983 5,790,324 ( 9,954,780) 4,365,606 Retained earnings (accumulated deficit) 1,660,258 ( 2,479,503) 327,713 2,143,263 1,651,731 Treasury stock, at cost ( 205,421) - - ( 88) ( 205,509) Accumulated other comprehensive loss, net of tax ( 427,974) ( 44,852) ( 424,843) 469,695 ( 427,974) Total stockholders' equity 5,435,145 1,648,630 5,749,501 ( 7,398,219) 5,435,057 Total liabilities and stockholders' equity $ 6,082,795 $ 1,745,980 $ 47,449,342 $ ( 7,673,540) $ 47,604,577 Condensed Consolidating Statement of Operations Year ended December 31, 2019 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 408,000 $ - $ - $ ( 408,000) $ - Loans 2,231 - 1,800,737 - 1,802,968 Money market investments 3,670 211 89,824 ( 3,882) 89,823 Investment securities 768 186 367,048 - 368,002 Total interest and dividend income 414,669 397 2,257,609 ( 411,882) 2,260,793 Interest expense: Deposits - - 308,740 ( 3,882) 304,858 Short-term borrowings - - 6,100 - 6,100 Long-term debt 38,528 6,229 13,384 - 58,141 Total interest expense 38,528 6,229 328,224 ( 3,882) 369,099 Net interest income (expense) 376,141 ( 5,832) 1,929,385 ( 408,000) 1,891,694 Provision for loan losses 256 - 165,523 - 165,779 Net interest income (expense) after provision for loan losses 375,885 ( 5,832) 1,763,862 ( 408,000) 1,725,915 Service charges on deposit accounts - - 160,933 - 160,933 Other service fees 1 - 288,471 ( 3,266) 285,206 Mortgage banking activities - - 32,093 - 32,093 Net loss on sale of debt securities - - ( 20) - ( 20) Net gain, including impairment on equity securities 988 - 1,555 ( 37) 2,506 Net gain on trading account debt securities - - 994 - 994 Indemnity reserves on loans sold expense - - ( 343) - ( 343) Other operating income (expense) 17,279 ( 984) 72,272 ( 53) 88,514 Total non-interest income (expense) 18,268 ( 984) 555,955 ( 3,356) 569,883 Operating expenses: Personnel costs 63,258 - 527,367 - 590,625 Net occupancy expenses 4,297 - 92,084 ( 42) 96,339 Equipment expenses 3,525 4 80,686 - 84,215 Other taxes 248 1 51,404 - 51,653 Professional fees 21,323 113 363,479 ( 504) 384,411 Communications 616 - 22,834 - 23,450 Business promotion 3,918 - 71,454 - 75,372 FDIC deposit insurance - - 18,179 - 18,179 Other real estate owned (OREO) expenses - - 4,298 - 4,298 Other operating expenses ( 97,201) 56 239,309 ( 2,594) 139,570 Amortization of intangibles 96 - 9,274 - 9,370 Total operating expenses 80 174 1,480,368 ( 3,140) 1,477,482 Income (loss) before income tax and equity in earnings of subsidiaries 394,073 ( 6,990) 839,449 ( 408,216) 818,316 Income tax (benefit) expense - ( 1,468) 148,735 ( 86) 147,181 Income (loss) before equity in earnings of subsidiaries 394,073 ( 5,522) 690,714 ( 408,130) 671,135 Equity in undistributed earnings of subsidiaries 277,062 54,773 - ( 331,835) - Net income $ 671,135 $ 49,251 $ 690,714 $ ( 739,965) $ 671,135 Comprehensive income, net of tax $ 929,171 $ 95,970 $ 950,740 $ ( 1,046,710) $ 929,171 Condensed Consolidating Statement of Operations Year ended December 31, 2018 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 453,200 $ - $ - $ ( 453,200) $ - Loans 2,115 - 1,643,670 ( 49) 1,645,736 Money market investments 5,555 69 111,287 ( 5,623) 111,288 Investment securities 696 279 263,849 - 264,824 Total interest and dividend income 461,566 348 2,018,806 ( 458,872) 2,021,848 Interest expense: Deposits - - 209,888 ( 5,623) 204,265 Short-term borrowings - 49 7,210 ( 49) 7,210 Long-term debt 51,218 9,330 14,948 - 75,496 Total interest expense 51,218 9,379 232,046 ( 5,672) 286,971 Net interest income (expense) 410,348 ( 9,031) 1,786,760 ( 453,200) 1,734,877 Provision (reversal) for loan losses- non-covered loans ( 251) - 226,593 - 226,342 Provision for loan losses- covered loans - - 1,730 - 1,730 Net interest income (expense) after provision (reversal) for loan losses 410,599 ( 9,031) 1,558,437 ( 453,200) 1,506,805 Service charges on deposit accounts - - 150,677 - 150,677 Other service fees - - 260,730 ( 2,710) 258,020 Mortgage banking activities - - 52,802 - 52,802 Net loss, including impairment on equity securities ( 777) - ( 1,268) ( 36) ( 2,081) Net loss on trading account debt securities - - ( 208) - ( 208) Net gain on sale of loans, including valuation adjustments on loans held-for-sale - - 33 - 33 Indemnity reserves on loans sold expense - - ( 12,959) - ( 12,959) FDIC loss-share income - - 94,725 - 94,725 Other operating income 15,751 737 95,037 ( 40) 111,485 Total non-interest income 14,974 737 639,569 ( 2,786) 652,494 Operating expenses: Personnel costs 59,821 - 503,167 - 562,988 Net occupancy expenses 4,055 - 84,274 - 88,329 Equipment expenses 3,433 3 68,352 - 71,788 Other taxes 233 1 46,050 - 46,284 Professional fees 18,159 178 331,978 ( 471) 349,844 Communications 485 - 22,622 - 23,107 Business promotion 2,236 - 63,682 - 65,918 FDIC deposit insurance - - 27,757 - 27,757 Loss on early extinguishment of debt 12,522 - - - 12,522 Other real estate owned (OREO) expenses - - 23,338 - 23,338 Other operating expenses ( 84,807) 80 227,463 ( 2,375) 140,361 Amortization of intangibles 41 - 9,285 - 9,326 Total operating expenses 16,178 262 1,407,968 ( 2,846) 1,421,562 Income (loss) before income tax and equity in earnings of subsidiaries 409,395 ( 8,556) 790,038 ( 453,140) 737,737 Income tax expense - 3,267 116,275 37 119,579 Income (loss) before equity in earnings of subsidiaries 409,395 ( 11,823) 673,763 ( 453,177) 618,158 Equity in undistributed earnings of subsidiaries 208,763 69,027 - ( 277,790) - Net income $ 618,158 $ 57,204 $ 673,763 $ ( 730,967) $ 618,158 Comprehensive income, net of tax $ 540,836 $ 41,838 $ 597,768 $ ( 639,606) $ 540,836 Condensed Consolidating Statement of Operations Year ended December 31, 2017 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 211,500 $ - $ - $ ( 211,500) $ - Loans 1,056 - 1,477,713 ( 4) 1,478,765 Money market investments 2,616 54 51,495 ( 2,670) 51,495 Investment securities 566 322 194,796 - 195,684 Total interest and dividend income 215,738 376 1,724,004 ( 214,174) 1,725,944 Interest Expense: Deposits - - 144,534 ( 2,670) 141,864 Short-term borrowings - - 5,728 ( 4) 5,724 Long-term debt 52,470 10,767 13,155 - 76,392 Total interest expense 52,470 10,767 163,417 ( 2,674) 223,980 Net interest income (expense) 163,268 ( 10,391) 1,560,587 ( 211,500) 1,501,964 Provision for loan losses- non-covered loans 403 - 325,234 ( 5,955) 319,682 Provision for loan losses- covered loans - - 5,742 - 5,742 Net interest income (expense) after provision for loan losses 162,865 ( 10,391) 1,229,611 ( 205,545) 1,176,540 Service charges on deposit accounts - - 153,709 - 153,709 Other service fees - - 220,073 ( 2,806) 217,267 Mortgage banking activities - - 25,496 - 25,496 Net gain on sale of debt securities - - 83 - 83 Other-than-temporary impairment losses on debt securities - - ( 8,299) - ( 8,299) Net gain on equity securities - - 251 - 251 Net profit (loss) on trading account debt securities 266 - ( 1,110) 27 ( 817) Net loss on sale of loans, including valuation adjustments on loans held-for-sale - - ( 420) - ( 420) Indemnity reserves on loans sold expense - - ( 22,377) - ( 22,377) FDIC loss-share expense - - ( 10,066) - ( 10,066) Other operating income 11,847 921 51,598 ( 26) 64,340 Total non-interest income 12,113 921 408,938 ( 2,805) 419,167 Operating expenses: Personnel costs 47,561 - 429,201 - 476,762 Net occupancy expenses 3,876 - 85,318 - 89,194 Equipment expenses 2,925 2 62,215 - 65,142 Other taxes 217 - 43,165 - 43,382 Professional fees 11,766 ( 427) 281,585 ( 436) 292,488 Communications 549 - 21,917 - 22,466 Business promotion 2,014 - 56,431 - 58,445 FDIC deposit insurance - - 26,392 - 26,392 Other real estate owned (OREO) expenses 42 - 48,498 - 48,540 Other operating expenses ( 70,723) 51 197,935 ( 2,256) 125,007 Amortization of intangibles - - 9,378 - 9,378 Total operating expenses ( 1,773) ( 374) 1,262,035 ( 2,692) 1,257,196 Income (loss) before income tax and equity in earnings of subsidiaries 176,751 ( 9,096) 376,514 ( 205,658) 338,511 Income tax (benefit) expense - ( 8,382) 236,944 2,268 230,830 Income (loss) before equity in earnings of subsidiaries 176,751 ( 714) 139,570 ( 207,926) 107,681 Equity in undistributed earnings of subsidiaries ( 69,070) ( 153,944) - 223,014 - Net Income (loss) $ 107,681 $ ( 154,658) $ 139,570 $ 15,088 $ 107,681 Comprehensive income (loss), net of tax $ 77,315 $ ( 162,195) $ 108,663 $ 53,532 $ 77,315 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2019 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income $ 671,135 $ 49,251 $ 690,714 $ ( 739,965) $ 671,135 Adjustments to reconcile net income to net cash (used in) provided by operating activities: Equity in earnings of subsidiaries, net of dividends or distributions ( 277,062) ( 54,773) - 331,835 - Provision for loan losses 256 - 165,523 - 165,779 Amortization of intangibles 96 - 9,274 - 9,370 Depreciation and amortization of premises and equipment 746 - 57,321 - 58,067 Net accretion of discounts and amortization of premiums and deferred fees 1,240 27 ( 159,337) - ( 158,070) Share-based compensation 7,927 - 4,376 - 12,303 Impairment losses on long-lived assets - - 2,591 - 2,591 Fair value adjustments on mortgage servicing rights - - 27,771 - 27,771 Indemnity reserves on loans sold expense - - 343 - 343 (Earnings) losses from investments under the equity method, net of dividends or distributions ( 14,948) 984 ( 14,047) - ( 28,011) Deferred income tax (benefit) expense - ( 1,468) 142,886 ( 86) 141,332 Loss (gain) on: Disposition of premises and equipment and other productive assets 41 - ( 6,707) - ( 6,666) Proceeds from insurance claims - - ( 1,205) - ( 1,205) Sale of debt securities - - 20 - 20 Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 15,888) - ( 15,888) Sale of foreclosed assets, including write-downs - - ( 21,982) - ( 21,982) Acquisitions of loans held-for-sale - - ( 223,939) - ( 223,939) Proceeds from sale of loans held-for-sale - - 71,075 - 71,075 Net originations on loans held-for-sale - - ( 289,430) - ( 289,430) Net decrease (increase) in: Trading debt securities - - 460,969 - 460,969 Equity securities ( 4,051) - ( 3,981) - ( 8,032) Accrued income receivable ( 98) 8 ( 8,383) 104 ( 8,369) Other assets 445 2,571 ( 43,636) 2,773 ( 37,847) Net (decrease) increase in: Interest payable - - ( 180) ( 104) ( 284) Pension and other postretirement benefits obligations - - 778 - 778 Other liabilities 2,508 ( 87) ( 116,270) ( 2,594) ( 116,443) Total adjustments ( 282,900) ( 52,738) 37,942 331,928 34,232 Net cash provided by (used in) operating activities 388,235 ( 3,487) 728,656 ( 408,037) 705,367 Cash flows from investing activities: Net (increase) decrease in money market investments ( 45,000) ( 741) 905,558 45,741 905,558 Purchases of investment securities: Available-for-sale - - ( 18,733,295) - ( 18,733,295) Equity - - ( 16,359) 59 ( 16,300) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 14,650,440 - 14,650,440 Held-to-maturity - - 5,913 - 5,913 Proceeds from sale of investment securities: Available for sale - - 99,445 - 99,445 Equity - - 20,030 - 20,030 Net repayments (disbursements) on loans 677 - ( 641,706) - ( 641,029) Proceeds from sale of loans - - 110,534 - 110,534 Acquisition of loan portfolios - - ( 619,737) - ( 619,737) Payments to acquire other intangible - - ( 10,382) - ( 10,382) Return of capital from equity method investments - 4,228 2,714 - 6,942 Capital contribution to subsidiary ( 9,000) - - 9,000 - Return of capital from wholly-owned subsidiaries 13,000 - - ( 13,000) - Acquisition of premises and equipment ( 1,289) - ( 74,376) - ( 75,665) Proceeds from insurance claims - - 1,205 - 1,205 Proceeds from sale of: Premises and equipment and other productive assets 3 - 18,605 - 18,608 Foreclosed assets - - 107,881 - 107,881 Net cash (used in) provided by investing activities ( 41,609) 3,487 ( 4,173,530) 41,800 ( 4,169,852) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,077,682 ( 33,727) 4,043,955 Assets sold under agreements to repurchase - - ( 88,151) - ( 88,151) Other short-term borrowings - - ( 41) - ( 41) Payments of notes payable - - ( 210,377) - ( 210,377) Principal payments of finance leases - - ( 1,726) - ( 1,726) Proceeds from issuance of notes payable - - 75,000 - 75,000 Proceeds from issuance of common stock 13,451 - ( 4,732) - 8,719 Dividends paid to parent company - - ( 408,000) 408,000 - Dividends paid ( 115,810) - - - ( 115,810) Net payments for repurchase of common stock ( 250,571) - 12 ( 22) ( 250,581) Return of capital to parent company - - ( 13,000) 13,000 - Capital contribution from parent - - 9,000 ( 9,000) - Payments related to tax withholding for share-based compensation ( 5,420) - ( 11) - ( 5,431) Net cash (used in) provided by financing activities ( 358,350) - 3,435,656 378,251 3,455,557 Net decrease in cash and due from banks, and restricted cash ( 11,724) - ( 9,218) 12,014 ( 8,928) Cash and due from banks, and restricted cash at beginning of period 68,278 - 402,995 ( 68,022) 403,251 Cash and due from banks, and restricted cash at end of period $ 56,554 $ - $ 393,777 $ ( 56,008) $ 394,323 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2018 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income $ 618,158 $ 57,204 $ 673,763 $ ( 730,967) $ 618,158 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in earnings of subsidiaries, net of dividends or distributions ( 208,763) ( 69,027) - 277,790 - Provision (reversal) for loan losses ( 251) - 228,323 - 228,072 Amortization of intangibles 41 - 9,285 - 9,326 Depreciation and amortization of premises and equipment 743 - 52,557 - 53,300 Net accretion of discounts and amortization of premiums and deferred fees 2,022 27 ( 89,203) - ( 87,154) Share-based compensation 7,441 - 3,080 - 10,521 Impairment losses on long-lived assets - - 272 - 272 Fair value adjustments on mortgage servicing rights - - 8,477 - 8,477 FDIC loss-share income - - ( 94,725) - ( 94,725) Adjustments to indemnity reserves on loans sold - - 12,959 - 12,959 Earnings from investments under the equity method, net of dividends or distributions ( 14,333) ( 737) ( 9,147) - ( 24,217) Deferred income tax expense (benefit) - 1,531 ( 13,888) 37 ( 12,320) Loss (gain) on: Disposition of premises and equipment and other productive assets 22 - 15,962 - 15,984 Proceeds from insurance claims - - ( 20,147) - ( 20,147) Early extinguishment of debt 12,522 - - - 12,522 Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 9,681) - ( 9,681) Sale of foreclosed assets, including write-downs - - 6,833 - 6,833 Acquisitions of loans held-for-sale - - ( 232,264) - ( 232,264) Proceeds from sale of loans held-for-sale - - 66,687 - 66,687 Net originations on loans held-for-sale - - ( 254,582) - ( 254,582) Net decrease (increase) in: Trading debt securities - - 458,548 ( 101) 458,447 Equity securities ( 1,583) - ( 39) - ( 1,622) Accrued income receivable 85 ( 4) 49,273 ( 66) 49,288 Other assets ( 506) ( 83) 264,482 948 264,841 Net (decrease) increase in: Interest payable ( 10,288) ( 1,891) 2,327 66 ( 9,786) Pension and other postretirement benefits obligations - - 4,558 - 4,558 Other liabilities 8,059 ( 99) ( 233,160) ( 1,044) ( 226,244) Total adjustments ( 204,789) ( 70,283) 226,787 277,630 229,345 Net cash provided by (used in) operating activities 413,369 ( 13,079) 900,550 ( 453,337) 847,503 Cash flows from investing activities: Net decrease (increase) in money market investments 70,000 ( 12,481) 1,083,515 ( 57,519) 1,083,515 Purchases of investment securities: Available-for-sale - - ( 10,050,165) - ( 10,050,165) Equity - - ( 13,208) 140 ( 13,068) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 6,946,209 - 6,946,209 Held-to-maturity - 1,637 5,643 - 7,280 Proceeds from sale of investment securities: Equity - - 24,209 - 24,209 Net repayments (disbursements) on loans 536 - ( 7,201) - ( 6,665) Proceeds from sale of loans - - 29,669 - 29,669 Acquisition of loan portfolios - - ( 601,550) - ( 601,550) Net payments (to) from FDIC under loss-sharing agreements - - ( 25,012) - ( 25,012) Payments to acquire businesses, net of cash acquired - - ( 1,843,333) - ( 1,843,333) Return of capital from equity method investments - 5,963 ( 1,873) - 4,090 Capital contribution to subsidiary ( 87,000) - - 87,000 - Return of capital from wholly-owned subsidiaries 13,000 - - ( 13,000) - Acquisition of premises and equipment ( 1,099) - ( 79,450) - ( 80,549) Proceeds from insurance claims - - 20,147 - 20,147 Proceeds from sale of: Premises and equipment and other productive assets 293 - 8,892 - 9,185 Foreclosed assets - - 105,371 - 105,371 Net cash used in investing activities ( 4,270) ( 4,881) ( 4,398,137) 16,621 ( 4,390,667) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,221,975 37,676 4,259,651 Assets sold under agreements to repurchase - - ( 109,391) - ( 109,391) Other short-term borrowings - - ( 96,167) - ( 96,167) Payments of notes payable ( 448,518) ( 54,502) ( 252,946) - ( 755,966) Payments of debt extinguishment ( 12,522) - - - ( 12,522) Proceeds from issuance of notes payable 293,819 - 180,000 - 473,819 Proceeds from issuance of common stock 11,653 - ( 4,385) - 7,268 Dividends paid to parent company - - ( 453,200) 453,200 - Dividends paid ( 105,441) - - - ( 105,441) Net payments for repurchase of common stock ( 125,731) - 471 ( 4) ( 125,264) Return of capital to parent company - - ( 13,000) 13,000 - Capital contribution from parent - 72,000 15,000 ( 87,000) - Payments related to tax withholding for share-based compensation ( 2,201) - - - ( 2,201) Net cash (used in) provided by financing activities ( 388,941) 17,498 3,488,357 416,872 3,533,786 Net increase (decrease) in cash and due from banks, and restricted cash 20,158 ( 462) ( 9,230) ( 19,844) ( 9,378) Cash and due from banks, and restricted cash at beginning of period 48,120 462 412,225 ( 48,178) 412,629 Cash and due from banks, and restricted cash at end of period $ 68,278 $ - $ 402,995 $ ( 68,022) $ 403,251 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2017 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income (loss) $ 107,681 $ ( 154,658) $ 139,570 $ 15,088 $ 107,681 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in earnings of subsidiaries, net of dividends or distributions 69,070 153,944 - ( 223,014) - Provision for loan losses 403 - 325,021 - 325,424 Amortization of intangibles - - 9,378 - 9,378 Depreciation and amortization of premises and equipment 649 - 47,715 - 48,364 Net accretion of discounts and amortization of premiums and deferred fees 2,086 27 ( 24,423) - ( 22,310) Impairment losses on long-lived assets - - 4,784 - 4,784 Other-than-temporary impairment on debt securities - - 8,299 - 8,299 Fair value adjustments on mortgage servicing rights - - 36,519 - 36,519 FDIC loss-share expense - - 10,066 - 10,066 Adjustments to indemnity reserves on loans sold - - 22,377 - 22,377 Earnings from investments under the equity method, net of dividends or distributions ( 7,765) ( 921) ( 9,561) - ( 18,247) Deferred income tax (benefit) expense - ( 8,382) 215,864 ( 54) 207,428 (Gain) loss on: Disposition of premises and equipment and other productive assets ( 8) - 4,289 - 4,281 Sale and valuation adjustments of debt securities - - ( 83) - ( 83) Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 16,670) - ( 16,670) Sale of foreclosed assets, including write-downs 42 - 21,673 - 21,715 Acquisitions of loans held-for-sale - - ( 244,385) - ( 244,385) Proceeds from sale of loans held-for-sale - - 69,464 - 69,464 Net originations on loans held-for-sale - - ( 315,522) - ( 315,522) Net decrease (increase) in: Trading debt securities - - 503,108 - 503,108 Equity securities ( 1,346) - 108 ( 31) ( 1,269) Accrued income receivable ( 748) 26 ( 75,201) 121 ( 75,802) Other assets 8,761 - ( 76,727) 2,122 ( 65,844) Net increase (decrease) in: Interest payable - - 2,670 ( 121) 2,549 Pension and other postretirement benefits obligations - - ( 13,100) - ( 13,100) Other liabilities 3,230 ( 758) 25,466 341 28,279 Total adjustments 74,374 143,936 531,129 ( 220,636) 528,803 Net cash provided by (used in) operating activities 182,055 ( 10,722) 670,699 ( 205,548) 636,484 Cash flows from investing activities: Net decrease (increase) in money market investments 6,000 10,455 ( 2,365,132) ( 18,255) ( 2,366,932) Purchases of investment securities: Available-for-sale - - ( 4,139,650) - ( 4,139,650) Equity - - ( 29,672) - ( 29,672) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 2,023,295 - 2,023,295 Held-to-maturity - - 6,232 - 6,232 Proceeds from sale of investment securities: Available-for-sale - - 14,423 - 14,423 Equity - - 30,250 - 30,250 Net repayments (disbursements) on loans 181 - ( 398,857) - ( 398,676) Proceeds from sale of loans - - 38,279 ( 37,864) 415 Acquisition of loan portfolios ( 31,909) - ( 541,489) 37,864 ( 535,534) Acquisition of trademark ( 5,560) - 5,560 - - Net payments (to) from FDIC under loss-sharing agreements - - ( 7,679) - ( 7,679) Return of capital from equity method investments - 138 8,056 - 8,194 Capital contribution to subsidiary ( 5,955) - 5,955 - - Return of capital from wholly-owned subsidiaries 22,400 10,400 - ( 32,800) - Acquisition of premises and equipment ( 965) - ( 61,732) - ( 62,697) Proceeds from sale of: Premises and equipment and other productive assets 23 - 9,730 - 9,753 Foreclosed assets 38 - 96,502 - 96,540 Net cash (used in) provided by investing activities ( 15,747) 20,993 ( 5,305,929) ( 51,055) ( 5,351,738) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,935,948 18,157 4,954,105 Assets sold under agreements to repurchase - - ( 88,505) - ( 88,505) Other short-term borrowings - - 95,008 - 95,008 Payments of notes payable - - ( 95,607) - ( 95,607) Proceeds from issuance of notes payable - - 55,000 - 55,000 Proceeds from issuance of common stock 7,016 - - - 7,016 Dividends paid to parent company - - ( 211,500) 211,500 - Dividends paid ( 95,910) - - - ( 95,910) Net payments for repurchase of common stock ( 75,668) - - 4 ( 75,664) Return of capital to parent company - ( 10,400) ( 22,400) 32,800 - Capital contribution from parent - - 5,955 ( 5,955) - Payments related to tax withholding for share-based compensation ( 1,756) - - - ( 1,756) Net cash (used in) provided by financing activities ( 166,318) ( 10,400) 4,673,899 256,506 4,753,687 Net (decrease) increase in cash and due from banks, and restricted cash ( 10) ( 129) 38,669 ( 97) 38,433 Cash and due from banks, and restricted cash at beginning of period 48,130 591 373,556 ( 48,081) 374,196 Cash and due from banks, and restricted cash at end of period $ 48,120 $ 462 $ 412,225 $ ( 48,178) $ 412,629 |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Text Block | |
Subsequent Events | Note 43 ─ Subsequent events On January 30, 2020, the Corporation entered into an accelerated share repurchase transaction of $ 500 million with respect to its common stock, which was accounted for as a treasury stock transaction. Accordingly, as a result of the receipt of the initial shares, the Corporation recognized in shareholders’ equity approximately $ 400 million in treasury stock and $ 100 million as a reduction of capital surplus. The Corporation expects to further adjust its treasury stock and capital surplus accounts to reflect the delivery or receipt of cash or shares upon the termination of the ASR agreement, which will depend on the average price of the Corporation’s shares during the term of the ASR, less a discount. The final settlement of the ASR is expected to occur no later than the fourth quarter of 2020. On February 24, 2020, the Corporation redeemed all outstanding shares of its 8.25% Non-Cumulative Monthly Income Preferred Stock, Series B. The redemption price of the Series B Preferred Stock was $ 25.00 per share, plus $ 0.1375 in accrued and unpaid dividends on each share, for a total payment per share in the amount of $ 25.1375. |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies | |
Consolidation | Principles of consolidation The consolidated financial statements include the accounts of Popular, Inc. and its subsidiaries. Intercompany accounts and transactions have been eliminated in consolidation. In accordance with the consolidation guidance for variable interest entities, the Corporation would also consolidate any variable interest entities (“VIEs”) for which it has a controlling financial interest; and therefore, it is the primary beneficiary. Assets held in a fiduciary capacity are not assets of the Corporation and, accordingly, are not included in the Consolidated Statements of Financial Condition. Unconsolidated investments, in which there is at least 20% ownership and the Corporation exercises significant influence, are generally accounted for by the equity method with earnings recorded in other operating income. These investments are included in other assets and the Corporation’s proportionate share of income or loss is included in other operating income. Those investments in which there is less than 20% ownership, are generally carried under the cost method of accounting, unless significant influence is exercised. Under the cost method, the Corporation recognizes income when dividends are received. Limited partnerships are accounted for by the equity method unless the investor’s interest is so “minor” that the limited partner may have virtually no influence over partnership operating and financial policies. Statutory business trusts that are wholly-owned by the Corporation and are issuers of trust preferred securities are not consolidated in the Corporation’s Consolidated Financial Statements. |
Business combinations | Business combinations Business combinations are accounted for under the acquisition method. Under this method, assets acquired, liabilities assumed and any noncontrolling interest in the acquiree at the acquisition date are measured at their fair values as of the acquisition date. The acquisition date is the date the acquirer obtains control. Also, assets or liabilities arising from noncontractual contingencies are measured at their acquisition date at fair value only if it is more likely than not that they meet the definition of an asset or liability. Acquisition-related restructuring costs that do not meet certain criteria of exit or disposal activities are expensed as incurred. Transaction costs are expensed as incurred. Changes in income tax valuation allowances for acquired deferred tax assets are recognized in earnings subsequent to the measurement period as an adjustment to income tax expense. Contingent consideration classified as an asset or a liability is remeasured to fair value at each reporting date until the contingency is resolved. The changes in fair value of the contingent consideration are recognized in earnings unless the arrangement is a hedging instrument for which changes are initially recognized in other comprehensive income. On August 1, 2018, Popular, Inc., through its subsidiary Popular Auto, LLC, acquired and assumed from Reliable Financial Services, Inc. and Reliable Finance Holding Co. (“Reliable”), subsidiaries of Wells Fargo & Company, certain assets and liabilities related to their auto finance business in Puerto Rico (the “Reliable Transaction” or “Transaction”). The Corporation determined that this acquisition constituted a business combination as defined by the Financial Accounting Standards Board (“FASB”) Codification (“ASC”) Topic 805 “Business Combinations”. Refer to Note 4, Business combination, for further details on the Reliable Transaction. There were no significant business combinations during 2019. |
Use of estimates | Use of 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 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. |
Fair value measurements | Fair value measurements The Corporation determines the fair values of its financial instruments based on the fair value framework established in the guidance for Fair Value Measurements in ASC Subtopic 820-10, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The standard describes three levels of inputs that may be used to measure fair value which are (1) quoted market prices for identical assets or liabilities in active markets, (2) observable market-based inputs or unobservable inputs that are corroborated by market data, and (3) unobservable inputs that are not corroborated by market data. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. The guidance in ASC Subtopic 820-10 also addresses measuring fair value in situations where markets are inactive and transactions are not orderly. Transactions or quoted prices for assets and liabilities may not be determinative of fair value when transactions are not orderly, and thus, may require adjustments to estimate fair value. Price quotes based on transactions that are not orderly should be given little, if any, weight in measuring fair value. Price quotes based on transactions that are orderly shall be considered in determining fair value, and the weight given is based on facts and circumstances. If sufficient information is not available to determine if price quotes are based on orderly transactions, less weight should be given to the price quote relative to other transactions that are known to be orderly. |
Investments securities | Investment securities Investment securities are classified in four categories and accounted for as follows: Debt securities that the Corporation has the intent and ability to hold to maturity are classified as debt securities held-to-maturity and reported at amortized cost. The Corporation may not sell or transfer held-to-maturity securities without calling into question its intent to hold other debt securities to maturity, unless a nonrecurring or unusual event that could not have been reasonably anticipated has occurred. An investment in debt securities is considered impaired if the fair value of the investment is less than its amortized cost. For other-than-temporary impairments, the Corporation assesses if it has both the intent and the ability to hold the security for a period of time sufficient to allow for an anticipated recovery in its fair value to its amortized cost. An other-than-temporary impairment not related to a credit loss (defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis) for a held-to-maturity security is recognized in accumulated other comprehensive loss and amortized over the remaining life of the debt security. The amortized cost basis for a debt security is adjusted by the credit loss amount of other-than-temporary impairments. Debt securities classified as trading securities are reported at fair value, with unrealized gains and losses included in non-interest income. Debt securities not classified as either held-to-maturity or trading, and which have a readily available fair value, are classified as debt securities available-for-sale and reported at fair value, with unrealized gains and losses excluded from earnings and reported, net of taxes, in accumulated other comprehensive income or loss. The specific identification method is used to determine realized gains and losses on debt securities available-for-sale, which are included in net (loss) gain on sale of debt securities in the Consolidated Statements of Operations. Declines in the value of debt securities that are considered other-than-temporary reduce the value of the asset, and the estimated loss is recorded in non-interest income. For debt securities, the Corporation assesses whether (a) it has the intent to sell the debt security, or (b) it is more likely than not that it will be required to sell the debt security before its anticipated recovery. If either of these conditions is met, an other-than-temporary impairment on the security is recognized. In instances in which a determination is made that a credit loss (defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis) exists but the entity does not intend to sell the debt security and it is not more likely than not that the entity will be required to sell the debt security before the anticipated recovery of its remaining amortized cost basis (i.e., the amortized cost basis less any current-period credit loss), the impairment is separated into (a) the amount of the total impairment related to the credit loss, and (b) the amount of the total impairment related to all other factors. The amount of the total impairment related to the credit loss is recognized in the Consolidated Statements of Operations. The amount of the total impairment related to all other factors is recognized in other comprehensive loss. The other-than-temporary impairment analyses for debt securities are performed on a quarterly basis. Equity securities that have readily available fair values are reported at fair value. Equity securities that do not have readily available fair values are measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. Stock that is owned by the Corporation to comply with regulatory requirements, such as Federal Reserve Bank and Federal Home Loan Bank (“FHLB”) stock, is included in this category, and their realizable value equals their cost. Unrealized gains and losses of equity securities are included in net gain (loss), including impairment on equity securities in the Consolidated Statements of Operations. The amortization of premiums is deducted and the accretion of discounts is added to net interest income based on the interest method over the outstanding period of the related securities. Purchases and sales of securities are recognized on a trade date basis. |
Derivatives financial instruments | Derivative financial instruments All derivatives are recognized on the Statements of Financial Condition at fair value. The Corporation’s policy is not to offset the fair value amounts recognized for multiple derivative instruments executed with the same counterparty under a master netting arrangement nor to offset the fair value amounts recognized for the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) arising from the same master netting arrangement as the derivative instruments. For a cash flow hedge, changes in the fair value of the derivative instrument, to the extent that it is effective, are recorded net of taxes in accumulated other comprehensive income/(loss) and subsequently reclassified to net income (loss) in the same period(s) that the hedged transaction impacts earnings. The ineffective portion of cash flow hedges is immediately recognized in current earnings. For free-standing derivative instruments, changes in fair values are reported in current period earnings. Prior to entering a hedge transaction, the Corporation formally documents the relationship between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes linking all derivative instruments to specific assets and liabilities on the Statements of Financial Condition or to specific forecasted transactions or firm commitments along with a formal assessment, at both inception of the hedge and on an ongoing basis, as to the effectiveness of the derivative instrument in offsetting changes in fair values or cash flows of the hedged item. Hedge accounting is discontinued when the derivative instrument is not highly effective as a hedge, a derivative expires, is sold, terminated, when it is unlikely that a forecasted transaction will occur or when it is determined that it is no longer appropriate. When hedge accounting is discontinued the derivative continues to be carried at fair value with changes in fair value included in earnings. For non-exchange traded contracts, fair value is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. The fair value of derivative instruments considers the risk of non-performance by the counterparty or the Corporation, as applicable. The Corporation obtains or pledges collateral in connection with its derivative activities when applicable under the agreement |
Hedging Derivatives | For a cash flow hedge, changes in the fair value of the derivative instrument, to the extent that it is effective, are recorded net of taxes in accumulated other comprehensive income/(loss) and subsequently reclassified to net income (loss) in the same period(s) that the hedged transaction impacts earnings. The ineffective portion of cash flow hedges is immediately recognized in current earnings. For free-standing derivative instruments, changes in fair values are reported in current period earnings. Prior to entering a hedge transaction, the Corporation formally documents the relationship between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes linking all derivative instruments to specific assets and liabilities on the Statements of Financial Condition or to specific forecasted transactions or firm commitments along with a formal assessment, at both inception of the hedge and on an ongoing basis, as to the effectiveness of the derivative instrument in offsetting changes in fair values or cash flows of the hedged item. Hedge accounting is discontinued when the derivative instrument is not highly effective as a hedge, a derivative expires, is sold, terminated, when it is unlikely that a forecasted transaction will occur or when it is determined that it is no longer appropriate. When hedge accounting is discontinued the derivative continues to be carried at fair value with changes in fair value included in earnings. |
Loans | Loans Loans are classified as loans held-in-portfolio when management has the intent and ability to hold the loan for the foreseeable future, or until maturity or payoff. The foreseeable future is a management judgment which is determined based upon the type of loan, business strategies, current market conditions, balance sheet management and liquidity needs. Management’s view of the foreseeable future may change based on changes in these conditions. When a decision is made to sell or securitize a loan that was not originated or initially acquired with the intent to sell or securitize, the loan is reclassified from held-in-portfolio into held-for-sale. Due to changing market conditions or other strategic initiatives, management’s intent with respect to the disposition of the loan may change, and accordingly, loans previously classified as held-for-sale may be reclassified into held-in-portfolio. Loans transferred between loans held-for-sale and held-in-portfolio classifications are recorded at the lower of cost or fair value at the date of transfer. Purchased loans are accounted at fair value upon acquisition. Credit discounts are included in the determination of fair value; therefore, an allowance for loan losses is not recorded at the acquisition date. Loans held-for-sale are stated at the lower of cost or fair value, cost being determined based on the outstanding loan balance less unearned income, and fair value determined, generally in the aggregate. Fair value is measured based on current market prices for similar loans, outstanding investor commitments, prices of recent sales or discounted cash flow analyses which utilize inputs and assumptions which are believed to be consistent with market participants’ views. The cost basis also includes consideration of deferred origination fees and costs, which are recognized in earnings at the time of sale. Upon reclassification to held-for-sale, credit related fair value adjustments are recorded as a reduction in the allowance for loan losses (“ALLL”). To the extent that the loan's reduction in value has not already been provided for in the allowance for loan losses, an additional loan loss provision is recorded. Subsequent to reclassification to held-for-sale, the amount, by which cost exceeds fair value, if any, is accounted for as a valuation allowance with changes therein included in the determination of net income (loss) for the period in which the change occurs. Loans held-in-portfolio are reported at their outstanding principal balances net of any unearned income, charge-offs, unamortized deferred fees and costs on originated loans, and premiums or discounts on purchased loans. Fees collected and costs incurred in the origination of new loans are deferred and amortized using the interest method or a method which approximates the interest method over the term of the loan as an adjustment to interest yield. The past due status of a loan is determined in accordance with its contractual repayment terms. Furthermore, loans are reported as past due when either interest or principal remains unpaid for 30 days or more in accordance with its contractual repayment terms. Non-accrual loans are those loans on which the accrual of interest is discontinued. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is charged against income and the loan is accounted for either on a cash-basis method or on the cost-recovery method. Loans designated as non-accruing are returned to accrual status when the Corporation expects repayment of the remaining contractual principal and interest. Recognition of interest income on commercial and construction loans is discontinued when the loans are 90 days or more in arrears on payments of principal or interest or when other factors indicate that the collection of principal and interest is doubtful. The impaired portion of secured loan past due as to principal and interest is charged-off not later than 365 days past due. However, in the case of a collateral dependent loan individually evaluated for impairment, the excess of the recorded investment over the fair value of the collateral (portion deemed uncollectible) is generally promptly charged-off, but in any event, not later than the quarter following the quarter in which such excess was first recognized. Commercial unsecured loans are charged-off no later than 180 days past due. Recognition of interest income on mortgage loans is generally discontinued when loans are 90 days or more in arrears on payments of principal or interest. The impaired portion of a mortgage loan is charged-off when the loan is 180 days past due. The Corporation discontinues the recognition of interest on residential mortgage loans insured by the Federal Housing Administration (“FHA”) or guaranteed by the U.S. Department of Veterans Affairs (“VA”) when 15-months delinquent as to principal or interest. The principal repayment on these loans is insured. Recognition of interest income on closed-end consumer loans and home equity lines of credit is discontinued when the loans are 90 days or more in arrears on payments of principal or interest. Income is generally recognized on open-end consumer loans, except for home equity lines of credit, until the loans are charged-off. Recognition of interest income for lease financing is ceased when loans are 90 days or more in arrears. Closed-end consumer loans and leases are charged-off when they are 120 days in arrears. Open-end (revolving credit) consumer loans are charged-off when 180 days in arrears. Commercial and consumer overdrafts are generally charged-off no later than 60 days past their due date. A loan classified as a troubled debt restructuring (“TDR”) is typically in non-accrual status at the time of the modification. The TDR loan continues in non-accrual status until the borrower has demonstrated a willingness and ability to make the restructured loan payments (at least six months of sustained performance after the modification (or one year for loans providing for quarterly or semi-annual payments)) and management has concluded that it is probable that the borrower would not be in payment default in the foreseeable future. |
Lease financing | Lease financing The Corporation leases passenger and commercial vehicles and equipment to individual and corporate customers. The finance method of accounting is used to recognize revenue on lease contracts that meet the criteria specified in the guidance for leases in ASC Topic 842. Aggregate rentals due over the term of the leases less unearned income are included in finance lease contracts receivable. Unearned income is amortized using a method which results in approximate level rates of return on the principal amounts outstanding. Finance lease origination fees and costs are deferred and amortized over the average life of the lease as an adjustment to the interest yield. Revenue for other leases is recognized as it becomes due under the terms of the agreement. |
Loans acquired in an FDIC-assisted transactions | Loans acquired with deteriorated credit quality accounted for under ASC 310-30 Loans accounted for under ASC Subtopic 310-30 represent loans showing evidence of credit deterioration and that it is probable, at the date of acquisition, that the Corporation would not collect all contractually required principal and interest payments. Generally, acquired loans that meet the definition for nonaccrual status fall within the Corporation’s definition of impaired loans under ASC Subtopic 310-30. Also, for acquisitions that include a significant amount of impaired loans, an election can be made for non-impaired loans included in such transactions to apply the accretable yield method (expected cash flow model of ASC Subtopic 310-30), by analogy, to those loans. Those loans are disclosed as a loan that was acquired with credit deterioration and impairment. Under ASC Subtopic 310-30, impaired loans are aggregated into pools based on loans that have common risk characteristics. Each loan pool is accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Characteristics considered in pooling loans include loan type, interest rate type, accruing status, amortization type, rate index and source type. Once the pools are defined, the Corporation maintains the integrity of the pool of multiple loans accounted for as a single asset. Under ASC Subtopic 310-30, the difference between the undiscounted cash flows expected at acquisition and the fair value in the loans, or the “accretable yield,” is recognized as interest income using the effective yield method over the estimated life of the loan if the timing and amount of the future cash flows of the pool is reasonably estimable. Therefore, these loans are not considered non- performing. The non-accretable difference represents the difference between contractually required principal and interest and the cash flows expected to be collected. Subsequent to the acquisition date, increases in cash flows over those expected at the acquisition date are recognized as a reduction of any allowance for loan losses established after the acquisition and then as an increase in the accretable yield for the loans prospectively. Decreases in expected cash flows after the acquisition date are recognized by recording an allowance for loan losses. Loans charged-off against the non-accretable difference established in purchase accounting are not reported as charge-offs. Charge-offs on loans accounted under ASC Subtopic 310-30 are recorded only to the extent that losses exceed the non-accretable difference established with purchase accounting. Refer to Note 8 to the Consolidated Financial Statements for additional information with respect to loans acquired with deteriorated credit quality under ASC 310-30. |
Allowance for loan losses | Allowance for loan losses The Corporation follows a systematic methodology to establish and evaluate the adequacy of the allowance for loan losses to provide for inherent losses in the loan portfolio. This methodology includes the consideration of factors such as current economic conditions, portfolio risk characteristics, prior loss experience and results of periodic credit reviews of individual loans. The provision for loan losses charged to current operations is based on this methodology. Loan losses are charged and recoveries are credited to the allowance for loan losses. The Corporation’s assessment of the allowance for loan losses is determined in accordance with the guidance of loss contingencies in ASC Subtopic 450-20 and loan impairment guidance in ASC Section 310-10-35. Also, the Corporation determines the allowance for loan losses on purchased impaired loans and purchased loans accounted for under ASC Subtopic 310-30, by evaluating decreases in expected cash flows after the acquisition date. For a detailed description of the principal factors used to determine the general reserves of the allowance for loan losses and for the principal enhancements Management made to its methodology, refer to Note 9 to the Consolidated Financial Statements. According to the loan impairment accounting guidance in ASC Section 310-10-35, a loan is impaired when, based on current information and events, it is probable that the principal and/or interest are not going to be collected according to the original contractual terms of the loan agreement. Current information and events include “environmental” factors, e.g. existing industry, geographical, economic and political factors. Probable means the future event or events which will confirm the loss or impairment of the loan is likely to occur. The Corporation defines commercial and construction impaired loans as borrowers with total debt greater than or equal to $1 million with 90 days or more past due, as well as all loans whose terms have been modified in a troubled debt restructuring (“TDRs”). In addition, larger commercial and construction loans ($1 million and over) that exhibit probable or observed credit weaknesses are subject to individual review and thus evaluated for impairment. Commercial and construction loans that originally met the Corporation’s threshold for impairment identification in a prior period, but due to charge-offs or payments are currently below the $1 million threshold and are still 90 days past due, except for TDRs, are accounted for under the Corporation’s general reserve methodology. Although the accounting codification guidance for specific impairment of a loan excludes large groups of smaller balance homogeneous loans that are collectively evaluated for impairment (e.g. mortgage and consumer loans), it specifically requires that loan modifications considered troubled debt restructurings (“TDRs”) be analyzed under its provisions. An allowance for loan impairment is recognized to the extent that the carrying value of an impaired loan exceeds the present value of the expected future cash flows discounted at the loan’s effective rate, the observable market price of the loan, if available, or the fair value of the collateral if the loan is collateral dependent. The fair value of the collateral is generally based on appraisals. Appraisals may be adjusted due to their age, and the type, location, and condition of the property or area or general market conditions to reflect the expected change in value between the effective date of the appraisal and the impairment measurement date. The Corporation requests updated appraisal reports from pre-approved appraisers for loans that are considered impaired following the Corporation’s reappraisals policy. This policy requires updated appraisals for loans secured by real estate (including construction loans) either annually or every two years depending on the total exposure of the borrower. As a general procedure, the Corporation internally reviews appraisals as part of the underwriting and approval process and also for credits considered impaired. |
Troubled debt restructuring | Troubled debt restructurings A restructuring constitutes a TDR when the Corporation separately concludes that both of the following conditions exist: 1) the restructuring constitute a concession and 2) the debtor is experiencing financial difficulties. The concessions stem from an agreement between the Corporation and the debtor or are imposed by law or a court. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. A concession has been granted when, as a result of the restructuring, the Corporation does not expect to collect all amounts due, including interest accrued at the original contract rate. If the payment of principal is dependent on the value of collateral, the current value of the collateral is taken into consideration in determining the amount of principal to be collected; therefore, all factors that changed are considered to determine if a concession was granted, including the change in the fair value of the underlying collateral that may be used to repay the loan. Classification of loan modifications as TDRs involves a degree of judgment. Indicators that the debtor is experiencing financial difficulties which are considered include: (i) the borrower is currently in default on any of its debt or it is probable that the borrower would be in payment default on any of its debt in the foreseeable future without the modification; (ii) the borrower has declared or is in the process of declaring bankruptcy; (iii) there is significant doubt as to whether the borrower will continue to be a going concern; (iv) the borrower has securities that have been delisted, are in the process of being delisted, or are under threat of being delisted from an exchange; (v) based on estimates and projections that only encompass the borrower’s current business capabilities, it is forecasted that the entity-specific cash flows will be insufficient to service the debt (both interest and principal) in accordance with the contractual terms of the existing agreement through maturity; and (vi) absent the current modification, the borrower cannot obtain funds from sources other than the existing creditors at an effective interest rate equal to the current market interest rate for similar debt for a non-troubled debtor. The identification of TDRs is critical in the determination of the adequacy of the allowance for loan losses. Loans classified as TDRs may be excluded from TDR status if performance under the restructured terms exists for a reasonable period (at least twelve months of sustained performance) and the loan yields a market rate. A loan may be restructured in a troubled debt restructuring into two (or more) loan agreements, for example, Note A and Note B. Note A represents the portion of the original loan principal amount that is expected to be fully collected along with contractual interest. Note B represents the portion of the original loan that may be considered uncollectible and charged-off, but the obligation is not forgiven to the borrower. Note A may be returned to accrual status provided all of the conditions for a TDR to be returned to accrual status are met. The modified loans are considered TDRs and thus, are evaluated under the framework of ASC Section 310-10-35 as long as the loans are not part of a pool of loans accounted for under ASC Subtopic 310-30. Refer to Note 9 to the Consolidated Financial Statements for additional qualitative information on TDRs and the Corporation’s determination of the allowance for loan losses. |
Reserve for unfunded commitments | Reserve for unfunded commitments The reserve for unfunded commitments is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to unfunded credit facilities and is included in other liabilities in the Consolidated Statements of Financial Condition. The determination of the adequacy of the reserve is based upon an evaluation of the unfunded credit facilities. Net adjustments to the reserve for unfunded commitments are included in other operating expenses in the Consolidated Statements of Operations. |
Transfers and servicing of financial assets | Transfers and servicing of financial assets The transfer of an entire financial asset, a group of entire financial assets, or a participating interest in an entire financial asset in which the Corporation surrenders control over the assets is accounted for as a sale if all of the following conditions set forth in ASC Topic 860 are met: (1) the assets must be isolated from creditors of the transferor, (2) the transferee must obtain the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the transferor cannot maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. When the Corporation transfers financial assets and the transfer fails any one of these criteria, the Corporation is prevented from derecognizing the transferred financial assets and the transaction is accounted for as a secured borrowing. For federal and Puerto Rico income tax purposes, the Corporation treats the transfers of loans which do not qualify as “true sales” under the applicable accounting guidance, as sales, recognizing a deferred tax asset or liability on the transaction. For transfers of financial assets that satisfy the conditions to be accounted for as sales, the Corporation derecognizes all assets sold; recognizes all assets obtained and liabilities incurred in consideration as proceeds of the sale, including servicing assets and servicing liabilities, if applicable; initially measures at fair value assets obtained and liabilities incurred in a sale; and recognizes in earnings any gain or loss on the sale. The guidance on transfer of financial assets requires a true sale analysis of the treatment of the transfer under state law as if the Corporation was a debtor under the bankruptcy code. A true sale legal analysis includes several legally relevant factors, such as the nature and level of recourse to the transferor, and the nature of retained interests in the loans sold. The analytical conclusion as to a true sale is never absolute and unconditional, but contains qualifications based on the inherent equitable powers of a bankruptcy court, as well as the unsettled state of the common law. Once the legal isolation test has been met, other factors concerning the nature and extent of the transferor’s control over the transferred assets are taken into account in order to determine whether derecognition of assets is warranted. The Corporation sells mortgage loans to the Government National Mortgage Association (“GNMA”) in the normal course of business and retains the servicing rights. The GNMA programs under which the loans are sold allow the Corporation to repurchase individual delinquent loans that meet certain criteria. At the Corporation’s option, and without GNMA’s prior authorization, the Corporation may repurchase the delinquent loan for an amount equal to 100% of the remaining principal balance of the loan. Once the Corporation has the unconditional ability to repurchase the delinquent loan, the Corporation is deemed to have regained effective control over the loan and recognizes the loan on its balance sheet as well as an offsetting liability, regardless of the Corporation’s intent to repurchase the loan. |
Servicing assets | Servicing assets The Corporation periodically sells or securitizes loans while retaining the obligation to perform the servicing of such loans. In addition, the Corporation may purchase or assume the right to service loans originated by others. Whenever the Corporation undertakes an obligation to service a loan, management assesses whether a servicing asset or liability should be recognized. A servicing asset is recognized whenever the compensation for servicing is expected to more than adequately compensate the servicer for performing the servicing. Likewise, a servicing liability would be recognized in the event that servicing fees to be received are not expected to adequately compensate the Corporation for its expected cost. Mortgage servicing assets recorded at fair value are separately presented on the Consolidated Statements of Financial Condition. All separately recognized servicing assets are initially recognized at fair value. For subsequent measurement of servicing rights, the Corporation has elected the fair value method for mortgage loans servicing rights (“MSRs”). Under the fair value measurement method, MSRs are recorded at fair value each reporting period, and changes in fair value are reported in mortgage banking activities in the Consolidated Statement of Operations. Contractual servicing fees including ancillary income and late fees, as well as fair value adjustments, and impairment losses, if any, are reported in mortgage banking activities in the Consolidated Statement of Operations. Loan servicing fees, which are based on a percentage of the principal balances of the loans serviced, are credited to income as loan payments are collected. The fair value of servicing rights is estimated by using a cash flow valuation model which calculates the present value of estimated future net servicing cash flows, taking into consideration actual and expected loan prepayment rates, discount rates, servicing costs, and other economic factors, which are determined based on current market conditions. |
Premises and equipment | Premises and equipment Premises and equipment are stated at cost less accumulated depreciation and amortization. Depreciation is computed on a straight-line basis over the estimated useful life of each type of asset. Amortization of leasehold improvements is computed over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Costs of maintenance and repairs which do not improve or extend the life of the respective assets are expensed as incurred. Costs of renewals and betterments are capitalized. When assets are disposed of, their cost and related accumulated depreciation are removed from the accounts and any gain or loss is reflected in earnings as realized or incurred, respectively. The Corporation capitalizes interest cost incurred in the construction of significant real estate projects, which consist primarily of facilities for its own use or intended for lease. The amount of interest cost capitalized is to be an allocation of the interest cost incurred during the period required to substantially complete the asset. The interest rate for capitalization purposes is to be based on a weighted average rate on the Corporation’s outstanding borrowings, unless there is a specific new borrowing associated with the asset. Interest cost capitalized for the years ended December 31, 2019, 2018 and 2017 was not significant. The Corporation has operating lease arrangements primarily associated with the rental of premises to support its branch network or for general office space. Certain of these arrangements are non-cancellable and provide for rent escalations and renewal options. Rent expense on non-cancellable operating leases with scheduled rent increases are recognized on a straight-line basis over the lease term. |
Impairment of loang-lived assets | Impairment of long-lived assets The Corporation evaluates for impairment its long-lived assets to be held and used, and long-lived assets to be disposed of, whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. |
Other real estate | Other real estate Other real estate, received in satisfaction of a loan, is recorded at fair value less estimated costs of disposal. The difference between the carrying amount of the loan and the fair value less cost to sell is recorded as an adjustment to the allowance for loan losses. Subsequent to foreclosure, any losses in the carrying value arising from periodic re-evaluations of the properties, and any gains or losses on the sale of these properties are credited or charged to expense in the period incurred and are included as OREO expenses. The cost of maintaining and operating such properties is expensed as incurred. Updated appraisals are obtained to adjust the value of the other real estate assets. The frequency depends on the loan type and total credit exposure. The appraisal for a commercial or construction other real estate property with a book value equal to or greater than $1 million is updated annually and if lower than $1 million it is updated every two years. For residential mortgage properties, the Corporation requests appraisals annually. Appraisals may be adjusted due to age, collateral inspections, property profiles, or general market conditions. The adjustments applied are based upon internal information such as other appraisals for the type of properties and/or loss severity information that can provide historical trends in the real estate market, and may change from time to time based on market conditions. |
Goodwill and other intangible assets | Goodwill and other intangible assets Goodwill is recognized when the purchase price is higher than the fair value of net assets acquired in business combinations under the purchase method of accounting. Goodwill is not amortized, but is tested for impairment at least annually or more frequently if events or circumstances indicate possible impairment using a two-step process at each reporting unit level. The first step of the goodwill impairment test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, the goodwill of the reporting unit is not considered impaired and the second step of the impairment test is unnecessary. If needed, the second step consists of comparing the implied fair value of the reporting unit goodwill with the carrying amount of that goodwill. In determining the fair value of a reporting unit, the Corporation generally uses a combination of methods, which include market price multiples of comparable companies and the discounted cash flow analysis. Goodwill impairment losses are recorded as part of operating expenses in the Consolidated Statement of Operations. Refer to Note 3, New Accounting Pronouncements, for changes on the annual goodwill impairment test in accordance with ASU 2017-04. Other intangible assets deemed to have an indefinite life are not amortized, but are tested for impairment using a one-step process which compares the fair value with the carrying amount of the asset. In determining that an intangible asset has an indefinite life, the Corporation considers expected cash inflows and legal, regulatory, contractual, competitive, economic and other factors, which could limit the intangible asset’s useful life. Other identifiable intangible assets with a finite useful life, mainly core deposits, are amortized using various methods over the periods benefited, which range from 5 to 10 years. These intangibles are evaluated periodically for impairment when events or changes in circumstances indicate that the carrying amount may not be recoverable. Impairments on intangible assets with a finite useful life are evaluated under the guidance for impairment or disposal of long-lived assets. |
Repurchase And Resale Agreements Policy | Assets sold / purchased under agreements to repurchase / resell Repurchase and resell agreements are treated as collateralized financing transactions and are carried at the amounts at which the assets will be subsequently reacquired or resold as specified in the respective agreements. It is the Corporation’s policy to take possession of securities purchased under agreements to resell. However, the counterparties to such agreements maintain effective control over such securities, and accordingly those securities are not reflected in the Corporation’s Consolidated Statements of Financial Condition. The Corporation monitors the fair value of the underlying securities as compared to the related receivable, including accrued interest. It is the Corporation’s policy to maintain effective control over assets sold under agreements to repurchase; accordingly, such securities continue to be carried on the Consolidated Statements of Financial Condition. The Corporation may require counterparties to deposit additional collateral or return collateral pledged, when appropriate. |
Software | Software Capitalized software is stated at cost, less accumulated amortization. Capitalized software includes purchased software and capitalizable application development costs associated with internally-developed software. Amortization, computed on a straight-line method, is charged to operations over the estimated useful life of the software. Capitalized software is included in “Other assets” in the Consolidated Statement of Financial Condition. |
Gurantees, including indirect gurantees of indebtness of others | Guarantees, including indirect guarantees of indebtedness of others The Corporation, as a guarantor, recognizes at the inception of a guarantee, a liability for the fair value of the obligation undertaken in issuing the guarantee. Refer to Note 25 to the Consolidated Financial Statements for further disclosures on guarantees. |
Treasury stock | Treasury stock Treasury stock is recorded at cost and is carried as a reduction of stockholders’ equity in the Consolidated Statements of Financial Condition. At the date of retirement or subsequent reissue, the treasury stock account is reduced by the cost of such stock. At retirement, the excess of the cost of the treasury stock over its par value is recorded entirely to surplus. At reissuance, the difference between the consideration received upon issuance and the specific cost is charged or credited to surplus. |
Income Recognition - Investment banking revenues and commissions | Revenues from contract with customers Refer to Note 34 for a detailed description of the Corporation’s policies on the recognition and presentation of revenues from contract with customers. |
Foreign exchange | Foreign exchange Assets and liabilities denominated in foreign currencies are translated to U.S. dollars using prevailing rates of exchange at the end of the period. Revenues, expenses, gains and losses are translated using weighted average rates for the period. The resulting foreign currency translation adjustment from operations for which the functional currency is other than the U.S. dollar is reported in accumulated other comprehensive loss, except for highly inflationary environments in which the effects are included in other operating expenses. The Corporation holds interests in Centro Financiero BHD León, S.A. (“BHD León”) in the Dominican Republic. The business of BHD León is mainly conducted in their country’s foreign currency. The resulting foreign currency translation adjustment from these operations is reported in accumulated other comprehensive loss. Refer to the disclosure of accumulated other comprehensive loss included in Note 24. |
Income taxes | Income taxes The Corporation recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the Corporation’s financial statements or tax returns. Deferred income tax assets and liabilities are determined for differences between financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future. The computation is based on enacted tax laws and rates applicable to periods in which the temporary differences are expected to be recovered or settled. The guidance for income taxes requires a reduction of the carrying amounts of deferred tax assets by a valuation allowance if, based on the available evidence, it is more likely than not (defined as a likelihood of more than 50 percent) that such assets will not be realized. Accordingly, the need to establish valuation allowances for deferred tax assets is assessed periodically by the Corporation based on the more likely than not realization threshold criterion. In the assessment for a valuation allowance, appropriate consideration is given to all positive and negative evidence related to the realization of the deferred tax assets. This assessment considers, among other matters, all sources of taxable income available to realize the deferred tax asset, including the future reversal of existing temporary differences, the future taxable income exclusive of reversing temporary differences and carryforwards, taxable income in carryback years and tax-planning strategies. In making such assessments, significant weight is given to evidence that can be objectively verified. The valuation of deferred tax assets requires judgment in assessing the likely future tax consequences of events that have been recognized in the Corporation’s financial statements or tax returns and future profitability. The Corporation’s accounting for deferred tax consequences represents management’s best estimate of those future events. Positions taken in the Corporation’s tax returns may be subject to challenge by the taxing authorities upon examination. Uncertain tax positions are initially recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions are both initially and subsequently measured as the largest amount of tax benefit that is greater than 50% likely of being realized upon settlement with the tax authority, assuming full knowledge of the position and all relevant facts. Interest on income tax uncertainties is classified within income tax expense in the Statement of Operations; while the penalties, if any, are accounted for as other operating expenses. The Corporation accounts for the taxes collected from customers and remitted to governmental authorities on a net basis (excluded from revenues). Income tax expense or benefit for the year is allocated among continuing operations, discontinued operations, and other comprehensive income, as applicable. The amount allocated to continuing operations is the tax effect of the pre-tax income or loss from continuing operations that occurred during the year, plus or minus income tax effects of (a) changes in circumstances that cause a change in judgment about the realization of deferred tax assets in future years, (b) changes in tax laws or rates, (c) changes in tax status, and (d) tax-deductible dividends paid to shareholders, subject to certain exceptions. |
Employees' retirement and other postretirement benefits plans | Employees’ retirement and other postretirement benefit plans Pension costs are computed on the basis of accepted actuarial methods and are charged to current operations. Net pension costs are based on various actuarial assumptions regarding future experience under the plan, which include costs for services rendered during the period, interest costs and return on plan assets, as well as deferral and amortization of certain items such as actuarial gains or losses. The funding policy is to contribute to the plan, as necessary, to provide for services to date and for those expected to be earned in the future. To the extent that these requirements are fully covered by assets in the plan, a contribution may not be made in a particular year. The cost of postretirement benefits, which is determined based on actuarial assumptions and estimates of the costs of providing these benefits in the future, is accrued during the years that the employee renders the required service. The guidance for compensation retirement benefits of ASC Topic 715 requires the recognition of the funded status of each defined pension benefit plan, retiree health care and other postretirement benefit plans on the Statement of Financial Condition. |
Stock-based compensation | Stock-based compensation The Corporation opted to use the fair value method of recording stock-based compensation as described in the guidance for employee share plans in ASC Subtopic 718-50. |
Comprehensive income (loss) | Comprehensive income Comprehensive income (loss) is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances, except those resulting from investments by owners and distributions to owners. The presentation of comprehensive income (loss) is included in separate Consolidated Statements of Comprehensive Income. |
Net income (loss) per common share | Net income per common share Basic income per common share is computed by dividing net income adjusted for preferred stock dividends, including undeclared or unpaid dividends if cumulative, and charges or credits related to the extinguishment of preferred stock or induced conversions of preferred stock, by the weighted average number of common shares outstanding during the year. Diluted income per common share takes into consideration the weighted average common shares adjusted for the effect of stock options, restricted stock, performance shares and warrants, if any, using the treasury stock method. |
Statement of cash flow | Statement of cash flows For purposes of reporting cash flows, cash includes cash on hand and amounts due from banks, including restricted cash. |
New Accounting Pronouncements (
New Accounting Pronouncements (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies | |
New accounting pronouncements policies | Recently Adopted Accounting Standards Updates Standard Description Date of adoption Effect on the financial statements FASB Accounting Standards Update (“ASU”) 2018-14, Compensation – Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans The FASB issued ASU 2018-14 in August 2018, which modifies the disclosure requirements for employers that sponsor defined benefit pension or postretirement plans. The most significant changes include the removal of the amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost over the next fiscal year and the effects of a one-percentage point change in assumed health care cost trend rates on the aggregate of the service and interest cost components of net periodic benefit costs and benefit obligation for postretirement health care benefits. In addition, certain disclosure requirements were added which include, but are not limited to, an explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period. December 31, 2019 The Corporation early adopted ASU 2018-14 during the fiscal year ended December 31, 2019 and was mainly impacted by the simplified disclosures of this ASU. Refer to amended disclosures on Note 32, Employee benefits. FASB ASU 2019-01, Leases (Topic 842): Codification Improvements The FASB issued ASU 2019-01 in March 2019 which, among other things, reinstates the specific fair value guidance in ASC Topic 840 for lessors that are not manufacturers or dealers to continue to measure the fair value of an underlying asset at its cost and clarifies that lessors that are depository or lending institutions in the scope of ASC Topic 942 are required to present the principal portion of lessee payments received from sales-type or direct financing leases as cash flows from investing activities. January 1, 2019 The Corporation early adopted ASU 2019-01 during the first quarter of 2019, but was not impacted by the adoption of this ASU. Standard Description Date of adoption Effect on the financial statements FASB ASUs, Leases (Topic 842) The FASB has issued a series of ASUs which supersede ASC Topic 840 and set out the principles for the recognition, measurement, presentation and disclosure of leases for both lessors and lessees. The new guidance requires lessees to apply a dual approach, classifying leases as either finance or operating leases. A lessee is also required to record a right-of-use asset (“ROU asset”) and a lease liability for all leases with a term greater than 12 months regardless of their classification. The new standard requires lessors to account for leases using an approach that is substantially equivalent to previous guidance for sales-type leases, direct financing leases and operating leases. In addition, the new leases standard requires lessors, among other things, to present lessor costs paid by the lessee to the lessor on a gross basis. January 1, 2019 The Corporation adopted the new leases standard during the first quarter of 2019 using the modified retrospective approach. The Corporation made the following elections: to not reassess at the date of adoption whether any existing contracts were or contained leases, their lease classification, and initial direct costs; applied the transition provisions of the new leases standard at the adoption date; used hindsight in evaluating lessee options to extend or terminate a lease; and to not apply ASC Topic 842 to short-term leases. As of January 1, 2019, the Corporation recognized ROU assets of $ 139 million, net of deferred rent liability of $ 15 million, and lease liabilities of $ 154 million on its operating leases. In addition, the Corporation recorded a positive cumulative effect adjustment of $ 4.8 million to retained earnings as a result of the reclassification of previously deferred gains on sale and operating lease back transactions. FASB ASU 2018-16, Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes The FASB issued ASU 2018-16 in October 2018 which permits use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under Topic 815 in addition to other permissible U.S. benchmark rates. January 1, 2019 The Corporation adopted ASU 2018-16 during the first quarter of 2019. As such, the Corporation will consider this guidance for qualifying new hedging relationships entered into on or after the effective date. Standard Description Date of adoption Effect on the financial statements FASB ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income The FASB issued ASU 2018-02 in February 2018, which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. These stranded tax effects result from recognizing in income the impact of changes in tax rates even when the related tax effects were recognized in accumulated other comprehensive income. The amendments also require certain disclosures about stranded tax effects. January 1, 2019 The Corporation adopted ASU 2018-02 during the first quarter of 2019. As of December 31, 2018, the Corporation maintained a full valuation allowance on the deferred tax assets that were recognized in accumulated other comprehensive income related to its U.S. operations. As such, the Corporation was not impacted by the adoption of this accounting pronouncement. FASB ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities The FASB issued ASU 2017-12 in August 2017, which makes more financial and nonfinancial hedging strategies eligible for hedge accounting and changes how companies assess effectiveness by, among other things, eliminating the requirement for entities to recognize hedge ineffectiveness each reporting period for cash flow hedges and requiring presentation of the changes in fair value of cash flow hedges in the same income statement line item(s) as the earnings effect of the hedged items when the hedged item affects earnings. January 1, 2019 The Corporation adopted ASU 2017-12 during the first quarter of 2019. The cumulative effect adjustment recorded to retained earnings to reverse the hedge ineffectiveness as of December 31, 2018 was not significant. There were no changes in presentation since the earnings effect of the hedges and the hedged items are already presented in the same income statement line item. In addition, the Corporation elected to continue to perform subsequent assessments of hedge effectiveness quantitatively. Additionally, adoption of the following standards during 2019 did not have a significant impact on the Corporation’s Consolidated Financial Statements: FASB ASUs 2019-07, Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 33-10532, Disclosure Update and Simplification and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates FASB ASU 2018-09, Codification Improvements FASB ASU 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting FASB ASU 2017-11, Earnings per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): Part I: Accounting for Certain Financial Instruments with Down Round Features; Part II: Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception FASB ASU 2017-08, Receivables– Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities Accounting Standards Updates Not Yet Adopted Standard Description Date of adoption Effect on the financial statements FASB ASU 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323 and Topic 815 The FASB issued ASU 2020-01 in January 2020, which clarifies that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting for the purposes of applying the measurement alternative in accordance with Topic 321 and includes scope considerations for entities that hold certain non-derivative forward contracts and purchased options to acquire equity securities that, upon settlement of the forward contract or exercise of the purchase option, would be accounted for under the equity method of accounting. January 1, 2021 The Corporation does not expect to be materially impacted by these amendments. FASB ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The FASB issued ASU 2019-12 in December 2019, which simplifies the accounting for income taxes by removing certain exceptions such as the incremental approach for intra-period tax allocation and interim period income tax accounting for year-to-date losses that exceed anticipated losses. In addition, the ASU simplifies GAAP in a number of areas such as when separate financial statements of legal entities are not subject to tax and enacted changes in tax laws in interim periods. January 1, 2021 The Corporation does not anticipate that the adoption of this accounting pronouncement will have a material effect on its Consolidated Statements of Financial Condition and Results of Operations. FASB ASU 2019-08, Compensation – Stock Compensation (Topic 718) and Revenue from Contracts with Customers (Topic 606): Codification Improvements – Share-Based Consideration Payable to a Customer The FASB issued ASU 2019-08 in November 2019, which requires that an entity measure and classify share-based payment awards granted to a customer in accordance with Topic 718. Therefore, the grant-date fair value of the share-based payment awards will be the basis for the reduction of the transaction price. January 1, 2020 The Corporation does not expect to be impacted by these amendments since it does not grant share-based payment awards to its customers. Standard Description Date of adoption Effect on the financial statements FASB ASU 2018-18, Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 The FASB issued ASU 2018-18 in November 2018 which, among other things, provides guidance on how to assess whether certain collaborative arrangement transactions should be accounted for under Topic 606. January 1, 2020 The Corporation does not expect to be impacted by these amendments since it does not have collaborative arrangements. FASB ASU 2018-17, Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities The FASB issued ASU 2018-17 in October 2018, which requires entities to consider indirect interests held through related parties under common control on a proportional basis rather than as the equivalent of a direct interest in its entirety when determining whether a decision-making fee is a variable interest. January 1, 2020 The Corporation does not expect to be materially impacted by these amendments. Standard Description Date of adoption Effect on the financial statements FASB ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract The FASB issued ASU 2018-15 in August 2018 which, among other things, aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software, and clarifies the term over which such capitalized implementation costs should be amortized. January 1, 2020 The Corporation does not expect to be significantly impacted by these amendments. FASB ASU 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment The FASB issued ASU 2017-04 in January 2017, which simplifies the accounting for goodwill impairment by removing Step 2 of the two-step goodwill impairment test under the current guidance. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. Entities will be required to disclose the amount of goodwill at reporting units with zero or negative carrying amounts. January 1, 2020 Upon adoption of this standard, if the carrying amount of any of the reporting units exceeds its fair value, the Corporation would be required to record an impairment charge for the difference up to the amount of the goodwill. FASB ASU 2017-03, Accounting Changes and Error Corrections (Topic 250) and Investments-Equity Method and Joint Ventures (Topic 323): Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings (SEC Update) The FASB issued ASU 2017-03 in January 2017, which incorporates into the Accounting Standards Codification recent SEC guidance about certain investments in qualified affordable housing and disclosing under SEC SAB Topic 11.M the effect on financial statements of adopting the revenue, leases and credit losses standards. January 1, 2020 The Corporation has considered the guidance in this Update in its disclosures on the effect in its consolidated financial statements of adoption on the new Credit Loss Standard, discussed below. FASB ASUs Financial Instruments – Credit Losses (Topic 326) Since June 2016, the FASB has issued a series of ASUs mainly related to credit losses (Topic 326), which replace the incurred loss model with a current expected credit loss (“CECL”) model. The CECL model applies to financial assets measured at amortized cost that are subject to credit losses and certain off-balance sheet exposures. CECL establishes a forw ard-looking methodology that reflects the expected credit losses over the lives of financial assets, starting when such assets are first acquired. Under the revised methodology, credit losses will be measured based on past events, current conditions and reasonable and supportable forecasts that affect the collectability of financial assets. CECL also revises the approach to recognizing credit losses for available-for-sale securities by replacing the direct write-down approach with the allowance approach and limiting the allowance to the amount at which the security’s fair value is less than the amortized cost. In addition, CECL provides that the initial allowance for credit losses on purchased credit deteriorated (“PCD”) financial assets will be recorded as an increase to the purchase price, with subsequent changes to the allowance recorded as a credit loss expense. The amendments to Topic 326 include the areas of accrued interest receivable, transfers of loans and debt securities between classifications and the inclusion of expected recoveries in the allowance for credit losses including PCD assets. The standards also expand credit quality disclosures. These accounting standards updates were effective on January 1, 2020. The Corporation expects that its allowance for loan and lease losses would increase by a range from $ 298 million to $ 326 million, or 62% to 68%. This increase is driven mainly by the Puerto Rico retail loan portfolios, including mortgage, auto and credit cards loans. In addition, the Corporation expects to recognize an allowance for credit losses of approximately $ 12 million related to its held-to-maturity debt securities portfolio. The increase in the allowance for the loans and securities portfolios will be reflected as a decrease to the opening balance of retained earnings, net of income taxes, except for approximately $ 10 million related to loans currently accounted under ASC Subtopic 310-30, which would result in a reclassification between certain contra loan balance accounts to the allowance for credit losses. As part of the adoption of CECL, the Corporation has made the election to break the existing pools of purchased credit impaired (“PCI”) loans previously accounted for under the ASC Subtopic 310-30 guidance. These loans will be accounted for on an individual loan basis under the PCD accounting methodology under CECL. Following existing accounting guidance, PCI loans have been excluded from non-performing status. Upon transition to the individual loan measurement, these loans will no longer be excluded from non-performing status, resulting in an increase of $ 283 million in reported NPLs during the first quarter of 2020. This increase includes $ 156 million in loans currently over 90 days past due and $ 127 million in loans that are not delinquent in their payment terms but would be reported as non-performing due to other credit quality considerations. The Corporation expects to continue to be well capitalized under the Basel III regulatory framework after the adoption of this standard. The Corporation will avail itself of the option to phase in over a period of three years the day-one effects on regulatory capital arising from the adoption of CECL. Considering the phase-in period provided by the regulatory framework, the estimated decrease of the Common Equity Tier One and Total Capital ratios would be of approximately 23 bps. |
Revenue from contracts with cus
Revenue from contracts with customers (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies | |
Revenue recognition | Revenue from contracts with customers is recognized when, or as, the performance obligations are satisfied by the Corporation by transferring the promised services to the customers. A service is transferred to the customer when, or as, the customer obtains control of that service. A performance obligation may be satisfied over time or at a point in time. Revenue from a performance obligation satisfied over time is recognized based on the services that have been rendered to date. Revenue from a performance obligation satisfied at a point in time is recognized when the customer obtains control over the service. The transaction price, or the amount of revenue recognized, reflects the consideration the Corporation expects to be entitled to in exchange for those promised services. In determining the transaction price, the Corporation considers the effects of variable consideration. Variable consideration is included in the transaction price only to the extent it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur. The Corporation is the principal in a transaction if it obtains control of the specified goods or services before they are transferred to the customer. If the Corporation acts as principal, revenues are presented in the gross amount of consideration to which it expects to be entitled and are not netted with any related expenses. On the other hand, the Corporation is an agent if it does not control the specified goods or services before they are transferred to the customer. If the Corporation acts as an agent, revenues are presented in the amount of consideration to which it expects to be entitled, net of related expenses. Following is a description of the nature and timing of revenue streams from contracts with customers: Service charges on deposit accounts Service charges on deposit accounts are earned on retail and commercial deposit activities and include, but are not limited to, nonsufficient fund fees, overdraft fees and checks stop payment fees. These transaction-based fees are recognized at a point in time, upon occurrence of an activity or event or upon the occurrence of a condition which triggers the fee assessment. The Corporation is acting as principal in these transactions. Debit card fees Debit card fees include, but are not limited to, interchange fees, surcharging income and foreign transaction fees. These transaction-based fees are recognized at a point in time, upon occurrence of an activity or event or upon the occurrence of a condition which triggers the fee assessment. Interchange fees are recognized upon settlement of the debit card payment transactions. The Corporation is acting as principal in these transactions. Insurance fees Insurance fees include, but are not limited to, commissions and contingent commissions. Commissions and fees are recognized when related policies are effective since the Corporation does not have an enforceable right to payment for services completed to date. An allowance is created for expected adjustments to commissions earned related to policy cancellations. Contingent commissions are recorded on an accrual basis when the amount to be received is notified by the insurance company. The Corporation is acting as an agent since it arranges for the sale of the policies and receives commissions if, and when, it achieves the sale. Credit card fees Credit card fees include, but are not limited to, interchange fees, additional card fees, cash advance fees, balance transfer fees, foreign transaction fees, and returned payments fees. Credit card fees are recognized at a point in time, upon the occurrence of an activity or an event. Interchange fees are recognized upon settlement of the credit card payment transactions. The Corporation is acting as principal in these transactions. Sale and administration of investment products Fees from the sale and administration of investment products include, but are not limited to, commission income from the sale of investment products, asset management fees, underwriting fees, and mutual fund fees. Commission income from investment products is recognized on the trade date since clearing, trade execution, and custody services are satisfied when the customer acquires or disposes of the rights to obtain the economic benefits of the investment products and brokerage contracts have no fixed duration and are terminable at will by either party. The Corporation is acting as principal in these transactions since it performs the service of providing the customer with the ability to acquire or dispose of the rights to obtain the economic benefits of investment products. Asset management fees are satisfied over time and are recognized in arrears. At contract inception, the estimate of the asset management fee is constrained from the inclusion in the transaction price since the promised consideration is dependent on the market and thus is highly susceptible to factors outside the manager’s influence. As advisor, the broker-dealer subsidiary is acting as principal. Underwriting fees are recognized at a point in time, when the investment products are sold in the open market at a markup. When the broker-dealer subsidiary is lead underwriter, it is acting as an agent. In turn, when it is a participating underwriter, it is acting as principal. Mutual fund fees, such as distribution fees, are considered variable consideration and are recognized over time, as the uncertainty of the fees to be received is resolved as NAV is determined and investor activity occurs. The promise to provide distribution-related services is considered a single performance obligation as it requires the provision of a series of distinct services that are substantially the same and have the same pattern of transfer. When the broker-dealer subsidiary is acting as a distributor, it is acting as principal. In turn, when it acts as third-party dealer, it is acting as an agent. Trust fees Trust fees are recognized from retirement plan, mutual fund administration, investment management, trustee, escrow, and custody and safekeeping services. These asset management services are considered a single performance obligation as it requires the provision of a series of distinct services that are substantially the same and have the same pattern of transfer. The performance obligation is satisfied over time, except for optional services and certain other services that are satisfied at a point in time. Revenues are recognized in arrears, when, or as, the services are rendered. The Corporation is acting as principal since, as asset manager, it has the obligation to provide the specified service to the customer and has the ultimate discretion in establishing the fee paid by the customer for the specified services. |
Derivative instruments and he_2
Derivative instruments and hedging activities (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies | |
Derivatives, Offsetting Fair Value Amounts, Policy | Pursuant to the Corporation’s accounting policy, the fair value of derivatives is not offset with the fair value of other derivatives held with the same counterparty even if these agreements allow a right of set-off. In addition, the fair value of derivatives is not offset with the amounts for the right to reclaim financial collateral or the obligation to return financial collateral. |
Business combination (Tables)
Business combination (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Fair value of major classes of identifiable assets acquired and liabilities assumed | Book value prior to purchase accounting Fair value Measurement As recorded by (In thousands) adjustments adjustments period adjustments Popular, Inc. Cash consideration $ 1,843,256 $ - $ - $ 1,843,256 Assets: Loans $ 1,912,866 $ ( 126,908) [1] $ 16,505 [1] $ 1,802,463 Premises and equipment 1,246 - - 1,246 Accrued income receivable 1,466 - - 1,466 Other assets 5,020 - ( 91) 4,929 Trademark - 488 - 488 Total assets $ 1,920,598 $ ( 126,420) $ 16,414 $ 1,810,592 Liabilities: Other liabilities $ 11,164 $ - $ - $ 11,164 Total liabilities $ 11,164 $ - $ - $ 11,164 Net assets acquired $ 1,909,434 $ ( 126,420) $ 16,414 $ 1,799,428 Goodwill on acquisition $ 43,828 [1] The fair value discount is comprised of $ 106 million related to the retail auto loans portfolio and $ 4 million related to the commercial loans portfolio. |
Debt securities available-for_2
Debt securities available-for-sale (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments [Abstract] | |
Debt Securities, Available-For-Sale | At December 31, 2019 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield U.S. Treasury securities Within 1 year $ 5,071,201 $ 3,262 $ 567 $ 5,073,896 1.58 % After 1 to 5 years 5,137,804 75,597 3,435 5,209,966 2.19 After 5 to 10 years 1,778,568 429 6,604 1,772,393 1.70 Total U.S. Treasury securities 11,987,573 79,288 10,606 12,056,255 1.86 Obligations of U.S. Government sponsored entities Within 1 year 62,492 2 21 62,473 1.45 After 1 to 5 years 60,021 - 90 59,931 1.48 Total obligations of U.S. Government sponsored entities 122,513 2 111 122,404 1.47 Obligations of Puerto Rico, States and political subdivisions Within 1 year 6,975 - - 6,975 - Total obligations of Puerto Rico, States and political subdivisions 6,975 - - 6,975 - Collateralized mortgage obligations - federal agencies Within 1 year 236 - - 236 1.83 After 1 to 5 years 350 1 - 351 2.16 After 5 to 10 years 85,079 31 1,180 83,930 1.63 After 10 years 504,391 3,640 6,373 501,658 2.08 Total collateralized mortgage obligations - federal agencies 590,056 3,672 7,553 586,175 2.02 Mortgage-backed securities Within 1 year 16 - - 16 2.13 After 1 to 5 years 36,717 852 1 37,568 3.38 After 5 to 10 years 350,373 1,958 1,303 351,028 2.02 After 10 years 4,447,561 60,384 20,243 4,487,702 2.60 Total mortgage-backed securities 4,834,667 63,194 21,547 4,876,314 2.57 Other After 1 to 5 years 341 9 - 350 3.62 Total other 341 9 - 350 3.62 Total debt securities available-for-sale [1] $ 17,542,125 $ 146,165 $ 39,817 $ 17,648,473 2.05 % [1] Includes $ 12.2 billion pledged to secure public and trust deposits, assets sold under agreements to repurchase, credit facilities and loan servicing agreements that the secured parties are not permitted to sell or repledge the collateral, of which $ 10.9 billion serve as collateral for public funds. At December 31, 2018 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield U.S. Treasury securities Within 1 year $ 3,565,571 $ 108 $ 5,319 $ 3,560,360 2.10 % After 1 to 5 years 4,483,741 13,647 35,213 4,462,175 2.25 After 5 to 10 years 245,891 3,770 - 249,661 2.84 Total U.S. Treasury securities 8,295,203 17,525 40,532 8,272,196 2.21 Obligations of U.S. Government sponsored entities Within 1 year 212,951 - 1,406 211,545 1.44 After 1 to 5 years 123,857 1 2,094 121,764 1.51 Total obligations of U.S. Government sponsored entities 336,808 1 3,500 333,309 1.47 Obligations of Puerto Rico, States and political subdivisions After 1 to 5 years 6,926 - 184 6,742 0.70 Total obligations of Puerto Rico, States and political subdivisions 6,926 - 184 6,742 0.70 Collateralized mortgage obligations - federal agencies After 1 to 5 years 749 - 7 742 1.92 After 5 to 10 years 115,744 1 4,715 111,030 1.71 After 10 years 638,995 1,584 23,680 616,899 2.10 Total collateralized mortgage obligations - federal agencies 755,488 1,585 28,402 728,671 2.04 Mortgage-backed securities Within 1 year 431 4 - 435 4.30 After 1 to 5 years 6,762 43 1 6,804 2.74 After 5 to 10 years 365,727 1,090 8,499 358,318 2.19 After 10 years 3,710,731 10,679 128,189 3,593,221 2.45 Total mortgage-backed securities 4,083,651 11,816 136,689 3,958,778 2.43 Other After 5 to 10 years 486 2 - 488 3.62 Total other 486 2 - 488 3.62 Total debt securities available-for-sale [1] $ 13,478,562 $ 30,929 $ 209,307 $ 13,300,184 2.25 % [1] Includes $ 8.9 billion pledged to secure public and trust deposits, assets sold under agreements to repurchase, credit facilities and loan servicing agreements that the secured parties are not permitted to sell or repledge the collateral, of which $ 7.9 billion serve as collateral for public funds. |
Schedule Of Aggregate Amortized Cost And Fair Value Of Afs By Contractual Maturity | (In thousands) Amortized cost Fair value Within 1 year $ 5,140,920 $ 5,143,596 After 1 to 5 years 5,235,233 5,308,166 After 5 to 10 years 2,214,020 2,207,351 After 10 years 4,951,952 4,989,360 Total debt securities available-for-sale $ 17,542,125 $ 17,648,473 |
Schedule Of Realized Gain Loss | (In thousands) 2019 2018 2017 Gross realized gains $ - $ - $ 95 Gross realized losses ( 20) - ( 12) Net realized gains (losses) on sale of debt securities available-for-sale $ ( 20) $ - $ 83 |
Debt Securities Available For Sale Unrealized Loss Position Fair Value | At December 31, 2019 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses U.S. Treasury securities $ 2,439,114 $ 9,798 $ 452,784 $ 808 $ 2,891,898 $ 10,606 Obligations of U.S. Government sponsored entities 9,973 4 99,846 107 109,819 111 Collateralized mortgage obligations - federal agencies 114,603 537 310,315 7,016 424,918 7,553 Mortgage-backed securities 179,312 693 1,784,414 20,854 1,963,726 21,547 Total debt securities available-for-sale in an unrealized loss position $ 2,743,002 $ 11,032 $ 2,647,359 $ 28,785 $ 5,390,361 $ 39,817 At December 31, 2018 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses U.S. Treasury securities $ 3,189,007 $ 4,188 $ 2,607,276 $ 36,343 $ 5,796,283 $ 40,531 Obligations of U.S. Government sponsored entities 14,847 46 318,271 3,454 333,118 3,500 Obligations of Puerto Rico, States and political subdivisions - - 6,742 184 6,742 184 Collateralized mortgage obligations - federal agencies 66,652 489 587,869 27,913 654,521 28,402 Mortgage-backed securities 125,872 2,280 3,478,635 134,410 3,604,507 136,690 Total debt securities available-for-sale in an unrealized loss position $ 3,396,378 $ 7,003 $ 6,998,793 $ 202,304 $ 10,395,171 $ 209,307 |
Schedule Of Securities Aggregate Amortized Cost Exceed 10 Of Stockholders Equity | 2019 2018 (In thousands) Amortized cost Fair value Amortized cost Fair value FNMA $ 3,113,373 $ 3,129,538 $ 2,999,110 $ 2,901,904 Freddie Mac 1,623,116 1,638,796 1,095,855 1,058,013 |
Debt securities held-to-matur_2
Debt securities held-to-maturity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments [Abstract] | |
Debt Securities, Held-to-maturity | At December 31, 2019 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield Obligations of Puerto Rico, States and political subdivisions Within 1 year $ 3,745 $ - $ 11 $ 3,734 6.01 % After 1 to 5 years 17,580 - 320 17,260 6.11 After 5 to 10 years 18,195 - 1,607 16,588 3.11 After 10 years 46,036 9,384 - 55,420 1.67 Total obligations of Puerto Rico, States and political subdivisions 85,556 9,384 1,938 93,002 3.08 Collateralized mortgage obligations - federal agencies After 1 to 5 years 45 2 - 47 6.44 Total collateralized mortgage obligations - federal agencies 45 2 - 47 6.44 Securities in wholly owned statutory business trusts After 10 years 11,561 - - 11,561 6.51 Total securities in wholly owned statutory business trusts 11,561 - - 11,561 6.51 Other Within 1 year 500 - - 500 2.97 Total other 500 - - 500 2.97 Total debt securities held-to-maturity $ 97,662 $ 9,386 $ 1,938 $ 105,110 3.49 % At December 31, 2018 Gross Gross Weighted Amortized unrealized unrealized Fair average (In thousands) cost gains losses value yield Obligations of Puerto Rico, States and political subdivisions Within 1 year $ 3,510 $ - $ 36 $ 3,474 5.99 % After 1 to 5 years 16,505 - 1,081 15,424 6.07 After 5 to 10 years 23,885 - 1,704 22,181 3.61 After 10 years 45,559 3,943 47 49,455 1.79 Total obligations of Puerto Rico, States and political subdivisions 89,459 3,943 2,868 90,534 3.23 Collateralized mortgage obligations - federal agencies After 5 to 10 years 55 3 - 58 5.45 Total collateralized mortgage obligations - federal agencies 55 3 - 58 5.45 Securities in wholly owned statutory business trusts After 10 years 11,561 - - 11,561 6.51 Total securities in wholly owned statutory business trusts 11,561 - - 11,561 6.51 Other After 1 to 5 years 500 - - 500 2.97 Total other 500 - - 500 2.97 Total debt securities held-to-maturity $ 101,575 $ 3,946 $ 2,868 $ 102,653 3.60 % |
Schedule Of Aggregate Amortized Cost And Fair Value Of HTMs By Contractual Maturity | (In thousands) Amortized cost Fair value Within 1 year $ 4,245 $ 4,234 After 1 to 5 years 17,625 17,307 After 5 to 10 years 18,195 16,588 After 10 years 57,597 66,981 Total debt securities held-to-maturity $ 97,662 $ 105,110 |
Debt Securities Held To Maturity Unrealized Loss Position Fair Value | At December 31, 2019 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses Obligations of Puerto Rico, States and political subdivisions $ 17,544 $ 291 $ 12,673 $ 1,647 $ 30,217 $ 1,938 Total debt securities held-to-maturity in an unrealized loss position $ 17,544 $ 291 $ 12,673 $ 1,647 $ 30,217 $ 1,938 At December 31, 2018 Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized (In thousands) value losses value losses value losses Obligations of Puerto Rico, States and political subdivisions $ 27,471 $ 1,165 $ 13,307 $ 1,703 $ 40,778 $ 2,868 Total debt securities held-to-maturity in an unrealized loss position $ 27,471 $ 1,165 $ 13,307 $ 1,703 $ 40,778 $ 2,868 |
Loans (Tables)
Loans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Net Financing Leases [Table Text Block] | (In thousands) 2019 2018 Total minimum lease payments $ 863,755 $ 781,060 Estimated residual value of leased property (unguaranteed) 356,560 293,495 Deferred origination costs, net of fees 15,422 12,261 Less - Unearned financing income 176,121 151,881 Net minimum lease payments 1,059,616 934,935 Less - Allowance for loan losses 10,768 11,487 Net minimum lease payments, net of allowance for loan losses $ 1,048,848 $ 923,448 |
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block] | (In thousands) 2020 $ 48,511 2021 90,049 2022 147,742 2023 205,834 2024 and thereafter 371,619 Total $ 863,755 |
ASC Subtopic 310-30 | |
Disclosure of carrying amount of loans acquired | Carrying amount (In thousands) December 31, 2019 December 31, 2018 Commercial real estate $ 670,566 $ 801,774 Commercial and industrial 104,756 84,465 Mortgage 856,618 982,821 Consumer 11,778 14,496 Carrying amount 1,643,718 1,883,556 Allowance for loan losses ( 74,039) ( 122,135) Carrying amount, net of allowance $ 1,569,679 $ 1,761,421 |
Accretable Yield For Acquired Loans | Activity in the accretable yield of acquired loans accounted for pursuant to ASC 310-30 For the years ended (In thousands) December 31, 2019 December 31, 2018 Beginning balance $ 1,092,504 $ 1,214,488 Additions 23,556 6,535 Accretion ( 144,976) ( 166,272) Change in expected cash flows 30,258 37,753 Ending balance [1] $ 1,001,342 $ 1,092,504 [1] At December 31, 2019, includes $ 0.7 billion for loans considered non-credit impaired at the acquisition date (December 31, 2018 - $ 0.8 billion). |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period | Carrying amount of acquired loans accounted for pursuant to ASC 310-30 For the years ended (In thousands) December 31, 2019 December 31, 2018 Beginning balance $ 1,883,556 $ 2,108,993 Additions 39,492 16,645 Accretion 144,976 166,272 Collections / loan sales / charge-offs ( 424,306) ( 408,354) Ending balance [1] $ 1,643,718 $ 1,883,556 Allowance for loan losses ( 74,039) ( 122,135) Ending balance, net of ALLL $ 1,569,679 $ 1,761,421 [1] At December 31, 2019, includes $ 1.2 billion of loans considered non-credit impaired at the acquisition date (December 31, 2018 - $ 1.4 billion). |
Loans Held in Portfolio | Non Covered Loans | |
Past due financing receivables | December 31, 2019 Puerto Rico Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 2,941 $ 129 $ 1,512 $ 4,582 $ 143,267 $ 147,849 $ 1,473 $ - Commercial real estate: Non-owner occupied 10,439 5,244 43,664 59,347 2,048,871 2,108,218 39,968 - Owner occupied 5,704 3,978 84,537 94,219 1,492,110 1,586,329 69,276 - Commercial and industrial 8,780 1,646 37,156 47,582 3,371,152 3,418,734 36,538 544 Construction 1,555 - 119 1,674 135,796 137,470 119 - Mortgage 285,006 146,197 837,651 1,268,854 4,897,894 6,166,748 283,708 439,662 Leasing 12,014 3,053 3,657 18,724 1,040,783 1,059,507 3,657 - Consumer: Credit cards 11,358 7,928 19,461 38,747 1,085,053 1,123,800 - 19,461 Home equity lines of credit - 85 - 85 4,953 5,038 - - Personal 13,481 9,352 20,296 43,129 1,325,021 1,368,150 19,529 61 Auto 81,169 23,182 31,148 135,499 2,782,023 2,917,522 31,148 - Other 358 1,418 14,189 15,965 124,902 140,867 13,784 405 Total $ 432,805 $ 202,212 $ 1,093,390 $ 1,728,407 $ 18,451,825 $ 20,180,232 $ 499,200 $ 460,133 [1] Loans HIP of $ 134 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. Refer to Note 3, New Accounting Pronouncements, for a description of the impact of CECL on the classification of non-performing loans. December 31, 2019 Popular U.S. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 9 $ - $ 2,097 $ 2,106 $ 1,645,204 $ 1,647,310 $ 2,097 $ - Commercial real estate: Non-owner occupied 1,047 - 281 1,328 1,868,968 1,870,296 281 - Owner occupied 1,750 - 251 2,001 337,134 339,135 251 - Commercial and industrial 454 128 19,945 20,527 1,174,353 1,194,880 876 - Construction - - 26 26 693,596 693,622 26 - Mortgage 15,474 4,024 11,091 30,589 986,195 1,016,784 11,091 - Legacy 49 8 1,999 2,056 20,049 22,105 1,999 - Consumer: Credit cards - - - - 36 36 - - Home equity lines of credit 404 267 9,954 10,625 106,718 117,343 9,954 - Personal 2,286 1,582 2,066 5,934 318,506 324,440 2,066 - Other 3 - - 3 687 690 - - Total $ 21,476 $ 6,009 $ 47,710 $ 75,195 $ 7,151,446 $ 7,226,641 $ 28,641 $ - [1] Loans HIP of $ 19 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. Refer to Note 3, New Accounting Pronouncements, for a description of the impact of CECL on the classification of non-performing loans. December 31, 2019 Popular, Inc. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP [3] [4] loans loans [5] Commercial multi-family $ 2,950 $ 129 $ 3,609 $ 6,688 $ 1,788,471 $ 1,795,159 $ 3,570 $ - Commercial real estate: Non-owner occupied 11,486 5,244 43,945 60,675 3,917,839 3,978,514 40,249 - Owner occupied 7,454 3,978 84,788 96,220 1,829,244 1,925,464 69,527 - Commercial and industrial 9,234 1,774 57,101 68,109 4,545,505 4,613,614 37,414 544 Construction 1,555 - 145 1,700 829,392 831,092 145 - Mortgage [1] 300,480 150,221 848,742 1,299,443 5,884,089 7,183,532 294,799 439,662 Leasing 12,014 3,053 3,657 18,724 1,040,783 1,059,507 3,657 - Legacy [2] 49 8 1,999 2,056 20,049 22,105 1,999 - Consumer: Credit cards 11,358 7,928 19,461 38,747 1,085,089 1,123,836 - 19,461 Home equity lines of credit 404 352 9,954 10,710 111,671 122,381 9,954 - Personal 15,767 10,934 22,362 49,063 1,643,527 1,692,590 21,595 61 Auto 81,169 23,182 31,148 135,499 2,782,023 2,917,522 31,148 - Other 361 1,418 14,189 15,968 125,589 141,557 13,784 405 Total $ 454,281 $ 208,221 $ 1,141,100 $ 1,803,602 $ 25,603,271 $ 27,406,873 $ 527,841 $ 460,133 [1] It is the Corporation’s policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. [2] The legacy portfolio is comprised of commercial loans, construction loans and lease financings related to certain lending products exited by the Corporation as part of restructuring efforts carried out in prior years at the Popular U.S. segment. [3] Loans held-in-portfolio are net of $ 181 million in unearned income and exclude $ 59 million in loans held-for-sale. [4] Includes $ 6.7 billion pledged to secure credit facilities and public funds that the secured parties are not permitted to sell or repledge the collateral, of which $ 4.6 billion were pledged at the Federal Home Loan Bank ("FHLB") as collateral for borrowings and $ 2.1 billion at the Federal Reserve Bank ("FRB") for discount window borrowings. [5] Loans HIP of $ 153 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. Refer to Note 3, New Accounting Pronouncements, for a description of the impact of CECL on the classification of non-performing loans. December 31, 2018 Puerto Rico Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 1,441 $ 112 $ 598 $ 2,151 $ 143,477 $ 145,628 $ 546 $ - Commercial real estate: Non-owner occupied 92,075 839 45,691 138,605 2,183,996 2,322,601 39,257 - Owner occupied 6,681 10,839 99,235 116,755 1,605,498 1,722,253 88,069 - Commercial and industrial 4,137 641 55,321 60,099 3,122,062 3,182,161 55,078 243 Construction - - 1,788 1,788 84,167 85,955 1,788 - Mortgage 275,367 128,104 1,043,607 1,447,078 4,986,245 6,433,323 323,565 595,525 Leasing 7,663 1,827 3,313 12,803 921,970 934,773 3,313 - Consumer: Credit cards 9,504 7,391 16,035 32,930 1,014,343 1,047,273 - 16,035 Home equity lines of credit - 97 165 262 5,089 5,351 11 154 Personal 13,069 7,907 18,515 39,491 1,211,134 1,250,625 17,887 35 Auto 52,204 9,862 24,177 86,243 2,522,542 2,608,785 24,050 127 Other 566 288 14,958 15,812 128,932 144,744 14,534 424 Total $ 462,707 $ 167,907 $ 1,323,403 $ 1,954,017 $ 17,929,455 $ 19,883,472 $ 568,098 $ 612,543 [1] Non-covered loans HIP of $ 143 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. December 31, 2018 Popular U.S. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP loans loans [1] Commercial multi-family $ 3,163 $ - $ - $ 3,163 $ 1,398,377 $ 1,401,540 $ - $ - Commercial real estate: Non-owner occupied 707 288 365 1,360 1,880,384 1,881,744 365 - Owner occupied 5,125 1,728 381 7,234 291,705 298,939 381 - Commercial and industrial 2,354 995 73,726 77,075 1,011,078 1,088,153 330 - Construction - - 12,060 12,060 681,434 693,494 12,060 - Mortgage 13,615 3,197 11,033 27,845 774,090 801,935 11,033 - Legacy 195 445 2,627 3,267 22,682 25,949 2,627 - Consumer: Credit cards 2 - - 2 36 38 - - Home equity lines of credit 886 464 13,579 14,929 128,123 143,052 13,579 - Personal 2,319 1,723 2,610 6,652 282,697 289,349 2,610 - Other - - 4 4 220 224 4 - Total $ 28,366 $ 8,840 $ 116,385 $ 153,591 $ 6,470,826 $ 6,624,417 $ 42,989 $ - [1] Non-covered loans HIP of $ 73 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. December 31, 2018 Popular, Inc. Past due Past due 90 days or more 30-59 60-89 90 days Total Non-accrual Accruing (In thousands) days days or more past due Current Loans HIP [3] [4] loans loans [5] Commercial multi-family $ 4,604 $ 112 $ 598 $ 5,314 $ 1,541,854 $ 1,547,168 $ 546 $ - Commercial real estate: Non-owner occupied 92,782 1,127 46,056 139,965 4,064,380 4,204,345 39,622 - Owner occupied 11,806 12,567 99,616 123,989 1,897,203 2,021,192 88,450 - Commercial and industrial 6,491 1,636 129,047 137,174 4,133,140 4,270,314 55,408 243 Construction - - 13,848 13,848 765,601 779,449 13,848 - Mortgage [1] 288,982 131,301 1,054,640 1,474,923 5,760,335 7,235,258 334,598 595,525 Leasing 7,663 1,827 3,313 12,803 921,970 934,773 3,313 - Legacy [2] 195 445 2,627 3,267 22,682 25,949 2,627 - Consumer: Credit cards 9,506 7,391 16,035 32,932 1,014,379 1,047,311 - 16,035 Home equity lines of credit 886 561 13,744 15,191 133,212 148,403 13,590 154 Personal 15,388 9,630 21,125 46,143 1,493,831 1,539,974 20,497 35 Auto 52,204 9,862 24,177 86,243 2,522,542 2,608,785 24,050 127 Other 566 288 14,962 15,816 129,152 144,968 14,538 424 Total $ 491,073 $ 176,747 $ 1,439,788 $ 2,107,608 $ 24,400,281 $ 26,507,889 $ 611,087 $ 612,543 [1] It is the Corporation’s policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. [2] The legacy portfolio is comprised of commercial loans, construction loans and lease financings related to certain lending products exited by the Corporation as part of restructuring efforts carried out in prior years at the Popular U.S. segment. [3] Loans held-in-portfolio are net of $ 156 million in unearned income and exclude $ 51 million in loans held-for-sale. [4] Includes $ 6.9 billion pledged to secure credit facilities and public funds that the secured parties are not permitted to sell or repledge the collateral, of which $ 4.8 billion were pledged at the FHLB as collateral for borrowings and $ 2.1 billion at the FRB for discount window borrowings. [5] Non-covered loans HIP of $ 216 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis. |
Allowance for loan losses (Tabl
Allowance for loan losses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Impaired financing receivables | December 31, 2019 Puerto Rico Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 1,196 $ 1,229 $ 4 $ 1,017 $ 1,247 $ 2,213 $ 2,476 $ 4 Commercial real estate non-owner occupied 44,975 45,803 12,281 149,587 173,124 194,562 218,927 12,281 Commercial real estate owner occupied 105,841 122,814 5,077 26,365 58,540 132,206 181,354 5,077 Commercial and industrial 43,640 47,611 3,171 24,831 44,255 68,471 91,866 3,171 Construction 119 119 6 - - 119 119 6 Mortgage 420,949 479,936 40,596 101,520 134,331 522,469 614,267 40,596 Leasing 507 507 61 - - 507 507 61 Consumer: Credit cards 24,475 24,475 2,957 - - 24,475 24,475 2,957 Personal 65,521 65,521 17,142 - - 65,521 65,521 17,142 Auto 310 310 51 - - 310 310 51 Other 851 851 109 - - 851 851 109 Total Puerto Rico $ 708,384 $ 789,176 $ 81,455 $ 303,320 $ 411,497 $ 1,011,704 $ 1,200,673 $ 81,455 December 31, 2019 Popular U.S. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ - $ - $ - $ 2,097 $ 2,539 $ 2,097 $ 2,539 $ - Mortgage 6,906 7,257 2,208 2,480 2,844 9,386 10,101 2,208 Consumer: HELOCs 6,691 6,691 1,560 2,829 3,087 9,520 9,778 1,560 Personal 26 26 3 88 88 114 114 3 Total Popular U.S. $ 13,623 $ 13,974 $ 3,771 $ 7,494 $ 8,558 $ 21,117 $ 22,532 $ 3,771 December 31, 2019 Popular, Inc. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 1,196 $ 1,229 $ 4 $ 3,114 $ 3,786 $ 4,310 $ 5,015 $ 4 Commercial real estate non-owner occupied 44,975 45,803 12,281 149,587 173,124 194,562 218,927 12,281 Commercial real estate owner occupied 105,841 122,814 5,077 26,365 58,540 132,206 181,354 5,077 Commercial and industrial 43,640 47,611 3,171 24,831 44,255 68,471 91,866 3,171 Construction 119 119 6 - - 119 119 6 Mortgage 427,855 487,193 42,804 104,000 137,175 531,855 624,368 42,804 Leasing 507 507 61 - - 507 507 61 Consumer: Credit cards 24,475 24,475 2,957 - - 24,475 24,475 2,957 HELOCs 6,691 6,691 1,560 2,829 3,087 9,520 9,778 1,560 Personal 65,547 65,547 17,145 88 88 65,635 65,635 17,145 Auto 310 310 51 - - 310 310 51 Other 851 851 109 - - 851 851 109 Total Popular, Inc. $ 722,007 $ 803,150 $ 85,226 $ 310,814 $ 420,055 $ 1,032,821 $ 1,223,205 $ 85,226 December 31, 2018 Puerto Rico Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 932 $ 932 $ 4 $ - $ - $ 932 $ 932 $ 4 Commercial real estate non-owner occupied 85,583 86,282 27,494 96,005 138,378 181,588 224,660 27,494 Commercial real estate owner occupied 113,592 132,677 7,857 26,474 60,485 140,066 193,162 7,857 Commercial and industrial 65,208 67,094 16,835 10,724 20,968 75,932 88,062 16,835 Construction 1,788 1,788 56 - - 1,788 1,788 56 Mortgage 408,767 458,010 38,760 100,701 135,084 509,468 593,094 38,760 Leasing 1,099 1,099 320 - - 1,099 1,099 320 Consumer: Credit cards 28,829 28,829 4,571 - - 28,829 28,829 4,571 Personal 72,989 72,989 19,098 - - 72,989 72,989 19,098 Auto 1,161 1,161 228 - - 1,161 1,161 228 Other 1,256 1,256 186 - - 1,256 1,256 186 Total Puerto Rico $ 781,204 $ 852,117 $ 115,409 $ 233,904 $ 354,915 $ 1,015,108 $ 1,207,032 $ 115,409 December 31, 2018 Popular U.S. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Construction $ - $ - $ - $ 12,060 $ 18,127 $ 12,060 $ 18,127 $ - Mortgage 7,237 8,899 2,451 2,183 3,127 9,420 12,026 2,451 Consumer: HELOCs 6,236 6,285 1,558 1,498 1,572 7,734 7,857 1,558 Personal 631 631 252 142 143 773 774 252 Total Popular U.S. $ 14,104 $ 15,815 $ 4,261 $ 15,883 $ 22,969 $ 29,987 $ 38,784 $ 4,261 December 31, 2018 Popular, Inc. Impaired Loans – With an Impaired Loans Allowance With No Allowance Impaired Loans - Total Unpaid Unpaid Unpaid Recorded principal Related Recorded principal Recorded principal Related (In thousands) investment balance allowance investment balance investment balance allowance Commercial multi-family $ 932 $ 932 $ 4 $ - $ - $ 932 $ 932 $ 4 Commercial real estate non-owner occupied 85,583 86,282 27,494 96,005 138,378 181,588 224,660 27,494 Commercial real estate owner occupied 113,592 132,677 7,857 26,474 60,485 140,066 193,162 7,857 Commercial and industrial 65,208 67,094 16,835 10,724 20,968 75,932 88,062 16,835 Construction 1,788 1,788 56 12,060 18,127 13,848 19,915 56 Mortgage 416,004 466,909 41,211 102,884 138,211 518,888 605,120 41,211 Leasing 1,099 1,099 320 - - 1,099 1,099 320 Consumer: Credit cards 28,829 28,829 4,571 - - 28,829 28,829 4,571 HELOCs 6,236 6,285 1,558 1,498 1,572 7,734 7,857 1,558 Personal 73,620 73,620 19,350 142 143 73,762 73,763 19,350 Auto 1,161 1,161 228 - - 1,161 1,161 228 Other 1,256 1,256 186 - - 1,256 1,256 186 Total Popular, Inc. $ 795,308 $ 867,932 $ 119,670 $ 249,787 $ 377,884 $ 1,045,095 $ 1,245,816 $ 119,670 For the year ended December 31, 2019 Puerto Rico Popular U.S. Popular, Inc. Average Interest Average Interest Average Interest recorded income recorded income recorded income (In thousands) investment recognized investment recognized investment recognized Commercial multi-family $ 1,470 $ 50 $ 1,343 $ - $ 2,813 $ 50 Commercial real estate non-owner occupied 183,233 5,742 - - 183,233 5,742 Commercial real estate owner occupied 137,710 6,528 626 - 138,336 6,528 Commercial and industrial 71,828 4,097 - - 71,828 4,097 Construction 1,151 25 9,248 - 10,399 25 Mortgage 518,487 16,810 9,416 153 527,903 16,963 Leasing 823 - - - 823 - Consumer: Credit cards 26,775 - - - 26,775 - HELOCs - - 8,988 - 8,988 - Personal 69,664 282 380 - 70,044 282 Auto 823 - - - 823 - Other 1,044 - - - 1,044 - Total Popular, Inc. $ 1,013,008 $ 33,534 $ 30,001 $ 153 $ 1,043,009 $ 33,687 For the year ended December 31, 2018 Puerto Rico Popular U.S. Popular, Inc. Average Interest Average Interest Average Interest recorded income recorded income recorded income (In thousands) investment recognized investment recognized investment recognized Commercial multi-family $ 693 $ 50 $ - $ - $ 693 $ 50 Commercial real estate non-owner occupied 138,832 5,742 - - 138,832 5,742 Commercial real estate owner occupied 148,967 6,528 - - 148,967 6,528 Commercial and industrial 69,406 4,097 - - 69,406 4,097 Construction 2,094 25 9,565 - 11,659 25 Mortgage 509,038 17,663 9,258 165 518,296 17,828 Leasing 1,195 - - - 1,195 - Consumer: Credit cards 31,953 - - - 31,953 - HELOCs - - 5,904 - 5,904 - Personal 68,237 415 770 - 69,007 415 Auto 1,413 - - - 1,413 - Other 1,248 - - - 1,248 - Total Popular, Inc. $ 973,076 $ 34,520 $ 25,497 $ 165 $ 998,573 $ 34,685 |
Schedule of Trouble Debt Restructurings breakdown by Accrual and Nonaccrual Status | December 31, 2019 December 31, 2018 (In thousands) Accruing Non-Accruing Total Related Allowance Accruing Non-Accruing Total Related Allowance Loans held-in-portfolio: Commercial $ 237,861 $ 111,587 $ 349,448 $ 16,443 $ 229,758 $ 130,921 $ 360,679 $ 46,889 Construction - 119 119 6 - 1,788 1,788 56 Mortgage 1,013,561 126,036 1,139,597 42,012 906,712 135,758 1,042,470 41,211 Leases 264 243 507 61 668 440 1,108 320 Consumer 82,205 15,808 98,013 21,404 94,193 15,651 109,844 24,523 Loans held-in-portfolio $ 1,333,891 $ 253,793 $ 1,587,684 $ 79,926 $ 1,231,331 $ 284,558 $ 1,515,889 $ 112,999 |
Troubled Debt Restructurings Loan Count By Type Of Modification | For the year ended December 31, 2019 Reduction in interest rate Extension of maturity date Combination of reduction in interest rate and extension of maturity date Other Commercial multi-family - 3 - - Commercial real estate non-owner occupied - 13 - - Commercial real estate owner occupied 1 29 - - Commercial and industrial 2 67 - - Mortgage 37 130 672 6 Leasing - 1 2 - Consumer: Credit cards 515 - 2 189 HELOCs - 16 12 - Personal 668 4 - 3 Auto - 6 2 - Other 31 - - - Total 1,254 269 690 198 For the year ended December 31, 2018 Reduction in interest rate Extension of maturity date Combination of reduction in interest rate and extension of maturity date Other Commercial multi-family - 2 - - Commercial real estate non-owner occupied 3 17 - - Commercial real estate owner occupied 4 64 - - Commercial and industrial 6 87 - - Construction 1 - - - Mortgage 85 49 359 57 Leasing - - 4 - Consumer: Credit cards 579 - 4 432 HELOCs - 27 11 1 Personal 1,356 6 - 2 Auto - 7 3 - Other 25 - 2 - Total 2,059 259 383 492 |
Troubled Debt Restructurings on Financing Receivables | Popular, Inc. For the year ended December 31, 2019 (Dollars in thousands) Loan count Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Increase (decrease) in the allowance for loan losses as a result of modification Commercial multi-family 3 $ 346 $ 295 $ ( 40) Commercial real estate non-owner occupied 13 58,142 58,116 2,811 Commercial real estate owner occupied 30 7,533 7,249 81 Commercial and industrial 69 14,991 15,435 1,368 Mortgage 845 83,833 77,308 2,814 Leasing 3 264 266 7 Consumer: Credit cards 706 5,702 5,867 554 HELOCs 28 2,725 2,423 364 Personal 675 10,831 10,835 3,023 Auto 8 121 128 21 Other 31 206 206 30 Total 2,411 $ 184,694 $ 178,128 $ 11,033 Popular, Inc. For the year ended December 31, 2018 (Dollars in thousands) Loan count Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Increase (decrease) in the allowance for loan losses as a result of modification Commercial multi-family 2 $ 1,377 $ 1,375 $ 106 Commercial real estate non-owner occupied 20 109,081 79,695 6,230 Commercial real estate owner occupied 68 31,233 29,962 1,170 Commercial and industrial 93 52,653 51,855 13,981 Construction 1 4,210 4,293 474 Mortgage 550 67,518 59,919 2,696 Leasing 4 98 96 30 Consumer: Credit cards 1,015 10,065 10,671 1,331 HELOCs 39 3,961 3,891 935 Personal 1,364 21,976 21,979 6,320 Auto 10 173 152 26 Other 27 601 599 99 Total 3,193 $ 302,946 $ 264,487 $ 33,398 |
T D R Loans Subsequent Default | Defaulted during the year ended December 31, 2019 (Dollars in thousands) Loan count Recorded investment as of first default date Commercial real estate non-owner occupied 1 $ 47 Commercial real estate owner occupied 3 495 Commercial and industrial 9 7,281 Mortgage 63 4,424 Leasing 1 22 Consumer: Credit cards 302 2,808 HELOCs 1 135 Personal 197 5,640 Auto 2 24 Other 3 8 Total 582 $ 20,884 Defaulted during the year ended December 31, 2018 (Dollars in thousands) Loan count Recorded investment as of first default date Commercial real estate non-owner occupied 2 $ 11,245 Commercial real estate owner occupied 5 480 Commercial and industrial 8 7,208 Mortgage 161 12,362 Consumer: Credit cards 236 2,098 HELOCs 2 205 Personal 107 2,300 Auto 5 115 Other 1 7 Total 527 $ 36,020 |
Outstanding Balance, Net of unearned, of Non-Covered Loans Held-In-Portfolio Based on the Assignment of Obligor Risk Ratings | December 31, 2019 Special Pass/ (In thousands) Watch Mention Substandard Doubtful Loss Sub-total Unrated Total Puerto Rico Commercial multi-family $ 1,341 $ 3,870 $ 1,793 $ - $ - $ 7,004 $ 140,845 $ 147,849 Commercial real estate non-owner occupied 492,357 166,810 239,448 3,290 - 901,905 1,206,313 2,108,218 Commercial real estate owner occupied 192,895 184,678 183,377 1,629 - 562,579 1,023,750 1,586,329 Commercial and industrial 592,861 170,183 130,872 148 16 894,080 2,524,654 3,418,734 Total Commercial 1,279,454 525,541 555,490 5,067 16 2,365,568 4,895,562 7,261,130 Construction 340 649 20,771 - - 21,760 115,710 137,470 Mortgage 2,187 2,218 127,621 - - 132,026 6,034,722 6,166,748 Leasing - - 3,590 - 68 3,658 1,055,849 1,059,507 Consumer: Credit cards - - 19,461 - - 19,461 1,104,339 1,123,800 HELOCs - - - - - - 5,038 5,038 Personal 77 - 19,558 - - 19,635 1,348,515 1,368,150 Auto - - 30,775 - 372 31,147 2,886,375 2,917,522 Other 459 11 15,020 - 53 15,543 125,324 140,867 Total Consumer 536 11 84,814 - 425 85,786 5,469,591 5,555,377 Total Puerto Rico $ 1,282,517 $ 528,419 $ 792,286 $ 5,067 $ 509 $ 2,608,798 $ 17,571,434 $ 20,180,232 Popular U.S. Commercial multi-family $ 48,359 $ 13,827 $ 8,433 $ - $ - $ 70,619 $ 1,576,691 $ 1,647,310 Commercial real estate non-owner occupied 80,608 24,383 100,658 - - 205,649 1,664,647 1,870,296 Commercial real estate owner occupied 27,298 5,709 13,826 - - 46,833 292,302 339,135 Commercial and industrial 25,679 1,460 20,386 - - 47,525 1,147,355 1,194,880 Total Commercial 181,944 45,379 143,303 - - 370,626 4,680,995 5,051,621 Construction 46,644 17,291 44,798 - - 108,733 584,889 693,622 Mortgage - - 11,091 - - 11,091 1,005,693 1,016,784 Legacy 388 202 1,528 - - 2,118 19,987 22,105 Consumer: Credit cards - - - - - - 36 36 HELOCs - - 2,024 - 7,930 9,954 107,389 117,343 Personal - - 1,664 - 403 2,067 322,373 324,440 Other - - - - - - 690 690 Total Consumer - - 3,688 - 8,333 12,021 430,488 442,509 Total Popular U.S. $ 228,976 $ 62,872 $ 204,408 $ - $ 8,333 $ 504,589 $ 6,722,052 $ 7,226,641 Popular, Inc. Commercial multi-family $ 49,700 $ 17,697 $ 10,226 $ - $ - $ 77,623 $ 1,717,536 $ 1,795,159 Commercial real estate non-owner occupied 572,965 191,193 340,106 3,290 - 1,107,554 2,870,960 3,978,514 Commercial real estate owner occupied 220,193 190,387 197,203 1,629 - 609,412 1,316,052 1,925,464 Commercial and industrial 618,540 171,643 151,258 148 16 941,605 3,672,009 4,613,614 Total Commercial 1,461,398 570,920 698,793 5,067 16 2,736,194 9,576,557 12,312,751 Construction 46,984 17,940 65,569 - - 130,493 700,599 831,092 Mortgage 2,187 2,218 138,712 - - 143,117 7,040,415 7,183,532 Legacy 388 202 1,528 - - 2,118 19,987 22,105 Leasing - - 3,590 - 68 3,658 1,055,849 1,059,507 Consumer: Credit cards - - 19,461 - - 19,461 1,104,375 1,123,836 HELOCs - - 2,024 - 7,930 9,954 112,427 122,381 Personal 77 - 21,222 - 403 21,702 1,670,888 1,692,590 Auto - - 30,775 - 372 31,147 2,886,375 2,917,522 Other 459 11 15,020 - 53 15,543 126,014 141,557 Total Consumer 536 11 88,502 - 8,758 97,807 5,900,079 5,997,886 Total Popular, Inc. $ 1,511,493 $ 591,291 $ 996,694 $ 5,067 $ 8,842 $ 3,113,387 $ 24,293,486 $ 27,406,873 The following table presents the weighted average obligor risk rating at December 31, 2019 for those classifications that consider a range of rating scales. Weighted average obligor risk rating (Scales 11 and 12) (Scales 1 through 8) Puerto Rico: Substandard Pass Commercial multi-family 11.82 6.02 Commercial real estate non-owner occupied 11.17 6.77 Commercial real estate owner occupied 11.36 7.30 Commercial and industrial 11.26 7.20 Total Commercial 11.25 7.10 Construction 11.01 7.85 Popular U.S. : Substandard Pass Commercial multi-family 11.25 7.37 Commercial real estate non-owner occupied 11.00 6.94 Commercial real estate owner occupied 11.02 7.48 Commercial and industrial 11.01 6.63 Total Commercial 11.02 7.04 Construction 11.00 7.74 Legacy 11.25 7.95 December 31, 2018 Special Pass/ (In thousands) Watch Mention Substandard Doubtful Loss Sub-total Unrated Total Puerto Rico Commercial multi-family $ 1,634 $ 4,548 $ 3,590 $ - $ - $ 9,772 $ 135,856 $ 145,628 Commercial real estate non-owner occupied 470,506 233,173 342,962 - - 1,046,641 1,275,960 2,322,601 Commercial real estate owner occupied 262,476 174,510 291,468 2,078 - 730,532 991,721 1,722,253 Commercial and industrial 655,092 130,641 156,515 177 73 942,498 2,239,663 3,182,161 Total Commercial 1,389,708 542,872 794,535 2,255 73 2,729,443 4,643,200 7,372,643 Construction 147 634 1,788 - - 2,569 83,386 85,955 Mortgage 3,057 2,182 154,506 - - 159,745 6,273,578 6,433,323 Leasing - - 3,301 - 12 3,313 931,460 934,773 Consumer: Credit cards - - 16,035 - - 16,035 1,031,238 1,047,273 HELOCs - - 165 - - 165 5,186 5,351 Personal 849 19 18,827 - - 19,695 1,230,930 1,250,625 Auto - - 24,093 - 84 24,177 2,584,608 2,608,785 Other - - 14,743 - 215 14,958 129,786 144,744 Total Consumer 849 19 73,863 - 299 75,030 4,981,748 5,056,778 Total Puerto Rico $ 1,393,761 $ 545,707 $ 1,027,993 $ 2,255 $ 384 $ 2,970,100 $ 16,913,372 $ 19,883,472 Popular U.S. Commercial multi-family $ 85,901 $ 7,123 $ 6,979 $ - $ - $ 100,003 $ 1,301,537 $ 1,401,540 Commercial real estate non-owner occupied 152,635 9,839 46,555 - - 209,029 1,672,715 1,881,744 Commercial real estate owner occupied 49,415 23,963 2,394 - - 75,772 223,167 298,939 Commercial and industrial 5,825 1,084 76,459 - - 83,368 1,004,785 1,088,153 Total Commercial 293,776 42,009 132,387 - - 468,172 4,202,204 4,670,376 Construction 35,375 37,741 58,005 - - 131,121 562,373 693,494 Mortgage - - 11,032 - - 11,032 790,903 801,935 Legacy 534 224 2,409 - - 3,167 22,782 25,949 Consumer: Credit cards - - - - - - 38 38 HELOCs - - 2,615 - 10,964 13,579 129,473 143,052 Personal - - 1,910 - 701 2,611 286,738 289,349 Other - - 4 - - 4 220 224 Total Consumer - - 4,529 - 11,665 16,194 416,469 432,663 Total Popular U.S. $ 329,685 $ 79,974 $ 208,362 $ - $ 11,665 $ 629,686 $ 5,994,731 $ 6,624,417 Popular, Inc. Commercial multi-family $ 87,535 $ 11,671 $ 10,569 $ - $ - $ 109,775 $ 1,437,393 $ 1,547,168 Commercial real estate non-owner occupied 623,141 243,012 389,517 - - 1,255,670 2,948,675 4,204,345 Commercial real estate owner occupied 311,891 198,473 293,862 2,078 - 806,304 1,214,888 2,021,192 Commercial and industrial 660,917 131,725 232,974 177 73 1,025,866 3,244,448 4,270,314 Total Commercial 1,683,484 584,881 926,922 2,255 73 3,197,615 8,845,404 12,043,019 Construction 35,522 38,375 59,793 - - 133,690 645,759 779,449 Mortgage 3,057 2,182 165,538 - - 170,777 7,064,481 7,235,258 Legacy 534 224 2,409 - - 3,167 22,782 25,949 Leasing - - 3,301 - 12 3,313 931,460 934,773 Consumer: Credit cards - - 16,035 - - 16,035 1,031,276 1,047,311 HELOCs - - 2,780 - 10,964 13,744 134,659 148,403 Personal 849 19 20,737 - 701 22,306 1,517,668 1,539,974 Auto - - 24,093 - 84 24,177 2,584,608 2,608,785 Other - - 14,747 - 215 14,962 130,006 144,968 Total Consumer 849 19 78,392 - 11,964 91,224 5,398,217 5,489,441 Total Popular, Inc. $ 1,723,446 $ 625,681 $ 1,236,355 $ 2,255 $ 12,049 $ 3,599,786 $ 22,908,103 $ 26,507,889 The following table presents the weighted average obligor risk rating at December 31, 2018 for those classifications that consider a range of rating scales. Weighted average obligor risk rating (Scales 11 and 12) (Scales 1 through 8) Puerto Rico: Substandard Pass Commercial multi-family 11.20 6.02 Commercial real estate non-owner occupied 11.11 6.93 Commercial real estate owner occupied 11.29 7.25 Commercial and industrial 11.33 7.15 Total Commercial 11.22 7.09 Construction 12.00 7.64 Popular U.S.: Substandard Pass Commercial multi-family 11.00 7.39 Commercial real estate non-owner occupied 11.01 6.82 Commercial real estate owner occupied 11.16 7.55 Commercial and industrial 11.96 7.26 Total Commercial 11.56 7.14 Construction 11.21 7.85 Legacy 11.17 7.94 |
Allowance for credit losses on financing receivables | For the year ended December 31, 2019 Puerto Rico (In thousands) Commercial Construction Mortgage Leasing Consumer Total Allowance for credit losses: Beginning balance $ 207,214 $ 886 $ 142,978 $ 11,486 $ 144,594 $ 507,158 Provision (reversal of provision) ( 41,440) ( 3,417) 14,658 8,619 157,331 135,751 Charge-offs ( 53,852) ( 109) ( 47,577) ( 11,834) ( 167,983) ( 281,355) Recoveries 19,141 3,214 6,222 2,497 40,023 71,097 Ending balance $ 131,063 $ 574 $ 116,281 $ 10,768 $ 173,965 $ 432,651 Specific ALLL $ 20,533 $ 6 $ 40,596 $ 61 $ 20,259 $ 81,455 General ALLL $ 110,530 $ 568 $ 75,685 $ 10,707 $ 153,706 $ 351,196 Loans held-in-portfolio: Impaired loans $ 397,452 $ 119 $ 522,469 $ 507 $ 91,157 $ 1,011,704 Loans held-in-portfolio excluding impaired loans 6,863,678 137,351 5,644,279 1,059,000 5,464,220 19,168,528 Total loans held-in-portfolio $ 7,261,130 $ 137,470 $ 6,166,748 $ 1,059,507 $ 5,555,377 $ 20,180,232 For the year ended December 31, 2019 Popular U.S. (In thousands) Commercial Construction Mortgage Legacy Consumer Total Allowance for credit losses: Beginning balance $ 31,901 $ 6,538 $ 4,434 $ 969 $ 18,348 $ 62,190 Provision (reversal of provision) 15,496 ( 127) 828 ( 1,738) 15,569 30,028 Charge-offs ( 40,329) ( 2,215) ( 605) 105 ( 21,280) ( 64,324) Recoveries 8,921 8 170 1,294 6,770 17,163 Ending balance $ 15,989 $ 4,204 $ 4,827 $ 630 $ 19,407 $ 45,057 Specific ALLL $ - $ - $ 2,208 $ - $ 1,563 $ 3,771 General ALLL $ 15,989 $ 4,204 $ 2,619 $ 630 $ 17,844 $ 41,286 Loans held-in-portfolio: Impaired loans $ 2,097 $ - $ 9,386 $ - $ 9,634 $ 21,117 Loans held-in-portfolio excluding impaired loans 5,049,524 693,622 1,007,398 22,105 432,875 7,205,524 Total loans held-in-portfolio $ 5,051,621 $ 693,622 $ 1,016,784 $ 22,105 $ 442,509 $ 7,226,641 For the year ended December 31, 2019 Popular, Inc. (In thousands) Commercial Construction Mortgage Legacy Leasing Consumer Total Allowance for credit losses: Beginning balance $ 239,115 $ 7,424 $ 147,412 $ 969 $ 11,486 $ 162,942 $ 569,348 Provision (reversal of provision) ( 25,944) ( 3,544) 15,486 ( 1,738) 8,619 172,900 165,779 Charge-offs ( 94,181) ( 2,324) ( 48,182) 105 ( 11,834) ( 189,263) ( 345,679) Recoveries 28,062 3,222 6,392 1,294 2,497 46,793 88,260 Ending balance $ 147,052 $ 4,778 $ 121,108 $ 630 $ 10,768 $ 193,372 $ 477,708 Specific ALLL $ 20,533 $ 6 $ 42,804 $ - $ 61 $ 21,822 $ 85,226 General ALLL $ 126,519 $ 4,772 $ 78,304 $ 630 $ 10,707 $ 171,550 $ 392,482 Loans held-in-portfolio: Impaired loans $ 399,549 $ 119 $ 531,855 $ - $ 507 $ 100,791 $ 1,032,821 Loans held-in-portfolio excluding impaired loans 11,913,202 830,973 6,651,677 22,105 1,059,000 5,897,095 26,374,052 Total loans held-in-portfolio $ 12,312,751 $ 831,092 $ 7,183,532 $ 22,105 $ 1,059,507 $ 5,997,886 $ 27,406,873 For the year ended December 31, 2018 Puerto Rico - Non-covered loans (In thousands) Commercial Construction Mortgage Leasing Consumer Total Allowance for credit losses: Beginning balance $ 171,531 $ 1,286 $ 159,081 $ 11,991 $ 174,215 $ 518,104 Provision (reversal of provision) 101,614 ( 1,754) 15,297 5,525 75,779 196,461 Charge-offs ( 82,352) ( 9) ( 69,393) ( 8,297) ( 138,161) ( 298,212) Recoveries 16,421 1,363 4,571 2,267 32,573 57,195 Allowance transferred from covered loans - - 33,422 - 188 33,610 Ending balance $ 207,214 $ 886 $ 142,978 $ 11,486 $ 144,594 $ 507,158 Specific ALLL $ 52,190 $ 56 $ 38,760 $ 320 $ 24,083 $ 115,409 General ALLL $ 155,024 $ 830 $ 104,218 $ 11,166 $ 120,511 $ 391,749 Loans held-in-portfolio: Impaired non-covered loans $ 398,518 $ 1,788 $ 509,468 $ 1,099 $ 104,235 $ 1,015,108 Non-covered loans held-in-portfolio excluding impaired loans 6,974,125 84,167 5,923,855 933,674 4,952,543 18,868,364 Total non-covered loans held-in-portfolio $ 7,372,643 $ 85,955 $ 6,433,323 $ 934,773 $ 5,056,778 $ 19,883,472 For the year ended December 31, 2018 Puerto Rico - Covered Loans (In thousands) Commercial Construction Mortgage Leasing Consumer Total Allowance for credit losses: Beginning balance $ - $ - $ 32,521 $ - $ 723 $ 33,244 Provision (reversal of provision) - - 2,265 - ( 535) 1,730 Charge-offs - - ( 1,446) - ( 2) ( 1,448) Recoveries - - 82 - 2 84 Allowance transferred to non-covered loans - - ( 33,422) - ( 188) ( 33,610) Ending balance $ - $ - $ - $ - $ - $ - Specific ALLL $ - $ - $ - $ - $ - $ - General ALLL $ - $ - $ - $ - $ - $ - Loans held-in-portfolio: Impaired covered loans $ - $ - $ - $ - $ - $ - Covered loans held-in-portfolio excluding impaired loans - - - - - - Total covered loans held-in-portfolio $ - $ - $ - $ - $ - $ - For the year ended December 31, 2018 Popular U.S. (In thousands) Commercial Construction Mortgage Legacy Consumer Total Allowance for credit losses: Beginning balance $ 44,134 $ 7,076 $ 4,541 $ 798 $ 15,529 $ 72,078 Provision (reversal of provision) 7,551 5,268 ( 478) ( 1,861) 19,401 29,881 Charge-offs ( 24,920) ( 5,806) ( 232) 114 ( 22,118) ( 52,962) Recoveries 5,136 - 603 1,918 5,536 13,193 Ending balance $ 31,901 $ 6,538 $ 4,434 $ 969 $ 18,348 $ 62,190 Specific ALLL $ - $ - $ 2,451 $ - $ 1,810 $ 4,261 General ALLL $ 31,901 $ 6,538 $ 1,983 $ 969 $ 16,538 $ 57,929 Loans held-in-portfolio: Impaired loans $ - $ 12,060 $ 9,420 $ - $ 8,507 $ 29,987 Loans held-in-portfolio excluding impaired loans 4,670,376 681,434 792,515 25,949 424,156 6,594,430 Total loans held-in-portfolio $ 4,670,376 $ 693,494 $ 801,935 $ 25,949 $ 432,663 $ 6,624,417 For the year ended December 31, 2018 Popular, Inc. (In thousands) Commercial Construction Mortgage Legacy Leasing Consumer Total Allowance for credit losses: Beginning balance $ 215,665 $ 8,362 $ 196,143 $ 798 $ 11,991 $ 190,467 $ 623,426 Provision (reversal of provision) 109,165 3,514 17,084 ( 1,861) 5,525 94,645 228,072 Charge-offs ( 107,272) ( 5,815) ( 71,071) 114 ( 8,297) ( 160,281) ( 352,622) Recoveries 21,557 1,363 5,256 1,918 2,267 38,111 70,472 Ending balance $ 239,115 $ 7,424 $ 147,412 $ 969 $ 11,486 $ 162,942 $ 569,348 Specific ALLL $ 52,190 $ 56 $ 41,211 $ - $ 320 $ 25,893 $ 119,670 General ALLL $ 186,925 $ 7,368 $ 106,201 $ 969 $ 11,166 $ 137,049 $ 449,678 Loans held-in-portfolio: Impaired loans $ 398,518 $ 13,848 $ 518,888 $ - $ 1,099 $ 112,742 $ 1,045,095 Loans held-in-portfolio excluding impaired loans 11,644,501 765,601 6,716,370 25,949 933,674 5,376,699 25,462,794 Total loans held-in-portfolio $ 12,043,019 $ 779,449 $ 7,235,258 $ 25,949 $ 934,773 $ 5,489,441 $ 26,507,889 |
ASC Subtopic 310-30 | |
Allowance for credit losses on financing receivables | ASC 310-30 For the years ended (In thousands) December 31, 2019 December 31, 2018 Balance at beginning of period $ 122,135 $ 119,505 Provision 1,119 61,270 Net charge-offs ( 49,215) ( 58,640) Balance at end of period $ 74,039 $ 122,135 |
FDIC loss share asset and tru_2
FDIC loss share asset and true up payment obligation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
FDIC Indemnification Asset Roll Forward | Years ended December 31, (In thousands) 2018 2017 Balance at beginning of year $ 46,316 $ 69,334 FDIC loss-share Termination Agreement ( 45,659) - Amortization ( 934) ( 469) Credit impairment losses to be covered under loss sharing agreements 104 3,136 Reimbursable expenses 537 2,454 Net payments from FDIC under loss-sharing agreements ( 364) ( 22,589) Other adjustments attributable to FDIC loss-sharing agreements - ( 5,550) Balance at end of period $ - $ 46,316 Balance due to the FDIC for recoveries on covered assets - ( 1,124) Balance at end of period $ - $ 45,192 |
Mortgage banking activities (Ta
Mortgage banking activities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Mortgage Banking [Abstract] | |
Mortgage Banking Activities | Years ended December 31, (In thousands) 2019 2018 2017 Mortgage servicing fees, net of fair value adjustments: Mortgage servicing fees $ 46,952 $ 49,532 $ 48,300 Mortgage servicing rights fair value adjustments ( 27,430) ( 8,477) ( 36,519) Total mortgage servicing fees, net of fair value adjustments 19,522 41,055 11,781 Net gain on sale of loans, including valuation on loans held for sale 18,817 9,424 17,088 Trading account (loss) profit: Unrealized (losses) gains on outstanding derivative positions - ( 253) 184 Realized (losses) gains on closed derivative positions ( 6,246) 2,576 ( 3,557) Total trading account (loss) profit ( 6,246) 2,323 ( 3,373) Total mortgage banking activities $ 32,093 $ 52,802 $ 25,496 |
Transfers of financial assets_2
Transfers of financial assets and mortgage servicing assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing of Financial Assets | |
Schedule Of Securitizations Of Financial Assets Accounted For As Sale [Text Block] | Proceeds Obtained During the Year Ended December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Initial fair value Assets Trading account debt securities: Mortgage-backed securities - GNMA $ - $ 347,396 $ - $ 347,396 Mortgage-backed securities - FNMA - 111,362 - 111,362 Total trading account debt securities $ - $ 458,758 $ - $ 458,758 Mortgage servicing rights $ - $ - $ 8,185 $ 8,185 Total $ - $ 458,758 $ 8,185 $ 466,943 Proceeds Obtained During the Year Ended December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Initial fair value Assets Debt securities available for sale: Mortgage-backed securities - FNMA $ - $ 11,865 $ - $ 11,865 Total debt securities available-for-sale $ - $ 11,865 - $ 11,865 Trading account debt securities: Mortgage-backed securities - GNMA $ - $ 412,500 $ - $ 412,500 Mortgage-backed securities - FNMA - 82,320 - 82,320 Total trading account debt securities $ - $ 494,820 $ - $ 494,820 Mortgage servicing rights $ - $ - $ 9,337 $ 9,337 Total $ - $ 506,685 $ 9,337 $ 516,022 |
Schedule Of Servicing Assets At Fair Value Text Block | Residential MSRs (In thousands) December 31, 2019 December 31, 2018 Fair value at beginning of period $ 169,777 $ 168,031 Additions 9,143 10,223 Changes due to payments on loans [1] ( 11,549) ( 13,459) Reduction due to loan repurchases ( 1,777) ( 3,721) Changes in fair value due to changes in valuation model inputs or assumptions ( 14,190) 8,703 Other disposals ( 498) - Fair value at end of period $ 150,906 $ 169,777 [1] Represents changes due to collection / realization of expected cash flows over time. |
Schedule Of Assumptions For Fair Value On Securitization Date Of Interests Continued To Be Held By Transferor Servicing Assets Or Servicing Liabilities Text Block | Years ended December 31, 2019 December 31, 2018 Prepayment speed 7.0 % 5.0 % Weighted average life (in years) 9.5 10.8 Discount rate (annual rate) 10.9 % 11.0 % |
Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets | Originated MSRs Purchased MSRs December 31, December 31, December 31, December 31, (In thousands) 2019 2018 2019 2018 Fair value of servicing rights $ 58,842 $ 69,400 $ 92,064 $ 100,377 Weighted average life (in years) 6.7 7.1 6.3 6.6 Weighted average prepayment speed (annual rate) 5.7 % 5.1 % 6.2 % 5.5 % Impact on fair value of 10% adverse change $ ( 1,303) $ ( 1,430) $ ( 2,306) $ ( 2,200) Impact on fair value of 20% adverse change $ ( 2,568) $ ( 2,817) $ ( 4,525) $ ( 4,328) Weighted average discount rate (annual rate) 11.4 % 11.5 % 11.0 % 11.0 % Impact on fair value of 10% adverse change $ ( 2,381) $ ( 3,125) $ ( 3,603) $ ( 4,354) Impact on fair value of 20% adverse change $ ( 4,596) $ ( 6,019) $ ( 6,959) $ ( 8,394) |
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Table Text Block] | 2019 (In thousands) Total principal amount of loans, net of unearned Principal amount 60 days or more past due Net credit losses (recoveries) Loans (owned and managed): Commercial $ 12,312,751 $ 200,568 $ 66,119 Construction 831,092 145 ( 898) Legacy 22,105 2,007 ( 1,399) Lease financing 1,059,507 6,710 9,337 Mortgage 8,404,911 1,071,537 40,644 Consumer 5,997,886 140,928 142,470 Less: Loans securitized / sold 1,162,176 72,574 ( 1,146) Loans held-for-sale 59,203 - - Loans held-in-portfolio $ 27,406,873 $ 1,349,321 $ 257,419 2018 (In thousands) Total principal amount of loans, net of unearned Principal amount 60 days or more past due Net credit losses (recoveries) Loans (owned and managed): Commercial $ 12,043,019 $ 290,759 $ 85,715 Construction 779,449 13,848 4,452 Legacy 25,949 3,072 ( 2,032) Lease financing 934,773 5,140 6,030 Mortgage 8,620,667 1,315,384 66,209 Consumer 5,489,441 117,775 122,170 Less: Loans securitized / sold 1,333,987 129,443 394 Loans held-for-sale 51,422 - - Loans held-in-portfolio $ 26,507,889 $ 1,616,535 $ 282,150 |
Premises and equipment (Tables)
Premises and equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment | |
Premises and equipment | (In thousands) Useful life in years 2019 2018 Premises and equipment: Land $ 114,481 $ 120,519 Buildings 10- 50 535,602 515,985 Equipment 2- 10 362,543 336,722 Leasehold improvements 3- 10 92,923 84,244 991,068 936,951 Less - Accumulated depreciation and amortization 561,742 533,930 Subtotal 429,326 403,021 Construction in progress 12,843 32,334 Premises and equipment, net $ 556,650 $ 555,874 Other premises and equipment: Buildings under capital leases 7- 20 $ - $ 28,264 Less - Accumulated amortization - 14,330 Other premises and equipment, net $ - $ 13,934 Total premises and equipment, net $ 556,650 $ 569,808 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Real Estate [Abstract] | |
Other Real Estate Owned Roll Forward [Table Text Block] | For the year ended December 31, 2019 Non-covered Non-covered OREO OREO (In thousands) Commercial/Construction Mortgage Total Balance at beginning of period $ 21,794 $ 114,911 $ 136,705 Write-downs in value ( 1,584) ( 4,541) ( 6,125) Additions 6,801 62,630 69,431 Sales ( 9,892) ( 67,137) ( 77,029) Other adjustments ( 160) ( 750) ( 910) Ending balance $ 16,959 $ 105,113 $ 122,072 For the year ended December 31, 2018 Non-covered Non-covered Covered OREO OREO OREO (In thousands) Commercial/Construction Mortgage Mortgage Total Balance at beginning of period $ 21,411 $ 147,849 $ 19,595 $ 188,855 Write-downs in value ( 2,974) ( 10,380) ( 287) ( 13,641) Additions 10,688 41,167 - 51,855 Sales ( 8,108) ( 78,330) ( 3,282) ( 89,720) Other adjustments 777 ( 728) ( 693) ( 644) Transfer to non-covered status [1] - 15,333 ( 15,333) - Ending balance $ 21,794 $ 114,911 $ - $ 136,705 [1] Represents the reclassification of OREOs to the non-covered category, pursuant to the Termination Agreement of all shared-loss agreements with the Federal Deposit Insurance Corporation related to loans acquired from Westernbank, that was completed on May 22, 2018. For the year ended December 31, 2017 Non-covered Non-covered Covered OREO OREO OREO (In thousands) Commercial/ Construction Mortgage Mortgage Total Balance at beginning of period $ 20,401 $ 160,044 $ 32,128 $ 212,573 Write-downs in value [1] ( 5,011) ( 16,876) ( 3,311) ( 25,198) Additions 8,918 70,763 9,912 89,593 Sales ( 2,765) ( 68,145) ( 16,273) ( 87,183) Other adjustments ( 132) 2,063 ( 2,861) ( 930) Ending balance $ 21,411 $ 147,849 $ 19,595 $ 188,855 [1] Includes $ 2.7 million related to the damages from Hurricane Maria, of which $ 1.3 million were for commercial and $ 1.4 million for residential. |
Other assets (Tables)
Other assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Assets Abstract | |
Schedule Of Other Assets Table Text Block | (In thousands) December 31, 2019 December 31, 2018 Net deferred tax assets (net of valuation allowance) $ 886,353 $ 1,049,895 Investments under the equity method 237,081 228,072 Prepaid taxes 47,226 33,842 Other prepaid expenses 82,425 82,742 Derivative assets 17,966 13,603 Trades receivable from brokers and counterparties 47,049 40,088 Principal, interest and escrow servicing advances 77,800 88,371 Guaranteed mortgage loan claims receivable 108,946 59,613 Operating ROU assets (Note 35) 149,849 - Finance ROU assets (Note 35) 12,888 - Others 152,032 117,908 Total other assets $ 1,819,615 $ 1,714,134 |
Investment in equity investees
Investment in equity investees (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments And Joint Ventures | |
Schedule Of Equity Method Investees [Table Text Block] | Years ended December 31, 2019 2018 2017 (In thousands) Operating results: Total revenues $ 927,510 $ 1,074,055 $ 931,627 Total expenses 677,385 673,632 663,069 Income tax expense 54,936 65,817 42,799 Net income $ 195,189 $ 334,606 $ 225,759 At December 31, 2019 2018 (In thousands) Balance Sheet: Total assets $ 7,911,752 $ 8,652,539 Total liabilities $ 6,425,642 $ 6,090,722 |
Goodwill and other intangible_2
Goodwill and other intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure | |
Carrying Amount of Goodwill by Reportable Segments and Corporate Group | 2018 Purchase Balance at Goodwill on accounting Goodwill Balance at (In thousands) January 1, 2018 acquisition adjustments impairment December 31, 2018 Banco Popular de Puerto Rico $ 276,420 $ 60,242 $ ( 16,414) $ - $ 320,248 Popular U.S. 350,874 - - - 350,874 Total Popular, Inc. $ 627,294 $ 60,242 $ ( 16,414) $ - $ 671,122 December 31, 2019 Balance at Balance at Balance at Balance at January 1, Accumulated January 1, December 31, Accumulated December 31, 2019 impairment 2019 2019 impairment 2019 (In thousands) (gross amounts) losses (net amounts) (gross amounts) losses (net amounts) Banco Popular de Puerto Rico $ 324,049 $ 3,801 $ 320,248 $ 324,049 $ 3,801 $ 320,248 Popular U.S. 515,285 164,411 350,874 515,285 164,411 350,874 Total Popular, Inc. $ 839,334 $ 168,212 $ 671,122 $ 839,334 $ 168,212 $ 671,122 December 31, 2018 Balance at Balance at Balance at Balance at January 1, Accumulated January 1, December 31, Accumulated December 31, 2018 impairment 2018 2018 impairment 2018 (In thousands) (gross amounts) losses (net amounts) (gross amounts) losses (net amounts) Banco Popular de Puerto Rico $ 280,221 $ 3,801 $ 276,420 $ 324,049 $ 3,801 $ 320,248 Popular U.S. 515,285 164,411 350,874 515,285 164,411 350,874 Total Popular, Inc. $ 795,506 $ 168,212 $ 627,294 $ 839,334 $ 168,212 $ 671,122 |
Schedule Of Finite Lived Intangible Assets By Major Class Text Block | Gross Net Carrying Accumulated Carrying (In thousands) Amount Amortization Value December 31, 2019 Core deposits $ 37,224 $ 29,792 $ 7,432 Other customer relationships 42,909 28,075 14,834 Trademark 488 138 350 Total other intangible assets $ 80,621 $ 58,005 $ 22,616 December 31, 2018 Core deposits $ 37,224 $ 26,070 $ 11,154 Other customer relationships 34,915 25,847 9,068 Trademark 488 41 447 Total other intangible assets $ 72,627 $ 51,958 $ 20,669 |
Schedule Of Expected Amortization Expense Table Text Block | (In thousands) Year 2020 $ 6,369 Year 2021 3,559 Year 2022 2,683 Year 2023 2,642 Year 2024 2,355 Later years 5,008 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Interest bearing deposits | (In thousands) December 31, 2019 December 31, 2018 Savings accounts $ 10,618,629 $ 9,722,824 NOW, money market and other interest bearing demand deposits 16,305,007 13,221,415 Total savings, NOW, money market and other interest bearing demand deposits 26,923,636 22,944,239 Certificates of deposit: Under $100,000 3,133,840 3,260,330 $100,000 and over 4,540,957 4,356,434 Total certificates of deposit 7,674,797 7,616,764 Total interest bearing deposits $ 34,598,433 $ 30,561,003 |
Summary Of Certificates Of Deposit By Maturity Disclosures | (In thousands) 2020 $ 4,612,460 2021 1,149,007 2022 734,322 2023 502,572 2024 615,875 2025 and thereafter 60,561 Total certificates of deposit $ 7,674,797 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Instrument [Domain] | |
Schedule of Repurchase Agreements [Table Text Block] | December 31, 2019 December 31, 2018 Repurchase liability Repurchase liability Repurchase weighted average Repurchase weighted average (Dollars in thousands) liability interest rate liability interest rate U.S. Treasury securities Within 30 days $ 88,646 2.59 % $ 138,689 2.56 % After 30 to 90 days 78,061 2.36 79,374 2.47 After 90 days 24,538 2.52 19,558 2.72 Total U.S. Treasury securities 191,245 2.49 237,621 2.54 Obligations of U.S. government sponsored entities After 30 to 90 days - - 6,055 2.45 Total obligations of U.S. government sponsored entities - - 6,055 2.45 Mortgage-backed securities Within 30 days 1,235 0.30 6,859 1.15 After 90 days - - 20,465 2.75 Total mortgage-backed securities 1,235 0.30 27,324 2.35 Collateralized mortgage obligations Within 30 days 898 0.24 10,529 0.25 Total collateralized mortgage obligations 898 0.24 10,529 0.25 Total $ 193,378 2.46 % $ 281,529 2.43 % |
Schedule of Notes Payable [Table Text Block] | (In thousands) December 31, 2019 December 31, 2018 Advances with the FHLB with maturities ranging from 2020 through 2029 paying interest at monthly fixed rates ranging from 1.14% to 4.19% (2018 - 0.95% to 4.19%) $ 421,399 $ 524,052 Advances with the FHLB maturing on 2019 paying interest monthly at a floating rate of 0.34% over 1 month LIBOR - 13,000 Advances with the FHLB maturing on 2019 paying interest quarterly at floating rates ranging from 0.12% to 0.24% over the 3 month LIBOR - 19,724 Unsecured senior debt securities maturing on 2023 paying interest semiannually at a fixed rate of 6.125%, net of debt issuance costs of $ 4,693 (2018 - $ 5,961) 295,307 294,039 Junior subordinated deferrable interest debentures (related to trust preferred securities) with maturities ranging from 2033 to 2034 with fixed interest rates ranging from 6.125% to 6.7%, net of debt issuance costs of $ 396 (2018 - $ 423) 384,902 384,875 Capital lease obligations - 20,412 Total notes payable $ 1,101,608 $ 1,256,102 |
Maturity Distribution Of Debt Securities [Text Block] | Assets sold under (In thousands) agreements to repurchase Notes payable Total 2020 $ 193,378 $ 139,920 $ 333,298 2021 - 50,040 50,040 2022 - 103,148 103,148 2023 - 318,568 318,568 2024 - 28,373 28,373 Later years - 461,559 461,559 Total borrowings $ 193,378 $ 1,101,608 $ 1,294,986 |
Federal Funds Purchased And Securities Sold Under Agreements To Repurchase [Member] | |
Schedule Of Maximum Aggregate Balance Average Aggregate Balance And Weighted Average Interest Rate [Text Block] | Assets sold under agreements to repurchase: (Dollars in thousands) 2019 2018 Maximum aggregate balance outstanding at any month-end $ 281,833 $ 401,606 Average monthly aggregate balance outstanding $ 222,565 $ 330,585 Weighted average interest rate: For the year 2.64 % 2.01 % At December 31 2.50 % 2.44 % |
Short-term Debt [Member] | |
Schedule Of Maximum Aggregate Balance Average Aggregate Balance And Weighted Average Interest Rate [Text Block] | Other short-term borrowings: (Dollars in thousands) 2019 2018 Others $ - $ 42 Balance outstanding at the end of the period $ - $ 42 Maximum aggregate balance outstanding at any month-end $ 160,000 $ 186,200 Average monthly aggregate balance outstanding $ 8,703 $ 27,833 Weighted average interest rate: For the year 2.50 % 2.04 % At December 31 1.85 % 2.53 % |
Trust preferred securities (Tab
Trust preferred securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
Schedule Of Financial Data Pertaining To Different Trusts Table [Text Block] | (Dollars in thousands) Popular Popular North America Popular Issuer Capital Trust I Capital Trust I Capital Trust Il Capital securities $ 181,063 $ 91,651 $ 101,023 Distribution rate 6.700 % 6.564 % 6.125 % Common securities $ 5,601 $ 2,835 $ 3,125 Junior subordinated debentures aggregate liquidation amount $ 186,664 $ 94,486 $ 104,148 Stated maturity date November 2033 September 2034 December 2034 Reference notes [2],[4],[5] [1],[3],[5] [2],[4],[5] [1] Statutory business trust that is wholly-owned by PNA and indirectly wholly-owned by the Corporation. [2] Statutory business trust that is wholly-owned by the Corporation. [3] The obligations of PNA under the junior subordinated debentures and its guarantees of the capital securities under the trust are fully and unconditionally guaranteed on a subordinated basis by the Corporation to the extent set forth in the applicable guarantee agreement. [4] These capital securities are fully and unconditionally guaranteed on a subordinated basis by the Corporation to the extent set forth in the applicable guarantee agreement. [5] The Corporation has the right, subject to any required prior approval from the Federal Reserve, to redeem after certain dates or upon the occurrence of certain events mentioned below, the junior subordinated debentures at a redemption price equal to 100% of the principal amount, plus accrued and unpaid interest to the date of redemption. The maturity of the junior subordinated debentures may be shortened at the option of the Corporation prior to their stated maturity dates (i) on or after the stated optional redemption dates stipulated in the agreements, in whole at any time or in part from time to time, or (ii) in whole, but not in part, at any time within 90 days following the occurrence and during the continuation of a tax event, an investment company event or a capital treatment event as set forth in the indentures relating to the capital securities, in each case subject to regulatory approval. |
Other liabilities (Tables)
Other liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities Disclosure Abstract | |
Other Liabilities Table Text Block | (In thousands) December 31, 2019 December 31, 2018 Accrued expenses $ 273,184 $ 276,120 Accrued interest payable 44,026 44,638 Accounts payable 65,688 66,381 Dividends payable 29,027 25,092 Trades payable 4,084 64 Liability for GNMA loans sold with an option to repurchase 102,663 134,260 Reserves for loan indemnifications 38,074 67,066 Reserve for operational losses 35,665 40,921 Operating lease liabilities (Note 35) 165,139 - Finance lease liabilities (Note 35) 19,810 - Pension benefit obligation 52,616 68,736 Postretirement benefit obligation 168,681 153,415 Others 46,296 45,115 Total other liabilities $ 1,044,953 $ 921,808 |
Regulatory capital requiremen_2
Regulatory capital requirements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
Schedule Of Compliance With Regulatory Capital Requirements Under Banking Regulations | Actual Capital adequacy minimum requirement (including conservation capital buffer) (Dollars in thousands) Amount Ratio Amount Ratio 2019 Total Capital (to Risk-Weighted Assets): Corporation $ 5,858,615 20.31 % $ 3,028,239 10.500 % BPPR 4,226,374 19.98 2,220,908 10.500 PB 1,211,045 16.98 748,836 10.500 Common Equity Tier I Capital (to Risk-Weighted Assets): Corporation $ 5,121,240 17.76 % $ 2,018,826 7.000 % BPPR 3,958,518 18.72 1,480,605 7.000 PB 1,165,710 16.35 499,224 7.000 Tier I Capital (to Risk-Weighted Assets): Corporation $ 5,121,240 17.76 % $ 2,451,431 8.500 % BPPR 3,958,518 18.72 1,797,878 8.500 PB 1,165,710 16.35 606,200 8.500 Tier I Capital (to Average Assets): Corporation $ 5,121,240 10.03 % $ 2,042,299 4 % BPPR 3,958,518 9.62 1,645,851 4 PB 1,165,710 12.33 378,041 4 Actual Capital adequacy minimum requirement (including conservation capital buffer) (Dollars in thousands) Amount Ratio Amount Ratio 2018 Total Capital (to Risk-Weighted Assets): Corporation $ 5,354,199 19.54 % $ 2,706,117 9.875 % BPPR 3,900,536 19.00 2,027,005 9.875 PB 1,148,253 17.82 636,450 9.875 Common Equity Tier I Capital (to Risk-Weighted Assets): Corporation $ 4,631,511 16.90 % $ 1,746,987 6.375 % BPPR 3,638,009 17.72 1,308,573 6.375 PB 1,085,829 16.85 410,873 6.375 Tier I Capital (to Risk-Weighted Assets): Corporation $ 4,631,511 16.90 % $ 2,158,043 7.875 % BPPR 3,638,009 17.72 1,616,473 7.875 PB 1,085,829 16.85 507,549 7.875 Tier I Capital (to Average Assets): Corporation $ 4,631,511 9.88 % $ 1,875,057 4 % BPPR 3,638,009 9.62 1,512,568 4 PB 1,085,829 12.42 349,580 4 |
Schedule Of Minimum Amount And Ratios To Be Categorized As Well Capitalized | 2019 2018 (Dollars in thousands) Amount Ratio Amount Ratio Total Capital (to Risk-Weighted Assets): BPPR $ 2,115,150 10 % $ 2,052,664 10 % PB 713,177 10 644,506 10 Common Equity Tier I Capital (to Risk-Weighted Assets): BPPR $ 1,374,848 6.5 % $ 1,334,231 6.5 % PB 463,565 6.5 418,929 6.5 Tier I Capital (to Risk-Weighted Assets): BPPR $ 1,692,120 8 % $ 1,642,131 8 % PB 570,542 8 515,605 8 Tier I Capital (to Average Assets): BPPR $ 2,057,314 5 % $ 1,890,709 5 % PB 472,551 5 436,975 5 |
Other comprehensive income (l_2
Other comprehensive income (loss) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
Schedule of accumulated other comprehensive income | Changes in Accumulated Other Comprehensive Loss by Component [1] Years ended December 31, (In thousands) 2019 2018 2017 Foreign currency translation Beginning Balance $ ( 49,936) $ ( 43,034) $ ( 39,956) Other comprehensive loss ( 6,847) ( 6,902) ( 3,078) Net change ( 6,847) ( 6,902) ( 3,078) Ending balance $ ( 56,783) $ ( 49,936) $ ( 43,034) Adjustment of pension and postretirement benefit plans Beginning Balance $ ( 203,836) $ ( 205,408) $ ( 211,610) Other comprehensive loss before reclassifications ( 13,671) ( 9,453) ( 5,164) Amounts reclassified from accumulated other comprehensive loss for amortization of net losses 14,691 13,141 13,684 Amounts reclassified from accumulated other comprehensive loss for amortization of prior service credit - ( 2,116) ( 2,318) Net change 1,020 1,572 6,202 Ending balance $ ( 202,816) $ ( 203,836) $ ( 205,408) Unrealized net holding gains (losses) on debt securities Beginning Balance $ ( 173,811) $ ( 102,775) $ ( 69,003) Other comprehensive income (loss) before reclassifications 265,950 ( 71,036) ( 40,446) Other-than-temporary impairment amounts reclassified from accumulated other comprehensive loss - - 6,740 Amounts reclassified from accumulated other comprehensive loss for losses (gains) on securities 16 - ( 66) Net change 265,966 ( 71,036) ( 33,772) Ending balance $ 92,155 $ ( 173,811) $ ( 102,775) Unrealized net holding gains on equity securities Beginning Balance $ - $ 605 $ 685 Reclassification to retained earnings due to cumulative effect adjustment of accounting change - ( 605) - Other comprehensive income before reclassifications - - 121 Amounts reclassified from accumulated other comprehensive income for gains on securities - - ( 201) Net change - ( 605) ( 80) Ending balance $ - $ - $ 605 Unrealized net losses on cash flow hedges Beginning Balance $ ( 391) $ ( 40) $ ( 402) Reclassification to retained earnings due to cumulative effect adjustment of accounting change ( 50) - - Other comprehensive (loss) income before reclassifications ( 4,439) 326 ( 790) Amounts reclassified from accumulated other comprehensive loss 2,386 ( 677) 1,152 Net change ( 2,103) ( 351) 362 Ending balance $ ( 2,494) $ ( 391) $ ( 40) Total $ ( 169,938) $ ( 427,974) $ ( 350,652) [1] All amounts presented are net of tax. |
Reclassification out of accumulated other comprehensive income | Reclassifications Out of Accumulated Other Comprehensive Loss Affected Line Item in the Years ended December 31, (In thousands) Consolidated Statements of Operations 2019 2018 2017 Adjustment of pension and postretirement benefit plans Amortization of net losses Personnel costs $ ( 23,508) $ ( 21,542) $ ( 22,428) Amortization of prior service credit Personnel costs - 3,470 3,800 Total before tax ( 23,508) ( 18,072) ( 18,628) Income tax benefit 8,817 7,047 7,262 Total net of tax $ ( 14,691) $ ( 11,025) $ ( 11,366) Unrealized holding gains (losses) on debt securities Realized (loss) gain on sale of debt securities Net (loss) gain on sale of debt securities $ ( 20) $ - $ 83 Other-than-temporary impairment losses on debt securities - - ( 8,299) Total before tax ( 20) - ( 8,216) Income tax benefit 4 - 1,542 Total net of tax $ ( 16) $ - $ ( 6,674) Unrealized holding gains on equity securities Realized gain on sale of equity securities Net gain, including impairment on equity securities $ - $ - $ 251 Total before tax - - 251 Income tax expense - - ( 50) Total net of tax $ - $ - $ 201 Unrealized net (losses) gains on cash flow hedges Forward contracts Mortgage banking activities $ ( 3,992) $ 1,110 $ ( 1,888) Interest rate swaps Other operating income 110 - - Total before tax ( 3,882) 1,110 ( 1,888) Income tax benefit (expense) 1,496 ( 433) 736 Total net of tax $ ( 2,386) $ 677 $ ( 1,152) Total reclassification adjustments, net of tax $ ( 17,093) $ ( 10,348) $ ( 18,991) |
Guarantees (Tables)
Guarantees (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Guarantee on loans sold or serviced with credit recourse | |
Credit Recourse Agreements Reserve Table [Text Block] | Years ended December 31, (In thousands) 2019 2018 Balance as of beginning of period $ 56,230 $ 58,820 Provision for recourse liability 2,122 12,200 Net charge-offs ( 23,490) ( 14,790) Balance as of end of period $ 34,862 $ 56,230 |
Banco Popular de Puerto Rico | Guarantee on loans sold or serviced with representation and warranties | |
Indemnifications and Representations and Warranties Table [Text Block] | Years ended December 31, (In thousands) 2019 2018 Balance as of beginning of period $ 10,837 $ 11,742 Provision (reversal) for representation and warranties ( 5,020) 78 Net charge-offs ( 75) ( 983) Settlements paid ( 2,530) - Balance as of end of period $ 3,212 $ 10,837 |
Commitments and contingencies (
Commitments and contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure | |
Schedule Of Fair Value Off Balance Sheet Risks Text Block | (In thousands) December 31, 2019 December 31, 2018 Commitments to extend credit: Credit card lines $ 4,889,694 $ 4,468,481 Commercial and construction lines of credit 3,205,306 2,751,390 Other consumer unused credit commitments 262,516 254,491 Commercial letters of credit 2,629 2,695 Standby letters of credit 75,186 26,479 Commitments to originate or fund mortgage loans 96,653 22,629 |
Schedule Of Direct Exposure To The Puerto Rico Government By Maturity [Text Block] | (In thousands) Investment Portfolio Loans Total Outstanding Total Exposure Central Government After 1 to 5 years $ 8 $ - $ 8 $ 8 After 5 to 10 years 30 - 30 30 After 10 years 540 - 540 540 Total Central Government 578 - 578 578 Municipalities Within 1 year 3,745 78,108 81,853 81,853 After 1 to 5 years 17,580 139,283 156,863 156,863 After 5 to 10 years 18,195 82,967 101,162 101,162 After 10 years 655 90,601 91,256 91,256 Total Municipalities 40,175 390,959 431,134 431,134 Total Direct Government Exposure $ 40,753 $ 390,959 $ 431,712 $ 431,712 |
Non-consolidated variable int_2
Non-consolidated variable interest entities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
FNMA, GNMA, FHLMC VIE | |
Carrying Amount and Classification of Assets Related to the Corporation's Variable Interests in Non-Consolidated VIEs and Maximum Exposure to Loss | (In thousands) December 31, 2019 December 31, 2018 Assets Servicing assets: Mortgage servicing rights $ 115,718 $ 136,280 Total servicing assets $ 115,718 $ 136,280 Other assets: Servicing advances $ 29,212 $ 37,988 Total other assets $ 29,212 $ 37,988 Total assets $ 144,930 $ 174,268 Maximum exposure to loss $ 144,930 $ 174,268 |
Corporate Joint Venture | |
Carrying Amount and Classification of Assets Related to the Corporation's Variable Interests in Non-Consolidated VIEs and Maximum Exposure to Loss | PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC (In thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Assets Other assets: Equity investment $ 6,306 $ 6,469 $ 3,333 $ 5,794 Total assets $ 6,306 $ 6,469 $ 3,333 $ 5,794 Liabilities Deposits $ ( 3) $ ( 2,566) $ ( 5,081) $ ( 7,994) Total liabilities $ ( 3) $ ( 2,566) $ ( 5,081) $ ( 7,994) Total net assets $ 6,303 $ 3,903 $ ( 1,748) $ ( 2,200) Maximum exposure to loss $ 6,303 $ 3,903 $ - $ - |
Derivative Instruments and he_3
Derivative Instruments and hedging activities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | Notional amount Derivative assets Derivative liabilities Statement of Fair value at Statement of Fair value at At December 31, condition December 31, condition December 31, (In thousands) 2019 2018 classification 2019 2018 classification 2019 2018 Derivatives designated as hedging instruments: Forward contracts $ 97,600 $ 89,590 Other assets $ 32 $ 12 Other liabilities $ 264 $ 734 Total derivatives designated as hedging instruments $ 97,600 $ 89,590 $ 32 $ 12 $ 264 $ 734 Derivatives not designated as hedging instruments: Interest rate caps 169,962 177,826 Other assets 1 125 Other liabilities 1 119 Indexed options on deposits 69,354 69,254 Other assets 17,933 13,466 - - - Bifurcated embedded options 66,755 62,902 - - - Interest bearing deposits 16,354 11,467 Total derivatives not designated as hedging instruments $ 306,071 $ 309,982 $ 17,934 $ 13,591 $ 16,355 $ 11,586 Total derivative assets and liabilities $ 403,671 $ 399,572 $ 17,966 $ 13,603 $ 16,619 $ 12,320 |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block] | Year ended December 31, 2019 (In thousands) Amount of net gain (loss) recognized in OCI on derivatives (effective portion) Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) Amount of net gain (loss) reclassified from AOCI into income (effective portion) Amount of net gain (loss) recognized in income on derivatives (ineffective portion) Forward contracts $ ( 3,502) Mortgage banking activities $ ( 3,992) $ - Total $ ( 3,502) $ ( 3,992) $ - Year ended December 31, 2018 (In thousands) Amount of net gain (loss) recognized in OCI on derivatives (effective portion) Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) Amount of net gain (loss) reclassified from AOCI into income (effective portion) Amount of net gain (loss) recognized in income on derivatives (ineffective portion) Forward contracts $ 536 Mortgage banking activities $ 1,202 $ ( 92) Total $ 536 $ 1,202 $ ( 92) Year ended December 31, 2017 (In thousands) Amount of net gain (loss) recognized in OCI on derivatives (effective portion) Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) Amount of net gain (loss) reclassified from AOCI into income (effective portion) Amount of net gain (loss) recognized in income on derivatives (ineffective portion) Forward contracts $ ( 1,295) Mortgage banking activities $ ( 1,920) $ 32 Total $ ( 1,295) $ ( 1,920) $ 32 |
Schedule of Derivative Instruments Included in Trading Activities [Table Text Block] | Amount of Net Gain (Loss) Recognized in Income on Derivatives Year ended Year ended Year ended Classification of Net Gain (Loss) December 31, December 31, December 31, (In thousands) Recognized in Income on Derivatives 2019 2018 2017 Forward contracts Mortgage banking activities $ ( 2,254) $ 1,213 $ ( 1,484) Interest rate swaps Other operating income - - 51 Foreign currency forward contracts Other operating income - - 67 Foreign currency forward contracts Interest expense - - ( 14) Interest rate caps Other operating income ( 5) ( 4) ( 48) Indexed options on deposits Interest expense 7,898 114 5,934 Bifurcated embedded options Interest expense ( 6,883) ( 50) ( 5,429) Total $ ( 1,244) $ 1,273 $ ( 923) |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Schedule of Related Party Transactions [Table Text Block] | (In thousands) Balance at December 31, 2017 $ 182,989 New loans 1,068 Payments ( 12,040) Other changes ( 38,698) Balance at December 31, 2018 $ 133,319 New loans 1,491 Payments ( 1,800) Other changes, including existing loans to new related parties 44 Balance at December 31, 2019 $ 133,054 New loans and payments include disbursements and collections from existing lines of credit. |
EVERTEC Inc. | |
Schedule Equity Method Investments Table [Text Block] | (In thousands) December 31, 2019 December 31, 2018 Equity investment in EVERTEC $ 73,534 $ 60,591 |
Proportionate Share Of Income Loss And Changes In Stockholders Equity TableTextBlock | Years ended December 31, (In thousands) 2019 2018 2017 Share of income from investment in EVERTEC $ 16,749 $ 13,892 $ 8,924 Share of other changes in EVERTEC's stockholders' equity 516 1,659 2,659 Share of EVERTEC's changes in equity recognized in income $ 17,265 $ 15,551 $ 11,583 |
Income Statement Data Resulting From Related Party Transactions Table [Text Block] | Years ended December 31, (In thousands) 2019 2018 2017 Category Interest expense on deposits $ ( 106) $ ( 79) $ ( 44) Interest expense ATH and credit cards interchange income from services to EVERTEC 29,224 33,658 28,136 Other service fees Rental income charged to EVERTEC 7,418 7,271 6,855 Net occupancy Fees on services provided by EVERTEC ( 219,992) ( 174,048) ( 176,971) Professional fees Other services provided to EVERTEC 1,118 1,059 1,236 Other operating expenses Total $ ( 182,338) $ ( 132,139) $ ( 140,788) |
Balance Sheet Data Resulting From Related Party Transactions Table [Text Block] | (In thousands) December 31, 2019 December 31, 2018 Accounts receivable (Other assets) $ 7,779 $ 6,829 Deposits ( 63,850) ( 28,606) Accounts payable (Other liabilities) ( 1,290) ( 3,671) Net total $ ( 57,361) $ ( 25,448) |
PRLP 2011 Holding, LLC and PR Asset Portfolio 2013-1 International, LLC | |
Schedule Equity Method Investments Table [Text Block] | PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC (In thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Equity investment $ 6,306 $ 6,469 $ 3,333 $ 5,794 |
Proportionate Share Of Income Loss And Changes In Stockholders Equity TableTextBlock | PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC Years ended December 31, (In thousands) 2019 2018 2019 2018 Share of (loss) income from the equity investment $ ( 163) $ ( 356) $ 231 $ ( 5,073) |
Balance Sheet Data Resulting From Related Party Transactions Table [Text Block] | PRLP 2011 Holdings, LLC PR Asset Portfolio 2013-1 International, LLC (In thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Deposits (non-interest bearing) $ ( 3) $ ( 2,566) $ ( 5,081) $ ( 7,994) |
Fair value measurement (Tables)
Fair value measurement (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures | |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | At December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Total RECURRING FAIR VALUE MEASUREMENTS Assets Debt securities available-for-sale: U.S. Treasury securities $ 3,841,715 $ 8,214,540 $ - $ 12,056,255 Obligations of U.S. Government sponsored entities - 122,404 - 122,404 Obligations of Puerto Rico, States and political subdivisions - 6,975 - 6,975 Collateralized mortgage obligations - federal agencies - 586,175 - 586,175 Mortgage-backed securities - 4,875,132 1,182 4,876,314 Other - 350 - 350 Total debt securities available-for-sale $ 3,841,715 $ 13,805,576 $ 1,182 $ 17,648,473 Trading account debt securities, excluding derivatives: U.S. Treasury securities $ 7,081 $ 2 $ - $ 7,083 Obligations of Puerto Rico, States and political subdivisions - 633 - 633 Collateralized mortgage obligations - 76 530 606 Mortgage-backed securities - 28,556 - 28,556 Other - 3,003 440 3,443 Total trading account debt securities, excluding derivatives $ 7,081 $ 32,270 $ 970 $ 40,321 Equity securities $ - $ 21,327 $ - $ 21,327 Mortgage servicing rights - - 150,906 150,906 Derivatives - 17,966 - 17,966 Total assets measured at fair value on a recurring basis $ 3,848,796 $ 13,877,139 $ 153,058 $ 17,878,993 Liabilities Derivatives $ - $ ( 16,619) $ - $ ( 16,619) Total liabilities measured at fair value on a recurring basis $ - $ ( 16,619) $ - $ ( 16,619) At December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Total RECURRING FAIR VALUE MEASUREMENTS Assets Debt securities available-for-sale: U.S. Treasury securities $ 2,719,740 $ 5,552,456 $ - $ 8,272,196 Obligations of U.S. Government sponsored entities - 333,309 - 333,309 Obligations of Puerto Rico, States and political subdivisions - 6,742 - 6,742 Collateralized mortgage obligations - federal agencies - 728,671 - 728,671 Mortgage-backed securities - 3,957,545 1,233 3,958,778 Other - 488 - 488 Total debt securities available-for-sale $ 2,719,740 $ 10,579,211 $ 1,233 $ 13,300,184 Trading account debt securities, excluding derivatives: U.S. Treasury securities $ 6,278 $ - $ - $ 6,278 Obligations of Puerto Rico, States and political subdivisions - 134 - 134 Collateralized mortgage obligations - 48 611 659 Mortgage-backed securities - 27,214 43 27,257 Other - 2,974 485 3,459 Total trading account debt securities, excluding derivatives $ 6,278 $ 30,370 $ 1,139 $ 37,787 Equity securities $ - $ 13,296 $ - $ 13,296 Mortgage servicing rights - - 169,777 169,777 Derivatives - 13,603 - 13,603 Total assets measured at fair value on a recurring basis $ 2,726,018 $ 10,636,480 $ 172,149 $ 13,534,647 Liabilities Derivatives $ - $ ( 12,320) $ - $ ( 12,320) Total liabilities measured at fair value on a recurring basis $ - $ ( 12,320) $ - $ ( 12,320) |
Nonrecurring fair value measurements | Year ended December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Total NONRECURRING FAIR VALUE MEASUREMENTS Assets Write-downs Loans [1] $ - $ - $ 35,363 $ 35,363 $ ( 13,533) Other real estate owned [2] - - 18,132 18,132 ( 3,526) Other foreclosed assets [2] - - 1,213 1,213 ( 156) Long-lived assets held-for-sale [3] - - 2,500 2,500 ( 2,591) Total assets measured at fair value on a nonrecurring basis $ - $ - $ 57,208 $ 57,208 $ ( 19,806) [1] Relates mostly to certain impaired collateral dependent loans. The impairment was measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35. Costs to sell are excluded from the reported fair value amount. [2] Represents the fair value of foreclosed real estate and other collateral owned that were written down to their fair value. Costs to sell are excluded from the reported fair value amount. [3] Represents the fair value of long-lived assets held-for-sale that were written down to their fair value. Year ended December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Total NONRECURRING FAIR VALUE MEASUREMENTS Assets Write-downs Loans [1] $ - $ - $ 73,893 $ 73,893 $ ( 25,745) Other real estate owned [2] - - 43,463 43,463 ( 9,189) Other foreclosed assets [2] - - 1,349 1,349 ( 722) Total assets measured at fair value on a nonrecurring basis $ - $ - $ 118,705 $ 118,705 $ ( 35,656) [1] Relates mostly to certain impaired collateral dependent loans. The impairment was measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35. Costs to sell are excluded from the reported fair value amount. [2] Represents the fair value of foreclosed real estate and other collateral owned that were written down to their fair value. Costs to sell are excluded from the reported fair value amount. Year ended December 31, 2017 (In thousands) Level 1 Level 2 Level 3 Total NONRECURRING FAIR VALUE MEASUREMENTS Assets Write-downs Loans [1] $ - $ - $ 64,041 $ 64,041 $ ( 16,807) Other real estate owned [2] [3] - - 89,743 89,743 ( 19,085) Other foreclosed assets [2] - - 2,176 2,176 ( 890) Total assets measured at fair value on a nonrecurring basis $ - $ - $ 155,960 $ 155,960 $ ( 36,782) [1] Relates mostly to certain impaired collateral dependent loans. The impairment was measured based on the fair value of the collateral, which is derived from appraisals that take into consideration prices in observed transactions involving similar assets in similar locations, in accordance with the provisions of ASC Section 310-10-35. Costs to sell are excluded from the reported fair value amount. [2] Represents the fair value of foreclosed real estate and other collateral owned that were written down to their fair value. Costs to sell are excluded from the reported fair value amount. [3] Write-down include $ 2.7 million related to estimated damages caused by Hurricanes Irma and Maria based on the sample of properties examined. |
Assets measured on recurring basis, unobservable input reconciliation | Year ended December 31, 2019 MBS Other classified CMOs securities as debt classified MBS classified securities as trading classified as as trading Mortgage available- account debt trading account account debt servicing Total (In thousands) for-sale securities debt securities securities rights assets Balance at January 1, 2019 $ 1,233 $ 611 $ 43 $ 485 $ 169,777 $ 172,149 Gains (losses) included in earnings - ( 1) ( 1) ( 45) ( 27,516) ( 27,563) Gains (losses) included in OCI ( 1) - - - - ( 1) Additions - 71 25 - 9,143 9,239 Settlements ( 50) ( 151) ( 41) - ( 498) ( 740) Transfers out of Level 3 - - ( 26) - - ( 26) Balance at December 31, 2019 $ 1,182 $ 530 $ - $ 440 $ 150,906 $ 153,058 Changes in unrealized gains (losses) included in earnings relating to assets still held at December 31, 2019 $ - $ 1 $ - $ 20 $ ( 14,190) $ ( 14,169) Year ended December 31, 2018 MBS Other classified CMOs securities as debt classified MBS classified securities as trading classified as as trading Mortgage available- account debt trading account account debt servicing Total Contingent Total (In thousands) for-sale securities debt securities securities rights assets consideration [1] liabilities Balance at January 1, 2018 $ 1,288 $ 529 $ 43 $ 529 $ 168,031 $ 170,420 $ ( 164,858) $ ( 164,858) Gains (losses) included in earnings - 2 - ( 44) ( 8,477) ( 8,519) ( 6,112) ( 6,112) Gains (losses) included in OCI ( 5) - - - - ( 5) - - Additions - 260 - - 10,223 10,483 - - Settlements ( 50) ( 180) - - - ( 230) 170,970 170,970 Balance at December 31, 2018 $ 1,233 $ 611 $ 43 $ 485 $ 169,777 $ 172,149 $ - $ - Changes in unrealized gains (losses) included in earnings relating to assets still held at December 31, 2018 $ - $ 2 $ - $ 20 $ 8,703 $ 8,725 $ - $ - [1] Effective May 22, 2018, the Corporation entered into a Termination Agreement with the FDIC to terminate the Corporation’s loss share arrangement ahead of their contractual maturities. Refer to Note 10 for additional information. Year ended December 31, 2017 MBS Other classified CMOs securities as debt classified MBS classified securities as trading classified as as trading Mortgage available- account debt trading account account debt servicing Total Contingent Total (In thousands) for-sale securities debt securities securities rights assets consideration liabilities Balance at January 1, 2017 $ 1,392 $ 1,321 $ 4,755 $ 602 $ 196,889 $ 204,959 $ ( 153,158) $ ( 153,158) Gains (losses) included in earnings - - ( 124) ( 73) ( 36,519) ( 36,716) ( 11,700) ( 11,700) Gains (losses) included in OCI 9 - - - - 9 - - Additions - 44 332 - 7,661 8,037 - - Sales - ( 365) ( 156) - - ( 521) - - Settlements ( 25) ( 195) ( 876) - - ( 1,096) - - Transfers out of Level 3 ( 88) ( 276) ( 3,888) - - ( 4,252) - - Balance at December 31, 2017 $ 1,288 $ 529 $ 43 $ 529 $ 168,031 $ 170,420 $ ( 164,858) $ ( 164,858) Changes in unrealized gains (losses) included in earnings relating to assets still held at December 31, 2017 $ - $ - $ ( 3) $ 42 $ ( 18,986) $ ( 18,947) $ ( 11,700) $ ( 11,700) |
Gain (loss) included in earnings, measured on recurring basis | 2019 2018 2017 Total Changes in unrealized Total Changes in unrealized Total Changes in unrealized gains (losses) gains (losses) gains (losses) gains (losses) gains (losses) gains (losses) included relating to assets still included relating to assets still included relating to assets still (In thousands) in earnings held at reporting date in earnings held at reporting date in earnings held at reporting date FDIC loss share (expense) income $ - $ - $ ( 6,112) $ - $ ( 11,700) $ ( 11,700) Mortgage banking activities ( 27,516) ( 14,190) ( 8,477) 8,703 ( 36,519) ( 18,986) Trading account (loss) profit ( 47) 21 ( 42) 22 ( 197) 39 Total $ ( 27,563) $ ( 14,169) $ ( 14,631) $ 8,725 $ ( 48,416) $ ( 30,647) |
Fair value measurements, recurring and nonrecurring valuation techniques | Fair value at December 31, (In thousands) 2019 Valuation technique Unobservable inputs Weighted average (range) [1] CMO's - trading $ 530 Discounted cash flow model Weighted average life 1.6 years ( 1.3 - 1.8 years) Yield 4.0% ( 3.9% - 4.4%) Prepayment speed 18.3% ( 14.8% - 20.7%) Other - trading $ 440 Discounted cash flow model Weighted average life 3.8 years Yield 12.0% Prepayment speed 10.8% Mortgage servicing rights $ 150,906 Discounted cash flow model Prepayment speed 6%( 0.2% - 18.5%) Weighted average life 6.5 years ( 0.1 - 14.4 years) Discount rate 11.1% ( 9.5% - 14.7%) Loans held-in-portfolio $ 38,907 [2] External appraisal Haircut applied on external appraisals 10.0% Other real estate owned $ 16,119 [3] External appraisal Haircut applied on external appraisals 23.8% ( 5.0% - 35.0%) [1] Weighted average of significant unobservable inputs used to develop Level 3 fair value measurements were calculated by relative fair value. [2] Loans held-in-portfolio in which haircuts were not applied to external appraisals were excluded from this table. [3] Other real estate owned in which haircuts were not applied to external appraisals were excluded from this table. Fair value at December 31, (In thousands) 2018 Valuation technique Unobservable inputs Weighted average (range) [1] CMO's - trading $ 611 Discounted cash flow model Weighted average life 1.9 years ( 1.3 - 2.1 years) Yield 4.1% ( 3.9% - 4.4%) Prepayment speed 18.9% ( 16.3% - 20.7%) Other - trading $ 485 Discounted cash flow model Weighted average life 5.2 years Yield 12.0% Prepayment speed 10.8% Mortgage servicing rights $ 169,777 Discounted cash flow model Prepayment speed 5.3% ( 0.2% - 17.8%) Weighted average life 6.8 years ( 0.1 - 17.4 years) Discount rate 11.2% ( 9.5% - 15.0%) Loans held-in-portfolio $ 61,020 [2] External appraisal Haircut applied on external appraisals 10.3% ( 10.0% - 20.0%) Other real estate owned $ 35,233 [3] External appraisal Haircut applied on external appraisals 24.7% ( 15.0% - 30.0%) [1] Weighted average of significant unobservable inputs used to develop Level 3 fair value measurements were calculated by relative fair value. [2] Loans held-in-portfolio in which haircuts were not applied to external appraisals were excluded from this table. [3] Other real estate owned in which haircuts were not applied to external appraisals were excluded from this table. |
Fair value of financial instr_2
Fair value of financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures | |
Fair Value By Balance Sheet Grouping Text Block | December 31, 2019 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Assets: Cash and due from banks $ 388,311 $ 388,311 $ - $ - $ 388,311 Money market investments 3,262,286 3,256,274 6,012 - 3,262,286 Trading account debt securities, excluding derivatives [1] 40,321 7,081 32,270 970 40,321 Debt securities available-for-sale [1] 17,648,473 3,841,715 13,805,576 1,182 17,648,473 Debt securities held-to-maturity: Obligations of Puerto Rico, States and political subdivisions $ 85,556 $ - $ - $ 93,002 $ 93,002 Collateralized mortgage obligation-federal agency 45 - - 47 47 Securities in wholly owned statutory business trusts 11,561 - 11,561 - 11,561 Other 500 - 500 - 500 Total debt securities held-to-maturity $ 97,662 $ - $ 12,061 $ 93,049 $ 105,110 Equity securities: FHLB stock $ 43,787 $ - $ 43,787 $ - $ 43,787 FRB stock 93,470 - 93,470 - 93,470 Other investments 22,630 - 21,328 7,367 28,695 Total equity securities $ 159,887 $ - $ 158,585 $ 7,367 $ 165,952 Loans held-for-sale $ 59,203 $ - $ - $ 60,030 $ 60,030 Loans held-in-portfolio 26,929,165 - - 25,051,400 25,051,400 Mortgage servicing rights 150,906 - - 150,906 150,906 Derivatives 17,966 - 17,966 - 17,966 December 31, 2019 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Liabilities: Deposits: Demand deposits $ 36,083,809 $ - $ 36,083,809 $ - $ 36,083,809 Time deposits 7,674,797 - 7,598,732 - 7,598,732 Total deposits $ 43,758,606 $ - $ 43,682,541 $ - $ 43,682,541 Assets sold under agreements to repurchase $ 193,378 $ - $ 193,271 $ - $ 193,271 Notes payable: FHLB advances $ 421,399 $ - $ 429,718 $ - $ 429,718 Unsecured senior debt securities 295,307 - 323,415 - 323,415 Junior subordinated deferrable interest debentures (related to trust preferred securities) 384,902 - 395,216 - 395,216 Total notes payable $ 1,101,608 $ - $ 1,148,349 $ - $ 1,148,349 Derivatives $ 16,619 $ - $ 16,619 $ - $ 16,619 [1] Refer to Note 30 to the Consolidated Financial Statements for the fair value by class of financial asset and its hierarchy level December 31, 2018 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Assets: Cash and due from banks $ 394,035 $ 394,035 $ - $ - $ 394,035 Money market investments 4,171,048 4,161,832 9,216 - 4,171,048 Trading account debt securities, excluding derivatives [1] 37,787 6,278 30,370 1,139 37,787 Debt securities available-for-sale [1] 13,300,184 2,719,740 10,579,211 1,233 13,300,184 Debt securities held-to-maturity: Obligations of Puerto Rico, States and political subdivisions $ 89,459 $ - $ - $ 90,534 $ 90,534 Collateralized mortgage obligation-federal agency 55 - - 58 58 Securities in wholly owned statutory business trusts 11,561 - 11,561 - 11,561 Other 500 - 500 - 500 Total debt securities held-to-maturity $ 101,575 $ - $ 12,061 $ 90,592 $ 102,653 Equity securities: FHLB stock $ 51,628 $ - $ 51,628 $ - $ 51,628 FRB stock 89,358 - 89,358 - 89,358 Other investments 14,598 - 13,296 5,539 18,835 Total equity securities $ 155,584 $ - $ 154,282 $ 5,539 $ 159,821 Loans held-for-sale $ 51,422 $ - $ - $ 52,474 $ 52,474 Loans held-in-portfolio 25,938,541 - - 23,143,027 23,143,027 Mortgage servicing rights 169,777 - - 169,777 169,777 Derivatives 13,603 - 13,603 - 13,603 December 31, 2018 Carrying (In thousands) amount Level 1 Level 2 Level 3 Fair value Financial Liabilities: Deposits: Demand deposits $ 32,093,274 $ - $ 32,093,274 $ - $ 32,093,274 Time deposits 7,616,765 - 7,392,698 - 7,392,698 Total deposits $ 39,710,039 $ - $ 39,485,972 $ - $ 39,485,972 Assets sold under agreements to repurchase $ 281,529 $ - $ 281,535 $ - $ 281,535 Other short-term borrowings [2] $ 42 $ - $ 42 $ - $ 42 Notes payable: FHLB advances $ 556,776 $ - $ 553,111 $ - $ 553,111 Unsecured senior debt 294,039 - 302,664 - 302,664 Junior subordinated deferrable interest debentures (related to trust preferred securities) 384,875 - 381,079 - 381,079 Capital lease obligations 20,412 - - 20,412 20,412 Total notes payable $ 1,256,102 $ - $ 1,236,854 $ 20,412 $ 1,257,266 Derivatives $ 12,320 $ - $ 12,320 $ - $ 12,320 [1] Refer to Note 30 to the Consolidated Financial Statements for the fair value by class of financial asset and its hierarchy level. [2] Refer to Note 19 to the Consolidated Financial Statements for the composition of other short-term borrowings. |
Employee benefits (Tables)
Employee benefits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
Schedule Of Allocation Of Plan Assets | Minimum allotment Maximum allotment 2019 2018 Equity 0 % 70 % 36 % 32 % Debt securities 0 % 100 % 62 % 65 % Popular related securities 0 % 5 % 1 % 1 % Cash and cash equivalents 0 % 100 % 1 % 2 % 2019 2018 (In thousands) Level 1 Level 2 Level 3 Measured at NAV Total Level 1 Level 2 Level 3 Measured at NAV Total Obligations of the U.S. Government, its agencies, states and political subdivisions $ - $ 171,744 $ - $ 7,239 $ 178,983 $ - $ 165,832 $ - $ 7,137 $ 172,969 Corporate bonds and debentures - 304,958 - 7,730 312,688 - 256,657 - 6,987 263,644 Equity securities - Common Stocks 116,254 - - - 116,254 90,175 - - - 90,175 Equity securities - ETF's 52,083 35,559 - - 87,642 39,394 29,635 - - 69,029 Foreign commingled trust funds - - - 82,030 82,030 - - - 59,362 59,362 Mutual fund - 4,490 - - 4,490 - 3,630 - - 3,630 Mortgage-backed securities - 5,777 - - 5,777 - 11,349 - - 11,349 Private equity investments - - 74 - 74 - - 68 - 68 Cash and cash equivalents 7,401 - - - 7,401 10,573 - - - 10,573 Accrued investment income - - 4,596 - 4,596 - - 5,024 - 5,024 Total assets $ 175,738 $ 522,528 $ 4,670 $ 96,999 $ 799,935 $ 140,142 $ 467,103 $ 5,092 $ 73,486 $ 685,823 |
Schedule of changes in plan assets | (In thousands) 2019 2018 Balance at beginning of year $ 5,092 $ 4,758 Actual return on plan assets: Purchases, sales, issuance and settlements (net) ( 422) 334 Balance at end of year $ 4,670 $ 5,092 |
Schedule Of Information Popular Inc Shares Of Common Stock Held By The Plans | (In thousands, except number of shares information) 2019 2018 Shares of Popular, Inc. common stock 156,444 152,804 Fair value of shares of Popular, Inc. common stock $ 9,191 $ 7,215 Dividends paid on shares of Popular, Inc. common stock held by the plan $ 177 $ 151 |
Components of Net Periodic Pension/Postretirement Benefit Cost | Pension Plans OPEB Plan (In thousands) 2019 2018 2017 2019 2018 2017 Personnel costs: Service cost $ - $ - $ - $ 759 $ 1,028 $ 1,026 Other operating expenses: Interest cost 28,439 25,493 25,889 5,955 5,562 5,703 Expected return on plan assets ( 32,388) ( 40,240) ( 42,752) - - - Amortization of prior service cost (credit) - - - - ( 3,470) ( 3,800) Recognized net actuarial loss 23,508 20,260 21,859 - 1,282 569 Net periodic benefit (credit) cost $ 19,559 $ 5,513 $ 4,996 $ 6,714 $ 4,402 $ 3,498 Termination benefit loss - - - - 1,790 - Total benefit cost $ 19,559 $ 5,513 $ 4,996 $ 6,714 $ 6,192 $ 3,498 |
Schedule Of Aggregate Status Of The Plans And The Amounts Recognized In The Consolidated Financial Statements | Pension Plans OPEB Plan (In thousands) 2019 2018 2019 2018 Change in benefit obligation: Benefit obligation at beginning of year $ 754,558 $ 816,988 $ 153,415 $ 170,720 Service cost - - 759 1,028 Interest cost 28,439 25,493 5,955 5,562 Termination benefit loss - - - 1,790 Actuarial (gain) loss [1] 113,642 ( 47,549) 15,752 ( 20,547) Benefits paid ( 44,088) ( 40,374) ( 7,200) ( 5,138) Benefit obligation at end of year $ 852,551 $ 754,558 $ 168,681 $ 153,415 Change in fair value of plan assets: Fair value of plan assets at beginning of year $ 685,823 $ 767,539 $ - $ - Actual return on plan assets 137,970 ( 41,572) - - Employer contributions 20,230 230 7,200 5,138 Benefits paid ( 44,088) ( 40,374) ( 7,200) ( 5,138) Fair value of plan assets at end of year $ 799,935 $ 685,823 $ - $ - Funded status of the plan: Benefit obligation at end of year $ ( 852,551) $ ( 754,558) $ ( 168,681) $ ( 153,415) Fair value of plan assets at end of year 799,935 685,823 - - Funded status at year end $ ( 52,616) $ ( 68,735) $ ( 168,681) $ ( 153,415) Amounts recognized in accumulated other comprehensive loss: Net loss 288,882 304,330 21,472 5,720 Accumulated other comprehensive loss (AOCL) $ 288,882 $ 304,330 $ 21,472 $ 5,720 Reconciliation of net (liabilities) assets: Net liabilities at beginning of year $ ( 68,735) $ ( 49,449) $ ( 153,415) $ ( 170,720) Amount recognized in AOCL at beginning of year, pre-tax 304,330 290,327 5,720 24,079 Amount prepaid at beginning of year 235,595 240,878 ( 147,695) ( 146,641) Net periodic benefit cost ( 19,559) ( 5,513) ( 6,714) ( 4,402) Additional benefit cost - - - ( 1,790) Contributions 20,230 230 7,200 5,138 Amount prepaid at end of year 236,266 235,595 ( 147,209) ( 147,695) Amount recognized in AOCL ( 288,882) ( 304,330) ( 21,472) ( 5,720) Net liabilities at end of year $ ( 52,616) $ ( 68,735) $ ( 168,681) $ ( 153,415) [1] For 2019, significant components of the Pension Plans actuarial loss that changed the benefit obligation were mainly related to updates in discount and mortality rates. For OPEB Plans significant components of the actuarial loss that change the benefit obligation were mainly related to updates in discount and mortality rates partially offset by update in healthcare election rates and expected annual healthcare costs. For 2018, significant components of the Pension Plans actuarial gains that change the benefit obligation were mostly related to updates in discount rate partially offset by the impact of the 2018 Voluntary Retirement Program. For OPEB Plans significant components of the actuarial gain that change the benefit obligation were mainly related to updates in discount rate and expected annual healthcare costs. |
Schedule of defined benefit plan amount recognized in other comprehensive income loss | (In thousands) Pension Plans OPEB Plan 2019 2018 2019 2018 Accumulated other comprehensive loss at beginning of year $ 304,330 $ 290,327 $ 5,720 $ 24,079 Increase (decrease) in AOCL: Recognized during the year: Prior service credit - - - 3,470 Amortization of actuarial losses ( 23,508) ( 20,260) - ( 1,282) Occurring during the year: Net actuarial (gains) losses 8,060 34,263 15,752 ( 20,547) Total (decrease) increase in AOCL ( 15,448) 14,003 15,752 ( 18,359) Accumulated other comprehensive loss at end of year $ 288,882 $ 304,330 $ 21,472 $ 5,720 |
Schedule of Assumptions Used | Pension Plans OPEB Plan Weighted average assumptions used to determine net periodic benefit cost for the years ended December 31: 2019 2018 2017 2019 2018 2017 Discount rate for benefit obligation 4.20- 4.23 % 3.54- 3.56 % 3.98- 4.02 % 4.30 % 3.62 % 4.10 % Discount rate for service cost N/A N/A N/A 4.49 % 3.74 % 4.30 % Discount rate for interest cost 3.87- 3.90 % 3.16- 3.20 % 3.35- 3.42 % 3.99 % 3.32 % 3.58 % Expected return on plan assets 5.30- 6.00 % 5.50- 6.00 % 6.50 % N/A N/A N/A Initial health care cost trend rate N/A N/A N/A 5.00 % 5.50 % 6.00 % Ultimate health care cost trend rate N/A N/A N/A 5.00 % 5.00 % 5.00 % Year that the ultimate trend rate is reached N/A N/A N/A 2019 2019 2019 Pension Plans OPEB Plan Weighted average assumptions used to determine benefit obligation at December 31: 2019 2018 2019 2018 Discount rate for benefit obligation 3.22- 3.27 % 4.20- 4.23 % 3.38 % 4.30 % Initial health care cost trend rate N/A N/A 5.00 % 5.00 % Ultimate health care cost trend rate N/A N/A 5.00 % 5.00 % Year that the ultimate trend rate is reached N/A N/A 2019 2019 |
Schedule of Accumulated and Projected Benefit Obligations [Table Text Block] | Pension Plans OPEB Plan (In thousands) 2019 2018 2019 2018 Projected benefit obligation $ 852,551 $ 754,558 $ 168,681 $ 153,415 Accumulated benefit obligation 852,551 754,558 168,681 153,415 Fair value of plan assets 799,935 685,823 - - |
Schedule of employer contribution to benefit plan | (In thousands) 2020 Pension Plans $ 229 OPEB Plan $ 6,515 |
Schedule of expected benefit payments | (In thousands) Pension Plans OPEB Plan 2020 $ 48,161 $ 6,515 2021 45,152 6,510 2022 45,295 6,661 2023 45,498 6,843 2024 45,696 7,057 2025 - 2029 228,701 38,483 |
Schedule Of Breakdown Postretirement Health Care Benefit Plan Liabilities | Pension Plans OPEB Plan (In thousands) 2019 2018 2019 2018 Current liabilities $ 227 $ 225 $ 6,456 $ 8,007 Non-current liabilities 52,389 68,510 162,225 145,408 |
Net income per common share (Ta
Net income per common share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share | |
Computation of Net Income (Loss) Per Common Share ("EPS"), Basic and Diluted | (In thousands, except per share information) 2019 2018 2017 Net income from continuing operations $ 671,135 $ 618,158 $ 107,681 Preferred stock dividends ( 3,723) ( 3,723) ( 3,723) Net income applicable to common stock $ 667,412 $ 614,435 $ 103,958 Average common shares outstanding 96,848,835 101,142,258 101,966,429 Average potential dilutive common shares 148,965 166,385 78,907 Average common shares outstanding - assuming dilution 96,997,800 101,308,643 102,045,336 Basic EPS from continuing operations $ 6.89 $ 6.07 $ 1.02 Total Basic EPS $ 6.89 $ 6.07 $ 1.02 Diluted EPS from continuing operations $ 6.88 $ 6.06 $ 1.02 Total Diluted EPS $ 6.88 $ 6.06 $ 1.02 |
Revenue from contracts with c_2
Revenue from contracts with customers (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue From Contract With Customer Abstract | |
Disaggregation Of Revenue [Table Text Block] | Years ended December 31, (In thousands) 2019 2018 2017 BPPR Popular U.S. BPPR Popular U.S. BPPR Popular U.S. Service charges on deposit accounts $ 146,384 $ 14,549 $ 137,062 $ 13,615 $ 140,342 $ 13,367 Other service fees: Debit card fees 46,066 1,076 45,139 1,035 41,851 870 Insurance fees, excluding reinsurance 42,995 3,803 33,951 3,667 31,030 3,060 Credit card fees, excluding late fees and membership fees 86,884 866 74,609 921 56,938 890 Sale and administration of investment products 23,072 - 21,895 - 21,958 - Trust fees 21,198 - 20,351 - 20,408 - Total revenue from contracts with customers [1] $ 366,599 $ 20,294 $ 333,007 $ 19,238 $ 312,527 $ 18,187 [1] The amounts include intersegment transactions of $ 3.8 million, $ 3.2 million and $ 3.3 million, respectively, for the years ended December 31, 2019, 2018 and 2017. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Lease Liability Maturity | (In thousands) 2020 2021 2022 2023 2024 Later Years Total Lease Payments Less: Imputed Interest Total Operating Leases $ 29,872 $ 27,445 $ 23,540 $ 21,257 $ 20,176 $ 70,842 $ 193,132 $ ( 27,993) $ 165,139 Finance Leases 3,068 3,159 3,252 3,349 3,448 8,220 24,496 ( 4,686) 19,810 |
Leases cost | Year ended (In thousands) December 31, 2019 Finance lease cost: Amortization of ROU assets $ 1,701 Interest on lease liabilities 1,194 Operating lease cost 30,664 Short-term lease cost 252 Variable lease cost 97 Sublease income ( 113) Total lease cost $ 33,795 |
Leases supplemental information | Year ended (Dollars in thousands) December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 30,073 Operating cash flows from finance leases 1,200 Financing cash flows from finance leases 1,726 ROU assets obtained in exchange for new lease obligations: Operating leases $ 28,430 Finance leases 661 Weighted-average remaining lease term: Operating leases 8.7 years Finance leases 7.3 years Weighted-average discount rate: Operating leases 3.4 % Finance leases 5.9 % |
FDIC loss share expense (Tables
FDIC loss share expense (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
F D I C Loss Share Expense Income | Years ended December 31, (In thousands) 2018 2017 Amortization $ ( 934) $ ( 469) 80% mirror accounting on credit impairment losses 104 3,136 80% mirror accounting on reimbursable expenses 537 2,454 80% mirror accounting on recoveries on covered assets, including rental income on OREOs, subject to reimbursement to the FDIC ( 1,658) 2,405 Change in true-up payment obligation ( 6,112) ( 11,700) Gain on FDIC loss-share Termination Agreement [1] 102,752 - Other 36 ( 5,892) Total FDIC loss share income (expense) $ 94,725 $ ( 10,066) [1] Refer to Note 10 for additional information of the Termination Agreement with the FDIC. |
Stock-based compensation (Table
Stock-based compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Executive Officers | |
Schedule of Unvested Restricted Stock Units Roll Forward | (Not in thousands) Shares Weighted-average grant date fair value Non-vested at January 1, 2017 383,982 $ 26.35 Granted 212,200 42.57 Performance Shares Quantity Adjustment ( 232,989) 29.10 Vested ( 67,853) 48.54 Non-vested at December 31, 2017 295,340 $ 30.75 Granted 239,062 45.81 Performance Shares Quantity Adjustment 234,076 33.09 Vested ( 372,271) 35.83 Forfeited ( 14,021) 37.35 Non-vested at December 31, 2018 382,186 $ 36.41 Granted 218,169 55.55 Performance Shares Quantity Adjustment 15,061 55.72 Vested ( 270,051) 44.73 Non-vested at December 31, 2019 345,365 $ 41.68 |
Directors | |
Schedule of Unvested Restricted Stock Units Roll Forward | (Not in thousands) Restricted stock Weighted-average grant date fair value RSU Weighted-average grant date fair value Non-vested at January 1, 2017 - - - - Granted 25,771 $ 38.42 - $ - Vested ( 25,771) 38.42 - - Forfeited - - - - Non-vested at December 31, 2017 - - - - Granted 25,159 $ 46.71 - $ - Vested ( 25,159) 46.71 - - Forfeited - - - - Non-vested at December 31, 2018 - - - - Granted 1,052 $ 49.25 27,449 $ 57.64 Vested ( 1,052) 49.25 ( 27,449) 57.64 Forfeited - - - - Non-vested at December 31, 2019 - - - - |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Schedule Of Components Of Income Tax Expense Benefit | (In thousands) 2019 2018 2017 Current income tax (benefit) expense: Puerto Rico $ 2,251 $ 126,700 $ 17,356 Federal and States 3,598 6,841 6,046 Subtotal 5,849 133,541 23,402 Deferred income tax expense (benefit): Puerto Rico 123,337 ( 62,601) 31,132 Federal and States 17,995 20,953 7,938 Adjustment for enacted changes in income tax laws - 27,686 168,358 Subtotal 141,332 ( 13,962) 207,428 Total income tax expense $ 147,181 $ 119,579 $ 230,830 |
Components of Deferred Tax Assets and Liabilities | December 31, 2019 (In thousands) PR US Total Deferred tax assets: Tax credits available for carryforward $ 2,368 $ 5,269 $ 7,637 Net operating loss and other carryforward available 112,803 716,796 829,599 Postretirement and pension benefits 82,623 - 82,623 Deferred loan origination fees 2,519 ( 2,759) ( 240) Allowance for loan losses 405,475 10,981 416,456 Accelerated depreciation 3,439 4,914 8,353 FDIC-assisted transaction 82,684 - 82,684 Intercompany deferred gains 1,604 - 1,604 Lease liability 22,694 23,387 46,081 Difference in outside basis from pass-through entities 21,670 - 21,670 Other temporary differences 26,554 7,460 34,014 Total gross deferred tax assets 764,433 766,048 1,530,481 Deferred tax liabilities: Indefinite-lived intangibles 37,411 36,058 73,469 Unrealized net gain (loss) on trading and available-for-sale securities 15,635 432 16,067 Right of use assets 20,598 21,430 42,028 Other temporary differences 12,778 1,179 13,957 Total gross deferred tax liabilities 86,422 59,099 145,521 Valuation allowance 100,175 399,800 499,975 Net deferred tax asset $ 577,836 $ 307,149 $ 884,985 December 31, 2018 (In thousands) PR US Total Deferred tax assets: Tax credits available for carryforward $ 15,900 $ 7,757 $ 23,657 Net operating loss and other carryforward available 116,154 720,933 837,087 Postretirement and pension benefits 83,390 - 83,390 Deferred loan origination fees 3,216 ( 1,280) 1,936 Allowance for loan losses 516,643 18,612 535,255 Deferred gains - 2,551 2,551 Accelerated depreciation 1,963 5,786 7,749 FDIC-assisted transaction 95,851 - 95,851 Intercompany deferred gains 1,518 - 1,518 Difference in outside basis from pass-through entities 20,209 - 20,209 Other temporary differences 24,957 7,522 32,479 Total gross deferred tax assets 879,801 761,881 1,641,682 Deferred tax liabilities: Indefinite-lived intangibles 34,081 39,597 73,678 Unrealized net gain (loss) on trading and available-for-sale securities 23,823 ( 12,783) 11,040 Other temporary differences 10,579 1,109 11,688 Total gross deferred tax liabilities 68,483 27,923 96,406 Valuation allowance 89,852 406,455 496,307 Net deferred tax asset $ 721,466 $ 327,503 $ 1,048,969 |
Summary Of Operating Loss Carryforwards Text Block | (In thousands) 2020 $ 492 2021 16 2022 396 2024 9,181 2025 13,516 2026 13,403 2027 22,343 2028 324,569 2029 110,075 2030 100,017 2031 94,332 2032 16,801 2033 2,945 2034 81,253 2037 7,489 2038 1,642 2039 2,104 $ 800,574 |
Reconciliation of Unrecognized Tax Benefits | (In millions) Balance at January 1, 2018 $ 7.3 Additions for tax positions related to 2018 1.1 Reduction as a result of lapse of statute of limitations ( 1.2) Balance at December 31, 2018 $ 7.2 Additions for tax positions related to prior years [1] 9.1 Balance at December 31, 2019 $ 16.3 [1] The Corporation recorded a deferred tax asset of $ 8.7 million associated with the unrecognized tax benefit. Since the uncertainty of the tax position is related to the timing of the tax benefit, it met the more likely than not standard of ASC 740-10-25-6. |
PUERTO RICO | |
Differences Between Income Tax Expense (Benefit) Applicable to Income Before Income Taxes and Amount Computed by Applying the Statutory Tax Rate in Puerto Rico | 2019 2018 2017 (In thousands) Amount % of pre-tax income Amount % of pre-tax income Amount % of pre-tax income Computed income tax at statutory rates $ 306,869 38 % $ 287,717 39 % $ 132,020 39 % Benefit of net tax exempt interest income ( 145,597) ( 18) ( 97,199) ( 13) ( 76,815) ( 23) Effect of income subject to preferential tax rate [1] ( 9,562) ( 1) ( 111,738) ( 15) ( 13,104) ( 4) Deferred tax asset valuation allowance 16,992 2 27,336 4 20,882 6 Difference in tax rates due to multiple jurisdictions ( 12,888) ( 2) ( 16,324) ( 3) ( 2,217) ( 1) Adjustment in net deferred tax due to change in the applicable tax rate ( 6,559) ( 1) 27,686 4 168,358 50 Unrecognized tax benefits - - ( 1,621) - ( 1,185) - State and local taxes 4,749 1 8,772 1 4,123 1 Others ( 6,823) ( 1) ( 5,050) ( 1) ( 1,232) - Income tax expense $ 147,181 18 % $ 119,579 16 % $ 230,830 68 % [1] For the year ended December 31,2018, includes the impact of the Tax Closing Agreement entered into in connection with the Westernbank FDIC-assisted Transaction. |
Supplemental disclosure on th_2
Supplemental disclosure on the consolidated statements of cash flows (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Supplemental Cash Flow Information | |
Additional Disclosures on Cash Flow Information and Non-Cash Activities | (In thousands) 2019 2018 2017 Income taxes paid $ 14,461 $ 4,116 $ 2,433 Interest paid 369,383 296,757 221,432 Non-cash activities: Loans transferred to other real estate 67,056 47,965 82,035 Loans transferred to other property 53,286 43,645 27,407 Total loans transferred to foreclosed assets 120,342 91,610 109,442 Loans transferred to other assets 16,503 16,843 7,514 Financed sales of other real estate assets 15,907 16,779 11,237 Financed sales of other foreclosed assets 30,840 17,867 8,435 Total financed sales of foreclosed assets 46,747 34,646 19,672 Transfers from loans held-in-portfolio to loans held-for-sale - - 2,472 Transfers from loans held-for-sale to loans held-in-portfolio 7,829 20,938 1,705 Loans securitized into investment securities [1] 458,758 506,685 462,033 Trades receivables from brokers and counterparties 39,364 40,088 7,514 Trades payable to brokers and counterparties 4,084 64 2 Receivables from investments securities - 70,000 70,000 Recognition of mortgage servicing rights on securitizations or asset transfers 9,143 10,223 7,661 Interest capitalized on loans subject to the temporary payment moratorium - 481 46,944 Loans booked under the GNMA buy-back option 72,480 384,371 790,942 Capitalization of Right of Use Assets 189,097 - - Gain from the FDIC Termination Agreement - 102,752 - [1] Includes loans securitized into trading securities and subsequently sold before year end. |
Reconciliation Of Cash And Due From Banks And Restricted Cash | (In thousands) December 31, 2019 December 31, 2018 December 31, 2017 Cash and due from banks $ 361,705 $ 353,936 $ 381,289 Restricted cash and due from banks 26,606 40,099 21,568 Restricted cash in money market investments 6,012 9,216 9,772 Total cash and due from banks, and restricted cash [2] $ 394,323 $ 403,251 $ 412,629 [2] Refer to Note 5 - Restrictions on cash and due from banks and certain securities for nature of restrictions. |
Segment reporting (Tables)
Segment reporting (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
Results of Operations and Total Assets | December 31, 2019 Banco Popular Intersegment (In thousands) de Puerto Rico Popular U.S. Eliminations Net interest income $ 1,633,950 $ 295,470 $ ( 51) Provision for loan losses 135,495 30,028 - Non-interest income 506,739 23,160 ( 561) Amortization of intangibles 8,610 664 - Depreciation expense 49,058 8,263 - Other operating expenses 1,208,458 205,219 ( 547) Income tax expense 129,145 19,164 - Net income $ 609,923 $ 55,292 $ ( 65) Segment assets $ 41,756,864 $ 10,056,316 $ ( 18,576) December 31, 2019 Reportable Total (In thousands) Segments Corporate Eliminations Popular, Inc. Net interest income (expense) $ 1,929,369 $ ( 37,675) $ - $ 1,891,694 Provision for loan losses 165,523 256 - 165,779 Non-interest income 529,338 43,901 ( 3,356) 569,883 Amortization of intangibles 9,274 96 - 9,370 Depreciation expense 57,321 746 - 58,067 Other operating expenses 1,413,130 55 ( 3,140) 1,410,045 Income tax expense (expense) 148,309 ( 1,041) ( 87) 147,181 Net income $ 665,150 $ 6,114 $ ( 129) $ 671,135 Segment assets $ 51,794,604 $ 5,228,276 $ ( 4,907,556) $ 52,115,324 December 31, 2018 Banco Popular Intersegment (In thousands) de Puerto Rico Popular U.S. Eliminations Net interest income $ 1,482,178 $ 304,576 $ ( 2) Provision for loan losses 198,442 29,881 - Non-interest income 592,938 19,988 ( 560) Amortization of intangibles 8,620 665 - Depreciation expense 43,504 9,053 - Other operating expenses 1,073,012 182,154 ( 546) Income tax expense 121,195 25,294 - Net income $ 630,343 $ 77,517 $ ( 16) Segment assets $ 38,037,696 $ 9,381,636 $ ( 114,923) December 31, 2018 Reportable Total (In thousands) Segments Corporate Eliminations Popular, Inc. Net interest income (expense) $ 1,786,752 $ ( 51,875) $ - $ 1,734,877 Provision (reversal) for loan losses 228,323 ( 251) - 228,072 Non-interest income 612,366 42,914 ( 2,786) 652,494 Amortization of intangibles 9,285 41 - 9,326 Depreciation expense 52,557 743 - 53,300 Loss on early extinguishment of debt - 12,522 - 12,522 Other operating expenses 1,254,620 94,640 ( 2,846) 1,346,414 Income tax expense (benefit) 146,489 ( 26,947) 37 119,579 Net income (loss) $ 707,844 $ ( 89,709) $ 23 $ 618,158 Segment assets $ 47,304,409 $ 5,099,491 $ ( 4,799,323) $ 47,604,577 December 31, 2017 Banco Popular Intersegment (In thousands) de Puerto Rico Popular U.S. Eliminations Net interest income $ 1,279,844 $ 280,946 $ ( 217) Provision for loan losses 253,032 77,944 - Non-interest income 364,164 20,430 ( 572) Amortization of intangibles 8,713 665 - Depreciation expense 39,162 8,553 - Other operating expenses 957,924 170,042 ( 551) Income tax expense 72,741 191,749 ( 93) Net income (loss) $ 312,436 $ ( 147,577) $ ( 145) Segment assets $ 34,843,668 $ 9,168,256 $ ( 16,992) December 31, 2017 Reportable Total (In thousands) Segments Corporate Eliminations Popular, Inc. Net interest income (expense) $ 1,560,573 $ ( 58,609) $ - $ 1,501,964 Provision for loan losses 330,976 403 ( 5,955) 325,424 Non-interest income 384,022 37,949 ( 2,804) 419,167 Amortization of intangibles 9,378 - - 9,378 Depreciation expense 47,715 649 - 48,364 Other operating expenses 1,127,415 74,731 ( 2,692) 1,199,454 Income tax expense (benefit) 264,397 ( 35,835) 2,268 230,830 Net income (loss) $ 164,714 $ ( 60,608) $ 3,575 $ 107,681 Segment assets $ 43,994,932 $ 5,046,153 $ ( 4,763,748) $ 44,277,337 December 31, 2019 Banco Popular de Puerto Rico Consumer Other Total Banco Commercial and Retail Financial Popular de (In thousands) Banking Banking Services Eliminations Puerto Rico Net interest income $ 619,926 $ 1,009,196 $ 4,828 $ - $ 1,633,950 Provision (reversal) for loan losses ( 46,099) 181,594 - - 135,495 Non-interest income 99,758 303,268 106,218 ( 2,505) 506,739 Amortization of intangibles 195 4,294 4,121 - 8,610 Depreciation expense 20,024 28,411 623 - 49,058 Other operating expenses 309,762 835,582 65,631 ( 2,517) 1,208,458 Income tax expense 104,636 11,999 12,510 - 129,145 Net income $ 331,166 $ 250,584 $ 28,161 $ 12 $ 609,923 Segment assets $ 34,340,842 $ 23,976,004 $ 380,557 $ ( 16,940,539) $ 41,756,864 December 31, 2017 Banco Popular de Puerto Rico Consumer Other Total Banco Commercial and Retail Financial Popular de (In thousands) Banking Banking Services Eliminations Puerto Rico Net interest income $ 518,404 $ 753,922 $ 7,499 $ 19 $ 1,279,844 Provision for loan losses 8,911 244,121 - - 253,032 Non-interest income 79,630 194,741 90,222 ( 429) 364,164 Amortization of intangibles 211 4,274 4,228 - 8,713 Depreciation expense 17,338 21,120 704 - 39,162 Other operating expenses 239,369 656,998 62,030 ( 473) 957,924 Income tax expense (benefit) 93,378 ( 31,404) 10,767 - 72,741 Net income $ 238,827 $ 53,554 $ 19,992 $ 63 $ 312,436 Segment assets $ 21,735,909 $ 20,180,173 $ 520,717 $ ( 7,593,131) $ 34,843,668 |
Schedule Of Revenues And Selected Balance Sheet Information By Geographic Area | (In thousands) 2019 2018 2017 Revenues: [1] Puerto Rico $ 2,016,089 $ 1,953,671 $ 1,527,758 United States 371,368 357,680 318,093 Other 74,120 76,020 75,280 Total consolidated revenues $ 2,461,577 $ 2,387,371 $ 1,921,131 [1] Total revenues include net interest income, service charges on deposit accounts, other service fees, mortgage banking activities, net (loss) gain on sale of debt securities, other-than-temporary impairment losses on debt securities, net gain (loss), including impairment on equity securities, net profit (loss) on trading account debt securities, net gain (loss) on sale of loans, including valuation adjustments on loans held-for-sale, indemnity reserves on loans sold expense, FDIC loss-share income (expense) and other operating income. Selected Balance Sheet Information (In thousands) 2019 2018 2017 Puerto Rico Total assets $ 40,544,255 $ 36,863,930 $ 33,705,624 Loans 18,989,286 18,837,742 17,591,078 Deposits 34,664,243 31,237,529 27,575,292 United States Total assets $ 10,693,536 $ 9,847,944 $ 9,648,865 Loans 7,819,187 7,034,075 6,608,056 Deposits 7,664,792 6,878,599 6,635,153 Other Total assets $ 877,533 $ 892,703 $ 922,848 Loans 657,603 687,494 743,329 Deposits [1] 1,429,571 1,593,911 1,243,063 [1] Represents deposits from BPPR operations located in the U.S. and British Virgin Islands. |
Popular, Inc. (Holding only) (T
Popular, Inc. (Holding only) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Balance Sheet | Condensed Consolidating Statement of Financial Condition At December 31, 2019 All other Popular Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Assets: Cash and due from banks $ 55,956 $ - $ 388,363 $ ( 56,008) $ 388,311 Money market investments 221,598 16,029 3,261,688 ( 237,029) 3,262,286 Trading account debt securities, at fair value - - 40,321 - 40,321 Debt securities available-for-sale, at fair value - - 17,648,473 - 17,648,473 Debt securities held-to-maturity, at amortized cost 8,726 2,835 86,101 - 97,662 Equity securities 10,744 20 149,322 ( 199) 159,887 Investment in subsidiaries 6,243,065 1,806,583 - ( 8,049,648) - Loans held-for-sale, at lower of cost or fair value - - 59,203 - 59,203 Loans held-in-portfolio 32,027 - 27,549,874 5,955 27,587,856 Less - Unearned income - - 180,983 - 180,983 Allowance for loan losses 410 - 477,298 - 477,708 Total loans held-in-portfolio, net 31,617 - 26,891,593 5,955 26,929,165 Premises and equipment, net 3,893 - 552,757 - 556,650 Other real estate 146 - 121,926 - 122,072 Accrued income receivable 382 108 180,630 ( 249) 180,871 Mortgage servicing assets, at fair value - - 150,906 - 150,906 Other assets 93,835 21,324 1,722,839 ( 18,383) 1,819,615 Goodwill - - 671,123 ( 1) 671,122 Other intangible assets 6,463 - 22,317 - 28,780 Total assets $ 6,676,425 $ 1,846,899 $ 51,947,562 $ ( 8,355,562) $ 52,115,324 Liabilities and Stockholders' Equity Liabilities: Deposits: Non-interest bearing $ - $ - $ 9,216,181 $ ( 56,008) $ 9,160,173 Interest bearing - - 34,835,462 ( 237,029) 34,598,433 Total deposits - - 44,051,643 ( 293,037) 43,758,606 Assets sold under agreements to repurchase - - 193,378 - 193,378 Notes payable 586,119 94,090 421,399 - 1,101,608 Other liabilities 73,596 3,200 986,865 ( 18,708) 1,044,953 Total liabilities 659,715 97,290 45,653,285 ( 311,745) 46,098,545 Stockholders' equity: Preferred stock 50,160 - - - 50,160 Common stock 1,044 2 56,307 ( 56,309) 1,044 Surplus 4,438,706 4,173,169 5,847,389 ( 10,011,852) 4,447,412 Retained earnings (accumulated deficit) 2,156,442 ( 2,425,429) 555,398 1,861,504 2,147,915 Treasury stock, at cost ( 459,704) - - ( 110) ( 459,814) Accumulated other comprehensive (loss) income, net of tax ( 169,938) 1,867 ( 164,817) 162,950 ( 169,938) Total stockholders' equity 6,016,710 1,749,609 6,294,277 ( 8,043,817) 6,016,779 Total liabilities and stockholders' equity $ 6,676,425 $ 1,846,899 $ 51,947,562 $ ( 8,355,562) $ 52,115,324 Condensed Consolidating Statement of Financial Condition At December 31, 2018 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Assets: Cash and due from banks $ 68,022 $ - $ 394,035 $ ( 68,022) $ 394,035 Money market investments 176,256 15,288 4,170,792 ( 191,288) 4,171,048 Trading account debt securities, at fair value - - 37,787 - 37,787 Debt securities available-for-sale, at fair value - - 13,300,184 - 13,300,184 Debt securities held-to-maturity, at amortized cost 8,726 2,835 90,014 - 101,575 Equity securities 6,693 20 149,012 ( 141) 155,584 Investment in subsidiaries 5,704,119 1,700,082 - ( 7,404,201) - Loans held-for-sale, at lower of cost or fair value - - 51,422 - 51,422 Loans held-in-portfolio 32,678 - 26,625,080 5,955 26,663,713 Less - Unearned income - - 155,824 - 155,824 Allowance for loan losses 155 - 569,193 - 569,348 Total loans held-in-portfolio, net 32,523 - 25,900,063 5,955 25,938,541 Premises and equipment, net 3,394 - 566,414 - 569,808 Other real estate 146 - 136,559 - 136,705 Accrued income receivable 284 116 165,767 ( 145) 166,022 Mortgage servicing assets, at fair value - - 169,777 - 169,777 Other assets 76,073 27,639 1,626,119 ( 15,697) 1,714,134 Goodwill - - 671,123 ( 1) 671,122 Other intangible assets 6,559 - 20,274 - 26,833 Total assets $ 6,082,795 $ 1,745,980 $ 47,449,342 $ ( 7,673,540) $ 47,604,577 Liabilities and Stockholders' Equity Liabilities: Deposits: Non-interest bearing $ - $ - $ 9,217,058 $ ( 68,022) $ 9,149,036 Interest bearing - - 30,752,291 ( 191,288) 30,561,003 Total deposits - - 39,969,349 ( 259,310) 39,710,039 Assets sold under agreements to repurchase - - 281,529 - 281,529 Other short-term borrowings - - 42 - 42 Notes payable 584,851 94,063 577,188 - 1,256,102 Other liabilities 62,799 3,287 871,733 ( 16,011) 921,808 Total liabilities 647,650 97,350 41,699,841 ( 275,321) 42,169,520 Stockholders' equity: Preferred stock 50,160 - - - 50,160 Common stock 1,043 2 56,307 ( 56,309) 1,043 Surplus 4,357,079 4,172,983 5,790,324 ( 9,954,780) 4,365,606 Retained earnings (accumulated deficit) 1,660,258 ( 2,479,503) 327,713 2,143,263 1,651,731 Treasury stock, at cost ( 205,421) - - ( 88) ( 205,509) Accumulated other comprehensive loss, net of tax ( 427,974) ( 44,852) ( 424,843) 469,695 ( 427,974) Total stockholders' equity 5,435,145 1,648,630 5,749,501 ( 7,398,219) 5,435,057 Total liabilities and stockholders' equity $ 6,082,795 $ 1,745,980 $ 47,449,342 $ ( 7,673,540) $ 47,604,577 |
Condensed Income Statement | Condensed Consolidating Statement of Operations Year ended December 31, 2019 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 408,000 $ - $ - $ ( 408,000) $ - Loans 2,231 - 1,800,737 - 1,802,968 Money market investments 3,670 211 89,824 ( 3,882) 89,823 Investment securities 768 186 367,048 - 368,002 Total interest and dividend income 414,669 397 2,257,609 ( 411,882) 2,260,793 Interest expense: Deposits - - 308,740 ( 3,882) 304,858 Short-term borrowings - - 6,100 - 6,100 Long-term debt 38,528 6,229 13,384 - 58,141 Total interest expense 38,528 6,229 328,224 ( 3,882) 369,099 Net interest income (expense) 376,141 ( 5,832) 1,929,385 ( 408,000) 1,891,694 Provision for loan losses 256 - 165,523 - 165,779 Net interest income (expense) after provision for loan losses 375,885 ( 5,832) 1,763,862 ( 408,000) 1,725,915 Service charges on deposit accounts - - 160,933 - 160,933 Other service fees 1 - 288,471 ( 3,266) 285,206 Mortgage banking activities - - 32,093 - 32,093 Net loss on sale of debt securities - - ( 20) - ( 20) Net gain, including impairment on equity securities 988 - 1,555 ( 37) 2,506 Net gain on trading account debt securities - - 994 - 994 Indemnity reserves on loans sold expense - - ( 343) - ( 343) Other operating income (expense) 17,279 ( 984) 72,272 ( 53) 88,514 Total non-interest income (expense) 18,268 ( 984) 555,955 ( 3,356) 569,883 Operating expenses: Personnel costs 63,258 - 527,367 - 590,625 Net occupancy expenses 4,297 - 92,084 ( 42) 96,339 Equipment expenses 3,525 4 80,686 - 84,215 Other taxes 248 1 51,404 - 51,653 Professional fees 21,323 113 363,479 ( 504) 384,411 Communications 616 - 22,834 - 23,450 Business promotion 3,918 - 71,454 - 75,372 FDIC deposit insurance - - 18,179 - 18,179 Other real estate owned (OREO) expenses - - 4,298 - 4,298 Other operating expenses ( 97,201) 56 239,309 ( 2,594) 139,570 Amortization of intangibles 96 - 9,274 - 9,370 Total operating expenses 80 174 1,480,368 ( 3,140) 1,477,482 Income (loss) before income tax and equity in earnings of subsidiaries 394,073 ( 6,990) 839,449 ( 408,216) 818,316 Income tax (benefit) expense - ( 1,468) 148,735 ( 86) 147,181 Income (loss) before equity in earnings of subsidiaries 394,073 ( 5,522) 690,714 ( 408,130) 671,135 Equity in undistributed earnings of subsidiaries 277,062 54,773 - ( 331,835) - Net income $ 671,135 $ 49,251 $ 690,714 $ ( 739,965) $ 671,135 Comprehensive income, net of tax $ 929,171 $ 95,970 $ 950,740 $ ( 1,046,710) $ 929,171 Condensed Consolidating Statement of Operations Year ended December 31, 2018 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 453,200 $ - $ - $ ( 453,200) $ - Loans 2,115 - 1,643,670 ( 49) 1,645,736 Money market investments 5,555 69 111,287 ( 5,623) 111,288 Investment securities 696 279 263,849 - 264,824 Total interest and dividend income 461,566 348 2,018,806 ( 458,872) 2,021,848 Interest expense: Deposits - - 209,888 ( 5,623) 204,265 Short-term borrowings - 49 7,210 ( 49) 7,210 Long-term debt 51,218 9,330 14,948 - 75,496 Total interest expense 51,218 9,379 232,046 ( 5,672) 286,971 Net interest income (expense) 410,348 ( 9,031) 1,786,760 ( 453,200) 1,734,877 Provision (reversal) for loan losses- non-covered loans ( 251) - 226,593 - 226,342 Provision for loan losses- covered loans - - 1,730 - 1,730 Net interest income (expense) after provision (reversal) for loan losses 410,599 ( 9,031) 1,558,437 ( 453,200) 1,506,805 Service charges on deposit accounts - - 150,677 - 150,677 Other service fees - - 260,730 ( 2,710) 258,020 Mortgage banking activities - - 52,802 - 52,802 Net loss, including impairment on equity securities ( 777) - ( 1,268) ( 36) ( 2,081) Net loss on trading account debt securities - - ( 208) - ( 208) Net gain on sale of loans, including valuation adjustments on loans held-for-sale - - 33 - 33 Indemnity reserves on loans sold expense - - ( 12,959) - ( 12,959) FDIC loss-share income - - 94,725 - 94,725 Other operating income 15,751 737 95,037 ( 40) 111,485 Total non-interest income 14,974 737 639,569 ( 2,786) 652,494 Operating expenses: Personnel costs 59,821 - 503,167 - 562,988 Net occupancy expenses 4,055 - 84,274 - 88,329 Equipment expenses 3,433 3 68,352 - 71,788 Other taxes 233 1 46,050 - 46,284 Professional fees 18,159 178 331,978 ( 471) 349,844 Communications 485 - 22,622 - 23,107 Business promotion 2,236 - 63,682 - 65,918 FDIC deposit insurance - - 27,757 - 27,757 Loss on early extinguishment of debt 12,522 - - - 12,522 Other real estate owned (OREO) expenses - - 23,338 - 23,338 Other operating expenses ( 84,807) 80 227,463 ( 2,375) 140,361 Amortization of intangibles 41 - 9,285 - 9,326 Total operating expenses 16,178 262 1,407,968 ( 2,846) 1,421,562 Income (loss) before income tax and equity in earnings of subsidiaries 409,395 ( 8,556) 790,038 ( 453,140) 737,737 Income tax expense - 3,267 116,275 37 119,579 Income (loss) before equity in earnings of subsidiaries 409,395 ( 11,823) 673,763 ( 453,177) 618,158 Equity in undistributed earnings of subsidiaries 208,763 69,027 - ( 277,790) - Net income $ 618,158 $ 57,204 $ 673,763 $ ( 730,967) $ 618,158 Comprehensive income, net of tax $ 540,836 $ 41,838 $ 597,768 $ ( 639,606) $ 540,836 Condensed Consolidating Statement of Operations Year ended December 31, 2017 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 211,500 $ - $ - $ ( 211,500) $ - Loans 1,056 - 1,477,713 ( 4) 1,478,765 Money market investments 2,616 54 51,495 ( 2,670) 51,495 Investment securities 566 322 194,796 - 195,684 Total interest and dividend income 215,738 376 1,724,004 ( 214,174) 1,725,944 Interest Expense: Deposits - - 144,534 ( 2,670) 141,864 Short-term borrowings - - 5,728 ( 4) 5,724 Long-term debt 52,470 10,767 13,155 - 76,392 Total interest expense 52,470 10,767 163,417 ( 2,674) 223,980 Net interest income (expense) 163,268 ( 10,391) 1,560,587 ( 211,500) 1,501,964 Provision for loan losses- non-covered loans 403 - 325,234 ( 5,955) 319,682 Provision for loan losses- covered loans - - 5,742 - 5,742 Net interest income (expense) after provision for loan losses 162,865 ( 10,391) 1,229,611 ( 205,545) 1,176,540 Service charges on deposit accounts - - 153,709 - 153,709 Other service fees - - 220,073 ( 2,806) 217,267 Mortgage banking activities - - 25,496 - 25,496 Net gain on sale of debt securities - - 83 - 83 Other-than-temporary impairment losses on debt securities - - ( 8,299) - ( 8,299) Net gain on equity securities - - 251 - 251 Net profit (loss) on trading account debt securities 266 - ( 1,110) 27 ( 817) Net loss on sale of loans, including valuation adjustments on loans held-for-sale - - ( 420) - ( 420) Indemnity reserves on loans sold expense - - ( 22,377) - ( 22,377) FDIC loss-share expense - - ( 10,066) - ( 10,066) Other operating income 11,847 921 51,598 ( 26) 64,340 Total non-interest income 12,113 921 408,938 ( 2,805) 419,167 Operating expenses: Personnel costs 47,561 - 429,201 - 476,762 Net occupancy expenses 3,876 - 85,318 - 89,194 Equipment expenses 2,925 2 62,215 - 65,142 Other taxes 217 - 43,165 - 43,382 Professional fees 11,766 ( 427) 281,585 ( 436) 292,488 Communications 549 - 21,917 - 22,466 Business promotion 2,014 - 56,431 - 58,445 FDIC deposit insurance - - 26,392 - 26,392 Other real estate owned (OREO) expenses 42 - 48,498 - 48,540 Other operating expenses ( 70,723) 51 197,935 ( 2,256) 125,007 Amortization of intangibles - - 9,378 - 9,378 Total operating expenses ( 1,773) ( 374) 1,262,035 ( 2,692) 1,257,196 Income (loss) before income tax and equity in earnings of subsidiaries 176,751 ( 9,096) 376,514 ( 205,658) 338,511 Income tax (benefit) expense - ( 8,382) 236,944 2,268 230,830 Income (loss) before equity in earnings of subsidiaries 176,751 ( 714) 139,570 ( 207,926) 107,681 Equity in undistributed earnings of subsidiaries ( 69,070) ( 153,944) - 223,014 - Net Income (loss) $ 107,681 $ ( 154,658) $ 139,570 $ 15,088 $ 107,681 Comprehensive income (loss), net of tax $ 77,315 $ ( 162,195) $ 108,663 $ 53,532 $ 77,315 |
Condensed Cash Flow Statement | Condensed Consolidating Statement of Cash Flows Year ended December 31, 2019 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income $ 671,135 $ 49,251 $ 690,714 $ ( 739,965) $ 671,135 Adjustments to reconcile net income to net cash (used in) provided by operating activities: Equity in earnings of subsidiaries, net of dividends or distributions ( 277,062) ( 54,773) - 331,835 - Provision for loan losses 256 - 165,523 - 165,779 Amortization of intangibles 96 - 9,274 - 9,370 Depreciation and amortization of premises and equipment 746 - 57,321 - 58,067 Net accretion of discounts and amortization of premiums and deferred fees 1,240 27 ( 159,337) - ( 158,070) Share-based compensation 7,927 - 4,376 - 12,303 Impairment losses on long-lived assets - - 2,591 - 2,591 Fair value adjustments on mortgage servicing rights - - 27,771 - 27,771 Indemnity reserves on loans sold expense - - 343 - 343 (Earnings) losses from investments under the equity method, net of dividends or distributions ( 14,948) 984 ( 14,047) - ( 28,011) Deferred income tax (benefit) expense - ( 1,468) 142,886 ( 86) 141,332 Loss (gain) on: Disposition of premises and equipment and other productive assets 41 - ( 6,707) - ( 6,666) Proceeds from insurance claims - - ( 1,205) - ( 1,205) Sale of debt securities - - 20 - 20 Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 15,888) - ( 15,888) Sale of foreclosed assets, including write-downs - - ( 21,982) - ( 21,982) Acquisitions of loans held-for-sale - - ( 223,939) - ( 223,939) Proceeds from sale of loans held-for-sale - - 71,075 - 71,075 Net originations on loans held-for-sale - - ( 289,430) - ( 289,430) Net decrease (increase) in: Trading debt securities - - 460,969 - 460,969 Equity securities ( 4,051) - ( 3,981) - ( 8,032) Accrued income receivable ( 98) 8 ( 8,383) 104 ( 8,369) Other assets 445 2,571 ( 43,636) 2,773 ( 37,847) Net (decrease) increase in: Interest payable - - ( 180) ( 104) ( 284) Pension and other postretirement benefits obligations - - 778 - 778 Other liabilities 2,508 ( 87) ( 116,270) ( 2,594) ( 116,443) Total adjustments ( 282,900) ( 52,738) 37,942 331,928 34,232 Net cash provided by (used in) operating activities 388,235 ( 3,487) 728,656 ( 408,037) 705,367 Cash flows from investing activities: Net (increase) decrease in money market investments ( 45,000) ( 741) 905,558 45,741 905,558 Purchases of investment securities: Available-for-sale - - ( 18,733,295) - ( 18,733,295) Equity - - ( 16,359) 59 ( 16,300) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 14,650,440 - 14,650,440 Held-to-maturity - - 5,913 - 5,913 Proceeds from sale of investment securities: Available for sale - - 99,445 - 99,445 Equity - - 20,030 - 20,030 Net repayments (disbursements) on loans 677 - ( 641,706) - ( 641,029) Proceeds from sale of loans - - 110,534 - 110,534 Acquisition of loan portfolios - - ( 619,737) - ( 619,737) Payments to acquire other intangible - - ( 10,382) - ( 10,382) Return of capital from equity method investments - 4,228 2,714 - 6,942 Capital contribution to subsidiary ( 9,000) - - 9,000 - Return of capital from wholly-owned subsidiaries 13,000 - - ( 13,000) - Acquisition of premises and equipment ( 1,289) - ( 74,376) - ( 75,665) Proceeds from insurance claims - - 1,205 - 1,205 Proceeds from sale of: Premises and equipment and other productive assets 3 - 18,605 - 18,608 Foreclosed assets - - 107,881 - 107,881 Net cash (used in) provided by investing activities ( 41,609) 3,487 ( 4,173,530) 41,800 ( 4,169,852) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,077,682 ( 33,727) 4,043,955 Assets sold under agreements to repurchase - - ( 88,151) - ( 88,151) Other short-term borrowings - - ( 41) - ( 41) Payments of notes payable - - ( 210,377) - ( 210,377) Principal payments of finance leases - - ( 1,726) - ( 1,726) Proceeds from issuance of notes payable - - 75,000 - 75,000 Proceeds from issuance of common stock 13,451 - ( 4,732) - 8,719 Dividends paid to parent company - - ( 408,000) 408,000 - Dividends paid ( 115,810) - - - ( 115,810) Net payments for repurchase of common stock ( 250,571) - 12 ( 22) ( 250,581) Return of capital to parent company - - ( 13,000) 13,000 - Capital contribution from parent - - 9,000 ( 9,000) - Payments related to tax withholding for share-based compensation ( 5,420) - ( 11) - ( 5,431) Net cash (used in) provided by financing activities ( 358,350) - 3,435,656 378,251 3,455,557 Net decrease in cash and due from banks, and restricted cash ( 11,724) - ( 9,218) 12,014 ( 8,928) Cash and due from banks, and restricted cash at beginning of period 68,278 - 402,995 ( 68,022) 403,251 Cash and due from banks, and restricted cash at end of period $ 56,554 $ - $ 393,777 $ ( 56,008) $ 394,323 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2018 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income $ 618,158 $ 57,204 $ 673,763 $ ( 730,967) $ 618,158 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in earnings of subsidiaries, net of dividends or distributions ( 208,763) ( 69,027) - 277,790 - Provision (reversal) for loan losses ( 251) - 228,323 - 228,072 Amortization of intangibles 41 - 9,285 - 9,326 Depreciation and amortization of premises and equipment 743 - 52,557 - 53,300 Net accretion of discounts and amortization of premiums and deferred fees 2,022 27 ( 89,203) - ( 87,154) Share-based compensation 7,441 - 3,080 - 10,521 Impairment losses on long-lived assets - - 272 - 272 Fair value adjustments on mortgage servicing rights - - 8,477 - 8,477 FDIC loss-share income - - ( 94,725) - ( 94,725) Adjustments to indemnity reserves on loans sold - - 12,959 - 12,959 Earnings from investments under the equity method, net of dividends or distributions ( 14,333) ( 737) ( 9,147) - ( 24,217) Deferred income tax expense (benefit) - 1,531 ( 13,888) 37 ( 12,320) Loss (gain) on: Disposition of premises and equipment and other productive assets 22 - 15,962 - 15,984 Proceeds from insurance claims - - ( 20,147) - ( 20,147) Early extinguishment of debt 12,522 - - - 12,522 Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 9,681) - ( 9,681) Sale of foreclosed assets, including write-downs - - 6,833 - 6,833 Acquisitions of loans held-for-sale - - ( 232,264) - ( 232,264) Proceeds from sale of loans held-for-sale - - 66,687 - 66,687 Net originations on loans held-for-sale - - ( 254,582) - ( 254,582) Net decrease (increase) in: Trading debt securities - - 458,548 ( 101) 458,447 Equity securities ( 1,583) - ( 39) - ( 1,622) Accrued income receivable 85 ( 4) 49,273 ( 66) 49,288 Other assets ( 506) ( 83) 264,482 948 264,841 Net (decrease) increase in: Interest payable ( 10,288) ( 1,891) 2,327 66 ( 9,786) Pension and other postretirement benefits obligations - - 4,558 - 4,558 Other liabilities 8,059 ( 99) ( 233,160) ( 1,044) ( 226,244) Total adjustments ( 204,789) ( 70,283) 226,787 277,630 229,345 Net cash provided by (used in) operating activities 413,369 ( 13,079) 900,550 ( 453,337) 847,503 Cash flows from investing activities: Net decrease (increase) in money market investments 70,000 ( 12,481) 1,083,515 ( 57,519) 1,083,515 Purchases of investment securities: Available-for-sale - - ( 10,050,165) - ( 10,050,165) Equity - - ( 13,208) 140 ( 13,068) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 6,946,209 - 6,946,209 Held-to-maturity - 1,637 5,643 - 7,280 Proceeds from sale of investment securities: Equity - - 24,209 - 24,209 Net repayments (disbursements) on loans 536 - ( 7,201) - ( 6,665) Proceeds from sale of loans - - 29,669 - 29,669 Acquisition of loan portfolios - - ( 601,550) - ( 601,550) Net payments (to) from FDIC under loss-sharing agreements - - ( 25,012) - ( 25,012) Payments to acquire businesses, net of cash acquired - - ( 1,843,333) - ( 1,843,333) Return of capital from equity method investments - 5,963 ( 1,873) - 4,090 Capital contribution to subsidiary ( 87,000) - - 87,000 - Return of capital from wholly-owned subsidiaries 13,000 - - ( 13,000) - Acquisition of premises and equipment ( 1,099) - ( 79,450) - ( 80,549) Proceeds from insurance claims - - 20,147 - 20,147 Proceeds from sale of: Premises and equipment and other productive assets 293 - 8,892 - 9,185 Foreclosed assets - - 105,371 - 105,371 Net cash used in investing activities ( 4,270) ( 4,881) ( 4,398,137) 16,621 ( 4,390,667) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,221,975 37,676 4,259,651 Assets sold under agreements to repurchase - - ( 109,391) - ( 109,391) Other short-term borrowings - - ( 96,167) - ( 96,167) Payments of notes payable ( 448,518) ( 54,502) ( 252,946) - ( 755,966) Payments of debt extinguishment ( 12,522) - - - ( 12,522) Proceeds from issuance of notes payable 293,819 - 180,000 - 473,819 Proceeds from issuance of common stock 11,653 - ( 4,385) - 7,268 Dividends paid to parent company - - ( 453,200) 453,200 - Dividends paid ( 105,441) - - - ( 105,441) Net payments for repurchase of common stock ( 125,731) - 471 ( 4) ( 125,264) Return of capital to parent company - - ( 13,000) 13,000 - Capital contribution from parent - 72,000 15,000 ( 87,000) - Payments related to tax withholding for share-based compensation ( 2,201) - - - ( 2,201) Net cash (used in) provided by financing activities ( 388,941) 17,498 3,488,357 416,872 3,533,786 Net increase (decrease) in cash and due from banks, and restricted cash 20,158 ( 462) ( 9,230) ( 19,844) ( 9,378) Cash and due from banks, and restricted cash at beginning of period 48,120 462 412,225 ( 48,178) 412,629 Cash and due from banks, and restricted cash at end of period $ 68,278 $ - $ 402,995 $ ( 68,022) $ 403,251 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2017 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income (loss) $ 107,681 $ ( 154,658) $ 139,570 $ 15,088 $ 107,681 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in earnings of subsidiaries, net of dividends or distributions 69,070 153,944 - ( 223,014) - Provision for loan losses 403 - 325,021 - 325,424 Amortization of intangibles - - 9,378 - 9,378 Depreciation and amortization of premises and equipment 649 - 47,715 - 48,364 Net accretion of discounts and amortization of premiums and deferred fees 2,086 27 ( 24,423) - ( 22,310) Impairment losses on long-lived assets - - 4,784 - 4,784 Other-than-temporary impairment on debt securities - - 8,299 - 8,299 Fair value adjustments on mortgage servicing rights - - 36,519 - 36,519 FDIC loss-share expense - - 10,066 - 10,066 Adjustments to indemnity reserves on loans sold - - 22,377 - 22,377 Earnings from investments under the equity method, net of dividends or distributions ( 7,765) ( 921) ( 9,561) - ( 18,247) Deferred income tax (benefit) expense - ( 8,382) 215,864 ( 54) 207,428 (Gain) loss on: Disposition of premises and equipment and other productive assets ( 8) - 4,289 - 4,281 Sale and valuation adjustments of debt securities - - ( 83) - ( 83) Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 16,670) - ( 16,670) Sale of foreclosed assets, including write-downs 42 - 21,673 - 21,715 Acquisitions of loans held-for-sale - - ( 244,385) - ( 244,385) Proceeds from sale of loans held-for-sale - - 69,464 - 69,464 Net originations on loans held-for-sale - - ( 315,522) - ( 315,522) Net decrease (increase) in: Trading debt securities - - 503,108 - 503,108 Equity securities ( 1,346) - 108 ( 31) ( 1,269) Accrued income receivable ( 748) 26 ( 75,201) 121 ( 75,802) Other assets 8,761 - ( 76,727) 2,122 ( 65,844) Net increase (decrease) in: Interest payable - - 2,670 ( 121) 2,549 Pension and other postretirement benefits obligations - - ( 13,100) - ( 13,100) Other liabilities 3,230 ( 758) 25,466 341 28,279 Total adjustments 74,374 143,936 531,129 ( 220,636) 528,803 Net cash provided by (used in) operating activities 182,055 ( 10,722) 670,699 ( 205,548) 636,484 Cash flows from investing activities: Net decrease (increase) in money market investments 6,000 10,455 ( 2,365,132) ( 18,255) ( 2,366,932) Purchases of investment securities: Available-for-sale - - ( 4,139,650) - ( 4,139,650) Equity - - ( 29,672) - ( 29,672) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 2,023,295 - 2,023,295 Held-to-maturity - - 6,232 - 6,232 Proceeds from sale of investment securities: Available-for-sale - - 14,423 - 14,423 Equity - - 30,250 - 30,250 Net repayments (disbursements) on loans 181 - ( 398,857) - ( 398,676) Proceeds from sale of loans - - 38,279 ( 37,864) 415 Acquisition of loan portfolios ( 31,909) - ( 541,489) 37,864 ( 535,534) Acquisition of trademark ( 5,560) - 5,560 - - Net payments (to) from FDIC under loss-sharing agreements - - ( 7,679) - ( 7,679) Return of capital from equity method investments - 138 8,056 - 8,194 Capital contribution to subsidiary ( 5,955) - 5,955 - - Return of capital from wholly-owned subsidiaries 22,400 10,400 - ( 32,800) - Acquisition of premises and equipment ( 965) - ( 61,732) - ( 62,697) Proceeds from sale of: Premises and equipment and other productive assets 23 - 9,730 - 9,753 Foreclosed assets 38 - 96,502 - 96,540 Net cash (used in) provided by investing activities ( 15,747) 20,993 ( 5,305,929) ( 51,055) ( 5,351,738) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,935,948 18,157 4,954,105 Assets sold under agreements to repurchase - - ( 88,505) - ( 88,505) Other short-term borrowings - - 95,008 - 95,008 Payments of notes payable - - ( 95,607) - ( 95,607) Proceeds from issuance of notes payable - - 55,000 - 55,000 Proceeds from issuance of common stock 7,016 - - - 7,016 Dividends paid to parent company - - ( 211,500) 211,500 - Dividends paid ( 95,910) - - - ( 95,910) Net payments for repurchase of common stock ( 75,668) - - 4 ( 75,664) Return of capital to parent company - ( 10,400) ( 22,400) 32,800 - Capital contribution from parent - - 5,955 ( 5,955) - Payments related to tax withholding for share-based compensation ( 1,756) - - - ( 1,756) Net cash (used in) provided by financing activities ( 166,318) ( 10,400) 4,673,899 256,506 4,753,687 Net (decrease) increase in cash and due from banks, and restricted cash ( 10) ( 129) 38,669 ( 97) 38,433 Cash and due from banks, and restricted cash at beginning of period 48,130 591 373,556 ( 48,081) 374,196 Cash and due from banks, and restricted cash at end of period $ 48,120 $ 462 $ 412,225 $ ( 48,178) $ 412,629 |
Popular, Inc. Holding Co. | |
Condensed Balance Sheet | Condensed Statements of Condition December 31, (In thousands) 2019 2018 ASSETS Cash and due from banks (includes $ 56,008 due from bank subsidiary (2018 - $ 68,022)) $ 55,956 $ 68,022 Money market investments 221,598 176,256 Debt securities held-to-maturity, at amortized cost (includes $ 8,726 in common securities from statutory trusts (2018 - $ 8,726)) 8,726 8,726 Equity securities, at lower of cost or realizable value [1] 10,744 6,693 Investment in BPPR and subsidiaries, at equity 4,233,046 3,813,640 Investment in Popular North America and subsidiaries, at equity 1,749,518 1,648,577 Investment in other non-bank subsidiaries, at equity 260,501 241,902 Other loans 32,027 32,678 Less - Allowance for loan losses 410 155 Premises and equipment 3,893 3,394 Investment in equity method investees 75,739 62,781 Other assets (includes $ 4,353 due from subsidiaries and affiliate (2018 - $ 1,355)) 25,087 20,281 Total assets $ 6,676,425 $ 6,082,795 LIABILITIES AND STOCKHOLDERS' EQUITY Notes payable $ 586,119 $ 584,851 Other liabilities (includes $ 2,109 due to subsidiaries and affiliate (2018 - $ 3,110)) 73,596 62,799 Stockholders’ equity 6,016,710 5,435,145 Total liabilities and stockholders’ equity $ 6,676,425 $ 6,082,795 [1] Refer to Note 20 to the consolidated financial statements for information on the statutory trusts. |
Condensed Income Statement | Condensed Statements of Operations Years ended December 31, (In thousands) 2019 2018 2017 Income: Dividends from subsidiaries $ 408,000 $ 453,200 $ 211,500 Interest income (includes $ 4,237 due from subsidiaries and affiliates (2018 - $ 6,121; 2017 - $ 3,183)) 6,669 8,366 4,238 Earnings from investments in equity method investees 17,279 15,498 11,761 Other operating income 1 253 86 Net gain (loss), including impairment, on equity securities 988 ( 777) - Net gain on trading account debt securities - - 266 Total income 432,937 476,540 227,851 Expenses: Interest expense 38,528 51,218 52,470 Provision (reversal) for loan losses 256 ( 251) 403 Loss on early extinguishment of debt - 12,522 - Operating expenses (includes expenses for services provided by subsidiaries and affiliate of $ 14,400 (2018 - $ 10,511 ; 2017 - $ 8,225)), net of reimbursement by subsidiaries for services provided by parent of $ 106,725 (2018 - $ 90,807 ; 2017 - $ 76,720) 80 3,656 ( 1,773) Total expenses 38,864 67,145 51,100 Income before equity in undistributed earnings of subsidiaries 394,073 409,395 176,751 Equity in undistributed earnings (losses) of subsidiaries 277,062 208,763 ( 69,070) Net income $ 671,135 $ 618,158 $ 107,681 Comprehensive income, net of tax $ 929,171 $ 540,836 $ 77,315 |
Condensed Cash Flow Statement | Condensed Statements of Cash Flows Years ended December 31, (In thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 671,135 $ 618,158 $ 107,681 Adjustments to reconcile net income to net cash provided by operating activities: Equity in (earnings) losses of subsidiaries, net of dividends or distributions ( 277,062) ( 208,763) 69,070 Provision (reversal) for loan losses 256 ( 251) 403 Amortization of intangibles 96 41 - Net accretion of discounts and amortization of premiums and deferred fees 1,240 2,022 2,086 Share-based compensation 7,927 7,441 - Earnings from investments under the equity method, net of dividends or distributions ( 14,948) ( 14,333) ( 7,765) Loss on early extinguishment of debt - 12,522 - Net (increase) decrease in: Equity securities ( 4,051) ( 1,583) ( 1,346) Other assets 1,134 344 8,696 Net (decrease) increase in: Interest payable - ( 10,288) - Other liabilities 2,508 8,059 3,230 Total adjustments ( 282,900) ( 204,789) 74,374 Net cash provided by operating activities 388,235 413,369 182,055 Cash flows from investing activities: Net (increase) decrease in money market investments ( 45,000) 70,000 6,000 Net repayments on other loans 677 536 181 Capital contribution to subsidiaries ( 9,000) ( 87,000) ( 5,955) Return of capital from wholly owned subsidiaries 13,000 13,000 22,400 Acquisition of loans portfolio - - ( 31,909) Acquisition of trademark - - ( 5,560) Acquisition of premises and equipment ( 1,289) ( 1,099) ( 965) Proceeds from sale of: Premises and equipment 3 293 23 Foreclosed assets - - 38 Net cash used in investing activities ( 41,609) ( 4,270) ( 15,747) Cash flows from financing activities: Payments of notes payable - ( 448,518) - Payments of debt extinguishment - ( 12,522) - Proceeds from issuance of notes payable - 293,819 - Proceeds from issuance of common stock 13,451 11,653 7,016 Dividends paid ( 115,810) ( 105,441) ( 95,910) Net payments for repurchase of common stock ( 250,571) ( 125,731) ( 75,668) Payments related to tax withholding for share-based compensation ( 5,420) ( 2,201) ( 1,756) Net cash used in financing activities ( 358,350) ( 388,941) ( 166,318) Net (decrease) increase in cash and due from banks, and restricted cash ( 11,724) 20,158 ( 10) Cash and due from banks, and restricted cash at beginning of period 68,278 48,120 48,130 Cash and due from banks, and restricted cash at end of period $ 56,554 $ 68,278 $ 48,120 |
Borrowings by contractual maturities | Year (In thousands) 2020 $ - 2021 - 2022 - 2023 - 2024 295,307 Later years 290,812 Total $ 586,119 |
Condensed consolidating finan_2
Condensed consolidating financial information of guarantor and issuers of registered guaranteed securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Table Text Block | |
Condensed Balance Sheet | Condensed Consolidating Statement of Financial Condition At December 31, 2019 All other Popular Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Assets: Cash and due from banks $ 55,956 $ - $ 388,363 $ ( 56,008) $ 388,311 Money market investments 221,598 16,029 3,261,688 ( 237,029) 3,262,286 Trading account debt securities, at fair value - - 40,321 - 40,321 Debt securities available-for-sale, at fair value - - 17,648,473 - 17,648,473 Debt securities held-to-maturity, at amortized cost 8,726 2,835 86,101 - 97,662 Equity securities 10,744 20 149,322 ( 199) 159,887 Investment in subsidiaries 6,243,065 1,806,583 - ( 8,049,648) - Loans held-for-sale, at lower of cost or fair value - - 59,203 - 59,203 Loans held-in-portfolio 32,027 - 27,549,874 5,955 27,587,856 Less - Unearned income - - 180,983 - 180,983 Allowance for loan losses 410 - 477,298 - 477,708 Total loans held-in-portfolio, net 31,617 - 26,891,593 5,955 26,929,165 Premises and equipment, net 3,893 - 552,757 - 556,650 Other real estate 146 - 121,926 - 122,072 Accrued income receivable 382 108 180,630 ( 249) 180,871 Mortgage servicing assets, at fair value - - 150,906 - 150,906 Other assets 93,835 21,324 1,722,839 ( 18,383) 1,819,615 Goodwill - - 671,123 ( 1) 671,122 Other intangible assets 6,463 - 22,317 - 28,780 Total assets $ 6,676,425 $ 1,846,899 $ 51,947,562 $ ( 8,355,562) $ 52,115,324 Liabilities and Stockholders' Equity Liabilities: Deposits: Non-interest bearing $ - $ - $ 9,216,181 $ ( 56,008) $ 9,160,173 Interest bearing - - 34,835,462 ( 237,029) 34,598,433 Total deposits - - 44,051,643 ( 293,037) 43,758,606 Assets sold under agreements to repurchase - - 193,378 - 193,378 Notes payable 586,119 94,090 421,399 - 1,101,608 Other liabilities 73,596 3,200 986,865 ( 18,708) 1,044,953 Total liabilities 659,715 97,290 45,653,285 ( 311,745) 46,098,545 Stockholders' equity: Preferred stock 50,160 - - - 50,160 Common stock 1,044 2 56,307 ( 56,309) 1,044 Surplus 4,438,706 4,173,169 5,847,389 ( 10,011,852) 4,447,412 Retained earnings (accumulated deficit) 2,156,442 ( 2,425,429) 555,398 1,861,504 2,147,915 Treasury stock, at cost ( 459,704) - - ( 110) ( 459,814) Accumulated other comprehensive (loss) income, net of tax ( 169,938) 1,867 ( 164,817) 162,950 ( 169,938) Total stockholders' equity 6,016,710 1,749,609 6,294,277 ( 8,043,817) 6,016,779 Total liabilities and stockholders' equity $ 6,676,425 $ 1,846,899 $ 51,947,562 $ ( 8,355,562) $ 52,115,324 Condensed Consolidating Statement of Financial Condition At December 31, 2018 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Assets: Cash and due from banks $ 68,022 $ - $ 394,035 $ ( 68,022) $ 394,035 Money market investments 176,256 15,288 4,170,792 ( 191,288) 4,171,048 Trading account debt securities, at fair value - - 37,787 - 37,787 Debt securities available-for-sale, at fair value - - 13,300,184 - 13,300,184 Debt securities held-to-maturity, at amortized cost 8,726 2,835 90,014 - 101,575 Equity securities 6,693 20 149,012 ( 141) 155,584 Investment in subsidiaries 5,704,119 1,700,082 - ( 7,404,201) - Loans held-for-sale, at lower of cost or fair value - - 51,422 - 51,422 Loans held-in-portfolio 32,678 - 26,625,080 5,955 26,663,713 Less - Unearned income - - 155,824 - 155,824 Allowance for loan losses 155 - 569,193 - 569,348 Total loans held-in-portfolio, net 32,523 - 25,900,063 5,955 25,938,541 Premises and equipment, net 3,394 - 566,414 - 569,808 Other real estate 146 - 136,559 - 136,705 Accrued income receivable 284 116 165,767 ( 145) 166,022 Mortgage servicing assets, at fair value - - 169,777 - 169,777 Other assets 76,073 27,639 1,626,119 ( 15,697) 1,714,134 Goodwill - - 671,123 ( 1) 671,122 Other intangible assets 6,559 - 20,274 - 26,833 Total assets $ 6,082,795 $ 1,745,980 $ 47,449,342 $ ( 7,673,540) $ 47,604,577 Liabilities and Stockholders' Equity Liabilities: Deposits: Non-interest bearing $ - $ - $ 9,217,058 $ ( 68,022) $ 9,149,036 Interest bearing - - 30,752,291 ( 191,288) 30,561,003 Total deposits - - 39,969,349 ( 259,310) 39,710,039 Assets sold under agreements to repurchase - - 281,529 - 281,529 Other short-term borrowings - - 42 - 42 Notes payable 584,851 94,063 577,188 - 1,256,102 Other liabilities 62,799 3,287 871,733 ( 16,011) 921,808 Total liabilities 647,650 97,350 41,699,841 ( 275,321) 42,169,520 Stockholders' equity: Preferred stock 50,160 - - - 50,160 Common stock 1,043 2 56,307 ( 56,309) 1,043 Surplus 4,357,079 4,172,983 5,790,324 ( 9,954,780) 4,365,606 Retained earnings (accumulated deficit) 1,660,258 ( 2,479,503) 327,713 2,143,263 1,651,731 Treasury stock, at cost ( 205,421) - - ( 88) ( 205,509) Accumulated other comprehensive loss, net of tax ( 427,974) ( 44,852) ( 424,843) 469,695 ( 427,974) Total stockholders' equity 5,435,145 1,648,630 5,749,501 ( 7,398,219) 5,435,057 Total liabilities and stockholders' equity $ 6,082,795 $ 1,745,980 $ 47,449,342 $ ( 7,673,540) $ 47,604,577 |
Condensed Income Statement | Condensed Consolidating Statement of Operations Year ended December 31, 2019 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 408,000 $ - $ - $ ( 408,000) $ - Loans 2,231 - 1,800,737 - 1,802,968 Money market investments 3,670 211 89,824 ( 3,882) 89,823 Investment securities 768 186 367,048 - 368,002 Total interest and dividend income 414,669 397 2,257,609 ( 411,882) 2,260,793 Interest expense: Deposits - - 308,740 ( 3,882) 304,858 Short-term borrowings - - 6,100 - 6,100 Long-term debt 38,528 6,229 13,384 - 58,141 Total interest expense 38,528 6,229 328,224 ( 3,882) 369,099 Net interest income (expense) 376,141 ( 5,832) 1,929,385 ( 408,000) 1,891,694 Provision for loan losses 256 - 165,523 - 165,779 Net interest income (expense) after provision for loan losses 375,885 ( 5,832) 1,763,862 ( 408,000) 1,725,915 Service charges on deposit accounts - - 160,933 - 160,933 Other service fees 1 - 288,471 ( 3,266) 285,206 Mortgage banking activities - - 32,093 - 32,093 Net loss on sale of debt securities - - ( 20) - ( 20) Net gain, including impairment on equity securities 988 - 1,555 ( 37) 2,506 Net gain on trading account debt securities - - 994 - 994 Indemnity reserves on loans sold expense - - ( 343) - ( 343) Other operating income (expense) 17,279 ( 984) 72,272 ( 53) 88,514 Total non-interest income (expense) 18,268 ( 984) 555,955 ( 3,356) 569,883 Operating expenses: Personnel costs 63,258 - 527,367 - 590,625 Net occupancy expenses 4,297 - 92,084 ( 42) 96,339 Equipment expenses 3,525 4 80,686 - 84,215 Other taxes 248 1 51,404 - 51,653 Professional fees 21,323 113 363,479 ( 504) 384,411 Communications 616 - 22,834 - 23,450 Business promotion 3,918 - 71,454 - 75,372 FDIC deposit insurance - - 18,179 - 18,179 Other real estate owned (OREO) expenses - - 4,298 - 4,298 Other operating expenses ( 97,201) 56 239,309 ( 2,594) 139,570 Amortization of intangibles 96 - 9,274 - 9,370 Total operating expenses 80 174 1,480,368 ( 3,140) 1,477,482 Income (loss) before income tax and equity in earnings of subsidiaries 394,073 ( 6,990) 839,449 ( 408,216) 818,316 Income tax (benefit) expense - ( 1,468) 148,735 ( 86) 147,181 Income (loss) before equity in earnings of subsidiaries 394,073 ( 5,522) 690,714 ( 408,130) 671,135 Equity in undistributed earnings of subsidiaries 277,062 54,773 - ( 331,835) - Net income $ 671,135 $ 49,251 $ 690,714 $ ( 739,965) $ 671,135 Comprehensive income, net of tax $ 929,171 $ 95,970 $ 950,740 $ ( 1,046,710) $ 929,171 Condensed Consolidating Statement of Operations Year ended December 31, 2018 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 453,200 $ - $ - $ ( 453,200) $ - Loans 2,115 - 1,643,670 ( 49) 1,645,736 Money market investments 5,555 69 111,287 ( 5,623) 111,288 Investment securities 696 279 263,849 - 264,824 Total interest and dividend income 461,566 348 2,018,806 ( 458,872) 2,021,848 Interest expense: Deposits - - 209,888 ( 5,623) 204,265 Short-term borrowings - 49 7,210 ( 49) 7,210 Long-term debt 51,218 9,330 14,948 - 75,496 Total interest expense 51,218 9,379 232,046 ( 5,672) 286,971 Net interest income (expense) 410,348 ( 9,031) 1,786,760 ( 453,200) 1,734,877 Provision (reversal) for loan losses- non-covered loans ( 251) - 226,593 - 226,342 Provision for loan losses- covered loans - - 1,730 - 1,730 Net interest income (expense) after provision (reversal) for loan losses 410,599 ( 9,031) 1,558,437 ( 453,200) 1,506,805 Service charges on deposit accounts - - 150,677 - 150,677 Other service fees - - 260,730 ( 2,710) 258,020 Mortgage banking activities - - 52,802 - 52,802 Net loss, including impairment on equity securities ( 777) - ( 1,268) ( 36) ( 2,081) Net loss on trading account debt securities - - ( 208) - ( 208) Net gain on sale of loans, including valuation adjustments on loans held-for-sale - - 33 - 33 Indemnity reserves on loans sold expense - - ( 12,959) - ( 12,959) FDIC loss-share income - - 94,725 - 94,725 Other operating income 15,751 737 95,037 ( 40) 111,485 Total non-interest income 14,974 737 639,569 ( 2,786) 652,494 Operating expenses: Personnel costs 59,821 - 503,167 - 562,988 Net occupancy expenses 4,055 - 84,274 - 88,329 Equipment expenses 3,433 3 68,352 - 71,788 Other taxes 233 1 46,050 - 46,284 Professional fees 18,159 178 331,978 ( 471) 349,844 Communications 485 - 22,622 - 23,107 Business promotion 2,236 - 63,682 - 65,918 FDIC deposit insurance - - 27,757 - 27,757 Loss on early extinguishment of debt 12,522 - - - 12,522 Other real estate owned (OREO) expenses - - 23,338 - 23,338 Other operating expenses ( 84,807) 80 227,463 ( 2,375) 140,361 Amortization of intangibles 41 - 9,285 - 9,326 Total operating expenses 16,178 262 1,407,968 ( 2,846) 1,421,562 Income (loss) before income tax and equity in earnings of subsidiaries 409,395 ( 8,556) 790,038 ( 453,140) 737,737 Income tax expense - 3,267 116,275 37 119,579 Income (loss) before equity in earnings of subsidiaries 409,395 ( 11,823) 673,763 ( 453,177) 618,158 Equity in undistributed earnings of subsidiaries 208,763 69,027 - ( 277,790) - Net income $ 618,158 $ 57,204 $ 673,763 $ ( 730,967) $ 618,158 Comprehensive income, net of tax $ 540,836 $ 41,838 $ 597,768 $ ( 639,606) $ 540,836 Condensed Consolidating Statement of Operations Year ended December 31, 2017 All other Popular, Inc. PNA subsidiaries and Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. eliminations entries Consolidated Interest and dividend income: Dividend income from subsidiaries $ 211,500 $ - $ - $ ( 211,500) $ - Loans 1,056 - 1,477,713 ( 4) 1,478,765 Money market investments 2,616 54 51,495 ( 2,670) 51,495 Investment securities 566 322 194,796 - 195,684 Total interest and dividend income 215,738 376 1,724,004 ( 214,174) 1,725,944 Interest Expense: Deposits - - 144,534 ( 2,670) 141,864 Short-term borrowings - - 5,728 ( 4) 5,724 Long-term debt 52,470 10,767 13,155 - 76,392 Total interest expense 52,470 10,767 163,417 ( 2,674) 223,980 Net interest income (expense) 163,268 ( 10,391) 1,560,587 ( 211,500) 1,501,964 Provision for loan losses- non-covered loans 403 - 325,234 ( 5,955) 319,682 Provision for loan losses- covered loans - - 5,742 - 5,742 Net interest income (expense) after provision for loan losses 162,865 ( 10,391) 1,229,611 ( 205,545) 1,176,540 Service charges on deposit accounts - - 153,709 - 153,709 Other service fees - - 220,073 ( 2,806) 217,267 Mortgage banking activities - - 25,496 - 25,496 Net gain on sale of debt securities - - 83 - 83 Other-than-temporary impairment losses on debt securities - - ( 8,299) - ( 8,299) Net gain on equity securities - - 251 - 251 Net profit (loss) on trading account debt securities 266 - ( 1,110) 27 ( 817) Net loss on sale of loans, including valuation adjustments on loans held-for-sale - - ( 420) - ( 420) Indemnity reserves on loans sold expense - - ( 22,377) - ( 22,377) FDIC loss-share expense - - ( 10,066) - ( 10,066) Other operating income 11,847 921 51,598 ( 26) 64,340 Total non-interest income 12,113 921 408,938 ( 2,805) 419,167 Operating expenses: Personnel costs 47,561 - 429,201 - 476,762 Net occupancy expenses 3,876 - 85,318 - 89,194 Equipment expenses 2,925 2 62,215 - 65,142 Other taxes 217 - 43,165 - 43,382 Professional fees 11,766 ( 427) 281,585 ( 436) 292,488 Communications 549 - 21,917 - 22,466 Business promotion 2,014 - 56,431 - 58,445 FDIC deposit insurance - - 26,392 - 26,392 Other real estate owned (OREO) expenses 42 - 48,498 - 48,540 Other operating expenses ( 70,723) 51 197,935 ( 2,256) 125,007 Amortization of intangibles - - 9,378 - 9,378 Total operating expenses ( 1,773) ( 374) 1,262,035 ( 2,692) 1,257,196 Income (loss) before income tax and equity in earnings of subsidiaries 176,751 ( 9,096) 376,514 ( 205,658) 338,511 Income tax (benefit) expense - ( 8,382) 236,944 2,268 230,830 Income (loss) before equity in earnings of subsidiaries 176,751 ( 714) 139,570 ( 207,926) 107,681 Equity in undistributed earnings of subsidiaries ( 69,070) ( 153,944) - 223,014 - Net Income (loss) $ 107,681 $ ( 154,658) $ 139,570 $ 15,088 $ 107,681 Comprehensive income (loss), net of tax $ 77,315 $ ( 162,195) $ 108,663 $ 53,532 $ 77,315 |
Condensed Cash Flow Statement | Condensed Consolidating Statement of Cash Flows Year ended December 31, 2019 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income $ 671,135 $ 49,251 $ 690,714 $ ( 739,965) $ 671,135 Adjustments to reconcile net income to net cash (used in) provided by operating activities: Equity in earnings of subsidiaries, net of dividends or distributions ( 277,062) ( 54,773) - 331,835 - Provision for loan losses 256 - 165,523 - 165,779 Amortization of intangibles 96 - 9,274 - 9,370 Depreciation and amortization of premises and equipment 746 - 57,321 - 58,067 Net accretion of discounts and amortization of premiums and deferred fees 1,240 27 ( 159,337) - ( 158,070) Share-based compensation 7,927 - 4,376 - 12,303 Impairment losses on long-lived assets - - 2,591 - 2,591 Fair value adjustments on mortgage servicing rights - - 27,771 - 27,771 Indemnity reserves on loans sold expense - - 343 - 343 (Earnings) losses from investments under the equity method, net of dividends or distributions ( 14,948) 984 ( 14,047) - ( 28,011) Deferred income tax (benefit) expense - ( 1,468) 142,886 ( 86) 141,332 Loss (gain) on: Disposition of premises and equipment and other productive assets 41 - ( 6,707) - ( 6,666) Proceeds from insurance claims - - ( 1,205) - ( 1,205) Sale of debt securities - - 20 - 20 Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 15,888) - ( 15,888) Sale of foreclosed assets, including write-downs - - ( 21,982) - ( 21,982) Acquisitions of loans held-for-sale - - ( 223,939) - ( 223,939) Proceeds from sale of loans held-for-sale - - 71,075 - 71,075 Net originations on loans held-for-sale - - ( 289,430) - ( 289,430) Net decrease (increase) in: Trading debt securities - - 460,969 - 460,969 Equity securities ( 4,051) - ( 3,981) - ( 8,032) Accrued income receivable ( 98) 8 ( 8,383) 104 ( 8,369) Other assets 445 2,571 ( 43,636) 2,773 ( 37,847) Net (decrease) increase in: Interest payable - - ( 180) ( 104) ( 284) Pension and other postretirement benefits obligations - - 778 - 778 Other liabilities 2,508 ( 87) ( 116,270) ( 2,594) ( 116,443) Total adjustments ( 282,900) ( 52,738) 37,942 331,928 34,232 Net cash provided by (used in) operating activities 388,235 ( 3,487) 728,656 ( 408,037) 705,367 Cash flows from investing activities: Net (increase) decrease in money market investments ( 45,000) ( 741) 905,558 45,741 905,558 Purchases of investment securities: Available-for-sale - - ( 18,733,295) - ( 18,733,295) Equity - - ( 16,359) 59 ( 16,300) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 14,650,440 - 14,650,440 Held-to-maturity - - 5,913 - 5,913 Proceeds from sale of investment securities: Available for sale - - 99,445 - 99,445 Equity - - 20,030 - 20,030 Net repayments (disbursements) on loans 677 - ( 641,706) - ( 641,029) Proceeds from sale of loans - - 110,534 - 110,534 Acquisition of loan portfolios - - ( 619,737) - ( 619,737) Payments to acquire other intangible - - ( 10,382) - ( 10,382) Return of capital from equity method investments - 4,228 2,714 - 6,942 Capital contribution to subsidiary ( 9,000) - - 9,000 - Return of capital from wholly-owned subsidiaries 13,000 - - ( 13,000) - Acquisition of premises and equipment ( 1,289) - ( 74,376) - ( 75,665) Proceeds from insurance claims - - 1,205 - 1,205 Proceeds from sale of: Premises and equipment and other productive assets 3 - 18,605 - 18,608 Foreclosed assets - - 107,881 - 107,881 Net cash (used in) provided by investing activities ( 41,609) 3,487 ( 4,173,530) 41,800 ( 4,169,852) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,077,682 ( 33,727) 4,043,955 Assets sold under agreements to repurchase - - ( 88,151) - ( 88,151) Other short-term borrowings - - ( 41) - ( 41) Payments of notes payable - - ( 210,377) - ( 210,377) Principal payments of finance leases - - ( 1,726) - ( 1,726) Proceeds from issuance of notes payable - - 75,000 - 75,000 Proceeds from issuance of common stock 13,451 - ( 4,732) - 8,719 Dividends paid to parent company - - ( 408,000) 408,000 - Dividends paid ( 115,810) - - - ( 115,810) Net payments for repurchase of common stock ( 250,571) - 12 ( 22) ( 250,581) Return of capital to parent company - - ( 13,000) 13,000 - Capital contribution from parent - - 9,000 ( 9,000) - Payments related to tax withholding for share-based compensation ( 5,420) - ( 11) - ( 5,431) Net cash (used in) provided by financing activities ( 358,350) - 3,435,656 378,251 3,455,557 Net decrease in cash and due from banks, and restricted cash ( 11,724) - ( 9,218) 12,014 ( 8,928) Cash and due from banks, and restricted cash at beginning of period 68,278 - 402,995 ( 68,022) 403,251 Cash and due from banks, and restricted cash at end of period $ 56,554 $ - $ 393,777 $ ( 56,008) $ 394,323 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2018 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income $ 618,158 $ 57,204 $ 673,763 $ ( 730,967) $ 618,158 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in earnings of subsidiaries, net of dividends or distributions ( 208,763) ( 69,027) - 277,790 - Provision (reversal) for loan losses ( 251) - 228,323 - 228,072 Amortization of intangibles 41 - 9,285 - 9,326 Depreciation and amortization of premises and equipment 743 - 52,557 - 53,300 Net accretion of discounts and amortization of premiums and deferred fees 2,022 27 ( 89,203) - ( 87,154) Share-based compensation 7,441 - 3,080 - 10,521 Impairment losses on long-lived assets - - 272 - 272 Fair value adjustments on mortgage servicing rights - - 8,477 - 8,477 FDIC loss-share income - - ( 94,725) - ( 94,725) Adjustments to indemnity reserves on loans sold - - 12,959 - 12,959 Earnings from investments under the equity method, net of dividends or distributions ( 14,333) ( 737) ( 9,147) - ( 24,217) Deferred income tax expense (benefit) - 1,531 ( 13,888) 37 ( 12,320) Loss (gain) on: Disposition of premises and equipment and other productive assets 22 - 15,962 - 15,984 Proceeds from insurance claims - - ( 20,147) - ( 20,147) Early extinguishment of debt 12,522 - - - 12,522 Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 9,681) - ( 9,681) Sale of foreclosed assets, including write-downs - - 6,833 - 6,833 Acquisitions of loans held-for-sale - - ( 232,264) - ( 232,264) Proceeds from sale of loans held-for-sale - - 66,687 - 66,687 Net originations on loans held-for-sale - - ( 254,582) - ( 254,582) Net decrease (increase) in: Trading debt securities - - 458,548 ( 101) 458,447 Equity securities ( 1,583) - ( 39) - ( 1,622) Accrued income receivable 85 ( 4) 49,273 ( 66) 49,288 Other assets ( 506) ( 83) 264,482 948 264,841 Net (decrease) increase in: Interest payable ( 10,288) ( 1,891) 2,327 66 ( 9,786) Pension and other postretirement benefits obligations - - 4,558 - 4,558 Other liabilities 8,059 ( 99) ( 233,160) ( 1,044) ( 226,244) Total adjustments ( 204,789) ( 70,283) 226,787 277,630 229,345 Net cash provided by (used in) operating activities 413,369 ( 13,079) 900,550 ( 453,337) 847,503 Cash flows from investing activities: Net decrease (increase) in money market investments 70,000 ( 12,481) 1,083,515 ( 57,519) 1,083,515 Purchases of investment securities: Available-for-sale - - ( 10,050,165) - ( 10,050,165) Equity - - ( 13,208) 140 ( 13,068) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 6,946,209 - 6,946,209 Held-to-maturity - 1,637 5,643 - 7,280 Proceeds from sale of investment securities: Equity - - 24,209 - 24,209 Net repayments (disbursements) on loans 536 - ( 7,201) - ( 6,665) Proceeds from sale of loans - - 29,669 - 29,669 Acquisition of loan portfolios - - ( 601,550) - ( 601,550) Net payments (to) from FDIC under loss-sharing agreements - - ( 25,012) - ( 25,012) Payments to acquire businesses, net of cash acquired - - ( 1,843,333) - ( 1,843,333) Return of capital from equity method investments - 5,963 ( 1,873) - 4,090 Capital contribution to subsidiary ( 87,000) - - 87,000 - Return of capital from wholly-owned subsidiaries 13,000 - - ( 13,000) - Acquisition of premises and equipment ( 1,099) - ( 79,450) - ( 80,549) Proceeds from insurance claims - - 20,147 - 20,147 Proceeds from sale of: Premises and equipment and other productive assets 293 - 8,892 - 9,185 Foreclosed assets - - 105,371 - 105,371 Net cash used in investing activities ( 4,270) ( 4,881) ( 4,398,137) 16,621 ( 4,390,667) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,221,975 37,676 4,259,651 Assets sold under agreements to repurchase - - ( 109,391) - ( 109,391) Other short-term borrowings - - ( 96,167) - ( 96,167) Payments of notes payable ( 448,518) ( 54,502) ( 252,946) - ( 755,966) Payments of debt extinguishment ( 12,522) - - - ( 12,522) Proceeds from issuance of notes payable 293,819 - 180,000 - 473,819 Proceeds from issuance of common stock 11,653 - ( 4,385) - 7,268 Dividends paid to parent company - - ( 453,200) 453,200 - Dividends paid ( 105,441) - - - ( 105,441) Net payments for repurchase of common stock ( 125,731) - 471 ( 4) ( 125,264) Return of capital to parent company - - ( 13,000) 13,000 - Capital contribution from parent - 72,000 15,000 ( 87,000) - Payments related to tax withholding for share-based compensation ( 2,201) - - - ( 2,201) Net cash (used in) provided by financing activities ( 388,941) 17,498 3,488,357 416,872 3,533,786 Net increase (decrease) in cash and due from banks, and restricted cash 20,158 ( 462) ( 9,230) ( 19,844) ( 9,378) Cash and due from banks, and restricted cash at beginning of period 48,120 462 412,225 ( 48,178) 412,629 Cash and due from banks, and restricted cash at end of period $ 68,278 $ - $ 402,995 $ ( 68,022) $ 403,251 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2017 All other Popular, Inc. PNA subsidiaries Elimination Popular, Inc. (In thousands) Holding Co. Holding Co. and eliminations entries Consolidated Cash flows from operating activities: Net income (loss) $ 107,681 $ ( 154,658) $ 139,570 $ 15,088 $ 107,681 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in earnings of subsidiaries, net of dividends or distributions 69,070 153,944 - ( 223,014) - Provision for loan losses 403 - 325,021 - 325,424 Amortization of intangibles - - 9,378 - 9,378 Depreciation and amortization of premises and equipment 649 - 47,715 - 48,364 Net accretion of discounts and amortization of premiums and deferred fees 2,086 27 ( 24,423) - ( 22,310) Impairment losses on long-lived assets - - 4,784 - 4,784 Other-than-temporary impairment on debt securities - - 8,299 - 8,299 Fair value adjustments on mortgage servicing rights - - 36,519 - 36,519 FDIC loss-share expense - - 10,066 - 10,066 Adjustments to indemnity reserves on loans sold - - 22,377 - 22,377 Earnings from investments under the equity method, net of dividends or distributions ( 7,765) ( 921) ( 9,561) - ( 18,247) Deferred income tax (benefit) expense - ( 8,382) 215,864 ( 54) 207,428 (Gain) loss on: Disposition of premises and equipment and other productive assets ( 8) - 4,289 - 4,281 Sale and valuation adjustments of debt securities - - ( 83) - ( 83) Sale of loans, including valuation adjustments on loans held for sale and mortgage banking activities - - ( 16,670) - ( 16,670) Sale of foreclosed assets, including write-downs 42 - 21,673 - 21,715 Acquisitions of loans held-for-sale - - ( 244,385) - ( 244,385) Proceeds from sale of loans held-for-sale - - 69,464 - 69,464 Net originations on loans held-for-sale - - ( 315,522) - ( 315,522) Net decrease (increase) in: Trading debt securities - - 503,108 - 503,108 Equity securities ( 1,346) - 108 ( 31) ( 1,269) Accrued income receivable ( 748) 26 ( 75,201) 121 ( 75,802) Other assets 8,761 - ( 76,727) 2,122 ( 65,844) Net increase (decrease) in: Interest payable - - 2,670 ( 121) 2,549 Pension and other postretirement benefits obligations - - ( 13,100) - ( 13,100) Other liabilities 3,230 ( 758) 25,466 341 28,279 Total adjustments 74,374 143,936 531,129 ( 220,636) 528,803 Net cash provided by (used in) operating activities 182,055 ( 10,722) 670,699 ( 205,548) 636,484 Cash flows from investing activities: Net decrease (increase) in money market investments 6,000 10,455 ( 2,365,132) ( 18,255) ( 2,366,932) Purchases of investment securities: Available-for-sale - - ( 4,139,650) - ( 4,139,650) Equity - - ( 29,672) - ( 29,672) Proceeds from calls, paydowns, maturities and redemptions of investment securities: Available-for-sale - - 2,023,295 - 2,023,295 Held-to-maturity - - 6,232 - 6,232 Proceeds from sale of investment securities: Available-for-sale - - 14,423 - 14,423 Equity - - 30,250 - 30,250 Net repayments (disbursements) on loans 181 - ( 398,857) - ( 398,676) Proceeds from sale of loans - - 38,279 ( 37,864) 415 Acquisition of loan portfolios ( 31,909) - ( 541,489) 37,864 ( 535,534) Acquisition of trademark ( 5,560) - 5,560 - - Net payments (to) from FDIC under loss-sharing agreements - - ( 7,679) - ( 7,679) Return of capital from equity method investments - 138 8,056 - 8,194 Capital contribution to subsidiary ( 5,955) - 5,955 - - Return of capital from wholly-owned subsidiaries 22,400 10,400 - ( 32,800) - Acquisition of premises and equipment ( 965) - ( 61,732) - ( 62,697) Proceeds from sale of: Premises and equipment and other productive assets 23 - 9,730 - 9,753 Foreclosed assets 38 - 96,502 - 96,540 Net cash (used in) provided by investing activities ( 15,747) 20,993 ( 5,305,929) ( 51,055) ( 5,351,738) Cash flows from financing activities: Net increase (decrease) in: Deposits - - 4,935,948 18,157 4,954,105 Assets sold under agreements to repurchase - - ( 88,505) - ( 88,505) Other short-term borrowings - - 95,008 - 95,008 Payments of notes payable - - ( 95,607) - ( 95,607) Proceeds from issuance of notes payable - - 55,000 - 55,000 Proceeds from issuance of common stock 7,016 - - - 7,016 Dividends paid to parent company - - ( 211,500) 211,500 - Dividends paid ( 95,910) - - - ( 95,910) Net payments for repurchase of common stock ( 75,668) - - 4 ( 75,664) Return of capital to parent company - ( 10,400) ( 22,400) 32,800 - Capital contribution from parent - - 5,955 ( 5,955) - Payments related to tax withholding for share-based compensation ( 1,756) - - - ( 1,756) Net cash (used in) provided by financing activities ( 166,318) ( 10,400) 4,673,899 256,506 4,753,687 Net (decrease) increase in cash and due from banks, and restricted cash ( 10) ( 129) 38,669 ( 97) 38,433 Cash and due from banks, and restricted cash at beginning of period 48,130 591 373,556 ( 48,081) 374,196 Cash and due from banks, and restricted cash at end of period $ 48,120 $ 462 $ 412,225 $ ( 48,178) $ 412,629 |
New Accounting Pronouncement -
New Accounting Pronouncement - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Mar. 31, 2020 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Operating lease right of use asset | $ 149,849 | $ 0 | |||
Opearing lease liability | $ 165,139 | 0 | |||
Cumulative effect of accounting change | $ 4,905 | $ 1,935 | |||
ASU 2016-02 | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Operating lease right of use asset | $ 139,000 | ||||
Deferred rent liabilities | 15,000 | ||||
Opearing lease liability | 154,000 | ||||
Cumulative effect of accounting change | $ 4,800 | ||||
ASU 2016-13 | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Decrease to the Common Equity Tier One and Total Capital ratio | 0.23% | ||||
Forecast | ASU 2016-13 | Minimum | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Allowance for credit loss, increase (decrease) | $ 298,000 | ||||
Allowance for credit loss change of existing reserve | 62.00% | ||||
Forecast | ASU 2016-13 | Maximum | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Allowance for credit loss, increase (decrease) | $ 326,000 | ||||
Allowance for credit loss change of existing reserve | 68.00% | ||||
Forecast | ASU 2016-13 | Held To Maturity Debt Securities | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Allowance for credit loss, increase (decrease) | $ 12,000 | ||||
Forecast | ASC Subtopic 310-30 | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Allowance for credit loss, increase (decrease) | $ 10,000 | ||||
Subsequent event | ASU 2016-13 | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Accruing loans past-due 90 days or more | $ 156,000 | ||||
Non perfroming loans | 283,000 | ||||
Recorded investment current | $ 127,000 |
Business combination - Fair val
Business combination - Fair value of major classes of identifiable assets acquired and liabilities assumed (Details) - USD ($) $ in Thousands | 1 Months Ended | |||
Aug. 01, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Labilities: | ||||
Goodwill on acquisition | $ 671,122 | $ 671,122 | $ 627,294 | |
Reliable Financial Services | ||||
Business Acquisition | ||||
Cash consideration | $ 1,843,256 | |||
Assets: | ||||
Loans | 1,802,463 | |||
Premises and equipment | 1,246 | |||
Accrued income receivables | 1,466 | |||
Other assets | 4,929 | |||
Identifiable intangible assets | 488 | |||
Total assets | 1,810,592 | |||
Labilities: | ||||
Other liabilities | 11,164 | |||
Total liabilities | 11,164 | |||
Net assets acquired | 1,799,428 | |||
Goodwill on acquisition | 43,828 | |||
Reliable Financial Services | Book Value Before Acquisition Adjustment | ||||
Business Acquisition | ||||
Cash consideration | 1,843,256 | |||
Assets: | ||||
Loans | 1,912,866 | |||
Premises and equipment | 1,246 | |||
Accrued income receivables | 1,466 | |||
Other assets | 5,020 | |||
Identifiable intangible assets | 0 | |||
Total assets | 1,920,598 | |||
Labilities: | ||||
Other liabilities | 11,164 | |||
Total liabilities | 11,164 | |||
Net assets acquired | 1,909,434 | |||
Reliable Financial Services | Fair value adjustment | ||||
Business Acquisition | ||||
Cash consideration | 0 | |||
Assets: | ||||
Loans | (126,908) | |||
Premises and equipment | 0 | |||
Accrued income receivables | 0 | |||
Other assets | 0 | |||
Identifiable intangible assets | 488 | |||
Total assets | (126,420) | |||
Labilities: | ||||
Other liabilities | 0 | |||
Total liabilities | 0 | |||
Net assets acquired | (126,420) | |||
Reliable Financial Services | Period adjustment | ||||
Business Acquisition | ||||
Cash consideration | 0 | |||
Assets: | ||||
Loans | 16,505 | |||
Premises and equipment | 0 | |||
Accrued income receivables | 0 | |||
Other assets | (91) | |||
Identifiable intangible assets | 0 | |||
Total assets | 16,414 | |||
Labilities: | ||||
Other liabilities | 0 | |||
Total liabilities | 0 | |||
Net assets acquired | $ 16,414 |
Business combination - Fair v_2
Business combination - Fair value of major classes of identifiable assets acquired and liabilities assumed - Parenthetical (Details) - Reliable Financial Services $ in Thousands | Aug. 01, 2018USD ($) |
Business Acquisition | |
Loans | $ 1,802,463 |
Fair value adjustment | |
Business Acquisition | |
Loans | (126,908) |
Auto Loan | |
Business Acquisition | |
Loans | 1,600,000 |
Auto Loan | Fair value adjustment | |
Business Acquisition | |
Loans | 106,000 |
Commercial Loans | |
Business Acquisition | |
Loans | 341,000 |
Commercial Loans | Fair value adjustment | |
Business Acquisition | |
Loans | $ 4,000 |
Business Combination - Addition
Business Combination - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 5 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2018 | Aug. 01, 2018 | |
Business Acquisition | |||
Measurement period adjustments | $ 16,500 | ||
Auto Loan | |||
Business Acquisition | |||
Measurement period adjustments | 12,200 | ||
Commercial Loans | |||
Business Acquisition | |||
Measurement period adjustments | $ 4,300 | ||
Reliable Financial Services | |||
Business Acquisition | |||
Transaction-related expenses | $ 3,800 | ||
Gross revenue | 84,500 | ||
Operating expense | 20,300 | ||
Loans | $ 1,802,463 | ||
Accretion discount, fair value | $ 28,100 | ||
Reliable Financial Services | Auto Loan | |||
Business Acquisition | |||
Receivables estimated uncollectible | 105,000 | ||
Loans | 1,600,000 | ||
Loan receivables | 1,800,000 | ||
Reliable Financial Services | Auto Loan | Wells Fargo | |||
Business Acquisition | |||
Loans amount servicing agreement retained by counterparty | 398,000 | ||
Reliable Financial Services | Commercial Loans | |||
Business Acquisition | |||
Receivables estimated uncollectible | 3,000 | ||
Loans | 341,000 | ||
Loan receivables | $ 348,000 |
Restrictions on cash and due _2
Restrictions on cash and due from banks and certain securities - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure - Restrictions on Cash and Due from Banks and Certain Securities - Additional Information [Abstract] | ||
Average Reserve Required With Federal Reserve Bank | $ 1,600 | $ 1,600 |
Restricted Cash And Cash Equivalents | $ 52 | $ 62 |
Debt Securities Available for S
Debt Securities Available for Sale - Weighted average yield and contractual maturities of debt securities AFS (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Amortized cost | ||
Amortized cost - Within 1 year | $ 5,140,920 | |
Amortized cost - After 1 to 5 years | 5,235,233 | |
Amortized cost - After 5 to 10 years | 2,214,020 | |
Amortized cost - After 10 years | 4,951,952 | |
Amortized Cost | 17,542,125 | $ 13,478,562 |
Gross unrealized gains | ||
Gross unrealized gains | 146,165 | 30,929 |
Gross unrealized loss | ||
Gross unrealized losses | 39,817 | 209,307 |
Fair Value | ||
Fair value - Within 1 year | 5,143,596 | |
Fair value - After 1 to 5 years | 5,308,166 | |
Fair value - After 5 to 10 years | 2,207,351 | |
Fair value - After 10 years | 4,989,360 | |
Debt Securities Available for Sale, at Fair Value | $ 17,648,473 | $ 13,300,184 |
Weighted average yield | ||
Weighted Average Yield | 2.05% | 2.25% |
US Treasury Securities | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 5,071,201 | $ 3,565,571 |
Amortized cost - After 1 to 5 years | 5,137,804 | 4,483,741 |
Amortized cost - After 5 to 10 years | 1,778,568 | 245,891 |
Amortized Cost | 11,987,573 | 8,295,203 |
Gross unrealized gains | ||
Gross unrealized gain - Within 1 year | 3,262 | 108 |
Gross unrealized gain - After 1 to 5 years | 75,597 | 13,647 |
Gross unrealized gain - After 5 to 10 years | 429 | 3,770 |
Gross unrealized gains | 79,288 | 17,525 |
Gross unrealized loss | ||
Gross unrealized losses - Within 1 year | 567 | 5,319 |
Gross unrealized losses - After 1 to 5 years | 3,435 | 35,213 |
Gross unrealized losses - After 5 to 10 years | 6,604 | 0 |
Gross unrealized losses | 10,606 | 40,532 |
Fair Value | ||
Fair value - Within 1 year | 5,073,896 | 3,560,360 |
Fair value - After 1 to 5 years | 5,209,966 | 4,462,175 |
Fair value - After 5 to 10 years | 1,772,393 | 249,661 |
Debt Securities Available for Sale, at Fair Value | $ 12,056,255 | $ 8,272,196 |
Weighted average yield | ||
Weighted average yield - Within 1 year | 1.58% | 2.10% |
Weighted average yield - After 1 to 5 years | 2.19% | 2.25% |
Weighted average yield - After 5 to 10 years | 1.70% | 2.84% |
Weighted Average Yield | 1.86% | 2.21% |
Obligations of U.S. Government sponsored entities | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 62,492 | $ 212,951 |
Amortized cost - After 1 to 5 years | 60,021 | 123,857 |
Amortized Cost | 122,513 | 336,808 |
Gross unrealized gains | ||
Gross unrealized gain - Within 1 year | 2 | 0 |
Gross unrealized gain - After 1 to 5 years | 0 | 1 |
Gross unrealized gains | 2 | 1 |
Gross unrealized loss | ||
Gross unrealized losses - Within 1 year | 21 | 1,406 |
Gross unrealized losses - After 1 to 5 years | 90 | 2,094 |
Gross unrealized losses | 111 | 3,500 |
Fair Value | ||
Fair value - Within 1 year | 62,473 | 211,545 |
Fair value - After 1 to 5 years | 59,931 | 121,764 |
Debt Securities Available for Sale, at Fair Value | $ 122,404 | $ 333,309 |
Weighted average yield | ||
Weighted average yield - Within 1 year | 1.45% | 1.44% |
Weighted average yield - After 1 to 5 years | 1.48% | 1.51% |
Weighted Average Yield | 1.47% | 1.47% |
Obligations of Puerto Rico, States and political subdivisions | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 6,975 | |
Amortized cost - After 1 to 5 years | $ 6,926 | |
Amortized Cost | 6,975 | 6,926 |
Gross unrealized gains | ||
Gross unrealized gain - Within 1 year | 0 | |
Gross unrealized gain - After 1 to 5 years | 0 | |
Gross unrealized gains | 0 | 0 |
Gross unrealized loss | ||
Gross unrealized losses - Within 1 year | 0 | |
Gross unrealized losses - After 1 to 5 years | 184 | |
Gross unrealized losses | 0 | 184 |
Fair Value | ||
Fair value - Within 1 year | 6,975 | |
Fair value - After 1 to 5 years | 6,742 | |
Debt Securities Available for Sale, at Fair Value | $ 6,975 | $ 6,742 |
Weighted average yield | ||
Weighted average yield - Within 1 year | 0.00% | |
Weighted average yield - After 1 to 5 years | 0.70% | |
Weighted Average Yield | 0.00% | 0.70% |
Collateralized Mortgage Obligations - Federal agencies | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 236 | |
Amortized cost - After 1 to 5 years | 350 | $ 749 |
Amortized cost - After 5 to 10 years | 85,079 | 115,744 |
Amortized cost - After 10 years | 504,391 | 638,995 |
Amortized Cost | 590,056 | 755,488 |
Gross unrealized gains | ||
Gross unrealized gain - Within 1 year | 0 | |
Gross unrealized gain - After 1 to 5 years | 1 | 0 |
Gross unrealized gain - After 5 to 10 years | 31 | 1 |
Gross unrealized gain - After 10 years | 3,640 | 1,584 |
Gross unrealized gains | 3,672 | 1,585 |
Gross unrealized loss | ||
Gross unrealized losses - Within 1 year | 0 | |
Gross unrealized losses - After 1 to 5 years | 0 | 7 |
Gross unrealized losses - After 5 to 10 years | 1,180 | 4,715 |
Gross unrealized losses - After 10 years | 6,373 | 23,680 |
Gross unrealized losses | 7,553 | 28,402 |
Fair Value | ||
Fair value - Within 1 year | 236 | |
Fair value - After 1 to 5 years | 351 | 742 |
Fair value - After 5 to 10 years | 83,930 | 111,030 |
Fair value - After 10 years | 501,658 | 616,899 |
Debt Securities Available for Sale, at Fair Value | $ 586,175 | $ 728,671 |
Weighted average yield | ||
Weighted average yield - Within 1 year | 1.83% | |
Weighted average yield - After 1 to 5 years | 2.16% | 1.92% |
Weighted average yield - After 5 to 10 years | 1.63% | 1.71% |
Weighted average yield - After 10 years | 2.08% | 2.10% |
Weighted Average Yield | 2.02% | 2.04% |
Mortgage Backed Securities | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 16 | $ 431 |
Amortized cost - After 1 to 5 years | 36,717 | 6,762 |
Amortized cost - After 5 to 10 years | 350,373 | 365,727 |
Amortized cost - After 10 years | 4,447,561 | 3,710,731 |
Amortized Cost | 4,834,667 | 4,083,651 |
Gross unrealized gains | ||
Gross unrealized gain - Within 1 year | 0 | 4 |
Gross unrealized gain - After 1 to 5 years | 852 | 43 |
Gross unrealized gain - After 5 to 10 years | 1,958 | 1,090 |
Gross unrealized gain - After 10 years | 60,384 | 10,679 |
Gross unrealized gains | 63,194 | 11,816 |
Gross unrealized loss | ||
Gross unrealized losses - Within 1 year | 0 | 0 |
Gross unrealized losses - After 1 to 5 years | 1 | 1 |
Gross unrealized losses - After 5 to 10 years | 1,303 | 8,499 |
Gross unrealized losses - After 10 years | 20,243 | 128,189 |
Gross unrealized losses | 21,547 | 136,689 |
Fair Value | ||
Fair value - Within 1 year | 16 | 435 |
Fair value - After 1 to 5 years | 37,568 | 6,804 |
Fair value - After 5 to 10 years | 351,028 | 358,318 |
Fair value - After 10 years | 4,487,702 | 3,593,221 |
Debt Securities Available for Sale, at Fair Value | $ 4,876,314 | $ 3,958,778 |
Weighted average yield | ||
Weighted average yield - Within 1 year | 2.13% | 4.30% |
Weighted average yield - After 1 to 5 years | 3.38% | 2.74% |
Weighted average yield - After 5 to 10 years | 2.02% | 2.19% |
Weighted average yield - After 10 years | 2.60% | 2.45% |
Weighted Average Yield | 2.57% | 2.43% |
Other | ||
Amortized cost | ||
Amortized cost - After 1 to 5 years | $ 341 | |
Amortized cost - After 5 to 10 years | $ 486 | |
Amortized Cost | 341 | 486 |
Gross unrealized gains | ||
Gross unrealized gain - After 1 to 5 years | 9 | |
Gross unrealized gain - After 5 to 10 years | 2 | |
Gross unrealized gains | 9 | 2 |
Gross unrealized loss | ||
Gross unrealized losses - After 1 to 5 years | 0 | |
Gross unrealized losses - After 5 to 10 years | 0 | |
Gross unrealized losses | 0 | 0 |
Fair Value | ||
Fair value - After 1 to 5 years | 350 | |
Fair value - After 5 to 10 years | 488 | |
Debt Securities Available for Sale, at Fair Value | $ 350 | $ 488 |
Weighted average yield | ||
Weighted average yield - After 1 to 5 years | 3.62% | |
Weighted average yield - After 5 to 10 years | 3.62% | |
Weighted Average Yield | 3.62% | 3.62% |
Debt Securities Available for_2
Debt Securities Available for Sale - Weighted average yield and contractual maturities of debt securities AFS - Parenthetical (Details) - Debt securities available-for-sale - USD ($) $ in Billions | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale Securities [Line Items] | ||
Pledged Financial Instruments, Not Separately Reported, Securities | $ 12.2 | $ 8.9 |
Pledged Financial Instruments, Not Separately Reported, Securities for Other Debt Facilities | $ 10.9 | $ 7.9 |
Debt Securities Available for_3
Debt Securities Available for Sale - Aggregate Amortized Cost and Fair Value of AFS by Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Amortized cost | ||
Amortized cost - Within 1 year | $ 5,140,920 | |
Amortized cost - After 1 to 5 years | 5,235,233 | |
Amortized cost - After 5 to 10 years | 2,214,020 | |
Amortized cost - After 10 years | 4,951,952 | |
Amortized Cost | 17,542,125 | $ 13,478,562 |
Fair Value | ||
Fair value - Within 1 year | 5,143,596 | |
Fair value - After 1 to 5 years | 5,308,166 | |
Fair value - After 5 to 10 years | 2,207,351 | |
Fair value - After 10 years | 4,989,360 | |
Fair Value | $ 17,648,473 | $ 13,300,184 |
Debt Securities Available for_4
Debt Securities Available for Sale - Realized gains and losses on debt securities available-for-sale (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Available-for-sale Securities, Gross Realized Gain (Loss), Disclosures | |||
Gross Realized Gains | $ 0 | $ 0 | $ 95,000 |
Gross Realized Losses | (20,000) | 0 | (12,000) |
Debt Securities, Available-for-sale, Realized Gain (Loss), Total | $ (20,000) | $ 0 | $ 83,000 |
Debt Securities Available for_5
Debt Securities Available for Sale - AFS debt securities in a continuous unrealized loss position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Available-for-sale | ||
Less than 12 months Fair Value | $ 2,743,002 | $ 3,396,378 |
Less than 12 months Gross Unrealized Losses | 11,032 | 7,003 |
12 months or more Fair Value | 2,647,359 | 6,998,793 |
12 months or more Gross Unrealized Losses | 28,785 | 202,304 |
Total Fair Value | 5,390,361 | 10,395,171 |
Total Gross Unrealized Losses | 39,817 | 209,307 |
US Treasury Securities | ||
Debt Securities, Available-for-sale | ||
Less than 12 months Fair Value | 2,439,114 | 3,189,007 |
Less than 12 months Gross Unrealized Losses | 9,798 | 4,188 |
12 months or more Fair Value | 452,784 | 2,607,276 |
12 months or more Gross Unrealized Losses | 808 | 36,343 |
Total Fair Value | 2,891,898 | 5,796,283 |
Total Gross Unrealized Losses | 10,606 | 40,531 |
Obligations of U.S. Government sponsored entities | ||
Debt Securities, Available-for-sale | ||
Less than 12 months Fair Value | 9,973 | 14,847 |
Less than 12 months Gross Unrealized Losses | 4 | 46 |
12 months or more Fair Value | 99,846 | 318,271 |
12 months or more Gross Unrealized Losses | 107 | 3,454 |
Total Fair Value | 109,819 | 333,118 |
Total Gross Unrealized Losses | 111 | 3,500 |
Obligations of Puerto Rico, States and political subdivisions | ||
Debt Securities, Available-for-sale | ||
Less than 12 months Fair Value | 0 | |
Less than 12 months Gross Unrealized Losses | 0 | |
12 months or more Fair Value | 6,742 | |
12 months or more Gross Unrealized Losses | 184 | |
Total Fair Value | 6,742 | |
Total Gross Unrealized Losses | 184 | |
Collateralized Mortgage Obligations - Federal agencies | ||
Debt Securities, Available-for-sale | ||
Less than 12 months Fair Value | 114,603 | 66,652 |
Less than 12 months Gross Unrealized Losses | 537 | 489 |
12 months or more Fair Value | 310,315 | 587,869 |
12 months or more Gross Unrealized Losses | 7,016 | 27,913 |
Total Fair Value | 424,918 | 654,521 |
Total Gross Unrealized Losses | 7,553 | 28,402 |
Mortgage Backed Securities | ||
Debt Securities, Available-for-sale | ||
Less than 12 months Fair Value | 179,312 | 125,872 |
Less than 12 months Gross Unrealized Losses | 693 | 2,280 |
12 months or more Fair Value | 1,784,414 | 3,478,635 |
12 months or more Gross Unrealized Losses | 20,854 | 134,410 |
Total Fair Value | 1,963,726 | 3,604,507 |
Total Gross Unrealized Losses | $ 21,547 | $ 136,690 |
Debt Securities Available for_6
Debt Securities Available for Sale - Fair value of the debt securities of issuers (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Investment | ||
Amortized Cost | $ 17,542,125 | $ 13,478,562 |
Debt Securities Available for Sale, at Fair Value | 17,648,473 | 13,300,184 |
FNMA | ||
Investment | ||
Amortized Cost | 3,113,373 | 2,999,110 |
Debt Securities Available for Sale, at Fair Value | 3,129,538 | 2,901,904 |
Freddie Mac | ||
Investment | ||
Amortized Cost | 1,623,116 | 1,095,855 |
Debt Securities Available for Sale, at Fair Value | $ 1,638,796 | $ 1,058,013 |
Debt Securities Available for_7
Debt Securities Available for Sale - Debt securities available- for-sale - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Securities, Available-for-sale | |||
Proceeds from sale of debt securities available-for-sale | $ 99,445,000 | $ 0 | $ 14,423,000 |
Debt Securities, Available-for-sale, Realized Gain (Loss) | (20,000) | 0 | $ 83,000 |
Gross Unrealized Losses | $ 39,817,000 | $ 209,307,000 |
Debt Securities Held-to-matur_3
Debt Securities Held-to-maturity - Weighted average yield and contractual maturities of debt securities HTM (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Amortized cost | ||
Amortized cost - Within 1 year | $ 4,245 | |
Amortized cost - After 1 to 5 years | 17,625 | |
Amortized cost - After 5 to 10 years | 18,195 | |
Amortized cost - After 10 years | 57,597 | |
Amortized Cost | 97,662 | $ 101,575 |
Gross unrecognized gains | ||
Gross Unrealized Gains | 9,386 | 3,946 |
Gross unrealized losses | ||
Gross Unrealized Losses | 1,938 | 2,868 |
Fair Value | ||
Fair Value - within 1 year | 4,234 | |
Fair Value - After 1 to 5 years | 17,307 | |
Fair Value - After 5 to 10 years | 16,588 | |
Fair Value - After 10 years | 66,981 | |
Fair value | $ 105,110 | $ 102,653 |
Weighted Average Yield | ||
Weighted Average Yield | 3.49% | 3.60% |
Obligations of Puerto Rico, States and political subdivisions | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 3,745 | $ 3,510 |
Amortized cost - After 1 to 5 years | 17,580 | 16,505 |
Amortized cost - After 5 to 10 years | 18,195 | 23,885 |
Amortized cost - After 10 years | 46,036 | 45,559 |
Amortized Cost | 85,556 | 89,459 |
Gross unrecognized gains | ||
Gross unrealized gains - Within 1 year | 0 | 0 |
Gross unrealized gains - After 1 to 5 years | 0 | 0 |
Gross unrealized gains - After 5 to 10 years | 0 | 0 |
Gross unrealized gains - After 10 years | 9,384 | 3,943 |
Gross Unrealized Gains | 9,384 | 3,943 |
Gross unrealized losses | ||
Gross unrealized losses - Within 1 year | 11 | 36 |
Gross unrealized losses - After 1 to 5 years | 320 | 1,081 |
Gross unrealized losses - After 5 to 10 years | 1,607 | 1,704 |
Gross unrealized losses - After 10 years | 0 | 47 |
Gross Unrealized Losses | 1,938 | 2,868 |
Fair Value | ||
Fair Value - within 1 year | 3,734 | 3,474 |
Fair Value - After 1 to 5 years | 17,260 | 15,424 |
Fair Value - After 5 to 10 years | 16,588 | 22,181 |
Fair Value - After 10 years | 55,420 | 49,455 |
Fair value | $ 93,002 | $ 90,534 |
Weighted Average Yield | ||
Weighted average yield - Within 1 Year | 6.01% | 5.99% |
Weighted average yield - After 1 to 5 years | 6.11% | 6.07% |
Weighted average yield - After 5 to 10 years | 3.11% | 3.61% |
Weighted average yield - After 10 years | 1.67% | 1.79% |
Weighted Average Yield | 3.08% | 3.23% |
Collateralized Mortgage Obligations - Federal agencies | ||
Amortized cost | ||
Amortized cost - After 1 to 5 years | $ 45 | |
Amortized cost - After 5 to 10 years | $ 55 | |
Amortized Cost | 45 | 55 |
Gross unrecognized gains | ||
Gross unrealized gains - After 1 to 5 years | 2 | |
Gross unrealized gains - After 5 to 10 years | 3 | |
Gross Unrealized Gains | 2 | 3 |
Gross unrealized losses | ||
Gross unrealized losses - After 1 to 5 years | 0 | |
Gross unrealized losses - After 5 to 10 years | 0 | |
Gross Unrealized Losses | 0 | 0 |
Fair Value | ||
Fair Value - After 1 to 5 years | 47 | |
Fair Value - After 5 to 10 years | 58 | |
Fair value | $ 47 | $ 58 |
Weighted Average Yield | ||
Weighted average yield - After 1 to 5 years | 6.44% | |
Weighted average yield - After 5 to 10 years | 5.45% | |
Weighted Average Yield | 6.44% | 5.45% |
Securities in wholly owned statutory business trusts | ||
Amortized cost | ||
Amortized cost - After 10 years | $ 11,561 | $ 11,561 |
Amortized Cost | 11,561 | 11,561 |
Gross unrecognized gains | ||
Gross unrealized gains - After 10 years | 0 | 0 |
Gross Unrealized Gains | 0 | 0 |
Gross unrealized losses | ||
Gross unrealized losses - After 10 years | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | ||
Fair Value - After 10 years | 11,561 | 11,561 |
Fair value | $ 11,561 | $ 11,561 |
Weighted Average Yield | ||
Weighted average yield - After 10 years | 6.51% | 6.51% |
Weighted Average Yield | 6.51% | 6.51% |
Other | ||
Amortized cost | ||
Amortized cost - Within 1 year | $ 500 | |
Amortized cost - After 1 to 5 years | $ 500 | |
Amortized Cost | 500 | 500 |
Gross unrecognized gains | ||
Gross unrealized gains - Within 1 year | 0 | |
Gross unrealized gains - After 1 to 5 years | 0 | |
Gross Unrealized Gains | 0 | 0 |
Gross unrealized losses | ||
Gross unrealized losses - Within 1 year | 0 | |
Gross unrealized losses - After 1 to 5 years | 0 | |
Gross Unrealized Losses | 0 | 0 |
Fair Value | ||
Fair Value - within 1 year | 500 | |
Fair Value - After 1 to 5 years | 500 | |
Fair value | $ 500 | $ 500 |
Weighted Average Yield | ||
Weighted average yield - Within 1 Year | 2.97% | |
Weighted average yield - After 1 to 5 years | 2.97% | |
Weighted Average Yield | 2.97% | 2.97% |
Debt Securities Held-to-matur_4
Debt Securities Held-to-maturity - Aggregate Amortized Cost and Fair Value of HTMS by Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Held-to-maturity Securities, Classified [Abstract] | ||
Amortized cost - Within 1 year | $ 4,245 | |
Amortized cost - After 1 to 5 years | 17,625 | |
Amortized cost - After 5 to 10 years | 18,195 | |
Amortized cost - After 10 years | 57,597 | |
Amortized Cost | 97,662 | $ 101,575 |
Fair Value - within 1 year | 4,234 | |
Fair Value - After 1 to 5 years | 17,307 | |
Fair Value - After 5 to 10 years | 16,588 | |
Fair Value - After 10 years | 66,981 | |
Fair Value | $ 105,110 | $ 102,653 |
Debt Securities Held-to-matur_5
Debt Securities Held-to-maturity - HTM debt securities in a continuous unrealized loss position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Held-to-maturity | ||
Less than 12 months Fair Value | $ 17,544 | $ 27,471 |
Less than 12 months Gross Unrealized Losses | 291 | 1,165 |
12 months or more Fair Value | 12,673 | 13,307 |
12 months or more Gross Unrealized Losses | 1,647 | 1,703 |
Total Fair Value | 30,217 | 40,778 |
Total Gross Unrealized Losses | 1,938 | 2,868 |
Obligations of Puerto Rico, States and political subdivisions | ||
Debt Securities, Held-to-maturity | ||
Less than 12 months Fair Value | 17,544 | 27,471 |
Less than 12 months Gross Unrealized Losses | 291 | 1,165 |
12 months or more Fair Value | 12,673 | 13,307 |
12 months or more Gross Unrealized Losses | 1,647 | 1,703 |
Total Fair Value | 30,217 | 40,778 |
Total Gross Unrealized Losses | $ 1,938 | $ 2,868 |
Debt Securities Held-to-matur_6
Debt Securities Held-to-maturity - Debt securities held-to-maturity-Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Held-to-maturity | ||
Amortized Cost | $ 97,662 | $ 101,575 |
Obligations of Puerto Rico, States and political subdivisions | ||
Debt Securities, Held-to-maturity | ||
Amortized Cost | 85,556 | $ 89,459 |
Obligations of Puerto Rico, States and political subdivisions | Munis Payable From Real and Personal Property Taxes | ||
Debt Securities, Held-to-maturity | ||
Amortized Cost | 40,000 | |
Obligations of Puerto Rico, States and political subdivisions | Munis Not Guaranteed By Puerto Rico Central Government | ||
Debt Securities, Held-to-maturity | ||
Amortized Cost | $ 46,000 |
Loans - Loans held-in-portfolio
Loans - Loans held-in-portfolio in past due status, non-performing status and accruing loans past-due 90 days or more by loan class (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | $ 27,406,873 | $ 26,507,889 |
Commercial multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,795,159 | 1,547,168 |
CRE non-owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 3,978,514 | 4,204,345 |
CRE owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,925,464 | 2,021,192 |
Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 4,613,614 | 4,270,314 |
Construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 831,092 | 779,449 |
Mortgages | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 7,183,532 | 7,235,258 |
Leasing | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,059,507 | 934,773 |
Legacy | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 22,105 | 25,949 |
Consumer | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 5,997,886 | 5,489,441 |
Non Covered Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,803,602 | 2,107,608 |
Current | 25,603,271 | 24,400,281 |
Loans held-in-portfolio | 27,406,873 | 26,507,889 |
Non perfroming loans | 527,841 | 611,087 |
Accruing loans past-due 90 days or more | 460,133 | 612,543 |
Non Covered Loans | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 454,281 | 491,073 |
Non Covered Loans | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 208,221 | 176,747 |
Non Covered Loans | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,141,100 | 1,439,788 |
Non Covered Loans | Commercial multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 6,688 | 5,314 |
Current | 1,788,471 | 1,541,854 |
Loans held-in-portfolio | 1,795,159 | 1,547,168 |
Non perfroming loans | 3,570 | 546 |
Accruing loans past-due 90 days or more | 0 | 0 |
Non Covered Loans | Commercial multi-family | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,950 | 4,604 |
Non Covered Loans | Commercial multi-family | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 129 | 112 |
Non Covered Loans | Commercial multi-family | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,609 | 598 |
Non Covered Loans | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 60,675 | 139,965 |
Current | 3,917,839 | 4,064,380 |
Loans held-in-portfolio | 3,978,514 | 4,204,345 |
Non perfroming loans | 40,249 | 39,622 |
Accruing loans past-due 90 days or more | 0 | 0 |
Non Covered Loans | CRE non-owner occupied | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 11,486 | 92,782 |
Non Covered Loans | CRE non-owner occupied | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 5,244 | 1,127 |
Non Covered Loans | CRE non-owner occupied | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 43,945 | 46,056 |
Non Covered Loans | CRE owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 96,220 | 123,989 |
Current | 1,829,244 | 1,897,203 |
Loans held-in-portfolio | 1,925,464 | 2,021,192 |
Non perfroming loans | 69,527 | 88,450 |
Accruing loans past-due 90 days or more | 0 | 0 |
Non Covered Loans | CRE owner occupied | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 7,454 | 11,806 |
Non Covered Loans | CRE owner occupied | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,978 | 12,567 |
Non Covered Loans | CRE owner occupied | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 84,788 | 99,616 |
Non Covered Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 68,109 | 137,174 |
Current | 4,545,505 | 4,133,140 |
Loans held-in-portfolio | 4,613,614 | 4,270,314 |
Non perfroming loans | 37,414 | 55,408 |
Accruing loans past-due 90 days or more | 544 | 243 |
Non Covered Loans | Commercial and industrial | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 9,234 | 6,491 |
Non Covered Loans | Commercial and industrial | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,774 | 1,636 |
Non Covered Loans | Commercial and industrial | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 57,101 | 129,047 |
Non Covered Loans | Construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,700 | 13,848 |
Current | 829,392 | 765,601 |
Loans held-in-portfolio | 831,092 | 779,449 |
Non perfroming loans | 145 | 13,848 |
Accruing loans past-due 90 days or more | 0 | 0 |
Non Covered Loans | Construction | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,555 | 0 |
Non Covered Loans | Construction | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Non Covered Loans | Construction | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 145 | 13,848 |
Non Covered Loans | Mortgages | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,299,443 | 1,474,923 |
Current | 5,884,089 | 5,760,335 |
Loans held-in-portfolio | 7,183,532 | 7,235,258 |
Non perfroming loans | 294,799 | 334,598 |
Accruing loans past-due 90 days or more | 439,662 | 595,525 |
Non Covered Loans | Mortgages | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 300,480 | 288,982 |
Non Covered Loans | Mortgages | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 150,221 | 131,301 |
Non Covered Loans | Mortgages | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 848,742 | 1,054,640 |
Non Covered Loans | Leasing | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 18,724 | 12,803 |
Current | 1,040,783 | 921,970 |
Loans held-in-portfolio | 1,059,507 | 934,773 |
Non perfroming loans | 3,657 | 3,313 |
Accruing loans past-due 90 days or more | 0 | 0 |
Non Covered Loans | Leasing | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 12,014 | 7,663 |
Non Covered Loans | Leasing | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,053 | 1,827 |
Non Covered Loans | Leasing | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,657 | 3,313 |
Non Covered Loans | Legacy | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,056 | 3,267 |
Current | 20,049 | 22,682 |
Loans held-in-portfolio | 22,105 | 25,949 |
Non perfroming loans | 1,999 | 2,627 |
Accruing loans past-due 90 days or more | 0 | 0 |
Non Covered Loans | Legacy | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 49 | 195 |
Non Covered Loans | Legacy | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 8 | 445 |
Non Covered Loans | Legacy | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,999 | 2,627 |
Non Covered Loans | Consumer | Credit cards | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 38,747 | 32,932 |
Current | 1,085,089 | 1,014,379 |
Loans held-in-portfolio | 1,123,836 | 1,047,311 |
Non perfroming loans | 0 | 0 |
Accruing loans past-due 90 days or more | 19,461 | 16,035 |
Non Covered Loans | Consumer | Credit cards | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 11,358 | 9,506 |
Non Covered Loans | Consumer | Credit cards | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 7,928 | 7,391 |
Non Covered Loans | Consumer | Credit cards | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 19,461 | 16,035 |
Non Covered Loans | Consumer | Home equity lines of credit | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 10,710 | 15,191 |
Current | 111,671 | 133,212 |
Loans held-in-portfolio | 122,381 | 148,403 |
Non perfroming loans | 9,954 | 13,590 |
Accruing loans past-due 90 days or more | 0 | 154 |
Non Covered Loans | Consumer | Home equity lines of credit | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 404 | 886 |
Non Covered Loans | Consumer | Home equity lines of credit | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 352 | 561 |
Non Covered Loans | Consumer | Home equity lines of credit | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 9,954 | 13,744 |
Non Covered Loans | Consumer | Personal Loan | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 49,063 | 46,143 |
Current | 1,643,527 | 1,493,831 |
Loans held-in-portfolio | 1,692,590 | 1,539,974 |
Non perfroming loans | 21,595 | 20,497 |
Accruing loans past-due 90 days or more | 61 | 35 |
Non Covered Loans | Consumer | Personal Loan | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 15,767 | 15,388 |
Non Covered Loans | Consumer | Personal Loan | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 10,934 | 9,630 |
Non Covered Loans | Consumer | Personal Loan | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 22,362 | 21,125 |
Non Covered Loans | Consumer | Auto Loan | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 135,499 | 86,243 |
Current | 2,782,023 | 2,522,542 |
Loans held-in-portfolio | 2,917,522 | 2,608,785 |
Non perfroming loans | 31,148 | 24,050 |
Accruing loans past-due 90 days or more | 0 | 127 |
Non Covered Loans | Consumer | Auto Loan | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 81,169 | 52,204 |
Non Covered Loans | Consumer | Auto Loan | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 23,182 | 9,862 |
Non Covered Loans | Consumer | Auto Loan | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 31,148 | 24,177 |
Non Covered Loans | Consumer | Other | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 15,968 | 15,816 |
Current | 125,589 | 129,152 |
Loans held-in-portfolio | 141,557 | 144,968 |
Non perfroming loans | 13,784 | 14,538 |
Accruing loans past-due 90 days or more | 405 | 424 |
Non Covered Loans | Consumer | Other | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 361 | 566 |
Non Covered Loans | Consumer | Other | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,418 | 288 |
Non Covered Loans | Consumer | Other | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 14,189 | 14,962 |
PUERTO RICO | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 20,180,232 | 19,883,472 |
PUERTO RICO | Commercial multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 147,849 | 145,628 |
PUERTO RICO | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 2,108,218 | 2,322,601 |
PUERTO RICO | CRE owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,586,329 | 1,722,253 |
PUERTO RICO | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 3,418,734 | 3,182,161 |
PUERTO RICO | Construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 137,470 | 85,955 |
PUERTO RICO | Mortgages | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 6,166,748 | 6,433,323 |
PUERTO RICO | Leasing | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,059,507 | 934,773 |
PUERTO RICO | Consumer | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 5,555,377 | 5,056,778 |
PUERTO RICO | Non Covered Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,728,407 | 1,954,017 |
Current | 18,451,825 | 17,929,455 |
Loans held-in-portfolio | 20,180,232 | 19,883,472 |
Non perfroming loans | 499,200 | 568,098 |
Accruing loans past-due 90 days or more | 460,133 | 612,543 |
PUERTO RICO | Non Covered Loans | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 432,805 | 462,707 |
PUERTO RICO | Non Covered Loans | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 202,212 | 167,907 |
PUERTO RICO | Non Covered Loans | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,093,390 | 1,323,403 |
PUERTO RICO | Non Covered Loans | Commercial multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 4,582 | 2,151 |
Current | 143,267 | 143,477 |
Loans held-in-portfolio | 147,849 | 145,628 |
Non perfroming loans | 1,473 | 546 |
Accruing loans past-due 90 days or more | 0 | 0 |
PUERTO RICO | Non Covered Loans | Commercial multi-family | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,941 | 1,441 |
PUERTO RICO | Non Covered Loans | Commercial multi-family | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 129 | 112 |
PUERTO RICO | Non Covered Loans | Commercial multi-family | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,512 | 598 |
PUERTO RICO | Non Covered Loans | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 59,347 | 138,605 |
Current | 2,048,871 | 2,183,996 |
Loans held-in-portfolio | 2,108,218 | 2,322,601 |
Non perfroming loans | 39,968 | 39,257 |
Accruing loans past-due 90 days or more | 0 | 0 |
PUERTO RICO | Non Covered Loans | CRE non-owner occupied | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 10,439 | 92,075 |
PUERTO RICO | Non Covered Loans | CRE non-owner occupied | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 5,244 | 839 |
PUERTO RICO | Non Covered Loans | CRE non-owner occupied | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 43,664 | 45,691 |
PUERTO RICO | Non Covered Loans | CRE owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 94,219 | 116,755 |
Current | 1,492,110 | 1,605,498 |
Loans held-in-portfolio | 1,586,329 | 1,722,253 |
Non perfroming loans | 69,276 | 88,069 |
Accruing loans past-due 90 days or more | 0 | 0 |
PUERTO RICO | Non Covered Loans | CRE owner occupied | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 5,704 | 6,681 |
PUERTO RICO | Non Covered Loans | CRE owner occupied | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,978 | 10,839 |
PUERTO RICO | Non Covered Loans | CRE owner occupied | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 84,537 | 99,235 |
PUERTO RICO | Non Covered Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 47,582 | 60,099 |
Current | 3,371,152 | 3,122,062 |
Loans held-in-portfolio | 3,418,734 | 3,182,161 |
Non perfroming loans | 36,538 | 55,078 |
Accruing loans past-due 90 days or more | 544 | 243 |
PUERTO RICO | Non Covered Loans | Commercial and industrial | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 8,780 | 4,137 |
PUERTO RICO | Non Covered Loans | Commercial and industrial | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,646 | 641 |
PUERTO RICO | Non Covered Loans | Commercial and industrial | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 37,156 | 55,321 |
PUERTO RICO | Non Covered Loans | Construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,674 | 1,788 |
Current | 135,796 | 84,167 |
Loans held-in-portfolio | 137,470 | 85,955 |
Non perfroming loans | 119 | 1,788 |
Accruing loans past-due 90 days or more | 0 | 0 |
PUERTO RICO | Non Covered Loans | Construction | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,555 | 0 |
PUERTO RICO | Non Covered Loans | Construction | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
PUERTO RICO | Non Covered Loans | Construction | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 119 | 1,788 |
PUERTO RICO | Non Covered Loans | Mortgages | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,268,854 | 1,447,078 |
Current | 4,897,894 | 4,986,245 |
Loans held-in-portfolio | 6,166,748 | 6,433,323 |
Non perfroming loans | 283,708 | 323,565 |
Accruing loans past-due 90 days or more | 439,662 | 595,525 |
PUERTO RICO | Non Covered Loans | Mortgages | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 285,006 | 275,367 |
PUERTO RICO | Non Covered Loans | Mortgages | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 146,197 | 128,104 |
PUERTO RICO | Non Covered Loans | Mortgages | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 837,651 | 1,043,607 |
PUERTO RICO | Non Covered Loans | Leasing | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 18,724 | 12,803 |
Current | 1,040,783 | 921,970 |
Loans held-in-portfolio | 1,059,507 | 934,773 |
Non perfroming loans | 3,657 | 3,313 |
Accruing loans past-due 90 days or more | 0 | 0 |
PUERTO RICO | Non Covered Loans | Leasing | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 12,014 | 7,663 |
PUERTO RICO | Non Covered Loans | Leasing | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,053 | 1,827 |
PUERTO RICO | Non Covered Loans | Leasing | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3,657 | 3,313 |
PUERTO RICO | Non Covered Loans | Consumer | Credit cards | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 38,747 | 32,930 |
Current | 1,085,053 | 1,014,343 |
Loans held-in-portfolio | 1,123,800 | 1,047,273 |
Non perfroming loans | 0 | 0 |
Accruing loans past-due 90 days or more | 19,461 | 16,035 |
PUERTO RICO | Non Covered Loans | Consumer | Credit cards | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 11,358 | 9,504 |
PUERTO RICO | Non Covered Loans | Consumer | Credit cards | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 7,928 | 7,391 |
PUERTO RICO | Non Covered Loans | Consumer | Credit cards | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 19,461 | 16,035 |
PUERTO RICO | Non Covered Loans | Consumer | Home equity lines of credit | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 85 | 262 |
Current | 4,953 | 5,089 |
Loans held-in-portfolio | 5,038 | 5,351 |
Non perfroming loans | 0 | 11 |
Accruing loans past-due 90 days or more | 0 | 154 |
PUERTO RICO | Non Covered Loans | Consumer | Home equity lines of credit | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
PUERTO RICO | Non Covered Loans | Consumer | Home equity lines of credit | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 85 | 97 |
PUERTO RICO | Non Covered Loans | Consumer | Home equity lines of credit | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 165 |
PUERTO RICO | Non Covered Loans | Consumer | Personal Loan | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 43,129 | 39,491 |
Current | 1,325,021 | 1,211,134 |
Loans held-in-portfolio | 1,368,150 | 1,250,625 |
Non perfroming loans | 19,529 | 17,887 |
Accruing loans past-due 90 days or more | 61 | 35 |
PUERTO RICO | Non Covered Loans | Consumer | Personal Loan | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 13,481 | 13,069 |
PUERTO RICO | Non Covered Loans | Consumer | Personal Loan | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 9,352 | 7,907 |
PUERTO RICO | Non Covered Loans | Consumer | Personal Loan | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 20,296 | 18,515 |
PUERTO RICO | Non Covered Loans | Consumer | Auto Loan | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 135,499 | 86,243 |
Current | 2,782,023 | 2,522,542 |
Loans held-in-portfolio | 2,917,522 | 2,608,785 |
Non perfroming loans | 31,148 | 24,050 |
Accruing loans past-due 90 days or more | 0 | 127 |
PUERTO RICO | Non Covered Loans | Consumer | Auto Loan | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 81,169 | 52,204 |
PUERTO RICO | Non Covered Loans | Consumer | Auto Loan | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 23,182 | 9,862 |
PUERTO RICO | Non Covered Loans | Consumer | Auto Loan | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 31,148 | 24,177 |
PUERTO RICO | Non Covered Loans | Consumer | Other | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 15,965 | 15,812 |
Current | 124,902 | 128,932 |
Loans held-in-portfolio | 140,867 | 144,744 |
Non perfroming loans | 13,784 | 14,534 |
Accruing loans past-due 90 days or more | 405 | 424 |
PUERTO RICO | Non Covered Loans | Consumer | Other | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 358 | 566 |
PUERTO RICO | Non Covered Loans | Consumer | Other | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,418 | 288 |
PUERTO RICO | Non Covered Loans | Consumer | Other | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 14,189 | 14,958 |
Popular U.S. | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 7,226,641 | 6,624,417 |
Popular U.S. | Commercial multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,647,310 | 1,401,540 |
Popular U.S. | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,870,296 | 1,881,744 |
Popular U.S. | CRE owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 339,135 | 298,939 |
Popular U.S. | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,194,880 | 1,088,153 |
Popular U.S. | Construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 693,622 | 693,494 |
Popular U.S. | Mortgages | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 1,016,784 | 801,935 |
Popular U.S. | Legacy | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 22,105 | 25,949 |
Popular U.S. | Consumer | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held-in-portfolio | 442,509 | 432,663 |
Popular U.S. | Non Covered Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 75,195 | 153,591 |
Current | 7,151,446 | 6,470,826 |
Loans held-in-portfolio | 7,226,641 | 6,624,417 |
Non perfroming loans | 28,641 | 42,989 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 21,476 | 28,366 |
Popular U.S. | Non Covered Loans | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 6,009 | 8,840 |
Popular U.S. | Non Covered Loans | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 47,710 | 116,385 |
Popular U.S. | Non Covered Loans | Commercial multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,106 | 3,163 |
Current | 1,645,204 | 1,398,377 |
Loans held-in-portfolio | 1,647,310 | 1,401,540 |
Non perfroming loans | 2,097 | 0 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Commercial multi-family | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 9 | 3,163 |
Popular U.S. | Non Covered Loans | Commercial multi-family | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Popular U.S. | Non Covered Loans | Commercial multi-family | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,097 | 0 |
Popular U.S. | Non Covered Loans | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,328 | 1,360 |
Current | 1,868,968 | 1,880,384 |
Loans held-in-portfolio | 1,870,296 | 1,881,744 |
Non perfroming loans | 281 | 365 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | CRE non-owner occupied | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,047 | 707 |
Popular U.S. | Non Covered Loans | CRE non-owner occupied | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 288 |
Popular U.S. | Non Covered Loans | CRE non-owner occupied | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 281 | 365 |
Popular U.S. | Non Covered Loans | CRE owner occupied | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,001 | 7,234 |
Current | 337,134 | 291,705 |
Loans held-in-portfolio | 339,135 | 298,939 |
Non perfroming loans | 251 | 381 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | CRE owner occupied | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,750 | 5,125 |
Popular U.S. | Non Covered Loans | CRE owner occupied | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 1,728 |
Popular U.S. | Non Covered Loans | CRE owner occupied | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 251 | 381 |
Popular U.S. | Non Covered Loans | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 20,527 | 77,075 |
Current | 1,174,353 | 1,011,078 |
Loans held-in-portfolio | 1,194,880 | 1,088,153 |
Non perfroming loans | 876 | 330 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Commercial and industrial | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 454 | 2,354 |
Popular U.S. | Non Covered Loans | Commercial and industrial | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 128 | 995 |
Popular U.S. | Non Covered Loans | Commercial and industrial | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 19,945 | 73,726 |
Popular U.S. | Non Covered Loans | Construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 26 | 12,060 |
Current | 693,596 | 681,434 |
Loans held-in-portfolio | 693,622 | 693,494 |
Non perfroming loans | 26 | 12,060 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Construction | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Popular U.S. | Non Covered Loans | Construction | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Popular U.S. | Non Covered Loans | Construction | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 26 | 12,060 |
Popular U.S. | Non Covered Loans | Mortgages | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 30,589 | 27,845 |
Current | 986,195 | 774,090 |
Loans held-in-portfolio | 1,016,784 | 801,935 |
Non perfroming loans | 11,091 | 11,033 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Mortgages | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 15,474 | 13,615 |
Popular U.S. | Non Covered Loans | Mortgages | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 4,024 | 3,197 |
Popular U.S. | Non Covered Loans | Mortgages | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 11,091 | 11,033 |
Popular U.S. | Non Covered Loans | Legacy | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,056 | 3,267 |
Current | 20,049 | 22,682 |
Loans held-in-portfolio | 22,105 | 25,949 |
Non perfroming loans | 1,999 | 2,627 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Legacy | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 49 | 195 |
Popular U.S. | Non Covered Loans | Legacy | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 8 | 445 |
Popular U.S. | Non Covered Loans | Legacy | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,999 | 2,627 |
Popular U.S. | Non Covered Loans | Consumer | Credit cards | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 2 |
Current | 36 | 36 |
Loans held-in-portfolio | 36 | 38 |
Non perfroming loans | 0 | 0 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Credit cards | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 2 |
Popular U.S. | Non Covered Loans | Consumer | Credit cards | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Credit cards | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Home equity lines of credit | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 10,625 | 14,929 |
Current | 106,718 | 128,123 |
Loans held-in-portfolio | 117,343 | 143,052 |
Non perfroming loans | 9,954 | 13,579 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Home equity lines of credit | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 404 | 886 |
Popular U.S. | Non Covered Loans | Consumer | Home equity lines of credit | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 267 | 464 |
Popular U.S. | Non Covered Loans | Consumer | Home equity lines of credit | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 9,954 | 13,579 |
Popular U.S. | Non Covered Loans | Consumer | Personal Loan | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 5,934 | 6,652 |
Current | 318,506 | 282,697 |
Loans held-in-portfolio | 324,440 | 289,349 |
Non perfroming loans | 2,066 | 2,610 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Personal Loan | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,286 | 2,319 |
Popular U.S. | Non Covered Loans | Consumer | Personal Loan | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 1,582 | 1,723 |
Popular U.S. | Non Covered Loans | Consumer | Personal Loan | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 2,066 | 2,610 |
Popular U.S. | Non Covered Loans | Consumer | Other | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3 | 4 |
Current | 687 | 220 |
Loans held-in-portfolio | 690 | 224 |
Non perfroming loans | 0 | 4 |
Accruing loans past-due 90 days or more | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Other | Past Due 30 To 59 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 3 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Other | Past Due 60 To 89 Days | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | 0 | 0 |
Popular U.S. | Non Covered Loans | Consumer | Other | Past Due 90 Days or More | ||
Financing Receivable, Recorded Investment, Past Due | ||
Past Due | $ 0 | $ 4 |
Loans - Loans HIP in past due s
Loans - Loans HIP in past due status, non-performing status and accruing loans past-due 90 days or more by loan class (Parenthetical) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable | ||
Unearned Income | $ 180,983 | $ 155,824 |
Loans held-for-sale, at lower of cost or fair value | 59,203 | 51,422 |
Loans held-in-portfolio, net of unearned income | 27,406,873 | 26,507,889 |
Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Pledged Financial Instruments, Not Separately Reported, Loans Receivable Pledged as Collateral | 6,700,000 | 6,900,000 |
Loans-held-in portfolio served as collateral to secure credit facilities authorized with the FHLB | 4,600,000 | 4,800,000 |
Loans held-in-portfolio, net of unearned income | 27,406,873 | 26,507,889 |
FRB Discount Window | Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans served as collateral to secure debt obligations | 2,100,000 | 2,100,000 |
PUERTO RICO | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | 20,180,232 | 19,883,472 |
PUERTO RICO | Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | 20,180,232 | 19,883,472 |
Popular U.S. | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | 7,226,641 | 6,624,417 |
Popular U.S. | Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | 7,226,641 | 6,624,417 |
ASC Subtopic 310-30 | Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | 153,000 | 216,000 |
ASC Subtopic 310-30 | PUERTO RICO | Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | 134,000 | 143,000 |
ASC Subtopic 310-30 | Popular U.S. | Non Covered Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans held-in-portfolio, net of unearned income | $ 19,000 | $ 73,000 |
Loans - Components of Net Finan
Loans - Components of Net Financing Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
Total Minimum Lease Payments | $ 863,755 | $ 781,060 |
Estimated residual value of leased property (unguaranteed) | 356,560 | 293,495 |
Deferred origination costs, net of fees | 15,422 | 12,261 |
Unearned financing income | 176,121 | 151,881 |
Net minimum lease payments | 1,059,616 | 934,935 |
Capital Leases - Allowance for loan losses | 10,768 | 11,487 |
Net minimum lease payments, net of allowance for loan losses | $ 1,048,848 | $ 923,448 |
Loans - Future minimum lease pa
Loans - Future minimum lease payments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Capital Leases Future Minimum Payments Receivable Abstract | ||
2020 | $ 48,511 | |
2021 | 90,049 | |
2022 | 147,742 | |
2023 | 205,834 | |
2024 and thereafter | 371,619 | |
Total Minimum Lease Payments | $ 863,755 | $ 781,060 |
Loans - Carrying amount of acqu
Loans - Carrying amount of acquired loans accounted for pursuant to ASC310-30 by portfolio (Details) - ASC Subtopic 310-30 - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | $ 1,643,718 | $ 1,883,556 | $ 2,108,993 |
Less: Allowance for loan losses | (74,039) | (122,135) | |
Carrying amount, net of allowance | 1,569,679 | 1,761,421 | |
Commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | 670,566 | 801,774 | |
Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | 104,756 | 84,465 | |
Mortgages | |||
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | 856,618 | 982,821 | |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | $ 11,778 | $ 14,496 |
Loans - Changes in the carrying
Loans - Changes in the carrying amount and the accretable yield for the acquired loans (Details) - ASC Subtopic 310-30 - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accretable yield | ||
Beginning Balance | $ 1,092,504 | $ 1,214,488 |
Additions | 23,556 | 6,535 |
Accretion | (144,976) | (166,272) |
Change In Expected Cash Flows | 30,258 | 37,753 |
Ending Balance | 1,001,342 | 1,092,504 |
Carrying amount of loans | ||
Beginning Balance | 1,883,556 | 2,108,993 |
Additions | 39,492 | 16,645 |
Accretion | 144,976 | 166,272 |
Collections / loan sales / charge-offs | (424,306) | (408,354) |
Ending Balance | 1,643,718 | 1,883,556 |
Less: Allowance for loan losses | (74,039) | (122,135) |
Carrying amount, net of allowance | $ 1,569,679 | $ 1,761,421 |
Loans - Changes in the carryi_2
Loans - Changes in the carrying amount and the accretable yield for the acquired loans - Parenthetical (Details) - ASC Subtopic 310-30 - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | $ 1,643,718 | $ 1,883,556 | $ 2,108,993 |
Accretable yield | 1,001,342 | 1,092,504 | $ 1,214,488 |
Non-credit Impaired Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Carrying amount | 1,200,000 | 1,400,000 | |
Accretable yield | $ 700,000 | $ 800,000 |
Loans - Additional Information
Loans - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Aug. 01, 2018 | |
Accounts, Notes, Loans and Financing Receivable | |||
Transfers Of Financial Assets Accounted For As Sale Initial Fair Value Of Assets Obtained As Proceeds | $ 466,943 | $ 516,022 | |
Mortgage loans related to buy-back option program | 27,587,856 | 26,663,713 | |
Non-covered Loans held-in-portfolio | 27,406,873 | 26,507,889 | |
Reliable Financial Services | |||
Accounts, Notes, Loans and Financing Receivable | |||
Loans acquired | $ 1,802,463 | ||
Buy back option program | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing loans past-due 90 days or more | 103,000 | 134,000 | |
Mortgage loans related to buy-back option program | 103,000 | 134,000 | |
Residential Mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Residential Mortgage Loans Sold | 64,000 | 59,000 | |
GNMA | |||
Accounts, Notes, Loans and Financing Receivable | |||
Transfers Of Financial Assets Accounted For As Sale Initial Fair Value Of Assets Obtained As Proceeds | 347,000 | 111,000 | |
FNMA | |||
Accounts, Notes, Loans and Financing Receivable | |||
Transfers Of Financial Assets Accounted For As Sale Initial Fair Value Of Assets Obtained As Proceeds | 413,000 | 94,000 | |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable | |||
Purchase of Loans | 359,000 | 205,000 | |
Non-covered Loans held-in-portfolio | 5,997,886 | 5,489,441 | |
Consumer | Credit cards | |||
Accounts, Notes, Loans and Financing Receivable | |||
Purchase of Loans | 74,000 | ||
Mortgages | |||
Accounts, Notes, Loans and Financing Receivable | |||
Purchase of Loans | 423,000 | 624,000 | |
Non-covered Loans held-in-portfolio | 7,183,532 | 7,235,258 | |
Mortgages | US Government Agency Insured Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Non-covered Loans held-in-portfolio | 1,400,000 | 1,400,000 | |
Mortgages | US Government Agency Insured Loans | Past Due 90 Days or More | |||
Accounts, Notes, Loans and Financing Receivable | |||
Past Due | 441,000 | 598,000 | |
Commercial Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Purchase of Loans | 141,000 | ||
Commercial Loans | Reliable Financial Services | |||
Accounts, Notes, Loans and Financing Receivable | |||
Loans acquired | 341,000 | ||
Commercial Loans | Residential Mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Residential Mortgage Loans Sold | 114,000 | 30,000 | |
Reverse Mortgages | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 65,000 | 69,000 | |
Residential mortgage loans insured By FHA | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing loans past-due 90 days or more | 213,000 | 283,000 | |
Auto Loan | |||
Accounts, Notes, Loans and Financing Receivable | |||
Non-covered Loans held-in-portfolio | 2,917,522 | 2,608,785 | |
Auto Loan | Reliable Financial Services | |||
Accounts, Notes, Loans and Financing Receivable | |||
Loans acquired | $ 1,600,000 | ||
ASC Subtopic 310-30 | |||
Accounts, Notes, Loans and Financing Receivable | |||
Outstanding principal balance of SOP loans | $ 1,900,000 | $ 2,200,000 |
Allowance for loan losses - All
Allowance for loan losses - Allowance Movement (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | $ 569,348 | $ 623,426 | |
Provision (reversal) for loan losses | 165,779 | 228,072 | $ 325,424 |
Charge-offs | (345,679) | (352,622) | |
Recoveries | 88,260 | 70,472 | |
Balance at end of period | 477,708 | 569,348 | 623,426 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 85,226 | 119,670 | |
General ALLL | 392,482 | 449,678 | |
Ending balance: loans individually evaluated for impairment | 1,032,821 | 1,045,095 | |
Ending balance: loans collectively evaluated for impairment | 26,374,052 | 25,462,794 | |
Non-covered Loans held-in-portfolio | 27,406,873 | 26,507,889 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 27,406,873 | 26,507,889 | |
PUERTO RICO | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 20,180,232 | 19,883,472 | |
PUERTO RICO | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 507,158 | 518,104 | |
Provision (reversal) for loan losses | 135,751 | 196,461 | |
Charge-offs | (281,355) | (298,212) | |
Recoveries | 71,097 | 57,195 | |
Allowance Transferred From Covered Loans | 33,610 | ||
Balance at end of period | 432,651 | 507,158 | 518,104 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 81,455 | 115,409 | |
General ALLL | 351,196 | 391,749 | |
Ending balance: loans individually evaluated for impairment | 1,011,704 | 1,015,108 | |
Ending balance: loans collectively evaluated for impairment | 19,168,528 | 18,868,364 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 20,180,232 | 19,883,472 | |
PUERTO RICO | Covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 0 | 33,244 | |
Provision (reversal) for loan losses | 1,730 | ||
Charge-offs | (1,448) | ||
Recoveries | 84 | ||
Allowance Transferred To Non Covered Loans | (33,610) | ||
Balance at end of period | 0 | 33,244 | |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | ||
General ALLL | 0 | ||
Ending balance: loans individually evaluated for impairment | 0 | ||
Ending balance: loans collectively evaluated for impairment | 0 | ||
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 0 | ||
UNITED STATES | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 7,226,641 | 6,624,417 | |
UNITED STATES | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 62,190 | 72,078 | |
Provision (reversal) for loan losses | 30,028 | 29,881 | |
Charge-offs | (64,324) | (52,962) | |
Recoveries | 17,163 | 13,193 | |
Balance at end of period | 45,057 | 62,190 | 72,078 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 3,771 | 4,261 | |
General ALLL | 41,286 | 57,929 | |
Ending balance: loans individually evaluated for impairment | 21,117 | 29,987 | |
Ending balance: loans collectively evaluated for impairment | 7,205,524 | 6,594,430 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 7,226,641 | 6,624,417 | |
Commercial | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 239,115 | 215,665 | |
Provision (reversal) for loan losses | (25,944) | 109,165 | |
Charge-offs | (94,181) | (107,272) | |
Recoveries | 28,062 | 21,557 | |
Balance at end of period | 147,052 | 239,115 | 215,665 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 20,533 | 52,190 | |
General ALLL | 126,519 | 186,925 | |
Ending balance: loans individually evaluated for impairment | 399,549 | 398,518 | |
Ending balance: loans collectively evaluated for impairment | 11,913,202 | 11,644,501 | |
Non-covered Loans held-in-portfolio | 12,312,751 | 12,043,019 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 12,312,751 | 12,043,019 | |
Commercial | PUERTO RICO | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 7,261,130 | 7,372,643 | |
Commercial | PUERTO RICO | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 207,214 | 171,531 | |
Provision (reversal) for loan losses | (41,440) | 101,614 | |
Charge-offs | (53,852) | (82,352) | |
Recoveries | 19,141 | 16,421 | |
Allowance Transferred From Covered Loans | 0 | ||
Balance at end of period | 131,063 | 207,214 | 171,531 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 20,533 | 52,190 | |
General ALLL | 110,530 | 155,024 | |
Ending balance: loans individually evaluated for impairment | 397,452 | 398,518 | |
Ending balance: loans collectively evaluated for impairment | 6,863,678 | 6,974,125 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 7,261,130 | 7,372,643 | |
Commercial | PUERTO RICO | Covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 0 | 0 | |
Provision (reversal) for loan losses | 0 | ||
Charge-offs | 0 | ||
Recoveries | 0 | ||
Allowance Transferred To Non Covered Loans | 0 | ||
Balance at end of period | 0 | 0 | |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | ||
General ALLL | 0 | ||
Ending balance: loans individually evaluated for impairment | 0 | ||
Ending balance: loans collectively evaluated for impairment | 0 | ||
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 0 | ||
Commercial | UNITED STATES | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 5,051,621 | 4,670,376 | |
Commercial | UNITED STATES | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 31,901 | 44,134 | |
Provision (reversal) for loan losses | 15,496 | 7,551 | |
Charge-offs | (40,329) | (24,920) | |
Recoveries | 8,921 | 5,136 | |
Balance at end of period | 15,989 | 31,901 | 44,134 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | 0 | |
General ALLL | 15,989 | 31,901 | |
Ending balance: loans individually evaluated for impairment | 2,097 | 0 | |
Ending balance: loans collectively evaluated for impairment | 5,049,524 | 4,670,376 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 5,051,621 | 4,670,376 | |
Construction | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 7,424 | 8,362 | |
Provision (reversal) for loan losses | (3,544) | 3,514 | |
Charge-offs | (2,324) | (5,815) | |
Recoveries | 3,222 | 1,363 | |
Balance at end of period | 4,778 | 7,424 | 8,362 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 6 | 56 | |
General ALLL | 4,772 | 7,368 | |
Ending balance: loans individually evaluated for impairment | 119 | 13,848 | |
Ending balance: loans collectively evaluated for impairment | 830,973 | 765,601 | |
Non-covered Loans held-in-portfolio | 831,092 | 779,449 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 831,092 | 779,449 | |
Construction | PUERTO RICO | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 137,470 | 85,955 | |
Construction | PUERTO RICO | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 886 | 1,286 | |
Provision (reversal) for loan losses | (3,417) | (1,754) | |
Charge-offs | (109) | (9) | |
Recoveries | 3,214 | 1,363 | |
Allowance Transferred From Covered Loans | 0 | ||
Balance at end of period | 574 | 886 | 1,286 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 6 | 56 | |
General ALLL | 568 | 830 | |
Ending balance: loans individually evaluated for impairment | 119 | 1,788 | |
Ending balance: loans collectively evaluated for impairment | 137,351 | 84,167 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 137,470 | 85,955 | |
Construction | PUERTO RICO | Covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 0 | 0 | |
Provision (reversal) for loan losses | 0 | ||
Charge-offs | 0 | ||
Recoveries | 0 | ||
Allowance Transferred To Non Covered Loans | 0 | ||
Balance at end of period | 0 | 0 | |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | ||
General ALLL | 0 | ||
Ending balance: loans individually evaluated for impairment | 0 | ||
Ending balance: loans collectively evaluated for impairment | 0 | ||
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 0 | ||
Construction | UNITED STATES | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 693,622 | 693,494 | |
Construction | UNITED STATES | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 6,538 | 7,076 | |
Provision (reversal) for loan losses | (127) | 5,268 | |
Charge-offs | (2,215) | (5,806) | |
Recoveries | 8 | 0 | |
Balance at end of period | 4,204 | 6,538 | 7,076 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | 0 | |
General ALLL | 4,204 | 6,538 | |
Ending balance: loans individually evaluated for impairment | 0 | 12,060 | |
Ending balance: loans collectively evaluated for impairment | 693,622 | 681,434 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 693,622 | 693,494 | |
Mortgages | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 147,412 | 196,143 | |
Provision (reversal) for loan losses | 15,486 | 17,084 | |
Charge-offs | (48,182) | (71,071) | |
Recoveries | 6,392 | 5,256 | |
Balance at end of period | 121,108 | 147,412 | 196,143 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 42,804 | 41,211 | |
General ALLL | 78,304 | 106,201 | |
Ending balance: loans individually evaluated for impairment | 531,855 | 518,888 | |
Ending balance: loans collectively evaluated for impairment | 6,651,677 | 6,716,370 | |
Non-covered Loans held-in-portfolio | 7,183,532 | 7,235,258 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 7,183,532 | 7,235,258 | |
Mortgages | PUERTO RICO | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 6,166,748 | 6,433,323 | |
Mortgages | PUERTO RICO | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 142,978 | 159,081 | |
Provision (reversal) for loan losses | 14,658 | 15,297 | |
Charge-offs | (47,577) | (69,393) | |
Recoveries | 6,222 | 4,571 | |
Allowance Transferred From Covered Loans | 33,422 | ||
Balance at end of period | 116,281 | 142,978 | 159,081 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 40,596 | 38,760 | |
General ALLL | 75,685 | 104,218 | |
Ending balance: loans individually evaluated for impairment | 522,469 | 509,468 | |
Ending balance: loans collectively evaluated for impairment | 5,644,279 | 5,923,855 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 6,166,748 | 6,433,323 | |
Mortgages | PUERTO RICO | Covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 0 | 32,521 | |
Provision (reversal) for loan losses | 2,265 | ||
Charge-offs | (1,446) | ||
Recoveries | 82 | ||
Allowance Transferred To Non Covered Loans | (33,422) | ||
Balance at end of period | 0 | 32,521 | |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | ||
General ALLL | 0 | ||
Ending balance: loans individually evaluated for impairment | 0 | ||
Ending balance: loans collectively evaluated for impairment | 0 | ||
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 0 | ||
Mortgages | UNITED STATES | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 1,016,784 | 801,935 | |
Mortgages | UNITED STATES | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 4,434 | 4,541 | |
Provision (reversal) for loan losses | 828 | (478) | |
Charge-offs | (605) | (232) | |
Recoveries | 170 | 603 | |
Balance at end of period | 4,827 | 4,434 | 4,541 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 2,208 | 2,451 | |
General ALLL | 2,619 | 1,983 | |
Ending balance: loans individually evaluated for impairment | 9,386 | 9,420 | |
Ending balance: loans collectively evaluated for impairment | 1,007,398 | 792,515 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 1,016,784 | 801,935 | |
Legacy | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 969 | 798 | |
Provision (reversal) for loan losses | (1,738) | (1,861) | |
Charge-offs | 105 | 114 | |
Recoveries | 1,294 | 1,918 | |
Balance at end of period | 630 | 969 | 798 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | 0 | |
General ALLL | 630 | 969 | |
Ending balance: loans individually evaluated for impairment | 0 | 0 | |
Ending balance: loans collectively evaluated for impairment | 22,105 | 25,949 | |
Non-covered Loans held-in-portfolio | 22,105 | 25,949 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 22,105 | 25,949 | |
Legacy | UNITED STATES | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 22,105 | 25,949 | |
Legacy | UNITED STATES | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 969 | 798 | |
Provision (reversal) for loan losses | (1,738) | (1,861) | |
Charge-offs | 105 | 114 | |
Recoveries | 1,294 | 1,918 | |
Balance at end of period | 630 | 969 | 798 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | 0 | |
General ALLL | 630 | 969 | |
Ending balance: loans individually evaluated for impairment | 0 | 0 | |
Ending balance: loans collectively evaluated for impairment | 22,105 | 25,949 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 22,105 | 25,949 | |
Leasing | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 11,486 | 11,991 | |
Provision (reversal) for loan losses | 8,619 | 5,525 | |
Charge-offs | (11,834) | (8,297) | |
Recoveries | 2,497 | 2,267 | |
Balance at end of period | 10,768 | 11,486 | 11,991 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 61 | 320 | |
General ALLL | 10,707 | 11,166 | |
Ending balance: loans individually evaluated for impairment | 507 | 1,099 | |
Ending balance: loans collectively evaluated for impairment | 1,059,000 | 933,674 | |
Non-covered Loans held-in-portfolio | 1,059,507 | 934,773 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 1,059,507 | 934,773 | |
Leasing | PUERTO RICO | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 1,059,507 | 934,773 | |
Leasing | PUERTO RICO | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 11,486 | 11,991 | |
Provision (reversal) for loan losses | 8,619 | 5,525 | |
Charge-offs | (11,834) | (8,297) | |
Recoveries | 2,497 | 2,267 | |
Allowance Transferred From Covered Loans | 0 | ||
Balance at end of period | 10,768 | 11,486 | 11,991 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 61 | 320 | |
General ALLL | 10,707 | 11,166 | |
Ending balance: loans individually evaluated for impairment | 507 | 1,099 | |
Ending balance: loans collectively evaluated for impairment | 1,059,000 | 933,674 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 1,059,507 | 934,773 | |
Leasing | PUERTO RICO | Covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 0 | 0 | |
Provision (reversal) for loan losses | 0 | ||
Charge-offs | 0 | ||
Recoveries | 0 | ||
Allowance Transferred To Non Covered Loans | 0 | ||
Balance at end of period | 0 | 0 | |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | ||
General ALLL | 0 | ||
Ending balance: loans individually evaluated for impairment | 0 | ||
Ending balance: loans collectively evaluated for impairment | 0 | ||
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 0 | ||
Consumer | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 162,942 | 190,467 | |
Provision (reversal) for loan losses | 172,900 | 94,645 | |
Charge-offs | (189,263) | (160,281) | |
Recoveries | 46,793 | 38,111 | |
Balance at end of period | 193,372 | 162,942 | 190,467 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 21,822 | 25,893 | |
General ALLL | 171,550 | 137,049 | |
Ending balance: loans individually evaluated for impairment | 100,791 | 112,742 | |
Ending balance: loans collectively evaluated for impairment | 5,897,095 | 5,376,699 | |
Non-covered Loans held-in-portfolio | 5,997,886 | 5,489,441 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 5,997,886 | 5,489,441 | |
Consumer | PUERTO RICO | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 5,555,377 | 5,056,778 | |
Consumer | PUERTO RICO | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 144,594 | 174,215 | |
Provision (reversal) for loan losses | 157,331 | 75,779 | |
Charge-offs | (167,983) | (138,161) | |
Recoveries | 40,023 | 32,573 | |
Allowance Transferred From Covered Loans | 188 | ||
Balance at end of period | 173,965 | 144,594 | 174,215 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 20,259 | 24,083 | |
General ALLL | 153,706 | 120,511 | |
Ending balance: loans individually evaluated for impairment | 91,157 | 104,235 | |
Ending balance: loans collectively evaluated for impairment | 5,464,220 | 4,952,543 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 5,555,377 | 5,056,778 | |
Consumer | PUERTO RICO | Covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 0 | 723 | |
Provision (reversal) for loan losses | (535) | ||
Charge-offs | (2) | ||
Recoveries | 2 | ||
Allowance Transferred To Non Covered Loans | (188) | ||
Balance at end of period | 0 | 723 | |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 0 | ||
General ALLL | 0 | ||
Ending balance: loans individually evaluated for impairment | 0 | ||
Ending balance: loans collectively evaluated for impairment | 0 | ||
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | 0 | ||
Consumer | UNITED STATES | |||
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Non-covered Loans held-in-portfolio | 442,509 | 432,663 | |
Consumer | UNITED STATES | Non-covered loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 18,348 | 15,529 | |
Provision (reversal) for loan losses | 15,569 | 19,401 | |
Charge-offs | (21,280) | (22,118) | |
Recoveries | 6,770 | 5,536 | |
Balance at end of period | 19,407 | 18,348 | $ 15,529 |
Financing Receivable Allowance For Credit Loss Additional Information Abstract | |||
Specific ALLL | 1,563 | 1,810 | |
General ALLL | 17,844 | 16,538 | |
Ending balance: loans individually evaluated for impairment | 9,634 | 8,507 | |
Ending balance: loans collectively evaluated for impairment | 432,875 | 424,156 | |
Loans And Leases Receivable Covered And Not Covered Total Net Of Unearned Income | $ 442,509 | $ 432,663 |
Allowance for loan losses - Act
Allowance for loan losses - Activity in Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | $ 569,348 | $ 623,426 | |
Provision (reversal) for loan losses | 165,779 | 228,072 | $ 325,424 |
Charge-offs | (345,679) | (352,622) | |
Balance at end of period | 477,708 | 569,348 | 623,426 |
ASC Subtopic 310-30 | |||
Financing Receivable, Allowance for Credit Losses | |||
Balance at beginning of period | 122,135 | 119,505 | |
Provision (reversal) for loan losses | 1,119 | 61,270 | |
Charge-offs | (49,215) | (58,640) | |
Balance at end of period | $ 74,039 | $ 122,135 | $ 119,505 |
Allowance for loan losses - Dis
Allowance for loan losses - Disclosures related to loans individually evaluated for impairment (Details) - Non Covered Loans - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Impaired | ||
Related Allowance | $ 85,226 | $ 119,670 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 722,007 | 795,308 |
Recorded investment - with No Allowance | 310,814 | 249,787 |
Recorded Investment - Total | 1,032,821 | 1,045,095 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 803,150 | 867,932 |
Unpaid principal balance - with No Allowance | 420,055 | 377,884 |
Unpaid Principal Balance - Total | 1,223,205 | 1,245,816 |
Commercial multi-family | ||
Financing Receivable, Impaired | ||
Related Allowance | 4 | 4 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 1,196 | 932 |
Recorded investment - with No Allowance | 3,114 | 0 |
Recorded Investment - Total | 4,310 | 932 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 1,229 | 932 |
Unpaid principal balance - with No Allowance | 3,786 | 0 |
Unpaid Principal Balance - Total | 5,015 | 932 |
CRE non-owner occupied | ||
Financing Receivable, Impaired | ||
Related Allowance | 12,281 | 27,494 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 44,975 | 85,583 |
Recorded investment - with No Allowance | 149,587 | 96,005 |
Recorded Investment - Total | 194,562 | 181,588 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 45,803 | 86,282 |
Unpaid principal balance - with No Allowance | 173,124 | 138,378 |
Unpaid Principal Balance - Total | 218,927 | 224,660 |
CRE owner occupied | ||
Financing Receivable, Impaired | ||
Related Allowance | 5,077 | 7,857 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 105,841 | 113,592 |
Recorded investment - with No Allowance | 26,365 | 26,474 |
Recorded Investment - Total | 132,206 | 140,066 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 122,814 | 132,677 |
Unpaid principal balance - with No Allowance | 58,540 | 60,485 |
Unpaid Principal Balance - Total | 181,354 | 193,162 |
Commercial and industrial | ||
Financing Receivable, Impaired | ||
Related Allowance | 3,171 | 16,835 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 43,640 | 65,208 |
Recorded investment - with No Allowance | 24,831 | 10,724 |
Recorded Investment - Total | 68,471 | 75,932 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 47,611 | 67,094 |
Unpaid principal balance - with No Allowance | 44,255 | 20,968 |
Unpaid Principal Balance - Total | 91,866 | 88,062 |
Construction | ||
Financing Receivable, Impaired | ||
Related Allowance | 6 | 56 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 119 | 1,788 |
Recorded investment - with No Allowance | 0 | 12,060 |
Recorded Investment - Total | 119 | 13,848 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 119 | 1,788 |
Unpaid principal balance - with No Allowance | 0 | 18,127 |
Unpaid Principal Balance - Total | 119 | 19,915 |
Mortgages | ||
Financing Receivable, Impaired | ||
Related Allowance | 42,804 | 41,211 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 427,855 | 416,004 |
Recorded investment - with No Allowance | 104,000 | 102,884 |
Recorded Investment - Total | 531,855 | 518,888 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 487,193 | 466,909 |
Unpaid principal balance - with No Allowance | 137,175 | 138,211 |
Unpaid Principal Balance - Total | 624,368 | 605,120 |
Leasing | ||
Financing Receivable, Impaired | ||
Related Allowance | 61 | 320 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 507 | 1,099 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 507 | 1,099 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 507 | 1,099 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 507 | 1,099 |
Consumer | Credit cards | ||
Financing Receivable, Impaired | ||
Related Allowance | 2,957 | 4,571 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 24,475 | 28,829 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 24,475 | 28,829 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 24,475 | 28,829 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 24,475 | 28,829 |
Consumer | Home equity lines of credit | ||
Financing Receivable, Impaired | ||
Related Allowance | 1,560 | 1,558 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 6,691 | 6,236 |
Recorded investment - with No Allowance | 2,829 | 1,498 |
Recorded Investment - Total | 9,520 | 7,734 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 6,691 | 6,285 |
Unpaid principal balance - with No Allowance | 3,087 | 1,572 |
Unpaid Principal Balance - Total | 9,778 | 7,857 |
Consumer | Personal Loan | ||
Financing Receivable, Impaired | ||
Related Allowance | 17,145 | 19,350 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 65,547 | 73,620 |
Recorded investment - with No Allowance | 88 | 142 |
Recorded Investment - Total | 65,635 | 73,762 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 65,547 | 73,620 |
Unpaid principal balance - with No Allowance | 88 | 143 |
Unpaid Principal Balance - Total | 65,635 | 73,763 |
Consumer | Auto Loan | ||
Financing Receivable, Impaired | ||
Related Allowance | 51 | 228 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 310 | 1,161 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 310 | 1,161 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 310 | 1,161 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 310 | 1,161 |
Consumer | Other | ||
Financing Receivable, Impaired | ||
Related Allowance | 109 | 186 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 851 | 1,256 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 851 | 1,256 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 851 | 1,256 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 851 | 1,256 |
PUERTO RICO | ||
Financing Receivable, Impaired | ||
Related Allowance | 81,455 | 115,409 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 708,384 | 781,204 |
Recorded investment - with No Allowance | 303,320 | 233,904 |
Recorded Investment - Total | 1,011,704 | 1,015,108 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 789,176 | 852,117 |
Unpaid principal balance - with No Allowance | 411,497 | 354,915 |
Unpaid Principal Balance - Total | 1,200,673 | 1,207,032 |
PUERTO RICO | Commercial multi-family | ||
Financing Receivable, Impaired | ||
Related Allowance | 4 | 4 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 1,196 | 932 |
Recorded investment - with No Allowance | 1,017 | 0 |
Recorded Investment - Total | 2,213 | 932 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 1,229 | 932 |
Unpaid principal balance - with No Allowance | 1,247 | 0 |
Unpaid Principal Balance - Total | 2,476 | 932 |
PUERTO RICO | CRE non-owner occupied | ||
Financing Receivable, Impaired | ||
Related Allowance | 12,281 | 27,494 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 44,975 | 85,583 |
Recorded investment - with No Allowance | 149,587 | 96,005 |
Recorded Investment - Total | 194,562 | 181,588 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 45,803 | 86,282 |
Unpaid principal balance - with No Allowance | 173,124 | 138,378 |
Unpaid Principal Balance - Total | 218,927 | 224,660 |
PUERTO RICO | CRE owner occupied | ||
Financing Receivable, Impaired | ||
Related Allowance | 5,077 | 7,857 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 105,841 | 113,592 |
Recorded investment - with No Allowance | 26,365 | 26,474 |
Recorded Investment - Total | 132,206 | 140,066 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 122,814 | 132,677 |
Unpaid principal balance - with No Allowance | 58,540 | 60,485 |
Unpaid Principal Balance - Total | 181,354 | 193,162 |
PUERTO RICO | Commercial and industrial | ||
Financing Receivable, Impaired | ||
Related Allowance | 3,171 | 16,835 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 43,640 | 65,208 |
Recorded investment - with No Allowance | 24,831 | 10,724 |
Recorded Investment - Total | 68,471 | 75,932 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 47,611 | 67,094 |
Unpaid principal balance - with No Allowance | 44,255 | 20,968 |
Unpaid Principal Balance - Total | 91,866 | 88,062 |
PUERTO RICO | Construction | ||
Financing Receivable, Impaired | ||
Related Allowance | 6 | 56 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 119 | 1,788 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 119 | 1,788 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 119 | 1,788 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 119 | 1,788 |
PUERTO RICO | Mortgages | ||
Financing Receivable, Impaired | ||
Related Allowance | 40,596 | 38,760 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 420,949 | 408,767 |
Recorded investment - with No Allowance | 101,520 | 100,701 |
Recorded Investment - Total | 522,469 | 509,468 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 479,936 | 458,010 |
Unpaid principal balance - with No Allowance | 134,331 | 135,084 |
Unpaid Principal Balance - Total | 614,267 | 593,094 |
PUERTO RICO | Leasing | ||
Financing Receivable, Impaired | ||
Related Allowance | 61 | 320 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 507 | 1,099 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 507 | 1,099 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 507 | 1,099 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 507 | 1,099 |
PUERTO RICO | Consumer | Credit cards | ||
Financing Receivable, Impaired | ||
Related Allowance | 2,957 | 4,571 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 24,475 | 28,829 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 24,475 | 28,829 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 24,475 | 28,829 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 24,475 | 28,829 |
PUERTO RICO | Consumer | Personal Loan | ||
Financing Receivable, Impaired | ||
Related Allowance | 17,142 | 19,098 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 65,521 | 72,989 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 65,521 | 72,989 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 65,521 | 72,989 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 65,521 | 72,989 |
PUERTO RICO | Consumer | Auto Loan | ||
Financing Receivable, Impaired | ||
Related Allowance | 51 | 228 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 310 | 1,161 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 310 | 1,161 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 310 | 1,161 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 310 | 1,161 |
PUERTO RICO | Consumer | Other | ||
Financing Receivable, Impaired | ||
Related Allowance | 109 | 186 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 851 | 1,256 |
Recorded investment - with No Allowance | 0 | 0 |
Recorded Investment - Total | 851 | 1,256 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 851 | 1,256 |
Unpaid principal balance - with No Allowance | 0 | 0 |
Unpaid Principal Balance - Total | 851 | 1,256 |
UNITED STATES | ||
Financing Receivable, Impaired | ||
Related Allowance | 3,771 | 4,261 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 13,623 | 14,104 |
Recorded investment - with No Allowance | 7,494 | 15,883 |
Recorded Investment - Total | 21,117 | 29,987 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 13,974 | 15,815 |
Unpaid principal balance - with No Allowance | 8,558 | 22,969 |
Unpaid Principal Balance - Total | 22,532 | 38,784 |
UNITED STATES | Commercial multi-family | ||
Financing Receivable, Impaired | ||
Related Allowance | 0 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 0 | |
Recorded investment - with No Allowance | 2,097 | |
Recorded Investment - Total | 2,097 | |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 0 | |
Unpaid principal balance - with No Allowance | 2,539 | |
Unpaid Principal Balance - Total | 2,539 | |
UNITED STATES | Construction | ||
Financing Receivable, Impaired | ||
Related Allowance | 0 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 0 | |
Recorded investment - with No Allowance | 12,060 | |
Recorded Investment - Total | 12,060 | |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 0 | |
Unpaid principal balance - with No Allowance | 18,127 | |
Unpaid Principal Balance - Total | 18,127 | |
UNITED STATES | Mortgages | ||
Financing Receivable, Impaired | ||
Related Allowance | 2,208 | 2,451 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 6,906 | 7,237 |
Recorded investment - with No Allowance | 2,480 | 2,183 |
Recorded Investment - Total | 9,386 | 9,420 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 7,257 | 8,899 |
Unpaid principal balance - with No Allowance | 2,844 | 3,127 |
Unpaid Principal Balance - Total | 10,101 | 12,026 |
UNITED STATES | Consumer | Home equity lines of credit | ||
Financing Receivable, Impaired | ||
Related Allowance | 1,560 | 1,558 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 6,691 | 6,236 |
Recorded investment - with No Allowance | 2,829 | 1,498 |
Recorded Investment - Total | 9,520 | 7,734 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 6,691 | 6,285 |
Unpaid principal balance - with No Allowance | 3,087 | 1,572 |
Unpaid Principal Balance - Total | 9,778 | 7,857 |
UNITED STATES | Consumer | Personal Loan | ||
Financing Receivable, Impaired | ||
Related Allowance | 3 | 252 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Recorded investment - with an Allowance | 26 | 631 |
Recorded investment - with No Allowance | 88 | 142 |
Recorded Investment - Total | 114 | 773 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Unpaid principal balance - with an Allowance | 26 | 631 |
Unpaid principal balance - with No Allowance | 88 | 143 |
Unpaid Principal Balance - Total | $ 114 | $ 774 |
Allowance for loan losses - Ave
Allowance for loan losses - Average recorded investment and interest income recognized on impaired loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Impaired | ||
Average Recorded Investment | $ 1,043,009 | $ 998,573 |
Interest Income Recognized | 33,687 | 34,685 |
Commercial multi-family | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 2,813 | 693 |
Interest Income Recognized | 50 | 50 |
CRE non-owner occupied | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 183,233 | 138,832 |
Interest Income Recognized | 5,742 | 5,742 |
CRE owner occupied | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 138,336 | 148,967 |
Interest Income Recognized | 6,528 | 6,528 |
Commercial and industrial | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 71,828 | 69,406 |
Interest Income Recognized | 4,097 | 4,097 |
Construction | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 10,399 | 11,659 |
Interest Income Recognized | 25 | 25 |
Mortgages | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 527,903 | 518,296 |
Interest Income Recognized | 16,963 | 17,828 |
Leasing | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 823 | 1,195 |
Interest Income Recognized | 0 | 0 |
Consumer | Credit cards | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 26,775 | 31,953 |
Interest Income Recognized | 0 | 0 |
Consumer | Home equity lines of credit | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 8,988 | 5,904 |
Interest Income Recognized | 0 | 0 |
Consumer | Personal Loan | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 70,044 | 69,007 |
Interest Income Recognized | 282 | 415 |
Consumer | Auto Loan | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 823 | 1,413 |
Interest Income Recognized | 0 | 0 |
Consumer | Other | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 1,044 | 1,248 |
Interest Income Recognized | 0 | 0 |
PUERTO RICO | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 1,013,008 | 973,076 |
Interest Income Recognized | 33,534 | 34,520 |
PUERTO RICO | Commercial multi-family | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 1,470 | 693 |
Interest Income Recognized | 50 | 50 |
PUERTO RICO | CRE non-owner occupied | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 183,233 | 138,832 |
Interest Income Recognized | 5,742 | 5,742 |
PUERTO RICO | CRE owner occupied | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 137,710 | 148,967 |
Interest Income Recognized | 6,528 | 6,528 |
PUERTO RICO | Commercial and industrial | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 71,828 | 69,406 |
Interest Income Recognized | 4,097 | 4,097 |
PUERTO RICO | Construction | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 1,151 | 2,094 |
Interest Income Recognized | 25 | 25 |
PUERTO RICO | Mortgages | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 518,487 | 509,038 |
Interest Income Recognized | 16,810 | 17,663 |
PUERTO RICO | Leasing | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 823 | 1,195 |
Interest Income Recognized | 0 | 0 |
PUERTO RICO | Consumer | Credit cards | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 26,775 | 31,953 |
Interest Income Recognized | 0 | 0 |
PUERTO RICO | Consumer | Home equity lines of credit | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
PUERTO RICO | Consumer | Personal Loan | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 69,664 | 68,237 |
Interest Income Recognized | 282 | 415 |
PUERTO RICO | Consumer | Auto Loan | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 823 | 1,413 |
Interest Income Recognized | 0 | 0 |
PUERTO RICO | Consumer | Other | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 1,044 | 1,248 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 30,001 | 25,497 |
Interest Income Recognized | 153 | 165 |
UNITED STATES | Commercial multi-family | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 1,343 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | CRE non-owner occupied | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | CRE owner occupied | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 626 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Commercial and industrial | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Construction | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 9,248 | 9,565 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Mortgages | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 9,416 | 9,258 |
Interest Income Recognized | 153 | 165 |
UNITED STATES | Leasing | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Consumer | Credit cards | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Consumer | Home equity lines of credit | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 8,988 | 5,904 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Consumer | Personal Loan | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 380 | 770 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Consumer | Auto Loan | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
UNITED STATES | Consumer | Other | Non Covered Loans | ||
Financing Receivable, Impaired | ||
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | $ 0 | $ 0 |
Allowance for loan losses - Tro
Allowance for loan losses - Troubled debt restructuring according to their accruing status (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | $ 85,226 | $ 119,670 |
Commercial | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 20,533 | 52,190 |
Construction | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 6 | 56 |
Mortgages | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 42,804 | 41,211 |
Leasing | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 61 | 320 |
Consumer | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 21,822 | 25,893 |
Non Covered Loans | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 1,587,684 | 1,515,889 |
Non Covered Loans | TDR | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 79,926 | 112,999 |
Non Covered Loans | Commercial | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 349,448 | 360,679 |
Non Covered Loans | Commercial | TDR | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 16,443 | 46,889 |
Non Covered Loans | Construction | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 119 | 1,788 |
Non Covered Loans | Construction | TDR | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 6 | 56 |
Non Covered Loans | Mortgages | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 1,139,597 | 1,042,470 |
Non Covered Loans | Mortgages | TDR | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 42,012 | 41,211 |
Non Covered Loans | Leasing | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 507 | 1,108 |
Non Covered Loans | Leasing | TDR | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 61 | 320 |
Non Covered Loans | Consumer | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 98,013 | 109,844 |
Non Covered Loans | Consumer | TDR | ||
Troubled Debt Restructuring | ||
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 21,404 | 24,523 |
Non-Accruing | Non Covered Loans | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 253,793 | 284,558 |
Non-Accruing | Non Covered Loans | Commercial | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 111,587 | 130,921 |
Non-Accruing | Non Covered Loans | Construction | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 119 | 1,788 |
Non-Accruing | Non Covered Loans | Mortgages | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 126,036 | 135,758 |
Non-Accruing | Non Covered Loans | Leasing | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 243 | 440 |
Non-Accruing | Non Covered Loans | Consumer | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 15,808 | 15,651 |
Accruing | Non Covered Loans | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 1,333,891 | 1,231,331 |
Accruing | Non Covered Loans | Commercial | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 237,861 | 229,758 |
Accruing | Non Covered Loans | Construction | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 0 | 0 |
Accruing | Non Covered Loans | Mortgages | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 1,013,561 | 906,712 |
Accruing | Non Covered Loans | Leasing | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | 264 | 668 |
Accruing | Non Covered Loans | Consumer | ||
Troubled Debt Restructuring | ||
Troubled debt restructurings | $ 82,205 | $ 94,193 |
Allowance for loan losses - T_2
Allowance for loan losses - Troubled debt restructurings loan count by type of modification (Details) - loans | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 1,254 | 2,059 |
Extension of Maturity Date | 269 | 259 |
Combination Interest Rate Reduction Maturity Date Extension | 690 | 383 |
Other Modifications | 198 | 492 |
Commercial multi-family | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 0 | 0 |
Extension of Maturity Date | 3 | 2 |
Combination Interest Rate Reduction Maturity Date Extension | 0 | 0 |
Other Modifications | 0 | 0 |
CRE non-owner occupied | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 0 | 3 |
Extension of Maturity Date | 13 | 17 |
Combination Interest Rate Reduction Maturity Date Extension | 0 | 0 |
Other Modifications | 0 | 0 |
CRE owner occupied | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 1 | 4 |
Extension of Maturity Date | 29 | 64 |
Combination Interest Rate Reduction Maturity Date Extension | 0 | 0 |
Other Modifications | 0 | 0 |
Commercial and industrial | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 2 | 6 |
Extension of Maturity Date | 67 | 87 |
Combination Interest Rate Reduction Maturity Date Extension | 0 | 0 |
Other Modifications | 0 | 0 |
Construction | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 1 | |
Extension of Maturity Date | 0 | |
Combination Interest Rate Reduction Maturity Date Extension | 0 | |
Other Modifications | 0 | |
Mortgages | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 37 | 85 |
Extension of Maturity Date | 130 | 49 |
Combination Interest Rate Reduction Maturity Date Extension | 672 | 359 |
Other Modifications | 6 | 57 |
Leasing | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 0 | 0 |
Extension of Maturity Date | 1 | 0 |
Combination Interest Rate Reduction Maturity Date Extension | 2 | 4 |
Other Modifications | 0 | 0 |
Credit cards | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 515 | 579 |
Extension of Maturity Date | 0 | 0 |
Combination Interest Rate Reduction Maturity Date Extension | 2 | 4 |
Other Modifications | 189 | 432 |
Home equity lines of credit | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 0 | 0 |
Extension of Maturity Date | 16 | 27 |
Combination Interest Rate Reduction Maturity Date Extension | 12 | 11 |
Other Modifications | 0 | 1 |
Personal Loan | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 668 | 1,356 |
Extension of Maturity Date | 4 | 6 |
Combination Interest Rate Reduction Maturity Date Extension | 0 | 0 |
Other Modifications | 3 | 2 |
Auto Loan | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 0 | 0 |
Extension of Maturity Date | 6 | 7 |
Combination Interest Rate Reduction Maturity Date Extension | 2 | 3 |
Other Modifications | 0 | 0 |
Other | ||
Troubled Debt Restructuring | ||
Reduction In Interest Rate | 31 | 25 |
Extension of Maturity Date | 0 | 0 |
Combination Interest Rate Reduction Maturity Date Extension | 0 | 2 |
Other Modifications | 0 | 0 |
Allowance for loan losses - Qua
Allowance for loan losses - Quantitative information by loan class for loans modified as T D R (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)loans | Dec. 31, 2018USD ($)loans | |
Troubled Debt Restructuring | ||
Loan count | loans | 2,411 | 3,193 |
Pre-Modification Recorded Investment | $ 184,694 | $ 302,946 |
Post Modification Recorded Investment | 178,128 | 264,487 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 11,033 | $ 33,398 |
Commercial multi-family | ||
Troubled Debt Restructuring | ||
Loan count | loans | 3 | 2 |
Pre-Modification Recorded Investment | $ 346 | $ 1,377 |
Post Modification Recorded Investment | 295 | 1,375 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ (40) | $ 106 |
CRE non-owner occupied | ||
Troubled Debt Restructuring | ||
Loan count | loans | 13 | 20 |
Pre-Modification Recorded Investment | $ 58,142 | $ 109,081 |
Post Modification Recorded Investment | 58,116 | 79,695 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 2,811 | $ 6,230 |
CRE owner occupied | ||
Troubled Debt Restructuring | ||
Loan count | loans | 30 | 68 |
Pre-Modification Recorded Investment | $ 7,533 | $ 31,233 |
Post Modification Recorded Investment | 7,249 | 29,962 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 81 | $ 1,170 |
Commercial and industrial | ||
Troubled Debt Restructuring | ||
Loan count | loans | 69 | 93 |
Pre-Modification Recorded Investment | $ 14,991 | $ 52,653 |
Post Modification Recorded Investment | 15,435 | 51,855 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 1,368 | $ 13,981 |
Construction | ||
Troubled Debt Restructuring | ||
Loan count | loans | 1 | |
Pre-Modification Recorded Investment | $ 4,210 | |
Post Modification Recorded Investment | 4,293 | |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 474 | |
Mortgages | ||
Troubled Debt Restructuring | ||
Loan count | loans | 845 | 550 |
Pre-Modification Recorded Investment | $ 83,833 | $ 67,518 |
Post Modification Recorded Investment | 77,308 | 59,919 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 2,814 | $ 2,696 |
Leasing | ||
Troubled Debt Restructuring | ||
Loan count | loans | 3 | 4 |
Pre-Modification Recorded Investment | $ 264 | $ 98 |
Post Modification Recorded Investment | 266 | 96 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 7 | $ 30 |
Credit cards | ||
Troubled Debt Restructuring | ||
Loan count | loans | 706 | 1,015 |
Pre-Modification Recorded Investment | $ 5,702 | $ 10,065 |
Post Modification Recorded Investment | 5,867 | 10,671 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 554 | $ 1,331 |
Home equity lines of credit | ||
Troubled Debt Restructuring | ||
Loan count | loans | 28 | 39 |
Pre-Modification Recorded Investment | $ 2,725 | $ 3,961 |
Post Modification Recorded Investment | 2,423 | 3,891 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 364 | $ 935 |
Personal Loan | ||
Troubled Debt Restructuring | ||
Loan count | loans | 675 | 1,364 |
Pre-Modification Recorded Investment | $ 10,831 | $ 21,976 |
Post Modification Recorded Investment | 10,835 | 21,979 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 3,023 | $ 6,320 |
Auto Loan | ||
Troubled Debt Restructuring | ||
Loan count | loans | 8 | 10 |
Pre-Modification Recorded Investment | $ 121 | $ 173 |
Post Modification Recorded Investment | 128 | 152 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 21 | $ 26 |
Other | ||
Troubled Debt Restructuring | ||
Loan count | loans | 31 | 27 |
Pre-Modification Recorded Investment | $ 206 | $ 601 |
Post Modification Recorded Investment | 206 | 599 |
Increase (decrease) in the allowance for loan losses as a result of modification | $ 30 | $ 99 |
Allowance for loan losses - T D
Allowance for loan losses - T D R that subsequently defaulted (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)loans | Dec. 31, 2018USD ($)loans | |
Troubled Debt Restructuring | ||
Loan count | loans | 582 | 527 |
Recorded investment as of first default date | $ | $ 20,884 | $ 36,020 |
CRE non-owner occupied | ||
Troubled Debt Restructuring | ||
Loan count | loans | 1 | 2 |
Recorded investment as of first default date | $ | $ 47 | $ 11,245 |
CRE owner occupied | ||
Troubled Debt Restructuring | ||
Loan count | loans | 3 | 5 |
Recorded investment as of first default date | $ | $ 495 | $ 480 |
Commercial and industrial | ||
Troubled Debt Restructuring | ||
Loan count | loans | 9 | 8 |
Recorded investment as of first default date | $ | $ 7,281 | $ 7,208 |
Mortgages | ||
Troubled Debt Restructuring | ||
Loan count | loans | 63 | 161 |
Recorded investment as of first default date | $ | $ 4,424 | $ 12,362 |
Leasing | ||
Troubled Debt Restructuring | ||
Loan count | loans | 1 | |
Recorded investment as of first default date | $ | $ 22 | |
Credit cards | ||
Troubled Debt Restructuring | ||
Loan count | loans | 302 | 236 |
Recorded investment as of first default date | $ | $ 2,808 | $ 2,098 |
Home equity lines of credit | ||
Troubled Debt Restructuring | ||
Loan count | loans | 1 | 2 |
Recorded investment as of first default date | $ | $ 135 | $ 205 |
Personal Loan | ||
Troubled Debt Restructuring | ||
Loan count | loans | 197 | 107 |
Recorded investment as of first default date | $ | $ 5,640 | $ 2,300 |
Auto Loan | ||
Troubled Debt Restructuring | ||
Loan count | loans | 2 | 5 |
Recorded investment as of first default date | $ | $ 24 | $ 115 |
Other | ||
Troubled Debt Restructuring | ||
Loan count | loans | 3 | 1 |
Recorded investment as of first default date | $ | $ 8 | $ 7 |
Allowance for loan losses - Cre
Allowance for loan losses - Credit quality indicators of non-covered loans held-in-portfolio based obligor risk ratings (Details) $ in Thousands | Dec. 31, 2019USD ($)units | Dec. 31, 2018USD ($)units |
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 27,406,873 | $ 26,507,889 |
Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,511,493 | 1,723,446 |
Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 591,291 | 625,681 |
Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 996,694 | 1,236,355 |
Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,067 | 2,255 |
Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 8,842 | 12,049 |
Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,113,387 | 3,599,786 |
Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 24,293,486 | 22,908,103 |
Commercial multi-family | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,795,159 | 1,547,168 |
Commercial multi-family | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 49,700 | 87,535 |
Commercial multi-family | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 17,697 | 11,671 |
Commercial multi-family | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 10,226 | 10,569 |
Commercial multi-family | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Commercial multi-family | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Commercial multi-family | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 77,623 | 109,775 |
Commercial multi-family | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,717,536 | 1,437,393 |
CRE non-owner occupied | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,978,514 | 4,204,345 |
CRE non-owner occupied | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 572,965 | 623,141 |
CRE non-owner occupied | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 191,193 | 243,012 |
CRE non-owner occupied | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 340,106 | 389,517 |
CRE non-owner occupied | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,290 | 0 |
CRE non-owner occupied | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
CRE non-owner occupied | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,107,554 | 1,255,670 |
CRE non-owner occupied | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,870,960 | 2,948,675 |
CRE owner occupied | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,925,464 | 2,021,192 |
CRE owner occupied | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 220,193 | 311,891 |
CRE owner occupied | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 190,387 | 198,473 |
CRE owner occupied | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 197,203 | 293,862 |
CRE owner occupied | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,629 | 2,078 |
CRE owner occupied | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
CRE owner occupied | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 609,412 | 806,304 |
CRE owner occupied | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,316,052 | 1,214,888 |
Commercial and industrial | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 4,613,614 | 4,270,314 |
Commercial and industrial | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 618,540 | 660,917 |
Commercial and industrial | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 171,643 | 131,725 |
Commercial and industrial | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 151,258 | 232,974 |
Commercial and industrial | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 148 | 177 |
Commercial and industrial | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 16 | 73 |
Commercial and industrial | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 941,605 | 1,025,866 |
Commercial and industrial | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,672,009 | 3,244,448 |
Commercial | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 12,312,751 | 12,043,019 |
Commercial | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,461,398 | 1,683,484 |
Commercial | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 570,920 | 584,881 |
Commercial | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 698,793 | 926,922 |
Commercial | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,067 | 2,255 |
Commercial | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 16 | 73 |
Commercial | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,736,194 | 3,197,615 |
Commercial | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 9,576,557 | 8,845,404 |
Construction | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 831,092 | 779,449 |
Construction | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 46,984 | 35,522 |
Construction | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 17,940 | 38,375 |
Construction | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 65,569 | 59,793 |
Construction | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Construction | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Construction | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 130,493 | 133,690 |
Construction | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 700,599 | 645,759 |
Mortgages | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 7,183,532 | 7,235,258 |
Mortgages | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,187 | 3,057 |
Mortgages | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,218 | 2,182 |
Mortgages | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 138,712 | 165,538 |
Mortgages | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Mortgages | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Mortgages | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 143,117 | 170,777 |
Mortgages | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 7,040,415 | 7,064,481 |
Legacy | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 22,105 | 25,949 |
Legacy | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 388 | 534 |
Legacy | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 202 | 224 |
Legacy | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,528 | 2,409 |
Legacy | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Legacy | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Legacy | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,118 | 3,167 |
Legacy | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,987 | 22,782 |
Leasing | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,059,507 | 934,773 |
Leasing | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Leasing | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Leasing | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,590 | 3,301 |
Leasing | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Leasing | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 68 | 12 |
Leasing | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,658 | 3,313 |
Leasing | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,055,849 | 931,460 |
Consumer | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,997,886 | 5,489,441 |
Consumer | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 536 | 849 |
Consumer | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 11 | 19 |
Consumer | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 88,502 | 78,392 |
Consumer | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Consumer | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 8,758 | 11,964 |
Consumer | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 97,807 | 91,224 |
Consumer | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,900,079 | 5,398,217 |
Credit cards | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,123,836 | 1,047,311 |
Credit cards | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Credit cards | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Credit cards | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,461 | 16,035 |
Credit cards | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Credit cards | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Credit cards | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,461 | 16,035 |
Credit cards | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,104,375 | 1,031,276 |
Home equity lines of credit | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 122,381 | 148,403 |
Home equity lines of credit | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Home equity lines of credit | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Home equity lines of credit | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,024 | 2,780 |
Home equity lines of credit | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Home equity lines of credit | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 7,930 | 10,964 |
Home equity lines of credit | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 9,954 | 13,744 |
Home equity lines of credit | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 112,427 | 134,659 |
Personal Loan | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,692,590 | 1,539,974 |
Personal Loan | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 77 | 849 |
Personal Loan | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 19 |
Personal Loan | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 21,222 | 20,737 |
Personal Loan | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Personal Loan | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 403 | 701 |
Personal Loan | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 21,702 | 22,306 |
Personal Loan | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,670,888 | 1,517,668 |
Auto Loan | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,917,522 | 2,608,785 |
Auto Loan | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Auto Loan | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Auto Loan | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 30,775 | 24,093 |
Auto Loan | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Auto Loan | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 372 | 84 |
Auto Loan | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 31,147 | 24,177 |
Auto Loan | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,886,375 | 2,584,608 |
Other | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 141,557 | 144,968 |
Other | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 459 | 0 |
Other | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 11 | 0 |
Other | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 15,020 | 14,747 |
Other | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
Other | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 53 | 215 |
Other | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 15,543 | 14,962 |
Other | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 126,014 | 130,006 |
PUERTO RICO | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 20,180,232 | 19,883,472 |
PUERTO RICO | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,282,517 | 1,393,761 |
PUERTO RICO | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 528,419 | 545,707 |
PUERTO RICO | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 792,286 | 1,027,993 |
PUERTO RICO | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,067 | 2,255 |
PUERTO RICO | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 509 | 384 |
PUERTO RICO | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,608,798 | 2,970,100 |
PUERTO RICO | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 17,571,434 | 16,913,372 |
PUERTO RICO | Commercial multi-family | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 147,849 | 145,628 |
PUERTO RICO | Commercial multi-family | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,341 | 1,634 |
PUERTO RICO | Commercial multi-family | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,870 | 4,548 |
PUERTO RICO | Commercial multi-family | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,793 | $ 3,590 |
Weighted average obligor risk rating | units | 11.82 | 11.20 |
PUERTO RICO | Commercial multi-family | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
PUERTO RICO | Commercial multi-family | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Commercial multi-family | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 7,004 | 9,772 |
PUERTO RICO | Commercial multi-family | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 140,845 | $ 135,856 |
Weighted average obligor risk rating | units | 6.02 | 6.02 |
PUERTO RICO | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 2,108,218 | $ 2,322,601 |
PUERTO RICO | CRE non-owner occupied | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 492,357 | 470,506 |
PUERTO RICO | CRE non-owner occupied | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 166,810 | 233,173 |
PUERTO RICO | CRE non-owner occupied | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 239,448 | $ 342,962 |
Weighted average obligor risk rating | units | 11.17 | 11.11 |
PUERTO RICO | CRE non-owner occupied | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 3,290 | $ 0 |
PUERTO RICO | CRE non-owner occupied | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | CRE non-owner occupied | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 901,905 | 1,046,641 |
PUERTO RICO | CRE non-owner occupied | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,206,313 | $ 1,275,960 |
Weighted average obligor risk rating | units | 6.77 | 6.93 |
PUERTO RICO | CRE owner occupied | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,586,329 | $ 1,722,253 |
PUERTO RICO | CRE owner occupied | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 192,895 | 262,476 |
PUERTO RICO | CRE owner occupied | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 184,678 | 174,510 |
PUERTO RICO | CRE owner occupied | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 183,377 | $ 291,468 |
Weighted average obligor risk rating | units | 11.36 | 11.29 |
PUERTO RICO | CRE owner occupied | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,629 | $ 2,078 |
PUERTO RICO | CRE owner occupied | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | CRE owner occupied | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 562,579 | 730,532 |
PUERTO RICO | CRE owner occupied | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,023,750 | $ 991,721 |
Weighted average obligor risk rating | units | 7.30 | 7.25 |
PUERTO RICO | Commercial and industrial | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 3,418,734 | $ 3,182,161 |
PUERTO RICO | Commercial and industrial | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 592,861 | 655,092 |
PUERTO RICO | Commercial and industrial | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 170,183 | 130,641 |
PUERTO RICO | Commercial and industrial | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 130,872 | $ 156,515 |
Weighted average obligor risk rating | units | 11.26 | 11.33 |
PUERTO RICO | Commercial and industrial | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 148 | $ 177 |
PUERTO RICO | Commercial and industrial | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 16 | 73 |
PUERTO RICO | Commercial and industrial | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 894,080 | 942,498 |
PUERTO RICO | Commercial and industrial | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 2,524,654 | $ 2,239,663 |
Weighted average obligor risk rating | units | 7.20 | 7.15 |
PUERTO RICO | Commercial | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 7,261,130 | $ 7,372,643 |
PUERTO RICO | Commercial | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,279,454 | 1,389,708 |
PUERTO RICO | Commercial | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 525,541 | 542,872 |
PUERTO RICO | Commercial | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 555,490 | $ 794,535 |
Weighted average obligor risk rating | units | 11.25 | 11.22 |
PUERTO RICO | Commercial | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 5,067 | $ 2,255 |
PUERTO RICO | Commercial | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 16 | 73 |
PUERTO RICO | Commercial | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,365,568 | 2,729,443 |
PUERTO RICO | Commercial | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 4,895,562 | $ 4,643,200 |
Weighted average obligor risk rating | units | 7.10 | 7.09 |
PUERTO RICO | Construction | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 137,470 | $ 85,955 |
PUERTO RICO | Construction | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 340 | 147 |
PUERTO RICO | Construction | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 649 | 634 |
PUERTO RICO | Construction | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 20,771 | $ 1,788 |
Weighted average obligor risk rating | units | 11.01 | 12 |
PUERTO RICO | Construction | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
PUERTO RICO | Construction | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Construction | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 21,760 | 2,569 |
PUERTO RICO | Construction | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 115,710 | $ 83,386 |
Weighted average obligor risk rating | units | 7.85 | 7.64 |
PUERTO RICO | Mortgages | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 6,166,748 | $ 6,433,323 |
PUERTO RICO | Mortgages | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,187 | 3,057 |
PUERTO RICO | Mortgages | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,218 | 2,182 |
PUERTO RICO | Mortgages | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 127,621 | 154,506 |
PUERTO RICO | Mortgages | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Mortgages | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Mortgages | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 132,026 | 159,745 |
PUERTO RICO | Mortgages | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 6,034,722 | 6,273,578 |
PUERTO RICO | Leasing | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,059,507 | 934,773 |
PUERTO RICO | Leasing | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Leasing | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Leasing | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,590 | 3,301 |
PUERTO RICO | Leasing | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Leasing | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 68 | 12 |
PUERTO RICO | Leasing | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,658 | 3,313 |
PUERTO RICO | Leasing | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,055,849 | 931,460 |
PUERTO RICO | Consumer | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,555,377 | 5,056,778 |
PUERTO RICO | Consumer | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 536 | 849 |
PUERTO RICO | Consumer | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 11 | 19 |
PUERTO RICO | Consumer | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 84,814 | 73,863 |
PUERTO RICO | Consumer | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Consumer | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 425 | 299 |
PUERTO RICO | Consumer | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 85,786 | 75,030 |
PUERTO RICO | Consumer | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,469,591 | 4,981,748 |
PUERTO RICO | Credit cards | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,123,800 | 1,047,273 |
PUERTO RICO | Credit cards | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Credit cards | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Credit cards | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,461 | 16,035 |
PUERTO RICO | Credit cards | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Credit cards | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Credit cards | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,461 | 16,035 |
PUERTO RICO | Credit cards | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,104,339 | 1,031,238 |
PUERTO RICO | Home equity lines of credit | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,038 | 5,351 |
PUERTO RICO | Home equity lines of credit | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Home equity lines of credit | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Home equity lines of credit | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 165 |
PUERTO RICO | Home equity lines of credit | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Home equity lines of credit | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Home equity lines of credit | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 165 |
PUERTO RICO | Home equity lines of credit | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,038 | 5,186 |
PUERTO RICO | Personal Loan | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,368,150 | 1,250,625 |
PUERTO RICO | Personal Loan | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 77 | 849 |
PUERTO RICO | Personal Loan | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 19 |
PUERTO RICO | Personal Loan | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,558 | 18,827 |
PUERTO RICO | Personal Loan | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Personal Loan | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Personal Loan | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 19,635 | 19,695 |
PUERTO RICO | Personal Loan | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,348,515 | 1,230,930 |
PUERTO RICO | Auto Loan | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,917,522 | 2,608,785 |
PUERTO RICO | Auto Loan | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Auto Loan | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Auto Loan | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 30,775 | 24,093 |
PUERTO RICO | Auto Loan | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Auto Loan | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 372 | 84 |
PUERTO RICO | Auto Loan | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 31,147 | 24,177 |
PUERTO RICO | Auto Loan | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,886,375 | 2,584,608 |
PUERTO RICO | Other | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 140,867 | 144,744 |
PUERTO RICO | Other | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 459 | 0 |
PUERTO RICO | Other | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 11 | 0 |
PUERTO RICO | Other | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 15,020 | 14,743 |
PUERTO RICO | Other | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
PUERTO RICO | Other | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 53 | 215 |
PUERTO RICO | Other | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 15,543 | 14,958 |
PUERTO RICO | Other | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 125,324 | 129,786 |
UNITED STATES | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 7,226,641 | 6,624,417 |
UNITED STATES | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 228,976 | 329,685 |
UNITED STATES | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 62,872 | 79,974 |
UNITED STATES | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 204,408 | 208,362 |
UNITED STATES | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 8,333 | 11,665 |
UNITED STATES | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 504,589 | 629,686 |
UNITED STATES | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 6,722,052 | 5,994,731 |
UNITED STATES | Commercial multi-family | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,647,310 | 1,401,540 |
UNITED STATES | Commercial multi-family | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 48,359 | 85,901 |
UNITED STATES | Commercial multi-family | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 13,827 | 7,123 |
UNITED STATES | Commercial multi-family | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 8,433 | $ 6,979 |
Weighted average obligor risk rating | units | 11.25 | 11 |
UNITED STATES | Commercial multi-family | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | Commercial multi-family | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Commercial multi-family | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 70,619 | 100,003 |
UNITED STATES | Commercial multi-family | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,576,691 | $ 1,301,537 |
Weighted average obligor risk rating | units | 7.37 | 7.39 |
UNITED STATES | CRE non-owner occupied | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,870,296 | $ 1,881,744 |
UNITED STATES | CRE non-owner occupied | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 80,608 | 152,635 |
UNITED STATES | CRE non-owner occupied | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 24,383 | 9,839 |
UNITED STATES | CRE non-owner occupied | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 100,658 | $ 46,555 |
Weighted average obligor risk rating | units | 11 | 11.01 |
UNITED STATES | CRE non-owner occupied | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | CRE non-owner occupied | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | CRE non-owner occupied | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 205,649 | 209,029 |
UNITED STATES | CRE non-owner occupied | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,664,647 | $ 1,672,715 |
Weighted average obligor risk rating | units | 6.94 | 6.82 |
UNITED STATES | CRE owner occupied | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 339,135 | $ 298,939 |
UNITED STATES | CRE owner occupied | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 27,298 | 49,415 |
UNITED STATES | CRE owner occupied | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 5,709 | 23,963 |
UNITED STATES | CRE owner occupied | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 13,826 | $ 2,394 |
Weighted average obligor risk rating | units | 11.02 | 11.16 |
UNITED STATES | CRE owner occupied | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | CRE owner occupied | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | CRE owner occupied | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 46,833 | 75,772 |
UNITED STATES | CRE owner occupied | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 292,302 | $ 223,167 |
Weighted average obligor risk rating | units | 7.48 | 7.55 |
UNITED STATES | Commercial and industrial | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,194,880 | $ 1,088,153 |
UNITED STATES | Commercial and industrial | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 25,679 | 5,825 |
UNITED STATES | Commercial and industrial | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,460 | 1,084 |
UNITED STATES | Commercial and industrial | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 20,386 | $ 76,459 |
Weighted average obligor risk rating | units | 11.01 | 11.96 |
UNITED STATES | Commercial and industrial | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | Commercial and industrial | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Commercial and industrial | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 47,525 | 83,368 |
UNITED STATES | Commercial and industrial | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,147,355 | $ 1,004,785 |
Weighted average obligor risk rating | units | 6.63 | 7.26 |
UNITED STATES | Commercial | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 5,051,621 | $ 4,670,376 |
UNITED STATES | Commercial | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 181,944 | 293,776 |
UNITED STATES | Commercial | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 45,379 | 42,009 |
UNITED STATES | Commercial | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 143,303 | $ 132,387 |
Weighted average obligor risk rating | units | 11.02 | 11.56 |
UNITED STATES | Commercial | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | Commercial | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Commercial | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 370,626 | 468,172 |
UNITED STATES | Commercial | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 4,680,995 | $ 4,202,204 |
Weighted average obligor risk rating | units | 7.04 | 7.14 |
UNITED STATES | Construction | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 693,622 | $ 693,494 |
UNITED STATES | Construction | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 46,644 | 35,375 |
UNITED STATES | Construction | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 17,291 | 37,741 |
UNITED STATES | Construction | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 44,798 | $ 58,005 |
Weighted average obligor risk rating | units | 11 | 11.21 |
UNITED STATES | Construction | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | Construction | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Construction | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 108,733 | 131,121 |
UNITED STATES | Construction | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 584,889 | $ 562,373 |
Weighted average obligor risk rating | units | 7.74 | 7.85 |
UNITED STATES | Mortgages | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,016,784 | $ 801,935 |
UNITED STATES | Mortgages | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Mortgages | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Mortgages | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 11,091 | 11,032 |
UNITED STATES | Mortgages | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Mortgages | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Mortgages | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 11,091 | 11,032 |
UNITED STATES | Mortgages | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,005,693 | 790,903 |
UNITED STATES | Legacy | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 22,105 | 25,949 |
UNITED STATES | Legacy | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 388 | 534 |
UNITED STATES | Legacy | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 202 | 224 |
UNITED STATES | Legacy | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 1,528 | $ 2,409 |
Weighted average obligor risk rating | units | 11.25 | 11.17 |
UNITED STATES | Legacy | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 0 | $ 0 |
UNITED STATES | Legacy | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Legacy | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,118 | 3,167 |
UNITED STATES | Legacy | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 19,987 | $ 22,782 |
Weighted average obligor risk rating | units | 7.95 | 7.94 |
UNITED STATES | Consumer | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 442,509 | $ 432,663 |
UNITED STATES | Consumer | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Consumer | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Consumer | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 3,688 | 4,529 |
UNITED STATES | Consumer | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Consumer | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 8,333 | 11,665 |
UNITED STATES | Consumer | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 12,021 | 16,194 |
UNITED STATES | Consumer | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 430,488 | 416,469 |
UNITED STATES | Credit cards | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 36 | 38 |
UNITED STATES | Credit cards | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Credit cards | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Credit cards | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Credit cards | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Credit cards | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Credit cards | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Credit cards | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 36 | 38 |
UNITED STATES | Home equity lines of credit | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 117,343 | 143,052 |
UNITED STATES | Home equity lines of credit | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Home equity lines of credit | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Home equity lines of credit | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,024 | 2,615 |
UNITED STATES | Home equity lines of credit | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Home equity lines of credit | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 7,930 | 10,964 |
UNITED STATES | Home equity lines of credit | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 9,954 | 13,579 |
UNITED STATES | Home equity lines of credit | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 107,389 | 129,473 |
UNITED STATES | Personal Loan | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 324,440 | 289,349 |
UNITED STATES | Personal Loan | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Personal Loan | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Personal Loan | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 1,664 | 1,910 |
UNITED STATES | Personal Loan | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Personal Loan | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 403 | 701 |
UNITED STATES | Personal Loan | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 2,067 | 2,611 |
UNITED STATES | Personal Loan | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 322,373 | 286,738 |
UNITED STATES | Other | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 690 | 224 |
UNITED STATES | Other | Watch | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Other | Special Mention | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Other | Substandard | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 4 |
UNITED STATES | Other | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Other | Loss | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 0 |
UNITED STATES | Other | Sub-total | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | 0 | 4 |
UNITED STATES | Other | Pass / Unrated | ||
Financing Receivable, Recorded Investment | ||
Loans held-in-portfolio, net of unearned income | $ 690 | $ 220 |
Allowance for loan losses - A_2
Allowance for loan losses - Allowance for loan losses - Additional Information (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)loans | Dec. 31, 2018USD ($)loans | |
Financing Receivable | ||
Loan count | loans | 582 | 527 |
Note A / B Split | ||
Financing Receivable | ||
Aggregated unpaid principal balance | $ 9,100,000 | |
Loans restructuring charge offs | $ 0 | |
Loan count | loans | 4 | |
PB | ||
Financing Receivable | ||
Change Allowance For Loan Losses Recalibration And Updates Of The Enviromental Factors Adjustments | $ 4,600,000 | |
Non Covered Loans | ||
Financing Receivable | ||
Troubled debt restructurings | 1,587,684,000 | $ 1,515,889,000 |
Aggregated unpaid principal balance | $ 1,223,205,000 | $ 1,245,816,000 |
Non Covered Loans | Banco Popular de Puerto Rico | ||
Financing Receivable | ||
Recent Loss Trend Adjustment Percentage | 25.00% | 26.00% |
Non Covered Loans | PB | ||
Financing Receivable | ||
Recent Loss Trend Adjustment Percentage | 21.00% | 28.00% |
Mortgages | Non Covered Loans | ||
Financing Receivable | ||
Troubled debt restructurings | $ 1,139,597,000 | $ 1,042,470,000 |
Aggregated unpaid principal balance | 624,368,000 | 605,120,000 |
Mortgages | Non Covered Loans | Guaranteed by us sponsored entities | ||
Financing Receivable | ||
Troubled debt restructurings | 625,000,000 | 543,000,000 |
Commercial | Non Covered Loans | ||
Financing Receivable | ||
Troubled debt restructurings | 349,448,000 | 360,679,000 |
Loan | Commercial | ||
Financing Receivable | ||
Outstanding commitments to lend additional funds to debtors owing receivables whose terms have been modified in troubled debt restructurings | $ 14,000,000 | $ 16,000,000 |
FDIC loss-share asset and true-
FDIC loss-share asset and true-up payment obligation - Activity in the FDIC loss share indemnification asset (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2018 | |
FDIC Indemnification Asset [Roll Forward] | |||
Beginning Balance | $ 46,316 | $ 69,334 | |
FDIC loss-sharing termination agreement | (45,659) | 0 | |
Amortization | (934) | (469) | |
Credit impairment losses to be covered under loss sharing agreements | 104 | 3,136 | |
Reimbursable expenses | 537 | 2,454 | |
Net payment from FDIC under loss-sharing agreements | (364) | (22,589) | |
Other adjustments attributable to FDIC loss sharing agreements | 0 | (5,550) | |
Ending Balance | 0 | 46,316 | |
Balance due to the FDIC for recoveries on covered assets | 0 | (1,124) | |
FDIC loss-share asset net | $ 0 | $ 45,192 | $ 44,500 |
FDIC loss-share asset and tru_2
FDIC loss-share asset and true-up payment obligation - FDIC loss share - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
May 22, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition, Contingent Consideration | |||||
OREO transfer to non-covered status | $ 0 | ||||
Payment to the FDIC as a consideration for the termination of the loss share agreement. | $ 23,700 | ||||
Carrying amount (fair value) | $ 171,000 | ||||
FDIC loss-share asset net | 44,500 | 0 | $ 45,192 | ||
Gain from the FDIC termination agreement | $ 0 | 102,752 | $ 0 | ||
FDIC | |||||
Business Acquisition, Contingent Consideration | |||||
Loss Sharing Agreement Allocation Percentage | 80.00% | ||||
Non-covered loans | Mortgages | |||||
Business Acquisition, Contingent Consideration | |||||
OREO transfer to non-covered status | 15,300 | $ 15,333 | |||
Loans transfer to non-covered status | $ 514,600 | ||||
Banco Popular de Puerto Rico | |||||
Business Acquisition, Contingent Consideration | |||||
Loss Sharing Agreement Allocation Percentage | 80.00% |
Mortgage banking activities (De
Mortgage banking activities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Mortgage servicing rights fair value adjustments | $ (27,771) | $ (8,477) | $ (36,519) |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 0 | 33 | (420) |
Total trading account (loss) profit | 994 | (208) | (817) |
Total mortgage banking activities | 32,093 | 52,802 | 25,496 |
Mortgage banking activities | |||
Mortgage servicing fees | 46,952 | 49,532 | 48,300 |
Mortgage servicing rights fair value adjustments | (27,430) | (8,477) | (36,519) |
Total mortgage servicing fees, net of fair value adjustments | 19,522 | 41,055 | 11,781 |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 18,817 | 9,424 | 17,088 |
Unrealized (losses) gains on outstanding derivative positions | 0 | (253) | 184 |
Realized (losses) gains on closed derivative positions | (6,246) | 2,576 | (3,557) |
Total trading account (loss) profit | (6,246) | 2,323 | (3,373) |
Total mortgage banking activities | $ 32,093 | $ 52,802 | $ 25,496 |
Transfers of financial assets_3
Transfers of financial assets and servicing assets - Initial fair value of assets obtained as proceeds from residential mortgage loans securitized (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | $ 466,943 | $ 516,022 |
GNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 347,000 | 111,000 |
FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 413,000 | 94,000 |
Trading account debt securities | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 458,758 | 494,820 |
Trading account debt securities | GNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 347,396 | 412,500 |
Trading account debt securities | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 111,362 | 82,320 |
Mortgage Servicing Rights | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 8,185 | 9,337 |
Debt securities available-for-sale | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 11,865 | |
Debt securities available-for-sale | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 11,865 | |
Level 1 | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 1 | Trading account debt securities | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 1 | Trading account debt securities | GNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 1 | Trading account debt securities | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 1 | Mortgage Servicing Rights | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 1 | Debt securities available-for-sale | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | |
Level 1 | Debt securities available-for-sale | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | |
Level 2 | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 458,758 | 506,685 |
Level 2 | Trading account debt securities | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 458,758 | 494,820 |
Level 2 | Trading account debt securities | GNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 347,396 | 412,500 |
Level 2 | Trading account debt securities | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 111,362 | 82,320 |
Level 2 | Mortgage Servicing Rights | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 2 | Debt securities available-for-sale | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 11,865 | |
Level 2 | Debt securities available-for-sale | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 11,865 | |
Level 3 | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 8,185 | 9,337 |
Level 3 | Trading account debt securities | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 3 | Trading account debt securities | GNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 3 | Trading account debt securities | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | 0 |
Level 3 | Mortgage Servicing Rights | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | $ 8,185 | 9,337 |
Level 3 | Debt securities available-for-sale | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | 0 | |
Level 3 | Debt securities available-for-sale | FNMA | ||
Assets | ||
Initial fair value of the assets obtained as proceeds from residential mortgage loans securitized | $ 0 |
Transfers of financial assets_4
Transfers of financial assets and servicing assets - Changes in MSRs measured using the fair value method (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Transfers and Servicing of Financial Assets | ||
Fair value at beginning of period | $ 169,777 | $ 168,031 |
Additions | 9,143 | 10,223 |
Changes due to payments of loans | (11,549) | (13,459) |
Reduction due to loan repurchases | (1,777) | (3,721) |
Changes in fair value due to changes in valuation model inputs or assumptions | (14,190) | 8,703 |
Other disposals | (498) | 0 |
Fair value at end of period | $ 150,906 | $ 169,777 |
Transfers of financial assets_5
Transfers of financial assets and servicing assets - Key economic assumptions used (Details) - Residential Mortgage | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement | ||
Prepayment speed | 7.00% | 5.00% |
Weighted average life | 9 years 6 months | 10 years 9 months 18 days |
Discount rate (annual rate) | 10.90% | 11.00% |
Transfers of financial assets_6
Transfers of financial assets and servicing assets - Fair value of purchased and originated MSRs, valuation assumptions and sensitivity (Details) - Residential Mortgage - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Transfers of financial assets | ||
Weighted average life | 9 years 6 months | 10 years 9 months 18 days |
Prepayment speed | 7.00% | 5.00% |
Originated MSRs | ||
Transfers of financial assets | ||
Fair value of servicing rights | $ 58,842 | $ 69,400 |
Weighted average life | 6 years 8 months 12 days | 7 years 1 month 6 days |
Prepayment speed | 5.70% | 5.10% |
Impact on fair value of 10% adverse change | $ (1,303) | $ (1,430) |
Impact on fair value of 20% adverse change | $ (2,568) | $ (2,817) |
Discount rate | 11.40% | 11.50% |
Impact on fair value of 10% adverse change | $ (2,381) | $ (3,125) |
Impact on fair value of 20% adverse change | (4,596) | (6,019) |
Purchased MSRs | ||
Transfers of financial assets | ||
Fair value of servicing rights | $ 92,064 | $ 100,377 |
Weighted average life | 6 years 3 months 18 days | 6 years 7 months 6 days |
Prepayment speed | 6.20% | 5.50% |
Impact on fair value of 10% adverse change | $ (2,306) | $ (2,200) |
Impact on fair value of 20% adverse change | $ (4,525) | $ (4,328) |
Discount rate | 11.00% | 11.00% |
Impact on fair value of 10% adverse change | $ (3,603) | $ (4,354) |
Impact on fair value of 20% adverse change | $ (6,959) | $ (8,394) |
Transfers of financial assets_7
Transfers of financial assets and servicing assets - Quantitative and qualitative information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Commercial | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | $ 12,312,751 | $ 12,043,019 |
Principal amount 60 days or more past due | 200,568 | 290,759 |
Net credit losses (recoveries) | 66,119 | 85,715 |
Construction | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 831,092 | 779,449 |
Principal amount 60 days or more past due | 145 | 13,848 |
Net credit losses (recoveries) | (898) | 4,452 |
Legacy | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 22,105 | 25,949 |
Principal amount 60 days or more past due | 2,007 | 3,072 |
Net credit losses (recoveries) | (1,399) | (2,032) |
Leasing | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 1,059,507 | 934,773 |
Principal amount 60 days or more past due | 6,710 | 5,140 |
Net credit losses (recoveries) | 9,337 | 6,030 |
Mortgages | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 8,404,911 | 8,620,667 |
Principal amount 60 days or more past due | 1,071,537 | 1,315,384 |
Net credit losses (recoveries) | 40,644 | 66,209 |
Consumer | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 5,997,886 | 5,489,441 |
Principal amount 60 days or more past due | 140,928 | 117,775 |
Net credit losses (recoveries) | 142,470 | 122,170 |
Loans Securitized Sold | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 1,162,176 | 1,333,987 |
Principal amount 60 days or more past due | 72,574 | 129,443 |
Net credit losses (recoveries) | (1,146) | 394 |
Loans Held-for-Sale | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 59,203 | 51,422 |
Principal amount 60 days or more past due | 0 | 0 |
Net credit losses (recoveries) | 0 | 0 |
Loans Held In Portfolio | ||
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ||
Total principal amount of loans, net of unearned | 27,406,873 | 26,507,889 |
Principal amount 60 days or more past due | 1,349,321 | 1,616,535 |
Net credit losses (recoveries) | $ 257,419 | $ 282,150 |
Transfers of financial assets_8
Transfers of financial assets and servicing assets - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Servicing rights on whole loan sales, principal balance | $ 63,000,000 | $ 57,000,000 |
Securitization Financial Asset For Which Transfer Is Accounted As Sale Gain Loss On Sale | $ 1,600,000 | $ 800,000 |
Weighted average mortgage servicing fees | 30.00% | 30.00% |
Mortgage loans related to buy-back option program | $ 27,587,856,000 | $ 26,663,713,000 |
Transfers Of Financial Assets Accounted For As Sale Initial Fair Value Of Liabilities Incurred | $ 0 | 0 |
Sensitivity Analysis Of Fair Value Of Interests Continued To Be Held By Transfer or Servicing Assets Or Liabilities Description Of Objectives Methodology And Limitations | The sensitivity analyses presented in the tables above for servicing rights are hypothetical and should be used with caution. As the figures indicate, changes in fair value based on a 10 and 20 percent variation in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in the sensitivity tables included herein, the effect of a variation in a particular assumption on the fair value of the retained interest is calculated without changing any other assumption. In reality, changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments and increased credit losses), which might magnify or counteract the sensitivities. | |
Loans with Recourse | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Loans serviced | $ 1,200,000,000 | 1,300,000,000 |
Buy back option program | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Mortgage loans related to buy-back option program | 103,000,000 | 134,000,000 |
Repurchased Loans | 104,000,000 | 321,000,000 |
Residential Mortgage | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Securitization Financial Asset For Which Transfer Is Accounted As Sale Gain Loss On Sale | 17,200,000 | 8,900,000 |
Serviced Mortgage Loans | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Loans serviced | 14,800,000,000 | 15,700,000,000 |
Serviced Mortgage Loans | Loans with Recourse | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Repurchased Loans | $ 57,000,000 | $ 27,000,000 |
Premises and equipment (Detail)
Premises and equipment (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment | ||
Property, Plant and Equipment, Gross | $ 991,068 | $ 936,951 |
Less - Accumulated depreciation and amortization | 561,742 | 533,930 |
Subtotal | 429,326 | 403,021 |
Construction in progress | 12,843 | 32,334 |
Premises and equipment, net | 556,650 | 555,874 |
Total premises and equipment, net | 556,650 | 569,808 |
Land | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Gross | 114,481 | 120,519 |
Building | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Gross | $ 535,602 | 515,985 |
Building | Maximum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 50 years | |
Building | Minimum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Equipment | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Gross | $ 362,543 | 336,722 |
Equipment | Maximum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Equipment | Minimum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 2 years | |
Leasehold improvements | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Gross | $ 92,923 | 84,244 |
Leasehold improvements | Maximum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Leasehold improvements | Minimum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Buildings under capital leases | ||
Property, Plant and Equipment | ||
Other premises and equipment | $ 0 | 28,264 |
Less - Accumulated amortization | 0 | 14,330 |
Other premises and equipment, net | $ 0 | $ 13,934 |
Buildings under capital leases | Maximum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 20 years | |
Buildings under capital leases | Minimum | ||
Property, Plant and Equipment | ||
Property, Plant and Equipment, Useful Life | 7 years |
Premises and equipment - Additi
Premises and equipment - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Premises And Equipmen Additional Information [Abstract] | |||
Depreciation, Depletion and Amortization | $ 58.1 | $ 52.5 | $ 47.1 |
Occupancy Expense | 27.3 | 24.3 | 22.4 |
Equipment Communications And Other Operating Expenses | 30.8 | 28.2 | 24.7 |
Rental Income | $ 19.3 | $ 28.2 | $ 26.6 |
Other Real Estate Owned (Detail
Other Real Estate Owned (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other Real Estate Owned Rollforward | ||||
Balance at beginning of the period | $ 188,855 | $ 136,705 | $ 188,855 | $ 212,573 |
Write-downs in value | (6,125) | (13,641) | (25,198) | |
Additions | 69,431 | 51,855 | 89,593 | |
Sales | (77,029) | (89,720) | (87,183) | |
Other adjustments | (910) | (644) | (930) | |
Transfer to non-covered status | 0 | |||
Ending balance | 122,072 | 136,705 | 188,855 | |
Non-covered loans | Mortgages | ||||
Other Real Estate Owned Rollforward | ||||
Balance at beginning of the period | 147,849 | 114,911 | 147,849 | 160,044 |
Write-downs in value | (4,541) | (10,380) | (16,876) | |
Additions | 62,630 | 41,167 | 70,763 | |
Sales | (67,137) | (78,330) | (68,145) | |
Other adjustments | (750) | (728) | 2,063 | |
Transfer to non-covered status | 15,300 | 15,333 | ||
Ending balance | 105,113 | 114,911 | 147,849 | |
Non-covered loans | Commercial / Construction | ||||
Other Real Estate Owned Rollforward | ||||
Balance at beginning of the period | 21,411 | 21,794 | 21,411 | 20,401 |
Write-downs in value | (1,584) | (2,974) | (5,011) | |
Additions | 6,801 | 10,688 | 8,918 | |
Sales | (9,892) | (8,108) | (2,765) | |
Other adjustments | (160) | 777 | (132) | |
Transfer to non-covered status | 0 | |||
Ending balance | 16,959 | 21,794 | 21,411 | |
Covered loans | Mortgages | ||||
Other Real Estate Owned Rollforward | ||||
Balance at beginning of the period | $ 19,595 | $ 0 | 19,595 | 32,128 |
Write-downs in value | (287) | (3,311) | ||
Additions | 0 | 9,912 | ||
Sales | (3,282) | (16,273) | ||
Other adjustments | (693) | (2,861) | ||
Transfer to non-covered status | (15,333) | |||
Ending balance | $ 0 | $ 19,595 |
Other Real Estate Owned - Paren
Other Real Estate Owned - Parenthetical (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other real estate owned | |||
Other Real Estate Owned Write Downs | $ 6,125 | $ 13,641 | $ 25,198 |
Hurricane | |||
Other real estate owned | |||
Other Real Estate Owned Write Downs | 2,700 | ||
Hurricane | Mortgages | |||
Other real estate owned | |||
Other Real Estate Owned Write Downs | 1,300 | ||
Hurricane | Commercial / Construction | |||
Other real estate owned | |||
Other Real Estate Owned Write Downs | $ 1,400 |
Other assets (Details)
Other assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure Abstract | ||
Net deferred tax assets (net of valuation allowance) | $ 886,353 | $ 1,049,895 |
Investments under the equity method | 237,081 | 228,072 |
Prepaid taxes | 47,226 | 33,842 |
Other prepaid expenses | 82,425 | 82,742 |
Derivative assets | 17,966 | 13,603 |
Trades receivables from brokers and counterparties | 47,049 | 40,088 |
Principal, interest and escrow servicing advances | 77,800 | 88,371 |
Guaranteed mortgage loan claims receivable | 108,946 | 59,613 |
Operating ROU assets | 149,849 | 0 |
Finance ROU assets | 12,888 | 0 |
Others | 152,032 | 117,908 |
Total other assets | $ 1,819,615 | $ 1,714,134 |
Investment in equity investee_2
Investment in equity investees (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Equity Method Investment Summarized Financial Information Income Statement Abstract | |||
Income tax expense | $ 147,181 | $ 119,579 | $ 230,830 |
Equity Method Investee | |||
Equity Method Investment Summarized Financial Information Income Statement Abstract | |||
Total revenues | 927,510 | 1,074,055 | 931,627 |
Total expenses | 677,385 | 673,632 | 663,069 |
Net income | 195,189 | 334,606 | 225,759 |
Income tax expense | 54,936 | 65,817 | $ 42,799 |
Equity Method Investment Summarized Financial Information Abstract | |||
Total assets | 7,911,752 | 8,652,539 | |
Total liabilities | $ 6,425,642 | $ 6,090,722 |
Investment in equity investee_3
Investment in equity investees - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Equity Method Investments And Joint Ventures | ||
Share of (loss) income from equity method investments | $ 43,000 | $ 38,000 |
Carrying value of equity method Investment | $ 237,081 | $ 228,072 |
Note Goodwill and other intangi
Note Goodwill and other intangible assets - Carrying amount of goodwill by reportable segments (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Goodwill | |
Beginning Balance | $ 627,294 |
Goodwill on acquisition | 60,242 |
Purchase accounting adjustments | (16,414) |
Goodwill impairment charge | 0 |
Ending Balance | 671,122 |
Banco Popular de Puerto Rico | |
Goodwill | |
Beginning Balance | 276,420 |
Goodwill on acquisition | 60,242 |
Purchase accounting adjustments | (16,414) |
Goodwill impairment charge | 0 |
Ending Balance | 320,248 |
Popular U.S. | |
Goodwill | |
Beginning Balance | 350,874 |
Goodwill on acquisition | 0 |
Purchase accounting adjustments | 0 |
Goodwill impairment charge | 0 |
Ending Balance | $ 350,874 |
Goodwill and other intangible_3
Goodwill and other intangible assets - Components of other intangible assets subject to amortization (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets | ||
Gross Amount | $ 80,621 | $ 72,627 |
Finite Lived Intangible Assets Accumulated Amortization | 58,005 | 51,958 |
Finite-Lived Intangible Assets, Net | 22,616 | 20,669 |
Core deposits | ||
Finite-Lived Intangible Assets | ||
Core deposits - Gross | 37,224 | 37,224 |
Finite Lived Intangible Assets Accumulated Amortization | 29,792 | 26,070 |
Finite-Lived Intangible Assets, Net | 7,432 | 11,154 |
Other customer relationship | ||
Finite-Lived Intangible Assets | ||
Customer relationships - Gross | 42,909 | 34,915 |
Finite Lived Intangible Assets Accumulated Amortization | 28,075 | 25,847 |
Finite-Lived Intangible Assets, Net | 14,834 | 9,068 |
Trademarks | ||
Finite-Lived Intangible Assets | ||
Gross Amount | 488 | 488 |
Finite Lived Intangible Assets Accumulated Amortization | 138 | 41 |
Finite-Lived Intangible Assets, Net | $ 350 | $ 447 |
Goodwill and other intangible_4
Goodwill and other intangible assets - Estimated amortization of the intangible assets with definite useful lives (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Goodwill and Intangible Assets Disclosure | |
Year 2020 | $ 6,369 |
Year 2021 | 3,559 |
Year 2022 | 2,683 |
Year 2023 | 2,642 |
Year 2024 | 2,355 |
Later years | $ 5,008 |
Goodwill and other intangible_5
Goodwill and other intangible assets - Gross amount of goodwill and accumulated impairment losses (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Goodwill | |||
Goodwill Gross | $ 839,334 | $ 839,334 | $ 795,506 |
Goodwill Impaired Accumulated Impairment Loss | 168,212 | 168,212 | 168,212 |
Goodwill (net amounts) | 671,122 | 671,122 | 627,294 |
Banco Popular de Puerto Rico | |||
Goodwill | |||
Goodwill Gross | 324,049 | 324,049 | 280,221 |
Goodwill Impaired Accumulated Impairment Loss | 3,801 | 3,801 | 3,801 |
Goodwill (net amounts) | 320,248 | 320,248 | 276,420 |
Popular U.S. | |||
Goodwill | |||
Goodwill Gross | 515,285 | 515,285 | 515,285 |
Goodwill Impaired Accumulated Impairment Loss | 164,411 | 164,411 | 164,411 |
Goodwill (net amounts) | $ 350,874 | $ 350,874 | $ 350,874 |
Goodwill and other intangible_6
Goodwill and other intangible assets - Additional Information (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jul. 31, 2019 | Aug. 01, 2018 | |
Goodwill and other intangible assets | |||||
Amortization Of Intangible Assets | $ 9,370,000 | $ 9,326,000 | $ 9,378,000 | ||
Goodwill on acquisition | 60,242,000 | ||||
Changes in the carrying amount of goodwill | $ 0 | 0 | |||
Minimum | |||||
Goodwill and other intangible assets | |||||
Cost of equity discount rate | 11.14% | ||||
Maximum | |||||
Goodwill and other intangible assets | |||||
Cost of equity discount rate | 12.58% | ||||
Reliable Financial Services | |||||
Goodwill and other intangible assets | |||||
Identifiable intangible assets | $ 488,000 | ||||
Goodwill on acquisition | 43,800,000 | ||||
Banco Popular de Puerto Rico | |||||
Goodwill and other intangible assets | |||||
Step 1 Fair Value Excess Over Carrying Amount | $ 1,200,000,000 | ||||
Percentage excess of fair value of reporting unit over equity value | 37.00% | ||||
Goodwill on acquisition | 60,242,000 | ||||
Popular U.S. | |||||
Goodwill and other intangible assets | |||||
Step 1 Fair Value Excess Over Carrying Amount | $ 338,000,000 | ||||
Percentage excess of fair value of reporting unit over equity value | 21.00% | ||||
Goodwill on acquisition | 0 | ||||
Banco Popular de Puerto Rico and Popular Bank | |||||
Goodwill and other intangible assets | |||||
Percentage Of Goodwill | 91.00% | ||||
Trademarks | Reliable Financial Services | |||||
Goodwill and other intangible assets | |||||
Identifiable intangible assets | 500,000 | ||||
Trademarks | E-Loan | |||||
Goodwill and other intangible assets | |||||
Identifiable intangible assets | $ 6,100,000 | 6,100,000 | |||
Customer relationship | |||||
Goodwill and other intangible assets | |||||
Finite-Lived Customer Relationships, Gross | 42,909,000 | $ 34,915,000 | |||
Identifiable intangible assets | $ 9,600,000 |
Deposits - Total interest beari
Deposits - Total interest bearing deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
Savings accounts | $ 10,618,629 | $ 9,722,824 |
NOW, money market and other interest bearing demand deposits | 16,305,007 | 13,221,415 |
Total savings, NOW, money market and other interest bearing demand deposits | 26,923,636 | 22,944,239 |
Certificates of deposit: | ||
Under $100,000 | 3,133,840 | 3,260,330 |
$100,000 and over | 4,540,957 | 4,356,434 |
Total certificates of deposit | 7,674,797 | 7,616,764 |
Total interest bearing deposits | $ 34,598,433 | $ 30,561,003 |
Deposits - Summary of certifica
Deposits - Summary of certificates of deposit by maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
2020 | $ 4,612,460 | |
2021 | 1,149,007 | |
2022 | 734,322 | |
2023 | 502,572 | |
2024 | 615,875 | |
2025 and thereafter | 60,561 | |
Total certificates of deposit | $ 7,674,797 | $ 7,616,764 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
Brokered deposits | $ 500 | $ 500 |
Overdrafts in demand deposit accounts reclassified to loans | $ 4 | $ 5 |
Borrowings - Repurchase agreeme
Borrowings - Repurchase agreements accounted for as secured borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 193,378 | $ 281,529 |
Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 193,378 | $ 281,529 |
Repurchase liability weighted average interest rate | 2.46% | 2.43% |
US Treasury Securities | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 191,245 | $ 237,621 |
Repurchase liability weighted average interest rate | 2.49% | 2.54% |
US Treasury Securities | Within 30 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 88,646 | $ 138,689 |
Repurchase liability weighted average interest rate | 2.59% | 2.56% |
US Treasury Securities | After 30 to 90 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 78,061 | $ 79,374 |
Repurchase liability weighted average interest rate | 2.36% | 2.47% |
US Treasury Securities | After 90 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 24,538 | $ 19,558 |
Repurchase liability weighted average interest rate | 2.52% | 2.72% |
Obligations of U.S. Government sponsored entities | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 0 | $ 6,055 |
Repurchase liability weighted average interest rate | 0.00% | 2.45% |
Obligations of U.S. Government sponsored entities | After 30 to 90 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 0 | $ 6,055 |
Repurchase liability weighted average interest rate | 0.00% | 2.45% |
Mortgage Backed Securities | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 1,235 | $ 27,324 |
Repurchase liability weighted average interest rate | 0.30% | 2.35% |
Mortgage Backed Securities | Within 30 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 1,235 | $ 6,859 |
Repurchase liability weighted average interest rate | 0.30% | 1.15% |
Mortgage Backed Securities | After 90 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 0 | $ 20,465 |
Repurchase liability weighted average interest rate | 0.00% | 2.75% |
CMO | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 898 | $ 10,529 |
Repurchase liability weighted average interest rate | 0.24% | 0.25% |
CMO | Within 30 days | Secured Debt | ||
Assets Sold under Agreements to Repurchase | ||
Repurchase liability | $ 898 | $ 10,529 |
Repurchase liability weighted average interest rate | 0.24% | 0.25% |
Borrowings - Maximum aggregate
Borrowings - Maximum aggregate balance of federal funds purchased and repurchase agreements (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Disclosure [Abstract] | ||
Maximum aggregate balance outstanding at any month-end | $ 281,833 | $ 401,606 |
Average montly aggregate balance outstanding | $ 222,565 | $ 330,585 |
Weighted average interest rate for the year | 2.64% | 2.01% |
Weighted average interest rate at December 31 | 2.50% | 2.44% |
Borrowings - Other short-term b
Borrowings - Other short-term borrowings - (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Short-term debt | ||
Other borrowings | $ 0 | $ 42,000 |
Balance outstanding at the end of the period | 0 | 42,000 |
Maximum aggregate balance outstanding at any month-end | 160,000,000 | 186,200,000 |
Average monthly aggregate balance outstanding | $ 8,703,000 | $ 27,833,000 |
Weighted average interest rate for the year | 2.50% | 2.04% |
Weighted average interest rate at December 31 | 1.85% | 2.53% |
Borrowings - Notes payable (Det
Borrowings - Notes payable (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument | ||
Capital lease obligations | $ 0 | $ 20,412 |
Notes payable | 1,101,608 | 1,256,102 |
Advances with FHLB with maturities ranging from 2020 Through 2029 | ||
Debt Instrument | ||
Advances with the FHLB | 421,399 | 524,052 |
Advances with the FHLB paying interest monthly at a floating rate | ||
Debt Instrument | ||
Advances with the FHLB | 0 | 13,000 |
Floating rate over the 3 month LIBOR with maturities on 2019 | ||
Debt Instrument | ||
Advances with the FHLB | 0 | 19,724 |
Fixed Rate with maturities on 2023 paying interest semiannually | Unsecured senior debt | ||
Debt Instrument | ||
Long Term Debt | 295,307 | 294,039 |
Fixed Rate with maturities ranging from 2033 to 2034 | Junior subordinated debt | ||
Debt Instrument | ||
Long Term Debt | $ 384,902 | $ 384,875 |
Borrowings - Notes payable -Par
Borrowings - Notes payable -Parenthetical (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Advances with FHLB with maturities ranging from 2020 Through 2029 | ||
Debt Instrument | ||
Notes Payable Maturity Year Range Start | 2020 | |
Notes Payable Maturity Year Range End | 2029 | |
Debt Instrument Frequency Of Periodic Payment | monthly | |
Advances with FHLB with maturities ranging from 2020 Through 2029 | Minimum | ||
Debt Instrument | ||
Advances with the FHLB, interest rate | 1.14% | 0.95% |
Advances with FHLB with maturities ranging from 2020 Through 2029 | Maximum | ||
Debt Instrument | ||
Advances with the FHLB, interest rate | 4.19% | 4.19% |
Advances with the FHLB paying interest monthly at a floating rate | ||
Debt Instrument | ||
Advances with the FHLB, maturity | 2019 | |
Debt Instrument Frequency Of Periodic Payment | monthly | |
Advances with the FHLB paying interest monthly at a floating rate | LIBOR | ||
Debt Instrument | ||
Variable rate | 0.34% | |
Floating rate over the 3 month LIBOR with maturities on 2019 | ||
Debt Instrument | ||
Advances with the FHLB, maturity | 2019 | |
Debt Instrument Frequency Of Periodic Payment | quarterly | |
Floating rate over the 3 month LIBOR with maturities on 2019 | Minimum | LIBOR | ||
Debt Instrument | ||
Variable rate | 0.12% | |
Floating rate over the 3 month LIBOR with maturities on 2019 | Maximum | LIBOR | ||
Debt Instrument | ||
Variable rate | 0.24% | |
Fixed Rate with maturities on 2023 paying interest semiannually | Unsecured senior debt | ||
Debt Instrument | ||
Fixed interest rate percentage | 6.125% | |
Senior Debt Maturity Year | 2023 | |
Debt issuance costs | $ 4,693 | $ 5,961 |
Debt Instrument Frequency Of Periodic Payment | semiannually | |
Fixed Rate with maturities ranging from 2033 to 2034 | Junior subordinated debt | ||
Debt Instrument | ||
Notes Payable Maturity Year Range Start | 2033 | |
Notes Payable Maturity Year Range End | 2034 | |
Debt issuance costs | $ 396 | $ 423 |
Fixed Rate with maturities ranging from 2033 to 2034 | Minimum | Junior subordinated debt | ||
Debt Instrument | ||
Fixed interest rate percentage | 6.125% | |
Fixed Rate with maturities ranging from 2033 to 2034 | Maximum | Junior subordinated debt | ||
Debt Instrument | ||
Fixed interest rate percentage | 6.70% |
Borrowings - Borrowings by cont
Borrowings - Borrowings by contractual maturities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Debt Disclosure | |
2020 | $ 333,298 |
2021 | 50,040 |
2022 | 103,148 |
2023 | 318,568 |
2024 | 28,373 |
Later years | 461,559 |
Total borrowings | 1,294,986 |
Assets Sold Under Agreements To Repurchase | |
Debt Disclosure | |
2020 | 193,378 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Later years | 0 |
Total borrowings | 193,378 |
Notes Payable | |
Debt Disclosure | |
2020 | 139,920 |
2021 | 50,040 |
2022 | 103,148 |
2023 | 318,568 |
2024 | 28,373 |
Later years | 461,559 |
Total borrowings | $ 1,101,608 |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Disclosure | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Maximum Amount Available | $ 3,600,000,000 | $ 3,400,000,000 |
Federal Home Loan Bank Advances And Letters Of Credit Amount Used | 400,000,000 | 600,000,000 |
Assets sold under agreements to repurchase | 193,378,000 | 281,529,000 |
Other short-term borrowings | 0 | 42,000 |
Federal Reserve Bank Advances | ||
Debt Disclosure | ||
Line Of Credit Facility Current Borrowing Capacity | 1,100,000,000 | 1,200,000,000 |
Federal Home Loan Bank | ||
Debt Disclosure | ||
Line Of Credit Facility Capacity Available For Specific Purpose Other Than For Trade Purchases | $ 900,000,000 | $ 900,000,000 |
Trust preferred securities - Fi
Trust preferred securities - Financial data pertaining to the different trusts (Details) - Trust Preferred Securities Subject To Mandatory Redemption - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Popular Capital Trust I | ||
Debt Disclosure | ||
Capital securities | $ 181,063 | $ 181,063 |
Distribution rate | 6.70% | 6.70% |
Common securities | $ 5,601 | $ 5,601 |
Junior subordinated deferrable interest debentures | $ 186,664 | $ 186,664 |
Stated maturity date | November 2033 | November 2033 |
Popular North America Capital Trust I | ||
Debt Disclosure | ||
Capital securities | $ 91,651 | $ 91,651 |
Distribution rate | 6.564% | 6.564% |
Common securities | $ 2,835 | $ 2,835 |
Junior subordinated deferrable interest debentures | $ 94,486 | $ 94,486 |
Stated maturity date | September 2034 | September 2034 |
Popular Capital Trust II | ||
Debt Disclosure | ||
Capital securities | $ 101,023 | $ 101,023 |
Distribution rate | 6.125% | 6.125% |
Common securities | $ 3,125 | $ 3,125 |
Junior subordinated deferrable interest debentures | $ 104,148 | $ 104,148 |
Stated maturity date | December 2034 | December 2034 |
Trust preferred securities - Tr
Trust preferred securities - Trust preferred securities - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 |
Debt Disclosure | |||
Trust Preferred Securities Subject To Phase Out Provision Of Dodd Frank Act | $ 374 | $ 374 | |
BanPonce Trust I | Popular North America Inc | |||
Debt Disclosure | |||
Capital securities | $ 53 | ||
Subordinated notes | $ 55 |
Other Liabilities (Details)
Other Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Other Liabilities Disclosure Abstract | ||
Accrued expenses | $ 273,184 | $ 276,120 |
Accrued interest payable | 44,026 | 44,638 |
Accounts payable | 65,688 | 66,381 |
Dividends payable | 29,027 | 25,092 |
Trades payable | 4,084 | 64 |
Liability for GNMA loans sold with an option to repurchase | 102,663 | 134,260 |
Reserves for loan indemnifications | 38,074 | 67,066 |
Reserve for operational losses | 35,665 | 40,921 |
Operating lease liabilities | 165,139 | 0 |
Finance lease liabilities | 19,810 | 0 |
Pension benefit obligation | 52,616 | 68,736 |
Postretirement benefit obligation | 168,681 | 153,415 |
Others | 46,296 | 45,115 |
Total other liabilities | $ 1,044,953 | $ 921,808 |
Stockholders' equity - Preferre
Stockholders' equity - Preferred stock - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 2 Months Ended | 12 Months Ended | |||
Feb. 24, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stockholders Equity Note | |||||
Stockholders equity | $ 6,016,779 | $ 5,435,057 | $ 5,103,905 | $ 5,197,957 | |
Preferred stock, shares authorized | 30,000,000 | 30,000,000 | |||
Dividends, Preferred Stock, Cash | $ 3,723 | $ 3,723 | 3,723 | ||
Preferred stock, shares outstanding | 2,006,391 | 2,006,391 | |||
Preferred Stock | |||||
Stockholders Equity Note | |||||
Stockholders equity | $ 50,160 | $ 50,160 | 50,160 | $ 50,160 | |
Preferred Stock | 2003 Series A Preferred Stock | |||||
Stockholders Equity Note | |||||
Preferred stock redemption price per share | $ 25 | ||||
Preferred stock liquidation preference | 25 | ||||
Preferred stock dividends per share cash paid | $ 0.1328125 | ||||
Preferred stock dividend rate percentage | 6.375% | ||||
Dividends, Preferred Stock, Cash | $ 1,400 | $ 1,400 | $ 1,400 | ||
Preferred stock, shares outstanding | 885,726 | 885,726 | 885,726 | ||
Preferred Stock | 2008 Series B Preferred Stock | |||||
Stockholders Equity Note | |||||
Preferred stock liquidation preference | $ 25 | ||||
Preferred stock dividends per share cash paid | $ 0.171875 | ||||
Preferred stock dividend rate percentage | 8.25% | ||||
Dividends, Preferred Stock, Cash | $ 2,300 | $ 2,300 | $ 2,300 | ||
Preferred stock, shares outstanding | 1,120,665 | 1,120,665 | 1,120,665 | ||
Preferred Stock | 2008 Series B Preferred Stock | Subsequent event | |||||
Stockholders Equity Note | |||||
Preferred stock redemption price per share | $ 25 | ||||
Accrued and unpaid dividends on each share | 0.1375 | ||||
Dividends perferred stock per share | $ 25.1375 |
Stockholders' equity - Common s
Stockholders' equity - Common stock - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 2 Months Ended | 3 Months Ended | 12 Months Ended | |||
Feb. 28, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stockholders Equity Note | ||||||
Cash dividends | $ 116,022 | $ 101,293 | $ 102,136 | |||
Dividends payable | $ 29,027 | $ 29,027 | $ 25,092 | |||
Dividends Declared per Common Share | $ 1.20 | $ 1 | $ 1 | |||
Common Stock | ||||||
Stockholders Equity Note | ||||||
Common stock dividends per share cash paid | $ 0.30 | |||||
Dividends payable | $ 29,000 | $ 29,000 | $ 25,100 | $ 25,500 | ||
Dividends Declared per Common Share | $ 0.30 | |||||
Dividend payable, to be paid date | Jan. 2, 2020 | |||||
Dividends payable, record date | Dec. 5, 2019 | |||||
Common Stock | Subsequent event | ||||||
Stockholders Equity Note | ||||||
Common stock dividends per share cash paid | $ 0.40 | $ 0.40 | ||||
Dividend payable, to be paid date | Apr. 1, 2020 | |||||
Dividends payable, record date | Mar. 19, 2020 |
Stockholders' equity - ASR - Ad
Stockholders' equity - ASR - Additional Information (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stockholders Equity Note | ||||||
Accelerated share repurchases price paid per share | $ 53.58 | |||||
Accelerated share repurchases settlement receipt | $ 250,000,000 | $ 250,000,000 | $ 125,000,000 | $ 75,000,000 | ||
Common stock purchases | 256,012,000 | $ 127,465,000 | $ 77,420,000 | |||
Common Shares Repurchased Accelerated Share Repurchase Agreements | 1,165,607 | 2,438,180 | 1,847,372 | |||
Initial shares received as part of an accelerated share repurchase program | 3,500,000 | |||||
Treasury stock | ||||||
Stockholders Equity Note | ||||||
Common stock purchases | 271,752,000 | $ 127,379,000 | $ 81,938,000 | |||
Capital surplus | ||||||
Stockholders Equity Note | ||||||
Common stock purchases | (15,740,000) | 86,000 | (4,518,000) | |||
Accelerate Share Repurchase | Treasury stock | ||||||
Stockholders Equity Note | ||||||
Common stock purchases | 266,000,000 | $ 125,000,000 | 80,000,000 | |||
Accelerate Share Repurchase | Capital surplus | ||||||
Stockholders Equity Note | ||||||
Common stock purchases | $ 16,000,000 | $ 5,000,000 | ||||
Accelerate Share Repurchase | Subsequent event | ||||||
Stockholders Equity Note | ||||||
Stock repurchase program authorized amount | $ 500,000,000 | |||||
Accelerate Share Repurchase | Subsequent event | Treasury stock | ||||||
Stockholders Equity Note | ||||||
Common stock purchases | 400,000,000 | |||||
Accelerate Share Repurchase | Subsequent event | Capital surplus | ||||||
Stockholders Equity Note | ||||||
Common stock purchases | $ 100,000,000 |
Stockholders' equity - Statutor
Stockholders' equity - Statutory reserve - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stockholders Equity Note | |||
Puerto Rico Laws Restrictions on Banks Net Income | a minimum of 10% of BPPR’s net income | ||
Statutory reserve balance | $ 659,000 | $ 599,000 | $ 540,000 |
Transfer to statutory reserve | 0 | 0 | 0 |
Capital surplus | |||
Stockholders Equity Note | |||
Transfer to statutory reserve | $ 60,111 | $ 58,340 | $ 27,135 |
Regulatory capital requiremen_3
Regulatory capital requirements - Corporation's risk-based capital and leverage ratios (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Corporate | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital | $ 5,858,615 | $ 5,354,199 |
Capital to Risk Weighted Assets | 20.31% | 19.54% |
Common Equity Tier One Capital | $ 5,121,240 | $ 4,631,511 |
Common Equity Tier One Capital Ratio | 17.76% | 16.90% |
Tier One Risk Based Capital | $ 5,121,240 | $ 4,631,511 |
Tier One Risk Based Capital to Risk Weighted Assets | 17.76% | 16.90% |
Tier One Leverage Capital | $ 5,121,240 | $ 4,631,511 |
Tier One Leverage Capital to Average Assets | 10.03% | 9.88% |
Corporate | Capital Adequacy Minimum Requirement Plus Capital Conservation Buffer/Basel III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital Required for Capital Adequacy | $ 3,028,239 | $ 2,706,117 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 10.50% | 9.875% |
Common Equity Tier One Capital Required For Capital Adequacy | $ 2,018,826 | $ 1,746,987 |
Common Equity Tier 1 Based Capital Minimum Requirement Ratio | 7.00% | 6.375% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 2,451,431 | $ 2,158,043 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 8.50% | 7.875% |
Tier One Leverage Capital Required for Capital Adequacy | $ 2,042,299 | $ 1,875,057 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Banco Popular de Puerto Rico | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital | $ 4,226,374 | $ 3,900,536 |
Capital to Risk Weighted Assets | 19.98% | 19.00% |
Common Equity Tier One Capital | $ 3,958,518 | $ 3,638,009 |
Common Equity Tier One Capital Ratio | 18.72% | 17.72% |
Tier One Risk Based Capital | $ 3,958,518 | $ 3,638,009 |
Tier One Risk Based Capital to Risk Weighted Assets | 18.72% | 17.72% |
Tier One Leverage Capital | $ 3,958,518 | $ 3,638,009 |
Tier One Leverage Capital to Average Assets | 9.62% | 9.62% |
Banco Popular de Puerto Rico | Capital Adequacy Minimum Requirement Plus Capital Conservation Buffer/Basel III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital Required for Capital Adequacy | $ 2,220,908 | $ 2,027,005 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 10.50% | 9.875% |
Common Equity Tier One Capital Required For Capital Adequacy | $ 1,480,605 | $ 1,308,573 |
Common Equity Tier 1 Based Capital Minimum Requirement Ratio | 7.00% | 6.375% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 1,797,878 | $ 1,616,473 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 8.50% | 7.875% |
Tier One Leverage Capital Required for Capital Adequacy | $ 1,645,851 | $ 1,512,568 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
PB | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital | $ 1,211,045 | $ 1,148,253 |
Capital to Risk Weighted Assets | 16.98% | 17.82% |
Common Equity Tier One Capital | $ 1,165,710 | $ 1,085,829 |
Common Equity Tier One Capital Ratio | 16.35% | 16.85% |
Tier One Risk Based Capital | $ 1,165,710 | $ 1,085,829 |
Tier One Risk Based Capital to Risk Weighted Assets | 16.35% | 16.85% |
Tier One Leverage Capital | $ 1,165,710 | $ 1,085,829 |
Tier One Leverage Capital to Average Assets | 12.33% | 12.42% |
PB | Capital Adequacy Minimum Requirement Plus Capital Conservation Buffer/Basel III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital Required for Capital Adequacy | $ 748,836 | $ 636,450 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 10.50% | 9.875% |
Common Equity Tier One Capital Required For Capital Adequacy | $ 499,224 | $ 410,873 |
Common Equity Tier 1 Based Capital Minimum Requirement Ratio | 7.00% | 6.375% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 606,200 | $ 507,549 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 8.50% | 7.875% |
Tier One Leverage Capital Required for Capital Adequacy | $ 378,041 | $ 349,580 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Regulatory capital requiremen_4
Regulatory capital requirements - Minimum amounts and ratios to be categorized as well-capitalized (Details) - Basel III - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Banco Popular de Puerto Rico | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital Required to be Well Capitalized | $ 2,115,150 | $ 2,052,664 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Common Equity Tier 1 Based Capital Amount To Be Well Capitalized | $ 1,374,848 | $ 1,334,231 |
Common Equity Tier 1 Based Capital Ratio To Be Well Capitalized | 6.50% | 6.50% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 1,692,120 | $ 1,642,131 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 2,057,314 | $ 1,890,709 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
PB | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital Required to be Well Capitalized | $ 713,177 | $ 644,506 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Common Equity Tier 1 Based Capital Amount To Be Well Capitalized | $ 463,565 | $ 418,929 |
Common Equity Tier 1 Based Capital Ratio To Be Well Capitalized | 6.50% | 6.50% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 570,542 | $ 515,605 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 472,551 | $ 436,975 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
Regulatory capital requiremen_5
Regulatory capital requirements - Additional Information (Details) - Standardized approach - Basel III | Dec. 31, 2019 | Dec. 31, 2018 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
CET 1 minimum ratio required ratio | 6.50% | 6.50% |
Tier one risk based capital required for capital adequacy ratio | 8.00% | 8.00% |
Capital required for capital adequacy ratio | 10.00% | 10.00% |
Leverage ratio required | 5.00% | 5.00% |
Other comprehensive income (l_3
Other comprehensive income (loss) - Disclosure of accumulated other comprehensive income (loss) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Foreign Currency Translation | |||
Beginning Balance | $ (49,936,000) | $ (43,034,000) | $ (39,956,000) |
Other comprehensive income (loss) before reclassifications | (6,847,000) | (6,902,000) | (3,078,000) |
Reclassification adjustment for (gains) losses included in net income (loss) | 6,847,000 | 6,902,000 | 3,078,000 |
Net change | (6,847,000) | (6,902,000) | (3,078,000) |
Ending Balance | (56,783,000) | (49,936,000) | (43,034,000) |
Adjustment of pension and postretirement benefit plans | |||
Beginning Balance | (203,836,000) | 205,408,000 | (211,610,000) |
Other comprehensive income (loss) before reclassification | (13,671,000) | (9,453,000) | (5,164,000) |
Amounts reclassified from accumulated other comprehensive income (loss) for amortization of net losses | 14,691,000 | 13,141,000 | 13,684,000 |
Amounts reclassified from accumulated other comprehensive income (loss) for amortization of prior service credit | 0 | (2,116,000) | (2,318,000) |
Net change | 1,020,000 | 1,572,000 | 6,202,000 |
Ending Balance | (202,816,000) | (203,836,000) | 205,408,000 |
Unrealized net holding gains (losses) on debt securities | |||
Beginning Balance | (173,811,000) | (102,775,000) | (69,003,000) |
Other comprehensive (loss) income before reclassifications | 265,950,000 | (71,036,000) | (40,446,000) |
Other-than-temporary impairment amounts reclassified from accumulated other comprehensive (loss) income | 0 | 0 | 6,740,000 |
Amounts reclassified from accumulated other comprehensive (loss) income for gains on securities | 16,000 | 0 | (66,000) |
Net change | 265,966,000 | (71,036,000) | (33,772,000) |
Ending Balance | 92,155,000 | (173,811,000) | (102,775,000) |
Unrealized holding gains on equity securities | |||
Beginning Balance | 0 | 605,000 | 685,000 |
Reclassification to retained earnings due to cumulative effect of accounting change | 0 | (605,000) | 0 |
Other comprehensive income before reclassifications | 0 | 0 | 121,000 |
Amounts reclassified from accumulated other comprehensive (loss) income for gains on securities | 0 | 0 | (201,000) |
Net change | 0 | (605,000) | (80,000) |
Ending Balance | 0 | 0 | 605,000 |
Unrealized net (losses) gain on cash flow hedges | |||
Beginning Balance | (391,000) | (40,000) | (402,000) |
Reclassification to retained earnings due to cumulative effect of accounting change | (50,000) | 0 | 0 |
Other comprehensive income (loss) before reclassification | (4,439,000) | 326,000 | (790,000) |
Amounts reclassified from other accumulated other comprehensive income (loss) | 2,386,000 | (677,000) | 1,152,000 |
Net change | (2,103,000) | (351,000) | 362,000 |
Ending Balance | (2,494,000) | (391,000) | (40,000) |
Accumulated other comprehensive (loss) income | $ (169,938,000) | $ (427,974,000) | $ (350,652,000) |
Other comprehensive income (l_4
Other comprehensive income (loss) - Reclassification out of accumulated other comprehensive income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reclassification out of accumulated other comprehensive loss | |||
Reclassification adjustment for (gains) losses included in net income (loss) | $ 6,847 | $ 6,902 | $ 3,078 |
Personnel costs | (590,625) | (562,988) | (476,762) |
Other-than-temporary impairment losses on available-for-sale securities | 0 | 0 | (8,299) |
Income tax (benefit) expense | (147,181) | (119,579) | (230,830) |
Net income | 671,135 | 618,158 | 107,681 |
Reclassification out of accumulated other comprehensive income | |||
Reclassification out of accumulated other comprehensive loss | |||
Net income | (17,093) | (10,348) | (18,991) |
Reclassification out of accumulated other comprehensive income | Adjustment of pension and postretirement benefit plan | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | (23,508) | (18,072) | (18,628) |
Income tax (benefit) expense | 8,817 | 7,047 | 7,262 |
Net income | (14,691) | (11,025) | (11,366) |
Reclassification out of accumulated other comprehensive income | Adjustment of pension and postretirement benefit plan | Amortization of net losses | Personnel costs | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | (23,508) | (21,542) | (22,428) |
Reclassification out of accumulated other comprehensive income | Adjustment of pension and postretirement benefit plan | Amortization of prior service credit | Personnel costs | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | 0 | 3,470 | 3,800 |
Reclassification out of accumulated other comprehensive income | Unrealized holding gains (losses) on debt securities | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | (20) | 0 | (8,216) |
Income tax (benefit) expense | 4 | 0 | 1,542 |
Net income | (16) | 0 | (6,674) |
Reclassification out of accumulated other comprehensive income | Unrealized holding gains (losses) on debt securities | Realized gain (loss) on sale of securities | |||
Reclassification out of accumulated other comprehensive loss | |||
Net (loss) gain and valuation adjustments on debt securities | (20) | 0 | 83 |
Other-than-temporary impairment losses on available-for-sale securities | 0 | 0 | (8,299) |
Reclassification out of accumulated other comprehensive income | Unrealized holding gains (losses) on equity securities | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | 0 | 0 | 251 |
Income tax (benefit) expense | 0 | 0 | (50) |
Net income | 0 | 0 | 201 |
Reclassification out of accumulated other comprehensive income | Unrealized holding gains (losses) on equity securities | Realized gain on sale of equity securities | |||
Reclassification out of accumulated other comprehensive loss | |||
Net gain on equity securities | 0 | 0 | 251 |
Reclassification out of accumulated other comprehensive income | Unrealized net (losses) gains on cash flow hedges | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | (3,882) | 1,110 | (1,888) |
Income tax (benefit) expense | 1,496 | (433) | 736 |
Net income | (2,386) | 677 | (1,152) |
Reclassification out of accumulated other comprehensive income | Unrealized net (losses) gains on cash flow hedges | Forward contracts | Mortgage banking activities | |||
Reclassification out of accumulated other comprehensive loss | |||
Income (loss) before tax | (3,992) | 1,110 | (1,888) |
Reclassification out of accumulated other comprehensive income | Unrealized net (losses) gains on cash flow hedges | Interest Rate Swap [Member] | |||
Reclassification out of accumulated other comprehensive loss | |||
Other Operating Income | $ 110 | $ 0 | $ 0 |
Guarantees - Changes from credi
Guarantees - Changes from credit recourses agreements (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Guarantor Obligations [Line Items] | ||
Balance as of beginning of period | $ 56,000 | |
Balance as of end of period | 35,000 | $ 56,000 |
Financial Guarantee | ||
Guarantor Obligations [Line Items] | ||
Balance as of beginning of period | 56,230 | 58,820 |
Provision for recourse liability | 2,122 | 12,200 |
Net charge-offs | (23,490) | (14,790) |
Balance as of end of period | $ 34,862 | $ 56,230 |
Guarantees - Changes from custo
Guarantees - Changes from customary respresentations and warranties related to loans sold by BPPR (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Guarantor Obligations [Line Items] | ||
Balance as of beginning of period | $ 56,000 | |
Balance as of end of period | 35,000 | $ 56,000 |
Indemnification Guarantee | Banco Popular de Puerto Rico | ||
Guarantor Obligations [Line Items] | ||
Balance as of beginning of period | 10,837 | 11,742 |
Provision (reversal) for representations and warranties | (5,020) | 78 |
Net charge-offs | (75) | (983) |
Settlements paid | (2,530) | 0 |
Balance as of end of period | $ 3,212 | $ 10,837 |
Guarantees - Credit recourse -
Guarantees - Credit recourse - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Guarantor Obligations | ||||
Valuation Allowances And Reserves Balance | $ 35,000 | $ 56,000 | ||
Adjustments To Indemnity Reserves On Loans Sold | (343) | (12,959) | $ (22,377) | |
Guarantee on loans sold or serviced with credit recourse | ||||
Guarantor Obligations | ||||
Valuation Allowances And Reserves Balance | 34,862 | 56,230 | $ 58,820 | |
Serviced Mortgage Loans | ||||
Guarantor Obligations | ||||
Loans serviced | 14,800,000 | 15,700,000 | ||
Serviced Mortgage Loans | Guarantee on loans sold or serviced with credit recourse | Guarantee on loans sold or serviced with representation and warranties | ||||
Guarantor Obligations | ||||
Adjustments To Indemnity Reserves On Loans Sold | $ 4,400 | |||
Loans with Recourse | ||||
Guarantor Obligations | ||||
Loans serviced | 1,200,000 | 1,300,000 | ||
Loans with Recourse | Serviced Mortgage Loans | ||||
Guarantor Obligations | ||||
Repurchased Loans | $ 57,000 | $ 27,000 |
Guarantees - Indemnification, R
Guarantees - Indemnification, Representations and Warranties related to loans sold - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Guarantor Obligations | ||
Valuation Allowances And Reserves Balance | $ 35,000,000 | $ 56,000,000 |
Securitization | Guarantee on loans sold or serviced with representation and warranties | ||
Guarantor Obligations | ||
Repurchased Loans | $ 0 | $ 12,000,000 |
Guarantees - Other Guarantees -
Guarantees - Other Guarantees - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Guarantor Obligations | ||
Funds Advanced To Investors Under Servicing Agreements | $ 77,800 | $ 88,371 |
Popular, Inc. Holding Co. | Debt Securities Payable | ||
Guarantor Obligations | ||
Guarantees, unamortized balance of the obligations | 94,000 | 94,000 |
Financial Standby Letter Of Credit | ||
Guarantor Obligations | ||
Guarantees, unamortized balance of the obligations | 300 | 300 |
Guarantee Type, Other | Popular, Inc. Holding Co. | Capital securities (trust preferred securities) | ||
Guarantor Obligations | ||
Guarantees, unamortized balance of the obligations | $ 374,000 | $ 374,000 |
Commitments and Contingencies -
Commitments and Contingencies - Financial instruments with off-Balance Sheet credit risk (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments To Extend Credit | Credit card | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused Commitments To Extend Credit | $ 4,889,694 | $ 4,468,481 |
Commitments To Extend Credit | Commercial and construction lines of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused Commitments To Extend Credit | 3,205,306 | 2,751,390 |
Commitments To Extend Credit | Other consumer unused credit commitments | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused Commitments To Extend Credit | 262,516 | 254,491 |
Commercial Letters of Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused Commitments To Extend Credit | 2,629 | 2,695 |
Standby Letters of Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused Commitments To Extend Credit | 75,186 | 26,479 |
Commitments to originate or fund mortgage loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused Commitments To Extend Credit | $ 96,653 | $ 22,629 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Direct Exposure to Puerto Rico Government by Maturity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | $ 432,000 | $ 458,000 |
PR Government direct exposure | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 431,712 | |
Total concentration of risk | 431,712 | |
PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 578 | |
Total concentration of risk | 578 | |
PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 431,134 | |
Total concentration of risk | 431,134 | |
Loans | PR Government direct exposure | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 390,959 | 413,000 |
Loans | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 0 | |
Loans | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 390,959 | |
Securities Investment | PR Government direct exposure | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 40,753 | $ 45,000 |
Securities Investment | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 578 | |
Securities Investment | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 40,175 | |
Within 1 year | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 81,853 | |
Total concentration of risk | 81,853 | |
Within 1 year | Loans | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 78,108 | |
Within 1 year | Securities Investment | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 3,745 | |
After 1 and within 5 years | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 8 | |
Total concentration of risk | 8 | |
After 1 and within 5 years | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 156,863 | |
Total concentration of risk | 156,863 | |
After 1 and within 5 years | Loans | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 0 | |
After 1 and within 5 years | Loans | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 139,283 | |
After 1 and within 5 years | Securities Investment | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 8 | |
After 1 and within 5 years | Securities Investment | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 17,580 | |
After 5 to 10 years | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 30 | |
Total concentration of risk | 30 | |
After 5 to 10 years | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 101,162 | |
Total concentration of risk | 101,162 | |
After 5 to 10 years | Loans | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 0 | |
After 5 to 10 years | Loans | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 82,967 | |
After 5 to 10 years | Securities Investment | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 30 | |
After 5 to 10 years | Securities Investment | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 18,195 | |
After 10 years | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 540 | |
Total concentration of risk | 540 | |
After 10 years | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 91,256 | |
Total concentration of risk | 91,256 | |
After 10 years | Loans | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 0 | |
After 10 years | Loans | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 90,601 | |
After 10 years | Securities Investment | PR Government direct exposure | From PR Central Government | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | 540 | |
After 10 years | Securities Investment | PR Government direct exposure | From Municipalities | ||
Direct exposure to the puerto rico government by maturity | ||
Outstanding concentration of risk | $ 655 |
Commitments and contingencies_3
Commitments and contingencies - Commitments - Additional Information (Details) - USD ($) $ in Thousands | Jul. 01, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments and Contingencies Disclosure | |||
Reserve of potential losses associated with unfunded loan commitments | $ 35,000 | $ 56,000 | |
Outstanding concentration of risk | $ 432,000 | 458,000 | |
Exposure Municipal Loans And Securities | 75.00% | ||
Commitments To Extend Credit | |||
Commitments and Contingencies Disclosure | |||
Reserve of potential losses associated with unfunded loan commitments | $ 9,000 | 8,000 | |
Noncredit commitment | |||
Commitments and Contingencies Disclosure | |||
Investments | 2,500 | ||
PR Government direct exposure | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 431,712 | ||
Total concentration of risk | 431,712 | ||
Principal payments received | $ 22,000 | ||
PR Government direct exposure | Loans | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 390,959 | 413,000 | |
PR Government direct exposure | Securities Investment | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 40,753 | 45,000 | |
PR Government Indirect Exposure | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 350,000 | 368,000 | |
Loans and Leases Receivable, Consumer, Mortgage with PRHA | 276,000 | 293,000 | |
PR Government Indirect Exposure | PR Housing Bonds backed by second mortgage loans | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 46,000 | 45,000 | |
PR Government Indirect Exposure | Commercial real estate | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 21,000 | 23,000 | |
PR Government Indirect Exposure | Pass Through securities that have been economically defeased and refunded | |||
Commitments and Contingencies Disclosure | |||
Outstanding concentration of risk | 7,000 | $ 7,000 | |
USVI Government Direct Exposure | From USVI Government And Public Corporations | |||
Commitments and Contingencies Disclosure | |||
Total concentration of risk | $ 71,000 |
Commitments and contingencies_4
Commitments and contingencies - Legal Proceedings - Additional Information (Details) $ in Millions | 1 Months Ended | 12 Months Ended | |
Feb. 11, 2020USD ($) | Jul. 30, 2019DefendantPlaintiff | Dec. 31, 2019USD ($)claimsunits | |
Hazard Insurance Commision Related Litigation | |||
Legal Matters And Contingencies | |||
Loss Contingency Damages Sought Value | $ 400 | ||
Lilliam Gonzalez Camacho v BPPR | |||
Legal Matters And Contingencies | |||
Loss Contingency Damages Sought Value | $ 400 | ||
Betteroads Asphalt and Betterecycling Corporation | Subsequent event | |||
Legal Matters And Contingencies | |||
Loss Contingency Damages Sought Value | $ 80 | ||
Banco Popular de Puerto Rico | |||
Legal Matters And Contingencies | |||
Loss Contingency Pending Claims Number | claims | 8 | ||
Banco Popular de Puerto Rico | Lilliam Gonzalez Camacho v BPPR | |||
Legal Matters And Contingencies | |||
Loss Contingency Number Of Defendants | units | 20 | ||
Banco Popular de Puerto Rico | Betteroads Asphalt and Betterecycling Corporation | |||
Legal Matters And Contingencies | |||
Loss Contingency Damages Sought Value | $ 900 | ||
Banco Popular de Puerto Rico | Hector Robles Rodriguez v Municipio de Ceiba | |||
Legal Matters And Contingencies | |||
Loss Contingency Damages Sought Value | $ 30 | ||
PB | Aileen Betances, et al. v. Popular Bank, et al | |||
Legal Matters And Contingencies | |||
Number of plaintiffs | Plaintiff | 5 | ||
Loss Contingency Number Of Defendants | Defendant | 5 | ||
PB | Damian Reyes, et al. v. Popular Bank, et al | |||
Legal Matters And Contingencies | |||
Number of plaintiffs | Plaintiff | 3 | ||
Loss Contingency Number Of Defendants | Defendant | 6 | ||
Aggregate Arbitrations with Claimed Damages | Popular Securities | |||
Legal Matters And Contingencies | |||
Loss Contingency Pending Claims Number | claims | 173 | ||
Loss Contingency Damages Sought Value | $ 226 | ||
One arbitration with Claimed damages | Popular Securities | |||
Legal Matters And Contingencies | |||
Loss Contingency Pending Claims Number | claims | 1 | ||
Loss Contingency Damages Sought Value | $ 30 | ||
Minimum | |||
Legal Matters And Contingencies | |||
Loss Contingency Range Of Possible Loss Portion Not Accrued | 0 | ||
Minimum | PB | PB Employment Related Litigation | |||
Legal Matters And Contingencies | |||
Loss Contingency Damages Sought Value | 100 | ||
Maximum | |||
Legal Matters And Contingencies | |||
Loss Contingency Range Of Possible Loss Portion Not Accrued | $ 28.4 |
Non-consolidated VIEs - Corpora
Non-consolidated VIEs - Corporation's VI in non-consolidated VIEs and max exposure to loss (Details) - FNMA, GNMA, FHLMC VIE - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | $ 144,930 | $ 174,268 |
Maximum exposure to loss | 144,930 | 174,268 |
Servicing assets | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | 115,718 | 136,280 |
Mortgage servicing rights | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | 115,718 | 136,280 |
Other assets | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | 29,212 | 37,988 |
Servicing advances | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | $ 29,212 | $ 37,988 |
Non-consolidated VIEs - Corpo_2
Non-consolidated VIEs - Corporation's VI in non-consolidated VIEs, PR Asset Portfolio 2013-1 and PRLP 2011 (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
PR Asset Portfolio 2013-1 International, LLC | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | $ 3,333 | $ 5,794 |
Liabilities | (5,081) | (7,994) |
Total net assets | (1,748) | (2,200) |
Maximum exposure to loss | 0 | 0 |
PRLP 2011 Holding, LLC | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | 6,306 | 6,469 |
Liabilities | (3) | (2,566) |
Total net assets | 6,303 | 3,903 |
Maximum exposure to loss | 6,303 | 3,903 |
Equity Method Investments | PR Asset Portfolio 2013-1 International, LLC | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | 3,333 | 5,794 |
Equity Method Investments | PRLP 2011 Holding, LLC | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Assets | 6,306 | 6,469 |
Deposits | PR Asset Portfolio 2013-1 International, LLC | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Liabilities | (5,081) | (7,994) |
Deposits | PRLP 2011 Holding, LLC | ||
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets and Liabilities, Net | ||
Liabilities | $ (3) | $ (2,566) |
Non-consolidated variable int_3
Non-consolidated variable interest entities - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2013 | Sep. 30, 2011 |
Variable Interest Entity | ||||
Principal Amount Outstanding on Loans Securitized or Asset-backed Financing Arrangement | $ 63 | $ 57 | ||
PRLP 2011 Holding, LLC | ||||
Variable Interest Entity | ||||
Equity Method Investment Ownership Percentage | 24.90% | 24.90% | ||
Cash Received From Investee | $ 48 | |||
PR Asset Portfolio 2013-1 International, LLC | ||||
Variable Interest Entity | ||||
Equity Method Investment Ownership Percentage | 24.90% | |||
Cash Received From Investee | $ 92 | |||
FNMA, GNMA, FHLMC VIE | ||||
Variable Interest Entity | ||||
Principal Amount Outstanding on Loans Securitized or Asset-backed Financing Arrangement | $ 9.9 | $ 10.6 |
Derivative instruments and he_4
Derivative instruments and hedging activities - Cash flow hedges and non-hedging derivatives outstanding (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | $ 403,671 | $ 399,572 |
Derivative Asset Fair Value Net | ||
Deivatives assets | 17,966 | 13,603 |
Derivative Liability Fair Value Net | ||
Derivatives liabilities | 16,619 | 12,320 |
Designated As Hedging Instrument Member | ||
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | 97,600 | 89,590 |
Derivative Asset Fair Value Net | ||
Deivatives assets | 32 | 12 |
Derivative Liability Fair Value Net | ||
Derivatives liabilities | 264 | 734 |
Non designated as hedging instrument | ||
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | 306,071 | 309,982 |
Derivative Asset Fair Value Net | ||
Deivatives assets | 17,934 | 13,591 |
Derivative Liability Fair Value Net | ||
Derivatives liabilities | 16,355 | 11,586 |
Forward contracts | Designated As Hedging Instrument Member | ||
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | 97,600 | 89,590 |
Forward contracts | Designated As Hedging Instrument Member | Other assets | ||
Derivative Asset Fair Value Net | ||
Deivatives assets | 32 | 12 |
Forward contracts | Designated As Hedging Instrument Member | Other liabilities | ||
Derivative Liability Fair Value Net | ||
Derivatives liabilities | 264 | 734 |
Interest rate cap | Non designated as hedging instrument | ||
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | 169,962 | 177,826 |
Interest rate cap | Non designated as hedging instrument | Other assets | ||
Derivative Asset Fair Value Net | ||
Deivatives assets | 1 | 125 |
Interest rate cap | Non designated as hedging instrument | Other liabilities | ||
Derivative Liability Fair Value Net | ||
Derivatives liabilities | 1 | 119 |
Indexed options on deposits | Non designated as hedging instrument | ||
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | 69,354 | 69,254 |
Indexed options on deposits | Non designated as hedging instrument | Other assets | ||
Derivative Asset Fair Value Net | ||
Deivatives assets | 17,933 | 13,466 |
Bifurcated embedded options | Non designated as hedging instrument | ||
Notional Amount Of Derivatives | ||
Derivative, Notional Amount | 66,755 | 62,902 |
Bifurcated embedded options | Non designated as hedging instrument | Interest-bearing deposits | ||
Derivative Liability Fair Value Net | ||
Derivatives liabilities | $ 16,354 | $ 11,467 |
Note Derivative instruments and
Note Derivative instruments and hedging activities (Cash flow hedges) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (losses) gains on cash flow hedges | $ (5,741) | $ 536 | $ (1,295) |
Cash flow hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (losses) gains on cash flow hedges | (3,502) | 536 | (1,295) |
Amount of net gain (loss) reclassified from AOCI into income (effective portion) | (3,992) | 1,202 | (1,920) |
Amount of net gain (loss) recognized in income on derivatives (ineffective portion) | $ 0 | $ (92) | $ 32 |
Cash flow hedging | Forward contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Classification in the statement of operations of the net gain (loss) reclassified from AOCI into income (effective portion and ineffective portion) | Mortgage banking activities | Mortgage banking activities | Mortgage banking activities |
Unrealized net (losses) gains on cash flow hedges | $ (3,502) | $ 536 | $ (1,295) |
Amount of net gain (loss) reclassified from AOCI into income (effective portion) | (3,992) | 1,202 | (1,920) |
Amount of net gain (loss) recognized in income on derivatives (ineffective portion) | $ 0 | $ (92) | $ 32 |
Derivative instruments and he_5
Derivative instruments and hedging activities - Non-hedging activities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | $ (1,244) | $ 1,273 | $ (923) |
Forward contracts | Mortgage banking activities | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | (2,254) | 1,213 | (1,484) |
Interest rate swap | Other operating income | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | 0 | 0 | 51 |
Foreign currency forward contracts | Other operating income | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | 0 | 0 | 67 |
Foreign currency forward contracts | Interest Expense | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | 0 | 0 | (14) |
Interest rate cap | Other operating income | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | (5) | (4) | (48) |
Indexed options on deposits | Interest Expense | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | 7,898 | 114 | 5,934 |
Bifurcated embedded options | Interest Expense | |||
Derivative Instruments, Gain (Loss) | |||
Amount of net gain (loss) recognized in income on derivatives | $ (6,883) | $ (50) | $ (5,429) |
Derivative instruments and he_6
Derivative instruments and hedging activities - Derivative instruments and hedging activities- Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instrument Detail [Abstract] | |||
Fair Value Hedges At Fair Value Net | $ 0 | $ 0 | |
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | (1,244,000) | 1,273,000 | $ (923,000) |
Derivative Liabilities Credit Risk Gain Losses | $ 200,000 | $ (600,000) | 200,000 |
Derivative Assets Credit Risk Gain Losses | $ (100,000) | ||
Derivative remaining maturity days | 83 days |
Related party transactions - Re
Related party transactions - Related party transactions table (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | ||
Beginning of period | $ 133,319 | $ 182,989 |
New loans | 1,491 | 1,068 |
Payments | (1,800) | (12,040) |
Other Changes | 44 | (38,698) |
End of period | $ 133,054 | $ 133,319 |
Related party transactions - Co
Related party transactions - Corporation's equity in Evertec (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transaction [Line Items] | ||
Carrying value of equity method Investment | $ 237,081 | $ 228,072 |
EVERTEC Inc. | ||
Related Party Transaction [Line Items] | ||
Carrying value of equity method Investment | $ 73,534 | $ 60,591 |
Related party transactions - Fi
Related party transactions - Financial Condition accounts outstanding with EVERTEC (Details) - EVERTEC Inc. - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transaction [Line Items] | ||
Accounts receivables (Other assets) | $ 7,779 | $ 6,829 |
Deposits | (63,850) | (28,606) |
Accounts payable (Other liabilities) | (1,290) | (3,671) |
Total | $ (57,361) | $ (25,448) |
Related party transactions - Pr
Related party transactions - Proportionate share of income (loss) and changes in stockholder's equity from EVERTEC (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
Share of changes in equity recognized in income | $ 43,000 | $ 38,000 | |
EVERTEC Inc. | |||
Related Party Transaction [Line Items] | |||
Share of income from investment | 16,749 | 13,892 | $ 8,924 |
Share of other changes in stockholders equity | 516 | 1,659 | 2,659 |
Share of changes in equity recognized in income | $ 17,265 | $ 15,551 | $ 11,583 |
Related party transactions - Im
Related party transactions - Impact on the results of operations of transactions between the Corporation and EVERTEC (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
Related Party Transaction, Amounts of Transaction | $ (1,491) | $ (1,068) | |
EVERTEC Inc. | |||
Related Party Transaction [Line Items] | |||
Related Party Transaction, Amounts of Transaction | (182,338) | (132,139) | $ (140,788) |
EVERTEC Inc. | Deposits | |||
Related Party Transaction [Line Items] | |||
Interest Expense Related Party | (106) | (79) | (44) |
EVERTEC Inc. | Other service fees | |||
Related Party Transaction [Line Items] | |||
Related Party Transaction Revenues From Transactions With Related Party | 29,224 | 33,658 | 28,136 |
EVERTEC Inc. | Net occupancy | |||
Related Party Transaction [Line Items] | |||
Related Party Transaction Revenues From Transactions With Related Party | 7,418 | 7,271 | 6,855 |
EVERTEC Inc. | Professional fees | |||
Related Party Transaction [Line Items] | |||
Expenses from Transactions with related party | (219,992) | (174,048) | (176,971) |
EVERTEC Inc. | Other operating expenses | |||
Related Party Transaction [Line Items] | |||
Related Party Transaction Revenues From Transactions With Related Party | $ 1,118 | $ 1,059 | $ 1,236 |
Related party transactions - _2
Related party transactions - Corporation's equity in PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transaction [Line Items] | ||
Equity Method Investments | $ 237,081 | $ 228,072 |
PRLP 2011 Holding, LLC | ||
Related Party Transaction [Line Items] | ||
Equity Method Investments | 6,306 | 6,469 |
PR Asset Portfolio 2013-1 International, LLC | ||
Related Party Transaction [Line Items] | ||
Equity Method Investments | $ 3,333 | $ 5,794 |
Related party transactions - De
Related party transactions - Deposits with PRLP 2011 Holdings, LLC and PR Asset Portfolio 2013-1 International, LLC (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
PRLP 2011 Holding, LLC | ||
Related Party Transaction [Line Items] | ||
Deposits | $ (3) | $ (2,566) |
PR Asset Portfolio 2013-1 International, LLC | ||
Related Party Transaction [Line Items] | ||
Deposits | $ (5,081) | $ (7,994) |
Related party transactions - _3
Related party transactions - Proportionate share of income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | ||
Share of (loss) income from equity method investments | $ 43,000 | $ 38,000 |
PRLP 2011 Holding, LLC | ||
Related Party Transaction [Line Items] | ||
Share of (loss) income from equity method investments | (163) | (356) |
PR Asset Portfolio 2013-1 International, LLC | ||
Related Party Transaction [Line Items] | ||
Share of (loss) income from equity method investments | $ 231 | $ (5,073) |
Related party transactions- Imp
Related party transactions- Impact on the results of operations of transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | ||
Related Party Transaction, Amounts of Transaction | $ (1,491) | $ (1,068) |
Related party transactions - _4
Related party transactions - Related party transactions with affiliated company - Additional Information 1 (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction | ||
Related Party Transaction, Amounts of Transaction | $ 1,491,000 | $ 1,068,000 |
Related Party With Investment Companies | ||
Related Party Transaction | ||
Line of credit facility maximum borrowing capacity | 330,000,000 | 330,000,000 |
Administrative Fees | 6,400,000 | 6,700,000 |
Waived Fees | 2,200,000 | 2,100,000 |
Net fees | $ 4,200,000 | 4,600,000 |
Credit Facilities Terms | The aggregate sum of all outstanding balances under all credit facilities that may be made available by BPPR, from time to time, to those investment companies for which BPPR acts as investment advisor or co-investment advisor, shall never exceed the lesser of $200 million or 10% of BPPR’s capital. | |
Line of credit facility average amount oustanding | $ 0 | |
Reliable Financial Services | ||
Related Party Transaction | ||
Lease expiration | Apr. 30, 2019 | |
Sublease Expense | $ 500,000 | |
Banco Popular Foundation | ||
Related Party Transaction | ||
Donations Expenses | 1,400,000 | 1,300,000 |
BPPR Foundation | ||
Related Party Transaction | ||
Donations Expenses | 1,100,000 | 2,100,000 |
Related party exclude Evertec | ||
Related Party Transaction | ||
Deposits | $ 576,000,000 | $ 632,000,000 |
Related party transactions - _5
Related party transactions - Related party transactions with affiliated company - Additional Information 2 (Details) | 1 Months Ended | 2 Months Ended | 3 Months Ended | 4 Months Ended | 7 Months Ended | 10 Months Ended | 12 Months Ended | 48 Months Ended | |||||
May 31, 2017USD ($) | Feb. 29, 2020 | Apr. 01, 2010USD ($)loans | Apr. 30, 2020 | Jul. 31, 2019 | Oct. 31, 2019USD ($) | Dec. 31, 2019USD ($)loans | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2014USD ($)loans | Feb. 28, 2020USD ($) | Feb. 15, 2019 | Jun. 30, 2006USD ($) | |
Related Party Transaction | |||||||||||||
Related Party Transaction, Amounts of Transaction | $ 1,491,000 | $ 1,068,000 | |||||||||||
Family member of management / director | |||||||||||||
Related Party Transaction | |||||||||||||
Aggregated unpaid principal balance | $ 49,000 | ||||||||||||
Annual Interest Rate | 7.00% | ||||||||||||
Family member of management / director | Mortgages | |||||||||||||
Related Party Transaction | |||||||||||||
Loans and Leases Receivable, Related Parties | $ 700,000 | ||||||||||||
Loan Count | loans | 3 | ||||||||||||
Family member of management / director | Commercial Loans | |||||||||||||
Related Party Transaction | |||||||||||||
Aggregated unpaid principal balance | $ 33,500,000 | $ 31,200,000 | |||||||||||
Loan Count | loans | 4 | ||||||||||||
Family member of management / director | Commercial Loans | Note A | |||||||||||||
Related Party Transaction | |||||||||||||
Aggregated unpaid principal balance | $ 19,800,000 | ||||||||||||
Loan renewal term | 3 months | ||||||||||||
Loan Count | loans | 5 | ||||||||||||
Annual Interest Rate | 4.50% | 4.50% | 6.00% | 5.00% | |||||||||
Family member of management / director | Commercial Loans | Note A | Subsequent event | |||||||||||||
Related Party Transaction | |||||||||||||
Loan renewal term | 24 months | ||||||||||||
Family member of management / director | Commercial Loans | Note B | |||||||||||||
Related Party Transaction | |||||||||||||
Aggregated unpaid principal balance | $ 13,500,000 | ||||||||||||
Loan renewal term | 4 months | 3 months | |||||||||||
Loan Count | loans | 5 | ||||||||||||
Annual Interest Rate | 1.00% | 1.00% | 1.00% | 1.00% | |||||||||
Family member of management / director | Residential Mortgage | |||||||||||||
Related Party Transaction | |||||||||||||
Financing receivable, period past due | 670 days | ||||||||||||
Loans and Leases Receivable, Related Parties | $ 800,000 | ||||||||||||
Charge-offs | $ 400,000 | ||||||||||||
Family member of management / director | First mortgage | |||||||||||||
Related Party Transaction | |||||||||||||
Loans and Leases Receivable, Related Parties | 500,000 | ||||||||||||
Family member of management / director | Second mortgage | |||||||||||||
Related Party Transaction | |||||||||||||
Monthly repayment to loan receivables | 500 | ||||||||||||
Proceeds from mortgage deposits | (20,000) | ||||||||||||
Loans and Leases Receivable, Related Parties | 100,000 | ||||||||||||
Family member of management / director | Third mortgage | |||||||||||||
Related Party Transaction | |||||||||||||
Repayment supported by promissory note | 82,000,000 | ||||||||||||
Loans and Leases Receivable, Related Parties | 100,000 | ||||||||||||
Related party transaction loan sold between BPPR and Popular Inc | |||||||||||||
Related Party Transaction | |||||||||||||
Annual Interest Rate | 5.75% | ||||||||||||
Related party transaction loan sold between BPPR and Popular Inc | Commercial Loans | |||||||||||||
Related Party Transaction | |||||||||||||
Other Additional Capital | $ 6,000,000 | ||||||||||||
Related Party Transaction, Amounts of Transaction | 37,900,000 | ||||||||||||
Interest Payment | $ 500,000 | ||||||||||||
Aggregated unpaid principal balance | $ 37,900,000 | $ 40,200,000 | $ 37,100,000 | ||||||||||
Loan amortization term | 30 years | ||||||||||||
EVERTEC Inc. | |||||||||||||
Related Party Transaction | |||||||||||||
Related Party Transaction, Amounts of Transaction | $ 182,338,000 | $ 132,139,000 | $ 140,788,000 |
Related party transactions - _6
Related party transactions - Related party transactions with affiliated company - Equity Method - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||
Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jun. 30, 2017 | Mar. 31, 2013 | Sep. 30, 2011 | |
Related Party Transaction | |||||||||
Carrying value of equity method Investment | $ 237,081,000 | $ 228,072,000 | |||||||
Earnings from investments under the equity method | $ 43,000,000 | 38,000,000 | |||||||
PRLP 2011 Holding, LLC | |||||||||
Related Party Transaction | |||||||||
Equity Method Investment Ownership Percentage | 24.90% | 24.90% | |||||||
Equity Method Investment Distributions | $ 0 | 400,000 | |||||||
PR Asset Portfolio 2013-1 International, LLC | |||||||||
Related Party Transaction | |||||||||
Equity Method Investment Ownership Percentage | 24.90% | ||||||||
Equity Method Investment Distributions | $ 2,700,000 | 2,000,000 | |||||||
EVERTEC Inc. | |||||||||
Related Party Transaction | |||||||||
Equity Method Investment Ownership Percentage | 16.19% | ||||||||
Carrying value of equity method Investment | $ 73,534,000 | 60,591,000 | |||||||
Earnings from investments under the equity method | 17,265,000 | 15,551,000 | $ 11,583,000 | ||||||
Dividends from subsidiaries | $ 2,300,000 | 1,200,000 | |||||||
BHD LEON | |||||||||
Related Party Transaction | |||||||||
Equity Method Investment Ownership Percentage | 15.84% | ||||||||
Carrying value of equity method Investment | $ 151,600,000 | 143,500,000 | |||||||
Earnings from investments under the equity method | 26,600,000 | 27,200,000 | |||||||
Equity Method Investment Dividends | $ 12,600,000 | $ 12,600,000 | |||||||
Credit facility repayment | $ 40,000,000 | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 40,000,000 | ||||||||
Grupo Financiero Leon SA Panama shareholder of BHD Leon | |||||||||
Related Party Transaction | |||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 8,000,000 | ||||||||
Credit facility extended to GFL by BHD International Panama affiliate of BHD leon | |||||||||
Related Party Transaction | |||||||||
Credit facility repayment | $ 8,000,000 | $ 8,000,000 | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 8,000,000 |
Fair value measurement - Assets
Fair value measurement - Assets and liabilities measured at fair value on a recurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | |||
Debt Securities Available for Sale, at Fair Value | $ 17,648,473 | $ 13,300,184 | |
Trading account debt securities, excluding derivatives | 40,321 | 37,787 | |
Mortgage servicing rights | 150,906 | 169,777 | $ 168,031 |
Liabilities | |||
Derivatives | (16,619) | (12,320) | |
US Treasury Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 12,056,255 | 8,272,196 | |
Obligations of U.S. Government sponsored entities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 122,404 | 333,309 | |
Obligations of Puerto Rico, States and political subdivisions | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 6,975 | 6,742 | |
Collateralized Mortgage Obligations - Federal agencies | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 586,175 | 728,671 | |
Mortgage Backed Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 4,876,314 | 3,958,778 | |
Other | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 350 | 488 | |
Recurring | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 17,648,473 | 13,300,184 | |
Trading account debt securities, excluding derivatives | 40,321 | 37,787 | |
Equity securities at fair value | 21,327 | 13,296 | |
Mortgage servicing rights | 150,906 | 169,777 | |
Derivatives | 17,966 | 13,603 | |
Total | 17,878,993 | 13,534,647 | |
Liabilities | |||
Derivatives | (16,619) | (12,320) | |
Total | (16,619) | (12,320) | |
Recurring | US Treasury Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 12,056,255 | 8,272,196 | |
Trading account debt securities, excluding derivatives | 7,083 | 6,278 | |
Recurring | Obligations of U.S. Government sponsored entities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 122,404 | 333,309 | |
Recurring | Obligations of Puerto Rico, States and political subdivisions | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 6,975 | 6,742 | |
Trading account debt securities, excluding derivatives | 633 | 134 | |
Recurring | Collateralized Mortgage Obligations - Federal agencies | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 586,175 | 728,671 | |
Recurring | Mortgage Backed Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 4,876,314 | 3,958,778 | |
Trading account debt securities, excluding derivatives | 28,556 | 27,257 | |
Recurring | Other | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 350 | 488 | |
Trading account debt securities, excluding derivatives | 3,443 | 3,459 | |
Recurring | CMO | |||
Assets | |||
Trading account debt securities, excluding derivatives | 606 | 659 | |
Recurring | Level 1 | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 3,841,715 | 2,719,740 | |
Trading account debt securities, excluding derivatives | 7,081 | 6,278 | |
Equity securities at fair value | 0 | 0 | |
Mortgage servicing rights | 0 | 0 | |
Derivatives | 0 | 0 | |
Total | 3,848,796 | 2,726,018 | |
Liabilities | |||
Derivatives | 0 | 0 | |
Total | 0 | 0 | |
Recurring | Level 1 | US Treasury Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 3,841,715 | 2,719,740 | |
Trading account debt securities, excluding derivatives | 7,081 | 6,278 | |
Recurring | Level 1 | Obligations of U.S. Government sponsored entities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Recurring | Level 1 | Obligations of Puerto Rico, States and political subdivisions | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Trading account debt securities, excluding derivatives | 0 | 0 | |
Recurring | Level 1 | Collateralized Mortgage Obligations - Federal agencies | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Recurring | Level 1 | Mortgage Backed Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Trading account debt securities, excluding derivatives | 0 | 0 | |
Recurring | Level 1 | Other | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Trading account debt securities, excluding derivatives | 0 | 0 | |
Recurring | Level 1 | CMO | |||
Assets | |||
Trading account debt securities, excluding derivatives | 0 | 0 | |
Recurring | Level 2 | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 13,805,576 | 10,579,211 | |
Trading account debt securities, excluding derivatives | 32,270 | 30,370 | |
Equity securities at fair value | 21,327 | 13,296 | |
Mortgage servicing rights | 0 | 0 | |
Derivatives | 17,966 | 13,603 | |
Total | 13,877,139 | 10,636,480 | |
Liabilities | |||
Derivatives | (16,619) | (12,320) | |
Total | (16,619) | (12,320) | |
Recurring | Level 2 | US Treasury Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 8,214,540 | 5,552,456 | |
Trading account debt securities, excluding derivatives | 2 | 0 | |
Recurring | Level 2 | Obligations of U.S. Government sponsored entities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 122,404 | 333,309 | |
Recurring | Level 2 | Obligations of Puerto Rico, States and political subdivisions | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 6,975 | 6,742 | |
Trading account debt securities, excluding derivatives | 633 | 134 | |
Recurring | Level 2 | Collateralized Mortgage Obligations - Federal agencies | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 586,175 | 728,671 | |
Recurring | Level 2 | Mortgage Backed Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 4,875,132 | 3,957,545 | |
Trading account debt securities, excluding derivatives | 28,556 | 27,214 | |
Recurring | Level 2 | Other | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 350 | 488 | |
Trading account debt securities, excluding derivatives | 3,003 | 2,974 | |
Recurring | Level 2 | CMO | |||
Assets | |||
Trading account debt securities, excluding derivatives | 76 | 48 | |
Recurring | Level 3 | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 1,182 | 1,233 | |
Trading account debt securities, excluding derivatives | 970 | 1,139 | |
Equity securities at fair value | 0 | 0 | |
Mortgage servicing rights | 150,906 | 169,777 | |
Derivatives | 0 | 0 | |
Total | 153,058 | 172,149 | |
Liabilities | |||
Derivatives | 0 | 0 | |
Total | 0 | 0 | |
Recurring | Level 3 | US Treasury Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Trading account debt securities, excluding derivatives | 0 | 0 | |
Recurring | Level 3 | Obligations of U.S. Government sponsored entities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Recurring | Level 3 | Obligations of Puerto Rico, States and political subdivisions | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Trading account debt securities, excluding derivatives | 0 | 0 | |
Recurring | Level 3 | Collateralized Mortgage Obligations - Federal agencies | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Recurring | Level 3 | Mortgage Backed Securities | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 1,182 | 1,233 | |
Trading account debt securities, excluding derivatives | 0 | 43 | |
Recurring | Level 3 | Other | |||
Assets | |||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | |
Trading account debt securities, excluding derivatives | 440 | 485 | |
Recurring | Level 3 | CMO | |||
Assets | |||
Trading account debt securities, excluding derivatives | $ 530 | $ 611 |
Fair value measurement - Asse_2
Fair value measurement - Assets measured at fair value on nonrecurring basis (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Other real estate | $ 122,072 | $ 136,705 | |
Nonrecurring | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 35,363 | 73,893 | $ 64,041 |
Other real estate | 18,132 | 43,463 | 89,743 |
Other foreclosed assets | 1,213 | 1,349 | 2,176 |
Long-lived asset held-for-sale | 2,500 | ||
Total | 57,208 | 118,705 | 155,960 |
Loans - write-down | (13,533) | (25,745) | 16,807 |
Other real estate owned - write down | (3,526) | (9,189) | 19,085 |
Other foreclosed assets - write down | (156) | (722) | 890 |
Long-lived asset held-for-sale - write down | (2,591) | ||
Total assets measured - write down | (19,806) | (35,656) | 36,782 |
Nonrecurring | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 0 | 0 | 0 |
Other real estate | 0 | 0 | 0 |
Other foreclosed assets | 0 | 0 | 0 |
Long-lived asset held-for-sale | 0 | ||
Total | 0 | 0 | 0 |
Nonrecurring | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 0 | 0 | 0 |
Other real estate | 0 | 0 | 0 |
Other foreclosed assets | 0 | 0 | 0 |
Long-lived asset held-for-sale | 0 | ||
Total | 0 | 0 | 0 |
Nonrecurring | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 35,363 | 73,893 | 64,041 |
Other real estate | 18,132 | 43,463 | 89,743 |
Other foreclosed assets | 1,213 | 1,349 | 2,176 |
Long-lived asset held-for-sale | 2,500 | ||
Total | $ 57,208 | $ 118,705 | $ 155,960 |
Fair value measurement - Asse_3
Fair value measurement - Assets measured at fair value on nonrecurring basis - Parenthetical (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Hurricane | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Other real estate owned - Write down | $ 2.7 |
Fair value measurement - Change
Fair value measurement - Changes in level 3 assets and liabilities measured at fair value on a recurring basis (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Assets, Fair Value Disclosure [Abstract] | |||
Beginning Balance | $ 172,149 | $ 170,420 | $ 204,959 |
Gains (Losses) included in earnings | (27,563) | (8,519) | (36,716) |
Gains (losses) included in OCI | (1) | (5) | 9 |
Additions | 9,239 | 10,483 | 8,037 |
Sales | (521) | ||
Settlements | (740) | (230) | (1,096) |
Transfers out of Level 3 | (26) | (4,252) | |
Ending Balance | 153,058 | 172,149 | 170,420 |
Fair Value Assets Measured On Recurring Basis Change In Unrealized Gain Loss | (14,169) | 8,725 | (18,947) |
Liabilities, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 0 | (164,858) | (153,158) |
Liabilitiy - Gains (Losses) included in earnings | (6,112) | 11,700 | |
Gains (losses) included in OCI | 0 | 0 | |
Additions | 0 | 0 | |
Sales | 0 | ||
Settlements | 170,970 | 0 | |
Transfer out of Level 3 | 0 | ||
Ending Balance | 0 | (164,858) | |
Fair Value Liabilities Measured On Recurring Basis Change In Unrealized Gain Loss | 0 | (11,700) | |
Contingent consideration | |||
Assets, Fair Value Disclosure [Abstract] | |||
Transfers out of Level 3 | 0 | ||
Liabilities, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 0 | (164,858) | (153,158) |
Liabilitiy - Gains (Losses) included in earnings | (6,112) | 11,700 | |
Gains (losses) included in OCI | 0 | 0 | |
Additions | 0 | 0 | |
Sales | 0 | ||
Settlements | 170,970 | 0 | |
Ending Balance | 0 | (164,858) | |
Fair Value Liabilities Measured On Recurring Basis Change In Unrealized Gain Loss | 0 | (11,700) | |
Debt securities available-for-sale | Mortgage Backed Securities | |||
Assets, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 1,233 | 1,288 | 1,392 |
Gains (Losses) included in earnings | 0 | 0 | 0 |
Gains (losses) included in OCI | (1) | (5) | 9 |
Additions | 0 | 0 | 0 |
Sales | 0 | ||
Settlements | (50) | (50) | (25) |
Transfers out of Level 3 | 0 | (88) | |
Ending Balance | 1,182 | 1,233 | 1,288 |
Fair Value Assets Measured On Recurring Basis Change In Unrealized Gain Loss | 0 | 0 | 0 |
Trading account debt securities | Mortgage Backed Securities | |||
Assets, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 43 | 43 | 4,755 |
Gains (Losses) included in earnings | (1) | 0 | (124) |
Gains (losses) included in OCI | 0 | 0 | 0 |
Additions | 25 | 0 | 332 |
Sales | (156) | ||
Settlements | (41) | 0 | (876) |
Transfers out of Level 3 | (26) | (3,888) | |
Ending Balance | 0 | 43 | 43 |
Fair Value Assets Measured On Recurring Basis Change In Unrealized Gain Loss | 0 | 0 | (3) |
Trading account debt securities | CMO | |||
Assets, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 611 | 529 | 1,321 |
Gains (Losses) included in earnings | (1) | 2 | 0 |
Gains (losses) included in OCI | 0 | 0 | 0 |
Additions | 71 | 260 | 44 |
Sales | (365) | ||
Settlements | (151) | (180) | (195) |
Transfers out of Level 3 | 0 | (276) | |
Ending Balance | 530 | 611 | 529 |
Fair Value Assets Measured On Recurring Basis Change In Unrealized Gain Loss | 1 | 2 | 0 |
Trading account debt securities | Other | |||
Assets, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 485 | 529 | 602 |
Gains (Losses) included in earnings | (45) | (44) | (73) |
Gains (losses) included in OCI | 0 | 0 | 0 |
Additions | 0 | 0 | 0 |
Sales | 0 | ||
Settlements | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | |
Ending Balance | 440 | 485 | 529 |
Fair Value Assets Measured On Recurring Basis Change In Unrealized Gain Loss | 20 | 20 | 42 |
Mortgage Servicing Rights | |||
Assets, Fair Value Disclosure [Abstract] | |||
Beginning Balance | 169,777 | 168,031 | 196,889 |
Gains (Losses) included in earnings | (27,516) | (8,477) | (36,519) |
Gains (losses) included in OCI | 0 | 0 | 0 |
Additions | 9,143 | 10,223 | 7,661 |
Sales | 0 | ||
Settlements | (498) | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | |
Ending Balance | 150,906 | 169,777 | 168,031 |
Fair Value Assets Measured On Recurring Basis Change In Unrealized Gain Loss | $ (14,190) | $ 8,703 | $ (18,986) |
Fair value measurement - Gains
Fair value measurement - Gains and losses (realized and unrealized) included in earnings for level 3 assets and liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation Abstract | |||
Gains (Losses) included in earnings | $ (27,563) | $ (8,519) | $ (36,716) |
Liabilitiy - Gains (Losses) included in earnings | (6,112) | 11,700 | |
Change in unrealized gain loss - Fair value assets | (14,169) | 8,725 | (18,947) |
Change in unrealized gain loss - fair value liabilities | 0 | (11,700) | |
Gain (loss) included in earnings | (27,563) | (14,631) | (48,416) |
Change in unrealized gain loss | (14,169) | 8,725 | (30,647) |
FDIC Loss Share Expense Income | |||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation Abstract | |||
Liabilitiy - Gains (Losses) included in earnings | 0 | (6,112) | (11,700) |
Change in unrealized gain loss - fair value liabilities | 0 | 0 | (11,700) |
Mortgage banking activities | |||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation Abstract | |||
Gains (Losses) included in earnings | (27,516) | (8,477) | (36,519) |
Change in unrealized gain loss - Fair value assets | (14,190) | 8,703 | (18,986) |
Trading gains losses | |||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation Abstract | |||
Gains (Losses) included in earnings | (47) | (42) | (197) |
Change in unrealized gain loss - Fair value assets | $ 21 | $ 22 | $ 39 |
Fair value measurement - Quanti
Fair value measurement - Quantitative inputs level 3 (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Assets | |||
Trading Securities Debt | $ 40,321 | $ 37,787 | |
Mortgage servicing rights | 150,906 | 169,777 | $ 168,031 |
Other real estate | 122,072 | 136,705 | |
Recurring | |||
Assets | |||
Trading Securities Debt | 40,321 | 37,787 | |
Mortgage servicing rights | 150,906 | 169,777 | |
Recurring | CMO | |||
Assets | |||
Trading Securities Debt | 606 | 659 | |
Recurring | Other | |||
Assets | |||
Trading Securities Debt | 3,443 | 3,459 | |
Recurring | Level 3 | |||
Assets | |||
Trading Securities Debt | 970 | 1,139 | |
Mortgage servicing rights | 150,906 | 169,777 | |
Recurring | Level 3 | Mortgage Servicing Rights | |||
Assets | |||
Mortgage servicing rights | $ 150,906 | $ 169,777 | |
Recurring | Level 3 | Mortgage Servicing Rights | Discounted cash flow approach | Minimum | |||
Unobservable inputs | |||
Weighted average life | 1 month 6 days | 1 month 6 days | |
Prepayment speed | 0.20% | 0.20% | |
Discount rate | 9.50% | 9.50% | |
Recurring | Level 3 | Mortgage Servicing Rights | Discounted cash flow approach | Maximum | |||
Unobservable inputs | |||
Weighted average life | 14 years 4 months 24 days | 17 years 4 months 24 days | |
Prepayment speed | 18.50% | 17.80% | |
Discount rate | 14.70% | 15.00% | |
Recurring | Level 3 | Mortgage Servicing Rights | Discounted cash flow approach | Weighted Average | |||
Unobservable inputs | |||
Weighted average life | 6 years 6 months | 6 years 9 months 18 days | |
Prepayment speed | 6.00% | 5.30% | |
Discount rate | 11.10% | 11.20% | |
Recurring | Level 3 | CMO | |||
Assets | |||
Trading Securities Debt | $ 530 | $ 611 | |
Recurring | Level 3 | CMO | Trading account debt securities | Discounted cash flow approach | Minimum | |||
Unobservable inputs | |||
Weighted average life | 1 year 3 months 18 days | 1 year 3 months 18 days | |
Yield | 3.90% | 3.90% | |
Prepayment speed | 14.80% | 16.30% | |
Recurring | Level 3 | CMO | Trading account debt securities | Discounted cash flow approach | Maximum | |||
Unobservable inputs | |||
Weighted average life | 1 year 9 months 18 days | 2 years 1 month 6 days | |
Yield | 4.40% | 4.40% | |
Prepayment speed | 20.70% | 20.70% | |
Recurring | Level 3 | CMO | Trading account debt securities | Discounted cash flow approach | Weighted Average | |||
Unobservable inputs | |||
Weighted average life | 1 year 7 months 6 days | 1 year 10 months 24 days | |
Yield | 4.00% | 4.10% | |
Prepayment speed | 18.30% | 18.90% | |
Recurring | Level 3 | Other | |||
Assets | |||
Trading Securities Debt | $ 440 | $ 485 | |
Recurring | Level 3 | Other | Trading account debt securities | Discounted cash flow approach | |||
Unobservable inputs | |||
Weighted average life | 3 years 9 months 18 days | 5 years 2 months 12 days | |
Yield | 12.00% | 12.00% | |
Prepayment speed | 10.80% | 10.80% | |
Recurring | Level 3 | Other | Mortgage Servicing Rights | Discounted cash flow approach | Minimum | |||
Unobservable inputs | |||
Prepayment speed | 0.20% | ||
Recurring | Level 3 | Other | Mortgage Servicing Rights | Discounted cash flow approach | Maximum | |||
Unobservable inputs | |||
Prepayment speed | 18.50% | ||
Nonrecurring | |||
Assets | |||
Loans | $ 35,363 | $ 73,893 | 64,041 |
Other real estate | 18,132 | 43,463 | 89,743 |
Nonrecurring | Level 3 | |||
Assets | |||
Loans | 35,363 | 73,893 | 64,041 |
Other real estate | 18,132 | 43,463 | $ 89,743 |
Nonrecurring | Level 3 | Loan | |||
Assets | |||
Loans | $ 38,907 | $ 61,020 | |
Nonrecurring | Level 3 | Loan | Valuation Technique External Appraisal | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 10.00% | ||
Nonrecurring | Level 3 | Loan | Valuation Technique External Appraisal | Minimum | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 10.30% | ||
Nonrecurring | Level 3 | Loan | Valuation Technique External Appraisal | Maximum | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 10.00% | ||
Nonrecurring | Level 3 | Loan | Valuation Technique External Appraisal | Weighted Average | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 20.00% | ||
Nonrecurring | Level 3 | Other real estate owned | |||
Assets | |||
Other real estate | $ 16,119 | $ 35,233 | |
Nonrecurring | Level 3 | Other real estate owned | Valuation Technique External Appraisal | Minimum | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 5.00% | 15.00% | |
Nonrecurring | Level 3 | Other real estate owned | Valuation Technique External Appraisal | Maximum | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 35.00% | 30.00% | |
Nonrecurring | Level 3 | Other real estate owned | Valuation Technique External Appraisal | Weighted Average | |||
Unobservable inputs | |||
Haircut applied on external appraisal | 23.80% | 24.70% |
Fair value measurement - Additi
Fair value measurement - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Mortgage Servicing Rights | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Fair Value Measurements, Sensitivity Analysis, Description | The significant unobservable inputs used in the fair value measurement of the Corporation’s mortgage servicing rights are constant prepayment rates and discount rates. Increases in interest rates may result in lower prepayments. Discount rates vary according to products and / or portfolios depending on the perceived risk. Increases in discount rates result in a lower fair value measurement |
Mortgage Backed Securities | Trading account debt securities | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Fair Value Measurements, Sensitivity Analysis, Description | The significant unobservable inputs used in the fair value measurement of the Corporation’s collateralized mortgage obligations and interest-only collateralized mortgage obligation (reported as “other”), which are classified in the “trading” category, are yield, constant prepayment rate, and weighted average life. Significant increases (decreases) in any of those inputs in isolation would result in significantly lower (higher) fair value measurement. Generally, a change in the assumption used for the constant prepayment rate will generate a directionally opposite change in the weighted average life. For example, as the average life is reduced by a higher constant prepayment rate, a lower yield will be realized, and when there is a reduction in the constant prepayment rate, the average life of these collateralized mortgage obligations will extend, thus resulting in a higher yield. |
Fair value of financial instr_3
Fair value of financial instruments - Carrying or notional amounts and estimated fair values for financial instruments (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Carrying amount | |||
Financial Assets: | |||
Cash and due from banks | $ 388,311,000 | $ 394,035,000 | |
Money market investments | 3,262,286,000 | 4,171,048,000 | |
Trading account debt securities, excluding derivatives | 40,321,000 | 37,787,000 | |
Debt Securities Available for Sale, at Fair Value | 17,648,473,000 | 13,300,184,000 | |
Debt securities held-to-maturity, at amortized cost | 97,662,000 | 101,575,000 | |
Equity securities: | |||
FHLB Stock | 43,787,000 | 51,628,000 | |
FRB stock | 93,470,000 | 89,358,000 | |
Other investments | 22,630,000 | 14,598,000 | |
Equity securities | 159,887,000 | 155,584,000 | |
Loans held-for-sale | 59,203,000 | 51,422,000 | |
Loans held in portfolio, net | 26,929,165,000 | 25,938,541,000 | |
Mortgage servicing rights | 150,906,000 | 169,777,000 | |
Derivatives | 17,966,000 | 13,603,000 | |
Deposits | |||
Demand deposits | 36,083,809,000 | 32,093,274,000 | |
Time deposits | 7,674,797,000 | 7,616,765,000 | |
Total deposits | 43,758,606,000 | 39,710,039,000 | |
Assets sold under agreements to repurchase | 193,378,000 | 281,529,000 | |
Other short-term borrowings | 42,000 | ||
Notes payable: | |||
Advances with the FHLB | 421,399,000 | 556,776,000 | |
Unsecured senior debt securities | 295,307,000 | 294,039,000 | |
Junior Subordinated Debenture Owed To Unconsolidated Subsidiary Trust | 384,902,000 | 384,875,000 | |
Capital lease obligations | 20,412,000 | ||
Notes Payable | 1,101,608,000 | 1,256,102,000 | |
Derivatives | 16,619,000 | 12,320,000 | |
Cash and due from banks | 388,311,000 | 394,035,000 | |
Money market investments | 3,262,286,000 | 4,171,048,000 | |
Trading account debt securities, excluding derivatives | 40,321,000 | 37,787,000 | |
Debt Securities Available for Sale, at Fair Value | 17,648,473,000 | 13,300,184,000 | |
Debt securities held-to-maturity, at amortized cost | 97,662,000 | 101,575,000 | |
Equity securities | 159,887,000 | 155,584,000 | |
Loans held in portfolio, net | 26,929,165,000 | 25,938,541,000 | |
Mortgage servicing rights | 150,906,000 | 169,777,000 | $ 168,031,000 |
Time deposits | 7,674,797,000 | 7,616,764,000 | |
Total deposits | 43,758,606,000 | 39,710,039,000 | |
Assets sold under agreements to repurchase | 193,378,000 | 281,529,000 | |
Other short-term borrowings | 0 | 42,000 | |
Capital lease obligations | 0 | 20,412,000 | |
Notes Payable | 1,101,608,000 | 1,256,102,000 | |
Derivatives | 16,619,000 | 12,320,000 | |
Fair Value | |||
Financial Assets: | |||
Cash and due from banks | 388,311,000 | 394,035,000 | |
Money market investments | 3,262,286,000 | 4,171,048,000 | |
Trading account debt securities, excluding derivatives | 40,321,000 | 37,787,000 | |
Debt Securities Available for Sale, at Fair Value | 17,648,473,000 | 13,300,184,000 | |
Debt securities held-to-maturity, at amortized cost | 105,110,000 | 102,653,000 | |
Equity securities: | |||
FHLB Stock | 43,787,000 | 51,628,000 | |
FRB stock | 93,470,000 | 89,358,000 | |
Other investments | 28,695,000 | 18,835,000 | |
Equity securities | 165,952,000 | 159,821,000 | |
Loans held-for-sale | 60,030,000 | 52,474,000 | |
Loans held in portfolio, net | 25,051,400,000 | 23,143,027,000 | |
Mortgage servicing rights | 150,906,000 | 169,777,000 | |
Derivatives | 17,966,000 | 13,603,000 | |
Deposits | |||
Demand deposits | 36,083,809,000 | 32,093,274,000 | |
Time deposits | 7,598,732,000 | 7,392,698,000 | |
Total deposits | 43,682,541,000 | 39,485,972,000 | |
Assets sold under agreements to repurchase | 193,271,000 | 281,535,000 | |
Other short-term borrowings | 42,000 | ||
Notes payable: | |||
Advances with the FHLB | 429,718,000 | 553,111,000 | |
Unsecured senior debt securities | 323,415,000 | 302,664,000 | |
Junior Subordinated Debenture Owed To Unconsolidated Subsidiary Trust | 395,216,000 | 381,079,000 | |
Capital lease obligations | 20,412,000 | ||
Notes Payable | 1,148,349,000 | 1,257,266,000 | |
Derivatives | 16,619,000 | 12,320,000 | |
Obligations of Puerto Rico, States and political subdivisions | Carrying amount | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 85,556,000 | 89,459,000 | |
Obligations of Puerto Rico, States and political subdivisions | |||
Financial Assets: | |||
Debt Securities Available for Sale, at Fair Value | 6,975,000 | 6,742,000 | |
Debt securities held-to-maturity, at amortized cost | 85,556,000 | 89,459,000 | |
Obligations of Puerto Rico, States and political subdivisions | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 93,002,000 | 90,534,000 | |
Collateralized Mortgage Obligations - Federal agencies | Carrying amount | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 45,000 | 55,000 | |
Collateralized Mortgage Obligations - Federal agencies | |||
Financial Assets: | |||
Debt Securities Available for Sale, at Fair Value | 586,175,000 | 728,671,000 | |
Debt securities held-to-maturity, at amortized cost | 45,000 | 55,000 | |
Collateralized Mortgage Obligations - Federal agencies | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 47,000 | 58,000 | |
Securities in wholly owned statutory business trusts | Carrying amount | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 11,561,000 | 11,561,000 | |
Securities in wholly owned statutory business trusts | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 11,561,000 | 11,561,000 | |
Securities in wholly owned statutory business trusts | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 11,561,000 | 11,561,000 | |
Other | Carrying amount | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 500,000 | 500,000 | |
Other | |||
Financial Assets: | |||
Debt Securities Available for Sale, at Fair Value | 350,000 | 488,000 | |
Debt securities held-to-maturity, at amortized cost | 500,000 | 500,000 | |
Other | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 500,000 | 500,000 | |
Level 1 | Fair Value | |||
Financial Assets: | |||
Cash and due from banks | 388,311,000 | 394,035,000 | |
Money market investments | 3,256,274,000 | 4,161,832,000 | |
Trading account debt securities, excluding derivatives | 7,081,000 | 6,278,000 | |
Debt Securities Available for Sale, at Fair Value | 3,841,715,000 | 2,719,740,000 | |
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Equity securities: | |||
FHLB Stock | 0 | 0 | |
FRB stock | 0 | 0 | |
Other investments | 0 | 0 | |
Equity securities | 0 | 0 | |
Loans held-for-sale | 0 | 0 | |
Loans held in portfolio, net | 0 | 0 | |
Mortgage servicing rights | 0 | 0 | |
Derivatives | 0 | 0 | |
Deposits | |||
Demand deposits | 0 | 0 | |
Time deposits | 0 | 0 | |
Total deposits | 0 | 0 | |
Assets sold under agreements to repurchase | 0 | 0 | |
Other short-term borrowings | 0 | ||
Notes payable: | |||
Advances with the FHLB | 0 | 0 | |
Unsecured senior debt securities | 0 | 0 | |
Junior Subordinated Debenture Owed To Unconsolidated Subsidiary Trust | 0 | 0 | |
Capital lease obligations | 0 | ||
Notes Payable | 0 | 0 | |
Derivatives | 0 | 0 | |
Level 1 | Obligations of Puerto Rico, States and political subdivisions | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 1 | Collateralized Mortgage Obligations - Federal agencies | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 1 | Securities in wholly owned statutory business trusts | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 1 | Other | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 2 | Fair Value | |||
Financial Assets: | |||
Cash and due from banks | 0 | 0 | |
Money market investments | 6,012,000 | 9,216,000 | |
Trading account debt securities, excluding derivatives | 32,270,000 | 30,370,000 | |
Debt Securities Available for Sale, at Fair Value | 13,805,576,000 | 10,579,211,000 | |
Debt securities held-to-maturity, at amortized cost | 12,061,000 | 12,061,000 | |
Equity securities: | |||
FHLB Stock | 43,787,000 | 51,628,000 | |
FRB stock | 93,470,000 | 89,358,000 | |
Other investments | 21,328,000 | 13,296,000 | |
Equity securities | 158,585,000 | 154,282,000 | |
Loans held-for-sale | 0 | 0 | |
Loans held in portfolio, net | 0 | 0 | |
Mortgage servicing rights | 0 | 0 | |
Derivatives | 17,966,000 | 13,603,000 | |
Deposits | |||
Demand deposits | 36,083,809,000 | 32,093,274,000 | |
Time deposits | 7,598,732,000 | 7,392,698,000 | |
Total deposits | 43,682,541,000 | 39,485,972,000 | |
Assets sold under agreements to repurchase | 193,271,000 | 281,535,000 | |
Other short-term borrowings | 42,000 | ||
Notes payable: | |||
Advances with the FHLB | 429,718,000 | 553,111,000 | |
Unsecured senior debt securities | 323,415,000 | 302,664,000 | |
Junior Subordinated Debenture Owed To Unconsolidated Subsidiary Trust | 395,216,000 | 381,079,000 | |
Capital lease obligations | 0 | ||
Notes Payable | 1,148,349,000 | 1,236,854,000 | |
Derivatives | 16,619,000 | 12,320,000 | |
Level 2 | Obligations of Puerto Rico, States and political subdivisions | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 2 | Collateralized Mortgage Obligations - Federal agencies | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 2 | Securities in wholly owned statutory business trusts | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 11,561,000 | 11,561,000 | |
Level 2 | Other | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 500,000 | 500,000 | |
Level 3 | Fair Value | |||
Financial Assets: | |||
Cash and due from banks | 0 | 0 | |
Money market investments | 0 | 0 | |
Trading account debt securities, excluding derivatives | 970,000 | 1,139,000 | |
Debt Securities Available for Sale, at Fair Value | 1,182,000 | 1,233,000 | |
Debt securities held-to-maturity, at amortized cost | 93,049,000 | 90,592,000 | |
Equity securities: | |||
FHLB Stock | 0 | 0 | |
FRB stock | 0 | 0 | |
Other investments | 7,367,000 | 5,539,000 | |
Equity securities | 7,367,000 | 5,539,000 | |
Loans held-for-sale | 60,030,000 | 52,474,000 | |
Loans held in portfolio, net | 25,051,400,000 | 23,143,027,000 | |
Mortgage servicing rights | 150,906,000 | 169,777,000 | |
Derivatives | 0 | 0 | |
Deposits | |||
Demand deposits | 0 | 0 | |
Time deposits | 0 | 0 | |
Total deposits | 0 | 0 | |
Assets sold under agreements to repurchase | 0 | 0 | |
Other short-term borrowings | 0 | ||
Notes payable: | |||
Advances with the FHLB | 0 | 0 | |
Unsecured senior debt securities | 0 | 0 | |
Junior Subordinated Debenture Owed To Unconsolidated Subsidiary Trust | 0 | 0 | |
Capital lease obligations | 20,412,000 | ||
Notes Payable | 0 | 20,412,000 | |
Derivatives | 0 | 0 | |
Level 3 | Obligations of Puerto Rico, States and political subdivisions | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 93,002,000 | 90,534,000 | |
Level 3 | Collateralized Mortgage Obligations - Federal agencies | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 47,000 | 58,000 | |
Level 3 | Securities in wholly owned statutory business trusts | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | |
Level 3 | Other | Fair Value | |||
Financial Assets: | |||
Debt securities held-to-maturity, at amortized cost | $ 0 | $ 0 |
Fair Value of financial instr_4
Fair Value of financial instruments- Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Letter Of Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fair Value Disclosure Off balance Sheet Risks Face Amount Asset | $ 78 | $ 29 |
Commitments To Extend Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fair Value Disclosure Off balance Sheet Risks Face Amount Asset | $ 8,400 | $ 7,500 |
Employee benefits - Plans targe
Employee benefits - Plans target allocation by asset category (Details) | Dec. 31, 2019 | Dec. 31, 2018 |
Popular Related Securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Define benefit plan actual asset allocations | 1.00% | 1.00% |
Popular Related Securities | Maximum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 5.00% | |
Popular Related Securities | Minimum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 0.00% | |
Equity | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Define benefit plan actual asset allocations | 36.00% | 32.00% |
Equity | Maximum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 70.00% | |
Equity | Minimum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 0.00% | |
Debt Securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Define benefit plan actual asset allocations | 62.00% | 65.00% |
Debt Securities | Maximum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 100.00% | |
Debt Securities | Minimum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 0.00% | |
Cash and Cash Equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Define benefit plan actual asset allocations | 1.00% | 2.00% |
Cash and Cash Equivalents | Maximum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 100.00% | |
Cash and Cash Equivalents | Minimum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan assets target allocation | 0.00% |
Employee benefits - Plan assets
Employee benefits - Plan assets by fair value hierarchy (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | $ 799,935 | $ 685,823 | |
Obligations of U.S. Government sponsored entities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 178,983 | 172,969 | |
Corporate bonds and debentures | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 312,688 | 263,644 | |
Equity securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 116,254 | 90,175 | |
Equity securities - ETF's | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 87,642 | 69,029 | |
Foreign Commingled Trust Fund | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 82,030 | 59,362 | |
Mutual Funds | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 4,490 | 3,630 | |
Mortgage Backed Securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 5,777 | 11,349 | |
Private Equity investments | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 74 | 68 | |
Cash and Cash Equivalents | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 7,401 | 10,573 | |
Accrued Income Receivable | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 4,596 | 5,024 | |
Level 1 | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 175,738 | 140,142 | |
Level 1 | Obligations of U.S. Government sponsored entities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 1 | Corporate bonds and debentures | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 1 | Equity securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 116,254 | 90,175 | |
Level 1 | Equity securities - ETF's | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 52,083 | 39,394 | |
Level 1 | Foreign Commingled Trust Fund | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 1 | Mutual Funds | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 1 | Mortgage Backed Securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 1 | Private Equity investments | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 1 | Cash and Cash Equivalents | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 7,401 | 10,573 | |
Level 1 | Accrued Income Receivable | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 2 | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 522,528 | 467,103 | |
Level 2 | Obligations of U.S. Government sponsored entities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 171,744 | 165,832 | |
Level 2 | Corporate bonds and debentures | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 304,958 | 256,657 | |
Level 2 | Equity securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 2 | Equity securities - ETF's | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 35,559 | 29,635 | |
Level 2 | Foreign Commingled Trust Fund | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 2 | Mutual Funds | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 4,490 | 3,630 | |
Level 2 | Mortgage Backed Securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 5,777 | 11,349 | |
Level 2 | Private Equity investments | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 2 | Cash and Cash Equivalents | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 2 | Accrued Income Receivable | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 4,670 | 5,092 | $ 4,758 |
Level 3 | Obligations of U.S. Government sponsored entities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Corporate bonds and debentures | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Equity securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Equity securities - ETF's | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Foreign Commingled Trust Fund | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Mutual Funds | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Mortgage Backed Securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Private Equity investments | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 74 | 68 | |
Level 3 | Cash and Cash Equivalents | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Level 3 | Accrued Income Receivable | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 4,596 | 5,024 | |
Measured at NAV | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 96,999 | 73,486 | |
Measured at NAV | Obligations of U.S. Government sponsored entities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 7,239 | 7,137 | |
Measured at NAV | Corporate bonds and debentures | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 7,730 | 6,987 | |
Measured at NAV | Equity securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Measured at NAV | Equity securities - ETF's | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Measured at NAV | Foreign Commingled Trust Fund | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 82,030 | 59,362 | |
Measured at NAV | Mutual Funds | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Measured at NAV | Mortgage Backed Securities | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Measured at NAV | Private Equity investments | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Measured at NAV | Cash and Cash Equivalents | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | 0 | 0 | |
Measured at NAV | Accrued Income Receivable | |||
Defined Benefit Plan Disclosure | |||
Fair value of plan assets | $ 0 | $ 0 |
Employee benefits - Changes in
Employee benefits - Changes in level 3 assets measured at fair value (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation | ||
Fair value of plan assets at beginning of year | $ 685,823 | |
Fair value of plan assets at end of year | 799,935 | $ 685,823 |
Level 3 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation | ||
Fair value of plan assets at beginning of year | 5,092 | 4,758 |
Actual return on plan assets | 0 | 0 |
Purchases, sales, issuance, settlements, paydowns and maturities (net) | (422) | 334 |
Fair value of plan assets at end of year | $ 4,670 | $ 5,092 |
Employee benefits - Information
Employee benefits - Information Popular Inc. shares of common stock held by the plans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan, Plan Assets at Fair Value, Valuation Techniques and Inputs [Abstract] | ||
Shares of Popular, Inc. common stock | 156,444 | 152,804 |
Fair value of shares of Popular, Inc. common stock | $ 9,191 | $ 7,215 |
Dividends paid on shares of Popular, Inc. common stock held by the plan | $ 177 | $ 151 |
Employee benefits - Components
Employee benefits - Components of net periodic benefit cost (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Plans | |||
Personnel costs: | |||
Service cost | $ 0 | $ 0 | $ 0 |
Other operating expenses | |||
Interest cost | 28,439,000 | 25,493,000 | 25,889,000 |
Expected return on plan assets | (32,388,000) | (40,240,000) | (42,752,000) |
Amortization of prior service cost (credit) | 0 | 0 | 0 |
Amortization of net loss | 23,508,000 | 20,260,000 | 21,859,000 |
Net periodic benefit (credit) cost | 19,559,000 | 5,513,000 | 4,996,000 |
Termination benefit cost | 0 | 0 | 0 |
Total net periodic pension cost | 19,559,000 | 5,513,000 | 4,996,000 |
OPEB Plan | |||
Personnel costs: | |||
Service cost | 759,000 | 1,028,000 | 1,026,000 |
Other operating expenses | |||
Interest cost | 5,955,000 | 5,562,000 | 5,703,000 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service cost (credit) | 0 | (3,470,000) | (3,800,000) |
Amortization of net loss | 0 | 1,282,000 | 569,000 |
Net periodic benefit (credit) cost | 6,714,000 | 4,402,000 | 3,498,000 |
Termination benefit cost | 0 | 1,790,000 | 0 |
Total net periodic pension cost | $ 6,714,000 | $ 6,192,000 | $ 3,498,000 |
Employee benefits - Aggregate s
Employee benefits - Aggregate status of the plans and the amounts recognized in the consolidated financial statements (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Change in fair value of plan assets: | |||
Fair value of plan assets at beginning of year | $ 685,823,000 | ||
Fair value of plan assets at end of year | 799,935,000 | $ 685,823,000 | |
Pension Plans | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | 754,558,000 | 816,988,000 | |
Service cost | 0 | 0 | $ 0 |
Interest cost | 28,439,000 | 25,493,000 | 25,889,000 |
Termination benefit cost | 0 | 0 | 0 |
Actuarial loss (gain) | 113,642,000 | (47,549,000) | |
Benefits paid | (44,088,000) | (40,374,000) | |
Benefit obligation at end of year | 852,551,000 | 754,558,000 | 816,988,000 |
Change in fair value of plan assets: | |||
Fair value of plan assets at beginning of year | 685,823,000 | 767,539,000 | |
Actual return on plan assets | 137,970,000 | (41,572,000) | |
Employer contribution | 20,230,000 | 230,000 | |
Benefits paid | (44,088,000) | (40,374,000) | |
Fair value of plan assets at end of year | 799,935,000 | 685,823,000 | 767,539,000 |
OPEB Plan | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | 153,415,000 | 170,720,000 | |
Service cost | 759,000 | 1,028,000 | 1,026,000 |
Interest cost | 5,955,000 | 5,562,000 | 5,703,000 |
Termination benefit cost | 0 | 1,790,000 | 0 |
Actuarial loss (gain) | 15,752,000 | (20,547,000) | |
Benefits paid | (7,200,000) | (5,138,000) | |
Benefit obligation at end of year | 168,681,000 | 153,415,000 | 170,720,000 |
Change in fair value of plan assets: | |||
Fair value of plan assets at beginning of year | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Employer contribution | 7,200,000 | 5,138,000 | |
Benefits paid | (7,200,000) | (5,138,000) | |
Fair value of plan assets at end of year | $ 0 | $ 0 | $ 0 |
Employee benefits - Funded Stat
Employee benefits - Funded Status of the plan (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Funded status of the plan: | |||
Fair value of plan assets at end of year | $ 799,935 | $ 685,823 | |
Pension Plans | |||
Funded status of the plan: | |||
Benefit obligation at end of year | 852,551 | 754,558 | $ 816,988 |
Fair value of plan assets at end of year | 799,935 | 685,823 | 767,539 |
Funded status at year end | (52,616) | (68,735) | (49,449) |
OPEB Plan | |||
Funded status of the plan: | |||
Benefit obligation at end of year | 168,681 | 153,415 | 170,720 |
Fair value of plan assets at end of year | 0 | 0 | 0 |
Funded status at year end | $ (168,681) | $ (153,415) | $ (170,720) |
Employee benefits - Accumulated
Employee benefits - Accumulated other comprehensive losses (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Pension Plans | |||
Amounts recognized in accumulated other comprehensive losss: | |||
Net loss | $ 288,882 | $ 304,330 | |
Accumulated other comprehensive loss | 288,882 | 304,330 | $ 290,327 |
OPEB Plan | |||
Amounts recognized in accumulated other comprehensive losss: | |||
Net loss | 21,472 | 5,720 | |
Accumulated other comprehensive loss | $ 21,472 | $ 5,720 | $ 24,079 |
Employee benefits - Reconciliat
Employee benefits - Reconciliation of net (liabilities) assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Plans | |||
Reconciliation of net (liabilities) assets: | |||
Net (liabilities) assets at beginning of year | $ (68,735) | $ (49,449) | |
Amount recognized in AOCL at beginning of year | 304,330 | 290,327 | |
Amount prepaid (accued) at beginning of year | 235,595 | 240,878 | |
Net periodic benefit (credit) cost | (19,559) | (5,513) | $ (4,996) |
Additional benefit cost | 0 | 0 | |
Contributions | 20,230 | 230 | |
Amount prepaid (accrued) at end of year | 236,266 | 235,595 | 240,878 |
Accumulated other comprehensive loss | (288,882) | (304,330) | (290,327) |
Net (liabilities) assets at end of year | (52,616) | (68,735) | (49,449) |
OPEB Plan | |||
Reconciliation of net (liabilities) assets: | |||
Net (liabilities) assets at beginning of year | (153,415) | (170,720) | |
Amount recognized in AOCL at beginning of year | 5,720 | 24,079 | |
Amount prepaid (accued) at beginning of year | (147,695) | (146,641) | |
Net periodic benefit (credit) cost | (6,714) | (4,402) | (3,498) |
Additional benefit cost | 0 | (1,790) | |
Contributions | 7,200 | 5,138 | |
Amount prepaid (accrued) at end of year | (147,209) | (147,695) | (146,641) |
Accumulated other comprehensive loss | (21,472) | (5,720) | (24,079) |
Net (liabilities) assets at end of year | $ (168,681) | $ (153,415) | $ (170,720) |
Employee benefits - Change in a
Employee benefits - Change in accumulated other comprehensive income loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amount recognized in AOCL at beginning of year | $ 304,330 | $ 290,327 |
Recognized During Year: | ||
Prior service (cost) credit | 0 | 0 |
Actuarial losses | (23,508) | (20,260) |
Ocurring during the year: | ||
Net acturial (gains) losses | 8,060 | 34,263 |
Total (decrease) increase in AOCL | (15,448) | 14,003 |
Amount recognized in AOCL at end of year | 288,882 | 304,330 |
OPEB Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amount recognized in AOCL at beginning of year | 5,720 | 24,079 |
Recognized During Year: | ||
Prior service (cost) credit | 0 | 3,470 |
Actuarial losses | 0 | (1,282) |
Ocurring during the year: | ||
Net acturial (gains) losses | 15,752 | (20,547) |
Total (decrease) increase in AOCL | 15,752 | (18,359) |
Amount recognized in AOCL at end of year | $ 21,472 | $ 5,720 |
Employee benefits - Discount ra
Employee benefits - Discount rate and assumed health care cost trend rates (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Plans | |||
Weighted average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||
Expected return on plan asset | 6.50% | ||
Pension Plans | Minimum | |||
Weighted average assumptions used to determine benefit obligation at December 31: | |||
Discount rate for benefit obligation | 3.22% | 4.20% | |
Weighted average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||
Discount rate for benefit obligation | 4.20% | 3.54% | 3.98% |
Discount rate for interest cost | 3.87% | 3.16% | 3.35% |
Expected return on plan asset | 5.30% | 5.50% | |
Pension Plans | Maximum | |||
Weighted average assumptions used to determine benefit obligation at December 31: | |||
Discount rate for benefit obligation | 3.27% | 4.23% | |
Weighted average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||
Discount rate for benefit obligation | 4.23% | 3.56% | 4.02% |
Discount rate for interest cost | 3.90% | 3.20% | 3.42% |
Expected return on plan asset | 6.00% | 6.00% | |
OPEB Plan | |||
Weighted average assumptions used to determine benefit obligation at December 31: | |||
Discount rate for benefit obligation | 3.38% | 4.30% | |
Initial health care cost trend rates | 5.00% | 5.00% | |
Ultimate health care cost trend rate | 5.00% | 5.00% | 5.00% |
Year that the ultimate trend rate is reached | 2019 | 2019 | 2019 |
Weighted average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||
Discount rate for benefit obligation | 4.30% | 3.62% | 4.10% |
Discount rate for service cost | 4.49% | 3.74% | 4.30% |
Discount rate for interest cost | 3.99% | 3.32% | 3.58% |
Initial health care cost trend rates | 5.00% | 5.50% | 6.00% |
Ultimate health care cost trend rate | 5.00% | 5.00% | 5.00% |
Year that the ultimate trend rate is reached | 2019 | 2019 | 2019 |
Employee benefits - Accumulat_2
Employee benefits - Accumulated benefit obligation in excess of plan assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | $ 852,551 | $ 754,558 |
Accumulated benefit obligation | 852,551 | 754,558 |
Fair value of plan assets | 799,935 | 685,823 |
OPEB Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 168,681 | 153,415 |
Accumulated benefit obligation | 168,681 | 153,415 |
Fair value of plan assets | $ 0 | $ 0 |
Employee benefits - Contributio
Employee benefits - Contributions to the benefit plans (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Pension Plans | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Expected employer contributions to the benefit plans during the next year | $ 229 |
OPEB Plan | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Expected employer contributions to the benefit plans during the next year | $ 6,515 |
Employee benefits - Projected b
Employee benefits - Projected benefit payments (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Pension Plans | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2020 | $ 48,161 |
2021 | 45,152 |
2022 | 45,295 |
2023 | 45,498 |
2024 | 45,696 |
2025- 2029 | 228,701 |
OPEB Plan | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2020 | 6,515 |
2021 | 6,510 |
2022 | 6,661 |
2023 | 6,843 |
2024 | 7,057 |
2025- 2029 | $ 38,483 |
Employee benefits - Breakdown o
Employee benefits - Breakdown of pension and OPEB plans assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Pension Plans | ||
Defined Benefit Plan Disclosure | ||
Current liabilities | $ 227 | $ 225 |
Non-current liabilities | 52,389 | 68,510 |
OPEB Plan | ||
Defined Benefit Plan Disclosure | ||
Current liabilities | 6,456 | 8,007 |
Non-current liabilities | $ 162,225 | $ 145,408 |
Employee benefits - Additional
Employee benefits - Additional information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Transfers Between Level 1 and Level 2, Description and Policy [Abstract] | |||
Transfers in or out of Level 1 | $ 0 | $ 0 | |
Transfers in or out of Level 2 | 0 | 0 | |
Transfers in or out of Level 3 | 0 | 0 | |
Pension Plans | |||
Fair Value, Transfers Between Level 1 and Level 2, Description and Policy [Abstract] | |||
Service cost | 0 | 0 | $ 0 |
Termination benefit cost | 0 | 0 | 0 |
Pension Plans | ASU 2017-07 | |||
Fair Value, Transfers Between Level 1 and Level 2, Description and Policy [Abstract] | |||
Reclassification Other Components From Personnel To Other Operating Expenses | 5,000,000 | ||
OPEB Plan | |||
Fair Value, Transfers Between Level 1 and Level 2, Description and Policy [Abstract] | |||
Service cost | 759,000 | 1,028,000 | 1,026,000 |
Termination benefit cost | 0 | 1,790,000 | 0 |
OPEB Plan | ASU 2017-07 | |||
Fair Value, Transfers Between Level 1 and Level 2, Description and Policy [Abstract] | |||
Reclassification Other Components From Personnel To Other Operating Expenses | 2,500,000 | ||
Savings Plans | |||
Fair Value, Transfers Between Level 1 and Level 2, Description and Policy [Abstract] | |||
Savings Plans | 81,000,000 | 70,400 | |
Savings Plans Contributions | $ 15,100,000 | $ 12,700,000 | $ 10,000,000 |
Savings Plans Stocks Held | 1,378,048 | 1,490,253 |
Net income per common share - C
Net income per common share - Computation of net income (loss) per common share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share, Basic and Diluted [Abstract] | |||
Net income | $ 671,135 | $ 618,158 | $ 107,681 |
Preferred stock dividends | (3,723) | (3,723) | (3,723) |
Net income applicable to common stock | $ 667,412 | $ 614,435 | $ 103,958 |
Average common shares outstanding | 96,848,835 | 101,142,258 | 101,966,429 |
Average potential dilutive common shares | 148,965 | 166,385 | 78,907 |
Average common shares outstanding - assuming dilution | 96,997,800 | 101,308,643 | 102,045,336 |
Basic EPS | $ 6.89 | $ 6.07 | $ 1.02 |
Net Income per Common Share - Basic | 6.89 | 6.07 | 1.02 |
Diluted EPS | 6.88 | 6.06 | 1.02 |
Net Income per Common Share - Diluted | $ 6.88 | $ 6.06 | $ 1.02 |
Net income per common share - A
Net income per common share - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share, Basic and Diluted, Other Disclosures [Abstract] | ||||
Accelerated Share Repurchases Final Price Paid Per Share | $ 53.58 | |||
Initial shares received as part of an accelerated share repurchase program | 3,500,000 | |||
Accelerated share repurchases settlement receipt | $ 250 | $ 125 | $ 75 | |
Common Shares Repurchased Accelerated Share Repurchase Agreements | 1,165,607 | 2,438,180 | 1,847,372 |
Revenue from contracts with c_3
Revenue from contracts with customers - Revenue streams (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Service charges on deposit accounts | |||
Revenue From Contract With Customer Excluding Assessed Tax | $ 160,933 | $ 150,677 | $ 153,709 |
BPPR | |||
Revenue From Contract With Customer Excluding Assessed Tax | 366,599 | 333,007 | 312,527 |
BPPR | Service charges on deposit accounts | |||
Revenue From Contract With Customer Excluding Assessed Tax | 146,384 | 137,062 | 140,342 |
BPPR | Debit card fees | |||
Revenue From Contract With Customer Excluding Assessed Tax | 46,066 | 45,139 | 41,851 |
BPPR | Insurance fees, excluding reinsurance | |||
Revenue From Contract With Customer Excluding Assessed Tax | 42,995 | 33,951 | 31,030 |
BPPR | Credit card fees excluding late fees and membership fees | |||
Revenue From Contract With Customer Excluding Assessed Tax | 86,884 | 74,609 | 56,938 |
BPPR | Sale and administration of investment products | |||
Revenue From Contract With Customer Excluding Assessed Tax | 23,072 | 21,895 | 21,958 |
BPPR | Trust fees | |||
Revenue From Contract With Customer Excluding Assessed Tax | 21,198 | 20,351 | 20,408 |
Popular U.S. | |||
Revenue From Contract With Customer Excluding Assessed Tax | 20,294 | 19,238 | 18,187 |
Popular U.S. | Service charges on deposit accounts | |||
Revenue From Contract With Customer Excluding Assessed Tax | 14,549 | 13,615 | 13,367 |
Popular U.S. | Debit card fees | |||
Revenue From Contract With Customer Excluding Assessed Tax | 1,076 | 1,035 | 870 |
Popular U.S. | Insurance fees, excluding reinsurance | |||
Revenue From Contract With Customer Excluding Assessed Tax | 3,803 | 3,667 | 3,060 |
Popular U.S. | Credit card fees excluding late fees and membership fees | |||
Revenue From Contract With Customer Excluding Assessed Tax | 866 | 921 | 890 |
Popular U.S. | Sale and administration of investment products | |||
Revenue From Contract With Customer Excluding Assessed Tax | 0 | 0 | 0 |
Popular U.S. | Trust fees | |||
Revenue From Contract With Customer Excluding Assessed Tax | $ 0 | $ 0 | $ 0 |
Revenue from contracts with c_4
Revenue from contracts with customers - Revenue streams - Parenthetical (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Intersegment Transaction | |||
Revenue From Contract With Customer Excluding Assessed Tax | $ 3.8 | $ 3.2 | $ 3.3 |
Leases - Future minimum payment
Leases - Future minimum payments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Operating lease liabilities under Topic 842 | ||
Operating leases - 2020 | $ 29,872 | |
Operating leases - 2021 | 27,445 | |
Operating leases - 2022 | 23,540 | |
Operating leases - 2023 | 21,257 | |
Operating leases - 2024 | 20,176 | |
Operating leases - later years | 70,842 | |
Operating leases - Total | 193,132 | |
Less: Imputed interest | (27,993) | |
Operating lease liabilities | 165,139 | $ 0 |
Finance lease liabilities under Topic 842 | ||
Finance leases - Remaining 2019 | 19,810 | |
Finance leases - 2020 | 3,068,000 | |
Finance leases - 2021 | 3,159 | |
Finance leases - 2022 | 3,252 | |
Finance leases - 2023 | 3,349 | |
Finance leases - 2024 | 3,448 | |
Finance leases - later years | 8,220 | |
Finance leases - Total | 24,496 | |
Less: imputed interest | (4,686) | |
Finance lease liabilities | $ 19,810 | $ 0 |
Leases - Lease cost (Details)
Leases - Lease cost (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Lease Cost [Abstract] | |
Amortization of ROU assets | $ 1,701 |
Interest on lease liabilities | 1,194 |
Operating lease cost | 30,664 |
Short-term lease cost | 252 |
Variable lease cost | 97 |
Sublease Income | (113) |
Total lease cost | $ 33,795 |
Leases - Supplemental cash flow
Leases - Supplemental cash flow information and other related information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Leases [Abstract] | |||
Operating cash flows from operating leases | $ 30,073 | ||
Operating cash flows from finance leases | 1,200 | ||
Financing cash flows from finance leases | 1,726 | $ 0 | $ 0 |
ROU assets obtained in exchange for new lease obligations - Operating leases | 28,430 | ||
ROU assets obtained in exchange for new lease obligations - Finance leases | $ 661 | ||
Weighted average remaining term - Operating leases | 8 years 8 months 12 days | ||
Weighted average remaining lease term - Finance leases | 7 years 3 months 18 days | ||
Weighted average discount rate - Operating leases | 3.40% | ||
Weighted average discount rate - Finance leases | 5.90% |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Leases [Abstract] | |||
Operating Leases, Rent Expense, Net | $ 31.2 | $ 32.1 | |
Capital leases amortization expense | 1.5 | 1.3 | |
Capital leases interest expense | 1.2 | $ 1.2 | |
Undiscounted contract amount operating leases not yet commenced | $ 3.8 | ||
operating lease commitments under lessee arrangements | |||
Operating lease - 2019 | 33.4 | ||
Operating leases - 2020 | 29.5 | ||
Operating leases - 2021 | 26.9 | ||
Operating leases - 2022 | 23.3 | ||
Operating leases - 2023 | 21.1 | ||
Operating leases - Thereafter | $ 77.9 | ||
Minimum | |||
Leases | |||
Remaining lease term of contract | 1 month 6 days | ||
Operating lease contract not yet commenced | 10 years | ||
Maximum | |||
Leases | |||
Remaining lease term of contract | 34 years | ||
Lessee remaining lease renewal term | 20 years | ||
Operating lease contract not yet commenced | 20 years |
FDIC loss share expense (Detail
FDIC loss share expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure F D I C Loss Share Expense Income [Abstract] | |||
Amortization | $ (934) | $ (469) | |
80% mirror accounting on credit impairment losses | 104 | 3,136 | |
80% mirror accounting on reimbursable expenses | 537 | 2,454 | |
80% mirror accounting on recoveries on covered assets, including rental income on OREOs, subject to reimbursement to the FDIC | (1,658) | 2,405 | |
Change in true-up payment obligation | (6,112) | (11,700) | |
Gain from the FDIC termination agreement | $ 0 | 102,752 | 0 |
Other | 36 | (5,892) | |
FDIC loss share (expense) income | $ 0 | $ 94,725 | $ (10,066) |
Stock-based compensation - Summ
Stock-based compensation - Summary of incentive plan for members of management (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Performance Based Shares | |||
Restricted Stock | |||
Non-vested at beginning of period | 382,186 | 295,340 | 383,982 |
Granted | 218,169 | 239,062 | 212,200 |
Performance Shares Quantity Adjustment | 15,061 | 234,076 | (232,989) |
Vested | (270,051) | (372,271) | (67,853) |
Forfeited | (14,021) | ||
Non-vested at end of period | 345,365 | 382,186 | 295,340 |
Weighted-Average Grant Date Fair Value | |||
Non-vested at beginning of period | $ 36.41 | $ 30.75 | $ 26.35 |
Granted | 55.55 | 45.81 | 42.57 |
Performance Shares Quantity Adjustment | 55.72 | 33.09 | 29.10 |
Vested | 44.73 | 35.83 | 48.54 |
Forfeited | 37.35 | ||
Non-vested at end of period | $ 41.68 | $ 36.41 | $ 30.75 |
Restricted Stock Units (RSUs) | Executive Officers | |||
Restricted Stock | |||
Granted | 152,773 | 166,648 | 138,516 |
Stock-based compensation - Su_2
Stock-based compensation - Summary of incentive plan for members of the Board of Directors (Details) - Directors - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restricted Stock Award | |||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Roll Forward | |||
Non-vested at beginning of period | 0 | 0 | 0 |
Granted | 1,052 | 25,159 | 25,771 |
Vested | (1,052) | (25,159) | (25,771) |
Forfeited | 0 | 0 | 0 |
Non-vested at end of period | 0 | 0 | 0 |
Weighted-Average Grant Date Fair Value | |||
Non-vested at beginning of period | $ 0 | $ 0 | $ 0 |
Granted | 49.25 | 46.71 | 38.42 |
Vested | 49.25 | 46.71 | 38.42 |
Forfeited | 0 | 0 | 0 |
Non-vested at end of period | $ 0 | $ 0 | $ 0 |
Restricted Stock Units (RSUs) | |||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Roll Forward | |||
Non-vested at beginning of period | 0 | 0 | 0 |
Granted | 27,449 | 0 | 0 |
Vested | (27,449) | 0 | 0 |
Forfeited | 0 | 0 | 0 |
Non-vested at end of period | 0 | 0 | 0 |
Weighted-Average Grant Date Fair Value | |||
Non-vested at beginning of period | $ 0 | $ 0 | $ 0 |
Granted | 57.64 | 0 | 0 |
Vested | 57.64 | 0 | 0 |
Forfeited | 0 | 0 | 0 |
Non-vested at end of period | $ 0 | $ 0 | $ 0 |
Stock-based compensation - Addi
Stock-based compensation - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Employee Stock Option | |||
Stock-based compensation | |||
Total unrecognized compensation cost related to non-vested restricted stock awards and performance shares to members of management | $ 8,800,000 | ||
Total unrecognized compensation cost related to non-vested restricted stock awards and performance shares to members of management, period of recognition (in years) | 2 years 4 months 24 days | ||
Restricted Stock Award | |||
Stock-based compensation | |||
Windfall Net Of Shortfall | $ 1,900,000 | ||
Restricted Stock Award | Directors | |||
Stock-based compensation | |||
Stock granted | 1,052 | 25,159 | 25,771 |
Restricted Stock Expense | $ 52,000 | $ 1,600,000 | $ 1,300,000 |
Incentive award, tax benefit | 6,000 | 200,000 | $ 100,000 |
Fair value of stocks vested at grant date | 52,000 | $ 1,600,000 | |
Restricted Stock Units (RSUs) | |||
Stock-based compensation | |||
Restricted Stock Expense | 1,600,000 | ||
Incentive award, tax benefit | $ 200,000 | ||
Restricted Stock Units (RSUs) | TARP Interim Final Rule | |||
Stock-based compensation | |||
Stock-Based Compensation, vesting rights | The performance share awards consist of the opportunity to receive shares of Popular, Inc.’s common stock provided that the Corporation achieves certain goals during a three-year performance cycle. The goals will be based on two metrics weighted equally: the Relative Total Shareholder Return (“TSR”) and the Absolute Earnings per Share (“EPS”) goals. The TSR metric is considered to be a market condition under ASC 718. For equity settled awards based on a market condition, the fair value is determined as of the grant date and is not subsequently revised based on actual performance. The EPS performance metric is considered to be a performance condition under ASC 718. The fair value is determined based on the probability of achieving the EPS goal as of each reporting period. The TSR and EPS metrics are equally weighted and work independently. The number of shares that will ultimately vest ranges from 50% to a 150% of target based on both market (TSR) and performance (EPS) conditions. The performance shares vest at the end of the three-year performance cycle. If a participant terminate employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service, the performance shares shall continue outstanding and vest at the end of the performance cycle. | ||
Restricted Stock Units (RSUs) | Executive Officers | |||
Stock-based compensation | |||
Stock granted | 152,773 | 166,648 | 138,516 |
Restricted Stock Expense | $ 7,700,000 | $ 6,900,000 | $ 5,600,000 |
Incentive award, tax benefit | 1,200,000 | $ 1,100,000 | $ 1,100,000 |
Fair Market Value of stock vested at vesting date | $ 18,900,000 | ||
Stock-Based Compensation, vesting rights | the compensation cost associated with the shares of restricted stock is determined based on a two-prong vesting schedule. The first part is vested ratably over five years commencing at the date of grant (the “graduated vesting portion”) and the second part is vested at termination of employment after attaining 55 years of age and 10 years of service (the “retirement vesting portion”). The graduated vesting portion is accelerated at termination of employment after attaining 55 years of age and 10 years of service. The vesting schedule for restricted shares granted on or after 2014 was modified as follows, the first part is vested ratably over four years commencing at the date of the grant (the “graduated vesting portion”) and the second part is vested at termination of employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service (the “retirement vesting portion”). The graduated vesting portion is accelerated at termination of employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service. | ||
Restricted Stock Units (RSUs) | Executive Officers | Share Vesting On Grant Date | |||
Stock-based compensation | |||
Fair value of stocks vested at grant date | $ 13,700,000 | ||
Restricted Stock Units (RSUs) | Directors | |||
Stock-based compensation | |||
Stock granted | 27,449 | 0 | 0 |
Restricted Stock Expense | $ 0 | $ 0 | |
Incentive award, tax benefit | 0 | $ 0 | |
Fair value of stocks vested at grant date | $ 52,000 | $ 1,600,000 | |
Performance Based Shares | Minimum | |||
Stock-based compensation | |||
Vested and expected to vest range based on shareholder return | 50.00% | ||
Performance Based Shares | Maximum | |||
Stock-based compensation | |||
Vested and expected to vest range based on shareholder return | 150.00% | ||
Performance Based Shares | Executive Officers | |||
Stock-based compensation | |||
Stock granted | 65,396 | 72,414 | 73,684 |
Restricted Stock Expense | $ 4,600,000 | $ 5,600,000 | $ 1,200,000 |
Incentive award, tax benefit | $ 300,000 | $ 400,000 | $ 100,000 |
Stock-Based Compensation, vesting rights | The number of shares that will ultimately vest ranges from 50% to a 150% of target based on both market (TSR) and performance (EPS) conditions. The performance shares vest at the end of the three-year performance cycle. If a participant terminate employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service, the performance shares shall continue outstanding and vest at the end of the performance cycle. |
Income taxes - Components of in
Income taxes - Components of income tax expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current income tax expense | |||
Puerto Rico | $ 2,251 | $ 126,700 | $ 17,356 |
Federal and States | 3,598 | 6,841 | 6,046 |
Subtotal current income tax expense | 5,849 | 133,541 | 23,402 |
Deferred income tax expense (benefit) | |||
Puerto Rico | 123,337 | (62,601) | 31,132 |
Federal and States | 17,995 | 20,953 | 7,938 |
Adjustments in net deferred tax due to change in tax law | 0 | 27,686 | 168,358 |
Subtotal deferred income tax expense (benefit) | 141,332 | (13,962) | 207,428 |
Income tax expense | $ 147,181 | $ 119,579 | $ 230,830 |
Income taxes - Differences betw
Income taxes - Differences between income tax expense (benefit) in Puerto Rico (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Amount | |||
Adjustments in net deferred tax due to change in tax law | $ 0 | $ 27,686 | $ 168,358 |
Income tax expense | 147,181 | 119,579 | 230,830 |
PUERTO RICO | |||
Amount | |||
Computed income tax at statutory rates | 306,869 | 287,717 | 132,020 |
Net benefit of net tax exempt interest income | (145,597) | (97,199) | (76,815) |
Deferred tax asset valuation allowance | 16,992 | 27,336 | 20,882 |
Difference in tax rates due to multiple jurisdictions | (12,888) | (16,324) | (2,217) |
Adjustments in net deferred tax due to change in tax law | (6,559) | 27,686 | 168,358 |
Unrecognized tax benefits | 0 | (1,621) | (1,185) |
State and local taxes | 4,749 | 8,772 | 4,123 |
Other | (6,823) | (5,050) | (1,232) |
Income tax expense | $ 147,181 | $ 119,579 | $ 230,830 |
% of pre-tax income | |||
Computed income tax at statutory rates | 37.50% | 39.00% | 39.00% |
Net benefit of net tax exempt interest income | (18.00%) | (13.00%) | (23.00%) |
Deferred tax asset valuation allowance | 2.00% | 4.00% | 6.00% |
Difference in tax rates due to multiple jurisdictions | (2.00%) | (3.00%) | (1.00%) |
Adjustments in net deferred tax due to change in tax law | (1.00%) | 4.00% | 50.00% |
Unrecognized tax benefits | 0.00% | 0.00% | 0.00% |
State and local taxes | 1.00% | 1.00% | 1.00% |
Others | (1.00%) | (1.00%) | 0.00% |
Income tax expense | 17.50% | 16.00% | 68.00% |
PUERTO RICO | Effect Of Income Subject To Preferential Tax Rate | |||
Amount | |||
Other | $ (9,562) | $ (111,738) | $ (13,104) |
% of pre-tax income | |||
Others | (1.00%) | (15.00%) | (4.00%) |
Income taxes - Components of de
Income taxes - Components of deferred tax assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Tax credits available for carryforward | $ 7,637 | $ 23,657 |
Net operating loss and other carryforward available | 829,599 | 837,087 |
Postretirement and pension benefits | 82,623 | 83,390 |
Allowance for loan losses | 416,456 | 535,255 |
Accelerated depreciation | 8,353 | 7,749 |
FDIC-assisted transaction | 82,684 | 95,851 |
Difference in outside basis from pass-through entities | 21,670 | 20,209 |
Operating lease liabilities | 46,081 | |
Other temporary differences | 34,014 | 32,479 |
Total gross deferred tax assets | 1,530,481 | 1,641,682 |
Deferred tax liabilities: | ||
Indefinite-lived intangibles | 73,469 | 73,678 |
Unrealized net gain (loss) on trading and available-for-sale securities | 16,067 | 11,040 |
Operating ROU assets | 42,028 | |
Other temporary differences | 13,957 | 11,688 |
Total gross deferred tax liabilities | 145,521 | 96,406 |
Valuation allowance | 499,975 | 496,307 |
Net deferred tax asset | 884,985 | 1,048,969 |
PUERTO RICO | ||
Deferred tax assets: | ||
Tax credits available for carryforward | 2,368 | 15,900 |
Net operating loss and other carryforward available | 112,803 | 116,154 |
Postretirement and pension benefits | 82,623 | 83,390 |
Allowance for loan losses | 405,475 | 516,643 |
Accelerated depreciation | 3,439 | 1,963 |
FDIC-assisted transaction | 82,684 | 95,851 |
Difference in outside basis from pass-through entities | 21,670 | 20,209 |
Operating lease liabilities | 22,694 | |
Other temporary differences | 26,554 | 24,957 |
Total gross deferred tax assets | 764,433 | 879,801 |
Deferred tax liabilities: | ||
Indefinite-lived intangibles | 37,411 | 34,081 |
Unrealized net gain (loss) on trading and available-for-sale securities | 15,635 | 23,823 |
Operating ROU assets | 20,598 | |
Other temporary differences | 12,778 | 10,579 |
Total gross deferred tax liabilities | 86,422 | 68,483 |
Valuation allowance | 100,175 | 89,852 |
Net deferred tax asset | 577,836 | 721,466 |
UNITED STATES | ||
Deferred tax assets: | ||
Tax credits available for carryforward | 5,269 | 7,757 |
Net operating loss and other carryforward available | 716,796 | 720,933 |
Postretirement and pension benefits | 0 | 0 |
Allowance for loan losses | 10,981 | 18,612 |
Accelerated depreciation | 4,914 | 5,786 |
FDIC-assisted transaction | 0 | 0 |
Difference in outside basis from pass-through entities | 0 | 0 |
Operating lease liabilities | 23,387 | |
Other temporary differences | 7,460 | 7,522 |
Total gross deferred tax assets | 766,048 | 761,881 |
Deferred tax liabilities: | ||
Indefinite-lived intangibles | 36,058 | 39,597 |
Unrealized net gain (loss) on trading and available-for-sale securities | 432 | (12,783) |
Operating ROU assets | 21,430 | |
Other temporary differences | 1,179 | 1,109 |
Total gross deferred tax liabilities | 59,099 | 27,923 |
Valuation allowance | 399,800 | 406,455 |
Net deferred tax asset | 307,149 | 327,503 |
Deferred loans origination fees | ||
Deferred tax assets: | ||
Deferred income | (240) | 1,936 |
Deferred loans origination fees | PUERTO RICO | ||
Deferred tax assets: | ||
Deferred income | 2,519 | 3,216 |
Deferred loans origination fees | UNITED STATES | ||
Deferred tax assets: | ||
Deferred income | (2,759) | (1,280) |
Deferred gain | ||
Deferred tax assets: | ||
Deferred income | 2,551 | |
Deferred gain | PUERTO RICO | ||
Deferred tax assets: | ||
Deferred income | 0 | |
Deferred gain | UNITED STATES | ||
Deferred tax assets: | ||
Deferred income | 2,551 | |
Intercompany deferred gains | ||
Deferred tax assets: | ||
Deferred income | 1,604 | 1,518 |
Intercompany deferred gains | PUERTO RICO | ||
Deferred tax assets: | ||
Deferred income | 1,604 | 1,518 |
Intercompany deferred gains | UNITED STATES | ||
Deferred tax assets: | ||
Deferred income | $ 0 | $ 0 |
Income taxes - Net operating lo
Income taxes - Net operating loss carryfowards (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | $ 800,574 |
Tax Year 2020 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 492 |
Tax Year 2021 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 16 |
Tax Year 2022 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 396 |
Tax Year 2024 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 9,181 |
Tax Year 2025 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 13,516 |
Tax Year 2026 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 13,403 |
Tax Year 2027 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 22,343 |
Tax Year 2028 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 324,569 |
Tax Year 2029 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 110,075 |
Tax Year 2030 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 100,017 |
Tax Year 2031 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 94,332 |
Tax Year 2032 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 16,801 |
Tax Year 2033 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 2,945 |
Tax Year 2034 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 81,253 |
Tax Year 2037 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 7,489 |
Tax Year 2038 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | 1,642 |
Tax Year 2039 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss and other carryforward available | $ 2,104 |
Income taxes - Reconciliation o
Income taxes - Reconciliation of unrecognized tax benefits (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure | ||
Beginning Balance | $ 7.2 | $ 7.3 |
Addition for tax positions | 1.1 | |
Additions for tax positions taken in prior years | 9.1 | |
Reduction as a result of lapse of statute of limitations | (1.2) | |
Ending Balance | $ 16.3 | $ 7.2 |
Income taxes - Additional Infor
Income taxes - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes | |||
Deferred tax assets gross | $ 1,530,481 | $ 1,641,682 | |
Valuation allowance | 499,975 | 496,307 | |
Net deferred tax assets (net of valuation allowance) | 886,353 | 1,049,895 | |
Gross deferred income liabilities | 145,521 | 96,406 | |
Net deferred tax asset | 884,985 | 1,048,969 | |
Unrecognized Tax Benefits Interest On Income Taxes Accrued | 3,500 | 2,800 | |
Unrecognized Tax Benefits That Would Impact Effective Tax Rate | 10,500 | 9,000 | |
Recognized Tax Benefits Current Interest On Income Taxes Accrued | 664 | 615 | |
Unrecognized Tax Benefits Expected Decreases Resulting From Settlements With Taxing Authorities | 2,100 | ||
Income tax expense | 147,181 | 119,579 | $ 230,830 |
Interest Expense Reduction Due To Expiration Of The Statue Of Limitations | 26,000 | 483 | |
Deferred tax asset unrecognized tax benefit | 8,700 | ||
Closing Agreement with the Puerto Rico Department of Treasury | |||
Income Taxes | |||
Income tax expense | 108,900 | ||
FDIC Termination Agreement | |||
Income Taxes | |||
Income tax expense | 45,000 | ||
"Deemed sale" incremental tax liability at the capital gains rate | Closing Agreement with the Puerto Rico Department of Treasury | |||
Income Taxes | |||
Income tax expense | 49,800 | ||
Increase in the deferred tax asset due to increase in the tax basis of the loans | Closing Agreement with the Puerto Rico Department of Treasury | |||
Income Taxes | |||
Income tax expense | 158,700 | ||
Qualified Plan | |||
Income Taxes | |||
Deferred Tax Assets, Other Loss Carryforwards | 29,000 | ||
Other liabilities | |||
Income Taxes | |||
Net deferred tax liabilities | 1,400 | 926 | |
PUERTO RICO | |||
Income Taxes | |||
Deferred tax assets gross | 764,433 | 879,801 | |
Valuation allowance | 100,175 | 89,852 | |
Gross deferred income liabilities | 86,422 | 68,483 | |
Net deferred tax asset | $ 577,836 | 721,466 | |
Dividends Received Deduction From Controlled Subsidiary Percentage | 100.00% | ||
Dividends Received Deductions From Other Taxable Domestic Corporations Percentage | 85.00% | ||
Income tax expense | $ 147,181 | $ 119,579 | $ 230,830 |
Corporate tax rate | 37.50% | 39.00% | 39.00% |
Income tax expense recognized attributable to Law Act No. 257 | $ 27,700 | ||
Tax benefit related to the tax benefit of the exempt income | $ 145,597 | 97,199 | $ 76,815 |
UNITED STATES | |||
Income Taxes | |||
Deferred tax assets gross | 766,048 | 761,881 | |
Valuation allowance | 399,800 | 406,455 | |
Gross deferred income liabilities | 59,099 | 27,923 | |
Deferred Tax Assets | 707,000 | ||
Net deferred tax asset | $ 307,149 | $ 327,503 |
Supplemental disclosure on th_3
Supplemental disclosure on the consolidated statments of cash flows - Non-cash activities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |||
Supplemental Cash Flow Information | |||||
Income Taxes Paid, Net | $ 14,461 | $ 4,116 | $ 2,433 | ||
Interest Paid | 369,383 | 296,757 | 221,432 | ||
Cash Flow Noncash Investing And Financing Activities Disclosure Abstract | |||||
Loans transferred to other real estate | 67,056 | 47,965 | 82,035 | ||
Loans transferred to other property | 53,286 | 43,645 | 27,407 | ||
Total loans transferred to foreclosed assets | 120,342 | 91,610 | 109,442 | ||
Loans transfered to other assets | 16,503 | 16,843 | 7,514 | ||
Financed sales of other real estate assets | 15,907 | 16,779 | 11,237 | ||
Financed sales of other foreclosed assets | 30,840 | 17,867 | 8,435 | ||
Total financed sales of other foreclosed and real estate assets | 46,747 | 34,646 | 19,672 | ||
Transfers from loans held-in-portfolio to loans held-for-sale | 0 | 0 | 2,472 | ||
Transfers from loans held-for-sale to loans held-in-portfolio | 7,829 | 20,938 | 1,705 | ||
Loans securitized into investment securities | 458,758 | [1] | 506,685 | [1] | 462,033 |
Trades receivables from brokers and counterparties | 39,364 | 40,088 | 7,514 | ||
Trades payable to brokers and counterparties | 4,084 | 64 | 2 | ||
Receivables from investment securities | 0 | 70,000 | 70,000 | ||
Recognition of mortgage servicing rights on securitizations or asset transfers | 9,143 | 10,223 | 7,661 | ||
Interest capitalized on loans subject to the temporary payment moratorium | 0 | 481 | 46,944 | ||
Loans booked under the GNMA buy-back option | 72,480 | 384,371 | 790,942 | ||
Capitalization Of Right Of Use Assets | 189,097 | 0 | 0 | ||
Gain from the FDIC termination agreement | 0 | 102,752 | 0 | ||
Capitalization of lease right of use asset | $ 189,097 | $ 0 | $ 0 | ||
[1] | Includes loans securitized into trading securities and subsequently sold before year end. |
Supplemental disclosure on th_4
Supplemental disclosure on the consolidated statments of cash flows - Cash and due from banks, and restricted cash (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Supplemental Cash Flow Information | ||||
Cash and due from banks | $ 361,705 | $ 353,936 | $ 381,289 | |
Restricted cash and due from banks | 26,606 | 40,099 | 21,568 | |
Restricted cash in money market investments | 6,012 | 9,216 | 9,772 | |
Total cash and due from banks, and restricted cash shown in the statement of cash flow | $ 394,323 | $ 403,251 | $ 412,629 | $ 374,196 |
Segment reporting - Results of
Segment reporting - Results of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information | |||
Net Interest income (expense) | $ 1,891,694 | $ 1,734,877 | $ 1,501,964 |
Provision (reversal) for loan losses | 165,779 | 228,072 | 325,424 |
Non interest Income | 569,883 | 652,494 | 419,167 |
Amortization of intangibles | 9,370 | 9,326 | 9,378 |
Depreciation expense | 58,067 | 53,300 | 48,364 |
Loss on early extinguishment of debt | 0 | 12,522 | 0 |
Other operating expenses | 1,410,045 | 1,346,414 | 1,199,454 |
Income tax expense | 147,181 | 119,579 | 230,830 |
Net income (loss) from continuing operations | 671,135 | 618,158 | 107,681 |
Segment assets | 52,115,324 | 47,604,577 | 44,277,337 |
Reportable Segment | |||
Segment Reporting Information | |||
Net Interest income (expense) | 1,929,369 | 1,786,752 | 1,560,573 |
Provision (reversal) for loan losses | 165,523 | 228,323 | 330,976 |
Non interest Income | 529,338 | 612,366 | 384,022 |
Amortization of intangibles | 9,274 | 9,285 | 9,378 |
Depreciation expense | 57,321 | 52,557 | 47,715 |
Loss on early extinguishment of debt | 0 | ||
Other operating expenses | 1,413,130 | 1,254,620 | 1,127,415 |
Income tax expense | 148,309 | 146,489 | 264,397 |
Net income (loss) from continuing operations | 665,150 | 707,844 | 164,714 |
Segment assets | 51,794,604 | 47,304,409 | 43,994,932 |
Intersegment Elimination | |||
Segment Reporting Information | |||
Net Interest income (expense) | (51) | (2) | (217) |
Provision (reversal) for loan losses | 0 | 0 | 0 |
Non interest Income | (561) | (560) | (572) |
Amortization of intangibles | 0 | 0 | 0 |
Depreciation expense | 0 | 0 | 0 |
Other operating expenses | (547) | (546) | (551) |
Income tax expense | 0 | 0 | (93) |
Net income (loss) from continuing operations | (65) | (16) | (145) |
Segment assets | (18,576) | (114,923) | (16,992) |
Corporate | |||
Segment Reporting Information | |||
Net Interest income (expense) | (37,675) | (51,875) | (58,609) |
Provision (reversal) for loan losses | 256 | (251) | 403 |
Non interest Income | 43,901 | 42,914 | 37,949 |
Amortization of intangibles | 96 | 41 | 0 |
Depreciation expense | 746 | 743 | 649 |
Loss on early extinguishment of debt | 12,522 | ||
Other operating expenses | 55 | 94,640 | 74,731 |
Income tax expense | (1,041) | (26,947) | (35,835) |
Net income (loss) from continuing operations | 6,114 | (89,709) | (60,608) |
Segment assets | 5,228,276 | 5,099,491 | 5,046,153 |
Eliminations | |||
Segment Reporting Information | |||
Net Interest income (expense) | 0 | 0 | 0 |
Provision (reversal) for loan losses | 0 | 0 | (5,955) |
Non interest Income | (3,356) | (2,786) | (2,804) |
Amortization of intangibles | 0 | 0 | 0 |
Depreciation expense | 0 | 0 | 0 |
Loss on early extinguishment of debt | 0 | ||
Other operating expenses | (3,140) | (2,846) | (2,692) |
Income tax expense | (87) | 37 | 2,268 |
Net income (loss) from continuing operations | (129) | 23 | 3,575 |
Segment assets | (4,907,556) | (4,799,323) | (4,763,748) |
Banco Popular de Puerto Rico | Reportable Segment | |||
Segment Reporting Information | |||
Net Interest income (expense) | 1,633,950 | 1,482,178 | 1,279,844 |
Provision (reversal) for loan losses | 135,495 | 198,442 | 253,032 |
Non interest Income | 506,739 | 592,938 | 364,164 |
Amortization of intangibles | 8,610 | 8,620 | 8,713 |
Depreciation expense | 49,058 | 43,504 | 39,162 |
Other operating expenses | 1,208,458 | 1,073,012 | 957,924 |
Income tax expense | 129,145 | 121,195 | 72,741 |
Net income (loss) from continuing operations | 609,923 | 630,343 | 312,436 |
Segment assets | 41,756,864 | 38,037,696 | 34,843,668 |
Banco Popular de Puerto Rico | Reportable Segment | Commercial Banking | |||
Segment Reporting Information | |||
Net Interest income (expense) | 619,926 | 584,293 | 518,404 |
Provision (reversal) for loan losses | (46,099) | 105,604 | 8,911 |
Non interest Income | 99,758 | 84,762 | 79,630 |
Amortization of intangibles | 195 | 208 | 211 |
Depreciation expense | 20,024 | 17,668 | 17,338 |
Other operating expenses | 309,762 | 276,158 | 239,369 |
Income tax expense | 104,636 | 76,255 | 93,378 |
Net income (loss) from continuing operations | 331,166 | 193,162 | 238,827 |
Segment assets | 34,340,842 | 27,712,852 | 21,735,909 |
Banco Popular de Puerto Rico | Reportable Segment | Consumer and Retail Banking | |||
Segment Reporting Information | |||
Net Interest income (expense) | 1,009,196 | 892,735 | 753,922 |
Provision (reversal) for loan losses | 181,594 | 92,838 | 244,121 |
Non interest Income | 303,268 | 311,775 | 194,741 |
Amortization of intangibles | 4,294 | 4,275 | 4,274 |
Depreciation expense | 28,411 | 25,222 | 21,120 |
Other operating expenses | 835,582 | 718,990 | 656,998 |
Income tax expense | 11,999 | 100,925 | (31,404) |
Net income (loss) from continuing operations | 250,584 | 262,260 | 53,554 |
Segment assets | 23,976,004 | 22,712,950 | 20,180,173 |
Banco Popular de Puerto Rico | Reportable Segment | Other Financial Services | |||
Segment Reporting Information | |||
Net Interest income (expense) | 4,828 | 5,201 | 7,499 |
Provision (reversal) for loan losses | 0 | 0 | 0 |
Non interest Income | 106,218 | 95,199 | 90,222 |
Amortization of intangibles | 4,121 | 4,137 | 4,228 |
Depreciation expense | 623 | 614 | 704 |
Other operating expenses | 65,631 | 71,344 | 62,030 |
Income tax expense | 12,510 | 7,903 | 10,767 |
Net income (loss) from continuing operations | 28,161 | 16,402 | 19,992 |
Segment assets | 380,557 | 376,992 | 520,717 |
Banco Popular de Puerto Rico | Reportable Segment | Eliminations | |||
Segment Reporting Information | |||
Net Interest income (expense) | 0 | (51) | 19 |
Provision (reversal) for loan losses | 0 | 0 | 0 |
Non interest Income | (2,505) | 101,202 | (429) |
Amortization of intangibles | 0 | 0 | 0 |
Depreciation expense | 0 | 0 | 0 |
Other operating expenses | (2,517) | 6,520 | (473) |
Income tax expense | 0 | (63,888) | 0 |
Net income (loss) from continuing operations | 12 | 158,519 | 63 |
Segment assets | (16,940,539) | (12,765,098) | (7,593,131) |
PB | Reportable Segment | |||
Segment Reporting Information | |||
Net Interest income (expense) | 295,470 | 304,576 | 280,946 |
Provision (reversal) for loan losses | 30,028 | 29,881 | 77,944 |
Non interest Income | 23,160 | 19,988 | 20,430 |
Amortization of intangibles | 664 | 665 | 665 |
Depreciation expense | 8,263 | 9,053 | 8,553 |
Other operating expenses | 205,219 | 182,154 | 170,042 |
Income tax expense | 19,164 | 25,294 | 191,749 |
Net income (loss) from continuing operations | 55,292 | 77,517 | (147,577) |
Segment assets | $ 10,056,316 | $ 9,381,636 | $ 9,168,256 |
Segment reporting - Results o_2
Segment reporting - Results of Operations - Parenthetical (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information | |||
Gain from the FDIC termination agreement | $ 0 | $ 102,752 | $ 0 |
Income tax expense | $ 147,181 | 119,579 | $ 230,830 |
Termination Agreement With FDIC and Tax Closing Agreement | |||
Segment Reporting Information | |||
Gain from the FDIC termination agreement | 102,800 | ||
Other operating expenses | 8,100 | ||
Income tax expense | $ 63,900 |
Segment reporting - Geographic
Segment reporting - Geographic information - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information | |||
Net Revenue | $ 2,461,577 | $ 2,387,371 | $ 1,921,131 |
PUERTO RICO | |||
Segment Reporting Information | |||
Net Revenue | 2,016,089 | 1,953,671 | 1,527,758 |
UNITED STATES | |||
Segment Reporting Information | |||
Net Revenue | 371,368 | 357,680 | 318,093 |
Other | |||
Segment Reporting Information | |||
Net Revenue | $ 74,120 | $ 76,020 | $ 75,280 |
Segment reporting - Selected Ba
Segment reporting - Selected Balance Sheet information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Segment Reporting Information | |||
Total assets | $ 52,115,324 | $ 47,604,577 | $ 44,277,337 |
Deposits | 43,758,606 | 39,710,039 | |
PUERTO RICO | |||
Segment Reporting Information | |||
Total assets | 40,544,255 | 36,863,930 | 33,705,624 |
Loans | 18,989,286 | 18,837,742 | 17,591,078 |
Deposits | 34,664,243 | 31,237,529 | 27,575,292 |
UNITED STATES | |||
Segment Reporting Information | |||
Total assets | 10,693,536 | 9,847,944 | 9,648,865 |
Loans | 7,819,187 | 7,034,075 | 6,608,056 |
Deposits | 7,664,792 | 6,878,599 | 6,635,153 |
Other | |||
Segment Reporting Information | |||
Total assets | 877,533 | 892,703 | 922,848 |
Loans | 657,603 | 687,494 | 743,329 |
Deposits | $ 1,429,571 | $ 1,593,911 | $ 1,243,063 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($)units | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Segment Reporting Information | |||
Number Of Operating Segments | units | 2 | ||
Factors Used To Identify Entitys Reportable Segments | Banco Popular de Puerto Rico and Popular U.S.Management determined the reportable segments based on the internal reporting used to evaluate performance and to assess where to allocate resources. | ||
Net Revenue | $ 2,461,577 | $ 2,387,371 | $ 1,921,131 |
Assets | 52,115,324 | 47,604,577 | 44,277,337 |
Deposits | 43,758,606 | 39,710,039 | |
UNITED STATES | |||
Segment Reporting Information | |||
Net Revenue | 371,368 | 357,680 | 318,093 |
Assets | 10,693,536 | 9,847,944 | 9,648,865 |
Deposits | 7,664,792 | 6,878,599 | 6,635,153 |
Other | |||
Segment Reporting Information | |||
Net Revenue | 74,120 | 76,020 | 75,280 |
Assets | 877,533 | 892,703 | 922,848 |
Deposits | 1,429,571 | 1,593,911 | 1,243,063 |
Popular U.S. | |||
Segment Reporting Information | |||
Intercompany billings | 12,500 | 10,300 | |
Banco Popular de Puerto Rico | |||
Segment Reporting Information | |||
Intercompany billings | 78,300 | 66,400 | |
Banco Popular de Puerto Rico | UNITED STATES | |||
Segment Reporting Information | |||
Net Revenue | 55,700 | 37,600 | 24,500 |
Assets | 635,000 | 455,000 | |
Deposits | 46,000 | 92,000 | |
Banco Popular de Puerto Rico | Other | |||
Segment Reporting Information | |||
Net Revenue | $ 47,600 | $ 48,800 | $ 50,500 |
Note Popular, Inc. (Holding com
Note Popular, Inc. (Holding company only) financial information (Statement of Condition) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets: | ||||
Cash and due from banks | $ 388,311 | $ 394,035 | ||
Money market investments | 3,262,286 | 4,171,048 | ||
Debt securities held-to-maturity, at amortized cost | 97,662 | 101,575 | ||
Equity securities | 159,887 | 155,584 | ||
Allowance for loan losses | 477,708 | 569,348 | $ 623,426 | |
Premises and equipment, net | 556,650 | 569,808 | ||
Carrying value of equity method Investment | 237,081 | 228,072 | ||
Total assets | 52,115,324 | 47,604,577 | 44,277,337 | |
Liabilities and Stockholders' Equity | ||||
Notes Payable | 1,101,608 | 1,256,102 | ||
Others | 46,296 | 45,115 | ||
Stockholders equity | 6,016,779 | 5,435,057 | $ 5,103,905 | $ 5,197,957 |
Total liabilities and stockholders' equity | 52,115,324 | 47,604,577 | ||
Popular, Inc. Holding Co. | ||||
Assets: | ||||
Cash and due from banks | 55,956 | 68,022 | ||
Money market investments | 221,598 | 176,256 | ||
Debt securities held-to-maturity, at amortized cost | 8,726 | 8,726 | ||
Equity securities | 10,744 | 6,693 | ||
Other loans | 32,027 | 32,678 | ||
Allowance for loan losses | 410 | 155 | ||
Premises and equipment, net | 3,893 | 3,394 | ||
Carrying value of equity method Investment | 75,739 | 62,781 | ||
Other Assets | 25,087 | 20,281 | ||
Total assets | 6,676,425 | 6,082,795 | ||
Liabilities and Stockholders' Equity | ||||
Notes Payable | 586,119 | 584,851 | ||
Others | 73,596 | 62,799 | ||
Stockholders equity | 6,016,710 | 5,435,145 | ||
Total liabilities and stockholders' equity | 6,676,425 | 6,082,795 | ||
Popular, Inc. Holding Co. | BPPR and subsidiaries | ||||
Assets: | ||||
Investment in subsidiaries, at equity | 4,233,046 | 3,813,640 | ||
Popular, Inc. Holding Co. | Popular North America and subsidiaries | ||||
Assets: | ||||
Investment in subsidiaries, at equity | 1,749,518 | 1,648,577 | ||
Popular, Inc. Holding Co. | Other non-bank subsidiaries | ||||
Assets: | ||||
Investment in subsidiaries, at equity | $ 260,501 | $ 241,902 |
Note Popular, Inc. (Holding c_2
Note Popular, Inc. (Holding company only) financial information (Statement of Condition) (Parenthetical) (Detail) - Popular, Inc. Holding Co. - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Cash and due from bank subsidiary | $ 56,008 | $ 68,022 |
Common securities from statutory trusts | 8,726 | 8,726 |
Other assets due from subsidiaries and affiliate | 4,353 | 1,355 |
Other liabilities due to subsidiaries and affiliate | $ 2,109 | $ 3,110 |
Note Popular, Inc. (Holding c_3
Note Popular, Inc. (Holding company only) financial information (Statement of Operations) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues | |||
Dividend income from subsidiaries | $ 0 | $ 0 | $ 0 |
Earnings from investments under the equity method | 43,000 | 38,000 | |
Net gain (loss), including impairment on equity securities | 2,506 | (2,081) | 251 |
Net loss on trading account debt securities | 994 | (208) | (817) |
Expenses | |||
Interest expense | 369,099 | 286,971 | 223,980 |
Provision (reversal) for loan losses | 165,779 | 228,072 | 325,424 |
Loss on early extinguishment of debt | 0 | 12,522 | 0 |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 818,316 | 737,737 | 338,511 |
Income tax expense | 147,181 | 119,579 | 230,830 |
Income (loss) before equity in undistributed earnings of subdidiaries | 671,135 | 618,158 | 107,681 |
Equity in undistributed earnings (losses) of subsidiaries | 0 | 0 | 0 |
Net income (loss) | 671,135 | 618,158 | 107,681 |
Comprehensive income (loss), net of tax | 929,171 | 540,836 | 77,315 |
Popular, Inc. Holding Co. | |||
Revenues | |||
Dividend income from subsidiaries | 408,000 | 453,200 | 211,500 |
Interest income | 6,669 | 8,366 | 4,238 |
Earnings from investments under the equity method | 17,279 | 15,498 | 11,761 |
Other operating income | 1 | 253 | 86 |
Net gain (loss), including impairment on equity securities | 988 | (777) | 0 |
Net loss on trading account debt securities | 0 | 0 | 266 |
Total income | 432,937 | 476,540 | 227,851 |
Expenses | |||
Interest expense | 38,528 | 51,218 | 52,470 |
Provision (reversal) for loan losses | 256 | (251) | 403 |
Loss on early extinguishment of debt | 0 | 12,522 | 0 |
Operating expenses, net of reimbursement by subsidiaries for services provided by parent | 80 | 3,656 | (1,773) |
Total expense | 38,864 | 67,145 | 51,100 |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 394,073 | 409,395 | 176,751 |
Income tax expense | 0 | 0 | 0 |
Income (loss) before equity in undistributed earnings of subdidiaries | 394,073 | 409,395 | 176,751 |
Equity in undistributed earnings (losses) of subsidiaries | 277,062 | 208,763 | (69,070) |
Net income (loss) | 671,135 | 618,158 | 107,681 |
Comprehensive income (loss), net of tax | $ 929,171 | $ 540,836 | $ 77,315 |
Note Popular, Inc. (Holding c_4
Note Popular, Inc. (Holding company only) financial information (Statement of Operations) (Parenthetical) (Detail) - Popular, Inc. Holding Co. - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues | |||
Interest income from subsidiaries and affiliate | $ 4,237 | $ 6,121 | $ 3,183 |
Expenses | |||
Operating expenses for services by subsidiaries and affiliates | 14,400 | 10,511 | 8,225 |
Expense reimbursement by subsidiaries for services provided by parent | $ 106,725 | $ 90,807 | $ 76,720 |
Note Popular, Inc. (Holding c_5
Note Popular, Inc. (Holding company only) financial information (Statement of Cash Flows) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements, Captions | |||
Net income | $ 671,135 | $ 618,158 | $ 107,681 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | 0 | 0 | 0 |
Provision (reversal) for loan losses | 165,779 | 228,072 | 325,424 |
Amortization of intangibles | 9,370 | 9,326 | 9,378 |
Share-based compensation | 12,303 | 10,521 | 0 |
Net accretion of discounts and amortization of premiums and deferred fees | (158,070) | (87,154) | (22,310) |
Earnings from investments under the equity method, net of dividends or distributions | (28,011) | (24,217) | (18,247) |
Deferred income tax expense | 141,332 | (12,320) | 207,428 |
Early extinguishment of debt | 0 | 12,522 | 0 |
Net decrease (increase) in: | |||
Equity securities | (8,032) | (1,622) | (1,269) |
Net (decrease) increase in: | |||
Interest payable | (284) | (9,786) | 2,549 |
Other liabilities | (116,443) | (226,244) | 28,279 |
Total adjustments | 34,232 | 229,345 | 528,803 |
Net cash (used in) provided by operating activities | 705,367 | 847,503 | 636,484 |
Cash flows from investing activities: | |||
Net decrease in money market investments | 905,558 | 1,083,515 | (2,366,932) |
Capital Contribution Subsidiaries | 0 | 0 | 0 |
Net (disbursements) repayments on loans | (641,029) | (6,665) | (398,676) |
Return of capital from wholly owned subsidiaries | 0 | 0 | 0 |
Acquisition of loan portfolios | (619,737) | (601,550) | (535,534) |
Payments to acquire other intangible | (10,382) | 0 | 0 |
Acquisition of premises and equipment | (75,665) | (80,549) | (62,697) |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 18,608 | 9,185 | 9,753 |
Foreclosed assets | 107,881 | 105,371 | 96,540 |
Net cash (used in) provided by investing activities | (4,169,852) | (4,390,667) | (5,351,738) |
Cash flows from financing activities: | |||
Payments of notes payable | (210,377) | (755,966) | (95,607) |
Payments for debt extinguishment | 0 | 12,522 | 0 |
Proceeds from issuance of notes payable | 75,000 | 473,819 | 55,000 |
Proceeds from issuance of common stock | 8,719 | 7,268 | 7,016 |
Dividends paid | (115,810) | (105,441) | (95,910) |
Net payments for repurchase of common stock | (250,581) | (125,264) | (75,664) |
Payments related to tax witholding for share-based compensation | (5,431) | (2,201) | (1,756) |
Net cash (used in) provided by financing activities | 3,455,557 | 3,533,786 | 4,753,687 |
Net (decrease) increase in cash and due from banks, and restricted cash | (8,928) | (9,378) | 38,433 |
Cash and due from banks and restricted cash at beginning of period | 403,251 | 412,629 | 374,196 |
Cash and due from banks and restricted cash at end of period | 394,323 | 403,251 | 412,629 |
Popular, Inc. Holding Co. | |||
Condensed Financial Statements, Captions | |||
Net income | 671,135 | 618,158 | 107,681 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | (277,062) | (208,763) | 69,070 |
Provision (reversal) for loan losses | 256 | (251) | 403 |
Amortization of intangibles | 96 | 41 | 0 |
Share-based compensation | 7,927 | 7,441 | 0 |
Net accretion of discounts and amortization of premiums and deferred fees | 1,240 | 2,022 | 2,086 |
Earnings from investments under the equity method, net of dividends or distributions | (14,948) | (14,333) | (7,765) |
Deferred income tax expense | 0 | 0 | 0 |
Early extinguishment of debt | 0 | 12,522 | 0 |
Net decrease (increase) in: | |||
Equity securities | (4,051) | (1,583) | (1,346) |
Other assets | 1,134 | 344 | 8,696 |
Net (decrease) increase in: | |||
Interest payable | 0 | (10,288) | 0 |
Other liabilities | 2,508 | 8,059 | 3,230 |
Total adjustments | (282,900) | (204,789) | 74,374 |
Net cash (used in) provided by operating activities | 388,235 | 413,369 | 182,055 |
Cash flows from investing activities: | |||
Net decrease in money market investments | (45,000) | 70,000 | 6,000 |
Capital Contribution Subsidiaries | (9,000) | (87,000) | (5,955) |
Net (disbursements) repayments on loans | 677 | 536 | 181 |
Return of capital from wholly owned subsidiaries | (13,000) | (13,000) | (22,400) |
Acquisition of loan portfolios | 0 | 0 | (31,909) |
Payments to acquire other intangible | 0 | 0 | (5,560) |
Acquisition of premises and equipment | (1,289) | (1,099) | (965) |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 3 | 293 | 23 |
Foreclosed assets | 0 | 0 | 38 |
Net cash (used in) provided by investing activities | (41,609) | (4,270) | (15,747) |
Cash flows from financing activities: | |||
Payments of notes payable | 0 | (448,518) | 0 |
Payments for debt extinguishment | 0 | 12,522 | 0 |
Proceeds from issuance of notes payable | 0 | 293,819 | 0 |
Proceeds from issuance of common stock | 13,451 | 11,653 | 7,016 |
Dividends paid | (115,810) | (105,441) | (95,910) |
Net payments for repurchase of common stock | (250,571) | (125,731) | (75,668) |
Payments related to tax witholding for share-based compensation | (5,420) | (2,201) | (1,756) |
Net cash (used in) provided by financing activities | (358,350) | (388,941) | (166,318) |
Net (decrease) increase in cash and due from banks, and restricted cash | (11,724) | 20,158 | (10) |
Cash and due from banks and restricted cash at beginning of period | 68,278 | 48,120 | 48,130 |
Cash and due from banks and restricted cash at end of period | $ 56,554 | $ 68,278 | $ 48,120 |
Note Popular, Inc. (Holding c_6
Note Popular, Inc. (Holding company only) financial information (Notes payable by contractual maturities) (Detail) - Notes Payable - Popular, Inc. Holding Co. $ in Thousands | Dec. 31, 2019USD ($) |
Debt Disclosure [Line Items] | |
2020 | $ 0 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 295,307 |
Later years | 290,812 |
Total | $ 586,119 |
Note Popular, Inc. (Holding c_7
Note Popular, Inc. (Holding company only) financial information - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Popular, Inc. Holding Co. | ||
Equity method investments, distributions | $ 2.3 | $ 1.2 |
Condensed Consolidating Stateme
Condensed Consolidating Statement of Condition (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets: | ||||
Cash and due from banks | $ 388,311,000 | $ 394,035,000 | ||
Money market investments | 3,262,286,000 | 4,171,048,000 | ||
Trading account debt securities, at fair value | 40,321,000 | 37,787,000 | ||
Debt Securities Available for Sale, at Fair Value | 17,648,473,000 | 13,300,184,000 | ||
Debt securities held-to-maturity, at amortized cost | 97,662,000 | 101,575,000 | ||
Equity securities | 159,887,000 | 155,584,000 | ||
Investment in subsidiaries | 0 | 0 | ||
Loans held-for-sale, at lower of cost or fair value | 59,203,000 | 51,422,000 | ||
Loans held-in-portfolio: | ||||
Loans held-in-portfolio | 27,587,856,000 | 26,663,713,000 | ||
Less - Unearned income | 180,983,000 | 155,824,000 | ||
Allowance for loan losses | 477,708,000 | 569,348,000 | $ 623,426,000 | |
Total loans held-in-portfolio, net | 26,929,165,000 | 25,938,541,000 | ||
Premises and equipment, net | 556,650,000 | 569,808,000 | ||
Other real estate | 122,072,000 | 136,705,000 | ||
Accrued income receivable | 180,871,000 | 166,022,000 | ||
Mortgage servicing assets, at fair value | 150,906,000 | 169,777,000 | 168,031,000 | |
Other assets | 1,819,615,000 | 1,714,134,000 | ||
Goodwill | 671,122,000 | 671,122,000 | 627,294,000 | |
Other intangible assets | 28,780,000 | 26,833,000 | ||
Total assets | 52,115,324,000 | 47,604,577,000 | 44,277,337,000 | |
Deposits: | ||||
Non-interest bearing | 9,160,173,000 | 9,149,036,000 | ||
Interest bearing | 34,598,433,000 | 30,561,003,000 | ||
Total deposits | 43,758,606,000 | 39,710,039,000 | ||
Assets sold under agreements to repurchase | 193,378,000 | 281,529,000 | ||
Other short-term borrowings | 0 | 42,000 | ||
Notes payable | 1,101,608,000 | 1,256,102,000 | ||
Other liabilities | 1,044,953,000 | 921,808,000 | ||
Total liabilities | 46,098,545,000 | 42,169,520,000 | ||
Stockholders' equity: | ||||
Preferred stock | 50,160,000 | 50,160,000 | ||
Common stock | 1,044,000 | 1,043,000 | ||
Surplus | 4,447,412,000 | 4,365,606,000 | ||
Retained Earnings (Accumulated Deficit) | 2,147,915,000 | 1,651,731,000 | ||
Treasury stock, at cost | (459,814,000) | (205,509,000) | ||
Accumulated other comprehensive (loss) income, net of tax | (169,938,000) | (427,974,000) | (350,652,000) | |
Total stockholders' equity | 6,016,779,000 | 5,435,057,000 | $ 5,103,905,000 | $ 5,197,957,000 |
Total liabilities and stockholders' equity | 52,115,324,000 | 47,604,577,000 | ||
Elimination | ||||
Assets: | ||||
Cash and due from banks | (56,008,000) | (68,022,000) | ||
Money market investments | (237,029,000) | (191,288,000) | ||
Trading account debt securities, at fair value | 0 | 0 | ||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | ||
Debt securities held-to-maturity, at amortized cost | 0 | 0 | ||
Equity securities | (199,000) | (141,000) | ||
Investment in subsidiaries | (8,049,648,000) | (7,404,201,000) | ||
Loans held-for-sale, at lower of cost or fair value | 0 | 0 | ||
Loans held-in-portfolio: | ||||
Loans held-in-portfolio | 5,955,000 | 5,955,000 | ||
Less - Unearned income | 0 | 0 | ||
Allowance for loan losses | 0 | 0 | ||
Total loans held-in-portfolio, net | 5,955,000 | 5,955,000 | ||
Premises and equipment, net | 0 | 0 | ||
Other real estate | 0 | 0 | ||
Accrued income receivable | (249,000) | (145,000) | ||
Mortgage servicing assets, at fair value | 0 | 0 | ||
Other assets | (18,383,000) | (15,697,000) | ||
Goodwill | (1,000) | (1,000) | ||
Other intangible assets | 0 | 0 | ||
Total assets | (8,355,562,000) | (7,673,540,000) | ||
Deposits: | ||||
Non-interest bearing | (56,008,000) | (68,022,000) | ||
Interest bearing | (237,029,000) | (191,288,000) | ||
Total deposits | (293,037,000) | (259,310,000) | ||
Assets sold under agreements to repurchase | 0 | 0 | ||
Other short-term borrowings | 0 | |||
Notes payable | 0 | 0 | ||
Other liabilities | (18,708,000) | (16,011,000) | ||
Total liabilities | (311,745,000) | (275,321,000) | ||
Stockholders' equity: | ||||
Preferred stock | 0 | 0 | ||
Common stock | (56,309,000) | (56,309,000) | ||
Surplus | (10,011,852,000) | (9,954,780,000) | ||
Retained Earnings (Accumulated Deficit) | 1,861,504,000 | 2,143,263,000 | ||
Treasury stock, at cost | (110,000) | (88,000) | ||
Accumulated other comprehensive (loss) income, net of tax | 162,950,000 | 469,695,000 | ||
Total stockholders' equity | (8,043,817,000) | (7,398,219,000) | ||
Total liabilities and stockholders' equity | (8,355,562,000) | (7,673,540,000) | ||
Popular, Inc. Holding Co. | ||||
Assets: | ||||
Cash and due from banks | 55,956,000 | 68,022,000 | ||
Money market investments | 221,598,000 | 176,256,000 | ||
Trading account debt securities, at fair value | 0 | 0 | ||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | ||
Debt securities held-to-maturity, at amortized cost | 8,726,000 | 8,726,000 | ||
Equity securities | 10,744,000 | 6,693,000 | ||
Investment in subsidiaries | 6,243,065,000 | 5,704,119,000 | ||
Loans held-for-sale, at lower of cost or fair value | 0 | 0 | ||
Loans held-in-portfolio: | ||||
Loans held-in-portfolio | 32,027,000 | 32,678,000 | ||
Less - Unearned income | 0 | 0 | ||
Allowance for loan losses | 410,000 | 155,000 | ||
Total loans held-in-portfolio, net | 31,617,000 | 32,523,000 | ||
Premises and equipment, net | 3,893,000 | 3,394,000 | ||
Other real estate | 146,000 | 146,000 | ||
Accrued income receivable | 382,000 | 284,000 | ||
Mortgage servicing assets, at fair value | 0 | 0 | ||
Other assets | 93,835,000 | 76,073,000 | ||
Goodwill | 0 | 0 | ||
Other intangible assets | 6,463,000 | 6,559,000 | ||
Total assets | 6,676,425,000 | 6,082,795,000 | ||
Deposits: | ||||
Non-interest bearing | 0 | 0 | ||
Interest bearing | 0 | 0 | ||
Total deposits | 0 | 0 | ||
Assets sold under agreements to repurchase | 0 | 0 | ||
Other short-term borrowings | 0 | |||
Notes payable | 586,119,000 | 584,851,000 | ||
Other liabilities | 73,596,000 | 62,799,000 | ||
Total liabilities | 659,715,000 | 647,650,000 | ||
Stockholders' equity: | ||||
Preferred stock | 50,160,000 | 50,160,000 | ||
Common stock | 1,044,000 | 1,043,000 | ||
Surplus | 4,438,706,000 | 4,357,079,000 | ||
Retained Earnings (Accumulated Deficit) | 2,156,442,000 | 1,660,258,000 | ||
Treasury stock, at cost | (459,704,000) | (205,421,000) | ||
Accumulated other comprehensive (loss) income, net of tax | (169,938,000) | (427,974,000) | ||
Total stockholders' equity | 6,016,710,000 | 5,435,145,000 | ||
Total liabilities and stockholders' equity | 6,676,425,000 | 6,082,795,000 | ||
PNA Holding Co. | ||||
Assets: | ||||
Cash and due from banks | 0 | 0 | ||
Money market investments | 16,029,000 | 15,288,000 | ||
Trading account debt securities, at fair value | 0 | 0 | ||
Debt Securities Available for Sale, at Fair Value | 0 | 0 | ||
Debt securities held-to-maturity, at amortized cost | 2,835,000 | 2,835,000 | ||
Equity securities | 20,000 | 20,000 | ||
Investment in subsidiaries | 1,806,583,000 | 1,700,082,000 | ||
Loans held-for-sale, at lower of cost or fair value | 0 | 0 | ||
Loans held-in-portfolio: | ||||
Loans held-in-portfolio | 0 | 0 | ||
Less - Unearned income | 0 | 0 | ||
Allowance for loan losses | 0 | 0 | ||
Total loans held-in-portfolio, net | 0 | 0 | ||
Premises and equipment, net | 0 | 0 | ||
Other real estate | 0 | 0 | ||
Accrued income receivable | 108,000 | 116,000 | ||
Mortgage servicing assets, at fair value | 0 | 0 | ||
Other assets | 21,324,000 | 27,639,000 | ||
Goodwill | 0 | 0 | ||
Other intangible assets | 0 | 0 | ||
Total assets | 1,846,899,000 | 1,745,980,000 | ||
Deposits: | ||||
Non-interest bearing | 0 | 0 | ||
Interest bearing | 0 | 0 | ||
Total deposits | 0 | 0 | ||
Assets sold under agreements to repurchase | 0 | 0 | ||
Other short-term borrowings | 0 | |||
Notes payable | 94,090,000 | 94,063,000 | ||
Other liabilities | 3,200,000 | 3,287,000 | ||
Total liabilities | 97,290,000 | 97,350,000 | ||
Stockholders' equity: | ||||
Preferred stock | 0 | 0 | ||
Common stock | 2,000 | 2,000 | ||
Surplus | 4,173,169,000 | 4,172,983,000 | ||
Retained Earnings (Accumulated Deficit) | (2,425,429,000) | (2,479,503,000) | ||
Treasury stock, at cost | 0 | 0 | ||
Accumulated other comprehensive (loss) income, net of tax | 1,867,000 | (44,852,000) | ||
Total stockholders' equity | 1,749,609,000 | 1,648,630,000 | ||
Total liabilities and stockholders' equity | 1,846,899,000 | 1,745,980,000 | ||
All other subsidiaries and eliminations | ||||
Assets: | ||||
Cash and due from banks | 388,363,000 | 394,035,000 | ||
Money market investments | 3,261,688,000 | 4,170,792,000 | ||
Trading account debt securities, at fair value | 40,321,000 | 37,787,000 | ||
Debt Securities Available for Sale, at Fair Value | 17,648,473,000 | 13,300,184,000 | ||
Debt securities held-to-maturity, at amortized cost | 86,101,000 | 90,014,000 | ||
Equity securities | 149,322,000 | 149,012,000 | ||
Investment in subsidiaries | 0 | 0 | ||
Loans held-for-sale, at lower of cost or fair value | 59,203,000 | 51,422,000 | ||
Loans held-in-portfolio: | ||||
Loans held-in-portfolio | 27,549,874,000 | 26,625,080,000 | ||
Less - Unearned income | 180,983,000 | 155,824,000 | ||
Allowance for loan losses | 477,298,000 | 569,193,000 | ||
Total loans held-in-portfolio, net | 26,891,593,000 | 25,900,063,000 | ||
Premises and equipment, net | 552,757,000 | 566,414,000 | ||
Other real estate | 121,926,000 | 136,559,000 | ||
Accrued income receivable | 180,630,000 | 165,767,000 | ||
Mortgage servicing assets, at fair value | 150,906,000 | 169,777,000 | ||
Other assets | 1,722,839,000 | 1,626,119,000 | ||
Goodwill | 671,123,000 | 671,123,000 | ||
Other intangible assets | 22,317,000 | 20,274,000 | ||
Total assets | 51,947,562,000 | 47,449,342,000 | ||
Deposits: | ||||
Non-interest bearing | 9,216,181,000 | 9,217,058,000 | ||
Interest bearing | 34,835,462,000 | 30,752,291,000 | ||
Total deposits | 44,051,643,000 | 39,969,349,000 | ||
Assets sold under agreements to repurchase | 193,378,000 | 281,529,000 | ||
Other short-term borrowings | 42,000 | |||
Notes payable | 421,399,000 | 577,188,000 | ||
Other liabilities | 986,865,000 | 871,733,000 | ||
Total liabilities | 45,653,285,000 | 41,699,841,000 | ||
Stockholders' equity: | ||||
Preferred stock | 0 | 0 | ||
Common stock | 56,307,000 | 56,307,000 | ||
Surplus | 5,847,389,000 | 5,790,324,000 | ||
Retained Earnings (Accumulated Deficit) | 555,398,000 | 327,713,000 | ||
Treasury stock, at cost | 0 | 0 | ||
Accumulated other comprehensive (loss) income, net of tax | (164,817,000) | (424,843,000) | ||
Total stockholders' equity | 6,294,277,000 | 5,749,501,000 | ||
Total liabilities and stockholders' equity | $ 51,947,562,000 | $ 47,449,342,000 |
Condensed Consolidating State_2
Condensed Consolidating Statement of Operations (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
INTEREST AND DIVIDEND INCOME: | |||
Dividend income from subsidiaries | $ 0 | $ 0 | $ 0 |
Loans | 1,802,968,000 | 1,645,736,000 | 1,478,765,000 |
Money market investments | 89,823,000 | 111,288,000 | 51,495,000 |
Investment securities | 368,002,000 | 264,824,000 | 195,684,000 |
Total interest and dividend income | 2,260,793,000 | 2,021,848,000 | 1,725,944,000 |
INTEREST EXPENSE: | |||
Deposits | 304,858,000 | 204,265,000 | 141,864,000 |
Short-term borrowings | 6,100,000 | 7,210,000 | 5,724,000 |
Long-term debt | 58,141,000 | 75,496,000 | 76,392,000 |
Total interest expense | 369,099,000 | 286,971,000 | 223,980,000 |
Net interest income | 1,891,694,000 | 1,734,877,000 | 1,501,964,000 |
Provision for loan losses | 165,779,000 | 228,072,000 | 325,424,000 |
Net interest income after provision for loan losses | 1,725,915,000 | 1,506,805,000 | 1,176,540,000 |
Mortgage banking activities | 32,093,000 | 52,802,000 | 25,496,000 |
Net loss on sale of debt securities | (20,000) | 0 | 83,000 |
Other-than-temporary impairment losses on debt securities | 0 | 0 | (8,299,000) |
Net gain (loss), including impairment on equity securities | 2,506,000 | (2,081,000) | 251,000 |
Net profit (loss) on trading account debt securities | 994,000 | (208,000) | (817,000) |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 0 | 33,000 | (420,000) |
Adjustments To Indemnity Reserves On Loans Sold | (343,000) | (12,959,000) | (22,377,000) |
FDIC loss-share expense | 0 | 94,725,000 | (10,066,000) |
Other operating income | 88,514,000 | 111,485,000 | 64,340,000 |
Total non-interest income | 569,883,000 | 652,494,000 | 419,167,000 |
Operating expenses: | |||
Personnel costs | 590,625,000 | 562,988,000 | 476,762,000 |
Net occupancy expenses | 96,339,000 | 88,329,000 | 89,194,000 |
Equipment expenses | 84,215,000 | 71,788,000 | 65,142,000 |
Other taxes | 51,653,000 | 46,284,000 | 43,382,000 |
Professional fees | 384,411,000 | 349,844,000 | 292,488,000 |
Communications | 23,450,000 | 23,107,000 | 22,466,000 |
Business promotion | 75,372,000 | 65,918,000 | 58,445,000 |
FDIC deposit insurance | 18,179,000 | 27,757,000 | 26,392,000 |
Loss on early extinguishment of debt | 0 | 12,522,000 | 0 |
Other real estate owned (O R E O) expenses | 4,298,000 | 23,338,000 | 48,540,000 |
Other operating expenses | 139,570,000 | 140,361,000 | 125,007,000 |
Amortization of intangibles | 9,370,000 | 9,326,000 | 9,378,000 |
Total opearating expense | 1,477,482,000 | 1,421,562,000 | 1,257,196,000 |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 818,316,000 | 737,737,000 | 338,511,000 |
Income tax expense | 147,181,000 | 119,579,000 | 230,830,000 |
Income (loss) before equity in undistributed earnings of subdidiaries | 671,135,000 | 618,158,000 | 107,681,000 |
Equity in undistributed earnings (losses) of subsidiaries | 0 | 0 | 0 |
Net income | 671,135,000 | 618,158,000 | 107,681,000 |
Comprehensive income (loss), net of tax | 929,171,000 | 540,836,000 | 77,315,000 |
Service charges on deposit accounts | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 160,933,000 | 150,677,000 | 153,709,000 |
Other services | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 285,206,000 | 258,020,000 | 217,267,000 |
Elimination | |||
INTEREST AND DIVIDEND INCOME: | |||
Dividend income from subsidiaries | (408,000,000) | (453,200,000) | (211,500,000) |
Loans | 0 | (49,000) | (4,000) |
Money market investments | (3,882,000) | (5,623,000) | (2,670,000) |
Investment securities | 0 | 0 | 0 |
Total interest and dividend income | (411,882,000) | (458,872,000) | (214,174,000) |
INTEREST EXPENSE: | |||
Deposits | (3,882,000) | (5,623,000) | (2,670,000) |
Short-term borrowings | 0 | (49,000) | (4,000) |
Long-term debt | 0 | 0 | 0 |
Total interest expense | (3,882,000) | (5,672,000) | (2,674,000) |
Net interest income | (408,000,000) | (453,200,000) | (211,500,000) |
Provision for loan losses | 0 | 0 | 0 |
Net interest income after provision for loan losses | (408,000,000) | (453,200,000) | (205,545,000) |
Mortgage banking activities | 0 | 0 | 0 |
Net loss on sale of debt securities | 0 | 0 | |
Other-than-temporary impairment losses on debt securities | 0 | ||
Net gain (loss), including impairment on equity securities | (37,000) | (36,000) | 0 |
Net profit (loss) on trading account debt securities | 0 | 0 | 27,000 |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 0 | 0 | |
Adjustments To Indemnity Reserves On Loans Sold | 0 | 0 | 0 |
FDIC loss-share expense | 0 | 0 | |
Other operating income | (53,000) | (40,000) | (26,000) |
Total non-interest income | (3,356,000) | (2,786,000) | (2,805,000) |
Operating expenses: | |||
Personnel costs | 0 | 0 | 0 |
Net occupancy expenses | (42,000) | 0 | 0 |
Equipment expenses | 0 | 0 | 0 |
Other taxes | 0 | 0 | 0 |
Professional fees | (504,000) | (471,000) | (436,000) |
Communications | 0 | 0 | 0 |
Business promotion | 0 | 0 | 0 |
FDIC deposit insurance | 0 | 0 | 0 |
Loss on early extinguishment of debt | 0 | ||
Other real estate owned (O R E O) expenses | 0 | 0 | 0 |
Other operating expenses | (2,594,000) | (2,375,000) | (2,256,000) |
Amortization of intangibles | 0 | 0 | 0 |
Total opearating expense | (3,140,000) | (2,846,000) | (2,692,000) |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | (408,216,000) | (453,140,000) | (205,658,000) |
Income tax expense | (86,000) | 37,000 | 2,268,000 |
Income (loss) before equity in undistributed earnings of subdidiaries | (408,130,000) | (453,177,000) | (207,926,000) |
Equity in undistributed earnings (losses) of subsidiaries | (331,835,000) | (277,790,000) | 223,014,000 |
Net income | (739,965,000) | (730,967,000) | 15,088,000 |
Comprehensive income (loss), net of tax | (1,046,710,000) | (639,606,000) | 53,532,000 |
Elimination | Service charges on deposit accounts | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 0 | 0 | 0 |
Elimination | Other services | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | (3,266,000) | (2,710,000) | (2,806,000) |
Non Covered Under Loss Sharing Agreements with FDIC | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 165,779,000 | 226,342,000 | 319,682,000 |
Non Covered Under Loss Sharing Agreements with FDIC | Elimination | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 0 | (5,955,000) | |
Covered loans | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 0 | 1,730,000 | 5,742,000 |
Covered loans | Elimination | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 0 | 0 | |
Popular, Inc. Holding Co. | |||
INTEREST AND DIVIDEND INCOME: | |||
Dividend income from subsidiaries | 408,000,000 | 453,200,000 | 211,500,000 |
Loans | 2,231,000 | 2,115,000 | 1,056,000 |
Money market investments | 3,670,000 | 5,555,000 | 2,616,000 |
Investment securities | 768,000 | 696,000 | 566,000 |
Total interest and dividend income | 414,669,000 | 461,566,000 | 215,738,000 |
INTEREST EXPENSE: | |||
Deposits | 0 | 0 | 0 |
Short-term borrowings | 0 | 0 | 0 |
Long-term debt | 38,528,000 | 51,218,000 | 52,470,000 |
Total interest expense | 38,528,000 | 51,218,000 | 52,470,000 |
Net interest income | 376,141,000 | 410,348,000 | 163,268,000 |
Provision for loan losses | 256,000 | (251,000) | 403,000 |
Net interest income after provision for loan losses | 375,885,000 | 410,599,000 | 162,865,000 |
Mortgage banking activities | 0 | 0 | 0 |
Net loss on sale of debt securities | 0 | 0 | |
Other-than-temporary impairment losses on debt securities | 0 | ||
Net gain (loss), including impairment on equity securities | 988,000 | (777,000) | 0 |
Net profit (loss) on trading account debt securities | 0 | 0 | 266,000 |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 0 | 0 | |
Adjustments To Indemnity Reserves On Loans Sold | 0 | 0 | 0 |
FDIC loss-share expense | 0 | 0 | |
Other operating income | 17,279,000 | 15,751,000 | 11,847,000 |
Total non-interest income | 18,268,000 | 14,974,000 | 12,113,000 |
Operating expenses: | |||
Personnel costs | 63,258,000 | 59,821,000 | 47,561,000 |
Net occupancy expenses | 4,297,000 | 4,055,000 | 3,876,000 |
Equipment expenses | 3,525,000 | 3,433,000 | 2,925,000 |
Other taxes | 248,000 | 233,000 | 217,000 |
Professional fees | 21,323,000 | 18,159,000 | 11,766,000 |
Communications | 616,000 | 485,000 | 549,000 |
Business promotion | 3,918,000 | 2,236,000 | 2,014,000 |
FDIC deposit insurance | 0 | 0 | 0 |
Loss on early extinguishment of debt | 0 | 12,522,000 | 0 |
Other real estate owned (O R E O) expenses | 0 | 0 | 42,000 |
Other operating expenses | (97,201,000) | (84,807,000) | (70,723,000) |
Amortization of intangibles | 96,000 | 41,000 | 0 |
Total opearating expense | 80,000 | 16,178,000 | (1,773,000) |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 394,073,000 | 409,395,000 | 176,751,000 |
Income tax expense | 0 | 0 | 0 |
Income (loss) before equity in undistributed earnings of subdidiaries | 394,073,000 | 409,395,000 | 176,751,000 |
Equity in undistributed earnings (losses) of subsidiaries | 277,062,000 | 208,763,000 | (69,070,000) |
Net income | 671,135,000 | 618,158,000 | 107,681,000 |
Comprehensive income (loss), net of tax | 929,171,000 | 540,836,000 | 77,315,000 |
Popular, Inc. Holding Co. | Service charges on deposit accounts | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 0 | 0 | 0 |
Popular, Inc. Holding Co. | Other services | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 1,000 | 0 | 0 |
Popular, Inc. Holding Co. | Non Covered Under Loss Sharing Agreements with FDIC | |||
INTEREST EXPENSE: | |||
Provision for loan losses | (251,000) | 403,000 | |
Popular, Inc. Holding Co. | Covered loans | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 0 | 0 | |
PNA Holding Co. | |||
INTEREST AND DIVIDEND INCOME: | |||
Dividend income from subsidiaries | 0 | 0 | 0 |
Loans | 0 | 0 | 0 |
Money market investments | 211,000 | 69,000 | 54,000 |
Investment securities | 186,000 | 279,000 | 322,000 |
Total interest and dividend income | 397,000 | 348,000 | 376,000 |
INTEREST EXPENSE: | |||
Deposits | 0 | 0 | 0 |
Short-term borrowings | 0 | 49,000 | 0 |
Long-term debt | 6,229,000 | 9,330,000 | 10,767,000 |
Total interest expense | 6,229,000 | 9,379,000 | 10,767,000 |
Net interest income | (5,832,000) | (9,031,000) | (10,391,000) |
Provision for loan losses | 0 | 0 | 0 |
Net interest income after provision for loan losses | (5,832,000) | (9,031,000) | (10,391,000) |
Mortgage banking activities | 0 | 0 | 0 |
Net loss on sale of debt securities | 0 | 0 | |
Other-than-temporary impairment losses on debt securities | 0 | ||
Net gain (loss), including impairment on equity securities | 0 | 0 | 0 |
Net profit (loss) on trading account debt securities | 0 | 0 | 0 |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 0 | 0 | |
Adjustments To Indemnity Reserves On Loans Sold | 0 | 0 | 0 |
FDIC loss-share expense | 0 | 0 | |
Other operating income | (984,000) | 737,000 | 921,000 |
Total non-interest income | (984,000) | 737,000 | 921,000 |
Operating expenses: | |||
Personnel costs | 0 | 0 | 0 |
Net occupancy expenses | 0 | 0 | 0 |
Equipment expenses | 4,000 | 3,000 | 2,000 |
Other taxes | 1,000 | 1,000 | 0 |
Professional fees | 113,000 | 178,000 | (427,000) |
Communications | 0 | 0 | 0 |
Business promotion | 0 | 0 | 0 |
FDIC deposit insurance | 0 | 0 | 0 |
Loss on early extinguishment of debt | 0 | ||
Other real estate owned (O R E O) expenses | 0 | 0 | 0 |
Other operating expenses | 56,000 | 80,000 | 51,000 |
Amortization of intangibles | 0 | 0 | 0 |
Total opearating expense | 174,000 | 262,000 | (374,000) |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | (6,990,000) | (8,556,000) | (9,096,000) |
Income tax expense | (1,468,000) | 3,267,000 | (8,382,000) |
Income (loss) before equity in undistributed earnings of subdidiaries | (5,522,000) | (11,823,000) | (714,000) |
Equity in undistributed earnings (losses) of subsidiaries | 54,773,000 | 69,027,000 | (153,944,000) |
Net income | 49,251,000 | 57,204,000 | (154,658,000) |
Comprehensive income (loss), net of tax | 95,970,000 | 41,838,000 | (162,195,000) |
PNA Holding Co. | Service charges on deposit accounts | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 0 | 0 | 0 |
PNA Holding Co. | Other services | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 0 | 0 | 0 |
PNA Holding Co. | Non Covered Under Loss Sharing Agreements with FDIC | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 0 | 0 | |
PNA Holding Co. | Covered loans | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 0 | 0 | |
All other subsidiaries and eliminations | |||
INTEREST AND DIVIDEND INCOME: | |||
Dividend income from subsidiaries | 0 | 0 | 0 |
Loans | 1,800,737,000 | 1,643,670,000 | 1,477,713,000 |
Money market investments | 89,824,000 | 111,287,000 | 51,495,000 |
Investment securities | 367,048,000 | 263,849,000 | 194,796,000 |
Total interest and dividend income | 2,257,609,000 | 2,018,806,000 | 1,724,004,000 |
INTEREST EXPENSE: | |||
Deposits | 308,740,000 | 209,888,000 | 144,534,000 |
Short-term borrowings | 6,100,000 | 7,210,000 | 5,728,000 |
Long-term debt | 13,384,000 | 14,948,000 | 13,155,000 |
Total interest expense | 328,224,000 | 232,046,000 | 163,417,000 |
Net interest income | 1,929,385,000 | 1,786,760,000 | 1,560,587,000 |
Provision for loan losses | 165,523,000 | 228,323,000 | 325,021,000 |
Net interest income after provision for loan losses | 1,763,862,000 | 1,558,437,000 | 1,229,611,000 |
Mortgage banking activities | 32,093,000 | 52,802,000 | 25,496,000 |
Net loss on sale of debt securities | (20,000) | 83,000 | |
Other-than-temporary impairment losses on debt securities | (8,299,000) | ||
Net gain (loss), including impairment on equity securities | 1,555,000 | (1,268,000) | 251,000 |
Net profit (loss) on trading account debt securities | 994,000 | (208,000) | (1,110,000) |
Net gain on sale of loans, including valuation adjustments on loans held-for-sale | 33,000 | (420,000) | |
Adjustments To Indemnity Reserves On Loans Sold | (343,000) | (12,959,000) | (22,377,000) |
FDIC loss-share expense | 94,725,000 | (10,066,000) | |
Other operating income | 72,272,000 | 95,037,000 | 51,598,000 |
Total non-interest income | 555,955,000 | 639,569,000 | 408,938,000 |
Operating expenses: | |||
Personnel costs | 527,367,000 | 503,167,000 | 429,201,000 |
Net occupancy expenses | 92,084,000 | 84,274,000 | 85,318,000 |
Equipment expenses | 80,686,000 | 68,352,000 | 62,215,000 |
Other taxes | 51,404,000 | 46,050,000 | 43,165,000 |
Professional fees | 363,479,000 | 331,978,000 | 281,585,000 |
Communications | 22,834,000 | 22,622,000 | 21,917,000 |
Business promotion | 71,454,000 | 63,682,000 | 56,431,000 |
FDIC deposit insurance | 18,179,000 | 27,757,000 | 26,392,000 |
Loss on early extinguishment of debt | 0 | ||
Other real estate owned (O R E O) expenses | 4,298,000 | 23,338,000 | 48,498,000 |
Other operating expenses | 239,309,000 | 227,463,000 | 197,935,000 |
Amortization of intangibles | 9,274,000 | 9,285,000 | 9,378,000 |
Total opearating expense | 1,480,368,000 | 1,407,968,000 | 1,262,035,000 |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 839,449,000 | 790,038,000 | 376,514,000 |
Income tax expense | 148,735,000 | 116,275,000 | 236,944,000 |
Income (loss) before equity in undistributed earnings of subdidiaries | 690,714,000 | 673,763,000 | 139,570,000 |
Equity in undistributed earnings (losses) of subsidiaries | 0 | 0 | 0 |
Net income | 690,714,000 | 673,763,000 | 139,570,000 |
Comprehensive income (loss), net of tax | 950,740,000 | 597,768,000 | 108,663,000 |
All other subsidiaries and eliminations | Service charges on deposit accounts | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | 160,933,000 | 150,677,000 | 153,709,000 |
All other subsidiaries and eliminations | Other services | |||
INTEREST EXPENSE: | |||
Revenue from contract with customer | $ 288,471,000 | 260,730,000 | 220,073,000 |
All other subsidiaries and eliminations | Non Covered Under Loss Sharing Agreements with FDIC | |||
INTEREST EXPENSE: | |||
Provision for loan losses | 226,593,000 | 325,234,000 | |
All other subsidiaries and eliminations | Covered loans | |||
INTEREST EXPENSE: | |||
Provision for loan losses | $ 1,730,000 | $ 5,742,000 |
Condensed Consolidating State_3
Condensed Consolidating Statement of Cash Flow (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | |||
Net income | $ 671,135,000 | $ 618,158,000 | $ 107,681,000 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | 0 | 0 | 0 |
Provision for loan losses | 165,779,000 | 228,072,000 | 325,424,000 |
Amortization of intangibles | 9,370,000 | 9,326,000 | 9,378,000 |
Depreciation and amortization of premises and equipment | 58,067,000 | 53,300,000 | 48,364,000 |
Net accretion of discounts and amortization of premiums and deferred fees | (158,070,000) | (87,154,000) | (22,310,000) |
Share-based compensation | 12,303,000 | 10,521,000 | 0 |
Impairment losses on long-lived assets | 2,591,000 | 272,000 | 4,784,000 |
FDIC loss-share expense | 0 | (94,725,000) | 10,066,000 |
Other-than-temporary impairment on investment securities | 0 | 0 | 8,299,000 |
Fair value adjustments on mortgage servicing rights | 27,771,000 | 8,477,000 | 36,519,000 |
Adjustments to indemnity reserves on loans sold | 343,000 | 12,959,000 | 22,377,000 |
Earnings from investments under the equity method, net of dividends or distributions | (28,011,000) | (24,217,000) | (18,247,000) |
Deferred income tax (benefit) expense | 141,332,000 | (12,320,000) | 207,428,000 |
Loss (gain) on: | |||
Disposition of premises and equipment and other productive assets | (6,666,000) | 15,984,000 | 4,281,000 |
Proceeds from insurance claims | (1,205,000) | (20,147,000) | 0 |
Early extinguishment of debt | 0 | 12,522,000 | 0 |
Sale of debt securities | (20,000) | 0 | 83,000 |
Sale of loans, including valuation adjustments on loans held-for-sale and mortgage banking activities | (15,888,000) | (9,681,000) | (16,670,000) |
Sale of foreclosed assets, including write-downs | (21,982,000) | 6,833,000 | 21,715,000 |
Acquisitions of loans held-for-sale | (223,939,000) | (232,264,000) | (244,385,000) |
Proceeds from sale of loans held-for-sale | 71,075,000 | 66,687,000 | 69,464,000 |
Net originations on loans held-for-sale | (289,430,000) | (254,582,000) | (315,522,000) |
Net decrease (increase) in: | |||
Trading debt securities | 460,969,000 | 458,447,000 | 503,108,000 |
Equity securities | (8,032,000) | (1,622,000) | (1,269,000) |
Accrued income receivable | (8,369,000) | 49,288,000 | (75,802,000) |
Other assets | (37,847,000) | 264,841,000 | (65,844,000) |
Net (decrease) increase in: | |||
Interest payable | (284,000) | (9,786,000) | 2,549,000 |
Pension and other postretirement benefits obligation | 778,000 | 4,558,000 | (13,100,000) |
Other liabilities | (116,443,000) | (226,244,000) | 28,279,000 |
Total adjustments | 34,232,000 | 229,345,000 | 528,803,000 |
Net cash (used in) provided by operating activities | 705,367,000 | 847,503,000 | 636,484,000 |
Cash flows from investing activities: | |||
Net decrease in money market investments | 905,558,000 | 1,083,515,000 | (2,366,932,000) |
Purchases of investment securities: | |||
Available-for-sale | (18,733,295,000) | (10,050,165,000) | (4,139,650,000) |
Equity | (16,300,000) | (13,068,000) | (29,672,000) |
Proceeds from calls, paydowns, maturities and redemptions of investment securities: | |||
Available-for-sale | 14,650,440,000 | 6,946,209,000 | 2,023,295,000 |
Held-to-maturity | 5,913,000 | 7,280,000 | 6,232,000 |
Proceeds from sale of investment securities: | |||
Available-for-sale | 99,445,000 | 0 | 14,423,000 |
Equity | 20,030,000 | 24,209,000 | 30,250,000 |
Net (disbursements) repayments on loans | (641,029,000) | (6,665,000) | (398,676,000) |
Proceeds from sale of loans | 110,534,000 | 29,669,000 | 415,000 |
Acquisition of loan portfolios | (619,737,000) | (601,550,000) | (535,534,000) |
Payments to acquire other intangible | (10,382,000) | 0 | 0 |
Net payments (to) from FDIC under loss sharing agreements | 0 | (25,012,000) | (7,679,000) |
Return of capital from equity method investments | 6,942,000 | 4,090,000 | 8,194,000 |
Payments to acquire businesses, net of cash acquired | 0 | (1,843,333,000) | 0 |
Capital Contribution Subsidiaries | 0 | 0 | 0 |
Return of capital from wholly owned subsidiaries | 0 | 0 | 0 |
Acquisition of premises and equipment | (75,665,000) | (80,549,000) | (62,697,000) |
Proceeds from insurance claims | 1,205,000 | 20,147,000 | 0 |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 18,608,000 | 9,185,000 | 9,753,000 |
Foreclosed assets | 107,881,000 | 105,371,000 | 96,540,000 |
Net cash (used in) provided by investing activities | (4,169,852,000) | (4,390,667,000) | (5,351,738,000) |
Net increase (decrease) in: | |||
Deposits | 4,043,955,000 | 4,259,651,000 | 4,954,105,000 |
Assets sold under agreements to repurchase | (88,151,000) | (109,391,000) | (88,505,000) |
Other short-term borrowings | (41,000) | (96,167,000) | 95,008,000 |
Payments of notes payable | (210,377,000) | (755,966,000) | (95,607,000) |
Principal payments of finance leases | (1,726,000) | 0 | 0 |
Payments for debt extinguishment | 0 | 12,522,000 | 0 |
Proceeds from issuance of notes payable | 75,000,000 | 473,819,000 | 55,000,000 |
Proceeds from issuance of common stock | 8,719,000 | 7,268,000 | 7,016,000 |
Dividends paid to parent company | 0 | 0 | 0 |
Dividends paid | (115,810,000) | (105,441,000) | (95,910,000) |
Net payments for repurchase of common stock | (250,581,000) | (125,264,000) | (75,664,000) |
Return of capital to parent company | 0 | 0 | 0 |
Capital contribution from parent | 0 | 0 | 0 |
Payments related to tax witholding for share-based compensation | (5,431,000) | (2,201,000) | (1,756,000) |
Net cash (used in) provided by financing activities | 3,455,557,000 | 3,533,786,000 | 4,753,687,000 |
Net (decrease) increase in cash and due from banks, and restricted cash | (8,928,000) | (9,378,000) | 38,433,000 |
Cash and due from banks and restricted cash at beginning of period | 403,251,000 | 412,629,000 | 374,196,000 |
Cash and due from banks and restricted cash at end of period | 394,323,000 | 403,251,000 | 412,629,000 |
Elimination | |||
Cash flows from operating activities: | |||
Net income | (739,965,000) | (730,967,000) | 15,088,000 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | 331,835,000 | 277,790,000 | (223,014,000) |
Provision for loan losses | 0 | 0 | 0 |
Amortization of intangibles | 0 | 0 | 0 |
Depreciation and amortization of premises and equipment | 0 | 0 | 0 |
Net accretion of discounts and amortization of premiums and deferred fees | 0 | 0 | 0 |
Share-based compensation | 0 | 0 | |
Impairment losses on long-lived assets | 0 | 0 | 0 |
FDIC loss-share expense | 0 | 0 | |
Other-than-temporary impairment on investment securities | 0 | ||
Fair value adjustments on mortgage servicing rights | 0 | 0 | 0 |
Adjustments to indemnity reserves on loans sold | 0 | 0 | 0 |
Earnings from investments under the equity method, net of dividends or distributions | 0 | 0 | 0 |
Deferred income tax (benefit) expense | (86,000) | 37,000 | (54,000) |
Loss (gain) on: | |||
Disposition of premises and equipment and other productive assets | 0 | 0 | 0 |
Proceeds from insurance claims | 0 | 0 | |
Early extinguishment of debt | 0 | ||
Sale of debt securities | 0 | 0 | |
Sale of loans, including valuation adjustments on loans held-for-sale and mortgage banking activities | 0 | 0 | 0 |
Sale of foreclosed assets, including write-downs | 0 | 0 | 0 |
Acquisitions of loans held-for-sale | 0 | 0 | 0 |
Proceeds from sale of loans held-for-sale | 0 | 0 | 0 |
Net originations on loans held-for-sale | 0 | 0 | 0 |
Net decrease (increase) in: | |||
Trading debt securities | 0 | (101,000) | 0 |
Equity securities | 0 | 0 | (31,000) |
Accrued income receivable | 104,000 | (66,000) | 121,000 |
Other assets | 2,773,000 | 948,000 | 2,122,000 |
Net (decrease) increase in: | |||
Interest payable | (104,000) | 66,000 | (121,000) |
Pension and other postretirement benefits obligation | 0 | 0 | 0 |
Other liabilities | (2,594,000) | (1,044,000) | 341,000 |
Total adjustments | 331,928,000 | 277,630,000 | (220,636,000) |
Net cash (used in) provided by operating activities | (408,037,000) | (453,337,000) | (205,548,000) |
Cash flows from investing activities: | |||
Net decrease in money market investments | 45,741,000 | (57,519,000) | (18,255,000) |
Purchases of investment securities: | |||
Available-for-sale | 0 | 0 | 0 |
Equity | 59,000 | 140,000 | 0 |
Proceeds from calls, paydowns, maturities and redemptions of investment securities: | |||
Available-for-sale | 0 | 0 | 0 |
Held-to-maturity | 0 | 0 | 0 |
Proceeds from sale of investment securities: | |||
Available-for-sale | 0 | 0 | |
Equity | 0 | 0 | 0 |
Net (disbursements) repayments on loans | 0 | 0 | 0 |
Proceeds from sale of loans | 0 | 0 | (37,864,000) |
Acquisition of loan portfolios | 0 | 0 | 37,864,000 |
Payments to acquire other intangible | 0 | 0 | |
Net payments (to) from FDIC under loss sharing agreements | 0 | 0 | |
Return of capital from equity method investments | 0 | 0 | 0 |
Payments to acquire businesses, net of cash acquired | 0 | ||
Capital Contribution Subsidiaries | 9,000,000 | 87,000,000 | 0 |
Return of capital from wholly owned subsidiaries | (13,000,000) | (13,000,000) | (32,800,000) |
Acquisition of premises and equipment | 0 | 0 | 0 |
Proceeds from insurance claims | 0 | 0 | |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 0 | 0 | 0 |
Foreclosed assets | 0 | 0 | 0 |
Net cash (used in) provided by investing activities | 41,800,000 | 16,621,000 | (51,055,000) |
Net increase (decrease) in: | |||
Deposits | (33,727,000) | 37,676,000 | 18,157,000 |
Assets sold under agreements to repurchase | 0 | 0 | 0 |
Other short-term borrowings | 0 | 0 | 0 |
Payments of notes payable | 0 | 0 | 0 |
Principal payments of finance leases | 0 | ||
Payments for debt extinguishment | 0 | ||
Proceeds from issuance of notes payable | 0 | 0 | 0 |
Proceeds from issuance of common stock | 0 | 0 | 0 |
Dividends paid to parent company | 408,000,000 | 453,200,000 | 211,500,000 |
Dividends paid | 0 | 0 | 0 |
Net payments for repurchase of common stock | (22,000) | (4,000) | 4,000 |
Return of capital to parent company | 13,000,000 | 13,000,000 | 32,800,000 |
Capital contribution from parent | (9,000,000) | (87,000,000) | (5,955,000) |
Payments related to tax witholding for share-based compensation | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | 378,251,000 | 416,872,000 | 256,506,000 |
Net (decrease) increase in cash and due from banks, and restricted cash | 12,014,000 | (19,844,000) | (97,000) |
Cash and due from banks and restricted cash at beginning of period | (68,022,000) | (48,178,000) | (48,081,000) |
Cash and due from banks and restricted cash at end of period | (56,008,000) | (68,022,000) | (48,178,000) |
Popular, Inc. Holding Co. | |||
Cash flows from operating activities: | |||
Net income | 671,135,000 | 618,158,000 | 107,681,000 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | (277,062,000) | (208,763,000) | 69,070,000 |
Provision for loan losses | 256,000 | (251,000) | 403,000 |
Amortization of intangibles | 96,000 | 41,000 | 0 |
Depreciation and amortization of premises and equipment | 746,000 | 743,000 | 649,000 |
Net accretion of discounts and amortization of premiums and deferred fees | 1,240,000 | 2,022,000 | 2,086,000 |
Share-based compensation | 7,927,000 | 7,441,000 | 0 |
Impairment losses on long-lived assets | 0 | 0 | 0 |
FDIC loss-share expense | 0 | 0 | |
Other-than-temporary impairment on investment securities | 0 | ||
Fair value adjustments on mortgage servicing rights | 0 | 0 | 0 |
Adjustments to indemnity reserves on loans sold | 0 | 0 | 0 |
Earnings from investments under the equity method, net of dividends or distributions | (14,948,000) | (14,333,000) | (7,765,000) |
Deferred income tax (benefit) expense | 0 | 0 | 0 |
Loss (gain) on: | |||
Disposition of premises and equipment and other productive assets | 41,000 | 22,000 | (8,000) |
Proceeds from insurance claims | 0 | 0 | |
Early extinguishment of debt | 0 | 12,522,000 | 0 |
Sale of debt securities | 0 | 0 | |
Sale of loans, including valuation adjustments on loans held-for-sale and mortgage banking activities | 0 | 0 | 0 |
Sale of foreclosed assets, including write-downs | 0 | 0 | 42,000 |
Acquisitions of loans held-for-sale | 0 | 0 | 0 |
Proceeds from sale of loans held-for-sale | 0 | 0 | 0 |
Net originations on loans held-for-sale | 0 | 0 | 0 |
Net decrease (increase) in: | |||
Trading debt securities | 0 | 0 | 0 |
Equity securities | (4,051,000) | (1,583,000) | (1,346,000) |
Accrued income receivable | (98,000) | 85,000 | (748,000) |
Other assets | 445,000 | (506,000) | 8,761,000 |
Net (decrease) increase in: | |||
Interest payable | 0 | (10,288,000) | 0 |
Pension and other postretirement benefits obligation | 0 | 0 | 0 |
Other liabilities | 2,508,000 | 8,059,000 | 3,230,000 |
Total adjustments | (282,900,000) | (204,789,000) | 74,374,000 |
Net cash (used in) provided by operating activities | 388,235,000 | 413,369,000 | 182,055,000 |
Cash flows from investing activities: | |||
Net decrease in money market investments | (45,000,000) | 70,000,000 | 6,000,000 |
Purchases of investment securities: | |||
Available-for-sale | 0 | 0 | 0 |
Equity | 0 | 0 | 0 |
Proceeds from calls, paydowns, maturities and redemptions of investment securities: | |||
Available-for-sale | 0 | 0 | 0 |
Held-to-maturity | 0 | 0 | 0 |
Proceeds from sale of investment securities: | |||
Available-for-sale | 0 | 0 | |
Equity | 0 | 0 | 0 |
Net (disbursements) repayments on loans | 677,000 | 536,000 | 181,000 |
Proceeds from sale of loans | 0 | 0 | 0 |
Acquisition of loan portfolios | 0 | 0 | (31,909,000) |
Payments to acquire other intangible | 0 | 0 | (5,560,000) |
Net payments (to) from FDIC under loss sharing agreements | 0 | 0 | |
Return of capital from equity method investments | 0 | 0 | 0 |
Payments to acquire businesses, net of cash acquired | 0 | ||
Capital Contribution Subsidiaries | (9,000,000) | (87,000,000) | (5,955,000) |
Return of capital from wholly owned subsidiaries | 13,000,000 | 13,000,000 | 22,400,000 |
Acquisition of premises and equipment | (1,289,000) | (1,099,000) | (965,000) |
Proceeds from insurance claims | 0 | 0 | |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 3,000 | 293,000 | 23,000 |
Foreclosed assets | 0 | 0 | 38,000 |
Net cash (used in) provided by investing activities | (41,609,000) | (4,270,000) | (15,747,000) |
Net increase (decrease) in: | |||
Deposits | 0 | 0 | 0 |
Assets sold under agreements to repurchase | 0 | 0 | 0 |
Other short-term borrowings | 0 | 0 | 0 |
Payments of notes payable | 0 | (448,518,000) | 0 |
Principal payments of finance leases | 0 | ||
Payments for debt extinguishment | 0 | 12,522,000 | 0 |
Proceeds from issuance of notes payable | 0 | 293,819,000 | 0 |
Proceeds from issuance of common stock | 13,451,000 | 11,653,000 | 7,016,000 |
Dividends paid to parent company | 0 | 0 | 0 |
Dividends paid | (115,810,000) | (105,441,000) | (95,910,000) |
Net payments for repurchase of common stock | (250,571,000) | (125,731,000) | (75,668,000) |
Return of capital to parent company | 0 | 0 | 0 |
Capital contribution from parent | 0 | 0 | |
Payments related to tax witholding for share-based compensation | (5,420,000) | (2,201,000) | (1,756,000) |
Net cash (used in) provided by financing activities | (358,350,000) | (388,941,000) | (166,318,000) |
Net (decrease) increase in cash and due from banks, and restricted cash | (11,724,000) | 20,158,000 | (10,000) |
Cash and due from banks and restricted cash at beginning of period | 68,278,000 | 48,120,000 | 48,130,000 |
Cash and due from banks and restricted cash at end of period | 56,554,000 | 68,278,000 | 48,120,000 |
PNA Holding Co. | |||
Cash flows from operating activities: | |||
Net income | 49,251,000 | 57,204,000 | (154,658,000) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | (54,773,000) | (69,027,000) | 153,944,000 |
Provision for loan losses | 0 | 0 | 0 |
Amortization of intangibles | 0 | 0 | 0 |
Depreciation and amortization of premises and equipment | 0 | 0 | 0 |
Net accretion of discounts and amortization of premiums and deferred fees | 27,000 | 27,000 | 27,000 |
Share-based compensation | 0 | 0 | |
Impairment losses on long-lived assets | 0 | 0 | 0 |
FDIC loss-share expense | 0 | 0 | |
Other-than-temporary impairment on investment securities | 0 | ||
Fair value adjustments on mortgage servicing rights | 0 | 0 | 0 |
Adjustments to indemnity reserves on loans sold | 0 | 0 | 0 |
Earnings from investments under the equity method, net of dividends or distributions | 984,000 | (737,000) | (921,000) |
Deferred income tax (benefit) expense | (1,468,000) | 1,531,000 | (8,382,000) |
Loss (gain) on: | |||
Disposition of premises and equipment and other productive assets | 0 | 0 | 0 |
Proceeds from insurance claims | 0 | 0 | |
Early extinguishment of debt | 0 | ||
Sale of debt securities | 0 | 0 | |
Sale of loans, including valuation adjustments on loans held-for-sale and mortgage banking activities | 0 | 0 | 0 |
Sale of foreclosed assets, including write-downs | 0 | 0 | 0 |
Acquisitions of loans held-for-sale | 0 | 0 | 0 |
Proceeds from sale of loans held-for-sale | 0 | 0 | 0 |
Net originations on loans held-for-sale | 0 | 0 | 0 |
Net decrease (increase) in: | |||
Trading debt securities | 0 | 0 | 0 |
Equity securities | 0 | 0 | 0 |
Accrued income receivable | 8,000 | (4,000) | 26,000 |
Other assets | 2,571,000 | (83,000) | 0 |
Net (decrease) increase in: | |||
Interest payable | 0 | (1,891,000) | 0 |
Pension and other postretirement benefits obligation | 0 | 0 | 0 |
Other liabilities | (87,000) | (99,000) | (758,000) |
Total adjustments | (52,738,000) | (70,283,000) | 143,936,000 |
Net cash (used in) provided by operating activities | (3,487,000) | (13,079,000) | (10,722,000) |
Cash flows from investing activities: | |||
Net decrease in money market investments | (741,000) | (12,481,000) | 10,455,000 |
Purchases of investment securities: | |||
Available-for-sale | 0 | 0 | 0 |
Equity | 0 | 0 | 0 |
Proceeds from calls, paydowns, maturities and redemptions of investment securities: | |||
Available-for-sale | 0 | 0 | 0 |
Held-to-maturity | 0 | 1,637,000 | 0 |
Proceeds from sale of investment securities: | |||
Available-for-sale | 0 | 0 | |
Equity | 0 | 0 | 0 |
Net (disbursements) repayments on loans | 0 | 0 | 0 |
Proceeds from sale of loans | 0 | 0 | 0 |
Acquisition of loan portfolios | 0 | 0 | 0 |
Payments to acquire other intangible | 0 | 0 | |
Net payments (to) from FDIC under loss sharing agreements | 0 | 0 | |
Return of capital from equity method investments | 4,228,000 | 5,963,000 | 138,000 |
Payments to acquire businesses, net of cash acquired | 0 | ||
Capital Contribution Subsidiaries | 0 | 0 | 0 |
Return of capital from wholly owned subsidiaries | 0 | 0 | 10,400,000 |
Acquisition of premises and equipment | 0 | 0 | 0 |
Proceeds from insurance claims | 0 | 0 | |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 0 | 0 | 0 |
Foreclosed assets | 0 | 0 | 0 |
Net cash (used in) provided by investing activities | 3,487,000 | (4,881,000) | 20,993,000 |
Net increase (decrease) in: | |||
Deposits | 0 | 0 | 0 |
Assets sold under agreements to repurchase | 0 | 0 | 0 |
Other short-term borrowings | 0 | 0 | 0 |
Payments of notes payable | 0 | (54,502,000) | 0 |
Principal payments of finance leases | 0 | ||
Payments for debt extinguishment | 0 | ||
Proceeds from issuance of notes payable | 0 | 0 | 0 |
Proceeds from issuance of common stock | 0 | 0 | 0 |
Dividends paid to parent company | 0 | 0 | 0 |
Dividends paid | 0 | 0 | 0 |
Net payments for repurchase of common stock | 0 | 0 | 0 |
Return of capital to parent company | 0 | 0 | (10,400,000) |
Capital contribution from parent | 0 | 72,000,000 | 0 |
Payments related to tax witholding for share-based compensation | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | 0 | 17,498,000 | (10,400,000) |
Net (decrease) increase in cash and due from banks, and restricted cash | 0 | (462,000) | (129,000) |
Cash and due from banks and restricted cash at beginning of period | 0 | 462,000 | 591,000 |
Cash and due from banks and restricted cash at end of period | 0 | 0 | 462,000 |
All other subsidiaries and eliminations | |||
Cash flows from operating activities: | |||
Net income | 690,714,000 | 673,763,000 | 139,570,000 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Equity in earnings of subsidiaries, net of dividends or distributions | 0 | 0 | 0 |
Provision for loan losses | 165,523,000 | 228,323,000 | 325,021,000 |
Amortization of intangibles | 9,274,000 | 9,285,000 | 9,378,000 |
Depreciation and amortization of premises and equipment | 57,321,000 | 52,557,000 | 47,715,000 |
Net accretion of discounts and amortization of premiums and deferred fees | (159,337,000) | (89,203,000) | (24,423,000) |
Share-based compensation | 4,376,000 | 3,080,000 | |
Impairment losses on long-lived assets | 2,591,000 | 272,000 | 4,784,000 |
FDIC loss-share expense | (94,725,000) | 10,066,000 | |
Other-than-temporary impairment on investment securities | 8,299,000 | ||
Fair value adjustments on mortgage servicing rights | 27,771,000 | 8,477,000 | 36,519,000 |
Adjustments to indemnity reserves on loans sold | 343,000 | 12,959,000 | 22,377,000 |
Earnings from investments under the equity method, net of dividends or distributions | (14,047,000) | (9,147,000) | (9,561,000) |
Deferred income tax (benefit) expense | 142,886,000 | (13,888,000) | 215,864,000 |
Loss (gain) on: | |||
Disposition of premises and equipment and other productive assets | (6,707,000) | 15,962,000 | 4,289,000 |
Proceeds from insurance claims | (1,205,000) | (20,147) | |
Early extinguishment of debt | 0 | ||
Sale of debt securities | (20,000) | 83,000 | |
Sale of loans, including valuation adjustments on loans held-for-sale and mortgage banking activities | (15,888,000) | (9,681,000) | (16,670,000) |
Sale of foreclosed assets, including write-downs | (21,982,000) | 6,833,000 | 21,673,000 |
Acquisitions of loans held-for-sale | (223,939,000) | (232,264,000) | (244,385,000) |
Proceeds from sale of loans held-for-sale | 71,075,000 | 66,687,000 | 69,464,000 |
Net originations on loans held-for-sale | (289,430,000) | (254,582,000) | (315,522,000) |
Net decrease (increase) in: | |||
Trading debt securities | 460,969,000 | 458,548,000 | 503,108,000 |
Equity securities | (3,981,000) | (39,000) | 108,000 |
Accrued income receivable | (8,383,000) | 49,273,000 | (75,201,000) |
Other assets | (43,636,000) | 264,482,000 | (76,727,000) |
Net (decrease) increase in: | |||
Interest payable | (180,000) | 2,327,000 | 2,670,000 |
Pension and other postretirement benefits obligation | 778,000 | 4,558,000 | (13,100,000) |
Other liabilities | (116,270,000) | (233,160,000) | 25,466,000 |
Total adjustments | 37,942,000 | 226,787,000 | 531,129,000 |
Net cash (used in) provided by operating activities | 728,656,000 | 900,550,000 | 670,699,000 |
Cash flows from investing activities: | |||
Net decrease in money market investments | 905,558,000 | 1,083,515,000 | (2,365,132,000) |
Purchases of investment securities: | |||
Available-for-sale | (18,733,295,000) | (10,050,165,000) | (4,139,650,000) |
Equity | (16,359,000) | (13,208,000) | (29,672,000) |
Proceeds from calls, paydowns, maturities and redemptions of investment securities: | |||
Available-for-sale | 14,650,440,000 | 6,946,209,000 | 2,023,295,000 |
Held-to-maturity | 5,913,000 | 5,643,000 | 6,232,000 |
Proceeds from sale of investment securities: | |||
Available-for-sale | 99,445,000 | 14,423,000 | |
Equity | 20,030,000 | 24,209,000 | 30,250,000 |
Net (disbursements) repayments on loans | (641,706,000) | (7,201,000) | (398,857,000) |
Proceeds from sale of loans | 110,534,000 | 29,669,000 | 38,279,000 |
Acquisition of loan portfolios | (619,737,000) | (601,550,000) | (541,489,000) |
Payments to acquire other intangible | (10,382,000) | 5,560,000 | |
Net payments (to) from FDIC under loss sharing agreements | (25,012,000) | (7,679,000) | |
Return of capital from equity method investments | 2,714,000 | (1,873,000) | 8,056,000 |
Payments to acquire businesses, net of cash acquired | (1,843,333,000) | ||
Capital Contribution Subsidiaries | 0 | 0 | 5,955,000 |
Return of capital from wholly owned subsidiaries | 0 | 0 | 0 |
Acquisition of premises and equipment | (74,376,000) | (79,450,000) | (61,732,000) |
Proceeds from insurance claims | 1,205,000 | 20,147,000 | |
Proceeds from sale of: | |||
Premises and equipment and other productive assets | 18,605,000 | 8,892,000 | 9,730,000 |
Foreclosed assets | 107,881,000 | 105,371,000 | 96,502,000 |
Net cash (used in) provided by investing activities | (4,173,530,000) | (4,398,137,000) | (5,305,929,000) |
Net increase (decrease) in: | |||
Deposits | 4,077,682,000 | 4,221,975,000 | 4,935,948,000 |
Assets sold under agreements to repurchase | (88,151,000) | (109,391,000) | (88,505,000) |
Other short-term borrowings | (41,000) | (96,167,000) | 95,008,000 |
Payments of notes payable | (210,377,000) | (252,946,000) | (95,607,000) |
Principal payments of finance leases | (1,726,000) | ||
Payments for debt extinguishment | 0 | ||
Proceeds from issuance of notes payable | 75,000,000 | 180,000,000 | 55,000,000 |
Proceeds from issuance of common stock | (4,732,000) | (4,385,000) | 0 |
Dividends paid to parent company | (408,000,000) | (453,200,000) | (211,500,000) |
Dividends paid | 0 | 0 | 0 |
Net payments for repurchase of common stock | 12,000 | 471,000 | 0 |
Return of capital to parent company | (13,000,000) | (13,000,000) | (22,400,000) |
Capital contribution from parent | 9,000,000 | 15,000,000 | 5,955,000 |
Payments related to tax witholding for share-based compensation | (11,000) | 0 | 0 |
Net cash (used in) provided by financing activities | 3,435,656,000 | 3,488,357,000 | 4,673,899,000 |
Net (decrease) increase in cash and due from banks, and restricted cash | (9,218,000) | (9,230,000) | 38,669,000 |
Cash and due from banks and restricted cash at beginning of period | 402,995,000 | 412,225,000 | 373,556,000 |
Cash and due from banks and restricted cash at end of period | $ 393,777,000 | $ 402,995,000 | $ 412,225,000 |
Condensed consolidating finan_3
Condensed consolidating financial information of guarantor and issuers of registered guaranteed securities - Additional Information (Details) | Dec. 31, 2019 |
PNA Holding Co. | |
Condensed income statements | |
Wholly-owned subsidiary percentage | 10000.00% |
Subsequent events- Additional I
Subsequent events- Additional Information (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |||
Jan. 31, 2020 | Jan. 24, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Subsequent Events | |||||
Accelerated share repurchases settlement receipt | $ 250,000,000 | $ 125,000,000 | $ 75,000,000 | ||
Common stock purchases | 256,012,000 | 127,465,000 | 77,420,000 | ||
Treasury stock | |||||
Subsequent Events | |||||
Common stock purchases | 271,752,000 | 127,379,000 | 81,938,000 | ||
Capital surplus | |||||
Subsequent Events | |||||
Common stock purchases | (15,740,000) | 86,000 | (4,518,000) | ||
Accelerate Share Repurchase | Treasury stock | |||||
Subsequent Events | |||||
Common stock purchases | 266,000,000 | $ 125,000,000 | 80,000,000 | ||
Accelerate Share Repurchase | Capital surplus | |||||
Subsequent Events | |||||
Common stock purchases | $ 16,000,000 | $ 5,000,000 | |||
Subsequent event | Preferred class B | |||||
Subsequent Events | |||||
Preferred stock redemption date | Feb. 24, 2020 | ||||
Preferred stock dividend rate percentage | 8.25% | ||||
Preferred stock redemption price per share | $ 25 | ||||
Accrued and unpaid dividends on each share | 0.1375 | ||||
Preferred Stock Redemption Payment Per Share | $ 25.1375 | ||||
Subsequent event | Accelerate Share Repurchase | |||||
Subsequent Events | |||||
Stock repurchase program authorized amount | $ 500,000,000 | ||||
Subsequent event | Accelerate Share Repurchase | Treasury stock | |||||
Subsequent Events | |||||
Common stock purchases | 400,000,000 | ||||
Subsequent event | Accelerate Share Repurchase | Capital surplus | |||||
Subsequent Events | |||||
Common stock purchases | $ 100,000,000 |