Loans | Loans The period end loan composition was as follows. March 31, December 31, ($ in Thousands) Commercial and industrial $ 6,300,646 $ 6,489,014 Commercial real estate — owner occupied 878,391 897,724 Commercial and business lending 7,179,037 7,386,738 Commercial real estate — investor 3,415,355 3,574,732 Real estate construction 1,553,205 1,432,497 Commercial real estate lending 4,968,560 5,007,229 Total commercial 12,147,597 12,393,967 Residential mortgage 6,715,282 6,332,327 Home equity 911,969 934,443 Other consumer 372,835 393,979 Total consumer 8,000,086 7,660,749 Total loans $ 20,147,683 $ 20,054,716 The following table presents commercial and consumer loans by credit quality indicator at March 31, 2017 . Pass Special Mention Potential Problem Nonaccrual Total ($ in Thousands) Commercial and industrial $ 5,816,591 $ 100,234 $ 218,930 $ 164,891 $ 6,300,646 Commercial real estate - owner occupied 793,177 8,295 58,994 17,925 878,391 Commercial and business lending 6,609,768 108,529 277,924 182,816 7,179,037 Commercial real estate - investor 3,336,105 21,760 49,217 8,273 3,415,355 Real estate construction 1,541,779 38 10,141 1,247 1,553,205 Commercial real estate lending 4,877,884 21,798 59,358 9,520 4,968,560 Total commercial 11,487,652 130,327 337,282 192,336 12,147,597 Residential mortgage 6,658,070 874 2,155 54,183 6,715,282 Home equity 897,452 1,085 220 13,212 911,969 Other consumer 372,064 511 — 260 372,835 Total consumer 7,927,586 2,470 2,375 67,655 8,000,086 Total $ 19,415,238 $ 132,797 $ 339,657 $ 259,991 $ 20,147,683 The following table presents commercial and consumer loans by credit quality indicator at December 31, 2016 . Pass Special Mention Potential Problem Nonaccrual Total ($ in Thousands) Commercial and industrial $ 5,937,119 $ 141,328 $ 227,196 $ 183,371 $ 6,489,014 Commercial real estate - owner occupied 805,871 17,785 64,524 9,544 897,724 Commercial and business lending 6,742,990 159,113 291,720 192,915 7,386,738 Commercial real estate - investor 3,491,217 14,236 51,228 18,051 3,574,732 Real estate construction 1,429,083 105 2,465 844 1,432,497 Commercial real estate lending 4,920,300 14,341 53,693 18,895 5,007,229 Total commercial 11,663,290 173,454 345,413 211,810 12,393,967 Residential mortgage 6,275,162 1,314 5,615 50,236 6,332,327 Home equity 919,740 1,588 114 13,001 934,443 Other consumer 393,161 562 — 256 393,979 Total consumer 7,588,063 3,464 5,729 63,493 7,660,749 Total $ 19,251,353 $ 176,918 $ 351,142 $ 275,303 $ 20,054,716 Factors that are important to managing overall credit quality are sound loan underwriting and administration, systematic monitoring of existing loans and commitments, effective loan review on an ongoing basis, early identification of potential problems, and appropriate allowance for loan losses, allowance for unfunded commitments, nonaccrual, and charge off policies. For commercial loans, management has determined the pass credit quality indicator to include credits that exhibit acceptable financial statements, cash flow, and leverage. If any risk exists, it is mitigated by the loan structure, collateral, monitoring, or control. For consumer loans, performing loans include credits that are performing in accordance with the original contractual terms. Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Special mention credits have potential weaknesses that deserve management’s attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the credit. Potential problem loans are considered inadequately protected by the current net worth and paying capacity of the obligor or the collateral pledged. These loans generally have a well-defined weakness, or weaknesses, that may jeopardize liquidation of the debt and are characterized by the distinct possibility that the Corporation will sustain some loss if the deficiencies are not corrected. Lastly, management considers a loan to be impaired when it is probable that the Corporation will be unable to collect all amounts due according to the original contractual terms of the note agreement, including both principal and interest. Management has determined that commercial and consumer loan relationships that have nonaccrual status or have had their terms restructured in a troubled debt restructuring meet this impaired loan definition. Commercial loans classified as special mention, potential problem, and nonaccrual are reviewed at a minimum on a quarterly basis, while pass and performing rated credits are reviewed on an annual basis or more frequently if the loan renewal is less than one year or if otherwise warranted. The following table presents loans by past due status at March 31, 2017 . Current 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due (a) Nonaccrual (b) Total ($ in Thousands) Commercial and industrial $ 6,133,822 $ 752 $ 923 $ 258 $ 164,891 $ 6,300,646 Commercial real estate - owner occupied 859,496 500 470 — 17,925 878,391 Commercial and business lending 6,993,318 1,252 1,393 258 182,816 7,179,037 Commercial real estate - investor 3,405,960 920 202 — 8,273 3,415,355 Real estate construction 1,551,527 393 38 — 1,247 1,553,205 Commercial real estate lending 4,957,487 1,313 240 — 9,520 4,968,560 Total commercial 11,950,805 2,565 1,633 258 192,336 12,147,597 Residential mortgage 6,653,856 4,238 3,005 — 54,183 6,715,282 Home equity 894,245 3,406 1,106 — 13,212 911,969 Other consumer 369,455 1,013 645 1,462 260 372,835 Total consumer 7,917,556 8,657 4,756 1,462 67,655 8,000,086 Total $ 19,868,361 $ 11,222 $ 6,389 $ 1,720 $ 259,991 $ 20,147,683 (a) The recorded investment in loans past due 90 days or more and still accruing totaled $2 million at March 31, 2017 (the same as the reported balances for the accruing loans noted above). (b) Of the total nonaccrual loans, $194 million or 75% were current with respect to payment at March 31, 2017 . The following table presents loans by past due status at December 31, 2016 . Current 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due (a) Nonaccrual (b) Total ($ in Thousands) Commercial and industrial $ 6,303,994 $ 965 $ 448 $ 236 $ 183,371 $ 6,489,014 Commercial real estate - owner occupied 886,796 968 416 — 9,544 897,724 Commercial and business lending 7,190,790 1,933 864 236 192,915 7,386,738 Commercial real estate - investor 3,555,750 431 500 — 18,051 3,574,732 Real estate construction 1,431,284 264 105 — 844 1,432,497 Commercial real estate lending 4,987,034 695 605 — 18,895 5,007,229 Total commercial 12,177,824 2,628 1,469 236 211,810 12,393,967 Residential mortgage 6,273,949 7,298 844 — 50,236 6,332,327 Home equity 915,593 4,265 1,584 — 13,001 934,443 Other consumer 389,157 2,471 718 1,377 256 393,979 Total consumer 7,578,699 14,034 3,146 1,377 63,493 7,660,749 Total $ 19,756,523 $ 16,662 $ 4,615 $ 1,613 $ 275,303 $ 20,054,716 (a) The recorded investment in loans past due 90 days or more and still accruing totaled $2 million at December 31, 2016 (the same as the reported balances for the accruing loans noted above). (b) Of the total nonaccrual loans, $224 million or 81% were current with respect to payment at December 31, 2016 . The following table presents impaired loans at March 31, 2017 . Recorded Unpaid Related Average Interest ($ in Thousands) Loans with a related allowance Commercial and industrial $ 124,408 $ 135,061 $ 26,686 $ 130,361 $ 305 Commercial real estate — owner occupied 14,918 16,833 1,766 15,045 113 Commercial and business lending 139,326 151,894 28,452 145,406 418 Commercial real estate — investor 16,018 16,497 319 16,060 371 Real estate construction 1,349 1,663 533 1,369 32 Commercial real estate lending 17,367 18,160 852 17,429 403 Total commercial 156,693 170,054 29,304 162,835 821 Residential mortgage 66,221 71,013 11,860 66,495 588 Home equity 20,775 22,958 9,528 20,964 250 Other consumer 1,301 1,327 192 1,309 6 Total consumer 88,297 95,298 21,580 88,768 844 Total loans (a) $ 244,990 $ 265,352 $ 50,884 $ 251,603 $ 1,665 Loans with no related allowance Commercial and industrial $ 71,335 $ 75,212 $ — $ 73,314 $ 93 Commercial real estate — owner occupied 8,539 9,409 — 8,582 — Commercial and business lending 79,874 84,621 — 81,896 93 Commercial real estate — investor 6,818 7,219 — 6,853 — Real estate construction 225 225 — 225 — Commercial real estate lending 7,043 7,444 — 7,078 — Total commercial 86,917 92,065 — 88,974 93 Residential mortgage 6,497 7,521 — 6,507 68 Home equity 646 650 — 647 — Other consumer — — — — — Total consumer 7,143 8,171 — 7,154 68 Total loans (a) $ 94,060 $ 100,236 $ — $ 96,128 $ 161 Total Commercial and industrial $ 195,743 $ 210,273 $ 26,686 $ 203,675 $ 398 Commercial real estate — owner occupied 23,457 26,242 1,766 23,627 113 Commercial and business lending 219,200 236,515 28,452 227,302 511 Commercial real estate — investor 22,836 23,716 319 22,913 371 Real estate construction 1,574 1,888 533 1,594 32 Commercial real estate lending 24,410 25,604 852 24,507 403 Total commercial 243,610 262,119 29,304 251,809 914 Residential mortgage 72,718 78,534 11,860 73,002 656 Home equity 21,421 23,608 9,528 21,611 250 Other consumer 1,301 1,327 192 1,309 6 Total consumer 95,440 103,469 21,580 95,922 912 Total loans (a) $ 339,050 $ 365,588 $ 50,884 $ 347,731 $ 1,826 (a) The net recorded investment (defined as recorded investment, net of the related allowance) of the impaired loans represented 79% of the unpaid principal balance at March 31, 2017 . The following table presents impaired loans at December 31, 2016 . Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized ($ in Thousands) Loans with a related allowance Commercial and industrial $ 101,770 $ 107,813 $ 21,617 $ 111,211 $ 2,512 Commercial real estate — owner occupied 6,595 8,641 295 7,111 274 Commercial and business lending 108,365 116,454 21,912 118,322 2,786 Commercial real estate — investor 27,196 27,677 3,541 31,142 2,124 Real estate construction 1,203 1,566 441 1,321 67 Commercial real estate lending 28,399 29,243 3,982 32,463 2,191 Total commercial 136,764 145,697 25,894 150,785 4,977 Residential mortgage 62,362 67,090 11,091 63,825 2,263 Home equity 20,651 22,805 9,312 21,825 1,114 Other consumer 1,235 1,284 186 1,294 29 Total consumer 84,248 91,179 20,589 86,944 3,406 Total loans (a) $ 221,012 $ 236,876 $ 46,483 $ 237,729 $ 8,383 Loans with no related allowance Commercial and industrial $ 113,485 $ 134,863 $ — $ 117,980 $ 1,519 Commercial real estate — owner occupied 8,439 9,266 — 8,759 138 Commercial and business lending 121,924 144,129 — 126,739 1,657 Commercial real estate — investor 6,144 6,478 — 7,092 — Real estate construction — — — — — Commercial real estate lending 6,144 6,478 — 7,092 — Total commercial 128,068 150,607 — 133,831 1,657 Residential mortgage 5,974 6,998 — 6,610 184 Home equity 106 107 — 107 4 Other consumer — — — — — Total consumer 6,080 7,105 — 6,717 188 Total loans (a) $ 134,148 $ 157,712 $ — $ 140,548 $ 1,845 Total Commercial and industrial $ 215,255 $ 242,676 $ 21,617 $ 229,191 $ 4,031 Commercial real estate — owner occupied 15,034 17,907 295 15,870 412 Commercial and business lending 230,289 260,583 21,912 245,061 4,443 Commercial real estate — investor 33,340 34,155 3,541 38,234 2,124 Real estate construction 1,203 1,566 441 1,321 67 Commercial real estate lending 34,543 35,721 3,982 39,555 2,191 Total commercial 264,832 296,304 25,894 284,616 6,634 Residential mortgage 68,336 74,088 11,091 70,435 2,447 Home equity 20,757 22,912 9,312 21,932 1,118 Other consumer 1,235 1,284 186 1,294 29 Total consumer 90,328 98,284 20,589 93,661 3,594 Total loans (a) $ 355,160 $ 394,588 $ 46,483 $ 378,277 $ 10,228 (a) The net recorded investment (defined as recorded investment, net of the related allowance) of the impaired loans represented 78% of the unpaid principal balance at December 31, 2016 . Troubled Debt Restructurings (“Restructured Loans”) Loans are considered restructured loans if concessions have been granted to borrowers that are experiencing financial difficulty. The Corporation had a recorded investment of approximately $55 million in loans modified in troubled debt restructurings for the three months ended March 31, 2017 , of which approximately $1 million was in accrual status and $54 million was in nonaccrual pending a sustained period of repayment. At March 31, 2017 the commercial and industrial nonaccrual restructured loans increased primarily due to the restructuring of several large oil and gas loans. These loans were included in nonaccrual loans at both March 31, 2017 and December 31, 2016 . The following table presents nonaccrual and performing restructured loans by loan portfolio. March 31, 2017 December 31, 2016 Performing Restructured Loans Nonaccrual Restructured Loans (a) Performing Restructured Loans Nonaccrual Restructured Loans (a) ($ in Thousands) Commercial and industrial $ 30,852 $ 52,079 $ 31,884 $ 1,276 Commercial real estate — owner occupied 5,532 2,148 5,490 2,220 Commercial real estate — investor 14,563 1,643 15,289 924 Real estate construction 327 170 359 150 Residential mortgage 18,535 20,457 18,100 21,906 Home equity 8,209 2,379 7,756 2,877 Other consumer 1,041 26 979 32 Total $ 79,059 $ 78,902 $ 79,857 $ 29,385 (a) Nonaccrual restructured loans have been included within nonaccrual loans. The following table provides the number of loans modified in a troubled debt restructuring by loan portfolio during the three months ended March 31, 2017 and 2016 , respectively, and the recorded investment and unpaid principal balance as of March 31, 2017 and 2016 respectively. Three Months Ended March 31, 2017 Three Months Ended March 31, 2016 Number of Loans Recorded Investment (a) Unpaid Principal Balance (b) Number of Loans Recorded Investment (a) Unpaid Principal Balance (b) ($ in Thousands) Commercial and industrial 20 $ 52,326 $ 60,546 7 $ 1,483 $ 1,522 Commercial real estate — owner occupied 1 204 204 1 125 130 Commercial real estate — investor 1 733 744 — — — Real estate construction — — — 1 10 55 Residential mortgage 16 1,301 1,322 30 2,062 2,124 Home equity 15 347 347 20 818 879 Total 53 $ 54,911 $ 63,163 59 $ 4,498 $ 4,710 (a) Represents post-modification outstanding recorded investment. (b) Represents pre-modification outstanding recorded investment. Restructured loan modifications may include payment schedule modifications, interest rate concessions, maturity date extensions, modification of note structure (A/B Note), non-reaffirmed Chapter 7 bankruptcies, principal reduction, or some combination of these concessions. During the three months ended March 31, 2017 , restructured loan modifications of commercial and industrial, commercial real estate, and real estate construction loans primarily included maturity date extensions and payment schedule modifications. Restructured loan modifications of home equity and residential mortgage loans primarily included maturity date extensions, interest rate concessions, non-reaffirmed Chapter 7 bankruptcies, or a combination of these concessions for the three months ended March 31, 2017 . The following table provides the number of loans modified in a troubled debt restructuring during the previous twelve months which subsequently defaulted during the three months ended March 31, 2017 and 2016 , respectively, as well as the recorded investment in these restructured loans as of March 31, 2017 and 2016 , respectively. Three Months Ended March 31, 2017 Three Month Ended March 31, 2016 Number of Loans Recorded Investment Number of Loans Recorded Investment ($ in Thousands) Real estate construction — $ — 1 $ 10 Residential mortgage 6 383 7 1,151 Home equity 2 26 8 153 Total 8 $ 409 16 $ 1,314 All loans modified in a troubled debt restructuring are evaluated for impairment. The nature and extent of the impairment of restructured loans, including those which have experienced a subsequent payment default, is considered in the determination of an appropriate level of the allowance for loan losses. Allowance for Credit Losses A summary of the changes in the allowance for loan losses by portfolio segment for the three months ended March 31, 2017 , was as follows. $ in Thousands Commercial and industrial Commercial real estate - owner occupied Commercial real estate - investor Real estate construction Residential mortgage Home equity Other consumer Total December 31, 2016 $ 140,126 $ 14,034 $ 45,285 $ 26,932 $ 27,046 $ 20,364 $ 4,548 $ 278,335 Charge offs (9,359 ) (5 ) (633 ) (23 ) (297 ) (509 ) (1,028 ) (11,854 ) Recoveries 4,991 24 119 34 169 682 172 6,191 Net charge offs (4,368 ) 19 (514 ) 11 (128 ) 173 (856 ) (5,663 ) Provision for loan losses 10,509 (2,841 ) (3,406 ) 1,825 3,370 (223 ) 766 10,000 March 31, 2017 $ 146,267 $ 11,212 $ 41,365 $ 28,768 $ 30,288 $ 20,314 $ 4,458 $ 282,672 Allowance for loan losses: Individually evaluated for impairment $ 25,915 $ 1,541 $ 99 $ — $ 810 $ — $ — $ 28,365 Collectively evaluated for impairment 120,352 9,671 41,266 28,768 29,478 20,314 4,458 254,307 Total allowance for loan losses $ 146,267 $ 11,212 $ 41,365 $ 28,768 $ 30,288 $ 20,314 $ 4,458 $ 282,672 Loans: Individually evaluated for impairment $ 162,788 $ 17,098 $ 7,615 $ 225 $ 11,086 $ 647 $ — $ 199,459 Collectively evaluated for impairment 6,137,858 861,293 3,407,740 1,552,980 6,704,196 911,322 372,835 19,948,224 Total loans $ 6,300,646 $ 878,391 $ 3,415,355 $ 1,553,205 $ 6,715,282 $ 911,969 $ 372,835 $ 20,147,683 The allowance for credit losses is comprised of the allowance for loan losses and the allowance for unfunded commitments. The level of the allowance for loan losses represents management’s estimate of an amount appropriate to provide for probable credit losses in the loan portfolio at the balance sheet date. The allowance for unfunded commitments is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to unfunded credit facilities (including unfunded loan commitments and letters of credit) and is included in accrued expenses and other liabilities on the consolidated balance sheets. See Note 12 for additional information on the allowance for unfunded commitments. For comparison purposes, a summary of the changes in the allowance for loan losses by portfolio segment for the year ended December 31, 2016 , was as follows. $ in Thousands Commercial and industrial Commercial real estate - owner occupied Commercial real estate - investor Real estate construction Residential mortgage Home equity Other consumer Total December 31, 2015 $ 129,959 $ 18,680 $ 43,018 $ 25,266 $ 28,261 $ 23,555 $ 5,525 $ 274,264 Charge offs (71,016 ) (512 ) (1,504 ) (558 ) (4,332 ) (4,686 ) (3,831 ) (86,439 ) Recoveries 14,543 74 1,624 203 755 3,491 820 21,510 Net charge offs (56,473 ) (438 ) 120 (355 ) (3,577 ) (1,195 ) (3,011 ) (64,929 ) Provision for loan losses 66,640 (4,208 ) 2,147 2,021 2,362 (1,996 ) 2,034 69,000 December 31, 2016 $ 140,126 $ 14,034 $ 45,285 $ 26,932 $ 27,046 $ 20,364 $ 4,548 $ 278,335 Allowance for loan losses: Individually evaluated for impairment $ 20,836 $ — $ 3,117 $ — $ 147 $ 3 $ — $ 24,103 Collectively evaluated for impairment 119,290 14,034 42,168 26,932 26,899 20,361 4,548 254,232 Total allowance for loan losses $ 140,126 $ 14,034 $ 45,285 $ 26,932 $ 27,046 $ 20,364 $ 4,548 $ 278,335 Loans: Individually evaluated for impairment $ 180,965 $ 8,439 $ 17,322 $ — $ 7,033 $ 650 $ — $ 214,409 Collectively evaluated for impairment 6,308,049 889,285 3,557,410 1,432,497 6,325,294 933,793 393,979 19,840,307 Total loans $ 6,489,014 $ 897,724 $ 3,574,732 $ 1,432,497 $ 6,332,327 $ 934,443 $ 393,979 $ 20,054,716 A summary of the changes in the allowance for unfunded commitments was as follows. Three Months Ended March 31, 2017 Year Ended December 31, 2016 ($ in Thousands) Allowance for Unfunded Commitments: Balance at beginning of period $ 25,400 $ 24,400 Provision for unfunded commitments (1,000 ) 1,000 Balance at end of period $ 24,400 $ 25,400 |