Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Loans The period end loan composition was as follows: ($ in thousands) Jun 30, 2023 Dec 31, 2022 Commercial and industrial $ 10,055,487 $ 9,759,454 Commercial real estate — owner occupied 1,058,237 991,722 Commercial and business lending 11,113,724 10,751,176 Commercial real estate — investor 5,312,928 5,080,344 Real estate construction 2,009,060 2,155,222 Commercial real estate lending 7,321,988 7,235,565 Total commercial 18,435,711 17,986,742 Residential mortgage 8,746,345 8,511,550 Auto finance 1,777,974 1,382,073 Home equity 615,506 624,353 Other consumer 273,367 294,851 Total consumer 11,413,193 10,812,828 Total loans $ 29,848,904 $ 28,799,569 Accrued interest receivable on loans totaled $124 million at June 30, 2023, and $113 million at December 31, 2022, and is included in interest receivable on the consolidated balance sheets. Interest accrued but not received for loans placed on nonaccrual is reversed against interest income. The amount of accrued interest reversed was $1 million for the three and six months ended June 30, 2023, and immaterial for the three and six months ended June 30, 2022. The following table presents loans by credit quality indicator by origination year at June 30, 2023: Term Loans Amortized Cost Basis by Origination Year (a) ($ in thousands) Rev Loans Converted to Term (a) Rev Loans Amortized Cost Basis YTD 2023 2022 2021 2020 2019 Prior Total Commercial and industrial: Risk rating: Pass $ 375 $ 2,016,151 $ 894,287 $ 3,101,942 $ 2,118,259 $ 450,305 $ 489,900 $ 617,543 $ 9,688,387 Special mention 57 44,943 57 35,706 9,319 6,240 — 30,700 126,964 Potential problem 642 89,637 873 19,850 73,809 20,187 91 781 205,228 Nonaccrual 10,583 — 3,230 16,863 6,457 8,357 — — 34,907 Commercial and industrial $ 11,657 $ 2,150,731 $ 898,447 $ 3,174,361 $ 2,207,845 $ 485,088 $ 489,991 $ 649,023 $ 10,055,487 Commercial real estate - owner occupied: Risk rating: Pass $ — $ 19,693 $ 132,242 $ 209,736 $ 230,821 $ 147,000 $ 147,706 $ 127,909 $ 1,015,108 Special mention — 579 — — — 3,434 8,276 — 12,289 Potential problem — — 2,656 864 9,052 4,002 500 12,322 29,396 Nonaccrual — — 1,444 — — — — — 1,444 Commercial real estate - owner occupied $ — $ 20,272 $ 136,342 $ 210,600 $ 239,873 $ 154,436 $ 156,482 $ 140,231 $ 1,058,237 Commercial and business lending: Risk rating: Pass $ 375 $ 2,035,845 $ 1,026,529 $ 3,311,678 $ 2,349,081 $ 597,305 $ 637,606 $ 745,452 $ 10,703,495 Special mention 57 45,522 57 35,706 9,319 9,673 8,276 30,700 139,253 Potential problem 642 89,637 3,528 20,714 82,861 24,190 592 13,103 234,624 Nonaccrual 10,583 — 4,675 16,863 6,457 8,357 — — 36,352 Commercial and business lending $ 11,657 $ 2,171,004 $ 1,034,789 $ 3,384,961 $ 2,447,717 $ 639,524 $ 646,474 $ 789,254 $ 11,113,724 Commercial real estate - investor: Risk rating: Pass $ — $ 131,996 $ 610,875 $ 1,549,321 $ 1,339,075 $ 637,693 $ 435,601 $ 386,283 $ 5,090,844 Special mention — — 15,259 52,277 25,817 — — — 93,353 Potential problem — — 24,842 21,538 31,398 8,225 1,008 19,650 106,662 Nonaccrual — — — — 21,801 — — 267 22,068 Commercial real estate - investor $ — $ 131,996 $ 650,976 $ 1,623,135 $ 1,418,092 $ 645,919 $ 436,609 $ 406,200 $ 5,312,928 Real estate construction: Risk rating: Pass $ — $ 30,596 $ 107,275 $ 1,037,825 $ 680,661 $ 123,350 $ 6,947 $ 9,974 $ 1,996,627 Special mention — — — — — 12,308 — — 12,308 Nonaccrual — — — — — — — 125 125 Real estate construction $ — $ 30,596 $ 107,275 $ 1,037,825 $ 680,661 $ 135,658 $ 6,947 $ 10,099 $ 2,009,060 Commercial real estate lending: Risk rating: Pass $ — $ 162,592 $ 718,150 $ 2,587,145 $ 2,019,736 $ 761,044 $ 442,548 $ 396,257 $ 7,087,472 Special mention — — 15,259 52,277 25,817 12,308 — — 105,661 Potential problem — — 24,842 21,538 31,398 8,225 1,008 19,650 106,662 Nonaccrual — — — — 21,801 — — 392 22,193 Commercial real estate lending $ — $ 162,592 $ 758,251 $ 2,660,960 $ 2,098,753 $ 781,577 $ 443,556 $ 416,299 $ 7,321,988 Total commercial: Risk rating: Pass $ 375 $ 2,198,437 $ 1,744,679 $ 5,898,823 $ 4,368,817 $ 1,358,348 $ 1,080,154 $ 1,141,709 $ 17,790,967 Special mention 57 45,522 15,316 87,983 35,136 21,981 8,276 30,700 244,914 Potential problem 642 89,637 28,370 42,252 114,259 32,415 1,600 32,753 341,286 Nonaccrual 10,583 — 4,675 16,863 28,258 8,357 — 392 58,544 Total commercial $ 11,657 $ 2,333,596 $ 1,793,040 $ 6,045,921 $ 4,546,470 $ 1,421,101 $ 1,090,030 $ 1,205,553 $ 18,435,711 Term Loans Amortized Cost Basis by Origination Year (a) ($ in thousands) Rev Loans Converted to Term (a) Rev Loans Amortized Cost Basis YTD 2023 2022 2021 2020 2019 Prior Total Residential mortgage: Risk rating: Pass $ — $ — $ 224,502 $ 1,629,017 $ 2,226,398 $ 1,651,621 $ 766,715 $ 2,184,280 $ 8,682,533 Special mention — — — — 278 — — 170 448 Potential problem — — 109 173 613 — 547 205 1,646 Nonaccrual — — 605 6,204 4,738 8,236 6,424 35,511 61,718 Residential mortgage $ — $ — $ 225,216 $ 1,635,393 $ 2,232,027 $ 1,659,856 $ 773,686 $ 2,220,166 $ 8,746,345 Auto finance: Risk rating: Pass $ — $ — $ 565,583 $ 1,115,791 $ 90,632 $ 240 $ 778 $ 289 $ 1,773,314 Special mention — — 181 1,330 84 — — — 1,596 Nonaccrual — — 44 2,323 689 — 9 — 3,065 Auto finance $ — $ — $ 565,808 $ 1,119,445 $ 91,405 $ 240 $ 787 $ 289 $ 1,777,974 Home equity: Risk rating: Pass $ 4,681 $ 504,626 $ 365 $ 30,687 $ 6,819 $ 2,220 $ 5,351 $ 56,666 $ 606,734 Special mention 276 94 — — — 99 — 552 744 Potential problem 13 — 13 194 — — 34 — 240 Nonaccrual 457 113 — 353 106 119 295 6,802 7,788 Home equity $ 5,426 $ 504,833 $ 377 $ 31,234 $ 6,925 $ 2,438 $ 5,680 $ 64,020 $ 615,506 Other consumer: Risk rating: Pass $ 198 $ 187,462 $ 3,950 $ 4,696 $ 3,424 $ 1,690 $ 704 $ 70,631 $ 272,559 Special mention 25 547 — 28 2 33 — 36 646 Nonaccrual 23 46 — 10 25 6 12 64 163 Other consumer $ 246 $ 188,055 $ 3,950 $ 4,734 $ 3,451 $ 1,729 $ 717 $ 70,732 $ 273,367 Total consumer: Risk rating: Pass $ 4,879 $ 692,088 $ 794,400 $ 2,780,192 $ 2,327,273 $ 1,655,771 $ 773,549 $ 2,311,866 $ 11,335,139 Special mention 301 640 181 1,358 364 131 — 758 3,434 Potential problem 13 — 122 367 613 — 580 205 1,886 Nonaccrual 480 159 649 8,890 5,557 8,360 6,741 42,378 72,733 Total consumer $ 5,673 $ 692,887 $ 795,352 $ 2,790,806 $ 2,333,808 $ 1,664,262 $ 780,870 $ 2,355,207 $ 11,413,193 Total loans: Risk rating: Pass $ 5,254 $ 2,890,525 $ 2,539,079 $ 8,679,015 $ 6,696,090 $ 3,014,119 $ 1,853,703 $ 3,453,575 $ 29,126,106 Special mention 357 46,162 15,497 89,341 35,500 22,113 8,276 31,458 248,348 Potential problem 655 89,637 28,492 42,619 114,872 32,415 2,180 32,958 343,173 Nonaccrual 11,063 159 5,324 25,753 33,816 16,717 6,741 42,769 131,278 Total loans $ 17,329 $ 3,026,483 $ 2,588,392 $ 8,836,728 $ 6,880,278 $ 3,085,363 $ 1,870,900 $ 3,560,760 $ 29,848,904 (a) Revolving loans converted to term loans are those converted during the reporting period and are also reported in their year of origination. The following table presents loans by credit quality indicator by origination year at December 31, 2022: Term Loans Amortized Cost Basis by Origination Year (a) ($ in thousands) Rev Loans Converted to Term (a) Rev Loans Amortized Cost Basis 2022 2021 2020 2019 2018 Prior Total Commercial and industrial: Risk rating: Pass $ 1,423 $ 1,938,777 $ 3,245,546 $ 2,367,008 $ 567,833 $ 573,120 $ 330,642 $ 432,906 $ 9,455,833 Special mention — 93,209 3,411 23,607 — — 19 32,497 152,744 Potential problem 447 24,549 41,400 4,193 21,887 38,169 218 6,133 136,549 Nonaccrual 3,926 — 5,210 — 9,119 — — — 14,329 Commercial and industrial $ 5,796 $ 2,056,535 $ 3,295,567 $ 2,394,809 $ 598,839 $ 611,289 $ 330,879 $ 471,535 $ 9,759,454 Commercial real estate - owner occupied: Risk rating: Pass $ — $ 12,447 $ 211,645 $ 225,627 $ 163,965 $ 160,370 $ 73,487 $ 97,420 $ 944,961 Special mention — — — — 1,136 1,491 9,713 — 12,339 Potential problem — 1,325 1,238 11,141 5,523 10,769 370 4,055 34,422 Commercial real estate - owner occupied $ — $ 13,772 $ 212,883 $ 236,769 $ 170,624 $ 172,630 $ 83,570 $ 101,475 $ 991,722 Commercial and business lending: Risk rating: Pass $ 1,423 $ 1,951,224 $ 3,457,191 $ 2,592,636 $ 731,798 $ 733,490 $ 404,129 $ 530,326 $ 10,400,794 Special mention — 93,209 3,411 23,607 1,136 1,491 9,732 32,497 165,083 Potential problem 447 25,874 42,638 15,335 27,410 48,938 589 10,188 170,971 Nonaccrual 3,926 — 5,210 — 9,119 — — — 14,329 Commercial and business lending $ 5,796 $ 2,070,307 $ 3,508,450 $ 2,631,578 $ 769,463 $ 783,919 $ 414,449 $ 573,010 $ 10,751,176 Commercial real estate - investor: Risk rating: Pass $ 38,412 $ 106,280 $ 1,633,094 $ 1,419,000 $ 683,121 $ 530,444 $ 262,858 $ 210,299 $ 4,845,096 Special mention — — 61,968 24,149 7,361 9,400 — 10,455 113,333 Potential problem — — 16,147 21,303 27,635 1,333 19,017 7,099 92,535 Nonaccrual — — 2,177 25,668 — — — 1,535 29,380 Commercial real estate - investor $ 38,412 $ 106,280 $ 1,713,387 $ 1,490,120 $ 718,117 $ 541,177 $ 281,875 $ 229,387 $ 5,080,344 Real estate construction: Risk rating: Pass $ — $ 29,892 $ 900,593 $ 913,107 $ 241,230 $ 12,062 $ 2,226 $ 9,775 $ 2,108,885 Special mention — — — — 12,174 33,087 — — 45,261 Potential problem — — — — 970 — — — 970 Nonaccrual — — — — — — — 105 105 Real estate construction $ — $ 29,892 $ 900,593 $ 913,107 $ 254,374 $ 45,149 $ 2,226 $ 9,880 $ 2,155,222 Commercial real estate lending: Risk rating: Pass $ 38,412 $ 136,173 $ 2,533,687 $ 2,332,107 $ 924,351 $ 542,505 $ 265,083 $ 220,073 $ 6,953,981 Special mention — — 61,968 24,149 19,535 42,487 — 10,455 158,595 Potential problem — — 16,147 21,303 28,605 1,333 19,017 7,099 93,505 Nonaccrual — — 2,177 25,668 — — — 1,640 29,485 Commercial real estate lending $ 38,412 $ 136,173 $ 2,613,980 $ 2,403,227 $ 972,492 $ 586,326 $ 284,101 $ 239,267 $ 7,235,565 Term Loans Amortized Cost Basis by Origination Year (a) ($ in thousands) Rev Loans Converted to Term (a) Rev Loans Amortized Cost Basis 2022 2021 2020 2019 2018 Prior Total Total commercial: Risk rating: Pass $ 39,835 $ 2,087,396 $ 5,990,879 $ 4,924,743 $ 1,656,149 $ 1,275,996 $ 669,213 $ 750,399 $ 17,354,774 Special mention — 93,209 65,379 47,756 20,671 43,978 9,732 42,952 323,677 Potential problem 447 25,874 58,785 36,638 56,016 50,271 19,606 17,287 264,476 Nonaccrual 3,926 — 7,387 25,668 9,119 — — 1,640 43,814 Total commercial $ 44,208 $ 2,206,480 $ 6,122,430 $ 5,034,805 $ 1,741,955 $ 1,370,245 $ 698,550 $ 812,278 $ 17,986,742 Residential mortgage: Risk rating: Pass $ — $ — $ 1,410,566 $ 2,184,125 $ 1,716,663 $ 817,164 $ 370,724 $ 1,951,406 $ 8,450,648 Special mention — — — 284 96 — — 63 444 Potential problem — — 455 71 — 738 29 685 1,978 Nonaccrual — — 8,506 3,851 6,219 3,744 5,014 31,145 58,480 Residential mortgage $ — $ — $ 1,419,527 $ 2,188,332 $ 1,722,979 $ 821,645 $ 375,768 $ 1,983,299 $ 8,511,550 Auto finance: Risk rating: Pass $ — $ — $ 1,271,205 $ 106,102 $ 333 $ 1,267 $ 446 $ 61 $ 1,379,414 Special mention — — 1,052 118 — — — — 1,170 Nonaccrual — — 1,149 331 — 9 — — 1,490 Auto finance $ — $ — $ 1,273,406 $ 106,551 $ 333 $ 1,276 $ 446 $ 61 $ 1,382,073 Home equity: Risk rating: Pass $ 7,254 $ 508,212 $ 31,389 $ 6,508 $ 2,112 $ 6,197 $ 6,966 $ 54,827 $ 616,211 Special mention 47 102 — — — — 47 310 458 Potential problem — 15 — — — 34 2 146 197 Nonaccrual 1,590 — 306 102 131 307 319 6,322 7,487 Home equity $ 8,891 $ 508,329 $ 31,695 $ 6,610 $ 2,243 $ 6,538 $ 7,333 $ 61,605 $ 624,353 Other consumer: Risk rating: Pass $ 64 $ 199,942 $ 7,429 $ 5,256 $ 2,468 $ 1,238 $ 174 $ 77,611 $ 294,117 Special mention 6 490 11 — 5 5 — 25 537 Nonaccrual 78 56 11 21 10 56 10 34 197 Other consumer $ 147 $ 200,488 $ 7,452 $ 5,276 $ 2,482 $ 1,300 $ 184 $ 77,670 $ 294,851 Total consumer: Risk rating: Pass $ 7,318 $ 708,154 $ 2,720,589 $ 2,301,991 $ 1,721,576 $ 825,866 $ 378,310 $ 2,083,904 $ 10,740,390 Special mention 52 592 1,063 403 101 5 47 398 2,609 Potential problem — 15 455 71 — 772 31 831 2,175 Nonaccrual 1,668 56 9,973 4,304 6,360 4,116 5,343 37,501 67,654 Total consumer $ 9,038 $ 708,817 $ 2,732,080 $ 2,306,769 $ 1,728,037 $ 830,759 $ 383,731 $ 2,122,635 $ 10,812,828 Total loans: Risk rating: Pass $ 47,152 $ 2,795,551 $ 8,711,468 $ 7,226,734 $ 3,377,725 $ 2,101,861 $ 1,047,522 $ 2,834,303 $ 28,095,164 Special mention 52 93,801 66,443 48,159 20,772 43,983 9,778 43,350 326,286 Potential problem 447 25,889 59,240 36,709 56,016 51,043 19,637 18,118 266,651 Nonaccrual 5,595 56 17,360 29,972 15,479 4,116 5,343 39,141 111,467 Total loans $ 53,246 $ 2,915,297 $ 8,854,510 $ 7,341,574 $ 3,469,992 $ 2,201,004 $ 1,082,280 $ 2,934,912 $ 28,799,569 (a) Revolving loans converted to term loans are those converted during the reporting period and are also reported in their year of origination. The following table presents gross charge offs by origination year at June 30, 2023: Gross Charge Offs by Origination Year ($ in thousands) Rev Loans Amortized Cost Basis YTD 2023 2022 2021 2020 2019 Prior Total Commercial and industrial $ 1,789 $ 5,158 $ 249 $ 5,140 $ — $ — $ 2,152 $ 14,489 Commercial and business lending 1,789 5,158 249 5,140 — — 2,152 14,489 Commercial real estate-investor — — — — — — 242 242 Real estate construction — — — — — — 25 25 Commercial real estate lending — — — — — — 266 266 Total commercial 1,789 5,158 249 5,140 — — 2,418 14,755 Residential mortgage — — 128 22 8 7 410 574 Auto finance — 24 2,048 262 — — — 2,335 Home equity — — 43 14 — 22 108 186 Other consumer 2,226 — 129 60 12 10 70 2,506 Total consumer 2,226 24 2,348 358 20 39 588 5,601 Total gross charge offs $ 4,015 $ 5,182 $ 2,597 $ 5,498 $ 20 $ 39 $ 3,006 $ 20,356 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 policies for ACLL, nonaccrual loans, and charge offs. For commercial loans, management has determined the pass credit quality indicator to include credits exhibiting 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 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 warrant specific attention from management. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the credit. Accruing loan modifications could be pass or special mention, depending on the risk rating on the loan. 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, which may jeopardize liquidation of the debt, and are characterized by the distinct possibility the Corporation will sustain some loss if the deficiencies are not corrected. Management has determined commercial loan relationships in nonaccrual status, and commercial and consumer loan relationships with their terms restructured in a loan modification, meet the criteria to be individually evaluated. Commercial loans classified as special mention, potential problem, and nonaccrual are reviewed at a minimum on a quarterly basis, while pass credits, which are performing rated credits, are generally 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 June 30, 2023: Accruing ($ in thousands) Current 30-59 Days 60-89 Days 90+ Days Nonaccrual (a)(b) Total Commercial and industrial $ 10,008,208 $ 11,837 $ 168 $ 366 $ 34,907 $ 10,055,487 Commercial real estate - owner occupied 1,055,309 1,484 — — 1,444 1,058,237 Commercial and business lending 11,063,517 13,321 168 366 36,352 11,113,724 Commercial real estate - investor 5,290,860 — — — 22,068 5,312,928 Real estate construction 2,008,859 76 — — 125 2,009,060 Commercial real estate lending 7,299,719 76 — — 22,193 7,321,988 Total commercial 18,363,236 13,396 168 366 58,544 18,435,711 Residential mortgage 8,675,666 8,791 170 — 61,718 8,746,345 Auto finance 1,763,481 9,833 1,596 — 3,065 1,777,974 Home equity 603,688 3,286 744 — 7,788 615,506 Other consumer 269,820 1,279 745 1,360 163 273,367 Total consumer 11,312,656 23,189 3,255 1,360 72,733 11,413,193 Total loans $ 29,675,892 $ 36,585 $ 3,423 $ 1,726 $ 131,278 $ 29,848,904 (a) Of the total nonaccrual loans, $77 million, or 58%, were current with respect to payment at June 30, 2023. (b) No interest income was recognized on nonaccrual loans for the three and six months ended June 30, 2023. In addition, there were $29 million of nonaccrual loans for which there was no related ACLL at June 30, 2023. The following table presents loans by past due status at December 31, 2022: Accruing ($ in thousands) Current 30-59 Days 60-89 Days 90+ Days Nonaccrual (a)(b) Total Commercial and industrial $ 9,738,561 $ 716 $ 5,566 $ 282 $ 14,329 $ 9,759,454 Commercial real estate - owner occupied 991,493 218 12 — — 991,722 Commercial and business lending 10,730,053 934 5,578 282 14,329 10,751,176 Commercial real estate - investor 5,049,897 1,067 — — 29,380 5,080,344 Real estate construction 2,155,077 39 — — 105 2,155,222 Commercial real estate lending 7,204,975 1,105 — — 29,485 7,235,565 Total commercial 17,935,028 2,040 5,578 282 43,814 17,986,742 Residential mortgage 8,443,072 9,811 63 124 58,480 8,511,550 Auto finance 1,371,176 8,238 1,170 — 1,490 1,382,073 Home equity 611,259 5,149 458 — 7,487 624,353 Other consumer 291,722 1,018 592 1,322 197 294,851 Total consumer 10,717,229 24,216 2,283 1,446 67,654 10,812,828 Total loans $ 28,652,257 $ 26,256 $ 7,861 $ 1,728 $ 111,467 $ 28,799,569 (a) Of the total nonaccrual loans, $64 million, or 58%, were current with respect to payment at December 31, 2022. (b) No interest income was recognized on nonaccrual loans for the year ended December 31, 2022. In addition, there were $11 million of nonaccrual loans for which there was no related ACLL at December 31, 2022. Loan Modifications and Troubled Debt Restructurings Under ASU 2022-02, effective January 1, 2023, loan modifications are reported if concessions have been granted to borrowers that are experiencing financial difficulty. Information on these loan modifications originated after the effective date is presented according to the new accounting guidance. Reporting periods prior to the adoption of ASU 2022-02 present information on TDRs under the previous disclosure requirements. The following tables show the composition of loan modifications made to borrowers experiencing financial difficulty by the loan portfolio and type of concessions granted during the six months ended June 30, 2023. Each of the types of concessions granted comprised less than 1% of their respective classes of loan portfolios at June 30, 2023. Interest Rate Concession ($ in thousands) Amortized Cost Commercial and industrial $ 168 Auto 80 Home equity 78 Other consumer 988 Total loans modified $ 1,314 Term Extension ($ in thousands) Amortized Cost Residential mortgage $ 208 Home equity 27 Total loans modified $ 235 Combination - Interest Rate Concession and Term Extension ($ in thousands) Amortized Cost Residential mortgage $ 519 Home equity 168 Total loans modified $ 687 The following tables summarize, by loan portfolio, the financial effect of the Corporation's loan modifications on the modified loans as of June 30, 2023: Interest Rate Concession Loan Type Financial Effect, Weighted Average Contractual Interest Rate (Decrease) Increase (a) Commercial and industrial (17) % Auto (4) % Home equity — % Other consumer (20) % Total loans modified (10) % (a) Due to market conditions, some interest rate concessions on floating rate loans may involve an increase in rate that was lower in comparison to the rate of increase for floating rate loans not modified. Term Extension Loan Type Financial Effect, Weighted Average Term Increase (a) Residential mortgage 26 months Total loans modified 26 months (a) During the six months ended June 30, 2023, term extensions changed the weighted average term on modified loans from 334 to 360 months. The Corporation closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table depicts the performance of loans that have been modified in the six months ended June 30, 2023: Payment Status (Amortized Cost Basis) ($ in thousands) Current 30-89 Days Past Due 90+ Days Past Due Nonaccrual Commercial and industrial $ 168 $ — $ — $ — Residential mortgage 126 — — 601 Auto 80 — — — Home equity 78 — — 195 Other consumer 988 — — — Total loans modified $ 1,439 $ — $ — $ 796 The following table provides the amortized cost of loan modifications by loan portfolio and type of concession that were modified in the previous six months and subsequently had a payment default, as of June 30, 2023: Amortized Cost of Loan Modifications that Subsequently Defaulted ($ in thousands) Interest Rate Concession Term Extension Combination Interest Rate Reduction and Term Extension Residential mortgage $ — $ 201 $ 128 Home equity — — 60 Total loans modified $ — $ 201 $ 187 The following table presents nonaccrual and performing restructured loans by loan portfolio at December 31, 2022: ($ in thousands) Performing Restructured Loans Nonaccrual Restructured Loans (a) Commercial and industrial $ 12,453 $ — Commercial real estate — owner occupied 316 — Commercial real estate — investor 128 2,074 Real estate construction 195 9 Residential mortgage 16,829 17,117 Home equity 2,148 927 Other consumer 798 — Total restructured loans $ 32,868 $ 20,127 (a) Nonaccrual restructured loans have been included within nonaccrual loans. The following table provides the number of loans modified in a TDR by loan portfolio, the recorded investment, and unpaid principal balance for the six months ended June 30, 2022: ($ in thousands) Number of Loans Recorded Investment (a) Unpaid Principal Balance (b) Commercial and industrial 2 $ 275 $ 275 Commercial real estate — investor 1 553 573 Residential mortgage 35 8,149 8,315 Home equity 8 291 312 Total loans modified 46 $ 9,267 $ 9,474 (a) Represents post-modification outstanding recorded investment. During the six months ended June 30, 2022, restructured loan modifications of commercial loans primarily included maturity date extensions and payment schedule modifications. Restructured loan modifications of consumer loans for the six months ended June 30, 2022 primarily included maturity date extensions, interest rate concessions, non-reaffirmed Chapter 7 bankruptcies, or a combination of these concessions. The following table provides the number of loans modified during the previous twelve months which subsequently defaulted during the six months ended June 30, 2022, and the recorded investment in these restructured loans at the time of default as of June 30, 2022: Six Months Ended June 30, 2022 ($ in thousands) Number of Recorded Residential mortgage 4 $ 1,178 The nature and extent of the impairment of modified loans, including those which have experienced a subsequent payment default, are considered in the determination of an appropriate level of the ACLL. Allowance for Credit Losses on Loans The ACLL is comprised of the allowance for loan losses and the allowance for unfunded commitments. The level of the ACLL represents management’s estimate of an amount appropriate to provide for expected lifetime credit losses in the loan portfolio at the balance sheet date. The expected lifetime credit losses are the product of multiplying the Corporation's estimates of probability of default, loss given default, and the individual loan level exposure at default on an undiscounted basis. A main factor in the determination of the ACLL is the economic forecast. The forecast the Corporation used for June 30, 2023 was the Moody's baseline scenario from May 2023, which was reviewed against the June 2023 baseline scenario with no material updates made, over a 2 year reasonable and supportable period with straight-line reversion to the historical losses over the second year of the period. The allowance for unfunded commitments is maintained at a level believed by management to be sufficient to absorb expected lifetime losses related to unfunded credit facilities (including unfunded loan commitments and letters of credit). See Note 11 for additional information on the change in the allowance for unfunded commitments. The following table presents a summary of the changes in the ACLL by portfolio segment for the six months ended June 30, 2023: ($ in thousands) Dec 31, 2022 Charge offs Recoveries Net Charge offs Provision for credit losses Jun 30, 2023 ACLL / Loans Allowance for loan losses Commercial and industrial $ 119,076 $ (14,489) $ 1,552 $ (12,936) $ 17,011 $ 123,151 Commercial real estate — owner occupied 9,475 — 6 6 1,565 11,047 Commercial and business lending 128,551 (14,489) 1,558 (12,930) 18,576 134,197 Commercial real estate — investor 54,398 (242) 2,517 2,276 9,953 66,627 Real estate construction 45,589 (25) 24 — 3,106 48,694 Commercial real estate lending 99,986 (266) 2,542 2,275 13,059 115,321 Total commercial 228,538 (14,755) 4,100 (10,655) 31,636 249,518 Residential mortgage 38,298 (574) 238 (336) 3,227 41,189 Auto finance 19,619 (2,335) 331 (2,004) 2,735 20,350 Home equity 14,875 (186) 710 524 105 15,504 Other consumer 11,390 (2,506) 508 (1,998) 2,798 12,189 Total consumer 84,182 (5,601) 1,787 (3,815) 8,864 89,232 Total loans $ 312,720 $ (20,356) $ 5,886 $ (14,470) $ 40,500 $ 338,750 Allowance for unfunded commitments Commercial and industrial $ 12,997 $ — $ — $ — $ (969) $ 12,028 Commercial real estate — owner occupied 103 — — — 6 109 Commercial and business lending 13,101 — — — (964) 12,137 Commercial real estate — investor 710 — — — 98 807 Real estate construction 20,583 — — — 693 21,276 Commercial real estate lending 21,292 — — — 791 22,084 Total commercial 34,393 — — — (173) 34,221 Home equity 2,699 — — — 107 2,806 Other consumer 1,683 — — — (434) 1,249 Total consumer 4,382 — — — (327) 4,055 Total loans $ 38,776 $ — $ — $ — $ (500) $ 38,276 Allowance for credit losses on loans Commercial and industrial $ 132,073 $ (14,489) $ 1,552 $ (12,936) $ 16,042 $ 135,179 1.34 % Commercial real estate — owner occupied 9,579 — 6 6 1,571 11,156 1.05 % Commercial and business lending 141,652 (14,489) 1,558 (12,930) 17,613 146,335 1.32 % Commercial real estate — investor 55,108 (242) 2,517 2,276 10,051 67,434 1.27 % Real estate construction 66,171 (25) 24 — 3,799 69,970 3.48 % Commercial real estate lending 121,279 (266) 2,542 2,275 13,850 137,404 1.88 % Total commercial 262,931 (14,755) 4,100 (10,655) 31,463 283,739 1.54 % Residential mortgage 38,298 (574) 238 (336) 3,227 41,189 0.47 % Auto finance 19,619 (2,335) 331 (2,004) 2,735 20,350 1.14 % Home equity 17,574 (186) 710 524 212 18,310 2.97 % Other consumer 13,073 (2,506) 508 (1,998) 2,363 13,438 4.92 % Total consumer 88,565 (5,601) 1,787 (3,815) 8,537 93,287 0.82 % Total loans $ 351,496 $ (20,356) $ 5,886 $ (14,470) $ 40,000 $ 377,027 1.26 % The following table presents a summary of the changes in the ACLL by portfolio segment for the year ended December 31, 2022: ($ in thousands) Dec 31, 2021 Charge offs Recoveries Net Charge offs Provision for credit losses Dec 31, 2022 ACLL / Loans Allowance for loan losses Commercial and industrial $ 89,857 $ (4,491) $ 5,282 $ 791 $ 28,428 $ 119,076 Commercial real estate — owner occupied 11,473 — 13 13 (2,011) 9,475 Commercial and business lending 101,330 (4,491) 5,295 804 26,418 128,551 Commercial real estate — investor 72,803 (50) 50 — (18,405) 54,398 Real estate construction 37,643 (48) 106 58 7,887 45,589 Commercial real estate lending 110,446 (98) 156 58 (10,518) 99,986 Total commercial 211,776 (4,588) 5,451 862 15,900 228,538 Residential mortgage 40,787 (567) 908 341 (2,830) 38,298 Auto finance 1,999 (1,041) 98 (943) 18,563 19,619 Home equity 14,011 (587) 1,385 798 66 14,875 Other consumer 11,441 (3,363) 1,010 (2,353) 2,301 11,390 Total consumer 68,239 (5,558) 3,401 (2,157) 18,100 84,182 Total loans $ 280,015 $ (10,146) $ 8,852 $ (1,294) $ 34,000 $ 312,720 Allowance for unfunded commitments Commercial and industrial $ 18,459 $ — $ — $ — $ (5,462) $ 12,997 Commercial real estate — owner occupied 208 — — — (105) 103 Commercial and business lending 18,667 — — — (5,566) 13,101 Commercial real estate — investor 936 — — — (226) 710 Real estate construction 15,586 — — — 4,997 20,583 Commercial real estate lending 16,522 — — — 4,770 21,292 Total commercial 35,189 — — — (796) 34,393 Home equity 2,592 — — — 107 2,699 Other consumer 1,995 — — — (311) 1,683 Total consumer 4,587 — — — (204) 4,382 Total loans $ 39,776 $ — $ — $ — $ (1,000) $ 38,776 Allowance for credit losses on loans Commercial and industrial $ 108,316 $ (4,491) $ 5,282 $ 791 $ 22,967 $ 132,073 1.35 % Commercial real estate — owner occupied 11,681 — 13 13 (2,115) 9,579 0.97 % Commercial and business lending 119,997 (4,491) 5,295 804 20,852 141,652 1.32 % Commercial real estate — investor 73,739 (50) 50 — (18,631) 55,108 1.08 % Real estate construction 53,229 (48) 106 58 12,884 66,171 3.07 % Commercial real estate lending 126,968 (98) 156 58 (5,748) 121,279 1.68 % Total commercial 246,965 (4,588) 5,451 862 15,104 262,931 1.46 % Residential mortgage 40,787 (567) 908 341 (2,830) 38,298 0.45 % Auto finance 1,999 (1,041) 98 (943) 18,563 19,619 1.42 % Home equity 16,603 (587) 1,385 798 173 17,574 2.81 % Other consumer 13,436 (3,363) 1,010 (2,353) 1,990 13,073 4.43 % Total consumer 72,825 (5,558) 3,401 (2,157) 17,896 88,565 0.82 % Total loans $ 319,791 $ (10,146) $ 8,852 $ (1,294) $ 33,000 $ 351,496 1.22 % |